Monolithic Power Systems (MPWR) investor relations material

Executive summary

• Achieved record Q2 2026 revenue of $981 million, up 22% sequentially and 48% year-over-year, driven by innovation, diversified markets, and expanded supply chain capacity.

• All end markets grew sequentially, with Enterprise Data up 44.8% QoQ and 164.3% YoY.

• Significant expansion in enterprise data and communications segments, with broad-based customer engagement and new product launches in DDR5 memory and high-voltage AC/DC for data centers.

• Extended capacity goals beyond $6 billion to support future growth and transformation into a full-solution provider.

• Initial orders received for high-speed DDR5 memory components, expanding addressable market.

Financial highlights

• Q2 revenue reached $981 million, a 22% increase from Q1 2026 and 48% higher than Q2 2025.

• GAAP net income for Q2 2026 was $257.3M ($5.22 diluted EPS), up 33.2% QoQ and 90.6% YoY; non-GAAP net income was $320.1M ($6.50 diluted EPS), up 27.5% QoQ and 58.3% YoY.

• Communications segment revenue up 80% sequentially, driven by both optical module and switch-related solutions.

• Enterprise data segment grew by $120 million in one quarter, with low channel inventory and strong sell-through.

• Gross margin guidance incrementally expanded, with GAAP gross margin at 55.2% and non-GAAP at 55.6%.

Outlook and guidance

• Q3 2026 revenue forecasted at $1,140M–$1,160M, with gross margins expected at or slightly above current levels.

• Raised the floor for enterprise data end market growth from 85% to 130% for the year.

• Automotive revenue expected to ramp in the second half, with mid-teens year-over-year growth.

• GAAP operating expenses projected at $252.7M–$258.7M; non-GAAP at $201.2M–$205.2M.

• Fully diluted shares outstanding expected between 49.1M and 49.5M.