Noble Romans, Inc.: Noble Roman's Announces First Quarter 2025 Earnings and Other Highlights

INDIANAPOLIS, IN / ACCESS Newswire / June 26, 2025 / Noble Roman's, Inc. (OTCQB:NROM), the Indianapolis based franchisor of Noble Roman's Pizza and Noble Roman's Craft Pizza & Pub, today announced first quarter 2025 financial data and other recent company highlights.

Financial highlights from the first quarter of 2025 include:

• Net Income Before Taxes of $171,885 versus a Net Loss of $86,477 for the same period in 2024. The company will not pay income taxes for a number of years due to its roughly $3.5 million Deferred Tax Asset.

• Total Revenue of $3.8 million versus $3.7 million for the same period in 2024, an increase of 2.6% during what is typically the slowest quarter of the year and despite unusually inclement weather during the first 2 months of 2025.

• Same stores sales increase in the company-owned Craft Pizza & Pub segment of 1.2% versus the same period in 2024, despite the weather conditions cited above and despite the downturn in consumer sentiment.

• Expenses for this venue are mostly fixed for numerous additional locations, so the margin contribution rate and the contribution to income from the company's non-traditional franchising revenue will continue to increase as more locations are opened. The contribution margin was 62.2% in the first quarter.

Additional company highlights:

• Significant revenue growth in the non-traditional franchise segment is expected to continue in 2025 after the 18.8% increase in 2024; projections call for up to 60-70 new units on the heels of the 68 new units opened during the year 2024.

• Same store sales in the company-owned Craft Pizza & Pub segment continued to rise into the second quarter of 2025 by 2.7% in April and 9.3% in May compared to corresponding months in 2024; June may likely show positive same store sales increases as well, despite the current economic climate and the uncertainty created by current events.

• As previously announced, the company has retained the services of a new placement agent to assist in obtaining new financing for the company, which is progressing positively. Among other uses, proceeds will be used to retire the current senior loan with Corbel Capital Partners SBIC, L.P., along with their outstanding warrants (which Corbel has indicated their desire to accomplish as well), the company's subordinated notes, and the cost of the capital raise. As previously announced, in April 2025 the company entered into an agreement with Corbel to extend the maturity of their loan to the company until June 30, 2026.

• As recently announced, the Board of Directors of the company will be evaluating alternative independent accountants to serve as the company's auditor for 2025. The report on the consolidated balance sheet of the company and its subsidiaries as of December 31, 2024, and the related consolidated statements of operations, changes in stockholders' equity, and cash flows for the year ended December 31, 2024, and the related notes, provided by the company's auditor for 2024 did not contain any adverse opinion or disclaimer of opinion, nor were they qualified or modified as to uncertainty, audit scope, or accounting principles. The auditors for the December 31, 2023 audit expressed an unqualified and unmodified opinion on those statements as well.

The statements concerning the company's future revenues, profitability, financial resources, financing efforts, market demand and product development are forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995) relating to the company that are based on the beliefs of the management of the company, as well as assumptions and estimates made by and information currently available to the company's management. The company's actual results in the future may differ materially from those indicated by the forward-looking statements due to risks and uncertainties that exist in the company's operations and business environment, including, but not limited to competitive factors and pricing and cost pressures, the company's ability to service its loan and refinance the Senior Note before its maturity in 2026, the emergence or spread of human or animal pandemics (such as COVID-19 or the Avian Influenza), non-renewal of franchise agreements or the openings contemplated by the Development Agreement not occurring, shifts in market demand, the success of franchise programs, general economic conditions and national or international events, changes in demand for the company's products or franchises, the impact of franchise regulation, the success or failure of individual franchisees, inflation, other changes in prices or supplies of food ingredients and labor and as well as the factors discussed under "Risk Factors" contained in the Annual Report on Form 10-K. Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove incorrect, actual results may vary materially from those described herein as anticipated, believed, estimated, expected or intended. If activist stockholder activities ensue, or if certain parties (acting individually or as a group) seek to continue or initiate interference in the company's business relationships, the company business could be adversely impacted

-END-

Noble Roman's, Inc. and Subsidiaries
Consolidated Balance Sheets
(Unaudited and Not Reviewed)

Assets		December 31, 2024				March 31, 2025
Current assets:		(Not Reviewed)				(Not Reviewed)
Cash		$	710,227			$	564,637
Employee Retention Tax Credit Receivable			507,726				507,726
Accounts receivable - net			586,554				529,648
Inventories			986,975				983,201
Prepaid expenses			194,902				175,148
Total current assets			2,986,384				2,760,360
Property and equipment:
Equipment			4,349,205				4,367,876
Leasehold improvements			3,142,591				3,143,365
			7,491,796				7,511,241
Less accumulated depreciation and amortization			3,583,276				3,678,800
Net property and equipment			3,908,520				3,832,441
Deferred tax asset			3,532,199				3,490,947
Deferred contract costs			1,604,952				1,597,310
Goodwill			278,466				278,466
Operating lease right of use assets			4,154,804				4,010,511
Other assets			303,922				318,455
Total assets		$	16,769,247			$	16,288,490
Liabilities and Stockholders' Equity
Current liabilities:
Accounts payable and accrued expenses		$	840,848			$	535,885
Current portion of operating lease liability			870,140				923,277
Current portion of Corbel loan payable			1,066,668				1,091,670
Warrant liability			538,822				538,822
Total current liabilities			3,316,478				3,089,654
Long-term obligations:
Loan payable to Corbel net of current portion			5,551,738				5,368,400
Convertible notes payable			575,000				575,000
Operating lease liabilities - net of current portion			3,505,718				3,302,141
Deferred contract income			1,604,952				1,597,310
Total long-term liabilities			11,237,408				10,842,851
Total liabilities		$	14,553,886			$	13,932,505
Stockholders' equity:
Common Stock - no par value (40,000,000 shares authorized, 22,215,512 issued and outstanding as of December 31, 2024 and March 31, 2025)			24,867,778				24,877,769
Accumulated deficit			(22,652,417	)			(22,521,784	)
Total stockholders' equity			2,215,361				2,355,985
Total liabilities and stockholders' equity		$	16,769,247			$	16,288,490

Noble Roman's, Inc. and Subsidiaries
Consolidated Statements of Operations
(Unaudited and Not Reviewed)

		Three-Months Ended March 31,
		2024				2025
		(Not Reviewed)				(Not Reviewed)
Revenue:
Restaurant revenue - company-owned Craft Pizza & Pub		$	1,995,524			$	2,019,418
Restaurant revenue - company-owned non-traditional			238,147				294,573
Franchising revenue			1,425,290				1,445,908
Administrative fees and other			7,144				299
Total revenue			3,666,105				3,760,198
Operating expenses:
Restaurant expenses - company-owned Craft Pizza & Pub			1,831,444				1,890,687
Restaurant expenses - company-owned non-traditional			225,760				293,111
Franchising expenses			489,667				546,447
Total operating expenses			2,546,871				2,730,245
Depreciation and amortization			96,266				96,066
General and administrative expenses			577,286				424,405
Defense against activist shareholder			13,479				7.843
Total expenses			3,233,902				3,258,559
Operating income			432,203				501,639
Interest expense			394,180				329,754
Change in fair value of warrants			124,500				-
Income (loss) before income taxes			(86,477	)			171,885
Income tax expense			-				41,252
Net income (loss)		$	(86,477	)		$	130,633
Earnings per share - basic
Net income (loss)		$	(.00	)		$	.01
Weighted average number of common shares outstanding			22,215,512				22,215,512
Diluted earnings per share:
Net income (loss)		$	(.00	)		$	.01
Weighted average number of common shares outstanding			22,215,512				25,278,930

FOR ADDITIONAL INFORMATION, CONTACT:

For Media Information: Scott Mobley, President & CEO ([e-mail])
For Investor Relations: Paul Mobley, Executive Chairman ([e-mail])
Mike Cole, Investor Relations: 949-444-1341 ([e-mail])

SOURCE: Noble Romans, Inc.

View the original press release on ACCESS Newswire:
https://www.accessnewswire.com/newsroom/en/food-and-beverage-products/noble-romans-announces-first-quarter-2025-earnings-and-other-highlights-1043465