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Mar 31, 2022
Karat Packaging Q1 2022 Earnings Report
Reported record quarterly revenue and net income more than doubled.
Key Takeaways
Karat Packaging Inc. reported a strong first quarter in 2022, with record quarterly net sales of $105.4 million, a 39.3% increase from the prior-year quarter, and net income more than doubled. Gross profit increased by 58.6% to $34.3 million, and gross margin improved to 32.5%.
Record quarterly net sales increased by 39.3% year-over-year to $105.4 million.
Gross profit increased by 58.6% year-over-year to $34.3 million.
Gross margin improved by 390 basis points to 32.5%.
Net income more than doubled compared to the prior-year quarter, reaching $7.9 million.
Karat Packaging
Karat Packaging
Karat Packaging Revenue by Segment
Forward Guidance
The company provided guidance for the second quarter and full year of 2022.
Positive Outlook
- Net sales for the second quarter are expected to be between $116 million and $118 million, up from $94.5 million in the second quarter of 2021.
- Net sales for the full year are projected to be between $445 million and $449 million, compared to $364.2 million in 2021.
- Gross margin goal for the full year is 31% to 32% on average, including the expected impact from freight and duty capitalization for the remainder of 2022.
Revenue & Expenses
Visualization of income flow from segment revenue to net income