The American vegan company Tofutti Brands Inc. has just published its second quarterly report for 2018, which shows that although sales and gross profit have declined, management remains confident about the future development of the company.
Compared to the same quarter last year, the dairy-free company recorded a slight decline in net sales within the 13 weeks to June 30, 2018. Founded in 1981, the company generated net sales of $3,443 million. The decline in sales can be explained by reduced sales of frozen products, which ultimately reduced the company’s sales by $181,000. As a result, the company’s gross profits decreased from $1.173 million to $1.014 million. Net income was $90,000, or $0.02 per share, a decrease from the previous year, when net income was $270,000 in the second quarter.
The slight decline in sales can be attributed to several factors. The reduction in sales of frozen products was due to the unavailability of certain products due to a lack of production capacity. Vegan cheese also recorded a slight decline, which can be explained by the general decline in cheese exports. The company is optimistic that, as a result of the elimination of these inhibiting factors, a positive sales trend will soon reemerge.
Tofutti Brands Inc. offers a wide range of dairy-free products. More than 50 dairy-free foods, including frozen desserts, cheese products and ready meals are marketed under the brand name. Tofutti is known for its innovative products. It originated in the USA, but is now represented in over 30 other countries. Tofutti is particularly popular with consumers who are either intolerant to dairy products, have diabetes, or are looking for a healthier and lower-fat diet.