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input.scss

@mixin build-class($class, $min: 0, $max: 100, $orientation: 'small', $type: 'normal') {
    .luna-#{$class}-#{$orientation} {
        color: blue;
    }
}

@include build-class('test', 'large');

output.css

.luna-test-small {
  color: blue;
}

settings.json

{
  "sass": {
    "compiler": "dart-sass/1.32.12",
    "extensions": {},
    "syntax": "SCSS",
    "outputStyle": "expanded"
  },
  "autoprefixer": false
}