安森美 (ON) 2022 Q2 法說會逐字稿

Good day, and thank you for standing by. Welcome to the onsemi Second Quarter 2022 Earnings Conference Call. (Operator Instructions) Please be advised today's conference is being recorded. I would now like to hand the conference over to your speaker today, Parag Agarwal, Vice President of Investor Relations and Corporate Development. Please go ahead.

美好的一天，感謝您的支持。歡迎參加 onsemi 2022 年第二季度收益電話會議。 （操作員說明）請注意今天的會議正在錄製中。我現在想把會議交給你今天的演講者，投資者關係和企業發展副總裁 Parag Agarwal。請繼續。

Thank you, Liz. Good morning, and thank you for joining onsemi's Second Quarter 2022 Quarterly Results Conference Call. I'm joined today by Hassane El-Khoury, our President and CEO; and Thad Trent, our CFO. This call is being webcast on the Investor Relations section of our website at www.onsemi.com. A replay of this webcast, along with our 2022 2nd quarter earnings release, will be available on our website approximately 1 hour following this conference call, and the recorded webcast will be available for approximately 30 days following this conference call. Additional information is posted on the Investor Relations section of our website.

謝謝你，麗茲。早上好，感謝您參加 onsemi 的 2022 年第二季度季度業績電話會議。今天，我們的總裁兼首席執行官 Hassane El-Khoury 也加入了我的行列；和我們的首席財務官 Thad Trent。本次電話會議正在我們網站 www.onsemi.com 的投資者關係部分進行網絡直播。本次網絡廣播的重播以及我們的 2022 年第二季度收益發布將在本次電話會議後大約 1 小時在我們的網站上提供，錄製的網絡廣播將在本次電話會議後大約 30 天內提供。其他信息發佈在我們網站的投資者關係部分。

Our earnings release and this presentation include certain non-GAAP financial measures. Reconciliation of these non-GAAP financial measures to the most directly comparable GAAP measures and the GAAP financial measures are included in our earnings release, which is posted separately on our website in the Investor Relations section.

我們的收益發布和本演示文稿包括某些非公認會計準則財務指標。這些非 GAAP 財務指標與最直接可比的 GAAP 指標和 GAAP 財務指標的對賬包含在我們的收益發布中，該發佈單獨發佈在我們網站的投資者關係部分。

During the course of this conference call, we will make projections or other forward-looking statements regarding the future events or the future financial performance of the company. We wish to caution that such statements are subject to risks and uncertainties that could cause actual results or events to differ materially from projections.

在本次電話會議期間，我們將對公司的未來事件或未來財務業績做出預測或其他前瞻性陳述。我們希望提醒您，此類陳述存在風險和不確定性，可能導致實際結果或事件與預測存在重大差異。

Important factors that can affect our business including factors that could cause actual results to differ from forward-looking statements are described in our most recent Form 10-K and Form 10-Qs in other filings with the Securities and Exchange Commission and in our earnings release for the second quarter of 2022. Our estimates or other forward-looking statements may change, and the company assumes no obligation to update forward-looking statements to reflect actual results, changed assumptions or other events that may occur except as required by law.

可能影響我們業務的重要因素，包括可能導致實際結果與前瞻性陳述不同的因素，在我們最近提交給美國證券交易委員會的其他文件中的 10-K 表格和 10-Q 表格以及我們的收益發布中進行了描述2022 年第二季度。我們的估計或其他前瞻性陳述可能會發生變化，公司不承擔更新前瞻性陳述以反映實際結果、更改的假設或可能發生的其他事件的義務，除非法律要求。

Now let me turn it over to Hassane. Hassane?

現在讓我把它交給哈桑。哈桑？

Thank you, Parag, and thank you, everyone, for joining the call. Nearly a year ago to the date, we unveiled our strategy to deliver intelligent power and sensing technologies for the sustainable ecosystem, fueled by high-growth megatrends in automotive, industrial and cloud power. This meant that we would not only provide differentiated solutions for our customers, but that we would execute on our commitments to our shareholders.

謝謝你，帕拉格，謝謝大家加入電話會議。大約一年前至今，我們公佈了為可持續生態系統提供智能電力和傳感技術的戰略，這得益於汽車、工業和雲能源的高增長大趨勢。這意味著我們不僅要為客戶提供差異化的解決方案，還要履行對股東的承諾。

Today, we announced another quarter of record revenue, gross margin and EPS, and I could not be prouder of the progress we have made. We achieved our first ever $2 billion revenue quarter with record revenue in the automotive and industrial end markets. As compared to last year's second quarter, our total revenue increased 25%. Our non-GAAP gross margin expanded by 1,130 basis points and our earnings per share more than doubled to $1.34 per share.

今天，我們宣布了另一個季度的創紀錄收入、毛利率和每股收益，我為我們取得的進步感到無比自豪。我們實現了有史以來第一個 20 億美元的收入季度，在汽車和工業終端市場創造了創紀錄的收入。與去年第二季度相比，我們的總收入增長了 25%。我們的非美國通用會計準則毛利率擴大了 1,130 個基點，我們的每股收益翻了一番多，達到每股 1.34 美元。

In the face of challenging business conditions, our employees have maintained steadfast in their dedication to our customers, and I want to thank them all for their continued hard work and tenacity.

面對充滿挑戰的商業環境，我們的員工始終堅守對客戶的奉獻精神，感謝他們一直以來的辛勤工作和堅韌不拔的精神。

Despite ongoing geopolitical and macroeconomic uncertainty, demand for products in our focus areas remain strong. Our automotive and industrial revenue now accounts for 66% of our overall business and combined grew 9% quarter-over-quarter and 38% year-over-year. This performance was driven by increasing adoption of our market-leading intelligent power and sensing solutions in the fastest-growing applications.

儘管地緣政治和宏觀經濟的不確定性持續存在，但我們重點領域的產品需求依然強勁。我們的汽車和工業收入現在占我們整體業務的 66%，合計環比增長 9%，同比增長 38%。這一表現得益於我們在增長最快的應用中越來越多地採用我們市場領先的智能電源和傳感解決方案。

We have seen a slowing demand in our noncore end markets, but demand from automotive and industrial continues to outpace supply. The volatility in energy markets and supply chain disruptions across the globe are driving an accelerated adoption of electric vehicles, alternative energy and industrial automation. Our market-leading portfolio, coupled with the differentiated performance of our products and end-to-end capabilities has distinguished onsemi as a premier source for intelligent power and sensing solutions, and our customers are increasingly relying on us to enable their roadmap in a rapidly evolving market.

我們看到非核心終端市場的需求放緩，但汽車和工業的需求繼續超過供應。全球能源市場的波動和供應鏈中斷正在推動電動汽車、替代能源和工業自動化的加速採用。我們市場領先的產品組合，加上我們產品的差異化性能和端到端能力，使 Onsemi 成為智能電源和傳感解決方案的主要來源，我們的客戶越來越依賴我們來快速實現他們的路線圖不斷發展的市場。

While we are optimistic about our outlook, we remain sensitive to dynamic market conditions. The structural changes we implemented over the past 18 months to rationalize our product portfolio and optimize our cost structure, have reduced the volatility in our financials and we have positioned the company to be more resilient in all business environments.

儘管我們對前景持樂觀態度，但我們仍對動態的市場狀況保持敏感。我們在過去 18 個月中實施的結構性變革旨在合理化我們的產品組合併優化我們的成本結構，降低了我們財務的波動性，我們使公司在所有商業環境中都更具彈性。

The nature of our customer engagements has evolved into strategic partnerships to support our customers' long-term technology roadmaps, advanced capacity planning and supply assurance. Customers continue to expand the scope of their LTSAs to include onsemi's entire portfolio of intelligent power and sensing solutions, which accounted for 66% of our total revenue in the second quarter, up from 62% a year ago. We have signed LTSAs covering up to 200 parts across our entire portfolio and for existing LTSAs customers are still requesting additional near-term volumes and extending the duration of our agreements in some cases, through 2029.

我們客戶參與的性質已演變為戰略合作夥伴關係，以支持我們客戶的長期技術路線圖、先進的產能規劃和供應保證。客戶繼續擴大其 LTSA 的範圍，包括 onsemi 的整個智能電源和傳感解決方案組合，這占我們第二季度總收入的 66%，高於一年前的 62%。我們已經簽署了涵蓋我們整個產品組合中多達 200 個部件的 LTSA，對於現有的 LTSA，客戶仍在要求增加近期數量，並在某些情況下將我們的協議期限延長到 2029 年。

For their longer-term demand, they are co-investing with onsemi capacity expansion to secure their supply, which in turn improves our demand planning.

對於他們的長期需求，他們正在與 onsemi 產能擴張共同投資以確保他們的供應，這反過來又改善了我們的需求計劃。

We continue to make progress in our transformation journey to structurally improve the gross margin of the company. We have redeployed capital to high-margin, high-growth areas such as silicon carbide and over the last 12 months, we have exited approximately $210 million in revenue and an average gross margin of 24% and of which $36 million occurred in the second quarter at an average gross margin of 34%. Despite a deliberate loss of noncore revenue we have been able to grow at an impressive pace and offset these losses with new product revenue, which increased 35% year-over-year at favorable gross margins.

我們在轉型之旅中繼續取得進展，以從結構上提高公司的毛利率。我們已將資本重新部署到碳化矽等高利潤、高增長領域，在過去 12 個月中，我們的收入約為 2.1 億美元，平均毛利率為 24%，其中 3600 萬美元發生在第二季度平均毛利率為 34%。儘管非核心收入故意損失，但我們仍然能夠以令人印象深刻的速度增長，並通過新產品收入抵消了這些損失，新產品收入同比增長 35%，毛利率有利。

Our Intelligent Power revenue grew by 31% year-over-year and 10% quarter-over-quarter driven by the market-leading efficiency of our solutions. The superior performance of our silicon carbide and IGBTs has enabled us to engage directly and sign LTSAs with leading automotive OEMs and EV disruptors across the globe. They rely on onsemi's silicon carbide expertise and end-to-end capabilities to help them achieve their electrification goal. Although internal combustion engine vehicle sales were nearly flat in 2021, EVs grew by 94% and are expected to grow at a CAGR of 22% to 45% of total light vehicle units in the next 5 years.

在我們解決方案市場領先的效率的推動下，我們的智能電源收入同比增長 31%，環比增長 10%。我們的碳化矽和 IGBT 的卓越性能使我們能夠直接與全球領先的汽車 OEM 和 EV 顛覆者合作並簽署 LTSA。他們依靠 onsemi 的碳化矽專業知識和端到端能力來幫助他們實現電氣化目標。儘管 2021 年內燃機汽車銷量幾乎持平，但電動汽車增長了 94%，預計未來 5 年的複合年增長率將達到輕型汽車總銷量的 22% 至 45%。

Electric vehicles require up to $700 of incremental onsemi content for drivetrain and onboard charging as compared to an internal combustion engine car. As the transition continues to accelerate from ICE vehicles to electric, we expect to see steep growth in our Intelligent Power revenue for automotive.

與內燃機汽車相比，電動汽車需要高達 700 美元的增量 onsemi 內容用於傳動系統和車載充電。隨著從內燃機汽車向電動汽車的過渡繼續加速，我們預計汽車智能動力收入將大幅增長。

Our progress to our silicon carbide leadership is one that I'm especially proud of. We are seeing a steep acceleration in our silicon carbide ramp and have doubled our silicon carbide revenue quarter-over-quarter in the second quarter. We had forecasted to double last year's silicon carbide revenue in '22 and thanks to our global team's impressive acceleration of our capacity expansion plans and our latest customer engagement, we are confidently raising our annual projection to triple last year's silicon carbide revenue in 2022 and exceed $1 billion in revenue in 2023. Towards that end, we have also secured more than $4 billion of committed silicon carbide revenue through long-term supply agreements for the next 3 years as compared to the $2.6 billion we had previously disclosed.

我們在碳化矽領導地位方面取得的進展是我特別引以為豪的一項。我們看到我們的碳化矽產量急劇加速，第二季度我們的碳化矽收入環比翻了一番。我們曾預測 22 年碳化矽收入將翻一番，由於我們的全球團隊令人印象深刻地加速了我們的產能擴張計劃和我們最新的客戶參與，我們有信心將我們的年度預測提高到 2022 年碳化矽收入的三倍甚至超過2023 年收入 10 億美元。為此，我們還通過未來 3 年的長期供應協議獲得了超過 40 億美元的承諾碳化矽收入，而我們之前披露的收入為 26 億美元。

To support the steep acceleration in our silicon carbide revenue, we are rapidly expanding capacity across our sites. By the end of this year, we plan to quadruple our substrate output on a year-over-year basis, and we are adding capacity for wafering, Appy and modules at our various sites around the globe. Furthermore, we are adding 200-millimeter silicon carbide capacity at our existing fabs and we are on track to double our front-end wafer capacity by the end of 2023 as compared to that at the end of '22 and further double that capacity by the end of '24.

為了支持我們碳化矽收入的急劇增長，我們正在迅速擴大我們工廠的產能。到今年年底，我們計劃將我們的基板產量同比翻兩番，並且我們正在增加我們在全球各地的晶圓、Appy 和模塊的產能。此外，我們正在現有晶圓廠增加 200 毫米碳化矽產能，與 22 年底相比，我們有望在 2023 年底前將我們的前端晶圓產能翻一番，並在24 年末。

Our energy infrastructure business is also growing at a rapid pace. With a year-over-year revenue increase of 61% in Q2, we are on track to exceed our 2022 target of 50% growth year-over-year. As I indicated earlier, volatility in the global energy supply is driving rapid adoption of [alternative] energy and with our broad portfolio of high-efficiency silicon carbide and IGBT modules, we are the key enabler in this market. We expect the alternative energy market to be a long-term driver for our business, as utility-scale power plant installations grow rapidly worldwide, reducing both fossil fuel dependence and associated climate impact.

我們的能源基礎設施業務也在快速增長。隨著第二季度收入同比增長 61%，我們有望超過 2022 年同比增長 50% 的目標。正如我之前指出的，全球能源供應的波動正在推動[替代]能源的快速採用，憑藉我們廣泛的高效碳化矽和 IGBT 模塊產品組合，我們是該市場的關鍵推動者。我們預計替代能源市場將成為我們業務的長期驅動力，因為公用事業規模的發電廠裝置在全球範圍內迅速增長，減少了對化石燃料的依賴和相關的氣候影響。

The top 10 solar inverter suppliers have more than 80% of the global market share, and onsemi has signed long-term supply agreements with 7 of them totaling more than $1 billion in revenue. Beyond the LTSAs, we continue to expand our footprint in the alternative energy market. And in the second quarter, we secured a design win for our silicon carbide module for solar inverse with a leading global industrial OEM. While silicon carbide is the fastest-growing part of our power business, our silicon power products remain integral to our Intelligent Power portfolio with year-over-year growth of approximately 30% in our IGBT and MOSFET revenue. This growth was primarily driven by automotive and industrial where higher efficiency of our products is a key differentiator.

前10大太陽能逆變器供應商擁有全球80%以上的市場份額，onsemi與其中7家簽訂了總收入超過10億美元的長期供應協議。除了 LTSA，我們繼續擴大我們在替代能源市場的足跡。在第二季度，我們與一家全球領先的工業 OEM 獲得了我們用於太陽能逆變器的碳化矽模塊的設計勝利。雖然碳化矽是我們電源業務中增長最快的部分，但我們的矽電源產品仍然是我們智能電源產品組合中不可或缺的一部分，我們的 IGBT 和 MOSFET 收入同比增長約 30%。這種增長主要由汽車和工業驅動，我們產品的更高效率是關鍵差異化因素。

Our intelligent sensing revenue grew by 39% year-over-year and by 10% quarter-over-quarter. The growth in our intelligent sensing was driven by both automotive and industrial end markets which grew by approximately 60% and 30%, respectively, year-over-year. The steep growth in our automotive Image Sensors is driven by an increasing number of cameras per car, a mix shift towards higher resolution and higher ASP sensors and accelerating penetration of ADAS. One of the primary drivers of increasing number of cameras per car has been the efforts by traditional OEMs to match the ADAS and related safety features offered by constructors and the new EV models.

我們的智能傳感收入同比增長 39%，環比增長 10%。我們智能傳感的增長受到汽車和工業終端市場的推動，同比分別增長約 60% 和 30%。我們的汽車圖像傳感器的急劇增長是由每輛汽車的攝像頭數量增加、向更高分辨率和更高 ASP 傳感器的混合轉變以及 ADAS 的加速滲透推動的。每輛車的攝像頭數量不斷增加的主要驅動因素之一是傳統 OEM 努力匹配製造商和新 EV 車型提供的 ADAS 和相關安全功能。

We are seeing increasing use of our Image Sensors to enable safety through the replacement of traditional mirrors by camera-enabled digital mirrors. We secured a design win for a digital mirror that incorporates 4 cameras for the rear and outside views. This mirror overcomes obstructions caused by passengers, headrests and other objects and provides integrated rearview and side view for blind spot monitoring. We signed another LTSA to supply Image Sensors for a vision system to replace mirrors with cameras and commercial trucks. This system provides the driver with a more complete view of operating conditions over traditional mirrors and delivers improved driver vision and flight spot elimination.

我們看到越來越多地使用我們的圖像傳感器，通過使用支持攝像頭的數字鏡子替換傳統鏡子來實現安全。我們獲得了一個數碼鏡的設計勝利，該鏡包含 4 個用於後視圖和外部視圖的攝像頭。該鏡子克服了由乘客、頭枕和其他物體造成的障礙，並為盲點監控提供集成的後視和側視。我們簽署了另一個 LTSA，為視覺系統提供圖像傳感器，以用相機和商用卡車代替鏡子。與傳統後視鏡相比，該系統為駕駛員提供了更完整的操作條件視圖，並提供了改進的駕駛員視野和飛行點消除。

We entered into an LTSA with a leading manufacturer of agriculture equipment to supply our new super exposure flicker-free high dynamic range image sensor for targeted spray systems in weed elimination. A vision system comprising more than 30 onsemi Image Sensors, identifies weeds and signals the nozzle control system to precisely spray herbicide in just the right quantity. This application sustainably eliminates the indiscriminate use of agricultural chemicals, enable savings of more than 75% of herbicide and helps protect the environment.

我們與一家領先的農業設備製造商簽訂了 LTSA，以提供我們新的超級曝光無閃爍高動態範圍圖像傳感器，用於除草的目標噴灑系統。一個由 30 多個 onsemi 圖像傳感器組成的視覺系統，可識別雜草並向噴嘴控制系統發出信號，以精確噴灑適量的除草劑。這種應用可持續地消除了農藥的濫用，可節省超過 75% 的除草劑，並有助於保護環境。

In the industrial end market, our growth is driven by industrial and warehouse automation applications. Our scanning business grew by 70% year-over-year, driven by strong traction of our Image Sensors and industrial and warehouse applications. This growth is driven by expansion and increased automation of warehouse by global e-commerce leaders. Our proprietary global shutter technology, which enables high-speed capture of images and low light performance, coupled with strong technical support are the key drivers of our leadership in this market.

在工業終端市場，我們的增長受到工業和倉庫自動化應用的推動。在我們的圖像傳感器以及工業和倉庫應用的強大牽引力的推動下，我們的掃描業務同比增長了 70%。這種增長是由全球電子商務領導者對倉庫的擴張和提高自動化推動的。我們專有的全局快門技術可實現高速圖像捕捉和弱光性能，再加上強大的技術支持，是我們在該市場領先的關鍵驅動力。

Our transformation journey is well underway, and we are aggressively hiring worldwide to keep up with our growth. Onsemi is driving disruptive innovation and route energy in the semiconductor space. And the work we do matters for our customers, to our employees and for the environment. We play a greater role in the most exciting megatrends that will define our future, such as electric vehicles, autonomous driving, robotics and automation and alternative energy. There is no better time to be part of a growth story like ours, and I invite anyone interested in joining our talented team to apply online.

我們的轉型之旅正在順利進行，我們正在全球範圍內積極招聘以跟上我們的發展步伐。 Onsemi 正在推動半導體領域的顛覆性創新和路線能源。我們所做的工作對我們的客戶、員工和環境都很重要。我們在定義我們未來的最激動人心的大趨勢中發揮著更大的作用，例如電動汽車、自動駕駛、機器人和自動化以及替代能源。現在是參與像我們這樣的成長故事的最佳時機，我邀請任何有興趣加入我們才華橫溢的團隊的人在線申請。

Now I will turn the call over to Thad to provide additional details on our financials and guidance. Thad?

現在，我將把電話轉給 Thad，以提供有關我們財務和指導的更多詳細信息。泰德？

Thanks, Hassane. Another quarter of record results clearly demonstrates our accelerating momentum in the fastest-growing semiconductor market and the progress we have made in our transformation. We are a stronger company today after having focused our strategy, redirected our investments and doubled down on Intelligent Power and Sensing Solutions for the automotive, industrial and cloud power markets.

謝謝，哈桑。另外四分之一的創紀錄業績清楚地表明了我們在增長最快的半導體市場中的加速勢頭以及我們在轉型中取得的進展。在專注於我們的戰略、重新調整我們的投資並在汽車、工業和雲電源市場的智能電源和傳感解決方案上加倍投入之後，我們今天是一家更強大的公司。

We rationalized our product portfolio by exiting price-sensitive products in favor of highly differentiated, Intelligent Power and Sensing Solutions. Our worldwide teams are focused on operational efficiencies to reduce costs while we continue to make progress towards our fab lighter manufacturing strategy with the announced divestitures of 2 subscale fabs.

我們通過退出對價格敏感的產品來合理化我們的產品組合，轉而支持高度差異化的智能電源和傳感解決方案。我們的全球團隊專注於提高運營效率以降低成本，同時我們通過宣布剝離 2 個小規模晶圓廠，繼續朝著我們的晶圓廠打火機製造戰略取得進展。

The structural changes we have implemented over the last 18 months have significantly improved the predictability of our financial results and to position the company to consistently execute in dynamic market conditions.

我們在過去 18 個月中實施的結構性變化顯著提高了我們財務業績的可預測性，並使公司能夠在動態的市場條件下始終如一地執行。

Our disciplined execution resulted in record financial performance for the last 5 consecutive quarters, and we are thrilled that the results of our transformation are being recognized by the financial and business communities.

我們紀律嚴明的執行使過去 5 個季度的財務業績連續創紀錄，我們很高興我們的轉型成果得到了金融和商業界的認可。

In a noteworthy milestone, onsemi has been included in the S&P 500 Index and recognized as a Fortune 500 Company. We could not have achieved these results without the dedication of our worldwide team, and I continue to be impressed with their operational excellence quarter after quarter. To our employees around the world, thank you for your unwavering commitment to ensuring the success of our customers.

在一個值得注意的里程碑中，onsemi 已被納入標準普爾 500 指數並被公認為財富 500 強公司。如果沒有我們全球團隊的奉獻精神，我們不可能取得這些成果，我繼續對他們每個季度的卓越運營印象深刻。感謝我們在世界各地的員工，感謝您堅定不移地致力於確保我們客戶的成功。

We are seeing unprecedented demand for our products driven by accelerating megatrends of vehicle electrification, ADAS, factory automation and energy infrastructure. In silicon carbide alone, we have LTSAs of more than $4 billion for the next 3 years. Our customers value the market-leading performance of our solutions, the breadth of our intelligent power and sensing portfolio and our end-to-end manufacturing capabilities and choose onsemi as a strategic partner to enable their long-term technology roadmaps.

在汽車電氣化、ADAS、工廠自動化和能源基礎設施的大趨勢加速推動下，我們看到了對我們產品的空前需求。僅在碳化矽方面，我們未來 3 年的 LTSA 就超過 40 億美元。我們的客戶看重我們解決方案的市場領先性能、我們廣泛的智能電源和傳感產品組合以及我們的端到端製造能力，並選擇 onsemi 作為戰略合作夥伴，以實現他們的長期技術路線圖。

Our focused markets of automotive and industrial grew by 41% and 34%, respectively, year-over-year to account for 66% of revenue as compared to 59% a year ago. We expect continued strength in the automotive and industrial end markets amidst slowing demand for our noncore businesses, parts of which we are exiting to further achieve our transformation goals.

我們的汽車和工業重點市場分別同比增長 41% 和 34%，佔收入的 66%，而一年前為 59%。在對我們的非核心業務的需求放緩的情況下，我們預計汽車和工業終端市場將繼續走強，我們正在退出部分業務以進一步實現我們的轉型目標。

We're also making progress on our sustainability initiatives. Last quarter, we published our sustainability report in which we reiterated our commitment to achieving net zero by 2040. We recognize the importance in doing our part for the environment as we deliver cutting-edge technologies that enable our customers to create a sustainable future.

我們還在可持續發展計劃方面取得進展。上個季度，我們發布了可持續發展報告，重申了我們到 2040 年實現淨零排放的承諾。我們認識到為環境盡一份力的重要性，因為我們提供尖端技術，使我們的客戶能夠創造可持續的未來。

In 2021, approximately 75% of our revenue was sustainable product revenue. We significantly reduced our water consumption compared to the previous year, and we are already making progress in reducing our greenhouse gas emissions. Our Intelligent Power solutions for electric vehicles, EV charging and energy infrastructure are helping to slow the pace of climate change and our Intelligent Sensing solutions enable automation and efficiencies which in turn reduced energy consumption.

2021 年，我們約 75% 的收入來自可持續產品收入。與上一年相比，我們顯著減少了用水量，並且我們已經在減少溫室氣體排放方面取得了進展。我們用於電動汽車、電動汽車充電和能源基礎設施的智能電源解決方案正在幫助減緩氣候變化的步伐，我們的智能傳感解決方案可實現自動化和效率，從而降低能源消耗。

Turning to results for the second quarter. As I mentioned, Q2 was another quarter of record results. Total revenue was $2.085 billion, an increase of 25% over the second quarter of 2021 and 7% quarter-over-quarter. This increase was driven by strength in our automotive and industrial businesses, which grew 38% year-over-year and 9% quarter-over-quarter. Our Q2 revenue was above the high end of our guidance range as we navigated the China lockdown and recovered the impacted revenue late in the second quarter.

轉向第二季度的結果。正如我所提到的，第二季度是另一個創紀錄的四分之一。總收入為 20.85 億美元，比 2021 年第二季度增長 25%，環比增長 7%。這一增長得益於我們汽車和工業業務的強勁增長，同比增長 38%，環比增長 9%。我們的第二季度收入高於我們指導範圍的高端，因為我們在中國禁閉並在第二季度末恢復了受影響的收入。

Revenue from both Intelligent Power and Intelligent Sensing was at record levels. Intelligent Power grew by 31% year-over-year to 48% of revenue and Intelligent Sensing grew by 39% year-over-year to 18% of revenue. All 3 business units reported record revenue in the second quarter. Revenue for the Power Solutions Group, or PSG, was $1.06 billion, an increase of 25% year-over-year and achieving its first $1 billion quarter. Revenue for the Advanced Solutions Group, or ASG, was $716.7 million, an increase of 18% year-over-year. Revenue for the Intelligent Sensing Group, or ISG, for the quarter was $311.3 million, an increase of 44% year-over-year.

Intelligent Power 和 Intelligent Sensing 的收入均創歷史新高。 Intelligent Power 同比增長 31% 至收入的 48%，Intelligent Sensing 同比增長 39% 至收入的 18%。所有 3 個業務部門都在第二季度報告了創紀錄的收入。電源解決方案集團 (PSG) 的收入為 10.6 億美元，同比增長 25%，並實現了首個 10 億美元的季度。 Advanced Solutions Group (ASG) 的收入為 7.167 億美元，同比增長 18%。本季度智能傳感集團 (ISG) 的收入為 3.113 億美元，同比增長 44%。

GAAP and non-GAAP gross margin for the second quarter was 49.7%. Our non-GAAP gross margin improved 30 basis points quarter-over-quarter, primarily driven by a favorable mix of automotive and industrial markets and despite a proactive slowdown in our wafer starts, which reduced our utilization from 81% in Q1 to 77% in the second quarter.

第二季度的 GAAP 和非 GAAP 毛利率為 49.7%。我們的非美國通用會計準則毛利率環比提高了 30 個基點，這主要得益於汽車和工業市場的有利組合，儘管我們的晶圓開工率主動放緩，這使我們的利用率從第一季度的 81% 降至 77%第二季度。

Six quarters into our transformation, a better control of our operational levers to optimize efficiencies, maximize output and deliver for our customers and our shareholders.

在我們轉型的六個季度後，我們更好地控制了我們的運營槓桿，以優化效率、最大化產出並為我們的客戶和股東提供服務。

GAAP operating margin for the quarter was 28%, and non-GAAP operating margin was a record of 34.5%. GAAP earnings per diluted share for the second quarter was $1.02 as compared to $0.42 in a quarter a year ago. Non-GAAP earnings per diluted share was $1.34 as compared to $0.63 in the second quarter of 2021.

本季度 GAAP 營業利潤率為 28%，非 GAAP 營業利潤率達到創紀錄的 34.5%。第二季度的GAAP每股攤薄收益為1.02美元，而去年同期為0.42美元。非美國通用會計準則每股攤薄收益為 1.34 美元，而 2021 年第二季度為 0.63 美元。

We relaunched our share buyback program and for the first time in over 2 years, repurchased 1.5 million shares or $89.7 million at an average price of $59.76 per share. This represents 44% of our free cash flow for the second quarter, and there is $1.2 billion remaining on our authorized repurchase program.

我們重新啟動了股票回購計劃，並在兩年多來首次以每股 59.76 美元的平均價格回購了 150 萬股或 8970 萬美元。這占我們第二季度自由現金流的 44%，我們的授權回購計劃還剩 12 億美元。

Now let me give you some additional numbers for your models. GAAP operating expenses for the second quarter were $453.1 million as compared to $357.9 million in the second quarter of 2021. Non-GAAP operating expenses were $317.7 million as compared to $314.2 million in the quarter a year ago.

現在讓我為您的模型提供一些額外的數字。第二季度 GAAP 運營費用為 4.531 億美元，而 2021 年第二季度為 3.579 億美元。非 GAAP 運營費用為 3.177 億美元，而去年同期為 3.142 億美元。

Non-GAAP operating expenses increased by $14.9 million sequentially and driven by hiring to support our growth. As I indicated in previous calls, OpEx will continue to trend higher as we bring in additional talent to support our growth. As we guided in the past, our non-GAAP tax rate will increase in 2022 as we have substantially utilized our NOL attributes.

非 GAAP 運營費用環比增加了 1490 萬美元，並受到招聘以支持我們的增長的推動。正如我在之前的電話會議中指出的那樣，隨著我們引入更多人才來支持我們的增長，OpEx 將繼續呈上升趨勢。正如我們過去所指導的那樣，我們的非公認會計原則稅率將在 2022 年增加，因為我們已經充分利用了我們的 NOL 屬性。

For the second quarter, our non-GAAP tax rate increased to 16.3% from 4.6% in the fourth quarter of 2021. This change accounted for $0.18 of EPS dilution in the second quarter and $0.34 year-to-date. Our GAAP diluted share count was 447 million shares, and our non-GAAP diluted share count was 441.6 million shares. Please note that we have an updated reference table on the Investor Relations section of our website to assist you with calculating our diluted share count at various share prices.

第二季度，我們的非公認會計原則稅率從 2021 年第四季度的 4.6% 增加到 16.3%。這一變化導致第二季度每股收益稀釋 0.18 美元和年初至今 0.34 美元。我們的 GAAP 稀釋後股票數量為 4.47 億股，我們的非 GAAP 稀釋後股票數量為 4.416 億股。請注意，我們在我們網站的投資者關係部分有一個更新的參考表，以幫助您計算我們在不同股價下的稀釋後股票數量。

Turning to the Q2 balance sheet. Cash and cash equivalents was $1.79 billion, and we had $1.5 billion undrawn on our revolver. Cash from operations was $420.8 million and free cash flow was $202.7 million and free cash flow on an LTM basis was 17% of revenue.

轉向第二季度的資產負債表。現金和現金等價物為 17.9 億美元，我們的左輪手槍有 15 億美元未動用。運營現金為 4.208 億美元，自由現金流為 2.027 億美元，按 LTM 計算的自由現金流為收入的 17%。

Capital expenditures during the second quarter were $218 million, which equates to a capital intensity of 10.5%. As we indicated previously, we are directing a significant portion of our capital expenditures towards the capacity expansion of silicon carbide and enabling our 300-millimeter capabilities at the East Fishkill fab. We expect to see a higher level of capital intensity in the second half of the year as we continue to invest in equipment and capacity expansion to support our growth.

第二季度的資本支出為 2.18 億美元，相當於 10.5% 的資本密集度。正如我們之前所指出的，我們將很大一部分資本支出用於碳化矽的產能擴張，並在 East Fishkill 工廠實現 300 毫米產能。隨著我們繼續投資於設備和產能擴張以支持我們的增長，我們預計下半年的資本密集度會更高。

Accounts receivable was $1.1 billion, resulting in DSO of 50 days. The sequential increase in AR was due to nonlinear shipments as we recovered revenue late in the quarter from the China lockdown.

應收賬款為 11 億美元，導致 DSO 為 50 天。 AR 的連續增長是由於非線性出貨量，因為我們在本季度末從中國封鎖中恢復了收入。

Inventory increased $67 million sequentially to $1.56 billion, and days of inventory decreased by 3 days to 136 days. We continue to build inventory to support our fab transitions and ramping silicon carbide. Distribution inventory decreased approximately $12 million quarter-over-quarter and remains consistent with Q1 at 7.1 weeks. We continue to maintain distribution inventory at historically low levels to hold more inventory on our balance sheet for our customers' needs rather than building inventory in the supply chain. Total debt was $3.2 billion, and our net leverage remains well under 1%.

庫存環比增加 6700 萬美元至 15.6 億美元，庫存天數減少 3 天至 136 天。我們繼續建立庫存以支持我們的晶圓廠過渡和碳化矽產量的增加。分銷庫存環比減少約 1200 萬美元，與第一季度保持一致，為 7.1 週。我們繼續將分銷庫存維持在歷史低位，以便在我們的資產負債表上持有更多庫存以滿足客戶的需求，而不是在供應鏈中建立庫存。總債務為 32 億美元，我們的淨槓桿率仍遠低於 1%。

Turning to guidance for the third quarter. Demand continues to outpace supply in our targeted automotive and industrial end markets while there are pockets of softness in our noncore markets. Given the uncertainty in the macro environment, we are taking a conservative stance in judging down demand in our guidance for the third quarter. A table detailed in our GAAP and non-GAAP guidance is provided in the press release related to our second quarter results.

轉向第三季度的指導。在我們的目標汽車和工業終端市場，需求繼續超過供應，而我們的非核心市場存在疲軟。鑑於宏觀環境的不確定性，我們在第三季度的指引中對需求下降的判斷持保守立場。與我們第二季度業績相關的新聞稿中提供了我們的 GAAP 和非 GAAP 指南中詳細說明的表格。

Let me now provide you key elements of our non-GAAP guidance for the third quarter. We anticipate revenue will be in the range of $2.07 billion to $2.17 billion. We expect non-GAAP gross margin to remain between 48% to 50%. This includes share-based compensation of $3 million. Although we continue to focus on long-term gross margin expansion and sustainability are rapidly accelerating silicon carbide ramp will be dilutive to gross margins by 100 to 200 basis points over the next several quarters due to the incremental start-up cost as we scale the operation.

現在讓我為您提供我們第三季度非公認會計準則指導的關鍵要素。我們預計收入將在 20.7 億美元至 21.7 億美元之間。我們預計非美國通用會計準則毛利率將保持在 48% 至 50% 之間。這包括 300 萬美元的股份補償。儘管我們繼續專注於長期毛利率擴張和可持續性正在迅速加速碳化矽斜坡將在未來幾個季度將毛利率稀釋 100 至 200 個基點，因為隨著我們擴大運營而增加的啟動成本.

We expect non-GAAP operating expenses of $319 million to $334 million to include share-based compensation of $21 million. We anticipate our non-GAAP OIE will be $24 million to $28 million.

我們預計非 GAAP 運營費用為 3.19 億美元至 3.34 億美元，其中包括 2100 萬美元的股票薪酬。我們預計我們的非公認會計原則 OIE 將在 2400 萬至 2800 萬美元之間。

For the remainder of 2022, we expect our non-GAAP tax rate to be in the range of 15.5% to 16.5% and non-GAAP diluted share count for the third quarter is expected to be approximately 440 million shares. This results in non-GAAP earnings per share to be in the range of $1.25 to $1.37. We expect capital expenditures of $265 million to $295 million in the second quarter as we ramp up our silicon carbide production and invest in 300-millimeter capability.

在 2022 年剩餘時間內，我們預計我們的非 GAAP 稅率將在 15.5% 至 16.5% 之間，第三季度非 GAAP 稀釋後的股票數量預計約為 4.4 億股。這導致非公認會計原則每股收益在 1.25 美元至 1.37 美元之間。隨著我們提高碳化矽產量並投資於 300 毫米產能，我們預計第二季度的資本支出為 2.65 億美元至 2.95 億美元。

In summary, the transformation of the company has enabled us to deliver outstanding financial results and at the same time, reduce the volatility in our financials. With leadership in Intelligent Power and Sensing solutions for the fastest-growing applications in automotive and industrial, we are well positioned to deliver sustained long-term financial performance for our shareholders.

總而言之，公司的轉型使我們能夠提供出色的財務業績，同時減少我們財務的波動性。憑藉在汽車和工業中增長最快的應用的智能電源和傳感解決方案方面的領先地位，我們有能力為我們的股東提供持續的長期財務業績。

With that, I'd like to turn it back over to Liz to open up for Q&A.

有了這個，我想把它交還給 Liz 以進行問答。

(Operator Instructions) Our first question comes from Seymore with Deutsche Bank.

（操作員說明）我們的第一個問題來自德意志銀行的 Seymore。

I guess my first question is on the general macro trends and how you're reacting to them. You talked about a little bit of weakness in your noncore businesses, Hassane. And then Thad, just talked about the utilization actually coming down, sequentially. So how do I, in general, reconcile demand being greater than supply in your core businesses, weakness in your noncore and kind of what does it mean to the ability to backfill on that given your utilization is dropping?

我想我的第一個問題是關於一般宏觀趨勢以及你對它們的反應。你談到了你的非核心業務中的一些弱點，Hassane。然後 Thad，剛才談到了實際使用率下降，依次下降。那麼，總的來說，我如何協調核心業務的需求大於供應、非核心業務的疲軟以及在利用率下降的情況下回填這些業務的能力意味著什麼？

Yes. Look, this is Hassane. Not all capacity is fungible, obviously. So what we're doing is we've been very cautious in our inventory management. You've seen our inventory go down in days. We're focusing our inventory on the strategic inventory in our core business and silicon carbide and fab transition. So that will remain that side of the utilization is full. But as we see the softening in the economic and that said, our cautious outlook on the macro, which is built into our guide, we're taking down -- we're taking measures as part of our resilience of our model that we've been talking about in good and bad times. And these are kind of the things we're focusing on to get through this and come out stronger.

是的。看，這是哈桑。顯然，並非所有容量都是可替代的。所以我們正在做的是我們在庫存管理方面一直非常謹慎。您已經看到我們的庫存在幾天內下降。我們將庫存重點放在核心業務以及碳化矽和晶圓廠過渡的戰略庫存上。因此，那一側的利用率將保持滿。但是，當我們看到經濟疲軟，也就是說，我們對宏觀經濟的謹慎展望，這是我們的指南中所包含的，我們正在採取措施——我們正在採取措施，作為我們模型彈性的一部分，我們一直在談論好的和壞的時候。這些是我們正在關注的事情，以度過難關並變得更強大。

I guess, Thad, one for you on a little more specifically on the gross margin side of things. You talked about a bunch of different moving parts in your third quarter guide and then even over the next few quarters with silicon carbide being a point or two headwind to gross margin. Can you just walk us through the puts and takes? And I believe at one point, you thought you could keep the gross margin relatively flat at this kind of 49-ish level for the next few quarters, even into the first half of next year. Is that still true?

我想，泰德，給你一個更具體的毛利率方面的問題。您在第三季度指南中談到了一堆不同的移動部件，甚至在接下來的幾個季度中，碳化矽對毛利率來說是一兩個不利因素。你能引導我們完成看跌期權嗎？我相信在某一時刻，你認為你可以在接下來的幾個季度，甚至到明年上半年，將毛利率保持在這種 49 左右的水平。這仍然是真的嗎？

Yes. Look, we're in our targeted range of 48% to 50% in our guidance. I noted that they got a headwind of 100 to 200 basis points resulting from silicon carbide. As Hassane mentioned, the silicon carbide is ramping faster than we anticipated even 90 days ago, and that's causing a dilutive impact. Silicon carbide products at scale are at or above the corporate average. So we're comfortable that we'll continue to achieve our goals there is primarily just the lumpiness of bringing capacity on and supporting that growth that gives us a headwind here. But we are still very happy that we can maintain margins at this level within our target range as we ramp silicon carbide.

是的。看，在我們的指導中，我們處於 48% 到 50% 的目標範圍內。我注意到碳化矽對他們造成了 100 到 200 個基點的不利影響。正如 Hassane 所提到的，碳化矽的增長速度甚至超過了我們 90 天前的預期，這造成了稀釋性影響。規模化碳化矽產品達到或高於企業平均水平。因此，我們很高興我們將繼續實現我們的目標，主要只是增加產能和支持這種增長的笨拙，這給我們帶來了逆風。但我們仍然很高興，隨著碳化矽的增加，我們可以將利潤率保持在目標範圍內。

And by the way, bringing utilization down slightly to offset some of the inventories that Hassane talked about as well. So I think, again, that shows the resilience in the model.

順便說一句，稍微降低利用率以抵消哈桑談到的一些庫存。所以我認為，這再次表明了模型的彈性。

Our next question comes from Chris Danely with Citi.

我們的下一個問題來自花旗銀行的 Chris Danely。

Just a follow on Ross' question. So theoretically, when would gross margins bottom for both the silicon carbide and for the overall company?

只是對羅斯的問題的關注。那麼從理論上講，碳化矽和整個公司的毛利率何時會觸底？

Well, look, we think we're -- again, we're in our range, right? We think we're there. There'll be some puts and takes over the next few quarters. We think we'll be able to maintain that range plus or minus. But I would call this kind of the rate at which you should be modeling.

好吧，看，我們認為我們 - 再次，我們在我們的範圍內，對吧？我們認為我們在那裡。接下來的幾個季度會有一些看跌期權和接管。我們認為我們將能夠保持該範圍的正負。但我會稱這種速率為你應該建模的速率。

Okay. And then as a follow-up, you talked about some macro issues in the nonauto and industrial business. Can you just expand on that? And are you guys I guess, predicting that they will get any worse? Or have we seen the worst there? And does this have any impact on the overall pricing for the company?

好的。然後作為後續，您談到了非汽車和工業業務中的一些宏觀問題。你能擴展一下嗎？我猜你們是不是預測他們會變得更糟？還是我們看到了那裡最糟糕的情況？這對公司的整體定價有什麼影響嗎？

Yes. This is Hassane. Look, I don't know about getting better or worse. They're noncore. We've always said a lot of that business are the areas we want to exit. So we're taking utilization down part of our -- that strategy. It's not going to have an impact on margin from a dilutive side, because I've always said, and I've been very firm even on these calls prior, we're not going to chase that pricing down. We are planning on exiting that business. And therefore, you shouldn't expect any dilution on the margin because of it.

是的。這是哈桑。聽著，我不知道會變得更好或更糟。他們是非核心的。我們一直說很多業務是我們想要退出的領域。因此，我們正在降低我們的部分利用率 - 該策略。從稀釋的角度來看，這不會對利潤率產生影響，因為我一直說，即使在之前的這些電話中，我也非常堅定，我們不會降低定價。我們正計劃退出該業務。因此，您不應期望因此而對保證金進行任何稀釋。

Our next question comes from Vivek Arya with Bank of America.

我們的下一個問題來自美國銀行的 Vivek Arya。

I wanted to dig in into your very strong disclosure on the silicon carbide side. If I got it right, I think, Hassane, you mentioned $1 billion for next year. I think in the past, you said $1 billion exiting '23? And then probably more than $2 billion in perhaps '24 and then $4 billion in terms of run rate or pipeline, I forget the exact word you used, and I think that number used to be $2.6 billion. So I'm curious, what has driven the upside to your silicon carbide numbers to this extent? How much of this is auto? How much of this is expanding relationship with existing customers versus new customers? And then I had a follow-up.

我想深入了解您在碳化矽方面的強烈披露。如果我沒記錯的話，我想，哈桑，你提到了明年的 10 億美元。我想過去，你說 23 年退出 10 億美元？然後在 24 年可能超過 20 億美元，然後在運行率或管道方面達到 40 億美元，我忘記了你使用的確切詞，我認為這個數字曾經是 26 億美元。所以我很好奇，是什麼推動了你們的碳化矽數量上漲到這種程度？這有多少是自動的？其中有多少是擴大與現有客戶的關係而不是新客戶？然後我進行了跟進。

Sure. Look, I've always said the strength of our silicon carbide starts with technology. And when I talk about technology, devices and packages, we have differentiated solutions that matter at the end system, meaning it translates into longer battery, longer range, whatever tuning the OEM would like for that specific platform. So that's consistent, that's now proven in the results that we've seen already beyond what we projected, but also in the outlook that we've said. And you're right, the first disclosure that I put is I've always said we're going to double our silicon carbide in '22. I changed that to triple in '22 based on the strength that we're seeing already, even in the second quarter. So we're going to exit 2022 at a higher run rate than we expected. And then we're going to continue that growth in '23, which leads to the updated number that I've given on the $1 billion in '23.

當然。聽著，我一直說我們碳化矽的實力始於技術。當我談到技術、設備和封裝時，我們在終端系統中提供了重要的差異化解決方案，這意味著它可以轉化為更長的電池、更長的續航里程，無論 OEM 想要針對該特定平台進行何種調整。所以這是一致的，現在已經證明了我們已經看到的結果已經超出了我們的預期，而且在我們所說的前景中也得到了證明。你說得對，我首先披露的是我一直說我們將在 22 年將碳化矽翻倍。根據我們已經看到的實力，我在 22 年將其更改為三倍，即使在第二季度也是如此。因此，我們將以比我們預期更高的運行速度退出 2022 年。然後我們將在 23 年繼續這種增長，這導致我在 23 年給出的 10 億美元的最新數字。

Now on the $4 billion, that's a mix of existing customer that started ramping, came back and deployed additional platforms on their LTSAs and some of them extended the LTSA, but also within the quarter, we have extended the LTSAs with new customers and new platforms. So it is broad, it's geographically and it's customer diverse. And some of it includes OEMs directly, and that's the level of strategic partnerships we have had. About 90% of it is automotive.

現在的 40 億美元是現有客戶的混合體，他們開始增加、回來並在他們的 LTSA 上部署了額外的平台，其中一些擴展了 LTSA，而且在本季度內，我們已經通過新客戶和新平台擴展了 LTSA .所以它是廣泛的，它是地理上的，它的客戶是多樣化的。其中一些直接包括原始設備製造商，這就是我們擁有的戰略合作夥伴關係的水平。其中大約 90% 是汽車。

And then you saw me talk about the solar side of it or the renewable energy side, where we've also had LTSAs with the top 7. That's a slower ramp, obviously, than automotive. But nevertheless, that keeps pushing. So 90% of automotive strength and stickiness because of our technology across the board. And of course, we can underestimate the end-to-end capability we have for the supply assurance.

然後你看到我談論它的太陽能方面或可再生能源方面，我們也有前 7 名的 LTSA。顯然，這比汽車要慢。但儘管如此，這仍在推動。因此，90% 的汽車強度和粘性都歸功於我們全面的技術。當然，我們可以低估我們在供應保證方面的端到端能力。

Got it. And for my follow-up, how should we think about the percentage of in-sourcing versus outsourcing of substrates that it will take to achieve your $4 billion target over time? Maybe if you could give us a sense for how much of the substrate requirements are being met internally? And then how do you see that ratio go through time? And what that implies for your capital intensity over time?

知道了。對於我的後續行動，我們應該如何考慮隨著時間的推移實現您的 40 億美元目標所需的基板內包與外包百分比？也許您可以讓我們了解內部滿足了多少基材要求？然後你如何看待這個比例隨著時間的推移？隨著時間的推移，這對您的資本密集度意味著什麼？

Yes. So look, our capital intensity already has a lot of the expansion that we talked about. I've always said we're going to exit this year with a quadrupling of our substrate capacity after the GTAT acquisition. We're on track of doing that. That's going to fuel the growth in the subsequent years. And of course, as we put that capacity online, the percent of internal is going to keep increasing into what we want, which is the majority internal. We're always going to have an external component of it because we don't build capacity for a max peak of a ramp. We build capacity for a steady state. So we're going to use external substrate if we need to flex during a ramp. But other than that, I would expect the majority will be from our internal, and that's already accounted in our CapEx numbers.

是的。所以看，我們的資本密集度已經有了很多我們談到的擴張。我一直說，在收購 GTAT 後，我們將在今年以四倍的基板產能退出。我們正在這樣做。這將推動隨後幾年的增長。當然，當我們把這個容量放到網上時，內部的百分比將不斷增加到我們想要的，這是大多數內部的。我們總是會有一個外部組件，因為我們沒有為斜坡的最大峰值建立容量。我們建立穩定狀態的能力。因此，如果我們需要在斜坡期間彎曲，我們將使用外部基板。但除此之外，我預計大部分將來自我們的內部，這已經計入我們的資本支出數字中。

Our next question comes from Toshiya Hari with Goldman Sachs.

我們的下一個問題來自高盛的 Toshiya Hari。

I've got 2 as well. First on gross margins. I guess a multipart question. Thad, you mentioned that the gross margin headwind from the SIC ramp over the next several quarters to be 1 to 2 percentage points. Curious how the progression of that will look like, meaning should we expect 25 to 50 basis points of headwind every quarter? Or is it more back half loaded? Any sort of shape of that headwind would be helpful. And then how should we think about EFK from an accounting perspective, how much depreciation would hit your P&L? And what are the implications for gross margins in the first half of '23.

我也有2個。首先是毛利率。我猜是一個多部分的問題。 Thad，您提到未來幾個季度 SIC 的毛利率逆風將下降 1 到 2 個百分點。好奇這種情況的進展情況如何，這意味著我們是否應該預計每個季度都會有 25 到 50 個基點的逆風？還是更多的後半部分？任何形式的逆風都會有所幫助。然後我們應該如何從會計的角度考慮 EFK，多少折舊會影響您的損益？以及對 23 年上半年的毛利率有何影響。

Yes. So this is Thad. Let me take those in reverse order. So EFK comes online in 2023. So you're not going to see an impact in Q3 and Q4, obviously. As we bring on the fab, the -- we'll be providing foundry services to GLOBALFOUNDRIES for the next 3 years, which will wind down. As we've said, there is revenue associated with that foundry agreement, which is low margin. You can think about it as being foundry margins in the mid- to high single digits range. You can think about for 2023 is that being a headwind of somewhere around 40 to 70 basis points on a quarterly basis. And that's the impact of that. The rest of it, we feel like we can offset. And obviously, we get the efficiency of a better cost structure as we move more and more products into that fab over time as well.

是的。這就是泰德。讓我把它們倒序排列。所以 EFK 將於 2023 年上線。所以很明顯，你不會在第三季度和第四季度看到影響。隨著我們引進晶圓廠，我們將在未來 3 年為 GLOBALFOUNDRIES 提供代工服務，這將逐漸結束。正如我們所說，與該代工協議相關的收入是低利潤的。您可以將其視為中高個位數範圍內的代工利潤率。您可以認為 2023 年是每季度約 40 至 70 個基點的逆風。這就是它的影響。其餘的，我們覺得我們可以抵消。顯然，隨著時間的推移，我們將越來越多的產品轉移到該晶圓廠，我們也獲得了更好的成本結構的效率。

On the silicon carbide, as I said, 100 to 200 basis points of headwind. It is a little lumpy depending on the revenue and the timing of the equipment. We do believe we can keep the margins in this range of 48% to 50% for the next several quarters. Even with that headwind, you may see it move around a little bit, plus or minus 50 basis points here and there, but we think we can be in that tight range even offsetting those margins. But it doesn't necessarily linear from this point to 200 basis points, it's a little more fluctuation. And like I said, you'll see a little bit of fluctuation on the gross margin line, but we don't think it's material, and we think we can offset it with other efficiencies.

正如我所說，在碳化矽上，有 100 到 200 個基點的逆風。根據收入和設備的時間安排，這有點不穩定。我們確實相信我們可以在接下來的幾個季度將利潤率保持在 48% 到 50% 的範圍內。即使有這種逆風，你也可能會看到它略有波動，上下浮動 50 個基點，但我們認為我們可以在這個狹窄的範圍內，甚至抵消這些利潤。但從這一點到 200 個基點不一定是線性的，波動更大。就像我說的，你會看到毛利率線上有一點波動，但我們認為這並不重要，我們認為我們可以通過其他效率來抵消它。

A quick follow-up, Thad. The 40 to 70 basis point headwind from the EFK, should we expect you to hold the current range on gross margins even with that headwind? Or could that drive another leg down in ['23]?

快速跟進，泰德。來自 EFK 的 40 到 70 個基點的逆風，即使有逆風，我們是否應該期望您保持當前的毛利率範圍？或者這會在 ['23] 中推動另一條腿下來嗎？

No, we believe we can offset it with other gross margin expansion initiatives in our fab lighter strategy. So even though it's a headwind, we feel like we can still maintain our margins in this range.

不，我們相信我們可以通過我們的輕工廠戰略中的其他毛利率擴張計劃來抵消它。因此，即使這是一個逆風，我們覺得我們仍然可以將我們的利潤率保持在這個範圍內。

Okay. Great. And then as my follow-up, just on capital allocation, it was interesting to see you buyback stock in the quarter, just given sort of the CapEx ramp you spoke to in your SIC business going forward. Can you remind us how we should be thinking about the balance between investing in your business versus returning cash to shareholders? And remind us how much cash you'd like to have on your balance sheet steady state?

好的。偉大的。然後作為我的後續行動，就資本配置而言，看到你在本季度回購股票很有趣，只是考慮到你在未來 SIC 業務中談到的資本支出增長。您能否提醒我們，我們應該如何考慮投資您的業務與向股東返還現金之間的平衡？並提醒我們您希望在資產負債表穩定狀態下擁有多少現金？

Yes. Look, I don't think anything really changes with our capital allocation. We continue to invest back in our businesses, R&D, CapEx and obviously investing for our long-term growth. So that's our #1 priority. We've always said we want financial flexibility for M&A if there's some opportunity out there for us on that, that fits our model. And then we would return cash to shareholders through the buyback. We will obviously pace each of those, depending on the requirements. We've got a lot of CapEx requirements over the next several quarters. So we will be very disciplined when it comes to the capital allocation.

是的。聽著，我認為我們的資本配置並沒有真正改變。我們繼續投資於我們的業務、研發、資本支出，顯然是為了我們的長期增長而投資。所以這是我們的第一要務。我們一直說，如果有適合我們模式的機會，我們希望併購具有財務靈活性。然後我們將通過回購將現金返還給股東。我們顯然會根據要求調整其中的每一個。在接下來的幾個季度中，我們有很多資本支出要求。所以我們在資金配置方面會非常自律。

Our next question comes from William Stein with Truist.

我們的下一個問題來自 William Stein 和 Truist。

Thad, I think you said that your CapEx plan includes funding from customers. Can you perhaps detail how much of your CapEx plan includes such advances and how that influences your thinking about spending?

泰德，我想你說過你的資本支出計劃包括來自客戶的資金。您能否詳細說明您的資本支出計劃中有多少包括此類進步以及這如何影響您對支出的看法？

Yes. So our CapEx doesn't change, right? We said we run around 12% for the next few years, and I think we'll still maintain that funding from the customer to offset that, but you don't see that through the CapEx, our CapEx intensity doesn't necessarily change because we still report it that way. We do have customers that are co-investing with us for capital, in some cases, some NREs, things like that to invest in silicon carbide and other capacity that we're bringing online that makes those customers much more sticky and it's a good -- it just improved that relationship with that customer on a strategic basis.

是的。所以我們的資本支出不會改變，對吧？我們說我們在接下來的幾年裡運行大約 12%，我認為我們仍然會維持來自客戶的資金來抵消這一點，但你看不到通過資本支出，我們的資本支出強度不一定會改變，因為我們仍然這樣報導。我們確實有客戶與我們共同投資以獲取資金，在某些情況下，一些 NRE，諸如投資碳化矽和其他產能的東西，我們正在上線，這使這些客戶更具粘性，這是一個很好的 - - 它只是在戰略基礎上改善了與該客戶的關係。

And my follow-up, if I can, relates to the business that you intend to exit. Can you remind us how much of that is left after the current quarter? What's left to exit and maybe the pacing and margin of that, please?

如果可以的話，我的後續行動與您打算退出的業務有關。你能提醒我們本季度之後還剩下多少嗎？請問還有什麼要退出的，也許還有節奏和余量？

Yes, good question. So we've got roughly around -- roughly $600 million left to exit. We've always said that would be market driven. We're pricing that in a position that as capacity comes back on and it's the price sensitive part of our portfolio that we would likely exit it. We haven't been exiting as fast as what we anticipated. Originally, we thought we'd exit about another $300 million in the latter half of this year. We think we're probably going to exit about half of that. So roughly about $150 million between Q3 and Q4. And then that obviously leaves a big slug for us next year as well in 2023. If the market gets softer faster, we could exit that faster. We've always said faster is better for us. We'll rightsize our manufacturing and reallocate that capacity into automotive and industrial. But you can expect roughly kind of even, I think, $75 million a quarter between Q3 and Q4.

是的，好問題。所以我們大約有 - 大約 6 億美元要退出。我們一直說這將是市場驅動的。我們將其定價為隨著產能恢復而定價，這是我們投資組合中價格敏感的部分，我們可能會退出它。我們並沒有像我們預期的那樣快速退出。最初，我們認為我們會在今年下半年再退出大約 3 億美元。我們認為我們可能會退出其中的一半。所以在第三季度和第四季度之間大約有 1.5 億美元。然後這顯然給我們明年以及 2023 年留下了很大的障礙。如果市場變得更快更疲軟，我們可以更快地退出。我們總是說更快對我們更好。我們將調整我們的製造規模，並將產能重新分配到汽車和工業領域。但我認為，第三季度和第四季度之間的一個季度大約是 7500 萬美元。

And the margin on that, can you remind us?

還有那個餘量，你能提醒我們嗎？

Yes. That margin is what we exited last quarter, I think it was about 34% margin. You can think about most of that today is kind of being in the low 40% range. That is the stuff that is highly price sensitive.

是的。這個利潤率是我們上個季度退出的，我認為它大約是 34% 的利潤率。您可以認為今天的大部分內容都處於 40% 的低位範圍內。那是對價格高度敏感的東西。

Our next question comes from Rajvindra Gill with Needham & Company.

我們的下一個問題來自 Needham & Company 的 Rajvindra Gill。

Congrats on navigating through this uncertain environment with really good results. Just Thad, another follow-up on the gross margins. If I add up the EFK headwinds of negative 40 to negative 70 basis points a quarter plus the silicon carbide start-up cost of negative 100 to 200. You're talking about anywhere between negative 140 to negative 210 basis points through gross -- headwinds to gross margins over the next several quarters. Stripping that out would put your gross margins above 50% for the -- on a more normalized basis. So my question number 1 is that's still a significant headwind if you combine the 2, and yet you're kind of still talking about a 48% to 50% range. So specifically, what are the drivers to offset that headwind especially the fact if utilization rates are going to be dropping for some of the noncore business? I'm curious how you're able to offset those kind of several headwinds over the next several quarters?

恭喜您在這個不確定的環境中取得了非常好的結果。 Just Thad，另一個關於毛利率的後續行動。如果我將每季度負 40 到負 70 個基點的 EFK 逆風加起來，加上負 100 到 200 的碳化矽啟動成本。你說的是在總負 140 到負 210 個基點之間的任何地方——逆風未來幾個季度的毛利率。將其剝離將使您的毛利率超過 50% - 在更正常的基礎上。所以我的第 1 個問題是，如果你將 2 結合起來，這仍然是一個很大的阻力，但你仍然在談論 48% 到 50% 的範圍。因此，具體而言，抵消逆風的驅動因素是什麼，尤其是如果某些非核心業務的利用率將下降這一事實？我很好奇你如何能夠在接下來的幾個季度中抵消這些不利因素？

Yes, look, this is Hassane. In the short term, obviously, those are the headwinds that we're offsetting through efficiencies that we have internally. I talked about new products ramping, show new products ramping outside of silicon carbide are accretive to gross margin. So we have a lot of these -- and I always said thousands of line items that we keep working on in order to offset that. And over a longer time, that's going to take itself out with silicon carbide ramping. The dilution effect will get less and less as we ramp into that capacity. And the same thing with EFK, where our foundry business to GLOBALFOUNDRY will be reduced year-over-year at quarter after quarter, which will reduce that headwind. So in the short term, it's operational efficiencies that we are driving and longer term is structural as we grow into it. And while we do that, we're navigating the market like you've seen us do using utilization very carefully to balance between utilization and inventory building.

是的，看，這是哈桑。顯然，在短期內，這些是我們通過內部效率來抵消的不利因素。我談到了新產品的增加，表明碳化矽之外的新產品增加了毛利率。所以我們有很多這樣的 - 我總是說我們繼續努力的數千個訂單項以抵消這一點。在更長的時間裡，這將隨著碳化矽的增加而消失。隨著我們進入該容量，稀釋效應將越來越小。 EFK 也是如此，我們對 GLOBALFOUNDRY 的代工業務將逐季逐年減少，這將減少逆風。因此，在短期內，我們正在推動運營效率，而長期而言，隨著我們的成長，它是結構性的。在我們這樣做的同時，我們正在導航市場，就像您看到的那樣，我們非常謹慎地使用利用率來平衡利用率和庫存建設。

And just for my follow-up, if you look at your auto business, it was $784 million in Q2 versus $556 million in June of last year. Taking out 2021 and 2020, which was during the COVID years, it's still almost 80% above where it was at pre-COVID levels. So $440 million in June of 2019, now you're doing $784 million if you look at it from that perspective. So obviously, the units have not -- units have been kind of declining since 2019. I know the content is very strong. But just wondering how you're able to get this kind of outsized growth even from kind of pre-COVID levels? What's happening with respect to pricing? And how much of that pricing scenario is going to be sustainable as we go into next year?

就我的後續報導而言，如果你看看你的汽車業務，第二季度的銷售額為 7.84 億美元，而去年 6 月為 5.56 億美元。除去 2021 年和 2020 年（即 COVID 年），它仍然比 COVID 之前的水平高出近 80%。所以 2019 年 6 月的 4.4 億美元，如果從這個角度來看，現在你賺了 7.84 億美元。所以很明顯，單位沒有——自 2019 年以來單位一直在下降。我知道內容非常強大。但只是想知道即使從 COVID 之前的水平，您如何能夠獲得這種超大的增長？定價方面發生了什麼？隨著我們進入明年，這種定價方案有多少是可持續的？

Yes, that's a very good question because that's something I look at internally. So from the unit's perspective, you can't really linearize the units because a lot of the things we have been exiting also when we talk about not just the noncore market but also nondifferentiated products. A lot of it is that very, very high volume very, very low ASP business that we have been exiting, which some of it is going into automotive. So from a unit decline, I review that. The only thing I look at that is how to balance the manufacturing into our fab lighter strategy. So that's one thing here. But a lot of the new products that we are shipping are higher ASP but not as much volume. Think about IGBT modules, think about silicon carbide module much higher ASP and much lower volume.

是的，這是一個非常好的問題，因為這是我在內部看到的。所以從單位的角度來看，你不能真正將單位線性化，因為當我們談論的不僅是非核心市場，還有非差異化產品時，我們已經退出了很多東西。其中很多是我們一直在退出的非常非常高銷量非常低的平均售價業務，其中一些正在進入汽車行業。因此，從單位下降的角度來看，我對此進行了回顧。我唯一看到的是如何將製造平衡到我們的晶圓廠打火機戰略中。所以這是一回事。但是我們出貨的許多新產品的平均售價都較高，但銷量卻沒有那麼多。想想 IGBT 模塊，想想碳化矽模塊，ASP 高得多，體積小得多。

The second part of the growth is if you compare the EVs built back into -- if I go back to '18, if you want to do that as the baseline, EV units are much, much higher percent of total units built than they were 3 years ago, even when they were last year. So a lot of that is the content. Then of course, you have the pricing stuff, which I've always said is -- some of it is we're pricing ourselves out of the market, and that's the stuff we're not going to chase down and that's sustainable as far as margin, not sustainable from a price perspective, and that's expected. But the price-to-value discrepancies that we have been doing is sustainable.

增長的第二部分是，如果你比較內置的電動汽車——如果我回到 18 年，如果你想把它作為基線，電動汽車的單位比他們建造的總單位的百分比要高得多3年前，即使是去年。所以很多都是內容。然後當然，你有定價的東西，我一直說 - 其中一些是我們將自己定價出市場，這是我們不會追逐的東西，這是可持續的作為利潤，從價格的角度來看是不可持續的，這是意料之中的。但我們一直在做的價格與價值的差異是可持續的。

And the way I monitor that is, one, the LTSAs that customers are signing, which includes volume and price over the length of the LTSA. And even on my prepared remarks, I talked about customers coming in and wanting to extend those LTSAs beyond the original time line that they had. And LTSA is not about image sensor or silicon carbide or highly constrained, it's some of them have 200 parts from onsemi. So customers are valuing the whole portfolio. They're valuing where we are economically even with the price-to-value discrepancies because we started way below market and that is sustainable, one from the LTSA side; and two, I know kind of a feel of where we are versus the market, and we're not an outlier.

我監控的方式之一是客戶簽署的 LTSA，其中包括 LTSA 期間的數量和價格。甚至在我準備好的評論中，我談到了進來的客戶並希望將這些 LTSA 延長到他們原來的時間線之外。而且 LTSA 不是關於圖像傳感器或碳化矽或高度受限的，它是其中一些有來自 onsemi 的 200 個零件。因此，客戶正在重視整個產品組合。即使價格與價值之間存在差異，他們仍在評估我們在經濟上所處的位置，因為我們開始時遠低於市場，這是可持續的，來自 LTSA 方面；第二，我知道我們與市場的對比，我們不是異常值。

Our next question comes from Gary Mobley with Wells Fargo.

我們的下一個問題來自富國銀行的 Gary Mobley。

I believe that would be me Gary Mobley, Wells Fargo Securities. I apologize if otherwise. But I had a multi-part question on silicon carbide. And so I'm wondering what your view is on silicon carbide contribution to gross margin over the long term. Will it be at corporate gross margin when that business is $1 billion plus next year? And with respect to silicon carbide materials capacity or supply, I believe there's a constrained situation in that market today. And so I'm wondering if that's contemplated as well into your fiscal year '23 outlook?

我相信那會是我 Gary Mobley，Wells Fargo Securities。如果不是這樣，我很抱歉。但我有一個關於碳化矽的多部分問題。因此，我想知道您對碳化矽對長期毛利率的貢獻有何看法。當該業務明年超過 10 億美元時，它會達到公司毛利率嗎？關於碳化矽材料的產能或供應，我相信今天該市場存在受限情況。因此，我想知道您的 23 財年展望是否也考慮到了這一點？

Yes. The silicon carbide, as we've said, is at or above the corporate average gross margin at scale. We believe for the next several quarters, we're going to have the headwinds of 100 to 200 basis points. But I think if you think about late next year, we will -- that headwind should be behind us, and we will be achieving those gross margin targets at that time.

是的。正如我們所說，碳化矽在規模上等於或高於公司平均毛利率。我們相信，在接下來的幾個季度中，我們將面臨 100 到 200 個基點的阻力。但我認為，如果你考慮到明年年底，我們將——逆風應該已經過去，屆時我們將實現這些毛利率目標。

Yes. From -- look, from a supply demand perspective, it's hard to make silicon carbide and it sures hack harder to scale it at the pace we are scaling it. Based on the acceleration of the EV penetration into total vehicles made, we do see, and I think that comment is supported by some of the industry analysts out there silicon carbide is going to remain constrained in the foreseeable future. And that's why our focus is on investing heavily into that capacity, ramping that capacity as hard as we can and supporting our LTSA customers and that's the reason we -- you've seen an increase in LTSA customers that are signing up with committed revenue because they want to get that capacity, they want to have us invest in that capacity so we are there when they need to ramp versus them having to scramble. The last thing they want is announce EV aspirations and not have the main event that drives the car. So we're working with our customers to support their EV ramps. And we do that through LTSAs, and we do that through heavy investments in order to increase the pace. That's what we need.

是的。從 - 看，從供應需求的角度來看，製造碳化矽很困難，而且它肯定更難以我們正在擴展的速度擴展它。基於電動汽車在所有汽車中的滲透加速，我們確實看到了，我認為這一評論得到了一些行業分析師的支持，在可預見的未來，碳化矽將繼續受到限制。這就是為什麼我們的重點是大力投資於該容量，盡可能地提高該容量並支持我們的 LTSA 客戶，這就是為什麼我們 - 你已經看到簽約承諾收入的 LTSA 客戶有所增加，因為他們想要獲得這種能力，他們想讓我們投資於這種能力，所以當他們需要增加而不是他們不得不爭搶時，我們就在那裡。他們想要的最後一件事是宣布電動汽車的願望，而不是駕駛汽車的主要活動。因此，我們正在與我們的客戶合作，以支持他們的電動汽車坡道。我們通過 LTSA 做到這一點，我們通過大量投資來加快步伐。這就是我們需要的。

As my follow-up, I wanted to ask. About what's embedded in your third quarter guidance with respect to some of the end markets that may be showing some softness? In particular, I'm curious to know what your exposure is currently between consumer PCs and smartphones. Can you remind us of that?

作為我的後續行動，我想問。關於一些可能表現出疲軟的終端市場，您在第三季度的指導中包含了什麼內容？特別是，我很想知道您目前在消費類 PC 和智能手機之間的曝光率。你能提醒我們一下嗎？

Yes. Look, when we think about the guidance going forward, we believe that auto and industrial continue to be supply constrained. So we believe that auto is up more than our guidance. We think that industrial is flat to up, and we think the other markets are potentially down, and that's the conservative in our guide there. We don't break out between those various markets. They're not strategic to us. And again, part of where we're seeing the softness is the noncore business that we're hoping to exit. So if that does get softer faster, that could allow us to exit even quicker.

是的。看，當我們考慮未來的指導時，我們認為汽車和工業繼續受到供應限制。因此，我們認為汽車的漲幅超過了我們的指導。我們認為工業股持平到上漲，我們認為其他市場可能下跌，這是我們指南中的保守派。我們不會在這些不同的市場之間爆發。它們對我們沒有戰略意義。同樣，我們看到疲軟的部分原因是我們希望退出的非核心業務。因此，如果它確實變得更快，那可以讓我們更快地退出。

Our next question comes from Joseph Moore with Morgan Stanley.

我們的下一個問題來自摩根士丹利的約瑟夫摩爾。

Staying with the silicon carbide topic, as I add up kind of the numbers you're talking about and I look at the numbers that your top 4 or 5 competitors are talking about, we're getting to numbers that are much larger than kind of the third-party estimates for silicon carbide. So I assume that the market is growing faster than the third-party success, but I would have thought we were constrained by battery capacity and just kind of the general EV and battery power capability of your customers. So do you think the market is expanding that much more rapidly versus on success within the market? And do you think some people might be overly optimistic about where -- how big this could be?

停留在碳化矽話題上，當我把你所說的數字加起來，我看看你的前 4 或 5 個競爭對手正在談論的數字時，我們得到的數字遠大於第三方對碳化矽的估計。所以我認為市場的增長速度超過了第三方的成功，但我原以為我們會受到電池容量以及客戶一般電動汽車和電池供電能力的限制。那麼，您認為與市場內的成功相比，市場的擴張速度要快得多嗎？您是否認為有些人可能對在哪裡過於樂觀——這可能有多大？

Yes. Look, one thing history have taught me is external reports are accurate backwards looking, not so much forward-looking. The numbers I'm putting together, and I'm sure some of my peers do that. Our bottom -- for us, I can speak specifically, their bottoms-up number. They are numbers that are under long-term supply agreements. And remember, we always talked about those are committed revenue. It's not -- I don't talk about funnel. I don't talk about projections of what conversion is going to be. These are long-term supply agreement. Contractual documents between us and the customer, stating by year and some of them by quarter about what the rent profile and we have identified vehicle platforms that we're working on with the customer where that silicon carbide is going to go into. So from the onsemi side, I can speak very comfortably about the ramp that we are seeing because that's what we're working on.

是的。看，歷史告訴我的一件事是外部報告是準確的向後看，而不是前瞻性。我正在匯總的數字，我相信我的一些同齡人會這樣做。我們的底線——對我們來說，我可以具體說一下，他們的底線數字。它們是長期供應協議下的數字。請記住，我們總是談論那些承諾的收入。不是——我不談論漏斗。我不談論轉換將是什麼的預測。這些是長期供應協議。我們與客戶之間的合同文件，按年份和其中一些按季度說明租金概況，我們已經確定了我們正在與客戶合作開發碳化矽的車輛平台。因此，從半邊天的角度來看，我可以非常輕鬆地談論我們所看到的坡道，因為這就是我們正在努力的方向。

Now from what derisks the ramp and the market in general is the geographical and the customer/ platform diversity that we have engaged in, where if there is one model that doesn't ramp the way they expect, there will be another model that will ramp faster than they expect. Because for us, the LTSA especially the ones with an OEM are at an OEM level, not necessarily at a model level. So that's how we balance the risk. A lot of the strategics that we are working with, we always look at overall capacity from a battery perspective because that will be kind of the secondary bottleneck. A lot of these OEMs have committed battery capacity and they've made their own disclosures, so I won't comment on that.

現在，從總體上對坡道和市場不利的是我們參與的地理和客戶/平台多樣性，如果有一個模型沒有按照他們期望的方式坡道，那麼將會有另一種模型坡道比他們預期的要快。因為對我們來說，LTSA，尤其是那些有 OEM 的，處於 OEM 級別，不一定是模型級別。這就是我們平衡風險的方式。我們正在使用的許多戰略，我們總是從電池的角度來看待整體容量，因為這將成為次要瓶頸。許多這些原始設備製造商已經承諾了電池容量，並且他們已經做出了自己的披露，所以我不會對此發表評論。

So from a ramp perspective, it is ahead of where we even thought there is an acceleration of silicon carbide that we have seen in our current revenue and have seen outlined in our projection with the long-term supply agreements, but we are ready for it and our customers have everything else they need to ramp up that volume.

因此，從斜坡的角度來看，它甚至超過了我們認為碳化矽在我們當前收入中看到的加速增長的地方，並且在我們的長期供應協議的預測中也看到了這一點，但我們已經做好了準備我們的客戶擁有增加銷量所需的一切。

Great. And just a quick follow-up, kind of more of a housekeeping thing. The -- is the treatment of the start-up expense in silicon carbide sort of similar GAAP versus non-GAAP or are there any big differences we should be aware of?

偉大的。只是快速跟進，更像是家務。 - 碳化矽啟動費用的處理方式是否類似於 GAAP 與非 GAAP 或我們應該注意的任何重大差異？

All of our startup costs are in our non-GAAP results. So we don't exclude anything. That's the headwinds.

我們所有的啟動成本都在我們的非公認會計原則結果中。所以我們不排除任何東西。這就是逆風。

Our next question comes from the line of Harsh Kumar with Piper Sandler.

我們的下一個問題來自與 Piper Sandler 的 Harsh Kumar。

I had a quick one. When I talk to investors that are negative or bearish on the stocks, they often bring up the fact that you guys might have been involved in raising prices a lot more aggressively than some of your other competitors. I was curious, Hassane, if you could walk me through how things work in real life in the business. Is that even possible that you are super aggressive in raising prices and maintain business with our customers? Or do you risk losing business? I was just curious if you can give me puts and takes on that angle. And then I've got a quick follow-up.

我有一個快速的。當我與對股票持負面或看跌的投資者交談時，他們經常提出這樣一個事實，即你們可能比其他一些競爭對手更積極地參與了提價。我很好奇，Hassane，如果你能告訴我現實生活中的事情是如何運作的。您是否有可能非常積極地提高價格並與我們的客戶保持業務往來？還是您有失去生意的風險？我只是好奇你能不能給我看這個角度。然後我有一個快速跟進。

Yes. Look, I'll give you -- I've been very straightforward about this. There's 2 components of this. I'll talk with the easiest one first. We've always been very straightforward and direct about the fact that in noncore business that we plan to exit, we price ourselves out of the market. That's one way to exit that business is by pricing yourself out of the market. So that I would say, if that's where you're hearing it from, that would be true. And there is -- it's not a risk of losing business. It's the intent of losing the business, and we've had that intent, and we even disclosed it in our prepared remarks of how much we lost and how much we intend on losing. So that's one side of it.

是的。聽著，我給你——我對此非常直截了當。這有2個組成部分。我先講最簡單的。對於我們計劃退出的非核心業務，我們將自己定價退出市場這一事實一直非常直接和直接。退出該業務的一種方法是將自己定價退出市場。所以我想說，如果你從那裡聽到它，那將是真的。還有——這不是失去業務的風險。這是失去業務的意圖，我們有這個意圖，我們甚至在我們準備好的評論中披露了我們損失了多少以及我們打算損失多少。這是一方面。

The other side, which is more on the value strategic, as I talk about the price-to-value discrepancy, I don't think there's a risk of losing that business, especially with the fact that a lot of these products the value products that we supply to our customers. After the price actions that we've taken, we still remain committed to them, and we have them under LTSAs with our customers. That tells you that our pricing is not out of line. Otherwise, why would the customer want to sign up for it, one. And two, why would they want to come back and extend that?

另一方面，更多的是價值戰略，當我談到價格與價值之間的差異時，我認為沒有失去該業務的風險，特別是考慮到很多這些產品都是價值產品我們提供給我們的客戶。在我們採取了價格行動之後，我們仍然致力於它們，並且我們將它們與我們的客戶簽訂 LTSAs。這告訴您我們的定價並沒有超出預期。否則，客戶為什麼要註冊它，一。第二，他們為什麼要回來擴展它？

Now relative and it's all relative, maybe the percent that you hear that we've raised higher may be higher than as a percent than some of our peers have done. I don't know what they've done. I don't know what talk is in the market, but you also have to remember where we started from. In a lot of areas, and I have that data that we're acting on, we have been pricing way below market. So getting it back to market, maybe a bigger percent, but it doesn't mean that you're above market and the data and the commitments from our customers prove that from an external view.

現在是相對的，這都是相對的，也許你聽到的我們籌集的百分比可能比我們的一些同行所做的要高。我不知道他們做了什麼。我不知道市場上的談話是什麼，但你也必須記住我們從哪裡開始。在很多領域，我有我們正在採取行動的數據，我們的定價遠低於市場。因此，將其重新推向市場，可能會有更大的百分比，但這並不意味著您超越了市場，我們客戶的數據和承諾從外部角度證明了這一點。

That was very helpful. And then as a follow-up real quickly, there's a lot of chatter, a lot of talk, not from you guys, but from everywhere else about a Tesla contract possibly. Are you willing to talk about that at all? And is that a part of the $1 billion 2023 goal? That's another question we get from investors a lot.

這很有幫助。然後作為一個真正的後續行動，有很多喋喋不休，很多談話，不是來自你們，而是來自其他地方，可能是關於特斯拉的合同。你願意談論這個嗎？這是 2023 年 10 億美元目標的一部分嗎？這是我們從投資者那裡得到的另一個問題。

Look, I will maintain my policy of not commenting on specific customer engagement or customer ramps. So I'll leave it at that.

聽著，我將保持不評論特定客戶參與度或客戶數量的政策。所以我就這樣吧。

Fair enough. Thank you, Hassane. Congrats, guys. Thanks.

很公平。謝謝你，哈桑。恭喜，伙計們。謝謝。

Our next question comes from Matt Ramsay with Cowen.

我們的下一個問題來自 Matt Ramsay 和 Cowen。

I wanted to ask on the silicon carbide business. As you get to sort of this $1 billion in scale and continue to scale beyond that, Hassane, you mentioned that this is going to be sort of a historically quick volume ramp of a new technology that's no doubt complicated to get to yield and to scale. So what I would like to understand a little bit more about how your agreements with your customers. Obviously, if there's upside to your ability to scale yields and volumes then great, you'll be able to fulfill all that. But is there any sort of, I don't know what the right term would be, risk sharing in some of these agreements in case the yields maybe don't come through as you guys planned? It's great that you're winning all this business. I'm just trying to figure out how you might risk mitigate some of the volume ramps and the yield ramps as this technology scale.

我想問一下碳化矽業務。當你達到這個 10 億美元的規模並繼續擴大規模時，哈桑，你提到這將是一項歷史性的快速增長的新技術，毫無疑問，要獲得收益和擴展規模很複雜.因此，我想更多地了解您與客戶的協議。顯然，如果您擴大產量和數量的能力有很大的優勢，那麼您將能夠實現所有這些。但是有沒有什麼，我不知道正確的術語是什麼，在其中一些協議中分擔風險，以防收益可能沒有按照你們的計劃實現？很高興你贏得了所有這些業務。我只是想弄清楚隨著這種技術規模的擴大，你可能會如何冒險緩解一些數量的增長和產量的增長。

Let me put it this way. We have enough data, and we've been in this business for long enough to have a very solid baseline and a very solid learning, call it, slope. Whether it's yield, whether it's growth, whether it's ramp, et cetera, I'm very, very comfortable with our commitments to our customers. With, I would say, the way we look at it is equal upside, downside. I'm not concerned about that. My main focus is not on the technology and what the technology is outputting, right now, it is having -- putting the equipment in place, ramping that equipment, and we've done a great job at that so far, and we're going to continue to do that. But the biggest thing for us is ramping the baseline that we've already established. We have a great product and very good yield that is going -- that has been and already is in production.

讓我這樣說吧。我們有足夠的數據，並且我們從事這項業務的時間已經足夠長，以擁有非常可靠的基線和非常可靠的學習，稱之為斜率。無論是產量、增長、斜坡等等，我對我們對客戶的承諾都非常非常滿意。我想說的是，我們看待它的方式是相同的上行和下行。我對此並不擔心。我的主要關注點不是技術和技術輸出的東西，現在，它正在擁有——安裝設備，增加設備，到目前為止，我們在這方面做得很好，我們正在將繼續這樣做。但對我們來說最重要的是提高我們已經建立的基線。我們有一個偉大的產品和非常好的產量——已經並且已經在生產中。

That's great to hear. I think from my conversations anyway, I think that's the sort of the last hurdle to get investors across is just the confidence in those metrics.

聽到這個消息我很高興。無論如何，我認為從我的談話來看，我認為讓投資者跨過的最後一個障礙就是對這些指標的信心。

Yes. I'm not worried about the metrics. I personally review those metrics. I'm a technology person other than a CEO, and we have a solid outlook with the solid financials that said projected.

是的。我不擔心指標。我親自審查了這些指標。我是一名技術人員，而不是首席執行官，我們對預期的穩健財務狀況有著穩健的前景。

A quick follow-up for that. I got a couple of questions this morning on the receivables and DSO lines jumping up a bit in the quarter, if you had any context there. I'd appreciate it.

對此進行快速跟進。今天早上我收到了幾個關於應收賬款和 DSO 線在本季度有所上升的問題，如果你有任何背景的話。我會很感激的。

Yes, absolutely. As I mentioned in the prepared remarks, we recovered the -- from the China lockdown. So if you look at our revenue for the quarter, it wasn't linear because of that. So it was very back-end loaded which caused AR to go up and DSO to go up. But it's temporary just as it takes time to collect that cash. But natural in terms of -- if you look at the slope of linearity throughout the quarter being back-end loaded. Don't expect that to continue now that we fully recovered that revenue and from the China lockdowns, and we're not seeing any impact going forward, knock on wood here. But that's the reason. It's purely temporary.

是的，一點沒錯。正如我在準備好的評論中提到的，我們從中國的封鎖中恢復了。因此，如果您查看我們本季度的收入，因此它不是線性的。所以後端負載很大，導致 AR 上升，DSO 上升。但這只是暫時的，因為收集現金需要時間。但就後端加載而言，如果您查看整個季度的線性斜率，則很自然。不要指望這種情況會繼續下去，因為我們已經完全恢復了收入和中國的封鎖，而且我們沒有看到任何未來的影響，在這裡敲木頭。但這就是原因。這純粹是暫時的。

Congrats on all the progress.

祝賀所有進展。

That concludes today's question-and-answer session. I'd like to turn the call back to Hassane El-Khoury, President and CEO, for closing remarks.

今天的問答環節到此結束。我想將電話轉回給總裁兼首席執行官 Hassane El-Khoury，以致閉幕詞。

Thank you all for joining us today. We delivered outstanding results in the second quarter, and I again want to thank our worldwide team for their commitment to excellence as we execute to our strategy. While we have exceeded our expectations, we are nowhere near the full potential of onsemi. With accelerating growth in our silicon carbide (inaudible) fastest growing mega trends, we are on a path to deliver sustained above-market revenue and earnings growth. We look forward to seeing you at various investor events during the quarter. Thank you.

感謝大家今天加入我們。我們在第二季度取得了出色的業績，我再次感謝我們的全球團隊在我們執行戰略時對卓越的承諾。雖然我們已經超出了我們的預期，但我們離 Onsemi 的全部潛力還差得很遠。隨著我們碳化矽（聽不清）增長最快的大趨勢的加速增長，我們正在實現持續高於市場的收入和盈利增長。我們期待在本季度的各種投資者活動中見到您。謝謝你。

This concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。