微晶片科技 (MCHP) 2019 Q2 法說會逐字稿

Good day, everyone.

今天是個好日子。

Welcome to this Microchip Technology Second Quarter Fiscal Year 2019 Financial Results Conference.

歡迎參加 Microchip Technology 2019 財年第二季度財務業績發布會。

As a reminder, today's conference is being recorded.

提醒一下，今天的會議正在錄製中。

At this time, for opening remarks and introductions, I'd like turn things over to Mr. Eric Bjornholt.

現在，關於開場白和介紹，我想把事情交給 Eric Bjornholt 先生。

Please go ahead, sir.

請繼續，先生。

Thank you, and good afternoon, everyone.

謝謝，大家下午好。

During the course of this conference call, we will be making projections and other forward-looking statements regarding future events or the future financial performance of the company.

在本次電話會議期間，我們將對未來事件或公司未來的財務業績做出預測和其他前瞻性陳述。

We wish to caution you that such statements are predictions, and that actual events or results may differ materially.

我們希望提醒您，此類陳述是預測，實際事件或結果可能存在重大差異。

We refer you to our press releases of today as well as our recent filings with the SEC that identify important risk factors that may impact Microchip's business and results of operations.

請參閱我們今天的新聞稿以及我們最近向美國證券交易委員會提交的文件，這些文件確定了可能影響 Microchip 的業務和運營結果的重要風險因素。

In attendance with me today are Steve Sanghi, Microchip's Chairman and CEO; and Ganesh Moorthy, Microchip's President and COO.

今天和我一起出席的有 Microchip 董事長兼首席執行官 Steve Sanghi； Microchip 總裁兼首席運營官 Ganesh Moorthy。

I will comment on our second quarter fiscal year 2019 financial performance, and Steve and Ganesh will then give their comments on the results, discuss the current business environment as well as our guidance and provide an update on our integration activities associated with the Microsemi acquisition.

我將評論我們 2019 財年第二季度的財務業績，然後 Steve 和 Ganesh 將對結果發表評論，討論當前的商業環境以及我們的指導，並提供與 Microsemi 收購相關的整合活動的最新情況。

We will then be available to respond to specific investor and analyst questions.

然後我們將可以回答具體的投資者和分析師問題。

I want to remind you that we are including information in our press release and this conference call on various GAAP and non-GAAP measures.

我想提醒您，我們在新聞稿和本次電話會議中包含了有關各種 GAAP 和非 GAAP 措施的信息。

We have posted a full GAAP to non-GAAP reconciliation on the Investor Relations page of our website at www.microchip.com, which we believe you will find useful when comparing GAAP and non-GAAP results.

我們在我們網站 www.microchip.com 的投資者關係頁面上發布了完整的 GAAP 與非 GAAP 調節表，我們相信您在比較 GAAP 和非 GAAP 結果時會發現它很有用。

I want to remind investors that during the quarter ended June 30, 2018, we adopted a new GAAP revenue recognition standard, which requires revenue to be recognized at the time products are sold to distributors versus our historical revenue recognition policy, where revenue on such transactions were deferred until the product was sold by our distributors to an end customer.

我想提醒投資者，在截至 2018 年 6 月 30 日的季度中，我們採用了新的 GAAP 收入確認標準，該標準要求在將產品出售給分銷商時確認收入，而不是我們的歷史收入確認政策，其中此類交易的收入被推遲到我們的分銷商將產品出售給最終客戶。

We are not able to provide guidance on a GAAP basis as we are not able to predict whether inventory at our distributors will increase or decrease in relation to end-market demand, and this is not how we manage our business.

我們無法根據 GAAP 提供指導，因為我們無法預測我們分銷商的庫存是否會隨著終端市場需求而增加或減少，這不是我們管理業務的方式。

As evidence of this uncertainty, in recent years, we have seen net inventory at our distributors increase or decrease by a significant amount in a single quarter.

作為這種不確定性的證據，近年來，我們發現我們的分銷商的淨庫存在一個季度內大幅增加或減少。

Our non-GAAP revenue is based on true end-market demand in which we measure the revenue based on when the product is sold by our distributors to an end customer.

我們的非 GAAP 收入基於真實的終端市場需求，我們根據分銷商向終端客戶銷售產品的時間來衡量收入。

We will continue to manage our business and distributor relationships based on creating and fulfilling end-market demand.

我們將繼續根據創造和滿足終端市場需求來管理我們的業務和分銷商關係。

All of Microchip's bonus programs will continue to work based on the amount of revenue earned from fulfilling end-market demand.

Microchip 的所有獎金計劃將根據滿足終端市場需求所賺取的收入金額繼續實施。

Therefore, along with the GAAP results, based on sell in, we will also report our non-GAAP results based on sell-through revenue recognition.

因此，除了基於銷售的 GAAP 結果，我們還將報告基於銷售收入確認的非 GAAP 結果。

I will now go through some of the operating results including net sales, gross margin and operating expenses.

我現在將介紹一些經營業績，包括淨銷售額、毛利率和經營費用。

I will be referring to these results on a non-GAAP basis using revenue based on end-market demand and expenses prior to the effects of our acquisition activities and share-based compensation.

我將在非 GAAP 基礎上使用基於終端市場需求的收入和在我們的收購活動和基於股份的補償產生影響之前的費用來參考這些結果。

Non-GAAP net sales in the September quarter were $1.513 billion, just above the midpoint of our guidance and up 24.4% sequentially from net sales of $1.217 billion in the immediately preceding quarter.

9 月份季度的非 GAAP 淨銷售額為 15.13 億美元，略高於我們指引的中點，比上一季度的 12.17 億美元淨銷售額環比增長 24.4%。

We have posted a summary of our revenue by product line and geography on our website for your reference.

我們已在我們的網站上按產品線和地理位置發布了我們的收入摘要，供您參考。

On a non-GAAP basis, gross margins were 61.7%, operating expenses were 23.4% of sales and operating income was a record $579.3 million and 38.3% of sales.

按非美國通用會計準則計算，毛利率為 61.7%，營業費用佔銷售額的 23.4%，營業收入達到創紀錄的 5.793 億美元，佔銷售額的 38.3%。

Non-GAAP net income was a record $454.6 million.

非 GAAP 淨收入達到創紀錄的 4.546 億美元。

Non-GAAP earnings per diluted share was a record $1.81, which was $0.07 above the midpoint of our guidance of $1.74.

非 GAAP 每股攤薄收益達到創紀錄的 1.81 美元，比我們 1.74 美元的指引中點高出 0.07 美元。

On a GAAP basis, net sales in the September quarter were $1.433 billion, GAAP revenue was impacted by a significant reduction in the Microsemi distribution channel during the quarter, resulting in Microsemi distributor months of inventory being down to 2.6 months.

按 GAAP 計算，9 月季度的淨銷售額為 14.33 億美元，GAAP 收入受到本季度 Microsemi 分銷渠道大幅減少的影響，導致 Microsemi 分銷商的庫存月數降至 2.6 個月。

We believe that the current levels that distributors are holding are the amount the inventory needed to support end-market demand and that the inventory levels are in line with the levels maintained by our distributors for our historical business.

我們認為，分銷商目前持有的庫存量是支持終端市場需求所需的庫存量，並且庫存水平與我們的分銷商為我們的歷史業務維持的水平一致。

GAAP gross margins were 48.1% and include the impact of $3.9 million of share-based compensation, $184.4 million of acquisition-related and acquired inventory valuation and other costs, and $56.1 million impact from changes in distributor inventory levels.

GAAP 毛利率為 48.1%，其中包括 390 萬美元的股權補償、1.844 億美元的收購相關和收購庫存估值及其他成本的影響，以及 5610 萬美元的分銷商庫存水平變化的影響。

Total operating expenses were $586.6 million and include acquisition intangible amortization of $169.9 million; special charges of $18.2 million, $6.6 million of acquisition-related and other costs and share-based compensation of $37.5 million.

總運營費用為 5.866 億美元，包括收購無形資產攤銷 1.699 億美元；特別費用 1,820 萬美元，與收購相關的費用和其他費用 660 萬美元，以及基於股份的報酬 3,750 萬美元。

The GAAP net income was $96.3 million or $0.38 per diluted share and includes onetime tax benefits of $115.6 million related to a variety of matters including tax reserve releases due to audit settlements and statute of limitations expiring, tax reform and transition tax refinement and intercompany restructuring of intellectual property.

GAAP 淨收入為 9630 萬美元或每股攤薄收益 0.38 美元，包括與各種事項相關的 1.156 億美元的一次性稅收優惠，包括因審計和解和時效到期而釋放的稅收儲備、稅制改革和過渡稅細化以及公司間重組知識產權。

The non-GAAP cash tax rate was 3.5% in the September quarter and we expect a similar rate for all of fiscal 2019.

9 月季度的非 GAAP 現金稅率為 3.5%，我們預計 2019 年整個財政年度的稅率相似。

We expect our non-GAAP cash tax rate for fiscal '20 and fiscal '21 to be 5% or less, exclusive of the transition tax, any potential tax associated with restructuring the Microsemi operations and the Microchip global structure and any tax audit settlements related to taxes accrued in prior fiscal years.

我們預計 20 財年和 21 財年的非 GAAP 現金稅率為 5% 或更低，不包括過渡稅、與重組 Microsemi 業務和 Microchip 全球結構相關的任何潛在稅收以及任何相關的稅務審計結算以前財政年度應計的稅款。

We have many tax attributes and net operating losses, tax credits and interest deductions that will keep our cash tax payments low.

我們有許多稅收屬性和淨經營虧損、稅收抵免和利息減免，這將使我們的現金納稅額保持在較低水平。

The transition tax for the combined Microchip-Microsemi group is expected to be about $364 million, was recorded last fiscal year and will be paid over 8 years.

合併後的 Microchip-Microsemi 集團的過渡稅預計約為 3.64 億美元，已在上一財年記錄，並將在 8 年內支付。

We have posted a schedule of our projected transition tax payments on the Investor Relations page of our website.

我們已在我們網站的投資者關係頁面上發布了預計的過渡稅支付時間表。

For GAAP purposes, we had a significant tax benefit in the quarter for the variety of reasons I discussed earlier.

就 GAAP 而言，由於我之前討論過的各種原因，我們在本季度獲得了顯著的稅收優惠。

Moving on to the balance sheet.

轉到資產負債表。

Our inventory balance at September 30, 2018 was $836.7 million including $120.1 million of inventory markup from Microsemi required for GAAP purchase accounting.

截至 2018 年 9 月 30 日，我們的庫存餘額為 8.367 億美元，其中包括 GAAP 採購會計所需的 Microsemi 的 1.201 億美元庫存加價。

Excluding the inventory markup, we had 117 days of inventory at the end of September -- of the September quarter, which was down 2 days from the prior quarter levels.

不包括庫存加價，我們在 9 月底的 9 月季度有 117 天的庫存，比上一季度的水平下降了 2 天。

Inventory at our distributors in the September quarter were at 37 days compared to 40 days at the end of June.

9 月季度我們經銷商的庫存為 37 天，而 6 月底為 40 天。

As indicated earlier, we believe that our distributors are holding an appropriate level of inventory to support end-market demand.

如前所述，我們認為我們的分銷商持有適當水平的庫存以支持終端市場需求。

The cash flow from operating activities was a record $487.6 million in the September quarter.

9 月季度經營活動產生的現金流量達到創紀錄的 4.876 億美元。

As of September 30, the consolidated cash and total investment position was $464.2 million.

截至 9 月 30 日，綜合現金和總投資頭寸為 4.642 億美元。

We paid down $501 million of total debt in the September quarter and the net debt on the balance sheet reduced by $315.5 million.

我們在 9 月季度償還了 5.01 億美元的總債務，資產負債表上的淨債務減少了 3.155 億美元。

At September 30, our debt outstanding includes $3.1 billion of borrowings under our line of credit, $2.733 billion of Term Loan B, $2 billion in high-grade bonds and $4.481 billion of convertible debt.

截至 9 月 30 日，我們的未償債務包括 31 億美元的信用額度借款、27.33 億美元的定期貸款 B、20 億美元的高級債券和 44.81 億美元的可轉換債券。

Our net debt-to-EBITDA, excluding our very long-dated convertible debt that matures in 2037 and is more equity like in nature was 4.9 at September 30, 2018.

截至 2018 年 9 月 30 日，我們的淨債務與 EBITDA 之比為 4.9，不包括 2037 年到期且本質上更像股權的超長期可轉換債務。

Our leverage is higher than we originally projected, primarily due to lower EBITDA from the Microsemi business driven by needing to correct distribution inventory levels through lower shipment activity in the month of June as well as in the September 2018 quarter.

我們的槓桿率高於我們最初的預期，這主要是由於 Microsemi 業務的 EBITDA 較低，這是由於需要通過 6 月份和 2018 年 9 月季度較低的出貨活動來糾正分銷庫存水平。

As indicated earlier, we believe the distribution inventory correction from Microsemi is essentially complete.

如前所述，我們認為 Microsemi 的分銷庫存修正基本完成。

We are committed to using substantially all of our excess cash generation beyond our dividend payment to reduce our debt levels and we expect our debt levels to reduce significantly over the next several years.

我們致力於使用除股息支付之外的所有超額現金來降低我們的債務水平，我們預計我們的債務水平將在未來幾年內顯著降低。

Our net leverage metrics are based on 12-month trailing EBITDA, which will continue to provide some headwinds due to the significant distribution inventory reductions which caused our shipment activity to be significantly less than end-market demand for the past 2 quarters as well as our guidance for the December 2018 quarter.

我們的淨槓桿指標基於過去 12 個月的 EBITDA，這將繼續帶來一些不利因素，因為分銷庫存大幅減少導致我們的發貨活動大大低於過去 2 個季度的終端市場需求以及我們的2018 年 12 月季度的指導。

Capital expenditures were $72 million in the September 2018 quarter.

2018 年 9 月季度的資本支出為 7200 萬美元。

We expect about $50 million in capital spending in the December quarter, and overall capital expenditures for fiscal year 2019 to be about $230 million to $250 million.

我們預計 12 月季度的資本支出約為 5000 萬美元，2019 財年的總體資本支出約為 2.3 億美元至 2.5 億美元。

We continue to add capital to support the growth of our production capabilities for our fast-growing new products and technologies and to bring in-house more of the assembly and test operations that are currently outsourced.

我們繼續增加資本以支持我們快速增長的新產品和技術的生產能力的增長，並將更多目前外包的組裝和測試業務引入內部。

These capital investments will bring some gross margin improvement to our business, particularly for the Atmel and Microsemi manufacturing activities that we are bringing into our own factories.

這些資本投資將為我們的業務帶來一定的毛利率改善，特別是對於我們正在引入我們自己工廠的 Atmel 和 Microsemi 製造活動。

Depreciation expense in the September quarter was $47.2 million.

9 月季度的折舊費用為 4720 萬美元。

I will now turn it over to Ganesh to give his comments on the performance of the business in the September quarter and provide an update on some of the Microsemi integration activities.

我現在將其轉交給 Ganesh，讓他對 9 月季度的業務表現發表評論，並提供一些 Microsemi 集成活動的最新情況。

Ganesh?

像頭神？

Thank you, Eric, and good afternoon, everyone.

謝謝埃里克，大家下午好。

As I review our product line performance, please bear in mind that the September quarter has a full quarter of contribution from Microsemi, while the June quarter only had a month of contribution from Microsemi.

在我回顧我們的產品線性能時，請記住，9 月季度有整個季度來自 Microsemi 的貢獻，而 6 月季度只有一個月來自 Microsemi 的貢獻。

This, along with the fact that Microsemi revenue only maps into 4 of the 6 product line reporting categories we have, will in some cases distort the quarter-over-quarter comparisons of revenue by product line.

這一點，以及 Microsemi 收入僅映射到我們擁有的 6 個產品線報告類別中的 4 個這一事實，在某些情況下會扭曲產品線收入的季度比較。

Taking a closer look at microcontrollers.

仔細看看微控制器。

Our microcontroller business was sequentially up 12.6% as compared to the June quarter.

與 6 月季度相比，我們的微控制器業務環比增長 12.6%。

This benefited from a full quarter of Microsemi contribution in September as compared to a partial quarter for June.

與 6 月份的部分季度相比，這得益於 9 月份 Microsemi 的整個季度貢獻。

Our September quarter microcontroller revenue annualizes at almost $3.3 billion, putting us within striking distance in the next few years of the 2 industry players who were ahead of us in the 2017 microcontroller rankings.

我們 9 月季度的微控制器年收入接近 33 億美元，這使我們在未來幾年內與在 2017 年微控制器排名中領先於我們的 2 個行業參與者相距甚遠。

Our microcontroller portfolio continues to expand with several new product introductions, our road maps remain strong, and our design-in funnel is robust.

我們的微控制器產品組合繼續擴展，推出了幾款新產品，我們的路線圖仍然很強大，我們的設計渠道也很強大。

We see all of these as positive indicators for future growth.

我們將所有這些視為未來增長的積極指標。

We believe we have the new product momentum and customer engagement to continue to gain even more share in the future.

我們相信我們擁有新產品的動力和客戶參與度，可以在未來繼續獲得更多份額。

Now moving to analog.

現在轉向模擬。

Our analog business was sequentially up 33.6% as compared to the June quarter.

與 6 月季度相比，我們的模擬業務環比增長 33.6%。

This, too, benefited from a full quarter of Microsemi contribution in September as compared to a partial quarter for June.

與 6 月份的部分季度相比，這也得益於 9 月份 Microsemi 的整個季度貢獻。

Our September quarter analog revenue annualizes at over $1.75 billion, firmly in the top 10 of analog semiconductor players.

我們 9 月季度的模擬收入年化收入超過 17.5 億美元，穩居模擬半導體廠商前 10 名。

With Microchip 2.0 and our total system solution's approach, we expect to continue to grow and gain further analog market share.

憑藉 Microchip 2.0 和我們的整體系統解決方案方法，我們期望繼續增長並獲得更多的模擬市場份額。

Next up is our FPGA business, which came to Microchip through the Microsemi acquisition.

接下來是我們的 FPGA 業務，它是通過收購 Microsemi 進入 Microchip 的。

Our FPGA revenue hit an all-time record, even after going back through the Microsemi and Actel history.

即使回顧 Microsemi 和 Actel 的歷史，我們的 FPGA 收入也創下了歷史新高。

Our low-power midrange PolarFire family continues to garner strong market acceptance, with revenue more than doubling sequentially as compared to the end-market consumption in the full June quarter.

我們的低功耗中端 PolarFire 系列繼續獲得強烈的市場認可，與整個 6 月季度的終端市場消費相比，收入環比翻了一番多。

Despite being a new product category for Microchip, we're optimistic about the prospects for the FPGA product line based on the highly defensible markets and applications they're designed into as well as the intense design-win focus and broad-based market application and customer-focus required.

儘管它是 Microchip 的一個新產品類別，但我們對 FPGA 產品線的前景持樂觀態度，因為它們基於其設計的高度防禦性市場和應用程序以及強烈的設計獲勝重點和廣泛的市場應用程序和需要以客戶為中心。

These requirements are very similar to Microchip's microcontroller business requirements and, therefore, we expect the FPGA product line will very nicely leverage our capabilities.

這些要求與 Microchip 的微控制器業務要求非常相似，因此，我們預計 FPGA 產品線將很好地利用我們的能力。

Moving next to our licensing business.

接下來是我們的許可業務。

This business was sequentially up 40.3% as compared to the June quarter.

與 6 月季度相比，該業務環比增長 40.3%。

We achieved an all-time record for our royalty revenue.

我們的特許權使用費收入創下歷史新高。

Additionally, our results also benefited from the sale of a patent license for a specific set of patents that can be used in a noncompetitive field of play.

此外，我們的結果還得益於出售一組特定專利的專利許可，這些專利可用於非競爭性競爭領域。

We did anticipate this patent license to close in the September quarter and included it in our guidance.

我們確實預計該專利許可將在 9 月季度結束，並將其納入我們的指導中。

We continue to retain indefinite rights for these patents for the fields of play that are of interest to us.

對於我們感興趣的遊戲領域，我們繼續保留這些專利的無限期權利。

Even without the patent license sale, the September quarter licensing business revenue was sequentially up from June.

即使沒有專利許可銷售，9 月季度許可業務收入也比 6 月環比上升。

Let me share some background as to our thinking in regards to patent licensing.

讓我分享一些關於我們在專利許可方面的想法的背景。

We have inherited a substantial patent portfolio from the companies we acquired over the last 10 years.

我們從過去 10 年收購的公司那裡繼承了大量專利組合。

Several quarters ago, based on licensing requests we were receiving, our licensing business unit embarked on a strategy to monetize certain patents which have value to players' noncompetitive fields of play.

幾個季度前，根據我們收到的許可請求，我們的許可業務部門開始實施一項戰略，將某些對玩家的非競爭性領域有價值的專利貨幣化。

In all cases, we retain rights to use these patents in our products as well.

在所有情況下，我們也保留在我們的產品中使用這些專利的權利。

The first results from this monetizing effort is what we saw in the September quarter results.

我們在 9 月季度的結果中看到了這種貨幣化努力的第一個結果。

There is a second such patent license sale for a specific set of patents, which is in the advanced stages of negotiation and is included in our guidance for the December quarter.

針對一組特定專利進行第二次此類專利許可銷售，處於談判的後期階段，並包含在我們對 12 月季度的指導中。

Investors should expect that the revenue contribution in the future from this effort will be a little lumpy from quarter-to-quarter.

投資者應該預料到，這項努力未來的收入貢獻將在每個季度之間略有起伏。

Our memory business was sequentially down 3.8% in the September quarter as compared to the June quarter.

與 6 月季度相比，我們的內存業務在 9 月季度環比下降 3.8%。

And finally, our MMO, which stands for multi-market and other business, was up 90.7% sequentially as we had a full quarter of Microsemi contribution in the September quarter as compared to just a month in the June quarter.

最後，我們代表多市場和其他業務的 MMO 連續增長 90.7%，因為我們在 9 月季度有整個季度的 Microsemi 貢獻，而 6 月季度只有一個月。

On a combined company basis, which has a full quarter of Microchip and Microsemi, our second quarter fiscal 2019 non-GAAP end-market demand revenue of $1.51 billion was split across the 6 product lines we report as follows: Microcontrollers were 54.2%; analog was 29%; FPGA was 6%; memory was 3.1%; licensing was 2.5%; and MMO is 5.2%.

在合併後的公司基礎上，我們的 2019 財年第二季度非 GAAP 終端市場需求收入為 15.1 億美元，分為我們報告的 6 個產品線，如下所示：微控制器為 54.2%；模擬為 29%； FPGA為6%；記憶力為3.1%；許可率為2.5%； MMO為5.2%。

We expect this will be the approximate forward going revenue percentages by product line and that quarter-to-quarter changes from here onwards will be relatively small.

我們預計這將是按產品線劃分的大致未來收入百分比，並且從這裡開始的季度間變化將相對較小。

Now an update on the Microsemi integration progress.

現在更新 Microsemi 集成進度。

The business unit integration continues to progress well.

業務部門整合繼續順利進行。

We are restructuring underperforming businesses while implementing the strengths and best practices from both companies to drive improvements across the board.

我們正在重組表現不佳的業務，同時利用兩家公司的優勢和最佳實踐來推動全面改進。

The key Microsemi business unit leaders we retained continue to run their businesses and are adapting to the Microchip culture and business expectations.

我們保留的主要 Microsemi 業務部門領導繼續經營他們的業務，並正在適應 Microchip 的文化和業務期望。

New product development and design-win momentum are continuing to happen as planned.

新產品開發和設計取胜勢頭正在按計劃繼續發生。

The sales integration is also progressing well.

銷售整合也進展順利。

We have converted the Microsemi sales team to a Microchip-style noncommissioned sales approach.

我們已將 Microsemi 銷售團隊轉變為 Microchip 風格的非委託銷售方式。

Teams from classic Microchip and Microsemi are working collaboratively as one team to drive new opportunities and pursue product cross-selling opportunities.

來自經典 Microchip 和 Microsemi 的團隊作為一個團隊協同工作，以推動新的機會並尋求產品交叉銷售機會。

Our internal reference designs are increasingly taking advantage of our combined total system solutions approach.

我們的內部參考設計越來越多地利用我們組合的整體系統解決方案方法。

A comprehensive analysis of our new channels and channel partners from the Microsemi acquisition was completed and we're making the adjustments required for an effective combined company approach.

我們已經完成了對 Microsemi 收購後的新渠道和渠道合作夥伴的全面分析，我們正在進行有效的合併公司方法所需的調整。

The operations integration work is an enormously complex undertaking as little to no integration of prior Microsemi acquisitions had taken place.

運營整合工作是一項極其複雜的工作，因為之前的 Microsemi 收購幾乎沒有進行過整合。

Because of the size of the business and the absence of ERP integration by Microsemi, the business system and operation integration will be done in phases.

由於業務規模和美高森美未進行ERP整合，業務系統和運營整合將分階段進行。

The first phase for one of the business units went live on November 1 successfully.

其中一個業務部門的第一階段於 11 月 1 日成功上線。

Further phases are being -- have been planned with a quarterly cadence of go-live events for many quarters.

進一步的階段正在 - 已計劃在許多季度按季度節奏進行上線活動。

We expect the overall operational integration will take about 2 more years to complete.

我們預計整體運營整合將需要大約 2 年時間才能完成。

From a factory standpoint, the initial plans for insourcing some of what Microsemi was outsourcing have been completed and prioritized actions to execute these plans have commenced.

從工廠的角度來看，將 Microsemi 外包的部分內容內包的初步計劃已經完成，並且已經開始執行這些計劃的優先行動。

In the G&A functions, we eliminated some more of the support organizational redundancies and more will happen after we get further along with our business system and operational integration plans.

在 G&A 職能中，我們消除了更多的支持組織冗餘，在我們進一步推進業務系統和運營整合計劃後，還會發生更多冗餘。

Let me now pass it to Steve for some comments about our business and our guidance going forward.

現在讓我把它轉交給史蒂夫，徵求他對我們的業務和我們未來的指導的一些評論。

Steve?

史蒂夫？

Thank you, Ganesh, and good afternoon, everyone.

謝謝 Ganesh，大家下午好。

Today, I would like to first reflect on the results of the fiscal second quarter of 2019, I will then provide update on our progress at Microsemi.

今天，我想首先回顧一下 2019 財年第二季度的業績，然後我將提供我們在 Microsemi 的最新進展。

I will then provide guidance for the fiscal third quarter of 2019.

然後我將提供 2019 財年第三季度的指導。

Our September quarter financial results were good.

我們的 9 月季度財務業績良好。

Our consolidated non-GAAP net sales came in just about the midpoint of our guidance that we issued on August 9, 2018.

我們的合併非 GAAP 淨銷售額正好位於我們於 2018 年 8 月 9 日發布的指引的中點。

Our consolidated non-GAAP gross margin was strong at 61.7% of sales.

我們的綜合非 GAAP 毛利率強勁，佔銷售額的 61.7%。

Microchip classic non-GAAP operating margin was an all-time record.

Microchip 經典的非 GAAP 營業利潤率創歷史新高。

Consolidated non-GAAP operating profit, including Microsemi, was 38.3% of sales and near the high end of our guidance.

包括 Microsemi 在內的合併非 GAAP 營業利潤佔銷售額的 38.3%，接近我們指導的高端。

Our consolidated non-GAAP EPS was an all-time record at $1.81 and near the high-end of our guidance.

我們的綜合非 GAAP 每股收益為 1.81 美元，創歷史新高，接近我們指導的高端。

There was a strong EPS contribution from both classic Microchip and Microsemi, the accretion from Microsemi exceeded our original guidance of $0.15 for the September quarter.

經典的 Microchip 和 Microsemi 都對 EPS 做出了強勁的貢獻，Microsemi 的增長超過了我們對 9 月季度 0.15 美元的原始指導。

This was based on non-GAAP revenue, which is based on distribution sell-through and is representative of real market demand.

這是基於非 GAAP 收入，它基於分銷銷售，代表了真實的市場需求。

On non-GAAP basis, this was also our 112th consecutive profitable quarter.

在非 GAAP 基礎上，這也是我們第 112 個連續盈利的季度。

Now let me provide you some update on the progress we have made with the Microsemi integration.

現在讓我向您介紹我們在 Microsemi 集成方面取得的進展的最新情況。

First, to distribution inventory.

首先，要分配庫存。

We had told you last quarter that we will complete a distribution inventory reduction in 2 quarters, September and December.

我們在上個季度告訴過您，我們將在 9 月和 12 月這兩個季度完成分銷庫存減少。

I am pleased to report that with a lot of work by the combined teams of Microchip and Microsemi and in cooperation with the distributors, we almost completed the inventory reduction in 1 quarter.

我很高興地報告，在 Microchip 和 Microsemi 聯合團隊的大量工作以及與分銷商的合作下，我們幾乎在 1 個季度完成了庫存削減。

The distribution inventory at the end of September was 2.62 months, down from about 4 months prior to the closing of the acquisition.

9 月底的分銷庫存為 2.62 個月，低於收購完成前的約 4 個月。

This level of inventory we believe is the level distributors need to support end-market demand and is in line with the level maintained by distributors for Microchip classic business.

我們認為這一庫存水平是分銷商支持終端市場需求所需的水平，並且符合分銷商為 Microchip 經典業務維持的水平。

This was accomplished without any negative impact on distribution sales out, the non-GAAP net sales from Microsemi based on direct shipments and distribution sales out was an all-time record.

這是在對分銷銷售沒有任何負面影響的情況下實現的，Microsemi 基於直接發貨和分銷銷售的非 GAAP 淨銷售額創下歷史新高。

Second is termination of deals.

二是終止交易。

Since closing the Microsemi acquisition on May 29, 2018, we terminated deals, discounts and subsidies that were used prior to the acquisition in connection with sales into distribution and contract manufacturers.

自 2018 年 5 月 29 日完成對 Microsemi 的收購以來，我們終止了在收購之前使用的與向分銷商和合同製造商銷售相關的交易、折扣和補貼。

For example, we canceled the Arrow supply assurance program concerning sales into the channel of end-of-life product.

例如，我們取消了 Arrow 供應保證計劃，該計劃涉及將報廢產品銷售到渠道。

At acquisition close, there was approximately $47 million of inventory in distribution under this Arrow supply assurance program.

在收購結束時，根據 Arrow 供應保證計劃，大約有 4700 萬美元的庫存在分配。

We won't take any inventory back but we will not ship any more into distribution under that program.

我們不會收回任何庫存，但我們不會再根據該計劃運送任何庫存。

We also canceled an interest subsidy that was offered to some distributors to compensate them based on the inventory they held.

我們還取消了向一些分銷商提供的利息補貼，以根據他們持有的庫存來補償他們。

We also canceled a production incentive program under which there was a discount offered to contract manufacturers to take additional inventory.

我們還取消了一項生產激勵計劃，該計劃向合同製造商提供折扣以增加庫存。

Cancellation of this program has had no negative impact on contract manufacturers willingness to purchase the product they need.

取消該計劃對合同製造商購買所需產品的意願沒有負面影響。

Finally, there were a number of OEM customers that were transferred to distribution and then the inventory shipped into distribution.

最後，有一些 OEM 客戶被轉移到分銷，然後將庫存運送到分銷。

This resulted in lower margin for Microsemi.

這導致 Microsemi 的利潤率較低。

As of today, we have transferred many of those customers that account for about $110 million of annualized revenue back to direct customers.

截至今天，我們已將佔年收入約 1.1 億美元的許多客戶轉移回直接客戶。

So overall, we are pleased that we were able to reduce some Microsemi distribution inventory very rapidly.

總的來說，我們很高興我們能夠非常迅速地減少一些 Microsemi 分銷庫存。

There was one business unit, called the High-Reliability Discrete Products business unit, where the inventory at the end of June was very high at 8.6 months.

有一個業務部門，稱為高可靠性分立產品業務部門，該部門 6 月底的庫存非常高，為 8.6 個月。

At the end of September, we had brought it down to 6.7 months.

9 月底，我們將其縮短至 6.7 個月。

We are continuing to reduce the inventory for this business unit further.

我們將繼續進一步減少該業務部門的庫存。

The shipments are now quite linear.

出貨量現在非常線性。

In the 4 quarters prior to being acquired by Microchip, about 57% of Microsemi's quarterly sell-in revenue was shipped in the last month of the quarter.

在被 Microchip 收購之前的 4 個季度中，Microsemi 約 57% 的季度銷售收入是在本季度的最後一個月發貨的。

In the September 2018 quarter, only 31% of sell-in revenue for Microsemi products was shipped in the third month.

在 2018 年 9 月的季度，Microsemi 產品的銷售收入中只有 31% 是在第三個月發貨的。

Now next is Microsemi internal inventory.

接下來是 Microsemi 內部庫存。

It is obvious that, as we reduce the distribution inventory, the inventory that Microsemi would grow substantially unless we took corrective actions in the factories and subcontractors by cutting production targets.

很明顯，隨著我們減少分銷庫存，Microsemi 的庫存將大幅增加，除非我們通過削減生產目標在工廠和分包商中採取糾正措施。

And that is what we did.

這就是我們所做的。

Fortunately, a very large amount of Microsemi business was done from wafer foundries and assembly and test subcontractors.

幸運的是，Microsemi 的大量業務是由晶圓代工廠和組裝測試分包商完成的。

We aggressively cut wafer starts at the foundries and loadings at assembly test subcontractors.

我們積極減少代工廠的晶圓啟動和組裝測試分包商的裝載量。

Microsemi had several small fabs and assembly locations owned by Microsemi, we cut loadings in these factories quite substantially, some of them as much as 50%.

美高森美有幾家小型晶圓廠和組裝廠，這些工廠屬於美高森美，我們大幅削減了這些工廠的負荷，其中一些高達 50%。

We let go of temporary workers in many of these facilities and implemented temporary plant shutdowns to control inventory.

我們解雇了其中許多工廠的臨時工，並實施了工廠臨時停工以控制庫存。

Microsemi did not produce a high percentage of their products inside.

Microsemi 內部生產的產品比例並不高。

So the gross margin impact was fairly small.

因此，毛利率的影響相當小。

We maintained over 61% overall gross margin for Microsemi.

我們維持 Microsemi 超過 61% 的整體毛利率。

We believe that the under-loadings of the factories got somewhat counterbalanced by the discontinuance of all the discounts.

我們認為，工廠的負荷不足在某種程度上被所有折扣的停止所抵消。

But as I have said before, the results are going to be a bit noisy for a couple of quarters.

但正如我之前所說，幾個季度的結果會有點嘈雜。

At the end of September, the overall inventory -- internal inventory at Microchip, including Microsemi, was 117 days, down 2 days from 119 days at the end of June quarter.

9 月底，包括 Microsemi 在內的 Microchip 的整體庫存——內部庫存為 117 天，比 6 月底季度末的 119 天減少了 2 天。

So we did a great job in controlling internal inventories.

所以我們在控制內部庫存方面做得很好。

Now this may all -- this may seem all too easy after the fact, but there was a tremendous focus and amount of work that went into reducing the distribution inventory and at the same time, ensuring that our internal inventory does not balloon up.

現在這一切可能——事後這似乎太容易了，但在減少分銷庫存方面投入了巨大的精力和大量的工作，同時確保我們的內部庫存不會膨脹。

We have multiple joint teams from Microchip and Microsemi, some focused on distribution inventory reduction, others focused on controlling internal factory production and others managing reduction of foundry wafer starts and assembly and test loadings.

我們有多個來自 Microchip 和 Microsemi 的聯合團隊，一些專注於減少分銷庫存，另一些專注於控制內部工廠生產，還有一些管理減少代工晶圓啟動以及組裝和測試負載。

So while addressing the inventory has provided some headwind on the distribution sell-in-driven GAAP revenue including sales to contract manufacturers, the non-GAAP revenue for distribution, which is based on sell-through, has not been affected.

因此，雖然解決庫存問題對分銷銷售驅動的 GAAP 收入（包括向合同製造商的銷售）造成了一些不利影響，但基於銷售的非 GAAP 分銷收入並未受到影響。

I'm pleased that Microsemi business achieved a record non-GAAP net sales based on end-market demand.

我很高興 Microsemi 業務基於終端市場需求實現了創紀錄的非 GAAP 淨銷售額。

The second issue we highlighted last quarter was extravagance.

我們上個季度強調的第二個問題是奢侈。

In this area, we had been moving aggressively to implement Microchip's frugal expense culture.

在這方面，我們一直在積極實施 Microchip 的節儉開支文化。

We have shut down the executive floor at the Microsemi headquarter building, canceled the private jet account, terminated or sold many of the sports' skyboxes, canceled golf and auto racing sponsorships and substantially pruned many memberships.

我們關閉了 Microsemi 總部大樓的行政樓層，取消了私人飛機賬戶，終止或出售了許多體育運動的天空包廂，取消了高爾夫和賽車贊助，並大幅削減了許多會員資格。

As we reduced inventory and spending, Microsemi business has continued to do well.

隨著我們減少庫存和支出，Microsemi 業務繼續表現良好。

This was a narrative from the beginning that Microsemi has very good engineering teams and has very good products.

這是從一開始就說美高森美擁有非常優秀的工程團隊和非常好的產品。

The customers' sockets are sticky and there are good end-market opportunities for the combined company.

客戶的插座很粘，合併後的公司有很好的終端市場機會。

Our strategy for the better part of this decade has been to buy businesses and turn them into world-class performers in the likes of Microchip.

在這十年的大部分時間裡，我們的戰略一直是收購企業，並將它們變成像 Microchip 這樣的世界級企業。

Here, we are starting with excellent products, excellent gross margins and excellent engineering teams.

在這裡，我們從優秀的產品、優秀的毛利率和優秀的工程團隊開始。

With the distributor and contract manufacturing inventories reduced and with Microchip's operating expense approach, we are optimistic about achieving our long-term targets for accretion from Microsemi.

隨著分銷商和合同製造庫存的減少以及 Microchip 的運營費用方法，我們對實現我們從 Microsemi 增加的長期目標持樂觀態度。

So far, we are ahead of our original targets.

到目前為止，我們已經領先於最初的目標。

I also want to provide you one more figure.

我還想再給你一張圖。

In the September quarter, we paid $501 million of our debt.

在 9 月季度，我們償還了 5.01 億美元的債務。

This was accomplished by squeezing all the cash out of nearly 100 subsidiaries around the world.

這是通過壓榨全球近 100 家子公司的所有現金來實現的。

We could not have done it without the new tax law.

如果沒有新的稅法，我們不可能做到這一點。

Despite the large debt pay down in the September quarter, the debt leverage has not moved, though, primarily because the EBITDA has dropped driven by lower GAAP revenue of Microsemi and also some softness in the Microchip classic business.

儘管 9 月季度債務大幅減少，但債務槓桿並沒有改變，這主要是因為 EBITDA 下降是由於 Microsemi 的 GAAP 收入較低以及 Microchip 經典業務的一些疲軟。

I also want to provide you update on our classic Microchip business.

我還想向您介紹我們經典的 Microchip 業務的最新動態。

All of the issues that I highlighted last quarter that were built into our guidance essentially came true.

我在上個季度強調的所有問題，這些問題已納入我們的指導方針，基本上都實現了。

I had described 4 concerns: First, long lead times for some of the passive components.

我描述了 4 個問題：首先，一些無源元件的交貨時間過長。

This issue did affect some sales as we expected since the customers could not complete the whole kit.

正如我們預期的那樣，這個問題確實影響了一些銷售，因為客戶無法完成整個套件。

Number two, tariffs.

第二，關稅。

While we were one of the first to highlight the risk of tariffs and trade war, this issue caught investor and analyst attention during the quarter for the whole industry.

雖然我們是最先強調關稅和貿易戰風險的公司之一，但這個問題在本季度引起了整個行業投資者和分析師的關注。

We saw a significant impact on our business during the quarter due to customer concerns about tariffs and we saw a significant weakening of our bookings.

由於客戶對關稅的擔憂，我們在本季度看到對我們的業務產生重大影響，我們看到我們的預訂量顯著減弱。

We believe that tariff and related customer concerns will continue to be an issue.

我們認為關稅和相關客戶的擔憂將繼續成為一個問題。

Number three, ZTE.

第三，中興通訊。

We saw some impact for not being fully able to ship to ZTE for both Microchip and Microsemi.

我們看到了 Microchip 和 Microsemi 無法完全向中興通訊發貨的一些影響。

Despite the release from the Justice Department, there has been some demand destruction at ZTE.

儘管司法部發布了消息，但中興通訊還是出現了一些需求破壞。

And number four, bitcoins.

第四，比特幣。

The bitcoin business has essentially evaporated.

比特幣業務基本上蒸發了。

It was about 1% of our business, supplying microcontrollers and power management products for the power supplies as well as ethernet controllers.

它約占我們業務的 1%，為電源和以太網控制器提供微控制器和電源管理產品。

Now, I will provide you guidance for the December quarter.

現在，我將為您提供 12 月季度的指導。

The guidance we provided for the September quarter, which reflected our caution on business conditions, turned out in retrospect to be spot on and was the harbinger for broader industry weakness.

我們為 9 月季度提供的指引反映了我們對商業環境的謹慎態度，回想起來是正確的，並且預示著更廣泛的行業疲軟。

We continue to be cautious about the outlook for the December quarter.

我們繼續對 12 月季度的前景持謹慎態度。

We see weak market conditions for automotive and industrial, our 2 largest markets.

我們看到汽車和工業這兩個最大市場的市場狀況疲軟。

Automotive business is negatively impacted by emission testing bottlenecks in Europe, as well as weakness in China.

汽車業務受到歐洲排放測試瓶頸以及中國疲軟的負面影響。

The industrial business is negatively impacted by tariffs.

工業企業受到關稅的負面影響。

On the other hand, communication, data center and aerospace and defense businesses are seeing strength.

另一方面，通信、數據中心以及航空航天和國防業務表現強勁。

With all this commentary, we expect our total non-GAAP net sales to be down 5% to 10% sequentially.

通過所有這些評論，我們預計我們的非 GAAP 淨銷售額將連續下降 5% 至 10%。

We expect our non-GAAP gross margin to be between 61% and 61.5% of sales.

我們預計我們的非 GAAP 毛利率將在銷售額的 61% 至 61.5% 之間。

We expect non-GAAP operating expenses to be between 24.9% and 25.4% of sales, and we expect non-GAAP operating profit percentage to be between 35.6% and 36.6% of sales.

我們預計非 GAAP 營業費用佔銷售額的 24.9% 至 25.4%，我們預計非 GAAP 營業利潤佔銷售額的百分比在 35.6% 至 36.6% 之間。

And we expect non-GAAP earnings per share to be between $1.49 and $1.64 per share.

我們預計非 GAAP 每股收益在 1.49 美元至 1.64 美元之間。

Given all the complications of accounting for the acquisitions including amortization of intangibles, restructuring charges, inventory write-up on acquisitions and changes in distribution inventory, Microchip will continue to provide guidance and track its results on non-GAAP basis.

考慮到收購會計的所有復雜性，包括無形資產攤銷、重組費用、收購庫存增記和分銷庫存變化，Microchip 將繼續提供指導並在非 GAAP 基礎上跟踪其結果。

We believe that non-GAAP results provide more meaningful comparison to prior quarters, and we request that the analysts continue to report their non-GAAP estimates to First Call.

我們認為，非 GAAP 結果與前幾個季度相比更有意義，我們要求分析師繼續向 First Call 報告他們的非 GAAP 估計。

With this operator, will you please poll for questions?

有了這個接線員，你能輪詢一下問題嗎？

(Operator Instructions) We'll hear first today from Christopher Rolland with Susquehanna.

（操作員說明）我們今天將首先聽到克里斯托弗·羅蘭和薩斯奎哈納的消息。

So Steve, maybe you can just elaborate a little bit more on some of the end markets there.

所以史蒂夫，也許你可以詳細說明那裡的一些終端市場。

You had a little bit more detail than others did perhaps on auto, maybe talk about industrial as well.

你比其他人在汽車方面做的更多一些細節，也許也談論工業。

And then some bright points maybe within data center and comms, maybe that's your optical business that you might be pointing to.

然後一些亮點可能在數據中心和通信中，也許這就是您可能指向的光學業務。

Any more details there would be great.

任何更多的細節都會很棒。

Well, if you look at the auto business, we highlighted 2 areas.

好吧，如果你看一下汽車業務，我們強調了兩個領域。

One is there was a new emission standard implemented in Europe effective September 1. There was a 1-year notice on it almost from September 1 of the prior year.

一是歐洲從 9 月 1 日起實施了新的排放標準。幾乎從前一年的 9 月 1 日起就發布了為期 1 年的通知。

However, testing agencies couldn't build up the capacity to test all the car production.

然而，測試機構無法建立測試所有汽車生產的能力。

So there was a significant bottleneck for cars waiting to be tested, which brought the European car production down.

因此，等待測試的汽車出現了嚴重的瓶頸，導致歐洲汽車產量下降。

And the whole China economy has been weak due to various reasons, some incentives were taken away, the concerns about tariffs in Chinese production and all sorts of other reasons, the China automotive market has been weak.

由於各種原因，整個中國經濟一直疲軟，一些激勵措施被取消，對中國生產關稅的擔憂以及各種其他原因，中國汽車市場一直疲軟。

In the industrial area, the concerns are mainly tariffs.

在工業領域，主要關注的是關稅。

So both driven by Chinese end products coming to U.S., which have a 10% duty today, going to 25% in January.

因此，這兩者都受到進入美國的中國終端產品的推動，這些產品今天的關稅為 10%，1 月份將提高到 25%。

So there are a lot of people concerned about whether they will be competitive or not in selling products in the U.S. And because of weak Chinese economy, industrial is weak in China, too.

所以有很多人擔心他們在美國銷售產品是否具有競爭力。而且由於中國經濟疲軟，中國的工業也很疲軟。

The 3 markets which are doing stronger are data center, communication and defense and aerospace.

表現強勁的三個市場是數據中心、通信和國防以及航空航天。

If I take them in the reverse order, defense and aerospace, I think after years of drawing down defense spending, the defense and aerospace spending has been on the way up.

如果我把它們倒過來，國防和航空航天，我認為在國防開支減少多年之後，國防和航空航天開支一直在上升。

And we are very broadly designed in into essentially every single weaponry system, every single aircraft, helicopters and others.

我們被廣泛地設計到基本上每一個武器系統、每架飛機、直升機和其他系統中。

So that part of the business is doing well.

所以這部分業務做得很好。

The data center business, I think you probably have seen some other companies with higher exposure to data center.

數據中心業務，我想你可能已經看到其他一些對數據中心有更高曝光率的公司。

Data center, cloud, hyperscalers and all that, that part of the business has been stronger.

數據中心、雲、超大規模器等等，這部分業務變得更強大了。

So that business did well last quarter and is stronger relative to the automotive and industrial and other businesses.

因此，該業務上個季度表現良好，並且相對於汽車、工業和其他業務而言更為強勁。

And third is the communication.

第三是溝通。

I think we also see the communication business doing well.

我認為我們也看到通信業務表現良好。

And you guys have talked about this potential weakness that we're seeing from most guys out there in the market a little bit earlier.

你們已經談到了我們早些時候從市場上的大多數人那裡看到的潛在弱點。

Some, however, haven't guided for much weakness at all.

然而，有些人根本沒有指導太多的弱點。

Do you think that, perhaps, they're going to see it a little bit later and you might be working through this process a little bit earlier?

您是否認為，也許他們會晚一點看到它，而您可能會早一點完成這個過程？

And then are there any signs of stabilization in late October or early November?

那麼10月下旬或11月初是否有企穩的跡象？

Well, we're not going to talk about what other companies have said, or what may happen to other industry players.

好吧，我們不會談論其他公司所說的，或者其他行業參與者可能會發生什麼。

I think you should ask them.

我覺得你應該問問他們。

Regarding Microchip, we first saw some impact in June quarter.

關於 Microchip，我們首先在 6 月這個季度看到了一些影響。

And what we were seeing in June, based on that, we had a fairly conservative guidance for the September quarter, and most people didn't talk about it till their results for the September quarter.

基於此，我們在 6 月看到的情況是，我們對 9 月季度有一個相當保守的指導，而且大多數人直到 9 月季度的結果才談論它。

So we were 4 months earlier before we saw it.

所以我們在看到它之前已經 4 個月了。

And that's not the first time.

這不是第一次了。

Numerous times in the past, we have seen the impact of industry events about 3, 4 months ahead of the others see it.

過去無數次，我們看到行業事件的影響比其他人提前大約 3、4 個月。

And we see it early and we always end early.

我們很早就看到它，我們總是很早就結束。

If we talk about the industry 4 months earlier, nobody tends to believe it because nobody else is talking about it and you're not seeing it.

如果我們在 4 個月前談論這個行業，沒有人會相信它，因為沒有其他人在談論它而你沒有看到它。

And, therefore, we start talking about the industry, we just talked about some factors that were affecting our business.

因此，我們開始談論這個行業，我們只是談論了一些影響我們業務的因素。

So it turned out we were correct again and everybody else saw it later.

所以事實證明我們又是對的，後來其他人都看到了。

And now on the other side, we always come out earlier.

現在在另一邊，我們總是早點出來。

But whenever we tell you that, that won't get believed either because others are not seeing it yet.

但無論何時我們告訴你，也不會被相信，因為其他人還沒有看到它。

So we're not fully ready to talk about the other end of the cycle yet.

所以我們還沒有完全準備好談論周期的另一端。

We'll hear next from Harsh Kumar with Piper Jaffray.

接下來我們將聽到 Piper Jaffray 的 Harsh Kumar 的講話。

Maybe one for Eric.

也許是給埃里克的。

Eric, I think you had cited a goal of 0.7 turns of delevering for, I believe, for this fiscal year.

埃里克，我認為你提到了本財年 0.7 次去槓桿化的目標。

Can you maybe talk about if that gets impacted at all with this environment and currently based on what you're seeing?

您能否談談這種環境是否會受到影響，並且目前基於您所看到的情況？

And also maybe one for Steve and I want to ask a follow-up after this.

也可能是給史蒂夫的，我想在這之後問一個後續問題。

Microchip was usually up in March.

Microchip 通常在 3 月份上漲。

I think mostly MSCC was just all over the place.

我認為主要是 MSCC 到處都是。

Maybe could you help us think about how we can think about modeling March just from your initial read on what you've seen in the business?

也許你能幫助我們思考一下，我們如何僅根據你對你在業務中所見所聞的初步閱讀來考慮對 March 進行建模？

Sure.

當然。

So I'll take the deleveraging one first and then pass it back to Steve.

所以我會先拿去槓桿化的，然後再把它傳回給史蒂夫。

But we made really good progress in terms of paying down debt.

但我們在償還債務方面取得了非常好的進展。

As both Steve and I mentioned in our prepared remarks, we took down $500 million of total debt, and on a net basis, $315.5 million.

正如史蒂夫和我在準備好的發言中提到的那樣，我們減少了 5 億美元的總債務，淨額為 3.155 億美元。

So did a really good job there of using all the cash that we could to pay down debt.

因此，我們在使用所有可能的現金來償還債務方面做得非常好。

We will continue to use substantially all of our excess cash generations after dividends to reduce our debt levels, and we expect our net leverage to decline dramatically over the next several years.

我們將繼續使用分紅後產生的所有多餘現金來降低債務水平，我們預計未來幾年我們的淨槓桿率將大幅下降。

Now with the correction of the Microsemi distribution inventory having a significant impact on our EBITDA in the June and September 2018 quarters, and then combining that with our guidance for the December 2018 quarter, our trailing 12-month EBITDA will have significant headwinds over the next year.

現在，隨著 Microsemi 分銷庫存的修正對我們 2018 年 6 月和 2018 年 9 月季度的 EBITDA 產生重大影響，然後將其與我們對 2018 年 12 月季度的指導相結合，我們過去 12 個月的 EBITDA 將在下一個季度面臨重大阻力年。

And our net debt-to-EBITDA will not trend down as fast as we had indicated back in August.

我們的淨債務對 EBITDA 的下降趨勢不會像我們在 8 月份所指出的那樣快。

But this is a very good cash flow business.

但這是一個現金流很好的生意。

Like I said, we'll continue to pay down debt.

就像我說的，我們將繼續償還債務。

But in the current quarter, we probably expect that debt pay down to be somewhere in the $160 million range.

但在本季度，我們可能預計債務償還額將在 1.6 億美元左右。

A broad range would be $150 million to $200 million, but we'll have to see how things trend here over the next few quarters to give you a longer-term forecast.

一個廣泛的範圍是 1.5 億美元到 2 億美元，但我們必須看看未來幾個季度的趨勢如何才能給你一個長期預測。

Got it.

知道了。

So I'll pick up the second question you had, which was regarding the March quarter.

所以我會回答你提出的第二個問題，這是關於三月份的季度。

So I remind investors that when we bought Atmel, it was not a small acquisition either.

所以我提醒投資者，我們收購Atmel的時候，也不是一個小的收購。

Atmel was about 40% to half of our business.

Atmel 約占我們業務的 40% 到一半。

And after we integrated Atmel, we didn't understand Atmel's seasonality for a while because companies on their own, their prior seasonality was based on sell-in, however they work with the distributors, the whole end market mix was different.

在我們整合 Atmel 之後，我們有一段時間不了解 Atmel 的季節性，因為公司本身，他們之前的季節性是基於銷售的，但是他們與分銷商合作，整個終端市場組合是不同的。

And after we had Atmel for an entire year or more than a year, we fully understood the impact of Atmel's seasonality on our business to be able to guide properly.

在我們擁有 Atmel 整整一年或一年多之後，我們充分了解了 Atmel 的季節性對我們業務的影響，以便能夠正確引導。

Same is the situation now with Microsemi.

Microsemi 現在的情況也是如此。

We don't fully understand Microsemi's seasonality.

我們不完全了解 Microsemi 的季節性。

We haven't had a March quarter with Microsemi in it.

我們還沒有 Microsemi 的 3 月季度。

And we do not consider the March quarter on Microsemi's clock to be a meaningful indicator for us regarding seasonality because that business was managed with a sell-in driven mentality, with a significantly high distribution inventory.

而且我們不認為 Microsemi 時鐘上的 3 月季度對我們來說是一個有意義的季節性指標，因為該業務是以銷售驅動的心態管理的，分銷庫存非常高。

Our guidance will be based on real market demand.

我們的指導將基於真實的市場需求。

So -- and the end markets for Microsemi are quite different, they're stronger in defense, stronger in data centers, stronger in communication, and almost no automotive, very little automotive and all that.

所以 - Microsemi 的終端市場非常不同，它們在防禦方面更強大，在數據中心方面更強大，在通信方面更強大，而且幾乎沒有汽車，很少有汽車等等。

So I'm not ready to talk about the March quarter in terms of guidance until we have some more experience on our belt in understanding their seasonality as well as being able to gauge the impact of the current correction when it is ending and how its impact would be in the March quarter.

因此，在我們了解其季節性以及能夠衡量當前調整結束時的影響及其影響方式方面有更多經驗之前，我不准備在指導方面談論 3 月季度將在三月季度。

We'll hear now from Craig Ellis with B. Riley.

我們現在將聽到 Craig Ellis 和 B. Riley 的講話。

I'll start with a clarification.

我將從澄清開始。

With respect to the strong performance on Microsemi inventory cleanup in the quarter, did that have a particular impact on any of the product segment revenues that you reported?

關於本季度 Microsemi 庫存清理的強勁表現，這是否對您報告的任何產品部門收入產生了特殊影響？

Or was the impact spread about equally among MCUs, analog and other businesses?

還是這種影響在 MCU、模擬和其他業務中平均分佈？

So it really did not have an impact on the sales out activity that Ganesh talked about, breaking it out by product lines.

因此，它確實對 Ganesh 談到的按產品線細分的銷售活動沒有影響。

So it was really just more of correcting the inventory sitting in distribution.

所以這實際上更多的是糾正分配中的庫存。

So I don't think there was really any end-market impact from the actions that we took.

因此，我認為我們採取的行動不會對終端市場產生任何影響。

We basically, we haven't broken out the sell-in data by product line.

基本上，我們沒有按產品線細分銷售數據。

We only have broken out sell-out data by product line, and that did not change based on the lowering the sell-in and cleaning up the inventory.

我們只按產品線細分了銷售數據，並沒有根據降低銷售和清理庫存而改變。

Yes.

是的。

Assuming we have the sell-in data in our public filings, in our 10-Q, but that doesn't really give you an indication of where the distribution inventory drain was by product line.

假設我們在我們的公開文件中有銷售數據，在我們的 10-Q 中，但這並不能真正告訴你產品線的分銷庫存流失在哪裡。

Got it.

知道了。

And then the follow-up.

然後是跟進。

There were a couple of references to accretion and I just wanted to clarify.

有幾個關於吸積的參考，我只是想澄清一下。

What was the exact amount of Microsemi earnings accretion in the quarter?

美高森美本季度盈利增長的確切數量是多少？

And Steve, are you retaining all the prior synergies and accretion targets, the $300 million in synergies as well as the $0.75 plus year 1 and the $8 in I believe fiscal '20 earnings?

史蒂夫，你是否保留所有先前的協同效應和增長目標，3 億美元的協同效應以及 0.75 美元加第一年和我相信 20 財年的 8 美元收益？

Yes.

是的。

We're not breaking out the exact numbers of Microsemi accretion because we're kind of managing it as one company.

我們沒有透露 Microsemi 增持的確切數字，因為我們有點像一家公司一樣管理它。

But we gave you an anecdote that the accretion in the September quarter was higher than the $0.15 for the September quarter we had originally guided.

但是我們給了你一個軼事，即 9 月季度的增長高於我們最初指導的 9 月季度的 0.15 美元。

And we feel very confident that, going out of the first year, the accretion would be higher than the $0.75 that we guided.

我們非常有信心，從第一年開始，增幅將高於我們指導的 0.75 美元。

And we remain committed to a longer-term accretion of -- or earnings per share of $8 that we guided before.

我們仍然致力於實現我們之前指導的長期增長或每股收益 8 美元。

There's a short-term impact based on this business cycle environment whatever 1, 2, 3 quarters at lasts.

基於這種商業周期環境，無論最後是 1、2、3 個季度，都會產生短期影響。

It doesn't really have long-term impact over a 3, 4 years because usually the bounce back gets you to back to where you were.

它在 3、4 年內並沒有真正的長期影響，因為反彈通常會讓你回到原來的狀態。

From SunTrust, we'll hear from William Stein.

從 SunTrust，我們將聽到 William Stein 的消息。

First, really more of a housekeeping one.

首先，真的更像是家政服務。

The share count was a little lower than expected in the quarter and in the outlook.

本季度和展望中的股票數量略低於預期。

Is that just owing to share price and the treasury method accounting for average shares in the quarter?

這僅僅是因為股價和財務方法佔本季度的平均份額嗎？

Or is there something else going on there?

還是那裡發生了其他事情？

No, that's exactly what it is.

不，事實就是如此。

We post a schedule on our Investor Relation page under Supplemental Financial Information that walks through what the share count approximately would be based on various prices.

我們在“補充財務信息”下的“投資者關係”頁面上發布了一份時間表，其中介紹了基於各種價格的大致股份數量。

As you know, we have several convertible debt instruments outstanding, and the share dilution from those has gone down with the stock price falling.

如您所知，我們有幾種已發行的可轉換債務工具，隨著股價的下跌，這些工具的股票稀釋度也有所下降。

And the other is to address the GAAP to non-GAAP revenue adjustment.

另一個是解決 GAAP 到非 GAAP 收入調整的問題。

I think it was $81 million in the quarter.

我認為該季度為 8100 萬美元。

You noted that the channel inventory for Microsemi now approximates the sort of heritage Microchip business channel inventory.

您注意到 Microsemi 的渠道庫存現在接近於傳統 Microchip 業務渠道庫存。

So it sounds like maybe there's a little bit more work to do but it's mostly done.

所以聽起來可能還有更多的工作要做，但大部分都已經完成了。

And so while I understand that just the inventory is going to fluctuate somewhat quarter-to-quarter, after this $81 million delta that we saw in the quarter you just posted, going forward, should we expect this number to sort of fluctuate around 0 or average around 0 over time?

因此，雖然我知道只有庫存會按季度有所波動，但在我們在您剛剛發布的季度中看到的這個 8100 萬美元的增量之後，展望未來，我們是否應該期望這個數字在 0 或隨著時間的推移平均約為 0？

Is that the right way to think about it?

這是正確的思考方式嗎？

Well, I'll take a stab at answering that and then Steve or Ganesh can chime in.

好吧，我會試著回答這個問題，然後 Steve 或 Ganesh 可以插話。

So we're really pleased with the progress that we made in getting the Microsemi, just the inventory down to 2.62 months, which is right in line with where Microchip has been historically.

因此，我們對我們在獲得 Microsemi 方面取得的進展感到非常高興，只是庫存下降到 2.62 個月，這與 Microchip 的歷史水平一致。

We really are not able to project what distributors are going to do.

我們真的無法預測分銷商將要做什麼。

Some of that is going to be based on environment.

其中一些將基於環境。

It's going to be based on working capital needs.

它將基於營運資金需求。

It's going to be based on lead times.

它將基於交貨時間。

There are so many things that factor into it.

有很多因素會影響它。

We have 120-or-so distributors that we work with worldwide.

我們在全球範圍內擁有 120 多家合作經銷商。

We don't manage our business in a way where we get that type of visibility from them, and really, we're driving for end-market demand forecast versus sell-in.

我們不會以從他們那裡獲得那種可見性的方式來管理我們的業務，實際上，我們正​​在推動終端市場需求預測與銷售。

What surprised me in an environment like this that distributors are going to be very tight with their working capital, but again, for us to be able to provide any sort of forecast of what it's going to do is quite difficult, and we don't feel we have capability to do that.

在這樣的環境中，分銷商的營運資金將非常緊張，這讓我感到驚訝，但同樣，對於我們來說，能夠對其將要做什麼提供任何類型的預測是非常困難的，我們不覺得我們有能力做到這一點。

Steve, do you want to add anything?

史蒂夫，你想補充什麼嗎？

Well, what I would add is we do not put any effort into managing our business to put the inventory into distribution.

好吧，我要補充的是，我們沒有在管理我們的業務上投入任何精力來分配庫存。

We put our entire effort into creating market demand, which pulls the inventory out of the distribution, and then allow the asset managers at the distribution to buy the product they need to serve the end-market demand.

我們全力創造市場需求，將庫存從分銷中拉出來，然後讓分銷中的資產管理者購買他們需要的產品來滿足終端市場需求。

So as the quarter is approaching -- the quarter-end is approaching, we won't look at sales route is this and the sell-in is this, and we've got to go make another $10 million, a deal, so sell-in is lower than the sell-out or to hold back product because it's going to go upward or lower.

因此，隨著季度的臨近——季末臨近，我們不會考慮銷售路線是這樣的，銷售是這樣的，我們必須再賺 1000 萬美元，一筆交易，所以賣掉-in 低於 sell-out 或阻止產品，因為它會上漲或下跌。

We don't manage both those numbers.

我們不管理這兩個數字。

We only manage one number, which is sales out.

我們只管理一個數字，就是 sales out。

And like I told you last quarter, the standard has changed.

就像我上個季度告訴你的那樣，標準已經改變。

The GAAP standard is sell-in.

GAAP 標準是銷售。

I told you that before.

我之前告訴過你。

We disagreed with it.

我們不同意。

But we have to report a GAAP sell-in number, which we do, and we'll continue to do it.

但我們必須報告 GAAP 銷售數字，我們會這樣做，而且我們會繼續這樣做。

But all our measurements, all our bonus programs, what board manages us is to a market-demand-driven number that we report as a non-GAAP revenue.

但是我們所有的衡量標準，我們所有的獎金計劃，董事會管理我們的都是市場需求驅動的數字，我們將其報告為非 GAAP 收入。

And sell-in would be whatever distributors want based on their own asset management, their cash flow needs, lead times, hundreds of things going into what they do with that inventory, and we don't manage that.

銷售將是分銷商根據他們自己的資產管理、他們的現金流需求、交貨時間、他們對庫存所做的數百件事想要的任何東西，而我們不管理這些。

We'll hear now from Craig Hettenbach with Morgan Stanley.

我們現在將聽到 Craig Hettenbach 與摩根士丹利的對話。

Steve, understanding you don't want to talk about the March quarter and seasonality yet.

史蒂夫，我知道你還不想談論三月季度和季節性。

Just for the core business, your commentary about kind of cautious into December, what type of signals are you looking for in terms of the distribution or customers in terms of how far along we are for the correction here?

就核心業務而言，您對 12 月持謹慎態度的評論，您在分銷或客戶方面尋找什麼類型的信號，就我們在這裡進行修正的程度而言？

Well, we interact with a large number of customers and distributors over the course of this quarter.

好吧，我們在本季度與大量客戶和分銷商進行了互動。

And based on that collective engagement with hundreds, if not, thousands of customers in all 3 geographies, U.S., Europe, Asia, we will have an assessment by the time we announce the December quarter results, which would be in early February.

基於與美國、歐洲、亞洲這三個地區的數百名（如果不是）數千名客戶的集體參與，我們將在 2 月初公佈 12 月季度業績時進行評估。

If there is meaningful information that develops before that and gives us enough data points that we can kind of make a call, then we'll use the opportunity at one of the conferences to make comments on it.

如果在此之前有有意義的信息，並為我們提供了足夠的數據點，我們可以打電話，然後我們將利用其中一次會議的機會對其發表評論。

But fresh coming from the elections yesterday with 1% of the precincts reporting, we cannot make the call on the election.

但是昨天的選舉剛剛結束，有 1% 的選區報告，我們無法就選舉做出決定。

Understood.

明白了。

And appreciate the color on the end markets where you're seeing strength and weakness.

並欣賞您看到優勢和劣勢的終端市場的顏色。

Any thoughts on consumer client biz?

對消費者客戶業務有什麼想法嗎？

Because that's the market that we've seen some potential slowing in China as well.

因為這是我們在中國也看到一些潛在放緩的市場。

Do you have any thoughts there?

你有什麼想法嗎？

So that part of the business, appliance, consumer product, the business is weak also.

所以那部分業務，家電，消費品，業務也很薄弱。

I kind of put it in industrial.

我有點把它放在工業上。

People who make air conditioners and appliances and that kind of industrial kind of business, you may call it consumer, but yes, that is weak also.

製造空調和電器的人以及那種工業企業，你可以稱之為消費者，但是，是的，這也很弱。

From Stifel, we'll hear from Kevin Cassidy.

來自 Stifel，我們將聽到 Kevin Cassidy 的來信。

With reference to China, have you seen any change in behavior on new designs where -- or maybe because of the tariff and the trade war, if there's preference for non-U.

關於中國，您是否看到新設計的行為發生任何變化——或者可能是因為關稅和貿易戰，如果有非美國的偏好。

S. microcontrollers, as an example, rather than Microchip?

例如，S. 微控制器，而不是 Microchip？

Well, we haven't really seen a lot of impact in reality.

好吧，我們在現實中並沒有真正看到很多影響。

There is a lot of talk about it, but it's not changing the funnel size in any way, partially because a very large portion of Microchip business is proprietary, and such functionality with such low power or such features or performance for that price really is not available in any local kind of Chinese parts, which are really fairly low end.

有很多關於它的討論，但它並沒有以任何方式改變漏斗的大小，部分原因是 Microchip 業務的很大一部分是專有的，並且具有如此低功耗的功能或以該價格提供的特性或性能確實不是可以在任何本地類型的中國零件中使用，這些零件確實相當低端。

So I don't think we have seen any meaningful difference in the funnel side or design activity.

所以我認為我們在漏斗方面或設計活動中沒有看到任何有意義的差異。

There is a lot of talk about it.

有很多關於它的討論。

Yes.

是的。

And maybe I didn't understand the question directly, but the tariff impact on our products directly is very, very small, right?

也許我沒有直接理解這個問題，但關稅對我們產品的直接影響非常非常小，對吧？

It's the products that our customers are building with our products where the tariff applies.

這是我們的客戶使用我們的產品構建的適用關稅的產品。

So I think it's probably too early for us to see any real impact on the design side, Kevin.

所以我認為我們現在看到對設計方面的任何真正影響可能還為時過早，凱文。

If they were to use a Chinese microcontroller or analog part to build an end product, the appliance or washer or dryer or whatever, that will have duty also coming in here.

如果他們要使用中國的微控制器或模擬部件來製造最終產品，家電或洗衣機或烘乾機或其他任何東西，那也將有責任進入這裡。

So not designing a Microchip product does not evade the duty coming into U.S. And that is a bigger impact.

因此，不設計 Microchip 產品並不能逃避進入美國的關稅，而且影響更大。

Right.

正確的。

It's just more whether it's an anti-U.

更重要的是它是否是反U。

S. view in the design point of view.

S.在設計的角度來看。

Even if it's an STMicro, something from Europe rather than a U.S. based, that's what I was trying to get at.

即使它是來自歐洲而不是美國的 STMicro，這也是我想要達到的目標。

I think your question is the right one, and we hear that.

我認為你的問題是正確的，我們聽到了。

But like I said, fortunately, we're not easy to design out.

但就像我說的，幸運的是，我們設計出來並不容易。

We'll hear next from John Pitzer with Crédit Suisse.

接下來我們將聽到 John Pitzer 與 Crédit Suisse 的對話。

Steve, relative to the industrial weakness, you're calling out tariffs.

史蒂夫，相對於工業疲軟，你要徵收關稅。

I know this is probably an impossible question to answer, but I'm going to ask your opinion anyhow.

我知道這可能是一個無法回答的問題，但無論如何我都會徵求您的意見。

To what extent do you think customers are reacting to the 10% tariff that's already been levied?

您認為客戶對已經徵收的 10% 關稅有多大反應？

And to what extent do you think that they're actually trying to be anticipatory to the raise to 25% come the beginning of the year?

您認為他們實際上在多大程度上試圖在今年年初將漲幅提高到 25%？

And I'm just trying to get a sense as to whether or not you think there's another shoe to drop or not.

我只是想了解一下你是否認為還有另一隻鞋可以放棄。

And then my second question, you did a great job kind of talking about the distribution inventory at Microsemi.

然後我的第二個問題，你在談論美高森美的分銷庫存方面做得很好。

I'm kind of curious about direct customer inventory.

我對直接客戶庫存很好奇。

What did you see as the quarter unfolded?

隨著本季度的展開，您看到了什麼？

Was there any meaningful adjustments you needed to make there?

您需要在那裡進行任何有意義的調整嗎？

Are those behind you?

那些在你身後？

And to the extent they might be behind you, could there be a potential tailwind, which I think you referred to on the last conference call, once this inventory depletion was done?

就他們可能落後於你的程度而言，一旦庫存消耗完成，是否會有潛在的順風，我想你在上次電話會議上提到過？

So let me take the first one first, which is a tariff question.

所以讓我先回答第一個問題，這是關稅問題。

So what's happening is, as the percentage tariff and the products, which are -- have tariffs on keeps moving, it is kind of creating waves in customer sentiment.

所以正在發生的事情是，隨著關稅百分比和產品的關稅不斷變化，這在客戶情緒中引起了波瀾。

Originally back in June-July time frame, when there were some tariffs ready to go on in August, some people will try to get ahead of it, build their product so they bring it to U.S. and avoid the tariff.

最初回到 6 月至 7 月的時間框架，當有一些關稅準備在 8 月繼續實施時，一些人會試圖提前，製造他們的產品，以便將其帶到美國並避免關稅。

Others will hold back production.

其他人將阻止生產。

They want to draw down their inventory because they don't really know whether they'll be able to pass the tariff to the customers or they will have to eat that entire tariff.

他們想減少庫存，因為他們真的不知道他們是否能夠將關稅轉嫁給客戶，或者他們將不得不承擔全部關稅。

So it kind of creates some waves both ways, and that was for the 10% tariff.

所以它有點雙向產生一些波浪，那就是 10% 的關稅。

And through the quarter of September, customers were essentially cutting down production, drawing down their inventory because they felt that it would be uncompetitive passing on the tariff to U.S. customers who had a choice to buy the product made in Taiwan, made in Singapore, made in Vietnam, made in Mexico or wherever.

整個 9 月這個季度，客戶基本上都在減產，減少庫存，因為他們認為將關稅轉嫁給美國客戶是沒有競爭力的，因為美國客戶可以選擇購買台灣製造、新加坡製造、製造的產品在越南，在墨西哥或任何地方製造。

And now very recently, we're hearing the talk that the expectation many of the customers had was, heading towards the elections, the whole thing was going to get settled.

最近，我們聽到很多客戶的期望是，在選舉前夕，整個事情都會得到解決。

You made a call, at the UN, Trump was talking so bad about Canada that Canada wasn't cooperating and all that and there may be an agreement with Mexico only.

你打了個電話，在聯合國，特朗普對加拿大說得太壞了，以至於加拿大不合作等等，可能只與墨西哥達成協議。

One week later, they signed an agreement, announced the agreement with Canada.

一周後，他們簽署了一項協議，宣布與加拿大達成協議。

So the thought was, similarly, a few days before the election, there may be a settlement with China, and so kind of people were holding back.

因此，類似的想法是，在選舉前幾天，可能會與中國達成和解，而這類人卻在退縮。

Well, that didn't happen, and now the feeling is I don't think the settlement is close.

好吧，那沒有發生，現在的感覺是我認為和解還沒有結束。

So now some of the customers are thinking tariffs are going to go to 25%, and we should pull in and build some of the stuff and bring it to U.S. at 10% tariff rather than bringing to 25%.

所以現在一些客戶認為關稅將升至 25%，我們應該拉進來建造一些東西並以 10% 的關稅將其帶到美國，而不是提高到 25%。

So you could see that the wave's moving all over the place.

所以你可以看到波浪在到處移動。

And 50,000 customers we might have in China are not all aligned.

我們在中國可能擁有的 50,000 名客戶並不完全一致。

It's very noisy.

很吵。

It's very hard to make decisions.

很難做出決定。

And we have -- lead times are short, and we're responding to every customer.

而且我們有 - 交貨時間很短，我們正在響應每個客戶。

And they're whipsawing, as we see it.

正如我們所見，他們正在拉鋸戰。

So I don't know if that answers your first question.

所以我不知道這是否回答了你的第一個問題。

No, that's all cool.

不，這一切都很酷。

And then just on the direct-to-customer inventory situation at Microsemi.

然後就是 Microsemi 的直接面向客戶的庫存情況。

On the direct to customer, the inventory we saw on the direct customer side was with contract manufacturers because contract manufacturers is considered OEM business.

在直接面向客戶方面，我們在直接客戶方面看到的庫存是合同製造商的，因為合同製造商被認為是 OEM 業務。

It's a direct business.

這是一項直營業務。

It's not through distribution.

這不是通過分配。

There was really not much inventory in the direct customers that we saw.

我們看到的直接客戶中確實沒有多少庫存。

And we wouldn't know it either.

我們也不會知道。

I mean, you don't know every customer's inventory.

我的意思是，您不知道每個客戶的庫存。

But the -- where the deals were made, where the discounts were given were to the contract manufacturers under a program called -- what do they call the program?

但是——在哪里達成交易，在哪裡給予折扣的地方是根據一個叫做——他們怎麼稱呼這個項目的項目的合同製造商？

Production incentive program.

生產激勵計劃。

So we canceled that program.

所以我們取消了那個項目。

And as we canceled that program, contract manufacturers only started taking what they need for their needs and they drew down their inventory.

當我們取消該計劃時，合同製造商只開始獲取他們需要的東西，他們減少了庫存。

(Operator Instructions) We'll hear next from Chris Danely with Citi.

（操作員說明）接下來我們將聽取花旗銀行的 Chris Danely 的意見。

Steve, I know you're not going to comment on March seasonality.

史蒂夫，我知道你不會對 3 月的季節性發表評論。

If -- hypothetically speaking, if March revenue was down, would you be able to keep OpEx flat to down?

如果 - 假設地說，如果 3 月份的收入下降，您能否將 OpEx 持平或下降？

We definitely will have the March OpEx down.

我們肯定會降低 3 月份的運營支出。

Not even flat to down, it will be down because we're still continuing to reduce Microsemi expenses as we do integration.

甚至不會下降，它會下降，因為我們在進行集成時仍在繼續減少 Microsemi 的開支。

And if March quarter is down, as you're supposing, bonuses would be lower.

如果 3 月季度下降，正如您所假設的那樣，獎金將會減少。

So bonus accrual would be lower.

所以應計獎金會更低。

Yes, so I would say, in that situation, March expenses will not be flat, they will be down.

是的，所以我會說，在那種情況下，3 月份的支出不會持平，而是會下降。

Okay, great.

好的，太好了。

And then for my next question, any sort of comparisons on this correction versus previous corrections.

然後對於我的下一個問題，關於這次修正與之前修正的任何形式的比較。

Are you seeing anything in common?

你看到什麼共同點了嗎？

Or is this completely new?

或者這是全新的？

Well, I think that's more of your department than mine, but...

好吧，我認為你的部門比我的更多，但是......

I'm just as clueless as you guys are.

我和你們一樣一無所知。

In 2015, we saw this impact, I believe, in August-September time frame.

我相信，在 2015 年 8 月至 9 月的時間範圍內，我們看到了這種影響。

And we made a call, I believe, in late September time frame that we see China slowing down.

我相信，我們在 9 月下旬的時間框架內發出了一個電話，我們看到中國正在放緩。

It was driven by China, and nobody else was seeing it.

它是由中國驅動的，沒有其他人看到它。

And by -- and then when the numbers came out, numbers were cut and they were cut again and everybody was down as much, and most stocks went down lower than they had gone down that day when we had made the call, so everybody was about 4 months behind.

然後——然後當數字出來的時候，數字被削減了，他們又被削減了，每個人的跌幅都一樣，大多數股票的跌幅都低於我們打電話那天的跌幅，所以每個人都大約落後4個月。

Same thing is happening this time.

這次發生了同樣的事情。

I think we saw the impact 3 to 4 months behind everybody else saw.

我認為我們看到的影響比其他人看到的要晚 3 到 4 個月。

So that is common.

所以這很常見。

But what's driving it today versus what was driving it back then.

但是今天的驅動力與當時的驅動力相比。

I think the reasons are a little bit different, tariffs, maybe lead time becoming shorter.

我認為原因有點不同，關稅，也許交貨時間變短了。

Some are same.

有些是一樣的。

Some are different.

有些是不同的。

Tariff is a new phenomenon.

關稅是一種新現象。

We'll hear now from the Vivek Arya of Bank of America Merrill Lynch.

我們現在將聽到來自美銀美林的 Vivek Arya。

Steve, for the first one, can you give us some more real-time sense on production plans?

史蒂夫，第一個，你能給我們一些關於生產計劃的實時信息嗎？

Are you still looking to reduce them further versus seasonality?

您是否仍在尋求進一步減少它們而不是季節性？

Or do you think they have kind of stabilized at these levels?

或者你認為他們已經穩定在這些水平上了嗎？

Well, so if you look at Chris Danely's question, you have to make an assumption on March.

那麼，如果您查看 Chris Danely 的問題，您必須在 3 月份做出假設。

We cut back production quite a bit.

我們大幅削減了產量。

With that, the internal inventory is in good control.

這樣，內部庫存就得到了很好的控制。

We actually -- internal inventory went down by a couple of days.

我們實際上 - 內部庫存下降了幾天。

So if the business is stable from here, if this quarter marks the bottom, then factories start building back slowly.

因此，如果業務從這裡開始穩定，如果本季度觸底，那麼工廠將開始緩慢重建。

If there is a further downside, which was an assumption possibly Chris was making, I don't know if he was making that assumption, then you have to adjust to the reality.

如果還有進一步的不利因素，這可能是 Chris 做出的假設，我不知道他是否做出了那個假設，那麼你必須適應現實。

I see.

我懂了。

And on the OpEx side, if my math is right, so you had $354 million non-GAAP OpEx in September.

在運營支出方面，如果我的計算是正確的，那麼 9 月份的非 GAAP 運營支出為 3.54 億美元。

I think December, you are guiding to $352 million, so kind of flattish.

我認為 12 月，你指導的是 3.52 億美元，有點持平。

Why are we not seeing more cost synergies?

為什麼我們沒有看到更多的成本協同效應？

And -- or does it just mean we'll see them later on?

而且 - 或者這是否意味著我們稍後會看到它們？

Well, we took a lot of costs out early.

好吧，我們很早就拿出了很多成本。

I think if you were to combine the Microchip and Microsemi models from back in March or even a year ago, you're going to see that significant expenses have been taken out, and that doesn't mean that there's still not more to come.

我認為，如果你將三月份甚至一年前的 Microchip 和 Microsemi 模型結合起來，你會發現已經扣除了大量費用，但這並不意味著不會有更多費用。

But I think we're actively managing that.

但我認為我們正在積極管理它。

Our OpEx came in significantly lower than our guidance for the quarter that we just completed.

我們的運營支出大大低於我們剛剛完成的季度的指導。

And we're managing based on the environment that's presented to us.

我們正在根據呈現給我們的環境進行管理。

And I think we're doing a good job at that.

我認為我們在這方面做得很好。

Correct.

正確的。

And just one quick housekeeping.

只需一次快速清潔即可。

I think, Eric, you said tax rate under 5%.

我想，埃里克，你說稅率低於 5%。

I believe in the past, it was between 3% to 4%.

我相信在過去，它在 3% 到 4% 之間。

So just for modeling purpose, should we model like 3.5% or 4.5% for the next 1 or 2 years?

因此，僅出於建模目的，我們應該為未來 1 年或 2 年建模 3.5% 還是 4.5%？

Well, when we gave 3% to 4% before, that was kind of the short term, and we've got, now, questions coming in, in terms of what's it going to be over the next few years.

好吧，當我們之前給出 3% 到 4% 時，那是短期的，現在我們有關於未來幾年會怎樣的問題。

And it's not a perfect science to forecast this, but under 5% or 5% or less is where we're at today.

預測這一點並不是一門完美的科學，但我們今天所處的位置低於 5% 或 5% 或更少。

It's not saying it can't be 3.5%, but that's a pretty tight range.

這並不是說它不能達到 3.5%，但這是一個非常小的範圍。

I think you're modeling 100-plus subsidiaries around the world and varying tax rates in various countries and interest payments and deductions and all these taxes and it's kind of an average of all that.

我認為你正在為全球 100 多家子公司建模，不同國家/地區的稅率不同，利息支付和扣除以及所有這些稅收，它是所有這些的平均數。

It's not a perfect science.

這不是一門完美的科學。

It can change based on mix.

它可以根據混合而改變。

Moving on to Mark Delaney with Goldman Sachs.

轉到高盛的馬克德萊尼。

The first question is hoping you could help us better understand some of the trade-offs that you've made with Microsemi's business now that you've had it under your wing for a longer period of time.

第一個問題是希望你能幫助我們更好地理解你在 Microsemi 的業務中所做的一些權衡，因為你已經將它置於你的翅膀下更長的時間。

It sounds like there's been several efforts taken to improve gross margins, and I think that business had run in the low-60s on a standalone basis.

聽起來好像已經採取了一些措施來提高毛利率，而且我認為該業務在獨立的基礎上已經處於 60 年代的低水平。

With all the changes, some of the product pruning and the same things along those lines, do you think it gets to up above that 63% range that you're guiding for on a combined basis?

隨著所有的變化，一些產品修剪和這些方面的相同事情，你認為它會超過你在綜合基礎上指導的 63% 範圍嗎？

Or just toward the higher end once utilization rates normalize?

或者一旦利用率正常化就朝著更高端的方向發展？

And related to that, maybe you can help us think about has there been any share shifts or the size of product pruning that you may have done given some of these changes that you're making to the business model.

與此相關的是，也許您可以幫助我們考慮是否存在任何份額變化或您可能已經完成的產品修剪規模，因為您正在對業務模型進行一些更改。

I think, Mark, one mistake most people make in looking at Microsemi's gross margin is that day-to-day acquisition of a company called Vectron, which closed in late November, early December time frame, it had gross margins in the mid-30s and was $100 million revenue.

我認為，馬克，大多數人在查看 Microsemi 的毛利率時犯的一個錯誤是對一家名為 Vectron 的公司的日常收購，該公司於 11 月下旬、12 月初的時間框架內完成，其毛利率在 30 年代中期收入為 1 億美元。

And so its impact was really never seen by investors on a non-GAAP basis.

因此，在非 GAAP 基礎上，投資者確實從未見過它的影響。

December quarter was fairly short, just 1 month.

12 月季度相當短，只有 1 個月。

And then March quarter, we announced the deal on March 1. So March quarter was really never fully announced based on a non-GAAP.

然後是 3 月季度，我們在 3 月 1 日宣布了這筆交易。所以 3 月季度實際上從未根據非 GAAP 完全宣布過。

Right, they filed a 10-Q, obviously, but didn't have a conference call.

是的，他們顯然提交了 10-Q，但沒有召開電話會議。

Yes, they filed a 10-Q but didn't have a conference call, so you wouldn't really know the non-GAAP margin taking away all these charges and everything else that acquisitions do.

是的，他們提交了 10-Q 但沒有召開電話會議，所以你不會真正知道非 GAAP 利潤率會扣除所有這些費用以及收購所做的一切。

So Microsemi gross margin wasn't 63%.

所以 Microsemi 的毛利率不是 63%。

Driven by all those acquisitions, margin was below 60%.

在所有這些收購的推動下，利潤率低於 60%。

And so we have already improved some, and we'll continue to improve the gross margin, but looking for that gross margin to go 63% would be quite a stretch right now.

所以我們已經改善了一些，我們將繼續提高毛利率，但現在要讓毛利率達到 63% 將是一個很大的挑戰。

Yes.

是的。

So we, as you said, have margin improvement programs that are in place, and we still have confidence in the combined long-term model of 63%.

因此，正如您所說，我們已經制定了提高利潤率的計劃，我們仍然對 63% 的綜合長期模型充滿信心。

This last quarter, we were at 61.7%., so it's not like we're light years away from that.

上個季度，我們的比例為 61.7%，所以我們離那並不遙遠。

That's a...

那是一個...

We've got to get the factories to full production again.

我們必須讓工廠再次全面生產。

Because of the inventory correction, as you ship left to distribution, all that inventory stays in-house unless you cut production.

由於庫存修正，當您將貨物運送到分銷點時，除非您減產，否則所有庫存都保留在內部。

So we did.

所以我們做到了。

And we take the under absorption in the current quarter.

我們在本季度吸收不足。

We don't put it into -- don't capitalize it into inventory.

我們不會將其投入——不要將其資本化為庫存。

So as the production starts going back, you'll have some accretive effect on the gross margin.

因此，隨著生產開始恢復，您將對毛利率產生一些增長影響。

That's helpful.

這很有幫助。

And then for the second part of that question, obviously, there's a different focus on the types of businesses Microchip will be participating with there.

然後對於該問題的第二部分，顯然，Microchip 將參與其中的業務類型有不同的關注點。

But just help us think about the scope of revenue that you may not participate in anymore either because you're focusing on a narrow set of product lines.

但是請幫助我們考慮您可能不再參與的收入範圍，因為您專注於一組狹窄的產品線。

Any share shifts that we should be contemplating, things along those lines so we can think about the right revenue run rate for that business once we adjust for some of these inventory dynamics that have gone on the last couple of quarters?

我們應該考慮的任何份額變化，沿著這些方向進行的事情，以便我們可以在針對過去幾個季度發生的一些庫存動態進行調整後，考慮該業務的正確收入運行率？

So we said that before.

所以我們之前說過。

We are going to keep and we like all the businesses.

我們將保留並且我們喜歡所有的業務。

The combined Microsemi, all businesses together, P&L is very good.

合併後的 Microsemi，所有業務在一起，損益非常好。

There are product lines which are lower gross margins.

有些產品線的毛利率較低。

There are product lines which are higher gross margin than average.

有些產品線的毛利率高於平均水平。

There are product lines that grow less than average.

有些產品線的增長低於平均水平。

There are product lines that are growing more than average.

有些產品線的增長速度超過平均水平。

Microchip classic is no different.

Microchip 經典也不例外。

Our gross margins are lower in certain Microchip businesses, but mix and match, overall gross margin is excellent.

我們的某些 Microchip 業務的毛利率較低，但混合搭配後，整體毛利率非常好。

And that is the case with Microsemi.

Microsemi 就是這種情況。

Every business is accretive, and we're not going to offload a business just because it's lower gross margin than the average.

每項業務都是增值的，我們不會僅僅因為它的毛利率低於平均水平就將其剝離。

If it's accretive and growing and adding and providing additional attach, is a part of that total system solution, so if all the other things are working, then it's a good Microchip product.

如果它是增值的、增長的、添加和提供額外的附件，是整個系統解決方案的一部分，那麼如果所有其他的東西都在工作，那麼它就是一個很好的 Microchip 產品。

Every business unit leader that we have is tasked at not just growing the revenue but improving their gross margin and operating margins over time.

我們擁有的每個業務部門負責人的任務不僅是增加收入，而且隨著時間的推移提高他們的毛利率和營業利潤率。

And with -- in the Microchip system, we work together to make that happen.

並且 - 在 Microchip 系統中，我們共同努力實現這一目標。

We'll move next to Krysten Sciacca with Nomura.

我們將與野村證券一起搬到 Krysten Sciacca 旁邊。

I just want to follow up on the OpEx question from before.

我只想跟進之前的 OpEx 問題。

It looks like the OpEx from this quarter came in a little bit lower than expected, and I'm just wondering if that was just due to better-than-expected expectation on synergies.

看起來本季度的 OpEx 略低於預期，我只是想知道這是否只是因為對協同效應的預期好於預期。

Or was there something else going on in the quarter there that we should be thinking about?

或者我們應該考慮該季度發生的其他事情？

There was nothing else going on, although we would say that, since we saw the effect of this downturn coming much earlier than anybody else, we hunkered down earlier.

沒有其他事情發生，儘管我們會說，因為我們比其他任何人都更早地看到了這次經濟衰退的影響，所以我們更早地蹲下了。

We canceled a majority of the OpenRex.

我們取消了大部分 OpenRex。

We cut back on capital.

我們削減了資本。

We canceled some orders that we had on capital to the extent we were able to cancel them.

我們取消了一些我們能夠取消的資本訂單。

And as we slipped them out, we hunkered down and we kind of battened down the hatches.

當我們把它們滑出來時，我們蹲下來，把艙口蓋上了。

Asked our employees to treat the spending as if it's their own money and do that on a global basis.

要求我們的員工將支出視為自己的錢，並在全球範圍內這樣做。

And it has very, very good results.

它有非常非常好的結果。

So we -- I think Steve's right.

所以我們——我認為史蒂夫是對的。

We just got out ahead of this quicker.

我們只是更快地領先於此。

Okay, great.

好的，太好了。

That's helpful.

這很有幫助。

And then just moving to the inventory correction from Microsemi and how you completed that about a quarter earlier than you'd stated on the prior call for the most part.

然後只是轉向 Microsemi 的庫存修正，以及你是如何比你在之前的電話會議上所說的大部分時間提前四分之一完成這項工作的。

What exactly caused that faster -- that correction to happen faster than expected?

究竟是什麼導致了這種速度——這種修正比預期發生得更快？

Was there something in particular that Microchip did?

Microchip 做了什麼特別的事情嗎？

Or was it just better end demand?

或者只是更好的終端需求？

Or what was kind of driving that force?

或者是什麼推動了這種力量？

Let me take that.

讓我拿那個。

So I think, especially when you buy a new business, you have a lot to learn for that business.

所以我認為，尤其是當你購買一家新企業時，你需要為該企業學習很多東西。

You're getting to know the people, there are concerns with employees regarding what Microchip could do with various businesses.

你開始了解這些人，員工擔心 Microchip 可以對各種業務做些什麼。

Let me get this in.

讓我把這個放進去。

Various analysts write about various businesses that we will sell or we should sell, and I always ask you, please don't do that because you create problems for us.

各種分析師寫了我們將出售或應該出售的各種業務，我總是問你，請不要那樣做，因為你給我們製造了麻煩。

The employees of that business read those reports, and they get concerned that their business is maybe sold or not focused on.

該企業的員工閱讀了這些報告，他們擔心他們的企業可能會被出售或無人關注。

And we have said that we're going to keep all the businesses, but every time we look at some analyst will make their speculation why data center business doesn't fit with Microchip or opto business doesn't fit with Microchip or something else doesn't fit with Microchip.

我們已經說過我們將保留所有業務，但每次我們看到一些分析師都會做出他們的猜測，為什麼數據中心業務不適合 Microchip 或光電業務不適合 Microchip 或其他什麼不適合適合 Microchip。

All that does is creates concern for our customers and creates concern for our employees.

所做的一切只會讓我們的客戶感到擔憂，並讓我們的員工感到擔憂。

So what I'm seeing is we're working very hard on all these items: leveling the businesses, keeping the customers at peace, talking to the employees, learning the inventory.

所以我看到的是，我們在所有這些項目上都非常努力：平衡業務、讓客戶安心、與員工交談、了解庫存。

And when such a large challenge comes up like the inventory, then it just takes an enormous amount of energy forming the teams and focusing the teams to go clean up the inventory.

當像庫存這樣的巨大挑戰出現時，只需要花費大量精力組建團隊並集中團隊去清理庫存。

It also depends on how in the mix that inventory was.

它還取決於庫存的組合情況。

If their inventory was highly out of mix, then you have to continue to ship additional product for which there is demand.

如果他們的庫存嚴重混亂，那麼您必須繼續運送有需求的其他產品。

And If there is lot of slow-moving inventory that we call sludge, then that will take much longer time.

如果有很多我們稱之為污泥的緩慢移動的庫存，那麼這將需要更長的時間。

And in certain business units, the inventory was in good mix.

在某些業務部門中，庫存混合良好。

In certain other business units, inventory was not as good of a mix.

在某些其他業務部門中，庫存並不是那麼好。

So basically, huge amount of work.

所以基本上，大量的工作。

The combined teams, working together, creating a goal for everybody to clean up this inventory faster than the 2 quarters we guided to, and I think that's where we are and also working and cooperating -- getting cooperation from the distributors.

合併後的團隊共同努力，為每個人制定一個目標，以比我們指導的兩個季度更快地清理庫存，我認為這就是我們的工作和合作——獲得經銷商的合作。

It's just lot of grunt work.

這只是很多繁重的工作。

There's not much magic there.

那裡沒有多少魔法。

It's just a lot of hard work.

這只是很多艱苦的工作。

Yes.

是的。

As Steve mentioned in his prepared remarks, there's still a business unit or 2 that's inventory is higher than we'd like it to be, and it'll come down over time.

正如史蒂夫在他準備好的發言中提到的那樣，仍有一個或兩個業務部門的庫存高於我們希望的水平，而且隨著時間的推移它會下降。

And there may be a business unit or 2 that's inventory is too low, and these things kind of balance each other out.

並且可能有一個或 2 個業務部門的庫存太低，這些事情相互平衡。

So we think, at 2.6 months, we're in a very good position today.

所以我們認為，在 2.6 個月的時間裡，我們今天處於一個非常好的位置。

And in this business unit, #1 the inventory was very high, over 8.6 months.

在這個業務部門中，#1 的庫存非常高，超過 8.6 個月。

Clearly, there was a lot of excess inventory.

顯然，存在大量過剩庫存。

And when you build that much inventory, then inventory also tends to age and gets out of mix.

當你建立那麼多庫存時，庫存也會老化並變得混亂。

We shipped such a high amount of inventory and customer demand shifts, so a lot of the inventory then becomes very slow moving and takes time to correct.

我們運送瞭如此大量的庫存和客戶需求的變化，所以很多庫存變得非常緩慢，需要時間來糾正。

But I guess, I'll give kudos to all the business units that were involved, the sales and distribution organization, our distributors, the planning folks who helped us with this.

但我想，我要感謝所有參與的業務部門、銷售和分銷組織、我們的分銷商，以及幫助我們解決這個問題的規劃人員。

It was just a very large team, and everybody did a good job of executing.

這是一個非常大的團隊，每個人都執行得很好。

There was also $110 million of product that we shifted back from distribution to direct.

我們還有 1.1 億美元的產品從分銷轉回直銷。

And customer by customer and distributor by distributor, whichever the pair was, the distributor shipping to customer, you had to go work that relationship and convince a customer and convince a distributor, a distributor is going to lose that business to direct customer who'll ship it directly, make sure distributor cleans out their inventory, so the new business in Microchip shifts and creating accounts for those customers, receivables, learning where the product has to be shipped.

一個接一個客戶，一個接一個分銷商，無論哪一對，分銷商運送給客戶，你必須努力建立這種關係，說服客戶並說服分銷商，分銷商將把業務丟給直接客戶，而直接客戶會直接發貨，確保分銷商清理庫存，以便 Microchip 的新業務轉移並為這些客戶創建賬戶，應收賬款，了解產品必須運送到哪裡。

Some places -- sometimes, it goes into hubs of distributors.

有些地方——有時，它會進入分銷商的中心。

Sometimes, there are multiple locations.

有時，有多個位置。

All that challenging task by the shipping teams and marketing teams and sales teams, it's just purely a guess.

運輸團隊、營銷團隊和銷售團隊的所有具有挑戰性的任務，這純粹是一個猜測。

When we first talked to you regarding how long would it take, I'd rather tell you 2 quarters and get it done in 1 quarter rather than tell you 1 quarter then it takes 2 quarters.

當我們第一次與您討論需要多長時間時，我寧願告訴您 2 個季度並在 1 個季度內完成，而不是告訴您 1 個季度然後需要 2 個季度。

From Raymond James, we'll go to Chris Caso.

從雷蒙德詹姆斯，我們將去克里斯卡索。

Just a question with regard to customer inventory levels, and I'd say this probably more pertains to the Microchip classic business.

只是一個關於客戶庫存水平的問題，我想說這可能更多地與 Microchip 經典業務有關。

How much of the slowdown that you're seeing now do you attribute to some of the demand function -- issues that you talked about as opposed to just customers holding too much inventory?

您現在看到的放緩在多大程度上歸因於某些需求函數——您談到的問題，而不僅僅是客戶持有過多庫存？

And typically, when we've seen these slowdowns in the past, it's some combination of the 2. Do you think about it any differently this time around?

通常情況下，當我們過去看到這些放緩時，它是 2 的某種組合。你這次有什麼不同的想法嗎？

Well, when a customer buys less product, you're unable to differentiate whether that is just purely an inventory correction or his demand is slower.

好吧，當客戶購買的產品減少時，您無法區分這僅僅是庫存調整還是他的需求變慢了。

It always tends to be a combination.

它總是傾向於組合。

If you're building 100,000 widgets a week, then you have certain amount of inventory at your loading dock, in your factory floor, some in raw material, some in work in process.

如果您每週製造 100,000 個小部件，那麼您在裝卸碼頭、工廠車間都有一定數量的庫存，一些是原材料，一些是在製品。

You have certain amount of inventory.

你有一定數量的庫存。

If your demand drops because of your tariff concerns, let's say, you only want to build 90,000 widgets, then the entire inventory in your structure divided by 90 is going to become more weeks of inventory than at 100.

如果您的需求因為您的關稅問題而下降，比方說，您只想構建 90,000 個小部件，那麼您結構中的整個庫存除以 90 將成為比 100 週更多的庫存週數。

And then when he draws it down, you could call it inventory correction.

然後當他把它記下來時，你可以稱之為庫存修正。

You can call it because of lower demand.

您可以調用它，因為需求較低。

I don't know how you separate it.

不知道你是怎麼區分的。

Right, understood.

對了，明白了。

As a follow-up, if you could, talk about the linearity of your order rate as you proceeded through the quarter and into October.

作為後續行動，如果可以的話，請談談您在本季度和 10 月期間訂單率的線性度。

And I assume that the order rates have slowed down since we last spoke in August.

我認為自我們上次在 8 月份談話以來，訂單率已經放緩。

But have they sort of stepped down to a certain level and then stabilized at that level given the uncertainty about tariffs and such that you spoke about?

但是，考慮到關稅的不確定性，它們是否已經下降到一定水平，然後穩定在該水平？

Or did they continue to worsen on a month-on-month basis?

或者它們是否繼續逐月惡化？

The order, it slowed down and stayed pretty constant at the low level and have recently bounced back, partially because lead times are fairly short.

訂單放慢並保持在低水平並且最近反彈，部分原因是交貨時間相當短。

So they've got to place the orders for December and January.

所以他們必須為 12 月和 1 月下訂單。

They don't need to place orders for next June, but they do need to place the orders for the next quarter.

他們不需要為明年 6 月下訂單，但他們確實需要為下個季度下訂單。

So the order rate, as you said, slowed down but has recently bounced back up.

因此，正如您所說，訂單率放緩但最近反彈。

In the month of October?

在十月份？

In the month of October, yes.

在 10 月份，是的。

We'll hear next from Vijay Rakesh with Mizuho.

接下來我們將聽到 Vijay Rakesh 和 Mizuho 的談話。

Just wondering on your deleveraging, have you changed -- are you accelerating that?

只是想知道你的去槓桿化，你改變了嗎 - 你正在加速嗎？

What's -- how are you looking at that?

什麼——你怎麼看？

So I tried to answer that on an earlier question.

所以我試著在一個較早的問題上回答這個問題。

But essentially, our deleveraging is going to be at a slower pace than what we had originally guided to The Street.

但從本質上講，我們的去槓桿化步伐將比我們最初引導華爾街的步伐慢。

We've got headwinds of very low EBITDA in both June and September due to this recent inventory reduction.

由於最近的庫存減少，我們在 6 月和 9 月遇到了非常低的 EBITDA 的不利因素。

We're having a down quarter this year at the midpoint of guidance.

今年我們在指導的中點有一個下降的季度。

We're going to be down 7.5%.

我們將下降 7.5%。

And that just has an impact and is going to stay with us now for 12 months because these debt calculations or EBITDA calculations are all 12-month trailing.

這只會產生影響，並且現在將與我們保持 12 個月，因為這些債務計算或 EBITDA 計算都是 12 個月的追踪。

So we -- the cash flow from the business is going to be high.

所以我們 - 來自企業的現金流量將會很高。

But if you look at our accounts receivable balance, it's down $120 million quarter-on-quarter, and that translates to cash.

但如果你看看我們的應收賬款餘額，它比上一季度減少了 1.2 億美元，這轉化為現金。

So it's going to take us some time, but all of our cash, really, all the significant cash in excess of what we need to run the business and pay dividends is going to be used to pay down debt.

所以這需要我們一些時間，但我們所有的現金，真的，所有超過我們經營業務和支付股息所需的現金都將用於償還債務。

And with that, we will reduce the debt balance, but the EBITDA is going to be something that sticks with us for the next year.

這樣一來，我們將減少債務餘額，但 EBITDA 將成為我們明年的目標。

Got it.

知道了。

And I want to just follow up here.

我只想在這裡跟進。

Getting past some of the near-term tariff issues, the lack of visibility into the March quarter and first half, let's say, any thoughts -- or are there any concerns of microcontrollers has been, especially as you look at automotive, where does content go?

克服一些近期的關稅問題，缺乏對三月季度和上半年的可見性，比方說，任何想法 - 或者是否有任何關於微控制器的擔憂，特別是當你看汽車時，內容在哪裡去？

And just wondering -- just wanted to get your thoughts on how you look at that.

只是想知道——只是想了解一下您是如何看待它的。

Ganesh, you want to take that?

Ganesh，你想要那個嗎？

Ganesh had to run to catch a flight.

Ganesh 不得不跑去趕飛機。

Oh, he had to catch a flight.

哦，他得趕飛機。

So I think we are not concerned about the long-term prospects of microcontroller, analog or any of our businesses.

所以我認為我們不關心微控制器、模擬或我們任何業務的長期前景。

Our fundamental premise of being able to sell a total system solution into a customer's socket, whether it's automotive or it's industrial with microcontroller, analog, connectivity products, WiFi, Ethernet, Bluetooth, LoRa and now with lots of Microsemi products, including discrete products, FETs and diodes and RF and other products, I think there is fundamentally no concern about long-term Microchip.

我們的基本前提是能夠將整個系統解決方案銷售到客戶的插座中，無論是汽車還是工業用微控制器、模擬、連接產品、WiFi、以太網、藍牙、LoRa，現在還有許多 Microsemi 產品，包括分立產品， FET和二極管以及RF等產品，我認為長期Microchip基本沒有什麼可擔心的。

And the design win funnel and all that are very, very healthy.

設計獲勝漏斗以及所有非常非常健康的東西。

I think we're just talking about this impact, some from the tariff and some from the slowdown in the business.

我認為我們只是在談論這種影響，一些來自關稅，一些來自業務放緩。

You could go back.

你可以回去。

There was an earlier question how it is different or same as the 2015 cycle.

之前有一個問題，它與 2015 年周期有何不同或相同。

I mean, that 2015 cycle, some of the assumptions were like this thing is over.

我的意思是，2015 年的周期，一些假設就像這件事已經結束了。

The industry just goes away and all these things are going get designed in.

這個行業剛剛消失，所有這些東西都會被設計進去。

And you can see how the business bounced back, and we had record quarters and record years and outshining market share gains and everything else.

你可以看到業務是如何反彈的，我們有創紀錄的季度和創紀錄的年份，市場份額的增長和其他一切都超過了。

So there's no long-term concern here, just short term.

所以這裡沒有長期的擔憂，只是短期的。

We'll hear next from Harlan Sur with JPMorgan.

接下來我們將聽到來自摩根大通的 Harlan Sur 的講話。

Maybe just touching on some of the pockets of strength in the business.

也許只是觸及業務中的一些優勢。

In aerospace and defense, it's obviously very sticky, very high profitability segment.

在航空航天和國防領域，它顯然是粘性非常高、盈利能力非常高的部分。

Sounds like, near term, it's kind of doing well.

聽起來，短期內，它的表現不錯。

In order for you guys to sort of take advantage of this great, profitable area, how much effort is required to get your MCU and analog products, mil, aero, rad hard qualified?

為了讓你們能夠利用這個巨大的、有利可圖的領域，需要付出多少努力才能使你們的 MCU 和模擬產品、mil、aero、rad hard 合格？

Is there a lot of work to be done here?

這裡有很多工作要做嗎？

Or is the core Microchip team already engaged in cross-selling?

還是核心 Microchip 團隊已經在從事交叉銷售？

So there's a lot of work underway.

所以有很多工作正在進行中。

There was a small aerospace and defense business that we have acquired as part of the Atmel acquisition, which was headquartered in France.

作為 Atmel 收購的一部分，我們收購了一家小型航空航天和國防企業，其總部位於法國。

And they did business largely with French aerospace companies and didn't have any market share in U.S. And after acquiring them in the last 1.5 years or so, we've been putting efforts.

他們主要與法國航空航天公司做生意，在美國沒有任何市場份額。在過去 1.5 年左右的時間裡收購他們後，我們一直在努力。

We expanded their charter to take Microchip standard microcontroller, analog and memory products and make them rad hard, recharacterized them to the needs of military and aerospace, with broad temperature engines and all that.

我們擴大了他們的章程，採用 Microchip 標準微控制器、模擬和存儲器產品，使它們具有抗輻射性，重新表徵它們以滿足軍事和航空航天的需求，具有廣泛的溫度引擎等等。

So all that work has been underway for the last year or so in militarizing our products.

因此，所有這些工作在過去一年左右的時間裡一直在進行，以使我們的產品軍事化。

Microsemi brings even just a much, much higher level of expertise in that area and about 10x to 15x larger business than Atmel had in aerospace and defense.

美高森美在該領域的專業知識水平甚至比愛特梅爾在航空航天和國防領域高出 10 到 15 倍。

So in our integration, we have combined the Atmel's aerospace and defense business together with the Microspace (sic) [Microsemi] aerospace and defense business as one business unit.

因此，在我們的整合中，我們將 Atmel 的航空航天和國防業務與 Microspace (sic) [Microsemi] 航空航天和國防業務合併為一個業務部門。

And that business unit is accelerating, taking Microchip products to market in that segment.

該業務部門正在加速發展，將 Microchip 產品推向該領域的市場。

So that effort is about a year old and is really getting significant boost right now.

所以這項努力已經進行了大約一年，現在確實得到了顯著的推動。

But we're not shipping core Microchip products in military for revenue today.

但我們今天並沒有為了收入而運送核心 Microchip 產品。

Any Microchip products going into aerospace and defense sector are still standard commercial products that are bought from distributors and just kind of use standard commercial product.

任何進入航空航天和國防領域的 Microchip 產品仍然是從分銷商處購買的標準商業產品，並且只是使用標準商業產品。

In some nonsensitive applications, aerospace and defense is allowed to use standard commercial products.

在一些非敏感應用中，航空航天和國防允許使用標準商業產品。

The military products, rad hard products is an effort underway, but it's not making revenue today.

軍事產品，rad hard 產品正在進行中，但它今天沒有盈利。

And then in the FPGA segment, you guys drove record revenues.

然後在 FPGA 領域，你們創造了創紀錄的收入。

Obviously, the Microsemi team built a strong no-aero leadership franchise there, and I think Ganesh talked about some of the new opportunities with the mid-range PolarFire family, which is more for kind of like multi-market applications, but sounds like, overall, the business is doing well.

顯然，Microsemi 團隊在那裡建立了強大的非航空領導特許經營權，我認為 Ganesh 談到了中端 PolarFire 系列的一些新機會，這更像是多市場應用，但聽起來，總的來說，生意做得很好。

Can you guys just give us a sense on how strongly the FPGA business is growing on a year-over-year basis?

你們能告訴我們 FPGA 業務同比增長有多強勁嗎？

So I don't have a year-over-year comparison.

所以我沒有逐年比較。

Somewhat, it won't be valid because it will be a sell-in by putting a high channel inventory versus a sell-through that we're measuring.

在某種程度上，這將是無效的，因為它將通過放置高渠道庫存而不是我們正在測量的銷售來進行銷售。

So that's why we said, based on a sell-through basis, the numbers were a record, was all-time record.

所以這就是為什麼我們說，基於銷售基礎，這個數字是一個記錄，是歷史記錄。

And I won't have a year-over-year comparison since we haven't had the business for a year.

而且我不會進行同比比較，因為我們已經一年沒有開展業務了。

But the business is doing very well.

但是生意做得很好。

It's doing very well in defense and aerospace.

它在國防和航空航天領域做得很好。

It's doing very well in the multimarket, has very good design-in funnel.

它在多市場中表現非常好，具有非常好的設計漏斗。

The next-generation architecture, which is Gen 5, is just going into market and just introducing at the sample level.

下一代架構，即第 5 代，剛剛進入市場並僅在樣本級別推出。

There's a significant demand pull on that, so I think we're very optimistic about that business.

這方面有很大的需求拉動，所以我認為我們對該業務非常樂觀。

We'll go next to Jefferies, Mark Lipacis.

接下來我們將請 Jefferies 和 Mark Lipacis 發言。

Just one.

只有一個。

Steve, a number of the contract manufacturers with a global footprint have talked about some of the customers already shifting manufacturing outside of China and accelerated quote activity with their customers to do as much.

史蒂夫，許多足跡遍布全球的合同製造商談到了一些客戶已經將製造轉移到中國以外的地方，並加快了與客戶的報價活動以做到這一點。

I was wondering if you were noticing that, any evidence or anecdotes on that front and to the extent that you think that might be causing some near-term disruption.

我想知道您是否注意到這方面的任何證據或軼事，以及您認為這可能導致近期中斷的程度。

You're very correct.

你說得很對。

We're seeing that, too.

我們也看到了。

So 2 things are happening.

所以發生了兩件事。

One, if there are 2 sources of production, 1 in China and 1 outside of China.

一，如果有2個生產來源，1個在中國，1個在中國以外。

Then some attempt is being made to take the Chinese production and sell it to Europe and Asia and take the non-Chinese production and ship it to U.S. This way, you can optimize and not pay any duties.

然後正在嘗試將中國生產的產品銷往歐洲和亞洲，並將非中國生產的產品運往美國。這樣，您可以優化而不支付任何關稅。

Two challenges in that.

其中有兩個挑戰。

Number one, it's a lot of manual work, and most people aren't set up to really differentiate the product where it should go.

第一，這是大量的手工工作，而且大多數人都沒有準備好真正區分產品應該去的地方。

But manually and then writing some automation, it's really being done.

但是手動然後寫一些自動化，它真的在做。

But it's not perfect because, in many cases, the U.S. demand is not exactly equal to the non-Chinese production and Europe and demand isn't equal to Chinese production.

但這並不完美，因為在許多情況下，美國的需求並不完全等於非中國的生產，歐洲的需求也不等於中國的生產。

So there are still problems.

所以還是有問題。

So to solve that problem, you're correct.

所以要解決這個問題，你是對的。

There are many customers that are moving Chinese production to outside of China, but they're rapidly running into capacity issues.

有許多客戶正在將中國的生產轉移到中國以外的地方，但他們很快就遇到了產能問題。

Where the outside factories are full, there was a little bit space, and they are now full.

外面工廠滿的地方，有一點空間，現在滿了。

And there is a lot more to be transferred from China, but there's no place to put it till they really expand capacity, build more square footage and all that.

還有很多東西要從中國轉移，但在他們真正擴大產能、建造更多建築面積等等之前，沒有地方放。

And that's a slow process.

這是一個緩慢的過程。

So yes, we're seeing that.

所以是的，我們看到了。

And at this time, I'd like to turn things back to Steve Sanghi for any closing remarks.

在這個時候，我想把事情轉回給史蒂夫桑吉，讓他發表任何結束語。

Well, we want to thank all of our customers and analysts for your patience and for your understanding.

嗯，我們要感謝我們所有的客戶和分析師的耐心和理解。

I think this has been a tough 4 months here, but I think we have done a lot of good work in cleaning up the Microsemi inventory.

我認為這是艱難的 4 個月，但我認為我們在清理 Microsemi 庫存方面做了很多出色的工作。

And at the same time, it's really the first acquisition whose timing was such that the wind is not on our back.

同時，這確實是第一次收購，其時機恰到好處，風不在我們的背上。

We did a number of other acquisitions and the timing was great.

我們進行了許多其他收購，時機非常好。

Here, along with the Microsemi inventory challenges, we're also facing this downturn in the business, and so we're dealing with dual challenges.

在這裡，除了 Microsemi 的庫存挑戰外，我們還面臨著業務低迷，因此我們正在應對雙重挑戰。

But I think we posted a pretty good quarter.

但我認為我們發布了一個相當不錯的季度。

And despite sequentially down guidance, I think we're managing the inventory very well, the internal inventory is in very good shape.

儘管連續下調指引，但我認為我們的庫存管理得很好，內部庫存狀況非常好。

Overall gross margin, operating margins are still very, very good.

總體毛利率、營業利潤率仍然非常非常好。

And we look forward to really getting through these issues and getting back to our long-term $8 earnings target.

我們期待真正解決這些問題並回到我們 8 美元的長期盈利目標。

So thank you very much.

非常感謝。

And that does conclude today's conference.

今天的會議到此結束。

Again, thank you all for joining us.

再次感謝大家加入我們。