Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended June 30, 2023 or ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from ______ to ______ Commission File Number 000-23441 POWER INTEGRATIONS, INC. (Exact name of registrant as specified in its charter) | Delaware ...

Financial Data and Key Metrics - Q1 revenues were $106 million, in line with guidance and down 15% from the prior quarter [24] - Sell-through exceeded sell-in by $18 million, driving a significant reduction in channel inventories [19] - Bookings were the strongest since Q1 of last year, with March being particularly strong due to post-holiday activity and China's reopening [19] - Gross margin for Q1 was 51.5% on a non-GAAP basis, impacted by unfavorable revenue mix and lower production volumes [39] - Non-GAAP operating expenses were $41.1 million, slightly up from the prior quarter [40] - Non-GAAP earnings were $0.25 per diluted share, and cash flow from operations was $16.6 million [40] - Share repurchases totaled $1.7 million, with $80 million remaining on the authorization at quarter-end [25] Business Line Data and Key Metrics - Industrial and consumer markets declined by 25% and 20%, respectively, in Q1 [24] - High-Power business within the industrial category saw double-digit YoY growth in Q1, following 20% growth last year [9] - Communication category (primarily smartphone chargers) saw slight sequential growth, with channel inventories now slightly below normal levels [10] - Computer category was flat sequentially [10] - Design wins in motor drive, automotive, and GaN technologies are progressing well, with significant opportunities in the EV market [8][35] Market Data and Key Metrics - Smartphone market is leading the recovery, with inventories normalizing faster than other segments [14][20] - Automotive market is expected to be a $1 billion SAM by 2027, with design activity accelerating [35] - Renewable energy continues to drive growth in the High-Power business, with a major design win for utility-scale inverters in Europe [9] - China's reopening contributed to a surge in March bookings, but demand sustainability remains uncertain [72] Company Strategy and Industry Competition - The company is focused on long-term growth, particularly in GaN technology, which is a cornerstone of its strategy [33] - GaN products are differentiated by their integration and cost-performance advantages, with a roadmap to achieve cost parity with silicon within a couple of years [34] - The company is gaining market share during the downturn and expects to emerge stronger [52] - Automotive opportunities are growing rapidly, with a high conversion rate of opportunities into design wins [68] Management Commentary on Operating Environment and Future Outlook - Q1 was the bottom of the cycle, with recovery beginning in Q2, led by the smartphone market [14] - The company expects Q2 revenues of $122 million, plus or minus $5 million, with further reductions in channel inventory [15][41] - Gross margin is expected to improve in Q2 and more significantly in the second half, driven by favorable yen impact, higher production volumes, and improved revenue mix [39][41] - The second half of 2023 is expected to be significantly stronger than the first half, with revenue and margin improvements [23][44] Other Important Information - The company announced the launch of 900-volt GaN products, expanding its offerings for industrial, appliance, and EV markets [8] - Two board members will step down, and Ravi Vig, former CEO of Allegro Micro-Systems, will join the board [37] - Inventory levels are expected to decline steadily over the next several quarters, with a target range of $150-$170 million by year-end [58] Q&A Session Summary Question: Channel inventory burn and normalized revenue levels [27] - Answer: Sell-through exceeded sell-in by $18 million in Q1, and a similar trend is expected in Q2, bringing channel inventories close to normal levels [28] Question: True end demand and market recovery [51] - Answer: The company expects demand to improve, particularly in appliances, but the exact slope of recovery is uncertain [52] Question: Consumer and industrial segment recovery [55] - Answer: Consumer is expected to recover by Q3, while industrial will follow, with high-power business continuing to grow [85] Question: Gross margin improvement drivers [63] - Answer: Weaker yen, higher production volumes, and favorable revenue mix are expected to drive gross margin improvement in the second half [57] Question: Automotive market progress [74] - Answer: Design activity in automotive is accelerating, with a high conversion rate of opportunities into design wins, though significant revenue growth is expected in 2025-2026 [68][69] Question: Geographic trends, particularly in China [72] - Answer: March saw a surge in bookings due to China's reopening, but demand sustainability remains uncertain [72] Question: Normalized revenue range [78] - Answer: The company expects the second half of 2023 to be significantly stronger than the first half, but exact normalized revenue levels are unclear [79][83]

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended March 31, 2023 or ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from ______ to ______ Commission File Number 000-23441 POWER INTEGRATIONS, INC. (Exact name of registrant as specified in its charter) | Delaware ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission File Number 000-23441 POWER INTEGRATIONS, INC. (Exact name of registrant as specified in its charter) Delaware 94-3065014 (State or o ...

Power Integrations, Inc. (NASDAQ:POWI) Q4 2022 Earnings Conference Call February 6, 2023 4:30 PM ET Company Participants Joe Shiffler - Director, Investor Relations & Corporate Communications Balu Balakrishnan - President and Chief Executive Officer Sandeep Nayyar - Vice President of Finance and Chief Financial Officer Conference Call Participants Ross Seymore - Deutsche Bank Tore Svanberg - Stifel David Williams - The Benchmark Company Christopher Rolland - Susquehanna Ethan Potasnick - Cowen and Company G ...

Power Integrations, Inc. (NASDAQ:POWI) Q3 2022 Earnings Conference Call November 2, 2022 4:30 PM ET Company Participants Joe Shiffler – Director-Investor Relations Balu Balakrishnan – President and Chief Executive Officer Sandeep Nayyar – Chief Financial Officer Conference Call Participants Jeremy Kwan – Stifel David Williams – The Benchmark Group Melissa Weathers – Deutsche Bank Christopher Rolland – Susquehanna Gus Richard – Northland Operator Good afternoon. My name is Dittus, and I will be your conferen ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 Table of Contents FORM 10-Q (Mark One) ☒ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 2022 or ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from ______ to ______ Commission File Number 000-23441 POWER INTEGRATIONS, INC. (Exact name of registrant as specified in its charter) | Delawa ...

wer ations™ Power Integrations, Inc. Nasdaq: POWI Qj April 2022 ac-dc converters led drivers gate driver: Forward-Looking Statements/Non-GAAP Metrics These slides accompany an oral presentation by Power Integrations, Inc., which contains forward-looking statements. Each statement relating to events that will or may occur in the future is a forward-looking statement. The Company's actual results may differ materially from those suggested in the presentation. Information concerning factors that could cause su ...

Power Integrations, Inc. (NASDAQ:POWI) Q2 2022 Earnings Conference Call August 4, 2022 4:30 PM ET Company Participants Joe Shiffler - Director, Investor Relations & Corporate Communications Balu Balakrishnan - President and Chief Executive Officer Sandeep Nayyar - Vice President of Finance and Chief Financial Officer Conference Call Participants Christopher Rolland - Susquehanna Tore Svanberg - Stifel Ross Seymore - Deutsche Bank Matthew Ramsay - Cowen and Company David Williams - The Benchmark Company Augu ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 Commission File Number 000-23441 POWER INTEGRATIONS, INC. (Exact name of registrant as specified in its charter) | Delaware | | 94-3065014 | | --- | --- | --- | | (State or Other Jurisdiction of Incorporation or Organization) | | (I.R.S. Employer Identification No.) | | 5245 Hellyer Avenue | | | | San Jose, California | | 95138 | | (Address of Principal Executive Offices) | | (Zip Code) | | (408) 414-9200 | | | | (Regist ...