What was the non-cash interest and loss on debt extinguishment for Management Recruiters in 2023 (in thousands)?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
es | 79 | - | - | - | - | - | | Net income | - | - | - | - | 6,135 | 6,135 | | Balance at December 31, 2023 | 13,997 | $ 14 | $ (146) | $ 34,527 | $ 28,337 | $ 62,732 |
HireQuest, Inc. Consolidated Statement of Cash Flow
| Year ended | |||||
|---|---|---|---|---|---|
| December 31, | December 31, | ||||
| (in thousands) | 2023 | 2022 | |||
| Cash flows from operating activities | |||||
| Net income | $ 6,135 | $ | 12,458 | ||
| Loss (income) from discontinued operations | 300 | (483) | |||
| Net income from continuing operations | 6,435 | 11,975 | |||
| Adjustments to reconcile net income to net cash provided by operations: | |||||
| Depreciation and amortization | 2,793 | 2,040 | |||
| Non-cash interest and loss on debt extinguishment | 354 | 95 | |||
| Allowance for losses |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 65–66)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, the non-cash interest and loss on debt extinguishment for the year ending December 31, 2023, was $354 thousand. For comparison, the corresponding value for the year ending December 31, 2022, was $95 thousand.
This figure is part of the adjustments used to reconcile net income to net cash provided by operations. It represents expenses or losses that do not involve actual cash outlays during the period but are recognized for accounting purposes.
For a prospective Management Recruiters franchisee, understanding this number in the context of the full financial statements is crucial. It provides insight into the non-cash components affecting the company's cash flow and profitability. Monitoring these non-cash adjustments can help franchisees assess the overall financial health and stability of Management Recruiters.