TAIPEI, May 11, 2011 /PRNewswire-Asia-FirstCall/ -- Asia Pacific Wire & Cable Corporation Limited (NASDAQ: APWC) ("APWC" or the "Company"), today announced audited consolidated results for the 2010 business year ended December 31, 2010.
Full-Year 2010 Financial Highlights:
The Company reported strong results for full-year 2010 with solid demand for its products, particularly for enameled wire, power cable, and in Thailand and China.
Revenues were $469.3 million, a 29.6% increase over fiscal year 2009. Gross profit was $61.7 million, an increase of 33.0% from $46.4 million in 2009. Gross profit margin was 13.1%, compared with 12.8% in 2009. Operating income was $30.5 million, versus $18.5 million in the year-ago period, an increase of 65.2%. Selling, general and administrative expenses increased 13.2% from 2009, and the recovery from doubtful accounts increased 53.1% from 2009. Net income attributable to APWC shareholders was $14.1 million versus $10.1 million in 2009, an increase of 40.2%. Net income per basic and diluted share was $1.02, versus $0.73 in the year-ago period, a 39.7% increase.
Financial Condition
As of December 31, 2010, APWC had $63.2 million in cash and cash equivalents, compared to $41.5 million as of December 31, 2009. Total current assets were $329.5 million as of December 31, 2010, compared to $239.0 million at the end of 2009, and total current liabilities were $158.8 million as of December 31, 2010, compared to $111.9 million at the end of 2009. Working capital was $170.7 million as of December 31, 2010, versus $127.1 million at the end of 2009. Shareholders' equity attributable to APWC was $153.2 million, compared to $127.4 million at the end of 2009. Net book value per share increased to $11.08 from $9.21 per share at the end of 2009, an increase of $1.87 or 20.3%.
Conference-Call Information
The Company will host a conference call at 8:00 a.m. EDT on Wednesday, May 11, 2011, to discuss its full- year 2010 financial results.
To participate in the conference call, please dial the following number five to ten minutes prior to the scheduled conference call time: (866) 395-5819. International callers should dial +1 (706) 643-6986. The conference ID for the call is 64120217.
If you are unable to participate in the call at this time, a replay will be available for 14 days starting on Wednesday, May 11, 2011 at 10:00 p.m. EDT. To access the replay, dial +1 (800) 642-1687. International callers should dial +1 (706) 645-9291 and enter the conference ID 64120217.
About Asia Pacific Wire & Cable Corporation
Asia Pacific Wire & Cable Corporation is principally engaged in the manufacture and distribution of telecommunications (copper and fiber optic) and power cable and enameled wire products in the Asia Pacific region, primarily in Thailand, China, Singapore and Australia. The Company manufactures and distributes its own wire and cable products and also distributes wire and cable products ("Distributed Products") manufactured by its principal shareholder, Pacific Electric Wire & Cable Company, a Taiwanese company ("PEWC"). The Company also provides project engineering services in the supply, delivery and installation ("SDI") of power cables to certain of its customers.. For more information on the Company, visit http://www.apwcc.com. Information on the Company's Web site or any other Web site does not constitute a portion of this release.
Safe Harbor Statement
This release contains certain "forward-looking statements" relating to the Company, its business, and its subsidiary companies. These forward looking statements are often identified by the use of forward-looking terminology such as "believes", "expects" or similar expressions. Such forward looking statements involve known and unknown risks and uncertainties that may cause actual results to be materially different from those described herein as anticipated, believed, estimated or expected. Investors should not place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company's actual results could differ materially from those anticipated in these forward-looking statements as a result of a variety of factors, including those discussed in the Company's periodic reports that are filed with the Securities and Exchange Commission and available on its website (www.sec.gov). All forward-looking statements attributable to the Company or to persons acting on its behalf are expressly qualified in their entirety by these factors other than as required under the securities laws. The Company does not assume a duty to update these forward-looking statements.
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Company Contact: Asia Pacific Wire & Cable Corporation Limited Mr. Frank Tseng, CFO Phone: +886-2-2712-2558 ext. 66 E-mail: frank.tseng@apwcc.com www.apwcc.com |
Investor Relations Contact: CCG Investor Relations Mr. John Harmon, Senior Account Manager Phone: +86-10-6561-6886 Ext. 807 (Beijing) E-mail: john.harmon@ccgir.com |
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ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES |
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CONSOLIDATED BALANCE SHEETS |
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(In thousands of US Dollars, except share data) |
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As of December 31, |
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2010 |
2009 |
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ASSETS |
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Current assets: |
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Cash and cash equivalents |
$63,217 |
$41,534 |
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Restricted short-term bank deposits |
17,422 |
13,145 |
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Accounts receivable, net of allowance for doubtful accounts of $8,694 |
144,454 |
101,849 |
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Amounts due from related parties |
8,246 |
5,664 |
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Inventories, net of allowance for inventories of $3,995 and $2,315 at |
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Distributed products |
639 |
5,295 |
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Finished products |
32,781 |
30,294 |
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Consignment inventory |
3,051 |
1,655 |
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Products in process |
19,108 |
17,318 |
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Raw materials and supplies |
30,401 |
14,485 |
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85,980 |
69,047 |
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Available-for-sale investments |
− |
106 |
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Deferred tax assets |
3,320 |
2,595 |
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Prepaid expenses |
5,514 |
3,928 |
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Other current assets |
1,308 |
1,180 |
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Total current assets |
329,461 |
239,048 |
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Property, plant and equipment: |
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Land |
6,291 |
5,470 |
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Land use rights |
2,999 |
2,936 |
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Buildings |
50,199 |
45,130 |
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Machinery and equipment |
126,906 |
112,188 |
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Motor vehicles |
4,431 |
3,724 |
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Office equipment |
6,915 |
6,451 |
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Construction in progress |
212 |
352 |
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197,953 |
176,251 |
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Accumulated depreciation and amortization |
(154,052) |
(132,611) |
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43,901 |
43,640 |
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Available-for-sale investments |
744 |
580 |
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Investment in equity investees |
3,242 |
3,263 |
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Goodwill |
8,801 |
8,801 |
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Other assets |
97 |
107 |
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Deferred tax assets |
677 |
613 |
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13,561 |
13,364 |
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Total assets |
$386,923 |
$296,052 |
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As of December 31, |
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2010 |
2009 |
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LIABILITIES AND SHAREHOLDERS' EQUITY |
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Current liabilities: |
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Bank loans and overdrafts |
$67,351 |
$37,185 |
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Accounts payable |
41,989 |
33,706 |
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Accrued expenses |
13,197 |
9,244 |
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Amounts due to related parties |
17,140 |
17,487 |
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Short-term loans from the immediate holding company |
1,732 |
1,732 |
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Income tax liabilities |
10,627 |
7,059 |
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Other current liabilities |
6,772 |
5,496 |
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Total current liabilities |
158,808 |
111,909 |
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Other liabilities |
822 |
546 |
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Deferred tax liabilities |
1,581 |
1,005 |
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Total liabilities |
161,211 |
113,460 |
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Commitments and contingencies |
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APWC shareholders' equity: |
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Common stock, $0.01 par value: |
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Authorized shares of 50,000,000 shares was effective on |
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Issued and outstanding shares – 13,830,769 shares |
138 |
138 |
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Additional paid-in capital |
111,541 |
111,541 |
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Retained earnings |
40,229 |
25,908 |
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Accumulated other comprehensive (loss) income |
1,286 |
(10,195) |
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Total APWC shareholders' equity |
153,194 |
127,392 |
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Non-controlling interests |
72,518 |
55,200 |
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Total shareholders' equity |
225,712 |
182,592 |
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Total liabilities and shareholders' equity |
$386,923 |
$296,052 |
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ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES |
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CONSOLIDATED STATEMENTS OF OPERATIONS |
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(In thousands of US Dollars, except share data) |
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Year Ended December 31, |
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2010 |
2009 |
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Net sales |
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Manufactured products (sales to related parties |
$418,623 |
$300,121 |
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Distributed products |
27,107 |
28,102 |
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Sales, delivery and installation of wires and cables |
23,600 |
34,008 |
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469,330 |
362,231 |
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Costs of sales (purchases from related parties |
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Manufactured products |
(360,567) |
(280,085) |
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Distributed products |
(25,691) |
(26,585) |
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Sales, delivery and installation of wires and cables |
(23,358) |
(33,119) |
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Recovery for inventory reserve |
1,974 |
23,949 |
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(407,642) |
(315,840) |
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Gross profit |
61,688 |
46,391 |
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Selling, general and administrative expenses |
(32,511) |
(28,715) |
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Allowance for doubtful accounts |
1,317 |
860 |
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Impairment of long-lived assets |
− |
(77) |
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Income from operations |
30,494 |
18,459 |
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Exchange gain, net |
3,041 |
528 |
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Interest income |
602 |
458 |
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Interest expense |
(2,561) |
(2,597) |
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Share of net loss of equity investees |
(21) |
(40) |
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Impairment of investments |
(346) |
− |
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Gain on liquidation of subsidiaries |
− |
568 |
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Other income, net |
1,069 |
2,196 |
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Income before income taxes |
32,278 |
19,572 |
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Income taxes |
(6,891) |
(5,344) |
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Net income |
25,387 |
14,228 |
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Less: Net income attributable to non-controlling |
(11,247) |
(4,139) |
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Net income attributable to APWC |
$14,140 |
$10,089 |
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Basic and diluted income per share |
$1.02 |
$0.73 |
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Basic and diluted weighted average common shares |
13,830,769 |
13,830,769 |
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ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES |
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CONSOLIDATED STATEMENTS OF CASH FLOW |
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(In thousands of U.S. Dollars, except share data) |
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Year ended December 31, |
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2010 |
2009 |
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Operating activities: |
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Net income |
$14,140 |
$10,089 |
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Adjustments to reconcile net income to net |
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Loss (gain) on disposal of property, plant and equipment |
(93) |
6 |
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Depreciation |
6,857 |
8,941 |
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Deferred income taxes |
(213) |
1,196 |
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Recovery for doubtful accounts |
(1,317) |
(860) |
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Recovery for inventory reserve |
(1,974) |
(23,949) |
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Share of net loss of equity investees |
21 |
40 |
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Impairment of long-lived assets |
– |
77 |
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Impairment of investments |
346 |
– |
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Gain on liquidation of subsidiaries |
– |
(568) |
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Pension liability adjustments |
14 |
(4) |
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Non-controlling interests |
11,247 |
4,139 |
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Foreign currency translation adjustment |
(284) |
623 |
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Changes in operating assets and liabilities |
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Accounts receivable |
(31,779) |
(552) |
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Inventories |
(8,595) |
30,069 |
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Other current assets |
(1,510) |
2,470 |
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Amounts due to related parties |
(4,026) |
(7,303) |
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Other long term assets |
1,165 |
740 |
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Accounts payable, accrued expenses and other liabilities |
13,365 |
(6,747) |
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Net cash provided by (used in) operating activities |
(2,636) |
18,407 |
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Investing activities: |
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Decrease (increase) in restricted short-term bank deposits |
(3,066) |
2,428 |
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Increase in unrestricted short-term bank deposits |
− |
7,756 |
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Purchases of property, plant and equipment |
(3,653) |
(3,260) |
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Proceeds from disposal of property, plant and equipment |
147 |
153 |
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Decrease in investment in equity investee |
− |
800 |
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Net cash provided by (used in) investing activities |
(6,572) |
7,877 |
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Financing activities: |
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Repayments of bank loans |
(19,608) |
(30,733) |
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Proceeds from bank loans |
46,021 |
9,023 |
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Net cash (used in) provided by financing activities |
26,413 |
(21,710) |
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Effect of exchange rate changes on cash and cash equivalents |
4,478 |
(550) |
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Net increase in cash and cash equivalents |
21,683 |
4,024 |
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Cash and cash equivalents at beginning of year |
41,534 |
37,510 |
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Cash and cash equivalents at end of year |
$63,217 |
$41,534 |
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