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/Mis Actual Consensu

s s

Estimate

Q2 Net $323,000

Income

Q2 -$2.09

Adjusted mln

EBITDA

Q2 Gross 20.4%

Margin

Q2 -$5.62

Adjusted mln

EBIT

Q2 -$7.44

Operatin mln

g Income

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 ( MX ) is $6.00, about 29% above its July 30 closing price of $4.26

Press Release:

(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.)