AI Takeaway
MPWR delivered strong FY2025 revenue growth of 26.4% to $2.79B and expanded operating margins, though reported net income fell 61% year-over-year primarily due to a large one-time gain in the prior year that inflated FY2024 net income.
Revenue
$2.79B
++26.43% YoY
EPS (Basic)
$12.94
-60.50% YoY
Gross Margin
55.2%
-0.14% YoY
Operating Income
$728.64M
++35.09% YoY
Filed · Analysis updated · Source: SEC EDGAR 10-K filing
Revenue grew 26.4% year-over-year from $2.21B to $2.79B in FY2025, reflecting robust demand across MPWR's end markets including data center, automotive, and industrial segments. This top-line acceleration demonstrates continued market share gains in power management ICs.
Source: Source: 10-K Income Statement
Operating income surged 35.1% to $728.6M, outpacing revenue growth of 26.4%, which expanded operating margin by approximately 170 basis points to 26.1% from 24.4% in FY2024. This demonstrates improving operating leverage as the company scales its revenue base.
Source: Source: 10-K Income Statement
Reported net income fell 61% to $621.5M from $1.59B in FY2024. This sharp decline is largely attributable to a significant non-recurring gain in FY2024 that inflated the prior-year comparison; underlying operating performance actually improved meaningfully in FY2025.
Source: Source: 10-K Income Statement
2 more insights available
Upgrade to unlockMPWR's revenue is heavily dependent on winning design slots at a limited number of large customers in data center, automotive, and consumer electronics. Loss of a key design win or customer relationship could materially impact revenue. The 26.4% revenue growth makes the company increasingly exposed to any single large customer pullback.
Source: Source: 10-K Risk Factors
Unlock 4 more detailed risk analysis
Upgrade to unlockReported EPS of $4.79 versus the $4.82 analyst consensus — a -0.6% miss for FY2025.
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Revenue | $2.79B | $2.21B | +26.43% |
Cost of Revenue | $1.25B | $986.23M | +26.82% |
Gross Profit | $1.54B | $1.22B | +26.12% |
Operating Income | $728.64M | $539.36M | +35.09% |
Net Income | $621.48M | $1.59B | -60.96% |
EPS (Basic) | $12.94 | $32.76 | -60.50% |
EPS (Diluted) | $12.86 | $32.60 | -60.55% |
SG&A Expense | $428.84M | $356.76M | +20.20% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Total Assets | $4.19B | $3.52B | +19.29% |
Current Assets | $2.18B | $1.57B | +39.54% |
Total Liabilities | $662.7M | $564.7M | +17.36% |
Current Liabilities | $369.37M | $294.57M | +25.39% |
Stockholders' Equity | $3.53B | $2.95B | +19.67% |
Cash & Equivalents | $1.1B | $691.82M | +58.90% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Operating Cash Flow | $838.2M | $788.41M | +6.32% |
Investing Cash Flow | $-157.27M | $223.05M | -170.51% |
Financing Cash Flow | $-285.86M | $-872.23M | +67.23% |
Dividends Paid | $284.8M | $240.62M | +18.36% |
Share Buybacks | $6.6M | $636.2M | -98.96% |
D&A | $52.51M | $36.43M | +44.15% |
| Metric | Current | Previous | YoY Change |
|---|---|---|---|
Gross Margin | 55.2% | 55.3% | -0.14% |
Operating Margin | 26.1% | 24.4% | +1.67% |
Net Margin | 22.3% | — | — |
ROE | 17.6% | — | — |
ROA | 14.8% | — | — |
Current Ratio | $5.912 | — | — |
Debt to Equity | $0.188 | — | — |
Other companies in Semiconductors
MPWR's revenue grew 26.4% year-over-year to $2.79B in FY2025, up from $2.21B in FY2024. This growth was driven by strong demand for its power management integrated circuits across data center, automotive, and industrial end markets.
MPWR's reported net income fell 61% to $621.5M in FY2025 from $1.59B in FY2024, but this decline is largely due to a large non-recurring gain that inflated FY2024 net income rather than a deterioration in core business performance. The company's operating income actually grew 35.1% to $728.6M, demonstrating improved underlying profitability.
MPWR's financial health is very strong: it holds $1.10B in cash, has a current ratio of 5.91x, and carries minimal debt with a debt-to-equity ratio of just 0.19. Operating cash flow of $838.2M and stockholders' equity of $3.53B further underscore the company's solid financial foundation.
Yes, MPWR expanded its operating margin by approximately 170 basis points to 26.1% in FY2025 from 24.4% in FY2024, reflecting growing operating leverage as revenue scaled. Gross margin remained stable at approximately 55.2%, consistent with the prior year's 55.3%.
The key takeaways from MPWR's FY2025 results are: revenue grew 26.4% to $2.79B, operating income surged 35.1% to $728.6M with margin expansion, and cash balances jumped 58.9% to $1.10B. The 61% decline in net income is misleading as it reflects a prior-year one-time gain, while the core business demonstrated strong growth and improving profitability.