What was the net loss for Ben Jerrys, as reported in the financial statements?
Ben_Jerrys Franchise · 2025 FDDAnswer from 2025 FDD Document
| INTERIM Q1 2025 Financial Statements Unaudited | |
| As of March 31, 2025 | |
| Ben & Jerry's Franchising, Inc. | |
| Statement of Operations | |
| (In thousands) | |
| Net product sales | $ 666 |
| Other revenues: | |
| Commission revenue | 8 89 |
| Franchise fee revenue | 29 |
| Royalty fee revenue | 3 58 |
| Franchise advertising contributions | 2 93 |
| Total revenue | 2,235 |
| Cost of sales | 2 30 |
| Gross profit | 2,005 |
| Selling, general and administrative expenses | 2,700 |
| Loss from operations | (695) |
| Other expense: | |
| Interest expense from related party | ( 2) |
| Loss before income taxes | (697) |
| Income tax benefits | 1 46 |
| Net loss | $ (551) |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 89–133)
What This Means (2025 FDD)
According to Ben Jerrys's 2025 Franchise Disclosure Document, the interim Q1 2025 financial statements show a net loss of $(551) thousand. This unaudited statement, as of March 31, 2025, provides a snapshot of the company's financial performance during the first quarter of the year.
This net loss indicates that Ben Jerrys's expenses exceeded its revenues during this period. Specifically, the loss from operations was $(695) thousand, which was partially offset by income tax benefits of $146 thousand, resulting in the final net loss figure. For a prospective franchisee, this information is crucial as it provides insight into the brand's recent financial health. While this is just a snapshot of one quarter, it's important to consider the factors contributing to the loss, such as cost of sales and administrative expenses.
It is important to note that these are interim, unaudited figures and may not be indicative of the full year's performance. A potential franchisee should investigate the reasons behind the loss and compare it to previous years' financial statements to understand any trends. Additionally, it would be prudent to discuss these figures with the franchisor to gain a better understanding of their strategies for improving profitability.