INDIANAPOLIS, Aug. 12, 2013 // 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 June 30, 2013.
Second Quarter 2013 Financial and Operational Highlights Compared to Second Quarter 2012
For purposes of comparing current operating results, the 2012 amounts above were adjusted, where appropriate, for the $100,000reduction in reserve for collectability of receivables from the Heyser Plaintiffs, which resulted in increasing revenues for the 2012 period shown for units no longer operating. Details regarding the adjustment for the reserve are provided in the company's Form 10-Q filed with the Securities and Exchange Commission.
Financial and Operational Highlights for the First Six-Months in 2013 Compared to Comparable Period in 2012
For purposes of comparing current operating results, the 2012 amounts above were adjusted, where appropriate, for the $300,000 reduction in reserve for collectability of receivables from the Heyser Plaintiffs, which resulted in increasing revenues for the 2012 period shown for units no longer operating. Details regarding the adjustment for the reserve are provided in the company's Form 10-Q filed with the Securities and Exchange Commission.
"We continue to successfully leverage the opportunities for revenue growth while maintaining control over operating expenses by maintaining focus on our primary growth engines through our take-n-bake initiatives," said Paul Mobley, Chairman and CEO of Noble Roman's, Inc. "This success is reflected in our growth in revenue, growth in operating margin and increase in net income before taxes. We have built a profitable platform for growth, benefitting from the increasing popularity of the take-n-bake concept, and as we expand both the stand-alone franchise concept and our network of grocery customers, we expect accelerated top- and bottom-line growth. We are well on our way to achieving our growth initiatives for the year in both areas."
The company has entered into agreements for 21 stand-alone take-n-bake locations. The first two stand-alone take-n-bake pizza locations opened in October and December 2012 and, to date, a total of eight have been opened with 12 under development and expected to open in the next few months. The company's stand-alone take-n-bake program features the chain's popular traditional Hand-Tossed Style pizza, Deep-Dish Sicilian pizza, SuperThin pizza, all with a choice of three different types of sauce, and Noble Roman's famous breadsticks with spicy cheese sauce, all in a convenient cook-at-home format. Additional menu items include such items as fresh salads, cookie dough, cinnamon rounds, bake-able pasta and more. The company is currently in discussions with many other prospects for its stand-alone program and is advertising for additional franchisees through various web-based franchise referral systems, which began in late January 2013. The Company expects to sign several more agreements for the stand-alone take-n-bake franchise yet this month.
Thus far in 2013, the company has signed 30 additional new franchise agreements for non-traditional locations 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 including the National Association of Convenience Stores, Western Petroleum Marketers Association, International Association of Amusement Parks and Attractions, and selected state convenience store associations.
Cash and cash equivalents totaled approximately $265,000 as of June 30, 2013 compared to $144,000 as of December 31, 2012. Total bank debt was $3.6 million as of June 30, 2013 compared to $4.3 million as of December 31, 2012. Total stockholders' equity as of June 30, 2013 was approximately $13.3 million compared to $12.4 million as of December 31, 2012.
Management will conduct a live teleconference to discuss its financial results at 4:30 p.m. ET on Monday, August 12, 2013. Anyone interested in participating should call 1-877-941-1427 if calling from the United States, or 1-480-629-9664 if dialing internationally. A replay will be available until August 19, 2013, which can be accessed by dialing 1-877-870-5176 within the United States and 1-858-384-5517 if dialing internationally. Please use passcode 4633992 to access the replay. In addition, the call will be webcast and will be available on the Company's website at www.nobleromans.com or by visiting http://public.viavid.com/index.php?id=105613.
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, 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 the success or failure of its recently developed stand-alone take-n-bake operation. 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.
Scott Mobley
President
317/634-3377
Paul Mobley
Chairman & CEO
317/634-3377
Brett Maas
Hayden IR
646/536-7331
brett@haydenir.com
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."