Monolithic Power Systems Announces Increase in Quarterly Dividend and Stock Repurchase Program

Monolithic Power Systems, Inc. (NASDAQ: MPWR) revealed significant updates following its latest financial events. On February 6, 2025, the company released a press statement addressing its financial outcomes for the quarter and year concluding December 31, 2024. This press release, termed Exhibit 99.1, along with accompanying financial information and comments regarding the results, marked a pivotal disclosure by Monolithic Power Systems.

Particulars regarding the company’s financial condition are outlined in Exhibit 99.2, shared in conjunction with the current report on Form 8-K. It’s important to note that the information furnished under Item 2.02 of the report and associated exhibits are offered for informational purposes only and are not considered as filed under Section 18 of the Securities Exchange Act of 1934.

Further, in a notable move, Monolithic Power Systems also declared an upsurge in its quarterly cash dividend from $1.25 per share to $1.56 per share. This development was sanctioned by the company’s Board of Directors. The increased dividend of $1.56 per share is scheduled for disbursement on April 15, 2025, to all shareholders recorded as of March 31, 2025. The detailed provisions are available in Exhibit 99.1.

Additionally, the Board of Directors authorized a fresh stock repurchase plan of $500 million, valid until February 4, 2028. Under this program, common stock acquired will be retired, as articulated in Exhibit 99.3. Monolithic Power Systems’ management retains the prerogative to effect stock repurchases via open market transactions or private negotiations, adhering to relevant state and federal securities regulations. The regime may involve Rule 10b5-1 plan-containing stock repurchases based on market dynamics, legal prerequisites, stock pricing, and additional variables. Importantly, the share repurchase program doesn’t bind the company to specific purchase quotas and is susceptible to modification or cessation as deemed appropriate by management.

The stock repurchase program announcement was aligned with the company’s strategic evaluation of market conditions and future prospects. Monolithic Power Systems’ sensible approach to capital deployment underscores its commitment to enhancing shareholder value and sustaining fiscal strength in the long run.

This 8-K filing, inclusive of various exhibits and disclosures, offers stakeholders valuable insights into Monolithic Power Systems’ recent financial decisions and facilitates a comprehensive understanding of the developments propelling the company’s growth trajectory.

This article was generated by an automated content engine and was reviewed by a human editor prior to publication. For additional information, read Monolithic Power Systems’s 8K filing here.

About Monolithic Power Systems

Monolithic Power Systems, Inc engages in the design, development, marketing, and sale of semiconductor-based power electronics solutions for the storage and computing, automotive, enterprise data, consumer, communications, and industrial markets. The company provides direct current (DC) to DC integrated circuits (ICs) that are used to convert and control voltages of various electronic systems, such as cloud-based CPU servers, server artificial intelligence applications, storage applications, commercial notebooks, digital cockpit, power sources, home appliances, 4G and 5G infrastructure, and satellite communications applications.