Vishay Intertechnology (VSH) has reported 31.07 percent jump in profit for the quarter ended Apr. 01, 2017. The company has earned $36.72 million, or $0.24 a share in the quarter, compared with $28.01 million, or $0.19 a share for the same period last year. On the other hand, adjusted net income for the quarter stood at $43.84 million, or $0.28 a share compared with $29.22 million or $0.19 a share, a year ago.

Revenue during the quarter grew 6.25 percent to $606.26 million from $570.61 million in the previous year period. Gross margin for the quarter expanded 247 basis points over the previous year period to 26.54 percent. Total expenses were 89.33 percent of quarterly revenues, down from 92.89 percent for the same period last year. This has led to an improvement of 356 basis points in operating margin to 10.67 percent.

Operating income for the quarter was $64.69 million, compared with $40.55 million in the previous year period.

However, the adjusted EBITDA for the quarter stood at $104.71 million compared with $86.69 million in the prior year period. At the same time, adjusted EBITDA margin improved 208 basis points in the quarter to 17.27 percent from 15.19 percent in the last year period.

Commenting on the results for the first quarter 2017, Dr. Gerald Paul, president and chief executive officer, stated, "In terms of profitability the first quarter 2017 was our best quarter since five years. Strong orders from distribution, especially from Asia and Europe, resulted in higher than expected revenues. Due to strong sales to end customers, inventories at distribution did not increase quarter over quarter. Partially stretched lead times contributed to seasonally unusual increases of sales from distribution to end customers. Growth in general continues to be driven by the automotive and industrial end markets."

For the second-quarter, Vishay Intertechnology expects revenue to be in the range of $610 million to $650 million.

The company has spent $26.05 million cash to meet investing activities during the quarter as against cash inflow of $76.37 million in the last year period. It has incurred net capital expenditure of $15.72 million on net basis during the quarter, down 20.15 percent or $3.97 million from year ago period.

Cash flow from financing activities was $7.65 million for the quarter as against cash outgo of $44.99 million in the last year period.

Cash and cash equivalents stood at $499.39 million as on Apr. 01, 2017, down 6.01 percent or $31.91 million from $531.30 million on Apr. 02, 2016.

Working capital increases marginally
Vishay Intertechnology has recorded an increase in the working capital over the last year. It stood at $1,498.80 million as at Apr. 01, 2017, up 3.32 percent or $48.21 million from $1,450.59 million on Apr. 02, 2016. Current ratio was at 4.29 as on Apr. 01, 2017, down from 4.31 on Apr. 02, 2016.

Cash conversion cycle (CCC) has decreased to 51 days for the quarter from 104 days for the last year period. Days sales outstanding went down to 44 days for the quarter compared with 46 days for the same period last year.

Days inventory outstanding has decreased to 41 days for the quarter compared with 91 days for the previous year period. At the same time, days payable outstanding went up to 34 days for the quarter from 32 for the same period last year.