What was the reported amount for 'Operating lease assets' for Hardee's Restaurants LLC?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
| | (86,871) | 129,113 | | Long-term debt, less current portion | ' | , | | - 45,715 | , | _ | (80,871) | 1,112,394 | | Finance leases, less current portion | | ' | _ | - - 15,783 | · · · · · · · · · · · · · · · · · · · | _ | _ | 21,279 | | • | | | _ | - 13,783 - 77,068 | | _ | _ | 314,846 | | Operating leases, less current portion | · · · · · · · · · · · · · · · · · · · | | _ | | | | | | | Other long-term liabilities | | | | - 171,552 | | | (9/, 971) | 235,470 | | Total liabilities | 378,238 | 622,0 | - | 310,118 | 589,566 | · | (86,871) | 1,813,102 | | Members' equity (deficit): | 402.261 | (500.0) | 17) | 500.046 | (505.020) | | | (241, 626) | | Members' equity (deficit) | 403,361 | | | 523,849 | | | | (241,636) | | Total liabilities and members' deficit | $ 781,599 | $ 39,14 | | - $ 833,967 | $ 3,627 | | $ (86,871) | $ 1,571,466 |
THE CKE SECURITIZATION ENTITIES COMBINING CONSOLIDATING BALANCE SHEET
(In thousands)
| Carl's Jr. Restaurants LLC | Carl's Jr. Funding LLC | Carl's Jr. SPV Guarantor LLC | Hardee's Restaurants LLC | Hardee's Funding LLC | Hardee's SPV Guarantor LLC | Eliminations | The CKE Securitization Entities | |
|---|---|---|---|---|---|---|---|---|
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ 2,117 | $ 3,996 | $ | $ 3,685 | $ 2,542 | $ | $ | $ 12,340 |
| Cash and cash equivalents - restricted | 15,942 | _ | _ | _ | _ | _ | 15,942 | |
| Accounts receivable, net | 11,160 | _ | _ | 10,588 | _ | _ | _ | 21,748 |
| Due from affiliates | 11,625 | 20,328 | _ | 56,241 | 238 | _ | (88,007) | 425 |
| Inventories | 559 | _ | _ | 2,293 | _ | _ | 2,852 | |
| Prepaid expenses | 112 | 22 | _ | 314 | 22 | _ | 470 | |
| Other curr |
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Hardee's 2025 Franchise Disclosure Document, Hardee's Restaurants LLC reported operating lease assets of $91,121. This figure represents the value of assets that Hardee's leases for its operations, such as restaurant locations or equipment. Operating leases are distinct from finance leases, where the lessee essentially assumes ownership of the asset over the lease term. The value of operating lease assets reflects the company's reliance on leased properties and equipment to conduct its business.
For a prospective Hardee's franchisee, understanding the operating lease assets is crucial because it provides insight into the company's financial obligations and how it manages its resources. While this specific figure pertains to Hardee's Restaurants LLC, franchisees will also enter into lease agreements for their individual locations. Therefore, it's important to consider the lease terms and conditions, as they will significantly impact the franchisee's ongoing expenses and profitability. Franchisees should carefully evaluate their own lease arrangements and factor in these costs when projecting their potential earnings.
The FDD also lists operating lease assets for Carl's Jr. Restaurants LLC, which amounted to $304,577. When combined with Hardee's Restaurants LLC's operating lease assets, the total for these entities is $395,698. Reviewing these figures in the context of the broader financial statements can help potential franchisees assess the financial health and stability of the overall organization. It is also important to note that these figures are as of a specific date, and the actual amounts may fluctuate over time due to various factors, including new leases, lease terminations, and changes in accounting standards.
In summary, the operating lease assets figure provides a snapshot of Hardee's financial commitments related to leased assets. Prospective franchisees should consider this information in conjunction with other financial data in the FDD to gain a comprehensive understanding of the company's financial position and the potential costs associated with operating a Hardee's franchise.