Franchisor Winmark reported Q1/16 net income of $4.56 million was down from net income of $6.05 million for the same period in 2015. The company noted net leasing income in Q1/16 was $3.6 million, down from $5.8 million for the same quarter year earlier.

Brett D. Heffes, CEO, noted, “During the first quarter, our franchising business experienced modest royalty growth and the timing of customer activity in our leasing portfolio created variability in our results.”

At March 26, 2016, Winmark said there were 1,154 franchises in operation under the brands Plato’s Closet, Once Upon A Child, Play it Again Sports, Music Go Round and Style Encore. The company noted its lease portfolio at March 26, 2016 was $38.3 million, down from $39.0 million a year earlier.