Power Integrations Reports Third-Quarter Financial Results

SAN JOSE, Calif.--( BUSINESS WIRE)--Power Integrations (NASDAQ: POWI) today announced financial results for the quarter ended September 30, 2025. Net revenues for the third quarter were $118.9 million, up three percent compared to the prior quarter and up three percent from the third quarter of 2024. GAAP net loss for the third quarter was $1.4 million or $0.02 per diluted share compared to net income of $0.02 per diluted share in the prior quarter and net income of $0.25 per diluted share in the third quarter of 2024. Cash flow from operations for the quarter was $29.9 million.

In addition to its GAAP results, the company provided non-GAAP measures that exclude stock-based compensation, amortization of acquisition-related intangible assets, expenses related to an employment-litigation matter, and the related tax effects of these items. Non-GAAP net income for the third quarter of 2025 was $20.2 million or $0.36 per diluted share compared to $0.35 per diluted share in the prior quarter and $0.40 per diluted share in the third quarter of 2024. A reconciliation of GAAP to non-GAAP financial results is included with the tables accompanying this press release.

Power Integrations CEO Jennifer Lloyd commented: “Our industrial business remains on track for strong growth in 2025 after a 20 percent year-over-year increase in the third quarter, while orders for consumer appliances continue to be soft after accelerated shipments earlier in the year ahead of U.S. tariffs. Overall, we are on course for solid growth in 2025 despite the challenging economic backdrop, and remain focused on secular growth opportunities in high voltage, including GaN, grid modernization, electric transportation and data center. Last month we detailed the capabilities of our 1250- and 1700-volt PowiGaN™ technologies for next-gen AI data centers, including our collaboration with NVIDIA on 800 VDC power architecture.”

Additional Highlights

Financial Outlook

The company issued the following forecast for the fourth quarter of 2025:

Conference Call Today at 9:00 a.m. Eastern Time

Power Integrations management will hold a conference call today at 9:00 a.m. Eastern time. A webcast of the call will be available on the company's investor web page, http://investors.power.com.

About Power Integrations

Power Integrations, Inc. is a leading innovator in semiconductor technologies for high-voltage power conversion. The company’s products are key building blocks in the clean-power ecosystem, enabling the generation of renewable energy as well as the efficient transmission and consumption of power in applications ranging from milliwatts to megawatts. For more information, please visit www.power.com.

Note Regarding Use of Non-GAAP Financial Measures

In addition to the company's consolidated financial statements, which are presented according to GAAP, the company provides certain non-GAAP financial information that excludes stock-based compensation expenses recorded under ASC 718-10, amortization of acquisition-related intangible assets, expenses stemming from an employment litigation matter and the tax effects of these items. The company uses these measures in its financial and operational decision-making and, with respect to one measure, in setting performance targets for compensation purposes. The company believes that these non-GAAP measures offer important analytical tools to help investors understand its operating results, and to facilitate comparability with the results of companies that provide similar measures. Non-GAAP measures have limitations as analytical tools and are not meant to be considered in isolation or as a substitute for GAAP financial information. For example, stock-based compensation is an important component of the company’s compensation mix and will continue to result in significant expenses in the company’s GAAP results for the foreseeable future but is not reflected in the non-GAAP measures. Also, other companies, including companies in Power Integrations’ industry, may calculate non-GAAP measures differently, limiting their usefulness as comparative measures. Reconciliations of non-GAAP measures to GAAP measures are attached to this press release.

Note Regarding Forward-Looking Statements

The above statements regarding the company’s forecast for its fourth-quarter financial performance are forward-looking statements reflecting management's current expectations and beliefs. These statements are based on current information that is, by its nature, subject to rapid and even abrupt change. Due to risks and uncertainties associated with the company's business, actual results could differ materially from those projected or implied by these statements. These risks and uncertainties include, but are not limited to: changes in trade policies, in particular the escalation and imposition of new and higher tariffs, which could reduce demand for end products that incorporate our integrated circuits and/or place pressure on our prices as our customers seek to offset the impact of increased tariffs on their own products; the company’s ability to supply products and its ability to conduct other aspects of its business such as competing for new design wins; changes in global economic and geopolitical conditions, including such factors as inflation, armed conflicts and trade negotiations, which may impact the level of demand for the company’s products; potential changes and shifts in customer demand away from end products that utilize the company's integrated circuits to end products that do not incorporate the company's products; the effects of competition, which may cause the company’s revenues to decrease or cause the company to decrease its selling prices for its products; unforeseen costs and expenses; and unfavorable fluctuations in component costs or operating expenses resulting from changes in commodity prices and/or exchange rates. In addition, new product introductions and design wins are subject to the risks and uncertainties that typically accompany development and delivery of complex technologies to the marketplace, including product development delays and defects and market acceptance of the new products. These and other risk factors that may cause actual results to differ are more fully explained under the caption “Risk Factors” in the company's most recent Annual Report on Form 10-K, filed with the Securities and Exchange Commission on February 7, 2025. The company is under no obligation (and expressly disclaims any obligation) to update or alter its forward-looking statements, whether because of new information, future events or otherwise, except as otherwise required by law.

Power Integrations, PowiGaN and the Power Integrations logo are trademarks or registered trademarks of Power Integrations, Inc. All other trademarks are property of their respective owners.

Three Months Ended

Nine Months Ended

September 30, 2025

June 30, 2025

September 30, 2024

September 30, 2025

September 30, 2024

118,919

115,852

115,837

340,300

313,723

54,068

51,898

52,666

153,260

146,239

64,851

63,954

63,171

187,040

167,484

26,696

25,991

25,829

76,782

75,101

17,455

18,349

17,119

52,179

50,894

10,374

11,808

8,641

33,229

27,479

14,279

9,151

23,430

68,804

65,299

51,589

185,620

153,474

(3,953

)

(1,345

)

11,582

1,420

14,010

2,555

2,690

2,750

8,412

9,441

(1,398

)

1,345

14,332

9,832

23,451

(42

)

(24

)

1,029

357

(1,356

)

1,369

14,291

8,803

23,094

(0.02

)

0.02

0.25

0.16

0.41

(0.02

)

0.02

0.25

0.16

0.40

55,796

56,274

56,817

56,310

56,810

55,796

56,387

57,004

56,586

57,106

517

592

496

1,766

1,549

2,850

3,190

2,997

8,290

9,307

1,910

1,922

1,876

5,418

5,990

2,374

4,373

2,969

10,937

8,941

13,554

21,205

10,077

8,338

39,965

25,787

147

146

147

440

887

48,646

66,935

50,972

193,214

201,801

249,023

31,515

27,583

27,172

164,618

168,396

165,612

18,070

18,188

21,260

456,063

482,903

514,039

147,915

147,955

149,562

7,452

7,660

8,075

95,271

37,125

37,174

36,485

28,704

26,574

25,394

772,530

797,537

828,826

37,459

31,044

29,789

14,233

14,881

13,987

890

751

961

18,513

18,323

10,580

71,095

64,999

55,317

4,556

4,063

3,871

24,903

24,687

19,866

100,554

93,749

79,054

18,734

(1,262

)

(1,287

)

(3,023

)

673,218

705,054

734,039

671,976

703,788

749,772

772,530

797,537

828,826

(1,356

)

1,369

14,291

8,803

23,094

6,542

7,002

8,454

20,788

25,560

208

623

1,071

(108

)

208

(108

)

216

21,205

10,077

8,338

39,965

25,787

(198

)

(375

)

(343

)

(919

)

(1,252

)

1,683

(5,206

)

(861

)

(8,688

)

(785

)

(381

)

(459

)

(3,932

)

(4,777

)

523

(3,962

)

(1,501

)

3,778

672

2,204

994

(4,516

)

(1,204

)

3,036

3,542

5,201

5,614

5,767

(3,754

)

2,031

6,015

1,914

(841

)

13,931

(546

)

9,154

(385

)

Net cash provided by operating activities

29,854

29,072

32,919

85,312

66,455

(5,694

)

(5,926

)

(5,731

)

(17,346

)

(14,241

)

150

(11,079

)

(42,066

)

(19,751

)

(58,775

)

(97,581

)

20,166

80,610

18,414

116,658

103,806

(9,520

)

(9,520

)

3,543

32,618

(16,588

)

40,687

(17,536

)

2,539

3,009

5,326

5,700

(42,440

)

(32,560

)

(98,098

)

(25,979

)

(11,785

)

(11,809

)

(11,364

)

(35,553

)

(34,100

)

13,000

(13,000

)

(13,000

)

(51,686

)

(44,369

)

(8,355

)

(128,325

)

(54,379

)

(18,289

)

17,321

7,976

(2,326

)

(5,460

)

66,935

49,614

50,493

50,972

63,929

48,646

66,935

58,469

48,646

58,469

64,851

63,954

63,171

187,040

167,484

54.5

55.2

54.5

55.0

53.4

517

592

496

1,766

1,549

147

146

147

440

887

65,515

64,692

63,814

189,246

169,920

55.1

55.8

55.1

55.6

54.2

68,804

65,299

51,589

185,620

153,474

2,850

3,190

2,997

8,290

9,307

1,910

1,922

1,876

5,418

5,990

2,374

4,373

2,969

10,937

8,941

13,554

725

9,151

9,876

21,413

18,636

7,842

48,075

24,238

47,391

46,663

43,747

137,545

129,236

(3,953

)

(1,345

)

11,582

1,420

14,010

-3.3

-1.2

10.0

0.4

4.5

21,205

10,077

8,338

39,965

25,787

147

146

147

440

887

725

9,151

9,876

18,124

18,029

20,067

51,701

40,684

15.2

15.6

17.3

15.2

13.0

(42

)

(24

)

1,029

357

-3.0

-1.8

0.3

10.5

1.5

(527

)

(871

)

(160

)

(1,159

)

(787

)

485

847

201

2,188

1,144

2.3

4.1

0.9

3.6

2.3

(1,356

)

1,369

14,291

8,803

23,094

21,205

10,077

8,338

39,965

25,787

147

146

147

440

887

725

9,151

9,876

(527

)

(871

)

(160

)

(1,159

)

(787

)

20,194

19,872

22,616

57,925

48,981

56,162

56,387

57,004

56,586

57,106

0.36

0.35

0.40

1.02

0.86

(0.02

)

0.02

0.25

0.16

0.40