Business
RUM Reports Financial Results for the Second Quarter Ended June 30, 2024
EDMONTON, AB / ACCESSWIRE / August 27, 2024 / Rocky Mountain Liquor Inc. (TSX-V: RUM ) (the "Com...
About this update from Rocky Mountain Liquor Inc.
[{"type":"text","content":"RUM Reports Financial Results for the Second Quarter Ended June 30, 2024EDMONTON, AB / ACCESSWIRE / August 27, 2024 / Rocky Mountain Liquor Inc. (TSX-V:RUM) (the \"Company\" or \"Rocky Mountain\"), listed on the TSX Venture Exchange (the \"Exchange\"), today reported its financial results for the second quarter ended June 30, 2024.KEY OPERATING AND FINANCIAL HIGHLIGHTS 3 months ended 6 months ended June 2024 June 2023Restated (1) June 2024 June 2023Restated (1) Sales $10,183,261 $11,242,366 $18,628,655 $19,854,906 Gross margin (2) 23.0% 23.6% 22.9% 23.0%Net comprehensive (loss) income (3) $(171,500) $312,689 $(537,081) $22,429 EBITDAR (2) $527,806 $905,222 $588,385 $1,201,120 The Great Canadian Liquor brand is strategically focused on providing an exceptional customer experience while maintaining competitive pricing. The Company continues to adapt to changing economic conditions however the persistent presence of elevated inflation rates and interest levels has notably impacted consumer spending patterns in the first six months of 2024.A net comprehensive loss was incurred and EBITDAR is lower for the 3 and 6 months ended June 30, 2024, compared to net comprehensive income and higher EBITDAR for the same 3 and 6 month periods in 2023, primarily due to:Lower sales and the corresponding lower dollar gross margin due to increased competition in certain markets, road construction in a significant market impacting customer access to the store, milder weather throughout Alberta in the second quarter with less favorable weather conditions, and continued historically low consumer confidence.Higher operating and administrative expenses due to annual salary increments and an increase in non-recurring items attributed to the new point-of-sale implementation and the closure of one store.Higher loss on disposal of property and equipment and intangible assets from the loss on disposal of a building as part of the closure of one store location.In August 2024, the Company completed the implementation of the new point-of-sale system. It has been designed to streamline operations, empower team members, and elevate the overall customer experience.Management will continue for the remainder of 2024 to focus on improving category management through pricing strategies and a strong promotional focus.Detailed information in the form of the Company's una...