MAGNACHIP SEMICONDUCTOR Corp Files 10-Q for Period Ending March 31, 2024

Ticker: MX · Form: 10-Q · Filed: May 10, 2024 · CIK: 1325702

Sentiment: neutral

Topics: 10-Q, Magnachip Semiconductor, Quarterly Report, Financials, SEC Filing

TL;DR

<b>Magnachip Semiconductor Corp. has filed its Q1 2024 10-Q report, detailing financial performance and asset information for the periods ending March 31, 2024, and March 31, 2023.</b>

AI Summary

MAGNACHIP SEMICONDUCTOR Corp (MX) filed a Quarterly Report (10-Q) with the SEC on May 10, 2024. Magnachip Semiconductor Corp. filed a 10-Q report for the period ending March 31, 2024. The filing covers the first quarter of fiscal year 2024. The company's fiscal year ends on December 31st. The filing includes data for the periods ending March 31, 2024, and March 31, 2023. Key financial data points and asset information are detailed for these periods.

Why It Matters

For investors and stakeholders tracking MAGNACHIP SEMICONDUCTOR Corp, this filing contains several important signals. This 10-Q filing provides investors with the latest quarterly financial results and operational updates for Magnachip Semiconductor Corp. The detailed financial statements and disclosures in this report are crucial for understanding the company's current financial health and performance trends.

Risk Assessment

Risk Level: medium — MAGNACHIP SEMICONDUCTOR Corp shows moderate risk based on this filing. The filing is a standard quarterly report (10-Q), which typically contains routine financial information. However, the absence of specific financial performance metrics in the provided header data prevents a more precise risk assessment.

Analyst Insight

Review the detailed financial statements and management's discussion and analysis within the full 10-Q filing to assess Magnachip Semiconductor Corp.'s financial performance and outlook.

Key Numbers

Key Players & Entities

FAQ

When did MAGNACHIP SEMICONDUCTOR Corp file this 10-Q?

MAGNACHIP SEMICONDUCTOR Corp filed this Quarterly Report (10-Q) with the SEC on May 10, 2024.

What is a 10-Q filing?

A 10-Q is a quarterly financial report with unaudited financials, management discussion, and interim business updates. This particular 10-Q was filed by MAGNACHIP SEMICONDUCTOR Corp (MX).

Where can I read the original 10-Q filing from MAGNACHIP SEMICONDUCTOR Corp?

You can access the original filing directly on the SEC's EDGAR system. The filing is publicly available and includes all exhibits and attachments submitted by MAGNACHIP SEMICONDUCTOR Corp.

What are the key takeaways from MAGNACHIP SEMICONDUCTOR Corp's 10-Q?

MAGNACHIP SEMICONDUCTOR Corp filed this 10-Q on May 10, 2024. Key takeaways: Magnachip Semiconductor Corp. filed a 10-Q report for the period ending March 31, 2024.. The filing covers the first quarter of fiscal year 2024.. The company's fiscal year ends on December 31st..

Is MAGNACHIP SEMICONDUCTOR Corp a risky investment based on this filing?

Based on this 10-Q, MAGNACHIP SEMICONDUCTOR Corp presents a moderate-risk profile. The filing is a standard quarterly report (10-Q), which typically contains routine financial information. However, the absence of specific financial performance metrics in the provided header data prevents a more precise risk assessment.

What should investors do after reading MAGNACHIP SEMICONDUCTOR Corp's 10-Q?

Review the detailed financial statements and management's discussion and analysis within the full 10-Q filing to assess Magnachip Semiconductor Corp.'s financial performance and outlook. The overall sentiment from this filing is neutral.

Risk Factors

Key Dates

Filing Stats: 4,475 words · 18 min read · ~15 pages · Grade level 19.1 · Accepted 2024-05-10 16:21:35

Key Financial Figures

Filing Documents

FINANCIAL INFORMATION

PART I FINANCIAL INFORMATION 3 Item 1. Interim Consolidated Financial Statements (Unaudited) 3 Magnachip Semiconductor Corporation and Subsidiaries Consolidated Balance Sheets as of March 31, 2024 and December 31, 2023 3 Magnachip Semiconductor Corporation and Subsidiaries Consolidated Statements of Operations for the Three Months Ended March 31, 2024 and 2023 4 Magnachip Semiconductor Corporation and Subsidiaries Consolidated Statements of Comprehensive Loss for the Three Months Ended March 31, 2024 and 2023 5 Magnachip Semiconductor Corporation and Subsidiaries Consolidated Statements of Changes in Stockholders' Equity for the Three Months Ended March 31, 2024 and 2023 6 Magnachip Semiconductor Corporation and Subsidiaries Consolidated Statements of Cash Flows for the Three Months Ended March 31, 2024 and 2023 7 Magnachip Semiconductor Corporation and Subsidiaries Notes to Consolidated Financial Statements 8 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 24 Item 3.

Quantitative and Qualitative Disclosures About Market Risk

Quantitative and Qualitative Disclosures About Market Risk 44 Item 4.

Controls and Procedures

Controls and Procedures 45

OTHER INFORMATION

PART II OTHER INFORMATION 46 Item 1.

Legal Proceedings

Legal Proceedings 46 Item 1A.

Risk Factors

Risk Factors 46 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 47 Item 3. Defaults Upon Senior Securities 47 Item 4. Mine Safety Disclosures 47 Item 5. Other Information 47 Item 6. Exhibits 48

—FINANCIAL INFORMATION

PART I—FINANCIAL INFORMATION Item1. Interim Consolidated Financial Statements (Unaudited) MAGNACHIP SEMICONDUCTOR CORPORATION AND SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (Unaudited) March 31, 2024 December 31, 2023 (In thousands of U.S. dollars, except share data) Assets Current assets Cash and cash equivalents $ 171,602 $ 158,092 Accounts receivable, net 30,288 32,641 Inventories, net 31,479 32,733 Other receivables 5,041 4,295 Prepaid expenses 10,255 7,390 Hedge collateral (Note 6) 1,000 1,000 Other current assets (Note 16) 8,550 9,283 Total current assets 258,215 245,434 Property, plant and equipment, net 92,868 100,122 Operating lease right-of-use assets 4,538 4,639 Intangible assets, net 1,391 1,537 Long-term prepaid expenses 9,297 5,736 Deferred income taxes 47,669 50,836 Other non-current assets 12,186 12,187 Total assets $ 426,164 $ 420,491 Liabilities and Stockholders' Equity Current liabilities Accounts payable $ 24,619 $ 24,443 Other accounts payable 5,650 5,292 Accrued expenses (Note 5) 7,951 10,457 Accrued income taxes 1,622 1,496 Operating lease liabilities 1,884 1,914 Other current liabilities 3,158 3,286 Total current liabilities 44,884 46,888 Long-term borrowing 29,700 — Accrued severance benefits, net 15,503 16,020 Non-current operating lease liabilities 2,808 2,897 Other non-current liabilities 11,384 10,088 Total liabilities 104,279 75,893 Commitments and contingencies (Note 16) Stockholders' equity Common stock, $ 0.01 par value, 150,000,000 shares authorized, 57,008,573 shares issued and 38,263,642 outstanding at March 31, 2024 and 56,971,394 shares issued and 38,852,742 outstanding at December 31, 2023 569 569 Additional paid-in capital 274,156 273,256 Retained earnings 283,467 298,884 Treasury stock, 18,744,931 shares at March 31, 2024 and 18,118,652 shares at December

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (TABULAR DOLLARS IN THOUSANDS, EXCEPT SHARE DATA) 1. Business, Basis of Presentation and Significant Accounting Policies

Business

Business Magnachip Semiconductor Corporation (together with its subsidiaries, the "Company") is a designer and manufacturer of analog and mixed- signal semiconductor platform solutions for communication, Internet of Things ("IoT"), consumer, computing, industrial and automotive applications. The Company's standard products business consists of two business lines: one is the Mixed-Signal Solutions ("MSS") business line, which comprises the display integrated circuit ("IC") and power IC businesses that are fabless, and the other is the Power Analog Solutions ("PAS") business line, which comprises the power discrete business which is an integrated device manufacturing ("IDM") business. Display IC products provide panel display solutions to major suppliers of large and small rigid and flexible panel displays, and a wide range of applications, including smartphones, televisions, automotive and IT applications, such as monitors, notebook PCs and tablet PCs, as well as AR/VRs. Power IC products provide power IC solutions to major television suppliers and large panel display suppliers. The PAS business line produces power management semiconductor products, including power discrete solutions for power management in communication, consumer, computing, servers, automotive and industrial applications. On September 1, 2020, the Company completed the sale of the Company's Foundry Services Group business and its fabrication facility located in Cheongju, Korea, known as "Fab 4", to SK keyfoundry Inc., a Korean company ("SK keyfoundry"). Following the consummation of the sale, the Company provided SK keyfoundry with transitional foundry services associated with its fabrication facility located in Gumi, Korea, known as "Fab 3", at an agreed upon cost plus mark-up (the "Transitional Fab 3 Foundry Services"). The contractual obligation to provide the Transitional Fab 3 Foundry Services ended on August 31, 2023, and the Company is winding down these foundry services and planning

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