Revenue growth remains inconsistent with a 2026Q1 increase of only 2.6%, while operating margins have compressed to 5.8% despite maintaining a gross margin of 52.6%.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 | Dec'11 | Dec'10 | Dec'09 | Dec'08 | Dec'07 | Dec'06 | Dec'05 | Dec'04 | Dec'03 | Dec'02 | Dec'01 | Dec'00 | Dec'99 | Dec'98 | Dec'97 | Dec'96 |
|---|
| Sales/Revenue | 446.28M | 443.5M | 418.97M | 444.54M | 651.14M | 703.28M | 488.32M | 420.67M | 415.95M | 431.75M | 387.39M | 343.99M | 348.8M | 347.09M | 305.37M | 298.74M | 299.8M | 215.7M | 201.71M | 191.04M | 162.4M | 143.07M | 136.64M | 125.71M | 108.18M | 94.09M | 111.51M | 104.07M | 70.01M | 44.8M | 23.3M |
| Revenue Growth % | 3.11% | 5.85% | -5.75% | -31.73% | -7.41% | 44.02% | 16.08% | 1.13% | -3.66% | 11.45% | 12.62% | -1.38% | 0.49% | 13.66% | 2.22% | -0.35% | 38.99% | 6.94% | 5.58% | 17.64% | 13.51% | 4.71% | 8.69% | 16.2% | 14.97% | -15.62% | 7.16% | 48.65% | 56.27% | 92.27% | - |
| Cost of Goods Sold | 205.93M | 201.85M | 194.22M | 215.58M | 284.23M | 342.64M | 244.73M | 207.27M | 201.17M | 218.09M | 196.23M | 170.6M | 159.23M | 163.85M | 154.87M | 158.09M | 147.26M | 107.63M | 96.68M | 87.56M | 73.79M | 72.98M | 71.41M | 62.81M | 60.72M | 51.25M | 53.88M | 46.79M | 36.64M | 24M | 13.7M |
| COGS % of Revenue | - | 45.51% | 46.36% | 48.5% | 43.65% | 48.72% | 50.12% | 49.27% | 48.36% | 50.51% | 50.65% | 49.6% | 45.65% | 47.21% | 50.71% | 52.92% | 49.12% | 49.9% | 47.93% | 45.83% | 45.44% | 51.01% | 52.26% | 49.97% | 56.13% | 54.47% | 48.31% | 44.97% | 52.33% | 53.57% | 58.8% |
| Gross Profit | 240.35M | 241.65M | 224.75M | 228.96M | 366.91M | 360.64M | 243.59M | 213.4M | 214.79M | 213.66M | 191.16M | 173.39M | 189.57M | 183.24M | 150.5M | 140.65M | 152.54M | 108.07M | 105.03M | 103.48M | 88.61M | 70.09M | 65.23M | 62.89M | 47.46M | 42.84M | 57.64M | 57.27M | 33.37M | 20.8M | 9.6M |
| Gross Margin % | 53.86% | 54.49% | 53.64% | 51.5% | 56.35% | 51.28% | 49.88% | 50.73% | 51.64% | 49.49% | 49.35% | 50.4% | 54.35% | 52.79% | 49.29% | 47.08% | 50.88% | 50.1% | 52.07% | 54.17% | 54.56% | 48.99% | 47.74% | 50.03% | 43.87% | 45.53% | 51.69% | 55.03% | 47.67% | 46.43% | 41.2% |
| Gross Profit Growth % | - | 7.52% | -1.84% | -37.6% | 1.74% | 48.05% | 14.15% | -0.65% | 0.53% | 11.77% | 10.25% | -8.54% | 3.46% | 21.75% | 7.01% | -7.8% | 41.15% | 2.89% | 1.49% | 16.79% | 26.42% | 7.46% | 3.71% | 32.51% | 10.78% | -25.67% | 0.64% | 71.63% | 60.43% | 116.67% | - |
| Operating Expenses | 214.98M | 220.2M | 206.82M | 193.9M | 186.5M | 185.58M | 173.1M | -3.62M | 150.62M | 156.03M | 143.32M | 133.28M | 132.97M | 129.17M | 113.02M | 97.43M | 92.61M | 79.46M | 102.02M | 76.36M | 84.78M | 51.09M | 39.54M | 38.77M | 35.45M | 34.94M | 31.93M | 30.61M | 19.34M | 16.1M | 10.9M |
| OpEx % of Revenue | - | 49.65% | 49.36% | 43.62% | 28.64% | 26.39% | 35.45% | -0.86% | 36.21% | 36.14% | 37% | 38.75% | 38.12% | 37.22% | 37.01% | 32.61% | 30.89% | 36.84% | 50.58% | 39.97% | 52.2% | 35.71% | 28.94% | 30.85% | 32.76% | 37.13% | 28.63% | 29.41% | 27.63% | 35.94% | 46.78% |
| Selling, General & Admin | 107.67M | 110.65M | 106.03M | 97.83M | 91.23M | 100.65M | 91.39M | 91.88M | 78.14M | 85.38M | 78.56M | 73.51M | 74.79M | 72.99M | 64.28M | 57.13M | 56.73M | 48.98M | 63.19M | 51.19M | 60.36M | 33.98M | 23.38M | 22.33M | 20.74M | 20.46M | 19.4M | 19.84M | 12.11M | 8.5M | 5.5M |
| SG&A % of Revenue | - | 24.95% | 25.31% | 22.01% | 14.01% | 14.31% | 18.72% | 21.84% | 18.78% | 19.77% | 20.28% | 21.37% | 21.44% | 21.03% | 21.05% | 19.12% | 18.92% | 22.71% | 31.33% | 26.79% | 37.17% | 23.75% | 17.11% | 17.77% | 19.17% | 21.75% | 17.4% | 19.07% | 17.3% | 18.97% | 23.61% |
| Research & Development | 103.28M | 101.12M | 100.79M | 96.07M | 93.89M | 84.93M | 81.71M | 73.47M | 70.58M | 68.5M | 62.31M | 57M | 54.98M | 51.65M | 45.71M | 40.3M | 35.89M | 30.47M | 36.87M | 25.18M | 24.41M | 17.11M | 16.16M | 16.44M | 14.71M | 14.47M | 12.52M | 10.76M | 7.23M | 5.3M | 3.5M |
| R&D % of Revenue | - | 22.8% | 24.06% | 21.61% | 14.42% | 12.08% | 16.73% | 17.46% | 16.97% | 15.87% | 16.08% | 16.57% | 15.76% | 14.88% | 14.97% | 13.49% | 11.97% | 14.13% | 18.28% | 13.18% | 15.03% | 11.96% | 11.83% | 13.08% | 13.59% | 15.38% | 11.23% | 10.34% | 10.33% | 11.83% | 15.02% |
| Other Operating Expenses | 0 | 8.43M | 0 | 0 | 1.37M | 0 | 0 | -168.97M | 4.12M | 2.66M | 1.08M | 425K | 1.02M | 864K | 801K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | 25.37M | 21.45M | 17.93M | 35.06M | 180.41M | 175.06M | 70.49M | 217.02M | 55.65M | 57.64M | 47.84M | 38.99M | 55.8M | 54.07M | 11.35M | 43.22M | 59.93M | 28.61M | 3.01M | 25.75M | 3.83M | 19M | 25.69M | 24.12M | 12.02M | 7.91M | 25.71M | 26.66M | 14.03M | 4.7M | -1.3M |
| Operating Margin % | 5.68% | 4.84% | 4.28% | 7.89% | 27.71% | 24.89% | 14.43% | 51.59% | 13.38% | 13.35% | 12.35% | 11.34% | 16% | 15.58% | 3.72% | 14.47% | 19.99% | 13.26% | 1.49% | 13.48% | 2.36% | 13.28% | 18.8% | 19.19% | 11.11% | 8.4% | 23.06% | 25.62% | 20.04% | 10.49% | -5.58% |
| Operating Income Growth % | - | 19.62% | -48.86% | -80.57% | 3.06% | 148.35% | -67.52% | 289.99% | -3.45% | 20.47% | 22.7% | -30.12% | 3.2% | 376.27% | -73.73% | -27.88% | 109.46% | 850.18% | -88.31% | 571.62% | -79.82% | -26.03% | 6.52% | 100.71% | 51.97% | -69.25% | -3.57% | 90.05% | 198.51% | 461.54% | - |
| EBITDA | 52.51M | 49.47M | 52.51M | 72.44M | 217.76M | 210.01M | 98.59M | 241.43M | 79.83M | 82.09M | 71.32M | 62.5M | 77.75M | 77.56M | 31.77M | 59.53M | 72.94M | 38.95M | 12.83M | 33.26M | 10.93M | 25.27M | 32.57M | 30.96M | 18.7M | 14.85M | 29.9M | 29.89M | 17.06M | 7M | 600K |
| EBITDA Margin % | 11.77% | 11.15% | 12.53% | 16.29% | 33.44% | 29.86% | 20.19% | 57.39% | 19.19% | 19.01% | 18.41% | 18.17% | 22.29% | 22.35% | 10.4% | 19.93% | 24.33% | 18.06% | 6.36% | 17.41% | 6.73% | 17.66% | 23.84% | 24.63% | 17.29% | 15.78% | 26.81% | 28.73% | 24.37% | 15.63% | 2.58% |
| EBITDA Growth % | -7.8% | -5.79% | -27.51% | -66.74% | 3.69% | 113.01% | -59.16% | 202.41% | -2.75% | 15.11% | 14.12% | -19.62% | 0.25% | 144.11% | -46.63% | -18.38% | 87.27% | 203.66% | -61.43% | 204.23% | -56.74% | -22.43% | 5.19% | 65.58% | 25.92% | -50.33% | 0.02% | 75.19% | 143.77% | 1066.67% | - |
| D&A (Non-Cash Add-back) | 27.14M | 28.03M | 34.58M | 37.38M | 37.34M | 34.95M | 28.1M | 24.4M | 24.18M | 24.46M | 23.48M | 23.5M | 21.96M | 23.49M | 20.42M | 16.32M | 13.02M | 10.34M | 9.82M | 7.5M | 7.1M | 6.26M | 6.88M | 6.85M | 6.68M | 6.94M | 4.19M | 3.23M | 3.03M | 2.3M | 1.9M |
| EBIT | 14.64M | 20.98M | 17.93M | 35.06M | 180.41M | 175.06M | 70.49M | 48.05M | 55.65M | 60.3M | 48.87M | 38.91M | 55.8M | 55.45M | -20.78M | 45.09M | 61.81M | 30.53M | 10.73M | 27.12M | 3.83M | 19M | 25.32M | 14.04M | 12.02M | 7.91M | 25.71M | 26.66M | 14.03M | 5.97M | -585K |
| Net Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.02M | 1.2M | 713K | 1.75M | 2.05M | 2.09M | 2.17M | 7.6M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.02M | 1.2M | 736K | 1.75M | 2.05M | 2.1M | 2.17M | 7.61M | 8.51M | 0 | 0 | 1.81M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 23K | 2K | 0 | 3K | 3K | 9K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | -10.36M | -467K | 12.82M | 10.85M | 3.01M | 1.08M | 4.76M | 5.39M | 4.12M | 2.66M | 1.08M | 425K | 1.02M | 1.36M | -32.13M | 1.88M | 1.88M | 1.91M | 7.71M | 8.8M | 5.92M | 3.15M | 1.05M | 1M | 1.67M | 1.75M | 2.52M | 2.15M | 1.25M | -683K | -726K |
| Pretax Income | 15.01M | 20.98M | 30.75M | 45.91M | 183.43M | 176.13M | 75.25M | 222.41M | 59.76M | 60.3M | 48.92M | 39.42M | 56.81M | 55.43M | -20.78M | 45.09M | 61.8M | 30.52M | 10.72M | 34.55M | 9.76M | 22.15M | 26.74M | 25.12M | 13.68M | 9.66M | 28.24M | 28.81M | 15.28M | 5.3M | -600K |
| Pretax Margin % | 3.36% | 4.73% | 7.34% | 10.33% | 28.17% | 25.04% | 15.41% | 52.87% | 14.37% | 13.97% | 12.63% | 11.46% | 16.29% | 15.97% | -6.81% | 15.1% | 20.62% | 14.15% | 5.32% | 18.09% | 6.01% | 15.48% | 19.57% | 19.98% | 12.65% | 10.26% | 25.32% | 27.68% | 21.82% | 11.83% | -2.58% |
| Income Tax | -1.59M | -1.11M | -1.48M | -9.83M | 12.57M | 11.72M | 4.08M | 28.95M | -10.22M | 32.69M | 1.03M | 271K | -2.73M | -1.84M | 13.62M | 10.8M | 12.34M | 7.25M | 8.92M | 7.93M | 333K | 6.45M | 6.38M | 7.03M | 4.1M | 2.93M | 8.47M | 4.33M | 2.6M | 500K | 0 |
| Effective Tax Rate % | -10.58% | -5.31% | -4.81% | -21.41% | 6.86% | 6.66% | 5.42% | 13.01% | -17.1% | 54.21% | 2.11% | 0.69% | -4.81% | -3.32% | -65.55% | 23.96% | 19.97% | 23.77% | 83.19% | 22.94% | 3.41% | 29.13% | 23.84% | 28% | 30% | 30.34% | 30% | 15.04% | 17.02% | 9.43% | 0% |
| Net Income | 16.6M | 22.09M | 32.23M | 55.73M | 170.85M | 164.41M | 71.18M | 193.47M | 69.98M | 27.61M | 47.89M | 39.15M | 59.54M | 57.27M | -34.4M | 34.29M | 49.46M | 23.27M | 1.8M | 26.62M | 9.43M | 15.7M | 20.37M | 18.09M | 9.58M | 6.73M | 19.77M | 24.48M | 12.68M | 4.8M | -1.3M |
| Net Margin % | 3.72% | 4.98% | 7.69% | 12.54% | 26.24% | 23.38% | 14.58% | 45.99% | 16.82% | 6.39% | 12.36% | 11.38% | 17.07% | 16.5% | -11.27% | 11.48% | 16.5% | 10.79% | 0.89% | 13.94% | 5.8% | 10.97% | 14.91% | 14.39% | 8.85% | 7.15% | 17.72% | 23.52% | 18.11% | 10.71% | -5.58% |
| Net Income Growth % | -55.21% | -31.46% | -42.17% | -67.38% | 3.92% | 131% | -63.21% | 176.45% | 153.48% | -42.35% | 22.33% | -34.26% | 3.98% | 266.45% | -200.33% | -30.67% | 112.57% | 1190.57% | -93.23% | 182.48% | -39.96% | -22.92% | 12.62% | 88.82% | 42.4% | -65.97% | -19.25% | 93.07% | 164.13% | 469.23% | - |
| Net Income (Continuing) | 16.6M | 22.09M | 32.23M | 55.73M | 170.85M | 164.41M | 71.18M | 193.47M | 69.98M | 27.61M | 48.9M | 39.15M | 59.54M | 57.27M | -34.4M | 34.29M | 49.46M | 23.27M | 1.8M | 26.62M | 9.43M | 15.7M | 20.37M | 11.44M | 9.58M | 6.73M | 19.77M | 24.48M | 12.68M | 4.76M | -1.34M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.30 | 0.39 | 0.56 | 0.97 | 2.93 | 2.67 | 1.17 | 3.24 | 1.16 | 0.45 | 0.83 | 0.66 | 0.97 | 0.94 | -0.60 | 0.57 | 0.84 | 0.41 | 0.03 | 0.43 | 0.16 | 0.26 | 0.32 | 0.18 | 0.07 | 0.01 | 0.35 | 0.44 | 0.19 | 0.07 | -0.19 |
| EPS Growth % | -53.64% | -30.36% | -42.27% | -66.89% | 9.74% | 128.21% | -63.89% | 179.31% | 157.78% | -45.78% | 25.76% | -31.96% | 3.19% | 256.67% | -205.26% | -32.14% | 104.88% | 1266.67% | -93.02% | 168.75% | -38.46% | -18.75% | 77.78% | 157.14% | - | -98.57% | -20.45% | 131.58% | 192.31% | 134.21% | - |
| EPS (Basic) | - | 0.39 | 0.57 | 0.97 | 2.96 | 2.73 | 1.19 | 3.31 | 1.19 | 0.47 | 0.85 | 0.68 | 1.00 | 0.98 | -0.60 | 0.60 | 0.89 | 0.43 | 0.03 | 0.46 | 0.16 | 0.27 | 0.34 | 0.20 | 0.07 | 0.01 | 0.37 | 0.47 | 0.13 | 0.32 | -0.19 |
| Diluted Shares Outstanding | 55.87M | 56.32M | 57.13M | 57.62M | 58.37M | 61.47M | 60.84M | 59.63M | 60.29M | 61.09M | 59.24M | 59.39M | 61.66M | 60.84M | 57.27M | 59.93M | 59.11M | 56.59M | 63.51M | 62.51M | 61.64M | 61.69M | 64.46M | 62.98M | 58.68M | 57.12M | 57.55M | 56.39M | 65.55M | 74.71M | 6.85M |
| Basic Shares Outstanding | 55.51M | 56.06M | 56.82M | 57.2M | 57.8M | 60.33M | 59.66M | 58.53M | 58.91M | 59.35M | 57.85M | 58M | 59.95M | 58.84M | 57.27M | 57.22M | 55.67M | 53.84M | 60.2M | 57.94M | 58.12M | 59.14M | 61.6M | 58.95M | 56.72M | 55.43M | 54.36M | 51.92M | 74.87M | 15.1M | 6.85M |
| Dividend Payout Ratio | - | 213.51% | 142.82% | 78.96% | 24.29% | 19.83% | 35.24% | 10.6% | 26.9% | 60.25% | 31.43% | 35.55% | 22.11% | 16.5% | - | 16.69% | 11.27% | 11.58% | 40.49% | - | - | - | - | - | - | - | - | - | - | - | - |
Consumer electronics cyclicality exposure
According to the provided quarterly data, Power Integrations experienced a modest 2.6% revenue growth in 2026Q1, following a period of inconsistent performance where year-over-year fluctuations ranged from a 17.6% increase in 2024Q4 to a 28.3% contraction in 2023Q4, highlighting significant sensitivity to short-cycle consumer demand.
The erratic revenue trajectory suggests that the company remains tethered to the volatile smartphone and consumer electronics refresh cycles. Investors should monitor whether the recent stabilization in distributor inventory levels will allow for more predictable, sustainable growth in the coming quarters.
As reported in financial statements, the company maintained gross margins between 52.1% and 55.2% over the last ten quarters, demonstrating a structural ability to preserve pricing power despite the cyclical nature of the semiconductor industry and the ongoing integration of higher-cost Gallium Nitride technology.
The stability of these margins suggests that the company's proprietary high-voltage integration moat remains intact, preventing the commoditization often seen in discrete power components. However, the slight compression observed in 2026Q1 may indicate under-absorption of fixed costs, warranting further investigation into manufacturing utilization rates.
Based on the income statement data, operating income has failed to scale consistently with gross profit, as evidenced by a 2026Q1 operating margin of only 5.8% despite a gross margin of 52.6%, indicating that fixed operating expenses continue to exert significant pressure on bottom-line profitability.
The lack of meaningful operating leverage suggests that R&D and SG&A investments are currently outpacing revenue expansion. This may indicate that the company is prioritizing long-term design-win pipelines in automotive and industrial sectors at the expense of near-term operating efficiency.
Analysis of the reported figures reveals that stock-based compensation, which reached $21.2 million in 2025Q3, frequently creates significant volatility in net income, often masking the underlying cash-generation potential of the business and leading to erratic quarterly earnings per share results for shareholders.
The substantial fluctuations in SBC suggest that reported net income may not be a reliable proxy for operational performance. Investors should focus on adjusted metrics that normalize for these non-cash charges to better understand the true profitability of the core power management business.
While the company maintains a strong technical moat, the emergence of subsidized domestic Chinese competitors, as noted in recent industry context, poses a potential long-term threat to market share that could lead to sustained margin compression if pricing power is eventually eroded by lower-cost alternatives.
Short-sellers may focus on the company's heavy reliance on the Chinese manufacturing ecosystem, which remains vulnerable to geopolitical shifts and local substitution mandates. The current valuation premium over broader analog peers appears to assume a level of competitive insulation that may be tested by these regional dynamics.
Quick answers to the most common questions about buying POWI stock.
For fiscal year 2025, Power Integrations, Inc. (POWI) reported total revenue of $443.5M. This represents a 1803.5% increase compared to $23.3M in 1996.
Power Integrations, Inc. (POWI) is profitable, generating $22.1M in net income for the fiscal year ending 2025 with a net profit margin of 5.0%.
Power Integrations, Inc. (POWI) reported an operating income of $21.4M, resulting in an operating profit margin of 4.8%. This margin reflects the operational efficiency of the business before interest and taxes.
Power Integrations, Inc. (POWI) generated $241.6M in gross profit for the year, representing a gross profit margin of 54.5%. This demonstrates the company's core pricing power and production efficiency.