OREANDA-NEWS. Belden Inc. (NYSE: BDC), a global leader in high quality, end-to-end signal transmission solutions for mission-critical applications, today reported fiscal fourth quarter and full year 2015 results for the period ended December 31, 2015.

Fourth Quarter 2015 Highlights

  • Delivered GAAP fourth quarter revenues of $597.2 million, and adjusted fourth quarter revenues of $602.5 million;
  • Expanded adjusted gross profit margins to a record 43.1%, up 570 basis points from 37.4% in the year-ago period;
  • Generated record adjusted EBITDA of $114.6 million, an improvement of 14.9% year over year, representing 19.0% of revenue in the quarter;
  • Achieved record adjusted EPS of $1.63 in the quarter, increasing more than 31% from the prior year period; and
  • Paid down $150 million of long-term debt during the period.

Full Year 2015 Highlights

  • Achieved record GAAP revenues of $2.31 billion and record adjusted revenues of $2.36 billion, the latter an increase of 7.4% year-over-year in constant currency;
  • Expanded adjusted gross profit margins to a record 41.6%, increasing 460 basis points from 37.0% in the year-ago period;
  • Drove adjusted EBITDA margins to a record 17.0%, increasing 150 basis points from 15.5% in the year-ago period; and
  • Delivered record adjusted EPS of $4.98, up 17.7% over last year’s $4.23.

Fourth Quarter 2015

On a GAAP basis, revenues for the quarter totaled $597.2 million, declining $11.7 million, or 1.9%, compared to $608.9 million in the fourth quarter 2014. Gross profit margin in the fourth quarter was 41.9%, increasing 620 basis points from 35.7% in the year-ago period. Operating income was $57.0 million, an increase of 31.8% from the prior-year period. Operating profit margin in the fourth quarter was 9.5%, increasing from 7.1% in the year-ago period. EPS totaled $1.17, compared to $0.35 in the fourth quarter 2014, a year-over-year increase of 234%. The Company recognized an income tax benefit for the quarter, primarily as a result of the recognition of a significant amount of foreign tax credits.

Adjusted revenues for the quarter totaled $602.5 million, declining $11.2 million, or 1.8%, compared to $613.7 million in the fourth quarter 2014. Adjusted gross profit margin in the fourth quarter was 43.1%, increasing 570 basis points from 37.4% in the year-ago period. Adjusted EBITDA margin in the fourth quarter was 19.0%, increasing 270 basis points from 16.3% in the year-ago period. Adjusted EPS totaled $1.63, compared to $1.24 in the fourth quarter 2014, a year-over-year increase of 31.5%. Adjusted results are non-GAAP measures, and a non-GAAP reconciliation table is provided as an appendix to this release.

John Stroup, President and CEO of Belden Inc., said, “We are thrilled to report the record results noted above. Despite a host of challenging macroeconomic factors, our attractive portfolio, robust business system, and dedicated global team were up to the challenge. This level of earnings growth and margin expansion, in this macroeconomic environment, is obviously quite special.”

Full Year 2015

On a GAAP basis, revenues for the year totaled $2.309 billion, up slightly, compared to $2.308 billion in the full year 2014. Gross profit margin in 2015 was 39.8%, increasing 430 basis points from 35.5% in the year-ago period. Operating profit margin in 2015 was 6.1%, decreasing 100 basis points from 7.1% in the year-ago period. EPS totaled $1.55, compared to $1.69 in 2014, a year-over-year decrease of 8.3%. The year-over-year decrease in both operating profit margin and EPS was largely a result of amortization of intangibles from Tripwire. The Company recognized an income tax benefit for the year, primarily as a result of the recognition of a significant amount of foreign tax credits.

Adjusted revenues for the year totaled $2.361 billion, up $41 million, or 1.8%, compared to $2.320 billion in 2014. Adjusted gross profit margin in 2015 was 41.6%, increasing 460 basis points from 37.0% in the year-ago period. Adjusted EBITDA margin in 2015 was 17.0%, increasing 150 basis points from 15.5% in the year-ago period. Adjusted EPS totaled $4.98, compared to $4.23 in 2014, a year-over-year increase of 17.7%.

Mr. Stroup remarked, “2015 was a year in which macroeconomic factors shifted quickly and unexpectedly. As we’ve done consistently for years, share capture, effective acquisition integration and productivity initiatives allowed us to drive EBITDA margins to their highest level in company history. Adjusted EPS of $4.98 represents a company record, growing almost 18% from 2014. And finally, the repayment of $150 million of debt highlights our ability to generate cash and our commitment to reducing leverage.”

Outlook

“As we shared with you in December, we expect industrial market softness will be offset by strength in our Broadband, Enterprise, and Network Security markets. As we enter the new year, I’m encouraged by our team’s ability to outperform in a variety of market situations,” said Mr. Stroup.

The Company expects first quarter 2016 adjusted revenues to be $530 – $550 million and adjusted EPS to be $0.90 – $1.00. For the full year ending December 31, 2016, the Company continues to expect adjusted revenues to be $2.295 – $2.345 billion. The expected range of adjusted EPS continues to be $5.10 – $5.40.

On a GAAP basis, the Company expects first quarter 2016 revenues to be $528 – $548 million and EPS to be $0.11 – $0.21. For the full year ending December 31, 2016, the Company expects revenues to be $2.288 – $2.338 billion and EPS to be $2.68 – $2.98.

Earnings Conference Call

Management will host a conference call today at 8:30 am EST to discuss results of the quarter and full-year. The listen-only audio of the conference call will be broadcast live via the Internet at http://investor.belden.com. The dial-in number for participants in the U.S. is 888-287-5563; the dial-in number for participants outside the U.S. is 719-325-2432. A replay of this conference call will remain accessible in the investor relations section of the Company’s Web site for a limited time.

                 
BELDEN INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
                 
                 
    Three Months Ended   Twelve Months Ended
    December 31, 2015   December 31, 2014   December 31, 2015   December 31, 2014
    (In thousands, except per share data)
                 
Revenues   $ 597,244     $ 608,910     $ 2,309,222     $ 2,308,265  
Cost of sales     (347,127 )     (391,295 )     (1,391,049 )     (1,488,816 )
Gross profit     250,117       217,615       918,173       819,449  
Selling, general and administrative expenses     (130,405 )     (128,091 )     (527,288 )     (487,945 )
Research and development     (37,312 )     (31,281 )     (148,311 )     (113,914 )
Amortization of intangibles     (25,701 )     (15,687 )     (103,791 )     (58,426 )
Income from equity method investment     311       715       1,770       3,955  
Operating income     57,010       43,271       140,553       163,119  
Interest expense, net     (26,582 )     (23,314 )     (100,613 )     (81,573 )
Income from continuing operations before taxes     30,428       19,957       39,940       81,546  
Income tax benefit (expense)     19,228       (4,543 )     26,568       (7,114 )
Income from continuing operations     49,656       15,414       66,508       74,432  
Income (loss) from discontinued operations, net of tax     -       579       (242 )     579  
Loss from disposal of discontinued operations, net of tax     -       -       (86 )     (562 )
Net income     49,656       15,993       66,180       74,449  
Less: Net loss attributable to noncontrolling interest     (24 )     -       (24 )     -  
Net income attributable to Belden stockholders   $ 49,680     $ 15,993     $ 66,204     $ 74,449  

 

                

Weighted average number of common shares and equivalents:

                
Basic     41,978       42,796       42,390       43,273  
Diluted     42,482       43,516       42,953       43,997  
                 
Basic income (loss) per share attributable to Belden stockholders:            
Continuing operations   $ 1.18     $ 0.36     $ 1.57     $ 1.72  
Discontinued operations     -       0.01       (0.01 )     0.01  
Disposal of discontinued operations     -       -       -       (0.01 )
Net income   $ 1.18     $ 0.37     $ 1.56     $ 1.72  
                 
Diluted income (loss) per share attributable to Belden stockholders:          
Continuing operations   $ 1.17     $ 0.35     $ 1.55     $ 1.69  
Discontinued operations     -       0.01       (0.01 )     0.01  
Disposal of discontinued operations     -       -       -       (0.01 )
Net income   $ 1.17     $ 0.36     $ 1.54     $ 1.69  
                 
Dividends declared per share   $ 0.05     $ 0.05     $ 0.20     $ 0.20  
                 
                         
BELDEN INC.
OPERATING SEGMENT INFORMATION
(Unaudited)
                         
                         
   

Broadcast Solutions

  

Enterprise

Connectivity

  

Industrial

Connectivity

  

Industrial

IT

 

Network Security

Solutions

   Total Segments
    (In thousands, except percentages)

For the three months ended December 31, 2015

                        
                         
Segment Revenues   $ 239,539     $ 109,440     $ 141,801     $ 62,776     $ 48,948     $ 602,504  
Segment EBITDA     46,702       18,294       23,863       11,522       14,707       115,088  
Segment EBITDA margin     19.5 %     16.7 %     16.8 %     18.4 %     30.0 %     19.1 %
                         
Depreciation expense     4,284       2,912       2,705       580       1,019       11,500  
Amortization of intangibles     12,733       134       725       1,490       10,619       25,701  
Severance, restructuring, and acquisition integration costs     10,535       (109 )     3,174       167       (130 )     13,637  
Purchase accounting effects of acquisitions     132       52       67       32       42       325  
Deferred gross profit adjustments     (343 )     -       -       -       6,793       6,450  
                         

For the three months ended December 31, 2014

                        
                         
Segment Revenues   $ 253,236     $ 110,780     $ 173,707     $ 76,004     $ -     $ 613,727  
Segment EBITDA     44,428       14,463       26,466       15,915       -       101,272  
Segment EBITDA margin     17.5 %     13.1 %     15.2 %     20.9 %     n/a       16.5 %
                         
Depreciation expense     5,207       3,111       3,153       622       -       12,093  
Amortization of intangibles     12,776       153       434       2,324       -       15,687  
Severance, restructuring, and acquisition integration costs     13,796       1,271       1,703       5,248       -       22,018  
Purchase accounting effects of acquisitions     1,116       322       795       434       -       2,667  
Deferred gross profit adjustments     4,055       -       -       -       -       4,055  
                         

For the twelve months ended December 31, 2015

                        
                         
Segment Revenues   $ 900,637     $ 445,243     $ 603,350     $ 244,303     $ 167,050     $ 2,360,583  
Segment EBITDA     142,428       71,508       99,941       43,253       44,620       401,750  
Segment EBITDA margin     15.8 %     16.1 %     16.6 %     17.7 %     26.7 %     17.0 %
                         
Depreciation expense     17,103       11,783       11,235  

 

   2,293       4,137       46,551  
Amortization of intangibles     50,989       543       3,154  

 

   5,859       43,246       103,791  
Severance, restructuring, and acquisition integration costs     39,078       723       6,228  

 

   169       972       47,170  
Purchase accounting effects of acquisitions     132       52       334  

 

   32       9,197       9,747  
Deferred gross profit adjustments     2,446       -       -  

 

   -       50,430       52,876  
                         

For the twelve months ended December 31, 2014

                        
                         
Segment Revenues   $ 928,586     $ 455,795     $ 682,374     $ 253,464     $ -     $ 2,320,219  
Segment EBITDA     140,367       66,035       106,097       47,927       -       360,426  
Segment EBITDA margin     15.1 %     14.5 %     15.5 %     18.9 %     n/a       15.5 %
                         
Depreciation expense     16,553       13,744       11,145       2,294       -       43,736  
Amortization of intangibles     50,739       650       1,236       5,801       -       58,426  
Severance, restructuring, and acquisition integration costs     48,557       3,318       11,953       6,999       -       70,827  
Purchase accounting effects of acquisitions     8,574       608       1,328       2,030       -       12,540  
Deferred gross profit adjustments     10,777       -       -       -       -       10,777  
                         
                 
BELDEN INC.
OPERATING SEGMENT RECONCILIATION TO CONSOLIDATED RESULTS
(Unaudited)
 
    Three Months Ended   Twelve Months Ended
    December 31, 2015   December 31, 2014   December 31, 2015   December 31, 2014
    (In thousands)
                 
Total Segment Revenues   $ 602,504     $ 613,727     $ 2,360,583     $ 2,320,219  
Deferred revenue adjustments     (5,260 )     (4,817 )     (51,361 )     (11,954 )
Consolidated Revenues   $ 597,244     $ 608,910     $ 2,309,222     $ 2,308,265  
                 
Total Segment EBITDA   $ 115,088     $ 101,272     $ 401,750     $ 360,426  
Income from equity method investment     311       715       1,770       3,955  
Eliminations     (776 )     (2,196 )     (2,832 )     (4,956 )
Consolidated Adjusted EBITDA (1)     114,623       99,791       400,688       359,425  
Depreciation expense     (11,500 )     (12,093 )     (46,551 )     (43,736 )
Amortization of intangibles     (25,701 )     (15,687 )     (103,791 )     (58,426 )
Severance, restructuring, and acquisition integration costs     (13,637 )     (22,018 )     (47,170 )     (70,827 )
Deferred gross profit adjustments     (6,450 )     (4,055 )     (52,876 )     (10,777 )
Purchase accounting effects related to acquisitions     (325 )     (2,667 )     (9,747 )     (12,540 )
Consolidated operating income     57,010       43,271       140,553       163,119  
Interest expense, net     (26,582 )     (23,314 )     (100,613 )     (81,573 )
Consolidated income from continuing operations before taxes   $ 30,428     $ 19,957     $ 39,940     $ 81,546  
                 
(1) Consolidated Adjusted EBITDA is a non-GAAP measure. See Reconciliation of Non-GAAP Measures for additional information.
 
             
BELDEN INC.
CONDENSED CONSOLIDATED BALANCE SHEETS    
             
        December 31, 2015   December 31, 2014
        (Unaudited)    
        (In thousands)
ASSETS
Current assets:            
Cash and cash equivalents       $ 216,751     $ 741,162  
Receivables, net         387,386       379,777  
Inventories, net         195,942       228,398  
Other current assets         43,085       42,656  
             
Total current assets         843,164       1,391,993  
             
Property, plant and equipment, less accumulated depreciation     310,629       316,385  
Goodwill         1,385,115       943,374  
Intangible assets, less accumulated amortization         655,871       461,292  
Deferred income taxes         34,295       60,652  
Other long-lived assets         86,767       86,974  
             
        $ 3,315,841     $ 3,260,670  
             
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:            
Accounts payable       $ 223,514     $ 272,439  
Accrued liabilities         323,249       248,072  
Current maturities of long-term debt         2,500       2,500  
             
Total current liabilities         549,263       523,011  
             
Long-term debt         1,750,521       1,765,422  
Postretirement benefits         105,230       122,627  
Deferred income taxes         46,034       11,015  
Other long-term liabilities         39,270       31,409  
Stockholders’ equity:            
Common stock         503       503  
Additional paid-in capital         605,660       595,389  
Retained earnings         679,716       621,896  
Accumulated other comprehensive loss         (58,987 )     (46,031 )
Treasury stock         (402,793 )     (364,571 )
Total Belden stockholders’ equity         824,099       807,186  
Noncontrolling interest         1,424       -  
Total stockholders' equity         825,523       807,186  
             
        $ 3,315,841     $ 3,260,670  
             
         
BELDEN INC.        
CONDENSED CONSOLIDATED CASH FLOW STATEMENTS        
(Unaudited)        
         
    Twelve Months Ended
    December 31, 2015   December 31, 2014
    (In thousands)
Cash flows from operating activities:        
Net income   $ 66,180     $ 74,449  
Adjustments to reconcile net income to net cash provided by operating activities:        
Depreciation and amortization     150,342       102,162  
Share-based compensation     17,745       18,858  
Income from equity method investment     (1,770 )     (3,955 )
Tax benefit related to share-based compensation     (5,050 )     (6,859 )
Deferred income tax benefit     (45,674 )     (17,796 )

Changes in operating assets and liabilities, net of the effects of currency exchange rate changes and acquired businesses:

        
Receivables     6,066       (15,810 )
Inventories     19,204       (2,260 )
Accounts payable     (38,907 )     28,120  
Accrued liabilities     59,214       (5,598 )
Accrued taxes     11,981       9,058  
Other assets     (3,070 )     10,223  
Other liabilities     149       3,436  
Net cash provided by operating activities     236,410       194,028  
         
Cash flows from investing activities:        
Cash used to acquire businesses, net of cash acquired     (695,345 )     (347,817 )
Capital expenditures     (54,969 )     (45,459 )
Proceeds from disposal of tangible assets     533       1,884  
Proceeds from (payments for) disposal of businesses     3,527       (956 )
Net cash used for investing activities     (746,254 )     (392,348 )
         
Cash flows from financing activities:        
Borrowings under credit arrangements     200,000       456,163  
Tax benefit related to share-based compensation     5,050       6,859  
Proceeds from noncontrolling interest     1,470       -  
Debt issuance costs paid     (898 )     (10,700 )
Cash dividends paid     (8,395 )     (8,699 )
Withholding tax payments for share based payment awards, net of proceeds from the exercise of stock options     (11,693 )     (11,708 )
Payments under share repurchase program     (39,053 )     (92,197 )
Payments under borrowing arrangements     (152,500 )     (2,500 )
Net cash provided by (used for) financing activities     (6,019 )     337,218  
         
Effect of foreign currency exchange rate changes on cash and cash equivalents     (8,548 )     (11,040 )
         
Increase (decrease) in cash and cash equivalents     (524,411 )     127,858  
Cash and cash equivalents, beginning of period     741,162       613,304  
Cash and cash equivalents, end of period   $ 216,751     $ 741,162  
         
                 
BELDEN INC.
CONSOLIDATED 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; accelerated depreciation expense due to plant consolidation activities; purchase accounting effects related to acquisitions, such as the adjustment of acquired inventory and deferred revenue to fair value and transaction costs; revenue and cost of sales deferrals for certain acquired product lines subject to software revenue recognition accounting requirements; severance, restructuring, and acquisition integration costs; gains (losses) recognized on the disposal of businesses and tangible assets; amortization of intangible assets; gains (losses) on debt extinguishment; discontinued operations; 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   Twelve Months Ended
    December 31, 2015   December 31, 2014   December 31, 2015   December 31, 2014
    (In thousands, except percentages and per share amounts)
                 
GAAP revenues   $ 597,244     $ 608,910     $ 2,309,222     $ 2,308,265  
Deferred revenue adjustments     5,260       4,817       51,361       11,954  
Adjusted revenues   $ 602,504     $ 613,727     $ 2,360,583     $ 2,320,219  
                 
GAAP gross profit   $ 250,117     $ 217,615     $ 918,173     $ 819,449  
Deferred gross profit adjustments     6,450       4,055       52,876       10,777  
Severance, restructuring, and acquisition integration costs     3,024       7,388       9,364       20,665  
Accelerated depreciation     50       255       225       255  
Purchase accounting effects related to acquisitions     -       133       267       8,433  
Adjusted gross profit   $ 259,641     $ 229,446     $ 980,905     $ 859,579  
                 
GAAP gross profit margin     41.9 %     35.7 %     39.8 %     35.5 %
Adjusted gross profit margin     43.1 %     37.4 %     41.6 %     37.0 %
                 
GAAP operating income   $ 57,010     $ 43,271     $ 140,553     $ 163,119  
Amortization of intangible assets     25,701       15,687       103,791       58,426  
Severance, restructuring, and acquisition integration costs     13,637       22,018       47,170       70,827  
Deferred gross profit adjustments     6,450       4,055       52,876       10,777  
Purchase accounting effects related to acquisitions     325       2,667       9,747       12,540  
Accelerated depreciation     81       1,074       388       1,074  
Total operating income adjustments     46,194       45,501       213,972       153,644  
Depreciation expense     11,419       11,019       46,163       42,662  
Adjusted EBITDA   $ 114,623     $ 99,791     $ 400,688     $ 359,425  
                 
GAAP operating income margin     9.5 %     7.1 %     6.1 %     7.1 %
Adjusted EBITDA margin     19.0 %     16.3 %     17.0 %     15.5 %
                 
GAAP income from continuing operations   $ 49,656  

 

 $ 15,414     $ 66,508     $ 74,432  
Operating income adjustments from above     46,194       45,501       213,972       153,644  
Tax effect of adjustments     (26,558 )     (7,043 )     (66,777 )     (41,909 )
Adjusted income from continuing operations   $ 69,292     $ 53,872     $ 213,703     $ 186,167  
                 
GAAP income from continuing operations   $ 49,656     $ 15,414     $ 66,508     $ 74,432  
Less: Net loss attributable to noncontrolling interest     (24 )     -       (24 )     -  
GAAP income from continuing operations attributable to Belden stockholders   $ 49,680     $ 15,414     $ 66,532     $ 74,432  
                 
Adjusted income from continuing operations   $ 69,292     $ 53,872     $ 213,703     $ 186,167  
Less: Net loss attributable to noncontrolling interest     (24 )     -       (24 )     -  
Less: Amortization expense attributable to noncontrolling interest, net of tax     5       -       5       -  
Adjusted income from continuing operations attributable to Belden stockholders   $ 69,311     $ 53,872     $ 213,722     $ 186,167  
                 
GAAP income from continuing operations per diluted share attributable to Belden stockholders   $ 1.17     $ 0.35     $ 1.55     $ 1.69  
Adjusted income from continuing operations per diluted share attributable to Belden stockholders   $ 1.63     $ 1.24     $ 4.98     $ 4.23  
                 
GAAP and Adjusted diluted weighted average shares     42,482       43,516       42,953       43,997  
                 
                 
BELDEN INC.
RECONCILIATION OF NON-GAAP MEASURES
FREE CASH FLOW
(Unaudited)
                 
We define free cash flow, which is a non-GAAP financial measure, as net cash provided by operating activities adjusted for capital expenditures net of the proceeds from the disposal of tangible assets and certain cash payments for severance and other costs for the integration of our 2014 acquisition of Grass Valley. We believe free cash flow provides useful information to investors regarding our ability to generate cash from business operations that is available for acquisitions and other investments, service of debt principal, dividends and share repurchases. We use free cash flow, as defined, as one financial measure to monitor and evaluate performance and liquidity. Non-GAAP financial measures should be considered only in conjunction with financial measures reported according to accounting principles generally accepted in the United States. Our definition of free cash flow may differ from definitions used by other companies.
                 
                 
    Three Months Ended   Twelve Months Ended
    December 31, 2015   December 31, 2014   December 31, 2015   December 31, 2014
    (In thousands)
GAAP net cash provided by operating activities   $ 144,429     $ 129,262     $ 236,410     $ 194,028  

Capital expenditures, net of proceeds from the disposal of tangible assets

     (15,475 )     (14,291 )     (54,436 )     (43,575 )

Cash paid for severance and other costs for the integration of our acquisition of Grass Valley

     -       15,935       -       37,720  
Non-GAAP free cash flow   $ 128,954     $ 130,906     $ 181,974     $ 188,173  
                 
         
BELDEN INC.        
RECONCILIATION OF NON-GAAP MEASURES        
2016 REVENUES AND EARNINGS GUIDANCE        
         
    Year Ended   Three Months Ended
    December 31, 2016   April 3, 2016
Adjusted revenues   $2.295 - $2.345 billion   $530 - $550 million
Deferred revenue adjustments   ($7 million)   ($2 million)
GAAP revenues   $2.288 - $2.338 billion   $528 - $548 million
         
Adjusted income from continuing operations per diluted share attributable to Belden stockholders   $5.10 - $5.40   $0.90 - $1.00
Amortization of intangible assets   ($1.71)   ($0.45)
Severance, restructuring, and acquisition integration costs   ($0.60)   ($0.30)
Deferred gross profit adjustments   ($0.11)   ($0.04)
GAAP income from continuing operations per diluted share attributable to Belden stockholders   $2.68 - $2.98   $0.11 - $0.21
         
Our guidance for revenues and income from continuing operations per diluted share attributable to Belden stockholders is based upon information currently available regarding events and conditions that will impact our future operating results. In particular, our results are subject to the factors listed in the Forward-Looking Statements in this release. In addition, our actual results are likely to be impacted by other additional events for which information is not available, such as asset impairments, purchase accounting effects related to acquisitions, severance, restructuring, and acquisition integration costs, gains (losses) recognized on the disposal of tangible assets, gains (losses) on debt extinguishment, discontinued operations, and other gains (losses) related to events or conditions that are not yet known.
 

Earnings per Share (EPS)

All references to EPS within this earnings release refer to income from continuing operations per diluted share attributable to Belden stockholders.

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. GAAP to non-GAAP reconciliations accompany the consolidated financial statements included in this release and have been published to the investor relations section of the Company’s Web site at http://investor.belden.com.

Forward-Looking Statements

This release contains forward-looking statements including our expectations for the first quarter and full-year 2016. Forward-looking statements also include any other statements regarding future financial performance (including revenues, expenses, earnings, margins, cash flows, dividends, capital expenditures and financial condition), plans and objectives, and related assumptions. Forward-looking statements reflect management’s current beliefs and expectations and are not guarantees of future performance. Actual results may differ materially from those suggested by any forward-looking statements for a number of reasons, including: the impact of a challenging global economy or a downturn in served markets; the cost and availability of raw materials including copper, plastic compounds, electronic components, and other materials; the competitiveness of the global broadcast, enterprise, and industrial markets; disruption of, or changes in, the Company’s key distribution channels; volatility in credit and foreign exchange markets; the inability to successfully complete and integrate acquisitions in furtherance of the Company’s strategic plan; the inability to execute and realize the expected benefits from strategic initiatives (including revenue growth, cost control, and productivity improvement programs); political and economic uncertainties in the countries where the Company conducts business, including emerging markets; the inability of the Company to develop and introduce new products and competitive responses to our products; assertions that the Company violates the intellectual property of others and the ownership of intellectual property by competitors and others that prevents the use of that intellectual property by the Company; variability in the Company’s quarterly and annual effective tax rates; the impairment of goodwill and other intangible assets and the resulting impact on financial performance; the impact of regulatory requirements and other legal compliance issues; disruptions in the Company’s information systems including due to cyber-attacks; perceived or actual product failures; risks related to the use of open source software; disruptions and increased costs attendant to collective bargaining groups and other labor matters; and other factors.

For a more complete discussion of risk factors, please see our Annual Report on Form 10-K for the year ended December 31, 2014, filed with the SEC on February 23, 2015. Belden disclaims any duty to update any forward looking statements as a result of new information, future developments, or otherwise, except as required by law.

About Belden

Belden Inc. delivers a comprehensive product portfolio designed to meet the mission-critical network infrastructure needs of industrial, enterprise and broadcast markets. With innovative 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.