What was the net cash provided by operating activities for Benjamin Franklin Plumbing in 2022?
Benjamin_Franklin_Plumbing Franchise · 2025 FDDAnswer from 2025 FDD Document
| | | | | | | | | ive | | | | | | | | | inc | | | | | | | | | r c | | | | | | | | | om | | | | | | | | | pre | | | | | | | | | ns | | | | | | | | | om | | | | | | | | | e | | | | | | | | | los Ne t s | - | - | | - | ( ) 5 9, 5 3 4 | - | ( ) 5 9, 5 3 4 | | Ba lan t D be r 3 1, 20 23 ce s a ec em | 1 | - | | 5 15 8 8 6 , | ( 4) 17 7, 6 8 | ( 1) | 3 3 8, 20 1 | | Sto k- ba d c ion at c se om pe ns | - | - | | 2, 9 22 | - | - | 2, 9 22 | | Ne los t s | - | - | | - | ( 10 4, 48 6 ) | - | ( 10 4, 48 6 ) | | Ba lan t D be r 3 1, 20 24 ce s a ec em | 1 | $ - | $ | 5 18 8 0 8 , | $ ( 28 2, 17 0 ) | $ ( 1) | $ 23 6, 6 37 |
Authority Brands Inc. and Subsidiaries Consolidated Statements of Cash Flows (In thousands)
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Cash flows from operating activities | |||
| Net loss | $ (104,486) | $ (59,534) | $ (35,630) |
| Adjustments to reconcile net loss to net cash provided by operating activities | |||
| Depreciation and amortization | 102,085 | 106,568 | 50,771 |
| Increase/(reduction) in inventory reserve | 60 | (42) | (39) |
| Bad debt expense | 3,577 | 3,123 | 1,637 |
| Stock-based compensation | 2,922 | 6,006 | 21,820 |
| Impairment loss | 23,240 | - | - |
| Loss on sale of retail | 11,276 | - | - |
| Gain on disposal of property and equipment | (497) | (391) | (305) |
| Amortization of deferred loan costs | 1,742 | 1,650 | 1,692 |
| Deferred taxes | (12,188) | (13,180) | (4,278) |
| Changes in assets and liabilities | |||
| Accounts receivable | (5,969) | (4,383) | (3,845) |
| Inventory | (759) | 589 | (843) |
| Prepaid expenses and other current assets | 2,841 | (3,088) | (2,326) |
| Other assets | (1,988) | (3,185) | (1,572) |
| Accounts payable | (3,177) | (1,484) | 1,815 |
| Accrued liabilities | 11,255 | (3,273) | (6,254) |
| Other liabilities | 3,774 | (127) | 138 |
| Deferred revenue | (514) | 162 | 3,365 |
| Operating lease right-of-use assets and operating lease liabilities, net | (201) | 290 | 145 |
| Net cash provided by operating activities | 32,993 | 29,701 | 26,291 |
| Cash flows from investing activities | |||
| Business acquisitions, net of cash acquired | - | (35,105) | (94,792) |
| Purchases of assets through asset acquisition | - | (325) | (1,570) |
| Purchases of property and equipment | (1,271) | (2,898) | (1,772) |
| Proceeds on disposal of property and equipment | 497 | 1,234 | 332 |
| Capitalized software development costs | (4,801) | (12,830) | (12,446) |
| Net cash used in investing activities |
Source: Item 22 — CONTRACTS (FDD pages 87–88)
What This Means (2025 FDD)
According to Benjamin Franklin Plumbing's 2025 Franchise Disclosure Document, the net cash provided by operating activities in 2022 was $26,291. This indicates the amount of cash the company generated from its core business operations during that year. This figure is calculated by adjusting the net loss with non-cash items like depreciation, amortization, and changes in assets and liabilities.
For a prospective Benjamin Franklin Plumbing franchisee, understanding the net cash provided by operating activities is crucial. It reflects the company's ability to generate cash from its plumbing services and related activities. A positive cash flow from operations suggests that the business is sustainable and can cover its operating expenses.
However, it's important to note that this figure is specific to the franchisor, Benjamin Franklin Franchising SPE LLC, and not individual franchise locations. Franchisees should focus on their own operational performance and cash flow management. Reviewing these figures in the FDD can provide a benchmark, but individual results will vary based on location, management, and market conditions.