What was the labor cost for Noodles & Company in 2024?
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 labor costs for the company-operated restaurants totaled $154,258 in 2024. This figure is part of the total segment expenses, which amounted to $521,049 for the same year.
When evaluating the financial performance of Noodles & Company, it's important to consider labor costs in relation to other expenses and revenue. For instance, in 2024, Noodles & Company's restaurant revenue was $483,097, and total segment revenue was $493,271. The cost of sales was $123,692, occupancy costs were $46,366, and other restaurant operating costs totaled $95,032. General and administrative expenses were $50,824, while depreciation and amortization amounted to $29,066. Pre-opening costs were $1,543, and restaurant impairments, closure costs, and asset disposals were $20,268.
These figures provide a comprehensive view of the expenses involved in operating Noodles & Company restaurants. Prospective franchisees should analyze these costs in conjunction with revenue figures to understand the potential profitability and financial health of the business. Understanding these costs is crucial for budgeting and financial planning.
It is also worth noting that the segment loss from operations was $(27,778) in 2024. This loss, along with interest expenses, contributes to the consolidated loss before income taxes, which was $(36,159) for the same period. These figures are essential for assessing the overall financial performance of Noodles & Company.