微晶片科技 (MCHP) 2025 Q3 法說會逐字稿

Greetings and welcome to the Microchips Q3 fiscal '25 Financial results conference call.

大家好，歡迎參加 Microchip 25 財年第三季財務業績電話會議。

(Operator Instructions) As a reminder, this conference is being recorded.

（操作員指示）提醒一下，本次會議正在錄音。

It is now my pleasure to introduce you to your host, Steve Sanghi, CEO.

現在我很高興向您介紹您的主持人，執行長史蒂夫桑吉 (Steve Sanghi)。

Thank you, Steve.

謝謝你，史蒂夫。

You may begin.

你可以開始了。

Thank you, operator, and good afternoon, everyone.

謝謝接線員，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財務表現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，這些陳述僅為預測，實際事件或結果可能會有重大差異。

We refer you to our press release 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.

請您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，其中列出了可能影響微晶片業務和經營績效的重要風險因素。

In attendance with me today are Rich Simoncic, Microchip's COO; Eric Bjornholt, CFO; and Sajid Daudi, Head of Investor Relations.

今天與我一起出席的還有 Microchip 的營運長 Rich Simoncic； Eric Bjornholt，財務長；以及投資者關係主管 Sajid Daudi。

I will comment on our restructuring and my observations since returning to Microchip as CEO.

我將對我們的重組以及我重返微晶片擔任執行長以來的觀察發表評論。

Eric will go over our third quarter fiscal year 2025 financial performance, and Rich will then review some product line updates.

Eric 將介紹我們 2025 財年第三季的財務業績，然後 Rich 將回顧一些產品線更新。

I will then provide an overview of the current business environment and our fourth quarter fiscal year 2025 guidance.

然後，我將概述目前的商業環境和我們的 2025 財年第四季指引。

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

然後我們將回答投資者和分析師的具體問題。

Since I returned as Microchip's CEO on November 18, 2024, I have spent a significant amount of time evaluating key aspects of Microchip's business.

自 2024 年 11 月 18 日我重返微晶片執行長一職以來，我花了大量時間評估微晶片業務的關鍵方面。

At the UBS Conference on December 3, I described a nine-points plan to evaluate Microchip and make changes where needed to set the company on a course to achieve its previous premium status of performance.

在 12 月 3 日的瑞銀會議上，我描述了一項九點計劃來評估微晶片並在必要時做出改變，以使公司走上實現先前優質業績的道路。

We are setting up an investor and analyst call on the morning of March 3 to provide you with a comprehensive update on that nine-point plan.

我們將於 3 月 3 日上午安排投資者和分析師電話會議，為您提供有關該九點計劃的全面最新資訊。

Today, I'll give you an interim report on several aspects of that plan.

今天，我將就該計劃的幾個方面向大家作中期報告。

The first action was to resize our manufacturing footprint.

第一個舉措是調整我們的製造足跡。

After analysis, we have decided to close our Tempe Fab, known as Fab 2.

經過分析，我們決定關閉位於坦佩的工廠（即 Fab 2）。

Currently, we are in the process of building the material to provide the buffer required before we transfer the processes and products to our other two fabs. 70% of this product is already qualified at these other fabs.

目前，我們正在建造材料，以便在將流程和產品轉移到另外兩個工廠之前提供所需的緩衝。該產品的 70% 已在其他晶圓廠獲得認證。

Our other two fabs, namely Fab 4 in Gresham, Oregon, and Fab 5 in Colorado Springs are working on rotating time-off schedules.

我們的另外兩家晶圓廠，即位於俄勒岡州格雷舍姆的晶圓廠 4 號和位於科羅拉多斯普林斯的晶圓廠 5 號，正在實施輪班休息計劃。

This reduces the capacity, but leaves the fabs in a position to ramp capacity when needed on a very short notice.

這會降低產能，但使得晶圓廠能夠在很短的時間內提高產能。

In our back-end facilities in Thailand and Philippines, we are managing capacity by taking shutdown days and reducing the number of employee hours, and days of work.

在我們位於泰國和菲律賓的後端設施中，我們透過停工天數以及減少員工工作時間和工作天數來管理產能。

In the rest of our smaller plants worldwide, there is a plan for each plant based on the specific demand in each plant.

在我們全球其他較小的工廠中，每個工廠都根據其具體需求制定計劃。

Some of them are running at capacity, while others are working shortened weeks.

有些公司正在滿載運轉，而其他公司則縮短了每週的工作時間。

The second action was to reduce our inventory.

第二個舉措是減少庫存。

Our inventory at the end of December 2024 was 266 days, up from 247 days at the end of September 2024.

我們的庫存截至 2024 年 12 月底為 266 天，高於 2024 年 9 月底的 247 天。

Our target inventory is 130 to 150 days.

我們的目標庫存是130至150天。

On March 3, I will project out for you the inventory reduction plan, as an example, from December 2024 to the end of fiscal year '26, which is March 31, 2026.

3 月 3 日，我將為您預測庫存減少計劃，例如，從 2024 年 12 月到 26 財年結束，也就是 2026 年 3 月 31 日。

We are currently expected to be able to reduce our inventory balance by approximately $250 million, which will liberate cash from this inventory reduction.

我們目前預計能夠減少約 2.5 億美元的庫存餘額，這將透過庫存減少釋放現金。

The third action was a review of our megatrends and TSS and recommend any changes.

第三項行動是審查我們的大趨勢和 TSS 並提出任何變更建議。

I will provide an update on this topic on March 3.

我將於 3 月 3 日提供有關該主題的最新消息。

The fourth action was business unit by business unit deep dive.

第四項行動是針對各個業務部門進行深入研究。

This is still underway, but I already know that we will reorganize some of our business units for greater efficiency and synergy.

這項工作仍在進行中，但我已經知道我們將重組一些業務部門，以提高效率和協同效應。

In the process, we will combine a few groups together.

在此過程中，我們會將幾個團體合併在一起。

The fifth action was a review of Microchip's channel strategy.

第五項措施是檢視Microchip的通路策略。

I have reviewed our channel strategy, and we have made two changes.

我重新審視了我們的通路策略，並做出了兩處改變。

First, when we give a demand creation registration to a distributor on a design socket, we historically have kept that demand creation flag forever.

首先，當我們在設計插座上向經銷商提供需求創建註冊時，我們歷來會永遠保留該需求創建標誌。

Going forward, we will change that flag to demand fulfillment after a given number of years.

展望未來，我們將在一定年數後將該標誌更改為需求滿足。

This will incentivize the distributor to present our new products to customers instead of sitting on a higher margin and exposing the socket to competitors.

這將激勵經銷商向客戶展示我們的新產品，而不是坐擁更高的利潤並將機會拱手讓給競爭對手。

The second change is we have been providing industry high fulfillment margins for distributors.

第二個變化是我們一直為經銷商提供行業較高的履行利潤。

We have lowered the fulfillment margins, which will bring it to a level that is still on the higher end of what our competitors provide.

我們已經降低了履行利潤率，但仍將達到比競爭對手更高的水平。

The sixth point of evaluation was to strengthen our customer relationships.

評估的第六個要點是加強我們的客戶關係。

We have targeted the top 1,000 customers with an urgent focus on the 256 customers.

我們已將目標鎖定在前 1,000 名客戶，其中 256 名客戶是緊急關注的對象。

Many of them have already been approached and visited or the customers visited us.

其中許多已經與我們接洽並拜訪過，或者客戶已經來訪過我們。

We are giving customers a chance to communicate candidly with us, showing empathy and care and then engaging with them to support them on their new designs.

我們為客戶提供與我們坦誠溝通的機會，表達同情和關懷，然後與他們互動，支持他們的新設計。

Our goal is to put our customers first and win their hearts and design opportunities with our products, technologies, support and care.

我們的目標是把客戶放在第一位，透過我們的產品、技術、支援和關懷來贏得他們的青睞和設計機會。

Point seven and eight were our long-term business model and operating expenses.

第七點和第八點是我們的長期商業模式和營運費用。

I will provide an update on these topics on March 3.

我將於 3 月 3 日提供有關這些主題的最新消息。

The ninth and final area was the CHIPS Act activity.

第九個也是最後一個領域是 CHIPS 法案活動。

We are currently paused, waiting for the new administration to restaff the CHIPS office.

我們目前暫停工作，等待新政府為 CHIPS 辦公室重新配備人員。

We will then re-engage when the time is right.

時機成熟時，我們將重新參與。

With that, I will pass it to Eric Bjornholt.

說完這些，我將把它交給 Eric Bjornholt。

Eric?

埃里克？

Thanks, Steve, and good afternoon, everyone.

謝謝，史蒂夫，大家下午好。

We are including information in our press release and in this conference call on various GAAP and non-GAAP measures.

我們在新聞稿和電話會議中包含了有關各種 GAAP 和非 GAAP 指標的資訊。

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 對帳表，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 結果時會發現這些資訊很有用。

We've also posted a summary of our outstanding debt and our leverage metrics on our website.

我們也在我們的網站上發布了未償債務和槓桿指標的摘要。

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。

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 reconciliations on our website.

除淨銷售額外，我將以非 GAAP 為基礎引用這些結果，該結果基於我們的收購活動、股權激勵以及收益新聞稿和我們網站上的對帳單中所述的某些其他調整的影響之前的費用。

Net sales in the December quarter were $1.026 billion, which was down 11.8% sequentially.

12 月季度淨銷售額為 10.26 億美元，季減 11.8%。

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

我們已在我們的網站上發布了按產品線和地區劃分的淨銷售額摘要，供您參考。

On a non-GAAP basis, gross margins were 55.4%, including capacity underutilization charges of $42.7 million as we are aggressively managing production activities to adjust to challenging business conditions.

以非公認會計準則計算，毛利率為 55.4%，其中包括 4,270 萬美元的產能利用不足費用，因為我們正在積極管理生產活動以適應充滿挑戰的商業環境。

Operating expenses were at 34.9% of net sales, and operating margin was 20.5%.

營業費用佔淨銷售額的 34.9%，營業利益率為 20.5%。

Non-GAAP net income was $107.3 million, and non-GAAP earnings per diluted share was $0.20. Please note that our operating expenses increased in the December quarter and will further increase in the March quarter due to a predominant portion of our employees coming off the pay cut that we had been on for about nine months in the late November, early December 2024 timeframe.

非公認會計準則淨收入為 1.073 億美元，非公認會計準則每股稀釋收益為 0.20 美元。請注意，我們的營運費用在 12 月季度有所增加，由於我們的大部分員工在 2024 年 11 月下旬至 12 月初期間結束了大約九個月的減薪，因此 3 月季度的營運費用將進一步增加。

The full quarterly impact of this is reflected in our operating expense guidance for the March quarter.

這對整個季度的影響已反映在我們對三月季度的營業費用指引中。

On a GAAP basis in the December quarter, gross margins were 54.7%; total operating expenses were $530.5 million, and included acquisition intangible amortization of $122.6 million, special charges of $3.5 million and share-based compensation of $42 million and $4.3 million of other expenses; the GAAP net loss was $53.6 million, resulting in a loss per share of $0.10.

根據 12 月季度的 GAAP 基礎，毛利率為 54.7%；總營運費用為 5.305 億美元，其中包括收購無形資產攤銷 1.226 億美元、特殊費用 350 萬美元、股權激勵費用 4,200 萬美元以及其他費用 430 萬美元； GAAP淨虧損為5,360萬美元，導致每股虧損0.10美元。

Our non-GAAP cash tax rate was 19.9% in the December quarter.

12 月季度，我們的非 GAAP 現金稅率為 19.9%。

We currently expect our non-GAAP cash tax rate to be approximately 14.5% for the fourth quarter of fiscal year 2025, which is modestly higher than our previously forecasted 13% tax rate.

我們目前預計 2025 財年第四季的非 GAAP 現金稅率約為 14.5%，略高於我們先前預測的 13% 稅率。

This is a result of expected overpayments in two of our larger tax jurisdictions, which will have the impact of reducing our fiscal year 2026 tax rate as we are calculating this on a cash basis.

這是由於我們兩個較大的稅收管轄區預計會出現多付款，這將影響我們 2026 財年的稅率降低，因為我們是按現金基礎計算的。

Our non-GAAP cash tax rate is exclusive of the transition tax and any tax audit settlements related to taxes accrued in prior fiscal years.

我們的非公認會計準則現金稅率不包括過渡稅和與前幾財年累積稅款相關的任何稅務審計結算。

Our inventory balance at December 31, 2024 was $1.356 billion, which was up $16.7 million from the end of the September 2024 quarter.

我們截至 2024 年 12 月 31 日的庫存餘額為 13.56 億美元，比 2024 年 9 月季度末增加了 1,670 萬美元。

We had 266 days of inventory at the end of the December quarter, which was up 19 days from the prior quarter's level.

截至 12 月季度末，我們的庫存天數為 266 天，比上一季增加了 19 天。

At the midpoint of our March 2025 quarterly guidance, we would expect both inventory dollars and inventory days to decrease from the December 31, 2024, levels.

在我們 2025 年 3 月季度指引的中點，我們預期庫存美元和庫存天數都將從 2024 年 12 月 31 日的水準下降。

We also continue to invest in 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 18 days of inventory at the end of December.

我們也將繼續投資建造長壽命高利潤產品的庫存，這些產品的生產能力正被我們的供應鏈合作夥伴所終止，上次購買的庫存相當於 12 月底 18 天的庫存。

Inventory at our distributors in the December quarter was at 37 days and was down three days from the prior quarter's level.

12 月季度，我們經銷商的庫存為 37 天，比上一季減少了 3 天。

Distribution took down their inventory holdings in the December quarter as distribution sell-through was $118 million higher than distribution sell-in.

由於分銷銷售額比分銷銷售額高出 1.18 億美元，分銷部門在 12 月季度減少了庫存持有量。

Our cash flow from operating activities was $271.5 million in the December quarter.

12 月季度，我們的營運活動現金流為 2.715 億美元。

Our adjusted free cash flow was $244.6 million in the December quarter.

12 月季度，我們的調整後自由現金流為 2.446 億美元。

As of December 31, our consolidated cash and total investment position was $586 million, which is higher than normal due to the timing of the maturity dates of some of our commercial paper that did not occur until early January, which was used to pay down debt after the end of the December quarter.

截至 12 月 31 日，我們的綜合現金和總投資狀況為 5.86 億美元，這一數字高於正常水平，因為我們的部分商業票據的到期日直到 1 月初才到來，這些票據用於在 12 月季度結束後償還債務。

We retired $665.5 million in convertible bonds that matured in November 2024.

我們償還了 2024 年 11 月到期的 6.655 億美元可轉換債券。

In the December quarter, we also issued $1 billion in investment-grade bonds with a 4.9% coupon maturing in March of 2028, and $1 billion in investment-grade bonds with a 5.05% coupon maturing in February 2030.

12 月季度，我們也發行了 10 億美元投資等級債券，票面利率為 4.9%，將於 2028 年 3 月到期，以及 10 億美元投資等級債券，票面利率為 5.05%，將於 2030 年 2 月到期。

We used the proceeds of these bond offerings to retire a $750 million term loan and pay down a portion of our commercial paper balance.

我們利用這些債券發行的收益償還了 7.5 億美元的定期貸款，並償還了部分商業票據餘額。

Our next debt maturity is a $1.2 billion bond maturing in September 2025.

我們的下一筆債務是 2025 年 9 月到期的 12 億美元債券。

The debt issuance this past quarter will give us ample room to retire our September 2025 bond with our line of credit or commercial paper programs.

上個季度的債務發行將為我們提供充足的空間，以利用我們的信用額度或商業票據計劃償還 2025 年 9 月的債券。

As a result, we have taken the refinancing risks off the table for the $1.2 billion maturity.

因此，我們消除了 12 億美元到期再融資的風險。

Our net debt increased by $33.6 million in the December quarter.

12 月季度，我們的淨債務增加了 3,360 萬美元。

Our adjusted EBITDA in the December quarter was $274.9 million and 26.8% of net sales.

我們 12 月季度的調整後 EBITDA 為 2.749 億美元，佔淨銷售額的 26.8%。

Our trailing 12-month adjusted EBITDA was $1.64 billion.

我們過去 12 個月的調整後 EBITDA 為 16.4 億美元。

Our net debt to adjusted EBITDA was 3.78% at December 31, 2024, up from 1.27% at December 31, 2023.

截至 2024 年 12 月 31 日，我們的淨債務與調整後 EBITDA 比率為 3.78%，高於 2023 年 12 月 31 日的 1.27%。

Capital expenditures were $18.1 million in the December quarter.

12 月季度的資本支出為 1810 萬美元。

Our expectation for capital expenditures for fiscal year '25 is about $135 million, and we expect fiscal year 2026 capital expenditures to be lower than that as we have a lot of capacity to grow back into as well as capital that we purchased during the upcycle that has not been placed in service yet.

我們預計 25 財年的資本支出約為 1.35 億美元，而我們預計 2026 財年的資本支出將低於這一數字，因為我們有大量產能可以恢復，而且我們在上升週期期間購買的資本尚未投入使用。

Depreciation expense in the December quarter was $40.4 million.

12 月季度的折舊費用為 4,040 萬美元。

I will now turn it over to Rich, who will provide some commentary on our product line innovations in the December quarter.

現在我將把話題交給 Rich，他將對我們 12 月季度的產品線創新提供一些評論。

Rich?

富有的？

Thank you, Eric, and good afternoon, everyone.

謝謝你，埃里克，大家下午好。

Our strategic investments continue to strengthen our position across key growth markets.

我們的策略投資持續加強我們在主要成長市場的地位。

In our core microcontroller business, we introduced a new generation of 64-bit RISC-V processors featuring advanced AI capabilities, integrated time-sensitive networking and next-generation security.

在我們的核心微控制器業務中，我們推出了新一代 64 位元 RISC-V 處理器，具有先進的 AI 功能、整合時間敏感網路和新一代安全性。

These processors deliver exceptional reliability for factory automation and secure data processing applications, particularly where real-time communication is critical.

這些處理器為工廠自動化和安全資料處理應用提供了卓越的可靠性，特別是在即時通訊至關重要的情況下。

Initial customer response has been strong with promising design win momentum across industrial and aerospace and defense sectors.

初期客戶反應強烈，在工業、航空航太和國防領域設計獲勝的勢頭良好。

We expanded our Wi-Fi portfolio with 20 new products, expanding microcontrollers and plug-and-play modules, helping customers simplify robust, secured wireless connectivity and accelerate time to market.

我們增加了 20 款新產品來擴展我們的 Wi-Fi 產品組合，擴展了微控制器和即插即用模組，幫助客戶簡化強大、安全的無線連接並加快產品上市時間。

We also introduced a new Smart Touch controller with an industry standard interface, make it simpler for manufacturers to implement water-tolerant touch solutions in their products.

我們還推出了具有行業標準介面的新型智慧觸控控制器，使製造商能夠更輕鬆地在其產品中實現防水觸控解決方案。

For high-speed wire connectivity, we continue strengthening our automotive networking portfolio with ASA Motion Link technology, enabling next-generation software-defined vehicles with high-speed data exchange between systems.

對於高速有線連接，我們繼續透過 ASA Motion Link 技術加強我們的汽車網路產品組合，使下一代軟體定義的汽車能夠在系統之間進行高速資料交換。

Our innovative technology is currently being evaluated by several leading global automotive manufacturers.

我們的創新技術目前正在接受幾家全球領先的汽車製造商的評估。

Our FPGA portfolio achieved two notable milestones.

我們的 FPGA 產品組合實現了兩個顯著的里程碑。

We earned the highest level of space certification for our radiation hardened chips, strengthening our position in critical space missions and released a new sensor connectivity solution for NVIDIA's Holoscan platform, enabling AI applications in medical imaging and industrial automation.

我們的抗輻射晶片獲得了最高級別的太空認證，鞏固了我們在關鍵太空任務中的地位，並為 NVIDIA 的 Holoscan 平台發布了新的傳感器連接解決方案，使醫學成像和工業自動化領域的人工智慧應用成為可能。

These developments reinforce our commitment to providing comprehensive solutions across our target markets while making it easier for customers to implement advanced capabilities in their next-generation products, demonstrating our ability to simplify advanced technological implementation for our customers.

這些發展加強了我們致力於為目標市場提供全面解決方案的承諾，同時使客戶更容易在下一代產品中實現先進功能，證明了我們有能力為客戶簡化先進技術實施。

With that, I will pass the call to Steve for comments about our business and guidance going forward.

說完這些，我將把電話轉給史蒂夫，請他對我們的業務和未來指導發表評論。

Steve?

史蒂夫？

Thank you, Rich.

謝謝你，里奇。

As Eric described in his prepared remarks, our December quarter net sales were $1.026 billion, down 11.8% sequentially and down 41.9% from a year-ago quarter, as we continue to navigate through a very large inventory correction following a post-COVID super-cycle.

正如 Eric 在其準備好的發言中所描述的那樣，我們的 12 月季度淨銷售額為 10.26 億美元，環比下降 11.8%，環比下降 41.9%，因為我們在後 COVID 超級週期之後繼續經歷非常大的庫存調整。

We saw continued broad-based weakness in the December quarter.

我們看到 12 月季度持續全面疲軟。

Our revenue from our microcontroller, analog, FPGA and other businesses were all down sequentially.

我們的微控制器、類比、FPGA 和其他業務的收入均較上季下降。

Geographically, our business was down sequentially in all major geographies of Americas, Europe and Asia.

從地理上看，我們的業務在美洲、歐洲和亞洲所有主要地區均連續下滑。

Now, let's get into our guidance for the March quarter.

現在，讓我們來看看三月季度的指引。

We believe substantial inventory destocking has occurred at our customers, channel partners, and their downstream customers.

我們相信我們的客戶、通路合作夥伴及其下游客戶已經出現了大量庫存去庫存的情況。

Everyone would like me to call the last quarter as a bottom.

每個人都希望我將上個季度稱為底部。

However, in our view, the inventory at our customers, channel partners and their downstream customers has not fully corrected yet.

然而，我們認為，我們的客戶、通路合作夥伴及其下游客戶的庫存尚未完全修正。

Our bookings remain low, although the current quarter bookings are running at a higher rate than in the December quarter.

儘管本季的預訂量高於 12 月季度，但我們的預訂量仍然很低。

Our backlog started out lower for the March quarter than it was at the start of the December quarter.

我們 3 月季度的積壓訂單量比 12 月季度初的要低。

So, we have a lot of turns to take for the March quarter and the visibility remains low.

因此，我們在三月季度面臨許多轉變，能見度仍然很低。

Taking all these factors into account, we expect our net sales for the March quarter to be between $920 million and $1 billion.

考慮到所有這些因素，我們預計 3 月季度的淨銷售額將在 9.2 億美元至 10 億美元之間。

We expect our non-GAAP gross margin to be between 52% and 54% of sales.

我們預計非公認會計準則毛利率在銷售額的52%至54%之間。

We expect non-GAAP operating expenses to be between 37.7% and 40.5% of sales.

我們預計非公認會計準則營業費用將佔銷售額的 37.7% 至 40.5% 之間。

We expect non-GAAP operating profit to be between 11.5% and 16.3% of sales.

我們預計非公認會計準則營業利潤將佔銷售額的 11.5% 至 16.3% 之間。

We expect our non-GAAP diluted earnings per share to be between $0.05 and $0.15.

我們預計非公認會計準則每股攤薄收益在 0.05 美元至 0.15 美元之間。

We are laser-focused on our nine-point plan.

我們全心全意地關注我們的九點計劃。

The megatrends and customer portion of that plan entails aggressively winning designs at the customers and then pulling them through the funnel to generate growth.

該計劃的大趨勢和客戶部分包括積極地贏得客戶的設計，然後透過管道吸引他們來促進成長。

We believe that as the remaining excess inventory is consumed at our customers and distributors, we are well-positioned to provide above-market growth in our net sales.

我們相信，隨著剩餘的過剩庫存被客戶和分銷商消耗，我們有能力實現高於市場的淨銷售成長。

Now, let me provide update on our capital return program for shareholders.

現在，讓我向股東介紹我們的資本回報計劃的最新情況。

We are essentially returning 100% of our adjusted free cash flow to investors in the form of dividends right now.

我們目前基本上以股息的形式將 100% 的調整後自由現金流返還給投資者。

Due to depressed net sales, our adjusted free cash flow is currently less than our dividend, and in certain quarters, we have had to bake higher bond interest payments and tax payments.

由於淨銷售額低迷，我們調整後的自由現金流目前低於股息，在某些季度，我們必須支付更高的債券利息和稅金。

Bond interest payments are made every six months.

債券利息每六個月支付一次。

So, every other quarter, this impacts our adjusted free cash flow and results in a dividend exceeding our adjusted free cash flow.

因此，每隔一個季度，這都會影響我們的調整後自由現金流，並導致股息超過我們的調整後自由現金流。

As we begin to liberate cash from our inventory coupled with very low capital expenditures, we expect to bring the free cash flow above the dividend.

當我們開始從庫存中釋放現金，再加上非常低的資本支出時，我們預計自由現金流將高於股息。

In future quarters, we intend to use the excess cash to bring our borrowings back down to at least the levels they were at before our dividend exceeded our adjusted free cash flow.

在未來的幾個季度，我們打算利用多餘的現金將我們的借款至少降至我們的股息超過調整後的自由現金流之前的水平。

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

好了，接線生，請您調查問題。

Thank you.

謝謝。

We will now be conducting a question-and-answer session.

我們現在將進行問答環節。

(Operator Instructions)

（操作員指令）

Vivek Aria, Bank of America Securities.

金融證券的 Vivek Aria。

Thanks for taking my question.

感謝您回答我的問題。

Steve, I appreciate your comments, and I realize visibility is limited, but you mentioned inventory remains elevated at customers and channel partners.

史蒂夫，我很感謝您的評論，我知道可見性有限，但您提到客戶和通路合作夥伴的庫存仍然很高。

Could you share with us where the hot spots are by end-market or by the kind of product?

您能否與我們分享按終端市場或產品類型劃分的熱點在哪裡？

Is it like worse than industrial or microcontrollers, et cetera?

它是否比工業或微控制器等更差？

And do you think that this is the inventory issue specific to Microchip or do you think those customers and channel partners have kind of excess inventory from your competitors also because many of them seem to be indicating a lower level of concern than you are indicating?

您是否認為這是 Microchip 特有的庫存問題，或者您是否認為那些客戶和通路合作夥伴也擁有來自您競爭對手的過剩庫存，因為他們中的許多人似乎表現出比您所指出的更低的擔憂程度？

So, I think the answer to your first part of your question, which is by end markets or by product line, the inventory is high pretty much across the board and it's not different by end market.

因此，我認為你問題第一部分的答案，即按終端市場或按產品線，庫存幾乎全盤都很高，並且按終端市場沒有什麼區別。

What it is different is slightly by direct or distribution.

其差異在於直接或分佈略有不同。

Our distribution customers' inventory is getting lot closer to where they historically would be.

我們的分銷客戶的庫存已經越來越接近歷史水準。

Just in the quarter past, our sell-in revenue was $118 million lower than our sell-through revenue.

光是過去一個季度，我們的銷售收入就比銷售收入低 1.18 億美元。

On GAAP, we report on sell-in, but distribution sold out $118 million more, and they've been doing this kind of number for the last few quarters.

在 GAAP 中，我們報告的是銷售情況，但分銷銷售額卻增加了 1.18 億美元，而且過去幾季他們一直是維持這樣的數字。

So, the distribution inventory is getting a lot closer to getting corrected.

因此，分銷庫存已越來越接近修正。

But the direct inventory at customers is still high.

但客戶的直接庫存仍然很高。

And part of that reason is, when the supply was really tight, we were serving our large direct customers sometimes preferentially over the broad-based distribution customers.

部分原因是，當供應確實緊張時，我們有時會優先為大型直接客戶提供服務，而不是廣泛的分銷客戶。

So -- and the number two reason for our customers having higher inventory is that we dismantled our noncancelable program called the PSP two quarters or so later than our competitors did.

所以——我們客戶庫存較高的第二個原因是，我們比競爭對手晚了兩個季度左右取消了名為 PSP 的不可取消計劃。

So, therefore, we continue to ship for two more quarters.

因此，我們將繼續在未來兩個季度發貨。

And when the business had eventually fell at our customers, they had higher inventory of our products than potentially our competitors.

當業務最終落在我們客戶身上時，他們擁有的產品庫存可能比我們的競爭對手更高。

Hopefully, that answers your questions.

希望這能解答您的問題。

Yes.

是的。

And just as a follow-up, what would you say is the earnings power for Microchip over the next year?

另外，您認為微晶片明年的獲利能力如何？

In fiscal -- in this last fiscal year, with the March guidance, it's about $1.30-ish or so.

在財政年度——根據三月的指導，在上一財政年度，這一數字約為 1.30 美元左右。

So, even if we start assuming some level of seasonal rebound over -- at some point over the next several quarters, should we be thinking $2, $3?

因此，即使我們開始假設未來幾季的某個時候會出現一定程度的季節性反彈，我們是否應該考慮 2 美元、3 美元？

What is the kind of earnings power, right, in the medium-term for the company?

公司的中期獲利能力怎麼樣？

Because

因為

I imagine you are justifiably prioritizing cash flow, and you will probably keep fab utilization low.

我想您有理由優先考慮現金流，而且您可能會保持較低的晶圓廠利用率。

And then, the need to get OpEx back to a reasonable level, right, would also influence.

然後，需要將營運支出恢復到合理水平，對吧，這也會產生影響。

So, just how do you think about earnings power for the company over the next year to two years or so?

那麼，您如何看待該公司未來一年到兩年左右的獲利能力？

Thank you.

謝謝。

You're right on all that, but putting numbers around it, I don't really have it.

你說的這些都很對，但是用數字來表達的話，我卻沒有真正理解。

We don't guide that far out.

我們不會引導那麼遠。

Well, I'll pass it on to Eric and see if he has something to add.

好吧，我會把它轉達給 Eric，看看他是否還有什麼要補充。

Well, yeah, Steve's right, we guide a quarter at a time.

嗯，是的，史蒂夫是對的，我們每次引導四分之一。

We are working through Steve's nine-point plan, and obviously, he's talked a lot about what we're doing in manufacturing.

我們正在貫徹史蒂夫的九點計劃，顯然，他談了很多關於我們在製造業所做的工作。

OpEx and the long-term business model, that is still to be set and we've got some more work to do on that and we'll share more details with the analysts and investor community on March 3.

OpEx 和長期商業模式仍有待確定，我們還有很多工作要做，我們將在 3 月 3 日與分析師和投資者社群分享更多細節。

So, it's hard to answer that question.

所以，這個問題很難回答。

I think as you knew when you asked it and we think we are positioned, as Steve's prepared remarks said, for above-market growth, but we need to get through this inventory correction to start seeing the benefits of that.

我想正如您在問到這個問題時所知道的那樣，我們也認為，正如史蒂夫在準備好的發言中所說，我們已經做好了高於市場增長的準備，但我們需要經歷這次庫存調整才能開始看到其中的好處。

We've got a lot of confidence in our long-term business and what it can drive from an operating margin perspective and cash flow perspective, but we're not quite out of this yet.

我們對我們的長期業務以及它從營業利潤率和現金流角度所能帶來的推動力非常有信心，但我們還沒有完全擺脫這種困境。

Thank you.

謝謝。

Blayne Curtis, Jefferies.

布萊恩·柯蒂斯（Blayne Curtis），傑富瑞（Jefferies）。

Hey, good afternoon.

嘿，下午好。

Two questions.

兩個問題。

I just want to ask, I know you don't want to forecast the revenue slope back, but maybe can you walk us through the gross margin a bit because I think it stepped down more?

我只是想問一下，我知道您不想預測收入會回落，但您能否向我們介紹毛利率，因為我認為它下降得更多了？

Obviously, you said days and dollars would come down in inventory, but is there some level that you want to get to give us some reference as to how long this may be depressed before it comes back with revenue?

顯然，您說庫存天數和金額會下降，但您是否想達到某個水平，以便為我們提供參考，即在收入恢復之前庫存可能會下降多長時間？

So, I think on March 3, we'll give you some data on inventory depletion and rightsizing our factories and all that with which you may be able to model the question you asked and the questions Vivek asked, we don't really have it today, but what I would like to highlight is even for the current quarter, we're guiding a gross margin midpoint of 53%.

因此，我認為在 3 月 3 日，我們會向您提供一些有關庫存消耗和工廠精簡的數據，您可以利用這些數據來模擬您提出的問題和 Vivek 提出的問題，我們今天實際上還沒有這些數據，但我想強調的是，即使是在當前季度，我們預計的毛利率中位數為 53%。

Now, many of our competitors don't do that in good times.

現在，我們的許多競爭對手即使在經濟狀況好的時候也不會這樣做。

So, that's extremely good gross margin.

因此，這是非常好的毛利率。

Now, operating expense at about 39.1% with the midpoint of what we guided today, it was quite high compared to our historical and that's driven by really adding a lot of people at the top of the cycle when assumption was the business just keeps going.

現在，營業費用約為 39.1%，處於我們今天指導的中點，與我們的歷史相比相當高，這是由於在周期頂部增加了很多員工，而當時的假設是業務會持續發展。

So, we have a correction there to do, and I'll be able to talk to you more about it again on March 3.

因此，我們需要做一些修正，我將能夠在 3 月 3 日再次與您討論更多相關內容。

And the gross margin of 53% is with very, very low factory utilization that we are running today.

53% 的毛利率是在我們目前工廠利用率非常低的情況下實現的。

And you know where our gross margins historically have been.

你知道我們的歷史毛利率是多少。

There is absolutely no reason why gross margins do not return to historical numbers, not the historical high, which was really at the peak of the cycle and had expedite charges and price increases and all that in.

毛利率沒有理由不回到歷史水平，回到歷史最高水平，這實際上處於週期的頂峰，並且包含了加急費用和價格上漲等等。

But leaving that timeframe out, we should be able to get to our historical gross margins, and with correcting the operating expenses, you should have really a beautiful P&L, which I'll give it to you as a long-term target on March 3.

但是，如果撇開這個時間範圍不談，我們應該能夠達到歷史毛利率，再加上調整營運費用，你應該會得到一份非常漂亮的損益表，我會在 3 月 3 日把它作為長期目標提供給你。

Thanks.

謝謝。

And then I wanted to ask you on the growth side, that's always been a debate for the company.

然後我想問您關於成長方面的問題，這一直是公司爭論的問題。

I'm just kind of curious your renewed perspective here coming back, you mentioned some moves with the distribution channel to kind of incentivize demand creation.

我只是有點好奇您在這裡的全新觀點，您提到了一些透過分銷管道激勵需求創造的舉措。

Do you think, when you said the company can outgrow the market, is that going to be a work in progress or you think that's what it is today, and these moves would kind of add to that?

您說公司可以超越市場，您認為這是一項正在進行的工作嗎？

I don't know if I can separate those two.

我不知道是否能將這兩者區分開。

I think our megatrend design wins are higher than a non megatrend design win.

我認為我們的大趨勢設計勝利比非大趨勢設計勝利更高。

I think we have shared some data in the past with you.

我想我們過去已經與您分享過一些數據。

They're about 2 times the normal.

它們大約是正常值的兩倍。

So we also went through an environment during super cycle of COVID where all customers engineers we're doing is trying to find alternate parts or really fit whatever product we had available for them into their design qualifying them.

因此，我們也經歷了 COVID 超級週期的環境，我們所做的所有客戶工程師都在嘗試尋找替代零件，或將我們為他們提供的任何產品真正融入他們的設計中以使其合格。

So kind of not much new designs happen for a couple of years.

因此，近年來並沒有太多新的設計出現。

Our customers are reengaged doing new designs.

我們的客戶重新參與進行新的設計。

They are in various parts of the funnel.

它們位於漏斗的各個部分。

And when they go to production, that really a model will show that our business grows from that.

當它們投入生產時，這個模型就會真正顯示我們的業務由此而成長。

And then the other thing is the inventory both at the customers and channels.

另一件事是客戶和通路的庫存。

And when that inventory depletes, then customers start buying their full consumption rate, then that will increase revenue.

當庫存耗盡時，顧客就會開始購買他們所消費的全部產品，這樣收入就會增加。

Combine those two together, we don't really have any concerns about the long-term future.

將這兩者結合起來，我們對於長期的未來確實沒有任何擔憂。

It's just we've got to get through this.

我們必須渡過這一難關。

I think we're getting close, but the industry has been seeing getting close for about a year.

我認為我們已經接近目標了，但業界大約一年前就已經接近目標了。

So I don't want to really spell out any quarter to be the bottom, but we are getting quite close.

因此，我並不想真正指出哪個季度是最低谷，但我們已經非常接近了。

Got you.

明白了。

Thank you.

謝謝。

Harsh Kumar, Piper Sandler.

哈什·庫馬爾，派珀·桑德勒。

Hey, Steve, good to see you back.

嘿，史蒂夫，很高興見到你回來。

I had a quick question on OpEx.

我對 OpEx 有一個簡單的問題。

Sounds like from the answer you just gave to Blayne, I think you said that OpEx will come down from the current level in absolute dollars.

從您剛剛給布萊恩的回答來看，我認為您說過營運支出將從目前的絕對美元水平下降。

Is that a fair assumption?

這是一個合理的假設嗎？

That's my clarification question.

這是我要澄清的問題。

And then, on the nine-point program that you have, are you assuming that things that the environment will stay the same, or are you baking in some level of recovery at some point in time this year or next year?

那麼，根據您的九點計劃，您是否假設環境將保持不變，或者您是否會在今年或明年的某個時間點實現某種程度的復甦？

It's got to come back at some point in time, but I'm curious if you're baking that into your assumption or just keeping the environment the same.

它必須在某個時間點回歸，但我很好奇你是否將其納入你的假設中還是只是保持環境不變。

We are baking it in our assumption, the growth will be a result of some return of business when the inventory is depleted plus our efforts into winning new designs with all the new products we have introduced in the last three, four years, many of them, many customers are sitting on significant designs, but they didn't complete them or launch them in an environment when they had a lot of inventory.

我們的假設是，成長將來自於庫存耗盡後業務的一些回報，加上我們在過去三四年中推出的所有新產品贏得新設計的努力，其中許多客戶都擁有重要的設計，但他們沒有在庫存充足的環境中完成或推出它們。

Understood.

明白了。

I had another question, maybe not so easy, but could you take me through the process of how your organization would even try to gauge the correct level of channel inventory or direct inventory in this kind of an environment where things are dynamic, they're moving around, mostly going down, but still moving around a lot?

我還有一個問題，可能不是那麼簡單，但您能否向我介紹一下貴公司在這種動態環境中如何嘗試衡量渠道庫存或直接庫存的正確水平，它們四處移動，大部分都在下降，但仍然在大量移動？

I'm more curious about the process to understand how you would try to get to the right answer here.

我對這個過程更加好奇，想了解您如何嘗試在這裡找到正確答案。

So, I think, historically, over 20, 25 years, our channels on the average worldwide would have an inventory which is about 2.5 times to 2.7 times what they ship out to their customers in a given quarter.

因此，我認為，從歷史上看，在過去的 20 到 25 年裡，我們全球通路的平均庫存量大約是他們在特定季度向客戶發貨量的 2.5 倍到 2.7 倍。

And it kind of really stayed in that window 2.5 times to 3 times

它確實停留在這個窗口期 2.5 到 3 次

There have been very few occasions when the inventory was much higher than that.

庫存量極少高於此水準的情況。

One happened soon after the Microsemi acquisition when we consolidated the numbers, Microsemi inventory was closer to 4% and ours was lower, and then that we aggressively brought it down.

一次是在收購 Microsemi 後不久，當時我們合併了數據，Microsemi 的庫存接近 4%，而我們的庫存較低，然後我們積極將其降低。

So it can change, but in general, it is in that.

所以它可以改變，但總的來說，它就是這樣。

And we see no reason why distributor inventory would come back down to below 3 times.

我們認為沒有理由認為經銷商庫存會降至 3 倍以下。

Understood.

明白了。

Thank you.

謝謝。

And I think when you're saying that, Steve, you mentioned 2.5 times what they ship in a quarter.

史蒂夫，我想當你這麼說的時候，你提到了他們一個季度的出貨量是這個數字的 2.5 倍。

It's really 2.5 to 3 months of inventory based on what they're shipping out.

根據他們運送的數量，這實際上是 2.5 到 3 個月的庫存。

2.5 to 3 months, sorry.

2.5 到 3 個月，抱歉。

That's all right.

沒關係。

Understood.

明白了。

Thank you.

謝謝。

Teamwork.

團隊合作。

Toshiya Hari, Goldman Sachs.

高盛的 Toshiya Hari。

Hi, thank you so much for taking the question.

你好，非常感謝您回答這個問題。

Steve, it sounds like you've been spending quite a bit of time with customers over the past two months since your return.

史蒂夫，聽起來你回來後的兩個月花了不少時間與客戶在一起。

I'm curious what the feedback has been to you and the company?

我很好奇您和公司收到了什麼回饋？

Any common threads?

有什麼共同點嗎？

And how do you plan on responding to some of the customer asks going forward?

今後打算如何回應一些客戶的問題？

What do you need to do to regain any lost trust, if you will?

如果你願意的話，你需要做什麼來重新獲得失去的信任？

So, I'm going to hand that question to Rich Simoncic.

因此，我將把這個問題交給 Rich Simoncic。

He has talked to more customers than I have.

他與顧客交談過的情況比我還多。

I've been spending a lot of time on the business units and the factories and customers also when they come to us, but I may add something but let him give the basic answer.

我花了很多時間在業務部門、工廠和客戶身上，但我可能會補充一些內容，但讓他給出基本的答案。

Go ahead, Rich.

繼續吧，Rich。

So, we've been spending a lot of time in front of customers.

因此，我們在客戶面前花費了大量的時間。

And mainly what customers are dealing with today is trying to digest the inventory that they have and dealing with the weaker markets.

現今客戶主要面臨的問題是消化庫存和應對疲軟的市場。

So, we've been spending time with our distributors, our catalog houses.

因此，我們一直在與我們的分銷商和目錄機構合作。

And our customer relationships are in pretty good shape where we're losing -- or not losing, but where we have some tough customer relationships, so where they're sitting on quite a bit of inventory from a PSP program or upset about some of the price increases that took place during the COVID period.

我們的客戶關係狀況非常好，即使我們正在虧損——或者沒有虧損，但我們與一些客戶的關係很緊張，他們因為 PSP 計劃積壓了大量庫存，或者對 COVID 期間發生的一些價格上漲感到不滿。

I think a lot of customers suffered from that from other semiconductor suppliers.

我認為很多客戶都因為來自其他半導體供應商而遭受了損失。

So we're trying to do is work with them, understand where they are upset on some of those customers and then see what we can do going forward.

因此，我們正在嘗試與他們合作，了解他們對某些客戶的不滿之處，然後看看我們接下來可以做些什麼。

I don't think there's anything magic here other than us working together to find good win-wins going forward.

我認為，除了我們共同努力尋求雙贏的局面之外，這裡沒有什麼神奇之處。

I think as we went through the customer relationships, we found twice as many that were happier with us, that our relationship improved and then we had some that our relationship had degraded, and where we have those that degraded and our worst accounts where they had degraded was those 256 that Steve highlighted.

我認為，當我們回顧客戶關係時，我們發現對我們的滿意度提高了一倍的客戶數量，我們的關係得到了改善，然後我們發現一些客戶與我們的合作關係有所惡化，而我們關係惡化的客戶和關係最差的客戶就是史蒂夫重點提到的那 256 個。

And out of the abundance of customers we have, we're going to work on those 256 where we've degraded that relationship.

在我們擁有的眾多客戶中，我們將針對那些已經降低與客戶的合作關係的 256 個客戶開展工作。

Thank you.

謝謝。

No customer is telling us go away, you're horrible, anything like that.

沒有顧客告訴我們走開，你們太糟糕了，或諸如此類的事情。

I think our products are good, our tools are good, our service and support has been world-class over the years.

我認為我們的產品很好，我們的工具很好，多年來我們的服務和支援一直是世界一流的。

In many of these customers, we have a multi-decade relationship.

我們與許多客戶都有數十年的合作關係。

So it's kind of just, they got hurt, some of them got hurt during the super-cycle one way or the other, either with pricing or not getting enough product or getting too much product and have inventory.

所以，他們受到了傷害，其中一些人在超級週期中以某種方式受到了傷害，要么是定價問題，要么是產品不足，要么是產品過多而產生庫存。

And just hurt feelings have to be soothed, and time heals, and discussion and talk heals, and we're largely getting those customers back designing with us.

受傷的感情需要撫慰，時間可以治愈，討論和交談可以治愈，我們基本上可以讓那些客戶回來與我們一起設計。

Great.

偉大的。

Thank you.

謝謝。

And then, as a quick follow-up, maybe on pricing, calendar '24, where did blended ASPs for you all land roughly?

然後，作為一個快速的後續問題，也許關於定價，日曆 '24，你們的混合 ASP 大致在哪裡？

And how should we think about '25 and sort of the forward path?

我們該如何看待 25 年以及未來的道路？

I think many of your peers have said something along the lines of they expect pricing to revert to pre-pandemic patterns, which is down low-single digits.

我想，您的許多同行都說過類似這樣的話，他們預計價格將恢復到疫情前的模式，即下降個位數。

Are you thinking about pricing the same way or could it be a little bit different for you guys?

您是否考慮以相同的方式定價，或者對您來說可能會有點不同？

Thank you.

謝謝。

So, my sense is that short-term, yes, what the competitors are doing is correct.

所以，我的感覺是，短期內，競爭對手的做法是正確的。

But I'm not sure it returns to a price drop every year because pre-pandemic, Microchip wasn't giving a year-over-year price decrease, our costs don't go down year-over-year, many of the costs go up and through efficiency gains and yield improvements and others, you got to get back to your margin.

但我不確定它每年都會降價，因為在疫情之前，微晶片的價格並沒有逐年下降，我們的成本也沒有逐年下降，許多成本都在上升，透過提高效率、提高產量等，你必須回到你的利潤率。

So, the price drops every year was really thing of the past.

因此，每年的價格下降確實已經成為過去了。

But short-term, I think we increased prices quite a bit over the past three, four years, and some price reduction in the low- to mid-single-digits near-term is appropriate.

但從短期來看，我認為我們在過去三、四年已經大幅提高了價格，短期內將價格降低到低至中等個位數是合適的。

Thank you.

謝謝。

Vijay Rakesh, Mizuho Securities.

瑞穗證券的 Vijay Rakesh。

Hi, thanks, Steve.

嗨，謝謝，史蒂夫。

And just a quick question.

這只是一個簡單的問題。

As you look at your different segments, autos, industrial, consumer, is there a way to tell us what the split is and how they have done year on year?

當您觀察汽車、工業、消費等不同細分市場時，有沒有辦法告訴我們它們的分佈以及它們同比的表現如何？

Eric?

埃里克？

So we break out our end markets once a year, Vijay.

所以我們每年都會突破一次終端市場，Vijay。

We do that at the end of the fiscal year, which will end in March.

我們將在財政年度結束時（三月結束）進行此項工作。

So, we'll provide more color on that probably in the kind of early May timeframe when we release our year-end earnings.

因此，我們可能會在 5 月初發布年終收益時提供更多詳細資訊。

So don't have it to share today.

所以今天沒有可以分享的。

Really, all end markets have been weak.

確實，所有終端市場都很疲軟。

We've highlighted a few things that have been stronger over this period of time and not a whole lot of change there, right?

我們強調了一些在這段時間內變得更強大的事情，但並沒有發生太大的變化，對嗎？

But overall, industrial and automotive have been weak, that's consistent with what you're hearing from everybody else.

但總體而言，工業和汽車行業一直表現疲軟，這與你從其他人那裡聽到的消息一致。

Got it.

知道了。

And then, on the inventory side, is there any risk of inventory obsolescence or write-down given you are seeing some disintermediation with other solutions, I guess?

然後，在庫存方面，考慮到您看到其他解決方案的一些非中介化，我猜是否存在庫存過時或減記的風險？

Thanks.

謝謝。

Eric?

埃里克？

So, we have been taking pretty significant inventory reserve charges.

因此，我們一直承擔相當大的庫存儲備費用。

And so, those have been reflected in the gross margin and our expectation for gross margin this quarter.

因此，這些都反映在毛利率和我們對本季毛利率的預期中。

We've got a lot of inventory sitting on the balance sheet and revenue has been falling and backlog has been falling.

我們的資產負債表上有大量庫存，收入一直在下降，積壓訂單也在下降。

So with low visibility and lower revenue and high level of inventory, that's just the place we're in right now.

所以，由於可見度低、收入低、庫存高，這就是我們現在所處的境地。

But Steve has talked about the actions that we're taking to reduce inventory in dollars and days, and I think we've got a good plan in place to do that.

但史蒂夫已經談到了我們為減少庫存所採取的措施，我認為我們已經制定了很好的計劃來做到這一點。

And so as we move forward, not saying necessarily this quarter is that our gross margin guidance is down, but as we move forward, those charges should reduce as the inventory balance comes down, and hopefully, we see a better revenue environment.

因此，隨著我們向前發展，不一定說本季我們的毛利率預期會下降，但隨著我們向前發展，隨著庫存餘額的下降，這些費用應該會減少，並希望我們能看到更好的收入環境。

Right.

正確的。

Thank you.

謝謝。

You're welcome.

不客氣。

Chris Danely, Citi.

花旗銀行的克里斯丹尼利 (Chris Danely)。

Hey, thanks, guys.

嘿，謝謝大家。

I guess a question for Steve/Rich.

我想這是一個針對史蒂夫/里奇的問題。

Steve, as you've been there for three months now, is there anything you see that's gone wrong that is not fixable?

史蒂夫，你已經在那裡待了三個月了，你認為有什麼問題是無法解決的嗎？

And then, if you/Rich could just spend some time on your assessment of Microchip's competitive positioning and how you feel that that is, let's say, versus a couple of years ago?

然後，您/Rich 是否可以花一些時間來評估 Microchip 的競爭定位，以及您認為與幾年前相比如何？

Thanks.

謝謝。

So, I haven't found anything that is not fixable.

所以，我還沒有發現任何無法修復的東西。

I think rightsizing the factories is fixable and we're in the process of doing so.

我認為，調整工廠規模是可以實現的，我們正在進行這項工作。

The high inventory is fixable and we're in the process of doing so.

高庫存問題是可以解決的，我們正在努力解決。

As we're doing these various business unit by business unit reviews, some business units have flourished, some of the others have atrophied, and we need to move some things around, put our resources, take them away from lower-performing business units and put them in the higher-performing business units.

當我們對各個業務部門進行逐一審查時，我們發現一些業務部門蓬勃發展，其他業務部門卻萎縮了，我們需要進行一些調整，將我們的資源從績效較低的業務部門轉移到績效較高的業務部門。

So, some optimization needs to be done.

因此，需要做一些優化。

So that is fixable.

所以這是可以解決的。

There are -- we compete in a lot of different businesses, microcontrollers, analog, data center, automotive, aerospace and defense and all that, and in any business unit or any end market, you will find that we should have this product or this feature, we don't have it yet, somebody else has it, and internal discussion would be how we can plug that gap.

我們在許多不同的業務領域競爭，包括微控制器、模擬、數據中心、汽車、航空航天和國防等等，在任何業務部門或任何終端市場，你都會發現我們應該有這個產品或這個功能，但我們還沒有，而別人有，內部討論的是如何填補這個空白。

But at the same time, we have products with some differentiating features that our competitors don't.

但同時，我們的產品也具有競爭對手所沒有的一些差異化特徵。

But no, I haven't found anything that is not fixable, but anytime you find a product whole, it does take two years of development to plug that hole.

但是，我沒有發現任何無法修復的問題，但任何時候你發現一個完整的產品，它確實需要兩年的開發來彌補這個漏洞。

So, I think, in general, I haven't really found anywhere -- any major problem that is not fixable, but it takes time to fix some of these things.

因此，我認為，總的來說，我還沒有發現任何無法解決的重大問題，但解決其中一些問題需要時間。

Okay.

好的。

And the competitive positioning question, and then I'll go away.

還有競爭定位問題，然後我就離開了。

Rich, you want to answer that?

里奇，你想回答這個問題嗎？

Yeah.

是的。

I think in our analysis of that, in our surveys of that and our discussions with our distributors and the feedback we're getting, we're predominantly holding our own in that competitive positioning.

我認為，在我們的分析、調查、與經銷商的討論以及我們得到的回饋中，我們主要在競爭中保持了自己的地位。

So, we're still working through it.

所以，我們仍在努力解決這個問題。

I think what's confusing right now, because of inventory, you lose visibility in terms of where some of those customers are when you have a large swath of customers.

我認為現在令人困惑的是，由於庫存的原因，當你擁有大量客戶時，你會無法了解其中一些客戶在哪裡。

Microchip has about 120,000 customers.

Microchip 擁有約 12 萬名客戶。

So, obviously, we can't touch 120,000, but we're touching all of the focused ones and dedicated ones that we have.

因此，顯然，我們無法觸及 120,000 個，但我們正在觸及我們所有的重點和專用人員。

And the relationships are still strong.

雙方關係依然牢固。

And we have customers that are still coming through and working with us.

而且我們還有一些客戶仍在與我們合作。

So, I don't see anything majorly broken on that customer front.

因此，我沒有發現客戶方面有什麼重大問題。

We work on building relationships, but there's nothing fundamentally broken.

我們致力於建立關係，但沒有根本性的破裂。

Like I said earlier, I think most customers were just unhappy about how the whole COVID period went and how they built up inventory.

就像我之前說的，我認為大多數客戶只是對整個 COVID 期間的進展以及他們如何累積庫存感到不滿。

We did find, which was quite fascinating that our smaller customers, medium and smaller customers when material was finally available to them, instead of buying one year or 12 months, they may have bought 24 months.

我們確實發現，這非常有趣，當我們的小客戶、中型和小型客戶最終可以獲得材料時，他們可能不是購買一年或 12 個月的產品，而是購買 24 個月的產品。

So, they bought a little bit extra on the smaller and medium customers.

因此，他們向小型和中型客戶多購買了一點。

And so, it really varies depending on the market and the customer base.

所以，這確實因市場和客戶群的不同而有所不同。

Got it.

知道了。

Joe Moore, Morgan Stanley.

摩根士丹利的喬摩爾。

Great.

偉大的。

Thank you.

謝謝。

The 266 days of inventory, can you talk about how much of that is from the internal fabs?

266天的庫存，您能談談其中有多少是來自內部晶圓廠嗎？

I think you had given a number that it's over 300 in the past.

我認為您過去給出的數字是 300 以上。

And then, I had a follow-up on that.

然後我對此進行了跟進。

So, I think internal fabs were 288 or something.

所以，我認為內部晶圓廠有 288 個左右。

Eric, do you have the breakdown?

艾瑞克，你了解到詳細情況了嗎？

It's in that range.

就在那個範圍內。

I'd have to pull up a spreadsheet to look at it, but it's in that range.

我必須打開電子表格才能查看它，但它就在那個範圍內。

The internal fabs are higher than what it is on the foundry and systems side of the business.

內部晶圓廠的規模比代工和系統業務的規模更高。

Okay.

好的。

And then, you talked about taking an inventory kind of reserve around the lower utilization.

然後，您談到了針對較低的利用率採取庫存儲備。

Like, are we -- that 53%, does that fully reflect the lower utilization, or is there kind of a lingering cost of inventory that's higher because of that lower utilization going forward?

例如，53% 是否完全反映了較低的利用率，或者是否存在由於未來利用率較低而導致的庫存成本上升？

Well, when you're running the factories less efficiently, you are capitalizing costs and inventory at higher levels, even though you're taking these underutilization charges.

嗯，當你以較低的效率運營工廠時，儘管你承擔了這些利用不足的費用，但你還是在更高水平上資本化成本和庫存。

So it takes some time to work through that higher cost inventory.

因此，處理高成本庫存需要一些時間。

But I would expect to see gross margin improvement before that because these inventory reserve charges will go down, right?

但我預計在此之前毛利率會提高，因為這些庫存儲備費用會下降，對嗎？

We've taken a lot of reserve charges.

我們已經收取了很多儲備費。

At some point, we will get sell-through benefit from that also.

在某種程度上，我們也將從中獲得銷售利益。

So, it's hard to predict exactly how that will weigh, and we'll probably just give quarterly guidance, and we'll give a long-term target.

因此，很難準確預測這將產生怎樣的影響，我們可能只會提供季度指導，並給出一個長期目標。

But we are reflecting in the gross margin you see today the underutilization charges and as the factories build back up, those charges will go down.

但我們在今天的毛利率中反映了未充分利用的費用，隨著工廠的恢復，這些費用將會下降。

And obviously, we were taking out our third largest factory in Fab 2 that's going to help us get inventory corrected faster than if we had not taken that step.

顯然，我們正在關閉 Fab 2 中的第三大工廠，這將幫助我們比沒有採取這項措施時更快地糾正庫存。

Great.

偉大的。

Thank you so much.

太感謝了。

Tore Svanberg, Stifel.

托爾·思文伯格（Tore Svanberg），Stifel 公司。

Yes, good afternoon.

是的，下午好。

This is Jeremy calling for Tori.

這是傑里米 (Jeremy) 打電話給托莉 (Tori)。

I guess just maybe going back to the turns question.

我想也許又要回到轉彎問題了。

Can you just help us quantify or size a little bit the turns that you might need to get the midpoint?

您能否幫助我們量化或稍微確定一下獲得中點所需的轉彎大小？

And how that compares versus historical cycles and at different points in the cycle historically?

與歷史週期以及歷史上週期的不同點相比如何？

Thank you.

謝謝。

I didn't get that.

我沒明白。

There was a little bit of noise.

有一點噪音。

Did you get that?

你明白了嗎？

No, I think that I've got it.

不，我想我已經明白了。

So, the question is, I'll repeat it real quickly is, when we're looking at the current quarter to get to the midpoint, how do the turns look compared to what we've seen historically.

所以，問題是，我會快速重複一遍，當我們查看當前季度的中點時，與歷史上所見的情況相比，轉變情況如何。

And so, I'll give an answer to that and Rich and Steve can add to it if they want to.

因此，我會對此給出答案，如果 Rich 和 Steve 願意的話，他們可以進行補充。

So, when lead times are very short, which they are today, our business has historically been able to respond to a high level of turns.

因此，當交貨時間非常短（就像現在這樣）時，我們的業務從歷史上看就能夠應對高水準的周轉。

And it's just a matter of, is the customer demand there to fill that in?

唯一的問題是，客戶是否有需求來填補這個空缺？

We've given guidance based on what we think is reasonable for the quarter and obviously given a range of guidance, and the turns required to meet that are not outside of what would be normal in a short lead time environment.

我們根據認為本季合理的情況給出了指導，顯然給出了一系列指導，而滿足這些指導所需的周轉並不超出短交貨期環境中的正常範圍。

That's very helpful.

這非常有幫助。

And maybe just

也許只是

--

--

And maybe just to add one more piece to that because there's turns and then there's expedites and pull-ins.

也許只是要添加一個部分，因為有轉彎，然後有加速和拉入。

And we're continuing to see expedites and pull-ins come in as well.

我們也繼續看到加急和拉入的出現。

Right.

正確的。

And what a pull-in is would be is we already have backlog in place that sits outside of the quarter.

而拉動的因素是，我們已經有本季以外的積壓訂單。

And then, the customer comes to us and say, hey, instead of needing that product in April, now I need it in March, can you support that?

然後，客戶來找我們說，嘿，我不再需要在四月使用該產品，而是需要在三月使用，你們能支持嗎？

And that's what Rich means by a pull-in.

這就是 Rich 所說的「拉近」的意思。

That's very helpful.

這非常有幫助。

Thank you.

謝謝。

And maybe a quick question on the new product side.

也許還有關於新產品方面的一個簡單的問題。

Can you give us on the RISC-V processor, can you help us maybe size the opportunity here both in the near-term and the long-term?

您能否向我們介紹一下 RISC-V 處理器，能否幫助我們評估短期和長期的機會？

Maybe in the near-term, when we can see initial revenue contribution?

也許在近期，我們可以看到最初的營收貢獻？

And in the longer-term, how big could this potentially get as you look out three to five years?

從長遠來看，展望三到五年，這個數字可能達到多大？

Thank you.

謝謝。

Yeah.

是的。

So, we haven't forecasted overall revenue impact to Microchip.

因此，我們尚未預測對微晶片的整體收入影響。

What we're seeing is a great many customers building development environments and asking for help with software and understanding of that product portfolio.

我們看到許多客戶正在建立開發環境並尋求軟體方面的幫助並了解該產品組合。

And so, we've seen customers now start to build-out development groups and design groups around this platform of products and starting to design them into different applications.

因此，我們看到客戶現在開始圍繞這個產品平台建立開發團隊和設計團隊，並開始將它們設計到不同的應用程式中。

And so, we haven't announced any of those design wins yet, but the level of activity is quite high.

因此，我們尚未宣布任何設計勝利，但活動水平相當高。

Craig Ellis, B. Riley Securities.

艾利斯 (Craig Ellis)，B. Riley Securities。

Yes.

是的。

Thanks for taking the question, and team, thanks for all the color so far.

感謝您提出這個問題，也感謝團隊迄今為止提供的所有詳細資訊。

Steve, I wanted to go back to the plan's first point on production and ask a more qualitative question.

史蒂夫，我想回到該計劃關於生產的第一點，並提出一個更定性的問題。

Can you help us understand where the team is in assessing the right level of front-end and back-end capacity and where you are in terms of identifying the specific steps that are needed to realign that capacity and the things that allow you to be operating at the new correct capacity that you determine?

您能否幫助我們了解團隊在評估前端和後端容量的正確水平方面處於什麼位置，以及您在確定重新調整該容量所需的具體步驟以及使您能夠以您確定的新的正確容量進行運營的事項方面處於什麼位置？

The team is very far along identifying what steps need to be taken to right-size the other factories beyond closing down Fab 2, and we'll be disclosing that to you on March 3.

除了關閉 Fab 2 之外，團隊已經確定了需要採取哪些措施來調整其他工廠的規模，我們將於 3 月 3 日向您透露這項消息。

Got it.

知道了。

And then, Eric, I'll just follow up the point you made on the debt maturity in September.

然後，艾瑞克，我將跟進你關於九月份債務到期的問題。

It sounds like you're well-positioned to deal with that.

聽起來你已經有能力處理這個問題。

Is it correct that the next maturity beyond that would be in March of 2028?

下一個到期日是 2028 年 3 月，對嗎？

And if not, can you help me understand when that would be?

如果不是，您能幫我了解那是什麼時候嗎？

Yes.

是的。

Eric is trying to look at his computer.

埃里克正試著看他的電腦。

Yes, I'm just pulling it up to make sure I don't misspeak to it.

是的，我只是想把它拉起來以確保我沒有說錯。

So, we do have another tranche of $1 billion due in March of 2028.

因此，我們還有另一筆 10 億美元的款項將於 2028 年 3 月到期。

The $1.2 billion we talked about, we'll have to redo our line of credit at some point in time.

我們談論的 12 億美元，我們將不得不在某個時間點重新安排我們的信用額度。

That's a pretty standard process that we go through.

這是我們經歷的一個非常標準的流程。

But that's how the tranches are laying out right now.

但目前各部分的佈局就是這樣的。

The $1.2 billion in September of '25 is the next one.

下一個是1925年9月的12億美元。

And then, after that, it's not till '28.

然後，在那之後，就到了 28 年。

Got it.

知道了。

Thanks guys.

謝謝大家。

Chris Caso, Wolfe Research.

克里斯‧卡索（Chris Caso），沃爾夫研究公司。

Yes, thank you.

是的，謝謝。

I guess the first question with regard to the dividend, and I know at this point, you're not fully generating free cash flow to support the dividend.

我想第一個問題與股息有關，我知道目前你還沒有完全產生自由現金流來支持股息。

Could you talk about your level of commitment to that dividend and as we're going through sort of the recovery plan and such that we're still committed to this dividend in the foreseeable future as free cash flow starts to get better?

您能否談談對股息的承諾程度？

Yes.

是的。

So, as you may have noticed, we did not increase the dividend by a smidgen that we have been doing it probably for years and years.

因此，您可能已經注意到，我們並沒有增加一點點股息，而我們可能已經這樣做了很多年了。

So, there's no reason to add to it and we'll keep this dividend flat, but there is no reason to take it down.

因此，沒有理由增加股息，我們將保持股息不變，但沒有理由降低股息。

Not generating enough cash flow is a very short-term problem and it kind of raises its ugly head every six months, because every six months bond payments are due, and in one quarter, they're not there, in the other quarter, the dividend payment -- I'm sorry, the bond payment pops up.

沒有產生足夠的現金流是一個非常短期的問題，它每六個月就會出現一次，因為每六個月都需要支付債券，在一個季度，債券沒有支付，而在另一個季度，股息支付——對不起，債券支付就出現了。

So every other quarter we have to borrow some money to pay the dividend, but I think this problem should really go away in the coming quarters pretty rapidly.

因此，每隔一個季度我們都必須借一些錢來支付股息，但我認為這個問題在未來幾季應該很快就會消失。

So because it's a short-term issue, there is no reason to do a long-term damage by cutting the dividend.

所以，由於這是一個短期問題，所以沒有理由透過削減股利來造成長期損害。

Yes.

是的。

Maybe just as an example, our adjusted free cash flow in the December quarter is essentially equal to what our dividend payment is in March, but our adjusted free cash flow will be lower in the March quarter and then won't cover what we would pay in the June quarter.

舉個例子，我們 12 月季度的調整後自由現金流基本上等於 3 月份的股息支付額，但 3 月份季度的調整後自由現金流會更低，從而無法彌補 6 月份季度的股息支付額。

And we always have based our capital return program based on the prior quarter's free cash flow.

我們的資本回報計畫始終以以上第一季的自由現金流為基礎。

So anyway, right now, it's obviously not as high as we would like it to be, but confidence in the business getting back to higher levels and profitability returning as well as the working capital management we're doing with the inventory reduction is going to help us with that.

所以無論如何，現在，顯然它沒有我們希望的那麼高，但對業務恢復到更高水平和盈利能力恢復的信心以及我們通過減少庫存進行的營運資本管理將幫助我們實現這一目標。

Understood.

明白了。

For a second question, it's about kind of manufacturing capacity.

第二個問題是關於製造能力的問題。

And I know you're going to provide some more details in March.

我知道您將在三月提供更多細節。

But I guess two parts to that.

但我認為這分為兩部分。

One would be, internally, you don't have access to 300-millimeter manufacturing, and it doesn't sound like that's something that you're going to pursue.

一是，從內部來看，你們無法進行 300 毫米的製造，而且這聽起來不像是你們要追求的目標。

Do you feel that the internal fab network is still competitive with the rest of the market as you see some others start to expand on 300-millimeter?

當您看到其他一些公司開始在 300 毫米上擴張時，您是否認為內部晶圓廠網路仍然與市場上的其他公司具有競爭力？

How does Microchip respond to that?

微晶片對此有何回應？

And then secondly, you've seen some other competitors move to China for China manufacturing strategy because of some of the geopolitical tensions, the feeling that Chinese customers want a manufacturing footprint inside of China.

其次，由於一些地緣政治緊張局勢，以及中國客戶希望在中國境內建立製造基地的感覺，您已經看到其他一些競爭對手將製造策略轉移到中國。

How is Microchip responding to that?

微晶片對此有何回應？

So, let me take those.

所以，讓我來拿走它們。

The first one on 300-millimeter, we use a substantial 300-millimeter capacity at our foundry.

第一個是 300 毫米，我們在鑄造廠使用了大量 300 毫米的產能。

So, a fair amount of our business today in various business units is on 300, it's just not internal, it is external.

所以，今天我們各個業務部門的相當一部分業務都在 300 以上，這不是內部的，而是外部的。

And I will tell you that many of our competitors who make 300-millimeter with all the underutilization, all the cost to ramp it and the time it takes to develop the technology.

我要告訴你們，我們的許多競爭對手在生產 300 毫米晶圓時，都未充分利用產能，而且在提升產能方面花費了大量成本，開發該技術也花費了大量時間。

When you look at the total cost of ownership, I think their experience in total cost of ownership is really no better than us buying a very well-known running technology with high yields at the professional foundry.

當你考慮整體擁有成本時，我認為他們在總體擁有成本方面的經驗實際上並不比我們在專業代工廠購買非常知名且產量高的運作技術更好。

So, I think we're pretty happy with that.

所以我認為我們對此非常滿意。

There was a point two, three years ago when foundries were telling us they wouldn't be adding more trailing edge capacity, and all their investments were going to go into the advanced technology.

兩三年前，代工廠告訴我們，他們不會增加更多的後緣產能，所有投資都將投入先進技術。

So at that point, we were concerned about whether there'll be enough capacity for 300-millimeter for 90 nanometer, 65 nanometer and 40 nanometer, specifically those three technologies.

所以在那個時候，我們擔心的是 300 毫米、90 奈米、65 奈米和 40 奈米（特別是這三種技術）是否有足夠的產能。

And at that time, then, we were pursuing building a fab in US and getting some money from CHIPS Act to do so.

當時，我們正在考慮在美國建立一家晶圓廠，並從 CHIPS 法案中獲得一些資金來建立晶圓廠。

And as we were engaging with government and all that to do that the business has full, and our foundry business is full.

當我們與政府合作並進行所有這些工作時，我們的業務已經滿負荷，我們的代工業務也已滿負荷。

Now today, you can buy as much 40 nanometer, 65 nanometer and 90 as you want.

現在，您可以隨意購買 40 奈米、65 奈米和 90 奈米。

And then, the factories told us that this will be no longer a problem.

然後，工廠告訴我們這不再是問題。

And in fact, some of them are investing in additional 40, 65 and 90 for the future.

事實上，其中一些公司正在為未來額外投資 40、65 和 90 年。

So therefore, for us to spend multi-billion dollars probably a $5 billion to $6 billion investment to build a 300-millimeter factory, which will take a decade plus to fill it and you'll have low utilization in the beginning.

因此，我們花費數十億美元，可能投資 50 億到 60 億美元來建造一個 300 毫米工廠，需要十年以上的時間才能填滿，而且一開始的利用率會很低。

I think that cost of ownership equation just does not work.

我認為所有權成本方程式不起作用。

And the second part of your question was on China for China strategy.

你問題的第二部分是關於中國針對中國的戰略。

We have a China for China strategy also, and I'll talk about that also on March 3.

我們還有一個針對中國的戰略，我也將在 3 月 3 日談論該戰略。

Thanks.

謝謝。

Thank you.

謝謝。

There are no further questions at this time.

目前沒有其他問題。

I would like to pass the call back over to Steve for any closing remarks.

我想將電話轉回給史蒂夫，請他做最後發言。

I want to thank all the investors and analysts who attended the call, and thanks for your support over many, many years when I was the CEO, and I have just gotten back, and things are going to improve rapidly.

我要感謝所有參加電話會議的投資者和分析師，感謝你們在我擔任執行長的許多年裡給予的支持，我剛剛回來，事情會迅速好轉。

So, please be patient and I thank you for your support.

因此，請耐心等待，感謝您的支持。

Bye.

再見。

This concludes today's teleconference.

今天的電話會議到此結束。

You may disconnect your lines at this time.

現在您可以斷開您的線路。

Thank you for your participation.

感謝您的參與。