微晶片科技 (MCHP) 2023 Q4 法說會逐字稿

Greetings, and welcome to the Microchip Technologies Q3 and FY '23 Financial Results Conference Call.

您好，歡迎來到 Microchip Technologies 第三季度和 FY '23 財務業績電話會議。

(Operator Instructions)

（操作員說明）

As a reminder, this conference is being recorded. It is now my pleasure to introduce your host, Mr. Eric Bjornholt, Senior Vice President and CFO. Thank you, and you may proceed, sir.

提醒一下，這次會議正在錄製中。現在我很高興向您介紹主持人，高級副總裁兼首席財務官 Eric Bjornholt 先生。謝謝，您可以繼續了，先生。

Okay. Thank you, and good afternoon, everyone. 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. We wish to caution you that such statements are predictions and that actual events or results may differ materially. 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. In attendance with me today are Ganesh Morley, Microchip's President and CEO; Steve Sanghi, Microchip's Executive Chair; and Sajid Daudi, Microchip's Head of Investor Relations.

好的。謝謝，大家下午好。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。我們想提醒您，此類陳述是預測，實際事件或結果可能存在重大差異。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。今天和我一起出席的有 Microchip 總裁兼首席執行官 Ganesh Morley； Microchip 執行主席 Steve Sanghi；和 Microchip 投資者關係主管 Sajid Daudi。

I will comment on our fourth quarter and full fiscal year 2023 financial performance. Ganesh will then provide commentary on our results and discuss the current business environment as well as our guidance, and Steve will provide an update on our cash return strategy. We will then be available to respond to specific investor and analyst questions. We are including information in our press release and this conference call on various GAAP and non-GAAP measures. We have posted a full GAAP to non-GAAP reconciliation on the Investor Relations page of our website at www.microchip.com, and included reconciliation information in our earnings press release which we believe you will find useful when comparing our GAAP and non-GAAP results.

我將評論我們第四季度和整個 2023 財年的財務業績。 Ganesh 隨後將對我們的結果發表評論並討論當前的商業環境以及我們的指導意見，而 Steve 將提供我們現金回報策略的最新信息。然後我們將可以回答具體的投資者和分析師問題。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。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 對帳，並在我們的收益新聞稿中包含了對帳信息，我們相信您在比較我們的 GAAP 和非 GAAP 時會發現這些信息很有用結果。

We have also identified and posted a summary of our outstanding debt and our leverage metrics on our website. I will now go through some of the operating results, including net sales, gross margin and operating expenses. Other than net sales, I will be referring to these results on a non-GAAP basis, which is based on expenses prior to the effects of our acquisition activities, share-based compensation and certain other adjustments as described in our earnings press release and in the reconciliation on our website.

我們還在我們的網站上確定並發布了未償債務和槓桿指標的摘要。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。除淨銷售額外，我將在非 GAAP 基礎上提及這些結果，這是基於我們的收購活動、基於股份的薪酬以及我們的收益新聞稿和我們網站上的對賬。

Net sales in the March quarter were $2.233 billion, which was up 2.9% sequentially. We have posted a summary of our net sales by product line and geography on our website for your reference. On a non-GAAP basis, gross margins were a record at 68.3%. Operating expenses were at 20.7% and operating income was a record 47.65%. Non-GAAP net income was a record $907.8 million, non-GAAP earnings per diluted share was a record $1.64 and $0.01 above the high end of our guidance range. On a GAAP basis in the March quarter, gross margins were a record at 68%.

3 月當季淨銷售額為 22.33 億美元，環比增長 2.9%。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淨銷售額摘要，供您參考。在非美國通用會計準則的基礎上，毛利率達到創紀錄的 68.3%。營業費用為 20.7%，營業收入為創紀錄的 47.65%。非 GAAP 淨收入達到創紀錄的 9.078 億美元，非 GAAP 每股攤薄收益達到創紀錄的 1.64 美元，比我們指導範圍的上限高出 0.01 美元。根據美國通用會計準則，第三季度的毛利率達到創紀錄的 68%。

Total operating expenses were $671.3 million and included acquisition and tangible amortization of $167.4 million, vessel charges of $2.1 million, $2.3 million of acquisition-related and other costs and share-based compensation of $37.8 million. GAAP net income was a record $604 million, resulting in a record $1.09 in earnings per diluted share. As compared to a year ago quarter, our March quarter GAAP tax expense was adversely impacted by a variety of factors, notably the tax expense recorded as a result of the capitalization of R&D expenses for tax purposes.

總運營費用為 6.713 億美元，包括 1.674 億美元的收購和有形攤銷、210 萬美元的船舶費用、230 萬美元的收購相關成本和其他成本以及 3780 萬美元的股份補償。 GAAP 淨收入達到創紀錄的 6.04 億美元，每股攤薄收益達到創紀錄的 1.09 美元。與去年同期相比，我們的 3 月季度 GAAP 稅費受到多種因素的不利影響，特別是由於出於稅收目的將研發費用資本化而記錄的稅費。

For fiscal year 2023, net sales were a record $8.439 billion and were up 23.7% from net sales in fiscal year 2022. On a non-GAAP basis, gross margins were a record 67.8%. Operating expenses were 20.9% of sales and operating income was a record 46.9% of sales. Non-GAAP net income was a record $3.353 billion, and EPS was a record at $6.02 per diluted share. On a GAAP basis, gross margins were also a record at 67.5%, operating expenses were 30.6% of sales and operating income was 36.9% of sales.

2023 財年，淨銷售額達到創紀錄的 84.39 億美元，比 2022 財年的淨銷售額增長 23.7%。按非美國通用會計準則計算，毛利率達到創紀錄的 67.8%。營業費用佔銷售額的 20.9%，營業收入佔銷售額的 46.9%，創歷史新高。非 GAAP 淨收入達到創紀錄的 33.53 億美元，每股收益達到創紀錄的每股攤薄收益 6.02 美元。根據 GAAP，毛利率也創歷史新高，達到 67.5%，營業費用佔銷售額的 30.6%，營業收入佔銷售額的 36.9%。

Net income was $2.238 billion and EPS was $4.02 per diluted share. Our non-GAAP cash tax rate was 10.8% in the March quarter and 10.9% for fiscal year 2023. Our non-GAAP tax rate for fiscal year 2024 is expected to be about 14%, which is exclusive of the transition tax and any tax audit settlements related to taxes occurred in prior fiscal years. Our fiscal '24 cash tax rate is expected to be higher than our fiscal '23 tax rate for a variety of factors, including lower availability of tax attributes, such as net operating losses and tax credits, lower tax depreciation with our expectation for lower capital expenditures in the U.S. in fiscal 2024 as well as the impact of current tax rules requiring the capitalization of R&D expenses for tax purposes.

淨收入為 22.38 億美元，攤薄後每股收益為 4.02 美元。我們的非 GAAP 現金稅率在 3 月季度為 10.8%，2023 財年為 10.9%。我們 2024 財年的非 GAAP 稅率預計約為 14%，這不包括過渡稅和任何稅項與稅收有關的審計結算發生在以前的財政年度。由於各種因素，我們的 24 財年現金稅率預計將高於 23 財年的稅率，包括稅收屬性的可用性較低，例如淨營業虧損和稅收抵免，我們對較低資本的預期較低的稅收折舊美國 2024 財年的支出以及現行稅法要求將研發費用資本化以徵稅的影響。

We are still hopeful that the tax rules requiring companies to capitalize R&D expenses will be pushed out or repealed. If this were to happen, we would anticipate about a 200 basis point favorable adjustment to Microchip's non-GAAP tax rate in future periods. Our inventory balance at March 31, 2023, was $1.325 billion. We had 169 days of inventory at the end of the March quarter, which was up 17 days from the prior quarter's level. We have increased our raw materials inventory to help protect our internal manufacturing supply lines. We are carrying higher work in progress to help maximize the utilization of constrained equipment as well as to position ourselves to take advantage of new equipment installations, which should relieve bottlenecks.

我們仍然希望要求公司將研發費用資本化的稅收規則能夠被推出或廢除。如果發生這種情況，我們預計未來期間 Microchip 的非 GAAP 稅率將進行約 200 個基點的有利調整。截至 2023 年 3 月 31 日，我們的庫存餘額為 13.25 億美元。截至 3 月季度末，我們有 169 天的庫存，比上一季度的水平增加了 17 天。我們增加了原材料庫存，以幫助保護我們的內部製造供應線。我們正在進行更高的工作，以幫助最大限度地利用受限設備，並定位自己以利用新設備的安裝，這應該可以緩解瓶頸。

In certain circumstances, we have allowed customers to push out delivery schedules for products that were very far through the manufacturing process. We are investing and building inventory for long-lived, high-margin products whose manufacturing capacity is being end of life by our supply chain partners, and these last-time buys represented about 7 days of inventory at the end of March. We feel that we need to take actions to help ensure that our supply lines can feed our growth beyond what we expect in the June 2023 quarter. We are targeting actions to reduce our inventory down between 5 and 10 days in the June quarter. Inventory at our distributors in the March quarter was at 24 days, which was up 2 days from the prior quarter's level.

在某些情況下，我們允許客戶推遲製造過程中很遠的產品的交貨時間表。我們正在為我們的供應鏈合作夥伴的製造能力正在終止的長壽命、高利潤產品投資和建立庫存，這些最後一次購買代表了 3 月底大約 7 天的庫存。我們認為我們需要採取行動來幫助確保我們的供應線能夠滿足我們在 2023 年 6 月季度超出預期的增長。我們的目標是在 6 月季度將庫存減少 5 到 10 天。我們經銷商在 3 月季度的庫存為 24 天，比上一季度的水平增加了 2 天。

Our cash flow from operating activities was $709.5 million in the March quarter. Included in our cash flow from operating activities was a net $79.5 million of long-term supply assurance receipts from customers and suppliers. We are going to adjust these items out of our free cash flow to determine the adjusted free cash flow that we will return to shareholders through dividends and share repurchases as these payments will be refundable over time as purchase commitments are fulfilled.

我們在 3 月季度的經營活動現金流為 7.095 億美元。我們經營活動產生的現金流中包括來自客戶和供應商的長期供應保證收入淨額 7,950 萬美元。我們將從我們的自由現金流中調整這些項目，以確定我們將通過股息和股票回購返還給股東的調整後的自由現金流，因為隨著購買承諾的履行，這些付款將隨著時間的推移而退還。

Our adjusted free cash flow was $517.3 million in the March quarter and was adversely impacted by our working capital investments this quarter, including $158.4 million increase in inventory and $130.3 million increase in accounts receivable, which we do not expect to repeat in the June quarter.

我們調整後的自由現金流在 3 月季度為 5.173 億美元，受到本季度營運資本投資的不利影響，包括庫存增加 1.584 億美元和應收賬款增加 1.303 億美元，我們預計在 6 月季度不會重複這種情況。

As of March 31, our consolidated cash and total investment position was $234 million. We paid down $153 million of total debt in the March quarter, and our net debt was reduced by $98.1 million. Over the last 19 full quarters that we closed the Microsemi acquisition and incurred over $8 billion of debt to do so, we have now paid down $6.35 billion of the debt and continue to allocate substantially all of our excess cash beyond dividends and stock buyback to bring down this debt. Our adjusted EBITDA in the March quarter was a record at $1.139 billion and 51% of net sales.

截至 3 月 31 日，我們的合併現金和總投資頭寸為 2.34 億美元。我們在 3 月季度償還了 1.53 億美元的總債務，淨債務減少了 9810 萬美元。在過去的 19 個完整季度中，我們完成了對 Microsemi 的收購併因此產生了超過 80 億美元的債務，我們現在已經償還了 63.5 億美元的債務，並繼續分配除股息和股票回購之外的所有多餘現金，以帶來減掉這筆債務。我們在 3 月季度調整後的 EBITDA 達到創紀錄的 11.39 億美元，占淨銷售額的 51%。

Our trailing 12-month adjusted EBITDA was also a record at $4.288 billion, our net debt to adjusted EBITDA was 1.45 at March 31, 2023, down from 1.56 at December 31, 2022, and down from 2.32 at March 31, 2022. Getting our net leverage below 1.5 is a significant milestone for Microchip on its capital returns earnings, which Steve will talk about shortly. Capital expenditures were $112.7 million in the March quarter and $486.2 million for fiscal year 2023. Our expectation for capital expenditures for fiscal year 2024 is between $300 million and $400 million as we still have a lot of equipment that was ordered with long lead times that will be received over the next year. We expect that our capital investments will continue to provide us with increased control over our production during periods of industry-wide constraints. Depreciation expense in the March quarter was $54.1 million.

我們過去 12 個月的調整後 EBITDA 也創下了 42.88 億美元的歷史新高，截至 2023 年 3 月 31 日，我們的淨債務與調整後 EBITDA 之比為 1.45，低於 2022 年 12 月 31 日的 1.56，也低於 2022 年 3 月 31 日的 2.32。低於 1.5 的淨槓桿率是 Microchip 在其資本回報收益方面的一個重要里程碑，Steve 稍後將談到這一點。 3 月季度的資本支出為 1.127 億美元，2023 財年的資本支出為 4.862 億美元。我們對 2024 財年的資本支出的預期在 3 億至 4 億美元之間，因為我們仍然有很多設備的訂購時間很長，這將明年收到。我們預計我們的資本投資將繼續為我們提供在全行業限制期間對我們生產的更多控制。 3 月季度的折舊費用為 5410 萬美元。

I will now turn it over to Ganesh to give us comments on the performance of the business in the March quarter as well as our guidance for the June quarter. Ganesh?

我現在將其轉交給 Ganesh，讓我們對 3 月季度的業務表現以及我們對 6 月季度的指導意見發表評論。像頭神？

Thank you, Eric, and good afternoon, everyone.

謝謝埃里克，大家下午好。

Our March quarter results were strong in the context of a slowing macro environment, marked by our continued disciplined execution as well as our resilient end market. Net sales grew 2.9% sequentially and 21.1% on a year-over-year basis to achieve another all-time record of $2.23 billion. The March quarter represented our tenth consecutive quarter of sequential growth. Non-GAAP gross margin came in at the high end of our guidance at a record 68.3%, up 171 basis points from the year ago quarter. Non-GAAP operating margin also came in close to the high end of our guidance at a record 47.65%, up 292 basis points from the year ago quarter.

在宏觀環境放緩的背景下，我們 3 月季度的業績表現強勁，其特點是我們持續嚴格的執行以及我們富有彈性的終端市場。淨銷售額環比增長 2.9%，同比增長 21.1%，再創歷史新高 22.3 億美元。三月季度是我們連續第十個季度實現連續增長。非 GAAP 毛利率處於我們指導的高端，達到創紀錄的 68.3%，比去年同期增長 171 個基點。非 GAAP 營業利潤率也接近我們指導的高端，達到創紀錄的 47.65%，比去年同期增長 292 個基點。

We continue to make investments that we expect to drive the long-term revenue growth, profitability and durability of our business. Our consolidated non-GAAP diluted earnings per share was above the high end of our guidance at a record of $1.64 per share, up 21.5% from the year ago quarter.

我們繼續進行投資，以推動我們業務的長期收入增長、盈利能力和持久性。我們的合併非 GAAP 攤薄每股收益高於我們指引的上限，達到創紀錄的每股 1.64 美元，比去年同期增長 21.5%。

Adjusted EBITDA was 51% of net sales and adjusted free cash flow was 23.2% of net sales in the March quarter continuing to demonstrate the robust cash generation characteristics of our business. We returned $469.9 million to shareholders in dividends and share repurchases in the March quarter, representing 62.5% of our December quarter adjusted free cash flow. Our net leverage exiting March dropped to 1.45x and as we did mention a quarter ago, our capital returns this quarter will increase to 67.5% of our March quarter adjusted free cash flow as we continue on our plan to return 100% of adjusted free cash flow by the March quarter of calendar year 2025.

調整後的 EBITDA 占淨銷售額的 51%，調整後的自由現金流佔 3 月季度淨銷售額的 23.2%，繼續展示我們業務強勁的現金生成特徵。我們在 3 月季度向股東返還了 4.699 億美元的股息和股票回購，占我們 12 月季度調整後自由現金流的 62.5%。我們 3 月份的淨槓桿率降至 1.45 倍，正如我們在一個季度前提到的那樣，本季度我們的資本回報率將增加到 3 月份季度調整後自由現金流量的 67.5%，因為我們繼續實施返還 100% 調整後自由現金的計劃到 2025 日曆年的三月季度流動。

Reflecting on our fiscal year '23 results, it was another one for the record books. Revenue grew 23.7% to finish at a record $8.4 billion. Non-GAAP gross margin, non-GAAP operating margin, non-GAAP EPS, EBITDA and adjusted free cash flow all set new records. We significantly increased the capital return to shareholders in fiscal year '23 to $1.64 billion, representing a 76.6% growth as compared to fiscal year '22 through a combination of increasing dividends, and our formulaic share buyback program. My heartfelt gratitude to all of our stakeholders who enabled us to achieve these outstanding results and especially to the worldwide Microchip team, whose tireless efforts are what enable us to navigate effectively through the business cycle.

回顧我們 23 財年的業績，這是記錄簿的另一個結果。收入增長 23.7%，達到創紀錄的 84 億美元。非 GAAP 毛利率、非 GAAP 營業利潤率、非 GAAP 每股收益、EBITDA 和調整後的自由現金流均創下新紀錄。通過增加股息和我們的公式化股票回購計劃，我們在 23 財年顯著增加了對股東的資本回報，達到 16.4 億美元，與 22 財年相比增長了 76.6%。我衷心感謝所有使我們取得這些傑出成果的利益相關者，尤其是全球 Microchip 團隊，他們的不懈努力使我們能夠有效地度過商業周期。

Taking a look at our March quarter net sales from a product line perspective, our mixed signal microcontroller net sales set another all-time record, coming in sequentially up 5.8% in the March quarter and up 23.5% on a year-over-year basis. Our 32 bit mix-signal microcontrollers grew at the fastest rate among our mixed-signal microcontroller product line and represented over 48% of our fiscal year '23 mixed signal microcontroller revenue. As you may have noticed, we are clarifying the nomenclature for our microcontrollers going forward to be mixed-signal microcontrollers as they have substantial analog and mixed-signal content integrated on-chip, and as a result, exhibit business characteristics that are more like analog and mixed=signal products.

從產品線的角度來看我們三月季度的淨銷售額，我們的混合信號微控制器淨銷售額再創歷史新高，三月季度環比增長 5.8%，同比增長 23.5% .我們的 32 位混合信號微控制器在我們的混合信號微控制器產品線中增長最快，占我們 23 財年混合信號微控制器收入的 48% 以上。您可能已經註意到，我們正在澄清我們的微控制器的命名法，這些微控制器將成為混合信號微控制器，因為它們在芯片上集成了大量的模擬和混合信號內容，因此表現出更像模擬的業務特徵和混合=信號產品。

Staying with mixed-signal microcontrollers for a moment, Gartner just published their rankings for calendar year '22. Using our publicly reported mixed-signal microcontroller revenue for calendar year '22, which Gartner unexpectedly underreported for Microchip. We ranked #3 and are just 1.4% away from #1. To put this in perspective, just 3 years ago in calendar year 2019, by our estimate, combined with the Gartner data, we were 16.5% away from #1. We are fast closing on the #1 spot.

暫時停留在混合信號微控制器上，Gartner 剛剛發布了 22 年日曆年的排名。使用我們公開報告的 22 日曆年混合信號微控制器收入，Gartner 出人意料地低估了 Microchip 的收入。我們排名第三，距離第一僅 1.4%。從這個角度來看，就在 3 年前的 2019 日曆年，根據我們的估計，結合 Gartner 的數據，我們與第一名的差距為 16.5%。我們正在快速接近第一名。

Moving next to our analog business. Our analog net sales also set another all-time record, coming in sequentially up 1.9% in the March quarter and up 19.9% on a year-over-year basis. Fiscal year '23 analog sales were $2.4 billion, and broke through the $2 billion mark for the first time ever. We are gaining share in our analog business with our total system solutions approach continuing to provide a tailwind for this product line.

接下來是我們的模擬業務。我們的模擬淨銷售額也創下了另一個歷史記錄，在 3 月季度環比增長 1.9%，同比增長 19.9%。 23 財年模擬銷售額為 24 億美元，有史以來首次突破 20 億美元大關。我們在模擬業務中的份額正在增加，我們的整體系統解決方案方法繼續為該產品線提供順風。

While we don't normally break out our FPGA product line results, it is noteworthy to report that our March quarter and fiscal year '23 revenue for FPGA for both records. In fact, our fiscal year '23 FPGA revenue exceeded $550 million, grew more than 31% as compared to fiscal year '22 and delivered operating margins of a north of corporate average. Our design win momentum is strong, and we offer market-leading mid-range FPGA solutions with best-in-class low power, reliability and security. At our Investor Day in November 2021, we emphasized the importance of 6 market megatrends for our long-term growth and shared that we expect that our revenue growth from customers and applications within the megatrends to be approximately 2x of Microchip's growth rate.

雖然我們通常不會公佈我們的 FPGA 產品線結果，但值得注意的是，我們的 3 月季度和 23 財年 FPGA 收入創下了兩項記錄。事實上，我們的 23 財年 FPGA 收入超過 5.5 億美元，與 22 財年相比增長了 31% 以上，營業利潤率高於企業平均水平。我們的設計獲胜勢頭強勁，我們提供市場領先的中檔 FPGA 解決方案，具有一流的低功耗、可靠性和安全性。在 2021 年 11 月的投資者日，我們強調了 6 大市場大趨勢對我們長期增長的重要性，並分享了我們預計我們在大趨勢中來自客戶和應用的收入增長約為 Microchip 增長率的 2 倍。

We just completed our revenue by megatrend analysis for fiscal year '23. As compared to fiscal year '21, which is the last time we conducted the same analysis, Microchip overall revenue grew 55.2% while revenue from our megatrends grew 108.5%, right in line with our expectation of roughly 2x growth from the megatrend. Revenue from the 6 megatrends represented approximately 45% of our fiscal year '23 revenue as compared to approximately 34% of our fiscal year '21 revenue.

我們剛剛通過大趨勢分析完成了 23 財年的收入。與我們最後一次進行相同分析的 21 財年相比，Microchip 的總收入增長了 55.2%，而我們的大趨勢收入增長了 108.5%，這符合我們對大趨勢增長約 2 倍的預期。來自 6 大趨勢的收入約占我們 23 財年收入的 45%，而占我們 21 財年收入的約 34%。

We also just completed our revenue by end market analysis for fiscal '23. As compared to fiscal '22, our industrial business grew from 40% to 41% of our revenue. Our data center and computing business grew from 18% to 19% of our revenue. And our consumer appliance business declined from 14% to 12% of our revenue. Automotive and communications infrastructure remained unchanged at 17% and 11% of our revenue, respectively.

我們還剛剛完成了 23 財年終端市場分析的收入。與 22 財年相比，我們的工業業務佔收入的比例從 40% 增長到 41%。我們的數據中心和計算業務占我們收入的比例從 18% 增長到 19%。我們的消費電器業務占我們收入的比例從 14% 下降到 12%。汽車和通信基礎設施保持不變，分別占我們收入的 17% 和 11%。

As you can see from the data, slowly but surely, we continue to curate an increasing proportion of our business towards less volatile and more resilient end markets. Now for some color on the March quarter. While our overall business remained strong in the March quarter, many of our customers felt the effect of slowing economic activity and increased business uncertainty, request to push out or cancel backlog increase, and we were able to push out significant amounts of backlog to later quarters to help customers with inventory positions.

正如您從數據中看到的那樣，我們會緩慢但肯定地繼續將越來越多的業務投放到波動較小且更具彈性的終端市場。現在為三月季度的一些顏色。雖然我們的整體業務在 3 月季度保持強勁，但我們的許多客戶感受到經濟活動放緩和業務不確定性增加的影響，要求推遲或取消積壓訂單增加，我們能夠將大量積壓訂單推遲到以後的季度幫助客戶進行庫存定位。

This resulted in our days of inventory growing. We are comfortable with this inventory growth given the very long life cycles and durable end markets for our products. By taking action to reduce customer inventory overbuild and carrying that inventory on our balance sheet, we expect to increase our odds of achieving a soft landing and also expect to be better positioned to respond to demand growth and the macro environment strengthened.

這導致我們的庫存日增。鑑於我們的產品具有非常長的生命週期和耐用的終端市場，我們對這種庫存增長感到滿意。通過採取行動減少客戶庫存過度建設並將該庫存計入我們的資產負債表，我們希望增加實現軟著陸的機率，並希望能夠更好地應對需求增長和宏觀環境的增強。

Consistent with the slowing macro environment and the growth in our inventory we have paused most of our internal factory expansion plans, reduced our capital investment plan for fiscal year '24 and taken steps to lower our inventory in the coming quarters. As a result of the uncertain macro environment and multiple quarters worth of backlog on our books, our bookings have slowed down as expected over the last 2 quarters. In order to provide customers with more flexibility in an uncertain demand environment as well as to achieve a more healthy and sustainable long-term supply-demand balance, we are striving to bring average lead times down to under 26 weeks over the course of the second half of 2023.

與放緩的宏觀環境和庫存增長相一致，我們暫停了大部分內部工廠擴張計劃，減少了 24 財年的資本投資計劃，並採取措施在未來幾個季度降低庫存。由於不確定的宏觀環境和我們賬簿上多個季度的積壓，我們的預訂在過去兩個季度中如預期的那樣放緩。為了在不確定的需求環境中為客戶提供更大的靈活性，並實現更健康和可持續的長期供需平衡，我們正在努力將第二季度的平均交貨時間縮短至 26 週以下2023年的一半。

We believe there are 3 reasons why Microchip's business continues to demonstrate more resilience in the midst of the weakness seen by some of our semiconductor -- some other semiconductor companies: First, on the demand side, the end markets that we have the most exposure to; industrial, which includes aerospace and defense; automotive and data center; and the applications within these end markets where we are strong, are less volatile and comparatively more resilient.

我們認為 Microchip 的業務在我們的一些半導體 - 其他一些半導體公司所看到的疲軟中繼續表現出更大的彈性有 3 個原因：首先，在需求方面，我們接觸最多的終端市場;工業，包括航空航天和國防；汽車和數據中心；以及我們強大的這些終端市場中的應用程序，波動較小且相對更具彈性。

Second, on the supply side, a vast majority of our products are built on specialized technologies requiring trailing edge capacity. This is the capacity that has been most constrained over the last 2-plus years and where there was less opportunity to overship to consumption. And third, a laser focus on organic growth for multiple years by concentrating on total system solutions and higher growth megatrends, which we just discussed a few minutes ago, has translated into increased design wins, further share gains and a resultant revenue tailwind.

其次，在供應方面，我們的絕大多數產品都建立在需要後端能力的專業技術之上。這是過去 2 年多來最受限制的產能，而且過剩消費的機會較少。第三，我們幾分鐘前剛剛討論過，通過專注於整體系統解決方案和更高增長的大趨勢，多年來一直專注於有機增長，這已經轉化為更多的設計勝利、進一步的份額增長和由此產生的收入順風。

A quick update regarding the CHIPS Act. We have been getting the benefit of the investment tax credit since the beginning of this year, and we are in the process of submitting our applications for grants to support expansion in several of our domestic factories. The timeline for when grants may be approved is not yet determinable.

關於 CHIPS 法案的快速更新。自今年年初以來，我們一直在享受投資稅收抵免的好處，我們正在提交補助金申請，以支持我們國內幾家工廠的擴張。何時可以批准贈款的時間表尚未確定。

Now let's get to the guidance for the June quarter. Although our backlog for the June quarter is strong, we expect to continue to take active steps to help customers with inventory positions to push out their backlog. Taking all the factors we have discussed on the call today into consideration, we expect our net sales for the June quarter to be up between 1% and 4% sequentially. At the midpoint of our net sales guidance, our year-over-year growth in the June quarter would be a strong 16.5%. We expect our non-GAAP gross margin to be between 68.3% and 68.5% of sales. We expect non-GAAP operating expenses to be between 20.1% and 20.5% of sales, and we expect non-GAAP operating profit to be between 47.8% and 48.4% of sales. We expect our non-GAAP diluted earnings per share to be between $1.63 and $1.65. At the midpoint of our non-GAAP EPS guidance, our year-over-year growth for the June quarter would be a strong 19.7% despite a much higher tax rate than the year ago quarter.

現在讓我們來看看 6 月季度的指導。儘管我們 6 月季度的積壓訂單量很大，但我們希望繼續採取積極措施幫助有庫存的客戶推出積壓訂單。考慮到我們今天在電話會議上討論的所有因素，我們預計 6 月季度的淨銷售額將環比增長 1% 至 4%。在我們的淨銷售額指引的中點，我們在 6 月季度的同比增長將強勁 16.5%。我們預計我們的非 GAAP 毛利率將在銷售額的 68.3% 至 68.5% 之間。我們預計非 GAAP 營業費用將佔銷售額的 20.1% 至 20.5%，我們預計非 GAAP 營業利潤將佔銷售額的 47.8% 至 48.4%。我們預計我們的非 GAAP 攤薄後每股收益將在 1.63 美元至 1.65 美元之間。在我們的非 GAAP 每股收益指引的中點，儘管稅率比去年同期高得多，但我們 6 月季度的同比增長將強勁 19.7%。

Finally, as you can see from our March quarter results and our June quarter guidance, our Microchip 3.0 strategy, which we launched 18 months ago is firing on all cylinders as we continue to build and improve what we believe is one of the most diversified, defensible, high growth, high margin, high cash generating businesses in the semiconductor industry. However, we also recognize that we operate in a cyclical industry and that we are not immune to business cycles. But if you review Microchip's speak to trust performance through the business cycles over the last 15-plus years, you will observe our robust and consistent cash generation, gross margin and operating margin results. Although we don't foresee any significant decline in our business, if we were to experience the semiconductor inventory correction, like the industry has seen in the past, we are highly confident that our non-GAAP operating margins would remain well above 40%.

最後，正如您從我們 3 月季度的業績和 6 月季度的指導中看到的那樣，我們 18 個月前推出的 Microchip 3.0 戰略正在全力以赴，我們將繼續構建和改進我們認為最多元化的戰略之一，半導體行業中具有防禦性、高增長、高利潤、高現金產生能力的企業。然而，我們也認識到我們在周期性行業中運營，並且我們不能免受商業周期的影響。但是，如果您回顧 Microchip 在過去 15 多年的商業周期中的表現，您會發現我們穩健且一致的現金生成、毛利率和營業利潤率結果。儘管我們預計我們的業務不會出現任何顯著下滑，但如果我們經歷半導體庫存調整，就像行業過去看到的那樣，我們非常有信心我們的非 GAAP 營業利潤率將保持在 40% 以上。

We remain cautiously optimistic about navigating to a soft landing for our business in this cycle and expect our cash generation gross margin and operating margin to once again demonstrate consistency and resiliency through the cycles. With that, let me pass the baton to Steve to talk about our cash return to shareholders. By the way, Steve just published a new book called Up and to the Right, which chronicles building Microchip into a technology juggernaut. Investors and analysts can get additional insights from the book about the foundational elements behind Microchip's long-term business success. Steve?

我們對在這個週期中實現業務軟著陸持謹慎樂觀態度，並預計我們的現金產生毛利率和營業利潤率將再次展示整個週期的一致性和彈性。有了這個，讓我把接力棒傳給史蒂夫，談談我們對股東的現金回報。順便說一下，史蒂夫剛剛出版了一本名為 Up and to the Right 的新書，其中記錄了將 Microchip 打造成為技術巨頭的過程。投資者和分析師可以從本書中獲得有關 Microchip 長期業務成功背後的基本要素的更多見解。史蒂夫？

Thank you, Ganesh, and thanks for the plug on the book, and good afternoon, everyone. I would like to reflect on our financial results announced today and provide you further updates on our cash return strategy. Reflecting on our financial results, I continue to be very proud of all employees of Microchip that have delivered another exceptional quarter while making new records in many respects, namely: Record net sales, record non-GAAP gross margin percentage, record non-GAAP operating margin percentage, record non-GAAP EPS and record adjusted EBITDA and all of that in a continuing challenging environment.

謝謝你，Ganesh，也感謝本書的插頁，大家下午好。我想回顧一下我們今天公佈的財務業績，並為您提供有關我們現金回報策略的進一步更新。回顧我們的財務業績，我繼續為 Microchip 的所有員工感到自豪，他們又交付了一個出色的季度，同時在許多方面創造了新紀錄，即：創紀錄的淨銷售額、創紀錄的非 GAAP 毛利率百分比、創紀錄的非 GAAP 運營利潤率、創紀錄的非 GAAP 每股收益和創紀錄的調整後 EBITDA 以及所有這些都是在持續充滿挑戰的環境中實現的。

The Board of Directors announced an increase in the dividend of 38.8% from the year ago quarter to $0.383 per share. During the last quarter, we purchased $273.9 million of our stock in the open market. We also paid out $195.9 million in dividends. Thus, the total cash return was $469.8 million. This amount was 62.5% of our actual adjusted free cash flow of $751.6 million during the December 2022 quarter. Our paydown of debt as well as record adjusted EBITDA drove down our net leverage at the end of March 2023 quarter to 1.45x from 1.56x at the end of December 2022. This also marks the pivotal point of our net leverage going below 1.5x, at which we further accelerate our cash return to the shareholders, which I will describe further. Ever since we achieved an investment-grade rating for our debt in November 2021 and pivoted to increasing our capital return to shareholders, we have returned $2.336 billion to shareholders through March 31, 2023, by a combination of dividends and share buybacks.

董事會宣布股息較去年同期增加 38.8% 至每股 0.383 美元。在上個季度，我們在公開市場上購買了 2.739 億美元的股票。我們還支付了 1.959 億美元的股息。因此，總現金回報為 4.698 億美元。這一數額佔 2022 年 12 月季度實際調整後自由現金流 7.516 億美元的 62.5%。我們償還債務以及創紀錄的調整後 EBITDA 將我們在 2023 年 3 月末季度的淨槓桿率從 2022 年 12 月末的 1.56 倍降至 1.45 倍。這也標誌著我們的淨槓桿率低於 1.5 倍的關鍵點，我們將進一步加快向股東的現金回報，我將進一步描述。自從我們的債務在 2021 年 11 月獲得投資級評級並轉向增加對股東的資本回報以來，截至 2023 年 3 月 31 日，我們已通過股息和股票回購相結合的方式向股東返還了 23.36 億美元。

In the current June quarter, we will use the adjusted free cash flow from the March quarter to target the amount of cash returned to shareholders. The adjusted free cash flow excludes a net $79.5 million that we collected from our customers and paid to our suppliers for long-term supply assurance payment. These payments are refundable when purchase commitments are fulfilled. The adjusted free cash flow for the March quarter was $517.3 million. We plan to return 67.5% or $349.2 million of that amount to our shareholders with the dividend expected to be approximately $209 million and the stock buyback expected to be approximately $140.2 million.

在當前的 6 月季度，我們將使用 3 月季度調整後的自由現金流來確定返還給股東的現金金額。調整後的自由現金流不包括我們從客戶那裡收取並支付給供應商的長期供應保證金淨額 7950 萬美元。履行購買承諾後，這些付款可退還。 3 月季度調整後的自由現金流為 5.173 億美元。我們計劃將其中的 67.5% 或 3.492 億美元返還給我們的股東，股息預計約為 2.09 億美元，股票回購預計約為 1.402 億美元。

The above numbers reflect a pivot in 1 area. We are increasing the total return to shareholders in 500 basis point increments per quarter instead of the 250 basis points we were increasing until now. Going forward, we plan to continue to increase free cash flow return to shareholders by 500 basis points every quarter until we reach 100% of our adjusted free cash flow returned to shareholders. That will take 7 more quarters and dividends over time, we expect will represent approximately 50% of our cash returns.

上述數字反映了 1 個區域的支點。我們正在以每季度 500 個基點的增量增加股東的總回報，而不是我們之前增加的 250 個基點。展望未來，我們計劃繼續將每個季度返還給股東的自由現金流增加 500 個基點，直到我們達到返還給股東的調整後自由現金流的 100%。隨著時間的推移，這將需要 7 個季度和股息，我們預計將占我們現金回報的大約 50%。

With that, operator, will you please poll for questions.

有了這個，接線員，請你輪詢問題。

(Operator Instructions) The first question comes from Toshiya Hari from Goldman Sachs.

（操作員說明）第一個問題來自高盛的 Toshiya Hari。

I was hoping you could give a little bit more color and context in terms of the demand environment. Ganesh, you talked about experiencing push-outs from your customers an uptick in cancellations. But are these sort of events broad-based across geographies and end markets and device types? Or is it a little bit more concentrated? And then I have a follow-up.

我希望你能在需求環境方面提供更多的顏色和背景。 Ganesh，您談到了客戶的拒絕和取消數量的增加。但是，這類事件是否具有廣泛的跨地域、終端市場和設備類型的基礎？還是更集中一點？然後我有一個後續行動。

Generally speaking, I would say that our cross section of those requests from many geographies, many customers, many end markets. We also continue to have constrained products on which there are shortages that we're trying to accelerate product for. So it is not only 1 directional in which the demand reflects are coming in at.

一般來說，我會說我們的橫截面來自許多地區、許多客戶、許多終端市場。我們還繼續限制產品短缺，我們正試圖為其加速產品。因此，需求反映的不僅僅是一個方向。

Got it. And then as my follow-up, just your thoughts on trough gross margins. You provided a good context in terms of operating margins. I think you said well above 40% in a kind of a recessionary or contractionary environment. How should we think about gross margins off of these record levels as you work down inventory and presumably reduce utilization rates?

知道了。然後作為我的後續行動，只是你對低谷毛利率的看法。您在營業利潤率方面提供了良好的背景。我認為你說的是在一種衰退或緊縮的環境中遠高於 40%。當您減少庫存並可能降低利用率時，我們應該如何考慮這些創紀錄水平的毛利率？

They're going to be (expletive) good. If you look at our history, you can get a pretty good idea of what the gross margin trough to peak or peak to trough look like. We are sitting at 48% operating margin, giving you 8 percentage points as a bottom end of where this is going to be an operating margin, I think you can draw the conclusion relatively easily.

他們會（咒罵）好。如果你看看我們的歷史，你可以很好地了解毛利率從波峰到波峰或從波峰到波谷的情況。我們的營業利潤率為 48%，給你 8 個百分點作為營業利潤率的底端，我認為你可以相對容易地得出結論。

And we have some charts on our website to look at the last 15 years of history, and you can draw some conclusions from that.

我們的網站上有一些圖表可以查看過去 15 年的歷史，您可以從中得出一些結論。

The next question comes from Ambrish Srivastava from BMO Capital Markets.

下一個問題來自 BMO Capital Markets 的 Ambrish Srivastava。

Yes, that chart was very helpful, Eric. I had my -- for my first question. For the last few quarters, you have been guiding for the quarter out. And so I just wanted to make sure that you are not able to guide for September vis-a-vis if you just look at how the business has changed, and I'm just reading your comments, it sounds like that confidence is not bad this quarter?

是的，那個圖表很有幫助，埃里克。我有我的 - 我的第一個問題。在過去的幾個季度中，您一直在指導本季度的工作。所以我只是想確保如果你只是看看業務發生了怎樣的變化，你就無法指導 9 月份的情況，我只是在閱讀你的評論，聽起來信心還不錯這個季度？

So we have not adopted a consistent practice of providing more than 1 quarter guidance. At certain points of time, we have elected to provide more than 1 quarter guidance or directional guidance sometimes and this is when we believed it would help investors and analysts better frame our current quarter guidance. Having provided the extra quarter of directional guidance for 3 quarters in a row, it did not appear to add much value to analysts or investors who are more worried about the overall semiconductor industry cycle. And in fact, it seemed to elicit more skepticism in our ability to provide guidance and confidence in our understanding of the business. And therefore, we've decided to end the temporary practice we've started and revert to just providing 1 quarter's guidance.

因此，我們沒有採用一致的做法來提供超過 1 個季度的指導。在某些時間點，我們有時會選擇提供超過 1 個季度的指導或方向性指導，而此時我們相信這將有助於投資者和分析師更好地制定我們當前的季度指導。連續 3 個季度提供額外的季度方向指引，它似乎並沒有給更擔心整個半導體行業周期的分析師或投資者增加多少價值。事實上，它似乎引起了更多人對我們提供指導的能力和對我們對業務的理解的信心的懷疑。因此，我們決定結束我們已經開始的臨時做法，恢復到只提供 1 個季度的指導。

Makes sense, except it proved how wrong I was every quarter. I just had a question on the push out, Ganesh. How do they come back to the overall PSP? I'm assuming that this is not in the NCNR because those you have said in the past, you're not willing to negotiate or less willing to negotiate on? Is that the right way to think about it? The PSP has both NCNRs and non-NCNRs and a push out some more related to the non-NCNRs.

有道理，除了它證明我每個季度都錯了。 Ganesh，我只是有一個關於推出的問題。他們如何回到整個PSP？我假設這不在 NCNR 中，因為你過去說過，你不願意談判或不太願意談判？這是正確的思考方式嗎？ PSP 既有 NCNR 也有非 NCNR，並推出了一些與非 NCNR 相關的內容。

So maybe let me clarify. All PSP backlog is noncancelable, non-reschedulable. What I have said before is that we are not flexible in the noncancelable portion we are flexible on the non-reschedulable and that's where we're pushing up. So we are pushing our backlog, PSP or not into further quarters. And that's the way in which we support customers who -- whose business environment has changed and who have concern about their inventory level and in the process, hopefully, create less of an overhang that we will run into and more of a soft landing for our own business. But we are flexible on the reschedulability, just not on the non-cancelablity.

所以也許讓我澄清一下。所有 PSP 待辦事項均不可取消、不可重新安排。我之前說過，我們在不可取消的部分不靈活，我們在不可重新安排的部分靈活，這就是我們要推進的地方。因此，我們正在將積壓的訂單（無論是否是 PSP）推入更多季度。這就是我們支持客戶的方式 - 他們的業務環境已經發生變化並且擔心他們的庫存水平並且在此過程中，希望減少我們將遇到的過剩問題並為我們的軟著陸創造更多自己的事。但是我們在可重新安排方面是靈活的，只是在不可取消方面沒有。

The next question comes from Vivek Arya from Bank of America.

下一個問題來自美國銀行的 Vivek Arya。

Ganesh, I wanted to revisit again this question of end market. So there's a perception that aerospace defense, medical parts of data center these markets are holding up better. So can you give us a sense that in the last 3 months, specifically which end markets or customers in which end market have asked you or you have asked them and they have agreed to pushing off some of their demand because I just want to make sure that are we -- when you say a soft landing, are we talking about revenues kind of floating at plus/minus the levels you're giving for June? Or is there some bigger drop off? And like having that end market view, I think we'll be better prepared to analyze, right, where -- how we should be thinking about September and December?

Ganesh，我想再次討論終端市場這個問題。因此，人們認為航空航天防禦、數據中心的醫療部分這些市場的表現更好。那麼，您能否告訴我們，在過去 3 個月中，具體來說，哪些終端市場或哪個終端市場的客戶已經問過您，或者您已經問過他們，並且他們同意推遲他們的部分需求，因為我只是想確保那就是我們——當你說軟著陸時，我們是在談論收入在你給 6 月份的水平上下浮動嗎？還是有更大的下降？就像擁有最終市場觀點一樣，我認為我們會更好地準備分析，對，在哪裡 - 我們應該如何考慮 9 月和 12 月？

In an absolute sense. There's no end market that I can say is the only one that has a problem or one that has no problem at all. It's all on a relative basis. And so the strength comes from those end markets where there's far better resilience, far better end market characteristics. Those are the ones we described as industrial, including aerospace and defense, automotive, parts of the data center that we have exposure to. And even if you look at industrial, I know different people have had different comments on it, but our exposure in industrial is dominated by aerospace and defense, renewable energy, energy efficiency, factory automation, medical, infrastructure. These are all the parts of industrial that dominate us.

在絕對意義上。我可以說沒有哪個終端市場是唯一有問題或根本沒有問題的。這都是相對的。因此，實力來自那些具有更好的彈性、更好的終端市場特徵的終端市場。這些是我們描述為工業的，包括航空航天和國防、汽車、我們接觸過的數據中心的部分。即使你看工業，我知道不同的人對此有不同的評論，但我們在工業領域的曝光主要是航空航天和國防、可再生能源、能源效率、工廠自動化、醫療、基礎設施。這些都是主導我們的工業部分。

Now within that, is there going to be somebody asking for a pushout or reschedule or a swap of certain products? Sure, there'll be some of that. But in the aggregate, that end market is doing extremely well compared to the rest of the end markets that perhaps are in consumer and phones and others, which we don't have much exposure to.

現在，是否會有人要求推出或重新安排或交換某些產品？當然，會有一些。但總的來說，與我們沒有太多涉足的其他終端市場相比，終端市場的表現非常好，這些終端市場可能是消費者和手機以及其他終端市場。

Got it. And for my follow-up, I just actually had 2 quick clarifications, perhaps what I, I think just what is the right way to look at the other expense line? And any implication of kind of the rising rates on your debt servicing? And then OpEx, right, it's kind of -- our OpEx intensity is lower than your long-term model. So how are you planning to manage expenses as the business goes through this kind of slowdown in the near term?

知道了。對於我的後續行動，我實際上只是有 2 個快速澄清，也許我認為查看其他費用線的正確方法是什麼？利率上升對你的償債有何影響？然後是 OpEx，對，有點——我們的 OpEx 強度低於您的長期模型。那麼，隨著企業在短期內經歷這種放緩，您打算如何管理費用？

Okay. So let me take the other expense piece first, which is obviously dominated by interest expense.

好的。因此，讓我先考慮另一個費用，這顯然以利息費用為主。

So yes, we are being impacted by the rising rate environment. We don't have much variable rate debt left on the balance sheet today. It's just our line of credit, which is about $100 million. But we do have bonds coming due in both June and September of this calendar year that the current intention is to refinance those or retire those using our line of credit and the interest rate currently on the variable line of credit, is higher than where those bonds are at. So we are going to be facing a higher rate interest expense each quarter as we go through this fiscal year. It's not like a stair step jump, but definitely the interest expense will be rising by several million dollars per quarter. I think the debt schedule that's on our website can help you model that because it shows the maturity dates and the interest rates on those various pieces of debt and our current borrowing rate on our line of credit is about 6.35%. So I think with that information, you can probably model that out appropriately.

所以是的，我們正受到利率上升環境的影響。我們今天的資產負債表上沒有多少浮動利率債務。這只是我們的信用額度，大約是 1 億美元。但我們確實有債券在本日曆年的 6 月和 9 月到期，目前的意圖是使用我們的信貸額度對這些債券進行再融資或退休，而目前可變信貸額度的利率高於那些債券處於。因此，在本財年中，我們每個季度都將面臨更高的利率支出。這不像是階梯式的跳躍，但利息支出肯定會每季度增加數百萬美元。我認為我們網站上的債務時間表可以幫助您建立模型，因為它顯示了各種債務的到期日和利率，而我們目前信用額度的借款利率約為 6.35%。所以我認為有了這些信息，你可能可以適當地模擬出來。

On the OpEx side, yes, we are below our long-term model. And obviously, Microchip has grown very fast over the last couple of years, and we've had a hard time keeping up with expenses and expenses as a percentage of net sales is dropping again this quarter at the midpoint of guidance, OpEx is rising in dollars again, but the percentage is coming down. And the large factor in there in terms of just our hiring activities is the variable compensation that we're paying to our employees. And as the environment changes from 1 of very high growth to 1 of more moderate growth, we will moderate those bonuses that are being paid to help us manage appropriately within our long-term model. I don't know if Ganesh wants to add anything more to that.

在 OpEx 方面，是的，我們低於我們的長期模型。顯然，Microchip 在過去幾年中增長非常快，我們很難跟上費用和費用，因為本季度淨銷售額的百分比再次下降到指導的中點，OpEx 在上升美元，但百分比正在下降。就我們的招聘活動而言，其中的一個重要因素是我們支付給員工的可變薪酬。隨著環境從 1 個非常高的增長變為 1 個更溫和的增長，我們將減少正在支付的獎金，以幫助我們在長期模型中進行適當的管理。我不知道 Ganesh 是否想對此添加更多內容。

No. I think you stated it exactly so. And as we've always said, right, the operating expenses are an investment in the long-term growth profitability resilience of our results. And so those investments need to be made and to have years and years of return on those investments. And we are below our target, but as things settle out over time, that will creep up, but not at an accelerated rate.

不，我想你是這麼說的。正如我們一直說的那樣，正確的是，運營費用是對我們業績的長期增長盈利能力的投資。因此，需要進行這些投資，並在這些投資中獲得年復一年的回報。我們低於我們的目標，但隨著時間的推移，事情會穩定下來，這會逐漸上升，但速度不會加快。

The next question comes from Joshua Buchalter from Cowen & Company.

下一個問題來自 Cowen & Company 的 Joshua Buchalter。

I wanted to, I guess, ask about the pricing environment. So when you were discussing the PSP, you mentioned that backlog is noncancelable. But it sounds like it's flexible on the timeline. Can you talk about how the pricing discussions go, both within your PSP program and then outside it? And if there's been any change in that as you're going to -- you're starting to lower inventories a bit.

我想，我想詢問定價環境。所以當你在討論 PSP 時，你提到積壓是不可取消的。但聽起來它在時間軸上是靈活的。您能否談談定價討論的進展情況，包括您的 PSP 計劃內部和外部？而且，如果這方面有任何變化，您將開始降低庫存。

So pricing is not any difference between PSP and non-PSP. So I'll give you a more general answer for just our overall methodology. Pricing for us is a strategic exercise. We provide products that are sole-sourced products, they are proprietary products and customers place their trust in us years before they go to production and then they're with us for many, many years to come. Traditionally, over the years, we have not had annual price reductions necessarily as a consistent part of what we do. In the last 2 years, we've had inflation at a much higher rate than what we would absorb with our improvements, and we did pass along price increases that would absorb the cost increases, keeping it margin neutral, and that has not changed and that we don't expect to change as we go forward. So pricing is stable and strategic and I think, in our thought process.

所以定價在 PSP 和非 PSP 之間沒有任何區別。所以我會給你一個更籠統的答案，只針對我們的整體方法。定價對我們來說是一項戰略活動。我們提供的產品是獨家採購的產品，它們是專有產品，客戶在投入生產前多年就信任我們，然後他們會在未來很多很多年裡與我們在一起。多年來，傳統上，我們並沒有將年度降價作為我們工作的一貫部分。在過去的 2 年裡，我們的通貨膨脹率比我們通過改進所能吸收的要高得多，我們確實通過了價格上漲來吸收成本增加，保持利潤率中性，並且沒有改變並且我們不希望隨著我們的前進而改變。所以定價是穩定的和戰略性的，我認為，在我們的思維過程中。

Got it. And I was hoping you could maybe help us understand the utilization rates a little bit better. Can you walk us through where things are at in your front end and whether, I guess, as you lower inventory, more of it is coming out of your internal facilities versus your foundry partners?

知道了。我希望你能幫助我們更好地了解利用率。你能告訴我們你前端的東西在哪裡嗎？我想，隨著你降低庫存，更多的是來自你的內部設施而不是你的代工合作夥伴？

Yes. So utilization in the factories has been high throughout the last year and that continues today. So we aren't facing underutilization charges or anything like that. We're still trying to get caught up on our backlog. So the factories are still running at a pretty high rate.

是的。因此，工廠的利用率在去年一直很高，並且一直持續到今天。所以我們沒有面臨未充分利用的費用或類似的費用。我們仍在努力處理我們的積壓工作。所以工廠仍然以相當高的速度運轉。

And we don't expect the reduction of inventory days to affect what we're going to do in our factories in terms of underloading them. So the internal factories are running lower inventory and they will run constant through this cycle. And so there's no underabsorption issue to be concerned about.

而且我們預計庫存天數的減少不會影響我們在工廠中減少負荷方面的工作。因此，內部工廠的庫存正在減少，並且它們將在這個週期中保持穩定運行。因此，無需擔心吸收不足的問題。

The next question comes from Raji Gill from Needham & Company.

下一個問題來自 Needham & Company 的 Raji Gill。

Congratulations on kind of solid results in a tough environment. Just in terms of the backlog. So in the past, you mentioned as the backlog come down through the year as lead times start to normalize, you'll start to see that -- you'll see more order volatility. And I think you're indicating that. But in the past, you mentioned that the delta between the backlog and the actual sales is still quite wide. And that backlog to sales delta could offset that potential order volatility. So I wanted to get a sense of what are your thoughts on the backlog to sales delta as we stand today?

祝賀你在艱難的環境中取得了不錯的成績。就積壓而言。所以在過去，你提到隨著交貨時間開始正常化，全年積壓訂單減少，你會開始看到這一點——你會看到更多的訂單波動。我認為你是在暗示這一點。但在過去，您提到積壓訂單與實際銷售額之間的差異仍然很大。銷售增量的積壓可以抵消潛在的訂單波動。所以我想了解一下您對我們今天的銷售增量積壓有何看法？

So we still have significant backlog in excess of our sales. And we have backlog over multiple quarters, and we continue to get new bookings and backlog that layers in over time. The backlog is a function of also where customers view lead times are going to be headed, not so much what they're going to be consuming. And so as lead times slowly pull in, we do expect that customers will slow down some of what they want to do in terms of placing backlog.

因此，我們仍然有大量積壓訂單超過我們的銷售額。而且我們有多個季度的積壓，並且隨著時間的推移，我們繼續獲得新的預訂和積壓。積壓還取決於客戶認為交貨時間將走向何方，而不是他們將要消費的東西。因此，隨著交貨時間的緩慢推進，我們確實希望客戶在放置積壓訂單方面放慢他們想要做的一些事情。

Now any kind of inventory adjustment is not a permanent change in this industry. right? A year ago, we were -- we had a completely different view of where things were. And a year from now, we may have a completely different view of where things are likely to be. I think many customers are strategic in their thinking, have very high-value end products and what they're doing. And so they are more strategic in how they're thinking about their inventory over time and what backlog it will place. But we don't see any concern with the amount of backlog we need to be able to achieve the guidance that we have provided and the soft landing that we're trying to drive towards. Obviously, it still will require bookings to come in and that is all driven by how consumption continues.

現在任何一種庫存調整都不是這個行業的永久性變化。正確的？一年前，我們 - 我們對事物的位置有完全不同的看法。一年後，我們可能會對事情的發展方向有完全不同的看法。我認為許多客戶的思維都是戰略性的，他們擁有非常高價值的終端產品和他們正在做的事情。因此，他們在考慮隨著時間的推移如何考慮庫存以及積壓的庫存時更具戰略性。但我們並不擔心要實現我們提供的指導和我們正努力實現的軟著陸所需的積壓數量。顯然，它仍然需要預訂才能進入，而這一切都取決於消費的持續方式。

And just my follow-up, what is your latest pulse on China regarding customer order patterns and channel inventory?

就我的後續行動而言，您對中國客戶訂單模式和渠道庫存的最新看法是什麼？

So I would say China is stable. I don't see a major uptick from China post Chinese New Year and we will see how the rest of the year goes. I think there is opportunity for China to strengthen and contribute some tailwinds as we go through the rest of the year. But I can't say that we can see that today in what we see with the auto patterns.

所以我會說中國是穩定的。我認為中國在農曆新年後不會出現大幅回升，我們將看看今年餘下時間的情況。我認為在今年餘下的時間裡，中國有機會加強和貢獻一些順風。但我不能說我們今天可以在我們看到的自動模式中看到這一點。

(Operator Instructions) The next question comes from Chris Danely from Citi.

（操作員說明）下一個問題來自花旗銀行的 Chris Danely。

Can you give us a sense of how much of the backlog right now, let's just say, for the next 12 months is PSP versus, I guess, the "can be canceled or can be pushed out"? Any kind of percentage there?

你能告訴我們現在有多少積壓，讓我們說，未來 12 個月是 PSP 與我猜，“可以取消或可以推出”？有什麼百分比嗎？

So the percent of backlog that is PSP has amazingly been consistent for the last, I would say, 9 to 12 months. So even as overall backlog has been slowly ticking down, right? PSP as a percent of total backlog, it's well over 50%, have stayed at that level. So it is resilient backlog. It is higher quality backlog than what we see.

因此，在過去的 9 到 12 個月裡，PSP 積壓的百分比驚人地保持一致。所以即使整體積壓一直在慢慢減少，對吧？ PSP 佔總積壓的百分比，遠遠超過 50%，一直保持在該水平。所以它是有彈性的積壓。這是比我們看到的更高質量的積壓。

Great. And have you had any customers try and renegotiate any of the PSP agreements either supply or price.

偉大的。您是否有任何客戶嘗試重新談判任何 PSP 協議，無論是供應還是價格？

Not on price. I think there have been customers asking for help on PSP backlog that they wanted to have pushed out in time. And as I mentioned earlier in my prepared remarks, that is something that we have been actively doing to enable them to have that. It's a strange environment where I think in the shorter term, there are more people looking to push out because they're uncertain about their business. But we're also seeing cases where people who wanted to push out several months ago coming back in and wanting to pull it back in as well. So I think sometimes there is an overcorrection on both sides, and I would not be surprised as we go through the second half of this year that some of all the push outs that are happening today if the environment strengthens, it could just as well come right back out at that point in time. But in today's environment, it's very marquee.

不在價格上。我認為已經有客戶在他們希望及時推出的 PSP 積壓問題上尋求幫助。正如我之前在準備好的發言中提到的那樣，這是我們一直在積極做的事情，以使他們能夠擁有它。這是一個奇怪的環境，我認為在短期內，有更多的人希望退出，因為他們對自己的業務不確定。但我們也看到這樣的情況，幾個月前想退出的人又回來了，也想把它拉回來。因此，我認為有時雙方都存在過度修正，我不會感到驚訝，因為今年下半年，如果環境加強，今天發生的所有推出中的一些，也可能會出現就在那個時間點退出。但在今天的環境中，它非常引人注目。

The next question comes from Joe Moore from Morgan Stanley.

下一個問題來自摩根士丹利的喬摩爾。

Thanks for all the color on the actions you guys are taking to match up customer inventories. Can you talk about what you think the state of those inventories are? And I know some of your competitors have talked about we're trying to prune some of the backlog, we're proactively making sure that our shipments are going into demand and not into inventory. Can you just talk about where you think you are relative to others? How careful are you trying to be in terms of preserving the customer inventory balances being where you got to be.

感謝你們為匹配客戶庫存而採取的所有行動。你能談談你認為這些庫存的狀況嗎？我知道你們的一些競爭對手已經談到我們正在努力減少一些積壓，我們正在積極確保我們的出貨量滿足需求而不是庫存。你能談談你認為你相對於其他人的位置嗎？在將客戶庫存餘額保持在您必須的位置方面，您有多小心。

So our visibility into customer inventory is not there because they don't share that with us. We can infer their inventory by their request for pushouts or cancellations as the case might be. Where there is cancelable backlog or cancelable -- basically anytime there's -- or reschedule backlog, they can do that. Where it is non-reschedulable and noncancelable and they ask for help, then we get involved in it. But it's hard for us to know where customer is and their inventory correction position. We can see that in distribution. And there, we get a weekly report, it tells us by distributor in different parts of the world where is that?

所以我們對客戶庫存的可見性不存在，因為他們不與我們分享。我們可以根據他們的推出或取消請求來推斷他們的庫存情況。如果有可取消的積壓或可取消——基本上任何時候都有——或重新安排積壓，他們可以這樣做。如果它是不可重新安排和不可取消的，並且他們尋求幫助，那麼我們就會參與其中。但我們很難知道客戶在哪里以及他們的庫存修正位置。我們可以在分佈中看到這一點。在那裡，我們得到一份每週報告，它告訴我們世界不同地區的經銷商在哪裡？

As Eric mentioned, distribution days of inventory went up by 2 days from 22 to 24 days. Still well in control, below where it used to be historically and where is at. And so that's about as much color as we can give you on kind of customer inventory or end customer inventory.

正如 Eric 提到的，庫存配送天數增加了 2 天，從 22 天增加到 24 天。仍然很好地控制，低於它過去的歷史位置和位置。所以這就是我們可以為您提供的關於客戶庫存或最終客戶庫存的顏色。

Okay. That makes sense. And I guess as you've described the PSP over the last couple of quarters, you're now kind of taking a little bit more of an approach of helping the customers where they want to reduce it. Is that because there's just more people asking now as you're trying to match it up? Or were they asking 2 quarters ago, but it wasn't broad enough. I'm just -- there's a perception, I guess, that because of PSP, you may have more inventory at customers than peers. And I'm just trying to see if your behavior is really that much different than anyone else.

好的。這就說得通了。我猜你在過去幾個季度描述了 PSP，你現在採取了更多的方法來幫助客戶減少他們想要的地方。那是因為現在有更多的人在嘗試匹配它嗎？或者他們在 2 個季度前問過，但范圍不夠廣。我只是 - 我猜，有一種看法認為，由於 PSP，您可能比同行擁有更多的客戶庫存。我只是想看看你的行為是否真的與其他人有很大不同。

So let me clarify. I don't know where that perception was set, maybe what we said in the past. We have been pushing out orders from customers, PSP customers for multiple quarters, right? I mean we're in this to be responsive to the market, but we also want to make sure that as noncancelable orders get placed, there is a symmetric responsibility from us and from our customers, and that's what creates some resistance to placing orders that they shouldn't be placing or that are speculative and where they're at. So we've done this multiple quarters. This is not the first quarter we're doing it. And it is in response to where markets and customers and specific situations are at. And we will continue to do it as needed, including in this quarter.

所以讓我澄清一下。我不知道這種看法是在哪裡設置的，也許是我們過去所說的。多個季度以來，我們一直在推客戶、PSP 客戶的訂單，對嗎？我的意思是我們這樣做是為了對市場做出反應，但我們也想確保在下達不可取消的訂單時，我們和我們的客戶都有對稱的責任，這就是對下訂單造成一些阻力的原因他們不應該放置或投機以及他們所在的位置。所以我們已經完成了多個季度。這不是我們這樣做的第一季度。它是對市場和客戶所在的位置以及特定情況的回應。我們將根據需要繼續這樣做，包括在本季度。

I just want to add 1 point. This is Steve. I think investors and analysts failed to appreciate that when a customer is placing a year worth of orders, which by contract are noncancelable and nonreschedulable. It goes through a level of review at the customer at much higher level than just only the purchasing person, and the resulting backlog that is placed on Microchip is a much higher quality. So therefore, even though we have taken some adjustments in rescheduling some of the PSP backlog, the fundamental fact is that, that backlog is a very high quality relative to a similar backlog at any other competitor.

我只想加1分。這是史蒂夫。我認為投資者和分析師沒有意識到，當客戶下達一年的訂單時，根據合同，這些訂單是不可取消和不可重新安排的。它通過客戶的審查級別比僅由採購人員進行的審查級別高得多，因此放置在 Microchip 上的積壓工作質量更高。因此，即使我們在重新安排一些 PSP 積壓工作時進行了一些調整，但基本事實是，相對於任何其他競爭對手的類似積壓工作，這些積壓工作質量非常高。

The next question comes from Harlan Sur from JPMorgan.

下一個問題來自摩根大通的 Harlan Sur。

Was the unsupported backlog to actual revenue shift still above 1 in the March quarter? And where do you anticipate that ratio to be this quarter?

3 月季度不受支持的實際收入轉移積壓是否仍高於 1？您預計本季度該比率將在哪裡？

I believe the unsupported backlog was greater than the amount that we shipped in the quarter, but I think it's becoming a less relevant indicator at this point, right? We are unsupportive means it's on our backlog, it is noncancelable. But we are helping -- and nonreschedulable, but we are actively allowing customers to reschedule it out in time. And so we don't pay that much attention to it today as we did a year ago. Today, it's really making sure that we are shipping to customers who need the product. We're helping customers who are asking for help and working towards setting this thing up to not have an overhang to the best extent that we can.

我相信不受支持的積壓量大於我們本季度的發貨量，但我認為此時它正在成為一個不那麼相關的指標，對吧？我們不支持意味著它在我們的積壓中，它是不可取消的。但我們正在提供幫助——而且不可重新安排，但我們積極允許客戶及時重新安排。所以我們今天不像一年前那樣關注它。今天，它真正確保我們將產品運送給需要產品的客戶。我們正在幫助尋求幫助的客戶，並努力將其設置為盡我們所能避免懸垂。

Okay. Perfect. And then your data center products are quite applications specifically, right? So a bit easier to track rate storage controllers, enterprise key controllers, Ethernet PHy and so on, right? The demand dynamics in cloud and more so in Enterprise data center have clearly weakened. I know you guys have said some products are strong, some products are still weak, but is the aggregate data center franchise holding up on a quarter-over-quarter and year-over-year basis?

好的。完美的。然後您的數據中心產品是專門針對應用程序的，對嗎？所以更容易跟踪速率存儲控制器、企業關鍵控制器、以太網 PHy 等，對吧？雲以及企業數據中心的需求動態明顯減弱。我知道你們說過有些產品很強，有些產品仍然很弱，但是總體數據中心特許經營權是否在環比和同比基礎上保持穩定？

Absolutely. And I would say we are getting tailwinds from the AI servers and we are represented in those. Many of our PCI switches are an integral part of that. The storage in general, is stable, but it has experienced substantial growth over the last year. And the data center is holding up. Obviously, not as strong today as it was from a year ago growth but still stable.

絕對地。我想說我們正在從 AI 服務器獲得順風，我們在其中有代表。我們的許多 PCI 交換機都是其中不可或缺的一部分。總的來說，存儲是穩定的，但在去年經歷了大幅增長。數據中心正在支撐。顯然，今天的增長不如一年前那麼強勁，但仍然穩定。

The next question comes from Tore Svanberg from Stifel.

下一個問題來自 Stifel 的 Tore Svanberg。

I had a follow-up on the rescheduling of backlog. I mean the semi industry has obviously been struggling for a while now. So would you say that this more recent phenomenon is due to some of the financial stresses that's going on? And the reason I'm asking that is because I'm just wondering if people are pushing out because they feel a little bit uncomfortable with the current financial environment and as soon as there's some stabilization, perhaps those pushouts will turn into pull-in. So I'm just hoping you could give us your view there.

我對重新安排積壓工作進行了跟進。我的意思是，半導體行業顯然已經苦苦掙扎了一段時間。那麼你會說這種最近的現像是由於正在發生的一些財務壓力造成的嗎？我問這個的原因是因為我只是想知道人們是否因為對當前的金融環境感到有點不舒服而退出，一旦出現一些穩定，也許這些退出會變成吸引。所以我只是希望你能在那裡給我們你的觀點。

I'm sure there's a portion of that, that falls into that. But you've also got to think about the environment is more stressful for our customers today with where inflation is at, where interest rate is at, what the economy in general is doing in terms of relative growth rate from a year ago. And so they placed orders with the best intention, with the best information that they had back in time. And as the environment has changed, are, in some cases, seeing their demand picture different and therefore, asking for our supply picture to adapt to where they're at.

我確定其中有一部分屬於其中。但你也必須考慮到今天的環境對我們的客戶來說壓力更大，通貨膨脹率在哪裡，利率在哪裡，總體經濟在一年前的相對增長率方面正在做什麼。因此，他們帶著最好的意圖下了訂單，並提供了他們及時掌握的最佳信息。隨著環境的變化，在某些情況下，他們看到他們的需求情況有所不同，因此要求我們的供應情況適應他們所處的位置。

I don't believe this is a permanent change. I think these things go in cycles. And I do think as the economy at some point reverses and gathers more strength as the macro gathers more strength, many of these will come right back up. And I do expect if history is to be repeated, we will, at some point, go back into people asking for expedites on things that maybe 3 months ago, 6 months ago, they were asking for pushouts. It's the nature of the beast and people have the best visibility at any point in time. But as that visibility pushes out their need or pulls in their need, they will signal to us what we have to do to help them.

我不相信這是永久性的改變。我認為這些事情是循環進行的。而且我確實認為，隨著經濟在某個時候逆轉並隨著宏觀經濟聚集更多力量而聚集更多力量，其中許多將立即恢復。我確實希望如果歷史要重演，我們將在某個時候回到人們要求加快處理可能 3 個月前、6 個月前他們要求推出的事情上。這是野獸的本性，人們在任何時間點都有最好的能見度。但隨著這種可見性推出他們的需求或吸引他們的需求，他們會向我們發出信號，告訴我們我們必須做些什麼來幫助他們。

Very good. And as my follow-up is one for Steve. And Steve, congratulations on your new book. What was the reason behind the increase of the returns from 250 to 500 bps a quarter. I guess my question is more on the timing of it. I mean you just feel more confident about the profitability of the company during the soft landing period? If you could just elaborate on the timing, that would be great.

非常好。作為我的後續行動是史蒂夫的後續行動。史蒂夫，祝賀你的新書。回報率從每季度 250 個基點增加到 500 個基點背後的原因是什麼？我想我的問題更多是關於它的時間。我的意思是你只是對軟著陸期間公司的盈利能力更有信心？如果你能詳細說明時間，那就太好了。

So the reason in going from 250 bps increase per quarter to 500 was clearly hitting a target of a total leverage going below 1.5x. So this is what we have said for a long time that by paying down the debt every quarter, we're going to bring the leverage below 1.5x. And when that happens, then we will further accelerate the return to the shareholders. So that happened last quarter where the leverage was 1.45. So therefore, we are accelerating the total cash return to shareholders from 62.5% last quarter to 67.5% this quarter, a difference of 500 bps. And the following quarter will be 72.5% then 77.5% and so on, will take about 7 quarters to get to 100.

因此，從每季度 250 個基點增加到 500 個基點的原因顯然是達到了總槓桿率低於 1.5 倍的目標。所以這就是我們長期以來所說的，通過每個季度償還債務，我們將把槓桿率降至 1.5 倍以下。當這種情況發生時，我們將進一步加快對股東的回報。所以這發生在上個季度，槓桿率為 1.45。因此，我們正在將股東總現金回報率從上一季度的 62.5% 提高到本季度的 67.5%，相差 500 個基點。下一個季度將是 72.5%，然後是 77.5%，依此類推，大約需要 7 個季度才能達到 100。

And over that 7 quarters, we will continue to use the excess cash to pay down debt and bring leverage down further. We think it is appropriate in a difficult interest rate environment.

在這 7 個季度中，我們將繼續使用多餘的現金來償還債務並進一步降低杠桿率。我們認為這在困難的利率環境中是合適的。

The next question comes from Vijay Rakesh from Mizuho.

下一個問題來自瑞穗的 Vijay Rakesh。

I was just wondering if you could give us some color on what ASP trends look like exiting '22 and how they are looking this year? And then I have a follow-up.

我只是想知道您是否可以給我們一些關於退出 22 年的 ASP 趨勢以及今年的情況的一些顏色？然後我有一個後續行動。

To the earlier question, ASP trends tend to be reasonably stable. We have passed along price increases to a lesser extent than what we have, I don't know, always absorbed from a cost standpoint, trying to be margin neutral to make sure that between the improvements we're making in our own business, and the pricing from a market standpoint being reasonable to the customer. So ASPs today, if you were to compare them with a year ago are slightly higher, but there are stable trends on the ASP.

對於前面的問題，ASP 趨勢趨於相當穩定。我們已經將價格上漲的幅度比我們所擁有的要小，我不知道，總是從成本的角度吸收，試圖保持利潤中立，以確保在我們在我們自己的業務中所做的改進之間，以及從市場角度來看，定價對客戶來說是合理的。所以今天的 ASP，如果你將它們與一年前進行比較，略高，但 ASP 有穩定的趨勢。

And some of those trends is not necessarily price increase driven. It's introducing new proprietary more complex products that bring more value to our customers.

其中一些趨勢不一定是由價格上漲驅動的。它正在引入新的專有的更複雜的產品，為我們的客戶帶來更多價值。

Got it. And then just addressing the comment you had in your deck. Just wondering what percentage of customers you're seeing kind of redeploy -- look to redeploy backlog or push out cancel. What are you seeing there? If you could give us some idea on if it's like any particular segment that you're seeing it. That's it.

知道了。然後只是解決您在套牌中的評論。只是想知道您看到多少百分比的客戶重新部署——看看重新部署積壓或推出取消。你在那裡看到什麼？如果你能給我們一些想法，看看它是否像你看到的任何特定部分。就是這樣。

It's next to impossible to give you a number because we serve about 125,000 customers, about 115,000 of them are indirect through our distributor channels. So we don't really hear customer by customer where it's at. I would say that it's not the majority of the business that we're doing. It's specific customers and specific markets in any given day, that's there. So there's not a wholesale. I want to push everything out that's out there.

幾乎不可能給你一個數字，因為我們為大約 125,000 名客戶提供服務，其中大約 115,000 名是通過我們的分銷商渠道間接獲得的。所以我們並沒有真正聽到客戶所在的客戶。我會說這不是我們正在做的大部分業務。它是任何特定日期的特定客戶和特定市場，就在那裡。所以沒有批發。我想把外面的一切都推出去。

We'll move on to our next question, which is coming from the line of Chris Danely with Citi.

我們將繼續討論下一個問題，該問題來自花旗銀行的 Chris Danely。

I just have 2 quickies and then I guess I'll let everybody go back to working on the notes. Is there any way you could tell like how much of this changes in backlog is too much inventory versus weaker demand? Is it 50-50, a little more on the demand side, a little more on the inventory side. Any color, any clarity there?

我只有 2 個 quickie，然後我想我會讓每個人都回去處理筆記。您有什麼方法可以判斷積壓訂單中的這種變化有多少是庫存過多還是需求疲軟？是不是50-50，需求面多一點，庫存面多一點。有什麼顏色，有清晰度嗎？

Those 2 are interconnected, right? It's not that -- it's only one or the other. So weaker demand results in more inventory, which last some longer or stronger demand results in needing to expedite that as well. So it's hard to parse those out. There's some of both that's in there. And in many of these -- our customers who are also facing uncertainty perhaps. So it may not just be demand alone, but the environment that they're in, and they are trying to decide how should they navigate their environment. And so what we see in the end is the aggregate feedback or request that they provide us. And with all of that, we're able to show continuing growth into this quarter, into the June quarter.

這兩個是相互關聯的，對吧？不是那樣——它只是一個或另一個。因此，需求疲軟會導致庫存增加，庫存會持續更長時間或需求強勁會導致也需要加快庫存。所以很難把它們解析出來。兩者都有一些。在其中許多方面——我們的客戶可能也面臨著不確定性。因此，這可能不僅僅是需求，而是他們所處的環境，他們正試圖決定他們應該如何駕馭他們的環境。因此，我們最終看到的是他們向我們提供的匯總反饋或請求。儘管如此，我們能夠在本季度和 6 月季度顯示持續增長。

As it stands right now, we believe it is highly unlikely at the September quarter is going to have a sequential down quarter and that's a basis of all of our integrated information from customers on what they're seeing on internal data that we see in all of our indicators, bookings, backlog, expedite request, pushout requests, all the external data that we track, GDP, PMI, consumer confidence, inflation, et cetera. And so that's what gives us the confidence in our business.

就目前情況而言，我們認為 9 月季度不太可能出現連續下降的季度，這是我們所有來自客戶的綜合信息的基礎，這些信息是關於他們在我們看到的所有內部數據中看到的內容我們的指標、預訂、積壓、加快請求、推出請求、我們跟踪的所有外部數據、GDP、PMI、消費者信心、通貨膨脹等。這就是讓我們對我們的業務充滿信心的原因。

Thank you. There are no further questions at this time. I would like to turn the call back to Ganesh Moorthy for closing remarks. Thank you.

謝謝。目前沒有其他問題。我想將電話轉回給 Ganesh Moorthy 以作結束語。謝謝。

I want to thank everybody for your time and questions this afternoon. We will be seeing many of you on the road as we come out to different conferences, et cetera. And thank you again.

我要感謝大家今天下午抽出時間來提問。當我們參加不同的會議等時，我們將在路上看到你們中的許多人。再次感謝你。

Thank you very much. And ladies and gentlemen, that does conclude today's teleconference. Thank you very much for joining us. You may now disconnect your lines.

非常感謝。女士們，先生們，今天的電話會議到此結束。非常感謝您加入我們。您現在可以斷開線路。