SiTime Corp (SITM) 2022 Q3 法說會逐字稿

Good afternoon, and welcome to SiTime's Third Quarter 2022 Financial Results Conference Call. (Operator Instructions) As a reminder, this conference call is being recorded today, Wednesday, November 2, 2022.

下午好，歡迎參加 SiTime 2022 年第三季財務業績電話會議。 (操作員指示) 提醒一下，本次電話會議將於今天（2022 年 11 月 2 日，星期三）錄製。

I would now like to turn the call over to Brett Perry of Shelton Group Investor Relations. Brett, please go ahead.

現在我想把電話轉給謝爾頓集團投資者關係部門的布雷特·佩里。布雷特，請講。

Thank you, Bella, and good afternoon. Welcome to SiTime's Third Quarter 2022 Financial Results Conference Call. On today's call from SiTime are Rajesh Vashist, Chief Executive Officer; and Art Chadwick, Chief Financial Officer.

謝謝，貝拉，下午好。歡迎參加 SiTime 2022 年第三季財務業績電話會議。 SiTime 今天電話會議的嘉賓包括執行長 Rajesh Vashist 和財務長 Art Chadwick。

Before we begin, I would like to point out that during the course of this call, the company may make forward-looking statements regarding expected future results, including financial position, strategy, and plans, future operations, the timing market and other areas of discussion.

在我們開始之前，我想指出，在本次電話會議的過程中，公司可能會對預期的未來結果做出前瞻性的陳述，包括財務狀況、策略和計劃、未來營運、時機市場和其他討論領域。

It's not possible for the company's management to predict all risks, nor can the company assess the impact of all factors on its business or the extent to which any factor or a combination of factors may cause actual results to differ materially from those contained in any forward-looking statements. In light of these risks, uncertainties, and assumptions, the forward-looking events discussed during this call may not occur and actual results could differ materially and adversely from those anticipated or implied.

公司管理階層無法預測所有風險，也無法評估所有因素對其業務的影響，也無法評估任何因素或多種因素組合可能導致實際結果與任何前瞻性陳述中所述結果產生重大差異的程度。鑑於這些風險、不確定性和假設，本次電話會議中討論的前瞻性事件可能不會發生，實際結果可能與預期或隱含的結果產生重大不利差異。

Neither the company nor any person assumes responsibility for the accuracy and completeness of the forward-looking statements. The company undertakes no obligation to publicly update forward-looking statements for any reason after the date of this call to conform the statements to actual results or to changes in the company's expectations.

本公司或任何個人均不對前瞻性陳述的準確性和完整性承擔責任。本公司不承擔在本次電話會議召開之日後因任何原因公開更新前瞻性陳述的義務，以使這些陳述與實際結果或公司預期的變化相符。

For more detailed information on risks associated with the business, we refer you to the risk factors described in the 10-K filed on February 25, 2022, as well as the company's subsequent filings with the SEC.

有關業務相關風險的更多詳細信息，請參閱 2022 年 2 月 25 日提交的 10-K 文件中描述的風險因素，以及公司隨後向美國證券交易委員會提交的文件中。

Also, during this call, we'll refer to certain non-GAAP financial measures, which we consider to be an important measure of company's performance. These non-GAAP financial measures are provided in addition to, and not as a substitute for, or superior to measures of financial performance prepared in accordance with U.S. GAAP.

此外，在本次電話會議中，我們將提及一些非公認會計準則 (Non-GAAP) 財務指標，我們認為這些指標是衡量公司績效的重要指標。這些非公認會計準則 (Non-GAAP) 財務指標是根據美國公認會計準則 (US GAAP) 編制的財務績效指標的補充，並非替代或優於這些指標。

The only difference between GAAP and non-GAAP results is stock-based compensation expense and related payroll taxes. Please refer to the company's press release issued this afternoon for detailed reconciliation between GAAP and non-GAAP financial results.

GAAP 與非 GAAP 業績之間的唯一差異在於股票薪酬費用及相關工資稅。有關 GAAP 和非 GAAP 財務業績之間的詳細對賬，請參閱公司今天下午發布的新聞稿。

I'd now like to turn the call over to SiTime's CEO. Rajesh, please go ahead.

現在我想把電話轉給 SiTime 的執行長。請 Rajesh 發言。

Thank you, Brett. Good afternoon. First, I'd like to welcome you as well as existing investors to the SiTime Q3 2022 earnings call. For those of you that are new to our business, SiTime is the leader in a dynamic new product category called precision timing. In electronics, timing is ubiquitous and ensures reliable functioning. SiTime created precision timing to service the accelerating need for higher performance, smaller, lower power and more reliable timing chips for applications like automated driving, 5G and data centers.

謝謝，Brett。午安.首先，我歡迎您以及現有投資者參加 SiTime 2022 年第三季財報電話會議。對於剛接觸我們業務的朋友，SiTime 是精密定時這個充滿活力的新產品類別的領導者。在電子領域，定時無所不在，並確保可靠的運作。 SiTime 創造精密定時是為了滿足自動駕駛、5G 和資料中心等應用對更高效能、更小尺寸、更低功耗和更可靠定時晶片日益增長的需求。

We are early in our growth trajectory as we transform the $10 billion timing market. We have shipped 3 billion units of our precision timing chips to 20,000 customers in 300 applications across all electronics.

我們正處於成長初期，致力於改變價值100億美元的計時市場。我們已向2萬個客戶（涵蓋所有電子產品的300個應用領域）交付了30億顆精密計時晶片。

As many of you have heard from others in the semiconductor industry, the current market conditions, we are experiencing, are unprecedented. In 40 years of industry experience, I have not seen a downturn as rapid or as deep as this one. We see this as a result of multiple, unusual and simultaneous macro events making it more difficult to forecast than ever.

正如你們許多人從半導體行業其他人士那裡聽到的，我們目前經歷的市場狀況是前所未有的。在40年的行業經驗中，我從未見過如此迅速、如此深刻的衰退。我們認為，這是由多重異常且同時發生的宏觀事件造成的，這使得預測比以往任何時候都更加困難。

Last quarter, we saw a significant change in market conditions, which has reduced our expectations for the year. While our Q3 revenue, gross margin and EPS were all solidly within our guidance range, we have seen end customer demand slowing, first in consumer, then in industrial markets and now in comms, data center for fourth quarter '22 and first quarter 2023. This is because while we continue to see normal inventory levels at our distributors, it appears that customers have built inventory at their contract manufacturers.

上季度，市場環境發生了重大變化，這降低了我們對全年業績的預期。雖然我們第三季的營收、毛利率和每股盈餘均穩固地處於預期範圍內，但我們發現終端客戶需求有所放緩，首先是消費市場，然後是工業市場，現在則是通訊和資料中心市場，具體表現為2022年第四季和2023年第一季。這是因為，雖然我們經銷商的庫存水準仍然正常，但客戶似乎已經在其合約製造商處建立了庫存。

We expect that in all segments, our customers will need to spend the next 2 quarters working through this buildup. Despite this, our long-term growth story in precision timing and SiTime's leadership remains intact. I'd like to discuss 4 key points: design win growth, increasing ASPs or average selling price, increasing our single source business and higher quote activity, all of which give us confidence in the future.

我們預計，所有細分領域的客戶都需要在接下來的兩個季度消化這些成長。儘管如此，我們在精密計時領域的長期成長動能以及 SiTime 的領導地位依然穩固。我想討論四個關鍵點：設計訂單成長、平均銷售價格（ASP）上漲、單一來源業務成長以及報價活動增加，所有這些都讓我們對未來充滿信心。

First, our funnel of design win continues to grow. Design wins are central to the growth of our business. When customers commit to our products, it gives us visibility into their deployment and thus our future revenues. As we have stated before, SiTime's unique feature of programmability allows us to give customers the exact function that they want. In Q3 2022, we doubled the number of design wins over the same period last year. Not only is our number of design wins and dollar value significantly higher than in 2021, our focus segments, automotive, comms, aerospace, defense, constitutes the large majority of these design wins. We expect that these design wins will start generating revenue in 2023 and beyond.

首先，我們的設計訂單漏斗持續成長。設計訂單對我們業務成長至關重要。當客戶選擇我們的產品時，我們就能洞察他們的部署情況，從而了解我們未來的收入。正如我們之前所說，SiTime 獨特的可程式特性使我們能夠為客戶提供所需的精確功能。 2022 年第三季度，我們的設計訂單數量比去年同期翻了一番。不僅我們的設計訂單數量和金額顯著高於 2021 年，而且我們重點關注的領域——汽車、通訊、航空航太和國防——也構成了這些設計訂單的絕大部分。我們預計這些設計訂單將在 2023 年及以後開始產生收入。

The second bright indicator is ASPs, average selling prices. SiTime's precision timing products offer premium performance at a premium price and our products performance cannot be matched by legacy quartz-based competitors. This is reflected in the consistent increase of our average selling price. Q3 2022 was our eighth consecutive quarter of ASP increase. Additionally, ASPs have been rising consistently and significantly throughout 2022 and will be higher in Q1 2023 than a year ago. Note that we are not seeing any loss of business to competitors or business that we want, even though availability of the competitors has increased, lead times have shortened, and quartz prices are lower.

第二個亮點是平均售價 (ASP)。 SiTime 的精密計時產品以高價位提供卓越的性能，而我們產品的性能是傳統石英競爭對手無法比擬的。這體現在我們平均售價的持續上漲。 2022 年第三季是我們平均售價連續第八個季度上漲。此外，平均售價在整個 2022 年持續大幅上漲，2023 年第一季將高於去年同期。需要注意的是，儘管競爭對手的供貨量增加、交貨週期有所縮短、石英價格有所下降，但我們並沒有看到任何業務流失到競爭對手或我們想要的業務。

A third indicator of our long-term growth is the strength of our single-sourced business. 80% of SiTime's business is now single-sourced, that is customers buy only SiTime solutions in that design and will buy only from us. We see this as a unique position of trust and so it's a relationship that we value and spend a lot of time strengthening. A point to note is that this single-sourced position exists independent of segments -- excuse me, that it exists across all types of customers, including, for example, the consumer segment.

我們長期成長的第三個指標是我們單一來源業務的實力。 SiTime 80% 的業務目前都是單一來源的，也就是說，客戶只購買採用該設計的 SiTime 解決方案，並且只從我們這裡購買。我們認為這是一種獨特的信任關係，因此我們非常重視這種關係，並投入大量時間來強化這種關係。需要注意的是，這種單一來源地位與各個細分市場無關——抱歉，它適用於所有類型的客戶，例如消費者細分市場。

Our fourth and final positive indicator is the rise in our quote activity, which is another indicator of our future business potential. We provide price quotes on our products based on the function and estimated annual usage to our customers. Our core dollar value in 2022 is an average of 3x higher than 2021. We believe that this is a consequence of highly differentiated and category creating products that we launched in this period and a greater reach with larger number of customers.

我們的第四個也是最後一個積極指標是報價活動的增加，這再次表明了我們未來的業務潛力。我們根據產品功能和預計的年使用量為客戶提供報價。 2022 年我們的核心美元價值平均比 2021 年高出 3 倍。我們相信，這是因為我們在此期間推出了高度差異化和品類創新的產品，並且覆蓋範圍更廣，客戶數量也更多。

While these positive indicators are indeed quite positive, we're still striking a cautious tone with respect to near-term sales results due to the challenges and headwinds we have seen. We believe that the inventory buildup at customers' contract manufacturers, for example, will take a couple of quarters to return to normal. As we have stated before, to capture the tremendous opportunity in the timing market, we have set a target to expand our SAM or served market from $1 billion in 2021 to $4 billion in 2024 with the introduction of new timing products that -- and we are on track for this.

雖然這些正面的指標確實相當樂觀，但由於我們面臨的挑戰和阻力，我們對近期銷售業績仍持謹慎態度。例如，我們認為客戶合約製造商的庫存積壓需要幾個季度才能恢復正常。正如我們之前所說，為了抓住計時市場的巨大機遇，我們設定了目標，透過推出新的計時產品，將我們的SAM（服務）市場規模從2021年的10億美元擴大到2024年的40億美元——而且我們正在朝著這個目標邁進。

With the changes in market conditions, we are still continuing to be prudent about our spending, while ensuring that our product rollout remains on track. By the end of 2022, we will have introduced 6 new products, which will expand our SAM in automotive and comms. In 2023, we expect to introduce at least 5 new products in both oscillators and clocks with the same end market focus.

隨著市場環境的變化，我們仍將持續謹慎地控制支出，同時確保產品線的穩定推進。到2022年底，我們將推出6款新產品，這將擴大我們在汽車和通訊領域的SAM業務。 2023年，我們預計將推出至少5款專注於終端市場的振盪器和時鐘產品。

To summarize, our continued strength in designs, win funnel, ASP growth, single-sourced business, and increased quote activity give me tremendous confidence in the future of SiTime. We're delivering strong value to our customers, and there are significant opportunities ahead of us. We're building it an even stronger and resilient organization and our commit to building a bright future for SiTime.

總而言之，我們在設計、贏單管道、平均售價成長、單一來源業務以及報價活動方面持續的強勁表現，讓我對 SiTime 的未來充滿信心。我們正在為客戶提供強大的價值，並且未來充滿機會。我們正在將其打造為一個更強大、更具韌性的組織，並致力於為 SiTime 創造美好的未來。

I will now turn it over to Art Chadwick, our CFO.

現在我將把發言權交給我們的財務長 Art Chadwick。

Great. Thanks, Rajesh, and good afternoon everyone. Today, I'll discuss third quarter results and I'll provide guidance for Q4 and make some comments on 2023. I'll focus my discussion on non-GAAP financial results and refer you to today's press release for a detailed description of our GAAP results as well as a reconciliation of GAAP to non-GAAP results.

太好了！謝謝，Rajesh，大家下午好。今天，我將討論第三季的業績，並提供第四季的業績指引，並對2023年發表一些評論。我將重點討論非公認會計準則（Non-GAAP）的財務業績，並請大家參閱今天的新聞稿，其中詳細介紹了我們的公認會計準則（GAAP）業績以及公認會計準則與非公認會計準則（GAAP）業績的對帳。

Revenue in the third quarter was $73.1 million, up 16% from the third quarter of last year, but down 8% from Q2. Sales into our mobile, IoT, and consumer segment were $24.2 million or 33% of sales, down 10% from Q2. Sales to our largest customer, which is included in this segment, were $18.2 million or 25% of sales. Excluding sales to our largest customer, sales into this segment were $6.0 million, down 62% from Q2.

第三季營收為 7,310 萬美元，較去年同期成長 16%，但較第二季下降 8%。行動、物聯網和消費者部門的銷售額為 2,420 萬美元，佔銷售額的 33%，較第二季下降 10%。我們最大客戶（也包含在該部門）的銷售額為 1820 萬美元，佔銷售額的 25%。若不計最大客戶銷售額，該部門銷售額為 600 萬美元，較第二季下降 62%。

Sales into our industrial, automotive, and aerospace segment were $25.1 million or 34% of sales, down 22% sequentially. Within this segment, sales into auto were sequentially flat, but sales in the broadband industrial were down more than 35%. Sales into our communications and enterprise segment were $23.8 million or 33% of sales, up 17% sequentially.

工業、汽車和航空航天部門的銷售額為2,510萬美元，佔銷售額的34%，較上季下降22%。其中，汽車部門的銷售額環比持平，但工業寬頻部門的銷售量下降超過35%。通訊和企業部門的銷售額為2,380萬美元，佔銷售額的33%，較上季成長17%。

Non-GAAP gross margins were solid at 65.2%. Non-GAAP operating expenses were $28.0 million as we held spending essentially flat with Q2. Expenses were $16.1 million in R&D and $11.9 million in SG&A. Non-GAAP operating margins were 26.8%. In addition, we earned $2.5 million in interest income this quarter, up substantially from prior quarters as interest rates have recently increased. Non-GAAP net income was $21.9 million or $0.97 per share.

非公認會計準則 (Non-GAAP) 毛利率穩健，達 65.2%。非公認會計準則 (Non-GAAP) 營運費用為 2,800 萬美元，我們的支出與第二季基本持平。研發費用為 1,610 萬美元，銷售、一般及行政費用 (SG&A) 為 1,190 萬美元。非公認會計準則 (Non-GAAP) 營運利潤率為 26.8%。此外，由於近期利率上升，本季我們的利息收入為 250 萬美元，較前幾季大幅成長。非公認會計準則 (Non-GAAP) 淨利為 2,190 萬美元，即每股 0.97 美元。

On the balance sheet, accounts receivables were $44.9 million with DSOs of 55 days. That's up from $38.7 million and DSOs of 44 days in Q2 as customers are paying just a little more slowly than before. Inventory at the end of Q3 was $45.4 million, up from $34.4 million in Q2. We consciously made the decision to increase inventory this quarter as we bought additional wafer safety stock. This additional wafer inventory will provide a cushion in the event of any geopolitical or other supply chain issues. And to give our customers additional comfort since 80% of our sales is single source.

資產負債表顯示，應收帳款為4,490萬美元，應收帳款週轉天數（DSO）為55天。由於客戶付款速度略有放緩，這一數字高於第二季度的3870萬美元和44天。第三季末庫存為4,540萬美元，高於第二季的3,440萬美元。我們本季有意識地增加了庫存，並購買了額外的晶圓安全庫存。這些額外的晶圓庫存將在發生任何地緣政治或其他供應鏈問題時提供緩衝。由於我們80%的銷售額來自單一來源，這也讓客戶更安心。

The increase in inventory and accounts receivables essentially consumed our free cash flow this quarter. Cash generated by operations was a negative $0.4 million. We spent $10.3 million in equipment and assets and ended the quarter with $564 million in cash, cash equivalents and short-term investments.

本季度，庫存和應收帳款的增加實際上消耗了我們的自由現金流。經營活動產生的現金為負40萬美元。我們斥資1,030萬美元購置設備和資產，本季末現金、現金等價物及短期投資總額為5.64億美元。

I'd now like to provide some financial guidance for Q4 and beyond. The macro environment remains challenging, and we all know the news. Inflation is high in both the U.S. and Europe. Interest rates continue to rise. The war in Ukraine continues. China is facing a number of economic challenges. Energy prices are increasing in Europe and so on. These events are clearly having some impact on semiconductor demand.

現在，我想為第四季及以後的財務狀況提供一些指導。宏觀環境依然充滿挑戰，我們都知道這個消息。美國和歐洲的通貨膨脹率都很高。利率持續上升。烏克蘭戰爭仍在繼續。中國正面臨諸多經濟挑戰。歐洲能源價格上漲等等。這些事件顯然對半導體需求產生了一些影響。

We first saw softening demand in the consumer markets this last summer and we talked about that on our last conference call. We are now seeing a slowdown in broad-based and industrial markets. Looking forward, we see slowing sales in comms and data center. We have gone from a semiconductor supply constrained world a year ago when over-inventoried world today. These higher-than-normal inventory levels, coupled with lower demand is leading to a classic semiconductor down cycle, and we are not immune.

去年夏天，我們首次看到消費市場需求疲軟，並在上次電話會議上討論了這一點。現在，我們看到了基礎市場和工業市場的成長放緩。展望未來，我們看到通訊和資料中心的銷售正在放緩。一年前，半導體供應緊張，而如今，庫存過剩。高於正常水平的庫存水平，加上需求下降，正在導致典型的半導體下行週期，我們也無法倖免。

As a result, our revenue expectations for the year have come down. We've called it the way we see it, but the world has changed. We now expect sales in the fourth quarter will be down between 15% and 20% sequentially, which would be approximately $60 million at the midpoint. Gross margins will be impacted by the lower sales and will likely be around 63%, plus or minus 1 point.

因此，我們對今年的營收預期有所下調。我們之前一直以自己的方式看待問題，但世界已經改變了。我們目前預期第四季銷售額將季減15%至20%，中間值約為6,000萬美元。毛利率將受到銷售額下降的影響，預計在63%左右，上下浮動1個百分點。

We are maintaining our level of investment in new process and product development and thus will hold operating expenses relatively flat. In addition, we expect to earn at least $3 million a quarter in interest income. Diluted share count will be approximately 23 million shares and the resulting Q4 non-GAAP EPS should, therefore, be somewhere between $0.50 and $0.60 per share.

我們維持對新製程和產品開發的投入水平，因此營運支出將保持相對穩定。此外，我們預計每季利息收入至少為300萬美元。稀釋後股份總數約為2,300萬股，因此第四季非公認會計準則每股收益應在0.50美元至0.60美元之間。

So we don't normally provide guidance 2 quarters out, we believe we have enough visibility to provide a few comments about Q1. We currently believe sales in Q1 will likely be down 20% to 25% from Q4 for 2 primary reasons. First, we expect the usual seasonal slowdown with our largest customer. And second, we see a coming lull in comms and enterprise sales as our customers in that space work through higher than normal inventory.

因此，我們通常不會提供兩個季度後的業績指引，但我們相信我們有足夠的預見性來對第一季做出一些評論。我們目前預期第一季的銷售額可能會比第四季下降20%到25%，主要有兩個原因。首先，我們預計我們最大的客戶將出現通常的季節性放緩。其次，我們預期通訊和企業銷售即將進入低谷，因為該領域的客戶正在消化高於正常水平的庫存。

Since Q1 is still more than a quarter out, sales could obviously be higher or lower than that but that's how we see it right now. At these lower sales levels, gross margins will also decline and will likely be in the low-60s. We do, however, believe Q1 will be the low quarter next year and the sales increase sequentially each following quarter. So having said all of that, as Rajesh mentioned, we firmly believe our long-term growth story is intact.

由於第一季仍有一個多季的時間，銷售額顯然可能會高於或低於這個數字，但我們目前的看法就是這樣。在如此低的銷售額水準下，毛利率也會下降，很可能會在60%出頭。不過，我們確實認為明年第一季的銷售額將處於低位，之後每季的銷售額都會較上季成長。所以，正如Rajesh所說，儘管如此，我們堅信我們的長期成長前景仍然完好無損。

Our process and product development continues as planned, and we expect to introduce more than 5 significant new product platforms next year and each will spawn numerous derivative products. This will continue to expand our SAM from about $1 billion last year to about $4 billion by 2024. Design win activity has been strong, as Rajesh mentioned, and that, coupled with new product introductions and expanding SAM should lead to continued long-term growth for the company, once we get through this semiconductor downturn.

我們的製程和產品開發按計畫持續推進，預計明年將推出超過5個重要的新產品平台，每個平台都將衍生出眾多衍生產品。這將使我們的軟體市場（SAM）規模從去年的約10億美元持續擴大到2024年的約40億美元。正如Rajesh所說，設計訂單（DNC）活動一直很活躍，再加上新產品的推出和SAM的不斷擴大，一旦我們度過半導體行業的低迷期，公司應該能夠持續實現長期增長。

And with that, I'd like to turn the call back to the operator for Q&A. Thank you, everyone.

好了，現在請接線生回答您的提問。謝謝大家。

(Operator Instructions) Our first question comes from the line of Alessandra Vecchi with William Blair.

（操作員指示）我們的第一個問題來自 William Blair 的 Alessandra Vecchi。

Thanks for the candor on the environment and what you're seeing. I guess just one question to circle back is, what is it that you're hearing from your customers that are giving you the confidence that inventory levels will be worked out in Q1 and that you can start to grow from there. Kind of what are the puts and takes we should be looking out for?

感謝您坦誠地談論環境和您所看到的情況。我想再問一個問題：您從客戶那裡聽到了什麼，讓您有信心在第一季實現庫存水準的恢復，並以此為基礎開始成長。我們應該關注哪些利弊？

So thanks, Alex. Obviously, with the caveat that we don't know exactly what's going to happen, we see that the inventory and demand are, of course, correlated quite a bit, right? The lower demand there is, the lesser inventory comes through. I think what we see is that the inventory buildup has been in a somewhat unusual place in the contract manufacturers, which is typically not the case. We see the demand at comms and enterprise, which is one of the larger declines, that continuing, albeit at a slower pace. And while we factor in the reduced demand, and the inventory that they have to work through, that is what we begin to hear.

所以，謝謝你，Alex。顯然，儘管我們不知道具體會發生什麼，但我們發現庫存和需求當然是相當相關的，對吧？需求越低，庫存越少。我認為我們看到的是，合約製造商的庫存累積處於一個有點不尋常的水平，這通常不是這種情況。我們看到，通訊和企業領域的需求是下降幅度較大的領域之一，儘管下降速度有所放緩，但這種趨勢仍在持續。雖然我們考慮到了需求下降以及他們必須處理的庫存，但我們開始聽到的就是這種情況。

In many cases, I think some of them are significantly over inventoried. Some of them are very likely over inventoried. But given the breadth of our customers, I think the broad view is that the next 2 quarters, Q4 and Q1 are going to definitely be needed for all that to come through. So that's what we've learned. We've also learned that in talking to our -- to looking at the channel, including the CMs and we see that in many, many cases, that to be true.

在很多情況下，我認為其中一些庫存嚴重過剩。有些很可能確實如此。但考慮到我們客戶群的廣泛性，我認為總體來看，肯定需要接下來的兩個季度，也就是第四季度和第一季度，才能實現所有目標。這就是我們所了解到的。在與包括CM在內的通路商溝通的過程中，我們也了解到這一點，在許多情況下，情況確實如此。

Okay. That was really helpful. And then if I can do one follow-up, just on your commentary about the ASP growth over the last 8 quarters and seeing ASPs up even in Q1 of 2023, how much of that is a function of the decline in consumer versus a function of the newer products gaining traction versus a function on ASP increases on an apples-to-apples basis on some of the legacy products?

好的。這真的很有幫助。然後，我可以再問一個問題嗎？就您對過去 8 個季度平均售價增長的評論，以及您認為 2023 年第一季平均售價還會上漲，這其中有多少是由於消費者數量的下降，有多少是由於新產品的吸引力增強，有多少是由於一些傳統產品的平均售價在同類產品基礎上上漲？

Yes. So the ASP increases on the legacy product is probably the least component of it. I would say that our mix is probably the most influential piece where we are selling more in comps, more in automotive, more in high-end industrial. And finally, I think the introduction of the new products is having an impact. As you know, in many cases, the new product introduction takes a little while to come through for revenue from design wins. But in this case, I think there has been a significant growth of new products, in particular, the ETNA product line and the Elite product line, which has contributed significantly to it.

是的。所以，傳統產品的平均售價上漲可能是影響最小的因素。我想說，我們的產品組合可能是影響最大的因素，我們在同類產品、汽車產品和高端工業產品上的銷售量都在增加。最後，我認為新產品的推出也產生了影響。如你所知，在許多情況下，新產品的推出需要一段時間才能從設計中標中獲得收入。但就目前而言，我認為新產品，尤其是ETNA產品線和Elite產品線，實現了顯著成長，這對營收成長做出了重大貢獻。

So this is a long-term transition of SiTime. Last time, I commented on how our ASP had grown 30% year-on-year, Q2 2021 to Q2 2022. And I had anticipated that ASPs would be flattish. I think ASP growth has exceeded my expectations. And I think it continues to be higher now. It may come down in Q1 a little bit over current numbers because of lesser on the mix side, but it will still be higher than what it used to be a year before that.

所以這是 SiTime 的長期轉型。上次我談到了我們的平均售價 (ASP) 在 2021 年第二季至 2022 年第二季年增了 30%。我之前預計平均售價會持平。我認為平均售價的成長已經超出了我的預期。而且我認為現在還會繼續走高。由於產品組合方面有所減少，第一季的平均售價可能會比目前略有下降，但仍會高於一年前的水平。

And Alex, I'll add just a few comments. We've always talked about our strategy being developing much higher performance, higher ASP products. And that's what you're seeing here. Our newer products, again, higher performance, higher ASPs, generally higher gross margins, and that's exactly what we're seeing here.

Alex，我再補充幾點。我們一直在強調，我們的策略是開發性能更高、平均售價更高的產品。這就是你們現在看到的。我們的新產品，效能更高、平均售價更高，毛利率也普遍更高，這正是我們現在看到的。

Your next question comes from the line of Suji Desilva with ROTH Capital.

您的下一個問題來自 ROTH Capital 的 Suji Desilva。

Can you give us some sense of what the different segments might look like in 4Q? And I was curious, particularly about automotive, you said it was flat. Is that one going to hold up better than the others, given the design win ramp?

能否介紹一下第四季各個細分市場的前景？我很好奇，尤其是汽車市場，您之前說汽車市場持平。考慮到設計訂單的成長，汽車市場的表現會比其他市場更好嗎？

Yes, I think automotive is going to hold up pretty nicely from Q3 to Q4 and well into next year, when we look at our forecast for automotive, that's definitely a growth segment for us. Our consumer sales will be relatively flat from Q3 to Q4, starting with our largest customer. Our largest customer is 25% of sales in Q3, and it's probably going to be pretty similar to that in Q4. But we are going to see a decline in comms and enterprise. Again, for the most part, it's because they are over-inventoried. And that was my comment also on Q1. We're really going to see a lull in new shipments to our comms and enterprise customers in Q1. So that trend will continue until they work through some of that inventory, then we think we get back on a growth path.

是的，我認為汽車市場從第三季到第四季以及明年都會保持相當不錯的勢頭。從我們對汽車市場的預測來看，這絕對是我們一個成長的領域。從第三季到第四季度，我們的消費性銷售額將相對持平，首先是來自我們最大的客戶。我們最大的客戶在第三季的銷售額佔了25%，第四季的銷售額可能也差不多。但我們會看到通訊和企業市場的銷售額出現下滑。同樣，這主要是因為他們庫存過剩。這也是我對第一季的看法。第一季度，我們通訊和企業客戶的新出貨量將會下降。所以，這種趨勢將持續下去，直到他們消化掉部分庫存，我們認為屆時我們就會重回成長軌道。

And are industrials are bottoming given the sharp follow-up or not?

鑑於後續的強勁上漲，工業股是否已經觸底？

It should flatten out, yes.

是的，它應該會變平。

Okay. Good. And the other question I had is with the inventories on the balance sheet. Now that you've built up buffer stock and can return to more positive working capital and do you feel like you've built sufficient buffer stock there in inventory?

好的。很好。我的另一個問題是關於資產負債表上的庫存。現在您已經建立了緩衝庫存，並且可以恢復到正的營運資本，您是否覺得您在庫存中已經建立了足夠的緩衝庫存？

Yes. I mean, we had a pretty good step-up from Q2 to Q3. As I mentioned in my commentary, that was a very conscious decision. All of last year, people were kind of hand to mouth on wafers. And of course, we procure our wafers from both Bosch for our MEMS wafers and TSMC for our CMOS wafers and both of those are sole source. So just to provide some cushion in there, we increased our buffer stock. I expect our inventory levels remain kind of at this level for the next couple of quarters.

是的。我的意思是，從第二季到第三季度，我們的產量成長相當不錯。正如我在評論中提到的，這是一個非常明智的決定。去年全年，晶圓供應都勉強維持。當然，我們的MEMS晶圓採購自博世，CMOS晶圓採購自台積電，這兩家公司都是我們的獨家供應商。所以，為了提供一些緩衝，我們增加了緩衝庫存。我預計未來幾季我們的庫存水準將保持在這個水準。

And, Suji, I think you rightly identified that, as buffer stock, because that's how we are seeing it increasingly in a continuing uncertain world, site and of supply of both CMOS and analog chips and MEMS chips, we think it's prudent for us to have significant inventory to support our customers who, as I mentioned, are in fact, significantly single-sourced to SiTime. So I think it's very important. We're also moving into some areas like automotive and aerospace, where it becomes even more critical to our customers to have these.

Suji，我認為您正確地指出了緩衝庫存，因為在這個持續不確定的世界中，我們越來越看到這種情況。考慮到CMOS、類比晶片和MEMS晶片的供應情況，我們認為持有大量庫存以支援我們的客戶是明智之舉。正如我之前提到的，SiTime實際上是單一供應商。所以我認為這非常重要。我們也正在進軍汽車和航空航太等領域，在這些領域，擁有這些庫存對我們的客戶來說變得更加重要。

Your next question comes from the line of Quinn Bolton with Needham & Company.

您的下一個問題來自 Needham & Company 的 Quinn Bolton。

I guess, Rajesh, just first question, last quarter, you talked about sort of the split between precision timing and non-precision timing. And as you look into the second half of the year, I'm wondering, if -- could you give us some sense, how much of the portfolio, either in Q3 or maybe for the Q4 guide would be from your higher-end precision timing parts? And how much of the business would still be more legacy non-precision timing where ports might be much more competitive.

Rajesh，第一個問題，上個季度，您談到了精密計時和非精密計時之間的差異。展望下半年，我想知道，您能否告訴我們，在第三季或第四季的指導中，有多少產品組合將來自您們的高階精密計時零件？有多少業務仍將集中在傳統的非精密計時零件上，因為這些零件的競爭可能更加激烈。

Yes. So, what we have found more and more is that, most -- there's very little business of ours, which is so-called multi-source, in other words, where we can be easily substituted because the customers either don't want their performance or don't want the supply chain benefits or the quality benefits of SiTime and where they can substitute as readily.

是的。所以我們越來越發現，我們的業務很少，也就是所謂的多源業務，換句話說，我們很容易被取代，因為客戶要么不想要他們的性能，要么不想要 SiTime 的供應鏈優勢或品質優勢，而他們可以很容易地進行替代。

I think that portion of our business has declined significantly through this year. And when we exit the year, a large portion of it will be that 80% single source that we talk about. So it's an interesting idea where we can have a customer in the consumer segment that is also a single-sourced and also not going to be substituting quartz-based crystal easily.

我認為我們這部分業務今年以來大幅下滑。到年底，很大一部分業務將來自我們所說的80%的單一來源。所以，這是一個很有趣的想法：我們可以在消費領域擁有一個客戶，他們也是單一來源，而且不會輕易取代石英晶體。

Most of our single-sourced, of course, goes in automobiles. It goes in industrial. And it goes in comms enterprise. And that's a significant portion of our business. Our design wins in consumers are also, as we look out into the New Year are also at a lower level than design wins in all these other markets that we have spoken about. So I see that trend continuing where single source of SiTime products and also don't forget that we are introducing 6 new products this year, which will likely be a single-sourced with customers. And we're going to introduce 5 new products next year, which will be also significantly single-sourced next year. So that trend is a long-term trend of 5x, because of essentially a functionality and/or quality reliability.

當然，我們的單一來源產品大多用於汽車、工業和通訊企業。這些領域佔據了我們業務的很大一部分。展望新的一年，我們在消費性電子領域的設計成功率也低於我們之前提到的所有其他市場。因此，我認為 SiTime 產品單一來源的趨勢將持續延續。另外，別忘了，我們今年將推出 6 款新產品，這些產品很可能是面向客戶的單一來源產品。明年我們也將推出 5 款新產品，這些產品也將主要採用單一來源。因此，由於功能和/或品質可靠性的提升，這種趨勢將長期維持 5 倍成長。

And Quinn, I'll try to -- I'm sorry, go ahead.

奎因，我會盡力的——抱歉，請繼續。

Oh, no, go ahead, Art.

哦，不，繼續吧，阿特。

I was going to just quantify this just a little bit. If you recall on our conference call a quarter ago, we estimated that about 70% of our business was precision, 30% non-precision timing and a bulk of the non-precision timing business was in our consumer space, not our largest customer, but the remaining consumer business. And if you recall my remarks, a few moments ago, that piece of the business declined 62% from Q2 to Q3. So that piece of the market is getting squeezed out pretty quickly here.

我只是想稍微量化一下。如果你還記得我們上個季度的電話會議，我們估計大約70%的業務是精密計時，30%是非精密計時，而大部分非精密計時業務來自我們的消費領域，雖然不是我們最大的客戶，但仍然是剩餘的消費業務。如果你還記得我剛才的發言，那部分業務從第二季到第三季下降了62%。所以，這部分市場正迅速被擠出去。

Yes. So I was going to say, it sounds like it's 80% or north of 80% is sort of precision timing and 80% sole-sourced or single-sourced, then sounds like that percentage you would expect goes higher as you introduce new products into 2023?

是的。所以我想說，聽起來80%或80%以上是某種精確的時間安排，80%是單一來源或單一來源，那麼聽起來隨著你們在2023年推出新產品，這個比例預計會更高嗎？

Yes, absolutely.

是的，絕對是。

Got it. Perfect. And then, Art, just a clarification on your comment about the largest customer, you said would be flat quarter-to-quarter. I wasn't sure if you meant flat on a dollar basis or flat on a percentage basis.

明白了。完美。然後，Art，我想澄清一下你之前關於最大客戶的評論，你說季度環比持平。我不確定你指的是用美元計算持平，還是以百分比計算持平。

Yes. Excellent question. It's going to be flattish on a dollar basis.

是的。問得好。以美元計算，會持平。

Which is kind of what we expect with them.

這正是我們對他們的期望。

(Operator Instructions) Your next question comes from the line of Tore Svanberg with Stifel.

（操作員指示）您的下一個問題來自 Stifel 的 Tore Svanberg。

This is Jeremy calling for Tore. I guess a question first on the comms data center weakness here. Is there anything to call out within like any subsegments, kind of, any insight you have, whether -- comms or the data center versus the enterprise segment is doing particularly.

我是 Jeremy，請 Tore 發言。我想先問一個關於通訊資料中心弱點的問題。對於任何細分領域，您有什麼見解嗎？無論是通訊還是資料中心，與企業細分領域相比，您有什麼特別之處嗎？

Yes, I think the particular areas, if you were to look at it, would probably be in the data center and enterprise. I think in general, those have been the hot markets and I think those are the ones that have been muting slightly as we go forward based on the over inventory situation we talked about.

是的，我認為具體領域可能是指資料中心和企業市場。總的來說，這些市場一直很熱門，但基於我們之前提到的庫存過剩情況，我認為這些市場在未來會略微低迷。

Got it. And can you give us any color on the -- on your lead times? It seems like you guys have been pretty consistent, pretty well relative to the rest of the industry. And can you talk about how that's compared, maybe anything -- any changes in the last 90 days or so and how you see this going forward?

明白了。能透露一下你們的交貨週期嗎？看起來你們的交貨週期一直很穩定，相對於業界其他公司來說相當不錯。能談談比較情況嗎？或者說，過去90天左右有什麼變化嗎？您對未來的發展有何展望？

Yes. We don't see any...

是的。我們沒有看到任何…

Yes. So if you recall in prior conference calls, we talked about lead times going out 2 quarters or so. Lead times have definitely come in from that during the last number of months. So to answer your question without quantifying it, lead times are absolutely coming in -- coming down.

是的。如果您還記得，在先前的電話會議中，我們討論過交付週期會延長兩個季度左右。過去幾個月，交付週期肯定有所縮短。所以，不用量化來回答您的問題，交付週期肯定在縮短—正在下降。

Got it. And maybe just one last question. Looking at the -- your focus segments, can you rank order some of that for us? Like how you see it playing out in 2023 as the recovery happens, which of these segments do you expect to kind of drive the near-term return to growth?

明白了。也許還有最後一個問題。看看您關注的細分市場，您能為我們依序排列嗎？例如，您認為2023年經濟復甦將如何發展？您預計哪些細分市場會在短期內推動經濟恢復成長？

So I'm not sure I want to call out any particular segment, but I think the segments that we have always talked about being strategically important to us are comms and enterprise as we mentioned, that is somewhat soft today. But what's really declining in that area is the fact that they're over-inventoried. So we've got to work through the inventory in that area. If you look at our new product introductions, again, higher performance, higher ASPs, higher gross margins, that's generally in comms, enterprise, and for us, aerospace most definitely, and auto is going to be strong. So those are really the key growth drivers that we see long term.

因此，我不確定是否要點名哪個特定細分市場，但我認為我們一直強調的對我們具有戰略重要性的細分市場是通訊和企業市場，正如我們之前提到的，這兩個市場目前表現略顯疲軟。但這兩個領域真正下滑的原因是庫存過剩。因此，我們必須消化掉這個領域的庫存。如果你再看看我們推出的新產品，你會發現，更高的效能、更高的平均售價、更高的毛利率，這些通常出現在通訊和企業領域。對我們來說，航空航太和汽車領域無疑將表現強勁。因此，這些才是我們認為長期成長的關鍵動力。

Yes. And extra largest customer, I don't think it's going to be consumer. We don't -- extra largest customer, I don't think it will be consumers that will be leading it. So that's on the other side of that story.

是的。至於最大的客戶，我不認為會是消費者。我們不認為最大的客戶，我不認為會是消費者主導一切。所以，這是故事的另一面。

And we have no further questions at the queue, I will now turn the call back to the management for closing remarks.

我們沒有其他問題了，現在我將把電話轉回給管理階層，請他們作結束語。

In that case, we want to thank everybody for joining us on today's call, and I hope everybody has a great afternoon. Thank you.

既然如此，我們要感謝大家參加今天的電話會議，祝大家下午愉快。謝謝大家。

Thank you, all.

謝謝大家。

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

今天的電話會議到此結束。感謝您的參與。您可以掛斷電話了。