Company: UFPT
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001171843-25-003049
Chunk: 81

Company: UFP TECHNOLOGIES INC
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 81
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			Equity Method Investment

			6,969

			Goodwill

			22,925

			Total assets acquired

			57,554

			Accounts payable

			(1,890
			)

			Accrued expenses

			(535
			)

			Deferred taxes

			(2,322
			)

			Lease liabilities

			(1,723
			)

			Total liabilities assumed

			(6,470
			)

			Total assets acquired, net of liabilities assumed

			51,084

			Less: cash acquired

			(3,381
			)

			Purchase price, net of cash acquired

			$
			47,703

Acquisition costs associated with the transaction were approximately $1.5 million charged to expense during the twelve months ended December 31, 2024. These costs were primarily for legal, due diligence, and valuation services and are reflected on the face of the consolidated statement of comprehensive income.

None of the goodwill related to the AQF acquisition is expected to be deductible for tax purposes. Goodwill is attributable to the workforce of AQF and the significant synergies expected to arise after the acquisition.

Pro-forma statements

The following table contains an unaudited pro forma consolidated statement of comprehensive income for the three-month period ended March 31, 2024, as if the collective acquisitions of Marble Medical, AJR Enterprises, Welch Fluorocarbon and AQF had occurred at the beginning of the period (in thousands):

			Three-month period ended

			March 31, 2024

			(Unaudited)

			Sales

			$
			135,161

			Operating Income

			$
			19,304

			Net Income

			$
			13,322

			Earnings per share:

			Basic

			$
			1.74

			Diluted

			$
			1.72

11

The above unaudited pro forma information is presented for illustrative purposes only and may not be indicative of the results of operations that would have occurred had all 2024 acquisitions occurred as presented. In addition, future results may vary significantly from the results reflected in such pro forma information. Pro-forma adjustments include depreciation adjustments on fixed asset step up/down; inventory step-up; amortization of intangibles