Ladies and gentlemen, thank you for standing by, and welcome to the Alpha and Omega Semiconductor fiscal second quarter 2021 earnings call. At this time, all participants are in a listen-only mode. After the speakers' presentation, there will be a question and answer session. To ask a question during the session, you will need to press star one on your telephone. If you require any further assistance, please press star zero. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Mr. Gary Dvorchak. Thank you. Please go ahead, sir. Good afternoon, everyone, and welcome to Alpha and Omega Semiconductor's conference call to discuss fiscal 2021 second quarter financial results. I'm Gary Dvorchak, the investor relations representative for AOS. With me today are Dr. Mike Chang, our CEO; Yifan Liang, our CFO; and Stephen Chang, our President. This call is being recorded and broadcast live over the web. The replay will be available for seven days following the call via the link in the investor relations section of our website. Our call will proceed as follows. Mike will begin with strategic highlights. Stephen will provide business updates and the detailed segment report. After that, Yifan will review the financial results and provide guidance for the March quarter. Finally, we will have a question and answer session. The earnings release was distributed over wire services today, February 4, 2021, after the close of market. The release is also posted on the company's website. Our earnings release and this presentation include certain non-GAAP financial measures. We use non-GAAP measures because we believe they provide useful information about our operating performance and should be considered by investors in conjunction with the GAAP measures that we provide. A reconciliation of these non-GAAP measures to comparable GAAP measures is included in the earnings release. We remind you that during this conference call, we will make certain forward-looking statements, including discussions of the business outlook and financial projections. These forward-looking statements are based on management's current expectations and involve risks and uncertainties that could cause our actual results to differ materially from such expectations. For a more detailed description of these risks and uncertainties, please refer to our recent and subsequent filings with the SEC. We assume no obligation to update the information provided in today's call. Now, I will turn the call over to our CEO, Mike, to provide strategic highlights. Mike? Thanks, Gary. I would like to welcome everyone to today's call. I'm excited to be speaking with all of you again today and to report an excellent quarter and finish to calendar year 2020. In the December quarter, we saw solid shipments across most of our product categories, leading to results ahead of expectations. We grew revenue by 35% year-over-year to $159 million. We achieved high utilization at our manufacturing facilities. We continued to be disciplined with our spending. All of this led to a record in non-GAAP gross margin of 31.4% and a non-GAAP EPS of $0.55. Yifan will go into more detail on our financial performance later. I'm really pleased by our team's execution. The operational control and efficiency that we have implemented are positively impacting our bottom line. For investors who may be new to our story, our mission is to become a leading designer, developer, and global supplier of a broad portfolio of power semiconductors. This mission guides our strategic focus and the work we do. Computing has been a core market for us, but we have successfully diversified our business by expanding into other market segments, including consumer, communications, power supply, and industrial. Our strong engineering team and technical expertise enable us to develop a broader variety of power discrete and Power IC technology platforms. This positions us to expand our product offerings and deliver complete power solutions for more target applications. On the manufacturing front, we continue to ramp our capacity at our JV Fab in Chongqing. This provides us with flexible capacity management and geographically diversifies our supply chain, which is critical to supporting our growth for years to come. Yifan will update you on the progress of the JV fab in a few moments. I'm proud of what our team has accomplished and the groundwork we are laying for long-term and sustainable success. Obviously, we faced tremendous challenges in the current year, 2020, including the global COVID-19 pandemic, trade conflict, and political and social unrest in different parts of the world. Despite these challenges, we made significant progress toward achieving our target of $600 million annual revenue for the current year, 2021. We did this by developing a healthy pipeline of new products, new design wins, and new customers. Now, I will turn the call over to Stephen for an update on our business and a detailed segment report. As you know, we recently promoted Stephen to president. He will now be responsible for all day-to-day operations of AOS. My role will gradually transition to a higher-level leadership role, overseeing strategic directions. Stephen has done an outstanding job at AOS over the years, and I am fully confident in his ability to lead AOS in the next phase of rapid growth. Stephen, the floor is yours. Thank you, Mike, and good afternoon, everyone. I will start with an update on our business and then provide detailed segment highlights for the December quarter. Our business momentum has accelerated over the past several quarters due to our advanced product portfolio, marketing strategy, and growing production capacity. As we stated previously, our strategy is now to create advanced total solution products in close partnership with our customers. These products leverage our expertise in power and move beyond commodity parts into multi-socket optimized solutions that make our customers' products more reliable and efficient. For example, our recent design wins in a gaming system and in a new PC graphics card platform, as well as our high growth in home appliance applications and battery protection solutions, demonstrate how we have deepened strategic partnerships with Tier 1 global OEM customers. We expect to accelerate growth by winning new customer engagements with an expanding pipeline of new products and increasing BOM content. Of course, our large global customers would not partner with us if we could not deliver our solutions at scale. As you know, we have been ramping production at the JV fab in Chongqing. Supply from the JV fab has enabled us to win new large-scale customers while also regaining market share at others that we were struggling to supply. We have crossed several milestones at the JV fab, which Yifan will elaborate on shortly. In addition to the traction we are gaining from the successful execution of our strategy, we are also blessed with strong industry tailwinds. Industry-wide supply is tight as demand remains strong across various market segments, including computing, consumer, and communications. We are on allocation as well and are optimizing our operations, product mix, and capacity allocation to key product lines. We are closely working with our strategic customers to meet their procurement needs. Our customers appreciate our commitment to enabling their growth and executing on our mission. Now let me provide a detailed review of each of the business segments. Let's start with computing. Revenue was up 32.9% year-over-year, representing 40.7% of our total revenue. Revenue was down 3.3% sequentially after an unusually strong September quarter. graphics cards were strong while demand for PC-related products declined seasonally as we passed the peak build for the Western holidays. This momentum in computing is a direct result of our strategy of partnering with our customers to create total power solutions, which increases our content. Looking ahead, we expect overall computing revenue to return to sequential growth in the March quarter. We expect solid demand from our ODM customers attributable to ongoing work from home and remote learning trends. This will be partially offset by a slight decline in graphics card shipments due to the Chinese New Year holiday. While we are on allocation, we expect to have sufficient capacity to resume sequential growth. Moving on, the consumer segment was up 67.3% year-over-year, representing 22.3% of total revenue in the December quarter. Like computing, consumer revenue also decreased sequentially by 3.4%, which was expected when comparing to the strong September quarter. Home appliances drove growth in this segment as a key strategic customer in Korea ordered high volumes of intelligent power modules. In contrast, our new gaming console customer reduced its build plan in response to shortages of other system components. This enabled us to redirect some production to support other customers and products. Gaming is anticipated to resume growth in the March quarter. We are excited about this gaming customer, as it shows the strength of our strategic supplier approach. In the console, we have multiple sockets covering several of our products, including Power ICs and MOSFETs. A great example of how we can drive growth through a greater percentage of BOM. We expect this segment to decrease double digits, primarily due to the seasonal decline of the TV business and a decline in the home appliance business due to a delay in supply. These declines will be partially offset by meaningful growth in gaming. Next, let's move to the communication segment, which was 17% of total revenue in the quarter, up 32.5% sequentially and up 27.9% year-over-year. This segment played out as expected, driven by the strong demand for battery protection during the peak build season for one of our global smartphone customers. We also grew revenue from China-based smartphone customers in the December quarter. As we pass the peak build, we expect a sequential decline in the March quarter. Our long-term outlook is solid as we have broadened our battery protection design wins and multiple customers globally, and we are supporting this overall growth from our Chongqing JV fab. Let's discuss the power supply and industrial segment, which accounted for 18.2% of total revenue. This segment was up 15.4% sequentially and up 14.3% year-over-year. The solid growth was due to two factors. First, quick chargers were exceptionally strong due to demand for travel adapters used for tablets, as well as the shift in China from 60V to 100V. Sequentially, we doubled shipments of 100V products. We regained our market position in both cost-effective 60V quick charger solutions and at a power tool customer. The recovery was due to our ability to supply those customers from the JV fab. Looking ahead, we see continued strength into the March quarter and expect this segment to be up single digits as Quick Charger remains strong and AC-DC continues to grow. Overall, I am excited by the momentum we are seeing in our business. We have a strong pipeline of design wins with our major customers. Our strategy to focus on more differentiated product solutions that have higher value and margins is paying off, and our operational discipline is adding leverage to our model. I am very encouraged by our execution and the progress we are making towards a stronger future for AOS. With that, I will now turn the call over to Yifan for a discussion of our fiscal second quarter financial results and our outlook. Thank you, Stephen. Good afternoon, everyone, and thank you for joining us. Before I dive into the financials, I want to highlight some key milestones at the JV Company, which Stephen alluded to a few minutes ago. We started the construction of the JV Company four years ago as we anticipated additional capacity requirements based on our longer-term growth plan at that time. The 12-inch fab commenced its production in July 2019, and the assembly and test facility started a bit earlier. The JV Company's production ramp in the past year has played a significant role in our recent business growth. In the December quarter of 2020, the JV Company achieved positive EBITDA for the third consecutive quarter. We are very encouraged by the progress the JV Company has made in this production ramp. Beginning in the December quarter, we no longer report the production ramp-up cost as a non-GAAP item. We expect the JV Company to generate another sequential volume growth in the March quarter and approach the phase I target run rate in the September quarter. Beyond phase I, the JV Company will provide us with flexible capacity management and geographic diversification of our supply chain. As part of our next phase of the growth plan, we are planning the phase II expansion and will offer more details in the quarters ahead. Now, let's turn to financial results. Revenue for the December quarter was $158.8 million, up 4.8% from the prior quarter and up 34.8% from the same quarter last year. In terms of product mix, DMOS revenue was $118.5 million, up 3.6% from the prior quarter and up 19.3% year-over-year. Power IC revenue was $37.4 million, up 8.5% from the prior quarter and up 122.2% from a year ago. Assembly service revenue was $2.9 million as compared to $2.7 million last quarter and $1.7 million for the same quarter last year. Non-GAAP gross margin for the December quarter was 31.4%, up from 29% in the prior quarter and up from 28.3% in the same quarter last year. The quarter-over-quarter increase in non-GAAP gross margin was mainly driven by the higher utilization and operational efficiency as well as favorable product mix. Non-GAAP gross margin excluded $0.8 million of amortization of purchased IP for both December and September quarters. In addition, non-GAAP gross margin excluded $0.4 million of share-based compensation charges for the December quarter and for the prior quarter as well as for the same quarter last year, respectively. Non-GAAP operating expenses for the December quarter were $31.5 million, compared to $28.6 million for the prior quarter and $25.7 million for the same quarter last year. The quarter-over-quarter increase primarily reflected higher variable compensation accruals based on the better-than-expected results for calendar year 2020. Non-GAAP operating expenses for the quarter excluded $2.8 million of share-based compensation charges and $0.8 million of legal expenses related to the government investigation. This compares to $2.5 million of share-based compensation charges and $1.1 million of legal expenses related to the investigation for the prior quarter, as well as $2.1 million of share-based compensation charges for the same quarter last year. Income tax expense for the quarter was $0.7 million, compared to $1 million for the prior quarter and $0.6 million for the same quarter last year. Non-GAAP EPS attributable to AOS for the quarter was $0.65 per share, as compared to $0.55 for the prior quarter and $0.23 for the same quarter last year. AOS continued to generate positive operating cash flow. AOS, on a standalone basis, generated $35.7 million of operating cash flow in the December quarter, as compared to $12.7 million in the prior quarter and $12.5 million in the same quarter last year. In the December quarter, we received a $10 million customer deposit for securing supply. The JV Company generated positive operating cash flow of $0.4 million in the December quarter, compared to $2.9 million and $3.5 million of cash flow used by the JV Company in the prior quarter and the same quarter last year, respectively. Consolidated EBITDAS for the December quarter was $31.6 million, compared to $27.6 million for the prior quarter and $13.9 million for the same quarter last year. EBITDAS attributable to AOS for the quarter was $25.3 million, as compared to $22.2 million for the prior quarter and $12.5 million for the same quarter last year. EBITDAS for the JV Company was $6 million in the December quarter, as compared to $4.6 million for the prior quarter and negative $2.2 million for the same quarter last year. Let's look at the balance sheet. We completed the December quarter with a cash balance of $181 million, including $142.3 million at AOS and $38.7 million at the JV Company. This compares to $154.7 million at the end of last quarter, which included $112.7 million at AOS and $42 million at the JV Company. Our cash balance a year ago was $107.2 million, including $86.2 million at AOS and $21 million at the JV Company. The bank borrowing balance at the end of December was $175.2 million, including $28.5 million at AOS and $146.7 million at the JV Company. During the quarter, the JV Company borrowed a $7.7 million working capital loan. AOS and the JV Company repaid $2.1 million and $9.6 million of existing loans, respectively. Net trade receivables were $24.9 million by the end of the December quarter, as compared to $26.3 million at the end of the prior quarter and $33.9 million for the same quarter last year. Day Sales Outstanding for the December quarter was 21 days, compared to 18 days in the prior quarter. Net inventory was $144.3 million at the quarter end, up from $137.7 million last quarter and up from $117.6 million in the prior year. Average days in inventory were 115 days for the quarter, compared to 113 days in the prior quarter. Net Property, Plant, and Equipment was $430.8 million, up from $421.6 million last quarter and up from $416.1 million last year. Capital expenditures were $13.4 million for the quarter, including $6.9 million at AOS and $6.5 million at the JV Company. With that, now I would like to discuss the guidance for the March quarter. We expect revenue to be approximately $157 million, ±$3 million. GAAP gross margin to be 28.7%, ±1%. We anticipate non-GAAP gross margin to be 29.5%, ±1%. Non-GAAP gross margin excludes $0.8 million amortization of acquired IP and $0.5 million of estimated share-based compensation charges. GAAP operating expenses are to be in the range of $33.8 million ± $1 million. Non-GAAP operating expenses are expected to be in the range of $29.5 million ±$1 million. Non-GAAP operating expenses exclude $3.3 million of estimated share-based compensation charges and $1 million of estimated legal expenses relating to the government investigation. Income tax expense is to be approximately $0.7 million-$1 million. Loss attributable to non-controlling interest to be approximately $0.2 million. As part of our normal practice, we're not obligated to update this information. With that, we will open the call for questions. Operator, please start the Q&A session. We have our first question from the line of Craig Ellis from B. Riley Securities. Your line is now open. Thanks for taking the question, and congratulations on the strong calendar for 2020 and the start to 2021. I wanted to start with a higher -level question, and maybe I'll direct this to you... Stephen Oh, yeah. Sure, Mike. Yeah. Business has come a long way, and it's been an incredible journey with the 300 millimeter fab, and it's nice to see that doing so well here with the $6 million EBITDA. My first question is just around the nature of order visibility that the company has at present. We've heard from some companies that their visibility extends well into the second half. For some, it's already extending all the way through calendar 2021. Stephen, maybe you can just comment on order visibility you have across the mainland markets. Where is it comparatively longer, and where might visibility be a little bit shorter? Sure. Again, I think this year is still a continuation of last year in terms of non-seasonal patterns that we're seeing now. Overall, the backlog is strong. I mean, Yifan could probably comment on that afterwards. Overall, we're still in a very tight market overall. We do see, just going through some of the key segments, computing's story remains to be fairly strong. We are still exiting what is traditionally the peak season of a normal season. We still expect it to be relatively strong going into the March quarter this year. Overall, in general, we're in a still fairly tight market, so demand is pretty strong across most of our segments. I wouldn't necessarily say that we have visibility all the way to the end of the year. I think we still think that we're in unusual times. There could be corrections that will happen to certain segments. Overall, we are on an allocation stage right now. We are trying to best serve our customers while also, of course, protecting our revenue. Yeah. I echo Stephen's comments. The backlog has been healthy and stable throughout the quarter. Right now, I wouldn't say we can see far enough toward the second half of this calendar year. There are a lot of dynamics and risks out there, so we just want to be a little bit cautious. Stephen, can you elaborate further on the allocation statement that was made in the prepared remarks and in your answer to that last question? How broad-based are they, and can you provide any color on when they started to emerge and just where they stand here as we start February? Sure. I think allocation, in terms of overall tightness in the markets, probably started towards the second half of last calendar year. I think in our third quarter, we had a pretty strong quarter, but it really wasn't just us; it was the industry-wide, was that we were seeing a general shortage here and there, whether it was in some raw materials or lead times being stretched out. We're pretty good at our operations, but we're not immune to that. It is something that's high priority for us to make sure we have a secure supply chain for, just like any other company in the space. We see it also in the marketplace as well, in terms of the demand across segments coming in pretty strong. As Yifan mentioned, we just talked about how the backlog is very high, and a big part of that is in reflection of the overall industry shortage, in addition to the demand that we're seeing because of COVID, because of other segments that are strong now. If demand is strong and if there are allocations, why wouldn't the JV Fab phase II start to ramp up earlier to alleviate that demand? Can you just talk about where products are being sourced that are related to some of the tightness and why there wouldn't be a pull-in on the phase II ramp if there is tightness? Yeah, I'll speak generally first in that. Yeah, the CQ is ramping actually pretty well, especially compared to the beginning of the last calendar year towards the end. We're very fortunate and happy to see that the CQ is ramping and ready to support us with the growth. We will be depending on this JV more going forward. Yi, if you want to provide some more color on expansion. Sure. We have been continuously ramping the JV Company over there. As you can see, starting from last calendar year's June quarter, September quarter, and December quarter, continue to ramp. We do expect in the March quarter we'll continue to ramp. It takes time for a brand new fab to ramp. At this point, we do expect we can ramp up in phase I target run rate by the September quarter of this year. That sounds good. Last question from me before I jump back in the queue. We've heard from a number of companies; it's widely reported that there has been an increase in various types of input costs, and that is triggering some more tactical pricing moves from all types of semiconductor suppliers. What's the status of that type of activity at AOSL, and how should we think about whether either, A, you would be doing that, or B, to the extent that you're not, if there's an opportunity to gain either intermediate or long-term share gain from customers that are raising prices? Sure. Certainly, we are seeing the cost of raw materials increasing in general, whether it's from actual physical raw materials or the services. We see that in lead times, it's affecting the cost; it's a reflection of the overall market supply chain being tight. We will be adjusting; we actually are already adjusting some of our pricing to reflect the cost increases. I do want to make a note that this is not a time we're not going to be gouging our customers. We are focusing on long-term relationships, especially as several of these, many of these Tier 1 customers, that we're really establishing ourselves to be a close partner with them. We are being intentional and selective about how we implement the cost increases. Got it. Thanks, everybody. Good luck. Thank you. Thank you. We have our next question from the line of David Williams from Loop Capital. Your line is now open. Hey, thank you. Appreciate you letting me ask a question. First off, Stephen, congratulations. It's great to see you moving through there. Also congrats on the fantastic results, and you're really building on your success, and it's nice to watch and to see the growth. Congratulations. Thank you, David. Appreciate it. I wonder, too, maybe if we could talk a little bit about the incremental capacity that you may have at the JV. Obviously, you're still ramping up; you're not quite there yet. Do you think that there's an opportunity, and you kind of maybe alluded to this in the past, that you might be able to squeeze a little more capacity out of that facility? What do you think the actual run rate is? Then maybe if you could just remind us what your full ramp is and if that's changed at all in terms of the revenue ramp. Okay, sure, David. We have been ramping up the JV fab over there. This will continue to ramp. Right now, we still have some room to go. That's a good thing for us, actually. We'll continue to fill up the fab. In terms of the March quarter, right now, we guided $157 million ±$3 million. That's reflecting some lower productions during the quarter because of a couple factors. One is Lunar New Year, and we would expect some lower output at our factories. Another thing is we will have a one-week shutdown at our Oregon fab for scheduled annual maintenance. Facility maintenance once a year. That would also lower some production output there. Overall, then, we're still seeing the continuing ramp for the JV Company. Okay, great. Thanks for the context there. Then maybe a little bit on your customer, how they're posturing themselves. Are you seeing your orders coming in with maybe longer lead times? Are you seeing customers maybe place orders today that are for the third and fourth quarters? Then this was asked a bit earlier: in terms of the visibility, do you think that's improving overall in terms of, you've got a lot of volatility still in the market, demand's been very strong. I guess I'm trying to get a sense of how comfortable you are that this demand level can remain at these elevated levels. Then what happens as we get into the second half? Do you predict or can you foresee a time that maybe the COVID tailwinds subside and we start seeing a little bit of a pullback there? Just how do you think about that and posture for that scenario? Okay. Let me take it first. The backlog right now, yes, it is strong. We are monitoring it very closely. The March quarter and some June quarters already filled it up, and I would not rule out some double ordering in those situations. We are monitoring the order patterns and then triangulating with our design wins at customers so that we don't need to ship a whole lot to certain customers that then cause other customers to lay down. That's what we are doing on a daily basis right now. Overall, things could change. I will not comment on the second half of the year. Yeah. In general, and just to provide some more color, right now, because of the strong backlog and demand from our customers, we're doing quite a bit of scrubbing to sort out what is critical for the business to support, whether it's strategic business, whether these are our key customers that we're trying to grow, or key products that we're trying to grow. It's a good chance for us to choose and be selective about what we want to support. At the same time, we know that we don't have long, long-term visibility. We're carefully watching to see if tides are turning for certain markets or, one way or the other, if there's upside that we want to take advantage of. Okay, great. One more, if you don't mind. On the gross margin side, that was up nicely in the quarter, north of 30; it's good to see. How do you think that trends as we go forward? Can we keep these same types of incremental, I guess, margin rates, or do you see this moving down significantly? Maybe if you could just touch on what the impact was. I know there was utilization and some mix. Was the mix more product specific, or was it more maybe the IC versus some of your discretes that maybe helped with the margin? Okay, sure. We are very encouraged by the historical high of non-GAAP gross margin, 31.4% in the December quarter. It demonstrated we can achieve our 30% gross margin target for calendar year 2021. That December quarter's performance gave us more confidence that we can achieve our near-term target. I would expect that we're on track to achieving the 30% gross margin goal for the calendar year 2021. In the March quarter, we guided at 29.5%, ±1%. That primarily reflected some lower production output for the reasons that I just talked about, Lunar New Year and the one-week shutdown at our Oregon fab for annual maintenance. Of course, when I give guidance, I would like to finish at the high end of our guidance. We're pretty confident at this point that we can achieve our near-term margin target. Great. Thanks so much, and best of luck to you on the quarter. Okay. Thank you. Next is Jeremy Kwan from Stifel Nicolaus. Your line is now open. Yes. Good afternoon. Let me add my congratulations on the very strong results. Thank you. Also, congratulations on your expanded leadership role. Appreciate it. Thank you. Can you give us a little bit more color? I just want to press in a little bit more on the allocation situation. Are you also putting customers on allocation, and are suppliers placing you on allocation? Maybe for things like substrates or raw materials. Can you just give us a little bit more insight into where the shortages are? Sure. It is happening on both ends. Again, it's not just us; it is industry-wide. Just right now, I think fab capacity as well as from the foundries as well as the back end, as well as all the raw materials. I would say it's generally across the board that we're seeing shortages in the overall market. That also means downstream to our customers. At the same time, the demand also has shot up quite a bit as well. As Yifan mentioned, the backlog is quite high right now, much higher than our capacity. As a result, they are on allocation because of us, too. There is a restriction on both ends. Good thing is, Jeremy, that we have the majority of the manufacturing operations in-house. That's a better partner than a fabless company. Yeah. In this situation, it's certainly a competitive advantage for you guys. Can you give us a little bit more insight also into the pricing trends that you're seeing from your suppliers? I know you touched on some of the pricing, but for your customers, you're not really necessarily passing that along, but can you give us some of the magnitude of this effect and if that impacts things further down the line? Pricing increases on the supply side and kind of vary quite a bit. Some did not increase, and some increased some. Some did a little bit highly. I mean, that's all over the map. For us, we focus on long-term relationships with our customers. Our adjustment is try to offset or mitigate the cost increase at this point. Got it. Maybe if I can switch gears a little bit to the $10 million customer deposit that you got. Is this included in the $35.7 million operating cash flow on the AOS side? Yes. Can you tell us how that is? Okay. Yes. This is part of that $35 million operating cash flow because we recorded it in the other liability, the long-term liability account. Got it. Okay. Turning to the comms side of the business, you mentioned China smartphones are responsible for a big part of that growth that you've seen. Can you give us a sense of how big that is? What proportion of revenues of the comms business is from these Chinese smartphone wins? I would say it's not as big as the big global customers that we normally serve. The story behind this is that these are actually not new customers. The China customers are not new customers. They've been customers before, but because of allocation, you could say, we chose to prioritize the global business before that. Because now that our capacity has expanded some, especially because of CQ and the JV fab, we've been able to go back to these customers and actually grow our business again. Size-wise, I would say together, they're not as big as the global customer, but they're significant enough for us to mention. We believe that is part of our growth going forward to really be a leader globally in the space. Great. Thank you. I guess speaking of the JV, it's nice to see that hit operating cash flow breakeven. We noticed that the CapEx also increased a little bit meaningfully. Is this the last of the phase I spending? Is this kind of maybe a little bit of preparation for what you plan to do in phase II? Until you announce the plans for phase II, what can we expect in terms of the CapEx going forward for the JV? Sure. CapEx spending kind of fluctuates from time to time, depending on the payment term and when we purchase, and some we need to put down a payment and some at the tail end after quality verification and trial run; we need to pay the last portion of the payment. Right now, we are in the process of planning the phase II expansion. We'll have some flexibility there. As I mentioned before, in the current phase I clean the room; we still have some space there, so we can squeeze in some equipment to solve some bottleneck areas so that we can lift up the total output. Right now, we will provide more details in the quarters ahead. Maybe just a little bit more clarification. Can you give us a sense of how much the JV phase I is being utilized? I know your target in the past was that a JV would help you reach that $600 million run rate, and this quarter and next quarter, you're ahead of that. Where's this excess coming from? Are you able to squeeze more out of the Oregon fab? How much room is left for the JV side? Okay, sure. The overall increase in our production partially comes from the Oregon fab. We increased our product mix and some newer products and are providing higher revenue per wafer. Also some power IC products. You saw we grew quite a bit year-over-year. Those IC products and portions of it related to the IC drivers and those wafers we purchase from third-party foundries, not from our Oregon fab. For the JV fab, yeah, there are still some rooms to go. I would say at this point, we ramped up to, I would say, 2/3 of it or 70% of it. We still have about, I would say, 30% room to go. Great. Thank you very much for the clarification. All right. Thank you. Once again, if you wish to ask a question, please press star one on your telephone and wait for your name to be announced. We have Craig Ellis again from B. Riley Securities. Your line is now open. Yeah. Thanks for taking the follow-up questions. I just wanted to follow up on a few points that we've talked about at different times in the past, team. In the past, the company's mentioned that there could be potential for design wins with follow-on gaming system products. I'm wondering if there's any update to the potential for such. Yeah. The potential is still there. It's still not the timing of when the decision is being made yet; I don't think that will be until probably the middle of the year, the calendar year. Yeah, that's always something that we are preparing ourselves for, and, yeah, we hope to build our gains in sockets or at least gain more share in existing sockets. Right now, there's not much in the news. It's not the timing yet for that. On the gaming card side, I think the company mentioned good participation at the high end of the gaming card line. What's the opportunity for following that up with content and mid-range cards, which I think are rolling out through the first quarter? Sure. I think that's ongoing right now. Some of that was already happening at the end of the last quarter. Yeah, we do plan to participate and as part of the rollout of our customers. Yes. Right now, again, graphics cards roll out for over a period of two years before the next platform is released. In between that time, yeah, they're coming out with more additional models based upon those chipsets. How would you characterize the content differential for AOS between a mid-range and a high-end card, Stephen? There's still a good amount of driver modules being used. The high end can be quite a bit. We're not really quoting the actual dollars, but I would say maybe a half to two-thirds of the BOM content of a high-end card will be in a mid-range card, and that range could be kind of wide. Yeah. Good for you. Lastly, guys, just given the real strong December and the strong above -seasonal March guide, it's great to see those. Really, the question is, with Fab phase II sounding like it's not starting up in fiscal 3Q or 4Q, does that mean that we're looking at a pretty steady, stable revenue profile as we go through the calendar year? Would we be able to see Fab phase II ramp up so that there would be more meaningful sequential growth coming through as we get into the back half? We may have some incremental expansion. I mean, at JV Company. Right now, as I mentioned, the phase I clean room still has some space there, so we'll place some equipment there to solve some bottleneck areas so that we can get some incremental output. I mean, overall, in terms of bigger expansion, again, we need to get the clean room expanded. That will take some time. Got it. Thanks, Yifan. Good luck, everybody. All right. Thank you. Thanks. Bye. We have a follow-up from Jeremy Kwan from Stifel Nicolaus. Your line is now open. Yes. Thank you. Just two quick questions here. The first is, can you give us a picture maybe of your channel inventories, what the situation is there with your distributors? Related to that, what kind of lead times are you quoting to them and quoting to your customers? What's the magnitude, how that compare to last quarter? A quick question on the JV. It looks like you're rolling over some of the debt there. Can you give us any update in terms of the capital plans, whether new financing is needed or where things stand in terms of the JV? Thanks. In terms of our channel inventory. Right now, channel inventory is below the low end of our target. We target a two- to three-month channel inventory. Right now, it is below that low end of the target. Right now, we don't see much channel stuffing at this point. In terms of JV's second phase, yes, we are in the process of doing our planning work. We have some options on the table. We could raise money from the bank and from the market; we'll evaluate all the options there. We will discuss more, I would say, in the quarters ahead. What about the lead times both that you're seeing from your suppliers and that you're offering to your customers? What's the change been? Lead time right now, from our supply side, yes, lead time is getting longer. I mean, reflecting the tightness of the overall market. Our lead time to our customers right now is that they rely on allocation. If we cannot supply, then we'll tell our customers. The lead time, generally, yeah, longer than the normal time, I will say. Thank you very much. All right. Thank you. Again, if you wish to ask a question, please press star one on your telephone and wait for your name to be announced. There are no further questions at this time. I will turn the call back over to the presenters for closing remarks. This concludes our earnings call today. Thank you for your interest in AOS, and we look forward to talking to you again next quarter. Thank you. Thank you. Scott, thank you all. Thank you, presenters. Ladies and gentlemen, this concludes today's conference call. Thank you all for participating. You may now disconnect. Have a great day.