Enphase Energy Inc (ENPH) 2018 Q4 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Enphase Energy's Fourth Quarter 2018 Financial Results Conference Call. (Operator Instructions) As a reminder, this conference call is being recorded.

女士們先生們，美好的一天，歡迎來到 Enphase Energy 2018 年第四季度財務業績電話會議。（操作員說明）作為提醒，正在錄製此電話會議。

I would now like to introduce your host for today's conference, Ms. Christina Carrabino. Ma'am, you may begin.

現在我想介紹一下今天會議的主持人，Christina Carrabino 女士。女士，您可以開始了。

Good afternoon, and thank you for joining us on today's conference call to discuss Enphase Energy's Fourth Quarter and Year-End 2018 Results. On today's call are Badri Kothandaraman, Enphase's President and Chief Executive Officer; Eric Branderiz, Chief Financial Officer; and Raghu Belur, Chief Products Officer.

下午好，感謝您參加今天的電話會議，討論 Enphase Energy 2018 年第四季度和年底的業績。參加今天電話會議的有 Enphase 總裁兼首席執行官 Badri Kothandaraman； Eric Branderiz，首席財務官；和首席產品官 Raghu Belur。

After the market close today, Enphase issued a press release announcing the results for its fourth quarter and year-ended December 31, 2018.

今天收市後， Enphase 發布了一份新聞稿，宣布了截至2018年12月31日的第四季度和全年業績。

During this conference call, Enphase management will make forward-looking statements including, but not limited to, statements related to Enphase Energy's technology, products and financial performance; operations, including supply and lead times; and current and future market and customer demands and trends. These forward-looking statements involve significant risks and uncertainties, and Enphase Energy's actual results and the timing of events could differ materially from these expectations. For a more complete discussion of the risks and uncertainties, please see the company's quarterly report on Form 10-Q for the quarter ended September 30, 2018, which is on file with the SEC, and the annual report on Form 10-K for the year ended December 31, 2018, which will be filed with the SEC in the first quarter of 2019.

在本次電話會議期間，Enphase 管理層將做出前瞻性陳述，包括但不限於與 Enphase Energy 的技術、產品和財務業績相關的陳述；運營，包括供應和交貨時間；當前和未來的市場和客戶需求和趨勢。這些前瞻性陳述涉及重大風險和不確定性，Enphase Energy 的實際結果和事件發生的時間可能與這些預期存在重大差異。有關風險和不確定性的更完整討論，請參閱公司提交給美國證券交易委員會的截至 2018 年 9 月 30 日止季度的 10-Q 表季度報告以及 10-K 表年度報告截至 2018 年 12 月 31 日的年度，將於 2019 年第一季度向美國證券交易委員會備案。

Enphase Energy cautions you not to place any undue reliance on forward-looking statements and undertakes no duty or obligation to update any forward-looking statements as a result of new information, future events or changes in its expectations.

Enphase Energy 提醒您不要過分依賴前瞻性陳述，並且不承擔因新信息、未來事件或預期變化而更新任何前瞻性陳述的責任或義務。

Also please note the financial measures used in this call are expressed on a non-GAAP basis, unless otherwise noted, and have been adjusted to exclude certain charges. The company has provided a reconciliation of these non-GAAP financial measures to GAAP financial measures in its earnings release posted today, which can also be found in the Investor Relations section of its website.

另請注意，除非另有說明，否則本次電話會議中使用的財務指標是在非 GAAP 基礎上表示的，並且已經過調整以排除某些費用。該公司在今天發布的收益報告中提供了這些非 GAAP 財務指標與 GAAP 財務指標的對賬，也可以在其網站的投資者關係部分找到。

Now I'd like to introduce Badri Kothandaraman, President and Chief Executive Officer of Enphase Energy. Badri?

現在我想介紹一下 Enphase Energy 總裁兼首席執行官 Badri Kothandaraman。巴德里？

Good afternoon, and thanks for joining us today to discuss our fourth quarter and full year 2018 financial results.

下午好，感謝今天加入我們討論我們 2018 年第四季度和全年的財務業績。

We had a solid quarter. We reported revenue of $92.3 million. We had strong customer demand as our financial strength and robust balance sheet reaffirmed customer confidence. Our biggest challenge in Q4 was meeting the additional demand due to component shortages that constrained our revenue. We are fully booked for Q1 '19 just as we thought in Q4 '18. I will provide an update later in the call on our plans to mitigate component shortages.

我們有一個穩定的季度。我們報告的收入為 9230 萬美元。我們的財務實力和穩健的資產負債表重申了客戶的信心，因此客戶需求強勁。我們在第四季度面臨的最大挑戰是滿足因組件短缺而限制我們收入的額外需求。正如我們在 18 年第 4 季度所想的那樣，19 年第 1 季度的預訂已滿。我將在稍後的電話會議中提供有關我們緩解組件短缺計劃的最新信息。

Our non-GAAP gross margin in the fourth quarter was 30.7%, and our non-GAAP operating income was $8.6 million. Our gross margin was negatively impacted by 4.3% due to expedite fees related to component shortages. The expedite fees were in the form of air shipments that we chose to make in order to service our customers.

我們第四季度的非美國通用會計準則毛利率為 30.7%，我們的非美國通用會計準則營業收入為 860 萬美元。由於與組件短缺相關的加速費用，我們的毛利率受到了 4.3% 的負面影響。加急費用以空運的形式出現，我們選擇以空運的形式為客戶提供服務。

We exited the fourth quarter with a cash balance of $106.2 million, net of a $10 million final payment to SunPower. The strong cash balance also enabled us to completely repay on January 28, 2019, our high interest-bearing senior secured term loan of approximately $39.5 million plus accrued interest and fees.

第四季度結束時，我們的現金餘額為 1.062 億美元，扣除向 SunPower 支付的 1000 萬美元最終付款。強勁的現金餘額還使我們能夠在 2019 年 1 月 28 日完全償還我們約 3950 萬美元的高息高級擔保定期貸款加上應計利息和費用。

Now let's talk about 30-20-10, our target financial model. We introduce 30-20-10 at our Analyst Day in June of 2017 and committed to meeting the model in Q4 of '18. 30-20-10 stands for 30% gross margin, 20% operating expense and 10% operating income. We made significant progress towards making that model a reality as we exited 2018. Eric will go into greater details about our financial results later on the call. An important focus item that we discussed in the past few quarters is ease of doing business, how customers perceive us. Quality and customer service are the cornerstones of our strategy, and our objective is to deliver exceptional customer experience. Our business processes are maturing, and we are prioritizing customer experience to be #1 in all aspects of our business.

現在讓我們談談我們的目標財務模型 30-20-10。我們在 2017 年 6 月的分析師日介紹了 30-20-10，並致力於在 18 年第四季度滿足該模型。30-20-10 代表 30% 的毛利率、20% 的營業費用和 10% 的營業收入。2018 年結束時，我們在使該模型成為現實方面取得了重大進展。埃里克將在稍後的電話會議上詳細介紹我們的財務業績。我們在過去幾個季度討論的一個重要焦點項目是開展業務的便利性，即客戶如何看待我們。質量和客戶服務是我們戰略的基石，我們的目標是提供卓越的客戶體驗。我們的業務流程日趨成熟，我們將客戶體驗放在我們業務各個方面的第一位。

During Q4, we made several improvements in our call center and online support, particularly, in Europe and Asia Pacific. We also rolled out an Enphase upgrade program, a service program for early adopters of our legacy microinverters and announced that over 1,000 homeowners have joined the program. The key metric we use to measure customer experience is Net Promoter Score or NPS. This metric is calculated based on feedback from customer surveys on how likely customers or partners will recommend Enphase to a friend or colleague. Our NPS in North America was approximately 51% in Q4, and our target is to achieve a worldwide NPS of 60% or higher in 2019.

在第四季度，我們對呼叫中心和在線支持進行了多項改進，尤其是在歐洲和亞太地區。我們還推出了 Enphase 升級計劃，這是一項針對我們傳統微型逆變器的早期採用者的服務計劃，並宣布有超過 1,000 名房主加入了該計劃。我們用來衡量客戶體驗的關鍵指標是淨推薦值或 NPS。該指標是根據客戶調查的反饋計算得出的，即客戶或合作夥伴向朋友或同事推薦 Enphase 的可能性有多大。第四季度，我們在北美的 NPS 約為 51%，我們的目標是在 2019 年實現全球 60% 或更高的 NPS。

Now let's talk about the 301 tariffs that became effective in September of 2018, impacting Enphase microinverters and accessories. As we discussed last quarter, we are mitigating the existing 10% 301 tariffs by sharing the cost increases with our customers and expanding our manufacturing agreement with Flex in Mexico starting Q2 of '19. This additional line in Mexico is expected to help Enphase better service our North American customers by cutting down cycle times and streamlining inventory at a similar manufacturing cost as Flex China.

現在讓我們談談 2018 年 9 月生效的 301 關稅，影響 Enphase 微型逆變器和配件。正如我們上個季度討論的那樣，我們正在通過與客戶分擔成本增加並從 19 年第二季度開始擴大我們與墨西哥 Flex 的製造協議來減輕現有的 10% 301 關稅。墨西哥的這條新增生產線有望以與偉創力中國相似的製造成本縮短週期時間並簡化庫存，從而幫助 Enphase 更好地服務我們的北美客戶。

Now turning to our region. Our U.S. and international mix for Q4 was 77% and 23%, respectively. All of our regions were impacted by component shortages. Our fourth quarter revenue in the U.S. was up 38% sequentially and up 29% year-on-year due to strong customer demand across the board. Note that the U.S. revenue includes volume shipments of our IQ 7XS microinverters to SunPower, as we previously planned.

現在轉向我們的地區。我們在第四季度的美國和國際組合分別為 77% 和 23%。我們所有的地區都受到組件短缺的影響。由於全面的強勁客戶需求，我們在美國的第四季度收入環比增長 38%，同比增長 29%。請注意，美國收入包括我們之前計劃的向 SunPower 批量發貨的 IQ 7XS 微型逆變器。

In Europe, revenue was down 2% sequentially but up 27% year-on-year. The megawatt shipments were up 26% sequentially and up 31% year-on-year, setting a new record for Europe. Note that the Q3 '18 revenue for Europe included a $3.3 million of milestone achievement from a partner on IQ 8. We are encouraged by the growth outlook in the newbuild and social housing sectors in Europe.

在歐洲，收入環比下降 2%，但同比增長 27%。兆瓦出貨量環比增長 26%，同比增長 31%，創下歐洲新紀錄。請注意，歐洲 18 年第三季度的收入包括合作夥伴在 IQ 8 上取得的 330 萬美元的里程碑成就。我們對歐洲新建和社會住房部門的增長前景感到鼓舞。

In APAC, our revenue was down 61% sequentially and down 74% year-on-year. As we previously mentioned, the region had built up significant channel inventory over time, and we took this opportunity to bring the inventory down. We recently appointed Wilf Johnston as our new General Manager for the region, and we believe his years of international executive management experience will help strengthen our APAC business.

在亞太地區，我們的收入環比下降 61%，同比下降 74%。正如我們之前提到的，該地區隨著時間的推移積累了大量的渠道庫存，我們藉此機會降低了庫存。我們最近任命 Wilf Johnston 為該地區的新總經理，我們相信他多年的國際執行管理經驗將有助於加強我們的亞太地區業務。

In Latin America, fourth quarter revenue was down 41% sequentially and down 14% year-on-year. Unfortunately, component shortages significantly impacted our Q4 sales to this region as well.

在拉丁美洲，第四季度收入環比下降 41%，同比下降 14%。不幸的是，組件短缺也嚴重影響了我們第四季度對該地區的銷售。

Now that we are financially stable, a large portion of our time is spent on profitable top line growth. We plan to achieve this growth through differentiated products and services. Our 4 levers for profitable top line growth remain IQ 7 regional expansion, high-power and high-performance products, AC modules and Ensemble solar and storage technology.

既然我們的財務狀況穩定，我們的大部分時間都花在了盈利性的收入增長上。我們計劃通過差異化的產品和服務來實現這一增長。我們實現盈利性收入增長的 4 個槓桿仍然是 IQ 7 區域擴張、高功率和高性能產品、AC 模塊以及 Ensemble 太陽能和存儲技術。

The first lever for profitable top line growth is IQ 7 regional expansion. Approximately 84% of our microinverter shipments in Q4 were IQ 7, up from 78% in Q3. As I mentioned earlier, component shortages constrained our revenue in Q4. We have been working with our customers and partners to manage these shortages, and we are thankful for their efforts and patience. The additional capacity based on an investment we made with one of our suppliers earlier in 2018 is now online. This has allowed to increase our microinverter supply for Q1 '19. But with the growth we have seen, our lead times are still around 13 to 15 weeks. We have recently signed 2 new long-term contracts for additional high-voltage transistors.

盈利增長的第一個槓桿是 IQ 7 區域擴張。我們在第四季度約 84% 的微型逆變器出貨量為 IQ 7，高於第三季度的 78%。正如我之前提到的，組件短缺限制了我們在第四季度的收入。我們一直在與我們的客戶和合作夥伴合作來解決這些短缺問題，我們感謝他們的努力和耐心。基於我們在 2018 年初與我們的供應商之一進行的投資的額外產能現已上線。這增加了我們 19 年第一季度的微型逆變器供應。但隨著我們看到的增長，我們的交貨時間仍然在 13 到 15 週左右。我們最近簽署了 2 份新的長期合同，用於額外的高壓晶體管。

This additional supply is expected to become available in the second half of this year, which we believe will help to improve our microinverter lead times to 6 to 8 weeks.

這一額外供應預計將在今年下半年提供，我們相信這將有助於將我們的微型逆變器交貨時間縮短至 6 至 8 週。

The second lever for profitable top line growth is releasing high-power and high-performance new products. The IQ 7X product addresses 96-cell PV modules up to 400 watts DC. And with its 97.5% CEC efficiency, it's ideal for integration into high-power modules like SunPower and Panasonic.

利潤增長的第二個槓桿是發布高功率和高性能的新產品。IQ 7X 產品適用於高達 400 瓦直流電的 96 芯光伏模塊。憑藉其 97.5% 的 CEC 效率，它非常適合集成到 SunPower 和 Panasonic 等高功率模塊中。

In addition, we shipped limited quantities of our new product, IQ 7 -- 8, which addresses up to 450 watt DC modules.

此外，我們還限量發售了新產品 IQ 7 -- 8，它可處理高達 450 瓦的直流模塊。

The third lever for profitable top line growth is AC modules. We had volume shipments of our IQ 7XS microinverters to SunPower in the fourth quarter, and as previously announced, we expect a continuation of the ramp in 2019.

利潤增長的第三個槓桿是交流模塊。我們在第四季度向 SunPower 批量出貨了 IQ 7XS 微型逆變器，正如之前宣布的那樣，我們預計 2019 年將繼續增加。

In addition, we are making steady progress with module partners such as Solaria and Panasonic in ramping Enphase Energized AC Modules. These integrated systems allow installers to be more competitive through improved logistics, reduced installation time, faster inspection and training. Since their release in October of 2017, Enphase Energized ACM from our module partners have been adopted by about 420 installers in the U.S. as of today.

此外，我們正在與 Solaria 和 Panasonic 等模塊合作夥伴一起穩步推進 Enphase 通電交流模塊。這些集成系統通過改進物流、減少安裝時間、加快檢查和培訓速度，使安裝人員更具競爭力。自 2017 年 10 月發布以來，我們模塊合作夥伴的 Enphase Energized ACM 已被美國約 420 名安裝人員採用，截至今天。

Finally, a major catalyst for our profitable top line growth in the long-term is around Ensemble solar and storage technology. The IQ 8 system is based on an agnostic, always-on technology part of Ensemble. This system has 4 components: energy generation, which is accompanied with a grid-agnostic microinverter IQ 8; energy storage, which is achieved by Encharge battery with capacities of 3.3 kilowatt hours, 10-kilowatt hours, and 13.2 kilowatt hours; communication and control called Enpower, which consists of the automatic transfer switch and the combiner box with the Envoy gateway; and the fourth and final component is Enlighten, which is IoT cloud software.

最後，我們長期盈利增長的主要催化劑是 Ensemble 太陽能和儲能技術。IQ 8 系統基於 Ensemble 的一個不可知的、永遠在線的技術部分。該系統有 4 個組成部分：能量產生，伴隨著與電網無關的微型逆變器 IQ 8；儲能，由容量為3.3千瓦時、10千瓦時和13.2千瓦時的Encharge電池實現；通信和控制稱為Enpower，它由自動轉換開關和帶有Envoy網關的匯流箱組成；第四個也是最後一個組件是 Enlighten，它是物聯網雲軟件。

We are working hard on each of these 4 components of the IQ 8 system. There are over 100 engineers working on the project across multiple time zones. However, given the high complexity of the technology in terms of hardware and software, we are running a little bit late. We believe in making the right decisions for the long term and getting the customer experience right, therefore, we now anticipate introducing Ensemble in a phased manner starting in the fourth quarter of 2019.

我們正在努力開發 IQ 8 系統的這 4 個組件。超過 100 名工程師在多個時區從事該項目。然而，鑑於該技術在硬件和軟件方面的高度複雜性，我們的進展有點晚了。我們相信長期做出正確的決定並獲得正確的客戶體驗，因此，我們現在預計從 2019 年第四季度開始分階段引入 Ensemble。

Let me remind you that there are 2 major market segments Ensemble technology addresses. One is the pure off-grid segment and the other is the grid-agnostic segment. We just talked about the grid-agnostic solution being delayed to the fourth quarter of 2019, however, the pure off-grid microinverter solution is on track. We shipped limited quantities to our partner on IQ 8 during the fourth quarter of 2018, and we expect to ramp production in the first half of 2019. We also expect the final milestone revenue from this partner in the first quarter of 2019.

讓我提醒您，Ensemble 技術地址有 2 個主要細分市場。一個是純離網部分，另一個是與電網無關的部分。我們剛剛談到了與電網無關的解決方案被推遲到 2019 年第四季度，但是，純離網微型逆變器解決方案正在走上正軌。2018 年第四季度，我們在 IQ 8 上向我們的合作夥伴發貨數量有限，我們預計將在 2019 年上半年提高產量。我們還預計 2019 年第一季度來自該合作夥伴的最終里程碑收入。

In summary, we are encouraged by our progress in 2018. Our top priorities remain providing superior customer experience and focusing on our 4 profitable top line growth vectors. I would like to thank our employees for their hard work, and our customers, partners and shareholders for their strong support.

總而言之，我們對 2018 年取得的進展感到鼓舞。我們的首要任務仍然是提供卓越的客戶體驗，並專注於我們 4 個盈利的頂線增長向量。我要感謝我們的員工的辛勤工作，感謝我們的客戶、合作夥伴和股東的大力支持。

With that, I will turn the call over to Eric for his review of our financial results. Eric?

有了這個，我將把電話轉給埃里克，讓他審查我們的財務業績。埃里克？

Thanks, Badri. I will provide more details related to our fourth quarter and full year 2018 financial results as well as our business outlook for the first quarter. As a reminder, the financial measures that I'm going to provide are on a non-GAAP basis, unless otherwise noted.

謝謝，巴德里。我將提供有關我們 2018 年第四季度和全年財務業績以及第一季度業務展望的更多詳細信息。提醒一下，除非另有說明，否則我將提供的財務指標是基於非公認會計原則的。

We have provided reconciliations for these non-GAAP financial measures in our earnings release posted today, which can also be found in the investor relations section of our website.

我們在今天發布的收益報告中提供了這些非 GAAP 財務指標的對賬，這些數據也可以在我們網站的投資者關係部分找到。

Total revenue for the fourth quarter of 2018 was $92.3 million, an increase of 18% sequentially and an increase of 16% year-over-year. We shipped approximately 257 megawatts DC in the fourth quarter of 2018, an increase of megawatt of 25% sequentially and an increase of 16% from the year-ago quarter.

2018 年第四季度總收入為 9230 萬美元，環比增長 18%，同比增長 16%。我們在 2018 年第四季度出貨了大約 257 兆瓦的直流電，比上一季度增長了 25% 兆瓦，比去年同期增長了 16%。

The megawatt shipped represents about 820,000 microinverters, approximately 84% of which was IQ 7. Both IQ 6 and IQ 7 represented 91% of Q4 microinverter chip shipments.

出貨兆瓦代表約 820,000 個微型逆變器，其中約 84% 是 IQ 7。IQ 6 和 IQ 7 佔 Q4 微型逆變器芯片出貨量的 91%。

Non-inverter revenue, which includes our AC battery storage solution, Envoy Communications Gateway, combiner box and accessories, increased as a percentage of revenue compared with the prior quarter.

非逆變器收入，包括我們的交流電池存儲解決方案、Envoy 通信網關、匯流箱和配件，佔收入的百分比與上一季度相比有所增加。

Total revenue for 2018 was $316.2 million, up 10% from 2017. In 2018, we shipped approximately 2.8 million microinverters, representing 972 megawatts DC, a 13% year-over-year increase in megawatts shipped. Non-GAAP gross margins for the fourth quarter of 2018 were 30.7% compared to 32.8% for the third quarter. Note that Q3 '18 non-GAAP gross margin including that $3.3 million milestone achievement from a partner on IQ 8. Even though we share some of the expedite fees with our partner, component shortages negatively impacted our Q4 gross margin by approximately 4.3%.

2018 年總收入為 3.162 億美元，比 2017 年增長 10%。2018 年，我們出貨了約 280 萬台微型逆變器，相當於 972 兆瓦直流電，出貨量同比增長 13%。2018 年第四季度的非美國通用會計準則毛利率為 30.7%，而第三季度為 32.8%。請注意，18 年第三季度非 GAAP 毛利率包括合作夥伴在 IQ 8 上取得的 330 萬美元里程碑成就。儘管我們與合作夥伴分擔了一些加速費用，但組件短缺對我們第四季度的毛利率產生了約 4.3% 的負面影響。

Non-GAAP operating expenses were $19.7 million for the fourth quarter of 2018 compared to $18.6 million in Q3 and $18 million in the fourth quarter of 2017.

2018 年第四季度非美國通用會計準則運營費用為 1970 萬美元，而第三季度為 1860 萬美元，2017 年第四季度為 1800 萬美元。

2018 was our first year of SOX-compliant efforts, and as a result, we incurred higher-than-expected expenses in internal audit plus additional consulting and advisory fees. This higher-than-normal expenses will also continue into Q1 2019. Non-GAAP operating expenses for 2018 were $75 million compared to $72.8 million in 2017.

2018 年是我們努力遵守 SOX 的第一年，因此，我們在內部審計方面的支出高於預期，另外還有額外的諮詢和諮詢費用。這種高於正常水平的支出也將持續到 2019 年第一季度。2018 年非美國通用會計準則運營費用為 7500 萬美元，而 2017 年為 7280 萬美元。

GAAP operating expenses were $23.2 million for the fourth quarter of 2018 compared to $25.6 million in Q3 and $21.1 million in the fourth quarter of 2017.

2018 年第四季度的 GAAP 運營費用為 2320 萬美元，而第三季度為 2560 萬美元，2017 年第四季度為 2110 萬美元。

GAAP operating expenses for the fourth quarter, including $1.5 million of stock-based compensation expenses, $1.5 million of restructuring expenses and approximately $500,000 (corrected by company after the call) of acquisition-related expenses and amortization.

第四季度的 GAAP 運營費用，包括 150 萬美元的股票補償費用、150 萬美元的重組費用和大約 500,000 美元（由公司在電話會議後更正）的收購相關費用和攤銷。

GAAP operating expenses for 2018 were $92.8 million compared to $95.4 million in 2017.

2018 年的 GAAP 運營費用為 9280 萬美元，而 2017 年為 9540 萬美元。

On a non-GAAP basis income from operations was $8.6 million in the fourth quarter of 2018 compared to $7 million in Q3 and $1.3 million in the year-ago quarter. This improvement in operating income is reflective of our improved operational excellence and continued total leadership.

按非美國通用會計準則計算，2018 年第四季度運營收入為 860 萬美元，而第三季度為 700 萬美元，去年同期為 130 萬美元。營業收入的這種改善反映了我們改進的卓越運營和持續的全面領導地位。

On a non-GAAP basis net income for the fourth quarter of 2018 was $5.1 million compared to $4.6 million in Q3 and $683,000 in the year-ago quarter. This resulted in basic earnings per share of $0.05 and diluted earnings per share of $0.04 in the fourth quarter of 2018 compared to basic and diluted earnings per share of $0.01 in the year-ago quarter.

按非美國通用會計準則計算，2018 年第四季度淨收入為 510 萬美元，而第三季度為 460 萬美元，去年同期為 683,000 美元。這導致 2018 年第四季度每股基本收益為 0.05 美元，稀釋後每股收益為 0.04 美元，而去年同期的基本和稀釋後每股收益為 0.01 美元。

GAAP net income for the fourth quarter of 2018 was $709,000. We are happy to report that this was the first quarter in the company's history that we reported GAAP net profitability.

2018 年第四季度的 GAAP 淨收入為 709,000 美元。我們很高興地報告，這是公司歷史上我們報告 GAAP 淨利潤的第一個季度。

Now turning to the balance sheet. Inventory was $16.3 million in the fourth quarter of 2018 compared to $17.9 million in Q3 and $26 million in the year-ago quarter. We ended at 23 days of inventory on hand as of December 31, 2018, significantly below our target of 30 days and down from 31 days in the third quarter and also down from 39 days in the year-ago quarter. Although most of the inventory reduction was due to high demand constrained by component shortages, inventory management continues to remain one of our key cash management initiatives.

現在轉向資產負債表。2018 年第四季度的庫存為 1630 萬美元，而第三季度為 1790 萬美元，去年同期為 2600 萬美元。截至 2018 年 12 月 31 日，我們的庫存庫存天數為 23 天，大大低於我們 30 天的目標，低於第三季度的 31 天，也低於去年同期的 39 天。儘管大部分庫存減少是由於組件短缺限制了高需求，但庫存管理仍然是我們關鍵的現金管理舉措之一。

We exited the fourth quarter of 2018 with a total cash balance of $106.2 million compared to $116.2 million in Q3. The Q4 balance includes the final payment to SunPower of $10 million for the acquisition of its microinverter business. We also generated $1.9 million in cash flow from operations and $4.1 million in adjusted free cash flow. The $1.9 million in cash flow from operations in Q4 would have been $5.9 million as we allocated $4 million out of the $10 million payment to SunPower in operating cash flow for the acquired customer relationship acquisition-related intangibles.

我們在 2018 年第四季度結束時的現金餘額總額為 1.062 億美元，而第三季度為 1.162 億美元。第 4 季度的餘額包括支付給 SunPower 的 1000 萬美元的最終付款，用於收購其微型逆變器業務。我們還產生了 190 萬美元的運營現金流和 410 萬美元的調整後自由現金流。第四季度運營產生的 190 萬美元現金流本來是 590 萬美元，因為我們從支付給 SunPower 的 1000 萬美元中分配了 400 萬美元用於收購與客戶關係收購相關的無形資產的運營現金流。

As Badri mentioned, on January 28, 2019, we will pay in full our high interest-bearing senior secured term loan with Tennenbaum Capital Partners, an indirect wholly-owned subsidiary of BlackRock, Inc. The repayments included a principal amount of approximately $39.5 million plus accrued interest and fees. The repayment also terminated the liens of all Enphase's asset, providing greater operating flexibility going forward.

正如巴德里所說，2019 年 1 月 28 日，我們將全額支付貝萊德間接全資子公司 Tennenbaum Capital Partners 的高息高級擔保定期貸款。還款包括約 3950 萬美元的本金加上應計利息和費用。還款還終止了 Enphase 所有資產的留置權，為未來提供了更大的運營靈活性。

Now I will discuss our outlook for the first quarter of 2019. We expect our revenue for the first quarter of 2019 to be within the range of $90 million to $95 million. Turning to margins, we expect GAAP and non-GAAP gross margin to be within that range of 31% to 34%. Note that our Q1 gross margin guidance include a negative impact of approximately 2% to 3% due to expedite fees resulting from component shortages.

現在我將討論我們對 2019 年第一季度的展望。我們預計 2019 年第一季度的收入將在 9000 萬美元至 9500 萬美元之間。談到利潤率，我們預計 GAAP 和非 GAAP 毛利率將在 31% 至 34% 的範圍內。請注意，我們的第一季度毛利率指引包括由於組件短缺導致的加急費用產生的大約 2% 至 3% 的負面影響。

We expect our GAAP operating expenses to be within a range of $25 million to $26 million, including a total of approximately $4.5 million estimated for stock-based compensation expenses, additional restructuring expenses and acquisition-related expenses and amortization. We expect non-GAAP operating expenses to be within the range of $20.5 million to $21.5 million.

我們預計我們的 GAAP 運營費用將在 2500 萬美元至 2600 萬美元之間，包括基於股票的補償費用、額外重組費用和與收購相關的費用和攤銷估計總額約為 450 萬美元。我們預計非 GAAP 運營費用將在 2050 萬美元至 2150 萬美元之間。

With that, I will now open the line for questions.

有了這個，我現在將打開問題熱線。

(Operator Instructions) And our first question comes from Brad Meikle with Williams Trading.

（操作員說明）我們的第一個問題來自 Williams Trading 的 Brad Meikle。

Could you add a little more color in terms of your visibility into second quarter or in the second half of the year from a demand standpoint? And also as you're ramping, it sounds like you prioritize the ramp of the IQ 7 and to alleviate the shortages and catch up with customer demand. Can you comment on how much more capacity you'll have as you go into the second and third quarters?

從需求的角度來看，您能否在第二季度或下半年的可見性方面添加更多顏色？而且當你在爬坡時，聽起來你優先考慮 IQ 7 的爬坡並緩解短缺並趕上客戶需求。您能否評論一下進入第二季度和第三季度時您將擁有多少產能？

Yes, Brad, thanks for the question. As you know, we're not going to provide guidance beyond the quarter, and we guided $90 million to $95 million of revenue for Q1 of '19. Having said that, we are unlocking 3 of the 4 top line growth vectors that I said. The first one was IQ 7 regional expansion. The second is the AC modules, and the third is the high performance, high power products. So I'll take each of them. In the first one, obviously, our balance sheet has significantly improved. We are very financially stable. We have a great cash in our cash balance. So customers are coming back to us. In addition, we pride ourselves on offering the highest quality and customer experience. So with all of this, our demand has started to increase. And what we did was we recognized this sometime last year, and we -- basically, we work with one of our suppliers to increase our 600-volt transistor supply, which is a key component in our microinverters. And we did that early in 2018. We locked some capacity down, and that capacity is coming on in Q1 '19. Yes, in fact, it is online right now. But having said that, as we unlock more of our top line growth vectors. We found that, that is not enough. We found that in the fourth quarter, that we had to scramble for more capacity. And I personally went down and talked to the CEOs of these companies, and we were able to get 2 additional long-term contracts done. The result is that from middle of 2019, meaning from the second half of 2019, the incremental supply will turn on, and we will start to service customers a lot better. The answer to your question is Q1 '19 will be better than Q4 of '18, Q2 '19 will be better than Q1 of '19, and Q3 and Q4 will be a lot more comfortable for us.

是的，布拉德，謝謝你的提問。如您所知，我們不會在本季度之後提供指導，我們指導 19 年第一季度的收入為 9000 萬至 9500 萬美元。話雖如此，我們正在解鎖我所說的 4 個頂線增長向量中的 3 個。第一個是 IQ 7 區域擴展。二是交流模塊，三是高性能、大功率產品。所以我會接受他們每個人。顯然，在第一個方面，我們的資產負債表有了顯著改善。我們的財務狀況非常穩定。我們的現金餘額中有大量現金。所以客戶又回來找我們了。此外，我們以提供最高質量和客戶體驗而自豪。因此，有了這一切，我們的需求開始增加。我們所做的是去年某個時候認識到這一點，我們 - 基本上，我們與我們的一家供應商合作，以增加我們的 600 伏晶體管供應，這是我們微型逆變器的關鍵組件。我們在 2018 年初就這樣做了。我們鎖定了一些產能，這些產能將在 19 年第一季度出現。是的，事實上，它現在在線。但話雖如此，隨著我們解鎖更多的頂線增長向量。我們發現，這還不夠。我們發現在第四季度，我們不得不爭奪更多產能。我親自去和這些公司的 CEO 談過，我們能夠完成 2 個額外的長期合同。結果是，從2019年年中，也就是2019年下半年開始，增量供應就會打開，我們會開始更好地服務客戶。你的問題的答案是 19 年第一季度會比 18 年第四季度好，19 年第二季度會比 19 年第一季度好，而第三季度和第四季度對我們來說會舒服很多。

Thanks, Badri. I guess just to ask it another way, I think you'd said in the past that the new power MOSFET line could be 60% of your output when ramped, and I'm not sure exactly how long that takes to ramp. But that really implies close to doubling of capacity depending on how your existing contracts sort of look. But is that the right way to think about that?

謝謝，巴德里。我想換個方式問，我想你過去曾說過，新的功率 MOSFET 線路在斜坡時可能是你輸出的 60%，但我不確定斜坡需要多長時間。但這實際上意味著容量幾乎翻倍，具體取決於您現有合同的外觀。但這是思考這個問題的正確方法嗎？

Well, I mean, yes, that is the right way to think about it. Let me say this. In the second half of the year, we will be in a very comfortable spot in terms of our supply. Supply -- I hope supply will not be a major problem in the second half.

嗯，我的意思是，是的，這是正確的思考方式。讓我這樣說。今年下半年，我們的供應將處於一個非常舒適的位置。供給——希望下半年供給不會成為大問題。

And are you sold out through the second quarter at this point as well?

在這一點上，你在第二季度也賣完了嗎？

We're not going to talk about the second quarter, Brad. The -- we are sold out for the first quarter though.

我們不會談論第二季度，布拉德。- 我們在第一季度售罄。

Okay. And just last question, could you speak to the battery ramp? And we've heard of some high attach rates in California of 25% plus. And obviously, you make probably 8x as much on a storage installation with your customers. So could you comment on what you're seeing from customers that you're talking about in terms of storage attachment and what that could mean for the business?

好的。最後一個問題，你能談談電池坡道嗎？我們還聽說在加利福尼亞有 25% 以上的高附加率。顯然，您在客戶的存儲安裝上賺取的收益可能是原來的 8 倍。那麼，您能否評論一下您在存儲附件方面從客戶那裡看到的內容，以及這對企業意味著什麼？

Yes, we are extremely excited about storage. As I said in the prior quarter, storage represents a significant opportunity for us to increase revenue potential for home from $2,000 to $10,000. And a key part of Ensemble is Encharge. Encharge is going to add capacities of 3.3-kilowatt hours, 10-kilowatt hours, 13.2-kilowatt hours. It is going to have a C/2 charging rate. It's going to have LFP chemistry, which is going to be very safe for residential application. It is -- I mean, most importantly, it's going to use IQ 8 and the same IQ 8 microinverter. So we are furiously working on Encharge. Having said that, like what I said, it is a little bit delayed. It is a little bit delayed to the fourth quarter of 2019, but we are extremely optimistic about our prospects in storage. And yes, I'll leave it at that.

是的，我們對存儲感到非常興奮。正如我在上一季度所說，存儲對我們來說是一個重要的機會，可以將家庭的收入潛力從 2,000 美元增加到 10,000 美元。Ensemble 的一個關鍵部分是 Encharge。Encharge 將增加 3.3 千瓦時、10 千瓦時、13.2 千瓦時的容量。它將具有 C/2 充電速率。它將具有 LFP 化學成分，這對於住宅應用來說將是非常安全的。它是——我的意思是，最重要的是，它將使用 IQ 8 和相同的 IQ 8 微型逆變器。所以我們正在全力開發 Encharge。話雖如此，就像我說的那樣，有點延遲。稍微推遲到 2019 年第四季度，但我們對存儲的前景非常樂觀。是的，我會保留它。

And our next question comes from Carter Driscoll with B. Riley FBR.

我們的下一個問題來自 Carter Driscoll 和 B. Riley FBR。

Maybe just talk about your assessment of the opportunity for Ensemble and the grid-tied versus not necessarily having been grid-tied and the delay of when you're going to ramp the second portion of that market? Just trying to get a sense of relative market opportunity.

也許只是談談您對 Ensemble 和並網機會的評估與不一定已並網機會的評估，以及您打算何時進入該市場的第二部分的延遲？只是想了解相對的市場機會。

Right. So Ensemble is designed to service 2 markets, one is the grid-agnostic market segment, and the other is the off-grid market segment. In terms of the off-grid market segment, where we are on track, we started sampling the product to our lead customer in the fourth quarter of 2018, and we are expecting to ship significant quantity to them in the first quarter of 2019. So what I'll say is this. I mean, if you look at off -- yes, if you look at the countries where the off-grid technology is going to play a major part, it's going to be places like India and Africa. India and Africa are places where you will see -- of course, the PV and storage systems are not going to be that big. They're going to be small, but imagine a hut having 1 or 2 AC modules or 1 or 2 modules with microinverters. And so that will be just perfect for the architecture of a microinverter. It's still too early for us to assess -- to talk about volumes and talk about ramps, but we're excited that our product is there. Our product is sampling. We have a strong partner, and we will talk about it in the coming quarters, on the progress. So that's on the off-grid, pure off-grid microinverter. On the grid-agnostic one, it gets more exciting. The grid-agnostic one, obviously, there are a lot of cases. We service somebody who wants to be completely grid-independent. We service somebody who wants to be totally dependent on the grid but just wants backup as a peace of mind. So Ensemble is a technology that can do whatever the customer wants. That's why we call it as grid-agnostic. And Ensemble is complex. It is -- got 4 components, which is the micro, the battery, the automatic transfer switch and the combiner and the cloud. Having working all of these together seamlessly in terms of hardware and software is something that we have been challenged with, and I think that's why we are experiencing the delay. But the way I think about it is 2 big opportunities on the Ensemble side. One is the storage, Encharge, which takes our revenue per home from $2,000 to $10,000. And the other is even if there is not much storage attachment, the -- what would people want, a grid-agnostic solar or a grid-tied solar? I mean, we think that most people would want a grid-agnostic solar given a choice. So once again, we are extremely excited about that technology. We're extremely excited about Ensemble, but we did not want to get ahead of ourselves. Right now, we are basically having our heads to the table. We are focused on execution, and we are focused on getting this product out in the fourth quarter of 2019.

正確的。所以 Ensemble 旨在服務 2 個市場，一個是與電網無關的細分市場，另一個是離網細分市場。在我們步入正軌的離網細分市場方面，我們於 2018 年第四季度開始向我們的主要客戶提供產品樣品，我們預計將在 2019 年第一季度向他們大量發貨。所以我要說的是這個。我的意思是，如果你看看 - 是的，如果你看看離網技術將發揮重要作用的國家，它將是像印度和非洲這樣的地方。印度和非洲是你會看到的地方——當然，光伏和存儲系統不會那麼大。它們會很小，但想像一下有 1 或 2 個交流模塊或 1 或 2 個帶微型逆變器的模塊的小屋。因此，這將非常適合微型逆變器的架構。現在對我們進行評估還為時過早——談論數量和談論坡道，但我們很高興我們的產品在那裡。我們的產品正在打樣。我們有一個強大的合作夥伴，我們將在未來幾個季度討論它的進展情況。這就是離網、純離網微型逆變器。在與網格無關的方面，它變得更加令人興奮。顯然，與網格無關的情況有很多。我們為想要完全獨立於電網的人提供服務。我們為那些想要完全依賴電網但只希望備份作為安心的人提供服務。因此，Ensemble 是一項可以滿足客戶需求的技術。這就是為什麼我們稱其為網格不可知論者。Ensemble 很複雜。它有 4 個組件，即微型、電池、自動轉換開關、組合器和雲。在硬件和軟件方面將所有這些無縫地結合在一起是我們一直面臨的挑戰，我認為這就是我們遇到延遲的原因。但我認為這是 Ensemble 方面的 2 個大機會。一個是存儲，Encharge，它使我們每個家庭的收入從 2,000 美元增加到 10,000 美元。另一個是即使沒有太多的存儲附件，人們想要什麼，與電網無關的太陽能還是並網太陽能？我的意思是，我們認為如果有選擇，大多數人會想要一個與電網無關的太陽能。因此，我們再次對這項技術感到非常興奮。我們對 Ensemble 感到非常興奮，但我們不想超越自己。現在，我們基本上已經開始討論了。我們專注於執行，我們專注於在 2019 年第四季度推出這款產品。

Okay. Just another one. Maybe talk about the percentage shipped in AC modules and the form factor or a range where you have been in 4Q and where you think it could go by, say, year-end '19.

好的。只是另一個。也許談談 AC 模塊的出貨百分比和外形尺寸，或者你在第四季度的範圍，以及你認為它可能會去的地方，比如 19 年底。

Look, we're not going to break out the percentage shipments, but AC modules have been increasing slowly and steadily. And it starts with customers like SunPower, which is all AC modules, or the microinverters, IQ 7XS, that we shipped to SunPower is in their Equinox AC modules. In addition, partners like Solaria are all gaining a lot of traction in their market. Solaria has got a 355-watt AC module that use our IQ 7+ microinverter, which is a 295-watt AC output. So basically a DC:AC ratio of 1.2 there. And Solaria value proposition, it's [an AC] module, it is aesthetic, and that's why everybody likes it. That's that. And earlier in the year, we announced our partnership with Panasonic. That's slowly getting to be a reality, and we'll announce when we are ready there. So basically, these are our very strong partners, and in addition, we have a few more that we are working on in the international regions, which we'll announce when we are ready.

看，我們不會打破出貨量的百分比，但 AC 模塊一直在緩慢而穩定地增長。它從像 SunPower 這樣的客戶開始，它都是交流模塊，或者我們運送給 SunPower 的微型逆變器 IQ 7XS 在他們的 Equinox 交流模塊中。此外，像 Solaria 這樣的合作夥伴都在他們的市場上獲得了很大的吸引力。Solaria 有一個 355 瓦的交流模塊，它使用我們的 IQ 7+ 微型逆變器，這是一個 295 瓦的交流輸出。所以基本上 DC:AC 比率為 1.2。而 Solaria 的價值主張，它是 [AC] 模塊，它很美觀，這就是每個人都喜歡它的原因。就是這樣。今年早些時候，我們宣布了與松下的合作夥伴關係。這正在慢慢成為現實，我們會在準備就緒時宣布。所以基本上，這些是我們非常強大的合作夥伴，此外，我們還有一些我們正在國際地區開展工作，我們會在準備就緒時宣布。

Maybe just the last one for me. To get to the high and low end of your margin guidance for 1Q, can you just talk about the factors? Is it some combination of mix, obviously, which you've done potentially in terms of sharing the tariff impact? Maybe just talk about those factors, more important ones, to get to that 300 bps delta?

也許對我來說只是最後一個。要獲得第一季度利潤率指導的高端和低端，您能談談這些因素嗎？顯然，您在分擔關稅影響方面可能已經做了一些混合的組合嗎？也許只是談論那些因素，更重要的因素，以達到 300 個基點的增量？

Yes, I mean, look, we are already sharing the tariff cost with our customers. We did that effective in Q4 of '18, which is what we've said we would. So we're doing that. Really, the puts and takes on gross margin, the 4.3% really comes from air shipping our microinverters so that we provide customer service. And so I didn't -- to tell you the truth, I prioritized customer service in Q4, and therefore, we spent a lot of money air shipping products. Now a few of our customers were also willing to pay for air ships, so that basically offset us a little bit. But even after that, we still had a gross margin hit of 4.3%, as we said. And now in Q1 of '19, with the supply situation a little bit better, we're not going to be spending so much of money. But still, it is significant. 2% to 3% in terms of air shipments is still significant, and that's really accounted in the guidance of 31% to 34%.

是的，我的意思是，看，我們已經在與客戶分擔關稅成本。我們在 18 年第四季度做到了這一點，這就是我們所說的。所以我們正在這樣做。真的，看跌期權和毛利率，4.3% 真的來自空運我們的微型逆變器，以便我們提供客戶服務。所以我沒有 - 說實話，我在第四季度優先考慮客戶服務，因此，我們花了很多錢空運產品。現在我們有幾個客戶也願意出錢買飛艇，所以基本上抵消了我們一點點。但即使在那之後，正如我們所說，我們的毛利率仍然達到 4.3%。現在在 19 年第一季度，隨著供應情況好一些，我們不會花那麼多錢。但是，這仍然很重要。就空運而言，2% 到 3% 仍然很重要，這確實佔了 31% 到 34% 的指導。

Sorry, if I may just sneak in a last one. Just talk about the competitive environment, whether from existing and then maybe new entrants, what you're seeing, both last quarter and what you expect in 2019.

抱歉，請允許我偷偷溜進最後一個。只需談談競爭環境，無論是來自現有競爭者還是新進入者，你在上個季度所看到的以及你對 2019 年的預期。

I mean, the competitive environment remains pretty, I mean, pretty much the same. There is not much change. Of course, we are all talking about Huawei. We do not see them that much in the residential space right now, but of course, they're a formidable competitor. We are watching the space. But let me remind you that our product is unique. Our product is differentiated. It's a microinverter, and we focus on differentiation through innovation. So we'll be prepared to meet competition.

我的意思是，競爭環境仍然很好，我的意思是，幾乎沒有變化。變化不大。當然，我們都在談論華為。我們現在在住宅空間中看不到它們，但當然，它們是一個強大的競爭對手。我們正在觀察空間。但讓我提醒您，我們的產品是獨一無二的。我們的產品與眾不同。這是一個微型逆變器，我們專注於通過創新實現差異化。所以我們準備迎接競爭。

And our next question comes from Eric Stine with Craig-Hallum.

我們的下一個問題來自 Eric Stine 和 Craig-Hallum。

Maybe just wanted to start with SunPower, and I might have missed this, but did you break out the percentage of your revenues in fourth quarter there? And then just curious if you could talk about the ramp, I know it's still early, but the ramp and maybe how it's progressing versus your expectations when you made the acquisition a couple months ago.

也許只是想從 SunPower 開始，我可能錯過了這個，但你有沒有在第四季度打破你的收入百分比？然後很好奇你是否可以談論斜坡，我知道現在還早，但是斜坡以及它的進展情況可能與你幾個月前進行收購時的預期相去甚遠。

We are not going to break out the percentage of SunPower revenue. But I'll tell you what, I mean, it is -- the ramp is very much in line with our expectation. I expected volume shipments beginning Q4 of '18, and we're exactly at that point, where we had volume shipments to SunPower on our IQ 7XS microinverters in Q4 of '18. I expect Q1 '19 to be a ramp, a nice ramp, and I expect us to be done by Q2 of '19, as I previously communicated.

我們不會公佈 SunPower 收入的百分比。但我會告訴你什麼，我的意思是 - 斜坡非常符合我們的預期。我預計從 18 年第四季度開始批量出貨，而我們恰好在那個時候，我們在 18 年第四季度的 IQ 7XS 微型逆變器上向 SunPower 批量發貨。我希望 19 年第一季度成為一個斜坡，一個很好的斜坡，我希望我們能在 19 年第二季度完成，正如我之前所說的那樣。

And I guess you touched on this on your answer to previous questions. But I'm just curious -- with SunPower, with some of the traction you're getting with some of your other AC module partners, just curious what you're seeing from the rest of the market. I mean, what that's doing in terms of interests, people coming to you looking for their own solution, anything along those lines would be helpful.

我猜你在回答之前的問題時提到了這一點。但我只是好奇——對於 SunPower，你從其他一些交流模塊合作夥伴那裡獲得了一些吸引力，只是好奇你從其他市場上看到了什麼。我的意思是，就利益而言，這是在做什麼，人們來找你尋找他們自己的解決方案，沿著這些方向的任何事情都會有所幫助。

Yes, I mean, if you really see -- the AC module is actually perfect when you see that the modules are going to higher and higher power because we can easily scale our microinverters. So it's actually advantageous for us in terms of gross margin as well. And having said that, SunPower is the biggest, and then people like Solaria, for example, like -- I'll reemphasize that again, it's a 355 watt AC module, and it is really neat module, 72-cell module and very high aesthetics, black on black, and it really looks nice. So those are the kind of partnerships we are actually getting, and we are getting many such partnerships across the world. Like for example, Europe, yes, in Europe, there are a couple of partnerships which we are working on. We cannot announce them yet, but they are making rapid progress.

是的，我的意思是，如果你真的看到了——當你看到模塊的功率越來越大時，交流模塊實際上是完美的，因為我們可以輕鬆地擴展我們的微型逆變器。因此，就毛利率而言，它實際上對我們也有利。話雖如此，SunPower 是最大的，然後人們喜歡 Solaria，例如，我會再次強調，它是一個 355 瓦的交流模塊，它非常整潔，72 芯模塊，非常高美學，黑色對黑色，它真的很好看。所以這些就是我們實際獲得的合作夥伴關係，我們在世界各地建立了許多這樣的合作夥伴關係。例如，歐洲，是的，在歐洲，我們正在建立幾個合作夥伴關係。我們還不能宣布他們，但他們正在迅速取得進展。

Got it. Let's see, maybe last one for Eric, just on the OpEx. You mentioned that in the fourth quarter, you had some professional fees and some other SOX-related items that ran a little hotter than you thought. And the guide for first quarter, I mean, it sounds like it's going to persist. But maybe beyond first quarter, maybe a way to think about OpEx at a more normalized level.

知道了。讓我們看看，也許是 Eric 的最後一個，就在 OpEx 上。你提到在第四季度，你有一些專業費用和其他一些與 SOX 相關的項目比你想像的要熱一些。我的意思是，第一季度的指南聽起來會持續下去。但也許在第一季度之後，也許是一種在更規範化的水平上思考 OpEx 的方式。

Yes, I think that we -- when we think about OpEx for 2019, except for the qualifications on Q4 and Q1, Eric, we should think it in terms of the model, the financial operating model that we set out, right, which is cash generating. So the 20% number is still relevant. It may go up a little bit. It may go down. It's the whole model of the 30-20-10 that we basically live by, and that will be the guiding principle outside this unique, specific circumstances, right?

是的，我認為我們 - 當我們考慮 2019 年的 OpEx 時，除了第四季度和第一季度的資格，埃里克，我們應該從模型的角度來考慮，我們制定的財務運營模型，對，這是產生現金。所以 20% 的數字仍然有意義。它可能會上漲一點。它可能會下降。這是我們基本上賴以生存的 30-20-10 的整個模型，這將是這種獨特、特定情況之外的指導原則，對嗎？

And our next question comes from Jeff Osborne with Cowen and Company.

我們的下一個問題來自 Cowen and Company 的 Jeff Osborne。

Maybe just following up on Eric's question. Eric, is there a way you can quantify what the OpEx increase was in Q4 for SOX and professional fees? Or will that be broken out in the 10-K?

也許只是跟進 Eric 的問題。Eric，有沒有一種方法可以量化第 4 季度 SOX 和專業費用的 OpEx 增長？還是會在 10-K 中被打破？

Yes, it will be broken out in 10-K. You actually can see that as well, I believe, in the tables of the press release, right? And for the most part, you can see there the stock component 1.5, another portion associated with the restructure fees. So everything is neatly easy to follow there compared with the prior quarter, and then you can take it into the following.

是的，它將在 10-K 中被打破。我相信，您實際上也可以在新聞稿的表格中看到這一點，對嗎？在大多數情況下，您可以看到股票部分 1.5，這是與重組費用相關的另一部分。因此，與上一季度相比，那裡的一切都非常容易遵循，然後您可以將其帶入下一個季度。

Got it. And then I think Badri had in his prepared remarks a comment about the last, if I heard you right, Badri, the last milestone payment would be showing up in Q1 from your partner for IQ 8. Can you, a, confirm that? Then B, is there a way to think about what the magnitude of that payment is?

知道了。然後我認為 Badri 在他準備好的評論中對最後的評論發表了評論，如果我沒聽錯的話，Badri，最後一筆里程碑付款將出現在 Q1 中，您的合作夥伴會為 IQ 8 付款。您可以確認嗎？那麼 B，有沒有辦法考慮這筆付款的金額是多少？

Yes, confirmed. Yes, it will be Q1 of '19, and it will be under $1 million.

是的，確認了。是的，這將是 19 年的第一季度，而且將低於 100 萬美元。

Okay. I just noticed you hadn't -- you didn't break that out when you were talking about the puts and takes on the gross margins side, but it's under a $1 million. And is that the last of the payments? Or is there any additional payments in the future?

好的。我只是注意到你沒有 - 當你談論看跌期權時你沒有打破它並承擔毛利率，但它低於 100 萬美元。這是最後一筆付款嗎？或者以後有沒有額外的付款？

That's the last of the payments.

這是最後一筆付款。

Got it. And then another question, on SunPower. I know you can't break out specifics, but is there a way you can talk about what your level of engagement is with their channel, their dealer network? Is that something that you have more than half of their channel has been exposed to the product? Or is that still an uphill battle over the next 6 months for you to penetrate that channel?

知道了。然後是另一個關於 SunPower 的問題。我知道你不能說出具體細節，但有沒有辦法可以談談你與他們的渠道、他們的經銷商網絡的參與程度？你有超過一半的頻道已經接觸過產品嗎？還是在接下來的 6 個月內，您要打入該渠道仍是一場艱苦的戰鬥？

No, I mean, it's not an uphill battle, but it is not for us to penetrate the channel. SunPower is going to exclusively use Enphase microinverters, and therefore, it is in SunPower's best interest to promote these microinverters and the future microinverters to their dealer network. So our job is a little bit easier there because SunPower is taking all -- I mean, is making all the effort to make sure that everybody is trained, the dealer network is trained, and of course, we are helping them every step of the way.

不，我的意思是，這不是一場艱苦的戰鬥，但不是讓我們突破航道。SunPower 將獨家使用 Enphase 微型逆變器，因此，向其經銷商網絡推廣這些微型逆變器和未來的微型逆變器符合 SunPower 的最佳利益。所以我們在那裡的工作稍微容易一些，因為 SunPower 正在全力以赴——我的意思是，正在盡一切努力確保每個人都接受培訓，經銷商網絡也接受培訓，當然，我們正在幫助他們的每一步方式。

Got it. That makes sense. The last question I had was on the component side. Two-part question, one is on IQ 8. Does that use more or less of these 600-volt transistors? I know it's a slightly different form factor and more cost optimized, but I wasn't sure if it's more intensive on the transistor side in particular.

知道了。這就說得通了。我的最後一個問題是關於組件方面的。由兩部分組成的問題，一個是關於 IQ 8 的。它使用了更多還是更少的這些 600 伏晶體管？我知道它的外形略有不同，而且成本更優化，但我不確定它是否在晶體管方面更加密集。

The IQ 8 uses the same for high-voltage transistors.

IQ 8 使用相同的高壓晶體管。

Got it. And then as part of these now, I guess, 3 contracts you have on supply. Is there any notable cash payments upfront that would be disclosed in the 10-K as that's published? Or how does the mechanics of these work? And the second part of that question would be, what are the general duration of these types of contracts just in the events that the auto industry or some other industry comes back and these components continue to have a problem later in the year and in 2020?

知道了。然後，作為其中的一部分，我猜，您有 3 份供應合同。是否有任何顯著的預付現金會在發布的 10-K 中披露？或者這些機制是如何運作的？這個問題的第二部分是，如果汽車行業或其他一些行業回歸併且這些組件在今年晚些時候和 2020 年繼續出現問題，這些類型的合同的一般期限是多長？

Yes, we have 2 arrangements that we have on top of the one that we have existing before. One of the 2 that are new, that Badri set out, is actually a continuation of the existing one with some prepaid arrangements similar to what we have before. The other one is with another one with -- it has a take-or-pay that is very short time frame, right? So probably, I wouldn't think beyond 18 months to 2 years, right, which gives us enough runway to get the problem resolved, but at the same time, doesn't commit the company on a structured pricing arrangement on a take-or-pay for a long term.

是的，除了我們之前已有的安排之外，我們還有 2 項安排。Badri 提出的 2 項新計劃中的一項實際上是現有計劃的延續，其中包含一些類似於我們之前的預付費安排。另一個是另一個 - 它有一個非常短的時間框架，對吧？所以可能，我認為不會超過 18 個月到 2 年，對吧，這給了我們足夠的跑道來解決問題，但與此同時，公司不會承諾在接受或接受時進行結構化定價安排- 長期支付。

And our next question comes from Amit Dayal with H.C. Wainwright.

我們的下一個問題來自 H.C. 的 Amit Dayal。溫賴特。

Most of my questions have been asked. Maybe just on the leverage of the business. Now that we're seeing some revenue ramp coming through, what is the opportunity over here? Should we expect operating cost to sort of normalize at these levels? Or should these expected to increase with the ramp in revenues?

我的大部分問題都被問到了。也許只是依靠業務的槓桿作用。既然我們看到了一些收入增長，那麼這裡的機會是什麼？我們是否應該期望運營成本在這些水平上正常化？或者這些應該隨著收入的增加而增加嗎？

Right now, you should think about the OpEx as -- our long-term model is 20% of revenue. We are not going to deviate from that. We incurred restructuring expenses to make sure we have the right people in the right places, so we are very confident that we can meet that. Yes, that's not an issue. So we are -- while we ramp revenue, we will control OpEx at 20% of sales, okay?

現在，您應該將 OpEx 視為——我們的長期模型是收入的 20%。我們不會偏離這一點。我們承擔了重組費用，以確保我們在合適的地方擁有合適的人員，因此我們非常有信心能夠實現這一目標。是的，這不是問題。所以我們 - 在增加收入的同時，我們將把運營支出控制在銷售額的 20%，好嗎？

Got it. So the 30-20-10, no update to that maybe in the next few quarters?

知道了。那麼 30-20-10，可能在接下來的幾個季度沒有更新嗎？

Look, I mean, the 30-20-10 is more and more looking like 32-22-10. So I mean, what you should be looking at is the 30-20-10 spirit is what, it's the 10% operating income. So as long as that is met, the numbers will fluctuate a little bit, yes, but having said that, we feel good about our profitable top line growth vectors. We feel good that even if Ensemble is late, we feel that the other 3 vectors are actually kicking in and more than compensating for that. And so we feel really good about that, but -- and still, we are not going to guide more than 1 quarter out, and we know this is a solar industry, anything can happen overnight. We know if the government sneezes on this a little bit, things can go south. So we're not going update more right now.

看，我的意思是，30-20-10 越來越像 32-22-10。所以我的意思是，你應該關注的是 30-20-10 精神，即 10% 的營業收入。因此，只要滿足這一點，數字就會有點波動，是的，但話雖如此，我們對盈利的頂線增長向量感到滿意。我們感覺很好，即使 Ensemble 遲到了，我們覺得其他 3 個向量實際上正在發揮作用，並且不僅僅是對此的補償。所以我們對此感覺非常好，但是 - 而且，我們不會指導超過 1 個季度，而且我們知道這是一個太陽能行業，任何事情都可能在一夜之間發生。我們知道，如果政府對此稍加打噴嚏，事情就會向南發展。所以我們現在不會更新更多。

Right. And in the context of pretty strong sort of guide for the first quarter relative to the fourth quarter, Ensemble, should we expect Ensemble to really contribute anything meaningful this year? Or should that be pushed out in terms of expectations from 2020?

正確的。在第一季度相對於第四季度 Ensemble 相當強大的指導的背景下，我們是否應該期望 Ensemble 今年真正做出任何有意義的貢獻？還是應該根據 2020 年的預期將其推遲？

Look, I mean, when we introduce the product in the fourth quarter, obviously, that will be only the ramp, right? There will be much significant revenue from Ensemble in 2019.

看，我的意思是，當我們在第四季度推出該產品時，顯然，這只是斜坡，對吧？2019 年 Ensemble 的收入將非常可觀。

And our next question comes from Colin Rusch with Oppenheimer.

我們的下一個問題來自 Colin Rusch 和 Oppenheimer。

It looks like you increased the working capital a little bit here with AR getting up to almost 78 days for the quarter. Can you talk a little bit about what happened there and what your expectation is for working capital needs as you go into the first part of 2019?

看起來你在這裡增加了一點營運資金，本季度的 AR 接近 78 天。您能否談談那裡發生的事情以及您在進入 2019 年上半年時對營運資金需求的期望？

Yes, I'll take the first part, and Badri can probably cover the business aspect of it, Colin. But if you think about it, the FIT supply component made some shortages, right? It has created charges on our linearity, right? So what you see is significant amount of shipments taking place sometimes on even an expedited costing basis and air shipping towards the end of the quarter, right? And that has been aggravated since Q3, and so now, I believe we are turning a corner, right, in which you can see receivables with days sales outstanding of 70 days, right? And at the same time, that compensated with the payables side of it, right? Which we have a lot of purchases of inventory taking place toward the end of the quarter. So with that being said, you end up with super low levels of inventories on the working capital front, maybe a little bit below our comfort level for operational flexibility. And now we're at 23 days with a total cash conversion cycle of 24 weeks of working capital in the quarter, right? So we believe with the linearity challenges being started to get resolved in Q1 and pretty much gone by the end of Q2, we are in good shape to normalize our business back again and start seeing receivables, payables getting to our own internal targets, right?

是的，我將負責第一部分，Badri 可能會介紹它的業務方面，Colin。但是你仔細想想，FIT 供應部分造成了一些短缺，對吧？它對我們的線性產生了影響，對吧？因此，您看到的是，有時甚至在加急成本核算的基礎上進行大量發貨，並且在本季度末進行空運，對嗎？自第三季度以來，這種情況更加嚴重，所以現在，我相信我們正在拐彎，對吧，你可以看到應收賬款的銷售未付天數為 70 天，對吧？同時，這補償了它的應付賬款，對吧？我們在本季度末購買了大量庫存。因此，話雖如此，您最終在營運資金方面的庫存水平極低，可能略低於我們對運營靈活性的舒適水平。現在我們處於 23 天，本季度總現金轉換週期為 24 週的營運資金，對嗎？因此，我們相信，隨著線性挑戰在第一季度開始得到解決，到第二季度末幾乎消失，我們處於良好狀態，可以再次正常化我們的業務，並開始看到應收賬款、應付賬款達到我們自己的內部目標，對吧？

And as you go into 2019, so you're expecting that [10 one] should be a source of cash and your expectations for March and June?

當你進入 2019 年時，你期望 [10 one] 應該成為現金來源以及你對 3 月和 6 月的期望嗎？

I didn't quite follow your question. Say that again.

我不太明白你的問題。再說一次。

You should be generating a bit of cash from the working capital as you go into March and June or you feel like you're going to consume that as you ramp up.

進入 3 月和 6 月時，您應該從營運資金中產生一些現金，否則您會覺得在增加時會消耗掉它。

Yes, it's just cash [committed, hold cash] a little bit, right? We feel confident about our cash generating capability based on our financial operating model that we have, right? 30-20-10 or, like Badri put it, 32-22-10, right? That model is a cash-generating model, right? We don't see all the things that we took into account, I believe, we're going to continue going forward into the year by resolving the linearity challenges and increasing our cash cover, right?

是的，只是現金[承諾，持有現金]一點點，對吧？根據我們擁有的財務運營模式，我們對我們的現金產生能力充滿信心，對嗎？30-20-10，或者像 Badri 所說的那樣，32-22-10，對吧？該模型是一種現金生成模型，對嗎？我們沒有看到我們考慮的所有事情，我相信，我們將通過解決線性挑戰和增加我們的現金保障來繼續進入這一年，對嗎？

Okay, that's helpful. And then you broke out international and domestic sales. As you look into 2019, how is that shifting at all? And is there a price component that you're going to see a benefit or any sort of headwinds on from mix on a geographic basis?

好的，這很有幫助。然後你爆發了國際和國內銷售。當您展望 2019 年時，情況發生了怎樣的變化？在地理基礎上，您是否會從混合中看到收益或任何不利因素的價格組成部分？

Look, I mean, it's still going to be heavily skewed towards North America because of SunPower. Having said that, we are really excited about Europe. We had the highest megawatt in our shipments, like what we noted, really excited about the social housing boom in Netherlands, and we have very strong distribution partnerships in France. And once the component shortages are resolved, we hope to break into other regions like start ramping in Germany, start ramping in Austria. Those are the places we would like to start ramping. And then if you look at Australia and the Asia Pacific, Australia, New Zealand, et cetera, there, we really took this opportunity with the component shortages in order to correct our inventory, correct the inventory in the channel. And we did that in Q4. We brought on a General Manager and his expertise. He's a solar guy. He understands storage as well, and we really want him to grow the battery business there. And then the last one is India. We were not talking about India much, but with the off-grid products starting to come, the pure off-grid product, I'm really excited about the prospects in India as well. There are some niche applications that I'm not going to talk about right now, but as our pure off-grid product rolls out in the first half of the year and as Ensemble turns on, there are exciting prospects there as well.

看，我的意思是，由於 SunPower，它仍然會嚴重偏向北美。話雖如此，我們對歐洲真的很興奮。就像我們注意到的那樣，我們的出貨量是最高的兆瓦，對荷蘭的社會住房繁榮感到非常興奮，並且我們在法國擁有非常強大的分銷合作夥伴關係。一旦組件短缺問題得到解決，我們希望打入其他地區，比如在德國開始量產，在奧地利開始量產。這些是我們想要開始的地方。然後，如果你看看澳大利亞和亞太地區、澳大利亞、新西蘭等地，我們確實抓住了這個機會，解決了組件短缺問題，以糾正我們的庫存，糾正渠道中的庫存。我們在第四季度做到了。我們帶來了一位總經理和他的專業知識。他是個太陽人。他也了解存儲，我們真的希望他在那裡發展電池業務。最後一個是印度。我們並沒有過多地談論印度，但隨著離網產品的出現，純離網產品，我對印度的前景也感到非常興奮。有一些我現在不打算談論的小眾應用，但隨著我們的純離網產品在今年上半年推出以及隨著 Ensemble 的啟動，那裡也有令人興奮的前景。

And our next question comes from Philip Shen of ROTH Capital Partners.

我們的下一個問題來自 ROTH Capital Partners 的 Philip Shen。

I'll follow up on the last question there by Colin. I think we're seeing some really nice growth internationally. Is there a situation where you can see the international growth rate actually being faster than the U.S.? Or do you kind of look at it in that way at all? And if so, do you see potential for getting to an international versus U.S. mix of, call it, 60-40, even 50-50, someday in the near, call it, medium term, 2 to 3 years out.

我將跟進 Colin 提出的最後一個問題。我認為我們在國際上看到了一些非常好的增長。有沒有一種情況你可以看到國際增長率實際上比美國快？還是您完全以這種方式看待它？如果是這樣，您是否認為有可能在近期、中期、2 至 3 年後的某一天，將其稱為 60-40，甚至 50-50 的國際與美國組合。

Yes, I mean, that's our goal, Phil, to obviously get to parity in terms of U.S. versus Europe versus Asia to get to something like 33-33-33. But having said that, the U.S. business is the strongest at this point in time, especially with SunPower, especially with financial stability, with the long tail of customers coming back because of our product quality, because of our customer experience, U.S. is really firing on all cylinders right now. And I think 2019 is going to be about the U.S. and -- but I'm optimistic that 2021 time frame, we can start being more balanced in terms of all the deals.

是的，我的意思是，這就是我們的目標，菲爾，顯然要在美國與歐洲與亞洲之間達到平等，達到 33-33-33 之類的水平。但話雖如此，美國業務在這個時間點是最強的，尤其是SunPower，尤其是財務穩定，有長尾客戶回來因為我們的產品質量，因為我們的客戶體驗，美國真的很火現在在所有氣缸上。我認為 2019 年將與美國有關——但我對 2021 年的時間框架持樂觀態度，我們可以開始在所有交易方面更加平衡。

Great, that makes a lot of sense. And we're even starting to hear about some really aggressive growth rates for the overall U.S. market. I think people are going to think about 15% year-over-year growth, but I'm hearing now a 20%, maybe even 25% or 30% growth in the U.S. as a market overall. Are you guys seeing any of that? Let's put your internal supply constraints or component shortages aside, when you look at the U.S. market, is there any validation or potential, you think, that the overall U.S. market can actually grow 25% year-over-year '19 versus '18? And when I say overall, let me specify that for residential, and if you want to speak to commercial feel free.

太好了，這很有道理。我們甚至開始聽說整個美國市場的一些非常激進的增長率。我認為人們會考慮 15% 的同比增長，但我現在聽說美國整體市場增長 20%，甚至可能增長 25% 或 30%。你們看到了嗎？讓我們把內部供應限製或組件短缺放在一邊，當你看看美國市場時，你認為是否有任何證據或潛力表明整個美國市場在 19 年與 18 年相比實際上可以同比增長 25%？當我說整體時，讓我具體說明住宅，如果你想談談商業，請隨意。

Yes, I mean, I'm going to talk only about the residential space. And yes, I mean, look, what I said in the last conference call is that we could not ship more than $10 million of demand. And in the -- I said that in the Q3 conference call and that number is a little bit higher for Q4. So basically, yes, there is a lot of demand out there, and we are seeing a lot of demand because of our financial stability, because of our strong balance sheet. Because IQ 7 is the latest and greatest product that we have, our customer experience are high quality, and so demand is strong. And it is also supply limited at this point in time, and I expect the next 2 quarters like that. But I'm optimistic about Q3 and Q4.

是的，我的意思是，我只想談談居住空間。是的，我的意思是，聽著，我在上次電話會議上說的是我們不能運送超過 1000 萬美元的需求。在 - 我說過，在第三季度電話會議中，第四季度的數字略高。所以基本上，是的，那裡有很多需求，由於我們的財務穩定，由於我們強大的資產負債表，我們看到了很多需求。因為 IQ 7 是我們擁有的最新最好的產品，我們的客戶體驗是高質量的，因此需求很旺盛。而且目前供應有限，我預計接下來的兩個季度也是如此。但我對第三季度和第四季度持樂觀態度。

Great. And following up on that thought there, Badri, can you talk about Q1? Your official guide is $90 million to $95 million. I know you're sold out. I know you had internal constraints. But how much revenue do you think you're leaving on the table as it relates to Q1 specifically?

偉大的。繼續那個想法，Badri，你能談談 Q1 嗎？你的官方指南是 9000 萬到 9500 萬美元。我知道你賣完了。我知道你有內部限制。但是，您認為與第一季度具體相關的收入有多少？

So Phil, we are not going to break that out. I broke that out in Q3 because -- just to show that our top line is starting to break out. Now we are not going to get into the habit of breaking that out. But I'd just tell you this, I mean, we feel really good. The demand is strong. And what we feel bad is we're not -- I mean, we are still not servicing customers well in terms of deliveries, and we need to fix that. That's what I'm working on day and night. That's what our top priority is, to not be internally focused but to be focused on what customers want, and we need to do a lot more work there.

所以菲爾，我們不會打破它。我在第三季度打破了這一點，因為 - 只是為了表明我們的頂線開始突破。現在我們不會養成打破它的習慣。但我只想告訴你，我的意思是，我們感覺非常好。需求強勁。我們感到難過的是我們沒有——我的意思是，我們在交付方面仍然沒有很好地為客戶提供服務，我們需要解決這個問題。這就是我日以繼夜的工作。這就是我們的首要任務，不是專注於內部，而是專注於客戶的需求，我們需要在這方面做更多的工作。

Great. One last one for me, on the competitive dynamics in Europe. I know we were just talking about Huawei, more skewed to the U.S. But in Europe, they have been selling their product for some time. Can you talk about whether or not you're running into them at all? As it relates to installers and customers, is their storage product getting -- like, are you competing with them, do you think? Or do you feel like the demand, overall market demand, is so strong, it's really not an issue? Would love to hear your thoughts on that in Europe.

偉大的。最後一個對我來說，關於歐洲的競爭動態。我知道我們只是在談論華為，更偏向於美國。但在歐洲，他們銷售產品已有一段時間了。你能談談你是否遇到過他們嗎？由於它與安裝人員和客戶相關，他們的存儲產品是否正在——比如，你認為你在與他們競爭嗎？還是您覺得需求，整體市場需求如此強勁，這真的不是問題？很想听聽您對歐洲的看法。

Hey, Phil, this is Raghu. Yes, we definitely see them in the market in Europe. We are competing with them very effectively, of course, in the markets that we are more active, in Holland, Netherlands, and in France and a couple of other countries in that region. So we do run into them, but we clearly have been very effective there and doing well given that in Q4 we had the highest megawatt shipped ever in Europe, both in terms of megawatts actually as well in terms of unit. So I think it is -- but he mentioned this earlier on, it's because we have a really well-differentiated product. We do microinverters. We do strings with or without optimizers, right? So I think the fact that it's a microinverter that is the highest performance and very high quality and reliability as well as the customer experience itself, including customer support and the work that we have done is what's, I think, separating us from all the other string players that are out there, which obviously, there's more than just Huawei. The other thing also is, and we touched upon this earlier on, that ACM, AC modules could be very interesting in Europe. We are now actively engaged with a few partners that we'll announce when we are ready, and there's clear value to be -- value generation when installers install AC modules, both in terms of the savings, both on the logistics side as well as the installation time and quality of installation, training, inspection, et cetera. So all in all, we feel pretty -- we feel very good about Europe, and it's shown in the numbers, right? Like I said, we did record numbers in Q4.

嘿，菲爾，這是拉古。是的，我們肯定會在歐洲市場上看到它們。當然，我們在荷蘭、荷蘭、法國和該地區的其他幾個國家更活躍的市場上與他們進行了非常有效的競爭。所以我們確實遇到了他們，但我們顯然在那裡非常有效並且做得很好，因為在第四季度我們的出貨量是歐洲有史以來最高的兆瓦，無論是實際兆瓦還是單位。所以我認為是——但他早些時候提到過，這是因為我們有一個非常差異化的產品。我們做微型逆變器。我們使用或不使用優化器來處理字符串，對嗎？所以我認為，事實上它是一款性能最高、質量和可靠性最高的微型逆變器，以及客戶體驗本身，包括客戶支持和我們所做的工作，我認為這就是我們與其他所有產品的區別那裡的弦樂演奏者，顯然，不僅僅是華為。另一件事是，我們之前提到過，ACM、AC 模塊在歐洲可能會非常有趣。我們現在正積極與一些合作夥伴合作，我們會在準備就緒時宣布這些合作夥伴，並且有明確的價值 - 安裝人員安裝交流模塊時產生的價值，無論是在物流方面還是在節省方面安裝、培訓、檢查等的安裝時間和質量。所以總而言之，我們感覺很好——我們對歐洲感覺很好，這在數字上顯示出來了，對吧？就像我說的，我們在第四季度確實創下了記錄。

(Operator Instructions) Our next question comes from Pavel Molchanov with Raymond James.

（操作員說明）我們的下一個問題來自 Pavel Molchanov 和 Raymond James。

Given the deleveraging that you've recently accomplished with a debt paydown and the cash flow that you'll likely generate in 2019, I'm curious if you're becoming more open to acquisition opportunities above and beyond what you've purchased from SunPower? I know that it hasn't historically been the Enphase business model to do M&A, but any changes on that front?

鑑於您最近通過償還債務實現的去槓桿化以及您可能在 2019 年產生的現金流，我很好奇您是否對收購機會變得更加開放，超越您從 SunPower 購買的產品？我知道從歷史上看，進行併購並不是 Enphase 的商業模式，但在這方面有什麼變化嗎？

Yes, so the conversation about the strategic, targeted, accretive, short payback acquisitions similar to something like SunPower on different parts of the spaces, right, more in line with the -- complementary to Ensemble or provision in the commercial sector are always part of the discussions here, right? The success on how we integrate it, pay for, and we are starting harvesting the benefit associated with the SunPower transaction put a high bar in terms of what we are trying to achieve, right? We have cash. We feel very comfortable, but we want to be very careful on how we're going to go about spending it and targeting. Trust me, Pavel, I mean, there will not be kind of big diversion to what we are trying to do for 2019 strategy or potentially decisions that we eventually will need to have a payback that extends beyond 18 months or maybe 2 years, right? So that's kind of how we are seeing it.

是的，所以關於戰略性的、有針對性的、增值的、短期回報收購的討論類似於空間不同部分的 SunPower，對，更符合——對 Ensemble 的補充或商業領域的提供總是這裡的討論對吧？我們如何整合它、支付費用以及我們開始收穫與 SunPower 交易相關的利益方面的成功對我們試圖實現的目標提出了很高的要求，對吧？我們有現金。我們感覺很舒服，但我們要非常小心我們將如何花錢和瞄準目標。相信我，帕維爾，我的意思是，我們為 2019 年戰略或潛在決策所做的努力不會有太大的改變，我們最終需要有超過 18 個月或可能 2 年的回報期，對吧？這就是我們的看法。

Okay. And can we get a quick update on the tariff exception process with relation to the AC modules? I know that's been kind of a work in progress for a while.

好的。我們能否快速了解與交流模塊相關的關稅例外流程？我知道這已經進行了一段時間了。

Yes, you can get an update, and the update is that we have not heard.

是的，您可以獲得更新，而更新是我們沒有聽說過的。

And our next question comes from Brad Meikle with Williams Trading.

我們的下一個問題來自 Williams Trading 的 Brad Meikle。

Just as a follow-up. So you've spoken about one power MOSFET line that's running, another one that's coming up and as well as a couple of contracts, I think, from a supply standpoint. So obviously, implies a lot more demand out there and a lot more supply. Can you speak to your level of confidence that the demand is there and what -- I know you're not guiding on the second half, but just kind of what your demand visibility is for the second half. And just as part of the capacity ramp up, also wanted to know what portion you expect of U.S. demand to be from Guadalajara in the second and third quarter?

就像後續行動一樣。所以你談到了一條正在運行的功率 MOSFET 生產線，另一條即將推出，以及一些合同，我認為，從供應的角度來看。很明顯，這意味著那裡有更多的需求和更多的供應。你能說說你對需求存在的信心程度嗎？我知道你不是在指導下半年，而是說你對下半年的需求可見度是多少。作為產能提升的一部分，您還想知道您預計第二和第三季度美國對瓜達拉哈拉的需求有多少？

Brad, so like what I-- I mean, you already know, we're not going to be talking about specific demand in the -- beyond Q1. But having said that, our objective is to basically make sure we take all supply-related problems off the table. That's what we would like to do. That is why I went and did -- in the last couple of months, I went and did these additional 2 long-term contracts. And Guadalajara coming on is an interesting dynamic. It doesn't change anything on the supply scenario, but it does one thing, which is streamline inventory and cycle time to our customers, which we think is important, especially, as we service the U.S. So if we do a good job in ramping the Flex, Mexico, there is no reason why we cannot ship almost all of the North American demand from Mexico. Time will tell terms of the quality of that plant, et cetera, which we would like to see, but we are working towards that.

布拉德，所以就像我一樣 - 我的意思是，你已經知道，我們不會談論第一季度之後的具體需求。但話雖如此，我們的目標是基本上確保我們將所有與供應相關的問題都排除在外。這就是我們想要做的。這就是我去做的原因——在過去的幾個月裡，我去做了另外兩份長期合同。瓜達拉哈拉的到來是一個有趣的動態。它不會改變供應方案的任何內容，但它做了一件事，即為我們的客戶簡化庫存和周期時間，我們認為這很重要，特別是當我們為美國提供服務時，所以如果我們在提升方面做得很好Flex，墨西哥，我們沒有理由不能從墨西哥運送幾乎所有的北美需求。時間會證明我們希望看到的那種植物的質量等等，但我們正在努力實現這一目標。

Thank you. And just last question is, I guess, solarquotes.com.au in Australia reported that SolarEdge threatening to sue some of the customers around the failure rates being higher, I guess, than expected in that region. We've heard about it in the U.S. as well. Can you speak to whether you think that Enphase will benefit from market share shift away as a result? And just broadly speaking, what you're feeling is in terms of your potential for a market share gain?

謝謝。最後一個問題是，我猜，澳大利亞的 solarquotes.com.au 報導說 SolarEdge 威脅要起訴一些客戶，因為故障率高於該地區的預期。我們在美國也聽說過。您能否談談您是否認為 Enphase 會因此受益於市場份額的轉移？從廣義上講，您的感受是您獲得市場份額的潛力？

Brad, we are not going to comment on the competition, what their strategy is, et cetera, but like I sound like a broken record. The -- what -- where we really -- our core strengths are the product quality, superior customer experience. That is what we do. Ease of use, high quality, high customer service, and so we will continue to offer that to customers. And if they pick us, we are more than happy. Meaning to solve these component shortages, we can start servicing them, right?

布拉德，我們不會評論比賽，他們的策略是什麼，等等，但我聽起來像是一張破唱片。我們真正的核心優勢是產品質量和卓越的客戶體驗。這就是我們所做的。易用性、高質量、優質的客戶服務等我們將繼續為客戶提供。如果他們選擇了我們，我們會非常高興。意味著解決這些組件短缺，我們可以開始維修它們，對嗎？

(Operator Instructions) And I am not showing any further questions at this time. I would now like to turn the call back over to Badri Kothandaraman for any further remarks.

（操作員說明）此時我不會顯示任何進一步的問題。我現在想將電話轉回給 Badri Kothandaraman，以徵求任何進一步的意見。

Thank you for joining us today and for your continued support of Enphase. We look forward to speaking with you once again on our call next quarter.

感謝您今天加入我們以及您對 Enphase 的持續支持。我們期待在下個季度的電話會議上再次與您交談。

Ladies and gentlemen, thank you for participating in today's conference. This does conclude today's program, and you may all disconnect. Everyone, have a wonderful day.

女士們，先生們，感謝你們參加今天的會議。這確實結束了今天的節目，你們都可以斷開連接。每個人，祝你有美好的一天。