Impinj Inc (PI) 2022 Q4 法說會逐字稿

Welcome to the Impinj Fourth Quarter and Full Year 2022 Earnings Conference Call and Webcast. (Operator Instructions) Please note this event is being recorded.

歡迎來到 Impinj 2022 年第四季度和全年收益電話會議和網絡直播。 （操作員說明）請注意正在記錄此事件。

I would now like to turn the conference over to Mr. Andy Cobb, Vice President, Strategic Finance. Please go ahead.

現在，我想將會議轉交給戰略財務副總裁安迪·科布 (Andy Cobb) 先生。請繼續。

Thank you, MJ. Good afternoon, and thank you all for joining us to discuss Impinj's fourth quarter and full year 2022 results. On today's call, Chris Diorio, Impinj's Co-Founder and CEO, will provide a brief overview of our market opportunity and performance. Cary Baker, Impinj's CFO, will follow with a detailed review of our fourth quarter and full year 2022 financial results and first quarter 2023 outlook. We will then open the call for questions. Jeff Dossett, Impinj's CRO, will join us for the Q&A. You can find management's prepared remarks, plus trended financial data, on the Investor Relations section of the company's website.

謝謝你，喬丹。下午好，感謝大家加入我們討論 Impinj 的第四季度和 2022 年全年業績。在今天的電話會議上，Impinj 的聯合創始人兼首席執行官 Chris Diorio 將簡要概述我們的市場機會和業績。 Impinj 的首席財務官 Cary Baker 隨後將詳細審查我們第四季度和 2022 年全年的財務業績以及 2023 年第一季度的展望。然後我們將打開問題電話。 Impinj 的 CRO Jeff Dossett 將加入我們的問答環節。您可以在公司網站的投資者關係部分找到管理層準備好的評論以及趨勢財務數據。

We will make statements in this call about financial performance and future expectations that are based on our outlook as of today. Any such statements are forward-looking under the Private Securities Litigation Reform Act of 1995. While we believe we have a reasonable basis for making these forward-looking statements, our actual results could differ materially because any such statements are subject to risks and uncertainties. While we describe these risks and uncertainties in the annual and quarterly reports we file with the SEC, we do not undertake, and expressly disclaim, any obligation to update or alter our forward-looking statements except as required by law.

我們將在本次電話會議中根據我們今天的展望發表有關財務業績和未來預期的聲明。根據 1995 年《私人證券訴訟改革法案》，任何此類陳述都是前瞻性的。雖然我們認為我們有合理的基礎來做出這些前瞻性陳述，但我們的實際結果可能會出現重大差異，因為任何此類陳述都存在風險和不確定性。雖然我們在向美國證券交易委員會提交的年度和季度報告中描述了這些風險和不確定性，但我們不承擔並明確否認任何更新或更改我們的前瞻性陳述的義務，除非法律要求。

On today's call, all financial metrics except for revenue, or where we explicitly state otherwise, are non-GAAP. Balance sheet and cash flow metrics are GAAP. Please refer to our earnings release for a reconciliation of non-GAAP financial metrics to the most comparable GAAP metrics. Before turning to our results and outlook, note that we will participate in Susquehanna's 12th Annual Technology Conference on March 2 in New York and the 35th Annual Roth Conference on March 13 in Dana Point. Also, we will host an Investor Day on June 13 in Seattle. Please save the date. We look forward to connecting with many of you at those events.

在今天的電話會議上，除收入之外的所有財務指標，或者我們明確聲明的其他指標，都是非 GAAP。資產負債表和現金流量指標是公認會計原則。請參閱我們的收益發布，了解非 GAAP 財務指標與最具可比性的 GAAP 指標的對賬情況。在轉向我們的結果和展望之前，請注意我們將參加 3 月 2 日在紐約舉行的 Susquehanna 第 12 屆年度技術會議和 3 月 13 日在 Dana Point 舉行的第 35 屆 Roth 年度會議。此外，我們將於 6 月 13 日在西雅圖舉辦投資者日活動。請保存日期。我們期待在這些活動中與你們中的許多人建立聯繫。

I will now turn the call over to Chris.

我現在將電話轉給克里斯。

Thank you, Andy, and thank you all for joining the call. Fourth quarter 2022 capped a very strong year for Impinj. We delivered record revenue in both the fourth quarter and for the full year. We delivered sequential double-digit revenue growth in second, third and fourth quarters. We delivered record adjusted EBITDA in the third and fourth quarters. We delivered our 75 billionth endpoint IC, another milestone on our journey to connect every item in our everyday world. And we have record backlog entering 2023. Our strong support for, and shipments to, enterprise end users drove those results, despite persistent wafer and component shortfalls.

謝謝安迪，感謝大家加入電話會議。 2022 年第四季度對 Impinj 來說是非常強勁的一年。我們在第四季度和全年都實現了創紀錄的收入。我們在第二、第三和第四季度實現了連續兩位數的收入增長。我們在第三和第四季度實現了創紀錄的調整後 EBITDA。我們交付了第 750 億個端點 IC，這是我們連接日常生活中每件物品的旅程中的又一個里程碑。進入 2023 年，我們的積壓量創下歷史新高。儘管晶圓和組件持續短缺，但我們對企業最終用戶的大力支持和出貨量推動了這些結果。

As we look into 2023, we see significant end-user opportunities for our platform, and we expect those opportunities to pay further dividends in the form of continued strong endpoint IC volume growth. Starting with endpoint ICs, 2022 demand held strong, with program expansions and new programs more than offsetting retail inventory headwinds. Fourth quarter endpoint IC revenue exceeded our expectations, setting a record for the fifth consecutive quarter. We anticipate significant endpoint IC volume growth in 2023, despite macroeconomic crosscurrents and retailers' ongoing inventory reductions. The bulk of that growth is rooted in our platform focus on supply chain and logistics package tracking as well as retail self-checkout and loss prevention.

當我們展望 2023 年時，我們看到了我們平台的重要終端用戶機會，我們預計這些機會將以持續強勁的端點 IC 銷量增長的形式帶來進一步的回報。從端點 IC 開始，2022 年的需求保持強勁，計劃擴展和新計劃不僅抵消了零售庫存逆風。第四季度端點 IC 收入超出我們的預期，連續第五個季度創下紀錄。儘管宏觀經濟逆流和零售商持續減少庫存，但我們預計 2023 年端點 IC 銷量將顯著增長。大部分增長源於我們專注於供應鍊和物流包裹跟踪以及零售自助結賬和防損的平台。

On the wafer front, we are seeing improved supply. As anticipated, our inlay partners layered on additional bookings as our wafer visibility improved, creating record year-end backlog. With that improved supply, we can and will ramp shipments into that strong demand. That said, our shipment volumes will remain constrained at least into second half 2023 due to wafer delivery timing and teething issues as we ramp our expanded 300-millimeter post-processing to volume production.

在晶圓方面，我們看到供應有所改善。正如預期的那樣，隨著我們晶圓可見度的提高，我們的嵌體合作夥伴進行了額外的預訂，創造了創紀錄的年終積壓。隨著供應的改善，我們可以而且將會增加出貨量以滿足強勁的需求。也就是說，由於晶圓交付時間和初期問題，我們的出貨量至少到 2023 年下半年仍將受到限制，因為我們將擴大後的 300 毫米後處理工藝推向量產。

Turning now to systems. Fourth quarter reader and gateway revenue exceeded our expectations, led by deliveries to the visionary European retailer's self-checkout and loss-prevention deployment and despite component shortfalls constraining shipments. Looking forward, although we anticipate less schedule and cost variability as component shortfalls abate, a few components remain stubbornly tight, and we do not expect supply to normalize until second half 2023. Like for the fourth quarter, we entered first quarter with significant reader backlog.

現在轉向系統。第四季度閱讀器和網關收入超出了我們的預期，儘管組件短缺限制了出貨量，但由於向這家富有遠見的歐洲零售商的自助結賬和防損部署的交付量領先。展望未來，儘管我們預計隨著組件短缺的減少，時間表和成本的可變性會減少，但一些組件仍然非常緊張，我們預計供應要到 2023 年下半年才能正常化。與第四季度一樣，我們進入第一季度時有大量讀者積壓.

Reader IC revenue set a record for the third consecutive quarter, driven by Impinj E-family strength as our partners built products ahead of their product launches. Looking into first quarter, we expect lower E-family volumes as those partners follow the typical product cadence seeding the market, followed by subsequent strength as they ramp production volumes. We expect first quarter strength in our Indy reader ICs to more than offset the E-family decline. Looking further into 2023, we expect our E-family to significantly outpace and rapidly replace our Indy family.

閱讀器 IC 收入連續第三個季度創下歷史新高，這得益於 Impinj E 系列的實力，因為我們的合作夥伴在產品發布之前就構建了產品。展望第一季度，我們預計 E 系列產品的銷量會下降，因為這些合作夥伴會遵循典型的產品節奏播種市場，隨後隨著產量的增加而走強。我們預計第一季度 Indy 閱讀器 IC 的強勁表現將抵消 E 系列的下滑。展望 2023 年，我們預計我們的 E 系列將大大超過並迅速取代我們的 Indy 系列。

On the product front, in November we announced the Impinj M780 and M781, our latest 300-millimeter endpoint ICs. They expand our M700 product line with extended product identifiers and significant user memory. We also introduced our patent-pending Impinj Core3D Antenna reference design portfolio that enables omnidirectional reading for all M700 ICs, improving item readability.

在產品方面，我們在 11 月發布了 Impinj M780 和 M781，這是我們最新的 300 毫米端點 IC。它們通過擴展的產品標識符和重要的用戶記憶擴展了我們的 M700 產品線。我們還推出了我們正在申請專利的 Impinj Core3D 天線參考設計產品組合，可實現所有 M700 IC 的全向讀取，從而提高項目可讀性。

On the project front, the visionary European retailer continued deploying, contributing strong fourth quarter gateway revenue. We expect this project to deliver strong first quarter revenue then step down as this deployment phase approaches completion. We anticipate future self-checkout and loss prevention opportunities with this retailer at other brands and in new geographies. The Asia-based global retailer's self-checkout deployment also generated meaningful fourth quarter revenue. And in supply chain and logistics, we continue to expect the second large North American end user to both continue their system deployment and drive large endpoint IC volumes in 2023 and beyond.

在項目方面，這家富有遠見的歐洲零售商繼續部署，貢獻了強勁的第四季度網關收入。我們預計該項目將在第一季度帶來強勁的收入，然後隨著該部署階段接近完成而退出。我們期待未來在其他品牌和新地區與這家零售商合作的自助結賬和防損機會。這家總部位於亞洲的全球零售商的自助結賬部署也產生了可觀的第四季度收入。在供應鍊和物流方面，我們繼續預計北美第二大最終用戶將在 2023 年及以後繼續他們的系統部署並推動大型端點 IC 產量。

Turning to our organization, I would like to start by welcoming Cathal Phelan as our Chief Innovation Officer. Cathal will focus on long-term innovation and intellectual property strategy as well as remain on our Board of Directors. Welcome, Cathal. It's a pleasure to have you on our executive team. In December, we published our second Corporate Citizenship Statement, outlining our commitments to people, culture, the environment and governance. Last year, we strengthened our ESG program's foundation by formalizing our Board's oversight of ESG matters, measuring and reporting our Scope 1 and Scope 2 emissions and adopting a new Supplier Code of Conduct. In 2023, we will focus on corporate culture and environmental sustainability and anticipate meaningful progress on both.

談到我們的組織，我想首先歡迎 Cathal Phelan 擔任我們的首席創新官。 Cathal 將專注於長期創新和知識產權戰略，並繼續留在我們的董事會。歡迎，凱瑟爾。很高興您加入我們的執行團隊。 12 月，我們發布了第二份企業公民聲明，概述了我們對人、文化、環境和治理的承諾。去年，我們通過將董事會對 ESG 事務的監督正式化、衡量和報告我們的範圍 1 和範圍 2 排放量以及採用新的供應商行為準則，加強了 ESG 計劃的基礎。 2023 年，我們將重點關注企業文化和環境可持續性，並期待在這兩個方面取得有意義的進展。

Last, and certainly not least, I want to congratulate my dear friend and Impinj Co-Founder Dr. Carver Mead on his 2022 Kyoto Prize in Advanced Technology. This award is a wonderful honor for a gem of a person who is also one of the fathers of modern IC design and computing, in addition to his many contributions to engineering, physics and applied science. Carver, it makes me so very happy to see you win this well-deserved award. Congratulations.

最後，同樣重要的是，我要祝賀我親愛的朋友兼 Impinj 聯合創始人 Carver Mead 博士獲得 2022 年京都先進技術獎。這個獎項對於一個人來說是一個極好的榮譽，他也是現代 IC 設計和計算之父之一，此外他還對工程、物理學和應用科學做出了許多貢獻。 Carver，看到你贏得這個當之無愧的獎項，我感到非常高興。恭喜。

Before I close, I'd like to thank every member of the Impinj team for the grit you showed every day of 2022. Our results are a testament to your grace under pressure, facing challenge after challenge. To each of you, every member of this company you have built, I'd like to offer my heartfelt thank you.

在我結束之前，我要感謝 Impinj 團隊的每一位成員，感謝你們在 2022 年的每一天都表現出的勇氣。我們的結果證明了你們在壓力下、面對一個又一個挑戰時的優雅。對於你們每一個人，你們所建立的這家公司的每一位成員，我要表示衷心的感謝。

In closing, 2022 was a banner year for Impinj. We delivered record revenue and adjusted EBITDA while launching new products, investing in our team and unlocking new opportunities. As we continue driving our bold vision to connect every item in our everyday world, I remain confident in our market demand and position and energized by the opportunities ahead.

最後，2022 年對 Impinj 來說是標誌性的一年。我們實現了創紀錄的收入並調整了 EBITDA，同時推出了新產品、投資於我們的團隊並釋放了新的機會。隨著我們繼續推動我們連接日常生活中每件物品的大膽願景，我對我們的市場需求和地位充滿信心，並為未來的機遇而充滿活力。

I will now turn the call over to Cary for our financial review and first quarter outlook. Cary?

我現在將電話轉給 Cary 進行我們的財務審查和第一季度展望。卡里？

Thank you, Chris, and good afternoon, everyone. As Chris noted, Impinj had a fantastic 2022, with 4 consecutive record revenue quarters, record adjusted EBITDA margin and record backlog entering 2023. Momentum built throughout the year, culminating in record fourth quarter revenue, adjusted EBITDA and EPS. That said, we also wrestled with wafer shortfalls and component challenges, preventing us from fully capitalizing on our demand. Despite those challenges, our team's consistent execution led to meaningfully improved supply and sequential revenue growth every quarter. Today, more than ever, I am energized by our many enterprise deployments in retail and supply chain and logistics that are driving strong secular demand and which will, in turn, enable us to deliver growth and operating leverage.

謝謝克里斯，大家下午好。正如 Chris 指出的那樣，Impinj 在 2022 年表現出色，連續 4 個創紀錄的收入季度、創紀錄的調整後 EBITDA 利潤率和創紀錄的積壓進入 2023 年。全年建立的勢頭最終導致創紀錄的第四季度收入、調整後的 EBITDA 和 EPS。也就是說，我們還與晶圓短缺和組件挑戰作鬥爭，使我們無法充分利用我們的需求。儘管存在這些挑戰，但我們團隊始終如一的執行力使每個季度的供應和連續收入增長都得到了顯著改善。今天，我比以往任何時候都為我們在零售、供應鍊和物流領域的許多企業部署感到鼓舞，這些部署正在推動強勁的長期需求，進而使我們能夠實現增長和運營槓桿。

Fourth quarter revenue was $76.6 million, up 12% sequentially compared with $68.3 million in third quarter 2022 and up 46% year-over-year from $52.6 million in fourth quarter 2021. Fourth quarter endpoint IC revenue was $58.7 million, up 15% sequentially compared with $51.2 million in third quarter 2022 and up 53% year-over-year from $38.4 million in fourth quarter 2021. Quarter-over-quarter endpoint IC revenue growth significantly outpaced our original mid- to high single-digit expectations. Unit volume growth also exceeded our original expectations, more than offsetting the expected decline in specialty and industrial mix. Looking forward to first quarter 2023, we expect low-double-digit sequential endpoint IC revenue growth, driven by increasing volumes as wafer supply continues to improve.

第四季度收入為 7660 萬美元，與 2022 年第三季度的 6830 萬美元相比環比增長 12%，與 2021 年第四季度的 5260 萬美元相比環比增長 46%。第四季度端點 IC 收入為 5870 萬美元，環比增長 15% 2022 年第三季度為 5120 萬美元，較 2021 年第四季度的 3840 萬美元同比增長 53%。端點 IC 收入環比增長大大超過了我們最初的中高個位數預期。單位銷量增長也超出了我們最初的預期，足以抵消專業和工業組合的預期下降。展望 2023 年第一季度，我們預計端點 IC 收入將實現低兩位數的連續增長，這是由於晶圓供應持續改善導致銷量增加。

Fourth quarter systems revenue was $17.9 million, up 4% sequentially compared with $17.1 million in third quarter 2022, and up 26% year-over-year from $14.2 million in fourth quarter 2021. Systems revenue exceeded our expectations, due to our contract manufacturer delivering more readers than we had anticipated. On both a sequential and year-over-year basis, gateway and reader IC revenue increased while reader revenue decreased. Despite strong backlog, we expect first quarter 2023 systems revenue to be similar to fourth quarter due to a few stubbornly tight components.

第四季度系統收入為 1790 萬美元，比 2022 年第三季度的 1710 萬美元環比增長 4%，比 2021 年第四季度的 1420 萬美元同比增長 26%。系統收入超出了我們的預期，因為我們的合同製造商交付讀者比我們預期的要多。在連續和同比基礎上，網關和閱讀器 IC 收入增加，而閱讀器收入減少。儘管積壓量很大，但我們預計 2023 年第一季度的系統收入將與第四季度相似，因為一些組件非常緊張。

2022 revenue was $257.8 million, up 35% year-over-year compared with $190.3 million in 2021. Endpoint IC revenue grew 38% year-over-year, driven by growing volumes from new deployments, expansion at existing deployments and a strong specialty and industrial mix. Systems revenue grew 30% year-over-year, driven by E-family reader IC strength, the loss prevention deployment with the visionary European retailer and broad-based reader demand.

2022 年收入為 2.578 億美元，與 2021 年的 1.903 億美元相比同比增長 35%。端點 IC 收入同比增長 38%，這得益於新部署數量的增長、現有部署的擴展以及強大的專業和工業組合。受 E 系列讀卡器 IC 實力、與富有遠見的歐洲零售商的防損部署以及廣泛的讀卡器需求推動，系統收入同比增長 30%。

Fourth quarter gross margin was 53.8%, compared with 56.9% in third quarter 2022 and 58.2% in fourth quarter 2021. The quarter-over-quarter decline was driven by endpoint IC product margins, specifically the lighter mix of specialty and industrial ICs. The year-over-year decline was driven by endpoint IC product margins, both from the lighter mix of specialty and industrial ICs and less sales of fully reserved inventory. Full year '22 gross margin set an annual record at 55.5%, compared with 54.2% in 2021, with the increase due primarily to endpoint IC product margins, specifically the specialty and industrial mix, partially offset by less sales of fully reserved inventory.

第四季度毛利率為 53.8%，而 2022 年第三季度為 56.9%，2021 年第四季度為 58.2%。環比下降是由端點 IC 產品利潤率推動的，特別是特種和工業 IC 的較輕組合。同比下降是由端點 IC 產品利潤率推動的，這既來自專業和工業 IC 的較輕組合，也來自完全保留庫存的銷售減少。 22 年全年毛利率創下 55.5% 的年度記錄，而 2021 年為 54.2%，增長主要歸因於端點 IC 產品利潤率，特別是專業和工業組合，部分被完全保留庫存的銷售額減少所抵消。

Total fourth quarter operating expense was $29.5 million, compared with $29 million in third quarter 2022 and USD25.3 million in fourth quarter 2021. Research and development expense was $14 million. Sales and marketing expense was $7.3 million. General and administrative expense was $8.1 million. 2022 operating expense totaled $114.2 million, compared with $94.1 million in 2021. We expect total first quarter 2023 operating expense to increase, driven by annual payroll tax resets, bonus structure changes, legal fees as well as continued investments in our platform.

第四季度總運營費用為 2950 萬美元，而 2022 年第三季度為 2900 萬美元，2021 年第四季度為 2530 萬美元。研發費用為 1400 萬美元。銷售和營銷費用為 730 萬美元。一般和行政費用為 810 萬美元。 2022 年的運營費用總計 1.142 億美元，而 2021 年為 9410 萬美元。我們預計 2023 年第一季度的運營費用總額將增加，這主要受年度工資稅重置、獎金結構變化、法律費用以及對我們平台的持續投資的推動。

Fourth quarter adjusted EBITDA was $11.8 million, compared with $9.8 million in third quarter 2022 and USD5.3 million in fourth quarter 2021. Fourth quarter adjusted EBITDA margin was 15.3%. 2022 adjusted EBITDA was $28.9 million, compared with $9.1 million in 2021. 2022 adjusted EBITDA margin was 11.2%. Fourth quarter GAAP net loss was $100,000. Fourth quarter non-GAAP net income was $11.6 million, or $0.41 per share on a fully diluted basis. 2022 GAAP net loss was $24.3 million. 2022 non-GAAP net profit was $26.3 million, or $0.96 per share on a fully diluted basis.

第四季度調整後 EBITDA 為 1180 萬美元，而 2022 年第三季度為 980 萬美元，2021 年第四季度為 530 萬美元。第四季度調整後 EBITDA 利潤率為 15.3%。 2022 年調整後的 EBITDA 為 2890 萬美元，而 2021 年為 910 萬美元。2022 年調整後的 EBITDA 利潤率為 11.2%。第四季度 GAAP 淨虧損為 100,000 美元。第四季度非 GAAP 淨收入為 1160 萬美元，或完全攤薄後每股 0.41 美元。 2022 年 GAAP 淨虧損為 2430 萬美元。 2022 年非 GAAP 淨利潤為 2630 萬美元，或完全攤薄後每股 0.96 美元。

Turning to the balance sheet. We ended the fourth quarter with cash, cash equivalents and investments of $192.9 million, compared with $201.1 million in third quarter 2022 and USD207.6 million in fourth quarter 2021. Inventory totaled $46.4 million, up $14.5 million from the prior quarter, with the increase coming primarily from endpoint IC work in process. Fourth quarter net cash used in operating activities was $6.2 million. Property and equipment purchases totaled $6.1 million. Free cash flow was negative $12.3 million. For the full year, net cash provided by operating activities was $600,000. Property and equipment purchases totaled $12.1 million. Free cash flow was negative $11.4 million.

轉向資產負債表。截至第四季度末，我們的現金、現金等價物和投資為 1.929 億美元，而 2022 年第三季度為 2.011 億美元，2021 年第四季度為 2.076 億美元。庫存總計 4640 萬美元，比上一季度增加 1450 萬美元，庫存增加主要來自端點 IC 在製品。第四季度用於經營活動的淨現金為 620 萬美元。財產和設備採購總額為 610 萬美元。自由現金流為負 1230 萬美元。全年，經營活動提供的現金淨額為 600,000 美元。財產和設備採購總額為 1210 萬美元。自由現金流為負 1140 萬美元。

Before turning to our first quarter guidance, I want to highlight a few items unique to our fourth quarter results and first quarter outlook. First, we currently anticipate first quarter 2023 gross margins between 52% and 53%, with the sequential reduction due to a lighter mix of E-family reader ICs and unanticipated costs in both 300-millimeter endpoint IC post-processing and reader components. We are actively addressing these elevated costs and anticipate gross margins to return to our targeted 53% to 54% range in second quarter 2023. Looking further ahead, we see gross margin stabilizing in that 53% to 54% range until product innovations create opportunities for gross margin accretion.

在轉向我們的第一季度指引之前，我想強調我們第四季度業績和第一季度展望的一些獨特之處。首先，我們目前預計 2023 年第一季度的毛利率在 52% 至 53% 之間，由於 E 系列讀卡器 IC 的組合更輕以及 300 毫米端點 IC 後處理和讀卡器組件的意外成本，毛利率將連續下降。我們正在積極應對這些上升的成本，並預計毛利率將在 2023 年第二季度恢復到我們的目標 53% 至 54% 範圍。展望未來，我們認為毛利率將穩定在 53% 至 54% 的範圍內，直到產品創新為毛利率增長。

Second, our business model demonstrated significant 2022 operating leverage. And while we expect a step down in first quarter 2023 adjusted EBITDA margin, our goals remain operating margin expansion and then consistent free cash flow. That said, in first half 2023 our planned inventory growth, comprising primarily endpoint IC work in process, will consume more cash than we will otherwise generate from operations.

其次，我們的商業模式展示了顯著的 2022 年運營槓桿。雖然我們預計 2023 年第一季度調整後的 EBITDA 利潤率會下降，但我們的目標仍然是營業利潤率擴張，然後是穩定的自由現金流。也就是說，在 2023 年上半年，我們計劃的庫存增長（主要包括端點 IC 在製品）將消耗比我們從運營中產生的更多現金。

Finally, upside wafers began layering into our fourth quarter 2022 inventory and we expect another increase during first quarter 2023. Despite that increase, we expect to be hand-to-mouth on finished endpoint ICs at least until second half 2023, for the reasons Chris already noted. Nonetheless, we anticipate growing endpoint IC shipment volumes to drive low-double-digit sequential endpoint IC revenue growth in first quarter 2023, and mid- to high-single-digit sequential endpoint IC revenue growth in second quarter 2023.

最後，上層晶圓開始分層進入我們 2022 年第四季度的庫存，我們預計 2023 年第一季度將再次增加。儘管有所增加，但我們預計至少在 2023 年下半年之前，成品端點 IC 的供應量將達到一半，原因是 Chris已經註意到了。儘管如此，我們預計端點 IC 出貨量的增長將推動 2023 年第一季度低兩位數的端點 IC 收入連續增長，以及 2023 年第二季度的中高個位數連續端點 IC 收入增長。

Turning to our outlook. We expect first quarter revenue between USD82 million and USD85 million, compared with $53.1 million in first quarter 2022, a 57% year-over-year increase at the midpoint. We expect adjusted EBITDA between USD9.2 million and USD10.7 million. On the bottom line, we expect non-GAAP net income between USD8.6 million and USD10.3 million, reflecting non-GAAP fully diluted earnings per share between USD0.30 and USD0.36.

轉向我們的前景。我們預計第一季度收入在 8200 萬美元至 8500 萬美元之間，而 2022 年第一季度為 5310 萬美元，中點同比增長 57%。我們預計調整後的 EBITDA 將在 920 萬美元至 1070 萬美元之間。最重要的是，我們預計非 GAAP 淨收入在 860 萬美元至 1,030 萬美元之間，反映出 0.30 美元至 0.36 美元的非 GAAP 全麵攤薄每股收益。

In closing, I want to thank our Impinj team, our customers, our suppliers and you, our investors, for your ongoing support. I will now turn the call to the operator to open the question-and-answer session. MJ?

最後，我要感謝我們的 Impinj 團隊、我們的客戶、我們的供應商以及您，我們的投資者，感謝您一直以來的支持。我現在將電話轉給接線員以打開問答環節。喬丹？

(Operator Instructions) Today's first question comes from Toshiya Hari with Goldman Sachs.

（操作員說明）今天的第一個問題來自高盛的 Toshiya Hari。

And congratulations on the strong results. My first question is for Chris. I was hoping you could talk a little bit about how you're thinking about the full year, both from a supply perspective as well as a demand perspective. On the supply side, it sounds like you're still working through some of the constraints, both in your IC business as well as your systems business. But at this point in time, what kind of visibility do you have? What kind of support do you have from your foundry partners and some of your component suppliers in terms of growth for the full year? And I guess on the demand side, if you can talk a little bit about what you're seeing from a pricing perspective and how you're thinking about volume, particularly across logistics, supply chain and retail. That would be super helpful.

並祝賀取得了優異的成績。我的第一個問題是給克里斯的。我希望你能談談你對全年的看法，無論是從供應的角度還是從需求的角度。在供應方面，聽起來您仍在努力克服 IC 業務和系統業務中的一些限制。但是在這個時間點，你有什麼樣的知名度？就全年增長而言，您從代工合作夥伴和一些組件供應商那裡得到了什麼樣的支持？我想在需求方面，如果你能從定價的角度談談你所看到的，以及你如何看待數量，特別是在物流、供應鍊和零售方面。那將非常有幫助。

Okay. And I will do my best to hit that question. I'm looking at Jeff and Cary for a little bit of assistance because there's a lot of items to unpack that. So to start out, in 2023, we anticipate significant endpoint IC volume growth. Despite macroeconomic cross currents and retailers' ongoing inventory reductions, we see long-term multiyear tailwinds for our industry overall. We have, of course, very strong backlog entering the year. There is pent-up demand out there in the market from programs that were either delayed or that we couldn't fully get going in 2022, and we are seeing increased supply from our foundry partner.

好的。我會盡力回答這個問題。我正在向 Jeff 和 Cary 尋求一點幫助，因為有很多東西需要打開包裝。因此，從一開始，到 2023 年，我們預計端點 IC 數量將出現顯著增長。儘管宏觀經濟逆流和零售商持續減少庫存，但我們看到整個行業的長期多年順風。當然，今年我們有非常多的積壓工作。市場上存在被推遲的項目或我們無法在 2022 年完全啟動的項目的被壓抑需求，我們看到代工合作夥伴的供應增加。

As I noted in my prepared remarks, that increased supply is ramping up. So we will -- as well as our post processing is ramping up. And so we will still be running hand-to-mouth for at least the next 2 quarters heading into the second half of '23. And we'll have to give an update at that time based on what the demand looks like and what our supply and our post-processing look like to get an idea of how much we're catching up, if at all.

正如我在準備好的發言中指出的那樣，供應量正在增加。所以我們會 - 以及我們的後期處理正在加速。因此，至少在進入 23 年下半年的接下來的兩個季度中，我們仍將手拉手地跑。屆時我們必鬚根據需求情況以及我們的供應情況和後處理情況進行更新，以了解我們正在趕上多少，如果有的話。

In terms of overall strength in the market, we collectively all of us feel very good about where the market is right now, the growth opportunities that we're seeing both in retail and supply chain and logistics and more broadly, and I'll just add a little anecdote here. That when we first started in RAIN RFID 15 years ago, I remember a lot of programs that were potentially going to ramp at that time, including everything from magazines to pharmaceuticals to building supplies and so many -- just so many areas. In fact, at that time, the technology wasn't ready, the products weren't ready. And quite frankly, the RAIN RFID wasn't far enough along for that kind of broad-based adoption.

就市場的整體實力而言，我們所有人都對目前的市場狀況、我們在零售、供應鍊和物流以及更廣泛的領域看到的增長機會感到非常滿意，我會在這裡補充一點軼事。 15 年前，當我們第一次開始使用 RAIN RFID 時，我記得當時有很多項目可能會迅速發展，包括從雜誌到藥品再到建築用品等所有領域 - 就這麼多領域。其實那時候技術還沒做好，產品也沒做好。坦率地說，RAIN RFID 在廣泛採用方面還遠遠不夠。

What we're seeing right now is those programs starting to return. We're seeing demand on the market from many verticals, in addition to the strength in retail and supply chain and logistics that gives me a very positive feeling for the future on 2023 and beyond. And I'll pause to see if anybody else here would like to layer anything else on or I'll just turn it back to you Toshiya for a follow-up question. I think we're good. Did I answer your questions, Toshiya?

我們現在看到的是那些程序開始返回。除了零售、供應鍊和物流方面的實力之外，我們還看到許多垂直市場對市場的需求，這讓我對 2023 年及以後的未來抱有非常積極的感覺。我會停下來看看這裡是否還有其他人想疊加任何其他內容，或者我會把它轉回給 Toshiya 來回答後續問題。我覺得我們很好Toshiya，我回答你的問題了嗎？

Yes. Just, Chris, on pricing, I think, it's well telegraphed that your key foundry supplier increased pricing across the board, not just for you guys but for all fabless customers, your ability to pass that through to customers in '23? And then I'll just ask my follow-up as well. And this one is for Cary. So the increased costs you spoke to on the post-processing side of things. I wasn't quite sure what exactly is going on there in Q1. So if you can kind of expand on that or elaborate, that would be super helpful. And then your conviction level around that reverting in Q2 and beyond.

是的。只是，Chris，關於定價，我認為，你的主要代工供應商全面提高了價格，不僅是為了你們，也是為了所有無晶圓廠客戶，你有能力在 23 年將其傳遞給客戶嗎？然後我也會問我的後續行動。這是給卡里的。因此，您在事後處理方面談到的成本增加。我不太確定第一季度到底發生了什麼。因此，如果您可以對此進行擴展或詳細說明，那將非常有幫助。然後是您對第二季度及以後的回歸的信念水平。

I'm going to hand the entire thing off to Cary. So, go Cary.

我要把整個事情交給卡里。所以，去卡里。

All right. So Toshiya, starting with the first part of your question. Yes, our foundry partner raised prices. Those price increases are going into effect right now. Expect us to handle that in a similar way that we've handled previous cost increases. We will look to pass those on to our customers in a way that enables us to maintain the integrity of our margin model. Those price increases are going into effect now over the course of the first couple of quarters of the year at this point.

好的。 Toshiya，請從問題的第一部分開始。是的，我們的代工合作夥伴提高了價格。這些價格上漲將立即生效。期望我們以與我們處理以前的成本增加類似的方式來處理這個問題。我們將尋求以一種使我們能夠保持保證金模型完整性的方式將這些傳遞給我們的客戶。這些價格上漲現在將在今年前幾個季度生效。

And then to your question on post processing. The dip in gross margin is temporary and will rebound in Q2 for a couple of reasons. First, we had a very last-minute cost increase from one of our back end partners. For the first quarter, we are prioritizing production volumes over costs so that we may deliver on our customer commitments and continue scaling into this record demand. For Q2, however, we will flex our supply chain so that we may get back to our targeted gross margin percent, while delivering on increased volumes as well. So we just need a little bit more time to flex to support that.

然後是關於後期處理的問題。毛利率下降是暫時的，將在第二季度反彈，原因有幾個。首先，我們的一個後端合作夥伴在最後一刻增加了成本。對於第一季度，我們將生產量置於成本之上，以便我們可以兌現對客戶的承諾並繼續擴大這一創紀錄的需求。然而，對於第二季度，我們將調整我們的供應鏈，以便我們可以回到我們的目標毛利率百分比，同時增加銷量。所以我們只需要多一點時間來靈活支持它。

And then the second item relates to ongoing component challenges for our reader business. We had a cancellation and decided to pay a premium to get -- to secure the component from an alternative supplier. Based on today's visibility, however, we expect to deliver flat systems revenue in Q2 at a richer margin than Q1. So for those reasons, we expect Q2 to bounce back into the 53% to 54% range. And I would end with, I expect full year gross margin to be in the 53% to 54% range. So we'll more than make up for it in the back half of the year.

然後第二項與我們的讀者業務面臨的持續組件挑戰有關。我們取消了訂單，並決定支付額外費用來獲得——從替代供應商那裡獲得組件。然而，根據今天的可見性，我們預計第二季度的系統收入將以比第一季度更高的利潤率提供。因此，出於這些原因，我們預計第二季度將反彈至 53% 至 54% 的範圍內。最後，我預計全年毛利率將在 53% 至 54% 之間。所以我們將在今年下半年彌補它。

The next question comes from Harsh Kumar with Piper Sandler.

下一個問題來自 Harsh Kumar 和 Piper Sandler。

First of all, congratulations. It's pretty incredible results in this economy. I had a couple of questions. First, I wanted to clarify something, Cary. Did you say the second quarter will see double digit sort of teens endpoint IC growth just as a point of clarification. And my question is you're seeing a very healthy increase in the revenues and endpoint IC. I was curious if you could -- just to take Toshiya's question and sort of turn it around, could you point us to the end markets that this is coming from?

首先，祝賀你。在這種經濟中，這是非常令人難以置信的結果。我有幾個問題。首先，我想澄清一件事，卡里。您是否說過第二季度將出現兩位數的青少年端點 IC 增長，只是為了澄清一點。我的問題是你看到收入和端點 IC 的增長非常健康。我很好奇你是否可以 - 只是為了回答 Toshiya 的問題並扭轉它，你能否向我們指出它來自的終端市場？

Yes. I'll take the first one and then hand over to Jeff or Chris for the second. So Harsh, to clarify, in Q -- for the first quarter, expect low double-digit quarter-over-quarter revenue growth for endpoint IC. In the second quarter, expect mid- to high single-digit quarter-over-quarter end point IC revenue growth.

是的。我將接受第一個，然後將第二個交給 Jeff 或 Chris。 So Harsh，澄清一下，在第一季度，預計端點 IC 的季度收入增長率將低於兩位數。在第二季度，預計 IC 收入將實現中高個位數的季度環比增長。

Yes. Sorry, that was it. And then the clarification on revs are coming from.

是的。對不起，就是這樣。然後對轉速的澄清來自。

Yes. Demand is -- so Harsh, demand is coming from, as I said in my prepared remarks, significantly from our target verticals, retail and supply chain and logistics, buoyed by some of the work we're doing in package tracking and supply chain logistics and loss prevention and self-checkout on the retail side. But as I said, and answered to Toshiya's question, we're also seeing kind of broad-based growth in other verticals and other opportunities. And although we don't call those out specifically. We feel some buoyancy in the market from those many opportunities. They will not all materialize into instant volumes. But programs are that I had thought were well behind us, and I kind of put out in my mind, starting to return right now. So I feel good about the market. I see Jeff nodding his head the same. So I think we feel good about where we are in terms of long-term endpoint IC, unit volume opportunities and the tailwinds we see overall for our industry and for us in particular.

是的。正如我在準備好的發言中所說，需求來自我們的目標垂直行業、零售和供應鏈以及物流，這受到我們在包裹跟踪和供應鏈物流方面所做的一些工作的推動零售端的防損和自助結賬。但正如我所說，並回答了 Toshiya 的問題，我們也看到了其他垂直領域和其他機會的廣泛增長。儘管我們沒有特別指出這些。我們從這些眾多機會中感受到了市場的一些活力。它們不會全部實現為即時卷。但是程序是我原以為已經遠遠落後的東西，我有點想不通，現在就開始回來了。所以我對市場感覺很好。我看到傑夫同樣點頭。因此，我認為我們對我們在長期端點 IC、單位體積機會和我們看到的整個行業尤其是我們的順風方面的位置感到滿意。

Okay. Great. And then, Cary, from my follow-up. I think when I work the numbers to the model, the OpEx goes up quite significantly. I think you laid out a bunch of things. Would this be the new base for OpEx as we move forward? Or are you expecting a sort of a onetime step up for a variety of reasons in the March quarter. Could you give us the revenues, you gave us the margins and then there isn't a whole lot outside of OpEx that will vary the numbers? And then, Chris, for you, Avery Dennison talks about 20% growth organically in this -- in the Intelligent Label business. Your growth is much larger. And I was trying to understand why you're growing so much faster than your biggest distributor.

好的。偉大的。然後，卡里，來自我的後續行動。我認為當我將這些數字用於模型時，OpEx 會顯著上升。我認為你列出了很多東西。隨著我們前進，這會成為 OpEx 的新基地嗎？或者您是否期望在 3 月季度出於各種原因進行一次一次性升級。你能給我們收入嗎？你給了我們利潤率然後在 OpEx 之外沒有很多東西會改變數字？然後，克里斯，對於你來說，艾利丹尼森談到了 20% 的有機增長——在智能標籤業務中。你的成長要大得多。我試圖理解為什麼你們的增長速度比你們最大的分銷商快得多。

Okay. Harsh, this is Cary. I think I can take both of those. So yes, we are anticipating a step-up in OpEx for the reasons I mentioned in the prepared remarks. It is the seasonal effect of payroll tax resets. It's the structural change to our bonus. Remember, this is the second final step to changing our bonus to 100% cash. It is legal fees and then it's our ongoing investment in our platform. So as you look forward, I expect this level to be at approximately where we'll be for the near term with fluctuation depending on G&A related to legal fees, which I expect more first half weighted than second half. And then as the seasonal expense abates, expect our investment in our engineering team and our sales and marketing team to step into that. So the trend will match somewhat similar to what you saw in 2022 since many of the dynamics are present in '23 as they were in '22.

好的。苛刻，這是卡里。我想我可以接受這兩個。所以是的，由於我在準備好的評論中提到的原因，我們預計 OpEx 會有所提高。這是工資稅重置的季節性影響。這是我們獎金的結構性變化。請記住，這是將我們的獎金更改為 100% 現金的第二個最後步驟。這是法律費用，然後是我們對平台的持續投資。因此，正如您所期待的那樣，我預計這一水平將大致處於我們近期的水平，波動取決於與法律費用相關的 G&A，我預計上半年比下半年加權更多。然後隨著季節性費用的減少，預計我們對工程團隊以及銷售和營銷團隊的投資將介入其中。因此，趨勢將與您在 2022 年看到的情況有些相似，因為許多動態在 23 年和 22 年都存在。

Understood.

明白了。

And then your second question regarding our growth rates relative to one of our top customers, Avery Dennison. We don't always line up with Avery Dennison in each quarter. They report an enterprise-wide intelligent labels revenue growth rate, but there are mix and ASP differences that need to be taken into account. We are also in a high inflationary environment right now, and it's unlikely that it's impacting us both in this exactly the same way. What I would add is that we're incredibly encouraged that they are talking about the market acceleration in 2023, and that's exactly what we see as well.

然後你的第二個問題是關於我們相對於我們的頂級客戶之一艾利丹尼森的增長率。我們並不總是在每個季度都與 Avery Dennison 保持一致。他們報告了企業範圍內的智能標籤收入增長率，但需要考慮混合和 ASP 差異。我們現在也處於高通脹環境中，它不太可能以完全相同的方式影響我們雙方。我要補充的是，他們正在談論 2023 年的市場加速，我們感到非常鼓舞，這也正是我們所看到的。

We serve kind of the broader market in general. Dennison is, of course, one of the key suppliers of [labels in headlines], but there are others out there. And so we serve the broader market, which includes many other partners also. And keep going because you asked, I'm sorry.

我們總體上服務於更廣泛的市場。丹尼森當然是[頭條新聞標籤]的主要供應商之一，但還有其他供應商。因此，我們服務於更廣闊的市場，其中還包括許多其他合作夥伴。繼續前進，因為你問了，對不起。

No, I was just saying thank you for all the color guys, and congratulations again.

不，我只是對所有有色人種表示感謝，並再次表示祝賀。

The next question comes from Mike Walkley with Canaccord Genuity.

下一個問題來自 Mike Walkley 和 Canaccord Genuity。

Great. Let me add my congratulations. It's been certainly fun to follow the Impinj journey over the past decade and all that you guys have accomplished. I guess my first question -- my first question is just on the systems business. You've had some very large projects roll out over the past year, and it sounds like it should be flattish into the first half of the year. But how should we think about just the systems business in the pipeline and maybe the second half of the year? Or is it too early to call on some new projects might hit?

偉大的。讓我表示祝賀。跟隨 Impinj 過去十年的旅程以及你們所取得的成就當然很有趣。我想我的第一個問題——我的第一個問題只是關於系統業務。在過去的一年裡，你推出了一些非常大的項目，聽起來應該會在今年上半年持平。但是我們應該如何考慮管道中的系統業務，也許是下半年？還是現在就呼籲一些可能會受到衝擊的新項目還為時過早？

This is Jeff. I'd start by saying that the systems pipeline is strong and growing nicely. We do have some large enterprise deployments that are going well and success in those initial deployments creates opportunity to expand within those accounts as well as other enterprises in the retail and supply chain and logistics sectors, which are both significant growth vectors for Impinj. As it relates to -- I'll pass it to Cary to speak to the timing and impact of revenue in 2023.

這是傑夫。我首先要說系統管道很強大並且增長很好。我們確實有一些大型企業部署進展順利，這些初始部署的成功創造了在這些客戶以及零售和供應鍊和物流部門的其他企業內擴展的機會，這都是 Impinj 的重要增長載體。因為它涉及 - 我會把它傳遞給卡里，談談 2023 年收入的時間和影響。

Yes. We signaled that we expect similar systems revenue in Q1 that we delivered in Q4. And in Q1, we have a lot of the same dynamics with the visionary European retailer continuing to deploy the second phase of their loss prevention deployment. Now that phase will wrap up largely in Q1. There's opportunities to win more business with this customer that are as great as what we've already delivered to the customer, but the timing may not match up perfectly. We have been prioritizing that deployment in terms of allocating our finite components that continue to be a struggle for us to get.

是的。我們表示，我們預計第一季度的系統收入與我們在第四季度交付的收入類似。在第一季度，這家富有遠見的歐洲零售商繼續部署其防損部署的第二階段，我們有很多相同的動態。現在該階段將主要在第一季度結束。有機會贏得與該客戶的更多業務，這與我們已經交付給客戶的業務一樣好，但時機可能並不完美。我們一直在分配我們仍然難以獲得的有限組件方面優先考慮該部署。

So as that Phase 2 ramps down, that frees up some components for us to deliver to other customers that have unfortunately been waiting on the sidelines for their readers. So now that we have a little bit better visibility into 2Q component supply, we're able to signal that Q2 will be similar to Q1, where as you recall last quarter, we were worried that we wouldn't be able to deliver similar revenue. We actually guided Q2 down just a little bit. So we're in a little bit better positioned than when we were a quarter ago. But we're still in a situation where demand outstrips our ability to supply for systems because of these component shortfalls.

因此，隨著第 2 階段的結束，我們可以騰出一些組件來交付給不幸在旁觀者等待讀者的其他客戶。因此，既然我們對第二季度的組件供應有了更好的了解，我們就可以表明第二季度將與第一季度相似，正如您還記得上一季度那樣，我們擔心我們無法提供類似的收入.實際上，我們將 Q2 下調了一點點。因此，與一個季度前相比，我們的定位要好一些。但由於這些組件短缺，我們仍然處於需求超過我們系統供應能力的情況。

And for my follow-up question, maybe for Chris or Jeff, just how is the customer feedback for Impinj authenticity, now that you've had a quarter of that rolled out? And do you see anything even close to competitive on the market that can match the vision and solution?

對於我的後續問題，也許是針對 Chris 或 Jeff，客戶對 Impinj 真實性的反饋如何，現在您已經推出了四分之一？您在市場上看到任何可以與願景和解決方案相匹配的甚至接近競爭的產品嗎？

I'll take that one, Mike, and I'm excited that you asked the question. I'm very encouraged by the growing level of interest among our solution partners and an increasing number of enterprise end customers regarding Impinj authenticity solution engine. Recall that it's an innovative, differentiated Impinj platform solution engine that delivers cryptographic product authentication that protects brands and consumers. The pipeline is growing nicely. Of course, the time and pacing or the pace and timing of those opportunities is challenging to predict, but I am even more optimistic today than when we had this conversation last quarter regarding the opportunity not only to build endpoint IC recurring revenue, but also to establish a new services revenue opportunity in the longer term.

我會接受那個，邁克，我很高興你問了這個問題。我們的解決方案合作夥伴和越來越多的企業終端客戶對 Impinj 真實性解決方案引擎越來越感興趣，這讓我深受鼓舞。回想一下，它是一個創新的、差異化的 Impinj 平台解決方案引擎，提供保護品牌和消費者的加密產品認證。管道增長良好。當然，這些機會的時間和節奏或節奏和時機很難預測，但與上個季度我們進行這次對話時相比，我今天更加樂觀，因為我們不僅有機會建立端點 IC 經常性收入，而且從長遠來看，建立新的服務收入機會。

Mike, I guess I'd like to add one thing there. Just as you think about it long term, think about any technology. It doesn't matter of (inaudible). Do you think of any really successful technology that hasn't rolled out security. I think, you'd be hard-pressed to find one. And here, we're the first ones to truly launch an endpoint IC design for broad-based adoption that has a cryptographic engine and the key in it. And that cryptographic engine and the key allows us to authenticate the item to which the IC is attached. We believe that capability for the future will be essential and that at some point in the distant future as we get better and better at doing this, that there will be a key in every single IC, there needs to be. I mean it's just how technology goes. So we're excited about where we stand today. We're excited about our pipeline, and I personally am excited about the long-term opportunities, not just a [year or two] out, but further out and time as well.

邁克，我想我想補充一件事。就像你從長遠考慮一樣，想想任何技術。這無關緊要（聽不清）。您是否想到任何尚未推出安全性的真正成功的技術。我想，你很難找到一個。在這裡，我們是第一批真正推出端點 IC 設計以供廣泛採用的人，該設計具有加密引擎和其中的密鑰。該加密引擎和密鑰使我們能夠驗證 IC 所附的物品。我們相信未來的能力將是必不可少的，並且在遙遠的未來的某個時刻，隨著我們在這方面做得越來越好，每個 IC 中都會有一把鑰匙，這是需要的。我的意思是技術就是這樣發展的。所以我們對今天的立場感到興奮。我們對我們的管道感到興奮，我個人對長期機會感到興奮，不僅僅是 [一年或兩年]，而是更長時間。

The next question comes from Scott Searle with Roth.

下一個問題來自 Scott Searle 和 Roth。

Congrats again on the nice quarter. Chris, in past quarters, I think you've talked about under-shipping demand from an endpoint IC in the ballpark of 50% plus. I didn't hear a number this time around. So I was wondering if there is one that you're willing to share with us. And then on the systems outlook, I just want to clarify, again, it sounds like now with the European visionary retail Phase 1 deployment rolling off in the first quarter, you still have visibility at this point in comfort to a flat second quarter. I'm kind of wondering how you think that, that progresses then into the second half of this year? Because it sounds like Phase 2 is not being factored in there. If it does, that would be upside that we could possibly see in the second half of this year or into 2024?

再次祝賀這個美好的季度。克里斯，在過去的幾個季度裡，我想你已經談到了 50% 以上的端點 IC 的出貨需求不足。這次我沒有聽到電話號碼。所以我想知道您是否願意與我們分享。然後關於系統前景，我只想再次澄清，聽起來現在隨著歐洲有遠見的零售業第一階段部署在第一季度開始，你在這一點上仍然可以看到第二季度持平。我有點想知道你是怎麼想的，然後進展到今年下半年？因為聽起來第 2 階段沒有被考慮在內。如果確實如此，那麼我們可能會在今年下半年或 2024 年看到上行空間？

So Scott, I think I'll take the first part of the first question, and then I'll hand over to Cary. We had signaled that for 6 consecutive quarters, demand exceeds it's supply more than 50%. I can say that the same for this current quarter as well. So for 7 quarters demanded 60% to supply more than 50%. However, we're going to stop using that metric going forward and its stead focused on providing more detailed information about demand, supply, the market and other things. We're going to try and provide more color rather than just one single number going forward. But if you're asking about -- did we achieve that metric again for the seventh quarter? The answer is yes.

所以斯科特，我想我會回答第一個問題的第一部分，然後我會交給卡里。我們已經連續 6 個季度發出信號，供不應求超過 50%。我可以說本季度也是如此。所以7個季度需求60%供應50%以上。但是，我們將停止使用該指標，轉而專注於提供有關需求、供應、市場和其他方面的更詳細信息。我們將嘗試提供更多顏色，而不僅僅是一個單一的數字。但如果你問——我們是否在第七季度再次實現了該指標？答案是肯定的。

And Scott, this is Cary. I can take the second question. Yes, you heard correctly. We now believe systems revenue will be flat through the first 2 quarters of the year. The lost deployment phase will roll off and then the limited supply that we have will go to other customers in Q2, but keeping revenue about flat. I don't want to guide second half systems revenue just yet. We're still navigating these component shortfalls. So I don't feel comfortable going beyond kind of the next couple of quarters. But as soon as we have better visibility to components, we will update that.

斯科特，這是卡里。我可以回答第二個問題。是的，你沒有聽錯。我們現在認為系統收入在今年前兩個季度將持平。失去的部署階段將結束，然後我們擁有的有限供應將在第二季度流向其他客戶，但收入將持平。我還不想指導下半年的系統收入。我們仍在解決這些組件缺陷。所以我覺得在接下來的幾個季度之外會感到不舒服。但是一旦我們對組件有了更好的可見性，我們就會更新它。

Great. Very helpful. And if I could, just on the big picture front, I guess 2 items. Following up on Mike's question on authenticity and you kind of opened the door there from a services revenue standpoint. I'm wondering how you're starting to see that model develop if there's any commentary in terms of time line, how you think that will function and when we would actually see some contribution?

偉大的。很有幫助。如果可以的話，就大局而言，我猜有 2 個項目。跟進邁克關於真實性的問題，你從服務收入的角度打開了大門。我想知道如果在時間表方面有任何評論，您將如何開始看到該模型的發展，您認為它將如何運作以及我們何時會真正看到一些貢獻？

And then Chris, from a really high level, if we look over the past decade, endpoint ICs have been growing in the ballpark of 25% to 30% a year on a compound annual growth rate. We're seeing that start to inflect being pulled forward by the pandemic, obscured by a lot of the supply chain issues that we've had ongoing for the last several quarters. So I'm wondering if you would take a stab at what the growth rate of this market looks like over the next 2, 3, 5 years. It's still very early days. We're still constrained by supply and wafer availability, but that's easing. But is this a market that's going to grow 50% for the next 3 to 5 years? Do you guys have any take on that?

然後克里斯，從一個非常高的水平來看，如果我們回顧過去十年，端點 IC 的複合年增長率一直在以每年 25% 到 30% 的速度增長。我們看到這種情況開始受到流行病的推動，而過去幾個季度我們一直在經歷的許多供應鏈問題卻掩蓋了這一點。所以我想知道你是否願意嘗試一下這個市場在未來 2、3、5 年的增長率。現在還很早。我們仍然受到供應和晶圓可用性的限制，但這正在緩解。但這是一個在未來 3 到 5 年內會增長 50% 的市場嗎？你們對此有何看法？

So let me take the second question first, and then I'll hand over to the question on authenticity. Scott, I could hazard a lot of guesses in terms of where these markets could go or might go. And I do feel there's very strong demand out in the market at NRF really, for the most part, I was talking to enterprise end users as opposed to partners. So I feel very good about the market, about the opportunity about growth, not only in our core verticals, but in adjacent ones as well.

那麼讓我先回答第二個問題，然後我再談真實性問題。斯科特，我可以就這些市場可能走向或可能走向的方向進行很多猜測。而且我確實覺得 NRF 的市場需求非常強勁，在大多數情況下，我是在與企業最終用戶而不是合作夥伴交談。因此，我對市場和增長機會感覺非常好，不僅在我們的核心垂直領域，而且在相鄰的垂直領域也是如此。

With that said, I don't feel good enough or I don't have predictive powers that are good enough to suggest that the market in the future will be any different from the historical trends of 25% to 30%. It may turn out to be the case. And if it is, we'll come forward and tell you. But right now, the best prediction that I can make is just the historical trends have been 25% to 30%, and that's kind of what we're holding going forward.

話雖如此，我感覺不夠好，或者我沒有足夠好的預測能力來表明未來的市場將與 25% 到 30% 的歷史趨勢有任何不同。結果可能是這樣。如果是，我們會挺身而出告訴你。但現在，我能做出的最好預測就是歷史趨勢是 25% 到 30%，這就是我們未來的目標。

And Scott, this is Cary. I can take the question. I'm sorry.

斯科特，這是卡里。我可以接受這個問題。對不起。

Yes, go ahead.

好，去吧。

No, sorry. Chris, I just figured I'd give it a [shot and try and pride] that one out of you.

不，對不起。克里斯，我只是想我會給它一個 [shot and try and pride] 你的那個。

Yes. My crystal ball is not quite that good, sorry.

是的。我的水晶球不太好，抱歉。

And Scott, unfortunately, my answer on authentication modeling is going to be roughly similar. It's a little too early to model authentication revenue in 2023. We are shipping, or we will ship units on our endpoint IC authentic and extreme endpoint IC, some as early as Q1, but very small quantities at this stage. So it won't really hit the radar. So give us a little bit of time before we can provide clarity on that. Go ahead, Jeff.

不幸的是，Scott，我對身份驗證建模的回答將大致相似。現在對 2023 年的身份驗證收入建模還為時過早。我們正在發貨，或者我們將在我們的端點 IC 真實和極端端點 IC 上發貨，有些最早在第一季度，但現階段數量非常少。所以它不會真正引起人們的注意。因此，請給我們一點時間，然後我們才能澄清這一點。來吧，傑夫。

Yes. I think I would just add to that, but I'm very encouraged by the creativity of our solution partners who will integrate cryptographic product authentication into their overall solutions offerings. And one of the important things we're doing right now is engaging with leading enterprises in how they see the building value through the introduction of product authentication within their overall service certain product portfolios. And in those discussions, these enterprise end customers are bringing forth creative ways in which that value could be attributed to both endpoint IC recurring revenue and the services revenue and how we and they and their partners might share in that building value. So I think it's very important that we're -- as we're developing this emerging opportunity to listen to enterprise customers on how they create value, the contribution that the Impinj authenticity solution engine is making and therefore, how we ought to in partnership create and share that value.

是的。我想我只想補充一點，但我對我們的解決方案合作夥伴的創造力感到非常鼓舞，他們將加密產品認證集成到他們的整體解決方案產品中。我們現在正在做的重要事情之一是與領先企業合作，了解他們如何通過在其特定產品組合的整體服務中引入產品認證來看待建築價值。在這些討論中，這些企業終端客戶正在提出創造性的方式，將價值歸因於端點 IC 經常性收入和服務收入，以及我們和他們以及他們的合作夥伴如何分享這種建築價值。因此，我認為我們非常重要——因為我們正在開發這個新興的機會來聽取企業客戶的意見，了解他們如何創造價值、Impinj 真實性解決方案引擎正在做出的貢獻以及我們應該如何合作創造並分享該價值。

The next question is from Jim Ricchiuti of Needham & Company.

下一個問題來自 Needham & Company 的 Jim Ricchiuti。

This is actually Chris Grenga on for Jim. Congrats on the quarter. Could you talk about the M700 as a percentage of the mix and how you expect that to progress over the next few quarters.

這實際上是 Jim 的 Chris Grenga。祝賀這個季度。您能否談談 M700 在組合中所佔的百分比，以及您期望在接下來的幾個季度中取得怎樣的進展。

So we don't break down on a percentage basis, the difference between our -- our different product families. What I will say is that our Impinj M700 family product volumes are growing. They represent our newest products. That's where we're investing in building our post-processing capacity and our future really is around that entire Impinj M700 family. So you should expect that more and more as we go forward, our volumes will be focused on the Impinj M700 family.

因此，我們不會按百分比分解我們不同產品系列之間的差異。我要說的是，我們的 Impinj M700 系列產品數量正在增長。它們代表我們的最新產品。這就是我們投資建設後處理能力的地方，我們的未來確實圍繞著整個 Impinj M700 系列。因此，隨著我們的發展，您應該會越來越多地期待我們的銷量將集中在 Impinj M700 系列上。

Great. And with respect to the 2 new chips that are targeting the new use cases in automotive, pharma and food, what should we be looking for there in terms of key milestones? And what would you be planning to share with us over the course of the next few quarters?

偉大的。關於針對汽車、製藥和食品新用例的 2 款新芯片，我們應該在關鍵里程碑方面尋找什麼？在接下來的幾個季度中，您打算與我們分享什麼？

I think the answer to that question is that we have particular customer opportunities that are using those ICs will come forward and highlight them. Otherwise, we intend to just treat the new Impinj M780 and M781 as kind of core elements of the M700 product family and just expanding the breadth of the offering. So something notable comes up, like we have a particular win that uses them, expect us to come forward with it. Otherwise, we won't be breaking it out separately. But we're excited about the introduction because those particular ICs open up just a broader range of opportunities for us.

我認為這個問題的答案是我們有使用這些 IC 的特定客戶機會會出現並強調它們。否則，我們打算將新的 Impinj M780 和 M781 視為 M700 產品系列的核心元素，並擴大產品範圍。所以一些值得注意的事情出現了，比如我們有一個使用它們的特別勝利，期待我們挺身而出。否則，我們不會單獨打破它。但我們對推出感到興奮，因為這些特定的 IC 為我們開闢了更廣泛的機會。

The next question is from Troy Jensen with Lake Street Capital.

下一個問題來自 Lake Street Capital 的 Troy Jensen。

[Also for my] congratulations as usual. I'm just going to ask one quick question here. It can be for Jeff or for Chris, but I'd like to just chat a little bit about the pipeline and specifically logistics. We know you got the big first customer in the marquee, second customer, but we've always talked about others waiting in the wings, and it has to be apparent now that this big marquee customers finds it successful in us moving forward. So I'm just curious if you could talk about big opportunities there. Do you think we'll be talking about a third logistics customer in 2022?

[也為我]像往常一樣祝賀。我只想在這裡問一個簡短的問題。它可以是給 Jeff 或 Chris 的，但我只想談談管道，特別是物流。我們知道你在大帳篷裡有第一大客戶，第二大客戶，但我們一直在談論其他人在等待，現在必須很明顯，這個大大帳篷客戶發現它在我們前進中取得了成功。所以我很好奇你是否可以談談那裡的重大機遇。您認為我們會在 2022 年談論第三個物流客戶嗎？

This is Jeff. I can't speak to any specific customer. But when you do have sector-leading enterprises speaking publicly about the investments they're making in their RAIN RFID deployments and the benefits they are already seeing in it. No doubt, others in the industry sector are tracking that, those developments, if you will. And I will say that the systems pipeline, including supply chain and logistics continues to build nicely. As always, I want to reinforce that the pace and timing of those opportunities is hard to predict. But I see increasing opportunity for follow-on enterprises in that sector, evaluating, planning for and ultimately deploying solutions that are relevant to how they create business value in the future.

這是傑夫。我無法與任何特定客戶交談。但是當您確實有行業領先的企業公開談論他們在 RAIN RFID 部署中所做的投資以及他們已經從中看到的好處時。毫無疑問，工業部門的其他人正在跟踪那些發展，如果你願意的話。我要說的是，包括供應鍊和物流在內的系統管道繼續良好地構建。一如既往，我想強調的是，這些機會的速度和時機很難預測。但我看到該領域的後續企業有越來越多的機會評估、規劃並最終部署與其未來如何創造商業價值相關的解決方案。

And Troy, I expect us to keep investing in [this production of] logistics opportunity because we truly think that it's about weather opportunity for us, specifically given the solutions that we're bringing to market.

特洛伊，我希望我們繼續投資 [this production of] 物流機會，因為我們真的認為這對我們來說是關於天氣的機會，特別是考慮到我們正在推向市場的解決方案。

Yes. Understood completely. Keep up the good work, guys.

是的。完全明白了。保持良好的工作，伙計們。

The next question is a follow-up from Harsh Kumar with Piper Sandler.

下一個問題是 Harsh Kumar 和 Piper Sandler 的後續問題。

Actually, I had 2 quick ones. I noticed that we're modeling taxes at 0 going forward. I was curious, Cary, if you could give us a sense of what kind of tax loss carry-over you have? And if it's appropriate to model 0% taxes for foreseeable future?

實際上，我有 2 個快速的。我注意到我們正在為未來的 0 稅收建模。我很好奇，卡里，你能否告訴我們你有什麼樣的稅收損失結轉？在可預見的未來模擬 0% 的稅收是否合適？

Yes. It's almost 0. We have some foreign taxes that I think are in the couple of hundred thousand dollar range. We have almost $250 million of NOLs. So I don't anticipate a tax bill in the near term.

是的。幾乎為 0。我認為我們有一些外國稅在幾十萬美元的範圍內。我們有近 2.5 億美元的 NOL。所以我預計近期不會出台稅單。

Fair enough. And then that's pretty straightforward. And then one for Chris. Chris, there was a fair bit of talk, I think midpoint of last year that the Japanese convenience store guys were very interested in RFID, if the cost could come down just a little bit. I was curious if you could help us understand how the total tax cost might come down. I know it's probably not you guys because you're the main brains behind it at $0.01. But what are some of the other components that might come down and maybe an update on those -- on the Japanese convenience sort of consortium?

很公平。然後這很簡單。然後一個給克里斯。克里斯，有一個相當多的談話，我認為去年中期日本便利店的人對 RFID 非常感興趣，如果成本能降低一點的話。我很好奇您是否可以幫助我們了解如何降低總稅收成本。我知道這可能不是你們，因為你們是 0.01 美元背後的主要大腦。但是，還有哪些其他組件可能會下降，並且可能會更新這些組件——關於日本的便利聯盟？

Yes. Harsh, I'll do my best to unpack that one and give a kind of a cogent broad-based answer to it. Post-COVID, the world has changed. Prior to COVID, there was a significant push to drive the inlay cost down as the key driver that would enable adoption. Of course, inlay cost and the increment on our overall tag costs are still important, but the discussions we're having with end customers now are much more about digital transformation and how we can help those enterprises change their business, change how they run their business, enable them to track every item they manufacture, transport and sell optimize their labor teams in terms of overall efficiency, drive efficiencies in the organization, the entire dynamic has changed post-COVID.

是的。苛刻的，我會盡我最大的努力打開那個，並給出一種有說服力的廣泛的答案。後 COVID，世界已經改變。在 COVID 之前，人們大力推動降低嵌體成本，將其作為實現採用的關鍵驅動因素。當然，鑲嵌成本和我們整體標籤成本的增加仍然很重要，但我們現在與最終客戶的討論更多是關於數字化轉型以及我們如何幫助這些企業改變他們的業務，改變他們的運營方式業務，使他們能夠跟踪他們製造、運輸和銷售的每一件物品 在整體效率方面優化他們的勞動力團隊，提高組織的效率，整個動態在 COVID 後發生了變化。

So I'm not saying cost doesn't matter, but it's no longer the single biggest thing that we get into discussion on. A lot more discussion is how we can solve the problem for the end customer. Now as IC costs, other costs have gone up across essentially all industries costs have increased. We, of course, still have those cost discussions. It's hard to predict what the future holds from a cost perspective. But I would anticipate as things settle out long term post-COVID, will go back to gradually decreasing costs over time, low single-digit, ASP declines overall for our industry. But that's to be determined, it really depends on what the future holds.

所以我並不是說成本不重要，但它不再是我們討論的最重要的事情。更多的討論是我們如何為最終客戶解決問題。現在，隨著 IC 成本的增加，其他成本已經上升，基本上所有行業的成本都在增加。當然，我們仍然有那些成本討論。從成本的角度很難預測未來會怎樣。但我預計，隨著 COVID 後的長期情況穩定下來，隨著時間的推移，成本將逐漸下降，低個位數，我們行業的 ASP 整體下降。但這還有待確定，這實際上取決於未來會怎樣。

As I think specifically about that opportunity in Japan, that opportunity has gone slowly and at least from our perspective, although not gone away, there are other food opportunities worldwide that have actually come to the floor really ahead of it. We don't have the ability to really speak about those opportunities. We hear about other companies talking about food on some of their calls. And food is one of those areas where we see these kind of long-term growth prospects. And so we will be pushing in that area. And of course, food is very sensitive to cost. And so if the cost aspect will come up associated with food. But right now, what we're really focused on is digital transformation.

當我具體考慮日本的那個機會時，這個機會已經慢慢消失了，至少從我們的角度來看，雖然沒有消失，但實際上世界範圍內還有其他食品機會實際上已經真正領先於它。我們沒有能力真正談論這些機會。我們聽說其他公司在他們的一些電話中談論食物。食品是我們看到這種長期增長前景的領域之一。因此，我們將在該領域推進。當然，食物對成本非常敏感。因此，如果成本方面會出現與食品相關的問題。但現在，我們真正關注的是數字化轉型。

Two quick things that I would add to that. This is Jeff. Is that recall that the challenge that the Japanese convenience store enterprises are seeking to address is the scarcity of labor and the cost of labor. And that challenge is no less today than it was when they started the investigation into the role of RAIN RFID and helping address that challenge. So while cost does matter, other costs have continued to increase which has a favorable impact on the business modeling, if you will, about making a platform investment to address the labor shortage or scarcity. And I would say the Impinj platform and its contribution to self-checkout has advanced well within that same time frame. So the opportunity to smartly invest in increasingly performance Impinj platform-based solutions to self-checkout in an environment where labor costs continue to increase and labor scarcity continues to worsen, means that over time, though it's hard to predict the pace and timing, that opportunity within that sector as well as Chris mentioned, to overall food and quick service restaurant, et cetera, is an increasing opportunity and growth vector for Impinj in the longer term.

我想補充兩件事。這是傑夫。回想一下，日本便利店企業正在尋求解決的挑戰是勞動力稀缺和勞動力成本。如今，這一挑戰與他們開始調查 RAIN RFID 的作用並幫助解決這一挑戰時一樣嚴峻。因此，雖然成本確實很重要，但其他成本持續增加，這對業務建模產生了有利影響，如果你願意的話，關於進行平台投資以解決勞動力短缺或稀缺問題。我會說 Impinj 平台及其對自助結賬的貢獻在同一時間段內取得了很好的進展。因此，在勞動力成本持續增加和勞動力短缺持續惡化的環境中，有機會明智地投資於基於 Impinj 平台的性能不斷提高的自助結賬解決方案，這意味著隨著時間的推移，儘管很難預測速度和時間，從長遠來看，該行業以及 Chris 提到的整體食品和快餐店等領域的機會是 Impinj 不斷增加的機會和增長載體。

This concludes our question-and-answer session. I would now like to turn the conference back over to Chris Diorio, Co-Founder and CEO, for any closing remarks.

我們的問答環節到此結束。我現在想把會議轉回給聯合創始人兼首席執行官 Chris Diorio，聽取任何閉幕詞。

Thank you, MJ. I'd like to thank you all for joining the call today. I hope you and your loved ones are and remain safe and well. Thank you.

謝謝你，喬丹。我要感謝大家今天加入電話會議。我希望您和您所愛的人平安無事。謝謝。

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

會議現已結束。感謝您參加今天的演講。您現在可以斷開連接。