[LOGO] One Jake Brown Road
P.O. Box 1000
Old Bridge, New Jersey 08857-1000
Tel: 732-679-4000 Fax: 732-679-4353
FOR IMMEDIATE RELEASE CONTACT: James A. Luksch
Chairman and
Chief Executive Officer
(732) 679-4000
BLONDER TONGUE REPORTS 2005 FIRST QUARTER RESULTS
OLD BRIDGE, NEW JERSEY, May 13, 2005 - Blonder Tongue Laboratories, Inc. (AMEX:
"BDR") today announced its sales and earnings for the first quarter ended March
31, 2005.
Net sales for the first quarter 2005 increased 8.7% to $9,269,000 from
$8,529,000 for the first quarter 2004. The increase in sales is primarily
attributed to an increase in capital spending by cable system operators, for the
Company's headend and distribution products. Included in net sales are revenues
from BDR Broadband of $417,000 and $346,000 for the first three months of 2005
and 2004, respectively. Operating loss for the first quarter 2005 was $603,000
compared to an operating loss of $122,000 for the comparable period of 2004. The
operating loss is primarily attributable to an increase in the inventory reserve
of $603,000 in the first quarter of 2005. The Company's net loss was $890,000
for the first three months of 2005 compared to $397,000 for the same period in
the prior year. Diluted loss per share for the first three months of 2005 was
$0.11, compared to a loss of $0.05 for the same period in the prior year.
Commenting on the first quarter 2005 results, James A. Luksch, Chairman, Chief
Executive Officer said, "It is a pleasure to report what appears to be a rebound
in the markets we serve, as demonstrated by the sequential and year-to-year
equivalent quarter sales increases that we have experienced. Unfortunately,
continued slowness in some product categories required us to again take a
significant non-cash charge to our inventory, which adversely impacted the
Company's reported performance. Considerable resources are being expended to
sell and/or convert this inventory and reverse the recent trend of recurring
non-cash charges on the Company's P&L. Sales are improving and further increase
in sales momentum and management of slow moving inventory are the primary goals
of the Company in 2005."
Founded in 1950, Blonder Tongue Laboratories is a leading U.S. designer,
manufacturer, and supplier of a comprehensive line of broadband systems
equipment and technical engineering services for Voice, Video and Data service
providers. With Blonder Tongue's optimized technologies, simplified deployment
and qualified technical assistance, the service provider reduces costs,
increases customer satisfaction and increases profitability. For more
information regarding Blonder Tongue or its products, please visit the Company's
Web site at www.blondertongue.com or contact the Company directly at (732)
679-4000.
"Safe Harbor" Statement under the Private Securities Litigation Reform Act of
1995: The information set forth above includes "forward-looking" statements and
accordingly, the cautionary statements contained in Blonder Tongue's Annual
Report and Form 10-K for the year ended December 31, 2004 (See Item 1: Business
and Item 7: Management's Discussion and Analysis of Financial Condition and
Results of Operations and Risk Factors), and other filings with the Securities
and Exchange Commission are incorporated herein by reference. The words
"believe", "expect", "anticipate", "project", and similar expressions identify
forward-looking statements. Readers are cautioned not to place undue reliance on
these forward-looking statements, which reflect management's analysis only as of
the date hereof. Blonder Tongue undertakes no obligation to publicly revise
these forward-looking statements to reflect events or circumstances that arise
after the date hereof. Blonder Tongue's actual results may differ from the
anticipated results or other expectations expressed in Blonder Tongue's
"forward-looking" statements.
Blonder Tongue Laboratories, Inc.
Consolidated Summary of Operating Results
(in thousands, except per-share data)
(unaudited)
Three months ended
March 31,
--------------------------------
2005 2004
--------------------------------
Net Sales $9,269 $8,529
Gross Profit 2,527 2,941
Loss from operations (603) (122)
Net loss (890) (397)
Net loss per share:
Basic and diluted ($0.11) ($0.05)
Weighted average shares outstanding:
Basic and diluted 8,015 7,997
Consolidated Summary Balance Sheets
(in thousands)
March 31, 2005 December 31, 2004
(unaudited)
Current assets $16,899 $16,006
Property, plant, and equipment, net 6,086 6,214
Total assets 38,254 38,156
Current liabilities 5,513 5,403
Long-term liabilities 6,708 5,830
Stockholders' equity 26,033 26,923
Total liabilities and stockholders'
equity $38,254 $38,156
Blonder Tongue Laboratories (BDRL)
Filed: 13 May 05, 12:00am