What was the net rent income for Hardees in fiscal year 2025?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
--------| | · | | Company- Operated | F | Franchise & Other | | | | | | | | Company- Operated | F | ranchise & Other | | Fiscal: | | | | | | | | | | | | | | | | 2026 | $ | 1,593 | $ | 1,304 | $ | 16,542 | $ | 69,475 | | | | | | | | 2027 | | 1,617 | | 1,245 | | 15,644 | | 61,728 | | | | | | | | 2028 | | 1,631 | | 1,190 | | 14,576 | | 53,511 | | | | | | | | 2029 | | 1,642 | | 1,049 | | 12,897 | | 42,803 | | | | | | | | 2030 | | 1,678 | | 977 | | 9,
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the net rent income for fiscal year 2025 was $2,625. This figure is derived from the total rent revenue of $92,709, which includes minimum rent revenue of $86,996 and variable lease payments of $5,713, less the total operating lease cost of $90,084, which includes operating lease costs of $88,491 and variable lease costs of $1,593.
Net rent income represents the earnings Hardees retains after deducting all rental expenses from the rental revenue it generates. For a prospective franchisee, understanding the net rent income provides insight into the financial performance of Hardees's leasing activities. It indicates how efficiently Hardees manages its property portfolio and generates income from its real estate holdings.
It's important to note that this net rental income is specific to Hardees as a company and may not directly translate to the rental obligations or income potential of an individual franchise location. Franchisees should carefully review their specific lease agreements and conduct their own financial analysis to determine their expected rental expenses and potential revenue.