Captain D's

Data Based On: 214 franchised restaurants in operation continuously during our fiscal year ended December 29, 2024

* The average gross revenue and median gross revenue for franchised units are directly extracted from the 'Franchised Comparable Restaurants' table on page 3. The 'revenue_top_quartile' and 'revenue_bottom_quartile' are taken from the 'Average Gross Sales' of the 'Top Third' and 'Bottom Third' segments for franchised restaurants, respectively. No explicit 'average_net_income', 'average_net_profit', or 'average_ebitda' figures are provided for franchised units. To estimate 'best_guess_profit_low' and 'best_guess_profit_high' for a franchisee, the 'Proforma Restaurant Contribution Before Occupancy (EBITDAR)' percentages for company-owned restaurants (from page 4) were used as a proxy, adjusted for royalty fees. The document states on page 2 (Point 7a) and page 4 (footnote) that company-owned restaurants do not pay royalty fees, which are 4.5% of gross sales for franchisees. - The Top Third company-owned EBITDAR margin was 31.36%. Adjusted for a 4.5% franchisee royalty fee, this becomes 26.86% (0.3136 - 0.045). - The Bottom Third company-owned EBITDAR margin was 13.20%. Adjusted for a 4.5% franchisee royalty fee, this becomes 8.70% (0.1320 - 0.045). These adjusted margins were then applied to the overall franchised average gross revenue of $1,084,389 to derive the profit range: - best_guess_profit_high = $1,084,389 * 0.2686 = $291,266.89 - best_guess_profit_low = $1,084,389 * 0.0870 = $94,341.84