UFP Technologies, a designer and manufacturer of custom solutions for medical devices and other engineered products, has reported impressive financial growth. The company's annual revenue has soared from approximately $198.4 million in 2019 to a staggering $400.1 million in 2023, representing a substantial 101% increase in just four years. In the first quarter of 2024 alone, the company has recorded a revenue of $105.0 million.
Furthermore, UFP Technologies has demonstrated strong operating income growth. The adjusted operating income has surged from $24.7 million in 2019 to $61.3 million in 2023, showcasing a remarkable 148% increase over the same period. In the first quarter of 2024, the company's adjusted operating income stands at $16.1 million, indicating continued robust performance.
The company's gross margin target of 28% to 31% has been consistently met, with the gross profit margin reaching 15.3% in the first quarter of 2024. Similarly, the operating margin target of 15% to 18% has been achieved, with the adjusted operating margin also at 15.3% in the first quarter of 2024.
UFP Technologies' growth strategy has been two-pronged, focusing on both organic growth and strategic acquisitions. The company aims to achieve 12-18% revenue growth over the next three to five years, driven by a combination of internal growth and acquisitions. With a proven track record of 14 completed acquisitions, UFP Technologies remains committed to pursuing higher-growth, higher-margin opportunities in the MedTech sector.
The company's leaders, including Chairman and CEO R. Jeffrey Bailly and CFO Ronald Lataille, have steered the organization towards impressive financial metrics and sustained growth. UFP Technologies' stock performance has also been remarkable, with substantial increases over the past 20 years.
Today the company's shares have moved 1.0% to a price of $253.06. For more information, read the company's full 8-K submission here.
