Company: UFPT
Filing Date: 2025-03-03
Form Type: 10-K
Source: 0001171843-25-001192
Chunk: 2

Company: UFP TECHNOLOGIES INC
Filing Date: 2025-03-03
Form: 10-K
Item: Item 8
Chunk 2
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 the acquisition date fair value of the customer contracts and relationships and intellectual property in the AJR Enterprises, LLC, Welch Fluorocarbon, Inc. and AQF Limited acquisitions is a critical audit matter are that the determination of these inputs required management to make significant estimates and assumptions. These estimates and assumptions required a high degree of auditor judgement and effort in the selection and application of audit procedures.

Our audit procedures related to the valuation of the intangible assets acquired in the AJR Enterprises LLC, Welch Fluorocarbon, Inc. and AQF Limited acquisitions included the following, among others:

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			We tested the design and operating effectiveness of controls relating to the determination of the acquisition date fair value of the intangible assets, including controls over management’s determination of forecasts and the WACC used in the valuation of each intangible asset.

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			We evaluated the valuation methodologies and WACC utilized by management with the assistance of our valuation professionals with specialized skills and knowledge.

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			We tested the forecasts used by management and evaluated management’s historical ability to estimate by comparing prior forecasts to actual results.

/s/ GRANT THORNTON LLP

We have served as the Company’s auditor since 2005.

Boston, Massachusetts

March 3, 2025

F-4

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

Board of Directors and Stockholders

UFP Technologies, Inc.

Opinion on internal control over financial reporting

We have audited the internal control over financial reporting of UFP Technologies, Inc. (a Delaware corporation) and subsidiaries (the “Company”) as of December 31, 2024, based on criteria established in the 2013 Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (“COSO”). In our opinion, the Company maintained, in all material respects, effective internal control over financial reporting as of December 31, 2024, based on criteria established in the 2013 Internal Control—Integrated Framework issued by COSO.

We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (“PCAOB”), the consolidated financial statements of the Company as of and for the year ended December 31, 2024, and our report dated March 3, 2025 expressed an unqualified opinion on those financial statements.

Basis for opinion

The Company’s management is responsible for maintaining effective internal control