Vicor Falls in Premarket as One-Time Tax Gain Lifts Profit Amid Weaker Royalties

Dow Jones
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By Adriano Marchese

 

Vicor shares fell after the company's stronger fourth-quarter profit was lifted by a large tax benefit, while underlying results showed weaker royalty revenue and rising capital spending.

The electronics manufacturer company late on Thursday posted a higher net income of $46.5 million, or $1.01 a share, compared with $10.2 million, or 23 cents a share, in the same quarter a year ago.

The rise included a $27.3 million tax benefit due to the partial recognition of certain deferred tax assets in the period.

Total revenue rose to $107.3 million from $96.2 million, in line with expectations. However, while, product revenue rose 15% to $92.7 million in the quarter, royalty revenue decreased 7.8% to $14.5 million, continuing the sequential downward trend from the previous quarter.

Capital expenditures were $5.5 million, compared to $1.7 million.

Backlog at the end of the quarter was at $176.9 million, a 13.8% increase over the prior-year period.

Looking ahead to the full year, Chief Executive Patrizio Vinciarelli expects surging demand to push up performance.

"Rising demand across high-performance compute, automatic test equipment, and industrial, aerospace and defense applications, should lead to a record year for Vicor's product revenues," Vinciarelli said.

 

Write to Adriano Marchese at adriano.marchese@wsj.com

 

(END) Dow Jones Newswires

February 20, 2026 07:26 ET (12:26 GMT)

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