Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

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FDD Talk: Average and Median Gross Sales for Jenny Craig Centres in the U.S. and Canada (2013 FDD)

by Franchise Chatter on January 18, 2014

in Franchise Earnings, Weight Loss Franchise



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Highlights of Jenny Craig’s Item 19 Financial Performance Representations (2013 FDD)

  • Presented below are certain operating results (unaudited) for the twelve month period from January 1, 2012 through December 31, 2012 for the 115 Jenny Craig Weight Loss and Weight Management Centres operated in the United States and Canada by Jenny Craig franchisees during that entire time period.
  • Jenny Craig Food PhotoThe specific operating results reflect mean average revenue and median revenue for these Centres.
  • The following table represents Gross Sales results (net of discounts) from 115 total Jenny Craig Weight Loss and Weight Management Centres that franchisees operated in the United States, and that franchisees operated in Puerto Rico and Canada, for the entire fiscal year ended December 31, 2012.
  • The total number of Jenny Craig Weight Loss and Weight Management Centres includes 95 Franchisee-Owned Weight Loss and Weight Management Centres that are owned and operated in the United States (excluding Puerto Rico), and 20 Franchisee-Owned Weight Loss and Weight Management Centres that are owned and operated in Canada and Puerto Rico by Jenny Craig franchisees.
  • The information reflecting Franchisee-Owned Centres was obtained from revenue reports that are tracked via the Point-of-Sale system, and are consistent with the reports franchisees submitted to the company and from which royalties and advertising contributions are calculated. Therefore, the basis of accounting is on a cash accounting method.
  • All results in the tables are reflected in U.S. Dollars.
  • Gross Sales from Jenny Craig Weight Loss and Weight Management Centres operated in Canada have been converted to U.S. Dollars at an exchange rate of 1.0019, which exchange rate represents the average exchange rate reported in the company’s general ledger system during the one year period January 1, 2012 to December 31, 2012.
  • The information presented in Item 19 has not been audited.
  • The table below does not reflect costs that are incurred by Jenny Craig Weight Loss and Weight Management Centres, including, most significantly, the cost of labor and cost of goods sold.
  • Your labor costs will depend on a number of factors, including the size and location of your Weight Loss and Weight Management Centre, the number of employees, and the number of hours that the Centre is open for business. The total amount of salaries for your employees and managers at a particular location will vary according to local wages.
  • Of the Franchisee-Owned Centres in the U.S. (excluding Puerto Rico), 45 Centres (or 47.4%) attained the mean average for that sub-group of Centres. Of the Franchisee-Owned Centres in Canada and Puerto Rico, 8 Centres or 40% attained the mean average for that sub-group of Centres.

Franchisee-Owned Centres in the U.S. (excluding Puerto Rico)



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