Monolithic Power Systems Announces Results for the First Quarter

Monolithic Power Systems Announces Results for the First Quarter Ended March 31, 2019

Condensed Consolidated Statements of Operations
(Unaudited, in thousands, except per share amounts)

	Three Months Ended March 31,
		2019			2018
Revenue	$	141,363		$	129,150
Cost of revenue		63,357			57,655
Gross profit		78,006			71,495
Operating expenses:
Research and development		25,458			21,609
Selling, general and administrative		30,553			27,318
Litigation expense		278			531
Total operating expenses		56,289			49,458
Income from operations		21,717			22,037
Interest and other income, net		3,341			440
Income before income taxes		25,058			22,477
Income tax expense (benefit)		(1,123	)		621
Net income	$	26,181		$	21,856

Net income per share:
Basic	$	0.61		$	0.52
Diluted	$	0.58		$	0.49
Weighted-average shares outstanding:
Basic		42,749			41,922
Diluted		45,232			44,282

SUPPLEMENTAL FINANCIAL INFORMATION
STOCK-BASED COMPENSATION EXPENSE
(Unaudited, in thousands)
	Three Months Ended March 31,
		2019			2018
Cost of revenue	$	531		$	433
Research and development		4,429			3,995
Selling, general and administrative		11,050			10,602
Total stock-based compensation expense	$	16,010		$	15,030

RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME
(Unaudited, in thousands, except per share amounts)
	Three Months Ended March 31,
		2019			2018
Net income	$	26,181		$	21,856
Net income as a percentage of revenue		18.5	%		16.9	%

Adjustments to reconcile net income to non-GAAP net income:
Stock-based compensation expense		16,010			15,030
Amortization of acquisition-related intangible assets		51			250
Deferred compensation plan expense (income)		(136	)		49
Tax effect		(4,197	)		(2,214	)
Non-GAAP net income	$	37,909		$	34,971
Non-GAAP net income as a percentage of revenue		26.8	%		27.1	%

Non-GAAP net income per share:
Basic	$	0.89		$	0.83
Diluted	$	0.84		$	0.79

Shares used in the calculation of non-GAAP net income per share:
Basic		42,749			41,922
Diluted		45,232			44,282

RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN
(Unaudited, in thousands)
	Three Months Ended March 31,
		2019			2018
Gross profit	$	78,006		$	71,495
Gross margin		55.2	%		55.4	%

Adjustments to reconcile gross profit to non-GAAP gross profit:
Stock-based compensation expense		531			433
Amortization of acquisition-related intangible assets		51			250
Non-GAAP gross profit	$	78,588		$	72,178
Non-GAAP gross margin		55.6	%		55.9	%

RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES
(Unaudited, in thousands)
	Three Months Ended March 31,
		2019			2018
Total operating expenses	$	56,289		$	49,458

Adjustments to reconcile total operating expenses to non-GAAP total operating expenses:
Stock-based compensation expense		(15,479	)		(14,597	)
Deferred compensation plan income (expense)		(1,799	)		137
Non-GAAP operating expenses	$	39,011		$	34,998


RECONCILIATION OF OPERATING INCOME TO NON-GAAP OPERATING INCOME
(Unaudited, in thousands)
	Three Months Ended March 31,
		2019			2018
Total operating income	$	21,717		$	22,037

Adjustments to reconcile total operating income to non-GAAP total operating income:
Stock-based compensation expense		16,010			15,030
Amortization of acquisition-related intangible assets		51			250
Deferred compensation plan expense (income)		1,799			(137	)
Non-GAAP operating income	$	39,577		$	37,180


RECONCILIATION OF INTEREST AND OTHER INCOME, NET, TO NON-GAAP INTEREST AND OTHER INCOME, NET
(Unaudited, in thousands)
	Three Months Ended March 31,
		2019			2018
Total interest and other income, net	$	3,341		$	440

Adjustments to reconcile interest and other income to non-GAAP interest and other income:
Deferred compensation plan expense (income)		(1,935	)		186
Non-GAAP interest and other income, net	$	1,406		$	626


RECONCILIATION OF INCOME BEFORE INCOME TAXES TO NON-GAAP INCOME BEFORE INCOME TAXES
(Unaudited, in thousands)
	Three Months Ended March 31,
		2019			2018
Total income before income taxes	$	25,058		$	22,477

Adjustments to reconcile income before income taxes to non-GAAP income before income taxes:
Stock-based compensation expense		16,010			15,030
Amortization of acquisition-related intangible assets		51			250
Deferred compensation plan expense (income)		(136	)		49
Non-GAAP income before income taxes	$	40,983		$	37,806

« Previous Page 1 | 2 | 3 | 4 Next Page »