Karat Packaging Inc. Stock Price, News & Analysis

Karat Packaging Inc. (NASDAQ: KRT) has announced the approval of PricewaterhouseCoopers (PwC) as its new independent auditor for the year ending December 31, 2023. This decision was made by the Audit Committee of the Board of Directors and is not associated with any disagreements with the previous auditor, BDO USA LLP. Karat Packaging specializes in the distribution and manufacturing of disposable foodservice products for restaurants and other foodservice settings across the U.S. The company is also known for its eco-friendly product line, Karat Earth®, which focuses on sustainability.

Karat Packaging Inc. (Nasdaq: KRT) reported its financial results for Q4 and the full year 2022 on March 16, 2023. Q4 net sales rose to $92.7 million, a 1.5% increase, while gross profit reached $29.7 million, up 4.8%. However, net income fell to $4.5 million, a decline from $6.0 million in the prior year. The 2022 full-year revenue was $423 million, up 16.1%, with a gross margin of 31.2%. The company anticipates a high single-digit increase in full-year 2023 sales, despite expected lower sales in H1 2023 due to price reductions and inventory destocking. Karat is focusing on growth strategies, including expanding its eco-friendly product lines and improving inventory management.

Karat Packaging Inc. (KRT) will release its 2022 fourth quarter and full year financial results after market close on Thursday, March 16, 2023. The company will also host an investor conference call on the same day at 2:00 p.m. PT / 5:00 p.m. ET. Investors can join the call by dialing 877-418-4045 domestically or 412-317-6745 internationally. The call can also be accessed via a webcast on the company’s website, where an archive will be available for approximately one year. Karat specializes in manufacturing disposable foodservice products used by restaurants across the U.S.

Karat Packaging Inc. (KRT) reported a strong third quarter for 2022 with net sales of $110.0 million, a 7.1% increase year-over-year. Gross profit rose 14.7% to $34.2 million, leading to a gross margin expansion to 31.1%. Net income surged 51.1% to $6.2 million, with an adjusted EBITDA of $11.7 million. The company also showcased record operating cash flow of $20.2 million. Looking ahead, Q4 sales are projected between $95 million and $98 million. Despite increased sales, customer destocking impacted results.

Karat Packaging Inc. (Nasdaq: KRT) has declared a special dividend of $0.35 per share, set to be paid on or around November 30, 2022 to shareholders of record by November 21, 2022. Alan Yu, CEO, emphasized this decision as a reflection of the Board's confidence in the company's long-term prospects and its strong cash flow performance. The company continues to demonstrate solid growth and a robust financial position, allowing it to return excess capital to shareholders.

Karat Packaging Inc. (KRT) announced it will release its third-quarter financial results for 2022 after market close on November 10, 2022. The company specializes in eco-friendly, disposable foodservice products used by various restaurants across the U.S. A conference call will follow the earnings release at 2:00 p.m. PT/5:00 p.m. ET, allowing investors to discuss the results. Karat Packaging's offerings include a wide range of products, notably its sustainable Karat Earth® line. For more details, visit their investor website.