INDIANAPOLIS, April 26, 2011 (GLOBE NEWSWIRE) -- Bell Industries, Inc. (Pink Sheets:BLLI) today reported financial results for the year ended December 31, 2010.
Revenues from continuing operations for the 2010 year were $112.2 million, up 11.5% from $100.6 million a year ago, with a $4.0 million increase in revenues related to the company's Recreation Products Group segment and a $7.6 million increase in revenues related to the company's Bell Techlogix business. The company had net income of $0.3 million, or $0.68 per share, for the 2010 year, an improvement over the 2009 year net loss of $1.9 million.
The company's Recreational Products Group reported revenues of $38.4 million for 2010, compared with $34.4 million in 2009. The 11.6% increase in revenues was attributed primarily to increased sales of marine and RV product lines as the overall industry continued to recover from the recessionary levels of 2009. As a result of this increase in revenue, RPG's operating income for the 2010 year increased by $0.6 million to $1.8 million from the operating income of $1.2 million for the 2009 year.
The Bell Techlogix business reported revenues of $73.7 million for 2010, compared with $66.1 million in 2009. This 11.5% increase was attributed to growth in product sales and revenue from both new and existing managed service engagements. As a result of this increase in revenue, Bell Techlogix's operating income for the 2010 year increased by $1.3 million to $2.9 million from the operating income of $1.6 million for the 2009 year.
Bell's corporate holding company costs for 2010 totaled $3.2 million, a 10% decrease from the prior year. The decrease in costs was primarily related to reductions in headcount and the related costs. The corporate holding company costs have declined as the company continues to transfer the administrative functions previously performed by the holding company to the business units, which generally operate independently of each other.
On March 21, 2011 Bell completed a 1-for-20 reverse stock split of its shares, the result of which allowed Bell to then file with the Securities and Exchange Commission to terminate its registration and cease its periodic reporting obligations as a publicly registered company. This change in registration status will allow Bell to further reduce the corporate holding company costs by foregoing many of the expenses associated with SEC regulatory filings and Sarbanes-Oxley Act requirements.
About Bell Industries, Inc.
Bell Industries is a holding company for two operating businesses, Bell Techlogix and the Recreational Products Group. Bell Techlogix is a provider of integrated technology product and service solutions for organizations throughout the United States. The Recreational Products Group is a wholesale distributor of replacement parts and accessories for recreational vehicles and other leisure-related vehicles, including boats, snowmobiles, motorcycles, all terrain vehicles and utility vehicles.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. These statements, including, but not limited to closely managing costs and making investments in our business to drive profitable growth, are based upon current expectations and speak only as of the date hereof. Actual results may differ materially and adversely from those expressed in any forward-looking statements as a result of various factors and uncertainties, including uncertainties as to the nature of the company's industry, including changing customer demand, the impact of competitive products and pricing, dependence on existing management and general economic conditions. The company undertakes no obligation to revise or update publicly any forward-looking statements for any reason.
(Tables Follow)
| Bell Industries, Inc. | ||
| Consolidated Statements of Operations | ||
| (Dollars in thousands) | ||
| Year Ended December 31, | ||
| 2010 | 2009 | |
| Net revenues: | ||
| Products | $ 83,739 | $ 74,325 |
| Services | 28,432 | 26,252 |
| Total net revenues | 112,171 | 100,577 |
| Costs and expenses: | ||
| Cost of products sold | 68,695 | 60,770 |
| Cost of services provided | 20,198 | 19,011 |
| Selling, general and administratives | 21,870 | 21,580 |
| Gain on sale of assets | (34) | -- |
| Operating income (loss) | 1,442 | (784) |
| Interest expense, net | 1,108 | 1,093 |
| Income (loss) from continuing operations before income taxes | 334 | (1,877) |
| Income tax provision (benefit) | 65 | (7) |
| Net income (loss) from continuing operations | 269 | (1,870) |
| Income (loss) from discontinued operations, net of tax | 27 | (36) |
| Net income (loss) | $ 296 | $ (1,906) |
| OPERATING RESULTS BY BUSINESS SEGMENT | ||
| Net revenues: | ||
| Bell Techlogix | ||
| Products | $ 45,307 | $ 39,882 |
| Services | 28,432 | 26,252 |
| Total Bell Techlogix | 73,739 | 66,134 |
| Recreational Products Group | 38,432 | 34,443 |
| Total net revenues | $112,171 | $ 100,577 |
| Operating income (loss): | ||
| Bell Techlogix | $ 2,850 | $ 1,558 |
| Recreational Products Group | 1,750 | 1,191 |
| Corporate costs | (3,192) | (3,533) |
| Gain on sale of assets | 34 | -- |
| Total operating income (loss) | 1,442 | (784) |
| Interest expense, net | 1,108 | 1,093 |
| Income (loss) from continuing operations before income taxes | $ 334 | $ (1,877) |
| Bell Industries, Inc. | ||
| Consolidated Balance Sheets | ||
| Years ended December 21, 2010 and 2009 | ||
| (Dollars in thousands) | ||
| 2010 | 2009 | |
| ASSETS | ||
| Current assets: | ||
| Cash and cash equivalents | $ 2,723 | $ 2,608 |
| Accounts receivable, net | 10,116 | 9,256 |
| Inventories, net | 7,303 | 8,012 |
| Notes receivable | -- | 300 |
| Prepaid expenses and other current assets | 1,053 | 800 |
| Total current assets | 21,195 | 20,976 |
| Fixed assets, net | 709 | 802 |
| Other assets | 733 | 775 |
| Total assets | $22,637 | $22,553 |
| LIABILITIES AND SHAREHOLDERS' DEFICIT | ||
| Current liabilities: | ||
| Accounts payable | $ 5,346 | $ 5,382 |
| Accrued payroll | 2,290 | 1,882 |
| Other accrued liabilities | 1,899 | 2,440 |
| Total current liabilities | 9,535 | 9,704 |
| Convertible note | 11,851 | 11,345 |
| Other long-term liabilities | 3,009 | 3,592 |
| Total liabilities | 24,395 | 24,641 |
| Shareholders' deficit | (1,758) | (2,088) |
| Total liabilities and shareholders' deficit | $22,637 | $22,553 |