是德科技 (KEYS) 2019 Q1 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the Keysight Technologies Fiscal First Quarter 2019 Earnings Conference Call.

女士們先生們，美好的一天，歡迎來到是德科技 2019 財年第一季度收益電話會議。

My name is Kensey, and I will be your lead operator today.

我叫 Kensey，今天我將擔任你們的首席接線員。

(Operator Instructions) Please note that this call is being recorded today, Thursday, February 21, 2019, at 1:30 p.m.

（操作員說明）請注意，此通話將於今天（2019 年 2 月 21 日，星期四）下午 1:30 進行錄音。

Pacific Time.

太平洋時間。

I would now like to hand the conference over to Jason Kary, Vice President, Treasurer and Investor Relations.

我現在想將會議交給財務主管和投資者關係副總裁 Jason Kary。

Please go ahead, Mr. Kary.

請繼續，卡里先生。

Thank you, and welcome, everyone, to Keysight's first quarter earnings conference call for fiscal year 2019.

謝謝大家，歡迎大家參加是德科技 2019 財年第一季度財報電話會議。

Joining me are Ron Nersesian, Keysight President and CEO; and Neil Dougherty, Keysight Senior Vice President and CFO.

加入我行列的是是德科技總裁兼首席執行官 Ron Nersesian；是德科技高級副總裁兼首席財務官 Neil Dougherty。

Joining us in the Q&A session will be Mark Wallace, Senior Vice President of Worldwide Sales; and Satish Dhanasekaran, President of the Communications Solutions Group.

加入我們的問答環節的是全球銷售高級副總裁 Mark Wallace；和通信解決方案集團總裁 Satish Dhanasekaran。

You can find the press release and information to supplement today's discussion on our website at investor.keysight.com.

您可以在我們的網站 investor.keysight.com 上找到新聞稿和信息以補充今天的討論。

While there, please click on the link for quarterly reports under the financial information tab.

在那裡，請單擊財務信息選項卡下的季度報告鏈接。

There, you'll find an investor presentation along with Keysight's segment results.

在那裡，您會看到投資者介紹以及是德科技的部門業績。

Following this conference call, we will post a copy of the prepared remarks to the website.

在本次電話會議之後，我們將在網站上發布準備好的評論副本。

As a reminder, and as we previously announced, we have changed our reporting segments due to an organizational change to align our Services business with our customers and end markets.

提醒一下，正如我們之前宣布的那樣，由於組織變革，我們更改了報告分部，以使我們的服務業務與我們的客戶和終端市場保持一致。

We are now reporting our operating results based on 3 segments: the Communications Solutions Group, the Electronics Industrial Solutions Group and the Ixia Solutions Group.

我們現在根據 3 個部門報告我們的經營業績：通信解決方案集團、電子工業解決方案集團和 Ixia 解決方案集團。

Prior period results for these segments back to 2016 can also be found on our website.

這些細分市場自 2016 年以來的前期結果也可以在我們的網站上找到。

Today's comments by Ron and Neil will refer to non-GAAP financial measures.

Ron 和 Neil 今天的評論將提及非 GAAP 財務指標。

We will also make references to core growth, which excludes the impact of currency movements as well as revenue from acquisitions or divestitures completed within the last 12 months.

我們還將參考核心增長，其中不包括貨幣變動的影響以及過去 12 個月內完成的收購或剝離帶來的收入。

You will find the most directly comparable GAAP financial metrics and reconciliations on our website.

您將在我們的網站上找到最直接可比的 GAAP 財務指標和對賬。

We will make forward-looking statements about the financial performance of the company on today's call.

我們將在今天的電話會議上就公司的財務業績做出前瞻性陳述。

These statements are subject to risks and uncertainties and are only valid as of today.

這些聲明受風險和不確定性的影響，僅在今天有效。

The company assumes no obligation to update them.

公司不承擔更新它們的義務。

Please review the company's recent SEC filings for a more complete picture of our risks and other factors.

請查看公司最近向美國證券交易委員會提交的文件，以更全面地了解我們的風險和其他因素。

Note that management is scheduled to present at the Susquehanna Technology Conference in New York on March 12.

請注意，管理層計劃於 3 月 12 日出席在紐約舉行的 Susquehanna 技術會議。

We hope to see many of you there.

我們希望在那裡見到你們中的許多人。

And now I'd like to turn the call over to Ron.

現在我想把電話轉給羅恩。

Thank you, Jason, and thank you all for joining us.

謝謝你，傑森，感謝大家加入我們。

Keysight delivered an outstanding first quarter with both revenue and earnings exceeding the high end of our guidance and very strong free cash flow.

是德科技第一季度表現出色，收入和收益都超過了我們指導的上限，自由現金流非常強勁。

Our continued focus on strategic execution and commitment to operational excellence are delivering strong results for Keysight.

我們對戰略執行的持續關注和對卓越運營的承諾為是德科技帶來了豐碩的成果。

Today, I'll focus my formal comments on 3 key headlines for the quarter.

今天，我將把我的正式評論集中在本季度的 3 個主要頭條新聞上。

First, it was a great start to the year and Keysight continue to deliver exceptional results.

首先，今年開局不錯，是德科技繼續取得優異成績。

Revenue was well above our guidance and grew 18% or 20% on a core basis to surpass $1 billion for the third consecutive quarter.

收入遠高於我們的指引，並且在核心基礎上增長 18% 或 20%，連續第三個季度超過 10 億美元。

We grew earnings high double digits and delivered $0.93 in EPS, which also exceeded our guidance.

我們的收益增長了兩位數，每股收益為 0.93 美元，也超出了我們的指導。

And we generated a record $209 million in free cash flow, an increase of 42% year-over-year.

我們產生了創紀錄的 2.09 億美元自由現金流，同比增長 42%。

Second, customers continue to make strong R&D investments in next-generation technologies and we continue to achieve broad-based momentum across multiple end markets with our solutions.

其次，客戶繼續對下一代技術進行強大的研發投資，我們繼續通過我們的解決方案在多個終端市場實現廣泛的發展勢頭。

Keysight is at the forefront of several emerging technology trends.

是德科技處於多項新興技術趨勢的前沿。

With our broad and differentiated portfolio of solutions, software and services, we're capturing a significant portion of the demand we see in the marketplace.

憑藉我們廣泛且差異化的解決方案、軟件和服務組合，我們正在捕獲我們在市場上看到的很大一部分需求。

And third, looking forward, we believe, we are well positioned to continue to build on our success and expand our leadership.

第三，展望未來，我們相信，我們有能力繼續鞏固我們的成功並擴大我們的領導地位。

Given our strategic positioning in the key areas of the market, strong start to the year and outlook for Q2, we are confident in our revenue growth and earnings profile for the year.

鑑於我們在市場關鍵領域的戰略定位、今年的強勁開局和第二季度的前景，我們對今年的收入增長和盈利狀況充滿信心。

Now let's take a deeper look into our performance for the first quarter.

現在讓我們更深入地了解我們第一季度的表現。

We achieved $0.93 per share in earnings, which was $0.14 above the midpoint and $0.11 above the high end of our guidance.

我們實現了每股 0.93 美元的收益，比中點高出 0.14 美元，比我們的指導上限高出 0.11 美元。

We delivered 81% earnings growth for the quarter versus a low compare in the previous year.

我們在本季度實現了 81% 的盈利增長，而去年同期則較低。

We also delivered record first quarter orders and strong order growth.

我們還交付了創紀錄的第一季度訂單和強勁的訂單增長。

Orders grew 5% in total and 7% on a core basis to exceed $1 billion.

總訂單增長 5%，核心訂單增長 7%，超過 10 億美元。

Revenue grew 18% or 20% on a core basis and was also above $1 billion, which is a record for our first quarter revenue.

收入在核心基礎上增長了 18% 或 20%，也超過了 10 億美元，這是我們第一季度收入的記錄。

This represents our third consecutive quarter of delivering over $1 billion in both orders and revenue.

這是我們連續第三個季度交付超過 10 億美元的訂單和收入。

Creating value for our customers by providing first-to-market solutions and insights that help them achieve innovation is the cornerstone of our strategy and our Keysight leadership model.

通過提供率先上市的解決方案和洞察力幫助客戶實現創新，為客戶創造價值是我們戰略和是德科技領導模式的基石。

Our targeted investments in the key areas of the market undergoing multi-year transformations are delivering results.

我們對經歷多年轉型的市場關鍵領域的有針對性的投資正在取得成果。

We are generating broad-based growth across multiple dimensions of the business and software is increasingly becoming a larger part of our portfolio.

我們正在業務的多個方面產生基礎廣泛的增長，軟件越來越成為我們產品組合的重要組成部分。

Revenue for our software solutions grew substantially higher than our overall growth rate in the first quarter to reach a new record.

我們軟件解決方案的收入增長大大高於第一季度的整體增長率，創下新紀錄。

This growth was driven by demand for our 5G solutions, high-frequency measurement application software and digital and photonics application software.

這一增長是由對我們的 5G 解決方案、高頻測量應用軟件以及數字和光子學應用軟件的需求推動的。

In the automotive and energy market, we continue to make great strides.

在汽車和能源市場，我們繼續取得長足進步。

Customer demand remained high in Q1, and we delivered our ninth consecutive quarter of double-digit order growth.

第一季度客戶需求仍然很高，我們連續第九個季度實現了兩位數的訂單增長。

Auto manufacturers and suppliers have continued to invest in critical new capabilities and are increasingly turning to Keysight as their strategic innovation partner.

汽車製造商和供應商繼續投資於關鍵的新功能，並越來越多地選擇是德科技作為他們的戰略創新合作夥伴。

As a result, we continue to grow our engagements within top customers and add new Tier 1 accounts.

因此，我們繼續加強與頂級客戶的合作，並增加新的一級客戶。

In the quarter, we announced the collaboration with BMW Group to support its Battery Cell Competence Centre in Munich.

本季度，我們宣布與寶馬集團合作，支持其位於慕尼黑的電池能力中心。

Keysight will equip their laboratories with battery test systems and provide services for effective laboratory workflow management and operation.

是德科技將為他們的實驗室配備電池測試系統，並提供有效的實驗室工作流程管理和運營服務。

In order to help our automotive customers accelerate innovation, we are committed to serving them in close proximity of their design hubs.

為了幫助我們的汽車客戶加速創新，我們致力於在他們的設計中心附近為他們提供服務。

In January, we opened a new automotive center in Nagoya, Japan.

一月份，我們在日本名古屋開設了一個新的汽車中心。

Keysight now has opened 4 automotive centers aligned with each of the major global automotive customer ecosystems: Detroit, Michigan, in the United States; Böblingen, Germany in Europe; and Nagoya, Japan and Shanghai, China in Asia.

是德科技現在已經開設了 4 個汽車中心，與每個主要的全球汽車客戶生態系統保持一致：美國密歇根州底特律；歐洲的德國伯布林根；以及亞洲的日本名古屋和中國上海。

In 5G, we achieved another record quarter of 5G orders and delivered strong double-digit growth in Q1.

在 5G 方面，我們的 5G 訂單季度再創新高，並在第一季度實現了強勁的兩位數增長。

Network operators, NEMs, device makers and chip-set companies are all investing for the early ramp of commercial 5G networks.

網絡運營商、NEM、設備製造商和芯片組公司都在為商業 5G 網絡的早期發展進行投資。

Our broad portfolio of 5G solutions and engagement with leading market makers continues to strengthen our position in this fast-growing market.

我們廣泛的 5G 解決方案組合以及與領先做市商的合作繼續鞏固我們在這個快速增長的市場中的地位。

Our pace of innovation and engagements has accelerated, and we continue to see major operator ecosystems embrace the Keysight platform.

我們加快了創新和參與的步伐，我們繼續看到主要運營商生態系統採用是德科技平台。

This quarter, we received endorsements from SK Telecom, China Telecom, China Mobile and SoftBank.

本季度，我們獲得了 SK 電訊、中國電信、中國移動和軟銀的背書。

Next week, at Mobile World Congress, we will showcase our end-to-end 5G solutions and contributions.

下週，在世界移動通信大會上，我們將展示我們的端到端 5G 解決方案和貢獻。

At the event, over a dozen leading innovators across the communications ecosystem will use Keysight solutions to demonstrate their 5G readiness.

在此次活動中，通信生態系統中的十幾家領先創新者將使用是德科技解決方案來展示他們的 5G 準備情況。

This highlights the greater role we are playing in R&D and enabling customer innovation.

這凸顯了我們在研發和支持客戶創新方面發揮的更大作用。

We're also excited to collaborate with Xilinx, AT&T and others to accelerate Open RAN 5G network deployment through a rapid prototyping approach and Open FPGA architecture.

我們也很高興與 Xilinx、AT&T 和其他公司合作，通過快速原型製作方法和開放式 FPGA 架構加速開放式 RAN 5G 網絡部署。

Together, at Mobile World Congress, we will demonstrate and test the industry's first open radio access network 5G millimeter wave radio unit.

在世界移動通信大會上，我們將共同展示和測試業界首個開放式無線電接入網絡 5G 毫米波無線電單元。

Additionally, earlier today, we announced our new scalable 5G user equipment Emulation Solution.

此外，今天早些時候，我們還發布了新的可擴展 5G 用戶設備仿真解決方案。

It delivers end-to-end testing of 5G networks to ensure they can meet service level agreements for key 5G use cases, such as lower latency and high reliability.

它提供 5G 網絡的端到端測試，以確保它們能夠滿足關鍵 5G 用例的服務水平協議，例如更低的延遲和高可靠性。

This solution expands the range of our 5G offerings into a previously unserved area for Keysight, which is a direct result of our acquisition of Ixia.

該解決方案將我們的 5G 產品範圍擴展到是德科技以前未涉足的領域，這是我們收購 Ixia 的直接結果。

Beyond 5G, our Communications Group also delivered strong growth in network and data center solutions.

除了 5G，我們的通信集團還在網絡和數據中心解決方案方面實現了強勁增長。

This growth was driven by R&D investment in next-generation electrical and optical tests for speeds of 400-gig and higher, with new key product wins throughout the network and data center ecosystem.

這一增長的推動因素是對下一代 400-gig 及更高速度的電氣和光學測試的研發投資，以及在整個網絡和數據中心生態系統中贏得的新關鍵產品。

Our success with 400G at the physical layer creates valuable opportunities for our 400-gigabit Ethernet solutions at the protocol layers with Ixia, where customers R&D investments follow over time.

我們在物理層 400G 的成功為我們與 Ixia 在協議層的 400G 以太網解決方案創造了寶貴的機會，客戶的研發投資會隨著時間的推移而跟進。

Keysight solutions cover the entire customer workflow in both the physical and upper layers of the network.

是德科技解決方案涵蓋網絡物理層和上層的整個客戶工作流程。

Looking ahead, we believe we are well positioned to continue to build on our success.

展望未來，我們相信我們已做好充分準備，繼續取得成功。

Next-generation R&D investment has remained strong, and we are still in the early stages of these emerging technologies.

下一代研發投資保持強勁，我們仍處於這些新興技術的早期階段。

Our focus on bringing solutions to market that help customers accelerate innovation is driving multiple avenues of growth.

我們專注於將解決方案推向市場以幫助客戶加速創新，這推動了多種增長途徑。

We have a differentiated portfolio of solutions across a diversified and broad set of end markets.

我們在多元化和廣泛的終端市場中擁有差異化的解決方案組合。

For example, as we mentioned in the past 2 quarters, we are seeing some expected headwinds in China as a result of global trade tensions, which we expect to continue in 2019.

例如，正如我們在過去兩個季度提到的那樣，由於全球貿易緊張局勢，我們預計中國會出現一些不利因素，我們預計這種情況將在 2019 年繼續存在。

Despite this dynamic, our breadth of offering and diverse set of end markets has enabled us to offset this impact and deliver record orders in China during the quarter, with growth in multiple segments of that market.

儘管存在這種動態，但我們的產品範圍和多樣化的終端市場使我們能夠抵消這種影響並在本季度在中國交付創紀錄的訂單，並在該市場的多個細分市場實現增長。

That said, we continue to closely monitor the macro environment in China as well as other areas of our business.

也就是說，我們將繼續密切關注中國的宏觀環境以及我們業務的其他領域。

Before closing, I will highlight a few of the awards we have recently received in acknowledgment of our corporate social responsibility or CSR efforts, which is one of the core values in our Keysight leadership model.

在結束之前，我將重點介紹我們最近獲得的一些獎項，以表彰我們的企業社會責任或 CSR 努力，這是我們是德科技領導模式的核心價值觀之一。

First, Keysight was ranked among Barron's 100 Most Sustainable Companies for the second year in a row.

首先，是德科技連續第二年躋身《巴倫周刊》最具可持續性的 100 家公司之列。

Additionally, we were named to Fortune's 100 Best Workplaces for Diversity in 2018.

此外，我們還入選了《財富》2018 年 100 家最佳多元化工作場所。

CSR has always been a part of Keysight's DNA and we are honored to be recognized for this longstanding commitment to help sustainable a better planet, strengthen communities and create an inclusive work environment that fosters respect for individuals, their ideas and their contributions.

CSR 一直是 Keysight DNA 的一部分，我們很榮幸能夠獲得認可，因為我們長期致力於幫助可持續發展一個更美好的地球，加強社區建設，並創造一個包容的工作環境，以促進對個人、他們的想法和他們的貢獻的尊重。

In summary, we delivered an outstanding first quarter and the year is off to a great start for Keysight.

總而言之，我們在第一季度取得了出色的成績，今年是是德科技的一個良好開端。

In addition to driving strong revenue growth, we have maintained our focus on financial discipline and operational excellence to deliver earnings growth and strong cash flow, while investing in key areas of the business.

除了推動強勁的收入增長外，我們還一直專注於財務紀律和卓越運營，以實現盈利增長和強勁的現金流，同時投資於業務的關鍵領域。

With our robust innovation engine, we have built a broad portfolio of solutions that span multiple segments and software is becoming a larger part of our differentiation in business.

憑藉我們強大的創新引擎，我們已經構建了涵蓋多個細分市場的廣泛解決方案組合，軟件正在成為我們業務差異化的重要組成部分。

We will continue to focus our investments in these key areas to drive innovation, create even more value for our customers and outgrow the market.

我們將繼續專注於這些關鍵領域的投資，以推動創新，為我們的客戶創造更多價值並超越市場。

Now I will turn it over to Neil to discuss our financial performance and the outlook in more detail.

現在我將把它轉交給尼爾更詳細地討論我們的財務業績和前景。

Thank you, Ron, and hello, everyone.

謝謝你，羅恩，大家好。

Before I get started, I will note that all comparisons are on a year-over-year basis unless specifically noted otherwise.

在開始之前，我會指出所有比較都是按年比較，除非另有特別說明。

Additionally, when viewing our first quarter year-over-year operational compares, please keep in mind that last year's first quarter results were negatively impacted by the closure of our Santa Rosa facility due to the 2017 wildfires.

此外，在查看我們第一季度的同比運營比較時，請記住，去年第一季度的業績受到了 2017 年野火導致我們的聖羅莎工廠關閉的負面影響。

As Ron mentioned, we're delivered another strong quarter as we continue to execute on the demand we see in core areas of our business while maintaining focus on our operational excellence.

正如 Ron 所提到的，隨著我們繼續滿足我們在業務核心領域看到的需求，同時繼續關注我們的卓越運營，我們又交付了一個強勁的季度。

For the first quarter of 2019, we delivered non-GAAP revenue of $1,009,000,000, which was well above our guidance of $965 million to $985 million and grew 20% on a core basis versus the soft compare.

2019 年第一季度，我們實現了 10.09 億美元的非 GAAP 收入，遠高於我們 9.65 億美元至 9.85 億美元的指導，與軟比較相比，核心收入增長 20%。

Our better-than-expected results were driven by continued strong demand in execution.

我們好於預期的業績是由持續強勁的執行需求推動的。

Orders exceeded revenue once again this quarter.

本季度訂單再次超過收入。

We delivered $1,016,000,000 in orders in Q1.

我們在第一季度交付了 1,016,000,000 美元的訂單。

Orders were up 5% in total and 7% on a core basis, which excludes the impact of currency movement and 2 small divestitures completed within the last year.

訂單總量增長 5%，核心訂單增長 7%，其中不包括匯率變動和去年完成的 2 項小規模資產剝離的影響。

Looking at our operational results for Q1, we reported gross margin of 62% and operating expenses of $420 million resulting in operating margin of 20%.

從我們第一季度的運營業績來看，我們報告的毛利率為 62%，運營費用為 4.2 億美元，運營利潤率為 20%。

We also achieved net income of $176 million and delivered $0.93 in earnings per share, which was above our guidance of $0.76 to $0.82 per share.

我們還實現了 1.76 億美元的淨收入和 0.93 美元的每股收益，高於我們 0.76 美元至 0.82 美元的每股收益指導。

Our weighted average share count for the quarter was 190 million shares.

我們本季度的加權平均股數為 1.9 億股。

Moving to the performance of our segments.

轉向我們細分市場的表現。

As Jason mentioned, we made a change to our reporting segments, and now results from services, which was previously reported in our Services Solutions Group are reported in the segment in which the services are delivered.

正如 Jason 提到的，我們對我們的報告分部進行了更改，現在來自服務的結果，以前在我們的服務解決方案組中報告，在提供服務的分部中報告。

That said, I will highlight that in Q1, orders for services grew double digits.

也就是說，我要強調的是，在第一季度，服務訂單增長了兩位數。

Our Communications Solutions Group generated total revenue of $623 million, up 25% while delivering record gross margin of 61.1% and operating margin of 22%.

我們的通信解決方案集團產生了 6.23 億美元的總收入，增長了 25%，同時實現了創紀錄的 61.1% 的毛利率和 22% 的營業利潤率。

In Q1, Commercial Communications delivered double digit order growth and revenue of $400 million driven by increased 5G R&D demand across the wireless ecosystem and growth in data center-related next-generation 400-gigabit Ethernet and higher digital tests.

在第一季度，商業通信實現了兩位數的訂單增長和 4 億美元的收入，這得益於整個無線生態系統 5G 研發需求的增加以及與數據中心相關的下一代 400 吉比特以太網和更高數字測試的增長。

Aerospace defense and government grew 3% and generated revenue of $223 million.

航空航天國防和政府部門增長 3%，收入為 2.23 億美元。

Aerospace defense and government growth was driven by continued demand in space and satellite applications in the U.S. while spending in some international regions slowed.

美國對太空和衛星應用的持續需求推動了航空航天防禦和政府增長，而一些國際地區的支出放緩。

Our Electronic Industrial Solutions Group, or EISG generated first quarter revenue of $257 million, up 13% driven by strength in automotive and emerging IoT applications, while the semiconductor market moderated as expected.

我們的電子工業解決方案集團 (EISG) 第一季度收入為 2.57 億美元，增長 13%，這主要得益於汽車和新興物聯網應用的強勁增長，而半導體市場如預期般放緩。

EISG reported gross margin of 58.9% and operating margin of 21%.

EISG 報告毛利率為 58.9%，營業利潤率為 21%。

Our Ixia Solutions Group, or ISG reported Q1 revenue of $129 million, which was slightly above last year's revenue of $127 million driven by network visibility solutions, while test revenues remained in line with last year.

我們的 Ixia Solutions Group（或 ISG）報告第一季度收入為 1.29 億美元，略高於去年受網絡可見性解決方案推動的收入 1.27 億美元，而測試收入與去年持平。

ISG reported gross margin of 71.3% and 9% operating margin.

ISG 報告的毛利率為 71.3%，營業利潤率為 9%。

We were encouraged to see the improved sequential execution in ISG and the vast majority of the contract manufacturing transition issues that we highlighted last quarter are now resolved.

我們很高興看到 ISG 的順序執行得到改善，我們上個季度強調的絕大多數合同製造轉型問題現在都已解決。

Moving to the balance sheet and cash flow.

轉向資產負債表和現金流量。

We ended our first quarter with $1.1 billion in cash and cash equivalents and reported record cash flow from operations of $240 million and free cash flow of $209 million or 21% of revenue.

我們以 11 億美元的現金和現金等價物結束了第一季度，並報告了創紀錄的 2.4 億美元運營現金流和 2.09 億美元的自由現金流，佔收入的 21%。

Under our existing share repurchase authorization, during the quarter, we acquired approximately 686,000 shares on the open market at an average price of $58.28 for a total consideration of $40 million.

根據我們現有的股票回購授權，本季度我們在公開市場上以平均 58.28 美元的價格收購了約 686,000 股股票，總對價為 4000 萬美元。

Now turning to our outlook and guidance.

現在轉向我們的展望和指導。

We expect second quarter 2019 revenue to be in the range of $1,060,000,000 to $1,080,000,000.

我們預計 2019 年第二季度的收入將在 10.6 億美元至 10.8 億美元之間。

For the first half of 2019, the midpoint of our guidance reflects 12% revenue growth or 14% on a core basis.

對於 2019 年上半年，我們的指引中點反映了 12% 的收入增長或 14% 的核心基礎。

We expect Q2 earnings per share to be in the range of $0.93 to $0.99 based on a weighted diluted share count of approximately 191 million shares.

根據約 1.91 億股的加權稀釋股數，我們預計第二季度每股收益將在 0.93 美元至 0.99 美元之間。

The midpoint of this guidance reflects approximately 41% earnings growth for the first half of 2019.

該指引的中點反映了 2019 年上半年約 41% 的收益增長。

For 2019 modeling purposes, recall that the quarterly revenue seasonality in 2018 was atypical due to the impact of the October 2017 Northern California wildfires.

出於 2019 年建模的目的，請回想一下，由於 2017 年 10 月北加州野火的影響，2018 年的季度收入季節性是非典型的。

Historically, sequential revenue growth from Q1 to Q2 has averaged mid-single digits, and our Q2 guidance reflects the upper end of this range.

從歷史上看，從第一季度到第二季度的連續收入增長平均為中個位數，我們的第二季度指導反映了該範圍的上限。

Additionally, we normally see a small sequential decline from Q2 to Q3 with Q4 being our strongest quarter of the year.

此外，我們通常會看到從第 2 季度到第 3 季度出現小幅連續下降，其中第 4 季度是我們今年表現最強勁的一個季度。

I will also note that in Q1, the ASU 2017-07 pension accounting change went into effect.

我還會注意到，在第一季度，ASU 2017-07 養老金會計變更生效。

Under this new standard, our previous credit functionalized within operating income is now reported in other income.

根據這一新標準，我們之前在營業收入中發揮作用的信貸現在在其他收入中報告。

For 2019, the impact of this change is projected to shift the credit of approximately $10 million per quarter from above the operating margin line to below it.

對於 2019 年，這一變化的影響預計會使每季度約 1000 萬美元的信貸從營業利潤線以上轉移到營業利潤線以下。

A retrospective of our historical results reflecting the new standard can be found on our website.

可以在我們的網站上找到反映新標準的歷史結果回顧。

With that, I will now turn it back to Jason for the Q&A.

有了這個，我現在將把它轉回 Jason 進行問答。

Thank you, Neil.

謝謝你，尼爾。

And Kensey, will you please give instructions for the Q&A?

Kensey，請問你能給出問答的說明嗎？

(Operator Instructions) And the first question comes from the line of John Pitzer.

（操作員說明）第一個問題來自 John Pitzer。

Ron, may be the first question is for you just on the 5G market and how it's evolves over time.

羅恩，第一個問題可能是關於 5G 市場及其隨時間演變的問題。

I think one of the investor concerns out there is that you're levered only to deployment of prototype 5G, or perhaps not as levered as you get to broader deployment of 5G.

我認為投資者的擔憂之一是，你只能利用 5G 原型的部署，或者可能不如更廣泛的 5G 部署。

I wonder if you can help us understand how you think the markets going to evolve for 5G for you?

我想知道您是否可以幫助我們了解您認為 5G 市場將如何為您發展？

And as you answer the question, can you talk a little bit about your share from 4G to 5G, and kind of what you've done to augment your SIM from 4G to 5G?

當你回答這個問題時，你能談談你從 4G 到 5G 的份額，以及你為將 SIM 從 4G 擴展到 5G 做了什麼嗎？

Sure.

當然。

Thank you very much John.

非常感謝約翰。

Well, a couple of comments.

好吧，有幾點評論。

The first thing is that we are -- we have invested up and down the overall workflow for 5G.

首先是我們——我們已經對 5G 的整體工作流程進行了上下投資。

So we have solutions that exist in our EDA software early on when people are developing their designs, solutions for validation and verification, not only of the hardware, but now we have it for the software that is done in R&D.

因此，當人們開發他們的設計時，我們的 EDA 軟件中就有解決方案，用於驗證和驗證的解決方案，不僅是硬件，而且現在我們已經為研發中完成的軟件提供了解決方案。

We do have solutions too for manufacturing, although that is not the main focus, and then at the end of the life cycle, once things go into operations, that's where Ixia plays in.

我們確實也有針對製造的解決方案，儘管這不是主要關注點，然後在生命週期結束時，一旦一切投入運營，這就是 Ixia 發揮作用的地方。

So with our Ixia acquisition that bolsters up our overall solutions for the workflow along with the Anite solutions that we have earlier in R&D.

因此，通過我們對 Ixia 的收購，我們的工作流程整體解決方案以及我們早期在研發中擁有的 Anite 解決方案得到了加強。

There is no doubt that our share is much higher than it was in 4G.

毫無疑問，我們的份額比4G要高得多。

In 4G, we did not have the funds to invest as heavily as we needed to in order to win in the protocol space clearly as you look at the network a space as well as in many other subareas.

在 4G 中，我們沒有足夠的資金進行必要的大量投資，以便在網絡空間以及許多其他子領域中清楚地贏得協議空間。

In 5G, we made this decision back in 2013 before we even went public.

在 5G 方面，我們在 2013 年甚至還沒有上市之前就做出了這個決定。

As soon as we announced the split, we decided to go all in for 5G.

我們一宣布拆分，就決定全力投入 5G。

So you will see that and see dramatic share gains between 5G versus where we are in 4G.

所以你會看到這一點，並看到 5G 與我們在 4G 中所處位置之間的份額大幅增長。

I will let Satish also add a couple more comments with regards to the overall 5G workflow.

我將讓 Satish 就整個 5G 工作流程再添加一些評論。

Well, thank you, Ron.

嗯，謝謝你，羅恩。

Just maybe a few points.

也許只有幾點。

A strong 5G quarter for us extending our lead on the double-digit, triple-digit growth that we are experiencing to 13th conservative quarter.

對我們來說，強勁的 5G 季度將我們在兩位數、三位數增長方面的領先優勢擴大到第 13 個保守季度。

And when I look at the distribution of orders, very pleased that we're seeing success across the ecosystem, chipset companies, device companies, network equipment manufacturers, operators and for the first time, test labs even that are starting to invest in early 5G.

當我查看訂單分佈時，非常高興我們看到整個生態系統、芯片組公司、設備公司、網絡設備製造商、運營商以及首次開始投資早期 5G 的測試實驗室都取得了成功.

And then when you look at the global spread, all regions participated in this, reflecting the strength of our solution portfolio.

然後當您查看全球傳播時，所有地區都參與其中，反映了我們解決方案組合的實力。

There is no doubt the early R&D investments, some of them in the prototyping phase played itself out up to know, but if I reflect on this industry and look at the state of what's coming next, it's the scaling and it's still early days, but it's scaling for commercialization that's going to play out.

毫無疑問，早期的研發投資，其中一些在原型設計階段已經發揮了作用，但如果我反思這個行業，看看接下來會發生什麼，那就是規模化，現在還處於早期階段，但是它正在擴大規模以實現商業化。

And operators interest to speaking as they vie establish network leadership and that's what's playing out, and Ron referenced a few key design wins we had with lead operators in all regions in his narrative.

運營商在爭奪建立網絡領導地位時有興趣發言，這就是正在發生的事情，羅恩在他的敘述中提到了我們與所有地區的領先運營商取得的一些關鍵設計勝利。

But I would just want to end by saying, it's still early days for the technology.

但我只想說，這項技術還處於早期階段。

We see that at scale, the technology becomes relevant for consumers to buy at 2022 timeframe, plenty of innovation yet to come, both from a standards point of view and from productization point of view.

我們看到，從規模上看，這項技術在 2022 年的時間框架內與消費者購買相關，無論是從標準的角度還是從產品化的角度來看，大量創新尚未到來。

And from our plans, just this year, we have a number of solutions that we will be launching.

根據我們的計劃，就在今年，我們將推出許多解決方案。

We just announced, as a matter of fact, the solution -- working closely with our Ixia Solutions Group just today.

事實上，我們剛剛宣布了解決方案——就在今天與我們的 Ixia Solutions Group 密切合作。

So a number of solutions that we'll launch this year, and we're also planning for more as the industry scales.

因此，我們將在今年推出許多解決方案，並且隨著行業規模的擴大，我們還計劃推出更多解決方案。

Thank you.

謝謝。

That's helpful, guys.

這很有幫助，伙計們。

And then maybe a follow-up Neil.

然後也許是後續的尼爾。

Neil, you highlighted that you guys are rightfully investing to leverage kind of your IP to drive higher growth.

尼爾，你強調你們正在正確地投資以利用你的知識產權來推動更高的增長。

I'm just kind of curious as to where you think you are in the investment cycle for the company?

我只是有點好奇你認為你在公司的投資週期中處於什麼位置？

And how we should think about kind of operating margin targets over a multiyear period?

我們應該如何考慮多年期間的營業利潤率目標？

Yes.

是的。

So we continue to see a very high level of demand for continued innovation investment across multiple platforms within Keysight.

因此，我們繼續看到對是德科技跨多個平台的持續創新投資的需求非常高。

As we've talked about, we've talked about driving a 400-basis-point improvement on our operating margins from 2017 levels.

正如我們所討論的，我們已經討論過將我們的營業利潤率從 2017 年的水平提高 400 個基點。

So we got to get us into the 22%, 23% operating margin range by 2021, and so we remain focused on that.

所以我們必須讓我們在 2021 年之前達到 22%、23% 的營業利潤率範圍，因此我們仍然專注於此。

You'll see -- as we look to achieve that, we are really not looking to get leverage on the R&D line because of exactly what I have talked about, the demand that we are seeing for customers for continued development work from Keysight.

你會看到——當我們希望實現這一目標時，我們真的不希望在研發線上獲得影響力，因為正是我所說的，我們看到客戶對 Keysight 持續開發工作的需求。

But you'll continue to see gross margin improvement from us as well as leveraging our general and administrative functions to drive increased profitability over that horizon.

但是您將繼續看到我們的毛利率有所提高，並利用我們的一般和行政職能來推動該領域的盈利能力提高。

Yes, I'll just add that we continue to pick up new customers.

是的，我只想補充一點，我們會繼續吸引新客戶。

We announced 4 more customers, for instance, today, 4 large customers, and we continue to go ahead and see our business deliver double-digit growth.

我們宣布了另外 4 個客戶，例如，今天，4 個大客戶，我們繼續前進，看到我們的業務實現兩位數的增長。

Your next question comes from the line of Toshiya Hari from Goldman Sachs.

你的下一個問題來自高盛的 Toshiya Hari。

Can you guys talk a little bit about 4G?

你們能談談 4G 嗎？

What you're seeing from a customer activity perspective?

您從客戶活動的角度看到了什麼？

How strong or weak that business has been over the past couple of quarters?

該業務在過去幾個季度的表現如何？

And how should we think about sustainability in that business relative to 5G?

我們應該如何考慮該業務相對於 5G 的可持續性？

Yes.

是的。

Satish, feel free to fill in.

薩蒂什，請隨意填寫。

Yes, will do, Ron.

是的，會的，羅恩。

As we have talked before, with 5G, there's the non-selling version, which requires a lot of the 4G capabilities, so there's still compute innovation in 4G, but there's no doubt that the 4G -- and if you expand that question a little bit further, legacy communications will continue to be down as 5G starts to scale.

正如我們之前所說，對於 5G，有非銷售版本，它需要很多 4G 功能，所以 4G 仍然有計算創新，但毫無疑問，4G——如果你稍微擴展一下這個問題更進一步，隨著 5G 開始擴展，傳統通信將繼續下降。

And in particular, it's all about the way you characterize platforms too, because increasingly, as we roll new products and capabilities out, they will have some aspect of legacy comps built into them, but they tend to be lumped in under our 4G orders.

特別是，這也與您描述平台特徵的方式有關，因為隨著我們推出新產品和功能，它們將越來越多地內置傳統組件的某些方面，但它們往往被歸入我們的 4G 訂單。

But overall, you will see between all our communications, technology evolution focus is resulting in double-digit growth for the quarter, and we continue to see the funnel pretty strong for our business across the globe.

但總的來說，您會在我們所有的通信中看到，技術發展重點導致本季度實現兩位數的增長，並且我們繼續看到我們全球業務的漏斗非常強勁。

Great.

偉大的。

And then I had a quick follow-up.

然後我進行了快速跟進。

Ron, you flagged the risk around China over the past couple of quarters.

羅恩，你在過去幾個季度指出了中國周圍的風險。

Very impressed to hear that you guys had record bookings in the quarter.

聽到你們在本季度的預訂量創下紀錄，我印象深刻。

So I guess, the question is, how are you achieving record bookings given the weak macro backdrop as well as sort of the difficult political landscape?

所以我想，問題是，在疲軟的宏觀背景以及某種困難的政治環境下，你如何實現創紀錄的預訂？

Sure.

當然。

We're seeing exceptionally strong orders from China right now because we have a broad base of solutions.

我們現在看到來自中國的訂單異常強勁，因為我們擁有廣泛的解決方案基礎。

We have solutions that we're selling for 5G, for auto, for 400 gigabit, for A-to-D below certain performance level.

我們有針對 5G、汽車、400 吉比特、低於特定性能水平的 A-to-D 銷售的解決方案。

And that has given us very, I would say, strong double-digit orders as well as strong double-digit revenue growth for the quarter.

我想說，這給了我們非常強勁的兩位數訂單以及本季度強勁的兩位數收入增長。

There was some pull-ins, but then again, there were also some pushouts.

有一些拉進，但也有一些推出。

And even if you were to factor out the pushouts, we still had double-digit growth in China.

即使你要排除推出的因素，我們在中國仍然有兩位數的增長。

So we are winning and the end users and the companies really want our products.

所以我們贏了，最終用戶和公司真的想要我們的產品。

So we hope the trade situation gets a little better, but it's not an excuse for us at all as we've seen outstanding order and revenue growth in China.

所以我們希望貿易形勢好轉一點，但這根本不是我們的藉口，因為我們已經看到中國的訂單和收入增長出色。

And your next question comes from the line of Jim Suva from Citi.

你的下一個問題來自花旗銀行的 Jim Suva。

Most of the Q&A in the conference call was focused on your core business, which is definitely very impressive and doing well.

電話會議中的大部分問答都集中在您的核心業務上，這絕對令人印象深刻並且做得很好。

Shifting over to areas that could potentially be of improvement, I kind of see that Ixia sales grew by 1% year-over-year.

轉向可能有待改進的領域，我看到 Ixia 的銷售額同比增長了 1%。

Should they ever mirror or kind of fluctuate with orders like an attach rate that's closer to your revenue growth year-over-year or does that not work that way?

他們是否應該反映或隨訂單波動，例如附加率更接近您的收入同比增長，還是那樣行不通？

How should we think about Ixia and what you're doing there?

我們應該如何看待 Ixia 以及您在那裡做什麼？

Sure.

當然。

The Ixia solutions for 5G are laid around downstream.

Ixia 的 5G 解決方案圍繞下游展開。

So a product, for instance, first gets designed and they buy -- or customers buy our Electronic Design Automation software.

因此，例如，一個產品首先被設計出來，然後他們購買——或者客戶購買我們的電子設計自動化軟件。

Then they use our products to go ahead and to develop solutions at the physical layer.

然後他們使用我們的產品繼續前進並在物理層開發解決方案。

Once that's done, you can start protesting all the protocol layers, whether it's for the handsets or the user equipment or whether you're talking about for base stations or for the networks in the cloud.

一旦完成，您就可以開始抗議所有協議層，無論是針對手機還是用戶設備，或者您是在談論基站還是雲中的網絡。

So that follows what you typically see in the beginning.

因此，這遵循您通常在開始時看到的內容。

So as Satish mentioned, we're at the beginning of this 5G wave and we will see Ixia accelerate because you can't go ahead and test the protocol until you've actually built out physical devices and then you start putting software layers on top of it.

正如 Satish 提到的，我們正處於 5G 浪潮的開端，我們將看到 Ixia 加速發展，因為在您實際構建物理設備然後開始將軟件層置於頂層之前，您無法繼續測試協議它的。

So we will continue to see the Ixia business accelerate in prominence in our business and we're very excited with it, for instance, our new solution that we just came out with.

因此，我們將繼續看到 Ixia 業務在我們的業務中加速發展，我們對此感到非常興奮，例如，我們剛剛推出的新解決方案。

And then a quick follow-up -- back to -- follow-on flow-through for Ixia benefit, is that a 2019 positive or is it more further out to 2020 and beyond?

然後快速跟進 - 回到 - Ixia 收益的後續流程，這是 2019 年的積極成果還是更遠到 2020 年及以後？

I was just trying to figure out the inflection point of when that business is -- it seems like at some point it's really going to shift into a much higher gear than it is right now?

我只是想弄清楚該業務何時會出現拐點——似乎在某個時候它真的會轉向比現在更高的檔位？

Yes.

是的。

Well, I'll let Neil get a chance to talk a little bit about that.

好吧，我會讓尼爾有機會談談這個。

As you know, we've been integrating Ixia, and we found areas where we could work together to improve our solutions and our processes for longer term growth and longer term gross margin.

如您所知，我們一直在整合 Ixia，我們找到了可以共同努力改進我們的解決方案和流程以實現長期增長和長期毛利率的領域。

We actually had, as you saw, the record revenue even though it was only up slightly from where we were in the past, but it was the highest level since the acquisition.

正如你所看到的，我們實際上擁有創紀錄的收入，儘管它僅比我們過去的收入略有增加，但這是自收購以來的最高水平。

Neil, I don't know if you want to add a couple of comments with regards to modeling on Ixia?

Neil，我不知道你是否想添加一些關於在 Ixia 上建模的評論？

Yes.

是的。

Jim, maybe just a couple of comments.

吉姆，也許只是一些評論。

I think the specific quarter or a period of time when these businesses will transition from physical to protocol layers, it's difficult to call.

我認為這些業務將從物理層過渡到協議層的具體季度或時間段很難預測。

That being said, we're encouraged by the 400-gigabit growth we've seen in classic Keysight in Satish's Communications business over the past several quarters, and we think that bodes well for future growth in Ixia on the protocol layers.

話雖如此，我們對過去幾個季度在 Satish 的通信業務中看到的經典是德科技的 400 GB 增長感到鼓舞，我們認為這預示著 Ixia 在協議層的未來增長。

I guess, if I was just going to summarize that we think relative to where we were in '18 and where we are today, there's upside from Ixia both in terms of increased growth and increased profitability that will be net additive to Keysight going forward.

我想，如果我只是要總結一下我們認為相對於 18 年和今天的情況，Ixia 在增長和盈利能力方面都有優勢，這將對 Keysight 的未來產生淨影響。

And your next question comes from the line of Vijay Bhagavath from Deutsche Bank.

你的下一個問題來自德意志銀行的 Vijay Bhagavath。

Neil, I must...

尼爾，我必須...

(technical difficulty)

（技術難度）

Vijay, there is a problem with your phone.

Vijay，你的手機有問題。

We can't -- it's very garbled, we can't understand, it's unclear.

我們不能——它非常亂碼，我們無法理解，不清楚。

We have no idea what you're saying.

我們不知道你在說什麼。

Okay.

好的。

(technical difficulty)

（技術難度）

Why don't we put -- operator, if we can put Vijay back into the queue, and let's move to the next caller, and we'll come back to Vijay at the end.

我們為什麼不放 -- 接線員，如果我們可以將 Vijay 放回隊列中，讓我們轉到下一個呼叫者，最後我們會回到 Vijay。

(Operator Instructions) Your next question comes from the line of Adam Thalhimer from Thompson Davis.

（操作員說明）您的下一個問題來自 Thompson Davis 的 Adam Thalhimer。

You mentioned the semiconductors dropped off kind of in line with expectations.

你提到半導體的下降符合預期。

So can you remind us, what are your expectations for kind of how long this tough patch last?

那麼你能提醒我們一下，你對這個艱難的補丁能持續多久有什麼期望嗎？

I think you said maybe late '19 you'll start to see recovery?

我想你說也許 19 年底你會開始看到復蘇？

Yes.

是的。

Ron, I'll take this.

羅恩，我要這個。

Just to keep it simple, we've essentially model a softness in semi through FY '19, and we don't have detailed models going beyond that, but at least through the remainder of this fiscal year for us, we're expecting semi to be relatively soft.

為了簡單起見，我們基本上已經模擬了 19 財年半的疲軟，我們沒有超出此範圍的詳細模型，但至少在本財年的剩餘時間裡，我們預計半要相對柔軟。

All right.

好的。

And then I also wanted to ask about cash deployment and kind of the buyback.

然後我還想詢問有關現金部署和回購的問題。

I mean, you've been doing $40 million a quarter pretty consistently here.

我的意思是，你在這裡一直每季度賺 4000 萬美元。

You got a great price on the stock that you bought in Q1.

你在第一季度購買的股票價格很高。

What are your thoughts on cash deployment going forward?

您對未來的現金部署有何看法？

No.

不。

We don't expect any immediate change to our cash deployment efforts.

我們預計我們的現金部署工作不會立即發生任何變化。

As we stated when we announced the share buyback program, the initial intent would be to remain anti-dilutive, and we expect to continue along that track.

正如我們在宣布股票回購計劃時所說的那樣，最初的意圖是保持反稀釋，我們希望繼續沿著這條軌道前進。

Obviously, we saw a pretty significant increase in cash flow generation this quarter.

顯然，本季度我們看到現金流量產生了相當顯著的增長。

We do want to maintain some excess cash on the balance sheet so that we can maintain the flexibility needed to invest in the business.

我們確實希望在資產負債表上保留一些多餘的現金，以便我們能夠保持投資業務所需的靈活性。

And as that cash balance grows, we'll continue to look at appropriate ways to deploy it.

隨著現金餘額的增長，我們將繼續尋找適當的方式來部署它。

But we continue to have active M&A funnels, continue to buy back shares, and we'll continue -- no immediate changes to our cash deployment plans.

但我們繼續擁有活躍的併購渠道，繼續回購股票，我們將繼續——不會立即改變我們的現金部署計劃。

Yes.

是的。

And just with regards our free cash flow conversion, 4 years ago, we were in the mid-60% range, we stated at our last Analyst Day, we would get it to the 80% to 90% range at this time.

就我們的自由現金流轉換而言，4 年前，我們處於 60% 的中間範圍，我們在上一個分析師日表示，此時我們將達到 80% 至 90% 的範圍。

This quarter was exceptionally strong at 119% on our conversion.

本季度我們的轉化率非常強勁，達到 119%。

That's obviously above average, but we're very, very pleased with our ability to start taking that to the bottom line.

這顯然高於平均水平，但我們對我們開始將其納入底線的能力感到非常非常高興。

Our next question comes from the line of Richard Eastman from Baird.

我們的下一個問題來自 Baird 的 Richard Eastman。

First of all, just wanted to ask Ron, could you kind of speak, double back to the aerospace defense business and the growth rate there?

首先，只想問羅恩，你能不能談談航空航天防禦業務和那裡的增長率？

I think we had -- generally speaking, we had a fairly easy comp there.

我認為我們 - 一般來說，我們在那裡有一個相當簡單的組合。

Was the government shutdown an issue there at all?

政府關門真的是個問題嗎？

Or is the -- has the backlog build on the aerospace and defense side meaningfully?

或者是 - 積壓是否有意義地建立在航空航天和國防方面？

Or maybe just kind of speak to that?

或者也許只是這樣說？

Yes.

是的。

I'm going to let Mark Wallace make a couple of comments.

我要讓 Mark Wallace 發表一些評論。

But as you saw, we saw a 3% revenue growth in aerospace defense.

但正如您所見，我們看到航空航天防禦領域的收入增長了 3%。

So we think there's a lot of upside, but money did get clogged.

所以我們認為有很多好處，但資金確實受到了阻礙。

The only area where we saw that it was relatively weak was Russia.

我們看到它相對較弱的唯一地區是俄羅斯。

But Russia, in particular, is less than 2% of our total business, but it did pull down once we start looking at just our aerospace defense business.

但尤其是俄羅斯，它占我們總業務的比例不到 2%，但一旦我們開始只關注我們的航空航天防禦業務，它確實有所下滑。

But overall, we saw the U.S. and we saw China being pretty decent.

但總的來說，我們看到了美國，也看到了中國相當不錯。

But -- Mark, would you like to add a couple of more comments on aerospace defense space?

但是——馬克，你想再補充幾條關於航空航天防禦領域的評論嗎？

Yes, Ron.

是的，羅恩。

Rick, Ron covered it pretty well.

里克，羅恩講得很好。

We did see strength in the U.S. and China despite the RPL companies that were named last year.

儘管去年有 RPL 公司被點名，但我們確實看到了美國和中國的實力。

So we're continuing to grow.

所以我們在繼續成長。

This is year 4 or 5 of the China plan, so we expect to see some growth in investment, and we're capturing quite a bit of that.

這是中國計劃的第 4 年或第 5 年，因此我們預計會看到一些投資增長，而且我們正在抓住其中的相當一部分。

The other thing is, the government shutdown tended to delay some of the process.

另一件事是，政府關閉往往會延遲一些過程。

So we built a nice funnel as we go into Q2.

所以我們在進入第二季度時建立了一個很好的漏斗。

And then seasonally, as you get into the second half of the year, especially as you get closer to the end of the U.S. government fiscal year, we expect to see some of those opportunities strengthen.

然後是季節性的，隨著你進入今年下半年，尤其是當你接近美國政府財政年度結束時，我們預計其中一些機會會增加。

Let me add to that, if I could.

如果可以的話，讓我補充一下。

So we grew 3% -- the revenue line grew 3% in total, but one of the 2 divestitures we completed within the last 12 months was specific to aerospace defense.

所以我們增長了 3%——收入線總共增長了 3%，但我們在過去 12 個月內完成的 2 項資產剝離中有一項是專門針對航空航天防禦的。

So just for that we don't typically talk about core growth at the segment level, but aerospace defense grew 7% on a core basis on the revenue line.

因此，就此而言，我們通常不會談論細分市場的核心增長，但航空航天防禦在收入線上的核心基礎上增長了 7%。

So it was immaterial in total, but quite material to aerospace defense.

所以它總體上並不重要，但對航空航天防禦來說卻非常重要。

And then as Mark said, we saw pretty good order strength in both China and the U.S. offset by weakness in Europe -- from Russia, which is what Ron talked about.

然後正如馬克所說，我們看到中國和美國的相當不錯的訂單強度被歐洲的疲軟所抵消 - 來自俄羅斯，這就是羅恩所說的。

I see.

我懂了。

Okay.

好的。

And if you think about the 7% core number without the divestitures, did the -- was the book-to-bill there greater than 1 in A&D in the quarter?

如果您考慮沒有資產剝離的 7% 核心數字，那麼該季度 A&D 的訂單出貨比是否大於 1？

Yes.

是的。

We don't talk about...

我們不談...

Yes.

是的。

Right around 1, that level, yes.

就在 1 左右，那個級別，是的。

I forgot the level.

忘記等級了

We don't typically share.

我們通常不分享。

6% order growth -- 6% order growth for A&D and the book-to-bill was very, very close to 1. We think money starts to flow, it will change.

訂單增長 6%——A&D 訂單增長 6%，訂單出貨比非常非常接近 1。我們認為資金開始流動，它會改變。

Okay.

好的。

And then just a question around the 5G marketplace and how Keysight addresses it.

然後是關於 5G 市場以及是德科技如何解決這個問題的問題。

What's the strategy Ron around the manufacturing test site for 5G?

Ron 圍繞 5G 製造測試站點的策略是什麼？

Historically, we've had a very good market share in base station test on the manufacturing side.

從歷史上看，我們在製造方面的基站測試中佔有非常好的市場份額。

Hence the test -- we kind of a pull back there, I believe, earlier in the 2000s, mid-2000s, but I'm curious what would be the approach this year around 5G, I'm going to say devices test versus base station test on the manufacturing side?

因此進行了測試——我相信，我們在 2000 年代早期、2000 年代中期有點退縮，但我很好奇今年圍繞 5G 的方法是什麼，我想說的是設備測試與基礎測試製造方面的站測試？

Sure.

當然。

Well, first of all, the first step is component test.

那麼首先，第一步是組件測試。

And the components are tested when you get to the final, let's say, handset or device that you're trying to test, the components have been rung out.

當你到達最終階段時，組件就會被測試，比方說，你要測試的手機或設備，組件已經用完了。

There is very minimal test that is done at the overall device.

在整個設備上進行的測試非常少。

And that's why we moved away from that.

這就是我們放棄它的原因。

We are very strong in component test, we're the #1 player in the products that are used.

我們在組件測試方面非常強大，我們是所用產品的第一名。

We have over 50% share in the network analysis business, which does all that component test, and that's a very good business for us.

我們在網絡分析業務中擁有超過 50% 的份額，該業務負責所有組件測試，這對我們來說是一項非常好的業務。

The second is in base station test and we continue to be strong in base station test and we have new solutions and we have, I would just say, partnerships that are very good there.

第二個是基站測試，我們在基站測試方面繼續保持強大，我們有新的解決方案，我只想說，我們在那裡的合作夥伴關係非常好。

The other thing is, when you talk about all this and you start moving to 5G, it's not just about getting the signal to the cell tower.

另一件事是，當你談論所有這些並開始轉向 5G 時，這不僅僅是將信號傳送到手機信號塔。

You need to go ahead and overhaul the overall network to handle massive amounts of data from 5G as well as IoT in general.

您需要繼續改革整個網絡，以處理來自 5G 和物聯網的大量數據。

And that could be moved to 400-gig.

這可以移動到 400-gig。

And as we see that, we have a lot of products and solutions that are very, very strong in that area.

正如我們所看到的，我們有很多在該領域非常非常強大的產品和解決方案。

On the end of device, let's say, a phone or an iPad, there isn't much money there.

在設備端，比方說，手機或 iPad，那裡沒有多少錢。

So we are opportunistic, but we capture a lot of revenue and profit in components, in base stations and in the network area.

所以我們是機會主義者，但我們在組件、基站和網絡領域獲得了大量收入和利潤。

Okay.

好的。

And if I might just one last one, sneak one in.

如果我可以只做最後一個，偷偷進去。

Neil, around Ixia, the 9% op margin in the quarter here, is this kind of a baseline level of operating profit margin at $129 million of revenue?

尼爾，在 Ixia 周圍，本季度 9% 的營業利潤率，這種營業利潤率的基線水平是 1.29 億美元的收入嗎？

Or is there some self-help margin expansion yet to come against, just call it $130 million run rate -- quarterly run rate?

或者是否有一些自助利潤率擴張尚未遇到，就稱之為 1.3 億美元的運行率——季度運行率？

Yes.

是的。

So I think, we're obviously not satisfied with the 9% operating margin.

所以我認為，我們顯然對 9% 的營業利潤率不滿意。

We'll continue to drive that first into the mid-teens and ultimately, we expect to get operating margins in this business, I can go ahead and start with the 2 as the first digit.

我們將繼續把它首先推向十幾歲，最終，我們希望在這項業務中獲得營業利潤，我可以繼續並從 2 作為第一位數字開始。

I think the primary driver of that profit improvement will come from revenue growth given the high gross margins in this business.

鑑於該業務的高毛利率，我認為利潤增長的主要驅動力將來自收入增長。

That's not to say there aren't other opportunities for us to do things, but the primary driver that we're looking for is through the top line.

這並不是說我們沒有其他機會做事，但我們正在尋找的主要驅動力是通過頂線。

Your next question comes from the line of Vijay Bhagavath from Deutsche Bank.

你的下一個問題來自德意志銀行的 Vijay Bhagavath。

Hope you guys can hear me now?

希望你們現在能聽到我說話？

We can.

我們可以。

Yes.

是的。

I'm here in Minnesota, so out of the office.

我在明尼蘇達州，所以不在辦公室。

So quickly, I mean, Ron, Neil, my question is on -- there are 2 questions actually.

這麼快，我的意思是，羅恩、尼爾，我的問題是——實際上有 2 個問題。

The first is around any geographic color can give on the 5G strength, this question does get asked quite a bit from clients.

首先是圍繞任何地理顏色可以提供 5G 強度，這個問題確實被客戶問了很多。

Is this primarily a U.S. order book or are you also seeing like orders coming from like Japan and Korea, who have this nation-state intensity in 5G?

這主要是美國的訂單，還是您也看到來自日本和韓國的類似訂單，它們在 5G 方面具有這種民族國家的強度？

And then a quick follow-on for Neil.

然後是 Neil 的快速跟進。

Sure, I'm going to let Satish answer that, but clearly, we saw 5G strength in the Americas.

當然，我會讓 Satish 回答這個問題，但很明顯，我們在美洲看到了 5G 的實力。

We also saw it in China.

我們在中國也看到了。

We announced and talk about a deal that we had in Japan on the earlier part of the call.

我們在電話會議的早些時候宣布並討論了我們在日本達成的一項協議。

But Satish, why don't you give a little bit more color on our 5G profile?

但是薩蒂什，你為什麼不在我們的 5G 配置文件上多加一點色彩呢？

Well, thank you, Ron.

嗯，謝謝你，羅恩。

I think as I mentioned before, Vijay, it's very clear that we're contributing broadly across the ecosystem of customers and across the globe.

我認為，正如我之前提到的，Vijay，很明顯，我們正在為全球客戶生態系統做出廣泛貢獻。

No doubt the countries that Ron referenced are building their local capabilities, and many of our customers in those regions, Korea, Japan, China and the Americas are dominating, but definitely we continue to see broad participation for orders across the globe.

毫無疑問，羅恩提到的國家正在建設他們的本地能力，我們在這些地區的許多客戶，韓國、日本、中國和美洲佔據主導地位，但我們肯定會繼續看到全球訂單的廣泛參與。

In fact, if you will, attend Mobile World Congress, we look forward to hosting a number of investors, I know Jason Kary and Clay have put a schedule together, and you'll see on display a pretty broad diversity of customers who are actually applying Keysight technology to really showcase their pioneering innovation and 5G readiness.

事實上，如果你願意，參加世界移動通信大會，我們期待著接待一些投資者，我知道 Jason Kary 和 Clay 已經制定了一個時間表，你會在展會上看到相當廣泛的客戶，他們實際上是應用是德科技來真正展示他們的開創性創新和 5G 準備情況。

I hope you get a chance to see it live.

我希望你有機會現場觀看。

Yes, I'll be there as well.

是的，我也會在那裡。

A quick follow-on for Neil.

尼爾的快速跟進。

Any color or puts and takes you can give on order trends?

您可以提供任何顏色或看跌期權趨勢嗎？

I know there was some wildfire impact and all, but just clarify to us in terms of quarter-on-quarter, year-on-year kind of the order momentum in the business, ideally normalized for the wildfire's impact?

我知道有一些野火的影響，但只是向我們澄清一下季度環比、同比的業務訂單勢頭，理想情況下對野火的影響正常化？

Yes, we were very pleased with the performance that we delivered in Q1.

是的，我們對第一季度的表現非常滿意。

We talked about it being a record for our first quarter.

我們談到這是我們第一季度的記錄。

As we look forward to Q2 we have a very strong funnel of opportunities entering the second quarter.

當我們期待第二季度時，我們有一個非常強大的機會漏斗進入第二季度。

So I think that bodes well.

所以我認為這是個好兆頭。

If you think about it from a seasonality perspective, we do typically see our strongest order quarters being in Q2 and Q4.

如果您從季節性角度考慮，我們通常會看到最強勁的訂單季度出現在第二季度和第四季度。

And that's partially linked the way we pay our sales force.

這部分與我們支付銷售人員的方式有關。

We essentially have 2 quarter periods, one for the first half, one for the second half.

我們基本上有 2 個季度，一個是上半場，一個是下半場。

So it tends to be a big push at the end of each of those, which then leads to a little bit lower orders and correspondingly revenue in Q1 and Q3.

因此，它往往會在每一個的末尾都有很大的推動，然後導致第一季度和第三季度的訂單和相應的收入略有下降。

So that's how we typically think about the business, but we have a great funnel of opportunities.

這就是我們通常對業務的看法，但我們有很多機會。

We see broad adoption of our solutions across a number of ecosystems.

我們看到我們的解決方案在許多生態系統中得到廣泛採用。

Most notably, the ones we've been talking about, 5G, automotive, aerospace defense; really had a great quarter for our software solutions here in Q1.

最值得注意的是，我們一直在談論的 5G、汽車、航空航天防禦；第一季度我們的軟件解決方案真的有一個很好的季度。

So we're seeing continued increased penetration of software, and that increasing as a mix of our overall order and revenue base.

因此，我們看到軟件的滲透率持續增加，並且隨著我們的整體訂單和收入基礎的增加而增加。

Yes.

是的。

It's worthwhile to note that if you combine Q1 and Q2 as we mentioned last year, it normalizes out the fire impact where we had less shipments in Q1 and more in Q2.

值得注意的是，如果像我們去年提到的那樣將 Q1 和 Q2 結合起來，它會正常化我們在 Q1 出貨量較少而在 Q2 出貨量較多的火災影響。

So as Neil had mentioned we have a very strong funnel going into the quarter.

因此，正如尼爾所提到的，我們有一個非常強大的漏斗進入本季度。

And if you combine Q1 and Q2, our guidance at the midpoint is 14% core revenue growth for the half, and 41% earnings growth for the half without effectively neutralizing out fire seasonality.

如果你把第一季度和第二季度結合起來，我們的中點指導是一半的核心收入增長 14%，一半的收入增長 41%，而沒有有效抵消火災季節性。

Thank you.

謝謝。

That concludes our question-and-answer session for today.

今天的問答環節到此結束。

I would like to turn the conference back to Jason Kary for any closing comments.

我想將會議轉回 Jason Kary 以徵求任何結束評論。

Well, thank you, Kensey, and thank you, everyone, for joining us today.

好吧，謝謝 Kensey，也謝謝大家今天加入我們。

We look forward to seeing you at Mobile World Congress and some of the upcoming conferences and other events that we have, and hope you have a great day.

我們期待在世界移動通信大會以及即將舉行的一些會議和我們舉辦的其他活動中見到您，希望您度過愉快的一天。

Thank you.

謝謝。

This concludes our conference call.

我們的電話會議到此結束。

You may now disconnect.

您現在可以斷開連接。