July 22, 1997
Orlando, Florida
Galaxy Foods Company (Nasdaq: GALX), makers of healthy cheese and dairy-related products, today announced record sales of $5,883,454 for the quarter ended June 30, 1997, a 75% increase over sales of $3,354,980 for the quarter ended June 30, 1996 and a profit of $23,131 or $0.00 per share (based on the weighted average number of shares of Common Stock and Common Stock equivalents outstanding at such date) versus a net loss of $439,233 or $0.06 per share for the same period one year ago.
Angelo S. Morini, Galaxy's President stated, "We are very pleased with our first quarterly results which can be attributed to the continued increase in consumer spending on healthy products, the introduction of new and improved products to the retail market and consumer acceptance of these products. There was also an escalation of orders from major retail and foodservice customers. Our focus remains on increasing higher margin retail sales and replacing low margin conventional products we currently sell to certain foodservice accounts with higher margin Galaxy products. While this change is taking place over the next several months, we expect our retail sales to continue their steady growth while foodservice sales are expected to moderate slightly for a short time before escalating again mid-fall when our new ribbon/pullman loaf machine, which produces the number one selling product in foodservice, becomes operational. During this transition, we expect to increase our profit margins and reduce our operating expenses."
Galaxy Foods Company produces a complete line of healthy cheese and dairy-related products for the retail, food service and industrial markets. Galaxy Foods is the inventor and originator of form�gg�, a new, healthier and better way to make cheese. Form�gg products are low or no fat, have low or no cholesterol and no lactose and contain more vitamins and minerals than conventional cheese. Other brands names include Soyco�, Soymage�, Veggie Slices�, Lite Bakery�, and Wholesome Valley�. For more information, contact Rebecca Barksdale at 407-855-5500, extension 105.
