What was the amount of common stock repurchased by Corcoran in 2022?
Corcoran Franchise · 2025 FDDAnswer from 2025 FDD Document
the Company's common stock exceeds the initial exchange price of $24.49 per share. The Exchangeable Senior Notes were not dilutive as of December 31, 2024 as the closing price of the Company's common stock as of December 31, 2024 was less than the initial exchange price.
The Company was in a net loss position for the years ended December 31, 2024, 2023 and 2022. Therefore, the impact of incentive equity awards was excluded from the computation of dilutive loss per share as the inclusion of such amounts would be anti-dilutive.
Stock Repurchases
The Company may repurchase shares of its common stock under authorizations from its Board of Directors. Shares repurchased are retired and not displayed separately as treasury stock on the consolidated financial statements. The par value of the shares repurchased and retired is deducted from common stock and the excess of the purchase price over par value is first charged against any available additional paid-in capital with the balance charged to retained earnings. Direct costs incurred to repurchase the shares are included in the total cost of the shares.
The Company's Board of Directors authorized a share repurchase program of up to $300 million of the Company's common stock in February 2022. From the date of authorization through December 31, 2024, the Company repurchased and retired 8.8 million shares of common stock for $97 million. The Company has not repurchased any shares under the share repurchase program since 2022. As of December 31, 2024, $203 million remained available for repurchase under the share repurchase program. The purchase of shares under this plan reduces the weighted-average number of shares outstanding in the basic earnings per share calculation. The Company is subject to limitations on share repurchases, which include compliance with the terms of our debt agreements.
18. RISK MANAGEMENT AND FAIR VALUE OF FINANCIAL INSTRUMENTS
RISK MANAGEMENT
The following is a description of the Company's risk management policies.
Source: Item 23 — RECEIPTS (FDD pages 75–276)
What This Means (2025 FDD)
According to Corcoran's 2025 Franchise Disclosure Document, in February 2022, the Board of Directors authorized a share repurchase program of up to $300 million of the company's common stock. From the date of authorization through December 31, 2024, Corcoran repurchased and retired 8.8 million shares of common stock for $97 million. Corcoran has not repurchased any shares under the share repurchase program since 2022. As of December 31, 2024, $203 million remained available for repurchase under the share repurchase program.
Additionally, the table provided in the 2025 FDD shows the repurchase of common stock in 2022 as a deduction of $97 million from additional paid-in capital. This aligns with the statement that the company repurchased shares of common stock for $97 million during that period.
This information is relevant to potential franchisees as it provides insight into Corcoran's financial management and capital allocation strategies. Stock repurchases can impact shareholder value and the company's financial stability, which indirectly affects franchisees. Understanding these financial decisions can help franchisees assess the overall health and direction of the Corcoran franchise system.