INDIANAPOLIS - Nov. 6, 2014 // PRNewswire // - Noble Roman's, Inc. (OTC/BB: NROM), the Indianapolis based franchisor and licensor of Noble Roman's Pizza and Tuscano's Italian Style Subs, today announced results for the quarterly period ended September 30, 2014.
Third Quarter 2014 Financial and Operational Highlights Compared to Third Quarter 2013
Financial and Operational Highlights for the First Nine-Months in 2014 Compared to Comparable Period in 2013
The company continues to focus on growth in its three primary venues, which are non-traditional franchises/licenses other than grocery stores, the sale of take-n-bake pizzas through grocery deli departments and stand-alone take-n-bake franchised locations. The company anticipates continued growth in all three venues for the remainder of 2014 and future years while maintaining stable operating costs, as has been the company's history for the past several years. Thus far during the fourth quarter, the Company has signed an additional 161 locations for the grocery store take-n-bake, which brings the new license agreements for the grocery store take-n-bake to 465 new locations signed in 2014 through October 31, 2014.
"We are currently in ongoing discussions with a number of grocery store chains representing over 7,000 possible additional grocery store locations and in discussions with two large grocery store distributors and, if signed, will add several thousand more grocery store locations for possible addition to the Company's license take-n-bake in grocery stores," said Paul Mobley, Chairman and CEO of Noble Roman's, Inc. Mr. Mobley also added, "The interest shown at grocery store shows by larger grocery chains and some new distributors is a very positive sign for additional growth in this venue for the remainder of 2014 and even greater growth and financial impact on 2015."
The grocery store take-n-bake pizzas are now displayed in bakeable, treated aluminum pans with a clear plastic top. Consumers bake the pizzas in these pans and the anodized treatment on the bottom is designed to increase home baking performance, drawing in more heat to make the pizzas crispy on the bottom but soft in the middle. The clear plastic top allows the entire pizza to be visible and appealing. The new products include a gluten-free crust designed to appeal to a growing segment of the population and three varieties of 14-inch mega-topped pizzas,designed for tremendous value appeal, which are called "Mile-High Extra Meat Pizza", "Extra Cheese Four Cheese Pizza" and "Double-Topped Pepperoni Pizza".
In 2014 through October 31, 2014, the Company has signed 33 additional new franchise/license agreements for non-traditional locations other than grocery stores and is in discussion with numerous other convenience store chains and entertainment facilities for additional non-traditional locations. The primary source of growth in this segment comes from existing franchisees and exhibiting in various industry trade shows.
Mr. Mobley stated that "during the second and third quarters we signed agreements, with a chain of approximately 300 convenience stores, for seven locations, all of which are now open. The chain has targeted 21 additional locations which it intends to sign agreements for soon with development continuing thereafter until they have put Noble Roman's Pizza in nearly all of their locations."
The company has entered into agreements for 68 stand-alone take-n-bake locations and is currently in discussions with several other prospects. The company continues to tightly screen all applicants for a stand-alone take-n-bake franchise and declines a high percentage of the applicants.
Mr. Mobley stated, "Our stand-alone take-n-bake development is still relatively new and we are continuing to look at further enhancements to improve sales and to make the operation even more appealing."
Current assets totaled $4.5 million and current liabilities totaled $2.2 million as of September 30, 2014 compared to total current assets of $3.5 million and current liabilities of $2.0 million as of December 31, 2013. Total bank debt was $2.9 million as of September 30, 2014 compared to $3.85 million as of December 31, 2013. Total stockholders' equity as of September 30, 2014 was $13.4 million compared to $11.7 million as of December 31, 2013.
Conference Call - Management will conduct a live teleconference to discuss its financial results at 4:30 p.m. EST on Thursday, November 6, 2014. Anyone interested should call 1-877-604-9673 if calling from the United States, or 1-719-325-4748 if calling internationally. A replay will be available until November 13, 2014, which can be accessed by dialing 1-877-870-5176 with in the United States or 1-858-384-5517 if calling internationally. Please use passcode 8579625 to access the replay. In addition, the call will be webcast and will be available on the Company's website at www.nobleromans.com.
The statements contained in this press release concerning the company's future revenues, profitability, financial resources, 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 projected in 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 pressures, non-renewal of franchise agreements, shifts in market demand, the success of new franchise programs with limited operating history including the stand-alone take-n-bake locations, general economic conditions, changes in purchases of or demand for the company's products, licenses or franchises, the success or failure of individual franchisees and licensees, changes in prices or supplies of food ingredients and labor, and dependence on continued involvement of current management. Should one or more of these risks or uncertainties materialize, or should underlying assumptions or estimates prove incorrect, actual results may differ materially from those described herein as anticipated, believed, estimated, expected or intended. The company undertakes no obligations to update the information in this press release for subsequent events.
SOURCE Noble Roman's Inc.
Noble Roman's, Inc. sells and services franchises and licenses for non-traditional foodservice operations under the trade names "Noble Roman's Pizza," "Noble Roman's Take-n-Bake," and "Tuscano's Italian Style Subs."