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ipg intertape polymer group® NEWS RELEASE FOR IMMEDIATE DISTRIBUTION Intertape Polymer Group Reports 2021 Third Quarter Results Quarterly revenue increased 23 % to $ 395.6 million Quarterly IPG Net Earnings decreased 5 % to $ 25.3 million Quarterly adjusted net earnings¹ decreased 5 % to $ 30.0 million Quarterly adjusted EBITDA ( ¹ ) decreased 2 % to $ 63.0 million MONTREAL , QUEBEC and SARASOTA , FLORIDA - November 12 , 2021 - Intertape Polymer Group Inc. ( TSX : ITP ) ( " IPG " or the " Company " ) today released results for its third quarter ended September 30 , 2021. All amounts in this press release are denominated in US dollars ( " USD " ) unless otherwise indicated and all percentages are calculated on unrounded numbers . For more information , refer to the Company's management's discussion and analysis ( " MD & A " ) and unaudited interim condensed consolidated financial statements and notes thereto as of and for the three and nine months ended September 30 , 2021 . " We continued to experience strong demand in the third quarter and now into the first half of the fourth quarter with our open order position continuing to build . Our organic growth in the quarter is on top of the record performance we experienced in the back half of 2020 and the price increases we have implemented , " said Greg Yull , President and CEO of IPG . " The team continues to do a great job of covering the spread between selling price and the cost of raw materials and freight . The $ 54.3 million price increase in the quarter resulted from our successful strategy to protect the dollar contribution spread . however the mathematical impact of that higher revenue on Adjusted EBITDA margin was more than 250 basis points . We intend to continue to manage the business to effectively cover the spread . The global supply chain constraints also impacted the business in the quarter which resulted in lost revenue opportunity , although the team's execution continues to deliver record performance despite the operating environment . The business is structurally different today with the changes and improvements we have made during the course of the past five years . We are in a great position with the team , the experience , and the strategy to meet demand with our world class , low cost manufacturing assets . " Third Quarter 2021 Highlights ( as compared to third quarter 2020 ) : Revenue increased 22.5 % to $ 395.6 million primarily due to the impact of higher selling prices in tape , film , woven , and protective packaging products driven by increases in the cost of many raw materials and freight . Gross margin decreased to 22.0 % from 26.0 % primarily due to the impact of maintaining dollar spread on higher average selling prices and increased plant operating costs , partially offset by a favourable product volume / mix . Net earnings attributable to the Company shareholders ( " IPG Net Earnings " ) decreased $ 1.4 million to $ 25.3 million ( $ 0.43 basic and $ 0.42 diluted earnings per share ) primarily due to an increase in selling , general and administrative expenses ( " SG & A " ) resulting from an increase in employee- and technology - related costs mainly due to the growth of the business in 2021 and the non - recurrence of cost saving measures implemented in response to COVID - 19 related uncertainty in 2020. This unfavourable impact was partially offset by an increase in gross profit . Adjusted net earnings decreased $ 1.4 million to $ 30.0 million ( $ 0.51 basic and $ 0.50 diluted adjusted earnings per share ) ( ¹ ) primarily due to an increase in SG & A , partially offset by an increase in gross profit . Adjusted EBITDA decreased 2.3 % to $ 63.0 million from $ 64.5 million primarily due to an increase in SG & A , partially offset by an increase in gross profit . Adjusted EBITDA in the third quarter was negatively impacted by supply chain , logistics and labour constraints which resulted in delays in shipping out orders that were originally scheduled to go out in that period . Adjusted EBITDA margin ( ¹ ) decreased to 15.9 % from 20.0 % primarily due to the impact of maintaining dollar spread on higher average selling prices and an increase in SG & A . As expected , the mathematical impact of higher selling 1