Welcome!

News Feed Item

Eltek Reports Fourth Quarter and Full Year 2013 Financial Results

PETACH-TIKVA, Israel, April 28, 2014 /PRNewswire/ -- Eltek Ltd. (NASDAQ: ELTK), the leading Israeli manufacturer of advanced circuitry solutions, including complex build ups of rigid and flex-rigid printed circuit boards, announced today its financial results for the full year ended December 31, 2013.

Full year of 2013:

Revenues for the full year ended December 31, 2013 were $50.2 million compared to revenues of $45.6 million recorded in 2012. 

Gross profit for the full year of 2013 was $8 million (15.9% of revenues) compared to gross profit of $7.8 million (17.1% of revenues) in 2012.

Operating profit for the full year of 2013 was $1.3 million (2.5% of revenues) compared to operating profit of $1.3 million (2.8% of revenues) in 2012.

During 2013, the Company recognized a tax benefit of $3 million from deferred tax assets. Based on three consecutive years of profitable operations, the Company considered it to be more likely than not that those assets would be realized.

During 2012, the Company recorded an impairment of goodwill charge in the amount of $481,000 and related financial expenses of $135,000 associated with the write down of its investment in its German subsidiary, Kubatronik Leiterplatten GmbH. Operating profit before such impairment amounted to $1.8 million (3.9% of revenues) in fiscal 2012.

Net profit after the tax benefit was $3.8 million or $0.53 per fully diluted share for the full year of 2013, compared to net profit of $690,000 or $0.10 per fully diluted share in 2012.

Before the tax asset recognition in 2013, and before the above mentioned impairment charge and related financial expense recorded in 2012, net profit for the full year of 2013 (on a non-GAAP basis) was $848,000, or $0.12 per fully diluted share, compared to $1.3 million, or $0.20 per fully diluted share in the full year of 2012.  

The earnings per share calculation for 2012 does not include the effect of our sale of 3,532,655 shares to Nistec Ltd. in November 2013.

Fourth Quarter 2013:

Revenues for the quarter ended December 31, 2013 were $12.7 million compared with revenues of $11.4 million recorded in the fourth quarter of 2012.

Gross profit for the fourth quarter of 2013 was $1.8 million (14% of revenues) compared with gross profit of $1.8 million (16.2% of revenues) in the fourth quarter of 2012.

Operating loss for the fourth quarter of 2013 was $185,000 (1.5% of revenues) compared to operating loss of $178,000 (1.6% of revenues) in the fourth quarter of 2012. Operating profit before the above mentioned impairment amounted to $303,000 in the fourth quarter of 2012.

Net profit after the tax benefit was $2.8 million or $0.39 per fully diluted share for the fourth quarter of 2013, compared to a net loss of $322,000 or $0.05 per fully diluted share, in the fourth quarter of 2012.

Before the tax asset recognition in 2013, and before the above mentioned impairment charge and related financial expense recorded in 2012, net loss for the fourth quarter of 2013 (on a non-GAAP basis) was $271,000 or $0.04 per fully diluted share, compared to net profit of $294,000 or $0.04 per fully diluted share in the fourth quarter of 2012.

The earnings per share calculation for 2012 does not include the effect of our sale of 3,532,655 shares to Nistec Ltd. in November 2013.

EBITDA:

In the fourth quarter of 2013, Eltek had EBITDA of $321,000 compared with EBITDA of $746,000 in the fourth quarter of 2012. During the full year of 2013, Eltek had EBITDA of $3 million compared with EBITDA of $3.5 million in 2012.

ELTEK uses EBITDA as a non-GAAP financial performance measurement. EBITDA is calculated by adding back to net income interest, taxes, depreciation and amortization. EBITDA is provided to investors to complement results provided in accordance with GAAP, as management believes the measure helps illustrate underlying operating trends in the Company's business and uses the measure to establish internal budgets and goals, manage the business and evaluate performance. EBITDA should not be considered in isolation or as a substitute for comparable measures calculated and presented in accordance with GAAP. Reconciliation between the company's results on a GAAP and non-GAAP basis is provided in a table immediately following the Consolidated Statement of Operations

Management Comments:

Arieh Reichart, President and Chief Executive Officer of Eltek commented: "I am pleased to report that we had record revenues in 2013. Based on Nistec's investment in the Company, we are in contact with leading banks in order to reduce the interest rates we are charged, and to receive new long term loans. This will help us continue to make our planned capital expenditures, that are geared towards achieving additional improvements in our operations."

About Eltek

Eltek is Israel's leading manufacturer of printed circuit boards, the core circuitry of most electronic devices. It specializes in the complex high-end of PCB manufacturing, i.e., HDI, multi-layered and flex-rigid boards. Eltek's technologically advanced circuitry solutions are used in today's increasingly sophisticated and compact electronic products. For more information, visit Eltek's website at www.eltekglobal.com.

Forward Looking Statements:

Certain matters discussed in this news release are forward-looking statements that involve a number of risks and uncertainties including, but not limited to, statements regarding expected results in future quarters, risks in product and technology development and rapid technological change, product demand, the impact of competitive products and pricing, market acceptance, the sales cycle, changing economic conditions and other risk factors detailed in the Company's Annual Report on Form 20-F and other filings with the United States Securities and Exchange Commission.

 

 

Eltek Ltd.

Consolidated Statements of Operations

(In thousands US$, except per share data)













Three months ended


Year ended




December  31,


December  31,




2013


2012


2013


2012












Revenues


12,673


11,355


50,235


45,646


Costs of revenues


(10,905)


(9,515)


(42,242)


(37,836)












Gross profit


1,769


1,840


7,993


7,810












Selling, general and administrative expenses


(1,954)


(1,537)


(6,721)


(6,040)












Impairment loss on goodwill


0


(481)


0


(481)












Operating profit (loss)


(185)


(178)


1,271


1,288












Financial income (expenses), net


(95)


(149)


(439)


(543)












Profit (loss) before other income, net


(280)


(327)


832


745












Other income, net


(22)


(3)


(26)


2












Profit (loss) before income tax expenses


(302)


(330)


806


748












Income tax (expenses), net


3,045


(9)


2,975


(52)












Net Profit (loss)


2,743


(339)


3,781


696












Net profit (loss) attributable to non controlling interest


(30)


(17)


(42)


6












Net Profit (loss) attributable to controlling interest / Eltek


2,774


(322)


3,823


690












Earnings per share




















Basic and diluted net gain (loss) per ordinary share


0.39


(0.05)


0.53


0.10












Weighted average number of ordinary shares 










used to compute basic and diluted net gain (loss) per










ordinary share (in thousands)


7,199


6,610


7,199


6,610






















Eltek Ltd.

Consolidated Balance Sheets

(In thousands US$)

















December  31,








2013


2012


Assets




















Current assets










Cash and cash equivalents






2,514


1,935


Receivables:   Trade, net of provision for doubtful accounts






9,127


6,662


                     Other






452


259


Inventories 






6,109


5,244


Prepaid expenses 






153


158












Total current assets






18,355


14,258












Deferred taxes






2,863


0












Assets held for employees' severance benefits






53


47












Fixed assets, less accumulated depreciation






10,108


9,075












Goodwill






75


69












Total assets






28,591


23,449










































Liabilities and Shareholder's equity




















Current liabilities










Short-term credit and current maturities of long-term debts






1,818


5,105


Accounts payable: Trade






9,229


6,110


                            Related parties






0


1,336


                            Other






5,311


4,419












Total current liabilities






16,358


16,970












Long-term liabilities










Long term debt, excluding current maturities






1,412


728


Employee severance benefits






337


215












Total long-term liabilities






1,749


943












Equity










Ordinary shares, NIS 0.6  par value authorized 50,000,000 shares, issued and outstanding 6,610,107 in 2012 and 10,142,762 in 2013






1,985


1,384


Additional paid-in capital






17,270


14,328


Cumulative foreign currency translation adjustments






3,186


2,713


Capital reserve






695


695


Accumulated deficit






(9,885)


(13,708)


Shareholders' equity






13,251


5,412


Non controlling interest






96


124


Total equity






13,347


5,536


Total liabilities and shareholders' equity






31,454


23,449
































Eltek Ltd.

Unaudited Non-GAAP EBITDA Reconciliations

For the period ended December 31, 2013

(In thousands US$, except per share data)











Non-GAAP EBITDA Reconciliations


Three months ended


Year ended




December  31,


December  31,




2013


2012


2013


2012












GAAP net Income (loss)


2,774


(322)


3,823


690


Add back items:




















Financial (income) expenses, net 


95


149


439


543


Income tax (benefit) expense


(3,045)


9


(2,975)


52


Depreciation and amortization


498


910


1,739


2,253


Adjusted EBITDA            


321


746


3,026


3,538












Eltek Ltd.

Unaudited Non-GAAP Reconciliations

For the period ended December 31, 2013

(In thousands US$)













Three months ended


Year ended




December  31,


December  31,




2013


2012


2013


2012


Net profit (loss) before Tax benefit and goodwill impairment charge and financial expenses associated with the write down of the investment in Kubatronik (non-GAAP)


(271)


295


848


1,306


Add back items:




















Income tax (benefit) expense


3,045


-


2,975




Goodwill impairment charge


-


(481)


-


(481)


financial expenses associated with the write down of the investment in Kubatronik


-


(135)


-


(135)


GAAP net profit (loss)


2,774


(322)


3,823


690


 

Investor Contact:
Amnon Shemer
Chief Financial Officer
[email protected]
+972-3-9395050

 

SOURCE Eltek Ltd.

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
What sort of WebRTC based applications can we expect to see over the next year and beyond? One way to predict development trends is to see what sorts of applications startups are building. In his session at @ThingsExpo, Arin Sime, founder of WebRTC.ventures, will discuss the current and likely future trends in WebRTC application development based on real requests for custom applications from real customers, as well as other public sources of information,
China Unicom exhibit at the 19th International Cloud Expo, which took place at the Santa Clara Convention Center in Santa Clara, CA, in November 2016. China United Network Communications Group Co. Ltd ("China Unicom") was officially established in 2009 on the basis of the merger of former China Netcom and former China Unicom. China Unicom mainly operates a full range of telecommunications services including mobile broadband (GSM, WCDMA, LTE FDD, TD-LTE), fixed-line broadband, ICT, data communica...
My team embarked on building a data lake for our sales and marketing data to better understand customer journeys. This required building a hybrid data pipeline to connect our cloud CRM with the new Hadoop Data Lake. One challenge is that IT was not in a position to provide support until we proved value and marketing did not have the experience, so we embarked on the journey ourselves within the product marketing team for our line of business within Progress. In his session at @BigDataExpo, Sum...
With the introduction of IoT and Smart Living in every aspect of our lives, one question has become relevant: What are the security implications? To answer this, first we have to look and explore the security models of the technologies that IoT is founded upon. In his session at @ThingsExpo, Nevi Kaja, a Research Engineer at Ford Motor Company, will discuss some of the security challenges of the IoT infrastructure and relate how these aspects impact Smart Living. The material will be delivered i...
As software becomes more and more complex, we, as software developers, have been splitting up our code into smaller and smaller components. This is also true for the environment in which we run our code: going from bare metal, to VMs to the modern-day Cloud Native world of containers, schedulers and micro services. While we have figured out how to run containerized applications in the cloud using schedulers, we've yet to come up with a good solution to bridge the gap between getting your contain...
Apache Hadoop is emerging as a distributed platform for handling large and fast incoming streams of data. Predictive maintenance, supply chain optimization, and Internet-of-Things analysis are examples where Hadoop provides the scalable storage, processing, and analytics platform to gain meaningful insights from granular data that is typically only valuable from a large-scale, aggregate view. One architecture useful for capturing and analyzing streaming data is the Lambda Architecture, represent...
As organizations realize the scope of the Internet of Things, gaining key insights from Big Data, through the use of advanced analytics, becomes crucial. However, IoT also creates the need for petabyte scale storage of data from millions of devices. A new type of Storage is required which seamlessly integrates robust data analytics with massive scale. These storage systems will act as “smart systems” provide in-place analytics that speed discovery and enable businesses to quickly derive meaningf...
Your homes and cars can be automated and self-serviced. Why can't your storage? From simply asking questions to analyze and troubleshoot your infrastructure, to provisioning storage with snapshots, recovery and replication, your wildest sci-fi dream has come true. In his session at @DevOpsSummit at 20th Cloud Expo, Dan Florea, Director of Product Management at Tintri, will provide a ChatOps demo where you can talk to your storage and manage it from anywhere, through Slack and similar services ...
SYS-CON Events announced today that Ocean9will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Ocean9 provides cloud services for Backup, Disaster Recovery (DRaaS) and instant Innovation, and redefines enterprise infrastructure with its cloud native subscription offerings for mission critical SAP workloads.
Building a cross-cloud operational model can be a daunting task. Per-cloud silos are not the answer, but neither is a fully generic abstraction plane that strips out capabilities unique to a particular provider. In his session at 20th Cloud Expo, Chris Wolf, VP & Chief Technology Officer, Global Field & Industry at VMware, will discuss how successful organizations approach cloud operations and management, with insights into where operations should be centralized and when it’s best to decentraliz...
The taxi industry never saw Uber coming. Startups are a threat to incumbents like never before, and a major enabler for startups is that they are instantly “cloud ready.” If innovation moves at the pace of IT, then your company is in trouble. Why? Because your data center will not keep up with frenetic pace AWS, Microsoft and Google are rolling out new capabilities In his session at 20th Cloud Expo, Don Browning, VP of Cloud Architecture at Turner, will posit that disruption is inevitable for c...
Providing the needed data for application development and testing is a huge headache for most organizations. The problems are often the same across companies - speed, quality, cost, and control. Provisioning data can take days or weeks, every time a refresh is required. Using dummy data leads to quality problems. Creating physical copies of large data sets and sending them to distributed teams of developers eats up expensive storage and bandwidth resources. And, all of these copies proliferating...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm. In his Day 3 Keynote at 20th Cloud Expo, Chris Brown, a Solutions Marketing Manager at Nutanix, will explore t...
DevOps has often been described in terms of CAMS: Culture, Automation, Measuring, Sharing. While we’ve seen a lot of focus on the “A” and even on the “M”, there are very few examples of why the “C" is equally important in the DevOps equation. In her session at @DevOps Summit, Lori MacVittie, of F5 Networks, explored HTTP/1 and HTTP/2 along with Microservices to illustrate why a collaborative culture between Dev, Ops, and the Network is critical to ensuring success.
Interoute has announced the integration of its Global Cloud Infrastructure platform with Rancher Labs’ container management platform, Rancher. This approach enables enterprises to accelerate their digital transformation and infrastructure investments. Matthew Finnie, Interoute CTO commented “Enterprises developing and building apps in the cloud and those on a path to Digital Transformation need Digital ICT Infrastructure that allows them to build, test and deploy faster than ever before. The int...