UFP Technologies Announces Strong Q3 Results

Newburyport, Mass., November 3, 2026 – UFP Technologies, Inc. (Nasdaq: UFPT), a trusted contract development and manufacturing organization specializing in comprehensive solutions for medical devices, sterile packaging and other highly engineered custom products, today reported net income of $20.6 million for its third quarter ended September 30, 2026, 25.8% higher than net income of $16.4 million for the third quarter of 2025. Net sales for the quarter ended September 30, 2026 were $172.4 million, 11.6% higher than 2025 third quarter sales of $154.6 million. Generally accepted accounting principles (“GAAP”) and adjusted earnings per diluted common share outstanding (“EPS”) for the quarter ended September 30, 2026 were $2.64 and $2.88, respectively. Net income for the nine-month period ended September 30, 2026 was $59.0 million, 16.2% higher than net income of $50.7 million for the same period in 2025. Net sales for the nine-month period ended September 30, 2026 were $500.6 million, compared to sales of $453.9 million in the same period of 2025. GAAP and adjusted EPS for the nine-month period ended September 30, 2026 were $7.56 and $8.28, respectively.

Throughout this news release, reference is made to non-GAAP measures including organic sales growth; adjusted selling, general and administrative expenses (“SG&A”); adjusted operating income; adjusted net income and EPS; and EBITDA and adjusted EBITDA. Please see “Non-GAAP Financial Information” at the end of this news release.

“Our third quarter and year-to-date results reflect continued solid execution across the UFP platform and progress toward our long-term growth strategy,” said Mitch Rock, President and Chief Executive Officer. “In the third quarter, sales grew 11.6%, including 11.1% organic growth, gross margins increased to 29.4%, and adjusted operating income grew 14.5%. MedTech sales grew 12.5%,  reflecting broad-based demand across our portfolio.”

“Year-to-date sales increased 10.3% to $500.6 million. All MedTech sales grew 11.7% and our top five MedTech customers collectively grew 11.7%, reinforcing the balance, diversity, and durability of our portfolio of operating businesses.”

“Operationally, we are seeing meaningful improvements across our businesses, including scaling new programs in the Dominican Republic and margin improvements in our legacy UFP operations. We are also seeing strong results from investments we have made to broaden our capabilities. Our 2025 investment in TPI has exceeded our expectations and provides an initial position in injection molding, a technology where we see significant opportunity to expand across UFP. We have also made significant year-over-year progress at AJR in both the U.S. and the Dominican Republic. However, scheduled program transfers to the Dominican Republic and margin improvement remain behind plan.”

“Looking ahead to 2027, we are optimistic about the strength and positioning of UFP. We have invested in additional capacity at DAS Medical to support double-digit growth and have continued to build and invest in the team. We also continue to see attractive acquisition opportunities and are making progress on several of them.”

“In parallel, we are working to expand our credit facility, increasing our capacity to invest in high-quality businesses that meet our investment criteria. With a strong balance sheet and an expanded team, we have the capacity to effectively onboard larger businesses and create long-term value.”

Financial Highlights:

• Sales for the third quarter increased 6% to $172.4 million, from $154.6 million in the same period of 2025. Year-to-date sales through September increased 10.3% to $500.6 million, from $453.9 million in the same period of 2025. Organic sales growth for the three- and nine-month periods ended September 30, 2026, was 11.1% and 8.3%, respectively.
• Gross profit as a percentage of sales (“Gross Margin”) increased to 4% for the third quarter of 2026, from 27.7% in the same quarter of 2025. Gross Margin for the nine-month period ended September 30, 2026, increased to 29.2% from 28.3% in the same period of 2025.
• SG&A increased 4% to $23.2 million for the third quarter of 2026 compared to $19.1 million in the same quarter of 2025. As a percentage of sales, SG&A increased to 13.4% in the third quarter of 2026, from 12.3% in the same period of 2025. For the nine-month period ended September 30, 2026, SG&A increased 18.5% to $66.9 million from $56.5 million in the same period of 2025. As a percentage of sales, SG&A in the nine-month period ended September 30, 2026, increased to 13.4% from 12.4% in the same period of 2025. As a percentage of sales, adjusted SG&A increased to 12.0% and 11.9% for the three- and nine-month periods ended September 30, 2026, respectively, from 10.7% and 10.8%, respectively, in the same periods of 2025.
• Operating income increased 18.1% to $27.6 million for the third quarter of 2026, from $23.4 million in the same quarter of 2025. Adjusted operating income for the third quarter of 2026 increased 14.5% to $30.1 million from $26.3 million in the same period of 2025. For the nine-month period ended September 30, 2026, operating income increased 6% to $79.1 million from $70.8 million in the same period of 2025. Adjusted operating income for the nine-month period ended September 30, 2026, increased 9.0% to $86.6 million from $79.4 million in the same period of 2025.
• Net income was $20.6 million in the third quarter of 2026, compared to $16.4 million in the same period of 2025. Adjusted net income increased 1% to $22.5 million in the third quarter of 2026, from $18.6 million in the same period of 2025. GAAP and adjusted diluted EPS for the third quarter of 2026 were $2.64 and $2.88, respectively, as compared to $2.11 and $2.39, respectively, for the same period in 2025. For the nine-month period ended September 30, 2026, net income increased to $59.0 million, from $50.7 million in the same period of 2025. Adjusted net income increased 13.0% to $64.5 million for the nine-month period ended September 30, 2026, from $57.1 million in the same period of 2025.
• Adjusted EBITDA for the third quarter of 2026 increased 3% to $35.4 million from $30.7 million in the third quarter of 2025. Adjusted EBITDA for the nine-month period ended September 30, 2026, increased 10.7% to $102.8 million, from $92.8 million in the same period of 2025.

About UFP Technologies, Inc.
UFP Technologies is a trusted contract development and manufacturing organization specializing in comprehensive solutions for medical devices, sterile packaging and other highly engineered custom products. The company’s single-use and single-patient devices and components are used across a wide range of medical products in segments including robotic assisted surgery, patient beds and handling, infection control, cardiovascular, orthopedics and spine and wound care. For more information, visit ufpt.com.