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Data Based On: 208 franchised locations in the 2025 Reporting Group that were in operation for at least 12 months as of December 31, 2025.

* All figures are for the 2025 Reporting Period for Franchised Locations. Gross Revenue: - Average Gross Revenue: From Table 3a, 'All Franchised Locations in the Reporting Group'. - Median Gross Revenue: From Table 3a, 'All Franchised Locations in the Reporting Group'. - Revenue Top Quartile: Taken from Table 3a, 'Top 1/3rd' Average Gross Revenue, as quartile data is not explicitly provided. - Revenue Bottom Quartile: Taken from Table 3a, 'Bottom 1/3rd' Average Gross Revenue, as quartile data is not explicitly provided. - Weighted average revenue for all 208 franchised units (69 units × $282,040 + 69 units × $129,474 + 70 units × $58,518) / 208 total units = $156,205.41, which closely matches the reported 'All Franchised Locations' average of $156,205. Profit Calculations for an Average Franchised Unit (using Average Gross Revenue of $156,205): 1. Cost of Goods Sold (COGS): - From Table 5a, 'Average Cost of Goods Sold as a Percentage of Gross Revenue' for 2025 is 22.4%. - COGS = 0.224 × $156,205 = $35,009.92. 2. Average Gross Profit: - Average Gross Profit = Average Gross Revenue - COGS = $156,205 - $35,009.92 = $121,195.08. 3. Operating Expenses for Average Net Profit: - Payroll: From Table 1 (Affiliate data, Note 4 states these are 'anticipated franchisees will also incur'), 17% of Gross Revenue = 0.17 × $156,205 = $26,554.85. - Technology: From Table 1 (Affiliate data, anticipated for franchisees), 1% of Gross Revenue = 0.01 × $156,205 = $1,562.05. - Other Administrative Expenses: From Table 1 (Affiliate data, anticipated for franchisees), 4% of Gross Revenue = 0.04 × $156,205 = $6,248.20. - Rent: From Table 5b, 'Average Rent Expense' for 2025 is $24,199. - Marketing: From Table 5c, 'Average Marketing Expenses' for 2025 is $14,724. 4. Franchise Fees (Imputed as per Note 5, Page 4): - Royalty Fee: 7% of Gross Revenue = 0.07 × $156,205 = $10,934.35. - National Brand Fund Fee: 2% of Gross Revenue = 0.02 × $156,205 = $3,124.10. 5. Total Operating Expenses (including Franchise Fees): - Total = $26,554.85 (Payroll) + $1,562.05 (Technology) + $6,248.20 (Other Admin) + $24,199 (Rent) + $14,724 (Marketing) + $10,934.35 (Royalty) + $3,124.10 (Brand Fund) = $87,346.55. 6. Average Net Profit (Operating Profit before taxes/interest): - Average Net Profit = Average Gross Revenue - COGS - Total Operating Expenses (including fees) = $156,205 - $35,009.92 - $87,346.55 = $33,848.53. 7. Best Guess Profit Range: - Assumes Average Gross Revenue ($156,205) and applies low/high expense scenarios based on available segmented data (Top/Middle/Bottom 1/3rd) for COGS, Rent, and Marketing. Payroll, Technology, Other Admin, and Franchise Fees are kept at their average/imputed levels due to less variability or fixed nature. - High Profit (Low Expenses): - COGS (Bottom 1/3rd): 21.9% × $156,205 = $34,228.70 - Rent (Bottom 1/3rd): $22,743 (from Table 5b) - Marketing (Middle 1/3rd, lowest average): $11,951 (from Table 5c) - Other OpEx (Payroll, Tech, Other Admin): $26,554.85 + $1,562.05 + $6,248.20 = $34,365.10 - Franchise Fees: $10,934.35 + $3,124.10 = $14,058.45 - Total Expenses (Low) = $34,228.70 + $22,743 + $11,951 + $34,365.10 + $14,058.45 = $117,346.85 - Best Guess Profit High = $156,205 - $117,346.85 = $38,858.15. - Low Profit (High Expenses): - COGS (Middle 1/3rd, highest percentage): 22.9% × $156,205 = $35,708.64 - Rent (Top 1/3rd): $25,170 (from Table 5b) - Marketing (Top 1/3rd): $17,762 (from Table 5c) - Other OpEx (Payroll, Tech, Other Admin): $34,365.10 - Franchise Fees: $14,058.45 - Total Expenses (High) = $35,708.64 + $25,170 + $17,762 + $34,365.10 + $14,058.45 = $127,064.79 - Best Guess Profit Low = $156,205 - $127,064.79 = $29,140.21.