MAGNACHIP SEMICONDUCTOR CORPORATION AND SUBSIDIARIES

RECONCILIATION OF OPERATING INCOME (LOSS) TO ADJUSTED OPERATING INCOME (LOSS)

(In thousands of U.S. dollars)

(Unaudited)

Three Months Ended

Nine Months Ended

September 30,
2023

June 30,
2023

September 30,
2022

September 30,
2023

September 30,
2022

Operating income (loss)

$

(9,235)

$

(10,656)

$

(10,008)

$

(41,709)

$

4,873

Adjustments:

Equity-based compensation expense

2,171

2,092

861

5,383

4,487

Early termination and other charges, net

—

802

2,501

9,251

3,298

Adjusted Operating Income (Loss)

$

(7,064)

$

(7,762)

$

(6,646)

$

(27,075)

$

12,658