Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk: Average Sales and Cash Flows of Papa John’s Pizza Restaurants

by Franchise Chatter on July 9, 2012

in Franchise Earnings, Pizza Franchises



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Highlights of Papa John’s Item 19 Financial Performance Representations (2011 FDD)

  • Presented below are average restaurant-level sales of domestic (United States) franchised and company-owned Papa John’s restaurants for its fiscal year ended December 26, 2010, along with average restaurant-level cash expenses for company-owned Papa John’s restaurants only.  All information is based on actual historical costs and results.
  • At the close of its fiscal year, there were 2,891 total domestic Papa John’s restaurants, 591 of which were company-owned, including restaurants owned by franchisees in which Papa John’s has a majority interest (a total of 127 restaurants).
  • However, the following data is drawn only from standard (or “traditional”) restaurants that were open the entire year of 2010 (2,630 total units) because including results from non-traditional restaurants and restaurants that were open only part of the year would skew the annual revenue and expense data.
  • According to Papa John’s FDD, the total investment necessary to begin operation of a standard Papa John’s franchise is $115,823 to $549,523. The total investment necessary to begin operation of a non-traditional Papa John’s franchise is $57,500 to $376,623.
  • Papa John’s website specifies a narrower initial investment range:  “The estimated initial investment required per restaurant ranges from approximately $160,000 to $395,000 for a standard Papa John’s restaurant. An average unit of 1,200-1,400 square feet, located in a strip center, costs approximately $220,000.”


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{ 1 comment… read it below or add one }

Sisay June 22, 2016 at 1:30 am

I’m working at Papa john as a driver for few monthes and amaized how it’s operating.and liked it so thinking of openning such store in aportunity(Ethiopia) if u have any international frenchise aportunity.Really this is a simple and wonderful business.any one contact me?Tnx

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