What amount of sublease income did Budget receive for property leases in 2022?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
erms. We believe that, based on current market conditions, the net proceeds from the sale of these vehicles at the end of their lease terms will equal or exceed their net book values and therefore have not recorded a liability related to guaranteed residual values.
The components of lease expense are as follows:
| The components of lease expense are as follows: | Year E | Ended December 31, |
|---|
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, the company recorded sublease income related to property leases. In 2022, Budget's sublease income was $5 million.
For a prospective franchisee, understanding the sublease income can be important for assessing the overall financial health and stability of Budget. Sublease income can offset the costs associated with property leases, contributing to the company's profitability.
It's worth noting that these figures reflect the company's overall performance and may not directly translate to the financial performance of an individual franchise location. However, it provides insight into how Budget manages its lease obligations and generates revenue from its property portfolio.