Does the provided text for Budget mention any specific financial thresholds?
Budget Franchise · 2025 FDDAnswer from 2025 FDD Document
[Item 21: FINANCIAL STATEMENTS]
| (In millions, except par value) | • | |
|---|---|---|
| As of December 2024 2027 | 2023 | |
| Assets Current assets: | ||
| Current assets. Cash and cash equivalents | $ 534 $ | 555 |
| Casil and Casil equivalents Receivables (net of allowance for doubtful accounts of $96 and $87, respectively) | 838 | 900 |
| Other current assets | 662 | 684 |
| Total current assets | 2,034 | 2,139 |
| Property and equipment, net | 697 | 719 |
| Operating lease right-of-use assets | 3,057 | 2,654 |
| Deferred income taxes | 1,786 | 1,868 |
| Goodwill | 1,071 | 1,099 670 |
| Other intangibles, net | 601 422 | 441 |
| Other non-current assets | 9,668 | 9,590 |
| Total assets exclusive of assets under vehicle programs | 9,000 | 3,350 |
| Assets under vehicle programs: | 60 | 85 |
| Program cash | 17,619 | 21,240 |
| Vehicles, net | 386 | 443 |
| Receivables from vehicle manufacturers and other | 1,308 | 1,211 |
| Investment in Avis Budget Rental Car Funding (AESOP) LLC—related party | 19.373 | 22,979 |
| $ 29,041 $ | 32,569 | |
| Total assets | ||
| Liabilities and stockholders' equity | ||
| Current liabilities: | $ 2,700 $ | 2,627 |
| Accounts payable and other current liabilities | $ 2,700 $ 20 | 32 |
| Short-term debt and current portion of long-term debt | 2,720 | 2,659 |
| Total current liabilities | ||
| Long-term debt | 5,373 | 4,791 |
| Long-term operating lease ilabilities | 2,484 | 2,117 |
| Other non-current liabilities | 470 | 528 |
| Total liabilities exclusive of liabilities under vehicle programs | 11,047 | 10,095 |
| Liabilities under vehicle programs: | 2.452 | 3.496 |
| Debt | 3,453 | 15.441 |
| Debt due to Avis Budget Rental Car Funding (AESOP) LLC-related party | 14,083 2,442 | 3,418 |
| Deferred income taxes | 333 | 462 |
| Other | 20,311 | 22,817 |
| Commitments and contingencies (Note 15) | ||
| Stockholders' equity: | ||
| Preferred stock, $0.01 par value—authorized 10 shares; none issued and outstanding, in each period | - | _ |
| Common stock, $0.01 par value—authorized 250 shares; issued 137 shares, in each period | 1 | 1 |
| Additional paid-in capital | 6,620 | 6,634 3,854 |
| Retained earnings | 2,029 | 3,854 |
| Accumulated other comprehensive loss | (210) (10.767) | (10,742) |
| Treasury stock, at cost—102 shares, in each period | (2,327) | (349) |
| Stockholders' equity attributable to Avis Budget Group, Inc. | (2,327) | (345) |
| Non-controlling interests | (2,317) | (343) |
| Total stockholders' equity | $ 29,041 $ | 32,569 |
| Total liabilities and stockholders' equity | 2017 | · · · · · · · · · · · · · · · · · · · |
| Y | 11, | |||
|---|---|---|---|---|
| 2024 | 2023 | 2022 | ||
| Revenues | $ | 11,789 | $ 12,008 | $ 11,994 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 79)
What This Means (2025 FDD)
According to Budget's 2025 Franchise Disclosure Document, Item 21 presents the financial statements of Avis Budget Group, Inc. These statements include consolidated balance sheets as of December 31, 2024, and 2023, along with related statements of operations, stockholders' equity, comprehensive income, and cash flows for the years ended December 31, 2024, 2023, and 2022. The financial data is presented in millions of dollars, except for per-share amounts. For example, the revenues for 2024, 2023 and 2022 were $11,789 million, $12,008 million and $11,994 million respectively.
The document includes various financial metrics such as cash and cash equivalents, receivables, assets under vehicle programs, and total assets. For instance, cash and cash equivalents were $534 million in 2024 and $555 million in 2023. Total assets were $29,041 million in 2024 and $32,569 million in 2023. These figures provide a detailed overview of Budget's financial health and performance over the stated periods.
These financial statements are crucial for prospective franchisees as they offer insights into the financial stability and operational performance of Avis Budget Group, Inc., which guarantees the performance of Budget's obligations under the license agreements. Reviewing these statements can help potential franchisees assess the financial risks and opportunities associated with investing in a Budget franchise. The document also mentions that Avis Budget Group, Inc. files state-specific guarantees of performance with the appropriate agencies in states where their licenses are registered to be offered and sold.