Karat Packaging (NASDAQ:KRT) Announces Earnings Results, Misses Estimates By $0.14 EPS

Karat Packaging (NASDAQ:KRT) released its earnings results on Thursday. The company reported $0.29 earnings per share (EPS) for the quarter, missing the consensus estimate of $0.43 by ($0.14), Zacks reports. Karat Packaging had a net margin of 6.78% and a return on equity of 19.84%. The business had revenue of $101.65 million for the quarter, compared to analysts’ expectations of $102.27 million. Karat Packaging updated its Q1 2025 guidance to EPS and its FY 2025 guidance to EPS.

Karat Packaging Stock Performance

KRT stock traded down $1.06 on Friday, hitting $27.89. The company had a trading volume of 15,985 shares, compared to its average volume of 38,555. The stock has a market cap of $558.47 million, a price-to-earnings ratio of 19.94 and a beta of 1.08. The company has a current ratio of 3.12, a quick ratio of 1.82 and a debt-to-equity ratio of 0.29. The stock’s 50-day simple moving average is $30.23 and its 200 day simple moving average is $28.77. Karat Packaging has a 12-month low of $23.10 and a 12-month high of $33.89.

Karat Packaging Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Friday, February 28th. Stockholders of record on Monday, February 24th were issued a dividend of $0.45 per share. This represents a $1.80 annualized dividend and a dividend yield of 6.45%. This is a boost from Karat Packaging’s previous quarterly dividend of $0.40. The ex-dividend date was Monday, February 24th. Karat Packaging’s payout ratio is presently 128.57%.

Analysts Set New Price Targets

KRT has been the subject of several recent analyst reports. William Blair cut shares of Karat Packaging from an “outperform” rating to a “market perform” rating in a report on Thursday, January 2nd. Stifel Nicolaus boosted their price target on Karat Packaging from $32.00 to $36.00 and gave the stock a “buy” rating in a research note on Wednesday, December 11th.

About Karat Packaging

Karat Packaging Inc, together with its subsidiaries, engages in the manufacture and distribution of single-use disposable products in plastic, paper, biopolymer-based, and other compostable forms used in various restaurant and foodservice settings. It provides food and take-out containers, bags, tableware, cups, lids, cutlery, straws, specialty beverage ingredients, equipment, gloves, and other products under the Karat Earth brand.