The investor conference is about to begin. Good morning and good evening, ladies and gentlemen, no matter where you are. Welcome to WIN Semi's result webcast conference for the third quarter of 2023. My name is Joe Tseng, the spokesman and Associate Vice President of Finance in WIN Semi. Joining me today, on today's call, is Steve Chen, the General Manager of Corporate Administration. Today's call is organized into three sections. First of all, Steve will comment on the company's results and provide brief guidance for the fourth quarter of 2023. Secondly, I will go through the financials in details. After that, we will open to the floor for Q&A. Please freely submit your question in the input box on the webcast window throughout the conference. Before we begin, I would like to draw your attention to the safe harbor notice on page one of the presentation slides. Please note that this presentation contains forward-looking statements. These statements are based on our current expectations. Actual results may differ materially from our expectations, and the company undertakes no obligation to update these forward-looking statements going forward. Now, let me hand over the call to Mr. Steve Chen, the General Manager of WIN Semi. Thank you, Joe, and welcome, everyone. For the third quarter of 2023, our consolidated revenue reached TWD 4.2 billion, an increase of 6% quarter-on-quarter, and an increase of 7% year-on-year, slightly exceeding our previous expectation. Driven by the increasing capacity utilization to 50% from 40% in the previous quarter, coupled with a slightly better-than-expected product mix, our gross margin increased to 22.1% from 20.1% in the second quarter. Operating margin also recovered to 1.7% from negative 4.3% in the second quarter. The net profit attribute to the parent company was TWD 34 million, turning from a loss to a profit, with an EPS of TWD 0.08. Looking at the revenue change of each product segment in the third quarter, optical performed better than expected, while the rest segment were generally in line with expectation. The third quarter is typically the season of the launch of high-end smartphones. For Wi-Fi PA, as preparation of inventories has peaked in the second quarter, Wi-Fi PA revenue declined quarter-on-quarter in the third quarter. However, for cellular PA, the pull-in from customers has kicked off as expected. Meanwhile, as the inventories of Chinese smartphones has gradually returned to healthy levels, and the launch of the multiple new smartphones in the second half of the year has driven the demand. We have witnessed increasing momentum from Chinese customers compared to the second quarter. As a result, our cellular PA revenue delivered significant growth compared to the previous quarter. According to the forecast by the market research firm IDC, it expected global smartphone shipments in 2023 will decline by 4.7% year-on-year, following an 11% decline in 2022. However, it projects a growth of 4.5% in 2024. This forecast seems to be consistent with the recovery that we have seen in our cellular PA in second half of this year. While we are still in some distance away from the previous peak in the quarterly revenue, we can already feel the gradual recovery in customer demand. We faced intensified competition from the peers and the weak demand in the past. However, as we remain committed to offering customers the best technology and the resources of R&D and production capacity, customers are choosing to stay with us as the storm clears. Additionally, leveraging our accumulated R&D and the volume production capability in 3D sensing over the past years, our optical communication technology has expanded its research into a more diverse range of the applications. This, including addressing the demand from data centers driven by the AI, high-speed computing and automotive LiDAR market, ensuring that we are well prepared for the sustainable long-term growth in the future. Looking ahead for the fourth quarter of 2023, our revenue is expected to grow by low teens than the previous quarter, and the gross margin will be around the level of mid-twenties. I will turn the call back to Joe. Thank you. Okay. It's our pleasure to present our financial results for the third quarter of 2023. You can refer to the presentation slides, we're starting from page four. Before that, please remember to read over the safe harbor notice in page two. In page four, we're gonna discuss the revenue and the margin. Q3's revenue was TWD 4.2 billion. Quarter-over-quarter was up 6% and year-over-year also up 7%. Q3 was driven by the increase of the capacity utilization to 50% in Q3 from 40% in Q2, coupled with a slightly better than expected product mix. We can discuss the product mix later in page six. So, therefore, the gross margin increased about 2 percentage points QOQ, become 22.1%. And operating margin also increased by 6 percentage point, becoming the 1.7% QOQ. We understand that most of our investors would like to know what kind of impact to our gross margin from our China customers, the share price volatility. And, well, I think the background is our sub-100%-owned subsidiary holding our China customers shares, which is we acquire when they IPO in the middle of 2022. Due to, in Q3, customers listed share price volatility, so there is a 2.7 percentage point gross margin erosion in Q3. Therefore, the consolidated into our, our gross, our financial statement, so our consolidated gross margin become 22.1%. It's of course, it, it, if we exclude that, then that will go up to 24.8%. Please flip to the next page, which is page five. We discuss about earnings. In Q3, due to the order and the demand recovery from the customer and also the better utilization, our net profit attributable to the parent company was TWD 34 million. So therefore, the EPS was TWD 0.08. Compared to last quarter, Q2, the EPS was TWD -0.23. And next page, we're gonna discuss about our product mix. Please flip to page six. As you can see that in Q3, the cellular PA, the percentage going up from 30%-35% to 40%-45%, 45%-50%, which is around over 30% of the growth. And the others, majority are optical application remains 18%. That's pretty much the same number, but actually due to the revenue growth, so it's better than our earlier expectations. The rest of it, like Wi-Fi and infrastructure, is still weaker than Q2. Wi-Fi, because of the ramp up, the peak for ramping up for a high-end smartphone, this generation, it's already happened in Q2, and so Q3 is gradually going down. So therefore, the percentage going down to 10%-15% from 15%-20% last quarter. And the infrastructure also weaker than last quarter. It's become between 20%-25% from 25%-30% last quarter. So, pretty much exact. I think the only exception is optical business. Otherwise, it's kind of in line with our view we provide in last time. Please flip to page 7. It's a Q4 guidance. I think Steve have mentioned it earlier, so I'm gonna repeat again. We expect for Q4 2023 revenue to increase about low teens QoQ. And we also expect Q4 2023 the gross margin will be around the level of mid-twenties. Okay, then we can quickly go through the financial report financial statement starting from our income statement from page nine. And before I begin, I still want to remind everybody that all of the figures are based on unaudited basis and by the company. So the actual results should based on the financial report which is audited by the CPA. Q3 net, the revenue was TWD 4,165 million, QOQ was up 6%, and YOY is up 7%. The gross profit was TWD 919 million, and the gross margin become 22.1% compared to last quarter. Last quarter was 20.1%. Operating expense, better than last quarter. It's becoming TWD 849 million. Therefore, the operating expense ratio was equivalent to 20%. Operating income was TWD 70 million, and OP margin, the operating margin was 1.7%. The non-op item was lost about 114 million TWD. We can discuss it later in page eleven. The loss before the income tax was TWD 44 million, and the income tax expense was TWD 37 million. Therefore, the net loss was TWD 81 million. The net margin become negative 1.9%. However, the net profit attributable to the parent company was TWD 34 million. Therefore, the EPS become TWD 0.08, become profitable. The ROE, the return on equity, was 0.4%. The utilization rate for Q3 was 50%, which is up from 40% last quarter. The depreciation expense was TWD 1,182 million. It's slightly higher than last quarter. The CapEx for Q3 was TWD 1,880 million. This is Q3's income statement. Next page, we talk about accumulated Q1 to Q3 income statement. Please flip to page 10. Page 10, the 2023, the first three quarter revenue was TWD 10,968 million, and the year-over-year was down around 26%. Gross profit was TWD 2,036 million, and the gross margin become 18.6%. Operating expense was TWD 2,731 million, and our OpEx ratio for the accumulated three quarter was 25%. Operating income was TWD 695 million, and operating margin become negative 6.3%. The non-op item was lost about TWD 267 million. Again, the detail in page 11. The loss before the income tax was TWD 961 million, and there was an income tax benefit, TWD 126 million. Therefore, the net loss for accumulated Q1 to Q3 was TWD 836 million. The net loss attributable to the parent company was TWD465 million. Therefore, the EPS become negative TWD 1.1. The total, the accumulated three quarters, the ROE, return on equity, was negative 2%. The accumulated utilization for the first three quarter was 40%. The depreciation expense of the first three quarter was TWD 3,431 million. The CapEx was total around TWD 2,957 million. Remember, the- we, we have provide some kind of guidance for depreciation and CapEx for 2023 in the very early of this year. Looks like the depreciation expense right now, the first three quarter, the year-over-year was up around 9%, which is kind of in line with what we provide, around 10% for the whole year. The CapEx, we also provide the guidance of the whole year of around TWD 4 billion+, plus and minus. Right now, the first three quarters are al- it's already very close to TWD 3 billion. We believe that it's also not too far away from the guidance we provide. Okay, the non-op item. In page eleven... First of all, for Q3's non-op item, we-- I'm gonna discuss and highlight the three items which are most significant. First of all, we take a look on the gain on repurchase of bonds payable, which is the ECB buyback we did in Q3, which is making a gain around TWD 157 million. Remember, the ECB we have, it's a NT dollar-linked convertible bond. So, it's a fixed NT dollar, that is a fixed foreign FX at that time. So, where every time when we at this under this, the current foreign exchange, NT dollar, then then when, when we implemented the ECB buyback, will create some kind of foreign exchange loss. But however, the net-net are still profitable. So, you see that the foreign exchange loss, around TWD 121 million, actually, very close to TWD 100 million, was because of a ECB buyback. And another item is, again, on financial assets or liability at a fair value through the profit and loss. It's also majority due to the ECB, the outstanding ECB evaluation. As everybody know, ECB content, the bond and also the stock option. Due to the, in during the Q3, stock price as volatility, there is a evaluation loss on the stock option. Therefore, for TWD 122 million of loss on the evaluation loss, there is around 50% due to the ECB evaluation. Okay, that's pretty much for non-op item. Please flip to the page 12. The final page, we discuss about the balance sheet. As to September the thirtieth, our cash and the cash equivalent around TWD 6,352 million. The total assets become TWD 66,081,000,000. I think, except the account receivable, it's going up a little bit due to the growing for the revenue and the order. The total liability becomes TWD 31, 224,000,000. You can see that the current liability going down from around TWD 1 billion, and pretty much the same size reduce on our ECB holding, going down from TWD 6.2 billion to TWD 5.2 billion. That's because of the ECB buyback. The common stock remained the same, and the total equity was TWD 34, 857,000,000. Therefore, the book value per share going up from 60, TWD 76.6 last quarter, to TWD 78.6 this quarter. The major financial index, for example, like current ratio, is improved to 97% from 92%. The debt ratio is going down around 1% to 47% in this quarter. Okay, that's my portion. Okay, thank you. Now we can begin the Q&A. Please submit your question in the input box on the webcast window. Thank you. Okay, there's a question I think is related to the better gross margin, gross margin than our expected. I think it's mainly coming from the two factor. One is the product mix. We can see this quarter, I think, the optical device, you know, growing. And at the same time, although the infrastructure has slightly declined, but and also Wi-Fi has not declined. But at the same time, we have a very strong demand for the Cellular PA. So the utilization rate is increasing around 10%. It definitely will bring a better the cost of the material because of the better utilization rate. So I think, compared with the better product mix, with the better optical demand, and also the better utilization rate, it make the the gross margin expected and now expected in Q3. Thank you. ...Okay, the next question is about the outlook of 2024. But honestly speaking, I think until right now, the visibility is still around four-six weeks. So I think we will keep our plan. That is, we will give the guidance about next quarter, quarter by quarter. Yeah. Because as you know, as a foundry and we almost have 80% of the revenue is related to the smartphone. Such, and smartphone is such a very big opportunity volatility industry. And there's so many model and brand company in there, and so every year, it's hard to say how the share of a customer will take in every smartphone segment and in every end smartphone maker's portion. So, in order to make a better accurate guidance, I think we will provide outlook quarter by quarter. Thank you. Okay, I think the other question is about the competition. Yeah, definitely, I think, for the Cellular PA, which take more than 50% of our revenue, this application definitely is a very competitive market, no matter in China or even in other area. So, and every year, the smartphone maker, they will have a new spec, and every IDM company or design house need to design a new PA module to compete with the new spec year by year. So it definitely is a very competitive market, and we have very severe competition in here. I think until right now, WIN Semi is still can provide better tech, technology and better capacity support to all the customer, especially for the Tier 1 customer want to win the Tier 1 handset makers orders. So even with those very competitive competition, but I think we still keep our position in there. Thank you. ...Okay, there's a question asking about Q3 utilization. We have a better utilization rate in Q3. Was that due to rush order? If you recognize that this time, no matter verbally talking or our comment by written, we haven't say anything about rush order. That means we treat the recent demand is more healthier than before, and also our customer kind of are coming back gradually. I mean, I remember we have also mentioned that, from our management comment, we mentioned that we still have some distance away from the previous peak quarterly. At least we see that with the smartphone new model has been published recently, I mean, the second half, no matter in China, in U.S.. I think the demand, it looks like everything on schedule, on time, and the customer has provided a more positive view. Also starting to discuss the future demand with us, which also gives us more confidence. The demand, no matter PA demand or smartphone demand, it's more healthy than before. That's the reason why we haven't mentioned anything, this kind of demand or order, by the rush order, this kind of term. So, yeah, I think, especially, we see the sequential growth from Q3 to Q4, and that make us more comfortable in the now and the future. Thank you. The disconnection due to the technical issue, it now should be back to normal. Thank you. Sorry about that. We apologize the disconnection due to the technical issue. I'm sorry about that. We can continue now. Okay, there is a question asking about our technology and the business, anything to do with the AI or the data center? I think the answer is yes. I think due to the AI computing, the high-speed computing that create a very high volume and a high speed of data transmission. And, because we working on the data center business, which is nothing to do with server, of course, but it's for a data transmission, no matter the laser diode photodetector, those kind of components. We have developed a lot of this kind of technology for many years. And, so, now we are working with several different customers. They are also focusing on no matter, like, between server to server, rack to rack, cluster to cluster. For those, a different kind of transmission because of due to the AI demand. We also see this kind of in the technology engagement has significant more significant than before. So, of course, currently, not too much about that, but if that's the big data is the future trend, we can predict that it will be a very important momentum for the future. Thank you. Okay, there is another question asking about our com... Our ECB, which is convertible bonds, on hand right now, things are making the financial index or the liability level a little bit higher. What do we treat that, our ECB, for the future? I think, as you probably, if you noticed that, things, the end of the Q4 of last year and every single quarter, we have implemented the ECB buyback, no matter Q1, Q2, Q3 this year, and then continue. We also did a little bit in Q4 for ECB buyback. The reason why is, we try to decrease the ECB, which is the debt on hand. I think from now on, we—I think we still will working on that. If the ECB buyback, it doesn't create any kind of loss on financials and if we can maintain a better financial status than, we will continue to do that using our cash position. And I think in the past, maybe one years, due to the ECB on hand, we have a higher debt ratio, and but now it's going to the healthier level. Okay, thank you. There are no further question on the line, so thank you very much for your participation in WIN Semi's conference. There will be a webcast replay within hours. Please visit www.winfoundry.com under the Investor Relations section. You may now disconnect. Thank you and goodbye.