What were the restaurant sales for Checkers for the period January 3, 2022 through January 2, 2023?
Checkers Franchise · 2025 FDDAnswer from 2025 FDD Document
| Successor | Predecessor | |||||||
|---|---|---|---|---|---|---|---|---|
| Year Ended December 30, 2024 | Period from June 17, 2023 through January 1, 2024 | Period from January 3, 2023 through June 16, 2023 | ||||||
| Revenues | ||||||||
| Restaurant sales | $ | 255,474 | $ | 141,217 | $ | 130,191 | ||
| Franchise and retail royalty revenue | 35,389 | 18,608 | 15,385 | |||||
| Franchise fees and other income | 9,518 | 5,317 | 4,061 | |||||
| Total revenues | 300,381 | 165,142 | 149,637 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkers' 2025 Franchise Disclosure Document, restaurant sales are divided into two categories: sales from company-operated restaurants and franchise and retail royalty revenue. For the fiscal year ended January 2, 2023 (Predecessor), the restaurant sales from company-operated stores totaled $130,191,000 for the period from January 3, 2023, through June 16, 2023. The franchise and retail royalty revenue totaled $15,385,000 for the same period.
It is important to note that the financial statements include both 'Successor' and 'Predecessor' periods due to a Recapitalization Agreement. The 'Predecessor' period refers to the time before the agreement, while the 'Successor' period refers to the time after. This distinction is important for understanding the financial performance of Checkers before and after the recapitalization.
For a prospective franchisee, understanding these revenue streams is crucial. Restaurant sales reflect the direct revenue from company-operated stores, while franchise and retail royalty revenue indicates the income Checkers receives from its franchisees. Reviewing these figures over different periods can provide insights into the overall health and stability of the Checkers brand.