Vishay Intertechnology Reports 7.5% Revenue Growth but Net Loss in Latest Quarter

Vishay Intertechnology, Inc. reported its financial results for the fiscal quarter and nine months ended September 27, 2025, revealing a net revenue of $790.6 million, a 7.5% increase from $735.4 million in the same quarter of the previous year. For the nine-month period, revenues rose to $2.27 billion from $2.22 billion year-over-year. However, the company recorded a net loss of $7.9 million, or $(0.06) per share, compared to a net loss of $19.3 million, or $(0.14) per share, in the prior year quarter. The results reflect a challenging market environment, with gross profit margins declining to 19.5% from 20.5% a year earlier, primarily due to higher input costs and lower average selling prices.

In terms of operational changes, Vishay has been actively managing its costs and restructuring its operations to optimize its manufacturing footprint. The company implemented restructuring actions in September 2024, which have continued to impact its financials. Selling, general, and administrative expenses increased to $134.7 million from $128.5 million year-over-year, partly due to higher stock-based compensation and general inflation. The company also reported a significant increase in inventories, which rose to $759.9 million from $689.4 million at the end of the previous fiscal year, indicating a strategic buildup to meet anticipated demand.

Vishay's product segments showed varied performance, with the MOSFETs segment generating $167.1 million in revenue, up from $147.1 million a year ago, while the Diodes segment also saw growth, reaching $149.6 million. However, the Optoelectronic Components segment experienced a decline, with revenues falling to $55.6 million from $63.2 million in the prior year. The company continues to focus on expanding its capacity for high-growth product lines, with capital expenditures for the nine months totaling $178.5 million, slightly higher than the previous year's $175.2 million.

Looking ahead, Vishay anticipates continued challenges due to global economic conditions and fluctuating demand in its end markets. The company plans to invest between $300 million to $350 million in capital expenditures for 2025, with a focus on capacity expansion projects. Despite the current negative free cash flow, Vishay remains committed to its Stockholder Return Policy, which aims to return at least 70% of free cash flow to shareholders through dividends and stock repurchases. The company is also closely monitoring its financial metrics, including inventory turnover and average selling prices, to navigate the evolving market landscape effectively.