What was the total amount of general and administrative expenses, including stock-based compensation, for Benihana in 2021?
Benihana Franchise · 2024 FDDAnswer from 2024 FDD Document
lity, as a key profitability target in our budgets, and to compare our performance against that of peer companies despite possible differences in calculation.
Please refer to the table on page 28 for our reconciliation of net income to EBITDA and Adjusted EBITDA and for a reconciliation of operating income to Restaurant Operating Profit.
Results of Operations
The following table sets forth certain statements of operations data for the periods indicated (in thousands):
| For the year ended December 31, | ||||
|---|---|---|---|---|
| 2022 | 2021 | |||
| Revenues: | ||||
| Owned restaurant net revenue | $ | 300,859 | $ | 264,404 |
| Management, license and incentive fee revenue | 15,779 | 12,774 | ||
| Total revenues | 316,638 | 277,178 | ||
| Cost and expenses: | ||||
| Owned operating expenses: | ||||
| Owned restaurant cost of sales | 75,365 | 67,468 | ||
| Owned restaurant operating expenses | 174,689 | 144,529 | ||
| Total owned operating expenses | 250,054 | 211,997 | ||
| General and administrative (including stock-based compensation of $3,985 | ||||
| and $3,618 for the years ended December | 29,081 | 25,573 | ||
| 31, | ||||
| 2022 and 2021, respectively) | ||||
| Depreciation and amortization | 12,134 | 10,790 | ||
| COVID-19 related expenses | 2,534 | 5,821 | ||
| Transaction costs | 123 | 160 | ||
| Lease termination expenses | 257 | 1,912 | ||
| Agreement restructuring expenses | — | 503 | ||
| Pre-opening expenses | 5,519 | 1,037 | ||
| Write-off of trademark costs and other | 630 | — | ||
| Total costs and expenses | 300,332 | 257,793 | ||
| Operating income | 16,306 | 19,385 | ||
| Other expenses (income), net: | ||||
| Interest expense, net of interest income | 2,113 | 3,780 | ||
Source: Item 22 — CONTRACTS (FDD pages 73–74)
What This Means (2024 FDD)
According to Benihana's 2024 Franchise Disclosure Document, the general and administrative expenses, including stock-based compensation, for the year 2021 totaled $25,573,000. This figure is part of the broader financial data presented in the document, offering insight into the operational costs of Benihana.
Specifically, the FDD provides a comparative overview of these expenses between 2022 and 2021. This allows potential franchisees to understand the changes in these costs over time. The general and administrative expenses, which include costs like salaries, office supplies, and other overhead, are crucial for assessing the financial health and stability of Benihana.
For a prospective franchisee, understanding these expenses is essential for projecting their own potential profitability. While the franchisee's operating expenses will differ, this information provides a benchmark for understanding how Benihana manages its corporate overhead. It's also important to note that stock-based compensation is included in this figure, which can fluctuate based on the company's stock performance and compensation policies. Therefore, a potential franchisee should consider these factors when evaluating the financial performance of Benihana.