What was the total amount of depreciation and amortization expenses for Card My Yard in 2024?
Card_My_Yard Franchise · 2025 FDDAnswer from 2025 FDD Document
| 2024 | 2023 | ||
|---|---|---|---|
| Revenues | $47,493,372 | $38,119,222 | |
| Cost of revenues | 14,071,864 | 10,711,574 | |
| Gross profit | 33,421,508 | 27,407,648 | |
| Operating expenses: | |||
| Selling, general, and administrative | 28,732,110 | 24,077,839 | |
| Depreciation and amortization | 11,953,138 | 12,782,735 | |
| Total operating expenses | 40,685,248 | 36,860,574 | |
| Loss from operations | (7,263,740) | (9,452,926) | |
| Other income (expense): Interest | |||
| expense | (5,462,474) | (5,530,375) | |
| Other income (expense) | 43,809 | (218,954) | |
| Total other expense, net | (5,418,665) | (5,749,329) | |
| Loss before income taxes | (12,682,405) | (15,202,255) | |
| Income tax benefit (provision) | 432,399 | (765,698) | |
| Net loss | $(12,250,006) | $(15,967,953) |
Source: Item 23 — RECEIPTS (FDD pages 84–259)
What This Means (2025 FDD)
According to Card My Yard's 2025 Franchise Disclosure Document, the total depreciation and amortization expenses for the company in 2024 was $11,953,138. This figure reflects the expenses recognized from the depreciation of tangible assets and the amortization of intangible assets over their useful lives during that year. For a prospective franchisee, understanding these expenses is crucial as they contribute to the overall operating expenses of Card My Yard, which impacts the net profitability of the business.
Depreciation typically accounts for the reduction in value of assets like equipment and vehicles used in the business, while amortization relates to intangible assets such as goodwill or trademarks. These non-cash expenses are important to consider when evaluating the financial health and performance of Card My Yard. Although these are non-cash expenses, they impact the overall profitability and should be factored into any financial projections or business plans.
Franchisees should be aware of how these expenses are calculated and how they might affect the company's financial statements. It is also important to note that while amortization expense resulting from goodwill and intangible assets was $11,662,770 in 2024, this is a separate figure from the combined depreciation and amortization. Understanding the difference between these figures can provide a clearer picture of the company's financial management and asset utilization.