Turning Point Brands (TPB) increased its net sales 7.6 percent to $104.2 million. The manufacturer, marketer and distributor of branded consumer products today announced financial results for its third quarter ended September 30, 2020.
“While we still expect short-term disruption related to the [premarket tobacco product application] PMTA process to impact our fourth quarter, the extensive portfolio of products submitted through the PMTA process has us increasingly optimistic about our outlook going forward as the market consolidates,” said Larry Wexler, TPB president and CEO.
Highlights from the report include gross profit increase of 12.8 percent to $48.3 million and a net income increase of $1.5 million to $7.8 million, despite costs associated with PMTA submissions.
“Streamlining and repositioning the business at the end of 2019 has paid dividends throughout 2020. The NewGen [next generation tobacco products] segment navigated admirably through significant market disruption caused by the PMTA application deadline,” said Wexler. “Overall, we are seeing ongoing benefits from re-shaping our business towards a more growth-oriented mindset and are able to raise our outlook once again for the remainder of the fiscal year.”