MPWR earnings analysis
What we found in MPWR's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
Monolithic Power Systems reported strong Q1 2026 results with total revenue of $804.2 million, outperforming expectations and marking a significant year-over-year increase of 26.1%. The company also exceeded EPS estimates, reporting $5.1 against a consensus of $4.68, highlighting robust demand particularly in the enterprise data segment, which surged by 97.7%.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Strong Revenue Growth
- Q1 2026 revenue increased by $166.6 million, or 26.1%, to $804.2 million compared to $637.6 million in Q1 2025.
- EPS Exceeds Expectations
- Reported EPS for Q1 2026 was $5.1, surpassing estimates of $4.68 and the prior year's Q1 EPS of $2.95.
- Record Operating Income
- Operating income improved to $241.2 million, representing an operating margin of 30.0%, up from 26.5% in the prior year.
- Significant Growth in Enterprise Data Segment
- Enterprise Data revenue soared by $129.9 million, or 97.7%, year-over-year, driven by demand for AI and server applications.
- Healthy Cash Position
- Total cash, cash equivalents and short-term investments reached $1.37 billion as of March 31, 2026, up from $1.26 billion at year-end 2025.
- Improved R&D Efficiency
- R&D expenses increased to $100.6 million, but as a percentage of revenue, they decreased to 12.4% from 14.4% in Q1 2025.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Geopolitical Tensions
- Continued global geopolitical tensions could adversely impact supply chains, especially in the semiconductor sector.
- Material Weakness in IC Reporting
- Management has identified a material weakness regarding accounting for deferred income taxes which remains unremediated as of this filing.
- Economic Downturn Risk
- Macroeconomic factors such as inflation and rising interest rates may negatively affect semiconductor demand.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $5.1
- Gross margin
- 55.3%
- Operating margin
- 30.0%
- Segment
- Enterprise Data: $262.8M
- Segment
- Storage and Computing: $174.4M
- Segment
- Automotive: $152.3M
- Segment
- Communications: $111.5M
- Segment
- Consumer: $54.5M
- Segment
- Industrial: $48.6M
What they said about what is next.
Management anticipates Q2 2026 revenue between $890 million and $910 million.
The filing reads better than the one before it.
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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