Ciena Corp (CIEN) 2022 Q1 法說會逐字稿

Ladies and gentlemen, thank you for standing by. My name is Brent and I will be your conference operator today. At this time, I'd like to welcome everyone to the Ciena Fiscal Q1 2022 Financial Results Conference Call. (Operator Instructions)

女士們，先生們，謝謝你們的支持。我的名字是布倫特，今天我將成為您的會議接線員。在這個時候，我想歡迎大家參加 Ciena 2022 財年第一季度財務業績電話會議。 （操作員說明）

It's now my pleasure to turn the call over to Mr. Gregg Lampf, Vice President of Investor Relations. Please go ahead, sir.

現在，我很高興將電話轉給投資者關係副總裁 Gregg Lampf 先生。請繼續，先生。

Thank you, Brent. Good morning, and welcome to Ciena's 2022 Fiscal First Quarter Results Conference Call. Our call today is scheduled for up to 45 minutes.

謝謝你，布倫特。早上好，歡迎參加 Ciena 2022 財年第一季度業績電話會議。我們今天的通話時間最長為 45 分鐘。

With me today is Gary Smith, President and CEO; Jim Moylan, CFO; and Scott McFeely, Senior Vice President of Global Product & Services. 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. Our comments today speak to our recent performance, our views on current market dynamics and drivers of our business as well as a discussion of our financial outlook. Today's discussion includes certain adjusted or non-GAAP measures of Ciena's results of operations. A reconciliation of these non-GAAP measures to our GAAP results is included in today's press release.

今天和我在一起的是總裁兼首席執行官 Gary Smith；首席財務官吉姆·莫伊蘭；以及全球產品和服務高級副總裁 Scott McFeely。除了本次電話會議和新聞稿外，我們還在我們網站的“投資者”部分發布了一份隨附的投資者演示文稿，該演示文稿反映了此次討論以及本季度的某些重點項目。我們今天的評論涉及我們最近的表現、我們對當前市場動態和業務驅動因素的看法，以及對我們財務前景的討論。今天的討論包括對 Ciena 經營業績的某些調整或非公認會計原則的衡量。這些非公認會計原則措施與我們的公認會計原則結果的對賬包含在今天的新聞稿中。

Before turning the call over to Gary, I'll remind you that during this call, we'll be making certain forward-looking statements. Such statements, including our quarterly guide and commentary about the impact of COVID-19, supply chain constraints and geopolitical dynamics 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-K filing and in our upcoming 10-Q filing, which is required to be filed with the SEC by March 11. 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. As always, we will allow for as much Q&A as possible today, though we ask that you limit yourself to one question and one follow-up.

在將電話轉給 Gary 之前，我會提醒您，在這次電話會議期間，我們將做出某些前瞻性陳述。此類聲明（包括我們關於 COVID-19 影響、供應鏈限制和地緣政治動態的季度指南和評論）基於當前對公司及其市場的預期、預測和假設，其中包括可能導致實際結果的風險和不確定性與今天討論的陳述大不相同。這些陳述應結合我們最近提交的 10-K 文件和即將提交的 10-Q 文件中詳述的風險因素來看待，這些文件要求在 3 月 11 日之前向 SEC 提交。我們希望在該日期之前提交. Ciena 不承擔更新本次電話會議中討論的信息的義務，無論是由於新信息、未來事件或其他原因。與往常一樣，我們今天將允許盡可能多的問答，但我們要求您將自己限制在一個問題和一個後續行動上。

And as a reminder, we will be hosting investor meetings with the sell-side at OFC tomorrow and Wednesday. We look forward to seeing many of you there.

提醒一下，我們將於明天和周三在 OFC 與賣方舉行投資者會議。我們期待在那裡見到你們中的許多人。

With that, I'll turn the call over to Gary.

有了這個，我會把電話轉給加里。

Thanks, Gregg, and good morning, everyone. Before I speak to our results, I would like to express our care, concern and support for the people of the Ukraine, those with friends and family in the region and with all of our employees, customers and partners who are feeling the weight of this situation. This conflict in the region is leading to tragic outcomes for the Ukrainian people and with a significant and growing humanitarian crisis underway. We will be making a corporate donation to Ukrainian relief efforts in addition to reinforcing with our employees and Ciena Cares Matching Program. Whilst the company has very limited exposure in the region and we do not expect there to be a material impact on our global business, we are complying with all U.S. and international sanctions and export control requirements imposed on Russia, including having already stopped shipments upon the escalation of the conflict. When combining those actions with our strong position to stand in solidarity with Ukraine, we have made the decision to immediately suspend our business operations in Russia. Like everyone, we will continue to monitor the situation and specifically, the potential for broader geopolitical and global economic consequences.

謝謝，格雷格，大家早上好。在談到我們的結果之前，我想表達我們對烏克蘭人民、在該地區有朋友和家人的人們以及我們所有的員工、客戶和合作夥伴的關心、關心和支持。情況。該地區的這場衝突正在給烏克蘭人民帶來悲慘的結果，並且正在發生嚴重且日益嚴重的人道主義危機。除了加強我們的員工和 Ciena Cares 匹配計劃外，我們還將向烏克蘭的救援工作提供企業捐款。雖然該公司在該地區的業務非常有限，我們預計不會對我們的全球業務產生重大影響，但我們正在遵守美國和國際對俄羅斯實施的所有製裁和出口管制要求，包括已經停止發貨衝突升級。在將這些行動與我們聲援烏克蘭的堅定立場相結合時，我們已決定立即暫停我們在俄羅斯的業務運營。像所有人一樣，我們將繼續關注局勢，特別是對更廣泛的地緣政治和全球經濟影響的可能性。

Moving to our Q1 results. Today, we reported fiscal first quarter revenue of $844.4 million, adjusted gross margin of 46.2% and adjusted operating expense of $219 million, in line with the revised expectations we communicated a few weeks ago. As a reminder, these quarterly results reflect specific supply chain disruptions that happened late in our first quarter and occurred within an already challenged logistics environment that was worsened by the Omicron surge. To be clear, we have subsequently managed through those specific disruptions that occurred in Q1.

轉到我們的第一季度結果。今天，我們公佈的第一財季收入為 8.444 億美元，調整後的毛利率為 46.2%，調整後的運營費用為 2.19 億美元，與我們幾週前傳達的修訂後的預期一致。提醒一下，這些季度業績反映了我們第一季度末發生的特定供應鏈中斷，並且發生在已經受到挑戰的物流環境中，而 Omicron 激增使該環境惡化。需要明確的是，我們隨後通過第一季度發生的那些特定中斷進行了管理。

Importantly, long-term secular demand is very strong, driven by the acceleration of cloud adoption and traffic growth and the desire to get higher capacity and more bandwidth closer to the end user. As a result, we're seeing extraordinary demand that is generating significant momentum in our business, including unprecedented levels of order bookings for our products and services. This is broad-based across our portfolio and geographic regions. Our order volumes are also benefiting to some extent from security of supply behaviors with customers giving us extended visibility into their needs as well as some demand catch-up type spending.

重要的是，在雲採用和流量增長加速以及希望獲得更接近最終用戶的更高容量和更多帶寬的推動下，長期需求非常強勁。因此，我們看到了非凡的需求，這在我們的業務中產生了巨大的動力，包括我們產品和服務的前所未有的訂單預訂水平。這在我們的投資組合和地理區域中具有廣泛的基礎。我們的訂單量也在一定程度上受益於客戶供應行為的安全性，使我們能夠更深入地了解他們的需求以及一些需求追趕型支出。

As we mentioned a few weeks ago, we are sharing additional metrics this quarter that we don't typically provide. These metrics illustrate the demand environment and help form the basis of our confidence in the year. Specifically, our book-to-bill ratio in Q1 was in excess of 2.5 of quarterly revenue. This ultimately resulted in a backlog of more than $3 billion exiting the quarter, providing exceptional visibility for the full fiscal year. Another highlight from the first quarter is strong revenue diversification. As we maintain our clear leadership position in web-scale, we continue to benefit from prioritized spending in DCI.

正如我們幾週前提到的，我們在本季度分享了我們通常不提供的其他指標。這些指標說明了需求環境，並有助於形成我們對這一年的信心的基礎。具體來說，我們第一季度的訂單出貨比超過了季度收入的 2.5 倍。這最終導致本季度積壓超過 30 億美元，為整個財年提供了卓越的可見性。第一季度的另一個亮點是強勁的收入多元化。隨著我們在網絡規模上保持明確的領導地位，我們將繼續受益於 DCI 的優先支出。

In Q1, this resulted in non-telco revenue now composing nearly 41% of our business, up 16% year-over-year. Direct web-scale revenue of 20%, an increase of 10% year-over-year. In addition, we had a solid contribution from cable MSOs in Q1, driven by both our long-standing customers as well as many smaller customers with whom we've been gaining momentum. MSOs overall comprised 10% of total quarterly revenue in Q1, up nearly 70% from a year ago. From a portfolio perspective, our core optical business remains incredibly strong, and we continue to win more than our fair share. We added 16 new customers for WaveLogic 5 Extreme in Q1, bringing our total to 156 customers globally. Also in Q1, revenue for our flagship 6500 platform increased 20% year-over-year. This performance reflects the monetization of some of the new deals that we secured over the past couple of years that are now beginning to deploy. It also includes activity with existing customers who are now building out additional capacity and new routes.

在第一季度，這導致非電信收入現在占我們業務的近 41%，同比增長 16%。直接網絡規模收入為 20%，同比增長 10%。此外，我們在第一季度從有線 MSO 中獲得了堅實的貢獻，這得益於我們的長期客戶以及我們一直在獲得動力的許多小型客戶。 MSO 總體佔第一季度季度總收入的 10%，比一年前增長近 70%。從投資組合的角度來看，我們的核心光學業務仍然非常強勁，我們繼續贏得超過我們應得的份額。我們在第一季度為 WaveLogic 5 Extreme 增加了 16 個新客戶，使我們的全球客戶總數達到 156 個。同樣在第一季度，我們旗艦 6500 平台的收入同比增長 20%。這一表現反映了我們在過去幾年中獲得的一些新交易的貨幣化，這些交易現在開始部署。它還包括與現有客戶的活動，這些客戶現在正在建立額外的容量和新的路線。

As we indicated previously, we anticipated the shift in product mix for fiscal '22, and we expect it to continue throughout the year. We expect this to result in a higher percentage of revenue from line systems and common equipment than we've seen during the last 2 fiscal years, particularly in our core optical business. We also continue to win new business for next-gen metro and edge use cases. In fact, we reached a milestone of 150-plus total Adaptive IP customers during Q1. Overall, in Routing and Switching, we had a strong first quarter with revenue up 33% year-over-year, including a $12 million contribution from the Vyatta platform that we recently acquired from AT&T.

正如我們之前所指出的，我們預計 22 財年的產品組合會發生變化，並且我們預計它會在全年繼續。我們預計這將導致線路系統和通用設備的收入比例高於我們在過去 2 個財年中看到的，特別是在我們的核心光學業務中。我們還繼續為下一代城域和邊緣用例贏得新業務。事實上，我們在第一季度達到了 150 多個自適應 IP 客戶的里程碑。總體而言，在路由和交換領域，我們第一季度表現強勁，收入同比增長 33%，其中包括我們最近從 AT&T 收購的 Vyatta 平台貢獻了 1200 萬美元。

Our Software & Services business also continues to gain momentum. Revenue for Blue Planet automation software and services was up 25% year-over-year, and revenue for our Platform and Services -- Software & Services was up nearly 50% from Q1 of last year. Within that business, revenue for our newly introduced MCP domain controller almost doubled from this time last year. Now with respect to the supply chain environment, as we mentioned a few weeks ago, deliberate actions we've taken to invest in our growth will provide us greater flexibility beginning in the second half of this year, basically to manage current supply chain challenges.

我們的軟件和服務業務也繼續保持增長勢頭。 Blue Planet 自動化軟件和服務的收入同比增長 25%，我們的平台和服務——軟件和服務的收入比去年第一季度增長近 50%。在該業務中，我們新推出的 MCP 域控制器的收入比去年同期幾乎翻了一番。現在關於供應鏈環境，正如我們幾週前提到的那樣，我們為投資增長而採取的慎重行動將為我們從今年下半年開始提供更大的靈活性，主要是為了應對當前的供應鏈挑戰。

Specifically, we made decisions roughly 9 months ago to place significant orders with our suppliers to meet our expectations for a strong second half, similar to last year and an outsized 22% revenue growth rate. We've been accumulating components that are not as scarce today in order to be efficient and prepared to produce finished goods more quickly when supply constraints ease for semiconductors and integrated circuits. Additionally, we've invested in manufacturing capacity that we expect to come online later this year.

具體來說，我們大約在 9 個月前做出決定，向我們的供應商下大訂單，以滿足我們對下半年強勁的預期，與去年相似，收入增長率為 22%。我們一直在積累今天不那麼稀缺的組件，以便在半導體和集成電路的供應限制緩解時提高效率並準備好更快地生產成品。此外，我們還投資了我們預計將在今年晚些時候上線的製造能力。

Overall, we are very positive about the strong demand environment aligned with additional supply chain capacity and flexibility and increased visibility into the remainder of the year based on our order flow and backlog.

總體而言，我們對強勁的需求環境與額外的供應鏈能力和靈活性以及基於我們的訂單流和積壓的對今年剩餘時間的可見性相一致非常樂觀。

With that being said, I'll hand it over to Jim to review additional financial details of Q1 as well as provide our outlook for Q2 in the context of our expectations for the full fiscal year. Jim?

話雖如此，我將把它交給吉姆來審查第一季度的其他財務細節，並在我們對整個財政年度的預期的背景下提供我們對第二季度的展望。吉姆?

Thanks, Gary, and good morning, everyone. As Gary mentioned, total Q1 revenue was $844.4 million. Adjusted gross margin in the quarter was strong at 46.2%. This reflects a particularly strong revenue contribution from our software and services businesses that helped to offset some of the impact of the higher supply and logistics costs we are seeing. And Q1 adjusted operating expense was $290 million. With respect to profitability measures, in Q1, we delivered adjusted operating margin of 11.8%, adjusted net income of $72.6 million and adjusted EPS of $0.47. In addition, we used cash from operations in the quarter, primarily related to significant investments in inventory, something we believe will be a significant differentiator over time.

謝謝，加里，大家早上好。正如加里所說，第一季度的總收入為 8.444 億美元。本季度調整後的毛利率強勁，達到 46.2%。這反映了我們的軟件和服務業務對收入的貢獻特別強勁，這有助於抵消我們所看到的更高供應和物流成本的一些影響。第一季度調整後的運營費用為 2.9 億美元。在盈利能力方面，我們在第一季度實現了 11.8% 的調整後營業利潤率、7260 萬美元的調整後淨利潤和 0.47 美元的調整後每股收益。此外，我們在本季度使用了來自運營的現金，主要與對庫存的重大投資有關，我們認為隨著時間的推移，這將是一個重要的差異化因素。

And finally, adjusted EBITDA in Q1 was $123.7 million. Reflecting the addition of the net proceeds of our successful bond offering in January, we ended the quarter with approximately $1.7 billion in cash and investments. With a strong balance sheet, we continue to return capital to stockholders. In Q1, we entered into an ASR arrangement under our new share repurchase program, repurchasing $250 million of common stock in the quarter. The final settlement of the ASR was completed in Q2 and approximately 3.6 million shares were repurchased through the arrangement.

最後，第一季度調整後的 EBITDA 為 1.237 億美元。反映了我們 1 月份成功發行債券的淨收益增加，我們在本季度結束時擁有約 17 億美元的現金和投資。憑藉強大的資產負債表，我們將繼續向股東返還資本。在第一季度，我們根據新的股票回購計劃簽訂了 ASR 安排，在本季度回購了 2.5 億美元的普通股。 ASR 的最終結算已於第二季度完成，並通過該安排回購了約 360 萬股股票。

Keep in mind that we have an additional $750 million authorized under our current repurchase plan, which we intend to utilize by the end of fiscal 2024. Turning now to our guidance. As we said a few weeks ago, we continue to expect to achieve our annual revenue guidance of 11% to 13% growth for fiscal year '22. Our confidence in this outlook is based on a very strong demand environment, expected benefits from our continued investments in supply chain capacity and greater visibility provided by our order flow and backlog.

請記住，根據我們當前的回購計劃，我們還有 7.5 億美元的授權，我們打算在 2024 財年末使用。現在轉向我們的指導。正如我們幾週前所說，我們繼續期望在 22 財年實現 11% 至 13% 的年收入增長指導。我們對這一前景的信心基於非常強勁的需求環境、我們對供應鏈能力的持續投資的預期收益以及我們的訂單流和積壓提供的更大可見性。

More specifically, we expect a strong second half performance this year, primarily driven by a significant increase in supply chain capacity in the second half. You'll recall that this is similar to the revenue profile we delivered last year with particularly strong growth in the second half over the first. With respect to Q2, we expect to deliver revenue in a range of $930 million to $970 million and adjusted gross margin in the 42% to 44% range.

更具體地說，我們預計今年下半年表現強勁，主要受下半年供應鏈產能顯著增加的推動。您會記得，這與我們去年提供的收入概況相似，下半年增長特別強勁。關於第二季度，我們預計收入將在 9.3 億美元至 9.7 億美元之間，調整後的毛利率在 42% 至 44% 之間。

This reflects our expectation for our revenue mix in Q2 that includes a larger proportion of lower-margin common equipment. Taking into account our gross margin performance in Q1 and our outlook for Q2, we continue to believe that our gross margin for fiscal year '22 will be in the range of 43% to 46%. Finally, we expect adjusted operating expense in Q2 of approximately $300 million.

這反映了我們對第二季度收入組合的預期，其中包括更大比例的低利潤通用設備。考慮到我們在第一季度的毛利率表現和我們對第二季度的展望，我們仍然相信我們在 22 財年的毛利率將在 43% 至 46% 之間。最後，我們預計第二季度調整後的運營費用約為 3 億美元。

In closing, we are taking advantage of our market leadership within a very strong demand environment, leveraging our differentiated balance sheet, leading innovation and R&D capabilities and deep and growing customer relationships around the globe as strategic advantages. We expect investments in our business, including in our portfolio, our go-to-market resources and importantly, our supply chain capacity will position us well to navigate challenging market conditions and deliver the outsized revenue growth in fiscal year '22 to which we have guided.

最後，我們在非常強勁的需求環境中利用我們的市場領導地位，利用我們差異化的資產負債表、領先的創新和研發能力以及在全球範圍內深入和不斷增長的客戶關係作為戰略優勢。我們預計對我們的業務進行投資，包括我們的投資組合、我們的上市資源，重要的是，我們的供應鏈能力將使我們能夠很好地應對充滿挑戰的市場條件，並在我們擁有的 22 財年實現超額收入增長引導。

Lastly, before we open the call to questions, I want to highlight that we continue to make progress on many ESG initiatives. We recently made available an updated presentation on the IR section of our website that provides new details on our activity in this important area. We encourage everyone to take a look. With that, Brent, we'll now take questions from the sell-side analysts.

最後，在我們開始提問之前，我想強調一下，我們在許多 ESG 舉措上繼續取得進展。我們最近在我們網站的 IR 部分提供了更新的演示文稿，提供了我們在這一重要領域的活動的新細節。我們鼓勵大家看看。有了這個，布倫特，我們現在將回答賣方分析師的問題。

(Operator Instructions)

（操作員說明）

Your first question comes from the line of Amit Daryanani with Evercore.

您的第一個問題來自於 Evercore 的 Amit Daryanani。

Just the first question on my side. Can you just talk about historically, what does price increases look like for Ciena and what you do for your customers? And how does that look like in calendar '22? And what's sort of embedded in your guide from a pricing perspective?

只是我這邊的第一個問題。您能談談歷史，Ciena 的價格上漲是什麼樣的，您為客戶做了什麼？在 '22 日曆中看起來如何？從定價的角度來看，您的指南中嵌入了什麼？

I'm sorry, Amit, you're talking about price increases?

對不起，阿米特，你說的是漲價？

Yes.

是的。

Well, the dynamics of our industry have always been such that technology reduces the cost of our goods by just 25% a year, a significant amount of cost reduction in our products, which competition basically causes us to pass along to our customers that when you get a 30% increase in the underlying demand for capacity, that's how you get to an industry that grows 5%. So it's actually been common for us over many, many years to show lower prices per unit of capacity. Now we are talking with our customers today about the fact that our costs actually have gone up quite a bit, particularly with respect to semiconductors and integrated circuits. And so we are talking with our customers about sharing in this cost increase. We don't expect that, that will have much effect this year. If anything, it will be an effect for next year, but price increases are somewhat of a rarity in our business.

嗯，我們行業的動態一直是這樣的，技術使我們的商品成本每年僅降低 25%，我們的產品成本顯著降低，這種競爭基本上使我們向我們的客戶傳遞當你使潛在的產能需求增加 30%，這就是你如何進入一個增長 5% 的行業。因此，多年來，每單位容量顯示較低的價格實際上對我們來說很常見。現在，我們今天正在與我們的客戶討論我們的成本實際上已經上漲了很多，特別是在半導體和集成電路方面。因此，我們正在與客戶討論分攤成本增加的問題。我們不認為，這將在今年產生很大影響。如果有的話，這將對明年產生影響，但價格上漲在我們的業務中很少見。

Fair enough. And then I was hoping you could just spend a few minutes just talking about the web-scale business. You saw a nice double-digit growth in the Jan quarter. Sort of, one, enabling that organic versus share gain, and how do you see that segment stack up for the rest of the year?

很公平。然後我希望你能花幾分鐘來談談網絡規模的業務。您在 1 月季度看到了不錯的兩位數增長。有點，一個，實現有機收益與份額收益，您如何看待該細分市場在今年剩餘時間內的累積？

Amit, I think what we're seeing is, obviously, increasing DCI build-outs globally, and we've got a very large market share in web-scale, as you know, but we actually think we're probably going to be taking share based on some of the commitments that we're seeing being placed on us already. So I think it's just a very healthy market that's really building out more and more data centers around the globe. We have multifaceted relationships with these web-scale players, both in terms of domestic, international, submarine. And I think not just in terms of point-to-point, but also a very large 6500 network capacity with a lot of these players as well. So it's a very, very good quarter, and we're going to have a good year with web-scale.

阿米特，我認為我們所看到的顯然是在全球範圍內增加 DCI 建設，我們在網絡規模上擁有非常大的市場份額，如你所知，但我們實際上認為我們可能會成為根據我們已經看到的一些承諾來分享。所以我認為這只是一個非常健康的市場，它確實在全球建立了越來越多的數據中心。我們與這些網絡規模的參與者有著多方面的關係，無論是在國內、國際還是潛艇方面。而且我認為不僅僅是點對點，還有一個非常大的 6500 網絡容量，還有很多這樣的玩家。所以這是一個非常非常好的季度，我們將在網絡規模上度過美好的一年。

Your next question comes from the line of Tim Long with Barclays.

您的下一個問題來自巴克萊銀行的 Tim Long。

Gary, I was hoping you could talk a little bit about some of the businesses you're calling out, Routing and Switching and software and Blue Planet businesses that performed very well in the quarter. Could you talk a little bit about kind of cross-sell in that area? How are you willing -- how good are you at kind of pulling the installed base over? And how much of that is winning new customers with those offerings? And then the follow-up would just be, could you just talk a little bit about the Europe and Asia theaters. They look like to be a little bit under pressure year-over-year. Was that components? Or is there something else going on in those regions?

加里，我希望你能談談你所呼籲的一些業務，路由和交換以及軟件和藍色星球業務，這些業務在本季度表現非常出色。你能談談那個領域的交叉銷售嗎？您的意願如何——您在拉動已安裝基礎方面的能力如何？其中有多少是通過這些產品贏得新客戶的？然後接下來就是，你能不能談談歐洲和亞洲的劇院。他們看起來年復一年地承受著一些壓力。那是組件嗎？還是在這些地區發生了其他事情？

Okay. Why don't I take that one first, Tim, and then work back through and then talk about the software and cross-selling and then Scott will talk a little bit about the packet, Routing and Switching. On the Europe and Asia, we're seeing strong demand across all geographies. So I think really Q1 is more about supply constraint than really extrapolating out too many dynamics around the different geographies. Particularly in Europe, we're seeing strong demand really after a period of underinvestment, frankly, over the last few years, even pre-COVID. So I think Europe is going to be very strong. India, I think, was also down in Q1, but I think it's going to have a very good year based on the order flows.

好的。我為什麼不先拿那個，蒂姆，然後重新研究一遍，然後討論軟件和交叉銷售，然後斯科特會談談數據包、路由和交換。在歐洲和亞洲，我們看到所有地區的需求強勁。因此，我認為第一季度實際上更多的是關於供應限制，而不是真正推斷出圍繞不同地區的太多動態。特別是在歐洲，坦率地說，在過去幾年甚至在新冠疫情之前，經過一段時間的投資不足之後，我們確實看到了強勁的需求。所以我認為歐洲會非常強大。我認為印度在第一季度也有所下降，但我認為根據訂單流，今年將會非常好。

So that's probably a good example. I just think it's -- wouldn't extrapolate too much out based on the challenges around supply constraint, which is going to be with us for a little bit for a while.

所以這可能是一個很好的例子。我只是認為它 - 不會根據供應限制方面的挑戰進行過多推斷，這將與我們一起一段時間。

On the software side, as Jim said, we had a strong quarter. Good growth on both Blue Planet, which really is focused at the service creation layer in the automation. We've seen a lot of carriers, particularly as they've gone through COVID, really now prioritize their -- the automation of their network. So we're seeing very healthy demand in Blue Planet. Similarly, MCP, which is really the automation of the network layer. Now the numbers look very good from a growth point of view, but we're coming from -- it's a newly introduced platform, but we're very encouraged with what we're seeing there.

正如吉姆所說，在軟件方面，我們有一個強勁的季度。 Blue Planet 的良好增長，它真正專注於自動化中的服務創建層。我們已經看到很多運營商，尤其是在他們經歷了 COVID 之後，現在真的優先考慮他們的網絡自動化。所以我們看到藍色星球的需求非常健康。同理，MCP，真的是網絡層的自動化。現在從增長的角度來看，這些數字看起來非常好，但我們來自 - 這是一個新推出的平台，但我們對在那裡看到的東西感到非常鼓舞。

And that's into -- we've now got MCP into pretty much all of our major customers around the world and that gives us a platform to upsell various applications on top of that, and then obviously, into the services layer with Blue Planet as well, which is part of our strategy. And then obviously, as we're seeing the convergence of packet and optical, we've invested heavily in our Switching and Routing portfolio.

這就是——我們現在已經讓 MCP 進入了我們在世界各地的幾乎所有主要客戶，這為我們提供了一個平台，可以在此基礎上追加銷售各種應用程序，然後很明顯，還有 Blue Planet 的服務層，這是我們戰略的一部分。然後很明顯，當我們看到數據包和光纖的融合時，我們在交換和路由產品組合上投入了大量資金。

Scott, any other?

斯科特，還有別的嗎？

Just on the Routing and Switching piece. I think where we're seeing the strongest demand and the biggest success is where our service providers, our MSO customers have built out their fiber plants closer to their end customers, whether that be a wireless play, an enterprise play or a residential play, and obviously, we've got tremendous relationships with those service providers and MSOs around the world. So that helps in that conversation. As we look forward, we're certainly starting to see some of the Tier 2 and Tier 3 providers looking for end-to-end solutions.

就在路由和交換部分。我認為我們看到最強勁的需求和最大的成功是我們的服務提供商、我們的 MSO 客戶在離最終客戶更近的地方建造了他們的光纖工廠，無論是無線網絡、企業網絡還是住宅網絡，很明顯，我們與世界各地的服務提供商和 MSO 建立了良好的關係。所以這有助於對話。正如我們所期待的那樣，我們肯定會開始看到一些 2 級和 3 級提供商正在尋找端到端的解決方案。

So being able to offer both the core and those access and aggregation solution plays to our strength as well. And as you think about the next-generation metro and edge, we firmly believe the winning hand there is going to be optimized Routing and Switching, optics, photonics and multilayer control. And Gary talked about the software assets there, those have a strong value proposition when you start to look at those networks coming together as well.

因此，能夠同時提供核心以及那些訪問和聚合解決方案也對我們發揮了優勢。當您考慮下一代城域和邊緣時，我們堅信，優化路由和交換、光學、光子學和多層控制將是製勝之道。 Gary 談到了那裡的軟件資產，當你開始看到這些網絡融合在一起時，它們具有很強的價值主張。

Your next question is from Rod Hall with Goldman Sachs.

您的下一個問題來自高盛的 Rod Hall。

I just wanted to come back to this backlog of $3 billion and ask maybe a couple of questions on that. One is, do you expect that to rise further in the coming quarter or 2? Or do you think that this is the peak and you start to work the backlog down? And then my follow-up will be regarding backlog as well.

我只是想回到這 30 億美元的積壓訂單上，並就此提出幾個問題。一個是，您預計下一季度或第二季度會進一步上升嗎？還是您認為這是高峰期，您開始處理積壓的工作？然後我的後續工作也將涉及積壓工作。

Well, it's always dangerous to say what's going to happen in any given quarter with respect to orders, but we do expect a strong order flow this quarter. And I wouldn't be surprised if the backlog grew this quarter. And as we look out, we're going to have a very good year. I just ask everybody to remember though that a lot of this order flow is people giving us visibility into their order flow -- into their demand for this year, and in some cases, even into next year. And so it's great. It's wonderful. We're seeing strong demand, but I shouldn't extrapolate what's going on now into any sort of revenue expectation.

好吧，就訂單而言，說出任何給定季度會發生什麼總是很危險的，但我們確實預計本季度會有強勁的訂單流。如果本季度積壓訂單增加，我不會感到驚訝。正如我們所期待的那樣，我們將度過一個非常好的一年。我只是要求每個人記住，雖然很多訂單流是人們讓我們了解他們的訂單流 - 他們對今年的需求，在某些情況下，甚至到明年。所以這很棒。太棒了。我們看到強勁的需求，但我不應該將現在發生的事情推斷為任何類型的收入預期。

Right. Yes, that makes sense, Jim. And then I wanted to also ask, it's great that you guys have this visibility there. I think that's the first time I've ever seen that on Ciena with that kind of visibility given the industry. But I was wondering where you think you might finish the year in terms of backlog? What do you expect half of that to be gone? Can you give us any idea of kind of where the backlog might end up by the end of the year?

正確的。是的，這是有道理的，吉姆。然後我還想問，你們在那裡有這種知名度真是太好了。我認為這是我第一次在 Ciena 上看到該行業具有如此高的知名度。但我想知道你認為你可能會在積壓方面完成這一年？你預計一半會消失嗎？你能告訴我們年底前積壓工作可能會在哪裡結束嗎？

Rod, I absolutely get the question. I just don't think that would be appropriate for us to extrapolate out because we'll then get into a conversation about '23. We're one of the few companies that's actually giving guidance for the full year of '22. I think we'd be getting a little ahead of ourselves to that. But I mean, to Jim's point, it's a very strong demand characteristics. It's security of supply, absolutely, there's a large portion of that. But we also feel that the secular demand around cloud adoption is going to give us a multiyear platform here for growth. So we feel very good around the secular dynamics of our space and our position in it just continues to get stronger. In all likelihood, to put a pin in it, we are going to probably have orders outstrip revenue in Q2 as well. That's our expectation. We'll see how that plays through for the rest of the year.

羅德，我絕對明白這個問題。我只是認為這不適合我們推斷，因為然後我們將進入關於 23 年的對話。我們是為數不多的為 22 年全年提供指導的公司之一。我認為我們在這方面會有點超前。但我的意思是，就吉姆而言，這是一個非常強烈的需求特徵。絕對是供應安全，其中很大一部分。但我們也認為，圍繞雲採用的長期需求將為我們提供一個多年的增長平台。所以我們對我們空間的長期動態感覺非常好，我們在其中的地位只會繼續變得更強。很有可能，為了說明這一點，我們在第二季度的訂單可能也會超過收入。這是我們的期望。我們將在今年剩下的時間裡看到它是如何發揮作用的。

Your next question is from Paul Silverstein with Cowen.

您的下一個問題來自 Paul Silverstein 和 Cowen。

I was hoping you provide some more granular insight regarding revenue diversification from a customer perspective. I know there hasn't been meaningful concentration in a long time, but as you look forward over the next 4 quarters and beyond, I assume the strength you're looking at is not a function of any 1 or 2 customers, but it's far more broad than that. But any granularity both within the web-scale and more broadly, beyond web-scale. And then I've got a follow-up.

我希望您從客戶的角度提供有關收入多樣化的更詳細的見解。我知道很長一段時間沒有有意義的集中，但是當你展望未來 4 個季度及以後，我假設你所看到的力量不是任何 1 或 2 個客戶的函數，但它還很遠比這更廣泛。但任何粒度都在網絡範圍內，更廣泛地說，超出網絡範圍。然後我有一個跟進。

We're seeing demand very broadly around the world and across verticals, Paul. We -- our concentration numbers, generally speaking, haven't changed significantly, except that our -- the percentage, which our 2 biggest customers represent has come down quite a bit. But our top 10 customers are around 50%, and that's been that way for a long time. I think it will continue to be. But beyond that, the top 10 customers in terms of volume, we have a whole long list of customers that are seeing the same kind of demand on their networks that the bigger companies are. And we are winning our fair share or more than our fair share, frankly, of all of those build-outs.

保羅，我們在世界各地和垂直領域看到了非常廣泛的需求。一般來說，我們的集中度數字沒有顯著變化，只是我們的兩個最大客戶所代表的百分比下降了很多。但我們的前 10 名客戶約佔 50%，而且這種情況已經持續了很長時間。我認為它將繼續存在。但除此之外，就數量而言，排名前 10 位的客戶，我們有一長串客戶在他們的網絡上看到了與大公司相同的需求。坦率地說，在所有這些擴建項目中，我們正在贏得公平份額或超過公平份額。

All right. And then -- I'm sorry, Gary. Go.

好的。然後——對不起，加里。去。

Go, Paul.

去吧，保羅。

Within Routing and Switching, how much of the growth you're looking at going forward? Is it a function of new customers, new projects, at these new customers versus new projects or extended projects or existing customers? And I'm talking organically exing out the buyout...

在路由和交換領域，您預計未來會有多少增長？它是新客戶、新項目、這些新客戶與新項目或擴展項目或現有客戶的函數嗎？我說的是有機地退出買斷......

You're talking about winning, Routing and Switching from customers who are not current optical customers. Is that what your question -- is that the basis of your question?

您正在談論從不是當前光學客戶的客戶那裡贏得、路由和交換。這就是你的問題——這是你問題的基礎嗎？

I'm talking about Routing and Switching incremental revenue from...

我說的是路由和交換來自...的增量收入

Well, I would articulate it, I think your question is, how much of it is sort of continued build-outs from existing footprint versus new application footprint, not necessarily new Ciena customers but new application footprint.

好吧，我會說清楚，我認為您的問題是，其中有多少是從現有足跡與新應用程序足蹟的持續擴展，不一定是新的 Ciena 客戶，而是新的應用程序足跡。

Well, how much is from existing Routing and Switching customers? How much is from customers that haven't yet bought Routing and Switching?

那麼，現有的路由和交換客戶有多少呢？有多少來自尚未購買路由和交換的客戶？

Okay. I think it depends on the time horizon. Certainly, the growth trajectory that we see in Routing and Switching has an expectation and dependency on us winning new logos, but for 2022, the bulk of it is sort of existing applications and existing customers.

好的。我認為這取決於時間範圍。當然，我們在路由和交換領域看到的增長軌跡對我們贏得新徽標有期望和依賴，但到 2022 年，其中大部分是現有應用程序和現有客戶。

Your next question is from Simon Leopold with Raymond James.

您的下一個問題來自 Simon Leopold 和 Raymond James。

I know you've talked about your efforts to raise prices to offset costs and you've counseled us that it doesn't really affect fiscal '22, but it is effective in fiscal '23. Given the progress to date, do you have a sense of how to quantify essentially the revenue growth tailwind for fiscal '23 coming from the price increases? Essentially, I'm looking for some quantification and some sense of the progress you've made, talking to customers about higher prices? And then I've got a quick follow-up.

我知道您已經談到了提高價格以抵消成本的努力，並且您已經告訴我們這並不會真正影響 22 財年，但它在 23 財年有效。鑑於迄今為止的進展，您是否知道如何從本質上量化來自價格上漲的 23 財年的收入增長順風？本質上，我正在尋找一些量化和一些關於你取得的進展的感覺，與客戶談論更高的價格？然後我有一個快速跟進。

Simon, let me take that. I think it's an ongoing conversation. I think they progressed very well. Obviously, most of our major customers understand very well the global issues that we're all facing. So I would say, it's been very constructive and very positive, but as Jim said earlier, that's not going to impact any of our financial performance probably in this year. And I think just from a '23 perspective, Simon, it's way too early to start talking about next year. I mean we're already providing pretty detailed guidance for this year, and we're one of the few companies to do that. I just don't think it would be appropriate for us to get into those kinds of things about '23. I would say, we feel very positive about the strong secular demand and our position in the space, and we think this is going to be clearly a multiyear growth platform for us, but I just don't think it's appropriate to get so far ahead of our skis right now.

西蒙，讓我接受。我認為這是一個持續的對話。我認為他們進展得非常好。顯然，我們的大多數主要客戶都非常了解我們都面臨的全球性問題。所以我想說，這是非常有建設性和非常積極的，但正如吉姆之前所說，這可能不會影響我們今年的任何財務業績。我認為從 23 年的角度來看，西蒙，現在開始談論明年還為時過早。我的意思是，我們已經為今年提供了非常詳細的指導，我們是為數不多的這樣做的公司之一。我只是認為我們不適合討論 23 年的那些事情。我想說，我們對強勁的長期需求和我們在該領域的地位感到非常樂觀，我們認為這對我們來說顯然是一個多年的增長平台，但我認為走這麼遠並不合適我們現在的滑雪板。

Okay. And just as my follow-up. It appears that your services gross margin was actually a bit better than the last 4 quarters or so. I'm just wondering whether there was something unusual in this quarter? Or whether we should think about more sustainability of a better services gross margin? If so, why?

好的。就像我的後續行動一樣。看來您的服務毛利率實際上比過去 4 個季度左右要好一些。我只是想知道這個季度是否有什麼不尋常的事情？或者我們是否應該考慮更好的服務毛利率的可持續性？如果是這樣，為什麼？

Well, as you know, Simon, our services revenue stack is made up of a whole list of projects that are in various stages of their lives. And so I'd just attribute that movement to ebbs and flows of the business that's going to move around a bit. I'd say this, we've been very pleased with the progress we've made on our gross margins and services over the last several years. We've done a lot of things in our services, supply chain and capacity set to enable that gross margin. And so we're pleased with where it is, and hopefully, it will get better over time, but we don't think that you should take too much out of any one quarter.

好吧，西蒙，如你所知，我們的服務收入堆棧由處於其生命各個階段的項目的完整列表組成。因此，我只是將這種運動歸因於業務的起起落落，而這些業務將會發生一些變化。我想說的是，我們對過去幾年在毛利率和服務方面取得的進展感到非常滿意。我們在服務、供應鍊和產能方面做了很多事情來實現毛利率。所以我們對它的位置感到滿意，並希望隨著時間的推移它會變得更好，但我們認為你不應該從任何一個季度中拿出太多。

Your next question comes from the line of Jim Suva with Citigroup.

您的下一個問題來自花旗集團的 Jim Suva。

I think it was in the prepared comments by Gary. You mentioned kind of a little bit more mine business. Just curious, is that because you've seen a meaningful increase in demand for it or because you have the ability to secure the supply of such products and therefore, lead demand where other ones you've had more supply challenges? I'm just kind of curious about that and the sustainability, is that something we should expect to continue to be a little more tilt to that direction?

我認為這是在加里準備好的評論中。你提到了更多我的業務。只是好奇，這是因為您已經看到對它的需求顯著增加，還是因為您有能力確保此類產品的供應，因此在您遇到更多供應挑戰的其他產品的情況下引領需求？我只是對此和可持續性有點好奇，我們是否應該期待繼續朝著這個方向傾斜一點？

We are seeing a higher percentage of commons and photonics this year as compared to previous years. That's a good thing. That means that the build-outs that we -- the wins that we've had over the past few years are starting to build out, and so you can expect that to be a good thing for our future. What we said was that the gross margin guide for Q2 is as a result of a higher proportion of lower gross margin commons and photonics. So all of that is sort of a piece.

與往年相比，今年我們看到公共和光子學的比例更高。這是好事。這意味著我們的擴建——我們在過去幾年中取得的勝利開始擴大，所以你可以期待這對我們的未來是一件好事。我們所說的是，第二季度的毛利率指導是由於較低毛利率的普通股和光子產品的比例較高。所以所有這些都是一個片段。

Jim, the other thing I would add there is, it's also the context of this is a number of wins that we had. Frankly, some of these date back to pre-COVID, but kind of got put on hold from an operational point of view over the last couple of years, and we're now seeing them deploy. So it's new accounts and new customers that we're deploying there. And as Jim said, that's -- it's very positive. It bodes well for their commitment to the future to us, but it's also existing customers now reinvesting in their both capacity and network modernization. So it's this classic sort of line system, photonics and commons, which then will follow as they fill in with cards over time. So it's not really -- it is constrained by supply chain, but we're also seeing it from an order point of view as well.

吉姆，我要補充的另一件事是，這也是我們取得的一些勝利的背景。坦率地說，其中一些可以追溯到 COVID 之前，但從操作的角度來看，在過去幾年中被擱置了，我們現在看到它們正在部署。因此，我們在那裡部署的是新帳戶和新客戶。正如吉姆所說，那是非常積極的。這預示著他們對我們未來的承諾是個好兆頭，但現有客戶現在也在對其容量和網絡現代化進行再投資。所以這是一種經典的線路系統，光子學和公共，然後隨著時間的推移填滿卡片。所以它不是真的 - 它受到供應鏈的限制，但我們也從訂單的角度看到它。

Your next question is from Tal Liani with Bank of America.

您的下一個問題來自美國銀行的 Tal Liani。

I went to see -- I went to Mobile World Congress last week, and I was surprised with how much discussion there was for white box routing with pluggables and also pluggables and traditional routers. And the question is, I understand that there is great demand in the current times and the current build-out is probably not with this kind of solutions, but thinking about the long term, what is the implications for demand in your space? And how are you positioned if the market migrates to these kind of solutions?

我去看了——上週我參加了世界移動通信大會，我很驚訝有多少關於可插拔、可插拔和傳統路由器的白盒路由的討論。問題是，我知道當前的需求很大，而當前的擴建可能不是這種解決方案，但從長遠來看，對您所在空間的需求有何影響？如果市場轉向此類解決方案，您將如何定位？

Yes, Tal, it's Scott here. Separate out sort of the white box phenomena from your second theme there, which is kind of, I'll call it, convergence. Personally, I think for our customer segmentation. We're not really seeing a lot of deployments of the white box piece because, frankly, as you sort of disaggregate the stuff, someone has to put it back together again and that's typically not the business of our customers. On the convergence piece, for some parts of the network, we do see that as an evolution, and we've talked about this in our next-generation metro and edge capabilities, where we really firmly believe the winning hand there is going to be best-in-class optics, best-in-class photonics, a lightweight Routing and Switching capabilities and the off-box software control systems that allow you to manage and automate that network across the layers cost effectively. And we've been investing in those threads for a long time and part of the fruits of that investment you're starting to see come with growth in our Routing and Switching business.

是的，塔爾，這裡是斯科特。從你那裡的第二個主題中分離出某種白盒現象，我稱之為融合。就個人而言，我認為是為了我們的客戶細分。我們並沒有真正看到很多白盒部件的部署，因為坦率地說，當你分解這些東西時，有人必須將它重新組合在一起，這通常不是我們客戶的業務。在融合部分，對於網絡的某些部分，我們確實將其視為一種演變，我們已經在我們的下一代城域和邊緣功能中談到了這一點，我們堅信勝利之手將是一流的光學器件、一流的光子學、輕量級的路由和交換功能以及可讓您以經濟高效的方式跨層管理和自動化網絡的開箱即用軟件控制系統。長期以來，我們一直在投資這些線程，您開始看到投資的部分成果伴隨著我們路由和交換業務的增長。

So your position is, it's not going to happen for now because of certain things -- and I agree with you, but what happens, if it happens? What happens if pluggables are going to be deployed by carriers or demanded by cloud companies? Does it mean that Ciena is going to see shrinkage or a decline in demand in the market? Or is...

所以你的立場是，由於某些事情，它現在不會發生——我同意你的觀點，但是如果發生了會發生什麼？如果運營商要部署可插拔設備或云公司需要可插拔設備會怎樣？這是否意味著 Ciena 將看到市場需求萎縮或下降？或者是...

Different parts of the network are going to have different evolutions and solutions. We firmly believe that the core infrastructure of the network is not going to sacrifice announce the performance, and therefore, it's going to continue to be separate deployments. As you get closer to the edge, we think the conversion does have a play, and we think that's a greater opportunity than it is for us because there's other spend that we are not -- haven't historically been addressing that is now available to us.

網絡的不同部分將有不同的演變和解決方案。我們堅信網絡的核心基礎設施不會犧牲性能，因此，它將繼續單獨部署。隨著您越來越接近邊緣，我們認為轉換確實有作用，我們認為這對我們來說是一個更大的機會，因為還有其他我們沒有的支出 - 歷史上沒有解決現在可用於我們。

Remember, we talked about an expanded TAM and part of this is the context of what we're talking about here.

請記住，我們討論了擴展的 TAM，其中一部分是我們在這裡討論的內容。

Exactly.

確切地。

You next question comes from the line of Meta Marshall with Morgan Stanley.

您的下一個問題來自摩根士丹利的 Meta Marshall。

Great. Maybe just on the second half ramp. Understanding that you're not guiding in to fiscal Q3, but just -- should that be a step function as we head towards the second half of the year? Or kind of a more gradual ramp of capacity in kind of some of these supply chain bottlenecks releasing? And then the second question, I mean I would assume not, but any impact to subsea consortiums or anything by just given the geopolitical -- kind of heightened geopolitical environment we're seeing right now?

偉大的。也許就在下半場坡道上。了解您不是在指導第三財季，而只是 - 在我們走向下半年時，這應該是一個步驟嗎？或者在釋放這些供應鏈瓶頸中的一些時，一種更漸進的產能增長？然後是第二個問題，我的意思是我不會假設，但是考慮到地緣政治——我們現在看到的那種加劇的地緣政治環境，會對海底財團或任何事情產生任何影響？

Yes. What I would say, Meta, is that Q3 has always been a very strong quarter for us, just given the sort of annual sequence of the way our customers operate. And so we'll see nice -- I think we'll see a nice move in Q3. You ought to look at last year, look at last year and drive your view of what this year is going to look like based on last because that's kind of the way we're thinking.

是的。 Meta，我想說的是，考慮到我們客戶運營方式的年度順序，第三季度對我們來說一直是一個非常強勁的季度。所以我們會看到很好 - 我認為我們會在第三季度看到一個很好的舉動。你應該看看去年，看看去年，並在去年的基礎上推動你對今年的看法，因為這就是我們的思維方式。

And Meta, on the second part of your question, we are not obviously early days, but we're not seeing any geopolitical fallout yet on any of the submarine system, cables or in the rest of it, and frankly, quite the opposite. We're seeing very robust demand around the globe for that.

Meta，關於你問題的第二部分，我們顯然不是早期的，但我們還沒有看到任何海底系統、電纜或其他部分的地緣政治影響，坦率地說，恰恰相反。我們看到全球對此的需求非常強勁。

Your next question is from Fahad Najam with Loop Capital.

您的下一個問題來自 Loop Capital 的 Fahad Najam。

Gary, I wanted to kind of get your help in understanding your comment about strategic investments in increasing supply chain capacity for the second half. Can you elaborate a little bit more? Is it just you procuring more components? Or are you adding more manufacturing line? How much of this expansion in -- or increase in supply chain capacity is a permanent investment versus just buying more inventory?

加里，我想得到你的幫助，以了解你對下半年增加供應鏈能力的戰略投資的評論。你能詳細說明一下嗎？只是您採購了更多組件嗎？還是您要增加更多的生產線？與僅僅購買更多庫存相比，供應鏈能力的擴張或增加有多少是永久性投資？

We'll just say, all of the above. But Scott, do you want to...

我們只會說，以上所有。但是斯科特，你想...

Yes. I think you can think of it in 3 swim lanes. One is, we're not following, I guess, the just-in-time inventory approach of yester years on the components that aren't in short supply. So you can see it in our raw material inventory, we're sort of building that up, waiting for the more constrained component so that we can turn that into finished goods quickly. So that's number one. Number two is, we've made the decision 9-plus months ago to bet heavily on significant growth in our business in the second half of the year and put significant demand on, I'll just say, the component industry, playing to the rules of their new extended lead time. So we're not expecting any change in lead times, but we've made that bet a long time ago. And then the third thing is, in order to turn it into finished goods in a faster manner, we were -- we've increased our capacity on the production side, largely in the test capacity. So we can turn that around quickly. So those are the 3 main things.

是的。我認為您可以在 3 條泳道中想到它。一個是，我想，我們沒有遵循過去幾年對不短缺組件的即時庫存方法。所以你可以在我們的原材料庫存中看到它，我們正在建立它，等待更受限制的組件，以便我們可以快速將其變成成品。所以這是第一名。第二是，我們在 9 個多月前做出決定，大力押注下半年業務的顯著增長，並對零部件行業提出巨大需求，我只想說，他們新的延長交貨時間的規則。因此，我們預計交貨時間不會有任何變化，但我們很久以前就下注了。然後第三件事是，為了以更快的方式將其變成成品，我們 - 我們已經增加了生產方面的能力，主要是測試能力。所以我們可以迅速扭轉局面。所以這是3個主要的事情。

Okay. So if it's among the stuff that you've invested in just inventory and some of it is permanent like the additional test capacity. How should we think about the implications on your gross margins going forward? If assuming your 6% to 8% long-term guidance holds, does that have any meaningful impact on the trajectory of the gross margin? Or does that also mean that you're probably better positioned to guide maybe...

好的。因此，如果它是您僅投資於庫存的東西之一，並且其中一些是永久性的，例如額外的測試能力。我們應該如何考慮對您未來毛利率的影響？如果假設你的 6% 到 8% 的長期指導成立，這對毛利率的軌蹟有任何有意義的影響嗎？或者這是否也意味著你可能更適合指導……

Yes. The way you should think about it, I think, in terms of -- you're talking specifically about the capital investment on the production side. It's a minor needle mover from a gross margin perspective, and we're really talking about pulling forward investment capacity that we would have put in place in '23 in U.S.

是的。我認為，您應該考慮的方式是-您具體談論的是生產方面的資本投資。從毛利率的角度來看，這是一個小小的推動因素，我們真正談論的是推動我們在 23 年在美國實施的投資能力。

Your next question comes from the line of Alex Henderson with Needham.

您的下一個問題來自 Alex Henderson 與 Needham 的對話。

You made the comment in your prepared remarks that you expect a significant improvement in the back half of the year in terms of components, yet when I talk to virtually everybody else in the industry, they're saying that conditions have not improved and in fact, may have eroded the rate of decommits on orders has gone up. Virtually every other manufacturer has done the same thing you've done, which is stretched out their orders and committed to significant increases in the future. Your third quarter fiscal year is pretty close. I mean that's the July quarter. So what gives you the confidence that the supply chain conditions are going to improve and you're not going to get decommits based off of what seems to be continued stretching of duration across the entire industry as well as decommits showing up at a lot of other vendors.

您在準備好的評論中發表評論說，您預計下半年在組件方面會有顯著改善，但是當我與業內幾乎所有其他人交談時，他們說情況並沒有改善，事實上，可能已經侵蝕了訂單的取消率已經上升。幾乎所有其他製造商都做了你做過的同樣的事情，那就是延長他們的訂單，並承諾在未來大幅增加。您的第三季度財政年度非常接近。我的意思是那是七月季度。那麼，是什麼讓您相信供應鏈狀況將會改善，並且您不會因為整個行業的持續時間持續延長以及許多其他行業出現的停工情況而導致停工供應商。

There's a couple of things in there. So let's first of all talk about lead times. From what we've seen lead times haven't really changed. They did a step function a while ago to be pretty extreme in terms of the lead times. It haven't gotten worse, it haven't gotten better, and we're not depending on them getting better. We put orders in a long time ago playing by the new rules, embedding on our business. And if others didn't make that bet and I can see they're showing up today trying to do it, they're facing those lead times and they're stretched out. Now what we've been following very, very carefully whether or not those component suppliers have been delivering to their newer advertised lead times and for the most part, I'd say, yes, they have. Then you talked about decommits. I actually -- from our perspective, the decommits in terms of the quantity of them haven't really changed. They're happening, absolutely. I would actually say, they're actually less severe than they were 3 to 6 months ago in the sense of the numbers are probably the same, but the magnitude of the decommits are different. And if you go back 3 to 6 months, what we were seeing is decommits pushing out quarters at a time and sometimes not even reconfirming the quantities. Now we're talking about those quantities are showing up, but the impacts are days and weeks. So that's what we're seeing in our supply chain, but we made these bets a long time ago, Alex. And if others are trying to make them today, I can understand the difference.

裡面有幾樣東西。因此，讓我們首先談談交貨時間。從我們所看到的交貨時間並沒有真正改變。他們不久前做了一個階梯函數，在交貨時間方面非常極端。它沒有變得更糟，也沒有變得更好，我們也不指望他們變得更好。我們很久以前就按照新規則下訂單，嵌入到我們的業務中。如果其他人沒有下注並且我可以看到他們今天出現在嘗試這樣做，他們將面臨這些提前期並且他們被拉長了。現在，我們一直在非常非常仔細地跟踪這些組件供應商是否已經按照他們新的廣告交貨時間交付，而且在大多數情況下，我會說，是的，他們已經做到了。然後你談到了decommits。我實際上 - 從我們的角度來看，就數量而言，退役並沒有真正改變。他們正在發生，絕對。實際上，我想說的是，它們實際上沒有 3 到 6 個月前那麼嚴重，因為數字可能相同，但取消承諾的程度不同。如果你回到 3 到 6 個月，我們看到的是每次推出季度，有時甚至沒有重新確認數量。現在我們談論的是這些數量正在出現，但影響是幾天和幾週。這就是我們在供應鏈中看到的，但我們很久以前就下注了，亞歷克斯。如果今天其他人試圖製造它們，我可以理解其中的區別。

Okay. Second question, if I could. You talked about your strategy around pricing, and I understand it. It makes sense. It's consistent with Ciena's strategy historically. Some of your competitors, though, have been much more aggressive on price, particular at Cisco. They had multiple price increases. Have you seen a change in the pricing environment from the competition, whether it be Cisco, Nokia or some of the other vendors that are in the field that creating a little bit of a benefit to you in terms of share as well?

好的。第二個問題，如果可以。你談到了你的定價策略，我理解。這說得通。這與 Ciena 在歷史上的戰略是一致的。但是，您的一些競爭對手在價格上更加激進，尤其是在思科。他們多次漲價。您是否看到競爭中定價環境的變化，無論是思科、諾基亞還是該領域的其他一些供應商，在份額方面也為您創造了一點好處？

I think it's too early to tell on all of that to be honest, I mean. And I think some of these things get announced and a lot of it -- a lot of the sort of price increases that some of the people you talked about there are really in the enterprise space, which I think you've seen more aggressive price increases too. So I -- some of that bleeds across for sure. And as Jim talked about earlier, we're in an unprecedented environment from a price dynamic in the carrier and infrastructure space. I think that's pretty much playing through how we'd anticipate it. We have had some very constructive conversations with most of our -- with all of our major customers. They understand that situation, and we -- that will start to play through over the next 1 to 3 years. But we really haven't seen any massive changes in the competitive environment. It's really -- particularly right now, all of that is hidden by all of the constraints around supply.

老實說，我認為現在談論所有這些還為時過早，我的意思是。而且我認為其中一些事情已經宣布，而且很多——你談到的一些人確實在企業領域進行了很多價格上漲，我認為你已經看到了更激進的價格也增加。所以我 - 其中一些肯定會流血。正如 Jim 之前所說，我們處於運營商和基礎設施領域價格動態的前所未有的環境中。我認為這在很大程度上取決於我們的預期。我們與我們的大多數人 - 與我們所有的主要客戶進行了一些非常有建設性的對話。他們了解這種情況，而我們——這將在未來 1 到 3 年內開始發揮作用。但我們確實沒有看到競爭環境發生任何巨大變化。真的 - 特別是現在，所有這些都被供應的所有限制所掩蓋。

So it's more about, can you supply something than what the price is, frankly. And so it's going to take a little bit longer for that to play through. I would say this though, given Scott's comments around the scale of the commitments that we've made to our supply chain and the step-up that we've taken in that a long period of time ago. Our guidance of 11% to 13% growth this year on revenues. The order backlog that we've shared with you, what's absolutely crystal clear is that we're going to be taking market share this year and beyond.

因此，坦率地說，更重要的是，您能否提供比價格更高的東西。因此，它需要更長的時間才能完成。不過，鑑於斯科特對我們對供應鏈所做承諾的規模以及我們在很久以前採取的措施的評論，我會這麼說。我們對今年收入增長 11% 至 13% 的指導。我們與您分享的訂單積壓，絕對清楚的是，我們將在今年及以後佔據市場份額。

Your final question comes from the line of Samik Chatterjee with JPMorgan.

您的最後一個問題來自摩根大通的 Samik Chatterjee。

Just if I could start on gross margin and Jim, I just wanted to see if I could get some color on you now reiterating the gross margin guide for the full year, which is great to see. But can you maybe share any quantification of what the impact from the supply chain cost or higher supply chain costs will continue to be on -- for the fiscal year? And the second part to that quickly is, how should I think about the better software that you had, driving the better gross margin in F 1Q, how should we think about that carrying forward to the full year? I know, I understand it's a wide range, but is software now going to be doing better in terms of revenue for the full year than you imagined earlier because of the strong start? And does that flow through to the full year margins?

如果我可以從毛利率和吉姆開始，我只是想看看我是否可以對你有所了解，現在重申全年的毛利率指南，很高興看到。但是，您能否分享任何量化的供應鏈成本或更高供應鏈成本將繼續對本財年產生的影響？第二部分是，我應該如何考慮你擁有的更好的軟件，在第一季度推動更好的毛利率，我們應該如何考慮將其延續到全年？我知道，我知道範圍很廣，但是由於開局強勁，軟件現在在全年收入方面的表現是否會比您之前想像的要好？這會影響全年利潤嗎？

Yes. So I'm going to use some numbers here, and I think you ought to be really careful with these numbers because I have to in order to illustrate the point, right? The last time we've talked about our long-term gross margins before COVID, we centered them around 45% roughly.

是的。所以我將在這裡使用一些數字，我認為你應該非常小心這些數字，因為我必須這樣做才能說明這一點，對吧？上一次我們在 COVID 之前談論我們的長期毛利率時，我們大致將它們集中在 45% 左右。

That's what we centered our view of gross margins. We then went through a COVID period of time in which capacity was the most in-demand quantity. And so therefore, our gross margins did go up quite nicely to the high 40s. We said, though, that they were going to get back to the -- once we got through the COVID period of capacity adds and get back to a more balanced mix of line systems and commons and photonics and capacity that we would naturally get back toward that mid-40s range.

這就是我們對毛利率的看法的核心。然後，我們經歷了一段 COVID 時期，其中容量是最需要的數量。因此，我們的毛利率確實上升到了 40 年代的高位。不過，我們說過，一旦我們度過了容量增加的 COVID 時期，他們將恢復到更平衡的線路系統和公共資源以及光子學和容量的組合，我們自然會恢復到這種狀態40年代中期的範圍。

So where are we in all that? That's -- I think we're heading towards that period of time where we're back in that range. However, we guided this year to 43% to 46%. Again, just taking the midpoint of the range. That's 44.5%. So you could sort of quantify that the effect of the extra costs in our supply chain based on that difference. Now I would caution you to not make any absolute judgments about this, but that's sort of in the range of where we are. Now the other thing that always has an effect on our margin is mix. And we -- it's a mix of the type of products, stages of the various projects that we have with our customers, software, all those things do impact our gross margin, and it's hard to call. But I'd say this, we've been pleased with the fact that we've been able to maintain gross margins in this sort of unprecedented period of cost increases. And we expect over time that we'll get back to something more like the long-range number that we had projected earlier and perhaps, better.

那麼我們在哪裡呢？那是 - 我認為我們正在走向我們回到那個範圍的那個時期。但是，我們將今年引導至 43% 至 46%。同樣，只取範圍的中點。那是 44.5%。因此，您可以根據這種差異量化我們供應鏈中額外成本的影響。現在我要提醒你不要對此做出任何絕對的判斷，但這有點在我們所處的範圍內。現在，總是對我們的利潤產生影響的另一件事是混合。而且我們 - 它是產品類型的混合，我們與客戶、軟件的各種項目的階段，所有這些都會影響我們的毛利率，而且很難說。但我想說的是，我們很高興在這種前所未有的成本增加時期能夠保持毛利率。我們預計隨著時間的推移，我們會回到更接近於我們之前預測的長期數字，也許會更好。

And are you thinking software -- how is your expectation for software chase given the strong start?

您是否在考慮軟件——鑑於強勁的開端，您對軟件追逐的期望如何？

Well, we had an unusually high quarter in Q1, but software is part of our strategy. We've invested pretty heavily in our Blue Planet mix. We've also added a lot of capabilities on the platform side with MCP. I think we have an industry-leading management system, and so yes, that's definitely going to be a higher percentage of our revenue. We think it's going to be a higher percentage of our revenue going forward and that will help with gross margin.

嗯，我們在第一季度有一個異常高的季度，但軟件是我們戰略的一部分。我們在藍色星球組合上投入了大量資金。我們還通過 MCP 在平台方面添加了許多功能。我認為我們擁有行業領先的管理系統，所以是的，這肯定會占我們收入的更高比例。我們認為這將是我們未來收入的更高比例，這將有助於提高毛利率。

Thanks, Samik, and thanks, everyone. We appreciate it. Again, we expressed our care and concern for all the Ukrainian people and our hope for a peaceful future. We look forward to seeing everyone at OFC. Thank you.

謝謝，Samik，謝謝大家。我們很感激。我們再次表達了對所有烏克蘭人民的關心和關心，以及對和平未來的希望。我們期待在 OFC 見到大家。謝謝你。

Ladies and gentlemen, thank you for your participation. This concludes today's conference call. You may now disconnect.

女士們，先生們，感謝你們的參與。今天的電話會議到此結束。您現在可以斷開連接。