Vishay Precision Group (VPG) investor relations material

Strategic and organizational developments

• Introduced two new C-suite roles to unify commercial and operational functions, aiming to accelerate growth and improve efficiency.

• Enhanced business development and customer engagement processes, with a focus on visibility and consistency.

• Operational improvements include automation, global footprint optimization, and supplier consolidation.

• Targeting $20 million in cost savings over three years, with $6 million projected for 2026.

• Early signs of improved accountability and execution from new leadership structure.

Market trends and growth opportunities

• Sensing and precision measurement solutions are expanding into fast-growing markets like humanoid robotics and Physical AI.

• Bookings in the Sensors segment reached 13-quarter highs, driven by semiconductor, industrial, and avionics markets.

• Nearly $2 million in prototype orders for humanoid robots booked from late 2025 to early 2026.

• Business development initiatives delivered just under $38 million in orders in 2025, with a 20% growth target for 2026.

• Physical AI and automation are expected to drive demand across multiple industries.

Product and segment highlights

• Operates in three segments: Sensors, Weighing Solutions, and Measurement Systems, each addressing precision-critical applications.

• Humanoid robotics is a major growth area, with multiple customers moving from prototypes to early production.

• Measurement Systems segment offers the highest gross margins (low-to-mid 50%) but has longer lead times.

• Core technology in foil-based strain gauges provides differentiation and reliability across customer applications.

• Fiber optics and data center markets are seeing renewed demand for high-performance components.