Cohu Inc (COHU) 2007 Q4 法說會逐字稿

Greetings and welcome to the Cohu, Inc. Fourth Quarter Fiscal Year 2007 Earnings Call. (Operator Instructions). As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, James Donahue, President and CEO of Cohu, Inc. Thank you, Mr. Donahue, you may begin.

您好，歡迎參加 Cohu, Inc. 2007 財年第四季財報電話會議。 （操作員說明）。提醒一下，本次會議正在錄製中。現在我很高興向您介紹主持人，Cohu, Inc. 總裁兼首席執行官 James Donahue。謝謝您，Donahue 先生，您可以開始了。

Good afternoon, everyone, and welcome to this conference call that will cover Cohu's results for the fourth quarter ended December 29, 2007. With me today is our CFO, Jeff Jones.

大家下午好，歡迎參加這次電話會議，會議將討論 Cohu 截至 2007 年 12 月 29 日的第四季度業績。今天和我在一起的是我們的首席財務官 Jeff Jones。

I hope you have a copy of our earnings release and have had an opportunity to review it. If you need a copy, you may obtain one either from our website, cohu.com, or by contacting Cohu Investor Relations at (858) 848-8106.

我希望您有我們的收益發布副本，並有機會對其進行審查。如果您需要一份副本，您可以從我們的網站 cohu.com 取得一份，或致電 (858) 848-8106 聯絡 Cohu 投資者關係部。

I'll provide an overview of our results for the quarter. Then Jeff will take us through the financial statements and I'll conclude with comments on operations and our view of the business environment. We'll then take your questions. But first Jeff has information concerning forward-looking statements, estimates, and other matters that we will discuss in today's call.

我將概述本季的業績。然後傑夫將帶我們瀏覽財務報表，最後我將評論營運情況以及我們對商業環境的看法。然後我們將回答您的問題。但首先，傑夫掌握了有關前瞻性陳述、估計和我們將在今天的電話會議中討論的其他事項的資訊。

Before we go on I must remind you that the Company's discussion this afternoon will include forward-looking statements reflecting management's current expectations concerning certain aspects of the Company's future business. These statements are based on current information that we have assessed but which by its nature is subject to rapid and even abrupt changes. Forward-looking statements include our comments regarding the Company's expectations regarding industry conditions and future operations and financial results, and any comments we make about the Company's future in response to your questions.

在我們繼續之前，我必須提醒您，公司今天下午的討論將包括反映管理層當前對公司未來業務某些方面的預期的前瞻性陳述。這些陳述是基於我們評估的當前訊息，但其性質可能會發生快速甚至突然的變化。前瞻性陳述包括我們對公司對行業狀況、未來營運和財務表現的預期的評論，以及我們在回答您的問題時對公司未來的任何評論。

Our comments speak only as of today, January 31, 2008, and the Company assumes no obligation to update these comments. The Company's actual results may differ materially from those stated or implied by our forward-looking statements due to risks and uncertainties associated with the Company's business which include but are not limited to, the concentration of our revenues from a limited number of customers, our ability to convert new products under development into production on a timely basis, support product development and meet customer delivery and acceptance requirements for next generation equipment, failure to obtain customer acceptance resulting in the inability to recognize revenue and accounts receivable collection problems, inventory write-offs, intense competition in the semiconductor test handler industry, our reliance on patents and intellectual property, compliance with U.S. export regulations, the cyclical and unpredictable nature of capital expenditures by semiconductor manufacturers, difficulties in integrating acquisitions and new technologies, and other risks addressed in Cohu's filings with the Securities and Exchange Commission including our most recently filed Form 10-K and Form 10-Q.

我們的評論僅代表今天（2008 年 1 月 31 日），本公司不承擔更新這些評論的義務。由於與公司業務相關的風險和不確定性，公司的實際結果可能與我們的前瞻性陳述中明示或暗示的結果有重大差異，這些風險和不確定性包括但不限於我們的收入集中於有限數量的客戶、我們的能力將正在開發的新產品及時轉化為生產，支援產品開發並滿足客戶對下一代設備的交付和驗收要求，未能獲得客戶驗收導致無法確認收入和應收帳款催收問題，庫存核銷、半導體測試處理器產業的激烈競爭、我們對專利和智慧財產權的依賴、對美國出口法規的遵守、半導體製造商資本支出的周期性和不可預測性、整合收購和新技術的困難以及Cohu 中提到的其他風險向美國證券交易委員會提交的文件，包括我們最近提交的 10-K 表格和 10-Q 表格。

We assume no obligation to update any of the information shared on this conference call. Further, our comments and responses to any questions will not make reference to any specific customers as we are precluded from disclosing such information by our non-disclosure agreements.

我們不承擔更新本次電話會議中共享的任何資訊的義務。此外，我們對任何問題的評論和答覆不會提及任何特定客戶，因為我們的保密協議不允許我們披露此類資訊。

Thanks, Jeff. Cohu's fourth quarter sales were $57.1 million, with semiconductor equipment accounting for 81% of the total. Net income was $2 million or $0.09 per share and this was above our internal estimates due to better than expected operating results at each of our businesses. Cohu's orders were $50.6 million in the fourth compared to $54.9 million in the third quarter. Orders in our semiconductor equipment business were about the same as in the third quarter and this actually is encouraging in view of current weak condition in the backend semiconductor equipment industry. Backlog at the end of the year was $59.5 million.

謝謝，傑夫。 Cohu第四季銷售額為5,710萬美元，其中半導體設備佔總銷售額的81%。淨利潤為 200 萬美元，即每股 0.09 美元，這高於我們的內部估計，因為我們每項業務的經營業績都比預期好。 Cohu第四季的訂單量為5,060萬美元，而第三季的訂單量為5,490萬美元。我們的半導體設備業務的訂單與第三季大致相同，鑑於目前後端半導體設備行業的疲軟狀況，這實際上是令人鼓舞的。年底積壓訂單為 5,950 萬美元。

Unit order breakdown for semiconductor equipment in the fourth quarter was as follows. High speed handlers 13%, thermal handlers 21%, thermal subsystems 64% and other systems 2%.

第四季半導體設備的單位訂單明細如下。高速處理器 13%，熱處理器 21%，熱子系統 64%，其他系統 2%。

Thermal subsystems represented a higher percentage than we would normally expect due to low unit orders for test handlers during the quarter. We are particularly pleased with the important contributions that thermal subsystems made to Cohu's sales in 2007. This business is the result of our 2006 asset purchase from Unisys and grew rapidly as we introduced product performance improvements that incorporate our proprietary thermal technology.

由於本季測試處理程序的單位訂單較低，熱子系統的百分比高於我們通常的預期。我們對熱子系統在2007 年對Cohu 銷售額做出的重要貢獻感到特別滿意。該業務是我們2006 年從Unisys 購買資產的結果，隨著我們推出採用了我們專有熱技術的產品性能改進，該業務迅速成長。

For all of 2007, sales were $241.4 million, a decrease of 11% from $270.1 million in 2006. Net income in 2007 was $8 million or $0.34 per chare compared to $17.7 million or $0.77 per share in 2006. Net income in 2006 benefited from a $3 million gain on the sale of our Littleton, Massachusetts facility.

2007 年全年銷售額為2.414 億美元，比2006 年的2.701 億美元下降了11%。2007 年的淨利潤為800 萬美元，即每股0.34 美元，而2006 年為1,770 萬美元，即每股0.77 美元。2006 年的淨利潤受益於出售馬薩諸塞州利特爾頓工廠獲得 300 萬美元收益。

Cohu's 2007 results reflect weak conditions in backend semiconductor equipment that deepened during the second half of the year. Semi's book to bill ratio for backend equipment has been below parody since last August. While business conditions were difficult in 2007, Cohu made important progress throughout the year that sets the stage for our continued growth.

Cohu 2007年的業績反映出後端半導體設備的疲軟狀況在下半年進一步惡化。自去年八月以來，Semi 後端設備的訂單出貨比一直低於模仿水準。儘管 2007 年的經營狀況很困難，但 Cohu 在這一年中取得了重要進展，為我們的持續成長奠定了基礎。

We were selected over a competitor to develop the next generation thermal handler for one of our largest customers, a leading microprocessor device manufacturer. Additionally, we received the first orders from a large graphics IC manufacturer for summit thermal handlers for use at their Asian test subcontractor's production facility. These orders follow more than a year of evaluation and analysis which demonstrated the benefits of our thermal technology.

我們從競爭對手中脫穎而出，被選中為我們最大的客戶之一（領先的微處理器設備製造商）開發下一代熱處理器。此外，我們還收到了一家大型圖形 IC 製造商的第一批訂單，要求在其亞洲測試分包商的生產設施中使用峰會熱處理器。這些訂單經過了一年多的評估和分析，證明了我們熱技術的優勢。

Whether testing microprocessors or high speed graphics chips, our proprietary thermal technology enables IC manufacturers to successfully test at the optimum speed thereby maximizing device ASPs and directly and positively impacting their profitability. It's for this reason that our thermal test handlers are plan of record tools for the largest producers of microprocessors and at a number of other high speed, high power IC manufacturers.

無論是測試微處理器還是高速圖形晶片，我們專有的熱技術使IC 製造商能夠以最佳速度成功進行測試，從而最大限度地提高設備平均售價，並直接、積極地影響他們的盈利能力。正是由於這個原因，我們的熱測試處理器成為最大的微處理器生產商和許多其他高速、高功率 IC 製造商的記錄工具計劃。

In the high speed handler segment of our business, we neared completion of a new system aligned with the growing need for short index time, highly parallel test applications. Increasing use of new, highly efficient logic and system on chip testers that make it cost effective to test at higher levels of parallelism creates a requirement for a new generation of handlers that can take advantage of the potential, significant increases in productivity that these testers can deliver. But without the right handler, the tester is constrained.

在我們業務的高速處理程序部分，我們即將完成一個新系統，以滿足對短索引時間、高度並行測試應用程式日益增長的需求。越來越多地使用新型高效邏輯和系統單晶片測試儀，使得在更高並行性水平上進行測試具有成本效益，這就產生了對新一代處理程序的需求，這些處理程序可以利用這些測試儀可以顯著提高生產率的潛力。遞送。但如果沒有合適的處理程序，測試人員就會受到限制。

Our new high speed handler is designed to test up to 32 devices at a time and deliver high throughput in short test time applications. In December, our system was selected by a major U.S. based integrated device manufacturer following an evaluation against a competitor's new product. Also in the fourth quarter, a leading U.S. IDM designated our tri-temperature castle high speed handler as plan of record for full temperature testing. To improve responsiveness to our customers and to capitalize on favorable labor rates, in the fourth quarter we began an expansion of our handler tooling manufacturing operation in the Philippines. When complete in the second quarter of this year, our capacity at that facility will be increased by 50%.

我們的新型高速處理程序旨在一次測試多達 32 個設備，並在測試時間短的應用中提供高吞吐量。 12 月，在與競爭對手的新產品進行評估後，美國一家主要整合設備製造商選擇了我們的系統。同樣在第四季度，一家領先的美國 IDM 指定我們的三溫城堡高速處理機作為全溫度測試的記錄計劃。為了提高對客戶的回應能力並利用有利的勞動力價格，我們在第四季度開始擴大在菲律賓的裝卸工具製造業務。今年第二季完工後，我們該設施的產能將增加 50%。

In our mobile microwave communications business, the March 2007 purchase of the Tandberg ABS business in Germany added critical mass, high definition products, and a strong presence in the European market. And now Jeff will provide details on Cohu's financial performance.

在我們的行動微波通訊業務中，2007 年 3 月收購了德國 Tandberg ABS 業務，增加了臨界質量、高清產品以及在歐洲市場的強大影響力。現在 Jeff 將提供有關 Cohu 財務表現的詳細資訊。

Semiconductor equipment related revenues for the fourth quarter of 2007 were approximately 82% international and 18% domestic. International sales were distributed 94% Asia Pacific, 4% the Americas, and 2% other. We recorded approximately $900,000 of FASB 123(R) stock based compensation expense in Q4. The comments I make regarding operating expenses include the impact of FASB 123(R).

2007年第四季半導體設備相關收入約82%來自國際，18%來自國內。國際銷售額94%分佈在亞太地區，4%分佈在美洲，2%分佈在其他地區。我們在第四季度記錄了大約 90 萬美元的 FASB 123(R) 股票補償費用。我對營運費用的評論包括 FASB 123(R) 的影響。

Gross margin in Q4 was 33.7% versus 32% in Q3. Our Q4 gross margin was in line with our projection and was higher than Q3 gross margin as a result of improved product mix within our semiconductor equipment business. We expect our gross margin in Q1 to be about the same as Q4.

第四季的毛利率為 33.7%，而第三季為 32%。由於半導體設備業務的產品組合得到改善，我們第四季的毛利率與我們的預測一致，並且高於第三季的毛利率。我們預計第一季的毛利率與第四季大致相同。

R&D expense was $9 million in Q4 compared to $9.6 million in Q3. R&D expense was lower than we had forecast due to lower engineering labor expenses. We expect Q1 R&D expense to be slightly higher than Q4. SG&A expense was $8.8 million in Q4 compared to $9.9 million in Q3. SG&A expense was lower than we had forecast due to lower selling expenses within our semiconductor equipment business. We expect SG&A expense in Q1 to be slightly higher than Q4. Interest income was $2.1 million in both Q4 and Q3.

第四季的研發費用為 900 萬美元，而第三季的研發費用為 960 萬美元。由於工程勞動力費用下降，研發費用低於我們的預期。我們預計第一季研發費用將略高於第四季。第四季的 SG&A 費用為 880 萬美元，而第三季為 990 萬美元。由於我們的半導體設備業務的銷售費用較低，SG&A 費用低於我們的預期。我們預計第一季的銷售及管理費用將略高於第四季。第四季和第三季的利息收入均為 210 萬美元。

Our effective tax rate was 42.6% in Q4 resulting in a full year 2007 effective tax rate of 36.8% versus 34.6% for the nine months ended September, 2007. The increase in the 2007 effective tax rate is due to higher than projected pre-tax income and slightly lower benefit from R&D tax credits. The federal R&D tax credit expired on December 31, 2007 and it's uncertain as to when, or if, it will be extended. Without any benefit from the federal R&D tax credits, we expect our effective tax rate for 2008 to be approximately 37% but the actual rate may vary and is highly sensitive to our pre-tax earning levels.

我們第四季的有效稅率為42.6%，導致2007 年全年有效稅率為36.8%，而截至2007 年9 月的九個月為34.6%。2007 年有效稅率的增加是由於高於預期的稅前稅率。收入和研發稅收抵免的收益略低。聯邦研發稅收抵免已於 2007 年 12 月 31 日到期，目前還不確定何時或是否會延長。在沒有從聯邦研發稅收抵免中獲益的情況下，我們預計 2008 年的有效稅率約為 37%，但實際稅率可能會有所不同，並且對我們的稅前收入水平高度敏感。

Net income per share in the third quarter was computed based on 23.2 million weighted average shares and share equivalents from stock options and RSUs.

第三季每股淨利是根據2320萬股加權平均股以及股票選擇權和RSU的股票等價物計算的。

Moving to the balance sheet, cash and investments were $170.1 million at December, increasing approximately $13.9 million from September due to Q4 earnings and changes in working capital. Net accounts receivable were $45.5 million at December compared to $47.6 million at September and represented about 72 days sales outstanding. The decrease in accounts receivable was due to lower shipments in November and December compared to August and September and cash collections in Q4 compared to Q3.

轉向資產負債表，由於第四季度的盈利和營運資金的變化，12 月份的現金和投資為 1.701 億美元，較 9 月份增加約 1,390 萬美元。 12 月應收帳款淨額為 4,550 萬美元，而 9 月為 4,760 萬美元，相當於約 72 天的未清銷售額。應收帳款減少的原因是 11 月和 12 月的出貨量較 8 月和 9 月減少，以及第四季的現金回收量較第三季減少。

Inventory decreased $1.6 million from September and was due to the decrease in our order backlog and inventory reduction initiatives. Additions to property, plant and equipment for fiscal 2007 were approximately $5.2 million and depreciation and amortization was approximately $7.4 million. Deferred profit at December was $4.9 million compared to $4.6 million at September. Deferred profit relates to deferrals pursuant to SAB 104, primarily on delta test handlers and thermal subsystems and BMS products. Our deferred revenue at December, 2007 was approximately $9.2 million.

庫存比 9 月減少了 160 萬美元，這是由於我們積壓訂單的減少和庫存減少措施所致。 2007 財年新增的不動產、廠房及設備約 520 萬美元，折舊和攤提約 740 萬美元。 12 月的遞延利潤為 490 萬美元，而 9 月的遞延利潤為 460 萬美元。遞延利潤與 SAB 104 規定的遞延相關，主要涉及 Delta 測試處理程序、熱子系統和 BMS 產品。 2007 年 12 月我們的遞延收入約為 920 萬美元。

Thanks, Jeff. As we all know, the current macro economic backdrop is unfavorable. Conditions in the backend semiconductor equipment industry are no better and we expect customers to remain cautious with capital equipment purchases over the near term. At least through the first quarter, we do not foresee any change in the limited visibility that most customers are providing as to their requirements.

謝謝，傑夫。眾所周知，當前宏觀經濟情勢不利。後端半導體設備產業的狀況也沒有好轉，我們預期客戶在短期內對資本設備採購保持謹慎。至少在第一季度，我們預計大多數客戶對其需求提供的有限可見度不會發生任何變化。

For the first quarter we expect Cohu sales to be between $52 and $57 million. Cohu's Board of Directors approved a quarterly cash dividend of $0.06 per share payable on April 25, 2008 to shareholders of record on March 11, 2008. Cohu has paid consecutive quarterly cash dividends since 1977. And Manny, we will now be happy to take questions.

我們預計 Cohu 第一季的銷售額將在 5,200 至 5,700 萬美元之間。 Cohu 董事會批准了每股0.06 美元的季度現金股息，將於2008 年4 月25 日支付給2008 年3 月11 日登記在冊的股東。自1977 年以來，Cohu 已連續支付季度現金股息。曼尼，我們現在很樂意回答問題。

(Operator Instructions). Our first question comes from Michael [Trotsky] with Par Capital Management. Please proceed with your question.

（操作員說明）。我們的第一個問題來自 Par Capital Management 的邁克爾 [托洛茨基]。請繼續你的問題。

Hi. Just a couple of questions. Can you talk about what you think the utilization rates are in backend equipment at your major customer base? And how it compares to a year ago? And then secondly, is there any potential tax rate benefit from the ramp in the Philippines assembly plant?

你好。只是幾個問題。您能否談談您認為主要客戶群後端設備的使用率是多少？與一年前相比如何？其次，菲律賓組裝廠的擴建是否有任何潛在的稅率優勢？

Hi, Michael. As far as utilization, you know we really are in two quite distinct markets, the microprocessor market and then the general purpose logic market. And in the high speed, excuse me, in the microprocessor market, I think utilization rates are high in the 85 to 90% range. And that's looking at the two major players in that market on a combined basis. And I would say that's comparable within a few points of where it was about a year ago.

嗨，邁克爾。就利用率而言，您知道我們確實處於兩個截然不同的市場，即微處理器市場和通用邏輯市場。對不起，在高速微處理器市場中，我認為利用率很高，在 85% 到 90% 的範圍內。這是在綜合的基礎上考察該市場的兩個主要參與者。我想說，這與大約一年前的情況相差不大。

In the high speed handler market, the general purpose market, it's our perception that utilization rates are somewhat lower, maybe in the mid 80s. And your second question had to do with potential tax benefits in the Philippines and I'll ask Jeff to address that.

在高速處理機市場，也就是通用市場，我們認為利用率稍低，可能在 80 年代中期。你的第二個問題與菲律賓潛在的稅收優惠有關，我將請傑夫解決這個問題。

Yeah, we're going to see limited benefits from that in the Philippines as the tax holiday there expires in 2007. We're working to have it extended at the moment but we haven't modeled any benefits for the extension at this time.

是的，隨著菲律賓的免稅期將於 2007 年到期，我們將從中看到的好處有限。我們目前正在努力延長免稅期，但目前我們還沒有為延期提供任何好處。

Okay. And then I thought of another question if -- but I'll get back in queue.

好的。然後我想到了另一個問題，如果——但我會回到隊列中。

(Operator Instructions) We have a follow up question from Michael Trotsky.

（操作員說明）我們有來自邁克爾·托洛茨基的後續問題。

Wow, that was quick.

哇，太快了。

You're back on it.

你又回來了。

So you eluded to being selected for the next generation thermal handler by a major customer. Can you give any more details into the design cycle, testing, product launch? Any details on that?

因此，您未能被大客戶選為下一代熱處理器。您能否提供有關設計週期、測試、產品發布的更多詳細資訊？有這方面的詳細資訊嗎？

We are in the midst of product development with a large engineering team developing the product. The development will continue through this year. We would expect to be making our first production shipments of this system next year. Mid year approximately.

我們正處於產品開發階段，有一個龐大的工程團隊正在開發產品。這一發展將持續到今年。我們預計明年將首次生產該系統。大約年中。

Okay. And the high speed system development that you eluded to that can do high parallelism, and has been selected by a major -- that's a brand new product that's competing well with the competitors out there? When was that launched and where do you view its ramp?

好的。你們所迴避的高速系統開發可以實現高並行性，並已被一家專業公司選中——這是一個與競爭對手競爭激烈的全新產品？它是什麼時候推出的？您在哪裡可以看到它的坡道？

Well we actually have not officially launched that product. It's development is nearing completion. I would say we're in the top of the eighth inning, maybe something like that, with regard to the completion of the product. So this evaluation at the major U.S. IDM was really with a product that wasn't yet fully developed. We were in there because they, their product development timeline requires them to be looking at equipment that can play into this high parallel, short index time application. So we went in, we competed against our competitors' new product, and we won. And we would expect to be making our first shipments of that machine in the second quarter, probably late second quarter.

嗯，我們實際上還沒有正式推出該產品。它的開發已接近完成。我想說，就產品的完成而言，我們正處於第八局的頂部，也許是類似的情況。所以美國主要IDM的這次評估其實是針對尚未完全開發的產品。我們在那裡是因為他們的產品開發時間表要求他們尋找可以發揮這種高並行、短索引時間應用程式的設備。所以我們進去，與競爭對手的新產品競爭，然後我們贏了。我們預計將在第二季（可能是第二季末）首次出貨該機器。

That's good news. Is this particular product applicable to other markets and other customers and do you think it will also compete well?

那是好消息。這個特定的產品是否適用於其他市場和其他客戶，您認為它也能很好地競爭嗎？

Oh, absolutely. It's -- It will augment our existing product line which is today anchored by our edge test handler. This new machine is tri-temperature, higher parallelism, faster, and also incorporates vision technology. Whereas our edge today is an ambient hot machine. We have expanded the parallel test capability up to higher levels, but the matrix will, our new product, will take this performance in this area to a completely new level.

哦，絕對是。它將增強我們現有的產品線，目前由我們的邊緣測試處理程序支撐。這款新機器是三溫的，並行度更高，速度更快，也融入了視覺技術。而今天我們的邊緣是一台環境熱機器。我們已經將並行測試能力擴展到了更高的水平，但是我們的新產品矩陣將把這方面的性能提升到一個全新的水平。

Okay. And then you mentioned the $0.06 dividend, but as I sit here and look at the cash balance of $170 million, your stock is trading at roughly two times cash which is quite reasonable. Have you thought about any other possible uses of the growing cash balance?

好的。然後你提到了 0.06 美元的股息，但當我坐在這裡查看 1.7 億美元的現金餘額時，你的股票交易價格大約是現金的兩倍，這是相當合理的。您是否考慮過不斷增長的現金餘額的任何其他可能用途？

Yes, absolutely. And our preferred use for the cash is an acquisition. An acquisition of a company that is synergistic with our current key major business, that is semiconductor backend equipment, material handling, electromechanical intensive, backend capital equipment. We certainly don't think that using our stock at this time, for the reason you've stated, is a good way to fund an acquisition. Having said that, we have talked about stock repurchase with our board and at the appropriate time, if we don't find a suitable acquisition, that is something we would consider.

是的，一點沒錯。我們首選的現金用途是收購。收購與我們目前主要業務具有協同效應的公司，即半導體後端設備、物料搬運、機電密集、後端資本設備。基於您所說的原因，我們當然不認為此時使用我們的股票是為收購提供資金的好方法。話雖如此，我們已經與董事會討論了股票回購的問題，在適當的時候，如果我們找不到合適的收購，我們會考慮。

I'll get back in line.

我會回去排隊。

(Operator Instructions) Our next question comes from Michael Trotsky.

（操作員說明）我們的下一個問題來自邁克爾·托洛茨基。

Well I can keep going.

好吧，我可以繼續前進。

You've got our full attention, Michael.

我們全神貫注於你，麥可。

As you know, I can keep going. But it kind of begs the question, what is a suitable acquisition in your mind in financial terms, not so much in what kind of company.

如你所知，我可以繼續前進。但這迴避了一個問題，從財務角度來看，你心目中合適的收購是什麼，而不是什麼樣的公司。

Well in terms of size, we would like it to be significant enough that it has the ability to impact our current financial performance. So we've made, over the last several years, a number of smaller technology type acquisitions that have actually been quite successful and contributed importantly to our revenue growth in the thermal handler area in particular. But none of them brought significant new products in the form that contributed direct revenue from the addition of those products to our portfolio. We'd be looking for an acquisition of a complementary product or products lines that had the potential to impact our financial results in a material and positive way. From the standpoint of what are the acquisition criteria, we would not be inclined to do an acquisition that was dilutive even in the short term.

就規模而言，我們希望它足夠重要，能夠影響我們當前的財務表現。因此，在過去的幾年裡，我們進行了許多規模較小的技術類型收購，這些收購實際上非常成功，尤其對我們在熱處理領域的營收成長做出了重要貢獻。但他們都沒有帶來重要的新產品，從而透過將這些產品添加到我們的產品組合中來直接貢獻收入。我們正在尋求收購有可能對我們的財務表現產生實質和正面影響的互補產品或產品線。從收購標準來看，我們不會傾向進行短期內稀釋性的收購。

Okay, and as you look at potential companies, is there anything on your radar currently? Or is this just sort of always evaluating mode?

好的，當您查看潛在公司時，您目前關注的內容有什麼嗎？或者這只是一種總是評估的模式？

Well we're always looking at acquisitions and we do it in a structured way. If there were a specific company that we were looking at, I wouldn't be able to comment on it anyway, so all I can tell you is that we look at acquisitions in a structured way. We're not strictly awaiting inbound inquiries and dealing with them opportunistically. It's a process.

我們一直在考慮收購，並且以結構化的方式進行。如果我們正在考慮一家特定的公司，我無論如何都無法對其發表評論，所以我只能告訴你，我們以結構化的方式看待收購。我們並沒有嚴格等待入站詢問並伺機處理它們。這是一個過程。

Okay, and my last question, I promise, is just a review of the other businesses, the non semiconductor businesses. How are they doing, how critical to your future are they and what are you plans?

好吧，我保證，我的最後一個問題只是對其他業務（非半導體業務）的回顧。他們怎麼樣？他們對你的未來有多重要？你有什麼計畫？

Well we weren't happy with the results from either of those businesses in 2007. The camera business was down slightly from a sales standpoint and contributed an operating loss. Its prospects for 2008, however, look to be improved and we expect it to be a positive contributor in 2008. The microwave communications business I think is in a position to be a very, to be a solid contributor going forward. It had a disappointing year from a profitability standpoint for a variety of reasons, but we think that business has good prospects and we look for it to be a solid contributor in 2008.

我們對 2007 年這兩項業務的業績都不滿意。從銷售角度來看，相機業務略有下降，並造成了營運虧損。然而，它 2008 年的前景看起來會有所改善，我們預計它將在 2008 年做出積極的貢獻。我認為微波通訊業務有能力成為未來的一個非常、堅實的貢獻者。由於多種原因，從獲利角度來看，2008 年是令人失望的一年，但我們認為該業務前景良好，並希望它能在 2008 年做出堅實的貢獻。

(Operator Instructions). Mr. Donahue, there are no questions at this time.

（操作員說明）。多納休先生，目前沒有問題。

Okay. Thank you, everyone, for attending today's conference call and well look forward to speaking with you again in April when we will be covering Cohu's results for the first quarter of 2008. Thank you and good day.

好的。謝謝大家參加今天的電話會議，我們期待在 4 月份再次與大家交談，屆時我們將報道 Cohu 2008 年第一季的業績。謝謝大家，美好的一天。

Ladies and gentlemen, this concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

女士們、先生們，今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與。