What was the amount of Benihana's accumulated other comprehensive loss as of December 31, 2022?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
sumptions.
- We evaluated the reasonableness of management's undiscounted future cash flows analysis by comparing management's projections to (1) the Company's historical results, (2) internal communications to management and the Board of Directors, (3) external communications made publicly by management, and (4) industry data.
- We tested the completeness and accuracy of the underlying source information used by management to identify quantitative indicators of impairment.
/s/ Deloitte & Touche LLP
Denver, Colorado March 14, 2024
We have served as the Company's auditor since 2021.
F-3
THE ONE GROUP HOSPITALITY, INC. CONSOLIDATED BALANCE SHEETS (in thousands, except share information)
| December 31, 2023 | December 31, 2022 | |
|---|---|---|
| ASSETS | ||
| Current assets: | ||
| Cash and cash equivalents | $ 21,047 | $ 55,121 |
| Accounts receivable | 17,264 | 15,220 |
| Inventory | 6,184 | 5,728 |
| Other current assets | 1,809 | 2,091 |
| Due from related parties | 376 | 376 |
| Total current assets | 46,680 | 78,536 |
| Property and equipment, net | 139,908 | 94,087 |
| Operating lease right-of-use assets | 95,075 | 85,161 |
| Deferred tax assets, net | 14,757 | 12,323 |
| Intangibles, net | 15,306 | 15,290 |
| Other assets | 4,636 | 4,774 |
| Security deposits | 883 | 853 |
| Total assets | $ 317,245 | $ 291,024 |
| LIABILITIES AND STOCKHOLDERS' EQUITY | ||
| Current liabilities: | ||
| Accounts payable | $ 19,089 | $ 13,055 |
| Accrued expenses | 28,333 | 22,409 |
| Deferred gift card revenue and other | 2,077 | 2,115 |
| Current portion of operating lease liabilities | 6,897 | 6,336 |
| Current portion of long-term debt | 1,500 | 1,500 |
| 266 | 256 | |
| Other current liabilities | ||
| Total current liabilities | 58,162 | 45,671 |
| Operating lease liabilities, net of current portion | 120,481 | 105,247 |
| Long-term debt, net of current portion | 70,410 | 70,544 |
| Other long-term liabilities | 832 | 972 |
| Total liabilities | 249,885 | 222,434 |
| Commitments and contingencies (Note 14) | ||
| Stockholders' equity: | ||
| Common stock, $0.0001 par value, 75,000,000 shares authorized; 33,560,428 issued | ||
| and 31,283,975 outstanding at December 31, 2023 and 3 |
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the company's accumulated other comprehensive loss as of December 31, 2022, was approximately $(2,869). This figure is part of the stockholders' equity section of Benihana's balance sheet, reflecting losses not yet realized through net income.
Accumulated other comprehensive income (or loss) includes items such as foreign currency translation adjustments, unrealized gains and losses on certain investments, and changes in pension liabilities. For Benihana, the comprehensive loss is comprised of foreign currency translation adjustments related to the company's wholly-owned subsidiaries.
For a prospective franchisee, this number provides insight into Benihana's overall financial health and how it manages various financial elements beyond its core operations. While a loss in this area isn't ideal, it's essential to consider the context and the specific factors contributing to it, such as currency fluctuations affecting international subsidiaries. Franchisees should consider this information as part of a broader due diligence process, evaluating the company's complete financial statements and discussing any concerns with financial advisors.