RAVE — what changed in the latest 10-K

Text removed vs the prior filing · source: 10-K · 2025-09-25

• Kiosk license agreements. Our PIE Units are typically offered for five-year initial license periods with options for additional five-year renewals. PIE Unit licensees are not charged development fees, license fees, royalties, or advertising assessments. PIE Unit license agreements require that the l…

• Training. New licensees and their PIE Unit employees must attend and successfully complete our training program, which consists of a single day of training at the licensed location. PIE Unit managers train their staff through on-the-job training, using video and printed materials produced by us.

• Standards. We require licensee adherence to a variety of standards designed to ensure proper operations and to protect and enhance the Pizza Inn brand. All licensees are required to operate their kiosks in compliance with these written policies, standards, and specifications, which include matters s…

Text added vs the prior filing · source: 10-K · 2026-09-24

• On August 31, 2026, the Company’s Chief Executive Officer, Mr. Brandon Solano, delivered email correspondence (the “Solano Correspondence”) to the Chairman of the Company’s Audit Committee, Mr. William C. Hammett, Jr. to “formally complain about workplace harassment and discrimination by RAVE Restau…

• The Solano Correspondence included a request for the Company to conduct “an investigation by an outside investigator to address these concerns” (an “Independent Investigation”). Solano also claimed that he had “filed a complaint with the Civil Rights Division of the Texas Workforce Commission due to…

• Many of the claims set forth in the Solano Correspondence relate to Mr. Solano’s assertion the Company has denied him salary increases enjoyed by other RAVE employees and Executive Team members based on his race and national origin (the “Discriminatory Compensation Claims”). In the context of the Di…

• Fiscal Year 2026. On October 20, 2025, the Rave Restaurant Group Compensation Committee passed a resolution to increase Mr. Solano’s salary to $370,000 per annum, with a proportional increase in his associated target bonus opportunity and restricted stock unit grants. The increased salary, bonus pot…

• Fiscal Years 2020-2025. For additional context, we have provided historic compensation information regarding Mr. Solano’s summary compensation prior to the Fiscal Year 2026 Compensation Increase for the Company’s fiscal years 2020-2025, as reported in the Company’s publicly filed proxy statements on…

Text removed vs the prior filing · source: 10-K · 2025-09-25

• The Company is subject to various claims and contingencies related to employment agreements, franchise disputes, lawsuits, taxes, food product purchase contracts and other matters arising out of the normal course of business. Management believes that any such claims and actions currently pending are…

Text added vs the prior filing · source: 10-K · 2026-09-24

• Pursuant to Instruction 1 to Item 303(a) of Regulation S-K, the discussion of fiscal year 2024 results has been omitted from this Annual Report on Form 10-K. Such discussion may be found under “Management's Discussion and Analysis of Financial Condition and Results of Operations” in Part II, Item 7 …

• The Company franchises pizza buffet (“Buffet Units”), delivery/carry-out (“Delco Units”), express restaurants (“Express Units”) and ghost kitchens (“Pizza Inn Ghost Kitchen Units”) under the trademark “Pizza Inn” and franchises fast casual pizza restaurants (“Pie Five Units”) and ghost kitchens (“Pi…

• The domestic units were located in 16 states predominantly situated in the southern half of the United States. The international restaurants were located in six foreign countries predominantly in the Middle East.

• Results of operations for the fiscal years 2026 and 2025 both included 52 weeks.

• Adjusted EBITDA for the fiscal year ended June 28, 2026, increased to $3.9 million compared to $3.6 million for the prior fiscal year. The following table sets forth a reconciliation of net income to EBITDA and Adjusted EBITDA for the periods shown (in thousands):

Text removed vs the prior filing · source: 10-K · 2025-09-25

• The Company franchises pizza buffet (“Buffet Units”), delivery/carry-out (“Delco Units”), express restaurants (“Express Units”) and ghost kitchens (“Pizza Inn Ghost Kitchen Units”) under the trademark “Pizza Inn” and franchises fast casual pizza restaurants (“Pie Five Units”) and ghost kitchens (“Pi…

• The domestic units were located in 15 states predominately situated in the southern half of the United States. The international restaurants were located in eight foreign countries predominantly in the Middle East.

• Fiscal years 2025 and 2024 included 52 and 53 weeks, respectively. In order to reflect comparable 53-week periods, week 53 of fiscal 2024 has been included in both periods in the presentation of retail sales, average units open and comparable store retail sales.

• Fiscal Year Ended Fiscal Year Ended Fiscal Year Ended Fiscal Year Ended

• Revenues are derived from franchise royalties, supplier and distributor incentives, franchise license fees, area development exclusivity fees and foreign master license fees, advertising fund contributions, supplier convention funds, rental income, and other income. The volume of supplier and distri…