I posted this thread with the hope of initiating the exact...

I posted this thread with the hope of initiating the exact discussion that has ensued.

The posts I have found the most value-adding come from BigFin and his points about the challenging profitability of corporate stores and the caliber of franchisees, etc.

The consensus seems to be that while RFG operates in a sh$t industry, I think most recognize that the company has been recalibrated, and its balance sheet refreshed. However, the jury is still very much out to see if this translates into durable and sustainable Free Cash Flow (FCF), the lifeblood of any going concern.

I retain the hope that RFG will generate FCF of c. $15m in FY 2023 and that there is enough visibility to see this sustained into FY 2024 and beyond. Certainly, the interim result suggests that this is feasible in the current financial year. If this transpires along with the prospect of a resumption in dividends, the stock may have the potential to substantially rerate. If not, well then good-luck!

I do take heart from the upward trend in Network Sales, Same Store Sales, Customer Count, and Average Transaction Value... we obviously need to monitor this carefully.

One thing is for sure ... we will not die wondering!

Disclaimer: This is not financial advice and please DO NOT rely on my numbers, seek professional advice based on your specific investment needs and do your own research.