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Karat Packaging Inc (KRT)
NASDAQ:KRT
Earnings Data
Report Date
May 08, 2025TBA Not Confirmed
Period Ending
2025 (Q1)Consensus EPS Forecast
0.28Last Year’s EPS
0.4Same Quarter Last Year
Moderate Buy
Based on 4 Analysts Ratings
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Earnings Call Summary
Earnings Call Date:Mar 13, 2025
|% Change Since: -5.87%
|Next Earnings Date:May 08, 2025
Earnings Call Sentiment|Positive
The earnings call highlighted significant growth in sales volume and margin expansion along with strategic geographical growth and eco-friendly product demand. However, challenges in pricing, decrease in online sales, and increased operating expenses were noted. The company remains optimistic about future growth, supported by a strong cash flow and strategic initiatives.Company Guidance
During the 2024 fourth quarter earnings call, Karat Packaging provided guidance for 2025, highlighting several key metrics. The company expects first-quarter net sales to increase by 6% to 8% year-over-year, with a gross margin target of 37% to 39%. For the full year, they anticipate revenue growth of 9% to 11%, maintaining a gross margin between 36% and 38%. Adjusted EBITDA margin is projected to reach the low to mid-double digits. In the fourth quarter of 2024, Karat reported net sales of $101.6 million, up 6.3% from the previous year, with a gross margin expansion of 350 basis points to 39.2%. The company's net income rose 40.3% to $5.9 million, while adjusted EBITDA increased from $8.6 million to $11.3 million. Karat also announced an increase in the quarterly cash dividend to $0.45 per share. Looking ahead, the company plans to enhance operational efficiencies, supported by a new 187,000 square foot distribution center, and will invest in automation to drive productivity.Strong Sales Volume and Gross Margin Growth
Sales volume grew 14% and net sales increased 6.3% over the prior year quarter. Gross margin expanded to 39.2% from 35.7% in the previous year.
Eco-Friendly Product Sales Increase
Sales of Eco-Friendly products increased by 11% year over year, representing 34.5% of total sales.
Geographical Expansion and New Distribution Center
Strong growth in the Midwest and plans for a new 187,000 square foot distribution center near their headquarters in Chino, California.
Increased Dividend and Positive Cash Flow
Increased quarterly cash dividend to $0.45 per share and generated $8.3 million in operating cash flow.
Improved Net Income and Adjusted EBITDA
Net income for the fourth quarter increased 40.3% to $5.9 million, and adjusted EBITDA rose to $11.3 million from $8.6 million year over year.
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KRT Earnings History
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
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KRT Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
| Mar 13, 2025 | $28.95 | $28.34 | -2.11% |
| Nov 07, 2024 | $28.52 | $28.79 | +0.95% |
| Aug 08, 2024 | $26.67 | $22.72 | -14.81% |
| May 09, 2024 | $27.25 | $25.15 | -7.71% |
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.
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FAQ
When does Karat Packaging Inc (KRT) report earnings?
Karat Packaging Inc (KRT) is schdueled to report earning on May 08, 2025, TBA Not Confirmed.
What is Karat Packaging Inc (KRT) earnings time?
Karat Packaging Inc (KRT) earnings time is at May 08, 2025, TBA Not 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 (Q1) is 0.28.
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