What was the total segment revenue for Noodles & Company in 2022 (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 total segment revenue for 2022 was $509,480,000. This figure represents the combined revenue from both company-owned restaurants and franchise royalties and fees. The FDD also provides a breakdown of revenue sources, with restaurant revenue at $498,359,000 and franchising royalties and fees, and other revenue at $11,121,000.
For a prospective franchisee, understanding the total segment revenue is crucial as it provides insight into the overall financial health and performance of Noodles & Company. A higher total segment revenue generally indicates a stronger brand and potentially better support and resources for franchisees. It also reflects the brand's ability to generate sales across its various revenue streams.
However, it's important to note that while the total segment revenue is substantial, Noodles & Company experienced a segment loss from operations of $832,000 in 2022. This loss indicates that the company's expenses exceeded its revenue during that period. A potential franchisee should carefully analyze these figures in conjunction with other financial data in the FDD to assess the overall profitability and sustainability of the franchise opportunity. They should also consider factors such as cost of sales, labor, and other operating expenses to understand the financial dynamics of the business.
Overall, while Noodles & Company demonstrates a strong revenue base, prospective franchisees should conduct thorough due diligence to evaluate the company's profitability and financial stability. This includes reviewing the complete financial statements, understanding the factors contributing to the segment loss, and assessing the company's strategies for improving profitability in the future.