TOFUTTI ANNOUNCES RESULTS FOR FISCAL YEAR ENDED JANUARY 1, 2022
Tofutti Brands Inc. (OTCQX: TOFB) reported fiscal year results for the year ending January 1, 2022, showing net sales of $12.59 million, a 9% decline from $13.81 million in the previous year. Sales of vegan cheese products fell to $10.76 million from $11.67 million, while frozen desserts and food decreased to $1.83 million from $2.15 million. The gross profit also decreased by $911,000 to $3.34 million, with a gross profit margin of 27%.
Net income was reported at $143,000, or $0.03 per share, down from $596,000 in the prior year. Cash increased to $1.70 million and working capital to $4.33 million.
- Increased cash position to $1.70 million from $1.46 million.
- Working capital improved to $4.33 million from $4.64 million.
- Generated $689,000 from operating activities due to better accounts receivable collection.
- Net sales decreased by 9% year-over-year.
- Sales of vegan cheese dropped from $11.67 million to $10.76 million.
- Frozen dessert sales decreased from $2.15 million to $1.83 million.
- Gross profit decline of $911,000 to $3.34 million, with a margin drop from 31% to 27%.
Cranford, New Jersey, April 01, 2022 (GLOBE NEWSWIRE) -- TOFUTTI BRANDS INC. (OTCQX Symbol: TOFB) issued its results for the fiscal year ended January 1, 2022 today.
Tofutti Brands reported net sales for the fiscal year ended January 1, 2022 of
The Company’s gross profit for the year ended January 1, 2022 decreased by
The Company had net income of
As of January 1, 2022, the Company had approximately
Mr. Steven Kass, Chief Executive and Financial Officer of the Company stated, “We are pleased with our continued success in generating cash from operations which has resulted in our strong cash and working capital position at January 1, 2022. We believe that the production difficulties that impacted our revenues in 2021 have been resolved and that we are poised to achieve improved revenues in the coming years,” 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 ice cream pints, cones, Tofutti Cutie® sandwiches and novelty
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.
TOFUTTI BRANDS, INC.
Statements of Income
(in thousands, except per share figures)
| Fiscal year ended January 1, 2022 | Fiscal year ended January 2, 2021 | |||||||
| Net sales | $ | 12,590 | $ | 13,815 | ||||
| Cost of sales | 9,248 | 9,562 | ||||||
| Gross profit | 3,342 | 4,253 | ||||||
| Operating expenses: | ||||||||
| Selling and warehousing | 1,206 | 1,187 | ||||||
| Marketing | 281 | 258 | ||||||
| Product development costs | 124 | 240 | ||||||
| General and administrative | 1,489 | 1,692 | ||||||
| Total operating expenses | 3,100 | 3,377 | ||||||
| Income before interest expense and income taxes | 242 | 876 | ||||||
| Interest expense | 25 | 25 | ||||||
| Income before provision for income taxes | 217 | 851 | ||||||
| Provision for income taxes | 74 | 255 | ||||||
| Net income | $ | 143 | $ | 596 | ||||
| Weighted average common shares outstanding: | ||||||||
| Basic | 5,154 | 5,154 | ||||||
| Diluted | 5,154 | 5,456 | ||||||
| Net income per common share: | ||||||||
| Basic | $ | 0.03 | $ | 0.12 | ||||
| Diluted | $ | 0.03 | $ | 0.11 | ||||
TOFUTTI BRANDS INC.
Balance Sheets
(in thousands, except share and per share figures)
| January 1, 2022 | January 2, 2021 | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash | $ | 1,698 | $ | 1,459 | ||||
| Accounts receivable, net of allowance for doubtful accounts and sales promotions of | 1,336 | 2,078 | ||||||
| Inventories | 1,874 | 1,997 | ||||||
| Prepaid expenses and other current assets | 98 | 88 | ||||||
| Total current assets | 5,006 | 5,622 | ||||||
| Equipment, net | - | 135 | ||||||
| Operating lease right-of-use assets | 203 | 224 | ||||||
| Deferred tax assets | 112 | 83 | ||||||
| Other assets | 21 | 19 | ||||||
| Total assets | $ | 5,342 | $ | 6,083 | ||||
| Liabilities and Stockholders’ Equity | ||||||||
| Current liabilities: | ||||||||
| SBA loan payable | $ | 165 | $ | 112 | ||||
| Income taxes payable | 46 | 117 | ||||||
| Accounts payable | 122 | 219 | ||||||
| Accrued expenses | 347 | 535 | ||||||
| Total current liabilities | 680 | 983 | ||||||
| Convertible note payable-long term-related party | - | 500 | ||||||
| SBA loan payable, net of current portion | - | 53 | ||||||
| Operating lease liabilities, net of current portion | 95 | 123 | ||||||
| Total liabilities | 775 | 1,659 | ||||||
| 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 | 207 | 207 | ||||||
| Retained earnings | 4,308 | 4,165 | ||||||
| Total stockholders’ equity | 4,567 | 4,424 | ||||||
| Total liabilities and stockholders’ equity | $ | 5,342 | $ | 6,083 | ||||
| Company Contact: | Steve Kass |
| Chief Executive/Financial Officer | |
| (908) 272-2400 | |
| (908) 272-9492 (Fax) |
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