Power Integrations Inc. Files 2023 Annual Report on Form 10-K

TL;DR

<b>Power Integrations Inc. has filed its 2023 10-K report detailing its financial performance and position.</b>

AI Summary

POWER INTEGRATIONS INC (POWI) filed a Annual Report (10-K) with the SEC on February 12, 2024. The filing is an annual report on Form 10-K for the fiscal year ended December 31, 2023. Power Integrations Inc. is a company in the Semiconductors & Related Devices industry. The company's principal business address is 5245 Hellyer Ave, San Jose, CA 95138. The filing includes financial data related to common stock, retained earnings, and accumulated other comprehensive income for multiple fiscal years. The report references various US GAAP financial statement elements and tax jurisdictions, including New Jersey and California.

Why It Matters

For investors and stakeholders tracking POWER INTEGRATIONS INC, this filing contains several important signals. This 10-K filing provides a comprehensive overview of Power Integrations' financial health, operational performance, and strategic positioning for the fiscal year 2023, crucial for investors and analysts assessing the company's trajectory. The detailed financial statements and disclosures within the 10-K are essential for understanding the company's revenue streams, profitability, assets, liabilities, and compliance with regulatory requirements.

Risk Assessment

Risk Level: medium — POWER INTEGRATIONS INC shows moderate risk based on this filing. The filing is a standard 10-K, which is a comprehensive annual report. While it contains detailed financial information, it does not inherently signal immediate high risk without further analysis of specific financial metrics or disclosed risk factors.

Analyst Insight

Review the detailed financial statements and risk factors within the 10-K to identify any significant changes or potential concerns impacting Power Integrations' future performance.

Key Numbers

• 2023-12-31 — Fiscal Year End (Conformed period of report)
• 2024-02-12 — Filing Date (Filed as of date)
• 95 — Public Document Count (Total number of documents in the filing)
• 000-23441 — SEC File Number (SEC file number for the company)

Key Players & Entities

• POWER INTEGRATIONS INC (company) — Filer name
• POWI (company) — Ticker symbol
• 3674 (industry) — Standard Industrial Classification
• CA (location) — State of incorporation and business address state
• San Jose (location) — City of business and mail address
• New Jersey Division of Taxation (regulator) — Tax jurisdiction mentioned
• California Franchise Tax Board (regulator) — Tax jurisdiction mentioned

Forward-Looking Statements

• Power Integrations will continue to focus on its core semiconductor business. (POWER INTEGRATIONS INC) — high confidence, target: 2025-12-31
• The company's tax positions in California and New Jersey will remain significant considerations for its financial planning. (POWER INTEGRATIONS INC) — medium confidence, target: 2024-12-31

FAQ

Industry Context

Power Integrations Inc. operates within the Semiconductors & Related Devices industry, a sector characterized by rapid technological advancements and global supply chain dynamics.

Regulatory Implications

The filing adheres to SEC regulations for annual reports (Form 10-K) under the Securities Exchange Act of 1934, ensuring transparency and standardized disclosure for public companies.

What Investors Should Do

1. Analyze the detailed financial statements for revenue trends, profitability, and balance sheet changes.
2. Review any disclosed risk factors for potential impacts on future operations and financial performance.
3. Compare key financial metrics with previous periods to identify significant shifts or performance improvements.

Year-Over-Year Comparison

This is the initial 10-K filing for the fiscal year 2023. Comparative data from previous filings will be available within the document itself.

Key Financial Figures

• $1.5 billion — et ("SAM") opportunity of approximately $1.5 billion. Since then we have expanded our SAM to
• $4 billion — have expanded our SAM to approximately $4 billion through a variety of means. These inclu
• $19 billion — but inactive may be causing as much as $19 billion in annual energy waste in the United St

Filing Documents

• powi-20231231x10k.htm (10-K) — 3298KB
• powi-20231231xex23d1.htm (EX-23.1) — 5KB
• powi-20231231xex31d1.htm (EX-31.1) — 11KB
• powi-20231231xex31d2.htm (EX-31.2) — 11KB
• powi-20231231xex32d1.htm (EX-32.1) — 8KB
• powi-20231231xex32d2.htm (EX-32.2) — 8KB
• powi-20231231xex97.htm (EX-97) — 367KB
• powi-20231231x10k001.jpg (GRAPHIC) — 89KB
• 0000833640-24-000030.txt (&nbsp;) — 13017KB
• powi-20231231.xsd (EX-101.SCH) — 56KB
• powi-20231231_cal.xml (EX-101.CAL) — 77KB
• powi-20231231_def.xml (EX-101.DEF) — 228KB
• powi-20231231_lab.xml (EX-101.LAB) — 603KB
• powi-20231231_pre.xml (EX-101.PRE) — 431KB
• powi-20231231x10k_htm.xml (XML) — 2619KB

BUSINESS

BUSINESS 4 ITEM 1A.

RISK FACTORS

RISK FACTORS 14 ITEM 1B. UNRESOLVED STAFF COMMENTS 21 ITEM 1C. CYBERSECURITY 21 ITEM 2.

PROPERTIES

PROPERTIES 23 ITEM 3.

LEGAL PROCEEDINGS

LEGAL PROCEEDINGS 23 ITEM 4. MINE SAFETY DISCLOSURES 23 PART II. ITEM 5. MARKET FOR REGISTRANT'S COMMON EQUITY, RELATED STOCKHOLDER MATTERS AND ISSUER PURCHASES OF EQUITY SECURITIES 24 ITEM 6. [RESERVED] 25 ITEM 7.

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS 26 ITEM 7A.

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK 33 ITEM 8.

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA 35 ITEM 9. CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE 64 ITEM 9A.

CONTROLS AND PROCEDURES

CONTROLS AND PROCEDURES 64 ITEM 9B. OTHER INFORMATION 66 ITEM 9C. DISCLOSURE REGARDING FOREIGN JURISDICTIONS THAT PREVENT INSPECTIONS 66 PART III. ITEM 10. DIRECTORS, EXECUTIVE OFFICERS AND CORPORATE GOVERNANCE 67 ITEM 11.

EXECUTIVE COMPENSATION

EXECUTIVE COMPENSATION 67 ITEM 12.

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS

SECURITY OWNERSHIP OF CERTAIN BENEFICIAL OWNERS AND MANAGEMENT AND RELATED STOCKHOLDER MATTERS 67 ITEM 13. CERTAIN RELATIONSHIPS AND RELATED TRANSACTIONS, AND DIRECTOR INDEPENDENCE 67 ITEM 14. PRINCIPAL ACCOUNTING FEES AND SERVICES 67 PART IV. ITEM 15. EXHIBITS AND FINANCIAL STATEMENT SCHEDULES 68 ITEM 16. FORM 10-K SUMMARY 75

SIGNATURES

SIGNATURES 76 2 Table of Contents Cautionary Note Regarding Forward-Looking Statements This Annual Report on Form 10-K includes a number of forward-looking statements that involve many risks and uncertainties. Forward-looking statements are identified by the use of the words "would," "could," "will," "may," "expect," "believe," "should," "anticipate," "if," "future," "intend," "plan," "estimate," "potential," "target," "seek" or "continue" and similar words and phrases, including the negatives of these terms, or other variations of these terms, that denote future events. These statements reflect our current views with respect to future events and our potential financial performance and are subject to risks and uncertainties that could cause our actual results and financial position to differ materially and/or adversely from what is projected or implied in any forward-looking statements included in this Form 10-K. These factors include, but are not limited to: if demand for our products continues to decline in our major end markets, our net revenues will decline further; we do not have long-term contracts with any of our customers and if they fail to place, or if they cancel or reschedule orders for our products, our operating results and our business may suffer; our products are sold through distributors, which limits our direct interaction with our end customers, therefore reducing our ability to forecast sales and increasing the complexity of our business; if our products do not penetrate additional markets, our business will not grow as we expect; intense competition in the high-voltage power supply industry may lead to a decrease in our average selling price and reduced sales volume of our products; we depend on third-party suppliers to provide us with wafers for our products, and if they fail to provide us sufficient quantities of wafers, our business may suffer; if we are unable to adequately protect or enforce our intellectual property rights, we could

Business

Item 1. Business. Overview We design, develop and market analog and mixed-signal integrated circuits ("ICs") and other electronic components and circuitry used in high-voltage power conversion. Our products are used in power converters that convert electricity from a high-voltage source to the type of power required for a specified downstream use. In most cases, this conversion entails, among other functions, converting alternating current ("AC") to direct current ("DC") or vice versa, reducing or increasing the voltage, and regulating the output voltage and/or current according to the customer's specifications. A large percentage of our products are ICs used in AC-DC power supplies, which convert the high-voltage AC from a wall outlet to the low-voltage DC required by most electronic devices. Power supplies incorporating our products are used with all manner of electronic products including mobile phones, computing and networking equipment, appliances, electronic utility meters, battery-powered tools, industrial controls, and "home-automation," or "internet of things" applications such as networked thermostats, power strips and security devices. Variations of our power-supply ICs are used for high-voltage power conversion in electric vehicles ("EVs"). We also supply high-voltage LED drivers, which are AC-DC ICs specifically designed for lighting applications that utilize light-emitting diodes, and motor-driver ICs for brushless DC ("BLDC") motors used in consumer appliances, HVAC systems, ceiling fans and a variety of industrial applications. We also offer high-voltage gate drivers—either standalone ICs or circuit boards containing ICs, electrical isolation components and other circuitry—used to operate high-voltage switches such as insulated-gate bipolar transistors ("IGBTs") and silicon-carbide ("SiC") MOSFETs. These combinations of switches and drivers are used for power conversion in high-power applications (i.e., power levels ranging from approximately 100

View Full Filing

View this 10-K filing on SEC EDGAR