亞德諾半導體 (ADI) 2023 Q2 法說會逐字稿

Good morning, and welcome to the Analog Devices Second Quarter Fiscal Year 2023 Earnings Conference Call, which is being audio webcast via telephone and over the web. I'd like to now introduce your host for today's call, Mr. Michael Lucarelli, Vice President of Investor Relations and FP&A. Sir, the floor is yours.

早上好，歡迎來到 Analog Devices 2023 財年第二季度收益電話會議，該電話會議正在通過電話和網絡進行音頻網絡廣播。現在我想介紹一下今天電話會議的主持人，投資者關係和 FP&A 副總裁 Michael Lucarelli 先生。先生，地板是你的。

Thank you, Liz, and good morning, everybody. Thanks for joining our Second Quarter Fiscal '23 conference call. With me on the call today are ADI's CEO and Chair, Vincent Roche; and ADI's CFO, Prashanth Mahendra-Rajah.

謝謝你，Liz，大家早上好。感謝您加入我們的第二季度 23 財年電話會議。今天與我通話的有 ADI 的首席執行官兼主席 Vincent Roche；以及 ADI 的首席財務官 Prashanth Mahendra-Rajah。

For anyone who missed the release, you can find it and relating financial statements and schedules at investor.analog.com on to the disclosure. Information we're about to discuss includes forward-looking statements, which are subject to certain risks and uncertainties, as further described in our earnings release and other periodic reports and other materials filed with the SEC.

對於錯過發布的任何人，您可以在 investor.analog.com 上找到它以及相關的財務報表和時間表。我們將要討論的信息包括前瞻性陳述，這些陳述受某些風險和不確定性的影響，如我們的收益發布和其他定期報告以及向美國證券交易委員會提交的其他材料中進一步描述的那樣。

As results could differ materially from these forward-looking statements. And these statements reflect our expectations only as of the date of this call. We undertake no obligation to update these statements except as required by law. Our comments today will also include non-GAAP financial measures, which exclude special items.

結果可能與這些前瞻性陳述存在重大差異。這些陳述僅反映我們截至本次電話會議之日的預期。除非法律要求，否則我們不承擔更新這些聲明的義務。我們今天的評論還將包括非 GAAP 財務措施，其中不包括特殊項目。

When comparing our results to our historical performance, special items are also excluded from prior periods. Reconciliations of these non-GAAP measures to their most directly comparable GAAP measures and additional information about our non-GAAP measures are included in today's earnings release.

在將我們的結果與我們的歷史業績進行比較時，特殊項目也被排除在前期之外。這些非 GAAP 措施與其最直接可比的 GAAP 措施的調節以及有關我們的非 GAAP 措施的其他信息包含在今天的收益發布中。

And with that, I'll turn it over to ADI's CEO, Chair Vince.

然後，我將把它交給 ADI 的首席執行官文斯主席。

Thanks, Mike, and good morning to you all. Well, I'm very pleased to share that ADI continue to execute well in the second quarter. We delivered our 13th consecutive quarter of revenue growth and record earnings per share. Notably, revenue was $3.26 billion, growing 10% year-over-year. And once again, this was driven by record results in our industrial and automotive sectors.

謝謝，邁克，大家早上好。好吧，我很高興與大家分享 ADI 在第二季度繼續表現良好。我們實現了連續第 13 個季度的收入增長和創紀錄的每股收益。值得注意的是，收入為 32.6 億美元，同比增長 10%。這再次受到我們工業和汽車行業創紀錄業績的推動。

Gross margin was nearly 74%, and operating margin surpassed 51% and reflecting the innovation premium, our portfolio commands and our strong financial discipline and EPS increased an impressive 18% year-over-year.

毛利率接近 74%，營業利潤率超過 51%，反映了創新溢價、我們的投資組合命令和我們強大的財務紀律，每股收益同比增長了 18%，令人印象深刻。

Now I'd like to spend a moment on the current business conditions. We previously shared that our business was at an inflection point due to uncertain economic and geopolitical backdrop. After 3 years of steady growth, customers are beginning to adjust their forecasts and rebalance their inventories. This is most pronounced in Asia, while North America and Europe demand is moderating but at a more measured pace. We expect this normalization of revenue will persist through the second half of 2023. Importantly, given our customer conversations and proactive decisions to improve lead times and rightsize our backlog, we're in a position to deliver on our goal of delivering a soft lending.

現在我想花點時間談談當前的業務狀況。我們之前分享過，由於不確定的經濟和地緣政治背景，我們的業務正處於拐點。經過 3 年的穩定增長，客戶開始調整他們的預測並重新平衡他們的庫存。這在亞洲最為明顯，而北美和歐洲的需求正在放緩，但速度更為節制。我們預計這種收入正常化將持續到 2023 年下半年。重要的是，考慮到我們與客戶的對話以及為縮短交貨時間和調整積壓訂單而做出的積極決策，我們能夠實現提供軟貸款的目標。

Stepping back, we've successfully navigated macro challenges many, many times before. Today, ADI has an even more durable franchise defined by an unmatched diversity of products, customers and applications a hybrid manufacturing model that better adapts to demand fluctuations and, of course, a fortified balance sheet.

退一步說，我們之前已經多次成功應對宏觀挑戰。如今，ADI 擁有更加持久的特許經營權，其產品、客戶和應用程序具有無與倫比的多樣性，這是一種混合製造模式，可以更好地適應需求波動，當然還有強化的資產負債表。

These characteristics instill a resiliency that helps ADI mitigate market weakness and invest through our economic cycles in critical areas that will define our future.

這些特性賦予 ADI 一種彈性，幫助 ADI 緩解市場疲軟，並在我們的經濟周期中投資於將決定我們未來的關鍵領域。

Notably, unlike previous economic cycles, we have numerous concurrent secular growth drivers across all of our markets that drive more semi content per dollar of CapEx. And we have exposure to sectors that will transcend the macro uncertainty, including areas like digital health care, aerospace, defense and the electrification ecosystem.

值得注意的是，與以前的經濟周期不同，我們在所有市場中同時擁有眾多長期增長驅動因素，這些驅動因素每美元資本支出推動更多半成品。我們接觸了將超越宏觀不確定性的行業，包括數字醫療保健、航空航天、國防和電氣化生態系統等領域。

So to that end, I want to highlight our digital health care business, which resides in our industrial end market. Health care is a market that is ripe for innovation and is one that requires the highest levels of performance. Now currently, the United States leads the world in health care spending with more than $4 trillion spent in 2022 alone. Approaching 20% of GDP. This amount has steadily increased over several decades and unfortunately, does not correlate to world-leading health outcomes.

因此，為此，我想強調我們位於工業終端市場的數字醫療保健業務。醫療保健是一個創新成熟的市場，也是一個需要最高水平表現的市場。目前，美國僅在 2022 年就花費了超過 4 萬億美元，在醫療保健支出方面處於世界領先地位。接近GDP的20%。幾十年來，這一數量穩步增加，不幸的是，與世界領先的健康結果無關。

Both the U.S., along with most international health care systems are still reliant on serving the majority of patients with critical or chronic conditions in large centralized acute care hospitals, where specialized expertise and equipment reside. The pandemic highlighted the fragility of this system, underscoring the urgent need for remote physician consultation and distributed clinical-grade patient care. This vision of a decentralized system to improve the accessibility, affordability and efficacy of global health care can only be realized through the proliferation of edge-based diagnostic and therapeutic technologies.

美國和大多數國際醫療保健系統仍然依賴大型集中式急救醫院為大多數危重或慢性病患者提供服務，這些醫院擁有專業知識和設備。大流行凸顯了該系統的脆弱性，凸顯了對遠程醫生會診和分佈式臨床級患者護理的迫切需求。只有通過基於邊緣的診斷和治療技術的擴散，才能實現這種分散式系統以提高全球醫療保健的可及性、可負擔性和有效性的願景。

ADI saw this promising opportunity early and made digital health care a strategic focus area over a decade ago. Over that time, our R&D investments have expanded our portfolio from core signal processing, sensing and power technologies to more highly integrated application-specific products to now full system-level solutions. The results, our health care franchise has delivered 7 straight record revenue years, generating $900 million annually and we're on track to achieve a new high watermark in '23 despite the macro backdrop.

ADI 很早就看到了這個充滿希望的機會，並在十多年前將數字醫療保健作為戰略重點領域。在那段時間裡，我們的研發投資已將我們的產品組合從核心信號處理、傳感和電源技術擴展到集成度更高的特定應用產品，再到現在的完整系統級解決方案。結果是，我們的醫療保健專營權已連續 7 年實現創紀錄的收入，每年產生 9 億美元，儘管宏觀背景不佳，我們仍有望在 23 年創下新高。

Importantly, ADI has become an industry leader in 3 primary areas. The first is medical imaging, where our highly integrated products perform critical functions. This includes enhancing image quality, minimizing radiation dosage, improving system assembly and simplifying field maintenance.

重要的是，ADI 已成為 3 個主要領域的行業領導者。首先是醫學成像，我們高度集成的產品在其中執行關鍵功能。這包括提高圖像質量、最大限度地減少輻射劑量、改進系統組裝和簡化現場維護。

Today, we have strong share positions in areas like CT scanners, digital x-ray and ultrasound. Next is automation and instrumentation. For example, our broad portfolio enables us to create the optimized signal chains required in applications such as infusion pumps, ventilators and defibrillators. Third is personal health monitoring. Here, our highest performance products are used throughout the operating room and the ICU, while more compact versions with lower power are designed into wearable devices, performing both clinical and consumer wellness monitoring functions.

今天，我們在 CT 掃描儀、數字 X 射線和超聲波等領域擁有強大的市場份額。接下來是自動化和儀器儀表。例如，我們廣泛的產品組合使我們能夠創建輸液泵、呼吸機和除顫器等應用所需的優化信號鏈。三是個人健康監測。在這裡，我們的最高性能產品用於整個手術室和 ICU，而更緊湊的低功耗版本被設計到可穿戴設備中，執行臨床和消費者健康監測功能。

Now let me share some of the examples of how we're seeing ADI solutions shape the future of health care. The ultrasound industry is migrating from large cart-based equipment to more compact mobile systems. Recently, ADI won the design as a market leader for their compact ultrasound system. Our solution leverages our complete portfolio, including high-speed signal chain and high-voltage power technologies, to deliver the highest quality images at the lowest power in a smaller footprint. We're also developing an echo to beat technology to untether the ultrasound modality from the hospital and enable hospital grade care and even the most remote locations. Our solution uses proprietary ultra-low power analog technology that performs both the data acquisition and beam forming functions at extremely low power levels with embedded software algorithms. This allows the user to get cart-based performance in a handheld form without compromising image quality, resolution or functionality.

現在讓我分享一些我們看到 ADI 解決方案如何塑造醫療保健未來的例子。超聲波行業正在從基於手推車的大型設備遷移到更緊湊的移動系統。最近，ADI 憑藉其緊湊型超聲系統贏得了市場領導者的設計。我們的解決方案利用我們完整的產品組合，包括高速信號鍊和高壓電源技術，以最小的佔地面積以最低的功率提供最高質量的圖像。我們還開發了一種迴聲擊敗技術，以擺脫醫院的超聲模式，並實現醫院級護理，甚至是最偏遠的地方。我們的解決方案使用專有的超低功耗模擬技術，通過嵌入式軟件算法以極低的功率水平執行數據採集和波束形成功能。這允許用戶以手持形式獲得基於手推車的性能，而不會影響圖像質量、分辨率或功能。

Now turning for a moment to robotic surgery. Currently, only about 15% of the world's surgical procedures use robotic technology despite the many benefits. These include greater precision, flexibility and control during surgery, and shorter hospital stays, fewer complications and lower levels of pain for patients.

現在轉向機器人手術。目前，儘管有很多好處，但世界上只有大約 15% 的外科手術使用機器人技術。這些包括手術期間更高的精確度、靈活性和控制力，以及更短的住院時間、更少的並發症和更低的患者疼痛程度。

We're already designed in at the largest robotic surgical suppliers with our suite of precision motor control, signal processing, power management and sensing solutions. And with content per system in the thousands of dollars and performance demands increasing exponentially, this application is poised to deliver significant growth in the years ahead.

我們已經為最大的機器人手術供應商設計了一套精密電機控制、信號處理、電源管理和傳感解決方案。由於每個系統的內容價值數千美元，性能需求呈指數級增長，因此該應用程序有望在未來幾年實現顯著增長。

In the area of personal health monitoring, clinical grade vital signs monitors are converging with consumer wellness wearables. Now this is an emerging market for our comprehensive suite of technologies. Including our sensor AFEs, microcontrollers and ultra low-power technologies, which has been strengthened by the integration of Maxim. For example, in diabetes management, ADI has long been a leading supplier of blood glucose monitoring technology.

在個人健康監測領域，臨床級生命體徵監測儀正在與消費者健康可穿戴設備融合。現在，這是我們綜合技術套件的新興市場。包括我們的傳感器 AFE、微控制器和超低功耗技術，這些技術已通過集成 Maxim 得到加強。例如，在糖尿病管理方面，ADI公司長期以來一直是領先的血糖監測技術供應商。

Now we're working with key customers in the next generation of continuous glucose monitoring. Our solution increases the level of robustness accuracy and power efficiency of the glucose sensor, thereby extending its life from days to weeks. And there is much, much more to come. We're extending our reach into innovative medical products that connect our hardware with cloud-based connectivity, analytics and service.

現在，我們正在與下一代連續血糖監測的主要客戶合作。我們的解決方案提高了葡萄糖傳感器的魯棒性、準確性和能效水平，從而將其壽命從數天延長至數週。還有很多很多。我們正在將我們的業務範圍擴展到創新的醫療產品，這些產品將我們的硬件與基於雲的連接、分析和服務相連接。

I'm delighted to share with you that our first noninvasive chronic disease management device is undergoing marketing clearance with the FDA, and I look forward to sharing more as this new market has the potential to significantly expand our health care set. So big picture, we're shaping the digital revolution in health care.

我很高興與您分享我們的首款無創慢性病管理設備正在接受 FDA 的市場許可，我期待著分享更多，因為這個新市場有可能顯著擴大我們的醫療保健範圍。大局觀，我們正在塑造醫療保健領域的數字革命。

ADI's ability to go from component to system supplier underscores our deep domain expertise and unrelenting focus on innovation, setting us apart from the pack, not only in health care but in all of our markets.

ADI 從組件供應商到系統供應商的能力凸顯了我們深厚的領域專業知識和對創新的不懈關注，使我們脫穎而出，不僅在醫療保健領域，而且在我們所有的市場。

So while there's near-term uncertainty, we're excited about the long-term opportunities that lie ahead. The center of gravity for data processing is shifting from the cloud to the edge. And ADI where data is born, is at the center of this evolution, enabling the next waves of innovation for our customers.

因此，儘管近期存在不確定性，但我們對未來的長期機遇感到興奮。數據處理的重心正在從雲端轉移到邊緣。而數據誕生的 ADI 處於這一演變的中心，為我們的客戶帶來下一波創新浪潮。

Now before I hand over to Prashanth, I want to address our announcement that he will be leaving ADI at the end of the fiscal year. I want to recognize Prashanth for his many contributions and for his partnership over these past 6 years. He's played an important role during a period of extraordinary growth and value creation for ADI, including help build a robust finance function and fostering strong investor community engagement. Please know that Prashanth will be remaining in its full capacity and continuing to engage with all of you while we identify our next CFO through a search process that is now underway.

現在，在我移交給 Prashanth 之前，我想談談我們宣布他將在本財年末離開 ADI 的消息。我想感謝 Prashanth 在過去 6 年中所做的諸多貢獻以及他的合作夥伴關係。在 ADI 實現非凡增長和價值創造的時期，他發揮了重要作用，包括幫助建立穩健的財務職能和促進強大的投資者社區參與。請知道，在我們通過目前正在進行的搜索過程確定下一任首席財務官的同時，Prashanth 將保持其全部能力並繼續與你們所有人接觸。

And with that, I'll hand it over to Prashanth.

然後，我將把它交給 Prashanth。

Thank you, Vince. It has been an honor to serve as the CFO of this phenomenal company and lead this world-class finance organization. As Vince mentioned, I'm fully committed to ensuring a smooth transition, and I look forward to engaging with all of you during the coming quarters. I do want to express my deep appreciation to Vince, both as a coach and a mentor but also for introducing me to this magical world of semiconductors. As my boss often says, we truly are the bedrock upon which the global technology industry is built.

謝謝你，文斯。很榮幸能擔任這家非凡公司的首席財務官並領導這家世界級的金融機構。正如 Vince 提到的，我完全致力於確保平穩過渡，我期待在接下來的幾個季度與你們所有人進行交流。我確實想對 Vince 表示深深的感謝，他既是一名教練和導師，也是他向我介紹了這個神奇的半導體世界。正如我的老闆經常說的那樣，我們確實是全球技術產業賴以建立的基石。

Now turning to our second quarter results. As usual, my comments today, with the exception of revenue will be on an adjusted basis, which excludes special items outlined in today's press release. We delivered another very strong quarter, record revenue of $3.26 billion exceeded the midpoint of guidance and represented ADI's 13th consecutive quarter of sequential growth. On a year-over-year basis, we grew 10%, led once again by all-time highs in industrial and automotive.

現在轉向我們的第二季度業績。像往常一樣，我今天的評論（收入除外）將在調整後的基礎上進行，其中不包括今天新聞稿中概述的特殊項目。我們交付了另一個非常強勁的季度，創紀錄的 32.6 億美元收入超過了指導的中點，代表 ADI 連續第 13 個季度實現環比增長。與去年同期相比，我們增長了 10%，再次由工業和汽車行業的歷史高位領跑。

Breaking it down by market, industrial, our most diverse and profitable business represented 53% of revenue and finished up 3% sequentially. Year-over-year growth of 16% was broad-based, notable gains in sustainable energy, aerospace and defense. These markets, in addition to health care, which Vince just highlighted, are much better positioned to withstand cyclical slowdown. And together, they represent roughly 40% of industrial revenue.

按市場細分，工業，我們最多樣化和盈利的業務佔收入的 53%，環比增長 3%。 16% 的同比增長是基礎廣泛的、顯著的可持續能源、航空航天和國防領域的增長。除了 Vince 剛剛強調的醫療保健之外，這些市場更有能力抵禦週期性放緩。它們加起來約佔工業收入的 40%。

Automotive, which represented 24% of revenue, once again exhibited broad-based strength, growing 10% sequentially and 24% year-over-year. Secular tailwinds fueling content growth continue to drive ADI's leading battery management and in-cabin connectivity solutions, which combined, increased nearly 40% year-over-year. Communications, which represented 14% of revenue decreased both sequentially and year-over-year due to the ongoing inventory corrections across this end market.

佔收入 24% 的汽車業務再次表現出廣泛的實力，環比增長 10%，同比增長 24%。推動內容增長的長期順風繼續推動 ADI 領先的電池管理和車內連接解決方案，這些解決方案合計同比增長近 40%。由於整個終端市場的持續庫存調整，佔收入 14% 的通信業務環比和同比均有所下降。

And lastly, consumer at 9% of revenue was down more than 20% sequentially and year-over-year. After several quarters of softness, consumer revenue is close to its COVID load, suggesting that the correction is nearly complete.

最後，佔收入 9% 的消費者環比和同比下降超過 20%。在經歷了幾個季度的疲軟之後，消費者收入接近其 COVID 負載，這表明調整已接近完成。

Moving on to the P&L. Gross margin of 73.7% was up slightly sequentially due to favorable product mix, OpEx at $733 million was in line with last quarter and op margins of 51.2%, up roughly 100 basis points year-over-year, set a new record. Non-op expenses were $48 million and our tax rate was 11.4%. Remember that Q2 is typically our lowest rate. All told, EPS came in at $2.83, up an impressive 18% year-over-year.

轉到損益表。由於有利的產品組合，毛利率為 73.7%，環比略有上升，運營支出為 7.33 億美元，與上一季度持平，運營利潤率為 51.2%，同比增長約 100 個基點，創下新紀錄。非運營費用為 4800 萬美元，我們的稅率為 11.4%。請記住，第二季度通常是我們的最低利率。總而言之，每股收益為 2.83 美元，同比增長 18%，令人印象深刻。

Moving to the balance sheet. We ended the quarter with approximately $1.2 billion of cash and a net leverage ratio of 0.8. We've discussed many times our decision to hold more finished goods inventory versus restocking the channel. Thus, our days of inventory increased to 168 and channel inventory weeks were basically unchanged. As we outlined a quarter ago, we expect inventory dollars will decline in the second half as we balance the replenishment of die bank and moderate external purchases.

轉到資產負債表。我們在本季度結束時擁有約 12 億美元的現金和 0.8 的淨槓桿率。我們已經多次討論過我們決定持有更多成品庫存而不是重新進貨渠道。因此，我們的庫存天數增加到168天，渠道庫存週數基本沒有變化。正如我們在一個季度前概述的那樣，我們預計庫存美元將在下半年下降，因為我們會平衡模具庫的補充和適度的外部採購。

Moving to cash flow. CapEx was $284 million in the quarter and $930 million over the trailing 12 months, representing 7% of revenue. As a reminder, we outlined at our Investor Day that we expect CapEx to be high single digits as a percentage of sales in 2023 and then decline in subsequent years to our longer-term target of mid-single digits. These investments will support our long-term growth plans and enable strategic swing capacity between our fabs and our foundry partners. The flexibility of our hybrid model across different geographies enhances our resiliency. It offers our customers additional optionality, and it provides an important financial shock absorber during times of volatility.

轉向現金流。本季度的資本支出為 2.84 億美元，過去 12 個月的資本支出為 9.3 億美元，佔收入的 7%。提醒一下，我們在投資者日概述了我們預計 2023 年資本支出佔銷售額的百分比將達到高個位數，然後在隨後幾年下降到我們的中個位數的長期目標。這些投資將支持我們的長期增長計劃，並在我們的晶圓廠和我們的代工合作夥伴之間實現戰略轉移能力。我們跨不同地區的混合模型的靈活性增強了我們的彈性。它為我們的客戶提供了額外的選擇權，並在動盪時期提供了重要的金融減震器。

Of note, our CapEx spend to date does not include the benefits of both the U.S. and the European tax credit and grant funds that we anticipate from both the U.S. and European chip SoC. Over the trailing 12 months, we generated $4 billion of free cash flow or 31% of revenue. We've returned $5.1 billion to shareholders, $3.5 billion in buybacks and $1.6 billion via dividend. We remain committed to our shareholder-friendly policy of returning 100% of free cash flow over the long term.

值得注意的是，我們迄今為止的資本支出支出不包括我們預期從美國和歐洲芯片 SoC 獲得的美國和歐洲稅收抵免和贈款資金的好處。在過去的 12 個月裡，我們產生了 40 億美元的自由現金流，佔收入的 31%。我們已經向股東返還了 51 億美元、35 億美元的回購和 16 億美元的股息。我們仍然致力於長期返還 100% 自由現金流的股東友好政策。

Now before moving to the outlook, I do want to provide some additional details on the evolving business conditions. As Vince shared in his remarks, customers are adjusting forecast and rebalancing inventory. At the same time, our lead times continue to improve, with over 70% of our portfolio now shipping in under 13 weeks. This gives customers high confidence into the timeliness of our supply. The result book-to-bill, as we outlined last quarter, remains below parity in all markets and our backlog due in the current quarter has returned to its typical coverage range. As a result, total backlog continues to decline, but at just under a year of revenue, it's still 2x regular levels. And lastly, after a strong start to the second quarter, demand quickly deteriorated in Asia, impacting channel sell-through. As a result, we plan to reduce channel inventory in this region. And in the third quarter, we are planning for sell-in to be below sell-through for the total company.

現在，在轉向展望之前，我確實想提供一些關於不斷變化的商業狀況的額外細節。正如 Vince 在他的發言中分享的那樣，客戶正在調整預測並重新平衡庫存。與此同時，我們的交貨時間繼續縮短，我們超過 70% 的產品組合現在可以在 13 週內發貨。這讓客戶對我們的供貨及時性充滿信心。正如我們上個季度概述的那樣，訂單出貨比結果在所有市場中仍低於均價，我們本季度到期的積壓訂單已恢復到其典型的覆蓋範圍。因此，總積壓訂單繼續下降，但在不到一年的收入下，它仍然是正常水平的 2 倍。最後，在第二季度開局強勁之後，亞洲的需求迅速惡化，影響了渠道銷售。因此，我們計劃減少該地區的渠道庫存。在第三季度，我們計劃讓整個公司的銷售量低於銷售量。

Given these dynamics, we are guiding third quarter revenue to be $3.1 billion, plus or minus $100 million. At the midpoint of our outlook, we expect industrial and auto to be down low to mid-single digits sequentially, communications down around 10% sequentially, while consumer will increase sequentially. Op margin is expected to be 48.5%, plus or minus 70 bps. The decline in op margin relates to our annual merit increases, changing product mix and a reduction of manufacturing utilization given the softer environment. Our tax rate, again, between 11% and 13%. And based on these inputs, adjusted EPS is expected to be $2.52, plus or minus $0.10. While the near-term operating environment is a difficult one, our diversification and exposure to key secular trends is expected to help mitigate the revenue impact.

鑑於這些動態，我們指導第三季度收入為 31 億美元，上下浮動 1 億美元。在我們展望的中點，我們預計工業和汽車將環比下降到中等個位數，通信環比下降 10% 左右，而消費將環比增長。運營利潤率預計為 48.5%，上下浮動 70 個基點。營業利潤率的下降與我們的年度業績增長、產品組合的變化以及在較軟環境下製造利用率的降低有關。我們的稅率同樣在 11% 到 13% 之間。根據這些輸入，調整後的每股收益預計為 2.52 美元，上下浮動 0.10 美元。雖然近期經營環境艱難，但我們的多元化和對主要長期趨勢的了解預計將有助於減輕收入影響。

In addition, we have key levers to help us minimize margin volatility. This includes our flexible hybrid manufacturing model which allows us to quickly reduce spend on external wafers and moderate the impact on internal utilizations. Our variable compensation program, which has a true accordion-like function, allowing us to reduce spend while still investing in key long-term areas. As a result, we expect a durable earnings stream and solid free cash flow generation. Enabling us to take advantage of any share price dislocations.

此外，我們有關鍵槓桿來幫助我們最大限度地減少利潤率波動。這包括我們靈活的混合製造模型，它使我們能夠快速減少外部晶圓的支出並減輕對內部利用率的影響。我們的可變薪酬計劃具有真正的類似手風琴的功能，使我們能夠減少支出，同時仍在關鍵的長期領域進行投資。因此，我們預計會有持久的收益流和穩定的自由現金流產生。使我們能夠利用任何股價錯位。

Before handing off to Mike, I want to remind folks that in June, we will be doing a deep dive on the burgeoning opportunity for ADI in the construction of Gigafactories. And with that, let me pass it to Mike for Q&A.

在交給 Mike 之前，我想提醒大家，在 6 月，我們將深入探討 ADI 在超級工廠建設中的新興機遇。然後，讓我將它傳遞給邁克進行問答。

Thanks, Prashanth. I want to echo Vince's comments to thank you for the partnership over the past 6 years, but I will warn you is not done yet. We have called more earnings calls together. So with that, let's get to the Q&A session. (Operator Instructions) With that, we have our first question, please.

謝謝，普拉尚。我想重複 Vince 的評論，感謝您在過去 6 年的合作夥伴關係，但我要警告您，事情還沒有結束。我們一起召開了更多的財報電話會議。因此，讓我們進入問答環節。 （操作員說明）有了這個，我們有第一個問題。

(Operator Instructions) Our first question comes from Vivek Arya with Bank of America Securities.

（操作員說明）我們的第一個問題來自美國銀行證券公司的 Vivek Arya。

Just to Prashanth. So my question really is, I'm trying to understand where is the incremental weakness? Is it limited to Asia. And within Asia, is that industrial or automotive or both? And what about non-Asia demand? How has that changed versus what you thought 3 months ago?

剛到普拉尚。所以我的問題真的是，我試圖了解增量弱點在哪裡？是否僅限於亞洲。在亞洲，是工業還是汽車，還是兩者兼而有之？那麼非亞洲的需求呢？與您 3 個月前的想法相比，這有何變化？

Yes. Thank you, Vivek. It's been a pleasure to work with you, and we still have a few quarters together. Everyone is focused on the quarter-over-quarter. But before, I guess, to your answer, I do want to take a step back and look at the year-over-year because I do think that tells the story of share gains and the increasing content per dollar of CapEx which is what we believe delivers that long-term shareholder value.

是的。謝謝你，維維克。很高興和你一起工作，我們還有幾個季度在一起。每個人都關注季度環比。但我想，在回答你之前，我確實想退後一步，看看同比增長，因為我確實認為這講述了股票收益和每美元資本支出增加內容的故事，這就是我們相信可以帶來長期的股東價值。

If you look at our industrial and auto business, they are up year-over-year at the midpoint of guidance. Industrial, I'll call it, roughly mid-single digits and auto mid-teens year-over-year. And this comes at a time when PMIs are below 50 and auto SAAR is relatively modest.

如果你看看我們的工業和汽車業務，它們在指導的中點同比增長。工業，我稱之為，大約是中等個位數和汽車年中十幾歲。這是在 PMI 低於 50 且汽車 SAAR 相對溫和的時候出現的。

So while the economics in the cycle dictate the number of units our customers sell, which will impact our business, our share gains and our increasing content per dollar of CapEx is what we expect to help us outperform, which means we're going to decline less in bad times and accelerate in good times. To your specific question, China definitely was the sort of the piece of new information that has developed over the more recent period. We are -- we've had 3 quarters of decline in China, and we're expecting a fourth. We did see an uptick following kind of the resumption or the return to office after Chinese New Year, but that did fade quickly. And the result was we've got inventory a little higher in the channel there than we expected.

因此，雖然週期中的經濟決定了我們客戶銷售的單位數量，這將影響我們的業務，但我們的股票收益和每美元資本支出的增加內容是我們期望幫助我們跑贏大盤的東西，這意味著我們將下降在不好的時候減少，在好的時候加速。對於你的具體問題，中國絕對是最近一段時間內出現的那種新信息。我們是——我們在中國經歷了三個季度的下滑，我們預計還會有第四個季度。我們確實看到在春節後恢復或重返辦公室後有所上升，但這種情況確實很快就消失了。結果是我們在渠道中的庫存比我們預期的要高一些。

Very confident that this is not a share issue. This is a reflection of what's going on in those markets, and it's broad-based across both industrial and auto. Outside of China, I'd say that industrial and auto is holding up relatively well, especially North America, Europe and Japan. Not as strong as it was prior quarter, but it's not falling rapidly. And I would characterize it more as a measured slowdown. Comms and consumer, we've been talking about those in all those geographies, those remain weak.

非常有信心這不是股票問題。這反映了這些市場正在發生的事情，並且它在工業和汽車領域都有廣泛的基礎。在中國以外，我想說工業和汽車的表現相對較好，尤其是北美、歐洲和日本。沒有上一季度那麼強勁，但也沒有迅速下降。我更願意將其描述為有節制的放緩。通信和消費者，我們一直在談論所有這些地區的那些，它們仍然很弱。

Our next question comes from the line of Tore Svanberg with Stifel.

我們的下一個問題來自 Tore Svanberg 與 Stifel 的合作。

Prashanth, it's been great working with you. Wish you all the best. I know we're together for a fewer months, but anyway, we wish you all the best. My question is on utilization and inventory levels. So could you give us a sense of where utilization is today? What's your plan for the second half? You did talk about inventory in dollar terms coming down in the second half. But if you could give us any color on the extent of that, I would really appreciate it.

Prashanth，與你合作非常愉快。祝你一切順利。我知道我們在一起的時間少了幾個月，但無論如何，我們祝你一切順利。我的問題是關於利用率和庫存水平。那麼您能告訴我們今天的利用率在哪裡嗎？下半年有什麼計劃？你確實談到了下半年以美元計算的庫存下降。但如果你能就此給我們任何顏色，我將非常感激。

Yes. Thank you, Tore. It's great working with you. So as we think about inventory, inventory is going to remain higher than normal because we're keeping the channel lean. This is something we started 2 or 3 quarters ago. From a dollar basis, inventory has peaked in second quarter, as I mentioned in my prepared remarks, and you should see dollars start to trend down from here given the actions that we're taking, which is both reducing our external wafer bills, which is an opportunity that we have because of our swing capacity in our hybrid manufacturing model. And that also allows us to balance out the die bank building in our internal factories with softer demand and tap the brakes on in utilization.

是的。謝謝你，托爾。很高興和你一起工作。因此，當我們考慮庫存時，庫存將保持高於正常水平，因為我們正在保持渠道精簡。這是我們 2 或 3 個季度前開始的事情。從美元的角度來看，庫存在第二季度達到頂峰，正如我在準備好的發言中提到的，鑑於我們正在採取的行動，你應該看到美元從這裡開始下降，這既減少了我們的外部晶圓賬單，這是我們擁有的機會，因為我們在混合製造模型中具有靈活的能力。這也使我們能夠平衡我們內部工廠的模具銀行建設與疲軟的需求，並在利用率上踩剎車。

Utilization, I would say, still are at elevated levels, so we expect them to start getting closer to what we would consider normal levels in the -- in our fiscal fourth quarter.

我要說的是，利用率仍處於較高水平，因此我們預計它們將在我們的第四財季開始接近我們認為的正常水平。

So to give you a little context, in the outlook we gave -- we talked about 48.5% operating margin. That assumes gross margins come down from where they are today. That's mix and also it is utilization, as Prashanth mentioned. And then OpEx was up a little bit in the third quarter based on merit increase, offset some by the variable compensation. So that's how kind of the math around that. And then as you say, as you look out, utilities probably don't go higher from -- in 4Q after 3Q. Just to kind of give you a feel for the back half of the year. Thanks for the question, we'll have the next one.

因此，為了給您一些背景信息，在我們給出的展望中——我們談到了 48.5% 的營業利潤率。這假設毛利率從今天的水平下降。正如 Prashanth 提到的那樣，這就是混合，也是利用。然後 OpEx 在第三季度根據業績增長略有上升，部分被可變薪酬抵消。這就是圍繞它進行的數學運算。然後正如你所說，正如你所看到的那樣，公用事業可能不會在第三季度之後的第四季度走高。只是為了讓您對今年下半年有所了解。感謝您的提問，我們將有下一個。

Our next question comes from the line of Ambrish Srivastava with BMO Capital Markets.

我們的下一個問題來自 BMO Capital Markets 的 Ambrish Srivastava。

Hi Ambrish, we hear you.

嗨 Ambrish，我們聽到你了。

Sorry, Sorry, I lost the first step. Thank you, Prashanth. Pleasure working with you as well. I just wanted to come back to the backlog. And you just went through this comment a little bit too quick for me. So the backlog, as you said, 2x regular levels, but book-to-bill below and it is where the typical coverage range is at this point. So I was unsure what that means. More importantly, book-to-bill should then be trending lower as we go over the next couple of quarters. Is that the right conclusion I should take away from those comments?

對不起，對不起，我失去了第一步。謝謝你，普拉尚。和你一起工作也很愉快。我只是想回到積壓工作。你剛剛通過這個評論對我來說有點太快了。因此，正如您所說，積壓是常規水平的 2 倍，但低於訂單出貨量，這是此時典型的覆蓋範圍。所以我不確定那是什麼意思。更重要的是，在接下來的幾個季度裡，訂單出貨比應該會呈下降趨勢。我應該從這些評論中得出正確的結論嗎？

What I would -- I guess, let me -- let's do this in 2 pieces. First, let's talk about our view on this correction. Obviously, no correction is the same. But if you look over at history, Ambrish, most of these sort of downturns last forward somewhere between 2 to 4 quarters and it's our view that we're going to have a weakness for the second half. But a couple of points around that.

我想——我想，讓我——讓我們分兩部分來做。首先，讓我們談談我們對這次修正的看法。顯然，沒有更正是相同的。但如果你回顧一下歷史，Ambrish，大多數此類低迷會持續 2 到 4 個季度之間，我們認為下半年我們將出現疲軟。但圍繞這一點有幾點。

First, we are really seeing this as a rolling correction across the market because obviously, no market is fully immune, but I do think that we're better positioned. Comms and consumer, I think we -- you would agree with us, the worst is largely behind us. We -- we've seen those correct over the last couple of quarters, and we're actually being a little bit more optimistic about consumer as we go forward.

首先，我們確實將此視為整個市場的滾動修正，因為顯然沒有哪個市場能夠完全免疫，但我確實認為我們處於更好的位置。通信和消費者，我想我們——你會同意我們的看法，最壞的情況已經基本過去了。我們——我們在過去幾個季度看到了這些是正確的，而且在我們前進的過程中，我們實際上對消費者更加樂觀。

Industrial and auto, we're starting to see some softness but that's probably not going to just last a quarter. It's important to point out that we do have some areas of strength in industrial. We mentioned that in the prepared remarks. And auto really is going to continue to be a function of the SAAR activity. From a bookings and backlog standpoint, the takeaways you want is bookings overall continue to decrease, but they're basically sitting at about a year of revenue, the total backlog.

工業和汽車，我們開始看到一些疲軟，但這可能不會持續一個季度。重要的是要指出我們在工業領域確實有一些優勢。我們在準備好的評論中提到了這一點。汽車確實將繼續成為 SAAR 活動的一個功能。從預訂和積壓的角度來看，你想要的結論是總體預訂量繼續減少，但他們基本上處於大約一年的收入，總積壓。

What that means is that the backlog for the current quarter is now to normal levels, which means that we're back to a point where we will be relying on some book and ship to hit the guide, and that's back to normal pre-COVID levels. And on a book-to-bill, we're below parity, which we had said for a couple of quarters now that this was coming, and that's pretty broad-based. It's sort of all markets, industrial and auto are a little bit better, but all markets, all geographies. I did call out on -- in I think Tore's question that China is certainly the weakest of that.

這意味著當前季度的積壓現在已恢復到正常水平，這意味著我們回到了依靠一些書籍和船舶來達到指南的地步，並且回到了 COVID 之前的正常狀態水平。在訂單到賬單方面，我們低於平價，我們已經說過幾個季度了，因為這即將到來，而且這是非常廣泛的。所有市場，工業和汽車都好一點，但所有市場，所有地區。我確實呼籲 - 我認為托爾的問題是中國肯定是最弱的。

Got it. Thank you, I'll hit you back for another follow-up.

知道了。謝謝你，我會打回你的另一個後續行動。

Next question.

下一個問題。

Our next question comes from the line of Joseph Moore with Morgan Stanley.

我們的下一個問題來自摩根士丹利的約瑟夫摩爾。

Let me add my congratulations to Prashanth. Can you talk about the backlog being out over a year when 70% of lead times are below 13 weeks. How much -- I know you've been pretty aggressive scrubbing that backlog. How confident are you that, that reflects real demand? And then can you sort of describe -- it seems like you're still getting a pretty decent amount of bookings considering that people have booked out 52 weeks and can get product within 13 weeks. Can you just kind of -- are people still placing orders beyond lead time to try to assure continuity?

讓我向 Prashanth 表示祝賀。當 70% 的交貨時間低於 13 週時，您能談談積壓超過一年的情況嗎？多少——我知道你一直在積極清理積壓的工作。您對此有多大信心，這反映了實際需求？然後你能不能描述一下——考慮到人們已經預訂了 52 週並且可以在 13 週內獲得產品，你似乎仍然獲得了相當可觀的預訂量。你能不能——人們是否仍在超前下訂單以確保連續性？

Great question, Joe. Thank you. So first, yes, you're exactly right. When we talk about backlog being out kind of roughly a year in value, that's phased over several quarters. So we have delivery dates from customers that are in future quarters, which sort of gives us confidence to what the future looks like. And now we're sort of back to that stage that we've always operated in pre-COVID levels where there is a percentage of the current quarter's revenues that comes from turns business.

好問題，喬。謝謝。所以首先，是的，你是完全正確的。當我們談論積壓大約一年的價值時，這是分幾個季度分階段進行的。因此，我們有未來幾個季度客戶的交貨日期，這讓我們對未來充滿信心。現在我們又回到了那個階段，我們一直在 COVID 之前的水平上運營，在這個階段，本季度的收入中有一定比例來自輪流業務。

So we're back to that state of abnormal with the lead times down as they've improved with our manufacturing capacity additions. Now there's no incentive for customers to keep giving us orders out with a significant advanced notice. They can get most of what they need pretty quickly. And that's the transition that you're seeing being reflected in the book-to-bill rate.

因此，隨著我們的製造能力增加，交貨時間有所改善，我們又回到了這種異常狀態。現在，客戶沒有動力在提前通知的情況下繼續向我們下訂單。他們可以很快得到他們需要的大部分東西。這就是您看到的反映在訂單出貨率上的轉變。

But Again, as I mentioned, we are expecting and Vince has talked for a couple of quarters now that we were expecting the macro impact to hit us, but we remain very confident that content story we have is going to help mute the impact relative to others.

但再次，正如我提到的，我們期待並且文斯已經談了幾個季度，因為我們期待宏觀影響會打擊我們，但我們仍然非常有信心，我們擁有的內容故事將有助於減輕相對於其他的。

And given our end market exposure, as I mentioned, it's sort of going to be rolling through us. Consumer and comms are largely behind us. We will see auto pressure on units for a couple of quarters -- sorry, industrial pressure on units for a couple of quarters. And auto, we can't give you a good sense of, except to say we know we have a phenomenal content story growth there, and it really will depend on consumer purchases.

正如我所提到的，考慮到我們的終端市場風險，它會在我們身上滾動。消費者和通訊在很大程度上落後於我們。我們將在幾個季度內看到汽車對單位的壓力 - 抱歉，幾個季度對單位的工業壓力。而汽車，我們不能給你一個很好的感覺，只是說我們知道我們在那裡有一個驚人的內容故事增長，這真的取決於消費者的購買。

Yes. I think, Joe, at the margins, I think our customers have changed the behavior. It used to be that the world expected to be able to operate on a very rapid turn cycle. No, I think that will persist. But what will also persist is the change in behavior around aligning long customers aligning their longer-term demands with supply. And those are conversations that we're having continuously. So I think the behavior has changed somewhat, and perhaps we've got a new normal.

是的。我認為，喬，在邊緣，我認為我們的客戶已經改變了行為。過去，世界期望能夠以非常快的周轉週期運作。不，我認為這會持續下去。但也將持續存在的是圍繞長期客戶調整其長期需求與供應的行為變化。這些是我們一直在進行的對話。所以我認為行為有所改變，也許我們已經有了新常態。

Thanks, Joe. Next question.

謝謝，喬。下一個問題。

Our next question comes from the line of Chris Danely with Citi.

我們的下一個問題來自花旗銀行的 Chris Danely。

I'll add my congrats to Prashanth. I wish I was retiring too. I just had, I guess, a question or some more color on the correction. What do you think triggered it? Do you think it was just a function of the shortages going away and people always had a little bit of inventory out there, and now they're going to start to cancel orders? And then how bad do you think it could get?

我會向 Prashanth 表示祝賀。我希望我也退休了。我想我只是有一個問題或更正的顏色。你認為是什麼觸發了它？你認為這只是短缺消失的結果，人們總是有一點庫存，現在他們要開始取消訂單了嗎？然後你認為它會變得多糟糕？

I mean your auto business has tripled in your industrial business has doubled in the last 2 years and change. So what should we be thinking for like the October quarter and beyond?

我的意思是您的汽車業務在過去 2 年中翻了一番，而您的工業業務翻了一番並且發生了變化。那麼我們應該為 10 月季度及以後考慮什麼？

Yes. Chris, I don't know that I would call it a trigger per se. I think that, as I mentioned, we've been sort of rolling through this. It is just that there's been enough growth in sub parts of our market that have overshadowed the pressure we've seen on comms and consumer. Now industrial, which is really the flagship starting to feel a little bit of the impact from the higher interest rate environment.

是的。克里斯，我不知道我會把它稱為觸發器本身。我認為，正如我提到的，我們一直在努力解決這個問題。只是我們市場的子部分有足夠的增長，這掩蓋了我們在通信和消費者方面看到的壓力。現在，真正的旗艦產品工業開始感受到更高利率環境的影響。

So that's coming through. But again, I would call out that we've got a pretty sizable portion of that industrial market that is very recession resistance. That's the health care business, which Vince talked about, the aerospace and defense as well as our energy business.

這就是通過。但我要再次指出，我們在這個工業市場中有相當大的一部分非常抗衰退。這就是文斯談到的醫療保健業務、航空航天和國防以及我們的能源業務。

I think what I mentioned, I think, to Ambrish's question is the piece that perhaps was most surprising to us is we were expecting a stronger bounce in China as they reopened from COVID and they got on the other side of Chinese New Year, and that recovery has not happened. And again, as I mentioned, we know that it's not a share issue is a macro issue to that market. And what was the second part of your question?

我想我提到的，我想，安布里什的問題可能是最讓我們驚訝的是，我們預計中國會在中國從 COVID 重新開放時出現更強勁的反彈，而且他們在農曆新年的另一邊，而且恢復沒有發生。再一次，正如我提到的，我們知道這不是股票問題，而是該市場的宏觀問題。你問題的第二部分是什麼？

Just how bad do you think it could get any color on October and beyond?

你認為它在 10 月及以後會有多糟糕的顏色？

I'm going to turn to the 40-year veteran of this business who has seen multiple cycles and let Vince take that.

我將求助於在該行業擁有 40 年經驗的老將，他經歷過多個週期，讓 Vince 接受。

Yes. Chris, I think first and foremost, what we're seeing now in our business is that the troughs are not as deep, and the peaks are steeper than they used to be. There's more and more content in every one of the market segments that we participate in. So I think that's the way to look at it. The troughs are probably going to be -- they're probably going to be shallower. Also, we've been very careful at managing our factories and making sure that we don't necessarily build inventory and ship product that perhaps isn't needed. So my sense is we've set ourselves up for a softer lending just given how we've managed through the cycle and trying to match demand of our customers as tightly as we can with the supply system. So I think perhaps just given where PMIs are at, we would see at least a couple of quarters here of muted demand. And my sense is when the sentiment begins to turn, it will turn quickly.

是的。克里斯，我認為最重要的是，我們現在在我們的業務中看到的是低谷沒有那麼深，而且高峰比過去更陡峭。我們參與的每個細分市場都有越來越多的內容。所以我認為這就是看待它的方式。低谷可能會——它們可能會更淺。此外，我們一直非常謹慎地管理我們的工廠，並確保我們不一定會建立庫存和運送可能不需要的產品。因此，我的感覺是，鑑於我們在整個週期中的管理方式，並試圖盡可能緊密地匹配客戶需求與供應系統，我們已經為更寬鬆的貸款做好了準備。所以我認為，也許只是考慮到採購經理人指數所處的位置，我們至少會看到幾個季度的需求疲軟。我的感覺是，當情緒開始轉變時，它會迅速轉變。

Yes, Chris, I'll add to that one. Unit demand for the couple of quarters here. It's good to think like we've grown 13 quarters relative. I think investors and sell-side people forget that you do have down quarter sometimes. And we're kind of going back to, I will call it, a bit more normal. And a more normal 4Q, you kind of -- you see industrial kind of flat to down from 3Q all is about flat.

是的，克里斯，我會補充一點。這裡幾個季度的單位需求。想想我們已經相對增長了 13 個季度是件好事。我認為投資者和賣方人士忘記了您有時確實會遇到季度下滑。我們有點回到，我會稱之為，更正常一點。一個更正常的 4Q，你有點 - 你看到工業類型從 3Q 下降到幾乎持平。

Comms not much activity happening right now in that market and consumers use up a little bit. And if you look at our 1Q a normal 1Q for us, the B2B markets, which is industrial, auto and comms are down kind of low mid-single digits and consumer is down a bit more due to holiday builds. And then you get a 2Q pickup. Now that's not an outlook. That's just kind of what the normal shape was pre-COVID.

該市場目前沒有太多活動發生，消費者用掉了一點點。如果你看看我們的 1Q 對我們來說是正常的 1Q，工業、汽車和通信的 B2B 市場下降了中低個位數，消費者由於假期建設而下降了更多。然後你會得到一個 2Q 皮卡。現在這不是一個前景。這就是正常形狀在 COVID 之前的樣子。

Yes. I can tell you as well, Chris, from conversations with our industrial and automotive customers, their sentiment is quite strong. I met the CEO of one of the largest industrial automation companies very, very recently. And they see tremendous secular growth drivers.

是的。我也可以告訴你，克里斯，從與我們的工業和汽車客戶的談話中，他們的情緒非常強烈。最近，我遇到了最大的工業自動化公司之一的首席執行官。他們看到了巨大的長期增長動力。

There's a rebound in demand from the pandemic stage, where a lot of factory, the CapEx to improve factories, efficiencies and so on was not spent. So that continues. The whole sustainability challenge is on everybody's mind. So there are many reasons to believe that we're going through a short-term period here of reconciliation, normalization of demand and supply.

大流行階段的需求出現反彈，那裡有很多工廠，用於改善工廠、效率等的資本支出沒有花掉。這樣繼續下去。每個人都在考慮整個可持續性挑戰。因此，有很多理由相信我們正在經歷一個短期的供需和解、正常化時期。

But my sense is things will recover in the industrial market pretty rapidly. And in automotive, it's a case of we're getting more and more share in the areas that count with our connectivity products, the electric vehicle portfolio that we've got. And there's still reasonable demand, I would say, for mid- to high-end automobiles. So we see this as a relatively short-term reset.

但我的感覺是，工業市場的情況會很快恢復。在汽車領域，我們在與我們的連接產品相關的領域中獲得越來越多的份額，我們擁有的電動汽車產品組合。我想說，對中高端汽車的需求仍然是合理的。所以我們認為這是一個相對短期的重置。

Our next question comes from the line of Ross Seymore with Deutsche Bank.

我們的下一個問題來自德意志銀行的 Ross Seymore。

Just want to echo the congrats for Prashanth. A quick clarification then a question. The clarification is, when you talk about the second half being a little bit weaker, is that fiscal year or calendar year? And then the true question is on the automotive side of things. You've mentioned a couple of times that it's kind of SAAR dependent, but the bigger trend in automotive over the last few years has been mainly content and you guys have benefited from that as well.

只想回應對 Prashanth 的祝賀。快速澄清然後是一個問題。澄清一下，當你談到下半年有點疲軟時，是那個財政年度還是日曆年度？然後真正的問題是在汽車方面。你已經多次提到它有點依賴 SAAR，但過去幾年汽車行業的大趨勢主要是內容，你們也從中受益。

I think you're one of the first companies in the semi side to guide that down, albeit minimally on a sequential basis. Has something changed there that you're seeing that others aren't? Is it inventory? Is it demand? Just any more color on that would be helpful.

我認為你是半邊的第一批引導它下降的公司之一，儘管在連續的基礎上是最低限度的。那裡是否發生了一些變化，而您看到其他人沒有？是庫存嗎？是需求嗎？任何更多的顏色都會有所幫助。

Yes, I'll go the first part, Ross. I gave a little bit of comments around kind of what I thought would be -- our fiscal 4Q and fiscal 1Q outlook based on kind of normalization. So you can kind of take from that and parse that with your question about is it fiscal second half, calendar second half and put it along that, it's both. With that, I'll pass it to be on the auto side.

是的，我會去第一部分，羅斯。我對我的想法發表了一些評論——我們基於某種正常化的第四季度和第一季度財政展望。所以你可以從中獲取並分析你的問題是它是財政下半年，日曆下半年並把它放在一起，它都是。有了這個，我會把它傳遞給汽車方面。

I'll take it. All right. Yes. So look, we've grown 10 quarters in a row, and the growth for the last quarter was very broad-based, again, across all applications. As we think about the outlook, we are beginning to see some softening, though the underlying content growth continue and our top line should still prove to be a strong multiple of SAAR. There is some decline that relates to our strong position in China EV.

我要買它。好的。是的。所以看，我們已經連續 10 個季度增長，上個季度的增長基礎非常廣泛，再次涵蓋所有應用程序。當我們考慮前景時，我們開始看到一些疲軟，儘管基礎內容繼續增長，我們的收入應該仍然是 SAAR 的強勁倍數。有一些下降與我們在中國電動汽車領域的強勢地位有關。

So when you ask about what's different for EI Ross, I think that the share position we have in China EV is probably one of those differentiating factors. And that is going through an adjustment as well. While China EVs are still expected to grow, it's not going to be growing as fast as we had originally thought.

所以當你問到 EI Ross 有什麼不同時，我認為我們在中國 EV 中的份額可能是這些差異化因素之一。這也正在經歷調整。雖然預計中國電動汽車仍將增長，但不會像我們原先想像的那樣增長。

And so as this market comes back, it's going to provide the tailwinds we need for our automotive businesses because we have a very high share. Again, take a step back. We remain very confident that this is a business with the strong product portfolio we have, battery management in cabin connectivity with GMSL, it will be an functional safe power. These represent about half of our business. And in a flat sour environment, we are still going to be able to do double-digit growth.

因此，隨著這個市場的回歸，它將為我們的汽車業務提供所需的順風，因為我們擁有非常高的份額。再次，退後一步。我們仍然非常有信心，這是一家擁有強大產品組合的企業，與 GMSL 連接的機艙電池管理，這將是一種功能安全的電源。這些約占我們業務的一半。在一個平淡的環境中，我們仍然能夠實現兩位數的增長。

Thanks, Ross. And this could go to our last question, please.

謝謝，羅斯。請轉到我們的最後一個問題。

This question comes from the line of William Stein with Truist Securities.

這個問題來自 Truist Securities 的 William Stein。

Two quick ones, if I can squeeze them in. First, I wonder, you've been very optimistic or relatively optimistic about pricing in the past few discussions we've had, essentially highlighting that boundaries are either still raising or certainly not lowering and you're having no problems passing that on? I'd like you to comment if there's any update in that regard? And then the other is just to try to get a linger a moment and get a better understanding for what happened in China because earlier in the quarter, I think you've met with us and some other investors and discussed how business there was recovering.

兩個快速的，如果我可以擠進去的話。首先，我想知道，在我們過去的幾次討論中，你對定價一直非常樂觀或相對樂觀，主要強調邊界要么仍在提高，要么肯定不會降低，並且你沒有問題嗎？如果這方面有任何更新，我希望你發表評論？然後另一個就是試著逗留片刻，更好地了解中國發生的事情，因為在本季度早些時候，我想你已經與我們和其他一些投資者會面，討論了那裡的業務是如何復甦的。

What -- how can you explain how quickly this seems to have changed from improving in China to suddenly getting even worse?

什麼——你如何解釋這種情況從中國的改善到突然變得更糟的速度有多快？

Thanks. I'm going to do the China one first. So Vince can address the pricing. The China one is pretty straightforward. We as most of the industry, we were watching the recovery coming out of the multi-quarter shutdown in China as well as the Chinese New Year activity looking to see business begin to return to normal levels, given that we had, had a couple of down quarters. We saw a pop in activity and order activity in the -- as we came out of Chinese New Year based on that, we made supply available to the channel. That supply did not move as things kind of quickly got softer or didn't move as much, I should say, it didn't move as much. And therefore, that's why we've now said for the current quarter, we're going to ship in less than we sell through to help readjust that level in -- primarily in Asia.

謝謝。我要先做中國的。所以文斯可以解決定價問題。中國的非常簡單。我們作為大多數行業，我們正在關注中國多季度停工後的複蘇以及希望看到業務開始恢復正常水平的農曆新年活動，因為我們已經有幾個下宿舍。我們看到了活動和訂單活動的激增——當我們基於此走出農曆新年時，我們向渠道提供了供應。供應沒有變動，因為事情很快變得更軟，或者沒有變動那麼多，我應該說，它沒有變動那麼多。因此，這就是為什麼我們現在說本季度，我們的出貨量將低於我們的銷售量，以幫助重新調整這一水平——主要是在亞洲。

And with that, I'll hand off to Vince to take the pricing question.

有了這個，我將交給 Vince 來解決定價問題。

Yes. Thanks, Prashanth. Yes. Well, I think that the headline on pricing is that it is very, very resilient, and I expect that to persist. In general, we're getting we're passing more value to our customers. We're giving more value to our customers. And in fact, the core ASP of our product portfolio has been increasing, not including incidentally the inflationary costs that we pass to our customers. So I think one thing we can say for sure about our franchise is our products are very, very sticky. Our products persist for many, many decades, for example, in the industrial sector. And we're in the post Moore's Law Europe, where the economic conditions have changed fundamentally. So I expect the pricing area to be very steady across the industry in general in the years ahead. And we will look for opportunities to pass on inflation, which is going to be persistent in the industry I believe in the coming years.

是的。謝謝，普拉尚。是的。好吧，我認為定價的標題是非常非常有彈性，我希望這種情況會持續下去。總的來說，我們正在將更多價值傳遞給我們的客戶。我們正在為客戶提供更多價值。事實上，我們產品組合的核心 ASP 一直在增加，這還不包括我們轉嫁給客戶的通貨膨脹成本。所以我認為關於我們的特許經營權我們可以肯定地說的一件事是我們的產品非常非常粘。例如，我們的產品在工業領域存在多年。我們正處於後摩爾定律時代的歐洲，那裡的經濟狀況發生了根本性的變化。因此，我預計未來幾年整個行業的定價區域將非常穩定。我們將尋找機會傳遞通貨膨脹，我相信在未來幾年，通貨膨脹將在該行業持續存在。

Thanks, Will. I thank everyone for joining us this morning. A couple of -- I let you go on your way. First, we are planning to combine our general ledger ERP systems this quarter. This represents one of our final steps for the Maxim integration. Given our typically fast reporting cycle, we're giving ourselves an extra week to ensure everything runs smoothly. As such, we plan for our earnings call to be held in the third week of August versus the second.

謝謝，威爾。我感謝大家今天早上加入我們。幾個——我讓你繼續你的路。首先，我們計劃在本季度合併我們的總賬 ERP 系統。這是 Maxim 集成的最後步驟之一。鑑於我們通常的快速報告週期，我們給自己額外的一周時間來確保一切順利進行。因此，我們計劃在 8 月的第三周而不是第二週舉行收益電話會議。

Also, I want to flag that during these more uncertain times, and consistent with our commitment for transparency for our owners, we plan being even more available for investors. Vincent, Prashanth will be New York, Boston, the Bay Area and London in the next quarter. Please reach out to the IR team if you be notified when we are in your neighborhood.

此外，我想指出，在這些更加不確定的時期，根據我們對所有者透明度的承諾，我們計劃為投資者提供更多服務。 Vincent、Prashanth 將在下一季度前往紐約、波士頓、灣區和倫敦。如果我們在您附近時收到通知，請聯繫 IR 團隊。

And with that, a copy of transcript will be available on the website. Thanks again for joining us and your continued interest in Analog Devices. Have a good day.

這樣，網站上就會提供成績單的副本。再次感謝您加入我們以及您對 Analog Devices 的持續關注。祝你有美好的一天。

This concludes today's Analog Devices conference call. You may now disconnect.

今天的 Analog Devices 電話會議到此結束。您現在可以斷開連接。