Despite the challenges which we encountered in the fourth quarter of 2005 we were able to maintain our focus on delivering solid financial performance
Gordon J. Reykdal, Chairman, President & CEO.

Rentcash Inc (TSXV: RCS) announced record first quarter results for the period ended September 30, 2005.

"We were very pleased with the operating and financial performance of our company during the first quarter of fiscal 2006," said Gordon J. Reykdal, Rentcash's Chairman, President & CEO. "Despite the challenges which we encountered in the fourth quarter of 2005 we were able to maintain our focus on delivering solid financial performance for our shareholders."

Net income for the quarter rose to $4.7 million, compared to net income of $1.3 million for the same quarter in fiscal 2005, representing a 263 percent increase. Diluted earnings per share were $0.23 for the quarter ended September 30, 2005 compared to diluted earnings per share of $0.08 for the same period in 2004.

During the first quarter of 2006, total revenues increased 262 percent to $39.4 million, compared to $10.9 million for the quarter ended September 30, 2004. Total revenues increased 22 percent from $32.3 million in the fourth quarter of 2005.

Same-store sales year-over-year increased by 76 percent to $110,000 per store for the quarter, up from $62,000 per store for the quarter ended September 30, 2004. The same-store average revenues from brokerage centers increased 80 percent to $122,000 per store for the quarter, up from $68,000 per store for the quarter ended September 30, 2004. As for rental centers, there was a 64 percent increase in same-store average revenues to $79,000 per store for the current quarter, up from $48,000 per store for the quarter ended September 30, 2004.

Rentcash added 21 new brokerage stores (15 new openings and six through acquisition) and two new rental centers during the first quarter of fiscal 2006, compared to 14 new brokerage stores and 13 new rental centers during the same quarter in fiscal 2005. The company expects to open approximately 95 brokerage stores and up to 30 rental centers in fiscal 2006. Rental division openings will be determined based on profitability of the division. As at September 30, 2005, Rentcash had expanded its national operating network to a total of 298 brokerage stores and 86 rental centers in nine provinces and two territories.

The provision for administrative allowance as a percent of total brokerage revenues was $7.8 million or 23 percent for the quarter ended September 30, 2005, compared to $193,000 or two percent for the same quarter last year and $8.9 million or 32 percent for the last quarter of fiscal 2005. Rentcash's objective is to achieve an administrative allowance provision of between 18% and 24% of brokerage revenue.

Mr. Reykdal commented, "I'm pleased with the federal government's recent announcement to consider amending the criminal code to give regulatory power over the fast-growing payday-lending sector to the provinces. Rentcash has long been a proponent of regulation in the Canadian payday loan industry."