Magnachip Semiconductor Corp (MX) 2024 Q4 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Magnachip Semiconductor Corporation fourth-quarter 2024 earnings conference call. (Operator Instructions) Please be advised that today's conference is being recorded.

您好，感謝您的支持。歡迎參加 Magnachip 半導體公司 2024 年第四季財報電話會議。（操作員指示）請注意，今天的會議正在錄音。

I would now like to hand the conference over to your speaker today, Steven Pelayo, Investor Relations. Please go ahead.

現在，我想將會議交給今天的發言人、投資者關係部門的 Steven Pelayo。請繼續。

Great. Thank you. Hello, everyone. Thank you for joining us to discuss Magnachip's financial results for the fourth quarter and full year ended December 31, 2024. The fourth-quarter earnings release that was issued today before the market opened can be found on the company's Investor Relations website. A webcast replay of today's call will be archived on our website shortly afterwards.

偉大的。謝謝。大家好。感謝您加入我們討論 Magnachip 截至 2024 年 12 月 31 日的第四季度和全年財務業績。今天開市前發布的第四季財報可以在公司的投資人關係網站上找到。今天電話會議的網路直播回放將很快存檔在我們的網站上。

Joining me today are YJ Kim, Magnachip's Chief Executive Officer; and Shinyoung Park, our Chief Financial Officer. YJ will discuss the company's recent operating performance and business overview, and Shinyoung will review financial results for the quarter and provide guidance for the first quarter and full year of 2025. There will be a Q&A session following the prepared remarks.

今天與我一起出席的還有 Magnachip 執行長 YJ Kim；以及我們的財務長 Shinyoung Park。YJ 將討論公司近期的經營業績和業務概況，而 Shinyoung 將回顧本季的財務業績並為 2025 年第一季和全年提供指導。準備好的發言之後將會有問答環節。

During the course of this conference call, we may make forward-looking statements about Magnachip's business outlook and expectations. Our forward-looking statements and all other statements that are not historical facts reflect our beliefs and predictions as of today and, therefore, are subject to risk and uncertainty that's described in the Safe Harbor statement found in our SEC filings.

在本次電話會議期間，我們可能會對 Magnachip 的業務前景和預期做出前瞻性陳述。我們的前瞻性陳述和所有其他非歷史事實的陳述反映了我們今天的信念和預測，因此，受到我們提交給美國證券交易委員會的文件中的安全港聲明中所述的風險和不確定性的影響。

Such statements are based upon information available to the company as of the date hereof and are subject to change for future developments. Except as required by law, the company does not undertake any obligation to update these statements.

此類聲明基於公司截至本文發布之日所掌握的信息，可能會因未來發展而發生變化。除法律另有規定外，本公司不承擔更新這些聲明的任何義務。

During the call, we will also discuss non-GAAP financial measures. The non-GAAP measures are not prepared in accordance with generally accepted accounting principles but are intended as supplemental measures of Magnachip's operating performance that may be useful to investors. A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP measures can be found in our fourth-quarter earnings release in the Investor Relations section of our website.

在電話會議中，我們也將討論非公認會計準則財務指標。非公認會計準則指標並非依照公認會計原則編制，而是旨在作為 Magnachip 經營績效的補充指標，可能對投資者有用。在我們網站的投資者關係部分的第四季財報中，可以找到非 GAAP 財務指標與最直接可比較的 GAAP 指標的對帳表。

So with that, I'll now turn the call over to YJ Kim. YJ?

因此，我現在將電話轉給 YJ Kim。YJ？

Hello, everyone, and thank you for joining us today. And welcome to Magnachip's Q4 earnings call. In addition to sharing Q4 earnings results, Magnachip management and the Board of Directors today announced a new strategy to become a pure-play power company, focusing its investments on the power discrete and power IC businesses to drive profitability and maximize shareholder value.

大家好，感謝大家今天加入我們。歡迎參加 Magnachip 第四季財報電話會議。除了分享第四季度的獲利結果外，Magnachip 管理層和董事會今天還宣布了一項新策略，即成為一家純粹的電源公司，專注於電源分立裝置和電源 IC 業務，以提高獲利能力並實現股東價值最大化。

We will host a separate sell-side analyst briefing later this morning to provide additional color on our strategy. As part of that strategy, we also announced today that Magnachip is exploring all possible strategic options for the display business. This was an extremely difficult decision for me, the management team, and the Board of Directors when considering both our valued customers and employees.

我們將於今天上午稍晚舉行單獨的賣方分析師簡報會，以進一步闡述我們的策略。作為該策略的一部分，我們今天還宣布，Magnachip 正在探索顯示器業務的所有可能的戰略選擇。對我、管理團隊和董事會來說，考慮到我們尊貴的客戶和員工，這是一個極其艱難的決定。

While we have a rich and competitive portfolio of OLED display technology, after a careful review of our business outlook, we've determined that the greatest potential for profitable growth lies with our power solutions business, including power discrete and power IC. Achieving profitability is our highest priority and in the best interest of our shareholders and other stakeholders.

雖然我們擁有豐富且具競爭力的 OLED 顯示技術組合，但經過仔細審查我們的業務前景後，我們確定獲利成長的最大潛力在於我們的電源解決方案業務，包括電源分立裝置和電源 IC。實現獲利是我們的首要任務，也符合股東和其他利害關係人的最佳利益。

As a sign of my own personal commitment to the long-term success of Magnachip's new strategy, I'm voluntarily cutting my current base salary by 20%. And Shinyoung Park, our CFO, has also agreed to a 10% voluntary decrease of her current base salary until such time as Magnachip achieves positive GAAP operating income for two consecutive quarters.

為了表明我個人對 Magnachip 新策略長期成功的承諾，我自願將我目前的基本薪資削減 20%。我們的財務長 Shinyoung Park 也同意自願將其當前基本工資降低 10%，直到 Magnachip 連續兩個季度實現正的 GAAP 營業收入。

Unlike the display business, which primarily is served by a few panel customers, Magnachip's power business caters to a broad array of industries and customers that we believe have more stable long-term growth prospects. We therefore have launched a strategic process for the display business.

與主要由少數面板客戶提供服務的顯示器業務不同，Magnachip 的電源業務面向廣泛的行業和客戶，我們認為這些業務具有更穩定的長期成長前景。因此，我們啟動了顯示器業務的策略流程。

While our goal is to complete this process by end of Q2 2025, the display business will be classified as discontinued operations beginning with our Q1 2025 financials. Shinyoung will explain this in greater detail later in the call.

雖然我們的目標是在 2025 年第二季末完成此流程，但從 2025 年第一季財務資料開始，顯示器業務將被歸類為已停止的業務。Shinyoung 將在稍後的通話中更詳細地解釋這一點。

As mentioned previously, our utmost short-term goal is a return to profitability. By focusing on the power business, our goal is that Magnachip's business from continuing operations will achieve quarterly adjusted EBITDA break-even by the end of Q4 2025, followed by positive adjusted operating income in 2026 and positive adjusted free cash flow in 2027.

如前所述，我們最大的短期目標是恢復獲利。透過專注於電力業務，我們的目標是使 Magnachip 的持續經營業務在 2025 年第四季末實現季度調整後 EBITDA 收支平衡，隨後在 2026 年實現正調整後營業收入，在 2027 年實現正調整後自由現金流。

Each of these targets will act as a milestone towards achieving a goal in three years to reach a $300 million annual revenue runway with a 30% gross margin target. We are calling this three-year objective our 3-3-3 strategy.

每個目標都將成為實現三年內年收入 3 億美元、毛利率 30% 目標的里程碑。我們將這個三年目標稱為「3-3-3」策略。

Magnachip's power business is now entering a new phase that we call Phase 3. During Phase 1 was our initial market entry and foundation period between 2007 and 2012 and primary focus on mobile phones. Phase 2 was our market expansion into consumer home appliances, computing, smartphones, e-bikes, solar, and lighting.

Magnachip 的電源業務現在正進入一個新階段，我們稱之為第三階段。第一階段是我們最初的市場進入和奠定基礎的時期，從2007年到2012年，主要專注於手機。第二階段，我們將市場拓展至消費性家電、電腦、智慧型手機、電動自行車、太陽能和照明領域。

Most of these efforts were aimed at a small portion of the performance segment serving up to 10 kilowatts. Many of our greatest success were in sub-1 kilowatt applications such as TVs, smartphones, and e-bikes.

這些努力大部分都針對功率高達 10 千瓦的一小部分性能領域。我們最大的成功大多發生在功率低於 1 千瓦的應用領域，例如電視、智慧型手機和電動自行車。

For Phase 3, we are expanding our addressable markets into larger and higher performance markets. These include additional industrial segments such as energy storage, automation, and robotics as well as automotive and AI data center opportunities up to 100,000 kilowatts and above.

對於第三階段，我們正在將我們的目標市場擴展為更大、性能更高的市場。其中包括能源儲存、自動化和機器人等其他工業領域以及高達 100,000 千瓦及以上的汽車和人工智慧資料中心機會。

Our Phase 3 strategy is underway now with today's launch of a series of next-generation power products including Gen5 and Gen6 IGBT, Gen6 superjunction MOSFETs, and Gen8 medium and low-voltage MOSFETs. We expect to release over 40 new generation Phase 3 power products in 2025 with 27 new generation products launching in Q4 2025 with fully qualified commercial samples available.

我們的第三階段策略正在進行中，今天推出了一系列新一代電源產品，包括第五代和第六代 IGBT、第六代超結 MOSFET 以及第八代中低壓 MOSFET。我們預計將在 2025 年發布 40 多種新一代第三階段電源產品，其中 27 款新一代產品將於 2025 年第四季推出，並提供完全合格的商業樣品。

Launching in Q1.

將於第一季推出。

Q1 2025, sorry, launching right now in Q1 2025. And with our current product pipeline, we expect to increase the number of Phase 3 new generation power products to approximately 55 that we expect to introduce in 2026 versus 2025.

2025 年第一季度，抱歉，現在就將於 2025 年第一季推出。憑藉我們目前的產品線，我們預計第三階段新一代電力產品的數量將增加到約 55 種，並計劃於 2026 年（而非 2025 年）推出。

We expect new generation power products to drive higher revenue per wafer at our Gumi Fab. For example, our Gen6 superjunction power devices not only deliver superior performance compared to the previous generation, but will also offer 30% more die per wafer. Therefore, these new products when fully ramped will drive meaningfully higher gross margins compared to the previous generation.

我們預期新一代電源產品將推動龜尾工廠每片晶圓的收入更高。例如，我們的第六代超結功率元件不僅比上一代產品具有更優異的性能，而且每片晶圓的晶片數量還可增加 30%。因此，這些新產品全面投產後，其毛利率將比上一代產品顯著提高。

These innovative product families will open new high-value market opportunities for Magnachip such as automotive, industrial, and AI applications. We are targeting automotive, industrial, and AI to represent more than 60% of Magnachip's future product mix, up from 30% in 2024. Notably --

這些創新產品系列將為 Magnachip 開闢新的高價值市場機會，例如汽車、工業和人工智慧應用。我們的目標是，汽車、工業和人工智慧將佔 Magnachip 未來產品組合的 60% 以上，高於 2024 年的 30%。尤其--

Up from 37%.

高於 37%。

Sorry, up from 37% in 2024. Notably, we already have ongoing engagement to penetrate automotive market, which we expect to reach over 10% of our revenue by 2027 from less than 5% of our revenue in 2024.

抱歉，比 2024 年的 37% 有所上升。值得注意的是，我們已經持續致力於進軍汽車市場，預計到 2027 年汽車市場的收入佔比將從 2024 年的不到 5% 增長至 10% 以上。

To support this transition to high-performance new generation products, we will invest $65 million to $70 million over the next three years to upgrade production equipment at our manufacturing facility in Gumi. When these new power products enter production, we anticipate top-line growth and meaningful bottom-line improvement.

為了支持向高性能新一代產品的過渡，我們將在未來三年內投資 6,500 萬至 7,000 萬美元來升級龜尾製造工廠的生產設備。當這些新型電力產品投入生產時，我們預計營業額將會成長，利潤也將顯著改善。

By the end of 2026, we expect almost half of our manufacturing capacity in the Gumi Fab will come from these new generation of products. We will discuss all of this in greater detail at today's analyst briefing. Now let's step back and review Q4 and 2024 results.

到 2026 年底，我們預期龜尾工廠近一半的製造能力將來自這些新一代產品。我們將在今天的分析師簡報會上更詳細地討論所有這些問題。現在讓我們回顧一下第四季和 2024 年的業績。

Q4 revenue was $63 million, up 24% year over year and down 5.1% sequentially. Consolidated Q4 revenue was above the midpoint of our guidance range of $59.0 million to $64.0 million.

第四季營收為 6,300 萬美元，年增 24%，季減 5.1%。第四季綜合收入高於我們預期範圍的中點 5,900 萬美元至 6,400 萬美元。

Consolidated Q4 gross profit margin of 25.2% was up 2.5 percentage points year over year and up 1.9 percentage points sequentially. The overall gross margin result exceeded our guidance range of 21.5% to 23.5%. Shinyoung will provide more details in her section.

第四季綜合毛利率為25.2%，較去年成長2.5個百分點，較上季成長1.9個百分點。整體毛利率超過了我們21.5%至23.5%的預期範圍。Shinyoung 將在她的部分提供更多詳細資訊。

Revenue in Q4 for our standard products business was $60.7 million, up 47.5% year over year and down 5.1% sequentially. Standard products business gross margin was 26.6%, up 2.2 percentage points sequentially.

我們標準產品業務第四季的營收為 6,070 萬美元，年增 47.5%，季減 5.1%。標準產品業務毛利率為26.6%，較上季上升2.2個百分點。

On a full-year basis, consolidated revenue increased 0.7% in calendar 2024 versus 2023. Excluding Transitional Foundry Services, our standard product business increased 13% year over year with MSS up 22.5% and PAS up 10.2%. Both of these business line growth rates were in line with our guidance for double-digit growth provided at the beginning of 2024.

從全年來看，2024 年綜合收入較 2023 年成長 0.7%。不包括過渡代工服務，我們的標準產品業務年增 13%，其中 MSS 成長 22.5%，PAS 成長 10.2%。這兩條業務線的成長率均符合我們在 2024 年初提供的兩位數成長預期。

Now I'll provide more details by business line. Reported PAS revenue was $43.5 million, up 33.2% year over year and down 8.7% quarter over quarter. The year-over-year increase was primarily driven by the expansion of high-end mobility and battery management systems in China, deeper penetration within Korea smartphone, as well as increased market share.

現在我將按業務線提供更多詳細資訊。報告的 PAS 收入為 4,350 萬美元，年增 33.2%，較上季下降 8.7%。年比成長主要得益於中國高階行動和電池管理系統的擴張、韓國智慧型手機的進一步滲透以及市場份額的增加。

The sequential decline was mostly due to seasonality in each of our market segments, except in communication where we enjoyed meaningful quarter-on-quarter growth. Within standard products, PAS represented 71.5% of revenue in Q4.

環比下降主要是由於我們各個細分市場的季節性影響，但通訊領域除外，該領域實現了顯著的環比增長。在標準產品中，PAS 佔第四季營收的 71.5%。

The industrial market remained stable to slightly down in 2024 and represented 39% of PAS revenue, a shift towards high-speed e-motors, and battery management systems with higher bump content offset decline in e-bike demand. Similarly, growth in solar pumps offset weaker solar inverter sales. LED lighting remained steady, while power tools, including welders, experienced strong growth.

2024 年，工業市場保持穩定並略有下降，佔 PAS 收入的 39%，向高速電動馬達的轉變以及具有更高碰撞內容的電池管理系統抵消了電動自行車需求的下降。同樣，太陽能水泵的成長抵消了太陽能逆變器銷售的疲軟。LED照明保持穩定，而包括焊接機在內的電動工具則經歷了強勁增長。

From a product perspective, we benefit from design wins for our Gen5 and Gen6 IGBT and superjunction products in solar and motor drive applications. Despite modest year-over-year growth, our revenue in the industrial market outperformed competitors driven by our diversified end market strategy.

從產品角度來看，我們的 Gen5 和 Gen6 IGBT 以及超結產品在太陽能和馬達驅動應用中的設計勝利使我們受益匪淺。儘管同比成長不大，但在多元化終端市場策略的推動下，我們在工業市場的收入優於競爭對手。

In consumer, we achieved high single-digit growth driven by trends in home appliances for broadening array of products, including refrigerators, cooktops, and a new design win in Q4 for air purifiers. TVs were relatively flat year on year with notable strength in Korea offset by declines elsewhere. Overall, the consumer market accounted for 35% of PAS revenue in 2024.

在消費領域，我們實現了高個位數成長，這得益於家用電器產品種類不斷擴大的趨勢，包括冰箱、爐灶以及第四季度的空氣清淨​​機新設計。電視銷量與去年同期相比基本持平，韓國市場的強勁表現抵消了其他地區銷量的下滑。總體而言，到 2024 年，消費市場將佔 PAS 收入的 35%。

The communication market represented 15% of PAS revenue in 2024 and increased more than 50% year over year, fueled by design wins for battery FET in mainstream and flagship portable and AI-enabled smartphones in Korea, along with expanding adoption in wearables, tablets, and AR glasses. Additionally, we gained traction with multiple brands in China and Japan, further strengthening our presence in smartphone, tablet, and wearable markets.

2024 年，通訊市場佔 PAS 收入的 15%，年成長超過 50%，這得益於韓國主流和旗艦便攜式及 AI 智慧型手機中電池 FET 的設計勝利，以及可穿戴設備、平板電腦和 AR 眼鏡的廣泛應用。此外，我們也與中國和日本的多個品牌建立了合作關係，進一步加強了我們在智慧型手機、平板電腦和穿戴式裝置市場的地位。

While a relatively smaller contributor at 8% of PAS revenue, the computing market saw more than 25% growth in calendar 2024 driven by demand from China for PC and laptop power adapters. Finally, the automotive market was less than 5% of PAS revenue in 2024 and outperformed the broad automotive market last year, declining less than 5%.

雖然計算市場對 PAS 收入的貢獻相對較小，僅為 8%，但受中國對 PC 和筆記型電腦電源適配器的需求推動，到 2024 年，計算市場將實現 25% 以上的增長。最後，汽車市場在 2024 年佔 PAS 收入的不到 5%，去年的表現優於整個汽車市場，降幅不到 5%。

We strengthened our position in Korea with new design wins, driving greater market penetration while ramping up production for multiple automotive customers in Japan and China. Our applications span a wide range of vehicle subsystems with a recent design win for heater application with a China OEM. This adds to previous wins in power outlets and idle/stop/go functionality announced last quarter.

我們透過新的設計勝利鞏固了我們在韓國的地位，推動了更大的市場滲透，同時為日本和中國的多個汽車客戶提高了產量。我們的應用涵蓋廣泛的車輛子系統，最近我們贏得了中國 OEM 的加熱器應用設計。這進一步鞏固了上個季度宣布的電源插座和怠速/停止/啟動功能的領先地位。

In summary, the sequential decline in Q4 for PAS was mostly in line with typical seasonal patterns, while the sequential strength in communications was driven by preparation for new product launches. For 2024, the double-digit growth was fairly broad-based driven by communications, consumer, and computing markets, while very slight declines in industrial and automotive relatively outperformed their respective markets.

綜上所述，PAS 第四季的環比下滑基本上符合典型的季節性模式，而通訊業務的環比增長則受到新產品發布準備的推動。2024 年，兩位數的成長相當廣泛，主要由通訊、消費和運算市場推動，而工業和汽車市場的輕微下滑相對優於各自的市場。

As we have mentioned before, we continue to execute on delivering a new -- delivering a strong, new product pipeline for power. We believe many of these new products will have similar performance to Tier 1 suppliers, which will give us an opportunity to penetrate new markets and help fill idle Gumi Fab capacity created by the phaseout of the Transitional Foundry Service business. We will share more details on our power business in the analyst briefing later this morning.

正如我們之前提到的，我們將繼續致力於提供一條新的——一條強大的、新的電力產品線。我們相信，許多新產品的性能將與一級供應商的產品相似，這將使我們有機會打入新市場，並幫助填補因過渡代工服務業務逐步淘汰而產生的龜尾晶圓廠閒置產能。我們將在今天上午稍後的分析師簡報會上分享更多有關我們電力業務的細節。

Turning to MSS. Q4 revenue was $17.3 million, up 102% year over year and up 5.1% sequentially. Including power IC, MSS represented 28.5% of Standard Products revenue and slightly exceeded the high end of our guidance range of $15 million to $17 million.

轉向 MSS。第四季營收為 1,730 萬美元，年增 102%，季增 5.1%。包括電源 IC 在內，MSS 佔標準產品收入的 28.5%，略高於我們 1500 萬美元至 1700 萬美元的指導範圍高端。

Power IC revenue was relatively flat sequentially at $5.4 million and increased 62.4% year over year. On a full-year basis, total MSS revenue increased 22.5% year over year.

電源 IC 營收與上一季持平，為 540 萬美元，年增 62.4%。從全年來看，MSS 總營收年增 22.5%。

Now I will turn the call over to Shinyoung to give you more details of our financial performance in the fourth quarter and provide Q1 and full year 2025 guidance. Shinyoung?

現在，我將把電話轉給 Shinyoung，以便向您提供有關我們第四季度財務業績的更多詳細信息，並提供 2025 年第一季度和全年指導。信英？

Thank you, YJ, and welcome, everyone, on the call. Let's start with the key financial metrics for Q4.

謝謝 YJ，歡迎大家參加電話會議。讓我們從第四季的關鍵財務指標開始。

Total revenue in Q4 was $63 million, which came above the midpoint of our guidance range of $59 million to $64 million. This was up 24% year over year and down 5.1% sequentially.

第四季的總收入為 6,300 萬美元，高於我們預期範圍的中點 5,900 萬美元至 6,400 萬美元。這比去年同期成長了 24%，比上一季下降了 5.1%。

Revenue from MSS business was $17.3 million, slightly exceeding the high end of our guidance range of $15 million to $17 million. This was up 102% year over year and up 5.1% sequentially, primarily due to relative strength in automotive.

MSS 業務的收入為 1730 萬美元，略高於我們 1500 萬美元至 1700 萬美元的指導範圍上限。這一數字比去年同期成長了 102%，比上一季成長了 5.1%，主要原因是汽車產業的相對強勁。

PAS business revenue was $43.5 million and was in line with the midpoint of our guidance range of $42 million to $45 million. This was up 33.2% year over year and down 8.7% sequentially, primarily reflecting seasonality.

PAS 業務收入為 4,350 萬美元，與我們 4,200 萬美元至 4,500 萬美元的指導範圍中點一致。與去年同期相比成長了 33.2%，與上一季相比下降了 8.7%，主要反映了季節性因素。

Revenue from Transitional Foundry Services was down 5.9% sequentially and $2.3 million and down from $9.6 million in Q4 2023 as this business has been wound down as we've explained previously. Consolidated gross profit margin in Q4 was 25.2%, exceeding the high end of our guidance range of 21.5% to 23.5%, up from 22.7% year over year, and up from 23.3% sequentially.

過渡鑄造服務的收入環比下降 5.9%，為 230 萬美元，低於 2023 年第四季的 960 萬美元，因為正如我們之前所解釋的那樣，這項業務已經結束。第四季綜合毛利率為 25.2%，超過我們預期範圍 21.5% 至 23.5% 的上限，高於去年同期的 22.7%，高於上一季的 23.3%。

MSS gross profit margin in Q4 was 41.8%, above the high end of the guidance range of 37.5% to 40.5%, up from 41.3% in Q4 2023, and up from 38.7% in Q3 2024. The year-over-year improvement was primarily attributable to higher automotive and power IC revenue and despite lower-than-expected mobile display revenue.

MSS 第四季毛利率為 41.8%，高於 37.5% 至 40.5% 的指引範圍高端，高於 2023 年第四季的 41.3%，也高於 2024 年第三季的 38.7%。年比成長主要歸因於汽車和電源 IC 收入增加，儘管行動顯示器收入低於預期。

PAS gross profit margin in Q4 was 20.5%, above the guidance range of 17% to 19%, up from 18.1% in Q4 2023, and up from 19.4% in Q3 2024. The upside versus guidance year over year and sequential improvement was mostly due to stronger-than-expected US dollar against the Korean won.

PAS 第四季毛利率為 20.5%，高於 17% 至 19% 的指引範圍，高於 2023 年第四季的 18.1%，也高於 2024 年第三季的 19.4%。與去年同期相比，業績上漲，且季比改善，主要是由於美元兌韓元強於預期。

Turning now to operating expenses. Q4 SG&A was $12 million as compared to $12.1 million in Q3 2024 and $12.1 million in Q4 2023.

現在來談談營運費用。第四季銷售、一般及行政費用為 1,200 萬美元，而 2024 年第三季為 1,210 萬美元，2023 年第四季為 1,210 萬美元。

Q4 R&D was $13 million as compared to $14.4 million in Q3 2024 and $15.4 million in Q4 last year. As a reminder, R&D expense fluctuate quarter over quarter due to the timing and number of products in development.

第四季研發費用為 1,300 萬美元，而 2024 年第三季為 1,440 萬美元，去年第四季為 1,540 萬美元。提醒一下，由於開發的時間和產品數量，研發費用每季都會波動。

Stock compensation charges, including operating expenses, were $2 million in Q4 compared to $1.8 million in Q3 and $1.7 million in Q4 last year. These charges fluctuate every quarter depending on the timing and size of stock award grants.

第四季的股票薪資費用（包括營運費用）為 200 萬美元，而第三季為 180 萬美元，去年第四季為 170 萬美元。這些費用每季都會波動，取決於股票獎勵授予的時間和規模。

Q4 operating loss was $15.7 million. This compares to an operating loss of $11 million in Q3 and an operating loss of $15.9 million in Q4 2023.

第四季營業虧損為 1,570 萬美元。相較之下，2023 年第三季的營業虧損為 1,100 萬美元，第四季的營業虧損為 1,590 萬美元。

In Q4 2024, $4.6 million loss was recorded as a one-time non-cash impairment charge associated with the display business in accordance with US GAAP. In the same period, $2 million was also recorded as other charges, which represents a one-time cumulative financial impact in connection with certain Korea-mandated employee benefits.

2024 年第四季度，根據美國公認會計準則，460 萬美元的損失被記錄為與顯示器業務相關的一次性非現金減損費用。在同一時期，還記錄了 200 萬美元的其他費用，這是與某些韓國強制員工福利相關的一次性累積財務影響。

On a non-GAAP basis, Q4 adjusted operating loss was $7 million compared to an adjusted operating loss of $9 million in Q3 and an adjusted operating loss of $14.1 million in Q4 last year. Net loss in Q4 was $16.3 million as compared with a net loss of $9.6 million in Q3 and a net loss of $6 million in Q4 last year.

以非公認會計準則計算，第四季調整後營業虧損為 700 萬美元，而去年第三季調整後營業虧損為 900 萬美元，第四季調整後營業虧損為 1,410 萬美元。第四季淨虧損為 1,630 萬美元，而去年第三季淨虧損為 960 萬美元，第四季淨虧損為 600 萬美元。

A substantial portion of our net foreign currency gain or loss is associated with the intercompany long-term loans, which are denominated in US dollars and affected by changes in the exchange rate between the Korean won and the US dollar. Therefore, the net loss in Q4 2024 on a GAAP basis had deepened compared with a year ago or a quarter ago as the Korean won depreciated relative to US dollar in Q4 2024, whereas the Korean won appreciated during Q3 2024 and Q4 2023.

我們的淨外幣收益或損失的很大一部分與公司間長期貸款有關，這些貸款以美元計價，並受到韓元與美元之間匯率變化的影響。因此，由於韓元在 2024 年第四季兌美元貶值，而韓元在 2024 年第三季和 2023 年第四季會升值，因此 2024 年第四季按 GAAP 計算的淨虧損與一年前或一個季度前相比有所擴大。

However, this financial yardstick is not necessarily a relevant measure of our operating performance as we cannot control the size of the effects. And the aforementioned net foreign currency gain or loss is a non-cash item.

然而，由於我們無法控制其影響的大小，因此這項財務標準不一定能衡量我們的經營績效。前述淨匯兌損益為非現金項目。

Q4 adjusted EBITDA was negative $2.6 million. This compares to a negative $4.9 million in Q3 and negative $10 million in Q4 last year. Our GAAP diluted loss per share in Q4 was $0.44 as compared with diluted loss per share of $0.26 in Q3 and diluted loss per share of $0.16 in Q4 last year.

第四季調整後的 EBITDA 為負 260 萬美元。相較之下，去年第三季的虧損為負 490 萬美元，第四季的虧損為負 1,000 萬美元。我們第四季的 GAAP 每股攤薄虧損為 0.44 美元，而去年第三季的每股攤薄虧損為 0.26 美元，第四季的每股攤薄虧損為 0.16 美元。

Our non-GAAP diluted earnings per share in Q4 was $0.07. This compares with a non-GAAP diluted loss per share of $0.34 in Q3 and non-GAAP diluted loss per share of $0.21 in Q4 last year. Our weighted average non-GAAP diluted shares outstanding for the quarter were 37.7 million shares and 37.5 million shares in Q3 and 38.8 million shares in Q4 2023.

我們第四季的非公認會計準則每股攤薄收益為 0.07 美元。相比之下，去年第三季非 GAAP 稀釋每股虧損為 0.34 美元，第四季非 GAAP 稀釋每股虧損為 0.21 美元。本季我們的加權平均非 GAAP 稀釋流通股數為 3,770 萬股，2023 年第三季為 3,750 萬股，第四季為 3,880 萬股。

Under our $50 million stock buyback program authorized in July 2023, we repurchased in Q4 2024 approximately 0.7 million shares for an aggregate purchase price of $2.9 million, leaving about $24.6 million remaining authorization as of December 31, 2024.

根據我們於 2023 年 7 月授權的 5,000 萬美元股票回購計劃，我們在 2024 年第四季回購了約 70 萬股，總購買價為 290 萬美元，截至 2024 年 12 月 31 日，剩餘授權金額約為 2,460 萬美元。

Moving to the balance sheet. We ended Q4 with cash of $138.6 million. At the end of Q3, we had a cash of $121.1 million and $30 million of non-redeemable short-term financial investments, which was transitioned back to cash on November 5, 2024. The primary cash outflow during the quarter was approximately $7.4 million of CapEx and $2.9 million of stock buybacks.

轉到資產負債表。我們第四季結束時的現金為 1.386 億美元。第三季末，我們擁有 1.211 億美元現金和 3,000 萬美元不可贖回的短期金融投資，這些投資於 2024 年 11 月 5 日轉回現金。本季的主要現金流出約為 740 萬美元的資本支出和 290 萬美元的股票回購。

Net accounts receivable at the end of the quarter totaled $28.4 million and $28.7 million at the end of Q3 2024. Our days sales outstanding for Q4 was 41 days and compares to 40 days in Q3. Our average days in inventory for Q4 was 60 days and compares to 65 days in Q3. Inventories net at the end of the quarter totaled $30.5 million and $36.1 million at the end of Q3 2024.

本季末的淨應收帳款總額為 2,840 萬美元，2024 年第三季末的淨應收帳款總額為 2,870 萬美元。我們第四季的應收帳款週轉天數為 41 天，而第三季為 40 天。我們第四季的平均庫存天數為 60 天，而第三季為 65 天。本季末庫存淨額為 3,050 萬美元，2024 年第三季末庫存淨額為 3,610 萬美元。

Lastly, Q4 CapEx was $7.4 million. As noted previously, our CapEx forecast for the full year 2024 was to spend at the higher end of $10 million to $12 million range, and we spent $11.6 million primarily for our PAS business and Gumi Fab.

最後，第四季資本支出為 740 萬美元。如前所述，我們對 2024 年全年的資本支出預測在 1000 萬美元至 1200 萬美元的較高範圍內，而我們主要為 PAS 業務和 Gumi Fab 支出了 1160 萬美元。

Now let me provide financial-related comments regarding our strategy to become a pure-play power company. One, effective January 1, 2025, we transferred the power IC portion of MSS to Magnachip Semiconductor Limited, our existing Korean operating company, where the PAS business line already resides. Together, PAS, which is our Power Discrete business, and Power IC comprise our Power Solutions business line, which represents Magnachip's going-forward continuing operations.

現在，讓我為我們成為純粹的電力公司的策略提供一些財務相關的評論。第一，自 2025 年 1 月 1 日起，我們將 MSS 的電源 IC 部分轉讓給我們現有的韓國營運公司 Magnachip Semiconductor Limited，PAS 業務線已位於該公司。PAS（我們的功率分立元件業務）和功率 IC 共同構成了我們的電源解決方案業務線，代表了 Magnachip 未來的持續經營。

Two, with our strategy to become a pure-play power company, we expect the display business to be classified as discontinued operations beginning in our Q1 2025 financials and reported separately from our continuing operations that will comprise PAS and power IC business lines. As a reminder, we had wound down Transitional Foundry Services by the end of 2024 and do not expect to report such revenue separately beginning with Q1 2025 financial results.

第二，根據我們成為純粹電力公司的策略，我們預計從 2025 年第一季財務報表開始，顯示器業務將被歸類為已停止的業務，並與包括 PAS 和電源 IC 業務線在內的持續經營業務分開報告。提醒一下，我們已於 2024 年底關閉了過渡鑄造服務，並且預計從 2025 年第一季財務業績開始不會單獨報告此類收入。

Three, YJ mentioned earlier that we expect over time to achieve higher revenue per wafer and improved product mix at our Gumi Fab. To achieve those goals, we currently expect to invest approximately $65 million to $70 million over three years to upgrade the Gumi Fab.

第三，YJ 先前提到，我們預期隨著時間的推移，龜尾工廠的每片晶圓收入能夠更高，產品組合也能改善。為了實現這些目標，我們目前預計在三年內投資約 6,500 萬至 7,000 萬美元來升級龜尾工廠。

In 2025, we expect total CapEx, including maintenance, to be in the range of $26 million to $28 million, which includes approximately $14 million to $15 million to upgrade the Gumi Fab. Total CapEx in 2024 was $11.6 million.

到 2025 年，我們預計包括維護在內的總資本支出將在 2,600 萬美元至 2,800 萬美元之間，其中包括約 1,400 萬美元至 1,500 萬美元用於升級龜尾工廠。2024 年總資本支出為 1,160 萬美元。

The depreciation cost from the new investment in the Gumi facility won't begin to be fully reflected in our financial statements until 2027. At that time, we anticipate that a more robust portfolio of new generation power products will at least partially offset the impact.

龜尾工廠新投資的折舊成本要到 2027 年才會開始完全反映在我們的財務報表中。屆時，我們預計更強大的新一代電力產品組合將至少部分抵消影響。

It is important to note that from a cash management standpoint, the CapEx investment in Gumi will be partially funded through a previously announced $26.5 million of Equipment Financial Credit Agreement. This is tied specifically to equipment purchases or upgrades in our Gumi Fab. This new investment in Gumi is expected to drive development of the new generation power product portfolio and upgrade new tools to optimize product mix and improve gross profit margin.

值得注意的是，從現金管理的角度來看，對龜尾的資本支出投資將部分透過先前宣布的 2,650 萬美元設備融資信貸協議提供資金。這與我們的龜尾工廠的設備購買或升級特別相關。預計此次對龜尾的新投資將推動新一代電力產品組合的開發，並升級新工具以優化產品結構並提高毛利率。

Four, as a result of the strategy changes we are making, we are now targeting quarterly adjusted EBITDA from continuing operations to be breakeven by the end of Q4 2025. To achieve this, we'll explore and execute all available cost reduction initiatives to align our spending level with a strategy to become a pure-play power company, while enabling us to continue to make progress towards our 3-3-3 strategy.

第四，由於我們正在進行的策略調整，我們現在的目標是在 2025 年第四季末實現持續經營業務的季度調整後 EBITDA 收支平衡。為了實現這一目標，我們將探索並執行所有可用的成本削減舉措，使我們的支出水準與成為純電力公司的策略保持一致，同時使我們能夠繼續朝著 3-3-3 策略邁進。

Now moving to our first-quarter and full-year 2025 guidance. While actual results may vary, for Q1 2025, Magnachip currently expects consolidated revenue from continuing operations, which includes Power Discrete and power IC businesses and excludes our former display business, to be in the range of $42 million to $47 million, down 8.9% sequentially due primarily to seasonality, but up 11.5% year over year at the midpoint. This compares with equivalent revenue of $48.9 million in Q4 2024 and $39.9 million in Q1 2024.

現在轉到我們的 2025 年第一季和全年指引。雖然實際結果可能有所不同，但對於 2025 年第一季度，Magnachip 目前預計持續經營的綜合收入（包括功率分立器件和功率 IC 業務，但不包括我們以前的顯示器業務）將在 4200 萬美元至 4700 萬美元之間，環比下降 8.9%，主要原因是季節性因素，但同比中值增長 11.5%。相較之下，2024 年第四季的等效收入為 4,890 萬美元，2024 年第一季的等效收入為 3,990 萬美元。

Consolidated gross profit margin from continuing operations to be in the range of 18.5% to 20.5% due to the seasonal sequential decline in revenue and the wind down of Transitional Foundry Services impacting fab utilization. This compares with equivalent gross profit margin of 23.2% in Q4 2024 and 17.6% in Q1 2024.

由於收入季節性連續下降以及過渡代工服務的減少影響了晶圓廠的利用率，持續經營的綜合毛利率將在 18.5% 至 20.5% 之間。相較之下，2024 年第四季的毛利率為 23.2%，2024 年第一季的毛利率為 17.6%。

For the full year 2025, which will set the stage to become a pure-play power company, we currently expect consolidated revenue from continuing operations to grow mid- to high single digit year over year as compared with equivalent revenue of $185.8 million in 2024.

對於 2025 年全年而言，這將為成為一家純粹的電力公司奠定基礎，我們目前預計持續經營的綜合收入將同比增長中高個位數，而 2024 年的等效收入為 1.858 億美元。

Consolidated gross profit margin from continuing operations between 19.5% to 21.5%, reflecting the fact that we have completed the wind down of Transitional Foundry Services. And new generation power products will just begin production in the second half 2025. This equivalent gross profit margin was -- the equivalent gross profit margin was 21.5% in 2024.

持續經營業務的綜合毛利率在 19.5% 至 21.5% 之間，反映出我們已完成過渡鑄造服務的逐步結束。新一代電源產品將於2025年下半年開始生產。此等效毛利率為－2024 年等效毛利率為 21.5%。

Thank you. And now, I'll turn the call back over to YJ for his final remarks. YJ?

謝謝。現在，我將把電話轉回給 YJ，請他發表最後的演講。YJ？

The pure-play power strategy we announced today focuses on shareholder value and prioritizes a return to profitability, supported by clearly articulated and transparent short- and medium-term financial targets. We see a great market opportunity in power semiconductors, which is greater than 10 times larger than the OLED DDIC market.

我們今天宣布的純粹電力策略注重股東價值，優先考慮恢復獲利能力，並以清晰透明的短期和中期財務目標為支持。我們看到功率半導體市場潛力巨大，其規模比 OLED DDIC 市場大 10 倍以上。

We have a proven track record in power with design, manufacturing, and shipping more than 23 billion units during the past 18 years. The primary goal of our 3-3-3 strategy are to reach a $300 million annual revenue run rate with 30% gross margin in the next three years.

在過去的 18 年中，我們設計、製造並運送了超過 230 億台電力設備，在電力領域擁有良好的業績記錄。我們的 3-3-3 策略的主要目標是在未來三年內實現年收入 3 億美元，毛利率 30%。

We are excited about the large rollout of our new generation products happening now through 2026. These products address higher valued markets with better performance and lower costs. We're upgrading our Gumi Fab to manufacture more of these new generation products.

我們很高興看到從現在到 2026 年我們的新一代產品將大規模推出。這些產品以更好的性能和更低的成本瞄準更高價值的市場。我們正在升級我們的 Gumi Fab，以生產更多這些新一代產品。

Our plan is to convert the fab to serve 70% of the capacity with new products. These will help optimize our Gumi Fab for better profitability.

我們的計劃是將工廠改造成能滿足 70% 的新產品產能的工廠。這些將有助於優化我們的龜尾工廠，從而提高獲利能力。

As I've said in the past, we are focused on maximizing shareholder value. And we believe prioritizing a return to profitability by focusing on the power business offers our shareholders the greatest potential.

正如我過去所說，我們專注於最大化股東價值。我們相信，透過專注於電力業務來優先恢復獲利能力將為我們的股東帶來最大的潛力。

In addition to our medium-term or three-year goals, we have set very specific short-term milestones after the display business have been discontinued. These milestones, including achieving from continuing operations: one, quarterly adjusted EBITDA breakeven by the end of Q4 2025; followed by, two, positive adjusted operating income in 2026; and three, positive adjusted free cash flow in 2027.

除了我們的中期或三年目標外，我們還設定了顯示器業務停止後的非常具體的短期里程碑。這些里程碑包括透過持續經營實現：一、到 2025 年第四季末實現季度調整後 EBITDA 收支平衡；其次是 2026 年的兩倍正調整後營業收入；三是2027年調整後的自由現金流為正。

Now, I will turn the call back to Steven. Steven?

現在，我將把電話轉回給史蒂文。史蒂文？

Thanks. That concludes our prepared remarks. Now, let's open the call for any questions that you may have. Operator, please go ahead.

謝謝。我們的準備好的演講到此結束。現在，讓我們開始回答你們可能提出的任何問題。接線員，請繼續。

Suji De Silva, Roth Capital.

羅斯資本的蘇吉·德席爾瓦。

Best of luck on the strategic transition here. Maybe you could talk first, YJ, about the power segment, the end markets you think will drive the mid -- that will most drive the mid-high single-digit year-over-year growth in '25 as a starting point, which end markets do you think would be the most -- best contributors there.

祝福戰略轉型順利。YJ，也許您可以先談談電力領域，您認為將推動中期增長的終端市場——這將最能推動 25 年中高個位數的同比增長，作為起點，您認為哪些終端市場將對其做出最大貢獻。

Yes. In 2025, I think it's evenly distributed to our strength, holdings in consumer, communication, computing. But with the new generation that we just launched 27 new products, we think that will help us grow more into the AI computing area as well as industrial and automotive.

是的。到 2025 年，我認為它將均勻分佈在我們的優勢、消費、通訊和運算領域。但隨著我們剛推出的 27 款新一代新產品，我們認為這將有助於我們在人工智慧運算領域以及工業和汽車領域取得更大的發展。

Okay. That's helpful. And then the profitability targets, the gross margin. Shinyoung, maybe, what are the drivers of gross margin improvement near term? Just to understand from the power business, what are the key elements there of trending gross margin up towards the 30% long-term target.

好的。這很有幫助。然後是獲利目標，毛利率。Shinyoung，也許，短期內毛利率改善的驅動因素是什麼？僅從電力業務的角度來了解，毛利率趨向 30% 的長期目標的關鍵因素是什麼。

So for the near term, at least for 2025, we gave the annual outlook that's going to be 100 basis points lower than 2024. And that's mainly because of the fact that we wound down the Transitional Foundry Services, the (technical difficulty)

因此，就短期而言，至少對於 2025 年而言，我們給出的年度預測將比 2024 年低 100 個基點。這主要是因為我們關閉了過渡鑄造服務，（技術難度）

So that's impacting our utilization. And also, our new power generation product, we're going to begin -- just begin production in the second half of 2025. So that's the near-term outlook. But to achieve the 3-3-3 strategy, we're going to have the new power product coming out starting in the second half and more in 2026.

這會影響我們的利用率。此外，我們的新發電產品將於 2025 年下半年開始生產。這就是近期的前景。但為了實現 3-3-3 策略，我們將從下半年開始推出新的動力產品，並在 2026 年推出更多產品。

And YJ said about half of the -- our 2026 revenue going to come in from the new generation power product. So we're going to increase the portion of the new -- by the end of the next year. So we are going to increase the portion of that. And with that, the more new generation product contribution and also utilizing our Gumi Fab with that high-end market targeted product, we can expand our gross margin in the longer term.

YJ 表示，到 2026 年，我們大約一半的收入將來自新一代電力產品。因此，我們將在明年年底前增加新產品的比例。因此我們將增加這一部分。有了這些，我們就能透過對新一代產品的貢獻以及利用我們的 Gumi Fab 來生產針對高端市場的產品，從長遠來看擴大我們的毛利率。

Okay. That's helpful, Shinyoung. Maybe one last question, YJ, on the cash balance on the balance sheet and the use of the proceeds. I know you're going to be -- use of the cash and then potential proceeds from the restructuring.

好的。這很有幫助，Shinyoung。YJ，也許最後一個問題是關於資產負債表上的現金餘額和收益的用途。我知道你將會——使用現金以及重組帶來的潛在收益。

I know you're going to have CapEx needs in the next few years, but are there any other thoughts on the use of the cash, perhaps buybacks or other inorganic activity? Any color there would be helpful.

我知道未來幾年您將會有資本支出需求，但對於現金的使用還有其他想法嗎，也許是回購或其他無機活動？任何顏色都會有幫助。

Yes, Suji, very good. So as you saw today, we announced that we're going to spend $65 million to $70 million upgrading our facility in Gumi. And that's where we're going to richly support a quick transition to make the new products. And that's one of the key area of our spending so to improve the profitability and product mix.

是的，Suji，非常好。正如大家今天看到的，我們宣布將斥資 6,500 萬至 7,000 萬美元升級我們在龜尾的工廠。這就是我們將大力支持快速轉型以生產新產品的地方。這是我們支出的關鍵領域之一，目的是提高獲利能力和產品組合。

That $65 million to $70 million spending will -- going to be spent -- I mean, invested in over three years, not like everything in 2025. And also, as I mentioned, we actually have a $26.5 million of the credit line that we opened with the bank in Korea, which is actually -- the interest rate is less than 4% and 10-year maturity.

這 6,500 萬至 7,000 萬美元的支出將在三年內投入，而不是在 2025 年全部投入。而且，正如我所提到的，我們在韓國銀行開設了 2,650 萬美元的信用額度，其利率實際上低於 4%，期限為 10 年。

So with a three-year interest only and the amortizing payment afterwards. So that we can actually partially fund our intended investment in Gumi Fab, and that's what's going to -- we're going to manage our cash balance on the balance sheet.

因此，只需支付三年利息，然後分期償還。這樣我們實際上就可以為 Gumi Fab 的預期投資提供部分資金，這就是我們要做的——在資產負債表上管理我們的現金餘額。

Nicolas Doyle, Needham.

尼古拉斯·道爾，尼德姆。

Struggling a bit with the calendar '25 gross margin guide. Is the Gumi Fab headwind a bit stronger in 2Q or maybe even further into 2025 or is that a greater impact from the underutilization? Or is that the power IC business just operates a lower margin versus display? I mean, I know you talked about these new products ramping and that impacts as well, but any more color would be helpful.

對日曆 '25 毛利率指南有點困惑。龜尾工廠面臨的逆風是否會在第二季度或甚至在 2025 年進一步增強，還是利用率不足會造成更大的影響？還是說電源 IC 業務的利潤率比顯示器業務低？我的意思是，我知道您談到了這些新產品的推出及其影響，但更多的細節將會有所幫助。

Gumi -- like if you look at 2024, we still have $10.6 million of the Foundry Services revenue, which we produce in our Gumi Fab. So although that Foundry Service revenue -- I mean, the portion had negative margin, that was actually helping to share the fixed cost in our Gumi Fab.

龜尾－如果你看看 2024 年，我們仍然有 1,060 萬美元的代工服務收入，這些收入是我們在我們的龜尾工廠生產的。因此，儘管代工服務收入（我的意思是，該部分的利潤率為負），但這實際上有助於分擔我們龜尾工廠的固定成本。

Now we wound down the business completely by the end of Q4 last year. That means about 20% of our Gumi Fab and the facility is actually idle. So that portion has to be converted.

現在我們在去年第四季末徹底結束了這項業務。這意味著我們龜尾工廠約有 20% 的產能和設施實際上處於閒置狀態。因此那部分必須被轉換。

But as we explained previously -- I mean, during the call, that we are going to do that not only to just increase the capacity. We are going to upgrade the Gumi facility to support the more, to support the higher -- new generation power product going forward. So that transition will take time, and that's why we're going to invest in Gumi Fab over three years.

但正如我們之前解釋的那樣——我的意思是，在通話期間，我們這樣做不僅僅是為了增加容量。我們將升級龜尾工廠，以支援更多、更高的新一代電力產品。所以這種轉變需要時間，這就是我們要在三年內投資 Gumi Fab 的原因。

So that underutilization from the phaseout of Transitional Foundry Services and also the new power products just begin the production in the second half of 2025 will going to impact the 2025 gross margin for the whole company.

因此，過渡代工服務的逐步淘汰以及新電源產品在 2025 年下半年才開始生產導致的利用率不足將影響整個公司 2025 年的毛利率。

So the first half, we are getting the both impact in first half, obviously, because we're going to get the benefit from the new generation power products starting in the second half. So you're going to see a little improvement in the second half. But the first half, you're going to see both impact like impacting the utilization rate like adversely, if you are seeing that impact for the overall.

因此，上半年我們顯然會受到這兩種影響，因為從下半年開始我們將從新一代電力產品中受益。所以你會看到下半場有一點改善。但在上半年，你會看到兩種影響，例如對利用率產生不利影響，如果你看到這種影響對整體產生影響的話。

Okay, that makes sense. And what OpEx level do you assume to get to that positive adjusted EBITDA by 2Q '25?

好的，這很有道理。您認為到 2025 年第二季度，營運支出水準需要達到什麼水準才能達到正調整後 EBITDA？

The -- so for the OpEx, I mean, Nick, we actually -- the shared service and the overhead function supported both display and power together. So there's got to be some efficiency in there, too. But roughly speaking, like I think probably 35% to 40% of our OpEx was tied to the display business.

對於 OpEx，我的意思是，尼克，我們實際上 - 共享服務和開銷功能同時支援顯示和電源。因此其中也必須有一定的效率。但粗略地說，我認為我們的營運支出的 35% 到 40% 都與顯示器業務有關。

And the other thing, Nick, you asked about power IC. Power IC is not made in Gumi Fab. It's a pure fabless, and power IC typically has around 40% gross margin, which is a much better gross margin product line.

另外一件事，尼克，你問到的是電源 IC。電源IC不是在龜尾工廠生產的。它是一家純粹的無晶圓廠，電源IC的毛利率一般在40%左右，是一條毛利率比較高的產品線。

Martin Yang, OpCo.

馬丁楊，OpCo。

My first question on power, especially when you look at your approach to high-value markets like industrial AI, can you maybe talk about -- does it require you to take a new go-to-market strategy? How do you go about attacking those higher-value customer base or segments?

我的第一個問題是關於權力，特別是當您審視您對工業人工智慧等高價值市場的態度時，您能否談談——這是否需要您採取新的市場進入策略？您如何著手攻佔那些更高價值的客戶群或細分市場？

Yes. So as I explained, initially, when we came out this power business 18 years ago, we addressed less than 100-watt applications. And with the new generation, second generation, we went up to 10 kilowatt or mostly 1,000 watt where we became number one in our target accounts.

是的。正如我所解釋的，最初，當我們 18 年前進入電力行業時，我們針對的是功率低於 100 瓦的應用。隨著新一代、第二代產品的推出，我們的功率上升到了 10 千瓦，或大多是 1,000 瓦，成為了我們目標客戶中的佼佼者。

Now with the new generation superjunction and MV -- Gen8 MV MOSFETs, the products are about 30% to 40% better performance than the previous generation, yet the cost is -- we can produce 30% more die per wafer. So that drives higher die per wafer or low cost and higher performance.

現在有了新一代超結和 MV——Gen8 MV MOSFET，產品性能比上一代提高了約 30% 到 40%，但成本卻降低了——每片晶圓可以多生產 30% 的晶片。因此，這可以提高每片晶圓的晶片數量或降低成本並提高性能。

So with that, we will be able to penetrate into more high-value application in the AI server to high-end industrial market like energy storage system to automotive inverter, where you can get much better ASP and margin. So that's our strategy.

因此，我們將能夠滲透到人工智慧伺服器和高端工業市場（如儲能係統和汽車逆變器）中更多高價值應用，從而獲得更好的 ASP 和利潤率。這就是我們的策略。

And we just introduced 27 new products today, and full commercial qualified samples are available now. So our goal is to hit the production by the end of this year with those products.

我們今天剛推出了 27 款新產品，現在已提供完整的商業合格樣品。因此我們的目標是在今年年底前投入生產這些產品。

My next question is on your display business. When you look at the different strategic alternatives, because this is different from a potential buyout of the company, does it open you to different sets of potential buyers or partners when you explore the display business alternative solutions?

我的下一個問題是關於你們的展示業務。當您考慮不同的策略替代方案時，因為這不同於潛在的公司收購，當您探索顯示業務替代解決方案時，它是否會為您打開不同的潛在買家或合作夥伴？

So we are looking at every option possible. So as you said, the sale of the business or certain assets to joint venture, to partnership, to even wind down. So we are looking at all options. And we're going to do it, make sure that our customers are happy and they have smooth transition, as well as we abide with any regulation of Korean or US regulations.

因此我們正在考慮所有可能的選擇。正如您所說，將業務或某些資產出售給合資企業、合夥企業，甚至解散。因此我們正在考慮所有的選擇。我們會這樣做，確保我們的客戶滿意並且他們能夠順利過渡，同時我們遵守韓國或美國的任何法規。

Got it. Last question from me is, can you maybe talk a little bit more about the timing of decision? Any context you could give us on why now.

知道了。我的最後一個問題是，您能否再多談決策時機？現在可以告訴我們原因嗎？

The timing. Well, as we said, it was very extreme decision for me personally and also to the Board and the management. But the -- it is best that we hit the profitability. That's our number one goal, and that's the highest priority at the best interest of shareholders and stakeholders.

時機。嗯，正如我們所說的，這對我個人以及董事會和管理層來說都是一個非常極端的決定。但是，我們最好能夠實現盈利。這是我們的首要目標，也是股東和利害關係人最大利益的最高優先事項。

So the power business has a broader range of industry and customers and more stable, and we already have more than 200 customers in Asia. Whereas the display, as you know, it's really few panel makers are the customers. So -- and depending on their situation, it's very hard to control the fate of your revenue ramp.

因此電力業務的產業和客戶範圍更廣，也更穩定，我們在亞洲已經擁有200多個客戶。而對於顯示器，如你所知，它的客戶實際上只有少數面板製造商。因此——根據他們的情況，很難控制收入成長的命運。

So with that, we made the prudent decision to go with the -- become a pure-play company where we're going to restore the profitability path as soon as possible as well as broad perspective to grow. And also, you saw we announced $65 million to $70 million investment.

因此，我們做出了審慎的決定——成為一家純粹的公司，我們將盡快恢復獲利之路以及廣闊的成長前景。而且，您還看到我們宣布投資 6,500 萬至 7,000 萬美元。

So I think we cannot afford to invest that in two businesses. We're going to do that. And more progress we see and where we're going to turn around more to quicker profitability is by our business and more opportunities.

所以我認為我們無法承擔在兩家企業的投資。我們會這麼做的。我們看到了更多的進步，我們將透過業務和更多機會實現更快的利潤。

And I'm currently showing no further questions at this time. I'd like to hand the call back over to Steven Pelayo for closing remarks.

目前我沒有其他問題。我想將電話轉回給史蒂文·佩拉約 (Steven Pelayo) 做最後發言。

Great. Thank you. This concludes our Q4 earnings conference call. Following today's earnings call, we are hosting an analyst briefing where YJ, Shinyoung and other members of management will share more details on today's announcement.

偉大的。謝謝。我們的第四季財報電話會議到此結束。在今天的收益電話會議之後，我們將舉行一次分析師簡報會，YJ、Shinyoung 和其他管理層成員將在會議上分享有關今天公告的更多細節。

On March 17 and 18, we will be attending the 37th Annual Roth Conference in Dana Point, California, for one-on-one investor meetings. Attendance at the conference is by invitation only. For interested investors, please contact your respective sales representative to register and schedule one-on-one meetings with the management team.

3 月 17 日至 18 日，我們將參加在加州達納角舉行的第 37 屆羅斯年會，進行一對一投資者會議。只有獲得邀請才能參加會議。對於有興趣的投資者，請聯絡您各自的銷售代表進行註冊並安排與管理團隊的一對一會議。

That concludes our prepared remarks for our call today. Operator, you may now -- pardon me, that concludes our remarks. That's it. We look forward to meeting with you for future events, and you can find details on those on Magnachip's Investor Relations website.

這就是我們今天電話會議的準備發言。接線員，您現在可以－請原諒，我們的發言到此結束。就是這樣。我們期待在未來的活動中與您會面，您可以在 Magnachip 的投資者關係網站上找到有關這些活動的詳細資訊。

Thank you, and take care.

謝謝，保重。

This concludes today's conference call. Thank you for your participation. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。