Georgetown, Massachusetts -- Packaging manufacturer UFP Technologies Inc. has reported sales up by 33 percent to $28.7 million for the first quarter ended 31 March 2010 (Q1), compared to the same period last year.
Net Q1 2010 income was up to $1.5 million from $345 000 in Q1 2009 .
Gross profit for Q1 increased to $7457 million from $4943 million, year-on-year, whilst operating income and cost of sales increased to $2445 million and $21 243 million from $551 million and $16 665 million, respectively, for the same periods, a recent company statement said.
"I am very pleased with our solid start to 2010, which represents our strongest first quarter on record" said Jeffrey Bailly, ceo of UFP Technologies, in the company's results statement. "We enjoyed a significant increase in our bottom line, fuelled by a 33-percent increase in revenue overlaid on a streamlined organisation."
The sales increase, Bailly said, was driven by added revenue from three acquisitions in 2009, which were primarily focused on the medical market, and also by a strong rise in demand from automotive customers.
In 2009, UFP acquired assets of Advanced Materials Group (AMI), a foam fabricator for the medical market based in Rancho Dominguez, California. It also acquired Denver, Colorado-based E.N. Murray, a polyurethane foam distributor.
"In these uncertain economic times, our market diversity remains a key strategic advantage, as we can shift our engineering and product development resources to markets with the strongest growth opportunities," Bailly continued. "We will continue our efforts to grow both internally and through strategic acquisitions as we work to continuously improve the efficiency of our operations."
Based in Georgetown, Massachusetts, UFP provides packaging solutions using moulded fibre, vacuum-formed plastics, and molded and fabricated foam plastics, the statement added. (RD)