Monolithic Raises First-Quarter 2025 Financial Guidance

Core Viewpoint - Monolithic Power Systems, Inc. (MPWR) has revised its financial guidance for Q1 2025, indicating increased revenues and operating expenses, reflecting a strong business momentum and significant investment in research and development [1][2][4]. Financial Guidance Update - Management now expects first-quarter revenues to be between $630 million and $640 million, an increase from the previous forecast of $610 million to $630 million [2]. - GAAP operating expenses are projected to be between $184.9 million and $190.9 million, up from the earlier estimate of $180.2 million to $186.2 million, indicating a higher investment in R&D [2]. - Non-GAAP operating expenses are now expected to be between $131.6 million and $135.6 million, higher than the initial guidance of $126.9 million to $130.9 million [3]. Growth Drivers - The anticipated revenue growth is attributed to the introduction of new products within existing families and new product categories, alongside increased demand for AI power solutions and improved order trends across various end markets [3]. Market Impact - The upgraded financial outlook is likely to enhance investor confidence in Monolithic, with the increased revenue projection suggesting strong business momentum and the rise in operating expenses reflecting ongoing investments in new markets [4]. Stock Performance - Over the past year, shares of Monolithic have decreased by 9.8%, compared to a 14.9% decline in the industry [7].