8-KFinancial EventsExhibits & Filings

MONOLITHIC POWER SYSTEMS INC 8-K Report, Auditor Change (Mar 22, 2019)

Filed March 22, 2019For Securities:MPWR

Summary

Monolithic Power Systems, Inc. (MPWR) filed an 8-K report on March 22, 2019, to announce a change in its independent registered public accounting firm. The company's Audit Committee has appointed Ernst & Young LLP (EY) as its auditor for the fiscal year ending December 31, 2019, and has dismissed Deloitte & Touche LLP (Deloitte) from this role. This change is effective as of March 18, 2019. Management has confirmed that there were no disagreements or reportable events with Deloitte during the past two fiscal years or the interim period leading up to the dismissal. The company has provided Deloitte with a copy of the disclosures, and Deloitte has provided a letter (Exhibit 16.1) agreeing with the statements made in the 8-K. Investors should note that there were no prior consultations with EY on accounting matters that would have influenced the company's decision-making process regarding accounting or auditing issues.

Key Highlights

  • 1MPWR has appointed Ernst & Young LLP (EY) as its new independent registered public accounting firm for the fiscal year ending December 31, 2019.
  • 2Deloitte & Touche LLP (Deloitte) has been dismissed as the company's auditor, effective March 18, 2019.
  • 3The company has stated there were no disagreements or reportable events with Deloitte regarding accounting principles, financial statement disclosures, or auditing procedures.
  • 4Deloitte's previous audit reports for fiscal years 2018 and 2017 contained no adverse opinions or qualifications.
  • 5MPWR confirmed no prior consultations with EY that were considered important in reaching decisions on accounting or auditing matters.
  • 6A letter from Deloitte to the SEC, dated March 22, 2019, is attached as an exhibit, indicating their agreement with the company's disclosures.

Frequently Asked Questions

The company's Audit Committee completed a review process for its independent registered public accounting firm and approved the appointment of Ernst & Young LLP (EY) for the fiscal year ending December 31, 2019, leading to the dismissal of Deloitte & Touche LLP (Deloitte).

No, the company explicitly stated that there were no disagreements on any matters of accounting principles, financial statement disclosure, or auditing scope or procedure, nor were there any 'reportable events' as defined by Regulation S-K during the relevant periods. Deloitte's prior audit reports also did not contain any adverse opinions or qualifications.

The company stated that it had not consulted with EY regarding accounting principles, audit opinions, or any matters that were considered reportable events or disagreements during the specified periods.

The letter from Deloitte, provided as an exhibit, confirms that Deloitte agrees with the statements made by Monolithic Power Systems in this 8-K filing regarding their dismissal. This is standard procedure to ensure transparency and accuracy in reporting auditor changes.