What was the total income (loss) from operations for Cornwell Quality Tools?
Cornwell_Quality_Tools Franchise · 2025 FDDAnswer from 2025 FDD Document
| Cornwell Quality Tools Company | CQT Kennedy, LLC | Eliminations | Consolidated | |
|---|---|---|---|---|
| SALES Less: Dealer weekly volume incentives | $ 251,915,684 4,853,504 | $ 22,648,171 | $ (12,862,937) | $ 261,700,918 4,853,504 |
| Sales - Net | 247,062,180 | 22,648,171 | (12,862,937) | 256,847,414 |
| COST OF GOODS SOLD | 178,516,201 | 23,648,832 | (12,862,937) | 189,302,096 |
| Gross profit | 68,545,979 | (1,000,661) | - | 67,545,318 |
| EXPENSES | ||||
| Shipping and warehousing | 6,300,877 | 2,300 | 6,303,177 | |
| Selling | 21,791,074 | 646,761 | 22,437,835 | |
| General and administrative | 13,068,550 | 1,259,995 | - | 14,328,545 |
| Employee stock ownership plan contribution | 5,000,000 | - | - | 5,000,000 |
| Goodwill amortization expense | - | 848,375 | - | 848,375 |
| Total expenses | 46,160,501 | 2,757,431 | - | 48,917,932 |
| Income (loss) before financing operations | 22,385,478 | (3,758,092) | • | 18,627,386 |
| FINANCING OPERATIONS | ||||
| Revenues | 19,598,514 | - | - | 19,598,514 |
| Other financing income | 1,069,676 | 1,069,676 | ||
| Total financing income | 20,668,190 | - | - | 20,668,190 |
| Expenses | 7,213,203 | _ | · · | 7,213,203 |
| Income from financing operations | 13,454,987 | _ | _ | 13,454,987 |
| Income (loss) from operations | 35,840,465 | (3,758,092) | - | 32,082,373 |
| OTHER INCOME (EXPENSE) | ||||
| Interest expense | (239,390) | (8,261) | - | (247,651) |
| Interest income | 325,161 | - | 325,161 | |
| Other expense - Net | (65,670) | (200) | - | (65,870) |
| Other income (expense) - Net | 20,101 | (8,461) | _ | 11,640 |
| Income (loss) before taxes | 35,860,566 | (3,766,553) | 32,094,013 | |
| PROVISION FOR INCOME TAXES | 8,172,529 | 31,969 | - | 8,204,498 |
| NET INCOME (LOSS) | $ 27,688,037 | $ (3,798,522) | $ - | $ 23,889,515 |
| Cornwell | ||||
|---|---|---|---|---|
| Quality Tools | CQT | |||
| Company | Kennedy, LLC | Eliminations | Consolidated | |
| SALES | $ 275,055,223 | 23,256,268 | (14,828,378) | $ 283,483,113 |
| Less: Dealer weekly volume incentives | 4,922,200 | 203,951 | (1-1,020,570) | 5,126,151 |
| Sales - Net | 270,133,023 | 23,052,317 | (14,828,378) | 278,356,962 |
| COST OF GOODS SOLD | 201,176,341 | 22,307,409 | (14,828,378) | 208,655,372 |
| Gross profit | 68,956,682 | 744,908 | 69,701,590 | |
| EXPENSES | ||||
| Shipping and warehousing | 7,464,552 | 8,506 | - | 7,473,058 |
| Selling | 24,118,591 | 721,478 | - | 24,840,069 |
| General and administrative | 15,326,832 | 1,087,207 | - | 16,414,039 |
| Employee stock ownership plan contribution | 5,000,000 | - | - | 5,000,000 |
| Goodwill amortization expense | 848,375 | 848,375 | ||
| Total expenses | 51,909,975 | 2,665,566 | _ | 54,575,541 |
| Income (loss) before financing operations | 17,046,707 | (1,920,658) | 15,126,049 | |
| FINANCING OPERATIONS | ||||
| Revenues | 25,865,411 | _ | 25,865,411 | |
| Other financing income | 1,544,284 | 1,544,284 | ||
| Total financing income | 27,409,695 | - | - | 27,409,695 |
| Expenses | 11,076,187 | 11,076,187 | ||
| Income from financing operations | 16,333,508 | - | 16,333,508 | |
| Income (loss) from operations | 33,380,215 | (1,920,658) | 31,459,557 | |
| OTHER INCOME (EXPENSE) | ||||
| Interest expense | (96,266) | (15) | - | (96,281) |
| Interest income | 1,317,267 | · · · | - | 1,317,267 |
| Other income - Net | 9,309 | 4,429 | - | 13,738 |
| Other income - Net | 1,230,310 | 4,414 | • | 1,234,724 |
| Income (loss) before taxes | 34,610,525 | (1,916,244) | 32,694,281 | |
| PROVISION FOR INCOME TAXES | 8,039,225 | 29,019 | - | 8,068,244 |
| NET INCOME (LOSS) | $ 26,571,300 | $ (1,945,263) | $ - | $ 24,626,037 |
Source: Item 23 — RECEIPT (FDD pages 101–373)
What This Means (2025 FDD)
According to Cornwell Quality Tools' 2025 Franchise Disclosure Document, the income (loss) from operations is detailed in the consolidated financial statements. In 2022, the income from operations for Cornwell Quality Tools Company was $35,840,465, while CQT Kennedy, LLC experienced a loss of ($3,758,092). This resulted in a consolidated income from operations of $32,082,373.
In 2021, Cornwell Quality Tools Company reported an income from operations of $33,380,215, and CQT Kennedy, LLC had a loss of ($1,920,658). The consolidated income from operations for 2021 totaled $31,459,557.
These figures represent the profitability of Cornwell Quality Tools' core business activities before considering other income, expenses, or taxes. A prospective franchisee should consider these operational income figures, alongside other financial statement details, to assess the overall financial health and stability of Cornwell Quality Tools.