What was the deferred income tax benefit for Big O Tires in 2023?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
The accompanying notes are an integral part of these consolidated financial statements.
(A Joint Venture of Michelin North America, Inc. and Sumitomo Corporation of Americas) Notes to Consolidated Financial Statements March 31, 2025, 2024 and 2023
(USO in thousands, unless otherwise noted)
1. Nature of Business and Basis of Presentation
Operations
TBC Holdings, LLC and subsidiaries ("Holdings" or the "Company") is one of the United States' largest independent marketers of tires for the automotive replacement market. The Company's operating activities are comprised of its franchise and wholesale divisions. The Company operates or acts as a franchisor of retail tire and automotive service centers throughout the United States of America, Canada, Europe, and other countries under the following trade names: Big O Tires ("Big O") and Midas. The Company operates as a wholesaler of tires and automotive parts primarily in the United States of America, Canada, and Mexico under the following trade names: TBC Brands, NlW, and TBC de Mexico. As of March 31, 2025, the Company had 461 franchised Big O stores, operated 147 warehouse locations, and had 1,167 Midas stores included in assets held for sale. As of March 31, 2024, the Company had effectively sold, closed, or disposed of all its retail locations and had 1,623 franchised stores and operated 149 warehouse locations. As of March 31, 2023, the Company had a total of 2,246 retail locations, consisting of 595 Companyoperated locations included in discontinued operations, 28 Company-operated locations included in continuing operations, 2 mobile operations, and 1,621 franchised stores. The Company operated 151 warehouse locations as of March 31 , 2023.
Ownership Structure
Source: Item 23 — RECEIPTS (FDD pages 102–535)
What This Means (2025 FDD)
I am unable to provide the exact figure for the deferred income tax benefit for Big O Tires in 2023, as this specific financial detail is not present within the provided excerpts from the 2025 Franchise Disclosure Document. The excerpts do contain consolidated financial statements from March 31, 2025, 2024, and 2023, along with notes, but the specific figure for deferred income tax benefit is not disclosed.
To obtain this information, a prospective Big O Tires franchisee should review the complete 2025 FDD, specifically the financial statements and related notes. If the information is still not present, they should consider asking Big O Tires directly for the deferred income tax benefit figure for 2023 during their due diligence process. Understanding this figure can be important for assessing the overall financial health and tax strategy of the company.
It is common practice for franchisors to include comprehensive financial statements in their FDDs, but the level of detail can vary. While some franchisors might provide a detailed breakdown of their tax positions, others may only present high-level figures. Therefore, it is essential for potential franchisees to carefully examine the financial information provided and ask for clarification on any items that are unclear or missing.