Monolithic Power Systems Beats on EPS but GAAP Results Lag
Monolithic Power Systems (NAS: MPWR) reported earnings on Feb. 9. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended Dec. 31 (Q4), Monolithic Power Systems beat expectations on revenues and earnings per share.
Compared to the prior-year quarter, revenue improved slightly and GAAP earnings per share dropped significantly.
Gross margins increased, operating margins dropped, and net margins dropped.
Monolithic Power Systems tallied revenue of $47.5 million. The 10 analysts polled by S&P Capital IQ expected a top line of $46.4 million on the same basis. GAAP reported sales were 0.9% higher than the prior-year quarter's $47.1 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
Non-GAAP EPS came in at $0.15. The 12 earnings estimates compiled by S&P Capital IQ predicted $0.12 per share on the same basis. GAAP EPS of $0.07 for Q4 were 30% lower than the prior-year quarter's $0.10 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 52.5%, 200 basis points better than the prior-year quarter. Operating margin was 7.0%, 280 basis points worse than the prior-year quarter. Net margin was 5.2%, 240 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $48.0 million. On the bottom line, the average EPS estimate is $0.13.
Next year's average estimate for revenue is $213.6 million. The average EPS estimate is $0.78.
The stock has a five-star rating (out of five) at Motley Fool CAPS, with 135 members out of 145 rating the stock outperform, and 10 members rating it underperform. Among 35 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 34 give Monolithic Power Systems a green thumbs-up, and one gives it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Monolithic Power Systems is outperform, with an average price target of $15.
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At the time this article was published Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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