Power Integrations (POWI) FY2023 results: revenue $445 million, down 31.7% on the year

Power Integrations Inc. (POWI) reported revenue of $445 million for fiscal 2023, the year ended 31 December 2023, down 31.7% on the year before. Net income was $56 million, down 67.4%, and diluted earnings per share $0.97. The figures are the company's own, from the 10-K it filed with the SEC on 12 February 2024.

Revenue

$445 million

-31.7% on the year

FY2016FY2023

Operating margin

7.9%

27.7% a year earlier

FY2016FY2023

Net income

$56 million

-67.4% on the year

FY2016FY2023

Diluted EPS

$0.97

-66.9% on the year

FY2016FY2023

this yearthe year beforeHover a bar for its figure.

The year in brief

The four quarters: Q1 FY2023 · Q2 FY2023 · Q3 FY2023 · Q4 FY2023

Income statement (profit and loss)

$ million	FY2023	FY2022	FY2021	On the year
Revenue	445	651	703	-31.7%
Cost of revenue	216	284	343	-24.2%
Gross profit	229	367	361	-37.6%
Gross margin	51.5%	56.3%	51.3%
Research and development	96.1	93.9	84.9	+2.3%
Operating income	35.1	180	175	-80.6%
Operating margin	7.9%	27.7%	24.9%
Pre-tax income	45.9	183	176	-75.0%
Income tax	-9.8	12.6	11.7
Effective tax rate	-21.4%	6.9%	6.7%
Net income	55.7	171	164	-67.4%
Net margin	12.5%	26.2%	23.4%
Diluted EPS	$0.97	$2.93	$2.67	-66.9%

$ million except per share.

Free cash flow is operating cash flow less capital expenditure; the effective tax rate is income tax over pre-tax income; margins are the line over revenue. Gross profit is revenue less cost of revenue, and operating income is revenue less the company's own total costs, where the statement does not print those lines. Those four are arithmetic on the filed numbers; everything else is as filed. Money is in $ million as the company files it, or in $ billion by the switch above the tables; per share figures and share counts are as they are.

Cash flow

$ million	FY2023	FY2022	FY2021	On the year
Operating cash flow	65.8	215	231	-69.5%
Capital expenditure	20.9	39.2	47.3	-46.7%
Free cash flow	44.9	176	184	-74.5%
Free cash flow margin	10.1%	27.0%	26.1%
Cash from investing	-14.2	78.3	-233
Cash from financing	-93.0	-346	-98.8
Depreciation and amortisation	37.4	37.3	34.9	+0.1%
Share-based compensation	28.5	22.4	37.6	+27.6%
Buybacks	55.3	311	73.9	-82.2%
Dividends paid	44.0	41.5	32.6	+6.1%
Diluted shares, weighted	58m	58m	61m	-1.3%
Shares outstanding at period end	57m	57m	60m	-0.4%

Balance sheet

$ million	FY2023	FY2022	FY2021	On the year
Shareholders' equity	752	755	912	-0.4%
Debt	0.0	0.0	0.0
Operating lease liabilities	7.4	5.8	8.4	+26.1%
Other liabilities	60.3	79.0	94.1	-23.8%
Total liabilities and equity	820	840	1,014	-2.4%
Fixed assets	164	177	180	-7.1%
Goodwill	91.8	91.8	91.8	0.0%
Intangible assets	4.4	6.6	9.0	-32.9%
Investments	248	248	372	-0.3%
Cash and equivalents	63.9	105	158	-39.3%
Receivables	14.7	20.8	41.4	-29.6%
Inventory	163	135	99.3	+20.5%
Other assets	70.0	54.9	62.8	+27.5%
Total assets	820	840	1,014	-2.4%

10-K for the year ended 31 December 2023, filed 12 February 2024: the filing.