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Vishay Intertechnology Reports Second Quarter 2025 Results

1. Vishay's 2Q 2025 revenue increased by 7% sequentially to $762.3 million. 2. Gross margin decreased to 19.5%, impacted by Newport acquisition. 3. Adjusted EPS was $(0.07), signaling operational challenges continuing. 4. Book-to-bill ratio was 1.02, suggesting stable demand for products. 5. Management projects 3Q 2025 revenue between $775-795 million.

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+0.47%S&P 500
$16.0108/06 07:21 AM EDTEvent Start
$14.1908/07 02:01 PM EDTLatest Updated
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FAQ

Why Neutral?

The revenue growth is positive, but adjusted losses may concern investors, similar to past earnings reports showing volatility.

How important is it?

Revenue gains indicate operational resilience, yet losses may deter investment in the short term.

Why Short Term?

Immediate investor reactions may occur around EPS figures, while outlook improvements could take longer to materialize.

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MALVERN, Pa., Aug. 06, 2025 (GLOBE NEWSWIRE) -- Vishay Intertechnology, Inc., (NYSE: VSH), one of the world's largest manufacturers of discrete semiconductors and passive electronic components, today announced results for the fiscal second quarter ended June 28, 2025. Highlights 2Q 2025 revenues of $762.3 millionGross margin was 19.5% and included the negative impact of approximately 160 basis points related to the addition of Newport2Q 2025 EPS of $0.012Q 2025 Adjusted loss per share of $(0.07)2Q 2025 book-to-bill of 1.02 with book-to-bill of 0.98 for semiconductors and 1.06 for passive componentsBacklog at quarter end was 4.6 months “The promising signals we saw emerging at the beginning of the year contributed to a 7% sequential increase in revenue for the second quarter. We delivered growth for semis and passives, across each of our end markets, each region, and to distributors and EMS customers,” said Joel Smejkal, president and CEO. “With market indicators remaining directionally positive, our investments in capacity expansion positions Vishay to be ready to participate more fully in the market upturn.” 3Q 2025 OutlookFor the third quarter of 2025, management expects revenues in the range of $775 million +/- $20 million and a gross profit margin in the range of 19.7% +/- 50 basis points, including the negative impact of approximately 160 to 185 basis points from the addition of Newport. Conference CallA conference call to discuss Vishay’s second quarter financial results is scheduled for Wednesday, August 6, 2025 at 9:00 a.m. ET. To participate in the live conference call, please pre-register here. Upon registering, you will be emailed a dial-in number, and unique PIN. A live audio webcast of the conference call and a PDF copy of the press release and the quarterly presentation will be accessible directly from the Investor Relations section of the Vishay website at http://ir.vishay.com. There will be a replay of the conference call available on the Investor Relations website approximately one hour following the call and will remain available for 30 days. About VishayVishay manufactures one of the world’s largest portfolios of discrete semiconductors and passive electronic components that are essential to innovative designs in the automotive, industrial, computing, consumer, telecommunications, military, aerospace, and medical markets. Serving customers worldwide, Vishay is The DNA of tech.™ Vishay Intertechnology, Inc. is a Fortune 1,000 Company listed on the NYSE (VSH). More on Vishay at www.Vishay.com. This press release includes certain financial measures which are not recognized in accordance with U.S. generally accepted accounting principles ("GAAP"), including adjusted net earnings; adjusted earnings per share; adjusted gross margin; adjusted operating margin; free cash; earnings before interest, taxes, depreciation and amortization ("EBITDA"); adjusted EBITDA; and adjusted EBITDA margin; which are considered "non-GAAP financial measures" under the U.S. Securities and Exchange Commission rules. These non-GAAP measures supplement our GAAP measures of performance or liquidity and should not be viewed as an alternative to GAAP measures of performance or liquidity. Non-GAAP measures such as adjusted net earnings, adjusted earnings per share, adjusted gross margin, adjusted operating margin, free cash, EBITDA, adjusted EBITDA, and adjusted EBITDA margin do not have uniform definitions. These measures, as calculated by Vishay, may not be comparable to similarly titled measures used by other companies. Management believes that such measures are meaningful to investors because they provide insight with respect to intrinsic operating results of the Company. Although the terms "free cash" and "EBITDA" are not defined in GAAP, the measures are derived using various line items measured in accordance with GAAP. Reconciling items to arrive at adjusted net earnings represent significant charges or credits that are important to understanding the Company's intrinsic operations. Reconciling items to calculate adjusted gross margin, adjusted operating margin and adjusted EBITDA represent those same items used in computing adjusted net earnings, as relevant. Furthermore, the presented calculation of adjusted EBITDA is substantially similar to, but not identical to, a measure used in the calculation of financial ratios required for covenant compliance under Vishay's revolving credit facility. These reconciling items are indicated on the accompanying reconciliation schedules and are more fully described in the Company's financial statements presented in its annual report on Form 10-K and its quarterly reports presented on Forms 10-Q. Statements contained herein that relate to the Company's future performance, including forecasted revenues and margins, capital investment, capacity expansion, stockholder returns, and the performance of the economy in general, are forward-looking statements within the safe harbor provisions of Private Securities Litigation Reform Act of 1995. Words and expressions such as “guide,” “will,” “expect,” “anticipate,” “committed” or other similar words or expressions often identify forward-looking statements. Such statements are based on current expectations only, and are subject to certain risks, uncertainties and assumptions, many of which are beyond our control. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results, performance, or achievements may vary materially from those anticipated, estimated or projected. Among the factors that could cause actual results to materially differ include: general business and economic conditions; manufacturing or supply chain interruptions or changes in customer demand; delays or difficulties in implementing our cost reduction strategies; delays or difficulties in expanding our manufacturing capacities; an inability to attract and retain highly qualified personnel; changes in foreign currency exchange rates; uncertainty related to the effects of changes in foreign currency exchange rates; competition and technological changes in our industries; difficulties in new product development; difficulties in identifying suitable acquisition candidates, consummating a transaction on terms which we consider acceptable, and integration and performance of acquired businesses; changes in U.S. and foreign trade regulations and tariffs, and uncertainty regarding the same; changes in applicable domestic and foreign tax regulations, and uncertainty regarding the same; changes in applicable accounting standards and other factors affecting our operations that are set forth in our filings with the Securities and Exchange Commission, including our annual reports on Form 10-K and our quarterly reports on Form 10-Q. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The DNA of tech™ is a trademark of Vishay Intertechnology. Contact:Vishay Intertechnology, Inc.Peter HenriciExecutive Vice President, Corporate Development+1-610-644-1300  VISHAY INTERTECHNOLOGY, INC.Summary of Operations(Unaudited - In thousands, except per share amounts)       Fiscal quarters ended June 28, 2025 March 29, 2025 June 29, 2024      Net revenues$762,250  $715,236  $741,239 Costs of products sold 613,567   579,682   578,369 Gross profit 148,683   135,554   162,870 Gross margin 19.5%  19.0%  22.0%      Selling, general, and administrative expenses* 126,565   134,739   124,953 Operating income 22,118   815   37,917 Operating margin 2.9%  0.1%  5.1%      Other income (expense):     Interest expense (10,588)  (8,790)  (6,657)Other 747   3,747   5,011 Total other income (expense) - net (9,841)  (5,043)  (1,646)      Income (loss) before taxes 12,277   (4,228)  36,271       Income tax expense (benefit) 10,273   (136)  12,391       Net earnings (loss) 2,004   (4,092)  23,880       Less: net earnings attributable to noncontrolling interests -   -   347       Net earnings (loss) attributable to Vishay stockholders$2,004  $(4,092) $23,533       Basic earnings (loss) per share attributable to Vishay stockholders$0.01  $(0.03) $0.17       Diluted earnings (loss) per share attributable to Vishay stockholders$0.01  $(0.03) $0.17       Weighted average shares outstanding - basic 135,702   135,799   137,326       Weighted average shares outstanding - diluted 136,167   135,799   138,084       Cash dividends per share$0.10  $0.10  $0.10       * Selling, general, and administrative expenses for the fiscal quarter ended June 28, 2025 include a ($11,293) benefit recognized upon the favorable resolution of a contingency.       VISHAY INTERTECHNOLOGY, INC.Summary of Operations(Unaudited - In thousands, except per share amounts)     Six fiscal months ended June 28, 2025 June 29, 2024        Net revenues$1,477,486  $1,487,518 Costs of products sold 1,193,249   1,154,241 Gross profit 284,237   333,277 Gross margin 19.2%  22.4%    Selling, general, and administrative expenses* 261,304   252,689 Operating income 22,933   80,588 Operating margin 1.6%  5.4%    Other income (expense):   Interest expense (19,378)  (13,153)Other 4,494   13,098 Total other income (expense) - net (14,884)  (55)    Income before taxes 8,049   80,533     Income tax expense 10,137   25,210     Net earnings (loss) (2,088)  55,323     Less: net earnings attributable to noncontrolling interests -   866     Net earnings (loss) attributable to Vishay stockholders$(2,088) $54,457     Basic earnings (loss) per share attributable to Vishay stockholders$(0.02) $0.40     Diluted earnings (loss) per share attributable to Vishay stockholders$(0.02) $0.39     Weighted average shares outstanding - basic 135,750   137,525     Weighted average shares outstanding - diluted 135,750   138,279     Cash dividends per share$0.20  $0.20     * Selling, general, and administrative expenses for the six fiscal months ended June 28, 2025 include a ($11,293) benefit recognized upon the favorable resolution of a contingency.     VISHAY INTERTECHNOLOGY, INC.Consolidated Condensed Balance Sheets(Unaudited - In thousands)     June 28, 2025 December 31, 2024    Assets   Current assets:   Cash and cash equivalents$473,860  $590,286 Short-term investments 5,217   16,130 Accounts receivable, net 461,809   401,901 Inventories:   Finished goods 192,393   175,176 Work in process 326,575   296,393 Raw materials 235,898   217,812 Total inventories 754,866   689,381     Prepaid expenses and other current assets 216,330   217,809 Total current assets 1,912,082   1,915,507     Property and equipment, at cost:   Land 86,411   84,124 Buildings and improvements 813,274   766,058 Machinery and equipment 3,433,596   3,259,213 Construction in progress 421,365   367,564 Allowance for depreciation (3,124,035)  (2,931,221)  1,630,611   1,545,738     Right of use assets 122,554   117,953 Deferred income taxes 179,215   159,769 Goodwill 180,348   179,005 Other intangible assets, net 86,195   87,223 Other assets 110,650   105,501 Total assets$4,221,655  $4,110,696      VISHAY INTERTECHNOLOGY, INC.Consolidated Condensed Balance Sheets (continued)(Unaudited - In thousands)     June 28, 2025 December 31, 2024        Liabilities and equity   Current liabilities:   Trade accounts payable$224,346  $216,313 Payroll and related expenses 176,553   137,101 Lease liabilities 26,986   25,901 Other accrued expenses 268,101   264,471 Income taxes 11,308   64,562 Total current liabilities 707,294   708,348     Long-term debt less current portion 914,504   905,019 Deferred income taxes 98,320   96,363 Long-term lease liabilities 98,970   94,218 Other liabilities 119,573   104,086 Accrued pension and other postretirement costs 188,003   173,700 Total liabilities 2,126,664   2,081,734     Equity:   Common stock 13,415   13,361 Class B convertible common stock 1,210   1,210 Capital in excess of par value 1,314,066   1,306,245 Retained earnings 926,267   955,500 Treasury stock (at cost) (224,592)  (212,062)Accumulated other comprehensive income (loss) 64,625   (35,292)Total equity 2,094,991   2,028,962 Total liabilities and equity$4,221,655  $4,110,696      VISHAY INTERTECHNOLOGY, INC.Consolidated Condensed Statements of Cash Flows(Unaudited - In thousands)   Six fiscal months ended June 28, 2025 June 29, 2024    Operating activities   Net earnings (loss)$(2,088) $55,323 Adjustments to reconcile net earnings (loss) to net cash provided by operating activities:  Depreciation and amortization 109,743   101,677 (Gain)/loss on disposal of property and equipment 73   (1,091)Inventory write-offs for obsolescence 17,456   19,051 Stock compensation expense 11,736   9,293 Deferred income taxes (6,034)  5,589 Other (3,606)  (632)Change in U.S. transition tax liability (47,027)  (37,622)Change in repatriation tax liability (9,375)  (15,000)Changes in operating assets and liabilities, net of effects of businesses acquired (63,571)  (81,107)Net cash provided by operating activities 7,307   55,481     Investing activities   Capital expenditures (126,167)  (115,648)Proceeds from sale of property and equipment 494   1,265 Purchase of businesses, net of cash acquired -   (200,185)Purchase of short-term investments (28,481)  (59,638)Maturity of short-term investments 39,400   80,110 Other investing activities (661)  (1,220)Net cash used in investing activities (115,415)  (295,316)    Financing activities   Principal payments on long-term debt (41,911)  - Net proceeds on revolving credit facility 49,000   - Dividends paid to common stockholders (24,700)  (25,033)Dividends paid to Class B common stockholders (2,419)  (2,419)Repurchase of common stock held in treasury (12,538)  (25,160)Cash withholding taxes paid when shares withheld for vested equity awards (3,957)  (4,058)Other financing activities 10,078   - Net cash used in financing activities (26,447)  (56,670)Effect of exchange rate changes on cash and cash equivalents 18,129   (3,483)    Net decrease in cash and cash equivalents (116,426)  (299,988)    Cash and cash equivalents at beginning of period 590,286   972,719 Cash and cash equivalents at end of period$473,860  $672,731      VISHAY INTERTECHNOLOGY, INC.Reconciliation of Adjusted Earnings Per Share(Unaudited - In thousands, except per share amounts)  Fiscal quarters ended Six fiscal months ended June 28, 2025 March 29, 2025 June 29, 2024 June 28, 2025 June 29, 2024           GAAP net earnings (loss) attributable to Vishay stockholders$2,004  $(4,092) $23,533  $(2,088) $54,457            Reconciling items affecting operating income:          Favorable resolution of contingency$(11,293) $-  $-  $(11,293) $-            Adjusted net earnings (loss)$(9,289) $(4,092) $23,533  $(13,381) $54,457            Adjusted weighted average diluted shares outstanding 135,702   135,799   138,084   135,750   138,279            Adjusted earnings (loss) per diluted share$(0.07) $(0.03) $0.17  $(0.10) $0.39             VISHAY INTERTECHNOLOGY, INC.Reconciliation of Free Cash(Unaudited - In thousands)           Fiscal quarters ended Six fiscal months ended June 28, 2025 March 29, 2025 June 29, 2024 June 28, 2025 June 29, 2024Net cash provided by (used in) operating activities$(8,791) $16,098  $(24,730) $7,307  $55,481 Proceeds from sale of property and equipment$215   279   514   494   1,265 Less: Capital expenditures$(64,598)  (61,569)  (62,564)  (126,167)  (115,648)Free cash$(73,174) $(45,192) $(86,780) $(118,366) $(58,902)           VISHAY INTERTECHNOLOGY, INC.Reconciliation of EBITDA and Adjusted EBITDA(Unaudited - In thousands)           Fiscal quarters ended Six fiscal months ended June 28, 2025 March 29, 2025 June 29, 2024 June 28, 2025 June 29, 2024          GAAP net earnings (loss) attributable to Vishay stockholders$2,004  $(4,092) $23,533  $(2,088) $54,457 Net earnings attributable to noncontrolling interests -   -   347   -   866 Net earnings (loss)$2,004  $(4,092) $23,880  $(2,088) $55,323           Interest expense$10,588  $8,790  $6,657  $19,378  $13,153 Interest income (4,023)  (3,877)  (6,663)  (7,900)  (15,716)Income taxes 10,273   (136)  12,391   10,137   25,210 Depreciation and amortization 55,970   53,773   52,150   109,743   101,677 EBITDA$74,812  $54,458  $88,415  $129,270  $179,647           Reconciling items         Favorable resolution of contingency (11,293)  -   -   (11,293)  -           Adjusted EBITDA$63,519  $54,458  $88,415  $117,977  $179,647           Adjusted EBITDA margin** 8.3%  7.6%  11.9%  8.0%  12.1%          ** Adjusted EBITDA as a percentage of net revenues                   

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