Financial Performance - Net revenues for Q3 2024 were $2.6 million, a 77.8% sequential increase from the previous quarter, driven by a rebound in product revenue ahead of the anticipated 5G ramp[2] - Total net revenues for the three months ended September 30, 2024, were $2,610 million, a decrease from $4,476 million in the same period of 2023, representing a decline of 41.7%[17] - Gross profit for the three months ended September 30, 2024, was $1,626 million, compared to $527 million for the same period in 2023, indicating a significant increase in profitability[17] - Total operating expenses increased to $7,538 million for the three months ended September 30, 2024, from $4,544 million in the same period of 2023, reflecting a rise of 66.5%[17] - The net loss for the three months ended September 30, 2024, was $7,121 million, compared to a net loss of $4,346 million in the same period of 2023, representing an increase in losses of 63.5%[17] - The company reported a loss from operations of $5,912 million for the three months ended September 30, 2024, compared to a loss of $4,017 million in the same period of 2023, indicating a worsening operational performance[17] - Interest expense for the three months ended September 30, 2024, was $667 million, down from $1,220 million in the same period of 2023, a decrease of 45.2%[17] - The weighted-average common shares outstanding for the three months ended September 30, 2024, were 45,645 thousand, compared to 24,055 thousand in the same period of 2023, an increase of 90%[17] - The company reported a provision for income taxes of $61 million for the three months ended September 30, 2024, compared to $38 million in the same period of 2023, reflecting a rise of 60.5%[17] - Basic and diluted net loss per common share for the three months ended September 30, 2024, was $(0.16), compared to $(0.18) in the same period of 2023, showing a slight improvement in loss per share[17] Research and Development - Research and development expenses increased by $1.8 million, or 78%, to $4.2 million in Q3 2024, mainly due to professional services related to 5G chip development[7] - Research and development expenses for the three months ended September 30, 2024, were $4,210 million, up from $2,367 million in the same period of 2023, a rise of 77.8%[17] Assets and Liabilities - Total current assets increased to $20.0 million as of September 30, 2024, compared to $13.0 million as of December 31, 2023[16] - Total liabilities decreased to $80.9 million as of September 30, 2024, down from $131.9 million as of December 31, 2023[16] - The company successfully extended approximately $22.6 million of current liabilities into 2025 and repaid $2.5 million of bank borrowings and $1.0 million of promissory notes[3] 5G Product Development - The company anticipates commencing volume shipments of 5G chipsets in the first half of 2025, as previously guided[11] - The company signed a memorandum of understanding with a global tier one telecommunications supplier for collaboration on Fixed Wireless Access devices using its 5G chipsets[2] - The company is in discussions with potential investors to secure additional capital for the commercial launch of its 5G products[2] Cash and Equivalents - Cash and cash equivalents were $1.8 million, with net accounts receivable of $6.4 million and inventory of $3.1 million as of September 30, 2024[10] Gross Margin - Gross margin improved to 62.3% in Q3 2024, up from 12% in Q3 2023, primarily due to a favorable product mix and higher margins from service offerings[6]
GCT Semiconductor Holding, Inc.(GCTS) - 2024 Q3 - Quarterly Results