benchmark.jpg

News Releases

NYSEBHE
Benchmark Electronics Reports Sequential Quarterly Increases in Revenues And Earnings for Third Quarter 2002
PRNewswire-FirstCall
ANGLETON, Texas

Benchmark Electronics, Inc., a leading contract manufacturing provider, announced sales revenue of $428 million for the quarter ended September 30, 2002 compared to $404 million in the previous quarter and $258 million in the same quarter of the prior year. Third quarter net income was $9.6 million on a GAAP basis, compared to $8.3 million net income in the prior quarter and to net income, excluding amortization of goodwill and restructuring charges, net of tax, of $2.2 million for the same quarter in the previous year. Diluted earnings per share on a GAAP basis was $0.38 for the third quarter of 2002, compared to $0.33 per share for the previous quarter and $0.11 cash earnings per share (excluding amortization of goodwill and restructuring charges, net of tax) for the same quarter in the previous year. During the quarter ended September 30, 2002, GAAP earnings and cash earnings per share were equal as no restructuring charges were incurred or goodwill amortization was recorded during the period.

"Our team's performance speaks for itself. We are executing well and are continuing to challenge our teams to improve across all areas. While the technology recession continues, our vigilance to remain the supplier of choice for the sectors we serve has never been stronger," commented Cary T. Fu, President of Benchmark Electronics, Inc.

  Quarterly Financial Highlights

  --  Received Supplier of the Year Award from two major customers for 2002
  --  Cash generated from operations was $63 million in the third quarter of
      2002 and $136 million for the nine month period ended September 30,
      2002.
  --  Accounts receivables decreased by $4 million to $188 million in the
      third quarter of 2002 from $192 million in the second quarter of 2002.
      Calculated days sales outstanding improved to 40 days from 43 days in
      the previous quarter.
  --  Inventories increased to $208.7 million in the third quarter of 2002
      from $195.7 million for the second quarter of 2002.  Inventory turns
      remained comparable to the prior quarter at 7.6 for the quarter.

  Fourth Quarter 2002 Guidance

Based on current customer indications, the Company expects fourth quarter 2002 revenues to range from $425 million to $440 million, with corresponding earnings per share of $0.37 to $0.40.

This news release contains certain forward-looking statements within the scope of the Securities Act of 1933 and the Securities Exchange Act of 1934. The words "expect," "estimate," "anticipate," "predict," and similar expressions, and the negatives of such expressions, are intended to identify forward-looking statements. Although the Company believes that these statements are based upon reasonable assumptions, such statements involve risks, uncertainties and assumptions, including but not limited to industry and economic conditions, customer actions and the other factors discussed in Benchmark's Form 10-K for the year ended December 31, 2001 and its other filings with the Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those indicated.

Benchmark Electronics, Inc. is in the business of manufacturing electronics and provides its services to original equipment manufacturers of computers and related products for business enterprises, medical devices, video/audio/entertainment products, industrial control equipment, testing and instrumentation products, and telecommunication equipment. Benchmark's global operations include facilities in seven countries. Benchmark's Common Stock trades on the New York Stock Exchange under the symbol BHE.

A conference call hosted by Benchmark management will be held today at 10:00 am CDT to discuss the financial results of the Company and its future outlook. This call will be broadcast via the Internet and may be accessed by logging on to our website at www.bench.com .

               Benchmark Electronics, Inc. and Subsidiaries

                    Consolidated Statements of Income
              (Amounts in Thousands, Except Per Share Data)
                               (UNAUDITED)

                                Three Months Ended        Nine Months Ended
                                   September 30,            September 30,
                                 2002       2001         2002        2001

  Net sales                  $  428,278    257,969    1,161,841   1,007,307
  Cost of sales                 395,767    239,071    1,073,653     934,194

    Gross profit                 32,511     18,898       88,188      73,113


  Selling, general and
   administrative expenses       17,268     12,581       47,566      41,406
  Asset write-offs                  ---     61,720        1,608      61,720
  Restructuring charges             ---        481          ---       5,094
  Amortization of goodwill          ---      3,222          ---       9,667

    Operating income (loss)      15,243    (59,106)      39,014    (44,774)

  Other income (expense):
    Interest expense             (2,886)    (3,862)      (8,577)   (14,175)
    Other                         2,364        719        5,543      1,013
  Total other expense, net         (522)    (3,143)      (3,034)   (13,162)

    Income (loss) before
      income taxes               14,721    (62,249)      35,980    (57,936)

  Income tax expense
   (benefit)                      5,138     (5,234)      12,791     (3,940)

    Net income (loss)          $  9,583    (57,015)      23,189    (53,996)

  Earnings (loss) per share:
    Basic                      $   0.40      (2.90)        1.03      (2.75)
    Diluted                        0.38      (2.90)        0.99      (2.75)
    Cash                           0.38       0.11         0.99       0.64

  Earnings per share before
   restructuring charges:
    Basic                      $   0.40       0.00         1.03       0.32
    Diluted                        0.38       0.00         0.99       0.31
    Cash                           0.38       0.11         0.99       0.64


  Weighted average number of
   shares outstanding:
    Basic                        24,246     19,645       22,565     19,616
    Diluted                      24,924     19,645       23,378     19,616


               Benchmark Electronics, Inc. and Subsidiaries

                   Condensed Consolidated Balance Sheet
                            September 30, 2002
                          (Amounts in Thousands)
                               (UNAUDITED)

  Assets

  Current assets:
       Cash                                      $     237,621
       Accounts receivable, net                        188,393
       Inventories, net                                208,694
       Other current assets                             32,888
       Total current assets                            667,596

  Property, plant and equipment, net                    93,155
  Other assets, net                                     10,535
  Goodwill, net                                        130,976

            Total assets                         $     902,262

  Liabilities and Shareholders' Equity

  Current liabilities:
       Current installments
        of other long-term debt                  $      28,736
       Notes payable                                       565
       Accounts payable                                199,157
       Other current liabilities                        49,390
            Total current liabilities                  277,848

  Convertible subordinated notes                        80,200
  Other long-term debt, excluding
    current installments                                39,166
  Other long-term liabilities                           22,174
  Shareholders' equity                                 482,874

            Total liabilities
             and shareholders' equity            $     902,262

Make Your Opinion Count - Click Here
http://tbutton.prnewswire.com/prn/11690X84672831

SOURCE: Benchmark Electronics, Inc.

CONTACT: Gayla J. Delly, Chief Financial Officer of Benchmark
Electronics, Inc., +1-979-849-6550

Connect with Us

CONTACTS

Please direct investor queries to:

Lisa.Weeks@bench.com

 

GET INVESTOR ALERTS

* Required Fields