Printer Friendly


 MINNEAPOLIS, Dec. 14 /PRNewswire/ -- Ultra Pac, Inc. (NASDAQ: UPAC) today reported net sales of $11,119,000 for the third quarter ended Oct. 31, 1993, an increase of 43.7 percent over net sales of $7,739,000 in last year's third quarter. Net earnings were $235,000, or 6 cents per share, in this year's third quarter, compared with net earnings of $339,000, or 9 cents per share, for the same period last year.
 For the nine months ended Oct. 31, 1993, net sales were $30,919,000 and net earnings were $582,000, or 15 cents per share. This compared with net sales of $20,392,000 and net earnings of $1,138,000, or 32 cents per share, in last year's first nine months.
 Increased net sales for both the third quarter and the nine-month period resulted primarily from greater demand for existing products and the continued expansion of Ultra Pac's product line, particularly its innovative packaging products for the fruit and produce industry.
 The decline in net earnings for the third quarter and nine months continued to reflect the need to purchase an increased percentage of extruded plastic sheet from outside vendors, as well as higher than anticipated expenses relating to the initial operation of the company's recycling facility, which has not yet produced significant output.
 Cal Krupa, president and CEO said, "Installation of our third extrusion line was completed in October, and plans are in place for a fourth extrusion line to be delivered by the second quarter of next year. These increases in internal extrusion capacity will help in our efforts to improve margins in the future.
 "We also recently opened a new distribution facility which will help to reduce our storage, handling and distribution expense."
 Ultra Pac, Inc., based in Rogers, Minn., designs, manufactures and markets plastic food packaging products made primarily from polyethylene teraphthalate (PETE). The company also designs and manufactures packaging products made from recycled PETE, that are marketed to distributors of both fruit and produce, as well as the floral industry.
 Statements of Earnings
 (Amounts in thousands, except share data)
 Three months ended Nine months ended
 10/31/93 10/31/92 10/31/93 10/31/92
 Net sales $ 11,119 $ 7,739 $ 30,919 $ 20,392
 Cost of products sold 8,002 5,430 22,250 13,712
 Gross profit 3,117 2,309 8,669 6,680
 Operating expenses:
 Marketing and
 sales expense 2,142 1,385 6,025 3,789
 Administrative expense 369 331 1,172 875
 -- 2,511 1,716 7,197 4,664
 Operating profit 606 593 1,472 2,016
 Interest expense 229 56 543 213
 Earnings before
 income taxes 377 537 929 1,802
 Income taxes 142 198 347 664
 Net earnings $235 $339 $582 $1,138
 Earnings per common and common
 equivalent shares $.06 $.09 $.15 $.32
 Weighted average common shares
 and common equivalent shares
 outstanding 3,767,518 3,800,478 3,767,532 3,522,755
 -0- 12/14/93
 /CONTACT: Doug Ewing of Swenson/Falker Associates, 612-371-0000, for Ultra Pac; or Brad Yopp of Ultra Pac, 612-428-8340/

CO: Ultra Pac, Inc. ST: Minnesota IN: SU: ERN

CP-DB -- MN009 -- 3632 12/14/93 11:55 EST
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Dec 14, 1993

Terms of use | Copyright © 2018 Farlex, Inc. | Feedback | For webmasters