Cepton Inc (CPTN) 2023 Q4 法說會逐字稿

Greetings and welcome to the Q4 and full year 2023 Satcom Business Update and Earnings Call. At this time, all participants are in a listen only mode. A brief question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Dennis Chong, Interim CFO. Thank you, Denis.

歡迎參加 2023 年第四季和全年衛星通訊業務更新和財報電話會議。此時，所有參與者都處於只聽模式。正式演講後將舉行簡短的問答環節。如果有人在會議期間需要接線員協助，請按下電話鍵盤上的星號零。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，臨時財務長 Dennis Chong。謝謝你，丹尼斯。

You may begin.

你可以開始了。

Thank you, and welcome to subtitles Fourth Quarter and Full Year 2023 earnings call and business update. With me today are Jim, a Co-Founder and Chief Executive Officer, and Mitch 14, Chief Commercial Officer.

謝謝，歡迎收聽 2023 年第四季和全年財報電話會議和業務更新的字幕。今天和我在一起的有聯合創始人兼首席執行官 Jim 和首席商務官 Mitch 14。

During the call, we may refer to our unaudited GAAP and non-GAAP measures in our earnings release. The non-GAAP financial measures should not be considered as a substitute for or superior to the measures of financial performance prepared in accordance with U.S. GAAP. Reconciliations for non-GAAP measures are included in our earnings release.

在電話會議期間，我們可能會在收益發布中提及未經審計的 GAAP 和非 GAAP 衡量標準。非公認會計準則財務指標不應被視為替代或優於根據美國準則制定的財務績效指標。公認會計準則。非公認會計原則措施的調節包含在我們的收益發布中。

I would like to remind everyone that comments made in this conference call may include forward-looking statements regarding the Company's expected operational and financial performance for future periods. These statements are based on the Company's current expectations and are subject to the Safe Harbor statements relating to forward-looking statements contained in our earnings release and the presentation slides.

我想提醒大家，本次電話會議中的評論可能包括有關公司未來時期預期營運和財務表現的前瞻性陳述。這些聲明是基於公司目前的預期，並受與我們的收益發布和簡報幻燈片中包含的前瞻性聲明相關的安全港聲明的約束。

So I conclude this call. Actual results for future periods may differ materially from those expressed or implied by these forward-looking statements due to a number of risks, uncertainties or other factors, including those discussed in the earnings release or during today's call, and those described in our filings with the US Securities and Exchange Commission. We are not undertaking any commitment to update these statements as a result of future events except as required by law.

所以我結束這通通話。由於許多風險、不確定性或其他因素，包括收益報告中或今天電話會議中討論的因素，以及我們向公司提交的文件中描述的因素，未來時期的實際結果可能與這些前瞻性陳述中明示或暗示的結果存在重大差異。美國證券交易委員會。除法律要求外，我們不承諾因未來事件而更新這些聲明。

As a quick reminder, this call is being recorded and you can find the earnings release and presentation slides that accompany this call as well as the webcast replay of this call at w. w. w. dot investors dot gladstone.com.

快速提醒一下，本次電話會議正在錄音，您可以在 w 找到本次電話會議附帶的收益發布和演示幻燈片以及本次電話會議的網絡廣播重播。 w。 w。點投資者點gladstone.com。

Now I would like to turn the call over to Jim.

現在我想把電話轉給吉姆。

Thank you, Dennis, and good afternoon, everyone. Thank you for joining SAP council Fourth Quarter and Full Year 2023 earnings call. We will provide a business update and review our financial results with you. There's quite a bit of news. So within the industry these past few months and specifically regarding set-top first, I'd like to congratulate our team on exceeding our FY 23 revenue guidance with a record 13.1 million in recorded revenue and are preparing us for growth with the launch of our new light, our product set on Ultra at CES. 2024. These are two major accomplishments that keeps us at the forefront of this industry.

謝謝丹尼斯，大家下午好。感謝您參加 SAP 理事會 2023 年第四季和全年財報電話會議。我們將提供業務更新並與您一起審查我們的財務業績。訊息還蠻多的因此，在過去幾個月的行業內，特別是機上盒優先方面，我要祝賀我們的團隊超過了23 財年的收入指導，記錄收入達到創紀錄的1310 萬美元，並正在為我們的增長做好準備，推出我們的new light，我們的產品在 CES 上亮相 Ultra。2024 年。這是兩項重大成就，使我們始終處於該行業的前沿。

First, on our latest long-range LiDAR product that are ultra demonstrated at CES 2024 separate Ultra or ultra represents a pinnacle in light, our technology posting a remarkable long detection range of up to 300 meters at 10%, reflective of the Ultra resolution with software, definable regions of interest and the distinction of being the world's slimmest adaptive long-range LiDAR. This design enables seamless integration into various vehicle locations, maintaining aesthetic appeal and reducing aerodynamic impact at its core stepped on Ultra leverages our next-generation imaging technology, Magna Steyr, alongside all with a proprietary chipset SOC to significantly enhance point cloud quality while minimizing cost footprint and power consumption. This strategic plan of advanced features is designed to deliver an optimal balance of performance cost and reliability making Ultra not just a technological marvel, but also a viable solution for mass market adoption across automotive, smart infrastructure and various other applications.

首先，我們在CES 2024 上展示的最新遠程LiDAR 產品中，單獨的Ultra 或ultra 代表了光的頂峰，我們的技術在10% 時實現了長達300 米的非凡長距離檢測範圍，反映了Ultra 分辨率軟體、可定義的興趣區域以及世界上最薄的自適應遠程雷射雷達的獨特之處。這種設計能夠無縫整合到不同的車輛位置，保持美觀並減少空氣動力學影響，其核心是Ultra 利用我們的下一代成像技術Magna Steyr 以及專有的晶片組SOC，顯著提高點雲質量，同時最大限度地降低成本佔地面積和功耗。這項先進功能策略計畫旨在實現性能成本和可靠性之間的最佳平衡，使 Ultra 不僅是一個技術奇蹟，而且還是汽車、智慧基礎設施和各種其他應用的大眾市場採用的可行解決方案。

Moving on to a piece of industry news that creates significant opportunity and competitive edge for Sarepta in a significant development that has considerable implications are for the global light, our industry, a prominent Chinese lidar company on January 25th, 2024 was added to the 1268 list of Chinese military companies by the U.S. government. This designation, which highlights entities believed to be affiliated with the Chinese military and defense sectors. It under scored the complexities and risks associated with American business, engaging in partnerships or transactions with firms listed under such a category. This development has prompted many U.S. corporations to reassess their supply chain strategies and partnerships aiming to mitigate risks associated with compliance, geopolitical tensions and national security concerns. We believe this event is a significant opportunity and a catalyst for growth for our company as stakeholders and partners in the industry seek alternatives to navigate away from the potential risks posed by sourcing from entities on a 1268 list. Samsung as a US company has emerged as a viable and secure partner and a supplier for LiDAR. This shift not only highlights our commitment to adhering to international regulations and safeguarding our operations from geopolitical uncertainties, but also reinforces our position as a trusted leader in the LiDAR technology sector, our competitive advantage to offer reliable light our supply amidst these challenging times has further solidified our market presence and opens new avenues for growth and collaboration.

接下來是一則行業新聞，該新聞為Sarepta 創造了重大機會和競爭優勢，這是一項對全球照明具有重大影響的重大發展，我們的行業，一家著名的中國激光雷達公司於2024 年1 月25 日被添加到1268 名單中美國政府對中國軍工企業的製裁。這個名稱突顯了據信與中國軍事和國防部門有關聯的實體。它低估了與美國企業、與此類企業建立合作夥伴關係或進行交易相關的複雜性和風險。這一事態發展促使許多美國企業重新評估其供應鏈戰略和合作夥伴關係，以減輕與合規性、地緣政治緊張局勢和國家安全擔憂相關的風險。我們相信，這項活動對我們公司來說是一個重要的機會和成長的催化劑，因為行業內的利益相關者和合作夥伴正在尋求替代方案，以避免從1268 名單上的實體採購所帶來的潛在風險。三星作為一家美國公司，已成為可行且安全的合作夥伴和光達供應商。這一轉變不僅凸顯了我們對遵守國際法規和保護我們的營運免受地緣政治不確定性影響的承諾，而且還鞏固了我們作為雷射雷達技術領域值得信賴的領導者的地位，我們在這個充滿挑戰的時代提供可靠照明的競爭優勢進一步增強。鞏固了我們的市場地位，並開闢了新的成長和合作途徑。

Lastly, I want to briefly touch upon some recent news on the GM series production cancellation and a letter of indication from our Tier one partner and shareholder of Coleto manufacturing, which were both disclosed in more details in our Form eight K on December 11th, 2023, Coleto informed us that the original equipment manufacturer that awarded Coleto the series production award has decided to rescope his eight U.S. product offerings. And as a result, all outstanding purchase orders from cohort to the Company that relate to the series production award had been canceled. As is customary when an automotive program changes, top-down initiated actions to secure product investment cost recovery related to any delay or cancellation of an existing project.

最後，我想簡單談談有關GM 系列生產取消的一些最新消息以及我們的一級合作夥伴和Coleto 製造股東的指示信，這些資訊均在我們於2023 年12 月11 日的8 K 表格中進行了更詳細的披露。 ，Coleto 告訴我們，授予 Coleto 系列生產獎的原始設備製造商已決定重新調整其八種美國產品的範圍。因此，公司所有與系列製作獎相關的未完成採購訂單均被取消。按照慣例，當汽車專案發生變化時，自上而下會採取行動，以確保與現有專案的任何延遲或取消相關的產品投資成本回收。

On December 21st, 2023, we announced that we have received a nonbinding proposal from Coleto to acquire 100% of the outstanding shares of Satcom not currently owned by Coleto shutdowns. Board of Directors via a special committee is currently evaluating the indication of interest among other strategic options with assistance from financial and legal advisers. No assurance can be given that a definitive transaction with respect to Coleto indication of interest or any other potential transaction will eventually be consummated. As we have discussed in prior quarters, we are continuing to build our business and delivered yet another record-setting quarter for revenue. Stepdown remains steadfast in pursuing opportunities in automotive and remains in good position to win additional series production award with sourcing decision on the horizon.

2023 年 12 月 21 日，我們宣布已收到 Coleto 的非約束性提案，擬收購目前不屬於 Coleto 停業所擁有的 Satcom 100% 已發行股份。董事會目前正在透過一個特別委員會在財務和法律顧問的協助下評估其他策略選擇的興趣。無法保證有關 Coleto 的意圖或任何其他潛在交易的最終交易最終會完成。正如我們在前幾個季度所討論的那樣，我們正在繼續發展我們的業務，並創造了另一個創紀錄的季度收入。Stepdown 仍然堅定地尋求汽車領域的機會，並且憑藉即將做出的採購決策，仍然有能力贏得額外的系列生產獎。

With that, I'll turn it over to Mitch for details on our efforts with customer program.

這樣，我會將其轉交給米奇，以了解我們在客戶計劃方面所做的努力的詳細資訊。

Thank you, June. Since our last earnings call that Don has received a dramatic increase of attention from the automotive industry in part due to the macro events against Chinese lidar companies mentioned previously, but more importantly, the launch and demonstration of our new ULTRA product. Specifically, we have made significant strides with a top 10 global automotive OEM previously mentioned as one of the industry's top open RFQs. Our recent demonstrations of the B samples of our Ultra product have been a game changer in advancing this particular automotive RFQ as well as accelerating discussions with other top automotive OEMs. Furthermore, our in-depth collaboration with Guido as an automotive supplier, Titan has become one of the top driving factors for automotive OEMs to consider the subcon Coleto solution over other competing solutions.

謝謝你，六月。自從我們上次財報電話會議以來，Don 受到汽車行業的關注急劇增加，部分原因是前面提到的針對中國雷射雷達公司的宏觀事件，但更重要的是我們新 ULTRA 產品的推出和演示。具體來說，我們與之前提到的行業頂級開放式詢價之一的全球十大汽車原始設備製造商取得了重大進展。我們最近對 Ultra 產品的 B 樣品的演示改變了遊戲規則，推動了這一特定的汽車詢價，並加速了與其他頂級汽車原始設備製造商的討論。此外，我們與 Guido 作為汽車供應商的深入合作，Titan 已成為汽車 OEM 考慮 subcon Coleto 解決方案而不是其他競爭解決方案的首要驅動因素之一。

The go-to-market strategy of SAP, Dan, with Coleto as our Tier one partner, is starting to become an obvious and sustainable winning combination for customers as they solidify their first mass production launches using LiDAR technology. Of course, we have seen some false starts delays and re-scoping as car companies refine their adoption of this new technology, but it is clear that LiDAR is not going away. It's just a matter of time before several OEM.s safely launch new Edap systems, incorporating the tremendous advantages that light are provide having a supplier which can sustain this launch learning curve is becoming paramount to OEM. sourcing decisions. Next, sometime recently filed an eight K disclosing the notification of an OEM. series production award today. We're not able to disclose any more details on this project outside of those disclosed in the eight K, but they will be forthcoming soon as we work together with the OEM. and Guido on public announcements.

隨著客戶利用 LiDAR 技術鞏固其首次大規模生產，SAP、Dan 和 Coleto 作為我們的一級合作夥伴的進入市場策略開始成為客戶明顯且可持續的獲勝組合。當然，隨著汽車公司完善對這項新技術的採用，我們已經看到了一些錯誤的啟動延遲和重新定位，但很明顯，雷射雷達不會消失。多家 OEM 安全地推出新的 Edap 系統只是時間問題，結合光提供的巨大優勢，擁有一個能夠維持這種發布學習曲線的供應商對於 OEM 來說至關重要。採購決策。接下來，最近提交了一份 8 K 披露 OEM 的通知。今天獲得系列製作獎。除了 8 K 中披露的資訊之外，我們無法透露有關該項目的更多細節，但當我們與 OEM 合作時，這些細節將很快公佈。和 Guido 的公告。

In addition to our recent automotive developments, I'm pleased to highlight significant progress we made with a major autonomous industrial vehicles OEM using our near range. Lidar Nova in Q4 of 2023 during the quarter slipped on path to significant gate review. With this early adopter of our near range LiDAR technology, and we've advanced to the final preproduction phase of this project in 2024 with expected mass production launch in 2025. With this milestone in hand, and in partnership with Coleto, we now have several other OEMs, including shuttle OEM.s, heavy equipment manufacturers and smart infrastructure customers with greater interest and higher demand for our near range lighter product in 2024. 2024 will be a decisive year for continued lidar adoption across the automotive landscape. With our new product Ultra and our deepened partnership with Coleto, we are poised to capture market share in this key inflection point of adoption. Now I'll turn it back over to Dennis.

除了我們最近的汽車發展之外，我很高興地強調我們與一家主要自動工業車輛 OEM 使用我們的近距離技術取得的重大進展。2023 年第四季的 Lidar Nova 在進入重要審查階段時出現下滑。隨著我們近距離 LiDAR 技術的早期採用，我們已於 2024 年進入該專案的最後預生產階段，預計於 2025 年投入量產。憑藉這一里程碑，並與Coleto 合作，我們現在擁有其他幾家OEM，包括太空梭OEM、重型設備製造商和智慧基礎設施客戶，他們在2024 年對我們的近程打火機產品產生了更大的興趣和更高的需求。2024 年將是這是汽車領域繼續採用光達的決定性一年。憑藉我們的新產品 Ultra 以及與 Coleto 加深的合作關係，我們準備在這一關鍵的採用轉折點佔領市場份額。現在我會把它轉回給丹尼斯。

Thank you, Mitch. Starting with our fourth quarter total revenue for the quarter was 5.0 million, an increase of 214% compared to the prior year period and up 29% compared to our previous quarter. The increase for the quarter was evenly contributed by product revenue and development revenue. Fourth quarter 2023 GAAP net loss was 8.3 million for $0.52 loss per share. Basic and diluted Fourth Quarter 2023 non-GAAP net loss was 6.4 million of $0.41 loss per share. Basic and diluted Fourth Quarter 2023, adjusted EBITDA was a negative 7.1 million.

謝謝你，米奇。從第四季開始，本季總營收為 500 萬美元，比去年同期成長 214%，比上一季成長 29%。本季的成長由產品收入和開發收入平均貢獻。2023 年第四季 GAAP 淨虧損為 830 萬美元，每股虧損 0.52 美元。2023 年第四季的基本和稀釋後非 GAAP 淨虧損為 640 萬美元，每股虧損 0.41 美元。2023年第四季基本和稀釋後的調整後EBITDA為負710萬。

Now onto our full year 2023 results. Total revenue for 2023 was 13.1 million an increase of 76% compared to the prior year and above the full year 2023 revenue guidance provided in our third quarter 2023 earnings release. We achieved full year gross margin of 27%. Our full year GAAP operating expenses were $54.3 million, excluding stock-based compensation expenses and non-recurring loss on impairment of property and equipment. Our non-GAAP operating expenses were well below the 50 million we communicated in our third quarter 2023 earnings release. Full year GAAP net loss was 48.5 million or $3 an $0.08 loss per share. Basic and diluted full year non-GAAP net loss was $38.9 million for $2 and $0.47 loss per share basic and diluted. And the full year adjusted EBITDA was a negative 41.2 million.

現在我們來看看 2023 年全年業績。2023 年總營收為 1,310 萬歐元，比上年成長 76%，高於我們在 2023 年第三季財報中提供的 2023 年全年營收指引。我們全年毛利率達到 27%。我們全年的 GAAP 營運費用為 5,430 萬美元，不包括股票補償費用以及財產和設備減損的非經常性損失。我們的非 GAAP 營運費用遠低於我們在 2023 年第三季財報中公佈的 5,000 萬美元。全年 GAAP 淨虧損為 4,850 萬美元，即 3 美元，每股虧損 0.08 美元。全年基本和稀釋非 GAAP 淨虧損為 3,890 萬美元，每股基本和稀釋虧損為 2 美元和 0.47 美元。全年調整後 EBITDA 為負 4,120 萬。

As of December 31st, 2023, we had approximately $56.4 million in cash, cash equivalents and short-term investments.

截至 2023 年 12 月 31 日，我們擁有約 5,640 萬美元的現金、現金等價物和短期投資。

Lastly, we're not offering 2024 guidance at this time. We expect to provide an update on the full year guidance at our Q1 earnings call. And with that, I'd like to open up the call for questions.

最後，我們目前不提供 2024 年指引。我們預計將在第一季財報電話會議上提供全年指引的最新資訊。至此，我想開始提問。

We will now be conducting a question and answer session. If you would like to ask a question, please press star one on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star two. If you would like to remove your question from the queue For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star keys One moment, please while we poll for costs.

我們現在將進行問答環節。如果您想提問，請按電話鍵盤上的星號一。確認音將表示您的線路已在問題佇列中。您可以按星二號。如果您想從佇列中刪除您的問題 對於使用揚聲器裝置的參與者，可能需要在按星號鍵之前拿起聽筒 請稍等，我們會輪詢費用。

Yes.

是的。

Thank you.

謝謝。

Our first question comes from the line of Saudi Mid-Valley with Craig Hallum. Please proceed with the request.

我們的第一個問題來自沙烏地阿拉伯中谷與克雷格哈勒姆的路線。請繼續處理請求。

Yes, hey, this is Charlene.

是的，嘿，這是夏琳。

Wally on for Richard Shannon, thanks for taking my question, guys. I have a question regarding the final round of sourcing with the top 10 OEM. Can you give any details whether this is an exclusive or a competitive process?

沃利代表理查德·香農，謝謝你們提出我的問題，夥計們。我有一個關於與前 10 名 OEM 進行最後一輪採購的問題。您能否詳細說明這是排他性流程還是競爭性流程？

Yes, John, this is Mitch Cortina, Chief Commercial Officer. Basically, you're asking Okay, is that exclusive or competitive?

是的，約翰，我是首席商務官米奇‧科爾蒂納 (Mitch Cortina)。基本上，你會問，好吧，這是排他性的還是競爭性的？

It's still a competitive process at this point and for that particular opportunity, it does not OEM give you guys any indication of how many other companies are in that process?

目前這仍然是一個競爭過程，對於這個特定的機會，OEM 沒有給你們任何跡象表明有多少其他公司正在參與這個過程？

No, no, they didn't give us any particular number.

不，不，他們沒有給我們任何具體的數字。

That makes sense. And then just one more question. What's the time line for the decision and shipment with the top three OEM? And then is this an OEM that has announced LiDAR suppliers in the past.

這就說得通了。然後還有一個問題。與前三大 OEM 的決策和出貨的時間安排是怎樣的？這是一家過去曾宣布過 LiDAR 供應商的 OEM 廠商。

On the time line, we can't disclose the commercials of the RFQ we received. But just in general, a lot of the RFQs coming out in the automotive industry right now are have the start of series production in the second half of the decade. You know, in the 2026 to 2028 time frame.

在時間上，我們無法透露我們收到的詢價的廣告。但總的來說，汽車產業目前提出的許多詢價都是在本世紀下半葉開始大量生產的。你知道，在2026年到2028年的時間範圍內。

And then the second part of your question, have they already announced LiDAR suppliers or a lot of OEMs. I've had various projects with other light, our suppliers, the past several years.

然後你問題的第二部分，他們是否已經宣布了光達供應商或許多原始設備製造商。在過去的幾年裡，我與其他光源、我們的供應商進行了各種專案。

Yes, that's OEM was previously working with another lighter supplier.

是的，該 OEM 之前曾與另一家打火機供應商合作。

Thanks for the color on that, and that's all for me.

謝謝你的顏色，這就是我的全部。

Thank you.

謝謝。

Our next question comes from the line of Kevin Garnett again with WestPark Capital. Please proceed with your quest.

我們的下一個問題再次來自凱文·加內特與 WestPark Capital 的對話。請繼續你的探索。

And yes, hey, guys.

是的，嘿，夥計們。

Thanks for letting me ask a few questions and congrats on the progress.

感謝您讓我問一些問題並祝賀取得的進展。

Just for the first one.

只是為了第一個。

Just a quick clarification.

只是快速澄清一下。

The RFQs, the RFQ that you mentioned and then the final sourcing, those are both for passenger vehicles, correct?

詢價，您提到的詢價以及最終的採購，這些都是針對乘用車的，對嗎？

Not not any trucking.

不是沒有任何卡車運輸。

That's correct.

這是正確的。

Okay.

好的。

Perfect.

完美的。

And then has the has the IOI from Coleto caused any of your discussions with OEMs to kind of change at all, as you know, have some would they now be waiting on the sidelines until a final decision is made or some actually like the idea of a bigger Tier one kind of player source in the LiDAR and have accelerated some discussions?

然後，Coleto 的 IOI 是否會導致您與 OEM 的任何討論發生某種變化，如您所知，有些人現在會在場外等待，直到做出最終決定，或者有些人實際上喜歡這個想法激光雷達領域有更大的一級玩家來源並加速了一些討論？

Yes, definitely, Kevin, this is Mitch again. That's an obvious topic that comes up, especially in the final discussions with the OEMs. I think overall, it's a positive. It's seen as a positive for some time. And for Coleto, you know, there are concerns in the industry about the longevity of LiDAR companies, and I think that's coming to the surface for many OEMs. And so this proposed letter that we received is definitely a positive in front of the customers.

是的，當然，凱文，這又是米奇。這是一個顯而易見的話題，尤其是在與原始設備製造商的最終討論中。我認為總體而言，這是積極的。一段時間以來，這被視為積極的一面。對於 Coleto 來說，您知道，業界對 LiDAR 公司的壽命存在擔憂，我認為對於許多 OEM 而言，這一點已經浮出水面。因此，我們收到的這封建議信在客戶面前絕對是正面的。

Okay, perfect.

好的，完美。

Thank you.

謝謝。

Yes.

是的。

Thank you.

謝謝。

Our next question comes from the line of Gus Richard with Northland Capital. Please proceed with your question.

我們的下一個問題來自 Gus Richard 與北國資本 (Northland Capital) 的對話。請繼續你的問題。

Yes, thanks for letting me ask a couple questions. Just when the industry goes through on a rescope, can you talk about on sort of what it means to you guys financially, how do they size any on remunerations on associated with that kind of thing?

是的，謝謝你讓我問幾個問題。當這個行業經歷重新調整時，你能談談這對你們的財務意味著什麼嗎？他們如何衡量與這類事情相關的薪酬？

I'm not specific numbers. Just how do you how does one think about that?

我不是具體數字。您對此有何看法？

Are you asking about the GM re-scoping?

您是在詢問 GM 重新界定範圍嗎？

Yes, I am. So when there's a rescope, usually the vendors get out money back from money spent. And I'm just wondering, on industry practices, what's the magnitude?

我是。因此，當進行重新調整時，供應商通常會從所花的錢中收回資金。我只是想知道，就行業實踐而言，其規模有多大？

What does it look like?

它是什麼樣子的？

Is it proportional to your what you spent on development, et cetera?

它與您在開發等方面的投入成正比嗎？

Yes.

是的。

We're certainly trying to recover all the money. We have spent invested in the program, but there are a lot of intricacies in the process of maybe you want to add something. It's not something of a concrete number we can give out at this point, but it's certainly a nontrivial number.

我們當然正在努力追回所有的錢。我們已經在這個程式上投入了資金，但是這個過程中有很多錯綜複雜的事情，也許你想添加一些東西。目前我們還不能給出具體的數字，但它肯定是一個不平凡的數字。

It's not public information, but but know, I think I think you can think of it as some proportion of our OpEx the past three or four years since we announced that project, that was a pretty significant work stream for our company. So on there were significant investments, and that's what's being asked for.

這不是公開訊息，但我想你可以將其視為自我們宣布該專案以來過去三四年我們營運支出的一部分，這對我們公司來說是一個非常重要的工作流程。因此，需要進行大量投資，這就是我們所要求的。

Got it. And then in terms of the arm of nomination and so forth, booking of company wins?

知道了。那麼在提名等方面，公司的預訂會獲勝嗎？

Yes.

是的。

So one, when would you expect that to go into production?

那麼，您預計什麼時候投入生產？

Yes.

是的。

Just refer back to my answer to the first question. Most of the RFQs and awards right now are starting production in the 26 to 28 timeframe. So it would fall somewhere in that timeframe.

請回頭參考我對第一個問題的回答。目前大多數詢價和合約都將在 26 至 28 日內開始製作。所以它會落在那個時間範圍內的某個地方。

Yes.

是的。

But again, I refer back to our eight K filing. That's as much as information as we can publish right now and we'll follow up with more press releases as we're allowed to release more information.

但我再次回顧我們的 8 K 備案。這就是我們現在可以發布的盡可能多的信息，當我們被允許發布更多信息時，我們將發布更多新聞稿。

Okay.

好的。

Fair enough. Last point for me on this Chinese entity, that is because on the Entities List, if you will, where you going up against this company at any any of the top 10 companies, OEMs that you've been working with this significant reduction in, um, you know, well, the competitive environment, are you seeing that these folks?

很公平。我對這個中國實體的最後一點是，因為在實體名單上，如果你願意的話，你可以在任何一家與你合作的前 10 名公司、原始設備製造商中與這家公司競爭，嗯，你知道，競爭環境，你看到這些人了嗎？

Yes, I'll start first and then maybe Ken can add more. There are, as you can see in this slide, our landscape of quite a number of our companies in competition for any program out there. So you can expect in this Chinese satellite, our company as well as us and many others are always competing with each other in any of the light, our programs that we are less active. So it is a fair assumption that we've been competing in a number of projects. And yes, you know, the current situation is there a put on this 12, 68 list and the IT on there's one fewer in many of these competitions at many places. So Mitch, you want to add some more?

是的，我會先開始，然後肯可能會添加更多內容。正如您在這張投影片中所看到的，我們有相當多的公司正在競爭任何專案。因此，您可以預期，在這顆中國衛星上，我們的公司以及我們和許多其他公司總是在任何方面相互競爭，我們的計劃不那麼活躍。因此，可以合理地假設我們一直在參與許多專案的競爭。是的，你知道，目前的情況是，在這 12 個、68 個名單中，IT 的數量在許多地方的許多比賽中都少了一個。米奇，你想補充一些嗎？

I don't think anything there yet.

我認為那裡還沒有任何東西。

Yes.

是的。

Okay.

好的。

Very good.

非常好。

That's it for me. Thanks so much.

對我來說就是這樣。非常感謝。

Thank you.

謝謝。

Our next question comes from the line of Matthew Galinko with Maxim Group. Please proceed with your question.

我們的下一個問題來自 Maxim Group 的 Matthew Galinko。請繼續你的問題。

Thanks for taking my questions on. I guess first one is on the the smart tolling project you've talked about Palm to get pretty significant lengthen the proposal last couple of quarters. Tom, I didn't hear much about it today, but just hoping you could update us on where the rollout stands and potential for bromine, the scope and expansion of the smart tolling practice in general for your business?

感謝您回答我的問題。我想第一個是關於您談到的 Palm 的智能收費項目，該項目在過去幾個季度中得到了相當大的延長。湯姆，我今天沒有聽到太多消息，但只是希望您能向我們介紹一下溴的推廣情況和潛力、智能收費實踐對您的業務的總體範圍和擴展的最新情況？

Yes.

是的。

Thanks, Matt. This is Mitch. A good good question. Yes, you're right. We didn't necessarily highlight that today, but but we did continue significant shipments in the Q4 that shows up in our product revenue numbers for the tolling application. And we continue to support those big tolling operators in the U.S. market as they expand both in the US and also on bid on some international opportunities. So that's very much an active our market that we're supporting.

謝謝，馬特。這是米奇。一個好問題。你是對的。我們今天不一定強調這一點，但我們確實在第四季度繼續大量出貨，這體現在我們的收費應用產品收入數據中。我們將繼續支持美國市場上的大型收費業者，幫助他們在美國擴張並競標一些國際機會。所以這是我們支持的一個非常活躍的市場。

Got it.

知道了。

Thank you. And I know you're not specifically providing on an outlook, particularly on revenue, but I was wondering if you could give us some sense of them, what are your thoughts around spending at least over the next two quarters or if not, for the next year, just on directionally what we should expect expecting on OpEx, I think you had, you know, kind of declines the last three quarters, at least on GAAP. So no, should we expect kind of the same trajectory given, you know, the risk coping at GM?

謝謝。我知道您並沒有具體提供前景，特別是收入方面的前景，但我想知道您是否能給我們一些了解，您對至少在未來兩個季度的支出有何想法，或者如果沒有的話，對於明年，就我們對營運支出的預期方向而言，我認為過去三個季度至少在公認會計原則上有所下降。所以不，鑑於通用汽車應對風險的能力，我們是否應該期待類似的軌跡？

Or is it just subject to whether you sort of get to the final decision on any of these OEM selections?

還是僅取決於您是否對這些 OEM 選擇做出最終決定？

high standards can here and for the OpEx at this stage, we're not expecting any increase. So it's probably less than our 2023 numbers. And I guess with our Q. one and result, we'll be providing some updates.

高標準可以在這裡，對於現階段的營運支出，我們預計不會有任何增加。所以它可能低於我們 2023 年的數字。我想透過我們的第一個問題和結果，我們將提供一些更新。

Okay.

好的。

Thank you.

謝謝。

Thank you.

謝謝。

There are no further questions at this time. I'd like to turn the floor back over to Joon pay for closing comments.

目前沒有其他問題。我想把發言權交還給 Joon pay 來發表結束評論。

Thank you very much. It's been a exciting year 2023. So we look forward to another even more productive year of 2024 with new products, new projects and new technology of course, stay tuned for further updates from September. Thank you very much.

非常感謝。2023 年是激動人心的一年。因此，我們期待著 2024 年又一個更有成效的一年，其中包括新產品、新項目和新技術，當然，請繼續關注 9 月的進一步更新。非常感謝。

This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation.

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。