What was the total operating income for Monicals Pizza in the prior year?
Monicals_Pizza Franchise · 2025 FDDAnswer from 2025 FDD Document
| OPERATING REVENUES: | |||
|---|---|---|---|
| Restaurant sales | $ 45,624,409 | $ 45,815,328 | |
| Franchising revenues | 960,839 | 1,005,855 | |
| Total operating revenues | 46,585,248 | 46,821,183 | |
| OPERATING EXPENSES (INCOME): | |||
| Cost of restaurant sales | 11,176,742 | 11,953,858 | |
| Store labor | 18,051,846 | 17,728,791 | |
| Operating | 5,779,342 | 5,702,647 | |
| Occupancy | 4,022,912 | 3,828,519 | |
| Depreciation | 1,119,873 | 1,165,083 | |
| General and administrative | 5,180,660 | 4,935,692 | |
| Profit sharing | 173,597 | 163,266 | |
| Net gain from insurance proceeds | ( 461,551) | ( 33,290) | |
| Total operating expenses | 45,043,421 | 45,444,566 | |
| OPERATING INCOME | 1,541,827 | 1,376,617 | |
| OTHER INCOME (EXPENSES): | |||
| Interest income | 306,125 | 307,758 | |
| Interest expense - finance leases | ( 34,125) | ( 34,864) | |
| Other income | 35,531 | 33,464 | |
| Loss on sale of fixed assets | - | ( 2,404) | |
| Total other income | 307,531 | 303,954 | |
| NET INCOME | 1,849,358 | 1,680,571 | |
| Basic and diluted income per common share: | |||
| Net income per common share | $ 4.73 | $ 4.30 | |
| Weighted average shares outstanding | 391,250 | 391,250 |
Source: Item 23 — RECEIPTS (FDD pages 46–257)
What This Means (2025 FDD)
According to Monicals Pizza's 2025 Franchise Disclosure Document, the consolidated statements of income show the operating income for 2024 and 2023. In 2024, Monicals Pizza had an operating income of $1,541,827, while in 2023, the operating income was $1,376,617. This represents the income Monicals Pizza earned from its core business operations before accounting for other income, expenses, interest, or taxes.
For a prospective franchisee, operating income is a key indicator of the profitability and efficiency of Monicals Pizza's business model. A higher operating income suggests that the company is effectively managing its costs related to restaurant sales, labor, and other operating expenses. The increase in operating income from 2023 to 2024 indicates a positive trend in the company's financial performance.
It's important to note that while operating income provides valuable insight, it doesn't represent the complete financial picture. Factors such as interest income, interest expenses, and other income sources also contribute to the overall net income. Therefore, potential franchisees should review the entire consolidated statement of income to gain a comprehensive understanding of Monicals Pizza's financial health.
Furthermore, a potential franchisee should investigate the reasons behind the changes in operating income between the two years. Understanding what drove the increase, whether it was higher sales, better cost control, or other factors, can help a franchisee assess the sustainability of this performance and its potential impact on their own future business.