(TGAN) 2024 Q1 法說會逐字稿

Thank you for standing by, and welcome to Transphorm's First Quarter Fiscal 2024 Conference Call. (Operator Instructions) Please be advised that today's conference is being recorded. I would now like to hand the call over to David Hanover of Investor Relations. Please go ahead.

感謝您的耐心等待，歡迎參加 Transphorm 2024 財年第一季度電話會議。 （操作員指示）請注意，今天的會議正在錄製中。我現在想將電話轉交給投資者關係部的戴維·漢諾威 (David Hanover)。請繼續。

Good afternoon, and welcome to Transphorm's First Quarter Fiscal 2024 Earnings Conference Call. Joining us today from Transphorm are Primit Parikh, CEO, President and Co-Founder; and Cameron McAulay, Chief Financial Officer. Before we begin, I'd like to point out that there is a slide presentation associated with today's prepared remarks, which management will be referencing during the conference call. These slides can be accessed through the live webcast link in the Investors section of Transphorm's website where they will also be posted and available as a link to a PDF subsequent to today's conference call.

下午好，歡迎參加 Transphorm 2024 財年第一季度收益電話會議。今天加入我們的有來自 Transphorm 的首席執行官、總裁兼聯合創始人 Primit Parikh；和首席財務官卡梅倫·麥考利。在我們開始之前，我想指出，有一個與今天準備好的發言相關的幻燈片演示，管理層將在電話會議期間參考該幻燈片。這些幻燈片可以通過 Transphorm 網站投資者部分的實時網絡廣播鏈接訪問，這些幻燈片也將在今天的電話會議之後發布並作為 PDF 鏈接提供。

Additionally, during the course of this call, the company may make forward-looking statements regarding the company's financial position, strategy and plans, future operations, specific end markets and other areas of discussion. It's not possible for the company or management to predict all risks nor can the company assess the potential impact of all factors on its business or the extent to which any factor or 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 statements discussed during this call may or may not occur, and actual results could differ materially and adversely from those anticipated or implied. Any projections as to the company's future performance represent management's estimates as of today, August 14, 2023. Neither the company nor any person assumes responsibility for the accuracy or completeness of the forward-looking statements.

此外，在本次電話會議期間，公司可能會就公司的財務狀況、戰略和計劃、未來運營、特定終端市場和其他討論領域做出前瞻性陳述。公司或管理層不可能預測所有風險，公司也無法評估所有因素對其業務的潛在影響，或者任何因素或因素組合可能導致實際結果與任何前瞻性陳述中包含的結果存在重大差異的程度看起來的陳述。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陳述可能會也可能不會發生，實際結果可能與預期或暗示的結果存在重大和不利的差異。對公司未來業績的任何預測均代表管理層截至今天（2023 年 8 月 14 日）的估計。公司或任何人均不對前瞻性陳述的準確性或完整性承擔責任。

The company also undertakes no obligation to publicly update forward-looking statements for any reason as to the date of this call to conform such statements to actual results or to the changes in the company's expectations. For a more detailed information on risks associated with the company's business, we refer you to the risk factors described in Transphorm's most recent annual report on Form 10-K and other subsequent filings with the SEC. With that said, it is now my pleasure to turn the call over to Transphorm's CEO, Primit Parikh. Primit?

該公司也不承擔以任何理由公開更新截至本次電話會議之日的前瞻性陳述的義務，以使此類陳述符合實際結果或公司預期的變化。有關與公司業務相關的風險的更多詳細信息，我們建議您參閱 Transphorm 最新的 10-K 表格年度報告以及向 SEC 提交的其他後續文件中描述的風險因素。話雖如此，現在我很高興將電話轉給 Transphorm 的首席執行官 Primit Parikh。普里米特？

Thank you, and good afternoon to everyone on the call. We are pleased to report a strong first quarter of fiscal 2024 with revenues of $5.9 million in our targeted range and over 13% higher than fiscal first quarter of 2023. In less than 2 months from our last earnings webcast, our power products pipeline has grown to over $450 million with our total pipeline nearly at $600 million, dominated by high-power products where Transphorm has a clear quality, performance and IP differentiation.

謝謝您，祝所有參加電話會議的人下午好。我們很高興地報告2024 財年第一季度的強勁業績，收入達到590 萬美元，符合我們的目標範圍，比2023 財年第一季度增長超過13%。在我們上次收益網絡廣播後不到2個月的時間裡，我們的電源產品管道已經增長超過 4.5 億美元，我們的總產品線接近 6 億美元，主要以高功率產品為主，其中 Transphorm 具有明顯的質量、性能和 IP 差異化。

Q1 revenue was roughly evenly split between product revenue and government revenue, the former at $3 million and the latter at $2.9 million, including a catch-up from the delayed start we had reported in the prior quarter. More than 70% of the product revenue mix came from high-power, where Transphorm continues to be the world's #1 GaN company with superior high performance and reliability over every other GaN competitor, notably e-mod GaN. We continue to make new advances, unlocking more capability of GaN to address even larger market segments. A good recent example is our achievement on short circuit rating capability, a key for motor drives and inverters. We continue to have increased win in the lower power arena with proliferation starting within our existing Fortune 100 accounts as well now, as well as 1 of the largest ODMs in the world. Additionally, we are now successfully executing on our $15 million NSTXL government contract, already securing $2.9 million of cash receipts since our June investor update.

第一季度的收入大致在產品收入和政府收入之間平分秋色，前者為 300 萬美元，後者為 290 萬美元，包括我們在上一季度報告的延遲啟動的情況。超過 70% 的產品收入來自高功率，Transphorm 仍然是世界排名第一的 GaN 公司，其高性能和可靠性優於所有其他 GaN 競爭對手，尤其是 e-mod GaN。我們不斷取得新進展，釋放 GaN 的更多功能，以應對更大的細分市場。最近一個很好的例子是我們在短路額定能力方面取得的成就，這是電機驅動和逆變器的關鍵。我們繼續在低功耗領域取得更大的勝利，從我們現有的《財富 100 強》客戶以及世界上最大的 ODM 之一開始擴大業務。此外，我們現在正在成功執行 1500 萬美元的 NSTXL 政府合同，自 6 月份投資者更新以來已經獲得了 290 萬美元的現金收入。

Moving on now to Slide 3, I will start with a high-level corporate update first. Our designing momentum remains strong as we focus on expanding leadership in 3 key high-power verticals: Computing, which includes power for data centers; artificial intelligence machines and blockchain computing; energy and industrials, which includes micro-inverter, UPS and servo motors; and electric vehicles with 2 and 3 wheelers first, followed by 4 wheelers.

現在轉到幻燈片 3，我將首先從高層企業最新情況開始。我們的設計勢頭依然強勁，因為我們專注於擴大在 3 個關鍵高功率垂直領域的領導地位：計算，包括數據中心的電源；人工智能機器和區塊鏈計算；能源和工業，包括微型逆變器、UPS 和伺服電機；首先是 2 輪和 3 輪電動汽車，其次是 4 輪電動汽車。

On the low-power side, our GaN products, both discrete and SiPs with the system in package varieties with our ecosystem partners continue to lead in efficiency and reliability with the physics-based benefits of Transphorm's Super GaN products versus e-mode GaN technology. Coupled with a strong pipeline, we now see resumption of sequential product revenue growth in the second quarter.

在低功耗方面，我們的GaN 產品（包括分立式和SiP）以及我們與生態系統合作夥伴的系統封裝品種，憑藉Transphorm 超級GaN 產品相對於e-mode GaN 技術的基於物理的優勢，繼續在效率和可靠性方面處於領先地位。加上強大的產品線，我們現在看到第二季度產品收入恢復連續增長。

Second, we closed our rights offering, raising approximately $8 million of capital from our key shareholders led by KKR, who fully exercised their pro rata rights. As we previously discussed, we are working on securing nondilutive asset and AR-based debt financing. We also have active discussions on certain licensing possibilities as we work to secure a financial run rate well into fiscal 2025.

其次，我們完成了配股發行，從 KKR 領導的主要股東那裡籌集了約 800 萬美元的資金，這些股東充分行使了按比例的權利。正如我們之前討論的，我們正在努力確保非稀釋性資產和基於 AR 的債務融資。我們還積極討論某些許可的可能性，努力確保 2025 財年的財務運行率。

With the rights offering completed, we are now beginning our previously announced strategic review of Transphorm with the goal of maximizing shareholder value. Given both inbound third-party interest we have received, as well as strong macro interest, including recent M&A activity in the GaN arena, we believe the time is right for this process. This review encompasses strategic and/or traditional equity or debt financings, U.S. and Asia-based licensing opportunities, and potential M&A opportunities, again, all with the focused objective of maximizing shareholder value.

隨著配股完成，我們現在開始之前宣布的對 Transphorm 的戰略審查，目標是實現股東價值最大化。考慮到我們收到的第三方入境興趣，以及強烈的宏觀興趣，包括最近在 GaN 領域的併購活動，我們認為這一進程的時機是正確的。此次審查涵蓋戰略和/或傳統股權或債務融資、美國和亞洲的許可機會以及潛在的併購機會，所有這些都以股東價值最大化為重點目標。

Turning to Slide 4 now, I will go into our key vectors and metrics for the quarter. We reported $5.9 million of revenue within our targeted range, roughly evenly split between product and government revenues with majority contribution coming from high power, which is more than 300 watts for us, where competing GaN has not yet realized meaningful end customer product revs. For the fast chargers in the low power space, we secured more than 10 new design-ins, taking the total to more than 100 with over 30 now in production. We are gaining rapid traction with our System-in-Package, SiP strategy, we adopted earlier this year with integrated controller and driver and strong ecosystem partners like Weltrend, a leading IC provider.

現在轉向幻燈片 4，我將介紹本季度的關鍵向量和指標。我們報告的收入為590 萬美元，在我們的目標範圍內，產品收入和政府收入大致平分，其中大部分貢獻來自高功率，對我們來說超過300 瓦，而競爭對手的GaN 尚未實現有意義的最終客戶產品轉速。對於低功耗領域的快速充電器，我們獲得了 10 多個新設計，使總數達到 100 多個，其中 30 多個現已投入生產。我們的系統級封裝、SiP 戰略正在迅速獲得關注，我們今年早些時候採用了集成控制器和驅動器以及強大的生態系統合作夥伴，例如領先的 IC 供應商 Weltrend。

With the dynamic capability and superior performance advantage of our Super GaN FETs versus typical foundry-style e-mode GaN, we have the versatility to use the same Transphorm GaN chip for 65 watts or 100-watt adapter design. And crossover difficult, it's not impossible with e-mode GaN. We are ramping into designs for multiple Fortune 100 OEMs and leading ODMs in this area, supporting our expectations of resumed sequential product revenue growth.

與典型的代工廠式 e-mode GaN 相比，憑藉我們的 Super GaN FET 的動態能力和卓越性能優勢，我們可以靈活地將相同的 Transphorm GaN 芯片用於 65 瓦或 100 瓦適配器設計。而且交叉很困難，對於增強型 GaN 來說並非不可能。我們正在為該領域的多家財富 100 強 OEM 和領先的 ODM 進行設計，支持我們對恢復連續產品收入增長的預期。

To the best of our knowledge, Transphorm is still the only GaN company with customers in the high power ramped in the market from segments 300 watts to 4 kilowatts, and we are now in the process of extending that to 7.5 kilowatts with some new design-ins. Since our last update, we had another 25% sequential increase in design-ins for high power that today stand at over 75, of which over 30 are in production. In addition to Transphorm being the only GaN company to have ramped in the attractive micro inverter segment, we recently achieved another first by demonstrating a robust 5 microsecond short circuit withstand rating, which is a safety spec required for large market segments like motor drives and inverters.

據我們所知，Transphorm 仍然是唯一一家在市場上擁有從 300 瓦到 4 千瓦的高功率客戶的 GaN 公司，我們現在正在通過一些新設計將其擴展到 7.5 千瓦。插入。自上次更新以來，我們的高功率設計數量又連續增加了 25%，目前已超過 75 個，其中 30 多個已投入生產。 Transphorm 是唯一一家在極具吸引力的微型逆變器領域取得進展的GaN 公司，我們最近還通過展示強大的5 微秒短路承受額定值實現了另一個第一，這是電機驅動和逆變器等大型細分市場所需的安全規格。

Our team recently completed a 600-watt battery charging solution for EV 2-wheelers with our Super GaN FET achieving over 1% efficiency gain or 14% loss reduction in this application versus silicon super junction with 25% lower device count, making it cheaper than silicon with superior performance over silicon.

我們的團隊最近完成了用於電動兩輪車的600 瓦電池充電解決方案，與硅超級結相比，我們的超級GaN FET 在該應用中實現了超過1% 的效率增益或14% 的損耗減少，器件數量減少了25%，使其比矽超級結更便宜矽具有比矽更優越的性能。

We continue to expand our product offerings in what is the most diverse package portfolio for GaN power devices. High performance and industry standard compact PQFN style packaging for lower power to standard robust TO packages for higher power, that by the way, e-mode GaN today cannot do due to its inherent weakness to a new robust high-power surface mount packages. These coupled with ecosystem partnerships with IC companies for Transphorm GaN that can be used with standard controllers and drivers will also contribute to our anticipated sequential product revenue growth. Continuing with our 1,200-volt GaN progress, we now introduced a preliminary data sheet generating significant interest from EV customers who begin to see Transphorm GaN as future-proof 650 volts today, 1,200 volt in future, directly taking on silicon carbide.

我們繼續擴大我們的產品範圍，打造最多樣化的 GaN 功率器件封裝組合。高性能和行業標準的緊湊型PQFN 型封裝可實現較低功率，而標準穩健的TO 封裝可實現較高功率，順便說一句，e-mode GaN 目前無法做到這一點，因為其與新型穩健的高功率表面貼裝封裝相比具有固有的弱點。再加上與可與標準控制器和驅動器一起使用的 Transphorm GaN 的 IC 公司的生態系統合作夥伴關係，也將有助於我們預期的連續產品收入增長。繼續我們在1,200 伏GaN 方面的進展，我們現在推出了一份初步數據表，引起了電動汽車客戶的極大興趣，他們開始將Transphorm GaN 視為面向未來的650 伏、未來的1,200 伏，直接取代碳化矽。

On the operations side, our focus on capacity and cost improvements has led to record productivity from our Japan Epi reactors. On the packaging side, where we have completed our dual sourcing and cost down activity for high-power products, we will expect margins and cost improvements. We have now started multi-sourcing and cost down activity for our low-power products as we target aggressive growth over the next few quarters in this area as well.

在運營方面，我們對產能和成本改進的關注使得我們的日本 Epi 反應堆的生產力達到了創紀錄的水平。在封裝方面，我們已經完成了高功率產品的雙重採購和成本降低活動，我們預計利潤率和成本都會有所改善。我們現在已經開始針對低功耗產品進行多方採購和降低成本活動，因為我們的目標是在未來幾個季度在該領域實現積極增長。

Moving on to Slide 5, let me now turn our attention to partnership and key initiatives. I want to highlight our GlobalWafers Corporation relationship, a key partnership for MOCVD epi wafer scaling with a large international $6 billion-plus market cap materials and manufacturing leader. We remain on course to qualify 2 reactors and release them to production by the end of the fiscal year with early samples by end of the current calendar year. As a recap, we already have 6 out of our 8 MOCVD reactors installed with 4 running at various levels of production or development today. With the 8 reactors we already possess, we can support $50 million of annualized product revenue. Our AFSW wafer fab continues to operate on target and a sufficient capacity in place for fiscal year '24 and plans in place for fiscal year 2025.

轉到幻燈片 5，現在讓我將注意力轉向夥伴關係和關鍵舉措。我想強調一下我們與 GlobalWafers Corporation 的關係，這是 MOCVD 外延晶圓微縮技術與市值超過 60 億美元的大型國際材料和製造領導者的重要合作夥伴關係。我們仍在努力對 2 個反應堆進行資格認證，並在本財年年底之前將其投入生產，並在本日曆年年底之前提供早期樣品。回顧一下，我們已經安裝了 8 個 MOCVD 反應器中的 6 個，其中 4 個反應器目前正在不同水平的生產或開發中運行。憑藉我們已經擁有的 8 個反應器，我們可以支持 5000 萬美元的年化產品收入。我們的 AFSW 晶圓廠繼續按目標運營，並在 24 財年擁有足夠的產能，並製定了 2025 財年的計劃。

In collaboration with Yaskawa, our customer partner and meaningful shareholder and also a worldwide leader in motion control and robotics, we have achieved a major breakthrough with our patented technology for short-circuit rated gallium nitride, demonstrating 5 microsecond with 10x at high voltage, previously, possible only with silicon IGBTs or silicon carbide. Simultaneously, we achieved 12 kilowatts of power from a single device in a half bridge topology without any paralleling. This first with high performance GaN, a key safety feature for rugged applications like servo and industrial motor drives, along with the high-power capability addresses a multibillion-dollar TAM, including servo, industrial motors and electric vehicle powertrains and further underscores the robustness of Transphorm's GaN power portfolio.

通過與我們的客戶合作夥伴和有意義的股東、運動控制和機器人領域的全球領導者安川合作，我們利用我們的短路額定氮化鎵專利技術實現了重大突破，在高電壓下展示了5 微秒10 倍的時間，此前，僅適用於矽 IGBT 或碳化矽。同時，我們通過半橋拓撲中的單個設備實現了 12 千瓦的功率，無需任何並聯。這是第一個採用高性能GaN 的技術，這是伺服和工業電機驅動器等堅固耐用應用的關鍵安全特性，再加上高功率功能，可解決價值數十億美元的TAM，包括伺服、工業電機和電動汽車動力系統，並進一步強調了Transphorm 的 GaN 電源產品組合。

With solutions from 350 watts to 2 kilowatts, we are deepening design traction with multiple solutions now in the 2- and 3-wheeler electric vehicle space, a focus area we have outlined previously and now engaged in design-ins for multiple customers in Asia, including recently a more than $5 billion market cap top 3 EV 2- and 3-wheeler India-based manufacturer. We remain on track for achieving million-dollar level ramps in this EV segment, the 2 and 3-wheeler EV segment next calendar year.

憑藉從350 瓦到2 千瓦的解決方案，我們正在通過兩輪和三輪電動汽車領域的多種解決方案深化設計牽引，這是我們之前概述的重點領域，現在正在為亞洲的多個客戶進行設計，其中包括最近一家市值超過 50 億美元的印度三輪電動兩輪和三輪製造商。我們仍有望在明年的電動汽車細分市場（即兩輪和三輪電動汽車細分市場）實現百萬美元級別的增長。

With the automotive exclusivity with respect to the Nexperia contract behind us, we have started worldwide customer engagements with EV 4-wheeler customers, with our automotive AEC-Q101-qualified 650-volt products, and we are in early discussions regarding our 1,200 volt technology that is already generating a lot of interest.

憑藉 Nexperia 合同的汽車獨家經營權，我們已開始與電動四輪車客戶進行全球客戶合作，並利用我們符合汽車 AEC-Q101 標準的 650 伏產品，並且我們正在就我們的 1,200 伏技術進行早期討論這已經引起了很多人的興趣。

We are now well underway with performing on our NSTXL epi wafer government program that was awarded to Transphorm in the fiscal first quarter of '24. Thus far, we have received $2.9 million of cash from performance under this award. We are also in discussions for potential licensing revenue with parties, some of whom are planning for GaN manufacturing under the U.S. chipset program.

我們現在正在順利實施我們的 NSTXL 外延晶圓政府計劃，該計劃是在 2024 年第一財季授予 Transphorm 的。到目前為止，我們已從該獎項的績效中獲得了 290 萬美元的現金。我們還在與各方討論潛在的許可收入，其中一些正在計劃根據美國芯片組計劃進行 GaN 製造。

Moving to Slide 6 now. Our core capabilities from low power to high power, wafers and packaged products are well captured in our large and growing pipeline. Now over $450 million in power products and close to $600 million, including power device wafers and our government contract business. Reflecting on our recent revenue profile, 70% of our power products pipeline is also for high power, about 300 watts, where Transphorm is superior to other GaN offerings, including e-mode and typical foundry-based offerings.

現在轉到幻燈片 6。我們從低功率到高功率、晶圓和封裝產品的核心能力在我們龐大且不斷增長的產品線中得到了很好的體現。現在電源產品的價值超過 4.5 億美元，接近 6 億美元，包括功率器件晶圓和我們的政府合同業務。反映我們最近的收入狀況，我們 70% 的電源產品線也是高功率（約 300 瓦），其中 Transphorm 優於其他 GaN 產品，包括 e-mode 和典型的基於代工的產品。

Our focus will be on: one, progressing through the strategic review process, identifying the best options for enhanced shareholder value and continuing to secure nondilutive debt and other capital, meaningfully extending our cash runway well into fiscal year 2025; second, resuming sequential product revenue growth in the current fiscal Q2 and growing our worldwide sales and application footprint to enable faster conversion of growing design-ins into ramp production, all based on our superior performance, higher liability SuperGaN products, as well as our ecosystem of strong solution partners in ICs, SiPs for lower power and system-level solutions for higher power; third, improving margins through higher volume, lower cost packaging and our technology road map, improving performance while reducing cost; and four, accessing new markets like 800 volt battery electric vehicle systems with new offerings like our 1,200 volt gallium nitride and motor drives and short circuit capable GaN, both first in GaN from Transphorm.

我們的重點將是：第一，推進戰略審查流程，確定提高股東價值的最佳選擇，並繼續確保非稀釋性債務和其他資本，將我們的現金跑道有效地延長到 2025 財年；其次，在當前第二財季恢復產品收入的連續增長，並擴大我們的全球銷售和應用足跡，以便能夠更快地將不斷增長的設計轉化為斜坡生產，這一切都基於我們卓越的性能、更高責任的SuperGaN 產品以及我們的生態系統在 IC、SiP（低功耗）和系統級解決方案（高功耗）領域擁有強大的解決方案合作夥伴；第三，通過提高產量、降低成本的封裝和我們的技術路線圖來提高利潤，在降低成本的同時提高性能；第四，通過我們的 1,200 伏氮化鎵和電機驅動器以及具有短路能力的 GaN 等新產品進入 800 伏電池電動汽車系統等新市場，這兩種產品均是 Transphorm 的 GaN 領域的首創。

Overall, as one of the only pure-play GaN power semiconductor companies in the world with volume production in low-power and high-power segments, we are well positioned to progress towards our long-term model in fiscal year 2024 and beyond.

總體而言，作為全球唯一在低功率和高功率領域實現量產的純 GaN 功率半導體公司之一，我們處於有利位置，可以在 2024 財年及以後朝著我們的長期模式邁進。

With that, I will hand it over to Cameron to walk you through our financials in detail. Thank you.

接下來，我將把它交給卡梅倫，讓您詳細了解我們的財務狀況。謝謝。

Thank you, Primit, and hello to everyone joining us today. Let me now start my remarks with a brief recap of our financial results for the recently completed quarter. For my remarks, I will refer both to GAAP and non-GAAP results, which are reconciled to GAAP in our press release table. Non-GAAP results exclude stock-based compensation, depreciation, amortization and other income and expenditure.

謝謝你，普里米特，並向今天加入我們的每個人問好。現在讓我首先簡要回顧一下我們最近完成的季度的財務業績。在我的發言中，我將參考公認會計原則和非公認會計原則結果，這些結果在我們的新聞稿表中與公認會計原則一致。非公認會計準則業績不包括股票薪酬、折舊、攤銷和其他收入和支出。

Starting with the income statement. Total GAAP and non-GAAP revenue comprising product and government was $5.9 million in the quarter. This represents an increase of 84% for the prior quarter and 14% over the same quarter last year. This was in line with our projected revenue.

從損益表開始。本季度 GAAP 和非 GAAP 總收入（包括產品和政府）為 590 萬美元。這比上一季度增長了 84%，比去年同期增長了 14%。這與我們預計的收入相符。

Product sales were $3 million in the quarter. Our product revenue is being driven across a broad range of core conversion applications, including fast chargers and adapters, gaming and data centers. As noted by Primit, we continue to see positive momentum with our customers in production. Looking to the immediate future, the company anticipates a return to sequential product revenue growth in the current quarter.

該季度產品銷售額為 300 萬美元。我們的產品收入來自廣泛的核心轉換應用，包括快速充電器和適配器、遊戲和數據中心。正如 Primit 所指出的，我們在生產中繼續看到與客戶的積極勢頭。展望不久的將來，該公司預計本季度產品收入將恢復連續增長。

Government revenue was $2.9 million in the quarter. This increase being driven by a successful award and execution of our new $15 million government program. We will continue to see solid revenue from this program over the year, but some reduction from Q1 is anticipated. The gross margin in the quarter was 35.5%, a significant increase from the 5% delivered in the prior quarter and higher by 14% when compared to the same quarter last year. The prime driver here was the increased margin from our government business. The net margins for our product business remains strong.

該季度政府收入為 290 萬美元。這一增長是由我們新的 1500 萬美元政府計劃的成功授予和執行推動的。全年我們將繼續看到該計劃的穩定收入，但預計較第一季度有所減少。本季度毛利率為35.5%，較上一季度的5%大幅增長，較去年同期提高14%。這裡的主要驅動力是我們政府業務的利潤增加。我們的產品業務的淨利潤率仍然強勁。

Overall, company gross margins will drop in the current quarter with the reduction of government revenue and associated fixed cost impact on gross margins, but with our direct margins remaining consistent, we will be able to deliver solid margin performance continuing to improve further as we resume product revenue growth. We continue to progress towards our long-term model, our gross margins in excess of 40%. A number of actions, including new product introductions, ongoing cost efficiency activities and benefits that we will receive as we grow and scale are expected to contribute to this increased gross margin.

總體而言，隨著政府收入的減少以及相關固定成本對毛利率的影響，本季度公司毛利率將下降，但由於我們的直接利潤率保持穩定，隨著我們的恢復，我們將能夠實現穩健的利潤率表現，並繼續進一步改善產品收入增長。我們繼續向長期模式邁進，毛利率超過 40%。許多行動，包括新產品的推出、持續的成本效率活動以及隨著我們的發展和規模擴大而獲得的好處，預計將有助於毛利率的提高。

Operating expenses on a non-GAAP basis were $6.8 million in the current quarter, a reduction from $7.5 million in the prior quarter. This reduction being driven by a number of factors, including government absorption, reduced legal costs and other smaller efficiencies. Spend for the quarter is anticipated to be largely flat.

本季度按非公認會計準則計算的運營費用為 680 萬美元，較上一季度的 750 萬美元有所減少。這種減少是由多種因素推動的，包括政府吸收、法律成本降低和其他效率降低。預計本季度的支出將基本持平。

Turning to EPS. The non-GAAP EPS loss in the quarter was $0.08. This compares to a $0.13 loss in the prior quarter. The main driver here being the increased revenue and margins, together with lower OpEx. From an operational perspective, we continue to see solid traction in our targeted markets as evidenced by our improvement in both customers of production and design-in activity. As mentioned earlier, the company anticipates a return to sequential product revenue growth in the current quarter. Our shot-term focus is on product execution and enabling capacity expansion to support medium to long-term growth. We also continue to invest in the long-term growth engine of the company.

轉向每股收益。本季度非 GAAP 每股收益虧損 0.08 美元。相比之下，上一季度虧損 0.13 美元。主要驅動因素是收入和利潤的增加以及運營支出的降低。從運營角度來看，我們繼續看到目標市場的強勁吸引力，我們在生產和設計活動客戶方面的改善就證明了這一點。如前所述，該公司預計本季度產品收入將恢復連續增長。我們的短期重點是產品執行和產能擴張，以支持中長期增長。我們還繼續投資於公司的長期增長引擎。

Turning now to the balance sheet. Our shareholders' equity was $22.8 million at the end of the quarter, an increase from $19.6 million as at March 31. Operational cash burn, excluding capital investment decreased in the quarter to $6.7 million. This was driven primarily by improved collections, including $500,000 from our customer partner, Yaskawa, reduced waste costs driven by timing of payroll and ongoing tight spend management procedures. In addition to this, the company paid off a $12 million revolving credit facility and now have a balance sheet with no debt.

現在轉向資產負債表。截至本季度末，我們的股東權益為 2280 萬美元，高於截至 3 月 31 日的 1960 萬美元。本季度運營現金消耗（不包括資本投資）減少至 670 萬美元。這主要是由於收款的改善（包括我們的客戶合作夥伴安川公司提供的 500,000 美元）、工資發放時間安排和持續嚴格的支出管理程序減少了浪費成本。除此之外，該公司還清償了 1200 萬美元的循環信貸額度，現在的資產負債表上沒有任何債務。

For the current quarter, we expect the continuation of the reduction in our cash burn enabled by strong collections and our continued focus with cost controls. Cash and cash equivalents were $3.3 million at the quarter end. As announced, the company strengthened its balance sheet in the current quarter with the $8 million received from our raise issue. Additionally, we also received $2.9 million in the quarter in relation to our government contract. We continue to progress towards completion of asset-backed, nondilutive debt, and we expect to conclude these facilities in the near term.

對於本季度，我們預計，由於強勁的收款能力以及我們對成本控制的持續關注，我們的現金消耗將繼續減少。截至季度末，現金和現金等價物為 330 萬美元。正如所宣布的，該公司在本季度通過我們的融資籌集了 800 萬美元，增強了其資產負債表。此外，本季度我們還收到了與政府合同相關的 290 萬美元。我們將繼續努力完成資產支持、非稀釋性債務，並預計在短期內完成這些融資。

Looking ahead, we continue to remain open to opportunities to further strengthen our balance sheet in order to ensure that we are able to continue to invest in our growth, a growth made possible through our continued progress with design-ins and production customers.

展望未來，我們繼續對進一步加強資產負債表的機會持開放態度，以確保我們能夠繼續投資於我們的增長，這種增長是通過我們與設計和生產客戶的持續進步而實現的。

Concluding now with a few key highlights. Transphorm, publicly listed on the NASDAQ Exchange is a global leader and robust GaN, the future of next-generation power systems. Our disruptive best-in-class technology is addressing a large growing market opportunity. We are commercially ramping with a strong pipeline in place. We have established a strong network of blue-chip partners and have a comprehensive product offering today that meets our customers' needs across a wide range of power levels and segments. All of this is underpinned by the industry's strongest IT position, a vertically integrated supply chain and a deep and talented team.

現在總結一些關鍵要點。 Transphorm 在納斯達克交易所公開上市，是全球領先的 GaN 技術公司，是下一代電源系統的未來。我們的顛覆性一流技術正在抓住不斷增長的巨大市場機會。我們正在通過強大的管道進行商業化擴張。我們已經建立了強大的藍籌合作夥伴網絡，並擁有全面的產品供應，可以滿足客戶在各種功率級別和細分市場的需求。所有這一切都以業界最強大的 IT 地位、垂直整合的供應鏈以及深厚的人才團隊為基礎。

That completes our prepared remarks and materials, and we would now like to open the call to any questions. Operator, please proceed with the Q&A portion of the call.

我們準備好的發言和材料就完成了，現在我們想開始回答任何問題。接線員，請繼續通話的問答部分。

(Operator Instructions) Our first question will come from David Williams with The Benchmark Company.

（操作員說明）我們的第一個問題將來自 The Benchmark Company 的 David Williams。

I guess, Cameron, just -- I get first to you. Just kind of thinking about the inventory level. We're up to about $8 million this Q, we've got the accounts receivable that's up about 57% sequentially. Can you talk a little bit about that? What's driving that? And when do you think you can convert that into cash?

我想，卡梅倫，只是——我先來找你。只是考慮庫存水平。本季度我們的應收賬款達到了約 800 萬美元，比上一季度增長了約 57%。你能談談這個嗎？是什麼推動了這一點？您認為什麼時候可以將其兌換成現金？

Sure. Thanks, David. Specifically for accounts receivable, about 30% of that accounts receivable was tied to the government deliverables that we referenced in our prepared remarks, and we've since received that. So you can expect to see accounts receivable coming down in the current quarter. Inventory from quarter-to-quarter was up slightly, mostly due to the fact that the standard cost increased our overall [NP] number. There wasn't an increase in inventory per se. And we've managed to keep inventory, I would say, pretty flat from September '22 to current date. And obviously, we'll continue to manage that and make sure we're being efficient in that regard.

當然。謝謝，大衛。特別是對於應收賬款，大約 30% 的應收賬款與我們在準備好的評論中提到的政府交付成果相關，而且我們已經收到了該交付成果。因此，您可以預期本季度的應收賬款會下降。庫存環比略有增加，主要是由於標準成本增加了我們的總體 [NP] 數量。庫存本身並沒有增加。我想說，從 22 月 22 日至今，我們的庫存保持在相當平穩的水平。顯然，我們將繼續管理這一點，並確保我們在這方面保持高效。

Just kind of given the level of demand that you see in front of you, what do you think is the most appropriate level there on the inventory side? Is $8 million about it? Or should we see that -- would you prefer to see that down maybe with a quarter's worth of revenue?

考慮到您眼前的需求水平，您認為庫存方面最合適的水平是多少？ 800萬美元左右嗎？或者我們應該看到這一點——您是否願意看到收入下降四分之一？

For me, I think what we've got to do is make sure we've got an inventory level that allows us to support the business, David. And as we resume sequential revenue growth, we want to make sure that we strike that balance between having the right inventory number and having the inventory number that allows us to scale and to support our customers. So I'm relatively comfortable with an inventory number in the raise that it has right now.

對我來說，我認為我們必須做的是確保我們的庫存水平能夠支持我們的業務，大衛。當我們恢復連續的收入增長時，我們希望確保在擁有正確的庫存數量和允許我們擴展並支持客戶的庫存數量之間取得平衡。因此，我對目前庫存數量的增加感到相對滿意。

I certainly appreciate that help. And then I wanted to ask, it sounds like or at least it seems like the data center and artificial intelligence kind of trends, you guys already designed into power supplies there. Just kind of curious if you're seeing that demand pulled in and since you already have existing design-ins, are those being pulled in? And just any activity you're seeing around the AI trends in the data center would be very helpful.

我當然很感激這種幫助。然後我想問，聽起來或者至少看起來像數據中心和人工智能的趨勢，你們已經在那裡設計了電源。只是有點好奇，如果您看到需求的增加，並且由於您已經有了現有的設計，那麼這些需求是否被吸引了？您在數據中心看到的有關人工智能趨勢的任何活動都會非常有幫助。

Yes. No, thank you for that. So we're -- that -- all of that is in our computing segment, computing and storage and networking segment, which is traditionally been strong for us -- steady and strong segment. So we are seeing some nice upticks in the computing segment with the server-based designs in the AI space, our technology, our products and our customer products, with GaN-based highly efficient GaN-based power supply, titanium-rated power supplies from GaN with Transphorm. We were one of the first by the way and have a very patented -- broadly patented approach for realizing titanium-based high-efficiency servers for, amongst other things, AI and high-power computing in general. So we are seeing some nice design-ins there in the space of indirectly impacting AI. Our existing wins, which we are seeing proliferation is in the area of servers, high-power gaming and blockchain computing.

是的。不，謝謝你。所以我們——所有這些都在我們的計算領域、計算和存儲以及網絡領域，這傳統上對我們來說是強大的——穩定而強大的領域。因此，我們看到計算領域出現了一些不錯的增長，人工智能領域基於服務器的設計、我們的技術、我們的產品和我們的客戶產品，以及基於 GaN 的高效 GaN 電源、鈦級電源GaN 與 Transphorm。順便說一句，我們是最早的公司之一，擁有一種非常專利的——廣泛專利的方法，用於實現基於鈦的高效服務器，除其他外，用於人工智能和高功率計算。因此，我們在間接影響人工智能的領域看到了一些不錯的設計。我們現有的勝利（我們看到這些勝利正在擴散）是在服務器、高性能遊戲和區塊鏈計算領域。

Our next question comes from Ananda Baruah from Loop Capital.

我們的下一個問題來自 Loop Capital 的 Ananda Baruah。

And I guess, just to put out on the -- with regards to the strategic review process, you're saying that you're now officially underway. Can you describe to us what the milestones are, at least these initial milestones? Have you hired a banker yet? How long do you think that process takes that you haven't? And anything else that's relevant that you get started here? And I have a few follow-ups.

我想，就戰略審查流程而言，您是說您現在正在正式啟動。您能否向我們描述一下里程碑是什麼，至少是這些最初的里程碑？你聘請銀行家了嗎？您認為這個過程需要多長時間而您還沒有？還有其他與您從這裡開始相關的事情嗎？我還有一些後續行動。

So yes, Ananda. So what we said and just clarifying again that we are beginning our previously announced strategic review process. So some of the specifics, we cannot yet comment on. But we are talking, we continue to discuss with the bankers who are familiar with Transphorm and also those bankers who were involved in recent similar transactions in the power electronics, GaN, silicon carbide-related arena. So we are doing all of those discussions. We cannot comment more specifics at this time. But again, like we said, we begin our -- we are beginning our review process, and it will include multiple opportunities like financing, strategic semiconductor financing, traditional financing, licensing, like we talked about in the call and potential M&A. All this will be part and parcel of the discussions.

所以是的，阿南達。我們所說的只是再次澄清，我們正在開始之前宣布的戰略審查流程。因此，我們還無法對某些具體細節發表評論。但我們正在談論，我們繼續與熟悉Transphorm的銀行家以及最近在電力電子、GaN、碳化矽相關領域參與類似交易的銀行家進行討論。所以我們正在進行所有這些討論。目前我們無法評論更多細節。但正如我們所說，我們正在開始審查流程，其中將包括融資、戰略半導體融資、傳統融資、許可等多種機會，就像我們在電話會議和潛在併購中談到的那樣。所有這些都將成為討論的重要組成部分。

Awesome. And Primit, how are you finding sort of interest the opportunity holistically relative to what your desires would be when -- sort of when you started the process?

驚人的。 Primit，當你開始這個過程時，你如何從整體上找到與你的願望相關的機會？

Again, I think, look, our primary focus is to -- very exciting design-in and momentum space that we have got in front of us, really keep growing that, keep converting more of the design wins to design wins and ramp the design wins. So that's a clear business focus of Transphorm. And then like we said, equally important to enhance shareholder value and accelerate the growth of our GaN business we are doing and beginning to start our strategic review. So we are finding, like we said, again, various levels of inbound interest because Transphorm obviously is a well-known name. It's one of the few pure-play GaN companies out there with the strongest products in low-power and high-power, very strong IP, our own wafer manufacturing and clear kind of differentiator in various areas that we talked into low-power, high-power, 1,200 volt GaN and things like that. So we are finding a kind of interest across the board in this space. And -- which is why to channel those inbound interest properly is why we are, again, doing this with -- again, a single-minded focus to enhance shareholder value.

再說一次，我認為，看，我們的主要重點是——我們面前有非常令人興奮的設計和動力空間，真正不斷發展，不斷將更多的設計勝利轉化為設計勝利，並提高設計水平獲勝。這就是 Transphorm 明確的業務重點。然後，就像我們說的，提高股東價值和加速我們正在做的 GaN 業務的增長同樣重要，並開始開始我們的戰略審查。因此，正如我們所說，我們再次發現不同程度的入站興趣，因為 Transphorm 顯然是一個眾所周知的名字。它是少數幾家純GaN 公司之一，在低功率和高功率方面擁有最強大的產品，非常強大的IP，我們自己的晶圓製造以及我們在低功率、高功率等各個領域的明確差異化優勢。 -電源、1,200 伏 GaN 等。所以我們在這個領域找到了一種全面的興趣。這就是為什麼要正確引導這些流入的興趣，這就是為什麼我們再次一心一意地致力於提高股東價值。

No, that sounds good. That sounds great. You may have mentioned in the prepared remarks about the ability to increase the velocity of design-in impact. And I just wanted to make sure I just -- I understood the context there of those remarks. Does that -- do you recall making those remarks?

不，聽起來不錯。聽起來不錯。您可能在準備好的評論中提到了提高設計影響速度的能力。我只是想確保我理解這些言論的背景。您還記得說過這些話嗎？

Yes, yes. So like we said, our pipeline is very strong. In just the last 6 or 7 weeks since we did our year-end call end of June, we've got a 10% increase in design-ins in the low-power and 25% increase in design-ins in the high-power. So now as we -- our goal is to convert more and more of those design-ins, solid design-ins into production and ramping those, right, at both ramping new customers as well as the parallel designs proliferating at existing customers taking more slots in the design and existing customers. And we are doing that through a couple of things. We have already put in place over the last 6 to 9 months, personnel in place relationships and technical resources to, first of all, garner this strong pipeline. And now as we go on our own team in worldwide sales and application as well as very important customers and our partners, right? Our IC partners that we have to increase the momentum. All of those 2 or 3 things put together, we look forward to getting more traction in increasing revenues faster. We also aim to add new geographies like India, for example, as well as increase our U.S.-based sales.

是的是的。正如我們所說，我們的渠道非常強大。自 6 月底召開年終電話會議以來的短短 6 或 7 週內，我們的低功耗設計增加了 10%，高功率設計增加了 25% 。因此，現在我們的目標是將越來越多的設計、可靠的設計轉化為生產，並在增加新客戶以及現有客戶的並行設計中增加這些設計，從而佔據更多的位置。在設計和現有客戶中。我們正在通過幾件事來做到這一點。在過去的 6 到 9 個月裡，我們已經建立了人員關係和技術資源，首先是為了獲得這一強大的渠道。現在，我們擁有自己的全球銷售和應用團隊以及非常重要的客戶和合作夥伴，對嗎？我們的IC合作夥伴表明我們有增加的動力。所有這 2 或 3 件事加在一起，我們期待在更快地增加收入方面獲得更大的動力。我們還計劃增加新的地區，例如印度，並增加我們在美國的銷售額。

That's all great. And I guess if -- like structurally, can you give us any sense as you sort of implement these various initiatives and processes? Any sense structurally after this is complete, the impact it can have in, I don't know, sort of the development to revenue cycle or development the qualification cycle, whatever the appropriate metrics are.

這一切都很棒。我想，從結構上來說，當你實施這些不同的舉措和流程時，你能給我們任何意義嗎？完成後，從結構上講，它可能會對收入周期的發展或資格週期的發展產生影響，無論適當的指標是什麼，我不知道。

Yes, both actually, right, qualifications internally and then working with qualification, the product qualification design, qualification at our customers and then impacting the revenue cycles. Both of them we intend to shorten. Particularly the example I gave at proliferating within existing customers, more slots and supporting our existing customers to do more. That's an area we particularly want to emphasize upon. And, like, we are confident now looking at the pipeline and what we have in the process to resume good sequential product revenue growth from here on now.

是的，實際上，對，內部資格認證，然後與資格認證、產品資格設計、客戶資格認證合作，然後影響收入周期。我們打算縮短它們。特別是我舉的例子，在現有客戶中進行增殖，增加更多的插槽並支持我們現有的客戶做更多的事情。這是我們特別要強調的一個領域。而且，我們現在有信心看到管道以及我們在這個過程中所擁有的東西，以從現在開始恢復良好的產品收入連續增長。

Our next question comes from Craig Ellis with B. Riley.

我們的下一個問題來自 Craig Ellis 和 B. Riley。

Yes. Apologies there. So my first question, I'll direct to you, Cameron, and then I want to follow up on some of the strategic issues with you, Primit. Cameron, really nice gross margins in the quarter with significant government mix. Now there was a catch-up payment, which we won't have in the current quarter. So can you just help us with the arc of gross margins over the next couple of quarters with the contribution from government? And then how significantly do you think volume can scale given the breadth of design wins both in higher and lower voltage?

是的。抱歉。所以我的第一個問題，我將直接問你，卡梅倫，然後我想與你一起跟進一些戰略問題，普里米特。卡梅倫，本季度的毛利率非常好，政府的組合也很重要。現在有追加付款，但本季度我們不會再付款。那麼，您能否通過政府的貢獻幫助我們了解未來幾個季度的毛利率曲線？那麼，考慮到在更高和更低電壓方面的設計廣度，您認為體積可以擴大多少？

Sure. No, thank you. So yes, government, there will be a mix change as we think about the quarter that we're in to Q2 and Q3, and you'll see more -- proportionately more product. Government will revert back to more kind of normalized levels of activity. But even with that, because we've got more scale because we're still seeing solid margins in our direct business -- although there will be a drop in -- from Q1 to Q2 margins, it will be a drop that will still form the company's solid margins. And from there, it is largely a case of upscaling the business, continue to bring the pipeline over the finish line and continue to do it in a way that allows us to see a kind of steady increase in gross margins from there. And we should anticipate seeing that in the back half of FY '24 and into '25 as we scale our production business.

當然。不，謝謝。所以，是的，政府，當我們考慮進入第二季度和第三季度時，將會出現組合變化，你會看到更多——按比例增加的產品。政府將恢復到更加正常化的活動水平。但即便如此，因為我們的規模更大，因為我們的直接業務仍然看到穩健的利潤率——儘管從第一季度到第二季度的利潤率會有所下降，但這種下降仍將形成公司的利潤率穩健。從那時起，這在很大程度上是擴大業務規模的情況，繼續將管道推向終點線，並繼續以一種讓我們能夠看到毛利率穩步增長的方式進行。隨著我們擴大生產業務，我們應該預計會在 24 財年後半段和 25 財年看到這一點。

And we have a question from Tore Svanberg with Stifel.

我們有一個來自 Tore Svanberg 和 Stifel 的問題。

Yes. Primit, maybe for you first. You mentioned the 1,200-volt GaN now sort of in data sheet. When can we realistically think about sampling of the 1200-volt products?

是的。普里米特，也許首先適合你。您現在在數據表中提到了 1,200 伏 GaN。我們什麼時候可以真正考慮 1200 伏產品的樣品？

Thanks, Tore, for that. So we've started discussions with a few customers systematically on that. First, we announced the modeling at PCIM, now the preliminary data sheet. So we are working through it. What we expect in sampling, sometimes in the calendar year 2024, the early part of calendar year 2024, we expect sampling -- limited sampling to closer kind of so-called customer partners who want to work with us closely into system-based design and evaluation of this technology. But the very important thing about that, about the 1,200 volt is, like we mentioned, customers. Now this is also helping, frankly, our traction with 650 volt, existing call it, automotive qualified products that we have today because customers see us now that, look, we can have 650 volts for 400 volts battery today. And then in the future, when we want to design for 800-volt batteries, the 1,200 volts is in place, all with gallium nitride.

謝謝你，托爾。因此，我們已經開始與一些客戶系統地討論這個問題。首先，我們在 PCIM 上公佈了模型，現在是初步數據表。所以我們正在努力解決這個問題。我們對抽樣的期望，有時是在 2024 年，即 2024 年年初，我們期望抽樣——僅限於更接近的所謂客戶合作夥伴，他們希望與我們密切合作進行基於系統的設計和對該技術的評價。但正如我們提到的，1200 伏電壓中最重要的是客戶。現在，坦率地說，這也有助於我們今天擁有的 650 伏牽引力（現有的稱其為汽車合格產品），因為客戶現在看到我們，看，我們今天可以為 400 伏電池提供 650 伏電壓。未來，當我們想要設計 800 伏電池時，1,200 伏電池就已到位，全部採用氮化鎵。

That's very helpful. And also a question for Cameron a little bit related to Craig's question, but maybe asked a little bit differently. So how should we think about mix for the next few quarters? Will we sort of revert back to 75-25, kind of a mix between product and government? And what will it take for the product gross margin to be a bit more optimized? Is that sort of like $5 million in product revenue per quarter or higher than that?

這非常有幫助。卡梅倫還有一個問題與克雷格的問題有點相關，但可能問得有點不同。那麼我們應該如何考慮未來幾個季度的組合呢？我們是否會回到 75-25，即產品和政府的混合體？怎樣才能讓產品毛利率更加優化呢？每季度的產品收入是 500 萬美元還是更高？

Sure. No, thank you. I think the split, roughly 50-50 in this quarter, I think it will be 2/3 -- 1/3 roughly in the September quarter as I think about the difference between the 2, Tore. And then you'll start to see product continue to have a higher percentage. I think that the government will be flatter just in the general trajectory. So you'll see production from a greater part of the overall revenue number.

當然。不，謝謝。我認為這個季度的分裂大約是 50-50，我認為在 9 月份的季度大約會是 2/3 - 1/3，因為我考慮了 2、Tore 之間的差異。然後你會開始看到產品的比例繼續上升。我認為政府在總體軌跡上會更加平坦。因此，您將看到總收入中很大一部分的產出。

In terms of margin improvement, I think it's a few different things. I mean some of it is scale, so that we can absorb the indirect cost of manufacturing. Some of it will be, as Primit mentioned, cost and activity, getting the cost out of the parts, transitioning people over to a new sleeker products. So I don't think it's one individual thing. I think it's a combination of 3 or 4 different things that will help drive the margins and improve the margins as we go forward.

就利潤率改善而言，我認為有幾個不同的因素。我的意思是其中一些是規模，這樣我們就可以吸收製造的間接成本。正如普里米特提到的，其中一些是成本和活動，從零件中去除成本，讓人們轉向新的更時尚的產品。所以我認為這不是一個人的事情。我認為這是 3 或 4 種不同因素的結合，將有助於推動利潤率並在我們前進的過程中提高利潤率。

Our next question from Craig Ellis with B. Riley Securities.

我們的下一個問題來自 B. Riley Securities 的 Craig Ellis。

Primit, I wanted to come back and just ask about the strategic alternatives. Can you help us understand the time line that you and the Board are working with? And any key milestones associated with that time line that investors can look to gauge progress down the road?

普里米特，我想回來詢問一下戰略選擇。您能否幫助我們了解您和董事會正在製定的時間表？投資者可以通過與該時間表相關的任何關鍵里程碑來衡量未來的進展嗎？

Thank you for that. So again, we have started preliminary, we have begun under a strategic review process. We obviously, we will proceed -- 2 key objectives we have, maximizing shareholder value along with -- and it's the same objective at the end of the day, growing our GaN business, right? So converting this momentum on our own with partners faster than we can.

謝謝你。所以，我們再次開始了初步的準備工作，我們已經開始了戰略審查過程。顯然，我們將繼續前進——我們有兩個關鍵目標，即股東價值最大化——最終的目標是相同的，即發展我們的 GaN 業務，對嗎？因此，我們自己與合作夥伴一起更快地轉變了這種勢頭。

We have not set a very specific like ABC time line of this yet, but we definitely will be updating the investors as we go along. But the key is we have inbound inquiries, our design-in momentum is very, very strong, like we alluded to. And there's a lot of activity happening, as you all know as well, in the GaN field. So these 3 vectors together coming together is the right confluence to have -- kind of embark on this process.

我們還沒有像 ABC 那樣制定一個非常具體的時間表，但我們肯定會在進展過程中向投資者通報最新情況。但關鍵是我們有入站詢問，我們的設計勢頭非常非常強勁，就像我們提到的那樣。眾所周知，GaN 領域正在發生很多活動。因此，這 3 個向量聚集在一起是正確的匯合——有點像開始這個過程。

That's helpful. And do you envision this leading to you selecting a single partner? Or is it possible that you would have multiple partners depending on their technology position or desired technology, geographic domicile market focus, et cetera?

這很有幫助。您是否認為這會導致您選擇單一合作夥伴？或者，您是否有可能擁有多個合作夥伴，具體取決於他們的技術地位或所需技術、地理位置、市場重點等？

It is possible to have actually multiple partners, it all depends, but it is possible, for example, the 3 areas I outlined, right -- financing, licensing and potential M&A, right? And for example, licensing can stand alone with either 1 of those 2, right, with a different partner, for example. So there could be -- very well be multiple partners because we have multiple opportunities on the horizon.

實際上有可能擁有多個合作夥伴，這取決於情況，但這是可能的，例如我概述的三個領域，對吧——融資、許可和潛在的併購，對嗎？例如，許可可以單獨與這兩個合作夥伴中的任何一個合作，對，例如與不同的合作夥伴合作。因此，很可能會有多個合作夥伴，因為我們即將面臨多個機會。

And there are no other questions in the queue. I'd like to turn the call back to Primit Parikh for our closing remarks.

並且隊列中沒有其他問題。我想將電話轉回普里米特·帕里克 (Primit Parikh)，讓其作結束語。

So thank you, everyone, for tuning in today. We look forward to continue to grow faster on this exciting opportunity that we have in front of us, growing Transphorm's GaN business rest of this quarter and the second half of fiscal year 2024. Good day to all.

謝謝大家今天的收看。我們期待著利用眼前這個激動人心的機會繼續更快地發展，在本季度剩餘時間和 2024 財年下半年繼續發展 Transphorm 的 GaN 業務。大家好。

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

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連接。