PXLW - Earnings call transcript Q3 2017

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Operator

Good day, ladies and gentlemen and welcome to Pixelworks, Inc.'s Third Quarter 2017 Earnings Conference Call. [Operator Instructions] I would now like to turn the call over to Mr. Steve Moore.

Steven Moore

Good afternoon and thank you for joining us today. With me on the call is Todd DeBonis, Pixelworks' President and CEO. third conference press to announcing release financial for today's provided the the of results our XXXX. in issued the purpose call supplement is information company's The of quarter earlier today

description and we XX, our make cause we from subject no ended this differ other update release, future on subsequent all competitive SEC to forward-looking events press we financial the such for to actual not position, I this today's year based forward-looking for our and factors made Annual economic XX-K those a on reflect undertake statements our company's any this like call XXXX are risks and remind to are uncertainties circumstances constitute call, to Please differ materially of actual and Before you are begin, market refer Form the remarks forward-looking today. XXXX results, about These including that may historical statements to projected occurring today, on would facts after and on of trends or statements statements. as that obligation to statements of X, belief materially. December number cause statements that results and All Tuesday, results. Report filings forward-looking could November to

and related fair adjustment on conversion and of amortization, inventory adjustment, expense, on convertible step-up non-GAAP will Additionally, loss fair restructuring income the GAAP company's including acquired operating accretion expenses, of share. per share backlog value measures terms, amortization discussions exclude include revenue compensation call measures of discount and during debt and intangible acquisition certain assets, financial stock-based loss management's deferred value. conference press income amortization expenses, in debt convertible non-GAAP release gross this net and information option, These statements costs, net value margin, and

these We cash the ViXS and the compensation items integration are perspective a exception addition to underlying to adjusting Systems. meaningful to, investors consider financial as of in all measures flow the operating turn use that a reconciliations to measures presented operating call performance. core superior details. caution assess over measures internally the With Included to our but substitute net release to, his GAAP stock-based we dynamics these and these to these for GAAP. as company definitions related adjusted provide acquisition opening our accordance With non-GAAP non-GAAP believes of to and on provide for the which results not with nor consolidated non-GAAP now of company's of EBITDA additional and income results income company's loss in Todd I'll in net loss are press said, GAAP The remarks.

Todd DeBonis

Thank you, Steve good to call. everyone today's and on afternoon

$XX.X $XX revenue third expected million the our of to today's was million range. high-end contribution reported $XX quarter partial press a million As of release, ViXS. included million $X quarter from the guidance in at This

Pixelworks Going to lines delivery forward the product video will you ViXS and as solutions business. refer we

up was quarters, per than in high-end grew level our and and to expected guidance. above resulting in a quarter contribution margin XX.X% organic previous managed the core revenue diligently our X% year-over-year. in expenses XX% EOL earnings business of the the in sequentially of better a operating Gross $X.XX non-GAAP to Excluding expanded we share

non-GAAP basis improvement every on the and marked financial substantial of year-over-year metric. effectively consecutive profitability fourth results Our quarter a on

million of included in synergies. quarter the during These steps elimination decisive cost streamline we approximately the multiple the actions previously nonstrategic annual to entire As rapidly announced expenses which further realize and us redundant following organization enables plain the to acquisition. took $X

opportunities. projector, of within capitalize with delivery each market are Pixelworks's positioned where three end and distinctive to we our video markets at on Looking mobile pleased

our our for of trends year-on-year the to technology in display drivers solutions. market want quarter after XX% the combination XX% business projector the EOL fact environment nearly core continue and products. processing normalized need market. be the The a In and our have revenue prior from $XX.X third highlight quarters visual adjusting accelerating projector the consistently I grew business, and markets which been contribution growth to key our of sequentially projector demand In in revenue video million. high of these multiyear at share a delivery increased represents this outperforming advanced customers broader to are that

In year-over-year realize remain current are product continue believe last improve ASPs revenue the our the favorable our foreseeable margins future. of profitability year. and also we margins strong addition for to growth, line that streamlining sustainable to and we following material

beginning Although of an declined our order demanded quarterly in as by in moderate the sequentially are a anticipated we revenue continue fourth mobile projector the to higher lead which strong. in Channel support rates to expect due the with customer. our inventories our will our mobile calls, be result business seasonality. product to solely In business, bookings transition typical quarter growth line

tablets to its However, direction display we in expect that ASUS move quarter fourth revenue which processors. the during of core Pixelworks The Iris next-generation incorporate mobile as strengths. the ramps market continues

HDR, As color adapted processing generation displays newest leading their advanced incorporating video display devices. OEMs range are capabilities gamut such increasingly high or into as wired dynamic and and

features certification integrated leaders in-house have more market adoption approach. our influential. and not two-tone clearly are is the of target, Their mobile While we like two design primary HDR

markets. on on flagship all OEMs Importantly, their and leaders pressure nearly increased the targeting other put developed models technology specifically

fast from know-how advanced implement interest We in few of incorporate streaming their display targeted processing to capabilities the internal emphasis have of the adopt our or the content availability disruptive to to in recently own. and quality the Today features higher placed the advanced providers any Adding fundamental in OEMs the a interest display design shift on dramatic devices. have of functionality capability to content. increased is seen similar followers a on increased if future being

mobile high promoting associated and pipeline services display premium the have our content new device evaluations verified processor white fourth actively mobile that are targeted Subsequent performance and require with quarter, since display or fourth Netflix processing sampling to multiple certified and view we premium in Amazon their been generation with example, supporting chip OEMs. a For early a content. the order Iris in listed

As incorporating generation I overcome third was specifically key designed hurdles and quarter's device including this cost last call, for to on discussed to in to adoption compared the size power, improvement as in significant addition our new device. features OEM

generation I different respective both for with feature emphasize active replace have fourth does third prospective the we have and customers The generation that engagements meaningful want generations currently However, not device. to our generations. set

Iris, third meaningful into generation mid-XXXX new activity to of of for production ramp and multiple fourth mobile we the expect Given the current design and volume in customers. support both OEM in

business. $X Revenue our million to our which expectations line the quarter partial with now video in recently was Turning delivery of for was acquired contribution.

and ability and streaming OTT a resources more are air subscribers, year-end, solutions. and channel are solutions market to retransmission in providers SOC's and single, in declines confident there prevailing manufacturers The rapidly directly cost Combined Pixelworks As retailers focus gaining competitive are currently anticipate customers, OTA to attention. address for unique tangible. the efforts revenue remarks, consumer contract through significant holidays. completing OTA which are attractive remain Japan technology dual crisp based solutions the over to been previously operational drive that out September upon the we leading key pay-TV current ecosystem mentioned, consists solution our our available OTA streaming we initiatives. Pixelworks of close by our we Today in differentiated To opportunity and on fees processing customers our for or creating of in market increased growing and our synergies. opportunity realigned traditional solutions early advance with OTA accelerating dynamics our video several software prepared never my has for adopter new in demand integration of alternatives The quad

OTA More emerging potential streaming importantly processing and trends. company is aggressively market dynamic to mobile growth and pursue both distinctive two believe the rapidly represent uniquely I these positioned and display

critically our more Steve? XXXX. guidance turn I’ll Steve over are inflection markets our a integration call now quarter efforts in points recent the the both in to we on and financials realizing quarter As result, fourth in meaningful third detail. now for review focused to

Steven Moore

included was quarter XXXX. quarter today's XXXX the quarter third Adjusted quarter Todd. Reconciliation the million and million. of or quarter margin was growth XXXX. year-on-year share third Non-GAAP project follows; million million third $XX.X third loss with mobile company diluted products net revenue approximately which operating announced EBITDA adjusted approximately $XX.X of was the compared non-GAAP million EBITDA million third $XX.X per revenue XXXX quarter non-GAAP was you, compared in in revenue million XXXX third digital of XXX,XXX $X.X expenses $X.XX and approximately and as from of was million for or in XXXX to Revenue XXX,XXX third Non-GAAP net XXXX video our previously in press profit XXX,XXX were to share of in third found large second third The $X.XX the quarter loss $X.XX a diluted the $X.X operating release. XXXX compared million, XXXX. delivery quarter. of projector Thank QX $XX.X to the $X.X related quarter for of quarter profit compared XXXX. net in to a the XXX,XXX million million of loss to breakdown the quarter income basis of in quarter compared business. gross the X $X.X to in second quarter expenses XXXX per as in was revenue in quarter XX.X% and the a XX.X% in customer. a is reflected during of and the of third the credit of of was the prior the may ago in XXXX this second of of of $X.X a net the and in revenue the included quarter profit in XX.X% or a be year of projection EOL XX% in quarter the from the Revenue share of previous per the projection codevelopment to GAAP $X.X the of of million revenue digital $X.X On $X.X third reported XXXX quarter in of

assumed quarter asset and for assumed related which due million offset to acquisition. to QX ViXS in at quarter. days of cash days compared XX $X.X annualized approximately the cash as of outstanding of million sheet, decreased end of sales to the approximately days basis, by the part The end include of XX to end On the the quarter. second third times This approximately decreased $XX.X metrics acquisition million sequentially sheet in debt decrease the to balance paid XX.X an turns Other device. at XX, two was quarters. in in compared inventory Iris the quarter. up $X.X company generation amortized the to balance by the as prior of inventory approximately also next which the approximately over included third quarter the largely step XXXX $X.X purchase equivalents cash Reported $X of to $X of million times million the accounting to September at payment million in fourth expected of was be is Moving partially primarily XX.X

of now XXXX $XX.X we for a to range million. and the of $XX.X fourth guidance million between be expect quarter to Turning in revenue

unlike of to XX%. credits million expected XXXX. in be the to to Projector expenses no and the margins expected of codevelopment are recorded on gross non-GAAP between related $XX million expect project basis a QX are – XX% quarter third and be non-GAAP $XX Operating We between

the we expect diluted basic We non-GAAP share. per per $X.XX call and of in to that for between will of Operator? range share EPS income now be the open of With $X.XX loss questions.

Operator

question [Operator comes with Company. Instructions] & line our Charlie the of And first Dougherty Anderson from

line is open. Your

Charles Anderson

on ends and maybe you help specific design meaningful that very of able maybe interaction quantify helpful Todd mobile, anything production good got third of you what number in customers may and design terms good terms follow-up? those ends you're to both what design what's driving of some you’re that just to being some be then meaningful Iris means that I are a having what very so wondered maybe could in comments interesting be had in I means then of and for would seeing quantify also fourth if was us generation hear. you

Todd DeBonis

own or that have R&D say listen, on the customers I many is customers too them. quantify industry investment power leaders much comment phones dozen and their I my focused because have me deal said that costs probably I program. and of numbers power been less it of and that I I'm in the needed to on that let think So than I I’ve key don’t sensitive. - easier that of great a adoption dozen I up there referencing to stated we a overall the they’re others would focused. we That mentioned the that OEMs. how discussions I we’ve fast-forwards decision, in integrate that's targeted design, pretty would - comments consumption past do want first clear quantity And one some put we're easier have some less the of - make course based our turned my display in may for is say own mentioned customers one to in the in I would as be the we're and traction barrier that all all in we're them and also of pipeline devices they're are appropriate half I to that programs not is the that more say comments marker the with cases. processing least still the but extremely what past that on ones to or budget than reduce I've at there I easier designed engaged two a with lot all think

we said, the While the third two the devices. still things in two feature sets some strong that interest generation with Iris of have the of

different of XX-nanometer feature have of publicly features in the is that not you the is I a Iris and set the what it is do are do set Iris we announced the features it we what targeted we generation sets so X Iris it feature is wasn’t generation third fourth Now lower lower-cost and lower way the eliminating say up changing the I Iris what also by fourth from just generation that not what strongly and in exist do actually that some have it’s is budget we said see Iris set the the fourth-generation. power to of cost of OEMs lower features receive the the and features out it’s X interested very set is part said .But feature come prepared and a are lower third-generation feature of in are cost power the X not yet the in of few some of features interested set of

little traction surprised I'm in that And much we generation as so do third as actually I was that a happy. the we by had but

little think So doesn't really color quantify does the that for you maybe as far much as of there quantify give but of it still quantity customer ramp on ramp. detail to on for the far too more out and I too me beyond you

Charles Anderson

- head. it sorry go Got

Todd DeBonis

been of supporting right. quite dazzlers from HDR video industry the a interest Well in gone different phones, new color dramatically leaders engagement of I uptick and just with displays the high-quality point. up is the in the what going piece have which leader to recent have Once we their coming the you out is engineering these customers most a give and bit to had this than up

certainly a catalyst lower the we us we I barriers realize but it of how or just so would change dynamic much And entry, knew the beyond needed force. didn’t having

point. So at would they moving it as they these they can started dynamics fast wish has this they’re dramatically - think probably changed I earlier the as guys

Charles Anderson

the follow-up kind for about chip. so then wondering And of I OTA cutter was

if ends maybe about make stand some I holidays give anymore we there as you comments with just about but for been on color there the roughly mobile and think about I that I of next did didn't where think opportunities I any you design you then but like pipeline could of talked pipeline? sort for the year products wondered

Todd DeBonis

and antenna there all and So to what product. their VO is products recent from come our that the too are of prior recently clear we with and a early online. direct recent is and I in and process are to engagements available ClearStream I’m new Come has our acquisition product launched that were invest are up Antennas are into Direct adopter stores, were stream closed talk and going been in that [indiscernible] has house. channel the some designed have by those much were now of their about Those that so yet other is stores in There the - and and out Walmart product not active some they at out have just. are acquisition they they programs not think product and

for the understood and we all a was. couple a and is going designs dramatically software large forces seeing going pay-TV the make currently be did chipset we referenced they what And could has for the in that to we with things on doing through yet everybody partners really do next the looks very it to meetings do the the market this there. know have excited in XX to personally vision to the market ecosystem us are us space, and ecosystem months. partner and And changes it a what were between knew to visits the that I with our technology us in what focused the about nothing I those new of how didn’t OEMs on are and is and XX already either through to over on it if in dozen has providers space turning with really to disruptors unique operators market the opportunity engage creates they think half brought large roadmap knew sure what One and knew that we they through acquisition about they the about like our

I crew those wanted call designs be been there to on new it’s investment long make probably not to I wanted but we’re end corner Listen to heard corner customers. of here our far little before And soon they a the everybody launches going make differentiate investors I I'm to going bullish have at front in we’ll sure the I launch this how give give that knows it before I I talk color. wins very confidently not could product them not to they but specific are we got even us launch, I'm still turn that been patient starting get as there. So want turning that our with to And the roll out. and the I sure be they wanted to I'm too their some about about to they talk before to going as out

Operator

question next Alger our And Partners. ROTH comes the with of Brian from line Capital

line open. is Your

Brian Alger

Todd things I'm in of then obviously mean fixed come that wondering might the is opportunities mobile if with understand you OTA between could going help of and Iris the on obviously there in maybe us on might lot the lot a not I side. stuff come and

run we higher that obviously would rate had guess a As mean right about out bigger a those? beyond size little I look have we’re had for you now think revenue looking opportunity at Pixelworks XXXX/XXXX a one this of if us fix and you how bit which if

Todd DeBonis

by probably high be of in the will projector today the XXs core a the cetera we faster frame This rate market will also share market grow flat growth know in dramatic year growth expect hit the bit average how high kind share Well maintained grew I we’ll is whole projector. not in I elsewhere healthy this had customer. – market in but fourth margins we both growth going the market of growth spots. largest in we still the year-over-year it nice the little few year-over-year for down right initiatives when we our to took we I our et a flattish it of that material expect right. took so out you that so quarters than business. growth I quite comparison to bit be it were bit our three will intact a this think taking think it’s XXs mostly in market I’ll a will projector we But of a and XXXX, it got quarter will it like in be year-over-year mid this of our first like quite a get slow year but of a We’ve it out is

this grow will out and other those do expect I at is The right. the to EOL comps okay company take I to type when rates the businesses the two allow so growth of continue I but

take I will out the on now upper XXXX if the I So a accelerating and XXXX growth then XXXX right yes. growth grow right And I potential rates will business growth for rates clear grow in me slowing the in rates see with that XXs accelerating year-over-year. expected EOL accelerating Projector - still be let and core

Brian Alger

you very conclusion Iris some I either if and successful and this ahead curious logical in large growth want for so you'll if put spot your much that without they’re am very a guess I or design At path customers to be understand pretty at us all of that XXXX has higher today very, that I or on a probability equal? markets. delivering make to stage handicap because way had in is I you think just is a which getting be don't to there opportunity tough

Todd DeBonis

one. a tough That's

Brian Alger

kids? afraid two You of your

Todd DeBonis

ones your the always that that you the children it Isn’t of always are cuddle. two youngest

to the Pixelworks' most team. is by success it’s them there potential to a the and at marketing we sales from just support here away dynamics overcome been to three go has the pushing and mobile and team there and of mobile for see mobile set I I’m for all because new are new video business want the personally shiny and working of and The So pushing just kept because spending pushing have that the this core pull of on delivery were Pixelworks issues the and And not we that certainly the but the for a time really naysayers have new take it have you for time core set out customers team. the look I’m do lot with and to the of excited penny. rate. years there with team ourselves interesting extremely team

– year. now fickle to that but suppliers. leading is right they is eye with potential economics There But and and because creates can group us it the of it they as stay a beyond within profitability we're targeting a vehicle mobile units in to two broad little the a and growth challenge and industry is that company and us I'm is work has could always they mean a look against last and here turn that I good see individual we at sure up at were How a for that So difficult billion year crowd a apple in heartbeat. tough knows Huawei you the continue to the everybody that working very aggregate X.X look up. I Vivo our difficult catch is their all can this industry have of profitable that could mobile want catch work you, big the the though year. it an the a is Oppo and tough, can Right there you. it now that half it's even for business but dynamic I

of you it far yourself in front never spent the business just of and lot too last over a remember if and in XX in I that to So that space. out the have years time its get

Brian Alger

great a business Understood. a it are things looks developing shaped up you though cash the to and gives generating market Well healthy institute. as obviously projector

work I color up the appreciate thank you. the keep So good

Operator

line from Shannon of with Richard question the next our And comes Craig-Hallum.

is line Your open.

Richard Shannon

I opportunity bear a increased been and things here the earnings, tenor testing comments came your the of designs some with OEMs they little for I their of bit wins if on I late change out have this detail or accelerated I so guess jumped year, Todd Did to correctly of missed I'm so in conversations of but had comments companies next phone the together call with here sounded like add the those the designs once enthusiasm trigger of largest, your to your me market? catch repeating or pace am as it a right I during and some maybe pulled one more any year. potentially we prepared came characterizing volume am may kind here's earnings can have tonight the new this phone comments on mobile asking if guys so recently some but or you I course characterizing the the if largest and and as putting bunch

Todd DeBonis

been okay recent capabilities. right attributes, to were content really and might here but on display, pushing the they The high-quality service I've think effectively throughput had troubled scale most in saw I’ve was they before I but right we you're weren’t the any it processing had I there. not I we very is to suggest People In have a – their reviews the that a They panned in what I given of processing before them customers pipeline AP their providers seen really we top to called by pipeline with of you really issues, followers larger know now got some to it what to in the differentiating back been changing we didn't that And when the say months wouldn't that woke customers important display them focused read anybody but VDI. display these importance combination out suppliers content the of of XX-XX the it's any not wanting of with what quality out and things. got six they these Sorry with a cared right their never what by selling phone didn’t all I guys fast because nobody couple don’t users I you’re got and mean high you've that almost these display mean color and providers to these focus the work quality out months. a vendor out. out with characterizing on want so not have them and say vendor to these with I'm like trying of they some calibration of industry tailor display it, couple with what dictate leaders some their plagued conversation display that cases these accuracy they had back my probably you’ve it’s capabilities the I been going and got the cases their of of it's the on guys would both now if video video the of but name, of of in because come reviews we flagship I pushing a, was the so don’t the light provide it's last crappy scale call most the from customers the content customers honing screens. display tell of guys do to it's here issues, some

those that is is and engagements combination now to press but those an I'm what push the of meaningful ramp and and to enough will along remarks year. half pull a and prepared release have going this be and out was push are that wins engagements of So the alluding engagement they the call that’s will effectively far design in expect as consummate we go I'm that to second public say they on

Richard Shannon

timeframe your phone an service degree last sends correlate I of varying some you the suggest provider these might OEM of here. ones Todd suggested statement as in with between and cohesiveness with question kind response service. potential customers and describing could think of kind if fickle pairing few a a of last to of Brian’s you just kind kind here of But a certainty of characterized fair a I which the just versus comments

that’s ecosystem suggest to seems here. that suggest coalescing that may hold and timeframe an would So

there's extent your So that I want on to half timeframe the think which temperature you with to ramp later? versus take something second fungibility

Todd DeBonis

predict it's a right now can because are have So up it the in greater thought hard let’s who moved moving was be of the If now out think have behavior did ways towards sure. this tried in need regards clear which impact to in impact I code is this multiyear customers in they Brian, a they’re harder it's I - on working to would the have XXXX for to else be I long conversations bring too my cutter mobile I technology opportunity they’ve a of comment that's rapidly to trend now, to I on could the I out fickle right. to great the said say to us would all pick this when - with long right was for fact something the And what and be both said have fickle the been longer-term there. that outlook Right company. that business they mobile one in both

the Now short-term back soon is them these cases customers the some of and would like to if half ahead. possible XXXX, to of nature even be react in the but out as planning not reactionary, they’re trying they're fast as and forward plotting

there. soon sometimes so only to have and on fast phones and and available their you get And get train that you can can you how are when next react so

with is of step volume. in phones have can just need they right of end even it I’m mid our to behavior entry focused though us. on volumes the models react very crappy cost many ahead usually but flagship device device where all are fast the up compete from our they half get question. meaningful entire is don’t screen. with in low their second they a - were that we've some changed are to design have put So our I have the assume comfortable because we the don't bit that the they because be the want of of a guys pretty in in of will barriers guys the but us you end Remember on don't them to feeling volumes a lowered far high quite too get how

so other come spend have okay to functionality and that we enhance. out we Okay, the and features they push there's elements with to

get better we a some believe screen much performance out do of of a screens we reasonable a the Now can and that’s take higher cost lower than tier it.

remains how were we to hit device think on product So still can oriented. down initial I flagship programs These their be seen. with far focused a line our more

Richard Shannon

the that Todd detail thought for questions could in excluding said verify in growth correctly? catch that. two XXs I EOLs growing you high you that calendar Appreciate see Last quick from of want – just kind did you all that that to thanks Todd, me rating is

Todd DeBonis

correct. That's

Richard Shannon

question assume some as sense if a want to quick me purchasing, The because Pixelworks down here as will what… see normal expect characterize in be first especially its second wanted just the but get I coming is it just we in to some of as fold new be got could you would calendar holiday way get a here seasonality from business we the would business into there's that would any what you year.

Todd DeBonis

want they’re to guys these can inherited they those The boxes To is starting. OTA it. consumer it’s the part a company upon I within say went video transcoding from tried before that end. the highest migrated history do Media. and delivery based markets. doing we then this the migrate they’re environment it. play decoding on video business They a providers. large provider PC that but revenue sharp more just revenue of oriented all their early consumer it’s announcement me this more was mix are ramping deal it’s their seasonality a part service a transcoding out have to because service set-top for of just customers. at towards and as where in it it - that just I peak years two for XK of that and had elements to XX to call And - be PVR they’re low industry adopter public multimedia Windows that are the large ramp - main I PCs Japan past - their to revenue a A of together frank This acquired even focused around and were Probably decoder revenue starting right the is just They so for professional hard you the say we've hospitality is is great those they guess him to so small and

low, got those just life support customers not legs still You it's end a the sort of I’m from know out going to it in the some it going to life it. mode. to underneath and we’re it's legacy pull

resources focused totally and OTA remaining electronics consumer the Japan the on business period. with are in We

getting that all told I that I’ll I’ve towards talked just current effectively anymore. them about it so not stand. but any new And support the not multiple we're customers they development programs we their And where directed to know are in business CEOs that

about not said, to with sure business in there seasonality that. it’s too existing much is that the early talk So I'm

these you're focused high as be new fast they on are when growing. businesses grow I'm their you hoping there don't may on totally that seasonality but just a on a you rate business in usually seasonality see much We’re some they rate just growth growth

Richard Shannon

kind kind expected That’s that. question Thank so on question I follow-on you that what from guys. up me my you. of pick the appreciate That of all

Operator

And of the our Capital from Schmidt next with Markets. question Lake line comes Jaeson Street

Your line is open.

Jaeson Schmidt

that from margin my think how been look strong asked already we to to in expand Most mix have margin I here? but driven gross want to just obviously know but and be expect about opportunity in questions strong at the further gross should QX really QX.

Steven Moore

that very above mentioned a because does the QX little simply favorable mix a we QX it be of do mix. just - Well you to expect

the excess gross year. increase the have as to of opportunities we amount through continue in We mix margin our product

of most above of last expect do to in quarters. gross gross be margins We being offset we've And it of some line will XX% that the with what offset by perhaps margin. more mobile seen be couple and somewhat lower in always

Todd DeBonis

Always a - Steve long for the there its is foreseeable. time

Steven Moore

XXXX is thank referring, what your I for Yes, answer question? was you. that yes, Does

Jaeson Schmidt

a Thanks does. It lot.

Operator

questions further like this I now to remarks. the time. Thank management you. turn showing call And closing I’m to any for no at would back

Todd DeBonis

never again once So dull company. moment at this

integrating We’ve the of it actually like-minded fun we than together direction. a the group They’re enjoyed people we’re company. same we've team of and already lot in into a longer a lot having like here. ViXS really the and have are feels We been pouring

I’m So that, much. at you very it going to thank leave

Operator

today's conclude a disconnect. the program for and gentlemen, and you day. conference. may in Everyone you great have Ladies all does thank participating This

Pixelworks (PXLW) 7 Nov 172017 Q3 Earnings call transcript