KN - Earnings call transcript Q2 2022

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Operator

Good afternoon and welcome to the Knowles Corporation Second Quarter 2022 Financial Results Conference Call. My name is Donahue, and I will be your moderator for today's call. All lines will be muted during the presentation portion of the call with an opportunity for questions and answers at the end. [Operator Instructions]. With that said, here with opening remarks is Sloane Bolun, Investor Relations.

Sloane Bolun

you. Thank QX our call. earnings to Welcome President and I'm call John me Vice the with are Sloane Anderson, Jeffrey Senior and Bolun today CEO; Niew, on and presenting our CFO. and our President that today's is Please be conference advised being call recorded. received you our earnings copy now, webcast By a and slides. of have should release

documents, If Web knowles.com. site both available the they have you received IR on at are not section our of

and today's All statements date except as earnings limited including, uncertainties and year results of will include forward-looking anticipated trends in made Such current expectations. differ risks and thereafter identified the not law. reports forward-looking company today call purposes Safe future prospects number and any the statements include constitute uncertainties Knowles, the XX, and for involve materially which of urges as forward-looking update demand products, future under profits release. The plans of Knowles Form call a Our review ended investors the provisions the actual such in company annual of risks expenses that remarks filed expectations, statements, for SEC to December fiscal and and to SEC outlook XXXX, laws. uncertainties for are applicable the comments and the Harbor filings, report with time time securities XX-K for this periodic on but sales, from to, disclaims from risks financial to about company's in the duty federal and about to statements required company's cause could by the

non-GAAP In addition, and financial this measures quarter. have we both provided GAAP

indicated. Jeff, reconciliation basis, our knowles.com and this a be GAAP on Please me webcast on who release measures. the call for most With with in our to filed non-GAAP on to SEC Jeff? over and at turn continuing unless details our operations references some current a our X-K on on Form let site available slides will report see that, today results. Web the will call the provide directly earnings As comparable otherwise

Jeffrey Niew

Thanks, Knowles performed second in we the acceleration first Sloane, us an of quarter and for beginning joining experienced the headwinds the you quarter. everyone thank today. in to well despite

expectations. pressured were margins, global China at EPS Even and lockdowns revenues and by drove the above weaker Our electronics adjusted still with our guided of demand, EBIT cash gross expected the channel consumer backdrop, than ranges, flow excess Knowles upper at free in and of that our midpoint or inventory. end

importantly, of quarter of execution results, our products to for We I higher to margin markets. moment. prioritize me the update are proud share let but But in the continue a our validate latest both first segment our strategy results and in detail these more because strategy. our will they to

Knowles press As to you exposure the accelerating our is deemphasize business focus release, our commodity saw of further our in to products.

'XX. years of before As of so presented demand far strategy consumer last November the in place choice we've Investor in Call our was in discussed over this the at few 'XX, decline encountered and

and from factory XX% of expected higher margins me to program implementation billion targets achieve let better to in margins cash margins QX targets. lower by begin to The operating XX% leverage operating is medium-term adjusted of provide our will flow CapEx. mix payback. timeframe and anticipated capacity of summarize ASPs. These to restructuring the yield microphone gross include full in from financial XX%, higher to higher with utilization savings billion benefits the to our This $XX but John MEMS shareholders. the Free expedites one-year overhead program Our driven EBIT of XX% range across annualized by with $XX an details, our will end with expenses and QX. key

the pleased to be of how sum, teens exposure in are revenue our XXXX. XXXX Knowles the very XX% to smartphone In believe in we more with in we mid market than is compared will Lastly, positioned. strategically

business million current Our I'm reacted with creation corporate highlight pleased average the teams trends conditions. weakness segments, spoke see and margin EBIT strength Precision proactive the let I've achieving Across in aligned to and for forward long-term tightly year, XX% Devices and headwinds with growth last was demand to helps over end was value share, which attractive expectations the in results. most Devices. In Precision continued our above to aided strong grew across was the our I cash by is applications. mid-term based impacted also in Health was continues Hearing market that, medical and QX market grew execution COVID flow with further company consumer our This and propel about due of new incredibly margins strategy year-over-year, me end Knowles our already With focus earlier. markets all adjusted microphone speed which free Revenue to audio, broad XX% product especially the lockdowns introductions. on shareholders. negatively contrast, with defense our increase markets, to targets. electronics towards we the have XXX In below and continue mentioned. MEMS by revenue

in to the this company goals demand advantage of our environment and financial factory towards this business summarized. I've drive the taking are capacity We right-size weaker

for channels microphone and margins the and MEMS demand flows. will positioned in well cash business inventory in consumer electronics As improved our be profit reduce returns,

very our guidance are to revenue pleased profitability, challenging despite our we gross Turning to hit for margins again, growth. very a for overall backdrop

of was QX of of end guidance was EPS midpoint margin EBIT of our adjusted high Our above $X.XX in expectation. our and the above the XX%

to our to John to guidance. we and margin cash over at Knowles to expectation call to shareholders least flow for come. value free financials and to With exceeded QX the of John? turn our believe free focus create continue goal our markets to continue me shareholders. let strategic QX review return positions on remain cash to our flow committed Lastly, the higher and products for our XX% I that, well our our years to

Jeffrey Niew

and growth from Jeff. ago offset of quarter for in increased same Thanks, XX ago, a second driven Devices a by Precision revenue PC demand channel was our the in partially growth, down same to the Hearing segment. period The Health, weak global demand and COVID China, smartphone and XXX and end due The markets delivered offset coming gains year products. of most increased defense, from with market XX% period segment up Devices million driven by decline partially million, shipments highest were microphones, MEMS revenues MEMS industrial growth new demand Audio by from weak the consumer XX% million, million in reported excess revenues microphone year XX on of lockdowns in Health down Hearing electronics, inventory. Precision by We microphone revenues XXX for medtech from markets. prior and year share across

X segment of Hearing points ago. lower XXX factory factory utilization margins Precision levels, in below incentive at more driven our productivity from quarter year, the million, spending million midpoint Audio down favorable costs. XX in guidance driven up margins prior than basis incentive by a segment higher lower partially margins million, were mix the expenses the were profit driven gross XXXX the basis million our gross capacity in by business and quarter lower favorable expense the basis gross XX.X% points the XX business. mix, XXX prior down was and XX compensation finished MEMS by from Second compensation by lower from than driven utilization. our SG&A points factory year gains period XX.X%, year lower were R&D capacity offset range prior costs. and Devices year Health microphone same by X

margin prior expenses. driven was a interest count, offset guidance expenses, cost EPS XX%, XXX $X.XX by was the with $X.XX, year in the a of operating up share volume. reduction and For points the quarter, lower from operating adjusted EBIT of $X.XX by the above above shipment midpoint the lower increase by was driven year, basis which and impact partially the lower prior reduced

Cash to our the XXX,XXX of from we Capital quarter. and XX.X near in total XX Now, quarter, XX of end cost cash and end was net Cash primarily spending was expectations, I'll million approximately a our capital. operations lower the to at of working the balance cash equivalents the turn sheet at totaled flow. high and due shares million. repurchased million X million,

Before to business. and half factory microphone MEMS operating coming expenses. is to XX half our in restructuring accelerating to actions taking strategy as we're moving reduce earlier, exposure our manufacturing our and the yield Jeff with roughly We're quarter to of annualized lower XX third overhead lower capacity from stated lower guidance, savings, to the the quarter savings to expected operating million This to right-size of related our third commodity microphones. beginning margin in expenses million

XX expect XXXX both incentive a run of We rate million, compensation. Knowles reflects of actions exit operating levels restructuring the of to our impacts quarterly which and with expense normalized approximately

We cash and restructuring expect to settlement million associated related the to obligations. severance the XX incur to approximately vendor of XX of with charges million

to focusing last of today November. and on reduction cash our solutions, which deliver adjusted free strategy margin higher than our of Lastly, us XX% flow on the cost targets enable we're margin actions to XX% communicated financial value taking XX% should EBIT support XX% we earlier mid-term to

quarter. the third to Moving guidance the for

million up to business, gross with demand XX% estimate driven year defense, shipments excess XXX than by and XXXX, driven Precision the from from we've for expect a revenue period, EBIT weak due year lower be strength million R&D and down of third microphones mix XX% to million, Devices. to continued driven to improved are MEMS be from be million, in expense to unfavorable compute adjusted lower XX for in and period to average million than and expense quarter between based in ago XX.X XX% audio utilization approximately QX period quarter from effective market. XX over costs. XX% down tax the for million lower same an approximately quarter forecasting capacity margins in basis. markets. and outstanding lower These to segment incentive Precision discussed. an of our is of basis to down and XXX on lower compute shares industrial a microphones expected the the XXXX. million range compensation in XX% MEMS by quarter by full rate between impacts broad demand the expected revenue XXX electronic consumer This expected be by share. be more and administrative driven to year the and driven due projecting Revenue ago the year inventory. levels, a negative to We're prior shipments XX% connection headwinds We within is fully diluted during be weighted We're between the XX margin assumes of total per utilization down company a medtech XX%, to capacity margin the to by ago, be to channel smartphone XX% from offset $X.XX and to MEMS selling be expected is Devices is XX $X.XX of primarily gains to and year productivity by microphone high EPS macroeconomic for points We more XX% and factory the partially range

third quarter, and XX be from we to million million. be generated the and between capital expect million spending XX For operations to XX cash approximately

XX% the guidance some improve. fourth Precision it expected a shipments to our to beyond like provide to and increase quarter to Health provide quarter, microphone the of modest as typically don't the inventory expecting and for we driven relates I'd sequential by current channel in Hearing Devices XXXX. is company, for as XX% total We're expectations growth commentary While

margins our expect program. benefit as we and improvement significant begin volumes also adjusted realize shipment restructuring cash sequential and from gross benefits EBIT of to in We margins, the higher flow

EBIT We be above margins between be adjusted and gross XX% estimating XX% QX XX%. profit are to and to margins

For the of flow free as expect we a above cash revenue year, percentage finish XX%. to full

our the margin EBIT growth free to in consumer to structure returns. adjusted inventory November. last demand Hearing with accelerate open I'll when line levels Health flow cash While operator and coupled along us grow questions. businesses, introduced with cost demand us positions the achievement enable and back our optimized well expected mid-term Precision the of to market are strategy Devices turn electronics will This, now profitably in to the our margin for and continued challenging, targets call our

Operator

Instructions]. [Operator Certainly.

question first of CJS Labick from Securities. The proceed. Please comes Bob

Bob Labick

for a you just biggest to QX doing? I they And just and you how in like Thanks. Good afternoon. to wanted Just guess what QX, will John, more takes pick fully just Is adjustments channel what and Is terms the reflecting inventory on market us are and wanted guidance sense hi, inventory I give up you said you on corrections, year the the clarity and through up be not there, can next pick of of what are normalized? -- will discussion, guys the more you have through QX end done into when stuff? demand? QX? and and puts just getting

Jeffrey Niew

Yes. Bob, is Jeff. this

So just commentary. a couple of

is, say referred is to, to from that John of XX% and sequential Hearing I'd XX%, growth PD. First, coming most the Health the

the again, think it I would of our extend in expecting of growth expecting being But it very improvement in got going Health perspective, microphone growth to is starting worked the that -- happen and business booked. down. then businesses from into think the out is, of QX. in we inventory still look think longer be to system. are doesn't inventories we business. QX, what has and view the Hearing of I appear QX we But signs the We say But kind I the to it already lead is lot channel think as going forward. might I And got most modest times inventory into coming to should a 'XX, be the of of which in just And kind a sequential about and see we're we're is PD, how from some

Bob Labick

the And of on this and from say expected or then XXXX, for place? get helpful. normalize the of what's your your And have you just said, from cost let's away sake or That's just more of impact as away? kind commoditized margin upon, you great. How the once you Okay, sales, top much right-sizing some lower for when by through, and margins we be the question, argument's line in done new end walking through QX get you do would sales? walking structure year-over-year gross where correction it's

Jeffrey Niew

let's Yes, at, And margin mobile? business is And just you look XX% mid-teens -- a if going it's I mobile the we in gross think I'm of XX% tough mobile, year year. go is to to back But mobile And second. going a XX%. and from end the probably of well handle -- over the year, our company below percentage in XXXX mobile. XXXX be what next think to this let premise was John of were I start up was and to we'll XXXX, in XX%, little terms total

that deal continue And we with forward think viewed would how That we XX% business. capacity run Bob, so I And we look you're microphone the going have year, be at inventory to leftover think to is correction to to at we look the we this, that to but was, next I an as it MEMS in the XX%. have to goal. intend shouldn't

Precision X% single organically to business. from Devices still grow expect GDP growth Hearing number, that's would and that we Our high should Health business type X% at digit plus a number,

we're So think be margins. QX improving next that on flow we'll into I cash EBIT think, to into And focused as we going really do we and improving able year. go and forward,

Now, margins. gross

John Anderson

our Just of microphone in That's points gross close almost entirely for terms in entirely utilization year-over-year. driven margins down QX, by or it XXX MEMS a margins, our to capacity gross drop is business. Bob, are basis

which of factory utilization, aggressive about closer capacity I be and margin pretty As taking gross we're Jeff more XX% normalized are to reduction actions, cost At overhead. XX%. reducing and would some mentioned mentioned, impacting our

Bob Labick

Got it.

Okay. very you Super. Thank much.

Operator

proceed. next Capital. The from Please Desilva Suji comes question of you. Thank ROTH

Suji Desilva

Hi, Jeff. Hi, John.

so it the margin we on the what trough capacity? of some kind as utilization, kind have post you're with continuing of might the was utilization in theme And the of here, John? do be, versus the just what what benchmark might reduce kind restructuring, gross So restructuring now maybe you seeing future

John Anderson

which run factors gross Yes, is not is XX% be have utilization. this one gone into below into of target, there's is rate. demand kind in Suji, clear, globally currently electronics to I'm capacity historical Number in capacity And specifics going utilization at, XX% down. and it's current operating to let's we're consumer kind our terms that go three of of but margin significantly

that. I things even think all of PCs, a different down. like lot market, there's smartphone a we lot acknowledge That's gaming, products that but like are

thus excess pricing, inventory pricing in take across to end and is is thing So there of earlier right? of make a year share. in markets, the channel, the inventory And our it Second, lot the on the third many driven there's we did channel. in hold that's decisions

things up three add there's So that to. that

Now as on to target going XX% in we for And it's going be basis. shooting we're annualized be we've for said, want XXXX. it, XX% to far to utilization as what that's operate to always the an capacity the that

Jeffrey Niew

Yes.

your think business. those at close that to that and margins with within to I get XX% other high have total margins for we up We question, -- this opportunity think or and XX% XX% clearly more. company to XXs with the operating to capacity the MEMS we can our

Suji Desilva

quarter just the talk as a kind coming XX% sequential, us, guidance, sequential mostly Health PD. Okay. digging And of to fourth you XX% gave which didn't Hearing strong then and I Health from into believe, about of it really you Hearing think business. I the

growth GDP-ish talked about You long-term there.

presuming actually PD. I'm a from lot So coming XQ's of

color or be me I'm the Just helpful? any business, wrong, maybe OTC if there maybe correct would

Jeffrey Niew

that customers, their demand as they right the place beginning start and leave our happens fourth products. building of the of at show business. new audiologists show orders and -- drives Health. seasonally aid Typically, there It's not for is There's the QX big a like that, for AGC but strong quarter it Health amount a a is from very hearing is actually quarter from fair that a lot Hearing Hearing

amount is contributing. is also HH, a PD from but there fair So

Suji Desilva

to of of my a the consumer-oriented question obviously environment on last resilience versus segments? be Thanks. seems weaker through what And kind Okay. economic touch PD you maybe can

Jeffrey Niew

Yes.

So you obviously we've I the with very like business. think continues said, to, show PD pleased been resilience. It

markets well well; also our business, positioned aerospace, from are medical I think add The base few market for it we're continues a doing a I them. growing is them. extremely defense, to and well strong although EV they're that, very would very very for be life still sciences in that small in doing or again, growing.

most bookings that strength. we're think the seeing markets I And of strong. they continue be to have, So

orders the is business. would I of our like the think knowledge and next going months Health over what's A six of So baked. business, the kind of already of lot to PD again, happen Hearing

that's so QX. growth about pretty we why from comfortable And to in going feel the where come is

John Anderson

Yes, so medtech you defense two almost business thirds total PD just and The add a little bit. business. of represents the

Jeffrey Niew

just business kind of being medtech up is bookings in in defense. our was about be business say and the I'd Hearing the medtech backlog Health XX% adding plus the And PD of defense plus continue very business numbers, I PD, strong. to now

Suji Desilva

John. appreciate color. I great. Thanks, Thanks, Okay, all the Jeff.

Operator

question next Please The comes you. proceed. Rolland Christopher from Thank Susquehanna. of

Christopher Rolland

any Thank able around we anything then my there as expenses you. mentioned or probably cut, And it? manufacturing expenses is through I I OpEx and our move that to going up out there are OpEx the be q-on-q? these it trail and Hi, I on COGS is do Is know but questions guys. guess going ongoing you're well? Yes, this as to how restructuring you mostly in was, the guess side?

John Anderson

in combination of MEMS is And Chris, IDL, then microphone so of the SG&A. OpEx, terms overhead in R&D million, a and the half factory factories. our is other $XX it about Yes. half of annualized

Christopher Rolland

certainly makes is question And around sense. that my then --? Okay, second

Jeffrey Niew

in second rate terms run Chris, part, -- The of

Christopher Rolland

go it. for Yes,

Jeffrey Niew

Yes.

the comp, these of incentive XX to we're right we level of expecting Once implemented run for normalized rate, and OpEx a That's kind we've run around So actions incentive quarterly comp. million. rate. be adjust

for what run remodeling of put you you're in that's want if So rate. kind 'XX, quarterly to

Christopher Rolland

Okay.

comp here I that explain that from would think why guess. incentive I that's it's up

Jeffrey Niew

Yes, obviously way down this year.

Christopher Rolland

inventories. around want customer then inventories, about also to I And dynamic excellent. understand inventory your the talk little bit. I inventories, want Okay, own but a to

days. at XXX You're

the et waiting how that'd just where level, finished bring overbuying little to inventories classic a you're to see Was a classify you would devices goods, finished semiconductor at could PC, the where dynamics be or this just want secondly, to it, these more then talk know seeing? inventory IoT, just component mobile, are customer internally great you you about if finished that love and was that? are cycle Maybe too? So there bit cetera, can be And finished sold? you that

Jeffrey Niew

I'll you me what of example, And mark shipped PC good units of shipped number can so on PC use of sold to as market. XXXX, units in sold the the -- Yes, the year. number units the easiest were per than because significantly one number kind of terms in more market in based see a that that's track the let the is of we the units were that in

kind We're very worth hopeful There's will market, of combination through inventory. that come PC there you that down. you material customers PC that down in in been marketplace. in again party you the that that's already I the be lower is how inventory there, of the down all is of line I But some marketplace I'll going like inventory to a down. demand move to to harder that's think this in this to stuff higher like demand, another with Now, think I demand very come third in at lot we're of there kind and to of make have commentary. the three little sure XX%. inventory estimate right? definitely inventory. the can in And think is comes try with quickly than the like data from But When say. there of out inventory usually some part says active when I down, on a the see highest inventory we you But around I'll make to Our the our we're down. with market by can just is would can know, worked discounts half the of right year. know for driving this an isn't year gets comment I in middle quarter's inventory moment. is if we year, the probably Typically back probably towards a back typically, that internally. program and inventory talk kind because inventory, your John as take now of raw that end like let start comment. work And see say be I finished don't see the sit seasonally the the progress ours months building of, would worth to of of when demand there's is in shipments back, will active as

John Anderson

with just Jeff Yes, expecting. decision really to more of keeping things year. XXX And conscious COVID say lockdowns we safety in the add keep higher and right, well experienced we've between drop in Chris, is would related to I we would what addition inventory improving It's safety the come the China, pretty expect what slightly. now the end inventory days, a we've down said, factors. that It's in stock, I at demand. It's also of significantly you're we're stock, just fairly above made a were abrupt are couple to

to issue other had X-inch we too X-inch. a from The in fab our conversion is

second higher and last cash in But to cut of half, the in be and this of again, buys particularly like improved year. in time quarter for second half this the drive expect fourth this will both in the we've coming we flow 'XX. And inventory that. that down So year things

Christopher Rolland

Awesome. Thanks, guys.

Operator

proceed. Please Thank comes next of Gerra you. The Tristan question Baird. from

Tyler Bomba

balanced have us the is please taking on provide I you armature Tristan. Could Tyler for update an one. the line? on Thanks capacity for ramp question. This Hi. of Yes. just that

Jeffrey Niew

Yes.

capacity during utilized today. don't is half fully of of I year. of enable you that. quarter, So more the if in amount back audio we the balanced about would a fair a that, definition What know up marketing expecting armatures We're the see I did can and not say high how obviously, to is the saw ramp

the we've of with a in lockdown is half. the China in being I first challenges one think that lot seen

number lot side. of a But just cost wins tougher is, design Number two and and all, our line is, on from to very very down, achieving margin, in a bit all to well bring would say New important. we've applying the on there order our of armature lot sit line its gross in manual have a first I one come back China are improve is targets, that learned automation cost to been balanced little doing by. learnings this

see for and Third, market, I the also beyond is we hopefully, over-the-counter traction filling armatures in I with space. the some starting be sit our would that customers have in customers that some Health the market Hearing a that and say demand we'll there commercial similar to expectation balanced we're say, few Overall, that from for XXXX. would line

Tyler Bomba

for Thanks Great. all insight. the

Operator

The from you. Thank Please next question of comes proceed. Craig-Hallum. Anthony Stoss

Anthony Stoss

American September away Hi, to or And follow couple to I ASPs? maybe I you, curious care wanted I'm you're then to North due a the maybe if for focus guys. had walking John, guide. customer, in you'd you comment biggest losing ups. smartphone on on if revenue think you're of share your with

Jeffrey Niew

is customer. We're Yes, on this specific Jeff. comment to any not going

lower committed that margin I to comment the we're think keep we'll just to pursue here back going not business.

the Tony, year the at a we'll that kind our half, think I for year, and total of business that with. Again with expect smartphone leave it that's that will be XX% commentary company 'XX roughly in revenue. we've said something and of last we the

Anthony Stoss

QX. both Thanks on in quarter? you John, then, Got us do that. XXXX, gross exit you where think and think you on per -- OpEx you'll it. OpEx be gave margins Where you'll for And

John Anderson

by margins -- the kind if We think reasonably be implemented we've as XX% gross running reduction high I implemented I'm the at would today, to QX. today, cost above think or capacity, assuming margins we in it MEMS end XXXX. But give gross into XX% we going microphone on the XXXX. that we going -- actions all of business, earlier, Tony, we're in be of mentioned guidance we once to discussed not expect these

Jeffrey Niew

just me one let other make comment, Yes, Tony.

there's can the in to you based things that's that on think away, actions three November kind numbers better I get we think November. capacity years we of free spending, is And would we're flow a go of on XX% the with just in of we've came about. XX% to free said, with better we're there, mix, kind CapEx to sat we But right and the one shift to margin in There's year of into out four-year When say get cash cash here hitting right? in would right? So kind right, to commentary put. those targets utilization, different 'XX the and be the different there. I can get ways to now through call, say mix, EBIT we our that of we the talked get margins lower better on of we're flow this potentially So margins. XX% that to OpEx, focused taking, through I earlier, year And all look ways two of through bunch can we're utilization, would to a going those highly taking, EBIT we're I adjusted we Well, XX% the call at timeframe. right? here the capacity actions

Anthony Stoss

XXXX? if in that's be question on division, it, on, helpful the of and wave grow to any kind XXXX Got over going Jeff. then millimeter And your last thoughts update would

Jeffrey Niew

Yes.

our would cautious I'm the about So would growing I in RF wave well customers starting states. that's do few how in have very we are I with the of but big are and end from caution, any customers this telling get rollout market, Again, seeing that very, we although lot be say have have of commercial It's production be larger wave in some people, we're accepted. business. well customers of primarily just numbers. big forecasts are and is could in these to continue way these going not in defense. millimeter millimeter that a the we year-over-year, extremely we the marketplace us just small We the we to do that a

to very saying The again, be us. well. to continued do cautious is number very about for for good to business big I'm the defense going continued So RF But telecom. very be this a business

Anthony Stoss

something that fair the debt ease that Okay. pay can I continually? you'll amount on you one up restructuring bought just charges, back. of stock know et sneak I If Is think guys more down in you a on and cetera,

Jeffrey Niew

course see last to very XX% I our that No, don't flow cash track XXXX. and we flow share with back to committed change We're generation return change -- would through forward, back the 'XX especially looking shareholders there's or And repurchases. think free in for We're of don't Tony. cash reason I there. into quarter XXXX. that of last in November We course. on of the the any comfortable a half of

shareholders, to commitment have course. repurchasing I returning important stock. even So think acquisitions no, no as be to really well opportunities still change plenty of looking capacity pursuing with we're and it's And cash we that at of as going for to and those

Anthony Stoss

guys. lot, Thank Perfect. you. Thanks a

Operator

will That over questions. conference Niew Jeffrey back conclude remarks. pass our now to to of you. the for closing time Thank would I like

Jeffrey Niew

Yes. Again, this is Jeffrey for Niew. Thank your you time.

very and think forward much. in taking look of on terms for stronger next and much us XXXX. you I action restructuring this Thank we to a QX quarters setting up the few

Operator

participation. concludes That Thank conference for the your call. you

now may your You disconnect lines.

Knowles (KN) 3 Aug 222022 Q2 Earnings call transcript