Earnings before interest, taxes, depreciation and amortization (EBITDA) in the 4Q 2013 was $6.7 million, an increase of $1.3 million, or 24%, compared to $5.4 million in the same period in the prior year. As a percent of net sales, EBITDA was 21.9% in the 2013 quarter compared with 22.3% in the 2012 quarter.
Gross profit for the 4Q 2013 was $7.2 million, an increase of $1.8 million, or 33%, when compared with a gross profit of $5.4 million in the prior year quarter.
Jeff Schoen, President and CEO, stated, "In the 4Q 2013, we delivered another strong quarter and established new quarterly records for total net sales and converted product net sales. Excluding certain non-recurring expenses, we established another record EBITDA performance during the quarter. The strong sales performance coupled with good cost controls helped drive our record profits. Our converted product business momentum has continued to build with shipments achieving a record level during the 4Q."
Mr. Schoen added, "We are excited about the future. A strong base of business has been established for the coming year. Our quality products and customer-focused approach continue to provide new opportunities for 2014 and beyond. Additionally, the $30.4 million of capital projects we announced in November of 2013 are underway and will improve our manufacturing flexibility, capacity, and cost structure. These projects will increase our ability to produce higher quality grades of value and premium tier products supporting our vision of being recognized as a 100% retailer-focused, national supplier of high quality consumer tissue products in the value, premium, and ultra-premium tier product categories."
Net sales in the twelve-month period ended December 31, 2013 were $116.4 million, an increase of $15.6 million, or 15%, compared to $100.8 million in the same period of 2012.
Earnings before interest, taxes, depreciation and amortization (EBITDA) in the twelve-month period ended December 31, 2013 was $26.2 million, an increase of $4.9 million, or 23%, compared to $21.3 million in the same period in the prior year. As a percent of net sales, EBITDA was 22.5% in the 2013 period compared with 21.2% in 2012.
Orchids Paper Products Company is an integrated manufacturer of tissue paper products serving the at home private label consumer market.