What was the net (gains) on equity securities for Best Western in 2023 (in thousands)?
Best_Western Franchise · 2025 FDDAnswer from 2025 FDD Document
| (in thousands) | 2023 | 2022 |
|---|---|---|
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||
| Excess of revenues over expenses | $ 89,020 | $ 87,769 |
| Adjustments to reconcile excess of revenues over | ||
| expenses to net cash provided by operating activities: | ||
| Depreciation and amortization | 18,162 | 14,748 |
| Provision for doubtful accounts | 794 | (1,650) |
| Net losses (gains) on Restricted Rabbi Trust investments | (996) | 1,977 |
| Net losses on available for sale debt securities | 479 | - |
| Net (gains) on equity securities | (11,629) | (761) |
Source: Item 23 — Receipts (FDD pages 108–413)
What This Means (2025 FDD)
According to Best Western's 2025 Franchise Disclosure Document, the net (gains) on equity securities for 2023 was ($11,629) in thousands. This figure is part of the adjustments made to reconcile the excess of revenues over expenses to net cash provided by operating activities.
This number reflects the changes in the value of Best Western's equity investments during the year. A negative value, as in this case, indicates that Best Western experienced a net loss on its equity securities during 2023. This loss is factored into the overall cash flow from operating activities, impacting the company's financial performance.
For a prospective franchisee, this information provides insight into how Best Western manages its investments and how these investments can impact the company's overall financial health. While not directly related to the operations of a franchised property, it does reflect the financial stewardship of the parent company, which can be an important consideration for franchisees.