Lumentum Holdings Inc. (LITE) 2019 Q3 法說會逐字稿

Good day, everyone, and welcome to the Lumentum Third Quarter Fiscal Year 2019 Financial Results Conference Call. As a reminder, today's call is being recorded for replay purposes through May 14, 2019.

各位好，歡迎參加 Lumentum 2019 會計年度第三季財務業績電話會議。提醒各位，今天的電話會議將錄音，供重播使用至 2019 年 5 月 14 日。

I would now like to turn the conference over to Mr. Jim Fanucchi of Darrow Associates. Mr. Fanucchi, please go ahead.

現在我想把會議交給 Darrow Associates 的 Jim Fanucchi 先生。Fanucchi 先生，請開始。

Thank you, operator, and welcome, everyone, to Lumentum's Fiscal Third Quarter 2019 Earnings Call. This is Jim Fanucchi. I'm from Darrow Associates, and I am helping Lumentum with its Investor Relations. Joining the call today from the company's management team, we have Alan Lowe, President and Chief Executive Officer; Wajid Ali, Chief Financial Officer; and Chris Coldren, Senior Vice President of Business Development.

謝謝接線員，也歡迎各位參加 Lumentum 2019 會計年度第三季財報電話會議。我是 Jim Fanucchi。我來自 Darrow Associates，協助 Lumentum 的投資人關係工作。今天與會的公司管理團隊成員包括：總裁暨執行長 Alan Lowe；財務長 Wajid Ali；以及業務發展資深副總裁 Chris Coldren。

This call will include forward-looking statements, including statements regarding the markets in which we operate, including potential market sizes, trends and expectations for products and technology, including product development and projected new product releases, purchasing trends and demand for our products, our expected financial performance, expenses and position of the market as well as statements regarding the recent acquisition of Oclaro. These statements are subject to risks and uncertainties that could cause actual results to differ materially from our current expectations.

本次電話會議將包含前瞻性陳述，包括關於我們所營運市場的陳述（包含潛在市場規模、趨勢，以及對產品與技術的預期），包括產品開發與預計推出的新產品、採購趨勢與對我們產品的需求、我們預期的財務表現、費用與市場地位，以及關於近期收購 Oclaro 的陳述。這些陳述存在風險與不確定性，可能導致實際結果與我們目前的預期有重大差異。

Lumentum encourages you to review our most recent filings with the SEC, particularly the risk factors described in our filings with the Securities and Exchange Commission, including the company's annual report on Form 10-K filing for the fiscal year ended June 30, 2018, and filed with the SEC on August 28, 2018, and the company's quarterly report on Form 10-Q for the fiscal quarter ended December 29, 2018, and that was filed with the Securities and Exchange Commission on February 7 of 2019 and in Lumentum's 10-Q for the fiscal third quarter, which the company expects to file with the SEC later today.

Lumentum 鼓勵各位查閱我們最近向 SEC 提交的文件，特別是我們向美國證券交易委員會提交之文件中所述的風險因素，包括公司截至 2018 年 6 月 30 日止會計年度的 Form 10-K 年報（已於 2018 年 8 月 28 日向 SEC 提交），以及公司截至 2018 年 12 月 29 日止會計季度的 Form 10-Q 季報（已於 2019 年 2 月 7 日向美國證券交易委員會提交），以及公司預期將於今日稍晚向 SEC 提交的截至會計年度第三季之 Lumentum 10-Q。

Forward-looking statements provided during this call are based on Lumentum's a reasonable beliefs and expectations as of today, and Lumentum undertakes no obligation to update these statements, except as required by applicable law. Please also note, unless otherwise stated, all results and projections discussed on this call are non-GAAP. Non-GAAP financials should not be considered as a substitute for or superior to financials prepared in accordance with GAAP.

本次電話會議中所提供的前瞻性陳述，係基於 Lumentum 截至今日之合理信念與預期，除非適用法律要求，Lumentum 不承擔更新這些陳述之義務。另請注意，除非另有說明，本次電話會議所討論的所有結果與預測均為非 GAAP。非 GAAP 財務資訊不應被視為依 GAAP 編製之財務資訊的替代或更優者。

Lumentum's press release with its fiscal third quarter 2019 results is available on its website under the Investors section and includes additional details about our non-GAAP financial measures and a reconciliation between our GAAP and non-GAAP results. Lumentum's website also has its latest SEC filings and supplementary slides relating to today's earnings release. Lumentum encourages you to review these. A recording of today's call will be available by 11:30 a.m. Pacific Time today on our website.

Lumentum 公布 2019 會計年度第三季業績的新聞稿可於其網站「投資人」專區取得，並包含關於我們非 GAAP 財務衡量指標的更多細節，以及 GAAP 與非 GAAP 結果之間的調節表。Lumentum 的網站亦提供最新的 SEC 申報文件，以及與今日財報發布相關的補充投影片。Lumentum 鼓勵各位查閱這些資料。今日電話會議的錄音將於今日太平洋時間上午 11:30 前後在我們網站上提供。

Now I will turn the call over to Alan for his comments and third quarter market and product highlights. Alan?

現在我把電話會議交給 Alan，請他發表評論並分享第三季市場與產品重點。Alan？

Thank you, Jim. Good morning, everyone. I am pleased to be here discussing our third quarter results and progress on achieving our strategic goals. The third quarter continued the theme that started more than a year ago. For the fifth quarter in a row, strong demand for our new products drove double-digit quarter-on-quarter revenue growth in ROADMs and fiber lasers. Once again, we attained new record revenue levels for both of these product lines. With a full quarter of contribution from the Oclaro acquisition, our telecom revenue mix is now approximately 40% transmission and 60% transport.

謝謝你，Jim。各位早安。我很高興在此討論我們第三季的業績，以及在達成策略目標方面的進展。第三季延續了一年多前開始的主軸。連續第五個季度，我們新產品的強勁需求帶動 ROADM 與光纖雷射的營收較前一季呈現雙位數成長。我們再次在這兩條產品線都達到新的營收紀錄。隨著 Oclaro 收購案貢獻完整一季，我們的電信營收組合目前約為 40% 傳輸（transmission）與 60% 傳送（transport）。

This is more balanced when compared to Lumentum's historically heavy transport mix and is closer to the overall telecom market. This mix could further balance out over time as new higher-speed transmission products, including DCO modules, ramp later this year. We believe the telecom market should be strong based on the continued growth in global network bandwidth requirements and the needed infrastructure for 5G. We are well positioned to capitalize on these trends with our industry-leading transmission and transport products.

相較於 Lumentum 過去以傳送（transport）為主的歷史性組合，這樣的配置更為均衡，也更接近整體電信市場的結構。隨著今年稍晚包含 DCO 模組在內的新一代更高速傳輸產品放量，這個組合隨時間推移可能會進一步趨於平衡。我們認為，受全球網路頻寬需求持續成長以及 5G 所需基礎建設帶動，電信市場應會維持強勁。憑藉我們業界領先的傳輸與傳送產品，我們已做好充分準備把握這些趨勢。

During the third quarter, we announced to our telecom customers 2 strategic actions catalyzed by the Oclaro acquisition. First, we are rationalizing overlapping product lines, which we expect to have minimal impact to revenue. This rationalization should result in gross margin improvement once completed over the next few quarters. Second, we are discontinuing some legacy telecom product lines where growth and profitably forecasts are inconsistent with our long-term goals. Revenue from these products is approximately $15 million per quarter at present and will decline to 0 once we satisfy our customers' last time buy needs over the coming 3 to 4 quarters.

在第三季期間，我們向電信客戶宣布了兩項因 Oclaro 收購案而加速推動的策略行動。第一，我們正在精簡重疊的產品線，預期對營收的影響極小。此一精簡在未來幾季完成後，應可帶來毛利率改善。第二，我們將逐步停止部分傳統電信產品線，因其成長與獲利預測與我們長期目標不一致。目前這些產品的營收約每季 1,500 萬美元；在未來 3 至 4 季內滿足客戶最後一次採購（last time buy）需求後，該營收將降至 0。

In early March, at the OFC tradeshow, we announced a fundamental shift in our datacom strategy. We are now focused on datacom chip sales and will stop selling datacom transceivers over time. We also announced the sale of several of our datacom transceiver product lines to Cambridge Industries Group, or CIG. This transaction closed on April 18, 2019. We expect sales of our remaining datacom transceiver product lines to ramp down to 0 as we bleed down inventory with only chip sales remaining in the future.

3 月初在 OFC 展會上，我們宣布了資料通訊（datacom）策略的根本性轉變。我們現在聚焦於資料通訊晶片銷售，並將隨時間推移停止銷售資料通訊收發器（transceivers）。我們也宣布將數條資料通訊收發器產品線出售給 Cambridge Industries Group（CIG）。該交易已於 2019 年 4 月 18 日完成交割。我們預期，隨著庫存逐步消化，我們其餘資料通訊收發器產品線的銷售將逐步降至 0，未來僅保留晶片銷售。

We are trying to do this as quickly as possible, but this process could take up to 4 to 5 quarters. Currently, datacom chip revenues are approximately $20 million per quarter. Since the announcement of the transaction and our clarification on our datacom strategy, we have seen increased interest from new customers for our datacom chips as we will no longer compete with them at the transceiver level.

我們希望盡可能快速完成，但此流程可能需要長達 4 至 5 季。目前，資料通訊晶片營收約每季 2,000 萬美元。自宣布該交易並釐清我們的資料通訊策略以來，由於我們將不再在收發器層級與新客戶競爭，我們看到新客戶對我們資料通訊晶片的興趣增加。

We are investing in new datacom chip development and expect sales of chips to customers serving the datacom and 5G markets to grow over time. Since our last earnings call, we have made good progress on winning 3D sensing business for future product cycles. Customers around the world know they can count on our proven and unrivaled reliability and volume capability. The market for laser-based sensing is still in the early innings.

我們正在投資新的資料通訊晶片開發，並預期隨時間推移，對服務資料通訊與 5G 市場之客戶的晶片銷售將成長。自上次財報電話會議以來，我們在爭取未來產品週期的 3D 感測業務方面取得良好進展。全球客戶都知道，他們可以信賴我們經驗證且無可匹敵的可靠度與量產能力。以雷射為基礎的感測市場仍處於早期階段。

We believe the market opportunity over the long run is tremendous as the applications that use our 3D sensing lasers enhance security, safety and new functionality in the billions of electronic devices that people around the world rely on every day. We believe our leadership position in the market is sustainable, and we will see strong growth in our 3D sensing business over the long run. We have shipped hundreds of millions of devices with unmatched performance, quality and reliability. This experience is a valuable advantage and is difficult for our competitors to replicate and overcome.

我們相信，從長期來看市場機會極為龐大，因為使用我們 3D 感測雷射的應用，將在全球數十億人每天仰賴的電子裝置中提升安全性、防護性以及新增功能。我們相信我們在市場中的領導地位具有可持續性，且長期而言我們的 3D 感測業務將呈現強勁成長。我們已出貨數億個裝置，具備無與倫比的效能、品質與可靠度。這些經驗是一項寶貴優勢，競爭對手難以複製並超越。

Turning to the third quarter results. Revenue was $432.9 million, up 16% quarter-on-quarter driven by having a full quarter of revenue from the Oclaro acquisition as well as continued strong growth in telecom transport products and commercial lasers. 3D sensing revenue declined quarter-on-quarter seasonally as expected. Revenue from our telecom product lines grew 41% sequentially, again driven by the acquired telecom revenue and by strong double-digit quarter-on-quarter growth in ROADMs and telecom transport sales.

接著談第三季的業績。營收為4.329億美元，較前一季成長16%，主要受惠於Oclaro併購案帶來完整一季的營收貢獻，以及電信傳輸產品與商用雷射持續強勁成長所帶動。3D感測營收如預期因季節性因素較前一季下滑。我們電信產品線的營收較前一季成長41%，同樣由併購取得的電信營收以及ROADM與電信傳輸銷售的強勁雙位數季增所驅動。

Demand from our customers for our telecom products is very strong and is spread across a broad customer and geographical base. Chinese customers are increasing -- are an increasing portion of our ROADM revenue, which should be expected given the limited historical deployments of ROADMs in China. However, their contribution is still well below their share of the market. We continue to add ROADM capacity, but demand outstripped our ability to supply in the third quarter, and this will continue throughout the fourth quarter.

客戶對我們電信產品的需求非常強勁，且分布於廣泛的客戶與地理區域基礎。中國客戶正成為我們ROADM營收中愈來愈重要的一部分，考量到中國過去ROADM部署有限，這是可預期的。然而，他們的貢獻仍遠低於其市場占比。我們持續增加ROADM產能，但第三季需求超出我們的供應能力，且此情況將延續至第四季。

We believe the growth in our ROADM and transport revenue has outpaced the telecom transmission revenue growth for several reasons. One simply relates to timing. In new network deployments, the transport equipment is installed first, and then individual transmission wavelengths are lit up over time. The other reason for strong ROADM growth are -- the other reasons for strong ROADM growth are more fundamental and long term in nature.

我們認為，我們的ROADM與傳輸營收成長之所以能超越電信傳輸營收的成長，原因有幾點。其中一點單純與時點有關。在新網路部署中，會先安裝傳輸設備，之後各個傳輸波長會隨時間逐步點亮。ROADM強勁成長的另一個原因是——ROADM強勁成長的其他原因更屬於基本面且具長期性。

The new Colorless, Directionless and Contentionless or CDC network architectures, the ROADM -- the number of ROADMs per network node and the number of ports per ROADM and, therefore, the average selling price is increasing. These more advanced ROADMs enable customers to achieve the needed network reconfigurability and capacity. Additionally, ROADMs are pushing into new geographies and applications.

新的無色（Colorless）、無方向（Directionless）與無阻塞（Contentionless），亦即CDC網路架構，使得每個網路節點的ROADM數量、每台ROADM的埠數，因而平均售價都在提升。這些更先進的ROADM可協助客戶達成所需的網路可重構性與容量。此外，ROADM也正推進至新的地理區域與應用。

Earlier, I discussed China, which has historically not deployed ROADMs domestically. Chinese domestic deployments have started, which significantly increases the addressable market over time. In terms of new applications, we are seeing ROADMs push further towards the edge of the network replacing fixed optical add/drops.

先前我談到中國，過去中國在國內並未大量部署ROADM。中國國內部署已開始，隨時間推移將顯著擴大可服務市場。就新應用而言，我們看到ROADM正進一步往網路邊緣延伸，取代固定式光學加/卸（add/drop）設備。

Switching to telecom transmission. We continue to make progress on our high-speed coherent products, including indium phosphide photonic integrated circuit-based components, 200-gigabit DCO modules and future 400-gigabit and 1.2-terabit DCO products. We expect these products to ramp in volume and to be a growth driver later this year.

接著談電信傳輸。我們在高速相干產品方面持續取得進展，包括以磷化銦光子積體電路（PIC）為基礎的元件、200Gb DCO模組，以及未來的400Gb與1.2Tb DCO產品。我們預期這些產品將在今年稍晚開始放量，並成為成長動能。

Turning to our industrial and consumer product lines, which includes 3D sensing. As expected, third quarter revenue was down 35% quarter-on-quarter, driven by usual seasonality in the consumer electronics market. We continue to make excellent progress with Android customers and additional new design wins on both front- and world-facing applications. For the first time, we had a single Android customer drive more than $10 million of revenue in the quarter.

接著談我們的工業與消費性產品線，其中包含3D感測。如預期，第三季營收較前一季下滑35%，主要受消費性電子市場的典型季節性影響。我們與Android客戶的合作持續取得極佳進展，並在前置與後置（world-facing）應用上拿下更多新的設計導入。這是我們首次在單一季度中，由單一Android客戶帶來超過1,000萬美元的營收。

Looking ahead to the fourth quarter, we expect 3D sensing to be flat to slightly down, driven by seasonality on existing products not being fully offset by initial ramps for new product cycles. Given our current mix of customer opportunities and historical trends, our fourth quarter should be the seasonal low of 3D sensing revenue. We expect 3D sensing to ramp up again this summer and into the fall time frame.

展望第四季，我們預期3D感測將持平至小幅下滑，原因在於既有產品的季節性影響，未能完全被新產品週期初期放量所抵銷。依據我們目前的客戶機會組合與歷史趨勢，第四季應會是3D感測營收的季節性低點。我們預期3D感測將在今年夏季並延續至秋季期間再度回升。

Our commercial laser segment revenue was up 14% quarter-on-quarter. During the third quarter, we benefited from capacity expansion and further ramped volumes of our newest fiber laser products to meet strong customer demand. We again achieved record revenues from our Kilowatt-Class Fiber Lasers, which grew 23% sequentially and 135% relative to the same period the prior year. Also of note is the significant improved -- significantly improved gross margin for our laser segment. We have made significant strides in product cost reduction.

我們商用雷射事業部的營收較前一季成長14%。第三季期間，我們受惠於產能擴充，並進一步提升最新光纖雷射產品的出貨量，以滿足強勁的客戶需求。我們的千瓦級光纖雷射再度創下營收新高，較前一季成長23%，較去年同期成長135%。同樣值得注意的是，我們雷射事業部的毛利率顯著改善——毛利率大幅提升。我們在產品成本降低方面已取得顯著進展。

Contributing to this, we moved pump laser production to our new facility in Thailand, which is achieving lower cost than our prior manufacturing location. We are making healthy investments in new laser product development targeting higher-growth material processing applications. Over the long run, we believe we have good opportunities for growth, driven by new product introductions. In the fourth quarter, however, we expect laser's revenue to decline from the third quarter levels.

為此，我們已將泵浦雷射的生產移轉至泰國新廠，其成本低於先前的製造據點。我們正持續投入健康的資本於新雷射產品開發，鎖定成長更快的材料加工應用。長期而言，我們相信在新產品導入帶動下，仍有良好的成長機會。然而在第四季，我們預期雷射營收將較第三季水準下滑。

Our largest fiber laser customer has communicated that their inventory of our products has reached targeted levels. Throughout my remarks, I have highlighted significant long-term trends that create terrific market opportunities for Lumentum. Further, I've highlighted our strategy to accelerate growth and drive sustainable margin expansion and customer and end market diversification. It is a very exciting time at Lumentum for all of our stakeholders.

我們最大的光纖雷射客戶已表示，其對我們產品的庫存已達到目標水位。在我的發言中，我已強調多項重要的長期趨勢，為Lumentum帶來極佳的市場機會。此外，我也說明了我們加速成長、推動可持續的利潤率擴張，以及客戶與終端市場多元化的策略。對Lumentum所有利害關係人而言，這是一個令人振奮的時刻。

I will now hand it over to Wajid.

接下來我把時間交給Wajid。

Thank you, Alan. Good morning, everyone. I'm very happy to be here on my first earnings call after joining Lumentum. I will first run through the third quarter financial results, add some additional details around the Oclaro acquisition, and then provide our guidance for the fiscal fourth quarter of 2019.

謝謝你，Alan。各位早安。我很高興在加入Lumentum後的第一次法說會上與各位見面。我將先說明第三季財務結果，補充一些關於Oclaro併購案的細節，接著提供我們對2019會計年度第四季的財測指引。

Net revenue for the third quarter was $432.9 million. GAAP gross margin for the third quarter was 20.4%. GAAP operating margin was negative 17.6%, and GAAP diluted net loss per share was $0.98. Compared with prior periods, our GAAP numbers were significantly impacted by charges related to the Oclaro acquisition, including restructuring and asset write-downs related to product line exits. Third quarter non-GAAP gross margin was 39%, which was down by 110 basis points from the prior quarter due to product mix.

第三季淨營收為4.329億美元。第三季GAAP毛利率為20.4%。GAAP營業利益率為負17.6%，GAAP稀釋後每股淨損為0.98美元。與先前期間相比，我們的GAAP數字受到與Oclaro併購案相關費用的顯著影響，包括重整費用以及與退出產品線相關的資產減損。第三季非GAAP毛利率為39%，因產品組合影響，較前一季下降110個基點。

Non-GAAP operating margin for the third quarter was 17.8%. Non-GAAP operating expenses totaled $91.8 million or 21.2% of revenue and increased $24.3 million due to having the full quarter of the acquired business as well as the seasonal impact of new calendar year resets of labor fringe rates. R&D expense was $52.8 million. SG&A expense was $39 million. Non-GAAP net income was $69.9 million for the third quarter and includes $3.8 million of net interest expense and tax expense of $3.3 million. Non-GAAP diluted net income per share was $0.91 based on a fully diluted share count of 76.7 million.

第三季非GAAP營業利益率為17.8%。第三季非GAAP營業費用合計9,180萬美元，占營收21.2%，增加2,430萬美元，原因在於併購業務貢獻完整一季，以及新曆年勞工附加福利費率重設所帶來的季節性影響。研發費用為5,280萬美元。銷售、一般及行政（SG&A）費用為3,900萬美元。第三季非GAAP淨利為6,990萬美元，其中包含380萬美元的淨利息費用與330萬美元的所得稅費用。以完全稀釋後股數7,670萬股計算，第三季非GAAP稀釋後每股淨利為0.91美元。

Turning to segment and product line details. Our Optical Communications segment revenue at $377.9 million increased 16% sequentially. Within our Optical Communications segment, telecom revenue at $243.4 million was up 41% sequentially. Datacom revenue at $57.3 million was up 72% sequentially. Industrial and consumer revenue at $77.2 million was down 35% sequentially due to lower 3D sensing revenues in the quarter.

接著說明各事業部門與產品線的細節。我們光通訊事業部門營收為3.779億美元，較前一季成長16%。在光通訊事業部門內，電信營收為2.434億美元，較前一季成長41%。資料通訊（Datacom）營收為5,730萬美元，較前一季成長72%。工業與消費性營收為7,720萬美元，因本季3D感測營收較低，較前一季下滑35%。

Optical Communications segment gross margin at 38% decreased 170 basis points sequentially due to lower industrial and consumer and the revenue mix. Our laser segment revenue at $55 million increased 14% sequentially, driven by growth in fiber laser sales. Third quarter lasers' gross margin was 46% and increased 330 basis points due to higher volumes and product cost reductions. Cash and short-term investments totaled $697.5 million at the end of the third quarter. Capital additions during the third quarter were $31 million.

光通訊事業部門毛利率為38%，因工業與消費性業務占比下降及營收組合影響，較前一季下降170個基點。我們雷射事業部門營收為5,500萬美元，受惠於光纖雷射銷售成長，較前一季增加14%。第三季雷射毛利率為46%，因出貨量增加及產品成本降低，提升330個基點。第三季末現金及短期投資合計為6.975億美元。第三季資本支出為3,100萬美元。

Now turning to more details on the acquisition expense synergies. As highlighted when we announced the acquisition, we expected synergies would be in excess of $60 million per year within 12 to 24 months from the close of the transaction. During the third quarter, we have achieved more than $20 million in annual expense synergies. We expect synergies to continue to grow in the fourth quarter and into fiscal year '20.

接下來提供併購費用協同效益的更多細節。如同我們宣布併購時所強調，我們預期在交易完成後12至24個月內，每年協同效益將超過6,000萬美元。在第三季期間，我們已達成超過2,000萬美元的年度化費用協同效益。我們預期協同效益將在第四季及2020會計年度持續成長。

Now onto our guidance for the fourth quarter of fiscal 2019. Noting again that all projections are on a non-GAAP basis. We project net revenue for the fourth quarter to be in the range of $405 million to $425 million. This revenue projection includes telecom increasing, driven by continued market growth and capacity expansion. Datacom decreasing by $20 million to $25 million due to the product line divestiture that was completed earlier in the quarter and continuing declines in remaining datacom transceiver sales.

接著說明2019會計年度第四季的財測指引。再次提醒，所有預測皆以非GAAP基礎呈現。我們預估第四季淨營收介於4.05億至4.25億美元。此營收預測包含電信業務增加，主要由持續的市場成長與產能擴充所帶動。資料通訊（Datacom）將減少2,000萬至2,500萬美元，原因是本季稍早已完成某產品線的剝離，以及剩餘資料通訊收發器銷售持續下滑。

Commercial lasers decreasing 15% to 20%, driven by the factors Alan mentioned earlier. And industrial and consumer, which contains 3D sensing, to be slightly down due to seasonal factors. We project fourth quarter operating margin to be in the range of 18% to 20%, and diluted net income per share to be in the range of $0.85 to $1. These projections incorporate an approximate share count of 77 million.

商用雷射將下滑15%至20%，主要受Alan先前提到的因素影響。工業與消費性（包含3D感測）將因季節性因素而小幅下滑。我們預估第四季營業利益率介於18%至20%，稀釋後每股淨利介於0.85至1.00美元。上述預測假設流通股數約為7,700萬股。

In this guidance, we are benefiting from synergies attained to-date. We are projecting higher operating margins on lower revenues. This is despite lower revenue from our higher-than-average margin 3D sensing and commercial lasers product lines.

在此指引中，我們受惠於迄今已實現的協同效益。我們在較低營收下，仍預期可達到較高的營業利益率。即便我們來自毛利率高於平均的3D感測與商用雷射產品線的營收較低，仍是如此。

With that, I'll turn the call back to Jim to start the Q&A session.

接下來我把電話交回Jim，開始問答環節。

Thanks, Wajid. (Operator Instructions) Operator, let's begin with the question-and-answer session.

謝謝你，Wajid。(接線員指示) 接線員，我們開始問答環節。

(Operator Instructions) The first question comes from Simon Leopold of Raymond James.

(接線員指示) 第一個問題來自Raymond James的Simon Leopold。

I wanted to start out with, kind of, picture on what you see going on in the 3D market longer term beyond that 1 quarter guidance. And maybe to help frame that. So if we think about the full year calendar '19, do you expect it to be a growth year versus calendar '18? And in terms of the context of the trends, how do you think the mix is trending between Android and non-Android phones over sort of the next, let's say, 1 year or so? And I have a follow up.

我想先從較長期、超出這一季指引的角度，了解你們對3D市場未來走勢的看法。也許先幫忙建立一些框架。如果我們看2019曆年全年，你們預期相較2018曆年會是成長的一年嗎？就趨勢脈絡而言，未來大約一年左右，你們認為Android與非Android手機之間的組合占比會如何變化？我還有一個追問。

Yes, Simon, this is Alan. I think it's hard for us to tell the mix between Android and non-Android revenue mix out into the future because it's very, very dependent upon what phones and what devices the 3D sensing gets put on and whether or not those are high volume or not. I think the data point that we shared in the script was that we have an Android customer that was more than $10 million in sales last quarter trying to indicate that we are in the Android business, and they are adopting 3D sensing and again, in the very, very early stages. So I expect that 3D sensing for Android customers will grow more rapidly than it has in the past as we look out over the next 4 quarters. So year-over-year, Chris, do you have a view on calendar '19 versus calendar '18?

是的，Simon，我是Alan。我認為我們很難判斷未來Android與非Android的營收組合，因為這非常、非常取決於3D感測會被導入哪些手機與裝置，以及那些產品是否屬於高出貨量。我們在講稿中分享的一個數據是：我們有一位Android客戶在上一季的銷售額超過1,000萬美元，想藉此表明我們確實在Android市場中，而他們也正在採用3D感測，且仍處於非常、非常早期的階段。因此，展望未來四個季度，我預期Android客戶的3D感測業務將比過去成長更快。至於年對年，Chris，你對2019曆年相較2018曆年的看法是？

Certainly. We think it will be up year-over-year given expectations around the second half of this year. We feel that in calendar '19, obviously, there were some challenges in various smartphones supply chains that impacted demand. And our expectations are that those (technical difficulty) be cleaned up and hopefully we will be shipping more, in line with customer volumes versus customer (technical difficulty).

當然。基於對今年下半年的預期，我們認為年對年會成長。我們認為在2019曆年，顯然智慧型手機供應鏈在多個環節遇到一些挑戰，影響了需求。我們預期那些（技術困難）會被解決，並希望我們的出貨能更貼近客戶的量產規模，而不是客戶的（技術困難）。

Did that answer your question?

這樣有回答到你的問題嗎？

Yes. It does. Very helpful. And I just wanted to maybe get level set on how to think about operating expenses over the longer term. In your March quarter, your reported quarter, your gross margin was better than expected, but your operating expenses were higher. And it could be just simply how we're allocating after the Oclaro deal. So you've got a number of moving parts with the cost synergies going on. Is there maybe some way to help us think about what would be a normalized or sort of fiscal '20 kind of OpEx expectation post synergies?

有。有回答到。非常有幫助。我也想再校準一下，該如何從較長期角度看待營業費用。在你們3月季度、也就是你們所報告的那一季，毛利率優於預期，但營業費用較高。這可能只是Oclaro交易後成本分攤方式的問題。目前有不少變動因素，包含成本協同效益的推進。你們是否能提供一些方式，幫助我們理解在協同效益落地後，較為常態化、或是2020會計年度的營業費用（OpEx）預期水準？

Yes. I mean I think going forward, as Wajid said, we've realized about $20 million of synergies since the acquisition was completed. I would say that probably half of those are in OpEx and half of those are in operating expense -- COGS. And that moving forward, the additional will be also shared between COGS and operating expenses. We did make some major announcements, for instance, closing our lithium niobate fab in Italy. We communicated that to the employees. And that shows up in our GAAP numbers for fiscal Q3, but won't show up in the savings or synergies until we actually cease operation, which would be late this calendar year. So I think we're going to continue to see operating expenses come down. At the same time, we'll see COGS come down to realize those synergies.

是的。我想未來如Wajid所說，自併購完成以來我們已實現約2,000萬美元的協同效益。我會說其中大約一半反映在營業費用（OpEx），另一半反映在營業成本（COGS）上。而往後新增的協同效益也會在COGS與營業費用之間分攤。我們確實做出一些重大宣布，例如關閉我們位於義大利的鈮酸鋰（lithium niobate）晶圓廠。我們已將此事告知員工。這會反映在我們2019會計年度第三季的GAAP數字中，但在我們實際停止營運之前，節省或協同效益不會體現在數字上；預計會在今年曆年稍晚。因此我認為我們將持續看到營業費用下降。同時，我們也會看到COGS下降，以實現這些協同效益。

And so June OpEx may be down a little bit from March, but then further declines later in the year?

所以6月的OpEx可能會比3月略降一些，但在今年稍晚還會進一步下降？

Yes, I think so. I think we'll see operating expenses down in the June quarter from the March quarter.

是的，我想是這樣。我認為我們會看到 6 月季度的營業費用較 3 月季度下降。

Our next question comes from Rod Hall of Goldman Sachs.

我們的下一個問題來自高盛（Goldman Sachs）的 Rod Hall。

I wanted to start -- I think we heard you say that you have $20 million in chip revenue for datacom. I just want to confirm that you said that. And kind of get an idea for how that revenue goes in the future. And could you also confirm if that is well above group average gross margin revenue? And then I've got a follow-up to that.

我想先從這裡開始——我想我們聽到你們說，資料通訊（datacom）的晶片營收是 2,000 萬美元。我只是想確認你們確實是這麼說的。並且想了解一下這項營收未來的走勢。另外也請你們確認，這是否是遠高於集團平均毛利率的營收？然後我還有一個追問。

Yes. We said it was approximately $20 million today. We expect that to grow over time. I think 2 things. One is, now that we've sold a set of product lines to CIG, they've become a chip customer, and we'll start seeing that growth in chip revenue from that base of $20 million a quarter. And then as we also said, now that we're not a transceiver competitor, that actually opens up the market for us to sell more chips going forward to competitors -- what used to be viewed as competitors. So we expect that chip revenue to grow steadily over time. And it is above the average gross margin, as you would expect, on a chip basis than the corporate group's margin average.

是的。我們今天說的是大約 2,000 萬美元。我們預期它會隨時間成長。我想有兩點。第一是，現在我們已將一組產品線出售給 CIG，他們成為了晶片客戶，我們將開始看到晶片營收從每季 2,000 萬美元這個基礎往上成長。第二，如同我們也提到的，現在我們不再是收發器（transceiver）的競爭者，這其實為我們打開了市場，使我們未來能向競爭對手——也就是過去被視為競爭者的公司——銷售更多晶片。因此我們預期晶片營收會隨時間穩定成長。而且如你所預期，就晶片而言，其毛利率高於公司集團的平均毛利率。

Okay. And then I wanted to see -- could you guys just comment on what's going on with inventory in China? And kind of -- it would be nice to know what your own inventory exposure looks like there? In other words, is it mostly ROADMs? Or is there sort of normal spread of other components in that inventory? And then where do you think the risk of that is given the trade situation?

好的。接著我想了解——你們能否評論一下中國的庫存狀況？以及——如果能知道你們在那裡自身的庫存曝險大概是什麼樣子會很好。換句話說，主要是 ROADM 嗎？還是庫存中也有其他元件的正常分布？另外，考量到貿易情勢，你們認為這方面的風險在哪裡？

Yes. Well, I don't know what's going to happen with the trade situation. I was in China a few weeks ago. And I'll tell you that given the amount of pressure that was put on me by our customers, in particular for ROADMs and pumps, I'd say that there is not a buildup of inventory, and that deployments are happening. And anecdotally, I was told about several greenfield deployments throughout China that are utilizing our more -- most advanced twin 1x32, 1x35 ROADMs as well as our MxN that are being deployed today. So those are new products that we're just ramping over the last couple of quarters. So there's not a big buildup of inventory there. We are also shipping, now with the acquisition under our belt, a lot of transmission products. And again, I don't see a lot of inventory buildup there in our most advanced products. And so I don't think given that we have been on constrained -- we have been constrained in our ability to meet demand, I don't believe there's a big buildup of the inventory that we provide to our customers in China.

是的。嗯，我不知道貿易情勢會如何發展。我幾週前在中國。我可以告訴你，考量到客戶對我施加的壓力之大，特別是在 ROADM 和泵浦（pumps）方面，我會說並沒有庫存堆積，部署正在進行。而且就我聽到的軼聞來看，有人告訴我中國各地有數個綠地（greenfield）部署正在採用我們更——最先進的雙路 1x32、1x35 ROADM，以及我們目前也正在部署的 MxN。所以這些都是我們在過去幾個季度才剛開始放量的新產品。因此那裡並沒有大量庫存堆積。另外，隨著我們完成收購，我們現在也在出貨大量傳輸產品。同樣地，我在我們最先進的產品上也沒有看到大量庫存堆積。因此我不認為，鑑於我們一直——我們在滿足需求的能力上一直受限，我不相信我們提供給中國客戶的庫存會有大量堆積。

Your next question comes from Alex Henderson of Needham.

下一個問題來自 Needham 的 Alex Henderson。

I wanted to ask first about the industrial lasers [being] down 15% to 20% quarter-to-quarter. That puts it around -- at the midpoint around $47 million. Is that -- is the spike to $55 million and then the decline back to $47 million a function of them flushing out some inventory, having orders in hand and then ending up with a little bit more inventory? And this is the new run rate? Should we be seeing 47% flat to growing modestly off of that? Or is the spike down in the quarter just a temporary vowel as they bring some inventory down? How do we think about the sequential next couple quarters on that business?

我想先問工業雷射（industrial lasers）季度對季度下滑 15% 到 20% 的部分。以中位數來看大約是 4,700 萬美元。這——從 5,500 萬美元的高峰，然後回落到 4,700 萬美元，是不是因為他們在清理一些庫存、手上有訂單，但最後又累積了一點庫存所致？而這就是新的運行水準（run rate）嗎？我們是否應該看到以 4,700 萬美元為基礎持平到小幅成長？還是說本季的下滑只是暫時性的波動，因為他們正在降低一些庫存？我們該如何看待接下來幾個季度這項業務的環比走勢？

I'd say that, as we've said in the past earnings calls, we've had trouble catching up with demand and filling the supply chain at our leading customer for fiber lasers. So we have been shipping more in than they've been shipping out as they fill up their production line, which is not a 1-week production cycle time. So they have several weeks of production, once they receive our fiber laser engine, go into their production line and ship out and put on a boat. And so there's a long cycle of inventory that we have not been able to catch up to until March.

我會說，正如我們在過去的財報電話會議中提到的，我們一直難以追上需求，並在我們光纖雷射（fiber lasers）主要客戶的供應鏈中補足供貨。因此，當他們在填滿其生產線時，我們出貨給他們的量一直多於他們出貨給下游客戶的量；而他們的生產週期並不是 1 週就能完成。所以一旦他們收到我們的光纖雷射引擎（fiber laser engine），還需要經過數週的生產，進入他們的產線後再出貨、再裝船。因此存在一個很長的庫存週期，而我們直到 3 月之前都無法追上。

And so now we're more shipping in to what they're shipping out, and we will ship in more as they convert more of their tools to fiber lasers from CO2, which they've been reluctant to do in the past because we weren't able to meet their demand. So I'd say that it's an equilibrium of in and out from a inventory standpoint, but as now they have more confidence in our ability to produce what they need, they'll continue to convert more and more of their tools away from CO2 lasers to our fiber laser. I think we should start seeing a pickup. Assuming the global economic conditions of the world maintain at a stable level, we should start seeing a pickup in a couple of quarters as that conversion happens.

所以現在我們的出貨量更接近他們的出貨量；而且隨著他們把更多設備從 CO2 雷射轉換為光纖雷射，我們也會出更多貨給他們。過去他們不太願意這麼做，因為我們無法滿足他們的需求。因此我會說，從庫存角度來看，現在進出已達到一個平衡；但由於他們現在對我們的供應能力更有信心，會持續把越來越多的設備從 CO2 雷射轉向我們的光纖雷射。我認為我們應該會開始看到回升。假設全球經濟狀況維持在穩定水準，隨著這個轉換發生，我們應該會在接下來幾個季度開始看到回升。

Okay. As a follow-up, the other piece of the equation here is on the capacity additions in ROADMs and pumps. So obviously, you moved to Thailand on pumps. I assume that you're capacity constrained on both of those as those lines ramp up. Can you talk a little bit about the timing of when you have additional slugs of capacity coming on in those critical product areas?

好的。追問一下，這裡方程式的另一部分是 ROADM 和泵浦的產能擴增。所以很明顯，你們把泵浦移到泰國。我假設隨著產線爬坡，你們在這兩者上都受到產能限制。你能否談談在這些關鍵產品領域，額外的產能批次（slugs of capacity）大概何時會到位？

Sure. For pumps, we started production last quarter in our Thailand facility. And as you may remember, several quarters ago, we actually just added incremental capacity to be able to bring up Thailand without impacting our manufacturing in Shenzhen, China. So we brought that up this quarter. We're doing sizable quantities of pumps in Thailand as we ramp down our production in Shenzhen. Production in Shenzhen will stop this quarter -- by the end of this quarter, and we will move that capacity to Thailand to bring up the capacity to the full run rate. At the same time, we were trying to build up inventory of pumps in Shenzhen, and we just were not able to meet the kind of demand that we saw until we are constrained still on pumps, but expect as we bring up our capacity over the next couple of quarters in Thailand and have it totally be based in Thailand, that we'll have an incremental probably 20% to 30% over our run rate peak that we saw a few quarters ago given that we added capacity a year ago to be able to not disturb the production in China.

當然。就泵浦而言，我們在泰國廠於上個季度開始生產。而你可能記得，在幾個季度前，我們其實新增了額外產能，使得我們能在不影響中國深圳製造的情況下，把泰國廠拉起來。所以我們在本季度把它拉升起來。隨著我們逐步降低深圳的產量，我們在泰國已經在生產相當可觀數量的泵浦。深圳的生產將在本季度停止——在本季度末之前停止，而我們會把那部分產能移到泰國，使產能提升到完整的運行水準。同時，我們一直試圖在深圳建立泵浦庫存，但直到我們仍然在泵浦上受限之前，我們都無法滿足所看到的那種需求；不過我們預期，隨著未來幾個季度在泰國把產能拉升，並且完全以泰國為基地，我們的產能將比幾個季度前所看到的運行高峰再增加約 20% 到 30%，因為我們在一年前就已新增產能，以便不干擾中國的生產。

As far as the ROADMs are concerned, we continue to add capacity every quarter, mostly on the 1x20s, 1x35s, twins and the MxNs. And so that's where our real fundamental growth is coming from moving forward. But at the same time, we are constrained actually on the -- our new low-cost 1x9 that we saw more and more demand and more and more ROADMs pushing to the edges. I talked about replacing these fixed add/drop multiplexers. And so I think we're going to continue to see growth in our ROADM revenues, at least for the foreseeable future from what I can tell, given that the ASPs are shifting upward, the complexity of the ROADMs are adding ASPs, and we're getting more units out. And so we should see that happening both in Q4 as well as through the balance of the calendar year.

就 ROADM 而言，我們每一季都持續增加產能，主要是在 1x20、1x35、twins 以及 MxN 上。因此，這也是我們未來真正、根本性成長的來源。但同時，我們其實也受到限制——在我們新的低成本 1x9 上，我們看到需求愈來愈多，也有愈來愈多的 ROADM 被推向網路邊緣。我先前談到要替換這些固定式 add/drop 多工器。因此我認為，至少在可預見的未來，從我所能判斷的情況來看，我們將持續看到 ROADM 營收成長，因為 ASP 正在上移、ROADM 的複雜度提高也在推升 ASP，而且我們出貨的單位數也更多。因此，我們應該會看到這種情況在第四季以及整個曆年剩餘期間持續發生。

If I could just follow up on this piece of it. So pumps are obviously enormously important for amps. Amps are important for ROADMs. Are you able to produce enough pumps and amps to produce the amount of ROADMs you want to produce? Is that a gating factor on this? And if so, are you selling any pumps externally? How should we think about the availability of pumps to sell beyond what's needed internally?

如果我可以就這一點再追問一下。所以 pump（泵浦）顯然對 amp（放大器）極其重要。放大器對 ROADM 也很重要。你們是否能生產足夠的泵浦與放大器，以生產你們想要生產的 ROADM 數量？這會是其中的瓶頸因素嗎？如果是的話，你們有對外銷售任何泵浦嗎？我們應該如何看待在滿足內部需求之外、可供對外銷售的泵浦供應量？

Yes. I mean obviously, we prioritize our internal blade -- super-blade modules and the likes of those more highly integrated subsystems for our pumps. But we are shipping both to record level numbers and -- of revenue for external pump customers. It just wasn't enough. And so we are still selling individual pumps to pump customers, but just weren't able to satisfy all the demand in Q3 and expect that over the next few quarters, as we continue to ramp up Thailand, we'll be able to catch up with that demand for pumps.

是的。我的意思是，顯然我們會優先把泵浦供應給我們內部的 blade——super-blade 模組，以及類似這些更高度整合的子系統。但我們也正在對外部泵浦客戶出貨，無論是數量或營收都達到創紀錄水準。只是仍然不夠。因此我們仍在向泵浦客戶銷售單顆泵浦，但在第三季無法滿足所有需求；並且預期在接下來幾季，隨著我們持續提升泰國產能，我們將能追上泵浦需求。

(Operator Instructions) Your next question comes from Blayne Curtis of Barclays.

(接線員指示) 下一個問題來自 Barclays 的 Blayne Curtis。

This is Tom O'Malley on for Blayne Curtis. I just wanted to get a little more color here with all the divestitures and selling of businesses. What do you guys think longer term about the margin profile? Obviously, guiding into June here, you're seeing flattish margins but at lower revenue. But longer term, what do you think that looks like? And how does that drive earnings growth?

我是代替 Blayne Curtis 提問的 Tom O'Malley。我想在這裡就所有的資產剝離與出售業務，請你們再多補充一些細節。你們對長期的毛利率/利潤率結構（margin profile）有何看法？顯然你們在這裡對六月季度的指引，看到的是在較低營收下、利潤率大致持平。但從長期來看，你們認為會是什麼樣子？這又將如何帶動獲利成長？

Yes. So our operating margin last quarter in Q3 was 17.8%. We guided on lower revenue and a less favorable mix to 18% to 20% operating margins. So I'd say that we are continuing to drive operating margins in what I would call our seasonally weakest quarter of the year. And so we're going to continue to see that operating margin growth as we expect our 3D sensing business to really pick up in the second half of the calendar year. And I'd say that we'll be north of 20 points of operating margin as that mix becomes more favorable. So I'd say we're on track. We're going to continue to realize those synergies. We've only gotten $20 million out of the synergies, and we expect that to continue through the next several quarters.

是的。我們上一季（第三季）的營業利益率是 17.8%。在較低營收與較不利的產品組合下，我們給出的指引是營業利益率 18% 到 20%。所以我會說，即便在我稱之為一年中季節性最弱的季度，我們仍在持續推動營業利益率。因此，隨著我們預期 3D 感測業務在曆年下半年真正回升，我們將持續看到營業利益率成長。而且我會說，當產品組合變得更有利時，我們的營業利益率將會高於 20 個百分點。所以我會說我們進展符合預期。我們將持續實現這些綜效。我們目前只實現了 2,000 萬美元的綜效，並預期在接下來幾季會持續增加。

Great. And then just a little more color on Android in the quarter. You guys said one customer was $10 million. The first part is, did you guys have multiple 10% customers in the quarter? And then the second part is, how much was the total contribution from Android? I guess, better way to say that is, how much was outside of that one $10 million?

很好。另外也想請你們再多談一點本季 Android 的情況。你們提到有一位客戶是 1,000 萬美元。第一個問題是：本季你們是否有多位占比達 10% 的客戶？第二個問題是：Android 的總貢獻是多少？換句話說，在那筆 1,000 萬美元之外，還有多少是來自 Android？

I mean we do have other Android customers. We were just trying to make a point that Android now is a more significant portion of our overall 3D sensing business, and that we expect that to grow quite rapidly. We don't break out individual customers that are 10% of a given product line. We break it out once a year in our K as far as 10% customers for that year. So beyond that, we're not going to break out much more detail.

我的意思是，我們確實還有其他 Android 客戶。我們只是想強調，Android 現在已成為我們整體 3D 感測業務中更重要的一部分，而且我們預期它會相當快速地成長。我們不會按產品線拆分揭露哪些單一客戶占該產品線的 10%。我們一年只會在 10-K（K）裡揭露一次，針對該年度占比達 10% 的客戶。因此除此之外，我們不會再拆分更多細節。

Your next question comes from Samik Chatterjee of JP Morgan.

下一個問題來自 JP Morgan 的 Samik Chatterjee。

I just wanted to follow up on Alex's earlier question about ROADM capacity. Alan, if -- can you give us some sense of, as you've increased capacity on ROADMs, how has your primary competitor reacted in terms of capacity addition? I guess, what I'm trying to get to is, once the tailwinds from China moderate maybe 1 or 2 years out, how do we get comfort that the industry is not in a overcapacity situation at that point in relation to ROADMs?

我想延續 Alex 先前關於 ROADM 產能的問題。Alan，如果——你能否讓我們了解一下，當你們提高 ROADM 產能時，你們的主要競爭對手在增加產能方面的反應如何？我想問的是，一旦來自中國的順風在一到兩年後可能趨緩，我們如何能有信心，屆時產業在 ROADM 方面不會出現相對於需求的產能過剩？

I think there's a couple of underlying changes that are different from past cycles where we had 5 or 6 competitors buying for the same ROADM slots. And now we have a very concentrated, competitive landscape. And at the same time, the transition from simpler 1x9 type ROADMs to very complex high port count and CDC-type ROADMs give me confidence that we're going to continue to push the technology and continue to have that leadership on providing our customers what they need, what they want, when they want it. I think as I've said also that we are in the very, very early stages of deployment in China. We're seeing strong growth across the globe on our higher port count and CDC-type ROADM architectures. And so I don't have a crystal ball to say what's going to happen 2 years from now, but I'd say that we're still not able to satisfy the demand, the orders -- firm orders that we have for this quarter and see that being constrained even as we add 10% of ROADM revenue every quarter for the last 5 quarters. So we expect that to be constrained for the next quarter or 2.

我認為有幾個底層變化與過去的循環不同；過去我們有 5 到 6 個競爭者在爭同樣的 ROADM 機會。而現在競爭格局非常集中。同時，從較簡單的 1x9 類型 ROADM 轉向非常複雜的高埠數（high port count）以及 CDC 類型 ROADM，讓我有信心我們會持續推進技術，並持續保持領先，為客戶提供他們需要的、想要的，並在他們需要的時間提供。我也如同先前所說，我們在中國的部署仍處於非常、非常早期的階段。我們看到全球在高埠數與 CDC 類型 ROADM 架構上都有強勁成長。因此我沒有水晶球能說兩年後會發生什麼，但我會說，我們目前仍無法滿足本季我們所擁有的需求與訂單——確定訂單；即便在過去 5 個季度中，我們每季都增加 10% 的 ROADM 營收，我們仍看到供給受限。所以我們預期接下來一到兩季仍會受限。

Okay. Got it. Can I just quickly...

好的。了解。我可以很快再……

As far as our competitors are concerned, I think we believe we have a few year lead on the technology and the kind of architectures that our customers are asking for. And we're continuing to invest more and more R&D dollars into making sure we keep that transport leadership, especially in ROADMs.

至於競爭對手方面，我想我們相信在技術以及客戶所要求的架構類型上，我們領先了好幾年。而且我們持續投入愈來愈多的研發資金，以確保我們能維持傳輸領域的領導地位，尤其是在 ROADM 上。

Got it. I just wanted to quickly follow up on the synergy targets here. I mean you've got $20 million in kind of the first quarter that you fully consolidated Oclaro. How do we kind of think of the upside here on the $60 million target that you have, like 24 months out from -- do we look at kind of potentially some upside to that $60 million?

了解。我只是想快速追問一下這裡的協同效益目標。我的意思是，你們在第一季把 Oclaro 完全併表後，大概就有 2,000 萬美元。那我們該如何看待你們所設定的 6,000 萬美元目標在大約 24 個月後的上行空間——我們是否應該把它視為可能高於 6,000 萬美元的上行？

Yes. I mean I think as we start realizing the synergies, what we're updating whether or not we think we can get more, I think what we said when we announced the deal and we're very confident that we would exceed $60 million of synergies. We're still confident of doing that. Some of the synergies come in chunks. And as I've said before, we notified our employees in Italy that we're closing that lithium niobate fab. But we're running it hot right now to buildup inventory to satisfy our customer's lifetime buy requirements. And then by the end of this calendar year, we'll start seeing the synergies resulting from that decision. So in the December quarter, we should see a pickup -- beginning to pick up from that kind of a synergy as well as we're still working on our ERP consolidation, moving to Oracle from what was -- what is an Oracle and SAP environment. And once that happens, then it'll be probably early part of next calendar year, we'll see another chunk of synergies as a result of that. So it's not going to be a smooth $5 million or $10 million a quarter. We'll see it come over time, probably over the next 4 or 5 quarters.

是的。我的意思是，我認為當我們開始實現協同效益時，我們也會更新我們是否認為能取得更多；我想我們在宣布交易時說過，而且我們非常有信心協同效益會超過 6,000 萬美元。我們現在仍然有信心做到這一點。有些協同效益會以「一塊一塊」的方式出現。而且如我之前所說，我們已通知義大利的員工，我們將關閉那座鈮酸鋰晶圓廠。但我們目前正讓它滿載運轉，以建立庫存來滿足客戶一次性終身採購（lifetime buy）的需求。然後在今年曆年年底前，我們就會開始看到這項決策帶來的協同效益。因此在 12 月季度，我們應該會看到提升——開始從那類協同效益開始回升；同時我們仍在進行 ERP 整併，從原本——目前是 Oracle 與 SAP 並存的環境，轉移到 Oracle。一旦完成，那大概會在下一個曆年年初，我們會看到另一塊協同效益的釋出。所以它不會是每季平滑地增加 500 萬或 1,000 萬美元。我們會隨時間逐步看到它出現，可能在接下來 4 到 5 個季度。

Your next question comes from John Marchetti of Stifel.

下一個問題來自 Stifel 的 John Marchetti。

Alan, I was hoping maybe you could spend a minute or 2 on that ROADM demand outside of China. A lot of focus obviously there on not only some of the greenfield opportunities but as they're putting in that technology for the first time. I'm wondering if you can comment a little bit on what you're seeing sort of rest of world, North American and some of the other geographies as that's more of an upgrade situation given that they've had that technology deployed for some time?

Alan，我希望你能花一到兩分鐘談談中國以外的 ROADM 需求。大家顯然很關注那裡，不僅是一些綠地（greenfield）機會，還有他們首次導入該技術時的情況。我想請你評論一下你在世界其他地區、北美以及其他一些地理區域看到的狀況；由於他們已部署該技術一段時間，那裡更像是升級情境？

You mean outside of China?

你是指中國以外？

Yes.

是的。

Yes. Well, I wouldn't say that there is a whole lot of people that have existing ROADM networks that have twin 2x35s or MxN architectures installed. And so I'd say that those are new opportunities for new greenfields. And whether that be in Japan, we're seeing a lot of demand for L band ROADMs and the infrastructure that supports L band. So Japan is actually doing quite well. North America is doing well, Europe is doing well. And we're engaged with our customers on next-generation ROADM blades and Super Transport Blades around these new high port count ROADM architecture and CDC architectures, both in C and L band. So I'd say that our R&D and new product introduction pipeline is quite full to address the global market. And so these new ROADM architectures are required as the network speeds become faster and faster, and in preparation for the 5G rollout. I really do think that there is infrastructure spend happening today in anticipation of 5G coming to market over the next several years.

是的。嗯，我不會說有很多人已經有既有的 ROADM 網路，且已安裝雙 2x35 或 MxN 架構。因此我會說，這些是新的綠地機會。不論是在日本，我們看到對 L 波段 ROADM 以及支援 L 波段的基礎設施有很大的需求。所以日本其實表現相當不錯。北美表現不錯，歐洲也表現不錯。而且我們正與客戶合作，開發下一代 ROADM 刀片（blades）與 Super Transport Blades，圍繞這些新的高埠數 ROADM 架構與 CDC 架構，涵蓋 C 與 L 波段。所以我會說，我們的研發與新產品導入管線相當滿，以因應全球市場。而且隨著網路速度越來越快，並為 5G 部署做準備，這些新的 ROADM 架構是必要的。我確實認為，市場目前就已在進行基礎設施支出，以因應未來幾年 5G 進入市場。

Great. And then maybe if I can ask a similar question on the laser side. In terms of outside your largest customer, what you're seeing there and the potential for new customers to come on? And maybe how the current sort of economic backdrop, particularly in Asia, may be impacting that? And then how we can think about that going forward in terms of broadening out that base of demand for the laser business?

很好。接著如果可以，我想問一個類似的問題，關於雷射端。就你們最大客戶以外的部分，你們看到的情況以及新客戶加入的可能性如何？以及目前的經濟背景，特別是在亞洲，可能如何影響這些？然後就未來而言，我們該如何看待擴大雷射業務需求基礎？

Yes. When we talked about our largest customer, we're talking about our largest customer for fiber lasers. Is your question specific around fiber laser or our commercial laser business in general?

是的。當我們談到最大客戶時，我們指的是光纖雷射的最大客戶。你的問題是特別針對光纖雷射，還是我們整體商用雷射業務？

I think both to be fair, Alan. Just trying to see what kind of gets that business back up on a more consistent growth trajectory as it's been a little bit lumpier over these last several quarters?

我想兩者都算，Alan。只是想了解，什麼因素能讓那項業務回到更一致的成長軌道，因為過去幾個季度波動比較大？

Okay. Yes. So I'd say there is really 2 dynamics. One is in the micromachining, and that is cyclical within a year around consumer electronics. And so I'd say that tools get installed now in the first half of the year in anticipation of consumer electronics demand in the second half of the year. So typically, our micromachines or nanosecond pulse, our ultrafast lasers have a better first half of the calendar year than second half. We've seen slow impact in the first half. And so we're not expecting a big pickup on that in the short term, although we're investing -- we're increasing our R&D spend in lasers significantly to get out in front of new product requirements for ultrafast laser.

好的。是的。我會說其實有兩個動態。第一個是在微加工（micromachining），而這在一年之內會隨消費性電子而呈現循環。因此我會說，工具通常在上半年安裝，以因應下半年消費性電子需求。所以一般而言，我們的微加工設備或奈秒脈衝、超快雷射，在曆年上半年的表現會比下半年好。我們在上半年看到需求放緩的影響。因此短期內我們不預期那部分會有明顯回升，儘管我們正在投資——我們正大幅提高雷射的研發支出，以提前布局超快雷射的新產品需求。

So we expect that in calendar '20 that business should pickup as a result of new material processing for glass cutting and other kinds of materials that use the ultrafast lasers. On the fiber lasers, we have been over the last 10 years very, very closely partnered with Amada. They continue to be our priority. But now as we've caught up on the demand, we are branching out to see what we can do to drum up other business in our fiber lasers area. And so, I wouldn't say there is any short-term pickup that you should model into your models in the next couple of quarters. But I would say end of the calendar year and into calendar year '20, we should see that broadening of our customer base on fiber lasers.

因此我們預期在 2020 曆年，該業務會因新的材料加工應用而回升，例如玻璃切割以及其他使用超快雷射的材料。在光纖雷射方面，過去 10 年我們一直與 Amada 非常、非常緊密合作。他們仍然是我們的優先客戶。但現在隨著我們已追上需求，我們也開始向外拓展，看看在光纖雷射領域還能如何爭取其他業務。所以我不會說在接下來幾個季度，你應該在模型中納入任何短期回升。但我會說在今年曆年年底以及進入 2020 曆年，我們應該會看到光纖雷射客戶基礎的擴大。

Your next question comes from Meta Marshall of Morgan Stanley.

下一個問題來自 Morgan Stanley 的 Meta Marshall。

I just wanted to kind of get some context for how you are thinking about the DCO ramp, kind of, into the second half of the year. And just where you are with kind of testing product? Or how long you think customers will need to test product before that product ramps? And then maybe second question, just on the datacom business. It would seem as if you would no longer kind of have any direct relationship with the hyperscalers given the move more into the chipset business. And just wanted to kind of see is that correct? Or just where you would intend or plan on kind of engaging directly with the hyperscalers kind of going forward?

我想了解一下你們如何看待 DCO 的爬坡，進入今年下半年時的情況。以及你們目前在產品測試方面的進度如何？或你認為客戶在產品放量前需要測試多久？然後第二個問題是關於資料通訊（datacom）業務。看起來隨著你們更多轉向晶片組（chipset）業務，你們可能不再與超大規模業者（hyperscalers）有任何直接關係。我想確認這是否正確？或是你們未來打算如何、或計畫在未來持續與超大規模業者直接互動？

Well, I'd say that from being a chip supplier, we are still very, very engaged with the hyperscalers. In fact, some of them actually are our chip customers. And so I think that that's going to intensify as we work with our transceiver customers to make sure that we're providing the right photonic chipsets to go with their ICs that make the transceivers. And so I think we're actually being viewed as more the independent provider of the technology to the hyperscalers. And so I would think that, that relationship with hyperscalers would actually increase as opposed to decrease on the datacom side.

嗯，我會說，從我們作為晶片供應商的角度來看，我們仍然與超大規模雲端業者（hyperscalers）保持非常、非常密切的合作。事實上，其中有些本來就是我們的晶片客戶。因此，我認為，隨著我們與收發器客戶合作、確保我們提供正確的光子晶片組以搭配其用於製造收發器的IC，這種合作關係將會更加深化。所以我認為，我們實際上被視為向超大規模雲端業者提供技術的更獨立的供應商。因此我會認為，在資料通訊（datacom）這一端，與超大規模雲端業者的關係應該是增加而不是減少。

From a DCO standpoint, we're sampling customers now, and we expect that assuming that goes well and I don't see any reason why it shouldn't go well, that we should start seeing revenue in our first calendar -- first fiscal quarter of FY '20. And then the ramp is going to really be dependent upon how those qualifications go. And so I'd hate to say that we're going to count on tens of millions of dollars in the second half, but I think that there is certainly a desire by our customers to qualify us and have a viable second source to the lead guy producing DCOs today.

從DCO的角度來看，我們現在正在向客戶提供樣品（sampling），我們預期只要進展順利——而我看不出有任何理由不會順利——我們應該會在FY '20的第一個曆年——第一個會計季度開始看到營收。接著的放量（ramp）將真正取決於這些認證（qualification）的進展情況。因此我不太願意說我們會在下半年就指望有數千萬美元的收入，但我認為客戶確實有意願認證我們，並讓我們成為目前領先廠商在生產DCO上的可行第二來源。

Your next question comes from Tejas Venkatesh of UBS.

下一個問題來自UBS的Tejas Venkatesh。

Given the positive commentary we've heard from you on Android 3D sensing so far on this call, I wonder if you might comment on whether we should expect to see high-volume Android phones with 3D sensing on it? And then how much of the Android revenue so far has been time-of-flight VCSELs versus structured light?

鑑於在本次電話會議中，我們聽到你們對Android 3D感測的正面評論，我想請你們談談，我們是否應該預期會看到搭載3D感測的高出貨量Android手機？另外，到目前為止Android的營收中，有多少來自飛行時間（time-of-flight）的VCSEL，相較於結構光（structured light）？

Yes. So Tejas, this is Chris. I think you can expect certainly at -- a single customer driving more than $10 million a quarter. That's now starting to get to (technical difficulty) not quite lead customer volumes, but is getting to reasonable volumes. Our discussions with other Android customers are leading us to believe that as we exit this calendar year and into the new calendar year, there is opportunity for, I think, what you would classify as more of a higher-volume Android model.

是的。Tejas，我是Chris。我認為你可以預期，確實會有——單一客戶每季帶動超過1,000萬美元的營收。這現在開始達到（技術問題）雖然還不到領先客戶的出貨量，但已經是相當合理的量。我們與其他Android客戶的討論讓我們相信，當我們走出今年曆年並進入新的曆年時，將有機會出現我認為你會歸類為更高出貨量的Android機型。

As you imagine, it's a dynamic market, and customers are somewhat secretive with their product plans. But I think that the time window that today relate this calendar year and our next calendar year is the best opportunity for something that becomes multiples of where the kind of opportunities are today in the market. In terms of time-of-flight, we've got a reasonable mix. I would say a lot of the revenue today is time-of-flight. One of the main drivers for that is, many of the Android customers are focused on world-facing phones or world-facing 3D sensing in their phones today, and time-of-flight is the technology of choice for world-facing applications. So we've got a pretty healthy mix of time-of-flight and structured light customers.

如你所想，這是一個動態市場，而客戶對其產品規劃也相當保密。但我認為，以今天來看，這個曆年到我們下一個曆年的時間窗口，是最有機會出現相較於目前市場機會倍數成長的情況。就飛行時間而言，我們有相當合理的組合。我會說，目前相當多的營收來自飛行時間。其中一個主要驅動因素是，許多Android客戶目前聚焦在面向外界（world-facing）的手機或其手機上的面向外界3D感測，而飛行時間是面向外界應用的首選技術。因此，我們在飛行時間與結構光客戶之間有相當健康的組合。

Your next question comes from George Notter of Jefferies.

下一個問題來自Jefferies的George Notter。

I wanted to go back to the discussion of ROADM and ROADM capacity. I think you mentioned 10% capacity additions over the last 5 quarters. I was just curious about why aren't we able to ramp that ROADM capacity a bit faster. And I realize it's a very testing-intensive process, the production of ROADMs. But I'm just wondering if there's any opportunity here to ramp capacity in a faster way. And then also, I'm wondering on -- from a ROADM technology perspective, are you seeing any more activity around flex grid?

我想回到關於ROADM以及ROADM產能的討論。我記得你提到過去5個季度產能增加了10%。我只是好奇，為什麼我們無法把ROADM產能拉升得更快一些。我理解ROADM的生產是一個非常依賴測試的流程。但我想知道，是否有任何機會能以更快的方式提升產能。另外我也想問，從ROADM技術的角度來看，你們是否看到在彈性網格（flex grid）方面有更多活動？

Yes. So just a couple things. So on -- we call our flexible grid TrueFlex. And I'd say that last quarter, over 90% of our ROADM shipped are all TrueFlex and expect that to be the case moving forward. I didn't say that we were only getting 10%. I'd say that over the last 5 quarters, we've gotten a minimums of 10%. And if you look back 2 quarters ago, we grew more like 25%. And so we are adding capacity as fast as we can, but we're now getting into big numbers. And so adding 10% on a $100 million is more significant than adding 10% on $20 million. And so those capacity increases come in 2 ways. One is improving productivity and yield over time, and that comes out of just the existing capacity. But when we add capacity, they normally come in, in chunks of capacity additions for a given product line. And so that's when you see a big step up of ROADM capacity. But again, getting $10 million to $15 million of additional ROADM revenue out in a quarter is nontrivial, and we're trying to just keep up with demand and haven't been able to do so, so far.

是的。我補充幾點。關於——我們把我們的彈性網格稱為TrueFlex。我會說，上個季度我們出貨的ROADM中，超過90%都是TrueFlex，並且預期未來也會如此。我並不是說我們只增加了10%。我想說的是，在過去5個季度，我們的增幅至少都有10%。如果你回看兩個季度前，我們的成長更接近25%。因此我們正以能做到的最快速度增加產能，但現在基數已經變得很大。所以在1億美元的規模上增加10%，比在2,000萬美元的規模上增加10%要重要得多。而這些產能提升主要來自兩個途徑。其一是隨時間改善生產力與良率，這是從既有產能中擠出更多產出。但當我們新增產能時，通常會以某一產品線為單位、以一塊一塊的方式加入新增產能。因此你會看到ROADM產能出現較大的階梯式提升。但再次強調，要在單一季度額外增加1,000萬到1,500萬美元的ROADM營收並不容易；我們一直在努力跟上需求，但到目前為止仍未能做到。

I think also it's useful to point out that it takes 3 to 6 months often to add capacity. And so capacity that's coming online today is based on decisions several quarters ago. And if the market is continuing to inflect upwards, it's a little more challenging to handicap where it's going to be and what we have to do today, where is it going to be in 6 months. And we don't want to get too far ahead of ourselves, and that's why we've been in a capacity-constrained situation here in the past year, 1.5 years on ROADMs.

我認為也值得指出的是，新增產能往往需要3到6個月。因此，今天上線的產能是基於幾個季度前所做的決策。如果市場持續向上拐點（inflect upwards），要判斷它將走向何處會更具挑戰性：我們今天要做什麼，6個月後市場會在哪裡。我們也不希望走得太超前，這就是為什麼在過去一年到一年半的時間裡，我們在ROADM上一直處於產能受限的狀態。

And just one other data point. Year-over-year, ROADM growth is approximately 80%. So it's pretty good team by -- pretty good job by the team to add that kind of capacity over a 4-quarter period.

再補充一個數據點。以年對年來看，ROADM成長約為80%。所以團隊在四個季度期間能增加這樣的產能，表現相當不錯。

Your next question comes from Michael Genovese of MKM Partners.

下一個問題來自MKM Partners的Michael Genovese。

I was just hoping you would walk us through this datacom divestiture again. So I think you're guiding down in datacom $20 million post the divestiture for the quarter. But if you could walk us through the steps in the quarter beyond that? And then secondly, just from your perspective, because I don't really track everybody's research out there. But in terms of the $20 million for next quarter, what percentage of sell-side analysts do you think change numbers after the divestiture?

我希望你們能再帶我們梳理一次這次資料通訊（datacom）業務剝離（divestiture）。我想你們在剝離後，對本季度datacom的指引下調到2,000萬美元。但如果可以的話，請你們帶我們走一遍本季度除此之外的各個步驟？其次，從你們的角度來看，因為我沒有追蹤外部所有研究報告。但就下一季度2,000萬美元這個數字而言，你們認為有多少比例的賣方分析師會在剝離後調整其預估？

I would say we probably saw about 5 sell-side analysts, a couple in the past 2 days. So fairly few incorporated the divestiture in census going into our press release this (technical difficulty).

我會說我們大概見了約 5 位賣方分析師，過去 2 天內見了幾位。因此，在我們這次新聞稿發布前，將該項剝離納入市場共識（census）的人相當少（技術問題）。

And as far as your question on how should you look at datacom going forward. Last quarter, we did $57 million in datacom. Our guidance said that you should take $20 million to $25 million out this quarter, and we had 3 weeks of all the datacom business in as we divested on April 18. And again, so if you look at $32 million to $37 million of datacom revenue, of which $20 million-ish is chip sales in Q4, I'd say that chip sales should go up over time. But the transceivers of that $12 million to $17 million will go to 0 over 3 to 5 quarters and then a pretty straight line.

至於你問到未來應該如何看待 datacom。上一季我們的 datacom 做了 5,700 萬美元。我們的指引表示本季你應該扣除 2,000 萬到 2,500 萬美元，而我們在 4 月 18 日剝離之前，仍把 datacom 全部業務納入了 3 週。再者，如果你看 datacom 營收約 3,200 萬到 3,700 萬美元，其中約 2,000 萬美元是第四季的晶片銷售，我會說晶片銷售應會隨時間增加。但在那 1,200 萬到 1,700 萬美元中的收發器部分，將在 3 到 5 個季度內降至 0，之後會是一條相當筆直的線。

Great. Great. And then my follow-up. There's been a lot of discussion of ROADM capacity, but I just sort of want to add -- ask straight out because I'm still confused. Whether the ROADM sales in the quarter hit your expectations? My expectations are about $105 million? Were you able to get there? Or was it short of that because of capacity constraints?

很好。很好。接著我的追問。大家對 ROADM 產能討論很多，但我想補充——直接問，因為我仍然有點困惑。本季 ROADM 的銷售是否達到你們的預期？我的預期大約是 1.05 億美元？你們有達到嗎？還是因為產能限制而低於這個數字？

Well, demand was certainly much, much higher than that. We got just about to $100 million, and we could have done a whole lot more than that. I'd say that we were constrained by capacity. And I would say it wasn't just in the high-end products. It was across the board. And that's why we're continuing to add capacity, work on productivity increases and expect that to continue to grow over the next 3 quarters.

嗯，需求當然遠遠高於那個水準。我們做到接近 1 億美元，而我們其實可以做得多很多。我會說我們受限於產能。而且我會說不只是高階產品。是全面性的。這也是為什麼我們持續擴增產能、提升生產力，並預期未來 3 個季度會持續成長。

Your next question comes from Troy Jensen of Piper.

下一個問題來自 Piper 的 Troy Jensen。

Congrats on the nice results. So just another follow-up here on the divestiture. So I guess I'm trying to figure out how much laser chip sales are you guys going to capture here, all right? So if you're divesting $20 million to $25 million in revenues, how much of the laser business -- the chip sales would that customer create in these upcoming quarters? Or indirect way, costs are going to be what percentage of the bottom is the laser chip?

恭喜有不錯的成果。那我再追問一下這次剝離。我想弄清楚你們這裡能掌握多少雷射晶片的銷售，好嗎？如果你們剝離了 2,000 萬到 2,500 萬美元的營收，那在接下來幾季，該客戶的雷射業務——晶片銷售會帶來多少？或者換個角度問，成本端裡雷射晶片大概占底線的百分比是多少？

Yes. So just to be clear, on the $20 million to $25 million, the majority of that is the divestiture. There are products that we're just phasing out and not continuing that were legacy Lumentum products. So those won't be adding incremental chip revenue. I'd say that the business that we divested $2 million to $3 million of incremental chip revenue in a quarter to support CIG is something that you could expect. But as they grow -- and the 400-gig transceiver was just hitting the market. I think we're expecting that business to be very, very successful for them and, in turn, very, very successful for us from a chip revenue standpoint moving forward.

是的。先釐清一下，在那 2,000 萬到 2,500 萬美元中，多數是剝離的部分。也有一些產品我們只是逐步淘汰、不再延續，那些是 Lumentum 的既有產品。所以那些不會帶來額外的晶片營收增量。我會說，我們剝離的那部分業務，每季大概會有 200 萬到 300 萬美元的晶片營收增量來支援 CIG，這是你可以預期的。但隨著他們成長——而 400G 收發器才剛進入市場。我認為我們預期那項業務對他們會非常、非常成功，而反過來，從晶片營收角度看，對我們未來也會非常、非常成功。

Okay. Perfect. And then one follow-up. I know you said in the call a couple times you guys reached about $20 million in annual synergy sales. I believe at OFC, when this divestiture was announced, Chris said that this is included in the $60 million synergy number that you're trying to achieve. So I guess my question is, are you guys actually at kind of a $40 million synergies based on the guidance you gave us for June? Or is there -- or am I thinking about that wrong?

好的。完美。再一個追問。我知道你們在電話會議中提到幾次，你們已達到約 2,000 萬美元的年度協同銷售。我記得在 OFC 宣布這次剝離時，Chris 說這包含在你們要達成的 6,000 萬美元協同數字裡。所以我的問題是，依照你們給我們的 6 月指引，你們實際上是否已經大概在 4,000 萬美元的協同水準？還是——或是我這樣想不對？

Well, I think you're both. Our prepared remarks commented that through the third quarter that we had achieved more than $20 million of synergies. Obviously, with the CIG transaction closing now here part way through the fourth quarter, we will see additional synergies in this quarter. With that said, obviously, there is a set of costs that transferred the day we closed the transaction to CIG, and there's also a set of costs that are going to take us some time to remove, if you will, some stranded costs. So I think you're going to see the kind of numbers we talked about from a synergy standpoint related to the divestiture and not just the divestiture, but also the product line exits, feathering in Q4 as well as in the Q1 time frame.

嗯，我想你兩種說法都對。我們的事先準備講稿提到，截至第三季我們已實現超過 2,000 萬美元的協同效益。顯然，隨著 CIG 交易在第四季進行到一部分時點完成交割，我們本季會看到額外的協同效益。但同時，顯然有一部分成本在交易完成當天就隨之移轉給 CIG，也有一部分成本需要一些時間才能移除，也就是所謂的部分「滯留成本」（stranded costs）。因此，我認為你會看到我們談到的那類協同數字，這些不僅與剝離相關，也與產品線退出相關，會在第四季以及第一季期間逐步體現。

Your next question comes from Richard Shannon of Craig-Hallum.

下一個問題來自 Craig-Hallum 的 Richard Shannon。

I had a question on 3D sensing as we look into the second half of the calendar year. Alan or Chris, could you comment on kind of the competitive environment as it leads to your expectations for share? You've talked in the past about having some share minimums. Wondering if those are -- you're expecting those to stay in place. And are they roughly the same levels as you've had before? And as that leads into any comments about ASP changes as you expect in the second half of the year would be helpful also.

我想問一下 3D 感測，當我們展望日曆年下半年時。Alan 或 Chris，你們能否評論一下競爭環境，以及這如何影響你們對市占的預期？你們過去談過有一些市占的最低門檻。想了解那些——你們是否預期會維持不變。以及它們是否大致與你們之前的水準相同？另外，若能順帶談談你們預期下半年 ASP 變動的任何看法，也會很有幫助。

Well, I mean, we can't talk specifically about negotiations that are either ongoing or closed with our customers. But I'd say that we believe that we still have a very, very large share. We expect that to continue through the second half of this calendar year. And at the same time, prices do come down in consumer electronic devices. But we expect our cost to be able to keep up with the ASP reductions and, therefore, continue to have above average and above 50 points gross margin with respect to our 3D sensing revenue. So I don't see any reason why we're going to lose a bunch of share. I think as we listen to our competitor -- our one competitor make their announcement about their 3D sensing revenue, it gave us even higher confidence of our very, very high share there.

嗯，我們不能具體談論與客戶之間正在進行或已完成的談判細節。但我會說，我們相信我們仍然擁有非常、非常高的市占。我們預期這會延續到本日曆年的下半年。同時，消費性電子裝置的價格確實會下降。但我們預期我們的成本能跟上 ASP 的下滑，因此在 3D 感測營收方面，仍能維持高於平均、且毛利率高於 50 個點（50%）的水準。所以我看不出我們會失去大量市占的理由。我認為當我們聽到競爭對手——我們唯一的競爭對手——對其 3D 感測營收所做的公告時，反而讓我們對我們在那裡非常、非常高的市占更有信心。

Okay. That's helpful. Second question from me is on your pluggable business. I'm wondering if you could help us understand the dynamics with the ACO product line that came in from Oclaro? And obviously, adding in your own to-be-qualified DCO this year, whether you expect that pluggables business to be able to grow in this calendar year? And then just as a sidebar, you mentioned the 1.2 terabit module. Is that something expected to be even qualifying your sampling this year?

好的。這很有幫助。我的第二個問題是關於你們的可插拔（pluggable）業務。我想請你們協助我們理解從 Oclaro 併入的 ACO 產品線的動態。以及很明顯地，今年你們也會加入自家尚待認證（to-be-qualified）的 DCO，你們是否預期可插拔業務在本日曆年能夠成長？另外順帶一問，你們提到 1.2 太位元（terabit）模組。那是否預期今年就會進入認證或送樣（sampling）？

Absolutely. I think to answer your first question, pluggable revenue, if you look at ACOs, ACOs are going to be pretty stable as network deployments continue and as existing networks light up more wavelengths, as they're going to continue to buy ACOs. I think as we look at DCOs, we should see a ramp-up in the second half of the calendar year to not cannibalize the ACOs because I think it's actually different slots and different systems as we'll go into, so we should see growth in that pluggable business. And as I said before, I think customers are looking for a viable second source for the DCO module, and I think we're the guy to be doing that. On the 1.2 terabit, that -- we're going to start shipping and start seeing somewhat I'd call meaningful revenue in our first fiscal quarter.

當然。我想先回答你的第一個問題，關於可插拔（pluggable）營收：如果你看 ACO，隨著網路部署持續進行、以及既有網路點亮更多波長，ACO 將會相當穩定，因為他們會持續購買 ACO。我想當我們看 DCO 時，我們應該會在曆年下半年看到一個爬坡（ramp-up），而且不會侵蝕 ACO，因為我認為實際上是不同的插槽與不同的系統，稍後我們會談到，所以我們應該會看到這個可插拔業務的成長。而且如我先前所說，我認為客戶正在尋找 DCO 模組可行的第二來源（second source），我想我們就是能做這件事的人。至於 1.2 太位元（terabit），我們將開始出貨，並在我們第一個會計季度開始看到我稱之為具有一定意義的營收。

Your next question comes from Tim Savageaux of Northland Capital.

下一個問題來自 Northland Capital 的 Tim Savageaux。

Question is focused on 3D sensing. And Chris, I didn't quite hear your response to the calendar year growth question. But I think you said you expected calendar year growth in 3D sensing '19 over '18. I guess my addition to that question is, would you expect that to be the case with your largest customer? And then to kind of try and flesh out the magnitude of the ramp in the second half. As I look up and down the supply chain in terms of what commentary and plans there have been, it seems to me that the supply chain's gearing up for something on the order of a 30%-plus increase whether you measure capacity or revenue for this sort of second half calendar ramp relative to previous ramps. Last couple years, your 3D revenue has been pretty tightly bunched in that kind of $230 million, $240 million range for the second half of '17 and '18. I wonder how you feel about that potential growth trajectory. And also if you can comment on that calendar year growth question.

問題聚焦在 3D 感測。Chris，我沒有完全聽清楚你對曆年成長問題的回覆。但我想你是說，你預期 3D 感測在曆年 2019 年相較 2018 年會成長。我想在這個問題上再加問一點：你是否也預期你們最大客戶會是這樣的情況？然後也想更具體了解下半年爬坡的幅度。就我觀察供應鏈上下游的評論與規劃，看起來供應鏈正在為某種約 30% 以上的增幅做準備，不論你用產能或營收來衡量，都是相對於先前的下半年曆年爬坡。過去幾年，你們 3D 的下半年營收都相當集中在約 2.30 億到 2.40 億美元的區間，分別是 2017 與 2018 的下半年。我想知道你對那樣的潛在成長軌跡有何看法。另外也請你評論一下那個曆年成長的問題。

Yes. I will start with the calendar year growth question and say, I think in calendar '18, we continued to undership, I would say, relative to customer shipments out, if you will. Because in calendar '17 or even in the first half of calendar '18, probably, we're overshipping at that point in time, and therefore, had a negative impact to calendar '18 overall revenues for us. As we turn into calendar '19, don't have perfect data here, but we believe that the level of inventory of -- or excess inventory of (technical difficulty) calendar '19 is less than going into calendar (technical difficulty). And therefore, even if customer end units don't significantly grow up -- go up, we should be able (technical difficulty) growth in the calendar year. I don't want to get into any specifics on situations at customers, but I think given we have a lot of concentration in our lead customer, the comments would apply to them as well.

是的。我先從曆年成長的問題開始。我想在曆年 2018 年，我們相對於客戶的出貨量而言，持續處於出貨不足（undership）的狀態。因為在曆年 2017 年，甚至在曆年 2018 年上半年，我們可能在那個時間點是出貨過多（overship），因此對我們曆年 2018 年的整體營收造成了負面影響。當我們進入曆年 2019 年，我手上沒有完美的數據，但我們相信（技術問題）曆年 2019 年的庫存水位——或超額庫存——相較於進入曆年（技術問題）時要更少。因此，即使客戶終端機種的出貨量沒有顯著增加，我們仍應該能夠（技術問題）在曆年實現成長。我不想就客戶端的任何具體情況做細節說明，但我想，鑑於我們在主要客戶上有很高的集中度，這些評論同樣也適用於他們。

Our last question comes from Mark Kelleher from D.A. Davidson.

我們最後一個問題來自 D.A. Davidson 的 Mark Kelleher。

Just wanted to go back to the ROADM ramp and connect it to your commentary on the transceiver ramp following that. How strongly -- how closely linked is the transceiver ramp to the ROADM ramp? And what's sort of the timing we should anticipate? Will transceivers be pretty hot and heavy in a year or 2? What's the timing of that?

我想回到 ROADM 的爬坡，並把它和你對隨後收發器（transceiver）爬坡的評論連結起來。收發器的爬坡與 ROADM 的爬坡之間關聯有多強——有多緊密？我們應該預期的時程大概是什麼？收發器會在一到兩年內變得非常火熱、出貨很猛嗎？時程是怎樣？

I would say that installing ROADMs in absence of transceiver -- I mean there's not a lot of purpose in putting a ROADM or a ROADM network if you're not going to be ramping the transmission equipment that goes through those ROADM. There are some scenarios where you're upgrading some infrastructure, but that wouldn't contribute to the level of ROADM sales that we're seeing either necessarily new network deployments that will drive transmission equipment going through those ROADMs.

我會說，如果沒有收發器就去安裝 ROADM——我的意思是，如果你不打算同步拉升通過那些 ROADM 的傳輸設備，那麼建置 ROADM 或 ROADM 網路其實沒有太大意義。有些情境是你在升級部分基礎設施，但那也不一定會對我們看到的 ROADM 銷售水準有所貢獻；相反地，必然是一些新的網路部署，會帶動通過那些 ROADM 的傳輸設備。

In terms of timing, it can be a few quarters delay. I don't think there is any hard and fast rules. It depends on what network operators and the end customers , if you will, are having their plans of whether they want to install all of their ROADMs first or half of their ROADMs first and then start installing transmission equipment. But I think the level of both ROADM sales as well as the commentary we have from our customers about their plans would continue to give us confidence that we're going to see an increasing transmission market as we look into (technical difficulty) 12 months.

就時程而言，可能會延後幾個季度。我不認為有任何一成不變的硬性規則。這取決於網路營運商以及終端客戶（如果你這麼說）的規劃：他們是想先把所有 ROADM 都裝好，或先裝一半 ROADM，然後再開始安裝傳輸設備。但我認為，無論是 ROADM 的銷售水準，或是我們從客戶那裡聽到的其規劃評論，都會持續讓我們有信心：在接下來（技術問題）12 個月內，我們將看到傳輸市場持續擴大。

That was our final question. I'll now turn the call back to Mr. Alan Lowe for closing remarks.

以上是我們最後一個問題。我現在把電話交回給 Alan Lowe 先生做結語。

Thank you, Chris. I want to thank our customers for their business and partnership. I also want to thank our employees for their hard work and putting us into an excellent position for long-term growth. We regularly discuss our business in Investor Relations events. These events are listed on our website in the Investor Relations section and are regularly updated. This concludes our call for today. We would like to thank everyone for attending, and we look forward to talking with you again in another few months. Thank you.

謝謝你，Chris。我要感謝我們的客戶給予的業務與合作夥伴關係。我也要感謝我們的員工辛勤工作，讓我們處於一個非常有利於長期成長的絕佳位置。我們會在投資人關係活動中定期討論我們的業務。這些活動列在我們網站的投資人關係專區，並會定期更新。今天的電話會議到此結束。感謝各位與會，我們期待在幾個月後再次與各位交流。謝謝。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以掛線。