Wolfspeed Inc (WOLF) 2025 Q1 法說會逐字稿

Good afternoon. Thank you for attending the Wolfspeed Inc. Q1 fiscal year '25 earnings call. My name is Matt, and I will be your moderator for today's call. (Operator Instructions) I'd now like to pass the conference over to our host, Tyler Gronbach, Vice President of External Affairs for Wolfspeed. Tyler, please go ahead.

午安.感謝您參加 Wolfspeed Inc. '25 財年第一季財報電話會議。我叫馬特，我將擔任今天電話會議的主持人。 （操作員指示）我現在想將會議轉交給我們的東道主，Wolfspeed 對外事務副總裁泰勒·格隆巴赫 (Tyler Gronbach)。泰勒，請繼續。

Thank you, operator, and good afternoon, everyone. Welcome to Wolfspeed's first-quarter fiscal 2025 conference call. Today, Wolfspeed's CEO, Gregg Lowe; and Wolfspeed CFO, Neill Reynolds, will report on the results of the first quarter of fiscal year 2025. Please note that we will be presenting non-GAAP financial results during today's call, which we believe provides useful information to our investors.

謝謝接線員，大家下午好。歡迎參加 Wolfspeed 2025 財年第一季電話會議。今天，Wolfspeed 的執行長 Gregg Lowe； Wolfspeed 財務長 Neill Reynolds 將報告 2025 財年第一季的業績。

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 as 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. Today's discussion includes forward-looking statements about our business outlook, and we may make other forward-looking statements during the call.

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。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。

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. Lastly, please note that all numbers presented today will be on a continuing operations 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.

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。最後，請注意，今天提供的所有數據都將基於持續營運的數據。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。

If you have any additional questions, please feel free to contact us after the call. And now I'd like to turn the call over to Gregg.

如果您還有任何其他問題，請在通話後隨時與我們聯繫。現在我想把電話轉給格雷格。

Good afternoon, everyone, and thank you for joining us today. Wolfspeed is at a critical inflection point in our strategic direction and priorities as an organization. My comments will be focused on this inflection point and the key priorities for the business, and those include solidifying our capital structure to complete and position our Mohawk Valley device and North Carolina materials facilities to generate an annual targeted revenue of approximately $3 billion, while optimizing our strategic options; simplify our business to be the 200-millimeter silicon carbide leader by lowering our cost structure and capital requirements to accelerate the path to profitability immediately; and capitalize on the structural and long-term growth demand in the silicon carbide transition in the global shift to EVs as well as the industrial and energy markets.

大家下午好，感謝您今天加入我們。作為一個組織，Wolfspeed 正處於我們策略方向和優先事項的關鍵轉折點。我的評論將集中在這一拐點和業務的關鍵優先事項上，其中包括鞏固我們的資本結構，以完成和定位我們的莫霍克谷裝置和北卡羅來納州材料設施，以產生約30 億美元的年度目標收入，同時優化我們的策略選擇；透過降低成本結構和資本需求，簡化我們的業務，成為 200 毫米碳化矽領導者，從而立即加速獲利之路；並利用全球向電動車以及工業和能源市場的轉變中碳化矽轉型的結構性和長期成長需求。

We are focused on our 200-millimeter strategy to differentiate and extend our leadership position against the competitive landscape as a scaled operator with the most advanced and highest quality products in the marketplace. We will continue to improve our financial performance and grow revenue by aligning our robust backlog of $11 billion of design wins with industry cycles and targeted cash savings activities that significantly lower our breakeven point and accelerate our path to generate positive cash flows from operations. While EVs have been the biggest driver of silicon carbide adoption thus far, the potential use cases for our technology are expensive, and we believe they will only continue to grow as more and more industries need to solve for the same power loss system size and system cost challenges as the automakers.

我們專注於 200 毫米策略，以在競爭格局中脫穎而出並擴大我們的領導地位，作為一家擁有市場上最先進和最高品質產品的規模化營運商。我們將繼續改善我們的財務表現並增加收入，將我們110 億美元的設計訂單積壓的訂單與行業週期和有針對性的現金節省活動結合起來，從而顯著降低我們的盈虧平衡點，並加快我們從營運中產生正現金流的道路。雖然電動車迄今為止是碳化矽採用的最大推動力，但我們技術的潛在用例非常昂貴，我們相信，隨著越來越多的行業需要解決相同的功率損耗系統尺寸和系統問題，它們只會繼續成長汽車製造商面臨的成本挑戰。

The importance of silicon carbide in the next-generation power semiconductor applications is a key reason why we were awarded $750 million in proposed direct funding under the CHIPS & Science Act, a key component to solidifying our capital structure. We also secured $750 million in additional committed debt funding from an investor group that included Apollo, the Baupost Group, Fidelity Management and Research Company and the Capital Group. Coupled with an estimated $1 billion of Section 48D cash tax refunds that we expect under the CHIPS and Science Act, we now have access to up to $2.5 billion of incremental funding to support our US capacity plan. This funding is an important milestone in Wolfspeed's long-term growth strategy, and it speaks to the quality of our products and the role we play in the broader semiconductor industry.

碳化矽在下一代功率半導體應用中的重要性是我們根據《晶片與科學法案》獲得 7.5 億美元擬議直接資助的關鍵原因，這是鞏固我們資本結構的關鍵組成部分。我們還從包括 Apollo、Baupost Group、Fidelity Management and Research Company 和 Capital Group 在內的投資者團體獲得了 7.5 億美元的額外承諾債務融資。再加上我們預計根據《CHIPS 和科學法案》預計獲得的 10 億美元第 48D 款現金退稅，我們現在可以獲得高達 25 億美元的增量資金來支持我們的美國產能計畫。這筆資金是 Wolfspeed 長期成長策略的一個重要里程碑，它體現了我們產品的品質以及我們在更廣泛的半導體產業中所扮演的角色。

With this funding secured, I'll now address how we're simplifying our business and focusing on our 200-millimeter device platform, lowering our cost structure and capital requirements to accelerate the path to profitability. Wolfspeed is the first silicon carbide company in the industry to transition its entire device business to 200-millimeter. This strategic move is driven by superior yields, improved IPOs and overall enhanced economics that we're seeing in our 200-millimeter platform. This will allow us to utilize our capacity more efficiently due to more automated manufacturing at our 200-millimeter Mohawk Valley fab versus our very manual 150-millimeter Durham fab.

有了這筆資金，我現在將介紹我們如何簡化業務並專注於我們的 200 毫米設備平台，降低我們的成本結構和資本要求，以加快獲利之路。 Wolfspeed 是業界第一家將整個裝置業務轉型至 200 毫米的碳化矽公司。這項策略措施是由我們在 200 毫米平台中看到的卓越產量、改進的 IPO 以及整體經濟性的增強所推動的。這將使我們能夠更有效地利用我們的產能，因為我們的 200 毫米莫霍克谷工廠比我們非常手動的 150 毫米達勒姆工廠製造更加自動化。

This will enable us to eliminate redundancies, significantly improving gross margins. The transition to a fully 200-millimeter device platform also provides opportunities to streamline our organization and lower our operating expenses. Considering the slower growth of EVs adoption and the continued weakness in industrial and energy, the steps we are taking will rightsize the business and generate additional cash savings. These steps include: first, we have begun to execute our plan to close our 150-millimeter device fab on the Durham campus.

這將使我們能夠消除裁員，顯著提高毛利率。向全 200 毫米設備平台的過渡也為精簡我們的組織和降低營運費用提供了機會。考慮到電動車採用成長放緩以及工業和能源持續疲軟，我們正在採取的措施將調整業務規模並節省更多現金。這些步驟包括：首先，我們已經開始執行關閉達勒姆園區 150 毫米裝置工廠的計畫。

This closure will be a phased process over the next nine to 12 months, and we are currently working with customers to finalize the transition time frame. Second, we are optimizing our capacity footprint by closing our epitaxy facility in Farmers Branch, Texas, and indefinitely suspending our construction plans for the next device fab in Saarland, Germany. We expect to ramp down final production in Farmers Branch by the end of this calendar year. Regarding Saarland, we have spoken with government officials and Zeta and they understand that we would need to see a clear acceleration of our customer demand and additional capacity requirements before we would reconsider construction at the site.

此次關閉將在未來 9 至 12 個月內分階段進行，我們目前正在與客戶合作確定過渡時間框架。其次，我們正在優化我們的產能足跡，關閉我們位於德克薩斯州法默斯布蘭奇的外延工廠，並無限期暫停我們在德國薩爾州的下一個裝置工廠的建設計劃。我們預計到今年年底將減少法默斯布蘭奇的最終產量。關於薩爾州，我們已經與政府官員和 Zeta 進行了交談，他們明白，我們需要看到客戶需求和額外產能需求的明顯加速，然後才能重新考慮現場建設。

While we are indefinitely suspending our activities in Saarland at this time, should we determine to build a fab in the future, the in-store site remains our preferred site in Europe. Third, we have implemented a workforce reduction in our administrative and other business functions. This reduction, along with the factory closures, will impact approximately 20% of our total employee base. This reduction will better align our business with current market conditions and customer demand.

雖然我們目前無限期暫停在薩爾州的活動，但如果我們決定將來建造一座晶圓廠，店內地點仍然是我們在歐洲的首選地點。第三，我們在行政和其他業務職能方面實施了裁員。此次裁員以及工廠關閉將影響我們員工總數的約 20%。此次削減將使我們的業務更能適應當前的市場狀況和客戶需求。

These facility and head count restructuring initiatives are targeted to generate annual cash savings of approximately $200 million, significantly improving our projected cash flow from operations over time. These actions will foster a stronger, more agile company, ready to seize the opportunities ahead. Many of these reductions have already occurred, and we expect to complete the majority of the actions by the end of the year. And lastly, we are further reducing our fiscal 2025 CapEx guidance range by an additional $100 million to a new range of $1.1 billion to $1.3 billion, excluding federal incentives.

這些設施和人員重組措施的目標是每年節省約 2 億美元的現金，隨著時間的推移，顯著改善我們預計的營運現金流。這些行動將培育出更強大、更靈活的公司，為抓住未來的機會做好準備。其中許多削減已經發生，我們預計將在今年年底前完成大部分行動。最後，我們將 2025 財年資本支出指引進一步減少 1 億美元，至 11 億至 13 億美元的新範圍（不包括聯邦誘因）。

This reduction will align the pace of our CapEx spend with the broader shift in EV and I&E market demand that we are currently observing. Now let's look at how well positioned the company is to capitalize on the structural and long-term growing demand for silicon carbide, and we'll begin with EVs. As we stated in the past, we are in the very early stage of the most significant and disruptive transition in the auto industry. While this creates a potential for significant growth and opportunity in the long term, it will also result in a dynamic environment in the near term.

這一減少將使我們的資本支出支出步伐與我們目前觀察到的電動車和工業電氣市場需求的更廣泛變化保持一致。現在讓我們看看該公司在利用對碳化矽的結構性和長期成長的需求方面的定位如何，我們將從電動車開始。正如我們過去所說，我們正處於汽車產業最重大、最具顛覆性的轉型的早期階段。雖然這創造了長期顯著成長和機會的潛力，但也將在短期內帶來充滿活力的環境。

As with any disruptive technology, we are seeing EV customers revise their launch time lines as the market works through this transition period. This push out in anticipated EV demand does not reflect diminished confidence in the long-term demand for the adoption of EVs. As China, the world's largest market, aggressively moves forward with the electrification of the automobile, the rest of the world will need to follow and compete, particularly in the context of the stringent emission standards that will be taking effect in coming years. Although demand is expected to ramp more slowly than we originally anticipated, we are continuing to win our share in the EVs marketplace.

與任何顛覆性技術一樣，我們看到電動車客戶隨著市場經歷此過渡期而修改其發佈時間表。預期電動車需求的增加並不反映人們對電動車長期採用需求的信心減弱。隨著全球最大的市場中國積極推動汽車電氣化，世界其他地區將需要跟進和競爭，特別是在未來幾年即將生效的嚴格排放標準的背景下。儘管預計需求成長速度比我們最初預期的要慢，但我們將繼續贏得電動車市場的份額。

In fiscal Q1, we recorded $1.3 billion of design wins, our third highest on record and $1.5 billion of design-ins, approximately 70% of which were for EV platforms. EV revenue grew 2.5 times year-over-year, and we expect our EV revenue to continue to grow throughout calendar 2025 as the total number of car models using Wolfspeed silicon carbide devices in the powertrain increased by 4 times from 2023 to 2024 and is expected to grow by another approximately 75% in 2025. For the industrial and energy sectors, we are seeing continued softness, primarily due to broader macroeconomic pressures, including higher interest rates and the rising cost of capital, which have delayed investment cycles and contributed to a slower recovery for this sector. These conditions also resulted in shorter lead times and limited visibility throughout the broader supply chain.

在第一財季，我們贏得了 13 億美元的設計勝利，這是有史以​​來的第三高，並獲得了 15 億美元的設計投入，其中約 70% 用於電動車平台。電動車收入年增 2.5 倍，我們預計我們的電動車收入將在 2025 年繼續成長，因為動力總成中使用 Wolfspeed 碳化矽元件的車型總數從 2023 年到 2024 年將增加 4 倍，預計到2025 年將再成長約75%。速度較慢。這些條件也導致交貨時間縮短和整個供應鏈的可見度有限。

While the industrial and energy end markets have remained challenged with orders remaining weak, we are seeing an increase in end customer demand as inventory levels in the market are starting to decline. As such, we expect the market will begin to recover in the first half of calendar 2025, and as we see broader market conditions further stabilize and move forward to a recovery, we'll be prepared to support the increased demand. Now, let's take a minute to cover the great progress we've made in building out our 200-millimeter footprint. For the first time, the revenue from our 200-millimeter fab at Mohawk Valley exceeded the revenue from our legacy Durham fab in Q1.

儘管工業和能源終端市場仍然面臨訂單疲軟的挑戰，但隨著市場庫存水準開始下降，我們看到終端客戶需求增加。因此，我們預計市場將在 2025 年上半年開始復甦，隨著我們看到更廣泛的市場狀況進一步穩定並走向復甦，我們將準備好支持不斷增長的需求。現在，讓我們花一點時間來介紹我們在建立 200 毫米足跡方面所取得的巨大進展。第一季度，我們位於莫霍克谷的 200 毫米晶圓廠的收入首次超過了我們傳統達勒姆晶圓廠的收入。

While this revenue was lower than originally anticipated due to market demand and customer pushouts, we continue to see great performance out of the fab with yield and cycle times ahead of plan, and anticipate future improvements as we ramp the fab. In addition, at the JP, we have crystal growers up and running and have been achieving our expected targets with the quality of the material we're seeing being produced at that facility. Construction at the site continues, and we expect to receive a certificate of occupancy in the first half of calendar 2025. Crystal growth and substrate processing out of Building 10 in Durham continues to generate solid output and yields.

雖然由於市場需求和客戶退出，該收入低於最初預期，但我們繼續看到晶圓廠的出色性能，良率和周期時間均超出計劃，並預計隨著晶圓廠產能的提升，未來將有所改進。此外，在 JP，我們已經啟動並運行了晶體生長器，並且我們看到該工廠生產的材料品質達到了我們的預期目標。該場地的施工仍在繼續，我們預計將在 2025 年上半年收到入住證書。

This level of productivity will allow for a more measured ramp and, therefore, a more measured level of spend at the JP. Now to quickly summarize before passing over to Neill. We are solidifying our capital structure to complete and position our 200-millimeter footprint to generate annual targeted revenues of approximately $3 billion and optimizing our strategic options. At the same time, we are simplifying our business to be a 200-millimeter leader with a lower cost structure and capital requirements to accelerate our path to profitability.

這種生產力水準將允許更謹慎的成長，因此，JP 的支出水準也更加謹慎。現在在交給尼爾之前快速總結一下。我們正在鞏固我們的資本結構，以完成和定位我們 200 毫米的足跡，以產生約 30 億美元的年度目標收入，並優化我們的策略選擇。同時，我們正在簡化我們的業務，以更低的成本結構和資本需求成為 200 毫米領先者，以加速我們的獲利之路。

And the company is well positioned to capitalize on the structural and long-term growing demand for silicon carbide power devices and materials. And with that, I'll turn it over to Neill to discuss our financials and our guidance.

該公司處於有利地位，可以利用對碳化矽功率裝置和材料的結構性和長期成長的需求。接下來，我會將其交給尼爾討論我們的財務狀況和指導。

Thank you, Gregg, and good afternoon, everyone. Following up on Gregg's comments, I will hit on three important areas of focus during the call today. First, I will focus on our liquidity and capital structure. With the announcement of the CHIPS PMC and upon completion of that agreement, we will have access to an incremental $2.5 billion of future funding in addition to the approximately $1.7 billion of cash that we ended the quarter with. In combination, this total is greater than $4 billion of capital that we target keeping our cash levels greater than $1 billion for the next several years.

謝謝你，格雷格，大家下午好。繼格雷格的評論之後，我將在今天的電話會議中討論三個重要的重點領域。首先，我將重點放在我們的流動性和資本結構。隨著 CHIPS PMC 的宣布以及該協議的完成，除了本季結束時獲得的約 17 億美元現金外，我們還將獲得未來 25 億美元的增量資金。總而言之，這筆資本總額超過 40 億美元，我們的目標是在未來幾年內將現金水準維持在 10 億美元以上。

Secondly, I will outline in more detail our power device transition to 200-millimeter, resulting in restructuring actions that will simplify our operating model, lower our non-GAAP EBITDA breakeven to below a $1 billion annual revenue run rate and clearing our path to profitability. Lastly, I will focus on our quarterly results and outlook, incorporating the benefits of our 200-millimeter transition, operational simplification and restructuring actions. Starting with liquidity and funding. The $2.5 billion CHIPS PMT funding package previously mentioned has three components: $750 million of direct funding from the CHIPS Act; $750 million of debt financing; and $1 billion of 48D refundable tax credits under the CHIPS Act.

其次，我將更詳細地概述我們的功率裝置向200 毫米的過渡，從而導致重組行動，這些行動將簡化我們的營運模式，將我們的非GAAP EBITDA 盈虧平衡點降低至10 億美元的年收入運行率以下，並為我們的盈利掃清道路。最後，我將重點介紹我們的季度業績和前景，其中包括 200 毫米過渡、營運簡化和重組行動的好處。從流動性和資金開始。前面提到的 25 億美元 CHIPS PMT 資金計畫由三個部分組成：來自 CHIPS 法案的 7.5 億美元直接資金； 7.5億美元債務融資；根據 CHIPS 法案，可享有 10 億美元的 48D 可退還稅收抵免。

Regarding the $750 million in direct funding from the CHIPS Act, we expect to receive this funding in multiple disbursements over the next several years, mainly tied to operational milestones at the JP and Mohawk Valley. The first disbursement, which we expect to receive in mid-calendar year 2025, will be roughly 20% to 25% of the total brand size and will require us to meet the following conditions: Executing a definitive direct funding award agreement with the CHIPS office; hitting certain operational milestones; and meeting other financial milestones related to our liquidity, including raising additional capital; and refinancing our outstanding 2026 convertible notes prior to their maturity dates.

關於 CHIPS 法案提供的 7.5 億美元直接資金，我們預計將在未來幾年內分多次支付這筆資金，主要與 JP 和莫霍克谷的營運里程碑相關。我們預計在 2025 年中旬收到第一筆付款，約佔品牌總規模的 20% 至 25%，並要求我們滿足以下條件： 與 CHIPS 辦公室簽署最終的直接資助獎勵協議;達到某些營運里程碑；實現與我們的流動性相關的其他財務里程碑，包括籌集額外資本；並在到期日之前為我們未償還的 2026 年可轉換票據進行再融資。

Regarding the $750 million in debt financing and customer financing, we have already executed the agreement for the Apollo-led debt financing over three tranches, the first of which was $250 million that we received in October. We will be required to draw additional debt tranches related to this agreement of $250 million each in conjunction with drawing down on the first two disbursements of the CHIPS grant. We have also finalized an agreement to defer a total of $120 million in cash interest payments due prior to June 30, 2025, from an unsecured customer refundable deposit agreements.

關於7.5億美元的債務融資和客戶融資，我們已經執行了Apollo主導的分三期債務融資協議，其中第一期是我們10月收到的2.5億美元。我們將需要提取與該協議相關的每筆 2.5 億美元的額外債務，同時提取 CHIPS 贈款的前兩次付款。我們還敲定了一項協議，推遲從無擔保客戶可退還存款協議中支付 2025 年 6 月 30 日之前到期的總計 1.2 億美元的現金利息。

As it relates to meeting the CHIPS award financial milestones, as previously mentioned, we will be required to raise up to $300 million of additional capital from nondebt sources, including equity. To achieve the first disbursement of the CHIPS grant, we are targeting to raise a portion of this amount in equity capital in the near future. As for our convertible notes, the CHIPS PMT provides some optionality for how we can address the maturities. We will closely monitor and assess market conditions prior to taking any action related to our convertible notes, and we will consider all options available to us at that time to determine what is in the best interest of long-term shareholder value.

如同前面所提到的，由於這涉及實現 CHIPS 獎勵財務里程碑，我們將需要從非債務來源（包括股權）籌集最多 3 億美元的額外資本。為了實現 CHIPS 贈款的首次支付，我們的目標是在不久的將來籌集部分股權資本。至於我們的可轉換票據，CHIPS PMT 為我們如何解決到期問題提供了一些選擇。在採取與我們的可轉換票據相關的任何行動之前，我們將密切監控和評估市場狀況，並且我們將考慮當時可用的所有選擇，以確定什麼最符合長期股東價值的最佳利益。

Right now, in order to achieve the first CHIPS disbursement, our focus will be on refinancing or restructuring the outstanding 2026 convertible notes. Regarding the estimated $1 billion of Section 48D cash tax refunds. A few weeks ago, the US Treasury Department released final 48D deregulations and our capacity expansion investments are fully eligible for this program. Accordingly, we have now increased our accrual to approximately $725 million in 48D tax credits as of the end of the first quarter. We expect to see additional accruals in calendar 2025, and as we complete the JP facility and tool spend, more of these accruals will be added to the balance sheet.

目前，為了實現第一筆 CHIPS 支付，我們的重點將是對未償還的 2026 年可轉換票據進行再融資或重組。關於預計 10 億美元的第 48D 條現金退稅。幾週前，美國財政部發布了最終的48D放鬆管制，我們的產能擴張投資完全符合該計畫的條件。因此，截至第一季末，我們的 48D 稅收抵免應計額現已增加至約 7.25 億美元。我們預計在 2025 年會出現額外的應計費用，當我們完成 JP 設施和工具支出時，將有更多的應計費用加到資產負債表中。

We expect to realize the first tranche of cash tax refunds in calendar 2025 and subsequent refunds in 2026 and beyond. In summary, this $2.5 billion funding package, in conjunction with the required capital raises and debt refinancing, will significantly enhance our financial position and support our US capacity expansion plans. This is simply the first step, however, in our journey to improve our balance sheet and accelerate our path to profitability. While we expect to have access to new capital, we will continue to remain relentlessly focused on liquidity and driving operational improvements.

我們預計在 2025 年實現第一筆現金退稅，並在 2026 年及以後實現後續退稅。總而言之，這項 25 億美元的融資計劃，加上所需的資本籌集和債務再融資，將顯著增強我們的財務狀況並支持我們的美國產能擴張計劃。然而，這只是我們改善資產負債表、加速獲利之路的第一步。雖然我們期望獲得新資本，但我們將繼續堅持不懈地關注流動性和推動營運改善。

Given the higher yields and efficiency of our 200-millimeter production in both substrate and fast stages, in conjunction with a weaker short-term market outlook, we will lower our capital expenditures in fiscal year 2025 to $1.1 billion to $1.3 billion. This is a reduction of $100 million versus our prior guidance. This will allow us to largely complete our facility build-out at the JP and Mohawk Valley while being more prudent with tool expenditures in order to match supply output with market demand. However, with the facilities largely complete, we will be poised to respond with tool installations to expand capacity and serve our customers when demand reaccelerates.

鑑於我們的 200 毫米生產在基板和快速階段的產量和效率較高，再加上短期市場前景較弱，我們將把 2025 財年的資本支出降低至 11 億至 13 億美元。與我們之前的指導相比，這減少了 1 億美元。這將使我們能夠基本上完成 JP 和莫霍克谷的設施建設，同時更加謹慎地對待工具支出，以使供應產量與市場需求相匹配。然而，隨著設施基本上完工，我們將準備好透過安裝工具來應對，以擴大產能，並在需求重新加速時為我們的客戶提供服務。

Now that we have made the decision to move our power device business fully to 200-millimeter, this will allow us to restructure our company to significantly simplify our operating model, lower our non-GAAP EBITDA breakeven point and exit assets we will no longer require for production. As Gregg discussed, we have a variety of operational and headcount restructuring initiatives that are already underway to reduce our overall cost basis and streamline operations. These actions upon completion are targeted to generate annual cash savings of approximately $200 million. This restructuring will be cash neutral in fiscal year 2025 and start generating a large portion of the $200 million of annual cash savings during fiscal year 2026.

既然我們已經決定將我們的功率元件業務完全轉移到200 毫米，這將使我們能夠重組我們的公司，從而顯著簡化我們的營運模式，降低我們的非GAAP EBITDA 盈虧平衡點，並退出我們不再需要的資產用於生產。正如格雷格所討論的，我們已經在實施各種營運和人員重組舉措，以降低我們的整體成本基礎並簡化營運。這些行動完成後的目標是每年節省約 2 億美元的現金。此次重組將在 2025 財年實現現金中性，並在 2026 財年開始產生每年 2 億美元現金節省的大部分。

As part of this program, we expect to recognize total restructuring charges of approximately $400 million to $450 million over the next several quarters, including $87 million in charges recorded in Q1. We have provided a non-GAAP adjustment and a description of these charges in our earnings release today. These restructuring charges include severance costs, asset impairments, asset disposition costs and other related expenses, of which $170 million to $185 million will be in cash charges. As I mentioned before, these restructuring charges are targeted to be cash neutral during fiscal year 2025.

作為該計劃的一部分，我們預計在未來幾季確認重組費用總額約為 4 億至 4.5 億美元，其中包括第一季記錄的 8,700 萬美元費用。我們在今天的收益發布中提供了非公認會計原則調整和這些費用的描述。這些重組費用包括遣散費、資產減損、資產處置費用和其他相關費用，其中1.7億至1.85億美元將是現金費用。正如我之前提到的，這些重組費用的目標是在 2025 財年保持現金中立。

To expand a bit on the restructuring initiatives that Gregg mentioned. First, as a result of our successful transition to 200-millimeter, we are in the process of closing our Durham 150-millimeter device fab. This decision underscores our confidence in 200-millimeter technology and a superior yield, better die costs and overall improved economics. It will be a phased closure, which we expect to complete by the second half of calendar 2025.

稍微擴展一下格雷格提到的重組舉措。首先，由於我們成功過渡到 200 毫米，我們正在關閉達勒姆 150 毫米裝置工廠。這項決定強調了我們對 200 毫米技術、卓越的良率、更好的模具成本和整體改善的經濟效益的信心。這將是分階段關閉，我們預計將在 2025 年下半年完成。

We expect revenue contribution from the Durham fab to continue for the next four quarters with the expectation of a gradual phasing out and transfer of revenue to Mohawk Valley over time. Second, we are in the process of closing our Farmers Branch 150-millimeter Epitaxy facility by the end of this calendar year, with some additional closure we're continuing into mid-calendar 2025. We expect most of the workforce reductions associated with this facility closure will occur by the end of this calendar year. As such, we expect to realize initial cash savings in the second half of fiscal 2025 with full cash savings being achieved by early fiscal year 2026.

我們預計達勒姆晶圓廠的收入貢獻將在接下來的四個季度繼續下去，並預計隨著時間的推移將逐步淘汰並將收入轉移到莫霍克谷。其次，我們正在今年年底前關閉 Farmers Branch 150 毫米外延設施，並在 2025 年中期繼續關閉一些工廠。因此，我們預計將在 2025 財年下半年實現初步現金節省，並在 2026 財年年初實現全額現金節省。

Finally, we are implementing a reduction to our overall nonfactory workforce. And this, along with the factory closures, will impact approximately 20% of our total employee base. The majority of these workforce reductions will be completed by the end of this calendar year. We expect to see lower operating expenses and immediate savings in the current quarter and beyond.

最後，我們正在削減整體非工廠勞動力。這與工廠關閉一起將影響我們約 20% 的員工總數。大部分裁員將於今年底完成。我們預計本季及以後的營運費用將會降低並立即節省開支。

In addition, as part of our restructuring and simplification plan, we will be divesting noncore assets that we target to generate more than $150 million of cash proceeds in calendar 2025 that would be incremental to the savings goals mentioned earlier. This will allow us to simplify our manufacturing and administrative footprint and focus on delivering our leading silicon carbide technologies to our customers. Post these efforts, our primary manufacturing facilities will consist of materials operations in North Carolina in both Durham and the JP and Siler City as well as power device fabrication at Mohawk Valley in Marcel, New York. In total, these actions will generate significant annualized cash savings and cash generation capability once complete, lowering our non-GAAP EBITDA breakeven point to less than $1 billion on an annualized revenue run rate, accelerating our path to profitability.

此外，作為我們重組和簡化計劃的一部分，我們將剝離非核心資產，我們的目標是在 2025 年產生超過 1.5 億美元的現金收益，這將是前面提到的儲蓄目標的增量。這將使我們能夠簡化製造和管理工作，並專注於為客戶提供領先的碳化矽技術。經過這些努力，我們的主要製造設施將包括位於北卡羅來納州達勒姆、JP 和錫勒市的材料業務以及位於紐約馬塞爾莫霍克谷的功率裝置製造業務。總的來說，一旦完成，這些行動將產生大量的年化現金節省和現金生成能力，將我們的非GAAP EBITDA 盈虧平衡點降低至年化收入運行率的不到10 億美元，從而加速我們的盈利之路。

The $2.5 billion of incremental funding for the CHIPS PMT and the actions we have taken to reduce our operating costs puts us on a stronger financial foundation. This clarity on our financial trajectory underscores our commitment to delivering value to our shareholders and solidifies our confidence in the steps we are taking. Now moving on to our quarterly results. We generated $195 million of revenue for the quarter, slightly below the midpoint of our guidance and down 3% sequentially.

CHIPS PMT 的 25 億美元增量資金以及我們為降低營運成本而採取的行動為我們奠定了更強大的財務基礎。我們財務軌跡的清晰性強調了我們為股東創造價值的承諾，並堅定了我們對正在採取的步驟的信心。現在轉向我們的季度業績。我們本季的營收為 1.95 億美元，略低於我們指引的中點，比上一季下降 3%。

We recognized power revenue of $97 million, down quarter-over-quarter, driven largely by lower demand in the industrial and energy sectors. Revenue contribution from Mohawk Valley was $49 million, up more than 20% quarter-over-quarter but at the lower end of our range due to lower customer demand within the quarter. We also note that this is the first quarter that Mohawk Valley contributed more power device revenue than the Durham fab and with higher yields and consistent operating execution remains poised to deliver higher levels of revenue in future periods. We had materials revenue of $98 million, up slightly from our prior quarter and above our expectations, driven by continued strong operating performance by our materials operations team.

我們確認電力收入為 9,700 萬美元，環比下降，主要是由於工業和能源領域需求下降。莫霍克谷的營收貢獻為 4,900 萬美元，季增超過 20%，但由於本季客戶需求下降，處於我們範圍的下限。我們也注意到，這是莫霍克谷貢獻比達勒姆晶圓廠更多功率元件收入的第一季度，並且憑藉更高的產量和一致的營運執行力，仍有望在未來時期提供更高水準的收入。在我們的材料營運團隊持續強勁的營運績效的推動下，我們的材料收入為 9,800 萬美元，比上一季略有成長，並超出了我們的預期。

Non-GAAP gross margin for the first quarter was 3.4%, down quarter-over-quarter, but above the midpoint of our August guidance. This included $26 million or approximately 1,300 basis points of underutilization costs, primarily related to Mohawk Valley. Margins were also impacted by lower revenue driven by industrial and energy mix and lower product margins from our Durham fab, but offset by improved yields and operating performance at Mohawk Valley. Operating expenses were $120 million in the quarter, well below our guidance and down $10 million quarter-over-quarter as we continue to manage costs in conjunction with our overall simplification initiatives and restructuring efforts.

第一季非 GAAP 毛利率為 3.4%，季減，但高於我們 8 月指引值的中點。其中包括 2,600 萬美元或約 1,300 個基點的未充分利用成本，主要與莫霍克谷相關。工業和能源結構帶來的收入下降以及達勒姆工廠產品利潤率的下降也影響了利潤率，但莫霍克谷產量和營運績效的提高抵消了這一影響。本季營運費用為 1.2 億美元，遠低於我們的指導，環比減少 1,000 萬美元，因為我們繼續結合整體簡化計劃和重組工作來管理成本。

Adjusted EPS was ahead of the midpoint of the August guidance as we saw the benefits of the higher gross margin percent and lower OpEx offset the impact of lower revenue mentioned earlier. Turning to the balance sheet, we ended the quarter with a strong cash position with total cash and cash equivalents of approximately $1.7 billion. This amount does not include the additional $250 million of term loan financing received in October. Free cash flow during the quarter was negative $528 million, comprised of negative $132 million of operating cash flow and $396 million of capital expenditures.

調整後每股盈餘高於 8 月指引值的中點，因為我們看到較高毛利率和較低營運支出的好處抵消了前面提到的較低收入的影響。談到資產負債表，本季結束時，我們的現金狀況強勁，現金和現金等價物總額約為 17 億美元。該金額不包括 10 月收到的額外 2.5 億美元定期貸款融資。本季自由現金流為負 5.28 億美元，其中營運現金流為負 1.32 億美元，資本支出為 3.96 億美元。

Importantly, with the CHIPS PMT and funding package as well as the restructuring actions that we're taking, we target maintaining a minimum cash balance greater than $1 billion moving forward. Finally, turning to our Q2 2025 guidance. We target Q2 2025 revenue to be between $160 million to $200 million, reflecting the current macro environment and our demand visibility related to EVs. We continue to have ongoing customer demand discussions that we expect to provide more clarity for calendar 2025 as we complete the quarter.

重要的是，透過 CHIPS PMT 和融資方案以及我們正在採取的重組行動，我們的目標是保持至少 10 億美元以上的現金餘額。最後，轉向我們的 2025 年第二季指引。我們的目標是 2025 年第二季的營收在 1.6 億至 2 億美元之間，反映了當前的宏觀環境以及我們與電動車相關的需求可見度。我們將繼續進行持續的客戶需求討論，希望在本季結束時為 2025 年月曆提供更清晰的資訊。

The rights revenue at Mohawk Valley is targeted to be between $50 million to $70 million for Q2. Given the near-term variation and the demand outlook and our continued discussions with customers for the second quarter of fiscal 2025, we are providing a wider guidance range. We expect to complete a planned shutdown to conduct maintenance at both our Durham and Mohawk Valley campuses in Q2. For the Mohawk Valley fab, we will be completing system tie-ins to increase our utility capacity, which will enable us to reach full fab output.

莫霍克谷第二季的版權收入目標為​​ 5,000 萬至 7,000 萬美元。考慮到近期變化和需求前景以及我們與客戶對 2025 財年第二季度的持續討論，我們提供了更廣泛的指導範圍。我們預計將在第二季完成計劃的關閉，以對達勒姆和莫霍克谷校區進行維護。對於莫霍克谷晶圓廠，我們將完成系統搭配以提高我們的公用設施容量，這將使我們能夠達到晶圓廠的全部產出。

For the Durham campus, we will be performing standard preventative maintenance on key portions of our electrical infrastructure in order to increase reliability. The impact of these shutdowns has been contemplated in our guidance range. We target Q2 2025 non-GAAP gross margin to be between minus negative 6% to positive 6%. At the midpoint of this range includes approximately $35 million or 1,900 basis points of underutilization costs of $9 million quarter-over-quarter, primarily related to Mohawk Valley as we will reduce utilization this quarter to target an inventory burn as well as complete the scheduled maintenance shutdowns I just mentioned.

對於達勒姆校區，我們將對電氣基礎設施的關鍵部分進行標準預防性維護，以提高可靠性。我們的指導範圍已考慮到這些關閉的影響。我們的目標是 2025 年第二季非 GAAP 毛利率在負 6% 到正 6% 之間。該範圍的中點包括約 3500 萬美元或 1,900 個基點的季度環比 900 萬美元的未充分利用成本，主要與莫霍克谷相關，因為我們將在本季度減少利用率，以實現庫存燃燒並完成計劃維護我剛才提到的停工。

We target Q2 2025 non-GAAP operating expenses of $110 million, down another $10 million quarter-over-quarter and down $20 million or approximately 15% from fiscal 4Q '24 to reflect the impact of restructuring actions and cash savings efforts. We are continuing to invest in our business, while at the same time, structurally simplifying the company to be lower cost and creating a clear path to profitability. We now expect non-GAAP EBITDA profitability in the second half of fiscal 2025 and operating cash flow breakeven during fiscal year 2026. As market conditions continue to improve, Wolfspeed will be ready.

我們的目標是2025 年第二季非GAAP 營運費用為1.1 億美元，比上一季再減少1,000 萬美元，比24 年第四財季減少2,000 萬美元，約15%，以反映重組行動和現金節約工作的影響。我們將繼續投資我們的業務，同時從結構上簡化公司以降低成本，並創造一條清晰的獲利之路。我們現在預計 2025 財年下半年將實現非 GAAP EBITDA 獲利，並在 2026 財年實現營運現金流盈虧平衡。

We will be more nimble and agile to respond to customer needs. Thank you, and I'll now turn it back over to Gregg for closing comments.

我們將更靈活、敏捷地回應客戶需求。謝謝，我現在將其轉回格雷格以徵求結束意見。

Thanks, Neill. As we close out the first quarter, I want to reiterate the significant progress we've made to achieve the targets that we communicated and put Wolfspeed on a path for long-term success. As I said at the start of today's call, Wolfspeed has had a critical inflection point in our strategic direction and priorities as an organization. And we are focused on solidifying our capital structure to complete and position our 200-millimeter footprint to generate an annual targeted revenue of approximately $3 billion, while optimizing our strategic options.

謝謝，尼爾。在第一季結束之際，我想重申我們在實現我們傳達的目標方面取得的重大進展，並使 Wolfspeed 走上長期成功的道路。正如我在今天電話會議開始時所說的那樣，Wolfspeed 作為一個組織，在我們的策略方向和優先事項上遇到了一個關鍵的轉折點。我們專注於鞏固我們的資本結構，以完成和定位我們 200 毫米的足跡，從而產生約 30 億美元的年度目標收入，同時優化我們的策略選擇。

We are simplifying our business to be the 200-millimeter leader with a lower cost structure and capital requirements to accelerate our path to profitability, and we're positioning the company to capitalize on the structural and long-term growing demand for silicon carbide power devices and material. We look forward to providing additional updates on our progress in the coming months. And as always, we would like to thank everyone for your continued support. And now I'll turn it over to the operator for Q&A.

我們正在簡化我們的業務，以更低的成本結構和資本要求成為 200 毫米領導者，以加速我們的盈利之路，並且我們將公司定位為利用碳化矽功率裝置的結構性和長期增長的需求和材料。我們期待在未來幾個月提供有關我們進展的更多最新資訊。一如既往，我們要感謝大家的持續支持。現在我將其轉交給接線員進行問答。

(Operator Instructions) Brian Lee, Goldman Sachs.

（操作員指示）Brian Lee，高盛。

I know you kind of walked through some of this, but maybe just wanted to ask point blank. I know the dust hasn't even settled on the election results and sort of this potential Red sweep, but can you speak to what that means for the chipset broadly and then your status with the PMT? And just maybe walk us through the next steps here as you think about the implications of last night. And then I had a follow-up.

我知道您已經經歷過其中的一些內容，但也許只是想直截了當地問一下。我知道選舉結果和這次潛在的紅色橫掃尚未塵埃落定，但您能否談談這對晶片組以及您在 PMT 中的地位意味著什麼？當你思考昨晚的影響時，也許可以引導我們完成接下來的步驟。然後我進行了跟進。

Thanks, Brian. So again, obviously, we've been in communication with the CHIPS office on a pretty constant basis, both toward the election and today. The localization or the repatriation of the semiconductor supply chain becoming less reliant on foreign supply is a national and economic security issue for the US, it's a bipartisan priority; and the CHIPS Act has got strong bipartisan support. Silicon carbide is especially important that it's becoming really a predominant power technology for high-power applications that includes the grid, that includes AI data centers, numerous other industrial applications, and of course, electric vehicles as we've been saying.

謝謝，布萊恩。因此，顯然，無論是在選舉之前還是今天，我們一直與 CHIPS 辦公室保持相當穩定的溝通。半導體供應鏈的本地化或回流，減少對外國供應的依賴，對美國來說是一個國家和經濟安全問題，是兩黨的優先事項； CHIPS 法案得到了兩黨的大力支持。碳化矽尤其重要，因為它正在真正成為高功率應用的主要電力技術，包括電網、人工智慧資料中心、許多其他工業應用，當然還有我們一直所說的電動車。

Now the thing that's different in silicon carbide is a US homegrown technology and U.S. currently has the leadership in this, and we've been very much engaged with the CHIPS program office on this particular point. So this CHIPS grants is an investment in keeping the leadership versus trying to get it back or repatriate. And I think the election result doesn't change any of that. There's a very strong bipartisan support for this activity.

現在碳化矽的不同之處在於美國本土技術，美國目前在這方面處於領先地位，我們在這一特定問題上與 CHIPS 計畫辦公室進行了密切接觸。因此，CHIPS 的贈款是一項保持領導地位的投資，而不是試圖將其奪回或遣返。我認為選舉結果不會改變這一切。這項活動得到了兩黨的大力支持。

Okay. Awesome. Appreciate those thoughts. And then just second question related to some of your customer, one of your customer comments on a recent call, I think Renesas was talking about maybe pulling back on wafer commitments with you. I don't know if that is true? Or maybe you can provide some details, maybe speak to the latest status there as well with Renesas. And whether that's specific to 200-millimeter or 150 or both? And then if there are any implications for their deposit with you.

好的。驚人的。欣賞這些想法。然後是與您的一些客戶相關的第二個問題，您的一位客戶在最近的一次電話會議中發表評論，我認為瑞薩正在談論可能會取消與您的晶圓承諾。我不知道這是不是真的？或者您可以提供一些詳細信息，也許還可以談談瑞薩電子的最新狀態。這是特定於 200 毫米還是 150 毫米或兩者兼而有之？然後他們在您那裡的存款是否有任何影響。

Yes. Thanks for that, Brian. Renesas is a great partner. We have a very, very strong relationship with them across multiple levels, including the CEO levels. They are new to the silicon carbide business, so it would be very normal that demand would ebb and flow as they established a foothold in the business. We continue to work with them on their supply plans, and that's for both 150 and 200-millimeter substrates with them.

是的。謝謝你，布萊恩。瑞薩電子是一個很好的合作夥伴。我們與他們在多個層面上都建立了非常非常牢固的關係，包括執行長層面。他們是碳化矽行業的新手，因此當他們在該行業站穩腳跟時，需求的起伏是很正常的。我們將繼續與他們合作制定 150 毫米和 200 毫米基板的供應計劃。

Samik Chatterjee, JPMorgan.

薩米克‧查特吉，摩根大通。

This is Joe Cardoso on for Samik. I was wondering if you could provide a bit more color on how you guys are envisioning the magnitude and timing relative to the revenue ramp down of the Durham device fab and the impact to your top line through the next year. And as you talk to customers around transitioning the capacity that you're currently running out of Durham to Mohawk, what's your sense on the appetite to transition this capacity versus perhaps customers potentially being more reluctant to do so? Basically, just curious if there's any concerns around not being able to capture all of that as you try to transition it from Durham to Mohawk.

我是喬·卡多佐 (Joe Cardoso) 替補薩米克 (Samik)。我想知道你們是否可以提供更多信息，說明你們如何設想相對於達勒姆設備工廠收入下降的幅度和時間，以及明年對你們營收的影響。當您與客戶討論將目前從達勒姆耗盡的產能轉移到莫霍克時，您對轉移這種產能的興趣有何看法，而客戶可能更不願意這樣做？基本上，只是好奇當您嘗試將其從達勒姆轉移到莫霍克時是否存在無法捕獲所有這些的擔憂。

Yes, thanks. So I'll kick it off and then maybe Neill can give a little bit more color. Obviously, anytime you transition from one fab to another, the customers have an input into that, we're engaged with them. I think the thing that's very different in this particular, situation is that we're moving from a very manual optimized fab to a new, highly automated fab that we believe is going to produce as well, is producing better results and out of the tab in North Carolina and also have a higher quality since there will be less manual interventions in that fab. We're already engaged with customers on that. We've got a pretty solid plan.

是的，謝謝。所以我會開始它，然後也許尼爾可以提供更多的色彩。顯然，每當您從一家晶圓廠轉移到另一家晶圓廠時，客戶都會對此提出意見，我們會與他們互動。我認為在這種特殊情況下，非常不同的事情是，我們正在從一個非常手動優化的工廠轉移到一個新的、高度自動化的工廠，我們相信它也會生產，正在產生更好的結果並且超出了選項卡位於北卡羅來納州，品質也更高，因為該工廠的人工幹預會更少。我們已經就此與客戶進行了接觸。我們有一個非常可靠的計劃。

I think we're transitioning the vast majority of the revenue up to the factory. There will be some parts that don't transfer, but the vast enough amount of revenue is planning to transfer to Mohawk Valley. I would note that all of our powertrain customers that we're shipping to, to today currently have already been qualified and the best that is shipping already out of Mohawk Valley. So that transition was well underway.

我認為我們正在將絕大多數收入轉移給工廠。會有一些部分不會轉移，但足夠的收入正計劃轉移到莫霍克谷。我要指出的是，我們今天發貨的所有動力總成客戶目前都已經合格，並且最好的已經從莫霍克谷發貨。所以這種轉變正在順利進行中。

Yes. And just from a revenue perspective coming out of Durham, right now, we are starting to ramp down our automotive products at Durham. That's already well underway. I think from an industrial energy perspective, as Gregg mentioned, we qualified in both auto and nonauto parts, a very significant amount already at Mohawk Valley. So we'll just transition those parts up there. So as we move into the second half of the year, the fiscal year, we really just think about it from a market perspective, we'll lower revenue, particularly in the Durham fab in this quarter.

是的。僅從達勒姆的收入角度來看，我們現在開始減少達勒姆的汽車產品。這已經在順利進行中。我認為，從工業能源的角度來看，正如格雷格所提到的，我們在汽車和非汽車零件方面都取得了資格，其中在莫霍克谷已經有很大一部分。所以我們只需將這些部分轉移到那裡即可。因此，當我們進入今年下半年（本財年）時，我們實際上只是從市場角度考慮，我們將降低收入，特別是本季度達勒姆工廠的收入。

We'll burn off some inventory. We'll see how that rebound in the second half of the year just driving more towards Mohawk Valley. So we'll see Mohawk Valley revenue continue to increase and Durham kind of come down over the following quarters. At least that's kind of our forecast for today. What we can tell is some customers may make some end-of-life or later purchases in the fab.

我們將燒掉一些庫存。我們將看到今年下半年的反彈將如何推動莫霍克谷的發展。因此，我們將看到莫霍克谷的收入繼續增加，而達勒姆的收入在接下來的幾個季度中將有所下降。至少這是我們今天的預測。我們可以知道的是，有些客戶可能會在晶圓廠進行一些報廢或稍後的購買。

We don't have that baked in yet, but we'll wait to see how those kind of play out. Our expectation is we're going to see a lot more revenue at Mohawk Valley coming forward as Durham starts to come down during the next nine to 12 months.

我們還沒有把它烤熟，但我們將拭目以待，看看結果如何。我們的預期是，隨著達勒姆的房價在未來 9 到 12 個月內開始下降，莫霍克谷的收入將大幅增加。

Colin Rusch, Oppenheimer.

科林‧魯施，奧本海默。

Can you talk a little bit about the competitive environment with your customers on the material side around moving to 200 millimeters on those wafers? And how much of the wafer and materials business is going to migrate into the larger diameter here over the next 12 months?

您能否與您的客戶談談在材料方面圍繞晶圓尺寸向 200 毫米發展所面臨的競爭環境？未來 12 個月內，有多少晶圓和材料業務將遷移到更大直徑的領域？

Yes. So we are obviously moving our own business to 200-millimeter, and many of our materials customers are interested as well in moving to 200-millimeter over time. We have engaged with many of them in initial discussions about supply agreements on 200-millimeter. I think, in fact, we had several of them visiting the JP to kind of check out what we're doing there. I would say they were pretty impressed with the scale of the operation there.

是的。因此，我們顯然正在將自己的業務轉向 200 毫米，而我們的許多材料客戶也有興趣隨著時間的推移轉向 200 毫米。我們與其中許多人就 200 毫米供應協議進行了初步討論。我認為，事實上，我們有幾個人訪問了 JP，以了解我們在那裡所做的事情。我想說他們對那裡的業務規模印象深刻。

We're in the early phases of discussions on this, but I would say the interest is pretty solid. And the capability that we're demonstrating or the confidence that we're demonstrating by shutting down our 150-millimeter device fab gives them the confidence that our 200-millimeter material operation is in really good shape. So those discussions are going on right now, and we'll kick out today as those come to fruition.

我們正處於對此進行討論的早期階段，但我想說，人們的興趣相當濃厚。我們透過關閉 150 毫米元件工廠所展現的能力或信心，讓他們相信我們的 200 毫米材料運作狀況非常良好。因此，這些討論現在正在進行中，當這些討論取得成果時，我們將在今天結束。

Jed Dorsheimer, William Blair.

傑德·多斯海默，威廉·布萊爾。

I guess two questions. So first one, maybe, Neill, just going back to the previous question. I'm not sure if you or I didn't hear it. But if Mohawk Valley is doing 50 to 70, did you mention what Durham would be in the devices for the quarter out of that 150 to 200 guide? And then I have a follow-up.

我猜有兩個問題。所以第一個，也許，尼爾，回到上一個問題。我不確定你或我是否沒有聽到。但是，如果莫霍克谷正在做 50 到 70 個，您是否提到達勒姆將在 150 到 200 個指南中的季度設備中使用什麼？然後我有一個後續行動。

Yes. So it's coming down, obviously, for $50 million, $70 million. We're roughly at $60 million or so at the midpoint. I think if you look at power devices, we're going to see that break that down quarter-over-quarter, primarily related to industrial energy burn off in terms of building inventory burn off in the channel. We will see significant EV growth continue here into the quarter at the midpoint.

是的。因此，顯然，它會下降 5000 萬美元、7000 萬美元。我們的中間值大約是 6000 萬美元左右。我認為，如果你看一下電力設備，我們將看到季度環比下降，主要與通路中建築庫存消耗的工業能源消耗有關。我們將看到電動車的顯著成長將持續到本季中點。

We are widening the ranges because we're having some customer discussions right now. We do see some incremental EV demand. So we'll see Durham come down further, and we'll probably see power devices in that kind of $90 million to $95 million range kind of at the midpoint is what we're thinking right now, Jed. So we can see some reduction in Durham, burn off some of that inventory, probably coming down lower but more EV strength.

我們正在擴大範圍，因為我們現在正在進行一些客戶討論。我們確實看到了一些電動車需求的增量。因此，我們會看到達勒姆的價格進一步下降，我們可能會看到功率裝置價格在 9000 萬美元到 9500 萬美元之間，這就是我們現在正在考慮的中間點，傑德。因此，我們可以看到達勒姆的一些庫存減少，消耗掉一些庫存，可能會下降，但電動車的實力會增強。

Got it. And then just as a follow-up, just regarding the '26 converts and the raise of the $300 million, is that to retire those? Or is your plan to restructure those converts?

知道了。然後，作為後續行動，就 26 年的轉換者和 3 億美元的籌集而言，是要退休那些人嗎？或者您計劃重組這些皈依者？

Yes. So as it relates to how we're thinking about executing the plans related to the PMT, as we said on the call, we're just going to look at market conditions. We're clearly going to do what we think is in the best interest of long-term shareholder value of those requirements that relates to the PMT. And obviously, that will allow us to drive very significant liquidity into the business. As I said also, it requires two things.

是的。因此，正如我們在電話會議上所說，這關係到我們如何考慮執行與 PMT 相關的計劃，我們將只關注市場狀況。顯然，我們將採取我們認為符合 PMT 相關要求的長期股東價值最佳利益的做法。顯然，這將使我們能夠為業務注入大量的流動性。正如我所說，它需要兩件事。

It requires us to raise up to $300 million of equity to receive the full grant. However, it's only a portion of that to get to the first tranche. So that's number one. If you ask about the convertibles and again, to receive the first tranche, we need to refinance a portion of the 2026 converts to go do that, and we have said that on the call. So we'll look at a number of options to go do that, look at the market conditions, look at where obviously where the share price is and make a decision depending on how that looks out here in time.

它要求我們籌集最多 3 億美元的股本才能獲得全額資助。然而，這只是獲得第一批資金的一部分。所以這是第一。如果您再次詢問有關可轉換債券的問題，為了獲得第一筆資金，我們需要為 2026 年轉換債券的一部分進行再融資才能做到這一點，我們在電話會議上已經說過了。因此，我們將考慮多種選擇來做到這一點，看看市場狀況，看看股價的明顯位置，並根據此時的情況做出決定。

George Gianarikas, Canaccord Genuity.

喬治‧賈納里卡斯 (George Gianarikas)，Canaccord Genuity。

On the recent call, you did around the CHIPS Act, you had mentioned some operational milestones that you had to meet in order to qualify for subsequent tranches. Can you just give us a little bit of color on what those milestones are and your confidence in achieving them given the situation that your fundamentals occur?

在最近的電話會議上，您圍繞《CHIPS 法案》進行了討論，您提到了一些營運里程碑，您必須滿足這些里程碑才能獲得後續付款的資格。您能否向我們介紹一下這些里程碑是什麼，以及在基本面發生的情況下您對實現這些里程碑的信心？

Yes. The near term -- the first tranche, and Neill will go through a little bit of detail in terms of what that first tranche means. We've got pretty good -- I would say we've got very solid line of sight to hitting the milestones that are going in for the first milestone that we need to hit.

是的。近期－第一批，尼爾將詳細介紹第一批的涵義。我們已經取得了相當好的進展——我想說，我們對實現我們需要實現的第一個里程碑有非常堅實的視線。

Yes. So I think from an operational perspective, we're in good shape. And as it relates to that first tranche, in addition to the -- as I mentioned earlier on equity convertibles, essentially, what you're talking about is 20% to 25% of that first tranche coming in that would also include the next tranche of the debt financing for another $250 million. So I think between the capital raise and the refinancing, the direct disbursements related to the debt financing will drive a significant amount of capital in. So I think on all fronts, I think we've got a very solid plan here.

是的。所以我認為從營運角度來看，我們的狀況良好。由於它與第一部分有關，除了我之前提到的股票可轉換債券之外，本質上，你所說的是第一部分的 20% 到 25%，其中還包括下一部分另外2.5億美元的債務融資。因此，我認為在融資和再融資之間，與債務融資相關的直接支出將帶來大量資本。

Joshua Buchalter, TD Cowen.

約書亞‧布查爾特 (Joshua Buchalter)，TD 考恩 (TD Cowen)。

This is Lanny on for Joshua. I have two questions for you. My first one, it sounds like you're guiding your materials business down high single digits quarter-over-quarter based on the devices guidance of low 90s. Can you talk about the puts and takes there? Any timing issues as far as recognition goes or perhaps demand from your customers who are also probably likely seeing similar weaknesses in industrial and energy revenue? And I have a follow-up.

這是約書亞的蘭尼。我有兩個問題想問你。我的第一個問題是，聽起來您正在根據 90 年代低的設備指導，指導您的材料業務季度環比下降高個位數。您能談談那裡的看漲期權和看跌期權嗎？就認可而言是否存在任何時機問題，或者您的客戶可能也可能看到工業和能源收入方面的類似弱點的需求？我有一個後續行動。

Yes. So I think in terms of I talked a little bit about devices coming down, particularly related to industrial energy, although we are still continuing to see, at the midpoint, strength from an EV perspective as we head into the December quarter. As it relates to materials, I think it's similar kind of somewhat end market weakness is what we're seeing. We continue to work with customers as we always have. It's the timing of shipments and inventory that we're managing related to those end markets. We've got very big contracts and very good relationships with those customers. So really just a matter of kind of working through end market demand materials front as well.

是的。因此，我認為我談到了一些關於設備下降的問題，特別是與工業能源相關的設備，儘管我們在進入 12 月季度時仍然繼續從電動車的角度看到中點的實力。由於它與材料有關，我認為我們所看到的終端市場疲軟是類似的。我們將一如既往地與客戶合作。我們正在管理與這些終端市場相關的出貨時間和庫存。我們與這些客戶簽訂了非常大的合約並建立了非常良好的關係。因此，這其實只是解決終端市場需求材料的問題。

Yes, that makes sense. And then just housekeeping question for Neill regarding some of the recent capital raises that you've done with, the consortium. Could you walk us through how you see interest expense evolving over the next year or so kind of given the change in terms?

是的，這是有道理的。然後，我要問尼爾一些有關您最近與財團完成的一些融資的內務問題。鑑於條款的變化，您能否向我們介紹一下您如何看待未來一年左右的利息支出的變化？

Yes. Sure. So I'll focus on the cash interest. So if you look at current year versus prior, we'll actually see the cash interest come down year-over-year, as you look into 2025, fiscal '25 versus 24. The reason for that is also we restructured the CRD to push out some of the interest cost on that, which will help some of the interest costs come down year-over-year. And it will also help provide some improvement in terms of our operating cash burn as you think about the second half of the year.

是的。當然。所以我將重點放在現金利息上。因此，如果您比較今年與前一年的情況，我們實際上會看到現金利息逐年下降，就像您考慮2025 年、25 財年與24 財年相比。以推動扣除部分利息成本，這將有助於部分利息成本逐年下降。當你想到今年下半年時，這也將有助於改善我們的營運現金消耗。

So operating cash burn will likely come down, mostly based on the restructuring actions we talked about on the call, but also related to the lower cash interest. And we'll start to come back up as we get into 2026. Our anticipation is when you think of the structural demand over time to anticipate coming along with the restructuring actions, the savings that we're seeing, the $200 million of cash savings, we'll start to see a big chunk of those as you look into fiscal year 2026. We should be in good shape to get coverage on that.

因此，營運現金消耗可能會下降，這主要是基於我們在電話會議上討論的重組行動，但也與現金利息較低有關。當我們進入 2026 年時，我們將開始恢復。你展望2026 財年時，我們將開始看到其中的很大一部分。

Thank you for your question. There are no additional questions waiting at this time. So I'll pass the conference back to Gregg Lowe, CEO, for any closing remarks.

謝謝你的提問。目前沒有其他問題等待。因此，我會將會議轉交給執行長格雷格·洛 (Gregg Lowe)，讓其發表閉幕詞。

Thank you, everyone, for taking the time to be with us today, and we look forward to catching up with you next quarter.

感謝大家今天抽出時間與我們在一起，我們期待下個季度與您會面。

That concludes the conference call. Thank you for your participation. You may now disconnect your lines.

電話會議到此結束。感謝您的參與。現在您可以斷開線路。