Overview

* Power Integrations ( POWI ) Q2 revenue rises 9% yr/yr, beating analyst expectations

* Adjusted EPS for Q2 meets analyst estimates at $0.35 per share

* Co repurchased 706,000 shares for $32.6 mln during the quarter

Outlook

* Company expects Q3 2025 revenue of $118 mln ± $5 mln

* GAAP gross margin forecasted between 54.5% and 55% for Q3 2025

* Non-GAAP gross margin expected between 55% and 55.5% for Q3 2025

* Company anticipates GAAP operating expenses of $72.5 mln for Q3 2025

* Non-GAAP operating expenses forecasted at $47.5 mln for Q3 2025

* Company cites low near-term visibility due to macroeconomic uncertainty

Result Drivers

* INDUSTRIAL GROWTH - Co attributes 9% yr/yr revenue increase to strong growth in industrial category

* GaN PRODUCTS - Revenues from GaN-based products grew over 50% in H1, expanding into appliance, industrial and EV applications

* AUTOMOTIVE OUTLOOK - Co's automotive business expected to materially contribute to revenue in 2026

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $115.85 $115 mln

Revenue mln (5

Analysts

)

Q2 Meet $0.35 $0.35 (5

Adjusted Analysts

EPS )

Q2 EPS $0.02

Q2 Net $1.37

Income mln

Q2 Gross $63.95

Profit mln

Q2 -$1.34

Operatin mln

g Income

Q2 $1.34

Pretax mln

Profit

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

* The average consensus recommendation for the semiconductors peer group is "buy"

* Wall Street's median 12-month price target for Power Integrations Inc ( POWI ) is $70.00, about 31% above its August 5 closing price of $48.29

* The stock recently traded at 27 times the next 12-month earnings vs. a P/E of 28 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)