TOFUTTI ANNOUNCES UNAUDITED RESULTS FOR THE THIRTEEN AND TWENTY-SIX WEEKS ENDED JUNE 29, 2024
Rhea-AI Summary
Tofutti Brands (OTCQX: TOFB) reported a 16% decrease in net sales to $2,283,000 for Q2 2024, compared to $2,719,000 in Q2 2023. For the first half of 2024, sales decreased by 14% to $4,495,000. Despite lower sales, the company's gross profit percentage improved to 29% in Q2 2024 from 25% in Q2 2023. The company reported a reduced net loss of $32,000 for Q2 2024, compared to $318,000 in Q2 2023. Cash position decreased to $489,000 as of June 29, 2024, from $837,000 at the end of 2023. CEO Steven Kass expressed disappointment with revenues but noted improved operating results and strong cash resources.
Positive
- Gross profit percentage increased to 29% in Q2 2024 from 25% in Q2 2023
- Net loss reduced to $32,000 in Q2 2024 from $318,000 in Q2 2023
- Working capital remains strong at approximately $3,105,000
Negative
- Net sales decreased by 16% to $2,283,000 in Q2 2024
- Sales for the first half of 2024 decreased by 14% to $4,495,000
- Cash position decreased to $489,000 from $837,000 at the end of 2023
Cranford, New Jersey, Aug. 15, 2024 (GLOBE NEWSWIRE) -- TOFUTTI BRANDS INC. (OTCQX Symbol: TOFB) today announced its results for thirteen and twenty-six weeks ended June 29, 2024. Tofutti Brands reported that net sales for the thirteen weeks ended June 29, 2024 decreased by
Our gross profit was
We had net losses of
As of June 29, 2024, we had approximately
Mr. Steven Kass, Chief Executive and Financial Officer of the Company stated, “While our revenues were disappointing in the first six months of 2024, we were pleased with our improved operating results. We believe that our cash and available cash resources remain strong and we look forward to achieving improved operating results in the second half of 2024,” concluded Mr. Kass.
About Tofutti Brands Inc.
Founded in 1981, Tofutti Brands Inc. develops and distributes a complete line of plant-based products. The Company sells more than twenty-five (25) dairy-free foods including cheese products and frozen desserts. Tofutti Brands Inc. is a proven innovator in the food industry and has developed a full line of delicious and healthy dairy-free foods. Available throughout the United States and in more than fifteen (15) countries, Tofutti Brands answers the call of millions of people who are allergic or intolerant to dairy or wish to maintain a kosher or vegan diet. Tofutti’s product line includes plant-based frozen dessert pints, Tofutti Cutie® sandwiches and novelty products.
Forward-Looking Statements
Some of the statements in this press release concerning the Company’s future prospects are forward-looking statements that involve risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. Actual results may vary significantly based upon a number of factors including, but not limited to the impact of COVID-19 on the economy and our operations, business conditions both domestic and international, competition, changes in product mix or distribution channels, resource constraints encountered in promoting and developing new products and other risk factors detailed in the Company’s filings with the Securities and Exchange Commission, including its annual report on Form 10-K.
| Company Contact: | Steve Kass |
| Chief Executive/Financial Officer | |
| (908) 272-2400 | |
| (908) 272-9492 (Fax) |
TOFUTTI BRANDS INC.
Condensed Balance Sheets
(in thousands, except share and per share figures)
| June 29, 2024 (Unaudited) | December 30, 2023 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash | $ | 489 | $ | 837 | ||||
| Accounts receivable, net of allowance for doubtful accounts and sales promotions of | 817 | 828 | ||||||
| Inventories | 2,171 | 2,475 | ||||||
| Prepaid expenses and other current assets | 75 | 93 | ||||||
| Total current assets | 3,552 | 4,233 | ||||||
| Operating lease right-of-use asset | 47 | 81 | ||||||
| Finance lease right-of-use asset | 29 | 36 | ||||||
| Deferred tax assets | 246 | 246 | ||||||
| Other assets | 40 | 19 | ||||||
| Total assets | $ | 3,914 | $ | 4,615 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | 12 | 237 | ||||||
| Accrued expenses | 387 | 541 | ||||||
| Finance lease liability, current portion | 11 | 15 | ||||||
| Total current liabilities | 410 | 793 | ||||||
| Operating lease liabilities, net of current portion | — | 7 | ||||||
| Finance lease liability, net of current portion | 20 | 23 | ||||||
| Total liabilities | 430 | 823 | ||||||
| Stockholders’ equity: | ||||||||
| Preferred stock - par value $.01 per share; authorized 100,000 shares, none issued and outstanding | — | — | ||||||
| Common stock - par value $.01 per share; authorized 15,000,000 shares, 5,153,706 shares issued and outstanding | 52 | 52 | ||||||
| Additional paid-in capital | 350 | 323 | ||||||
| Retained earnings | 3,082 | 3,417 | ||||||
| Total stockholders’ equity | 3,484 | 3,792 | ||||||
| Total liabilities and stockholders’ equity | $ | 3,914 | $ | 4,615 | ||||
TOFUTTI BRANDS, INC.
Unaudited Condensed Statements of Operations
(in thousands, except per share figures)
| Thirteen weeks ended June 29, 2024 | Thirteen weeks ended July 1, 2023 | Twenty-six weeks ended June 29, 2024 | Twenty-six weeks ended July 1, 2023 | |||||||||||||
| Net sales | $ | 2,283 | $ | 2,719 | $ | 4,495 | $ | 5,208 | ||||||||
| Cost of sales | 1,616 | 2,052 | 3,359 | 3,935 | ||||||||||||
| Gross profit | 667 | 667 | 1,136 | 1,273 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Selling and warehouse | 250 | 320 | 464 | 592 | ||||||||||||
| Marketing | 79 | 89 | 213 | 184 | ||||||||||||
| Research and development | 22 | 56 | 64 | 83 | ||||||||||||
| General and administrative | 342 | 383 | 724 | 686 | ||||||||||||
| 693 | 848 | 1,465 | 1,545 | |||||||||||||
| Loss from operations | (26 | ) | (181 | ) | (329 | ) | (272 | ) | ||||||||
| Loss before interest expense and income taxes | (26 | ) | (181 | ) | (329 | ) | (272 | ) | ||||||||
| Interest expense | 1 | 1 | 1 | 2 | ||||||||||||
| Loss before income tax | (27 | ) | (182 | ) | (330 | ) | (274 | ) | ||||||||
| Income tax expense | 5 | 136 | 5 | 146 | ||||||||||||
| Net loss | $ | (32 | ) | $ | (318 | ) | $ | (335 | ) | $ | (420 | ) | ||||
| Weighted average common shares outstanding: | ||||||||||||||||
| Basic | 5,154 | 5,154 | 5,154 | 5,154 | ||||||||||||
| Diluted | 5,154 | 5,154 | 5,154 | 5,154 | ||||||||||||
| Loss per common share: | ||||||||||||||||
| Basic | $ | (0.01 | ) | $ | (0.06 | ) | $ | (0.06 | ) | $ | (0.08 | ) | ||||
| Diluted | $ | (0.01 | ) | $ | (0.06 | ) | $ | (0.06 | ) | $ | (0.08 | ) | ||||
FAQ
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