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Bel Fuse (BELFA) - 2024 Q1 - Quarterly Results
BELFABel Fuse (BELFA)2024-04-25 20:38

Financial Performance - Net earnings for Q1 2024 increased to 15,874,000from15,874,000 from 14,572,000 in Q1 2023, representing an 8.9% increase[1] - GAAP net sales for Q1 2024 were 128,090,000,down25.7128,090,000, down 25.7% from 172,344,000 in Q1 2023[4] - Net sales for Q1 2024 were 128.1million,downfrom128.1 million, down from 172.3 million in Q1 2023[20] - Adjusted EBITDA for Q1 2024 was 24,535,000,comparedto24,535,000, compared to 28,073,000 in Q1 2023, reflecting a decrease of 12.1%[6] - Adjusted EBITDA was 24.5million,representing19.224.5 million, representing 19.2% of sales, compared to 28.1 million or 16.3% of sales in Q1 2023[20] - Gross profit margin improved to 37.5%, up from 31.1% in Q1 2023[20] Segment Performance - The Power Solutions and Protection segment saw a 27.6% decline in sales, dropping to 60,247,000from60,247,000 from 83,181,000[4] - Connectivity Solutions segment sales increased slightly by 1.7% to 54,285,000from54,285,000 from 53,396,000[4] - Magnetic Solutions segment experienced a significant decline of 62.1%, with sales falling to 13,558,000from13,558,000 from 35,767,000[4] - The Connectivity segment showed strong sales in commercial air, defense, and the emerging space market[20] - The Power Solutions and Protection segments contributed significantly to margin expansion compared to Q1 2023[20] Cash Flow and Investments - Total cash provided by operating activities decreased significantly to 6,192,000from6,192,000 from 16,835,000, a decline of 63.2%[1] - Cash used in investing activities totaled 15,623,000,comparedto15,623,000, compared to 13,711,000 in the previous year, indicating an increase in investment outflows[1] - The effect of exchange rate changes resulted in a cash decrease of 1,500,000,contrastingwithagainof1,500,000, contrasting with a gain of 279,000 in the prior year[1] - The company paid 837,000individendstocommonstockholders,aslightincreasefrom837,000 in dividends to common stockholders, a slight increase from 829,000 in the previous year[1] Balance Sheet Highlights - Total current assets decreased from 381,478thousandto381,478 thousand to 364,339 thousand, a decline of approximately 4%[32] - Cash and cash equivalents decreased from 89,371thousandto89,371 thousand to 71,320 thousand, a decline of approximately 20%[32] - Total liabilities decreased from 231,073thousandto231,073 thousand to 208,680 thousand, a decline of approximately 10%[32] - Total stockholders' equity increased from 340,558thousandto340,558 thousand to 346,657 thousand, an increase of approximately 2%[32] - Total assets decreased from 571,631thousandto571,631 thousand to 555,337 thousand, a decline of approximately 3%[32] - Accounts payable decreased from 40,441thousandto40,441 thousand to 32,818 thousand, a decline of approximately 19%[32] - Other current liabilities decreased from 63,818thousandto63,818 thousand to 47,953 thousand, a decline of approximately 25%[32] - Operating lease liability, long-term increased from 14,212thousandto14,212 thousand to 15,727 thousand, an increase of approximately 11%[32] - Goodwill and other intangible assets, net decreased from 76,033thousandto76,033 thousand to 73,215 thousand, a decline of approximately 4%[32] - Held to maturity U.S. Treasury securities increased from 37,548thousandto37,548 thousand to 49,900 thousand, an increase of approximately 33%[32] Future Outlook - Q2 2024 net sales are expected to range between 125millionand125 million and 135 million, with gross margins projected at 34-36%[22] - The company is monitoring inventory destocking and anticipates a rebound in demand by mid-year[22] - Gross margin performance benefited from a favorable product mix and cost savings from facility consolidation efforts[21]