Vishay Intertechnology (NYSE: VSH) shares plummeted 5.56% in pre-market trading on Wednesday following the release of its second-quarter earnings report. The company reported a surprising adjusted loss per share of $(0.07), falling short of analyst expectations of $0.02 profit and marking a significant decline from the $0.17 earnings per share in the same period last year.

Despite the earnings miss, Vishay's Q2 revenue showed a slight improvement, reaching $762.25 million, up 2.83% from $741.239 million in the previous year and marginally beating the analyst consensus estimate of $762.073 million. The company's gross margin stood at 19.5%, negatively impacted by approximately 160 basis points due to the addition of Newport.

Looking ahead, Vishay provided guidance for the third quarter of 2025, projecting revenues of $775 million, plus or minus $20 million. The company also anticipates a gross profit margin of around 19.7% for Q3, with a continued negative impact from Newport estimated between 160 to 185 basis points. Despite these challenges, Vishay's CEO, Joel Smejkal, expressed optimism about market indicators and highlighted the company's strategic investments in capacity expansion to capitalize on an anticipated market upturn.