Bel Reports First Quarter 2021 Results
JERSEY CITY, N.J., May 03, 2021 (GLOBE NEWSWIRE) -- Bel Fuse Inc. (Nasdaq: BELFA and BELFB), a designer, manufacturer and provider of products that power, protect and connect electronic circuits, today announced preliminary financial results for the first quarter of 2021.
First Quarter 2021 Highlights
Daniel Bernstein, President and CEO, said, “Strength in orders throughout each of our product groups contributed to a 6% increase in sales compared to last year’s first quarter and a record backlog level of $234 million as of the end of the quarter. The sale of a property in Hong Kong contributed a $6.2 million gain, leading to improved net earnings and EPS versus last year’s first quarter.
“Continued improvement in Bel’s Power Solutions and Protection segment was led by an increase in CUI sales of $2.1 million (26%), a $1.6 million (61%) increase in fuse sales, and a $1.5 million (100%) increase in sales of product going into the eMobility end market. Bel also closed on its acquisition of EOS Power on March 31st, and we anticipate EOS to be accretive to our results beginning in the second quarter of 2021.
“Our Connectivity Solutions business is progressing as planned with the integration of its acquisition of rms Connector in January 2021. Rms was accretive to Bel’s results, contributing $2.1 million of sales and $411,000 of net earnings in the first quarter of 2021. The Connectivity group also saw a partial recovery in commercial aerospace sales during the first quarter, with sales into this end market increasing $1.2 million (57%) sequentially from the fourth quarter of 2020.
“Bel’s Magnetic Solutions group continued to have strong bookings in the first quarter, and we anticipate the increase in demand from recent quarters to translate into higher sales for this group during the second and third quarters of 2021.
“Looking ahead, our backlog of orders continues to grow, and reached $264 million by the end of April. While our scheduled shipments are indicative of stronger sales in the second and third quarters, raw material shortages and long lead times on some semiconductors and certain other raw materials may impact the ultimate timing of those shipments. We have been managing the situation to date and have extended our own lead times to customers in response, and anticipate material availability and extended lead times being a factor for the foreseeable future. Positive contributions to net earnings are expected from the recent acquisitions of rms and EOS, coupled with cost savings from the 2020 restructuring efforts, and we will continue to pursue opportunities to optimize our cost structure and mitigate the impacts of higher input costs throughout the year,” concluded Mr. Bernstein.
Non-GAAP financial measures, such as Non-GAAP net earnings, Non-GAAP EPS, EBITDA and Adjusted EBITDA, exclude the impact of acquisition-related costs, restructuring charges and gain on sale of property. Please refer to the financial information included with this press release for reconciliations of GAAP financial measures to Non-GAAP financial measures and our explanation of why we present Non-GAAP financial measures.
Non-GAAP Financial Measures
[Financial tables follow]
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