Vishay Intertechnology, Inc. reported significant declines in both revenue and profitability for the fiscal quarter ended September 28, 2024, compared to the same period in the previous year. Net revenues for Q3 2024 were $735.4 million, down 13.9% from $853.7 million in Q3 2023. For the nine months ended September 28, 2024, revenues totaled $2.2 billion, a decrease of 15.1% from $2.6 billion in the prior year. The decline in revenue was attributed to lower sales volumes, decreased average selling prices, and increased depreciation expenses.

Gross profit for Q3 2024 was $150.9 million, resulting in a gross profit margin of 20.5%, down from 27.8% in Q3 2023. The nine-month gross profit also fell to $484.2 million, with a margin of 21.8%, compared to 29.6% in the same period last year. Operating income turned negative, with a loss of $18.3 million for Q3 2024, contrasting sharply with an operating income of $115.1 million in Q3 2023. Net loss attributable to Vishay stockholders for the quarter was $19.3 million, or $(0.14) per share, compared to net earnings of $65.5 million, or $0.47 per share, in the prior year.

The company undertook strategic acquisitions, including the purchase of Nexperia’s wafer fabrication facility in Newport, U.K., for approximately $177.5 million, aimed at enhancing its capabilities in SiC MOSFETs and diodes. Additionally, Vishay acquired Ametherm, Inc. for $31.5 million in June 2024. These acquisitions are part of a broader strategy to expand manufacturing capacity and improve product offerings.

Vishay also announced restructuring actions on September 24, 2024, to optimize its manufacturing footprint and streamline operations, which included the closure of three manufacturing facilities. Restructuring expenses for Q3 2024 amounted to $40.6 million, primarily for severance costs.

Financially, the company experienced a decrease in cash and cash equivalents, which fell to $643.8 million as of September 28, 2024, from $972.7 million at the end of 2023. Total liabilities increased slightly to $2.05 billion, while total stockholders' equity decreased to $2.17 billion. The company’s effective tax rate for Q3 2024 was 21.1%, reflecting a decrease from the previous year.

Overall, Vishay's performance in Q3 2024 was marked by significant revenue and profit declines, alongside strategic acquisitions and restructuring efforts aimed at long-term growth.