VPG Reports Fiscal 2022 Second Quarter Results; Stock Repurchase Authorization Announced

·21 min read
Vishay Precision Group
Vishay Precision Group

MALVERN, Pa., Aug. 08, 2022 (GLOBE NEWSWIRE) -- Vishay Precision Group, Inc. (NYSE: VPG), a leader in precision measurement sensing technologies, today announced its results for its fiscal 2022 second quarter ended July 2, 2022.

Second Fiscal Quarter Highlights:

  • Revenues of $88.6 million increased 17.6% from a year ago.

  • Gross profit margin was 42.1%, as compared to 39.6% reported a year ago.

  • Adjusted gross profit margin* was 42.9%, as compared to 42.3% reported a year ago.

  • Operating margin was 11.9%, as compared to 6.5% reported a year ago.

  • Adjusted operating margin* was 13.7%, as compared to 12.2% reported a year ago.

  • Diluted net earnings per share of $0.79 compared to $0.29 reported a year ago.

  • Adjusted diluted net earnings per share* of $0.68 compared to $0.49 reported a year ago.

  • EBITDA* was $17.6 million with an EBITDA margin* of 19.8%.

  • Adjusted EBITDA* was $15.8 million with an adjusted EBITDA margin* of 17.8%.

  • Book-to-bill ratio was 1.08.

  • Cash from operating activities was $9.0 million with adjusted free cash flow* of $4.9 million.

Ziv Shoshani, Chief Executive Officer of VPG, commented, "We are pleased to report another strong quarter for VPG, as we executed well and grew our revenue both sequentially and year-over-year. We ended the quarter with record-level backlog of $171.4 million, which positions us well for the second half of the year. We achieved these results despite the headwind of unfavorable foreign exchange rates."

Mr. Shoshani said: "Adjusted diluted net earnings per share* of $0.68 reached a record level, and we achieved record adjusted EBITDA* of $15.8 million, or an adjusted EBITDA margin* of 17.8%. We continue to invest in our long-term growth and cost-savings initiatives as we address expanding applications and markets for our precision measurement sensing technologies."

VPG Announces Stock Repurchase Authorization:
The Company also announced today that its Board of Directors has approved a stock repurchase plan, authorizing the Company to repurchase in aggregate up to 600,000 shares of its outstanding common stock.

Marc Zandman, VPG’s Chairman of the Board said, “This authorization reflects our commitment to maximize long-term value for our stockholders by strategically allocating our capital.   We believe that our business strategy, strong balance sheet, and cash generation capability can support investments in current operations and value-adding M&A, as well as share repurchases such as the plan announced today.”

Second Fiscal Quarter and Six Month Financial Trends:
The Company's second fiscal quarter 2022 net earnings attributable to VPG stockholders were $10.8 million, or $0.79 per diluted share, compared to $3.9 million, or $0.29 per diluted share, in the second fiscal quarter of 2021.

In the six fiscal months ended July 2, 2022 net earnings attributable to VPG stockholders were $17.1 million, or $1.25 per diluted share, compared to $8.9 million, or $0.65 per diluted share, in the six fiscal months ended July 3, 2021.

The second fiscal quarter 2022 adjusted net earnings* attributable to VPG stockholders were $9.3 million, or $0.68 per adjusted diluted net earnings per share*, compared to $6.7 million, or $0.49 per adjusted diluted net earnings per share* in the second fiscal quarter of 2021.

In the six fiscal months ended July 2, 2022 adjusted net earnings* attributable to VPG stockholders were $16.0 million, or $1.17 per adjusted diluted net earnings per share*, compared to $10.9 million, or $0.80 per adjusted diluted net earnings per share* in the six fiscal months ended July 3, 2021.

Segment Performance:
The Sensors segment revenue of $40.3 million in the second fiscal quarter of 2022 increased 29.2% from $31.2 million in the second fiscal quarter of 2021; sequentially, revenue increased 6.7% compared to $37.8 million in the first quarter of 2022. The year-over-year increase in revenues was primarily attributable to higher sales of precision resistors in the Test and Measurements market and higher revenue of our advanced sensors products primarily in Other markets (mainly for consumer and medical applications) and in our General Industrial markets for energy applications. Sequentially, the increase in revenues reflected revenue growth in our sales of precision resistors in the Test and Measurement market, partially offset by a decrease in revenues for precision resistors in the Avionics, Military and Space market.

Gross profit margin for the Sensors segment was 44.3% for the second fiscal quarter of 2022. Gross profit margin increased compared to 38.9% (or 42.9% adjusted to exclude the impact of $1.3 million of advanced sensors facility start-up costs and COVID-19-related costs) in the second fiscal quarter of 2021, and increased compared to 37.8% (or 38.6% adjusted to exclude the impact of $0.3 million of advanced sensors facility start-up costs and COVID-19 related costs) in the first fiscal quarter of 2022. The year-over-year increase in adjusted gross profit margin* was primarily due to higher volume partially offset by unfavorable foreign exchange rates, wage increases, and labor inefficiencies due to the hiring of new personnel. Sequentially, the higher adjusted gross profit margin* was primarily due to higher volume and labor efficiencies.

The Weighing Solutions segment revenue of $28.5 million in the second fiscal quarter of 2022 decreased 10.2% compared to $31.7 million in the second fiscal quarter of 2021 and was 13.1% lower than $32.8 million in the first quarter of 2022. The year-over-year and sequential decreases in revenues were primarily attributable to a decrease in revenue related to force sensor products to our OEM customers in our Other markets and lower sales of onboard weighing products to the Transportation market.

Gross profit margin for the Weighing Solutions segment was 33.7% for the second fiscal quarter of 2022, which was a decrease compared to 37.2% (or 37.6% adjusted to exclude the impact of COVID-19) in the second fiscal quarter of 2021, and a decrease compared to 36.9% in the first fiscal quarter of 2022. The year-over-year decrease in adjusted gross profit margin* was primarily due to lower volume, unfavorable foreign exchange rates, and unfavorable product mix. The sequential decrease in adjusted gross profit margin* was primarily due to lower volume and an unfavorable product mix.

The Measurement Systems segment revenue of $19.9 million in the second fiscal quarter of 2022 increased 59.2% year-over-year from $12.5 million in the second fiscal quarter of 2021 and was 15.9% higher than $17.1 million in the first fiscal quarter of 2022. The year-over-year increase in revenue was primarily attributable to the addition of revenue from Diversified Technical Systems, Inc. ("DTS"), which was acquired on June 1, 2021, and higher revenue of our KELK and Dynamic Systems, Inc. ("DSI") steel-related businesses. Sequentially, the increase in revenue was primarily due to the higher revenue of KELK and DSI products to the Steel market.

Gross profit margin for the Measurement Systems segment was 49.9% (or 53.3% adjusted to exclude the $0.7 million of purchase accounting adjustments related to the DTS acquisition), compared to 47.1% (or 52.5% adjusted to exclude the purchase accounting adjustment related to the DTS acquisition and the impact of COVID-19 of $0.7 million), in the second fiscal quarter of 2021, and 51.8% (or 54.1% adjusted to exclude the $0.4 million of purchase accounting adjustments related to the DTS acquisition) in the first fiscal quarter of 2022. The year-over-year increase in adjusted gross profit margin* was mainly due to higher revenue, partially offset by an unfavorable foreign exchange rate and a full quarter of costs for DTS compared to one month in the prior year period. Adjusted gross profit margin* sequentially reflected higher volume which was offset by unfavorable product mix and a reduction in inventory.

Impacts from the Global COVID-19 Pandemic:
As of August 8, 2022, all of the Company’s facilities are open and operational. Nonetheless, given the ongoing uncertainty concerning the magnitude and duration of the COVID-19 pandemic around the world, any ongoing economic disruption may adversely affect the Company’s business and financial results.

Near-Term Outlook:
“We expect net revenues to grow sequentially and be in the range of $90 million to $100 million for the third fiscal quarter of 2022, at constant second fiscal quarter 2022 exchange rates,” concluded Mr. Shoshani.

*Use of Non-GAAP Financial Information:
We define “adjusted gross profit margin" as gross profit margin before purchase accounting adjustments related to the DTS and DSI acquisitions, start-up costs related to our new advanced sensors facility, and COVID-19 costs. We define "adjusted operating margin" as operating margin before purchase accounting adjustments related to the DTS and DSI acquisitions, acquisition costs related to the DTS acquisition, start-up costs related to our new advanced sensors facility, COVID-19 costs, impairment of goodwill and indefinite-lived intangibles, and restructuring costs. We define "adjusted net earnings” and "adjusted diluted net earnings per share" as net earnings attributable to VPG stockholders before purchase accounting adjustments related to the DTS and DSI acquisitions, acquisition costs related to the DTS acquisition, start-up costs related to our new advanced sensors facility, COVID-19 costs, impairment of goodwill and indefinite-lived intangibles, restructuring costs, foreign exchange gains and losses, and associated tax effects. We define "EBITDA" as earnings before interest, taxes, depreciation, and amortization. We define "Adjusted EBITDA" as earnings before interest, taxes, depreciation, and amortization before purchase accounting adjustments related to the DTS and DSI acquisitions, acquisition costs related to the DTS acquisition, start-up costs related to our new advanced sensors facility, COVID-19 costs, impairment of goodwill and indefinite-lived intangibles, restructuring costs, foreign exchange gains and losses, and associated tax effects. "Adjusted free cash flow" for the second fiscal quarter of 2022 is defined as the amount of cash generated from operating activities ($9.0 million), in excess of our capital expenditures ($4.5 million), net of proceeds, if any, from the sale of assets ($0.4 million).

Management believes that these non-GAAP measures are useful to investors because each presents what management views as our core operating results for the relevant period. The adjustments to the applicable GAAP measures relate to occurrences or events that are outside of our core operations, and management believes that the use of these non-GAAP measures provides a consistent basis to evaluate our operating profitability and performance trends across comparable periods. In addition, the Company has historically provided these or similar non-GAAP measures and understands that some investors and financial analysts find this information helpful in analyzing the Company’s performance and in comparing the Company’s financial performance to that of its peer companies and competitors. Management believes that the Company’s non-GAAP measures are regarded as supplemental to its GAAP financial results. These reconciling items are indicated on the accompanying reconciliation schedules and are more fully described in VPG’s financial statements presented in our Annual Report on Form 10-K and our Quarterly Reports on Forms 10-Q.

Conference Call and Webcast:
A conference call will be held on Tuesday, August 9, 2022 at 9:00 a.m. ET (8:00 a.m. CT). To access the conference call, interested parties may call 1-844-200-6205 or internationally +1-929-526-1599 and use passcode 289177, or log on to the investor relations page of the VPG website at ir.vpgsensors.com. A replay will be available approximately one hour after the completion of the call by calling toll-free 1-866-813-9403 or internationally +1-929-458-6194 and by using passcode 615215. The replay will also be available on the “Events” page of investor relations section of the VPG website at ir.vpgsensors.com.

About VPG:
Vishay Precision Group, Inc. (VPG) is a leader in precision measurement sensing technologies. Our sensors, weighing solutions and measurement systems optimize and enhance our customers’ product performance across a broad array of markets to make our world safer, smarter, and more productive. To learn more, visit VPG at www.vpgsensors.com and follow us on LinkedIn.

Forward-Looking Statements:
From time to time, information provided by us, including, but not limited to, statements in this press release, or other statements made by or on our behalf, may contain or constitute "forward-looking" information within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of risks, uncertainties, and contingencies, many of which are beyond our control, which may cause actual results, performance, or achievements to differ materially from those anticipated.

Such statements are based on current expectations only, and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, expected, estimated, or projected. Among the factors that could cause actual results to materially differ include: general business and economic conditions; impact of inflation, global labor and supply chain challenges; difficulties or delays in identifying, negotiating and completing acquisitions and integrating acquired companies; the inability to realize anticipated synergies and expansion possibilities; difficulties in new product development; changes in competition and technology in the markets that we serve and the mix of our products required to address these changes; changes in foreign currency exchange rates; political, economic, health (including the COVID-19 pandemic) and military instability in the countries in which we operate; difficulties in implementing our cost reduction strategies, such as underutilization of production facilities, labor unrest or legal challenges to our lay-off or termination plans, operation of redundant facilities due to difficulties in transferring production to achieve efficiencies; our compliance with applicable laws, such as export control laws, and related governmental investigations; significant developments from the recent and potential changes in tariffs and trade regulation; our efforts and efforts by governmental authorities to mitigate the COVID-19 pandemic, such as travel bans, shelter-in-place orders and business closures and the related impact on resource allocations, manufacturing and supply chains; our status as a “critical”, “essential” or “life-sustaining” business in light of COVID-19 business closure laws, orders and guidance being challenged by a governmental body or other applicable authority; our ability to execute our new corporate strategy and business continuity, operational and budget plans; and other factors affecting our operations, markets, products, services, and prices that are set forth in our Annual Report on Form 10-K for the fiscal year ended December 31, 2021. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contact:
Steve Cantor
Vishay Precision Group, Inc.
781-222-3516
info@vpgsensors.com


VISHAY PRECISION GROUP, INC.

Consolidated Condensed Statements of Operations

(Unaudited - In thousands, except per share amounts)

 

 

 

 

 

Fiscal quarter ended

 

July 2, 2022

 

July 3, 2021

Net revenues

$

88,618

 

 

$

75,339

 

Costs of products sold

 

51,284

 

 

 

45,541

 

Gross profit

 

37,334

 

 

 

29,798

 

Gross profit margin

 

42.1

%

 

 

39.6

%

 

 

 

 

Selling, general, and administrative expenses

 

25,879

 

 

 

22,453

 

Acquisition costs

 

 

 

 

1,198

 

Impairment of goodwill and indefinite-lived intangibles

 

 

 

 

1,223

 

Restructuring costs

 

904

 

 

 

 

Operating income

 

10,551

 

 

 

4,924

 

Operating margin

 

11.9

%

 

 

6.5

%

 

 

 

 

Other income (expense):

 

 

 

Interest expense

 

(428

)

 

 

(273

)

Other

 

3,344

 

 

 

(326

)

Other income (expense)

 

2,916

 

 

 

(599

)

 

 

 

 

Income before taxes

 

13,467

 

 

 

4,325

 

 

 

 

 

Income tax expense

 

2,587

 

 

 

262

 

 

 

 

 

Net earnings

 

10,880

 

 

 

4,063

 

Less: net earnings attributable to noncontrolling interests

 

125

 

 

 

143

 

Net earnings attributable to VPG stockholders

$

10,755

 

 

$

3,920

 

 

 

 

 

Basic earnings per share attributable to VPG stockholders

$

0.79

 

 

$

0.29

 

Diluted earnings per share attributable to VPG stockholders

$

0.79

 

 

$

0.29

 

 

 

 

 

Weighted average shares outstanding - basic

 

13,648

 

 

 

13,618

 

Weighted average shares outstanding - diluted

 

13,692

 

 

 

13,646

 


VISHAY PRECISION GROUP, INC.

Consolidated Condensed Statements of Operations

(Unaudited - In thousands, except per share amounts)

 

 

 

 

 

Six fiscal months ended

 

July 2, 2022

 

July 3, 2021

Net revenues

$

176,283

 

 

$

145,928

 

Costs of products sold

 

103,699

 

 

 

87,508

 

Gross profit

 

72,584

 

 

 

58,420

 

Gross profit margin

 

41.2

%

 

 

40.0

%

 

 

 

 

Selling, general, and administrative expenses

 

52,553

 

 

 

44,636

 

Acquisition costs

 

 

 

 

1,198

 

Impairment of goodwill and indefinite-lived intangibles

 

 

 

 

1,223

 

Restructuring costs

 

1,165

 

 

 

 

Operating income

 

18,866

 

 

 

11,363

 

Operating margin

 

10.7

%

 

 

7.8

%

 

 

 

 

Other income (expense):

 

 

 

Interest expense

 

(757

)

 

 

(578

)

Other

 

3,783

 

 

 

247

 

Other income (expense)

 

3,026

 

 

 

(331

)

 

 

 

 

Income before taxes

 

21,892

 

 

 

11,032

 

 

 

 

 

Income tax expense

 

4,328

 

 

 

2,026

 

 

 

 

 

Net earnings

 

17,564

 

 

 

9,006

 

Less: net earnings attributable to noncontrolling interests

 

453

 

 

 

125

 

Net earnings attributable to VPG stockholders

$

17,111

 

 

$

8,881

 

 

 

 

 

Basic earnings per share attributable to VPG stockholders

$

1.25

 

 

$

0.65

 

Diluted earnings per share attributable to VPG stockholders

$

1.25

 

 

$

0.65

 

 

 

 

 

Weighted average shares outstanding - basic

 

13,643

 

 

 

13,605

 

Weighted average shares outstanding - diluted

 

13,684

 

 

 

13,638

 


VISHAY PRECISION GROUP, INC.

Consolidated Condensed Balance Sheets

(In thousands)

 

July 2, 2022

 

December 31, 2021

 

(Unaudited)

 

 

Assets

 

 

 

Current assets:

 

 

 

Cash and cash equivalents

$

79,429

 

 

$

84,335

 

Accounts receivable, net

 

58,674

 

 

 

58,265

 

Inventories:

 

 

 

Raw materials

 

29,484

 

 

 

25,464

 

Work in process

 

28,126

 

 

 

23,851

 

Finished goods

 

26,728

 

 

 

27,112

 

Inventories, net

 

84,338

 

 

 

76,427

 

 

 

 

 

Prepaid expenses and other current assets

 

15,228

 

 

 

15,916

 

Total current assets

 

237,669

 

 

 

234,943

 

 

 

 

 

Property and equipment:

 

 

 

Land

 

4,119

 

 

 

4,241

 

Buildings and improvements

 

68,339

 

 

 

68,778

 

Machinery and equipment

 

122,388

 

 

 

122,202

 

Software

 

9,303

 

 

 

8,871

 

Construction in progress

 

8,305

 

 

 

7,747

 

Accumulated depreciation

 

(130,506

)

 

 

(130,619

)

Property and equipment, net

 

81,948

 

 

 

81,220

 

 

 

 

 

Goodwill

 

45,872

 

 

 

45,830

 

Intangible assets, net

 

50,426

 

 

 

52,437

 

Operating lease right-of-use assets

 

25,783

 

 

 

27,764

 

Other assets

 

16,680

 

 

 

19,695

 

Total assets

$

458,378

 

 

$

461,889

 


VISHAY PRECISION GROUP, INC.

Consolidated Condensed Balance Sheets

(In thousands)

 

July 2, 2022

 

December 31, 2021

 

(Unaudited)

 

 

Liabilities and equity

 

 

 

Current liabilities:

 

 

 

Trade accounts payable

$

13,172

 

 

$

14,876

 

Payroll and related expenses

 

17,872

 

 

 

23,772

 

Other accrued expenses

 

23,562

 

 

 

17,596

 

Income taxes

 

478

 

 

 

3,774

 

Current portion of operating lease liabilities

 

4,343

 

 

 

4,610

 

Total current liabilities

 

59,427

 

 

 

64,628

 

 

 

 

 

Long-term debt, less current portion

 

60,758

 

 

 

60,714

 

Deferred income taxes

 

6,096

 

 

 

5,848

 

Operating lease liabilities

 

21,749

 

 

 

25,140

 

Other liabilities

 

14,157

 

 

 

16,264

 

Accrued pension and other postretirement costs

 

10,841

 

 

 

12,253

 

Total liabilities

 

173,028

 

 

 

184,847

 

 

 

 

 

Commitments and contingencies

 

 

 

 

 

 

 

Equity:

 

 

 

Common stock

 

1,325

 

 

 

1,322

 

Class B convertible common stock

 

103

 

 

 

103

 

Treasury stock

 

(8,765

)

 

 

(8,765

)

Capital in excess of par value

 

199,749

 

 

 

199,151

 

Retained earnings

 

137,407

 

 

 

120,296

 

Accumulated other comprehensive loss

 

(44,581

)

 

 

(35,008

)

Total Vishay Precision Group, Inc. stockholders' equity

 

285,238

 

 

 

277,099

 

Noncontrolling interests

 

112

 

 

 

(57

)

Total equity

 

285,350

 

 

 

277,042

 

Total liabilities and equity

$

458,378

 

 

$

461,889

 


VISHAY PRECISION GROUP, INC.

Consolidated Condensed Statements of Cash Flows

(Unaudited - In thousands)

 

 

 

 

 

Six Fiscal Months Ended

 

July 2, 2022

 

July 3, 2021

Operating activities

 

 

 

Net earnings

$

17,564

 

 

$

9,006

 

Adjustments to reconcile net earnings to net cash provided by operating activities:

 

 

 

Impairment of goodwill and indefinite-lived intangibles

 

 

 

 

1,223

 

Depreciation and amortization

 

7,622

 

 

 

7,108

 

Loss (gain) on sale of property and equipment

 

(178

)

 

 

44

 

Reclassification of foreign currency translation adjustment related to disposal of subsidiary

 

191

 

 

 

 

Share-based compensation expense

 

1,024

 

 

 

942

 

Inventory write-offs for obsolescence

 

866

 

 

 

1,135

 

Deferred income taxes

 

1,116

 

 

 

(1,110

)

Other

 

(3,485

)

 

 

(1,820

)

Net changes in operating assets and liabilities:

 

 

 

Accounts receivable, net

 

(3,434

)

 

 

(776

)

Inventories, net

 

(10,739

)

 

 

(7,744

)

Prepaid expenses and other current assets

 

254

 

 

 

314

 

Trade accounts payable

 

14

 

 

 

1,715

 

Other current liabilities

 

(2,059

)

 

 

2,341

 

Net cash provided by operating activities

 

8,756

 

 

 

12,378

 

 

 

 

 

Investing activities

 

 

 

Capital expenditures

 

(8,815

)

 

 

(8,309

)

Proceeds from sale of property and equipment

 

380

 

 

 

16

 

Purchase of business, net of cash acquired

 

 

 

 

(47,216

)

Net cash used in investing activities

 

(8,435

)

 

 

(55,509

)

 

 

 

 

Financing activities

 

 

 

Principal payments on long-term debt

 

 

 

 

(18

)

Proceeds from revolving facility

 

 

 

 

20,000

 

Distributions to noncontrolling interests

 

(284

)

 

 

(167

)

Payments of employee taxes on certain share-based arrangements

 

(435

)

 

 

(846

)

Net cash (used in) provided by financing activities

 

(719

)

 

 

18,969

 

Effect of exchange rate changes on cash and cash equivalents

 

(4,508

)

 

 

(820

)

Decrease in cash and cash equivalents

 

(4,906

)

 

 

(24,982

)

 

 

 

 

Cash and cash equivalents at beginning of period

 

84,335

 

 

 

98,438

 

Cash and cash equivalents at end of period

$

79,429

 

 

$

73,456

 

 

 

 

 

Supplemental disclosure of investing transactions:

 

 

 

Capital expenditures purchased

$

(8,432

)

 

$

(6,353

)

Capital expenditures accrued but not yet paid

$

2,684

 

 

$

606

 


VISHAY PRECISION GROUP, INC.

Reconciliation of Consolidated Adjusted Gross Profit, Operating Income, Net Earnings Attributable to VPG Stockholders and Diluted Earnings Per Share

(Unaudited - In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Profit

 

Operating Income

 

Net Earnings Attributable to VPG Stockholders

 

Diluted Earnings Per share

Three months ended

July 2, 2022

 

July 3, 2021

 

July 2, 2022

 

July 3, 2021

 

July 2, 2022

 

July 3, 2021

 

July 2, 2022

 

July 3, 2021

As reported - GAAP

$

37,334

 

 

$

29,798

 

 

$

10,551

 

 

$

4,924

 

 

$

10,755

 

 

$

3,920

 

 

$

0.79

 

 

$

0.29

 

As reported - GAAP Margins

 

42.1

%

 

 

39.6

%

 

 

11.9

%

 

 

6.5

%

 

 

 

 

 

 

 

 

Acquisition purchase accounting adjustments

 

679

 

 

 

919

 

 

 

679

 

 

 

919

 

 

 

679

 

 

 

919

 

 

 

0.05

 

 

 

0.07

 

Acquisition costs

 

 

 

 

 

 

 

 

 

1,198

 

 

 

 

 

 

1,198

 

 

 

 

 

 

0.09

 

COVID-19 impact

 

 

 

 

(26

)

 

 

 

 

 

(242

)

 

 

 

 

 

(242

)

 

 

 

 

 

(0.02

)

Start-up costs

 

 

 

 

1,159

 

 

 

 

 

 

1,159

 

 

 

 

 

 

1,159

 

 

 

 

 

 

0.08

 

Impairment of goodwill and indefinite-lived intangibles

 

 

 

 

 

 

 

 

 

1,223

 

 

 

 

 

 

1,223

 

 

 

 

 

 

0.09

 

Restructuring costs

 

 

 

 

 

 

904

 

 

 

 

 

 

904

 

 

 

 

 

 

0.07

 

 

 

 

Foreign exchange (gain)/loss

 

 

 

 

 

 

 

 

 

 

 

(3,380

)

 

 

174

 

 

 

(0.25

)

 

 

0.01

 

Less: Tax effect of reconciling items and discrete tax items

 

 

 

 

 

 

 

 

 

 

 

(377

)

 

 

1,639

 

 

 

(0.02

)

 

 

0.12

 

As Adjusted - Non GAAP

$

38,013

 

 

$

31,850

 

 

$

12,134

 

 

$

9,181

 

 

$

9,335

 

 

$

6,712

 

 

$

0.68

 

 

$

0.49

 

As Adjusted - Non GAAP Margins

 

42.9

%

 

 

42.3

%

 

 

13.7

%

 

 

12.2

%

 

 

 

 

 

 

 

 


VISHAY PRECISION GROUP, INC.

Reconciliation of Consolidated Adjusted Gross Profit, Operating Income, Net Earnings Attributable to VPG Stockholders and Diluted Earnings Per Share

(Unaudited - In thousands)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Gross Profit

 

Operating Income

 

Net Earnings Attributable to VPG Stockholders

 

Diluted Earnings Per share

Six fiscal months ended

July 2, 2022

 

July 3, 2021

 

July 2, 2022

 

July 3, 2021

 

July 2, 2022

 

July 3, 2021

 

July 2, 2022

 

July 3, 2021

As reported - GAAP

$

72,584

 

 

$

58,420

 

 

$

18,866

 

 

$

11,363

 

 

$

17,111

 

 

$

8,881

 

 

$

1.25

 

 

$

0.65

 

As reported - GAAP Margins

 

41.2

%

 

 

40.0

%

 

 

10.7

%

 

 

7.8

%

 

 

 

 

 

 

 

 

Acquisition purchase accounting adjustments

 

1,050

 

 

 

930

 

 

 

1,050

 

 

 

930

 

 

 

1,050

 

 

 

930

 

 

 

0.08

 

 

 

0.07

 

Acquisition costs

 

 

 

 

 

 

 

 

 

1,198

 

 

 

 

 

 

1,198

 

 

 

 

 

 

0.09

 

COVID-19 impact

 

138

 

 

 

(177

)

 

 

138

 

 

 

(685

)

 

 

138

 

 

 

(685

)

 

 

0.01

 

 

 

(0.05

)

Start-up costs

 

150

 

 

 

1,288

 

 

 

150

 

 

 

1,288

 

 

 

150

 

 

 

1,288

 

 

 

0.01

 

 

 

0.09

 

Impairment of goodwill and indefinite-lived intangibles

 

 

 

 

 

 

 

 

 

 

1,223

 

 

 

 

 

 

1,223

 

 

 

 

 

 

0.09

 

Restructuring costs

 

 

 

 

 

1,165

 

 

 

 

 

 

1,165

 

 

 

 

 

 

0.09

 

 

 

 

Foreign exchange (gain)/loss

 

 

 

 

 

 

 

 

 

(3,934

)

 

 

(561

)

 

 

(0.29

)

 

 

(0.04

)

Less: Tax effect of reconciling items and discrete tax items

 

 

 

 

 

 

 

 

 

(302

)

 

 

1,406

 

 

 

(0.02

)

 

 

0.10

 

As Adjusted - Non GAAP

$

73,922

 

 

$

60,461

 

 

$

21,369

 

 

$

15,317

 

 

$

15,982

 

 

$

10,868

 

 

 

1.17

 

 

$

0.80

 

As Adjusted - Non GAAP Margins

 

41.9

%

 

 

41.4

%

 

 

12.1

%

 

 

10.5

%

 

 

 

 

 

 

 

 


VISHAY PRECISION GROUP, INC.

Reconciliation of Adjusted Gross Profit by segment

(Unaudited - In thousands)

 

 

 

 

 

 

 

Fiscal quarter ended

 

July 2, 2022

 

July 3, 2021

 

April 2, 2022

Sensors

 

 

 

 

 

As reported - GAAP

$

17,831

 

 

$

12,120

 

 

$

14,286

 

As reported - GAAP Margins

 

44.3

%

 

 

38.9

%

 

 

37.8

%

COVID-19 impact

 

 

 

 

94

 

 

 

121

 

Start-up costs

$

 

 

$

1,159

 

 

$

150

 

As Adjusted - Non GAAP

$

17,831

 

 

$

13,373

 

 

$

14,557

 

As Adjusted - Non GAAP Margins

 

44.3

%

 

 

42.9

%

 

 

38.6

%

 

 

 

 

 

 

Weighing Solutions

 

 

 

 

 

As reported - GAAP

$

9,585

 

 

$

11,791

 

 

$

12,079

 

As reported - GAAP Margins

 

33.7

%

 

 

37.2

%

 

 

36.9

%

COVID-19 impact

 

 

 

 

127

 

 

 

 

As Adjusted - Non GAAP

$

9,585

 

 

$

11,918

 

 

$

12,079

 

As Adjusted - Non GAAP Margins

 

33.7

%

 

 

37.6

%

 

 

36.9

%

 

 

 

 

 

 

Measurement Systems

 

 

 

 

 

As reported - GAAP

$

9,918

 

 

$

5,887

 

 

$

8,885

 

As reported - GAAP Margins

 

49.9

%

 

 

47.1

%

 

 

51.8

%

Acquisition purchase accounting adjustments

 

679

 

 

 

919

 

 

 

371

 

COVID-19 impact

 

 

 

 

(247

)

 

 

17

 

As Adjusted - Non GAAP

$

10,597

 

 

$

6,559

 

 

$

9,273

 

As Adjusted - Non GAAP Margins

 

53.3

%

 

 

52.5

%

 

 

54.1

%


VISHAY PRECISION GROUP, INC.

Reconciliation of Adjusted EBITDA

(Unaudited - In thousands)

 

Fiscal quarter ended

 

July 2, 2022

 

July 3, 2021

 

April 2, 2022

Net earnings attributable to VPG stockholders

$

10,755

 

 

$

3,920

 

 

$

6,356

 

Interest Expense

 

428

 

 

 

273

 

 

 

329

 

Income tax expense

 

2,587

 

 

 

262

 

 

 

1,741

 

Depreciation

 

2,832

 

 

 

2,829

 

 

 

2,853

 

Amortization

 

967

 

 

 

757

 

 

 

970

 

EBITDA

$

17,569

 

 

$

8,041

 

 

$

12,249

 

EBITDA MARGIN

 

19.8

%

 

 

10.7

%

 

 

14.0

%

Impairment of goodwill and indefinite-lived intangibles

 

 

 

 

1,223

 

 

 

 

Acquisition purchase accounting adjustments

 

679

 

 

 

919

 

 

 

371

 

Acquisition costs

 

 

 

 

1,198

 

 

 

 

Restructuring costs

 

904

 

 

 

 

 

 

261

 

COVID-19 impact

 

 

 

 

(242

)

 

 

138

 

Start-up costs

 

 

 

 

1,159

 

 

 

150

 

Foreign exchange (gain)/loss

 

(3,380

)

 

 

174

 

 

 

(554

)

ADJUSTED EBITDA

$

15,772

 

 

$

12,472

 

 

$

12,615

 

ADJUSTED EBITDA MARGIN

 

17.8

%

 

 

16.6

%

 

 

14.4

%