What is the auditor's opinion on Del Taco's financial statements?
Del_Taco Franchise · 2025 FDDAnswer from 2025 FDD Document
process, which included a control related to the review of the revenue growth rate assumptions used in the projected financial information. We evaluated the reasonableness of the revenue growth rate assumptions for the Del Taco brand reporting unit by comparing the revenue growth rate assumptions to industry reports. We also compared the Company's revenue growth rate assumptions to historical revenue growth rate trends to assess the Company's ability to accurately forecast. In addition, we performed sensitivity analyses over the Company's revenue growth rate assumptions to assess the impact any changes to those assumptions could have had on the Company's fair value estimate.
/s/ KPMG LLP
We have served as the Company's auditor since 1986.
San Diego, California November 20, 2024
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 58)
What This Means (2025 FDD)
Based on the 2025 Franchise Disclosure Document, the audit firm KPMG LLP has served as the auditor for Jack in the Box Inc., which includes Del Taco, since 1986. As part of their audit process, KPMG LLP reviewed the revenue growth rate assumptions used in the projected financial information for the Del Taco brand. They evaluated the reasonableness of these assumptions by comparing them to industry reports and historical revenue growth rate trends to assess the company's ability to accurately forecast. Additionally, they performed sensitivity analyses to assess the impact of any changes to these assumptions on the company's fair value estimate.
KPMG LLP is an independent registered public accounting firm, and their audit was conducted in accordance with the standards of the Public Company Accounting Oversight Board (United States). The audit included performing procedures to assess the risks of material misstatement of the consolidated financial statements, whether due to error or fraud, and performing procedures that respond to those risks. These procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements. The audit also included evaluating the overall presentation of the consolidated financial statements and assessing the accounting principles used and significant estimates made by management.
KPMG LLP's responsibilities included expressing an opinion on whether the consolidated financial statements are presented fairly, in all material respects, in conformity with U.S. generally accepted accounting principles. The auditor's opinion indicates that the financial statements of Jack in the Box Inc., which includes Del Taco, fairly present the financial condition, results of operations, and cash flows of the company in accordance with U.S. GAAP. This opinion provides assurance to potential investors and franchisees regarding the reliability of the financial information presented in the FDD.