Vishay Intertechnology Inc. (NYSE:VSH) Q2 2019 Earnings Conference Call Transcript

Jul 30, 2019 • 09:00 am ET

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Vishay Intertechnology Inc. (NYSE:VSH) Q2 2019 Earnings Conference Call Transcript

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Presentation
Operator
Operator

Hello. My name is Zaytinya, and I will be your conference operator today. At this time, I would like to welcome everyone to the Vishay Q2 2019 Earnings Conference Call. [Operator Instructions] I would now like to turn the call over to Mr. Peter Henrici. Sir, you may begin your conference.

Executive
Peter Henrici

Thank you, Zaytinya. Good morning, and welcome to Vishay Intertechnology's Second Quarter 2019 Conference Call. With me today are Dr. Gerald Paul, Vishay's President and Chief Executive Officer; and Lori Lipcaman, our Executive Vice President and Chief Financial Officer.

As usual, we'll start today's call with the CFO, who will review our second quarter 2019 financial results. Dr. Gerald Paul will then give an overview of our business and discuss operational performance, as well as segment results in more detail. Finally, we'll reserve time for questions and answers. This call is being webcast from the Investor Relations section of our website at ir.vishay.com. The replay for this call will be publicly available for approximately 30 days.

You should be aware that in today's conference call, we will be making certain forward-looking statements that discuss future events and performance. These statements are subject to risks and uncertainties that could cause actual results to differ from the forward-looking statements. For a discussion of factors that could cause results to differ, please see today's press release and Vishay's Form 10-K and Form 10-Q filings with the Securities and Exchange Commission.

In addition, during this call, we may refer to adjusted or other financial measures that are not prepared according to generally accepted accounting principles. We use non-GAAP measures because we believe they provide useful information about the operating performance of our businesses and should be considered by investors in conjunction with GAAP measures that we also provide. This morning, we filed a Form 8-K that outlines the various variables that impact the diluted earnings per share computation. On the Investor Relations section of our website, you can find a presentation of the second quarter 2019 financials and metrics.

Now, I turn the call over to Chief Financial Officer, Lori Lipcaman.

Executive
Lori Lipcaman

Thank you, Peter. Good morning, everyone. I am sure that most of you have had a chance to review our earnings press release. I will focus on some highlights and key metrics.

Vishay reported revenues for Q2 of $685 million. EPS was $0.31 for the quarter. Adjusted EPS was $0.36 for the quarter. During the quarter, we successfully renegotiated our credit facility. The new facility increases capacity to $750 million at similar interest rates on drawn amounts with a slight improvement in the commitment we paid on undrawn amounts. Additionally, the new credit facility has improved covenants that allow for greater operational and financial flexibility.

Also during the quarter, we continued our cash repatriation program. We repatriated $74 million to the United States and paid withholding and foreign taxes of $20 million. We also made the second payment of the transition tax of $15 million. These taxes have been accrued upon enactment of