What was the revenue for Management Recruiters for the year ended December 31, 2022?
Management_Recruiters Franchise · 2024 FDDAnswer from 2024 FDD Document
Retained earnings | | 28,337 | 25,542 | | Total stockholders' equity | | 62,732 | 58,254 | | Total liabilities and stockholders' equity | $ | 103,826 | $ 103,283 |
HireQuest, Inc. Consolidated Statements of Income
| Year ended | ||||||
|---|---|---|---|---|---|---|
| December 31, | December 31, | |||||
| (in thousands, except per share data) | 2023 | 2022 | ||||
| Franchise royalties | $ | 35,813 | $ | 28,897 | ||
| Service revenue | 2,069 | 2,055 | ||||
| Total revenue | 37,882 | 30,952 | ||||
| Selling, general and administrative expenses | 24,448 | 12,874 | ||||
| Depreciation and amortization | 2,793 | 2,040 | ||||
| Income from operations | 10,641 | 16,038 | ||||
| Other miscellaneous expense | (1,738) | (2,047) | ||||
| Interest income | 263 | 247 | ||||
| Interest and other financing expense | (1,386) | (368) | ||||
| Net income before income taxes | 7,780 | 13,870 | ||||
| Provision for income taxes | 1,345 | 1,895 | ||||
| Net income from continuing operations | 6,435 | 11,975 | ||||
| (Loss) income from discontinued operations, net of tax | (300) | 483 | ||||
| Net income | $ | 6,135 | $ | 12,458 | ||
| Basic earnings per share | ||||||
| Continuing operations | $ | 0.47 | $ | 0.87 | ||
| Discontinued operations | (0.02) | 0.04 | ||||
| Total | $ | 0.45 | $ | 0.91 | ||
| Diluted earnings per share | ||||||
| Continuing operations | $ |
Source: Item 21 — FINANCIAL STATEMENTS (FDD pages 65–66)
What This Means (2024 FDD)
According to Management Recruiters' 2024 Franchise Disclosure Document, total revenue for the year ended December 31, 2022, was $30,952,000. This figure is derived from franchise royalties of $28,897,000 and service revenue of $2,055,000.
For a prospective franchisee, understanding the components of Management Recruiters' revenue can provide insights into the brand's income streams. Franchise royalties, which constitute the majority of the revenue, likely come from the fees paid by individual franchise owners. Service revenue may be generated from services provided directly by the parent company or through other channels.
It's important to note that this revenue figure reflects the performance of the overall Management Recruiters system. Individual franchisee revenues may vary significantly based on factors such as location, market conditions, and the franchisee's business acumen. Therefore, while this provides a general overview, prospective franchisees should also carefully review Item 19 in the FDD, which provides more specific financial performance representations at the franchise level.
Furthermore, the FDD also presents a consolidated statement of cash flow for HireQuest, Inc., the parent company. This statement includes net income from continuing operations ($11,975,000) and net income ($12,458,000) for the year ended December 31, 2022. While these figures are not directly comparable to the total revenue, they offer additional context regarding the financial health and profitability of the parent company.