What was the net income for Auntie Annes as of December 26, 2021?
Auntie_Annes Franchise · 2024 FDDAnswer from 2024 FDD Document
ell as evaluate the overall presentation of the consolidated financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identif
Source: Item 23 — RECEIPTS (FDD pages 106–366)
What This Means (2024 FDD)
According to Auntie Anne's 2024 Franchise Disclosure Document, for the fiscal year ended December 26, 2021, the net income was $174,623. This figure represents the net income related to the member's equity. It is important to note that Auntie Anne's operates on a fiscal year that ends on the last Sunday of the calendar year, which can result in either a 52 or 53 week fiscal year. The fiscal year ended December 26, 2021, included 52 weeks.
It's important for a prospective franchisee to understand how these figures relate to the overall financial health of Auntie Anne's. While this net income figure provides a snapshot of profitability for that specific period, it should be considered alongside other financial data, such as revenues, expenses, and cash flows, to gain a comprehensive understanding. Reviewing several years of financial statements can reveal trends and patterns that may be useful in evaluating the franchise opportunity.
Furthermore, the FDD also presents another net income figure of $68,055 for the period ending December 25, 2022, related to the member's deficit. This highlights the importance of carefully reviewing all financial statements and understanding the context behind each figure. A potential franchisee should seek clarification from Auntie Anne's regarding any discrepancies or questions about the financial information provided in the FDD.
In summary, while the FDD states the net income for the fiscal year ended December 26, 2021, was $174,623, prospective franchisees should conduct thorough due diligence and consult with financial professionals to fully understand the financial performance and stability of Auntie Anne's before making any investment decisions.