Rocky Mountain Chocolate Factory(US:RMCF) Globenewswire·2026-01-13 21:05Core Insights - The company is focusing on a margin-first transformation strategy, exiting lower-margin revenue streams to prioritize profitability, resulting in improved gross profit and margin [2][5] - A significant milestone was achieved with a new Area Development Agreement to open 34 new stores, indicating strong franchise interest and alignment with the company's strategic direction [3] - The company raised $2.7 million in equity capital to strengthen its financial position, reduce leverage, and enhance liquidity for operational investments [3] Financial Performance - Total revenue for Q3 FY26 was $7.5 million, down from $7.9 million in the same quarter last year, primarily due to the exit from lower-margin channels [5] - Gross profit increased to $1.4 million in Q3 FY26 from $0.7 million in the prior year, driven by pricing actions and improved product mix [5] - The net loss narrowed to $0.2 million or $(0.02) per share in Q3 FY26, compared to a net loss of $0.8 million or $(0.11) per share in the year-ago quarter [5][17] Operational Developments - The company has over 120 franchise stores operating on a new point-of-sale platform, enhancing visibility into customer behavior and store performance [4] - New digital capabilities, including third-party delivery and catering service integration, are being implemented to improve off-premise access while maintaining favorable economics for franchise partners [4] - The company is actively pursuing new franchise opportunities supported by improved digital marketing strategies [3]