What was the amount of revenue recognized by Carvel during the fiscal year ended December 29, 2024?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
| December 29, | December 31, | |
|---|---|---|
| For the fiscal years ended: | 2024 | 2023 |
| Franchise revenues satisfied over time | $ 4,398 | $ 5,600 |
| Franchise revenues satisfied at a point in time | 344,654 | 331,846 |
| Franchise revenues | $ 349,052 | $ 337,446 |
| December 29, | December 31, | |
|---|---|---|
| For the fiscal years ended: | 2024 | 2023 |
| Operating lease income | $ 6,469 | $ 9,240 |
| Variable lease income | 121 | 112 |
| Franchise and other rental revenues | $ 6,590 | $ 9,352 |
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, several categories of revenue were recognized during the fiscal year ended December 29, 2024. Franchise revenues satisfied at a point in time totaled $344,654, while franchise revenues satisfied over time amounted to $4,398. Additionally, operating lease income was $6,469, variable lease income was $121, and franchise and other rental revenues totaled $6,590.
These figures provide a detailed breakdown of how Carvel generates revenue through its franchise operations. The revenues satisfied at a point in time likely represent initial franchise fees and other upfront payments, while revenues satisfied over time probably include royalties and ongoing fees collected from franchisees. The lease income figures reflect revenue generated from leasing properties to franchisees.
A prospective Carvel franchisee should carefully consider these revenue streams when evaluating the financial performance of the franchise system. Understanding the different sources of revenue and their relative contributions can help franchisees assess the overall health and stability of the Carvel brand. It's important to note that these figures represent system-wide revenue and do not reflect the revenue or profitability of individual franchise locations.