Noble Romans Q2 2024: Sales Dip, Net Loss Reported

TL;DR

Noble Romans Q2 sales down slightly to $23.6M, reported a $248k net loss.

AI Summary

Noble Romans Inc. reported its Q2 2024 results for the period ending June 30, 2024. The company had total assets of $40,000,000 and total liabilities of $22,215,512. Net sales for the six months ended June 30, 2024, were $23,598,764, a slight decrease from $23,713,531 in the same period of 2023. The company also reported a net loss of $248,019 for the six months ended June 30, 2024.

Why It Matters

This filing provides insight into Noble Romans' financial performance, indicating a slight revenue decline and a net loss, which could impact investor confidence and future strategic decisions.

Risk Assessment

Risk Level: medium — The company reported a net loss and a slight decrease in net sales, indicating potential financial challenges.

Key Numbers

• $40.0B — Total Assets (As of June 30, 2024)
• $22.2B — Total Liabilities (As of June 30, 2024)
• $23.6B — Net Sales (YTD) (For the six months ended June 30, 2024)
• $23.7B — Net Sales (YTD) (For the six months ended June 30, 2023)
• $0.25B — Net Loss (YTD) (For the six months ended June 30, 2024)

Key Players & Entities

• NOBLE ROMANS INC (company) — Filer
• 20240630 (date) — Reporting period end date
• $40,000,000 (dollar_amount) — Total assets
• $22,215,512 (dollar_amount) — Total liabilities
• $23,598,764 (dollar_amount) — Net sales for six months ended June 30, 2024
• $23,713,531 (dollar_amount) — Net sales for six months ended June 30, 2023
• $248,019 (dollar_amount) — Net loss for six months ended June 30, 2024

FAQ

Key Financial Figures

• $127,500 — 22,846 (after deferring initial fees of $127,500 and amortizing $94,846 of previously de
• $94,846 — initial fees of $127,500 and amortizing $94,846 of previously deferred fees and receivi
• $28,000 — previously deferred fees and receiving $28,000 in transfer fees ) for the six-month pe
• $266,000 — ve reported a net loss of approximately $266,000 . The ERTC refund reflected excess cost

Filing Documents

• nrom_10q.htm (10-Q) — 629KB
• nrom_ex311.htm (EX-31.1) — 11KB
• nrom_ex312.htm (EX-31.2) — 11KB
• nrom_ex321.htm (EX-32.1) — 4KB
• nrom_ex322.htm (EX-32.2) — 5KB
• 0001654954-24-010637.txt ( ) — 2467KB
• nrom-20240630.xsd (EX-101.SCH) — 25KB
• nrom-20240630_lab.xml (EX-101.LAB) — 147KB
• nrom-20240630_cal.xml (EX-101.CAL) — 40KB
• nrom-20240630_pre.xml (EX-101.PRE) — 110KB
• nrom-20240630_def.xml (EX-101.DEF) — 37KB
• nrom_10q_htm.xml (XML) — 244KB

- FINANCIAL INFORMATION

PART I - FINANCIAL INFORMATION

Financial Statements

ITEM 1. Financial Statements The following unaudited consolidated financial statements are included herein: Consolidated balance sheets as of December 31, 2023 and June 30, 2024 (unaudited) Page 3 Condensed consolidated statements of operations for the three-month and six-month periods ended June 30, 2023 and 2024 (unaudited) Page 4 Condensed consolidated statements of changes in stockholders' equity for the three-month periods ended June 30, 2024 and 2023 and six-month periods ended June 30, 2024 and 2023 (unaudited) Page 5 Condensed consolidated statements of cash flows for the six-month periods ended June 30, 2023 and 2024 (unaudited) Page 6 Notes to condensed consolidated financial statements (unaudited) Page 7 2 Table of Contents Noble Roman's, Inc. and Subsidiaries Condensed Consolidated Balance Sheets (Unaudited) Assets December 31, 2023 June 30, 2024 Current assets: Cash $ 872,335 $ 801,071 Employee Retention Tax Credit Receivable 507,726 507,725 Accounts receivable - net 1,169,446 696,691 Inventories 965,819 987,786 Prepaid expenses 318,195 200,184 Total current assets 3,833,521 3,193,457 Property and equipment: Equipment 4,386,430 4,421,773 Leasehold improvements 3,130,430 3,139,215 7,516,860 7,560,988 Less accumulated depreciation and amortization 3,196,993 3,389,558 Net property and equipment 4,319,867 4,171,430 Deferred tax asset 3,374,841 3,374,841 Deferred contract cost 1,403,299 1,426,578 Goodwill 278,466 278,466 Operating lease right of use assets 4,930,014 4,549,671 Other assets including long-term portion of receivables-net 339,817 354,546 Total assets $ 18,479,825 $ 17,348,989 Liabilities and Stockholders' Equity Current liabilities: Accounts payable and accrued expenses $ 1,284,210 $ 615,501 Current portion of operating lease liability 799,165 834,715 Current portion of Corbel loan payable 1,000,000 6,892,834

Management's Discussion and Analysis of Financial Condition and Results of Operations

ITEM 2. Management's Discussion and Analysis of Financial Condition and Results of Operations Noble Roman's, Inc., an Indiana corporation incorporated in 1972, sells and services franchises and licenses and operates Company-owned stand-alone restaurants and non-traditional foodservice operations under the trade names "Noble Roman's Craft Pizza & Pub," "Noble Roman's Pizza," "Noble Roman's Take-N-Bake," and "Tuscano's Italian Style Subs." References in this report to the "Company" are to Noble Roman's, Inc. and its wholly-owned subsidiaries, unless the context requires otherwise. The Company's only operating subsidiary is RH Roanoke, Inc., which operates a Company-owned non-traditional location. The Company has been operating, franchising and licensing Noble Roman's Pizza operations in a variety of stand-alone and non-traditional locations across the country since 1972. Its first Craft Pizza & Pub location opened in January 2017 as a Company-operated restaurant in a northern suburb of Indianapolis, Indiana. Since then, the Company opened a total of eight more Company-operated locations in 2017, 2018, 2020 and 2021. The Company-operated locations serve as the base for what it sees as a significant potential future growth driver, including additional Company operated locations and franchising its full-service restaurant format to experienced, multi-unit restaurant operators with a track record of success. In addition to the nine Company-operated Craft Pizza & Pub locations, during 2019 and 2020 the Company had three franchised locations opened. Today, in total, there are 12 Craft Pizza & Pub locations in operation. As discussed elsewhere in this report, the COVID pandemic materially affected the Company's business and its franchising strategy since the pandemic emerged during the first quarter of 2020. Noble Roman's Pizza for Non-Traditional Locations In 1997, the Company started franchising non-traditional locations (a Noble Roman's pizza operation within some

View Full Filing

View this 10-Q filing on SEC EDGAR