How much did Hardees spend on purchases of property and equipment in fiscal year 2025?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
| Loss | Total Equity | |||||
|---|---|---|---|---|---|---|
| Balance as of January 31, 2023 | 100 | $ | $ 734,314 | $ (540,277) | $ (1,135) | $192,902 |
| Share-based compensation | _ | 2,124 | _ | _ | 2,124 | |
| Other comprehensive loss | _ | _ | (22) | (22) | ||
| Net Income | 45,129 | 45,129 | ||||
| Balance as of January 31, 2024 | 100 | _ | 736,438 | (495,148) | (1,157) | 240,133 |
| Share-based compensation | _ | 444 | _ | _ | 444 | |
| Other comprehensive income | _ | _ | _ | 1,102 | 1,102 | |
| Other loss | 88 | _ | 88 | |||
| Cash dividends to CKE Holding Corporation | _ | _ | _ | (90,000) | _ | (90,000) |
| Net income | _ | _ | 20,791 | _ | 20,791 | |
| Balance as of January 31, 2025 | 100 | $ | $ 736,970 | $ (564,357) | $ (55) | $172,558 |
CKE RESTAURANTS HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF CASH FLOWS (In thousands)
| Fiscal 2025 | Fiscal 2024 | |
|---|---|---|
| Cash flows from operating activities: | ||
| Net income | $ 20,791 | $ 45,129 |
| Adjustments to reconcile net income to net cash provided by operating activities: | ||
| Depreciation and amortization | 52,776 | 51,372 |
| Amortization of deferred financing costs | 3,499 | 3,417 |
| Loss on early extinguishment of Series 2018-1 Class A-2-II Notes | 1,283 | _ |
| Share-based compensation | 444 | 2,124 |
| Gain on early termination of lease agreement associated with a financing method sale-leaseback restaurant property | (1,386) | _ |
| Gain on refranchising transaction | _ | (153) |
| Gain on disposal of other property and equipment. | (2,635) | (602) |
| Deferred income taxes | (11,869) | (3,738) |
| Provision for losses on impairments, accounts receivable and other items, net | 11,625 | 508 |
| Net changes in operating assets and liabilities: | ||
| Receivables, inventories, prepaid expenses and other current and non-current assets | (15,444) | (14,140) |
| Estimated liability for self-insurance | (1,009) | (1,253) |
| Accounts payable and other current and long-term liabilities | (2,264) | 7,604 |
| Operating lease asset and liabilities, net | (241) | 581 |
| Net cash provided by operating activities. | 90,849 | |
| Cash flows from investing activities: | ||
| Purchases of property and equipment | (36,620) | (35,514) |
| Acquisitions of restaurants, net of cash received | (3,019) | |
| Proceeds from refranchising transactions | _ | 2,092 |
| Proceeds from sale of other property and equipment | 8,128 | 2,346 |
| Other investing activities | 219 | (7,346) |
| Net cash used in investing activities | (28,384) | (41,441) |
| Cash flows from financing activities: | ||
| Net change in book overdraft | (298) | (1,472) |
| Repayments of Class A- |
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the company's purchases of property and equipment totaled $36,620 during fiscal year 2025. This figure is part of the cash flows from investing activities reported in the financial statements. For comparison, Hardees's purchases of property and equipment in fiscal year 2024 were $35,514.
These figures reflect Hardees's capital expenditures on items like buildings, equipment, and leasehold improvements. Reviewing these expenditures over time can reveal trends in Hardees's investment strategy. Significant increases could indicate expansion or upgrades, while decreases might suggest cost-cutting or a focus on other areas.
A prospective franchisee should consider these figures in relation to their own potential investment in property and equipment. While these numbers reflect Hardees's overall spending, a new franchisee will need to make their own investments to establish and maintain their individual Hardees location. Understanding Hardees's broader capital expenditure trends can provide context for the franchisee's own financial planning.
It's important to note that these figures represent the company's overall spending and may not directly correlate with the investment required for a single franchise location. A prospective franchisee should inquire about the typical investment in property and equipment for a new Hardees franchise, as well as any specific requirements or recommendations from the franchisor.