Exhibit 99.1

PRESS RELEASE For Immediate Release

Monolithic Power Systems, Inc.

79 Great Oaks Boulevard

San Jose, CA 95119 USA

T: 408-826-0600, F: 408-826-0601

www.monolithicpower.com

Monolithic Power Systems Announces Results

for the First Quarter Ended March 31, 2016

SAN JOSE, California, May 2, 2016--Monolithic Power Systems, Inc. (MPS) (Nasdaq: MPWR), a leading company in high performance power solutions, today announced financial results for the quarter ended March 31, 2016.

● Revenue was $84.5 million, a 2.8% decrease from $86.9 million in the fourth quarter of 2015 and a 14.9% increase from $73.5 million in the first quarter of 2015.

● GAAP gross margin was 53.9% compared with 54.0% in the first quarter of 2015.

● Non-GAAP gross margin(1) was 55.0%, excluding the impact of $0.4 million for stock-based compensation expense and $0.5 million for the amortization of acquisition-related intangible assets, compared with 54.8% in the first quarter of 2015, excluding the impact of $0.2 million for stock-based compensation expense and $0.4 million for the amortization of acquisition-related intangible assets.

● GAAP operating expenses were $35.1 million compared with $33.8 million for the quarter ended March 31, 2015.

● Non-GAAP(1) operating expenses were $26.4 million, excluding $8.5 million for stock-based compensation expense and $0.2 million for deferred compensation plan expense, compared with $24.7 million, excluding $9.0 million for stock-based compensation expense and $0.1 million for deferred compensation plan expense, for the quarter ended March 31, 2015.

● GAAP operating income was $10.4 million compared with $5.9 million for the quarter ended March 31, 2015.

● Non-GAAP(1) operating income was $20.0 million, excluding $9.0 million for stock-based compensation expense, $0.5 million for the amortization of acquisition-related intangible assets and $0.1 million for deferred compensation plan expense, compared with $15.6 million, excluding $9.2 million for stock-based compensation expense, $0.4 million for the amortization of acquisition-related intangible assets and $0.1 million for deferred compensation plan expense, for the quarter ended March 31, 2015.

● Interest and other income, net was $0.5 million compared with $0.6 million for the quarter ended March 31, 2015.

● Non-GAAP(1) interest and other income, net was $0.2 million, excluding $0.3 million for deferred compensation plan income, compared with $0.5 million, excluding $0.1 million for deferred compensation plan income, for the quarter ended March 31, 2015.

● GAAP net income was $10.6 million and GAAP earnings per share were $0.25 per diluted share. Comparatively, GAAP net income was $6.0 million and GAAP earnings per share were $0.15 per diluted share for the quarter ended March 31, 2015.

● Non-GAAP(1) net income was $18.7 million and non-GAAP earnings per share were $0.45 per diluted share, excluding stock-based compensation expense, amortization of acquisition-related intangible assets, net deferred compensation plan income and related tax effects, compared with non-GAAP net income of $14.9 million and non-GAAP earnings per share of $0.37 per diluted share, excluding stock-based compensation expense, amortization of acquisition-related intangible assets, net deferred compensation plan expense and related tax effects, for the quarter ended March 31, 2015.

The following is a summary of revenue by end market for the periods indicated, estimated based on MPS’s assessment of available end market data (in millions):

	Three Months Ended March 31,
End Market	2016		2015
Communication	$	16.9	$	17.3
Storage and Computing		15.4		11.4
Consumer		33.8		31.5
Industrial		18.4		13.3
Total	$	84.5	$	73.5

The following is a summary of revenue by product family for the periods indicated (in millions):

	Three Months Ended March 31,
Product Family	2016		2015
DC to DC	$	77.1	$	66.3
Lighting Control		7.4		7.2
Total	$	84.5	$	73.5

“We continue to grow, we continue to invest, and we continue to enhance shareholder value,” said Michael Hsing, CEO and founder of MPS.

Business Outlook

The following are MPS’ financial targets for the second quarter ending June 30, 2016:

● Revenue in the range of $91 million to $95 million.

● GAAP gross margin between 53.6% and 54.6%. Non-GAAP(1) gross margin between 54.6% and 55.6%. This excludes an estimated impact of stock-based compensation expenses of 0.4% and amortization of acquisition-related intangible assets of 0.6%.

● GAAP R&D and SG&A expenses between $36.1 million and $40.1 million. Non-GAAP(1) R&D and SG&A expenses between $26.1 million and $28.1 million. This excludes an estimate of stock-based compensation expenses in the range of $10.0 million to $12.0 million.

● Total stock-based compensation expense of $10.4 million to $12.4 million.

● Litigation expenses of $100,000 to $200,000.

● Interest and other income of $200,000 to $300,000 before foreign exchange gains or losses.

● Fully diluted shares outstanding between 41.2 million and 42.2 million before shares buyback.

(1) Non-GAAP net income, non-GAAP earnings per share, non-GAAP gross margin, non-GAAP R&D and SG&A expenses, non-GAAP operating expenses, non-GAAP interest and other income and non-GAAP operating income differ from net income, earnings per share, gross margin, R&D and SG&A expenses, operating expenses, interest and other income and operating income determined in accordance with GAAP (Generally Accepted Accounting Principles in the United States). Non-GAAP net income and non-GAAP earnings per share exclude the effect of stock-based compensation expense, amortization of acquisition-related intangible assets, deferred compensation plan income/expense and related tax effects. Non-GAAP gross margin exclude the effect of stock-based compensation expense and amortization of acquisition-related intangible assets. Non-GAAP operating expenses exclude the effect of stock-based compensation expense and deferred compensation plan income/expense. Non-GAAP interest and other income exclude the effect of deferred compensation plan income/expense. Non-GAAP operating income excludes the effect of stock-based compensation expense, amortization of acquisition-related intangible assets, and deferred compensation plan income/expense. Projected non-GAAP gross margin excludes the effect of stock-based compensation expense and amortization of acquisition-related intangible assets. Projected non-GAAP R&D and SG&A expenses exclude the effect of stock-based compensation expense. These non-GAAP financial measures are not prepared in accordance with GAAP and should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. A schedule reconciling non-GAAP financial measures is included at the end of this press release. MPS utilizes both GAAP and non-GAAP financial measures to assess what it believes to be its core operating performance and to evaluate and manage its internal business and assist in making financial operating decisions. MPS believes that the inclusion of non-GAAP financial measures, together with GAAP measures, provides investors with an alternative presentation useful to investors' understanding of MPS’ core operating results and trends. Additionally, MPS believes that the inclusion of non-GAAP measures, together with GAAP measures, provides investors with an additional dimension of comparability to similar companies. However, investors should be aware that non-GAAP financial measures utilized by other companies are not likely to be comparable in most cases to the non-GAAP financial measures used by MPS.

Conference Call

MPS plans to conduct an investor teleconference covering its quarter ended March 31, 2016 results at 2:00 p.m. PT / 5:00 p.m. ET, May 2, 2016. To access the conference call and the following replay of the conference call, go to http://ir.monolithicpower.com and click on the webcast link. From this site, you can listen to the teleconference, assuming that your computer system is configured properly. In addition to the webcast replay, which will be archived for all investors for one year on the MPS website, a phone replay will be available for seven days after the live call at (404) 537-3406, code number 86107541. This press release and any other information related to the call will also be posted on the website.

Safe Harbor Statement

This press release contains, and statements that will be made during the accompanying teleconference will contain, forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, including, among other things, (i) projected revenues, GAAP and non-GAAP gross margin, GAAP and non-GAAP R&D and SG&A expenses, stock-based compensation expenses, amortization of acquisition-related intangible assets, litigation expenses, other income and diluted shares outstanding for the quarter ending June 30, 2016, (ii) our outlook for the long-term prospects of the company, including our performance against our business plan, our continued investment into R&D, expected revenue growth and the prospects of our new product families, (iii) our ability to penetrate new markets and expand our market share, (iv) the seasonality of our business, (v) our ability to reduce our expenses, and (vi) statements of the assumptions underlying or relating to any statement described in (i), (ii), (iii), (iv), or (v). These forward-looking statements are not historical facts or guarantees of future performance or events, are based on current expectations, estimates, beliefs, assumptions, goals, and objectives, and involve significant known and unknown risks, uncertainties and other factors that may cause actual results to be materially different from the results expressed by these statements. Readers of this press release and listeners to the accompanying conference call are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date hereof. Factors that could cause actual results to differ include, but are not limited to, our ability to attract new customers and retain existing customers; acceptance of, or demand for, MPS’ products, in particular the new products launched within the past 18 months, being different than expected; competition generally and the increasingly competitive nature of our industry; any market disruptions or interruptions in MPS’ schedule of new product release development; adverse changes in production and testing efficiency of our products; our ability to realize the anticipated benefits of companies and products that we acquire, and our ability to effectively and efficiently integrate these acquired companies and products into our operations; our ability to manage our inventory levels; adverse changes in government regulations in foreign countries where MPS has offices or operations; the effect of catastrophic events; adequate supply of our products from our third-party manufacturing partners; the risks, uncertainties and costs of litigation in which we are involved; the outcome of any upcoming trials, hearings, motions and appeals; the adverse impact on MPS’ financial performance if its tax and litigation provisions are inadequate; adverse changes or developments in the semiconductor industry generally, which is cyclical in nature; difficulty in predicting or budgeting for future customer demand and channel inventories, expenses and financial contingencies; and other important risk factors identified in MPS’ Securities and Exchange Commission (SEC) filings, including, but not limited to, its annual report on Form 10-K filed with the SEC on February 29, 2016.

The forward-looking statements in this press release and statements made during the accompanying teleconference represent MPS’ projections and current expectations, as of the date hereof, not predictions of actual performance. MPS assumes no obligation to update the information in this press release or in the accompanying conference call.

About Monolithic Power Systems

Monolithic Power Systems, Inc. (MPS) provides small, highly energy efficient, easy-to-use power solutions for systems found in industrial applications, telecom infrastructures, cloud computing, automotive, and consumer applications. MPS' mission is to reduce total energy consumption in its customers' systems with green, practical, compact solutions. The company was founded by Michael R. Hsing in 1997 and is headquartered in San Jose, CA. MPS can be contacted through its website at www.monolithicpower.com or its support offices around the world.

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Monolithic Power Systems, MPS, and the MPS logo are registered trademarks of Monolithic Power Systems, Inc. in the U.S. and trademarked in certain other countries.

Contact:

Bernie Blegen

Interim Chief Financial Officer

Monolithic Power Systems, Inc.

408-826-0777

investors@monolithicpower.com

Condensed Consolidated Balance Sheets

(Unaudited, in thousands, except par value)

	March 31,		December 31,
	2016		2015
ASSETS
Current assets:
Cash and cash equivalents	$	77,808	$	90,860
Short-term investments		173,693		144,103
Accounts receivable, net		28,836		30,830
Inventories		62,318		63,209
Prepaid expenses and other current assets		2,909		2,926
Total current assets		345,564		331,928
Property and equipment, net		66,527		65,359
Long-term investments		5,353		5,361
Goodwill		6,571		6,571
Acquisition-related intangible assets, net		4,540		5,053
Deferred tax assets, net		663		672
Other long-term assets		17,894		16,341
Total assets	$	447,112	$	431,285
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	15,731	$	13,487
Accrued compensation and related benefits		9,552		9,812
Accrued liabilities		20,040		19,984
Total current liabilities		45,323		43,283
Income tax liabilities		3,114		2,941
Other long-term liabilities		16,689		16,545
Total liabilities		65,126		62,769
Commitments and contingencies
Stockholders' equity:
Common stock and additional paid-in capital, $0.001 par value; shares authorized: 150,000; shares issued and outstanding: 40,236 and 39,689 as of March 31, 2016 and December 31, 2015, respectively		276,450		265,763
Retained earnings		103,362		101,287
Accumulated other comprehensive income		2,174		1,466
Total stockholders’ equity		381,986		368,516
Total liabilities and stockholders’ equity	$	447,112	$	431,285

Condensed Consolidated Statements of Operations

(Unaudited, in thousands, except per share amounts) 

	Three Months Ended March 31,
	2016		2015
Revenue	$	84,512	$	73,538
Cost of revenue		39,002		33,855
Gross profit		45,510		39,683
Operating expenses:
Research and development		17,321		16,038
Selling, general and administrative		17,768		17,518
Litigation expense		45		270
Total operating expenses		35,134		33,826
Income from operations		10,376		5,857
Interest and other income, net		543		642
Income before income taxes		10,919		6,499
Income tax provision		344		536
Net income	$	10,575	$	5,963
Net income per share:
Basic	$	0.26	$	0.15
Diluted	$	0.25	$	0.15
Weighted-average shares outstanding:
Basic		40,028		39,105
Diluted		41,646		40,596
Cash dividends declared per common share	$	0.20	$	0.20

SUPPLEMENTAL FINANCIAL INFORMATION

STOCK-BASED COMPENSATION EXPENSE

(Unaudited, in thousands)

	Three Months Ended March 31,
	2016		2015
Cost of revenue	$	434	$	242
Research and development		3,698		2,620
Selling, general and administrative		4,847		6,357
Total stock-based compensation expense	$	8,979	$	9,219

RECONCILIATION OF NET INCOME TO NON-GAAP NET INCOME

(Unaudited, in thousands, except per share amounts)

	Three Months Ended March 31,
	2016			2015
Net income	$	10,575		$	5,963
Net income as a percentage of revenue		12.5	%		8.1	%
Adjustments to reconcile net income to non-GAAP net income:
Stock-based compensation expense		8,979			9,219
Amortization of acquisition-related intangible assets		513			367
Deferred compensation plan expense (income)		(145	)		40
Tax effect		(1,176	)		(673	)
Non-GAAP net income	$	18,746		$	14,916
Non-GAAP net income as a percentage of revenue		22.2	%		20.3	%
Non-GAAP net income per share:
Basic	$	0.47		$	0.38
Diluted	$	0.45		$	0.37
Shares used in the calculation of non-GAAP net income per share:
Basic		40,028			39,105
Diluted		41,646			40,596

RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN

(Unaudited, in thousands)

	Three Months Ended March 31,
	2016			2015
Gross profit	$	45,510		$	39,683
Gross margin		53.9	%		54.0	%
Adjustments to reconcile gross profit to non-GAAP gross profit:
Stock-based compensation expense		434			242
Amortization of acquisition-related intangible assets		513			367
Non-GAAP gross profit	$	46,457		$	40,292
Non-GAAP gross margin		55.0	%		54.8	%

RECONCILIATION OF OPERATING EXPENSES TO NON-GAAP OPERATING EXPENSES

(Unaudited, in thousands)

	Three Months Ended March 31,
	2016			2015
Total operating expenses	$	35,134		$	33,826
Adjustments to reconcile total operating expenses to non-GAAP total operating expenses:
Stock-based compensation expense		(8,545	)		(8,977	)
Deferred compensation plan expense		(157	)		(166	)
Non-GAAP operating expenses	$	26,432		$	24,683

RECONCILIATION OF OPERATING INCOME TO NON-GAAP OPERATING INCOME

(Unaudited, in thousands)

	Three Months Ended March 31,
	2016			2015
Total operating income	$	10,376		$	5,857
Operating income as a percentage of revenue		12.3	%		8.0	%
Adjustments to reconcile total operating income to non-GAAP total operating income:
Stock-based compensation expense		8,979			9,219
Amortization of acquisition-related intangible assets		513			367
Deferred compensation plan expense		157			166
Non-GAAP operating income	$	20,025		$	15,609
Non-GAAP operating income as a percentage of revenue		23.7	%		21.2	%

RECONCILIATION OF OTHER INCOME TO NON-GAAP OTHER INCOME

(Unaudited, in thousands)

	Three Months Ended March 31,
	2016			2015
Total interest and other income, net	$	543		$	642
Adjustments to reconcile interest and other income to non-GAAP interest and other income:
Deferred compensation plan income		(302	)		(126	)
Non-GAAP interest and other income, net	$	241		$	516

2016 SECOND QUARTER OUTLOOK

RECONCILIATION OF GROSS MARGIN TO NON-GAAP GROSS MARGIN

(Unaudited)

	Three Months Ending
	June 30, 2016
	Low			High
Gross margin		53.6	%		54.6	%
Adjustments to reconcile gross margin to non-GAAP gross margin:
Stock-based compensation expense		0.4	%		0.4	%
Amortization of acquisition-related intangible assets		0.6	%		0.6	%
Non-GAAP gross margin		54.6	%		55.6	%

RECONCILIATION OF R&D AND SG&A EXPENSES TO NON-GAAP R&D AND SG&A EXPENSES

(Unaudited, in thousands)

	Three Months Ending
	June 30, 2016
	Low			High
R&D and SG&A expense	$	36,100		$	40,100
Adjustments to reconcile R&D and SG&A expense to non-GAAP R&D and SG&A expense:
Stock-based compensation expense		(10,000	)		(12,000	)
Non-GAAP R&D and SG&A expense	$	26,100		$	28,100