What was the net income for Eos Worldwide in 2022?
Eos_Worldwide Franchise · 2025 FDDAnswer from 2025 FDD Document
,550 | | Liabilities and Member's Equity | | | | | Current liabilities: | | | | | Deferred revenue | $ | 2,277,196 | $ 1,351,039 | | Total liabilities | | 2,277,196 | 1,351,039 | | Member's equity | _ | 1,419,942 | 788,511 | | Total liabilities and member's equity | $ | 3,697,138 | $ 2,139,550 |
Statements of Operations Years Ended December 31, 2023 and 2022
| 2023 | 2022 |
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Source: Item 22 — CONTRACTS (FDD page 74)
What This Means (2025 FDD)
According to Eos Worldwide's 2025 Franchise Disclosure Document, the net income for 2022 was $2,743,127. This figure represents the company's profit after all expenses, including the cost of revenues, general and administrative expenses, and other expenses like interest, have been deducted from its total revenue. In 2022, Eos Worldwide's revenue was $16,551,321, with a gross profit of $12,954,720 and operating income of $3,693,581.
For a prospective franchisee, understanding the franchisor's financial performance is crucial. A strong net income indicates financial stability and efficient management, which can be reassuring. However, it's important to consider how this net income was achieved. For example, the document also shows a member distribution of $3,500,000 in 2022, which significantly impacts the member's equity. This distribution should be examined in the context of the overall financial strategy of Eos Worldwide.
It is also worth noting that the financial statements were audited by external auditors, and their report expressed an unmodified opinion, indicating that the financial statements present fairly the financial position of Eos Worldwide. This adds a layer of credibility to the reported figures. Franchisees should analyze these figures in conjunction with other financial metrics and trends to assess the overall health and potential of the franchise system.