Company: GCTS
Filing Date: 2025-03-26
Form Type: 424B3
Source: 0000929638-25-001279
Chunk: 96

Company: GCT Semiconductor Holding, Inc.
Filing Date: 2025-03-26
Form: 424B3
Chunk 96
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,928 | ) |     |   |    9,994 |   |     |     |      (46 | )% |
| Provision for income taxes                                      |     |                         |     445 |   |     |   |     541 |   |     |   |      (96 | ) |     |     |      (18 | )% |
| Net loss                                                        |     | $                       | (12,379 | ) |     | $ | (22,469 | ) |     | $ |   10,090 |   |     |     |      (45 | )% |

Net Revenues Net revenues decreased by $6.9 million, or 43%, from $16.0 million for the year ended December 31, 2023 to $9.1 million for the year ended December 31, 2024. The decrease was due to a decrease of $6.2 million in product sales and a decrease of $0.7 million in service revenue. Product sales decreased by $6.2 million, or 57%, from $11.0 million for the year ended December 31, 2023 to $4.8 million for the year ended December 31, 2024. This decrease is driven by a reduction of $5.0 million of LTE product sales and a decrease of $1.2 million in LTE platform sales. This trend was primarily due to the changing priorities of our largest customers that shifted their focus to the next generation 5G products. Our net revenues are expected to increase with these customers after we launch our 5G products. Service revenues decreased by $0.7 million, or 14%, from $5.1 million for the year ended December 31, 2023 to $4.4 million for the year ended December 31, 2024. This decrease was due to the timing and scope of our service projects for LTE products. Cost of Net Revenues Cost of net revenues decreased by $5.2 million, or 56%, from $9.3 million for the year ended December 31, 2023 to $4.1 million for the year ended December 31, 2024, driven primarily by the reduction in our product sales. Product costs decreased by $4.8 million, or 66%, from $7.3 million for the year ended December 31, 2023 to $2.5 million for the year ended December 31, 202