"We are pleased to report that profitability has extended to three quarters in a row"
Gordon J. Reykdal, Rentcash Inc. Chairman and CEO

Rentcash Inc. (TSXV: RCS) today announced record net income of $2.5 million for the second quarter ended December 31, 2004 compared with a net loss of ($362,000) for the quarter ended December 31, 2003. Revenues for the quarter more than tripled to a record $15.2 million compared with $4.5 million for the same fiscal period last year, an increase of $10.7 million or 239%.

During the quarter, Rentcash was ranked second in the "Fast 25 Over $20 Million," Alberta Venture magazine's authoritative annual ranking of the province's fastest growing businesses of that size. "This recognition shows how hard our associates work to move the company to higher and higher levels." Reykdal said.

The Company opened 24 new stores during the quarter compared to 11 new store openings for the same period last year. Same store revenues year-over-year for Rentcash's two divisions advanced by 153%, with The Cash Store division's same store revenues increasing by 188% and Insta-rent's same store revenues rising by 55%. Same store average revenues increased on a consolidated basis to $107,000 per store for the current quarter, up from $42,000 per store for the quarter ended December 31, 2003.

On a segmented basis, the brokerage division experienced an increase in same store average revenues per store to $110,000 per store for the current quarter up from $38,000 per store for the quarter ended December 31, 2003. The rental-purchase division also experienced an increase in same store average revenues per store to $95,000 for the current quarter up from $61,000 per store for the quarter ended December 31, 2003.

For the six-month period ended December 31, 2004 revenues were $26.1 million, an increase of 213% or $17.8 million over the $8.3 million in revenues for the six-month period ended December 31, 2003. Net income increased to $3.8 million, when compared with a net loss of ($635,000) for the same six-month period last year.

Rentcash, as at December 31, 2004, operated 195 stores in nine provinces and one territory, 142 of which were Cash Stores and 53 were Insta-rent outlets compared to 104 stores at December 31, 2003, of which 85 were Cash Stores and 19 were Insta-rent outlets. "We are pleased to report that profitability has extended to three quarters in a row," said Gordon J. Reykdal, Rentcash Inc. Chairman and Chief Executive Officer. "We have recorded record earnings in each quarter with significant increases quarter over quarter. The profits from earlier opened stores now exceed the level of losses of more recently opened stores. This is most evident in the brokerage division where the mass of earlier opened stores is setting the pattern for future results."

Rentcash employs more than 700 associates and has its corporate office in Edmonton, Alberta.