Monolithic Power Systems Announces Results for the Fourth Quarter and Year Ended December 31, 2023 and an Increase in Quarterly Cash Dividend
- None.
- Revenue decreased by 4.4% for the quarter
- GAAP and Non-GAAP gross margins decreased for the quarter and year
- Operating expenses increased for the quarter and year
Insights
The reported financial results of Monolithic Power Systems, Inc. (MPS) indicate a slight revenue decrease on both a quarterly and annual basis. The decline in quarterly revenue by 4.4% sequentially and 1.3% year over year suggests a potential softening in demand or competitive pressures in the semiconductor industry. However, the modest 1.5% annual revenue growth shows resilience in the face of market fluctuations. The gross margin contraction from 58.2% to 55.3% on a GAAP basis and from 58.5% to 55.7% on a non-GAAP basis is noteworthy as it could signal rising costs or pricing pressures, which are critical factors for profitability.
Operating expenses have increased both quarterly and annually, which could be a concern if the trend continues, particularly in a potentially tightening economic environment. The increase in stock-based compensation, which is a non-cash expense, has also contributed to the rise in operating expenses and should be considered when evaluating the company's cash flow and compensation policies.
The increase in the quarterly cash dividend from $1.00 to $1.25 per share is a strong signal of confidence in the company's cash flow generation and financial health. It's a positive indicator for investors seeking income, although it also reflects a strategic decision by the company to return capital to shareholders rather than reinvesting it entirely back into the business for growth.
Examining the revenue by end market, MPS has seen growth in the Enterprise Data segment, which nearly doubled year over year, suggesting a successful penetration or expansion in this market. However, the Industrial, Communications and Consumer segments have experienced declines, which could point to sector-specific challenges or shifts in market demand that MPS needs to address. Diversification in revenue streams is generally a positive for stability, but MPS may need to reassess its strategies in underperforming segments.
Revenue by product family shows a continued reliance on DC to DC converters, which could expose MPS to risks if there are technological shifts or increased competition in this area. The Lighting Control segment appears to be more stable, although it represents a smaller portion of the total revenue. Understanding the competitive landscape and MPS's positioning within these product families is essential for assessing future growth prospects.
The semiconductor industry is cyclical and sensitive to macroeconomic factors. The slight decline in revenue and gross margins for MPS might reflect broader economic headwinds such as supply chain disruptions, increased material costs, or reduced consumer spending. The financial performance of MPS should be analyzed in the context of the overall semiconductor market trends and global economic conditions.
The decision to increase dividends despite the revenue and margin contraction could indicate that MPS is operating in a mature phase, focusing on shareholder returns rather than aggressive reinvestment. This strategy might appeal to a certain class of investors but also raises questions about long-term growth opportunities and the company's investment in innovation and market expansion.
KIRKLAND, Wash., Feb. 07, 2024 (GLOBE NEWSWIRE) -- Monolithic Power Systems, Inc. (“MPS”) (Nasdaq: MPWR), a fabless global company that provides high-performance, semiconductor-based power electronics solutions, today announced financial results for the quarter and year ended December 31, 2023. MPS also announced that its Board of Directors has approved an increase in the quarterly cash dividend from
The financial results for the quarter ended December 31, 2023 were as follows:
| ● | Revenue was |
| ● | GAAP gross margin was |
| ● | Non-GAAP gross margin (1) was |
| ● | GAAP operating expenses were |
| ● | Non-GAAP operating expenses (1) were |
| ● | GAAP operating income was |
| ● | Non-GAAP operating income (1) was |
| ● | GAAP other income, net, was |
| ● | Non-GAAP other income, net (1) was |
| ● | GAAP income before income taxes was |
| ● | Non-GAAP income before income taxes (1) was |
| ● | GAAP net income was |
| ● | Non-GAAP net income (1) was |
The financial results for the year ended December 31, 2023 were as follows:
| ● | Revenue was |
| ● | GAAP gross margin was |
| ● | Non-GAAP gross margin (1) was |
| ● | GAAP operating expenses were |
| ● | Non-GAAP operating expenses (1) were |
| ● | GAAP operating income was |
| ● | Non-GAAP operating income (1) was |
| ● | GAAP other income, net, was |
| ● | Non-GAAP other income, net (1) was |
| ● | GAAP income before income taxes was |
| ● | Non-GAAP income before income taxes (1) was |
| ● | GAAP net income was |
| ● | Non-GAAP net income (1) was |
The following is a summary of revenue by end market (in thousands):
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| End Market | 2023 | 2022 | 2023 | 2022 | ||||||||||||
| Storage and Computing | $ | 117,312 | $ | 120,840 | $ | 491,139 | $ | 452,594 | ||||||||
| Enterprise Data | 128,897 | 68,433 | 322,980 | 251,415 | ||||||||||||
| Automotive | 89,758 | 97,378 | 394,665 | 300,016 | ||||||||||||
| Industrial | 33,378 | 56,063 | 172,717 | 219,179 | ||||||||||||
| Communications | 40,926 | 64,283 | 204,911 | 251,452 | ||||||||||||
| Consumer | 43,741 | 53,015 | 234,660 | 319,492 | ||||||||||||
| Total | $ | 454,012 | $ | 460,012 | $ | 1,821,072 | $ | 1,794,148 | ||||||||
The following is a summary of revenue by product family (in thousands):
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| Product Family | 2023 | 2022 | 2023 | 2022 | ||||||||||||
| DC to DC | $ | 427,873 | $ | 432,513 | $ | 1,718,623 | $ | 1,696,594 | ||||||||
| Lighting Control | 26,139 | 27,499 | 102,449 | 97,554 | ||||||||||||
| Total | $ | 454,012 | $ | 460,012 | $ | 1,821,072 | $ | 1,794,148 | ||||||||
“While we continue to be cautious about near-term business conditions, we believe our long-term growth strategy remains intact, and we can swiftly adapt to market changes as they occur,” said Michael Hsing, CEO and founder of MPS.
Business Outlook
The following are MPS’s financial targets for the first quarter ending March 31, 2024:
| ● | Revenue in the range of | |
| ● | GAAP gross margin between | |
| ● | GAAP operating expenses between | |
| ● | Total stock-based compensation and related expenses of | |
| ● | Other income of | |
| ● | Fully diluted shares outstanding between 48.8 million and 49.2 million. | |
(1) Non-GAAP net income, non-GAAP net income per share, non-GAAP gross margin, non-GAAP operating expenses, non-GAAP other income, net, non-GAAP operating income and non-GAAP income before income taxes differ from net income, net income per share, gross margin, operating expenses, other income (expense), net, operating income and income before income taxes determined in accordance with Generally Accepted Accounting Principles in the United States (“GAAP”). Non-GAAP net income and non-GAAP net income per share exclude the effect of stock-based compensation expense, net deferred compensation plan expense (income), amortization of purchased intangible assets and related tax effects. Non-GAAP gross margin excludes the effect of stock-based compensation expense and deferred compensation plan expense. Non-GAAP operating expenses exclude the effect of stock-based compensation expense, amortization of purchased intangible assets and deferred compensation plan income (expense). Non-GAAP operating income excludes the effect of stock-based compensation expense, amortization of purchased intangible assets and deferred compensation plan expense (income). Non-GAAP other income, net excludes the effect of deferred compensation plan expense (income). Non-GAAP income before income taxes excludes the effect of stock-based compensation expense, amortization of purchased intangible assets and net deferred compensation plan expense (income). Projected non-GAAP gross margin excludes the effect of stock-based compensation and related expenses, which include stock-based compensation expense and employer payroll taxes in relation to the stock-based compensation. Projected non-GAAP operating expenses exclude the effect of stock-based compensation and related expenses, and amortization of purchased intangible assets. These non-GAAP financial measures are not prepared in accordance with GAAP and should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. A schedule reconciling non-GAAP financial measures is included at the end of this press release. MPS utilizes both GAAP and non-GAAP financial measures to assess what it believes to be its core operating performance and to evaluate and manage its internal business and assist in making financial operating decisions. MPS believes that the inclusion of non-GAAP financial measures, together with GAAP measures, provides investors with an alternative presentation useful to investors’ understanding of MPS’s core operating results and trends. Additionally, MPS believes that the inclusion of non-GAAP measures, together with GAAP measures, provides investors with an additional dimension of comparability to similar companies. However, investors should be aware that non-GAAP financial measures utilized by other companies are not likely to be comparable in most cases to the non-GAAP financial measures used by MPS.
Earnings Webinar
MPS plans to host a Zoom webinar covering its financial results at 2:00 p.m. PT / 5:00 p.m. ET, February 7, 2024. You can access the webinar at: https://mpsic.zoom.us/j/91485774615. The webinar will be archived and available for replay for one year under the Investor Relations page on the MPS website.
Safe Harbor Statement
This press release contains, and statements that will be made during the accompanying webinar will contain, forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including under the sections “Business Outlook” and the quote from our CEO herein, including, among other things, (i) projected revenue, GAAP and non-GAAP gross margin, GAAP and non-GAAP operating expenses, stock-based compensation and related expenses, amortization of purchased intangible assets, other income before foreign exchange gains or losses, and fully diluted shares outstanding, (ii) our outlook for the first quarter of fiscal year 2024 and the near-term, medium-term and long-term prospects of MPS, including our performance against our business plan, our ability to grow despite the softening in our business, our industry and the global economic environment, revenue growth in certain of our market segments, potential new business segments, our continued investment in research and development (“R&D”), expected revenue growth, customers’ acceptance of our new product offerings, the prospects of our new product development, our expectations regarding market and industry segment trends and prospects, and our projected expansion of capacity and the impact it may have on our business, (iii) our ability to penetrate new markets and expand our market share, (iv) the seasonality of our business, (v) our ability to reduce our expenses, and (vi) statements of the assumptions underlying or relating to any statement described in (i), (ii), (iii), (iv), or (v). These forward-looking statements are not historical facts or guarantees of future performance or events, are based on current expectations, estimates, beliefs, assumptions, goals, and objectives, and involve significant known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed by these statements. Readers of this press release and listeners to the accompanying conference call are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ include, but are not limited to, continued downturn in the global economy, including due to the Russia-Ukraine and Middle East conflicts, inflation, consumer sentiment and other factors; adverse events arising from orders or regulations of governmental entities, including such orders or regulations that impact our customers or suppliers, and adoption of new or amended accounting standards; adverse changes in laws and government regulations such as tariffs on imports of foreign goods, export regulations and export classifications, including in foreign countries where MPS has offices or operations; the effect of export controls, trade and economic sanctions regulations and other regulatory or contractual limitations on our ability to sell or develop our products in certain foreign markets, particularly in China; our ability to obtain governmental licenses and approvals for international trading activities or technology transfers, including export licenses; acceptance of, or demand for, our products, in particular the new products launched recently, being different than expected; our ability to increase market share in our targeted markets; difficulty in predicting or budgeting for future customer demand and channel inventories, expenses and financial contingencies (including as a result of any continuing impact from the Russia-Ukraine and Middle East conflicts); our ability to efficiently and effectively develop new products and receive a return on our R&D expense investment; our ability to attract new customers and retain existing customers; our ability to meet customer demand for our products due to constraints on our third-party suppliers’ ability to manufacture sufficient quantities of our products or otherwise; our ability to expand manufacturing capacity to support future growth; adverse changes in production and testing efficiency of our products; any political, cultural, military, regulatory, economic, foreign exchange and operational changes in China, where a significant portion of our manufacturing capacity comes from; any market disruptions or interruptions in our schedule of new product development releases; our ability to manage our inventory levels; adequate supply of our products from our third-party manufacturing partners; adverse changes or developments in the semiconductor industry generally, which is cyclical in nature, and our ability to adjust our operations to address such changes or developments; the ongoing consolidation of companies in the semiconductor industry; competition generally and the increasingly competitive nature of our industry; our ability to realize the anticipated benefits of companies and products that MPS acquires, and our ability to effectively and efficiently integrate these acquired companies and products into our operations; the risks, uncertainties and costs of litigation in which MPS is involved; the outcome of any upcoming trials, hearings, motions and appeals; the adverse impact on our financial performance if its tax and litigation provisions are inadequate; our ability to effectively manage our growth and attract and retain qualified personnel; the effect of epidemics and pandemics on the global economy and on our business; the risks associated with the financial market, economy and geopolitical uncertainties, including the recent collapse of certain banks in the U.S. and elsewhere and the Russia-Ukraine and Middle East conflicts; and other important risk factors identified under the caption “Risk Factors” and elsewhere in our Securities and Exchange Commission (“SEC”) filings, including, but not limited to, our Annual Report on Form 10-K filed with the SEC on February 24, 2023 and our Quarterly Reports on Form 10-Q filed with the SEC on May 5, 2023, August 4, 2023 and November 8, 2023. MPS assumes no obligation to update the information in this press release or in the accompanying webinar.
About Monolithic Power Systems
Monolithic Power Systems, Inc. (“MPS”) is a fabless global company that provides high-performance, semiconductor-based power electronic solutions. MPS’s mission is to reduce energy and material consumption to improve all aspects of quality of life. Founded in 1997 by our CEO Michael Hsing, MPS has three core strengths: deep system-level knowledge, strong semiconductor expertise, and innovative proprietary technologies in the areas of semiconductor processes, system integration, and packaging. These combined advantages enable MPS to deliver reliable, compact, and monolithic solutions that are highly energy-efficient, cost-effective, and environmentally responsible while providing a consistent return on investment to our stockholders. MPS can be contacted through its website at www.monolithicpower.com or its support offices around the world.
Monolithic Power Systems, MPS, and the MPS logo are registered trademarks of Monolithic Power Systems, Inc. in the U.S. and trademarked in certain other countries.
Contact:
Bernie Blegen
Executive Vice President and Chief Financial Officer
Monolithic Power Systems, Inc.
408-826-0777
MPSInvestor.Relations@monolithicpower.com
| Monolithic Power Systems, Inc. Condensed Consolidated Balance Sheets (Unaudited, in thousands, except par value) | ||||||||
| December 31, | December 31, | |||||||
| 2023 | 2022 | |||||||
| ASSETS | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | $ | 527,843 | $ | 288,607 | ||||
| Short-term investments | 580,633 | 449,266 | ||||||
| Accounts receivable, net | 179,858 | 182,714 | ||||||
| Inventories | 383,702 | 447,290 | ||||||
| Other current assets | 147,463 | 42,742 | ||||||
| Total current assets | 1,819,499 | 1,410,619 | ||||||
| Property and equipment, net | 368,952 | 357,157 | ||||||
| Goodwill | 6,571 | 6,571 | ||||||
| Deferred tax assets, net | 28,054 | 35,252 | ||||||
| Other long-term assets | 211,277 | 249,286 | ||||||
| Total assets | $ | 2,434,353 | $ | 2,058,885 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities: | ||||||||
| Accounts payable | $ | 62,958 | $ | 61,461 | ||||
| Accrued compensation and related benefits | 56,286 | 88,260 | ||||||
| Other accrued liabilities | 115,791 | 113,679 | ||||||
| Total current liabilities | 235,035 | 263,400 | ||||||
| Income tax liabilities | 60,724 | 53,509 | ||||||
| Other long-term liabilities | 88,655 | 73,374 | ||||||
| Total liabilities | 384,414 | 390,283 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders’ equity: | ||||||||
| Common stock and additional paid-in capital: | 1,129,937 | 975,276 | ||||||
| Retained earnings | 947,064 | 716,403 | ||||||
| Accumulated other comprehensive loss | (27,062 | ) | (23,077 | ) | ||||
| Total stockholders’ equity | 2,049,939 | 1,668,602 | ||||||
| Total liabilities and stockholders’ equity | $ | 2,434,353 | $ | 2,058,885 | ||||
| Monolithic Power Systems, Inc. Condensed Consolidated Statements of Operations (Unaudited, in thousands, except per share amounts) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Revenue | $ | 454,012 | $ | 460,012 | $ | 1,821,072 | $ | 1,794,148 | ||||||||
| Cost of revenue | 202,889 | 192,203 | 799,953 | 745,596 | ||||||||||||
| Gross profit | 251,123 | 267,809 | 1,021,119 | 1,048,552 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Research and development | 71,459 | 61,674 | 263,643 | 240,171 | ||||||||||||
| Selling, general and administrative | 70,095 | 69,243 | 275,740 | 281,596 | ||||||||||||
| Total operating expenses | 141,554 | 130,917 | 539,383 | 521,767 | ||||||||||||
| Operating income | 109,569 | 136,892 | 481,736 | 526,785 | ||||||||||||
| Other income (expense), net | 9,976 | 3,872 | 24,105 | (1,848 | ) | |||||||||||
| Income before income taxes | 119,545 | 140,764 | 505,841 | 524,937 | ||||||||||||
| Income tax expense | 22,640 | 21,674 | 78,467 | 87,265 | ||||||||||||
| Net income | $ | 96,905 | $ | 119,090 | $ | 427,374 | $ | 437,672 | ||||||||
| Net income per share: | ||||||||||||||||
| Basic | $ | 2.02 | $ | 2.53 | $ | 8.98 | $ | 9.37 | ||||||||
| Diluted | $ | 1.98 | $ | 2.45 | $ | 8.76 | $ | 9.05 | ||||||||
| Weighted-average shares outstanding: | ||||||||||||||||
| Basic | 47,936 | 46,979 | 47,610 | 46,727 | ||||||||||||
| Diluted | 48,881 | 48,549 | 48,771 | 48,358 | ||||||||||||
| SUPPLEMENTAL FINANCIAL INFORMATION STOCK-BASED COMPENSATION EXPENSE (Unaudited, in thousands) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Cost of revenue | $ | 1,228 | $ | 1,030 | $ | 4,545 | $ | 4,721 | ||||||||
| Research and development | 10,204 | 8,480 | 36,611 | 35,355 | ||||||||||||
| Selling, general and administrative | 29,675 | 25,759 | 108,555 | 120,916 | ||||||||||||
| Total stock-based compensation expense | $ | 41,107 | $ | 35,269 | $ | 149,711 | $ | 160,992 | ||||||||
| RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME (Unaudited, in thousands, except per share amounts) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Net income | $ | 96,905 | $ | 119,090 | $ | 427,374 | $ | 437,672 | ||||||||
| Adjustments to reconcile net income to non-GAAP net income: | ||||||||||||||||
| Stock-based compensation expense | 41,107 | 35,269 | 149,711 | 160,992 | ||||||||||||
| Amortization of purchased intangible assets | 33 | 33 | 132 | 132 | ||||||||||||
| Deferred compensation plan expense (income), net | 288 | (61 | ) | 1,055 | (411 | ) | ||||||||||
| Tax effect | 2,519 | (326 | ) | (3,625 | ) | 1,559 | ||||||||||
| Non-GAAP net income | $ | 140,852 | $ | 154,005 | $ | 574,647 | $ | 599,944 | ||||||||
| Non-GAAP net income per share: | ||||||||||||||||
| Basic | $ | 2.94 | $ | 3.28 | $ | 12.07 | $ | 12.84 | ||||||||
| Diluted | $ | 2.88 | $ | 3.17 | $ | 11.78 | $ | 12.41 | ||||||||
| Shares used in the calculation of non-GAAP net income per share: | ||||||||||||||||
| Basic | 47,936 | 46,979 | 47,610 | 46,727 | ||||||||||||
| Diluted | 48,881 | 48,549 | 48,771 | 48,358 | ||||||||||||
| RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN (Unaudited, in thousands) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Gross profit | $ | 251,123 | $ | 267,809 | $ | 1,021,119 | $ | 1,048,552 | ||||||||
| Gross margin | 55.3 | % | 58.2 | % | 56.1 | % | 58.4 | % | ||||||||
| Adjustments to reconcile gross profit to non-GAAP gross profit: | ||||||||||||||||
| Stock-based compensation expense | 1,228 | 1,030 | 4,545 | 4,721 | ||||||||||||
| Deferred compensation plan expense | 486 | 95 | 871 | 49 | ||||||||||||
| Non-GAAP gross profit | $ | 252,837 | $ | 268,934 | $ | 1,026,535 | $ | 1,053,322 | ||||||||
| Non-GAAP gross margin | 55.7 | % | 58.5 | % | 56.4 | % | 58.7 | % | ||||||||
| RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES (Unaudited, in thousands) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Total operating expenses | $ | 141,554 | $ | 130,917 | $ | 539,383 | $ | 521,767 | ||||||||
| Adjustments to reconcile total operating expenses to non-GAAP total operating expenses: | ||||||||||||||||
| Stock-based compensation expense | (39,879 | ) | (34,239 | ) | (145,166 | ) | (156,271 | ) | ||||||||
| Amortization of purchased intangible assets | (33 | ) | (33 | ) | (132 | ) | (132 | ) | ||||||||
| Deferred compensation plan income (expense) | (4,897 | ) | (1,851 | ) | (8,690 | ) | 7,060 | |||||||||
| Non-GAAP operating expenses | $ | 96,745 | $ | 94,794 | $ | 385,395 | $ | 372,424 | ||||||||
| RECONCILIATION OF OPERATING INCOME TO NON-GAAP OPERATING INCOME (Unaudited, in thousands) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Total operating income | $ | 109,569 | $ | 136,892 | $ | 481,736 | $ | 526,785 | ||||||||
| Adjustments to reconcile total operating income to non-GAAP total operating income: | ||||||||||||||||
| Stock-based compensation expense | 41,107 | 35,269 | 149,711 | 160,992 | ||||||||||||
| Amortization of purchased intangible assets | 33 | 33 | 132 | 132 | ||||||||||||
| Deferred compensation plan expense (income) | 5,383 | 1,946 | 9,561 | (7,011 | ) | |||||||||||
| Non-GAAP operating income | $ | 156,092 | $ | 174,140 | $ | 641,140 | $ | 680,898 | ||||||||
| RECONCILIATION OF OTHER INCOME (EXPENSE), NET, TO NON-GAAP OTHER INCOME, NET (Unaudited, in thousands) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Total other income (expense), net | $ | 9,976 | $ | 3,872 | $ | 24,105 | $ | (1,848 | ) | |||||||
| Adjustments to reconcile other income (expense), net to non-GAAP other income, net: | ||||||||||||||||
| Deferred compensation plan expense (income) | (5,095 | ) | (2,007 | ) | (8,506 | ) | 6,600 | |||||||||
| Non-GAAP other income, net | $ | 4,881 | $ | 1,865 | $ | 15,599 | $ | 4,752 | ||||||||
| RECONCILIATION OF INCOME BEFORE INCOME TAXES TO NON-GAAP INCOME BEFORE INCOME TAXES (Unaudited, in thousands) | ||||||||||||||||
| Three Months Ended December 31, | Year Ended December 31, | |||||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Total income before income taxes | $ | 119,545 | $ | 140,764 | $ | 505,841 | $ | 524,937 | ||||||||
| Adjustments to reconcile income before income taxes to non-GAAP income before income taxes: | ||||||||||||||||
| Stock-based compensation expense | 41,107 | 35,269 | 149,711 | 160,992 | ||||||||||||
| Amortization of purchased intangible assets | 33 | 33 | 132 | 132 | ||||||||||||
| Deferred compensation plan expense (income), net | 288 | (61 | ) | 1,055 | (411 | ) | ||||||||||
| Non-GAAP income before income taxes | $ | 160,973 | $ | 176,005 | $ | 656,739 | $ | 685,650 | ||||||||
| 2024 FIRST QUARTER OUTLOOK RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN (Unaudited) | ||||||||
| Three Months Ending | ||||||||
| March 31, 2024 | ||||||||
| Low | High | |||||||
| Gross margin | 55.1 | % | 55.7 | % | ||||
| Adjustment to reconcile gross margin to non-GAAP gross margin: | ||||||||
| Stock-based compensation and related expenses | 0.3 | % | 0.3 | % | ||||
| Non-GAAP gross margin | 55.4 | % | 56.0 | % | ||||
| RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES (Unaudited, in thousands) | ||||||||
| Three Months Ending | ||||||||
| March 31, 2024 | ||||||||
| Low | High | |||||||
| Operating expenses | $ | 147,200 | $ | 151,200 | ||||
| Adjustments to reconcile operating expenses to non-GAAP operating expenses: | ||||||||
| Stock-based compensation and related expenses | (44,800 | ) | (46,800 | ) | ||||
| Amortization of purchased intangible assets | (600 | ) | (600 | ) | ||||
| Non-GAAP operating expenses | $ | 101,800 | $ | 103,800 | ||||
FAQ
What was the revenue for the year ended December 31, 2023?
What was the increase in quarterly cash dividend approved by the Board of Directors?
What was the GAAP gross margin for the quarter ended December 31, 2023?
What was the Non-GAAP gross margin for the quarter ended December 31, 2023?
What was the GAAP operating expenses for the quarter ended December 31, 2023?
What was the Non-GAAP operating expenses for the quarter ended December 31, 2023?
What was the GAAP net income for the quarter ended December 31, 2023?
What was the Non-GAAP net income for the quarter ended December 31, 2023?
What was the revenue by end market for the year ended December 31, 2023?
What was the revenue by product family for the year ended December 31, 2023?
