Core Insights - The Indian government is emphasizing the importance of design capabilities in the electronics sector, stating that companies failing to invest in these areas will be excluded from the Electronic Component Manufacturing Scheme (ECMS) [1][6] - The latest tranche of the ECMS includes 29 applicants projected to generate production worth Rs 84,515 crore and create 14,246 jobs across eight states [1][6] - The government has allocated Rs 40,000 crore for the ECMS in the latest budget, an increase from the previous allocation of Rs 22,919 crore [5][7] Group 1: Investment and Production - The latest group of applicants under the ECMS is expected to produce Rs 84,515 crore from facilities located in eight states, employing 14,246 individuals [1][6] - The government has approved Rs 7,104 crore of investments under the ECMS, marking the fourth tranche of beneficiary firms [6] Group 2: Design and Development - The minister highlighted the necessity for Indian firms to invest in design capabilities across the entire value chain, including conceptual, engineering, and manufacturing designs [4][6] - The latest tranche introduces domestic production of rare earth permanent magnets, surface mount device passives, and flexible printed circuit boards, along with projects focused on high-precision capital equipment [3][6] Group 3: Industry Engagement and Guidelines - The minister called for industry input within 15 days to establish regular buyer-seller meetings, implement six sigma standards, and enhance workforce training [1][6] - The government is open to modifying the ECMS parameters to ensure that the industry prioritizes long-term growth over short-term gains [2][6] Group 4: External Factors - The ongoing crisis in West Asia has not affected the electronics production and trade in India, and the recent ECMS selections were not influenced by this situation [5][6]

Core Viewpoint - Vishay Intertechnology's recent earnings report showed mixed results, with a significant revenue increase but a miss on earnings per share, leading to concerns about future performance and stock trends [1][2]. Financial Performance - For Q4 2025, Vishay reported earnings of $0.01 per share, missing the Zacks Consensus Estimate of $0.02, but improved from the previous year's break-even earnings [2]. - Revenues reached $800.9 million, exceeding the Zacks Consensus Estimate of $790 million, marking a 12.1% year-over-year increase [2]. Segment Performance - The revenue breakdown for Q4 2025 showed a broad-based recovery: - MOSFETs (21.6% of total revenues) generated $172.6 million, up 17.7% year-over-year [3]. - Diodes (19.3% of total revenues) brought in $154.2 million, a 9.1% increase year-over-year [4]. - Optoelectronics (7% of total revenues) revenues were $55.7 million, up 18.8% year-over-year [4]. - Resistors (23.6% of total revenues) reported $189.4 million, a 7% increase year-over-year [5]. - Inductors (11.6% of total revenues) saw revenues of $92.6 million, up 11% year-over-year [5]. - Capacitors (16.5% of total revenues) generated $136.5 million, increasing by 14.4% year-over-year [5]. Profitability Metrics - Adjusted EBITDA for Q4 was $70.3 million, reflecting a 6.2% year-over-year increase, while the adjusted EBITDA margin contracted by 50 basis points to 8.8% [6]. - The operating margin improved to 1.8% from a negative 7.9% in the previous year [6]. Balance Sheet and Cash Flow - As of December 31, 2025, cash and cash equivalents stood at $515.2 million, up from $444.1 million as of September 27, 2025 [7]. - Long-term debt increased to $950.9 million from $919.7 million [7]. - Operating cash flow for Q4 was $149.4 million, with free cash flow at $54.9 million [8]. Future Guidance - For Q1 2026, Vishay expects revenues between $800 million and $830 million, with a gross profit margin anticipated at 19.9% (+/- 50 basis points) [9]. Market Sentiment - Recent estimates for Vishay have trended downward, with a significant shift of -73.33% in consensus estimates [10]. - The stock currently holds a Zacks Rank of 5 (Strong Sell), indicating expectations of below-average returns in the coming months [13].

Core Insights - Vishay Intertechnology, Inc. (VSH) reported lower-than-expected earnings for Q4 2025, with earnings of $0.01 per share, missing the Zacks Consensus Estimate of $0.02 per share, although this is an improvement from the previous year's break-even earnings [1][9] - The company's revenues for Q4 2025 were $800.9 million, exceeding the Zacks Consensus Estimate of $790 million, and reflecting a year-over-year increase of 12.1% [2][9] Revenue Breakdown - Revenues from MOSFETs, which account for 21.6% of total revenues, were $172.6 million, up 17.7% year-over-year, with a book-to-bill ratio of 1.48 [3] - Diodes generated $154.2 million in revenue (19.3% of total), marking a 9.1% increase year-over-year, with a book-to-bill ratio of 1.09 [4] - Optoelectronics revenues were $55.7 million (7% of total), up 18.8% year-over-year, with a book-to-bill ratio of 1.12 [4] - Resistors contributed $189.4 million (23.6% of total), rising 7% year-over-year, with a book-to-bill ratio of 1.05 [5] - Inductors generated $92.6 million (11.6% of total), up 11% year-over-year, with a book-to-bill ratio of 1.07 [5] - Capacitors accounted for $136.5 million (16.5% of total), increasing 14.4% year-over-year, with a book-to-bill ratio of 1.30 [5] Financial Performance - Adjusted EBITDA for Q4 was $70.3 million, reflecting a 6.2% year-over-year increase, while the adjusted EBITDA margin contracted by 50 basis points to 8.8% [6] - The operating margin improved to 1.8% from a negative 7.9% in the same quarter last year [6] Balance Sheet and Cash Flow - As of December 31, 2025, cash and cash equivalents stood at $515.2 million, up from $444.1 million as of September 27, 2025 [7] - Long-term debt increased to $950.9 million as of September 27, 2025, compared to $919.7 million previously [7] - Operating cash flow for Q4 was $149.4 million, with free cash flow at $54.9 million [7] Q1 2026 Guidance - For Q1 2026, VSH expects revenues between $800 million and $830 million, with the Zacks Consensus Estimate at $797.9 million, indicating an 11.6% year-over-year increase [8] - The anticipated gross profit margin is 19.9% (+/- 50 basis points), with earnings expected to be $0.10 per share, a significant improvement from a loss of $0.03 in the same quarter last year [8]

Financial Data and Key Metrics Changes - The company reported fourth quarter revenue of $801 million, slightly above the midpoint of guidance and a 1.3% increase from the third quarter [4][18] - Gross profit was $157 million, resulting in a gross margin of 19.6%, which is modestly above both the midpoint of guidance and the previous quarter [18][19] - GAAP earnings per share was $0.01, compared to a loss of $0.06 in the third quarter and a loss of $0.49 in the fourth quarter of 2024 [21] Business Line Data and Key Metrics Changes - Automotive revenue decreased by 3.4% compared to the third quarter, primarily due to lower pull rates during the holiday weeks [9] - Industrial power revenue increased by 3.2%, driven by shipments of high voltage DC power capacitors and inventory replenishment [10] - Aerospace and defense revenue was slightly down by 1.2%, reflecting the impact of the U.S. government shutdown [12] - Healthcare revenue remained flat compared to the third quarter, with fluctuations tied to customer program milestones [13] - Revenue in the "other" category grew by 10.6%, driven by increased production for AI power management applications [13] Market Data and Key Metrics Changes - Revenue growth for the quarter came entirely from Asia, which grew by 3.6%, while the Americas and Europe were essentially flat due to year-end holiday slowdowns [16] - The book-to-bill ratio ended the quarter at 1.2, up from 1.15 at the end of October [7] - Orders from OEM, distribution, and EMS channels reached three-year highs, indicating strong demand across all regions and technologies [5][6] Company Strategy and Development Direction - The company is executing a five-year strategic plan aimed at driving faster revenue growth, raising profitability, and enhancing capital returns [30] - Significant investments are being made in capacity expansion, particularly at the 12-inch fab, with expected CapEx between $400 million and $440 million for 2026 [30][31] - The company is focusing on innovation, including the release of new products and solutions, particularly in silicon carbide technology for automotive applications [32][34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining capacity readiness to fulfill rising demand and expects revenue to increase each quarter in 2026 [34] - The company anticipates mid to high single-digit growth across its key market segments, including industrial power, automotive, aerospace defense, AI, and healthcare [38] - Management noted that customer program visibility is improving, with shippable backlog developing for key markets [34] Other Important Information - The company generated $149 million in operating cash for the fourth quarter, including $62 million from the securitization of accounts receivable [23] - Total CapEx for the quarter was $95 million, with $75 million designated for capacity expansion projects [24] - The company plans to maintain its dividend policy, returning at least 70% of free cash flow to shareholders, despite expecting negative free cash flow due to capacity expansion plans [28][62] Q&A Session Summary Question: What is the current view on industry growth expectations? - Management maintains a view of mid to high single-digit growth across various market segments, including industrial power and automotive [38] Question: How are gross margins expected to trend? - Management indicated that annual contractual negotiations have resulted in less price decrease than historical trends, and they are implementing price increases due to rising material costs [40][41] Question: What is the outlook for automotive demand? - Management noted gains in market share and increasing volumes in automotive, driven by technology developments in electrification and ADAS [46][52] Question: Can you provide details on CapEx and OpEx plans? - The company plans to spend between $400 million and $440 million in CapEx for 2026, focusing on capacity expansion and targeted projects [56][60] Question: Is M&A being considered? - Management stated that M&A is always on the table, with ongoing evaluations in both passive and active segments [63]

Financial Data and Key Metrics Changes - The company reported Q4 revenue of $801 million, slightly above the midpoint of guidance and a 1.3% increase from Q3 [4] - Revenue increased by 12% compared to Q4 2024, driven by an 11% increase in volume and a favorable foreign currency impact of 3% [18] - Gross profit was $157 million, resulting in a gross margin of 19.6%, which is modestly above both the midpoint of guidance and Q3 [18][19] - GAAP earnings per share was $0.01, compared to a loss of $0.06 in Q3 and a loss of $0.49 in Q4 2024 [20] Business Line Data and Key Metrics Changes - Automotive revenue decreased by 3.4% versus Q3, while Asia automotive revenue grew in a seasonally strong quarter [9] - Industrial power revenue increased by 3.2%, driven by shipments of high voltage DC power capacitors and inventory replenishment [10] - Aerospace and defense revenue was slightly down by 1.2%, reflecting U.S. government shutdown impacts [12] - Healthcare revenue was flat compared to Q3, with Europe experiencing its strongest quarter in three years [13] - Other category revenue grew by 10.6%, primarily due to AI power management applications [13] Market Data and Key Metrics Changes - Revenue growth for the quarter came entirely from Asia, which grew by 3.6%, while the Americas and Europe were flat due to year-end holiday slowdowns [16] - Book-to-bill ratio was 1.2, indicating strong order growth across all regions and channels [7] - Backlog at quarter end was $1.3 billion, representing 4.9 months of supply [8] Company Strategy and Development Direction - The company is executing a five-year strategic plan aimed at driving faster revenue growth and enhancing capital returns [28] - Significant investments are being made in capacity expansion, particularly at the 12-inch fab, with expected CapEx of $400 million to $440 million in 2026 [28][29] - The company is focusing on innovation, including the release of new products and solutions, particularly in silicon carbide technology for automotive applications [30][31] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in maintaining competitive lead times and securing customer trust, positioning the company for revenue growth in 2026 [32] - The company anticipates continued demand in key growth segments, with customer program visibility improving [32] - Management expects revenue for Q1 2026 to be between $800 million and $830 million, with sequential increases in all key growth segments [25] Other Important Information - The company generated $149 million in operating cash for Q4, with total CapEx for the quarter at $95 million [22] - The cash conversion cycle improved to 125 days, down from 130 days in Q3 [22] - The company plans to maintain its dividend policy, returning at least 70% of free cash flow to shareholders [27] Q&A Session Summary Question: What is the current view on industry growth expectations? - Management maintains a view of mid to high single-digit growth across key segments, including industrial power and automotive [35][36] Question: How are gross margins expected to trend? - Management indicated that annual contractual negotiations have resulted in less historical ASP decline, with price increases implemented due to higher material costs [38][39] Question: What is the outlook for automotive demand? - Management noted gains in market share and increasing volumes, particularly in technology areas such as electrification and ADAS [44][45] Question: Can you elaborate on CapEx and OpEx plans? - Management outlined a CapEx plan of $400 million to $440 million for 2026, focusing on capacity expansion and targeted projects [54][55] Question: Is M&A being considered? - Management confirmed that M&A is always on the table, with a focus on optimizing the company's footprint and exploring opportunities in both passive and active segments [62]

4Q 2025 Earnings Conference Call February 4, 2026 © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. NOTES ON FORWARD-LOOKING STATEMENTS Comments in this presentation other than statements of historical fact may constitute forward-looking statements. Words such as "believe," "estimate," "will be," "will," "would," "expect," "anticipate," "plan," "project," "intend," "could," "should" or other similar words or expressions often identify forward-looking statements. Such statements are based on current expect ...

Core Insights - Vishay Intertechnology, Inc. reported third-quarter 2025 earnings of 4 cents per share, matching the Zacks Consensus Estimate, but down from 8 cents in the same quarter last year [1][8] - Revenues for the quarter were $790.6 million, exceeding the Zacks Consensus Estimate by 2% and reflecting a year-over-year increase of 7.5% [1][8] Revenue Breakdown - Revenues from MOSFETs, which account for 21.1% of total revenues, were $167.1 million, up 13.6% year over year, with a book-to-bill ratio of 0.86 [3] - Diodes generated $149.6 million in revenues, representing an increase of 3% year over year, with a book-to-bill ratio of 1.07 [3] - Optoelectronics revenues were $55.6 million, down 12% year over year, with a book-to-bill ratio of 0.93 [4] - Resistors brought in $195.7 million, up 8.2% year over year, with a book-to-bill ratio of 0.92 [4] - Inductors generated $92 million, reflecting a 1.9% year-over-year increase, with a book-to-bill ratio of 0.99 [4] - Capacitors saw revenues of $130.6 million, up 20.1% year over year, with a book-to-bill ratio of 1.07 [5] Financial Performance - Adjusted EBITDA for the third quarter was $76 million, a 6.3% increase year over year, while the adjusted EBITDA margin contracted by 10 basis points to 9.6% [5] - The operating margin improved to 2.4% from a negative 2.5% in the year-ago quarter [5] Balance Sheet and Cash Flow - As of September 27, 2025, cash and cash equivalents were $444.1 million, down from $473.9 million as of June 28, 2025 [6] - Long-term debt increased to $919.7 million from $914.5 million [6] - Net cash provided by operating activities was $27.6 million, while the company reported a negative free cash flow of $24.3 million for the quarter [6] Q4 Guidance - For the fourth quarter, Vishay Intertechnology expects revenues of approximately $790 million, with earnings projected to improve to 7 cents per share [7][9]

Financial Performance - 3Q 2025 revenues reached $790.6 million[26], compared to $762.3 million in 2Q 2025 and $735.4 million in 3Q 2024[27, 66] - Gross margin was 19.5%[26, 66], including a negative impact of approximately 150 bps related to Newport[26, 29] - Adjusted EPS was $0.04[26, 29], while EPS was $(0.06)[26, 29] - EBITDA margin was 9.6%[29] Segment Results - MOSFETs revenues were $167.1 million with a gross margin of 10.1%[32] - Diodes revenues were $149.6 million with a gross margin of 20.3%[32] - Resistors revenues were $195.7 million with a gross margin of 20.1%[33] - Capacitors revenues were $130.6 million with a gross margin of 20.1%[33] Revenue Mix and Sales Channel - Distribution accounted for 57% of revenue, OEM 37%, and EMS 6%[21] - Distribution revenue increased 4% QoQ and 10% YoY, driven by growth in Asia related to AI servers and smart grid infrastructure[20] - OEM revenue increased 6% QoQ and 6% YoY, driven by increased volume from automotive and industrial customers[20] Regional Performance - Asia's revenue increased 7% QoQ and 18% YoY[23], representing 43% of the total revenue[24] - Europe's revenue increased 1% QoQ and 1% YoY[23], accounting for 33% of the total revenue[24] - Americas' revenue increased 2% QoQ and 1% YoY[23], making up 24% of the total revenue[24] Guidance - The company projects 4Q 2025 revenue of $790 million, with a variance of plus or minus $20 million[47] - Gross margin for 4Q 2025 is expected to be 19.5%, with a variance of plus or minus 50 bps, including a negative Newport impact of 150-175 bps[47]

Core Insights - Vishay Intertechnology, Inc. has successfully expanded its inductor and frequency control device product lines, launching over 2000 new SKUs across nearly 100 series, with further rollouts planned for 2025 [1][2][4] Group 1: Product Expansion - The recent product launches include wireless charging inductors, common-mode chokes, high current ferrite impedance beads, TLVR inductors, and nearly 15 new frequency control device products [1][2] - The expansion aims to simplify sourcing for customers and support a wider range of applications through improved inductance and voltage ranges, enhanced noise suppression, and additional size variations [2] Group 2: Market Response and Growth - The market response to the expansion has been positive, with strong uptake through distribution and customer feedback indicating appreciation for the depth and readiness of the product offerings [3] - Vishay is investing in global production capacity, with expansions in Asia, Mexico, and the Dominican Republic to meet increasing demand for diversified manufacturing locations [3] Group 3: Future Outlook - The company anticipates launching more product series in 2025, expecting to exceed 3000 new SKUs from the overall expansion effort, which will support increased design-in activity across various sectors including industrial, telecom, and consumer applications [4]

Core Insights - Vishay Intertechnology, Inc. (VSH) reported a second-quarter 2025 loss of 7 cents per share, missing the Zacks Consensus Estimate of earnings of 2 cents and down from earnings of 17 cents in the same quarter last year [1][7] - Revenues for the second quarter were $762.3 million, exceeding the Zacks Consensus Estimate by 0.3% and reflecting a year-over-year increase of 2.9% [1][7] Financial Performance - The company's weak second-quarter performance led to a 14.05% decline in share price, with a year-to-date drop of 17.8%, underperforming the Zacks Computer and Technology sector's growth of 10.9% [2] - VSH has a mixed earnings surprise history, missing the Zacks Consensus Estimate in three of the last four quarters, with an average negative surprise of 149.2% [2] Revenue Breakdown - Revenues from MOSFETs (19.5% of total revenues) were $148.6 million, down 4.19% year over year, with a book-to-bill ratio of 1.00 [3] - Diodes (19.4% of total revenues) generated $147.9 million, up 1.1% year over year, with a book-to-bill ratio of 0.93 [3] - Optoelectronics (7.1% of total revenues) revenues were $54.1 million, up 2.1% year over year, with a book-to-bill ratio of 1.05 [4] - Resistors (25.6% of total revenues) brought in $194.8 million, up 8.5% year over year, with a book-to-bill ratio of 0.91 [4] - Inductors (12.6% of total revenues) revenues were $95.7 million, up 1.7% year over year, with a book-to-bill ratio of 0.91 [4] - Capacitors (15.9% of total revenues) generated $121.1 million, up 6.8% year over year, with a book-to-bill ratio of 1.40 [5] Profitability Metrics - Adjusted EBITDA for the second quarter was $63.5 million, down 28.2% year over year, with an adjusted EBITDA margin of 8.3%, a contraction of 360 basis points [5][7] - The operating margin was reported at 2.9%, down from 5.1% in the year-ago quarter [5][7] Balance Sheet and Cash Flow - As of June 28, 2025, VSH's cash and cash equivalents were $473.9 million, down from $609.4 million as of March 29, 2025 [6] - Long-term debt decreased to $914.5 million from $988.2 million as of March 29 [6] - The company reported net cash used in operating activities of $8.8 million and a negative free cash flow of $73.2 million for the quarter [6] Guidance - For the third quarter, Vishay Intertechnology expects revenues of $775 million (plus or minus $20 million), with the Zacks Consensus Estimate for revenues at $752.4 million, indicating a year-over-year increase of 2.3% [8] - The anticipated gross profit margin is 19.7% (plus or minus 50 basis points), while the Zacks Consensus Estimate for earnings is 3 cents per share, reflecting a year-over-year decline of 62.5% [8]