GlobalFoundries Inc (NASDAQ:GFS) stock dropped after it reported its quarterly earnings Tuesday.
The Malta, New York-based company clocked a fourth-quarter fiscal year 2023 revenue decline of 12% year-on-year to $1.854 billion, beating the consensus of $1.851 billion.
The semiconductor manufacturer’s adjusted EPS of 64 cents beat the consensus of $0.58.Â
The adjusted gross margin declined by 110 bps to 29%, and the adjusted operating margin improved by 50 bps to 20.7%.
The adjusted EBITDA margin declined by 260 Y/Y to 41.7%.
GFS generated $684 million in operating cash flow and held $3.9 billion in cash and equivalents.
“We continue to position GF to drive foundry innovation and differentiation across essential end-markets and we are especially proud of our Automotive end-market revenue growth, with over $1 billion of revenue in 2023. It also gives me great pleasure to welcome John Hollister to GF, as our new CFO,” CEO Thomas Caulfield said.
Outlook: GFS sees first-quarter revenue of $1.5 billion-$1.54 billion versus the $1.76 billion estimate. The company expects adjusted EPS of $0.18-$0.28 versus the $0.46 estimate.
Price Action:Â GFS shares traded lower by 4.07% at $53.55 premarket on the last check Tuesday.
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