ON - Earnings call transcript Q1 2020 | ON Semiconductor Corporation

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Operator

Ladies and gentlemen, thank you for standing by, and welcome to the ON Semiconductor First Quarter 2020 Earnings Conference Call. [Operator Instructions]

I would now like to hand the conference over to your speaker today, Parag Agarwal.

You may begin.

Parag Agarwal

Thank you, Doranda. you results ON conference thank quarter Corporation’s and quarterly XXXX call. morning, for Semiconductor joining first Good I’m joined today CEO; and by Keith Jackson, Gutmann, CFO. our our Bernard President and of on This being the our website Investor call at webcast Relations is www.onsemi.com. section

for with And additional A XXXX fiscal earnings and will related script channels, the our for on website recorded also first available days following hour available end our approximately today’s replay business to posted broadcast be following this call. broadcast, markets, one call our conference will approximately share The this quarter this our conference of count XX along release, calendar on conference be information segments, geographies, and website. XXXX call. are

financial Our most earnings website Relations earnings on measures. to financial in comparable these directly release, separately Investor release are the measures non-GAAP which and of this in non-GAAP our under the certain Reconciliations GAAP measures posted our is presentation section. include

similar or We to subject intended materially this will differ that words to believe, expressions identify wish cause the anticipate, are During uncertainties forward-looking to or such statements. of statements The future that company. conference and or the may, to expect, the intend, results call, financial events or course make other are estimate, statements future we caution of risks could performance should regarding events plan, actual forward-looking will, from projections project, projections.

Securities including can XX-Qs Commission. our factors Form from actual business, Form could Exchange in with affect forward-looking and other to which described our our filings and Important are factors, differ that results statements cause XX-K,

XXXX. release earnings our in first for described are quarter factors of Additional

results, no forward-looking reflect company change, statements and or law. other as estimates statements actual other or to update Our assumptions except by assumes factors, obligation required to the forward-looking changed may

XX gatherings been and travel postponed. on scheduled August for previously Business pandemic, restrictions the to due New current the York in announced Strategic COVID-XX Update Given has

further get as location date clarity. for the provide we you and new a will We event

Bernard? Now, let overview Gutmann, our who me over XXXX first provide to Bernard will turn it an results. of quarter

Bernard Gutmann

Parag, everyone, you, thank you, joining for and today. us Thank

the case and second outlook our our peers, meaningfully by COVID-XX. for quarter is the As of quarter the with have of impacted first most been XXXX for results

by that of results remain we near-term have long-term pandemic, the drivers believe intact. our been our impacted business Although

expect to and target model drive progress free show We to structural financial implement global towards changes cash and as expansion environment continue our margin macroeconomic to we recovers flow. higher

drawdown taken was our the In the free we taken have to cash measures the challenging from credit. macroeconomic of sheet approximately caution revolving of of This step line our COVID-XX to out global liquidity, of level adequate should sharply and deteriorate strengthen the billion balance conditions, that unexpectedly face of of should flow. and conditions business abundance due pandemic. have we $X.XX include steps that These ensure

taken Further, in actions, throughout certain the result approximately temporary of reduction of salaries we tactical a and year. $XX and staggered million which the of measures compensation of include have should increases year. These savings employees during in and executive of the salary cost program the furloughs XXX(k) in match members, the US, and deferral weeks suspension for board rest certain merit three our for wage company

be capital $XXX to not capital enabling of At $XX shares largely XXXX. We we this Fishkill. of million in rest to our of expect strength, we until in business buy our savings improve. expenditure $XXX cost the from for do those time, East intend in million, to conditions programs our expenditures back balance sheet XXXX fab preserve XXXX our XXX-millimeter Furthermore, that are throughout anticipate on addition The million focused earlier. our announced restructuring will approximately

government-related the billion macroeconomic resulting revenue year-over-year decrease first details measures for XXXX activity first the of COVID The compared quarter $X.XXX supply revenue first and quarter slowdown billion, - $X.XXX additional you the quarter a to provide me by primarily was XXXX of X% lockdown constraints of Total from in in let on Now, revenue was our results. in mandated decline driven as around XXXX. of world.

We to income ensure to employees as local first to for few factories quarter the loss curtailed diluted in GAAP per per the quarter and XXXX. of $X.XX diluted a at safety operations our of the our first $X.XX drastically was net regulations. with of share compared comply net share of

compared was XX% for $X.XX per margin gross of factory income the first by quarter net XXXX. $X.XX the of Non-GAAP The non-GAAP of share significantly lower gross level first GAAP utilization, of quarter quarter lower as as in margin first to diluted as year-over-year XXXX per diluted the for was earlier. compared first XXXX. XXXX share in and was primarily driven in of mentioned quarter XX.X% to decline revenue and

charge short divest $XX recorded required to GAAP, the As first This charge to to by due million This fab. was we plan period also strike impact a of the the our strike Belgium includes related of a announced fab. the our of quarter. factory approximately network in underutilization our at significant

factory improves potentially, underutilization-related the half charges. second to improvement we As required of our expected the of year, period with network not take will in utilization conditions, in be business

in As a gross a could margin. our result, increase we see step-function

by was costs. a and $X of result further of margin quarter as freight approximately million First logistics of XXXX higher gross charges impacted

was GAAP as quarter of Our to quarter X.X% the XXXX. the for XXXX margin first XX.X% first operating of compared in

first margin. quarter to non-GAAP as of quarter was and lower operating XXXX largely decline first XX.X% compared driven revenue The year-over-year in the gross of operating margin was X.X% XXXX. for margin the by in Our

first GAAP as XXXX. operating million of were $XXX quarter first quarter in compared to the for $XXX million the expenses

with GAAP in non-GAAP Quantenna. announced due XXXX. for the acquisition primarily include million quarter as operating year-over-year operating Non-GAAP quarter expenses the restructuring [$XXX] (sic) to increase approximately earlier. of operating expenses million programs expenses the The million First associated quarter $XXX first first were in $XXX to $XX of was compared

$XX flow was flow operating cash million, and million. $XXX free was quarter First cash

repurchase first of the X.X a the million during common stock. During used shares our of to expenditures $XX which million, $XXX quarter Capital XX.X%. were quarter, million we first capital to approximately equate intensity

of macroeconomic fab the we are expenditures environment, East current XXX-millimeter - enabling Given our our Fishkill towards at directing most our Fishkill. - East capital

As indicated expenditures expect be $XXX for XXXX approximately capital earlier, to million. we

exited We billion cash $X with equivalents quarter of and of $XXX time, cash very with we approximately compared the with liquidity the are our at of quarter $X.XXX XXXX position. of of fourth to as At billion, first end this million cash comfortable balance the XXXX.

compared At resales. days driven of XXX of lower primarily quarter slightly by fourth terms days, in was first increase the days XXX on days inventory days XXXX. inventory end to lower The inventory of revenue. a in Distribution the of were inventory the due by X quarter, of as in to expected hand weeks up increased of

terms dollars, quarter-over-quarter. declined inventory In of distribution

Now, update previously million. an quarter PSG revenue was the million. $XXX was known Intelligent provide performance Revenue or Solutions for let for $XXX PSG. Solutions on Group, Sensing the Group Power Group, for of first was of me Solutions the quarter first units, with our our for for as you business Analog Revenue starting XXXX Group, And $XXX Advanced the million.

to on to the Now, turn comments would Keith environment. additional for like Keith? business over Jackson call the I

Keith Jackson

our responders thank I supporting face challenging all Thanks, the very in the in customers At and their outset, of conditions. of employees first Bernard. dedication for our

and them supply Our is other employees of went ventilators equipment. well components to for of medical ensure beyond critical required what

in measures with ensure Consistent of us. work case they Safety that working the and remotely to to importance have paramount virus, are governments the commitment, manufacturing Globally, at all countries to to employees the rules visit instituted suspended facility. non-essential control with are In where support to social of following spread customers. guidelines and many critical strict our compliance travel. of our local is teams of lockdown teams required distancing components the stayed are of we a factories in supply our

our Our enabling outstanding IT to remotely. done of of an job work employees organization has thousands

by supporting medical actively supplies and matching and protective We personal are equipment employee donating communities donations. local

California customers extreme and ventilators, provide turnaround corporate being urgency immediately. one of and We exemplify continue like the a teams, the collaboration Semiconductor, citizen. components up to a ON chain manufacturing good of on spirit teams critical When others for short to requested step in our with quick responded many state supply our on of These notice.

medical challenges, along and In megatrends such and fuel devices. see drivers automotive, In will the continue efficiency, current the with growth thereafter. long-term expect activity manner. a business a infrastructure to We trends, communications cloud-power, acceleration our trajectory. as of crisis believe on industrial, to electrification a remain key automation, Despite And to intact. the expect remote business the be along personal in secular and upward increased infrastructure in warehouse In global secular put efficiency a we key energy we we robotics, steep spending as should and in data-centric current ADAS, place expect factory we enable workforce. servers that to overcome robust soon companies to and able improve community in distributed see timely and health applications, vehicle expect

taking are measures conditions, the and of soft impact long-term unchanged. remain to mitigate strategy our we business goals While

our We aggressively enable working to are capability. manufacturing XXX-millimeter

customer engagement development strategic key projects product continuing planned. as on Our programs and are

continue industrial segments end We of our cloud-power fastest-growing markets. and to strengthen automotive, investing by leadership - in in the

contact pace, healthy [ph] the in continue despite our that expect will crisis. We a grow these at current to

growth current structural on in drive align execution conditions and continued changes with making cash with tactical flow. we are business key to and initiatives, strategic to Along long-term free our profitability our and

remain track. programs on realignment business Our

taken million have of actions $XXX programs. to These in should approximately programs year. complete the We a restructuring announced cost previously the savings result

on these As recovers is as actions, our the by able savings for quarter accelerated earlier, model towards of progress XXXX positioned that, target rate pandemic. run global the announced believe COVID-XX environment these achieve macroeconomic the be We the basis. to company with we from well should fourth a

tracking yields of call, during of for fab mentioned strong have consolidate expect the The production confident with be middle experience our ramping a XXXX. East runs at spectacular. of will our are towards front-end now initial As XXX-millimeter we At far manufacturing as to of East cost structure and production this at transition to more results fab, our inflection begin this previous we point, even ahead on Based the we are in fab Fishkill been significantly the and progress point our are we major initial conference production thus schedule, wafer results making network. that Fishkill. we

environment. comment business now the current me Let on

mixed macroeconomic a end is On it been conditions. Demand plants and the due has extremely challenging picture. closure the of front, to manufacturing from severely market impacted demand automotive global

global We continue at a and least plants automotive automotive restarts at manufacturing pace. to till the expect reopen weakness production moderate

are few quarter. the most good Most the end strength notably, second geographies. strong seeing market be end appears in activity industrial markets across to in in We a

activity. macroeconomic at end soft perspective, smartphone global from due to Server Demand early quarter, From and meaningfully. pace. the massive after geographic healthy consumer first XG infrastructure-related from a be and demand in slowdown improved continues China continues a slowdown to to grow demand markets in has

Europe supply. first activities automotive second preparing in area broad-based another aimed we of pause markets, US an moderate to the half due and softened placing spread and of that the The ensure most Both in at customers terms year. Demand for significantly the conspicuous government-mandated regulatory to of time, Europe, At are this US is seeing and orders for COVID-XX. compared because year quarantines geographies channels. are weakness. the It of and and in has are recovery are action, as half the of of half the end strength. Japan other appears reducing in significantly in order area economic from activity is the second the that a of orders higher to

Year into first ability significantly quarter. of our manufacturing many And our products affected resolve closed them with the we to Early were supply of to compliance planned disruptions current operations government first customers. this our longer our China holidays quarter, than continued week. impacted Lunar the the end These for New for have to facilities mandates. the pandemic in During COVID-XX by quarter, in expect the and in

Following shutdown, close and the are full our extended to at utilization. China now running production factories resumed

mandates impacted in and Malaysia where part a of located, due sizeable our various lockdown operations severely Subsequently, governments. by back-end to in facilities our are Philippines, were March,

this worldwide ran most Our to the Underutilization for significantly required of are in capacity by and of expected facilities utilization these plants at March. April below and facilities end level of May. running manufacturing continued into Most be our Philippines Malaysia week. of of

quarter for details markets provide progress of market our million the Revenue and of automotive our I’ll in first quarter. Now, of XX% quarter XXXX. the the revenue end first the for various $XXX in the in was first represented

world production driven declined of partners’ automotive by and in factories market of supply revenue reduced manufacturing automotive year-over-year quarter X% First of various in facilities. parts The year-over-year. constraints decline level the at was automotive by closure primarily our operations driven

activity automotive quarter, markets in and seeing major latter now in light picked the are on on reports, closure weakness automakers, we we automotive comments half it but gradually units Currently, appears Based in the European many earlier factories of first restarting. due production vehicle automotive factories reopen up significant third-party in by in have the are are expect since that planning XX% US saw US, decline business approximately by European automakers as in factories Based China. to industrial May. global starting to of markets reopened China We weakness to year-over-year XX% and the to has XXXX. In factories.

increased at driving a fuel positioned and units, semiconductor capitalize And expect remain in LED to production pace. we lighting, semiconductor customer Despite automotive vehicle light our electrification, technology automotive to leadership secular increase such continue applications, applications content Key in intact. well content a on decline megatrends to as healthy are and ADAS, trends. efficiency relationships these massive we through in vehicle

the win underscores for OEM. safety a our quarter, in and of is global in automakers the technology image During in high major the a Japanese critical confidence OEM This one design application. ADAS we sensors leadership world. ADAS This sensors in first customer win highlights a image secured largest our with

time, we and Our breadth ecosystem of vehicle Silicon increase and portfolio vehicles momentum Carbide same very products at depth from solid electric Silicon With rapid of power is At leading a pace. with electric a for a silicon continues for to significantly. Carbide modules, product devices and the are strong vehicles. participants revenue in engagement our the the in growth seeing expanding electric

to electric strong China in traction IGBT ramp XXXX see significant our modules for year. revenue China till for to our is vehicles of boost China. in IGBT business subsidies Extension this in a EV Silicon in growth be as likely design expect our We and for inverters Carbide wins

many power of power key a in to is vehicle Our various products grow and energy systems of continue in applications. performance devices of Electrification to conserve automotive to content improve vehicles. driver increasing

most the automotive the our quarter, major win to Revenue down quarter-over-quarter first we design steeply and due end a secured also market in second XX-volt part of MOSFETs is closure systems. for for US of the be for a mid-voltage During expected automotive quarter European factories for quarter. XXXX of to significant the

$XXX aerospace first market, in XX% supply in end and million medical, by the decline the Industrial constraints the activity first industrial includes driven global The and industrial revenue This quarter. in The our Year-over-year, sharp of COVID-XX which market swift first military, contributed revenue declined end represented a XX%. and to quarter revenue of decline industrial pandemic. quarter. was due our

Carbide In Despite our challenging robust. momentum macroeconomic continue conditions, remained towards make we initiatives. segment, progress strategic our key industrial for Silicon to silicon power devices and

our for interest customer Carbide strong stations vehicles. seeing are electric Silicon for for devices We fast-charging

our electric vehicle stations. super-junction for important win quarter, design MOSFETs high-voltage first charging an the During secured we for

the On on organization hard our such for cardiac critical patient medical COVID-XX. demand community equipment. working support ventilators, front, teams supporting is assist fight imaging and in medical to medical for The entire focused systems monitoring pumps, as the increased against infusion the medical equipment very systems, are components

sensor image engagement our strong we applications customers at driven business adoption related robots. by a warehouse is and of related that growth e-commerce driver of increasing rapid expect e-commerce believe be be business. industrial a Our e-commerce our growing will delivery automation increasing in and with volumes, pace, will e-commerce We

quarter built XXXX delivery warehouse sensors in end leaders from for to in recovery market and automation design early be pipeline quarter-over-quarter, the robots. demand up expected engagement by for strong we is Revenue of our industry CMOS for driven industrial the the have our all a e-commerce, Through second image win in with strong regions.

quarter. which market, revenue contributed quarter represented includes the of million communications the during our and end networking in first first of revenue wireless, The and both XX% $XXX

position the year-over-year. in We market X% primarily communications saw in business. smartphone-related We The to designs infrastructure growth driven infrastructure medium-voltage First due our solidified business, XG XG. quarter year-over-year largely our MOSFETs. for winning new declined decline in by revenue further solid our by was weakness

the second quarter-over-quarter, the of down for to in communications the expected XXXX primarily smartphone market. end be quarter due in to Revenue is softness market

our to end the a second computing million expect XX% first The quarter. end XG pace robust in market quarter-over-quarter computing infrastructure We quarter. revenue at revenue the grow of $XXX of first the our quarter. represented in contributed in The market

due year-over-year, to participation revenue declined in X% computing the selective quarter primarily client-related our business. First

We our as infrastructure a Our augment remote in impressive IT to to rushed server results business business a better-than-expected grew their workforce. very server year-over-year. rate corporations at support experienced

power key business. in our and IGBTs for drivers processors server server of were management for supplies products uninterruptable Our power strength

the market XXXX Revenue be to second computing quarter-over-quarter. expected up is end the in quarter of for

and computing end revenue growth of of end The quarter. client consumer expect in market in We quarter. first consumer parts $XXX both revenue our the the our of represented XX% server business. The million market first in contributed

by to declined to XXXX quarter second XX% electronics revenue pandemic the consumer due due our end weakness Revenue is quarter COVID-XX market the market the decline quarter-over-quarter. in year-over-year, for and down selective expected the participation consumer and was First to of be this year-over-year in market. consumer in broad-based

for sizable COVID-XX on a demand both has ability and summary, impact our our had to In products supply.

for global by encouraged half improve patterns, significantly. quarter, of globally. and capabilities second a of customers Based in year, the second the recovery week, our our supply the resumption of that appears planning during are activity order that, by gradual on - expect it the We end this will are we

current unchanged. our and pandemic, long-term due COVID-XX to goals remains challenges Despite strategy

are environment our as accelerated optimize target investments progress and model our global positioned to previously macroeconomic recovers. We announced and actions cost we make towards the have to taken well restructuring structure,

enable Despite we to upbeat in and work middle key our are intact, Fishkill, business our this on remain XXX-millimeter to East long-term about current year. remain XXX-millimeter megatrends secular driving production continue aggressively prospects. the macroeconomic to by the disruptions, to start our our fab We medium- of we and track

our And the and grow. applications to growing markets continue focused industrial We the industry. expect our end with design are cloud-power that semiconductor will fastest automotive, in on we of content wins,

over to guidance. forward-looking to like it back turn for I’d Bernard? Now, Bernard

Bernard Gutmann

Thank you, Keith.

Before the guidance the second details, the highlight I of let for the me into key quarter. get drivers

macroeconomic deteriorate Our guidance further pandemic. environment based the global not to the the second on for the will quarter that COVID-XX is assumption due

and pace Also, this continue range due volatility, recovery our macroeconomic guidance actions provided is of We period quarter the but various a and the logistical mandates. Therefore, what only is face extreme results for in for also the the to on likely metrics future will will to business our on ability government second forecast and not of limited. is the challenges our financial government depend pandemic, And and activity. operational course of we of wider uncertainty business global performance to historically. have than our of

levels ON to second the product $X.XX revenue levels, the on estimated billion of Semiconductor the and of Based expected booking we to be billion quarter is in total trends, backlog turn $X.X range in anticipate XXXX.

As challenges second face earlier, the to noted quarter. to logistical government and mandates will due likely continue we operational in

Lower margin second the expect quarter-over-quarter as driver of gross for the and margin the that of non-GAAP the the primary For quarter between second and the quarter decline XXXX, in of quarter. XX%. first second gross to GAAP we compared revenue is quarter in XX%

as the We lower compared to of the quarter that quarter. second period expect charge first in to underutilization record marginally

$XXX $XXX GAAP We to total operating expect million expenses million. of

charges million. expected Our intangibles, million impairments and restructuring, operating of asset $XX $XX are to expenses between include and be amortization other which GAAP

anticipate in interest expense to $XX We and of second million. million the interest XXXX million quarter income operating including GAAP $X million quarter. expect $XX expense other $XXX be non-cash expenses non-GAAP $XX million net which to will We the total of second million in $XXX of expenses includes to

$XX is expected for taxes net Net million million in interest non-GAAP income to our quarter anticipate cash paid $XX million. and million. will $XX be XXXX expenses $XX the We of including to expense second to other be income

$XX to be million. cash For for $XX range expect in XXXX, of paid taxes the million we to

expect $XXX XXXX. million capital to expenditures in We of of $XX million second total quarter the

We an are CapEx currently an for our targeting pace. our fab at proportion of overwhelming accelerated enabling XXX-millimeter

expenditures $XXX capital total approximately expect we of million. XXXX, For

of share-based in expected of non-GAAP We of in the compensation goods expenses. remaining to quarter to included expect and also XXXX, expense $XX is which be sold is the second in million approximately This in our of amount to million million $X expected results. $XX operating be cost is financial

second per on be and the regularly earnings for share is current count quarter shares and calculations respectively. XX-K, count share in our Form on stock million Further provided XXX diluted on price. share expected are GAAP Form based details reports and XX-Q XXXX of Our our quarterly annual to

would I the With questions. session. line that, Q&A the for And, like up to you. start please Thank Doranda, open

Operator

[Operator from Seymore Instructions] Ross Deutsche Our line comes the Bank. of first with question

Your open. line is

Ross Seymore

the for you’re versus a of Hi, you’re more little and ask guys. things, side can revenue near-term Thanks guiding question. on seeing I in how guess, letting color me the on that? a get first, what I bookings

I bookings impression more as your much more guess, the not the have in is as a near seems the is guiding further, you’re seeing of from for of fear opposite take peers dichotomy that macro economy year. seems your a tact. you’re that your but strong like term well back the where in very of And confident the I below actually currently half strength where script it to some to they’re Because, weaken the of bit guidance going

Keith Jackson

Yeah, interesting comparison.

that, Philippines things we talking impact of revenue have that more our and impact competition. when two perhaps that one, Malaysia I is than the strength, the much we’re about the the significant think in

term. hearing you’re so, supply in us talk the constraints And about near

it is but for back automotive On for very the picking demand side, QX. is significant the piece up us,

of again, able the second us. demand behind quarter. is can than other the seen supply service pace constraints specific all that And comparatives But quarter. we’ll say we’ve any what third I think than of the more have that the be to up in have in to we so, going don’t rate And significantly we is

Ross Seymore

of my It And would then, be margin on second things. headwind. a be question source guess, side for gross to Thanks the of continues I that.

directionally, think, the thought. But understands magnitude is I why. I even everybody bigger than

of, on I the and should in two there first quarter? issues hit second that fourth that. bit of number been points of the in a guess, kind Weren’t that we on And changes trajectory some Or then, are half just Is step talking think in? about? stair gross margin, that second to about as popping a there quarter a kick utilization one-time that So, structural the going you what’s up? tailwind you’re are quarter it have

Bernard Gutmann

Thank you, Ross.

correct, items those we same some we And did us were you’re been the continue marginally that had but our Definitely, QX. have get bit caused million by low the expect for in hit don’t maybe abnormally little So, have We those one-time away substantially in will basically, will that with to and that periods to Keith QX. we as affected book OSA factories mentioned will resolved. the earlier, affected anymore, to go in see in abnormal lockdowns continue lower, utilization one-time gross which $XX QX. throughout us a the margin, - we which our

as up eliminating that should go be gross doing that away, behaving. we’re if, obviously, fall-through continue back should we that. pretty margin to Once And markets goes and step back our to the nicely nice

supply our hit to is operations the have fact had the primarily So, it significant to we the constraints. that

Ross Seymore

Thank you.

Operator

you. Thank

Our of Citigroup. with next from line the Chris question Danely comes

is line open. Your

Christopher Brett Danely

Thanks, Hey. guys.

to Just Ross’ follow on up question.

for considering you XXXX target, levels capacity gross to margin what’s the especially some the drive the manufacturing time, get right the if back have So, to now? plan to quite levels don’t revenue

Bernard Gutmann

announced be the along the And Well, intended sale fab, that we doing if continue line. we would worse, same and our other actions be have of Belgium getting fab. things that there already continue will will

we much also temporary that gross the actions. actions then, restructuring take ready the to but cash. this conditions of be We shore shore tactical continue spectrum, We million numbers. announced announced across cash will continue we’ll on not our some took permanent to the had more up we time $XX to the margin another of $XXX on and focus that If - actions. actions previously million And worsening, various we up

Christopher Brett Danely

the Thanks, terms go a Bernard. restructuring in And my of be the things year? these as versus to us realize trend And of supposed are still will cost just sense you can OpEx goods this next with give Or the savings will year? end then, of year? how you follow-up, some of of along to the for there all savings this then, rest by actions,

Bernard Gutmann

we million QX. being the a to is announced temporary piece on COGS million $XX end actions to achieve of little is of a just but still by It close and is earlier, is $XX a now The of of OpEx driven. there year driven. in million. focused is nature temporary about good the participation we between goes OpEx, - exiting the will of For Heavier diversity of that to help most us. primarily that the expect comps, [ph] small $XXX is bit is but that it it OpEx There

Christopher Brett Danely

guys. Thanks, Great. Okay.

Operator

Thank you.

Caso of comes line James. next Our with question from the Chris Raymond

is Your line open.

Chris Caso

morning. Good Thanks. Yeah.

what’s potential that? those percentage of What’s supply the go your have on But the necessarily one, disruptions? I you that’s was talked there’s supply need. online? know judging how status the double supply second Just of about status that what’s a then, naturally, when you question pretty - the you of And the What’s quarter, sorry, those second severe that the I’m in as quarter. into might back down - disruptions you I avoid disruptions, and incentive guess, capacity have on orders some layer something to to always ordering? part that visibility your orders it’s the they judge. to you, the difficult What’s of some of are in on customers not the

Keith Jackson

Yeah.

full expect got and this as we April, have end of don’t May. into were They disruptions improved So, the still severe we until supply be capacity in the quite week. to at

make you a data in end of tell to to what’s on on abnormal the getting. have we the impacted. see things, market the the very will relative don’t sense has been So, based Relative anything already end that’s part demand that just going quarter market. we’re second I the sizable orders that We

the areas and picked weak primarily that have due areas ones China online the weak to coming are backlog that up. have the are that our So, picked up are back in

Chris Caso

you. Thank Okay.

over? As Fishkill to once the now Can you’re I should level on with a and CapEx is elevated the then, - with XXXX? point the facility. At a some right Fishkill go and follow-up, as more of what’s regard over we that’s normalized what when you continues? Fishkill doing because we CapEx of CapEx how expect spending presumably spending that case, into understand is that long about what there’s And talk

Bernard Gutmann

that made long-term Fishkill on basically, of So, CapEx. to we X% is this have acquisition once goal said, X% our the we

We target it in at I’m will that be exactly not will beginning time that time. by. be moving moving we’ll as of towards towards we goes as but go the XXXX, be sure

Operator

Thank you.

the comes next Gill Needham Raji Our of & question with from Company. line

Your is open. line

Rajvindra Gill

Thank a better question the the up? what back away. stepping comes are comment Are A step-up obviously, third the you. step-up in half think drive of will Wanted gross bit the kind about But that in go underutilization what quarter. margin you little significantly the - to stepping up this on Yes. detail, terms will Any charges quarter, in third of discuss How online? the back for in other margins you be would in auto drivers you year? the expecting that mix in shift function? of a the else if details more the

Bernard Gutmann

earlier, Keith as the for mentioned So, seeing back half. better demands we are

revenue and should So, the the we fall-through nice. help pretty be expect from incremental

drive gross on holding. up better mix as margin should be [ph] should coming markets We our back also particularly be that seeing

Rajvindra Gill

from starting had of you that to And bring that cited. end This based those the and the are mentioned Europe you on in markets, online. is back manufacturing the terms commentary companies US

the In you on the automotive go look kind the into automotive your if terms of evidence, third in quarter? - would how you orders as at characterize we from side, of tangible perspective,

any on And ADAS then, programs also, more advanced have there the the demand? there of been Any programs current that of ADAS track? delays because in terms are of thoughts or the in programs EV drop

Keith Jackson

fall, declining. quarter saw the no we of We into through you steep second as That Yeah. first levelled got from is longer free very the automotive, demand decline off in and a and quarter. part will, has if first the

then, have know in they be we from need second And demand specific sign. have are And the ready. our half. that expecting So, OEMS, requests to to that’s certainly a large we more letting good us

this track. the things and kind both those ADAS on to we’re seeing And ADAS with reposition electric their upscale continued content. From vehicles using dislocation on themselves some what are companies market is electrification, their quite of like that in demand and

automotive, So, it we’re of recovers. potentially actually those parts as seeing in two accelerator an

Rajvindra Gill

And side. the just last question on smartphone

your thoughts to an infrastructure. your You There’s maybe half. dollar China. any drop XG content think going view by there the that your - offset smartphones, smartphones wanted mentioned in to been in in opportunity we recovering on the about terms are just second I of partially get indication be smartphones how in

Keith Jackson

smartphone. $X around is content for dollar So,

We China, But this are expecting new the have stage. global pickup brands a in models with we China in seen to at see indeed only but second the launching half. brands

second So, for is half better half. the the will that be much expectation our first than smartphones

Rajvindra Gill

Thank you.

Operator

Thank you.

Rakesh Vijay from comes Mizuho. line question with next the Our of

to Checking sir. [ph] see if open. line you’re on Your is mute,

Vijay Raghavan Rakesh

Hi.

I lead that. you Sorry for know some half. guys mentioned that orders second the in came long about

or you’re it’s due automotive Just how industrial that. wondering or seeing slanted if to disproportionately

Keith Jackson

Automotive very to But build. broad it’s continues up be server industrial just mentioned the half. to low like number good. too strength. piece very And our cloud I they’re so want up. second looking Yeah. Demand from the to is in a business show is great It’s continues - get there and going don’t smartphones to look excited. We

Vijay Raghavan Rakesh

is into cetera? et XG second China? And you Europe, think second do the coming Thanks. I base sequentially on quarter. in the half pickup that you it. growing infrastructure station see Got the or Is growth Or it or a US, side, from - it’s mentioned [ph]

Keith Jackson

pickup certainly But really a never of we China much strongest there. saw China. decline of outside So, the is

be to continues it So, healthy.

Vijay Raghavan Rakesh

Thanks.

Operator

you. Thank

Our next question comes Christopher Susquehanna line from International. of with the Rolland

Your line is open.

Christopher Rolland

given infrastructure? Hi, the it’s from underutilization. that guys can of talk higher have, a footprint other ways underutilizations but more there you towards focus away terms in across And can doing shifted or pull that about past. guys. you we have maybe any a levers But if of have the about you volume belief growing a I strategic you at and you all yours your gross need you And might guys more talked been know margin. previously be M&A, in something

internal, example? about talked more your [indiscernible]? how You’ve older for Thanks Is external footprint. about bringing reducing But that

Keith Jackson

is time. we’re So, I guess, a M&A not this two an questions prudent sure on that. From perspective,

to Those as this manufacturing of clearly at we the And inside. underway second so, nothing as really bringing new network, there. And year. looking and that the in are far report more utilizing are are actions help half should us

Christopher Rolland

you’re there. then, some there are original Thank in to since I Are than positively? controlled the volume to going And since at around fabs be those process expected, does of empty? somewhat in ramping little nice is strategy them and it. fabs? Or to this Are ramping you which how be you. your it a a bring on other changes going had And from that better doing it bulk so bit commentary to fab then, terms of Got what’s one expectation? yields good guess, things compare leave more any going you are immediately bringing a your other model yields time? was to guys secondly, Fishkill, to

Keith Jackson

Yes.

couple products of power type EFK products the most a are commentary, one, first we’re cloud-power our and automotive of applications. into putting the So, supporting

And so, the good volumes continue those is to grow. news

feel good about that. so, And pretty we

us are matter with of thought somewhere advance weeks. we in with perspective, that track to work in not our factories, those looking power we here to ramp specifically months six be EFK. about on qualify that that other be intended able would customers to or We from and keep and we’re factories of start ahead we to while like a think full have growing we and factories continue and running it’s roughly content ramping we’ll schedule empty And

Christopher Rolland

Thanks, Keith.

Operator

Thank you.

Craig line Ellis Our of comes the with B. next Riley. question from

is line Your open.

Craig Ellis

And for to last I’ll just a question. ask Thanks follow-up Yeah. the that.

on if be total lower to getting calendar of of this East percent of could under exiting Fishkill out with East come engagement facility exiting out quarters the Fishkill, elsewhere? good with customers And its production would you of have the if that that the sales six another year? percent have So, expect XXXX, belt you you’re what’s Keith, cost what ON’s footprint what than you

Keith Jackson

the be breakdown $X get having should by happen the XXXX. ability about So, able have factory. of to actually Craig. That prepared that. won’t in But billion about from you, do or I do don’t we to talked even XXXX we to the XXXX, quarter-by-quarter We time revenue for

Craig Ellis

helpful. has as obviously And then, Okay. on this has given this auto impact it the That’s others, been units many to a big year. call focus

the where we secular absorbed below two, much had need content million quarter network Keith? will to How at up can growth be going I probably highs. that the cloud initiatives much about been of in or other made increased like As power in the what how or in? got to prior volume $XXX-ish areas think be we’re And next tracking over look auto, Thank second you. by with of factory be things you’ve automotive volumes content or year

Keith Jackson

Yeah.

I focus vehicle. So, mentioned the electric the watching electric we’re They know, ramps dollars incentives - as are in content, there. hundred put is back you the vehicle things several carefully before in China. to higher The

electric - if of safety they there’s simple there. answer forward really They’re kinds we any in And China, ramp more overcome a similar mostly losses. is, as situation becoming consumers conscious. And the are unit opportunity ADAS, so, then, to substantial go

$XX at seeing $XX, And go the car there up a so, time. we’re contents a

will And what vehicles safety. question at come right we’re electric strategy looking we out going now, on so, to at be, least, and this I of think downturn, focus the And as more is the be? more

we think as that, we that, this most be year. if will of all offset not exit So, of

Craig Ellis

you. Thank

Operator

Thank you.

question of Srivastava comes with line from BMO. the Ambrish next Our

Your open. line is

Ambrish Srivastava

I come the Thanks margin And between Thanks least taking wanted just I very at understand out much. for QX. gross sorry were to you to wanted were bridge Bernard. and the question, cutting to you the answering side, question. my I’m QX back when for me.

costs So, of would much the one-time How nature? go in much away? is of it how

And talking the you increase which then your fab. coming you’re also recovery third factor related is to then, of, talked and fall-through step-function there’s part a XXX-millimeter about is in and kind about a

about result So, think to be what’s margins a as of would coming the revenues back? That way fall-through helpful. recover right as

should of help A, the and, about So, fall-through? bridge us we kind how you. Thank gap; just think B,

Bernard Gutmann

be QX mostly is going bridge QX - midpoint. the saw to the from the to we So, end pretty week. of getting mandates QX billion decremental It’s Keith that The had in on during the fact month QX. the in straightforward. $X.XXX continue that for the period government one-off fall that our And at we close revenue $X.XXX will of to this being charges shelter-in-place mandates, of we to fall-through the locations. most of XX% billion mentioned out then, the in of April by continued expect

- on level... eliminated, approximately normal the into away goes whatever issues, supplier we all we a would from a that less, nature have effect quarter, maybe completely similar have but that in nature government going the these as high $XX had that go significant that has the been in tad to - into mandates QX, then, this revenue which it is when we million the - fall-through similar had QX. we So, the through. go have one in And assuming in QX. bit i.e. is the be That’s - there comes what That’s to

Ambrish Srivastava

because question this And is And positive how it. you? you’re not should year. But Obviously, ramp state, a XXX-millimeter should to does starting impact change how this for XXX-millimeter have fall-through helping steady margins? be just for a

Bernard Gutmann

of go from the We and a the as expect we - nature. [ph] have as also this have lot on a something as XXX-millimeter into we definitely be relates year. will see speed - we’re that [indiscernible] for it others better XXXX, [indiscernible] and in of longer-term that customers will timeframe XXXX and we’ll into on be relying the similar costs go unit it And to more done in expect direct it’s impact Obviously, that XXXX we’re margin. they what depending gross any our in significant qualification seeing

Ambrish Srivastava

related Thank sorry, about Keith, follow-up, that, on for bit little was quick quarter, that China industrials, you Q-over-Q macro backdrop. my Just - sell or recovery especially And comment please a in? I Is increase you. can Thank to your you. second please? about the given surprised Okay. primarily on expand the

Keith Jackson

the there. the of Yeah. biggest is increase driver China certainly

China. it was year, last end of weak. severely very the As curtailed been very, in had remember, you It in

that so, And been has recovering.

seen an also the and We that business uptick industrial have category, globally. certainly in medical they’ve

big And the there. are so, ones kind of those

Ambrish Srivastava

very Okay. Thank you much.

Operator

Thank you.

Our Ramsay comes Matt of Cowen. from next line question the with

is open. Your line

Matthew Ramsay

manufacturing morning. wanted much. I questions very asked follow that of to on up, East assumptions Good Fishkill. about Keith, folks Yes. for Thank just a at couple you other

you. assuming, and the all what Fishkill content over the more of into what coming the Just saying we and levels take rest ownership over might that exiting of lower was any bit changes on that, the are network Thank what’s of maybe the through through going your optimizations that’s revenue of point roughly there the big we picture you that you facility, about, factory take be to a overall at you - put dollar the volume where just given you insourcing, should of sort given different macro, agreement? take little it assume whole will the that it’s in and you kind Or those when industry are basically going when point that full of company assumptions for ownership, signed think should on? the guys you

Keith Jackson

of kind twofold. been as the expect amount that is of company, percentage to expand of we’ve got we One, things to a reasons for the power the explaining. at look we all continue way the Well, we’ve

substantially. COVID would we us of over And XXXX, to don’t is business have so, that with when We forever. certainly piece in the we grown power expect take think

do electric need such factory in of nodes And be going an I from growth expansion. growth specific technology the then, and have a expansion, cloud-power for would mean, perspective, infrastructure and did XG outlook we in our vehicles secondly, because the to the the set to that was frankly,

interruption that but major certainly the had here look, has perspective from So, in really changed a has on XXXX XXXX. nothing

Matthew Ramsay

Got it. clear helpful. and That’s

going real tightening, we given obviously, should what additional out that might Or side. programs to be call out. obviously, up, changes have follow you. on belt actions just R&D particular guys - is OpEx guys on that it globally? no in quarter attention There’s Bernard, to some wanted pay what’s Just some, announced different to Thank in last to? on the change you to and Anything you laid

Bernard Gutmann

and are the no did growth - most additional of from some make actions we don’t So, But therefore investments nature aligned our additional we ones and our what in we change sure last of we view built the these R&D. targeting about. highest more tactical think we We quarter. of announced markets are to

Operator

Thank you.

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

line is Your open.

Gary Mobley

can Bernard, in you that give on Is year? cards rate could the you guys. of And, power I’ll think about? Hey, in becoming devices in. still interest that’s fourth to what the were I of more post us both I be Thanks the time, run OpEx in I we some for my in on question planning guys. materials. as some, guess, you if the In $XXX past, quarter right now. integrated million for squeezing vertically wonder exit Silicon benchmark me know, the number the Carbide with

Keith Jackson

Okay.

on track On supply supply I before, be silicon the external with as today. for and to wafering continue a of integration, as and internal we we there, network, mentioned will vertical we continued do the have

we’ll are so, progress. continue in and good to And invest making that

Bernard Gutmann

and intend levels we million. question, from OpEx to reducing our the throughout of on from current QX midpoint year in dollars the our our OpEx And absolute continue do $XXX

actions an So, talking temporary seems the impairment appropriate - million $XXX about, number. we’re with the to - the be actions that

Gary Mobley

guys. Thanks,

Operator

you. Thank

from comes the of Sur question Harlan next line Our with JPMorgan.

line Your open. is

Harlan Sur

the are challenges have for recall visibility normalized your but times certainly in logistic seem and for order question. lead second you X Thanks times. I lead impacting for and taking to seem good is my morning. operational half. QX team to to around Good very The Southeast [ph] XX that guys weeks, Asia

lead look for guys where Just average guys does just Can much you higher. are give half. you order today? visibility the are have it to the lead and So, sense times us times wanted backlog on like how see second a actually

Keith Jackson

Yeah.

look us perspective customers customers, see as pattern they’re our and orders, actually give a around much customers they and and industrial you planning on much the the automotive our half. handset But it’s second longer XX weeks. see order cellphone even will particularly from So, longer what an is ramping in

is lead piece it just is a the So, and the it customers serve. we of of times piece nature a of

Harlan Sur

wafer And manufacturing there, insights supply back-end [indiscernible] and the starting enough times, this guys on for from better now? underutilization the order fab do lead [ph] improvement supply given to quarter, hope initially lower the then, your half Thanks starts just second actually an just demand take in better up to have book, Great. the the you you Or Keith. operations? in charges are

Keith Jackson

the mean, I dye been the back-end supply the into we supply quarter increase for and have were first the - because really second here been we the of increase Yeah. go inventories of quarter all dye - has the in as our constrained. Most in

ramp So, because playing in we back-end really still haven’t constrained environment. jet had front-end to a we’re the

look at get we revenues, that. with As can then to QX higher to start we

Harlan Sur

Great. you. Thank

Operator

you. Thank

next Our John Credit of Pitzer the comes from Suisse. line with question

Your open. line is

John Pitzer

do a Malaysia you morning, what Good guys. quantify in quarter weren’t much and have think the I’m Yeah. June in call. the you and having it issues much June. for embedded been that you in in these Thanks trying how March do from Keith, to higher if the sense what’s in in and Philippines how I’m could think be you ask could me just supply hoping higher letting you March could think guide. that revenue impact get was the COVID just the

Keith Jackson

And number. it of if out more, guidance as And We pretty time slightly in we viable longer I we as because get have had had in original will period the in you can impact, quarter much as the supply made - significant not Yeah. of quarter a supply second least the in not than that’s our the big is quarter, I actually, second first. at can. and quantified constraints I as a the have guess, would the try first figure disruptions. for had

John Pitzer

That’s was also of year of calendar being comments But period. XXXX. an of that the more year you And the XX% at continues guess, I back back to it’s I XXXX this And down out to XXXX, helping did. that SAARS in autos when business likely kind some [ph] take to your your take about want this chain units go units sting understand as really got year. digestion that in space within XX% down down the helpful. supply then, Thanks, believe, much much, Keith. to inventory to growth as content auto inventory look with contracted I I being calendar about

So, growth can year are there you to? about Are why touch company-specific this you content optimistic more that drivers last? Thanks. than

Keith Jackson

do on really inventory better is quite orders dramatically think down control The year. and came second situation into we us One, that in Twofold. quarter. in the during this quarter the automotive first

levels So, prudent. they’re of supply don’t want are inventory there of a them. now are memories from bit. a our still of And that go that we lot But some out to to XXXX They that concern a actually I from very believe lower customers there being they think perspective. than getting certainly

So, expect the guess, inventory year. I first be more we would don’t order contractions this

was nicer much go content it the increase in think Second up China, piece electric we will than XXXX, is, very do looking that vehicle particularly that, at and in there. mix significant

piece offset a a dollars that’s And it, so, would hundred have we increase an of earlier, couple And of per of certainly of up percent, that of car. in a more couple you of opens or the in China projected. as it mentioned SAAR content been weakness EVs if

John Pitzer

Helpful. Thanks, Keith.

Operator

Thank you.

comes Our Gerra of with Baird. line next from Tristan question the

open. Your line is

Tristan Gerra

guys. Good morning. Hi,

of in so a potentially QX that we the inventory assume the point-of-sale to your QX come of should quick as question, type a mentioned? Just supply it going disruptions And coming QX [indiscernible] that question into level result you’ve and is your built in half? back follow-up guidance, to are is given - down supply what John’s second rebound in

Bernard Gutmann

increase basis. in on sequential we So, assuming are our POS a an

We down to weeks XX that [ph] be operations expect a to we normal we’ll XX that, in trending growth. have our basis, the back on week

Tristan Gerra

savings product And Okay. of doing Quantenna in then, on you’re of any that there? type any new quick update development? potential terms And

Keith Jackson

make obviously, on and, We devices time in our XXXX. revenue client at of talked continue good no here about that progress the acquisition we to

business the environments, those held doing has infrastructure still are up to next not the In balance folks investment these We’re similar well. of quite XXXX. the year. devices expecting [indiscernible] But

Tristan Gerra

Thank Great. you.

Operator

you. Thank

from comes with question Loop next Harrison Our Shawn line Capital. of the

open. Your line is

Shawn Harrison

I to point Hi. [indiscernible] Good the morning, hoping content. Keith, on was automotive everybody.

of XX couple I and in outperformed In think quarter. that [ph] you anywhere versus X high-single past for think second double-digit production you don’t the seen, you outperformance. XX potentially of by I start of first know, years, you production you’ve points points more then of type maybe see the to from production Do points maybe outperformance outperformance XXXX? quarter to digit,

Keith Jackson

quarter, third several more of mix the in things an leverage. more as see particularly, to as times, that expecting mentioned we’re shifts Again, Yeah. as And electric, see delta. you acceleration again, ramp the then, the should I of begin you’ll

Shawn Harrison

would Okay. outperforming? maybe second global production of But more quarter the mirror instead

Keith Jackson

Yes. Well, I’m not outperform any yes, in I Again, quarter. outperformance - expect and is this looking quarter. for everybody shut to not would the down

Shawn Harrison

$XX focused first million the of then Great. R&D. And was more incremental then, the million on [indiscernible] just Bernard, cost $XX

clarification SG&A million majority I this $XX versus a think please. of were implying on you related wanted just that R&D. the is I incremental that,

Bernard Gutmann

the COGS. including bit whole all across is $XX but OpEx spread remaining and little G&A the a P&L No, marketing, [ph] geographies, also the and other of million R&D sales

Shawn Harrison

Okay. Maybe relatively equal?

Bernard Gutmann

a as Probably yes. percent,

Shawn Harrison

much. very you Thank Great. Okay.

Operator

Thank you.

line of with Bank from Vivek Arya Our next of America. the comes question

is line open. Your

Vivek Arya

my one, questions. for the margin. to, nail first Thanks for down gross taking I just wanted

Bernard, assuming - And seasonal the mix? sales say let’s margin? if QX. versus QX gross the some if sales margin let’s are what’s What’s So, say, grow XX%, flat gross

Bernard Gutmann

the to primary the flat, going should away. have on And on XX%. in still incremental XX% we much that in have and change period XX%, margin revenues if of about or take fall-through are That improvement expect mix. revenue definitely, expenses So, be if a the assuming - pretty no would a million $XX I the gross you approximately

Vivek Arya

you. What it. your And wondering. [ph] of what the just June? expectations? inventory should you resale distribution talk exiting in Thank about inventory balance your Did we sheet are and June? was the kind Got activity think And then, - of I

Bernard Gutmann

me So, with internal start let inventories.

restart have higher. how level be see a some We to third about we more dye. we on higher to slightly comment the the To of those [indiscernible] expect flattish depending might Keith’s at to quarter, strong fabs

I than to back to trend to On the that quarter. as resale weeks the to first [ph] days of XX mentioned down stronger in sequentially XX the expect earlier, inventory, due we

Vivek Arya

Okay. much. Thanks very

Operator

Thank you.

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

Your line is open.

Craig Hettenbach

you. Thank Yes.

Just growth ON of XXXX? be if in could on of kind is auto and the quarterly a but XX% the what the would understanding in be automotive in production for year expect down rough to a full trends context question to you noisy, XX%,

Bernard Gutmann

like the to long - unit X%. talked have growth the will that that we content be expect time for we a So, in just X%

see X% offset. So, we unit the can whatever is by to offset growth X% [ph] content that [ph] a they’re

Craig Hettenbach

And consolidating on next over Thanks. a just years? talk then, other plays XXX-millimeter, out about rough of in fabs, maybe it. the Got the can couple follow just the of context up how really, of to that time line you

Keith Jackson

no clearly, closure picture the to ones now, a we’ve in the the we announced will year. announce been us divestiture So, there [ph] of of those actioned direction timing. XXXX in York more in But And next some on second have of one have today. one demand announced Rochester, our that factories both further New will sometime be give

Craig Hettenbach

it. Got Thanks.

Operator

you. Thank

comes question Perdovas Nick Research line the of next Our Beach [ph] . with from Long

is line open. Your

Unidentified Analyst

I Thanks. just go China. the comments Good color. was want some specifically wondering you more give the strength in to I morning, back to industrial can guys. if us and

that I increase Do to can industry essentially see what in think of seeds levels? To you back putting the to you in robotics. you of and kind the is China to and secular pre-COVID demand that change your to seeing point the if industrial automation, mentioned in pandemic level and indications automation compared coming [ph] due a comment? increased current of

Keith Jackson

Yeah.

in investment people’s trends. do and We talk So, about pandemic as this I’ll accelerating thoughts see first, automation.

that think trend very are piece of And New because, trend, And now to what nicely. automation broadly the so up. in people is orders business a on be again, The But sort had just the normal stopped. than we’re we so, do Year, disruption. in see have, had completely seeing quarter the New return the up we had Year, And industrial impact excessively we pre-Chinese the greater is beyond from continued a we factories a seeing pick just a will quite that, the And closed but for pick back just expectation rational automation less we’ve perspective, that similar that biggest China. secular we further that we a first environment pre-Chinese more not to more that.

Operator

Ladies Thank you. you and gentlemen, participation. your conference. this Thank concludes for today’s

have may a You wonderful now disconnect. day. Everyone,

ON Semiconductor (ON) 11 May 202020 Q1 Earnings call transcript