MPWR · 10-Q · 2026Q3 · Full report
U.S. Tax Law Changes
MONOLITHIC POWER SYSTEMS, INC. · 2026-11-03 · Importance 71 · Surprise 82 · In source text
MPS reported income tax expense of $95.6 million for the three months and $213.9 million for the nine months ended September 30, 2026, with effective tax rates of 26.1% and 22.9%, respectively. The comparable 2025 rates were 12.6% and 19.2%. MPS attributed the higher rates primarily to tax adjustments related to U.S. federal tax law changes enacted in 2025, which had reduced the effective tax rate in 2025.
Key facts
- The effective tax rate was 26.1% for the three months ended September 30, 2026 and 12.6% for the comparable 2025 period; the increase was primarily due to tax adjustments related to U.S. federal tax law changes enacted in 2025 that reduced the 2025 effective rate. source
Impact estimates
| metric | direction | stage | expected | basis |
|---|---|---|---|---|
| net_income | negative | realized | — | The effective tax rate was 26.1% for the three months ended September 30, 2026 and 12.6% for the comparable 2025 period; the increase was… |