What was the net debt to equity ratio for Bimbo Foods Bakeries Distribution in 2022?
Bimbo_Foods_Bakeries_Distribution Franchise · 2025 FDDAnswer from 2025 FDD Document
lows:
| 2024 | 2023 | 2022 | |
|---|---|---|---|
| Debt (i) | $ 150,905 $ | 109,935 $ | 84,054 |
| Cash and cash equivalents | (8,057) | (6,353) | (12,313) |
| Net debt | 142,848 | 103,582 | 71,741 |
| Equity | 127,698 | 111,628 | 127,602 |
| Net debt to equity | 1.12 times | 0.93 times | 0.56 t |
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 net debt to equity ratio in 2022 was 0.56 times. This ratio is a financial metric that compares a company's total debt to its shareholder equity. It indicates the extent to which the company is using debt to finance its assets.
A ratio of 0.56 times suggests that for every dollar of equity, Bimbo Foods Bakeries Distribution had 56 cents of net debt in 2022. This indicates a relatively conservative capital structure, implying that the company relied more on equity than debt to finance its operations during that year.
Prospective franchisees may find this information useful in assessing the financial stability and risk profile of Bimbo Foods Bakeries Distribution. A lower ratio generally suggests less financial risk, as the company is less leveraged and may be better positioned to handle economic downturns or unexpected expenses. However, franchisees should also consider other financial metrics and industry benchmarks to gain a comprehensive understanding of the company's financial health.