Telechips Swings to Third-Quarter Operating Profit as Revenue Rises 26%

What happened

Telechips announced preliminary third-quarter earnings on Nov. 12: third-quarter consolidated revenue reached 63.326 billion won with operating profit of 492 million won. Revenue rose 26% from a year earlier while operating earnings swung to a profit, but quarterly operating profit fell 84.5% from the previous quarter. Cumulative revenue through the third quarter rose 34.9% year-on-year to 188.58 billion won, and operating profit for the nine-month period reached 9.794 billion won, reversing an operating loss of 8.873 billion won a year earlier. The improvement was driven by increased overseas sales of automotive semiconductors; the company said demand for in-vehicle infotainment (IVI) processors (DMP) remained solid in Japan and Southeast Asia, lifting the share of overseas revenue to around 70%. However, operating profit declined from the previous quarter as a weaker dollar against the won and expenses related to new semiconductor development weighed on earnings: prices of semiconductors supplied to customers are linked to the U.S. dollar, so when the exchange rate falls sharply, production costs still reflect higher rates from two to three months earlier while sales prices converted into won decline, squeezing margins, plus losses from foreign currency translation and foreign exchange transactions. Operating profit was also affected by development costs for the next-generation automotive semiconductor Dolphin5 (TCC807X), which began being expensed in the third quarter; Dolphin5 is a next-generation high-performance automotive SoC, and revenue from new chips including Dolphin5 is expected to begin in the second half of 2028.

Impact and signal

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Source and time

Source: The Elec · 11/13/2026 · View original source