Winmark Corporation reported a total revenue of $86.1 million for the fiscal year ending December 27, 2025, marking a 5.9% increase from $81.3 million in 2024. The company's royalties, which constitute the majority of its revenue, rose to $76.4 million, up from $72.2 million in the previous year, reflecting a 5.8% increase driven by higher retail sales from franchisees and an increase in the number of franchise locations. Net income for the year was $41.7 million, compared to $40.0 million in 2024, resulting in earnings per share of $11.73, up from $11.36.
In terms of operational metrics, Winmark's franchise network expanded to 1,378 locations by the end of 2025, with 55 new stores opened during the year, while 27 were closed. The company achieved a renewal rate of 98% for franchise agreements, indicating strong franchisee satisfaction and stability within its business model. The total number of franchises includes 165 located in Canada, contributing approximately $7.8 million to the overall revenue.
Strategically, Winmark has focused on enhancing its franchise model and expanding its e-commerce capabilities. The company developed an online platform for its brands, allowing franchisees to market and sell inventory online, which has been instrumental in driving consumer engagement and increasing brand visibility. Additionally, the company has been proactive in managing costs, with selling, general, and administrative expenses rising by 13.7% to $28.4 million, primarily due to increased compensation and non-recurring expenses related to software licenses.
Looking ahead, Winmark anticipates continued growth in its franchise operations, supported by a strong pipeline of signed franchise agreements, with 82 agreements in place expected to open in 2026. The company remains committed to its sustainability mission, having extended the lives of over 195 million items in 2025 through its resale brands. Management believes that the combination of its cash reserves, operational cash flow, and existing credit facilities will adequately support its growth initiatives and operational needs in the coming year.
About WINMARK CORP
Winmark Corporation is a franchisor specializing in value-oriented resale retail brands, including Plato’s Closet, Once Upon A Child, Play It Again Sports, Style Encore, and Music Go Round. The company supports entrepreneurs in operating franchise stores that buy, sell, and trade gently used merchandise across various categories, promoting sustainability and community recycling. Its business model emphasizes franchise growth, brand support, and value-driven consumer offerings in North America.
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