Core Insights - Monolithic Power Systems (MPS) reported its 14th consecutive year of growth with full-year 2025 revenue reaching $2.8 billion, a 26.4% increase from 2024, and a record fourth-quarter revenue of $751.2 million, up 20.8% year-over-year [2][7] Financial Performance - The company achieved a full-year revenue of $2.8 billion in 2025, marking a 26.4% increase from the previous year [2][7] - Fourth-quarter revenue was a record $751.2 million, reflecting a 1.9% increase from Q3 2025 and a 20.8% increase from the same quarter in the previous year [2][7] - MPS raised its quarterly dividend by 28% to $2 per share and returned over 72% of free cash flow to shareholders through buybacks and dividends over the past three years [6][8] Leadership Transition - Chief Financial Officer Bernie Blegen will retire after 15 years at MPS, with Corporate Controller Rob Dean stepping in as Interim CFO [3][5] - Blegen noted that the Q4 2025 earnings call was his 40th as CFO and plans to support the transition [3] Market Trends and Demand - Non-enterprise data end markets grew by over 40% year-over-year in 2025, indicating a diversified business model [1] - Enterprise data, the largest revenue end market for MPS, saw a decline of 2% in 2025, contrasting with the overall company growth of 26% [8] - The company reported strong bookings with a book-to-bill ratio exceeding 1, and backlog extending into Q2 and Q3 of 2026 [7][9] Product Development and Innovations - MPS is focusing on product initiatives such as an 800V power solution and vertical power modules, with automotive content growth of approximately 43% in 2025 [5][14] - Management highlighted the importance of adapting to market demands, including the development of silicon carbide and GaN devices [18] Margin Outlook - The company reiterated a long-term gross margin target of 55% to 60%, with recent performance on the low end of this range [15] - Improved backlog visibility is expected to help resume a historical cadence of incremental gross margin improvement [15]