Vishay Precision Group, Inc. (VPG): BCG Matrix [Dec-2025 Updated]

You're looking at Vishay Precision Group, Inc. (VPG) right now, and honestly, the picture is one of a focused industrial player navigating a mixed cycle as of late 2025. We've mapped their core segments using the classic BCG Matrix, and the results show a clear growth engine in Sensors, posting revenue up 19.1% sequentially and showing 12.1% year-over-year growth, while the Weighing Solutions segment acts as a reliable Cash Cow with margins near 40.3%. But there's complexity: some legacy Measurement Systems are clearly Dogs with revenue shrinking -8.0% year-over-year, balanced against exciting Question Marks like humanoid robot applications that need serious capital to convert their 1.04 book-to-bill into sustained leadership. Dive in below to see exactly where you should be focusing your attention on their portfolio.

Background of Vishay Precision Group, Inc. (VPG)

Vishay Precision Group, Inc. (VPG) operates as a leader in precision measurement and sensing technologies, serving various markets to help enhance product performance and safety. You should know that VPG structures its business around three primary segments: Sensors, Weighing Solutions, and Measurement Systems. These segments provide specialized components and systems like precision resistors, strain gages, load cells, and testing equipment for industrial and safety applications.

Looking at the most recent figures available, VPG reported solid results for its fiscal 2025 third quarter, which ended on September 27, 2025. For that quarter, net revenues increased by 5.3% year-over-year, reaching $79.7 million. This performance drove a significant improvement in profitability, with the operating margin rising to 12.7%, up substantially from 5.1% in the prior year period. Honestly, the bottom line looked much better, as diluted net earnings per share came in at $0.59, a stark contrast to the diluted net loss reported in the year-ago quarter.

Breaking down the revenue contribution in the third quarter of fiscal 2025 shows the relative size of the segments. The Sensors segment led the way with revenues of $31.6 million, marking a strong 12.1% increase from the third quarter of 2024. Weighing Solutions also showed strength, posting revenues of $27.5 million, which was a 9.4% year-over-year gain. The Measurement Systems segment, however, saw its revenue decline by 8.0% year-over-year to $20.6 million for the quarter.

The company maintains a strong financial footing, reporting a net cash position of approximately $66 million at the end of the third quarter, which supports its growth strategy. Furthermore, VPG is actively pursuing new business development, having generated $26 million in orders through the first nine months of 2025 toward its $30 million goal for the year. To be fair, a notable area of focus is the emerging humanoid robotics market, where VPG reported approximately $3.6 million in year-to-date orders related to that opportunity.

Vishay Precision Group, Inc. (VPG) - BCG Matrix: Stars

You're looking at the engine driving Vishay Precision Group, Inc.'s current momentum, and that's definitely the Sensors segment. In the Boston Consulting Group Matrix framework, this unit clearly sits in the Star quadrant: high market share in a market that's still growing, meaning it demands investment to keep winning.

The numbers from the third fiscal quarter of 2025, which ended September 27, 2025, really show this strength. The Sensors segment posted revenue of $31.6 million. That's a strong 12.1% increase compared to the same period last year. More impressively, when you look at it sequentially-from Q2 2025 to Q3 2025-the revenue jumped by 19.1%, cementing its role as the clear growth engine for Vishay Precision Group, Inc..

This segment's success is built on specific, high-demand products. We're talking about precision resistors and strain gages that Vishay Precision Group, Inc. supplies into the Test and Measurement and the AMS (Avionics, Military, Space) markets. The demand here is so strong that the segment recorded a book-to-bill ratio of 1.07 for the quarter, meaning they booked more in new orders than they shipped out in product..

Because Stars are leaders in a growing market, they consume cash to maintain that lead-you have to keep investing in capacity and promotion to fend off competitors. For Vishay Precision Group, Inc., this means continued capital investment is necessary to keep up with the high-growth demand for these product lines. Here's a quick look at how the segment's profitability is tracking alongside that growth:

The gross profit margin improvement to 33.6% in Q3 2025 from 31.0% a year ago shows that Vishay Precision Group, Inc. is managing the cost side well, even while scaling up production to meet demand. Still, the core strategy here is to invest heavily now so that when the market growth inevitably slows, this segment transitions smoothly into a Cash Cow role for Vishay Precision Group, Inc.

You should keep an eye on a few key drivers supporting this Star status:

• Higher sales of precision resistors in the Test and Measurement market.
• Increased strain gage sales in the General Industrial market.
• Continued strength in the AMS market, despite some overall segment softness elsewhere in the company.
• The segment's book-to-bill of 1.07 is a strong indicator of future revenue.

Honestly, the management team is clearly focused on fueling this unit, evidenced by the recent organizational changes aimed at streamlining processes to accelerate growth. Finance: draft the capital expenditure forecast for the Sensors segment for the next two quarters by next Wednesday.

Vishay Precision Group, Inc. (VPG) - BCG Matrix: Cash Cows

You're looking at the engine room of Vishay Precision Group, Inc. (VPG)'s portfolio-the Cash Cows. These are the established businesses that dominate mature markets, and for VPG, the Weighing Solutions Segment fits this profile perfectly, anchoring the company's financial stability.

This segment is the core business, dealing in load cells and force measurement transducers, which are essential components in established industrial and transportation markets. When you see a segment generating a gross profit margin of 40.3% in the third fiscal quarter of 2025, you know you have a market leader with a strong, definsible position. Honestly, that margin is what we analysts look for in a true Cash Cow.

The segment's revenue for Q3 2025 was $27.5 million. While this figure was up 9.4% compared to the third quarter of 2024, it did show a sequential dip, coming in 6.4% lower than the second quarter of 2025. That slight sequential softening is typical in mature markets, but the high margin shows pricing power remains intact.

This business unit is definitely the source of the cash that funds the rest of Vishay Precision Group, Inc. (VPG)'s ambitions. For instance, the entire company reported $7.4 million in Adjusted Free Cash Flow for the quarter. That cash flow is what you use to feed the Stars and nurture the Question Marks, all while keeping the lights on and servicing corporate needs.

Here's a quick look at the recent performance metrics for this cash-generating unit:

Because the market is mature, Vishay Precision Group, Inc. (VPG) doesn't need to spend heavily on promotion or aggressive placement here. Instead, the focus shifts to efficiency. You want to invest just enough to maintain that high market share and keep the infrastructure supporting it running smoothly, which should only increase that strong cash flow.

The key takeaways for you on the Weighing Solutions Segment are:

• Achieved a record gross profit margin of 40.3% in Q3 2025.
• Generated segment revenue of $27.5 million in the third quarter.
• Sequential revenue decline of 6.4% suggests stable but non-explosive demand.
• The high margin confirms a strong relative market position.
• Provides the necessary capital, evidenced by the company's $7.4 million Adjusted Free Cash Flow.

The strategy here is simple: maintain productivity and milk the gains passively. You don't rock the boat when the boat is this profitable.

Vishay Precision Group, Inc. (VPG) - BCG Matrix: Dogs

The Dogs quadrant for Vishay Precision Group, Inc. (VPG) is best exemplified by certain older, cyclical product lines residing within the Measurement Systems segment. These areas operate in markets characterized by low growth or contraction, which aligns with the low market share/low growth profile of a Dog, even if the segment as a whole has a book-to-bill ratio above 1.00.

The most concrete evidence points to sub-markets experiencing significant year-over-year revenue contraction. For the third fiscal quarter of 2025, the Measurement Systems segment posted net revenues of $20.6 million. This figure represents an 8.0% decrease year-over-year when compared to the $22.4 million reported in the third fiscal quarter of 2024. The primary driver for this year-over-year decline was decreased revenue in the Advanced Manufacturing Systems (AMS) market. This points directly to products tied to declining industrial or legacy AMS applications that are likely candidates for phasing out or rationalization through cost-reduction programs.

To illustrate the segment's performance trajectory, consider the recent quarterly figures:

While the segment saw a 7.3% sequential revenue increase from Q2 2025 to Q3 2025, driven by higher sales in the Steel Market, this sequential recovery only partially offset the substantial year-over-year weakness attributed to the AMS market. Furthermore, the gross profit margin for Measurement Systems declined to 50.5% in Q3 2025 from 56.8% in Q3 2024, primarily due to lower volume and an unfavorable product mix. This erosion in profitability, coupled with the persistent low-growth market exposure, suggests these units consume management time without providing significant future upside.

The need to divest or minimize these units is supported by the company's broader efficiency drives. Vishay Precision Group, Inc. completed the sale of a building on July 10, 2025, generating $10.8 million in proceeds, which were used to pay down debt as part of ongoing cost reduction and efficiency initiatives. This action reflects a focus on streamlining operations and freeing up capital from non-core or underperforming assets, a classic strategy for managing Dogs.

The characteristics suggesting this segment houses Dog products include:

• Older, cyclical product lines within the Measurement Systems segment.
• Year-over-year revenue contraction of 8.0% in Q3 2025.
• Gross profit margin contraction to 50.5% from 56.8% YoY.
• Reliance on cost-reduction programs, evidenced by the $10.8 million building sale proceeds used for debt paydown.
• Specific market weakness in the AMS sector.

The Measurement Systems segment recorded a book-to-bill ratio of 1.04 in Q3 2025, which is positive, but the underlying revenue decline and margin pressure suggest that a portion of the segment's business fits the Dog profile, requiring careful resource allocation decisions.

Vishay Precision Group, Inc. (VPG) - BCG Matrix: Question Marks

Question Marks represent business areas within Vishay Precision Group, Inc. (VPG) that operate in high-growth markets but currently hold a low relative market share. These units consume cash to fuel their growth potential but have not yet generated significant returns, making them cash-negative in the short term. The strategic imperative for Vishay Precision Group, Inc. is to decide whether to heavily invest to capture market share and turn them into Stars, or to divest.

New, high-growth application opportunities are prime candidates for the Question Mark quadrant, especially those tied to emerging technology trends. Vishay Precision Group, Inc.'s stated focus on humanoid robots exemplifies this. The global humanoid robot market is projected to grow significantly, with estimates suggesting a compound annual growth rate (CAGR) of 15.57% through 2034, potentially reaching approximately $6.72 billion. Alternatively, another forecast projects the market to expand at a CAGR of 70.4% from 2025 to 2029. To date, Vishay Precision Group, Inc. has secured total business development orders of approximately $3.6 million related to humanoid projects as of the end of Q3 2025. This low order value relative to the massive market size clearly positions this area as a Question Mark needing immediate, focused capital deployment.

The entire Measurement Systems segment warrants classification as a Question Mark, despite its relatively high gross margin, due to volatile performance signals and the need for clear strategic direction. While the segment achieved a book-to-bill ratio of 1.04 in the third fiscal quarter of 2025, indicating that new orders outpaced shipments, its year-over-year revenue performance was weak. This segment's performance is characterized by mixed signals, demanding a decision on whether to invest for growth or manage decline.

Here's a look at the latest segment financial snapshot for context:

Emerging applications in precision agriculture and medical fields also fall into this category, as Vishay Precision Group, Inc. holds low initial market share in these underlying high-growth markets. For instance, the CEO noted softness in the Weighing Solutions segment due to lower sales in the precision agriculture equipment markets. Conversely, the company is making progress with key projects in medical robotics. These specific market entries require significant, targeted spending to gain traction against established players.

These areas require significant investment in R&D and business development to convert a positive Q3 book-to-bill of 1.04 in the Measurement Systems segment into sustained market leadership. The positive book-to-bill suggests demand exists, but the segment's 8.0% year-over-year revenue decline and margin compression to 50.5% from 56.8% the prior year indicate that current market share is insufficient to capitalize on any underlying growth.

The path forward for these Question Marks involves clear resource allocation decisions:

• Invest heavily in humanoid robot initiatives to rapidly scale market penetration.
• Allocate capital to secure design wins in medical robotics applications.
• Determine if the Measurement Systems segment's high gross margin can be leveraged through focused investment to reverse the revenue decline.
• Address the order softness in precision agriculture equipment markets within Weighing Solutions.

Vishay Precision Group, Inc. ended Q3 2025 with a net cash position of $66 million, providing the balance sheet strength necessary to fund these high-risk, high-reward Question Mark investments.