Ciena Corp (CIEN) 2019 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the Ciena Fiscal Q4 2019 Financial Results Call. (Operator Instructions) Please be advised that today's conference is being recorded. (Operator Instructions)

女士們、先生們，感謝各位的耐心等待，歡迎參加 Ciena 2019 財年第四季財務業績電話會議。（操作人員指示）請注意，今天的會議正在錄音。（操作說明）

I'd now like to hand the conference over to -- today to Mr. Gregg Lampf, Vice President, Investor Relations. Please go ahead.

現在，我謹將會議交給──今天交給投資者關係副總裁格雷格‧蘭普夫先生。請繼續。

Thank you, Sharon. Good morning, and welcome to Ciena's 2019 fiscal fourth quarter and year-end review.

謝謝你，莎倫。早安，歡迎收看Ciena 2019財年第四季及年終回顧。

With me today is Gary Smith, President and CEO; and Jim Moylan, CFO. Scott McFeely, our Senior Vice President of Global Products and Services will join us for the Q&A portion of today's call.

今天陪我一起的有總裁兼執行長 Gary Smith 和財務長 Jim Moylan。我們的全球產品和服務資深副總裁 Scott McFeely 將參加今天電話會議的問答環節。

In addition to this call and the press release, we have posted to the Investors section of our website an accompanying investor presentation that reflects this discussion as well as certain highlighted items from the quarter and fiscal year.

除了本次電話會議和新聞稿之外，我們還在網站的投資者關係部分發布了一份配套的投資者演示文稿，其中反映了本次討論以及本季度和本財年的某些重點項目。

Our comments today speak to our view on current market dynamics and how we're addressing the opportunity in front of us, our Q4 and fiscal 2019 performance as well as a discussion of our long-term financial target and near-term outlook.

我們今天的演講將闡述我們對當前市場動態的看法，以及我們如何應對擺在我們面前的機遇，還將談到我們 2019 年第四季和財年的業績，以及我們的長期財務目標和近期展望。

Today's discussion includes certain adjusted or non-GAAP measures of Ciena's results of operations. A detailed reconciliation of these non-GAAP measures to our GAAP results is included in today's press release.

今天的討論包括Ciena公司經營績效的某些調整後指標或非GAAP指標。今天的新聞稿中包含了這些非GAAP指標與我們的GAAP績效的詳細調整表。

Before turning the call over to Gary, I'll remind everyone that during this call, we'll be making certain forward-looking statements. Such statements, including our guidance and long-term financial targets are based on current expectations, forecasts and assumptions regarding the company and its markets, which include risks and uncertainties that could cause actual results to differ materially from the statements discussed today. These statements should be viewed in the context of the risk factors detailed in our most recent 10-Q filing and our upcoming 10-K filing.

在將電話交給 Gary 之前，我要提醒大家，在本次電話會議中，我們將做出一些前瞻性陳述。此類聲明，包括我們的指導和長期財務目標，均基於公司及其市場的當前預期、預測和假設，其中包含可能導致實際結果與今天討論的聲明存在重大差異的風險和不確定性。這些聲明應結合我們最新提交的 10-Q 文件和即將提交的 10-K 文件中詳述的風險因素來理解。

Our 10-K is required to be filed with the SEC by December 30, and we expect to file by that date. Ciena assumes no obligation to update the information discussed in this conference call whether as a result of new information, future events or otherwise.

根據規定，我們的 10-K 表格必須在 12 月 30 日之前提交給美國證券交易委員會，我們預計將在該日期之前提交。Ciena不承擔因新資訊、未來事件或其他原因而更新本次電話會議中所討論資訊的義務。

With that, I'll turn it over to Gary.

接下來，我將把麥克風交給蓋瑞。

Thanks, Gregg, and good morning, everyone. Today, we reported strong fiscal fourth quarter results, rounding out an extraordinary year of top and bottom line financial performance and leading market share gains. For the full fiscal year, we again delivered industry-leading growth and profitability, including 15% revenue growth and greater than 50% growth in adjusted EPS. We delivered 13.1% adjusted operating margin for the year and took important steps during the year that will drive continued leverage and improvement. We also had a very strong year for cash generation, with more than $413 million in cash from operations, ending the fiscal year with over $1 billion in cash and investments.

謝謝格雷格，大家早安。今天，我們公佈了強勁的第四財季業績，為本財年營收和利潤均取得非凡成績以及市場份額領先增長畫上了圓滿的句號。在整個財政年度，我們再次實現了領先業界的成長和獲利能力，包括 15% 的收入成長和超過 50% 的調整後每股收益成長。我們本年度調整後營業利潤率為 13.1%，並在本年度採取了重要措施，這將推動持續的槓桿作用和改善。我們今年的現金流也非常強勁，經營活動產生的現金超過 4.13 億美元，使本財年結束時現金和投資總額超過 10 億美元。

We frankly had a phenomenal year by any measure, highlighting our clear market leadership, and most importantly, positioning us to continue delivering profitable growth going forward. We are entering 2020 with tremendous confidence and have strong visibility into our business, prevailing market dynamics and key customer relationships. We are the industry's clear innovation leader and have an enviable competitive position with our technology leadership. Our diversification and global scale have created a balanced and resilient business and one that has consistently outperformed the market and our peers, even in the face of short-term challenges in any particular geography, segment or customer. Our deep understanding of industry dynamics and customer behaviors has enabled us to provide both short-term guidance and longer-term forecasts that we have consistently met or exceeded. While there are some well-documented headwinds as we head into 2020, we have taken them fully into account and balanced them against the positive drivers of our business, giving us confidence in our view towards continued faster-than-market growth and bottom line expansion. In fact, this confidence has also positioned us to increase certain of our long-term targets, which Jim will discuss later in this call.

坦白說，無論從哪個角度來看，我們都度過了非凡的一年，這凸顯了我們明顯的市場領導地位，更重要的是，這為我們未來繼續實現盈利增長奠定了基礎。我們懷著極大的信心邁入 2020 年，對我們的業務、當前的市場動態和關鍵客戶關係有著清晰的認識。我們是業界公認的創新領導者，憑藉著技術領先優勢，我們擁有令人羨慕的競爭地位。我們的多元化和全球規模造就了平衡且富有韌性的業務，即使在特定地區、細分市場或客戶面臨短期挑戰的情況下，我們的業務也始終優於市場和同行。我們對行業動態和客戶行為的深刻理解，使我們能夠提供短期指導和長期預測，而我們一直以來都達到了甚至超過了這些預測。儘管在進入 2020 年之際，我們面臨著一些眾所周知的逆風，但我們已經充分考慮到了這些逆風，並將其與我們業務的積極驅動因素進行了權衡，這使我們有信心繼續實現比市場更快的增長和利潤擴張。事實上，這種信心也使我們能夠提高某些長期目標，吉姆稍後將在本次電話會議中討論這些目標。

Overall, the fundamental demand drivers for our business remain very compelling, and the industry dynamics are largely unchanged from the past several quarters. Specifically, we continue to see strength in customer spending in North America and EMEA. And this is particularly true with our service provider customers. Despite a relatively flat overall spending environment, we continue to build on our relationships to win new business and execute on our recent awards, giving us strong visibility to growth within this customer segment in 2020. Asia Pacific continues to present growth opportunities, and our outlook there remains positive despite some challenges in certain geographies during fiscal 2019. With respect to India, like other companies, we saw a meaningful reduction in revenue after a couple of years of very aggressive network build-outs and a fluid regulatory environment. Given our position in some key accounts there and our overall competitive position, we have a good line of sight to modest growth in the India market in 2020 compared to 2019.

整體而言，我們業務的基本需求驅動因素依然非常強勁，產業動態與過去幾季相比基本上沒有變化。具體而言，我們持續看到北美和歐洲、中東及非洲地區的客戶支出保持強勁勢頭。對於我們的服務提供者客戶而言，這種情況尤其如此。儘管整體消費環境相對平穩，但我們繼續鞏固與客戶的關係，贏得新業務，並履行最近獲得的合同，這讓我們對 2020 年該客戶群體的增長前景充滿信心。亞太地區持續展現出成長機會，儘管在 2019 財年某些地區面臨一些挑戰，但我們對該地區的未來前景依然樂觀。就印度市場而言，與其他公司一樣，在經歷了幾年非常積極的網路建設和不斷變化的監管環境之後，我們的收入出現了顯著下降。鑑於我們在一些重點客戶中的地位以及我們整體的競爭地位，我們有理由相信，與 2019 年相比，2020 年我們在印度市場將實現適度成長。

Regarding our webscale customers, we are now clearly an established incumbent in several key accounts, and we broadened those relationships considerably in 2019. This led to our greater than 50% market share in the global DCI market. This strong market position has benefited our business meaningfully. Direct sales to webscale customers grew 40% year-over-year, representing 22% of total revenue for the year. Going forward, we believe that webscale spending will continue to grow, although at a more moderate rate than recent years. However, we fully expect to maintain our DCI market share in (inaudible) and beyond. More broadly, we're seeing increased engagements and opportunities across multiple market segments as customers continue to pursue a flight to quality to strategic partners who offer leading technology and engagement models on a global basis, and those with the financial strength and stability to deliver innovations over the long term.

對於我們的網路規模客戶，我們現在顯然已成為幾個重要客戶中的既得利益者，並且在 2019 年大大擴展了這些關係。這使得我們在全球DCI市場中佔據了超過50%的市場。這一強大的市場地位為我們的業務帶來了顯著的益處。直接面向網路規模客戶的銷售額年增 40%，佔全年總收入的 22%。展望未來，我們認為網路規模的消費將持續成長，儘管成長速度會比近年來放緩。但是，我們完全有信心在（聽不清楚）及其他地區保持我們在 DCI 市場的份額。更廣泛地說，我們看到，隨著客戶不斷追求高質量，轉向在全球範圍內提供領先技術和合作模式的戰略合作夥伴，以及那些擁有雄厚財力和穩定性，能夠長期提供創新成果的合作夥伴，多個細分市場的參與度和機會都在不斷提高。

Overall, we are operating in a demand environment that reflects significant network traffic growth and automation needs. These dynamics are driving the transformation of network architectures, and this represents a great market opportunity for Ciena. And we have a unique and favorable position within high-growth areas of our markets where we've made significant strategic investments over the last several years.

整體而言，我們所處的需求環境反映了網路流量的顯著成長和自動化需求的增加。這些動態正在推動網路架構的變革，這對 Ciena 來說是一個絕佳的市場機會。我們在市場高成長領域擁有獨特且有利的地位，過去幾年我們在這些領域進行了大量策略投資。

A year ago, we explained how our innovation, diversification and scale enabled us to address these key opportunities, and we proved that ability in fiscal 2019. Nontelco revenue grew 25% year-over-year, led by our growth with webscale customers. We continue to advance our innovation leadership in optical with a very healthy business that grew nearly 17% in fiscal 2019, and we expect that business to grow even stronger.

一年前，我們闡述了我們的創新、多元化和規模如何使我們能夠抓住這些關鍵機遇，而我們在 2019 財年證明了這種能力。非電信業務營收年增 25%，主要得益於我們與網路規模客戶的合作成長。我們在光學領域的創新領導地位持續提升，業務發展非常健康，2019 財年成長近 17%，我們預期該業務將成長得更加強勁。

On the development of WaveLogic 5, our next-generation coherent optical modem, we've made great progress and are very pleased with the performance we're seeing. Customer demonstrations during the recent Vectors Technology event at our Ottawa lab were extremely well received. We remain very confident that we will be first to market with an 800-gig solution, in fact, well ahead of any other commercial offering. Customers, obviously, share in this confidence as engagements continue to ramp, including POs already in-house from several of them. As such, we are on track to have Wavelogic 5 in customers' hands in our fiscal Q1 and continue to expect revenue momentum to begin in Q2 with more material revenue in the second half of 2020.

在開發我們的下一代相干光調變解調器 WaveLogic 5 的過程中，我們取得了巨大的進展，並且對目前的性能非常滿意。最近在我們渥太華實驗室舉辦的 Vectors Technology 活動中，客戶演示受到了熱烈歡迎。我們仍然非常有信心，我們將率先推出 800G 解決方案，事實上，我們將遠遠領先於任何其他商業產品。顯然，客戶也抱持著同樣的信心，因為合作項目不斷增加，其中幾家公司已經獲得了內部採購訂單。因此，我們預計在第一財季將 Wavelogic 5 交付給客戶，並繼續預計第二財季將開始出現營收成長勢頭，並在 2020 年下半年獲得更實質的營收。

At this time last year, we also noted that we would augment our Packet Networking capabilities to expand our addressable market in IP/Ethernet as the market grows. We had a record year in our Packet Networking segment in fiscal 2019, with revenue growth of nearly 23% year-over-year, and we are aggressively attacking this space with our Adaptive IP solutions. Already deployed with 2 global Tier 1 customers, Adaptive IP is designed to be automated, lean and open for a simpler and more cost-effective means of scaling access and metro networks versus traditional complex and expensive routing options. At Vectors, we received resounding feedback that our Adaptive IP solution is just what customers need to evolve their layer 3 applications.

去年這個時候，我們也曾表示，隨著市場的成長，我們將增強我們的分組網路能力，以擴大我們在 IP/乙太網路領域的目標市場。2019 財年，我們的分組網路業務取得了創紀錄的業績，營收年增近 23%，我們正積極利用自適應 IP 解決方案進軍這一領域。Adaptive IP 已在全球 2 家一級客戶中部署，其設計理念是自動化、精簡和開放，旨在為擴展接入網和城域網路提供更簡單、更經濟高效的方式，以替代傳統的複雜且昂貴的路由選項。在 Vectors，我們收到了熱烈的回饋，表明我們的自適應 IP 解決方案正是客戶發展其第 3 層應用程式所需要的。

And finally, this year, we reinforced our commitment to building out our intelligent automation software business as service providers look to tackle service and network complexity across the globe.

最後，今年我們重申了致力於發展智慧自動化軟體業務的承諾，因為服務供應商正在尋求解決全球範圍內的服務和網路複雜性問題。

Revenue from our Blue Planet business doubled in fiscal 2019, meeting our annual target. This revenue growth included some significant customer wins, including with Vocus in Australia, where our entire Blue Planet software portfolio will play a critical role in their network transformation.

2019 財年，我們 Blue Planet 業務的營收翻了一番，達到了年度目標。此次營收成長包括贏得一些重要的客戶，例如澳洲的 Vocus 公司，我們整個 Blue Planet 軟體產品組合將在其網路轉型中發揮關鍵作用。

We also recently closed the acquisition of Centina, a leading provider of service assurance analytics and network performance management solutions. This rounds out our software capabilities to enable closed-loop automation and positions us for even greater opportunities heading in 2020.

我們最近也完成了對 Centina 的收購，Centina 是一家領先的服務保障分析和網路效能管理解決方案供應商。這完善了我們的軟體能力，實現了閉環自動化，並為迎接 2020 年更大的機會做好了準備。

As we leverage our technology leadership and investment capacity, we continue to have the most compelling portfolio today and the most credible and robust road map for those going forward. Coupled with our global scale and diversification across geographies and customer segments, these advantages are directly driving our strong market share gains and differentiated financial performance across the business.

憑藉我們的技術領先地位和投資能力，我們目前擁有最具吸引力的產品組合，並為未來的發展制定了最可靠、最穩健的路線圖。憑藉我們的全球規模以及在地域和客戶群上的多元化，這些優勢直接推動了我們市場份額的強勁增長和業務各方面差異化的財務業績。

With that, I'll turn it over to Jim.

這樣，我就把話筒交給吉姆了。

Thank you, Gary. Good morning, everyone. Q4 marked a strong end to an extraordinary fiscal 2019. Total revenue was $968 million. Q4 adjusted gross margin was 43.8%. Adjusted operating expense in the quarter was $295 million. This was higher than expected due largely to higher variable compensation tied to our strong performance in the quarter and the year as well as a one-off charge for doubtful accounts in Latin America.

謝謝你，加里。各位早安。第四季為非凡的2019財年畫下了圓滿的句點。總收入為9.68億美元。第四季調整後毛利率為43.8%。本季調整後的營運費用為 2.95 億美元。這一數字高於預期，主要是由於本季度和本年度的強勁業績帶來了更高的可變薪酬，以及拉丁美洲一次性壞帳支出。

With respect to profitability measures, in Q4, we delivered adjusted operating margin of 13.3%. Adjusted net income of $90.4 million and adjusted EPS of $0.58. In addition, in Q4, our adjusted EBITDA was $152 million and cash from operations was $240 million. As Gary mentioned, we ended the quarter with approximately $1 billion in cash and investments. Finally, we continue to execute on our share buyback plans. In the fourth quarter, we repurchased approximately 1 million shares for $38 million to close out the year with total amount repurchased of approximately $150 million as expected.

就獲利能力指標而言，第四季度我們實現了調整後的營業利潤率為 13.3%。調整後淨收入為 9,040 萬美元，調整後每股收益為 0.58 美元。此外，第四季度，我們調整後的 EBITDA 為 1.52 億美元，經營活動產生的現金為 2.4 億美元。正如 Gary 所提到的，我們本季末擁有約 10 億美元的現金和投資。最後，我們將繼續執行股票回購計畫。第四季度，我們以 3,800 萬美元的價格回購了約 100 萬股股票，使全年回購總額達到約 1.5 億美元，與預期相符。

With respect to our performance for the full fiscal year, as Gary mentioned, annual revenue increased 15% from fiscal 2018, which was significantly above our target growth rate of 6% to 8% and well above market growth. We believe that we gained approximately 3 percentage points of market share as a result of this performance in 2019. Adjusted EPS was $2.11, which greatly exceeded our target, 20-plus percent annual growth rate. And finally, free cash flow for fiscal 2019 was $351 million, which represents 75% of adjusted operating income, also well above our 60% to 70% target range.

關於我們整個財年的業績，正如 Gary 所提到的，年度收入比 2018 財年增長了 15%，這遠高於我們 6% 至 8% 的目標增長率，也遠高於市場增長率。我們相信，憑藉這項業績，我們在 2019 年獲得了約 3 個百分點的市佔率。調整後每股收益為 2.11 美元，遠遠超過了我們設定的 20% 以上的年增長率目標。最後，2019 財年的自由現金流為 3.51 億美元，佔調整後營業收入的 75%，也遠高於我們 60% 至 70% 的目標範圍。

Following this strong performance in 2019, we are again providing an updated set of 3-year financial targets, in this case, through fiscal year 2022. For the most part, these long-term targets remain about the same and reflect the continued confidence in our ability to execute. So I will only speak to a few key metrics and address those that have changed. The full set of our long-term targets will be included in the earnings presentation that will be posted on our website after this call.

繼 2019 年的強勁表現之後，我們再次提供一套更新的三年財務目標，這次的目標期限至 2022 財年。整體而言，這些長期目標基本上保持不變，反映了我們對自身執行能力的持續信心。因此，我只會談到幾個關鍵指標，並說明那些已經改變的指標。我們所有長期目標的完整方案將包含在本次電話會議結束後發佈在我們網站上的獲利報告中。

To start, and as we previewed in September, we are maintaining our target annual revenue growth rate of approximately 6% to 8% over the next 3 years. With a continued focus on driving increased profitability, we continue to target a growth rate in our adjusted earnings per share at 20% per year over the next 3 years. And I'll start with an adjusted operating margin update. Given our operating margin performance in 2019 as well as additional efficiencies to be gained within our operating model, we now have line of sight and confidence that a 15% adjusted operating margin is an achievable goal for fiscal 2020. From there, through continued revenue growth and disciplined operating expense management as well as some gross margin improvement, we are now increasing our long-term target for adjusted operating margin to 16% to 17% for fiscal 2022. Investors in Ciena know that for many years, we have set out operating margin targets for the company, reflecting our continued confidence in our future performance. As we have achieved each of these targets, we have set for ourselves a new higher target for operating margin. We have done this again this year. And this next target a 16% to 17% operating margin sets a new higher bar for performance in our space.

首先，正如我們在 9 月預告的那樣，我們將繼續保持未來 3 年約 6% 至 8% 的年收入成長率目標。我們將繼續專注於提高獲利能力，並繼續設定目標，在未來 3 年內實現調整後每股收益每年 20% 的成長率。首先，我將帶來一份調整後的營業利益率更新報告。鑑於我們在 2019 年的營業利潤率表現，以及我們營運模式中可以進一步提高的效率，我們現在有信心和把握，2020 財年 15% 的調整後營業利潤率是一個可以實現的目標。在此基礎上，透過持續的收入成長、嚴格的營運費用管理以及毛利率的提高，我們現在將 2022 財年調整後營業利潤率的長期目標提高到 16% 至 17%。Ciena 的投資者都知道，多年來，我們一直為公司設定營業利潤率目標，這反映了我們對未來業績的持續信心。由於我們已經實現了這些目標，因此我們為自己設定了更高的營業利潤率新目標。今年我們再次舉辦了這場活動。下一個目標是實現 16% 至 17% 的營業利潤率，這為我們這個領域的業績設定了一個新的更高標準。

With respect to cash generation, we are increasing our expectation, and we are now targeting annual cash flow of approximately 65% to 75% of adjusted operating income over the next 3 years.

在現金流方面，我們正在提高預期，目前的目標是在未來 3 年內實現年度現金流量佔調整後營業收入的 65% 至 75% 左右。

Final update to our long-term targets is for annual revenue growth for our Blue Planet Automation Services segment. For that segment, we are increasing our target to $120 million to $140 million in revenue for fiscal 2022.

我們對長期目標的最終更新是針對藍星球自動化服務部門的年度收入成長。對於該業務板塊，我們將 2022 財年的營收目標提高到 1.2 億至 1.4 億美元。

With these long-term targets in mind, I'll now provide a view into our expectations for fiscal year 2020, which, as Gary mentioned earlier, takes into account industry headwinds while balancing against the positive drivers of our business. You will recall that when we reported Q3 financial results in September we said that in 2020, we expect to grow revenue consistent with the consensus expectation at that time. We continue to expect that level of growth, reflecting the low end of our 6% to 8% target annual growth rate for 2020 and a return to our long-term target range after 2 years of extraordinary revenue growth.

考慮到這些長期目標，我現在將展望我們對 2020 財年的預期，正如 Gary 之前提到的，這既考慮到了行業不利因素，也考慮到了我們業務的積極驅動因素。您應該還記得，我們​​在9月份公佈第三季財務業績時曾表示，我們預計2020年的營收成長將與當時的普遍預期保持一致。我們繼續預期這一成長水平，這反映了我們 2020 年 6% 至 8% 的年度成長率目標的下限，也是在經歷了 2 年非凡的收入成長後，回歸到我們長期目標範圍。

Specifically, our revenue expectation for 2020 aligns closely with the current consensus of approximately $3.8 billion. And given that the market is expected to grow only in the low to mid-single digits, it represents continued share gains and faster-than-market growth driven by market leadership. As for fiscal 2020, we expect to deliver adjusted gross margin in a range of 42% to 44%. With respect to operating expense, we've taken significant steps over the last year to drive additional efficiencies and process improvements across the business. As a result, in 2020, we expect adjusted OpEx to be flat to slightly down from fiscal 2019 levels in the average range of $270 million to $275 million per quarter. As I mentioned previously, this drive for efficiencies gives us increased confidence that our target 15% adjusted operating margin is an achievable goal in fiscal 2020.

具體而言，我們對 2020 年的營收預期與目前約 38 億美元的普遍預期非常接近。鑑於市場預計只會以個位數低到中位數的速度成長，這代表著市場份額的持續成長以及在市場領導地位的驅動下，市場成長速度超過了市場平均水平。對於 2020 財年，我們預計調整後的毛利率將在 42% 至 44% 之間。在營運費用方面，過去一年我們採取了重大措施，以提高整個業務的效率和流程改善。因此，我們預計 2020 年調整後的營運支出將與 2019 財年水準持平或略有下降，平均每季在 2.7 億美元至 2.75 億美元之間。正如我之前提到的，這種提高效率的動力讓我們更有信心，在 2020 財年實現 15% 的調整後營業利潤率目標是一個可以實現的目標。

And finally, speaking to our fiscal first quarter 2020 performance, we expect to deliver the following: revenue in a range of $805 million to $835 million consistent with the historical revenue seasonality disclosure we shared previously; adjusted gross margin in the 42% to 44% range; and adjusted operating expense of approximately $265 million.

最後，談到我們 2020 財年第一季度的業績，我們預計將實現以下目標：收入在 8.05 億美元至 8.35 億美元之間，這與我們之前分享的歷史收入季節性披露一致；調整後的毛利率在 42% 至 44% 之間；調整後的運營支出約為 2.65 億美元。

I'll close with this. We are the established market leader in our space. We continue to deliver consistent, differentiated financial performance, and we intend to press down aggressively on our competitive advantages, including our leadership and technology. The diversification in our business across geographies, customer segments and applications and our ability to leverage our global scale remain critical to our ability to meet and outperform our target expectations. These foundational strengths form the basis of a balanced and resilient business, underpinned by a proven ability to navigate short-term challenges and drive broad-based growth across geographies and verticals. We feel great about 2020, and we entered the new year with strong visibility and great confidence in our ability to continue taking market share and increasing profitability.

最後我想補充一點。我們是所在領域的市場領導者。我們將繼續保持穩定、差異化的財務業績，並打算大力鞏固我們的競爭優勢，包括我們的領導地位和技術。我們在地域、客戶群和應用領域的業務多元化，以及我們利用全球規模的能力，對於我們實現並超越預期目標仍然至關重要。這些基礎優勢構成了平衡且具有韌性的業務的基礎，並擁有應對短期挑戰和推動跨地域和跨垂直領域廣泛增長的成熟能力。我們對 2020 年充滿信心，在新的一年裡，我們擁有很強的市場前景和十足的信心，相信我們能夠繼續擴大市場份額並提高盈利能力。

Sharon, we'll now take questions from the sell-side analysts.

莎倫，現在我們來回答賣方分析師的問題。

(Operator Instructions) Your first question comes from Jeffrey Kvaal with Nomura.

（操作說明）您的第一個問題來自野村證券的 Jeffrey Kvaal。

I'm wondering if we could start by discussing some of the variables underneath your 6% outlook for 2020. I asked because there are -- it was a little bit lumpy in terms of where the revenue sources came from, particularly in this last quarter, webscale down, Packet Networking up. So if you could help us kind of understand a little bit about either what happened in the quarter and what that means for the 2020 view, we'd appreciate it.

我想我們能否先討論一下您預測 2020 年經濟成長 6% 背後的幾個變數。我之所以這麼問，是因為——就收入來源而言，情況有點不穩定，尤其是在上個季度，WebScale 下降，數據包網路上升。所以，如果您能幫助我們了解本季發生了什麼以及這對 2020 年的展望意味著什麼，我們將不勝感激。

Sure, Jeff. First of all, we are very diversified, and we have a project-based business. So there are always going to be movements among various customer groups and you saw that in Q4. As we look to the future in 2020, we expect really a broad-based growth across geographies and verticals. We expect a bit of (inaudible) with service providers, particularly in North America. I'd just highlight the point that broad-based growth is what we expect across a lot of different geographies and verticals.

當然可以，傑夫。首先，我們的業務非常多元化，而且我們是一家以專案為基礎的企業。因此，各個客戶群之間總是會有變動，而您在第四季也看到了這一點。展望 2020 年的未來，我們預期各個地區和各個垂直領域都將實現全面成長。我們預期服務提供者會有一些（聽不清楚）的情況，尤其是在北美。我只想強調一點，我們期望在許多不同的地區和垂直領域中都能實現全面成長。

Okay. And then -- sorry.

好的。然後——抱歉。

Go ahead, sorry.

請繼續，抱歉。

Okay. Just to, I guess, follow up on that. The trajectory of the revenues in Asia Pacific has suffered from India. It sounds like that's going to be somewhat better in 2020. What's the confidence level in that? And to what extent can some of the other regions in Asia Pacific help there? You've talked about success in Japan in prior quarters.

好的。我只是想跟進一下這件事。亞太地區的營收走勢受到了印度市場的影響。聽起來2020年情況會有所改善。對此的置信度如何？亞太地區其他一些地區能在多大程度上提供幫助？您之前幾季已經談到了在日本的成功。

Yes, Jeff, we -- this is Gary. We expect to have growth in Asia Pacific. I think India, specifically, obviously, was a challenging year last year, and we expect the dynamics to continue to be challenging in India, frankly, for the next probably couple of years. But given the relatively low number bar of 2019 and given the engagements and orders that we're seeing from certain of the stronger customers there, I would say we expect modest growth in India. We feel more bullish around Australia and some of the wins that we've had there and some of the momentum that we've got there. Subsea, also I would highlight in Asia Pacific, is going to be a very good year in 2020, and we've got good visibility to that. Also I think Japan is going to have a good year. I would sort of reinforce, I guess, what Jim said around broad-based demand. I think we've been very realistic and understand very well the challenging markets and places like India, et cetera, and I think that's all built into our guidance for the year. I think we've been very, very realistic on that.

是的，傑夫，我們——我是加里。我們預計亞太地區將實現成長。我認為，去年印度的情況尤其具有挑戰性，坦白說，我們預計未來幾年印度的情況仍將充滿挑戰。但考慮到 2019 年相對較低的數字水平，以及我們從一些較強的客戶看到的合作和訂單，我認為我們預計印度市場將出現溫和成長。我們對澳洲市場更加看好，因為我們在那裡取得了一些勝利，並且保持著一定的勢頭。另外，我想重點指出的是，亞太地區的海底工程在 2020 年將會是非常好的一年，我們對此有很好的預期。我也覺得日本今年會是個好年。我想稍微重申一下吉姆關於廣泛需求的觀點。我認為我們一直非常務實，並且非常了解充滿挑戰的市場和像印度等地，我認為這些都已納入我們今年的業績預期中。我認為我們在這方面一直非常非常務實。

Next question comes from Simon Leopold with Raymond James.

下一個問題來自雷蒙德·詹姆斯的西蒙·利奧波德。

Great. I wanted to double click on the hyperscale/webscale market vertical in particular, and maybe just a couple of things I'd like you to address. Part one is what's implied within your forecast of revenue growth for fiscal '20 of, kind of, 6%, what are your assumption and I'd appreciate if you could maybe explain how you see the drivers for this webscale market? Because I think many folks have associated your prospects with the prospects for switching our servers? And maybe help us understand the relationship, correlation or lack of correlation. Appreciate that.

偉大的。我想專注於超大規模/Web規模市場垂直領域，也許有幾點我想請您談談。第一部分是關於您對 2020 財年營收成長預測（約 6%）的意義，您的假設是什麼？如果您能解釋一下您如何看待這個網路規模市場的驅動因素，我將不勝感激？因為我認為很多人都把你們的前景與我們更換伺服器的前景聯繫起來了？或許也能幫助我們理解它們之間的關係、相關性或缺乏相關性。謝謝。

Yes. I'll start and then Scott or Gary can answer the second part of the question, Simon. First, I'd say that we've had 2 phenomenal years in the webscale space. As they have grown themselves, they've grown their CapEx at really extraordinary rates. We've gained share. We think that we're well over 50% in that sector right now. As we look into 2020, it is our view that their CapEx is going to moderate. We think that it's going to grow, but probably in the 7% to 10% range or something. That's what we get from our checks. In that environment, we expect to maintain our market share. I think it's going to be hard-to-grow market share, given that we have such a high market share, but we expect to maintain our market share as we move into next year.

是的。我先來，然後斯科特或加里可以回答問題的第二部分，西蒙。首先，我想說，我們在網路規模領域已經取得了巨大的成功，過去兩年堪稱輝煌。隨著自身發展壯大，他們的資本支出也以驚人的速度成長。我們獲得了市場佔有率。我們認為目前我們在該領域的佔比已經超過 50%。展望2020年，我們認為他們的資本支出將會放緩。我們認為它會成長，但可能在 7% 到 10% 左右。這就是我們從薪水裡拿到的。在這種環境下，我們預計能夠維持市場佔有率。我認為，鑑於我們目前的市場份額已經很高，進一步擴大市場份額將會很困難，但我們預計明年將保持目前的市場份額。

Simon, it's Scott. In terms of the dynamics, I think you see demand coming at us from really 2 different dimensions. One is geographical expansion or the data center footprint. And then bandwidth coming at us from just application growth. And if you look at just sort of ports shipped, you can see that growth absolutely in our numbers and we continue to see that looking forward in the future. What's different than -- with us maybe than some of the other competitors that you're seeing in the marketplace is just the breadth of the logos that we deal with. We don't have the same customer concentration as some of the other folks that you may be looking at here.

西蒙，我是史考特。從動態角度來看，我認為我們面臨的需求實際上來自兩個不同的層面。一是地理擴張或資料中心規模。此外，應用程式的成長也會為我們帶來頻寬方面的挑戰。如果你只看出貨港口，你就能明顯看出我們的數字正在成長，而且展望未來，我們預期這種成長勢頭還會持續下去。我們與其他一些競爭對手的不同之處在於——或許我們與市場上其他一些競爭對手的不同之處在於，我們處理的標誌範圍更廣。我們的客戶集中度不如您可能正在關注的其他一些公司。

Great. And if I might, just a quick clarification, please. The one 10% customer, looks like you're pointing to a North American telco. Just want to verify I got that right?

偉大的。如果可以的話，請容許我快速澄清一下。那10%的客戶，看起來你指的是一家北美電信公司。我只是想確認一下我理解得對不對？

Yes, that's absolutely correct.

是的，完全正確。

Next question comes from Paul Silverstein with Cowen.

下一個問題來自考恩公司的保羅·西爾弗斯坦。

On the competitive front, Gary and Jim, there's been a lot of talk about Infinera stabilizing and improving and a lot of concerns about 600 gig taking away share. So 2 questions here, a broad and a narrow question. On the narrow question, there has been talk in the investment community about you all having to respin. I trust from your comments on Wavelogic 5 on the timing that, that is not the case. It sounds like you're confident that, that will ship in the near term. You've already got customer orders in hand. The broader question, what are you seeing in the competitive environment from Infinera, in particular, more generally from your key competitors?

在競爭方面，Gary 和 Jim，人們一直在談論 Infinera 的穩定和改進，同時也有很多關於 600 Gig 搶佔市場份額的擔憂。所以這裡有兩個問題，一個廣泛的問題和一個具體的問題。關於這個具體問題，投資界一直在討論你們都必須重新包裝自己。從您對 Wavelogic 5 時序問題的評論來看，我相信情況並非如此。聽起來你很有信心，產品很快就能出貨。你已經拿到客戶訂單了。更廣泛的問題是，您從 Infinera 的競爭環境中看到了什麼，特別是從您的主要競爭對手那裡看到了什麼？

Paul, it's Scott. Just on the generic WaveLogic 5 question, I'd say this, and Gary talked about it in his remarks, but just to reiterate, we're thrilled with the execution both from a program execution perspective and a performance perspective. And since we talked to this group last in September, we've had our technology forum, which we call Vectors where we had several hundred customers come to the labs and witness that execution and witness the performance and they walked away exceptionally confident, which is more important than my confidence, by the way, as witnessed by the fact that many of them have placed orders on us for that, and we do expect to have that capability in their hands, as we said, starting before the end of our fiscal Q1, which is not that far away and revenue in Q2. So we're thrilled and feel great about the competitive position on that one.

保羅，我是史考特。關於 WaveLogic 5 的一般性問題，我想說的是，Gary 在他的發言中也談到了這一點，但為了重申一下，我們對它的執行效果非常滿意，無論是從程序執行的角度還是從性能的角度來看都是如此。自從我們上次在九月與這個群體交流以來，我們舉辦了技術論壇，我們稱之為「向量」（Vectors）。在論壇上，數百位客戶來到實驗室，親眼見證了技術的執行和性能，他們離開時信心十足，這比我個人的信心更重要。順便說一句，許多客戶已經向我們下了訂單，這證明了這一點。正如我們所說，我們預計將在第一財季結束前（時間不遠了）將這項技術交付給他們，並在第二財季實現營收。因此我們感到非常興奮，並對我們在這一領域的競爭地位充滿信心。

In terms of the overall dynamics, the broader question, Paul, this is Gary. We think that the competitive advantages that we're going to deliver in WaveLogic 5 and 800, frankly, causes most of the engagements that we've had with them to skip over any 600-gig requirements, quite frankly. And we're seeing that in webscale, we're seeing in service providers. This is just not enough benefit in terms of the speed and reach of 600 gig, which, frankly, some of the stuff that's coming out is really only competitive with WaveLogic Ai, which has been in the market for 2 to 3 years now.

就整體動態而言，更廣泛的問題是，保羅，這是加里。坦白說，我們認為 WaveLogic 5 和 800 所展現的競爭優勢，使得我們與他們的大部分合作都不需要滿足 600G 的要求。我們在網路規模化領域，在服務提供者領域，都看到了這一點。就速度和覆蓋範圍而言，600G 的優勢還遠遠不夠。坦白說，現在市面上的一些產品真正能與之匹敵的只有 WaveLogic Ai，而 WaveLogic Ai 已經上市 2 到 3 年了。

Okay. And Gary, if I could just one -- Gregg, can I do one quick follow-up?

好的。蓋瑞，如果我可以問一個問題──格雷格，我可以再快速問一個後續問題嗎？

Sure. Go ahead.

當然。前進。

I think it's clear from your comments but I'll ask the question. Are there any one-offs for better or worse as we look at fiscal '20?

從你的評論中我想已經很清楚了，但我還是要問一下。展望 2020 財年，是否存在一些特殊情況，無論是好是壞？

You're talking revenue or what are we talking about?

你們是在談收入嗎？還是在談什麼？

Yes, from -- I'm sorry, Jim, from a revenue standpoint. I mean certainly, the theme has been ongoing diversification across regions, product, markets, customers, et cetera. But are there any particular -- from a meaningful impact on revenue for better or worse, are there any particular from many of those vectors as we look out over the year?

是的，從——抱歉，吉姆，是從收入的角度來看。我的意思是，當然，主題一直是跨地區、產品、市場、客戶等方面的持續多元化。但是，從對收入產生實質影響（無論是好是壞）的角度來看，這些因素中是否有任何特別之處？展望未來一年，這些因素中是否有任何特別之處？

Well, I would describe it like this, Paul. I think what we've seen over the last 2 to 3 years, as you know, certain customers pause or they have some challenges, certain markets pause. We saw India go very strong for a couple of years and then pause last year.

嗯，我會這樣描述，保羅。我認為，如你所知，過去兩三年我們看到的情況是，某些客戶暫停了業務或遇到了一些挑戰，某些市場也暫停了業務。我們看到印度經濟在前幾年發展勢頭強勁，但去年有所停滯。

And the point that I would make is that we've got such breadth and scale now that we can withstand and navigate our way through those challenges.

我想指出的是，我們現在擁有如此廣闊的視野和規模，足以抵禦和應對這些挑戰。

We had some real challenges in 2019 around some of those markets, which I think are well understood. I think what was particularly strong in 2019 was webscale. We expect, as Jim said, for that to continue to grow but at a more moderate rate. I think what we're seeing in 2020 is just more moderate growth across a very broad customer and market segments. I'd characterize it as that. But if you look at '19, I think what was particularly strong was webscale and some of the North American service providers. I absolutely think that service providers will be strong in 2020 across the wins that we've had.

2019 年，我們在一些市場遇到了真正的挑戰，我認為這些挑戰大家都很清楚。我認為 2019 年表現特別強勁的是網路規模。正如吉姆所說，我們預計這種情況會繼續增長，但速度會更加溫和。我認為我們在 2020 年看到的只是在非常廣泛的客戶和市場領域內更溫和的成長。我會這樣形容它。但如果你看看 2019 年，我認為表現特別強勁的是 webscale 和一些北美服務提供者。我完全相信，憑藉我們所取得的成就，服務提供者在 2020 年將保持強勁勢頭。

Next question comes from Rod Hall with Goldman Sachs.

下一個問題來自高盛的羅德·霍爾。

I wanted to drill into this Packet number. The revenues there are a lot stronger. And I know, Gary, you talked about Adaptive IP wins. I wonder could you just talk a little bit more about the pipeline there. And what sort of things you're seeing out in the market? Are you seeing people that I think you alluded to switching off of routing platforms onto this? Just any more color on what the trajectory of that is likely to look like since that was way ahead of what we were expecting. And then does that possibly drive Networking Platforms growth higher for you in 2020? So that's -- I know it's long-winded. That's my first question, and then I have one follow-up.

我想深入研究這個資料包編號。那裡的收入要強勁得多。我知道，Gary，你談到了自適應 IP 的成功。我想請您再詳細談談那裡的輸油管。那麼，你在市場上看到了哪些類型的產品呢？你是不是看到有人（我想你之前暗示過）從其他路由平台轉到了這個平台？只是想更詳細地描述這件事的發展軌跡，因為這遠遠超出了我們的預期。那麼，這是否有可能在 2020 年推動您的網路平台業務實現更高成長？好了，我知道這很囉嗦。這是我的第一個問題，然後我還有一個後續問題。

Yes. I think, Paul, it's Scott. In terms of looking in the rearview mirror and what drove the growth on Packet. It really is a -- I look at sort of the applications when people are looking at modernizing their access and aggregation networks to deal with a number of different application sets. Particularly in Q4, we benefited from a number of projects that were looking at migrating from their legacy TDM services onto a packet infrastructure. And when they did that, they actually wanted to go with a more modern, which we call an Adaptive IP approach to it, and we've definitely benefited from that. Looking forward, we continue to see that as an application driver. But I also think as people start to look at 5G from a stand-alone perspective and start to make architectural decisions around that, there's an opportunity there for that same product portfolio set.

是的。保羅，我想應該是史考特。回顧過去，看看是什麼推動了 Packet 的成長。這確實是一個——我關注的是當人們考慮對其接入和聚合網絡進行現代化改造以應對各種不同的應用場景時，他們所面臨的各種應用。尤其是在第四季度，我們受益於許多項目，這些項目正在考慮將其傳統的 TDM 服務遷移到分組基礎設施。而當他們這樣做的時候，他們實際上想要採用一種更現代的方法，我們稱之為自適應 IP 方法，我們肯定從中受益匪淺。展望未來，我們仍將其視為一種應用驅動因素。但我認為，隨著人們開始從獨立的角度來看待 5G，並開始圍繞它做出架構決策，同樣的產品組合也迎來了機會。

So we do expect looking forward for that Packet portfolio to grow faster than our aggregate numbers. We haven't updated the targets, I don't think, explicitly in the 3-year plan, but they're very consistent with what we had in the last 3-year plan, which is higher -- it will be double digits but higher than our aggregate numbers.

因此，我們預期 Packet 產品組合的成長速度將超過我們整體的成長速度。我認為，我們在三年計劃中並沒有明確更新目標，但它們與我們上一個三年計劃中的目標非常一致，而且更高——雖然會是兩位數的增長，但會高於我們的總體數字。

Could you -- Scott, could you just expand on that 5G comment, and say a word or 2 about what's happening there with regards to visibility and revenue trajectory right now?

Scott，您能否詳細解釋一下關於 5G 的評論，並簡要說明一下目前 5G 在可見性和收入軌跡方面的情況？

Yes. I think what's going on right now is, in general, those of us that are in the packet over fiber infrastructure business are benefiting from a number of different drivers that is bringing more bandwidth on to the network. And those drivers have been consistent and I think they're going to be consistent going forward.

是的。我認為目前的情況是，總的來說，我們這些從事光纖分組傳輸基礎設施業務的人正受益於許多不同的驅動因素，這些因素正在為網路帶來更多的頻寬。這些車手一直表現穩定，我認為他們未來也會保持穩定。

Specific to wireless access networks in 5G, I think, what's going on right now is a lot of augmentation, non-standalone deployments, which is bringing, yes, more bandwidth on to the network, but not necessarily them looking at their new architectures and making new vendor decisions because of that.

就 5G 無線接取網路而言，我認為，目前的情況是大量的增強型、非獨立組網部署，這確實為網路帶來了更多頻寬，但這並不意味著他們會因此而考慮新的架構並做出新的供應商選擇。

I think going forward in the future, as they start to look at stand-alone deployments, those architecture conversations come up and there's opportunities for new competitive displacements for vendors like ourselves. But I think that's really going to be a 2021-type time frame.

我認為展望未來，隨著他們開始考慮獨立部署，這些架構方面的討論就會出現，這將為像我們這樣的供應商帶來新的競爭機會。但我認為這真的要等到 2021 年左右才會發生。

And then I was just -- my follow-up was just on India. Gary said moderate growth. Could you guys put us in a ballpark on that? Like are you talking -- what do you mean there, mid-single digits? Or any kind of quantification you can give us there?

然後我的後續報道就只關注印度了。加里說，成長速度適中。你們能大概估算一下嗎？你是說──你這話是什麼意思，個位數中間那幾位？或者您能提供任何量化數據嗎？

Yes, I would say, sort of single-digit type growth in India in that kind of range off a pretty -- off the 2019 performance, yes.

是的，我認為，印度經濟成長率在2019年的表現基礎上，達到了個位數水準。

Next question comes from George Notter with Jefferies.

下一個問題來自傑富瑞集團的喬治諾特。

I guess, I wanted to go back to the strength in the Packet Networking business. Just to connect some dots. I think -- my hunch is what you're seeing there is a cross-connect replacement project and -- with a major Tier 1 North American customer. I guess my impression is that it's still very early days in that project. My impression also is that there's a big installed base of those platforms and many other customers as well. So I just was hoping to get any commentary you could give us on kind of the picture for new project wins there. And kind of what inning are we in terms of that kind of application and where it can grow to?

我想，我還是想重拾我在分組網路業務的優勢。只是為了把一些線索連結起來。我認為——我的直覺是，你看到的是一個交叉連結替換項目，而且——是與一家北美一級主要客戶合作的項目。我的印像是，這個專案還處於非常早期的階段。我的印像是，這些平台擁有龐大的用戶群，而且還有很多其他客戶。所以，我只是想聽聽您對新專案中標情況的一些看法。那麼，就這類應用而言，我們目前處於什麼階段？它又能發展到什麼程度？

George, I guess 2 things. It's Scott. So first of all, that application was one of the drivers for the Packet growth. It's broader than that. So I wouldn't just fixate on that. But that was certainly one of the drivers. On that application itself, I do resonate with how you phrased it. I think it's certainly innings, I think, both in terms of the customers that were in but also the number of our customer logos out there that have this challenge in front of them.

喬治，我想說兩件事。是斯科特。首先，該應用是 Packet 成長的驅動因素之一。它的涵蓋範圍比這更廣。所以我不會只盯著那件事看。但這無疑是其中一個驅動因素。關於那個申請本身，我非常贊同你的措詞。我認為這絕對是關鍵時刻，無論是就到場的客戶而言，還是就我們眾多面臨這項挑戰的客戶標誌的數量而言，都是如此。

Next question comes from Jim Suva with Citi.

下一個問題來自花旗銀行的吉姆·蘇瓦。

Thus far, the questions have been mostly focused on revenues, which is absolutely the correct thing to do. So maybe if I can switch it down to operating margins and operating expenses a little bit. If my math is right, it looks like you came in around 13% operating margins this quarter, and maybe I'm off on that. But it seems like OpEx, your costs are a little bit higher. Was that related to -- you made a comment about like a doubtful account adjustment? Or can you help us understand kind of why it seems like operating expenses were a little bit higher than maybe what some of us would have thought for this quarter?

到目前為止，問題主要集中在收入上，這絕對是正確的做法。所以，或許我可以把它稍微調整一下，改成營業利益率和營業費用。如果我沒算錯的話，你們這季度的營業利潤率大概在 13% 左右，不過也許我的計算有誤。但就營運支出而言，你們的成本似乎略高一些。那是不是跟你之前提到的可疑帳戶調整有關？或者，您能否幫我們理解一下，為什麼本季的營運費用似乎比我們一些人預想的要高一些？

Sure, Jim. Yes, we came in a little bit higher on OpEx than we expected, but it really is driven, in large part, in fact, mostly by the fact that our incentive comp on both our sort of sales commissions and regular corporate bonus was higher than expected. We had well over $20 million of extra expense because of our performance in the quarter and the year. So it's a good thing for you that we performed as well and a good thing for our employees, frankly. And then the other thing is we did have a $4 million -- roughly a $4 million charge for bad debts in South America. It was a number of accounts and we took those to reflect what's going on in those accounts. So overall, our OpEx for the quarter and for the year is very close to plan. If you look at our annual OpEx against our plan, just about all of it is driven by the incentive comp pluses that we had during the year and this $4 million charge for bad debts in Q4. So if you take those out, we're very close to our plan for OpEx for the year.

當然可以，吉姆。是的，我們的營運支出比預期略高，但這主要是因為我們的銷售佣金和常規公司獎金的激勵性薪酬高於預期。由於本季和本年度的業績表現，我們額外支出超過 2,000 萬美元。所以，坦白說，我們取得這樣的成績對你們來說是件好事，對我們的員工來說也是件好事。還有一件事，我們在南美洲確實有一筆約 400 萬美元的壞帳支出。我們選取了多個帳戶，並以此反映這些帳戶中發生的事情。因此，總體而言，我們本季和本年度的營運支出都非常接近計劃。如果將我們的年度營運支出與計劃進行比較，您會發現幾乎所有支出都是由我們在這一年中獲得的激勵性薪酬以及第四季度 400 萬美元的壞帳費用造成的。所以如果扣除這些費用，我們就非常接近今年的營運支出計畫了。

That makes a lot of sense. Thank you so much for the clarifications.

這很有道理。非常感謝您的澄清。

Yes. And the other thing I'd just repeat, as I said earlier, we're going to return to a lower level, $270 million to $275 million per quarter for the year 2020, which reflects flat to slightly down from the OpEx that we experienced in 2019.

是的。還有一點我想重申一下，正如我之前所說，我們將恢復到較低的水平，2020 年每季 2.7 億美元至 2.75 億美元，這反映出與 2019 年的營運支出持平或略有下降。

Your next question comes from Michael Genovese with MKM Partners.

下一個問題來自 MKM Partners 的 Michael Genovese。

So with the WaveLogic 5, I mean, it sounds like the customers have come and seen it in Ottawa and then you're going to get it to them, it sounds like, in January for field testing and first office applications. I'm just wondering how long does that stuff typically take? And can we have a strong revenue uptick in Q2? Or is it more Q3 given the timing?

所以，關於 WaveLogic 5，我的意思是，聽起來客戶們已經在渥太華看過它了，然後你們似乎會在一月份把它送到他們那裡進行現場測試和首次辦公室應用。我只是想知道這些東西通常需要多長時間？我們第二季營收能否強勁成長？或者考慮到時間安排，更像是第三季？

Yes, Mike, I think the way to think about it is we'll start to recognize revenue in Q2, but a significant material amount will be in the second half of the year.

是的，麥克，我認為應該這樣理解：我們將在第二季開始確認收入，但相當可觀的收入將在下半年實現。

Okay. And then I guess -- can we talk in the hyperscale vertical and maybe the subsea vertical as well, sort of maybe more in the hyperscale, the importance of that technology? I mean I'm just getting a sense that the 400G cycle is coming to an end, and that we really need to get this product out to have the growth that we expect in the vertical this year. Is that accurate to you? Or is there more life in 400G than I'm talking about here?

好的。然後我想──我們能否在超大規模垂直領域，或許也可以在海底垂直領域，尤其是在超大規模領域，談談這項技術的重要性？我的意思是，我感覺 400G 週期即將結束，我們真的需要盡快推出這款產品，才能在今年實現我們預期的垂直產業成長。你覺得這個說法準確嗎？或者說，400G 的潛力遠不止我在這裡提到的這些？

So the way I would say it is that folks that are fiber constrained and have high bandwidth growth demands will always go to the highest performance optics. And that will be WaveLogic 5 in the very, very near future. So those folks will move to that new technology fairly quickly. When you say the 400G cycle, though, I want to point out, the 400-gig cycle as a capability is just starting. Being able to ship -- be able to carry 400-gig anywhere on the globe without having to regenerate it, is a key value proposition of WaveLogic 5, even though we talked about it being 800 gig. And that's important because the client rates coming off of things like switches and routers are still 100 gig today. They're going to go to 400 gig. So that's still in front of us.

所以我的意思是，那些光纖資源有限但頻寬成長需求高的用戶，總是會選擇效能最高的光纖產品。而WaveLogic 5將在不久的將來問世。所以這些人會很快過渡到這項新技術。不過，當你提到 400G 週期時，我想指出的是，400G 週期作為一種能力才剛起步。WaveLogic 5 的一個關鍵價值主張是能夠將 400 GB 的資料運送到全球任何地方而無需重新生成，儘管我們之前討論的是它的 800 GB。這一點很重要，因為如今交換器和路由器等設備的客戶速率仍然是 100 Gbps。他們要去400G。所以，這個問題仍然擺在我們面前。

Okay. Yes, I agree that particularly in the telco market, the 400G cycle is in front of us and I was asking about hyperscale and I appreciate the answers.

好的。是的，我同意，尤其是在電信市場，400G時代即將到來，我問的是超大規模資料中心，感謝你們的回答。

Next question comes from Samik Chatterjee with JPMorgan.

下一個問題來自摩根大通的薩米克·查特吉。

Gary, if I can just ask a bit about the longer-term targets, kind of, more the confidence level in reiterating the 6% to 8% revenue guide, particularly as you're guiding to 6% revenue growth in the next fiscal year and then 6% to 8% over the 3-year time horizon. And you've spoken about some of the headwinds here. What's giving you the confidence that some of the headwinds don't accelerate? Or do you -- should we see it as a -- necessarily a confidence and the market share wins that continue to drive you in that range?

Gary，我可以問一下關於長期目標的問題嗎？特別是你對重申 6% 到 8% 的收入指導目標的信心程度，尤其是在你預計下一財年收入增長 6%，然後在未來 3 年內增長 6% 到 8% 的情況下。您也談到了這裡面臨的一些不利因素。是什麼讓你確信某些逆風不會加劇？或者，您是否——我們應該將其視為——必然是一種信心，以及市場份額的勝利，從而繼續推動您維持在該範圍內？

I think if you look at the overall market dynamics and fundamentals, I think they're very, very solid. If you look at the wins that we've had -- we've got and the customer plans that we have and we're intimate with across the globe, I think it's -- we've got a very high degree of confidence and visibility into that.

我認為，從整體市場動態和基本面來看，它們非常非常穩固。如果你看看我們所取得的成功——我們已經擁有的，以及我們與全球客戶密切合作的計劃，我認為——我們對此有非常高的信心和清晰的認識。

I would also say the balance of it, when we look at those things, we're not counting on miracles in any of these markets or customers. We take a very balanced and realistic view to it. And quite frankly, over the last few years, we've been very accurate on that, we've either met it or exceeded it. So I think we have very good confidence in it. I think we've got a very good understanding of the dynamics, where there are some challenges and we have good visibility into that.

我還要補充一點，當我們審視這些因素時，我們不會指望在任何市場或客戶中出現奇蹟。我們對此持非常平衡和務實的態度。坦白說，在過去的幾年裡，我們在這方面做得非常出色，要么達到了目標，要么超過了目標。所以我認為我們對此非常有信心。我認為我們對其中的動態有了非常深入的了解，也清楚地認識到其中存在的一些挑戰。

We have great customer and intimate relationships, which give us privy to their plans both in the -- in this year and beyond. And I think folks tend to, and I think quite rightly, focus on some of the headwinds, which are sort of well documented. There's also on the broad demand a lot of tailwinds. And I would say, actually for us, particularly, very specific to Ciena, it's the service providers and Tier 1 wins that we've had both in North America and in EMEA and in Japan and Australia as we look to 2020. I don't think other folks are enjoying that, and I understand it at a macro level, overall CapEx spending in the service provider space is flat to down, but it's -- that's not the deterministic issue for us. It's what are they spending it on. And we've got the leading innovation and relationships with them, and that's why we've got confidence in the service providers going forward.

我們與客戶建立了良好的密切關係，這使我們能夠了解他們今年的計劃以及未來更長遠的計劃。我認為人們往往會關註一些不利因素，而且我認為這完全正確，這些不利因素也都有據可查。整體需求方面也有很多利多因素。而我想說，實際上對我們而言，特別是對 Ciena 而言，展望 2020 年，我們在北美、歐洲、中東和非洲地區、日本和澳洲都贏得了服務提供者和一級供應商的訂單。我不認為其他人會喜歡這樣，而且從宏觀層面來看，服務提供者領域的整體資本支出持平或下降，但這並不是我們面臨的決定性問題。關鍵在於他們把錢花在哪裡了。我們擁有領先的創新能力，並與他們建立了良好的合作關係，這就是為什麼我們對未來的服務提供者充滿信心。

Got it. And if I can just follow up on the balance sheet or the use of cash here? You ended the quarter with a strong cash number and a strong balance sheet. So what are the options you're considering here given that lot of the investments also for the next-generation products appear to be largely done? Are you considering like maybe accessing repurchases? Or what are the options?

知道了。我可以再跟進一下資產負債表或現金使用情況嗎？本季末，貴公司現金流狀況良好，資產負債表穩健。鑑於下一代產品的大量投資似乎已經基本完成，您正在考慮哪些方案？您是否考慮過進行回購之類的操作？或是還有哪些選擇？

Well, I think you could probably name the options. They're pretty obvious. We're going to continue to generate a lot of cash over the next several years. And we would love to make good acquisitions if they're out there and available for us. And if not, then we'll have a choice of perhaps increasing our distribution to shareholders. My own preference would be to do some smart, good acquisitions, but those have to appear for us.

嗯，我想你大概能列舉所有選項。它們很明顯。未來幾年，我們將繼續創造大量現金流。如果市場上有合適的優質收購目標，我們非常樂意進行收購。如果不行，那麼我們可以選擇增加對股東的分紅。我個人更傾向於進行一些明智的、好的收購，但這需要機會出現。

Next question comes from Meta Marshall with Morgan Stanley.

下一個問題來自摩根士丹利的梅塔·馬歇爾。

Great. First question just on kind of the revised 16% to 17%, kind of, fiscal '22 operating margin target. Should we assume that most of that comes from OpEx savings? And just give a sense of where within kind of OpEx, those savings are coming would be helpful.

偉大的。第一個問題是關於修訂後的 2022 財年營業利潤率目標，約為 16% 至 17%。我們是否可以假設其中大部分來自於營運成本的節省？如果能說明這些節省的費用來自營運支出的哪個方面，那就很有幫助了。

And then maybe a second question. There's been a lot of discussion about Europe and Huawei. Kind of, whereas it looked like Huawei wouldn't be kicked out of certain accounts that is looking more likely. Just any change in commentary around European customers over the last couple of weeks would be helpful.

然後或許還會有第二個問題。關於歐洲和華為的討論很多。某種程度上是這樣，雖然之前看起來華為不會被踢出某些帳戶，但現在看來這種情況發生的可能性更大。過去幾週，任何關於歐洲客戶的評論變化都將有所幫助。

Thanks, Matt. I'll take the first part. And with respect to our higher targets, we believe that it will be a combination of increased operating leverage as we continue to grow our revenue faster than our OpEx. And also we expect a bit of margin improvement. So it's a combination of those factors.

謝謝你，馬特。我來回答第一部分。至於我們更高的目標，我們相信，隨著我們的收入成長速度繼續超過營運支出成長速度，這將透過提高營運槓桿來實現。此外，我們預計利潤率也會略有提高。所以這是多種因素共同作用的結果。

With respect to OpEx, we've done a lot of things over the last few years to get -- to ring efficiencies out of our business. And that's why we can call that our OpEx will be flat to down as we go into next year. We'll continue to look for those kind of opportunities. But generally speaking, we're just going to run our OpEx in a very disciplined way. And as I say, we will grow revenue faster than OpEx.

就營運支出而言，過去幾年我們做了很多工作來提高業務效率。因此，我們可以預測，明年我們的營運支出將保持穩定或下降。我們將繼續尋找這類機會。但總的來說，我們將以非常嚴謹的方式管理我們的營運支出。正如我所說，我們的營收成長速度將超過營運支出成長速度。

Meta, on the European context around China Inc., I'd say that it's -- really the dynamics haven't particularly changed. I think it's difficult to discern any impact on our business, certainly, to date, showing up in our financials. And it's obviously difficult to predict how all of this will play out. But I would say this and in particular regard to the European carriers. I think there's much more of a sensitivity now around overdependence on certain vendors regardless of all the other geopolitical and security considerations that are in play. And I think whenever you've got such a large market share of a particular player, I think a number of carriers are now becoming concerned about that, and we're engaged in a number of conversations that presents an opportunity for us.

Meta，就中國企業在歐洲的背景下而言，我認為——實際上，動態並沒有發生特別大的變化。我認為很難看出這對我們的業務有任何影響，至少到目前為止，我們的財務狀況還沒有反映出來。很顯然，這一切最終會如何發展，很難預測。但我尤其要說的是，關於歐洲的航空公司。我認為，現在人們對過度依賴某些供應商的問題更加敏感，而忽略了其他地緣政治和安全方面的因素。我認為，當某個特定玩家佔據如此大的市場份額時，許多運營商都會對此感到擔憂，我們正在進行一些對話，這為我們提供了一個機會。

I would stress that these are mainly infrastructure-type decisions. So they're not quick, and they're not quick to show up into the numbers. But I think we are engaged, as you would expect, with a number of major carriers, which presents opportunities for us within this dynamic of an overdependency on a certain player.

我想強調的是，這些主要都是基礎設施的決策。所以它們反應不快，也不會很快出現在統計數據中。但我認為，正如你所預料的那樣，我們與許多主要運營商都有合作，這為我們提供了在過度依賴某個特定參與者的這種動態中的機會。

Next question comes from John Marchetti with Stifel.

下一個問題來自 Stifel 公司的 John Marchetti。

Gary, I was hoping you could just spend a little bit of time on that Centina acquisition that you kind of snuck in here. Just talk a little bit how that sort of rounds out the software offering and -- combined with sort of what feels like an improved outlook for that total software business? Just curious if the tenor or tone of discussions with service provider has changed to where now you really feel like you kind of know how to attack that market and look for that to be a real contributor for growth going forward?

加里，我希望你能花點時間談談你偷偷摸摸地收購 Centina 的事。請您簡單談談這如何完善軟體產品組合，以及—再加上軟體產業整體前景似乎有所改善？我只是好奇，與服務提供者的討論氛圍或語調是否有所改變，以至於您現在真的感覺自己知道如何開拓這個市場，並期待它能真正促進未來的成長？

Yes -- No. Thank you. Thanks, John. No, I think it does round out in a number of ways. I think to sort of start the end of your question now on the overall dynamics that we're seeing. We were obviously very early entrants into this market, and we've -- to get ourself educated, and we've learned a lot over the last 3 to 5 years, particularly around the entry points into the service providers, around their pain points and how to get this next generation of automation really solutions targeted at their needs. And we've now put together, I think, a world-class portfolio within Blue Planet to address that. This last piece of it really was around the network assurance, which allows us to have what they sort of call a closed-loop understanding of what's going on in the network. And now we've got a very full portfolio around federated inventory, route optimization, analytics. And this was really the obvious and final element now which allows us to pull all those pieces together. We're seeing very good momentum now in a number of carriers around these kinds of solutions and automation and taking some of the complexity around their assets out. And we had a very good year. We doubled our revenues in Blue Planet. And I think we're going to have a strong year in 2020 as well.

是——否。謝謝。謝謝你，約翰。不，我認為它在很多方面都得到了完善。我認為現在應該開始回答你關於目前整體動態的問題了。顯然，我們是這個市場的早期進入者，我們不斷學習，在過去的 3 到 5 年裡，我們學到了很多東西，尤其是在服務提供者的切入點、他們的痛點以及如何讓下一代自動化解決方案真正滿足他們的需求方面。我認為，我們現在已經透過 Blue Planet 打造了一個世界級的產品組合來解決這個問題。最後一部分實際上是關於網路保障的，它使我們能夠對網路中正在發生的事情有一個所謂的閉環理解。現在，我們圍繞著聯合庫存、路線優化和分析，擁有非常完整的產品組合。而這正是顯而易見的最後一個要素，它使我們能夠將所有這些部分整合在一起。我們看到，現在許多業者都在積極採用這類解決方案和自動化技術，以簡化其資產管理，並且取得非常好的進展。我們度過了非常成功的一年。我們在《藍色星球》中實現了營收翻倍。我認為我們在2020年也會迎來強勁的一年。

And then maybe just as a quick follow-up to that point, Gary. Is this being used primarily with -- going in with some of the new network builds that you're doing? Is it customers that are looking to modernize some of their back-office stuff? Just curious where you're inserting yourself as you go to market with that solution.

然後，或許可以簡單地補充一點，蓋瑞。這主要是用於——與你們正在進行的一些新網路建設一起使用嗎？是那些希望對其後台辦公系統進行現代化改造的客戶嗎？我只是好奇，當你把這個解決方案推向市場時，你的市場定位是什麼。

There are some examples, John, of new networks. And obviously, that's the easy one. But the greenfield, you put the leading edge automation elements in there. We do have some of those. But largely, it is around existing carriers looking to automate elements of their network. The back office is complex. It was not designed to deliver the kind of services they are today and a lot of these back offices were designed to deliver basic phone service to your house and to offices. And so that's the issue that they're trying to deal with. And now you have an environment where you want instant, on-demand, large amounts of capacity and services and their back office is just not suited to that. And so we've identified the particular pain points that can -- high-leverage elements that can deliver a lot of savings and improved services to the carriers. And we're seeing some great use cases now around improved service delivery and understanding of their network. And that's cascading around a number of carriers around the world.

約翰，這裡有一些新網路的例子。顯然，這是最簡單的。但對於新建項目，你可以把最先進的自動化元素融入其中。我們確實有一些這樣的東西。但總的來說，這是現有營運商尋求實現網路部分功能自動化的問題。後台系統很複雜。它最初的設計目的並非提供如今這類服務，許多後台部門的設計初衷是為家庭和辦公室提供基本的電話服務。這就是他們試圖解決的問題。現在，您需要的是即時、按需的大量容量和服務，而他們的後台系統並不適合這種需求。因此，我們已經確定了可以——高槓桿因素——為營運商帶來大量節省和改進服務的具體痛點。現在我們看到了一些很棒的用例，這些用例圍繞著改善服務交付和增強對網路的了解。而且這種情況正在世界各地多家業者之間迅速蔓延。

So quick answer to your question is really it's in the existing networks and the problems that we're trying to solve there.

所以，簡單來說，你的問題其實在於現有的網路以及我們正在努力解決的問題。

Next question comes from Tim Savageaux with Northland Capital.

下一個問題來自 Northland Capital 的 Tim Savageaux。

Congrats on a strong quarter with a lot of moving parts, and that's kind of where my question is, which is, if you look at what is a very strong North American performance and some pretty severe headwinds in Asia Pac. For the quarter, I guess, I'd be interested in kind of where things may have surprised you to the plus side and maybe to the minus side relative to what you might have expected either geographically or end market customer-wise on the one hand? And then I wonder if you can comment on what you're expecting -- what you saw in the quarter on the cable vertical. And what your expectations might be heading forward?

恭喜你們在諸多變數中取得了強勁的季度業績，而這正是我的問題所在，那就是，如果考慮到北美市場的強勁表現以及亞太地區面臨的一些相當嚴峻的逆風，該如何看待這一季度呢？我想了解的是，就本季而言，在地理位置或終端市場客戶方面，哪些方面出現了令您意想不到的利好或利空情況？那麼，您能否談談您對有線電視垂直領域本季的預期——您看到了什麼？那麼，您對未來有何期待呢？

I'll start with that one, Tim. I'd say that the quarter played out generally as we expected. The -- we have a big backlog. We have very deep engagements with each of our customers. And we know what projects are ongoing, which projects are beginning, which projects are coming to the end of their lives. So we didn't really have any huge surprises.

提姆，我就先從那一個開始吧。我認為本季整體情況符合我們的預期。我們積壓了很多工作。我們與每一位客戶都保持著非常深入的聯繫。我們知道哪些項目正在進行，哪些項目正在啟動，哪些項目即將結束。所以並沒有什麼大的意外發生。

I would say that our big North American customer was -- performed better than expected. That had to do with things that were going on in their network. But overall, no real surprises in the quarter. We did see a reduction in the webscale vertical. We expected that, and we'll -- we had a great year with them, and we'll have another good year with them next year.

我認為，我們北美的大客戶表現超出了預期。那與他們網路中發生的事情有關。但總體而言，本季並沒有什麼真正的意外。我們確實看到網路規模垂直領域的業務有所下降。我們預料到了這一點，而且──我們和他們度過了非常棒的一年，明年我們也會和他們一起度過又一個美好的一年。

Tim, just on the cable elements of your question. We had a pretty strong year in Cable in 2019. But significantly, we've had a couple of very large wins in that cable space, which will play through to 2020 and now we, frankly, have all of the major North American MSOs are Ciena customers. And most of the international ones as well, particularly in Europe, where you've got the other large ones. So we pretty much now have a clean sweep across all of the major cable MSO players. And that also gives us confidence as we go through 2020.

提姆，就你問題中的電纜元件部分而言。2019年我們在有線電視領域取得了相當不錯的成績。但值得注意的是，我們在有線電視領域取得了一些非常大的勝利，這些勝利將持續到 2020 年，坦白說，現在所有主要的北美 MSO 都是 Ciena 的客戶。而且大多數國際賽事也是如此，尤其是在歐洲，還有其他一些大型賽事。所以我們現在基本上已經徹底橫掃了所有主要的有線電視MSO運營商。這也讓我們對即將到來的2020年充滿信心。

Next question comes from Troy Jensen with Piper.

下一個問題來自Piper公司的Troy Jensen。

Congrats on the great year, gentleman. My first question would be for Gary. Just curious to get your thoughts on what the bigger revenue driver will be for '20? Is it going to be 400G moving into metro? Or is it going to be 800G in DCI?

恭喜您度過了精彩的一年，先生。我的第一個問題想問加里。我很好奇，您認為2020年最大的營收驅動因素是什麼？400G 會進軍城域網路嗎？還是DCI標準會是800G？

I'll take the first part of that, and then maybe, Scott, get your views to it. I still think the main growth driver is going to be 400 gig. And we're saying that just as we're about to get 800 gig in market.

我先回答第一部分，然後史考特，也許你可以說說你的看法。我仍然認為主要的成長動力將是 400G。而我們正準備在市場上推出 800 G 的產品，現在我們就要這麼說了。

Scott, will you?

史考特，你願意嗎？

No. I totally agree. At the end of the day, the fundamental driver is continued bandwidth demand and growth, and that's going to materialize in a number of different applications. I think what you're going to see is 400 gig becoming the ubiquitous transport currency around the globe.

不。我完全同意。歸根結底，根本驅動力是持續的頻寬需求和成長，而這將在許多不同的應用中得以體現。我認為你會看到 400 Gig 成為全球通用的交通貨幣。

So that will instantiate in a couple of different technologies that will be the key driver.

因此，這將體現在幾種不同的技術中，而這些技術將成為關鍵驅動因素。

Scott, just to follow up...

史考特，我再補充一下…

And just to remind, as we said earlier, Troy -- just a reminder, Troy, we did say that we -- as far as geographies and verticals, we expect pretty broad-based growth. And maybe a little bit of outperformance from the Tier 1 providers, service providers, particularly in North America, but overall, we expect growth across a wide range of geographies and verticals.

再次提醒一下，正如我們之前所說，Troy——再次提醒一下，Troy，我們確實說過——就地理和垂直領域而言，我們預計會有相當廣泛的增長。一級供應商和服務提供者，尤其是在北美，可能會有一些超額收益，但總體而言，我們預計在廣泛的地區和垂直領域都將實現成長。

So maybe just a follow-up with Scott or Gary. Just 400G metro, can you update us on traction you've had or significant revenue ramp?

所以或許可以跟 Scott 或 Gary 做個後續溝通。只有 400G 的城域網，您能否向我們介紹您所取得的進展或收入的顯著增長？

I mean, we've been shipping 400-gig-capable products with WaveLogic Ai for quite a while. And I think last count, we're approaching 100 different customers on that WaveLogic Ai/400-gig-capable technology. It's a combination of that.

我的意思是，我們已經推出搭載 WaveLogic Ai 的 400G 容量產品很久了。根據我上次統計，我們已經有將近 100 位不同的客戶在使用 WaveLogic Ai/400G 技術。這是兩者的綜合作用。

(inaudible) 2 fundamental drivers for people who want to have optical performance. One is, I've got significant bandwidth increase and I've got fiber constraints. I'm going to want the best optical performance I can get. And that's been consistent (inaudible) been in the optical domain, and that will continue forever. And then the other one is what services and clients are you trying to carry on that line. Obviously, we're not at the point yet where 400 gig as a client driver is the dominant client piece of that. That's still in front of us.

（聽不清楚）對於想要獲得光學性能的人來說，有兩個基本驅動因素。一是頻寬大幅提升，二是光纖供應有限。我想要盡可能好的光學性能。而且這種情況在光學領域一直持續存在（聽不清楚），並且將永遠持續下去。另一個問題是，你打算在這個方向上提供哪些服務和服務哪些客戶？顯然，我們還沒有到 400 GB 作為客戶端驅動因素成為主要客戶端部分的地步。那仍然是我們面前的問題。

But we've seen, on the optical side, broad-based growth from metro, DCI, infrastructure core networks and submarine across the piece, driven fundamentally by bandwidth continues to grow.

但我們看到，在光纖方面，從城域網路、資料中心互連 (DCI)、基礎設施核心網路到海底光纜，整個網路都實現了廣泛的成長，這主要得益於頻寬的持續成長。

Next question comes from Amit Daryanani with Evercore.

下一個問題來自 Evercore 公司的 Amit Daryanani。

I have 2 as well. First one, just on the free cash flow conversion, free cash flow conversion was fairly strong in fiscal '19, I think it was 75%. Could you just help square away why do you expect that to drop to 60% to 70% as you go forward in your long-term target? Was there something one-off that helped fiscal '19 to be really good? Or just help me close the bridge over there.

我也有兩個。首先，就自由現金流轉換率而言，2019 財年的自由現金流轉換率相當強勁，我認為達到了 75%。您能否解釋一下，為什麼您預計隨著長期目標的推進，這一比例會下降到 60% 到 70%？2019財年業績如此出色，是否有一些特殊因素促成了這一結果？或幫我把那邊的橋關上。

Yes. First of all, the range is $65 million to $75 million. So I'm not sure we're going to see that drop. But we did give a range that reflects at the midpoint, a slight decline. I would say that a lot depends upon the particular area of the world where we're selling into. Some parts of the world generally have longer payment terms than others. Also the extent to which a quarter is front-end loaded or back-end loaded in terms of revenue.

是的。首先，價格區間為 6,500 萬美元至 7,500 萬美元。所以我不太確定我們是否會看到這種下降。但我們給出的價格區間反映出中間值略有下降。我認為這很大程度取決於我們銷售產品的具體地區。世界上不同地區的付款期限通常有所不同。此外，還要考慮一個季度的收入是前期集中還是後期集中。

And for this past year, we've enjoyed a very high percentage of front-end loaded quarters given the demand.

鑑於市場需求，過去一年我們享受了非常高的季度前期收益佔比。

Our expectation to go to sort of a midpoint of 70% reflects growth outside of the U.S. as well as perhaps going back to a more back-end loaded quarter. But I'd say, whether it would be a $65 million or $75 million, we're going to have great cash for the next several years.

我們預計成長率將達到 70% 左右，這反映了美國以外地區的成長，以及可能回歸到更側重於季度末的成長模式。但我認為，無論是 6,500 萬美元還是 7,500 萬美元，未來幾年我們都會有大量的現金流。

Fair enough. And if I could just follow up. When we think about either fiscal '20 or the next couple of years, where do you see the biggest share gain opportunity from a geo or end-market basis as you go forward?

很公平。如果可以的話，我想跟進一下。當我們展望 2020 財年或未來幾年時，您認為從地理或終端市場角度來看，哪裡有最大的市佔率成長機會？

And then on the webscale side, where I think you sound a little bit more tempered on share gain potential going forward. Is that just a reflection that your customers are saying, you have 50% share. That's plenty, we want diversity? Or is there some other variable there specifically?

而在網路規模方面，我覺得你對未來市佔率的成長潛力似乎更加謹慎。這是否僅僅反映了您的客戶認為您擁有 50% 的市場佔有率？這就夠了，我們想要的是多樣性嗎？或者說，這裡是否還有其他特定的變數？

Let me start with the last question first. I think there's just a reality when you get well over 50% market share, it's probably even closer to 60%, frankly. It's just tough to grow. It's the lot of big numbers and share. I don't think there's a particular -- particularly within that space, I don't think that's necessarily driven by a requirement for diversity of supply. Given the fact of our financial strength and our innovation and the rest of it, we're seeing more and more, both with large service providers and with webscale, there are absolutely -- they've got the right flight to quality and trust in a vendor. This 2-vendor, 3-vendor thing is really becoming a little bit of a thing in the past. So -- but the market share piece is just a lot of big numbers there.

讓我先回答最後一個問題。我認為，當你的市場份額超過 50% 時，就會出現一種現實情況，坦白說，它可能甚至接近 60%。成長就是這麼難。這是很多大數字和份額。我不認為存在某種特定的——尤其是在這個領域內，我不認為這必然是由對供應多樣性的需求所驅動的。鑑於我們的財務實力、創新能力以及其他方面，我們看到越來越多的大型服務供應商和網路規模企業都絕對擁有對供應商的品質和信任的正確追求。這種兩家供應商、三家供應商的模式在過去真的越來越普遍了。所以——但是市佔率這部分只是一堆龐大的數字而已。

In terms of other areas for us to take share, I think it's across the board. I really do. I think it's very broad-based. I think EMEA has some particular opportunities. I think, EMEA -- given the concentration with other certain competitors in EMEA, I think there's opportunity there. There's opportunity in Japan for us, again some of the indigenous vendors there. And I think given our strength of our scale and our technology and with WaveLogic 5 coming out, I think submarine as well, I also feel we're going to have a strong year in submarine from a share gain point of view as well.

至於我們可以爭奪市場份額的其他領域，我認為是全方位的。我真的這麼認為。我認為它的基礎非常廣泛。我認為歐洲、中東和非洲地區有一些獨特的機會。我認為，鑑於 EMEA 地區與其他一些競爭對手的集中度，那裡存在著機會。在日本，我們同樣有機會，尤其是一些當地的供應商。我認為，鑑於我們強大的規模和技術實力，以及 WaveLogic 5 的推出，我認為在潛艇領域，從市場份額增長的角度來看，我們也將迎來強勁的一年。

Next question comes from Ryan Koontz with Rosenblatt Securities.

下一個問題來自 Rosenblatt Securities 的 Ryan Koontz。

I wonder if you guys have an updated view on the threat from white box. AT&T has been very vocal about their interest in edge applications and the webscale sector's seeing some utilization. Do you see that starting to wane? Or -- and how is that affecting your product strategy going forward?

我想知道你們對白盒攻擊的威脅是否有最新的看法。AT&T 一直非常公開地表達了他們對邊緣應用和網路規模領域的興趣，並且該領域已經取得了一些應用成果。你覺得這種情況開始減弱了嗎？或者說—這會對您未來的產品策略產生怎樣的影響？

I think there are certainly some segments that have more propensity to want to control some of their own innovation, and that's been going on for a while. And we've reacted to that. We've made -- our technology base is available in various different consumption models, everything from our Packet software assets available as an independent network operating system. You mentioned one of the customers that we happen to be engaged with them on that. All of the various different open line system approaches around the world. We've been a leader there. And I think we took a leadership position in making our coherent technology available outside of our system business. So we've embraced sort of this open consumption model. Frankly, for bringing value to the marketplace from a technology leadership and innovation, how our customers want to consume it is how our customers want to consume it, and we'll react to that.

我認為肯定有一些群體更傾向於掌控自身的一些創新，這種情況已經持續了一段時間。我們已經對此做出了回應。我們已經實現了——我們的技術基礎以各種不同的消費模式提供，從我們的資料包軟體資產到可作為獨立網路作業系統提供的所有內容。您提到了我們恰好正在就此事與他們接洽的一位客戶。世界各地各種不同的開放式線路系統方案。我們一直是那裡的領導者。我認為我們在將我們連貫的技術推廣到系統業務之外方面發揮了領導作用。所以我們接受了這種開放式的消費模式。坦白說，要透過技術領先和創新為市場帶來價值，客戶希望如何消費就是如何消費，我們會根據客戶的需求做出反應。

Next question comes from Catharine Trebnick with Dougherty.

下一個問題來自凱瑟琳·特雷布尼克和多爾蒂。

I just wanted to drill in more on the subsea. You just said that, that could possibly see a market share gain next year. Could you talk about who your typical customers are for subsea? I always view it as Google, Facebook, Microsoft. And drill into are carriers still a piece of that business or not? Or who's actually your end customer?

我只是想更深入地研究海底問題。你剛才說的，可能會在明年帶來市場佔有率的成長。您能談談海底業務的典型客戶群嗎？我一直都把Google、臉書和微軟看作是其中的佼佼者。深入探討一下，營運商是否仍是該業務的一部分？或者說，你的最終客戶究竟是誰？

Yes. I'd say that there's a, kind of, a broad range of people who want to have customer -- or submarine capability because everybody wants to move stuff across the world. In recent years, it definitely has moved to the webscale fellows because they are the ones who are building out data centers around the world and have to have that capacity. But we still do business with large consortia who operate across the world. And so it's really a combination of all of those. The other thing that is important to note about that is we've moved very significantly toward an unbundled (inaudible) bills. And the customer was best-of-breed in terms of the cable. And in terms of the optical gear. We are clearly the leader with respect to optical gear. No question about it. And so we think that whether it's webscale or whether it's service providers, our technology really puts us in a great position to win.

是的。我認為，有相當廣泛的人希望擁有客戶——或者說潛艇——運輸能力，因為每個人都想在全球範圍內運輸貨物。近年來，這種趨勢無疑地已經轉移到了網路規模企業身上，因為正是這些企業在世界各地建立資料中心，並且必須具備這種能力。但我們仍然與在全球範圍內運營的大型財團開展業務。所以，這實際上是所有這些因素的綜合作用。另一點要注意的是，我們已經朝著帳單拆分（聽不清楚）的方向邁出了非常重要的一步。而且，客戶使用的線也是一流的。就光學設備而言。我們在光學器材領域顯然處於領先地位。毫無疑問。因此我們認為，無論是網路規模還是服務供應商，我們的技術都讓我們處於非常有利的地位，能夠贏得勝利。

And at this time, I'll turn the call over to the presenters.

現在，我將把通話交給主持人。

Thank you. Thank you, everyone. Have a happy holiday and happy New Year. We look forward to 2020, delivering a very strong year again. Thank you.

謝謝。謝謝大家。祝您假期愉快，新年快樂！我們期待2020年再次取得佳績。謝謝。

Ladies and gentlemen, this concludes today's conference call. Thank you for participating. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線了。