How much did Christian Brothers Automotive receive from proceeds from the sale of leased properties in 2024?
Christian_Brothers_Automotive Franchise · 2025 FDDAnswer from 2025 FDD Document
d 2023
| 2024 | 2023 | |
|---|---|---|
| Revenues | $ 151,946,558 | $ 137,196,643 |
| Operating Costs and Expenses | ||
| Cost of revenues | 48,621,617 | 42,731,504 |
| Selling, general and administrative expenses | 59,470,531 | 50,507,014 |
| Compensation expense associated with ESOP | 5,089,319 | 10,121,713 |
| Total operating costs and expenses | 113,181,467 | 103,360,231 |
| Income from operations | 38,765,091 | 33,836,412 |
| Other Income (Expense) | ||
| Gains on sale-leaseback transactions | 3,633,369 | 2,044,287 |
| Gains on sale of leased properties | 18,119,450 | 3,613,496 |
| Interest income | 2,547,773 | 1,234,707 |
| Interest expense | (10,391,857) | (6,596,136) |
| Other income, net | 1,219,419 | (293,984) |
| Total other income, net | 15,128,154 | 2,370 |
| Net income before state income taxes | 53,893,245 | 33,838,782 |
| State Income Tax Expense | (780,073) | (1,799,431) |
| Net income | 53,113,172 | 32,039,351 |
| Less Net Income (Loss) Attributable to Noncontrolling Interest | 8,275,053 | (592,784) |
| Net income attributable to Christian Brothers | $ 44,838,119 | $ 31,446,567 |
| Automotive Corporatio |
Source: Item 23 — RECEIPTS (FDD pages 76–372)
What This Means (2025 FDD)
According to Christian Brothers Automotive's 2025 Franchise Disclosure Document, the company received $18,119,450 from gains on the sale of leased properties in 2024. This is a notable increase compared to the $3,613,496 gained in 2023. These gains are part of the 'Other Income (Expense)' category in the consolidated statements of income.
For a prospective franchisee, this indicates that Christian Brothers Automotive actively manages its real estate holdings and can generate significant revenue through property sales. This can be a positive sign of the company's financial health and business acumen. The company engages in the business of investing in, owning, and selling the real estate and facilities from which its franchise locations operate. These real estate sales are typically made to third parties, some of which are under sale-leaseback agreements.
It's important to note that these gains are not directly related to the operational performance of individual franchise locations. However, the franchisor's financial stability and profitability can indirectly benefit franchisees through enhanced support, brand recognition, and investment in system-wide improvements. Franchisees should consider these figures as part of their overall assessment of the franchisor's financial strength and business strategy.