Rocky Mountain Chocolate Factory, Inc. - RMCF STOCK NEWS

Rocky Mountain Chocolate Factory (RMCF) announced the opening of two new stores and one kiosk across three U.S. markets. In Downtown Chicago, franchisee Tyson Minnick will open his third store on North State Street. Willie and Alex Zamora will launch their second location, a kiosk in the Brandon Exchange, Florida. In Charleston, South Carolina, Ross Theesen will open his fifth store on King Street. The expansion demonstrates RMCF's commitment to growing its premium chocolate brand nationwide through experienced franchisees.

Rocky Mountain Chocolate Factory (RMCF) reported financial results for its fiscal second quarter ended August 31, 2024. Total revenue was $6.4 million, down from $6.6 million in the year-ago quarter. Gross margin improved to 11.5% from 7.7%, primarily due to increased pricing and improved operating efficiencies. The company reported a net loss of $0.7 million or ($0.11) per share, compared to a net loss of $1.0 million or ($0.16) per share in fiscal Q2 2024.

RMCF is executing a multi-year strategic plan, focusing on strengthening liquidity, rebuilding the executive team, expanding the franchise network, and laying a foundation for sustainable growth. The company secured a new $6 million credit facility to improve its financial position. RMCF is expanding its franchise network across eight strategic U.S. markets and finalizing new franchise agreements for three additional store locations.

Rocky Mountain Chocolate Factory Inc. (Nasdaq: RMCF) has secured a new $6 million credit facility with RMC Credit Facility, , an entity affiliated with board member Steve Craig. This three-year agreement replaces the company's existing $4 million revolving credit facility, of which $3.45 million was outstanding. The new facility features interest-only payments at 12% per annum until its maturity on September 30, 2027.

Interim CEO Jeff Geygan stated that this credit facility is important for RMCF's capital structure, enabling investments in equipment and machinery while funding growth initiatives. The remaining balance will be used for continued capital investment and working capital needs, positioning the company to execute its three-year strategic plan and drive towards sustainable growth and profitability.

Rocky Mountain Chocolate Factory Inc. (Nasdaq: RMCF), an international franchisor and producer of premium chocolates and confectionery products, has announced its upcoming fiscal second quarter 2025 conference call. The call is scheduled for Tuesday, October 15, 2024, at 5:00 p.m. Eastern time. RMCF management will host the call, which will include a discussion of the company's fiscal Q2 2025 results, followed by a question-and-answer session.

Investors and analysts are invited to submit questions in advance by emailing RMCF@elevate-ir.com. The company will release its financial results in a press release prior to the call. Participants can join the call via a dial-in registration link or a live webcast link. The conference will also be available for replay in the investor relations section of RMCF's website at https://ir.rmcf.com/.

Rocky Mountain Chocolate Factory (Nasdaq: RMCF) has announced its upcoming Investor Day scheduled for September 12, 2024. The event will feature presentations from the company's executive management team, offering insights into RMCF's operations and strategy.

The Investor Day will take place from 9:00 a.m. to 11:30 a.m. Mountain Time and will be accessible via webcast and phone. Interested parties can join the event using the provided Zoom link or dial-in numbers. RMCF, an international franchisor and producer of premium chocolates and confectionery products, including gourmet caramel apples, will make supporting materials available on their Investor Relations website.

Rocky Mountain Chocolate Factory (RMCF) has closed a $2.2 million private placement led by American Heritage Railways. The company sold 1.25 million shares at $1.75 per share, a 15% premium to the closing price on August 5, 2024. This PIPE financing aims to strengthen RMCF's balance sheet and provide working capital for its updated three-year strategic plan. Interim CEO Jeff Geygan mentioned that a separate non-equity financing is in the final stages, which is expected to provide capital for executing plans to return RMCF to sustainable growth and profitability.

American Heritage Railways, a Durango-based company touching over 2 million customers annually through railroads, attractions, and licensing events, is welcomed as a new strategic shareholder. Their customer base is seen as a natural fit for RMCF's premium products. The securities sold in this private placement are not registered under the Securities Act of 1933 and have resale restrictions.

Rocky Mountain Chocolate Factory Inc. (Nasdaq: RMCF) has announced a private investment in public equity (PIPE) financing expected to yield $2.2 million in gross proceeds. The company is selling 1.25 million shares of common stock at $1.75 per share, representing a 15% premium to the closing stock price on August 5, 2024. The financing is set to close around August 6, 2024, subject to customary conditions.

RMCF plans to use the net proceeds for working capital and general corporate purposes. The transaction involves unregistered securities and includes a registration rights agreement for future resale of the shares. This private placement aims to strengthen the company's financial position as an international franchisor and producer of premium chocolates and confectionery products.

Rocky Mountain Chocolate Factory (Nasdaq: RMCF) has appointed Carrie E. Cass as Chief Financial Officer, effective August 5, 2024. Cass brings extensive experience in financial management, manufacturing, and strategic leadership to RMCF. Her background includes roles as CEO at Ballantine Communications and CFO at Aeroscraft Jeff Geygan, Interim CEO of RMCF, highlighted Cass's expertise in manufacturing accounting and financial management as important for executing the company's updated three-year strategic plan. Cass, a certified public accountant, expressed enthusiasm about leading RMCF's finance organization and working towards sustainable growth and profitability.

Rocky Mountain Chocolate Factory (RMCF) reported its fiscal Q1 2025 results, highlighting a pivotal transition phase. Key points include:

- Total revenue remained flat at $6.4 million compared to the prior year
- Product and retail gross profit decreased to $(0.3) million from $0.3 million
- Loss from continuing operations increased to $1.6 million or $(0.26) per share
- The company is revamping its transformation plan with a focus on improving liquidity, returning retail store count to growth, and achieving three-year targets
- Investments of over $3 million in new equipment and production efficiencies
- Targets include achieving gross margins near historic averages and adjusted EBITDA close to breakeven by end of Fiscal 2025
- By Fiscal 2027, aims to exceed 30% gross margins and achieve 10-12% adjusted EBITDA margin