GCT Semiconductor (NYSE:GCTS) Releases Earnings Results

GCT Semiconductor (NYSE:GCTS) announced its quarterly earnings data on Thursday. The company reported ($0.08) earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of ($0.14) by $0.06, FiscalAI reports. The firm had revenue of $1.07 million during the quarter, compared to analysts’ expectations of $1.31 million.

Here are the key takeaways from GCT Semiconductor’s conference call:

• GCT shipped more than 3,200 5G chipsets in Q3 and over 11,300 year to date, while adding a customer developing terrestrial geolocation technology. It also received a 150,000-unit order for a 4G private-network tablet application, with 18% shipped during the quarter.
• Customer integration is taking longer than expected, pushing the anticipated 5G volume ramp into the first half of 2027. Most programs remain in pre-production or sampling; management expects Q4 revenue to be flat to up, with more significant growth later.
• Q3 revenue rose 149% year over year to $1.1 million, gross loss narrowed to $0.1 million from $1.1 million, and adjusted EBITDA loss improved to $6.5 million from $7.0 million a year earlier. Management said the quarter’s gross margin is not indicative of future product profitability as 5G sales grow.
• Gross margins remained negative, and the $7.4 million net loss included a $6.2 million gain from warrant revaluation and a $5.4 million foreign-currency loss, making the bottom-line result sensitive to non-operating items.
• Cash and cash equivalents were $17.2 million, while operating cash use fell to $8.5 million from $16.6 million in Q2. The company also extended maturities on $26.5 million of loans by one year and said its secured production capacity and current inventory and work in progress cover the first half of 2027.

GCT Semiconductor Trading Down 4.3%

GCTS traded down $0.07 during trading on Thursday, reaching $1.52. 2,370,804 shares of the company traded hands, compared to its average volume of 2,015,659. GCT Semiconductor has a 12-month low of $0.95 and a 12-month high of $3.93. The firm has a fifty day simple moving average of $1.74 and a 200 day simple moving average of $1.82.

Analyst Ratings Changes

GCTS has been the topic of a number of analyst reports. Weiss Ratings upgraded shares of GCT Semiconductor from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Thursday, October 29th. Wall Street Zen lowered GCT Semiconductor from a “hold” rating to a “sell” rating in a research note on Monday, August 17th. Two equities research analysts have rated the stock with a Buy rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the company has a consensus rating of “Hold” and an average target price of $3.50.

About GCT Semiconductor

GCT Semiconductor Holding, Inc. is a fabless semiconductor company that develops integrated circuit solutions for wireless communications. Its technology is designed to support broadband connectivity across 4G LTE and 5G networks, serving communications equipment manufacturers and network operators. The company’s product portfolio includes modem chipsets, radio-frequency transceivers and related semiconductor solutions for applications such as fixed wireless access, mobile broadband, small cells and other connected devices.