美光科技 (MU) 2018 Q2 法說會逐字稿

Good afternoon. My name is Jonathan, and I will be your conference facilitator today. At this time, I would like to welcome everyone to Micron Technology Second Quarter 2018 Financial Results Conference Call. (Operator Instructions).

午安.我叫喬納森，今天我將擔任你們的會議主持人。在此，我謹代表美光科技公司歡迎各位參加2018年第二季財務業績電話會議。（操作說明）

It is now my pleasure to turn the floor over to your host, Shanye Hudson. You may begin your conference.

現在，我很高興把發言權交給主持人 Shanye Hudson。您可以開始會議了。

Thank you, Jonathan, and welcome to Micron Technology's Second Fiscal Quarter 2018 Financial Conference Call. On the call with me today are Sanjay Mehrotra, President and CEO; and Dave Zinsner, Chief Financial Officer. Today's call will be approximately 60 minutes in length. This call, including audio and slides, is being webcast from our Investor Relations website at investors.micron.com. In addition, our website contains the earnings press release which was filed a short while ago.

謝謝喬納森，歡迎參加美光科技2018財年第二季財務電話會議。今天和我一起通話的是總裁兼執行長 Sanjay Mehrotra 和財務長 Dave Zinsner。今天的電話會議大約需要60分鐘。本次電話會議（包括音訊和幻燈片）將透過我們的投資者關係網站 investors.micron.com 進行網路直播。此外，我們的網站上也刊登了不久前發布的獲利新聞稿。

Today's discussion on financial results will be presented on a non-GAAP financial basis unless otherwise specified. A reconciliation of GAAP to non-GAAP financial measures may be found on our website, along with the convertible debt and capped call dilution table.

除非另有說明，今天關於財務業績的討論將以非GAAP財務報表為基礎。您可以在我們的網站上找到 GAAP 與非 GAAP 財務指標的調整表，以及可轉換債券和上限選擇權稀釋表。

As a reminder, the prepared remarks from this call and webcast replay will be available on our website later on today. We encourage you to monitor our website at micron.com throughout the quarter for the most current information on the company, including information on the various financial conferences that we'll be attending. You can also follow us on Twitter, @MicronTech.

再次提醒大家，本次電話會議的發言稿和網路直播回放將於今天稍晚在我們的網站上發布。我們鼓勵您在本季度密切關注我們的網站 micron.com，以獲取有關公司的最新信息，包括我們將參加的各種金融會議的信息。您也可以在 Twitter 上關注我們，帳號是 @MicronTech。

As a reminder, the matters we will be discussing today include forward-looking statements. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from statements made today. We refer you to the documents we filed with the SEC, specifically our most recent Form 10-K and Form 10-Q, for a discussion of risks that may affect our future results. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. We're under no duty to update any of the forward-looking statements after today's date to conform these statements to actual results.

再次提醒大家，我們今天將要討論的事項包含前瞻性陳述。這些前瞻性陳述存在風險和不確定性，可能導致實際結果與今天所作的陳述有重大差異。有關可能影響我們未來業績的風險的討論，請參閱我們向美國證券交易委員會提交的文件，特別是我們最新的 10-K 表格和 10-Q 表格。儘管我們認為前瞻性聲明中反映的預期是合理的，但我們無法保證未來的結果、活動水準、績效或成就。我們沒有義務在今天之後更新任何前瞻性聲明，以使這些聲明與實際結果相符。

I'll now turn the call over to you, Sanjay.

現在我把電話交給你，桑傑。

Thank you, Shanye. Good afternoon. During the second quarter, Micron, once again, set company performance records across multiple metrics, including revenue, gross profit, EPS and cash generation. We are consistently delivering results that underscore our relentless focus on execution and solid progress on our strategic priorities. Specifically, we are evolving our product portfolio to a richer mix of high-value solutions, enhancing our financial performance and cultivating deeper relationships with more key customers across multiple mega markets.

謝謝你，山野。午安.第二季度，美光科技再次在多項指標上創下公司業績紀錄，包括營收、毛利、每股盈餘和現金流。我們不斷取得成果，這凸顯了我們對執行的不懈關注以及在策略重點方面取得的穩步進展。具體而言，我們正在將產品組合發展為更豐富的高價值解決方案組合，從而提升財務業績，並與多個大型市場中的更多重要客戶建立更深的關係。

Our growing portfolio of managed NAND solutions and low-power DDR4 products boosted our mobile business to record revenue and profitability during the quarter. We also grew our SSD shares in our second quarter with total SSD sales up 80% year-over-year and sales of cloud and enterprise drives more than tripling for that same period.

我們不斷成長的託管 NAND 解決方案和低功耗 DDR4 產品組合推動了我們的行動業務在本季度創下營收和獲利紀錄。第二季度，我們的 SSD 市佔率也有所成長，SSD 總銷售額年增 80%，同期雲端和企業級驅動的銷售額成長超過三倍。

Continued strong penetration of our highly competitive DDR4 products into cloud applications and our industry-leading high-performance graphics memory portfolio into gaming, graphics and cryptomining applications contributed to a robust 15% sequential growth for our Compute and Networking Business Unit.

我們極具競爭力的 DDR4 產品持續強勁滲透到雲端應用領域，以及我們業界領先的高效能圖形記憶體產品組合在遊戲、圖形和加密貨幣挖礦應用領域取得的成功，促成了我們運算和網路業務部門 15% 的強勁環比增長。

Strong demand for our DRAM and NAND products delivered record second quarter revenues for us in the automotive market. We continue to execute well on our goal of introducing new products on our advanced technologies, delivering performance, quality, supply and cost advantages to our customers.

汽車市場對我們DRAM和NAND產品的強勁需求，使我們在第二季的營收創下歷史新高。我們繼續穩步推進我們的目標，即利用我們的先進技術推出新產品，為我們的客戶提供性能、品質、供應和成本優勢。

In NAND, we are transitioning from being the components supplier to becoming a solutions provider. We launched and began qualifications of the industry's first cloud and enterprise SATA SSD drive incorporating 64-layer 3D TLC NAND. We also introduced the 3DFS solutions targeted at flagship smartphones. These solutions are also based on our 64-layer 3D TLC NAND, which has 15% higher performance and double the density of the prior technology. We have qualified a family of these products with a major chipset vendor and we expect to complete customer qualification in the coming months.

在NAND領域，我們正在從零件供應商轉型為解決方案提供者。我們推出了業界首款採用 64 層 3D TLC NAND 的雲端和企業級 SATA SSD 固態硬碟，並開始進行認證。我們也推出了旗艦智慧型手機的 3DFS 解決方案。這些解決方案也基於我們的 64 層 3D TLC NAND，其性能比之前的技術提高了 15%，密度提高了一倍。我們已經通過一家主要晶片組供應商的認證，並預計在未來幾個月內完成客戶認證。

In DRAM, our focus remains on enhancing our cost competitiveness and accelerating our product execution. We have qualified our 1X nanometer DRAM at 3 of the world's largest hyperscale customers, with other qualifications underway. We also garnered positive feedback on our 1X nanometer LPDRAM solutions and set industry benchmarks for power efficiency, which is particularly critical to our mobile customers. Our comprehensive and expanding portfolio of DRAM, NAND and NOR solutions has enabled us to achieve record design wins for our automotive business in the first half of fiscal 2018. We believe we are well positioned to continue to support our share leadership in this rapidly growing market. These achievements illustrate our focus and the ability to deliver value to both our customers and shareholders.

在DRAM領域，我們的重點仍然是提高成本競爭力並加快產品執行速度。我們已經向全球 3 家最大的超大規模客戶驗證了我們的 1X 奈米 DRAM，其他驗證工作正在進行中。我們也獲得了關於 1X 奈米 LPDRAM 解決方案的正面回饋，並為能源效率設定了產業基準，這對於我們的行動客戶來說尤其重要。我們全面且不斷擴展的 DRAM、NAND 和 NOR 解決方案組合，使我們在 2018 財年上半年汽車業務的設計訂單數量創下歷史新高。我們相信，我們已做好充分準備，繼續鞏固我們在這一快速成長的市場中的領先地位。這些成就體現了我們的專注精神以及為客戶和股東創造價值的能力。

I'll now discuss some of the trends we are seeing across our end markets, which will continue to expand the significant opportunities for our business in the years ahead.

接下來，我將討論我們在終端市場中看到的一些趨勢，這些趨勢將在未來幾年繼續擴大我們業務的巨大機會。

At Mobile World Congress recently, phone manufacturers featured high-end smartphones with larger 4K displays, multiple high resolution cameras and 4K HDR video recording. Capabilities like these have driven increased memory and storage requirements in recent years. But perhaps, most impressive were the multiple implementations of artificial intelligence and virtual reality. OEMs are bundling new artificial intelligence, augmented reality. OEMs are building new artificial intelligence, augmented reality and lifelike virtual reality capabilities into high-end smartphones, including facial and voice recognition, realtime translation, fast image search and scene detection.

在最近的世界行動通訊大會上，手機製造商展示了高階智慧型手機，這些智慧型手機配備了更大的 4K 顯示器、多個高解析度相機和 4K HDR 錄影功能。近年來，諸如此類的功能推動了記憶體和儲存需求的成長。但或許最令人印象深刻的是人工智慧和虛擬實境的多種應用。原始設備製造商正在將人工智慧和擴增實境等新技術捆綁銷售。OEM廠商正在將新的人工智慧、擴增實境和逼真的虛擬實境功能整合到高階智慧型手機中，包括臉部和語音辨識、即時翻譯、快速影像搜尋和場景偵測。

To support these data intensive capabilities, flagship and high-end smartphones are migrating towards 6 gigabytes of LPDRAM, a trend that bodes well for Micron given our leadership in LPDRAM power efficiency, which is essential for optimizing battery life.

為了支援這些數據密集型功能，旗艦和高階智慧型手機正在向 6 GB LPDRAM 過渡，鑑於我們在 LPDRAM 能源效率方面的領先地位（這對於優化電池壽命至關重要），這一趨勢對美光來說是個好兆頭。

Average storage SSDs are also increasing across all smartphone classes with new flagship models using 64 gigabytes of flash memory at a minimum. Micron's portfolio of managed NAND solution is well-suited to address this growing demand, and we are leading the industry in TLC utilization with a portfolio that leverages the strong attributes of our 3D NAND technology.

各類智慧型手機的平均儲存固態硬碟容量也不斷增加，新款旗艦機型至少使用 64 GB 的快閃記憶體。美光的託管式 NAND 解決方案組合非常適合滿足這一不斷增長的需求，我們憑藉充分利用 3D NAND 技術強大特性的產品組合，在 TLC 利用率方面處於行業領先地位。

Of course, the growing adoption of AI is not limited to mobile. At the Consumer Electronics Show, several companies showed AI smart cockpits in new automotive models. These systems integrate the instrument dashboard, infotainment and telematic systems with a centralized compute and storage architecture to create a data center on wheels. Voice and gesture recognition, combined with driver alert monitoring capabilities, are making automobiles more intelligent and much more compute intensive, requiring higher capacity and more powerful memory and storage solutions.

當然，人工智慧的日益普及並不局限於行動領域。在消費性電子展上，多家公司在新車型中展示了人工智慧智慧座艙。這些系統將儀錶板、資訊娛樂系統和遠端資訊處理系統與集中式運算和儲存架構整合在一起，從而創建了一個行動資料中心。語音和手勢識別，結合駕駛員警報監控功能，使汽車變得更加智能，計算量也更大，需要更大容量和更強大的內存和存儲解決方案。

Micron is already working with automotive customers who will benefit from our highest speed automotive-grade, LPDDR4 solutions in the near term and new memory technologies in the future like our high-bandwidth GDDR6 graphics memory. The new features in mobile, automotive and other connected devices require rapid data analysis in storage and enterprise and cloud servers, including machine learning, training and inferencing to complement the compute taking place at the edge. This is driving significant investments in the data center and growing demand for both memory and high-performance storage. Micron's broad technology portfolio and strong innovation engine position us well for these growth trends. We continue to partner with our customers to ensure our technology and engineering roadmaps deliver the critical features for tomorrow's solutions.

美光已經與汽車行業的客戶展開合作，這些客戶將在近期受益於我們速度最快的汽車級 LPDDR4 解決方案，並在未來受益於我們高頻寬 GDDR6 圖形記憶體等新型記憶體技術。行動裝置、汽車和其他連網裝置的新功能需要在儲存、企業伺服器和雲端伺服器上進行快速資料分析，包括機器學習、訓練和推理，以補充邊緣運算。這推動了對資料中心的大量投資，並增加了對記憶體和高效能儲存的需求。美光廣泛的技術組合和強大的創新引擎使我們能夠很好地掌握這些成長趨勢。我們將繼續與客戶合作，確保我們的技術和工程路線圖能夠為未來的解決方案提供關鍵功能。

Now I will provide an update to near-term industry supply/demand dynamics. The dealer market today is very different from the PC-dominated market of the past. This market now supports a healthy demand environment with several secular demand drivers that I have discussed earlier. More specifically, memory is making possible applications such as AI and VR, and enabling new cloud-based business models which deliver a fundamental value far in excess of a price per bit. Against this healthy demand backdrop, we project DRAM industry bit output to grow in the 20% range for calendar 2018, maintaining favorable industry fundamentals.

接下來我將介紹近期產業供需動態。現今的經銷商市場與過去以個人電腦為主導的市場截然不同。目前，該市場擁有健康的需求環境，這得益於我之前討論過的幾個長期需求驅動因素。更具體地說，記憶體正在使人工智慧和虛擬實境等應用程式成為可能，並催生新的基於雲端的商業模式，這些模式提供的基本價值遠遠超過每比特的價格。在這種健康的需求背景下，我們預計 2018 年 DRAM 產業的比特產量將成長 20%，並保持良好的產業基本面。

For the NAND market, we believe the ongoing transition to 64-layer 3D NAND creates the opportunity for a more balanced industry dynamic in calendar 2018 versus the constrained conditions we saw in 2017. We expect industry bit output growth to be somewhat higher than 45% in calendar 2018, providing incremental supply to address the increasing demand created with the further displacement of HDDs in client, enterprise and cloud applications.

對於 NAND 市場而言，我們認為，向 64 層 3D NAND 的持續過渡，為 2018 年行業動態的平衡創造了機會，與 2017 年的受限環境相比，這將帶來更好的發展前景。我們預計 2018 年產業比特產量成長將略高於 45%，從而提供增量供應，以滿足客戶端、企業和雲端應用中 HDD 進一步被替代所帶來的不斷增長的需求。

From a Micron perspective, we continue to make significant strides to strengthen our competitive position through technology and cost improvements. In DRAM, we are focused on accelerating our technology transition cadence and ramped our 1X nanometer technology to mature yield faster than any of our previous technology nodes. We remain on track to achieve 1X nanometer bit output crossover relative to our 20-nanometer node by the end of calendar 2018. We now expect Micron's calendar 2018 DRAM bit output growth to be in line with the industry's 20% range.

從美光公司的角度來看，我們將繼續透過技術和成本改進來鞏固我們的競爭地位，並取得重大進展。在 DRAM 領域，我們專注於加快技術轉型步伐，並加快了 1X 奈米技術的成熟度，使其良率比以往任何技術節點都要高。我們仍有望在 2018 年底前實現相對於 20 奈米節點的 1 奈米位元輸出交叉。我們現在預計美光2018年DRAM位產量成長將與業界20%的成長範圍保持一致。

In NAND, our 64-layer technology continues to ramp very well with yields somewhat ahead of plan. We continue to execute plans to achieve bit output crossover on our 64-layer 3D NAND technology relative to 32-layer in the second half of fiscal 2018. We believe we will be somewhat above industry bit output growth in calendar 2018 for NAND.

在 NAND 領域，我們的 64 層技術持續穩定提升，良率略高於預期。我們將繼續執行計劃，力爭在 2018 財年下半年實現 64 層 3D NAND 技術相對於 32 層技術的比特輸出交叉。我們相信，2018 年 NAND 快閃記憶體的比特產量成長率將略高於產業平均值。

We expect to deliver qualification samples to OEM customers of both our 1Y DRAM technology and our third generation 3D NAND technology by the end of fiscal 2018. And we continue to expect to ramp initial volume for each of these new nodes in the second half of calendar 2018.

我們預計在 2018 財年末之前向 OEM 客戶交付我們 1Y DRAM 技術和第三代 3D NAND 技術的認證樣品。我們預計在 2018 年下半年，每個新節點的初始吞吐量都將逐步提高。

For some time now, industry participants have pointed out that the cost and complexity of DRAM and NAND scaling is increasing with each subsequent technology node. Additional space and equipment is required to manufacture the increasingly complex architectures of these leading technologies to maintain data capacity and meet market demand. Accordingly, we are executing plans to add clean room space in our NAND and DRAM SAS network. With the support of the Singapore Economic Development Board, we have finalized plans to build additional shelf space in Singapore, adjacent to our existing NAND Center of Excellence. The primary purpose for this new clean room space will be to transition our existing wafer capacity to future 3D NAND nodes. This location will enable us to drive efficiencies of scale. We expect to build out this facility in phases, in line with our manufacturing requirements and market demands.

一段時間以來，業內人士一直指出，DRAM 和 NAND 快閃記憶體的成本和複雜性隨著每個後續技術節點的推進而增加。為了維持資料容量並滿足市場需求，製造這些領先技術日益複雜的架構需要額外的空間和設備。因此，我們正在執行計劃，在我們的 NAND 和 DRAM SAS 網路中增加無塵室空間。在新加坡經濟發展局的支持下，我們已最終確定在新加坡建造額外貨架空間的計劃，該空間毗鄰我們現有的 NAND 卓越中心。這個新的無塵室空間的主要目的是將我們現有的晶圓產能過渡到未來的 3D NAND 節點。該地點將使我們能夠實現規模效益。我們將根據生產需求和市場需求分階段建造該設施。

The first phase of this clean room is expected to be completed by the summer of 2019, with initial wafer output from the facility expected in the fourth quarter of calendar 2019. We are also building out incremental clean room space in our fab in Hiroshima, Japan, which will be available for production at the beginning of calendar year 2019. This clean room space will be used to continue our 1Y nanometer DRAM transition. For fiscal year 2018, we expect our capital expenditures to be in the upper end of our previously guided range of $7.5 billion, plus or minus 5%. Long term, we target capital expenditures as a percentage of revenue to be in the low 30% range.

該無塵室的第一階段預計將於 2019 年夏季完成，該設施的首批晶圓預計將於 2019 年第四季開始生產。我們也在日本廣島的工廠逐步擴大無塵室空間，潔淨室將於 2019 年初投入生產。我們將利用這個無塵室空間繼續推進我們的 1Y 奈米 DRAM 過渡。對於 2018 財年，我們預計資本支出將達到先前預期的 75 億美元範圍的上限，上下浮動 5%。從長遠來看，我們的目標是將資本支出佔收入的比例控制在 30% 左右。

Before we move to the next section of our call, I would like to address a supplier maintenance issue, disrupting nitrogen supply to 1 of our 5 DRAM SAS which occurred on Tuesday of this week. We expect this event will impact our DRAM production output by 2% to 3% for the quarter. Our teams are working around-the-clock to recover from the situation and we expect to return to full production within the next week.

在我們進入通話的下一部分之前，我想先說明供應商維護問題，該問題導致我們 5 個 DRAM SAS 中的 1 個的氮氣供應中斷，這種情況發生在本週二。我們預計此次事件將使我們本季的DRAM產量下降2%至3%。我們的團隊正在日以繼夜地工作，以應對當前的情況，我們預計將在下週恢復全面生產。

Lastly, I would like to welcome Dave Zinsner as our CFO. Dave brings years of experience within the semiconductor industry, and we are happy to have him on board. Dave will now provide details on our second quarter results and third quarter outlook.

最後，我謹代表公司歡迎戴夫·津斯納擔任財務長。Dave 在半導體行業擁有多年經驗，我們很高興他能加入我們。接下來，Dave 將詳細介紹我們第二季的業績和第三季的展望。

Thank you, Sanjay. I'm excited to be joining Micron at a time when the company is accelerating its focus on execution, including the delivery of more high-value solutions and the ongoing improvement of cost competitiveness.

謝謝你，桑傑。我很高興能在美光加速推進執行工作的時期加入公司，包括提供更多高價值解決方案和不斷提高成本競爭力。

During my first few weeks at the company, I've been diving into the details of the business and operations, and I'm more convinced than ever that there's a fantastic opportunity to build an even stronger company while continuing to enhance shareholder value.

在加入公司的最初幾周里，我深入了解了公司的業務和營運細節，並且比以往任何時候都更加確信，這裡有一個絕佳的機會，可以在不斷提升股東價值的同時，打造一家更加強大的公司。

For the second fiscal quarter, revenues were $7.35 billion, up 8% from the prior quarter and 58% from the prior year. The overall strength reflects a positive business environment and broad-based demand for our memory and storage solutions, particularly for cloud, enterprise and mobile markets.

第二財季營收為 73.5 億美元，較上一季成長 8%，比上年成長 58%。整體強勁的業績反映了良好的商業環境以及市場對我們記憶體和儲存解決方案的廣泛需求，尤其是在雲端、企業和行動市場。

Non-GAAP gross margins for the quarter were 58.4%, up 300 basis points from the prior quarter and up from 38.5% in the prior year. Our ability to drive a richer mix of high-value products, strong execution on our cost goals and favorable market conditions contributed to the gross margin expansion. Non-GAAP operating margin was 49%, up from 46% in the prior quarter and 25% in the prior-year period.

本季非GAAP毛利率為58.4%，較上一季成長300個基點，較上年同期的38.5%有所成長。我們能夠推出更豐富的高價值產品組合，有效執行成本目標，以及有利的市場環境，這些因素共同促成了毛利率的擴張。非GAAP營業利益率為49%，高於上一季的46%和去年同期的25%。

Non-GAAP operating expenses were $666 million, up approximately 9% from both the prior quarter and prior-year periods. The sequential increase is primarily attributed to expenses associated with shifting our portfolio to high-value solutions and accelerating our technology and product development. These expenses tend to fluctuate quarter-to-quarter. We're also beginning to incur the impact of solely funding the development of our fourth generation 3D NAND technology. We continue to manage operating expenses tightly and are generally only increasing operating expenses for developing and qualifying new products and technologies.

非GAAP營運支出為6.66億美元，較上一季及上年同期均成長約9%。這一環比成長主要歸因於將我們的產品組合轉向高價值解決方案以及加速技術和產品開發的相關成本。這些費用往往每季都會波動。我們也開始感受到完全依賴自身資金研發第四代 3D NAND 技術所帶來的影響。我們繼續嚴格控制營運費用，通常只在開發和驗證新產品和新技術時才會增加營運費用。

Turning to performance by business unit. The Compute and Networking Business Unit grew revenue to $3.7 billion in the second quarter, up 15% from the prior quarter and 93% year-over-year. Cloud server revenues were up nearly 30% quarter-over-quarter as hyperscale customers continue to invest in data center infrastructure and broaden their service offerings. We also benefited from strong demand for graphics memory with cryptocurrency mining augmenting sales for gaming applications.

接下來，我們來看看各業務部門的表現。計算與網路業務部門第二季營收成長至 37 億美元，較上一季成長 15%，較去年同期成長 93%。由於超大規模客戶持續投資資料中心基礎設施並擴大其服務範圍，雲端伺服器營收季增近 30%。我們也受惠於對圖形記憶體的強勁需求，加密貨幣挖礦帶動了遊戲應用的銷售成長。

Operating income increased to $2.3 billion or 63% of revenue, and reflects higher sales of our 1X nanometer DRAM solutions, along with tight supply conditions.

營業收入增至 23 億美元，佔營收的 63%，這反映了我們 1X 奈米 DRAM 解決方案的銷售成長，以及供應緊張的局面。

The Mobile Business Unit achieved its highest ever revenue and operating income in the second quarter of $1.6 billion and $680 million, respectively. These results compare to $1.1 billion of revenue and $170 million of operating income for the same period last year. Our performance underscores our laser focus to meet customer's needs.

行動業務部門第二季營收和營業收入分別達16億美元和6.8億美元，創歷史新高。相較之下，去年同期公司營收為 11 億美元，營業收入為 1.7 億美元。我們的業績凸顯了我們始終專注於滿足客戶需求的決心。

The Embedded Business Unit reported revenue of $829 million in the second quarter, in line with last quarter, and up 41% year-over-year. The automotive business had a record quarter, driven by strong sales of ADAS and in-vehicle experience applications.

嵌入式業務部門第二季營收為 8.29 億美元，與上一季持平，年增 41%。汽車業務本季創下歷史新高，主要得益於ADAS和車載體驗應用的強勁銷售。

We also saw an increase on our industrial business, driven by the growing industrial IoT markets, expanding factory automation, transportation and surveillance applications.

受工業物聯網市場成長、工廠自動化、交通運輸和監控應用擴展的推動，我們的工業業務也有所成長。

Operating margins were 44% in the fiscal second quarter, expanding by 260 basis points compared with the first quarter. And finally, turning to the Storage Business Unit, revenue was $1.3 billion, up 20% year-over-year, supported by record revenue in SSDs. On a sequential basis, SD revenue declined by 9% with the strong growth in SSDs offset by a reduction in components revenue. The sequential revenue comparison was impacted by a mix shift within our NAND component sales, which I'll elaborate on momentarily. We're continuing to penetrate the SSD market and expand sales across each end-market: consumer, compliant -- client, enterprise and cloud. The growth is most pronounced in the enterprise and cloud SSD portion of the market. Our sales of these end markets were up nearly 30% quarter-over-quarter and more than 230% year-over-year. As we previously noted, product developments for 3D crosspoint solutions is now underway.

第二財季營業利益率為 44%，比第一財季成長了 260 個基點。最後，我們來看看儲存業務部門，營收為 13 億美元，年增 20%，這主要得益於 SSD 創紀錄的收入。與上一季相比，SD 收入下降了 9%，其中 SSD 的強勁成長被組件收入的下降所抵消。環比營收受到 NAND 元件銷售結構變化的影響，我稍後會詳細說明。我們將繼續打入 SSD 市場，並擴大在各個終端市場的銷售：消費者、合規客戶端、企業和雲端。企業級和雲端 SSD 市場區隔領域的成長最為顯著。我們在這些終端市場的銷售額較上季成長近 30%，較去年同期成長超過 230%。正如我們之前提到的，3D交叉點解決方案的產品開發工作目前正在進行中。

During the second quarter, and over the next few quarters, we have incurred, and will likely to continue to incur, costs associated with production capacity underutilization in advance of volume ramp of these new 3D crosspoint products. These charges negatively impacted our SBU operating margins by approximately 500 basis points this quarter. Including these charges, second quarter operating margins were 20% compared with 29% in the fiscal first quarter and 7% in the prior-year period.

在第二季以及接下來的幾個季度裡，由於這些新的 3D 交叉點產品在量產前產能利用不足，我們已經產生了相關成本，而且很可能會繼續產生相關成本。這些費用使我們本季的策略性事業單位營業利潤率下降了約 500 個基點。在計入這些費用後，第二季營業利潤率為 20%，而第一財季為 29%，去年同期為 7%。

Moving to performance by product line. DRAM represented 71% of total company revenue in the fiscal second quarter. DRAM revenue in the quarter was up 14% from the prior quarter and 76% year-over-year. Sequentially, shipment quantities increased in the mid-single-digit percentage range while ASPs increased in the low double-digit percentage range. DRAM non-GAAP gross margin was 66% in the second quarter, up 4 percentage points from the prior quarter and up 22 percentage points from the year-ago quarter.

按產品線劃分績效指標。在第二財季，DRAM 占公司總營收的 71%。本季DRAM營收較上一季成長14%，年增76%。出貨量以個位數百分比的中等水準成長，而平均售價則以兩位數百分比的低水準成長。第二季 DRAM 非 GAAP 毛利率為 66%，較上一季成長 4 個百分點，較去年同期成長 22 個百分點。

Revenue from trade NAND represented 25% of overall company revenue in fiscal second quarter. Trade NAND revenue on the quarter was down 3% sequentially and up 28% year-over-year. On a sequential basis, shipment quantities increased in the low double-digit percentage range, while ASPs declined in the mid-teens percentage range. The sequential ASP decline in NAND increased in part due to a meaningful last time purchase of higher price MLC NAND in the fiscal first quarter. This is the mix shift in our SBU NAND components that I have referenced earlier. Trade NAND non-GAAP gross margins were at 47% in the second quarter, down 2 percentage points from the prior quarter but up 16 percentage points from the year-ago quarter. Gross margins for both SSDs and managed NAND solutions increased quarter-over-quarter, offsetting the declines in component margin. This change in mix illustrates the importance of shifting our sales towards high-value solutions.

在第二財季，來自 NAND 貿易的收入占公司總收入的 25%。本季 NAND 快閃記憶體交易營收季減 3%，年增 28%。從環比來看，出貨量增加了兩位數百分比，而平均售價下降了十幾個百分點。NAND 快閃記憶體平均售價季減，部分原因是第一財季大量採購了價格較高的 MLC NAND 快閃記憶體。這就是我之前提到的SBU NAND元件的組合變化。第二季 NAND 非 GAAP 毛利率為 47%，較上一季下降 2 個百分點，但比去年同期成長 16 個百分點。SSD 和託管 NAND 解決方案的毛利率均較上季成長，抵銷了組件毛利率的下降。這種產品組合的變化說明了將銷售重心轉向高價值解決方案的重要性。

I'd like to take a moment to update you on the impact of U.S. tax reform on Micron. The onetime impact related to the taxation of accumulated offshore earnings and cash was largely neutral for the company. The impacts of this repatriation transition tax were largely offset by our accumulated tax losses and other tax credits. For the remainder of the year, we expect our non-GAAP tax rate to remain in the low to mid-single-digit percentage since we are not yet subject to certain provisions of the new tax code. For fiscal 2019 and beyond, we expect our non-GAAP tax rate to settle in the low teens percentage range. Going forward, we'll benefit from having greater flexibility to access our worldwide cash deposits.

我想花點時間向大家介紹美國稅制改革對美光科技的影響。與海外累計收益和現金的稅收相關的一次性影響對公司而言基本上是中性的。這項匯回過渡稅的影響很大程度上被我們累積的稅收虧損和其他稅收抵免所抵消。今年剩餘時間裡，我們預計非GAAP稅率將保持在個位數百分比的低到中等水平，因為我們尚未受到新稅法某些條款的約束。對於 2019 財年及以後，我們預計非 GAAP 稅率將穩定在 10% 左右。展望未來，我們將受益於更靈活地提取全球現金存款。

Our non-GAAP earnings per share were $2.82, up 15% from the prior quarter and up over 200% from the prior year. As a result of our record performance, we generated $4.3 billion in cash from operations, which represented 59% of revenue. This compares to $1.8 billion in the year-ago period. Capital spending, net of third party contributions, was $2.1 billion, resulting in a very strong free cash flow adjusted for the third-party capital contributions of $2.2 billion or 30% of revenue. This compares to free cash flow of approximately $600 million in the year-ago period.

我們的非GAAP每股收益為2.82美元，比上一季成長15%，比上年增長超過200%。由於我們取得了創紀錄的業績，我們從經營活動中獲得了 43 億美元的現金，佔收入的 59%。相比之下，去年同期為 18 億美元。扣除第三方出資後，資本支出淨額為 21 億美元，由此產生了非常強勁的自由現金流（經第三方資本出資調整後為 22 億美元，佔收入的 30%）。相較之下，去年同期自由現金流約 6 億美元。

As Sanjay mentioned earlier, we expect capital spending, net of third party contributions, to be at the upper end of our fiscal 2018 guided range of $7.5 billion, plus or minus 5%.

正如 Sanjay 先前提到的，我們預計扣除第三方出資後的資本支出將達到我們 2018 財年指導範圍 75 億美元的上限，上下浮動 5%。

As a result of the strong free cash flow, we ended the quarter with approximately $8.7 billion in cash, marketable investments and restricted cash. The face value of our debt increased approximately $200 million to $9.5 billion. A $300 million reduction in debt due to scheduled debt repayments was offset by a $500 million increase in debt at our MIFT -- IMFT joint venture. Since the first of our 3D crosspoint products are expected to launch in calendar 2019, we chose to defer funding for IMFT. Our partner is contractually able to make the funding on our behalf and designated a debt on IMFT's balance sheet. And that debt is then counted as part of our debt for the purpose of GAAP reporting. We still expect to be in a net cash positive position in the fourth quarter, and possibly sooner, depending on the extent and timing of any future convertible note redemptions. This net cash positive position remains a significant milestone in the ongoing strengthening of our financial foundation. We continue to evaluate additional opportunities to accelerate our deleveraging actions that will provide a high rate of return. This strong financial profile is the result of consistent execution and focus across the entire company.

由於自由現金流強勁，我們本季末擁有約 87 億美元的現金、有價投資和受限現金。我們的債務面額增加了約 2 億美元，達到 95 億美元。由於按計劃償還債務，債務減少了 3 億美元，但我們的 MIFT – IMFT 合資企業債務增加了 5 億美元，抵消了這部分減少。由於我們的首款 3D 交叉點產品預計將於 2019 年推出，因此我們選擇推遲對 IMFT 的資助。我們的合作夥伴有權根據合約代表我們進行融資，並在 IMFT 的資產負債表上指定了一筆債務。然後，這筆債務將被計入我們按照公認會計準則 (GAAP) 編制的債務中。我們仍然預計在第四季度將實現淨現金為正，甚至可能更早，這取決於未來可轉換債券贖回的規模和時間。這一淨現金流為正的狀況，仍然是我們不斷加強財務基礎的一個重要里程碑。我們將繼續評估其他機會，以加速去槓桿化行動，從而獲得高回報率。公司強勁的財務狀況是全公司持續執行和專注的結果。

Now turning to the fiscal third quarter guidance. As Sanjay mentioned, we had a maintenance issue at one of our Taiwan DRAM fabs this week, which is impacting production. We expect this event to decrease our total revenue by approximately 2% in the third quarter, which we've accounted for in our guidance. Having said that, we continue to experience a strong demand environment and we, therefore, expect fiscal third quarter revenue to be in the range of $7.2 billion to $7.6 billion, and non-GAAP gross margins to be in the range of 57% to 60%. We expect to see an increase in operating expenses, again, associated with product and technology qualifications, and the funding of our fourth generation 3D NAND technology, both of which primarily impact R&D. Considering these costs, non-GAAP operating expenses are expected to be $725 million, plus or minus $25 million. We expect non-GAAP operating income to be in the range of $3.6 billion to $3.8 billion. Based on a share count of approximately 1.25 billion shares, these results should drive non-GAAP EPS of $2.83, plus or minus $0.07.

現在來看第三財季的業績指引。正如 Sanjay 所提到的，我們本週在台灣的 DRAM 工廠遇到了維護問題，這影響了生產。我們預計此次事件將使我們第三季的總收入減少約 2%，我們已在業績預期中考慮了這一點。儘管如此，我們仍然感受到強勁的需求環境，因此，我們預計第三財季營收將在 72 億美元至 76 億美元之間，非 GAAP 毛利率將在 57% 至 60% 之間。我們預計營運費用將會增加，這同樣與產品和技術認證以及第四代 3D NAND 技術的資金投入有關，而這兩項主要都會影響研發。考慮到這些成本，非GAAP營運費用預計為7.25億美元，上下浮動2,500萬美元。我們預計非GAAP營業收入將在36億美元至38億美元之間。根據約 12.5 億股的股票數量計算，這些業績應該會推動非 GAAP 每股盈餘達到 2.83 美元，上下浮動 0.07 美元。

I'll now turn the call over to Sanjay for some concluding remarks.

現在我將把電話交給桑傑，請他做總結發言。

Thank you, Dave. Micron will be celebrating our 40th anniversary this fall. Innovation has always been a key cornerstone to our success, ensuring that our technologies and products quickly adapt to serve the world's growing appetite for faster data. As we look ahead, we remain focused on nurturing and fostering an accelerated pace of innovation, and I know our team is fired up and ready for the challenge. The opportunity to create a dramatic impact on the world around us is undeniable and I'm excited to be part of this team shaping that future.

謝謝你，戴夫。今年秋季，美光將慶祝成立40週年。創新一直是公司成功的關鍵基石，確保我們的技術和產品能夠快速適應世界對更快數據日益增長的需求。展望未來，我們將繼續專注於培養和促進加速創新，我知道我們的團隊已經充滿熱情，準備好迎接挑戰。我們有機會對周遭的世界產生巨大的影響，這是毋庸置疑的，我很興奮能成為塑造未來的團隊的一員。

I'm looking forward to speaking with all of you at our analyst and investor event in May. You can expect us to provide more detail on how we see secular market trends, creating new opportunities for memory and high-performance storage, and why we believe Micron is well positioned to win. We will now open for questions.

我期待在五月的分析師和投資者活動中與各位交流。您可以期待我們詳細闡述我們對長期市場趨勢的看法，這些趨勢為記憶體和高效能儲存創造了新的機遇，以及我們為什麼相信美光科技能夠取得成功。現在開始接受提問。

(Operator Instructions) Our first question comes from the line of Rajvindra Gill from Needham & Company.

（操作說明）我們的第一個問題來自 Needham & Company 的 Rajvindra Gill。

I was wondering, Sanjay, if you could talk a little bit about the changes in the DRAM industry that you've seen over the past year or so. I think in the past, you had mentioned that memory is becoming a strategic differentiator for high-performance computing. I was wondering if you can maybe elaborate on what specific end markets or behavior patterns that have been changing with some of your main customers in terms of how they consume memory.

Sanjay，我想請你談談過去一年左右你所看到的DRAM產業的變化。我記得您之前提到過，記憶體正在成為高效能運算的策略差異化因素。我想請您詳細說明一下，您的一些主要客戶在記憶體使用方面，具體的終端市場或行為模式發生了哪些變化。

Certainly. I think we are seeing the fastest growth through our DRAM memory at large-scale, in cloud computing and hyperscale data centers. And this is where high-performance memory is absolutely becoming essential along with fast storage is becoming essential for the trend such as AI, which are really driving new business models. Whether you go from education and training tailored toward the individual levels of coaching or training to the individuals or to millions of transactions processed realtime in the financial sector, to detect fraud or going to diagnosing and treating life-threatening diseases. Bottom line is we are barely starting with AI in cloud computing and data centers. And to realize the full impact of these solutions and to truly provide this new business model and services and applications to consumers and businesses alike, more and more data needs to be processed. It needs to be realtime analytics, and that requires more fast memory and more fast storage, that means flash as well as DRAM. So we are seeing tremendous growth. And if you look at trends, when we project that 2017, about 145 gigabytes per server going to about 350 gigabytes per server by 2021. Similarly, if you look at flash storage, 1.5 terabyte average in 2017 growing to something like 6 terabyte average with each server by 2021 timeframe. So these are massive, secular demand trends in the cloud computing and hyperscale for memory as well as for flash storage. Similarly, going to mobile, I talked about in my script that at Mobile World Congress, several new phone models were introduced that leverage 4K SDR capabilities that leverage AR and VR and even in our processors that are being introduced for mobile application that actually have the AI unit built into it. So just imagine how much data-intensive applications are now being run in order to provide users smooth experience. That then requires high performance and lot of memory. And you're starting to see now 6 gigabyte phones, 6 gigabyte of DRAM in the phone. So mobile is another large driver of DRAM memory. And of course, it is also a large driver with average capacities continuing to increase for flash as well. And then autonomous driving is barely starting. I mean, industry pundits are talking about robo taxis, intercepting the whole autonomous driving trend and maybe being introduced even in 2019-2020 kind of timeframe. And autonomous driving means, as I said in my remarks, data center on wheels. It's requiring more fast memory to again make all realtime decisions providing for the safe and comfortable and efficient driving experience. So these are really massive trends and these are secular in nature and I believe will continue to drive strong demand for DRAM in the years ahead. And of course, there are other ones, continuing average capacity increases in PCs for DRAM, with more gaming features and VR features. And of course, industrial 4.0 initiatives. I mean, these are all multiple mega markets for DRAM. And we are very well positioned with our product portfolio focusing on cost competitiveness, with our technology advancements as well as what I indicated, low-power DRAM solutions which are becoming increasingly important across a multitude of these applications.

當然。我認為，我們在大規模應用、雲端運算和超大規模資料中心領域，DRAM 記憶體的成長速度最快。正因如此，高效能記憶體和快速儲存對於人工智慧等趨勢而言變得至關重要，而這些趨勢正在真正推動新的商業模式。無論您是從針對個人層級的輔導或培訓，到金融領域即時處理的數百萬筆交易，再到檢測欺詐，或是診斷和治療危及生命的疾病。歸根究底，我們在雲端運算和資料中心領域的人工智慧應用才剛起步。為了充分發揮這些解決方案的作用，真正為消費者和企業提供這種新的商業模式、服務和應用，需要處理越來越多的資料。它需要即時分析，這需要更快的記憶體和更快的存儲，這意味著需要快閃記憶體和DRAM。因此，我們看到了巨大的成長。如果觀察發展趨勢，我們預測，2017 年每台伺服器的記憶體使用量約為 145 GB，到 2021 年每台伺服器的記憶體使用量約為 350 GB。同樣，如果你看看閃存存儲，2017 年平均每個伺服器的閃存存儲量為 1.5 TB，到 2021 年左右，每個伺服器的平均閃存存儲量將增長到 6 TB 左右。因此，這些是雲端運算和超大規模運算領域對記憶體和快閃儲存的巨大、長期需求趨勢。同樣地，說到行動領域，我在腳本中提到，在世界行動通訊大會上，推出了幾款新的手機型號，這些型號利用了 4K SDR 功能，可以實現 AR 和 VR，甚至我們為行動應用推出的處理器中也內建了 AI 單元。所以試想一下，為了提供用戶流暢的體驗，現在需要運行多少個資料密集型應用程式。這就需要高效能和大量記憶體。現在你開始看到6GB的手機了，手機裡有6GB的DRAM。因此，行動裝置是DRAM記憶體的另一個重要驅動因素。當然，快閃記憶體的平均容量也在持續成長，這也是推動快閃記憶體發展的重要因素。而自動駕駛技術才剛起步。我的意思是，業內專家正在談論無人駕駛計程車，它可能會搶佔整個自動駕駛的先機，甚至可能在 2019-2020 年左右推出。正如我在演講中所說，自動駕駛意味著車輪上的資料中心。它需要更快的記憶體來再次做出所有即時決策，從而提供安全、舒適和高效的駕駛體驗。所以這些都是非常大的趨勢，而且具有長期性，我相信這些趨勢將在未來幾年繼續推動DRAM的強勁需求。當然，還有其他方面，例如個人電腦中 DRAM 的平均容量持續成長，以及更多遊戲功能和 VR 功能。當然還有工業4.0計劃。我的意思是，這些都是DRAM的多個超級市場。我們憑藉著以成本競爭力為重點的產品組合、技術進步以及我所提到的低功耗 DRAM 解決方案，在眾多應用中佔據了非常有利的地位，這些解決方案正變得越來越重要。

That's very helpful, Sanjay. As my follow-up, your SSD revenue was up 80% year-over-year. Can you talk a little bit about the attach rate for client SSD specifically? Last year, they were put on a temporary pause because of tightness of supply. I was wondering if you could talk a little about that now that we're about a quarter into this year?

那很有幫助，桑傑。我的後續問題是，你們的固態硬碟收入年增了 80%。能具體談談客戶端 SSD 的掛載率嗎？去年，由於供應緊張，他們暫時停止了生產。既然今年已經過去四分之一了，我想問您能否稍微談談這方面的情況？

I mean, last year's flash was severely constrained and that did somewhat slow down the cash rate of SSD in client computing as well as slow down the march towards higher capacities of SSDs in notebook computers. And attach rates for SSDs in client computing, around 35% to 40% and maybe 40% in 2018, maybe going towards 50%. Over the next few years, this is expected to continue to go toward by 2020-2021 timeframe to 85%-plus attach rate for SSD. So again, this is a large growth driver for SSDs in client computing applications. And we are focused on, of course, expanding our portfolio of SSDs. We talked about significant progress of our SSDs across-the-board in client, enterprise as well as in the consumer market. And we look at opportunities to gain further share in all of these SSD markets in the future as we continue to execute on our product roadmap.

我的意思是，去年的快閃記憶體技術受到了嚴重限制，這在一定程度上減緩了客戶端運算領域 SSD 的普及速度，也減緩了筆記型電腦 SSD 容量提升的步伐。客戶端計算中 SSD 的安裝率在 35% 到 40% 左右，2018 年可能達到 40%，甚至可能接近 50%。預計未來幾年，到 2020-2021 年，固態硬碟的安裝率將達到 85% 以上。所以，這再次成為客戶端運算應用領域固態硬碟 (SSD) 的重要成長驅動因素。當然，我們正致力於擴大我們的固態硬碟產品組合。我們討論了我們的固態硬碟在客戶端、企業以及消費市場都取得了顯著進展。我們將繼續執行產品路線圖，展望未來在所有這些固態硬碟市場中獲得更大份額的機會。

Our next question comes from the line of Chris Danely from Citi.

我們的下一個問題來自花旗銀行的克里斯·丹利。

This is [Wayne Loeb] on the line for Chris Danely. My question is when you talk about your plans for acquisitions, what would be the criteria that would make you buy something? And how does M&A fit into your plan in the context of Micron wanting to be a NAND solution provider?

這是韋恩·洛布（Wayne Loeb）在克里斯·丹尼利（Chris Danely）的傳球線上。我的問題是，當您談到收購計劃時，您會根據哪些標準來決定是否購買某件資產？在美光希望成為 NAND 解決方案提供者的背景下，併購如何融入你們的計劃？

We're not going to speculate on M&A matters here but we are very pleased with the portfolio of technologies and the initiatives we have with respect to continuing to advance our product solution. But of course, we do not rule out, in the future, leveraging M&A toward any growth initiatives. And of course, we'll always look for core capabilities to expand the market opportunities for Micron. And of course, we'll be focused on value in terms of any acquisition that we may entertain in the future, again, not speculating on anything at this point. And of course, always looking for ROI kind of opportunities.

我們不會在這裡對併購事宜進行猜測，但我們對我們現有的技術組合以及在繼續推進產品解決方案方面所採取的舉措感到非常滿意。當然，我們並不排除未來利用併購來實現任何成長計畫的可能性。當然，我們始終會尋找核心能力來擴大美光的市場機會。當然，未來我們考慮的任何收購，都會以價值為重點，目前我們不會做任何推測。當然，我們始終在尋找能夠帶來投資報酬率的機會。

As a follow-up question, can you talk about what Micron's projected cost reductions are for NAND and DRAM this year?

後續問題，您能否談談美光今年在NAND和DRAM方面預計的成本降低幅度？

So we don't provide specifics on cost reductions but what I can tell you is that we are making very good progress on our technology. As we indicated, I mean, in our 1X DRAM technology, we have achieved the fastest ramp to mature yield in the history of the company. And similarly, our 64-layer technology, it has ramped to mature yields, rather well and we are continuing, of course, to do very well on our 20-nanometer DRAM technology that we use as well. So we are very pleased with our continuing progress on cost at the technology level, and continuing to focus on advancing our next-generation technology nodes and products. And of course, also very much focused nonmemory costs in our products such as SSD nonmemory costs. So making good progress and all of that is baked into our gross margin guidance that we have provided.

因此，我們不提供具體的成本削減方案，但我可以告訴你們的是，我們的技術正在取得非常好的進展。正如我們所指出的，我的意思是，在我們的 1X DRAM 技術中，我們實現了公司歷史上最快的成熟良率提升速度。同樣，我們的 64 層技術已經取得了相當不錯的成熟度，當然，我們使用的 20 奈米 DRAM 技術也繼續取得了非常好的成績。因此，我們對在技術層面上持續降低成本的進展感到非常滿意，並將繼續專注於推進我們的下一代技術節點和產品。當然，我們也非常注重產品中的非記憶體成本，例如 SSD 的非記憶體成本。因此，我們取得了良好的進展，所有這些都已體現在我們提供的毛利率預期中。

Our next question comes from the line of Mark Delaney from Goldman Sachs.

我們的下一個問題來自高盛的馬克·德萊尼。

First question, I hope you can detail a little bit more about that nitrogen issue you mentioned. Did you have to scrap wafers or just idle production? And can you help us reconcile the comment about a little bit less DRAM output for next quarter with the now full year guidance about growing in line with the industry compared to last quarter. I think, Micron was going to grow slightly before -- definitely below, excuse me.

首先，我希望您能更詳細地解釋一下您提到的氮問題。你們是不得不報廢晶圓還是只是停產了？您能否幫助我們解釋一下，關於下一季 DRAM 產量略有下降的說法，與目前全年預期（與上季度相比將與行業同步增長）之間的矛盾？我認為，Micron 之前可能會略有增長——肯定低於預期，抱歉。

So this nitrogen maintenance issue has not caused trapping of vapors. It has idled or slowed down production. As we said, it's impacting 2% to 3% of our this quarter's DRAM production output. And with respect to our expectation of our output growth for calendar year 2018, that remains in line with the industry estimate of 20%, and this effect is already included in that as well.

所以，這次氮氣維護問題並沒有導致蒸氣滯留。它已停止或減緩生產。正如我們所說，這將影響我們本季 DRAM 產量的 2% 到 3%。至於我們對 2018 年日曆年產量成長的預期，這與產業估計的 20% 一致，而這種影響也已經包含在其中。

Is it fair to assume a better 1X nanometer yield? Is that how Micron is now growing in line with the industry for the full year despite this nitrogen issue?

假設 1X 奈米製程的良率較高是否合理？這就是美光公司在氮肥問題的影響下，全年仍能與產業保持同步成長的原因嗎？

Yes, that is correct that our production output is expected to grow in line with the industry and that is, of course, as a result of our excellent yield on 1X nanometer node as well as the 20-nanometer node.

是的，沒錯，我們的產量預計將與產業同步成長，這當然得益於我們在 1X 奈米節點和 20 奈米節點上出色的良率。

Okay. And then one other question for me, if I could. Sanjay, you commented about having a CapEx-to-sales target in the low 30% range. I don't want to parse words too closely, I think it was about 30% as of the last Analyst Day. But the strategy for Micron, as I understood it, had been that the company is trying to keep its net DRAM wafer starts flat and there's a lot of costs associated with getting to these new nodes because of all the extra factory space that you need and need for new clean rooms. Just given your comments about CapEx coming in toward the higher end of the range this year and the comments about that ratio, is there any change about the strategy of Micron, how it's thinking about CapEx? And really just enabling -- getting to those next nodes which are getting more expensive? Or is there a change we need to be thinking about in terms of how Micron is thinking about managing its net wafer starts in DRAM?

好的。如果可以的話，我還有一個問題。Sanjay，你曾說過要將資本支出與銷售額的比率目標設定在 30% 左右。我不想過於糾結於字面意思，我認為截至上次分析師日，這個比例大約是 30%。但據我了解，美光公司的策略是，該公司正努力保持其 DRAM 晶圓淨產量穩定，而採用這些新製程節點會產生很多成本，因為需要額外的工廠空間和新的無塵室。鑑於您提到今年的資本支出將接近預期範圍的高端，以及您對該比率的評論，美光科技的策略、對資本支出的看法是否有所改變？而真正實現的，只是到達那些成本越來越高的下一個節點嗎？或者，我們是否需要考慮美光在管理其DRAM淨晶圓開片量方面做出哪些改變？

I think if you look at last few years and you look at Micron's revenue and you look at Micron's CapEx, you will see that Micron's CapEx, over the course of last few years, is in the low 30% range of the revenue over those last few years as well. So what we have said here today is fairly consistent with what actually has been the case at Micron over the course of the last few years. And in fact, if you look at the industry itself and you look at the revenue of the industry players and you look at the CapEx, over the course of last few years, you will see actually that, that average for the industry as well is in that same range also. So in terms of our own strategy for CapEx spend is absolutely focused on accelerating our technology transitions. So our CapEx is geared toward realizing DRAM and NAND technology transition toward more cost-effective advance technology nodes for our products. And it is not about capacity, wafer capacity production increase for us.

我認為，如果你回顧過去幾年，看看美光的收入和資本支出，你會發現，在過去幾年裡，美光的資本支出也一直處於收入的30%左右。所以，我們今天所說的話與美光公司過去幾年來的實際情況基本上一致。事實上，如果你觀察這個產業本身，看看產業參與者的收入，再看看過去幾年的資本支出，你會發現，這個產業的平均值也處於同樣的範圍內。因此，就我們自身的資本支出策略而言，絕對著重於加速我們的技術轉型。因此，我們的資本支出旨在實現 DRAM 和 NAND 技術向更具成本效益的先進技術節點的過渡，從而提升我們產品的競爭力。對我們來說，這與產能、晶圓產能增加無關。

Our next question comes from the line of Karl Ackerman from Cowen and Company.

我們的下一個問題來自考恩公司 (Cowen and Company) 的卡爾·阿克曼 (Karl Ackerman) 的一條生產線。

Dave, welcome to the team. I have 2 questions, please. My first question is on DRAM demand. We all know that DRAM is more inelastic than NAND but I was curious, what are some signs that you look for to assess if you are beginning to see demand destruction in DRAM demand from higher ASPs, particularly in mobile and PC environments that are more sensitive to price than hyperscale environments? I have a follow-up, please.

戴夫，歡迎加入團隊。請問我有兩個問題。我的第一個問題是關於DRAM的需求。我們都知道 DRAM 的需求彈性比 NAND 低，但我很好奇，您會關注哪些跡象來評估 DRAM 需求是否開始因平均售價上漲而受到抑制，尤其是在對價格比超大規模環境更敏感的移動和 PC 環境中？我還有一個後續問題，請問。

So can you clarify the question to me? I didn't totally get the question. I'm sorry.

所以你能幫我把問題解釋清楚嗎？我沒完全理解這個問題。對不起。

Yes, I'm just curious how should we assess the potential demand destruction in DRAM demand from higher ASPs in mobile and PC environments over the next few quarters, if there were to be an issue?

是的，我只是好奇，如果未來幾季行動和PC環境的平均售價上漲導致DRAM需求下降，我們該如何評估這種潛在影響？

So I think what we have to realize is that DRAM absolutely is essential to the experience in the business models that it enables. Whether it is the experience in mobile phones, I talked about all these experiences, AR, VR, 3D gaming, multitude of applications and users absolutely expecting seamless experience that requires -- such data-intensive applications require more DRAM. So it is essential. I mean, it's not like you can offer a model with a less DRAM in it, a high-end model with a less DRAM in it and expect that users will still have the same good experience. So DRAM capacity has really become a key enabler and essential element of mobile. And same, as I talked about earlier, for hyperscale data centers. When they look at what models that they can enable for their end customers, those are all being built on very data-intensive applications. I mean, imagine retailers, and a consumer goes into a retail store and the retailer already knows about what are the needs of their consumer. All of that requires realtime -- for retail, realtime AI applications, which means lot of data that has been processed fast, which means, again, it needs more DRAM memory. So it is actually, when you look at hyperscale data centers, it's not about the cost of DRAM anymore. I think the value that it enables to these cloud applications and hyperscalers is far in excess of any aspect of DRAM price per bit. So DRAM really has become an essential part. This is very different from any time in the past.

所以我認為我們必須認識到，DRAM 對於它所支援的商業模式的體驗來說絕對是必不可少的。無論是手機體驗，或是我之前提到的AR、VR、3D遊戲等眾多應用，使用者都期望獲得流暢的體驗，而這些資料密集型應用程式需要更多的DRAM。所以這至關重要。我的意思是，你不能提供一個DRAM容量較小的型號，一個DRAM容量較小的高階型號，然後指望用戶還能獲得同樣的良好體驗。因此，DRAM 容量已真正成為行動裝置的關鍵推動因素和基本要素。正如我之前提到的，超大規模資料中心也是如此。當他們考慮可以為最終客戶提供哪些模型時，這些模型都是建立在資料密集型應用之上的。我的意思是，想像一下零售商，消費者走進一家零售店，而零售商已經知道消費者的需求是什麼。所有這些都需要即時性——對於零售業來說，即時人工智慧應用意味著需要快速處理大量數據，這意味著，同樣地，需要更多的DRAM記憶體。所以實際上，當你審視超大規模資料中心時，你會發現DRAM的成本已經不再是問題了。我認為它為這些雲端應用和超大規模資料中心帶來的價值遠遠超過了DRAM每比特價格的任何方面。所以DRAM確實已經成為不可或缺的一部分。這與以往任何時候都截然不同。

And the best indicator of this is that DRAM pricing is strong and DRAM demand is strong right now.

最好的證明就是，目前DRAM價格堅挺，DRAM需求強勁。

That's helpful. As my follow-up, I was hoping you could elaborate on your comments for OpEx as we think about the trajectory of spending for the next few quarters. Specifically, do you plan on reinvesting the savings you expect to achieve from Micron and Elpida coming together for the first time on 1X development? And how should we think about the timing of any planned prequalification expenses for maybe 1X DRAM or QLC 3D NAND deployment when we make assumptions for OpEx for the balance of 2018?

那很有幫助。作為後續問題，我希望您能詳細說明您對營運支出 (OpEx) 的評論，因為我們正在考慮未來幾季的支出趨勢。具體來說，您是否計劃將美光和爾必達首次合作所節省的資金再投資於 1X 開發？那麼，當我們對 2018 年剩餘時間的營運支出做出假設時，我們應該如何考慮 1X DRAM 或 QLC 3D NAND 部署的任何計畫預審費用的時間表呢？

So let me go back to kind of the commentary and make sure it's clear. So in the second quarter, most of the increase we experienced was around qualifications of various technologies that kind of all came together, all in kind of the second quarter. And it kind of continues on into the third quarter. Those expenses kind of vary over time. And so this just happens to be kind of a couple of quarters in which that activity is pretty heavy. And so we're kind of experiencing kind of a lift in expenses, and I would expect that portion of it to kind of settle down. And when the next set of qualifications are required, it will come back up again. The other piece of the expenses really relate to our fourth-generation 3D NAND where, as we announced earlier, we're taking that on ourselves. We had -- about half of that hit us in the second quarter. We'll have the full quarter's effect in the third quarter, and that was about $20 million on a full quarter. So about $10 million lift in the second quarter and $20 million lift in the third quarter.

那麼，讓我回到剛才的評論部分，確保我的意思表達清楚。因此，在第二季度，我們所經歷的大部分成長都與各種技術的資格認證有關，這些技術都集中在第二季度。這種情況一直延續到了第三季。這些費用會隨著時間推移而有所變化。而這恰好是這類活動非常活躍的幾個季度。因此，我們的支出有所增加，我預計這部分支出會逐漸穩定下來。而當需要下一批資格認證時，這個問題又會再次出現。另一部分費用實際上與我們的第四代 3D NAND 有關，正如我們之前宣布的那樣，我們將自行承擔這項工作。我們遭遇了──大約一半的打擊發生在第二節。第三季將反映出整個季度的影響，而整個季度的影響約為 2000 萬美元。因此，第二季成長約 1,000 萬美元，第三季成長約 2,000 萬美元。

Our next question comes from the line of Tristan Gerra from Baird.

我們的下一個問題來自 Baird 公司的 Tristan Gerra。

Given the continued strong demand that you see in data center, how should we look at the initial supply/demand outlook in NAND flash for the second half of calendar '18? Should we expect the pricing to stabilize? Any commentary based on trends that you see currently continuing for the rest of the year?

鑑於資料中心持續強勁的需求，我們該如何看待 2018 年下半年 NAND 快閃記憶體的初步供需前景？我們是否可以預期價格會趨於穩定？您認為目前的發展趨勢會在今年剩餘的時間持續下去嗎？

So we are not going to comment on pricing trends in the industry but what I can tell you is that NAND industry does have certain aspect of its end market such as USB flash drive or imaging cards or retail. That tends to be more somewhat seasonal in the first calendar quarter. And as we go forward, that part changes. The most important thing to look at is that as more supply becomes available, it drives deeper penetration of SSDs in client devices as well as in -- gives an even stronger value proposition in enterprise and data center applications. So this is what we expect during the course of the year. And of course, average capacities of NAND in mobile phones, smartphones, continue to increase as well. And we are expanding our portfolio of multichip packages with DRAM and NAND, which is where Micron is uniquely well positioned to expand our opportunities and increase our shares with NAND flash and DRAM-based solutions in multichip packages as well as discrete NAND solutions such as the UFS that I talked about that are in the stages of qualification with our customers. So we look ahead at the year with strong demand drivers for NAND in the industry and growing opportunities for our NAND business for the remainder of the year, calendar year here. And very focused on execution of all our new product introductions and qualifications with our customers because those will ultimately drive our success toward high-value solutions as part of mix of NAND revenue.

因此，我們不打算對行業內的價格趨勢發表評論，但我可以告訴你們的是，NAND 行業確實有一些終端市場方面的問題，例如 USB 隨身碟、成像卡或零售。這種情況在第一季往往更具季節性。隨著我們不斷前進，這部分內容也會改變。最值得關注的是，隨著供應量的增加，固態硬碟在客戶端設備以及企業和資料中心應用的滲透率將進一步提高，從而帶來更強的價值主張。這就是我們對這一年中情況的預期。當然，手機、智慧型手機中 NAND 的平均容量也在持續成長。我們正在擴展我們的多晶片封裝產品組合，包括 DRAM 和 NAND，而美光在這方面擁有獨特的優勢，可以擴大我們的機遇，並提高我們在多晶片封裝的 NAND 快閃記憶體和基於 DRAM 的解決方案以及分立式 NAND 解決方案（例如我提到的 UFS）的市場份額，這些解決方案目前正處於認證階段。因此，展望未來一年，業界對 NAND 的需求強勁，我們的 NAND 業務將在今年剩餘時間（這裡指的是日曆年）迎來不斷增長的機會。我們非常注重與客戶一起執行所有新產品的推出和認證，因為這些最終將推動我們向高價值解決方案取得成功，作為 NAND 收入組合的一部分。

Okay. That's useful. And then as a quick follow-up, is it fair to assume that the high double-digit growth rate in better demand for NAND in data center is something that is possible again for this calendar year?

好的。那很有用。那麼，作為後續的快速提問，是否可以合理地假設，今年資料中心對 NAND 的需求再次出現兩位數的高成長率？

Yes, for this calendar year, for data center, absolutely, NAND bit consumption in data center is expected to be 50%, in the range of 50% or higher. Basically, a data center is where demand will grow faster than the average of the industry. Keep in mind, same thing for client SSDs as well.

是的，就今年而言，對於資料中心來說，NAND 快閃記憶體的消耗量預計將達到 50%，甚至更高。基本上，資料中心的需求成長速度將高於行業平均。請記住，客戶端 SSD 也是如此。

Our next question comes from the line of Mehdi Hosseini from SIG.

我們的下一個問題來自 SIG 的 Mehdi Hosseini。

Sanjay, I have a follow-up. You and others in the memory industry have been discussing opportunities in moving up the stack. At the same time, some of your enterprise customers are also trying to navigate their way and move up the stack. And I'm just wondering, what's wrong with keeping the business as is? Your NAND gross margin is in the 45% to 50%; DRAM gross margin is in the 65% to 70%, and assuming that the industry is rational and we can't avoid excess capacity, why not just focus on making the most cost-effective DRAM and bit and capitalize on the margin profile? And I have a follow-up.

Sanjay，我還有後續問題。您和內存行業的其他人一直在討論向上發展的機會。同時，您的一些企業客戶也在努力探索並向上遷移到更高層級的解決方案。我只是想知道，維持現狀有什麼問題？你們的 NAND 毛利率在 45% 到 50% 之間；DRAM 毛利率在 65% 到 70% 之間，假設行業是理性的，而且我們無法避免產能過剩，為什麼不專注於生產最具成本效益的 DRAM 和比特，並利用其利潤率優勢呢？我還有一個後續問題。

So let me be clear that we are very excited about the market opportunities for DRAM and NAND. All the things that we have been talking about so far over the course of the last 45 minutes here. And of course, our strategy is to continue to strengthen our competitive -- cost competitiveness as well as increase the mix of high-value solutions in our revenue. And by high-value solutions in our revenue, we mean products such as SSDs as well as managed NAND solution because we have both DRAM and NAND and that gives us a unique opportunity to provide management solutions for today's smartphones that are needing more and more of such solutions. So we are absolutely focused on leveraging our core capabilities to drive cost reductions, catch up on the DRAM cost with the rest of the competition and in the NAND, strengthen our portfolio of these high-value solutions. And I have no doubt that there is -- nobody is taking their eye off the ball and we have relentless focus on strengthening the execution engine of the company and tremendous opportunity ahead in that regards for us. It's already implied through the strong results we have demonstrated so far but there is even greater opportunity ahead of us.

所以我要明確表示，我們對DRAM和NAND的市場機會感到非常興奮。在過去45分鐘裡，我們一直在討論的所有事情。當然，我們的策略是繼續加強我們的競爭力—成本競爭力，並增加高價值解決方案在我們收入中的佔比。我們所說的高價值解決方案，指的是固態硬碟 (SSD) 以及 NAND 管理解決方案等產品，因為我們同時擁有 DRAM 和 NAND，這為我們提供了一個獨特的機會，可以為當今越來越需要此類解決方案的智慧型手機提供管理解決方案。因此，我們絕對專注於利用我們的核心能力來降低成本，在 DRAM 成本方面趕上其他競爭對手，並在 NAND 方面加強我們這些高價值解決方案的產品組合。我毫不懷疑這一點——沒有人會掉以輕心，我們正不懈地專注於加強公司的執行引擎，在這方面，我們面前有著巨大的機會。從我們目前取得的強勁成績已經可以看出這一點，但我們面前還有更大的機會。

In terms of costs, you recently introduced a QLC 64-layer 3D NAND SATA SSD. Is there any way you can either quantify or qualitatively discuss the cost per gigabyte that this particular product offers you? And how we should think about its ability, due to lowest cost, to penetrate and displace existing technologies?

在成本方面，你們最近推出了QLC 64層3D NAND SATA SSD。您能否以量化或定性的方式討論這款產品每GB的成本？我們該如何看待它憑藉最低成本滲透並取代現有技術的能力？

So what we introduced recently is a 64-layer bit TLC SATA SSD. And as we have said before, QLC is certainly an exciting opportunity for Micron in the years ahead, and QLC is in the development stages. And it is not a 2018 phenomena. I mean, that is something that's more like 2019 opportunity, starting in 2019 timeframe.

我們最近推出的是一款 64 層 TLC SATA SSD。正如我們之前所說，QLC 對於美光來說無疑是未來幾年一個令人興奮的機遇，而 QLC 目前正處於研發階段。這並非2018年才出現的現象。我的意思是，這更像是 2019 年的機會，從 2019 年開始。

But should we assume that this offers you, perhaps, I'm just going to give you a number, could it still offer a customer less than $0.20 per gigabyte of cost?

但是，如果我們假設這能為您提供，或許，我直接給您一個數字，它還能為客戶提供每 GB 低於 0.20 美元的成本嗎？

We don't get into cost discussions. And our focus, of course, is to develop QLC solutions that will be, in the future, going toward applications that are very read intensive and somewhat balanced in terms of more write applications. And of course, our goal would be to drive these -- build value in these solutions, especially going toward high-capacity aspects of the storage market, build value in these solutions so that we can be selling them in a profitable fashion and bringing strong value to our customers as well. I'm not going to get into pricing or speculate of the pricing for QLC.

我們不討論成本問題。當然，我們的重點是開發 QLC 解決方案，未來將面向讀取密集型應用，並在寫入應用方面保持一定的平衡。當然，我們的目標是推動這些解決方案的發展——在這些解決方案中創造價值，尤其是在儲存市場的高容量方面，創造價值，以便我們能夠以盈利的方式銷售這些解決方案，並為我們的客戶帶來強大的價值。我不會討論QLC的定價，也不會對QLC的定價進行猜測。

Our next question comes from the line of Hans Mosesmann from Rosenblatt Securities.

我們的下一個問題來自 Rosenblatt Securities 的 Hans Mosesmann。

Sanjay, if you can just clarify, I think somebody asked the question before but I'll just make it more concise. Are you seeing any despeccing in DRAM or NAND market? And I have a follow-up.

Sanjay，如果你能解釋一下就太好了，我想之前有人問過這個問題，但我只想更簡潔地表達一下。您是否觀察到DRAM或NAND市場出現任何規格下調的情況？我還有一個後續問題。

We're not seeing any despeccing. If anything, again, given the nature of the application, the average capacity requirements continue to go up in all end markets arena.

我們沒有看到任何降級措施。如果有什麼變化的話，那就是考慮到應用的性質，所有終端市場領域的平均容量需求都在持續上升。

Okay. And then a follow-up, more of a longer-term or midterm question. After 1Y in the DRAM world, how many more node transitions or half transitions do you expect you and the industry to have before you hit a wall, if you will?

好的。然後是一個後續問題，一個更長期或中期的問題。在 DRAM 領域發展一年後，您認為您和整個產業在遇到瓶頸之前還會經歷多少次節點轉換或半節點轉換？

We have talked about our 1Z technology node in DRAM and our engineers are working on that. And engineers, of course, always continue to look at opportunities for further scaling. And concurrently, we are working on other advanced technologies of the future as well.

我們已經討論過DRAM的1Z技術節點，我們的工程師正在努力研發。當然，工程師們也一直在尋找進一步擴展的機會。同時，我們也在研發其他面向未來的先進技術。

Okay. But there's no letter after 1Z at this point?

好的。但此時1Z後面沒有字母了嗎？

There is no letter in the alphabet after Z.

Z 之後沒有字母了。

You can go to 1Zb or you can add a plus, plus or plus, plus, plus.

你可以去 1Zb，或者你可以加加號、加號或加加加。

Thank you. We'll take you up on your suggestion.

謝謝。我們會採納你的建議。

And our final question comes from the line of Vijay Rakesh from Mizuho.

最後一個問題來自瑞穗銀行的 Vijay Rakesh。

Just on the NAND side, I was wondering what percent of your NAND was SSDs? I know you mentioned it grew 80% year-on-year and seeing good traction enterprise.

就NAND快閃記憶體方面，我想知道你們的NAND快閃記憶體中有多少百分比是固態硬碟？我知道你提到它同比增長了 80%，並且發展勢頭良好。

We don't give that breakdown.

我們不提供詳細的分析數據。

Got it. And I know you talked about 3D crosspoint. There's a bit drag on the margins. When do you start to see the drag go away? And I was just wondering, as you look at that ramp by the end of -- by year-end, what proportion do you think that would be of your NAND?

知道了。我知道你談到了 3D 交叉點。邊緣有點拖沓。什麼時候開始覺得阻力消失了？我只是想知道，當你展望年底的產能爬坡時，你認為這會佔到你的 NAND 快閃記憶體的多少比例？

So 3D crosspoint products are expected to come out in -- sometime in calendar year 2019. We will have -- sometimes we'll have underloading charges. It's possible that our partner might take some of the -- of those wafers so that would obviously help on the underutilization. Of course, as we start to release those products, about late 2018, we'll start to build some of those wafers and that will help out on the underutilizations as well.

因此，3D交叉點產品預計將於2019年某個時候推出。我們有時會收取裝載不足的費用。我們的合作夥伴有可能拿走一些晶圓，這顯然有助於解決晶圓利用率不足的問題。當然，隨著我們開始發布這些產品（大約在 2018 年底），我們將開始生產一些晶圓，這也將有助於解決產能利用不足的問題。

And I just want to comment on your earlier question regarding SSD. Of course, we don't provide the specifics but clearly, SSD is growing fast and it's increasingly large portion of our revenue. And very pleased with the progress that we have made in increasing the mix of SSD in our portfolio.

我只想就你之前關於固態硬碟的問題發表一下看法。當然，我們不會提供具體細節，但很明顯，固態硬碟 (SSD) 正在快速成長，並且在我們的收入中所佔比例越來越大。我們非常高興在提高產品組合中 SSD 的佔比方面取得了進展。

This does conclude the question-and-answer session. I'd like to hand the program back to management for any further remarks.

問答環節到此結束。我想把這個程序交還給管理階層，讓他們再做進一步說明。

Thanks, Jonathan. As always, we appreciate your interest and support for Micron. I'd remind you that a copy of the prepared remarks as well as a webcast replay can be found on the Investor Relations section of our website later this afternoon. Thank you.

謝謝你，喬納森。一如既往，我們感謝您對美光科技的關注與支持。我在此提醒各位，今天下午晚些時候，您可以在我們網站的投資者關係版塊找到準備好的發言稿以及網絡直播回放。謝謝。

Thank you. This concludes today's Micron Technology's second quarter 2018 financial release conference call. You may now disconnect.

謝謝。美光科技2018年第二季財務報告電話會議到此結束。您現在可以斷開連線了。