May 27, 2010 (Filing Services Canada) -- Rocky Mountain Liquor Inc. (RUM - TSX Venture), ("Rocky Mountain Liquor" or the "Company"), listed on the TSX Venture Exchange (the "Exchange"), today reported its financial results for the three-month period ended March 31, 2010.
Key operational results, year over year First Quarter comparison:
* Net Loss was reduced from $222,039 to $27,130;
* Sales Revenue increased 81% from $4,828,653 to $8,729,994;
* Operating margin increased 132% from $101,184 to $234,872;
* Operating and Administrative Expenses reduced from 20.9% to 17.48%;
* Operating Margin percentage increased from 2.1% to 2.69%;
* Average Operating Margin per Store increased 36.8% from $44,989 to $61,538;
* Average Revenue per Store grew 56% from $193,146 to $301,034.
During the three-month period ended March 31, 2010, the Company completed three store acquisitions from two vendors, resulting in 29 stores in operation at the end of the First Quarter.
Development of a new store in Lac La Biche is now complete. This store opened May 20, 2010 making it the 30th store in operation. Additionally the Company recently announced its intention to develop additional stores and to acquire an existing store. The Company will potentially operate 34 stores in Alberta if these projects are successfully completed.
"We are extremely pleased with our growth metrics. Not only is our strategic growth performance satisfying; but it is the results from this growth that are the most gratifying," said Peter Byrne, Rocky Mountain Liquor CEO. "I am very proud of these year over year improvements. The results confirm not only excellence in process execution, the motivation, dedication and capabilities of our 190 person operational team, most importantly improved financial results in the privatized liquor industry are an indication of customer satisfaction." Mr. Byrne said.
The Company's unaudited consolidated financial statements and Management Discussion and Analysis ("MD&A) for the three month period ended March 31, 2010 are available under the Company's profile on SEDAR at www.sedar.com.
About Rocky Mountain Liquor:
Rocky Mountain Liquor owns 100% of Andersons Liquor Inc. ("Andersons") headquartered in Edmonton Alberta, which owns and operates 30 private liquor stores in that province.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains "forward-looking statements" within the meaning of applicable securities laws relating to the future growth and priorities for the Company, and the ability to execute the business strategy. Readers are cautioned not to place undue reliance on forward-looking statements, and should not rely on past performance when evaluating this acquisition, and in particular results achieved in 2009 and previous periods. Past results might not be a certain indication of future performance, which is subject to other risks, including but not limited to changes in operational policies, changes in management, changes in strategic focus, market conditions and customer preferences. Actual results and developments may differ materially from those contemplated by these statements depending on, among other things, the risks that these events may not materialize as well as those additional factors discussed in the section entitled "Risk Factors" in RUM's Management Discussion and Analysis, which can be obtained at www.sedar.com. If they do materialize, there remains a risk of non-execution for any reason (including but not limited to the inability to locate suitable acquisitions or new store development
For further information:
Peter J. Byrne
Chief Executive Officer
(780) 686-7383
Tracey Bean
Chief Financial Officer
(780) 683-2326
Source: Rocky Mountain Liquor Inc. (TSX-V RUM)
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