Power Integrations, Inc. specializes in high-voltage semiconductor technologies essential for power conversion in clean energy applications. The company’s products are foundational in generating, transmitting, and consuming renewable energy.

For the first quarter of 2025, Power Integrations reported revenues of $106 million, marking a 15% increase from the same period last year. This figure reflects stable performance, as revenues were essentially flat compared to the prior quarter. The non-GAAP earnings per share (EPS) stood at $0.31, slightly up from $0.30 in the previous quarter and up from $0.18 year-over-year.

Power Integrations experienced notable growth across various end markets. Revenue from the consumer sector rose by over 20% due to demand from appliances and air conditioning. The company’s industrial segment saw a 7% year-over-year increase. Total cash flow from operations was reported at $26 million for the quarter.

Looking forward, Power Integrations provided guidance for the second quarter with expected revenues between $115 million and $120 million. This projection indicates an anticipated 8% year-over-year increase at the midpoint. The company expects non-GAAP gross margins to hover around 55.5%, down slightly from the first quarter.

Channel inventories currently sit at an average of 7.9 weeks, reflecting a healthy balance between supply and demand. Inventory levels were notably below seasonal norms in the consumer segment. Non-GAAP operating expenses for Q1 were recorded at $43.5 million, illustrating a decrease due to timing in R&D spending. For Q2, operating expenses are projected to rise to approximately $46 million, largely due to salary increases.

Power Integrations employed a share repurchase strategy during the quarter, buying back 404,000 shares for a total of $23 million. An additional $50 million share repurchase authorization was announced following the completion of a prior program.

The company’s consistent revenue growth, alongside its strategic investment in share buybacks, reflects its focus on maintaining a robust financial position amid potential trade policy headwinds.