THE COLONY, Texas—A slight lift in comparable-store sales couldn't keep revenue and profit from falling during Pizza Inn's fiscal third quarter.

According to a news release, system-wide comps rose 0.4 percent for the 12 weeks ended March 26, 2006. The chain lost $477,000 versus $20,000 for the same quarter last year on revenue of $12.8 million versus $13.4 million. Pizza Inn attributed the revenue decline to lower system sales, reduced royalties and falling cheese prices.

"Following months of research and preparation, we implemented the first phase of our marketing plan in January of this year and are already seeing encouraging results from these efforts," said Pizza Inn president and chief executive Tim Taft. "In addition, the renewed trust and confidence our franchise partners have in the brand's new direction is producing positive results. We continue to work together to establish the proper direction for Pizza Inn, one focused on our competitive strengths and advantages."

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