What were the total operating costs and expenses for Hardees in fiscal year 2024?
Hardees Franchise · 2025 FDDAnswer from 2025 FDD Document
| 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 finance leases | 1,515 | 1,268 | ||
| Current portion of operating leases | 79,623 | 85,529 | ||
| Accounts payable | 23,855 | 28,159 | ||
| Other current liabilities. | 71,641 | 66,753 | ||
| Total current liabilities | 188,434 | 195,409 | ||
| Long-term debt, less current portion | 1,108,022 | 1,116,405 | ||
| Finance leases, less current portion | 23,370 | 14,428 | ||
| Operating leases, less current portion | 366,233 | 381,495 | ||
| Deferred income tax liabilities, net | 171,393 | 175,131 | ||
| Other long-term liabilities | 263,631 | 277,497 | ||
| Total liabilities | 2,121,083 | 2,160,365 | ||
| Commitments and contingencies (Notes 8, 9, 10 and 14) | ||||
| Equity: | ||||
| Common stock, $0.01 par value; 100 shares authorized, issued and outstanding as of January 31, 2024 and 2023 | • | _ | _ | |
| Additional paid-in capital | 736,438 | 734,314 | ||
| Accumulated deficit | (495,148) | (540,277) | ||
| Accumulated other comprehensive loss | (1,157) | (1,135) | ||
| Total equity | 240,133 | 192,902 | ||
| Total liabilities and equity | 2,361,216 | $ | 2,353,267 |
CKE RESTAURANTS HOLDINGS, INC. AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (In thousands)
| |
Source: Item 21 — Financial Statements (FDD pages 84–85)
What This Means (2025 FDD)
According to Hardees's 2025 Franchise Disclosure Document, the total operating costs and expenses for the company in fiscal year 2024 were $730,216. This figure includes several components, such as company-operated restaurant expenses, franchised restaurant expenses, advertising fund expenses, general and administrative costs, and facility action charges.
Specifically, the company-operated restaurants' expenses totaled $327,169, which includes costs for food and packaging ($97,879), payroll and other employee benefits ($122,640), and occupancy and other expenses ($106,650). The expenses for franchised restaurants and other costs amounted to $96,654. Advertising fund expenses were $184,744, general and administrative expenses were $118,797, and facility action charges, net, were $2,852.
Prospective franchisees should consider these operating costs and expenses when evaluating the financial viability of a Hardees franchise. Understanding the breakdown of these costs can help franchisees better manage their own expenses and improve their profitability. It's also important to note that these figures reflect the company's overall expenses and may not directly translate to the costs a franchisee will incur, as franchisee costs can vary based on location, operational efficiency, and other factors.