Vicor shares tumble as Q1 earnings miss estimates

Published 29/04/2025, 21:30
Vicor shares tumble as Q1 earnings miss estimates

Investing.com -- Vicor Corporation (NASDAQ:VICR) reported first quarter earnings that fell short of analyst expectations, sending shares down 7.6% in after-hours trading on Tuesday.

The power component manufacturer posted adjusted earnings per share of $0.06 for the quarter ended March 31, 2025, significantly below the $0.29 consensus estimate. Revenue came in at $94.0 million, missing analyst projections of $97.3 million but up 12.0% from $83.9 million in the same quarter last year.

Gross margin declined to 47.2% from 53.8% in the year-ago period, which the company attributed to reduced income from a licensee transitioning to new products. Operating expenses decreased to $44.5 million from $61.2 million last year.

"Revenues and gross margins declined sequentially, with reduced income from a licensee transitioning to a new generation of unlicensed products," said CEO Dr. Patrizio Vinciarelli. "Margin improvements await higher utilization of our ChiP fab and increased income from existing and future licensees."

Vicor reported a backlog of $171.7 million at quarter-end, up 14.2% YoY. The company ended the quarter with $296.1 million in cash and cash equivalents, an increase of 6.8% from the end of 2024.

Looking ahead, Vicor said its second-generation voltage processing device for AI applications is "coming to fruition" with the arrival of a new ASIC chip. The company remains focused on completing initial delivery of a high-density system to a lead customer before providing demo units to processor companies and hyperscalers.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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