Monolithic Power Systems (MPWR) Q4 2025 earnings summary

Executive summary

• Achieved fourteenth consecutive year of growth with 2025 revenue of $2.8B, up 26.4% year-over-year.

• Q4 2025 revenue reached $751.2M, up 1.9% sequentially and 20.8% year-over-year.

• Board approved a quarterly dividend increase from $1.56 to $2.00 per share, effective Q1 2026.

• Non-enterprise data end markets grew over 40% year-over-year, highlighting business diversification.

• Announced CFO transition: Bernie Blegen retiring, Rob Dean appointed Interim CFO.

Financial highlights

• Returned over 72% of free cash flow to shareholders over three years via buybacks and dividends.

• Q4 2025 GAAP net income was $170.1M ($3.46/diluted share); non-GAAP net income was $235.3M ($4.79/diluted share).

• Full-year 2025 GAAP net income was $615.9M ($12.75/diluted share); non-GAAP net income was $858.4M ($17.77/diluted share).

• Quarterly dividend increased 28% to $2 per share.

• Gross margin has trended between 55.2% and 55.8%, at the low end of the 55%-60% target range.

Outlook and guidance

• Q1 2026 revenue expected between $770M and $790M.

• Book-to-bill ratio well above one, with backlog extending into Q2 and Q3 2026.

• Enterprise data segment expected to grow at least 50% in 2025, with potential for higher growth.

• Q1 2026 GAAP gross margin projected at 54.9%-55.5%; non-GAAP gross margin at 55.2%-55.8%.

• Strong demand and backlog provide increased visibility for the first half of 2026.