PALM BEACH TAN

Data Based On: 314 Franchised Sample Locations as of December 31, 2025

* Franchised average gross revenue ($549,415) and median gross revenue ($504,916) were extracted directly from Table 1 for 314 Franchised Sample Locations on Page 5. Average EBITDA for franchised units was estimated by applying the company-owned average EBITDA margin (25.13%, from Page 2, justified by 'substantially similar' statement on Page 6) to the franchised average gross revenue, yielding $138,067.99. From this, additional franchisee-specific costs (Subsequent Years Royalties: $30,197, Customer Experience Management Program: $480, Sunlync and Software Support Fee: $3,600, totaling $34,277 from Page 2) were subtracted to derive a franchisee average EBITDA of $103,790.99. The franchisee EBITDA margin was then calculated as $103,790.99 / $549,415 = 0.1889. 'Average Net Profit' is considered equivalent to the calculated average EBITDA for franchised units before interest, taxes, depreciation, and amortization. 'Best Guess Profit High' is set to the calculated average EBITDA for franchised units. 'Best Guess Profit Low' was estimated by taking the lowest reported total revenue for a franchised unit ($179,150 from Page 5), applying the lowest EBITDA margin observed in company-owned units (-72.2% from Page 2), and then subtracting the additional franchisee costs ($34,277), resulting in $179,150 * -0.722 - $34,277 = -$163,671.3.