What was the net income for Carls in the first period presented in the financial statements?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
| Carl's Jr. Restaurants LLC | Carl's Jr. Funding LLC | Carl's Jr. SPV Guarantor LLC | Hardee's Restaurants LLC | Hardee's Funding LLC | Hardee's SPV Guarantor LLC | Eliminations | The CKE Securitization Entities | |
|---|---|---|---|---|---|---|---|---|
| Net income (loss) | $ 98,695 $ | 50,946 $ | 60,644 $ | 86,604 $ | 38,244 $ | 33,389 $ | (270,725) $ | 97,797 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 79–80)
What This Means (2024 FDD)
According to Carls's 2024 Franchise Disclosure Document, the net income for Carl's Jr. Restaurants LLC in the first period presented in the financial statements is $98,695. The financial statement also includes figures for Carl's Jr. Funding LLC ($50,946), Carl's Jr. SPV Guarantor LLC ($60,644), Hardee's Restaurants LLC ($86,604), Hardee's Funding LLC ($38,244), Hardee's SPV Guarantor LLC ($33,389), Eliminations (-$270,725), and The CKE Securitization Entities ($97,797).
These figures represent the net income (loss) for each of the listed entities within the CKE Securitization structure. It's important to note that "Eliminations" refers to adjustments made to avoid double-counting revenue or expenses when consolidating financial statements of related entities. The CKE Securitization Entities represent the combined results of these entities after eliminations.
A prospective franchisee should focus on the performance of Carl's Jr. Restaurants LLC and the overall CKE Securitization Entities to understand the financial health of the brand. Reviewing these figures over multiple periods, if available, would provide a better understanding of trends and stability. Additionally, understanding the relationships between these entities and the purpose of the securitization structure would be beneficial.