UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
_____________________
Form 8-K
_____________________
Current Report Pursuant to
Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event Reported): May 3, 2017
| UFP Technologies, Inc. |
| (Exact Name of Registrant as Specified in Charter) |
| Delaware |
| (State or Other Jurisdiction of Incorporation) |
| 001-12648 | 04-2314970 | |
| (Commission File Number) | (I.R.S. Employer Identification Number) | |
| 100 Hale Street, Newburyport, MA - USA | 01950-3504 | |
| (Address of Principal Executive Offices) | (Zip Code) |
978-352-2200 |
| (Registrant's telephone number, including area code) |
| N/A |
| (Former name or former address, if changed since last report) |
| Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: | ||
| [ ] | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) | |
| [ ] | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) | |
| [ ] | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) | |
| [ ] | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) | |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). Emerging growth company [ ]
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]
Item 2.02. Results of Operations and Financial Condition.
On May 3, 2017, UFP Technologies, Inc. (the “Company”) issued a press release announcing its financial results for the first quarter ended March 31, 2017. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein in its entirety by reference. Limitation on Incorporation by Reference. The information furnished in this Item 2.02, including the press release attached hereto as Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing. Cautionary Note Regarding Forward-Looking Statements. Except for historical information contained in the press release attached as an exhibit hereto, the press release contains forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements. Please refer to the cautionary note in the press release regarding these forward-looking statements.
Item 9.01. Financial Statements and Exhibits.
(d) Exhibits. Exhibit
Number Description 99.1 Press release dated May 3, 2017 of UFP Technologies, Inc. announcing its financial results for the first quarter ended March 31, 2017.
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 hereunto duly authorized.
| UFP TECHNOLOGIES, INC. | ||
| Dated: May 5, 2017 | By: | /s/ Ronald J. Lataille |
| Ronald J. Lataille | ||
| Chief Financial Officer and Senior Vice President | ||
EXHIBIT INDEX
| Exhibit Number | Description | |
| 99.1 | Press release dated May 3, 2017 of UFP Technologies, Inc. announcing its financial results for the first quarter ended March 31, 2017. |
Exhibit 99.1
UFP Technologies Announces Q1 2017 Results, Doubles Net Income
NEWBURYPORT, Mass., May 03, 2017 (GLOBE NEWSWIRE) -- UFP Technologies, Inc. (Nasdaq:UFPT), an innovative designer and custom converter of foams, plastics, composites, and natural fiber materials, today reported net income of $2.2 million or $0.30 per diluted common share outstanding for its first quarter ended March 31, 2017, doubling net income of $1.1 million or $0.15 per diluted common share outstanding for the same period in 2016. Sales for the first quarter were $37.1 million compared to 2016 first quarter sales of $34.5 million.
“I am very pleased with our first quarter results and strong start to the year,” said R. Jeffrey Bailly, Chairman & CEO. “Sales increased 7.4%, fueled by continued strength in the medical market and an uptick in military/aerospace orders. Net income and earnings per share both doubled as well.”
“Our gross margins also rose significantly,” Bailly added. “This is due to several factors, including selective price increases, changes in our business mix, and continuous improvement efforts on the factory floor. We’ve worked hard to increase operating efficiency and streamline our manufacturing processes. From installing new cutting-edge equipment to optimizing cell layouts and workflows, this has been a top priority across the Company, and we are now reaping the benefits of these initiatives.”
“In addition, we are making excellent progress in attracting top talent to fill key roles, and in identifying strategic acquisition candidates that we believe will increase our value to customers and help accelerate growth,” said Bailly. “Overall, we remain confident in our strategy and very excited about our future.”
UFP Technologies is an innovative designer and custom converter of foams, plastics, and natural fiber materials, principally serving the medical, automotive, consumer, electronics, industrial, and aerospace and defense markets. The UFP team acts as an extension of its customers’ in-house research, engineering, and manufacturing groups, working closely with them to solve their most complex product and packaging challenges.
This news release contains statements relating to expected financial performance and/or future business prospects, events and plans that are forward-looking statements. Such statements include, but are not limited to, statements about the Company’s prospects, statements about the Company’s acquisition strategies and opportunities, statements regarding new hires and anticipated trends in the different markets in which the Company competes, anticipated advantages relating to the Company’s decisions to consolidate its facilities and the expected cost savings and efficiencies associated therewith, anticipated advantages and the timing associated with requalification and relocation of parts, anticipated advantages of maintaining fewer, larger plants, anticipated advantages the Company expects to realize from its investments and capital expenditures, expectations regarding the manufacturing capacity and efficiencies of the Company, statements about the Company’s entry into new contracts, and the timing and anticipated advantages associated therewith, statements about the Company’s participation and growth in multiple markets, its business opportunities, the Company’s growth potential and strategies for growth, anticipated revenues and the timing of such revenues, and any indication that the Company may be able to sustain or increase its sales and earnings or sales and earnings growth rates. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including without limitation risks and uncertainties associated with the identification of suitable acquisition candidates and the successful, efficient execution of acquisition transactions and integration of any such acquisition candidates, risks and uncertainties associated with hiring new employees and expected advantages associated therewith, risks and uncertainties associated with plant closures and expected efficiencies from consolidating manufacturing, risks that the Company may not be able to finalize anticipated new customer contracts, risks associated with the implementation of new production equipment and requalification or recertification of transferred equipment, in a timely, cost-efficient manner, risks that any benefits from such new or transferred equipment may be delayed or not fully realized, or that the Company may be unable to fully utilize its expected production capacity, as well as other risks and uncertainties that are detailed in the documents filed by the Company with the Securities and Exchange Commission (“SEC”). Accordingly, actual results may differ materially. Readers are referred to the documents filed by the Company with the SEC, specifically the last reports on Forms 10-K and 10-Q. The forward-looking statements contained herein speak only of the Company’s expectations as of the date of this press release. The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company’s expectations or any change in events, conditions, or circumstances on which any such statement is based.
| Consolidated Condensed Statements of Income | ||||||||
| (in thousands, except per share data) | ||||||||
| Three Months Ended | ||||||||
| March 31, | ||||||||
| (Unaudited) | ||||||||
| 2017 | 2016 | |||||||
| Net sales | $ | 37,053 | $ | 34,503 | ||||
| Cost of sales | 27,537 | 26,776 | ||||||
| Gross profit | 9,516 | 7,727 | ||||||
| SG&A | 6,316 | 5,904 | ||||||
| Restructuring costs | - | 123 | ||||||
| Gain on sale of fixed assets | (5 | ) | (4 | ) | ||||
| Operating income | 3,205 | 1,704 | ||||||
| Interest income, net | (28 | ) | (11 | ) | ||||
| Income before income taxes | 3,233 | 1,715 | ||||||
| Income taxes | 1,062 | 640 | ||||||
| Net income from consolidated operations | $ | 2,171 | $ | 1,075 | ||||
| Net income per share outstanding | $ | 0.30 | $ | 0.15 | ||||
| Net income per diluted share outstanding | $ | 0.30 | $ | 0.15 | ||||
| Weighted average shares outstanding | 7,216 | 7,173 | ||||||
| Weighted average diluted shares outstanding | 7,297 | 7,253 | ||||||
| Consolidated Condensed Balance Sheets | |||||
| (in thousands) | |||||
| March 31, | December 31, | ||||
| 2017 | 2016 | ||||
| (Unaudited) | |||||
| Assets: | |||||
| Cash | $ | 33,755 | $ | 31,359 | |
| Receivables | 21,923 | 21,249 | |||
| Inventories | 14,411 | 14,151 | |||
| Other current assets | 2,869 | 3,088 | |||
| Net property, plant, and equipment | 49,056 | 48,516 | |||
| Other assets | 9,505 | 9,571 | |||
| Total assets | $ | 131,519 | $ | 127,934 | |
| Liabilities and equity: | |||||
| Short-term debt | $ | 600 | $ | 856 | |
| Accounts payable | 5,907 | 4,002 | |||
| Other current liabilities | 4,084 | 4,698 | |||
| Other liabilities | 5,523 | 5,325 | |||
| Total liabilities | 16,114 | 14,881 | |||
| Total equity | 115,405 | 113,053 | |||
| Total liabilities and stockholders' equity | $ | 131,519 | $ | 127,934 | |
www.ufpt.com
Contact: Ron Lataille
978-234-0926