Rocky Mountain Chocolate Factory stock rises as sales increase, despite Q4 earnings decline.

From Zacks Investment Research: 2025-06-24 14:04:00

Shares of Rocky Mountain Chocolate Factory, Inc. (RMCF) have surged 21.4% since reporting earnings for the quarter ended Feb. 28, 2025, outperforming the S&P 500. Despite a net loss in Q4, total revenues increased to $8.9 million, driven by higher product sales. Gross profit declined due to rising raw material costs. The company undertook a system overhaul, ceasing co-packing operations and implementing a new ERP system. Management aims to return to profitability in fiscal 2026 with strategic initiatives like dynamic pricing. Rocky Mountain also rolled out a brand refresh and plans for store openings to drive growth.



Read more at Zacks Investment Research: Rocky Mountain Stock Rises Despite Lower Q4 Earnings, Sales Surge Y/Y – June 24, 2025