What was the average net income from operations (before taxes) for Byrider stores in the second quartile?
Byrider Franchise · 2025 FDDAnswer from 2025 FDD Document
| First Quartile = 25 Stores | First Quartile Average | % Met or Exceed Avg | First Quartile Median | Second Quartile = 25 Stores | Second Quartile Average | % Met or Exceed Avg | Second Quartile Median | ||||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Annual Vehicle Sales6 | 387 | 377 | Annual Vehicle Sales6 | 312 | 298 | ||||||
| Sales Revenue2,11 | 6,805,906 | 71.91% | 48.00% | 6,698,856 | 74.89% | Sales Revenue2,11 | 5,217,681 | 73.60% | 52.00% | 5,307,469 | 76.32% |
| Finance Revenue3,11 | 2,658,688 | 28.09% | 48.00% | 2,541,467 | 26.29% | Finance Revenue3,11 | 1,871,091 | 26.40% | 48.00% | 1,747,149 | 25.12% |
| Total Revenue4,11 | 9,464,594 | 100.00% | 44.00% | 9,190,129 | 101.19% | Total Revenue4,11 | 7,088,772 100.00% | 48.00% | 6,954,666 100.00% | ||
| Cost of Goods Sold5 | 6,097,281 | 64.42% | 44.00% | 5,967,833 | 67.84% | Cost of Goods Sold5 | 4,608,086 | 65.01% | 52.00% | 4,677,851 | 67.26% |
| Total Gross Profit7 | 3,367,314 | 35.58% | 40.00% | 3,168,721 | 32.07% | Total Gross Profit7 | 2,480,686 | 34.99% | 36.00% | 2,373,537 | 34.13% |
| Total Operating Expense8 | 2,095,272 | 22.14% | 48.00% | 2,068,291 | 18.07% | Total Operating Expense8 | 1,891,161 | 26.68% | 40.00% | 1,683,037 | 24.20% |
| *Net Income from Operations (before taxes)9 | 1,272,041 | 13.44% | 48.00% | 1,257,180 | 14.39% | *Net Income from Operations (before taxes)9 | 589,525 | 8.32% | 52.00% | 607,581 | 8.74% |
| Net Income per Vehicle Sold 10 | 3,287 | 3,339 | Net Income per Vehicle Sold 10 | 1,887 | 2,039 |
Source: Item 19 — Financial Performance Representations (FDD pages 63–81)
What This Means (2025 FDD)
According to Byrider's 2025 Franchise Disclosure Document, the average net income from operations (before taxes) for stores in the second quartile is presented in Item 19. Based on data from 25 stores, the average net income from operations (before taxes) for the second quartile is $589,525, representing 8.32% of total revenue. The median net income for this quartile is $607,581, with 52.00% of stores meeting or exceeding the average.
For a prospective Byrider franchisee, this indicates the potential profitability of stores performing in the second quartile. However, it's important to note that this is an average, and individual store performance can vary. Factors such as location, management, and local market conditions can influence a store's financial results. The median value being slightly higher than the average suggests that some stores in this quartile performed significantly better, pulling the average up.
It is also important to consider the percentage of stores exceeding the average, which in this case is 52.00%. This means that slightly more than half of the stores in the second quartile achieved a net income above $589,525. The FDD also provides data for other quartiles, allowing potential franchisees to compare the financial performance of different store groups. Reviewing the complete Item 19 and understanding the factors that contribute to higher performance is crucial for making an informed investment decision.
It is worth noting that a separate table provides data from a smaller sample size of two stores per quartile. In this table, the average net income from operations (before taxes) for the second quartile is $1,056,366, representing 12.74% of total revenue. The median net income for this quartile is also $1,056,366, with 50.00% of stores meeting or exceeding the average. This discrepancy highlights the importance of considering the sample size and the specific characteristics of the stores included in each analysis.