FORM 6-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Report of Foreign Private Issuer
Pursuant to Rule 13a-16 or 15d-16 of
the Securities Exchange Act of 1934
For the period ended May 31, 1998
Yogen Fruz World-Wide Incorporated
(Translation of registrant's name into English)
8300 Woodbine Avenue, Markham, Ontario Canada L3R 9Y7
(Address of principal executive offices)
Indicate by check mark whether the registrant files or will file annual
reports under cover Form 20-F or Form 40-F.
Form 20-F __x__ Form 40-F_______
Indicate by check mark whether the registrant by furnishing the information
contained in this Form is also thereby furnishing the information to the
Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.
Yes_______ No __x___
If "Yes" is marked, indicate below the file number assigned to the
registrant in connection with Rule 12g3-2(b):82-_________
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Materials relating to Registrant and filed pursuant to this Form 6-K
include:
(a) Press Release with respect to earnings for the quarter ended May 31,
1998.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, thereunto duly authorized.
YOGEN FRUZ WORLD-WIDE INCORPORATED
Date July 22, 1998 By /s/ AARON SERRUYA
-----------------------------
Name: Aaron Serruya
Title: Executive Vice President
FOR IMMEDIATE RELEASE
YOGEN FRUZ WORLD-WIDE INCORPORATED REPORTS
RECORD NET EARNINGS, REVENUES FOR FIRST NINE MONTHS
Toronto, Canada - July 6, 1998 - Yogen Fruz World-Wide Incorporated (TSE: YF.A)
is pleased to report record earnings for the three months ended May 31, 1998.
Net earnings were $6,621,409 ($0.15 per share fully diluted) versus $2,860,156
($0.09 per share fully diluted) in the same period last year. Record revenues
jumped to $31,531,258 versus $10,360,759, an increase of $21,170,499 or 204 per
cent. These improved results were primarily due to the recent merger with
Integrated Brands Inc.
For the nine months ended May 31, 1998, record net earnings advanced by 100 per
cent to $10,432,968 ($0.26 per share fully diluted) versus $5,311,282 ($0.17 per
share fully diluted) in the same period last year. The increase in earnings per
share occurred even though 8,716,721 more weighted fully diluted shares were
outstanding in the first nine months of fiscal 1998. Revenues jumped to a record
$53,622,804 versus $25,118,013 in the same period last year, an increase of
$28,504,791 or 113 per cent. The Company has cash holdings of $29,718,448.
For the three months ended May 31, 1998, product sales advanced to $24,116,318
versus $6,648,140 due to the contribution from Integrated Brands and the overall
growth of the system in the quarter. Franchising income and fees also increased
to $3,057,249 versus $2,297,837, once again due to the merger with Integrated
Brands offset by fewer Master Franchise Agreements signed in the quarter.
Corporate store sales were $3,243,424 compared to $480,516. The increase in
store sales was primarily a result of the Golden Swirl stores acquired on May
31, 1997. "All of our Brands continued to contribute towards our record sales
and net earnings, as exemplified in this quarter," said Michael Serruya, Yogen
Fruz Co-President and Co-CEO. "Continued growth in net earnings reflect progress
made on several fronts including acquisitions, consolidation and international
expansion," said Michael Serruya.
On March 18, 1998, Yogen Fruz completed its merger with Integrated Brands Inc.,
which markets, sells and distributes Tropicana(R) frozen desserts, as well as a
variety of other branded frozen dessert products, under the Betty Crocker(R),
Yoplait(R), Colombo(R), Trix(R), Lucky Charms(R) and Yoo Hoo(R) brand names,
pursuant to long-term exclusive license agreements. Integrated Brands Inc.,
directly and through subsidiaries, also operates, franchises and licenses
Swensen's(R) Ice Cream, Steve's(R) Ice Cream and triple trademark frozen dessert
stores throughout the United States and certain foreign countries. "The
acquisition of Integrated has significantly increased our U.S. distribution base
and assisted us in establishing clear brand leadership," said Michael Serruya.
"The Tropicana frozen dessert and Yogen Fruz's yogurt and ice cream products are
natural companions," said Richard E. Smith, Yogen Fruz Co-President and Co-CEO.
"Initial response in Canada has exceeded our expectations
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and has assisted Yogen Fruz in making the transition from a successful
entrepreneurial company to a major and rapidly growing global enterprise in the
consumer products sector."
As well during this quarter, Yogen Fruz announced a partnership with Pizza Hut
Canada, a division of Tricon Global Restaurants (Canada) Inc., where corporate
and franchised Pizza Hut restaurants in Canada will carry the I Can't Believe
It's Yogurt (ICBIY) product. The ICBIY brand will be the centerpiece of Pizza
Hut's re-launch of their famous dessert bar. "Pizza Hut and Yogen Fruz are a
terrific combination because together they combine Canada's favourite choice in
pizza with one of the country's top choices for dessert and refreshment. This
alliance is unprecedented in our industry," said Michael Serruya.
During this quarter, Yogen Fruz World-Wide Incorporated added 726 outlets to its
global system. In the U.S., 221 outlets were opened, 94 of which were added to
our system by our Swensen's Ice Cream brand. In Canada, 364 outlets were
launched, 200 of which were due to the partnership signed with Pizza Hut Canada,
to carry the ICBIY brand. Internationally, we added 141 outlets, 130 of which
fall under our Swensen's brand.
As of May 31, 1998, the Company had 4,762 locations in 82 countries, and is the
world's largest franchisor of frozen yogurt outlets, operating a Family of
Brands, including Yogen Fruz, Bresler's Ice Cream, I Can't Believe It's Yogurt,
Golden Swirl, Paradise, Ice Cream Churn, Swensen's Ice Cream, Steve's Ice Cream
and Java Coast Fine Coffees.
Summary Financial Data:
<TABLE>
<CAPTION>
Nine Months Ended May 31 Three Months Ended May 31
----------------------------------- ----------------------------------
1998 1997 1998 1997
------------ ------------- ------------- -------------
<S> <C> <C> <C> <C>
Revenues $ 53,622,804 $ 25,118,013 $ 31,531,258 $ 10,360,759
Earnings Before Amortization
And Income Taxes $ 14,586,771 $ 6,956,478 $ 9,257,475 $ 3,602,962
Amortization $ 1,973,023 $ 1,208,936 $ 834,136 $ 392,846
Earnings Before Income Taxes $ 12,613,748 $ 5,747,542 $ 8,423,339 $ 3,210,116
Income Taxes $ 2,180,780 $ 436,260 $ 1,801,930 $ 349,960
Net Earnings $ 10,432,968 $ 5,311,282 $ 6,621,409 $ 2,860,156
Earnings Per Shares
Basic $0.28 $0.19 $0.16 $0.10
Fully Diluted $0.26 $0.17 $0.15 $0.09
Cash on hand $ 29,718,448 $ 27,609,539
</TABLE>
For further information contact:
Michael Serruya/Richard E. Smith
Co-President, Co-CEO
Yogen Fruz World-Wide Incorporated
Tel: 905-479-8762/Tel: 516-737-9700
Fax: 905-479-5235/Fax: 516-737-9792
