Retail Food Group's share price has continued to tank in the fallout of a profit downgrade and media reports that have raised serious questions about the company's business model.

The stock fell 17.9 per cent on Wednesday to $1.62 - their lowest value in almost eight and a half years.

Retail Food Group's shares fell to their lowest value in more than eight years. Credit:Jessica Shapiro

Shares had tumbled 25 per cent on Tuesday after the company behind brands including Gloria Jean's, Donut King and Brumby's said it expected its half-year profit to fall by $11.5 million to $22 million.

The stock has now shed 63 per cent of its value in less than a fortnight, after Fairfax Media published a series of articles revealing that RFG's sharp business model was driving some franchisees to the wall.