This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

MOD-PAC CORP. Grows Revenue 16% To $14.4 Million In The Third Quarter Of 2011

Stocks in this article: MPAC

MOD-PAC CORP. (NASDAQ: MPAC), a manufacturer of custom paper board packaging and provider of personalized print products, today reported its results for the three and nine months ended October 1, 2011.

In the third quarter of 2011, revenue increased by 16.0% to $14.4 million compared with revenue of $12.4 million in the third quarter of 2010.

Net income for the third quarter of 2011 was $0.6 million, or $0.18 per diluted share, compared with $1.0 million, or $0.28 per diluted share, in the third quarter of 2010. The change in net income was the result of both higher raw material costs that impacted the Company’s gross margin and a lower effective tax rate in the 2010 third quarter due to the utilization of available net operating loss carry-forward for which a valuation allowance was previously recorded.

Daniel G. Keane, President and CEO of MOD-PAC CORP., commented, “Our sales and marketing efforts are making solid strides in capturing market share. Customers are seeing the value in our focus, expertise, and flexibility. We see further opportunity in the custom folding carton market, where we have now recorded three straight quarterly sales records, and we believe we are well positioned for continued success going forward.”

Third-Quarter Sales Review: Custom Folding Carton Sales up 21.1%; Stock Packaging Sales Build on Improved Market Conditions

  • Sales of folding cartons were $11.2 million in the third quarter of 2011, up 21.1% from $9.3 million in the third quarter of 2010, mainly due to increased business from several large existing customers, business from two new customers, and increased waste sales due to improved market conditions, partially offset by decreased business with some existing customers.
  • Stock packaging sales were $2.3 million in the third quarter of 2011, up 2.7% from the third quarter of 2010, primarily due to improved market conditions.
  • Personalized print sales were $725,000 in the third quarter of 2011, down 4.2% from $757,000 in the third quarter of 2010, primarily due to continued weakness in this market.

David B. Lupp, Chief Operating Officer and Chief Financial Officer, noted, “We believe our consistent growth in folding cartons is because we have executed well on a very targeted sales and marketing plan to expand our penetration into the private-label industry where our flexibility with change outs and short runs are highly valued by our customers. The effort has increased our exposure, and therefore our opportunity, among the many prospects in this marketplace. We are also targeting other product manufacturers that have a wide variety of customers and products that would also benefit from our capabilities.”

1 of 6

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs