A month has gone by since the last earnings report for Vishay Intertechnology (VSH). Shares have added about 12.4% in that time frame, outperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Vishay due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at the most recent earnings report in order to get a better handle on the important drivers.

Vishay's Q1 Earnings & Revenues Up Y/Y

Vishay Intertechnology delivered first-quarter 2023 adjusted earnings of 79 cents per share, surpassing the Zacks Consensus Estimate by 38.6% and rising 11.3% year over year.

Revenues of $871.05 million increased 2% year over year. The figure surpassed the Zacks Consensus Estimate of $848.05 million.

The strong performance of MOSFETS, resistor and capacitor product lines drove year-over-year revenue growth in the reported quarter.

However, softness in diodes, optoelectronics and inductors was a concern.

Vishay’s book-to-bill ratio was 0.84 at the end of the first quarter.

Product Segments in Detail

Resistors: The segment generated revenues of $223.14 million (25.6% of the total revenues), up 7.8% year over year.

Inductors: The product line generated revenues of $80.34 million (9.2% of the total revenues), which decreased 2.9% on a year-over-year basis.

MOSFET: The product line generated revenues of $198.2 million (22.8% of the total revenues), increasing 14.8% year over year.

Capacitors: The product line generated revenues of $133.3 million (15.3% of the total revenues), up 4.2% year over year.

Diodes: The segment generated revenues of $175.7 million (20.2% of the total revenues), down 3.6% from the year-ago quarter.

Optoelectronics: The product line generated revenues of $60.4 million (6.9% of the total revenues) in the reported quarter. The figure was down 25.4% from the year-ago quarter.

Operating Details

In first-quarter 2023, the gross margin was 32%, expanding 170 basis points (bps) on a year-over-year basis.

Selling, general and administrative expenses were $120.1 million, increasing 6.5% year over year. As a percentage of total revenues, the figure expanded 60 bps from the year-ago quarter to 13.8%.

The operating margin expanded 110 bps on a year-over-year basis to 18.2%.

Balance Sheet & Cash Flows

As of Apr 1, 2023, cash and cash equivalents were $847.5 million, up from $610.8 million as of Dec 31, 2022.

Long-term debt was $566.8 million at the end of first-quarter 2023 compared with $500.9 million at the end of fourth-quarter 2022.

The company generated $112.2 million in cash from operations in the reported quarter, down from $166.5 million in the previous quarter.

In the first quarter, capital expenditures were $45.6 million. Also, free cash flow was $84.6 million.