Magnachip Semiconductor Corporation reported first-quarter 2026 revenue from continuing operations of $46.2 million, near the midpoint of its guidance range and up 13.9% sequentially and 3.3% year-over-year.
Gross margin from continuing operations reached 15.6%, above the midpoint of guidance and up from 9.3% in the previous quarter, though below the 20.9% reported in the prior-year period. The company reported a GAAP operating loss of $7.2 million and a loss from continuing operations of $4.7 million, or $0.13 per share. On a non-GAAP basis, adjusted operating loss was $6.5 million and adjusted EBITDA was negative $3.6 million.
CEO Camillo Martino said the company delivered better-than-seasonal revenue growth, supported by execution and prior inventory and channel actions. He noted that Magnachip is showing early progress in its multi-year transformation, supported by the 55 new-generation products launched in 2025 and an accelerated pace of product development.
Recent product highlights include the launch of an 8th-generation ultra-low Rss(on) 12 V BatteryFET for smartphone battery efficiency, as well as 8th-generation 40 V and 60 V medium-voltage MOSFETs for servers and high-performance PCs. Magnachip said it remains on track to launch 55 new-generation products in 2026.
For the second quarter of 2026, Magnachip expects revenue from continuing operations between $44.5 million and $48.5 million, roughly flat sequentially at the midpoint and down 2.3% year-over-year. Gross margin is expected to improve to a range of 17% to 19%.
From a market perspective, the results suggest early stabilization in Magnachip’s power semiconductor business, with server, PC and mobile power devices forming key areas of focus. The company’s transformation remains centered on improving product competitiveness, utilization and margins through new-generation power solutions.
Original – Magnachip Semiconductor