What was the net loss for Checkers for the period ended January 3, 2022 (Predecessor)?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
(26,178) | | (22,686) | | | | | Loss before income tax expense (benefit) | | (2,030) | | (98,648) | | (26,576) | | (10,272) | | | | | Income tax expense (benefit) | | 540 | | (7,542) | | (2,952) | | (206) | | | | | Net loss | $ | (2,570) | $ | (91,106) | $ | (23,624) | $ | (10,066) | | | |
| For the Periods Ended |
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Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, the net loss for the period ended January 3, 2022 (Predecessor) was $10,066. This figure is derived from the consolidated statements of operations included in the financial statements.
Net loss represents the amount by which a company's expenses exceed its revenues. For prospective Checkers franchisees, a net loss in a prior financial year could signal potential financial instability or challenges within the franchise system. It's important to consider this figure in the context of Checkers' overall financial performance, including more recent financial data, trends, and any explanatory notes provided in the FDD.
Franchisees should investigate the reasons for the net loss, whether it was due to specific one-time events, broader economic factors, or operational issues within Checkers. Understanding the context behind the loss can help a franchisee assess the potential risks and opportunities associated with investing in a Checkers franchise. Reviewing subsequent financial statements to see if the company has improved its profitability is also advisable.