Slide 1: Financials and Metrics Q2 2019
FINANCIALS AND METRICS Q2 2019 © 2019 VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED.
Slide 2: Notes on Forward-Looking Statements
NOTES ON FORWARD-LOOKING STATEMENTS Comments in this presentation other than statements of historical fact may constitute forward-looking statements. Words such as “believe,” “estimate,” “will be,” “will,” “would,” “expect,” “anticipate,” “plan,” “project,” “intend,” “could,” “should” or other simil
Slide 3: Highlights Q2 2019
Q2 FINANCIALS AND METRICS HIGHLIGHTS Q2 2019 Revenues Q2: $685.2 million. Gross margin Q2: 25.5%. Operating margin Q2: 11.6%. EPS Q2: $0.31; adjusted EPS: $0.36. Free Cash¹ TTM Q2 of $180 million. Guidance Q3: Revenues $600 to $640 million and gross margins of 24% - 25%, based on Q2 x-ra
Slide 4: Quarterly Financial Results
Q2 FINANCIALS AND METRICS QUARTERLY FINANCIAL RESULTS in millions, except per share amounts Q2 2019 Q1 2019 Q2 2018 Net revenues $685 $745 $761 Gross profit $175 $211 $227 25.5% 28.3% 29.9% Operating income (loss) $79 $108 $123 11.5% 14.5% 16.2% Net earnings (loss) attributable to Vishay stockholder
Slide 5: Adjusted Quarterly Financial Results
Q2 FINANCIALS AND METRICS ADJUSTED QUARTERLY FINANCIAL RESULTS in millions, except per share amounts Q2 2019 Q1 2019 Q2 2018 Net revenues $685 $745 $761 Gross profit $175 $211 $227 25.5% 28.3% 29.9% Operating income (loss) $79 $108 $123 11.6% 14.5% 16.2% Net earnings (loss) attributable to Vishay st
Slide 6: Reconciliation of GAAP to Adjusted
Q2 FINANCIALS AND METRICS RECONCILIATION OF GAAP TO ADJUSTED in millions Q2 2019 Q1 2019 Q2 2018 GAAP NET EARNINGS $44 $75 $103 attributable to Vishay stockholders Reconciling items affecting other income (expense) Loss on early extinguishment of debt $1 $17 Reconciling items affecting tax expense (
Slide 7: Long Term Debt
Q2 FINANCIALS AND METRICS LONG TERM DEBT as of June 29, 2019 Outstanding in millions Comments Interest Debt Long term incl. current portion $520 Revolving Debt $28 Available through June 5, 2024 LIBOR plus 1.50% up to $750 million Cash coupon 2.25% of principal or $621 million principal amount; $14
Slide 8: Book-to-Bill Detail
Q2 FINANCIALS AND METRICS BOOK-TO-BILL DETAIL Q2 2019 Q1 2019 Q4 2018 Q3 2018 Q2 2018 Book-to-bill Vishay 0.69 0.79 0.94 0.95 1.17 Book-to-bill distribution 0.55 0.54 0.90 0.80 1.23 Book-to-bill OEMs 0.86 1.10 0.98 1.15 1.08 Book-to-bill semiconductors 0.56 0.74 0.91 0.87 1.06 Book-to-bill passive c
Slide 9: Operational Metrics
Q2 FINANCIALS AND METRICS OPERATIONAL METRICS Q2 2019 Q1 2019 Q4 2018 Q3 2018 Q2 2018 Change in ASP vs. prior year total Vishay (0.6) 0.8 1.4 0.5 0.7 Change in ASP vs. prior year semis (1.9) 0.7 1.4 0.7 1.0 Change in ASP vs. prior year passives 0.6 0.9 01.4 0.2 0.3 FX effect on revenues vs. previous
Slide 10: Sharecount for EPS Calculation
Q2 FINANCIALS AND METRICS SHARECOUNT FOR EPS CALCULATION in million Total shares outstanding 145 Related to RSUs etc. <1 Projected Diluted Average Stock Price Shares <$27.00 145 $27.00 - $32.00 146 $33.00 147 $34.00 147 $35.00 148 The table above summarizes the approximate number of shares for dilut
Slide 11: Sales Split Q2 2019
Q2 FINANCIALS AND METRICS SALES SPLIT Q2 2019 29% AUTOMOTIVE 37% INDUSTRIAL 4% CONSUMER 7% COMPUTING 4% POWER SUPPLIES 7% MILITARY/AERO 7% TELECOM 5% MEDICAL END MARKETS 36% ASIA 54% DISTRIBUTION 39% OEM 27% AMERICAS 7% EMS 37% EUROPE GEOGRAPHY SALES CHANNELS 11 © 2019 VISHAY INTERTECHNOLOGY, INC. A
Slide 12: Cash Repatriation and Related Foreign Tax
Q2 FINANCIALS AND METRICS CASH REPATRIATION AND RELATED FOREIGN TAX As a result of US Tax Reform, initiated Vishay plan to repatriate approximately $1.2 billion of cash with foreign withholding and other taxes of approximately $232 million1 Substantially all amounts have been allocated or utiliz
Slide 13: Cash Repatriation - Summary
Q2 FINANCIALS AND METRICS CASH REPATRIATION - SUMMARY Foreign Gross amount in million withholding & Net cash to US¹ repatriated¹ other taxes¹ $1,217 $222 $995 Q2 2018 $366 $92 $274 Q3 2018 $515 $65 $450 Q2 2019 $94 $20 $74 Expected Q3 2019 $119 $15 $104 Future date TBD $123 $30 $93 1) All future amo
Slide 14: Vishay Revenues and Gross Margin % Quarterly
Q2 FINANCIALS AND METRICS VISHAY REVENUES AND GROSS MARGIN % QUARTERLY $ in millions excl. Spin-Off Vishay Precision Group in 2010 % 800 40 750 36 700 32 650 28 600 24 550 20 500 16 450 12 400 8 350 4 300 0 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1
Slide 15: Vishay Revenues Quarterly by Product Segment
Q2 FINANCIALS AND METRICS VISHAY REVENUES QUARTERLY BY PRODUCT SEGMENT $ in millions $ in millions 300 300 250 250 200 200 150 150 100 100 50 50 0 0 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 201
Slide 16: Vishay Revenues Yearly by Product Segment
Q2 FINANCIALS AND METRICS VISHAY REVENUES YEARLY BY PRODUCT SEGMENT $ in millions $ in millions 1100 1100 1000 1000 900 900 800 800 700 700 600 600 500 500 400 400 300 300 200 200 100 100 0 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 MOSFETs Diodes Opto Resistors/Ind
Slide 17: Vishay Gross Margins Quarterly by Product Segment
Q2 FINANCIALS AND METRICS VISHAY GROSS MARGINS QUARTERLY BY PRODUCT SEGMENT % % 40 40 35 35 30 30 25 25 20 20 15 15 10 10 5 5 0 0 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 20
Slide 18: Vishay Gross Margins Yearly by Product Segment
Q2 FINANCIALS AND METRICS VISHAY GROSS MARGINS YEARLY BY PRODUCT SEGMENT % % 40 40 35 35 30 30 25 25 20 20 15 15 10 10 5 5 0 0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 MOSFETs Diodes Opto Resistors/Inductors Capacitors © 2019 VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS
Slide 19: Debt Restructuring 2018 and Q2 2019
DEBT RESTRUCTURING 2018 AND Q2 2019 © 2019 VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED.
Slide 20: Debt Restructuring in 2018 and Q2 2019
Q2 FINANCIALS AND METRICS DEBT RESTRUCTURING IN 2018 AND Q2 2019 In 2018 and Q1 2019, reduced amount outstanding of the converts due 2040-2042 to $21 million from $575 million principal amount. • In June placed $600 million converts due 2025 & used all net proceeds to repurchase $289 million princip
Slide 21: Convertible Debt Instruments 2017 - 2019
Q2 FINANCIALS AND METRICS CONVERTIBLE DEBT INSTRUMENTS 2017 - 2019 Principal amount outstanding of all converts outstanding went from $575 million in 2017 to $621 million at Q2 2019. Cash interest went from $12.9 million to $14.0 million annually. Average conversion price increased from $13.70
Slide 22: Cash Flow Impacted by Cash Repatriation
Q2 FINANCIALS AND METRICS CASH FLOW IMPACTED BY CASH REPATRIATION in millions Year 2018 Year 2017 Depreciation $150 $149 Amortization $12 $14 U.S. transition tax ($15) Repatriation taxes ($157) Cash from operations $259 $369 CapEx $230 $170 Free Cash* $84 $200 * Cash flows from operations less capit