Rave Restaurant Group, Inc. reported its financial results for the three and six months ended December 28, 2025, revealing a revenue increase to $3.0 million for the quarter, up from $2.9 million in the same period last year. For the six-month period, revenues rose to $6.3 million compared to $5.9 million in the prior year. The company’s net income for the latest quarter was $637,000, slightly higher than the $607,000 reported in the previous year, while year-to-date net income increased to $1.3 million from $1.1 million.
The company experienced a 10.5% increase in Pizza Inn franchise revenues for the three months ended December 28, 2025, totaling $2.8 million, driven by higher supplier and distributor incentives and domestic royalties. Conversely, Pie Five franchise revenues decreased by 21.7% to $235,000 for the same quarter, attributed to lower system-wide retail sales and unit closures. Overall, the company’s total costs and expenses rose to $2.3 million for the quarter, compared to $2.2 million in the prior year, primarily due to increased general and administrative expenses.
Operationally, Rave Restaurant Group reported a total of 113 franchised and licensed units across its brands, with 97 units under Pizza Inn and 16 under Pie Five as of December 28, 2025. The company noted a modest increase in the average number of Buffet Units open, which rose from 78 to 80 during the quarter. However, Pie Five saw a decrease in average units open from 18 to 16, reflecting challenges in that segment. The company also closed two units during the quarter, impacting overall retail sales.
In terms of strategic developments, Rave Restaurant Group has shifted its focus away from ghost kitchens, closing the remaining locations during the reporting period. The company continues to explore opportunities for future franchising of ghost kitchens but has not made any commitments at this time. The company’s cash and cash equivalents decreased to $624,000 from $2.9 million at the end of the previous fiscal period, while short-term investments increased to $10.3 million, reflecting a strategic focus on liquidity.
Looking ahead, Rave Restaurant Group anticipates continued growth in its Pizza Inn segment, supported by an increase in average units and comparable store sales. However, the company expects challenges in the Pie Five segment due to the recent unit closures and a decrease in average units open. Management remains optimistic about leveraging its existing franchise relationships and exploring new opportunities to enhance overall performance in the coming quarters.
About RAVE RESTAURANT GROUP, INC.
Rave Restaurant Group, Inc. operates and franchises pizza concepts under Pizza Inn and Pie Five brands, offering dine-in, carryout, delivery, and ghost kitchen services globally. Its business model includes franchising, licensing, and supply distribution, focusing on high-quality, affordable pizza with diverse formats and locations. The company emphasizes brand standards, site selection, and operational support to sustain competitive, family-oriented restaurant systems in domestic and international markets.
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