NYSE$MX

MagnaChip Semiconductor Corp. · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Second quarter results exceeded expectations, with revenue above the midpoint of guidance and gross margin surpassing the upper end of guidance.

Magnachip reported Q2 2024 financial results with consolidated revenue of $53.2 million and a gross profit margin of 21.8%. The Standard Products Business saw an 11.6% sequential increase in revenue and a gross profit margin of 23.1%. The company ended the quarter with $132.5 million in cash and repurchased approximately 0.5 million shares for $2.3 million.

  • Q2 consolidated revenue was $53.2 million, exceeding the mid-point of the guidance range.
  • Standard product business revenue increased by 11.6% sequentially.
  • Consolidated gross profit margin was 21.8%, surpassing the upper end of the guidance range.
  • Ended Q2 with cash of $132.5 million and repurchased 0.5 million shares for $2.3 million.

Headline financials

Total Revenue

$53.2M

Previous: $61M-12.8%
EPS

-$0.34

Previous: -$0.06-466.7%
Gross Profit Margin

21.1%

No prior period
Adjusted EBITDA

-$992K

No prior period
Adjusted Operating Loss

-$4.67M

No prior period
PAS Gross Margin

19.7%

No prior period
Power IC Gross Margin

45.5%

No prior period
Capital Expenditures

-$1.57M

Previous: -$1.52M-3.2%
Free Cash Flow

-$14.6M

Previous: -$5.47M-166.5%
Net Income

-$13M

Previous: -$3.95M-229.3%
Operating Income

-$12.8M

Previous: -$10.7M-20.3%
Gross Profit

$11.6M

Previous: $13.5M-14.3%
Cash & Equivalents

$132M

Previous: $173M-23.4%
Total Assets

$413M

Previous: $444M-7.0%
R&D Expense

$12.7M

No prior period
Stock-Based Comp

$1.22M

Previous: $2.09M-41.9%

Revenue & EPS history

MagnaChip · Revenue · Quarterly

$53.2M

Q2 2024-12.8%vs Q2 2023
Beat estimate in 8 of 15 quarters(53%)
ActualEstimate

Revenue by segment

MagnaChip · $9.63M total across 1 segment · Q3 2023

  • Transitional Fab 3 Foundry
    $9.63M+14.2%

Forward guidance

Magnachip expects sequential revenue growth in Q3 for its Standard Product Business, driven by leaner distribution channels in Power, seasonality, and increased demand in OLED and Power IC businesses.

Tailwinds

  • Consolidated revenue to be in the range of $61.5 to $66.5 million, including approximately $1.5 million of Transitional Foundry Services.
  • MSS revenue to be in the range of $14.5 to $16.5 million, up 33.7% sequentially and 46.2% year-over-year at the mid-point.
  • PAS revenue to be in the range of $45.5 to $48.5 million, up 19.8% sequentially and 14.6% year-over-year at the mid-point.
  • Consolidated gross profit margin to be in the range of 22.5% to 24.5%.
  • MSS gross profit margin to be in the range of 36.5% to 39.5%.

Headwinds

  • PAS gross profit margin to be in the range of 18.5% to 20.5%.
  • Transitional Foundry Services revenue will decline in 2024, as expected.
  • Consolidated revenue flattish-to-slightly down, compared to prior expectation of flat-to-up-slightly year-over-year.
  • Consolidated gross profit margin between 19% to 22%, above our prior expectation of 17% to 20%.
  • This compares with the consolidated gross profit margin of 22.4% in 2023.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

-1.4%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+0.8%

Avg return

30 days after

51%

32 / 63 earnings

Positive

+21.9%

Q2 2016

Best reaction

-49.8%

Q3 2014

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+17.4%+5.2%+79.0%
Q4 2025+7.5%+1.9%+6.7%
Q3 2025-8.4%-27.0%-3.5%
Q1 2025-3.3%+24.0%+18.0%
Q4 2024-5.4%-4.0%-30.7%
Q3 2024-2.0%-15.1%-4.0%
Q2 2024+16.9%+7.3%-4.1%
Q1 2024+3.7%+2.2%+2.4%
Q4 2023-12.6%-15.6%-14.4%
Q3 2023+1.2%-3.6%-9.7%
Q2 2023-1.0%-9.8%-11.5%
Q1 2023+0.1%+1.4%+19.1%
Q4 2022-5.2%-6.2%-14.7%
Q3 2022-6.9%-9.1%-4.5%
Q2 2022-15.7%-7.3%-21.3%
Q1 2022-2.4%-5.3%+6.6%
Q4 2021-0.9%+0.0%-6.9%
Q3 2021+3.6%+5.5%+4.8%
Q2 2021-7.2%-2.0%-13.5%
Q1 2021-0.6%-5.9%-5.0%
Q4 2020-0.4%-3.5%+13.1%
Q3 2020+5.1%+8.4%+9.4%
Q2 2020+4.1%+7.7%+12.0%
Q1 2020+6.5%-0.3%+14.1%
Q4 2019+5.5%-5.4%-45.3%
Q3 2019+2.9%+9.4%-2.1%
Q2 2019+2.0%+5.2%-8.0%
Q1 2019+9.0%+9.1%-10.8%
Q4 2018-3.8%+22.0%+7.2%
Q3 2018+0.5%+2.9%-14.2%
Q2 2018+4.0%+9.4%+0.4%
Q1 2018+16.6%+14.4%+20.3%
Q4 2017-10.9%-18.6%-7.7%
Q3 2017+9.7%+7.2%+18.4%
Q2 2017+16.4%+12.6%+11.7%
Q1 2017+14.9%+15.5%+4.8%
Q4 2016-11.8%-8.9%-12.4%
Q3 2016-26.6%-29.6%-17.8%
Q2 2016+21.9%+23.8%+46.1%
Q1 2016+4.7%
Q4 2015+12.6%
Q3 2015-22.1%
Q2 2015-2.0%
Q1 2015+12.2%
Q4 2014+12.2%
Q2 2014-49.8%
Q1 2014-49.8%
Q3 2014-49.8%
Q4 2013-9.6%
Q3 2013-12.1%
Q2 2013+15.3%
Q1 2013+0.8%
Q4 2012+0.3%
Q3 2012+14.0%
Q2 2012+17.5%
Q1 2011-7.1%
Q4 2011-7.1%
Q1 2012-1.1%
Q3 2010+1.2%
Q3 2011+1.2%
Q4 2010-4.5%
Q2 2010-4.5%
Q2 2011-4.5%
Q1 2010

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