[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 THIRD RESULTS OLD BRIDGE, NEW JERSEY, November 14, 2006 - Blonder Tongue Laboratories, Inc. (AMEX: "BDR") today reported net sales of $9,578,000 for the third quarter 2006, a 0.9 percent decrease over net sales of $9,666,000 reported in the third quarter 2005. The decrease in sales is attributed to a decrease in interdiction product sales offset by an increase in fiber and core product sales. Sales of interdiction products were $319,000 and $733,000 and sales of fiber products were $647,000 and $274,000 in the third quarter of 2006 and 2005, respectively. Net sales increased $1,634,000, or 5.8%, to $29,977,000 in the first nine months of 2006 from $28,343,000 in the first nine months of 2005. The increase in sales is primarily attributed to an increase in digital, fiber and core product sales. Digital product sales were $3,714,000 and $3,374,000 and fiber product sales were $1,403,000 and $812,000 in the first nine months of 2006 and 2005, respectively. Net income for the third quarter 2006 was $175,000, or $0.02 per share, compared to a net loss of $3,516,000 or ($0.44) per share for the comparable period in 2005. Net loss for the nine months ended September 30, 2006 was $37,000, or breakeven per share, compared to a net loss of $5,047,000 or ($0.63) per share for the comparable period in 2005. Commenting on the third quarter 2006 results, James A. Luksch, Chief Executive Officer, said, "The comparable quarter-to-quarter sales performance, being relatively flat, is buoyed by the year-to-date sales improvement." Mr. Luksch continued, "The elimination of certain non-core business units continues to progress. With the disposal of our interest in Blonder Tongue Telephone and the planned divestiture of BDR Broadband, our Texas-based private cable system, we expect an annual improvement to our net income of approximately $600,000. In addition, the anticipated sale of selected Company patent rights should result in net proceeds of approximately $2,000,000." 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", "should", "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. There can be no assurance that Blonder Tongue will be successful in its efforts to sell BDR Broadband. Blonder Tongue's actual results may differ from the anticipated results or other expectations expressed in Blonder Tongue's "forward-looking" statements. -MORE- Blonder Tongue Laboratories, Inc. Consolidated Summary of Operating Results (in thousands, except per-share data) (unaudited) Three months ended Nine months ended September 30, September 30, ------------------ ----------------------- 2006 2005 2006 2005 Net sales $9,578 $9,666 $29,977 $28,343 Gross profit (loss) 3,755 (53) 10,672 5,333 Earnings (loss) from operations 345 (3,271) 612 (4,215) Net earnings (loss) 175 (3,516) (37) (5,047) Net earnings (loss) per share: Basic $0.02 $ - $(0.63) $(0.44) $0.02 $ - $(0.63) Diluted $(0.44) Weighted average shares outstanding: Basic 7,515 8,015 7,845 8,015 Diluted 7,515 8,015 7,845 8,015 Consolidated Summary Balance Sheets (in thousands) September 30, 2006 December 31, 2005 (unaudited) Current assets $14,545 $15,144 Property, plant, and equipment, net 5,790 6,184 Total assets 30,533 32,864 Current liabilities 6,664 8,036 Long-term liabilities 3,124 3,329 Stockholders' equity 20,745 21,499 Total liabilities and stockholders' equity $30,533 $32,864
Blonder Tongue Laboratories (BDRL) 8-KResults of Operations and Financial Condition
Filed: 14 Nov 06, 12:00am