Wolfspeed Inc (WOLF) 2021 Q1 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the Cree First Quarter Fiscal Year 2021 Earnings Conference Call. (Operator Instructions) I'd now like to hand the conference over to your host today, Mr. Tyler Gronbach, Vice President of Investor Relations. Please go ahead, sir.

女士們，先生們，感謝您的支持，歡迎參加 Cree 2021 財年第一季度收益電話會議。 （操作員說明）我現在想將會議交給今天的主持人，投資者關係副總裁 Tyler Gronbach 先生。請繼續，先生。

Thank you, and good afternoon, everyone. Welcome to Cree's First Quarter Fiscal 2021 Conference Call. Today, Cree's CEO, Gregg Lowe; and Cree's CFO, Neill Reynolds, will report on the results for the first quarter of fiscal year 2021.

謝謝大家，大家下午好。歡迎參加 Cree 2021 財年第一季度電話會議。今天，Cree 的首席執行官 Gregg Lowe； Cree 的首席財務官 Neill Reynolds 將報告 2021 財年第一季度的業績。

Please note that we will be presenting non-GAAP financial results during today's call, which is consistent with how management measures Cree's results internally. Non-GAAP results are not in accordance with GAAP and may not be comparable to non-GAAP information provided by other companies. Non-GAAP information should be considered a supplement to and not a substitute for financial statements prepared in accordance with GAAP. A reconciliation to the most directly comparable GAAP measures is in our press release and posted on the Investor Relations section of our website along with a historical summary of other key metrics.

請注意，我們將在今天的電話會議上展示非公認會計原則的財務業績，這與管理層在內部衡量 Cree 業績的方式是一致的。非公認會計原則的結果不符合公認會計原則，可能無法與其他公司提供的非公認會計原則信息相比較。非公認會計原則信息應被視為對根據公認會計原則編制的財務報表的補充而非替代。與最直接可比的 GAAP 措施的對賬在我們的新聞稿中，並與其他關鍵指標的歷史摘要一起發佈在我們網站的投資者關係部分。

Today's discussion includes forward-looking statements about our business outlook, and we may make other forward-looking statements during the call. Such forward-looking statements are subject to numerous risks and uncertainties. Our press release today and the SEC filings noted in the release mention important factors that could cause actual results to differ materially, including risks related to the spread and impact of the COVID-19 pandemic. (Operator Instructions) If you have additional questions, please feel free to contact us after the call.

今天的討論包括關於我們業務前景的前瞻性陳述，我們可能會在電話會議期間發表其他前瞻性陳述。此類前瞻性陳述受到眾多風險和不確定性的影響。我們今天的新聞稿和新聞稿中提到的 SEC 文件都提到了可能導致實際結果出現重大差異的重要因素，包括與 COVID-19 大流行的傳播和影響相關的風險。 （操作員說明）如果您還有其他問題，請在來電後隨時與我們聯繫。

And now I'd like to turn the call over to Gregg.

現在我想把電話轉給格雷格。

Thank you, Tyler. Good afternoon, everyone, and thank you for joining us today. I hope you and your families are staying safe and healthy during these uncertain times. The COVID-19 situation continues to evolve, and I'm extremely proud of our team's effort to deliver for our customers. Despite the short-term headwinds of the pandemic, we are pleased to see a sequential improvement in our business compared to the fourth quarter, and we remain focused on our long-term strategic goals.

謝謝你，泰勒。大家下午好，感謝您今天加入我們。我希望您和您的家人在這些不確定的時期保持安全和健康。 COVID-19 形勢在不斷發展，我為我們團隊為客戶提供服務的努力感到非常自豪。儘管大流行的短期不利因素，我們很高興看到我們的業務與第四季度相比連續改善，我們仍然專注於我們的長期戰略目標。

Turning to our first quarter performance. Our revenue and non-GAAP EPS were both at the high end of our guidance. While we have continued with our stringent protocols to ensure the safety of our team and keep our facilities operational, our results demonstrate how silicon carbide is building momentum across key end markets. We believe we remain well positioned to execute on our growing Wolfspeed pipeline.

談到我們第一季度的表現。我們的收入和非公認會計原則每股收益均處於我們指導的高端。雖然我們繼續執行嚴格的協議以確保我們團隊的安全並保持我們的設施正常運行，但我們的結果表明碳化矽如何在關鍵終端市場上建立勢頭。我們相信我們仍然有能力在我們不斷增長的 Wolfspeed 管道上執行。

Importantly, we accomplished a critical milestone in our transformational journey with the recent announcement of a definitive agreement to sell Cree LED to SMART Global Holdings for a total consideration of up to approximately $300 million. This includes $50 million in cash, a $125 million seller note maturing in August of 2023, and up to another $125 million in earnout depending on the performance of the LED business in the 4 quarters post close. This divestiture establishes Cree as a pure-play, global semiconductor powerhouse with a strong financial profile and positions us well to continue to lead the industry transition from silicon to silicon carbide. This transaction sharpens our focus exclusively on our innovative Wolfspeed business and will allow us to deliver long-term value for our shareholders.

重要的是，我們最近宣布了一項最終協議，將 Cree LED 出售給 SMART Global Holdings，總對價高達約 3 億美元，我們實現了轉型之旅中的一個關鍵里程碑。這包括 5,000 萬美元現金、2023 年 8 月到期的 1.25 億美元賣方票據，以及高達 1.25 億美元的收益，具體取決於收盤後四個季度 LED 業務的表現。此次資產剝離使 Cree 成為一家擁有強大財務狀況的純粹的全球半導體巨頭，並使我們能夠繼續引領行業從矽到碳化矽的過渡。此次交易使我們更加專注於我們創新的 Wolfspeed 業務，並使我們能夠為股東創造長期價值。

We're very excited about the future of Cree and the tremendous opportunity we have ahead of us. The conversations we're having with our customers reaffirm the need for our technology and underscore our commitment to our strategy. Our capacity expansion plans remain on track and will help us in our overall effort to drive the industry transition from silicon to silicon carbide and GaN.

我們對 Cree 的未來以及擺在我們面前的巨大機遇感到非常興奮。我們與客戶的對話重申了對我們技術的需求，並強調了我們對戰略的承諾。我們的產能擴張計劃仍在進行中，並將幫助我們整體努力推動從矽到碳化矽和 GaN 的行業轉型。

I'll now turn it over to Neill, who will provide an overview of our financial results and an outlook for the second quarter of fiscal 2021. Neill?

我現在將把它交給尼爾，他將概述我們的財務業績和 2021 財年第二季度的展望。尼爾？

Thank you, Gregg, and good afternoon, everyone. Overall, we delivered solid performance in the first quarter despite ongoing macroeconomic headwinds. Revenues for the first quarter of fiscal 2021 were $217 million at the high end of our guidance, representing a sequential increase of 5% and a decrease of 11% year-over-year. Wolfspeed revenue improved approximately 7% sequentially and declined 10% year-over-year as global demand remains soft, largely related to the pandemic. LED revenue increased approximately 4% sequentially and decreased 12% year-over-year. Our non-GAAP net loss was $21.3 million, or $0.19 per diluted share. Our first quarter non-GAAP earnings exclude $163.1 million of expense, net of tax, or $1.49 per diluted share for noncash stock-based compensation, acquired intangibles amortization, accretion on our convertible notes, project transformation and Cree LED divestiture transaction-related costs, factory optimization restructuring costs, changes in the value of our Lextar investment and other items outlined in today's earnings release as well as a $106 million impairment charge associated with the divestiture of our LED business.

謝謝你，格雷格，大家下午好。總體而言，儘管宏觀經濟持續逆風，我們在第一季度仍表現穩健。 2021 財年第一季度的收入為 2.17 億美元，處於我們指導的高端，環比增長 5%，同比下降 11%。 Wolfspeed 收入環比增長約 7%，同比下降 10%，因為全球需求仍然疲軟，這在很大程度上與大流行有關。 LED 收入環比增長約 4%，同比下降 12%。我們的非 GAAP 淨虧損為 2130 萬美元，即每股攤薄收益 0.19 美元。我們第一季度的非公認會計原則收益不包括 1.631 億美元的稅後費用或每股攤薄後 1.49 美元的非現金股票薪酬、收購的無形資產攤銷、可轉換票據的增值、項目轉型和與 Cree LED 剝離交易相關的成本，工廠優化重組成本、我們 Lextar 投資價值的變化和今天收益發布中概述的其他項目，以及與剝離我們的 LED 業務相關的 1.06 億美元減值費用。

Moving on to our first quarter performance by segment. Wolfspeed quarterly revenue totaled $116 million. This was largely driven by continued demand for our power business and some better performance in our materials and RF businesses. In power, we are pleased by the momentum we are seeing for our products as well as the improving supply dynamics we experienced in the quarter, which are still below normal levels. Our technology continues to gain traction, particularly in the automotive industry. We're seeing a number of positive developments in the space and continue to have productive dialogues with current and prospective customers. Further, our partnership with Arrow Electronics is continuing to drive broad awareness and the benefits of silicon carbide across numerous industrial and other applications.

繼續按細分市場劃分我們的第一季度業績。 Wolfspeed 季度收入總計 1.16 億美元。這主要是由於對我們的電力業務的持續需求以及我們的材料和射頻業務的一些更好的表現。在執政期間，我們對我們看到的產品勢頭以及我們在本季度所經歷的供應動態改善感到高興，但仍低於正常水平。我們的技術繼續受到關注，尤其是在汽車行業。我們看到了該領域的一些積極發展，並繼續與當前和潛在客戶進行富有成效的對話。此外，我們與艾睿電子的合作夥伴關係將繼續推動廣泛的認識和碳化矽在眾多工業和其他應用中的優勢。

We are particularly pleased with the demand traction we're seeing from our coordinated efforts around the release of our new 650-volt silicon carbide MOSFET platform. Turning to RF, we continue to execute and build our backlog. We're pleased by the early signs of strengthening demand that we're seeing and remain confident in the 5G transition despite delays in certain regions. Moving to materials, we saw some better order flow in the quarter, and we'd expect this trend to continue modestly throughout the remainder of fiscal 2021.

我們對圍繞發布新的 650 伏碳化矽 MOSFET 平台所做的協調努力所看到的需求牽引力感到特別高興。談到 RF，我們繼續執行和建立我們的積壓工作。儘管某些地區出現延遲，但我們看到需求增強的早期跡象感到高興，並對 5G 過渡保持信心。轉向材料，我們在本季度看到了一些更好的訂單流，我們預計這一趨勢將在 2021 財年剩餘時間內適度持續。

Wolfspeed gross margin was 36.6% compared to 35.3% last quarter. The sequential increase was driven by yield and cost improvements in our power and RF businesses, partially offset by lower utilization in our materials business as we continue to balance significant efficiency and output improvements like market demand requirements. Gross margin performance also continues to be dampened by our continued COVID-19 safety measures. Health and safety remain our top priority in all aspects of our business, and we anticipate the safety measures we're taking to protect our employees will continue to impact factory outputs in the near term. Longer term, we expect our capacity expansion plan will help drive scale and margin expansion.

Wolfspeed 毛利率為 36.6%，上一季度為 35.3%。連續增長是由我們的功率和射頻業務的產量和成本提高推動的，部分被我們的材料業務的利用率降低所抵消，因為我們繼續平衡顯著的效率和輸出改善，如市場需求要求。我們持續採取 COVID-19 安全措施也繼續抑制毛利率表現。健康和安全仍然是我們業務各個方面的重中之重，我們預計我們為保護員工而採取的安全措施將在短期內繼續影響工廠產出。從長遠來看，我們預計我們的產能擴張計劃將有助於推動規模和利潤率的擴張。

LED Product revenue was $101 million, and LED gross margin was 22.2%. LED executed well despite ongoing challenges in the market.

LED 產品收入為 1.01 億美元，LED 毛利率為 22.2%。儘管市場持續存在挑戰，LED 仍表現良好。

Unallocated non-GAAP costs totaled $6.1 million for the first quarter of fiscal 2021 and are included in our overall cost to reconcile the $59 million non-GAAP gross profit and 27.1% gross margin for the company. Non-GAAP operating expenses for Q1 were $87 million, and our non-GAAP tax rate was 30%. We remain focused on prudent expense control as we look to balance our operating expenses with investments to fuel future growth.

2021 財年第一季度未分配的非 GAAP 成本總計 610 萬美元，包含在我們的總成本中，以調節公司 5900 萬美元的非 GAAP 毛利潤和 27.1% 的毛利率。第一季度非 GAAP 運營費用為 8700 萬美元，我們的非 GAAP 稅率為 30%。我們仍然專注於審慎的費用控制，因為我們希望平衡我們的運營費用和投資以推動未來的增長。

Our balance sheet remains strong in the face of an uncertain environment, with more than $1 billion in liquidity to support our targeted R&D and sales and marketing spend as well as our capacity expansion plans. We have 0 withdrawn on our line of credit and convertible debt with a total face value of $1 billion. For the first quarter, days sales outstanding was 33 days, and inventory days on hand was 104 days. Cash generated from operations was $400,000, and capital expenditures were $115.9 million, resulting in negative free cash flow of $115.5 million.

面對不確定的環境，我們的資產負債表仍然強勁，擁有超過 10 億美元的流動性來支持我們的目標研發、銷售和營銷支出以及我們的產能擴張計劃。我們的信用額度和可轉換債務為 0，總面值為 10 億美元。一季度，銷售天數33天，庫存天數104天。運營產生的現金為 400,000 美元，資本支出為 1.159 億美元，導致負自由現金流為 1.155 億美元。

Turning to our CapEx outlook for the remainder of the fiscal year. We remain committed to investing in our growth and continue to expect net CapEx of approximately $400 million to support our capacity expansion plans. As we've previously stated, we expect fiscal 2021 to be our peak investment year to ensure we can ramp production and meet supply needs as EV deployments commence beginning calendar 2023. Our Mohawk Valley Fab, a materials facility in Durham, will allow us to scale our business, improve productivity and deliver on our customer commitments. It is important to note that our CapEx and cash flow during fiscal 2021 are subject to variability depending on our Mohawk Valley construction progress as well as reimbursement timing from the state of New York.

轉向我們對本財年剩餘時間的資本支出展望。我們仍然致力於投資於我們的增長，並繼續預計淨資本支出約為 4 億美元，以支持我們的產能擴張計劃。正如我們之前所說，我們預計 2021 財年將是我們的投資高峰年，以確保我們能夠在 2023 年開始部署電動汽車時提高產量並滿足供應需求。我們位於達勒姆的莫霍克谷工廠將使我們能夠擴展我們的業務，提高生產力並兌現我們的客戶承諾。重要的是要注意，我們在 2021 財年的資本支出和現金流量會根據我們的莫霍克河谷建設進度以及紐約州的報銷時間而有所不同。

Now turning to our outlook for the second quarter of fiscal 2021. Please note given our pending sale of Cree LED to SMART Global Holdings, LED is now classified as discontinued operations, and therefore, our second quarter guidance reflects our continuing operations in Wolfspeed only. For the second quarter of fiscal 2021, we are targeting revenue from continuing operations to be in the range of $118 million to $124 million. We expect the momentum we are currently experiencing in our power business to continue and be supported by our capacity expansion initiatives. From an RF and materials perspective, we do expect some modest improvements while maintaining the COVID-19 safety protocols we have in place. Cree Q2 non-GAAP gross margin from continuing operations is expected to be between 34% to 36%, which includes the impact of $4 million of corporate items. Wolfspeed gross margin is expected to be between 37% to 39%, driven by continued improvement in yields, factory efficiency and increased utilization in our materials business.

現在轉向我們對 2021 財年第二季度的展望。請注意，鑑於我們將 Cree LED 出售給 SMART Global Holdings，LED 現在被歸類為已停產業務，因此，我們的第二季度指導僅反映了我們在 Wolfspeed 的持續運營。對於 2021 財年第二季度，我們的目標是持續運營的收入在 1.18 億美元至 1.24 億美元之間。我們預計我們目前在電力業務中所經歷的勢頭將繼續下去，並得到我們產能擴張計劃的支持。從射頻和材料的角度來看，我們確實希望在保持現有 COVID-19 安全協議的同時進行一些適度的改進。 Cree 第二季度非公認會計原則的持續經營毛利率預計將在 34% 至 36% 之間，其中包括 400 萬美元的公司項目的影響。 Wolfspeed 毛利率預計將在 37% 至 39% 之間，這主要得益於產量、工廠效率的持續提高和材料業務利用率的提高。

We are targeting non-GAAP operating expenses from continuing operations between $77 million and $79 million for the second quarter. The gradual ramp in our operating expenses is fueled by our investment in R&D, including development projects at our Mohawk Valley Fab as well as increased sales and marketing expenses as we pursue new opportunities. We target Q2 non-GAAP operating loss from continuing operations to be between $32 million to $38 million, and we target nonoperating net loss from continuing operations to be approximately $1 million. We expect our non-GAAP effective tax rate to be approximately 23%. The non-GAAP effective tax rate decreased due to the jurisdictional mix of our forecasted earnings on a continuing operations basis.

我們的目標是第二季度持續運營的非公認會計原則運營費用在 7700 萬美元至 7900 萬美元之間。我們對研發的投資推動了我們運營費用的逐步增加，包括我們在莫霍克谷工廠的開發項目，以及隨著我們尋求新機會而增加的銷售和營銷費用。我們的目標是持續運營產生的第二季度非公認會計準則營業虧損在 3200 萬美元至 3800 萬美元之間，我們的目標是持續運營產生的非經營性淨虧損約為 100 萬美元。我們預計我們的非公認會計原則有效稅率約為 23%。由於我們在持續經營基礎上的預測收益的管轄組合，非公認會計準則有效稅率下降。

We're targeting Q2 non-GAAP net loss from continuing operations to be between $25 million to $30 million or a loss between $0.23 to $0.27 per diluted share. Our non-GAAP EPS target excludes acquired intangibles amortization, noncash stock-based compensation, accretion on our convertible notes, project transformation and LED transaction-related costs, factory optimization restructuring costs and other items. Our Q2 targets are based on several factors that could vary greatly, including the situation of COVID-19, overall demand, product mix, factory productivity and the competitive environment.

我們將第二季度非公認會計原則的持續經營淨虧損定在 2500 萬美元至 3000 萬美元之間，或每股攤薄後虧損 0.23 美元至 0.27 美元之間。我們的非公認會計原則每股收益目標不包括收購的無形資產攤銷、基於非現金股票的薪酬、可轉換票據的增值、項目轉型和 LED 交易相關成本、工廠優化重組成本和其他項目。我們的第二季度目標基於幾個可能有很大差異的因素，包括 COVID-19 的情況、整體需求、產品組合、工廠生產力和競爭環境。

With that, I will now turn the discussion back to Gregg.

有了這個，我現在將討論轉回格雷格。

Thanks, Neill. We've made incredible progress on our transformational journey over the past few years. Our deep domain expertise in silicon carbide has driven significant growth in our Wolfspeed business, further solidifying our leadership position. We've secured key device design-ins across high-growth, innovative industries and have secured several long-term wafer supply agreements with customers, which further fortify our business. Once we close the LED divestiture, Cree will be a pure-play, global semiconductor company with high-growth and high-margin potential and capable of significant cash generation as we execute to our long-term plans.

謝謝，尼爾。在過去的幾年中，我們在轉型之旅中取得了令人難以置信的進展。我們在碳化矽領域的深厚專業知識推動了 Wolfspeed 業務的顯著增長，進一步鞏固了我們的領導地位。我們已經在高增長的創新行業中獲得了關鍵設備設計，並與客戶簽訂了多項長期晶圓供應協議，這進一步鞏固了我們的業務。一旦我們完成對 LED 的剝離，Cree 將成為一家具有高增長和高利潤潛力的純粹的全球半導體公司，並且在我們執行我們的長期計劃時能夠產生大量現金。

To support this effort, we will continue to invest in innovation and R&D initiatives as well as sales and marketing activities. Our sales team continues to convert pipeline opportunities at an impressive rate. And in Q1, we secured approximately $700 million worth of design-ins for Wolfspeed, exceeding our company-wide performance of $600 million from the fourth quarter of fiscal 2020. Over the last 3 quarters, more than half of the design-ins are for automotive customers and the rest are spread across communications infrastructure, aerospace and defense, energy and industrial applications.

為了支持這項工作，我們將繼續投資於創新和研發計劃以及銷售和營銷活動。我們的銷售團隊繼續以驚人的速度轉換管道機會。在第一季度，我們為 Wolfspeed 獲得了價值約 7 億美元的設計導入，超過了自 2020 財年第四季度以來我們全公司 6 億美元的業績。在過去三個季度中，超過一半的設計導入用於汽車客戶和其他客戶分佈在通信基礎設施、航空航天和國防、能源和工業應用領域。

As Neill mentioned earlier, our partnership with Arrow for our 650-volt platform continues to generate positive results. We've already exceeded our target of $750 million of increased pipeline identification as customers are looking to leverage the benefits of this technology across a wide range of end products, ranging from plasma generators to electric motorcycles and electrosurgical instruments. The Arrow team is also helping us extend our sales reach into new markets. For example, they've identified opportunities in 43 countries for the 650-volt platform. And in more than half of those countries, we did not have a dedicated salesperson.

正如尼爾之前提到的，我們與 Arrow 的 650 伏平台合作繼續產生積極成果。我們已經超過了 7.5 億美元增加管道識別的目標，因為客戶希望在從等離子發生器到電動摩托車和電外科器械等各種最終產品中利用這項技術的優勢。 Arrow 團隊還幫助我們將銷售範圍擴大到新市場。例如，他們已經在 43 個國家/地區發現了 650 伏平台的機會。在這些國家中的一半以上，我們沒有專門的銷售人員。

We look forward to continuing to execute on our growing pipeline, which is now well over $10 billion for our Wolfspeed business alone, anchored by opportunities in the automotive, communications, industrials and energy industries. In support of this effort, we continue to expand our product portfolio with the launch of 13 new products in the first quarter alone. We are pleased by the recent developments that underscore the long-term opportunities ahead. Importantly, we are seeing a tremendous traction in automotive, which represents approximately half of our device pipeline. We are encouraged by the continued regulatory momentum for electric vehicles. More than 20 countries have plans to begin phasing out sales of new gasoline-powered vehicles over the next 2 decades. Additionally, this month, the EU parliament voted to increase their goal of cutting emissions from a 40% reduction to now a 60% reduction in emissions by 2030. We expect this to be a positive catalyst for clean transportation and electric vehicle demand in Europe. Ride-share companies, Lyft and Uber, are committed to having 100% electric vehicle fleets by 2030 and 2040, respectively.

我們期待繼續執行我們不斷增長的管道，目前僅 Wolfspeed 業務就超過 100 億美元，以汽車、通信、工業和能源行業的機會為基礎。為了支持這一努力，我們繼續擴大我們的產品組合，僅在第一季度就推出了 13 款新產品。我們對最近的事態發展感到高興，這些事態凸顯了未來的長期機遇。重要的是，我們看到了汽車領域的巨大吸引力，它約占我們設備管道的一半。我們對電動汽車持續的監管勢頭感到鼓舞。 20 多個國家/地區計劃在未來 2 年開始逐步淘汰新型汽油動力汽車的銷售。此外，本月，歐盟議會投票決定將減排目標從 40% 提高到現在的 2030 年減排 60%。我們預計這將成為歐洲清潔交通和電動汽車需求的積極催化劑。拼車公司 Lyft 和 Uber 承諾到 2030 年和 2040 年分別擁有 100% 的電動汽車車隊。

Turning to 5G. While regulatory delays and headwinds related to the pandemic impacted some rollouts in Europe and the U.S., momentum is building across the globe for this next-generation technology which delivers greater performance for bandwidth-intensive applications. Now we're still in the early phases of what we expect to be a multiyear growth opportunity for GaN as 5G momentum picks up.

轉向5G。雖然與大流行相關的監管延遲和不利因素影響了歐洲和美國的一些部署，但這種下一代技術的勢頭正在全球範圍內建立，它為帶寬密集型應用程序提供了更高的性能。現在，隨著 5G 勢頭的增強，我們仍處於 GaN 多年增長機會的早期階段。

Outside of auto and 5G, we're seeing growing applications for silicon carbide. As we continue to scale our business and drive the cost of silicon carbide down, our potential customer base is growing to include different industries and end markets that are interested in utilizing the advantages of our technology. Our plans to expand silicon carbide capacity are progressing on schedule. Our balance sheet is solid, and we remain well positioned to both fund our operations as well as make the necessary investments to grow our business.

在汽車和 5G 之外，我們看到碳化矽的應用越來越多。隨著我們繼續擴大業務規模並降低碳化矽的成本，我們的潛在客戶群正在擴大，包括有興趣利用我們技術優勢的不同行業和終端市場。我們擴大碳化矽產能的計劃正在按計劃進行。我們的資產負債表穩健，我們仍然處於有利地位，既可以為我們的運營提供資金，也可以為發展我們的業務進行必要的投資。

In summary, we are executing well in an uncertain environment. With our pending LED sale, we reached a critical milestone in our transformational journey. Our device opportunity pipeline continues to grow, and we are performing well in converting opportunity to design-in. We are excited for the opportunities ahead for our technology and look forward to helping our customers deliver their next-generation solutions.

總之，我們在不確定的環境中表現良好。隨著我們待定的 LED 銷售，我們在轉型之旅中達到了一個關鍵的里程碑。我們的設備機會管道繼續增長，我們在將機會轉化為設計方面表現良好。我們對我們技術的未來機遇感到興奮，並期待幫助我們的客戶提供他們的下一代解決方案。

And with that, I'll turn the call back over to the operator, and we'll begin our Q&A session.

有了這個，我將把電話轉給接線員，我們將開始我們的問答環節。

(Operator Instructions) Our first question comes from the line of Jed Dorsheimer with Canaccord Genuity.

（操作員說明）我們的第一個問題來自 Jed Dorsheimer 的 Canaccord Genuity。

First question, Gregg, and you may have mentioned that. I came on a little bit late. But in terms of backlog, I was wondering if you could -- or sorry, not backlog but the -- sort of the RFQs that you're working on and the backlog that you are building. The breakdown between EV versus, say, for example, 5G inquiries as well as just other power electronics, I'm not looking for the exact amounts but could you talk about rough ranges? And then how has that shifted at all this quarter? And then I do have a follow-up.

第一個問題，Gregg，您可能已經提到過。我來的有點晚。但就積壓工作而言，我想知道您是否可以——或者抱歉，不是積壓工作，而是——您正在處理的 RFQ 和您正在構建的積壓工作。電動汽車與例如 5G 查詢以及其他電力電子產品之間的細分，我不是在尋找確切的數量，但你能談談粗略的範圍嗎？那麼這個季度到底發生了怎樣的變化呢？然後我確實有後續行動。

Yes. So thanks a lot, Jed. So really, it's a pipeline we're talking about here, the opportunity pipeline for our device business. And we grew, obviously, the pipeline as well. It's now well over $10 billion. In terms of the split out of that, a majority of that is automotive and therefore electric-vehicle-related. So that's going to be north of 50%. It's actually north of 60% right now. And in terms of decisions that were made in this past quarter, the majority of those -- of that $700 million of design-in, the vast majority of those were also automotive-related design-ins. In terms of the pipeline, the rest of the pipeline is a mix of industrial-type applications and a pretty significant growth of those industrial-type applications with the activities that we're doing together with Arrow on the 650-volt platform. We have some aerospace and defense activities, and we have some communications, infrastructure opportunities as well. So it's kind of a mix of those for the rest of it. But the pipeline, the device pipeline, really is pretty solidly automotive-related and electric-vehicle-related.

是的。非常感謝，傑德。所以真的，這是我們在這裡談論的管道，我們設備業務的機會管道。顯然，我們也在增長管道。現在已經超過 100 億美元。就其中的一部分而言，其中大部分是汽車，因此與電動汽車相關。所以這將是50%以北。現在實際上已經超過了 60%。就上一季度做出的決定而言，其中大部分——在這 7 億美元的設計投入中，絕大多數也是與汽車相關的設計投入。就管道而言，管道的其餘部分是工業類型應用程序的混合體，以及我們與 Arrow 在 650 伏平台上開展的活動，這些工業類型應用程序的增長相當顯著。我們有一些航空航天和國防活動，我們也有一些通信和基礎設施機會。所以它是其餘部分的混合體。但管道，設備管道，確實與汽車和電動汽車相關。

Got it. Just as my follow-up question, just pivoting to manufacturing and the increase of R&D. Should we read into that in terms of that bump up is 8-inch-related or 200-millimeter-related? Or are there any other milestones that you might be able to articulate so that we can best track that development?

知道了。就像我的後續問題一樣，只是轉向製造和增加研發。我們應該從 8 英寸相關還是 200 毫米相關的角度來解讀這一點？或者您是否可以闡明任何其他里程碑，以便我們能夠最好地跟踪該發展？

Yes. Thanks, Jed. We're obviously continuing to work on future-generation technologies like the 200-millimeter activity. So some of that is going to be related to that, for sure, but it's also related to new product interactions that we've got planned out and new technologies that we'll be introducing. So I would say it's a combination of those.

是的。謝謝，傑德。顯然，我們正在繼續研究像 200 毫米活動這樣的下一代技術。因此，其中一些肯定會與此相關，但它也與我們計劃好的新產品交互以及我們將要引入的新技術有關。所以我會說這是這些的結合。

Our next question comes from Edward Snyder with Charter Equity.

我們的下一個問題來自Charter Equity 的Edward Snyder。

Gregg, maybe we could touch on bottlenecks. Your epi wafer production was a bottleneck for a couple of quarters there. Is that freed up? Is there any bottlenecks at all? This is a starting point.

Gregg，也許我們可以談談瓶頸。您的外延晶圓生產是那裡幾個季度的瓶頸。那是解放了嗎？有任何瓶頸嗎？這是一個起點。

And then you mentioned $700 million pipeline. How far does that stretch? Are we talking about 3 years, 2 years? What is the likely flow to revenue? I'm not looking for guidance but how far out is that pipeline stretched. And same kind of question for last quarter, $600 million, and then I have a follow-up.

然後你提到了 7 億美元的管道。那能延伸多遠？我們說的是3年還是2年？收入的可能流向是多少？我不是在尋找指導，而是這條管道延伸了多遠。上個季度同樣的問題，6 億美元，然後我有一個跟進。

Yes. Okay. So let me maybe hit the second question first and maybe I'll talk a little bit about the first question, but Neill can probably hit that better than me. On the $700 million design-ins that we got this past quarter, most of the -- as I mentioned, well over 50% of that and more north of 60% of that is automotive-related. Most automotive designs are sort of 3 to 4 years out when you go -- when you get it designed in and it goes into production. Neill had talked at the -- our last Investor Day about it, and we're starting to ramp some of these products in 2022. We'd see really a steeper ramp in '24, '25, an acceleration of that ramp, if you will.

是的。好的。所以讓我先回答第二個問題，也許我會稍微談談第一個問題，但尼爾可能會比我做得更好。在我們上個季度獲得的 7 億美元的設計投入中，大部分——正如我提到的，其中超過 50% 和 60% 以上與汽車相關。大多數汽車設計在你離開時都需要 3 到 4 年的時間——當你把它設計好並投入生產時。尼爾在我們上一個投資者日上談到了這一點，我們將在 2022 年開始推出其中一些產品。我們會在 24 年和 25 年看到一個更陡峭的斜坡，如果這個斜坡加速的話你會。

So the automotive ones are typically 3 to 4 years out. It depends a little bit on whether it's more of a newcomer in automotive. The companies like Tesla, for example, or some of the ones that are more historically automotive-related, there's different kind of processes that follow. But I think 3 or 4 years is a pretty good bogey for that. And just to remind everybody, the $700 million of design-ins that we just printed for this quarter is obviously $100 million than -- and more than we did last quarter, but last quarter was company-wide. So it's a nice step for Wolfspeed to now have design-ins at $700 million just for Wolfspeed. And in terms of epi, I'll let Neill cover that one.

因此，汽車通常需要 3 到 4 年。這在一定程度上取決於它是否更像是汽車行業的新手。例如，像特斯拉這樣的公司，或者一些歷史上與汽車相關的公司，有不同的流程遵循。但我認為 3 或 4 年是一個很好的忌諱。只是提醒大家，我們剛剛為本季度打印的 7 億美元設計插件顯然比上一季度要多 1 億美元，但上一季度是全公司範圍的。因此，對於 Wolfspeed 來說，現在為 Wolfspeed 提供價值 7 億美元的設計是一個很好的步驟。就外延而言，我會讓尼爾覆蓋那個。

Yes. Ed, on the epi side, customers still continue to look for relatively heavy epi mix as part of the capacity expansion, the CapEx that we're investing. Part of that has to bring up additional epi capacity. So I think we're kind of turning the corner there. And I think we're making good progress as it relates to closing the gap on epi capacity versus demand.

是的。 Ed，在外延方面，客戶仍然繼續尋找相對較重的外延組合作為產能擴張的一部分，我們正在投資的資本支出。其中一部分必須帶來額外的外延能力。所以我認為我們正在那裡拐彎。我認為我們在縮小外延產能與需求差距方面取得了良好進展。

And as my follow-up, if I could. So the preponderance of all your revenue now will be Wolfspeed and continuing operations. But the preponderance of that, not the vast majority, is in industrial and solar. Is that a fair statement given that your RF -- I mean you were kind of heavy into some of the 5G stuff going to Huawei, but that's been shut down. ZTE has probably picked up. And then overall, maybe you can make some comments on 5G because it's been strong. We've seen it through a bunch of other companies. But it's primarily been China's rollout of 5G as an industrial policy, which has been the big driver. But even that is starting to seem to slow a bit as they move from like urban MIMO sites to more suburban and rural macro sites. Are you seeing that reflected in order patterns now?

如果可以的話，作為我的後續行動。因此，您現在所有收入的主要部分將是 Wolfspeed 和持續運營。但其中的優勢，而不是絕大多數，是在工業和太陽能領域。考慮到你的射頻，這是一個公平的說法嗎？我的意思是你對華為的一些 5G 產品有點重心，但那已經被關閉了。中興通訊可能已經回升。然後總的來說，也許你可以對 5G 發表一些評論，因為它很強大。我們已經通過許多其他公司看到了這一點。但這主要是中國將 5G 作為一項產業政策推出，這一直是主要推動力。但是，隨著它們從城市 MIMO 站點轉移到更多郊區和農村的宏站點，即使這樣也開始放緩。您現在是否看到訂單模式反映了這一點？

Yes. I think you're right in terms of the overall 5G rollout. It's been primarily China-related. And obviously, there's -- we're unable to engage with Huawei at this time. So we don't have that in any of the plans and so forth. We're seeing a pickup in some of the RF business. We are seeing a pickup in that, but I think you're right that the -- it's really been kind of a China-dominated-type story.

是的。我認為您在整體 5G 部署方面是正確的。它主要與中國有關。顯然，我們目前無法與華為接觸。所以我們在任何計劃等中都沒有這個。我們看到一些射頻業務有所回升。我們看到了這方面的好轉，但我認為你是對的，這確實是一個中國主導的故事。

Our next question comes from Brian Lee with Goldman Sachs.

我們的下一個問題來自高盛的 Brian Lee。

Maybe first one, just following up on the earlier question here on the automotive wins and timing cadence. Gregg, it sounds like the ramp is steeper in 2024 and 2025, if I heard you correctly, although it does begin in '22. So should we also take that to mean device revenue specifically being supplied out of Mohawk Valley doesn't really become meaningful for you guys until fiscal 2024? I'm just trying to triangulate the capacity ramp in Mohawk Valley's impact overlaid against some of your comments around the automotive wins you're seeing today and when those really ramped into production and volume for you guys.

也許是第一個，只是跟進前面關於汽車勝利和計時節奏的問題。格雷格，如果我沒聽錯的話，聽起來 2024 年和 2025 年的坡道會更陡峭，儘管它確實從 22 年開始。那麼，我們是否也應該認為這意味著在 2024 財年之前，專門從莫霍克谷提供的設備收入對你們來說才真正有意義？我只是想對莫霍克谷影響的產能增長與你今天看到的汽車勝利的一些評論進行三角測量，以及這些評論何時真正為你們投入生產和數量。

Yes. Thanks, Brian.

是的。謝謝，布賴恩。

And then I have a follow-up.

然後我有一個跟進。

No problem. So Brian, thanks for the question. Yes, we are ramping Mohawk Valley beginning in 2022. It won't be a substantial part of the volume in 2022. But we believe by 2024, as these automotive customers are coming online, it will be actually a pretty substantial part of the equation in 2024. So we'll see that.

沒問題。所以布萊恩，謝謝你的問題。是的，我們將從 2022 年開始增加莫霍克山谷。到 2022 年，這不會佔很大一部分。但我們相信，到 2024 年，隨著這些汽車客戶上線，這實際上將成為等式中相當重要的一部分在 2024 年。所以我們會看到的。

And just before you get to your follow-up, Brian, Ed did ask about the fragmentation. I didn't hit that part of the question as well. And so Ed, the Wolfspeed business is actually quite fragmented today. And so it's a lot of industrial-type customers, a lot of aerospace and defense-type customers as well. So as we sit today, it's very, very fragmented. As we move towards the future, it will be more of an automotive-type play. So sorry about that, Ed, I didn't hit that last time. So Brian, you had a follow-up.

就在你開始跟進之前，Brian，Ed 確實詢問了碎片化的問題。我也沒有打到問題的那一部分。所以 Ed，今天的 Wolfspeed 業務實際上非常分散。所以它有很多工業類型的客戶，還有很多航空航天和國防類型的客戶。所以當我們今天坐下來時，它非常非常分散。隨著我們走向未來，它將更像是一場汽車類游戲。很抱歉，Ed，我上次沒打那個。所以布萊恩，你有一個跟進。

Yes. That's a pretty good segue for the follow-up I had. I was trying to maybe better understand the diversification/fragmentation in the Wolfspeed mix. You guys have talked about being flat for fiscal '21 based on some of the disclosures you updated around the LED unit sale a couple of weeks ago. So as we think about Wolfspeed mix, a lot has clearly changed over the past 12 months with EV trends in China, Huawei, et cetera. So is there any way you can level-set us a bit as to what was the mix of Wolfspeed revenue in fiscal 2020? And then what should we sort of be expecting in fiscal '21? And I'm kind of thinking about the broader buckets. You guys talk about materials, silicon carbide, power devices and then RFs. Just it would seem like things have changed a bit. And so how should we be thinking about, on a flat revenue base, roughly what that mix has shifted to now?

是的。對於我的後續行動來說，這是一個很好的選擇。我試圖更好地理解 Wolfspeed 組合中的多樣化/碎片化。你們根據幾週前圍繞 LED 單元銷售更新的一些披露，談到了 21 財年持平。因此，當我們考慮 Wolfspeed 組合時，在過去 12 個月中，隨著中國、華為等的電動汽車趨勢發生了很大變化。那麼，您有什麼方法可以讓我們了解 Wolfspeed 在 2020 財年的收入組合是多少？然後我們應該在 21 財年期待什麼？我正在考慮更廣泛的桶。你們談論材料、碳化矽、功率器件，然後是射頻。只是看起來事情發生了一些變化。那麼我們應該如何考慮，在一個固定的收入基礎上，現在這個組合大致變成了什麼？

I'll take a crack at it. And if Neill, you want to add a little bit of color. So in terms of the split of the business between our device business and our materials business, you can kind of think of those as roughly 50-50. And that wasn't the case 4 years ago. We were -- the materials business has grown faster than the device business over the last 4 years to have now kind of a 50-50 mix. As we look to the future and point -- I'll point specifically to 2024, between now and 2024, we anticipate our device business will grow substantially faster than the materials business as we start knocking down some of these opportunities and converting opportunities in the design-ins. So you'll see a steeper ramp of the revenue so that the device businesses will be greater than 50% and nicely greater than 50% of the revenue by 2024. Neill, I don't know if you want to add any additional color to that.

我會試一試。如果尼爾，你想添加一點顏色。因此，就我們的設備業務和材料業務之間的業務劃分而言，您可以將其視為大約 50-50。而 4 年前的情況並非如此。在過去的 4 年裡，我們的材料業務增長速度超過了設備業務，現在已經達到了 50-50 的比例。當我們展望未來並指出——我將特別指出 2024 年，從現在到 2024 年，我們預計我們的設備業務的增長速度將大大快於材料業務，因為我們開始消除其中一些機會並在設計插件。所以你會看到收入的陡峭增長，到 2024 年，設備業務的收入將超過 50%，甚至遠遠超過收入的 50%。尼爾，我不知道你是否想添加任何額外的顏色那。

Well, I think that's right. I think one thing, Brian, to think about here in the shorter term, as you're trying to compare last year to this year, there has been a lot of changes with COVID and timing of recovery of customers and inventory movements. You just move things around. I think what Gregg said is accurate in terms of the sizing of what the revenue looks like. And then look, we're seeing a lot of demand right now for our power MOSFETs on the device side. I think in the materials front, we've seen a little bit of movement as people manage inventory here in the short term as we recover from the pandemic. But I think as you look over the medium and longer term, as Gregg had said, you're able to see the device business grow faster. But there'll be periods where we'll see pretty substantial growth in materials as well. So as we move out of these, I'd say early stages of growth in the business, there's always going to be fits and starts in different areas. And I'd say -- but over time, the device business will kind of outpace the materials business.

嗯，我認為這是正確的。布賴恩，我認為有一件事要在短期內考慮，當您試圖將去年與今年進行比較時，COVID 以及客戶恢復時間和庫存變動發生了很多變化。你只是移動東西。我認為格雷格所說的就收入規模而言是準確的。然後看，我們現在看到設備端對我們的功率 MOSFET 有很多需求。我認為在材料方面，隨著我們從大流行中恢復過來，人們在短期內管理庫存，我們已經看到了一些變化。但我認為，從中期和長期來看，正如 Gregg 所說，你能夠看到設備業務增長得更快。但在某些時期，我們也會看到材料的大幅增長。因此，當我們擺脫這些，我想說的是業務增長的早期階段，總會有不同領域的適應和開始。我想說——但隨著時間的推移，設備業務將超過材料業務。

Our next question comes from Paul Coster with JPMorgan.

我們的下一個問題來自摩根大通的 Paul Coster。

I guess I'm looking at what's happening in the EV space at the moment, and there seems like a lot of innovation around commercial vehicles in large but nonetheless niche markets rather than the passenger-vehicle market. So it feels like that -- those sectors are going to go first. Total cost of ownership comes sort of -- makes those more compelling than the sticker price for a passenger-vehicle EV. Do you concur? And does that mean that sort of in the next couple of years, that's the kind of -- those are the lead indicators that we should be watching, the sort of the truck and bus end markets rather than the passenger-vehicle markets as proxies for where your demand is coming from on the EV side?

我想我正在研究目前電動汽車領域正在發生的事情，在大型但仍然是利基市場而不是乘用車市場中，圍繞商用車似乎有很多創新。所以感覺是這樣的——這些行業將首先發展。總擁有成本在某種程度上比乘用車電動汽車的標價更具吸引力。你同意嗎？這是否意味著在接下來的幾年中，這就是我們應該關注的領先指標，卡車和公共汽車終端市場，而不是乘用車市場作為代表電動汽車方面的需求來自哪裡？

Well, Paul, I'd say both. We announced the Yutong Group design win. Yutong is the largest electric bus manufacturer in China. We announced that design win last quarter, I believe. But what I would say is I've seen reports that say there's going to be a crossover point on the cost of electric vehicles kind of mirroring or matching the cost of internal combustion engine by 2024. I had a real nice set of visits with some European customers last week, and one of the comments that -- one of them mentioned to me was that they were going to -- the European Union is looking at increasing the reduction, if you will, of greenhouse gases from a 40% reduction to 60% reduction over the coming years and so forth. And basically, from an internal combustion engine, what this customer said is, "We are witnessing the end of the ice age." And so the internal combustion engine is going away. And based on the design activity I'm seeing, based on the fact that we just closed $700 million worth of design-ins last quarter, most of those being automotive, it sure seems to be reflective of that. So I think it's both, Paul, that seem to be moving forward.

好吧，保羅，我會說兩個。我們宣布宇通集團設計獲勝。宇通是中國最大的電動客車製造商。我相信，我們在上個季度宣布了設計獲勝。但我要說的是，我看到有報導稱，到 2024 年，電動汽車的成本將出現一個交叉點，類似於內燃機的成本或與內燃機的成本相匹配。我與一些人進行了一系列非常好的訪問上週歐洲客戶的評論之一，其中一個向我提到的是他們將要這樣做，歐盟正在考慮將溫室氣體的減排量從 40% 減少到未來幾年減少 60%，依此類推。基本上，從內燃機中，這位客戶說的是，“我們正在見證冰河時代的結束。”所以內燃機正在消失。根據我所看到的設計活動，基於我們上個季度剛剛完成價值 7 億美元的設計，其中大部分是汽車，這似乎確實反映了這一點。所以我認為，保羅，這兩者似乎都在向前發展。

Okay. Got it. And the other observation, Gregg, is that there's a lot of innovation still taking place, right, whether it's hybrid motors, whether it's using green or gas -- sort of gray fuels that generates and sort of fueling an electric powertrain or whether -- I mean -- or whether it's new battery technologies that are coming to market. All of them seem to be kind of converging on the market in the middle of the decade. Does it matter to you that this change is happening? Does your product just go into every and any of these electric vehicles regardless of the technology changes that are happening with powertrains and fuel sources?

好的。知道了。 Gregg 的另一個觀察結果是，仍然有很多創新正在發生，對，無論是混合動力發動機，無論是使用綠色還是天然氣——一種產生並為電動動力系統提供燃料的灰色燃料，或者是否——我的意思是——或者是否是即將上市的新電池技術。在本世紀中期，所有這些似乎都在市場上趨同。這種變化正在發生對你來說重要嗎？無論動力系統和燃料來源發生的技術變化如何，您的產品是否只用於所有這些電動汽車？

I think in terms of a fuel cell versus a battery electric vehicle, I don't think there's really much of a difference because you're converting that energy and turning it into electric energy for the motors. There's definitely a bigger opportunity for those than there would be in a hybrid, as an example. And that's typically because the power that you're requiring is substantially less. But what I would say -- and again, this is based on -- and again, I visited with just last week with several OEMs and then several Tier 1s in Europe. And the feedback that I'm getting or what they're saying to me is plug-in hybrids are probably just a transition. And the reason for that is they don't really solve the problem of emissions especially in places like Europe because there's not a lot of places to plug in. And a lot of people just park on the street. There's not a lot of infrastructure there.

我認為就燃料電池與電池電動汽車而言，我認為沒有太大區別，因為您正在將能量轉換為電動機的電能。例如，對於那些人來說，肯定有比混合動力更大的機會。這通常是因為您需要的功率要少得多。但我要說的是——再一次，這是基於——再一次，我上周訪問了幾家原始設備製造商，然後是歐洲的幾家一級供應商。我得到的反饋或他們對我所說的是插電式混合動力車可能只是一個過渡。原因是它們並沒有真正解決排放問題，尤其是在像歐洲這樣的地方，因為沒有很多地方可以插電。而且很多人只是停在街上。那裡沒有很多基礎設施。

Whereas with electric vehicles, they are starting to do these high-capacity electric chargers. You're seeing cars now coming out with 500-mile ranges and for -- and again, this is what -- one of customers was telling me. If you just plugged in once a week, now all of a sudden, you've got a whole week's worth of going to and from work and so forth. So I think there's sort of a sense that really, the transition is going to be from internal combustion to electric. There might be some stops along the way with a transition through hybrid, but I think most of them are thinking it's going to be fully electric.

而對於電動汽車，他們開始使用這些大容量充電器。你現在看到的汽車的續航里程為 500 英里，而且——再一次，這就是——一位客戶告訴我的。如果你只是每週插電一次，現在突然之間，你就有了一整週的時間去上班和下班等等。所以我認為有一種感覺，真正的轉變將是從內燃機到電動。在過渡到混合動力的過程中可能會有一些停留，但我認為他們中的大多數人都認為它將是全電動的。

And then the final thing that I would say on that is the European regulators are starting to understand that there are incentives for people to buy plug-in hybrids. And people are, therefore, taking advantage of those hybrid -- of those incentives, but then they're not plugging in the car. And so that actually is going the opposite way in terms of emissions because you have a substantially less efficient powertrain. And if you're not plugging it in, it's kind of going worse. So there's some talk that those incentives are going to be taken off the table at some point.

然後我要說的最後一件事是歐洲監管機構開始明白人們購買插電式混合動力車的動機。因此，人們正在利用這些混合動力——這些激勵措施，但他們並沒有插上汽車。所以這實際上在排放方面是相反的，因為你的動力系統效率大大降低。如果你不插上電源，情況會變得更糟。所以有人說這些激勵措施將在某個時候被取消。

Our next question comes from Craig Irwin with ROTH Capital Partners.

我們的下一個問題來自 ROTH Capital Partners 的 Craig Irwin。

I wanted to ask a little bit about the LED business. Now that it's going behind us, can you maybe share with us some of the mechanics of how this sunsets for us. Were you previously costing overhead for this business based on revenue or floor space or some other metric? And is part of this small increase in losses we're expecting in the second fiscal quarter due to expectations that you take over the full cost of the real estate or some other overhead as that business transitions to really a virtual-fab-type business?

我想問一些關於 LED 業務的問題。現在它已經過去了，您能否與我們分享一些關於我們如何日落的機制。您之前是否根據收入或占地面積或其他一些指標來計算該業務的間接費用？由於預計隨著業務轉變為真正的虛擬工廠類型業務，您將承擔房地產的全部成本或其他一些間接費用，因此我們預計第二財季虧損的小幅增長是其中的一部分嗎？

Craig, yes. So on that, I won't get into all the details on the costing, but I think it's pretty well segregated between LED and Wolfspeed as we've previously reported. As you look forward, some of the -- there is some dilution in the deal as you start to move forward. There's a little bit of stranded cost in there from an OpEx standpoint that we're going to have to manage through and we'll manage over the next 18 months. But by and large, obviously, the deal, what it does for us, is it gives us a lot more focus on the really important pieces of Wolfspeed, whether that be pipeline activity, continued execution on the capacity expansion and working through a lot of the investments that we've got. So the schedule in terms -- if we talk about outsourcing a lot of that business as well from a capacity standpoint, that schedule all remains the same. And SMART will take that over as we move forward and after we close the deal. And so by and large, it's pretty much on the same plan that we had before moving forward.

克雷格，是的。因此，我不會詳細介紹成本計算，但我認為 LED 和 Wolfspeed 之間的隔離非常好，正如我們之前報導的那樣。正如您所期待的那樣，隨著您開始前進，交易中的一些 - 會有一些稀釋。從 OpEx 的角度來看，我們將不得不處理一些擱淺的成本，我們將在接下來的 18 個月內進行管理。但總的來說，很明顯，這筆交易，它對我們所做的，是它讓我們更多地關注 Wolfspeed 真正重要的部分，無論是管道活動、產能擴張的持續執行以及通過大量的工作我們的投資。所以時間表 - 如果我們從容量的角度談論大量業務外包，那麼時間表都保持不變。 SMART 將在我們前進和完成交易後接管它。因此，總的來說，這與我們前進之前的計劃幾乎相同。

Okay. Excellent. And then as far as efficiency of the overall fab, one of the things Gregg discussed at the last Analyst Day was the challenges with the -- I believe you called it chase and bay layout of the ground facility. Can you maybe talk about whether or not the LED business vacating its footprint there creates an opportunity for improved layout or improved efficiency in the rest of the fab?

好的。出色的。然後就整個晶圓廠的效率而言，Gregg 在上一個分析師日討論的問題之一是——我相信你稱之為地面設施的追逐和海灣佈局。您能否談談 LED 業務騰出那裡的足跡是否為改進佈局或提高晶圓廠其餘部分的效率創造了機會？

Thanks, Craig. Yes, that's a -- bay and chase is the format of both our fabs here in North Carolina. And our RTP fab is a substantially smaller fab than the Durham fab. And the Durham fab is where the LED operation is. So it won't convert the fab to what's called a ballroom-style design. The ballroom style is what -- is going to be in New York. So it won't create a new sort of form of space, if you will. But it definitely is going to allow us to increase our capacity for Wolfspeed as we transition the LED business to an outsourced model. And that, of course, was an ongoing activity that we had prior to the definitive agreement that we signed with SMART Global. So that's just kind of continuing on schedule. So no, it doesn't change the style of wafer fab to the more modern ballroom style. That's what we're building up in New York. But again, the transition of LED to an outsourced model increases our capacity in Durham for Wolfspeed.

謝謝，克雷格。是的，這是我們在北卡羅來納州的兩個晶圓廠的格式。我們的 RTP 工廠比達勒姆工廠小得多。達勒姆工廠是 LED 操作的所在地。所以它不會將工廠轉變為所謂的舞廳式設計。舞廳風格就是紐約的風格。所以它不會創造一種新的空間形式，如果你願意的話。但隨著我們將 LED 業務轉變為外包模式，這肯定會讓我們增加 Wolfspeed 的產能。當然，這是我們在與 SMART Global 簽署最終協議之前正在進行的一項活動。所以這只是按計劃繼續進行。所以不，它不會將晶圓廠的風格改變為更現代的舞廳風格。這就是我們在紐約建立的。但同樣，LED 向外包模式的轉變增加了我們在達勒姆的 Wolfspeed 產能。

Our next question comes from Colin Rusch with Oppenheimer.

我們的下一個問題來自 Colin Rusch 和 Oppenheimer。

Can you talk a little bit about the competitive dynamics on the device side and what you're seeing in terms of evolution of the product. As you sort of get to these design wins, I'm assuming that you're going to have to expand the price of the product a little bit as you get a little bit closer with the customers. But wondering how the competitive dynamics are evolving and what the cadence is for some of those evolutions.

您能否談談設備方面的競爭動態以及您在產品發展方面所看到的情況。當您獲得這些設計勝利時，我假設您將不得不稍微提高產品的價格，因為您與客戶的距離更近了一點。但是想知道競爭動態是如何演變的，以及其中一些演變的節奏是什麼。

Yes. So the competitive dynamics are pretty straightforward. Customers look at their design, and they do an analysis of our technical capability as it relates to what they need in their design. They do that with competitors as well. They look at things like supply continuity and your ability to manufacture and so forth. They look at things like -- well, of course, pricing is a key part of that as well. So it's a typical, I would say, mosaic that they look at. We typically score pretty nicely on most of these different items. And especially when it comes to the supply dynamics, the fact that we've got internal capability on silicon carbide gives us extra points as well.

是的。因此，競爭動態非常簡單。客戶查看他們的設計，並分析我們的技術能力，因為這與他們的設計需求相關。他們也對競爭對手這樣做。他們著眼於供應連續性和您的製造能力等。他們著眼於——好吧，當然，定價也是其中的關鍵部分。所以這是一個典型的，我會說，他們看到的馬賽克。我們通常在大多數這些不同的項目上得分都不錯。尤其是在供應動態方面，我們擁有碳化矽的內部能力這一事實也給了我們額外的分數。

And I think in terms of the design win -- the design-in activity, delivering $700 million this past quarter was actually pretty nice accomplishment for us. And it really lines up pretty nicely with what will translate into a $1.5 billion business in 2024. So we feel pretty good about that. I think the cadence of designs have basically -- or design decisions have been pretty much along the lines of what we thought they were going to be. And if you think about it, over the last 3 quarters, we went from $400 million to $600 million to $700 million worth of design-ins. So that's $1.7 billion of design-ins on a little bit over a $10 billion device pipeline. So it feels to me like the decisions are coming down pretty much in accordance with what we thought. Now there's going to be some puts and takes every quarter and so forth, but we feel pretty good about that.

而且我認為就設計勝利而言——設計活動，在上個季度交付了 7 億美元，這對我們來說實際上是相當不錯的成就。它確實與 2024 年將轉化為 15 億美元的業務非常吻合。所以我們對此感覺很好。我認為設計的節奏基本上 - 或者設計決策幾乎與我們認為的那樣。如果你仔細想想，在過去的三個季度中，我們的設計投入從 4 億美元增加到 6 億美元再到 7 億美元。因此，在略高於 100 億美元的設備管道上，這是 17 億美元的設計投入。所以在我看來，這些決定幾乎與我們的想法一致。現在每個季度都會有一些看跌期權等等，但我們對此感覺很好。

I think my question was really more about the evolution of the product design, but I'll take that offline.

我認為我的問題實際上更多是關於產品設計的演變，但我將把它離線。

Just separately on just -- maybe just a housekeeping question on the payables growth. What's going on there? And is that -- is there going to be an unwind on that at some point here over the short term? How should we think about kind of steady state on those payables going forward?

只是單獨關於 - 也許只是關於應付賬款增長的家政問題。那裡發生了什麼事？那是 - 在短期內會在某個時候放鬆嗎？我們應該如何考慮這些應付賬款未來的穩定狀態？

Yes. So some of that's related to the fact that we have larger invoices as we execute capacity expansion particularly in Mohawk Valley. That brings the DPO up. You could see it come back to the kind of more normal levels, I think, in the 70-plus days as we've had previously.

是的。因此，其中一些與我們在執行產能擴張（尤其是在莫霍克山谷）時有更大的發票這一事實有關。這帶來了 DPO。我認為，在我們以前的 70 多天裡，你可以看到它恢復到更正常的水平。

Outside of the New York expansion.

在紐約擴張之外。

Our next question comes from the line of Craig Hettenbach with Morgan Stanley.

我們的下一個問題來自摩根士丹利的 Craig Hettenbach。

Gregg, just as we come up on a year of the Analyst Day and the targets that you laid out for fiscal '24, since that time, are there any particular developments you'd point to in terms of the traction that you're seeing and to kind of get on that path to the $1.5 billion over that time?

格雷格，正如我們在分析師日的一年和您為 '24 財年制定的目標提出的那樣，從那時起，就您所看到的牽引力而言，您是否有任何特別的發展並在那段時間內走上15億美元的道路？

Yes. A couple of things. So thanks for the question, Craig. So as I mentioned, the fact that we've been able to deliver $1.7 billion worth of design-ins in the last 3 quarters gives us -- bolsters, obviously, our confidence that we'll be able to get to that number out in 2024. And then the other thing, I was just on a panel today -- discussion and they were talking about the impacts of COVID on our industry and what do we think is going to happen and so forth. And I've had a lot of really good conversations with our customers about this. And basically, the OEMs and the Tier 1s that we're talking to in the auto industry have basically all said the same thing. And that is the impact of COVID is an acceleration of the adoption of electric vehicles. And that's for a couple of different reasons.

是的。有幾件事。所以謝謝你的問題，克雷格。因此，正如我所提到的，我們在過去 3 個季度中交付了價值 17 億美元的設計，這一事實顯然增強了我們的信心，相信我們能夠在2024. 然後另一件事，我今天只是參加了一個小組討論，他們正在討論 COVID 對我們行業的影響以及我們認為會發生什麼等等。我和我們的客戶就這個問題進行了很多非常好的對話。基本上，我們在汽車行業與之交談的原始設備製造商和一級供應商基本上都說了同樣的話。這就是 COVID 的影響是加速了電動汽車的採用。這是出於幾個不同的原因。

One is that the consumers are seeing blue skies for the first time in a lot of different cities because of the shutdown. And global warming is a hard thing to see, but a blue sky is an easy thing to see. And so consumers are saying, I don't want to go back to a polluted Los Angeles or a polluted Delhi or what have you. We want to be able to have clean air and healthy air and so forth. So you've got this consumer pull, if you will. And then on the flip side of it, you've got big countries and the European Union staring at, "We are going to spend money to do a recovery. Why wouldn't we dedicate a bunch of that to a green recovery?" And Europe is clearly leading that with 30% of it really going towards climate-type initiatives. And so -- and that also is driving the auto industry towards electric vehicles. So the one -- I mean there's lots of silver linings in COVID. There's lots of bad things about COVID, but what I would say is it's really hitting the accelerator, if you will, for the adoption of EVs. And I think that's the thing we didn't anticipate at the Analyst Day, Craig.

一是由於停工，消費者在許多不同的城市第一次看到了藍天。全球變暖很難看到，但藍天卻很容易看到。所以消費者說，我不想回到污染嚴重的洛杉磯或污染的德里，或者你有什麼。我們希望能夠擁有乾淨的空氣和健康的空氣等等。所以，如果你願意的話，你就有了這種消費者的吸引力。另一方面，大國和歐盟都在盯著，“我們將花錢進行複蘇。為什麼我們不把一大筆錢用於綠色復甦呢？”歐洲顯然處於領先地位，其中 30% 真正用於氣候型舉措。所以——這也推動汽車行業轉向電動汽車。所以一個 - 我的意思是COVID中有很多一線希望。 COVID有很多不好的地方，但我想說的是，如果你願意的話，它真的會加速電動汽車的採用。我認為這是我們在分析師日沒有預料到的事情，克雷格。

Got it. And then if I could follow up, just maybe an extension of this. When I think about your go-to-market, just how significant are the partnerships? I know you've announced things with Delphi. You've talked a lot about Arrow. Is Arrow going to remain exclusive over time? Or how should we think about how much of an impact these partnerships are having as you kind of reach towards that target model?

知道了。然後，如果我可以跟進，也許只是這個的延伸。當我想到你的市場時，合作夥伴關係有多重要？我知道你已經用 Delphi 宣布了一些事情。你已經談了很多關於阿羅的事了。隨著時間的推移，Arrow 會保持獨占性嗎？或者我們應該如何考慮這些合作夥伴關係在您實現目標模型時會產生多大的影響？

Yes. We -- so Arrow is our exclusive global distributor for the Wolfspeed products. We do have some local distributors, but they're the exclusive global and I don't see that changing any time. I think the results that we've just gotten together on the 650-volt platform is astounding. And when you think about it, we launched that program in April, which is probably the worst part of the pandemic. China was still sort of down. Europe and U.S. were on our knees. It was just -- we were really in pretty bad lockdown. And despite that, the team was able to deliver and hit our goal of $750 million worth of pipeline identification, and they did that 1 quarter early that -- earlier than the goal. So they're doing a fantastic job. We've got a very strong partnership with them, and I anticipate that will last for a very long period of time.

是的。我們 -- 所以 Arrow 是我們 Wolfspeed 產品的全球獨家經銷商。我們確實有一些本地分銷商，但他們是全球獨家經銷商，我認為這種情況不會隨時改變。我認為我們剛剛在 650 伏平台上獲得的結果令人震驚。仔細想想，我們在 4 月啟動了該計劃，這可能是大流行中最嚴重的部分。中國還是有點低落。歐洲和美國都跪了。只是——我們真的處於非常糟糕的封鎖狀態。儘管如此，該團隊還是能夠交付並實現我們價值 7.5 億美元的管道識別目標，並且他們提前 1 個季度完成了這一目標——早於目標。所以他們做得很棒。我們與他們建立了非常牢固的合作夥伴關係，我預計這將持續很長時間。

And then in terms of customers like Delphi -- and we've announced ZF. We've had an announcement with Danfoss, with Yutong, with the Volkswagen FAST program, ABB. These are all good relationships, and we're working together with them to bring products to market. I met with many of those customers just last week. So these -- the automotive industry especially and industrial customers as well, when they bring you on as a supplier, they're bringing you on for a very long period of time. It's 3 or 4 years to go from -- they bring you on to when you begin to ramp. And then those products stay in production for 5 or 6 years, and then there's an end-of-life process for their end product where you got to support aftermarket and so forth. So this is a marriage that lasts 10, 15 years. And so these are good, long-term customers to have.

然後就像德爾福這樣的客戶而言——我們已經宣布了採埃孚。我們已經與丹佛斯、宇通、大眾汽車 FAST 計劃、ABB 發布了公告。這些都是良好的關係，我們正在與他們合作將產品推向市場。就在上週，我遇到了許多這樣的客戶。所以這些——尤其是汽車行業和工業客戶，當他們讓你成為供應商時，他們會在很長一段時間內讓你參與進來。這需要 3 或 4 年的時間——他們將你帶到你開始爬坡的時候。然後這些產品會在生產中保持 5 或 6 年，然後他們的最終產品會有一個生命週期結束的過程，你必須支持售後市場等等。所以這是一段持續10年、15年的婚姻。因此，這些都是不錯的長期客戶。

Our next question comes from the line of Gary Mobley with Wells Fargo Securities.

我們的下一個問題來自富國銀行證券的 Gary Mobley。

Wanted to ask you about the way to think about -- well, I guess first off, I appreciate you gave us a baseline as to how the Wolfspeed business should operate in the December quarter. And so off of that baseline of $77 million to $79 million in non-GAAP OpEx, how do you see that being affected by the LED sale? I think you mentioned once that business is separate, $10 million to $15 million per quarter in quarterly OpEx savings. So that's presumably a benefit to that run rate you gave for the December quarter. But at the same time, you're going to be ramping up OpEx for other reasons in preparation for capacity expansion and whatnot. So how should we think about the different moving pieces with an OpEx off of that December quarter baseline?

想問你思考的方式——嗯，我想首先，我很感激你給了我們一個關於 Wolfspeed 業務在 12 月季度應該如何運作的基線。因此，在 7700 萬美元到 7900 萬美元的非 GAAP 運營支出的基線上，您如何看待 LED 銷售的影響？我想你曾經提到過，業務是獨立的，每季度每季度節省 1000 萬到 1500 萬美元的運營支出。因此，這可能對您在 12 月季度給出的運行率有好處。但與此同時，您將出於其他原因增加運營支出，為產能擴張等做準備。那麼，我們應該如何考慮在 12 月季度基線之外的運營支出的不同移動部分？

Thanks. And I think that's a really good question. So as we move forward, I think OpEx is going to accrete modestly as we start to move forward. There is an element related to the divestiture kind of you indicated. That's really not the primary driver of the elevated OpEx here kind of in the short term. As Gregg mentioned earlier, we have substantial projects that we're investing in. I think that's what you're alluding to, R&D investments related to a number of things, including ensuring we're ready to ramp the Mohawk Valley Fab and kind of move through that process as well in addition to an increase in our sales and marketing spend as we continue to go identify opportunities and execute on the pipeline. There is an element of -- look, we have a divestiture to go through. There's going to be some -- a lot of work to do on that within our G&A functions. But I really think of it -- the large portion of the elevated OpEx is really related to the R&D and the sales and marketing spend. And by the way, this is the same plan we had laid out before. I think what we're just getting visibility now to is the -- just the Wolfspeed cut of this as we move forward.

謝謝。我認為這是一個非常好的問題。因此，隨著我們向前發展，我認為隨著我們開始向前發展，OpEx 將會適度增加。有一個要素與您指出的資產剝離類型有關。這真的不是短期內提高運營支出的主要驅動力。正如格雷格之前提到的，我們正在投資大量項目。我認為這就是你所暗示的，與許多事情相關的研發投資，包括確保我們準備好擴大莫霍克谷工廠和類似的隨著我們繼續尋找機會並在管道上執行，除了增加我們的銷售和營銷支出外，還要完成這個過程。有一個元素——看，我們要進行資產剝離。在我們的 G&A 職能中，將會有一些 - 很多工作要做。但我真的想到了——提高的運營支出的很大一部分確實與研發以及銷售和營銷支出有關。順便說一句，這與我們之前製定的計劃相同。我認為我們現在剛剛獲得的知名度是 - 只是我們前進時的 Wolfspeed 剪輯。

Okay. And related to that, it looks like you've got about 300 basis points of unallocated expenses in your cost of goods sold line. Post LED divestiture, do you see an opportunity to bring that down? That's it from me.

好的。與此相關的是，您的商品銷售成本線中似乎有大約 300 個基點的未分配費用。在 LED 資產剝離之後，您是否看到了將其降低的機會？這就是我的。

Well, I think what that is, a lot of that's related to is kind of whether that be benefits or management incentives, a lot of these types of things. I don't think the cost necessarily goes away. What I do think is that it scales over time. And when we talked about the LED divestiture last week, we kind of said there's about 2 to 3 points that kind of sits in that corporate bucket from a gross margin standpoint. I think what we will do is evaluate how we manage this post close and how we talk about the company and think about the company. But here, as we look forward in the shorter term, you can kind of consider that at those same levels.

嗯，我認為那是什麼，很多都與利益或管理激勵有關，很多這類事情。我認為成本不一定會消失。我確實認為它會隨著時間的推移而擴展。當我們上週談到 LED 剝離時，我們有點說從毛利率的角度來看，該公司的存儲桶中大約有 2 到 3 個點。我認為我們要做的是評估我們如何管理這篇文章以及我們如何談論公司和思考公司。但是在這裡，正如我們在短期內展望的那樣，您可以在相同的水平上考慮這一點。

Our next question comes from Joseph Osha with JMP Securities.

我們的下一個問題來自 JMP 證券公司的 Joseph Osha。

Just following up a little bit on the previous question. If we think about what the pure Wolfspeed target operating model looks like given all of this conversation about operating cost absorption and so forth, what would that be? And in order to get to that target operating model or -- do we need to be at that sort of $1.5 billion run rate that we talked about? And then I have a follow-up.

只是跟進上一個問題。如果我們考慮一下純粹的 Wolfspeed 目標運營模式是什麼樣子，考慮到所有關於運營成本吸收等的討論，那會是什麼？為了達到目標運營模式，或者——我們是否需要達到我們所說的那種 15 億美元的運行速度？然後我有一個跟進。

Well, first of all, Joe, as we talked about earlier, the $1.5 billion is predicated on, what, 5% relative EV adoption rate. And as we talked about earlier, everything we're seeing kind of supports that. We'll see where the timing is as it looks like that. As it relates to fall-through, it really depends on how we manage this and how we see the inflection point as you get up to that kind of '22, '23 time frame. Obviously, we can modulate as we go forward. But I'll tell you I think our anticipation right now is that we're kind of a full go here. The opportunity out beyond that period is pretty large, and we think we have to be in a position to capture it. So I still think we'll see some accretion in terms of the OpEx as we kind of move forward, and then we'll kind of grow into it.

嗯，首先，喬，正如我們之前談到的，15 億美元是基於 5% 的相對 EV 採用率。正如我們之前談到的，我們所看到的一切都支持這一點。我們將看到時間在哪裡，因為它看起來像這樣。由於它與失敗有關，它實際上取決於我們如何管理這一點，以及我們如何看待拐點，因為你達到了那種 '22,'23 的時間框架。顯然，我們可以在前進的過程中進行調整。但我會告訴你，我認為我們現在的預期是我們在這裡全力以赴。超越那個時期的機會非常大，我們認為我們必須能夠抓住它。所以我仍然認為，隨著我們向前發展，我們會看到運營支出方面的一些增長，然後我們會逐漸成長。

But is there -- in the past, you'd kind of put some specific markers out there in terms of what a gross margin, operating margin business might look like. Are you willing to sort of talk about what that might look like for pure Wolfspeed?

但是有沒有——在過去，你會在毛利率、營業利潤率業務可能是什麼樣子方面放置一些特定的標記。你願意談談純 Wolfspeed 的樣子嗎？

Yes. So I think if you go back and look at the announcement last week, what we said is Wolfspeed to be -- the 2024 time frame, between 50% and 54% gross margin. We just talked about a little bit of corporate cost. So that's roughly about a 50% company level and then about a 25% OpEx level as you get out to '24.

是的。所以我認為，如果你回頭看看上週的公告，我們所說的 Wolfspeed 將是——2024 年的時間框架，毛利率在 50% 到 54% 之間。我們剛剛談到了一點企業成本。所以這大約是 50% 的公司水平，然後是 25% 的運營支出水平，直到 24 年。

Okay. And then I don't know if you can answer this or not. I heard you refer to the FAST relationship with Volkswagen. Are you able to say at this point whether you are in the MEB platform there?

好的。然後我不知道你能不能回答這個問題。我聽說您提到了與大眾汽車的 FAST 關係。你現在能說你是否在MEB平台那裡嗎？

And then actually, just a quick third one. When Wolfspeed is an independent business, given how SEC segment reporting works, might we expect to see the business carved up into more than one reporting segment? And that's it from me.

然後實際上，只是快速的第三個。當 Wolfspeed 是一家獨立業務時，考慮到 SEC 部門報告的運作方式，我們是否會期望看到該業務被劃分為多個報告部門？我就是這樣。

Yes. In terms of the FAST program, that is a program that is targeted at a small subset of Volkswagen suppliers. They have something on the order of 50,000 suppliers, and they have something on the order of 65 suppliers that are designated as FAST. And FAST stands for Future Automotive Supply Tracks. And basically, they use the English acronym FAST as you would think its intention, which is they're trying to figure out a way to get these suppliers into their designs quickly. They give -- Volkswagen gives us -- gives FAST suppliers access to different levels of engineering that you normally wouldn't get access to. They give access to different projections for their new vehicles and so forth. It is not an award of any specific program.

是的。就 FAST 計劃而言，這是一個針對一小部分大眾汽車供應商的計劃。他們有大約 50,000 個供應商的訂單，他們有大約 65 個被指定為 FAST 的供應商。 FAST 代表未來汽車供應軌道。基本上，他們使用英文首字母縮寫詞 FAST，正如你所想的那樣，他們試圖找出一種方法讓這些供應商快速進入他們的設計。他們給予 - 大眾汽車給予我們 - 讓 FAST 供應商獲得您通常無法獲得的不同級別的工程。他們為他們的新車等提供了不同的預測。它不是任何特定項目的獎勵。

And then Joe, just from a segment reporting standpoint, look, we're -- we just signed the definitive agreement to sell the LED business very recently, and we're working through managing how we're going to look as we move forward. We'll give more updates on that as we get into the new year.

然後喬，僅從細分報告的角度來看，看，我們剛剛簽署了出售 LED 業務的最終協議，我們正在努力管理我們在前進的過程中將如何看待.隨著我們進入新的一年，我們將提供更多更新。

Our next question comes from David O'Connor with Exane BNP Paribas.

我們的下一個問題來自 Exane BNP Paribas 的 David O'Connor。

I have a question on the pipeline. Gregg, at the Analyst Day about a year ago now, you said 50% of $9 billion pipeline at that time would be decided within 12 months. So 1 year on from that now, is half the pipeline already decided? And I have a follow-up.

我有一個關於管道的問題。格雷格，大約一年前的分析師日，你說當時 90 億美元的管道中的 50% 將在 12 個月內決定。那麼從現在起一年後，是否已經確定了一半的管道？我有一個後續行動。

All right. I would say the decisions are moving pretty nicely. They're moving pretty closely to that track. And I think if I recall correctly, I said 12 to 18 months. And certainly, we've had now $400 million worth of design-ins 3 quarters ago, $600 million 2 quarters ago, and then $700 million, Wolfspeed alone, 1 quarter ago or this past quarter. And those are design-ins that we won. There's obviously some things that we didn't win as well. So I would say, David, that it's actually tracking that pretty nicely. And that's actually kind of amazing when you think about it because we made that prediction pre-COVID, and customers basically went into lockdown mode and then very quickly got back into getting their designs continuing to move in a different kind of way. So I think it is kind of tracking pretty much what we thought.

好的。我會說這些決定進展順利。他們正在非常接近那條軌道。我想如果我沒記錯的話，我說的是 12 到 18 個月。當然，我們現在在 3 個季度前擁有價值 4 億美元的設計投入，2 個季度前為 6 億美元，然後是 7 億美元，僅 Wolfspeed，1 個季度前或上個季度。這些是我們贏得的設計。顯然有些事情我們也沒有贏。所以我想說，大衛，它實際上很好地跟踪了這一點。當你想到它時，這實際上有點令人驚訝，因為我們在 COVID 之前做出了這個預測，客戶基本上進入了鎖定模式，然後很快又回到讓他們的設計繼續以不同的方式移動。所以我認為這幾乎是在跟踪我們的想法。

Okay. Great. That's quite helpful. And then maybe one on the materials side. You talked about materials, better order flow in the quarter. And if I think back to last quarter, you mentioned that there was some deferred shipments. So my question is, have they all been pulled back in though again?

好的。偉大的。這很有幫助。然後可能是材料方面的一個。你談到了材料，本季度更好的訂單流。如果我回想上個季度，你提到有一些延期發貨。所以我的問題是，他們都被拉回來了嗎？

Yes. I think -- yes, thanks. That's a good question. So the way that -- to think about that is there has been some inventory management by some of the customers. We kind of talked about that last time. And what I could say is I think in the guidance that we're giving this quarter, that largely resolves itself. And then when you start to look forward, you should start seeing some modest improvement particularly as you think about some of the LTAs, long-term agreements, we have with customers and the dynamics of how that kind of kicks in going forward.

是的。我想——是的，謝謝。這是個好問題。因此，考慮到這一點，一些客戶進行了一些庫存管理。上次我們談到了這個。我可以說的是，我認為在我們本季度提供的指導中，這在很大程度上會自行解決。然後，當您開始展望未來時，您應該會開始看到一些適度的改進，特別是當您考慮一些長期協議、長期協議、我們與客戶之間的協議以及這種方式如何推動未來發展的動態時。

Our next question comes from Ambrish Srivastava with BMO.

我們的下一個問題來自 BMO 的 Ambrish Srivastava。

I had a question on the sequential growth, Gregg. If you look at the device auto -- the device companies that sell into the auto industry, we're seeing very large Q-over-Q increases, 40%, 50%. And some of those businesses -- as an example, TI is back to where it was a year ago. So I was just curious. Is it because of the composition of the Wolfspeed business that half is materials and obviously that has a much longer lead time before that turns into devices? Is that the primary reason? And also, is it fair to assume that the device side is -- has a pretty meaningful contribution from the RF side so that would explain that? Am I right in assuming those 2 factors in why the Q-over-Q growth in auto, you're not seeing the rebound that the, and I'll use that word, legacy auto companies are seeing?

Gregg，我對連續增長有疑問。如果你看一下設備汽車——向汽車行業銷售的設備公司，我們會看到非常大的 Q-over-Q 增長，40%、50%。其中一些業務——例如，TI 又回到了一年前的水平。所以我只是好奇。是不是因為 Wolfspeed 業務的構成，一半是材料，而且在轉化為設備之前顯然需要更長的交貨時間？這是主要原因嗎？而且，假設設備端——來自射頻端的貢獻非常有意義，這樣可以解釋這一點，這是否公平？我假設這兩個因素是正確的，為什麼汽車的 Q-over-Q 增長，你沒有看到傳統汽車公司看到的反彈，我會用這個詞嗎？

And then the second question is on the RF business. You talked about some kind of stabilization that you're seeing. So Huawei is out of the numbers. Where exactly are you seeing these -- are these new wins that you have with non-Huawei customers that are beginning to ramp? And if you could talk to that, please, that would be helpful.

第二個問題是關於射頻業務的。你談到了你所看到的某種穩定。因此，華為不在數量之列。您究竟在哪裡看到這些——您在非華為客戶中獲得的這些新勝利是否開始增加？如果你能和那個人談談，那會很有幫助。

Okay. So first, on the first question, just to kind of baseline things. Automotive is something less than 10% of the revenue of Wolfspeed. And so -- and that's even a year ago as well. So automotive was down, but we're not a substantial automotive -- it's not a substantial part of our revenue like it would be at a place like TI or to NXP or what have you, where they have a substantial footprint in automotive. So that's number one. Number two is our activity in automotive is all -- a lot of it is in design-ins that we won. We announced a couple of design-ins last year that are going into production in 2022, '23, '24. So I think that the near-term up and down in automotive doesn't have a dramatic swing either way for us. In terms of RF, there's a handful of non-Huawei customers that are out there. We're engaged with all of them, and we're winning -- we've got some wins in there as well. I can't give more color than that, but we're engaged with all of the non-Huawei RF manufacturers.

好的。所以首先，關於第一個問題，只是一些基線問題。汽車業務在 Wolfspeed 收入中的佔比不到 10%。所以——那也是一年前的事了。所以汽車行業下滑了，但我們不是一家重要的汽車公司——它不是我們收入的重要組成部分，就像 TI 或恩智浦這樣的地方，他們在汽車領域擁有大量足跡。所以這是第一名。第二是我們在汽車領域的所有活動——其中很多是我們贏得的設計插件。去年，我們宣布了幾款將於 2022 年、'23、'24 年投入生產的設計插件。所以我認為汽車行業的近期漲跌對我們來說都沒有劇烈的波動。在射頻方面，有少數非華為客戶。我們與他們所有人都合作，我們正在獲勝——我們也取得了一些勝利。我不能給出更多的顏色，但我們正在與所有非華為射頻製造商合作。

Our next question comes from the line of Edward Snyder with Charter Equity.

我們的下一個問題來自於特許股權的 Edward Snyder。

I'm sorry to kick it to death, but we talked a lot about design-ins and wins. Gregg, can you give us some clarification on that? I mean is that a firm PO? Or is that more like a frame agreement that tries to scale the opportunity for you depending on unit sales? Because it will make -- obviously makes a difference in terms of projecting onto revenue in the out periods and whether or not you can count on this. Or do you have to wait to see how the automotive sales play out? And then I had a follow-up on RF.

我很抱歉把它踢死，但我們談了很多關於設計和勝利的事情。 Gregg，你能給我們澄清一下嗎？我的意思是那是一個堅定的PO嗎？或者這更像是一個框架協議，試圖根據單位銷售額為你擴大機會？因為它會產生 - 顯然在預測結束期間的收入以及您是否可以指望這一點方面有所不同。還是您必須等著看汽車銷售情況如何？然後我對 RF 進行了跟進。

Yes. So the way it works is we have an opportunity pipeline where we're bidding on stuff, working with customers, et cetera. And when it moves to design-in, that's when the customer has made a decision and they've chosen us. And that can come in different kinds of forms. Typically, it's an award letter where they say, "Congratulations, you've been awarded this. Here is the projected volume. Here is the pricing that we've agreed to," and things like that. So they've made a decision that they're going with us. When it goes into production, we classify that as a design win. So you go from design-in to design win. And typically, in an automotive -- and that production is first. I think it's $1,000 of revenue that we get out of that. And so that's typically a lot closer to when they start ramping into production.

是的。所以它的工作方式是我們有一個機會管道，我們在其中競標，與客戶合作等等。當它轉向設計時，就是客戶做出決定並選擇我們的時候。這可以以不同的形式出現。通常，這是一封獎勵信，他們會說，“恭喜你，你被授予了這個。這是預計的數量。這是我們同意的定價”，諸如此類。所以他們決定和我們一起去。當它投入生產時，我們將其歸類為設計勝利。所以你從設計進入到設計獲勝。通常，在汽車中——生產是第一位的。我認為我們從中獲得了 1,000 美元的收入。因此，這通常更接近於他們開始投入生產的時間。

So there is some amount of leakage that happen from opportunity to design-in and design-in to design win. But we're very, very comfortable with the numbers that we have put in, the points that we've kind of put on the board, if you will, with the $400 million going to $600 million going to $700 million in design-ins that we have. And so it's a commitment from a customer. It's an agreement that they're going to go with us. And then from there, it's all about how is their end product viewed in the marketplace and how do they ramp.

因此，從機會到設計以及從設計到設計獲勝，都會發生一些洩漏。但是我們對我們輸入的數字非常非常滿意，如果你願意的話，我們已經把這些點放在了董事會上，4 億美元到 6 億美元到 7 億美元的設計投入我們有。所以這是客戶的承諾。這是他們要和我們一起去的協議。然後從那裡開始，一切都是關於他們的最終產品在市場上的看法以及他們如何發展。

Right. It's all excellent news. Cree is really rolling it up here, too. But this is a long way from actually top line growth for Cree primarily because you got to get the design-in and the other sort of shipping. And to be frank, the EV industry has got to solve the problem of people not wanting to buy these, especially BEVs, because a lot of the best-laid plans haven't shown up in actually unit volumes because of the profile of performance versus cost for most folks. Of course, there's several years and the incentive programs change over time. So I just want to make sure we had a crisp understanding.

正確的。這都是好消息。 Cree 也確實在這裡推出了它。但這距離 Cree 的實際收入增長還有很長的路要走，主要是因為你必須獲得設計和其他類型的運輸。坦率地說，電動汽車行業必須解決人們不想購買這些產品的問題，尤其是 BEV，因為由於性能與性能對比，許多精心設計的計劃並沒有出現在實際的單位銷量中。大多數人的成本。當然，有幾年的時間，激勵計劃會隨著時間的推移而變化。所以我只是想確保我們有一個清晰的理解。

And then on RF, I mean, outside of Huawei, ZTE is probably the only other big one shipping into China at this point. I expect you're shipping to them. Are you seeing increased competition? Because Sumitomo was a big funnel for Huawei. So when everybody got cut off, they kept shipping there. Huawei is now running into other problems with other components. They can't get to do these. Is Sumitomo starting to increase their competition in other areas as you've not seen before in the commercial? And then just as a marker here, is it fair to say that in terms of RF, your RF product, defense and aerospace is still markedly significantly larger than your commercial? Is that a fair statement?

然後在射頻方面，我的意思是，除了華為之外，中興通訊可能是目前唯一一家進入中國的大公司。我希望你正在運送給他們。您是否看到競爭加劇？因為住友對華為來說是一個很大的漏斗。所以當每個人都被切斷時，他們繼續在那裡運送。華為現在在其他組件方面遇到了其他問題。他們做不到這些。住友是否開始像您在廣告中從未見過的那樣在其他領域增加競爭？然後作為一個標記，公平地說，在射頻方面，你們的射頻產品、國防和航空航天仍然明顯比你們的商業大得多嗎？這是一個公平的說法嗎？

I don't have the exact numbers in front of me, but we have a very nice defense and aerospace business there. So it's going to be a pretty good portion of that RF business. And we see that as a really nice growth opportunity. I don't want to comment on Sumitomo as a competitor. They're a good company. They're a good competitor. I don't want to talk about them. But what I would say is we're engaged with the -- with ZTE and the other non-Huawei customers around the world, and we're beginning to see some pretty good traction.

我面前沒有確切的數字，但我們在那裡有一個非常好的國防和航空航天業務。因此，它將成為射頻業務的一個很好的部分。我們認為這是一個非常好的增長機會。我不想評論住友作為競爭對手。他們是一家很好的公司。他們是一個很好的競爭對手。我不想談論他們。但我想說的是，我們正在與中興通訊和世界各地的其他非華為客戶合作，我們開始看到一些相當不錯的牽引力。

And then, Ed, just to kind of flip back to your first part of the comment, the one thing that I would say is recall that we have a baseline of 5% adoption of EVs in our model. It's not a heroic assumption. And so I think most pundits out there feel like that's a pretty short put. So I hear what you're saying on the adoption rate, but we're not baking into the plan some heroic assumptions.

然後，Ed，回到你評論的第一部分，我想說的一件事是回想一下，我們的模型中有 5% 採用電動汽車的基線。這不是一個英雄的假設。所以我認為大多數專家都覺得這是一個相當短的推論。所以我聽到了你對採用率的看法，但我們並沒有在計劃中加入一些英勇的假設。

That concludes today's question-and-answer session. I'd like to turn the call back to Gregg Lowe for closing remarks.

今天的問答環節到此結束。我想把電話轉回給 Gregg Lowe 做結束語。

Well, thanks, everybody, for your interest in Cree, and we look forward to talking to you at our results call next quarter. Thank you.

好吧，謝謝大家對 Cree 的興趣，我們期待在下個季度的業績電話會議上與您交談。謝謝你。

Ladies and gentlemen, this concludes today's conference call. Thank you for participating. You may now disconnect.

女士們，先生們，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。