萊迪思半導體 (LSCC) 2024 Q3 法說會逐字稿

Greetings, and welcome to the Lattice Semiconductor Third Quarter 2024 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. If anyone should require operator assistance, please press star zero on your telephone keypad. As a reminder, this conference is being recorded. I'd now like to turn the conference over to your host, Rick Muscha, Senior Director of IR. Thank you. You may begin.

您好，歡迎參加萊迪思半導體 2024 年第三季財報電話會議。此時，所有參與者都處於只聽模式。正式演講後將舉行問答環節。如果有人需要接線生幫助，請按電話鍵盤上的星號零。提醒一下，本次會議正在錄製中。現在我想將會議交給主持人 Rick Muscha，IR 高級總監。謝謝。你可以開始了。

Thank you, operator, and good afternoon, everyone. With me today are Ford Tamer, Lattice's CEO, and Tonya Stevens, Lattice's interim CFO. We'll provide a financial and business review of the third quarter of 2024 and the business outlook for the fourth quarter of 2024. If you have not yet obtained a copy of our earnings press release, it can be found at our company website in the investor relations section at LatticeSemi.com. I would like to remind everyone that during our conference call today, we may make projections or other forward-looking statements regarding future events or the future financial performance of the company. We wish to caution you that such statements are predictions based on information that is currently available, and the actual results may differ materially. We refer you to documents that the company files with the SEC, including our 10-Ks, 10-Qs, and 8-Ks. These documents contain and identify important risk factors that could cause the actual results to differ materially from those contained in our projections or forward-looking statements. This call includes and constitutes the company's official guidance for the fourth quarter of 2024. If at any time after this call we communicate any material changes to this guidance, we intend that such updates will be done using a public forum, such as a press release or public announced conference call. We will refer primarily to non-GAAP financial measures during this call. By disclosing certain non-GAAP information, management intends to provide investors with additional information to permit further analysis of the company's performance and underlying trends. For historical periods, we provide reconciliations of these non-GAAP financial measures to GAAP financial measures that can be found on the Investor Relations section of our website at latticesemi.com. Let me now turn the call over to our CEO, Ford Tamer.

謝謝接線員，大家下午好。今天與我在一起的有萊迪思首席執行官福特·塔默 (Ford Tamer) 和萊迪思臨時首席財務官托尼婭·史蒂文斯 (Tonya Stevens)。我們將提供 2024 年第三季的財務和業務回顧以及 2024 年第四季的業務前景。我想提醒大家，在今天的電話會議中，我們可能會對未來事件或公司未來的財務表現做出預測或其他前瞻性陳述。我們希望提醒您，此類陳述是基於目前可用資訊的預測，實際結果可能存在重大差異。我們請您參閱本公司向 SEC 提交的文件，包括我們的 10-K、10-Q 和 8-K。這些文件包含並確定了可能導致實際結果與我們的預測或前瞻性陳述中包含的結果有重大差異的重要風險因素。本次電話會議包括並構成了公司 2024 年第四季的官方指南。或公開宣布的電話會議。在本次電話會議中，我們將主要參考非公認會計準則財務指標。透過披露某些非公認會計準則信息，管理層打算向投資者提供更多信息，以便進一步分析公司的業績和基本趨勢。對於歷史時期，我們提供了這些非 GAAP 財務指標與 GAAP 財務指標的調整表，這些調整表可以在我們網站latticesemi.com 的投資者關係部分找到。現在讓我將電話轉給我們的執行長福特·塔默 (Ford Tamer)。

Thank you, Rick. And thank you everyone for joining us on our call today. Seven weeks ago, I joined Lattice as CEO with great anticipation about the company's prospects. And I'm even more excited today about our potential and the significant opportunity for stockholder value creation ahead of us. One of the key messages since joining Lattice has been stability. I love the team. customers, products, partners, and end markets. Over the past few years, the team at Lattice has done an impressive job transforming itself into the low-power programmable leader in the small- to mid-range FPGA market. For that, I extend my sincere thanks for everyone's hard work and continued dedication. I also want to thank Issam El-Eshmawi, for providing continuity and stability as interim CEO. ESAM has played a key role over the past six years in setting and executing Lattice's strategic direction. I look forward to building on our partnership. Many of the investors and analysts on today's call have a history with me from Infi, Broadcom, and Aguirre. One of the biggest factors and drivers on my previous successes has been focused on product differentiation, which I believe creates customer benefit and market leadership. And in my opinion, that combination ultimately builds long-lasting value for all stakeholders. For example, I joined the Infi team in 2012 post-IPO. And over the next 10 years, we took it from $35 million in telecom revenue to a multi-billion dollar cloud NAI revenue business that's now an important part of Marvell. The Infi transformation story created over 20 times value appreciation for all shareholders. I'm confident that Lattice has similar potentials in many ways. Now moving to our Q3 results. From a high-level Third quarter 2024 revenue was in line with our guidance at $127.1 million. On an end-market basis, communications and computing was up 12% sequentially, driven by both general-purpose and AI servers. Industrial and automotive was down 7% sequentially, primarily due to broader market demand and continued inventory normalization. Gross margin held at 69%, demonstrating the stability of our business model. Overall, while our results continue to be impacted by industry headwinds, we've been outperforming our direct peers by taking share in the small FPGA market segment. In a positive outlook, Lattice's new product revenue continues to grow year over year. Design momentum continues to be robust as the total number of wins year-to-date exceeds those in the same period last year. We are also encouraged with our stronger backlog and continued improvement in our book-to-bid, which bode well for our business moving forward. As we look ahead to Q4, we expect revenue to be in the range of $112 million to $122 million. Based on our discussions with customers and partners, we now expect more of a U-shaped recovery than a V-shaped one in 2025. With that in mind, we anticipate low single-digit revenue growth in 2025 compared to 2024, with the expectation that channel inventory will begin moving back to the midpoint of our target range and enable Lattice to execute to our long-term revenue growth targets of 15-20%. That said, when you consider our strategic plan, strong team, differentiated product line, breadth of market applications, leadership position and low power, and robust ecosystem, we strongly believe that Lattice is still a sound investment opportunity with clear visibility into the upside. Since joining Lattice, I've had very productive meetings with customers, partners, suppliers, and employees. These included multiple customer meetings and reviews across all segments, specifically communications, computing, industrial, and automotive. I have been pleasantly surprised at Lattice's deep consultative relationships, where we are the trusted partner for small and mid-range FPGAs. This is because our team understands customer pain points and can jointly develop win-win partnerships. Our industry-leading roadmap includes low power, small size, large number of interfaces, differentiated features, solution stacks, and support. All this has generated positive feedback from our global customers and partners. And from here, we plan to double down on our small to mid-range FPGA offerings. This focus would be a key enabler in Lattice's transformation to the next level in our business. We are optimistic that we have everything in place to become a much larger company and to accomplish our goal of reaching the $1 billion revenue mark. We have high confidence in this goal given the size of our addressable market and tremendous number of market opportunities in front of us. Now, there are three reasons why Lattice remains strategically well-positioned for growth. First and foremost, Lattice has a history of diligent financial discipline, aligning our investments behind what we believe to be the highest return opportunities. These efforts directly extend to our operating expense plan going forward. After careful consideration, we implemented a 14% headcount reduction last week. This is the first headcount reduction of this magnitude in recent history at Lattice. We do not expect any additional reductions will be needed. We reduced non-headcount operating expenses by a similar 14% as well. The actions were primarily done as part of our shift our targeted resources from high-cost to low-cost regions as we work to drive for more efficiency across the business. Importantly, even though we took these actions, we intend on maintaining the integrity of our product roadmap and our customer support and demand creation. There is no expected change in what we're delivering to our customers. For example, our seventh Nexus device family achieved initial production in Q3 and Avant G and X remain on track for initial production in Q4 of 2024. As you recall, we expected more of a U-shaped recovery than a V-shaped one in 2025 with low single-digit revenue growth. We are confident and expect that anticipated revenue growth combined with the 14% OpEx reduction will help drive annual earnings expansion in the low double-digit range in 2025. The second reason Lattice remains attractive is our leadership position in our strategic core markets of communications, computing, industrial, and automotive. We intend to lean into and leverage Lattice's rich history of innovation and differentiation to drive and sustain that leadership. There is considerable value in our low-power and small-size leadership position. And this has been reinforced by the many customers and partners across all of our end-market segments. I heard firsthand about the benefits that our Nexus small FPGA family and our Avant mid-range FPGA family are offering. And from a feature differentiation, our customers are increasingly standardizing on Lattice low-power solutions in multiple applications, including security, video processing, and edge AI. The third reason Lattice remains attractive is our focus on edge AI, a fast-growing market by all measures. We have strong traction with AI in servers, laptops, and early traction in industrial and automotive applications. In data center servers, example Lattice applications include control, management, and security, in support of generative AI workloads. At the recent Open Compute Project, or OCP, there was a great deal of interest in our data center solutions, where our OEM partners showcased the broad usage of lattice FPGAs in AI servers. We estimate one of our OEM partners uses over 50 lattice FPGAs within each rack, and expect this partner to have a significant demand for server racks in 2025. In AI-enabled science, Lattice FPGAs are being used to run the AI inference algorithms that provide features such as user presence and gaze detection. And in Q3, Lattice's devices began powering AI computer vision on the Dell XPS model high-performance AI laptop. This is in addition to the ramping design win on select Dell Latitude models Lattice has previously discussed. And lastly, Lattice solutions are being used to aggregate and pre-process sensor data and AI processing in the data path for industrial and ADAS systems. Lattice has now been designed in five of the top six LiDAR companies for automotive and many industrial vision patterns. In summary, because of our financial discipline, market-leading position, and inroads in early action in the accelerating AI market, I am confident that if you stay with Lattice during this period, you'll be in a position to go along with us into 2025. Finally, I'm pleased to share that on December 10 and 11, we'll be hosting a Developers Conference in San Jose. We look forward to showcasing Lattice's broad portfolio. This includes our next-gen small FPGA platform, additional Avant portfolio expansion, and enhancement in our software tools and solutions. I am personally looking forward to meeting you, our customers, and partners. I will now turn the call over to our interim CFO, Tonya Stevens, who will provide a few details about her background before discussing the financial review of the quarter. Tonya, I look forward to working with you in your expanded role. Please go ahead with your review.

謝謝你，瑞克。感謝大家今天加入我們的電話會議。七週前，我加入萊迪思擔任首席執行官，對公司的前景充滿期待。今天，我對我們的潛力以及我們面前的股東價值所創造的重大機會感到更加興奮。自從加入萊迪思以來的關鍵訊息之一就是穩定性。我愛這個團隊。客戶、產品、合作夥伴和終端市場。在過去的幾年裡，萊迪思的團隊取得了令人印象深刻的成就，將自己轉變為中小型 FPGA 市場的低功耗可程式領導者。對此，我對大家的辛勤工作和持續奉獻表示誠摯的感謝。我還要感謝 Issam El-Eshmawi 作為臨時執行長提供的連續性和穩定性。過去六年來，ESAM 在製定和執行萊迪思的策略方向方面發揮了關鍵作用。我期待著進一步鞏固我們的夥伴關係。今天參加電話會議的許多投資者和分析師都曾與我在 Infi、Broadcom 和 Aguirre 工作過。我之前成功的最大因素和驅動力之一是產品差異化，我相信這可以創造客戶利益和市場領導地位。在我看來，這種結合最終將為所有利害關係人創造持久的價值。例如，我在 2012 年 IPO 後加入了 Infi 團隊。在接下來的 10 年裡，我們將其從 3,500 萬美元的電信收入發展為數十億美元的雲端 NAI 收入業務，該業務現在已成為 Marvell 的重要組成部分。 Infi的轉型故事為全體股東創造了超過20倍的價值增值。我相信萊迪思在許多方面都具有類似的潛力。現在轉向我們的第三季業績。從高水準來看，2024 年第三季的營收為 1.271 億美元，符合我們的指引。在終端市場基礎上，在通用和人工智慧伺服器的推動下，通訊和計算環比增長了 12%。工業和汽車行業環比下降 7%，主要是由於更廣泛的市場需求和持續的庫存正常化。毛利率維持在69%，證明了我們業務模式的穩定性。總體而言，雖然我們的業績繼續受到行業逆風的影響，但透過在小型 FPGA 市場領域佔據份額，我們的表現一直優於我們的直接同行。從正面的前景來看，萊迪思的新產品收入持續逐年成長。設計勢頭繼續強勁，今年迄今的獲勝總數超過了去年同期。我們也對我們更強勁的積壓訂單和預訂到投標的持續改進感到鼓舞，這對我們的業務向前發展來說是個好兆頭。展望第四季度，我們預計營收將在 1.12 億美元至 1.22 億美元之間。根據我們與客戶和合作夥伴的討論，我們現在預計2025 年將出現U 型復甦，而不是V 型復甦。營收成長將低於2024 年。也就是說，當你考慮到我們的策略計劃、強大的團隊、差異化的產品線、市場應用的廣度、領導地位和低功耗以及強大的生態系統時，我們堅信萊迪思仍然是一個很好的投資機會，具有清晰的上行空間。自從加入萊迪思以來，我與客戶、合作夥伴、供應商和員工舉行了非常有成效的會議。其中包括跨所有領域的多次客戶會議和審查，特別是通訊、計算、工業和汽車領域。我對萊迪思深厚的諮商關係感到驚喜，我們是中小型 FPGA 值得信賴的合作夥伴。這是因為我們的團隊了解客戶的痛點，能夠共同發展雙贏的合作關係。我們業界領先的路線圖包括低功耗、小尺寸、大量介面、差異化功能、解決方案堆疊和支援。所有這些都得到了我們的全球客戶和合作夥伴的正面回饋。從這裡開始，我們計劃加倍投入中小型 FPGA 產品。這項重點將成為萊迪思業務轉型至新境界的關鍵推動因素。我們樂觀地認為，我們已做好一切準備，成為一家規模更大的公司，並實現收入達到 10 億美元大關的目標。鑑於我們潛在市場的規模和擺在我們面前的大量市場機會，我們對此目標充滿信心。現在，萊迪思保持策略性成長優勢的原因有三。首先也是最重要的是，萊迪思有著嚴格財務紀律的歷史，使我們的投資符合我們認為最高回報的機會。這些努力直接延伸到我們未來的營運費用計劃。經過深思熟慮，我們上週實施了裁員 14% 的計畫。這是萊迪思近年來首次如此大規模的裁員。我們預計不需要任何額外的削減。我們的非員工營運費用也減少了 14%。這些行動主要是我們將目標資源從高成本地區轉移到低成本地區的一部分，我們致力於提高整個企業的效率。重要的是，即使我們採取了這些行動，我們仍打算保持產品路線圖以及客戶支援和需求創造的完整性。我們提供給客戶的服務不會發生預期的變化。例如，我們的第七個Nexus 設備系列已在第三季實現初始生產，而Avant G 和X 仍有望在2024 年第四季實現初始生產。 ，而不是V 形復甦收入成長率較低。我們有信心並預計，預期的收入成長加上14% 的營運支出減少將有助於推動2025 年年度獲利成長在低兩位數範圍內。通訊策略核心市場中的領導地位，計算、工業和汽車。我們打算依靠並利用萊迪思豐富的創新和差異化歷史來推動和維持這種領先地位。我們的低功耗、小規模領導地位具有相當大的價值。我們所有終端市場領域的眾多客戶和合作夥伴都強化了這一點。我親身了解了我們的 Nexus 小型 FPGA 系列和 Avant 中階 FPGA 系列所提供的優勢。從功能差異化來看，我們的客戶越來越多地在多種應用中對萊迪思低功耗解決方案進行標準化，包括安全性、視訊處理和邊緣人工智慧。萊迪思保持吸引力的第三個原因是我們對邊緣人工智慧的關注，從所有方面來看，這是一個快速成長的市場。我們在伺服器、筆記型電腦以及工業和汽車應用領域的人工智慧方面擁有強大的吸引力。在資料中心伺服器中，範例萊迪思應用程式包括控制、管理和安全性，以支援生成式人工智慧工作負載。在最近的開放運算專案 (OCP) 上，人們對我們的資料中心解決方案產生了濃厚的興趣，我們的 OEM 合作夥伴展示了萊格 FPGA 在 AI 伺服器中的廣泛使用。我們估計，我們的一個OEM 合作夥伴在每個機架中使用超過50 個萊迪思FPGA，並預計該合作夥伴將在2025 年對伺服器機架產生巨大需求。迪思FPGA 被用於運行人工智慧推理演算法，這些演算法提供諸如用戶存在和凝視檢測等功能。在第三季度，萊迪思的設備開始為戴爾 XPS 型號高效能人工智慧筆記型電腦提供人工智慧電腦視覺支援。這是萊迪思之前討論過的在特定 Dell Latitude 型號上取得的設計勝利的補充。最後，萊迪思解決方案用於聚合和預處理工業和 ADAS 系統資料路徑中的感測器資料和人工智慧處理。目前，排名前六的雷射雷達公司中有五家已經為汽車和許多工業視覺模式設計了萊迪思。總而言之，由於我們的財務紀律、市場領先地位以及在加速發展的人工智慧市場中的早期行動，我相信，如果您在此期間留在萊迪思，您將能夠與我們同行到2025 年。我很高興與大家分享，12 月10 日至11 日，我們將在聖荷西舉辦開發者大會。我們期待展示萊迪思廣泛的產品組合。這包括我們的下一代小型 FPGA 平台、額外的 Avant 產品組合擴充以及我們的軟體工具和解決方案的增強。我個人非常期待與您、我們的客戶和合作夥伴見面。我現在將把電話轉給我們的臨時財務長 Tonya Stevens，她將在討論本季度的財務審查之前提供一些有關她背景的詳細資訊。托尼亞，我期待與您合作，發揮更大的作用。請繼續您的評論。

Thank you, Ford. While my corporate finance career spans more than 30 years, for the last five and a half years, I've worked very closely with the executive leadership team at Lattice, especially the former CFO. I worked as corporate controller, but also doing many other aspects of the CFO role. I'm confident this will help ensure continued stability and precision in all our processes and financial reporting as we move forward. Let me now provide you with a summary of our third quarter 2024 results. From a high level, Q3 results were in line with expectations. Our profitability expanded, our operating cash flows more than doubled sequentially, and we continued to return cash to shareholders through share buybacks. Specifically, third quarter 2024 revenue was $127.1 million, up 2% from the second quarter, down 34% year-over-year, which reflects continued inventory normalization. Communications and computing grew sequentially 12%, driven by strength in computing, which more than offset softness in industrial and automotive. These two strategic end markets comprise over 90% of total lattice revenue. Our Q3 GAAP and non-GAAP gross margin was 69%, reflecting the continued stability of our gross margin despite the overall market softness. Q3 non-GAAP operating expenses were flat with the prior quarter at $54 million and down 7% compared to the year-ago quarter. This is a result of our continued discipline in managing our operating expenses particularly SG&A. As Ford told you earlier, we implemented a workforce reduction of 14% last week, which resulted in a one-time GAAP charge of $6.5 million for the third quarter 2024. This action better aligns our resources to support the current business level. Our Q3 non-GAAP operating margin was 26.6%, compared to 25.4% in the prior quarter, driven by stability in our gross margin, coupled with disciplined management of operating expenses. Q3 EBITDA margin was 33.7%, up 160 basis points from the second quarter. In Q3, diluted shares outstanding was $137.9 million, resulting in Q3 non-GAAP earnings per diluted share of $0.24 compared to $0.23 in the prior quarter. Moving to our cash flow and balance sheet, cash flow from operations in the third quarter was $44 million. This was more than double the cash flow from operations in the second quarter. Free cash flow margin increased to 31%, up from 12% in the prior quarter. Our inventory at the end of the third quarter was $104.5 million, which is an increase of $3 million from the prior quarter. On a year-over-year basis, inventory was flat. In Q3, we repurchased approximately 370,000 shares, or $17 million of stock, making Q3 our 16th consecutive quarter of executing share buybacks. Over that period, we have repurchased approximately 5.6 million shares, thereby reducing dilution by 4.1%. Let me now review our outlook for the fourth quarter. Revenue for the fourth quarter of 2024 is expected to be between $112 million and $122 million. Gross margin is expected to be 68% plus or minus 1% on a non-GAAP basis. Total operating expenses for the fourth quarter are expected to be between $52 million and $54 million on a non-GAAP basis. Our tax rate in the fourth quarter is expected to be in the 5-6% range. Based on the above inputs, our EPS is expected to be in the range of $0.15 to $0.23. Operator, that concludes my formal comments. We can now open the call for questions.

謝謝你，福特。雖然我的企業財務職涯超過 30 年，但在過去的五年半中，我與萊迪思的執行領導團隊（尤其是前財務長）密切合作。我擔任公司財務總監，同時也擔任財務長角色的許多其他方面。我相信，隨著我們的前進，這將有助於確保我們所有流程和財務報告的持續穩定性和準確性。現在讓我向您提供我們 2024 年第三季業績的摘要。從高層來看，第三季業績符合預期。我們的獲利能力有所擴大，經營現金流量連續增加一倍以上，並且我們繼續透過股票回購向股東返還現金。具體來說，2024年第三季營收為1.271億美元，季增2%，年減34%，反映出庫存持續正常化。在計算實力的推動下，通訊和計算環比增長 12%，這足以抵消工業和汽車領域的疲軟。這兩個策略終端市場佔晶格總收入的 90% 以上。我們第三季的 GAAP 和非 GAAP 毛利率為 69%，反映出儘管整體市場疲軟，我們的毛利率仍保持穩定。第三季非 GAAP 營運支出與上一季持平，為 5,400 萬美元，比去年同期下降 7%。這是我們在管理營運費用（特別是銷售、一般行政費用）方面持續嚴格遵守的結果。正如福特早些時候告訴您的那樣，我們上週實施了14% 的裁員，這導致2024 年第三季度的一次性GAAP 費用為650 萬美元。支援當前的業務水平。我們第三季的非 GAAP 營業利潤率為 26.6%，而上一季為 25.4%，這得益於毛利率的穩定以及對營業費用的嚴格管理。第三季 EBITDA 利潤率為 33.7%，較第二季上升 160 個基點。第三季度，攤薄後流通股為 1.379 億美元，導致第三季非 GAAP 攤薄每股收益為 0.24 美元，而上一季為 0.23 美元。轉向現金流和資產負債表，第三季營運現金流為 4,400 萬美元。這是第二季度營運現金流的兩倍多。自由現金流利潤率從上一季的 12% 增至 31%。第三季末我們的庫存為 1.045 億美元，比上一季增加了 300 萬美元。與去年同期相比，庫存持平。在第三季度，我們回購了約 37 萬股股票，即價值 1,700 萬美元的股票，這使得第三季度我們連續第 16 季執行股票回購。在此期間，我們回購了約 560 萬股股票，從而減少了 4.1% 的稀釋度。現在讓我回顧一下我們對第四季的展望。 2024 年第四季的營收預計在 1.12 億美元至 1.22 億美元之間。以非公認會計準則計算，毛利率預計為 68% 正負 1%。以非公認會計準則計算，第四季的總營運費用預計在 5,200 萬美元至 5,400 萬美元之間。我們第四季的稅率預計在5-6%的範圍內。根據上述輸入，我們的 EPS 預計在 0.15 美元至 0.23 美元之間。接線員，我的正式評論到此結束。我們現在可以開始提問。

Great, thank you. At this time, we will be conducting a question and answer session. If you'd like to ask a question, please press star 1 on your telephone keypad. A confirmation tone will indicate your line is in the question queue. You may press star 2 to remove yourself from the queue. For participants using speaker equipment, it may be necessary to pick up your handset before pressing the star key. One moment, please, while we poll for questions. Our first question here is from Tristan Guerra from Robert W. Baird. Please go ahead.

太好了，謝謝。此時，我們將進行問答環節。如果您想提問，請按電話鍵盤上的星號 1。確認音將表示您的線路已在問題佇列中。您可以按星號 2 將自己從佇列中刪除。對於使用揚聲器裝置的與會者，可能需要在按星號鍵之前拿起聽筒。請稍等一下，我們將進行投票提問。我們的第一個問題來自羅伯特·W·貝爾德 (Robert W. Baird) 的特里斯坦·格拉 (Tristan Guerra)。請繼續。

Hi, good afternoon. And just a couple of high-level questions. The first one is regarding Nexus, which you launched in December 2019. Obviously, it's been a resounding success since then. The typical ramp of an FPGA historically has been seven years before revenue peaks, and that suggests, unless there's something really different about Nexus, that Nexus revenue could peak sometime late 2026. So the question is, given that it takes obviously some time between design and volume ramp for a new product, Should we expect a new product line? And I know you have new iterations of Nexus every six months, but I'm thinking of a new node or something that would be very different architecturally that could potentially succeed Nexus at a time when the ramp starts slowing down.

嗨，下午好。還有幾個高級問題。第一個是關於你們在 2019 年 12 月推出的 Nexus。從歷史上看，FPGA 的典型增長是在收入達到峰值之前的七年，這表明，除非Nexus 確實有什麼不同，否則Nexus 的收入可能會在2026 年末的某個時候達到峰值。到設計之間顯然需要一些時間以及新產品的銷售成長，我們是否應該期待新的產品線？我知道 Nexus 每六個月就會有新的迭代，但我正在考慮一個新的節點或架構上非常不同的東西，當成長開始放緩時，它可能會繼承 Nexus。

Thank you, Tristan. This is Ford. Yeah, we're very excited about the Nexus and Avant ramps. The current revenue growth, the first three quarters of 2024 are well over the first three quarters of 2023 as far as new product and is driven primarily by Nexus and secondarily by Avant. So we continue to see that ramp as you are suggesting. We are actually doubling down on both the small and large and mid-range PGA segments. You will hear more of this leadership position at our developer conference in December. But we're very pleased with the differentiation that our customers are indicating we have and the benefits that small power, small size, differentiation like security and video streaming and Edge AI are providing with both Nexus and Avant.

謝謝你，特里斯坦。這是福特。是的，我們對 Nexus 和 Avant 坡道感到非常興奮。就新產品而言，目前 2024 年前三個季度的營收成長遠遠超過 2023 年前三個季度，並且主要由 Nexus 推動，其次由 Avant 推動。因此，我們將繼續看到您所建議的斜坡。實際上，我們在小型、大型和中型 PGA 細分市場上都加倍投入。您將在 12 月的開發者大會上聽到更多有關此領導地位的資訊。但我們對客戶表示我們擁有的差異化以及 Nexus 和 Avant 所提供的小功率、小尺寸、安全性和視訊串流以及邊緣 AI 等差異化優勢感到非常滿意。

Okay, thanks. That's very useful and great to hear. And then I wanted to see if you're able to elaborate a little bit on the traction that you're seeing in AI. You know, it was previously quantified, but at the same time, we know that traditional data center inventory digestion had a little bit of an impact on everybody's supply a year ago. And could you elaborate, you know, now you seem to have a lot of design when traction and Elaborate a little bit on the dollar content per APGA, the adoption rate and what makes you believe that this is sustainable. And of course, as a derivative, how should we be looking at computing and data center revenue going forward given this very promising traction that you're now getting in AI?

好的，謝謝。這非常有用並且很高興聽到。然後我想看看您是否能夠詳細說明您在人工智慧中看到的吸引力。你知道，之前是量化的，但同時我們知道，傳統的資料中心庫存消化在一年前對大家的供應產生了一點影響。你能否詳細說明一下，你知道，現在你似乎有很多設計，當牽引力和詳細說明每個 APGA 的美元內容、採用率以及是什麼讓你相信這是可持續的。當然，作為一種衍生品，考慮到人工智慧現在非常有前景的吸引力，我們應該如何看待未來的計算和資料中心收入？

Excellent, Tristan. Yeah, so we, in the past, have broken up that number to be about $100 million, and we believe we're about slightly in the same range or slightly above that. So as a percent of revenue, you could see our AI revenue is growing. We just talked about engagement, new engagement opportunities with server and clients. So on the client side, we announced on our MyScript the Dell XPS design opportunity that is increasing our footprint above the Dell Latitude that was already shipping. On the server side, we started shipment of our Lattice NVIDIA Edge AI boards, and we did discuss the phenomenal progress we had at OCP, the Open Compute Conference, with many OEMs were at one data center server platform, we had in excess of a 50-5-0 lattice devices in one of these platforms. And then finally, on my prepared remark, we also discussed the fact that we are in the top five LiDAR Tier 1s, and they were into many industrial display panels. So we are excited about the continuing progress we're making on the client, on the servers, on the automotive and on industrial with Edge AI. And please stay tuned for more. We encourage you to come see the many demos that we're going to have and the many partners we'll have at the developer conference in December. Very exciting development for us.

太棒了，特里斯坦。是的，所以我們過去已經將這個數字分解為大約 1 億美元，我們相信我們大約在這個範圍內或略高於這個範圍。因此，從佔收入的百分比來看，您可以看到我們的人工智慧收入正在成長。我們剛剛討論了參與度，以及與伺服器和客戶端的新參與機會。因此，在客戶端方面，我們在 MyScript 上宣布了戴爾 XPS 設計機會，該機會將我們的足跡擴大到已經發貨的戴爾 Latitude 之上。在伺服器方面，我們開始出貨萊迪思 NVIDIA Edge AI 板，我們確實討論了我們在 OCP（開放運算會議）上取得的顯著進展，許多 OEM 都在一個資料中心伺服器平台上，我們擁有超過這些平台之一的50-5-0 點陣設備。最後，根據我準備好的發言，我們還討論了這樣一個事實：我們在 LiDAR Tier 1 領域處於前五名，而且他們涉足許多工業顯示面板。因此，我們對邊緣人工智慧在客戶端、伺服器、汽車和工業方面的持續進展感到興奮。請繼續關注更多資訊。我們鼓勵您來觀看我們將在 12 月的開發者大會上提供的許多演示以及我們將擁有的眾多合作夥伴。對我們來說非常令人興奮的發展。

Great. Thank you very much. Our next question is from Melissa Weathers from Deutsche Bank.

偉大的。非常感謝。我們的下一個問題來自德意志銀行的梅麗莎·韋瑟斯。

Hi, guys. Thank you for letting me ask a question. Ford, welcome to the call. I'm excited to work with you going forward. I guess I wanted to double-click on your U-shaped recovery that you're talking about. Should we be thinking about the December quarter as kind of the bottom of this cycle? And do you believe that you're shipping to true end demand now, or is there still some inventory in the channel? so that maybe that burn should end at some point and you would see a snapback. Just any more color on your U-shaped recovery would be helpful.

嗨，大家好。謝謝你讓我問一個問題。福特，歡迎您的來電。我很高興能與您一起前進。我想我想雙擊你所說的 U 形恢復。我們是否應該將 12 月季度視為本週期的底部？您是否相信您現在正在滿足真正的最終需求，或者渠道中是否仍有一些庫存？所以也許這種燃燒應該在某個時候結束，你會看到一個快速恢復。只要在 U 形恢復過程中多加點顏色就會有所幫助。

Yeah, thank you, Melissa. Yes, we do believe that what we're seeing is consistent with a broader market that's also indicating a U-shaped versus a V-shaped recovery. Overall, we continue to see softness in our largest end market, which is industrial and automotive, and in that, market were four quarters in what's typically an eight-quarter recovery. So you could see that that would point to a flattish Q4 through sort of mid-year 2025 for this inventory to sort of clear itself up. And on purpose, what we've done, we've worked with our channel partner to glide down that inventory position in the channel to where it goes back to normal inventory by Q2-Q3 of 2025. And we're being applauded by this channel partner for being good partners in helping them do that and getting inventory levels in the channel to normal level, which is about two to three months. When we look at our long-term fundamentals, the demand and GAAP. We do believe that the financial discipline that Lattice has shown in the past will shine again and show double-digit earning growth expansion in 2025 and definitely beyond that in 2026. Hopefully that answers the question. I'm happy to give you a lot of data. We've obviously spent a lot of time on this topic and we could spend a lot of time on this if needed.

是的，謝謝你，梅麗莎。是的，我們確實相信我們所看到的情況與更廣泛的市場是一致的，這也表明 U 型復甦與 V 型復甦。總體而言，我們繼續看到我們最大的終端市場（工業和汽車市場）疲軟，在這方面，市場在通常八個季度的復甦中出現了四個季度。因此，您可以看到，這將表明第四季度到 2025 年中期將保持平穩，庫存將自行清理。我們特意與通路合作夥伴合作，將通路中的庫存狀況降低到 2025 年第二季至第三季恢復到正常庫存水準。一點並將渠道中的庫存水平恢復到正常水平，這大約需要兩到三個月的時間。當我們審視我們的長期基本面、需求和公認會計原則時。我們確實相信，萊迪思過去表現出的財務紀律將再次閃耀，並在 2025 年實現兩位數的盈利增長，並且在 2026 年肯定會超過這一水平。我很高興為您提供大量數據。顯然，我們在這個主題上花了很多時間，如果需要的話，我們可以在這個主題上花很多時間。

Yeah, thank you so much. Maybe a little bit more color on that. Is there anything you're seeing from a pricing perspective or from a competitive perspective that could be weighing on your outlook into 2025, or do you think this is mostly market-wide dynamics?

是的，非常感謝。也許再多一點色彩。從定價角度或競爭角度來看，您認為有哪些因素可能會影響您對 2025 年的展望，或者您認為這主要是整個市場的動態？

Yeah, we believe it's mostly market-wide. We have been very disciplined, and we believe more disciplined than our peers in price and supply assurance. We've talked about our pricing optimization strategy and pricing stability in the past. During this difficult supply situation, We strike the right balance to ensure that our broad-based 10,000 customers had minimal disruption for their supply chain and were able to continue to operate without disruption amid their obligations. And this was very important to us to be customer-friendly as opposed to just focusing on a few large customers aligned with certain segments. So we did a really good job, we believe, in a supply-constrained world to really be a very strong, trusted partner for our customer and ensure that they didn't see any disruption. At this point, you could see from our gross margin that the stability of our gross margin, despite a product mix that's gone more towards a compute and comms, which is typically harder than industrial automotive. And despite a lower revenue trend, we've been able to maintain our gross margin, which shows the durability and strengths of our financial model.

是的，我們相信這主要是在整個市場範圍內。我們一直都非常自律，我們相信在價格和供應保證方面比同行更加自律。我們過去曾討論過我們的定價優化策略和定價穩定性。在這種困難的供應情況下，我們取得了適當的平衡，以確保我們廣泛的 10,000 名客戶的供應鏈受到的干擾最小，並且能夠在履行義務的情況下繼續運營而不受干擾。這對我們來說非常重要，要對客戶友好，而不是只專注於與某些細分市場一致的少數大客戶。因此，我們相信，在供應受限的世界中，我們做得非常好，真正成為客戶非常強大、值得信賴的合作夥伴，並確保他們不會遇到任何中斷。在這一點上，你可以從我們的毛利率中看到，儘管產品組合更偏向於計算和通信，這通常比工業汽車更難，但我們毛利率的穩定性。儘管收入趨勢下降，我們仍然能夠維持毛利率，這表明了我們財務模式的耐用性和優勢。

Thank you, Ford.

謝謝你，福特。

Our next question is from Christopher Rolland from Susquehanna International Group. Please go ahead.

我們的下一個問題來自薩斯奎哈納國際集團的克里斯多福羅蘭。請繼續。

Hi, guys. Thanks for the question. So, Ford, welcome aboard, I guess, for the second time. But I just wanted to kind of bigger picture ask you, just given your heritage in kind of AI and networking, did you have some early thoughts on how FPGAs, either low-end or mid-tier, could have a role there? I don't know If it could ever make it into a transceiver, if it could ever be paired with, I don't know, a DSP or something like that. I don't see a logical fit, but just anywhere in these interconnects or maybe some AI applications that we haven't thought about. and or even, you know, IoT at the Edge, AI IoT at the Edge. I don't know. But just given your heritage, you know, maybe you can talk to these opportunities and are these some of the brightest you see for Lattice?

嗨，大家好。謝謝你的提問。所以，福特，歡迎您第二次加入。但我只是想從更大的角度問您，考慮到您在人工智慧和網路方面的傳統，您是否對 FPGA（無論是低端還是中端）如何在其中發揮作用有一些早期的想法？我不知道它是否可以成為接收器，是否可以與 DSP 或類似的東西配對，我不知道。我沒有看到邏輯上的契合，但只是在這些互連中的任何地方，或者可能是我們沒有考慮過的一些人工智慧應用程式。甚至，你知道，邊緣的物聯網、邊緣的人工智慧物聯網。我不知道。但鑑於您的傳統，您知道，也許您可以談論這些機會，這些機會是您在萊迪思看到的最聰明的機會嗎？

Thank you, Chris. I appreciate the question. So maybe I'll divide the answer into two parts. Since joining, I've been talking about SELF, and you've got a bit of background. If you don't mind muting, Chris, or I don't know if that's you, but can you mute us? Okay, thank you so much. So I'll answer the question in two parts. Number one, since I joined, I've been talking about SELF, S-E-L-F, which says we control our own destiny, and what that is is stabilized, Execute, Lead, and Focus. So Stabilize, we've got a good team, good product, good strategy. E, Execute on the roadmap that we currently have. And Lead with low power, small size, differentiation like security, video, and AI. And number four, F for Focus. And here we're focused on really Nexus and Avant. So that's what we're doing. Coming to AI now, we're actually above all the trends you've discussed. So for example, When you talk about a transceiver, the device that sits between that switch and the many optical modules to light the LED and provide things like telemetry and all kinds of measurement function as sort of this bridge between, if you wish, the switch and these optical transceivers. We're sitting in there providing this bridging and sort of LED and control type of function. If you look at the server, we've got many applications on servers. And we're designing the top 10 server in the world today. So that's many applications on server. Same with IoT, same with client, same with... So all the applications you mentioned were designed in doing things like preprocessing, HMI, user and object detection, gesture and gaze, defect detection, security. 3D audio with head tracking. So many applications of AI. We're not always in a data path. Sometimes we are, and most of the time, we're probably going 20, 80, 20% in the data path and 80% more of a sort of supporting function, not the main chip. But you're going to see as in all of the applications, and given our current focus on AI, you're going to see as in more applications. I do expect our percent of revenue coming from AI to grow over time, Chris.

謝謝你，克里斯。我很欣賞這個問題。所以也許我會把答案分成兩個部分。自從加入以來，我一直在談論自我，而你也有一些背景知識。如果你不介意靜音，克里斯，或者我不知道是不是你，但是你可以讓我們靜音嗎？好的，非常感謝。那我將分兩部分來回答這個問題。第一，自從我加入以來，我一直在談論SELF，S-E-L-F，這意味著我們掌控自己的命運，而這就是穩定、執行、領導和專注。所以穩定，我們有一個好的團隊，好的產品，好的策略。 E，按照我們目前的路線圖執行。並以低功耗、小尺寸、差異化為主導，如安全、視訊和人工智慧。第四，F 代表焦點。在這裡，我們真正關注的是 Nexus 和 Avant。這就是我們正在做的事情。現在談到人工智慧，我們實際上首先關注的是您討論過的所有趨勢。例如，當您談論收發器時，該設備位於開關和許多光學模組之間，用於點亮 LED 並提供遙測和各種測量功能等功能，如果您願意的話，可以作為橋樑之間的橋樑。和這些光收發器。我們正在提供這種橋接以及某種 LED 和控制類型的功能。如果你看一下伺服器，我們在伺服器上有很多應用程式。我們正在設計當今世界排名前十的伺服器。伺服器上有很多應用程式。與物聯網相同，與客戶端相同，與...相同...因此，您提到的所有應用程式都是為了執行預處理、HMI、用戶和物件偵測、手勢和凝視、缺陷檢測、安全等功能而設計的。具有頭部追蹤功能的 3D 音訊。人工智慧的應用如此之多。我們並不總是處於數據路徑中。有時，大多數時候，我們可能將 20%、80%、20% 用於資料路徑，80% 以上用於某種支援功能，而不是主晶片。但你會在所有應用程式中看到 as，並考慮到我們目前對人工智慧的關注，你會在更多應用程式中看到 as。克里斯，我確實預計我們來自人工智慧的收入百分比會隨著時間的推移而增長。

And you're on mute if you have another question. Yes.

如果您還有其他問題，您將處於靜音狀態。是的。

Thank you for that, Ford. I appreciate. And maybe for a follow-up, Some of your FPGA competitors have married their FPGA fields with a hardened ARM core. I think there's also the potential for even a microcontroller. I think the last management team didn't seem particularly interested in this. I was wondering if maybe you would revisit this and whether you think this is interesting. at all.

謝謝你，福特。我很欣賞。也許接下來，您的一些 FPGA 競爭對手已經將他們的 FPGA 領域與硬化 ARM 核心結合起來。我認為連微控制器也有潛力。我認為最後的管理團隊似乎對此並不特別感興趣。我想知道您是否會重溫此內容以及您是否認為這很有趣。根本不。

Thank you. Thank you, Chris. You should come to our DEVELOP conference, which I think you'll be attending, and see the many partners we have on the microcontroller side. It's a long list, whether it's NXP or ST or Renaissance or many of the other ones. We're going to have many microprocessor partners that are designed in with us. So instead of having our own, we partner with them. And again, instead of having our own AI accelerator, we partner with companies like NVIDIA and others, including Habana and AMD to provide companion chips on all of these. So we believe that not having our own is actually an advantage because we end up being the friendly partner. And furthermore, we have developed and delivered to our partners SoC development tools. It's called Propel, P-R-O-P-E-L. That is our development tool that actually enables some of these designs to go to market.

謝謝。謝謝你，克里斯。您應該來參加我們的開發會議（我想您會參加），看看我們在微控制器方面擁有的眾多合作夥伴。這是一個很長的名單，無論是 NXP、ST、Renaissance 或許多其他公司。我們將擁有許多與我們一起設計的微處理器合作夥伴。因此，我們不是擁有自己的，而是與他們合作。再說一次，我們沒有擁有自己的人工智慧加速器，而是與 NVIDIA 等公司以及 Habana 和 AMD 等其他公司合作，為所有這些加速器提供配套晶片。因此，我們相信，沒有自己的產品實際上是一種優勢，因為我們最終成為友好的合作夥伴。此外，我們也開發並向合作夥伴提供了 SoC 開發工具。它叫做 Propel，P-R-O-P-E-L。這是我們的開發工具，實際上使其中一些設計能夠進入市場。

Thank you. Our next question is from Quinn Bolton from Needham & Company. Please go ahead.

謝謝。我們的下一個問題來自 Needham & Company 的 Quinn Bolton。請繼續。

Hey, Ford. Welcome to Lattice. I guess a couple of questions. Ford, it sounds like you're describing a lot of the headwinds that the company's facing as being more industry-wide, but I guess I look at your competitors Xilinx, Altera. Both of those companies saw revenue drop in the March quarter, and they saw sequential growth throughout the rest of 2024. Lattice is seeing sort of the opposite pattern, where it looks like Q1 may be the highest revenue in the quarter and Q4 is the lowest. And so you're showing a different trend than the two largest competitors. And so I'm wondering if you had any thoughts why you may be seeing something different than your big competitors. And then I've got a follow-up question as well.

嘿，福特。歡迎來到萊迪思。我想有幾個問題。福特，聽起來您正在描述該公司在整個行業範圍內面臨的許多阻力，但我想我會看看您的競爭對手 Xilinx、Altera。這兩家公司在3 月份季度的收入都出現了下降，但在2024 年剩餘時間裡卻出現了連續增長。而第四季是最低的。因此，你們呈現出與兩個最大競爭對手不同的趨勢。所以我想知道你是否有任何想法為什麼你可能會看到與你的大競爭對手不同的東西。然後我還有一個後續問題。

Yeah, look, it's a good question. We've got very detailed data. I've got a graph right in front of me here. that tracks this back to Q1 of 2023. And if you track this back to Q1 of 2023, our performance is twice as good as the worst one of these two, and 50% better than the other guys. So we're doing it based on sort of tracking a longer-term view from where the peak was. So if you take a 2023 view, you'll see us do much better. Of course, you can always, you know, take data and come up with any trend you want. So sure, if you map this over the past six months, you may see something different. But we believe the really fair way to do this is to track this over a longer-term period, and you see us do better than competitors by a long shot. We're not even close as far as our performance. And Quim have been taking shares. So if you look at our view of their share against these two companies, We believe that we have continued to expand our share. We're introducing new products, and especially if you track this and the small to mid-range FPGA without SOC, because, you know, we're not into that market. We don't have SOC. So if you look in the Apple-to-Apple SAM, which is small and mid-range, no SOC, we'll show you we're taking shares.

是的，你看，這是個好問題。我們有非常詳細的數據。我面前有一張圖表。可以追溯到 2023 年第一季。因此，我們這樣做是基於從峰值所在位置追蹤長期觀點。因此，如果你放眼 2023 年，你會發現我們做得更好。當然，您始終可以獲得數據並得出您想要的任何趨勢。當然，如果你繪製過去六個月的地圖，你可能會看到一些不同的東西。但我們相信真正公平的方法是長期追蹤這一點，你會發現我們遠遠比競爭對手做得更好。就我們的表現而言，我們還差得很遠。 Quim 一直在持有股份。因此，如果你看看我們對這兩家公司的份額的看法，我們相信我們的份額正在繼續擴大。我們正在推出新產品，特別是如果您跟踪該產品以及不帶 SOC 的中小型 FPGA，因為您知道，我們不進入該市場。我們沒有 SOC。因此，如果您查看 Apple-to-Apple SAM（中小型、無 SOC），我們將向您展示我們正在獲取股份。

Got it. Where do you think consumption is? If I take your guidance for fiscal 25, it looks like revenue up low single digits year-on-year probably puts it at about $525 million for the year, or something like $130 or so million a quarter. Is that the right level to be thinking about what end consumption or POS Data Supports, or are you looking at POS even though revenues below that level is POS sort of higher than that $130 or so million a quarter level?

知道了。你認為消費在哪裡？如果我按照你對 25 財年的指導，看起來收入同比低位個位數增長可能會使全年收入約為 5.25 億美元，或者每季 130 億美元左右。這是考慮最終消費或 POS 數據支援的正確水平嗎？

Yeah, I think those numbers for revenue are right. I'm going to let Tonya chime in here. Tonya, do you want to take this question?

是的，我認為這些收入數字是正確的。我要讓托妮亞插話一下。托尼亞，你想回答這個問題嗎？

Sure, and that's a great question, and you're exactly right. When we look forward to 2025, As you heard in Ford's prepared remarks, we believe that DISTI inventory currently is at the high end of the pre-pandemic levels, and we believe through 2025, that'll get more to the mid-range of our target range. So, as a result of that, we do believe our revenue will be lower than the actual end consumption, depending on, of course, the specific mark.

當然，這是一個很好的問題，你是完全正確的。當我們展望 2025 年時，正如您在福特準備好的演講中聽到的那樣，我們認為 DISTI 庫存目前處於大流行前水平的高端，我們相信到 2025 年，這將更多地達到中檔水平我們的目標範圍。因此，我們確實相信我們的收入將低於實際的最終消費，當然這取決於具體的標記。

So POS should be sort of at 130 or higher next year, it sounds like, since you're going to be consuming inventory at least. Yeah, certainly it looks like through the first half of the year.

因此，聽起來，明年 POS 應該會達到 130 或更高，因為你至少會消耗庫存。是的，當然看起來會持續到今年上半年。

That's correct. That's correct.

這是正確的。這是正確的。

Okay. Thank you.

好的。謝謝。

Our next question is from Srinivajiri from Raymond James. Please go ahead.

我們的下一個問題來自 Raymond James 的 Srinivajiri。請繼續。

Thank you. A couple of questions. Ford, for the very near term, as we look out to the next quarter and also into the first half of next year, I look at your two different segments. One, obviously going through a cyclical correction in auto and industrial, fairly well known. But the other one, you're basically doing quite well when it comes to servers because of the content increases. Those are, I believe, secular. and also you talked about AI design wins. So I'm a little surprised as to why we're seeing the weakness in the short term. Is it primarily still auto-industrial correcting or are you seeing some correction in the comms and compute as well?

謝謝。有幾個問題。福特，就近期而言，當我們展望下個季度和明年上半年時，我會關注你們的兩個不同的細分市場。第一，汽車和工業領域顯然正在經歷週期性調整，這是眾所周知的。但另一方面，由於內容的增加，在伺服器方面基本上做得很好。我相信這些都是世俗的。您還談到了人工智慧設計的勝利。因此，我對為什麼我們在短期內看到疲軟感到有點驚訝。它主要仍然是自動工業校正還是您在通訊和計算中也看到了一些校正？

Srini, I think, let me share with you numbers that are public that you know. So if you were to go back, let's say to Q1 of 2023, At that time, in Q1 of 2023, industrial auto was 59% of revenue and comms compute was 36% of revenue. And so if you fast forward now to this quarter we just announced in Q3, industrial auto is 43% and comms and compute is 48%. So you could see a pretty big shift from one to the other. Despite this product mix and despite lower revenue, we have been able to maintain a solid gross margin and solid financial operating metrics on the EPS, EBITDA, free cash flow, which jumped nicely quarter-on-quarter. Furthermore, going forward into 2025 and 2026, we should be back up and to the right and back in good shape. You've had a pretty big change here in these end segments, that they've been able to weather because of the growth in the compute and comms. And again, if you look at compute and comms, obviously comms has not been very strong because of 5G being delayed. So you could even read further into that, that compute is actually quite strong.

斯里尼，我想，讓我與你們分享你們所知道的公開數字。因此，如果你要回溯到 2023 年第一季度，當時，2023 年第一季度，工業汽車佔收入的 59%，通訊計算佔收入的 36%。因此，如果您現在快轉到我們剛剛在第三季度宣布的本季度，工業汽車佔 43%，通訊和計算佔 48%。所以你可以看到從一種到另一種的巨大轉變。儘管有這樣的產品組合，儘管收入較低，但我們仍然能夠保持穩定的毛利率和穩定的每股收益、息稅折舊攤銷前利潤、自由現金流的財務運營指標，這些指標環比大幅增長。此外，展望 2025 年和 2026 年，我們應該會回到正確的位置，並保持良好的狀態。這些末端部分發生了相當大的變化，由於計算和通訊的增長，它們能夠經受住考驗。再說一次，如果你看看計算和通信，很明顯，由於 5G 延遲，通信並不是很強勁。因此，您甚至可以進一步了解這一點，該計算實際上非常強大。

Okay, and you expect that to continue in the next few quarters? Ford, are you seeing anything there as well?

好的，您預計這種情況會在接下來的幾個季度繼續下去嗎？福特，你在那裡也看到什麼了嗎？

No, we do expect that to continue, and as Tonya just answered, that we do expect the POS now being higher than revenue, and so we continue to glide down that inventory to mid-year 2025, and then after that, we're back up to the right. It's just we're, you know, a couple of quarters away from this, and in the meantime, we'll have the financial discipline to, you know, continue to drive good earnings expansion.

不，我們確實預計這種情況會繼續下去，正如托尼亞剛剛回答的那樣，我們確實預計 POS 現在會高於收入，因此我們繼續將庫存減少到 2025 年中期，然後在那之後，我們回到右邊。只是我們距離這一目標還有幾個季度的時間，同時，我們將遵守財務紀律，繼續推動良好的獲利擴張。

Fair enough. And then a quick follow-up on the workforce reduction. The guidance for next quarter, $52 to $54 million, does that fully reflect the 14% workforce reduction? And then, Ford, I think at the Analyst Day, you're still maintaining that 15% to 20% that was communicated at the Analyst Day. And at that time, I think the management communicated about 30% OpEx. Is that still valid? Or, you know, given the cost cuts, you know, should we expect something below the 30% longer term? Thank you.

很公平。然後是對裁員的快速跟進。下一季的指引為 5,200 至 5,400 萬美元，這是否充分反映了 14% 的勞動力減少？然後，福特，我認為在分析師日，您仍然維持在分析師日傳達的 15% 到 20% 的比例。當時，我認為管理層傳達了約 30% 的營運支出。這仍然有效嗎？或者，考慮到成本削減，我們是否應該預期低於 30% 的長期成本？謝謝。

Yeah, and I'll take that. This is Tonya. Your first question on our OpEx guidance, of course, the workforce reduction It isn't done at the beginning of the quarter and takes time to fully implement, but our operating expense guidance does contemplate our assumptions around that workforce reduction. And we do expect that to continue to benefit our 2025 results as well. So if you're thinking about our 2025 model, Ford mentioned in his prepared remarks that we expect low single-digit revenue growth in 2025 compared to 2024. improving as the year goes on, and we come out of the inventory digestion cycle about mid-2025. We expect margin to be primarily flat year over year, but we expect sort of high single-digit OpEx reduction compared to 24, mid to high, compared to 24 as a result of both the headcount and non-headcount OpEx reductions. And it's a 14% reduction in our headcount and our higher OpEx run rate. We also, you saw, guided our non-GAAP tax rate. It's expected to be in the mid to high single digits then as we carry forward into 2025. And all of those factors provides a low double-digit EPS earnings expansion, outpacing revenue growth. So that's kind of how we're thinking about it.

是的，我會接受的。這是托妮亞。關於我們的營運支出指南的第一個問題，當然是裁員，這不是在本季度初完成的，並且需要時間才能完全實施，但我們的營運費用指南確實考慮了我們對裁員的假設。我們確實預計這也將繼續有利於我們 2025 年的表現。因此，如果您正在考慮我們的2025 年模型，福特在他準備好的演講中提到，與2024 年相比，我們預計2025 年的收入增長率將低於2025 年。會有所改善，我們將在中期左右擺脫庫存消化週期-2025。我們預期利潤率將同比基本持平，但由於員工和非員工營運支出的減少，我們預計與 24 相比，營運支出將出現較高個位數的減少，與 24 相比，中到高。我們的員工人數減少了 14%，營運支出也提高了。您看到，我們也指導了我們的非公認會計準則稅率。當我們展望 2025 年時，預計該數字將達到中高個位數。這就是我們的想法。

Got it. Thank you.

知道了。謝謝。

As a reminder, if you'd like to ask a question, it is star 1. And our next question here is from Ruben Roy from Spiefel. Please go ahead.

提醒一下，如果您想問問題，請點擊 1 號星。請繼續。

Hey, thank you. Hi, Ford. I wanted to ask, Ford, just on new products, and it's great to hear that the new product growth has continued. But when I think about 2025, obviously, you know, we've got these industry headwinds, which are well-known, I guess, at this point. We're also expecting higher ISP Avant to kind of roll into the model. I guess the question is, you know, the incremental from Avant, has anything changed given what's going on with the end market, you know, in the way you're thinking about the Avant rollout for next year? Is it maybe delayed a little bit from, you know, sort of earlier expectations or no changes there and it's really just the core products and, you know, the core markets that are creating these, you know, sort of headwinds that are driving the U-shaped recovery expectation?

嘿，謝謝你。嗨，福特。我想問福特，關於新產品，很高興聽到新產品持續成長。但當我想到 2025 年時，顯然，我們面臨這些行業逆風，我想這些逆風在這一點上是眾所周知的。我們也期待更高的 ISP Avant 加入到這個模型中。我想問題是，你知道，Avant 的增量，考慮到終端市場的情況，你知道，你考慮明年推出 Avant 的方式有什麼改變嗎？它是否可能比之前的預期有所延遲，或者沒有任何變化，這實際上只是核心產品，以及核心市場正在創造這些，你知道，推動市場發展的逆風。

Thank you, Ruben. Nice to reconnect. Yeah, no change on Avant. We're pleased with the traction of Avant. We continue to drive increased design win with revenue from new product expected to be in the double digits for 2024 and continue to grow from there led by Avant. So the opportunity for Avant is bigger as shown from the funnel. Opportunity that we're seeing for Avant is quite bigger than the same time ramp in Nexus. So we're seeing early revenue of Avant E, which is what we have introduced some time ago. Avant G and X are on track for prioritization in Q4 and early revenue. And then we expect Avant revenue in the second half, the second year of the platform launch, will exceed what we sell for Nexus in that second year. And so we're excited about Avant, and we'll tell you more about them at the developer conference.

謝謝你，魯本。很高興重新連接。是的，Avant 沒有改變。我們對 Avant 的吸引力感到滿意。我們繼續推動設計勝利，預計 2024 年新產品收入將達到兩位數，並在 Avant 的帶領下繼續成長。所以從漏斗圖可以看出，Avant 的機會比較大。我們看到 Avant 的機率比 Nexus 的同期成長要大得多。因此，我們看到 Avant E 的早期收入，這是我們不久前推出的。 Avant G 和 X 預計將在第四季度獲得優先考慮並獲得早期收入。然後我們預計下半年，也就是平台推出的第二年，Avant 的營收將超過 Nexus 在第二年的銷售量。因此，我們對 Avant 感到非常興奮，我們將在開發者大會上向您介紹更多有關它們的資訊。

Okay, thanks for that, Ford. And then if I could just ask a quick follow-up on the comment you made in reference to the communications part of communications and computing. We've seen sort of the progress and the success in the compute part, as you mentioned. On the communications part, we are starting to hear some data points that would suggest that there's a bottoming. on-com infrastructure, and maybe even a little bit of improvement here exiting the year. Is that kind of the way you're thinking about that business, or is the com part still a potential area of headwind as we look ahead to 2025? Thank you.

好的，謝謝你，福特。然後我能否就您對通信和計算的通信部分發表的評論進行快速跟進。正如您所提到的，我們已經看到了計算部分的一些進展和成功。在通訊方面，我們開始聽到一些數據顯示已經觸底。通訊基礎設施，甚至今年可能會有一點改進。您是這樣考慮該業務的嗎？謝謝。

Yes. Ruben, I think your characterization is correct. We do expect coms to normalize and the second half of 2025 be on track to grow along with the rest of the portfolio.

是的。魯本，我認為你的描述是正確的。我們確實預計通訊產業將會正常化，並且到 2025 年下半年將與投資組合的其他產品一起成長。

Okay. Thank you, Ford.

好的。謝謝你，福特。

Our next question is from Joshua Buckwalter from TD Cowen. Please go ahead.

我們的下一個問題來自 TD Cowen 的 Joshua Buckwalter。請繼續。

Hey, guys. Congrats on the first earnings call at Lattice, and thank you for taking my question. I wanted to ask about some of the assumptions and follow up on some of the earlier comments that are going into the low single-digit percent growth next year. I know you've given us a time frame of when you expect digestion to cease, but any way you can quantify the magnitude, and I guess the real reason to ask is, you know, the prior management team had put out the 15 to 20 percent long-term growth target. Is that still the right number you're thinking about, or is that under evaluation right now? Thank you.

嘿，夥計們。恭喜萊迪思的第一次財報電話會議，並感謝您回答我的問題。我想詢問一些假設，並跟進一些先前的評論，這些評論將導致明年的低個位數百分比增長。我知道你已經給了我們一個預計消化何時停止的時間框架，但你可以透過任何方式量化其幅度，我想問這個問題的真正原因是，你知道，之前的管理團隊已經提出了 15 20%的長期成長目標。這仍然是您正在考慮的正確數字嗎？謝謝。

Yeah, thank you, Josh. The prior target of 15% to 20% revenue growth is still the correct target, so we're not changing that. We're saying, in my prepared remark, we did comment that we expect to come back to that guide of 15% to 20% in 2026. We also said this U-shaped recovery, we expect the revenue to be flattish and others.

是的，謝謝你，喬許。先前 15% 至 20% 的收入成長目標仍然是正確的目標，因此我們不會改變這個目標。我們是說，在我準備好的發言中，我們確實評論說，我們預計到2026 年將回到15% 至20% 的指導水平。 。

and so on.

等等。

The amount of data the team has here on POS, on what's at the channel, what's at Lattice, what's at customer, so a lot of data. And we've been tracking this. Our book-to-bill has steadily improved over the past four quarters from very low level to close to one. And so we're seeing that normalization happen. is taking a bit longer in industrial automotive than maybe prior expectations. But I think it's in line with the broader market trends in our peers. And so again, we expect this channel inventory to be back to the midpoint in 2025. And Tonya, I think you have a bit more data.

團隊在 POS 上擁有大量數據，包括通路上的數據、萊迪思的數據、客戶的數據，等等。我們一直在跟踪這一點。在過去的四個季度中，我們的訂單出貨比穩步提高，從非常低的水平提高到接近 1。所以我們看到正常化正在發生。工業汽車領域所需的時間可能比之前的預期要長一些。但我認為這符合我們同業更廣泛的市場趨勢。同樣，我們預計該渠道庫存將在 2025 年回到中點。

Yeah, I think it's consistent with what you said. I think we've always said that just the inventory can fluctuate on a quarterly basis. We have pretty good visibility. into the DISTI inventory, as Ford said, tracking end consumption out of the DISTI. It is the inventory all the way at the end customer because, like Ford said, we have over 10,000 end customers that it's a little harder to see, but we think we now have a better handle on it. We're, like Ford said, looking to Get to that DISTI inventory more to the midpoint of our target range through mid-2025. That's helpful, Caller.

是的，我覺得跟你說的一致。我想我們一直說只有庫存會按季度波動。我們有很好的能見度。正如福特所說，進入 DISTI 庫存，追蹤 DISTI 的最終消耗。這是最終客戶的庫存，因為正如福特所說，我們有超過 10,000 個最終客戶，這有點難以看到，但我們認為我們現在可以更好地處理它。正如福特所說，我們希望在 2025 年中期將 DISTI 庫存提高到我們目標範圍的中點。這很有幫助，來電者。

Thank you. I appreciate it.

謝謝。我很感激。

Our next question is from Dubsong Chang from Bank of America.

我們的下一個問題來自美國銀行的 Dubsong Chang。

Hi. Thank you for taking my question. You've mentioned that Q1 and Q2 you expect revenue to be flattish. Is that a company overall number or is that industrial-specific? Because I've heard from your peers and also other industrially exposed semis that Q1 tends to be pretty seasonal, so any comment would be helpful. Thank you.

你好。感謝您回答我的問題。您提到您預計第一季和第二季的收入將持平。這是公司總體數字還是特定行業的數字？因為我從你們的同行和其他工業暴露的半成品那裡聽說，第一季往往是相當季節性的，所以任何評論都會有幫助。謝謝。

Yes, thank you, Daxun. We're saying that the revenue will be flattish from Q4 of 2024 through Q1, Q2 of 2025. We're obviously not guiding, just these are expectations. We're not guiding to those quarters, but that's the expectation.

是的，謝謝大勳。我們說，從 2024 年第四季到 2025 年第一季、第二季度，營收將持平。我們不會對這些季度進行指導，但這就是預期。

I see. And then one on servers, the previous management team has been pretty big in talking about the content expansion gen over gen in the servers. Are you still seeing that sort of coming through in the current generation of CPUs, and should we still expect this trend to continue into the next one as well?

我懂了。然後是伺服器方面，之前的管理團隊一直在談論伺服器中一代又一代的內容擴展。您是否仍然在當前一代 CPU 中看到這種情況，我們是否仍然應該期望這種趨勢也會延續到下一代 CPU 中？

Yes, thanks, Doxan. Yes, we're seeing it. As I said, at the OpenCompute show where we had many OEMs and ODM designs on the show floor, Lattice was on display on many of these boards, was, you know, over 5050, Lattice, FPGA within each rack, and expect these partners to have very significant demand for server racks in 2025. So not only have we increased the content per server, we've also increased the design footprint where we now design into the top 10 server makers for this market. So very excited about both trends that should increase our revenue in 2025.

是的，謝謝，多克森。是的，我們看到了。正如我所說，在OpenCompute 展會上，我們在展廳裡展示了許多OEM 和ODM 設計，萊迪思在許多此類主機板上進行了展示，您知道，每個機架內有超過5050 個萊迪思FPGA，並期待這些合作夥伴到2025 年，對伺服器機架的需求將非常巨大。名伺服器製造商。我們對這兩種趨勢感到非常興奮，它們將在 2025 年增加我們的收入。

That was great. Thank you, Ford.

那很棒。謝謝你，福特。

We have time for one additional question. The question here is from David Williams from Benchmark Company. Please go ahead.

我們還有時間再問一個問題。這裡的問題來自 Benchmark 公司的 David Williams。請繼續。

Hey, good afternoon. Thanks for letting me ask the question here, and, Ford, let me also send my congrats and welcome. One I wanted to ask, just quickly, on the pipeline of design wind you have, it seems quite strong. And just kind of wondering if you think we'll see a potential inflection as the markets improve and just kind of how some customers are likely delaying their product launches. Are you seeing that? Are you hearing it? Just maybe any caution around their product launches and how that can inflect.

嘿，下午好。感謝您讓我在這裡提出問題，福特，請讓我也向您表示祝賀和歡迎。我想問，快說，你們的設計風管道上，好像挺強的。只是想知道，隨著市場的改善，我們是否會看到潛在的變化，以及一些客戶可能會推遲產品發布。你看到了嗎？你聽到了嗎？也許只是對他們的產品發布以及它如何影響的任何謹慎。

Yeah, thank you, David. I'm very excited about the footprint of these design wins because they range you know, anywhere from the top 10 server and storage, the top 10 leading comms, the top 10 factory automation, the top tier auto OEMs, the top PC OEMs. Across many applications, we talked about AGI, imaging and vision, robotics motion control, various automotive, both in-car and ADAS type applications, test and measurement, video broadcast, system control, power interfacing, security, sensor integration and fusion. and then many in specialized harsh environments including avionics and defense type applications. So the applications are varied. We continue to be very pleasantly surprised about the wide range of applications that our customers are using Nexus and Avant for and we're very confident that we continue to have some great differentiation from a low power and low size, small size and cost-effective solutions, and security, video streaming. So, very excited about what the future brings across thousands of applications across 10,000 customer base. So, stay tuned and please look forward to seeing you in person at the Developer Conference, December 10-11 in San Jose.

是的，謝謝你，大衛。我對這些設計勝利的足跡感到非常興奮，因為它們的範圍包括前 10 名伺服器和儲存、前 10 名領先通訊、前 10 名工廠自動化、頂級汽車 OEM、頂級 PC OEM。在許多應用中，我們討論了 AGI、成像和視覺、機器人運動控制、各種汽車（車載和 ADAS 類型應用）、測試和測量、視訊廣播、系統控制、電源介面、安全、感測器整合和融合。然後許多用於特殊的惡劣環境，包括航空電子設備和國防類型應用。所以應用是多種多樣的。我們對客戶使用 Nexus 和 Avant 進行的廣泛應用感到非常驚喜，我們非常有信心我們繼續在低功耗、小尺寸、小尺寸和高性價比方面保持巨大的差異化解決方案，以及安全、視訊串流。因此，我們對未來為 10,000 個客戶群的數千個應用程式帶來的東西感到非常興奮。因此，敬請期待並期待在 12 月 10 日至 11 日在聖荷西舉行的開發者大會上與您見面。

Thanks so much for that. And then just one last one, if I may, here. It seemed like the prior leadership was-they ran a fairly lean organization, and I'm surprised to hear the 14% OpEx or the headcount reduction there. Could you give maybe some color just around where you're able to define those cuts and what that means, do you think, in terms of further development down the road? Does it impact you at all?

非常感謝。如果可以的話，我就在這裡講最後一篇。之前的領導層似乎管理著一個相當精簡的組織，我很驚訝地聽到 14% 的營運支出或人員減少。您能否在能夠定義這些削減的地方給出一些顏色，以及您認為這對未來的進一步發展意味著什麼？它對你有影響嗎？

Yes, thank you, David. So we took action, we're done, it's behind us, and now we're back to execution. And we had to do it to maintain the financial discipline of our model, and you'll see the benefits and very strong EPS and EBITDA next year. You did hear us in Q3 of 24 talk about an EBITDA of 33.7%. And so if you grow this at, you know, low double digits into next year, you could see we end up with very strong EBITDA next year. And so that's the financial discipline and benefit of doing this. But we're done. There's no impact on the product roadmap because we moved a lot of these resources from sort of high-cost geography to lower-cost geography. I just came back from Penang in Manila. I'll be on my way to Shanghai and Montreal and Austin and after this to Taiwan and Pune, India. We've done a good job balancing the headcount between these geographies. Right now, we feel like we've got the right level of investment to support our growth and the numbers we discussed with you on this call.

是的，謝謝你，大衛。所以我們採取了行動，我們已經完成了，一切都已經過去了，現在我們又回到了執行上。我們必須這樣做才能維持我們模型的財務紀律，明年您將看到好處以及非常強勁的每股盈餘和息稅折舊攤提前利潤。您確實在 24 年第三季聽到我們談論 EBITDA 為 33.7%。因此，如果明年將其增長到兩位數，您可能會看到明年我們將獲得非常強勁的 EBITDA。這就是這樣做的財務紀律和好處。但我們已經完成了。這對產品路線圖沒有影響，因為我們將大量資源從高成本地區轉移到了低成本地區。我剛從馬尼拉檳城回來。我將前往上海、蒙特婁和奧斯汀，然後前往台灣和印度浦那。我們在平衡這些地區之間的員工人數方面做得很好。目前，我們認為我們已經獲得了適當的投資水平來支持我們的成長以及我們在這次電話會議中與您討論的數字。

Thank you. I'd like to turn the floor back to Lattice Semiconductors CEO, Mr. Ford Tamer. Thank you, operator, and thank you everyone for joining us on today's call.

謝謝。我想請萊迪思半導體公司執行長福特·塔默先生發言。謝謝接線員，也謝謝大家加入我們今天的電話會議。

As you heard earlier, I am excited about the opportunity to build on Lattice's strong foundation, broad customer base, highly differentiated products, and strong partner ecosystem. We intend to leverage that foundation with our three-part strategy, of continuing our diligent financial discipline to achieve the highest ROI, maintaining market leadership, and implementing our laser focus on AI applications. Thank you for being on today's call and for your continued support. I look forward to sharing the company's progress with you in the coming quarters. Operator, that concludes today's call.

正如您之前所聽到的，我很高興有機會在萊迪思的堅實基礎、廣泛的客戶群、高度差異化的產品和強大的合作夥伴生態系統的基礎上發展。我們打算透過我們的三部分策略來利用這一基礎，繼續我們勤奮的財務紀律以實現最高的投資回報率，保持市場領先地位，並專注於人工智慧應用。感謝您參加今天的電話會議並感謝您的持續支持。我期待在未來幾個季度與您分享公司的進展。接線員，今天的通話到此結束。

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

今天的電話會議到此結束。此時您可以斷開線路。再次感謝您的參與。