GCT Semiconductor (NYSE:GCTS) Issues Quarterly Earnings Results

GCT Semiconductor (NYSE:GCTS) released its quarterly earnings data on Thursday. The company reported ($0.08) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.14) by $0.06, FiscalAI reports. The company had revenue of $1.07 million for 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%

Shares of GCT Semiconductor stock traded down $0.07 during trading hours on Thursday, reaching $1.52. The stock had a trading volume of 2,370,804 shares, compared to its average volume of 2,015,659. The stock’s 50 day moving average is $1.74 and its 200 day moving average is $1.82. GCT Semiconductor has a twelve month low of $0.95 and a twelve month high of $3.93. The firm has a market capitalization of $139.98 million, a PE ratio of -1.90 and a beta of 1.85.

Analyst Upgrades and Downgrades

A number of analysts have recently commented on GCTS shares. Wall Street Zen downgraded GCT Semiconductor from a “hold” rating to a “sell” rating in a research note on Monday, August 17th. Weiss Ratings upgraded GCT Semiconductor from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Thursday, October 29th. Two investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company’s stock. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $3.50.

GCT Semiconductor Company Profile

GCT Semiconductor is a fabless semiconductor company that develops wireless connectivity chips and related solutions. Its products are designed for cellular applications, including 4G LTE, 5G and the Internet of Things. The company’s offerings include modem and radio-frequency technologies used in devices such as mobile broadband equipment, routers and connected products. GCT works with customers and partners that incorporate its chipsets into wireless devices and systems. Founded in 1998, GCT serves customers in the global wireless communications market.