Financial Performance - Total net revenues for the three months ended September 30, 2025, increased to $110,423,000, up 18.5% from $93,166,000 in the same period of 2024[10] - Product revenue for the nine months ended September 30, 2025, reached $257,597,000, a 11.0% increase compared to $232,071,000 in 2024[10] - Consolidated net income for the nine months ended September 30, 2025, was $72,063,000, compared to a net loss of $4,103,000 in the same period of 2024[12] - For the three months ended September 30, 2025, the net income was $28,292,000, with total comprehensive income of $28,022,000[19] - For the nine months ended September 30, 2025, the net income was $72,023,000, with total comprehensive income of $71,957,000[20] - The company reported a basic net income per share of $0.63 for the three months ended September 30, 2025, compared to $0.26 in 2024, marking a 142.3% increase[10] - Net income attributable to Vicor Corporation for the three months ended September 30, 2025, was $28,292,000, compared to $11,552,000 for the same period in 2024, representing a significant increase of 144.5%[55] - Basic net income per share for the three months ended September 30, 2025, was $0.63, up from $0.26 in the same period of 2024, reflecting a 142% increase[55] Cash and Assets - Cash and cash equivalents increased to $362,382,000 as of September 30, 2025, from $277,273,000 at the end of 2024, representing a 30.7% increase[8] - Total assets grew to $710,247,000 as of September 30, 2025, up from $641,118,000 at December 31, 2024, reflecting a 10.8% increase[8] - The balance sheet as of September 30, 2025, showed total equity of $630,353,000, an increase from $608,866,000 on June 30, 2025[19] - The company held cash and cash equivalents of $362,382,000 as of September 30, 2025, compared to $277,273,000 at the end of 2024, reflecting a 30.7% increase[28] - Working capital increased by $62,010,000 to $463,224,000 as of September 30, 2025, from $401,214,000 as of December 31, 2024[110] Liabilities and Equity - Total liabilities increased to $79,894,000 as of September 30, 2025, from $70,827,000 at December 31, 2024, a rise of 12.9%[8] - The balance of retained earnings as of September 30, 2025, was $374,826,000, reflecting an increase from $346,534,000 on June 30, 2025[19] Revenue Breakdown - The United States contributed $63,180,000 to net revenues for the three months ended September 30, 2025, compared to $47,522,000 in 2024, reflecting a growth of 32.9%[41] - The Company reported a total of $300,437,000 in net revenues for the nine months ended September 30, 2025, compared to $262,892,000 for the same period in 2024, marking a year-over-year increase of 14.3%[37] - Advanced Products and Brick Products generated total revenues of $300,437,000 for the nine months ended September 30, 2025, with Advanced Products contributing $114,508,000 and Brick Products $185,929,000[41] - The Company reported a significant increase in revenues from the Asia Pacific region, which rose to $121,223,000 for the nine months ended September 30, 2025, compared to $85,352,000 in the same period of 2024, marking a growth of 42.0%[37] Operating Expenses - Operating expenses for the nine months ended September 30, 2025, totaled $133,863,000, down from $144,153,000 in 2024, showing a reduction of 7.1%[10] - Operating expenses decreased by 8.9% to $42,606,000 in Q3 2025 from $46,743,000 in Q2 2025[82] - Research and development expenses increased by 17.1% to $19,859,000 in Q3 2025 compared to $16,960,000 in Q3 2024, accounting for 18.0% of total net revenues[88] - Research and development expenses for the nine months ended September 30, 2025, were $58,027,000, up from $51,938,000 in 2024[10] Stock and Compensation - Stock-based compensation expense for the three months ended September 30, 2025, was $4,362,000, up from $4,034,000 in the same period of 2024, reflecting an increase of 8.1%[46] - Stock-based compensation expense for the nine months ended September 30, 2025, was $12,420,000, an increase from $11,245,000 in the prior year[16] - The company issued common stock under employee stock plans amounting to $4,795,000 for the three months ended September 30, 2025[19] - The company repurchased common stock totaling $15,695,000 during the three months ended September 30, 2025[19] - The company repurchased $32,978,000 of common stock during the nine months ended September 30, 2025, compared to $497,000 in the same period of 2024[16] Litigation and Legal Matters - The company is involved in ongoing litigation with SynQor, with a total judgment amounting to approximately $26,000,000 awarded against it, which may impact future financial performance[59] - The Company recorded a total litigation-related accrual of $26,000,000, including $6,500,000 in Q3 2022, $17,200,000 in Q1 2024, and $2,300,000 in Q2 2024[63] - The Company received $45,000,000 from settlement agreements related to intellectual property claims in May 2025, incurring $5,100,000 in legal fees associated with this settlement[66] - The company expects no material adverse impact on its financial position or results of operations from current litigation or claims[67] Strategic Focus and Market Position - The Company has established a leadership position in the AI market segment, serving major OEMs and ODMs in data centers and hyperscaler segments[78] - The Company is transitioning its focus towards high-growth market segments with its Advanced Products line while maintaining profitability in mature markets with its Brick Products line[77] - Vicor's strategy emphasizes product differentiation and a focus on high-frequency switching topologies, which enhance efficiency and reduce size compared to conventional alternatives[75] - The company is transitioning to serve a smaller number of large-volume customers, aiming to expand its market segments and increase revenue from licensing intellectual property[74] Future Outlook - The Company anticipates fluctuations in quarterly consolidated operating results due to customer demand variability and supply chain uncertainties[79] - The Company has taken steps to mitigate supply chain disruptions, which have previously impacted revenue, gross margin, and operating profit[81] - The company expects cash generated from operations to be sufficient to fund planned operational needs and capital equipment purchases for the foreseeable future[74] - The company is evaluating the impact of recently issued accounting standards on its financial disclosures, with no expected material impact on consolidated financial statements[70]

Core Viewpoint - Vicor Corporation (NASDAQ: VICR) has been rated as a sell due to bearish technicals, concerning margin contraction, and unattractive valuation [1] Company Analysis - The stock was initiated with a sell rating in early May, indicating a negative outlook based on current market conditions [1] - Concerns regarding margin contraction suggest potential profitability issues for Vicor Corporation [1] - The valuation of the company is considered unattractive, which may deter potential investors [1]

Core Viewpoint - Vicor Corporation (NASDAQ: VICR) has been rated as a sell due to bearish technicals, concerning margin contraction, and unattractive valuation [1] Company Analysis - The stock was initiated with a sell rating in early May, indicating a negative outlook based on current market conditions [1] - Concerns regarding margin contraction suggest potential profitability issues for Vicor Corporation [1] - The valuation of the company is considered unattractive, which may deter potential investors [1] Analyst Background - The analyst has a strong focus on the tech sector and holds a Bachelor of Commerce Degree with Distinction, majoring in Finance [1] - The analyst emphasizes core values of Excellence, Integrity, Transparency, and Respect as essential for long-term success [1]

Group 1 - The focus is on identifying small-cap tech companies with significant growth potential, strong insider ownership, and solid balance sheets [1] - The goal is to find these companies during their early growth stages at reasonable prices [1] Group 2 - The analyst has a beneficial long position in the shares of Vicor, indicating confidence in the company's future performance [2] - Vicor is highlighted as the largest position for the analyst, suggesting a strong belief in its growth prospects [2]

Core Insights - Vicor's stock experienced a significant increase, closing up 30.2% after reporting strong Q3 results that exceeded market expectations [1][3] - The company reported earnings per share of $0.63 on revenue of $110.4 million, surpassing analyst estimates of $0.12 per share on revenue of $95.4 million [3] - Year-over-year sales growth was 18.5%, with margins performing better than anticipated, driven by increased royalty revenues [3] Financial Performance - Earnings per share: $0.63, compared to the expected $0.12 [3] - Revenue: $110.4 million, exceeding the forecast of $95.4 million [3] - Year-over-year sales growth: 18.5% [3] Future Outlook - Vicor anticipates licensing revenues to grow at approximately 50% in the near term, with potential to double in the next few years [4] - The company's Gen 5 vertical power delivery solution is set to launch in Q1 2026 after meeting specifications for its top customer [4] - Investors are optimistic about increased revenue from products and licensing related to AI data centers [5]

Core Viewpoint - Vicor Corporation's stock experienced a significant increase of 27% following the release of its third-quarter fiscal 2025 results, which greatly surpassed analyst expectations [1] Financial Performance - The company reported third-quarter fiscal 2025 results that exceeded analyst forecasts, indicating strong financial performance [1]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Financial Data and Key Metrics Changes - Vicor recorded product revenues and licensing income for Q3 2025 of $110.4 million, down 21.7% sequentially from Q2 2025, which was $141 million, but up 18.5% from Q3 2024, which was $93.2 million [5] - Gross profit margin for Q3 was 57.5%, a decrease of 780 basis points from the prior quarter, primarily due to a $45 million patent litigation settlement in Q2 [6] - Net income for Q3 totaled $28.3 million, with GAAP-diluted income per share at $0.63 based on a fully diluted share count of 44,930,000 shares [8] - Cash and cash equivalents increased to $362.4 million at Q3, up $23.8 million sequentially [8] Business Line Data and Key Metrics Changes - Advanced product revenue increased 8.2% sequentially to $65.5 million, while brick product revenue increased 26.6% sequentially to $44.9 million [5] - Advanced product share of total revenue decreased to 59.3% compared to 63.1% in Q2 2025, with brick product share increasing to 40.7% [5] - Book-to-bill ratio for Q3 was 0.98, and one-year backlog increased 1.5% from the prior quarter, closing at $152.8 million [9] Market Data and Key Metrics Changes - Shipments to stocking distributors increased 39% sequentially and 46% year over year [5] - Exports as a percentage of total revenue decreased to approximately 42.8% from 51.9% in the prior quarter [5] Company Strategy and Development Direction - Vicor aims to substantially expand its licensing business over the next two years, particularly in AI applications, with a licensing revenue run rate of nearly $90 million per year [10] - The company is focused on innovation and customer engagement, particularly in the AI and data center markets, where power delivery networks are critical [12][17] - The second-generation vertical power delivery (VPD) solution is expected to meet the specifications of major customers and is progressing towards production launch in Q1 2026 [16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving record results in 2025, despite uncertainties in the timing of additional license deals [11] - The company highlighted the challenges faced by conventional power distribution technologies and the need for innovative solutions to meet the demands of AI processors [13][14] - Management noted that the current economic environment presents both uncertainty and opportunity for growth [10] Other Important Information - The effective tax rate for Q3 was negative 21.4%, positively impacted by the One Big Beautiful Bill Act, allowing for immediate expensing of domestic R&D investments [8] - Total operating expenses decreased 8.9% sequentially to $42.6 million, primarily due to a reduction in selling, general, and administrative expenses [6] Q&A Session Summary Question: What drove the increase in IP licensing revenue? - Management indicated that the increase was due to a compromise with an existing licensee who took an additional license for two years, including catch-up payments for previous months [20] Question: Are there other licensees contributing to the sequential jump in revenue? - Management confirmed that there were multiple factors, including a substantial hyperscaler signed in January and a settlement with a respondent in the ITC case [27] Question: How many customers are currently licensed, and what are the expectations for future licenses? - Management expects to sign up each OEM and hyperscaler in the AI and data center space over the next couple of years, leveraging their comprehensive patent portfolio [34] Question: What is the expected tax rate for Q4 and next year? - Management indicated that the fourth quarter would have a low single-digit tax rate expectation [64] Question: Are there concerns about not having a second source for production? - Management acknowledged the issue but stated they are prepared to address it through flexible licensing arrangements and potential shared ownership of fabs [56]

[Third Quarter 2025 Financial Highlights](index=1&type=section&id=1.%20Third%20Quarter%202025%20Financial%20Highlights) Vicor reported increased Q3 2025 revenues, improved gross margin, and significant net income growth, supported by strong operational cash flow [Key Financial Results](index=1&type=section&id=1.1.%20Key%20Financial%20Results) Vicor Corporation reported Q3 2025 product revenues and licensing income of **$110.4 million**, an **18.5%** YoY increase, with gross margin at **57.5%** and net income of **$28.3 million** Total Product Revenues and Licensing Income | Metric | Q3 2025 (in millions) | Q3 2024 (in millions) | YoY Change | Q2 2025 (in millions) | QoQ Change | | :----- | :------ | :------ | :--------- | :------ | :--------- | | Total Product Revenues & Licensing Income | $110.4 | $93.2 | +18.5% | $141.0 | -21.7% | Gross Margin Performance | Metric | Q3 2025 (in millions) | Q3 2024 (in millions) | YoY Change | Q2 2025 (in millions) | QoQ Change | | :----- | :------ | :------ | :--------- | :------ | :--------- | | Gross Margin (absolute) | $63.5 | $45.7 | +38.9% | $92.1 | -31.0% | | Gross Margin (% of revenue) | 57.5% | 49.1% | +8.4 pp | 65.3% | -7.8 pp | Operating Expenses | Metric | Q3 2025 (in millions) | Q3 2024 (in millions) | YoY Change | Q2 2025 (in millions) | QoQ Change | | :----- | :------ | :------ | :--------- | :------ | :--------- | | Operating Expenses | $42.6 | $40.4 | +5.4% | $46.7 | -8.8% | Net Income and Diluted EPS | Metric | Q3 2025 (in millions, except EPS) | Q3 2024 (in millions, except EPS) | YoY Change | Q2 2025 (in millions, except EPS) | QoQ Change | | :----- | :------ | :------ | :--------- | :------ | :--------- | | Net Income | $28.3 | $11.6 | +144.0% | $41.2 | -31.3% | | Diluted EPS | $0.63 | $0.26 | +142.3% | $0.91 | -30.7% | [Operational Metrics](index=1&type=section&id=1.2.%20Operational%20Metrics) Cash flow from operations significantly increased to **$38.5 million**, while capital expenditures decreased, and cash and equivalents grew **7.0%** sequentially Cash Flow from Operations | Metric | Q3 2025 (in millions) | Q3 2024 (in millions) | YoY Change | Q2 2025 (in millions) | QoQ Change | | :----- | :------ | :------ | :--------- | :------ | :--------- | | Cash Flow from Operations | $38.5 | $22.6 | +70.4% | $65.2 | -40.9% | Capital Expenditures | Metric | Q3 2025 (in millions) | Q3 2024 (in millions) | YoY Change | Q2 2025 (in millions) | QoQ Change | | :----- | :------ | :------ | :--------- | :------ | :--------- | | Capital Expenditures | $4.0 | $8.4 | -52.4% | $6.2 | -35.5% | Stock Repurchases | Metric | Q3 2025 (in millions) | Q2 2025 (in millions) | QoQ Change | | :----- | :------ | :------ | :--------- | | Stock Repurchases | $15.6 | $17.5 | -11.0% | Cash and Cash Equivalents | Metric | Sept 30, 2025 (in millions) | June 30, 2025 (in millions) | QoQ Change | | :----- | :------------ | :------------ | :--------- | | Cash and Cash Equivalents | $362.4 | $338.5 | +7.0% | Backlog | Metric | Sept 30, 2025 (in millions) | Sept 30, 2024 (in millions) | YoY Change | June 30, 2025 (in millions) | QoQ Change | | :----- | :------------ | :------------ | :--------- | :------------ | :--------- | | Backlog | $152.8 | $150.6 | +1.5% | $155.2 | -1.5% | [Management's Commentary](index=1&type=section&id=2.%20Management's%20Commentary) CEO highlighted record Q3 licensing revenue from a settlement, anticipating substantial IP licensing growth and improved margins from ChiP foundry utilization - Licensing revenue reached a **record rate in Q3** following the litigation settlement for prior infringement recorded in Q2[7](index=7&type=chunk) - Vicor expects its IP licensing practice to grow substantially as high-density power systems (NBMs and VPD) are critical for high-performance computing, requiring OEMs and hyper-scalers to obtain or renew licenses[7](index=7&type=chunk) - The company's high-density power module business leverages its first ChiP foundry, which delivers **98% final test yields** and has a capacity exceeding **$1 billion per year**, with higher margins expected from greater absorption of this capacity[7](index=7&type=chunk) [Company Overview](index=2&type=section&id=3.%20Company%20Overview) Vicor Corporation designs and markets modular power components for diverse markets, providing investor information via its website and CFO [About Vicor Corporation](index=2&type=section&id=3.1.%20About%20Vicor%20Corporation) Vicor Corporation specializes in designing, manufacturing, and marketing modular power components and systems for various high-performance markets - Vicor Corporation designs, develops, manufactures, and markets modular power components and complete power systems based on patented technologies[11](index=11&type=chunk) - The company's products are sold to various power systems markets, including enterprise and high-performance computing, industrial equipment and automation, telecommunications and network infrastructure, vehicles and transportation, and aerospace and defense electronics[11](index=11&type=chunk) [Investor Information](index=2&type=section&id=3.2.%20Investor%20Information) Investors can find product information on Vicor's website and contact the Chief Financial Officer for further inquiries - Company website for product information: **www.vicorpower.com**[8](index=8&type=chunk) - Investor contact: James F. Schmidt, Chief Financial Officer, Office: **(978) 470-2900**, Email: **invrel@vicorpower.com**[12](index=12&type=chunk) [Condensed Consolidated Financial Statements](index=3&type=section&id=4.%20Condensed%20Consolidated%20Financial%20Statements) This section presents Vicor Corporation's detailed condensed consolidated statements of operations and balance sheets for the reported periods [Condensed Consolidated Statement of Operations](index=3&type=section&id=4.1.%20Condensed%20Consolidated%20Statement%20of%20Operations) The statement details Q3 and YTD 2025 revenues, costs, and profitability, showing significant increases in net income and EPS YoY Condensed Consolidated Statement of Operations (Thousands except for per share amounts) | | | QUARTER ENDED | | | YEAR ENDED | | | --- | --- | --- | --- | --- | --- | --- | | | | (Unaudited) | | | (Unaudited) | | | | SEPT 30, | | SEPT 30, | | SEPT 30, | SEPT 30, | | | 2025 | | 2024 | | 2025 | 2024 | | Product revenue | $ 88,698 | | $79,796 | | $257,597 | $ 232,071 | | Royalty revenue | 21,725 | | 13,370 | | 42,840 | 30,821 | | Patent litigation settlement | — | | — | | 45,000 | — | | Total product revenue, royalty revenue and patent litigation settlement | 110,423 | | 93,166 | | 345,437 | 262,892 | | Cost of product revenues | 46,910 | | 47,422 | | 145,431 | 129,254 | | Gross margin | 63,513 | | 45,744 | | 200,006 | 133,638 | | Operating expenses: | | | | | | | | Selling, general and administrative | 22,747 | | 23,398 | | 75,836 | 72,715 | | Research and development | 19,859 | | 16,960 | | 58,027 | 51,938 | | Litigation-contingency expense | — | | — | | — | 19,500 | | Total operating expenses | 42,606 | | 40,358 | | 133,863 | 144,153 | | Income (loss) from operations | 20,907 | | 5,386 | | 66,143 | (10,515) | | Other income (expense), net | 2,407 | | 3,713 | | 9,198 | 9,244 | | Income (loss) before income taxes | 23,314 | | 9,099 | | 75,341 | (1,271) | | Less: (Benefit) provision for income taxes | (4,988) | | (2,455) | | 3,278 | 2,832 | | Consolidated net income (loss) | 28,302 | | 11,554 | | 72,063 | (4,103) | | Less: Net income attributable to noncontrolling interest | 10 | | 2 | | 40 | 14 | | Net income (loss) attributable to Vicor Corporation | $ 28,292 | | $11,552 | | $ 72,023 | ($ 4,117) | | Net income (loss) per share attributable to Vicor Corporation: | | | | | | | | Basic | $ 0.63 | | $ 0.26 | $ | 1.60 | ($ 0.09) | | Diluted | $ 0.63 | | $ 0.26 | $ | 1.59 | ($ 0.09) | | Shares outstanding: | | | | | | | | Basic | 44,734 | | 45,117 | | 44,986 | 44,829 | | Diluted | 44,930 | | 45,174 | | 45,167 | 44,829 | [Condensed Consolidated Balance Sheet](index=4&type=section&id=4.2.%20Condensed%20Consolidated%20Balance%20Sheet) The balance sheet presents Vicor Corporation's financial position as of September 30, 2025, showing increased total assets and stockholders' equity Condensed Consolidated Balance Sheet (Thousands) | | SEPT 30. | DEC 31. | | --- | --- | --- | | | 2025 (Unaudited) | 2024 (Unaudited) | | Assets | | | | Current assets: | | | | Cash and cash equivalents | $ 362,382 | $ 277,273 | | Accounts receivable, net | 53,252 | 52,948 | | Inventories | 92,294 | 106,032 | | Other current assets | 25,985 | 26,781 | | Total current assets | 533,913 | 463,034 | | Long-term deferred tax assets | 275 | 261 | | Long-term investment, net | 2,406 | 2,641 | | Property, plant and equipment, net | 152,526 | 152,705 | | Other assets | 21,127 | 22,477 | | Total assets | $ 710,247 | $ 641,118 | | Liabilities and Equity | | | | Current liabilities: | | | | Accounts payable | 15,391 | 8,737 | | Accrued compensation and benefits | 13,438 | 10,852 | | Accrued expenses | 5,437 | 6,589 | | Accrued litigation | 27,919 | 26,888 | | Sales allowances | 2,569 | 1,667 | | Short-term lease liabilities | 1,584 | 1,716 | | Income taxes payable | 154 | 0 | | Short-term deferred revenue and customer prepayments | 4,197 | 5,312 | | Total current liabilities | 70,689 | 61,820 | | Long-term income taxes payable | 3,430 | 3,387 | | Long-term lease liabilities | 5,775 | 5,620 | | Total liabilities | 79,894 | 70,827 | | Equity: | | | | Vicor Corporation stockholders' equity: | | | | Capital stock | 429,542 | 408,187 | | Retained earnings | 374,826 | 302,803 | | Accumulated other comprehensive loss | (1,561) | (1,495) | | Treasury stock | (172,728) | (139,424) | | Total Vicor Corporation stockholders' equity | 630,079 | 570,071 | | Noncontrolling interest | 274 | 220 | | Total equity | 630,353 | 570,291 | | Total liabilities and equity | $ 710,247 | $ 641,118 | [Additional Disclosures](index=2&type=section&id=5.%20Additional%20Disclosures) This section provides details on the upcoming earnings conference call and important forward-looking statement disclaimers [Earnings Conference Call](index=2&type=section&id=5.1.%20Earnings%20Conference%20Call) Vicor will host an investor conference call on October 21, 2025, to discuss Q3 results, requiring registration for participants - Date and Time: **Tuesday, October 21, 2025, at 5:00 p.m. Eastern Time**[9](index=9&type=chunk) - Registration is required for participants intending to ask questions, providing dial-in info and a unique PIN[9](index=9&type=chunk) - A listen-only webcast will be available on the Investor Relations page of Vicor's website, with a replay also accessible after the live call[9](index=9&type=chunk) [Forward-Looking Statements](index=2&type=section&id=5.2.%20Forward-Looking%20Statements) This press release contains forward-looking statements subject to risks and uncertainties, with actual results potentially differing materially from projections - The press release contains forward-looking statements identified by words like 'expects,' 'anticipates,' and 'plans,' covering aspects such as revenue, profitability, and manufacturing capacity[10](index=10&type=chunk) - Actual results may differ materially due to various economic, business, operational, and financial factors, as detailed in Vicor's Form 10-K and other SEC filings[10](index=10&type=chunk) - Vicor does not undertake any obligation to update any forward-looking statements as a result of future events or developments[10](index=10&type=chunk)

Core Insights - Vicor Corporation reported financial results for Q3 2025, showing an 18.5% year-over-year increase in product revenues and licensing income, totaling $110.4 million, but a 21.7% sequential decrease from Q2 2025 due to a prior patent litigation settlement [2][4]. Financial Performance - Gross margin for Q3 2025 was $63.5 million, up from $45.7 million year-over-year, but down from $92.1 million sequentially. The gross margin percentage increased to 57.5% compared to 49.1% a year ago, but decreased from 65.3% in Q2 2025 [3]. - Operating expenses rose to $42.6 million in Q3 2025 from $40.4 million a year ago, but decreased from $46.7 million in Q2 2025 [3]. - Net income for Q3 2025 was $28.3 million, or $0.63 per diluted share, compared to $11.6 million or $0.26 per diluted share a year ago, and down from $41.2 million or $0.91 per diluted share in Q2 2025 [4]. - Cash flow from operations was $38.5 million in Q3 2025, up from $22.6 million year-over-year, but down from $65.2 million in Q2 2025 [5]. Backlog and Market Position - The backlog for Q3 2025 was $152.8 million, a 1.5% increase from $150.6 million year-over-year, but a 1.5% sequential decrease from $155.2 million at the end of Q2 2025 [6]. - CEO Dr. Patrizio Vinciarelli highlighted that licensing revenue reached a record rate in Q3 2025 following a litigation settlement, indicating strong growth potential in Vicor's IP licensing practice [7]. Capital and Investments - Capital expenditures for Q3 2025 totaled $4.0 million, down from $8.4 million year-over-year and $6.2 million in Q2 2025 [5]. - Cash and cash equivalents increased by 7.0% sequentially to approximately $362.4 million as of September 30, 2025, compared to approximately $338.5 million as of June 30, 2025 [5]. Company Overview - Vicor Corporation designs, develops, manufactures, and markets modular power components and complete power systems, serving various markets including high-performance computing, industrial equipment, telecommunications, and aerospace [11].