INDIANAPOLIS, IN - (Marketwired - Aug 11, 2015) - Noble Roman's, Inc. (OTCQB: NROM), the Indianapolis based franchisor and licensor of Noble Roman's Pizza and Tuscano's Italian Style Subs, today announced results for the second quarter of 2015.
At the end of the second quarter of 2015, the company previously announced that it was carrying out plans to position itself for more rapid, broad-based growth and substantial progress has already been made on executing those plans. In early July, the company hired a veteran supermarket executive to assume the newly created role of Vice President of Supermarket Development, Procurement and Distribution. Also in early July, the company hired an experienced sales person to expand the company's ability to sign up new franchisees and licensees. Finally, in late July, the company engaged the services of a respected national franchise broker.
Management expects to hire one more experienced sales professional by the end of August, further bolstering the expanded sales initiative. These accomplishments, plus the ongoing stocking of additional grocery distributors with Noble Roman's products, with a large number of potential grocery locations for potential growth for Noble Roman's, should result in more rapid growth for the remainder of this year and beyond.
"These are exciting and significant events and we are looking forward to the potential positive impact on the remainder of 2015 and beyond," said Scott Mobley, President and Chief Executive Officer. "We believe the company has created a diversified platform for profitable future growth. We are encouraged by the strong response from grocery store distributors and the number of their customers adding Noble Roman's. We continue to experience solid progress with our selected venues, demonstrating the strength of our brand and validating our confidence in the diversified platform we have created. Based on the progress in all of our venues to date and especially with grocery store distributors, we are expecting double digit revenue growth in 2016."
Financial Highlights for the Second Quarter Ended June 30, 2015Compared to the Second Quarter of 2014.
Financial Highlights for the Six Months Ended June 30, 2015 Compared to the Six Months Ended June 30, 2014
The Company made the decision to create a valuation allowance of $600,000 against its receivables including receivables from the Heyser case, even though at the current time the company believes that all of its receivables are collectible.
As previously stated, the company continues to focus on growth in three primary venues: non-traditional franchises and 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 in this and future years while maintaining relatively stable operating costs, as has been the company's history for the past several years.
Current assets totaled $4.8 million and current liabilities totaled $2.3 million as of June 30, 2015 compared to total current assets of $4.4 million and current liabilities of $2.1 million as of December 31, 2014. Total bank debt was $2.6 million as of June 30, 2015 compared to $3.3 million as of December 31, 2014. Total stockholders' equity as of June 30, 2015 was $14.6 million compared to $13.8 million as of December 31, 2014.
Conference Call - Management will conduct a live teleconference to discuss its financial results Tuesday, August 11, 2015 at 4:30 p.m. ET. Anyone interested should call 1-877-407-0778 if calling within the United States or 1-201-689-8565 if calling internationally. A replay will be available until September 11, 2015 by dialing 1-877-660-6853 if calling within the United States or 1-201-612-7415 if calling internationally and referencing replay pin number 13617167. A live webcast is available at http://www.investorcalendar.com/IC/CEPage.asp?ID=174268.
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." The Company has awarded franchise and/or license agreements in all 50 states plus Washington, D.C., Puerto Rico, the Bahamas, Italy, Canada and the Dominican Republic.
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 and the performance of the recently added sales staff and a franchise broker. 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.