Asia Pacific Wire & Cable Company Reports First Quarter 2014 Financial Results; Board of Directors Approves $1 Million Share

Asia Pacific Wire & Cable Company Reports First Quarter 2014 Financial Results; Board of Directors Approves $1 Million Share Repurchase Program    *Revenues were $109.8 million, an increase of 8.7% from $101.0 million in     Q12013   *Cash flows from operations were $24.4 million, up 50.8% from $16.2 million     in Q12013   *$80.4 million in cash and cash equivalents at March 31, 2014   *Reduced total debt outstanding to $36.4 million at March 31, 2014 from     $41.8 million at December 31, 2013  TAIPEI, Taiwan, Aug. 13, 2014 (GLOBE NEWSWIRE) -- Asia Pacific Wire & Cable Corporation Limited (Nasdaq:APWC) ("APWC" or the "Company"), a leading manufacturer of wire and cable products for the telecommunications and electric-power industries in the Asia-Pacific region, today announced the Company's financial results for the three months ended March 31, 2014.  Financial Summary  Q1 2014 Financial Results                     Q1 2014               Q1 2013               CHANGE Revenues             $109.8 million        $101.0 million        +8.7% Gross Profit         $8.4 million          $8.6 million          -2.1% Net Income           ($1.0 million)        $1.3 million          N/A EPS^(1)              ($0.07)               $0.09                 N/A (1)Earnings per share are based on 13.8 million shares in Q1 2013 and Q1 2014  First Quarter 2014 Results  Revenues for the three months ended March 31, 2014 were $109.8 million, up from $101.0 million in the prior period, primarily attributable to an increase in sales of 24.3% in our Rest of the World region ("ROW Region") due to increased sales volumes in its SDI.Our ROW Region consists of Singapore, Australia and the other markets where we have operations or sales outside of our Thailand Region and our North Asia Region.  Gross profit for the first quarter decreased 2.1% to $8.4 million from $8.6 million in the year-ago period, representing gross margins of 7.6% and 8.5%, respectively. Gross margins were down year over year as a result of lower selling prices in the markets.  Selling, general and administrative expenses of $6.7 million for the first quarter of 2014 were down from $7.5 million the same period a year ago. Operating income was a loss of $0.5 million compared to income $0.5 million in the first quarter of 2013. The Company recorded a $2.1 million non-cash impairment charge for trade receivables. Excluding this charge, the operating income would have been $1.6 million in the three months ended March 31, 2014.  Net income attributable to APWC shareholders was a loss $1.0 million for the first quarter of 2014 compared to income of $1.3 million in the corresponding period in 2013. Net income per share was a loss of $0.07 for the period, compared to income of $0.09 in the first three months of 2013. The weighted average shares outstanding were 13.8 million for the first quarter of 2013 and 2014.  Financial Condition  As of March 31, 2014, APWC had $80.4 million in cash and cash equivalents, compared to cash and cash equivalents totaling $62.5 million as of December 31, 2013. Most of the cash is held by operating subsidiaries and, in certain instances, subject to limitations on distribution to APWC.  Total current assets were $307.0 million at March 31, 2014 compared to $302.2 million at December 31, 2013. Working capital was $175.5 million as of March 31, 2014. As of March 31, 2014, short term bank loans were $36.4 million, down from $41.8 million at December 31, 2013. The Company had no long term debt outstanding at March 31, 2013. Shareholders' equity attributable to APWC was $158.1 million at March 31, 2014 compared to $157.2 million at December 31, 2013.  APWC generated approximately $24.4 million of cash from operating activities during the three months ended March 31, 2014, an improvement of $8.2 million compared to $16.2 million of cash inflows from operations in the corresponding period in 2013. The Company reduced capital expenditures to $1.3 million in the first quarter of 2014 compared to $3.1 million in the first quarter of 2013.  Business Update and Outlook  The political unrest in Thailand caused a delay in delivery for projects with the Thailand government in the first quarter of 2014, thus revenue recognized from government projects decreased, compared to the first quarter of 2013.However, overall revenue in the Thailand region still increased comparing to the same period last year.The Company managed to maintain a stable revenue growth by introducing more distributed products.  The Company provided a $2.1 million allowance for an overdue account in the first quarter of 2014.  The revenue growth in the ROW Region was primarily due to the increase in power cable supply, delivery, and installation (SDI) projects in the first quarter of 2014.Increased competition and manufacturing overhead eroded the margin for manufactured products in this region. Nevertheless, improved margin in SDI projects made up the loss.  Share Repurchase Program  The Company announced today that its Board of Directors recently approved the implementation of a share repurchase program, pursuant to which the Company is authorized to repurchase up to $1 million worth of its Common Shares. The Company plans to retain a financial adviser to manage the share repurchase program in accordance with Rule 10b-18 under the Securities Exchange Act. Once implemented, the common shares may be repurchased on the open market, in negotiated transactions, in block trades or otherwise. The timing and the extent of any purchases will depend upon market conditions, the trading price of the common shares and other factors, subject to the restrictions relating to volume, price and timing under applicable laws and regulations. The Company plans to announce the date of the commencement of the share repurchase program in the near future.  The share repurchase program will be funded from existing cash on hand and cash generated from operations. As of March31, 2014, the Company had cash and cash equivalents of approximately $80.4 million.The Company currently has approximately 13.8 million shares outstanding.The Company is not obligated to repurchase any particular amount of shares during any period and may choose to suspend or discontinue the share repurchase program at any time.  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, visithttp://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.  ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Amounts in thousands of US Dollars, except share data)                                                    For the three-months                                                   ended March 31, (Unaudited)                                                   2014          2013 Sales of goods / services                          109,776       100,970 Cost of sales                                      (101,392)     (92,404) Gross profit                                       8,384         8,566                                                                 Other operating income                             14             Selling, general and administrative expenses       (6,709)       (7,544) Other operating expenses                           (2,162)       (532) Operating profit (loss)                            (473)         490                                                                 Finance costs                                      (281)         (484) Finance income                                     280           332 Share of loss of associates                        (209)         0 Gain on disposal of investment - held for sale     0             232 Gain on liquidation of subsidiaries                0             0 Exchange gain                                      547           2,224 Other income                                       275           1,087 Other expense                                      (20)          0 Profit before tax                                  119           3,881                                                                 Income taxes expense                               (1,052)       (1,315) Profit (loss) for the period                       (933)         2,566                                                                 Attributable to:                                                 Equity holders of the parent                       (983)         1,311 Non-controlling interests                          50            1,255 Basic and diluted earnings per share               (0.07)        0.09 Basic and diluted weighted average common shares   13,820,200    13,822,072 outstanding     ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) (Amounts in thousands of US Dollars, except share data)                                                    For the three-months                                                   ended March 31, (Unaudited)                                                   2014          2013 Net income (loss)                                  (933)         2,566 Other comprehensive income                                       Other comprehensive income to be reclassified to                 profit or loss in subsequent periods: Exchange differences on translation of foreign     2,190         5,181 operations, net of tax of $0                                                                 Net gain (loss) on available-for-sale financial    0             (400) assets Income tax effect                                  0             0                                                   0             (400) Other comprehensive income not to be reclassified                to profit or loss in subsequent periods: Re-measuring losses on defined benefit plans       (1)           (19) Income tax effect                                  0             0 Defined benefit pension plan, net of tax           (1)           (19) Other comprehensive income (loss) for the period,  2,189         4,762 net of tax Total comprehensive income (loss) for the period,  1,256         7,328 net of tax Attributable to:                                                 Equity holders of the parent                       888           11,623 Non-controlling interests                          368           (4,294)                                                   1,256         7,328   ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (In thousands of US Dollars, except share data)                                                          As of March As of                                                        31, 2014,  December                                                         (Unaudited) 31, 2013                                                                    ASSETS                                                              Current assets:                                                     Cash and cash equivalents                               $80,384     $62,509 Other current financial assets - available for sale     0           0 Other current financial assets - derivatives            0           0 Trade receivables                                       102,929     122,893 Other receivables                                       11,342      11,139 Due from related parties                                4,737       3,842 Inventories                                             103,561     98,194 Prepayments                                             1,195       1,559 Assets classified as held for sale                      0           0 Other current assets                                    2,845       2,113                                                        306,993     302,249 Non-current assets                                                  Other non-current financial assets - available for sale 3,225       3,189 Other non-current financial assets - held to maturity   338         335 Property, plant and equipment                           49,002      48,709 Prepaid land lease payments                             1,913       1,939 Investment properties                                   750         746 Intangible assets                                       106         104 Investments in associates                               2,696       2,937 Other non-current assets                                641         449 Deferred tax assets                                     4,190       3,978                                                        62,861      62,386 Total assets                                            $369,854    $364,635   ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (In thousands of US Dollars, except share data)                                                            As of March As of                                                          31, 2014,  December                                                           (Unaudited) 31, 2013                                                                      Current liabilities:                                                   Interest-bearing loans and borrowings                     36,367      41,789 Trade and other payables                                  50,585      41,369 Due to related parties                                    11,940      11,126 Due to immediate holding company                          0           1,732 Other current financial liabilities at fair value through 6           0 profit or loss Accruals                                                  14,035      13,336 Income tax payable                                        10,925      9,874 Employee benefit liability                                118         419 Financial lease liabilities                               22          37 Onerous contracts provisions                              39          125 Dividend payable                                          721         348 Other current liabilities                                 6,733       7,617                                                          131,491     127,772                                                                      Non-current liabilities                                               Employee benefit liability                                5,651       5,455 Financial lease liabilities                               29          28 Provisions for employee benefit                           621         577 Deferred tax liabilities                                  2,678       2,676                                                          8,979       8,736 Total liabilities                                         140,470     136,508                                                                       Equity                                                                 Issued capital                                            138         138 Additional paid-in capital                                110,608     110,608 Treasury shares                                           (38)        (38) Retained earnings                                         50,783      51,766 Other components of equity                                (3,354)     (5,226) Equity attributable to equity holders of the parent       158,137     157,248 Non-controlling interests                                 71,247      70,879 Total equity                                              229,384     228,127 Total liabilities and equity                              $369,854    $364,635    ASIA PACIFIC WIRE & CABLE CORPORATION LIMITED AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) (In thousands of U.S. Dollars)                                                    For the three-months                                                   ended March 31, (Unaudited)                                                   2,014         2,013 Net cash provided by (used in) operating           $24,368       $16,159 activities Net cash provided by investing activities          (1,258)       (1,042) Net cash (used in) financing activities            (5,649)       (21,274) Effect of exchange rate changes on cash and        414           1,151 cashequivalents Net (decrease) in cash and cash equivalents        17,875       (5,006) Cash and cash equivalents at beginning of period   62,509        72,816 Cash and cash equivalents at end of period         $80,384       $67,810  CONTACT: Company Contact:          Asia Pacific Wire & Cable Corporation Limited          Mr. Ivan Hsia, CFO          Phone: +886-2-2712-2558 ext. 27          E-mail: ivan.hsia@apwcc.com                   Investor Relations Contact:          MZ North America          Ted Haberfield          President          Tel: +1-760-755-2716          Email: thaberfield@mzgroup.us          Web: www.mzgroup.us  
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