Wolfspeed, Inc. announced its results for the third quarter of fiscal 2024.

Quarterly Financial Highlights (Continuing operations only. All comparisons are to the third quarter of fiscal 2023):

  • Consolidated revenue of approximately $201 million, compared to approximately $193 million
    ◦ Mohawk Valley Fab contributed approximately $28 million in revenue, over a 2x increase from the prior quarter
    ◦ Materials revenue of approximately $99 million – second highest quarter on record
  • Power device design-ins of $2.8 billion
  • Quarterly design-wins of $0.9 billion – 70% related to EV applications
  • GAAP gross margin of 11%, compared to 31%
  • Non-GAAP gross margin of 15%, compared to 34%
    ◦ GAAP and non-GAAP gross margins for the third quarter of fiscal 2024 include the impact of $30 million of underutilization costs, representing approximately 1,500 basis points of gross margin. See “Start-up and Underutilization Costs” below for additional information.

“We are pleased with the significant operational milestones achieved in the quarter for Wolfspeed as we continue to be the world’s first fully, vertically integrated 200-millimeter silicon carbide player at scale,” said Wolfspeed CEO, Gregg Lowe.

“We are making progress on our Mohawk Valley ramp, more than doubling revenue sequentially in the quarter and reaching more than 16% wafer start utilization in April, giving us confidence in our ability to achieve our 20% utilization target in June 2024. Construction continues at the JP, our 200mm materials factory in North Carolina. During the quarter, we started installing furnaces and connected the facility to the power grid, and we recently hosted our topping out ceremony. As we’ve said before, Mohawk Valley will be the flywheel of growth for Wolfspeed, and the JP will be instrumental in supplying it with high-quality materials. We are encouraged by the operational progress these facilities have made and how it will support our long-term growth trajectory.”

Lowe continued, “While there have been headlines around general demand weakness in EVs, we still have more demand than we can supply for the foreseeable future. Our second highest quarter of design-ins to date and more than $5 billion of designwins so far this fiscal year, tell a compelling story. While the industrial and energy end markets pose short-term headwinds to our results, we firmly believe in the strength of our long-term prospects as the electrification of all things continues across a broad set of applications.”

Original – Wolfspeed