As of March 31, 2025, what financial information is available for Big O Tires?
Big_O_Tires Franchise · 2025 FDDAnswer from 2025 FDD Document
Part A of this financial performance representation includes the historical average annual Gross Revenues for U.S. franchised Big O Tires Stores that operated from January 1, 2024 through December 31, 2024 (the "2024 Year") and met the following criteria: (i) the Store had operated for at least 12 consecutive months as of December 31, 2024, and (ii) the Store reported Gross Revenues data to us for each month of the full 2024 Year. As of the end of the 2024 Year, there were a total of 463 franchised Big O Tires Stores in operation in the U.S., however only 457 met the criteria (the "Part A Reporting Stores"). There were 6 Stores that closed for various reasons during 2024, none of which were open less than 12 months. Company-owned outlets are not included in this Part A table.
Of the 457 Part A Reporting Stores, as of December 31, 2024: (a) 25 (about 5%) were franchised PDF Stores, and 432 (about 95%) were franchised BFF Stores; and (b) the 25 franchised PDF Stores constituted 100% of the franchised PDF Stores, and the 432 franchised BFF Stores constituted about 98.6% of all the franchised BFF Stores. As of December 31, 2024, the 457 Part A Reporting Stores were about 98.7% of the 463 franchised Stores of any category of Store (that is, franchised PDF Stores and franchised BFF Stores).
We separated the Part A Reporting Stores into 4 quartiles based on average Gross Revenues, with the Top Quartile reflecting the results of those with the highest average Gross Revenues for the 2024 Year and the 4th Quartile reflecting those with the lowest average. The 2nd and 3rd Quartiles reflect results of those Big O Tires Stores with the second highest and second lowest average, respectively. The results of
the Top 10% of Part A Reporting Stores (46 Stores) and Bottom 10% of Part A Reporting Stores (46 Stores), in terms of Gross Revenues, are also stated.
Of the Part A Reporting Stores included, 187 Stores, or 40.9%, exceeded the overall average annual Gross Revenues of all Part A Reporting Stores of $2,824,712.79
| Outlet Type | Year | Outlets at the Start of the Year | Outlets at the End of the Year | Net Change |
|---|---|---|---|---|
| Franchised | FYE March 31, 2023 | 434 | 460 | +26 |
| FYE March 31, 2024 | 460 | 462 | +2 | |
| FYE March 31, 2025 | 462 | 461 | -1 | |
| Company-Owned | FYE March 31, 2023 | 32 | 17 | -15 |
| FYE March 31, 2024 | 17 | 0 | -17 | |
| FYE March 31, 2025 | 0 | 0 | 0 | |
| Total Outlets | FYE March 31, 2023 | 466 | 477 | +11 |
| FYE March 31, 2024 | 477 | 462 | -15 | |
| FYE March 31, 2025 | 462 | 461 | -1 |
B.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 101–102)
What This Means (2025 FDD)
According to Big O Tires' 2025 Franchise Disclosure Document, several types of financial information are available. The FDD includes the historical average annual Gross Revenues for U.S. franchised Big O Tires stores that operated from January 1, 2024, through December 31, 2024, provided they operated for at least 12 consecutive months and reported gross revenues data each month of 2024. Out of 463 franchised stores, 457 met these criteria. Company-owned outlets are excluded from this data.
Additionally, the FDD contains an analysis of gross revenues and costs, including average Total Income, Gross Profit, and Net Income, along with expense and margin information, for franchised U.S. Big O Tires stores that operated from January 1, 2024, through December 31, 2024, and met specific criteria related to operation duration, financial data reliability, and consistent ownership. Of the 463 franchised outlets, 280 met these criteria. The average Total Income of these stores was $2,941,799, with associated percentages for Cost of Goods Sold (42.1%), Gross Profit (57.9%), Total Labor (26.7%), Total Operating Expense (49.1%), and Net Income From Operations (8.8%).
Furthermore, the document includes consolidated financial statements of TBC Holdings, LLC, the parent company of Big O Tires, as of March 31, 2025, and 2024, and for each of the three years in the period ended March 31, 2025. These statements are accompanied by notes that are an integral part of the financials. The financial statements are related to TBC Holdings, LLC, not specifically Big O Tires. The financial statements are audited by independent public accountants.