PIZZA INN, INC. REPORTS RESULTS FOR THE
FIRST QUARTER FISCAL YEAR 2006

THE COLONY, TEXAS - October 25, 2005 - PIZZA INN, INC. (NASDAQ:PZZI) today
reported a net loss per share for its first quarter ended September 25, 2005 of
($0.04) versus $0.03 earnings per share for the same quarter last year. The
quarter resulted in a net loss of ($393,000) versus net income of $285,000 for
the same quarter last year on revenues of $12.9 million and $14.4 million,
respectively.

FIRST QUARTER FY 2006 VERSUS FIRST QUARTER FY 2005 RESULTS
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Diluted EPS was ($0.04) versus $0.03 on a net loss of ($393,000) versus net
income of $285,000.

Revenues decreased approximately 11% or $1.6 million primarily due to lower
comparable chainwide retail sales, fewer net stores and the effect of Hurricane
Katrina (combined total is approximately $1.2 million). Additionally, equipment
sales decreased $241,000 and international sales of food and equipment decreased
$119,000.

Comparable chainwide retail sales were down 3.5%.

Legal fees increased approximately $363,000 as the result of ongoing
litigation and related matters.

Energy costs increased approximately $156,000.

General and administrative expenses included non-cash executive stock
compensation expense of $103,000 for approximately 560,000 stock option rights
granted previously to the chief executive officer and members of the board of
directors. The prior year did not include any non-cash compensation expense.

The Company's President and CEO, Tim Taft, commented, "Despite the temporary
negative impact of Hurricane Katrina on our financial results, our primary
concern is with the people of the Gulf Region and our operators there. We must,
however, remain focused on the fundamentals of our business, from concept
development to unit-level profitability. In the coming weeks we will introduce
our new buffet concept in the Dallas and Houston markets, featuring a more
progressive approach to our brand and its profitability. In addition, a new
franchisee selection program will roll out in November of this year, targeting
strategic markets throughout the chain. Also, as our Product and Purchasing
Committee reduces costs in the operating system, our marketing efforts have been
refocused to illuminate the brand's core competency - a tradition of serving
quality food and hospitality."

Certain statements in this press release, other than historical information, may
be considered forward-looking statements, within the meaning of the "safe
harbor" provisions of the Private Securities Litigation Reform Act of 1995, and
are subject to various risks, uncertainties and assumptions. Should one or more
of these risks or uncertainties materialize, or should underlying assumptions
prove incorrect, actual results may differ from those anticipated, estimated or
expected. Among the key factors that may have a direct bearing on Pizza Inn's
operating results, performance or financial condition are its ability to
implement its growth strategies, national, regional and local economic
conditions affecting the restaurant/entertainment industry, competition within
each of the restaurant and entertainment industries, store sales
cannibalization, success of its franchise operations, negative publicity,
fluctuations in quarterly results of operations, including seasonality,
government regulations, weather, commodity, insurance and labor costs.

Pizza Inn, Inc. is headquartered in The Colony, Texas, along with its
distribution division, Norco Restaurant Services Company. Pizza Inn franchises
approximately 385 restaurants and owns five restaurants with annual chainwide
sales of approximately $160 million.