Rocky Mountain's Q2 comprehensive income at $174,272

Mr. Peter Byrne reports RUM REPORTS Q2 FINANCIAL RESULTS FOR THE PERIOD ENDED JUNE 30, 2025 Rocky Mountain Liquor Inc. has released its financial results for the three and six months ended June 30, 2025. Sales for the second quarter increased compared with the same period in 2024, despite a reduction in the company's store count from 24 to 22. This growth reflects improved per-store performance and the successful launch of the company's chain-wide loyalty program, which has strengthened customer engagement. For the six-month period, sales were slightly lower year over year, reflecting the reduced store base, and external factors that negatively impacted sales in 2024 such as adverse weather, road closures and heightened competition were less significant in 2025. Gross margins improved in both the three-month and six-month periods ended June 30, 2025, supported by disciplined inventory management and strategic use of limited-time offers. Operating and administrative expenses declined year over year for both the quarter and year to date, driven by store closures that reduced occupancy and wage-related costs, lower salary expenses from strategic staffing adjustments, and a reduction in professional fees. In addition, no costs related to the implementation of the company's point-of-sale system were incurred in the current year as the rollout was completed in 2024. Adjusted EBITDA improved significantly, rising to $357,592 for Q2 2025 from $148,042 in Q2 2024. For the six-month period, adjusted EBITDA turned positive at $120,348, compared with a loss of $177,433 in the prior year. This turnaround was driven by improved gross margins and lower operating and administrative expenses. Net comprehensive income for Q2 2025 was $174,272, marking a return to profitability from seasonal softness in Q1. Looking ahead, the company remains focused on operational efficiency, enhancing profitability and strengthening customer loyalty through targeted initiatives. While consumer spending has remained resilient, inflation, interest rate volatility and trade policy uncertainty continue to shape the retail landscape. The company is actively monitoring these conditions and adapting its strategies to maintain financial flexibility, invest in customer engagement, and refine its product mix, ensuring long-term resilience and growth within Alberta's evolving retail market. The company's board of directors, with management's support, is continuing to evaluate strategic options to enhance shareholder value. These options may include a full or partial sale, asset divestitures, mergers, or other strategic transactions. The board has not set a timetable for this process, nor has it made any decisions related to any strategic alternatives at this time. The review has not been initiated in response to any proposal received by the company. There can be no assurance that the exploration of strategic alternatives will result in a transaction. The company will continue to provide updates as needed. Detailed information in the form of the company's unaudited condensed consolidated financial statements and management discussion and analysis is available under the company's profile on SEDAR+ and also on the company's website. After accessing the website, please choose the "Investor Relations" tab to view quarterly reports. About Rocky Mountain Liquor Inc. Rocky Mountain is a public company whose shares are traded on the TSX Venture Exchange. Rocky Mountain is the parent to a wholly owned subsidiary, Andersons Liquor Inc., headquartered in Edmonton, Alta., which owns and operates 22 private liquor stores in that province. We seek Safe Harbor.