IT Tech Packaging, Inc. Provides Update on Single-Use Face Mask Products

Rhea-AI Summary

IT Tech Packaging, Inc. (NYSE MKT: ITP) has announced plans to apply for a license for its new single-use surgical masks in Hebei province, amidst increasing market demand. The license is expected to be secured by the end of January 2021. Currently, the company's production line is operating at full capacity, producing 100,000 masks daily with an estimated gross margin of 40%. This move comes in response to a surge in confirmed Covid-19 cases and a normalization of anti-Covid-19 efforts worldwide.

Positive

• Expected license for surgical masks to be obtained by end of January 2021.
• Production capacity at full throttle with 100,000 masks produced daily.
• Estimated gross margin of 40% on mask production.

Negative

• None.

BAODING, China, Jan. 12, 2021 /PRNewswire/ -- IT Tech Packaging, Inc. (NYSE MKT: ITP) ("IT Tech Packaging" or "the Company"), a leading manufacturer and distributor of diversified paper products in North China, today announced it is applying the license for its new single-use surgical masks from local food and drug administration in Hebei province amid strong market demands. The license is expected to be gained at the end of this month. At the meantime, production of its single-use face masks is now in full capacity as the number of confirmed Covid-19 cases surged again and anti-Covid-19 efforts become increasingly normalized globally. Launched in April, 2020, the single-use face mask production line produces 100,000 masks per day with an estimated gross margin of roughly 40%.

About IT Tech Packaging, Inc.

Founded in 1996, IT Tech Packaging, Inc. is a leading manufacturer and distributor of diversified paper products in North China. Using recycled paper as its primary raw material (with the exception of its tissue paper products), ITP produces and distributes three categories of paper products: corrugating medium paper, offset printing paper and tissue paper products. With production based in Baoding and Xingtai in North China's Hebei Province, ITP is located strategically close to the Beijing and Tianjin region, home to a growing base of industrial and manufacturing activities and one of the largest markets for paper products consumption in the country. ITP has been listed on the NYSE MKT since December 2009.

Safe Harbor Statements

This press release may contain forward-looking statements. These forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from those projected or anticipated, including risks outlined in the Company's public filings with the Securities and Exchange Commission, including the Company's latest annual report on Form 10-K. All information provided in this press release speaks as of the date hereof. Except as otherwise required by law, the Company undertakes no obligation to update or revise its forward-looking statements.

For more information, please contact:

At the Company
Email: ir@itpackaging.cn
Tel: +86 0312 8698215

Investor Relations:
Janice Wang
+86-138-1176-8559
EverGreen Consulting Inc.
Email: ir@changqingconsulting.com

View original content:http://www.prnewswire.com/news-releases/it-tech-packaging-inc-provides-update-on-single-use-face-mask-products-301206366.html

SOURCE IT Tech Packaging, Inc.

FAQ

What is IT Tech Packaging's recent announcement regarding surgical masks?

IT Tech Packaging announced it is applying for a license for its new single-use surgical masks in Hebei province, expected to be obtained by the end of January 2021.

How many masks is IT Tech Packaging producing daily?

IT Tech Packaging is producing 100,000 single-use masks daily.

What is the estimated gross margin for IT Tech Packaging's mask production?

The estimated gross margin for the mask production is approximately 40%.

Why is IT Tech Packaging increasing mask production?

The company is increasing mask production due to a surge in Covid-19 cases and the normalization of anti-Covid-19 efforts globally.