Mon, Jun 9, 1:34 PM (15 days ago)
**Noble Roman’s, Inc. (NROM) 2024 Financial Summary** **Company Overview:** Noble Roman’s, Inc. (NROM) operates and franchises pizza restaurants under various brands, including "Noble Roman’s Craft Pizza & Pub" and "Noble Roman’s Pizza." The company focuses on non-traditional franchising, particularly in convenience stores, and has seen growth in this segment. **Financial Performance:** - **Revenue:** Total revenue increased from $14.4 million in 2023 to $15.1 million in 2024. - **Restaurant Revenue:** Decreased slightly from $8.7 million to $8.6 million. - **Franchising Revenue:** Increased from $4.7 million to $5.6 million due to the opening of 68 new non-traditional outlets. - **Administrative Fees and Other:** Increased from $29,567 to $77,910. - **Operating Expenses:** Increased from $8.8 million to $10.5 million. - **Restaurant Expenses:** Slightly decreased for company-owned restaurants but increased for non-traditional locations. - **Franchising Expenses:** Increased significantly from $231,695 to $1.7 million. - **Net Income:** Decreased from a profit of $1.5 million to a loss of $3,174 due to higher expenses and lower margins. - **Earnings per Share:** Basic and diluted earnings per share were $0.07 in 2023 and $0.00 in 2024. **Strategic Overview:** - **Growth Strategy:** Focus on non-traditional franchising, particularly in convenience stores, and franchising the full-service restaurant format. - **Market Position:** Competitive in the pizza restaurant industry, with a focus on quality and convenience. **Future Outlook:** - **Expansion:** Continued growth in non-traditional franchising, with a significant backlog of prospects. - **Financial Condition:** The company has $7.1 million in debt obligations, with a senior secured promissory note maturing in June 2026. The company believes it will have sufficient cash flow to meet its obligations. **Risk Factors:** - **Economic Conditions:** Dependence on economic factors and consumer spending. - **Competition:** Competition from larger companies and pricing pressures. - **Regulatory Risks:** Compliance with various federal, state, and local regulations. **Market Position Changes:** - **Stock Performance:** The company's stock is quoted on the OTCQB under the symbol "NROM." The market for the common stock is limited, and the stock is thinly traded. **Conclusion:** Noble Roman’s, Inc. is focusing on growth through non-traditional franchising and faces challenges related to economic conditions and competition. The company's financial condition is stable, but it needs to manage expenses and maintain revenue growth to improve profitability.