Good day, and thank you for standing by. Welcome to the DZS fourth quarter 2021 earnings conference call. At this time, all participants are in listen-only mode. After the speaker's presentation, there'll be a question and answer session. To ask a question during this session, you'll need to press star one on your telephone. Please be advised that today's conference is being recorded. I would now like to hand the conference over to your speaker today, Ted Moreau, Head of Investor Relations. Please go ahead. Thank you, Catherine, and welcome to the DZS fourth quarter 2021 earnings conference call. Joining us today are DZS President and CEO, Charlie Vogt, and CFO, Misty Kawecki. Yesterday, after market close, we published to the investor relations section of the DZS website our shareholder report for the fourth quarter of 2021 to provide shareholders, prospective shareholders and analysts with market insights, product, business, and financial updates, as well as forward-looking information. On this call, we will provide projections and other forward-looking statements regarding future events or the future financial performance of the company. The company cautions you that such statements are only current expectations and actual events or results may differ materially. Please refer to documents that the company files with the SEC, including its most recent 10-Q and 10-K reports in the forward-looking statement section on the shareholder report that was filed on a form 8-K, as well as being available on the investor relations section of our website. These documents identify important risk factors that could cause actual results to differ materially from those contained in the company's projections or forward-looking statements. Please note that unless otherwise indicated, the financial metrics being provided to you on this call are determined on a non-GAAP basis. These items, together with corresponding GAAP numbers and the reconciliation to GAAP, are contained in the shareholder report referenced earlier. Within the fourth quarter shareholder report, we announced that we will host our Horizons22 Investor and Analyst Day on May 12 at our headquarters in Plano, Texas, that will simultaneously be webcast. I now have the pleasure to turn the call over to Charlie. Thank you, Ted, and welcome investors, analysts and guests. As Ted shared yesterday after the market closed, we posted our quarterly shareholder report, which provides a comprehensive update on our business, financial results, market trends, and our 2022 outlook. The communications industry is in the early phase of a dual infrastructure upgrade cycle, where legacy copper and sub-gigabit class infrastructures for the connected home and business are being rapidly replaced by 10 Gb technologies for symmetrical optical broadband services. In addition, the proliferation of 5G networks is simultaneously creating demand for fiber-connected densification and packet-based networks. This reshaping of the global communications landscape is fueling a wave of experience-driven innovation for high-speed fixed and mobile broadband services for homes, buildings, and cities. DZS is becoming a key enabler of this transformation, providing next-generation broadband connectivity and cloud software platforms that power communication service providers to upgrade their infrastructure and launch new services. Our customers range from the world's most sophisticated advanced fiber and 5G service providers, including 16 of the top 30 global telecom service providers, to agile fiber overbuilders, internet, utility, and municipalities providers. 2021 was a transformational year for DZS as we achieved record-setting orders, revenue, and backlog. We began 2021 with a bold vision, a new go-to-market playbook, and $71 million in backlog. In January of 2021, we executed a $64 million follow-on equity raise, strengthening our balance sheet and eliminating our debt. Throughout 2021, we upgraded our leadership and sales team and accelerated innovation across our five centers of excellence, aligned with our broadband connectivity, connected home and business, mobile and optical edge, and cloud software portfolio, which resulted in the introduction of 29 new products. Strong global demand for fiber connectivity, 5G, and optical edge solutions continued during the fourth quarter. Despite continued supply chain freight and logistics constraints, our fourth quarter performance delivered record-setting orders of $134 million, an increase of 47% year-over-year. Record revenue of $98 million, an increase of 11% year-over-year. A book-to-bill ratio of 1.4, and 47 new customers. For full year 2021, we delivered $504 million in orders, representing a 62% year-over-year increase. Record revenue of $350 million, an increase of 16% year-over-year, and representing $279 million of new orders that were converted to revenue during the year. We closed 2021 with record year-end backlog of $225 million, a 217% increase year-over-year, and a record 105 new customers, including 86 new customers spanning North America, Europe, Middle East, and Africa. As we enable deployment of hyper-fast broadband across an expanding customer base, we are creating new opportunities in the communities our customers reach and enhancing the value-added solutions in the homes and businesses they serve. We continue to expand and differentiate our fixed and mobile broadband solutions with incremental investments in our cloud software portfolio, specifically our network orchestration, automation, service assurance, and consumer experience solutions. In addition to our network and consumer software portfolio released in 2021, we will unveil SD-NOS, our unified software-defined network operating system, in 2022. Our converged edge and cloud software solutions are designed to improve long-term margins and increase our recurring revenue while differentiating our fixed and mobile access networking solutions. Shifting my opening remarks to people, I am pleased to announce the appointment of several industry leaders to new roles at DZS. Each brings a deep history of experience in broadband mobile, optics, and cloud software. Jennifer Yohe joins DZS as our Chief Operations Officer, leading supply chain manufacturing, logistics, and compliance. Jennifer brings three decades of industry experience from Ericsson, MediaKind, Comcast, and Time Warner Cable. Norm Foust joins DZS as our Vice President of Strategic Operations, adding to our talented operations team focused on continued improvement in sourcing, procurement, and manufacturing. Norm has been in the access networking industry his entire career, having led operations at AFC, Calix, and Cyan, which is now part of Ciena. Jeff Burke, who has served as our Chief Marketing Officer for the past two years, transitions to a newly created Chief Strategy Officer role, where he will be responsible for business development, our growing fixed and mobile partner ecosystem, and mergers and acquisitions. Gunter Reiss has joined DZS as our Chief Marketing Officer. Most recently, Gunter led global marketing at A10 Networks. Prior to A10, Gunter spent two decades with Ericsson, bringing to DZS experience in the areas of cloud software, artificial intelligence, cybersecurity, and mobile networks. Finally, Bernd Hesse joins DZS as Vice President of Business Development. Most recently, Bernd was the Senior Director of Standards Marketing and Thought Leadership at Calix, and is currently on the board of directors at Broadband Forum. We begin 2022 with a strong foundation resulting from the strategic investments in people, product, and systems. While we anticipate sourcing, supply chain, and logistics challenges to persist throughout the year, we expect to deliver continued growth, capitalizing on the innovation and customer momentum we created in 2021. We are better prepared than ever to execute on our four growth pillars, specifically the multi-gigabit broadband upgrade cycle, which we expect to last seven to 10 years, the evolution of 4G mobile to 5G and eventually 6G, our relentless expansion into North America and Europe, and the numerous Chinese vendor cap and grow opportunities spanning North America, Europe, Middle East, Australia, India, and the rest of Pan Asia. In closing, our industry has never experienced such a simultaneous push from service providers and pull from consumers as we're experiencing today. Adding to the numerous business and technology drivers, broadband is becoming an essential service with an estimated $100 billion of government broadband stimulus. With that, I'd now like to turn the call over to Misty to walk through our Q4 and full year 2021 financial highlights as well as our 2022 outlook. Misty? Thank you, Charlie, and good morning, everyone. We delivered a very strong Q4 to wrap up a transformational 2021. Total orders for the fourth quarter reached a record $134 million, and revenue in the fourth quarter reached a record of $98 million, an increase of 11% both sequentially and year-over-year, also at the high end of guidance. In Q4, we have successfully capitalized on several of our growth pillars that Charlie mentioned. First, demonstrating our success in the multi-gigabit broadband upgrade cycle, broadband connectivity revenue increased 12% sequentially and 18% year-over-year to $72 million. For the year, broadband connectivity revenue increased 16% year-over-year to $258 million. Second, reflecting on 5G and Open RAN, our mobile transport revenue increased 9% sequentially to $26 million as we benefited from strong momentum by two marquee customers in Japan. On a year-over-year basis, mobile transport revenue declined 6% after strong spending in 2020. We are optimistic about our future in 5G and Open RAN as a result of our collaboration with Rakuten Symphony, and anticipate additional opportunities from this reference design later this year. Lastly, our overall revenue growth has also reflected our success capturing share in North America, a higher margin region. In the fourth quarter, revenue from the Americas, which is dominated by North America, increased slightly sequentially to $28 million or 29% of total revenue. Comparing year-over-year, fourth quarter revenue from the Americas increased 52%, demonstrating we have been successfully diversifying our geographic mix throughout 2021. Rounding out our geographic mix, fourth quarter revenue from Asia increased 38% sequentially and 4% year-over-year to $56 million, benefiting from both our broadband connectivity and mobile transport segments. Revenue from EMEA declined 29% sequentially and 13% year-over-year to $14 million due to the deployment timing of several large projects in the region. Our Q4 adjusted gross margin of 33.6% was within our guidance range and increased 52 basis points year-over-year, primarily due to our strategic investments and geographic diversification decisions directed towards the higher margin North America region. Without the current supply chain challenges and foreign currency exchange during the fourth quarter, we estimate our normalized gross margin performance would have been approximately 39%. In the fourth quarter, adjusted operating expenses were $30 million, which included sales commissions associated with record orders and revenue and a $1 million one-time software license fee. We reported an adjusted EBITDA of $2 million compared to $0.4 million in Q4 2020, and our non-GAAP EPS of $0.05 compared to -$0.06 in Q4 2020. Regarding our performance for the full year 2021, we delivered a record revenue of $350 million, which increased 16% year-over-year and exceeded our original 2021 guidance. Adjusted gross margin for the year improved by 175 basis points to 34.6%, despite increased supply chain, freight, and logistics costs, reflecting initial operational efficiency progress and favorable geographic mix. Adjusted EBITDA more than doubled to $11 million compared with $5 million in 2020, and our non-GAAP earnings per share was $0.27 compared to a loss of $0.01 in 2020. We have a healthy balance sheet with $53 million in cash and no debt. We've improved our financial flexibility through a new strategic global banking relationship with JP Morgan, which includes a $30 million credit facility. Additionally, our board of directors has approved a new S-3 registration statement to replace our existing shelf registration statement that expires in April. Limited component availability over the past several quarters has necessitated increased raw material inventory levels to align with our strong backlog and customer forecasts. Our balance sheet has helped support these supply chain constraints. Annualized inventory turns were 4.5 x during the fourth quarter of 2021, compared with 5.6 x a year ago. Day sales outstanding continued to improve to 81 days in Q4 2021 versus 105 days a year ago. Looking ahead, we have a strong visibility of our opportunities, including record backlog entering the year. We anticipate continued supply chain constraints to persist throughout 2022. Combining typical industry seasonality for the first quarter with supply chain headwinds, we are guiding our first quarter revenue to $75 million-$90 million. We are guiding Q1 gross margins to 33%-34% and expect operating expenses to decline by $1 million-$2 million sequentially to $28 million-$29 million. As a result, we expect adjusted EBITDA between a loss of $4 million and positive $2 million. Elevated backlog and strong visibility into customer demand are fueling our 2022 revenue guidance of $380 million-$410 million, and we anticipate greater customer diversity compared with 2021. We are guiding full year gross margins to 34%-36%. Operating expenses are expected to be in a range from $112 million-$117 million, resulting in our full year adjusted EBITDA between $17 million and $31 million as we benefit from strategic actions implemented over the past year. That completes our prepared remarks. I'd now like to hand the call over to the operator to facilitate the Q&A session. Thank you. As a reminder, to ask a question, you'll need to press star one on your telephone. To withdraw your questions, press the pound key. Our first question comes from Ryan Koontz with Needham & Company. Your line is open. All right. Thanks for the question. Really nice growth in the Americas there. I assume that's dominantly U.S. Can you give us any color on kinda where that's coming from across the, you know, tier one, twos, and threes or, you know, Huawei displacement opportunities? Appreciate that. Thanks, Ryan. Yeah, as Misty said, most of the growth that we saw in the Americas came specifically from North America. Today, most of our North America revenue is made up of tier two and tier threes. It also, and I think I tried to highlight it in my opening remarks, I mean, there's a pretty significant emergence of what we see as the sort of next generation alternative providers in the category of, you know, utility municipalities, fiber overbuilders. The traditional wireless internet service providers are emerging into fiber to the home service providers. We're seeing a great opportunity to participate in those non-traditional, smaller ILEC service providers. Right. I assume that includes, folks like the electric co-ops and power providers, guys like that. That's exactly right. Great. On the gross margins, can you quantify any impact there from supply chain, either logistics or expedite fees, those sorts of things? Yeah. If you remember in Q3, we talked about the fact that if you eliminated, you know, the unforeseen expedite fees and freight logistics and FX, specifically from Japan, our normalized gross margin in Q3 would have been 39%. And ironically, that same margin model would've existed in Q4 as well. If you take out the expedite fees and the elevated freight logistics and the FX specifically in Japan for the yen, our on a normalized basis, gross margin in Q4 would have been 39%. Got it. Great. Thanks for questions. Our next question comes from Christian Schwab with Craig-Hallum. Your line is open. Great. Thanks for taking my question. As far as top line growth at the midpoint of your guidance is up nicely above 10% given the backlog and the growth drivers that you highlight not only in the letter, but quickly in the beginning of the phone call. Did you think that we're maybe now in a position where, you know, I guess, you know, thinking, you know, over the next few years, you know, do we feel more comfortable of returning to a double-digit top line growth? Well, I think if you look at our growth projections for 2022, you know, correct me if I'm wrong, Misty, but I think our range is somewhere between 8%-16%. We're certainly on the high end of our projections for the year, well above 10%. You know, look, I mean, we closed the year with $225 million in backlog. You know, I think the broader range than normal in Q4 as well as in Q1 has a lot to do with just you know, getting comfortable that we can get as much of our backlog out the door. I mean, today, of the $225 million of backlog, we estimate that 75%-80% of it, we could ship ASAP from a customer acceptance perspective. There's, you know, close to $165 million-$170 million that we could ship, you know, from a customer perspective today if we had access to all the components that represent the solutions that we're selling. When the supply chain situation hopefully eases at some point, some people hoping, maybe as soon as the second half of this year, when you're having discussions with your clients, you know, kind of given the recent shocks to the system and over the last few years, do you think that your business will be able to maintain, you know, strong visibility and backlog? Or do you think that customers will quickly revert to previous buying patterns? Well, I don't think we're gonna get back to eight to 12 lead times anytime soon. In fact, you know, we have been, you know, pretty cautionary about everyone's expectations with regards to supply chain. I mean, you know, I've got to give my team a lot of credit. You know, I think we did a fantastic job navigating what I think was almost as bad as it's gonna get in 2021. The fact that, you know, we continued to grow throughout the year with record orders and revenue speaks volumes of what we're doing on the supply chain side. I think there's something that's very significantly different as we enter 2022 and, you know, we entered 2021 and even midyear 2021, and that is the allocation of wafers to our semiconductor partners is much more clear today. Their alignment, you know, with their partners is much clearer and much more defined than it was in a pretty dynamic environment, you know, when, you know, most of the manufacturing companies didn't know whether or not they were gonna have employees in the factories, you know, manufacturing things from one day to the next. I think with, you know, with the vaccines that have now been implemented in virtually all of the countries that we're building products, we've certainly seen a stabilization of the workforce. That certainly is giving us a lot more assurance that we'll see less disruptions in unexpected manufacturing throughput than what we saw, I think, you know, throughout 2021. Great. Thank you for that. No other questions. Thank you. Great quarter. Thanks, Christian. Thank you. Our next question comes from Dave Kang with B. Riley. Your line is open. Thank you. Good morning. My first question is regarding supply chain situation. How much revenue was impacted? You talking about in Q4? Yeah, Q4. Well, I think I was saying, you know, we had about 75%-80% of the backlog and the order flow, you know, pre-Q4 and into Q4, that without the headwinds, I mean, we had an opportunity to ship $10s of millions more in Q4 than what we were able to ship. Got it. Regarding your comments on gross margins, it would have been 39% for both third and fourth quarter without supply chain costs. Yet you're saying you expect to exit 2023 at 40%. Aren't you being overly conservative? I mean, you're almost at, you know, 40% already. Shouldn't 40% occurs much earlier than, you know, fourth quarter next year? I mean, look, we spend a lot of time internally, you know, thinking through margins and, you know, the dynamics that have occurred over the last six months with, you know, an entire ecosystem of downstream component suppliers who have raised prices on our entire industry. You know, as I think I've, you know, articulated over the last two quarters, we've taken the position to react and communicate effectively with our customers, partner with our customers to find ways to find a middle ground and raise prices where it mutually makes sense. That began in middle of October. We are still working through a lot of the price increases in this first quarter, especially with some of our large tier ones, where, you know, we've got, you know, pretty comprehensive contracts that have to be essentially renegotiated. We expect that the majority of our top 25 customers that represent, well, let's call it, you know, 75% of our revenue, to be completed, by the end of this quarter. You know, our factors in really thinking through our normalized long-term margins, for me, is not having a blip of, you know, 40% margins one quarter and the next quarter 35%. You know, I think the projections that we gave, you know, going back to our Q2 shareholder letter, was a target margin model that really represented what we felt at the time, and this was before price increases, that we could get to a steady state normalized 40% margin by the end of 2023. We're still sticking by that. Obviously, the 39% in Q3 and Q4 certainly gives us, you know, and demonstrates, you know, to us internally that we might be able to get there sooner. We're not prepared to articulate that externally until such time that we can replicate that, you know, on a sustainable basis. Got it. My last question is regarding RDOF. Regarding your 2022 revenue outlook, how much of RDOF revenue is factored in? How should we think about that going forward beyond you know, beyond this year? Yeah, I mean, you know, if you look at, I think I've tried to explain this, you know, to try to level set everyone that's following the industry. You know, if you look at the RDOF funds, you know, the $20 billion that's been allocated, you know, it's a 10-year path. There's been about $2 billion of that $20 billion that's been released so far. Of the $2 billion, figure somewhere between 8%-10% gets allocated to access. For us, I mean, yes, a lot of our customers have applied for and have been awarded RDOF funds. There's an aggressive path with a lot of our existing customers that are certainly pursuing the $42 billion bipartisan broadband bill. There's a lot of movement there. Remember, we also are, you know, participating heavily in the U.K. and Germany, and there's, you know, $7 billion of government funding in the U.K. with the Project Gigabit program. There's $13 million or $14 million in Germany. There's funds all over the world that, you know, we're working very closely with our customers. While we don't make it, you know, our investment thesis and why we don't, and why, you know, I personally don't amplify the RDOF fund so much, I think that the overall dynamics of what's going on in the industry right now and the drivers in the industry go way beyond, you know, broadband stimulus. I mean, the demands that are being placed on service providers and the opportunity that service providers have today, independent of any funding, is significantly greater than it's been in the last decade. I think that it's, you know, in a good way, a perfect storm in the sense that there's financial funds that are supporting a lot of the, you know, technology and consumer-driven demands. You know, if I look at the majority of our customers in the U.S., for example, they're all participating in one way or another in the funds that are available to them. Got it. Thank you. Thank you. Our next question comes from Paul Essi with William K. Woodruff. Your line is open. Thanks for taking my question. This is kind of a follow-up on Ryan's question, but maybe you can help us understand where all this business is coming from because you guys are putting a lot of focus on North America and Europe, yet you've had pretty entrenched competitors there that have, you know, pretty formidable. If you look around, the space has got strong orders everywhere. Is there just, maybe this is a big picture question, is there just so much business out there that it's overwhelming the space? And are we possibly in a land grab of sorts? And then also, how much of this business, I think you may have answered part of my question earlier, is due to the stimulus that is taking place? when these funds actually begin to flow, do you see another leg up in this demand? I've got a quick follow-up. I appreciate that we have about 750 active customers around the world, and appreciate that in most networks, taking aside the small 5,000 line service provider, which we don't spend a whole lot of time in that particular market. Most of the service providers have at least two access networking providers that are participating in the network. There is growth that multiple companies are having across similar landscapes. The growth that we're seeing across the entire globe, you look at Korea, where we do business with all three of the incumbent operators in Korea. They're going through a massive upgrade cycle from sub 1 Gb to 10 Gb. You know, we're seeing the same, you know, kind of growth projections across the Pan Asia region. You know, in Japan, you know, we've been really fortunate to be on the leading edge with the upgrade cycle from 4G to 5G and with Rakuten, their, you know, their proliferation into a new architecture on Open RAN, and now with Rakuten Symphony having spun off and Tareq and team managing and running that company, you know, you know, they're in, I think 15, 16 trials. We're part of their reference design. I think when you look at DZS, you have to look at us a little differently than maybe, you know, Adtran and Calix and some of the others in the fact that, you know, we've got three, you know, pretty distinct portfolios that are participating in the management of this new demand cycle, whether it's a, you know, a wireless operator moving aggressively from 4G to 5G, whether it's a wireline operator that's carrying a lot of wireless spectrum from a transport perspective, or it's an access service provider that's providing, you know, an upgrade path from sub-1 gig in Europe. I mean, if you look at Europe, and we put it in the shareholder report to just try to help people appreciate, but most of the European countries are sub-10% fiber. The growth opportunity in the investment cycle that is underway across a lot of the European countries is gonna be pretty significant for a long time just because of how far behind a lot of those countries are. Look, I mean, I would tell you that we wish that a lot of the Huawei replacement projects were moving faster, but most of the Huawei replacement projects are all tier one and tier twos, and that whole process just takes time. I would say that we feel that we're involved in most every one that is looking to cap and grow some of the Chinese suppliers. The opportunity, in my opinion, goes way beyond the broadband stimulus funds. I think the demand is there, and I think the demand is gonna be there for a number of years because it takes years to upgrade these networks. I mean, it's not a one-year or a two-year upgrade cycle. The upgrade cycle takes many years depending on the size of the service provider. Do you expect the level of demand to stay at this level going next three, four years? We do. You know, 'cause if you analyze what has to happen. Once a service provider decides to upgrade their network, you know, they've got, you know, for the most part, a set aside number of CapEx dollars that they're going to invest in the different parts of their network. You know, depending on the size and scale of the company, you know, incumbents certainly have a multi-year upgrade cycle. You know, what's exciting to us is also some of the new emerging service providers who are taking share. I mean, you know, I think Ryan had made mention, you know, about the co-ops and the utility companies, the co-ops, the state and local governments and municipalities, I mean, they're all becoming their own, you know, they're all participating in this sort of take share, you know, sort of environment. You know, when you're entering a new market and a new business, you have to build the network independent of what your ultimate take share is gonna be. The initial build-out cycle for a lot of these new emerging service providers and the wireless service providers who are moving into the fiber-based service provider marketplace is gonna take a number of years. You know, what their percentage of the market ends up being is something to be determined, but in the meantime, you know, there's a pretty hefty, you know, capital spend that's gonna take place from our perspective for a number of years. There's also a lot of private equity that's coming in and supporting a lot of our emerging customers. I mean, we announced, you know, a pretty big strategic partnership with a company called Hosted America, for example. I think they've, you know, allocated $1 billion to fiber over the next several years. There's a lot of that that's going in. It layers onto the existing incumbency, and again, not to mention, you know, the densification, the magnitude of wireless traffic that is being carried by cable operators and fixed wireline operators, and we're participating in that business, you know, with our mobile and optical transport portfolio. Thank you. That was very helpful. One last question. Last spring, you had mentioned about 90% of your orders were coming from pre-existing customers. How has that mix changed today, and how do you see that going forward? Well, as we mentioned in the shareholder report and in my opening remarks, you know, we added 105 new customers this year, 86 of which stem from North America and Europe specifically. Oftentimes, you know, when you're landing new customers, you know, the initial orders oftentimes, depending on the project, can be smaller because you're in that initial rollout phase. You know, we're hopeful that the new customers that we added in 2021 will participate in a much greater way in 2022. That said, you know, when we build our forecast, our forecast is always built based on as much known projects and, you know, formalized rollout schedules, you know, whereas, you know, even this year, I mean, we went into this year with an outlook that was, you know, lower than what we ended up finishing the year on. If I were to tell you what the delta was, most of it came from new customers that we secured in 2021. Okay. Thank you very much. That's all my questions. Thank you. Thank you. We have a question from Tim Savageaux with Northland Capital Markets. Your line is open. Hey, good morning. Hey, Tim. Hey, Charlie. Congrats on the results, especially the strong orders and the double-digit growth outlook. That was kind of gonna be the focus of my question. You've mentioned a couple of metrics here that kind of play into that. You know, overall, looks like, you know, to the extent you went into 2021 with what ended up as 20% of your year in backlog, you know, that metric's now closer to 60. I think you talked about kind of a book-to-ship metric in the year that you're implicitly guiding down something like 40%. In looking at where you're guiding, you know, and also kind of touching on the more customer diversification that was also mentioned on the call, you know, what kind of buckets can we put the dynamics around the guidance in, and those buckets might be some moderation amongst your top customers in Japan that you're expecting, customers ordering farther out, although probably not more than a year out, or, you know, extended lead times on your part, maybe bucket number two and bucket number three, you know, some degree of conservatism given the environment we're in. You know, trying to get behind that 20%-60% metric in terms of the backlog. Thanks. Yeah, no, it's a great question, and it's a fair question. We anticipated that there would be questions along these lines. I actually purposely went out of my way to sort of articulate that in 2021, you know, we converted $279 million of new orders to revenue in the year. In the environment that we were in, that's pretty amazing. One would ask, with $225 million of backlog, of which most of it is scheduled to ship in 2022, why aren't you guiding higher than the high end of the range, especially since you were successful in converting as much new orders into revenue in 2021? I think, you know, it's, you know. I don't know if I would say, Tim, it's just our conservative nature. I think that, you know, we need to make sure that, you know, some of the large projects that we have a lot of visibility to materialize in the first half of this year. You know, we think the second half of this year could be materially stronger. You know, I think that the guidance that we're providing is, you know, what we feel like, you know, especially with the allocation of semiconductor chips and so forth, that. I mean, that's the real guiding principle right now, while I think we've got a great relationship with Broadcom and others, and you know, we've had a lot of success in 2021. You know, the question is if we oversize orders in 2022, you know, are we gonna be able to have the same success in book-to-ship revenue in the second half of the year based on what feels like a constrained allocation across the entire sector. If that alleviates, you know, it seems like every time we're on the phone with some of our downstream component suppliers, they're feeling like things you know are getting a little bit better, their visibility is getting better. You know, there's less people not coming into work to manufacture products. You know, you'll see us guide upwards, you know, when we have that better visibility. Right now, we just don't feel comfortable, you know, guiding more than what we have, you know, despite the fact that we have a pretty significant backlog, most of which is scheduled to ship this year, just because we don't know whether or not our downstream supplier partners can actually support us on the new orders. Great. Thanks for that. Just to follow up briefly, sorry, on one of those elements, which is on the comments about increasing customer diversification. I guess I wanna kinda dig into that a little bit more. I mean, on the face of it, you know, it's likely that you mean you're gonna grow the rest of the business larger, you know, at a greater rate than you expect out of your two big customers in Japan. Anything more to that in terms of other customer categories emerging as major pieces of the business? You know, maybe, you know, the U.S. rural or any other tier ones that you see stepping up to impact that customer diversification dynamic. Thanks. I mean, we, you know, we have 53 new customers in the U.S. in 2021. Most of those are, you know, in the tier two, tier three category. When we acquired Optelian, it certainly gave us an entry into, you know, some tier ones like AT&T, and there's a lot of activity that we're, you know, pursuing with many tier ones around the world. Most of the Huawei replacement projects, as I said earlier, are with the large tier one and tier twos. Those decisions tend to be binary, although I certainly feel like, you know, DZS is in a really good place. You know, the feedback that we're getting from some of the large customers that we've been knee-deep in proof of concepts that have evolved into trials has been very good. But, you know, look, until we sign a contract, until we get an order, it's hard for us to forecast really big numbers because, you know, it's binary. You know, the forecast that we're sharing in this report and what we're sharing here on this call is based on what we feel is very high probability. But the wild card this year and into next year is the success that we may have with some of the projects that we've been working really hard on over the last year. Okay. Thanks very much. Thank you. That's all the time we have for questions today. This concludes today's conference call. Thank you for participating. You may now disconnect. Everyone, have a great day.