Bell Industries Reports Rise in 2010 Revenues

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Indianapolis-based Bell Industries, Inc. recently reported financial results for the year ended Dec. 31, 2010.

Revenues from continuing operations for the 2010 year were $112.2 million, up 11.5% from $100.6 million a year ago, with a $4.0 million increase in revenues related to the company’s Recreation Products Group segment and a $7.6 million increase in revenues related to the company’s Bell Techlogix business. The company had net income of $0.3 million, or $0.68 per share, for the 2010 year, an improvement over the 2009 year net loss of $1.9 million.

The company’s Recreational Products Group (RPG) reported revenues of $38.4 million for 2010, compared with $34.4 million in 2009. The 11.6% increase in revenues was attributed primarily to increased sales of marine and RV product lines as the overall industry continued to recover from the recessionary levels of 2009. As a result of this increase in revenue, RPG’s operating income for the 2010 year increased by $0.6 million to $1.8 million from the operating income of $1.2 million for the 2009 year.

The Bell Techlogix business reported revenues of $73.7 million for 2010, compared with $66.1 million in 2009. This 11.5% increase was attributed to growth in product sales and revenue from both new and existing managed service engagements. As a result of this increase in revenue, Bell Techlogix’s operating income for the 2010 year increased by $1.3 million to $2.9 million from the operating income of $1.6 million for the 2009 year.

Bell’s corporate holding company costs for 2010 totaled $3.2 million, a 10% decrease from the prior year. The decrease in costs was primarily related to reductions in headcount and the related costs. The corporate holding company costs have declined as the company continues to transfer the administrative functions previously performed by the holding company to the business units, which generally operate independently of each other.

On March 21, Bell completed a 1-for-20 reverse stock split of its shares, the result of which allowed Bell to then file with the Securities and Exchange Commission to terminate its registration and cease its periodic reporting obligations as a publicly registered company. This change in registration status will allow Bell to further reduce the corporate holding company costs by foregoing many of the expenses associated with SEC regulatory filings and Sarbanes-Oxley Act requirements.

Bell Industries is a holding company for two operating businesses, Bell Techlogix and the Recreational Products Group. Bell Techlogix is a provider of integrated technology product and service solutions for organizations throughout the United States. The Recreational Products Group is a wholesale distributor of replacement parts and accessories for recreational vehicles and other leisure-related vehicles, including boats, snowmobiles, motorcycles, all terrain vehicles and utility vehicles.