Vishay Precision Group (VPG) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue reached $84.4 million, up 17.6% year-over-year and 4.7% sequentially, with broad-based growth across all segments.

• Bookings were $102.1 million, up 25.5% sequentially and 37.3% year-over-year, with a consolidated book-to-bill ratio of 1.21, the highest since 2022 and sixth consecutive quarter above 1.0.

• Net loss attributable to stockholders was $0.3 million ($0.02 per diluted share), improved from a $0.9 million loss in Q1 2025; adjusted net earnings were $0.9 million ($0.07 per diluted share).

• Strong demand from AI infrastructure, defense, data center, and semiconductor markets drove results.

• New organizational structure and growth initiatives, including CBPO and COO roles, are underway to drive execution and operational excellence.

Financial highlights

• Gross margin improved to 39.0% in Q1, up from 37.7% year-over-year and 36.8% in the previous quarter.

• Adjusted operating margin was 1.9%, after excluding restructuring and stock-based compensation.

• Adjusted EBITDA was $5.9 million (7.0% of revenue), down from $6.2 million (7.8%) in Q4.

• Adjusted free cash flow was negative $3.7 million due to higher working capital and capex needs.

• Cash and cash equivalents at quarter-end were $82.5 million; net cash position was $62 million.

Outlook and guidance

• Q2 2026 net revenues expected between $85 million and $90 million, assuming constant FX rates.

• New operating model targets 8%-10% organic CAGR over three years, gross margin of 46.5%, operating margin of 14.5%-15.5%, and EBITDA margin of 18.5%-20.5%.

• Humanoid robotics revenue projected to grow 50% annually from a $4 million 2025 baseline.

• Three-year targets assume linear progression and $20 million in cost reductions.

• Management remains positive on the 2026 business environment, citing strong bookings and backlog.