Bel Reports First Quarter Results

April 30, 2007
Bel Reports First Quarter ResultsFOR RELEASE: IMMEDIATELY
April 30, 2007

JERSEY CITY, New Jersey, April 30, 2007 -- Bel Fuse Inc. (NASDAQ:BELFA & NASDAQ:BELFB) today announced financial results for the first quarter of 2007.



 

For the three months ended March 31, 2007, net sales rose 13% to a first quarter record $61,807,000 from $54,626,000 for the first quarter of 2006, driven primarily by increased sales  in the modules product group, led by sales of DC‑DC converters and value added products.

 

"Orders rebounded in this year's first quarter following the softness we reported in many product categories in the fourth quarter of 2006. Orders have continued at a healthy pace in the current quarter," said Daniel Bernstein, president.

 

Gross margin decreased to 22.5% of net sales for this year's first quarter from 27% a year earlier, reflecting a lower margin product mix and higher materials costs versus the prior year.

 

Pre-tax earnings increased 10% to $5,144,000 for the first quarter of 2007 compared to $4,695,000 for the first quarter of 2006.

 



Net earnings for the first quarter of 2007 increased to $4,009,000, compared to net earnings of $3,997,000, in the same quarter last year.

 

For the three months ended March 31, 2007, net earnings per diluted Class A common share were $0.32 compared to $0.32 for the year-earlier quarter, and net earnings per diluted Class B common share were $0.34 compared to $0.34.

 

At March 31, 2007, Bel reported cash, cash equivalents and marketable securities of approximately $103,323,000, working capital of approximately $157,936,000, a current ratio of 5.5 to 1, total long-term obligations of $10,109,000, and shareholders' equity of $231,211,000.  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, total long-term obligations were $4,728,000, and shareholders' equity was $222,150,000.

 

Conference Call

Bel has scheduled a conference call at 11:00 a.m. EDT today.  A simultaneous webcast of the conference call may be accessed from the Investor Info link at www.BelFuse.com. A replay will be available after 1:00 p.m. EDT, for a period of 20 days, at this same Internet address.  For a telephone replay, dial (800) 633‑8284, reservation #21336227 after 1:00 p.m. EDT.



 

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 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 SEC reports. In light of the risks and uncertainties, there can be no assurance that any forward-looking statement will in fact prove to be correct. We undertake no obligation to update or revise any forward-looking statements.



 

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Bel Fuse Inc.

206 Van Vorst Street

Jersey City, NJ 07302



www.belfuse.com

tel 201.432.0463

fax 201.432.9542

 

Investor Contact:

Neil Berkman Associates

(310) 277-5162

info@berkmanassociates.com

 

Company Contact:

Daniel Bernstein

President

ir@BelFuse.com