What was the total amount of Carvel's long-term debt as of December 29, 2024?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
1,748 and $1,143 in 2024 and 2023, respectively | | 44,272 | 37,049 | | Inventories | | 1,128 | 978 | | Prepaid expenses and other current assets | | 12,118 | 9,263 | | Advertising funds assets | | 9,927 | 7,643 | | Intercompany receivables from Parent | | 3,277 | 3,277 | | Total current assets | | 115,063 | 110,454 | | Property, equipment, leasehold improvements and land, net | | 71,417 | 71,199 | | Operating lease assets, net | | 62,676 | 69,535 | | Goodwill | | 122,714 | 122,714 | | Intangible assets, net | | 496,479 | 495,389 | | Long-term other assets | | 13,986 | 13,305 | | Total assets | $ | 882,335 | $ 882,596 |
Consolidated balance sheets (cont'd)
| December 29, 2024 | December 31, 2023 | |
|---|---|---|
| Liabilities and Member's Deficit | ||
| Current liabilities: | ||
| Accounts payable | $ 5,320 | $ 8,395 |
| Accrued expenses and other liabilities | 81,587 | 75,840 |
| Income taxes payable | 3,851 | 7,620 |
| Advertising funds liabilities | 8,418 | 8,942 |
| Current portion of deferred revenue | 3,688 | 3,149 |
| Current portion of operating lease liabilities |
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the company's long-term debt as of December 29, 2024, was $1,335,842. This figure represents the debt remaining after subtracting debt discounts and issuance costs, as well as the current portion of the debt.
It's important to note that this long-term debt is part of Carvel's overall liabilities, which totaled $1,642,209 as of the same date. The long-term debt consists of senior secured notes under a securitized financing facility. These notes have been issued by GoTo Foods Funding LLC and Jamba Juice Funding LLC, indirect subsidiaries of GTFL.
A prospective Carvel franchisee should consider the implications of Carvel's debt when evaluating the financial stability of the company. While debt isn't inherently negative, high levels of debt can indicate increased financial risk. Reviewing the details of the debt, such as interest rates and repayment schedules, can provide a more comprehensive understanding of Carvel's financial obligations. Additionally, understanding the relationship between Carvel and its parent company, GTFL, is important for assessing the overall financial health of the Carvel brand.