What was the amount of depreciation for Bimbo Foods Bakeries Distribution's cost of sales in 2024?
Bimbo_Foods_Bakeries_Distribution Franchise · 2025 FDDAnswer from 2025 FDD Document
lows:
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Cost of sales: | _ | ||
| Raw materials | $ 124,918 | $ 131,052 | $ 129,454 |
| Salaries and benefits | 37,304 | 34,234 | 33,342 |
| Freight, fuel and maintenance | 17,670 | 17,092 | 17,008 |
| Depreciation | 8,887 | 7,698 | 7,750 |
| Professional services and consulting | 1,615 | 1,514 | 1,665 |
| Short-term and low value lease expense | 1,489 | 1,342 | 1,125 |
| Indirect taxes | 1,135 | 1,031 | 988 |
| Travel expenses | 248 | 248 | 171 |
| Other production expenses | 141 | 158 | 1,822 |
| $ 193,407 | $ 194,369 | $ 193 |
Source: Item 14 — Other Accounts Payable and Accrued Liabilities (FDD pages 312–476)
What This Means (2025 FDD)
According to Bimbo Foods Bakeries Distribution's 2025 Franchise Disclosure Document, the depreciation included in the cost of sales for 2024 was $8,887.
This figure represents the accounting expense recognized for the reduction in value of assets used in the production and sale of Bimbo Foods Bakeries Distribution's goods. These assets could include machinery, equipment, and vehicles used in the baking and distribution processes. Depreciation is a non-cash expense, meaning it doesn't involve an actual outflow of cash, but it reflects the consumption of assets over time.
For a prospective franchisee, understanding the depreciation component of the cost of sales can provide insights into the capital intensity of the business. Higher depreciation expenses may indicate a greater reliance on fixed assets, which could translate to higher initial investment costs and ongoing maintenance requirements. It's important to note that this depreciation figure is part of the overall cost of sales, which also includes raw materials, salaries, freight, and other production-related expenses. A franchisee should consider all these factors when evaluating the financial performance and potential profitability of a Bimbo Foods Bakeries Distribution franchise.