PZZI lost $294k in Q4 2013 on the 12 Pie Fives they own. Same quarter last year they lost $198k on 8 stores they owned and operated. this trend needs to reverse fast or nobody will want to open Pie Fives for them. they lose more and more as they open more stores. #$%$
avg weekly sales per store was down Q/Q which probably helps explain why Flynn Dekker quit.
kind of weird that 10-Q didnt mention the CFO quitting in Q4
Most of this loss is depreciation, so they're not bleeding cash. Looks to me like the depreciation piles up fairly quickly comparing it to their cap ex. The trend in avg weekly sales Q/Q is -$15/wk per store. Hardly anything to worry about. Didn't you read about the ice storm? This could be seasonal fluctuation. I think Y/Y comparison looks better. The bigger concern is the average weekly sales for franchisees. This looks to be about $10k based on the six month numbers. Certainly it's below the company store numbers. Perhaps a better marketing exec will help this.
Moving forward, we need to hear about a solid exec team coming on board and new units opening up and pronto. Otherwise, this will keep drifting down.
also - "We believe that the addition of three Pie Five Units during the second quarter of fiscal 2014 reflects the beginning of an accelerated pace of growth in the opening of Pie Five Units as franchised stores begin to open pursuant to previously executed franchise development agreements and the Company continues to develop its own stores in the Dallas-Fort Worth and Houston metropolitan areas."