GCT Semiconductor Holding, Inc.

GCT Semiconductor Holding, Inc. (GCTS) reported a challenging FY 2025, with total net revenues declining 69% YoY to $2.9M from $9.1M in FY 2024, driven by a 76% drop in product revenues to $1.1M and a 60% decrease in service revenues to $1.7M. The company commenced initial commercial shipments of 5G chipsets in Q4 2025 but saw no significant contribution yet. Gross loss widened to -$1.8M from a $5.1M profit, reflecting higher product costs at $4.0M despite lower volumes, due to production overhead and inventory reserves. Operating loss expanded to -$36.5M from -$13.1M, with R&D expenses down 19% to $14.0M post-5G design completion, but G&A up 53% to $16.5M from credit loss provisions and stock-based compensation. Net loss surged 250% to -$43.4M, or -$1 per basic/diluted share. Cash used in operations was -$30.7M, offset by $32.2M from financing including borrowings and equity offerings. Balance sheet shows $15.6M total assets, $98.9M liabilities, and -$83.3M stockholders' deficit, with $590K cash. Going concern doubt persists amid $56.6M short-term debt; 5G ramp-up expected in H2 2026 for revenue growth.

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