8-K
TOFUTTI BRANDS INC (TOFB)
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
PURSUANT
TO SECTION 13 OR 15(d)
OF
THE SECURITIES EXCHANGE ACT OF 1934
March 28, 2025
Date
of Report
(Date of earliest event reported)
TOFUTTI
BRANDS INC.
(Exact name of registrant as specified in its charter)
| Delaware | 001-09009 | 13-3094658 |
|---|---|---|
| (State<br> or other jurisdiction<br><br> <br>of<br> incorporation) | (Commission<br><br> File Number) | (IRS<br> Employer <br><br> Identification No.) |
| 50<br> Jackson Drive Cranford, New Jersey 07016 | ||
| --- | ||
| (Address<br> of principal executive offices and zip code) | ||
| (908)272-2400 | ||
| (Registrant’s<br> telephone number, including area code) | ||
| Not<br> Applicable | ||
| (Former<br> name or former address, if changed since last report) |
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ☐ | Written<br> communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting<br> material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement<br> communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement<br> communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(g) of the Act:
| Title<br> of each class | Trading<br> Symbol(s) | Name<br> of each exchange on which registered |
|---|---|---|
| Common<br> Stock, par value $0.01 per share | TOFB | None |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company ☐
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐
ITEM
2.02 RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On March 28, 2025, the Registrant reported its results of operations for the year ended December 28, 2024. A copy of the press release issued by the Registrant in this connection is furnished herewith as Exhibit 99.1.
The information in this Item in this Current Report on Form 8-K and Exhibit 99.1 attached hereto are being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to the liabilities of that section, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933 or the Exchange Act, regardless of any general incorporation language in such filing.
ITEM
9.01 FINANCIAL STATEMENTS AND EXHIBITS.
(c) Exhibits
| Exhibit<br>99.1 | Press Release dated March 28, 2025 |
|---|---|
| 104 | Cover<br> Page Interactive Data File (embedded within the Inline XBRL document) |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
| Date:<br> March 28, 2025 | TOFUTTI<br> BRANDS INC. | |
|---|---|---|
| (Registrant) | ||
| By: | /s/ Steven Kass | |
| Steven<br> Kass | ||
| Chief<br> Executive and Financial Officer |
Exhibit99.1
March 28, 2025
TofuttiPress Release
| Company<br> Contact: | Steve<br> Kass |
|---|---|
| Chief<br> Executive and Financial Officer | |
| (908)<br> 272-2400 | |
| (908)<br> 272-9492 (Fax) |
TOFUTTIANNOUNCES RESULTS FOR FISCAL YEAR ENDED December 28, 2024
Edison, New Jersey — March 28, 2025 — TOFUTTI BRANDS INC. (OTCQB Symbol: TOFB) issued its results for the fiscal year ended December 28, 2024 today.
Tofutti Brands reported net sales for the fiscal year ended December 28, 2024 of $8,820,000, a decrease of $1.248,000 or 12%, from net sales of $10,068,000 for the fiscal year ended December 30, 2023. Sales of plant-based cheese products decreased to $7,428,000 in the fiscal year ended December 28, 2024 from $8,564,000 in the fiscal year ended December 30, 2023. Sales of our plant-based cheese products were negatively impacted by increased competition with the introduction of new vegan cheese products by a number of other companies with significantly greater resources than us. Sales of our frozen dessert product lines decreased to $1,392,000 in the fiscal year ended December 28, 2024 from $1,504,000 in fiscal 2023. Sales of our frozen dessert products, which are part of the ice cream food category, have been negatively impacted by the industry-wide decline in ice cream sales.
The Company’s gross profit for the year ended December 28, 2024, decreased by $546,000 to $2,250,000 from $2,797,000 for the fiscal year ended December 30, 2023. Our gross profit percentage for the fiscal year ended December 28, 2024 was 26% compared to 28% for the fiscal year ended December 30, 2023. The decrease in gross profit was caused primarily by the decrease in sales and the decrease in gross profit percentages was caused by increase in the cost of packaging and certain key ingredients. During the fourth quarter of 2024, we instituted a general price increase which became effective at the start of fiscal year 2025.
Total operating expenses decreased by $177,000, or 6%, to $2,858,000 for the year ended December 28, 2024 compared to total operating expenses of $3,035,000 in the year ended December 30, 2023. As a result of the foregoing we recorded an operating loss of $607,000 in the year ended December 28, 2024 as compared with an operating loss of $238,000 in the year ended December 30, 2023.
Income tax expense for the year ended December 28, 2024 was $251,000 compared to income taxes of $126,000 for the year ended December 30, 2023. The increase in income tax expense was due to a revaluation to the Company’s deferred tax asset. We recorded a net loss of $860,000 in the year ended December 28, 2024 as compared with a net loss of $366,000 in the year ended December 30, 2023.
At December 28, 2024, we had approximately $462,000 in cash, and our working capital was $2,893,000 as compared to $837,000 in cash and working capital of $3,440,000 at December 30, 2023. Our cash position at March 25, 2025 was $626,000. We principally operate our business on the cash flows from our operations and currently have no borrowings.
AboutTofutti 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-LookingStatements. 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 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.
TOFUTTIBRANDS INC.
STATEMENTSOF OPERATIONS
(In thousands, except for per share data)
| Fiscal year ended<br> <br>December 28, 2024 | Fiscalyear ended<br> <br>December 30, 2023 | |||||
|---|---|---|---|---|---|---|
| Net sales | $ | 8,820 | $ | 10,068 | ||
| Cost of sales | 6,569 | 7,271 | ||||
| Gross profit | 2,251 | 2,797 | ||||
| Operating expenses: | ||||||
| Selling and warehousing | 869 | 1,054 | ||||
| Marketing | 416 | 424 | ||||
| Product development costs | 132 | 166 | ||||
| General and administrative | 1,441 | 1,391 | ||||
| Total operating expenses | 2,858 | 3,035 | ||||
| Loss from operations and before interest expense and income taxes | (607 | ) | (238 | ) | ||
| Interest expense | 2 | 2 | ||||
| Loss before provision for income taxes | (609 | ) | (240 | ) | ||
| Income taxes | 251 | 126 | ||||
| Net loss | $ | (860 | ) | $ | (366 | ) |
| Weighted average common shares outstanding: | ||||||
| Basic | 5,154 | 5,154 | ||||
| Diluted | 5,154 | 5,154 | ||||
| Net loss per common share: | ||||||
| Basic | $ | (0.17 | ) | $ | (0.07 | ) |
| Diluted | $ | (0.17 | ) | $ | (0.07 | ) |
TOFUTTIBRANDS INC.
BALANCESHEETS
(In thousands, except for share and per share data)
| December 30, 2023 | |||
|---|---|---|---|
| Assets | |||
| Current assets: | |||
| Cash | 462 | $ | 837 |
| Accounts receivable, net of allowance for credit losses and sales promotions<br> of 389 and 525, respectively | 989 | 828 | |
| Inventories | 1,879 | 2,475 | |
| Prepaid expenses and other current assets | 111 | 93 | |
| Total current assets | 3,441 | 4,233 | |
| Operating lease right-of-use assets | 340 | 81 | |
| Finance lease right-of-use asset | 21 | 36 | |
| Deferred tax assets | - | 246 | |
| Other assets | 21 | 19 | |
| Total assets | 3,823 | $ | 4,615 |
| Liabilities and Stockholders’ Equity | |||
| Current liabilities: | |||
| Accounts payable | 257 | 237 | |
| Accrued expenses | 275 | 541 | |
| Financing lease liability, current portion | 16 | 15 | |
| Total current liabilities | 548 | 793 | |
| Operating lease liabilities, net of current portion | 283 | 7 | |
| Finance lease liability, net of current portion | 6 | 23 | |
| Total liabilities | 837 | 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 | 377 | 323 | |
| Retained earnings | 2,557 | 3,417 | |
| Total stockholders’ equity | 2,986 | 3,792 | |
| Total liabilities and stockholders’ equity | 3,823 | $ | 4,615 |
All values are in US Dollars.