What was the total value of Carls' current liabilities as of January 31, 2024, in thousands of dollars?
Carls Franchise · 2024 FDDAnswer from 2024 FDD Document
HEETS
(In thousands, except shares and par values)
| Jan | uary 31, 2023 | Jan | uary 31, 2022 | |
|---|---|---|---|---|
| ASSETS | ||||
| Current assets: | 281/457 $257 | |||
| Cash and cash equivalents | 107,853 | $ | 130,508 | |
| Cash and cash equivalents - restricted | 16,053 | 16,059 | ||
| Accounts receivable, net | 37,541 | 39,123 | ||
| Inventories | 2,999 | 4,220 | ||
| Prepaid expenses | 6,183 | 21,605 | ||
| Other current assets | 83 | 24 | ||
| Total current assets | - | 170,712 | 211,539 | |
| Property and equipment, net | 371,572 | 362,149 | ||
| Operating lease assets | 448,064 | _ | ||
| Goodwill | 540,083 | 540,083 | ||
| Intangible assets, net | 793,030 | 844,385 | ||
| Other assets, net | 29,806 | 27,413 | ||
| Total assets | $ | 2,353,267 | $ | 1,985,569 |
| LIABILITIES AND EQUITY | ||||
| Current liabilities: | ||||
| Current portion of long-term debt | $ | 13,700 | $ | 11,800 |
| Current portion of finance leases | 1,268 | 1,466 | ||
| Current portion of operating leases | 85,529 | _ | ||
| Accounts payable | 28,159 | 34,312 | ||
| Other current liabilities | 66,753 | 105,608 | ||
| Total current liabilities | 195,409 | _ | 153,186 | |
| Long-term debt, less current portion | 1,116,405 | 1,127,614 | ||
| Finance leases, less current portion | 14,428 | 15,164 | ||
| Operating leases, less current portion | 381,495 | |||
| Deferred income tax liabilities, net | 175,131 | 175,309 | ||
| Other long-term liabilities | 277,497 | 349,110 | ||
| Total liabilities | 2,160,365 | 1,820,383 | ||
| Commitments and contingencies (Notes 8, 9, 10 and 14) | ||||
| Equity: | ||||
| Common stock, $0.01 par value; 100 shares authorized, issued and outstanding as of January 31, 2023 and 2022 | _ | |||
| Additional paid-in capital | 734,314 | 733,537 | ||
| Notes receivable from CKE Inc. | (441,866) | |||
| Accumulated deficit | (540,277) | (125,600) | ||
| Accumulated other comprehensive loss | (1,135) | (885) | ||
| Total equity | _ | 192,902 | - | 165,186 |
| Total liabilities and equity | $ | 2,353,267 | $ | 1,985,569 |
CKE RESTAURANTS HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands)
| | Fiscal 2023 | Fiscal 2022 | |-------------------------------------|-------------|---------------| | Revenue: | | | | Company-operated restaurants $ | 356,810 | $ 362,069 | | Franchised restaurants and other | 302,674 | 293,157 | | Advertising funds revenue | 172,854 | 177,307 | | Total revenue | 832,338 | 832,533 | | Operating costs and expenses: | | | | Company-operated restaurants: | | | | Food and packaging | 99,374 | 102,682 | | Payroll and other employee benefits | 117,354 | 111 ,880 | | Occupancy and other | 101 ,083 | 93,627 | | Total company-operated restaurants | 317,811 | 308,189 | | Franchised restaurants and other | 94,432 | 98,556 | | Advertising funds expense | 200,436 | 192,948 | | General and administrative | 119,083 | 142,511 | | Facility action charges, net | 4,802 | (1 ,875) | | Total operating costs and expenses | 736,564 | 740,329 | | Operating income | 95,774 | 92,204 | | Interest expense | (62,900) | (63,303) | | Other income, net | 3,751 | 4,458 | | Income before income taxes | 36,625 | 33,359 | | Income tax expense | 8,865 | 8,620 | | Net income $ | 27,760 | $ 24,739 |
CKE RESTAURANTS HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (In thousands)
| Fi | scal 2023 | Fi | scal 2022 | |
|---|---|---|---|---|
| Net income | S | 27,760 | $ | 24,739 |
| Other comprehensive loss: | ||||
| Foreign currency translation adjustments | (250) | (186) | ||
| Other comprehensive loss | (250) | (186) | ||
| Comprehensive income | S | 27,510 | $ | 24,553 |
CKE RESTAURANTS HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF EQUITY
(In thousands, except shares)
| | Shares | Common Stock Amount | | Additional Paid-In Capital | Notes Receivable from CKE Inc.
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 79–80)
What This Means (2024 FDD)
According to Carls' 2024 Franchise Disclosure Document, the total current liabilities as of January 31, 2024, were $188,434 thousand. This figure represents the sum of all short-term financial obligations that Carls is expected to settle within one year. These obligations include items such as the current portion of long-term debt, current portion of finance leases, current portion of operating leases, accounts payable, and other current liabilities.
For a prospective franchisee, understanding the current liabilities of a franchise system like Carls is crucial. It provides insight into the company's short-term financial health and its ability to meet its immediate obligations. A high level of current liabilities relative to current assets could indicate potential liquidity issues, which might affect Carls' ability to support its franchisees or invest in future growth.
It's important to note that this figure is just one data point in assessing the overall financial health of Carls. A prospective franchisee should also consider other factors such as the company's long-term debt, profitability, and cash flow. Consulting with a financial advisor is recommended to fully understand the implications of Carls' financial statements.