What was the depreciation amount for Monicals Pizza in 2023?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
ecember 31,
2024 2023 45,815,328 1,005,855 46,585,248 46,821,183 11,953,858 17,728,791 5,702,647 3,828,519 1,165,083 4,935,692 173,597 163,266 (461,551) (33,290) 45,043,421 45,444,566 1,541,827 1,376,617 307,758 (34,864) 33,464 - (2,404) 307,531 303,954 1,849,358 1,680,571 $ 4.73 $ 4.30 391,250 $ 45,624,409 $ 960,839 11,176,742 18,051,846 5,779,342 4,022,912 1,119,873 5,180,660 306,125 (34,125) 35
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, the depreciation expense for the year ending December 31, 2023, was $1,119,873. This figure is derived from the consolidated statements of income for Monicals Pizza Corporation and its subsidiaries.
Depreciation represents the allocation of the cost of tangible assets over their useful lives. For a Monicals Pizza franchisee, understanding the depreciation expense is crucial because it reflects the wear and tear on assets like equipment and buildings. This non-cash expense impacts the company's net income and, consequently, its profitability.
Prospective franchisees should consider depreciation when evaluating the financial health of Monicals Pizza. While it doesn't represent an immediate cash outflow, it signifies the ongoing need to maintain and eventually replace assets. A high depreciation expense might indicate aging assets that could require significant future investment. Conversely, a lower expense could suggest newer assets or conservative depreciation practices. Franchisees should discuss the company's depreciation policies and capital expenditure plans with the franchisor to gain a comprehensive understanding of the long-term financial implications.