Impinj Inc (PI) 2025 Q1 法說會逐字稿

Welcome to Impinj's first quarter 2025 financial results conference call and webcast. All participants will be in a listen-only mode. (Operator Instructions).

歡迎參加 Impinj 2025 年第一季財務業績電話會議和網路廣播。所有參與者將處於只聽模式。（操作員指令）。

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

現在，我想將會議交給策略財務副總裁安迪‧科布先生。先生，請繼續。

Thank you, Nick. Good afternoon and thank you all for joining us to discuss Impinj's first quarter 2025 results.

謝謝你，尼克。下午好，感謝大家加入我們討論 Impinj 2025 年第一季的業績。

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 financial results and second quarter output.

在今天的電話會議上，Impinj 聯合創始人兼執行長 Chris Diorio 將簡要介紹我們的市場機會和業績。Impinj 財務長 Cary Baker 將隨後詳細回顧我們的第一季財務表現和第二季產出。

We will then open the call for questions. Hussein Mecklai, Impinj's COO, will join us for the Q&A. You can find management's prepared remarks plus trended financial data on the company's investor relations website.

然後我們將開始提問。Impinj 營運長 Hussein Mecklai 將加入我們的問答環節。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。

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. 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 uncertainty. 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上根據我們今天的展望對財務業績和未來預期做出聲明。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。儘管我們相信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存在重大差異，因為任何此類陳述都受到風險和不確定性的影響。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。除法律要求外，我們不承擔更新或修改我們的前瞻性聲明的任何義務，並明確否認任何此類義務。

On today's call, all financial metrics, except for revenue or where we explicitly state otherwise, are non-GAAPs. All balance sheet and cash flow metrics, except for free cash flow, are GAAP. Please refer to our earnings release for a reconciliation of non-GAAP financial metrics to the most comparable GAAP metrics.

在今天的電話會議上，除收入或我們明確說明的其他指標外，所有財務指標均為非 GAAP。除自由現金流外，所有資產負債表及現金流量指標均採用 GAAP。請參閱我們的收益報告，以了解非 GAAP 財務指標與最具可比性的 GAAP 指標的對照組。

I will now turn the call over to Chris.

現在我將電話轉給克里斯。

Thank you, Andy and thank you all for joining the call.

謝謝你，安迪，也謝謝大家參加電話會議。

At a time of extraordinary necro uncertainty, it hinges long-term secular growth opportunity in retail, supply chain and logistics, food, and the long tail of other applications remains intact.

在極度不確定的時期，零售、供應鏈和物流、食品以及其他應用的長尾效應能否維持長期成長機會至關重要。

Enterprises use our platform to digitize their operations for production management, supply chain optimization, and inventory visibility. Those operational needs transcend short term headwinds of cyclicality and fuel enterprise success.

企業使用我們的平台來實現生產管理、供應鏈優化和庫存視覺化的數位化營運。這些營運需求超越了週期性的短期阻力並推動了企業的成功。

During COVID, enterprises that leveraged our platform outperformed those that didn't. I believe that history is poised to repeat itself. With enterprises that use our platform today that are able to adapt to tariffs than those that don't.

在疫情期間，利用我們平台的企業表現優於未利用我們平台的企業。我相信歷史將會重演。如今，使用我們平台的企業比不使用我們平台的企業更能適應關稅。

Additionally, enterprises use our platform to track and manage the staples people buy regardless of the macro. And they add endpoints to products regardless of whether they source those products from China or from other parts of the world. So although retail prices may increase, shelves aren't going to go empty and products that carried our Is yesterday will still carry them tomorrow, even if sourced from a different geography.

此外，企業使用我們的平台來追蹤和管理人們購買的主食，而不管宏觀經濟如何。他們會為產品添加端點，無論這些產品是從中國還是世界其他地區購買的。因此，儘管零售價格可能會上漲，但貨架不會空空如也，昨天暢銷的產品明天仍然暢銷，即使來自不同的地區。

We believe we are in a strong position to win in this market. We have number one IC market share after we took 85% of the industry's 2024 unit volume growth and that with most of the M800 ramp still ahead of us.

我們相信我們在這個市場上有獲勝的有利條件。我們佔據了該行業 2024 年單位銷量增長的 85%，並且大部分 M800 增長仍在我們前面，因此我們擁有第一大 IC 市場份額。

Our balance sheet and operating margins are strong, giving us the confidence to invest in and alongside our enterprise customers. Historically, when we lean into times of uncertainty, we emerge on the other side with a greater share and a stronger business, and we intend to do so again.

我們的資產負債表和營業利潤率強勁，這使我們有信心投資企業客戶並與他們並肩作戰。從歷史上看，當我們面臨不確定的時期時，我們將以更大的份額和更強大的業務脫穎而出，我們打算再次這樣做。

Turning to the first quarter, our execution was solid despite the uncertain environment. Steady demand and higher than expected endpoint IC volumes drove revenue and profitability above our guidance.

展望第一季度，儘管環境不確定，但我們的執行力依然穩健。穩定的需求和高於預期的終端 IC 數量推動收入和獲利能力高於我們的預期。

We also saw a strong book to build ratio and solid pipeline activity with enterprises remaining active and engaged. We took out a bit less endpoint IC channel inventory than we had expected, primarily due to partners strategically meeting inventory for geographic optionality in the face of tariffs. We also saw multiple pull in, push out, cancellation, and bookings requests all in the same quarter, which speaks to the challenges our inlay partners are having navigating the tariff uncertainty.

我們也看到強勁的訂單與建設比率和穩健的通路活動，企業依然保持活躍和參與。我們取出的終端 IC 通路庫存比我們預期的要少一些，這主要是因為合作夥伴在關稅面前策略性地滿足了地理可選性的庫存。我們還發現，在同一季度，出現了多個拉入、推出、取消和預訂請求，這說明我們的鑲嵌合作夥伴在應對關稅不確定性方面面臨挑戰。

Looking to the second quarter, the tariff and politics induced market whipsaw appears unlikely to subside simply because some tariffs are paused. From today's vantage point, we see a modest second quarter channel inventory increase as our inlay partners continue building optionality, which in ordinary circumstances might be concerning, but that build is measured against enterprises under shipping consumer demand as they ship US-bound product shipments from China to other geographies.

展望第二季度，關稅和政治因素引發的市場震盪似乎不太可能僅僅因為部分關稅暫停而消退。從今天的角度來看，我們看到第二季度通路庫存將適度增加，因為我們的鑲嵌合作夥伴繼續構建可選性，這在正常情況下可能會令人擔憂，但這種構建是針對企業在運輸消費者需求下從中國向其他地區運送美國產品而進行的衡量。

That geographic shift represents roughly 15% of our endpoint ICs. But our exposure is much less because products from new geographies also carry our endpoint ICs. Assuming consumer demand holds, shipments will catch up the demand, and when they do, we should see channel inventory normalization and bookings growth.

這種地理轉移大約占我們端點 IC 的 15%。但我們的曝光度要小得多，因為來自新地區的產品也帶有我們的端點 IC。假設消費者需求保持不變，出貨量將趕上需求，屆時，我們應該會看到通路庫存正常化和預訂量成長。

Returning to first quarter highlights, I'll start with Gen2X, which is showing its prowess. Comparing NA 30 Gen2X against a competing endpoint IC. Gen2X grew the area coverage of an overhead reading solution by 44%, helping convince a large apparel retailer to launch a major overhead deployment. We believe Gen2X will continue driving share gains and demand for our products.

回顧第一季的亮點，我將從正在展現其威力的 Gen2X 開始。將 NA 30 Gen2X 與競爭端點 IC 進行比較。Gen2X 將高架讀取解決方案的覆蓋範圍擴大了 44%，從而幫助說服一家大型服裝零售商啟動大規模高架部署。我們相信 Gen2X 將繼續推動我們產品的市場份額成長和需求。

Second, our direct engagements with the two large grocery chains we discussed last quarter continue moving forward.

其次，我們與上個季度討論過的兩家大型連鎖雜貨店的直接合作仍在繼續。

Third, we saw strong e-family demands, suggesting ongoing retailer deployments and pushing reader IC revenue above expectations.

第三，我們看到了強勁的電子家庭需求，這表明零售商正在不斷部署並推動閱讀器 IC 收入超出預期。

And finally, a partner extended the loss prevention solution we developed for the visionary European retailer to loss analytics, which doesn't need 100% tagging and won a major deployment at another retailer. Overall, we feel good about our market progress and keep pressing forward.

最後，合作夥伴將我們為有遠見的歐洲零售商開發的損失預防解決方案擴展到損失分析，該解決方案不需要 100% 標記，並在另一家零售商中贏得了大規模部署。總體而言，我們對市場進展感到滿意並將繼續向前邁進。

In closing, when we're not immune to the tariff shockwaves, I believe we are well positioned to play offense. We lead in endpoint ICs, reader ICs, and fixed readers. We create the enterprise solutions that transform our industry. We manufacture and deliver our products overseas, so for the most part we are not subject to direct tariffs.

最後，當我們無法免受關稅衝擊時，我相信我們已做好充分準備採取進攻措施。我們在端點 IC、讀取器 IC 和固定讀取器方面處於領先地位。我們創造改變產業的企業解決方案。我們的產品在海外生產和交付，因此大多數情況下我們不受直接關稅的影響。

Our endpoint ICs represent a tiny fraction of the cost of the retail staples that are used on. Meaning tariffs are unlikely to change enterprise decisions to use our ICs.

我們的端點 IC 僅佔所用零售主食成本的一小部分。這意味著關稅不太可能改變企業使用我們的積體電路的決定。

And finally, we saw the tariff impact early, said what we saw, and quickly began adjusting our business, shifting investments away from China on tour the US and Europe, where we see continued growth opportunities.

最後，我們很早就看到了關稅的影響，表達了我們的感受，並迅速開始調整業務，將投資從中國轉移到美國和歐洲，我們在那裡看到了持續的成長機會。

We are managing our business with a steady hand, focused on extending our technology lead, market share, and platform adoption.

我們正在穩健地管理我們的業務，專注於擴大我們的技術領先地位、市場份額和平台採用率。

As always, 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 team for your tireless effort.

像往常一樣，在我將電話轉給卡里 (Cary) 進行財務審查和第二季度展望之前。我要再次感謝團隊中每一位成員的不懈努力。

As always, I feel honored by my incredible good fortune to work with you.

一如既往，我很榮幸能夠與您合作。

Thank you, Chris, and good afternoon, everyone.

謝謝你，克里斯，大家下午好。

First quarter revenue was 74.3 million, down 19% sequentially from 91.6 million in fourth quarter of 2024 and down 3% year over year from 76.8 million in first quarter of 2024.

第一季營收為 7,430 萬美元，較 2024 年第四季的 9,160 萬美元季減 19%，較 2024 年第一季的 7,680 萬美元年減 3%。

First quarter endpoint IC revenue was 61.2 million, down 17% sequentially from 74.1 million in fourth quarter of 2024 and down slightly year over year from 61.5 million in first quarter of 2024.

第一季端點 IC 營收為 6,120 萬美元，較 2024 年第四季的 7,410 萬美元環比下降 17%，較 2024 年第一季的 6,150 萬美元同比略有下降。

Endpoint IC revenue exceeded our expectations driven by turns orders. Looking forward, we expect second quarter endpoint IC product revenue to increase sequentially.

在訂單輪動的推動下，端點 IC 收入超出了我們的預期。展望未來，我們預計第二季終端 IC 產品營收將季增。

First quarter systems revenue was 13.1 million, down 25% sequentially from 17.5 million in fourth quarter of 2024 and down 15% year over year from 15.3 million in first quarter of 2024.

第一季系統營收為 1,310 萬美元，較 2024 年第四季的 1,750 萬美元季減 25%，較 2024 年第一季的 1,530 萬美元年減 15%。

Systems revenue exceeded our expectations, driven by strength in both reader and reader IC sales.

受閱讀器和閱讀器 IC 銷售強勁推動，系統收入超出了我們的預期。

Looking forward, we expect second quarter systems revenue to decline sequentially driven by lower reader IC revenue.

展望未來，我們預計第二季系統收入將因閱讀器 IC 收入下降而較上季下降。

First quarter gross margin was 52.7% compared with 53.1% in fourth quarter of 2024 and 51.5% in first quarter of 2024. The year over year increase was due primarily to lower indirect costs. The sequential decrease was driven by lower systems revenue mix. Looking forward, we expect second quarter product gross margins to be similar to first quarter.

第一季毛利率為 52.7%，而 2024 年第四季為 53.1%，2024 年第一季為 51.5%。同比增長主要歸因於間接成本的降低。連續下降是由於系統收入組合下降所致。展望未來，我們預計第二季產品毛利率將與第一季相似。

Total first quarter operating expense was 32.6 million compared with 33.6 million in fourth quarter 2024 and 32.9 million in first quarter 2024.

第一季總營運費用為 3,260 萬美元，而 2024 年第四季為 3,360 萬美元，2024 年第一季為 3,290 萬美元。

Operating expense was below expectations as we managed, spend, and benefited from favorable timing.

由於我們管理、支出並受益於有利時機，營運費用低於預期。

Research and development expense was 17.3 million sales and marketing expense was 7.7 million, general and administrative expense was 6 million. Looking forward, we expect second quarter operating expense to be similar to first quarter.

研發費用為 1,730 萬美元，銷售和行銷費用為 770 萬美元，一般及行政費用為 600 萬美元。展望未來，我們預計第二季的營運費用將與第一季相似。

First quarter adjusted EBITDA was 6.5 million compared with 15 million in fourth quarter of 2024 and 6.7 million in first quarter of 2024. First quarter adjusted EBITDA margin was 8.7%. First quarter GAAP net loss was 8.5 million. First quarter non-GAAP net income was 6.3 million or $0.21 per share on a fully diluted basis.

第一季調整後的 EBITDA 為 650 萬，而 2024 年第四季為 1500 萬，2024 年第一季為 670 萬。第一季調整後的 EBITDA 利潤率為 8.7%。第一季 GAAP 淨虧損為 850 萬美元。第一季非公認會計準則淨收入為 630 萬美元，即每股 0.21 美元（完全稀釋後）。

Turning to the balance sheet, we ended the first quarter with cash equivalents and investments of 232.5 million compared with 239.6 million in fourth quarter of 2024 and 174.1 million in first quarter of 2024.

談到資產負債表，我們第一季末的現金等價物和投資為 2.325 億，而 2024 年第四季為 2.396 億，2024 年第一季為 1.741 億。

Inventory totaled 98.5 million, down 900,000 from the prior quarter.

庫存總計9850萬，較上一季減少90萬。

First quarter capital expenditures totaled 1.9 million. Free cash flow was negative 13 million driven primarily by unfavorable working capital timing, which we expect to reverse in the second quarter.

第一季資本支出總計190萬美元。自由現金流為負 1,300 萬美元，主要原因是營運資本時機不利，我們預計這種情況將在第二季扭轉。

Before turning to our guidance, I want to highlight a few items specific to our results and outlook.

在談到我們的指導之前，我想強調一些與我們的業績和前景有關的內容。

First, as Chris noted, due to partners changing their inventory strategies for geographic optionality, our first quarter endpoint IC channel inventory declined by only one week. From today's vantage point we see partners maintaining higher endpoint IC inventory balances for the foreseeable future.

首先，正如克里斯指出的，由於合作夥伴根據地理可選性改變庫存策略，我們第一季的端點 IC 通路庫存僅下降了一周。從今天的角度來看，我們看到合作夥伴在可預見的未來將維持更高的端點 IC 庫存餘額。

Second, first quarter product growth margin exceeded our expectations, partially driven by reader IC revenue strength. We anticipate similar product growth margin in the second quarter, even as our high margin reader IC revenue declines. Looking to the second half, product margins will benefit from higher M800 mix, improved production yield, and lower cost waivers.

其次，第一季產品成長幅度超出了我們的預期，部分原因是閱讀器 IC 收入強勁。儘管我們的高利潤閱讀器 IC 收入有所下降，但我們預計第二季的產品成長利潤率將相似。展望下半年，產品利潤率將受益於更高的 M800 組合、更高的生產良率以及更低的成本減免。

Finally, I am proud of our operational execution in the first quarter. We tightly managed operating expenses, inventory, and margins, delivering adjusted EBITDA well above our guidance. Looking ahead, we will align our investments to our revenue profile, staying agile in this uncertain environment.

最後，我對我們第一季的營運執行感到自豪。我們嚴格管理營運費用、庫存和利潤率，調整後的 EBITDA 遠高於我們的預期。展望未來，我們將根據收入狀況調整投資，在不確定的環境中保持敏捷。

Turning to our outlook, we expect second quarter revenue between 91 million and 96 million compared with 74.3 million in first quarter 2025, a quarter over quarter increase of 26% at the midpoint, including the license fee payment, and 4% excluding it.

談到我們的展望，我們預計第二季營收將在 9,100 萬至 9,600 萬之間，而 2025 年第一季的營收為 7,100 萬至 9,600 萬之間，而 2025 年第一季的營收為 7,430 萬，包括授權費支付在內，環比成長 26%，不包括授權費支付則成長 4%。

We expect adjusted EBITDA between 23.5 million and 26 million. On the bottom line, we expect non-GAAP net income between 20.8 million and 23.3 million, reflecting non-GAAP fully diluted earnings per share between $0.68 and $0.76.

我們預計調整後的 EBITDA 在 2350 萬至 2600 萬之間。總體而言，我們預計非 GAAP 淨收入在 2,080 萬美元至 2,330 萬美元之間，反映非 GAAP 完全稀釋每股收益在 0.68 美元至 0.76 美元之間。

In closing, I want to thank the Impinj team, our customers, our suppliers, and you, our investors for your ongoing support.

最後，我要感謝 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。

I will now turn the call to the operator to open the question and answer session, Nick.

我現在將電話轉給接線生尼克，開始問答環節。

Thank you. We will now begin the question and answer session.

謝謝。我們現在開始問答環節。

(Operator Instructions). And your first question today will come from Harsh Kumar with Piper Sandler. Please go ahead.

（操作員指令）。今天的第一個問題來自 Piper Sandler 的 Harsh Kumar。請繼續。

Yeah, hey guys, first of all, congratulations on very good results and what I would describe as extremely uncertain environment.

是的，嘿夥計們，首先，祝賀你們取得了非常好的成績，以及我所描述的極其不確定的環境。

Chris and Cary, I have one for you, obviously you're aware of tariffs. They're changing if you will. I guess my question is if the tariffs do hit, or if even if they're maintained at the level that they're maintained at one would expect some sort of a demand fall off, I guess how are you thinking about this aspect of your business and then maybe for historical context if you've seen anything like this in the past 10-15 years we could talk about what you saw last time and how are you preparing for this potential possible, you know possible demand drawdown?

克里斯和卡里，我有一個問題要告訴你們，顯然你們知道關稅。如果你願意的話，他們正在改變。我的問題是，如果關稅真的達到了，或者即使關稅維持在目前的水平，人們也會認為需求會下降，您是如何看待您業務的這個方面的？然後，也許從歷史背景來看，如果您在過去 10-15 年裡見過類似的事情，我們可以談談您上次看到的情況，以及您如何為這種潛在的需求下降做準備？

Okay. Harsh, I'll do my best to answer your questions. You might need to interject one or two times as, if I missed part of it. First, I want to start by saying thank you for your nice words at the beginning. I'm going to answer the second question first, just have we seen a scenario like this previously.

好的。Harsh，我會盡力回答你的問題。如果我錯過了部分內容，你可能需要插話一兩次。首先，我要感謝您一開始的友善言語。我先回答第二個問題，我們以前是否見過這樣的情況。

I can't recall anything like this. We struggled during the 2008 downturn, but that was a long time ago when we were still a small private company. Obviously, COVID was quite a whips off for the business, but it was materially different.

我不記得發生過這樣的事。我們在 2008 年經濟衰退期間陷入困境，但那是很久以前的事了，當時我們還是一家小型私人公司。顯然，新冠疫情對企業造成了不小的打擊，但本質上卻有所不同。

We're in uncharted waters here, but at the same time I truly feel that we've got the strongest team in our company's history. We've got the strongest financial back backdrop in terms of our cash operating margins, product portfolio, everything else we need to weather the storm. We've got a very strong enterprise and customer base and we've got a very dedicated set of partners.

我們正處於未知領域，但同時，我真的覺得我們擁有公司歷史上最強大的團隊。就現金營業利潤率、產品組合以及渡過難關所需的一切而言，我們擁有最強大的財務後盾。我們擁有非常強大的企業和客戶基礎，並且擁有一群非常忠誠的合作夥伴。

So as I said in my prepared remarks, I believe we will benefit from investing in the opportunities where we see that we seek to invest in and coming out the other side stronger.

因此，正如我在準備好的演講中所說的那樣，我相信，我們將從投資於我們所看到的、我們尋求投資的機會中受益，並變得更加強大。

Now to answer the first part of your question about tariffs, so I'll go through a couple of points and Cary, you'll need to jump in here and see what I missed.

現在回答您關於關稅的問題的第一部分，所以我將討論幾個要點，卡里，您需要跳到這裡看看我遺漏了什麼。

Bookings were strong in the first quarter and we are still seeing bookings. That is kind of different from, for example, what we saw in the COVID timeframe.

第一季的預訂量很強勁，而且我們仍然看到預訂量。這與我們在 COVID 時期看到的情況有些不同。

At the second time we did not see material pull ahead in the first quarter, and we're currently not seeing them in the second quarter. So another way, we're not seeing pull for our products driven by the enterprise end user pulling ahead demand for endpoint ICs. We see fairly consistent endpoint IC shipment volumes across the quarter.

第二次，我們在第一季沒有看到材料領先，目前在第二季也沒有看到材料領先。因此，從另一個角度來看，我們並沒有看到企業終端使用者對端點 IC 的需求推動我們的產品成長。我們看到本季的終端 IC 出貨量相當穩定。

We do see the shift, the geographic shift from where the end users are sourcing their products out of China to newer geographers to different geographies and paused some shipments as a result of that shift. So we currently believe that enterprise end users are under shipping demand.

我們確實看到了這種轉變，即地理上的轉變，最終用戶從中國採購產品到新的地理來源地，再到不同的地區，並且由於這種轉變而暫停了一些發貨。因此我們目前認為企業終端用戶處於運輸需求之下。

At the same time, we see some channel inventory build as our label partners build that inventory to have geographic optionality to fulfil for those enterprise end users as they need the labels. So that, we think those two kind of wash out, as I said in my prepared remarks as we expect to see some normalization and bookings return as enterprise end users begin fully shipping into that demand.

同時，我們看到一些通路庫存的建立，因為我們的標籤合作夥伴建立了庫存，以便為需要標籤的企業終端用戶提供地理可選性。因此，我們認為這兩種情況都會消失，正如我在準備好的發言中所說的那樣，隨著企業終端用戶開始全面滿足這一需求，我們預計會看到一些正常化和預訂量的回歸。

So net of it will feel like for navigating the tariff situation okay, and we'll keep driving to the future. Yeah, go ahead, Harsh.

因此，除去這些，我們感覺好像可以順利應對關稅形勢，並且我們將繼續向未來邁進。是的，繼續吧，Harsh。

No, that was it.

不，就是這樣。

I was going to say thank you. That was a very complex question.

我本來想說聲謝謝。這是一個非常複雜的問題。

Thank you for all the clarity and the points you made.

感謝您提出的所有澄清和觀點。

Let me ask my second question, Chris. You talked last quarter about some inventory and one of your larger customers in one of the segments. How are you, and you said now customers seemingly want to maintain a high level of inventory? How are you thinking about your business as you get past this slightly increased level of inventory that your customers want to maintain? Do you do you think that 2025 could be a lot like 2024 where you see decent demand and decent growth both in and when I see in systems or do you see something different happening because of all the confusion?

讓我問第二個問題，克里斯。上個季度您談到了一些庫存以及某個細分市場中的一個較大的客戶。您好嗎？您說現在客戶似乎希望保持高庫存水準？當您的庫存量略有增加，而您的客戶又希望維持這種水準時，您如何看待自己的業務？您是否認為 2025 年可能會與 2024 年非常相似，您會看到系統內和系統外都出現不錯的需求和不錯的增長，或者您是否認為由於種種混亂，會發生一些不同的事情？

Well, we don't think channel inventory is high relative to consumer demand. We're seeing a wobble right now in the second quarter associated with production shifting to different geographies.

嗯，我們認為通路庫存相對於消費者需求來說並不高。我們現在看到第二季度出現了波動，這是由於生產轉移到不同地區造成的。

In terms of what we see looking out. That's harder. I mean, we got one quarter at a time and given the macro dynamics that are going on right now and the uncertainty, it's really hard to predict the future. In fact, I'm reticent to really say anything about it other than that if consumer demand holds, our products go on staples, and they go on shoes and socks and children's clothing. They go on medical shipments and shipping packages. They go on government ID and food products, and they go on things that people buy regardless of the demand.

就我們所看到的而言。這更難。我的意思是，我們一次只經歷一個季度，考慮到目前正在發生的宏觀動態和不確定性，很難預測未來。事實上，我對此真的不願意多說，除了說如果消費者需求不變，我們的產品就會變成主食，成為鞋子、襪子和兒童服飾。他們運送醫療物資和包裹。它們出現在政府身分證和食物上，出現在人們不管需求多少都會購買的東西上。

So we feel good about our position. It doesn't mean that if there's a major downturn, we won't feel it. We'll feel it the same way the macro feels it. But right now we don't see that downturn. We see, like I said, a wobble in the second quarter as production shifts to different geographies. I'll turn it over to Cary. You want to add?

所以我們對我們的地位感到滿意。這並不意味著如果出現嚴重的經濟衰退，我們不會感受到。我們的感受和宏觀的感受是一樣的。但目前我們還沒有看到這種衰退。正如我所說的，隨著生產轉移到不同的地區，我們看到第二季度出現了波動。我將把它交給卡里。您想添加嗎？

Yeah, Harsh. I would add that you know we entered the quarter in a little bit elevated channel inventory position, and some of our partners made really good progress reducing that channel inventory while others did not. But in the end towards the end of the first quarter and certainly into the second quarter, the strategy around inventories is changing. Partners are flexing their geographic footprint and they're trading off regions that have higher transit time for lower tariff risk.

是的，哈什。我想補充一點，您知道我們進入本季度時渠道庫存狀況略有上升，我們的一些合作夥伴在減少渠道庫存方面取得了很大進展，而其他合作夥伴則沒有。但最終，在第一季末，當然還有第二季度，圍繞庫存的策略正在改變。合作夥伴正在擴大其地理覆蓋範圍，並用運輸時間較長的地區來換取較低的關稅風險。

So that's putting inventory strategically, purposely, and rationally into the channel and that's why they're telling us that they think they're going to hold this level of inventory for the foreseeable future. So it's a really interesting dynamic right now, but for today, from today's vantage point, we feel like we're in pretty good position.

因此，這是將庫存策略性地、有目的地、合理地投入到渠道中，這就是為什麼他們告訴我們，他們認為在可預見的未來他們將保持這種水平的庫存。所以現在的動態真的很有趣，但就今天而言，從今天的有利位置來看，我們感覺我們處於相當有利的位置。

Fair enough guys thank you so much I'll get back in line.

很公平，夥計們，非常感謝你們，我會重新排隊。

Thank you, Harsh.

謝謝你，哈什。

And your next question today will come from Scott Searle with Roth Capital. Please go ahead.

今天的下一個問題來自羅斯資本的斯科特·塞爾。請繼續。

Hey, good afternoon. Thanks for taking the questions. Nice job, guys, and an incredibly difficult, if not schizophrenic environment.

嘿，下午好。感謝您回答這些問題。幹得好，夥計們，這是一個極其困難的環境，甚至是精神分裂的環境。

Thank you --

謝謝--

So Chris and Carrie, just to follow up on Harsh's questions here, it sounds like we're, when we entered the year you talked about elevated inventory being at weeks and you say it's come down by about one week, but now we might be in a new equilibrium given the geographic distribution.

所以克里斯和凱莉，只是為了跟進哈什的問題，聽起來我們，當我們進入今年時，你談到庫存增加到幾週，而你說它下降了大約一周，但現在考慮到地理分佈，我們可能處於一個新的平衡狀態。

I just want to clarify that comment. Is that what you're saying so that we're not going through some further inventory reduction as we go into the second half of this year from a channel perspective? And also if you could clarify, I think there's been some concern or speculation in terms of your end product mix exposure, right? With I think the last numbers you guys have talked about is 70% in retail slash apparel, but a lot of that is seasonal.

我只是想澄清一下這個評論。您這麼說是不是意味著從通路角度來看，今年下半年我們不會進一步減少庫存？另外，如果您能澄清一下，我認為人們對您的最終產品組合曝光存在一些擔憂或猜測，對嗎？我認為你們最後談到的數字是零售服裝佔 70%，但其中許多是季節性的。

So if you had any other color on that front in terms of what is seasonal and therefore goes through that seasonal replenishment as opposed to sneakers that could sit on the shelves, etc. for months, if not quarters.

因此，如果您在這方面有任何其他顏色，就季節性而言，因此會經歷季節性補貨，而不是可能在貨架上放置數月甚至數個季度的運動鞋。

Hey Scott, this is Cary. Thanks for the question. I'll take the first half of it and then I'll hand over to Chris.

嘿，史考特，我是卡里。謝謝你的提問。我將負責前半部分，然後交給克里斯。

We don't think channel inventory is high right now, not high versus the evolving production strategies that our inlay partners have, and not high for the fact that we think we are under shipping and consumer demand in this environment.

我們認為目前通路庫存並不高，相對於我們的鑲嵌合作夥伴不斷發展的生產策略而言並不高，而且我們認為在這種環境下我們面臨運輸和消費者需求的壓力，因此庫存也不高。

Yeah, Scott, so I'll do my best to answer your question.

是的，史考特，我會盡力回答你的問題。

We, in our business has become more diversified over the past couple of years in terms of where our inputs are used. We currently ship a good portion of them into a supply chain of logistics, which is significantly in the US, and those volumes seem to be holding.

就投入用途而言，過去幾年我們的業務變得更加多樣化。我們目前將其中很大一部分運送到物流供應鏈，該供應鏈主要位於美國，而且這些數量似乎保持不變。

We shift into not only retail apparel, but retail general merchandise. The general merchandise tends to be more of a kind of staples, the words that I used in our prepared remarks. If you just look at retail apparel on its own. I don't think we've actually sat down and quantified for for our investors what percentage of our overall business is currently retail apparel, nor what which of it is a seasonal versus not.

我們不僅轉向服飾零售，也轉向日用百貨零售。日用百貨更像是一種主食，這是我在準備好的發言中使用的字眼。如果你只看零售服飾本身。我認為我們實際上並沒有坐下來為我們的投資者量化目前我們整體業務中有多少比例是零售服裝，也沒有計算出哪些是季節性的。

But you're really asking that is what part is discretionary and what part is necessary. And we think that the significant majority of our endpoints go on products that are staples or necessary and not discretionary. Discretionary consumer demand goes way down and discretion comes down, we'll feel it as the macro feels it, but we feel pretty good about what we tag today, where our products are going, and the diversification we've seen over the past couple of years.

但你真正想問的是哪些部分是可自由支配的，哪些部分是必要的。我們認為，我們絕大多數的終端所用產品都是必需品，而不是可自由支配的產品。非必需消費品需求大幅下降，非必需消費品需求下降，宏觀經濟也會對此產生影響，但我們對今天的標籤、產品走向以及過去幾年的多樣化感到非常滿意。

Okay, very helpful.

好的，非常有幫助。

Thank you. And if I could just look to the second half, there are a lot of different levers that you've had out there in terms of big box retailers piggybacking off of Walmart, migration into smartphones with Qualcomm. I'm wondering if you could update us on a couple of those initiatives and what you would expect to possibly hit in the second half of this year. I think in your opening remarks, you talked about engagement with two grocers that that continues to progress. Any color on that front would be helpful. Thanks.

謝謝。如果我能展望下半年，你會發現有很多不同的槓桿，例如大型零售商搭沃爾瑪的便車，以及與高通合作進軍智慧型手機領域。我想知道您是否可以向我們介紹其中的一些舉措，以及您預計今年下半年可能取得的成果。我認為您在開場白中談到了與兩家雜貨商的合作，而這種合作正在繼續取得進展。任何顏色在這方面都會有幫助。謝謝。

Scott, this is Cary. I would say that while none of those projects are showing any signs of slowing down, this environment today is highly uncertain, and we're not experts at predicting tariff policy.

斯科特，這是卡里。我想說的是，雖然這些項目都沒有顯示出放緩的跡象，但今天的環境高度不確定，而且我們並不是預測關稅政策的專家。

We do believe enterprises are under shipping consumer demand as they wrestle with optimizing the production footprints.

我們確實相信，企業在努力優化生產足跡時正面臨運輸消費者的需求。

And with resolution to that production strategy or resolution to the tariff strategy or both, we could see bookings growth in the back half of the year, assuming consumer demand holds. But until we have more clarity, we're going to stick to our policy of only guiding one quarter at a time.

隨著生產策略或關稅策略的解決，或兩者兼而有之，假設消費者需求保持不變，我們可以看到下半年的預訂量成長。但在我們獲得更明確的訊息之前，我們將堅持每次只指導一個季度的政策。

And I'll say, in my, in our prepared remarks, I prepared remarks, right now we see enterprises engaged. We haven't seen the enterprises pulled back.

我要說的是，在我準備好的發言中，我準備好的發言中，現在我們看到企業參與其中。我們還沒有看到企業撤退的跡象。

And because we see enterprises engaged, because we saw strong reader IC volumes, which indicates that enterprises are buying readers.

而且我們看到企業參與其中，看到 IC 讀者數量強勁，這表明企業正在購買閱讀器。

Because of the belief that I have. That those enterprises that use our platform will end up on the winning side of the ledger through this tariff dynamic.

因為我有信念。那些使用我們平台的企業最終將透過這種關稅動態成為贏家。

We are investing rationally, but investing in our enterprise opportunities in this market. We believe it's the prudent thing to do. We're going to do it prudently, but we also think it's the prudent and smart thing to do to come on the other side stronger.

我們正在理性投資，但投資的是這個市場的企業機會。我們相信這是明智之舉。我們會謹慎行事，但我們也認為，這也是為了變得更強大而採取的謹慎和明智的做法。

Great, thanks so much and a great job on the quarter again.

太好了，非常感謝，本季你又表現得非常出色。

Great. Thank you, Scott.

偉大的。謝謝你，斯科特。

And your next question today will come from James Ricchiuti with Needham & Company. Please go ahead.

今天的下一個問題來自 Needham & Company 的 James Ricchiuti。請繼續。

Alright thanks.

好的，謝謝。

Good afternoon. I'll echo what others have said about a nice job in these interesting times.

午安.我會重複其他人關於在這個有趣的時代找到一份好工作的說法。

Maybe just want to go back to what you were saying about the the reader IC business and maybe how that ties into what I think Cary you said in release in the script, you're expecting a lower reader IC revenue in Q2. Can you maybe square that for us in terms of what that might indicate?

也許只是想回到您所說的有關閱讀器 IC 業務的問題，也許這與我認為 Cary 您在腳本發布中所說的內容有什麼關係，您預計第二季度的閱讀器 IC 收入會下降。您能否為我們解釋一下這可能意味著什麼？

Yeah, it is really timing of orders and specifically we had higher indie reader IC revenue in Q1 than we anticipated. This is a product that our prior generation that we've end of life.

是的，這確實是訂單的時間問題，具體來說，我們第一季的獨立閱讀器 IC 收入高於我們的預期。這是我們已經停止生產的上一代產品。

It continues to sell in our last production runs. We got higher yield than we anticipated, so we had more units than the last time orders. So we're letting those those excess units, if you will, flow in, and that's what benefited our Q1, excuse me. In Q2, we're seeing strong growth with our e-family reader ICs, but on a sequential basis it's down because I don't anticipate as much in the readerized sales in the second quarter.

在我們最近的生產運行中它繼續暢銷。我們的收益比預期要高，因此我們的訂單量比上次訂單要多。因此，如果你願意的話，我們就讓那些多餘的單位流入，這對我們的第一季有利，對不起。在第二季度，我們的電子家庭閱讀器 IC 實現了強勁增長，但環比增長卻有所下降，因為我預計第二季度閱讀器銷量不會有太大增長。

Yeah, but either way, Jim, strong e-family growth in the first quarter. We're expecting strong e-family demand in the second quarter and we wouldn't see strong e-family reader IC demand if people weren't planning to deploy readers. And so you're not going to deploy readers if you don't have something to deploy them into. So we actually see enterprises continuing to press forward deploying readers in this environment.

是的，但無論如何，吉姆，第一季電子家庭成長強勁。我們預計第二季電子家庭需求將強勁，如果人們不打算部署閱讀器，我們就不會看到電子家庭閱讀器 IC 的強勁需求。因此，如果您沒有可以部署閱讀器的東西，那麼您就不會部署閱讀器。因此，我們實際上看到企業在這種環境下繼續推進閱讀器的部署。

Okay, got it. The other question I had was, and I'm not sure if you mentioned this, but how we should be thinking about the M800 ramp and particularly in the current environment and maybe if you could remind us of the tailwinds we could see from the ramp on margins.

好的，明白了。我的另一個問題是，我不確定您是否提到過這一點，但我們應該如何看待 M800 坡道，特別是在當前環境下，也許您可以提醒我們可以從邊緣坡道上看到的順風。

Yeah, the M800 continues to ramp nicely.

是的，M800 繼續順利提升。

First quarter was strong. We expect growth in the second quarter. And at some point this year if we continue following this path, which I believe is a typical path, we could see the M800 as our volume runner. I don't think it blends for the full year, but I think at some point this year it turns into our volume runner. When it blends as our volume runner, I expect a 300 basis point gross margin benefit. So not that full benefit in the second half, but we will start to see some of the benefit to gross margin in the second half.

第一季表現強勁。我們預計第二季將實現成長。如果我們在今年某個時候繼續沿著這條道路前進，我相信這是一條典型的道路，我們可能會看到 M800 成為我們的銷售冠軍。我認為它不會在全年都發揮作用，但我認為在今年的某個時候它會成為我們的銷售主力。當它成為我們的銷售冠軍時，我預計毛利率將提高 300 個基點。因此，下半年不會有全部收益，但我們將開始看到下半年毛利率的一些收益。

And Jim, I'll add that Gen2X is natively implemented in our M800s.

吉姆，我要補充一點，Gen2X 是在我們的 M800 中原生實現的。

Which means that all you need to do is use the reader to turn it on and you get the benefit. So as one I gave on our prepared remarks was a significant increase in square foot coverage in an overhead deployment at a leading retailer.

這意味著您只需使用閱讀器將其打開即可獲得好處。因此，正如我在準備好的發言中提到的那樣，一家領先的零售商的架空部署的覆蓋面積顯著增加。

That's just one example of some of the benefits that we're seeing out there on the market from M800 which just has Gen2X natively built into it, so we see not only an opportunity to drive M800 overall as a greater portion of our overall business, but actually to enable enterprise solutions that previously we could not do and that's we believe Gen2X in combination with the M800 is a game changer.

這只是我們在市場上看到的 M800 的一些優勢的一個例子，M800 本身就內置了 Gen2X，因此，我們不僅看到了推動 M800 在我們整體業務中佔據更大份額的機會，而且實際上還看到了實現以前我們無法做到的企業解決方案的機會，我們相信 Gen2X 與 M800 的結合將改變遊戲規則。

Got it. If I can just squeeze one other one, and you mentioned this other major deployment at another retailer. What's, is that occurring now? What's the timeline on that?

知道了。如果我可以再擠出一個，你提到了另一個零售商的另一個主要部署。現在發生了什麼事？事情的時間表是怎樣的？

It's occurring in the back half of this year. Yes, it's occurring now, and it's essentially a loss analytics or loss identification deployment where they're not 100% tagged, but by deploying readers at store exits, a variety of store exits, they can see what's going out of the store and they can get they can get some ideas of where that is happening, how it's happening, the time frames, everything. It's just a full loss analytics deployment.

此事發生在今年下半年。是的，它現在正在發生，它本質上是一種損失分析或損失識別部署，雖然它們沒有 100% 被標記，但透過在商店出口部署讀取器，各種商店出口，他們可以看到商店裡發生了什麼，他們可以了解事情發生的地點、發生的方式、時間範圍等等。這只是一個完整的損失分析部署。

Doesn't give you all the benefits of a full loss prevention deployment, obviously, which you do self checkout, but you can, but a retailer can start without 100% tagging.

顯然，這並不能為您帶來全面防損部署的所有好處，您可以自行結帳，但零售商可以在沒有 100% 貼標籤的情況下開始。

Got it. Thanks very much. Thanks, guys.

知道了。非常感謝。謝謝大家。

Okay, thank you.

好的，謝謝。

Your next question today will come from Christopher Rolland with Susquehanna. Please go ahead.

今天的下一個問題來自 Susquehanna 的 Christopher Rolland。請繼續。

Hey guys, thanks for the question.

嘿夥計們，謝謝你的提問。

So I just wanted to confirm that I, that my understanding is correct here. So first of all, you guys don't see lower retail volumes from your customers related to tariffs as we move through the year. And then secondly, you believe we're generally out of the woods in terms of inventory. You had two to three extra weeks last quarter. You burned one, but the one to two extra weeks is the new kind of state of normal here and will stay indefinitely. Did I get those two parts right?

所以我只是想確認我的理解是正確的。首先，隨著時間的推移，你們不會看到客戶的零售量因關稅而下降。其次，您認為我們在庫存方面總體上已經擺脫困境。上個季度你有兩到三週的額外時間。你浪費了一個星期，但額外的一到兩週是這裡的新常態，並將無限期地持續下去。我對這兩部分的理解正確嗎？

Chris, thank you, and this is Chris, let me start and then I'll hand off to Cary on the first part of your question. We definitely, both in our prepared remarks, and some of the comments really want to highlight that there's definitely a wobble in the second quarter associated with tariffs as we see enterprises pausing some of their shipments and shifting their suppliers to different geographies.

克里斯，謝謝你，我是克里斯，讓我先開始，然後我會把你問題的第一部分交給卡里。我們確實在準備好的演講和一些評論中都想強調，第二季度肯定存在與關稅相關的波動，因為我們看到企業暫停了部分發貨並將其供應商轉移到不同的地區。

So we believe that currently, those enterprises are under shipping consumer demand as they transition their sourcing geographies.

因此我們認為，目前這些企業在轉變採購地區時正面臨航運消費者的需求。

In terms of further out third quarter and basically the back half of this year, one, we only guide one quarter at a time. Number two, we're probably not the best ones best position to really guide on what consumer demand is going to be, but what we said is this consumer demand holds.

對於第三季以及今年下半年的情況，首先，我們每次只指導一個季度。第二，我們可能不是最能真正指導消費者需求的人，但我們所說的是，這種消費者需求是存在的。

We expect channel inventory to normalize and we expect to see bookings growth. Now, that if is the, is the key word in there if consumer demand holds. But as of right now, we believe enterprises are undershipping consumer demand.

我們預計渠道庫存將恢復正常，並且預訂量將增長。現在，如果消費者需求保持不變，那麼關鍵字就是「如果」。但截至目前，我們認為企業的出貨量不足以滿足消費者的需求。

And Chris, this is Cary, to your question on channel inventory, we entered a little bit elevated. We made some of our partners made good progress against that, but the strategies of how much inventory to carry have changed as a result of tariffs. And we're seeing not all partners, but some carry a little bit more than they normally would. And in some cases it's because they're adjusting the production footprint and leaning heavier on locations that have higher transit times in order to avoid areas that have higher tariff costs or higher potential tariff risk, and that's naturally causing them to carry a little bit more inventory.

克里斯，我是卡里，關於你關於渠道庫存的問題，我們進入了稍微高一點的水平。我們與一些合作夥伴在這方面取得了良好進展，但由於關稅的原因，庫存量的策略發生了變化。我們看到並非所有合作夥伴都攜帶了比平常更多的錢，但有些合作夥伴攜帶的錢比平常要多一些。在某些情況下，這是因為他們正在調整生產足跡，更多地依賴運輸時間較長的地區，以避開關稅成本較高或潛在關稅風險較高的地區，這自然導致他們持有更多庫存。

I think that maintains and they tell us that this is the new reality and this level of inventory will stay for the foreseeable future, but we're continuing to watch it closely. We think overall the weeks of channel inventory will normalize as the demand comes back, but I don't know that that means the volumes go down.

我認為這種情況會持續下去，他們告訴我們這是新的現實，而這種庫存水準將在可預見的未來保持下去，但我們會繼續密切關注。我們認為，總體而言，隨著需求回升，通路庫存週數將恢復正常，但我不知道這是否意味著庫存量會下降。

That's clear. Thank you.

這很清楚。謝謝。

And then your main competitor has suggested that it's gaining some momentum and some market share since their legal settlement with you guys. Would you agree that that's the case? Is this just a near term dynamic, and then Chris, I often ask you this, but, what do you see as the biggest needle moving driver in terms of new opportunities for '25 or '26 even? Is it still food or are you seeing some cool new opportunities emerge as well? Thank you.

然後，你們的主要競爭對手錶示，自從他們與你們達成法律和解以來，它正在獲得一些發展勢頭和一些市場份額。您是否同意這種說法？這僅僅是一個短期動態嗎？克里斯，我經常問你這個問題，但是，就 25 年或 26 年的新機會而言，您認為最大的推動力是什麼？它仍然是食物嗎？或者您也看到了一些很酷的新機會出現？謝謝。

Okay, so first, Chris, I'll start with the legal settlement and going back there. So, pinch took 85% of the industry's 2024 unit volume growth.

好的，克里斯，首先，我將從法律解決方案開始，然後再回到那裡。因此，pinch 佔據了該行業 2024 年單位銷量增長的 85%。

So, we saw, so that translates into a very significant share gain in 2024. Obviously, we can't project 2025 until we get the RAIN Alliance data at the end of the year, but we're going to do our best to gain share again.

因此，我們看到，這意味著 2024 年的份額將大幅增長。顯然，在年底獲得 RAIN Alliance 數據之前，我們無法預測 2025 年的情況，但我們會盡最大努力再次獲得份額。

In terms of where the market's headed, food is a significant opportunity. There will be small volumes in 2025. They won't be really material. You see food as a '26, '27 type opportunity just because food opportunity is so large, the deployments are large, everything's big and it takes time.

就市場走向而言，食品是一個重大機會。2025年產量將會很小。它們不會是真正的物質。您將食品視為 26、27 年類型的機遇，只是因為食品機會如此之大，部署規模如此之大，一切都如此之大，而且需要時間。

In the bigger picture, we see an expansion of the market from handheld driven or not solely, but significantly handheld driven inventory counting in retail stores to fixed reading significantly in supply chains. And don't just think supply chain and logistics, think supply chains, retail supply chains, reading items from point of manufacturing, tracking them through the supply chain into a distribution center, out of the distribution center, and to a store, and then out the store exit at point after point of sale.

從更大的角度來看，我們看到市場正在從零售店的手持驅動（或非完全手持驅動，但很大程度上是手持驅動）庫存盤點擴展到供應鏈中的固定讀數。不要只考慮供應鏈和物流，還要考慮供應鏈、零售供應鏈，從製造點讀取物品，透過供應鏈追蹤它們進入配送中心，離開配送中心，到達商店，然後在一個又一個銷售點離開商店出口。

That retail opportunity, not just in the retail apparel, it's in retail general merchandise. It includes shipping and supply chain and logistics, and it uses significantly fixed reading. We think that growth opportunity is a place where we can excel.

零售機會不僅存在於服飾零售領域，也存在於百貨零售領域。它包括航運、供應鏈和物流，並且使用相當固定的讀數。我們認為成長機會是我們可以脫穎而出的地方。

Our platform is needed, it's used, we're innovating in that space. So expect us to keep focusing and doubling down on opportunities around fixed reading, and that's the opportunity for the next couple of years.

我們的平台是被需要的，它被使用，我們正在那個領域進行創新。因此，我們希望繼續專注並加倍努力尋找固定閱讀的機會，這就是未來幾年的機會。

Looking out beyond that. You can start to see, you can get into mobile phones, consumer opportunities to layer in. The consumer opportunities is further out in time. It's fun to talk about it. It's exciting. It truly changed our industry, but it's not going to happen in '25 or '26. It's going to be further out in time. And in the meantime, Look at the solutions that we're delivering to enterprise end users to solve their pressing thorny problems.

放眼更遠的地方。你可以開始看到，你可以進入手機領域，提供消費者分層的機會。消費者機會在時間上更加遙遠。談論它很有趣。這很令人興奮。它確實改變了我們的行業，但這不會在 1925 年或 1926 年發生。時間會進一步推移。同時，看看我們向企業最終用戶提供的解決方案，以解決他們緊迫的棘手問題。

Thank you so much --

太感謝了--

Questions?

問題？

Thank you, Chris.

謝謝你，克里斯。

And your next question today will come from Guy Hardwick with Freedom Capital Markets. Please go ahead.

今天的下一個問題來自 Freedom Capital Markets 的 Guy Hardwick。請繼續。

Hi, good afternoon, guys.

大家下午好。

Good afternoon.

午安.

I know you touched on it, but I'm going to know if you could just give us a bit of an update on the situation with the, your large, your second largest North American supply chain logistics customer.

我知道您提到了這一點，但我想知道您是否可以向我們介紹您的第二大北美供應鏈物流客戶的最新情況。

And whether this, the flow of trade to the US is going to maybe exacerbate that issue or maybe it doesn't just maybe you could give us a bit of an update on how the inventory situation there is.

而這，即流向美國的貿易是否會加劇這個問題，或者也許不會，也許您能否向我們介紹那裡的庫存情況。

Yeah.

是的。

You want to start, go ahead.

你想開始，那就開始吧。

So we continue supporting the customer in all that they're doing. We see them continuing to deploy. We see growth this year over last year And overall, we see a very positive dynamic engaging them.

因此，我們會繼續支持客戶所做的一切。我們看到他們正在繼續部署。我們看到今年比去年有了成長，整體而言，我們看到了非常積極的互動動態。

We haven't seen further pushouts, and we will support them as they go forward. Cary, do you have things you can add?

我們還沒有看到進一步的推遲，我們將支持他們繼續前進。卡里，你還有什麼可以補充的嗎？

Yeah, I would say that there remains a lot of consistency with that and customer. And you know, we've made good progress in the channel inventory perspective, but as I mentioned earlier, the channel inventory dynamic has changed and some partners are increasing channel inventory for different reasons for strategic reasons.

是的，我想說這和客戶之間仍然有很大的一致性。你知道，我們在渠道庫存方面取得了良好的進展，但正如我之前提到的，渠道庫存動態已經發生了變化，一些合作夥伴出於不同的戰略原因正在增加渠道庫存。

Thank you.

謝謝。

Sure.

當然。

Thank you, guys.

謝謝你們。

(Operator Instructions). And your next question today will come from Troy Jensen with Cantor Fitzgerald. Please go ahead.

（操作員指令）。今天的下一個問題來自 Cantor Fitzgerald 的 Troy Jensen。請繼續。

Hey gentlemen, congrats. Maybe a couple of quick questions here for Cary, kind of common questions from me, but, Q2 gross margins, Cary, if you some kind of midpoint of revenues, and I think you said keep CapeEx relatively flat. It implies like a really high 50% type of gross margin in Q2. Am I thinking about that correctly?

嘿，先生們，恭喜。這裡我可能想問 Cary 幾個簡單的問題，這些都是我經常問的問題，但是，Cary，第二季度的毛利率，如果你能給出某種收入的中點，我想你說過要保持 CapeEx 相對平穩。這意味著第二季的毛利率將達到 50% 左右。我這樣想對嗎？

Yeah, you're thinking about it. I remember Q2, we have the benefit from the annual license payment which all flows to revenue in Q2. So that's a high margin revenue stream for us as you might imagine.

是的，你正在考慮這個。我記得第二季度，我們從年度許可費中獲得了收益，這些收益全部轉化為第二季度的收入。正如您可能想像的那樣，這對我們來說是一個高利潤的收入來源。

Yeah, okay, perfect. And then also just --

是的，好的，完美。然後也只是--

On a product basis, I would expect a product gross margins, so that is excluding the license payment to be similar to Q1 gross margin.

從產品角度來看，我預期產品毛利率（不包括許可費）將與第一季的毛利率相似。

Okay, perfect. Alright. And then how about just like if we look at second half, you talk about just, I mean assuming some growth and assuming, the 800 kind of takes over, I mean, safe to say second half gross margins should be above two one gross margins.

好的，完美。好吧。那麼如果我們看一下下半年，您說的只是，我的意思是假設有一些增長，並且假設 800 接管，我的意思是可以肯定地說下半年的毛利率應該高於 21 的毛利率。

I anticipate the second half product gross margins to benefit from the continued M800 ramp from improved yields that our ops team has been able to generate, and then also lower cost wafers flowing through.

我預計下半年產品毛利率將受益於 M800 的持續成長，這得益於我們的營運團隊所能提高的產量，以及流經的晶圓成本降低。

Great, perfect.

太棒了，完美。

Okay, and how about this, last question, I should know this, but can you just give us the details again on the debt, just the conversion price and the due date.

好的，最後一個問題，我應該知道，但是您能否再次向我們提供有關債務的詳細信息，包括轉換價格和到期日。

The conversion price is about $111 stock price, and it is May 2027, so we've got plenty of time on that.

轉換價格約為每股 111 美元，現在是 2027 年 5 月，所以我們有充足的時間。

Okay, right,

好的，對了，

The notional value 287.5 billion. We also and then the last thing I would add, Troy, is we still have the cap call from the initial convertible debt we raised in 2019 just short of $50 million accretes to us if the stocks over $54.20 and end of 2026.

名義價值2875億。然後，我要補充的最後一件事是，特洛伊，我們仍然需要支付 2019 年籌集的初始可轉換債務的上限費用，如果股價超過 54.20 美元，到 2026 年底，我們將獲得不到 5000 萬美元的增值。

Okay, good to know. Thank you.

好的，很高興知道。謝謝。

Thank you, Troy.

謝謝你，特洛伊。

And your next question today will come from Harsh Kumar with Piper Sandler with a follow up. Please go ahead.

今天的下一個問題來自 Piper Sandler 的 Harsh Kumar。請繼續。

Yeah, hey gentlemen, I wanted to follow up on something that I heard in response to one of the answers, Chris, that you that you might have mentioned and make sure that I get this correctly.

是的，嘿，先生們，克里斯，我想跟進我聽到的關於您可能提到過的其中一個答案的回答，並確保我理解正確。

Are you suggesting that your logistics, the large logistics customer, will be up in 2025 over 2024 despite the inventory issues that happened in in one queue? Is that the correct way for me to think about it?

您是否認為，儘管在某個隊列中發生了庫存問題，但您的物流（大型物流客戶）在 2025 年的表現將超過 2024 年？這是我思考這個問題的正確方式嗎？

Well, harsh, remember that the inventory was at the channel partner level, so we would anticipate that and customers still having label growth, any change to the macro that has a flow flow through effect notwithstanding, but that was our assumption going into the year.

好吧，嚴格來說，請記住庫存是在通路合作夥伴級別，因此我們預計客戶仍然有標籤成長，儘管對宏觀的任何變更都會產生流量影響，但這是我們進入今年的假設。

Thanks.

謝謝。

Understood, thank you.

明白了，謝謝。

Okay, thank you, Harsh.

好的，謝謝你，Harsh。

This concludes our question and answer session. I would 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。我想將會議交還給聯合創始人兼首席執行官克里斯·迪奧裡奧 (Chris Diorio) 來做閉幕發言。

Thank you very much, Nick. I'd like to thank you all for joining the call today and thank you for your ongoing support. Bye-bye.

非常感謝，尼克。我要感謝大家今天參加電話會議，並感謝大家一直以來的支持。再見。

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

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。