What was the reported net total property and equipment for Hardees in 2024?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the\neffectiveness of the Company's internal control. Accordingly, no such opinion is expressed.
- Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the consolidated financial statements.
- Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company's ability to continue as a going concern for a
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the net total property and equipment for January 31, 2024, was $377,436. This figure represents the value of Hardees's physical assets, such as land, buildings, equipment, and leasehold improvements, after accounting for accumulated depreciation and amortization. The corresponding value for the previous year, January 31, 2023, was $371,572.
For a prospective Hardees franchisee, understanding the net value of property and equipment is crucial for assessing the financial health and capital intensity of the franchise system. A significant investment in property and equipment may indicate higher initial costs and ongoing capital expenditure requirements. It also reflects the scale of operations and the resources Hardees has at its disposal to support its franchisees.
It's important to note that these figures represent the property and equipment owned by the company itself, not necessarily the investments required by individual franchisees to set up their own Hardees locations. Franchisees should refer to other sections of the FDD, such as Item 7 (Initial Investment), to understand the specific costs associated with establishing a new franchise, including property, equipment, and related expenses. Consulting with existing franchisees and financial advisors can provide further insights into the actual investment levels and potential returns.