What was the total revenue generated by Carbones Pizzeria?
Carbones_Pizzeria Franchise · 2025 FDDAnswer from 2025 FDD Document
tockholder's equity | $ 1,454,272 |
Consolidated Statement of Operations For the Year Ended October 31, 2024
| Royalties | $ 980,131 |
|---|---|
| Company restaurant sales | 726,642 |
| Advertising fund revenues | 289,604 |
| Rebate revenue | 159,266 |
| Total revenues | 2,155,643 |
| Cost of company restaurant sales | |
| Food and beverage | 226,979 |
| Labor | 624,395 |
| Direct expenses | 191,618 |
| Total cost of company restaurant sales | 1,042,992 |
| Operating expenses | |
| Marketing and advertising | 237,855 |
| General and administrative | 735,475 |
| Total operating expenses | 973,330 |
| Income from operations | 139,321 |
| Other income (expense) | |
| Interest income | 35,160 |
| Interest expense | (4,108) |
| Other income |
Source: Item 22 — CONTRACTS (FDD page 30)
What This Means (2025 FDD)
According to Carbones Pizzeria's 2025 Franchise Disclosure Document, the company's total revenues for the year ended October 31, 2024, were $2,155,643. This revenue is comprised of several streams, including royalties from franchised locations, sales from the company-owned restaurant, advertising fund revenues, and rebate revenue. Royalties from franchised locations accounted for $980,131 of the total revenue. Company restaurant sales contributed $726,642. Advertising fund revenues amounted to $289,604, and rebate revenue added $159,266 to the total.
For a prospective franchisee, understanding the revenue streams of Carbones Pizzeria is crucial. The reliance on royalties from franchised locations indicates the importance of a successful franchise network. The company-owned restaurant sales provide an additional source of revenue and potentially serve as a model for franchisees. The advertising fund revenues suggest a collective effort in marketing and promotion, which benefits all franchisees. Rebate revenue could be an incentive program that further enhances profitability.
It's important to note that while total revenues are provided, the document also details various expenses. These include the cost of company restaurant sales, broken down into food and beverage ($226,979), labor ($624,395), and direct expenses ($191,618), totaling $1,042,992. Additionally, operating expenses are listed as marketing and advertising ($237,855) and general and administrative ($735,475), totaling $973,330. These expenses should be considered alongside the revenue figures to understand the overall profitability of Carbones Pizzeria. The income from operations is $139,321.
Prospective franchisees should carefully analyze these figures to assess the financial health and potential profitability of a Carbones Pizzeria franchise. Understanding the revenue streams, associated costs, and operating expenses will enable them to make an informed decision about investing in the franchise. It is also advisable to compare these figures with industry benchmarks and the performance of other franchise systems to gauge the competitiveness and potential returns of a Carbones Pizzeria franchise.