Company achieves 2024 net sales of $186.8 million; up 17% year-over-year 21st consecutive quarter of year-over-year growth Growing consumer interest in probiotic foods with bioavailable nutrients continues to drive strong demand for Lifeway products MORTON GROVE, Ill., March 14, 2025 /PRNewswire/ -- Lifeway Foods, Inc. (Nasdaq: LWAY) ("Lifeway" or "the Company"), a leading U.S. supplier of kefir and fermented probiotic products to support the microbiome, reported financial results for the fourth quarter and ...

Financial Projections - Lifeway forecasts annual Adjusted EBITDA to grow from $22 million in 2023 to between $45 million and $50 million in 2027[4]. - For the three-month period ended December 31, 2024, net sales are expected to range between $45.1 million and $46.6 million, up from $42.1 million for the same period in 2023[4]. - Full-year 2024 net sales are projected to be between $185.0 million and $186.5 million, an increase from $160.1 million in 2023[4]. - Lifeway has achieved 21 consecutive quarters of growth through Q4 2024, with double-digit year-over-year revenue growth in 2024[8]. Shareholder Returns - Total shareholder returns for Lifeway have been 788% and 270% over the past five and three years, respectively[8]. Management and Strategy - The Amended and Restated Employment Agreement for CEO Ms. Smolyansky does not increase her annual base salary or bonus entitlement from 2023 levels[7]. - The Company continues to execute its strategy and deliver substantial value for shareholders despite Danone's unsolicited offers[4]. - Lifeway's financial advisors have engaged with Danone's advisors regarding potential value-maximizing transactions[4]. - The Board emphasizes that it is not opposed to the sale of the Company at any price, provided it reflects fair value[4]. Shareholder Agreement Concerns - The Danone-Lifeway Shareholder Agreement is argued to cause "prejudice" to minority shareholders, impacting their rights to receive a fair price[20]. - The Shareholder Agreement is claimed to be barred by Section 7.71 of the Illinois Business Corporation Act, which does not permit such agreements that impinge on the rights of all shareholders[21]. - The interpretation of Section 7.71 is that it is mandatory, not permissive, contradicting the assertion that it allows non-unanimous shareholder agreements[22]. - The argument that subsection (e) permits shareholder agreements affecting all shareholders is rejected, emphasizing the need for fiduciary duties to benefit all shareholders[23]. - The existence of subsection (b) is clarified to ensure that agreements entered unanimously do not harm later transferees, reinforcing the requirement for unanimity[24]. - The Shareholder Agreement is described as anticompetitive, with Danone's right of first refusal seen as a tool to thwart transactions with competitors[26]. - The claim that the Shareholder Agreement provides safeguards against the dilution of Danone's equity stake is challenged, as it persists even without an equity stake[26]. - The anticompetitive nature of the Shareholder Agreement undermines its statutory authority, rendering it void ab initio[27]. - Lifeway reserves all rights regarding the Shareholder Agreement and does not waive any[28].

MORTON GROVE, Ill., March 4, 2025 /PRNewswire/ -- Lifeway Foods, Inc. (NASDAQ: LWAY) ("Lifeway" or the "Company"), a leading U.S. supplier of kefir and fermented probiotic products to support the microbiome, issued the following statement regarding most recent predatory actions by Danone (OTCQX: DANOY):Danone has continued its hostile behavior in its latest Schedule 13D filed with the Securities and Exchange Commission referencing a lawsuit against Lifeway.  This is the latest aggressive action in Danone's ...

Core Insights - Lifeway Foods, Inc. is promoting awareness of new gut health research linking long-term consumption of fermented milk to a reduced risk of colorectal cancer [1][2] - The company’s President and CEO, Julie Smolyansky, will discuss these findings at the SXSW conference alongside journalist Katie Couric [1][2] Company Overview - Lifeway Foods is a leading U.S. supplier of kefir and fermented probiotic products, emphasizing the health benefits of their offerings [1][4] - The company aims to enable healthier living through high-quality fermented milk products rich in bioavailable nutrients [4] Research Findings - A recent study from Mass General Brigham indicates that individuals consuming two or more servings of fermented dairy weekly experienced a 20% reduction in colorectal cancer incidence associated with Bifidobacterium [2][3] - The study followed participants for over three decades, reinforcing the belief that yogurt and fermented milk products are beneficial for gastrointestinal health [3] Product Information - Lifeway Kefir contains 12 live and active cultures, and is rich in protein, calcium, and vitamin D, designed to support overall wellness and maintain a healthy gut flora balance [4]

Company Overview - Lifeway Foods, Inc. is recognized as America's leading supplier of probiotic fermented beverages, specifically kefir, and has been listed among Forbes' Best Small Companies [3] - The company produces a variety of products including drinkable kefir, cheeses, and a ProBugs line for children, with its products sold in multiple countries including the U.S., Mexico, and France [3] Product Innovation - Lifeway is focused on crafting products that meet consumer demands, particularly in the growing interest in kefir linked to health benefits such as reduced incidence of certain colorectal cancers [2] - The company is introducing new offerings that incorporate on-trend ingredients and unique flavor combinations aimed at appealing to Gen Z and Millennial consumers [2] Market Engagement - Lifeway will showcase its products at Expo West, providing samples of new probiotic items and creative recipes, highlighting the versatility and nutritional benefits of its offerings [1][2] - The company aims to connect with food lovers, retailers, and health enthusiasts at the event, emphasizing its commitment to better-for-you foods [2]

Core Insights - Lifeway Foods, Inc. is expanding its distribution of Farmer Cheese to 1,400 Albertsons stores across the U.S., aiming to reach new audiences and enhance its market presence [1][3] - The Farmer Cheese product is a premium cultured soft cheese that offers 15g of protein per serving, is made with 12 live probiotics, and is up to 99% lactose-free, catering to the growing demand for high-protein and probiotic foods [2][3] Company Overview - Lifeway Foods, Inc. is recognized as a leading supplier of kefir and fermented probiotic products in the U.S., with a diverse product line that includes drinkable kefir and various cheeses [5] - The company has been acknowledged as one of Forbes' Best Small Companies and has a significant presence in international markets, including Mexico, Ireland, South Africa, the UAE, and France [5] Market Context - The demand for high-protein and probiotic foods is increasing, with Lifeway's Farmer Cheese gaining popularity due to its flavor and health benefits, supported by endorsements from social media influencers [3] - Albertsons Companies operates 2,273 retail food and drug stores across 34 states, providing a substantial platform for Lifeway's products to reach consumers [6]

Core Viewpoint - The Smolyanskys, who control approximately 28% of Lifeway Foods' shares, are calling for the resignation of CEO Julie Smolyansky following her lawsuit against Edward Smolyansky, the largest individual shareholder [1][2][3]. Group 1: Shareholder Actions - The Smolyanskys have requested Lifeway's Board to compel CEO Julie Smolyansky to withdraw her lawsuit against Edward Smolyansky [1]. - They believe the recent $2 million retention bonus awarded to Julie Smolyansky is a tactic to fund her legal battles against the Founding Shareholders [2]. - The Smolyanskys are expanding their investigation into the company's governance, which has seen significant turnover in key positions since 2018 [2]. Group 2: Legal and Financial Context - Edward Smolyansky criticized the company's increasing litigation, stating it reflects poor governance [3]. - Ludmila Smolyansky indicated that the $2 million payment to Julie was anticipated to lead to legal action against Edward [3]. - The Smolyanskys have expressed concerns about the board's obstruction of their ability to monetize their shares and contribute to charitable causes [3]. Group 3: Future Goals - The Smolyanskys aim to achieve new management and an independent slate of directors to improve the company's governance [4]. - They have highlighted their commitment to philanthropy, despite perceived interference from the current board [4].

Core Insights - Lifeway Foods, Inc. is set to ring the closing bell at Nasdaq on February 3, 2025, coinciding with the announcement of record net sales projections for Q4 2024 and the full year 2024 [1][2] - The company anticipates Q4 2024 net sales between $45.1 million and $46.6 million, and full year 2024 net sales projected between $185.0 million and $186.5 million, representing a significant increase from $160.1 million in 2023 [1][2] - This marks the twenty-first consecutive fiscal quarter of year-over-year topline growth for Lifeway Foods [2] Company Performance - Lifeway Foods has built a strong brand over nearly four decades by producing popular healthy products and contributing to community initiatives [2][3] - The company has mobilized resources to support communities affected by recent wildfires in Los Angeles, demonstrating its commitment to social responsibility [2] - Lifeway's growth reflects its dedication to high-quality, nutritious products and its ability to adapt in a competitive market [3] Product Offerings - Lifeway Foods is recognized as America's leading supplier of kefir, a probiotic fermented beverage, and also produces a variety of cheeses and a ProBugs line for children [4] - The company's products are sold across multiple countries, including the United States, Mexico, Ireland, South Africa, the United Arab Emirates, and France [4]

Company Overview - Lifeway Foods is a leading US supplier of kefir and fermented probiotic products, recognized as one of Forbes' Best Small Companies [6] - The company produces drinkable kefir, cheeses, and a ProBugs line for kids, with products sold in the US, Mexico, Ireland, South Africa, UAE, and France [6] Financial Performance - Lifeway's 2024 net sales are projected to range between $185.0 million to $186.5 million, up from $160.1 million in 2023 [3][8] - Preliminary unaudited Q4 2024 net sales are estimated between $45.1 million to $46.6 million [8] - The company has achieved 21 consecutive quarters of growth through Q4 2024 [5] - Lifeway delivered double-digit year-over-year revenue growth in Q3 2024 [5] - Total shareholder returns reached 788% over the past five years and 270% over the past three years as of September 23, 2024 [5] Acquisition Proposal - Lifeway's Board rejected Danone's acquisition offer, stating it severely undervalued the company based on independent financial and legal analysis [1] - The Board is open to a sale at a price that accurately reflects the company's true value [1] - Lifeway claims the 1999 Stockholders agreement with Danone violates Illinois law and intends to pursue legal remedies to nullify it [2] Leadership and Strategy - CEO Julie Smolyansky has led the company through a period of significant growth and success [5] - The Board believes Smolyansky's continued leadership is critical to the success of the company's standalone business plan [5] - Lifeway is assessing its relationship with Danone and exploring ways to protect the company's and shareholders' interests [4]

Core Insights - Lifeway Foods, Inc. is expanding the distribution of its ProBugs Organic Kefir for kids to over 250 Harris Teeter retail stores, featuring flavors like Strawnana and Goo-berry in single-serve pouches [1][3] - The ProBugs kefir is made with organic whole milk and contains 12 live and active probiotic cultures, designed for children with a focus on convenience and fun [2][3] - The U.S. kids and infant probiotic market is projected to reach $370.89 million by 2032, growing at a CAGR of 9.1% [3] Company Overview - Lifeway Foods, Inc. is recognized as a leading supplier of kefir and fermented probiotic products, also producing a variety of cheeses and the ProBugs line for kids [5] - The company has a presence in multiple countries, including the U.S., Mexico, Ireland, South Africa, UAE, and France [5] Retail Partnership - Harris Teeter, a subsidiary of The Kroger Co., has been in operation for over 60 years and employs 36,000 associates across more than 250 stores [6]