Monolithic Power Systems 8-K
PositiveEarningsCEO/CFO changeNew guidance
AI and server power-management demand drives record $1.20B revenue; Q4 revenue guided to $1.315B–$1.385B.
Filed 2026-10-29 16:01 ET
- 2.02 Results of Operations
- 5.02 Officer/director change
- 9.01 Financial Statements and Exhibits
Summary
Q3 2026 results with Q4 outlook and finance leadership appointments. MPS reported record quarterly revenue above $1B for the first time, driven chiefly by demand for power-management solutions in enterprise data and communications. Effective 10/27/2026, Tony Balow, previously VP of Finance, became CFO; Robert Dean, previously interim CFO and corporate controller, became chief accounting officer.
Key Figures
| Metric | Q3 2026 | 9M 2026 |
|---|---|---|
| Revenue | $1.20B, +63.1% Y/Y | $2.99B, +46.5% Y/Y |
| GAAP gross margin | 55.4%, vs 55.1% | 55.3%, vs 55.2% |
| Non-GAAP gross margin | 55.7%, vs 55.5% | 55.6%, vs 55.5% |
| GAAP operating income | $358M, +83.3% Y/Y | $903M, +70.7% Y/Y |
| Non-GAAP operating income | $464M, +78.2% Y/Y | $1.12B, +57.0% Y/Y |
| GAAP net income | $271M, +50.8% Y/Y | $722M, +60.4% Y/Y |
| Non-GAAP net income | $403M, +77.3% Y/Y | $974M, +56.3% Y/Y |
| GAAP diluted EPS | $5.51, +47.3% Y/Y | $14.66, +56.5% Y/Y |
| Non-GAAP diluted EPS | $8.19, +73.2% Y/Y | $19.79, +52.5% Y/Y |
| Operating cash flow | $290M, +21.1% Y/Y | — |
- Enterprise Data revenue rose 164.6% Y/Y to $506.7M, or 42.1% of sales, on AI and server power-management solutions. Communications revenue grew 134.7% Y/Y to $187.4M, led by optical-module and switch solutions.
- Revenue increased sequentially across all end markets except Storage and Computing, which declined 3.8% Q/Q to $192.2M. Automotive revenue was $180.7M, up 19.2% Y/Y; MPS cited higher sales of advanced driver-assistance systems power solutions.
- MPS repurchased $453.4M of stock in Q3 vs $4.0M in Q2. Cash, cash equivalents and short-term investments were $1.09B at quarter-end, down from $1.41B at Q2-end. Common shares issued and outstanding were 48.792M vs 48.709M at 12/31/2025.
Against earlier guidance (derived from earlier filings)
| Metric | Period | Earlier guidance | Actual | Result |
|---|---|---|---|---|
| Revenue | Q3 2026 | $1.14B-$1.16B | $1.20B | beat |
| Gross margin, GAAP | Q3 2026 | 55.2%-55.8% | 55.4% | in line |
| Gross margin, non-GAAP | Q3 2026 | 55.4%-56.0% | 55.7% | in line |
Guidance
| Metric | Period | Guidance | Prior | Direction |
|---|---|---|---|---|
| Revenue | Q4 2026 | $1.315B-$1.385B | — | — |
| GAAP gross margin | Q4 2026 | 55.2%-55.8% | — | — |
| Non-GAAP gross margin | Q4 2026 | 55.5%-56.1% | — | — |
| Stock-based compensation and related expenses | Q4 2026 | $121M-$125M | — | — |
| GAAP operating expenses | Q4 2026 | $334M-$342M | — | — |
| Non-GAAP operating expenses | Q4 2026 | $216.8M-$220.8M | — | — |
| Interest and other income, before foreign exchange gains or losses | Q4 2026 | $7.8M-$8.2M | — | — |
| Non-GAAP tax rate | FY2026 | 15% | — | — |
| Fully diluted shares outstanding | Q4 2026 | 48.9M-49.3M | — | — |
| Annual revenue capacity support | By H2 2027; longer-term | $8B by H2 2027; on the way to $10B | — | — |
Guidance changes, derived from earlier filings
| Metric | Period | Earlier guidance | Guidance now | Change |
|---|---|---|---|---|
| Non-GAAP tax rate | FY2026 | 15% | 15% | reaffirmed |
Investor Takeaways
- Q4 revenue within the $1.315B-$1.385B outlook would extend the sharp growth reported in Q3.
- MPS expects strong demand from existing enterprise data customers into 2027; continued enterprise data growth and progress toward $8B of annual revenue capacity support are key indicators to watch.
- In Automotive, watch for design wins in 48V and zonal architectures and the 2027 growth contribution MPS expects from those solutions, alongside ramps of robotics products and a large data-converter design win.
The summary is written by an AI model reading the filing.
Model 005 · prompt v111 · 2026-10-29 22:47:29Z