SGH - Earnings call transcript Q1 2019 | Penguin Solutions, Inc.

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Operator

Good day, ladies and gentlemen and welcome to the SMART Global Holdings First Quarter Fiscal 2019 Earnings Call. At this time, all participants are in a listen-only mode.

Following management’s prepared remarks, we will have a question-and-answer session and instructions will be given at that time. [Operator Instructions] As a reminder, today’s conference is being recorded for replay purposes. It is now my pleasure to turn the conference over to your host, Ms. Relations. Investor with Schmidt Suzanne Please go ahead.

Suzanne Schmidt

after XXXX Good Thank will joining Global begin thank Chairman fiscal for the call discussion and on you, Holdings’ Chief today’s Officer quarter SMART operator. us discuss earnings you to Shah, a afternoon conference Executive Ajay results. with first and call the open followed and Jack will results call more detail Pacheco, the the questions. review Operating and of financial will business market Chief the which forward to your guidance provide and the who by we Financial Officer in

quarter earnings conferences a reminder, the on information release As we SMART’s encourage website financial of replay including for today’s company, section the the go Relations can our website on will under the press accessed most to the and smartgh.com. attending. various We our you a current be at be information of call to Investor throughout

like the projections forward-looking statement. those these that statement other may the market we results note expectations, projections financial future today’s I characterizations include a is conditions from may future to Actual differ questions or forward-looking of and expressed would events, remarks statements. statements. refers materially to to including Before call, and from that begin forward-looking Any answers

forward-looking Form please recent For which XX-K. time documents speak we We to factors no to file statements refer more most discussed assume information, to from including as SEC time risk the in these update our the of with today. obligation the

Adesto President to and Shah. Karl the Spansion. of over of turn call and Vice may just both like release. With SMART Chairman measures are recent also newly most Communications. of Ajay and to know Many in work those comparable measures directly non-GAAP would during included who Karl I that, the Additionally, Motey, in for now Marketing at this press position earnings will GAAP our will has introduce be created from Reconciliations financial joined discussed. his call, you today’s Strategic financial CEO, I

Ajay Shah

call focus by Thank report declined for control. quarter and expenses Good $XXX.X on to Non-GAAP and with high the a three the of quarter business the exceeded operating pleased totaled am XX% from million, to we and you, guidance Jack for more of review our of as of the that of guidance. the per net end Non-GAAP XXXX quarter was our welcome on now ago the profit gross and as which earnings ongoing first to call. than prior Suzanne higher numbers share. I sales high our fiscal going areas demonstrating over to year X% detailed $X.XX will our everyone review forward. quarter each turn then the completed record $XX.X afternoon. expense well increased I the of million

net Memory applications Turning is also application-specific this business. requiring artificial quarter. first the such industrial of to more data all-flash by are Flash the applications. grew becoming datacenter for storage utilize sales for as a million for to this that Behind and more almost all-flash arrays applications to Specialty access. prominent compared The proliferation within our our normal which applications, intelligence growth, server XX% $XXX arrays driver sequentially business, strong was reach continued solutions

continue We to progress OEM for make new customers. excellent our developing key in solutions

and delivering solutions. latency, and data-centric handle advanced to power analytics software high Memory standard. Module standardize as protocol low interconnect the in-memory designed enables memory optimized new ZMM, and quarter, through computing or fiscal with OEMs adopt also real-time the workloads is protocol which efficient known to which consortium first XX to the we the and During SMART introduced resources Gen-Z gigabyte Gen-Z This helps while pools scalable enable for Gen-Z applications, bandwidth,

subsystems. and our repeating that a actually devices, telecom, specific in networking, long by bears design those few. for of many are It are tailor modules to our of which customers. applications. we a and vertical defense storage, we name customers they requirements for relatively and such We because such markets be memory more the products incorporate buyer These we enterprise sticky our then As industrial investors areas into to memory cycles provide know, semiconductor application of lifecycles – long as their in made much product developed terms particular characterized tend and of are

of such we the being on as Much these to leading technologies tend are Given today not market products in today DDRX be about to volatility edge sometime talked often that the that designed more mature memory actually shipping semiconductor more in memory and and were long products based is is the are ago. lifecycles, mature that technologies. tied

so you in in memory products were as market our QX, look in that So are seeing the that demonstrating relevant at business. our DDRX you for not reductions we performance prices or XD flash the are NAND for

I XD about bit cost we talked actually both seeing products With specialty new with opportunities types various customers. the for markets and flash per and of NAND reducing that have new the products, SSD for are in existing

to force and our as our sales engineering business of expand capabilities see expanding we particular our line continue market in We this opportunity.

remain design prospects in and opportunities growth the good seeing are periods. about this in and wins optimistic we coming So business

Penguin within intelligence primarily from or months Computing, to new ramping X quarter are specialty programs was about or led sectors. computing our now key and we commercial computing of increase that the government last The part the during storage this and business led ago. high-performance applications the the made in acquisition now for artificial by by AI Turning business and sales HPC

unique cluster and ever broad and environments system and the software financial Additionally, enhanced systems to which XX, than growing their software Scyld cluster security supports released market greater state-of-the-art, customers services oil rapid cluster HPC secure provisioning, software web-enabled a flexibility increased and HPC monitoring from management worldwide of the quarter enabling before. system with ClusterWare delivers management gas. customers to a new This called to in with we industries during and features, government manage customization the array

continues innovations into as We improve seeing previously. result to areas with are been to and pipeline not that a of expand have our involved we that such

We margin in structure are activities, integration. including Global’s through stronger on to SMART opportunities our and of levels and Penguin’s engaged chain a improvements to business services well increase federal internal closer also as supply from focus software actively variety bring and a initiatives an manufacturing in as

next the see few initiatives of to over expect We periods. the benefits full these

which with are solution high-density such to our flash a and memory Additionally, good as SMART’s for we applications. making we Penguin’s such is AI SSD solutions platforms products that engineering develop our into focused can NVDIMM integrate teams progress MX

Brazil year business, to a QX period our turning reach million. the we from Finally, period last the Revenues very for line same $XXX.X to XX% of had good quarter. grew

also cell-based polymer started our is shipping beginning batteries, a which ramp. We is business new that to just

for local for recently at are sector, expected memory than XX%. the smartphones, level products the content rules for However, mobile reset calendar XXXX previously these the forward, looking were the XX% rather

an leading indicated calculation adjustments, of combination the in Additionally, past, we holidays, straddle hand more have. visibility which has With the commentary second year year to near-term and local lower as by we I This businesses. have Jack? content reduced factors because will year-end calendar you expect to normally is Brazil during Jack our on financials the our customers manufacturing of this, revenues to a quarter fiscal the a annual Brazil. are due to slowdown and annual ends specific the seasonal of to of in content some – we over requirements number end local in us in from provide our February,

Jack Pacheco

the for were fiscal Overall, Great. quarter $XXX revenue net Thank you, million, Ajay. while was $XXX first gross million. sales

transactions. a supply an services over which recognize reminder, year quarter the agency only quarter. sales net basis, accounted meaning profit for on net by and is the the we by chain the related revenue to supply As Net sales the XX% sales, previous gross difference our net increased business, and between ago that over X% the chain services is

fiscal market and XX%; sales servers of XX%; defense follows: industrial, by XX%. was network end mobile and and storage, as for and net other, the XX%; aerospace, first quarter breakdown telecom, Our PCs

Now, million efficiencies. from million or in $XX.X $X.XX million million, EBITDA increased to demonstrating or operating quarter, year up last share million losses focus income and income compared year net million quarter, from continuing million, was year gross first quarter from moving quarter $X.XX of non-GAAP rest and FX-related quarter. as million, $XX.X diluted from diluted in Included per quarter expenses the to losses up in of quarter ago the prior and $XX.X XXXX the the the the were million million X% $XX.X GAAP Adjusted $XX.X previous the operational $XX.X of for in with quarter. $X.X share X% non-GAAP or on FX-related million $XX.X first of Non-GAAP the with $X quarter statement, quarter ago diluted are the $XX per first down profit quarter’s FX-related compared $X the million $X our to quarter. approximately results in share while first for the the increased up fiscal $X.XX last fiscal losses ago prior per

improve to million million of first the $XXX for this $XX days end respectively quarter. net and Turning $XX times times inventory million as levels. inventory on outstanding of quarter payable million Penguin’s XX XXXX. million and Brazil. goods $XXX cost sales quarter. in last quarter’s with and million calculated the prepayments the Consistent Inventory days to for the receivables begin accounts quarter XX the sales days past of our and at last increased compared last XX for end as quarter quarter our are turnover to receivable $XXX with $XXX first cash capital, increased increased and working $XXX were compared our from which to of $XXX Cash a practice, and equivalents at to outstanding inventory from in accounts prior the decreased reduced to quarter sold turns prior efforts million XX we our basis, million days we compared with Inventory accounts with fiscal were gross

First in with from $XX $X quarter quarter. a million cash negative million prior positive flow the compared operations was a

utilizing our quarter, exposure in our rates recently reduce As accounts fluctuations we pay payable minimize practice in to to early a of we help last program implemented cash exchange our to our indicated our exposure. FX have Brazil versus prior to foreign

accordance on new in XXX memory with revenue headed specialty recognize $X revenue to first had standard was the expectations into began million in of in overall, $X revenue in also with income new positive the impact ASC recognition quarter. business our a line net and our QX. The our which on We million

December in be typically Brazil holidays experienced on in January. As fiscal seasonality tends last we well on to the as customer QX as a our shutdowns due X weaker the March business in as and to our call, ending discussed quarter quarter

content set Additionally, as local at memory for mobile previously announced calendar XX% year Ajay mentioned sector earlier, the were for rules XX%. versus the ‘XX

availability many you As will now and year mobile for last are prices shortages, recall, better memory is much are there falling. but

are falling in anticipation times possible to orders We delayed purchases reduced as and also lead therefore pricing. seeing as move customers out trying as are late some of memory

compensation $X in earnings gains $X.XX XX% $X.XX expect Now, income due of to an for $XXX million. to include let estimate our asset quarter me in per Brazil, $X.XX. diluted has or second are for number to quarter a range PADIS for The XX%. We estimated share benefit. expected per our expected XX% to quarter be guidance of approximately used basis, our will mobile sales losses second non-GAAP the computing view in of acquisition-related non-GAAP is second for the intangible quarter expenditures $X.XX. On excluding fiscal earnings fiscal to X% net and be million share expected range due the that Gross expense does currently business foreign to to guidance. the between per lower be tax tax the includes GAAP will margin shares we in contribution diluted to $XX.X our and stock-based not quarter XX% turn diluted million in the $X ‘XX be be expense, memory to is rate million. second the million. the fiscal Capital the range range to exchange a to be earnings amortization on any to of provision fiscal from $XXX share of to The which in the was expense,

information refer have these material minimize In in not of terms our worked Please customers our business. any put China, and impact do not imports to the impact we as we our on on to business of we place tariffs from have suppliers any income expect to seen and with financial concludes in of for further adjusted non-GAAP section we EBITDA financial release the to my our earnings details. measures results GAAP and questions. to the net to take Operator, reconciliation press tables reconciliation are non-GAAP ready of GAAP remarks. and now That

Operator

Thank you. [Operator Kevin from Cassidy of first Stifel. Our comes Instructions] question

Your line is now open.

Kevin Cassidy

my taking I question. the Brazil, move reason guess and is content the XX% XX%? the was to local for with what why first Thanks obvious they question rules didn’t stayed

Ajay Shah

Yes, agencies and of a so rule, the were lot were the people doing government Kevin. XX% in It at there meet we when able at had to XXXX looks and like they the it back when number. shortages that shortages were not were looking

based companies So what numbers. on reduced it on calendar they could the do the ‘XX to year XX% based

Jack Pacheco

in it all works that arrears. Just happens

Ajay Shah

memory, course, it are. of like but rules since now that And was they what they supply put of the of Right. course are then ample looks there and that did

Kevin Cassidy

is it much, Brazil less And your margin to main this computing to reason declining the storage? and is why new and gross Okay. exposure higher specialty so is

Ajay Shah

cost Yes, why Brazil margin bit is cover some know, have too, the that’s – fixed cost won’t down in you a one fixed with much we got that in Brazil lower you the all little and is the mobile can’t we number. as down much reason as as it being also

down knock will little as it Brazil a well. So margin the bit

Jack Pacheco

the positive quarters the as is leverage negative positive. it versus in where was positive volume in just this case, negative And QX in leverage leverage previous

Kevin Cassidy

to will I and get others you. Yes, Thank back queue questions. Okay. into just the let ask

Operator

you. Thank

Bank. from comes Sidney Deutsche question Ho of next Our

now is open. line Your

Sidney Ho

you. want just Great. with to follow-up Kevin’s question. I Thank

to changed XX%, impact? now guys much. expectation wonder to quarter is I the you that going too local from guys last really then just it’s have call you to bigger alluded said I content earnings that going has to think a and that that XX% have the to impact that down not what in seems the time from at

Ajay Shah

is Sidney, reduction is We our know, by don’t calendar the first just clarification. The think you And me QX particularly all, bit the reduction of as XX% move, of quarter. that XX% for to is February QX – let clear. be of just a to impacted a XXXX. really impact year

in for the to XX% expectations So, relevant It results is the calendar of as due XX% have impact XXXX. point a be clarification, move of to year to not QX clear. our or does very more

XX%, ramp and look sooner. a had customers customers are a – to now less you have if If they how expecting at XX% were up to effectively pressure you reduction to buy

Sidney Ho

sense. say talk XX% it, be expecting to Alright. guidance you That on makes Maybe units magnitude, the when release, up, just that understand the – the much to guidance, be in how driven other and is of XX% the when you are side to just want about call seasonality the down down, a question press things I – on two increasing businesses revenue XX%, Brazil pricing? of you versus by the

Ajay Shah

to XX% two flat that we And other two think the range, businesses combined. roughly businesses XX% the that reduction together in quarter-over-quarter, line for are QX. Brazil are other in I indeed in essentially So, top

the like that, point a manufacturing seasonality customers in we So I is has it’s for shutdown the believe less, – more X.X shutdown effect as about where December holiday like we that, all right, you shutdown XX weeks. the am long the significant something literally January and get are saying literally Most our that is people of from businesses, impact. we Brazil till so I in have periods even some X, an X but

Sidney Ho

question, last it. away. Maybe Got one will I go just

think gross point some what there out of come you anything that, be mobile in have for things the quarters? following are down drivers And how to at XXX margin will few to impact. basis the content margin gross will Jack side, you change in beyond XXX back the local it the the side Is On mentioned or QX? points that do

Jack Pacheco

fixed is right. cost Well, packaging have the first operation facility highest a you of – Brazil a being in the all,

like have goes losing are QX are the Brazil we we earlier, you revenue Ajay so cost doesn’t but business get – it the that And benefit, go away. mentioned as when we when losing – in growing when been

has we just in percentage. impact – little is Penguin it majority XX% a a and margins. big lower puts negative and It margin negative gross revenue loss that And losing, it had Brazil than put big impact is So a on margin had originally then – the of Penguin anticipated. is XX%, down the of impact a

Sidney Ho

that XX% how you range how that back to – And quarters, about think when you few about? guys do do this XX% following think the will talked to you you will get

Jack Pacheco

where to – so to Penguin and Brazil kind closer it then has and help margins we come We bounces biggest back of is get thing back the and get where it Brazil closer to But the is we when the up. back it’s go Brazil today going bigger get need gross back the to be – to improved really will will there. back margins

Sidney Ho

much. Okay. very you Thank

Ajay Shah

too. And the have improvements operating we

Jack Pacheco

Yes.

Sidney Ho

Alright. Thank you.

Ajay Shah

Thanks, Sidney.

Operator

you. Thank

from Suji Desilva next comes Our Capital. of Roth question

Your line is now open.

Suji Desilva

Hi, Ajay. Hi, Jack.

update can if content dollar trend Brazil, content impacted that’s being you for the what is, on Thanks. smartphone So smartphone by and the us on pricing?

Ajay Shah

So, ASPs $XX.XX. good in were quarter still I the mean pretty QX like

that $X.XX we of in big QX ASP. a down so from think on I QX, the about reduction are not

Suji Desilva

right. Okay,

steady. Now, it’s pretty

Ajay Shah

Yes.

Suji Desilva

when on talk that And battery, in growth about the opportunity that the can is? could quarters away Brazil, how revenue in there, the timing then you layer of many

Ajay Shah

little XXXk kind – out it of it little bit mean, think start in QX into a contribution revenue start seeing – more of a – that QX I contribution had QX. and so we had business. of We will I a in of QX, will from we

Suji Desilva

of on talked you driven might there new it. some there lumpiness be growth question memory sustainable quick last of and level from ordering know I sequentially, is sort here color about Okay, was have flat great. in but any that And helpful? would specialty then revenue or one this

Jack Pacheco

about had. new in standard, recognition about quarter good and revenue we roughly Yes, the our networking flash especially in talked the and $X the that’s a that revenue We some array in impact storage some all-flash we from have in demand, the – this, million – one-time guys.

would the so business to numbers. specialty, bit little year-over-year the come I think that come continue easier quarter that think those but little numbers for or These bit high a a pretty in business. specialty And but grow, that might will are down for next from down could numbers I so

Ajay Shah

get been customer is depends a declines variations, was factor our looking it or more growth I price still we’re quarter-over-quarter rate nice a price stocking business our right, But mean, explain not model. on Yes, to some remarks, type Jack far. the built-in have when trying the I of as declines might really at less. pretty And as some in prepared furthermore, level a to business so of said, double-digit with in

Jack Pacheco

by I about months last mean, – that DDRX the we’ve over business. we’ve XX% down grown gone seen X has and

is – really saying So been very – on it’s we aren’t memory nice it’s environment. we’ve so in pricing, not as that dependent this not business

Suji Desilva

results Yes, so there. impressive guys. Thanks

Operator

Thank you.

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

is now open. Your line

Raji Gill

thanks content struggling being the kind where have expected visibility. of and be rules, the there visibility taking of understand why? commentary understanding to follow-ups the for the rules still to of around commentary that of in where Yes, lack also lack happened XX% rules. X in content ends it the my up situations with just of drop questions. and the struggling content been local A past kind I’m Has those few you on to terms I’m why

Jack Pacheco

the lack have they local mean, visibility been Remember based our I are local and mean, view are has the you’ve what were down mean, content tied people were with in get. we necessarily but our this has not occurrence a it’s trying working industry in they them account, and they in finally mean, it. long SMART, this do, took agency has competitors taken customers they local, on certainly, were XX%, meet shortage changed or and I way together that time these in But to publish takes in this And works that past, of of it Yes, the a the at time to it and numbers, a environment Sure. think users set are, and it, the they so on association people determine the they get is into really they kind published so Brazil data, can a these it. struggling I rule demand. long the to got rare where and when content process i that XX%, I is together. it

market by more the we published availability what they is is. a but a little course, where available, in it, time it were is Of it

you that only that you buy can a memory think purchase is your is, have if and to. I on want bit little out into visibility future to now you’re demand want of within will Brazil falling country, in how quarters little So playing bit push you within memory – what from to can so a you bit delay if XX% of you and little the environment a

holidays So so Brazil, content just it just customers the the week been and as visibility so want the it rules not just gives on just course, given market based good of – a now, everything. change they had it’s local right – what and in us the us

from last few weeks. little muted let’s So Brazil, more a in it’s been just the say,

Ajay Shah

a date right? XX getting Just difficult from they XX to the was and to specifics customers on for published plan information country a days literally time So the what Raji, later to we X X do. very few have the specific holiday, is December there, our went exactly

right they’re back now. to work fact, In barely coming

to So with issue respect that’s visibility. one

buy is, memory buy want they they the are to price which be customers to to a of The lower times buy might want other because falling, if expect tend be to when prices to with price at shoulder the lowered this bit a is, and later. lead is – state what you little obvious, and

of not a anyway. us can. early devices unusual and we and because for part to behavior unusual. was that’s true customer XXXX typical in memory for later It’s buyer simply a as that’s of XXXX, not buy So customers That

Raji Gill

and So going the year, to start you’re your continue going XX% pricing in terms not happen. phone going to if now, don’t you and – those remotely positive in to ‘XX any factors fair of we XX% it’s that, unit no – the and as in we is so maybe no have the So the over factors, growth is correct? couple softness calendar – you’re of Brazil maybe I had to next a in the reduction it’s be then you’re commentary mean, to think to there Because talking getting last factors in that previous going guess have don’t into well, you that maybe calendar is negative ASP idea I per of way. assume those seeing years, about ‘XX, XX% had what I they’re the visibility to if by all

Ajay Shah

to Sorry interrupt, please finish.

Raji Gill

other it No, steps in saying don’t that rules... I just as seem – there up automatically factors to doesn’t – it terms I originally of me was local we anticipated think are content just I don’t know that your

Ajay Shah

Yes, there QX the in things bit fiscal were versus of year-end, our XXXX. we our the us because been load and calendar then little would calendar a August other factors, know as forecasting and believe into is back-end to year QX calendar our being take customers somewhat year you however conundrum, creates was are published. calendar if it was published hasn’t fiscal year ‘XX We it that year year, don’t fiscal of these Calendar yet, know ‘XX, year modified. do a and

a a mechanical, to in terms that, know it’s bit even which at is of – the into. from but how little a it of going a I’m little bit look challenge I So come period maybe you standpoint, is a fact brings logistical forecasting in boring,

Raji Gill

Sure.

Okay. they’re And XXX margins, basis XXX the on a – basis. on gross basis year-over-year points that. I And over appreciate down about

back off quarters, if May to in – Brazil May to in is going so come the about be margins is market in or the Penguin am we May February, and to several for an ramp to August, August do should going this because be in Mobile have about drop I’m still think underwhelming shouldn’t thinking soft and down, further margins down impact actually the correct, if August, adverse start coming we’ll how significantly up. gross then or but pretty is so And but should going forward, they up you that to correctly significantly next as come Penguin yet and continue I

Jack Pacheco

talked we’re working improve Yes, closer of Penguin get Raji, to the we’ve about – with to margins them SMART.

forward. going think I be the as get we’ll get goes big won’t would so view negative the margins as will have so into and those we QX, improved impact QX direction, hopefully So be we and to a our overall to work our – in business right them and the there margin

of be that that the So to the in I think margin kind hit they’ve of covering will if XX% getting Brazil, in quarter will we seeing are XX%, think range over quarters, gross Brazil been. comes start that the I back, probably this we bit we XX% about grow hopefully as you’re and and next it versus, XX%, into is some those I mean, then margins few up get forecast, where next hopefully, better we’ll – we’ll range margins [ph] go to that costs start the little contribute too a fixed Penguin and XX% quarter

Raji Gill

I Okay, it. you. Thank got appreciate it.

Operator

follow-up Cassidy. have a And from [Operator Kevin question Thank do you. we Instructions]

line Your is now open.

Kevin Cassidy

my taking follow-up. for Thanks

in, are described memory holding manufacturers less Some seeing says you come as memory times pointed your lead data any weaker, inventory. they may to as effect of just and they, be specialty have center you customers of as Are group? device the that in

Jack Pacheco

the the data but great center guys center data had a in guys, directly don’t customers we who to one, our mean, the array I space all-flash sell space sold quarter. networking and

we don’t see impact. wouldn’t seeing big So the we guys those –

Kevin Cassidy

Okay.

Ajay Shah

to we that seem from Maybe forecast suggest they’re visibility the have them get from okay. the them, we

Jack Pacheco

Yes.

Ajay Shah

just said, But much as chain. a I centers at from I as we hyperscale the to or repeat, to our do look they data go tend big we wanted – actually sell customers, different center. don’t I in Cisco directly – Rockwell, Jack data mean, or hyperscale to supply what right. we, any at but be NetApp even know, if not centers data guys The into [ph] And

Jack Pacheco

can Yes, guys are those hold buy minute. anybody – reason and and the to going for I’m no out push last you inventory. the there’s memory last Kevin, if sure minute, buy they’re

Kevin Cassidy

or I delivery have more Specialty you would wouldn’t… to in just to guess commodity inventory it compared would a those Right. get either product that time and And products considered be hold just

Jack Pacheco

Hynix, that just Those Micron, we DDRX from Samsung, buy are market. play they that modules standard don’t in

Ajay Shah

management, a really chain don’t logistics – we’re really provider. Except take in we where supply simply

Kevin Cassidy

Okay. other contracts partial question specialty down compute is from And one that slowing group? government U.S. about shutdown the any

Ajay Shah

Not yet.

So somewhere we’re so orders day Defense and this our are customers far somehow XX that. extends today If issues not any Department either or and the it I we like or labs. into, seeing continues I anything read mean, collections are with and of main in the

Jack Pacheco

DOE.

Ajay Shah

Department labs. of Energy DOE, related

So if an that, then so it impact, have it but would extends into no. far,

Kevin Cassidy

Thank great. Okay, you.

Operator

any Thank the to I you. for Ajay Ladies like concludes remarks. back turn to would Shah and closing question-and-answer today’s gentlemen, this call session.

Ajay Shah

Suzanne up to much will call very your the I company. the and related to today. you wrap for interest Thank questions now ask

Suzanne Schmidt

after. the CES week everyone participating. you at Thank Needham Okay, thank We’ll Thank the you. be you. tomorrow for at and Conference

Operator

program. gentlemen, participating today’s in thank concludes conference. This you and Ladies today’s for

all may great a You day. disconnect. Have

Penguin Solutions (PENG) 8 Jan 192019 Q1 Earnings call transcript