Vicor Corporation Reports Fourth Quarter and Annual Financial Results for 2024

Vicor Corporation reported Q4 2024 revenues of $96.2 million, with increased net income and cash flow from operations.

Quiver AI Summary

Vicor Corporation announced its financial results for the fourth quarter and year ended December 31, 2024, reporting revenues of $96.2 million for the fourth quarter, a 3.8% increase from the previous year. Gross margins improved, reaching $50.4 million, while net income for the quarter was $10.2 million, marking a rise compared to the same period last year. However, for the full year, revenues decreased by 11.4% to $359.1 million, and net income fell significantly to $6.1 million from $53.6 million in 2023. The company indicated that future margin improvements will depend on increased utilization of its manufacturing capabilities and licensing income. CEO Dr. Patrizio Vinciarelli noted that advancements in high-density power solutions for AI applications are crucial, and highlighted the importance of avoiding patent infringement amidst increasing demand for their technologies. The company will discuss these results further in a quarterly investor conference call later today.

Potential Positives

• Revenues for the fourth quarter increased by 3.8% compared to the same period last year, showing signs of growth.
• Gross margin improved significantly, reaching 52.4% for the fourth quarter, indicating enhanced operational efficiency.
• Net income for the fourth quarter increased to $10.2 million, compared to $8.7 million in the previous year.
• Cash and cash equivalents increased by 3.6% sequentially, demonstrating improved liquidity and financial stability.

Potential Negatives

• Net income for 2024 drastically decreased to $6.1 million, down from $53.6 million in the prior year, indicating a concerning decline in profitability.
• Cash flow from operations saw a significant reduction of 31.8%, dropping from $74.5 million in the previous year to $50.8 million, suggesting potential liquidity issues.
• Backlog decreased by 3.3% year-over-year, reflecting slower future revenue growth expectations.

FAQ

What were Vicor Corporation's revenues for Q4 2024?

Vicor Corporation reported revenues of $96.2 million for the fourth quarter ended December 31, 2024.

How much was Vicor's net income in Q4 2024?

The net income for Vicor in the fourth quarter of 2024 was $10.2 million or $0.23 per diluted share.

What was the gross margin percentage for Vicor in Q4 2024?

Vicor's gross margin as a percentage of revenue increased to 52.4% in the fourth quarter of 2024.

What was Vicor's cash flow from operations in Q4 2024?

Cash flow from operations for Vicor in the fourth quarter totaled $10.1 million, a decrease from the previous year.

When is Vicor's next investor conference call?

Vicor's next investor conference call is scheduled for February 20, 2025, at 5:00 p.m. Eastern Time.

Disclaimer: This is an AI-generated summary of a press release distributed by GlobeNewswire. The model used to summarize this release may make mistakes. See the full release here.

$VICR Hedge Fund Activity

We have seen 94 institutional investors add shares of $VICR stock to their portfolio, and 93 decrease their positions in their most recent quarter.

Here are some of the largest recent moves:

• WEALTHFRONT ADVISERS LLC added 1,653,327 shares (+inf%) to their portfolio in Q4 2024, for an estimated $79,888,760
• JPMORGAN CHASE & CO added 572,093 shares (+17.5%) to their portfolio in Q4 2024, for an estimated $27,643,533
• CAPITAL INTERNATIONAL INVESTORS removed 378,100 shares (-100.0%) from their portfolio in Q4 2024, for an estimated $18,269,792
• SUMMIT PARTNERS PUBLIC ASSET MANAGEMENT, LLC added 368,100 shares (+inf%) to their portfolio in Q4 2024, for an estimated $17,786,592
• PINNACLE ASSOCIATES LTD added 201,541 shares (+271.0%) to their portfolio in Q4 2024, for an estimated $9,738,461
• COLRAIN CAPITAL LLC added 145,752 shares (+329.4%) to their portfolio in Q4 2024, for an estimated $7,042,736
• D. E. SHAW & CO., INC. removed 140,598 shares (-81.8%) from their portfolio in Q4 2024, for an estimated $6,793,695

To track hedge funds' stock portfolios, check out Quiver Quantitative's institutional holdings dashboard.

Full Release

ANDOVER, Mass., Feb. 20, 2025 (GLOBE NEWSWIRE) -- Vicor Corporation (NASDAQ: VICR) today reported financial results for the fourth quarter and year ended December 31, 2024. 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 fourth quarter ended December 31, 2024 totaled $96.2 million, a 3.8% increase from $92.7 million for the corresponding period a year ago, and a 3.2% sequential increase from $93.2 million in the third quarter of 2024.

Gross margin increased to $50.4 million for the fourth quarter of 2024, compared to $47.3 million for the corresponding period a year ago and increased from $45.7 million for the third quarter of 2024. Gross margin, as a percentage of revenue, increased to 52.4% for the fourth quarter of 2024, compared to 51.1% for the corresponding period a year ago and 49.1% for the third quarter of 2024. Operating expenses increased to $41.2 million for the fourth quarter of 2024, compared to $40.0 million for the corresponding period a year ago, and increased sequentially from $40.4 million for the third quarter of 2024.

Net income for the fourth quarter was $10.2 million, or $0.23 per diluted share, compared to net income of $8.7 million or $0.19 per diluted share, for the corresponding period a year ago and net income of $11.6 million, or $0.26 per diluted share, for the third quarter of 2024.

Cash flow from operations totaled $10.1 million for the fourth quarter, compared to cash flow from operations of $21.5 million for the corresponding period a year ago, and cash flow from operations of $22.6 million in the third quarter of 2024. Capital expenditures for the fourth quarter totaled $1.7 million, compared to $7.2 million for the corresponding period a year ago and $8.5 million for the third quarter of 2024. Cash and cash equivalents as of December 31, 2024 increased 3.6% sequentially to approximately $277.3 million compared to approximately $267.6 million as of September 30, 2024.

Backlog for the fourth quarter ended December 31, 2024 totaled $155.5 million, a 3.3% decrease from $160.8 million for the corresponding period a year ago, and 3.3% sequential increase from $150.6 million at the end of the third quarter of 2024.

Revenues for the year ended December 31, 2024 decreased 11.4% to $359.1 million, from $405.1 million for the prior year. Gross margin, as a percentage of revenue, increased to 51.2% for the year ended December 31, 2024, compared to 50.6% for the prior year. Net income for 2024 was $6.1 million, or $0.14 per diluted share and 1.7% of revenues, compared to $53.6 million, or $1.19 per diluted share and 13.2% of revenue in the prior year. Cash flows from operations totaled $50.8 million for the year ended December 31, 2024, a 31.8% decrease from cash flows from operations of $74.5 million for the prior year.

Commenting on fourth quarter performance, Chief Executive Officer Dr. Patrizio Vinciarelli stated: “Revenues and gross margins improved. Further margin improvements depend upon higher utilization of our ChiP fab and increased licensing income. These revenue and income streams are synergistic as our standard license provides royalty discounts commensurate to the Licensee’s annual purchases of Vicor modules. Licensing has been gaining traction with companies whose computing hardware is increasingly dependent on high density power system solutions pioneered and patented by Vicor, including NBMs. Avoiding infringement is the ethical choice, but hyper-scalers also want to avoid the risk of their computing hardware being excluded from importation into the United States. Patent infringement has severe consequences.”

“Perfecting our 2

^nd

generation, high density VPD for leading AI applications has taken longer than expected, with the fab out of a new ASIC raising the bar on the density and bandwidth of our current multipliers. 2

^nd

generation VPD will enable AI processors to set new standards for performance and power system efficiency. We are focused on completing development of a high density VPD system for a lead customer ahead of 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, Thursday, February 20, 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 February 20, 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, 2023, 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

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.