What was the net income for Churchs Chicken as of December 25, 2022?
Churchs_Chicken Franchise · 2025 FDDAnswer from 2025 FDD Document
| 553,590 | $ | 549,301 | | | | See accommunity nates | | | | | | |
| Dec | cember 31, | De | cember 25, | |
|---|---|---|---|---|
| 2023 | 2022 | |||
| Revenues | ||||
| Sales by company-operated restaurants | S | 156,268 | S | 141,936 |
| Franchise revenue | 58,655 | 54,276 | ||
| Rental and other income | 8,380 | 8,781 | ||
| Total revenues | 223,303 | 204,993 | ||
| Operating costs and expenses | ||||
| Company-operated restaurant expenses: | ||||
| Food, beverage and packaging | 48,155 | 45,690 | ||
| Payroll and benefits | 42,744 | 40,009 | ||
| Other operating expenses | 37,842 | 37,204 | ||
| General and administrative expenses | 21,716 | 22,378 | ||
| Depreciation and amortization | 19,924 | 18,600 | ||
| Impairment, special charges and (gain) loss on asset dispositions | 2,554 | (954) | ||
| Total operating costs and expenses | 172,935 | 162,927 | ||
| Operating income | 50,368 | 42,066 | ||
| Interest expense, net | 28,140 | 26,861 | ||
| Income before income taxes | 22,22 |
Source: Item 11 — FRANCHISOR'S ASSISTANCE, ADVERTISING, COMPUTER SYSTEMS AND TRAINING (FDD pages 35–43)
What This Means (2025 FDD)
According to Churchs Chicken's 2025 Franchise Disclosure Document, the net income as of December 25, 2022, was $12,300. This figure represents the company's profit after all expenses, including operating costs, interest, and income taxes, have been deducted from total revenues. This net income figure is an important indicator of the financial performance of Churchs Chicken.
For a prospective franchisee, understanding the franchisor's net income can provide insights into the overall financial health and stability of the company. A consistent history of net income suggests that the business model is sustainable and potentially profitable. However, it is essential to consider this figure in conjunction with other financial metrics and qualitative factors, such as market trends and brand reputation, to gain a comprehensive understanding of the franchise opportunity.
It's also important to note that this net income figure reflects the performance of Cajun Global LLC and its subsidiaries, which includes Churchs Chicken. The financial performance of the franchisor does not directly guarantee the success of an individual franchise location, but it does offer a view into the overall strength of the brand and its business operations. Prospective franchisees should conduct their own due diligence, including reviewing the financial performance of existing franchise locations and consulting with financial advisors, to assess the potential profitability of their investment.