Fuling Global Inc (NASDAQ: FORK) reported FY18 earnings from continuing operations of $0.62 per share, up from $0.52 in FY17.
The Allentown, Pa.-based Fuling, a specialized producer and distributor of plastic and paper serviceware, with precision manufacturing facilities in both the U.S., Mexico and China, today also announced revenues of $138.6 million, an 11.6%, improvement over the $124.2 million figure in the prior-year period.
Gross profit increased by 13.8% to $29.75 million for the year of 2018 from $26.13 million for the prior year. Gross margin increased by 0.5 percentage points to 21.5% for the year of 2018 from 21.0% for the prior year.
The increase in gross margin was primarily due to lower unit cost of raw materials and higher ASP, partially offset by increased labor cost.
Net income was $9.85 million, compared to $8.27 in the prior-year, a 19.1% improvement.
Said CEO Xinfu Hu, Chief Executive Officer of the Company, commented, "With sales volume and revenues growing by 8.8% and 11.6%, respectively, our 2018 results highlighted continued strength in our business.
"Profitability also improved significantly with net income from continuing operations increasing by 19.1%, thanks to favorable pricing environment (increase in blended ASP and decrease in unit cost of raw materials), stringent cost control that more than offset increase in labor cost and streamlined manufacturing process."
The increase in revenues was across all product categories. Revenues from cutlery sales, for example, increased by $4.46 million, or 7.2%, to $66.56 million for the year of 2018 from $62.10 million for the prior year.
Revenues from straws sales increased by $4.94 million, or 26.5%, to $23.57 million for the year of 2018 from $18.63 million for the prior year.
Share prices grew 14 cents, or 5.7%, to 2.62
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