Monolithic Power Systems, Inc. (MPWR) Q3 2022 Earnings Call Transcript

Monolithic Power Systems, Inc. (NASDAQ:MPWR) Q3 2022 Earnings Conference Call October 27, 2022 4:30 PM ET

Company Representatives

Michael Hsing - Chief Executive Officer, Founder

Bernie Blegen - Vice President, Chief Financial Officer

Genevieve Cunningham - Marketing Communications Manager

Conference Call Participants

Matt Ramsay - Cowen

Quinn Bolton - Needham

William Stein - Truist

Jeremy Kwan - Stifel

Rick Schafer - Oppenheimer

Alex Vecchi - William Blair

Melissa Fairbanks - Raymond James

Genevieve Cunningham

Welcome everyone to the MPS Third Quarter 2022 Earnings Webinar. Please note that this webinar is bring recorded and will be archived for one year on our Investor Relations page at www.monolithicpower.com. My name is Genevieve Cunningham, and I will be the moderator for this webinar. Joining me today are Michael Hsing, CEO and Founder of MPS; and Bernie Blegen, VP and CFO.

In the course of today’s webinar we will be making forward-looking statements and projections that involve risk and uncertainty, which could cause results to differ materially from management’s current views and expectations. Please refer to the Safe Harbor statement contained in the earnings release published today. Risks, uncertainties and other factors that could cause actual results to differ are identified in the Safe Harbor statements contained in the Q3 2022 earnings release and in our latest 10-K and 10-Q filings that can be found on our website. MPS assumes no obligation to update the information provided on today’s call.

We will be discussing gross margin, operating expense, R&D and SG&A expense, operating income, other income, income before income taxes, net income and earnings on both a GAAP and a non-GAAP basis. These non-GAAP financial measures are not prepared in accordance with GAAP and should not be considered as a substitute for or superior to measures of financial performance prepared in accordance with GAAP. A table that outlines the reconciliation between the non-GAAP financial measures to GAAP financial measures is included in our Q3 2022 earnings release, which we have furnished to the SEC and is currently available on our website.

Now I’d like to turn the call over to Bernie Blegen.

Bernie Blegen

Thanks, Gen. First of all, today I’m greeting you from Europe. We held our third quarter Board of Directors meeting in our Barcelona office. We have our Board Members tour of the facility and oversee the operations here.

Now, to the financial results. MPS achieved record third quarter revenue of $495.4 million, 7.5% higher than revenue in the second quarter of 2022, and 53.1% higher than revenue in the third quarter of 2021. This broad based year-over-year revenue growth was the result of consistent executions against our strategies.