Vicor faces Q2 earnings test after raising guidance by $16M
Vicor Corp. reports second-quarter 2026 results July 21 after raising its revenue guidance by $16 million to $142 million, driven by AI chip demand and a new licensing agreement.
"The guidance raise reflects stronger product shipments combined with royalties from a newly signed licensee," the company said in its May 26 update. An OEM secured an all-inclusive license covering Vicor's power-conversion topologies, including Factorized Power Architecture and Vertical Power Delivery.
The Zacks Consensus Estimate for Q2 revenue stands at $138.7 million, a decline of 1.67 percent from the year-ago period. The consensus for earnings per share is 62 cents, down 31.87 percent year over year but up 34.8 percent over the past 30 days. Vicor reported Q1 EPS of 44 cents, beating estimates by 10 percent, on revenue of $113 million, up 20.2 percent year over year.
| Metric | Consensus | Year-Ago | Change |
|--------|-----------|----------|--------|
| Revenue | $138.7M | ~$141M | -1.67% |
| EPS | $0.62 | ~$0.91 | -31.87% |
Vicor entered the quarter with considerable revenue visibility. Book-to-bill exceeded 2 in the first quarter, while backlog surged 70 percent sequentially to $300.6 million. The company said bookings remained strong in the second quarter and expected book-to-bill to stay well above 1. Demand from Vicor's lead computing customer, hyperscalers, and industrial OEMs serving AI data-center investments drove the growth. Aerospace and defense orders also benefited from higher defense budgets and weapons replenishment.
Gross margin reached 55.2 percent in Q1, up from 47.2 percent a year earlier, reflecting higher sales, favorable product mix, royalty growth and better production efficiency. Royalty revenues carry substantially higher margins than product sales, providing a further tailwind for Q2 profitability.
Manufacturing capacity constraints, higher tariffs and inbound freight costs may have limited top-line growth and margin expansion. The company continues to invest in Advanced Products, prototypes, manufacturing processes and VPD capacity.
The raised guidance signals management expects AI-driven demand to sustain momentum through the second half. Investors will watch the July 21 earnings call for updated segment margins and capacity expansion timelines.
This article is for informational purposes only and does not constitute investment advice.
