Bel Reports Third Quarter and First Nine Months Results
Bel Reports Third Quarter and First Nine Months Results
JERSEYThird Quarter Results
Net sales for the three months ended September 30, 2007 were $66,379,000. This compares to record net sales of $73,260,000 for the third quarter of 2006. "Bel's Magnetics and Modules products performed well during the period, and were the primary driver for the sequential gain in third quarter revenue," said President Daniel Bernstein.
Net earnings for the third quarter of 2007 were $5,914,000 compared to net earnings of $7,745,000 for the third quarter of 2006.
Net earnings per diluted Class A common share were $0.47 for this year's third quarter compared to $0.62 for the year-earlier. Net earnings per diluted Class B common share were $0.50 for this year's third quarter compared to $0.66 a year ago.
Bel's third quarter income tax provision was affected by the release of an accrual resulting from the expiration of certain statutes of limitations and the finalization of certain tax audits in Asia, offset by changes in estimates for prior years' taxes, upon finalization of 2006 tax returns.
"Labor costs have increased in the PRC due to new regulations and a tight labor market. We have responded by selling several non-manufacturing properties and by closing our
Nine Month Results
For the nine months ended September 30, 2007, net sales decreased 2.3% to $189,798,000 compared to $194,360,000 for the first nine months of 2006.
Net earnings for the first nine months of 2007 were $16,081,000. This compares to net earnings for the first nine months of 2006 of $20,506,000.
For the nine months ended September 30, 2007, net earnings per diluted Class A common share were $1.29 compared to $1.66 for the year-earlier period, and net earnings per diluted Class B common share were $1.37 compared to $1.75 last year.
Balance Sheet Highlights
At September 30, 2007, Bel reported cash, cash equivalents and marketable securities of approximately $106,220,000, working capital of approximately $167,762,000, a current ratio of 5.7-to-1, total long-term obligations of $17,218,000, and shareholders' equity of $235,682,000. At December 31, 2006, cash, cash equivalents and marketable securities were approximately $92,337,000, working capital was approximately $144,677,000, the current ratio was 4.5 to 1, total long-term obligations were $4,728,000, and shareholders' equity was $222,150,000. During the third quarter, Bel repurchased 114,100 Class A shares.
Conference Call
Bel has scheduled a conference call at 11:00 a.m.
About Bel
Bel (www.belfuse.com) and its subsidiaries are primarily engaged in the design, manufacture and sale of products used in networking, telecommunications, high speed data transmission, and consumer electronics. Products include magnetics (discrete components, power transformers and MagJack®s), modules (DC-DC converters, integrated analog front end modules and custom designs), circuit protection (miniature, micro and surface mount fuses) and interconnect devices (passive jacks, plugs and cable assemblies). Bel operates facilities around the world.
Forward-Looking Statements
Except for historical information contained in this news release, the matters discussed in this press release (including the Company's plan for a plant closing) are forward looking statements that involve risks and uncertainties. Among the factors that could cause actual results to differ materially from such statements are: the market concerns facing our customers, the continuing viability of sectors that rely on our products, the effect of business and economic conditions; capacity and supply constraints or difficulties; product development, commercializing or technological difficulties; the regulatory and trade environment; uncertainties associated with legal proceedings; the market's acceptance of the Company's new products and competitive responses to those new products and the risk factors detailed from time to time in the Company's
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Bel Fuse Inc.
tel 201.432.0463
fax 201.432.9542
Investor Contact:
Neil Berkman Associates
(310) 277-5162
Company Contact:
Daniel Bernstein
President