Brief: Bel Fuse Reports Q2 GAAP Earnings Per Share $0.23

Bel Fuse

01/08/2019 12:52

Aug 1 (Reuters) - Bel Fuse Inc  BELFA.O :
    * BEL REPORTS SECOND QUARTER 2019 RESULTS
    * Q2 SALES FELL 9.4 PERCENT TO $127.4 MILLION
    * Q2 NON-GAAP EARNINGS PER SHARE $0.03
    * Q2 GAAP EARNINGS PER SHARE $0.23
    * RESULTS FOR Q2 WERE AFFECTED BY OVER-INVENTORIED POSITION
OF
CUSTOMERS AND CHANNEL PARTNERS
    * BEL FUSE - UNCERTAINTIES RELATED TO TARIFFS, COMPOUNDED
WITH
MATERIAL SHORTAGES, LED TO ACCELERATION OF PURCHASES BY
CUSTOMERS & DISTRIBUTORS IN 2018
    * NOW EXPECT SALES TO REMAIN AT LOWER LEVELS FOR BALANCE OF
YEAR
AS CUSTOMERS CONTINUE TO WORK THROUGH THEIR INVENTORY ON HAND
    * IMPACT ON MARGINS RELATED TO MATERIAL COSTS IS EXPECTED TO
CONTINUE INTO SECOND HALF OF YEAR
    * HIGHER MATERIAL COSTS EXPERIENCED DURING MUCH OF 2018 AND
SHIFT
IN PRODUCT MIX RESULTED IN A LOWER QTRLY GROSS MARGIN THAN
ANTICIPATED
    * BEL FUSE - IDENTIFIED, STARTED TO IMPLEMENT MEASURES AT
FACILITIES IN ASIA THAT ARE EXPECTED TO RESULT IN ANNUALIZED
COST SAVINGS OF $1.4 MILLION FROM Q4 2019
    * INCREMENTAL COST REDUCTION MEASURES ARE EXPECTED TO FOLLOW
THROUGHOUT Q3 AND Q4 2019 AS REMAINING SITES ARE REVIEWED

Source text for Eikon:  ID:nGNX1brRj3 
Further company coverage:  BELFA.O 

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