Monolithic Power Systems Reports 31% Revenue Growth to $664.6 Million in Q2 2025

Monolithic Power Systems, Inc. (MPS) reported significant financial growth in its latest quarterly results, with revenue reaching $664.6 million for the three months ended June 30, 2025, marking a 31% increase from $507.4 million in the same period last year. For the first half of 2025, revenue totaled $1.3 billion, up 35% from $965.3 million in the first half of 2024. The company's net income also saw a substantial rise, reaching $133.7 million for the second quarter, compared to $100.4 million a year earlier, resulting in a diluted earnings per share of $2.78, up from $2.05.

The increase in revenue was primarily driven by higher shipment volumes across various markets, particularly in storage and computing, which saw a 70% increase year-over-year. The automotive sector also contributed significantly, with a 66% rise in revenue, reflecting strong demand for advanced driver assistance systems and infotainment applications. However, the enterprise data market experienced a decline, with revenue dropping 23% due to lower sales of power management solutions for artificial intelligence applications.

MPS has made strategic advancements, including a stock repurchase program approved in February 2025, allowing for the repurchase of up to $500 million of its common stock through February 2028. The company repurchased 3,900 shares for $2.6 million during the second quarter. Additionally, MPS declared a quarterly cash dividend of $1.56 per share, totaling $74.7 million, reflecting a commitment to returning value to shareholders.

Operationally, MPS reported a total of 47,892 shares outstanding as of June 30, 2025, with cash and cash equivalents increasing to $787.4 million from $691.8 million at the end of 2024. The company also noted a significant increase in short-term investments, which rose to $358.7 million from $171.1 million. The total assets of MPS reached $3.97 billion, up from $3.62 billion at the end of the previous fiscal year, indicating a strong balance sheet.

Looking ahead, MPS remains optimistic about its growth trajectory, emphasizing its focus on product innovation and market expansion. The company plans to continue leveraging its strengths in semiconductor design and manufacturing to capture market share in high-performance power electronics solutions. However, MPS acknowledges potential challenges from macroeconomic conditions, including inflation and global trade dynamics, which could impact future performance.