Lifeway Foods, Inc. Announces Results for the Fourth Quarter and Year Ended December 31, 2017
March 30 2018 - 12:34PM
Lifeway Foods, Inc. (Nasdaq:LWAY), the leading U.S. supplier of
kefir cultured dairy products, today reported financial results for
the fourth quarter and full year ended December 31, 2017.
“This past year, we navigated a rapidly-changing dairy industry
landscape and continued to make important progress against the
innovation and commercialization priorities of our strategic
initiatives. Many of these products are already gaining momentum
and contributed to our 2017 financial results,” said CEO Julie
Smolyansky. “The recent introduction of Lifeway’s Plantiful, our
first non-dairy, plant-based probiotic beverage made with kefir
cultures; Elixir, our organic, non-dairy, probiotic sparkling
beverage; and Lifeway’s Organic Skyr reflect our vision for a
diversified portfolio of health-focused products under the Lifeway
name.”
The release of The Kefir Cookbook this month created media and
merchandising opportunities for the brand that are unique to the
category. We are working to take advantage of this positive press
and increased awareness to introduce new consumers to the history,
culture, and soul behind our unique and expanding product line.
Lifeway’s focus on creating new consumers in expanded demographic
sets will be a key priority within our 2018 strategy.
“Our ability to leverage the Lifeway brand and quickly introduce
on-trend health and wellness products continues to be a competitive
advantage, despite marketplace challenges. Our ongoing capital and
strategic investments, combined with our recent successful product
introductions, position us well to continue to grow our core
business and reach new customers,” Smolyansky added.
Fourth Quarter and Full Year Financial
Highlights:
(dollars in thousands)
|
|
Three Months Ended December 31, |
|
|
Year Ended December 31, |
|
|
|
2017 |
|
|
|
2016 |
|
|
|
2017 |
|
|
|
2016 |
|
|
Net
sales |
|
$ |
26,257 |
|
|
|
$ |
30,188 |
|
|
|
$ |
118,893 |
|
|
|
$ |
123,879 |
|
|
Gross profit
% |
|
|
19.5 |
% |
|
|
|
28.5 |
% |
|
|
|
25.8 |
% |
|
|
|
28.3 |
% |
|
Net Income
(Loss) |
|
$ |
(1,749 |
) |
|
|
$ |
481 |
|
|
|
$ |
(346 |
) |
|
|
$ |
3,479 |
|
|
Earnings (Loss)
Per Common Share |
|
$ |
(0.11 |
) |
|
|
$ |
0.03 |
|
|
|
$ |
(0.02 |
) |
|
|
$ |
0.22 |
|
|
Effective Tax
Rate |
|
|
46.4 |
% |
|
|
|
58.6 |
% |
|
|
|
57.0 |
% |
|
|
|
38.3 |
% |
|
Net Sales by Product Category:
|
|
Year Ended December 31, 2017 |
|
|
Year EndedDecember 31,
2016 |
|
In thousands |
|
$ |
|
|
% |
|
|
$ |
|
|
% |
|
Drinkable Kefir other than ProBugs |
|
$ |
90,514 |
|
|
|
76 |
% |
|
|
$ |
96,782 |
|
|
|
78 |
% |
|
Cheese |
|
|
11,516 |
|
|
|
10 |
% |
|
|
|
11,007 |
|
|
|
9 |
% |
|
Cream
and other (a) |
|
|
6,527 |
|
|
|
5 |
% |
|
|
|
6,114 |
|
|
|
5 |
% |
|
ProBugs Kefir |
|
|
4,537 |
|
|
|
4 |
% |
|
|
|
6,722 |
|
|
|
5 |
% |
|
Other
dairy |
|
|
4,138 |
|
|
|
4 |
% |
|
|
|
1,279 |
|
|
|
1 |
% |
|
Frozen Kefir (b) |
|
|
1,661 |
|
|
|
1 |
% |
|
|
|
1,975 |
|
|
|
2 |
% |
|
Net
Sales |
|
$ |
118,893 |
|
|
|
100 |
% |
|
|
$ |
123,879 |
|
|
|
100 |
% |
|
|
(a) |
Includes cream byproducts and other non-dairy products for
resale |
|
(b) |
Includes Lifeway Kefir Shop sales |
|
|
|
About Lifeway Foods, Inc.
Lifeway Foods, Inc. (LWAY), which has been recognized as one of
Forbes’ Best Small Companies, is America’s leading supplier of the
probiotic, fermented beverage known as kefir. In addition to its
line of drinkable kefir, the company also produces cupped kefir and
cheese, frozen kefir, specialty cheeses, probiotic supplements and
a ProBugs line for kids. Lifeway’s tart and tangy cultured dairy
and non-dairy products are now sold across North America, Ireland
and the United Kingdom. Learn how Lifeway is good for more than
just you at www.lifewaykefir.com.
Forward-Looking Statements
All statements in this release (and oral statements made
regarding the subjects of this release) contains “forward-looking
statements” as defined in the Private Securities Litigation Reform
Act of 1995 regarding, among other things, future operating and
financial performance, product development, market position,
business strategy and objectives. These statements use words, and
variations of words, such as “gain,” “position,” “vision,”
“ongoing,” “intend,” “innovate,” “continue.” Other examples of
forward looking statements may include, but are not limited to, (i)
statements of Company plans and objectives, including the
introduction of new products, or estimates or predictions of
actions by customers or suppliers, (ii) statements of future
economic performance, and (III) statements of assumptions
underlying other statements and statements about Lifeway or its
business. You are cautioned not to rely on these forward-looking
statements. These statements are based on current expectations of
future events and thus are inherently subject to uncertainty. If
underlying assumptions prove inaccurate or known or unknown risks
or uncertainties materialize, actual results could vary materially
from Lifeway’s expectations and projections. These risks,
uncertainties, and other factors include: price competition; the
decisions of customers or consumers; the actions of competitors;
changes in the pricing of commodities; the effects of government
regulation; possible delays in the introduction of new products;
and customer acceptance of products and services. A further list
and description of these risks, uncertainties, and other factors
can be found in Lifeway’s Annual Report on Form 10-K for the fiscal
year ended December 31, 2017, and the Company’s subsequent filings
with the SEC. Copies of these filings are available online at
https://www.sec.gov, http://lifewaykefir.com/investor-relations/,
or on request from Lifeway. Information in this release is as of
the dates and time periods indicated herein, and Lifeway does not
undertake to update any of the information contained in these
materials, except as required by law. Accordingly, YOU SHOULD NOT
RELY ON THE ACCURACY OF ANY OF THE STATEMENTS OR OTHER INFORMATION
CONTAINED IN ANY ARCHIVED PRESS RELEASE.
Contact:
Lifeway Foods, Inc.Phone: 847-967-1010
Lifeway Foods (NASDAQ:LWAY)
Historical Stock Chart
From Apr 2024 to May 2024
Lifeway Foods (NASDAQ:LWAY)
Historical Stock Chart
From May 2023 to May 2024