What was the net loss 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) |
| Am |
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 loss for 2022 was $(35,630). This figure is part of the cash flows from operating activities detailed in the provided financial statement. It's important to note that this loss was reconciled with several adjustments to arrive at the net cash provided by operating activities.
These adjustments include depreciation and amortization, which added $50,771 back to the net loss. Other adjustments include changes in inventory reserve, bad debt expense, stock-based compensation, amortization of deferred loan costs, and deferred taxes. Additionally, there were changes in assets and liabilities such as accounts receivable, inventory, prepaid expenses, accounts payable, accrued liabilities, and deferred revenue, all of which contributed to the reconciliation of the net loss to net cash provided by operating activities.
For a prospective franchisee, understanding these financial details is crucial. While the net loss indicates an initial deficit, the adjustments show how the company's accounting practices affect its cash flow. The net cash provided by operating activities in 2022 was $26,291, suggesting that the business generated positive cash flow from its operations despite the reported net loss. This information helps in assessing the financial health and operational efficiency of Benjamin Franklin Plumbing.