What is Power Integrations's gross profit margin?

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What is the revenue and EPS growth rate for Power Integrations year over year?

What were the key takeaways from Power Integrations's earnings call?

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What factors drove the changes in Power Integrations's revenue and profit?

What were the key takeaways from Power Integrations’s earnings call?

- **Consumer decline confirmed**: Q4 consumer down 30% to $100M, industrial also lower, but 2026 recovery expected.
- **Data center opportunity**: NVIDIA collaboration validates GaN leadership in 800-volt architecture.
- **Cash return focus**: $150M returned this year, dividend increase signals capital allocation priority.
- **Growth drivers**: Industrial (20% YTD), automotive (40+ EV models), and data center (2027 product launches).

**【CEO Summary Section】**
- Q3 revenue of $119 million, down 40% in appliances due to tariffs and weak housing markets, offset by 20% growth in industrial and automotive sectors.
- Consumer category expected to decline 30% in Q4 to $100-105 million, with industrial also lower due to seasonality.
- Data center collaboration with NVIDIA for 800-volt DC architecture; 1,250-volt GaN technology for aux power supplies.
- Automotive wins include 6 new EV models and heavy vehicle gate drivers.
- Free cash flow of $30M in Q3, total $80M+ for the year; $150M returned to shareholders via buybacks and dividend increase.

**【CFO Financial Commentary】**
- Non-GAAP EPS of $0.36, up 3% sequentially on industrial growth.
- Gross margin 55.1%, down 70bps due to input costs and weaker dollar.
- Q4 guidance: $100-105M revenue, 53.5-54% gross margin, $47M opex.
- Channel inventory reduced to 8 weeks post-Q3 sell-through; 2026 outlook for appliances normalization.

**【Q&A Key Highlights】**
- Consumer recovery in 2026 as preloaded inventory clears; 2026 appliance demand tied to housing rates.
- Data center strategy: GaN vs. SiC; POWI positioned for aux power and DC-DC conversion sockets.
- Automotive design wins in EVs and heavy vehicles; SAM expanding with EV adoption.
- Free cash flow margin focus; disciplined OpEx to accelerate cash flow growth.

Power Integrations, Inc. (POWI) Q3 2025 Earnings Call Transcript

- **New Leadership Transition**: Jen Lloyd appointed CEO, with Balu Balakrishnan transitioning to Executive Chairman.
- **GaN Growth Accelerates**: GaN product revenue up over 50% YTD, driven by data center and automotive applications.
- **Q3 Guidance**: $118 million ±$5 million, reflecting tariff-related softness in appliances offset by strength in industrial and GaN.
- **Unique GaN Positioning**: 1250V GaN technology enables 800V DC architectures, with no direct competitors in this voltage range.
- **Automotive Momentum**: Low tens of millions in automotive revenue expected by 2026, with wins across global markets.

**【Management Opening Remarks】**
- Balu Balakrishnan announced his transition to Executive Chairman, with Jen Lloyd appointed as CEO. Balu emphasized Jen's 28-year track record at Analog Devices and her familiarity with Power Integrations' business model.
- Jen Lloyd highlighted the company's focus on high-voltage semiconductors, GaN technology, and long-term growth目标 of $1 billion in revenue.

**【CEO Commentary】**
- Core business (power conversion ICs) accounts for 90% of sales, with InnoSwitch and TinySwitch platforms driving growth. GaN-based products saw 50%+ revenue growth YTD 2025.
- Automotive and industrial markets are key growth areas, with design wins in traction inverters, solar inverters, and EV battery storage systems.
- Tariffs and housing market weakness are impacting appliances, but channel inventory remains healthy at 7.6 weeks.

**【CFO Financial Commentary】**
- Q2 2025 revenue: $116 million (+9% YoY), Non-GAAP EPS: $0.35. Industrial segment grew 30% QoQ, driven by metering and high-power applications.
- Q3 2025 guidance: $118 million ±$5 million, with non-GAAP gross margin expected at 55%-55.5%.
- Share buybacks totaled $32.6 million in Q2, with $42 million remaining under the repurchase program.

**【Q&A Highlights】**
- Tariffs caused a 20% decline in July bookings, but industrial and GaN products offset weakness in appliances.
- Power Integrations is the only company shipping 1250V GaN, positioning it to benefit from NVIDIA's 800V DC data center architecture.
- Automotive revenue expected to reach low tens of millions by 2026, with wins in China, India, and Europe.
- CFO noted channel inventory remains within normal range (7.6 weeks), but caution around macroeconomic factors persists.

Power Integrations, Inc. (POWI) Q2 2025 Earnings Call Transcript

- **Revenue Growth**: Q1 up 15% YoY to $106M, driven by Consumer (appliances, TV) and Computer (AI servers).
- **GaN Breakthrough**: First automotive GaN design in U.S. EV, with 900V parts for 400V battery systems.
- **Industrial Momentum**: 7% YoY growth, led by India locomotives and high-power DC transmission wins.
- **Margin Strength**: 55.9% gross margin (up 80bps YoY), supported by yen weakness and favorable mix.
- **Buyback Activity**: $48M spent on shares, with $25M remaining under $50M authorization.

**【CEO Summary Section】**
- Q1 2025 revenue of $106 million, up 15% YoY, driven by Consumer (+20%), Computer (+20%), and Industrial (+7%) segments.
- Key wins: GaN-based InnoSwitch/InnoMux-2 in TVs/game consoles, high-power design wins in India's locomotives, and first automotive GaN design for a U.S. EV customer.
- Q2 guidance: $115M ±$5M, with sequential growth in Industrial, Computer, and Communications offset by seasonal Consumer decline.
- Tariffs: No material impact on bookings; short-term order mix stable, channel inventory healthy.
- Long-term trends: Energy efficiency, AI, and electrification driving demand for high-voltage semiconductors.

**【CFO Financial Commentary】**
- Non-GAAP EPS of $0.31, GAAP net income of $26M, with 55.9% gross margin (up 80bps YoY).
- Sequential revenue flat, driven by Consumer strength (appliances, AC) offset by Industrial weakness.
- Operating expenses $43.5M (below guidance), cash flow $26M, and $48M spent on share buybacks.
- Q2 outlook: 55.5% gross margin, $46M opex, and $25M remaining buyback authorization.

**【Q&A Key Highlights】**
- **Design Win Timing**: High-power industrial program delayed 1Q but ramping in Q2; no tariff-related delays.
- **GaN Adoption**: 900V GaN now used in automotive power supplies; 1.7kV parts for 800V EVs also gaining traction.
- **Currency Impact**: 10% yen appreciation adds ~100bps to gross margin; current yen strength provides 200bps benefit.
- **Inventory Management**: Channel inventory at 7.9 weeks (normal levels), with Consumer below average and Industrial steady.
- **Tariff Front-Loading**: ~$3M Q1 Consumer revenue from appliance front-loading; Q2 guidance reflects sequential decline.

Power Integrations (POWI)-12 May 25-2025 Q1 Earnings call transcript

- **Leadership Transition**: CEO Balu Balakrishnan stepping down; search underway with experienced board addition (Gregg Lowe).
- **2024 Financials**: Q4 revenue +18% YoY ($105M), core business up 17% YoY despite communications category decline.
- **2025 Growth Drivers**: 
  - **Communications Recovery**: 5G India rollout and cell phone content expansion.
  - **Industrial Expansion**: Renewables, EV infrastructure, and smart home solutions.
  - **Consumer & Computer Innovation**: GaN TV wins, AI server power, and India market penetration.

**【CEO Opening Remarks】**
- **CEO Transition Announcement**: Balu Balakrishnan will retire as CEO, with the Board initiating a CEO search. He will remain as Executive Chairman until a successor is appointed. 
- **Board Expansion**: Gregg Lowe, former CEO of Wolfspeed and Freescale, joins the Board, bringing expertise in analog/power semiconductors and industry relationships.

**【Q4 2024 Financial Highlights】**
- **Revenue Performance**: Q4 revenue $105M (+18% YoY), full-year $419M (-6% YoY). Excluding China OEM cell phone exit, core business grew 17% YoY (Consumer +35%, Computer +10%, Industrial +3%).
- **2025 Outlook**: 
  - **Communications Recovery**: 5G fixed wireless in India and higher content in remaining cell phone business to drive growth.
  - **Channel Inventory**: Down >2 weeks YoY, setting up for 2025 growth.
  - **Q1 2025 Guidance**: Flat sequential revenue (midpoint), implying +15% YoY.

**【Key Growth Drivers】**
- **Industrial Expansion**: High-voltage DC transmission, renewables, traction, metering, home automation, and automotive.
- **Consumer Growth**: Air conditioning share gains and TV market entry via GaN design wins.
- **Computer Innovation**: AI server auxiliary power, monitors with InnoMux-2 ICs.
- **India Market Focus**: Government push for domestic manufacturing in electronics, infrastructure (EV, broadband, renewables).

Power Integrations (POWI)-6 Feb 25-2024 Q4 Earnings call transcript

Power Integrations (POWI)-6 Nov 24-2024 Q3 Earnings call transcript

Power Integrations (POWI)-6 Aug 24-2024 Q2 Earnings call transcript

Power Integrations (POWI)-7 May 24-2024 Q1 Earnings call transcript

Power Integrations (POWI)-8 Feb 24-2023 Q4 Earnings call transcript

Power Integrations (POWI)-7 Nov 23-2023 Q3 Earnings call transcript

Power Integrations (POWI)-3 Aug 23-2023 Q2 Earnings call transcript

Power Integrations (POWI)-4 May 23-2023 Q1 Earnings call transcript

Power Integrations (POWI)-6 Feb 23-2022 Q4 Earnings call transcript

Power Integrations (POWI)-3 Nov 22-2022 Q3 Earnings call transcript

Power Integrations (POWI)-7 Aug 22-2022 Q2 Earnings call transcript

Power Integrations (POWI)-29 Apr 22-2022 Q1 Earnings call transcript

Power Integrations (POWI)-4 Feb 22-2021 Q4 Earnings call transcript

Power Integrations (POWI)-29 Oct 21-2021 Q3 Earnings call transcript

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Power Integrations (POWI)-2 May 21-2021 Q1 Earnings call transcript

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Power Integrations (POWI)-1 Nov 20-2020 Q3 Earnings call transcript

Power Integrations (POWI)-1 Aug 20-2020 Q2 Earnings call transcript

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Power Integrations (POWI)-24 Oct 19-2019 Q3 Earnings call transcript

Power Integrations (POWI)-27 Jul 19-2019 Q2 Earnings call transcript

Power Integrations (POWI)-26 Apr 19-2019 Q1 Earnings call transcript

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Power Integrations (POWI)-25 Oct 18-2018 Q3 Earnings call transcript

Power Integrations (POWI)-26 Jul 18-2018 Q2 Earnings call transcript

Power Integrations (POWI)-26 Apr 18-2018 Q1 Earnings call transcript

Power Integrations (POWI)-1 Feb 18-2017 Q4 Earnings call transcript

Power Integrations (POWI)-26 Oct 17-2017 Q3 Earnings call transcript

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