Does the provided text specify any requirements for future financial reporting periods for Checkersrallys?
Checkersrallys Franchise · 2025 FDDAnswer from 2025 FDD Document
lities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Fiscal Year
The Company's fiscal reporting periods consist of 52 or 53 weeks ending on the Monday closest to December 31. References included herein to "year" or "years" ended represent fiscal years. The fiscal year ended December 30, 2024 consisted of 52 weeks. The periods January 3, 2023 to June 16, 2023 and June 17, 2023 to January 1, 2024 consisted of 24 and 28 weeks, respectively.
Due to the presentation of the Successor and Predecessor periods, the fiscal year ended December 30, 2024 refers to the period from January 2, 2024 through December 30, 2024 (Successor) and the period ended January 1, 2024 refers to the period from June 17, 2023 to January 1, 2024 (Successor).
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 91)
What This Means (2025 FDD)
According to Checkersrallys's 2025 Franchise Disclosure Document, the company's fiscal reporting periods consist of 52 or 53 weeks, ending on the Monday closest to December 31. References to "year" or "years" ended represent fiscal years. The first, second, and third quarters of a fiscal year consist of three 4-week periods, while the fourth quarter consists of either a 4-week or 5-week period.
For example, the fiscal year ended December 30, 2024, consisted of 52 weeks. The periods from January 3, 2023, to June 16, 2023, and from June 17, 2023, to January 1, 2024, consisted of 24 and 28 weeks, respectively. These details are important for prospective franchisees as they provide insight into how Checkersrallys structures its financial reporting and accounting practices, which can affect how a franchisee interprets financial data provided by the company.
Understanding the fiscal year structure is crucial for comparing financial performance across different periods and for budgeting and financial planning. The consistency in reporting periods (either 52 or 53 weeks) allows for standardized comparisons, but franchisees should be aware of the varying lengths of the fourth quarter, which could impact quarterly financial results. Additionally, the FDD specifies that due to the presentation of Successor and Predecessor periods, the fiscal year ended December 30, 2024 refers to the period from January 2, 2024 through December 30, 2024 (Successor) and the period ended January 1, 2024 refers to the period from June 17, 2023 to January 1, 2024 (Successor). The period ended June 16, 2023 refers to the period from January 3, 2023 to June 16, 2023 (Predecessor).