Information on segments and a reconciliation of operating profit to income before income taxes is as follows: | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended March 31, 2025 | | Franchise | | Company Restaurants | | Rental | | Financing | | Total | | (In millions) | | Revenues | $ | 166.2 | | | $ | 21.6 | | | $ | 26.7 | | | $ | 0.3 | | | $ | 214.8 | | | Less: Advertising revenue | 70.5 | | — | | — | | — | | 70.5 | | Revenues excluding advertising revenue | $ | 95.7 | | | $ | 21.6 | | | $ | 26.7 | | | $ | 0.3 | | | $ | 144.3 | | | | | | | | | | | | | Less: | | | | | | | | | | | Interest expense from finance leases | — | | — | | 0.7 | | — | | 0.7 | | Depreciation and amortization | 0.1 | | 0.6 | | 2.4 | | 0.0 | | 3.1 | Other segment items(a) | 10.6 | | 21.4 | | 18.1 | | 0.1 | | 50.2 | | Segment profit | 85.0 | | (0.4) | | 5.4 | | 0.3 | | 90.3 | | Stock based compensation (direct) | 1.0 | | — | | — | | — | | 1.0 | | Gain on disposition of assets | (0.1) | | — | | — | | — | | (0.1) | | Other G&A expenses (direct and allocated) | 31.2 | | 1.4 | | — | | — | | 32.6 | | Segment operating profit (loss) | 52.9 | | (1.8) | | 5.4 | | 0.3 | | 56.8 | | | | | | | | | | | | Reconciliation of segment operating profit | | | | | | | | | | | Segment operating profit | | | | | | | | | $ | 56.8 | | | Depreciation and amortization (unallocated) | | | | | | | | | 4.5 | | Stock based compensation (unallocated) | | | | | | | | | 2.3 | | Other G&A expenses (unallocated) | | | | | | | | | 10.9 | | Interest expense, net | | | | | | | | | 17.7 | | Closure and impairment charges | | | | | | | | | 5.8 | | Amortization of intangible assets | | | | | | | | | 2.7 | | | | | | | | | | | | Income before income taxes | | | | | | | | | $ | 12.8 | |
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | Three Months Ended March 31, 2024 | | (In millions) | | Franchise | | Company Restaurants | | Rental | | Financing | | Total | | Revenues | $ | 175.9 | | | $ | 0.3 | | | $ | 29.5 | | | $ | 0.5 | | | $ | 206.2 | | | Less: Advertising revenue | 75.3 | | — | | — | | — | | 75.3 | | Revenues excluding advertising revenue | 100.6 | | 0.3 | | 29.5 | | 0.5 | | 131.0 | | | | | | | | | | | | Less: | | | | | | | | | | | Interest expense from finance leases | — | | — | | 0.7 | | — | | 0.7 | | Depreciation and amortization | 0.1 | | 0.0 | | 2.6 | | — | | 2.7 | Other segment items(a) | 11.1 | | 0.3 | | 18.6 | | 0.1 | | 30.1 | | Segment profit | 89.4 | | 0.0 | | 7.6 | | 0.5 | | 97.4 | | Stock based compensation (direct) | 1.8 | | — | | — | | — | | 1.8 | | Gain on disposition of assets | (0.2) | | — | | — | | — | | (0.2) | | Other G&A expenses (direct and allocated) | 30.5 | | — | | — | | — | | 30.5 | | Segment operating profit | $ | 57.4 | | | $ | 0.0 | | | $ | 7.6 | | | $ | 0.5 | | | $ | 65.4 | | | | | | | | | | | | | Reconciliation of segment operating profit | | | | | | | | | | | Segment operating profit | | | | | | | | | $ | 65.4 | | | Depreciation and amortization (unallocated) | | | | | | | | | 4.3 | | Stock based compensation (unallocated) | | | | | | | | | 3.1 | | Other G&A expenses (unallocated) | | | | | | | | | 12.5 | | Interest expense, net | | | | | | | | | 18.1 | | Closure and impairment charges | | | | | | | | | 0.6 | | Amortization of intangible assets | | | | | | | | | 2.7 | | | | | | | | | | | | Income before income taxes | | | | | | | | | $ | 24.0 | |
(a) For each reportable segment, the other segment item category includes: Franchise: Costs of proprietary products, bad debt expense, pre-opening training expenses and other franchise-related costs. Company Restaurants: Operating expenses at company-operated restaurants and include food, beverage, labor, benefits, utilities, rent and other operating costs. Rental: Costs of operating leases and interest expense of finance leases on franchisee-operated restaurants. Financing: Costs of restaurant equipment.
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