What was the comprehensive income (loss) for Golden Krust Caribbean Restaurant in 2022?
Golden_Krust_Caribbean_Restaurant Franchise · 2024 FDDAnswer from 2024 FDD Document
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CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS)
| Year Ended December 31, 2022 | 2021 | |
|---|---|---|
| REVENUES | ||
| Royalties | $ 3,566,598 $ | 3,041,453 |
| Advertising Charges | 1,503,874 | 982,160 |
| Franchising Fees | 95,050 | 99,592 |
| Total Franchise Revenues | 5,165,522 | 4,123,205 |
| Company owned restaurant sales | 2,896,104 | 2,976,981 |
| Cost of sales | (1,226,078) | (1,226,592) |
| Restaurant Gross Profit | 1,670,026 | 1,750,389 |
| Total Gross Profit | 6,835,548 | 5,873,594 |
| SELLING, GENERAL, AND ADMINISTRATIVE EXPENSES | 5,729,761 | 7,611,396 |
| INCOME (LOSS) FROM OPERATIONS | 1,105,787 | (1,737,802) |
| OTHER INCOME (EXPENSE): | ||
| Interest income | 8,756 | 4,634 |
| Employee retention credit | - | 580,958 |
| Related party loan forgiveness | - | 567,961 |
| Interest expense | (51,235) | (40,408) |
| Other income (expense) | 6,208 | (12,623) |
| Total Other (Expense) Income, net | (36,271) | 1,100,522 |
| INCOME (LOSS) BEFORE PROVISION FOR | ||
| IN |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 35)
What This Means (2024 FDD)
According to Golden Krust Caribbean Restaurant's 2024 Franchise Disclosure Document, the comprehensive income for the year ended December 31, 2022, was $1,141,393. This figure represents the total change in equity during the period, combining net income and other comprehensive income items. In contrast, the comprehensive loss for the year ended December 31, 2021, was ($664,096).
The increase in comprehensive income from 2021 to 2022 indicates a significant improvement in Golden Krust Caribbean Restaurant's financial performance. This change could be attributed to various factors, such as increased revenues, decreased expenses, or other favorable financial events. Prospective franchisees should investigate the reasons behind this improvement to determine if it is sustainable and indicative of future performance.
Understanding the components of comprehensive income, such as net income and other comprehensive income (loss), is crucial for assessing the overall financial health of Golden Krust Caribbean Restaurant. While net income provides a snapshot of profitability, comprehensive income offers a broader view by including items that are not typically reflected in net income. Franchisees should analyze these figures in conjunction with other financial statement data to gain a complete understanding of the company's financial position.