Rocky Mountain Chocolate appoints new board member

DURANGO, Colo. - Rocky Mountain Chocolate Factory Inc. (NASDAQ:RMCF), a prominent franchiser in the premium chocolate and confectionary retail sector with a market capitalization of $11.42 million, announced the appointment of Brian Quinn to its Board of Directors. According to InvestingPro data, the company faces significant challenges, with its stock trading near 52-week lows and showing a gross profit margin of just 10.23%. Quinn, who is currently the Chief Development Officer at Sonesta International Hotels, is set to join the company’s Nominating and Corporate Governance, Audit, and Compensation Committees.

Quinn’s extensive background in brand development, franchise expansion, and operational strategy is expected to support Rocky Mountain Chocolate Factory’s strategic growth ambitions at a crucial time. InvestingPro analysis reveals the company has been rapidly burning through cash, with the stock declining over 57% in the past year. His accomplishments include a significant expansion of Sonesta’s hotel footprint and a successful $100 million acquisition of Red Lion Hotel Corporation.

Interim CEO Jeff Geygan expressed confidence in Quinn’s ability to contribute to the company’s growth initiatives, citing his proven track record in strengthening franchise systems.

With previous leadership roles at Choice Hotels International, Red Lion Hotels, and InterContinental Hotels Group, Quinn brings a wealth of experience to the table. He has also been an active member of several industry boards, including the American Hotel & Lodging Foundation and Penn State University’s Hospitality Program.

Rocky Mountain Chocolate Factory, headquartered in Durango, Colorado, has been recognized in Entrepreneur’s Franchise 500® for 2025 and Franchise Times’ Franchise 400® for 2024. The company, along with its franchisees and licensees, operates nearly 260 stores in the United States and has a presence in several international locations. For deeper insights into RMCF’s financial health and growth prospects, investors can access comprehensive analysis and 11 additional ProTips through InvestingPro’s detailed research reports, available for over 1,400 US stocks.

This appointment is part of the company’s ongoing efforts to enhance its brand presence and invigorate franchise store growth through strategic expansion. The information is based on a press release statement from Rocky Mountain Chocolate Factory, Inc.

In other recent news, Rocky Mountain Chocolate Factory reported mixed results for its fourth-quarter 2024 earnings. The company achieved a slight revenue increase to $7.9 million from $7.7 million the previous year but faced a net loss of $800,000, or $0.10 per share. Additionally, Rocky Mountain Chocolate Factory received a deficiency notice from Nasdaq due to falling short of the minimum stockholders’ equity requirement, with equity reported at $9,834,000 against the $10 million threshold. The company has until March 7, 2025, to submit a plan to regain compliance with Nasdaq’s listing requirements. Meanwhile, Rocky Mountain Chocolate Factory is focusing on operational improvements, including the introduction of a new ERP system and strategic hires aimed at enhancing efficiency. The company also saw a significant rise in e-commerce sales, which nearly tripled during the quarter. Furthermore, Rocky Mountain Chocolate Factory is actively working on revitalizing its franchise network, planning new store openings, and improving its digital presence. Despite the challenges, the company remains committed to its strategic initiatives and long-term growth objectives.

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