SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

6 Months Ended

Jun. 30, 2025

SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES

7. SIGNIFICANT CUSTOMERS AND GEOGRAPHIC NET REVENUES:

Customer Concentration

The Company’s top ten customers accounted for approximately 81% of net revenues for each of the three and six months ended June 30, 2025 and approximately 80% and 78%, respectively, in the corresponding periods of 2024. A significant portion of these revenues are attributable to sales of the Company’s products to distributors of electronic components. These distributors sell the Company’s products to a broad, diverse range of end users, including original equipment manufacturers (“OEMs”) and merchant power-supply manufacturers. Similarly, merchant power-supply manufacturers sell power supplies incorporating the Company’s products to a broad range of OEMs. Sales to distributors were $81.3 million and $156.5 million in the three and six months ended June 30, 2025, respectively, and $73.5 million and $139.9 million, respectively, in the corresponding periods of 2024. Direct sales to OEMs and power-supply manufacturers accounted for the remainder.

The following customers represented 10% or more of the Company’s net revenues for the respective periods:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
Customer	2025		2024		2025		2024
Avnet	33	%	28	%	32	%	29	%
Salcomp Group	11	%	*		*		*
Honestar Technologies Co., Ltd.	*		12	%	*		12	%

*Total customer revenue was less than 10% of net revenues.

No other customers accounted for 10% or more of the Company’s net revenues in the periods presented.

Concentration of Credit Risk

Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash investments and trade receivables. The Company does not have any off-balance-sheet credit exposure related to its customers.

As of June 30, 2025 and December 31, 2024, 89% and 87% of accounts receivable were concentrated with the Company’s top ten customers.

The following customers represented 10% or more of accounts receivable at June 30, 2025 and December 31, 2024:

	June 30,		December 31,
Customer	2025		2024
Avnet	38	%	32	%
Salcomp Group	13	%	13	%
Honestar Technologies Co., Ltd.	*		12	%

*Total customer accounts receivable was less than 10% of accounts receivable.

No other customers accounted for 10% or more of the Company’s accounts receivable in the periods presented.

Geographic Net Revenues

The Company markets its products globally through its sales personnel and a worldwide network of independent sales representatives and distributors. Geographic net revenues by region and country with 5% or more of the Company’s revenue during any of the periods presented, based on “bill to” customer locations were as follows:

	Three Months Ended				Six Months Ended
	June 30,				June 30,
(In thousands)	2025		2024		2025		2024
Americas:	$	5,850	$	5,281	$	11,567	$	10,286
EMEA:
Germany		6,947		5,059		13,063		10,948
Other EMEA		5,809		5,946		10,984		12,260
APAC:
Hong Kong/China		67,691		63,124		124,179		112,804
India		4,545		6,400		9,872		11,780
Korea		9,685		8,933		21,954		18,453
Taiwan		6,617		5,294		13,619		10,052
Other APAC		8,708		6,161		16,143		11,303
Total net revenues	$	115,852	$	106,198	$	221,381	$	197,886