Akoustis Technologies Inc (AKTS) 2024 Q1 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Akoustis Technologies Fiscal 2024 first quarter conference call. As a reminder, this conference call is being recorded. At the conclusion of the company presentation Akoustis management will take questions. (Operator Instructions) A replay of the call will be available on the Investor Relations section of the Akoustis website. Thank you.

女士們、先生們，美好的一天，歡迎參加 Akoustis Technologies 2024 財年第一季電話會議。謹此提醒，本次電話會議正在錄音中。在公司介紹結束時，Akoustis 管理層將回答問題。 （操作員說明）Akoustis 網站的投資者關係部分將提供電話會議的重播。謝謝。

Thank you, operator, and good morning to everyone on the call. Welcome to Akoustis's first quarter fiscal 2024 conference call. We're joined today by our Founder and CEO, Jeff Shealy; CFO, Ken Boller; and EVP of Business Development, Dave Aichele.

謝謝接線員，祝通話中的每個人早安。歡迎參加 Akoustis 的 2024 財年第一季電話會議。今天我們的創辦人兼執行長 Jeff Shealy 也加入了我們的行列。財務長肯·博勒；業務開發執行副總裁 Dave Aichele。

Before begin, please note that today's presentation includes forward-looking statements about our business outlook. All statements other than statements of historical facts included in this conference call such as expectations regarding our strategies and operations, including the timing and prospect of product development and customer orders and design wins, possible collaborative or partnering relationships. Litigation matters and expected financial and operating results or forward looking statements.

在開始之前，請注意今天的演示包括有關我們業務前景的前瞻性陳述。本次電話會議中除歷史事實陳述外的所有陳述，例如對我們的策略和營運的期望，包括產品開發的時間和前景、客戶訂單和設計獲勝、可能的協作或夥伴關係。訴訟事項以及預期財務和經營績效或前瞻性陳述。

Such forward-looking statements are predictions based on the company's expectation as of today and are subject to numerous risks and uncertainties. The company and our management team assume no obligation to update any forward-looking statements made on today's call.

此類前瞻性陳述是基於公司目前預期的預測，並受到許多風險和不確定性的影響。本公司和我們的管理團隊沒有義務更新今天電話會議中所做的任何前瞻性陳述。

Our SEC filings mention important factors that could cause actual results to differ materially. Please refer to our latest Form 10-K and Form 10-Q filed with the SEC to get a better understanding of those risks and uncertainties.

我們向 SEC 提交的文件提到了可能導致實際結果出現重大差異的重要因素。請參閱我們向 SEC 提交的最新表格 10-K 和表格 10-Q，以更好地了解這些風險和不確定性。

In addition, our presentation today will also refer to certain non-GAAP financial measures. A reconciliation of these measures to the most directly comparable GAAP measure is presented in our earnings call highlight release available in the Investors section of akoustis.com. I would now like to turn the call over to Jeff. Surely, Founder and CEO of Akoustis.

此外，我們今天的演示還將提及某些非公認會計準則財務指標。我們在 akoustis.com 投資者部分提供的收益電話會議重點新聞稿中介紹了這些指標與最直接可比較的 GAAP 指標的對帳。我現在想把電話轉給傑夫。當然是 Akoustis 的創辦人兼執行長。

Thank you, Ken, and welcome, everyone, to our fiscal first quarter conference call. Revenue in the September quarter was within our guided range of down 15% sequentially. During the September quarter, we had one customer that made up greater than 10% of our revenue.

謝謝肯，歡迎大家參加我們第一財季的電話會議。 9 月季度的營收在我們預計的環比下降 15% 的範圍內。在 9 月這一季度，我們有一個客戶占我們收入的 10% 以上。

XBAW-related sales accounted for the top five customers and seven out of the top 10 customers. Our top 10 customers made up 59% of revenue. Our top 25 customers made up 74% of revenue. In terms of regional sales from our top 35 customers, which make up 80% of our revenue. 53% of those sales came from Asian customers, followed by 35% of sales came from North American customers and 12% of our sales came from European customers.

XBAW相關銷售額佔前五名客戶，前十名客戶中佔七名。我們的前 10 位客戶佔收入的 59%。我們的前 25 位客戶佔收入的 74%。就我們前 35 位客戶的區域銷售額而言，它們占我們收入的 80%。其中 53% 的銷售額來自亞洲客戶，其次是 35% 的銷售額來自北美客戶，12% 的銷售額來自歐洲客戶。

Earlier this calendar year, we commented on the buildup in channel inventory, particularly at our WiFi customers in the Asia region. As we stated on last quarter's call, we expected two quarters of slowdown as we transition and ramp to new WiFi AP platforms, worked through a slowdown in the infrastructure segment and transitioned a portion of our defense activity to new contract business.

今年早些時候，我們對通路庫存的增加發表了評論，尤其是亞洲地區 WiFi 客戶的庫存。正如我們在上個季度的電話會議中所說，隨著我們過渡和升級到新的WiFi AP 平台、克服基礎設施領域的放緩並將我們的部分國防活動過渡到新合約業務，我們預計兩個季度的經濟成長將放緩。

Consistent with our guidance on last quarter's investor call, we expect revenue for the December quarter to be $7 million or flat sequentially. In reaction to the slowdown in the market, the company implemented two rounds of meaningful expense in cost savings plans, to significantly reduce cash burn moving forward. Ken will detail our activities and impact on reducing our cash burn during his upcoming comments.

與我們對上一季投資者電話會議的指導一致，我們預計 12 月季度的收入將為 700 萬美元或與上一季持平。為了應對市場放緩，該公司實施了兩輪有意義的成本節約計劃，以大幅減少未來的現金消耗。肯將在接下來的評論中詳細介紹我們的活動以及對減少現金消耗的影響。

However, looking around the corner at the March quarter, we are seeing signals of inventory channel clearing. We are presently delivering new lower-cost RF filter products and are receiving multiple new design wins in new WiFi AP platforms, with more RF filter content in early calendar 2024.

然而，展望三月季度，我們看到了庫存管道清理的訊號。我們目前正在提供新的低成本射頻濾波器產品，並在新的 WiFi AP 平台中獲得多項新設計勝利，並在 2024 年初推出更多射頻濾波器內容。

As a first look, we expect to return to record quarterly revenue for the March quarter in the range of $8.3 million to $8.8 million or a sequential increase of 18% to 25%. We will update the March quarter guidance during next quarter's investor call.

乍一看，我們預計 3 月季度的季度營收將恢復創紀錄的 830 萬美元至 880 萬美元，季增 18% 至 25%。我們將在下一季的投資者電話會議期間更新三月份季度的指導。

I would now like to take a moment to discuss updates involving the company's activity related to the CHIPS and Science Act, of 2022.

我現在想花點時間討論一下公司與 2022 年《晶片和科學法案》相關的活動的最新情況。

Regarding CHIPS Act funding, there are four updates to share with investors. First in Mid-September, our microelectronics common proposal focused on EW tech hub was not selected by the DoD. According to the September 20 announcement made by the government, the majority of the eight DoD tech hub awards, went to major universities across the US.

關於 CHIPS 法案融資，有四項更新需要與投資者分享。首先是在九月中旬，我們針對電子戰技術中心的微電子共同提案並沒有被國防部選中。根據政府 9 月 20 日發布的公告，國防部技術中心的八個獎項中的大部分授予了美國各地的主要大學。

Second, on October 23, Senator Schumer announced that the greater Rochester region was selected as a prestigious tech hub, opening significant federal funds from the Department of Commerce to boost critical supply chains in upstate New York. Akoustis is a member of the tech hub consortium and will pursue meaningful opportunities with a tech hub residing in our backyard in upstate New York.

其次，10 月 23 日，參議員舒默宣布，大羅徹斯特地區被選為著名的科技中心，商務部將撥出大量聯邦資金，以促進紐約州北部的關鍵供應鏈。 Akoustis 是技術中心聯盟的成員，將在位於紐約州北部後院的技術中心尋求有意義的機會。

Third, the CHIPS Act of 2022 includes a provision for a 25% refundable investment tax credit or CHIPS, ITC on investments in facilities that manufacture semiconductors or semiconductor manufacturing equipment that were placed into service after December 31, 2022. We estimate the amount of the refundable tax credit applicable to Akoustis to be $3.5 million to $4 million over the next 18 months.

第三，2022 年的 CHIPS 法案包括對 2022 年 12 月 31 日之後投入使用的半導體製造設施或半導體製造設備的投資提供 25% 可退還投資稅收抵免或 CHIPS、ITC 的規定。我們估計了未來188個月內，適用於Akoustis 的可退還稅收抵免額為350 萬至400 萬美元。

And fourth and finally, regarding our proposed expansion of our domestic manufacturing footprint, including both semiconductors and advanced packaging at our New York campus, under the Department of Commerce CHIPS for America program, we have completed a first pre-application with the DOC. The CHIPS program office or CPO of the DOC as received the pre-application submitted by Akoustis Technologies, Inc.

第四，也是最後一點，關於我們根據美國商務部 CHIPS 計劃擴大國內製造足蹟的提議，包括紐約園區的半導體和先進封裝，我們已經向美國商務部完成了第一份預申請。 CHIPS 專案辦公室或 DOC 收到 Akoustis Technologies, Inc. 提交的預申請後

The CPO recommends that we move forward and submit a revised pre-application addressing questions raised in our original application. Hence our next step in the process is to file a revised pre-application once we complete a strategic review with our potential semiconductor partners who require a partner to manufacture semiconductor materials, wafers and/or packaging on our New York manufacturing campus.

CPO 建議我們繼續提交修訂後的預申請，解決我們原始申請中提出的問題。因此，我們的下一步是在我們與潛在的半導體合作夥伴完成策略審查後提交修訂後的預申請，這些合作夥伴需要合作夥伴在我們的紐約製造園區製造半導體材料、晶圓和/或封裝。

Next, I would like to discuss several updates in our primary target markets beginning with WiFi. Our first milestone for the September quarter was to receive a design win for next-generation WiFi 7 with a consumer focused OEM. We delivered a total of three design wins on the consumer front with all programs currently planned to begin production ramp in the March quarter of calendar 2024.

接下來，我想討論我們主要目標市場的幾項更新，首先是 WiFi。我們九月季度的第一個里程碑是贏得了以消費者為中心的 OEM 的下一代 WiFi 7 設計。我們在消費者方面總共贏得了三個設計，目前所有項目都計劃在 2024 年第三季開始量產。

Two programs, our four by four MIMO architectures and the third program is a two by two MIMO architecture, all utilizing our recently released wide bandwidth XBAW RF filter solutions in the high band spectrum.

兩個方案（我們的四乘四 MIMO 架構）和第三個方案是二乘二 MIMO 架構（兩者都採用我們最近發布的高頻段寬頻 XBAW RF 濾波器解決方案）。

Our second milestone was to secure a design win for a next-generation WiFi 7 solution with a Tier-1 US-based carrier. We remain confident that this carrier will launch with our filters on their platform, but we have moved this milestone to the December quarter in order to see volume shipments to validate our milestone.

我們的第二個里程碑是確保下一代 WiFi 7 解決方案的設計贏得美國一級營運商的青睞。我們仍然相信這家運營商將在他們的平台上推出我們的過濾器，但我們已將這一里程碑移至 12 月季度，以便看到批量發貨以驗證我們的里程碑。

Our third milestone was to secure multiple RF filter design wins for our Tier-1 enterprise class customers, WiFi 7 suite of routers and access points. We have been aggressively developing and qualifying these parts for our customer and have made shipments to our customer over the past few months and expect to announce this design win in the December quarter.

我們的第三個里程碑是為我們的一級企業級客戶、WiFi 7 路由器套件和存取點贏得多項射頻濾波器設計。我們一直在積極為客戶開發和鑑定這些零件，並在過去幾個月中向我們的客戶發貨，並預計在 12 月季度宣布這一設計勝利。

Also during the September quarter, we announced the introduction of our latest single crystal doped piezoelectric materials into a key product, which is slated to ramp with an upcoming WiFi 7 enterprise customer. These advanced materials are utilized to allow greater design margin and flexibility to the customer in the design of their system.

同樣在 9 月季度，我們宣布將最新的單晶摻雜壓電材料引入關鍵產品中，該產品預計將隨著即將推出的 WiFi 7 企業客戶而增加。這些先進材料的利用為客戶在設計系統時提供了更大的設計餘裕和靈活性。

While the overall WiFi market has been impacted over the past 12 months by excess inventory and slowing WiFi AP demand. Post COVID, we see signs of reduced inventory in the channels for existing volume programs, along with new platforms launching in early 2024.

雖然整個 WiFi 市場在過去 12 個月中受到庫存過剩和 WiFi AP 需求放緩的影響。新冠疫情過後，我們看到現有批量計劃的通路庫存減少的跡象，以及 2024 年初推出的新平台。

Looking ahead, in the December quarter, we expect to announce a design win for a next-generation WiFi 7 solution with a Tier-1 US-based carrier. Further, we plan to secure multiple design wins for our Tier-1 enterprise class customers, WiFi 7 suite of routers, and we plan to secure a design win for WiFi 7 solution with a Tier-1 enterprise class OEM.

展望未來，我們預計將在 12 月季度宣布贏得美國一級營運商的下一代 WiFi 7 解決方案設計。此外，我們計劃為我們的一級企業級客戶確保 WiFi 7 路由器套件的多項設計勝利，並計劃為一級企業級 OEM 贏得 WiFi 7 解決方案的設計勝利。

Next, I would like to discuss our recent developments in the 5G mobile market. During the September quarter, we made no new shipments to our Tier-1 RF component customer. The slowdown in shipments is due to slowdown in marketing and adoption of the product in the China market. Our customers' inability to secure a production slot on a new design program in the Tier-1 market as well as other market headwinds.

接下來我想談談我們最近在5G行動市場的進展。在九月季度，我們沒有向一級射頻元件客戶發貨。出貨量放緩是由於該產品在中國市場的營銷和採用放緩。我們的客戶無法在一級市場的新設計項目中獲得生產席位，以及其他市場阻力。

During the September quarter, we expected to receive an order for a 2.4 gigahertz WiFi filter for our Tier-2 5G RF front-end module customer. We received not only an XBAW foundry order for the 2.4 gigahertz band, but the customer also added two additional high-frequency WiFi band. This customer has completed previous design evaluation and has down-selected the final design for release in the first half of calendar year 2024.

在 9 月季度，我們預計將收到為二級 5G RF 前端模組客戶提供 2.4 GHz WiFi 濾波器的訂單。我們不僅收到了 2.4 GHz 頻段的 XBAW 代工訂單，客戶還額外增加了兩個高頻 WiFi 頻段。該客戶已完成先前的設計評估，並已選定最終設計於 2024 年上半年發布。

With the slowdown in headwinds in the mobile market, we have been focusing our resources on near term opportunities in the WiFi, 5G infrastructure and automotive segments. However, our anticipated milestones for the December quarter include, we expect to deliver the first of the three WiFi filters to our Tier-2 5G mobile RF front-end module making customer. And finally, we expect to engage a fifth mobile partner, offering our XBAW process and foundry for their module and discrete product needs.

隨著行動市場阻力的放緩，我們一直將資源集中在 WiFi、5G 基礎設施和汽車領域的近期機會。然而，我們 12 月季度的預期里程碑包括，我們預計向我們的二級 5G 行動射頻前端模組製造客戶提供三個 WiFi 濾波器中的第一個。最後，我們希望與第五家行動合作夥伴合作，提供我們的 XBAW 製程和代工廠，以滿足他們的模組和離散產品需求。

I will now discuss our progress in our network infrastructure business. During the September quarter, we experienced strong XBAW filter shipments to our CBRS customers targeting the US market. However, we experienced minimal shipments in our small cell RF filters in the September quarter.

我現在將討論我們在網路基礎設施業務方面的進展。在 9 月季度，我們向針對美國市場的 CBRS 客戶交付了強勁的 XBAW 濾波器出貨量。然而，我們的小型蜂巢式射頻濾波器在九月季度的出貨量很少。

Overall we are seeing the 5G O-RAN and RAN market slow in the December quarter as operators take inventory of existing deployments. We do expect the 5G small cell market to begin to improve in the March quarter and throughout calendar 2024 as carriers throughout the US, Europe, the Middle East and Africa continued to deploy sub five gigahertz networks.

總體而言，隨著營運商盤點現有部署，我們看到 5G O-RAN 和 RAN 市場在 12 月季度放緩。我們確實預計 5G 小型基地台市場將在 3 月季度和 2024 年全年開始改善，因為美國、歐洲、中東和非洲的營運商繼續部署 5 GHz 以下網路。

Regarding our milestone from the September quarter, we received a design win for our XBAW RF filters from a Tier-2 network infrastructure OEM, for a massive MIMO base station. The radio design includes 64 TRx pads with one filter in the transmit path and one filter in the receive path. Altogether, we have 128 filters of content in the radio unit and expect production to begin ramping in the second quarter of calendar 2024.

關於 9 月季度的里程碑，我們從二級網路基礎設施 OEM 獲得了 XBAW 射頻濾波器的設計，用於大規模 MIMO 基地台。此無線電設計包括 64 個 TRx pad，其中發射路徑中具有 1 個濾波器，接收路徑中具有 1 個濾波器。我們的廣播單元總共有 128 個內容過濾器，預計產量將於 2024 年第二季開始增加。

For the December quarter, we expect to complete the redesign and sample of our new and improved 5G Band 41 in 5G US 3.8 gigahertz network infrastructure filter solutions. The redesign of these filters pushed into the December quarter given engineering priorities related to near term WiFi business.

在 12 月季度，我們預計將完成 5G US 3.8 GHz 網路基礎設施濾波器解決方案中新的和改進的 5G Band 41 的重新設計和樣品。考慮到與近期 WiFi 業務相關的工程優先事項，這些過濾器的重新設計被推遲到 12 月季度。

Finally, before handing the call off to Ken, I would like to provide an update on our defense and other markets business. It is noteworthy that 6 out of our top 10 customers are in our defense and other businesses catagory, and I will begin with an update on our published milestones for the September quarter.

最後，在將電話轉交給肯恩之前，我想介紹我們的國防和其他市場業務的最新情況。值得注意的是，我們的 10 大客戶中有 6 個屬於我們的國防和其他業務類別，我將首先介紹我們已發布的 9 月季度里程碑的最新情況。

First, we made steady progress on securing a design win for an automotive wireless battery management system, or wBMS solution used in a Tier-1 IC reference design, and we expect to close out this milestone in the December quarter.

首先，我們在確保汽車無線電池管理系統或一級 IC 參考設計中使用的 wBMS 解決方案的設計獲勝方面取得了穩步進展，我們預計將在 12 月季度完成這一里程碑。

Second, we received a specification change from a key customer which delayed the start of the product qualification of our second XBAW resonator for the timing control market. At this point, we already started the qualification and plan to complete this product qualification in the December quarter. Beyond our published milestones, we achieved other notable milestones during the quarter in this segment.

其次，我們收到了一位主要客戶的規格變更，這導致我們面向時序控制市場的第二個 XBAW 諧振器的產品認證啟動時間延遲。目前，我們已經開始資格認證，並計劃在 12 月季度完成該產品資格認證。除了已發布的里程碑之外，我們在本季度還在此領域實現了其他值得注意的里程碑。

As mentioned in the past, our biggest success in the defense and other market segments was the introduction of our new XP3F technology, which incorporates a new revolutionary patented multilayer nanomaterial that incorporates our single crystal piezoelectric material. This new nanomaterial was developed with funding from the Defense Advanced Research Projects Agency or DARPA, to scale the XBAW technology to frequencies up to 18 gigahertz.

正如過去所提到的，我們在國防和其他細分市場中最大的成功是推出了新的XP3F 技術，該技術採用了一種新的革命性專利多層奈米材料，該材料結合了我們的單晶壓電材料。這種新型奈米材料是在國防高級研究計劃局 (DARPA) 的資助下開發的，旨在將 XBAW 技術擴展到高達 18 GHz 的頻率。

At the end of the September quarter, we were awarded a multimillion dollar Phase 2 contract option, which extends our current DARPA COFFEE contract to $4.8 million, including base and exercised options. The new Phase 2 contract extends the funding for the program through December of 2024.

在 9 月季度末，我們獲得了價值數百萬美元的第二階段合約選項，該選項將我們目前的 DARPA COFFEE 合約延長至 480 萬美元，包括基本選項和已執行選項。新的第二階段合約將該專案的資助期限延長至 2024 年 12 月。

During the September quarter, we received a purchase order as a foundry supplier supporting a new DARPA contract unrelated to our current DARPA COFFEE contract, which requires high performance custom resonators for timing control applications.

在九月季度，我們作為代工供應商收到了一份採購訂單，支持與我們當前的 DARPA COFFEE 合同無關的新 DARPA 合同，該合同需要用於定時控制應用的高性能定制諧振器。

Further, we completed initial wafer shipments from our New York fab during the September quarter, and we expect additional shipments over the next few quarters. In addition we achieved a design win at an international engineering and technology company supplying timing products for an electric meter application. And we have received purchase orders for more than 300,000 pieces of initial volumes with scheduled delivery now into Q3 fiscal year 2024.

此外，我們在九月季度完成了紐約晶圓廠的初始晶圓出貨，預計未來幾季會有更多出貨。此外，我們還贏得了一家國際工程技術公司的設計勝利，該公司為電錶應用提供計時產品。我們已收到超過 30 萬件的初始訂單，預計交付至 2024 財年第三季。

For the December quarter and the defense and other market segments, we are expecting to achieve a design win of at least one of the following crystal oscillator, BAW filter and/or SAW filter used in an automotive wireless battery management system solution used in a Tier-1 IC reference design. Also, we plan to complete the qualification of the Optimize second XBAW resonator for key customer in the timing control market. And we expect to deliver and X band Ball filter utilizing Akoustis's advanced XP3F technology to a Tier-1 defense customer.

對於12 月季度以及國防和其他細分市場，我們預計將獲得以下晶體振盪器、BAW 濾波器和/或SAW 濾波器中至少一種的設計勝利，這些濾波器用於汽車無線電池管理系統解決方案，用於一級-1 IC 參考設計。此外，我們計劃為時序控制市場的主要客戶完成Optimize第二個XBAW諧振器的資格認證。我們預計將利用 Akoustis 先進的 XP3F 技術向一級國防客戶提供 X 波段球濾波器。

And now I would like to hand the call over to Ken, to go through our financial highlights.

現在我想將電話轉交給肯，讓他了解我們的財務亮點。

Thank you, Jeff. For the first quarter ended September 30, 2023, the company reported revenue of $7 million, which is a decrease of 16% over the prior quarter ended June 30, 2023. But still represents an increase of 26% year-over-year.

謝謝你，傑夫。截至2023年9月30日的第一季度，該公司報告營收為700萬美元，比截至2023年6月30日的上一季下降16%，但仍年增26%。

On a GAAP basis, operating loss was $21.7 million for the September quarter, driven by revenue of $7 million, offset by labour costs of $9.4 million, depreciation and amortization of $3.2 million and other operational costs totalling $16.1 million. As a result, GAAP net loss per share was $0.28. On a non-GAAP basis, operating loss was $19.1 million and non-GAAP net loss per share was $0.27.

根據GAAP 計算，9 月季度的營運虧損為2,170 萬美元，主要由700 萬美元的收入推動，並被940 萬美元的勞動力成本、320 萬美元的折舊和攤銷以及總計1,610 萬美元的其他營運成本所抵消。結果，GAAP 每股淨虧損為 0.28 美元。以非 GAAP 計算，營業虧損為 1,910 萬美元，非 GAAP 每股淨虧損為 0.27 美元。

CapEx spending for Q1 was $4.2 million, primarily to enhance our back-end processing capabilities and complete our New York fab tool capacity to 500 million filters per year. Cash used in operating activities was $13.1 million, which included approximately $3.4 million of year-end expenses for $9.7 million net.

第一季的資本支出為 420 萬美元，主要是為了增強我們的後端處理能力，並將我們紐約晶圓廠的工具產能提高到每年 5 億個濾波器。經營活動使用的現金為 1,310 萬美元，其中包括約 340 萬美元的年終費用，淨額為 970 萬美元。

In a December quarter, as indicated in our prior call, the expected revenue to be flat given the broader market weakness along with the associated inventory correction. We continue to receive design wins and introduced new products, and we expect a return to record quarterly revenue in the March quarter of up 18% to 25%. We'll update this guidance during our next quarterly investor call.

正如我們在先前的電話會議中所指出的，在 12 月的季度中，鑑於大盤疲軟以及相關的庫存調整，預計收入將持平。我們繼續獲得設計勝利並推出新產品，我們預計 3 月份季度營收將恢復創紀錄的 18% 至 25%。我們將在下一個季度投資者電話會議期間更新此指導意見。

On the expense front, over the past several months, we have undertaken significant expense reductions and cost-saving measures that we estimate will reduce our operating cash flow burn rate below $8 million for the December quarter. Given the top line projections the CHIPS ITC refunds and a full quarter of cost savings, we currently expect operating cash burn to be below $6 million in the March quarter, with operating cash flow breakeven less than one year away. The company exited the September quarter with $25.8 million of cash and cash equivalents versus $43.1 million at the end of the previous quarter.

在費用方面，在過去的幾個月裡，我們採取了大幅削減費用和節省成本的措施，我們估計這些措施將使我們 12 月所在季度的營運現金流量消耗率降至 800 萬美元以下。鑑於 CHIPS ITC 退款和整個季度的成本節省的頂線預測，我們目前預計 3 月份季度的營運現金消耗將低於 600 萬美元，距離營運現金流盈虧平衡不到一年。該公司在 9 月季度末持有現金和現金等價物 2,580 萬美元，而上一季末為 4,310 萬美元。

I will now turn the call back over to Jeff for his closing comments.

我現在將把電話轉回給傑夫，聽取他的結束語。

Thank you, Ken. We continue to believe the market opportunity for our patented high-frequency XBAW and XP3F filters is substantial. As of September 25, 2023, we have approximately 200 issued patents and patents pending representing a substantial IP mode around our technology. We continue to work diligently to achieve each of our stated objectives and we will continue to provide updates on our execution against these objectives going forward.

謝謝你，肯。我們仍然相信我們的專利高頻 XBAW 和 XP3F 濾波器的市場機會是巨大的。截至 2023 年 9 月 25 日，我們擁有約 200 項已發布專利和正在申請的專利，代表了圍繞我們技術的實質智慧財產權模式。我們將繼續努力實現我們既定的每一個目標，並將繼續提供有關我們未來執行這些目標的最新資訊。

I want to emphasize to investors that while we have been navigating the challenges to our top line revenue during the first half of our fiscal year, we have aggressively taken steps to reduce operating expenses and achieve cost savings on our products to lower our operating cash burn. We believe this is prudent in the economic environment that we are facing.

我想向投資者強調，雖然我們在上半財年一直在應對營收挑戰，但我們已積極採取措施減少營運費用並節省產品成本，以降低營運現金消耗。我們認為，在我們面臨的經濟環境下，這是謹慎的做法。

Finally, I would like to take the opportunity to thank our employees for their hard work, passion, and dedication in working together to position our company for growth in the quarters ahead. I also wish to thank our shareholders who continue to support the company. And with that, I would like to open the call for questions from the investment community. Operator, please go ahead with the first question.

最後，我想藉此機會感謝我們的員工的辛勤工作、熱情和奉獻精神，他們共同努力，為我們公司在未來幾季的發展奠定了基礎。我還要感謝繼續支持公司的股東。在此，我想開始向投資界提問。接線員，請繼續第一個問題。

Thank you. (Operator Instructions)

謝謝。 （操作員說明）

Thank you. Our first question is from the line of Anthony Stoss with Craig-Hallum. Please proceed with your questions.

謝謝。我們的第一個問題來自安東尼·斯托斯（Anthony Stoss）和克雷格·哈勒姆（Craig-Hallum）的對話。請繼續回答您的問題。

Morning, guys. Ken, let me start with you. Can you -- maybe outline OpEx just for December and then March R&D and SG&A for each and then on your comment about expected reach breakeven in less than a year. What would the new kind of revenue per quarter to reach that breakeven be?

早安，夥計們。肯，讓我從你開始。您能否——也許概述一下 12 月的營運支出，然後是 3 月的研發和銷售、一般管理費用（SG&A），然後談談您對預計在不到一年的時間內實現盈虧平衡的評論。為了達到損益平衡，每季新的收入是多少？

Good Morning, Tony, yeah, I'll dive into some of those answers for you. So, with the expense reductions and cost-saving measures that we've undertaken, in essence, we have cut about 20% of our operating expense. We will see a full quarter of that until the March quarter as some of those were undertaken earlier in the in Q2.

早安，托尼，是的，我將為您深入探討其中的一些答案。因此，透過我們採取的費用削減和成本節約措施，我們實質上削減了約 20% 的營運費用。我們將在三月季度之前看到整個季度的情況，因為其中一些是在第二季度早些時候進行的。

So we'll start to see up to 10% and 20% in December and then in March, 20% savings in OpEx overall, the question on operating cash flow breakeven, we still are projecting that to be within the next 12 months and still within $12 million to $15 million of revenue during that time period. And that some of that depends on mix.

因此，我們將開始看到12 月和3 月分別達到10% 和20%，整體營運支出節省20%，關於營運現金流損益平衡的問題，我們仍然預計這將在未來12 個月內實現，並且仍在此期間的收入在 1200 萬至 1500 萬美元之間。其中一些取決於混合。

We are -- a number of our new products are coming into production during the next two quarters, over a dozen. And those products are of a lower form factor and have lower laminate costs and back-end processing costs.

我們的許多新產品將在接下來的兩個季度投入生產，其中有十多個。這些產品的外形尺寸較小，層壓板成本和後端加工成本也較低。

So we'll start to see not only a reduction in the overall cost from the cost savings plan that we did, but also an introduction of our new parts that are lower backend costs and those margins are not where now negative will turn positive. And then by this time next year, we project to be operating cash flow breakeven.

因此，我們不僅會開始看到我們所做的成本節約計劃中總體成本的降低，而且還會引入我們的新部件，這些部件降低了後端成本，並且這些利潤率不會從現在的負值變為正值。然後到明年這個時候，我們預計營運現金流將達到損益兩平。

Got it. And then as a follow-up, maybe for Jeff, just what gives you confidence in the $8.3 million to $8.8 million in March and then again, ramping from there to get to your $12 million to $15 million. And then you, Jeff or Ken again, where would you expect gross margins to kind of exit calendar 2024.

知道了。然後作為後續行動，也許對傑夫來說，是什麼讓你對 3 月份的 830 萬美元到 880 萬美元充滿信心，然後再從那裡增加到 1200 萬美元到 1500 萬美元。然後，傑夫或肯，您預計 2024 年的毛利率會是多少。

Good morning, Tony. Jeff, here. I think the confidence is coming from what we're seeing, we made in the prepared comments some discussion about what we're seeing in the WiFi channel with inventories, particularly in the Asian market in our WiFi segment clearing. We've seen firsthand some of the evidence of that. I think most importantly and maybe more importantly is that, we have multiple programs that we've been focused on, which are ramping in the Q1 calendar year, which is our March quarter, of course.

早安，托尼。傑夫，在這裡。我認為信心來自於我們所看到的情況，我們在準備好的評論中對我們在 WiFi 通路庫存中看到的情況進行了一些討論，特別是在亞洲市場的 WiFi 細分市場清算中。我們親眼目睹了一些這方面的證據。我認為最重要的，也許更重要的是，我們有多個我們一直在關注的項目，這些項目在第一季（當然是我們的三月季度）正在增加。

So its confidence in the transition of some programs in WiFi. And we also made mention of some transition in our defense and other segment we had -- really had a perfect storm in the first half of this fiscal year with some of the headwinds in the market with we were ramping up certain contracts, so that's as well as the some of the slowdown in the inventory buildup in the channel.

所以它對WiFi中一些程序的過渡充滿信心。我們還提到了我們的國防和其他領域的一些轉變——本財年上半年確實經歷了一場完美風暴，市場上出現了一些逆風，我們正在增加某些合同，所以這就是以及渠道中庫存積累的一些放緩。

So for the March quarter, it's all about new programs and WiFi, which we have high confidence in as well as the defense and other segments that really picking up and the Infrastructure segment's been a little lumpy. But we've seen some signs an ongoing recovery in that as we head into next year.

因此，對於三月季度來說，一切都與新計劃和 WiFi 有關，我們對此充滿信心，國防和其他領域也確實有所增長，而基礎設施領域則有點不穩定。但隨著我們進入明年，我們已經看到了一些持續復甦的跡象。

And Tony, I'll comment on gross margin. So, in the next quarter or two by March, we will turn positive margins and then exit our fiscal year on above 10% margin. And then we come to the operating cash flow breakeven time period of this time next year, we're projecting to be 20% to 25% of the positive gross margin.

托尼，我將評論毛利率。因此，在接下來的一兩個季度到 3 月份，我們將實現正利潤率，然後以高於 10% 的利潤率退出本財年。然後我們來看看明年這個時候的營運現金流盈虧平衡時段，我們預計毛利率將達到 20% 到 25%。

And some of that, as Jeff just alluded to, is some of our product mix. We're also starting to see more interest in infrastructure in some of our base station products. So those if you recall, have a very high ASP and very good margins. So that is a piece of the mix that we're talking about when we're going into those time periods in the future.

正如傑夫剛才提到的，其中一些是我們的一些產品組合。我們也開始看到人們對我們的一些基地台產品的基礎設施越來越感興趣。如果你還記得的話，這些產品的平均售價非常高，利潤率也非常高。這就是我們在未來進入這些時期時所討論的混合內容的一部分。

Thanks. Very good. Thanks, guys.

謝謝。非常好。多謝你們。

Thank you, Tony.

謝謝你，托尼。

Our next question is from the line of Craig Ellis with B. Riley Securities. Please proceed with your questions.

我們的下一個問題來自 B. Riley Securities 的 Craig Ellis。請繼續回答您的問題。

Yeah, thanks for taking the question, guys. I wanted to follow up on the earlier question and just better understand the dynamics in March. So it looks like revenue is going to be up about $1.3 million sequentially, led by WiFi followed by defense. Within WiFi, can you characterize the incremental gains in the consumer part of the market versus the enterprise part of the market for the March quarter?

是的，謝謝你們提出這個問題，夥伴們。我想跟進之前的問題，更了解三月的動態。因此，看起來收入將環比增長約 130 萬美元，其中 WiFi 領先，其次是國防。在 WiFi 領域，您能否描述一下第三季消費者市場與企業市場的增量收益？

Hey, good morning, Craig. Let me pull Dave in and give you kind of what we see on the mix and WiFi. Maybe I will add some comments thereafter.

嘿，早上好，克雷格。讓我把 Dave 拉進來，告訴你我們在混音和 WiFi 上看到的一些情況。也許此後我會添加一些評論。

Good morning, Craig. So it's funny that evenly split between the consumer side and the enterprise side, there's two dynamics that we're seeing. So we've got good traction with WiFi 6E programs that we've done with carrier market, that is going to start picking back up. It's gone through this inventory slowdown. So we expect that to pick back up.

早安，克雷格。因此，有趣的是，消費者端和企業端之間平分秋色，我們看到了兩種動態。因此，我們在營運商市場上實施的 WiFi 6E 計劃獲得了良好的吸引力，該計劃將開始回升。它經歷了庫存放緩。因此，我們預計這一情況將會回升。

Plus we've got further design win announcement we made in this recent call today is that we've got two consumer programs that we've already seen substantial XQ on for new WiFi 7 products that we launched to probably about three, five months ago. And then the other one is our Tier-1 enterprise customers going to start ramping and also their previous platform is picking back up. They've had a slowdown probably for the past six months.

另外，我們在今天最近的電話會議中還宣布了進一步的設計獲勝公告，即我們已經有兩個消費者計劃，我們已經在大約三、五個月前推出的新WiFi 7 產品中看到了實質性的XQ。 。另一個是我們的一級企業客戶將開始增加，他們以前的平台也正在恢復。在過去的六個月裡，他們的經濟成長可能會放緩。

So we have both of those coming together. Plus we announced in the call today, another enterprise customer that's also going to be a plan to ramp. And both of these enterprise customers have a significant amount of filter content per system. So even though the volume of the system shipping or less than the carrier side, you still get very good dollar content and also total ASP per system.

所以我們將兩者結合在一起。另外，我們在今天的電話會議中宣布，另一個企業客戶也將成為擴展計畫。這兩個企業客戶的每個系統都有大量的過濾內容。因此，即使系統運輸量或小於運營商方面，您仍然可以獲得非常好的美元內容以及每個系統的總 ASP。

So I think it's going to be balanced between the two of them. We're still focusing on the big box retail side that we don't expect any real growth contribution probably until the second half of calendar year 2024. So I put emphasis mainly on the carrier and the enterprise side.

所以我認為他們兩個之間會保持平衡。我們仍然專注於大型零售方面，我們預計可能要到 2024 年下半年才會有任何真正的成長貢獻。所以我主要把重點放在營運商和企業方面。

Yep, that's really helpful, Dave, thank you. And then the follow-up question is somewhat similar, but for the second half of calendar '24, first half of fiscal '25, guys, if we're getting to cash flow breakeven at mid teams revenues, then our revenues are going to basically double through the year or so.

是的，這真的很有幫助，戴夫，謝謝你。然後後續問題有點類似，但是對於 24 年日曆的下半年，25 財年的上半年，夥計們，如果我們要在中隊收入上實現現金流收支平衡，那麼我們的收入將一年左右基本上翻了一番。

Can you just help us understand what your assumptions are around mobile's contribution to that ramp. And to the extent that it exists, how much of that is Tier-1 customers versus the Tier-2. It's ramping a little bit in the first half of calendar '24 and then beyond mobile, just the relative contributions out of WiFi defense, et cetera. Thank you.

您能否幫助我們了解您對行動裝置對成長貢獻的假設？就其存在而言，其中有多少是一級客戶與二級客戶。它在 24 年曆的上半段有所增長，然後超出了行動領域，只是 WiFi 防禦等方面的相對貢獻。謝謝。

Okay, Craig. So, second half of calendar 2024, we see continued increase and transition in WiFi. I think Kenneth touched on some of the new products with a more favourable gross margin profile. That's going to be a certainly a driver towards a cash flow breakeven. But it's continued ramp with programs in WiFi, Dave gave some outline of what that looks like in terms of some of that mix.

好的，克雷格。因此，2024 年下半年，我們將看到 WiFi 的持續成長和轉變。我認為肯尼斯談到了一些毛利率更有利的新產品。這無疑將成為現金流損益平衡的驅動力。但 WiFi 中的程序仍在繼續發展，Dave 給出了一些混合方案的概述。

I did want to emphasize in these WiFi programs. We're moving from programs that we may have 8 to 10 type of filters in a WiFi 6E to some of these programs. We have multiple products and up to more than 30 filters of content in the box. So WiFi is a big part of that story. The other part that we're seeing is we do see a recovery of network infrastructure as we go into second half of 2024.

我確實想在這些 WiFi 程式中強調一下。我們正在從 WiFi 6E 中可能有 8 到 10 種過濾器的計劃轉向其中的一些計劃。我們有多種產品和多達 30 多種內容過濾器。所以 WiFi 是這個故事的重要組成部分。我們看到的另一部分是，隨著進入 2024 年下半年，我們確實看到網路基礎設施的恢復。

We announced this morning a first massive MIMO design win in infrastructure that has -- you're talking about in that particular design win 128 filters, and that was significant content in that. And the defense and others segment, which is, of course, key to us and continued strength where we have new programs that we've been bidding.

今天早上我們宣布了基礎設施領域的第一個大規模 MIMO 設計勝利，您所說的那個特定設計贏得了 128 個濾波器，這是其中的重要內容。國防和其他領域當然是我們的關鍵，也是我們在競標新項目時保持實力的關鍵。

We did announce a second supportive, a second DARPA program there as well as some ramp in the automotive and we've been active in the automotive, not only in the battery management, but also in the CB2X. We've been very active marketing of that product as well.

我們確實宣布了第二個支持性的、第二個 DARPA 計劃，以及汽車領域的一些成長，我們一直在汽車領域積極參與，不僅在電池管理方面，而且在 CB2X 方面。我們也一直非常積極地行銷該產品。

You asked about our 5G mobile. Our activity there is primarily in the Tier-2 market. I think it's well documented the headwinds that have been in the Chinese segment. But our activity there that's supporting this is primarily in the Tier-2 market. Anything else you want to add?

您詢問了我們的 5G 手機。我們在那裡的活動主要是在二級市場。我認為中國市場所面臨的不利因素已被充分記錄。但我們支持這一點的活動主要是在二級市場。您還有什麼要補充的嗎？

Now, I just going to comment. We're still very excited about the mobile market. We've got a handful of customers that are active. It's just certain dynamics that we're encountering right now. So I agree with just comment is most of the revenue increase we'll see in the second half of '24 is going to be with the Tier-2 market. We hope with the activity that we'll see opportunities back in with Tier-1 in 2025, 2026. But that's something that we've got and continue to push with our Tier-1 customers that we're engaged with.

現在，我只想發表評論。我們對行動市場仍然非常興奮。我們有一些活躍的客戶。這只是我們現在遇到的某些動態。因此，我同意剛才的評論，即我們將在 24 年下半年看到的大部分收入成長將來自二級市場。我們希望透過這項活動，我們將在 2025 年、2026 年看到與 1 級客戶重新合作的機會。但這是我們已經擁有的，並將繼續與我們合作的 1 級客戶一起推動。

That's really helpful, guys. And then lastly for me before I get back in the queue, if I can my connection was breaking up. As you talked about the timing of what I believe was a [$4] million ITC refunds and when do you expect to realize from?

這真的很有幫助，夥計們。最後對我來說，在我回到隊列之前，如果可以的話，我的連線正在中斷。當您談到我認為 ITC 退款 [4] 百萬美元的時間時，您預計何時實現？

Thanks, Craig. So, yes, so we -- that's actually over an 18-month period, $3.5 million to $4 million that will be filed with our tax return this year and our taxes for next year and then it's a projection of when we expect to get a refund from the IRS? how long that may take? But we would expect the first tranche of that to be roughly about half of that, a little over $1.5 million to $2 million for this upcoming time period, and we expect that to occur in the March quarter, March of 2024.

謝謝，克雷格。所以，是的，所以我們- 這實際上是一個超過18 個月的時期，350 萬到400 萬美元將與我們今年的納稅申報表和明年的稅款一起提交，然後這是我們預計何時獲得的預測國稅局退稅？這可能需要多長時間？但我們預計第一筆資金將約為其中的一半，在即將到來的時期內略高於 150 萬美元至 200 萬美元，我們預計這將發生在 2024 年 3 月的第三季。

Got it. Thanks, guys.

知道了。多謝你們。

Thank you, Craig.

謝謝你，克雷格。

Our final question is from the line of Suji Desilva with ROTH MKM. Please proceed with your questions.

我們的最後一個問題來自 Suji Desilva 和 ROTH MKM。請繼續回答您的問題。

Hi, Jeff, Dave, and Ken. The product cost improvement you talked about in terms of really proving that the margins and the laminate and so forth. What mix of the products as we go 6, 12 months out, we'll be at that improved cost structure. It's a target getting to breakeven.

嗨，傑夫、戴夫和肯恩。你談到的產品成本改進確實證明了利潤率和層壓板等方面。 6、12 個月後，我們將採用什麼樣的產品組合來改善成本結構。這是實現損益平衡的目標。

According to [CGL] we get both Dave and Ken on that craig, one from the product obviously, one from the numbers that financial.

根據[CGL]，我們在那個克雷格上得到了戴夫和肯，其中一位顯然來自產品，一位來自財務數字。

Morning Suji. So yeah, there's some -- I would say that the mix right now for the next quarter, quarter and half is going to be more than the older products. But as we get the new products that profiles ramp. And you'll see that transition point probably three quarters out that you will start to see it move through that the new products will take a higher percentage.

早安蘇吉。所以，是的，有一些 - 我想說，現在下一個季度、一個季度和一半的產品組合將比舊產品更多。但隨著我們推出新產品，輪廓也不斷增加。你會看到這個轉變點可能會在四分之三之後，你會開始看到它的變化，新產品將佔據更高的比例。

And then by the -- I guess, 12 month period, I would expect the majority of the products that we're shipping are a good chunk of it's going to be the new platform, the smaller form factor. A lot of the 6E and even the six programs are get replaced with the seven, at least with the customers that we're targeting will have some legacy products that continue to ship some of the enterprise customers, they'll be utilizing these older generation products for two to three years out. So it's just a transition period and it's picked into Ken's models too as well that can touch on.

然後到了——我猜，12 個月期間，我預計我們正在運輸的大部分產品將是新平台、更小的外形。許多 6E 甚至 6 個程式都被 7 個程式所取代，至少我們的目標客戶將擁有一些遺留產品，這些產品將繼續向一些企業客戶提供，他們將使用這些老一代產品產品的有效期為兩到三年。所以這只是一個過渡期，它也被納入肯的模型中，可以觸及。

Yep. So we like I said, there's about over a dozen new products that we're introducing over the next three to nine months and then more to follow after that. And as Dave mentioned, they'll slowly be accepted by the market and be brought into our sales funnel.

是的。正如我所說，我們將在接下來的三到九個月內推出大約十幾種新產品，之後還會推出更多產品。正如戴夫所提到的，它們將慢慢被市場接受並納入我們的銷售管道。

And as I mentioned earlier, there also -- is the new base station products and those have a higher ASP and have a lower cost as well. So we'll start to see that funnel and more and then get to 25% gross margin in that range when we get to this time next year in the December quarter.

正如我之前提到的，還有新的基地台產品，它們的平均售價更高，成本也更低。因此，我們將開始看到這個漏斗以及更多內容，然後在明年 12 月季度的這個時候，毛利率達到 25%。

And Suji, let me add this -- Jeff, let me add to that, really three dynamics that's going on that margin improvement. They've touched on the size, the laminate has more selection of laminate to lower cost. Laminates is certainly a selection criterion. And I do want to emphasize the work by the team in the [yield] category that surveillance help us size the product laminate as well as some of the yields that are going to be driving on gross margin going forward.

Suji，讓我補充一點——Jeff，讓我補充一點，實際上是利潤率改善的三個動力。他們談到了尺寸，層壓板有更多的層壓板選擇以降低成本。層壓板無疑是一個選擇標準。我確實想強調團隊在[產量]類別中所做的工作，即監控幫助我們確定產品層壓板的尺寸以及將推動未來毛利率的一些產量。

Okay, great, guys. My other questions on the financial side, what's the CapEx budget expected maybe the next 12 months, calendar '24, whatever timeframe you want to use? Just understand, how capital intensive next phases is?

好吧，太好了，夥計們。我在財務方面的其他問題是，未來 12 個月、24 日曆年的預期資本支出預算是多少，無論您想使用什麼時間範圍？只要了解，下一階段的資本密集程度如何？

So, we've just completed our 500 million capacity, 500 million filters per year capacity expansion and also built up some of our back-end processing capabilities in this quarter. And if you look at our financials, you'll see the footnote disclosure stating about $1 million of spend that is left. However, I would also tell you that we're looking to -- we're looking into it and see what expenses we can defer or not do from that angle as well as far as further cost reduction program.

因此，我們剛完成了 5 億個產能、每年 5 億個過濾器的產能擴張，並在本季建立了一些後端處理能力。如果您查看我們的財務數據，您會看到腳註揭露，其中顯示剩餘支出約為 100 萬美元。然而，我還要告訴你，我們正在研究它，看看從這個角度我們可以推遲或不做哪些費用，以及進一步的成本削減計劃。

But, at most you look at our footnote it's a little over $1 million for the next 12 months.

但是，您看看我們的腳註，未來 12 個月的支出最多略高於 100 萬美元。

And Suji, let me add to that, that tool capacity expansion. Those tools are predominantly installed and running. We have deferred on some of the labour as we've been able to make strides in yields. And that's put some of the labor component that's driving some of that cost of goods.

Suji，讓我補充一下，工具容量擴充。這些工具主要已安裝並正在運行。我們推遲了一些工作，因為我們已經能夠在產量方面取得長足進步。這其中一部分勞動力因素推動了部分商品成本的上漲。

That's pushed some of that out. And that's part of what center can serve are referencing in terms of some of the savings program. So we've got the tool capacity and I can add the labor and bring that trained up generally speaking in one to two quarters.

這已經排除了其中的一些。這是中心可以提供的服務的一部分，是一些儲蓄計劃的參考。因此，我們已經具備了工具能力，我可以添加勞動力並在一般情況下在一到兩個季度內進行培訓。

Okay. Thanks, guys.

好的。多謝你們。

Thank you. This concludes our question and answer session. And I will now hand the floor back to management for closing remarks.

謝謝。我們的問答環節到此結束。現在，我將把發言權交還給管理階層，讓他們發表結束語。

Thank you, operator, and thank you all for your time today, and we look forward to speaking with you during our next update call to discuss the current quarter execution against our milestones as well as against the future expectations. Thank you again, and wish everybody a wonderful week.

謝謝運營商，感謝大家今天抽出寶貴的時間，我們期待在下一次更新電話會議上與您交談，根據我們的里程碑以及未來的預期討論當前季度的執行情況。再次感謝大家，祝福大家有個愉快的一週。

Thank you.

謝謝。

This will conclude today's conference. You may disconnect your lines at this time. Thank you for your participation.

今天的會議到此結束。此時您可以斷開線路。感謝您的參與。