Ambarella, Inc. (AMBA) 2026 Q1 法說會逐字稿

Hello, everyone, and welcome to Ambarella's first quarter fiscal year 2026 earnings call. (Operator Instructions) Please note, this event is being recorded.

各位好，歡迎參加 Ambarella 2026 會計年度第一季財報電話會議。(接線員指示) 請注意，本活動將被錄音。

Now it's my pleasure to turn the call over to the Vice President, Corporate Development, Louis Gerhardy. The floor is yours.

現在我很榮幸將電話會議交給公司發展副總裁 Louis Gerhardy。請開始。

Thank you, Carmen. Good afternoon and thank you for joining our first quarter fiscal year 2026 financial results conference call. On the call with me today is Dr. Fermi Wang, President and CEO; and John Young, CFO.

謝謝你，Carmen。各位午安，感謝各位參加我們 2026 會計年度第一季財務結果電話會議。今天與我一同出席的有：總裁暨執行長 Fermi Wang 博士，以及財務長 John Young。

The primary purpose of today's call is to provide you with information regarding the results for our first quarter fiscal year 2026. The discussion today and the responses to your questions will contain forward-looking statements regarding our projected financial results, financial prospects, market growth, and demand for our solutions, among other things. These statements are based on currently available information and subject to risks, uncertainties, and assumptions.

今天電話會議的主要目的，是向各位提供我們 2026 會計年度第一季業績相關資訊。今天的討論以及我們對各位提問的回覆，將包含前瞻性陳述，內容涉及我們預期的財務結果、財務前景、市場成長，以及對我們解決方案的需求等。這些陳述係基於目前可得資訊，並受風險、不確定性與假設所影響。

Should any of these risks or uncertainties materialize or should our assumptions prove to be incorrect, our actual results could differ materially from these forward-looking statements. We are under no obligation to update these statements. These risks, uncertainties, and assumptions as well as other information on potential risk factors that could affect our financial results are more fully described in the documents we file with the SEC.

若上述任何風險或不確定性成真，或我們的假設被證明不正確，我們的實際結果可能與這些前瞻性陳述有重大差異。我們沒有義務更新這些陳述。上述風險、不確定性與假設，以及其他可能影響我們財務結果的潛在風險因素之相關資訊，已在我們向美國證券交易委員會（SEC）提交的文件中更完整地說明。

Before starting the call, I'd like to summarize our investor events scheduled for our second fiscal quarter. On June 3, we'll be participating in Bank of America's Technology Conference in San Francisco; June 17, we'll host Redburn Atlantic's West Coast Bus Tour in Santa Clara; June 18, we'll host Trivariate Research and NH Investment Securities Bus Tour in Santa Clara; and June 23 to 25, we'll be visiting Baltimore, Boston and New York City on a non-deal roadshow.

在開始電話會議之前，我想先摘要我們在第二會計季預定參與的投資人活動。6 月 3 日，我們將參加美國銀行在舊金山舉辦的科技研討會；6 月 17 日，我們將在聖塔克拉拉接待 Redburn Atlantic 的西岸巴士巡迴；6 月 18 日，我們將在聖塔克拉拉接待 Trivariate Research 與 NH Investment Securities 的巴士巡迴；6 月 23 日至 25 日，我們將在一場非交易路演（non-deal roadshow）中造訪巴爾的摩、波士頓與紐約市。

Access to our first quarter fiscal year 2026 results press release, transcripts, historical results, and SEC filings as well as a replay of today's call can be found on the Investor Relations page of our website. The content of today's call as well as the materials posted on our website are Ambarella's property and cannot be reproduced or transcribed without our prior written consent.

我們 2026 會計年度第一季業績新聞稿、逐字稿、歷史業績與 SEC 申報文件，以及今日電話會議的重播，皆可於我們網站的投資人關係頁面取得。今日電話會議內容以及我們網站上張貼的資料均為 Ambarella 之財產，未經我們事先書面同意，不得重製或轉錄。

Fermi will now provide a business update for the quarter. John will review the financial results and outlook, then we'll be available for your questions. Fermi?

接下來 Fermi 將提供本季的業務更新。John 將回顧財務結果與展望，之後我們將開放各位提問。Fermi？

Thank you, Louis, and good afternoon. Thank you for joining us for our call today. We had an excellent start to the year with the first quarter revenue of $85.9 million, to the upper half of our guidance due to the continued strength in our edge AI business. Both our 5 nanometer CV5 and CV7 product family as well as our 10-nanometer CV2 product families contributed to the revenue growth, and our average selling price continued to increase as we capture more value per design win.

謝謝你，Louis，各位午安。感謝各位今天加入我們的電話會議。我們以非常出色的表現展開新年度，第一季營收為 8,590 萬美元，落在我們財測區間的上半部，主要受惠於邊緣 AI 業務持續強勁。我們的 5 奈米 CV5 與 CV7 產品系列，以及 10 奈米 CV2 產品系列皆對營收成長有所貢獻；隨著我們在每個設計導入（design win）中取得更高價值，我們的平均銷售單價也持續提升。

Edge AI revenue, which we define as a product that integrates one of our proprietary deep learning AI accelerators, was more than 75% of our Q1 revenue. And this represents the fourth consecutive quarter of record AI revenue. This achievement demonstrates the execution of our edge AI strategy in the face of a volatile market.

邊緣 AI 營收（我們將其定義為整合我們自有深度學習 AI 加速器之一的產品）占第一季營收的 75% 以上。這也代表我們連續第四季創下 AI 營收新高。在市場波動的情況下，這項成果展現了我們邊緣 AI 策略的執行力。

During the first quarter, IoT applications increased to mid-single digits sequentially and now represent about three-quarters of our total revenue with our automotive business declined low single digits sequentially, although automotive revenue was up more than 20% on a year-over-year basis.

第一季期間，IoT 應用的營收較前一季增加至中個位數百分比，目前約占我們總營收的四分之三；汽車業務營收較前一季小幅下滑至低個位數百分比，但汽車營收年增超過 20%。

In our February 26 earning call, we provided a fiscal 2026 revenue growth estimate in the mid- to high-teens or approximately $327 million to $339 million with some conservative built in to our second half outlook due to the geopolitical uncertainty. Although the geopolitical uncertainty remains high, we are increasing our fiscal 2026 revenue growth estimate to the range of 19% to 25% or approximately $348 million at the midpoint. While we continue to expect that we will not face a material direct impact from the current tariffs, given the uncertainty of an indirect impact, our larger-than-normal range of guidance reflects our conservatism.

在 2 月 26 日的財報電話會議中，我們提供了 2026 會計年度營收成長的估計，約為中到高十位數百分比，或約 3.27 億至 3.39 億美元；由於地緣政治不確定性，我們在下半年展望中納入了一些保守假設。儘管地緣政治不確定性仍然偏高，我們將 2026 會計年度營收成長估計上調至 19% 至 25% 的區間，中點約為 3.48 億美元。雖然我們仍預期目前關稅不會對我們造成重大的直接影響，但鑑於間接影響的不確定性，我們較以往更寬的財測區間反映了我們的保守態度。

We are confident in the long-term drivers of our edge AI strategy, and the business remains fully intact. Multiple factors are driving our optimism for the edge AI market, including my recent discussions with customers, representative customer engagements, I will discuss later in the call, as well as evolution of our edge AI serviceable available market. Our SAM is comprised of more than 20 different automotive and IoT edge AI applications with a five-year compounded annual revenue growth rate in the high-teens, reaching almost $13 billion in fiscal 2031.

我們對邊緣 AI 策略的長期驅動因素充滿信心，業務基本面仍然完全穩健。多項因素推動我們對邊緣 AI 市場的樂觀展望，包括我近期與客戶的討論、具代表性的客戶互動（我稍後會在電話會議中說明），以及我們邊緣 AI 可服務可得市場（SAM）的演進。我們的 SAM 涵蓋超過 20 種不同的汽車與 IoT 邊緣 AI 應用，未來五年的營收複合年成長率為高十位數百分比，至 2031 會計年度將接近 130 億美元。

In the past, a vast majority of our revenue and our SAM opportunity originated from the edge endpoint market, all the terminal device in the network. But our new analysis indicate SAM expansion in the edge infrastructure or the layer of a network where data from multiple endpoints is aggregated and the incremental advanced AI features and services such as multi-modal vision-language model -- vision language and reasoning models can be supported.

過去，我們絕大部分的營收與 SAM 機會來自邊緣端點市場，也就是網路中的各種終端裝置。但我們最新的分析顯示，SAM 正在向邊緣基礎設施擴張，也就是網路中彙整多個端點資料的那一層；在該層可支援額外的進階 AI 功能與服務，例如多模態視覺-語言模型——視覺語言與推理模型。

We are already addressing the edge infrastructure market with the N1 family, and we are now developing a new AI SoC product family to enhance our edge AI infrastructure roadmap. By leveraging the silicon architecture and software investment in low-power and scalable third-generation AI accelerator, we are able to efficiently extend our reach. Over the next few quarters, we will be describing some of the edge infrastructure applications we are targeting in more detail.

我們已透過 N1 系列切入邊緣基礎設施市場，並且正在開發新的 AI SoC 產品系列，以強化我們的邊緣 AI 基礎設施產品藍圖。藉由運用我們在低功耗與可擴展的第三代 AI 加速器上的矽智財架構與軟體投資，我們能夠有效率地延伸觸角。在接下來幾個季度，我們將更詳細說明我們鎖定的部分邊緣基礎設施應用。

In April, I attended the ISC West security show and met with key customers and partners. Ambarella demonstrated its leadership in GenAI at the edge with 18 product demonstrations, including the latest GenAI and the vision AI capabilities. And I was very pleased with the high level of customer interest and activities around our advanced AI products.

4 月我參加了 ISC West 安防展，並與關鍵客戶與合作夥伴會面。Ambarella 透過 18 項產品展示，展現其在邊緣端 GenAI 的領導地位，其中包含最新的 GenAI 與視覺 AI 能力。我也非常高興看到客戶對我們先進 AI 產品展現高度興趣與積極互動。

The demonstrations highlight Ambarella's ability to enable scalable, high-performance reasoning and vision AI applications, leveraging our third-generation AI accelerator, which now supports most of the leading GenAI models from 500 million to 34 billion parameters.

這些展示凸顯 Ambarella 能夠運用第三代 AI 加速器，支援可擴展的高效能推理與視覺 AI 應用；該加速器目前已支援多數主流 GenAI 模型，參數規模從 5 億到 340 億不等。

We demonstrated Deepseek GenAI models running on our products at three different price performance points, including CV75, CV7,2 and N1-655 processors. These demos, including advanced multi-stream video analysis, exemplify our -- how we are pushing the boundaries of real-time AI-powered security analytics by running state-of-the-art vision language models for both endpoint and on-prime infrastructure.

我們展示了 Deepseek GenAI 模型在我們產品上運行，涵蓋三個不同的性價比（price performance）定位，包括 CV75、CV7,2 與 N1-655 處理器。這些展示（包含先進的多串流影片分析）體現了我們——我們如何透過在端點與本地（on-prime）基礎設施上運行最先進的視覺語言模型，持續突破即時 AI 驅動的安防分析邊界。

I will now talk about some of our customer product introductions during the quarter. During the quarter, a leading enterprise security camera company introduced two new products based on our CV72 offering very high resolution and advanced AI analytics. A third product, a wearable device supporting multiple modalities, was also introduced to the market. And this first-of-a-kind product is based on our S6LM video processor.

接下來我將談談本季部分客戶的新產品發表。本季期間，一家領先的企業級安防攝影機公司推出兩款基於我們 CV72 的新產品，提供非常高的解析度與先進的 AI 分析能力。第三款產品——一款支援多種模態的穿戴式裝置——也已推向市場。而這款同類首創的產品是基於我們的 S6LM 影像處理器。

As I described earlier, we are seeing increased traction in the edge AI market beyond our core enterprise and whole security business. This quarter, IoT edge examples that demanded -- demanding our AI technology, including 360-degree portable video cameras, cyclist cameras, industrial automation, and enterprise video conferencing. In the portable video camera market, market leader Insta360 introduced its flagship model, the 360-degree X5 camera based on Ambarella's 5 nanometer CV5. The X5 offers 8K video with advanced AI-based image processing.

如我先前所述，除了我們核心的企業與整體安防業務之外，我們也看到邊緣 AI 市場的動能正在提升。本季，在 IoT 邊緣端方面，出現了多個需要——並持續需要——我們 AI 技術的案例，包括 360 度可攜式攝影機、騎行者攝影機、工業自動化，以及企業視訊會議。在可攜式攝影機市場，市場領導者 Insta360 推出了其旗艦機種 360 度 X5 攝影機，採用 Ambarella 的 5 奈米 CV5。X5 提供 8K 影片與先進的 AI 影像處理。

Also in the IoT market, Garmin announced its Varia Vue headlight camera for cyclists based on our H32 video processors. In the enterprise IoT industrial automation market, Huaray announced its R5000 series of machine vision code readers based on our third-generation AI accelerator. The 5 nanometer CV75 enables the system to read up to 90 codes per second.

同樣在 IoT 市場，Garmin 發表了其 Varia Vue 騎行者頭燈攝影機，採用我們的 H32 影像處理器。在企業 IoT 的工業自動化市場，Huaray 發表其 R5000 系列機器視覺讀碼器，採用我們第三代 AI 加速器。5 奈米 CV75 使系統可達到每秒讀取多達 90 個碼。

Also in the enterprise IoT, Norway-based Huddly introduced a new category of multi-camera video conferencing products as the Integrated Systems Europe exhibition. Huddly's new C1 video bar is part of a collaboration with technology giant, Lenovo. And the advanced system is based on our 5 nanometer CV72 with 20 times the AI performance of previous generation systems.

同樣在企業 IoT 領域，挪威的 Huddly 於 Integrated Systems Europe 展會上推出一個新的多攝影機視訊會議產品類別。Huddly 的新款 C1 視訊條（video bar）是與科技巨擘 Lenovo 合作的一部分。該先進系統採用我們的 5 奈米 CV72，AI 效能為前一代系統的 20 倍。

In our automotive safety and ADAS business, this quarter, we are disclosing wins in China, Japan, Korea, and the US. A leading Japanese OEM will utilize our CV25 SoC in a data log application, with the CV25 supporting both secure viewing and data analytics. The project is supported by a major Tier 1 in Japan with production scheduled to begin this year. Also in Japan, another leading Japanese OEM is utilizing CV25 for a multi-camera system providing in-cabin recording and viewing functions with production scheduled for our current fiscal year.

在我們的車用安全與 ADAS 業務方面，本季我們揭露了在中國、日本、韓國與美國的得標案。一家日本主要 OEM 將在資料記錄（data log）應用中採用我們的 CV25 SoC，CV25 同時支援安全檢視與資料分析。該專案由日本一家主要 Tier 1 供應商支援，並預計於今年開始量產。同樣在日本，另一家日本主要 OEM 正在以 CV25 用於多攝影機系統，提供車內錄影與檢視功能，並預計在我們本會計年度內量產。

During the second quarter, Zeekr introduced its 007 GT electric vehicle featuring an interactive intelligent B-pillar system with two cameras. Our CV28 enable access control based on face ID as well as incoming monitoring.

在第二季期間，極氪（Zeekr）推出其 007 GT 電動車，配備具互動式智慧 B 柱系統並搭載兩顆攝影機。我們的 CV28 可支援基於人臉 ID 的門禁控制，以及來訪監控。

Thinkware, a leading South Korea provider of smart car information technologies, has entered production with Harmony, a dual camera recorder based on CV25 supporting ADAS features such as forward collision warning, then departure warning and security monitoring.

Thinkware（韓國領先的智慧車載資訊技術供應商）已開始量產 Harmony，這是一款基於 CV25 的雙鏡頭錄影機，支援 ADAS 功能，例如前方碰撞警示、車道偏離警示以及安防監控。

And in the commercial fleet telematics market, US-based RoadEazy introduced its RZ1 featuring a dual-view camera based on our CV25. The RZ1 capture clear road and cabin footage to improve fleet safety and accountability with integrated edge AI, identifying risks like distracted driving, phone usuage, or tailgating.

在商用車隊車聯網（telematics）市場方面，美國 RoadEazy 推出其 RZ1，搭載基於我們 CV25 的雙視角攝影機。RZ1 透過整合式邊緣 AI 擷取清晰的道路與車艙影像，以提升車隊安全與可追責性，並可辨識分心駕駛、手機使用或跟車過近等風險。

As you can see from this representative engagement, security remains an important growth market for us. But we are seeing opportunities in numerous other edge AI applications with customers in both the auto and IoT market evaluating and adopting our AI SoCs.

從這個具代表性的合作案可以看出，安防仍是我們重要的成長市場。但我們也在眾多其他邊緣 AI 應用中看到機會，汽車與 IoT 市場的客戶都在評估並採用我們的 AI SoC。

As many of you know, roughly five years ago, edge AI originated in an enterprise security camera market, and we were quick to lead the market. Today, we continue to lead the security edge AI market, and we are successfully leveraging our AI portfolio and the market know-how into new application verticals. In fact, security is less than half of our total revenue today, and today's announcement are just a subset of new edge AI application we see emerging.

如各位所知，大約五年前，邊緣 AI 起源於企業安防攝影機市場，而我們很快就成為市場領導者。如今，我們仍持續領先安防邊緣 AI 市場，並成功將我們的 AI 產品組合與市場專業知識延伸至新的應用垂直領域。事實上，安防目前占我們總營收不到一半，而今天的公告只是我們所看到正在浮現的新邊緣 AI 應用中的一部分。

Our investment in technology and products is driving today's revenue growth and our future revenue growth opportunities. Our edge AI products address the megatrends of safety and security, but also automation which enables end-user productivity to be improved and enables entirely new revenue streams across many markets. While it is still early, AI is finding its way to the edge is not just a data center or hyperscaler opportunity anymore.

我們在技術與產品上的投資，正在推動當前的營收成長以及未來的營收成長機會。我們的邊緣 AI 產品對應安全與安防等巨型趨勢（megatrends），同時也涵蓋自動化，這能提升終端使用者生產力，並在多個市場創造全新的營收來源。雖然仍處於早期階段，AI 正在走向邊緣端，已不再只是資料中心或超大規模雲端業者（hyperscaler）的機會。

Ambarella is the leader in edge AI with more than 32 million edge AI processors shipped on a cumulative basis. We are the established edge AI technology provider who is uniquely focused on -- focused and positioned for the rapidly evolving edge AI market. We continue the pace rapid innovation. Our product portfolio and road map are highly differentiated and offer the flexibility and scalability to target increasingly diverse applications. Both enterprise and consumer-driven markets and across edge endpoints as well as edge infrastructure.

Ambarella 是邊緣 AI 的領導者，累計出貨超過 3,200 萬顆邊緣 AI 處理器。我們是成熟的邊緣 AI 技術供應商，並以獨特方式專注於——專注並定位於——快速演進的邊緣 AI 市場。我們持續保持快速創新的步伐。我們的產品組合與路線圖具高度差異化，並提供彈性與可擴展性，以鎖定日益多元的應用。涵蓋企業與消費者驅動的市場，並橫跨邊緣端點以及邊緣基礎設施。

As I wrap up today, I want to reiterate the important points we shared today; one, we delivered strong Q1 results with similar strengths projected into Q2; two, we increased our fiscal 2026 guidance while maintaining a conservative second half steps; three, our high-value, high-ASP products are seeing strong momentum; fourth, we have a strong SAM outlook with the new edge AI markets in development; five, we are an established edge AI market leader who's innovating at a rapid pace

在我今天做結語之際，我想重申我們今天分享的重點：第一，我們交出強勁的 2026 會計年度第一季（Q1）成果，並預期第二季（Q2）將延續類似的強勢；第二，我們上調 2026 會計年度指引，同時維持對下半年較保守的步調；第三，我們高價值、高 ASP 產品正展現強勁動能；第四，隨著新邊緣 AI 市場的開發，我們對 SAM 的展望強勁；第五，我們是成熟的邊緣 AI 市場領導者，並以快速節奏持續創新

Of course, the geopolitical uncertainty can be a distraction, but to deal with it, I feel it is important to remain agile and be prepared for short-term surprises and to focus on what we can control while most importantly continued investment in innovation and market development that is most critical for our success. Financially, while we have generated positive free cash flow for 16 consecutive years, our goal is to develop the technology products and the customers that result in positive earning leverage and growth in our free cash flow.

當然，地緣政治不確定性可能造成干擾，但為了因應，我認為重要的是保持敏捷、為短期意外做好準備，並專注於我們可控的事項；同時最重要的是，持續投資於創新與市場開發，這對我們的成功至關重要。在財務方面，雖然我們已連續 16 年產生正向自由現金流，我們的目標是發展能帶來正向獲利槓桿並推動自由現金流成長的技術產品與客戶。

With that, John will now discuss the Q1 results and the Q2 outlook in more detail.

接下來，John 將更詳細地說明第一季（Q1）業績以及第二季（Q2）展望。

Thank you, Fermi. I'll now review the financial highlights for the first-quarter of fiscal year 2026, ending April 30, 2025. I will also provide a financial outlook for our second quarter of fiscal year 2026, ending July 31, 2025.

謝謝你，Fermi。我現在將回顧 2026 會計年度第一季（截至 2025 年 4 月 30 日）的財務重點。我也將提供 2026 會計年度第二季（截至 2025 年 7 月 31 日）的財務展望。

I will be discussing non-GAAP results and ask that you refer to today's press release for a detailed reconciliation of GAAP to non-GAAP results. For non-GAAP reporting, we have eliminated stock-based compensation expense along with acquisition-related costs adjusted for the impact of taxes.

我將討論非 GAAP 結果，並請各位參考今日新聞稿，以取得 GAAP 與非 GAAP 結果之間的詳細調節表。在非 GAAP 報導中，我們已剔除以股票為基礎的薪酬費用，以及與併購相關、並已就稅務影響調整後的成本。

For fiscal Q1, revenue was $85.9 million, above the midpoint of our prior guidance range, up 2.2% from the prior quarter and up 57.6% year over year. Sequentially, automotive revenue declined in the low single digits and IoT increased in the mid-single digits.

在 2026 會計年度第一季，營收為 8,590 萬美元，高於先前指引區間的中位數，較前一季成長 2.2%，較去年同期成長 57.6%。以季比來看，車用營收下滑低個位數百分比，而 IoT 則成長中個位數百分比。

Non-GAAP gross margin for fiscal Q1 was 62%, slightly above the midpoint of our prior guidance range due to a favorable product mix. Non-GAAP operating expense in Q1 was $51.8 million, slightly above the midpoint of our prior guidance range of $50 million to $53 million, due in part to higher engineering costs on new and existing chip development projects.

2026 會計年度第一季的非 GAAP 毛利率為 62%，由於產品組合有利，略高於先前指引區間的中位數。第一季非 GAAP 營業費用為 5,180 萬美元，略高於先前 5,000 萬至 5,300 萬美元指引區間的中位數，部分原因是新舊晶片開發專案的工程成本較高。

Q1 net interest and other income was $2.2 million. Comparing to our prior guidance of $1.8 million, the increase was primarily from higher other income. Q1 non-GAAP tax provision was approximately $600,000. We reported a non-GAAP net profit of $3 million or $0.07 of earnings per diluted share in Q1.

第一季淨利息及其他收入為220萬美元。相較於我們先前指引的180萬美元，增加主要來自其他收入較高。第一季非GAAP稅費提列約為60萬美元。我們在第一季報告非GAAP淨利為300萬美元，或稀釋後每股盈餘0.07美元。

Now I will turn to our balance sheet and cash flow. Fiscal Q1 cash and marketable securities reached $259.4 million, increasing $9.1 million from the prior quarter and $56 million from the same quarter a year ago. Increased cash and marketable securities benefited primarily from working capital improvements associated with increased revenue during the quarter.

接下來我將說明我們的資產負債表與現金流。2026會計年度第一季的現金及有價證券達2.594億美元，較前一季增加910萬美元，較去年同期增加5,600萬美元。現金及有價證券增加主要受惠於本季營收成長所帶動的營運資金改善。

Receivables days sales outstanding decreased from 33 days in the prior quarter to 31 days, while days of inventory increased 1 day to 98 days. Compared to the prior quarter, our inventory dollars increased 14% to support our customers' strong demand outlook for our products. Operating cash inflow was $14.8 million for the quarter. Capital expenditures for tangible and intangible assets were $4.6 million for the quarter. Free cash flow was $10.2 million for the quarter.

應收帳款週轉天數（DSO）由前一季的33天降至31天，而存貨天數增加1天至98天。與前一季相比，我們的存貨金額增加14%，以支援客戶對我們產品強勁的需求展望。本季營運活動現金流入為1,480萬美元。本季有形與無形資產的資本支出為460萬美元。本季自由現金流為1,020萬美元。

During the second quarter of fiscal year 2026, Ambarella's Board of Directors approved an extension of the current share repurchase program for an additional 12 months ending June 30, 2026. During the first quarter, we purchased 24,152 shares of our stock for a total consideration of approximately $1 million. As of today, there's approximately $48 million available under our repurchase authorization. We had one logistics company representing 10% or more of our revenue. WT Microelectronics, a fulfillment partner in Taiwan that ships to multiple customers in Asia, came in at 63.1% revenue for the quarter.

在2026會計年度第二季期間，Ambarella董事會核准將現行庫藏股回購計畫延長12個月，至2026年6月30日止。第一季期間，我們以約100萬美元的總對價回購了24,152股公司股票。截至今日，我們的回購授權額度尚餘約4,800萬美元可用。我們有一家物流公司占我們營收10%或以上。WT Microelectronics為台灣的履約合作夥伴，向亞洲多家客戶出貨，本季營收占比為63.1%。

I'll now discuss the outlook for the second-quarter of fiscal year 2026. Demand for our edge AI inference processors remain strong. We anticipate fiscal Q2 revenue in the range of $86 million to $94 million or $90 million at the midpoint. We expect mid-single-digit sequential revenue growth in IoT applications with auto revenue expected to be slightly up versus the prior quarter.

我現在將討論2026會計年度第二季的展望。我們的邊緣AI推論處理器需求仍然強勁。我們預期2026會計年度第二季營收介於8,600萬至9,400萬美元之間，中點為9,000萬美元。我們預期IoT應用的營收將呈現中個位數的季增，而車用營收預期將較前一季小幅上升。

For fiscal 2026, we anticipate a revenue growth range of 19% to 25%. We expect fiscal Q2 non-GAAP gross margin to be in the range of 60.5% to 62%. We expect non-GAAP operating expenses in the second quarter to be in the range of $52.5 million to $55.5 million with the increase compared to Q1 driven by new product development costs, including a new AI SoC addressing the emerging IoT edge infrastructure opportunities described earlier by Fermi.

就2026會計年度而言，我們預期營收成長區間為19%至25%。我們預期2026會計年度第二季非GAAP毛利率介於60.5%至62%。我們預期第二季非GAAP營業費用介於5,250萬至5,550萬美元之間，較第一季增加主要由新產品開發成本所驅動，其中包括一款新的AI SoC，用以因應Fermi先前所描述的新興IoT邊緣基礎設施機會。

We also anticipate a weaker US dollar to have a moderately unfavorable impact on our operating expenses in the second quarter. We estimate net interest and other income to be approximately $1.8 million, our non-GAAP tax expense to be approximately $800,000 and our diluted share count to be approximately 42.6 million shares.

我們也預期美元走弱將對第二季營業費用帶來中度不利影響。我們估計淨利息及其他收入約為180萬美元，非GAAP稅費約為80萬美元，稀釋後股數約為4,260萬股。

Thank you for joining our call today. And with that, I will turn the call over to the operator for questions.

感謝各位今天參與我們的電話會議。接下來我將把電話交給接線員進行提問。

(Operator Instructions)

（接線員指示）

Christopher Rolland, Susquehanna.

Christopher Rolland，Susquehanna。

Congrats on the quarter. To get to your full year guide, I just want to make sure I get the moving parts right. It seems like we are taking up our numbers in the first half. But just looking at the sequential growth profile, it looks, at least versus prior that the back half, the sequentials are reduced versus our prior. And so I was just wondering has the growth profile actually changed?

恭喜本季表現。為了對應你們的全年指引，我只是想確認我把各個變動因素理解正確。看起來我們在上半年把數字往上調。但如果只看逐季成長的輪廓，至少相較於先前，你們下半年的逐季增幅看起來比我們先前的預期要低。所以我想問的是，成長輪廓是否真的改變了？

Is this related to the tariff kind of pull-in that you commented on last quarter? So are we taking from the -- are we adding to the first half but taking from the second? Just what are the kind of moving parts in the growth profile for the year?

這是否與你們上季提到的關稅導致的提前拉貨有關？所以我們是把量從——我們是增加上半年、但從下半年挪過來嗎？就全年而言，成長輪廓的變動因素到底是哪些？

Well, first of all, I don't think we are having concerns, at least our current annual guidance doesn't have any concerns about second half strength. What we -- if you look at, we extend the guidance range, if you look at the high end of the guidance range, we have regular seasonality and showing a strong second half growth. So it's really about the -- there's uncertainty about -- with the current geopolitical situation, and we want to build in some uncertainty in there.

首先，我不認為我們有任何疑慮，至少我們目前的全年指引並沒有對下半年力道有任何擔憂。如果你看——我們把指引區間拉寬了；如果看指引區間的高端，我們有正常的季節性，並顯示下半年有強勁成長。所以這其實是關於——在目前地緣政治情勢下存在不確定性，我們希望把一些不確定性納入考量。

So I think we have still high confidence about our second half growth. And with our visibility in Q3 and we are building up visibility in Q4, I think that -- I don't believe we're giving any signal that we have a weaker second half.

因此我認為我們對下半年成長仍然很有信心。而且就我們對第三季的能見度，以及我們正在建立對第四季的能見度而言，我認為——我不覺得我們在釋放任何下半年較弱的訊號。

Chris, going into this -- this is Louis. Going into this call, I think the consensus was about 51% in the first half, 49% in the second half. And at the midpoint, I do think those percents changed much, but the dollar figures, I think in every quarter would probably be going up a bit. So it's another way to think about it.

Chris，補充一下——我是Louis。在這通電話會議之前，我認為市場共識大約是上半年51%、下半年49%。以中點來看，我確實不覺得這些百分比有太大改變，但以金額來看，我認為每一季可能都會略為上調。所以這是另一種思考方式。

But I'd point out also that if you're in the upper half of our guidance range, you'd probably end up with seasonality pretty close to normal. So it's really your call. We're just saying it's an uncertain environment. It could happen and play out a lot of different ways.

但我也要指出，如果你落在我們指引區間的上半部，你最後看到的季節性可能會非常接近正常。所以這真的取決於你的判斷。我們只是說目前環境不確定。事情可能會以很多不同方式發生並演變。

Fair enough. I know you don't guide a few quarters ahead, but would you expect October to be up seasonally? I know January is typically down. But is there any reason to think that October should be up overall?

了解。我知道你們不會對未來幾季提供指引，但你們是否預期10月會因季節性而上升？我知道1月通常會下滑。但是否有任何理由認為10月整體應該會上升？

I think we can help you with the shape, but as Fermi said, not the absolute numbers. And I think it's reasonable to think that would be a positive sequential number. And it's probably reasonable to expect Q4 to be down sequentially. That's what we can answer at this stage to shape, but not much more precision than that.

我想我們可以協助你理解走勢形狀，但如Fermi所說，不是絕對數字。我認為合理的看法是，那會是一個正向的逐季數字。而且也可能合理地預期第四季會逐季下滑。在這個階段，我們能回答的是走勢形狀，但無法提供比這更精確的內容。

Tore Svanberg, Stifel.

Tore Svanberg，Stifel。

Congratulations on the results. Fermi, you talked about edge infrastructure, and I'm sure this is something that you're going to continue to elaborate on. But could you just explain a little bit what you mean by that? Obviously, we're not talking about big AI clusters here. So yeah, if you could just add some color on what exactly you mean by introducing new products for edge infrastructure.

恭喜你們的成果。Fermi，你談到邊緣基礎設施，我相信這是你們會持續進一步闡述的主題。但你能否稍微解釋一下你所指的是什麼？顯然我們不是在談大型AI叢集。所以，是的，如果你能再補充一些細節，說明你所說為邊緣基礎設施導入新產品究竟是指什麼。

Right. So I think if you look at how the device is being distributed on the top is really data center and cloud. On the bottom is really the edge endpoints, which is where we are having -- serving our customer. But now become -- it's become clear with so many different advanced AI models happening and you just cannot upgrade the end points faster enough, right, of course, that our customers continue to want to replace the endpoints with new products or new cameras that can run efficient advanced AI models.

對。所以我認為，如果你看這個裝置的分佈方式，上面主要是資料中心與雲端。下面主要是邊緣端點，也就是我們在那裡—為客戶提供服務的地方。但現在—隨著許多不同的先進 AI 模型出現，情況已經很明顯：你不可能足夠快地升級端點，對吧；當然，我們的客戶仍然希望用能夠高效率運行先進 AI 模型的新產品或新攝影機來替換端點。

But to upgrade the existing installed base, you can imagine that there is a -- you want to integrate multiple endpoints that already in the installed base and using a server or a AI box that can integrate all of those endpoints, video input and run this model on that box right? So that would be the easiest way to upgrade the installed base. And I think that's become a trend, it becomes obvious.

但要升級既有的已安裝基礎，你可以想像會有一個—你會想把已經在已安裝基礎中的多個端點整合起來，並使用一台伺服器或一個 AI 盒子，把所有這些端點的影像輸入整合起來，然後在那個盒子上跑這個模型，對吧？所以那會是升級已安裝基礎最簡單的方法。而我認為那已經成為一個趨勢，也變得很明顯。

And among other things, this is just one early trend that we are seeing, and we believe that has momentum on that. And in the future, there will be many other on-prem servers, edge servers that can use our solution to.

而在其他事情之中，這只是我們看到的一個早期趨勢，我們相信它正在形成動能。而未來，還會有許多其他的地端伺服器、邊緣伺服器也能使用我們的解決方案。

Yeah. That's great color. And as my follow-up, I know your segment revenue is in IoT versus auto, but it sounds like non-camera IoT is really starting to proliferate here with IoT, industrial, enterprise wearables and so on and so forth. Is that business sort of approaching 10% of revenue? And will you potentially eventually split that out so that you don't just sort of have investors focus on the security camera part of the revenue?

是的。這些說明很有幫助。作為追問，我知道你們的分部營收是在 IoT 相對於汽車，但聽起來非攝影機的 IoT 現在真的開始在這裡擴散，包括 IoT、工業、企業穿戴式裝置等等。那塊業務是否大概接近營收的 10%？以及你們是否可能最終把它拆分出來，讓投資人不至於只把焦點放在安防攝影機那部分的營收？

A couple of things there, Tore, it's Louis. Most of our revenue today, the data is getting ingested by our AI accelerator through the lens of a camera, so that hasn't changed. Although we have said it's likely that, that becomes an incremental opportunity for us in the future, especially as we go into the edge infrastructure.

這裡有幾點，Tore，我是 Louis。我們目前大部分營收，資料都是透過攝影機鏡頭被輸入到我們的 AI 加速器中，所以這點沒有改變。雖然我們也說過，未來這很可能會成為我們的增量機會，特別是當我們進入邊緣基礎設施時。

But Fermi made a comment in his script about security is an end market for us, and that's less than half of our revenue now. So now we're seeing very good growth. As you know, auto is around 25% of our revenue. And then in other IoT markets, we're starting to see solid growth there and adoption of AI in a wide variety of markets.

但 Fermi 在他的講稿裡提到，安防是我們的一個終端市場，而現在它占我們營收不到一半。所以我們現在看到非常好的成長。如你所知，汽車大約占我們營收的 25%。然後在其他 IoT 市場，我們也開始看到穩健成長，以及 AI 在各式各樣市場中的採用。

So everything is still ingesting data through the lens of the camera, but that probably changes in the future. And security is ground zero for us because that's where AI at the edge started. We led that market, and now we're leveraging that expertise and applying it to a lot of additional vertical applications.

所以目前一切仍然是透過攝影機鏡頭來輸入資料，但未來可能會改變。而安防對我們來說是起點，因為邊緣端的 AI 就是從那裡開始的。我們引領了那個市場，現在我們正把那份專業延伸並應用到更多垂直應用上。

Kevin Cassidy, Rosenblatt Securities.

Kevin Cassidy，Rosenblatt Securities。

I'll also congratulate you on great results. Speaking to those results, would you think with the strong product cycles that you're in, could there be a change in your seasonality maybe as the human interfaced devices become less relevant in your revenue?

我也要恭喜你們有很好的成果。談到這些成果，考量你們正處於強勁的產品週期，你是否認為你們的季節性可能會改變，因為人機介面裝置在你們營收中的相關性變得比較低？

Yeah. You are asking about our CV products versus human viewing products?

是的。你是在問我們的 CV 產品相對於人眼觀看產品嗎？

Just a question with regard to whether our seasonality might be as much of an impact.

只是想問一下，我們的季節性影響是否可能不會那麼大。

Right. So I think for this year, I think with so many uncertainty on geopolitical situation, that seasonality is definitely a question mark for us. Although we are not saying there's no regular seasonality. We just say that we provide a much higher -- a much broader range for the annual guidance to indicate there's uncertainty on the second half. But I think there is definitely a scenario that no more seasonality can happen.

對。所以我認為今年，因為地緣政治情勢有很多不確定性，季節性對我們來說確實是一個問號。雖然我們不是說沒有正常的季節性。我們只是說，我們提供了更高—更寬的全年財測區間，以反映下半年存在不確定性。但我認為確實存在一種情境，就是可能不再有季節性。

I see. And you've piqued our interest mentioning these new edge devices. These are all your transformer-based SoC?

了解。你們提到這些新的邊緣裝置，引起了我們的興趣。這些都是你們以 Transformer 為基礎的 SoC 嗎？

Transformer-based. Go ahead.

以 Transformer 為基礎。請繼續。

Yeah. I think the question was -- correct me if I'm wrong, Kevin. It was a little bit hard to hear you, on the edge infrastructure, do we expect that market to leverage our third-generation AI accelerator to a high degree. And the answer is yes.

是的。我想問題是—如果我沒聽錯的話，Kevin。剛剛有點聽不清楚你說的，在邊緣基礎設施方面，我們是否預期該市場會高度採用我們第三代 AI 加速器。答案是會。

Yes. Obviously, because right now, the first -- we already announced N1-655 this year for that particular market. But we also understand the need for the customers who are going to build another chip for the family of the product so we can deliver a full -- a complete road map for the customer.

會。很明顯，因為我們今年已經針對那個特定市場宣布了 N1-655。但我們也理解客戶的需求：他們會希望我們為這個產品家族再打造另一顆晶片，讓我們能為客戶提供完整—完整的產品藍圖。

All of chips we are talking about today, still leveraging our third-generation CVflow architecture and the software to minimize our investment, but at the same time, provide a very competitive solution to -- in the market. And more importantly, I think as you know, that third-generation architecture can really do all of the advanced AI models based on transformers.

我們今天談到的所有晶片，仍然沿用我們第三代 CVflow 架構與軟體，以把我們的投資降到最低，同時在市場上提供非常具競爭力的解決方案。更重要的是，如你所知，第三代架構確實能夠執行所有基於 Transformer 的先進 AI 模型。

Joe Moore, Morgan Stanley.

Joe Moore，Morgan Stanley。

As you talk about these kind of edge AI focus, I guess, is this a shift in focus for you guys? And I guess, how are you thinking about the sort of more the CV3 types of larger automotive ADAS opportunities? Are you moving resources maybe away from those things towards these other initiatives? Or are those initiatives still something that you're enthused about?

當你們談到這種邊緣 AI 的聚焦時，我想問，這對你們來說算是策略重心的轉移嗎？另外，你們如何看待像 CV3 這類較大型的汽車 ADAS 機會？你們是否可能把資源從那些方向移開，轉向這些其他計畫？還是說那些計畫你們仍然很有熱情？

Auto continue to be a focus. But I think with our current approach for auto is we already built a complete CV3 automotive series, as you know, that we have 685, 655, and the 635 that complete lineup for the autonomous driving software. And also, we're going to continue to invest on our software side, both for the VisLab autonomous driving software stack and auto radar software stack. So that doesn't change.

汽車仍然會是重點。但我認為我們目前對汽車的做法是：我們已經建立了完整的 CV3 車用系列，如你所知，我們有 685、655，以及 635，這是一個完整的產品線，支援自動駕駛軟體。此外，我們也會持續在軟體端投資，包括 VisLab 自動駕駛軟體堆疊以及車用雷達軟體堆疊。所以這點不會改變。

However, with the -- we finalized already CV3 family for the automotive road map. We definitely have resources that we're going to put on the edge infrastructure. And also we talk about -- we add another project, which is not in our annual plan. But we think with our revenue growth, we have a chance to build another silicon for edge infrastructure, which we are doing. So we are definitely add a little bit more tape-out fee to improve our strength in this edge infrastructure business.

不過，隨著—我們已經完成 CV3 家族的車用產品藍圖，我們確實會把資源投入到邊緣基礎設施。另外我們也提到—我們新增了另一個專案，這不在我們的年度計畫之內。但我們認為，隨著營收成長，我們有機會再打造一顆用於邊緣基礎設施的矽晶片，而我們正在做。

Okay. That's helpful. And then, I guess, I know you don't like talking about the sort of more futuristic humanoid robots and things like that. But there's obviously a lot of kind of upfront investment in kind of paving the way to those types of markets and you have technology that should be important.

好的。這很有幫助。然後，我想我知道你們不太喜歡談比較未來感的人形機器人之類的東西。但顯然，為了鋪路進入那類市場，需要很多前期投資，而你們的技術應該會很重要。

So just how do you kind of frame that? Is that an opportunity that you're willing to invest resources into?

那麼你會如何去界定這件事的框架？這是否是一個你願意投入資源的機會？

Yes. In fact, we are investing the resource. Let me maybe go a little bit deeper than before. The way we look at robotic operation today, we look at -- we view that market very similar to autonomous driving five years ago. What that means is that most of our customers, instead of trying to find the most efficient solution, they are still trying to piece different pieces of the solution together to build a prototype because the size of the market for each customer is still small.

是的。事實上，我們正在投入資源。我可能再比之前更深入一點說明。我們今天看待機器人作業的方式是——我們認為那個市場非常類似於五年前的自動駕駛。這代表多數客戶不是在尋找最有效率的解決方案，而是仍在把解決方案的不同拼圖拼在一起做出原型，因為對每個客戶而言，市場規模仍然很小。

So we start seeing people trying to -- using one box for the video perception, the other box for radar perception and using a CPU to integrate them together. So this really reminds me five years ago of the first generation of Level 2 car coming out. It's a similar architecture. And we are that -- in that stage right now, and we already have solutions like CV5, CV7 to provide video perception and the radar perception for those kind of solution.

所以我們開始看到有人嘗試——用一個盒子做視覺感知，另一個盒子做雷達感知，再用 CPU 把它們整合在一起。這真的讓我想起五年前第一代 Level 2 車款剛推出的時候。是很相似的架構。而我們現在正處於那個階段，而且我們已經有像 CV5、CV7 這樣的解決方案，可為這類方案提供視覺感知與雷達感知。

But -- however, we also believe, just like autonomous driving car, moving forward for the high-volume robotic application, you need a domain controller and you need the end-to-end AI software to drive this application. So we're going to definitely using our CV3 solution to continue to drive this application. But everything we are doing for this edge AI infrastructure, you can imagine that, that also can help the robotic solution.

但是——同時我們也相信，就像自動駕駛汽車一樣，往前走，對於高出貨量的機器人應用，你需要一個領域控制器，也需要端到端的 AI 軟體來驅動這個應用。因此我們一定會使用我們的 CV3 解決方案來持續推動這個應用。而我們在這個邊緣 AI 基礎設施上所做的一切，你可以想像，也能幫助機器人解決方案。

But more importantly that's talking about silicon and software. But really go to market, you're going to start seeing, maybe in the next quarter, we're just going to start telling -- introducing an idea how we're going to change our go-to-market because we realize that in the past, we focused on addressing large customers.

但更重要的是，剛剛談的是矽與軟體。不過真正到市場端（go to market），你們可能在下一季就會開始看到，我們會開始提出——介紹一個想法：我們要如何改變我們的市場進入策略，因為我們意識到過去我們專注於服務大型客戶。

Now with a robotic implication, the customer -- the market is very segmented. Most of the customers has small volumes. So we need to find a different approach -- go-to-market approach to address this need, and we will probably definitely start talking about that approach next quarter.

現在在機器人應用的情境下，客戶——市場非常分散。大多數客戶的量都很小。所以我們需要找到不同的方法——不同的市場進入策略來滿足這個需求，我們很可能會在下一季開始更明確地談這個策略。

Joe, it's Louis. Just to wrap some hard numbers around that. So for the co-processing, like, say, the perception that would be parts like CV5 or CV7. And then, of course, the essential brain, the domain controller Fermi was referring to would be like the N family of products.

Joe，我是 Louis。我用一些具體數字來補充一下。就協同處理而言，例如感知（perception）會是像 CV5 或 CV7 這類零件。然後當然，Fermi 提到的作為核心大腦的領域控制器，會像是 N 系列產品。

Suji Desilva, ROTH Capital.

Suji Desilva，ROTH Capital。

Fermi, John, Louis, congrats on the progress here. Maybe you can help me frame this edge AI server opportunities. Is there a way to think about the size of that relative to maybe the end devices? Some ratio or some way of thinking about the content of these servers relative to the device content? Any way to frame it so we can think about how it's going to grow in your revenue?

Fermi、John、Louis，恭喜你們在這裡的進展。也許你們可以幫我界定一下這個邊緣 AI 伺服器的機會。有沒有方法去思考它的規模相對於終端裝置大概是多少？例如某種比例，或是用什麼方式去理解這些伺服器的內容價值相對於裝置端的內容價值？有沒有什麼方式可以幫我們建立框架，好讓我們思考它將如何在你們營收中成長？

Right. So maybe let me help you to the number that I'm thinking about. If you look at the aggregate, the current camera space, that's using security camera as an example. There are roughly 1.2 billion installed base camera, which need to be upgraded, either upgrade by new cameras of this AI technology or upgrade with, let's call it edge infrastructure box.

好的。那我用我心中在想的數字來協助你。如果你看整體目前的攝影機市場——以安防攝影機為例——大約有 12 億台的既有安裝基數，需要升級：要嘛用具備這項 AI 技術的新攝影機來升級，要嘛用我們稱之為邊緣基礎設施盒（edge infrastructure box）的方式來升級。

And those kind of box usually integrate, I would say, 8, 16, 32 different cameras into a box. And the content for that box for us is three digits, and the low three digits. So that -- I hope that gives you idea of how we look at this market opportunity.

而這類盒子通常會把大概 8、16、32 台不同的攝影機整合到一個盒子裡。對我們而言，這個盒子的內容價值是三位數，而且是較低的三位數。所以——希望這能讓你理解我們如何看待這個市場機會。

And one thing I'd tack on there also is it -- having AI in the endpoint or in the edge infrastructure is not like a mutually exclusive thing. You can you can have AI in the endpoint along with the edge infrastructure servers.

另外我也補充一點：在端點（endpoint）或在邊緣基礎設施中導入 AI，並不是互斥的。你可以在端點有 AI，同時也搭配邊緣基礎設施伺服器。

No, that's great. Understood. And then my other question around the edge infrastructure market as you're going into this. How does the competitive landscape maybe shift and some perspective there versus things like FPGAs, GPU, CPUs that already target that market? Do you think about the competitive landscape differently or is it similar?

不，這很棒。了解。那我另一個問題是關於你們進入邊緣基礎設施市場時。競爭態勢會如何改變？相較於已經瞄準該市場的 FPGA、GPU、CPU 等，你們有什麼觀點？你們看待競爭態勢的方式會不同嗎，還是其實差不多？

So in that market, it's a very new market. When you're looking at the near edge and the far edge of the market. And so the SAM numbers like we're using are fairly small. So you do have some general-purpose-type processors used in these applications, whether it's FPGAs or, of course, GPUs. We approach this market with a much more efficient solution when you measure it in terms of like performance per watt and consider thermal impacts on the total system cost.

在那個市場，它是一個非常新的市場。當你看近端邊緣（near edge）與遠端邊緣（far edge）的市場時。因此我們使用的 SAM 數字相對都還很小。所以確實會有一些通用型處理器被用在這些應用中，不論是 FPGA，或當然也包括 GPU。我們以更高效率的解決方案切入這個市場——如果你用每瓦效能（performance per watt）來衡量，並考量散熱對整體系統成本的影響。

And so kind of the same advantages that we've talked about in other markets, we'll be applying to this edge market, initially, say, the near edge. And your first question, you mentioned AI servers. That's probably going to be part of it, too. But maybe initially, you'll hear about the progress in some of the near-edge markets first particularly those that use cameras.

因此，我們在其他市場談過的同樣優勢，也會應用到這個邊緣市場上，初期例如近端邊緣。而你第一個問題提到 AI 伺服器。那也很可能會是其中一部分。但也許一開始，你會先聽到我們在一些近端邊緣市場的進展，特別是那些使用攝影機的市場。

Quinn Bolton, Needham & Company.

Quinn Bolton，Needham & Company。

It's Shadi Mitwalli on for Quinn. My first question is on some of the conversations you've had in regards to your customers' supply chain. I know last quarter, you mentioned customers evaluating their own supply chains, which has caused uncertainty in the back half of this year. So just curious on how these conversations have progressed.

我是代 Quinn 提問的 Shadi Mitwalli。我第一個問題是關於你們與客戶就其供應鏈所進行的一些對話。我知道上一季你們提到客戶在評估他們自己的供應鏈，這導致今年下半年存在不確定性。所以想請教這些對話目前進展如何。

Talking to our customer about our supply situation. So we continue to have the conversation. One of the worry last time we talked about is whether our customer building up inventories. I think that we continue to have that conversation with customers All of them told us that they are not building inventory. In fact, they are watching the situation, and none of them is really eager to build any inventory at this point.

我們在和客戶討論我們的供應狀況。所以我們持續進行這些對話。上次我們談到的一個擔憂是客戶是否在建立庫存。我想我們持續和客戶討論這件事，他們都告訴我們他們沒有在建立庫存。事實上，他們在觀察情勢，而目前沒有任何一家真的急著要建立任何庫存。

So from that point of view, I think we feel comfortable with that. However, there's still always a geopolitical situation. Every day, as we know, things can change. So that we cannot speak for what we don't know in the next -- in the second half. So that's where uncertainty is.

所以從這個角度來看，我們覺得比較放心。不過，地緣政治情勢始終存在。如我們所知，每一天情況都可能改變。因此，對於我們在接下來——在下半年未知的事情，我們無法替其發言。這就是不確定性所在。

Got it. And my follow-up is on gross margin. It sounds like some of your new CV chips have been tailwinds to ASP. However, gross margin is expected to decline next quarter. So I was just curious on what is driving the decline.

了解。我接著想追問毛利率。聽起來你們一些新的 CV 晶片對 ASP 形成了順風助力。不過，下季毛利率預期會下滑。所以我想了解一下，是什麼在驅動這個下滑。

Yeah. From any quarter to quarter, it's really a combination of customers and product mix. That is the primary driver of how that corporate gross margin rolls up. And so ordering patterns of different customers and their contribution, that's really the, I guess, you could say the primary driver for any one quarter's gross margin guide.

是的。每一季對比下一季，主要都是客戶與產品組合的綜合影響。這是公司整體毛利率彙總上來的主要驅動因素。因此，不同客戶的下單模式及其貢獻度，我想可以說，這就是任何單一季度毛利率指引的主要驅動因素。

Gus Richard, Northland Capital Markets.

Gus Richard，Northland Capital Markets。

A couple of questions. The video management systems that -- the 32 cameras or 16 whenever are attached to, those are coming out with, obviously, AI capabilities and the camera has AI capabilities. And I was wondering if you could help me understand how that AI split happens and why you need it in both places.

我有幾個問題。那些影像管理系統——也就是連接 32 支攝影機或 16 支攝影機等的系統——顯然正在推出 AI 功能，而攝影機本身也具備 AI 能力。我想請你幫我理解一下，AI 的分工是如何切分的，以及為什麼兩個地方都需要 AI。

Right. So the quick answer to that is with installed base, you just cannot replace all the installed base camera fast enough with advanced AI cameras. So to enable the installed base with advanced AI models, this box -- this kind of boxes is required and probably easiest way to upgrade. So that's just the first answer.

對。簡單回答是：面對既有安裝基礎，你不可能夠快地把所有既有攝影機都換成先進的 AI 攝影機。因此，若要讓既有安裝基礎也能使用先進的 AI 模型，就需要這個盒子——這類盒子可能是最容易的升級方式。這是第一個答案。

The second answer is with a lot of different AI improvement every month or every quarter, I can imagine that in the future, you're going to continue to see more and more advanced model coming up, the camera can run a portion of it. But every time this camera comes out, it's easier to upgrade the service with a box approach. So I think the combination of those two really drive this -- the upgrade cycle.

第二個答案是：隨著每個月或每一季都有很多 AI 改進，我可以想像未來你會持續看到越來越先進的模型出現，攝影機可以跑其中一部分。但每次新攝影機推出時，用盒子這種方式來升級服務會更容易。所以我認為這兩者的結合，確實推動了這個——升級週期。

Gus, it's Louis. Just to add some comments. John kind of touched on it earlier, but you could have CV2-based cameras in the field doing detection and classification with CNN networks. And then you could provide an incremental layer of service with one of our GenAI chips that could accommodate much larger parameter models on the infrastructure side, the point of aggregation. And so maybe that's one example of how it would be architected.

Gus，我是 Louis。補充幾點。John 先前有稍微提到，你可以在現場部署以 CV2 為基礎的攝影機，用 CNN 網路做偵測與分類。然後你可以在基礎設施端、也就是匯聚點，透過我們其中一款 GenAI 晶片提供額外一層的服務，該晶片可承載參數量大得多的模型。所以這可能是一個架構設計的例子。

Got it. And then just thinking about the market, at this point, China is not part of your market. And I was just wondering if you could comment on how big the not China market is for security cameras and sort of what you see your market share is currently?

了解。再從市場角度來看，目前中國不在你們的市場之內。我想請你評論一下，安防攝影機「不含中國」的市場有多大，以及你們目前的市占率大概是多少？

When we talk about our seven, ten numbers, we don't include China number anymore in any security market. So that's where we are at. And in terms of market share, outside China, I would say we definitely have a majority of the market share for the security camera in the mid and high end. On the low-end side, there are plenty of Chinese and Taiwanese suppliers try to compete with the low end with a $2 to $3 chip, which we don't compete there.

當我們談到我們的七、十這些數字時，在任何安防市場的統計裡，我們都不再把中國的數字納入。所以我們目前就是這樣的口徑。至於市占率，在中國以外，我會說我們在中高階安防攝影機市場絕對擁有多數的市占。在低階端，有很多中國與台灣供應商用 2 到 3 美元的晶片來競爭低階市場，而我們不在那個區間競爭。

So if you look at -- if you separate the line with the mainstream high end to the low end, on the top, we are probably the majority leader. And on the bottom, we're just one of the players.

所以如果你把主流高階到低階用一條線分開來看，在上面那一端，我們大概是多數的領導者。而在下面那一端，我們只是其中一個參與者。

(Operator Instructions)

（接線員指示）

Martin Yang, Oppenheimer.

Martin Yang，Oppenheimer。

First question is on the edge AI infrastructure product, is the second chip something new, meaning that you are pulling forward the development reacting to end market demand or something you have long planned in the road map?

第一個問題是關於邊緣 AI 基礎設施產品：第二顆晶片是新的東西嗎？也就是說，你們是因應終端市場需求而把開發時程提前，還是這本來就是你們路線圖中長期規劃的一部分？

It's the first case. In fact, that after we talk to so many customers and what they need, we realized that N1-655 is great for the first product but we do need to have a second chip to keep competitive. And so I think that second chip -- however, the second ship is leveraging our current CV3, our third-generation CV4 architecture and software.

是前者。事實上，在我們和很多客戶談過、了解他們需要什麼之後，我們意識到 N1-655 作為第一個產品很棒，但我們確實需要第二顆晶片來保持競爭力。因此我認為第二顆晶片——不過第二顆晶片會沿用我們現有的 CV3、我們第三代的 CV4 架構與軟體。

So the development is going to be fast and also the cost will be -- we think can be easily controlled. But the add value is really helping customers have a better performance per watt and higher performance in the same silicon.

所以開發會很快，成本也——我們認為可以很容易控制。但增加的價值主要在於，幫助客戶在相同的矽晶片上達到更好的每瓦效能，以及更高的效能。

And then in this quarter, accounts payable trends a little higher than normal, is that associated with this new chip development?

另外，本季應付帳款的趨勢比正常水準高一些，這是否與這顆新晶片的開發有關？

Not specifically, Martin, no. I think as we started to grow the Q2 top line guide, it's really more a function of building the inventory for -- to support the demand that we're seeing. And so corresponding with that is the accounts payable associated with it.

不特別是，Martin，不是。我認為隨著我們提高第二季營收指引，這更多是為了支援我們看到的需求而建立庫存所致。因此，與之相對應的就是相關的應付帳款。

And ladies and gentlemen, this concludes the Q&A session. I will pass it back for final remarks.

各位女士、先生，問答環節到此結束。我將把會議交回去做最後的結語。

And thank you all for joining us today, and I'm looking forward to talk to you next time. Bye.

感謝各位今天加入我們，我期待下次再與各位交流。再見。

Thank you. And this concludes our program. Thank you for participating, and you may now disconnect.

謝謝。本節目到此結束。感謝各位參與，現在可以斷線。