ST. LOUIS--(BUSINESS WIRE)--Belden Inc. (NYSE: BDC), a global leader in signal transmission solutions for mission-critical applications, today announced that the company is now organized across four global business segments: Industrial Connectivity Solutions, Industrial Information Technology (IT) Solutions, Enterprise Connectivity Solutions, and Broadcast Solutions. These newly defined operating segments are a result of Belden’s purposeful transformation to a global provider of comprehensive signal transmission solutions. Through this new solution-oriented alignment, Belden further strengthens its ability to quickly capitalize on new market opportunities and provide complete connectivity solutions to a growing customer base around the world.
The four operating segments are briefly described below:
Industrial Connectivity Solutions – High-performance industrial cable and connector products that transport mission-critical signals enabling reliable network communication and machine-to-machine connectivity for industrial automation, machine building and automotive production applications. Christoph Gusenleitner now leads this business segment. Gusenleitner was previously EVP, EMEA Operations and Global Connector Products.
Industrial IT Solutions – High-performance, reliable and secure hardware and software systems that address the mission-critical networking demands of the discrete and process automation industries worldwide. This segment is led by Dhrupad Trivedi. Previously, Trivedi served as vice president of Strategy & Corporate Development for Belden.
Enterprise Connectivity Solutions – Efficient network infrastructure systems that transport voice, video and high-speed data in enterprise IT applications for data centers, healthcare, finance, and education markets. Glenn Pennycook enters a new role as leader of Enterprise Connectivity Solutions. Pennycook was previously president of Enterprise Solutions at Belden.
Broadcast Solutions – Advanced hardware, software and connectivity systems for media companies to create, manage and deliver high-quality content around the world. This portfolio of businesses will continue to be managed by Strath Goodship, Dave Jackson, and Jimmy Rayford.
“This announcement marks another key milestone in the transformation of our business. We believe this action highlights our strategic focus on continuing to build leading global businesses with strong financial attributes. Through this, Belden can deliver even more value to our enterprise, industrial and broadcast customers around the world and quickly capitalize on new market opportunities,” said John Stroup, president and CEO of Belden.
“These four new operating segments are directed by experienced Belden leaders that bring with them a wealth of knowledge of their markets, customers, and solutions. This team has served Belden in a variety of senior operating, strategy, and finance related roles and its members are considered by many as industry experts. While we’re excited to begin this next phase of business at Belden, we also must recognize that transitions are often precursors for leadership change as well. Denis Suggs, EVP, Americas Operations & Global Cable Products has decided to pursue opportunities outside of Belden. Denis will continue at Belden through July to allow for an orderly transition. We thank Denis for his solid performance over the past six years, and appreciate the strong team he has assembled. We wish Denis the best in his future endeavors.”
An educational Webcast is available on Belden’s website at http://investor.belden.com. This recorded event, designed with the investor community in mind, provides insight on rationale and our new financial reporting segmentation. In addition, 2012 segment results under our new segment methodology are attached as an appendix and posted on Belden’s Investor Relations website.
There is no impact to Belden consolidated financial results and no adjustment to previously provided financial guidance or strategic goals is intended or implied by this announcement.
Use of Non-GAAP Financial Information
Adjusted results are non-GAAP measures that reflect certain adjustments the Company makes to provide insight into operating results. All GAAP to non-GAAP reconciliations accompany the financial information included in this release and have been published to the investor relations section of the Company’s website at http://investor.belden.com.
About Belden
Belden Inc., a global leader in high quality, end-to-end signal transmission solutions, delivers a comprehensive product portfolio designed to meet the mission-critical network infrastructure needs of industrial, enterprise and broadcast markets. With innovation solutions targeted at reliable and secure transmission of rapidly growing amounts of data, audio and video needed for today's applications, Belden is at the center of the global transformation to a connected world. Founded in 1902, the company is headquartered in St. Louis and has manufacturing capabilities in North and South America, Europe and Asia. For more information, visit us at www.belden.com; follow us on Twitter @BeldenInc.
| BELDEN INC. | |||||||||||||||||||||||||
| OPERATING SEGMENT INFORMATION | |||||||||||||||||||||||||
| (Unaudited) | |||||||||||||||||||||||||
| Three months ended | Year ended | ||||||||||||||||||||||||
| April 1, 2012 | July 1, 2012 | September 30, 2012 | December 31, 2012 | December 31, 2012 | |||||||||||||||||||||
| External customer revenues: | (In thousands) | ||||||||||||||||||||||||
| Industrial Connectivity Solutions | $ | 169,633 | $ | 173,640 | $ | 159,342 | $ | 167,497 | $ | 670,112 | |||||||||||||||
| Industrial IT Solutions | 50,882 | 56,231 | 56,309 | 56,257 | 219,679 | ||||||||||||||||||||
| Enterprise Connectivity Solutions | 124,352 | 129,475 | 128,715 | 114,315 | 496,857 | ||||||||||||||||||||
| Broadcast Solutions | 70,057 | 74,335 | 96,549 | 115,379 | 356,320 | ||||||||||||||||||||
| All other | 24,676 | 24,537 | 24,319 | 24,239 | 97,771 | ||||||||||||||||||||
| Consolidated | $ | 439,600 | $ | 458,218 | $ | 465,234 | $ | 477,687 | $ | 1,840,739 | |||||||||||||||
| Operating income (loss): | |||||||||||||||||||||||||
| Industrial Connectivity Solutions | $ | 18,973 | $ | 26,725 | $ | 7,017 | $ | 19,651 | $ | 72,366 | |||||||||||||||
| Industrial IT Solutions | 5,713 | 9,782 | 8,446 | 8,866 | 32,807 | ||||||||||||||||||||
| Enterprise Connectivity Solutions | 9,752 | 14,284 | 8,311 | 7,709 | 40,056 | ||||||||||||||||||||
| Broadcast Solutions | 1,168 | 2,467 | (11,334 | ) | (3,958 | ) | (11,657 | ) | |||||||||||||||||
| All other | (542 | ) | (1,638 | ) | (27,659 | ) | (2,801 | ) | (32,640 | ) | |||||||||||||||
| Total segments | 35,064 | 51,620 | (15,219 | ) | 29,467 | 100,932 | |||||||||||||||||||
| Eliminations | (679 | ) | (543 | ) | (603 | ) | (314 | ) | (2,139 | ) | |||||||||||||||
| Income from equity method investment | 2,741 | 1,960 | 2,553 | 2,450 | 9,704 | ||||||||||||||||||||
| Consolidated | $ | 37,126 | $ | 53,037 | $ | (13,269 | ) | $ | 31,603 | $ | 108,497 | ||||||||||||||
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| RECONCILIATION OF NON-GAAP MEASURES | ||||||||||||||||||||||||||||||||||||||||||||
| (Unaudited) | ||||||||||||||||||||||||||||||||||||||||||||
| In addition to reporting financial results in accordance with accounting principles generally accepted in the United States, we provide non-GAAP operating results adjusted for certain items including asset impairments, purchase accounting effects related to acquisitions, acquisition and divestiture transaction costs, revenue and cost of sales deferrals, severance and other restructuring costs, gains (losses) recognized on the disposal of businesses and tangible assets, amortization of intangible assets, and other costs. We utilize the adjusted results to review our ongoing operations without the effect of these adjustments and for comparison to budgeted operating results. We believe the adjusted results are useful to investors because they help them compare our results to previous periods and provide important insights into underlying trends in the business and how management oversees our business operations on a day-to-day basis. Adjusted results should be considered only in conjunction with results reported according to accounting principles generally accepted in the United States. | ||||||||||||||||||||||||||||||||||||||||||||
| Three Months Ended April 1, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
|
Industrial Connectivity Solutions |
Industrial IT Solutions
|
Enterprise Connectivity Solutions |
Broadcast Solutions |
All Other | Total Segments | Eliminations |
Income from equity method investment |
Consolidated | ||||||||||||||||||||||||||||||||||||
| (In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||||||||||
| GAAP revenues | $ | 169,633 | $ | 50,882 | $ | 124,352 | $ | 70,057 | $ | 24,676 | $ | 439,600 | $ | - | $ | - | $ | 439,600 | ||||||||||||||||||||||||||
| Deferred revenue adjustments | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||
| Adjusted revenues | $ | 169,633 | $ | 50,882 | $ | 124,352 | $ | 70,057 | $ | 24,676 | $ | 439,600 | $ | - | $ | - | $ | 439,600 | ||||||||||||||||||||||||||
| GAAP operating income (loss) | $ | 18,973 | $ | 5,713 | $ | 9,752 | $ | 1,168 | $ | (542 | ) | $ | 35,064 | $ | (679 | ) | $ | 2,741 | $ | 37,126 | ||||||||||||||||||||||||
| Amortization of intangible assets | 770 | 812 | 122 | 1,029 | 351 | 3,084 | - | - | 3,084 | |||||||||||||||||||||||||||||||||||
| Total operating income adjustments | 770 | 812 | 122 | 1,029 | 351 | 3,084 | - | - | 3,084 | |||||||||||||||||||||||||||||||||||
| Adjusted operating income (loss) | $ | 19,743 | $ | 6,525 | $ | 9,874 | $ | 2,197 | $ | (191 | ) | $ | 38,148 | $ | (679 | ) | $ | 2,741 | $ | 40,210 | ||||||||||||||||||||||||
| Adjusted operating income as a percent of adjusted revenues | 11.6 | % | 12.8 | % | 7.9 | % | 3.1 | % | -0.8 | % | 8.7 | % | 9.1 | % | ||||||||||||||||||||||||||||||
| Three Months Ended July 1, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
|
Industrial Connectivity Solutions |
Industrial IT Solutions |
Enterprise Connectivity Solutions |
Broadcast Solutions |
All Other | Total Segments | Eliminations |
Income from equity method investment |
Consolidated | ||||||||||||||||||||||||||||||||||||
| (In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||||||||||
| GAAP revenues | $ | 173,640 | $ | 56,231 | $ | 129,475 | $ | 74,335 | $ | 24,537 | $ | 458,218 | $ | - | $ | - | $ | 458,218 | ||||||||||||||||||||||||||
| Deferred revenue adjustments | - | - | - | - | - | - | - | - | - | |||||||||||||||||||||||||||||||||||
| Adjusted revenues | $ | 173,640 | $ | 56,231 | $ | 129,475 | $ | 74,335 | $ | 24,537 | $ | 458,218 | $ | - | $ | - | $ | 458,218 | ||||||||||||||||||||||||||
| GAAP operating income (loss) | $ | 26,725 | $ | 9,782 | $ | 14,284 | $ | 2,467 | $ | (1,638 | ) | $ | 51,620 | $ | (543 | ) | $ | 1,960 | $ | 53,037 | ||||||||||||||||||||||||
| Amortization of intangible assets | 354 | 804 | 152 | 1,003 | 102 | 2,415 | - | - | 2,415 | |||||||||||||||||||||||||||||||||||
| Total operating income adjustments | 354 | 804 | 152 | 1,003 | 102 | 2,415 | - | - | 2,415 | |||||||||||||||||||||||||||||||||||
| Adjusted operating income (loss) | $ | 27,079 | $ | 10,586 | $ | 14,436 | $ | 3,470 | $ | (1,536 | ) | $ | 54,035 | $ | (543 | ) | $ | 1,960 | $ | 55,452 | ||||||||||||||||||||||||
| Adjusted operating income as a percent of adjusted revenues | 15.6 | % | 18.8 | % | 11.1 | % | 4.7 | % | -6.3 | % | 11.8 | % | 12.1 | % | ||||||||||||||||||||||||||||||
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BELDEN INC. |
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| Three Months Ended September 30, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
|
Industrial Connectivity Solutions |
Industrial IT Solutions |
Enterprise Connectivity Solutions |
Broadcast Solutions |
All Other | Total Segments | Eliminations |
Income from equity method investment |
Consolidated | ||||||||||||||||||||||||||||||||||||
| (In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||||||||||
| GAAP revenues | $ | 159,342 | $ | 56,309 | $ | 128,715 | $ | 96,549 | $ | 24,319 | $ | 465,234 | $ | - | $ | - | $ | 465,234 | ||||||||||||||||||||||||||
| Deferred revenue adjustments | - | - | - | 1,080 | - | 1,080 | - | - | 1,080 | |||||||||||||||||||||||||||||||||||
| Purchase accounting effects related to acquisitions | - | - | - | 1,710 | - | 1,710 | - | - | 1,710 | |||||||||||||||||||||||||||||||||||
| Adjusted revenues | $ | 159,342 | $ | 56,309 | $ | 128,715 | $ | 99,339 | $ | 24,319 | $ | 468,024 | $ | - | $ | - | $ | 468,024 | ||||||||||||||||||||||||||
| GAAP operating income (loss) | $ | 7,017 | $ | 8,446 | $ | 8,311 | $ | (11,334 | ) | $ | (27,659 | ) | $ | (15,219 | ) | $ | (603 | ) | $ | 2,553 | $ | (13,269 | ) | |||||||||||||||||||||
| Asset impairment | 2,435 | - | 1,468 | - | 26,001 | 29,904 | - | - | 29,904 | |||||||||||||||||||||||||||||||||||
| Severance and other restructuring costs | 9,150 | 515 | 3,217 | 4,378 | 167 | 17,427 | - | - | 17,427 | |||||||||||||||||||||||||||||||||||
| Purchase accounting effects related to acquisitions | 826 | 436 | 597 | 9,360 | - | 11,219 | - | - | 11,219 | |||||||||||||||||||||||||||||||||||
| Amortization of intangible assets | 270 | 800 | 123 | 6,353 | 100 | 7,646 | - | - | 7,646 | |||||||||||||||||||||||||||||||||||
| Deferred gross profit adjustments | - | - | - | 864 | - | 864 | - | - | 864 | |||||||||||||||||||||||||||||||||||
| Total operating income adjustments | 12,681 | 1,751 | 5,405 | 20,955 | 26,268 | 67,060 | - | - | 67,060 | |||||||||||||||||||||||||||||||||||
| Adjusted operating income (loss) | $ | 19,698 | $ | 10,197 | $ | 13,716 | $ | 9,621 | $ | (1,391 | ) | $ | 51,841 | $ | (603 | ) | $ | 2,553 | $ | 53,791 | ||||||||||||||||||||||||
| Adjusted operating income as a percent of adjusted revenues | 12.4 | % | 18.1 | % | 10.7 | % | 9.7 | % | -5.7 | % | 11.1 | % | 11.5 | % | ||||||||||||||||||||||||||||||
| Three Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
|
Industrial Connectivity Solutions |
Industrial IT Solutions |
Enterprise Connectivity Solutions |
Broadcast Solutions |
All Other |
Total Segments |
Eliminations |
Income from equity method investment |
Consolidated | ||||||||||||||||||||||||||||||||||||
| (In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||||||||||
| GAAP revenues | $ | 167,497 | $ | 56,257 | $ | 114,315 | $ | 115,379 | $ | 24,239 | $ | 477,687 | $ | - | $ | - | $ | 477,687 | ||||||||||||||||||||||||||
| Deferred revenue adjustments | - | - | - | 3,482 | - | 3,482 | - | - | 3,482 | |||||||||||||||||||||||||||||||||||
| Adjusted revenues | $ | 167,497 | $ | 56,257 | $ | 114,315 | $ | 118,861 | $ | 24,239 | $ | 481,169 | $ | - | $ | - | $ | 481,169 | ||||||||||||||||||||||||||
| GAAP operating income (loss) | $ | 19,651 | $ | 8,866 | $ | 7,709 | $ | (3,958 | ) | $ | (2,801 | ) | $ | 29,467 | $ | (314 | ) | $ | 2,450 | $ | 31,603 | |||||||||||||||||||||||
| Asset impairment | - | - | - | - | 3,772 | 3,772 | - | - | 3,772 | |||||||||||||||||||||||||||||||||||
| Severance and other restructuring costs | - | - | - | 500 | - | 500 | - | - | 500 | |||||||||||||||||||||||||||||||||||
| Purchase accounting effects related to acquisitions | 158 | 103 | 178 | 7,124 | - | 7,563 | - | - | 7,563 | |||||||||||||||||||||||||||||||||||
| Amortization of intangible assets | 271 | 749 | 189 | 8,438 | - | 9,647 | - | - | 9,647 | |||||||||||||||||||||||||||||||||||
| Deferred gross profit adjustments | - | - | - | 2,038 | - | 2,038 | - | - | 2,038 | |||||||||||||||||||||||||||||||||||
| Total operating income adjustments | 429 | 852 | 367 | 18,100 | 3,772 | 23,520 | - | - | 23,520 | |||||||||||||||||||||||||||||||||||
| Adjusted operating income (loss) | $ | 20,080 | $ | 9,718 | $ | 8,076 | $ | 14,142 | $ | 971 | $ | 52,987 | $ | (314 | ) | $ | 2,450 | $ | 55,123 | |||||||||||||||||||||||||
| Adjusted operating income as a percent of adjusted revenues | 12.0 | % | 17.3 | % | 7.1 | % | 11.9 | % | 4.0 | % | 11.0 | % | 11.5 | % | ||||||||||||||||||||||||||||||
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BELDEN INC. |
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| Twelve Months Ended December 31, 2012 | ||||||||||||||||||||||||||||||||||||||||||||
|
Industrial Connectivity Solutions |
Industrial IT Solutions |
Enterprise Connectivity Solutions |
Broadcast Solutions |
All Other | Total Segments | Eliminations |
Income from equity method investment |
Consolidated | ||||||||||||||||||||||||||||||||||||
| (In thousands, except percentages) | ||||||||||||||||||||||||||||||||||||||||||||
| GAAP revenues | $ | 670,112 | $ | 219,679 | $ | 496,857 | $ | 356,320 | $ | 97,771 | $ | 1,840,739 | $ | - | $ | - | $ | 1,840,739 | ||||||||||||||||||||||||||
| Deferred revenue adjustments | - | - | - | 6,272 | - | 6,272 | - | - | 6,272 | |||||||||||||||||||||||||||||||||||
| Adjusted revenues | $ | 670,112 | $ | 219,679 | $ | 496,857 | $ | 362,592 | $ | 97,771 | $ | 1,847,011 | $ | - | $ | - | $ | 1,847,011 | ||||||||||||||||||||||||||
| GAAP operating income (loss) | $ | 72,366 | $ | 32,807 | $ | 40,056 | $ | (11,657 | ) | $ | (32,640 | ) | $ | 100,932 | $ | (2,139 | ) | $ | 9,704 | $ | 108,497 | |||||||||||||||||||||||
| Asset impairment | 2,435 | - | 1,468 | - | 29,773 | 33,676 | - | - | 33,676 | |||||||||||||||||||||||||||||||||||
| Severance and other restructuring costs | 9,150 | 515 | 3,217 | 4,878 | 167 | 17,927 | - | - | 17,927 | |||||||||||||||||||||||||||||||||||
| Purchase accounting effects related to acquisitions | 984 | 539 | 775 | 16,484 | - | 18,782 | - | - | 18,782 | |||||||||||||||||||||||||||||||||||
| Amortization of intangible assets | 1,665 | 3,165 | 586 | 16,823 | 553 | 22,792 | - | - | 22,792 | |||||||||||||||||||||||||||||||||||
| Deferred gross profit adjustments | - | - | - | 2,902 | - | 2,902 | - | - | 2,902 | |||||||||||||||||||||||||||||||||||
| Total operating income adjustments | 14,234 | 4,219 | 6,046 | 41,087 | 30,493 | 96,079 | - | - | 96,079 | |||||||||||||||||||||||||||||||||||
| Adjusted operating income (loss) | $ | 86,600 | $ | 37,026 | $ | 46,102 | $ | 29,430 | $ | (2,147 | ) | $ | 197,011 | $ | (2,139 | ) | $ | 9,704 | $ | 204,576 | ||||||||||||||||||||||||
| Adjusted operating income as a percent of adjusted revenues | 12.9 | % | 16.9 | % | 9.3 | % | 8.1 | % | -2.2 | % | 10.7 | % | 11.1 | % | ||||||||||||||||||||||||||||||