Core Insights - RAVE Restaurant Group has been upgraded to an "Outperform" rating due to durable profitability, strengthened capital positioning, and effective operational initiatives [1][9] - The company has demonstrated consistent profitability with 20 consecutive quarters of positive net income, indicating increasing earnings resilience [1][2] Financial Performance - In Q3 fiscal 2025, net income rose 10.4% year over year to $0.72 million, while income before taxes increased 11.2% to $0.9 million [2] - Adjusted EBITDA climbed 13.2% to $0.9 million, despite total revenue remaining flat at $2.9 million, showcasing strong operational leverage [2] - Total operating expenses declined 4.4% year over year, reflecting effective cost control measures [5] Brand Performance - Pizza Inn, RAVE's flagship brand, experienced a 2.5% increase in domestic comparable store sales during Q3 fiscal 2025, supported by successful promotions and store reimaging efforts [3] - Pie Five faced challenges with a 5.6% decline in comparable store sales and a 28.2% drop in total domestic retail sales, but recent restructuring efforts are beginning to yield improvements [4] Cost Management - RAVE's franchise-focused structure has allowed for earnings expansion with minimal revenue growth, aided by an 8.3% year-to-date decline in franchise expenses [2] - General and administrative expenses rose 2.4% year over year, while franchise expenses fell 5.4%, indicating disciplined cost execution amid inflationary pressures [5] Revenue Composition - In Q3 fiscal 2025, supplier and distributor incentive revenues totaled $1.23 million, nearly equaling franchise royalty income of $1.16 million, highlighting a reliance on indirect income [6] - Franchise license fees declined 44.1% year over year, indicating weak new unit growth momentum [6] Structural Challenges - RAVE's small operating scale remains a constraint, with consolidated revenue flat at $2.9 million and only 117 domestic units across both brands [8] - Limited geographic footprint and low absolute revenue base restrict the company's ability to leverage broader economies of scale [8] Future Outlook - The upgrade to "Outperform" reflects confidence in RAVE's ability to sustain profitability and expand margins through capital efficiency and strategic execution [9] - Despite brand-level headwinds, particularly for Pie Five, the company is positioned as a niche small-cap outperformer in the franchised restaurant space [9]

Core Viewpoint - RAVE Restaurant Group, Inc. has demonstrated strong performance in its third-quarter fiscal 2025 results, with significant share price appreciation and profitability metrics, despite mixed sales trends across its brands [1][2][3]. Earnings and Revenue Overview - For the quarter ended March 30, 2025, RAVE reported net income of $0.72 million, a 10.4% increase from $0.65 million year-over-year [2] - Diluted earnings per share rose to $0.05 from $0.04 in the prior-year period [2] - Income before taxes increased by 11.2% year-over-year to $0.9 million, attributed to improved profitability initiatives [2] - Revenues remained flat at $2.9 million year-over-year, but adjusted EBITDA increased by 13.2% to $0.9 million due to cost control and operational improvements [2] Segment Performance - Pizza Inn's domestic comparable store sales increased by 2.5%, while Pie Five experienced a 5.6% decline in comparable domestic store sales, indicating mixed brand performance [3] Key Business Metrics - RAVE ended the quarter with 98 domestic and 20 international Pizza Inn units, along with 19 Pie Five locations [4] - The company repurchased 500,000 shares for $1.2 million, reflecting confidence in its valuation [4] - Cash and cash equivalents decreased to $0.7 million from $2.9 million as of December 29, 2024, while short-term investments rose to $7.9 million from $6 million [4] Balance Sheet and Cash Flow - RAVE maintains a debt-free balance sheet, with shareholders' equity slightly decreasing to $13.3 million from $13.8 million [5] - Cumulative net cash from operating activities for the nine-month period was $2.2 million, up from $1.3 million in the previous year [5] Operational Enhancements - Improvements at Pie Five's make-line led to significant throughput gains, reducing average wait times from 20 minutes to nine minutes [6] - Several Pie Five locations achieved record sales weeks following operational changes [6] Management Commentary - CEO Brandon Solano noted the third quarter marked the company's 20th consecutive quarter of profitability, driven by strategic initiatives and a new promotion at Pizza Inn [7] - The "I$8" promotion, offering $8 weekday buffet pricing, showed over 20% year-over-year sales growth in pilot stores and is set to expand [7] - The company is progressing with a reimaging program, projecting eight to ten store upgrades by fiscal year-end, with early results showing a 7.6% average sales lift [8] Financial Performance Insights - CFO Jay Rooney highlighted same-store sales records at 19 Pizza Inn and three Pie Five restaurants, the highest since at least 2018 [9] - Year-over-year pre-tax income increased by $96,000 for the quarter and $484,000 for the nine-month period [9] Factors Influencing Results - Despite unchanged overall revenue, efficiency gains and improved promotional effectiveness contributed to better earnings [11] - Cost containment in franchise and administrative expenses supported profitability, while Pie Five's sales decline reflects brand-specific challenges [11] Future Guidance - RAVE did not provide formal forward-looking guidance but expressed confidence in growth initiatives, including promotional pricing and operational enhancements [12] Other Developments - RAVE optimized its capital allocation strategy, with share repurchases indicating a focus on shareholder returns [13] - The company maintained a conservative balance sheet with minimal liabilities and healthy retained earnings [13]

Financial Performance - The company reported net income of $0.7 million for Q3 2025, a 10.4% increase year-over-year[2]. - Total revenue remained flat at $3.0 million for Q3 2025 compared to the same period last year[2]. - Adjusted EBITDA increased by $0.1 million to $1.0 million, reflecting a 13.2% year-over-year growth[2]. - Net income for the nine months ended March 30, 2025, increased to $1,855 million, up from $1,593 million for the same period in 2024, representing a growth of 16.4%[16]. - Adjusted EBITDA for the nine months ended March 30, 2025, reached $2,480 million, compared to $1,964 million for the same period in 2024, reflecting a 26.2% increase[18]. - Cash provided by operating activities for the nine months ended March 30, 2025, was $2,168 million, significantly higher than $1,331 million for the same period in 2024, marking a 63.0% increase[16]. Sales Performance - Pizza Inn domestic comparable store retail sales rose by 2.5%, while Pie Five's comparable store sales decreased by 5.6% in Q3 2025[2]. - The average sales lift for reimaged stores was 7.6%, with an average return on investment of 56%[4]. - The new $8 promotion at Pizza Inn led to over 20% year-over-year sales increases in tested locations[4]. - Nineteen Pizza Inn and three Pie Five restaurants achieved their highest sales weeks since at least 2018[4]. Shareholder Actions - The company repurchased 500,000 shares of common stock for $1.2 million during the quarter[2]. - Stock-based compensation expense increased to $178 million for the nine months ended March 30, 2025, compared to $127 million in the same period of 2024, a rise of 40.2%[16]. Cash Flow and Investments - Cash and cash equivalents were reported at $0.7 million, while short-term investments totaled $8.0 million as of March 30, 2025[2]. - Cash used in investing activities totaled $2,933 million for the nine months ended March 30, 2025, compared to only $30 million in the same period of 2024[16]. - The company reported a net decrease in cash and cash equivalents of $2,152 million, down from an increase of $990 million in the prior year[16]. - The cash and cash equivalents at the end of the period were $734 million, down from $6,318 million at the end of the previous year[16]. Tax and Deferred Income - The company paid $98 million in income taxes for the nine months ended March 30, 2025, compared to $4 million in the same period of 2024[16]. - Deferred income tax increased to $459 million for the nine months ended March 30, 2025, compared to $247 million in the same period of 2024, indicating a rise of 85.4%[16]. Profitability - The company has completed 20 consecutive quarters of profitability[3].

Sales Performance - Total domestic retail sales for Pizza Inn increased by $0.6 million, or 2.3%, for the three months ended March 30, 2025 compared to the same period of the prior year [86]. - Comparable store retail sales for Pizza Inn increased by $0.6 million, or 2.5%, for the three-month period ended March 30, 2025 compared to the same period of the prior fiscal year [86]. - Total domestic retail sales for Pie Five decreased by $1.1 million, or 29.1%, for the three months ended March 30, 2025 compared to the same period of the prior year [91]. - Pie Five total domestic retail sales decreased by $1.1 million, or 28.2%, for the three months ended March 30, 2025 compared to the same period of the prior year [92]. - Comparable store retail sales for Pie Five decreased by $0.2 million, or 5.6%, for the three months ended March 30, 2025 compared to the same period of the prior fiscal year [92]. Unit Count Changes - The number of domestic Pizza Inn units decreased by four during the three months ended March 30, 2025, with a total of 98 units at the end of the period [90]. - International Pizza Inn units decreased by seven during the three months ended March 30, 2025, resulting in a total of 20 units [90]. - The total number of Pie Five units decreased from 24 to 19 during the three months ended March 30, 2025 [91]. - Average units open for Pie Five decreased from 24 to 19 for the three months ended March 30, 2025, contributing to the decline in sales [92]. - There was a net decrease of one unit in the total domestic Pie Five unit count during the three and nine months ended March 30, 2025 [94]. Financial Performance - Adjusted EBITDA for the fiscal quarter ended March 30, 2025 increased by $0.1 million compared to the same period of the prior fiscal year, reaching $953,000 [84]. - Year-to-date Adjusted EBITDA increased by $0.5 million compared to the same period of the prior fiscal year, totaling $2.48 million [84]. - Total revenues for the nine months ended March 30, 2025 were $8.9 million, a slight increase from $8.8 million in the prior fiscal year [99]. - Pizza Inn franchise revenues increased by $0.2 million to $2.7 million for the three months ended March 30, 2025, a 6.5% increase driven by supplier incentives [100]. - Pie Five franchise revenues decreased by $0.1 million to $0.3 million for the three months ended March 30, 2025, representing a 32.6% decrease due to lower domestic royalties [101]. Expenses and Income - General and administrative expenses for the three months ended March 30, 2025 remained stable at $1.3 million, with a 2.4% increase driven by salary increases [102]. - Total franchise expenses decreased by $0.2 million to $2.6 million for the nine months ended March 30, 2025, reflecting an 8.3% decrease due to lower salaries related to franchise operations [103]. - Total income tax expense increased to $228 thousand for the three months ended March 30, 2025, compared to $200 thousand for the same period in the prior fiscal year, driven by higher taxable income [107]. - Basic net income per share increased by $0.01 to $0.05 per share for the three months ended March 30, 2025, with net income of $0.7 million on revenues of $3.0 million [109]. Cash Flow and Investments - Cash provided by operating activities was $2.2 million for the nine months ended March 30, 2025, compared to $1.3 million for the same period in the prior fiscal year, primarily due to increased collections of accounts receivable [113]. - Cash used in investing activities was $2.9 million for the nine months ended March 30, 2025, primarily attributable to increased purchases of U.S. Treasury bills [114]. - Net cash used in financing activities was $1.4 million for the nine months ended March 30, 2025, primarily due to repurchases of the Company's stock [116]. Future Outlook - The company anticipates a modest increase in both domestic and international Pizza Inn units in future periods [90]. - The company anticipates a modest decrease in Pie Five units in future periods [94]. - Management believes that cash and short-term investments on hand, combined with net cash provided by operations, will be sufficient to fund operations for the next 12 months and beyond [117]. Other Financial Metrics - Recoveries for credit losses were $14 thousand for the three months ended March 30, 2025, compared to a provision for credit losses of $11 thousand for the same period in the prior fiscal year [104]. - Interest income increased by $39 thousand to $84 thousand for the three months ended March 30, 2025, primarily driven by interest received on U.S. Treasury bills [105]. - Depreciation and amortization expense decreased by $14 thousand to $44 thousand for the three months ended March 30, 2025, due to lower depreciation of equipment [106]. - The Company recorded $0.7 million of other income for the employee retention credit for the fiscal year ended June 26, 2022, with $0.6 million received and $0.1 million still outstanding as of March 30, 2025 [118].

Core Insights - RAVE Restaurant Group, Inc. reported its financial results for the third quarter of fiscal 2025, marking the 20th consecutive quarter of profitability [3][4]. Financial Performance - The company recorded a net income of $0.7 million for the third quarter of fiscal 2025, representing a 10.4% increase from the same period in the prior year [6]. - Income before taxes increased by $0.1 million to $1.0 million, an 11.2% increase year-over-year [6]. - Total revenue remained stable at $3.0 million, unchanged from the same period in the prior year [6]. - Adjusted EBITDA rose by $0.1 million to $1.0 million, reflecting a 13.2% increase compared to the same period last year [6]. - On a fully diluted basis, net income per share increased by $0.01 to $0.05 [6]. Sales Performance - Pizza Inn domestic comparable store retail sales increased by 2.5% in the third quarter compared to the same period last year [6]. - Pie Five domestic comparable store retail sales decreased by 5.6% in the same timeframe [6]. - The company introduced a new promotion at Pizza Inn, resulting in year-over-year sales increases of over 20% at the test locations [4]. Operational Improvements - Operational enhancements at Pie Five have led to a significant reduction in average wait times from 20 minutes to 9 minutes, with in-store throughput nearly doubling [4]. - The company plans to complete 8 to 10 reimaged stores by the end of the fiscal year, with reimage results showing an average sales lift of 7.6% and a return on investment of 56% [4]. Shareholder Actions - RAVE repurchased 500,000 shares of common stock for $1.2 million during the third quarter [6].

Core Insights - RAVE Restaurant Group, Inc. reported a 2.9% increase in shares following the announcement of its second-quarter fiscal 2025 earnings, outperforming the S&P 500 Index which declined by 0.7% during the same period [1] - The company achieved total revenues of $2.9 million, a 4.5% increase from $2.7 million year-over-year, with net income rising 9.8% to $0.6 million, maintaining earnings per share at $0.04 [2] - Adjusted EBITDA surged by 50.6% year-over-year to $0.8 million, supported by a 3.9% reduction in total expenses to $2.1 million [2] Performance Metrics - Pizza Inn's domestic comparable store sales increased by 0.8% year-over-year, while Pie Five experienced an 11.4% decline in comparable store sales [3] - By the end of the quarter, Pizza Inn had 102 domestic and 27 international units, while Pie Five operated 20 domestic units [3] Operational Highlights - The second quarter marked RAVE's 19th consecutive quarter of profitability, attributed to innovation and strategic growth initiatives, including the opening of a new Pizza Inn buffet restaurant [4] - The company is advancing its reimage program, with nine Pizza Inn units undergoing renovations, eight of which are expected to be completed within the fiscal year [4] Menu and Operational Innovations - Pizza Inn introduced a stuffed crust chocolate chip Pizzert and plans to launch baked pasta options in the third quarter, while Pie Five is implementing a new make-line format to enhance operational capacity [5] Financial Health - RAVE maintains a solid financial position with $2.9 million in cash and cash equivalents and $6 million in short-term investments, with current assets seven times greater than current liabilities [6] Factors Influencing Results - The modest revenue increase was driven by Pizza Inn's sales initiatives, although Pie Five's decline offset some gains; lower general and administrative expenses contributed to improved profitability [7] Management Outlook - Management is optimistic about future growth, with plans for 30 new Pizza Inn buffet locations and a focus on long-term growth through innovation and operational enhancements [8][9] Other Developments - RAVE replaced its legacy paper gift certificates with a digital gift card program and expanded Pizza Inn's menu to include non-pizza offerings, aligning with consumer preferences [10]

Financial Performance - The company reported a net income of $0.6 million for Q2 2025, a 9.8% increase year-over-year[3] - Total revenue for Q2 2025 was $2.8 million, reflecting a 4% increase compared to the same period last year[3] - Adjusted EBITDA rose to $0.8 million in Q2 2025, marking a 51% increase from the prior year[3] - Net income for the six months ended December 29, 2024, was $1,133 million, an increase from $939 million for the same period in 2023, representing a growth of 20.7%[17] - Cash provided by operating activities for the six months ended December 29, 2024, was $1,216 million, significantly higher than $305 million for the same period in 2023[17] - Adjusted EBITDA for the six months ended December 29, 2024, reached $1,527 million, compared to $1,122 million for the same period in 2023, reflecting a growth of 36.1%[19] - The company incurred stock-based compensation expenses of $126 million for the six months ended December 29, 2024, up from $82 million in the same period of 2023[17] - The company paid $98 million in income taxes for the six months ended December 29, 2024, compared to $4 million in the same period of 2023[17] - Interest income for the six months ended December 29, 2024, was $(169) million, compared to $(48) million for the same period in 2023[19] - The company experienced a recovery of $8 million in credit losses for the six months ended December 29, 2024, compared to a provision of $35 million in the same period of 2023[17] Sales and Operations - Pizza Inn domestic comparable store retail sales increased by 0.8% in Q2 2025, while Pie Five's comparable store sales decreased by 11.4%[3] - The company has signed development agreements for 30 new Pizza Inn buffet restaurants[5] - A new stuffed crust chocolate chip Pizzert was successfully introduced during Q2 2025[5] - The company plans to introduce three varieties of baked pastas in Q3 2025 as part of its menu innovation strategy[5] Cash and Investments - Cash and cash equivalents stood at $2.9 million, with short-term investments totaling $6.0 million as of December 29, 2024[3] - Cash and cash equivalents at the end of the period were $2,871 million, a slight decrease from $5,306 million at the end of the previous period[17] - The company reported a net decrease in cash and cash equivalents of $15 million for the six months ended December 29, 2024[17] - Total cash used in investing activities for the six months ended December 29, 2024, was $1,049 million, compared to $16 million in the same period of 2023[17] Balance Sheet - The balance sheet remains strong, with current assets totaling seven times the amount of current liabilities[5] - Profit before tax for the fiscal year to date is up over 36% compared to the previous year[5]

Sales Performance - For the three months ended December 29, 2024, total domestic retail sales for Pizza Inn increased by $0.3 million, or 1.2%, compared to the same period of the prior year [81]. - For the six months ended December 29, 2024, total domestic retail sales for Pizza Inn decreased by $0.3 million, or 0.7%, compared to the same period of the prior year [82]. - Comparable store retail sales for Pizza Inn increased by $0.2 million, or 0.8%, for the three-month period ended December 29, 2024, compared to the same period of the prior fiscal year [81]. - Pie Five total domestic retail sales decreased by $1.6 million, or 37.0%, for the three months ended December 29, 2024 compared to the same period of the prior year [87]. - Comparable store retail sales decreased by $0.3 million, or 11.4%, for the three-month period ended December 29, 2024 as compared to the same period of the prior fiscal year [87]. - For the six months ended December 29, 2024, total domestic retail sales decreased by $3.4 million, or 37.3%, compared to the same period of the prior year [88]. Financial Performance - Adjusted EBITDA for the fiscal quarter ended December 29, 2024, increased by $0.3 million compared to the same period of the prior fiscal year [78]. - The company reported a net income of $607,000 for the three months ended December 29, 2024, compared to $553,000 for the same period of the prior year [80]. - Total revenues for the three-month period ended December 29, 2024 were $2.9 million, compared to $2.7 million for the same period in the prior fiscal year [94]. - Total revenues for the six-month period ended December 29, 2024 were $5.9 million, compared to $5.8 million for the same period in the prior fiscal year [94]. - Basic net income per share was stable at $0.04 for the three months ended December 29, 2024, with net income of $0.6 million on revenues of $2.9 million [104]. - Basic net income per share increased by $0.01 to $0.08 for the six months ended December 29, 2024, with net income of $1.1 million on revenues of $5.9 million [105]. Unit Performance - The number of domestic franchised/licensed units remained stable at 102, with a total of 122 units across all concepts as of December 29, 2024 [73]. - The average number of Buffet Units open increased from 75 to 78 for the three months ended December 29, 2024, compared to the same period of the prior year [81]. - The total number of international units increased from 24 to 27 during the six months ended December 29, 2024 [84]. - Average units open in the period decreased from 25 to 20 for the three months ended December 29, 2024 [87]. - The Pie Five units remained stable at 20 during the three and six months ended December 29, 2024, with no transfers or closures [89]. - The company anticipates a modest increase in both domestic and international Pizza Inn units in future periods [84]. - The company anticipates a modest decrease in Pie Five units in future periods [89]. Expenses and Cash Flow - General and administrative expenses remained stable at $1.3 million for the three-month period ended December 29, 2024, with a 2.0% decrease driven by lower legal fees [97]. - Total franchise expenses remained stable at $0.8 million for the three months ended December 29, 2024, with a 1.8% decrease compared to the prior fiscal year [98]. - Cash provided by operating activities was $1.2 million for the six months ended December 29, 2024, compared to $0.3 million for the same period in the prior fiscal year [108]. - Cash used in investing activities was $1.0 million for the six months ended December 29, 2024, primarily due to increased purchases of U.S. Treasury bills [109]. - Net cash used in financing activities was $0.2 million for the six months ended December 29, 2024, compared to $0.3 million for the same period in the prior fiscal year [110]. Other Financial Metrics - Provision for credit losses was $9 thousand for the three months ended December 29, 2024, down from $10 thousand in the same period of the prior fiscal year [99]. - Interest income increased by $41 thousand to $87 thousand for the three months ended December 29, 2024, primarily driven by interest received on U.S. Treasury bills [100]. - The company recorded an income tax expense of $144 thousand for the three months ended December 29, 2024, compared to an income tax benefit of $13 thousand in the same period of the prior fiscal year [102]. - As of December 29, 2024, the company has received $0.6 million from the employee retention credit, with $0.1 million still outstanding [112].

Core Insights - Rave Restaurant Group, Inc. reported earnings per share of 4 cents for the first quarter of fiscal 2025, an increase of 1 cent year over year [1] - The company experienced a revenue decline of 1.2% year over year, totaling $3.1 million, primarily due to lower revenues from the Pie Five Franchising segment [2] - The operating income for the quarter was $0.7 million, reflecting a year-over-year increase of 34.2%, while net income rose by 36.3% to $2.5 million [8] Revenue Breakdown - Rave Restaurant's revenues are derived from two segments: Pizza Inn Franchising and Pie Five Franchising [3] - Pizza Inn Franchising generated revenues of $2.7 million, up 4.5% year over year, attributed to increased supplier and distributor incentives [3] - Pie Five Franchising revenues were $0.3 million, down 29.6% year over year, mainly due to decreases in domestic royalties [4] Comparable Store Sales - Pizza Inn's domestic comparable store retail sales decreased by 2.1% year over year, with a total domestic unit count of 102 and an international unit count of 26 [4] - Pie Five's domestic comparable store retail sales saw a more significant decline of 8.7% year over year, with a domestic unit count of 20 [5] Operating Expenses - General and administrative expenses increased by 7.4% year over year to $1.4 million, driven by higher legal fees [6] - Franchise expenses decreased by 15.1% year over year to $0.9 million, with Pizza Inn franchise expenses down 5.7% and Pie Five franchise expenses down 53.7% [7] Profitability Metrics - Adjusted EBITDA for the quarter increased by 22.9% year over year to $0.7 million [8] - The company exited the quarter with cash and cash equivalents of $8.4 million, up from $7.8 million at the end of fiscal 2024 [9] Strategic Developments - Management signed a four-unit development agreement during the quarter, bringing the total domestic sites contracted for development to 25 [10] - The introduction of the Sandworm Pizzert has boosted dessert sales, with plans for further dessert innovations and main course introductions in the near future [11] Challenges - The decline in top-line results and comparable store retail sales for the Pizza Inn Franchising segment were noted as disappointing [12]

Financial Performance - The company reported a net income of $0.5 million for Q1 fiscal 2025, a 36.3% increase from the same period last year[2] - Total revenue remained flat at $3.1 million for Q1 fiscal 2025 compared to the prior year[2] - Adjusted EBITDA increased by $0.1 million to $0.7 million for Q1 fiscal 2025[3] - Net income for the three months ended September 29, 2024, was $526,000, an increase of 36% compared to $386,000 for the same period in 2023[14] - Adjusted EBITDA for the three months ended September 29, 2024, was $720,000, up 23% from $586,000 in the prior year[15] Sales Performance - Pizza Inn domestic comparable store retail sales decreased by 2.1% in Q1 fiscal 2025[3] - Pie Five domestic comparable store retail sales decreased by 8.7% in Q1 fiscal 2025[4] Cash and Investments - Cash and cash equivalents were $1.4 million, while short-term investments were $7.1 million as of September 29, 2024[4] - The balance sheet remains strong with $8.4 million in cash and liquid short-term investments, sufficient to fund proposed share repurchases[5] - Cash provided by operating activities decreased to $520,000 from $628,000 year-over-year, reflecting a decline of approximately 17%[14] - The company reported a net decrease in cash and cash equivalents of $1,503,000, compared to an increase of $616,000 in the same quarter last year[14] - Total cash and cash equivalents at the end of the period were $1,383,000, down from $5,944,000 a year earlier, representing a decline of approximately 77%[14] - The company made purchases of short-term investments totaling $5,039,000 during the quarter, with no such purchases in the prior year[14] Expenses - Stock-based compensation expense was $73,000 for the three months ended September 29, 2024, slightly down from $79,000 in the same period last year[15] - The company incurred income tax expenses of $50,000, significantly higher than $5,000 in the prior year[14] - Depreciation and amortization expenses decreased to $43,000 from $55,000 year-over-year, a reduction of approximately 22%[15] Development and Innovations - The company signed a four-unit development agreement, bringing the total domestic sites contracted for development to 25[5] - A new online ordering platform led to a double-digit increase in online sales for Pizza Inn[5] - The company plans to introduce a new dessert innovation in early December and main course innovations early next calendar year[5] Franchise Performance - Franchisee default and closed store revenue impacts were recorded at $(9,000) compared to $(64,000) in the previous year, indicating an improvement[15]