Financial Performance - Net sales for Q1 2025 were $152.2 million, an increase from $128.1 million in Q1 2024, with organic sales down 6.4% excluding $32.4 million from Enercon[8] - Gross profit margin improved to 38.6%, up from 37.5% in Q1 2024[8] - GAAP net earnings attributable to Bel shareholders were $17.9 million, compared to $15.9 million in Q1 2024[8] - Non-GAAP net earnings attributable to Bel shareholders were $16.8 million, slightly down from $17.0 million in Q1 2024[8] - Adjusted EBITDA was $30.9 million, representing 20.3% of sales, compared to $22.4 million or 17.5% of sales in Q1 2024[8] - Net sales for Q1 2025 increased by 18.9% to $152,238 thousand compared to $128,090 thousand in Q1 2024[19] - Gross profit margin improved to 38.6% in Q1 2025 from 37.5% in Q1 2024, with gross profit rising to $58,819 thousand[19] - Operating income increased by 40.2% to $25,023 thousand, representing 16.4% of net sales, compared to 13.9% in the prior year[19] - Net earnings attributable to Bel Fuse shareholders reached $17,874 thousand, up from $15,874 thousand, with a net earnings margin of 12.0%[19] - Adjusted EBITDA for Q1 2025 was $30,911 thousand, which is 20.3% of net sales, compared to $22,407 thousand or 17.5% in Q1 2024[29] - Total revenues for Q1 2025 were $23.785 million, compared to $20.352 million in Q1 2024, marking an increase of 12%[34] Market Outlook - Projected GAAP net sales for Q2 2025 are estimated to be between $145 million and $155 million, with a gross margin of 37% to 39%[5] - The company anticipates continued strength in defense, space, and AI end markets throughout the year[4] - The company anticipates continued growth in the upcoming quarters, driven by new product launches and market expansion strategies[35] Cost and Expenses - Research and development costs rose to $7,222 thousand, up from $5,215 thousand, reflecting a focus on innovation[19] - Restructuring charges for Q1 2025 amounted to $2.933 million, compared to $0.065 million in Q1 2024, showing a significant increase in restructuring costs[34] - Unrealized foreign currency exchange losses for Q1 2025 were $3.663 million, compared to losses of $0.899 million in Q1 2024, highlighting increased volatility in foreign exchange[34] Financial Position - Total current assets decreased slightly to $368,425 thousand from $373,530 thousand year-over-year[22] - Total liabilities decreased to $482,521 thousand from $508,627 thousand, indicating improved financial health[22] - Cash and cash equivalents at the end of Q1 2025 were $65,927 thousand, down from $71,320 thousand in Q1 2024[25] Leadership Changes - Farouq Tuweiq has been appointed as Bel's President and CEO, effective immediately after the Annual Meeting of Shareholders in May 2025[8] Tariff and Trade Considerations - Approximately 75% of global sales are not currently subject to recent U.S. tariffs, with about 10% of consolidated sales related to products manufactured in China[5] - The company is closely monitoring the evolving tariff landscape and assessing potential alternatives[5] Strategic Initiatives - Bel Fuse is focusing on integrating recent acquisitions to enhance operational efficiency and market reach[35] - The company has modified its Non-GAAP financial measures to exclude stock-based compensation, amortization of intangibles, and unrealized foreign currency exchange gains/losses, enhancing clarity in operational performance[37] - The company plans to utilize Non-GAAP measures for performance comparisons and incentive compensation determinations, providing additional insights for investors[40]

WEST ORANGE, N.J., April 24, 2025 (GLOBE NEWSWIRE) -- Bel Fuse Inc. (NASDAQ:BELFA) today announced preliminary financial results for the first quarter of 2025. First Quarter 2025 Highlights •Net sales of $152.2 million compared to $128.1 million in Q1-24. Excluding $32.4 million of contribution from Enercon, organic sales down 6.4% from Q1-24.•Gross profit margin of 38.6%, up from 37.5% in Q1-24•GAAP net earnings attributable to Bel shareholders of $17.9 million versus $15.9 million in Q1-24•Non-GAAP net ea ...

Core Viewpoint - Bel Fuse Inc. is set to release preliminary financial results for the first quarter on April 24, 2025, with a conference call scheduled for April 25, 2025 [1] Company Overview - Bel Fuse Inc. designs, manufactures, and markets a wide range of products that power, protect, and connect electronic circuits [2] - The company's products are utilized in various industries including defense, commercial aerospace, networking, telecommunications, computing, general industrial, high-speed data transmission, transportation, and eMobility [2] - Bel's product categories include Power Solutions and Protection, Connectivity Solutions, and Magnetic Solutions, with operations in facilities worldwide [2]

WEST ORANGE, N.J., March 07, 2025 (GLOBE NEWSWIRE) -- Bel Fuse Inc. (Nasdaq: BELFA and BELFB) (“Bel” or the “Company”) today announced the grand opening of its new facility in Manesar, Gurugram, India, a critical milestone following Bel’s acquisition of Enercon in November 2024. The original Enercon factory in India, which this replaces, was opened in 2018 and grew from 17 associates to over 200 associates today. The new facility will enable our Power Solutions and Protection segment to double its manufactu ...

Revenue Performance - The company's revenues decreased by $105.0 million, or 16.4%, in 2024 compared to 2023, with Power Solutions and Protection sales down by 21.8% and Magnetic Solutions sales down by 40.2%[160]. - Net sales for 2024 decreased to $534.792 million, down 16.4% from $639.813 million in 2023[257]. - Revenue from North America for 2024 was $362.2 million, down from $447.8 million in 2023, indicating a decrease of about 19.2%[328]. - Revenue from direct sales to customers was $357.8 million in 2024, down from $439.3 million in 2023, a decrease of approximately 18.5%[328]. - Total revenue for the year ended December 31, 2024, was $534.8 million, a decrease from $639.8 million in 2023, representing a decline of approximately 16.5%[328]. Sales Breakdown - Net sales for Power Solutions and Protection were $245.6 million in 2024, down from $314.1 million in 2023, while gross margin improved to 42.4% from 38.1%[163]. - Connectivity Solutions sales increased by $9.8 million, or 4.7%, in 2024, driven by a $3.6 million increase in commercial aerospace sales[165]. - Magnetic Solutions sales declined by $46.3 million in 2024, primarily due to reduced demand from networking customers[166]. - Power Solutions and Protection product sales increased by $25.7 million in 2023 compared to 2022, driven by a $42.7 million increase in front-end power products and a $6.9 million increase in board mount power products[167]. - eMobility end market sales rose by over $7.5 million (40%) and rail end market sales increased by $7.5 million (33%) in 2023 compared to 2022[167]. Financial Position - Total assets increased significantly to $949.789 million in 2024, up 66.1% from $571.631 million in 2023[255]. - Long-term debt rose sharply to $287.500 million in 2024, compared to $60.000 million in 2023, indicating a substantial increase in leverage[255]. - The company had $68.3 million in cash and cash equivalents and $1.0 million in held to maturity investments as of December 31, 2024[191]. - The company had $287.5 million outstanding under its revolving credit facility as of December 31, 2024, with no mandatory principal payments due in 2025[197]. - The company expects to meet future liquidity needs through existing cash, cash equivalents, and anticipated cash flows from operations[197]. Expenses and Costs - SG&A expenses increased to $110.6 million in 2024 from $99.1 million in 2023, driven by acquisition-related costs of $10.9 million[176]. - R&D expenses were $23.6 million in 2024, up from $22.5 million in 2023, primarily due to higher salaries and costs related to the Enercon acquisition[175]. - Interest expense rose to $4.1 million in 2024 from $2.9 million in 2023, mainly due to increased debt from the Enercon acquisition[180]. - The provision for income taxes was $12.6 million in 2024, up from $9.5 million in 2023, with an effective tax rate of 20.5% in 2024 compared to 11.4% in 2023[185]. - The company incurred $3.5 million in restructuring costs in 2024, with annual cost savings from the Glen Rock initiative estimated at $3.1 million[162]. Acquisitions and Investments - On November 14, 2024, the Company acquired an 80% stake in Enercon Technologies, Ltd for a total purchase price of $324 million, with recorded assets including noncontrolling interest, trade names, and customer relationships valued at $72.3 million, $21.9 million, and $130.3 million respectively[242]. - Enercon Technologies, Ltd. accounted for 15.9% of total assets and 3.9% of net sales in the consolidated financial statements as of December 31, 2024[251]. - The company incurred $12.9 million in acquisition-related costs associated with the Enercon transaction, primarily for investment banker fees and legal expenses[311]. - The total cash paid at closing for the Enercon acquisition was approximately $325.6 million, funded by $85.6 million in cash on hand and $240 million from incremental borrowings[309]. - Enercon contributed $20.8 million in revenue and approximately $1.0 million in net earnings to the company's consolidated financial results for the period from November 1, 2024, to December 31, 2024[318]. Shareholder Returns - The company declared dividends of $3.5 million in 2024, consistent with previous years[201]. - The company repurchased treasury stock amounting to $16,053 million in 2024, a significant increase compared to $105 million in 2023[267]. - Dividends paid to common shareholders decreased to $3,453 million in 2024 from $3,492 million in 2023, reflecting a reduction of approximately 1.1%[267]. - The company authorized a share repurchase program of up to $25 million, with $9.0 million of authorized repurchases not yet executed as of December 31, 2024[202]. Impairments and Valuations - The Company conducted its annual goodwill impairment test as of October 1, 2024, and no impairment was identified[222]. - The Company recorded reserves for excess or obsolete inventory of $14.5 million as of December 31, 2024, an increase from $13.7 million in 2023[213]. - The Company identified and recorded a $0.4 million impairment charge related to its CUI tradename during its annual impairment tests[223]. - The fair value of the Company's four reporting units exceeded their respective carrying values by a margin ranging from 44% to 500%[221]. - The estimated fair values exceed the carrying values for the reporting units as follows: Power Solutions and Protection (excluding CUI) at 500.5%, Connectivity Solutions at 156.0%, and CUI at 43.6%[339]. Tax and Regulatory Matters - The effective tax rate will fluctuate based on the geographic region of pretax profits, with Asia having the lowest tax rates among the company's operational regions[162]. - The effective tax rate includes the effect of tax contingency liabilities, which are analyzed quarterly and adjusted based on changes in facts and circumstances[294]. - The Company has established valuation allowances for deferred tax assets that are not likely to be realized, impacting the provision for income taxes[294]. Risk Management - The Company actively monitors commodity price risks, particularly for metals such as copper, zinc, tin, gold, and silver, and anticipates increased material costs while implementing strategies like price adjustments and productivity improvements[230]. - The Company employs various strategies to manage foreign exchange risks, including strategic factory locations and hedging contracts[229]. - The Company does not engage in speculative trading and maintains strong relationships with financial institutions to minimize exposure risks[229]. - The Company has adequate primary and secondary sources for each of its key materials to mitigate potential volatility in metal prices[230].

Financial Performance - Net sales for the full year 2024 were $534.8 million, down 19.7% from $639.8 million in 2023, excluding Enercon's contribution[3] - In Q4 2024, net sales were $149.9 million, an increase from $140.0 million in Q4 2023, but organic sales decreased by 7.8% when excluding Enercon's $20.8 million contribution[8] - Total sales for FY 2024 were $534,792 thousand, a decline of 16.4% from $639,813 thousand in FY 2023[28] - GAAP net sales for Q4 2024 were $149,859 thousand, an increase from $140,010 thousand in Q4 2023, while year-end GAAP net sales decreased to $534,792 thousand from $639,813 thousand[30] - Non-GAAP adjusted net sales for Q4 2024 were $149,859 thousand, compared to $139,585 thousand in Q4 2023, with year-end adjusted net sales at $534,735 thousand, up from $624,963 thousand[30] Profitability - Gross profit margin for Q4 2024 was 37.5%, up from 36.6% in Q4 2023, while the full year gross profit margin improved to 37.8% from 33.7% in 2023[8] - GAAP net loss attributable to Bel shareholders in Q4 2024 was $1.8 million, compared to a net earnings of $12.0 million in Q4 2023[8] - Non-GAAP net earnings attributable to Bel shareholders for the full year 2024 were $72.1 million, down from $89.6 million in 2023[8] - GAAP net earnings for Q4 2024 were $6,432 thousand, down from $12,036 thousand in Q4 2023, and year-end net earnings decreased to $49,192 thousand from $73,831 thousand[30] - Non-GAAP operating income for Q4 2024 was $24,629 thousand, slightly up from $23,901 thousand in Q4 2023, while year-end non-GAAP operating income decreased to $85,417 thousand from $103,512 thousand[30] Expenses and Costs - Research and development costs increased to $6,934 thousand in Q4 2024, up from $5,966 thousand in Q4 2023[20] - Interest expense for Q4 2024 was $2,815 thousand, significantly higher than $448 thousand in Q4 2023, indicating increased borrowing costs[30] - Restructuring charges for Q4 2024 amounted to $1,669 thousand, down from $3,808 thousand in Q4 2023, while acquisition-related costs were $8,592 thousand in Q4 2024[30] - Restructuring charges for the year ended December 31, 2024, amounted to $3,459 million, compared to $10,114 million in 2023, a reduction of 65.8%[35] - Acquisition-related costs for the year ended December 31, 2024, were $12,884 million, while there were no such costs reported for the previous year[35] Assets and Liabilities - Total assets increased significantly to $949,789 thousand in 2024 from $571,631 thousand in 2023[22] - Long-term debt rose to $287,500 thousand in 2024, compared to $60,000 thousand in 2023[22] - Cash flows from operating activities decreased to $77,654 thousand in 2024 from $108,349 thousand in 2023[24] Future Outlook - For Q1 2025, GAAP net sales are projected to be between $144 million and $154 million, with a gross margin expected to be between 36% and 38%[6] - The company anticipates a slow and steady rebound in demand from networking and distribution partners throughout 2025[6] - The company expects to continue focusing on market expansion and new product development in the upcoming fiscal year[35] Strategic Initiatives - Bel's strategic initiatives in 2024 included facility consolidations and a focus on global procurement to enhance operational efficiencies[5] - The acquisition of Enercon, completed in Q4 2024, is expected to enhance scale and diversity, making aerospace and defense Bel's largest end market[5] Non-GAAP Measures - The company modified its presentation of Non-GAAP financial measures in Q4 2024 to enhance investor insight into operational performance[32] - The use of Non-GAAP measures is intended to provide additional insight into operational performance and assist in trend analysis and budgeting[37] - In Q4 2024, the company revised its definitions of Adjusted EBITDA and Non-GAAP EPS to exclude stock-based compensation, amortization of intangibles, and unrealized foreign currency exchange gains/losses[39] - The company has included Non-GAAP financial measures such as Non-GAAP adjusted net sales and Non-GAAP EPS to aid in comparisons with other periods[37]

Leadership Transition - Bel Fuse Inc. announced that Daniel Bernstein will step down as President and CEO after 24 years in the role, effective immediately following the 2025 Annual Meeting of Shareholders on May 27, 2025 [1][4] - Farouq Tuweiq has been appointed as the new President and CEO, effective on the same date, and will also join the Board of Directors [2][5] Company Growth and Performance - Under Daniel Bernstein's leadership since 2001, Bel completed 19 acquisitions and grew sales from less than $100 million to over $600 million, achieving record levels of profitability [3][5] - The company has seen a significant transformation in its product offerings and market reach, establishing a strong foundation for future growth [3] Leadership Remarks - Bernstein expressed pride in his tenure and gratitude towards the team, emphasizing the importance of transitioning to the next generation of leadership [4][6] - Tuweiq acknowledged the legacy of the company and the mentorship received from Bernstein, expressing confidence in continuing the momentum of success [6][7] Board of Directors - The Board of Directors has approved the expansion of its membership to ten directors, with Tuweiq being appointed as a director effective on May 27, 2025 [2]

Core Viewpoint - Bel Fuse Inc. is set to release preliminary financial results for the fourth quarter on February 18, 2025, with a conference call scheduled for February 19, 2025, at 8:30 a.m. ET [1] Company Overview - Bel Fuse Inc. designs, manufactures, and markets a wide range of products that power, protect, and connect electronic circuits, serving industries such as networking, telecommunications, computing, military, aerospace, medical, transportation, and broadcasting [2] - The company's product groups include Power Solutions and Protection, Connectivity Solutions, and Magnetic Solutions, with operations in facilities around the world [2] Conference Call Details - The earnings conference call will be accessible via phone and online, with a replay available for 30 days after the call [1]

Company Overview - Bel Fuse Inc. is a leading global manufacturer of products that power, protect, and connect electronic circuits [2] - The company designs, manufactures, and markets a broad array of products primarily used in various industries including networking, telecommunications, computing, military, aerospace, medical, transportation, and broadcasting [2] - Bel's product groups include Power Solutions and Protection, Connectivity Solutions, and Magnetic Solutions [2] Upcoming Event - Bel Fuse Inc. will participate in the 27th Annual Needham Growth Conference on January 17, 2025 [1] - The CFO Farouq Tuweiq and VP of Financial Reporting & Investor Relations Lynn Hutkin will conduct meetings throughout the day, with a presentation scheduled at 10:15 AM ET [1] - The investor presentation deck and webcast will be accessible via the investor relations section of the company's website [1]

Group 1 - Bel Fuse Inc. has acquired an 80% stake in Enercon Technologies for $320 million, with a total enterprise value of $400 million, and plans to purchase the remaining 20% by early 2027 based on future EBITDA performance [1][2] - The acquisition was funded using approximately $80 million in cash on hand and $240 million through incremental borrowings under the Company's revolving credit facility [1] - Enercon is a leading supplier of power conversion and networking solutions, with LTM Q3 2024 sales of $115 million and a gross profit margin of 47% [2][3] Group 2 - The acquisition allows Bel to expand its product portfolio in the aerospace and defense markets, creating potential cross-selling opportunities [3] - Bel's manufacturing footprint will extend into India and the U.S., enhancing its capabilities with a skilled engineering team based in Israel [3] - Enercon will operate independently under the Bel Power and Solutions segment, maintaining its focus on military and aerospace markets [3]