What was the value of Petro Stopping Center's transportation assets at December 31, 2024?
Petro_Stopping_Center Franchise · 2025 FDDAnswer from 2025 FDD Document
| Land and land improvements | Buildings | Oil and gas propertiesa | Plant, machinery and equipment | Fittings, fixtures and office equipment | Transportation | Oil depots, storage tanks and service stations | $ million Total | |
|---|---|---|---|---|---|---|---|---|
| Cost - owned PP&E | ||||||||
| At December 31, 2024 | 1,270 | 398 | 94,515 | 27,683 | 870 | 918 | 3,105 | 128,759 |
| Depreciation - owned PP&E | ||||||||
| At December 31, 2024 | 303 | 186 | 59,809 | 12,242 | 678 | 443 | 975 | 74,636 |
| Owned PP&E - net book amount at | 967 | 212 | 34,706 | 15,441 | 192 | 475 | 2,130 | 54,123 |
| December 31, 2024 | ||||||||
| Right-of-use assets - net book amount at | ||||||||
| December 31, 2024b | — | 325 | — | 1,255 | 3 | 775 | 3,171 | 5,529 |
| Total PP&E - net book amount at | 967 | 537 | 34,706 | 16,696 | 195 | 1,250 | 5,301 | 59,652 |
| December 31, 2024 |
Source: Item 23 — RECEIPTS **RECEIPTS (FDD pages 87–131)
What This Means (2025 FDD)
According to Petro Stopping Center's 2025 Franchise Disclosure Document, the cost of transportation assets (owned property, plant, and equipment) at December 31, 2024, was $918 million. After accounting for depreciation, the net book amount for these owned transportation assets was $475 million. Additionally, Petro Stopping Center had $775 million in transportation assets classified as right-of-use assets. Therefore, the total net book amount for transportation assets, including both owned and right-of-use assets, was $1,250 million at the end of 2024. These figures reflect the company's investment in transportation-related infrastructure and equipment.
For a prospective franchisee, understanding these asset values can provide insight into the scale and capital intensity of Petro Stopping Center's operations. The depreciation figures also highlight the ongoing expense of maintaining these assets. The distinction between owned assets and right-of-use assets is important, as right-of-use assets typically represent leased or rented equipment, which may have different financial implications than owned assets.
It's important to note that these figures represent the consolidated assets of the entire company, not just individual franchise locations. A franchisee would not directly own these assets, but their performance would contribute to the overall financial health of Petro Stopping Center, which is reflected in these asset values. Franchisees should focus on how their operations contribute to the efficient use and profitability of these assets.