What was the reported value of Circle K's equipment as of April 28, 2024?
Circle_K Franchise · 2025 FDDAnswer from 2025 FDD Document
uipment | (2,396,831) | (3,224,997) | | Deferred income tax liabilities | (2,396,831) | (3,224,997) | | | $ 206,960 | $ (397,314) |
4. Property and Equipment
Property and equipment consisted of the following:
| April 27, 2025 | April 28, 2024 | |
|---|---|---|
| Leasehold improvements | $ 40,713 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 99–100)
What This Means (2025 FDD)
According to Circle K's 2025 Franchise Disclosure Document, the value of equipment as of April 28, 2024, was reported as $37,441,588. This figure represents the cost of equipment before accounting for accumulated depreciation.
This information is part of Circle K's consolidated financial statements, which include balance sheets, income statements, and cash flow statements. These statements provide a detailed overview of the company's financial position and performance over the stated periods. The financial statements are audited, and the auditor's opinion indicates that the statements present fairly the financial position of TMC Franchise Corporation, a wholly-owned subsidiary of Circle K Stores Inc.
For a prospective franchisee, understanding the value of Circle K's equipment can be useful in assessing the overall financial health and capital investment of the company. It's important to note that this value reflects the equipment owned by the franchisor, TMC Franchise Corporation, and not necessarily the equipment required to be purchased by an individual franchisee to operate a Circle K store. Franchisees should refer to other sections of the FDD to understand their own potential equipment costs.