Impinj Inc (PI) 2024 Q1 法說會逐字稿

Hello, and welcome to the Impinj first-quarter 2024 financial results conference call and webcast. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Mr. Andy Cobb, Vice President, Strategic Finance. Please go ahead.

您好，歡迎參加 Impinj 2024 年第一季財務業績電話會議和網路廣播。 （操作員說明）請注意此事件正在被記錄。現在我想將會議交給策略財務副總裁安迪‧科布先生。請繼續。

Thank you, MJ. Good afternoon, and thank you all for joining us to discuss Impinj's first-quarter 2024 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 first quarter 2024 financial results in the second quarter outlook. We will then open the call for questions. Jeff Dossett, Impinj's CRO, who will join us for the Q&A.

謝謝你，喬丹。下午好，感謝大家加入我們討論 Impinj 2024 年第一季的業績。在今天的電話會議上，Impinj 聯合創始人兼執行長 Chris Diorio 將簡要概述我們的市場機會和業績。 Impinj 財務長 Cary Baker 將在第二季展望中詳細回顧我們 2024 年第一季的財務表現。然後我們將開始提問。 Impinj 的 CRO Jeff Dossett 將與我們一起參加問答。

You can find Management's prepared remarks plus trended financial data on the company's Investor Relations website. We will make statements in this call about financial performance and future expectations that are based on our outlook as of today.

您可以在公司的投資者關係網站上找到管理層準備好的評論以及趨勢財務數據。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。

Any such statements are forward-looking under the Private Securities Litigation Reform Act of 1995, whereas 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.

根據 1995 年《私人證券訴訟改革法案》，任何此類聲明均具有前瞻性，而我們相信我們有合理的基礎來做出這些前瞻性聲明。我們的實際結果可能會存在重大差異，因為任何此類陳述都面臨風險和不確定性。

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.

我們在向 SEC 提交的年度和季度報告中描述了這些風險和不確定性。除非法律要求，否則我們不承擔並明確否認任何更新或更改我們的前瞻性聲明的義務。

On today's call, all financial metrics, except for revenue four, 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 Baird's Global Consumer Technology and Services Conference on June 4 in New York. We look forward to connecting with many of you there.

在今天的電話會議上，除收入四外，所有財務指標均採用非公認會計原則資產負債表，而現金流量指標則採用公認會計原則。在討論我們的業績和展望之前，請參閱我們的收益發布，以了解非GAAP 財務指標與最具可比性GAAP 指標的對賬，請注意，我們將參加6 月4 日在紐約舉行的貝爾德全球消費者技術和服務會議。我們期待與你們中的許多人建立聯繫。

I will now turn the call over to Chris.

我現在將把電話轉給克里斯。

Thank you, Andy, and thank you all for joining the call. 2024 started strong momentum. We saw exiting 2023, continued through the first quarter revenue and profitability exceeding both our fourth quarter results and first quarter guide. Our strategic focus on silicon and enterprise solutions help create that momentum while paving the way for multiyear growth tailwinds, while our recent reorganization and legal settlements pave the way for growing profitability.

謝謝你，安迪，也謝謝大家加入這通通話。 2024年開始強勁勢頭。我們預計 2023 年第一季的收入和盈利能力將繼續超過我們第四季度的業績和第一季的指導。我們對晶片和企業解決方案的戰略重點有助於創造這種勢頭，同時為多年的增長順風鋪平道路，而我們最近的重組和法律和解則為不斷增長的盈利能力鋪平道路。

Turning first to silicon, the green shoe and buy by cited the last two quarters continued sprouting first quarter endpoint IC revenue exceeded our expectations, driven by improving demand in both retail apparel and general merchandise as well as the long tail of other applications.

首先轉向矽，綠鞋和購買者引用過去兩個季度的持續增長，第一季端點 IC 收入超出了我們的預期，這是由零售服裝和一般商品的需求改善以及其他應用的長尾推動的。

Looking forward, we expect second quarter to again deliver solid endpoint IC product revenue growth. We also expect Impinj M700 volumes to double in the second quarter as our production ramp kicks up, albeit still a small portion of our endpoint IC volumes. Overall, we are at ease. We expect eastbound shipments to accelerate in the second quarter as we near the end of our prior generation product shipments, buoyed by a healthy number of design wins and burgeoning offers.

展望未來，我們預計第二季端點 IC 產品營收將再次穩健成長。我們也預計，隨著產量的增加，第二季 Impinj M700 的銷量將翻一番，儘管仍只占我們端點 IC 銷量的一小部分。總的來說，我們很放心。我們預計，在大量設計獲勝和不斷湧現的報價的推動下，隨著上一代產品出貨量接近尾聲，第二季度東向出貨量將加速。

Turning to solutions for visionary European retailers. Ongoing rollout of our self-checkout and loss prevention solution is performing. We expect rollout of additional brands at that customer and to drive modest gateway demand through at least the end of 2024.

轉向有遠見的歐洲零售商的解決方案。我們正在不斷推出自助結帳和防損解決方案。我們預計至少在 2024 年底，該客戶將推出更多品牌，並推動適度的網關需求。

Our tagging ramps, which replaces existing heart tents with embedded tax that use our Protected Mode for consumer privacy is also on track driving growing endpoint IC box. General merchandise is a large North American retailers. Rain tag usage has accelerated, driven by additional products being tagged and new product order.

我們的標籤坡道以嵌入式稅收取代了現有的心形帳篷，使用我們的保護模式保護消費者隱私，也正在推動端點 IC 盒的成長。 General Mercury是北美大型零售商。在附加產品被標記和新產品訂單的推動下，雨標籤的使用加速了。

We anticipate steady growth in general merchandise tagging for the remainder of the year Finally, in supply chain and logistics, we expect the second large North American supply chain and logistics end user to increase their label consumption in 2024. Taken together, our Enterprise Solutions networks are and continue paying clear dividends in endpoint IC volume.

我們預計今年剩餘時間內一般商品標籤將穩定成長。正在並將繼續在端點IC 數量上帶來明顯的紅利。

I'd like to now touch on two solutions growth opportunities, digital product, Passport and food and DPPI. recently spent a week in EU. speaking with partners and end users and how we together advance reign as the technology of choice where textile p brand has the apparel penetration.

我現在想談談兩個解決方案的成長機會：數位產品、護照和食品以及 DPPI。最近在歐盟度過了一周。與合作夥伴和最終用戶交談，以及我們如何共同推動作為紡織品牌在服裝領域滲透的首選技術的統治地位。

Dbt also requires consumer engagement, ITGBP., making the strongest case today for putting rain reading into the hands of consumers and large enterprises are making that need know on food demand is growing at a faster pace than I had expected with several quick service food chains talking openly about using RAIN for inventory, shelf life and freshness the overall food opportunity is so large that any adoption can drive meaningful endpoint IC volumes.

Dbt 還需要消費者參與，ITGBP.，今天提出了最有力的理由，將雨量讀數交到消費者手中，大型企業正在讓人們知道食品需求的增長速度比我預期的要快，幾家快餐連鎖店公開談論使用RAIN 來提高庫存、保質期和新鮮度，整體食品機會非常大，任何採用都可以推動有意義的端點IC 銷售。

On the intellectual property front, in March, we successfully settled our patent dispute with NXP, including a multiyear litigation during which impinged prevail in multiple jury trials. As Cary will detail shortly, NXP agreed to pay us an upfront amount any yearly licensee in exchange for a broad patent cross-license.

在智慧財產權方面，三月份，我們成功解決了與恩智浦的專利糾紛，其中包括一場多年的訴訟，期間多次陪審團審判中侵權獲勝。正如卡里很快將詳細介紹的那樣，恩智浦同意向我們支付任何年度被許可人的預付款，以換取廣泛的專利交叉許可。

Not only increases our cash reserves and competitiveness, frees management bandwidth and remove uncertainty from the industry overall. But we are happy to put this dispute behind us. The rain pioneer and innovator, and we remain vigilant and committed to safeguarding our patented inventions as well as identifying additional licensing opportunities.

不僅增加了我們的現金儲備和競爭力，釋放了管理頻寬並消除了整個行業的不確定性。但我們很高興將這場爭端拋在腦後。作為雨的先驅和創新者，我們保持警惕並致力於保護我們的專利發明並尋找額外的授權機會。

Closing, we delivered a very strong first quarter in every respect financial organizational and market leadership, we see continued strength looking into the second quarter. Looking further out, we see growing opportunities to drive recurring licensing and services revenue, monetizing our IP platform and cloud services. We continue driving our bold vision to connect every item in our everyday world, confident in our market position franchise, the opportunities ahead.

最後，我們在財務組織和市場領導力的各個方面都實現了非常強勁的第一季度，我們看到第二季度的持續強勁勢頭。展望未來，我們看到了越來越多的機會來推動經常性授權和服務收入，透過我們的 IP 平台和雲端服務實現貨幣化。我們繼續推動我們的大膽願景，將日常生活中的每件物品連接起來，對我們的市場地位和未來的機會充滿信心。

Before I turn the call over to Cary for our financial review and second quarter outlook. I'd like to again thank every member of the Impinj team for your constant efforts driving our bold vision. As always, I feel honored by me incredible good fortune to work with you. Cary?

在我將電話轉給卡里之前，我們會進行財務審查和第二季度展望。我要再次感謝 Impinj 團隊的每一位成員，感謝你們為推動我們大膽願景所做的不懈努力。像往常一樣，我很榮幸能夠與您一起工作，這是我難以置信的幸運。卡里？

Thank you, Chris, and good afternoon, everyone. On today's call, I will review our first quarter financial results and second quarter financial outlook. First quarter revenue was $76.8 million, up 9% sequentially compared with $70.7 million in fourth quarter 2023 and down 11% year over year from $86 million in first quarter 2023.

謝謝克里斯，大家下午好。在今天的電話會議上，我將回顧我們第一季的財務表現和第二季的財務前景。第一季營收為 7,680 萬美元，比 2023 年第四季的 7,070 萬美元成長 9%，比 2023 年第一季的 8,600 萬美元下降 11%。

First quarter endpoint IC revenue was $61.5 million, up 14% sequentially compared with $53.9 million in fourth quarter 2023 and down 8% year-over-year from $67 million in first quarter 2023. First quarter endpoint IC revenue exceeded our expectations led by retail.

第一季端點IC 營收為6,150 萬美元，比2023 年第四季的5,390 萬美元成長14%，比2023 年第一季的6,700 萬美元下降8%。業為主導的預期。

Looking forward, we expect second quarter endpoint IC product revenue to increase sequentially, again led by retail. First quarter systems revenue was $15.3 million, down 9% sequentially compared with $16.8 million in fourth quarter 2023 and down 19% year over year from $18.8 million in first quarter 2023.

展望未來，我們預計第二季端點 IC 產品營收將季增，再次由零售業帶動。第一季系統營收為 1,530 萬美元，比 2023 年第四季的 1,680 萬美元下降 9%，比 2023 年第一季的 1,880 萬美元下降 19%。

First quarter systems revenue was below our expectations, primarily due to lower channel reader sales. Looking ahead, we expect a sequential decrease in second quarter systems revenue with increasing channel reader sales more than offset by declining project-based gateway sales.

第一季系統收入低於我們的預期，主要是由於通路閱讀器銷售下降。展望未來，我們預期第二季系統收入將持續下降，通路閱讀器銷售額的增加將被基於專案的網關銷售額的下降所抵銷。

First quarter gross margin was 51.5% compared with 50.9% in fourth quarter 2023 and 52.4% in first quarter 2023. The sequential increase was driven by mix within endpoint ICs. The year-over-year decrease was driven primarily by lower revenue on fixed costs, partially offset by higher systems product margins.

第一季毛利率為 51.5%，而 2023 年第四季為 50.9%，2023 年第一季為 52.4%。年比下降的主要原因是固定成本收入下降，但部分被系統產品利潤率上升所抵銷。

Looking to the second quarter, we expect gross margin to increase. Total first quarter operating expense was $32.9 million compared with $33 million in fourth quarter 2023 and $36.4 million in first quarter 2023. Operating expense was lower than we anticipated due to strong spend management across all major functions as well as lower litigation costs.

展望第二季度，我們預期毛利率將上升。第一季營運費用總額為3,290 萬美元，而2023 年第四季為3,300 萬美元，2023 年第一季為3,640 萬美元。費用低於我們的預期。

Research and development expense was $16.5 million. Sales and marketing expense was $7.7 million. General and administrative expense was $8.7 million, including litigation expense of $1.3 million. We expect a slight sequential decrease in second quarter operating expense as litigation expense declines to immaterial levels more than offsetting investments in our base spend.

研究與開發費用為1650萬美元。銷售和行銷費用為 770 萬美元。一般及行政費用為 870 萬美元，其中訴訟費用為 130 萬美元。我們預計第二季營運費用將略有下降，因為訴訟費用下降到無關緊要的水平，超過了我們基本支出的投資。

First quarter adjusted EBITDA was $6.7 million compared with $3 million in fourth quarter 2023 and $8.6 million in first quarter 2023. First quarter adjusted EBITDA margin was 8.7%. First quarter GAAP net income was $33.3 million. First quarter non-GAAP net income was $6.2 million or $0.21 per share on a fully diluted basis.

第一季調整後 EBITDA 為 670 萬美元，而 2023 年第四季為 300 萬美元，2023 年第一季為 860 萬美元。第一季 GAAP 淨利為 3,330 萬美元。第一季非 GAAP 淨利潤為 620 萬美元，或完全攤薄後每股 0.21 美元。

Turning to the balance sheet, we ended the first quarter with cash equivalents and investments of $174.1 million compared with $113.2 million in fourth quarter 2023 and $164.7 million in first quarter 2023. Inventory totaled $87.8 million, down $9.4 million from the prior quarter first quarter net cash provided by operating activities was $60.1 million. Property and equipment purchases totaled $6.2 million. Excluding the $45 million income from the litigation settlement free cash flow was $8.9 million.

轉向資產負債表，第一季末我們的現金等價物和投資為1.741 億美元，而2023 年第四季為1.132 億美元，2023 年第一季為1.647 億美元。一季淨額減少940 萬美元經營活動提供的現金為 6,010 萬美元。財產和設備採購總額為 620 萬美元。不包括訴訟和解帶來的 4,500 萬美元收入，自由現金流為 890 萬美元。

Before turning to our guidance, I want to highlight a few items unique to our results and outlook. First, NXP. paid us a one-time $45 million litigation settlement payment in the first quarter. We recorded that $45 million in our first quarter GAAP financial statements as other income in our income statement and that's cash on our balance sheet.

在轉向我們的指導之前，我想強調一些我們的結果和前景所特有的項目。首先是恩智浦。第一季向我們一次性支付了 4500 萬美元的訴訟和解金。我們在第一季 GAAP 財務報表中將這 4,500 萬美元記錄為損益表中的其他收入，這就是我們資產負債表上的現金。

Next, an extreme will pay us an annual license fee each April for up to 10 years unless they design out our IP and exercising early termination rights. Earlier this month, we received a first $15 million covering the period from April 1, 2024 to March 31, 2025.

接下來，Extreme將每年四月向我們支付長達10年的年度授權費，除非他們設計出我們的IP並行使提前終止權。本月早些時候，我們收到了第一筆 1500 萬美元，涵蓋 2024 年 4 月 1 日至 2025 年 3 月 31 日。

We will recognize the full value of that payment as second quarter endpoint IC revenue, which is reflected in our second quarter guidance at nearly 100% gross margin going forward, the payments will increase annually by a modest fixed rate for as long as the agreement is in effect.

我們將確認該付款的全部價值作為第二季度端點 IC 收入，這反映在我們第二季度的指導中，未來毛利率接近 100%，只要協議生效，付款將每年以適度的固定利率增加。

As a reminder, for calculating our quarterly diluted earnings per share when quarterly non-GAAP net income exceeds $12 million. You should add the 2.6 million shares underlying our convertible debt into our diluted weighted average shares, and you should remove the corresponding $1.2 million of interest expense from our net income.

提醒一下，當季度非 GAAP 淨利潤超過 1200 萬美元時，計算我們的季度攤薄每股收益。您應該將我們可轉換債務的 260 萬股添加到我們的稀釋加權平均股中，並且您應該從我們的淨利潤中刪除相應的 120 萬美元利息費用。

Final, first half 2024 marks a turning point in our operating margin profile. We added high margin licensing revenue and reduced operating expense by removing limitations and reorganizing our reader and gateway channel business.

最後，2024 年上半年標誌著我們營業利潤率狀況的轉捩點。透過消除限制和重組我們的閱讀器和網關管道業務，我們增加了高利潤的授權收入並降低了營運費用。

As you can see in our second quarter guidance, those actions drive substantial earnings per share accretion and they will also drive significant free cash flow. Furthermore, these margin improvements accrue for the M. 800 drive additional leverage.

正如您在我們的第二季指導中看到的那樣，這些行動推動了每股收益的大幅成長，並且還將推動大量的自由現金流。此外，M.800 帶來的這些利潤率改善推動了額外的槓桿作用。

Turning to our outlook, we expect second quarter revenue between $96 million and $99 million compared with $76.8 million in first quarter 2024, a 27% quarter-over-quarter increase at the midpoint, including the licensing payment and a 7% quarter over quarter increase of the midpoint.

談到我們的展望，我們預計第二季營收將在9,600 萬美元至9,900 萬美元之間，而2024 年第一季營收為7,680 萬美元，中點環比成長27%，其中包括授權付款，環比成長7 %的中點。

Excluding it, we expect adjusted EBITDA between $23.9 million and $25.4 million on the bottom line we expect non-GAAP net income between $21.7 million and $23.2 million, reflecting non-GAAP fully diluted earnings per share between $0.72 and $0.77.

排除它，我們預計調整後的EBITDA 在2390 萬美元到2540 萬美元之間，我們預計非GAAP 淨利潤在2170 萬美元到2320 萬美元之間，反映出非GAAP 完全稀釋每股收益在0.72 美元到0.77 美元之間。

In closing, I want to thank the Impinj team, our customers, our suppliers, and to 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 Impinj 團隊、我們的客戶、我們的供應商以及我們的投資者的持續支持。我現在將通話轉給接線員以開始問答環節。喬丹？

Thank you very much. (Operator Instructions)

非常感謝。 （操作員說明）

Harsh Kumar, Piper Sandler.

嚴厲的庫馬爾，派珀桑德勒。

Yes, hey, first of all, you guys saw a huge congratulations to the settlement of the litigation and then also just the tone in the business, Chris, what are big, different six months can make out of this or had there's a lot of interesting stuff in your comments.

是的，嘿，首先，你們看到了對訴訟和解的巨大祝賀，然後也看到了業務中的基調，克里斯，有什麼大的，不同的六個月可以從中得出結論，或者有很多您評論中的有趣內容。

I wanted to start with general merchandise. I wanted to start with the large North American retailer that you highlighted in your comments. I wanted to ask you how this was going. You obviously talked about some pick up there.

我想從一般商品開始。我想從您在評論中強調的北美大型零售商開始。我想問你這是怎麼回事。你顯然談到了那裡的一些接盤。

Maybe you could just provide us some additional color. And then what is the implication of this implementation succeeding is there is this like a big thing that the entire retail industry is waiting for? This just has huge implications for adoption for the rest of the retail. And I've got a follow-up.

也許你可以為我們提供一些額外的顏色。那麼這個實施的成功意味著什麼？這對於其他零售業的採用有著巨大的影響。我還有後續行動。

Appreciate it. I'm going to let Jeff Wade in here because I'm expressing very close to the customer side obviously. And so Jeff.

欣賞它。我會讓傑夫·韋德（Jeff Wade）進來，因為我的表達顯然與客戶非常接近。傑夫也是如此。

Thank you for your question, Harsh. Since our tagging ecosystem partners who serve this large North American retailers tagging needs have signaled steady gains in the tagging of additional general merchandise categories as well as a modest uptick in overall consumer demand.

謝謝你的提問，哈什。由於我們為北美大型零售商提供標籤需求的標籤生態系統合作夥伴已經表明，其他一般商品類別的標籤穩步增長，並且整體消費者需求略有上升。

And some of the general merchandise categories are progressing more quickly than others, but we are optimistic that the progress will continue in the year ahead.

有些百貨類別的進展速度比其他品類更快，但我們樂觀地認為，這項進展將在未來一年持續下去。

And hard highlighted that on historically that end user, it has significantly led our industry and others have followed their moves. Of course, there was a setback during the years from 2013, basically to 2019 associated with around our litigation that's well behind us now.

並強烈強調，從歷史上看，最終用戶，它極大地引領了我們的行業，其他人也追隨了他們的舉動。當然，從 2013 年到 2019 年，我們遇到了一些挫折，這與我們現在已經遠遠落後的訴訟有關。

And so we don't have a firm data to date. It's my expectation that this customer being a bellwether for many other large customers and for our industry overall has proven historically and by their size is going everything maybe going forward, I would put into the mix at the benchmark for other companies we follow.

所以到目前為止我們還沒有確切的數據。我期望這個客戶成為許多其他大客戶和我們整個行業的領頭羊，這已經被歷史證明，並且根據他們的規模，一切可能都會向前發展，我會將其納入我們關注的其他公司的基準組合中。

Okay. Well, the question then from my follow-up, guys, I wanted to ask about logistics again, the second customer that is ramping, do you think you are in a position to be able to say that this customer will grow with you every quarter steadily for the rest of the year? And when do you think you might reach the point where you are sort of, call it 100% penetrated at this customer in tagging?

好的。好吧，接下來的問題是我的後續問題，夥計們，我想再次詢問物流方面的問題，第二個正在增長的客戶，你認為你有能力說這個客戶每個季度都會與你一起成長嗎？您認為什麼時候您可能會達到某種程度，即標記中對該客戶的 100% 滲透？

So I'll start here and I'm going to let Jeff jump in Harsh. We only guide one quarter at a time and with any of these So large deployments, there are always teething issues as we go off of we work with the customer and our partners work with customers to get through those teething issues.

所以我將從這裡開始，我將讓 Jeff 加入 Harsh。我們一次只指導一個季度，對於任何如此大規模的部署，當我們與客戶合作以及我們的合作夥伴與客戶合作解決這些初期問題時，總是會出現一些初期問題。

So there's always a little bit ups and downs along the way and so it's difficult for me to say that at any given quarter, things are going to be consistently up what we do see strength of that customer contract commitments, a real commitment to them to go forward and to digitize the entire to their operations and a commitment to Agriliance they transported, but also has substantively changed how they run their business.

因此，在此過程中總會有一些起伏，因此我很難說在任何特定季度，事情都會持續符合我們所看到的客戶合約承諾的強度，對他們的真正承諾繼續前進並將整個營運數位化以及他們對農業的承諾，同時也實質地改變了他們的業務運作方式。

So we see multiple opportunities with this customer and then hopefully but then again, it's a bellwether for the overall supply chain and logistics industry and others will follow.

因此，我們看到了該客戶的多種機會，然後希望但話又說回來，它是整個供應鏈和物流行業的領頭羊，其他行業也會效仿。

Fair enough. I will get back. Thank you.

很公平。我會回來的。謝謝。

Thank you.

謝謝。

Thanks, Harsh.

謝謝，嚴酷。

Thanks, Harsh.

謝謝，嚴酷。

Jim Ricchiuti, Needham & Company.

吉姆‧里奇烏蒂 (Jim Ricchiuti)，李約瑟公司。

And I think just maybe on that second logistics customer, as you as you know, I'm sure they discussed moving into this Phase two implementation where presumably it sounds like they're going to be putting readers RFID readers in the hands of their drivers, and I assume that's going to help your reader IC business.

我想也許對於第二個物流客戶，正如您所知，我確信他們討論了進入第二階段的實施，大概聽起來他們將把RFID閱讀器放在他們的司機手中，我認為這會對您的讀卡機IC 業務有所幫助。

But Chris, maybe as we think about their deployment is moving now into their vehicles. What is the significance of this? Or is this all part of their grand plan that you guys were always kind of aware of?

但是克里斯，也許我們認為他們的部署現在正在轉移到他們的車輛中。這有什麼意義呢？或者這就是你們一直都知道的他們宏偉計劃的一部分？

I'm going to let Jeff take the lead here and then I'll circle back on the impact to silicon.

我將讓傑夫在這裡帶頭，然後我將回顧對矽的影響。

I think first, Jim, I want to reiterate that we prefer to have our existing and prospective customers speak to their own programs and deployments. But what I will say is that I think we have a platform opportunities with this particular customer going forward and importantly, multiple silicon touch points in those opportunities

我想首先，吉姆，我想重申，我們更願意讓我們的現有和潛在客戶談論他們自己的計劃和部署。但我要說的是，我認為我們與這個特定客戶的未來有一個平台機會，重要的是，這些機會中有多個晶片接觸點

Got it. One follow-up question, Chris, I wanted to go back to your comment about the food applications and moving faster than you expected, some small yield and how should we think about this? When could this potentially be a yes, perhaps a more meaningful incremental driver for the endpoint IC business. I mean, it's I'm sure, George, yes, everything else towards this, but you seem pretty excited about what you see.

知道了。一個後續問題，克里斯，我想回到您對食品應用的評論，進展速度比您預期的要快，產量很小，我們應該如何考慮這一點？什麼時候這可能成為肯定的，也許是端點 IC 業務更有意義的增量驅動力。我的意思是，我確信，喬治，是的，其他一切都與此相關，但你似乎對你所看到的感到非常興奮。

Yes, Jim, so on now and if you look back in time, what I've said is that food opportunity is so large that it's hard to see it moving really quickly and done. But what I'm what I'm actually doing and what our feeling is that it's moving a bit faster than I had expected. And when we see the data fast-food chains talking openly about the thing about inventory, shelf life and freshness, and we see other opportunities out there on the market front, our partners bringing in some opportunities overall.

是的，吉姆，現在就這樣吧，如果你回顧過去，我所說的是食品機會如此之大，以至於很難看到它真正快速地發展和完成。但我實際上正在做的事情以及我們的感覺是它的進展比我預期的要快一些。當我們看到數據快餐連鎖店公開談論庫存、保質期和新鮮度等問題時，我們看到市場上有其他機會，我們的合作夥伴總體上帶來了一些機會。

On me a little bit of its price, and it's just kind of flip Page 2 and I wasn't expecting now part of the reason since it may be that with the retail is adopting brain. So successfully in asking about technologies, grow new cases improvements and it kind of paves the way none of our instrument take a little longer. So I'm rather excited about the opportunities of where they are right now. And as we learn more going forward, we will bring other opportunities and insights to your attention.

對我來說，它的價格有點低，這只是翻了第二頁，我現在沒想到部分原因，因為這可能是零售業正在採用大腦。如此成功地詢問了技術，增加了新的案例改進，這為我們的儀器不再需要更長的時間鋪平了道路。所以我對他們現在所處的機會感到非常興奮。隨著我們了解更多，我們將帶來其他機會和見解以引起您的注意。

Thanks. Congrats on the quarter.

謝謝。恭喜本季。

Thank you. Thank you.

謝謝。謝謝。

And the settlement.

還有和解。

Thank you very much.

非常感謝。

Mike Walkley, Canaccord Genuity.

麥克沃克利 (Mike Walkley)，Canaccord Genuity。

Great. Thank you and my congrats on everything to I guess, Chris, just on the strong intellectual property and your comments about protecting it, what has been kind of the feedback from the RAIN RFID outside the industry post your settlement with NXP? And are there additional opportunities to license your technology?

偉大的。謝謝你，我對克里斯所做的一切表示祝賀，只是關於強大的智慧財產權以及你對保護智慧財產權的評論，在與恩智浦達成和解後，行業外的 RAIN RFID 有何反饋？還有其他機會獲得您的技術許可嗎？

I'm going to start with the latter part of the question. First, Mike and there are additional opportunities out there for licensing overall. So there's opportunities on our IV pumps on cloud services front for our platform. Overall, we've got we just got a lot of strengths and capabilities in the things that we're doing. Furthermore, we see opportunities to integrate with our partners and make more partners out of the market interest and provide additional licensing opportunities to generate recurring revenue.

我將從問題的後半部分開始。首先，麥克和整體上還有其他許可機會。因此，我們平台的雲端服務前端的靜脈輸液幫浦存在機會。總的來說，我們在我們正在做的事情中擁有很多優勢和能力。此外，我們看到了與合作夥伴整合的機會，使更多合作夥伴產生市場興趣，並提供額外的授權機會來產生經常性收入。

So on that front, and we feel good, which is why I cited it in our in the prepared remarks, although obviously, we didn't give any further details because we can't really say anything until we have any further details. Tom and licensing is core to our strategy going forward.

因此，在這方面，我們感覺很好，這就是為什麼我在準備好的發言中引用了它，儘管顯然我們沒有提供任何進一步的細節，因為在我們獲得任何進一步的細節之前我們無法真正說什麼。湯姆和許可是我們未來策略的核心。

In terms of the industry reaction to us, selling with NXP and industry less for the most part revealed there was a lot of uncertainty hanging over the fact that there was little litigation ongoing between the two largest endpoint IC suppliers and the fact that that that overhang to the industry is removed.

就產業對我們的反應而言，與恩智浦和產業的銷售在很大程度上表明存在很大的不確定性，因為兩家最大的端點IC 供應商之間幾乎沒有正在進行的訴訟，而這種懸而未決的事實到該行業被刪除。

I'm guarded as we think that a company and as we continue to move forward and it takes away any concerns or any concerns about potential impairment going forward. Outside of that, of course, carrier side of the details of the settlement and we feel the US and that's good for us and good for the industry overall.

我很謹慎，因為我們認為一家公司以及我們繼續前進，它消除了任何擔憂或任何對未來潛在損害的擔憂。當然，除此之外，運營商方面的和解細節以及我們認為美國這對我們和整個行業都有好處。

Great. And for my follow-up, you Cary this just on gross margins, obviously next quarter will be a high gross margin quarter with some licensing payment. But as we kind of back that out and think about gross margin trends for the rest of the business with an 800 ramping and potentially a stronger mix of systems later in the year. How should we just think about gross margin trends for the business?

偉大的。對於我的後續行動，卡里，這只是毛利率，顯然下個季度將是一個高毛利率季度，並支付一些許可費用。但當我們放棄這一點並考慮其餘業務的毛利率趨勢時，我們將在今年稍後增加 800 美元，並可能採用更強大的系統組合。我們應該如何考慮業務的毛利率趨勢？

Yes. Thanks for the question. I think as you look into the second quarter, we expect gross margins to increase with a strong benefit from the license revenue, if you will, to remove that, we're modeling gross margins on a product level to be about flat quarter over quarter. And currently we're running below our target of 53% to 54% range for first for a few reasons. First, we remain a little subscale, but are closing that gap quickly.

是的。謝謝你的提問。我認為，當您展望第二季時，我們預計毛利率將隨著許可證收入的強勁增長而增加，如果您願意的話，為了消除這一點，我們正在對產品層面的毛利率進行建模，使其與上一季持平。目前，我們低於 53% 至 54% 的目標，首先有幾個原因。首先，我們的規模仍然較小，但正在迅速縮小這一差距。

And then second, as has been the case, historically, the systems business recovery typically lags the endpoint ICs recovery this has caused our endpoint IC revenue to grow as a percent of our total revenue in 2019 carries a gross margin that's slightly lower than our corporate average. And then finally are our lower margin 200 millimeter volume running skews slightly higher as a percent of revenue in 2Q and will likely be so again in Q3.

其次，正如歷史上的情況一樣，系統業務的復甦通常滯後於端點 IC 的復甦，這導致我們的端點 IC 收入增長，佔 2019 年總收入的百分比，其毛利率略低於我們的公司平均的。最後，我們的利潤率較低的 200 毫米卷在第二季度佔收入的百分比略高，並且可能在第三季度再次出現這種情況。

That product line is two generations old at this point and we're moving it before the M. 800 ramps. We'll know more about that pace of the M200 ramp in the next quarter or so but the second quarter volumes remain small from a mix perspective, and we're really not have any physical impacts to our gross margin. So overall, we remain confident in the gross margin targets that we outlined at our Investor Day.

該產品線目前已有兩代歷史，我們正在將其移至 M.800 坡道之前。我們將在下個季度左右了解更多有關 M200 成長速度的信息，但從混合角度來看，第二季的銷量仍然很小，而且我們實際上對毛利率沒有任何實際影響。因此，總體而言，我們對投資者日概述的毛利率目標仍然充滿信心。

That's very helpful. Thank you very much.

這非常有幫助。非常感謝。

Thank you.

謝謝。

Christopher Rolland, Susquehanna.

克里斯多福羅蘭，薩斯奎哈納。

Hey, thanks for the question. On the digital product Passport, I think you talked to it regarding textiles as well. Can you tell us a little bit more about that? The applications maybe the economics associated with it and how big you think it can ultimately be?

嘿，謝謝你的提問。在數位產品 Passport 上，我想您也談到了有關紡織品的問題。您能告訴我們更多相關資訊嗎？這些應用程式可能是與之相關的經濟效益，您認為它最終會有多大？

So Chris, the application really is the US passed a set of regulations passed regulations that basically require traceability of textile and our cradle to grave to foreign manufacturing all the way through shipment sale, consumer use and recycling of those regulations are really be again kicking in in 2027 and a lifecycle for stability.

所以克里斯，申請實際上是美國通過了一系列法規，這些法規基本上要求紡織品的可追溯性，而我們的從搖籃到墳墓的外國製造一直到運輸銷售、消費者使用和回收這些法規確實再次生效2027 年和一個穩定的生命週期。

And I think he wants to give consumers ability to have items, product and the consumer to make an informed choice around sustainability and it forms part of the products and the buying and accounts. And in doing so provide the data about the edge to the consumers.

我認為他希望讓消費者能夠擁有物品、產品，並讓消費者圍繞永續性做出明智的選擇，它構成了產品、購買和帳戶的一部分。並在此過程中向消費者提供有關邊緣的數據。

And as I said, recycling and end-of-life So the key here for us is that I believe DPP. will drive significant opportunities for consumer engagement. Now main orebody is not issue equity, etc., because there are other data carry. We are partners.

正如我所說，回收和報廢因此對我們來說關鍵是我相信 DPP。將帶來消費者參與的重要機會。現在主要礦體不發行股權等，因為有其他數據攜帶。我們是合作夥伴。

Our enterprise end users want is to make the text that already on the retail apparel items and more and more embedded in the ISCI. data carrier for DPP. In order to get there, we need consumers to be able to read those items, which is the impetus for paying readers in the mobile phone.

我們的企業最終用戶想要的是讓已經在零售服裝項目上的文本越來越多地嵌入 ISCI 中。 DPP 的資料載體。為了實現這一目標，我們需要消費者能夠閱讀這些內容，這是手機付費閱讀器的動力。

And I personally think that RAIN reading and mobile phones opens up a world of opportunities and actually the new and transformative use case for the mobile phone suppliers. So I am hopeful, but I can't go beyond hopeful.

我個人認為 RAIN 閱讀和手機打開了一個充滿機會的世界，實際上為手機供應商帶來了新的、變革性的用例。所以我充滿希望，但我無法超越希望。

I'm hopeful that this increased pressure or increased incidence between grain breeding and local bonds, maybe will put us over the edge or the talk in terms of getting the readers and Tom's, which would open up a flow of opportunities beyond DTT.

我希望，穀物育種和地方債券之間壓力的增加或發生率的增加，也許會讓我們處於吸引讀者和湯姆的邊緣或談話的邊緣，這將開闢 DTT 之外的一系列機會。

So that really affected the growth potential already going on. And we need to get consumers being able to reach them. And when they can, it opens up a whole new set of opportunities post point-of-sale.

因此，這確實影響了已經存在的成長潛力。我們需要讓消費者能夠接觸到他們。如果可以的話，它會在銷售點後開闢一系列全新的機會。

That's very interesting.

這很有趣。

Just a quick follow-up there. Would you be selling ICs into the mobile market for that? Or could they use some sort of existing function there?

只是快速跟進。您會為此向行動市場銷售 IC 嗎？或者他們可以使用那裡的某種現有功能嗎？

And then just a housekeeping on the licensing. Is there a volume component to royalties for future payments? And how dependent on volumes are those payments of the?

然後只是對許可進行整理。未來支付的特許權使用費是否有金額組成部分？這些付款對數量的依賴程度如何？

Yes, taking the latter question first, but then there's a fixed amount increasing at a modest, a modest amount each year. So on and as we've said with regards to electrification and going to the former, it's too early to say whether there's an opportunity for us in silicon into mobile phones or not.

是的，首先考慮後一個問題，但是每年都會有一個固定的適度增長。如此，正如我們在談到電氣化和轉向前者時所說的那樣，現在判斷我們在手機晶片領域是否有機會還為時過早。

But putting that aside for a minute, if you think of our platform as the endpoint ICs, BRICs, we're pushing more into some of the services around it. We already have enterprise-level engagements. We see a large opportunity for our platform, whether or not it's actually our silicon and ends up in advance.

但先把這個放在一邊，如果您將我們的平台視為端點 IC、金磚四國，那麼我們將更多地推動圍繞它的一些服務。我們已經有企業級的合作。我們看到我們的平台存在巨大的機會，無論它是否實際上是我們的晶片並提前結束。

Of course, proprietary silicon in phones. But even if we don't, we're going to be pushing for that opportunity to leverage our platform and the benefits our platform brings. And we want to be inside their side-by-side with the retailers and the phone providers and the manufacturers be part of the overall solution.

當然，手機中的專有晶片。但即使我們不這樣做，我們也會爭取這個機會來利用我們的平台以及我們平台帶來的好處。我們希望與零售商、手機提供商和製造商並肩合作，成為整體解決方案的一部分。

Thanks Chris.

謝謝克里斯。

Thank you.

謝謝。

Scott Searle, ROTH MKM.

斯科特·塞爾，羅斯 MKM。

Good afternoon. Thanks for taking the questions. Nice to see the continued recovery in the core business and the outlook of those key customers. Maybe quickly on that front on the retail apparel front, it sounds like that drove the upside for endpoint ICs in the first quarter and striving the outlook of the upside into the second quarter as well.

午安.感謝您提出問題。很高興看到核心業務的持續復甦以及這些主要客戶的前景。也許在零售服裝方面，這聽起來很快就推動了第一季端點 IC 的上漲，並努力實現第二季的上漲前景。

Versus the retail apparel market now normalized as we get to the second quarter, are we still recovering and working through some inventory in there? Are these new design wins and ramp up in unit volumes, et cetera.

與進入第二季時零售服裝市場現已正常化相比，我們是否仍在恢復並處理那裡的一些庫存？這些新設計是否獲勝並增加了單位體積等等。

I'm going to start by saying thank you. And then I'm going to hand off to Jeff because I think Jeff can provide some commentary there, Jeff?

我首先要說聲謝謝。然後我將把工作交給傑夫，因為我認為傑夫可以在那裡提供一些評論，傑夫？

Well, we are seeing some restocking taking place in, but apparel also footwear and general merchandise to better match to an uptick in consumer demand and whether or not that trend continues. It's too early to call and probably not for us to call that.

嗯，我們看到服裝、鞋類和日用百貨正在進行一些補貨，以更好地適應消費者需求的成長，無論這種趨勢是否持續。現在打電話還為時過早，而且我們可能不適合這樣打電話。

But overall, the partners who engage with both retailers signal some strength into the second quarter and optimism, cautious optimism for the second half, but are awaiting more confirmation of the sustainability of that uptick in demand.

但總體而言，與兩家零售商合作的合作夥伴在第二季度表現出一定的實力，並對下半年持謹慎樂觀態度，但正在等待更多需求上升永續性的確認。

I've got on there a little bit more on here. So we see, yes, we see multiple drivers. As we look out. We see embedded tagging, which replaces some markets were soft labels and StarBand every software itself. So we see some tailwinds from that and having the general merchandise where we already talked about that going forward, do we see challenging general merchandise has just highlighted the recent revised and then our efforts around solutions driving solutions in the market and our strength in those solutions accounts. All four of those. Some of those factors are we believe, are tailwinds that are driving our endpoint IC volume.

我在這裡還有更多內容。所以我們看到，是的，我們看到了多個驅動程式。當我們向外看時。我們看到嵌入式標籤，它取代了一些市場的軟標籤和 StarBand 每個軟體本身。因此，我們從中看到了一些順風車，並且擁有我們已經討論過的一般商品，我們是否看到具有挑戰性的一般商品剛剛強調了最近的修訂，然後我們圍繞推動市場解決方案的解決方案所做的努力以及我們在這些解決方案中的實力帳戶。所有這四個。我們認為，其中一些因素是推動我們端點 IC 銷售的有利因素。

Yes. And if I could follow up on the DPP. front, Chris, it's a huge opportunity there. I'm wondering if you could walk us through what's the process and some of the milestones that I look like over the next couple of years, you're talking a lot about retail apparel on the traceability to engage consumers on that front.

是的。如果我可以跟進民進黨的情況。克里斯，前面，這是一個巨大的機會。我想知道您是否可以向我們介紹未來幾年的流程和一些里程碑，您談論了很多關於零售服裝的可追溯性，以吸引消費者在這方面的參與。

But I thought we were going to see tires and batteries kind of starting for some of those recyclable items more so than we think about textiles, has that changed in terms of the implementation of different product categories? Or is it just because the retail apparel is just such a large unit opportunity and drives incremental feature sets from Impinj face?

但我認為我們會看到輪胎和電池開始用於一些可回收物品，而不是我們想像的紡織品，這在不同產品類別的實施方面是否發生了變化？或者僅僅是因為零售服裝是一個如此大的單位機會並推動了 Impinj 面部的增量功能集？

Yes. So from my understanding of where DPP. is today and not only the regulations kind of being ironed out with the most agents being ironed out. Candidly speaking now our batteries are going first for my understanding, but also quite understanding that it stretched out. The gain on the carrier for those batteries is QR codes and textiles is the next one to come along is a much bigger category and the data carrier has not decided yet, so it could be multiple.

是的。那麼從我的理解民進黨在哪裡。今天，不僅是法規被解決了，大多數代理商也被解決了。坦白說，現在我們的電池首先要使用，這是我的理解，但也很理解它的壽命。這些電池載體的優勢是二維碼，而紡織品是下一個更大的類別，而資料載體尚未決定，因此可能是多個載體。

Rayment, because the RAIN RFID to Arco's BSC RFID experienced a bunch of different things. And it's not cited as factors committees working on figuring out what the data carriers are RAIN. Rfid is a big benefit that now visibility's and it's really great already on apparel items as rates being netted into the assets, that's great, but we're not in mobile phones.

Rayment，因為從 RAIN RFID 到 Arco 的 BSC RFID 經歷了很多不同的事情。致力於找出資料載體是什麼 RAIN 的委員會也沒有將其列為因素。 Rfid 是一個很大的好處，現在可見度很高，而且它在服裝產品上已經非常好了，因為費率已計入資產中，這很好，但我們不在手機領域。

So that's why I highlighted the opportunity in the mobile phones and that there are now large enterprises in Europe that are pushing And leading on EP now that we need RAIN readers and mobile phones and so on, whether that question will be enough is to be determined.

這就是為什麼我強調了手機領域的機會，現在歐洲有大企業正在推動和領先 EP，現在我們需要 RAIN 閱讀器和手機等等，這個問題是否足夠還有待確定。

But it's the first time we've really had a real flushing from leaders in the market from the enterprises in the market saying we need this capability and so I think that your first your first indicator will be over the next call it one to two years, whether our range is classified as a data carrier for EBIT and we hope to make, yes.

但這是我們第一次真正感受到市場領導者和市場企業的強烈不滿，他們說我們需要這種能力，所以我認為你的第一個指標將在接下來的一到兩年內出現，我們的產品系列是否被歸類為息稅前利潤的資料載體，我們希望這樣做，是的。

Great. Thank you

偉大的。謝謝

Thank you.

謝謝。

Harsh Kumar, Piper Sandler.

嚴厲的庫馬爾，派珀桑德勒。

You guys show a lot of surgeons that are probably struggling of additional remodels. So I thought I would just ask this openly what should be the expected OpEx level going forward? In other words, I know you were spending $4 million or $4.5 million in legal. Is that a fair number for us to take out?

你們向我們展示了許多外科醫生可能正在為額外的改造而苦苦掙扎。所以我想我應該公開問這個問題，未來的預期營運支出水準應該是多少？換句話說，我知道你在法律上花了 400 萬或 450 萬美元。對我們來說，這個數字合理嗎？

And then I'll just ask the second one that's on my mind to do you want us to model the next year's payment in some manner as it will come to in the second quarter of 2025? Or do you think it's just appropriate to see what that number is and that it could change dramatically. It just obvious love some thoughts on this.

然後我會問我想到的第二個問題，您是否希望我們以某種方式對明年的付款進行建模，就像 2025 年第二季度一樣？或者你認為看看這個數字是多少是合適的，並且它可能會發生巨大的變化。顯然很喜歡對此的一些想法。

Yes, they are systems carried. So from an OpEx perspective, our Q2 OpEx or what we've embedded in our Q2 guidance previously. There is immaterial litigation spend and the businesses normalizing following the reorganization that occurred in Q1.

是的，它們是系統攜帶的。因此，從營運支出的角度來看，我們的第二季營運支出或我們先前在第二季指引中嵌入的內容。第一季重組後，訴訟支出並不大，業務也正常化。

And I looked in the second half, I would assume modest growth. We're going to continue investing in this business and in front of this opportunity. But you've got a pretty good picture of our OpEx right now.

我預計下半年會有適度成長。我們將繼續投資這項業務並抓住這個機會。但您現在已經對我們的營運支出有了很好的了解。

Okay. And then what about the MDM., the expected payment next year?

好的。那麼 MDM 明年的預計付款情況又如何呢？

Good question is that one is it's early there is an ability for NXP. to design out, but that is not something that is easily done. So I don't expect a huge increase in that payment, but I think it is fair to model that at this point, and we'll keep you up-to-date on where that might grow.

一個很好的問題是，恩智浦現在具備這種能力還為時過早。設計出來，但這並不是一件容易做到的事。因此，我預計該付款不會大幅增加，但我認為此時對其進行建模是公平的，我們將隨時向您通報付款可能增長的最新情況。

Of course. Thank you.

當然。謝謝。

Thank you.

謝謝。

Jim Ricchiuti, Needham & Company.

吉姆‧里奇烏蒂 (Jim Ricchiuti)，李約瑟公司。

With the litigation uncertainty behind you and the growing cash position, what I'm wondering if you guys have periodically looked at M&A as a means of accelerating parts of the business growth in parts of the business, even though the way I think acquisition, it sounds like it's been it was a nice acquisition for you, small but I think provide some benefits. I'm wondering if we might see on a pickup at all or if you're looking at opportunities that might accelerate the growth in some of the newer markets?

由於訴訟的不確定性和不斷增長的現金狀況，我想知道你們是否定期將併購視為加速部分業務增長的一種手段，儘管我認為收購的方式，聽起來這對你來說是一次很好的收購，規模雖小，但我認為可以帶來一些好處。我想知道我們是否可能會看到皮卡，或者您是否正在尋找可能加速某些新市場成長的機會？

Yes, Jim, I'll do my best to answer that. And obviously, I can't speak to any particular opportunities or anything that might be coming our way. And it was an opportunity for us because what they offered was well aligned with our platform, essentially there at the front end of their manufacturing working late testing, quality assurance and them.

是的，吉姆，我會盡力回答這個問題。顯然，我不能談論任何特定的機會或任何可能出現的事情。這對我們來說是一個機會，因為他們提供的產品與我們的平台非常一致，本質上是在他們的製造前端進行後期測試、品質保證和他們。

And you have some beta services around the inlays, which, of course use our expertise and leverage our SG&A for the inlet. So it was a natural addition to our platform that I think will stand us in good stead going forward. And we are always open to other areas that strengthen and augment our platform. And if some was to come along, we'd be interested and we keep our eyes open all the time.

您還擁有一些圍繞嵌體的測試服務，當然，這些服務利用了我們的專業知識並利用了我們針對入口的 SG&A。因此，這是對我們平台的自然補充，我認為這將有助於我們向前發展。我們始終對加強和增強我們平台的其他領域持開放態度。如果有一些人出現，我們會很感興趣，並且會一直保持警惕。

I don't think the additional cash is going to kind of say, Oh, we're actually going to it's going to make a huge difference either way, it's really identifying an opportunity that makes sense for us as a company. The additional cash is nice because it's easier for us to finance it. But the key thing is we see an opportunity. It's good for us. We'll pursue it an asset that we want.

我不認為額外的現金會說，哦，我們實際上會產生巨大的變化，無論怎樣，它確實是在尋找對我們公司有意義的機會。額外的現金很好，因為我們更容易融資。但關鍵是我們看到了機會。這對我們有好處。我們將追求它成為我們想要的資產。

Okay. And one final question, if I may. Just carry. I think you alluded to the M800 volumes still being relatively small. But is there any way you I think you touched on this at the Investor Day, but how has your thinking around the impact on gross margins as that scale. Does that has that changed at all? And maybe you could just remind us of the impact as used as it becomes a bigger part of the overall bond.

好的。如果可以的話，還有最後一個問題。就帶著吧。我認為您提到 M800 的體積仍然相對較小。但是，我認為您在投資者日上有沒有提到過這一點，但您如何看待這種規模對毛利率的影響？這有什麼改變嗎？也許你可以提醒我們所使用的影響，因為它成為整體債券的重要組成部分。

Thanks, Jim. So the M8100 a benefit from a lower cost basis and that lower cost basis will translate into approximately 300 basis points of gross margin accretion as the M800 ramps and becomes the volume runner in our business.

謝謝，吉姆。因此，M8100 受益於較低的成本基礎，隨著 M800 的發展並成為我們業務中的銷售領先者，較低的成本基礎將轉化為約 300 個基點的毛利率增長。

Now an endpoint IC ramp when we typically launch a new IC takes multiple years to achieve, call it volume running status. We're certainly pleased with where we are, as Chris alluded to in his prepared remarks, were the M800 is ramping into Q2.

現在，當我們推出新 IC 時，端點 IC 的提升通常需要多年才能實現，稱為批量運行狀態。正如 Chris 在他準備好的演講中提到的那樣，如果 M800 正在進入第二季度，我們當然對我們所處的位置感到滿意。

But the volumes are still small and the impact on gross margin is not visible at this point with an early gains in the ramp. It's really too hard to project a precise timing of that ramp. We're encouraged with where we are, and we'll keep you up-to-date as we progress in that ramping throughout this year.

但銷量仍然很小，目前對毛利率的影響還不明顯，早期的成長也有所增加。預測該斜坡的精確時間確實太難了。我們對自己的現狀感到鼓舞，並且隨著我們今年的進展，我們將隨時向您通報最新情況。

Okay. Thanks a lot.

好的。多謝。

Thank you.

謝謝。

Thank you. (Operator Instructions) Seeing no further questions, this concludes our question and answer session. I would like to turn the conference back over to Co-Founder and CEO, Chris Diorio, for any closing remarks.

謝謝。 （操作員說明）由於沒有其他問題，我們的問答環節到此結束。我想將會議轉回給聯合創始人兼執行長 Chris Diorio 發表閉幕詞。

Thank you, MJ. Thank you very much. And I'd like to thank all who were on the call today for joining us. Thank you for your ongoing support. Bye-bye.

謝謝你，喬丹。非常感謝。我要感謝今天參加電話會議的所有人。感謝您一直以來的支持。再見。

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

會議現已結束。感謝您參加今天的演講。現在您可以斷開線路。