Business
UFP Technologies Announces Q3 2021 Results
NEWBURYPORT, Mass., Nov. 03, 2021 (GLOBE NEWSWIRE) -- UFP Technologies, Inc. (Nasdaq: UFPT), an innovative designer and custom manufacturer of components,
About this update from Ufp Technologies, Inc.
[{"type":"text","content":"NEWBURYPORT, Mass., Nov. 03, 2021 (GLOBE NEWSWIRE) -- UFP Technologies, Inc. (Nasdaq: UFPT), an innovative designer and custom manufacturer of components, subassemblies, products, and packaging primarily for the medical market, today reported net income of $3.8 million or $0.50 per diluted common share outstanding for its third quarter ended September 30, 2021, compared to net income of $3.0 million or $0.40 per diluted common share outstanding for the same quarter in 2020. Sales for the third quarter were $50.7 million compared to 2020 third quarter sales of $43.3 million. Net income for the nine-month period ended September 30, 2021 was $12.7 million or $1.67 per diluted common share outstanding compared to $9.2 million or $1.22 per diluted common share outstanding for the same period in 2020. Sales for the nine-month period ended September 30, 2021 were $150.0 million compared to sales of $134.2 million for the same period in 2020. \"I am pleased with our third quarter results,\" said R. Jeffrey Bailly, Chairman & CEO. \"Sales increased 17%, operating income rose 36%, and we saw double-digit growth in all markets except automotive, which remains down due to the microchip shortage. We also made substantial progress on our long-term strategic initiatives to expand our footprint and capabilities, and increase our value to customers. We continued to advance our expansion into Mexico, with facility build-out and equipment qualifications. We recently completed our acquisition of Contech Medical, the first step in a larger acquisition strategy to help us better serve our key medical customers and their growth plans. We are also pursuing additional acquisition candidates to provide low-cost manufacturing in locations where we currently ship millions of dollars of product.\" \"The team has done a good job navigating significant labor and supply chain issues, which have led to abnormally high overtime and $4 million in unfulfilled orders,\" Bailly added. \"We continue to experience limited supplies of raw materials, along with increased prices. However, after completing supplier negotiations and reviewing alternate sourcing options, we believe we can mitigate the impact of these issues with planned pass-through price increases to our customers. Still, in the near term gross margins will remain below our target levels.\" \"With our soli...