Business
Rocky Mountain Chocolate Factory Reports Fiscal Third Quarter 2023 Financial Results
Company to Hold Quarterly Conference Call Today at 5:00 p.m. ET Durango, Colorado--(Newsfile Corp. - January 12, 2023) - Rocky Mountain Chocolate Factory,
About this update from Rocky Mountain Chocolate Factory, Inc.
[{"type":"text","content":"Company to Hold Quarterly Conference Call Today at 5:00 p.m. ET\nDurango, Colorado--(Newsfile Corp. - January 12, 2023) - Rocky Mountain Chocolate Factory, Inc. (NASDAQ: RMCF) (the \"Company\", \"we\" or \"RMCF\"), a leading manufacturer and international franchiser of gourmet chocolates and other confectionary products, today reported financial and operating results for the three months ended November 30, 2022.\nFiscal Q3 2023 Results vs. Year-Ago Quarter\n\n\nTotal revenue increased 11% to $9.5 million.\n\n\nTotal gross profit increased 17% to $2.1 million, with gross margin up 50 basis points to 26.3%.\n\n\nLoss from operations reduced significantly to $212,000 compared to $2.0 million.\n\n\nNet loss improved significantly to $212,000 or $(0.03) per share, compared to a net loss of $1.5 million or $(0.24) per share.\n\n\nAdjusted EBITDA (a non-GAAP measure defined below) increased nearly 30% to $1.3 million.\n\n\nRecent Operational Highlights\n\n\nThe Company's franchisees and licensees opened one Rocky Mountain Chocolate Factory and U-Swirl co-branded location, and one Rocky Mountain Chocolate Factory and Cold Stone Creamery® co-branded location during the three months ended November 30, 2022.\n\n\nAs of November 30, 2022, CEO Rob Sarlls has completed 27 store visits out of the 50 pledged with his onboarding in the spring of 2022.\n\n\nEstablished a Franchisee Advisory Council to foster timely, consistent, and transparent dialogue among franchisees and the Company and completed its first meeting on January 9, 2023.\n\n\nAnnounced the appointment of Kelsey Smith as Flagship Operations Manager to oversee the conversion of the Company's Durango, CO store into a flagship operation.\n\n\n\"Our fiscal Q3 was highlighted by our strongest third quarter of sales since 2017, as well as our strongest third quarter of adjusted EBITDA since 2020,\" said Rob Sarlls, CEO of Rocky Mountain Chocolate Factory. \"We also generated record sales at our flagship Durango store, which was up 34% year-over-year for the quarter.\n\"We are still underway with developing and deploying our strategic transformation, however these early wins are very encouraging and indicate that we are on the right path. We plan to continue fostering dialogue with all of our stakeholders as we develop and finalize our strategic plan in the weeks ahead.\n\"Having met pers...