Stock Analysis on Net

Monolithic Power Systems Inc. (NASDAQ:MPWR)

Analysis of Profitability Ratios

Microsoft Excel

Profitability Ratios (Summary)

Monolithic Power Systems Inc., profitability ratios

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Return on Sales
Gross profit margin 55.32% 56.07% 58.44% 56.75% 55.18%
Operating profit margin 24.44% 26.45% 29.36% 21.73% 18.81%
Net profit margin 80.95% 23.47% 24.39% 20.04% 19.47%
Return on Investment
Return on equity (ROE) 56.80% 20.85% 26.23% 19.46% 17.01%
Return on assets (ROA) 49.40% 17.56% 21.26% 15.26% 13.60%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Monolithic Power Systems Inc. gross profit margin ratio deteriorated from 2022 to 2023 and from 2023 to 2024.
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Monolithic Power Systems Inc. operating profit margin ratio deteriorated from 2022 to 2023 and from 2023 to 2024.
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Monolithic Power Systems Inc. net profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Monolithic Power Systems Inc. ROE deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.
ROA A profitability ratio calculated as net income divided by total assets. Monolithic Power Systems Inc. ROA deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.

Gross Profit Margin

Monolithic Power Systems Inc., gross profit margin calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Selected Financial Data (US$ in thousands)
Gross profit 1,220,870 1,021,119 1,048,552 685,459 465,954
Revenue 2,207,100 1,821,072 1,794,148 1,207,798 844,452
Profitability Ratio
Gross profit margin1 55.32% 56.07% 58.44% 56.75% 55.18%
Benchmarks
Gross Profit Margin, Competitors2
Advanced Micro Devices Inc. 49.35% 46.12% 44.93% 48.25% 44.53%
Analog Devices Inc. 57.08% 64.01% 62.70% 61.83% 65.87%
Applied Materials Inc. 47.46% 46.70% 46.51% 47.32% 44.72%
Broadcom Inc. 63.03% 68.93% 66.55% 61.36% 56.58%
Intel Corp. 32.66% 40.04% 42.61% 55.45% 56.01%
KLA Corp. 59.97% 59.81% 61.00% 59.93% 57.81%
Lam Research Corp. 47.32% 44.62% 45.69% 46.53% 45.88%
Micron Technology Inc. 22.35% -9.11% 45.18% 37.62% 30.57%
NVIDIA Corp. 72.72% 56.93% 64.93% 62.34% 61.99%
Qualcomm Inc. 56.21% 55.70% 57.84% 57.51% 60.67%
Texas Instruments Inc. 58.14% 62.90% 68.76% 67.47% 64.10%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Gross profit margin = 100 × Gross profit ÷ Revenue
= 100 × 1,220,870 ÷ 2,207,100 = 55.32%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Gross profit margin Gross profit margin indicates the percentage of revenue available to cover operating and other expenditures. Monolithic Power Systems Inc. gross profit margin ratio deteriorated from 2022 to 2023 and from 2023 to 2024.

Operating Profit Margin

Monolithic Power Systems Inc., operating profit margin calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Selected Financial Data (US$ in thousands)
Operating income 539,358 481,736 526,785 262,417 158,882
Revenue 2,207,100 1,821,072 1,794,148 1,207,798 844,452
Profitability Ratio
Operating profit margin1 24.44% 26.45% 29.36% 21.73% 18.81%
Benchmarks
Operating Profit Margin, Competitors2
Advanced Micro Devices Inc. 7.37% 1.77% 5.36% 22.20% 14.02%
Analog Devices Inc. 21.56% 31.07% 27.29% 23.12% 26.74%
Applied Materials Inc. 28.95% 28.86% 30.20% 29.87% 25.37%
Broadcom Inc. 26.10% 45.25% 42.84% 31.03% 16.80%
Intel Corp. -21.99% 0.17% 3.70% 24.62% 30.41%
KLA Corp. 34.10% 38.06% 39.67% 35.97% 25.87%
Lam Research Corp. 28.61% 29.69% 31.24% 30.64% 26.62%
Micron Technology Inc. 5.19% -36.97% 31.54% 22.68% 14.01%
NVIDIA Corp. 54.12% 15.66% 37.31% 27.18% 26.07%
Qualcomm Inc. 25.85% 21.74% 35.88% 29.16% 26.58%
Texas Instruments Inc. 34.94% 41.85% 50.63% 48.84% 40.76%
Operating Profit Margin, Sector
Semiconductors & Semiconductor Equipment 21.38% 18.56% 27.35% 28.27% 25.87%
Operating Profit Margin, Industry
Information Technology 26.60% 24.47% 26.42% 26.71% 22.69%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Operating profit margin = 100 × Operating income ÷ Revenue
= 100 × 539,358 ÷ 2,207,100 = 24.44%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Operating profit margin A profitability ratio calculated as operating income divided by revenue. Monolithic Power Systems Inc. operating profit margin ratio deteriorated from 2022 to 2023 and from 2023 to 2024.

Net Profit Margin

Monolithic Power Systems Inc., net profit margin calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Selected Financial Data (US$ in thousands)
Net income 1,786,700 427,374 437,672 242,023 164,375
Revenue 2,207,100 1,821,072 1,794,148 1,207,798 844,452
Profitability Ratio
Net profit margin1 80.95% 23.47% 24.39% 20.04% 19.47%
Benchmarks
Net Profit Margin, Competitors2
Advanced Micro Devices Inc. 6.36% 3.77% 5.59% 19.24% 25.50%
Analog Devices Inc. 17.35% 26.94% 22.88% 19.00% 21.79%
Applied Materials Inc. 26.41% 25.86% 25.31% 25.53% 21.04%
Broadcom Inc. 11.43% 39.31% 34.62% 24.54% 12.39%
Intel Corp. -35.32% 3.11% 12.71% 25.14% 26.84%
KLA Corp. 28.15% 32.27% 36.06% 30.04% 20.96%
Lam Research Corp. 25.68% 25.88% 26.73% 26.72% 22.42%
Micron Technology Inc. 3.10% -37.54% 28.24% 21.16% 12.54%
NVIDIA Corp. 48.85% 16.19% 36.23% 25.98% 25.61%
Qualcomm Inc. 26.03% 20.19% 29.27% 26.94% 22.09%
Texas Instruments Inc. 30.68% 37.16% 43.68% 42.35% 38.69%
Net Profit Margin, Sector
Semiconductors & Semiconductor Equipment 15.37% 17.10% 25.53% 25.81% 23.08%
Net Profit Margin, Industry
Information Technology 20.72% 20.39% 22.45% 23.61% 19.67%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
Net profit margin = 100 × Net income ÷ Revenue
= 100 × 1,786,700 ÷ 2,207,100 = 80.95%

2 Click competitor name to see calculations.

Profitability ratio Description The company
Net profit margin An indicator of profitability, calculated as net income divided by revenue. Monolithic Power Systems Inc. net profit margin ratio deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.

Return on Equity (ROE)

Monolithic Power Systems Inc., ROE calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Selected Financial Data (US$ in thousands)
Net income 1,786,700 427,374 437,672 242,023 164,375
Stockholders’ equity 3,145,767 2,049,939 1,668,602 1,243,985 966,587
Profitability Ratio
ROE1 56.80% 20.85% 26.23% 19.46% 17.01%
Benchmarks
ROE, Competitors2
Advanced Micro Devices Inc. 2.85% 1.53% 2.41% 42.18% 42.66%
Analog Devices Inc. 4.65% 9.32% 7.54% 3.66% 10.17%
Applied Materials Inc. 37.77% 41.94% 53.51% 48.08% 34.21%
Broadcom Inc. 8.71% 58.70% 50.62% 26.99% 12.40%
Intel Corp. -18.89% 1.60% 7.90% 20.83% 25.79%
KLA Corp. 82.00% 116.01% 237.04% 61.53% 45.65%
Lam Research Corp. 44.82% 54.94% 73.35% 64.85% 43.53%
Micron Technology Inc. 1.72% -13.22% 17.41% 13.34% 6.89%
NVIDIA Corp. 69.24% 19.76% 36.65% 25.64% 22.91%
Qualcomm Inc. 38.60% 33.51% 71.81% 90.88% 85.54%
Texas Instruments Inc. 28.39% 38.53% 60.02% 58.27% 60.90%
ROE, Sector
Semiconductors & Semiconductor Equipment 12.10% 13.34% 22.71% 25.76% 24.50%
ROE, Industry
Information Technology 29.38% 31.90% 39.03% 42.37% 35.70%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
ROE = 100 × Net income ÷ Stockholders’ equity
= 100 × 1,786,700 ÷ 3,145,767 = 56.80%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROE A profitability ratio calculated as net income divided by shareholders’ equity. Monolithic Power Systems Inc. ROE deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.

Return on Assets (ROA)

Monolithic Power Systems Inc., ROA calculation, comparison to benchmarks

Microsoft Excel
Dec 31, 2024 Dec 31, 2023 Dec 31, 2022 Dec 31, 2021 Dec 31, 2020
Selected Financial Data (US$ in thousands)
Net income 1,786,700 427,374 437,672 242,023 164,375
Total assets 3,617,097 2,434,353 2,058,885 1,585,825 1,208,491
Profitability Ratio
ROA1 49.40% 17.56% 21.26% 15.26% 13.60%
Benchmarks
ROA, Competitors2
Advanced Micro Devices Inc. 2.37% 1.26% 1.95% 25.46% 27.78%
Analog Devices Inc. 3.39% 6.79% 5.46% 2.66% 5.69%
Applied Materials Inc. 20.86% 22.31% 24.41% 22.80% 16.19%
Broadcom Inc. 3.56% 19.33% 15.69% 8.91% 3.90%
Intel Corp. -9.55% 0.88% 4.40% 11.80% 13.65%
KLA Corp. 17.90% 24.07% 26.37% 20.23% 13.11%
Lam Research Corp. 20.42% 24.02% 26.78% 24.59% 15.47%
Micron Technology Inc. 1.12% -9.08% 13.11% 9.96% 5.01%
NVIDIA Corp. 45.28% 10.61% 22.07% 15.05% 16.15%
Qualcomm Inc. 18.39% 14.17% 26.39% 21.93% 14.60%
Texas Instruments Inc. 13.51% 20.12% 32.16% 31.48% 28.91%
ROA, Sector
Semiconductors & Semiconductor Equipment 6.62% 7.45% 12.71% 13.62% 11.81%
ROA, Industry
Information Technology 11.99% 12.51% 14.57% 14.66% 11.45%

Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31).

1 2024 Calculation
ROA = 100 × Net income ÷ Total assets
= 100 × 1,786,700 ÷ 3,617,097 = 49.40%

2 Click competitor name to see calculations.

Profitability ratio Description The company
ROA A profitability ratio calculated as net income divided by total assets. Monolithic Power Systems Inc. ROA deteriorated from 2022 to 2023 but then improved from 2023 to 2024 exceeding 2022 level.