What was the total franchise revenue for Carvel for the fiscal year ended December 31, 2023?
Carvel Franchise · 2025 FDDAnswer from 2025 FDD Document
evaluated events occurring subsequent to December 29, 2024 through March 7, 2025, the date these consolidated financial statements were available for issuance, and determined that no subsequent event required recognition or disclosure.
2 Revenue
The Company recognizes franchise revenues, Company SBR revenues, franchise and other rental
Source: Item 23 — Receipts (FDD pages 100–353)
What This Means (2025 FDD)
According to Carvel's 2025 Franchise Disclosure Document, the total franchise revenue for the fiscal year ended December 31, 2023, was $337,446. This figure represents the combined revenue from franchise activities recognized over time ($5,600) and at a point in time ($331,846).
For a prospective Carvel franchisee, this revenue figure provides insight into the overall financial performance of the franchise system. It reflects the income Carvel receives from its franchisees through various fees and royalties. Understanding the components of this revenue, such as revenues recognized over time versus at a point in time, can help a franchisee better understand Carvel's revenue model and how their contributions impact the franchisor's financial health.
It's important to note that this figure represents Carvel's revenue, not the revenue of individual franchise locations. A franchisee's own revenue will depend on factors such as location, operating costs, and local market conditions. However, the franchisor's revenue can be an indicator of the brand's overall strength and stability.
In addition to franchise revenues, Carvel also generates revenue from other sources, such as operating lease income and variable lease income. These additional revenue streams can contribute to the overall financial stability of the company, which can indirectly benefit franchisees through continued support and brand development.