Magnachip Semiconductor Q2 revenue rises, cuts FY sales forecast

MagnaChip Semiconductor

31/07/2025 21:42

Overview

Magnachip Q2 2025 revenue rises 8.1% yr/yr

Gross profit margin at 20.4%, within company's guidance range

Outlook

Company expects Q3 revenue between $44 mln and $48 mln

Sees Q3 sales drop at mid-point due to pull-ins in Q2, competitive pricing pressure on older generation products

Magnachip forecasts Q3 gross margin of 18.5% to 20.5%

Company anticipates flat 2025 revenue vs previous forecast of mid-to-high single digit growth, due to macro challenges

Magnachip revises 2025 gross margin to 19% to 20%

Result Drivers

PAS GROWTH - Revenue from communication applications rose 46.7% yr/yr, accounting for 20% of PAS (Power Analog Solutions) revenue

COMPUTING APPLICATIONS - Revenue from computing applications increased 45.1% yr/yr, representing 8% of PAS revenue

PIC DEMAND - Power IC (PIC) business grew 11.1% yr/yr, driven by TV-LED and OLED power ICs

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Net Income
$323,000
Q2 Adjusted EBITDA
-$2.09 mln
Q2 Gross Margin
20.4%
Q2 Adjusted EBIT
-$5.62 mln
Q2 Operating Income
-$7.44 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the semiconductors peer group is "buy"

Wall Street's median 12-month price target for MagnaChip Semiconductor Corp is $6.00, about 29% above its July 30 closing price of $4.26

Press Release: ID:nBw5wJXNPa

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)