Premium chocolate manufacturer and retail franchisor Rocky Mountain Chocolate Factory has reported a 3% increase in revenues for the second quarter to US$6.8m, but net earnings fell by 7.5% to $1.04m.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more


The company said its operating results for the most recent quarter were negatively impacted by the shifting of a large non-retail product shipment from the second quarter last year into the third quarter of the 2007 fiscal year. Rocky Mountain said it also incurred higher non-cash stock compensation, legal and accounting, and store closing expenses than in the corresponding quarter last year.


The company said that very hot weather had also affected sales. Same-store sales at franchised retail outlets fell by 1.1%, the company reported, while same-store pounds of products purchased from the company’s factory by franchisees were 7.3% down.


“The hottest summer in 70 years negatively impacted sales at Rocky Mountain Chocolate Factory stores in many parts of the US, including such key markets as California, Washington and Oregon, and this caused our royalty and marketing revenues and confection sales to franchisees to trail expectations during the second quarter,” said chief operating officer and chief financial officer Bryan Merryman. “With the return of more normal weather patterns, retail store sales have strengthened since mid-August, and this has also been apparent in orders from franchisees for factory-produced chocolates and other confection products.”


For the first half, revenues rose by 13.4% to approximately $13.5m, with net earnings up by 5% to $1.97m.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.