The earnings call presented a generally positive outlook with record performance metrics, strategic supply chain diversification, and operational efficiency improvements. However, challenges such as foreign currency headwinds and tariff impacts on costs were noted, which are expected to affect the upcoming quarter's gross margin.

Company Guidance

During the Karat Packaging Inc. Second Quarter 2025 Earnings Conference Call, the company provided guidance for the upcoming quarters, highlighting expected financial performance metrics. Net sales for the third quarter of 2025 are projected to increase by approximately 9% to 10% over the prior year quarter. The company anticipates gross margins for the third quarter to be in the low to mid-30s, with adjusted EBITDA margin expected to range from 10% to 12%. This guidance reflects the impact of elevated tariffs on the cost of goods sold. Despite challenges, Karat Packaging has emphasized a strategic focus on diversifying its sourcing strategy, reducing reliance on China to just 10% in the second quarter, and expanding into other Asian and Latin American countries. The company is also concentrating on accelerating top-line growth and profitability through product innovation, strategic expansion, and disciplined cost management, with operational efficiency efforts leading to $1 million in savings in online shipping and marketing costs.

Record Second Quarter Performance

Achieved a record second quarter performance with a 13% increase in sales volume, 10% growth in net sales, and 20% growth in net income year-over-year.

Supply Chain Diversification

Reduced reliance on China to 10% and expanded sourcing across other Asian countries and Latin America to enhance supply chain resilience.

New Distribution Center

Opened a new distribution center near Chino headquarters, improving logistics capabilities and enabling faster delivery times.

Operational Efficiency Gains

Improved operating cost leverage, saving $1 million in online shipping and marketing by switching providers and shifting online sales focus to own e-commerce storefront.

Financial Health

Net income for the second quarter increased by 19.8% to $11.1 million, and adjusted EBITDA increased to $17.7 million from $15.7 million in the prior year quarter.

Karat Packaging Inc (KRT) Earnings, Revenues Date & History

The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced

Daily Earnings Calendar >

KRT Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change	Slides	Play Transcript
Nov 06, 2025	2025 (Q3)	0.36 / -	0.47	―	―	―
Aug 07, 2025	2025 (Q2)	0.56 / 0.57	0.49	16.33% (+0.08)	―
May 08, 2025	2025 (Q1)	0.28 / 0.33	0.4	-17.50% (-0.07)	―
Mar 13, 2025	2024 (Q4)	0.38 / 0.29	0.24	20.83% (+0.05)	―
Nov 07, 2024	2024 (Q3)	0.49 / 0.47	0.47	0.00% (0.00)	―
Aug 08, 2024	2024 (Q2)	0.58 / 0.49	0.53	-7.55% (-0.04)	―
May 09, 2024	2024 (Q1)	0.43 / 0.40	0.46	-13.04% (-0.06)	―
Mar 14, 2024	2023 (Q4)	0.39 / 0.24	0.3	-20.00% (-0.06)	―
Nov 09, 2023	2023 (Q3)	0.47 / 0.47	0.33	42.42% (+0.14)	―
Aug 09, 2023	2023 (Q2)	0.32 / 0.53	0.34	55.88% (+0.19)	―

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed

KRT Earnings-Related Price Changes

Report Date	Price 1 Day Before	Price 1 Day After	Percentage Change
Aug 07, 2025	$26.28	$24.62	-6.32%
May 08, 2025	$26.47	$29.30	+10.69%
Mar 13, 2025	$28.03	$27.44	-2.10%
Nov 07, 2024	$27.62	$27.87	+0.91%

Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.

FAQ

When does Karat Packaging Inc (KRT) report earnings?

Karat Packaging Inc (KRT) is schdueled to report earning on Nov 06, 2025, After Close (Confirmed).

What is Karat Packaging Inc (KRT) earnings time?

Karat Packaging Inc (KRT) earnings time is at Nov 06, 2025, After Close (Confirmed).

Where can I see when companies are reporting earnings?

You can see which companies are reporting today on our designated earnings calendar.

What companies are reporting earnings today?

You can see a list of the companies which are reporting today on TipRanks earnings calendar.

What is KRT EPS forecast?

KRT EPS forecast for the fiscal quarter 2025 (Q3) is 0.36.

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