PETACH-TIKVA, Israel,
Aug. 14, 2017 /PRNewswire/ -- Eltek
Ltd. (NASDAQ: ELTK), a global manufacturer and supplier of
technologically advanced solutions in the field of printed circuit
boards, announced today its financial results for the quarter ended
June 30, 2017.
Mr. Yitzhak Nissan,
Chairman of the Board and Chief Executive Officer, commented:
"Our sales in the second quarter were $7.5 million, 14.6% lower than the
second quarter of 2016, excluding Kubatronik. The decrease was
primarily attributable to the continued competition in the local
market and weakness in our global operations.
The Company is vigorously continuing the implementation of
efficiency measures to its operating systems, which now support a
higher sales rate relative to the rate prior to such
implementation. Furthermore, the market is indicating a positive
momentum with an increase in the frequency of incoming orders
beginning this July. This increase includes a significant order
from a governmental authority that we announced on July 24, 2017.
As previously released, we have enhanced our marketing and sales
forces in Israel, Europe and the
United States, alongside our efforts made to streamline
expenses.
We are determined to bring the Company back to profitability in
the near future. I believe that our actions to date, along with the
renewal of manufacturing equipment that we are currently
implementing, will assist us to reach these goals quickly and
efficiently.
"When comparing the results to the second quarter and the
first six months of 2017, please note that the operations of
Kubatronik Leiterplatten GmbH were included in Eltek's results
during the comparable period in 2016. Therefore, selected financial
information is also presented on a proforma basis, excluding
Kubatronik's results in 2016 (first six months and
second quarter)," Mr. Nissan concluded.
Highlights of the Second Quarter of 2017
- Revenues for the second quarter of 2017 were
$7.5 million compared to $9.9 million in the second quarter of 2016
($8.8 million excluding
Kubatronik);
- Gross profit was $134,000
(1.8% of revenues) compared to gross profit of $1.5 million (14.8% of revenues) in the second
quarter of 2016 ($1.4 million or
16.3% of revenues excluding Kubatronik); The decrease in gross
profit and gross profit margins reflects the decreased sales, while
a significant portion of our cost of sales remained constant.
- Operating loss was $1
million compared to operating profit of $244,000 in the second quarter of 2016
($373,000 excluding Kubatronik);
- Net loss was $1.1 million
or $0.11 per fully diluted share
compared to net profit of $213,000 or
$0.02 per fully diluted share in the
second quarter of 2016 ($327,000 or
$0.03 per fully diluted share
excluding Kubatronik);.
- EBITDA amounted to $(583,000) compared to EBITDA of $754,000 in the second quarter of 2016
($809,000 excluding Kubatronik);
- Net cash used by operating activities amounted to
$516,000 compared to net cash used by
operating activities of $37,000 in
the second quarter of 2016. The decline is mainly attributable to
the operating results in this quarter.
- Cash and cash equivalents as of June 30, 2017 were $792,000 compared to $894,000 as of June 30,
2016.
Highlights for the First Six Months of 2017
- Revenues for the first six months of 2017 were
$16 million compared to $19.7 million in the first six months of 2016
($17.4 million excluding
Kubatronik);
- Gross profit was $619,000
(3.9% of revenues) compared to gross profit of $2.4 million (12.2% of revenues) in the first six
months of 2016 ($2.2 million or 12.5%
of revenues excluding Kubatronik);
- Operating loss was $1.6
million compared to operating loss of $49,000 in the first six months of 2016
($31,000 profit excluding
Kubatronik);
- Net loss was $1.9 million,
or $0.19 per fully diluted share
compared to net loss of $171,000, or
$0.02 per fully diluted share in the
first six months of 2016 ($82,000 or
$0.01 per fully diluted share
excluding Kubatronik);
- EBITDA amounted to $(794,000) compared to EBITDA of $921,000 in the first six months of 2016
($871,000 excluding Kubatronik);
- Net cash used by operating activities amounted to
$1.3 million compared to net cash
provided by operating activities of $853,000 in the first six months of 2016. The
decline is mainly attributable to the operating results in this
period.
Conference Call
Today, Monday August 14, 2017 at
9:30 a.m. Eastern Time, Eltek will
conduct a conference call to discuss the results. The call will
feature remarks by Yitzhak Nissan,
Chairman of the Board of Directors and Chief Executive Officer,
Roberto Tulman, Deputy CEO and Chief
Technology Officer and Amnon Shemer,
Chief Financial Officer.
To participate, please call the following teleconference
numbers. Please allow for additional time to connect prior to the
call:
United States:
1-888-668-9141
Israel:
03-9180610
International:
+972-3-9180610
At:
9:30 a.m. Eastern Time
6:30 a.m. Pacific Time
16:30 p.m. Israel Time
A replay of the call will be available through the Investor Info
section on Eltek's corporate website at www.nisteceltek.com
approximately 24 hours after the conference call is completed and
will be archived for 30 days.
(Tables follow)
Eltek
Ltd.
|
Consolidated
Statements of Operations
|
(In thousands US$,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Six months
ended
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
Revenues
|
|
7,492
|
|
9,904
|
|
15,960
|
|
19,705
|
|
Costs of
revenues
|
|
(7,358)
|
|
(8,442)
|
|
(15,341)
|
|
(17,305)
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
134
|
|
1,462
|
|
619
|
|
2,400
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
(1,138)
|
|
(1,186)
|
|
(2,233)
|
|
(2,384)
|
|
|
|
|
|
|
|
|
|
|
|
R&D expenses,
net
|
|
(15)
|
|
(32)
|
|
(34)
|
|
(64)
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit
(loss)
|
|
(1,019)
|
|
244
|
|
(1,649)
|
|
(49)
|
|
|
|
|
|
|
|
|
|
|
|
Financial expenses,
net
|
|
(41)
|
|
(37)
|
|
(218)
|
|
(98)
|
|
|
|
|
|
|
|
|
|
|
|
Profit (loss)
before other income, net
|
|
(1,060)
|
|
207
|
|
(1,867)
|
|
(146)
|
|
|
|
|
|
|
|
|
|
|
|
Other income,
net
|
|
0
|
|
(0)
|
|
15
|
|
0
|
|
|
|
|
|
|
|
|
|
|
|
Profit (loss)
before income tax expenses
|
|
(1,060)
|
|
207
|
|
(1,852)
|
|
(146)
|
|
|
|
|
|
|
|
|
|
|
|
Tax
expenses
|
|
(27)
|
|
(25)
|
|
(50)
|
|
(48)
|
|
|
|
|
|
|
|
|
|
|
|
Net Profit
(loss)
|
|
(1,087)
|
|
182
|
|
(1,901)
|
|
(194)
|
|
|
|
|
|
|
|
|
|
|
|
Net loss attributable
to non controlling interest
|
|
0
|
|
(31)
|
|
0
|
|
(23)
|
|
|
|
|
|
|
|
|
|
|
|
Net Profit (loss)
attributable to Eltek Ltd.
|
|
(1,087)
|
|
213
|
|
(1,901)
|
|
(171)
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
share
|
|
|
|
|
|
|
|
|
|
Basic and diluted net
gain (loss) per ordinary share
|
|
(0.11)
|
|
0.02
|
|
(0.19)
|
|
(0.02)
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary shares
|
|
|
|
|
|
|
|
|
|
used to compute basic
and diluted net gain (loss) per
|
|
|
|
|
|
|
|
|
|
ordinary share (in
thousands)
|
|
10,143
|
|
10,143
|
|
10,143
|
|
10,143
|
|
Eltek
Ltd.
|
Consolidated
Balance Sheets
|
(In thousands
US$)
|
|
|
|
|
|
|
|
|
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
|
|
|
|
2017
|
|
2016
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
792
|
|
894
|
|
|
|
|
|
Receivables: Trade, net of provision for
doubtful accounts
|
|
6,097
|
|
7,548
|
|
|
|
|
|
Other
|
|
171
|
|
222
|
|
|
|
|
|
Inventories
|
|
4,305
|
|
4,618
|
|
|
|
|
|
Prepaid
expenses
|
|
394
|
|
227
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
assets
|
|
11,759
|
|
13,509
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred
taxes
|
|
0
|
|
1,066
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets held for
employees' severance benefits
|
|
55
|
|
49
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed assets, less
accumulated depreciation
|
|
8,966
|
|
9,747
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intangible
asset
|
|
355
|
|
301
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
21,135
|
|
24,672
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Shareholder's equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
|
|
Short-term credit and
current maturities of long-term debts
|
|
4,570
|
|
1,373
|
|
|
|
|
|
Accounts payable:
Trade
|
|
5,382
|
|
5,778
|
|
|
|
|
|
Other
|
|
4,008
|
|
4,611
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
13,960
|
|
11,762
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-term
liabilities
|
|
|
|
|
|
|
|
|
|
Long term debt,
excluding current maturities
|
|
1,692
|
|
2,423
|
|
|
|
|
|
Employee severance
benefits
|
|
157
|
|
296
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total long-term
liabilities
|
|
1,849
|
|
2,719
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
|
|
Ordinary shares, NIS
0.6 par value authorized 50,000,000 shares, issued and
outstanding 10,142,762
|
|
1,985
|
|
1,985
|
|
|
|
|
|
Additional paid-in
capital
|
|
17,270
|
|
17,270
|
|
|
|
|
|
Cumulative foreign
currency translation adjustments
|
|
2,408
|
|
2,037
|
|
|
|
|
|
Capital
reserve
|
|
695
|
|
695
|
|
|
|
|
|
Accumulated
deficit
|
|
(17,032)
|
|
(11,679)
|
|
|
|
|
|
Shareholders'
equity
|
|
5,326
|
|
10,308
|
|
|
|
|
|
Non controlling
interest
|
|
0
|
|
(117)
|
|
|
|
|
|
Total
equity
|
|
5,326
|
|
10,191
|
|
|
|
|
|
Total liabilities
and shareholders' equity
|
|
21,135
|
|
24,672
|
|
|
|
|
|
Eltek
Ltd.
|
Unaudited Non-GAAP
EBITDA Reconciliations
|
(In thousands
US$)
|
|
|
|
|
|
|
|
|
|
|
Non-GAAP EBITDA
Reconciliations
|
|
Three months
ended
|
|
Six months
ended
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
GAAP net Income
(loss)
|
|
(1,087)
|
|
213
|
|
(1,901)
|
|
(171)
|
|
Add back
items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial expenses
(income), net
|
|
41
|
|
37
|
|
218
|
|
98
|
|
Income tax
expense
|
|
27
|
|
25
|
|
50
|
|
48
|
|
Depreciation and
amortization
|
|
436
|
|
479
|
|
840
|
|
946
|
|
Adjusted
EBITDA
|
|
(583)
|
|
754
|
|
(794)
|
|
921
|
|
Eltek
Ltd.
|
Consolidated
Statement of Cash flow
|
(In thousands US$,
except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Six months
ended
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Income
(loss)
|
|
(1,087)
|
|
182
|
|
(1,901)
|
|
(194)
|
|
|
|
|
|
|
|
-
|
|
|
|
Adjustments to
reconcile net loss to net
|
|
|
|
|
|
-
|
|
|
|
cash flows
provided by operating activities:
|
|
|
|
|
|
-
|
|
|
|
Depreciation and
amortization
|
|
436
|
|
479
|
|
852
|
|
946
|
|
Capital lose on
disposal of fixed assets, net
|
|
-
|
|
-
|
|
(13)
|
|
-
|
|
Revaluation of long
term loans
|
|
-
|
|
-
|
|
(0)
|
|
1
|
|
Decrease (increase)
in Deferred Tax
|
|
(12)
|
|
7
|
|
3
|
|
14
|
|
|
|
424
|
|
487
|
|
842
|
|
961
|
|
|
|
|
|
|
|
|
|
|
|
Decrease (increase)
in trade receivables
|
|
1,152
|
|
(15)
|
|
209
|
|
575
|
|
Decrease (increase)
in other receivables and prepaid expenses
|
|
(122)
|
|
(17)
|
|
(64)
|
|
18
|
|
Decrease (increase)
in inventories
|
|
(154)
|
|
(232)
|
|
6
|
|
(106)
|
|
Increase (decrease)
in trade payables
|
|
(735)
|
|
(435)
|
|
(206)
|
|
(354)
|
|
Increase (decrease)
in other liabilities and accrued expenses
|
|
7
|
|
(11)
|
|
(176)
|
|
(49)
|
|
Increase (decrease)
in employee severance benefits, net
|
|
(1)
|
|
5
|
|
(2)
|
|
3
|
|
|
|
147
|
|
(706)
|
|
(233)
|
|
86
|
|
|
|
|
|
|
|
|
|
|
|
Net cash provided
by operating activities
|
|
(516)
|
|
(37)
|
|
(1,292)
|
|
853
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Six months
ended
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
2017
|
|
2016
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
|
|
Owners
investment
|
|
|
|
|
|
|
|
|
|
Purchase of fixed
assets
|
|
(70)
|
|
(238)
|
|
(161)
|
|
(330)
|
|
Purchase of
Intangible asset
|
|
-
|
|
(14)
|
|
-
|
|
(21)
|
|
Net cash used in
investing activities
|
|
(70)
|
|
(251)
|
|
(161)
|
|
(351)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
|
|
Increase (decrease)
in short- term credit
|
|
(1,020)
|
|
577
|
|
(161)
|
|
91
|
|
Increase (decrease)
in short- term shareholder loan
|
|
1,430
|
|
-
|
|
1,430
|
|
-
|
|
Repayment of
long-term loans from bank
|
|
(207)
|
|
(175)
|
|
(407)
|
|
(330)
|
|
Proceeds from
long-term loans
|
|
131
|
|
-
|
|
167
|
|
-
|
|
Repayment of credit
from fixed asset payables
|
|
(24)
|
|
(137)
|
|
(129)
|
|
(394)
|
|
Net cash provided
by (used in) financing activities
|
|
309
|
|
265
|
|
901
|
|
(634)
|
|
|
|
|
|
|
|
|
|
|
|
Effect of
translation adjustments
|
|
316
|
|
(20)
|
|
111
|
|
(12)
|
|
|
|
|
|
|
|
|
|
|
|
Net increase
(decrease) in cash and cash equivalents
|
|
(237)
|
|
(44)
|
|
(441)
|
|
(144)
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at beginning of the period
|
|
1,029
|
|
938
|
|
1,234
|
|
1,038
|
|
|
|
|
|
|
|
-
|
|
-
|
|
Cash and cash
equivalents at period end
|
|
792
|
|
894
|
|
792
|
|
894
|
|
|
|
792
|
|
894
|
|
792
|
|
894
|
|
Eltek
ltd.
|
Proforma
(Non-GAAP) Statements of Operations
|
(In thousands US$,
except per share data)
|
Excluding
Kubatronik's operation in 2016
|
|
|
|
Solo
|
|
Solo
|
|
|
|
Three months
ended
|
|
Six months
ended
|
|
|
|
June
30,
|
|
June
30,
|
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
Unaudited
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
|
7,492
|
|
8,777
|
|
15,960
|
|
17,370
|
|
Costs of
revenues
|
|
(7,358)
|
|
(7,347)
|
|
(15,341)
|
|
(15,206)
|
|
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
134
|
|
1,431
|
|
619
|
|
2,165
|
|
|
|
|
|
|
|
|
|
|
|
Research and
development income, net
|
|
(15)
|
|
(32)
|
|
(34)
|
|
(64)
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
(1,138)
|
|
(1,026)
|
|
(2,233)
|
|
(2,070)
|
|
|
|
|
|
|
|
|
|
|
|
Operating profit
(loss)
|
|
(1,019)
|
|
373
|
|
(1,649)
|
|
31
|
|
|
|
|
|
|
|
|
|
|
|
Financial expenses,
net
|
|
(41)
|
|
(21)
|
|
(218)
|
|
(65)
|
|
|
|
|
|
|
|
|
|
|
|
Profit (loss)
before other income, net
|
|
(1,060)
|
|
352
|
|
(1,867)
|
|
(34)
|
|
|
|
|
|
|
|
|
|
|
|
Other income,
net
|
|
0
|
|
0
|
|
15
|
|
0
|
|
|
|
|
|
|
|
|
|
|
|
Profit (loss)
before income tax expenses
|
|
(1,060)
|
|
352
|
|
(1,852)
|
|
(34)
|
|
|
|
|
|
|
|
|
|
|
|
Income tax
(expenses), net
|
|
(27)
|
|
(25)
|
|
(50)
|
|
(48)
|
|
|
|
|
|
|
|
|
|
|
|
Net Profit
(loss)
|
|
(1,087)
|
|
327
|
|
(1,901)
|
|
(82)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted net loss per
ordinary share
|
|
(0.11)
|
|
0.03
|
|
(0.19)
|
|
(0.01)
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of ordinary shares
|
|
|
|
|
|
|
|
|
|
used to compute
diluted net loss per
|
|
|
|
|
|
|
|
|
|
ordinary share (in
thousands)
|
|
10,143
|
|
10,143
|
|
10,143
|
|
10,143
|
|
Eltek
ltd.
|
Proforma
(Non-GAAP) Balance Sheets
|
(In thousands
US$)
|
Excluding
Kubatronik's operation in 2016
|
|
|
|
June
30,
|
|
|
|
|
|
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
Unaudited
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
792
|
|
891
|
|
|
|
|
|
Receivables: Trade, net of provision for
doubtful accounts
|
|
6,097
|
|
7,108
|
|
|
|
|
|
Other
|
|
171
|
|
1,287
|
|
|
|
|
|
Inventories
|
|
4,305
|
|
4,324
|
|
|
|
|
|
Prepaid
expenses
|
|
394
|
|
227
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
assets
|
|
11,759
|
|
13,837
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Deferred
taxes
|
|
0
|
|
1,066
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Assets held for
employees' severance benefits
|
|
55
|
|
49
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fixed assets, less
accumulated depreciation
|
|
8,966
|
|
9,118
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
|
|
|
|
(440)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Intangible
asset
|
|
355
|
|
301
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
assets
|
|
21,135
|
|
23,931
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Liabilities and
Shareholder's equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
|
|
|
|
Short-term credit and
current maturities of long-term debts
|
|
4,570
|
|
1,373
|
|
|
|
|
|
Accounts payable:
Trade
|
|
5,382
|
|
5,366
|
|
|
|
|
|
Other
|
|
4,008
|
|
4,403
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total current
liabilities
|
|
13,960
|
|
11,142
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Long-term
liabilities
|
|
|
|
|
|
|
|
|
|
Long term debt,
excluding current maturities
|
|
1,692
|
|
2,236
|
|
|
|
|
|
Employee severance
benefits
|
|
157
|
|
246
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total long-term
liabilities
|
|
1,849
|
|
2,482
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
|
|
|
|
|
|
|
|
|
|
Ordinary shares, NIS
0.6 par value authorized 50,000,000 shares, issued and
outstanding 6,610,107 as of December 31, 2011.
|
|
1,985
|
|
1,985
|
|
|
|
|
|
Additional paid-in
capital
|
|
17,270
|
|
17,270
|
|
|
|
|
|
Cumulative foreign
currency translation adjustments
|
|
2,408
|
|
2,036
|
|
|
|
|
|
Capital
reserve
|
|
695
|
|
695
|
|
|
|
|
|
Accumulated
deficit
|
|
(17,032)
|
|
(11,679)
|
|
|
|
|
|
Shareholders'
equity
|
|
5,326
|
|
10,307
|
|
|
|
|
|
Non controlling
interest
|
|
0
|
|
0
|
|
|
|
|
|
Total
equity
|
|
5,326
|
|
10,307
|
|
|
|
|
|
Total liabilities
and shareholders' equity
|
|
21,135
|
|
23,931
|
|
|
|
|
|
Eltek
Ltd.
|
Proforma Unaudited
Non-GAAP EBITDA Reconciliations
|
(In thousands
US$)
|
Excluding
Kubatronik's operation in 2016
|
|
Non-GAAP EBITDA
Reconciliations
|
|
Three months
ended
|
|
six months
ended
|
|
|
June
30,
|
|
June
30,
|
|
June
30,
|
|
June
30,
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|
GAAP net Income
(loss)
|
|
(1,087)
|
|
327
|
|
(1,901)
|
|
(82)
|
Add back
items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financial expenses
(income), net
|
|
41
|
|
21
|
|
218
|
|
65
|
Income tax
expense
|
|
27
|
|
25
|
|
50
|
|
48
|
Depreciation and
amortization
|
|
436
|
|
436
|
|
840
|
|
840
|
Adjusted
EBITDA
|
|
(583)
|
|
809
|
|
(794)
|
|
871
|
Eltek
Ltd.
|
Consolidated
Statement of Cash flow
|
(In thousands US$,
except per share data)
|
Excluding
Kubatronik's operation in 2016
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Six months
ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2017
|
|
2016
|
|
2017
|
|
2016
|
|
|
|
|
|
|
|
|
|
Cash flows from
operating activities:
|
|
|
|
|
|
|
|
|
Net Income
(loss)
|
|
(1,087)
|
|
213
|
|
(1,901)
|
|
(171)
|
|
|
|
|
|
|
|
|
|
Adjustments to
reconcile net loss to net
|
|
|
|
|
|
|
|
|
cash flows
provided by operating activities:
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
436
|
|
441
|
|
852
|
|
870
|
Capital lose on
disposal of fixed assets, net
|
|
-
|
|
|
|
(13)
|
|
-
|
Revaluation of long
term loans
|
|
-
|
|
7
|
|
(0)
|
|
14
|
Decrease (increase)
in Deferred Tax
|
|
(12)
|
|
-
|
|
3
|
|
1
|
Impairment of
goodwill
|
|
-
|
|
111
|
|
-
|
|
85
|
|
|
424
|
|
559
|
|
842
|
|
971
|
|
|
|
|
|
|
|
|
|
Decrease (increase)
in trade receivables
|
|
1,152
|
|
(38)
|
|
209
|
|
662
|
Decrease (increase)
in other receivables and prepaid expenses
|
(122)
|
|
(4)
|
|
(64)
|
|
10
|
Decrease (increase)
in inventories
|
|
(154)
|
|
(303)
|
|
6
|
|
(154)
|
Increase (decrease)
in trade payables
|
|
(735)
|
|
(440)
|
|
(206)
|
|
(448)
|
Increase (decrease)
in other liabilities and accrued expenses
|
7
|
|
(7)
|
|
(176)
|
|
(82)
|
Increase (decrease)
in employee severance benefits, net
|
|
(1)
|
|
4
|
|
(2)
|
|
4
|
|
|
147
|
|
(789)
|
|
(233)
|
|
(8)
|
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities
|
|
(516)
|
|
(17)
|
|
(1,292)
|
|
792
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months
ended
|
|
Six months
ended
|
|
|
June
30,
|
|
June
30,
|
|
|
2017
|
|
2016
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
Cash flows from
investing activities:
|
|
|
|
|
|
|
|
|
Owners
investment
|
|
|
|
|
|
|
|
|
Purchase of fixed
assets
|
|
(70)
|
|
(235)
|
|
(161)
|
|
(335)
|
Purchase of
Intangible asset
|
|
-
|
|
-
|
|
-
|
|
-
|
Purchase of
Intangible asset
|
|
-
|
|
(14)
|
|
-
|
|
(21)
|
Net cash used in
investing activities
|
|
(70)
|
|
(249)
|
|
(161)
|
|
(356)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
|
|
|
|
|
|
Increase (decrease)
in short- term credit
|
|
(1,020)
|
|
577
|
|
(161)
|
|
91
|
Increase (decrease)
in short- term shareholder loan
|
|
1,430
|
|
-
|
|
1,430
|
|
-
|
Repayment of
long-term loans from bank
|
|
(207)
|
|
(175)
|
|
(407)
|
|
(330)
|
Proceeds from
long-term loans
|
|
131
|
|
-
|
|
167
|
|
-
|
Repayment of credit
from fixed asset payables
|
|
(24)
|
|
(100)
|
|
(129)
|
|
(324)
|
Net cash provided by
(used in) financing activities
|
|
309
|
|
301
|
|
901
|
|
(564)
|
|
|
|
|
|
|
|
|
|
Effect of translation
adjustments
|
|
316
|
|
(17)
|
|
111
|
|
21
|
|
|
|
|
|
|
|
|
|
Net increase
(decrease) in cash and cash equivalents
|
|
(237)
|
|
18
|
|
(441)
|
|
(107)
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at beginning of the period
|
|
1,029
|
|
872
|
|
1,234
|
|
998
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at period end
|
|
792
|
|
891
|
|
792
|
|
891
|
About Eltek
Eltek – "Innovation across the board", is a global manufacturer
and supplier of technologically advanced solutions in the field of
Printed Circuit Boards, and is the Israeli leader in this industry.
PCBs are the core circuitry of most electronic devices. Eltek
specializes in the manufacture and supply of complex and high
quality PCBs, HDI, multilayered and flex-rigid boards for the
high-end market. Eltek has ITAR, AS-9100 and NADCAP Electronics
permits and its customers include top-of-the-line companies in the
defense, aerospace and medical industries in Israel, the United
States, Europe and
Asia.
Eltek was founded in 1970. The Company's headquarters, and
R&D, production and marketing center are located in
Israel. Eltek also operates
through its subsidiaries, Eltek USA (100%) in North
America and Kubatronik (79%) in Europe, and by agents and distributors in
Europe, India, South
Africa and South
America.
For additional information, visit Eltek's web site at
www.nisteceltek.com.
Use of Non-GAAP Financial Information
The Company reports financial results in accordance with U.S.
GAAP and includes some non-GAAP measures, such as EBITDA and
proforma financial information. These non-GAAP measures are not in
accordance with, nor are they a substitute for, GAAP measures. The
non-GAAP measures are intended to supplement the Company's
presentation of its financial results that are prepared in
accordance with GAAP. The Company uses EBITDA to evaluate and
manage its internal operations and is also providing this
information to assist investors in performing additional financial
analysis. Reconciliation between the Company's results on a GAAP
and non-GAAP basis is provided in a table below.
Forward Looking Statement:
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.
Investor Contact:
Amnon Shemer
Chief Financial Officer
amnons@nisteceltek.com
+972-3-9395023
View original
content:http://www.prnewswire.com/news-releases/eltek-reports-2017-second-quarter-financial-results-300503652.html
SOURCE Eltek Ltd.