RUM third quarter 2021 financial results

RUM third quarter 2021 financial results

Sales of existing stores (stores in operation in 2019 and 2021) have increased by 8% for the three-month period ended 2021 over 2019 and 10% for the nine-month period ended September 2021. For the three-month period 2021 over 2020, sales of existing stores decreased 10% and 6% for the nine-month period.

During 2020, there was a unique increase in demand realized at our retail liquor locations as other licensed premises were ordered to close to help reduce the spread of COVID-19. As the affected businesses have reopened, we have seen demand return to typical levels with significant organic sales growth over 2019. The results of the rebranding strategy first conceived and implemented in 2017 have continued to drive sales.

Highlights

  • The Company has focused on reducing long-term debt and finance costs. Finance costs in 2021 were reduced by $94,617 for the three-month period over 2019 and $626,658 for the nine-months ended September 30, 2021, over 2019. For the three-month period 2021 over 2020, finance costs reduced by $34,892 and $116,196 for the nine-month period.

  • The Company has experienced overall growth in average sales per store of 11% for the three-month period ended 2021 over 2019 and 15% for the nine-month period ended September 2021 over 2019 as a result of its continued focus on the rebranding strategy. For the three-month period 2021 over 2020, average sales per store decreased 11% and 9% for the nine-month period.

Detailed information in the form of the Company’s interim consolidated financial statements and Management Discussion and Analysis are available on the Company’s website at www.ruminvestor.com and under the Company’s provide on SEDAR, www.sedar.com .

Notwithstanding a reduction in stores from 2019 to 2021 of 29 to 26, net income improved from a net loss position for the nine-month period ended 2019 to a net income position in 2021, increasing by $1,527,882 over 2019. For the nine-month period 2021 over 2020, net income reduced $457,845.

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KEY OPERATING AND FINANCIAL METRICS

Financial highlights, September 2021, 2020 and 2019 three-month comparison: 3 months ended

Sep 2021 Sep 2020

Sep 2019 Sales

$ 13,210,088

11,778,727 $