The investor conference is about to begin. Good morning and good evening, ladies and gentlemen, no matter where you are. Welcome to Winsemi's Result Webcast Conference for the fourth quarter of 2023. My name is Joe Tsen, the spokesman and Associate Vice President of Finance in Winsemi. Joining me today, on today's call, are Dr. Y.C. Wang, the Vice Chairman and the Vice President of Winsemi, and also our CEO, Kyle Chen, the General Manager of Corporate Administration, Steve Chen. Today's call is organized into three sections. First of all, our CEO, Kyle, will comment on the company's results for the fourth quarter of 2023, and provide brief guidance for the first quarter of 2024. Secondly, I will go through the financials in detail, and then Dr. Wang will have the industry outlook to share with you. After that, we will open to the floor for Q&A. Please freely submit your questions 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. The 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. Kyle Chen, our CEO in Winsemi. Okay. Thank you, Joe, and good morning and evening, everyone. Let me give you a quick summary of our fourth quarter of last year and a projection of the Q1 this year. Okay, for the fourth quarter of 2023, driven by inventory restocking in Android smartphone and sustained [demanding demand] following the launch of the new flagship smartphone in global market. Our consolidated revenue slightly exceeded our previous expectation and reached TWD 4.9 billion, with a QOQ growth of 70% and a YOY growth of 38%. Looking at the product mix in the fourth quarter, as anticipated previously, except the Wi-Fi PA peak season of inventory preparation for customer has passed. Other product segment are all delivering double-digit QOQ growth. And moreover, as our capacity utilization rate increased to 60% from 50% in the previous quarter, our gross margin improved to 29.4% from 22.1% in the previous quarter. Operating margin also recovered to 13.1% from 1.7% in the previous quarter, with EPS at 0.91 TWD. For the full year of 2023, our consolidated revenue was TWD 15.8 billion, down 40% YOY, with total EPS at -0.19 TWD. Okay, so, let me give you a summary of 2023. The year of 2023 has ended in a mid of global economic downturn and a geopolitical risk. During the year, while the pandemic eased and the global economy remained overshadowed by inflation, this, combined with the ongoing regional conflict, including the unresolved Russia-Ukraine war, the Israel-Palestine conflict, and the escalating trade tensions between the United States and China, make 2023 a challenging year. But fortunately, the smartphone market, one year and a half, its long inventory adjustment period, has come to the end. At the first half of 2023, inventory level for the Android smartphone gradually returned to healthy levels, and related customer resumed their order pull-in momentum in the second half of the year. Meanwhile, the launch of the new flagship smartphones cellular and the 3D sensing customer demand was pick up. The resurgence, the recovery in the demand propelled revenue growth in the second half of the year, both QOQ and YOY, marking a return to profitability for our company. As we enter the new year, this year, 2024, although the macro environment remains uncertain, we firmly believe that industrial trough is now behind us. We have long been committed to invest in compound semiconductor manufacturing process and material, providing wireless communication, optical communication, and optical sensing solutions. We expect that the increasing demand for the high speed data transmission in the future, AIoT trend will drive our mid to long term growth momentum. Firstly, cellular and infrastructure applications will benefit from the higher 5G smartphone penetration rate. Handheld devices and short-term infrastructure, including IoT, will benefit from the evolution of the Wi-Fi 6E and Wi-Fi 7, driving more demands, more PAs. Secondly, optical transceiver components, including the VCSEL, will benefit from the migration from copper to optical fiber for data transmission in the AI data centers. The long- and short-distance LiDAR will proliferate and will be increased as automotive ADAS become the mainstream. Finally, the rise of the low LEO satellite communication technology will seamlessly integrate numerous AI and big data applications, achieving the ubiquitous connectivities. In all these aspects, we collaborate closely with our customers, working hand in hand toward the mutual success. As we enter the traditional slower season, this season, looking ahead to the first quarter of 2024, we expect revenue will decline low teens QOQ, with gross margin maintained at around the mid-twenties level. This is, we foresee the Q1, okay? Now, I turn back the call back to Joe. Okay. Thank you, Kyle. Now, it's my pleasure to present our financial results for the first quarter of 2023. Please refer the presentation slides. Remember to read over for the safe harbor notice in page 2. And then, we started from page 4, talk about revenue and the margin trend. The Q4 2023, the revenue was TWD 4.9 billion. The QOQ was up 17% and YOY, up 38%. And then in Q4, driven by the increase in capacity utilization rate, our gross margin was increased by 7.3 percentage points, become 29.4%. As every investor care about our subsidiary holding our major Chinese customers share, the for this fourth quarter, it contributes the gross margin about 1.15%. So therefore, the operating margin also increased by 11.4 percentage points, and become 13.1%. Please flip to the next page, in page 5. Talk about earnings. In Q4, again, due to the better utilization rate, our net profit attributable to the parent company was about TWD 385 million, compared to last quarter was TWD 34 million. Therefore, the EPS for Q4 become 0.91 TWD. Compared to Q3, Q3 was 0.08 TWD for EPS. Now, please flip the page to page 6. We talk about product mix. Let me refresh the memory. The total Q4 revenue, QOQ, was up 17%. So therefore, for Q4, product mix compared to Q3, you probably will recognize that, the cellular was in line with last quarter, between 45%-50%. And the infra, also the same as last quarter, between 20%-25%. The major difference by Wi-Fi. Wi-Fi's percentage was down to between 5%-10% compared to Q3. Q3 was between 10%-15%. That's the major reason, like, our CEO, Kyle, have mentioned it, our major Wi-Fi customer had the product pulling earlier of the year of 2023. So the Q4 Wi-Fi, it's the only factor went down. And the others, including the optical, was 22%. So therefore, we can say that, except Wi-Fi, the rest of the product, we have double digits of growth in Q4 YOY QoQ basis. And the Page 7, it's about our Q4 guidance. I'm gonna repeat again, as Kyle already mentioned it in his management comment. We expect Q1 2024 revenue to decline about low teens QoQ. We also expect Q1 2024, the gross margin, to be around the level of mid-twenties. And now, we can quickly go through our income statement and the balance sheet. Starting from page 9, we talk about Q4's income statement. Q4 net revenue was TWD 4,868 million. QOQ, up 17% and YOY, up 38%. The gross profit was TWD 1,433 million, and so the gross margin was 29.4%. QOQ was up 7.3 percentage point. Operating expense was TWD 794 million, and the OP ratio become 16%. Operating income was TWD 639 million, and due to the lower base in last quarter and the quarter a year ago, so the growth rate was very significant. But the operating margin also increased about 11.4 percentage point, becomes 13.1%. The non-op item was the expense, about TWD 357. The detail will be in page 11. The income before income tax was TWD 282 million. And the income tax expense for Q4 was TWD 5 million, so therefore, the net income was TWD 278 million. And the profit attributable to the owners of parents is TWD 385, so therefore, the EPS is 0.91 TWD. Compared to last quarter, Q3 was 0.08. The Q4's return on equity was 5%, and approximate utilization rate up, it's going up to 60% from 50% last quarter. The depreciation expense, it's a little, it's quite similar to Q3, only up a little bit, which is TWD 1,190 million. In the CapEx, you can see that it significant went down to TWD 252 million, compared to almost TWD 1.9 billion last quarter. Okay, then, so please flip to the next page, in page 10. Page 10 talk about the whole year of 2023's income statement. The 2023, the whole year's net revenue was TWD 15,836 million. The YOY was it went down about 14%. And a gross profit is TWD 3,469 million, and accumulated whole year's gross margin was 21.9%. Due to the operating expense was TWD 3,525 million, the overall profit ratio become 22%. So the operating loss was TWD 56 million. The operating margin was -0.4%. The whole year's amount of item was a loss of about TWD 623 million. And the income tax... There is an income tax benefit for TWD 121 million. So therefore, the net loss for 2023 was TWD 558 million. And because of a profit, the loss, I'm sorry, loss attributable to the owners of parent was 80 million TWD. So therefore, the EPS was -0.19 NT dollar. The whole year of return on equity was -0.2%. The whole year's utilization rate accumulated become 45%. They are actually five percent below a year before, which is 2022. Year 2022, it's fifty percent, and 2023 is 45%. And the depreciation expense whole year was sixty four... I'm sorry, 4,621 million. It's pretty close to the guidance what we provide earlier, which is increased about 11%. And the capex for the whole year was 3.2, almost 3.2 billion TWD. It is significant smaller than a year ago. Normally, in this earnings call, we will provide the depreciation expense and the capex guidance for 2024. We believe that the depreciation expense roughly for 2024 will be flattish to 2023. And also, the capex for 2024 is about TWD 3 billion ±. Okay, and this is whole year of 2023, and the non-GAAP item for page 11, I'm gonna leave for your own reference. And please flip to page 12. Page 12 talk about the balance sheet. The dated December 31, 2023, the total assets was TWD 69.168 billion. And the total liability was TWD 33.819 billion. The common stock remain the same, and the total equity become TWD 35 billion 349 million. The book value per share was TWD 80.09. Therefore, the key financial index, the current ratio back to above 100%, become 135%, compared to last quarter, it is 97%. The debt ratio is at 49%, a little bit higher than last quarter, due to we have more long-term debt facility from the financial institution to prepare to pay the redemption for our ECB. Actually, it's already happened in January twelfth. Okay, now, this is my part, and thank you. Now I'm gonna hand over the call to Dr. Y.C. Wang, and for our Vice President. Our Vice President and Vice Chairman, he's gonna share the market outlook with you. Thank you. ... Okay, thank you, Joe. Now, good afternoon, everybody. So now, I will provide you, WIN's perspective on the markets that we are in. So, please flip to page number 14. I think everybody will agree with me that the global technology mega trend is toward ubiquitous AI access. The AI access, the AI will enable a lot of exciting new use cases in the futures. However, these new use cases will require not only the mass data computing, but also needs a very fast data transmission. Let's flip over to page number 15. So, this page shows Nokia's estimate on the global data transmission capacity. They estimate that the global data transmission will increase at the rate of 22% compound annual growth rate from 2022 to 2028. In order to enable the higher data transmission capacity, there are two things that's gonna happen. One is to increase the number of devices, which we as a compound semiconductor foundry gonna be a benefit. The second, we will improve the performance of devices, which for example, the fixed bandwidth is gonna transmit more data rate. So we have to continue to improve our device technologies to meet this increasingly stringent requirement. Okay. Let's flip to next page. So there are three critical elements toward ubiquitous AI access. It's the first one is we need a ultra-high-speed data transmission, and the second one is we need a smart sensing device. And the third, we need a mass data computation and storage. So, WIN Semiconductor, as the world's leading 3-5 compound semiconductor foundry supplier, is gonna provide our customers this critical process to help our customers to be successful in the market toward the AIoT mega trend. So, in the following few slides, I'm gonna present to you our WIN's technologies that we developed along with our customers toward this mega trend. So, now let's flip to page number 18. Let's go through one by one, starting from the ultra-high-speed data transmission. First, let's look at the HBT. Last year, in 2023, we officially released WIN's seventh generation HBT technologies, which our customers has now designed using this technology to design in the high-end 5G smartphone. And also, our customers has successfully developed their product in the coming Wi-Fi 7 routers, as well as smartphone. Okay, we're gonna see the Wi-Fi 7 has more exposure toward the second half of this years. We also have customers that use this HBT7 to develop beyond 5G power amplifier for next generation smartphone, which means in the FR3 at the frequencies from 7 gigahertz to over 10 gigahertz. The next one is our pHEMT technology, which we have a world-leading technology position. We have a very comprehensive technology portfolio on pHEMT, ranging from half micron to quarter micron, 0.15 micron, and down to 0.1 micron pHEMT, which can support the millimeter wave ICs up to 100 gigahertz. Those technologies have been in mass production, supporting a very wide range of millimeter wave and the microwave markets. At the same time, we have developed the 70 nanometer pHEMT, which can support up to a D-band frequency, which is around 140-150 gigahertz circuits, which we are going to release shortly. Now move on to gallium nitride HEMT, which we have spent over 10 years on the technology development, focusing on the RF applications. Now we are, we're confident that our gallium nitride HEMT technologies have now been on par with the other world's leader in these technologies. We have been in productions for multiple years on various markets, such as infrastructures and satellite communications, et cetera. Also, move on to the filters. Last year, we have commenced a small scale volume productions on SAW filters with a few customers, and we are. As to SAW filter, we continue the technology development. We have a very good progress. We are on track. And we also on indium phosphide HBT, which we have developed over five years, and last year we have a breakthrough on the technology development. We have got a cutoff frequency well above 300 GHz, and more importantly, we passed our reliability qualification, which is the most challenging part. On the optical devices, last year, we have developed photonic integrated circuits, which started small volume productions in the second half of last year, for several top-tier customers in this field. And we also released the indium phosphide-based edge-emitting lasers, no matter on both Fabry-Pérot, as well as the DFB laser diodes, which will be used in the telecommunications as well as data communications in the near future. Okay, let's go to page 19. On the smart sensing, as you know, Win Semiconductors, we have the world's leading VCSEL technologies for the 3D sensing consumer products on smartphones. We probably have produced the world's largest volume of VCSEL, and we continue to advance our VCSEL technologies. For example, we have developed the flip chip capability on VCSEL devices, and we also developed the grating process on the VCSEL to provide a polarized light, which will be widely used in AR, VR, XR in the future, and also will be used in 3D sensing for mobile devices, as well as bio sensors. And definitely will be used in automotive LiDAR in the future to provide a better signal-to-noise ratio. We also successfully developed a back emitting VCSEL, which integrated the optics optical lens at the back side of the wafer. On VCSEL, we also developed along with our customers for higher output power. This is for a long-range automotive LiDAR, and also for industrial heating applications and then we develop addressable VCSEL array, which can individually control each VCSEL emitters, which will be used in the next generation pure solid state automotive LiDAR. Also on the indium phosphide device side, we have again edge- emitting lasers, which can be used in the 3D sensing devices and also automotive LiDAR. And on the InP, we also developed the indium phosphide-based photodiode, both APD and PIN diode. Okay, next page. On the massive data computation and the storage part, that we have VCSELs that not only been used in 3D sensing, we also develop a VCSEL for high speed data transmission purpose. For example, we closely work with our customers on the 100 gigabit per second per lane VCSEL technologies on 6-inch gallium arsenide wafers. And we will—we are going to address this part in greater detail later. We also develop indium phosphide-based DFB laser diode and also high speed photo detectors, as we mentioned earlier. This is for this can be used in both communication and the 3D sensing device. For data center AI data center applications, we also see our customers are using our pHEMT technologies for laser diode and the modulator driver IC. This is going to go for a volume production in 12-18 months from now. Okay. So, the last three pages, I just give you an overview on the overall technologies toward this AI mega trend. The following, a few pages, I'm gonna give you, the near-term, markets that we see with the clarity that definitely is happening and or is going to happen in the near future. So, now we are on page 21, starting from the smartphone PA in the smartphone. So, as you can see, the 5G smartphone continue to penetrate. Last year, in 2023, the 5G smartphone is passed the 50% mark, and the penetration rate will certainly continue. Although the market report says the global smartphone, in terms of the shipment, would not... It's either single-digit growth or not growing. However, we want to emphasize that although the smartphone shipment is not growing, but the each 5G smartphone has more PA content than 4G. For example, as shown in the left table, the 4G smartphone contains typically four power amplifiers. A 5G smartphone, depending on its low or high end 5G phone, it will contain from 6-8 power amplifier, which means it's a 50%-100% larger higher PA content than a traditional 4G smartphone. So for sure, we're confident the smartphone power amplifier will continue to grow. Okay. Next page on, page 22, we come to Wi-Fi 7. This is another content increase game we were seeing. Cost of Wi-Fi 7 will be we compared to Wi-Fi 6 has one additional frequency band at 6-7 GHz. Also, it needs higher bandwidth at 320 MHz compared to 80 or 160 MHz for Wi-Fi 6 and Wi-Fi 6E. And also, Wi-Fi 7 adopted the more complicated signal modulation at 4K QAM compared to 1K QAM for Wi-Fi 6 and the Wi-Fi 6E. These two are more challenging power amplifier design for Wi-Fi 7. So from what we have discussed with our customers, we are pretty confident that the Wi-Fi 7 will have a higher gallium arsenide adoption rate, no matter in a smartphone or the router. Okay, let's move on to next page, on 23. Now it comes to satellite communications. I think a satellite communication, a satellite network is complementary to a cellular network. There's still now, like, 2 billion people in the world do not have a daily access on a cellular network. And there's 90% of the Earth's surface is not covered by cellular networks. So, satellite networks is a perfect complement to the smart cellular networks to provide a seamless global network. And WIN, we have developed a very complete technology portfolio to support all the satellite links. Including satellite to satellite, which is operated at the E-band frequency, which is a very high frequency at around 70-90 GHz. Customers are using WIN's 0.1 micron pHEMT technology, which has been in production at this point of time. And also, we have a successful project with our customers on satellite to gateway, satellite to user terminal, and also a satellite to a cellular phone. They are all going on track using the WIN's pHEMT and gallium nitride technologies. Okay. Oh, by the way, we have multiple customers, end customers, we are engaging. It's not limited to a LEO, but also on LEO and the GEO as well. Okay. Now, move on to page number 24. This is about AI data center. As you can see at the right-hand side of the, it shows the typical architectures for AI data centers. It's a spine-leaf server architectures. Because of the AI, which needs a huge amount of data traffics, so this largely increase the demand, no matter in spine-level, leaf-level, also in the servers levels. The most interesting part is at the server level, which has a high data rate transmission at short distance, which we are seeing a trend that rapidly are replacing using the optical fiber to replace the copper wire. So this drives the demand for the 100 Gbps VCSEL, which we are developing with our customers right now. We will see this is going to happen toward mass production within this year. Okay, let's move to next page, on page 25. Now it comes to the automotive applications used for LiDAR and in-cabin applications. The market reports estimate there's a strong compound annual growth rate of 62% for automotive LiDAR applications. Although now, at this point, it's still very early stage for LiDAR, but definitely this LiDAR will be adopted by more and more vehicles in the near futures. At this point, WIN, we, our VCSEL has been adopted in the LiDAR by multiple car models and in actually in production, although it's not extremely high volume, but it's a milestone to demonstrate that with technologies capable of being used in automotive. And also, not only on VCSEL, we also have long wavelengths, Indium Phosphide-based laser has been qualified by our customers, used in the car. Now it's been moved forward to a system qualification. We expect in roughly the next 12 months, we should be able to see our device being used in top-tier cars in the near future. Okay. So, now, let's move on to next page. So, WIN's strategy is very simple. We serve the market-leading customers with our most comprehensive, world-leading, and the proven III-V manufacturing technologies in the fast-growing markets along the AI mega trend. Okay, so let's go to the last page. The key takeaways is WIN, we as a global leading III-V foundry company, we provide critical process technology to meet the AIoT mega trend. WIN, we possess the broadest technology portfolio to serve the major markets, as we pointed out today, in wireless communication, AI data center, automotive LiDAR, and broad range of 3D sensing emerging applications. Although some applications are still in the early stage, it's for long-term development, but we also show in the near term is what is already happening. There's a few areas that's already happening. So 5G content increase is one, and the Wi-Fi 7 adoption definitely will be is starting to happen. You're gonna see more and more Wi-Fi 7, router, in router and also a smartphone, happen in the second half of this years. And the satellite communications is another one, data center, OE interface, and, automotive LiDAR, et cetera. So, that's my presentation. Thank you. Okay, thank you, Y.C. And now, we begin the Q&A. So please submit your questions in the info box on the webcast window. We're gonna start now. Okay, there are more than one investor asking about the Q4 operating expense. It's less than last quarter, and then ask for the reason, and also wanna know how do we look for the near futures, how what is the operating expense look like? And then first of all, yes, we do. We WIN semi implement that if the efficient control for the operating expense actually is a continued task for us. We have reviewed a lot of items of our expense and periodically. So, we see a better quarter in Q4, and yeah, it's there, there is some kind of improvement for the operating control for this quarter, yes. And for the short term... ... we treat, this quarter, this level of the operating expense and the operating ratio, as, as our, our target, for the, for the, short period of time. Of course, hopefully, in the, in the long-term future, we hope to, to see, the, the lower operating ratio, just like, maybe more than one or two years ago. But, for the short term, I, but we, we expect, this kind of, operating expense, level and the ratio is, is our, near-term target. Thank you. Okay, there's a few question, it all relate to, our utilization rate in Q4 and also, the competition in Asia, mostly it's in China, Taiwan. So, let's have the conclusion about that. First, I think the utilization for Q4 is around 60% of that. And, I think, for this year, basically, I think, well, what we see right now may be still in this kind of level of plus and minus. Yeah. And then, talking about the competition, I think, as Y.C. and Kyle just mentioned, I think for this year, because of Winsemi's new technologies, such as like HBT7 and those of Wi-Fi 7, applied technology, I think, as you know, Winsemi is always more focusing on the advanced technology to compete with the IDM company, and also provide those, advanced, technology to the design house. So I think, when we're looking with, right now, some localization in China, I think, the HBT technology is still, still generation, away from Winsemi. So definitely with some next technology, I think we will face those kind of competition. But, for those, new advanced technology, I think, we still have some, room for them to compete with that. Thank you. And the other question is about the filter. I think, as we, we mentioned before, actually, we provide a filter, technology to service our customer with our cellular PA customer, which want to integrate those, filter into their PA module. So, right now, we have several customers cooperate with us, and, but I think for ASP is the, because it's a, it's a total package with, our cellular PA, so we don't disclose the independently about the, the price. Thank you. Okay, the other question is about the, some IDM company was, fade out with the Asia 4G market. I think it definitely will, benefit with the, from Winsemi side, because I think, that means, that will become, more favorable to the design house in Asia. And as you know, in most of the tier one design house, I think they are all Winsemi's customers, and, majority produce, wafer in Winsemi. So definitely that will, favorable to Winsemi in the future. Thank you. Okay, and there's a question want to know about the picture about Q1's application. I think what we see right now, although- ... The total revenue will, maybe will decline, a little, but, I think, for the cellular PA and Wi-Fi PA, I think still we're doing well. Yeah, and, as you know, because, traditionally, the Q1 and Q2, that will be the low season for, optical. Yeah, so that would be down a little. And also, infrastructure, because that's the whole year, project-based business. So, I think in Q1 is, still, lower than Q4, what we see right now. Thank you. This is Kaya. There's a question about the outlook revenue of infrastructure in this year, 2024. Just, just like Steve mentioned, Q1 right now, the infrastructure a little lower than our expectation. But overall, the year, we see the infrastructure is, should be, have, room for increasing. We are pretty optimistic on the revenue of the infrastructure in this year? Okay, I see there are a few questions asking about the AR headset. I think we cannot comment on the specific end customer's product. But however, as a general comment, we think we definitely gonna be benefit from the launch of AR headset in general. Because AR headset is going to adopt the LiDAR and on it on the headset, as well as the eye tracking capability. So some kind of 3D sensing application as well. So that's all I can comment, but it takes time for AR headset to get to a significant multi-million that kind of scale. That's what we see today. Okay, it's right now, the time is 5:34. It's about time. So thank you very much for your participation in Winsemi's conference. There will be a webcast replay within hours. Please visit www.winfoundry.com under the Investor Relations section. Thank you again. You may now disconnect it. Bye-bye.