Apr 27, 2011. /Lesprom Network/. Orchids Paper Products Company reported 1Q 2011 financial results. Net sales in the 1Q ended March 31, 2011 were $22.7 million, an increase of $1.6 million, or 8%, compared to $21.0 million in the same period of 2010, as the company said in a press release received by Lesprom Network. Earnings before interest, taxes, depreciation and amortization (EBITDA) in the 1Q 2011 was $2.9 million, a decrease of $398,000, or 12%, compared to $3.3 million in the same period in the prior year. As a percent of net sales, EBITDA was 12.7% in the 2011 quarter compared with 15.6% in the 2010 quarter. Gross profit for the 1Q 2011 was $2.7 million, a decrease of $1.2 million, or 30%, when compared with a gross profit of $3.9 million in the prior year quarter. Gross profit as a percent of net sales was 11.9% in the 1Q 2011 compared to 18.4% for the same period in 2010. As a percent of net sales, gross profit decreased primarily due to higher depreciation expense, higher waste paper prices, higher per unit converting production costs, and a higher percentage of parent roll sales, being partially offset by lower warehousing costs. Robert Snyder, President and CEO, stated, "The results of the 1Q 2011 were consistent with our overall business expectations of relatively flat converted product sales and a strengthened parent roll market. Our previously announced additional converting product business is on track. Additionally, we are excited about the future converted product business opportunities that continue to present themselves in the market." Mr. Snyder added, "Our product development efforts continue to yield positive results that improve the quality attributes of our product offerings. We expect these efforts and improved offerings will enhance our ability to penetrate new higher quality, mid-tier business." Orchids Paper Products Company is an integrated manufacturer of tissue paper products serving the private label consumer market. The Company produces a full line of tissue products, including paper towels, bathroom tissue and paper napkins.