Shares of Vishay Intertechnology (VSH) plummeted 5.78% in pre-market trading on Wednesday following the release of its third-quarter 2025 earnings report, which fell short of analysts' expectations and provided a disappointing outlook for the fourth quarter.

The semiconductor and passive electronic components manufacturer reported a net loss of $7.88 million, or $0.06 per share, for the quarter ended September 27, 2025. This compares unfavorably to the mean expectation of three analysts for earnings of $0.04 per share. While revenue rose 7.5% year-over-year to $790.64 million, slightly beating the analysts' forecast of $778.87 million, the company's profitability suffered due to continued pressure on margins.

Adding to investors' concerns, Vishay's outlook for the fourth quarter failed to impress. The company expects Q4 revenue of $790 million, plus or minus $20 million, which is only marginally higher than the current quarter's results. Additionally, the gross profit margin is projected to remain under pressure at 19.5% (+/- 50 basis points) in Q4, including a negative impact of approximately 150 to 175 basis points related to its Newport facility. The weak guidance suggests that Vishay continues to face challenges in improving its profitability in the near term, despite aligning with high-growth markets such as smart grid infrastructure, AI-related power requirements, and automotive and aerospace/defense sectors.