UFP Technologies, Inc. reported net income of $17.2 million for its second quarter ended June 30, 2025, an increase from $13.6 million in the same quarter of 2024. Sales for the second quarter reached $151.2 million, up from $110.2 million in Q2 2024, representing a 37% increase. Adjusted earnings per diluted common share outstanding grew 27% to $2.50.
The company's MedTech business grew 46%, while its Advanced Components business saw a 20% decline. Organic growth for the quarter was 5%. Gross margins were 28.8%, impacted by approximately $1.2 million in incremental labor costs at the AJR facility due to workforce turnover following employment eligibility checks. Management expects Q3 to be the low point for these inefficiencies, with gradual improvement beginning in the fourth quarter.
During the second quarter, UFP Technologies completed the acquisitions of Universal Plastics & Engineering (UNIPEC) and Techno Plastics Industries (TPI), expanding its capabilities in tight-tolerance specialty film components and thermoplastic molding for the medical device market. The company also continued its expansion plans in Santiago and La Romana, Dominican Republic, to support anticipated growth in safe patient handling and robotic-assisted surgery markets.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.