South Korea's Magnachip Q3 gross margin falls on FX movements
MX•MX•MX•MX•Magnachip's Q3 net sales fell 4.3% year over year, while gross margin was 14.0%, below guidance, mainly because of foreign exchange movements. The company announced a $5 million strategic equity investment from Navitas Semiconductor and forecast Q4 revenue of $41 million to $45 million and gross margin of 10% to 12%.
Magnachip's Q3 net sales declined 4.3% year over year, within its guidance range. Gross margin was 14.0%, primarily hurt by unfavorable foreign exchange movements and costs related to an electrical substation upgrade at its Gumi fabrication facility. The company reported a net loss of $12.54 million and adjusted EBITDA of negative $3.50 million.
Magnachip expects Q4 consolidated revenue of $41.0 million to $45.0 million and gross profit margin of 10% to 12%. It also announced a $5 million strategic equity investment from Navitas Semiconductor and said it launched 15 sixth-generation E6 Super-Junction MOSFETs for consumer and industrial applications.
