[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 2006 FIRST QUARTER RESULTS
OLD BRIDGE, NEW JERSEY, May 17, 2006 - Blonder Tongue Laboratories, Inc. (AMEX:
"BDR") today announced its sales and earnings for the first quarter ended March
31, 2006.
Net sales for the first quarter 2006 increased 12.1% to $10,387,000 from
$9,269,000 for the first quarter 2005. The increase in sales is primarily
attributed to an increase in sales of the Company's digital and headend
products. Digital product sales were $1,433,000 and $942,000 and headend product
sales were $5,050,000 and $4,682,000 in the first quarter of 2006 and 2005,
respectively. Operating income for the first quarter 2006 was $437,000 compared
to an operating loss of $603,000 for the comparable period of 2005. The
improvement in operating income in the first quarter of 2006 was primarily
attributed to an increase in sales as compared to the first quarter of 2005. The
first quarter operating loss in 2005 was primarily attributable to a $603,000
increase in inventory reserves. Comparatively, no increase in inventory reserves
was required in the first quarter of 2006. The Company's net earnings were
$192,000 for the first three months of 2006 compared to a net loss of $890,000
for the same period in the prior year. Basic and diluted earnings per share for
the first three months of 2006 were $0.02, compared to a loss of $0.11 per share
for the same period in the prior year.
Commenting on the first quarter 2006 results, James A. Luksch, Chairman, Chief
Executive Officer said, "I'm pleased to report that the Company has posted
profitable performance for the period. First quarter results benefited from an
expanded array of product offerings, particularly in the areas of fiber, digital
and high definition products. We look forward to continuing long term progress
as our new product offerings take hold and provide additional incremental
sales."
Founded in 1950, Blonder Tongue Laboratories, Inc. has evolved from a
manufacturer of electronic equipment for the private cable industry to a
principal provider of integrated network solutions and technical services to
broadband service providers. The Company designs, manufactures, and supplies a
comprehensive line of equipment to deliver video (analog & digital), high speed
data and voice services over integrated coaxial and fiber optic broadband
networks today and over packet based, Internet protocol networks of the future.
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, 2005 (See Item 1: Business,
Item 1A: Risk Factors and Item 7: Management's Discussion and Analysis of
Financial Condition and Results of Operations), 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,
-------------- -- --------------
2006 2005
-------------- -- --------------
Net Sales $10,387 $9,269
Gross Profit 3,570 2,527
Earnings (loss) from operations 437 (603)
Net earnings (loss) 192 (890)
Net earnings (loss) per share:
Basic and diluted $0.02 ($0.11)
Weighted average shares outstanding:
Basic and diluted 8,015 8,015
Consolidated Summary Balance Sheets
(in thousands)
March 31, 2006 December 31, 2005
(unaudited)
Current assets $15,519 $15,144
Property, plant, and equipment, net 6,103 6,184
Total assets 32,907 32,864
Current liabilities 7,951 8,036
Long-term liabilities 3,262 3,329
Stockholders' equity 21,694 21,499
Total liabilities and
stockholders' equity $32,907 $32,864
