Noble Roman's, Inc.

What they do

Noble Roman's, Inc., incorporated in Indiana in 1972, franchises, licenses and operates pizza 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.' The company operates nine Company-owned Craft Pizza & Pub full-service restaurants and, through subsidiary RH Roanoke, Inc., one Company-owned non-traditional location in a hospital. The primary expansion focus is the Noble Roman's Food Service Program sold to convenience store owners under 10-year renewable franchise agreements. It also has 12 total Craft Pizza & Pub locations in operation, including three franchised units.

Revenue drivers

• Company-owned Craft Pizza & Pub restaurants — Full-service restaurants serving pizza, salads and pasta plus beer and wine. FY2025 revenue was $8.77 million, about 53% of total revenue, with a 10.1% margin contribution ($886,395).
• Franchising revenue — Royalties and fees from non-traditional locations and Craft Pizza & Pub franchises. FY2025 revenue was $6.21 million, about 38% of total revenue, up from $5.54 million in 2024.
• Company-owned non-traditional restaurant — The RH Roanoke hospital location. FY2025 revenue was $1.21 million against $1.26 million of expenses, a negative margin contribution.
• Administrative fees and other — Smallest line, at $270,496 in FY2025, up from $77,910 in 2024.

Recent performance

FY2025 total revenue was $16.46 million, up from $15.15 million in 2024, and operating income rose to $2.88 million from $1.48 million. FY2025 net income was $1.17 million, or $0.04 diluted EPS, versus a net loss of $3,174 in 2024, with interest expense of $1.34 million and income tax expense of $417,472. Quarterly revenue has ranged from $4.13 million to $4.51 million across the four quarters ending 2026-06-30. At 2026-06-30 the balance sheet showed $15.6 million of total assets, $11.8 million of total liabilities, $3.8 million of shareholder equity and $1.1 million of cash.

Strategy

The company is concentrating on selling its Food Service Program to convenience store operators and travel plazas rather than opening more Company-operated locations. In October 2023 it signed a development agreement with Majors Management LLC for 100 franchise locations to be developed prior to September 30, 2026. During 2025, roughly 60 new non-traditional outlets opened and six closed, and no Craft Pizza & Pub restaurants opened or closed. Management states it has a backlog of sold Programs not yet opened and a significant pipeline of prospects, and it reports an additional franchised Craft Pizza & Pub under construction in Evansville, Indiana.

Risks

• Dependence on franchise growth — Growth depends on opening the backlog of sold but unopened non-traditional locations and selling new ones, which hinges on franchisee traffic, operating ability and food and labor costs outside the company's control.
• Competition from larger companies — The company competes with large national, regional and local restaurant companies, many with greater financial and other resources, on convenience, price, product quality and service.
• Leverage and interest expense — FY2025 interest expense was $1.34 million against operating income of $2.88 million, and at 2026-06-30 total liabilities of $11.8 million exceeded shareholder equity of $3.8 million.
• Deferred tax asset carrying value — The company carried $3.1 million in deferred tax assets at December 31, 2025, and stated utilization is based on its belief that it is more likely than not the assets will be realized.

Outlook

Management states it has no plans to open additional Company-operated locations and is directing development toward non-traditional franchising. It cites a backlog of sold but unopened Programs and a significant pipeline of prospects, anchored by the Majors Management agreement for 100 locations to be developed prior to September 30, 2026. The company also reports one additional franchised Craft Pizza & Pub under construction in Evansville, Indiana.