Hawkins, Inc. Expands Pharmaceutical Ingredient Capabilities

Rhea-AI Summary

Hawkins, Inc. (HWKN) has announced a $5 million capital investment to enhance its Minneapolis facility, aimed at expanding its pharmaceutical ingredient business. The investment will double the facility's pharmaceutical capacity in a controlled environment, facilitating larger production campaigns to meet industry demand. President Patrick Hawkins emphasized that this move aligns with the company's growth strategy targeting higher-margin markets. Recent trends in on-shoring and increasing demand are expected to generate strong returns from this investment.

Positive

• Completed a $5 million capital investment to expand pharmaceutical capacity.
• Investment doubles facility capacity in a controlled environment.
• Aligns with long-term growth strategy focused on higher-margin markets.
• Recent on-shoring trends and increased demand are expected to drive revenue growth.

Negative

• None.

Roseville, MN, June 22, 2021 (GLOBE NEWSWIRE) -- Hawkins, Inc. (Nasdaq: HWKN), a leading specialty chemical company, today announced that it has completed a capital investment in its Minneapolis, MN facility to drive further growth in its pharmaceutical ingredient business. The total overall investment of approximately $5 million included automation capabilities and additional storage for raw materials and finished goods. The addition more than doubles the facility’s pharmaceutical capacity in a controlled environment to support the industry’s estimated demands and allows for larger quantity production campaigns.

Patrick Hawkins, President and CEO, stated, “This expansion is consistent with our long-term growth strategy to make targeted investments in higher margin, faster growing markets. We believe these investments will help grow revenue in our pharmaceutical end markets in future years. In addition to the capital investment projects, over the last three years we have added to our pharmaceutical ingredient sales force to support this growing end market. We believe we will generate strong returns on these investments, especially given recent on-shoring trends, increased demands for these products, and overall growth in this industry.”

About Hawkins, Inc.
Hawkins, Inc. was founded in 1938 and is a leading specialty chemical company that distributes, blends and manufactures chemicals and other specialty ingredients for its Industrial, Water Treatment, and Health & Nutrition customers. Headquartered in Roseville, Minnesota, and with 46 facilities in 22 states, the Company creates value for its customers through superb customer service and support, quality products and personalized applications. Hawkins, Inc. generated $597 million of revenue in fiscal 2021 and has approximately 750 employees. For more information, including registering to receive email alerts, please visit www.hawkinsinc.com/investors.

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