MPWR · 10-Q · 2026Q2 · Full report

Supply Chain Constraints

MONOLITHIC POWER SYSTEMS, INC. · 2026-08-05 · Importance 29 · Surprise 24

MPS operates as a fabless semiconductor company and relies on third parties to manufacture, assemble, and test its integrated circuits. Typical supply-chain lead times for orders are 16 to 26 weeks, while customers can cancel or reschedule orders without significant penalties, making demand and production planning difficult. The company stated that its supply chain is diverse, agile, and resilient and is intended to reduce tariff exposure, although it continues to monitor trade-related risks. As of June 30, 2026, unconditional purchase commitments to suppliers and other parties totaled $571.0 million, including $542.1 million due within one year, primarily for wafers, inventory, assembly, manufacturing services, facilities, equipment, and licenses.

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