8-K

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 _____________________

Form 8-K _____________________

Current Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event Reported): May 5, 2020

Securities registered pursuant to Section 12(b) of the Act:

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (17 CFR §230.405) or Rule 12b-2 of the Securities Exchange Act of 1934 (17 CFR §240.12b-2). Emerging growth company [   ]

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [   ]

Item 2.02. Results of Operations and Financial Condition.

On May 5, 2020, UFP Technologies, Inc. (the “Company”) issued a press release announcing its financial results for the first quarter ended March 31, 2020.  A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein in its entirety by reference.

Limitation on Incorporation by Reference.    The information furnished in this Item 2.02, including the press release attached hereto as Exhibit 99.1, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that section, nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.

Cautionary Note Regarding Forward-Looking Statements.     Except for historical information contained in the press release attached as an exhibit hereto, the press release contains forward-looking statements that involve certain risks and uncertainties that could cause actual results to differ materially from those expressed or implied by these statements.  Please refer to the cautionary note in the press release regarding these forward-looking statements.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

EdgarFiling

EXHIBIT 99.1

UFP Technologies Announces Q1 2020 Results

NEWBURYPORT, Mass., May 05, 2020 (GLOBE NEWSWIRE) -- UFP Technologies, Inc.  (Nasdaq: UFPT), an innovative designer and custom manufacturer of components, subassemblies, products, and packaging primarily for the medical market, today reported net income of $3.9 million or $0.52 per diluted common share outstanding for its first quarter ended March 31, 2020, compared to net income of $3.7 million or $0.50 per diluted common share outstanding for the same quarter in 2019.  Sales for the first quarter were $48.3 million compared to 2019 first quarter sales of $47.3 million.

"I am pleased with our results, our response to the COVID-19 crisis, and our positioning going forward," said R. Jeffrey Bailly, Chairman & CEO. "Q1 saw modest gains of 2% on our top line and 4% on our bottom line, as UFP responded to the unfolding pandemic. Medical sales grew an impressive 16%, but these results were largely offset by significant declines in our non-medical markets.”

"In the medical space, orders related to elective surgeries have slowed, while orders in infection prevention and patient surfaces, such as medical mattresses, have increased substantially,” Bailly said. “We have also begun producing medical face shields and associated components in four of our facilities. Non-medical markets such as automotive and consumer have slowed dramatically due to customers closing their non-essential plants. All UFP factories are deemed essential businesses and are up and running. Attendance has slipped somewhat due to COVID-19, but we have kept up with customer demand by utilizing overtime and shifting direct labor employees to our busiest departments. Steps we are taking in the factories to safeguard our employees include significantly enhanced cleaning, temperature monitoring, and social distancing.”

"It is difficult to predict the net impact of the COVID-19 crisis, but we anticipate Q2 and likely Q3 will be adversely affected," Bailly added. “Our supply chain, which is primarily U.S.-based, has been meeting our needs. However, to mitigate risk, we have increased our raw materials and cash reserves. In addition, we have sharpened our focus on potential acquisitions. As in the last major economic downturn, when we were able to complete four acquisitions in fifteen months, we have a solid balance sheet and are ready to respond quickly to strategic acquisition opportunities that we believe will strengthen UFP and increase our value to customers.”

Financial Highlights for Q1 2020:

• Sales grew 2.0% to $48.3 million.
• Sales to the medical market grew 16.3%.  Sales to the aerospace & defense and automotive markets declined 23.2% and 19.8%, respectively.  All other sales (consumer, electronics, and industrial) declined 20.2%.
• Gross profit as a percentage of sales increased to 26.6% compared to 26.4% in the first quarter of 2019.
• Selling, general and administrative expenses ("SG&A") as a percentage of sales was 16.1% compared to 15.3% in the first quarter of 2019.
• Operating income was $5.1 million compared to $5.3 million in the first quarter of 2019.
• Net income was $3.9 million compared to $3.7 million in the first quarter of 2019.

UFP Technologies is an innovative designer and custom manufacturer of components, subassemblies, products, and packaging primarily for the medical market.  Utilizing highly specialized foams, films, and plastics, the Company converts raw materials through laminating, molding, radio frequency welding and fabricating techniques. The Company is diversified by also providing highly engineered solutions to customers in the aerospace & defense, automotive, consumer, electronics, and industrial markets.

This news release contains statements relating to expected financial performance and/or future business prospects, events and plans that are forward-looking statements.  Such statements include, but are not limited to: statements regarding the anticipated effects on the Company of the COVID-19 pandemic, including with respect to the different markets in which the Company participates, demand for the Company’s products, the well-being and availability of the Company’s employees, the continuing operation of the Company’s locations, and the sufficiency of the Company’s supply chain, inventory and cash reserves; statements about the Company’s acquisition strategies and opportunities; statements regarding anticipated trends in the different markets in which the Company competes and expectations regarding customer demand; expectations regarding the Company’s liquidity and its business opportunities; statements about the Company’s growth potential and strategies for growth or anticipated revenues and the timing of such revenues; and any statements implying that the Company may be able to sustain or increase its sales, earnings and earnings per share or sales, earnings and earnings per share growth rates.  Investors are cautioned that such forward-looking statements involve risks and uncertainties that could adversely affect the Company’s business and prospects, and otherwise cause actual results to differ materially from those anticipated by such forward-looking statements, or otherwise, including without limitation: the severity and duration of the COVID-19 pandemic and its impact on the markets in which the Company participates, including its impact on the Company’s customers, suppliers and employees, as well as the U.S. and worldwide economies; the timing, scope and effect of further governmental, regulatory, fiscal, monetary and public health responses to the COVID-19 pandemic; risks relating to decreased, including substantially decreased, demand for our products; risks relating to the potential closure of any of our facilities or the unavailability of key personnel or other employees; risks that our inventory or cash reserves may be insufficient; risks relating to the identification of suitable acquisition candidates and the successful, efficient execution of acquisition transactions and integration of any acquisition candidates; risks and uncertainties associated with increasing sales, earnings and earnings per share, as well as other risks and uncertainties that are detailed in the documents filed by the Company with the SEC.  Accordingly, actual results may differ materially.  Readers are referred to the documents filed by the Company with the SEC, specifically the last reports on Forms 10-K and 10-Q.  The forward-looking statements contained herein speak only of the Company’s expectations as of the date of this press release.  The Company expressly disclaims any obligation or undertaking to release publicly any updates or revisions to any such statement to reflect any change in the Company’s expectations or any change in events, conditions, or circumstances on which any such statement is based.

Consolidated Condensed Statements of Income (in thousands, except per share data*)* (Unaudited)

Consolidated Condensed Balance Sheets (in thousands) (Unaudited)

Contact: Ron Lataille 978-234-0926