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Power Integrations, Inc. NASDAQ: POWI ©2026 Power Integrations, Inc. | power.com Updated February 2026
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Forward-Looking Statements/Non-GAAP Metrics 2©2026 Power Integrations, Inc. | power.com These slides may accompany an oral presentation by Power Integrations, Inc., which contains forward-looking statements. Each statement relating to events that will or may occur in the future is a forward-looking statement. The Company’s actual results may differ materially from those suggested in the presentation. Information concerning factors that could cause such a difference is contained in the Company’s most recent report on Form 10-K. This presentation may also contain certain non-GAAP financial information. Reconciliations of non-GAAP financial metrics to GAAP results are available in the historical financial tables on the investor page of the Power Integrations website, http://investors.power.com.
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ICs for Energy Production, Transmission & Consumption 3©2026 Power Integrations, Inc. | power.com Technology leader in ICs for energy- efficient AC-DC power supplies High-efficiency driver ICs energizing the LED lighting revolution Highly-efficient, reliable and integrated motor drivers Gate drivers for renewable energy, DC transmission, electric locomotives and more Automotive solutions for efficient, compact high-voltage power conversion and control
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DC-AC (Inverters) HV DC AC Grid Inverter What Are Power Converters? Converts DC to AC Requires safety-isolated gate drivers Efficiency critical Converts high-voltage AC to low-voltage DC Provides safety isolation Efficiency critical High-voltage AC Input AC-DC (Power supplies) Low-voltage DC Output ©2026 Power Integrations, Inc. | power.com 4
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Key Takeaways High-voltage Semiconductors are Crucial to a Lower-carbon Future High voltage (HV) is a Unique Specialty, and PI is the Only HV Pure Play GaN is the Future of HV Power Conversion, and PI is the Leader in GaN Our Addressable Market is Expanding and Diversifying ©2026 Power Integrations, Inc. | power.com 5
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System-level Solutions for High Voltage Power Conversion Proprietary Technologies with Extensive IP Protection High-voltage Process Technologies Systems & Applications Know-how IC Power Package Innovations Design and Systems Software ©2026 Power Integrations, Inc. | power.com 6
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Track Record of Innovation 1994 2024 TOPSwitch EcoSmart TinySwitch LinkSwitch Hiper iDriver FluxLink InnoSwitch InnoMux PowiGaN ©2026 Power Integrations, Inc. | power.com 7 1250 V & 1700 V PowiGaN
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InnoSwitch: A Revolution in HV Power Conversion LV OutputHV Input Safety-isolated FluxLink Allows Integration of HV and LV sides Drastically reducing component count/sourcing and complexity Choice of Power Switch: Si, GaN, SiC Proprietary Control Dramatically Increases Energy Efficiency InnoSwitch-EP ©2026 Power Integrations, Inc. | power.com 8
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Power Supply Using a PI Competitor GaN + Driver External Current Sense Interface Circuitry External Primary Controller External Isolated Feedback External 2ndry USB-PD Controller External SR Gate Drive Controller External SR Gate Supply External Primary Discretes External EMI Mitigation External EMI Mitigation External Feedback Loop Compensation ©2025Power Integrations, Inc. | power.com 9
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The Power of Integration - InnoSwitch InnoSwitchCompetition GaN, Driver + Sense Integrated Integrated GaN Sense Interface External Integrated EMI Mitigation External Integrated Primary Discretes External Integrated Isolated Feedback External Integrated SR Gate Driver External Integrated SR Gate Supply External Feedback Loop Comp External USB-PD Controller External Component Count 101 Integrated Integrated Integrated 45 Primary Controller External Integrated InnoSwitch-PD ©2025Power Integrations, Inc. | power.com 10
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Bringing Efficiency & Integration Benefits to Gate Drivers SCALE-EVCompetitor Leveraging Our HV Expertise and IP Portfolio in Gate Drivers Improves efficiency and reduces component count by 50% Same package as InnoSwitch including FluxLink for high-speed isolated communicationIGBT or SiC power module ©2026 Power Integrations, Inc. | power.com 11
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Products Serve Broad Range of End Applications Typical Analog Model 1,000s of Applications 100s of ASSPs Power Integrations Model 1,000s of Applications Focused R&D Handful of Products Addressing Power Converters Moderate R&D intensity, high differentiation, premium margins ©2026 Power Integrations, Inc. | power.com 12
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Unique Manufacturing Model: “Fabless IDM” Best-in-class Assurance of Supply, Quality, and Cost PI Develops, Owns, and Controls the Process Technologies, Device and IC Designs Own specific equipment as needed Replicate each process technology to multiple (2-5) partner fabs Geographically Dispersed, Both Inter- and Intra-continental Long-term Strategic Supply Alliances with IDMs ©2026 Power Integrations, Inc. | power.com 13
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Key Takeaways High-voltage Semiconductors are Crucial to a Lower-carbon Future High voltage (HV) is a Unique Specialty, and PI is the Only HV Pure Play GaN is the Future of HV Power Conversion, and PI is the Leader in GaN Our Addressable Market is Expanding and Diversifying ©2026 Power Integrations, Inc. | power.com 14
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Key Trends Drive Need for Advanced High-Voltage Semiconductors AI Data Centers Need GaN for power density Emerging architectures (800 VDC) need higher-voltage GaN Advanced Chargers Higher power, higher efficiency Multiple UBS ports GaN delivers power density Electric Transportation Brings high voltage to automotive Locomotives, heavy vehicles Modernizing the Power Grid HV DC transmission Battery storage Smart meters Electrification / Automation Battery-powered lawn tools LED lighting USB wall ports, IoT devices Connected appliances De-carbonization Energy efficiency Renewable energy BLDC motors for appliances ©2026 Power Integrations, Inc. | power.com 16
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Expanding High-Voltage Content in EVs ©2026 Power Integrations, Inc. | power.com Traction inverter gate-driver power supply Emergency Power Supply µDC-DC converters Battery Management Systems (BMS) On Board Charger (OBC) 12 V system standby power supplies Power steering A/C Compressor Cabin Heater Fuse | Pyro | Contactor Electronic Control Unit (ECU) GaN InnoSwitch IC in EV emergency power supply
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Pumps, Fans, Compressors Residential & commercial appliances Industrial applications BridgeSwitch Motor-Driver ICs for BLDC Motors Washer/Dryer Drum Motors Wide Range of High-Voltage Single or Multi-Phase PM or ACIM Motors Window Shades/Shutters & Garage Openers ©2026 Power Integrations, Inc. | power.com 18
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Key Takeaways High-voltage Semiconductors are Crucial to a Lower-carbon Future High voltage (HV) is a Unique Specialty, and PI is the Only HV Pure Play GaN is the Future of HV Power Conversion, and PI is the Leader in GaN Our Addressable Market is Expanding and Diversifying ©2026 Power Integrations, Inc. | power.com 19
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GaN is the Future of HV Power Conversion, and PI is the Leader in GaN Proprietary GaN technology We control the roadmap Purpose-built for our products We can tailor the GaN for each product Highly cost-effective Approaching parity with silicon Higher-voltage capability 900 V and 1250 V products introduced in 2023, 1700 V in 2024 ©2026 Power Integrations, Inc. | power.com 20
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PowiGaN Leading the Way on Higher Voltages 21©2026 Power Integrations, Inc. | power.com 2018 2020 2022 2024 750 V 900 V 1250 V PowiGaN High-Voltage Roadmap Option to Replace SiC 1700 V 2023
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Auxiliary power Shipping now, growing with GaN adoption Main power AI driving need for greater power density; system-level GaN products in development GaN Is Key to Solving Data Center Power Challenges ©2026 Power Integrations, Inc. | power.com 22 NVIDIA Ecosystem Partner 1250 V and 1700 V GaN for next-generation 800 VDC power architecture
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Compact 60W GaN Charger with InnoSwitch4-CZ & ClampZero 23©2026 Power Integrations, Inc. | power.com InnoSwitch4-CZ with GaN switch L N 12.6 mm ATQ2311 ClampZero 44 mm 44 mm To Scale MinE-CAP Uses GaN-based MinE-CAP IC to reduce size of bulk capacitors Volume = 24.4 cm3 Power Density = 2.5 W/cm3 No heatsinks
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Key Takeaways High-voltage Semiconductors are Crucial to a Lower-carbon Future High voltage (HV) is a Unique Specialty, and PI is the Only HV Pure Play GaN is the Future of HV Power Conversion, and PI is the Leader in GaN Our Addressable Market is Expanding and Diversifying ©2026 Power Integrations, Inc. | power.com 24
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2000 2018 2050 2100 Gt CO2 40 30 20 10 High-Voltage Semiconductors are Critical to a Lower-Carbon Future Stated policies scenario Sustainable development scenario 37% Efficiency 32% Renewables 3% Nuclear 28% Other 69% of targeted carbon savings Efficiency and renewables hold the key to achieving carbon-reduction targets Source: IEA ©2026 Power Integrations, Inc. | power.com 25
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High-Voltage Semiconductors are Critical to a Lower-Carbon Future Renewable Energy Generation Efficient Energy Transmission Efficient Energy Consumption ©2026 Power Integrations, Inc. | power.com 26
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Recognized Leader in Energy Efficiency Pioneer in Eliminating Standby Waste First to Market with GaN Power ICs Inclusion in Numerous Sustainability Indices Awards and Certifications 2024 Revenues 95% EU Taxonomy-Eligible* ICs that Reduce Standby Waste Gate Drivers Used in Clean Technologies Other products Hundreds of Efficiency-related Patents *Estimate based on information currently known to Power Integrations about taxonomy eligibility. ©2026 Power Integrations, Inc. | power.com 27
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System Solution with PowiGaN Delivers Superior Efficiency PowiGaN with proprietary control delivers highest efficiency in standby & full load 82% 84% 86% 88% 90% 92% 94% 96% 20% 40% 60% 80% 100% Efficiency Comparison Over Load at 5V Output Standby Dramatically higher efficiency InnoSwitch with PowiGaN Discrete GaN Design Efficiency Load ©2026 Power Integrations, Inc. | power.com 28
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Enabler of Clean-Energy Technologies Commercial/Industrial & Smart LED Lighting Renewable Energy, Electric Locomotives, High-voltage DC Transmission Brushless DC Motors for Appliances & Industrial Reliable, Efficient Power Supplies & Gate Drivers for EVs ©2026 Power Integrations, Inc. | power.com 29
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Reducing Materials, Energy Use Through Integration HiperLCS-2 Are Replaced with Two Hiper ICs HiperPFS-5 Up to 100 Components… ©2026 Power Integrations, Inc. | power.com 30
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Technology Leadership Makes PI a Policy Influencer Regular Consultation with Energy Policy Makers and Leading Researchers Active Participation on Technical Committees for International Standards • IEC TC59/MT9 for standby and low-power modes • IEC TC47/SC47E for semiconductor devices • JEDEC JC-70 wide bandgap semiconductors committee • USB Implementers Forum Power Sources Manufacturers Association (PSMA) • Presidency 2026-2027 • Chairing energy management committee last 4+ years ©2026 Power Integrations, Inc. | power.com 31
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Manufacturing Partners Carbon Reduction PlansCertificationsFab • Reduce scope 1 & 2 GHG emissions by 34% by FY2025 compared to FY2017 • Reduce scope 3 emissions from category 1 and category 11 as a percentage of value added by 44% by FY2025 compared to FY2017 ISO 14001:2015 EMS Sony Green Foundry Partner 1 • Targeting CO2 30% reduction by 2030 in two facilities ISO 14001:2015 EMS ISO 45001:2018 Occupational Health & Safety Sony Green Foundry Partner 2 • By 2030, reduce GHG emissions in line with 1.5°ISO 14001:2015 EMS Sony Green Foundry Partner 3 • Reduce scope 1 & 2 carbon emissions by 40% by 2030 compared to 2021 (normalized to stepped mask layers) ISO 14001:2015 EMS Sony Green Foundry Partner 4 All assembly & test partners certified Sony Green, ISO14001 (EMS) and ISO 45001:2018 (Occupational Health & Safety). ©2026 Power Integrations, Inc. | power.com 32
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Managing Our Internal Carbon Footprint Extensive Use of Solar Energy in Our Operations 1.5 MW System at San José HQ 25 kW at Switzerland Facility 43 kW at Germany Facility ©2026 Power Integrations, Inc. | power.com 33
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Our Contribution to a Lower-Carbon Future Lowering Carbon Footprint of Our Operations Recognized Efficiency Expert & Policy Influencer Pioneer in Cutting Standby Power Waste Driving Higher Efficiency with GaN Saving Energy & Materials Through Integration Enabling Clean Technologies ©2026 Power Integrations, Inc. | power.com 34
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0 150 300 450 600 750 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 POWI Revenue ($M) Analog Semis (WSTS) Focused Strategy and System-Level Innovation Drive Above-Market Growth Note: Analog industry data is per World Semiconductor Trade Statistics; PI revenues prior to 2017 do not reflect ASC 606 recast. 7% revenue CAGR since 2001 ©2026 Power Integrations, Inc. | power.com 35
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Favorable Shift in Revenue Mix 37% Consumer 12% Comms13% Computer 38% Industrial / Auto 36% Consumer 25% Comms 5% Computer 34% Industrial 20252019 2002 23% Computer 43% Comms 24% Consumer 9% Industrial Industrial/Auto/Consumer 75% of mix • Consumer category is >80% appliances Revenue Mix by End-Market Category ©2026 Power Integrations, Inc. | power.com 36
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Gross Margin Stability Over Time and Cycles 30% 35% 40% 45% 50% 55% 60% 65% 70% 0 20 40 60 80 100 120 140 160 180 200 Q1 '09 Q1'11 Q1'13 Q1'15 Q1 '17 Q1'19 Q1'21 Q1'23 Q1'25 Revenue Non-GAAP GM % Cellphone <10% of sales 2010-11: Yen/$ <80, spike in gold prices Comms 38% of sales Yen/$ to ~100 Favorable pricing environment, weak yen $ Millions ©2026 Power Integrations, Inc. | power.com 37 Weak yen vs. USD See historical financial tables at investors.powe r.com for reconciliation of non-GAAP GM% to GAAP
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Strong Cash Flow, Healthy Returns to Stockholders 20% FCF/Revenue in 2025 180% of FCF returned to stockholders 2022-25 $145M Cash returned to stockholders in 2025 0 50 100 150 200 250 300 350 400 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Share Buybacks Dividend Payout FCF ©2026 Power Integrations, Inc. | power.com 38 Reconciliation of FCF provided at end of presentation
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Strong Balance Sheet 39©2026 Power Integrations, Inc. | power.com $250M cash and investments No debt Dividend payer since 2008 Quarterly dividend of $0.215 Share count down 14% since 2008 $98M used for buybacks in 2025 at December 31, 2025 $- $0.20 $0.40 $0.60 $0.80 $1.00 Q1'08 Q4'25 Dividends/Share (Trailing 12 Months)* *Adjusted for August 2020 2:1 stock split 40 45 50 55 60 65 70 Q1'08 Q4'25 Diluted Shares Outstanding (M)* 0 100 200 300 400 500 600 Q1'08 Q4'25 Cash and Investments ($M)
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Summary Focused Strategy – The Only HV Pure Play Defensible, System-level Integration Capitalizing on Big-Picture, Secular Trends Leader in High-Voltage GaN Track Record of Growth & Profitability Making a Difference to the Environment ©2026 Power Integrations, Inc. | power.com 40
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Reconciliations 42©2026 Power Integrations, Inc. | power.com RECONCILIATION OF FREE CASH FLOW 2025 2024 2023 2022 2021 2020 2019 2018 2017 2016 2015 Net cash provided by operating activities 111,518 81,181 65,759 215,343 230,868 125,639 224,499 83,964 82,039 97,901 92,187 Less: Purchases of property and equipment (24,396) (17,286) (20,884) (39,211) (47,272) (70,598) (24,114) (24,677) (32,496) (12,198) (11,359) Free cash flow 87,122 63,895 44,875 176,132 183,596 55,041 200,385 59,287 49,543 85,703 80,828 Year ending December 31, 2023Year ending December 31, 2024Year ending December 31, 2025 Full YearFourth Quarter Third QuarterSecond QuarterFirst QuarterYear-to-DateFourth Quarter Third QuarterSecond QuarterFirst QuarterYear-to-DateFourth Quarter Third QuarterSecond QuarterFirst Quarter RECONCILIATION OF GROSS PROFIT MARGIN $ 228,956 $ 46,208 $ 65,945 $ 62,846 $ 53,957 $ 224,751 $ 57,267 $ 63,171 $ 56,533 $ 47,780 $ 241,649 $ 54,609 $ 64,851 $ 63,954 $ 58,235 GAAP gross profit 51.5%51.6%52.5%51.0%50.8%53.6%54.4%54.5%53.2%52.1%54.5%52.9%54.5%55.2%55.2%GAAP gross profit margin 1,692 499 446 446 301 2,090 541 496 707 346 1,998 232 517 592 657 Stock-based compensation expense included in cost of revenue ---------------Amortization of write-up of acquired inventory 1,928 482 482 482 482 1,034 147 147 258 482 587 147 147 146 147 Amortization of acquisition-related intangible assets 232,576 47,189 66,873 63,774 54,740 227,875 57,955 63,814 57,498 48,608 244,234 54,988 65,515 64,692 59,039 Non-GAAP gross profit 52.3%52.7%53.3%51.8%51.5%54.4%55.1%55.1%54.1%53.0%55.1%53.3%55.1%55.8%55.9%Non-GAAP gross profit margin See historical financial tables at investors. power.com for additional reconciliation data