Vicor Corporation reported Q2 2026 revenue of $143.4 million, a 26.9% increase from Q1 2026, driven by a 45% sequential rise in advanced products revenue. The company recorded a consolidated gross profit margin of 58%, an increase of 280 basis points from the prior quarter, and net income of $49.8 million. GAAP diluted EPS was $1.04, based on a fully diluted share count of 47,708,000 shares. Cash and cash equivalents increased to $453.6 million at the end of Q2, bolstered by a $14.3 million CHIPS Act tax credit refund.

Financial Performance

The company's total operating expenses increased 6.1% sequentially to $48.2 million, attributed partly to contingent legal expenses associated with a new license agreement. Vicor recorded a tax benefit of approximately $10.9 million for the quarter, resulting in an effective tax rate of -27.9%. Accounts receivable totaled $78.9 million at quarter end, with days sales outstanding at 37 days. Inventories increased 10.2% sequentially to $104.5 million.

Key Metrics

Operational Highlights

A new licensing agreement contributed $15 million to Q2 revenue. The agreement provides for four $5 million quarterly payments in the first year and $10 million quarterly payments in the second year. Vicor expects this agreement to contribute $5 million in Q3 and $10 million per quarter for the following four quarters. Book-to-bill for the quarter was above one, with a one-year backlog increasing 26% sequentially to $379.7 million.

Outlook

Management expects Q3 revenue to increase nearly 10% year over year. The company anticipates over $600 million in revenue for 2026 and is planning for double-digit sequential increases in product revenue for advanced products. Vicor is also pursuing a second chip fab to support long-term growth, with financial objectives targeting $2.5 billion in revenue at 70% gross margins.

Vicor Corporation will announce its financial results for the three and six months ended June 30, 2026, on July 21, 2026, at 7:00 a.m. (Eastern). The company will host a conference call and webcast at 8:00 a.m. (Eastern) to discuss its performance for the second quarter of FY26. This marks a change in timing, as the company has shifted its earnings calls to 8:00 a.m. following the release of results.

The call will feature prepared remarks regarding Vicor's financial and operational outcomes, followed by a question-and-answer session. Key executives participating include Patrizio Vinciarelli, Chief Executive Officer; Jim Schmidt, Chief Financial Officer; and Phil Davies, Corporate Vice President, Global Sales and Marketing.

Event Details

Investors and analysts wishing to ask questions must register with Notified, the service provider hosting the call. Registration provides dial-in information, a unique PIN, and an email confirmation. The webcast will be available in listen-only mode on Vicor's Investor Relations page, where a replay will also be accessible after the event.

Vicor Corporation designs, develops, manufactures, and markets modular power components and complete power systems. Headquartered in Andover, Massachusetts, the company serves sectors such as enterprise and high-performance computing, industrial equipment, telecommunications, and aerospace and defense electronics.