NASDAQ$UFPT

UFP Technologies Inc · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Reported a decrease in sales and net income compared to the same period last year.

UFP Technologies reported a decrease in sales and net income for Q4 2020 compared to Q4 2019. Sales declined by 10.1% to $45.2 million, and net income decreased by 27.6% to $4.2 million. The company highlighted its cost-cutting initiatives and efficiency improvements, which helped improve gross margins throughout the year. They also managed supply chain issues, kept staff safe, and improved cash balance.

  • Net income for Q4 2020 was $4.2 million, or $0.55 per diluted common share, compared to $5.8 million, or $0.77 per diluted common share, in Q4 2019.
  • Sales for Q4 2020 were $45.2 million, down from $50.3 million in Q4 2019.
  • Gross margins improved steadily throughout the year, reaching 25.2% in Q4.
  • The company's Product Development business grew by 63%.

Headline financials

Total Revenue

$45.2M

Previous: $50.3M-10.2%
EPS (adj)

$0.55

Previous: $0.76-27.6%
Capital Expenditures

$1.31M

Previous: $1.4M-6.2%
Free Cash Flow

$6.99M

Previous: $7.45M-6.2%
Net Income

$4.2M

Previous: $5.8M-27.6%
Operating Income

$0.00

Previous: $24.7M-100.0%
Gross Profit

$11.4M

Previous: $13.8M-17.3%
Cash & Equivalents

$28M

Previous: $3.74M+648.1%
Total Assets

$203M

Previous: $189M+7.7%
Stock-Based Comp

$469K

Previous: $422K+11.1%

Revenue & EPS history

UFP Technologies · Revenue · Quarterly

$45.2M

Q4 2020-10.2%vs Q4 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

UFP Technologies · $6.8M total across 1 segment · Q3 2023

  • Medical
    $6.8M

Forward guidance

UFP Technologies anticipates business improvements based on a rebound in elective surgeries and strong consumer and aerospace & defense markets. They have a strong balance sheet and will continue to evaluate acquisition opportunities.

Tailwinds

  • Expect medical sales to return to pre-pandemic levels by Q4 2021 and then grow due to pent-up demand.
  • Saw a strong rebound in the consumer and aerospace & defense markets by the end of the year.
  • Millions of dollars in savings from cost-cutting initiatives are expected to be permanent.
  • Strong balance sheet with $28 million in cash and a $50 million line of credit.
  • Robust pipeline of both internal and external growth opportunities.

Headwinds

  • Sales for the year declined 9.6% due to a 6.8% drop in medical sales and a 19.1% decline in the Advanced Components business.
  • Medical sales were down primarily due to a drop in elective surgeries.
  • Operating income declined about 32%.
  • Potential further impact the novel coronavirus (“COVID-19”) pandemic may have on the Company’s business, financial condition and results of operations
  • Increased costs in connection with efforts to address the pandemic, including regarding the safety of its employees, the maintenance of its facilities and the sufficiency of the Company’s supply chain, inventory, liquidity and capital resources

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

+2.7%

Avg return

Earnings day

+3.1%

Avg return

5 days after

+5.5%

Avg return

30 days after

66%

43 / 65 earnings

Positive

+24.0%

Q1 2024

Best reaction

-11.6%

Q3 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+4.2%-1.0%+1.1%
Q4 2025+0.3%-15.1%-21.2%
Q3 2025+12.2%+13.6%+8.6%
Q1 2025+11.2%+19.8%+23.6%
Q4 2024+9.4%-5.5%-15.7%
Q3 2024+23.8%+24.2%+4.5%
Q2 2024+2.8%-5.4%+7.7%
Q1 2024+24.0%+24.5%+26.4%
Q4 2023+10.5%+11.3%+26.2%
Q3 2023-11.6%-8.0%+6.9%
Q2 2023-5.5%-6.3%-9.7%
Q1 2023+5.8%+2.0%+13.9%
Q4 2022+10.8%+2.9%+16.5%
Q3 2022+16.4%+21.5%+31.6%
Q2 2022+11.2%+11.1%+14.1%
Q1 2022+5.9%+3.1%+14.2%
Q4 2021-1.0%-11.1%+1.3%
Q3 2021+4.1%+6.8%+7.6%
Q2 2021+9.6%+12.5%+14.8%
Q1 2021+8.1%+8.8%+15.4%
Q4 2020+1.4%-7.8%-0.7%
Q3 2020+13.2%+18.9%+25.0%
Q2 2020+3.7%+2.5%-6.4%
Q1 2020+1.3%+7.1%+10.0%
Q4 2019+3.0%-4.2%-28.6%
Q3 2019-0.2%+1.3%+7.7%
Q2 2019+2.6%-1.4%-2.2%
Q1 2019+2.8%+3.6%+5.0%
Q4 2018-1.4%-0.2%+8.6%
Q3 2018-0.8%-1.8%+5.1%
Q2 2018+2.7%+10.2%+7.6%
Q1 2018-0.6%-3.2%-6.2%
Q4 2017-3.3%-1.4%+3.7%
Q3 2017-10.1%-11.1%-9.0%
Q2 2017-3.3%-3.8%-8.0%
Q1 2017+1.7%+1.1%+4.9%
Q4 2016+0.4%+1.2%+5.7%
Q3 2016-4.6%-3.5%-4.6%
Q2 2016+3.3%+2.9%+7.5%
Q1 2016+1.3%
Q4 2015+5.6%
Q3 2015-0.6%
Q2 2015+12.7%
Q1 2015-2.7%
Q4 2014-7.5%
Q3 2014+0.9%
Q2 2014-2.1%
Q1 2014-1.2%
Q4 2013+0.1%
Q3 2013-0.9%
Q2 2013+1.4%
Q1 2013-3.4%
Q4 2012-0.6%
Q3 2012-2.5%
Q2 2012+1.3%
Q1 2011+2.5%
Q1 2012+0.6%
Q4 2009-3.0%
Q4 2011-3.0%
Q3 2010+2.6%
Q3 2011+2.6%
Q4 2010+1.3%
Q2 2010+1.3%
Q2 2011+1.3%
Q1 2010+0.5%

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