ANDOVER, Mass., April 29, 2025 (GLOBE NEWSWIRE) -- Vicor Corporation (NASDAQ: VICR) today reported financial results for the first quarter ended March 31, 2025. These results will be discussed later today at 5:00 p.m. Eastern Time, during management's quarterly investor conference call. The details for the call are below.
Revenues for the first quarter ended March 31, 2025 totaled $94.0 million, a 12.0% increase from $83.9 million for the corresponding period a year ago, and a 2.3% sequential decrease from $96.2 million in the fourth quarter of 2024.
Gross margin decreased to $44.4 million for the first quarter of 2025, compared to $45.1 million for the corresponding period a year ago, and decreased sequentially from $50.4 million for the fourth quarter of 2024. Gross margin, as a percentage of revenue, decreased to 47.2% for the first quarter of 2025, compared to 53.8% for the corresponding period a year ago, and decreased from 52.4% for the fourth quarter of 2024. Operating expenses decreased to $44.5 million for the first quarter of 2025, compared to $61.2 million for the corresponding period a year ago, and increased sequentially from $41.2 million for the fourth quarter of 2024.
Net income for the first quarter was $2.5 million, or $0.06 per diluted share, compared to a net loss of ($14.5) million or ($0.33) per diluted share, for the corresponding period a year ago and net income of $10.2 million, or $0.23 per diluted share, for the fourth quarter of 2024.
Cash flow from operations totaled $20.1 million for the first quarter, compared to cash flow from operations of $2.6 million for the corresponding period a year ago, and cash flow from operations of $10.1 million in the fourth quarter of 2024. Capital expenditures for the first quarter totaled $4.6 million, compared to $7.3 million for the corresponding period a year ago and $1.7 million for the fourth quarter of 2024. Cash and cash equivalents as of March 31, 2025 increased 6.8% sequentially to approximately $296.1 million compared to approximately $277.3 million as of December 31, 2024.
Backlog for the first quarter ended March 31, 2025 totaled $171.7 million, a 14.2% increase from $150.3 million for the corresponding period a year ago, and 10.4% sequential increase from $155.5 million at the end of the fourth quarter of 2024.
Commenting on first quarter performance, Chief Executive Officer Dr. Patrizio Vinciarelli stated: "Revenues and gross margins declined sequentially, with reduced income from a licensee transitioning to a new generation of unlicensed products. Margin improvements await higher utilization of our ChiP fab and increased income from existing and future licensees. Licensing has been gaining traction with OEMs and hyper-scalers wishing to avoid infringing hardware being excluded from importation into the US."
"Our 2nd generation VPD for leading AI applications is coming to fruition with the arrival of an ASIC raising the density and bandwidth of our current multipliers. Second generation VPD will enable AI processors setting new standards for performance. We are still focused on completing initial delivery of a very high density VPD system to a lead customer before providing demo systems to processor chip companies and hyper-scalers."
For more information on Vicor and its products, please visit the Company's website at www.vicorpower.com.
Earnings Conference Call
Vicor will be holding its investor conference call today, Tuesday, April 29, 2025 at 5:00 p.m. Eastern Time. Vicor encourages investors and analysts who intend to ask questions via the conference call to register with Notified, the service provider hosting the conference call. Those registering on Notified's website will receive dial-in info and a unique PIN to join the call as well as an email confirmation with the details. Registration may be completed at any time prior to 5:00 p.m. on April 29, 2025. For those parties interested in listen-only mode, the conference call will be webcast via a link that will be posted on the Investor Relations page of Vicor's website prior to the conference call. Please access the website at least 15 minutes prior to the conference call to register and, if necessary, download and install any required software. For those who cannot participate in the live conference call, a webcast replay of the conference call will also be available on the Investor Relations page of Vicor's website.
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement in this press release that is not a statement of historical fact is a forward-looking statement, and, the words "believes," "expects," "anticipates," "intends," "estimates," "plans," "assumes," "may," "will," "would," "should," "continue," "prospective," "project," and other similar expressions identify forward-looking statements. Forward-looking statements also include statements regarding bookings, shipments, revenue, profitability, targeted markets, increase in manufacturing capacity and utilization thereof, future products and capital resources. These statements are based upon management's current expectations and estimates as to the prospective events and circumstances that may or may not be within the company's control and as to which there can be no assurance. Actual results could differ materially from those projected in the forward-looking statements as a result of various factors, including those economic, business, operational and financial considerations set forth in Vicor's Annual Report on Form 10-K for the year ended December 31, 2024, under Part I, Item I - "Business," under Part I, Item 1A - "Risk Factors," under Part I, Item 3 - "Legal Proceedings," and under Part II, Item 7 - "Management's Discussion and Analysis of Financial Condition and Results of Operations." The risk factors set forth in the Annual Report on Form 10-K may not be exhaustive. Therefore, the information contained in the Annual Report on Form 10-K should be read together with other reports and documents filed with the Securities and Exchange Commission from time to time, including Forms 10-Q, 8-K and 10-K, which may supplement, modify, supersede or update those risk factors. Vicor does not undertake any obligation to update any forward-looking statements as a result of future events or developments.
Vicor Corporation designs, develops, manufactures, and markets modular power components and complete power systems based upon a portfolio of patented technologies. Headquartered in Andover, Massachusetts, Vicor sells its products to the power systems market, including enterprise and high performance computing, industrial equipment and automation, telecommunications and network infrastructure, vehicles and transportation, and aerospace and defense electronics.
For further information contact:
James F. Schmidt, Chief Financial Officer
Office: (978) 470-2900
Email: invrel@vicorpower.com
| VICOR CORPORATION | ||||||||
| CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS | ||||||||
| (Thousands except for per share amounts) | ||||||||
| QUARTER ENDED | ||||||||
| (Unaudited) | ||||||||
| MAR 31, | MAR 31, | |||||||
| 2025 | 2024 | |||||||
| Product revenue | $ | 83,206 | $ | 75,692 | ||||
| Royalty revenue | 10,762 | 8,180 | ||||||
| Net revenues | 93,968 | 83,872 | ||||||
| Cost of product revenues | 49,603 | 38,749 | ||||||
| Gross margin | 44,365 | 45,123 | ||||||
| Operating expenses: | ||||||||
| Selling, general and administrative | 25,137 | 25,999 | ||||||
| Research and development | 19,377 | 18,039 | ||||||
| Litigation-contingency expense | - | 17,200 | ||||||
| Total operating expenses | 44,514 | 61,238 | ||||||
| Loss from operations | (149 | ) | (16,115 | ) | ||||
| Other income (expense), net | 3,134 | 2,724 | ||||||
| Income (loss) before income taxes | 2,985 | (13,391 | ) | |||||
| Less: Provision for income taxes | 424 | 1,071 | ||||||
| Consolidated net income (loss) | 2,561 | (14,462 | ) | |||||
| Less: Net income attributable to | ||||||||
| noncontrolling interest | 22 | 11 | ||||||
| Net income (loss) attributable to | ||||||||
| Vicor Corporation | $ | 2,539 | ($ | 14,473 | ) | |||
| Net income (loss) per share attributable | ||||||||
| to Vicor Corporation: | ||||||||
| Basic | $ | 0.06 | ($ | 0.33 | ) | |||
| Diluted | $ | 0.06 | ($ | 0.33 | ) | |||
| Shares outstanding: | ||||||||
| Basic | 45,217 | 44,516 | ||||||
| Diluted | 45,495 | 44,516 | ||||||
| VICOR CORPORATION | ||||||||
| CONDENSED CONSOLIDATED BALANCE SHEET | ||||||||
| (Thousands) | ||||||||
| MAR 31, | DEC 31, | |||||||
| 2025 | 2024 | |||||||
| (Unaudited) | (Unaudited) | |||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 296,099 | $ | 277,273 | ||||
| Accounts receivable, net | 65,864 | 52,948 | ||||||
| Inventories | 98,515 | 106,032 | ||||||
| Other current assets | 26,486 | 26,781 | ||||||
| Total current assets | 486,964 | 463,034 | ||||||
| Long-term deferred tax assets | 273 | 261 | ||||||
| Long-term investment, net | 2,664 | 2,641 | ||||||
| Property, plant and equipment, net | 153,117 | 152,705 | ||||||
| Other assets | 22,020 | 22,477 | ||||||
| Total assets | $ | 665,038 | $ | 641,118 | ||||
| Liabilities and Equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 16,866 | $ | 8,737 | ||||
| Accrued compensation and benefits | 12,548 | 10,852 | ||||||
| Accrued expenses | 8,558 | 6,589 | ||||||
| Accrued litigation | 27,219 | 26,888 | ||||||
| Sales allowances | 2,114 | 1,667 | ||||||
| Short-term lease liabilities | 1,675 | 1,716 | ||||||
| Income taxes payable | 57 | 59 | ||||||
| Short-term deferred revenue and customer prepayments | 6,624 | 5,312 | ||||||
| Total current liabilities | 75,661 | 61,820 | ||||||
| Long-term income taxes payable | 3,461 | 3,387 | ||||||
| Long-term lease liabilities | 5,353 | 5,620 | ||||||
| Total liabilities | 84,475 | 70,827 | ||||||
| Equity: | ||||||||
| Vicor Corporation stockholders' equity: | ||||||||
| Capital stock | 415,702 | 408,187 | ||||||
| Retained earnings | 305,342 | 302,803 | ||||||
| Accumulated other comprehensive loss | (1,312 | ) | (1,495 | ) | ||||
| Treasury stock | (139,424 | ) | (139,424 | ) | ||||
| Total Vicor Corporation stockholders' equity | 580,308 | 570,071 | ||||||
| Noncontrolling interest | 255 | 220 | ||||||
| Total equity | 580,563 | 570,291 | ||||||
| Total liabilities and equity | $ | 665,038 | $ | 641,118 | ||||
