What was the reported total value of Hardees' assets on January 31, 2023?
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 reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.
KPMG LLP
Nashville, Tennessee April 10, 2024
CKE RESTAURANTS HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS
(In thousands, except shares and par values)
| Jan | uary 31, 2024 | Jan | uary 31, 2023 | |
|---|---|---|---|---|
| ASSETS | . ' | _ | ||
| Current assets: | ||||
| Cash and cash equivalents | . $ | 130,566 | $ | 107,853 |
| Cash and cash equivalents - restricted | 15,942 | 16,053 | ||
| Accounts receivable, net | 38,438 | 37,541 | ||
| Inventories | 3,029 | 2,999 | ||
| Prepaid expenses | 13,562 | 6,183 | ||
| Other current assets | 80 | 83 | ||
| Total current assets | 201,617 | " | 170,712 | |
| Property and equipment, net | 377,436 | 371,572 | ||
| Operating lease assets | 424,719 | 448,064 | ||
| Goodwill | 539,421 | 540,083 | ||
| Intangible assets, net | 777,538 | 793,030 | ||
| Other assets, net | 40,485 | 29,806 | ||
| Total assets | . $ | 2,361,216 | $ | 2,353,267 |
| LIABILITIES AND EQUITY | ||||
| Current liabilities: | ||||
| Current portion of long-term debt | . $ | 11,800 | $ | 13,700 |
| Current portion of |
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the total value of Hardees' assets as of January 31, 2023, was $2,353,267. This figure represents the sum of all assets held by the company at that time, including current assets, property and equipment, operating lease assets, goodwill, intangible assets, and other assets. This number is taken from the consolidated balance sheets.
For a prospective franchisee, this number provides a snapshot of the financial health and scale of Hardees. A substantial asset base can indicate stability and the capacity to support franchisees. It is important to note that this value is a consolidated figure, which includes the assets of Hardees's National Advertising Fund and local co-operative advertising funds.
It is also important to consider the liabilities alongside the assets. As of the same date, Hardees reported total liabilities of $2,160,365. The difference between total assets and total liabilities yields the total equity, which was reported as $192,902. Analyzing these figures together provides a more complete understanding of Hardees's financial position.
When evaluating this information, a prospective franchisee should also consider the factors that could influence these figures, such as inflation, market conditions, and any ongoing or potential conflicts that could impact Hardees's international markets. Reviewing the notes to the financial statements and discussing these figures with Hardees's financial team can provide further clarity.