What was the depreciation and amortization cost for Noodles & Company in 2024 (in thousands)?
Noodles_Company Franchise · 2025 FDDAnswer from 2025 FDD Document
from operations to evaluate performance and make key operating decisions, such as deciding the rate at which we invest resources into the segment.
The following table presents selected financial information with respect to our single reportable segment regularly reviewed by our CODM for 2024, 2023 and 2022 (in thousands):
| 2024 | 2023 | 2022 | ||
|---|---|---|---|---|
| Revenue: | ||||
| Restaurant revenue | $ 483,097 | $ | 492,648 | $ 498,359 |
| Franchising royalties and fees, and other | 10,174 | 10,757 | 11,121 | |
| Total segment revenue | 493,271 | 503,405 | 509,480 | |
| Less: | ||||
| Cost of sales | 123,692 | 124,102 | 137,859 | |
| Labor | 154,258 | 157,608 | 155,023 | |
| Occupancy | 46,366 | 45,925 | 45,213 | |
| Other restaurant operating costs | 95,032 | 91,559 | 91,220 | |
| General and administrative | 50,824 | 51,833 | 49,903 | |
| Depreciation and amortization | 29,066 | 26,792 | 23,268 | |
| Pre-opening | 1,543 | 2,215 | 1,662 | |
| Restaurant impairments, closure costs and asset disposals | 20,268 | 8,400 | 6,164 | |
| Total segment expenses | 521,049 | 508,434 | 510,312 | |
| Segment loss from operations | $ (27,778) $ | (5, |
Source: Item 22 — CONTRACTS (FDD pages 98–99)
What This Means (2025 FDD)
According to Noodles & Company's 2025 Franchise Disclosure Document, the depreciation and amortization expenses for 2024 were $29,066,000. This figure represents the accounting expense recognized for the reduction in value of Noodles & Company's tangible and intangible assets over the year. Depreciation applies to tangible assets like buildings and equipment, while amortization applies to intangible assets like patents or trademarks.
For a prospective Noodles & Company franchisee, understanding depreciation and amortization is crucial for assessing the financial health and profitability of the company. While franchisees do not directly incur these expenses at the corporate level, they reflect the overall capital investment and asset management strategies of Noodles & Company. Higher depreciation and amortization expenses might indicate significant investments in new equipment or acquisitions of intangible assets, which could eventually benefit franchisees through improved operational efficiency or brand recognition.
It's important to note that depreciation and amortization are non-cash expenses, meaning they do not represent actual cash outflows. However, they do reduce the company's reported profit, which can affect its tax liability and overall financial performance. Franchisees should consider these factors when evaluating the long-term sustainability and growth potential of Noodles & Company.
Reviewing these figures over several years, as presented in the FDD, can provide insights into Noodles & Company's investment patterns and asset utilization efficiency. A consistent increase in depreciation and amortization might signal ongoing investments in the business, while fluctuations could indicate strategic shifts in asset management.