Tue, Jun 11, 8:13 PM (88 days ago)
Mama’s Creations, Inc. reported a 29.1% increase in net sales to $29.8 million for the quarter ending April 30, 2024, driven by volume gains, pricing actions, and the acquisition of Chef Inspirational Foods (CIF) in June 2023. Cost of sales increased by 34% to $22.4 million, primarily due to higher commodity costs, leading to a decrease in gross profit margin from 28% to 25%. Operating expenses rose by 51% to $6.7 million, influenced by a $900,000 legal settlement and increased payroll, advertising, and professional fees. Net income dropped to $553,000 from $1.4 million in the same period last year. Cash flow from operating activities was $3.6 million, while net cash used in investing and financing activities was $1.1 million and $0.5 million, respectively. The company maintained a working capital of $6.8 million. Future operations may require additional funding to support growth and strategic objectives.