What does Power Integrations do and what are its main business segments?

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

What guidance did Power Integrations's management provide for the next earnings period?

Did Power Integrations beat or miss consensus estimates last quarter?

What is Power Integrations's latest dividend and current dividend yield?

What is Power Integrations's gross profit margin?

What is the market's earnings forecast for Power Integrations next quarter?

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.

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