“Pizza Inn Holdings, Inc. PZZI -4.83% today announced results for the third fiscal quarter ended March 25, 2012,” according to Market Watch. “Quarterly net income decreased $0.4 million year over year to $52 thousand, or $0.01 per share, compared to net income of $0.4 million, or $0.06 per share, for the same quarter of the prior fiscal year. The decline in net income was primarily attributable to lower food and supply sales, as well as pre-opening costs associated with new Company-owned Pie Five restaurants. Third quarter revenues were essentially unchanged at $10.6 million compared to $10.7 million for the same quarter of the prior fiscal year. Company-owned restaurant sales increased 45.8% to $1.7 million due primarily to new store openings. However, food and supply sales decreased by approximately $0.5 million, or 6.2%, due to a decrease in the average number of restaurants open in the current period, a 4.0% decrease in domestic franchisee retail sales and a decrease in non-proprietary food purchased from the Company by franchisees when compared to the prior year period.
For the nine months ended March 25, 2012, net income was $0.4 million, or $0.05 per share, compared to $0.9 million, or $0.12 per share, for the same period in the prior fiscal year. The decline in net income was primarily attributable to a $0.7 million decline in food and supply sales, $0.2 million of pre-opening costs associated with the opening of four Pie Five stores during the nine months ended March 25, 2012, and $0.6 million of costs associated with preparing the Company to support the growth of the Pie Five business and the franchising of Pizza Inn in China. Revenues increased $0.4 million, or 1.3%, to $32.1 million for the nine months ended March 25, 2012 compared to $31.7 million during the same period in the prior fiscal year. Domestic franchise buffet-style restaurant same store sales increased 0.1% while total domestic franchise same store sales decreased 0.1% compared to the prior fiscal year. For the nine months of fiscal 2012, Company store restaurant sales increased $1.2 million, or 40.6%, to $4.2 million due to new store openings.”