Rave Restaurant Group (NASDAQ: RAVE) is a restaurant franchising company that owns and operates the Pizza Inn and Pie Five pizza brands through a franchise model. Revenue comes primarily from royalties collected as a percentage of franchisee sales, franchise fees, and supplier concessions. As of the fiscal year ended June 29, 2025, the system comprised 118 total units, including 96 domestic locations (Pizza Inn buffet, delivery/carryout, and ghost kitchen formats) and 22 international units. Total revenues were $12.0 million in FY2025, down from $12.2 million in FY2024. Net income increased to $2.7 million in FY2025 from $2.5 million in FY2024. Adjusted EBITDA rose to $3.6 million in FY2025 from $3.2 million in FY2024. The company is headquartered in the United States, lists on the NASDAQ Capital Market under the ticker RAVE, and has not paid dividends historically.

Revenue model

Royalties on franchisee retail sales, initial franchise fees, and supplier concessions. Franchisees also contribute a specified percentage of sales to brand-level marketing funds administered by Rave. Accounts receivable consist primarily of franchise royalties and supplier concessions.

Products and services

Pizza Inn (buffet, delivery/carryout, and ghost kitchen formats) and Pie Five (fast-casual individual pizza, franchised and ghost kitchen units). As of June 29, 2025: Pizza Inn had 79 buffet units and 15 Delco/Express units domestically, plus 1 ghost kitchen unit and 1 PIE licensed unit, and 22 international units. Pie Five had 18 franchised units and 2 ghost kitchen units open on average during FY2025.

Customers and end markets

Franchisees operating Pizza Inn and Pie Five restaurants are the direct customers. End consumers are retail pizza purchasers across buffet, delivery, carryout, and fast-casual formats.

Value-chain role

Franchisor. Rave provides brand standards, marketing programs, franchisee support, site selection assistance, and local store marketing materials. It does not operate the restaurants directly but collects royalties and fees from franchisee operators.

Geographic exposure

Primarily domestic United States. As of June 29, 2025, 96 domestic units and 22 international units. International unit count declined from 24 to 22 during FY2025.

Source: SEC 10-K, filed 2025-09-25

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