Slide 1: 1Q 2023 Earnings Conference Call
1Q 2023 Earnings Conference Call May 10, 2023 © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED..
Slide 2: Notes on Forward-Looking Statements and Non-GAAP Financial Measures
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: Revenue Mix – By End Market, Sales Channel, & Region
Revenue Mix – By End Market, Sales Channel, & Region End Market Sales Channel Region 100% 100% 100% 80% 80% 80% 60% 60% 60% 40% 40% 40% 20% 20% 20% 0% 1Q 2023 4Q 2022 1Q 2022 0% 0% 1Q 2023 4Q 2022 1Q 2022 1Q 2023 4Q 2022 1Q 2022 Automotive Industrial EMS DISTRIBUTION OEM Asia Americas Europe Power S
Slide 4: 1Q 2023 Highlights
1Q 2023 Highlights Total Revenues ($M) 900 • 1Q 2023 revenues of $871.0 million 850 • 1Q 2023 EPS of $0.79 800 750 • 1Q 2023 book-to-bill of 0.84 700 650 • Backlog at quarter end was 7.5 months 600 550 • Returned a total of $34.2 million to stockholders 500 450 1Q 2023 4Q 2022 1Q 2022 • Extension of
Slide 5: 1Q 2023 Income Statement Highlights
1Q 2023 Income Statement Highlights Net Earnings 1Q 2023 vs 4Q 2022 $M $M • Gross margin of 32.0% 160 160 140 27 140 13 112 120 5 120 • SG&A expenses of $120.1 million 99 (6) 100 (16) 100 80 (10) 80 • Operating margin of 18.2% 60 60 40 40 20 20 • EBITDA margin of 22.9% 0 0 • EPS of $0.79 © VISHAY IN
Slide 6: Cash Conversion Cycle
Cash Conversion Cycle DSO DIO 50 100 45 95 40 90 35 85 30 25 80 1Q 2023 4Q 2022 1Q 2022 1Q 2023 4Q 2022 1Q 2022 DPO Cash Conversion Cycle 40 120 35 110 100 30 90 80 25 70 60 20 50 1Q 2023 4Q 2022 1Q 2022 1Q 2023 4Q 2022 1Q 2022 © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 6
Slide 7: Consistently Strong Cash Flow Generation
Consistently Strong Cash Flow Generation Cash Flow from Operations ($/M) Capex ($/M) 200 600 160 350 550 140 300 150 120 500 100 250 100 450 80 200 400 60 50 350 150 40 300 0 20 100 TTM TTM 1Q 2023 4Q 2022 1Q 2022 1Q 2023 4Q 2022 1Q 2022 TTM 2023 TTM 2022 2023 2022 Free Cash Flow ($/M) Stockholder R
Slide 8: Guidance
Guidance • 2Q 2023 total revenue range: $860 million - $900 million. • 2Q 2023 gross profit margin range: 29.0% +/- 50 basis points. • 2Q 2023 SG&A: $125 million plus/minus $2 million. FY 2023 $475 million - $485 million (at current exchange rates). • FY 2023 normalized effective tax rate: ~28%. • F
Slide 9: Near Term Initiatives
Near Term Initiatives 1. Develop go-to-market strategies for 30 key product lines across all business segments 2. Increase capacities • Internal: increase capex to ~$385 million in 2023, primarily on expansion projects • External: outsource production of commodity products to subcontractors 3. Enhan
Slide 10: 2023 Takeaways
2023 Takeaways By the end of 2023 600V and 1200V Implemented go-to- Qualified planar SiC Prepare 3-year market strategies subcontractors MOSFETs samples strategic plan for 30 key products available © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 10
Slide 11: Appendix
APPENDIX © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED..
Slide 12: More than 60% of Revenues for Specialty and Custom
More than 60% of Revenues for Specialty and Custom Revenues 2022 100 80 60 40 20 0 Vishay Total Passives Semiconductors Specialty Custom Commodity © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 12
Slide 13: Revenue Mix – End Markets
Revenue Mix – End Markets 1Q 2023 4Q 2022 1Q 2022 Auto 33% Industrial 37% Auto 31% Industrial 38% Auto 30% Industrial 40% 13 Consumer Consumer Consumer 5% 6% 5% Computing 5% Power Computing 8% Supplies 5% Computing 6% Power Supplies 5% Power Telecom 3% Military Telecom 3% Telecom 4% Supplies 5% Mili
Slide 14: Revenue Mix – Sales Channels
Revenue Mix – Sales Channels 1Q 2023 4Q 2022 1Q 2022 OEM OEM OEM 37% 35% 39% EMS EMS 7% EMS 8% 7% Distribution 54% Distribution 55% Distribution 58% © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 14
Slide 15: Revenue Mix - Regions
Revenue Mix - Regions 1Q 2023 4Q 2022 1Q 2022 Asia Asia Asia 36% 36% 40% Americas 31% Americas Americas 26% 27% Europe Europe 37% Europe 34% 33% © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 15
Slide 16: Segment Results ($/M)
Segment Results ($/M) MOSFETs Diodes Opto Gross Gross Gross Revenues Revenues Revenues Margin Margin Margin 1Q 2023 $198.2 36.8% 1Q 2023 $175.7 27.4% 1Q 2023 $60.4 36.3% 4Q 2022 206.0 37.5% 4Q 2022 181.8 23.4% 4Q 2022 64.0 28.1% 1Q 2022 172.7 34.0% 1Q 2022 182.3 25.1% 1Q 2022 81.0 40.0% Resistors In
Slide 17: Broad Customer Base
Broad Customer Base OEM EMS DISTRIBUTION © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 17
Slide 18: Broadest Line of Discrete Semiconductors and Passive Components
Broadest Line of Discrete Semiconductors and Passive Components INDUCTORS Source: Company estimates = Major Position = Minor Position © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 18
Slide 19: P&L
P&L 1Q 4Q 1Q In millions, except per share amounts 2023 2022 2022 Net revenues $ 871 $ 855 $ 854 Cost of products sold 592 606 595 Gross profit 279 249 259 Gross margin 32.0% 29.1% 30.3% SG&A 120 114 113 Operating income 159 135 146 Operating margin 18.2% 15.8% 17.1% Other income (expense): Interest
Slide 20: Reconciliation of GAAP net earnings to Adjusted net earnings
Reconciliation of GAAP net earnings to Adjusted net earnings 1Q 4Q 1Q In millions, except for per share amounts 2023 2022 2022 GAAP net earnings attributable to Vishay stockholders $112 $73 $104 Reconciling items affecting tax expense (benefit): Effect of change in indefinite reversal assertion - $6
Slide 21: Reconciliation of Free Cash
Reconciliation of Free Cash 1Q 4Q 1Q In millions 2023 2022 2022 Net cash provided by operating activities $130 $166 $34 Proceeds from sale of property and equipment $0 $1 $0 Less: Capital expenditures ($46) ($153) ($36) Free cash $85 $14 ($2) © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 21
Slide 22: Reconciliation of EBITDA and Adjusted EBITDA
Reconciliation of EBITDA and Adjusted EBITDA 1Q 4Q 1Q In millions 2023 2022 2022 GAAP net earnings attributable to Vishay stockholders $112 $73 $104 Net earnings attributable to noncontrolling interests $0 $0 $0 Net earnings $112 $73 $104 Interest expense $5 $4 $4 Interest income ($6) ($4) ($1) Inco
Slide 23: Net Earnings Adjusted – 1Q 2023 vs 1Q 2022
Net Earnings Adjusted – 1Q 2023 vs 1Q 2022 $M $M 160 160 42 1 140 140 8 112 120 120 104 (23) (7) (12) 100 100 80 80 60 60 40 40 20 20 0 0 © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED. 23
Slide 24: Thank you
Thank you © VISHAY INTERTECHNOLOGY, INC. ALL RIGHTS RESERVED..