(PLAB) 2022 Q4 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Photronic's Fourth Quarter and Full Year 2022 Earnings Conference Call. (Operator Instructions) Please advised that today's conference is being recorded Tuesday, December 13, 2022.

美好的一天，謝謝你的支持。歡迎來到 Photronic 的第四季度和 2022 年全年收益電話會議。 （操作員說明）請注意，今天的會議將於 2022 年 12 月 13 日星期二錄製。

I would now like to hand the conference over to your host, Richelle Burr, Executive Vice President, Chief Administrative Officer and General Counsel. Please go ahead.

我現在想將會議交給您的主持人 Richelle Burr，她是執行副總裁、首席行政官兼總法律顧問。請繼續。

Thank you, Michelle. Good morning, everyone. Welcome to our review of Photronic's fiscal 2022 full year and fourth quarter results. Joining me to (inaudible) these cost they may see to uncertainty uncontracted material over is closing are connections referrer GAAP specialties that at ongoing performance. and reconciliation of these metrics to GAAP financial results is provided in our presentation peril. At this time, I will turn the Frank over -- I will turn the call over to Frank.

謝謝你，米歇爾。大家，早安。歡迎閱讀我們對 Photronic 2022 財年全年和第四季度業績的回顧。與我一起（聽不清）這些成本，他們可能會看到不確定的未合同材料正在關閉，這些成本是連接推薦人 GAAP 專業，在持續的表現。這些指標與 GAAP 財務結果的對賬在我們的演示文稿中提供。這個時候，我會把弗蘭克轉過來——我會把電話轉給弗蘭克。

Thank you, Richelle, and good morning, everyone. Q4 was solidly finished to a great year. Revenue grew 24% in 2022 as we achieved our fifth consecutive year of record revenue. Both IC and FPD generated strong growth as design activity remained robust. We saw annual growth across nearly all pro types. It remains clear that our broad technology portfolio, operation effects and close customer relationships have met us the market leader.

謝謝你，Richelle，大家早上好。第四季度穩固地結束了偉大的一年。收入在 2022 年增長了 24%，因為我們連續第五年創下了創紀錄的收入。由於設計活動保持強勁，IC 和 FPD 都實現了強勁增長。我們看到幾乎所有專業人士類型的年度增長。很明顯，我們廣泛的技術組合、運營效果和密切的客戶關係使我們成為市場領導者。

Q4 revenue was less than third quarter revenue, with demand slowing in high-end large (inaudible) for this then will be indicated by the current semiconductor industry downturn as design activity remains relatively strong. There was also some negative impact from depreciation of Asian currencies on FPD business. However, we believe that factor cause in this slower demand with the transit, and we maintain our positive view on the long-term demand trend.

第 4 季度的收入低於第三季度的收入，高端大型（聽不清）的需求放緩將表明當前半導體行業的低迷，因為設計活動仍然相對強勁。亞洲貨幣貶值對 FPD 業務也有一些負面影響。然而，我們認為這一因素導致了運輸需求放緩，我們對長期需求趨勢保持樂觀。

Gross margin and operation margin was essentially flat compared with the third quarter as we motivate the impact on lower borrowings by closely managing our costs while we continue to benefit from strong pricing. We also realized a foreign exchange gain that John will discuss in more detail later.

與第三季度相比，毛利率和營業利潤率基本持平，因為我們通過密切管理成本來推動對較低借款的影響，同時我們繼續受益於強勁的定價。我們還實現了外匯收益，John 稍後將對此進行更詳細的討論。

The end result is we delivered EPS of $0.60 for fourth quarter. Looking now to the industry outlook. While we believe the demand trends in addition to customer capacity expansions are intact in the long term. The (inaudible) picture is cloudier due to current market on service. Factors such as high interest rates, rising inflation and slowing GDP are already having a negative impact on some sectors of the electronic product supply chain and could potentially impact photomask demand.

最終結果是我們第四季度的每股收益為 0.60 美元。現在來看行業前景。雖然我們認為，從長遠來看，除了客戶產能擴張之外，需求趨勢是完好的。由於當前的服務市場，（聽不清）畫面更加模糊。高利率、通脹上升和 GDP 放緩等因素已經對電子產品供應鏈的某些部門產生了負面影響，並可能影響光掩膜的需求。

Moreover, adding to uncertainties is that U.S. government's new export restriction imports from China on certain semiconductor technologies, that may further impact the Chinese IC industry. So far, these actions have had minimal impact on Photronics' business or operations. However, the situation is dynamic and (inaudible), which we continue to monitor. At the same time, we will ensure our compliance with all (inaudible) while taking necessary actions to mitigate the impact on our supply chain and business.

此外，增加不確定性的是美國政府對從中國進口某些半導體技術的新出口限制，這可能進一步影響中國集成電路產業。到目前為止，這些行動對 Photronics 的業務或運營影響微乎其微。但是，情況是動態的（聽不清），我們將繼續對其進行監控。同時，我們將確保遵守所有（聽不清）規定，同時採取必要措施減輕對我們供應鍊和業務的影響。

Although the near term (inaudible) uncertain, we are confident that IC design and manufacture continue to play a central and expanding role in the global economy. Photomask a key element within the ecosystem. We are continuing to strive over the long term.

儘管近期（聽不清）不確定，但我們相信 IC 設計和製造將繼續在全球經濟中發揮核心作用並不斷擴大。光掩膜是生態系統中的一個關鍵元素。我們將繼續長期努力。

Currently, IC manufacturing regionalization is spurring investment across the world. This new capacity will generate additional photomask demand. For Photronics we will capitalize on these opportunities from a position of business and spread.

當前，IC製造區域化正在刺激全球範圍內的投資。這種新產能將產生額外的光掩模需求。對於 Photronics，我們將從業務和傳播的角度利用這些機會。

Our customer relationships are beyond trust, supported by our technology, service, quality and global production capacity. This customer relationship coupled with many long-term purchase agreement have continued to support our competitive advantage in the business. I would like to thank the entire Photronics' team for excellent performance in the fourth quarter and throughout the full year.

在我們的技術、服務、質量和全球生產能力的支持下，我們的客戶關係超越信任。這種客戶關係加上許多長期採購協議繼續支持我們在業務中的競爭優勢。我要感謝整個 Photronics 團隊在第四季度和全年的出色表現。

We navigated challenges and change and great opportunities as we deliver another record year. Our long-term strategy is intact and on track to achieve our financial targets. I'm proud of what we have accomplished together and believe we can do even better in the future. At this time, I will turn the call to John.

我們度過了又一個創紀錄的年份，應對了挑戰和變革以及巨大的機遇。我們的長期戰略完好無損，並有望實現我們的財務目標。我為我們共同取得的成就感到自豪，並相信我們可以在未來做得更好。這時候，我會把電話轉給約翰。

Thank you, Frank, and good morning, everyone. Revenue in the fourth quarter was lower sequentially as softer demand trends were experienced in both IC and FPD primarily for high-end products. Our product diversity and global customer base helped mitigate high-end (inaudible) with mainstream revenue higher for both IC and FPD. We have invested in tool sets for a broad array of technologies and notes, enabling us to support our customers' technology road map across both high-end and mainstream.

謝謝你，弗蘭克，大家早上好。由於主要針對高端產品的 IC 和 FPD 經歷了疲軟的需求趨勢，因此第四季度的收入環比下降。我們的產品多樣性和全球客戶群有助於緩解高端（聽不清），IC 和 FPD 的主流收入更高。我們投資了廣泛的技術和註釋工具集，使我們能夠支持客戶的高端和主流技術路線圖。

As a result, fourth quarter revenue of $210 million was down only 4% sequentially despite the declines in high-end product revenue. Our conversion teams have done a great job of working with customers to identify opportunities, and our operations teams were effective in supporting this demand with on-time execution, delivering the highest quality products that enable our customers' success.

因此，儘管高端產品收入下降，但第四季度收入為 2.1 億美元，環比僅下降 4%。我們的轉換團隊在與客戶合作以發現機會方面做得非常出色，而我們的運營團隊通過按時執行有效地支持了這一需求，交付了使我們的客戶取得成功的最高質量的產品。

IC revenue of $156 million in the fourth quarter was up 25% year-over-year and down 3% sequentially. Although high-end revenue was lower quarter-over-quarter due to some reduction in agent foundry logic demand. That business has been significantly better than last since quarter due to some increases in capacity through the year.

第四季度 IC 收入為 1.56 億美元，同比增長 25%，環比下降 3%。儘管由於代理代工邏輯需求有所減少，高端收入環比有所下降。由於全年產能有所增加，該業務自本季度以來明顯好於上一季度。

Midstream revenue improved on continued strong demand, especially in Asia. FPD revenue of $54 million was down 8% quarter-over-quarter and 3% year-over-year. Demand from mobile display masks was lower as panel makers focus on purchasing current products for new premium smartphones and not releasing new designs.

中游收入因持續強勁的需求而有所改善，尤其是在亞洲。 FPD 收入為 5400 萬美元，環比下降 8%，同比下降 3%。由於面板製造商專注於為新的高端智能手機購買現有產品，而不是發布新設計，因此移動顯示掩模的需求較低。

G10.5+ demand was also lower during the fourth quarter. We were successful in picking up mainstream (inaudible) growth to maintain higher capacity utilization. Gross and operating margins were essentially flat in the third quarter as improved pricing and continued cost discipline offset the negative impact of lower volumes on operating leverage.

G10.5+ 需求在第四季度也有所下降。我們成功地實現了主流（聽不清）增長，以保持更高的產能利用率。第三季度的毛利率和營業利潤率基本持平，原因是定價的改善和持續的成本控制抵消了銷量下降對經營槓桿的負面影響。

Gross margin of 38.2% and operating margin of 28.8% are already within our target model range. Based on our outlook and the continued focus on cost reductions, we expect to continue to deliver margin improvement as our revenue moves into the targeted zones with price increases holding stable in 2023, while the outlook for continuation of premiums may be less certain.

38.2% 的毛利率和 28.8% 的營業利潤率已經在我們的目標模型範圍內。基於我們的展望和對降低成本的持續關注，我們預計隨著我們的收入進入目標區域以及 2023 年價格上漲保持穩定，我們將繼續提高利潤率，而繼續保費的前景可能不太確定。

Operating expenses decreased compared with the third quarter as we balance the need to maintain margins while also investing in (inaudible) resources to support revenue growth, positioning us to continue to grow both revenue and profit.

與第三季度相比，運營費用有所下降，因為我們平衡了維持利潤率的需要，同時還投資於（聽不清）資源以支持收入增長，使我們能夠繼續實現收入和利潤的增長。

Nonoperating income of $11 million was primarily due to FX gains primarily resulting from remeasurement of U.S. dollar-denominated balances in following locations into the local functional currencies.

1100 萬美元的非營業收入主要是由於外匯收益，主要是由於將以下地點的以美元計價的餘額重新計量為當地功能貨幣而產生的。

Income tax provision of $16 million resulted in an effective tax rate of [25.5%] for the fourth quarter and 25% for the full year.

1600 萬美元的所得稅準備金導致第四季度的有效稅率為 [25.5%]，全年為 25%。

Diluted EPS for Q4 was $0.60, an 18% increase over Q3 and 82% increase over the $0.33 of last year's fourth quarter.

第四季度的稀釋每股收益為 0.60 美元，比第三季度增長 18%，比去年第四季度的 0.33 美元增長 82%。

Diluted EPS for the whole year of 2022 was $1.94, an increase of 118% over 2021, demonstrating the achievement of the entire Photronics' team during a challenging and changing year.

2022 年全年攤薄後每股收益為 1.94 美元，比 2021 年增長 118%，顯示了 Photronics 整個團隊在充滿挑戰和變化的一年中取得的成就。

Cash flow generated from operating activities from $79 million in the fourth quarter bringing the 2022 total operating cash flow to $275 million. We used this cash to invest in growth by funding capital expenditures of $66 million in the quarter. Full year CapEx was $109 million, net of nearly $4 million in government subsidies.

第四季度經營活動產生的現金流為 7900 萬美元，使 2022 年的總經營現金流達到 2.75 億美元。我們使用這筆現金通過為本季度 6600 萬美元的資本支出提供資金來投資於增長。全年資本支出為 1.09 億美元，扣除近 400 萬美元的政府補貼。

For 2023, regional CapEx to be approximately $130 million as we continue to invest in growth, primarily for high-end and mainstream IC capacity. We also continued to reduce debt during the quarter, bringing total year-end total long-term debt to $42 million, a reduction of $69 million since last year-end.

到 2023 年，區域資本支出約為 1.3 億美元，因為我們將繼續投資於增長，主要用於高端和主流 IC 產能。我們還在本季度繼續減少債務，使年末長期債務總額達到 4200 萬美元，比去年年底減少了 6900 萬美元。

Cash balance at the end of the quarter was $320 million. If we improve short-term investments of $39 million, net cash and short-term investments at the end of the quarter was $316 million.

本季度末的現金餘額為 3.2 億美元。如果我們提高 3900 萬美元的短期投資，則本季度末的淨現金和短期投資為 3.16 億美元。

Our balance sheet is strong and flexible, and we're able to pursue growth investments, both organic and inorganic were also being prepared to weather potential future economic challenges and uncertainty.

我們的資產負債表強大而靈活，我們能夠追求增長投資，有機和無機也準備好迎接未來潛在的經濟挑戰和不確定性。

Before I provide guidance, I'll remind you that our visibility is always limited as our backlog is typically only 1 to 3 weeks and demand for some of our products is inherently uneven and difficult to predict. Additionally, the (inaudible) high-end masks are high. And as this segment of the business grows a relatively low number, high-end orders can have a significant impact on our quarterly revenue and earnings.

在我提供指導之前，我會提醒您，我們的能見度總是有限的，因為我們的積壓訂單通常只有 1 到 3 週，而且對我們某些產品的需求本質上是不均衡的，難以預測。此外，（聽不清）高端口罩價格很高。由於這部分業務增長相對較低，高端訂單會對我們的季度收入和收益產生重大影響。

Given those caveats, we expect first quarter revenue to be in the range of $203 million to $213 million as we expect positive demand trends with less than typical seasonality. Based on those revenue expectations and our current operating model, we estimate earnings per share for the first quarter to be in the range of $0.40 to $0.48 per diluted share.

考慮到這些警告，我們預計第一季度收入將在 2.03 億美元至 2.13 億美元之間，因為我們預計需求趨勢會低於典型的季節性。根據這些收入預期和我們目前的運營模式，我們估計第一季度每股攤薄收益在 0.40 美元至 0.48 美元之間。

2022 was a great year. We grew revenues 24% posting our fifth consecutive year of record revenue, expanded margins, which places us into the bottom end of the range in our target model and strengthened our balance sheet, generating cash, reducing debt and investment in growth.

2022 年是偉大的一年。我們的收入增長了 24%，連續第五年創下收入記錄，擴大了利潤率，這使我們處於目標模型範圍的底端，並加強了我們的資產負債表，產生現金，減少債務和增長投資。

Looking forward, we believe positive long-term market trends and our leadership position together with financial flexibility positions us to continue our profitable growth and achieve even greater success for our customers, our employees and our shareholders.

展望未來，我們相信積極的長期市場趨勢和我們的領導地位以及財務靈活性將使我們能夠繼續實現盈利增長，並為我們的客戶、員工和股東取得更大的成功。

I will now turn over to the operator.

我現在將交給接線員。

(Operator Instructions). Our first question comes from the line of Hans Chung with D.A. Davidson.

（操作員說明）。我們的第一個問題來自 Hans Chung 和 D.A.戴維森。

So first, so it seems like you have a pretty good gross margin for the quarter. And then -- just wanted to kind of deep dive back what's the driving factors that I know you mentioned some cost management and then the pricing is still favorable. So just any detail on that? And then how should we think about the gross margin in 2023.

所以首先，看起來你本季度的毛利率相當不錯。然後 - 只是想深入了解驅動因素是什麼，我知道你提到了一些成本管理，然後定價仍然有利。那麼關於這方面的任何細節？然後我們應該如何考慮2023年的毛利率。

The pricing environment has been very good, so our pricing is stronger than it has been historically. And we expect that pricing to maintain. We've seen even as demand is still strong, but not quite what it has been. The pricing holds up, we have pricing agreements across the board in Asia, they've held, as I mentioned, as demand is not quite as strong. We did -- we have had premiums as people try to grow (inaudible) to move up in (inaudible) extra from mainstream delivery sense has been much more extended than it had been historically.

定價環境非常好，所以我們的定價比以往任何時候都強。我們預計該定價將保持不變。我們已經看到，即使需求仍然強勁，但也不盡如人意。定價保持不變，我們在亞洲有全面的定價協議，正如我提到的那樣，由於需求不那麼強勁，它們一直保持不變。我們做到了——我們已經獲得了溢價，因為人們試圖成長（聽不清）以從主流交付意義上提升（聽不清），這比以往任何時候都更加廣泛。

Those premiums are less predictable, but through the fourth quarter, both pricing and premiums have held up. So a combination of change in mix with some of our operations taking up business and improving their margins and with sustained pricing strength, we think we will stay within the margin ranges that we've been experiencing.

這些保費不太可預測，但到第四季度，定價和保費都保持不變。因此，結合我們的一些業務開展業務並提高利潤率以及持續的定價優勢，我們認為我們將保持在我們一直經歷的利潤率範圍內。

Okay. And then next question, just I know you mentioned the recent impact from China, the restriction that minimized to our business. So -- but you also mentioned there is still some uncertainties. So I just wanted to kind of get more understand the index, what's the potential risk from new China export control? Or is any indirect impact from that?

好的。然後下一個問題，我知道你提到了最近來自中國的影響，對我們業務的限制最小化。所以 - 但你也提到仍然存在一些不確定性。所以我只是想更多地了解該指數，新中國出口管制的潛在風險是什麼？或者是否有任何間接影響？

So far, Hans, we've been -- there are a couple of factors. One is our business in China is primarily mainstream. So -- and most of the restrictions that are issued to prevent leading-edge technology from leaking into Chinese military primarily. So those restrictions to some extent, have affected us, but we've been able to essentially figure them all to understand and work with them. So the restrictions have affected us very little over the past 3 years since they started imposing them.

到目前為止，漢斯，我們已經 - 有幾個因素。一是我們在中國的業務主要是主流。所以——大多數限制措施主要是為了防止尖端技術洩漏到中國軍方。所以這些限制在某種程度上影響了我們，但我們已經能夠從根本上理解它們，以便理解它們並與之合作。因此，自從他們開始實施這些限制以來的過去 3 年裡，這些限制對我們的影響很小。

I think that if they stay in the leading-edge technologies, we're going to remain unaffected but we spend a lot of effort to understand the restrictions as they're imposed and to make sure that we reach today with them a lot.

我認為，如果他們保持領先技術，我們將不會受到影響，但我們會花費大量精力來了解它們所施加的限制，並確保我們今天能與他們一起實現很多目標。

So, so far, not much effect. There has been some, but very minimum, and we expect that to continue. And as restrictions continue to get issued, we'll continue to assess how they affect our business and work within new restrictions.

所以，到目前為止，影響不大。有一些，但非常少，我們希望這種情況會繼續下去。隨著限制不斷出台，我們將繼續評估它們將如何影響我們的業務並在新的限制下開展工作。

Hopefully, we'll continue to experience the same minimum effect that we had because they're directly primarily at leading-edge technologies where we're not engaged.

希望我們將繼續體驗到與我們一樣的最小影響，因為他們直接主要在我們沒有參與的前沿技術上。

I might add one thing to that on the -- if there is a positive side to this since the leading edge has been kind of restricted in China, a lot of that capacity can deploy to midrange and mainstream. So that's creating a fairly healthy design pipeline have been ranging mainstream nodes in China. I'm just seeing that in the local facility. So -- and those are sweet spot nodes for us, particularly how we're tooled up there. So that's kind of a situation. But fortunately, that's kind of a positive knockout effect for our local business.

我可能會補充一件事 - 如果這有積極的一面，因為領先優勢在中國受到限制，那麼很多能力可以部署到中端和主流。因此，創建一個相當健康的設計管道已經覆蓋了中國的主流節點。我只是在當地設施中看到了這一點。所以 - 這些是我們的最佳節點，特別是我們在那裡的工具。所以這是一種情況。但幸運的是，這對我們當地的業務來說是一種積極的淘汰效應。

And our next question comes from the line of Gus Richard with Northland Capital Markets.

我們的下一個問題來自 Northland Capital Markets 的 Gus Richard。

About 6 months ago, (inaudible) Photomask was spun out and sold to private equity. And I'm just wondering, given that transaction been a little bit of time, how has that affected the market or hasn't it.

大約 6 個月前，（聽不清）Photomask 被分拆出來並出售給私募股權公司。我只是想知道，鑑於該交易已經有一段時間了，這對市場有何影響或沒有。

Michelle, we still has that technical difficulty or its clear up.

米歇爾，我們仍然有技術困難，或者說它已經解決了。

You're loud and clear, sir.

先生，您的聲音很響亮。

Thank you. We have other questions?

謝謝你。我們還有其他問題嗎？

Did you not hear Han's question?

你沒聽到韓寒的問題嗎？

I did not.

我沒有。

Hans, could you repeat your question, sir?

漢斯，你能重複你的問題嗎，先生？

Yes. Can you hear me?

是的。你能聽到我嗎？

Yes. Thank you, Hans.

是的。謝謝你，漢斯。

This is Gus. Real quick. (inaudible) Photomask that spun out about 6 months ago. It's been in that state for a while now. And I'm just wondering how is that impacting the photomask market? Or is it -- or as things remaining the same?

這是格斯。真快。 （聽不清）大約 6 個月前旋轉出來的光掩模。這種狀態已經有一段時間了。我只是想知道這對光掩模市場有何影響？或者是——還是保持不變？

Basically, we don't see a major change in the business model, (inaudible) since their spin-off they have made major capital investment even announced some projects in Texas, but nothing materialized. So at this moment, from customer side, from our side, we haven't seen a real difference.

基本上，我們沒有看到商業模式發生重大變化，（聽不清）自從他們分拆以來，他們進行了大量資本投資，甚至在德克薩斯州宣布了一些項目，但沒有實現。所以此時此刻，從客戶方面，從我們方面來看，我們還沒有看到真正的區別。

Got it. And then in terms of the $130 million in CapEx, can you provide a little bit of color? Is that for de-bottlenecking? Or are you going to get some high throughput tools for mainstream? Is it going to be for high end? What -- can you give a little color on where you're investing?

知道了。然後就 1.3 億美元的資本支出而言，你能提供一點顏色嗎？這是為了消除瓶頸嗎？或者你打算獲得一些主流的高吞吐量工具？會不會做高端？什麼——你能給你投資的地方一點顏色嗎？

Sure. Actually, in the past 15 months, the equipment (inaudible) in photomask is also very long, same as in semiconductor business. So some tool will actually ordered one year and half ago. So the 2 are coming in2023, the main purpose of this tool is to serve the mainstream business expansion and also we don't have some tools which are going to the end of life. So we are doing certain tool replacement in addition to mainstream business expansion. However, the tool to be repressed our old tool, so the new tool has a better performance, higher throughput. So we expect not only just a replacement, we will see some new capacity added to our overall production capacity.

當然。實際上，在過去的 15 個月中，光掩膜的設備（聽不清）也很長，與半導體業務相同。所以有些工具實際上會在一年半前訂購。所以 2 將在 2023 年推出，這個工具的主要目的是為主流業務擴展服務，而且我們沒有一些工具會被淘汰。所以我們除了做主流的業務拓展外，也在做一些工具的更換。但是，這個工具要壓制我們的舊工具，所以新工具有更好的性能，更高的吞吐量。因此，我們不僅希望更換，我們還會看到一些新產能增加到我們的整體生產能力中。

Got it. And then the last one for me. You talked a little bit about demand softening a bit. Can you put that in context of lead times, lead times have stretched quite a bit from days to, I think, weeks or months. How has lead time changed over the course of the quarter?

知道了。然後是我的最後一個。你談到了一點點需求疲軟。你能把它放在交貨時間的背景下嗎，我認為交貨時間已經從幾天延長到幾週或幾個月了。在整個季度中，交貨時間有何變化？

The soften demand actually 2, 3 months ago, particularly in the high-end side. But it doesn't really impact our (inaudible) utilization. We still have enough work. But of course, this time to customer has been reduced because the VAT level is lower. However, there are certain signs -- the demand for the high-end is coming back. At this moment, we -- it's a little bit too early to be very precise in terms of green recovery. But from our input from sales and customer, we do see the high-end demand start to come back.

實際上 2、3 個月前需求疲軟，特別是在高端方面。但這並沒有真正影響我們的（聽不清）利用率。我們還有足夠的工作要做。但當然，這次給客戶的時間已經減少，因為增值稅水平較低。然而，有某些跡象——對高端產品的需求正在回歸。此時此刻，我們 - 在綠色復甦方面非常精確還為時過早。但從我們的銷售和客戶輸入來看，我們確實看到高端需求開始回升。

And I'm showing no further questions at this time. And I'd like to hand the conference back over to Frank Lee for any further remarks.

我現在沒有進一步提問。我想將會議交還給 Frank Lee，以徵求他的進一步意見。

Thank you, Michelle. Thank you for joining the meeting. I'm very pleased with our performance in 2022 and proud of the way our team has responded to the (inaudible) changing environment. We are well positioned to continue our success in the future and looking forward to updating you as we continue to make progress. Thank you for your interest, and have a good day. Thank you, everybody. Thank you.

謝謝你，米歇爾。感謝您參加會議。我對我們在 2022 年的表現感到非常滿意，並為我們的團隊應對（聽不清）不斷變化的環境的方式感到自豪。我們有能力在未來繼續取得成功，並期待在我們不斷取得進步的同時為您提供最新信息。感謝您的關注，祝您有美好的一天。謝謝大家。謝謝你。

This concludes today's conference. Thank you for participating. You may now disconnect. Everyone, have a great day.

今天的會議到此結束。感謝您的參與。您現在可以斷開連接。大家，祝你有美好的一天。

Thank you.

謝謝你。

Thank you, Michelle,

謝謝你，米歇爾，