Filing Flows › Karat Packaging (KRT) › Q2 2026 › vs Q2 2025
Karat Packaging (KRT) Q2 2026 vs Q2 2025 (year over year)
Karat Packaging's revenue rose $12.3M (+10%) from $124M in Q2 2025 to $136M in Q2 2026. The biggest changes: Chains and distributors +$8.8M (+9%); Online +$4.9M (+24%); Retail −$1.4M (-23%). Gross margin 56.6% against 39.6% (+17.0 pts).
Karat Packaging, Q2 2026: revenue $136M (+10% year over year), operating margin 27.6%, net earnings $29.3M, operating cash flow $33.2M. The chart draws each line against Q2 2025, the increases inside each band.
Margins
| Q2 2026 | Q2 2025 | Change | |
|---|---|---|---|
| Gross margin | 56.6% | 39.6% | +17.0 pts |
| Operating margin | 27.6% | 13.3% | +14.2 pts |
| Net margin | 21.5% | 8.8% | +12.7 pts |
| Free cash flow margin | 24.3% | 7.7% | +16.6 pts |
Every line
| Line | Q2 2026 | Q2 2025 | Change | % |
|---|---|---|---|---|
| Chains and distributors | $106M | $97.2M | $8.8M | +9% |
| Online | $25.8M | $20.9M | $4.9M | +24% |
| Retail | $4.5M | $5.9M | −$1.4M | -23% |
| Revenue | $136M | $124M | $12.3M | +10% |
| Gross profit | $77.2M | $49.1M | $28.1M | +57% |
| Cost of revenue | $59.1M | $74.9M | −$15.7M | -21% |
| Other income, net | $1.4M | −$2.0M | $3.5M | — |
| Operating profit | $37.6M | $16.6M | $21.1M | +127% |
| Operating expenses | $39.6M | $32.6M | $7.0M | +22% |
| Pre-tax earnings | $39.0M | $14.5M | $24.5M | +169% |
| Net earnings | $29.3M | $10.9M | $18.4M | +168% |
| Minority interests | $318K | $118K | $200K | +169% |
| Income tax | $9.4M | $3.5M | $5.9M | +171% |
| Depreciation & amortization | $2.7M | $2.7M | $49K | +2% |
| Share-based compensation | $596K | $445K | $151K | +34% |
| Working capital & other | $500K | −$4.3M | $4.8M | — |
| Operating cash flow | $33.2M | $9.8M | $23.4M | +240% |
| Free cash flow (OCF − capex) | $33.1M | $9.6M | $23.5M | +245% |
| Capital expenditures | $56K | $167K | −$111K | -66% |
Questions
How much did Karat Packaging's revenue grow year over year in Q2 2026?
Karat Packaging's revenue rose $12.3M (+10%) from $124M in Q2 2025 to $136M in Q2 2026.
What drove Karat Packaging's revenue change in Q2 2026?
Chains and distributors +$8.8M (+9%); Online +$4.9M (+24%); Retail −$1.4M (-23%).