POWI

Power Integrations, Inc.

HALAL — SCREEN DOES NOT PASSstock

Is POWI Halal?

Power-conversion semiconductor design — generally permissible activity, but the current liquidity/assets screen fails.

What You Should Know

Power Integrations' March 31, 2026 Form 10-Q reports assets of $770.687 million, no drawn interest-bearing debt, cash of $63.390 million, marketable securities of $193.814 million, receivables of $14.407 million and quarterly revenue of $108.308 million. Debt/assets is 0.00%, liquidity/assets is 33.37% and receivables plus cash/assets is 10.09%; liquidity is just above the examined 33.333% limits. The filing does not isolate gross interest income from mixed other income and no universal prohibited-revenue numerator is disclosed.

⚠️ Concerns

  • Liquidity/assets is 33.37%, just above examined 33.333% limits
  • Power Integrations had no drawn interest-bearing debt at March 31, 2026
  • General-purpose chips can flow into mixed end markets
  • Mixed other-income disclosure prevents a gross interest-income percentage
  • No universal prohibited-revenue numerator is disclosed

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
0.00%Within limit
Below 33.333% under FTSE Yasaar

0 / 770.687

Cash + interest-bearing securities / assets
33.37%Above limit
Below 33.333% under FTSE Yasaar

257.204 / 770.687

Receivables + cash / assets
10.09%Within limit
Below 50% under FTSE Yasaar

77.797 / 770.687

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Liquidity/assets is 33.37%, above the examined 33.333% limit; debt/assets is 0.00% and receivables-plus-cash/assets is 10.09%, while gross interest income is unavailable.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Fails
Overall
Fails

Liquidity/assets is 33.37%, above the examined 33.33% total-assets limit; this is a calculation against the named method, not an index-membership claim.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Fails
Overall
Fails

Identifiable liquidity/assets is 33.37%, above the examined Malaysia 33% limit; this is not an official classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Fails

A licensed historical market-cap series is not stored; the asset-based liquidity failure is independently documented.

Business-activity disclosure

Power Integrations designs high-voltage power-conversion integrated circuits, gate drivers and motor-driver products for consumer, communications, computing, industrial and renewable-energy applications. The core semiconductor activity is generally permissible, but the filing does not provide a universal prohibited-revenue numerator for downstream uses.

Limitation: No universal prohibited-activity revenue numerator or scholar-specific purification percentage is disclosed; downstream end-use is retained as qualitative context.

Purification

Power Integrations reports mixed other income rather than a separately usable gross interest-income numerator; no fixed scholar-approved purification percentage is asserted.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Power Integrations' March 31, 2026 Form 10-Q.
  • The filing shows no drawn interest-bearing debt at March 31, 2026; operating leases are excluded.
  • Cash is $63.390 million and marketable securities are $193.814 million; accounts receivable, net is $14.407 million.
  • First-quarter revenue is $108.308 million. Other income is a mixed line that includes interest income and foreign-exchange gains, so gross non-compliant income is not isolated.
  • Liquidity/assets is 33.37%, just above the examined 33.333% limits; this is a filing-based ratio, not a market-cap calculation.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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