X-FAB Silicon Foundries (XFAB) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue was $189 million (excluding IFRS 15: $197 million), down 21% YoY and 9% QoQ; full-year revenue was $816.4 million, down 10% YoY, within guidance.

• Q4 EBITDA was $40 million (excluding IFRS 15), down 33% YoY; EBIT was $10.6 million, or 6% of sales, down 70% YoY.

• Q4 net loss of $7.3 million, mainly due to a $16.5 million non-cash deferred tax asset adjustment.

• 180 nm CMOS technology drove growth due to strong demand and capacity expansion, especially in France and Malaysia.

• Core business (automotive, industrial, medical) made up 93% of 2024 revenue, down 6% YoY.

Financial highlights

• Q4 2024 EBITDA margin was 21.1% (22.8% excluding IFRS 15); full-year EBITDA was $189 million with a 23.1% margin (23.5% excluding IFRS 15).

• Q4 EBIT was $10.6 million, down 70% YoY and 58% QoQ; full-year EBIT was $85.5 million, down 46% YoY.

• Q4 gross profit margin was 19.3% (vs. 26.7% prior year); full-year gross margin was 22.4% (vs. 28.5%).

• Q4 EPS was -0.06; full-year EPS was 0.47 (vs. 1.24 prior year).

• Cash and cash equivalents at year-end were $215.8 million, down 32% sequentially and from $405.7 million a year earlier.

Outlook and guidance

• Q1 2025 revenue expected between $195 million and $205 million, with EBITDA margin of 22%-25%.

• Full-year 2025 revenue guidance is $820 million-$870 million, with EBITDA margin of 24%-27%.

• CapEx for 2025 capped at $250 million, with a return to normalized CapEx ratio (10%-15% of revenue) in H2 2025.

• Positive cash flow expected in H2 2025 as major expansion projects conclude.

• Single-digit revenue growth planned for 2025, with acceleration expected in 2026 as inventory corrections subside.