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Power Integrations announced financial results for the quarter and year ended December 31, 2024. Net revenues for the fourth quarter were $105.2 million, down nine percent from the prior quarter and up 18 percent from the fourth quarter of 2023. GAAP net income for the fourth quarter was $9.1 million or $0.16 per diluted share compared to $0.25 per diluted share in the prior quarter and $0.25 per diluted share in the fourth quarter of 2023. Cash flow from operations for the fourth quarter was $14.7 million.
In addition to its GAAP results, the company provided non-GAAP measures that exclude stock-based compensation, amortization of acquisition-related intangible assets and the related tax effects. Non-GAAP net income for the fourth quarter of 2024 was $17.2 million or $0.30 per diluted share compared to $0.40 per diluted share in the prior quarter and $0.22 per diluted share in the fourth quarter of 2023. A reconciliation of GAAP to non-GAAP financial results is included with the tables accompanying this press release.
For the full year, net revenues were $419.0 million, compared to $444.5 million in the prior year. Full-year GAAP net income was $32.2 million or $0.56 per diluted share, compared to $0.97 per diluted share in the prior year. Non-GAAP net income was $1.16 per diluted share, compared to $1.29 per diluted share in the prior year. Cash flow from operations for the full year was $81.2 million.
Commented Balu Balakrishnan, chairman and CEO of Power Integrations: “Fourth-quarter revenues were up 18 percent year-over-year, and we expect another double-digit increase in the first quarter. While the demand outlook is cloudy, especially in light of uncertainty around trade policy, we expect growth in a variety of end-markets in 2025, including renewable energy, high-voltage DC transmission, metering, automotive, appliances and more. Products featuring our proprietary PowiGaN™ technology should contribute significant growth this year as adoption accelerates across a broad set of high-voltage power-conversion applications.”
Additional Highlights
- Power Integrations paid a dividend of $0.21 per share on December 31, 2024. A dividend of $0.21 per share will be paid on March 31, 2025, to stockholders of record as of February 28, 2025.
- The company utilized $1.9 million for share repurchases during the fourth quarter, leaving $48.1 million remaining on its repurchase authorization as of December 31.
Financial Outlook
The company issued the following forecast for the first quarter of 2025:
- Revenues are expected to be flat compared to the fourth quarter of 2024, plus or minus five percent.
- GAAP gross margin is expected to be between 55 percent and 55.5 percent, and non-GAAP gross margin is expected to be between 55.5 percent and 56 percent. The difference between GAAP and non-GAAP is primarily attributable to stock-based compensation, with a smaller impact from amortization of acquisition-related intangible assets.
- GAAP operating expenses are expected to be approximately $54 million; non-GAAP operating expenses are expected to be approximately $45 million. Non-GAAP operating expenses are expected to exclude approximately $9 million of stock-based compensation.
Original – Power Integrations
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MCC Semi announced four new components in advanced P-channel MOSFET lineup. Supporting -100V applications from battery protection to motor drives and high-side switches, MCAC085P10, MCAC055P10, MCU055P10, and MCU085P10 are made for reliability in challenging environments.
With a maximum on-resistance of 55mΩ or 85mΩ, these MOSFETs improve overall system efficiency while reducing power dissipation. Leveraging trench technology and superior thermal performance, these versatile solutions provide engineers with high power density in a compact DFN5060 or DPAK package.
New P-channel MOSFETs are the obvious choice for unmatched performance and effective power management.
Features & Benefits:
- Trench MOSFET Technology: Enhances current capacity and reduces on-resistance
- Low On-Resistance: A maximum RDS(on) of 55mΩ or 85mΩ minimizes power consumption and boosts efficiency
- Low Conduction Losses: Reduce heat generation while improving overall system operation
- Excellent Thermal Performance: Safeguards device from overheating during use in high-temp scenarios
- High Power Density: Available in compact DFN5060 and DPAK package options
Original – Micro Commercial Components
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Infineon Technologies AG successfully placed a corporate bond with a volume of €750 million under its EMTN (European Medium Term Notes) program. The issue was several times oversubscribed. The bond has an annual coupon of 2,875% and a term of five years.
“With this successful transaction, Infineon was able to refinance upcoming maturities at very favorable conditions,” says Matthias Wolff, Head of Corporate Finance at Infineon.
The bond is issued in partial debentures with a nominal value of EUR 100,000 each and was placed exclusively with qualified institutional investors. The proceeds will be used for general business financing and the refinancing of maturing debt. Infineon last placed a corporate bond with a volume of €500 million under its EMTN program in February 2024.
Original – Infineon Technologies
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Microchip Technology Incorporated reported results for the three months ended December 31, 2024.
- Net sales of $1.026 billion, down 11.8% sequentially and down 41.9% from the year ago quarter. Our updated guidance provided on December 2, 2024 was net sales of $1.025 billion.
- On a GAAP basis: gross profit of 54.7%; operating income of $30.9 million and 3.0% of net sales; net loss of $53.6 million; and loss of $0.10 per diluted share. Guidance provided on November 5, 2024 was for GAAP earnings (loss) per share of $(0.04) to $0.03 per diluted share.
- On a Non-GAAP basis: gross profit of 55.4%; operating income of $210.7 million and 20.5% of net sales; net income of $107.3 million; and EPS of $0.20 per diluted share. Updated guidance provided on December 2, 2024 was for Non-GAAP EPS of $0.25 per diluted share.
- Returned approximately $244.6 million to stockholders in the December quarter through dividends.
- Quarterly dividend declared for the March quarter of 45.5 cents per share, an increase of 1.1% from the year ago quarter.
Net sales for the third quarter of fiscal 2025 were $1.026 billion, down 41.9% from net sales of $1.766 billion in the prior year’s third fiscal quarter.
GAAP net loss for the third quarter of fiscal 2025 was $53.6 million, or $0.10 per diluted share, down from GAAP net income of $419.2 million, or $0.77 per diluted share, in the prior year’s third fiscal quarter. For the third quarters of fiscal 2025 and fiscal 2024, GAAP results were adversely impacted by amortization of acquired intangible assets associated with previous acquisitions.
Non-GAAP net income for the third quarter of fiscal 2025 was $107.3 million, or $0.20 per diluted share, down from non-GAAP net income of $592.7 million, or $1.08 per diluted share, in the prior year’s third fiscal quarter. For the third quarters of fiscal 2025 and fiscal 2024, non-GAAP results exclude the effect of share-based compensation, expenses related to our acquisition activities (including intangible asset amortization, severance, and other restructuring costs, and legal and other general and administrative expenses associated with acquisitions including legal fees and expenses for litigation and investigations related to Microsemi acquisition), professional services associated with certain legal matters, and losses on the settlement of debt.
For the third quarters of fiscal 2025 and fiscal 2024, our non-GAAP income tax expense is presented based on projected cash taxes for the applicable fiscal year, excluding transition tax payments under the Tax Cuts and Jobs Act. A reconciliation of our non-GAAP and GAAP results is included in this press release.
Microchip announced that its Board of Directors declared a quarterly cash dividend on its common stock of 45.5 cents per share, up 1.1% from the year ago quarter. The quarterly dividend is payable on March 7, 2025 to stockholders of record on February 24, 2025.
“Our December quarter performance reflects the need for the decisive steps we are taking to realign our business, as revenue declined to $1.026 billion and inventory levels reached 266 days,” said Steve Sanghi, Microchip’s CEO and President. “Since returning as CEO in November, we have already initiated several key actions, including restructuring our manufacturing footprint, adjusting our channel strategy and intensifying our customer engagement. Our initial assessment indicates clear areas for operational enhancement, and we are taking a methodical yet urgent approach to evaluating all aspects of our business and implementing necessary changes to strengthen our competitive position.”
Eric Bjornholt, Microchip’s Chief Financial Officer, said, “We are executing on multiple operational initiatives to enhance our financial performance. Our focus remains on returning to premium profitability levels that have historically differentiated Microchip, supported by our diversified business model. While navigating the current cycle, we continue to focus on inventory management while maintaining our commitment to shareholder returns.”
Rich Simoncic, Microchip’s Chief Operating Officer, said, “Our comprehensive technology platform is driving innovation across critical markets, with our new RISC-V processors and expanded connectivity solutions demonstrating strong momentum in industrial, automotive, and aerospace applications. By delivering advanced AI capabilities, enhanced networking, and robust security technologies, we believe we are well-positioned to meet the evolving needs of our customers in increasingly complex technological environments.”
Mr. Sanghi concluded, “While we have seen substantial inventory destocking at our customers and channel partners, we believe the correction cycle is still not completed. Our March quarter bookings are running at a higher rate than December, though overall levels remain low. With net sales guidance of $920.0 million to $1.000 billion for our March quarter, we maintain a cautious but focused approach and look forward to providing a comprehensive update during our business update call on March 3, 2025.”
Original – Microchip Technology
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Power Integrations announced that Gregg Lowe will join the company’s board of directors on February 15, 2025.
From 2017 until 2024 Mr. Lowe was CEO of Wolfspeed, Inc., where he led the company’s transition to a pure-play manufacturer of silicon-carbide solutions for high-power applications. Previously, he was CEO of Freescale Semiconductor from 2012 until its 2015 merger with NXP Semiconductors. Earlier, he had a 27-year career at Texas Instruments, serving in a succession of leadership roles across field sales, automotive sales, marketing, and integrated circuits, culminating in the role of senior vice president and manager of the company’s analog business, where he helped direct the acquisition of National Semiconductor.
Mr. Lowe currently serves on the boards of Silicon Labs and North Carolina A&T University, and is chairman of the board of the Rock and Roll Hall of Fame Museum. He holds a Bachelor of Science degree in electrical engineering from the Rose-Hulman Institute of Technology and has completed the Stanford Executive Program at Stanford University.
Commented Balu Balakrishnan, chairman and CEO of Power Integrations: “We are delighted to welcome Gregg Lowe to our board. Gregg is an ideal fit thanks to his decades of experience in analog and power semiconductors, particularly his expansive knowledge of the sales and distribution landscape and deep customer relationships in key end markets including automotive and industrial.”
Original – Power Integrations
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PANJIT’s Board of Directors announced the signing of a Memorandum of Understanding (MoU) with Torex Semiconductor Ltd. (Torex) regarding the potential sale or transfer of all or part of Torex’s shares in its subsidiary, TOREX VIETNAM SEMICONDUCTOR CO., LTD. (TVS), to PANJIT.
Following a potential share transfer, PANJIT would hold a majority stake in TVS and acquire its production lines for the manufacture of PANJIT products. Torex would continue to outsource the production of its products to TVS, ensuring a stable supply.
Original – PANJIT International
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Renesas Electronics Corporation has announced its consolidated financial results for the year ending December 31, 2024. The company reported a revenue of 1,348.5 billion yen, marking an 8.2% decrease from the previous year.
The decline in revenue was primarily attributed to a downturn in the Industrial, Infrastructure, and IoT sectors, driven by weakening demand. Despite this, the Automotive Business segment experienced growth, benefiting from yen depreciation and channel inventory expansion.
Gross profit for the year stood at 749.8 billion yen, a decrease from the prior year. This reduction was due to lower revenue, decreased factory utilization, and a less favorable product mix. Additionally, increased research and development expenses contributed to a decline in operating profit, which fell by 167.8 billion yen to 223.0 billion yen. Consequently, profit attributable to owners of the parent company decreased by 118.0 billion yen, totaling 219.1 billion yen for the year.
In the fourth quarter of 2024, Renesas reported revenue of 292.6 billion yen. The company achieved a non-GAAP gross margin of 54.9% and a non-GAAP operating margin of 25.8% during this period.
Looking ahead, Renesas has provided consolidated forecasts for the first quarter of 2025. The company anticipates non-GAAP revenue to range between 301.5 billion yen and 316.5 billion yen. The non-GAAP gross margin is projected at 54.0%, with a non-GAAP operating margin of 24.0%.
Renesas continues to navigate the challenges posed by fluctuating market demands, focusing on its core strengths in the semiconductor industry to drive future growth.
Original – Renesas Electronics
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Coherent announced financial results for its fiscal second quarter ended December 31, 2024.
Revenue for the second quarter of fiscal 2025 was $1.43 billion, with GAAP gross margin of 35.5% and GAAP net income of $0.44 per diluted share. On a non-GAAP basis, gross margin was 38.2% with net income per diluted share of $0.95.
Jim Anderson, CEO, said, “We delivered strong growth in the December quarter on both a sequential and year-over-year basis, resulting in record revenue, driven by another quarter of strong AI-related Data Center demand as well as growth in our Telecom business. We also drove significant improvement in gross margin and operating margin. I would like to thank my Coherent teammates for their strong execution.”
Sherri Luther, CFO, said, “I am pleased by our profitability, cash generation and debt reduction in the second quarter. Revenue growth and margin expansion drove significant sequential and year-over-year increases in our GAAP and Non-GAAP EPS. We also paid down $132 million of our outstanding debt.”
Original – Coherent
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Power Integrations announced that Balu Balakrishnan, the company’s CEO since 2002, will retire from that role once a successor is in place. The company’s board of directors has retained an executive search firm to assist in identifying its next CEO; both internal and external candidates will be considered. Mr. Balakrishnan, 70, intends to serve as executive chairman of the company’s board for as long as is needed to ensure a smooth transition to his successor, and is expected to remain on the board of directors thereafter.
Mr. Balakrishnan joined Power Integrations in 1989, shortly after its formation, from National Semiconductor, where he was a product-line manager. He is the inventor of many Power Integrations products including TOPSwitch™, the company’s first commercial product, followed by TinySwitch™, the first product to feature the company’s renowned EcoSmart™ technology for reducing standby-power waste. Mr. Balakrishnan served in a succession of executive roles before being named president and chief operating officer in 2001.
In 2002 he was named CEO and joined the company’s board of directors. He has been awarded more than 200 U.S. patents and has received numerous awards including the Discover Award for Technological Innovation in recognition of the environmental benefits of EcoSmart technology.
Commented Mr. Balakrishnan: “I am incredibly proud of what we have achieved at Power Integrations over the past 35 years. And while it is time for me to turn over leadership of the company to a new CEO, I remain as passionate as ever about the work we are doing, and I believe exciting times are ahead. We have a talented, dedicated workforce and a promising array of products and technologies with which to pursue growth opportunities in a broad range of end markets. I look forward to working with our new CEO to ensure a smooth transition.”
Bala Iyer, lead independent director of Power Integrations’ board, added: “The board and I congratulate Balu for all that he has achieved at Power Integrations, and we are delighted that he will continue to play an important role in the company’s future. Balu is not only one of the great inventors in the history of the power semiconductor industry, but also an outstanding leader who has built a durable franchise with strong intellectual property, a deep reservoir of engineering talent and a culture that nurtures innovation. I am confident that we will identify an outstanding individual to lead the company in its next phase of growth, building on the strong foundation that Balu has put in place.”
Original – Power Integrations
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Vishay Intertechnology, Inc. announced results for the fiscal fourth quarter and year ended December 31, 2024.
Highlights
- 4Q 2024 revenues of $714.7 million
- 4Q 2024 GAAP loss per share of ($0.49); adjusted EPS of $0.00
- 4Q 2024 book-to-bill of 1.01, with book-to-bill of 0.99 for semiconductors and 1.03 for passive components
- Backlog at quarter end was 4.4 months
- Returned a total of $26.2 million to stockholders in Q4 2024; $105.1 million for the year
- FY 2024 capex of $320.1 million
“Our fourth quarter results came in as expected, slightly below the third quarter. Nevertheless, we saw many promising indicators including a positive book-to-bill for the first time in nine quarters, strong order intake for smart grid infrastructure projects, and initial shipments for A.I. servers,” said Joel Smejkal, President and CEO.
“For 2025, we are well positioned to support a market upturn as capacity, print position, and customer engagements have been key priorities under Vishay 3.0. All of our strategic levers are in play as we continue to execute our five-year plan to position Vishay to take advantage of the megatrends of e-mobility and sustainability.”
For the first quarter of 2025, management expects revenues in the range of $710 million +/- $20 million and a gross profit margin in the range of 19.0% +/- 50 basis points, including the negative impact of approximately of 175-200 basis points related to Newport.
Original – Vishay Intertechnology
