Vicor Q1 Revenue Rises 20.2% to $113M, Backlog Jumps 75%
Vicor posted Q1 revenues of $113.0 million, up 20.2% year-over-year and 5.3% sequentially, with gross margin reaching 55.2% of sales and net income at $20.7 million ($0.44 per share). Backlog jumped 75% year-over-year to $301 million as capital expenditures more than doubled to $12.4 million.
1. First Quarter Financial Performance
Vicor achieved product and royalty revenues of $113.0 million for Q1, marking a 20.2% increase year-over-year and a 5.3% rise from Q4 2025. Gross margin climbed to $62.4 million, or 55.2% of revenue, while net income reached $20.7 million ($0.44 per diluted share). Operating expenses rose to $45.5 million, and cash flow from operations was negative $3.9 million after a $28.6 million litigation payment. Capital expenditures totaled $12.4 million, up from $4.6 million a year ago, and cash and equivalents ended the quarter at $404.2 million.
2. Backlog Growth and Market Demand
Backlog surged to $301 million, a 75% increase year-over-year and a 70% sequential rise, driven by rising demand in high-performance computing, automatic test equipment, industrial, aerospace, and defense applications. This strengthened order pipeline sets the stage for continued revenue growth in upcoming quarters.
3. Capacity Expansion and IP Enforcement
The company is adding equipment to its first CHiP fabrication facility and planning a second fab to expand total production capacity and provide redundancy for high-current 2nd Gen VPD modules. Enhanced intellectual property enforcement against infringing imports is underscoring the value of Vicor’s innovations and licensing requirements for OEMs and hyperscalers.