Nova Ltd (NVMI) 2024 Q1 法說會逐字稿

Good day, and welcome to the Nova Limited Q1 '24 earnings conference call. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Miri Segal, CEO of MS-IR. Please go ahead.

大家好，歡迎參加 Nova Limited 2024 年第一季財報電話會議。（操作員指示）請注意，此事件正在被記錄。現在，我想將會議交給 MS-IR 執行長 Miri Segal。請繼續。

Thank you, operator, and good day, everybody. I would like to welcome all of you to Nova's first quarter 2024 financial results conference call. With us on the line today are Gaby Waisman, President and CEO; Dror David, CFO and Guy Kizner, corporate VP of Finance and incoming CFO.

謝謝接線員，大家好。歡迎大家參加 Nova 2024 年第一季財務業績電話會議。今天與我們一起在線的有總裁兼首席執行官 Gaby Waisman、首席財務官 Dror David 和公司財務副總裁兼即將上任的首席財務官 Guy Kizner。

Before we begin, may I remind our listeners that certain information provided on this call may contain forward-looking statements and the safe harbor statement outlined in today's earnings release also pertains to this call. If you have not received a copy of the release, please view it in the Investor Relations section of the company's website.

在我們開始之前，我想提醒我們的聽眾，本次電話會議中提供的某些資訊可能包含前瞻性陳述，今天的收益報告中概述的安全港聲明也適用於本次電話會議。如果您尚未收到該新聞稿的副本，請在公司網站的投資者關係部分查看。

Gaby will begin the call with the business update, followed by Dror with an overview of the financials. We will then open the call for the question and answer session. I'll now turn the call over to Gaby Waisman, Nova's President and CEO. Gaby, please go ahead.

Gaby 將在電話會議上首先介紹業務更新情況，然後 Dror 會概述財務狀況。然後我們將開始問答環節。現在我將把電話轉給 Nova 總裁兼執行長 Gaby Waisman。加比，請繼續。

Thank you, Miri, and thank you all for joining us today. I will start the call today by summarizing our first quarter performance highlights. Following my commentary, Dror will review the quarterly financial results in detail. Nova delivered another strong quarter, exceeding the high end of guidance in both revenue and profit, with record non-GAAP EPS, operating and free cash flow.

謝謝你，米里，也謝謝大家今天加入我們。今天我將首先總結我們第一季的業績亮點。在我的評論之後，Dror 將詳細回顧季度財務結果。Nova 又一個季度表現強勁，營收和利潤均超出預期上限，非公認會計準則每股收益、營業現金流和自由現金流均創歷史新高。

Our performance was supported by a favorable product mix, backed by a diverse exposure to opportunities across market segments, territories, customers and technology. The increased demand for advanced portfolio, combined with Nova's robust operational model continues to drive us forward. With our guidance for the second quarter in mind, we are back on track for a growth trajectory, and we remain confident in our ability to execute our strategic plans.

我們的業績得益於良好的產品組合，以及跨市場、跨地區、跨客戶、跨技術領域的多元化機會。對先進產品組合的需求不斷增加，加上 Nova 強大的營運模式，繼續推動我們前進。考慮到我們對第二季度的指導，我們已重回成長軌道，我們對執行策略計畫的能力仍然充滿信心。

Our solid execution resulted in a sequential and year-over-year revenue growth with our cash reserves totaling approximately $700 million. Positive indicators of a memory recovery cycle driven primarily by advanced DRAM devices such as DDR5 and HBM, have increased the memory share of our product revenue to 40% this quarter, with Korea playing a major role.

我們的穩健執行帶來了連續和同比增長的收入，現金儲備總額達到約 7 億美元。主要由 DDR5 和 HBM 等先進 DRAM 設備推動的記憶體復甦週期的積極指標，已使本季度我們產品收入中的記憶體份額增加到 40%，其中韓國發揮了重要作用。

At the same time, our diverse portfolio and exposure to multiple markets enabled us to leverage the demand for mature nodes from China. Looking at the year ahead, we see encouraging indicators in the semiconductors industry, perpetuating long-term secular growth and the rising need for process control across segments.

同時，我們多元化的投資組合和對多個市場的接觸使我們能夠利用中國對成熟節點的需求。展望未來一年，我們看到半導體產業的令人鼓舞的指標，延續長期成長，並且各個領域對製程控制的需求不斷增長。

Utilization rates and need for capacity are on the rise again for two reasons. On them one hand, inventory levels are stabilizing while end market demand recovers with a positive note of anticipation for replacement cycle in both consumer and enterprise products.

由於兩個原因，利用率和產能需求再次上升。一方面，庫存水準正在穩定，而終端市場需求正在復蘇，消費者和企業產品的更換週期都呈現正面預期。

On the other, the continuous increase in chip sizes driven by a need for faster, more power-efficient processing and memory drive up the volume of wafer production. According to some of our customers and other third parties, HBM3 eat chips consume two to three times more wafers than leading edge DRAM chips and data center processor chip sizes today are five times larger than those produced just a few years ago.

另一方面，由於對更快、更節能的處理和記憶體的需求，晶片尺寸不斷增加，從而推高了晶圓產量。根據我們的一些客戶和其他第三方的說法，HBM3 晶片消耗的晶圓比尖端 DRAM 晶片多兩到三倍，而如今的資料中心處理器晶片尺寸比幾年前生產的晶片大五倍。

Beyond capacity as a driver of our business, the new chips also drive design and materials complexity to address the insatiable needs for computing power by running AI models and inferences on both client and server side. The emergence of new technologies such as hybrid bonding and TSV, the increase in number of process steps and the consistently smaller tolerance for errors, all serve to support substantial growth of process control.

除了容量作為我們業務的驅動力之外，新晶片還透過在客戶端和伺服器端運行人工智慧模型和推理來推動設計和材料的複雜性，以滿足對運算能力的無限需求。混合鍵合和TSV等新技術的出現、製程步驟的增加以及對錯誤的容忍度的不斷降低，都支持了製程控制的大幅成長。

Hybrid bonding technology is a good example of a highly complex process that requires rigorous process control, such as bonding layer flatness. Other positive notes we see are the healthy demand for mature devices. The broad investments across nodes and the vast recognition of the need for local supply chain resiliency that drive a manufacturing footprint build-out across the US, Europe and Asia. Naturally, all these have a positive impact on our business.

混合鍵合技術是高度複雜製程的一個很好的例子，它需要嚴格的製程控制，例如鍵結層平整度。我們看到的其他積極跡像是對成熟設備的健康需求。跨節點的廣泛投資以及對本地供應鏈彈性需求的廣泛認可推動了製造業在美國、歐洲和亞洲的擴張。當然，所有這些都對我們的業務產生了積極的影響。

As I've said, we had a strong quarter and we are very pleased with the results. Our performance was built on the continued adoption of novel advanced portfolio by leading customers for advanced applications, which include the transition to gate-all-around and rising demand for advanced packaging solutions, including high-bandwidth memory.

正如我所說，我們本季表現強勁，我們對結果非常滿意。我們的業績建立在領先客戶不斷採用新型先進產品組合以用於先進應用的基礎之上，其中包括向環柵技術的過渡以及對包括高頻寬記憶體在內的先進封裝解決方案不斷增長的需求。

Towards the anticipated transition to the most advanced technology nodes, we see a significant increase in market traction for existing and new technologies, such as [Raman] and in-line SIMs with multiple evaluations and selections taking place at numerous customers.

在預期向最先進技術節點過渡的過程中，我們看到現有技術和新技術的市場吸引力顯著增加，例如[拉曼]和線上 SIM，眾多客戶對此進行了多次評估和選擇。

I'd like to share several examples. Let's start with our ELIPSON platform with secured repeat purchases, new selections and evaluations by multiple leading memory and logic customers. At the same time, METRION is gaining traction and is starting new evaluation processes at two leading global memory manufacturers.

我想分享幾個例子。讓我們從我們的 ELIPSON 平台開始，該平台得到了多家領先的記憶體和邏輯客戶的安全重複購買、新選擇和評估。同時，METRION 正在獲得關注，並正在兩家全球領先的記憶體製造商啟動新的評估流程。

And the VERAFLEX IV platform was selected by a leading global foundry, lended several new customers and reached a new record of eight systems in a single memory fab. On the hybrid bonding, packaging and HBM fronts, we have multiple orders in place and strategic evaluations kicking off for the PRISM 2 stand-alone OCD and our integrated metrology solutions.

VERAFLEX IV 平台被一家全球領先的代工廠選中，獲得了多個新客戶，並創下了單一記憶體工廠八個系統的新紀錄。在混合鍵合、封裝和 HBM 方面，我們已經獲得了多個訂單，並且正在針對 PRISM 2 獨立 OCD 和我們的整合計量解決方案進行策略性評估。

The Nova PRISM 2 platform with its spectral interferometer technology and unique algorithmic capability brings clear benefits to process control of PSV and hybrid bonding challenges, which our customers recognize.

Nova PRISM 2 平台採用光譜干涉儀技術和獨特的演算法能力，為 PSV 和混合鍵合挑戰的製程控制帶來了明顯優勢，這一點得到了客戶的認可。

There is a clear use case of front-end tool at the backend of advanced nodes production, which we were able to identify early and address by creating a dedicated portfolio. We expect revenues from packaging related processes to grow by more than 50% in 2024, driven by our optical and chemical metrology portfolios.

高階節點生產後端有前端工具的明顯用例，我們能夠及早發現並透過創建專用產品組合來解決這個問題。我們預計，在光學和化學計量產品組合的推動下，到 2024 年，封裝相關製程的收入將成長 50% 以上。

Speaking of our chemical metrology division, it is in peak performance with multiple new customer penetrations at the front-end, back-end and HBM. Overall, we expect our chemical metrology business to capitalize on the rapid growth of its addressable markets and hit another record year in 2024.

說到我們的化學計量部門，它正處於巔峰狀態，在前端、後端和 HBM 都有多個新客戶的滲透。總體而言，我們預計我們的化學計量業務將利用其目標市場的快速成長，並在 2024 年再創紀錄。

Finally, our service business continues to deliver this quarter, growing by 13% year-over-year, while during 2023, many of our customers prefer the more prudent approach, this year, the rising utilization rates and demand to extend to lifespans to maximize investments are driving our performance. We expect our service business to maintain its growth path in 2024 and capture customer spending across the board.

最後，我們的服務業務本季繼續表現出色，同比增長 13%，而在 2023 年，我們的許多客戶都傾向於採取更為謹慎的方式，今年，利用率的上升和延長使用壽命以最大化投資的需求正在推動我們的業績。我們預計我們的服務業務將在 2024 年保持成長勢頭，並全面吸引客戶支出。

Before I conclude, I'd like to thank Dror David, our formidable CFOs, who has decided to step down after 20 years at Nova. Dror has been my colleague and friend since I joined Nova and over the past year, his support and advice have been indispensable.

最後，我要感謝我們優秀的財務長 Dror David，他在 Nova 工作了 20 年後決定卸任。自從我加入 Nova 以來，Dror 一直是我的同事和朋友，在過去的一年裡，他的支持和建議不可或缺。

I'm grateful for his contribution over the years, and I'm confident that the handover to his successor Guy Kizner will be seamless. Guy and I plan to be in San Francisco for Semicon West, and we look forward to meeting many of you in person.

我感謝他多年來的貢獻，並相信向他的繼任者蓋伊·基茲納 (Guy Kizner) 的交接將會順利進行。蓋伊和我計劃前往舊金山參加西部半導體展 (Semicon West)，我們期待與你們中的許多人見面。

I also want to express my gratitude to our employees worldwide, who work as a tight-knit unit to maximize every opportunity and support our customers, and to our employees in Israel who continue to deliver regardless of circumstances. We have a truly gifted group of people who chose to work at Nova and we are fortunate to build on the breadth and wealth of talent and the incredible resilience of our team.

我也要向我們遍布全球的員工表示感謝，他們緊密團結，最大限度地利用每一個機會並支持我們的客戶，同時也要向我們在以色列的員工表示感謝，無論情況如何，他們都繼續提供服務。我們擁有一群真正有天賦的人選擇在 Nova 工作，我們很幸運能夠憑藉我們團隊的廣度和豐富的才華以及令人難以置信的韌性繼續發展。

To summarize my prepared remarks, Nova had a robust quarter and our forecast for the second quarter indicates additional growth. We see a healthy demand for our portfolio across nodes, market segments and territories driven by multiple positive trends and the clear value of tools and services bring to customers. Looking forward, 2024 is shaping up to be a growth year and an encouraging milestone on our path to executing our long-term strategic plan.

總結我準備好的發言，Nova 本季表現強勁，我們對第二季的預測顯示將進一步成長。我們看到，在多種正面趨勢以及工具和服務為客戶帶來的明顯價值的推動下，跨節點、細分市場和地區的產品組合需求旺盛。展望未來，2024 年將成為成長的一年，也是我們執行長期策略計畫道路上令人鼓舞的里程碑。

Now for some more details on the financials, let me hand over the call to Dror.

現在，要了解有關財務狀況的更多詳細信息，請允許我將電話交給 Dror。

Thanks, Gaby. Good day, everyone, and thank you for joining our 2024 first quarter conference call. Total revenues in the first quarter of 2024 reached $142 million, exceeding the company's guidance and demonstrating a 6% quarter-over-quarter increase and 7% year-over-year growth.

謝謝，加比。大家好，感謝您參加我們的 2024 年第一季電話會議。2024 年第一季總營收達 1.42 億美元，超出公司預期，季增 6%，年增 7%。

Product revenue distribution was approximately 60% from logic and foundry with the remaining 40% from memory. Blended gross margin in the first quarter increased to 59% on a GAAP basis and 61% on a non-GAAP basis, topping the company target model of 57% to 59%.

產品收入分佈約 60% 來自邏輯和代工，其餘 40% 來自記憶體。第一季綜合毛利率以 GAAP 計算增至 59%，以非 GAAP 計算增至 61%，超過了該公司 57% 至 59% 的目標模型。

The high gross margin in the quarter was attributed to a favorable product mix, coupled by gradual adoption of newer product configurations for advanced nodes. These newer products present improved performance and embed higher customer value with higher gross margins. We expect gross margins to gradually normalize in the coming quarters in line with the higher end of the company's target model on an annual basis in 2024.

本季的高毛利率歸功於良好的產品組合，以及逐步採用更新的先進節點產品配置。這些新產品具有更高的性能，並帶來了更高的客戶價值和更高的毛利率。我們預計未來幾季毛利率將逐步正常化，與公司 2024 年年度目標模式的高端保持一致。

As expected, operating expenses increased in the first quarter, reaching $46 million on a GAAP basis and $41 million on a non-GAAP basis. Operating margins in the first quarter were 26% on a GAAP basis and 32% on a non-GAAP basis, exceeding the high end of the company's target model of 27% to 31%. This excellent result was driven by the healthy quarterly gross margins and the company robust operational model.

正如預期的那樣，第一季營運費用有所增加，以 GAAP 計算達到 4,600 萬美元，按非 GAAP 計算達到 4,100 萬美元。第一季的營業利潤率以 GAAP 計算為 26%，以非 GAAP 計算為 32%，超過了公司 27% 至 31% 的目標模式的高端。這一優異業績得益於健康的季度毛利率和公司強勁的營運模式。

Financial income in the quarter remained elevated, reaching $6 million, reflecting high yields on cash reserves. The effective tax rate in the first quarter was approximately 15%. Earnings per share in the first quarter on a GAAP basis were $1.15 per diluted share. Earnings per share on a non-GAAP basis were $1.39 per diluted share, surpassing the high end of our first quarter guidance and reaching a record high for the second consecutive quarter.

本季的財務收入仍然較高，達到 600 萬美元，反映出現金儲備的高收益。第一季有效稅率約為15%。根據 GAAP 計算，第一季每股收益為每股 1.15 美元。非公認會計準則每股收益為每股 1.39 美元，超過了我們第一季預期的最高值，並連續第二季創下歷史新高。

Finally, I would like to share the details of our guidance for the second quarter of 2024. Currently, we expect revenues for the quarter to be between $144 million and $152 million. GAAP earnings per diluted share to range from $1.07 to $1.21, non-GAAP earnings per share to range from $1.27 to $1.42.

最後，我想分享我們對 2024 年第二季的指導細節。目前，我們預計本季的營收將在 1.44 億美元至 1.52 億美元之間。依照美國通用會計準則 (GAAP)，每股攤薄收益範圍為 1.07 美元至 1.21 美元，非美國通用會計準則 (Non-GAAP)，每股稀釋收益範圍為 1.27 美元至 1.42 美元。

At the midpoint of our second quarter 2024 guidance, we anticipate the following. Gross margins of approximately 57% on a GAAP basis and approximately 59% on a non-GAAP basis at the high end of the company target model operating expenses on a GAAP basis to increase to approximately $48 million. Operating expenses on a non-GAAP basis to increase to approximately $43 million, financial income and tax rate to remain similar to the first quarter.

在 2024 年第二季指引的中期，我們預期會出現以下情況。以 GAAP 計算的毛利率約為 57%，以非 GAAP 計算的毛利率約為 59%，公司目標模型的高端營運費用將根據 GAAP 計算將增加至約 4,800 萬美元。非公認會計準則下的營業費用將增加至約4,300萬美元，財務收入和稅率將與第一季保持相似。

I want to mention that during the first quarter, the company generated a record fleet free cash flow of $57 million, which increased the company's cash reserves to approximately $700 million at the end of the first quarter of 2024. This robust cash position enables us to continue and pursue and execute growth strategies and infrastructure investments.

我想提一下，在第一季度，該公司創造了創紀錄的 5700 萬美元的船隊自由現金流，這使得該公司的現金儲備在 2024 年第一季末增加到約 7 億美元。強勁的現金狀況使我們能夠繼續追求和執行成長策略和基礎設施投資。

With that, we will be pleased to take your questions. Operator?

我們將很高興回答您的問題。操作員？

(Operator Instructions ) Vivek Arya, Bank of America Securities.

（操作員指示） 美國銀行證券的 Vivek Arya。

Thank you for the question and good luck to both the Dror and Guy. Gaby, you mentioned about 50% growth for advanced packaging, I believe you said for this year, I was hoping you could give us a sense for what proportion of your sales. Is it contributing this year versus last year? And how is it kind of spread across and memory and foundry logic?

感謝您的提問，祝 Dror 和 Guy 好運。Gaby，您提到先進封裝的成長約為 50%，我相信你們是這麼說的，我希望你們能告訴我們您們的銷售額佔比是多少。與去年相比，今年的貢獻如何？它是如何在記憶體和代工邏輯中傳播的？

Thank you for the questions. So last year, we indicated the fact that the packaging related business was about 10% of our overall revenue. And we expect this more than 50% growth this year overall. We are looking at the growth coming essentially from the dimensional, the vision product lines and portfolio as well as the chemical ones, whereas the chemical is making headways in high-bandwidth memory and the dimensional is focused on the hybrid bonding and TSV with a strong potential looking forward at the technologies such as the HBM IV.

謝謝您的提問。因此，去年我們指出，包裝相關業務約占我們總收入的 10%。我們預計今年的整體成長率將超過 50%。我們關注的成長主要來自維度、視覺產品線和產品組合以及化學產品，其中化學產品在高頻寬記憶體方面取得進展，而維度則專注於混合鍵合和 TSV，在 HBM IV 等技術方面具有強大的潛力。

For the dimensional metrology portfolio, we'll look at the dedicated integrated metrology tools and the platforms we have as well as for the PRISM, which together with the spectral interferometry and the algorithmic suite is capable of addressing through-silicon via applications as part of the overall heterogenous integration into a chair for which both hybrid bonding and TSV serve and we looked at that those specific capabilities for the debt, for the CD and additional parameters related to the TSV, both factor etching and after fill.

對於尺寸計量產品組合，我們將研究專用的集成計量工具和我們擁有的平台以及 PRISM，它與光譜干涉法和演算法套件一起能夠解決矽通孔應用問題，作為整體異構集成到椅子中的一部分，混合鍵合和 TSV 均可服務，我們研究了債務、CD 和與 TSV 相關的附加參數的特定功能，包括後因子參數的特定功能，包括後因子參數的特定功能，包括後因子參數的特定功能，包括1

So it gives us a strong position and the definitely a strong outlook for the growth this year and onwards.

因此，這為我們提供了強大的地位，並且肯定為今年及以後的成長提供了強勁的前景。

As a follow up, so you definitely outlined the strong growth in HPM, what about gate-all-around? Have you started to see the benefit of that yet or is it still to come? And conceptually, how much does your content or opportunity increase in gate-all-around versus fintech?

作為後續問題，您肯定概述了 HPM 的強勁成長，那麼環繞閘極技術又如何呢？您是否已經開始看到它的好處了，還是說它還有待顯現？從概念上講，與金融科技相比，全覆蓋技術在內容或機會方面增加了多少？

So as we have announced in the press release earlier this year, we do see a strong position in the gate-all-around business that we currently have. And this is involving all of our -- basically all of our product lines. We see the increased precision higher sampling rate and size, the High-K Metal Gate control, gates and material characterization and we have a unique offering from both hardware and software perspective. That gives -- it gives us a strong position with most of the gate-all-around players.

正如我們在今年早些時候的新聞稿中宣布的那樣，我們確實看到了我們目前在全封閉門業務中的強勢地位。這涉及我們所有的產品線——基本上是我們所有的產品線。我們看到了精度的提高、採樣率的提高和尺寸的擴大、高 K 金屬閘極控制、閘極和材料特性的提高，並且從硬體和軟體角度來看，我們都有獨特的產品。這使得我們在與大多數全能門球員的較量中佔據了強勢地位。

And as we've recently announced, this is a very encouraging, whereas we see initial orders for the coming 12 months already in place and expect the ramp to happen during that time and onwards into next year and beyond.

正如我們最近宣布的那樣，這是一個非常令人鼓舞的消息，而我們看到未來 12 個月的初始訂單已經到位，並預計產量將在此期間以及明年及以後實現增長。

And for the last one on gross margins, so they continue to surprise on the upside every quarter and then you're always conservatively guide them a lower, although still at the high end of your long-term outlook.

最後關於毛利率，他們每季都會繼續帶來驚喜，而你總是保守地引導他們降低毛利率，儘管這仍然處於長期前景的高端。

And then it just kind of happens to coincide with your increasing mix in memory, so what about whether it's product mix or customer mix? Do you think is helping you to consistently outperform your gross margin expectations? And then what do you think will tone them down in the back half as it is that a change in the product or customer mix that you are expecting? Thanks.

然後它恰好與記憶體中不斷增加的組合相吻合，那麼它是產品組合還是客戶組合呢？您認為這有助於您持續超越毛利率預期嗎？那麼，您認為後半部什麼會降低這一比例，因為這是您所期望的產品或客戶組合的變化嗎？謝謝。

Yes. So obviously, the main aspect which has impact on gross margins is the product mix. If you look for example, last year Nova was at the high end of the model, 59% currently and also in debt here in the first quarter, we were a little bit higher than that.

是的。因此顯然，影響毛利率的主要因素是產品組合。舉例來說，去年 Nova 處於模型的高端，目前為 59%，並且在第一季我們的債務也比這個高一點。

And this is exactly what happened also in 2024, where as I mentioned in my prepared remarks, the products which are of newer version and more content, were adopted by several customers which were in taking equipment specifically in Q1. Therefore, the product mix in Q1 was further favorable and the gross margin was was high.

這正是 2024 年發生的事情，正如我在準備好的發言中提到的那樣，更新版本和更多內容的產品被幾位在第一季度採用設備的客戶所採用。因此，第一季的產品結構較為有利，毛利率較高。

Our expectation for the next quarter is around 59% and obviously for the rest of the year within and maybe the higher portion of the model. But on an annual basis, we do expect it be around 59%.

我們對下一季的預期約為 59%，顯然今年剩餘時間的預期可能在模型的較高部分。但從年率來看，我們預計這一比例將在 59% 左右。

Thank you.

謝謝。

Vedvati Shrotre, Evercore.

Vedvati Shrotre，Evercore。

Yes. Hi, thanks for taking my question. I wanted to double down on the gate or an opportunity, you talked about several semicap companies have started talking about pilot line. You had a press release with the orders starting to come in. Can you provide us any color on the size of orders you're seeing, how those split out between dimensional versus metrology? And what do you expect for the trajectory of orders to remainder of the year?

是的。你好，謝謝你回答我的問題。我想加倍努力抓住這個機會，您談到幾家半導體公司已經開始談論試驗線。當訂單開始湧入時，您就發布了新聞稿。您能否向我們提供有關您所看到的訂單大小的詳細信息，以及這些訂單在尺寸和計量之間是如何劃分的？您對今年剩餘時間的訂單走勢有何預期？

Sure. So the orders, as I mentioned before, are across our product lines, but I'd like to give some color in a few examples. So we're looking at the integrated metrology tools. We are looking at the stand-alone OCD essentially for focusing on the PRISM.

當然。正如我之前提到的，這些訂單涉及我們的整個產品線，但我想透過幾個例子來說明。因此，我們正在研究整合計量工具。我們正在研究獨立的 OCD，主要是為了關注 PRISM。

We see a materials, of course, with the VERAFLEX IV being adopted for gate all around. And we also see the introduction of the new technologies that we have, both on the Raman, the ELIPSON II as well as the in-line since the METRION I.

當然，我們看到了 VERAFLEX IV 材料被廣泛用於門體。我們還看到了我們所擁有的新技術的推出，包括拉曼、ELIPSON II 以及自 METRION I 以來的線上技術。

We've mentioned the fact that for a gave around and in general, we see strong traction for both the ELIPSON and METRION. So by the end of this year, the ELIPSON will be in advanced evaluation by two top three customers for gate-all-around applications and already in production by the third. And we expect proliferation potential, of course, once it reaches the high volume manufacturing.

我們已經提到過這樣一個事實：就目前情況而言，總體而言，我們看到 ELIPSON 和 METRION 都具有強大的吸引力。因此，到今年年底，ELIPSON 將由兩家前三名的客戶針對環柵應用進行高級評估，並已由第三家客戶投入生產。當然，我們預計，一旦達到大量生產，就會有擴散的潛力。

And we've mentioned additional traction for the METRION. So I do see the strong potential. We see the initial orders already coming for the next, for the deliveries in the next 12 months and the ramp is expected to happen during this time and beyond.

我們也提到了 METRION 的額外牽引力。所以我確實看到了巨大的潛力。我們看到首批訂單已經到來，這些訂單將在未來 12 個月內交付，預計產量將在這段時間內及之後實現提升。

That's helpful. And then switching gears on the packaging side of -- you mentioned these are growing 50% year on year. How does this split between chemical versus your dimensional majority solutions?

這很有幫助。然後轉換到包裝方面——您提到這些方面同比增長了 50%。化學解決方案和維度多數解決方案之間如何區分？

So we see both optical and chemical portfolios gaining strong traction with advanced packaging. And if we want to dive in more specifically, the dimensional is focused on the hybrid bonding and TSV as well as HBM. I'd say that chemical is very strong in HBM, but definitely has applications for the other advanced packaging technologies. We see that demand coming from a suite of applications that include the measuring of that size dimensions on the through-silicon via as well as the flatness.

因此，我們看到光學和化學產品組合都透過先進封裝獲得了強大的吸引力。如果我們想更具體地深入了解，那麼維度主要集中在混合鍵合和 TSV 以及 HBM 上。我想說這種化學物質在 HBM 中非常強大，但肯定可以應用於其他先進的封裝技術。我們看到這種需求來自一系列應用，其中包括測量矽通孔的尺寸和平整度。

We see the criticality of the edge of the wafer becoming more and more important again as part of the requirements on flatness. And that all drives both the chemical and the dimensional optical tool adoption for that segment.

我們看到，作為平整度要求的一部分，晶圓邊緣的關鍵性再次變得越來越重要。這一切都推動了該領域對化學和立體光學工具的採用。

And if I may ask, what is the competitive positioning. If you look at some of your bigger competitors like [Kelly], they have been talking about different game stores being converted into backend? Is that you're competitive? I mean, are you seeing that happen for the applications or being used in?

請問一下，競爭定位是什麼？如果你看看你的一些較大的競爭對手，例如[Kelly]，他們一直在談論將不同的遊戲商店轉換為後端？你有競爭力嗎？我的意思是，您是否看到這種情況在應用程式中發生或正在使用？

Definitely. I believe that the use case of front-end tools converting into backup is exactly what we are seeing and we did identify early the need. And so we customize the tools in order to support the specific requirements of the of the back-end, both back-end, far back-end and the hybrid bonding. So it all boils down to the adoption from the customers in that respect.

確實。我相信前端工具轉換為備份的用例正是我們所看到的，而我們確實很早就發現了這種需求。因此，我們客製化了工具以支援後端、兩個後端、遠端後端和混合綁定的特定要求。因此，這一切都歸結於客戶的採用。

Great. Thank you.

偉大的。謝謝。

Charles Shi, Needham & Company.

Charles Shi，Needham & Company。

Hi, thanks. Hey, good afternoon, Gaby, Dror and Guy. I want to come back to the question about the two nanometer ramp and the shape of the ramp a little bit. So you are expecting some initial orders looks like and more of the ramp into next year. But, kind of wonder, whether you think 2025 will be a big ramp year across all three customers, the leading edge customers on two nanometer node or maybe we should expect, maybe 2026 to be a bigger year.

你好，謝謝。嘿，Gaby、Dror 和 Guy，下午好。我想稍微回到有關兩奈米斜坡和斜坡形狀的問題上。因此，您預計一些初始訂單將會增多，明年的訂單量還會進一步增加。但是，有點奇怪，您是否認為 2025 年將成為這三個客戶（兩奈米節點的領先客戶）實現大幅增長的一年，或者我們是否應該預期 2026 年將是更大的一年。

The reason why I ask this was that at least the TSMC, they announced that the revenue will two nanometer will be more like a 2026 event rather than 2025. Of course, they cannot put it towards a little bit earlier, but just trying to understand, based on your current visibility, what's the shape of the ramp for the overall two nanometer.

我之所以問這個問題，是因為至少台積電宣布，兩奈米的收入將更像是在 2026 年發生，而不是 2025 年。當然，他們無法將其提前一點，而只是試圖根據您當前的可見性來了解整個兩奈米的斜坡形狀。

And of course, I want to add that the leading logic IDM customer, they adopted several of your new technologies, but that sounds like we still haven't seen a good amount of revenue contribution yet, or do you think that will happen in '25 or maybe a little bit earlier in '24, maybe a little bit later in '26? Thanks.

當然，我想補充一點，領先的邏輯 IDM 客戶採用了你們的幾項新技術，但這聽起來我們還沒有看到很好的收入貢獻，或者您認為這會在 25 年發生，或者可能在 24 年稍早一點，或者在 26 年稍晚一點？謝謝。

Thank you. So I did mention that we already received orders for gate-all-around, which are expected to be delivered in the coming 12 months. And we are talking, in fact, on four gate all around customers. In terms of the shape, it's definitely going to grow and gain momentum as we finish this year enter into '25 and onwards towards '26 as our customers ramp gain traction. I cannot address to a specific customer, but I will definitely say that we are working very closely with all of them.

謝謝。所以我確實提到過，我們已經收到了環門系統的訂單，預計將在未來 12 個月內交付。事實上，我們正​​在談論四道門全方位客戶。就形態而言，隨著我們今年結束進入 25 年，並​​邁向 26 年，隨著我們的客戶逐漸增加，它肯定會成長並獲得動力。我無法針對某一位特定的客戶發表講話，但我可以肯定地說，我們正在與所有客戶密切合作。

Yeah, thanks, Gabriel. I wanted to ask a little bit more on the memory side. It looks like the memory revenue is probably in the Q1, is probably a record if my numbers for your past quarters are accurate. It sounds like Korea is the main driver for the strong memory results. But I wonder how much of that memory numbers is from China in the last quarter. And do you expect that memory revenue run rate to maintain or even grow from here for the rest of the year?

是的，謝謝，加布里埃爾。我想就記憶方面多問一些問題。看起來內存收入可能在第一季度，如果我對過去幾個季度的數據準確的話，這可能是一個記錄。聽起來韓國是強勁記憶力成果的主要動力。但我想知道上個季度有多少內存來自中國。您是否預計今年剩餘時間內記憶體收入運行率將維持甚至成長？

So our long-term model calls for 60%, 40%. 60% for logic foundry and 40% memory. Simply because of the metrology intensity that is higher in logic and foundry. We already had in the past and even split of 50%, 50% between logic and memory. So 40% is not the record, but it's definitely an improvement if we compare it to the previous quarter.

因此，我們的長期模型要求 60%、40%。 60% 用於邏輯代工，40% 用於記憶體。只是因為邏輯和代工中的計量強度較高。我們過去已經將邏輯和記憶體的比例均勻地分為 50% 和 50%。因此，40% 並不是最高紀錄，但如果與上一季相比，這肯定是一個進步。

The memory is obviously a split between different territories, the other territories to the ones that you've mentioned and quite a few customers. So we are definitely very much focused on making sure that we can capture any opportunity. First and foremost on DRAM, as this is the segment that grows this year. But the most definitely premium end once, when it gets traction probably towards the second half and onwards.

記憶體顯然是在不同區域之間劃分的，其他區域就是您提到的區域，還有相當多的客戶。因此，我們絕對非常專注於確保我們能夠抓住任何機會。首先是 DRAM，因為這是今年成長的領域。但最肯定的是，高端產品一旦推出，很可能在下半年及以後獲得發展動力。

Thanks. If I may, one last question, you want the examples you gave about the XPS tools for memory applications, six tools for one memory fab. I think that's probably a highest number I've heard because what I remember is probably more like a two tools per fab, but correct me if I'm wrong there.

謝謝。如果可以的話，最後一個問題，您想要有關用於記憶體應用的 XPS 工具的範例，即一個記憶體工廠有六種工具。我認為這可能是我聽過的最高數字，因為我記得的可能更像是每個晶圓廠有兩種工具，但如果我錯了，請糾正我。

Can you talk a little bit more in details whether this is DRAM or [ON] or what's driving the increased intensity of XPS in the memory fabs? Thanks.

您能否更詳細地談談這是 DRAM 還是 [ON]，或者是什麼推動了內存工廠中 XPS 強度的提高？謝謝。

I mentioned that we reached a record of eight VERAFLEX IV tools or VERAFLEX tools per fab in memory. And this is attributed to both the span of applications as well as capacity. And we're very encouraged by the fact that we see that growth, we also discussed in the past in terms of our effort and focus on increasing the appeal, the number of applications, the value that the platform provides and with a VERAFLEX IV with the additional throughput sampling rate and the performance criteria, we're definitely able to execute on that and the increase the number of tools per fab

我提到，我們在記憶體中創下了每家晶圓廠擁有八台 VERAFLEX IV 工具或 VERAFLEX 工具的記錄。這既歸因於應用的跨度，也歸因於容量。看到這種成長，我們感到非常鼓舞，我們過去也討論過我們的努力和重點是提高吸引力、應用程式數量、平台提供的價值，有了 VERAFLEX IV 的額外吞吐量採樣率和性能標準，我們絕對能夠做到這一點，並增加每個晶圓廠的工具數量

Thanks, Gaby.

謝謝，加比。

Mark Miller, The Benchmark Company.

馬克‧米勒（Mark Miller），基準公司。

Congratulations on your record results. As we discussed previously, memory was up 40%. I'm just wondering in terms of the memory sales, what can you attribute a percentage to high-bandwidth memory?

恭喜你創下了紀錄。正如我們之前討論過的，記憶體增加了 40%。我只是想知道，就記憶體銷售而言，您認為高頻寬記憶體佔比是多少？

Well, high-bandwidth memory is counted as part of a memory as well as advanced packaging. So in that respect, the HBM is a part of that. And we are seeing the focus of growth in the first quarter on both DRAM and high-bandwidth memory, that consists -- that are making the total of that 40%.

嗯，高頻寬記憶體也算是記憶體的一部分，也是先進封裝的一部分。因此從這個方面來說，HBM 是其中的一部分。我們看到第一季的成長重點是 DRAM 和高頻寬內存，它們佔總成長的 40%。

Thanks. In terms of tools for high-bandwidth memory already typically tools that have higher margins?

謝謝。就高頻寬記憶體工具而言，通常已經是具有更高利潤率的工具了？

So our tools for high-bandwidth memory are both optical as well as chemical. On the optical side, it's the front-end tools that were customized for the use in high-bandwidth memory. For the chemical, it's those tools that are serving both, I would say the back end packaging customers such as the [anchor Liza] and for the front-end side, we have the copper dual [damascene] tool that is being used for those front-end fabs. So for the HBM specifically, it's mostly the anchor Liza tool.

因此，我們用於高頻寬記憶體的工具既是光學的，也是化學的。在光學方面，它是針對高頻寬記憶體的使用而客製化的前端工具。對於化學品來說，這些工具既服務於後端封裝客戶，例如[anchor Liza]，對於前端，我們有用於那些前端晶圓廠的銅雙[大馬士革]工具。因此，對於 HBM 來說，它主要是錨點 Liza 工具。

Thank you.

謝謝。

Thank you. This concludes our question and answer session. I would like to turn the conference back over to Mr. Gaby Waisman, President and CEO, for any closing remarks.

謝謝。我們的問答環節到此結束。我想將會議交還給總裁兼執行長 Gaby Waisman 先生，請他致閉幕詞。

Thank you, operator, and thank you all for joining our call today.

謝謝接線員，也謝謝大家今天參加我們的電話會議。

Thank you. The conference has now concluded. Thank you attending today's presentation. You may now disconnect.

謝謝。會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。