SAN JOSE, Calif. - MagnaChip Semiconductor Corp. has signed a wafer foundry agreement with a major provider of microcontrollers and touch solutions-Atmel Corp.
Atmel is a new foundry customer for MagnaChip. In recent times, Atmel has seen huge demand for its touch-controller solutions in the mobile space.
''We can’t disclose any details beyond saying we are engaging with Atmel as a foundry for them going forward,'' according to a spokesman for MagnaChip.
MagnaChip also announced financial results for the first quarter ended March 31, 2011. Revenue for the first quarter of 2011 was $187.9 million, a 4.7 percent increase compared to $179.5 million for the first quarter of 2010, and a 0.6 percent increase compared to $186.8 million for the fourth quarter of 2010.
Net income, on a GAAP basis, for the first quarter of 2011 totaled $22.5 million or $0.57 per diluted share. This compares to net income of $31.1 million or $0.81 per diluted share for the first quarter of 2010 and net income of $12.3 million or $0.31 per diluted share for the fourth quarter of 2010.
In a statement, Sang Park, MagnaChip's chairman and CEO, said: "Our Power Solutions business segment grew 11 percent sequentially and more than doubled over the same period last year. Our foundry business was down less than expected for this seasonally weaker quarter and our Display Solutions segment was up for the quarter.''
For the second quarter of 2011, the company expects revenue to increase 5 percent to 9 percent on a sequential basis.