What was the net income for Bath Tune Up for the year ended December 31, 2024?
Bath_Tune_Up Franchise · 2025 FDDAnswer from 2025 FDD Document
t L | You (only if you purchase two territories) and us |
HFC KTU LLC (dba Kitchen Tune-Up and Bath Tune-Up) Statements of Operations
| For the Years Ended | |||||
|---|---|---|---|---|---|
| December 31, 2024 | December 31, 2023 | ||||
| Revenue | |||||
| Royalty income | $ | 7,256,176 | $ | 6,827,867 | |
| Continuing franchise fees | 2,801,768 | 2,588,937 | |||
| Gross sales rebates | 2,085,378 | 2,151,381 | |||
| Initial franchise fees | 1,579,558 | 2,632,960 | |||
| Product and other sales | 206,378 | 207,153 | |||
| Total Revenue | 13,929,258 | 14,408,298 | |||
| Operating expenses | |||||
| Cost of product sales | 61,171 | 38,689 | |||
| Selling and advertising | 3,407,107 | 3,309,601 | |||
| Operating and administrative | 8,682,605 | 8,310,719 | |||
| Loss on disposal of assets | — | 3,651 | |||
| Foreign exchange loss (gain) | 15,613 | (9,062) | |||
| Other operating expense | 28,018 | — | |||
| Total Operating expenses | 12,194,514 | 11,653,598 | |||
| Income from operations | 1,734,744 | 2,754,700 | |||
| Other income (expense) | |||||
| Interest income | 83,205 | 54,737 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 51–52)
What This Means (2025 FDD)
According to Bath Tune Up's 2025 Franchise Disclosure Document, the net income for the year ended December 31, 2024, was $1,588,884. This figure represents the profit HFC KTU LLC (doing business as Kitchen Tune-Up and Bath Tune-Up) retained after deducting all expenses, including the cost of product sales, selling and advertising, operating and administrative costs, and other expenses, from its total revenue. Total revenue includes royalty income, continuing franchise fees, gross sales rebates, initial franchise fees, and product and other sales.
This net income figure is a key indicator of Bath Tune Up's overall financial performance and profitability during the specified period. A prospective franchisee would likely consider this information, along with other financial data, to assess the financial health and stability of the franchisor. It's also useful to compare this figure to previous years to identify trends and potential growth or decline in profitability. For example, the net income for the year ended December 31, 2023, was $2,271,476, indicating a decrease in net income from 2023 to 2024.
It is important to note that these financial statements are for HFC KTU LLC, which operates both Kitchen Tune-Up and Bath Tune-Up franchises. Therefore, the net income reflects the combined performance of both brands. A potential Bath Tune Up franchisee should consider this when evaluating the financial data, as the performance of the Bath Tune-Up franchise alone may differ from the combined results. Further due diligence, including discussions with existing franchisees and a review of the complete financial statements and related notes, is recommended to gain a comprehensive understanding of the financial aspects of investing in a Bath Tune Up franchise.