RAVE RESTAURANT GROUP, INC.RAVE

RAVE RESTAURANT GROUP, INC. Leases Disclosure

10-KFiled Sep 25, 20252 min read
NOTE F - LEASES:
 
The Company leases its 19,576 square foot corporate office facility with average annual lease payments of approximately $18.00 per square foot. This lease began on January 2, 2017 and has a ten-year term. The Company amended its lease agreement in June 2020 and has elected to defer one-half of the monthly base rent for the period from June 2020 through May 2021. As of June 29, 2025 and June 30, 2024, the unpaid balance of deferred base rent was approximately $24 thousand and $56 thousand, respectively which is included in accounts payable on the accompanying Consolidated Balance Sheets.
 
The components of total lease expense for the fiscal years ended June 29, 2025, June 30, 2024, and June 25, 2023, where operating lease cost is included in general and administrative expense and sublease income is included in revenues in the accompanying Consolidated Statements of Income, are as follows (in thousands):
 
                 
  Fiscal Year Ended
    June 29,
2025 		      June 30,
2024 		      June 25,
2023 		 
Operating lease cost
$377    $447    $494 
Sublease income
 (53)     (131)     (186) 
Total lease expense, net of sublease income
$324    $316    $308 
 
Supplemental cash flow information related to operating leases is included in the table below (in thousands):
 
                 
  Fiscal Year Ended
    June 29,
2025 		      June 30,
2024 		      June 25,
2023 		 
Cash paid for amounts included in the measurement of lease liabilities
$429    $511    $558 
 
Weighted average remaining lease term and weighted average discount rate for operating leases are as follows:
 
           
  Fiscal Year Ended
   
June 29, 2025
     
June 30, 2024
 
Weighted average remaining lease term
 
1.6 Years
     
1.5 Years
 
Weighted average discount rate
 4.2%    4.0%
 
Remaining operating lease liabilities with enforceable contract terms that are greater than one year mature as follows (in thousands):
 
    
 

Operating Leases 
Fiscal Year 2026
$388 
Fiscal Year 2027
 197 
Fiscal Year 2028
 6 
Fiscal Year 2029
 6 
Thereafter
 1 
Total operating lease payments
$598 
Less: imputed interest
 (22) 
Total operating lease liability
$576 

Historical Timeline

Fiscal YearFiled
2025Sep 25, 2025Showing above
2024Sep 26, 2024
2023Sep 21, 2023
2022Sep 23, 2022
2021Sep 21, 2021
2019Sep 30, 2019
2018Sep 24, 2018
2016Sep 23, 2016

About Leases Disclosures

Lease disclosures under ASC 842 provide a comprehensive view of a company's leased asset portfolio, including the split between operating and finance leases, discount rates used to present-value future payments, and the maturity schedule of lease obligations. This section reveals a significant source of off-balance-sheet commitments that were largely hidden before the current standard.

Key signals: the weighted-average discount rate affects the size of recorded lease liabilities — a higher rate reduces the reported obligation, so compare the chosen rate against the company's incremental borrowing rate. The operating versus finance lease mix affects both EBITDA and operating income presentation. Watch the maturity table for concentration risk: large payment cliffs in specific years may create cash flow pressure. Variable lease payments excluded from the liability measurement represent real obligations that do not appear on the balance sheet. Compare total lease costs against prior-year operating lease expense to assess the true economic burden.

Other Available Disclosures

Income TaxesRevenueEarnings Per SharePP&EGoodwill & IntangiblesSegmentsDebtCommitmentsStock CompensationNew Standards