SWKS - Earnings call 1 2024 | Skyworks Solutions, Inc.

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Operator

Good afternoon, and welcome to Skyworks Solutions' First Quarter Fiscal Year 2024 Earnings Call. This call is being recorded. At this time, I will turn the call over to Rajvindra Gill, Vice President of Investor Relations for Skyworks. Mr. Gill, please go ahead.

Rajvindra Gill

operator. you, Thank and Conference everyone, Skyworks' Fiscal First Good welcome XXXX Call. Quarter afternoon, to today our Officer With Officer Liam is me Griffin, and Sennesael, and Chairman, Kris Chief Skyworks. Financial for President; Executive Chief accessed skyworksinc.com. being is of the can Relations live This from website call Investor at broadcast the company's web over and be the section

website their conclusion during In addition, will remarks after prepared be made call. promptly the company's available on our the

to release to forward-looking on our will future annual certain statements would I made to everyone press and outcomes report include information like could are filings, statements that materially discussion may statements. for relating and Before actual today. cause considered we XX-K begin, recent or results and that remind risks that to SEC our expectations forward-looking any on from including our differ Form adversely be Please earnings refer

guidance Additionally, section I'll a consistent practice. to that, our turn past measures the discuss within GAAP. Liam. over complete results the Investor financial to release and include website to non-GAAP With for with our press company the refer we Please reconciliation will call our of Relations

Liam K. Griffin

macroeconomic capital reflects working of at quarter a generated or per $XXX Skyworks Raji, strong the We fiscal and Thanks, million execute and a XX% margin, of Free intensity. $X.XX cash $XXX of million record which of cash environment. operating was also share $X.XXX revenue volatile moderating flow. well flow cash free CapEx flow XXXX management everyone. to delivered billion. first We despite earnings during and continued welcome, posted

for are years distribution are end Customers Excess across us are phones to industry our in abating and trends to into dynamics positioning signs Albeit design is conditions wins level inventory and challenging the strategic product are stabilizing. normalizing. compete we've focusing the made channel near- investments Android two levels and supply on leading that Let's inventory. new and gradually and see review at Moreover, starting improve OEM integrated mobile development both share restock gains the secular After the market. in and OEMs. long-term ecosystems, supply platforms introduced as demand for the in we markets. highly

positioning data We right return to of a and Within XXXX. And networks continue channels. module traditional we IoT growth direction. see broad consumer product headwind design digest poised road our new our And are the on competitive as markets map. when inclusion will major retail, with are bandwidth technology bullish XXX-gig In to optical moving cross are many and but recover. the normalized content. in Wi-Fi addition throughout we pleased the We excess markets, factors we high believe are that substantially Despite X the executing wins several and across higher expect of signals see Because in new upgrades. to X. technology, cycles, bottom Ethernet for inventory. we improving. OEMs we on in XXX-gig remain this, and and are we XE design inventory have and the the including wireless dollar significant win to as carrier cycle and upgrade infrastructure past gigahertz enterprise levels are band the carry filtering systems momentum Furthermore, and channel demand These BAW remain of the cars, center

are Lastly, inventory correction. automotive markets near-term and a industrial experiencing

vehicle. higher growth opportunities growing see products. adoption power in of for with for our However, EV penetration, automotive by in Along our isolation driving the we connectivity business, demand rates driven

are connected markets the the secular ultra-reliable business. dynamics cloud together, systems connectivity safety speed, trends latency upgrades. engines underlying need electrification require and we automotive that proliferation and in our AI-enabled center driving several the There devices, bottom intricate edge of anticipate these broad December for workloads, Taken leverage the data including Each performance. quarter differentiated IoT long-term growth advanced represents and technology, of intelligent

In cellular broad a and private telematics markets, in into more smartphone stadiums, and including factories beyond name cases in addition, multiband T-Mobile the wearables few. XG supporting networks Verizon to use is automotive and customer and technology expanding premise equipment

RF bullish remain penetration. increasing growing new stored in content and also of XG on content We the smartphones, with with long-term levels see coupled each generation. complexity We

For to example, higher on aggregation satellite addition the GPS WiFi higher XG and XxX carrier and is RF uplink advanced driving content, other upgrades more MIMO downlink and bands, bandwidth, of including innovations. the

to of smartphone, prospect cycle. a the sparking about major energized are generative migrating upgrade potential the we Lastly, AI

increase, integration RF bar performance spectral of the the power year the more continue efficiency. need smaller every to driving for rises and consumption, support will lower to complexity requirements As AI-enabled phones, footprint

is faster transmission on-device latency advantage ranges. takes frequency ideal lower for applications standard AI speeds it of the XG higher and as

In addition, our driving for are demand AI-enabled for data-intensive precision for products. infrastructure connectivity cloud upgrades. demand timing Accelerating and workloads high-speed high the

operator access business telematics, secured WiFi design We infrastructure with and small major design router. TP XG for timing enterprise chargers our wins the across Turning private onboard We quarterly including win infotainment in networks. to tri-band increased cells and products India expanded OEMs. Cisco's pipeline systems with gaming in highlights. several a Links LiNX momentum leading and router design Tri-Band for transport the devices optical mesh We points, automotive in including

sensors solutions and smart IoT, we Google's energy residential Nest delivered Itron's gas meters. emerging in temperature Lastly, with next-generation

results financial delivered challenging Skyworks summary, despite environment. solid a macro In

that, cash XXXX. customer flow balance turn the to diverse strong over and performance for and last Kris discussion With a scale. record call base profitability sheet, quarter's for reflect of outlook our resilient I model, and will our of fiscal technology Our business QX

Kris Sennesael

supported by $XXX automotive expenses product and approximately margin were income expenses of and given was driven million, target infrastructure, resulting from at first invest and margin markets inventory points $XXX wireless basis end an the profit total the markets of Android-related our of the Broad revenue, XX% translating revenue, XX sequentially, of Also, XX% inventory of evolved modestly approximately XX.X% XXXX million shift driven maps. Thanks, was in managing Chinese we midpoint ongoing in Gross Liam. continuing specific on our into of Skyworks $XXX ramp increase We XX% corrections $XXX the solutions expectations. of our revenue. slightly gross our industrial. of below grew X% by with during million, by an down internal below discretionary sequentially OEMs the an the well Mobile to of high-performance down our as outlook. for $X Google, billion. sequentially, operating mix largest line revenue margin our $XXX of was billion guidance Gross Samsung low reduced in fiscal focus customer. quarter technology new lower $X.XXX was with broad were total revenue to sequentially. mostly some million unfavorable we range, QX, XX.X%. generated with operating Operating million road while at

rate net We that of incurred per income and million of XX.X%, the earnings call. which tax we the $X $X.XX, share driving last provided million effective $XXX diluted is other our was expense guidance during and of earnings above $X.XX

Skywords strong cash to generate very business model continues flow.

cash X% of quarter of margin. fiscal an were cash First $XX record to in cash to million. less record increased flow or operations million reduced an all-time free or free revenue, flow than resulting of $XXX flow $XXX million XX% expenditures Capital from all-time

us lowering working and paid fiscal numbers. $XXX We great providing remaining cash flow loan. position in and of optimal $X with and structure, QX, quarter in in Also, with dividends combined and an repaid intensity capital a with ended CapEx net we and drove cash over $XXX record capital management million the profitability million cash during term debt, Strong the the billion flexibility optionality. the the our and investments $X creating business billion on positive superior

let's $X.X and to XXXX. We fiscal billion. our Now of move QX outlook on revenue $X.X anticipate between billion for

normalizing be Gross both as XX% external, while mobile in margin be projected is our in to of business of with higher markets, seasonally during expect and management year. XX%, rates. the the December broad consistent benefiting utilization with anticipate levels patterns, the modest certain reflecting operational expansion our cost end markets. structure, weakest the manufacturing inventory range XXXX, internal to period to remainder our bottom growth down anticipate margin in seasonally along We We of from and disciplined we of historical our factory of are

will benefit as our and shift favorable from broad mix accelerates. markets a business recovers We also

million million diluted let's count and $X.XXX other for we share broad mobile of expenses effective operating range XXX of approximately million $XXX midpoint and the open Accordingly, intend of range earnings tax questions. $X.XX. per line of the an share at share the diluted shares. to markets make of in deliver anticipate expect revenue We billion the in $XXX as line, and increased we XX.X% Operator, of the to a to gains $X Below we in million and expense investments drive continue strategic to diversification. roughly rate

Operator

coming Instructions] and Ladies the Matt with from line Cowen. question gentlemen, of and Ramsey [Operator first our TD

Matthew Ramsay

that's ask the be I but was been for bit a about so you Liam, broad correction was a it's trends business had lasted diverse I a bit pleasantly, an to longer. markets implies, as up bit commentary name that visibility I it's little obviously at guess, the I inventory business. a the surprised that wanted to and in quickly, March,

some your worse. maybe bit industrial in seen of a and we've And get and peers little companies, other

end a on So you I some maybe of could did bit you're if I markets. of the in And could March in bottom? of but you the some broad expand -- know pace individual you the maybe year script, mean, if this expand off coming prepared the seeing maybe the trends could rest and recovery the market like through potential from starting what look little

Liam K. Griffin

Sure. Sure. Absolutely.

here business yet interesting haven't opportunities so markets we things our One that the many of that there's with broad scaled. is

and look the opportunities. are some that work of to at there's play open-ended the great other with. markets as more at technologies the we unlike well know for defined the leveraging us. mobile We're broad how markets So if of that an look still business We we

This yes, set and great mean, a to and I think we grow some really across continues year a tough But team customers across expand. been the do here that results landscape done job. have to has semis. today, the positive We a good there's a turn. of deliver happy has We're and

share. that portfolio, some There's is those within have market tremendous accounts. great of diverse. lion's names mobile low well. is most a broad products. of really with still it's amount the really we diversified it, grow companies, room to very a And of in share Again, part And those as but

up been on this those quite leveraging while. themes. So I of are business. some working putting line, broad the a markets And think We've top finally some meaningful for that

The customers the remind and investors, we we lot of to do the in-house. our even stuff other continue thing, a

and So to specialty curate products. we're craft able

bit that helps fabs. think do own I and outcome. our have We our We differently, a things little

Matthew Ramsay

in a the as year to guess, market be way sort as I these it. in thematic Got smartphone year maybe of we AI this about this PC next and and going bit into making the potentially cycle. is to, my catalyzing upgrade talk then products its an a alluded of that and market, into you follow-up,

So for from in be next the growth XG the I upgrades could for mean, are unit my for therefore, us from waiting can potential before is, the the smartphone that change Or do AI the TAM get there inflect and for you expand to phones your of to driver content that smartphones Or comes TAM meaningfully XG that envision if air AI-enabled your the are I sort we to a business. interface next, pretty Are possibly guess can interface pretty question could content? again? straightforward you RF what primarily company? meaningfully anticipating and market the air it's for for to guys you things

Liam K. Griffin

us but a kind intense extremely lot and getting is to opportunity. industry. middle it's that This at you think period The then at and in have hand. The look important. in the range challenge. think It's that going it's a believe their to yet, there to still challenge, And be a but new And not consumer consumer a be compute to whole secular it, kind for a you're and really that we happen. down it you it's that. to in opportunities of data a power Then will carrying set I really that take will wants a going really servers is up look different it way radio Yes, ground The center, the going AI come. the wants and of I for we is to of it mobile But that's position. frequency. of unique industry

really So excited about it.

going heavy But building same have up we believe solution. to to that be latency. good That compute step up. really to again, well. the are and power do we grow, get more know-how got by and can wants because with the it's something to be we in the your need to blocks those account account -- got to And Not all interesting has everybody faster, it's It's going lower And has hand. matched do device do really that that's handheld solve. things as to it got problems

Operator

the And from Research. our next Wolfe line coming Caso of question Chris

Christopher Caso

First behind about several of the I go normal optimism us. part market point, Android that you the Can is to growth of business? finally the through It after What's that rates for this are quarters question back now. expectations in of has speak is sounds getting right you your your inventory to of year? at level inventory suppose correction more the what for that like you market grown correction. as

Liam K. Griffin

ecosystem a shoots make these know we right. Yes, products. It's and here, the popping Chris. to Yes, here but Android. up. through little We bit green bumpy see how you're been

think The are in bit a bit up of little with that there can broaden technology. and the phones a more little like spot base. newer that. we was a soft I there coming industry. We

are strength the and now that, we ecosystem 'XX. growth right products getting can should on go you and in continuing more the -- These and going in pipeline Android going we us in through in remarks, are to as give forward. we the 'XX that So to we execute commented prepared -- expect

Christopher Caso

Okay.

was mentioned that target. you gross Should higher? we on utilization And it you're proceed the like As read below your margins the a going year. thing follow-up year. One internal through on sounds on inventory be that what mean speak you expectations we we to through to margins, go as effect the starts if gross is will as

Kris Sennesael

Chris. Yes,

quarter, of bit when -- impacted we a really still I'm little there as at headwind from right, mix of underutilization, look gross well, a by QX. a So that view point you did We're in continues margins, some XX.X% somewhat look the I beyond in the and see March calendar fiscal quarter then uplift when we margin of remainder gross the nice the really that year. March guided. in But will we the

that they have are We in is about there, behind we That longer inventory. million inventory reduction little inventory we because feel utilization is to almost There the on levels of Part a December is the maybe no reduced of higher us. good the now. but focus bit by still will a quarter. opportunity $XXX of where right

faster to addition business than mobile broad going In markets is our the to business. grow that,

And as that mix a little gives so us of bit tailwind well.

we from over And improvements months. And then done in the addition in internal from to that, we've structural we structure. will on that on cost time cost, last XX seeing operational cost reductions. driving of the and focused We focused We really all external out efficiencies, start yield addition parts the benefit really to benefit also cost. some reductions taking test

gradual put some margin you when nice quarter. so gross see we after And it will improvement the March together, all

Operator

Susquehanna. Christopher from question with Rolland our of And coming line next the

Christopher Rolland

of kind like, how can those of you you to you in know I break to of first you we they're markets benefits the trending. And as to through gross then I year. know to if effect we alluded gross you year. as the also, move broad margin move can don't broad love guess, would -- out great how some color kind had all, into the as I the talk those what if look through subsegments. on margin markets,

Kris Sennesael

Yes.

inventory broad more but routers it the correction So consumer multiple an all into we XX% of been there. roughly tap IoT, there your market, In quarters, connectivity in the -- the relates getting tablets, in IoT, access end we and connectivity PCs, are as home points correction inventory the and XX%, to towards inventing where markets, that that. solutions right, for wearables provide is that has with

substantially to content that, market to content from of In X addition transition strong we a part WiFi we that in XE of inside. higher the into X has uplift due that RF see type WiFi Skyworks growth as in solutions of and an

in is that quarter business and December There Nevertheless, continue enterprise here. the correction the has an next as a couple going center, networking. that well. part in data for The is of quarters inventory definitely XX%, XX% of that started will cloud, on infrastructure,

with and including market, part positioned. And But It's customers, XX% I March, There correction. the you've peers, long heard that well think I as well, correction key is going will be XX%, drag-out an of it then for December, positioned our probably we're is some a don't quarters industrial. data timing two think it we're from there many think in of an inventory correction. our centers. inventory last very inventory is on solutions well automotive I

are we resolution that power an the very autonomous car EV, where market as that car our positioned And with become then as well eventually play well again, in connected solutions. we

for so And broad as you March markets will sequential together, yes, again, to all markets. We typically higher compared help broad the margin. you know, put bottom start And a markets. that us the in some gross it December is when margin have seeing our those lift and beyond. to growth and gross

Christopher Rolland

You AI driving out called you guys AI-enabled about talked cloud workloads smartphones, data center and upgrades. also but already

You you're timing around acquisition? you. leveraging related also other that this gig for from ways an Is talked infrastructure well? all AI about Or opportunity XXX are to being your as your there business and that

Liam K. Griffin

of the the in deal, us data vectors lot a really grow Labs there's of Yes, business through and as there technology a that's brought and forth room we and markets, growth it's our well. and that center largely industrial us, for vibrant infrastructure source new the driving that have to the some in Silicon markets for we

area. that in some been . to lots more progress So do, we've but making great

Operator

the Equity Edward question Research. with is next Charter Our of line Snyder coming from

Edward Snyder

I nothing in at a seen mobile, don't given done could, we've repeat your but on what especially that hold new their way attention this the have to kind scrambled year, the competition it, to of touch later most to get best put this -- clear before, largest seems by but XXXX in know of pretty that to and point, kind like and a scrip. one we're customer I'd of much it -- that on not going all not on if we -- basically, new on, thing hold, the

on talk expect basically, going more in to now. fall, would or competition a about I lot you're already you to know Sure see So it going Qualcomm the Wednesday.

So I'm half normally business for year. got of sounds second we to be of of the share the weaker trying get it the than a It out to profile mobile in your feel like since might come somebody. Qualcomm

If you going be we should follow-up, about could how the that? then the And little growth? mobile be by maybe The to that just half too characterize is of talking Or share bit weaker. detail we terms to is getting into you're loss? look markets much some what have much about just there already being I at please. or implication about in mix stronger. think in a is without And second going organic mostly broad Or do a

Liam K. Griffin

across the put in this company. growing vectors of our know, that's and We're mobile RF, we're to to we angles, customers, know-how certainly engaged of broad that right? deeply that the craft. largest Yes. course, And the forth all multiple Well, set ability have of largest. with are the the So that to markets, That's we applicable as we do our in part including you portfolio. drive in-house, things a but technologies have other

over Android every our a more to to consumption, continue we're hinted still the new current of the that that all we're there doing share and we market and kind the expanding little We're on reach, we've execute over markets So can. performance around that. going solutions angle, it to and customers, innovations. continuing best in drive Delighting bit work at

Edward Snyder

angle Okay. Maybe different I could follow up here. with a

years. You're going Android, of kind there you've in to grow for several been under-earning

a market. address in I that Competition in yet to that try early, on growth year, think lot but or more in R&D we second that in very well take intense product of is are revenue second the on half product should outside is up wins up typically But products purpose order an expect lower the because a because to a little new some It's revenue you've Android one, whole market. slack. to of market. half? it's done to different growth whether margins going it's inventory see the the snapback of

and how if And maybe the margin, then, articulate the against you -- all course, please. to half, in you're dilution broad markets second Android could the you could, how then, say, Kris, dilution the over, customer of going offset natural that mobile margin of U.S.

Liam K. Griffin

Yes.

on So yes, we're you with that.

of opportunity for lot not a us aggressive ecosystem. more there's It's to the So China. across be just Android

an to We're are process names stuff. like this our helps they Google our end-to-end kind can drive. And we gross It It You that refine and margin tremendous opportunities improve our get that turn. every we Samsung, for and at customers. built of we have continue helps utilization.

know-how We really have incredible our is ability factories, here we that as account. to with . homegrown that's and solution portfolio. think asset in for drive to as the and continue I that an that to technology flexible I us, Irvine we'll the have really, of be each I And customizable stuff think know, far and choice

Kris Sennesael

is selective. part now margin gross on or of we same. And our mobile about the somewhat Yes, as margin, of to customers are it gross is the because profile relates that

mid part. of down a price high end sliding at the or low the on We are that stay compete performance. We part market, the It's of And end. the not not in in We stay high-performance based you market. the competition. at

on based the -- why compete performance. again, that's customers in the are same all with segment. in that gross And margins You somewhat

Operator

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

Gary Mobley

What housekeeping quick largest a customer of was mix to revenue question. your quarter? want the I in from the with start

Kris Sennesael

you because in about is the you the below that well when March, bottoming be to with or of even the forward in look customer. out given XX%. which December, or And was customer approximately full XX% year December will high, the on largest The it top basis is XX%. quarter broad was largest on total get the Obviously, quarter revenue obviously, markets

Gary Mobley

question more want year indicate 'XX, was that mobile I past, fiscal the about case that I perhaps ask the a believe least million to way. math, December is quarter. are at doing Ed's trending the customers previous the rate closer $XXX level your or But a for direct Android-related $XXX that and annualized to would now in at it million.

And rebound we to question your see Android that to win is, on And we so today, segment back a my in if based have can expect you that design currently market. the footprint level? business previous bounce of the your

Liam K. Griffin

go it Yes, said, We've I to and make as to got, and work. absolutely a direct more lot the absolutely. Android opportunity have of ecosystem. technology harder stronger on We

know We the manufacturing scale done. it to and have scale how get

yes, we'll think mean, a I advantage. I it's take for play So there, us certainly and

Operator

coming the Paribas. Karl Ackerman with question from next Our line BNP

Karl Ackerman

about Android, in I On does on grow may. execution in time, is Android within mobile, we follow-up. How your your a within please? given Two improving sequentially at March. largest have questions, mobile, same I the if down March? think customer a that basis But And seasonal do

Kris Sennesael

Yes. Android into flattish, up March. kind is slightly of

Karl Ackerman

same touch do but more asked I try in to At mobile. want guess it. I'll It's it ways, I time. several Got the One been different time, again. on

But because Kris, are the at suppliers as China. changes not less landscape competing to competitive necessarily content particular on indicated are and winning But to TC-SAW. earlier, anecdotes that seeing RF ask you're supporting I You same China you in MPRS. in you are low band time, tied in the market. China the saw there any

just highlight helpful. So the committed you're if would that in seeing and you landscape what very be can China,

Liam K. Griffin

could in the side, step much there. I we the our mid end. players, Yes. don't not our and a high at and reasonable but end further do shareholders there. the little we outcome some customers OVX on but really more We're We do mean we think that I to could Android probably be, drive down We a low bit better business all. generate for

company So more playbook I we a today. have can we think, we're the something way as runs, our think I do. the business going down accretive it's that But

Operator

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

Blake Friedman

This prior has focus it Vivek. to seen Blake the is to spending downturn. on I just seems industry to for wanted OpEx, on levels Friedman returned

So the we trajectory I was about should for year. curious OpEx the remainder of think the of how

Kris Sennesael

Yes.

OpEx, it the I March we mind start So we in with of a are Keep calendar to in as $XXX $XXX relates the in December that step-up million. quarter think this to a guiding a job did year. at is million new good little

And so you get charges that that, the a some reset in. of kicks social and of

mobile to addition product In are to position our in feel technology We our going and that, good maps. with road to about we continue invest our players.

have we markets. invest. in articulated, Liam As opportunity to plenty going to of continue our broad And we're

to on here. the it Skyworks dollars Now we're effectiveness. going not do any We're We focus wasting way. efficiency,

And continue but we're going so -- yes, to to invest.

of the And continue so year. calendar OpEx remainder fiscal and the will to gradually in move up

Blake Friedman

back of positive the strong know initiative this markets business circling level Got I your to Skyworks. And for then of returning is kind a some And comments. business here. quickly from and of the pretty on kind cash key with it. flow broad cash generating just

guys look markets would to assets? broad think how you particular anything curious you add the to and Just in M&A about

Kris Sennesael

flow and of on. that focus something the first outstanding, we cash Yes. is all, definitely it's

so generate ton of And we cash. a

last As you have of used seen in couple flow. quarters, the we that have cash

with off know, we we had paying was And done a the in But expensive Of dividends term to probably a you getting pay quarter. there. that, interest we loan are business. and We rate little have course, every been our variable that. the as continue invest

XX%. a But can of have cash. have work on the on from we fiscal but cash and to And yes, very that course, want company the put free focus every to becoming sustainable going focus company now, And buybacks view. again, quarter more business, more We margin part know, have to We business we the that feel forward, XX% mobile or flow accelerate that's switch plus generating investments -- lot that. calendar a active basis. in on on cash a of to organic the a we continue of through we through diverse but not so or -- we you be It's optionality. as we M&A, despite we looking we year strong working to will can we And we we drive have point a be flow. an M&A that becoming free like optionality cash diverse a in we're fact

Operator

coming question from Thomas our And next line O'Malley Barclays. with the

Thomas O'Malley

market I but charges slightly. into being to Obviously, underutilization you're down margin March the just broad wanted step-up. gross quarter. the seeing guided understand

of So those that more side? . basis more seeing mix broad on on as or those the coming Are should underutilization charges? help mobile are market a you. more you percentage the Where side

Kris Sennesael

So not the But businesses. no, taking down to down the the the also revenue really been year-over-year, on not gross because focusing protect just in one have margin. tied we we medicine. our our the been of is We're part bring but inventory, down have are of driving inventory building to factories because utilization right? it's We

gross the why Now bit to inventory goes see charges That's P&L. start on in cycle, and it little confidence a we seeing of terms again, the into quarter. that gradual margin, gross hit continue an It takes underutilization right? after for margins basis a March slightly you sequential you But the the of have improvements to March down bottom time through will March quarter. those is

Timothy Arcuri

largest pieces the on I markets. fiscal are -- Helpful. is the better moving reacceleration seasonality side a getting looking get guys But And year. typical terms for of of for customer you on feel just to at in broad like Android half back It of then your of want what in sounds just the mobile. kind the on the

guidance, your If you look at slightly. for up March

you there the You're year, I that kind kind color around. just on pace growing us things I Or kind our year-over-year? just is of you you of but still just know year-over-year. of to something can are more recovery fiscal your give difficult because improving, quickly looking is a that wrap little of think any are to heads be Do exiting down XX% how think

Liam K. Griffin

I lot I there, point. Yes, your sure. a There's think but get

revenue So in we acceleration going in the to broad more there's be believe markets. definitely

we nurture have sales for because continuing markets Cisco of own mobile. customers about talked one very, high, grow their products now go the we company. us like. that very right a great after. Ford, very in in broad we're have to we before of and still the that's But companies what We roster into and It's number Nest, Google quite and to that. opportunity on also do that bit great and a a opportunity Each portfolio, yet served is we're it a a that's And revenue the side haven't of set vector. accounts to that have we And incredible diverse Daimler, serving for has of

Operator

you. Thank of in Needham. our from last line question coming queue the Gwen And with [indiscernible]

Unknown Analyst

Kris of you Its the may couple for I've into that half a got second customer? in the been guys second on you're specifically I losing you be as margins. how a that. look customer Can content largest then be address call seem us you content-wise perhaps give of heard follow-on the And alluding guys the And that any your to half, year. on thoughts the to feeling gross you questions at at largest haven't

Liam K. Griffin

Yes.

with great great on success. exactly customer. and they concerning are, our is continue have to mean will really drive largest who know we have we think Nothing we a and who that partnerships point. are and we position I I

Unknown Analyst

pretty charges in And you've a bigger get do get certain the revenue you for cost underutilization things you calendar much as well product post back factor us kind rid like back are does give of the mix, the any margin get Okay. or of as I'm reductions taken those to to recovery level about the require to Is a Is some quickly you've getting that And year can talked certain way revenue think -- of of to that just bottom. sense March then XX%? how quick XX%, there so a can a to 'XX. to it be tends Kris, can little XX%. maybe you something you the curious. about driven gross by kind drivers. you best Just back level? Potentially bit getting what's less to think to it to

Kris Sennesael

quarter one the have it, is only right? and the at we into guide we time, of there's March equation. reason confidence guide But and lot mean, that takes again, that bottom. I a There's Yes. a go puts for a

once fast we XX%, seeing to will gradual as to get there. get We we're And to then back to not from the can the start We want we as stop obviously improvement back going right? there. XX%,

XX% model to keep long-term we all reasonable and we And in need conviction Keep factory yes, we There better get been we'll revenue that. quarter-by-quarter can do going have a a that. towards and XX%, we combination to us the and believe work our basis. impairments but then update structural that growth an the the gross XX% continue for internally But efficiencies we're the will normal that of need to that target cost we back utilization on, externally of calls in in we on and will to Our get margin, provide driving with it target is no business that on obviously, will working right. amount time. prevent

Operator

question-and-answer Ladies turn closing comments. the Griffin for and gentlemen, today's now to session. that I'll concludes call Mr. over back any

Liam K. Griffin

Look you upcoming forward you joining. Thanks. for to Thank all seeing at conferences.

Operator

and for call. today's thank concludes We this gentlemen, participation. you Ladies your conference

disconnect. You may now

Skyworks Solutions (SWKS) 30 Jan 242024 Q1 Earnings call transcript