Wolfspeed Inc (WOLF) 2024 Q3 法說會逐字稿

Hello all and welcome to Wolfspeed's Third Quarter Fiscal 2024 Conference Call. My name is Lydia, and I will be your operator today. (Operator Instructions)

大家好，歡迎參加 Wolfspeed 2024 財年第三季電話會議。我叫莉迪亞，今天我將成為你們的接線生。 （操作員說明）

I'll now hand you over to Tyler Gronbach, Vice President, External Affairs, to begin. Please go ahead.

現在我將把您交給負責對外事務的副總裁泰勒·格隆巴赫（Tyler Gronbach）開始。請繼續。

Thank you, operator, and good afternoon, everyone. Welcome to Wolfspeed's Third Quarter Fiscal 2024 Conference Call. Today, Wolfspeed's CEO, Gregg Lowe; and Wolfspeed's CFO, Neill Reynolds, will report on the results for the third quarter of fiscal year 2024.

謝謝接線員，大家下午好。歡迎參加 Wolfspeed 2024 財年第三季電話會議。今天，Wolfspeed 的執行長 Gregg Lowe； Wolfspeed 的財務長 Neill Reynolds 將報告 2024 財年第三季的表現。

Please note that we will be presenting non-GAAP financial results during today's call, which we believe provides useful information to our investors. 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 in 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公佈非公認會計準則財務業績，我們相信這為我們的投資者提供了有用的信息。非 GAAP 結果不符合 GAAP，且可能無法與其他公司提供的非 GAAP 資訊進行比較。非公認會計原則資訊應被視為根據公認會計原則編制的財務報表的補充，而不是替代。我們的新聞稿中提供了與最直接可比較的公認會計準則衡量標準的對賬，並發佈在我們網站的投資者關係部分，以及其他關鍵指標的歷史摘要。

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.

今天的討論包括有關我們業務前景的前瞻性陳述，我們可能會在電話會議期間做出其他前瞻性陳述。此類前瞻性陳述面臨眾多風險和不確定性。我們今天的新聞稿和新聞稿中提到的 SEC 文件提到了可能導致實際結果出現重大差異的重要因素。

Last note, that all discussions today will be on a continuing operation basis. During the Q&A session, we would ask that you limit yourself to one question so that we can accommodate as many questions as possible during today's call. If you have any additional questions, please feel free to contact us after the call.

最後一點，今天的所有討論都將在持續營運的基礎上進行。在問答環節中，我們會要求您只提出一個問題，以便我們在今天的電話會議中能夠回答盡可能多的問題。如果您還有任何其他問題，請在通話後隨時與我們聯繫。

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

現在我想把電話轉給格雷格。

Thanks, Tyler, and good afternoon, everyone. Wolfspeed is the world's only pure-play vertically integrated silicon carbide company. 100% of our team's focus is to capitalize on the industry transition from traditional silicon to next-generation silicon carbide, helping customers deliver energy-efficient products to market and pursuing outsized returns for our investors. We have an unmatched manufacturing ecosystem with first-of-a-kind tools and automation that will allow us to scale our efforts as the electrification of key industry segments gains velocity.

謝謝泰勒，大家下午好。 Wolfspeed 是世界上唯一純粹的垂直整合碳化矽公司。我們團隊 100% 的重點是利用從傳統矽到下一代碳化矽的產業轉型，幫助客戶向市場提供節能產品，並為我們的投資者追求豐厚的回報。我們擁有無與倫比的製造生態系統，擁有一流的工具和自動化，這將使我們能夠隨著關鍵產業領域的電氣化速度而擴大我們的努力。

With that as a backdrop, I'd like to spend a few minutes covering 4 points. First, we believe the market is not fairly valuing the company, consistent with the technology and the business we have built or the strategic potential of the business. The management team and the Board of Directors are focused on this disconnect and routinely consider alternatives to enhance value for shareholders.

以此為背景，我想花幾分鐘談四點。首先，我們認為市場對公司的估值不符合我們所建立的技術和業務或業務的策略潛力。管理團隊和董事會關注這種脫節，並定期考慮提高股東價值的替代方案。

Second, driving better financial performance and value for shareholders by delivering on our near-term operational commitments for fiscal 2024 and 2025 is at the core of every decision we make. We are laser-focused on increasing the utilization at Mohawk Valley, and as I'll talk about in a few minutes, we are making solid progress there. We are also focused on bringing The JP online, where we are, likewise, making solid progress on that project.

其次，透過兌現 2024 財年和 2025 財年的近期營運承諾，為股東帶來更好的財務表現和價值，這是我們做出的每項決策的核心。我們專注於提高莫霍克谷的利用率，正如我將在幾分鐘後討論的那樣，我們正在那裡取得紮實的進展。我們也致力於將 The JP 上線，同樣，我們也在這個專案上取得紮實進展。

Third, our operational road map provides sufficient time to focus all of our efforts by making sure Mohawk Valley and the JP are on track before we move on to new project, which is not only good for investors, but for our customers who are also counting on us to meet our commitments. At this time, there are not any additional greenfield projects scheduled to launch until we demonstrate further progress on our existing project, and we expect to significantly reduce CapEx for fiscal 2025, ahead of receiving any grants or funding from the U.S. government.

第三，我們的營運路線圖提供了足夠的時間來集中我們所有的努力，確保莫霍克谷和 JP 在我們開始新項目之前走上正軌，這不僅有利於投資者，也有利於我們的客戶。必須履行我們的承諾。目前，在我們展示現有項目的進一步進展之前，沒有計劃啟動任何其他綠地項目，並且我們預計在獲得美國政府的任何贈款或資金之前，大幅減少 2025 財年的資本支出。

Finally, we are deliberately and effectively allocating capital. And let me be clear, our current operational performance and development road map does not currently contemplate raising dilutive capital that would lock us into a disadvantageous capital structure at this time, especially considering the disconnect between our current valuation and the leadership position we have built in the silicon carbide market. As stated previously, we are working closely with the commerce department and other government entities to secure CHIPS act and related funding to support our U.S.-based projects.

最後，我們正在謹慎有效地配置資本。讓我明確一點，我們目前的營運表現和發展路線圖目前並未考慮籌集稀釋資本，這將使我們目前陷入不利的資本結構，特別是考慮到我們目前的估值與我們建立的領導地位之間的脫節碳化矽市場。如前所述，我們正在與商務部和其他政府實體密切合作，以確保 CHIPS 法案和相關資金支持我們在美國的計畫。

Having laid out those points, let's move on to the specifics of Wolfspeed's performance over the past quarter, which we believe demonstrates the positive results of our operational focus and discipline despite the near-term headwinds in the industrial and energy demand.

闡述這些要點後，讓我們繼續討論 Wolfspeed 在過去一個季度的具體業績，我們相信這表明了我們的營運重點和紀律所取得的積極成果，儘管近期工業和能源需求面臨阻力。

We made strong progress at Mohawk Valley in the third quarter, more than doubling our revenue and delivering $28 million of product to customers from this fab. We are on track to achieve 20% wafer start utilization in Mohawk Valley by June of this year. And to give you a sense of the progress we're making as of April, we are already at more than 16% utilization based on wafer starts per week, making us extremely confident on our ability to achieve our target in June of 2024.

第三季度，我們在莫霍克谷取得了巨大進展，收入增加了一倍多，並從工廠向客戶交付了 2,800 萬美元的產品。我們預計在今年 6 月之前在莫霍克谷實現 20% 的晶圓開工利用率。為了讓您了解我們截至 4 月所取得的進展，根據每週晶圓開工量，我們的利用率已經超過 16%，這使我們對在 2024 年 6 月實現目標的能力充滿信心。

We've made great progress in optimizing factory tool integration and the operating flow is continuing to improve. Our die cost out of Mohawk Valley are better than the equivalent dies being produced in Durham, which is another sign of the progress we've made in the past year. I'm proud of our team for its strong focus on the Mohawk Valley ramp and its ability to hit each of the milestones we put in place a year ago.

我們在優化工廠工具整合方面取得了很大進展，操作流程也在不斷改進。我們莫霍克谷的模具成本優於達勒姆生產的同等模具，這是我們在過去一年的進步的另一個標誌。我為我們的團隊感到自豪，因為他們對莫霍克谷坡道的高度關注以及實現我們一年前設定的每一個里程碑的能力。

From a materials perspective, we are the largest producer of silicon carbide substrates in the world, driven by our Durham facility, which is consistently producing high-quality and high yielding 200-millimeter wafers out of Building 10.

從材料角度來看，我們是世界上最大的碳化矽基板生產商，這得益於我們位於達勒姆的工廠，該工廠在 10 號樓持續生產高品質和高產量的 200 毫米晶圓。

We are continuing to build inventory to support the ramp of the fab in New York. We already are at a high yield for automotive-grade MOSFET substrates on our 200-millimeter silicon carbide wafers, and are now confident that our Building 10 factory will be able to support at least 25% wafer starts in Mohawk Valley.

我們正在繼續建立庫存，以支持紐約晶圓廠的產能擴張。我們的 200 毫米碳化矽晶圓上的汽車級 MOSFET 基板已經實現了高良率，現在我們有信心我們的 Building 10 工廠將能夠支援莫霍克谷至少 25% 的晶圓開工。

Our leadership position in 200-millimeter materials will continue to expand with the construction of the JP, a game-changing facility that will significantly grow our materials capacity and support Mohawk Valley's annual $2 billion-plus revenue target.

隨著 JP 的建設，我們在 200 毫米材料領域的領先地位將繼續擴大，JP 是一個改變遊戲規則的設施，將顯著提高我們的材料產能，並支持莫霍克谷的年度 20 億美元以上收入目標。

Recently, we had the honor of hosting state and local officials, community partners and employees at a ceremony to celebrate the topping out of the construction at the JP. In attendance that day was U.S. Senator Thom Tillis, another ardent supporter and vocal advocate for Wolfspeed.

最近，我們很榮幸邀請州和地方官員、社區合作夥伴和員工參加慶祝 JP 建設封頂的儀式。當天出席會議的還有美國參議員 Thom Tillis，他是 Wolfspeed 的另一位熱情支持者和倡導者。

We have enjoyed significant support for our silicon carbide expansion from all levels of government since we announced our expansion plans in New York and in North Carolina, with visits from President Biden, Senator Schumer, Commerce Secretary Raimondo, Governor Cooper and Governor Hochul in the last 2 years. We appreciate their continued partnership and support as we build the world's largest silicon carbide ecosystem here in the United States.

自從我們宣佈在紐約和北卡羅來納州的擴張計劃以來，我們的碳化矽擴張得到了各級政府的大力支持，拜登總統、舒默參議員、商務部長雷蒙多、庫珀州長和霍赫爾州長去年都造訪了我們2年。我們感謝他們在我們在美國建立世界上最大的碳化矽生態系統時持續的合作夥伴關係和支持。

The JP will be instrumental in supplying high-quality 200-millimeter silicon carbide materials to our Mohawk Valley Fab. During the quarter, we started installing crystal growth furnaces and connected the facility to the power grid, 2 major accomplishments made possible by the diligence of our global expansion team and our general contractor, Whiting-Turner. Our teams have struck great partnership by applying the many lessons we learned from the ramp of our Durham materials facility in Building 10.

JP 將有助於向我們的莫霍克谷工廠供應高品質的 200 毫米碳化矽材料。在本季度，我們開始安裝晶體生長爐並將該設施連接到電網，這是我們的全球擴張團隊和總承包商 Whiting-Turner 的努力取得的兩項重大成就。我們的團隊透過應用從達勒姆 10 號樓材料工廠坡道上學到的許多經驗教訓，建立了良好的合作關係。

Looking ahead, we expect to begin powering up initial furnaces by the end of June, which will allow us to start qualifying furnaces in the September quarter, leading to initial boule production by the end of this calendar year. Construction has progressed incredibly well, and we are confident in our ability to meet these targets.

展望未來，我們預計將在 6 月底開始為初始熔爐通電，這將使我們能夠在 9 月季度啟動合格熔爐，從而在本日曆年年底前實現初始晶錠生產。建設進展非常順利，我們對實現這些目標的能力充滿信心。

As we mentioned last quarter, we continue to be a key supplier of silicon carbide substrates to the broader market, as evidenced by the 2 supply extensions that we announced in January. Our LTAs underscore the importance of our role as the leading provider of high-quality 150-millimeter substrates to the market, and we will continue to be an important partner to our customers in the years to come.

正如我們上季度提到的，我們仍然是更廣泛市場碳化矽基板的主要供應商，我們在一月份宣布的兩次供應擴展證明了這一點。我們的長期協議強調了我們作為市場領先的高品質 150 毫米基板供應商的重要性，並且我們將在未來幾年繼續成為客戶的重要合作夥伴。

We believe these agreements are an indicator of where the market for alternative sources of silicon carbide wafers currently stands. On 200-millimeter, we're focused on our internal needs around supplying Mohawk Valley, but remain in close contact with our customers to discuss potential 200-millimeter agreements.

我們相信這些協議是碳化矽晶圓替代來源市場目前狀況的一個指標。在 200 毫米方面，我們專注於供應莫霍克谷的內部需求，但仍與客戶保持密切聯繫，討論潛在的 200 毫米協議。

We've said it before and we'll say it again, silicon carbide is an incredibly complex technology that cannot be rushed or taken lightly. We know this from our 35-plus years of experience and leadership in the industry. Our high-quality substrate allow us to produce the highest quality MOSFET devices out of our Mohawk Valley Fab, where the ramp is progressing well.

我們之前已經說過，現在還會再說一遍，碳化矽是一項極其複雜的技術，不能操之過急或掉以輕心。我們從 35 多年的行業經驗和領導地位中深知這一點。我們的高品質基板使我們能夠在莫霍克谷工廠生產最高品質的 MOSFET 元件，該工廠的產能提升進展順利。

As I mentioned, Mohawk Valley generated $28 million of revenues this quarter, ahead of midpoint of our forecast and more than double last quarter's total of $12 million. Neill will give you more specific guidance on Mohawk Valley in a few minutes. But in general, we expect to continue our strong growth trajectory at the facility.

正如我所提到的，莫霍克谷本季實現了 2,800 萬美元的收入，超出了我們預測的中點，是上季 1,200 萬美元總收入的兩倍多。尼爾將在幾分鐘內為您提供有關莫霍克谷的更具體指導。但總的來說，我們預計該工廠將繼續保持強勁的成長軌跡。

As I said earlier, Mohawk Valley is anticipated to achieve 20% utilization this quarter. We also continue to make progress with Mohawk Valley product qualification in the quarter, completing 5 more product transfers, including 2 MOSFET die and 2 discrete MOSFETS.

正如我之前所說，莫霍克谷預計本季利用率將達到 20%。本季我們在莫霍克谷產品認證方面也持續取得進展，完成了另外 5 個產品轉移，包括 2 個 MOSFET 晶片和 2 個分離式 MOSFET。

While Mohawk Valley, which currently services almost entirely EV customers, is something the I&E market or industrial and energy market remains challenged and remains weaker than our original expectations, primarily due to inventory buildups across many end market channels predominantly in the Asian markets.

雖然莫霍克谷目前幾乎完全為電動車客戶提供服務，但工業和電氣市場或工業和能源市場仍然面臨挑戰，並且仍然弱於我們最初的預期，這主要是由於主要在亞洲市場的許多終端市場渠道的庫存累積。

We are responding by shifting I&E capacity both in Durham and Mohawk Valley towards EV. Our ability to shift our production from I&E to EV speaks to the flexibility that our business model provides us. However, this end market shift and change in product mix will have a short-term headwind on our gross margins, but it will position us well for fiscal 2025, as we could see the start of a recovery for the I&E demand at some point during this period.

我們的應對措施是將達勒姆和莫霍克谷的 I&E 產能轉向電動車。我們將生產從工業電氣轉向電動車的能力證明了我們的商業模式為我們提供的靈活性。然而，這種終端市場的轉變和產品結構的變化將對我們的毛利率產生短期阻力，但這將使我們在2025 財年處於有利地位，因為我們可能會看到I&E 需求在2025 財年的某個時候開始復甦。

Unlike I&E, we continue to see a ramp of EVs that have adopted our silicon carbide devices. While this is a disruptive time in industry, and we continue to see OEMs adjusting and modifying their near-term EV production plans, we remain substantially supply constrained for our silicon carbide devices. As demand remains well above our current supply, we can be nimble and shift much of our supply to other customers to accommodate for these near-term changes.

與工業和電氣不同，我們繼續看到越來越多的電動車採用我們的碳化矽設備。儘管這是該行業的顛覆性時期，並且我們繼續看到原始設備製造商調整和修改其近期電動車生產計劃，但我們的碳化矽設備的供應仍然受到嚴重限制。由於需求仍然遠高於我們目前的供應，我們可以靈活地將大部分供應轉移給其他客戶，以適應這些近期變化。

Underscoring this continued EV demand is our strong design-in and design-win performance this quarter. As a reminder, a design-in represents business we've been awarded which converts to a design-win once we begin ramping into initial production. This quarter, we achieved approximately $2.8 billion of design-ins, about 80% of which was for EV applications, marking our second highest total on record and totaling over $7 billion of design-ins for fiscal 2024.

我們本季強勁的設計導入和設計獲勝表現凸顯了這種持續的電動車需求。提醒一下，設計導入代表了我們獲得的業務，一旦我們開始投入初始生產，該業務就會轉化為設計勝利。本季度，我們實現了約 28 億美元的設計投入，其中約 80% 用於電動車應用，這是我們有史以來的第二高總設計投入，2024 財年的設計投入總額超過 70 億美元。

We're proud to announce that we had approximately $870 million of design wins in the third quarter. These design wins typically mature over the next 5 to 7 years, which provides ample revenue visibility for the foreseeable future. Our backlog of design wins now support more than 125 car models across more than 30 OEMs over the next 3 to 5 years.

我們很自豪地宣布，第三季我們贏得了約 8.7 億美元的設計勝利。這些設計勝利通常在未來 5 到 7 年內成熟，這為可預見的未來提供了充足的收入可見性。我們積壓的設計成果現已在未來 3 到 5 年內支援 30 多家 OEM 的超過 125 款車型。

As we continue to execute on our unprecedented greenfield expansion plans and serve the highest-quality silicon carbide materials and devices to a largely untapped market, we maintain our conviction in our strategy. Our strong design-in and design-win trajectories this year, notwithstanding the current gyrations of the EV market, gives us confidence in the future and the longevity of silicon carbide, and we look forward to continuing our momentum, particularly at Mohawk Valley, through the close of fiscal 2024 and beyond.

當我們繼續執行前所未有的綠地擴張計劃並向很大程度上尚未開發的市場提供最高品質的碳化矽材料和設備時，我們仍然對我們的策略充滿信心。儘管當前電動車市場出現波動，但我們今年強勁的設計導入和設計獲勝軌跡使我們對碳化矽的未來和壽命充滿信心，我們期待繼續保持我們的勢頭，特別是在莫霍克谷，通過2024 財年結束及以後。

Now I'd like to pass the call over to Neill to discuss our quarterly guidance.

現在我想將電話轉接給尼爾，討論我們的季度指導。

Thanks, Gregg. Before I go into the detailed financials and following up on Gregg's comments, I would like to frame up our current performance and how it aligns with our longer-term outlook.

謝謝，格雷格。在詳細介紹財務數據並跟進格雷格的評論之前，我想先介紹一下我們當前的業績以及它如何與我們的長期前景保持一致。

First, the company's long-term demand remains strong. We achieved another $2.8 billion of design-ins, our second highest quarter ever. Customers who have visited our new state-of-the-art manufacturing facilities and tested and used our products, compared them to rival products continue to choose Wolfspeed as their key supplier across both EV and industrial and energy device applications.

首先，公司長期需求依然強勁。我們又實現了 28 億美元的設計投入，這是我們有史以來第二高的季度。參觀過我們最先進的新製造設施並測試和使用我們的產品並將其與競爭對手的產品進行比較的客戶繼續選擇 Wolfspeed 作為他們在電動車、工業和能源設備應用領域的主要供應商。

In recent months, in materials, key customers such as Infineon and Rohm have come back to Wolfspeed for expansion of multiyear 150-millimeter wafer supply agreement. In addition, last year, after serving the materials landscape, Renesas selected Wolfspeed for a 10-year supply agreement, including 200-millimeter substrates that included a $2 billion capacity reservation deposit, what we believe is the largest CRD in the history of semiconductors.

近幾個月來，在材料方面，英飛凌和羅姆等主要客戶已重返Wolfspeed，以擴大多年150毫米晶圓供應協議。此外，去年，在服務於材料領域之後，瑞薩電子選擇了Wolfspeed 簽訂為期10 年的供應協議，其中包括200 毫米基板，其中包括20 億美元的產能預留押金，我們認為這是半導體歷史上最大的CRD。

Secondly, our operating execution has significantly improved during the last 12 months. One year ago, we delivered a revised ramp schedule for 200-millimeter wafer production out of our Durham campus in Mohawk Valley. Since then, we have achieved every one of those announced milestones, which will culminate in 20% utilization in June 2024.

其次，我們的營運執行力在過去 12 個月中顯著改善。一年前，我們為莫霍克谷達勒姆園區的 200 毫米晶圓生產制定了修訂後的產能計畫。從那時起，我們已經實現了所有宣布的里程碑，最終將在 2024 年 6 月實現 20% 的利用率。

We have also had best-in-class performance from our materials operation, generating revenue at or above our guidance in that time frame, including $99 million this past quarter, our second highest quarter ever.

我們的材料業務也取得了一流的業績，在該時間範圍內產生的收入等於或高於我們的指導，包括上個季度的 9,900 萬美元，這是我們有史以來第二高的季度。

Let me walk through a few facts related to our 200-millimeter ramp. Die costs from our 200-millimeter substrate at Mohawk Valley, even including the full burden of Mohawk Valley fab underutilization, which was $30.4 million in Q3 is now lower than that of the same product produced out of our Durham fab at 150-millimeter. We expect this cost reduction to accelerate as we continue to ramp the fab.

讓我來介紹一下與 200 毫米坡道相關的一些事實。我們位於莫霍克谷的200 毫米基板的晶片成本，甚至包括莫霍克谷晶圓廠未充分利用的全部負擔（第三季為3040 萬美元），現在也低於我們達勒姆晶圓廠150 毫米晶圓廠生產的相同產品的成本。我們預計，隨著我們繼續擴大晶圓廠規模，成本下降將會加速。

The Mohawk Valley device unit cost performance has been driven by breakthroughs in both yields and cycle times, that we are continuing to see improve as we transition into the current quarter.

莫霍克谷設備的單位成本績效是由產量和週期時間的突破推動的，隨著我們過渡到本季度，我們將繼續看到這一點的改善。

Next, MOSFETs continues to have very strong qualification success in Mohawk Valley, and our back-end testing and packaging operation has performed very well, with no substantial issues and continues to perform well at higher levels of utilization.

接下來，MOSFET 在莫霍克谷繼續取得非常強勁的資格認證，我們的後端測試和封裝操作表現非常好，沒有出現任何實質性問題，並且在更高的利用率水平上繼續表現良好。

Please keep in mind, these results are in new material substrate, in a new fab, at a new diameter with tools seeing this technology for the very first time. In addition, this was achieved as we completed the sale of our RF business last year, the third carve-out divestiture for the last 5 years that has transformed our business and will allow us to remain focused on executing on our capacity ramps in both power devices and materials. Our team is executing very well.

請記住，這些結果是在新材料基板、新工廠、新直徑以及首次看到該技術的工具中獲得的。此外，我們去年完成了射頻業務的出售，這是過去5 年來的第三次剝離剝離，這改變了我們的業務，並使我們能夠繼續專注於執行兩個電源領域的產能提升，從而實現了這一目標。我們的團隊執行得非常好。

Next, we remain sharply focused on optimizing our funding and capital allocation strategy. And with our current financing facilities and finance partners, we expect to maintain a cash position greater than $1 billion for the foreseeable future.

接下來，我們仍然專注於優化我們的融資和資本配置策略。憑藉我們目前的融資設施和金融合作夥伴，我們預計在可預見的未來將保持超過 10 億美元的現金部位。

From a financing perspective, we have delivered on our plan. In November 2022, we told you we wanted to raise between $4 billion and $5 billion over the next few years. Eight months later, we had executed on $5 billion of low dilution funding from a combination of public markets, private markets, customers and governments. This allowed us to end March quarter with over $2.5 billion of cash and liquidity on the balance sheet. Including the final draw of our Renesas customer deposit, we now anticipate ending fiscal 2024 with approximately $2.2 billion to $2.4 billion of cash and liquidity.

從融資的角度來看，我們已經實現了我們的計劃。 2022 年 11 月，我們告訴您我們希望在未來幾年籌集 40 億至 50 億美元。八個月後，我們從公開市場、私人市場、客戶和政府的聯合資金中籌集了 50 億美元的低稀釋度資金。這使得我們在 3 月季度末的資產負債表上擁有超過 25 億美元的現金和流動性。包括瑞薩電子客戶存款的最終提取在內，我們現在預計到 2024 財年結束時將擁有約 22 億至 24 億美元的現金和流動性。

Looking at CapEx, we expect to spend approximately $2 billion in fiscal 2024, our peak year, consistent with the guidance we communicated last year. This includes $2.2 billion of gross CapEx, offset by approximately $200 million of government incentives in fiscal 2024.

就資本支出而言，我們預計在 2024 財年（我們的高峰年）支出約 20 億美元，這與我們去年傳達的指導一致。其中包括 22 億美元的資本支出總額，被 2024 財年約 2 億美元的政府獎勵措施所抵銷。

In fiscal 2025, we expect a substantial reduction in gross CapEx of about $600 million to $800 million, resulting in approximately $1.4 billion to $1.6 billion of gross CapEx. This CapEx is primarily focused on the JP and Mohawk Valley and does not include any CapEx for the new greenfield facility. We will not begin another greenfield facility expansion until we have achieved our cash flow objectives from our facilities in the U.S., government funding meets our minimum requirements and liquidity and financing plans are clearly in place.

到 2025 財年，我們預計總資本支出將大幅減少約 6 億至 8 億美元，使總資本支出減少約 14 億至 16 億美元。此資本支出主要集中在 JP 和莫霍克谷，不包括新綠地設施的任何資本支出。在我們實現美國工廠的現金流目標、政府資金滿足我們的最低要求並且流動性和融資計劃明確到位之前，我們不會開始另一場綠地工廠擴建。

The $1.4 billion to $1.6 billion of fiscal 2025 CapEx also does not include potential government incentives, grants and subsidies that would further lower this CapEx number and potentially be received within fiscal 2025. We continue to work with the CHIPS Program Office, and this remains a key focus. To date, our interactions with the CHIPS Office have been very constructive, and we look forward to completing our work with them in the near future.

2025 財年14 億至16 億美元的資本支出也不包括潛在的政府激勵措施、贈款和補貼，這些措施將進一步降低這一資本支出數字，並可能在2025 財年內收到。 CHIPS 計畫辦公室合作，這仍然是一個關鍵焦點。到目前為止，我們與 CHIPS 辦公室的互動非常有建設性，我們期待在不久的將來完成與他們的合作。

Depending on the timing of when these incentive payments are approved and then funded, it will be very important for the company to maintain flexibility on the financing front. This may include some interim financing under current financing facilities or otherwise, that would allow us to enhance our balance sheet and cash position as we proceed with the Siler City construction and add more tools in the Mohawk Valley Fab.

根據這些激勵付款獲得批准和資助的時間，公司在融資方面保持靈活性非常重要。這可能包括當前融資設施下的一些臨時融資或其他融資，這將使我們能夠在繼續進行錫勒城建設並在莫霍克谷工廠添加更多工具時增強我們的資產負債表和現金狀況。

To be clear, as Gregg stated earlier, we do not anticipate interim financing, should we decide to execute it, to be dilutive or lock us into a disadvantageous capital structure. In addition, we expect the initial phase of the JP facility to be largely complete by the end of calendar 2024, closing out the vast majority of our fixed facility spend. At that point, our CapEx will be much more flexible and variable, as we will be able to modulate how we invest in tools capacity to match our demand outlook.

需要明確的是，正如格雷格之前所說，如果我們決定執行臨時融資，我們預計不會稀釋或將我們陷入不利的資本結構。此外，我們預計 JP 設施的初始階段將在 2024 年底前基本完成，從而結束我們絕大多數的固定設施支出。到那時，我們的資本支出將更加靈活和可變，因為我們將能夠調整對工具能力的投資方式，以適應我們的需求前景。

From a business performance standpoint, we are targeting to achieve positive EBITDA exiting fiscal year 2025 and operating cash flow breakeven shortly after that. Given that outlook and the number of liquidity options that are at our disposal, we expect to maintain a minimum cash balance greater than $1 billion for the foreseeable future, and we will continue to evaluate that need as we complete our U.S. facility expansion plan and transition to positive EBITDA and operating cash flow.

從業務績效的角度來看，我們的目標是在 2025 財年實現正 EBITDA，並在不久後實現營運現金流盈虧平衡。考慮到這一前景以及我們可以使用的流動性選擇數量，我們預計在可預見的未來保持至少超過10 億美元的現金餘額，並且在完成我們的美國設施擴張計劃和過渡時，我們將繼續評估這一需求積極的 EBITDA 和經營現金流。

Looking ahead, we believe the current U.S. capacity expansions can generate approximately $3 billion in annual revenue with greater than 40% EBITDA margins. We remain confident in our long-range financial targets. As the underlying economics, we are seeing so far for Mohawk Valley and Building 10 demonstrate that our purpose-built, vertically integrated greenfield approach to capacity expansion will generate strong revenue and profitability.

展望未來，我們相信目前美國產能擴張可產生約 30 億美元的年收入，且 EBITDA 利潤率超過 40%。我們對我們的長期財務目標仍然充滿信心。作為基礎經濟學，我們迄今為止看到莫霍克谷和 10 號大樓表明，我們專門建造的、垂直整合的綠地產能擴張方法將產生強勁的收入和盈利能力。

In combination with the JP, Mohawk Valley will be able to produce more than $2 billion of device revenue, in addition to the $400 million of device capacity currently installed in our Durham device app. In addition, with the JP online, we have the potential to grow the material substrate business to greater than $600 million. Lastly, short-term revenue and gross margins are being impacted by slower industrial and energy markets.

與 JP 合併後，除了我們達勒姆設備應用程式中目前安裝的 4 億美元設備容量之外，莫霍克谷還將能夠產生超過 20 億美元的設備收入。此外，透過 JP 上線，我們有潛力將材料基板業務成長至超過 6 億美元。最後，短期收入和毛利率受到工業和能源市場放緩的影響。

In the short term, we are pivoting our available capacity to EV products, where EV product demand continues to outstrip our available capacity to serve that demand. The outcome of this will be more muted revenue growth and low gross margin for the next few quarters. As Gregg mentioned earlier, it positions us for any potential recovery in I&E, most importantly, it does not impact our longer-term plans to achieve our revenue and EBITDA targets.

短期內，我們正在將可用產能轉向電動車產品，而電動車產品的需求繼續超過我們滿足該需求的可用產能。其結果將是未來幾季的營收成長更加疲軟，毛利率較低。正如 Gregg 之前提到的，它使我們能夠應對 I&E 的任何潛在復甦，最重要的是，它不會影響我們實現收入和 EBITDA 目標的長期計劃。

We believe that it will be at least the second half of this calendar year before we see inventory levels return to normal. But as we said last quarter, much of the product we had already produced and slated to ship at the match elsewhere in our pipeline. And we are continuing to work to find the best match for that inventory now.

我們相信，至少要到今年下半年，我們才能看到庫存水準恢復正常。但正如我們上季度所說，我們已經生產了大部分產品，並計劃在我們管道的其他地方運送到比賽中。我們現在正在繼續努力尋找最適合該庫存的產品。

I would now like to shift to our quarterly performance. As a reminder, before we discuss Q3 performance, all results reported today will be on a continuing operations basis and exclude the impact of our divested RF business in our results. We generated $201 million of revenue for the quarter, a decline of 4% sequentially, an increase of 4% year-over-year. We generated power revenue of $102 million. These results were largely driven by the $28 million of revenue contribution from Mohawk Valley, and offset by persistent weakness in our industrial and energy markets, particularly across Asia.

我現在想談談我們的季度業績。提醒一下，在我們討論第三季業績之前，今天報告的所有業績都將基於持續經營業務，並排除我們剝離的射頻業務對業績的影響。本季我們實現了 2.01 億美元的收入，季減 4%，年增 4%。我們產生了 1.02 億美元的電力收入。這些業績主要得益於莫霍克谷 2800 萬美元的收入貢獻，並被我們的工業和能源市場（尤其是整個亞洲）的持續疲軟所抵消。

We continue to see growth from our EV customers, as EV device revenue increased approximately 48% year-over-year. As I mentioned earlier, we posted materials revenue of $99 million, our second highest quarter ever. This strong performance was driven by better-than-expected yields and output on 150-millimeter wafers.

我們繼續看到電動車客戶的成長，電動車設備收入年增約 48%。正如我之前提到的，我們公佈的材料收入為 9900 萬美元，是我們有史以來第二高的季度。這種強勁的業績得益於 150 毫米晶圓的良率和產量優於預期。

Non-GAAP gross margin in the third quarter was 15%. As I mentioned previously, unit costs at Mohawk Valley continued to improve, driven by increasing yields and lower cycle times as we ramp the fab. However, in the short term, as demand shifts away from I&E, we will see an impact on revenue and gross margin. We will shift as much production capacity as possible to EV products in the near term, the same underlying production will not generate an equivalent revenue or gross margin results. We anticipate this to be the case until we start to see a recovery in I&E markets in the first half of calendar year 2025. This does not, however, change our view that I&E products will be a substantial and important part of our product portfolio and capacity investment over the longer term.

第三季非 GAAP 毛利率為 15%。正如我之前提到的，隨著晶圓廠產能的增加和週期時間的縮短，莫霍克谷的單位成本持續改善。然而，短期內，隨著需求從工業和娛樂領域轉移，我們將看到對收入和毛利率的影響。我們將在短期內將盡可能多的產能轉向電動車產品，相同的基礎生產不會產生同等的收入或毛利率結果。我們預計這種情況會持續到 2025 年上半年我們開始看到 I&E 市場復甦為止。

Our adjusted EPS of negative $0.62 was just above the midpoint of our guidance. Our EPS, in addition to the underutilization costs mentioned above, also included the impact of $14.4 million of factory start-up costs related to the construction of the JP and our materials expansion efforts.

調整後每股收益為負 0.62 美元，略高於我們指引值的中點。除了上述未充分利用的成本外，我們的每股盈餘還包括與 JP 建設和材料擴張工作相關的 1,440 萬美元工廠啟動成本的影響。

Now on to our balance sheet. We ended the quarter with over $2.5 billion of cash and liquidity on hand to support our facility ramps and growth plans. DSO was 36 days, while inventory on hand was 213 days. Free cash flow during the quarter was negative $616 million, comprised of negative $136 million of operating cash flow and $480 million of capital expenditures.

現在來看我們的資產負債表。本季結束時，我們手頭上有超過 25 億美元的現金和流動資金來支持我們的設施擴建和成長計畫。 DSO 為 36 天，而現有庫存為 213 天。本季自由現金流為負 6.16 億美元，其中營運現金流為負 1.36 億美元，資本支出為負 4.8 億美元。

Moving on to our guidance in the fourth quarter of fiscal 2024. We expect revenue from continuing operations of $185 million to $215 million. To give a bit more of a specific breakdown on our revenue expectations for the fourth quarter, we expect materials to be approximately $90 million to $95 million, consistent with our prior outlook.

接下來是我們 2024 財年第四季的指引。為了更具體地說明我們第四季的收入預期，我們預計材料成本約為 9,000 萬至 9,500 萬美元，這與我們先前的預期一致。

Mohawk Valley to contribute $40 million to $50 million of revenue in the quarter, up more than 60% from prior quarter at the midpoint, and revenue contribution from power devices in our Durham Fab to be down to approximately from $55 million to $70 million, down from $106 million in the prior year period. Also embedded in our guidance is a significant shift of our product mix in Durham, from I&E to EV, as I mentioned earlier.

莫霍克谷本季中點將貢獻4,000 萬至5,000 萬美元的收入，比上一季中點成長60% 以上，達勒姆工廠功率元件的收入貢獻將從5,500 萬美元至7,000 萬美元下降至約5,500 萬美元至7,000 萬美元。正如我之前提到的，我們的指導方針還包括我們在達勒姆的產品組合從 I&E 到 EV 的重大轉變。

As Gregg mentioned earlier, we had a strong quarter in Mohawk Valley, and we have a clear trajectory towards 20% utilization at Mohawk Valley by the fiscal year-end. However, as we stated previously, that does not entail a 20% revenue contribution in the June quarter due to the time needed to run through our full production cycle.

正如 Gregg 之前提到的，我們在莫霍克谷度過了一個強勁的季度，我們有明確的軌跡，到本財年末莫霍克谷的利用率將達到 20%。然而，正如我們之前所說，由於我們需要時間來運行整個生產週期，因此這並不需要在 6 月季度貢獻 20% 的收入。

We expect non-GAAP gross margins of 8% to 16%, with a midpoint of 12%. At the midpoint, this includes $29 million or 1,450 basis points of underutilization. We expect non-GAAP operating expenses of approximately $119 million, inclusive of $20 million of start-up costs related to the JP.

我們預期非 GAAP 毛利率為 8% 至 16%，中位數為 12%。中間值包括 2,900 萬美元或 1,450 個基點的未充分利用。我們預計非 GAAP 營運費用約為 1.19 億美元，其中包括與 JP 相關的 2,000 萬美元啟動成本。

As a reminder, as Mohawk Valley Fab utilization increases and the JP starts to come online, we will start to see incrementally less underutilization, but incrementally more start-up costs, which hit different lines of our P&L.

提醒一下，隨著莫霍克谷晶圓廠利用率的提高以及 JP 開始上線，我們將開始看到利用率不足的情況逐漸減少，但啟動成本卻逐漸增加，這會影響我們損益表的不同項目。

Net nonoperating expenses will be roughly $34 million for the fourth quarter. And as a result, we expect non-GAAP net loss between $109 million and $91 million.

第四季的淨非營運支出約為 3,400 萬美元。因此，我們預期非 GAAP 淨虧損在 1.09 億美元至 9,100 萬美元之間。

Before I turn it back to Gregg for closing comments, I'd like to highlight again that our plan to be a leading provider of silicon carbide solutions to the market is on track and gaining velocity. We believe this because long-term demand remains robust. Operating execution is improving. Our balance sheet remains strong, supported by a multifaceted financing plan, and we expect to maintain a cash position of greater than $1 billion. The U.S. capacity expansion can generate strong financial returns, and pivoting to more EV device production now positions the company for future I&E recovery.

在我將其轉回格雷格進行結束評論之前，我想再次強調，我們成為市場碳化矽解決方案領先供應商的計劃正在步入正軌並正在加速推進。我們相信這一點是因為長期需求仍然強勁。經營執行力不斷提升。在多方面融資計畫的支持下，我們的資產負債表依然強勁，我們預期現金部位將維持在 10 億美元以上。美國的產能擴張可以產生強勁的財務回報，現在轉向更多的電動車設備生產為該公司未來的工業和電氣復甦奠定了基礎。

Gregg, I'll hand it back over to you.

格雷格，我會把它還給你。

Thanks, Neill. As we continue to pioneer 200-millimeter silicon carbide and embark on our capacity expansion plan, we maintain conviction in our strategy. Progress is never a straight line, and we've said that there will be peaks and valleys, sometimes at the same time in different areas of our business, exactly like we are seeing today. That said, the numbers demonstrate progress on execution. But of course, there is more work to be done.

謝謝，尼爾。隨著我們繼續開拓 200 毫米碳化矽並開始實施產能擴張計劃，我們對我們的策略保持堅定的信念。進步從來都不是一條直線，我們說過，有時在我們業務的不同領域會同時出現高峰和低谷，就像我們今天所看到的那樣。也就是說，這些數字顯示了執行方面的進展。但當然，還有更多工作要做。

I'm proud that our team has continued to execute well in an environment where many of our analog peers are seeing substantial sequential and year-over-year declines in revenue. Forward-looking indicators point to continued outperformance as corroborated by our strong design-ins, which reaffirms our market-leading position and the strong demand for Wolfspeed's silicon carbide products.

我感到自豪的是，我們的團隊在許多模擬同業收入連續和同比大幅下降的環境中繼續表現良好。前瞻性指標表明我們將繼續表現出色，這一點得到了我們強大的設計的證實，這再次證實了我們的市場領先地位以及對 Wolfspeed 碳化矽產品的強勁需求。

Mohawk Valley will be the flywheel of growth for Wolfspeed, and that ramp is underway. This continued progress of the Mohawk Valley and JP ramps will position us ahead of our competition, by further enhancing our lead as the world's only pure-play fully vertically integrated 200-millimeter silicon carbide company at scale.

莫霍克谷將成為 Wolfspeed 成長的飛輪，而且這一成長正在進行中。莫霍克谷和 JP 坡道的持續進展將使我們在競爭中處於領先地位，進一步增強我們作為世界上唯一一家大規模純垂直一體化 200 毫米碳化矽公司的領先地位。

From a macro standpoint, our view of long-term demand is unwavering despite short-term noise. The transition from the internal combustion engine to EVs is the most disruptive change in the history of the automobile. And it will be a bumpy and turbulent transition for the traditional OEMs as well as the new EV entrants. But the transition from internal combustion to EV will continue.

從宏觀角度來看，儘管存在短期噪音，但我們對長期需求的看法卻堅定不移。從內燃機到電動車的轉變是汽車歷史上最具顛覆性的變化。對於傳統原始設備製造商以及新的電動車進入者來說，這將是一個坎坷且動蕩的過渡。但從內燃機到電動車的轉變仍將持續。

Nowhere is this more apparent than in China. I recently visited some of our customers in China as well as many new car showrooms, and it is very clear to me that the Chinese OEMs are using this transition to try to become the dominant player in the EV market. Based on my personal observation, the quality of the vehicles and the innovative approaches they are using with their new models, this is a legitimate threat that the traditional OEMs need to navigate.

這一點在中國最為明顯。我最近拜訪了我們在中國的一些客戶以及許多新車展廳，我很清楚，中國整車廠正在利用這一轉變，試圖成為電動車市場的主導者。根據我個人的觀察、車輛的品質以及他們在新車型上使用的創新方法，這是傳統原始設備製造商需要應對的合理威脅。

The EV sector has recognized a profound impact silicon carbide can have in making cars more energy efficient. It helps reduce the system size, reduce energy consumption and drive an overall system savings when compared to traditional silicon. Using silicon carbide increases the range and decreases the charge time for EVs. It is now the standard for new EV models coming to the market.

電動車產業已經認識到碳化矽可以對提高汽車能源效率產生深遠影響。與傳統晶片相比，它有助於縮小系統尺寸、降低能耗並推動整個系統的節省。使用碳化矽可以增加電動車的續航里程並縮短充電時間。現在它已成為上市新電動車車型的標準。

As the world electrifies on the existing power grid, other industries are starting to recognize the need for greater energy efficiency as well. This trend is reflected in many of the design-ins we have secured in the last few years. For applications, including wireless EV charging, energy storage, cryptocurrency mining, AI servers, and heavy-duty mining equipment, despite the short-term correction in the I&E market, the future holds a vast potential.

隨著世界在現有電網上實現電氣化，其他產業也開始意識到提高能源效率的必要性。這種趨勢反映在我們過去幾年獲得的許多設計中。對於電動車無線充電、儲能、加密貨幣挖礦、人工智慧伺服器和重型採礦設備等應用，儘管I&E市場出現短期調整，但未來潛力巨大。

We currently have more than $4.7 billion of design-ins for the industrial and energy applications, representing more than 6,000 opportunities ramping in the next several years. We see even further potential coming from industrial segments as the electrification of all things continues across a broad set of applications and as such, are undeterred by the short-term fluctuations in demand.

目前，我們在工業和能源應用方面的設計投入超過 47 億美元，代表未來幾年將出現的 6,000 多個機會。我們看到工業領域有更大的潛力，因為所有事物的電氣化在廣泛的應用中繼續進行，因此，不會受到短期需求波動的影響。

I understand that our story has many moving pieces as we continue to ramp our capacity and fund our future. We believe our current stock price does not reflect the true value of the company, and we are working very hard to change that. And I believe this is possible for the following reasons.

我知道，隨著我們不斷提高產能並為未來提供資金，我們的故事中有許多感人的故事。我們相信我們目前的股價並不能反映公司的真實價值，我們正在努力改變這一點。我相信這是可能的，原因如下。

First, Mohawk Valley is producing high-quality devices and Building 10 is producing high volume of 200-millimeter automotive-grade wafers. And we are on track to hit the 20% wafer start utilization goal by June. Our die cost out of Mohawk Valley are better than the equivalent dies being produced out of Durham, and we are at a very high yield for automotive grade MOSFET substrates on our 200-millimeter silicon carbide wafers.

首先，Mohawk Valley 正在生產高品質的裝置，而 Building 10 正在大量生產 200 毫米汽車級晶圓。我們預計在 6 月之前實現 20% 的晶圓開工利用率目標。我們在莫霍克谷生產的晶片成本比在達勒姆生產的同等晶片要好，而且我們的 200 毫米碳化矽晶圓上的汽車級 MOSFET 襯底的產量非常高。

Next, we are almost past the peak capital investment period for the business. At the same time, we expect to secure government funding and tax incentives that will allow us to complete the construction of the world's largest 200-millimeter silicon carbide capacity footprint. We continue to optimize our capital structure going forward with a keen focus on delivering outsized returns for our investors.

接下來，我們幾乎已經過了業務的資本投資高峰期。同時，我們期望獲得政府資金和稅收優惠，使我們能夠完成全球最大的200毫米碳化矽產能足跡的建設。我們將繼續優化我們的資本結構，專注於為投資者提供超額回報。

Finally, our value proposition is as strong as it's ever been since I joined the company 7 years ago. We are the first company in the world to produce 200-millimeter silicon carbide wafers and devices from those substrates. We have more than $25 billion of design-ins, and we are the world's largest supplier of silicon carbide materials to the market.

最後，當自我 7 年前加入公司以來，我們的價值主張一如既往地強大。我們是世界上第一家使用這些基材生產 200 毫米碳化矽晶圓和裝置的公司。我們擁有超過 250 億美元的設計投入，並且是全球最大的碳化矽材料市場供應商。

Leading the silicon carbide revolution is a formidable task. And at Wolfspeed, we tackle it with focus and intent. We are executing, making good progress and are well on our way to achieving the targets that we've previously communicated. Thank you for your continued support of Wolfspeed.

引領碳化矽革命是一項艱鉅的任務。在 Wolfspeed，我們專注並有目的地解決這個問題。我們正在執行，取得了良好進展，並且順利實現我們之前傳達的目標。感謝您對 Wolfspeed 的持續支持。

Operator, we're now ready to open up for Q&A.

接線員，我們現在準備開始問答。

(Operator Instructions) Our first question comes from George Gianarikas of Canaccord Genuity.

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

Just sort of a higher level one. There's significant concern in the marketplace about the Chinese, both from a materials and device perspective, particularly as they appear to be aggressively ramping capacity. Can you help us put that into context, how concerned are you about their material and about their devices? Have you seen any impact yet? And how can we get comfortable that there won't be a significant P&L impact over the next few years?

只是一種更高等級的。從材料和設備的角度來看，市場對中國人非常擔憂，特別是因為他們似乎正在積極提高產能。您能否幫助我們了解您對他們的材料和設備的關注程度？您看到任何影響了嗎？我們如何放心，未來幾年不會對損益產生重大影響？

Yes. Thanks, George. A couple of -- I'll start off on the substrate side of things. The -- I would say the new design wins is kind of all over the place. You hear that they're far behind in terms of high-quality, high automotive-grade substrates. They're definitely investing. And I would say from a 150 perspective, probably making -- the word is that they're making some progress. And then at 200-millimeter seems to be much further off.

是的。謝謝，喬治。有幾個——我將從底層開始。我想說的是，新設計的勝利無所不在。你聽說他們在高品質、高汽車級基材方面遠遠落後。他們肯定是在投資。我想說，從 150 的角度來看，可能是——據說他們正在取得一些進展。然後在 200 毫米似乎還很遙遠。

It's hard for us to totally judge because it's a lot of speculation out there. I did visit China, as I mentioned a couple of weeks ago, and I would say the conviction that there's going to be a pretty good supply of high-quality, high-volume substrates was not strong.

我們很難完全做出判斷，因為有很多猜測。正如我幾週前提到的那樣，我確實訪問了中國，我想說的是，人們對高品質、大批量基材的供應的信心並不強烈。

And, I guess, the best fact that I can say is we've just renewed 2 supply agreements -- or extended 2 supply agreements with 2 of our long-term customers for wafers and substrates at 150-millimeter. Those were a half a decade extension. So, I guess, that points to the fact that maybe there's not some conviction along that lines as well.

而且，我想，我能說的最好的事實是，我們剛剛與我們的 2 個長期客戶續簽了 2 份供應協議，或者延長了 2 份 150 毫米晶圓和基板的供應協議。那是五年的延長。所以，我想，這顯示了這樣一個事實：也許也沒有這樣的信念。

I'm not trying to say we're not worried about that. We obviously understand that there's a lot of investment going on there. But it seems like from a VAC perspective, there's still some ways to go for the Chinese to catch up with both the quality and the quantity of automotive-grade substrates.

我並不是想說我們不擔心這一點。我們顯然知道那裡正在進行大量投資。但從VAC的角度來看，中國人要在汽車級基板的品質和數量上趕上還有很長的路要走。

From a device perspective, I think they're further off than that as well.

從設備的角度來看，我認為它們也比這更遠。

Our next question comes from Brian Lee of Goldman Sachs.

我們的下一個問題來自高盛的布萊恩李。

I guess, maybe as a bit of a follow-up to George's question. More focused on the device side. Gregg, can you give us a sense of what you're seeing on market share trends? It seems like there has been some movement in commentary among some of your peers in the device market. Are you seeing any market share impact as you're unable to meet shorter-term supply needs? Maybe if you could address that, just what you're seeing and hearing from customers?

我想，也許可以作為喬治問題的後續行動。更專注於設備端。 Gregg，您能為我們介紹一下您所看到的市佔率趨勢嗎？設備市場的一些同行的評論似乎發生了一些變化。由於無法滿足短期供應需求，您是否發現市場佔有率受到影響？也許您可以解決這個問題，看看您從客戶那裡看到和聽到的是什麼？

And then on the -- separately on the outlook for Durham device revenue. I mean, this has been a little bit of a thorn in your side for the past several quarters. How much of your outlook here for Durham is still levered to I&E? And do you believe that's now fully troughing here? Could we continue to see headwinds from that end market? And then if so, kind of what's sort of the time frame for seeing some of that pick back up?

然後分別討論達勒姆設備收入的前景。我的意思是，在過去的幾個季度裡，這一直是你的眼中釘。您對達勒姆的前景有多少仍然依賴 I&E？你相信現在已經完全陷入低谷了嗎？我們會繼續看到來自終端市場的阻力嗎？如果是這樣，那麼看到其中一些回升的時間範圍是多少？

Thanks for the question, Brian. I'll take the first one, maybe Neill can tackle the second one. We just posted our second highest design-in in our history of $2.8 billion, 80% of which is for EVs. So I think that's obviously a pretty good sign of continued progress.

謝謝你的提問，布萊恩。我會選擇第一個，也許尼爾可以解決第二個。我們剛剛公佈了史上第二高的設計投資金額，達 28 億美元，其中 80% 用於電動車。所以我認為這顯然是持續進步的一個很好的跡象。

At the midpoint of our guidance for our automotive or EV business, we're going to be up, I think, in the order of 48% year-on-year and also at the midpoint of the guidance for EVs, our EV business will have doubled since the beginning of this year. So it's grown 100%.

我認為，在我們對汽車或電動車業務的指導中點，我們將同比增長 48% 左右，而且在電動車指導的中點，我們的電動車業務將增長自今年年初以來已經翻了一番。所以它成長了100%。

So I think it's unaware of anybody that's growing 100% through the year. So I don't see how there's a commentary about losing share. And then you put that on top of having the second highest design-in in our history, it doesn't quite spread the circle.

所以我認為沒有人知道有誰在這一年裡成長了 100%。所以我不明白有什麼關於失去份額的評論。然後你把它放在我們歷史上第二高的設計之上，它並沒有完全擴大圈子。

Yes. And Brian, secondly, from an I&E perspective and Durham fab perspective, I think that's exactly right. We have seen some further weakness there. I think we talked about going down from [$60 million to $65 million] of revenue from Durham, which is primarily I&E, you should see that for the next couple of quarters down at that level.

是的。其次，布萊恩，從 I&E 的角度和達勒姆工廠的角度來看，我認為這是完全正確的。我們在那裡看到了一些進一步的弱點。我想我們討論過將達勒姆的收入從 [6000 萬美元降至 6500 萬美元]，主要是 I&E，你應該會看到在接下來的幾個季度裡會下降到這個水平。

It does feel like the bottom, I would say. There's another thing to consider here that isn't just really just kind of a normal margin mix type of trade-off. If you think about what we're doing, we shift from I&E to auto, and we're also talking about more complex data, bigger die in the factory and the go-through of more steps from an automotive perspective. So that trade-off really is not kind of [one to one] from that perspective.

我想說，這確實感覺像是底部。這裡還有另一件事需要考慮，它不僅僅是一種正常的利潤混合類型的權衡。如果你想想我們正在做的事情，我們會從 I&E 轉向汽車，而且我們還在談論更複雜的數據、工廠中更大的模具以及從汽車角度經歷更多步驟。因此，從這個角度來看，這種權衡確實不是[一對一]。

So we're going to manage through this and supply customers where we have demand, the end market demand continues to be on EVs will swap out and push more of our volume and leverage our capacity for EV applications. But that will be the Durham fab. I think it is in the $60 million to $65 million range.

因此，我們將透過這一點進行管理，並為有需求的客戶提供服務，最終市場需求仍然集中在電動車上，這將替換並推動我們更多的銷量，並利用我們的電動車應用能力。但這將是達勒姆工廠。我認為在 6000 萬至 6500 萬美元之間。

Now for the next couple of quarters, out of that December quarter. And then I&E starts to come back in March, June next year, we anticipate that coming back most likely in that time frame, we'll start to -- we'll be ready to respond.

現在是 12 月季度之後的接下來的幾個季度。然後 I&E 會在明年 3 月、6 月開始回歸，我們預計最有可能在那個時間範圍內回歸，我們將開始——我們將準備好做出回應。

Our next question comes from Samik Chatterjee of JPMorgan.

我們的下一個問題來自摩根大通的 Samik Chatterjee。

This is Joe Cardoso on for Samik. Maybe just a quick follow-up in terms of the response there around the design-in and wins. Can you just -- and maybe this is for Gregg. Can you just spend some time talking about the conversion rate you're seeing from design-in to win, particularly with the step down in design wins this quarter despite design-ins tracking relatively in line with your recent trends? Like how should the investors be interpreting the moderation here relative to the trends over the past 2 quarters, particularly as it relates to design wins?

我是喬·卡多佐 (Joe Cardoso) 替補薩米克 (Samik)。也許只是對設計和獲勝的反應進行快速跟進。你能不能——也許這是給格雷格的。您能否花一些時間談談您所看到的從設計到獲勝的轉換率，特別是儘管設計追蹤與您最近的趨勢相對一致，但本季設計獲勝的情況有所下降？例如，投資者應該如何解釋相對於過去兩個季度趨勢的溫和趨勢，特別是與設計獲勝相關的情況？

We feel very good about the conversion. And the one thing that I would tell you is design-ins and design wins aren't necessarily synchronized. Let me explain that a little bit more clearly. Depending on -- let's say the EV application, depending on the company, some companies design new ins 4 years before they go into production. And then we then convert them into a win when we get 20% purchase orders for 20% of the first year's volume. So it could take 4 years to go from design-in into design win.

我們對這次轉變感覺非常好。我要告訴你的一件事是設計導入和設計勝利不一定是同步的。讓我更清楚地解釋一下。取決於－比方說電動車應用，取決於公司，有些公司在投入生產前 4 年就設計了新的馬達。然後，當我們獲得第一年銷售 20% 的 20% 採購訂單時，我們將其轉化為勝利。因此，從設計進入到設計獲勝可能需要 4 年。

Other more nimble EV manufacturers, some of the start-ups, for instance, they would go in production 2 years after their new design-in. So it isn't necessarily synchronized between the two, so I wouldn't read into it. We're very pleased with both our design-in number for the quarter and our design win number for the quarter as well.

其他更靈活的電動車製造商，例如一些新創企業，他們將在新設計兩年後投入生產。所以兩者之間不一定是同步的，所以我不會讀它。我們對本季的設計導入數和本季的設計獲勝數量都非常滿意。

Our next question comes from Jed Dorsheimer of William Blair.

我們的下一個問題來自威廉布萊爾的傑德多斯海默。

I guess -- so a couple of questions here. I guess, the first one is just if you can help me with square and a circle on the unit economics. If I look at the materials business of $90 million to $95 million, kind of use a 40% margin on that business, I'm getting to -- and I look at the 12% on the 200, your midpoint, which will be $24 million, plus the $29 million is underutilization, I guess, $53 million, which would then imply that even if Durham is 0, Mohawk Valley would only be $13 million, which would be a 29% gross margin. Can you help me where my math might be wrong? Is Durham a negative contributor to gross profit dollars? Or what am I doing wrong here?

我想——這裡有幾個問題。我想，第一個就是你能不能幫我解決單位經濟學上的方和圓問題。如果我看一下 9000 萬至 9500 萬美元的材料業務，在該業務上使用 40% 的利潤，我會看到 200 上的 12%，你的中點，這將是 24 美元百萬美元，加上2900萬美元是未充分利用的，我猜是5300萬美元，這意味著即使達勒姆為0，莫霍克谷也只有1300萬美元，這將是29%的毛利率。你能幫我看看我的數學可能有錯嗎？達勒姆對毛利的貢獻是否為負數？或者我在這裡做錯了什麼？

Yes. Jed, I think you're kind of breaking this down the way that it's a little more nuanced than that. As I talked about before, when you move to the bigger die and transition things over to automotive becomes a bit more challenging from a manufacturing standpoint. So we're kind of going through a manufacturing transition right now to go from I&E products to automotive products that will [start to weed] itself out, I think, as we work through the next couple of quarters.

是的。傑德，我認為你對這個問題的分解方式比這更微妙。正如我之前談到的，從製造的角度來看，當你轉向更大的模具並將事情轉移到汽車時，就會變得更具挑戰性。因此，我們現在正在經歷從工業和電子產品到汽車產品的製造轉型，我認為，隨著我們在接下來的幾個季度的工作，汽車產品將[開始淘汰]本身。

But clearly, we are seeing the same product running out of Mohawk Valley. We are seeing better cost performance. And clearly we have to transition to the same product, same customer that translates into better profitability, obviously, if you think about that transition over to Mohawk Valley.

但顯然，我們看到莫霍克谷也有同樣的產品。我們看到更好的性價比。顯然，如果你考慮到向莫霍克谷的過渡，顯然我們必須過渡到相同的產品、相同的客戶，這可以轉化為更好的獲利能力。

Okay. So it's non-optimized then, I guess, would be the...

好的。所以我想，它是非優化的，那就是......

I think in Durham -- I think over the longer term, I think it doesn't really change our view on how things look over the longer term. This is really just, I think, a couple of quarters things of issue.

我認為在達勒姆 - 我認為從長遠來看，我認為這並沒有真正改變我們對長期事物的看法。我認為這實際上只是幾個季度的問題。

But over time we have strong conviction in the ability to drive the business up over 50% gross margin. Think about the kind of 70-30 mix EV to I&E products to be heavy I&E in this period. They'll be suboptimizing the factory for a while to serve customers. And then when we're ready to shift back, we'll be able to respond to that very quickly, I think.

但隨著時間的推移，我們堅信有能力推動業務毛利率提高 50% 以上。想想這種 70-30 混合電動車與工業電氣產品在這段時期是重型工業電氣產品。他們將在一段時間內對工廠進行部分優化以服務客戶。然後，當我們準備好回歸時，我認為我們將能夠非常迅速地做出反應。

So there is -- I think the silver lining from that perspective is that we have the ability to transition the business and move products to where we see the end market demand. But I think over the longer term, if you look at where the markets are growing, and we've got a lot of designs across a lot of customers for I&E applications, that will clearly come back over time, not just in the short term, but very significantly as you think about it over the long run. And we'll be able to ready to respond and leverage the Durham footprint, I think for that as well.

因此，我認為從這個角度來看，一線希望是我們有能力進行業務轉型並將產品轉移到我們看到終端市場需求的地方。但我認為，從長遠來看，如果你看看市場正在成長的地方，我們已經為許多I&E 應用程式的客戶提供了很多設計，隨著時間的推移，這些設計顯然會回來，而不僅僅是在短期內，但從長遠來看，這一點非常重要。我認為我們也將能夠做好應對和利用達勒姆足跡的準備。

But I think, again, unit cost economics in Mohawk Valley are just very, very positive for us right now, even at early stages. We expect that to accelerate over time.

但我再次認為，莫霍克谷的單位成本經濟學目前對我們來說非常非常積極，即使在早期階段也是如此。我們預計這種情況會隨著時間的推移而加速。

Our next question comes from Joshua Buchalter of TD Cowen.

我們的下一個問題來自 TD Cowen 的 Joshua Buchalter。

I was hoping you could maybe expand a little bit more on the change in tone around expansion in the Siler facility. Is this primarily into -- a reaction to what you think is better for the stock right now? Or was there a change in sort of the long-term outlook? It doesn't seem like the latter, given you mentioned sort of perpetual supply constraints and confidence in EV demand, but it would be helpful to hear some more input on what's driving the change in CapEx.

我希望您能進一步闡述有關西勒設施擴建的基調變化。這主要是對你認為目前對股票更好的反應的反應嗎？或者長期前景是否發生了變化？鑑於您提到了某種永久性的供應限制和對電動車需求的信心，這似乎不是後者，但聽到更多有關推動資本支出變化的因素的意見將會有所幫助。

Yes, I'll let Neill cover a little bit of this after I give an introduction here. I think what we're trying to do today is to be very, very clear and add clarification to what we're focused on right now.

是的，在我在這裡進行介紹之後，我將讓 Neill 對此進行一些介紹。我認為我們今天要做的就是非常非常明確地澄清我們現在關注的重點。

For the last couple of quarters, you've heard me say, we are laser focused on the ramp of Mohawk Valley. That included getting Building 10 up and running, that included getting the JP constructed. So those 3 projects are laser-focused what we're on right now.

在過去的幾個季度裡，您已經聽到我說過，我們將注意力集中在莫霍克谷的坡道上。其中包括啟動並運行 10 號樓，以及建造 JP。所以這 3 個項目是我們現在正在做的事情的重點。

Mohawk Valley has hit all of the milestones we've talked about. We'll hit 20% utilization this quarter. Building 10 has been a great success. We're very confident in our ability to be able to service 25% utilization in Mohawk Valley, out of that Building 10 in our Durham campus infrastructure as well, and the JP is on schedule. And the furnaces are being installed.

莫霍克谷已經實現了我們談到的所有里程碑。本季我們的利用率將達到 20%。 10號樓取得了巨大成功。我們非常有信心能夠為莫霍克谷的 25% 利用率提供服務，包括達勒姆校區基礎設施的 10 號樓，而且 JP 正在按計劃進行。熔爐正在安裝中。

As we mentioned, the campus is being energized and connected to the grid. We'll start qualifying those furnaces later this year. And we have super high confidence in that because the JP site is about 40, 45 minutes away from where we're at right now.

正如我們所提到的，校園正在通電並連接到電網。我們將於今年稍後開始對這些熔爐進行資格認證。我們對此非常有信心，因為 JP 站點距離我們現在所在的位置大約 40、45 分鐘路程。

And the same team that brought up Building 10, which I'll remind you was a basketball court, racquetball courts and things like that. It was not a manufacturing facility, and it's now humming on 200-millimeter silicon carbide. That same team will be bringing up the JP. So we're very confident in that. What we're trying to give clarification on is that that's what our focus is. And we're not taking our focus off of that until we can get -- until we demonstrate the success that we know that we can get out of those facilities.

和建造 10 號樓的同一個團隊，我要提醒你的是，它是一個籃球場、壁球場和類似的東西。它不是一個製造工廠，現在卻在 200 毫米碳化矽上運作。同一個團隊將提出 JP。所以我們對此非常有信心。我們試圖澄清的是，這就是我們的重點。在我們能夠實現這一目標之前，我們不會把注意力從這個問題上移開——直到我們證明我們可以利用這些設施取得成功。

And then from a CapEx perspective, I think there's really no change to what we've been saying, I think, for quite some time. We always kind of thought 2024 would be our peak CapEx period. We're going to see CapEx come down in 2025 pretty substantially. We talked about bringing that down from [$600 million to $800 million] than before including any potential government incentives that could commence [in a time frame].

然後從資本支出的角度來看，我認為我們在相當長一段時間內所說的內容實際上並沒有改變。我們一直認為 2024 年將是我們的資本支出高峰期。我們將看到 2025 年資本支出大幅下降。我們討論了將其從 [6 億美元到 8 億美元] 比以前降低，包括可能 [在一段時間內] 開始的任何潛在的政府激勵措施。

And the reason for that is the JP will be largely complete from a facility's perspective. As we finish the calendar year, that's been the majority of our CapEx spend in 2024. As you get out of this calendar year and start looking into calendar '25, it would be very much a tool (inaudible) spend. So it's selling tools in both JP and Mohawk Valley, and we'll just continue to modulate our CapEx to match that with end market demand. So that's really where we're focused right now.

原因是從設施的角度來看，JP 將基本完成。當我們結束這個日曆年時，這是我們 2024 年資本支出的大部分。因此，它在 JP 和莫霍克谷銷售工具，我們將繼續調整我們的資本支出，以使其與終端市場需求相匹配。這確實是我們現在關注的焦點。

As it relates to another facility after that, I said in the company -- very clearly in the prepared remarks, we'll wait until we see that performance Gregg talked about, in addition to having good cash flow and operating performance that can support what we would do next. And that's really the plan that we laid out and that's what we continue to focus on.

由於它與此後的另一家工廠有關，我在公司中非常明確地說過，我們將等到看到格雷格談到的業績，除了擁有良好的現金流和經營業績，可以支持什麼接下來我們會做。這確實是我們所製定的計劃，也是我們持續關注的重點。

Our next question comes from Colin Rusch of Oppenheimer.

我們的下一個問題來自奧本海默的科林魯施。

Given the design activity and a lot of the cost reduction activity that we're seeing with the EV makers, can you talk about what you're seeing from a voltage perspective on powertrain designs? Are you seeing a city migration towards 800 volt? Are you seeing kind of a retrace back to 400 volt or some sort of middle ground or any activity around even higher voltages than 800?

考慮到電動車製造商的設計活動和大量成本削減活動，您能談談從電壓角度對動力系統設計的看法嗎？您是否看到城市向 800 伏特電壓遷移？您是否看到某種回溯到 400 伏特或某種中間地帶或任何高於 800 伏特電壓的活動？

No, we're -- there is certainly not a return shape back to 400. I think folks have realized that you get much better efficiency, better charging and so forth at the 800, at an even higher voltage bus on the EVs. That requires an even higher voltage, call it, 1,200 volt MOSFET. So no retrenching back to that. I'm not the expert on what's next beyond the 800 volt, but I would say really switching from 400 to 800 is not going backwards.

不，我們肯定不會回到 400。這需要更高的電壓，稱為 1,200 伏特 MOSFET。所以不會再縮減開支了。我不是 800 伏特之後的專家，但我想說，從 400 伏特切換到 800 伏特並不是倒退。

Okay. That's helpful. And then on the supply chain side, obviously, there's been a lot of rebalancing around inputs into various processes. Can you talk a little bit about the opportunity for kind of fundamental cost reduction on the manufacturing side from a supply chain perspective?

好的。這很有幫助。然後，在供應鏈方面，顯然，圍繞各種流程的投入進行了大量的再平衡。您能否從供應鏈的角度談談製造方面根本性降低成本的機會？

Yes. I would -- let me hit that and maybe Neill can give a little bit more color. We're in the early phase of ramping a new wafer diameter in a new wafer fab and so forth. And I think we're seeing already excellent progress on the quality of 200-millimeter [pools] in terms of the percentage of the wafers that we get out that are automotive grade. Substantially all of them are in that kind of category, and so we're really pleased with that.

是的。我會——讓我擊中那個，也許尼爾可以提供更多的色彩。我們正處於在新晶圓廠等中擴大新晶圓直徑的早期階段。我認為，就我們生產的汽車級晶圓的百分比而言，我們已經看到 200 毫米 [池] 的品質取得了巨大進步。基本上所有這些都屬於此類，因此我們對此非常滿意。

We're -- obviously we'll continue working on getting more wafer cuts per pool. We'll look at getting better yield in the fab and so forth. So I think there's a lot of -- despite the fact that we're already below the die cost in Mohawk Valley compared to Durham, I think we're in the early innings of cost reductions on 200-millimeter.

顯然，我們將繼續努力讓每個池子獲得更多的晶圓切割量。我們將著眼於提高晶圓廠的良率等等。因此，我認為，儘管與達勒姆相比，莫霍克谷的模具成本已經低於我們，但我認為我們正處於 200 毫米成本削減的早期階段。

Yes. And let me just add on to that. Well, I think and I fully agree. I think we're at the very early stages of the opportunity we have to drive cost down and I think the early returns on yield and cycle times that we're seeing in the fab really only reinforce that even further.

是的。讓我補充一下。嗯，我認為並且完全同意。我認為我們正處於必須降低成本的機會的早期階段，而且我認為我們在晶圓廠中看到的良率和週期時間的早期回報實際上只會進一步強化這一點。

But I think there's also a structural component of the business that we're building here. If you look at cash margins or you look at EBITDA target about 40% over time. If you look at our business today, we'll do about $185 million of depreciation this year. That represents about 20% to 25% of our revenue. Once we bring the JP online next year, that will push upwards towards 30%, even in these early stages of building the business.

但我認為我們在這裡建立的業務還有一個結構性組成部分。如果你看看現金利潤率或 EBITDA 目標，隨著時間的推移約為 40%。如果你看看我們今天的業務，我們今年將進行約 1.85 億美元的折舊。這約占我們收入的 20% 至 25%。一旦我們明年將 JP 上線，即使在業務建設的早期階段，這一比例也將上升至 30%。

So just from a -- that means like a very substantial part, 20% to 25% of our cost today is not cash. So we see a very, very nice cash opportunity from a margin perspective and a fall-through perspective over time as you build out the business.

因此，這意味著我們今天的成本有很大一部分不是現金，即 20% 到 25%。因此，從利潤角度來看，我們看到了一個非常非常好的現金機會，但隨著時間的推移，隨著業務的發展，我們看到了一個非常好的現金機會。

So as we improve yields and cycle times and build the scale for these facilities, this business is going to generate a lot of cash flow. I think it's just continuing to execute on the base yield and cycle times to supply our customers, but I think structurally, that will translate into our business that just generates a lot of cash flow.

因此，當我們提高產量和週期時間並擴大這些設施的規模時，這項業務將產生大量現金流。我認為它只是繼續執行基本產量和週期時間來為我們的客戶提供服務，但我認為從結構上講，這將轉化為我們的業務，產生大量現金流。

Our next question today comes from Jack Egan of Charter Equity Research.

今天我們的下一個問題來自 Charter Equity Research 的 Jack Egan。

So Gregg, I just had a quick clarification for you on one of your earlier comments. So I think you mentioned that Chinese devices are probably further off than materials. But as we generally understand it, from, I guess, a science and an R&D point of view, materials are generally a lot harder to develop and ramp than devices. So I mean, why would China be further behind in devices even if they're relatively easier to ramp than the material side?

格雷格，我剛剛對您之前的評論之一進行了快速澄清。所以我想你提到中國的設備可能比材料更遠。但正如我們通常理解的那樣，我想，從科學和研發的角度來看，材料通常比設備更難開發和升級。所以我的意思是，為什麼中國在設備方面會進一步落後，即使它們比材料方面相對更容易提升？

Yes. So thanks for the question, Jack. This is just the input that I got from the customers out of China. I know there is a lot of effort going in to trying to develop a silicon carbide crystal growth capability. As I mentioned, there's -- it's hard to get through all the noise on this thing. Likely they're making progress on 150. And what we hear is they're pretty far behind at 200. So -- and then from a device perspective, silicon carbide MOSFET is also not a super easy thing to do as well. And I think there's -- to be honest, it feels like there's less focus on that at this point.

是的。謝謝你的提問，傑克。這只是我從中國以外的客戶那裡得到的意見。我知道為了開發碳化矽晶體生長能力需要付出很多努力。正如我所提到的，很難消除關於這件事的所有噪音。他們可能在 150 方面取得了進展。我認為，說實話，目前人們對這一點的關注較少。

The next question is a follow-up from Jed Dorsheimer of William Blair.

下一個問題是威廉·布萊爾的傑德·多斯海默的後續問題。

Thanks. I just wanted to dig into, Gregg, your comments on demand, which seems strong for you in EV. Just in the materials business, with that business coming down so much. So if I kind of take your guide on a quarterly basis, it's come down about $40 million per quarter. Why aren't materials ramping complement to that? Because I would assume that, that opens up the 150-millimeter wafers to sell to other customers.

謝謝。格雷格，我只是想深入了解您對需求的評論，這對您在電動車領域似乎很重要。僅在材料業務方面，該業務就大幅下滑。因此，如果我按季度查看您的指南，每季大約會減少 4000 萬美元。為什麼材料的增加不能補充這一點？因為我認為，這將開放 150 毫米晶圓出售給其他客戶。

Sorry, Jed. So in terms of the -- how we think about that, right now, the end market demand for automotive in terms of EV customers. So there's a lot of changes that Gregg talked about in terms of the OEM landscape. The amount of demand still outstrips our supply. So it's really important for us to continue to take as much capacity as we can serve those customers.

對不起，傑德。因此，就我們目前如何看待電動車客戶對汽車的終端市場需求而言。 Gregg 談到了 OEM 領域的許多變化。需求量仍然超過我們的供應量。因此，對我們來說，繼續利用盡可能多的產能來為這些客戶提供服務非常重要。

In the meantime, we'll continue to drive our materials business. As you know, we've got a lot of long-term agreements there that underpin our revenue for a long time. And I think that the $99 -- $90 million to $95 million per quarter will continue to service that market, I think, in terms of how it's kind of laid out today. I think it's very important that we continue to service our automotive customers at this time. And we're going to continue to understand...

同時，我們將繼續推動我們的材料業務。如您所知，我們在那裡簽訂了許多長期協議，這些協議長期支撐著我們的收入。我認為，就目前的佈局而言，每季 99 美元——9,000 萬至 9,500 萬美元將繼續為該市場提供服務。我認為此時我們繼續為汽車客戶提供服務非常重要。我們將繼續了解......

Neill, maybe I didn't ask the question clearly, but it's $40 million coming out of Durham on the devices side, where you're supplying the 150-millimeter wafers internally. Why wouldn't you be able to see a $12 million increase in the materials business?

尼爾，也許我沒有問清楚這個問題，但達勒姆在設備方面有 4000 萬美元的資金，你們在內部提供 150 毫米晶圓。為什麼材料業務看不到 1200 萬美元的成長？

Yes. So maybe I'll take a crack at that. I don't think I understood that could be your question. So a couple of things. Obviously, we have automotive demand that is higher than our current supply. So transitioning that capability from I&E to automotive is a very important customer satisfaction item that we're focused on.

是的。所以也許我會嘗試一下。我想我不明白這可能是你的問題。有幾件事。顯然，我們的汽車需求高於目前的供應。因此，將這種能力從 I&E 過渡到汽車是我們關注的一個非常重要的客戶滿意度項目。

The automotive devices are larger than the industrial products. And substantially, most of the industrial products are sold in packaged or module form. And they get the exact opposite for automotive. For automotive substantially, most of the product that we sell is in die form. So we're not adding value, we're adding incremental revenue potential for the same amount of, I'll call it, silicon carbide millimeters (inaudible).

汽車設備比工業產品更大。實質上，大多數工業產品都以封裝或模組的形式出售。對於汽車產業，他們的看法恰恰相反。對於汽車來說，我們銷售的大部分產品都是模具形式。因此，我們不是在增加價值，而是在增加相同數量的增量收入潛力，我稱之為碳化矽毫米（聽不清楚）。

So it's not a one-to-one trade-off when you move from an industrial part to an automotive part in the fab itself. Is that clear, Jed?

因此，當您從工廠本身的工業零件轉移到汽車零件時，這不是一對一的權衡。清楚了嗎，傑德？

We have no further questions in the queue. So I'll turn the call back over to Gregg Lowe for any closing comments.

我們隊列中沒有其他問題了。因此，我會將電話轉回給 Gregg Lowe 以徵求結束意見。

Well, thanks, everybody, for participating in this call with us, and we look forward to catching up at the end of next quarter. Thank you.

好的，謝謝大家與我們一起參加這次電話會議，我們期待在下個季度末進行交流。謝謝。

This concludes today's call. Thank you for joining. You may now disconnect your lines.

今天的電話會議到此結束。感謝您的加入。現在您可以斷開線路。