Good afternoon, and welcome to Navitas Semiconductor's fourth quarter 2025 financial results conference call. At this time, all participants are in a listen-only mode. At the conclusion of today's conference call, instructions will be given for the question and answer session. If anyone needs assistance at any time during the conference call, please press the star key followed by the zero on your touchtone phone. As a reminder, this conference call is being recorded today, Tuesday, February 24, 2026. I would now like to turn the conference over to Brett Perry of Shelton Group Investor Relations. Brett, please go ahead. Thank you, operator. Good afternoon. Welcome to Navitas Semiconductor's Fourth Quarter 2025 Financial Results Conference Call. Joining us on today's call are Navitas President and CEO, Chris Allexandre, CFO, Todd Glickman. I'd like to remind our listeners that the results announced today are preliminary, as they are subject to the company finalizing its closing procedures and customary quarterly review by the company's independent registered public accounting firm. As such, these results are unaudited and subject to revision until the company files its Form 10-K for its year ended December 31, 2025. In addition, management's prepared remarks contain forward-looking statements, which are subject to risks and uncertainties, and management may make additional forward-looking statements in response to your questions. The company claims the protection of the safe harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ from those discussed today, and therefore, we refer you to a more detailed discussion of the risks and uncertainties in the company's filings with the Securities and Exchange Commission, including Form 10-K and Form 10-Q. In addition, any projections as to the company's future performance represent management's estimates as of today, February 24, 2026. Navitas assumes no obligation to update these projections in the future, as market conditions may or may not change, except to the extent required by applicable law. Additionally, in the company's press release and management statements during this conference call will include discussions of certain measures and financial information in both GAAP and non-GAAP terms. Included in the company's press release are definitions and reconciliations of GAAP to non-GAAP items, which provide additional details. For those of you unable to listen to the entire call at this time, a recording will be available via webcast for 90 days in the investor relations section of Navitas website at www.navitassemi.com. Now it's my pleasure to turn the call over to Navitas President and CEO. Chris, please go ahead. Good afternoon, we appreciate you joining us today. I'm pleased to be hosting my second quarterly conference call as Navitas CEO. We closed out the year with a productive fourth quarter as we continued to accelerate our pivot to Navitas 2.0 and align the entire organization to focus on addressing high-power markets. In fact, it has been energizing five months that I joined the company, and my conviction in our industry-leading GaN and high-voltage SiC solution has only grown stronger, and that our strategic pivot is on the right path to successfully scale the company to the next level. Before providing comments and updates specific to the quarter, I want to briefly reiterate several key elements on our previously communicated strategic transformation and our vision to what we call Navitas 2.0. First, we're accelerating our pivot away from the company's historical, mobile, and low-end consumer business to focus on high-power markets, where our GaN and high-voltage SiC products can deliver real differentiation and value through higher density, efficiency, and reliability. We are laser-focused on four high-growth, high-value market segments: AI data center, energy and grid infrastructure, performance computing, and industrial electrification. Collectively, these segments represent a serviceable addressable market of $3.5 billion by 2030, split roughly 50/50 between GaN and high-voltage SiC, with a combined CAGR of more than 60%. Although the largest portion of this $3.5 billion TAM are within AI data centers and grid energy infrastructure, I want to emphasize that AI is a shared underlying catalyst across our four target markets, driving a rapid acceleration in terms of re-architecture infrastructure, customer expectation, and the adoption of the new high-voltage technology. We're leveraging our proven 10-year track record as a pioneer of GaN at scale, having shipped over 300 million unit GaN devices, coupled with the deep expertise in system and application, as well as our leadership in high-energy, high-voltage SiC through our GeneSiC technology. The end goal of Navitas 2.0 strategy transformation is straightforward: to rapidly penetrate, secure expanded customer engagement, and achieve scale, resulting in a more sustainable, consistent, and future profitable growth for Navitas. Turning to a brief recap of our fourth quarter results. As initial progress of our pivot to Navitas 2.0, we've completed a realignment of the entire organization, both in term of skills and geography, to focus on addressing high-power markets. This include fully redeploying organizational resources, roadmap, and focus accordingly. Revenue in the fourth quarter came at the high end of our guidance range at $7.3 million, coupled with the fourth quarter being the first time that a high-power market represent the majority of our total revenue, we remain confident that the fourth quarter was the bottom. Notably, our mobile business declined sequentially from a majority of revenue in Q3 to less than 25% of total revenue in Q4. We expect mobile to continue going down as a percentage of quarterly revenue and become insignificant by the end of 2026. Consistent with our comment last quarter, we're guiding to quarter-over-quarter growth for Q1 and anticipate continued sequential growth throughout 2026, driven by increasing sales traction in the high-power market. Over the last several months, as part of my expanded meetings with customers and partners, I've seen numerous proof points that the new technology adoption is accelerating. AI is a catalyst, changing the game across markets. Existing technologies and architecture are no longer sufficient. The industry is moving faster than it ever has in terms of technology adoption, with customers clearly moving to take advantage of GaN and high voltage SiC technology. As previously mentioned, AI is a primary catalyst that's driving momentum and broadening the adoption of high-power solution across all four of our target high-power markets. Every interaction with customers has confirmed the market is undergoing secular change, and that AI is sparking a revolution we're focused on. This impending inflection point in architecture, design, and technology adoption is highly favorable to GaN and high-voltage SiC, putting Navitas 2.0 at the center of this revolution. As outlined in our last call, the Navitas 2.0 transformation to a high-power company is being backed by decisive actions and grounded in four pillars that include market focus, technology leadership, operational efficiency, and financial discipline. Let me now review with you the measurable progress that we've made in each of these areas since our last earning call. Starting with market focus. As I mentioned earlier, we're sharply focused on the high-power market of AI data center, energy and grid infrastructure, performance computing, and industrial electrification. In AI data center specifically, Navitas is uniquely positioned as one of the leaders in GaN and high voltage SiC, supporting all major AI data center architectures. The density of compute power, which require a higher efficiency and power density, is driving the acceleration of GaN in next generation data center. During the quarter, we've accelerated samplings of product and solution delivery with our 100 V GaN and 650 V GaN targeted at AI data center, 800 V HVDC, and 48 V IBC HV buck architecture. Samples are currently available in different package types and are being evaluated by more than a dozen customers. More recently, on February 9, we announced our breakthrough 10 kW DC-DC design platform. This is an all GaN, 10 kW, 800 V- 50 V DC-DC platform, which employs advanced 650 V and 100 V GaN fab cells in a three-level half-bridge architecture with synchronous activation. This platform has delivered a 98.5% peak efficiency, which we believe is the best in the industry so far. This full-brick package design platform achieve leading power density and support ±400 V VDC standard for AI data centers. This is a great example on how Navitas is able to leverage our 10 years of GaN and system expertise. We're setting the benchmark for scalable, high-performance AI infrastructure. Our product portfolio enables unprecedented power density to support rapid, large-scale expansion of AI data center, while also allowing hyperscalers and OEM the ability to maximize compute density and reduce energy loss in support of deploying next generation AI workload. On the SiC front, we are very active supporting customers in their AC-DC PSU designs for current AI data center architecture with our latest 1.2 kV SiC devices, leveraging our latest sixth generation GeneSiC technology announced earlier this month. This product bring improved figures of merit and best-in-class thermal behavior, the top side cooling D2PAK package that are being well received by customers. In the grid and energy infrastructure market, the energy grid is in the process of a major transformation and modernization to support the AI catalyst, but also overall growth in energy demand. This is not a short cycle, but rather a multi-decade, secular and sustainable trend that will transform grid and energy infrastructure. As a result, we are seeing an acceleration in the design cycles here as well. We are leading this effort with our new ultra-high voltage 2.3 kV and 3.3 kV SiC module, and on map to even higher voltage. We are now in evaluation with over 50 OEMs globally, mostly in the U.S. and Europe, with notable acceleration in the U.S. In performance computing, we continue to see increased GaN adoption in high power chargers and power units for high-end computing and AI notebooks, replacing silicon. We have more than 15 projects in production and approximately twice that number in designing across 170 W, 200 W, 250 W, 240 W, and up to 360 W with leading global computing companies. We expect to continue gaining momentum in the performance computing market throughout 2026. Lastly, in industrial electrification, we're starting to see GaN and high voltage SiC traction in high-performance applications, spanning industrial pumps and AV equipment electrification like DC-DC converters and megawatt chargers. Turning to our second pillar, technology leadership. We continue to prioritize innovation across GaN and high voltage SiC technology, including both product and solution, supported by expanding customer engagement and co-development project. One example of this innovation and system expertise was our breakthrough 10 kW DC-DC platform that I just discussed previously. Another highlight was our announcement during the last quarter of our 2,300 V and 3,300 V ultra high voltage SiC module portfolio, which we have accelerated sampling to more customers. These modules feature proprietary trench-assisted planar technology for AM scalability, avalanche robustness, and performance in mission-critical applications across grid-tied infrastructure, energy storage, and megawatt scale fast charging. These products are available in SiCPAK, G+ power modules, discrete packages, and Known Good Die format with extended AEC-Plus reliability testing. As mentioned earlier, we announced last week our Gen five technology and upcoming new 1.2 kV SiC D2PAK product targeting PSU AC-DC for AI data centers. Our new Gen five SiC technology continues to improve the figure of merits of our leading Gen six technology. It leverages our trench-assisted planar, TAAP architecture, best-in-class thermal behaviors, and top side cooling in D2PAK. We're now sampling our first new 1.2 kV Gen five SiC product to multiple OEM and ODM, designing high power PSUs and AC-DC for AI data centers. On our third pillar, operational efficiency, we have taken actionable steps to create a more streamlined and rebalanced geographic SiC deploy organization. We have been receiving strong employee buy-in and releasing tangible benefits from these efforts. On November 20th, we were pleased to announce a long-term strategic technology and manufacturing partnership with GlobalFoundries to accelerate GaN technology design and manufacturing in the United States. This partnership enables secure, scalable solution for our target high power market and ensures that Navitas can deliver the performance, efficiency, and scale our customer demand. It also provides Navitas the opportunity to manufacture our solution in critical and national security applications in U.S. Development began a few weeks ago, and both companies are deeply collaborating, with production expected to begin later in the year and accelerate in 2027. Over time, we expect to transition to 8-inch in order to lower product costs and increase scale. During the quarter, we executed action to restructure and optimize our go-to-market strategy. This included significant consolidation of distribution channel partners from approximately 40 to less than 10 distributors. We have the ability to scale and are well suited for serving high-power market while removing previously mobile-centric distributors. Our fourth pillar, financial discipline, centers on resource realignment in support of our focus on high-power markets. This includes a very targeted 19% reduction in headcount in the fourth quarter, offset by realignment action to support the Navitas 2.0 shift, including hiring new employees well-equipped for high-power market, in particular within the United States. As evidenced by our fourth quarter revenue mix, we have made tremendous progress. We also brought in new additional leaders with skills in sales and marketing, R&D, and operation, with a focus on enabling stronger execution. These collective actions focus the entire company on high power market and provide a foundation for efficient and effective execution going forward. Even with a larger market opportunity, our resource realignment allows us to efficiently focus our quarterly spend on the high power market. As a result, we're targeting to maintain operating expenses flat throughout the coming year. We also expect to drive gradual margin expansion throughout 2026 through improving scale and mix of high power business. Lastly, to further strengthen our balance sheet and fund future operation, we completed a private placement of common stock in November with net proceed of approximately $96 million, contributing to a quarterly end cash balance of $237 million. This proceeds further support our Navitas 2.0 strategy, accelerating our transformation and funding working capital for scalable growth and long-term value creation. In closing, I am very pleased with the overall progress we achieved in a relatively short period of time. Speed is a fundamental element of our company's culture and is clearly working. We are positioning Navitas 2.0 as a high-power company, sharpening our focus and execution to enable scalable growth. Looking ahead, we anticipate a return to top-line sequential growth starting in the first quarter, fueled by increased revenue from high-power markets. When combined with the benefit of our optimized cost structure, streamlined go-to-market approach, and accelerated product roadmap, we're also positioned to achieve gradual improvement in gross margin and bottom-line results over the coming year. I'm incredibly proud of the team's dedication, hard work, and agility in delivering to Navitas 2.0 vision. I also want to thank our customers for their support to our new strategic direction, as well as ongoing contribution to mutually beneficial collaboration partnership. I'll turn the call over to Todd to review our fourth quarter and full year results, as well as our first quarter guidance. Thank you, Chris. In my comments today, I will take you through our fourth quarter and full year 2025 financial results, and then I'll walk you through some of the important Q4 achievements and market dynamics, as well as our outlook for the first quarter 2026. I will then return it to Chris for final remarks before we take questions. Revenue in the fourth quarter of 2025 exceeded the high end of guidance at $7.3 million, compared to $10.1 million in the third quarter of 2025. As expected, revenue for the quarter reflects our strategic decision to deprioritize our low power, lower profit, China mobile and consumer business, as well as our efforts to streamline our distribution network to align our focus on high-power markets. As Chris mentioned, our high-power markets represented a majority of our quarterly revenue for the first time in the company's history, with mobile declining to less than 25%. This is a very important milestone and representative of our strategic shift. As mentioned before, we believe that Q4 represented the bottom for revenue as our strategic actions support driving increased contribution from our high-power business going forward. Before addressing gross profit and expenses, I'd like to refer you to the GAAP to non-GAAP reconciliations in our press release. In the rest of my commentary, I will refer to non-GAAP measures. I would also like to point out that our GAAP results for the fourth quarter includes a $16.6 million restructuring and impairment charge that consisted of approximately $10 million of distribution contract terminations, $4 million of fixed asset impairments, and $2 million of workforce reduction expenses associated with realigning the entire organization and distribution channel to focus on addressing high-power markets. Of the $16.6 million restructuring and impairment charge in the quarter, $3.8 million was non-cash related items. Gross margin in the fourth quarter was $38.7 million, which was flat sequentially with the prior quarter, reflecting the ability to maintain our margin profile despite the lower quarterly revenue. At these revenue levels, we do not yet have the leverage to overcome our fixed costs. We expect this to improve as we further grow revenue from high-power markets. As mentioned in our last earnings call, we expect to deliver expanded margins as we pursue a mix change towards higher-power markets and away from mobile and low-end consumer. During the fourth quarter, we executed on a 19% workforce reduction, mostly deployed to mobile and consumer, and an organizational realignment towards U.S. high-power customers and markets, thereby reducing operating expenses sequentially from $15.4 million - $14.9 million. This is part of our strategic plan to realign company's resources to the Navitas 2.0 focus. Operating expenses were comprised of SG&A expenses of $6.8 million and R&D expenses of $8.1 million. These expense levels align with our cost reduction targets. The 4th quarter of 2025 loss from operations was $12.1 million, compared to $11.5 million in the third quarter of 2025, as the reduction in operating expenses did not fully offset the decrease in revenue. Our weighted average share count for the fourth quarter was approximately 222 million shares. For the full year 2025, revenue was $45.9 million, compared to $83.3 million in 2024. Gross margin for the full year was 38.4%, compared to 40.4% last year. 2025 operating expenses were $63.6 million, compared to $83.4 million in 2024. The full year loss from operation was $46 million versus $49.7 million last year. As Chris mentioned, the fourth quarter represented the bottom in quarterly revenue. We expect to return to top line sequential growth throughout 2026 as we continue our transition to high-power markets. Turning to the balance sheet, accounts receivable was down to $3.6 million from $9.8 million in the third quarter, reducing our DSOs to 45 days. Inventory decreased to $13.3 million from $14.7 million last quarter. Cash and cash equivalents at quarter end were approximately $237 million, reflecting net proceeds of approximately $96 million from our completed private placement of common stock in November 2025. The company continues to carry no debt. Our balance sheet remains very strong as we exit the year with a high level of liquidity and improved working capital position. Moving to guidance for the first quarter of 2026. We expect revenue to increase sequentially to between $8 million and $8.5 million. This represents the first quarter-over-quarter growth since the company's pivot. As I just mentioned, we expect sequential growth to continue throughout the year, driven by increasing revenue contribution from high-power markets. Gross margin for the first quarter is expected to be 38.7% ±25 basis points. We continue to anticipate the technological innovations to bring to high power, high growth markets will result in progressive expansion of future gross margin. Turning to operating expenses. We anticipate operating expenses to remain approximately $15 million for the first quarter. We expect to continue to allocate resources and expenses as we redeploy company resources towards higher power, customer, and markets, particularly within the U.S. This redeployment of resources is expected to offset the strategic downsizing of our facilities to result in flat operating expenses. For the first quarter, we expect our weighted average share count to be approximately 230 million shares. In closing, we are pleased with our initial progress and accelerated pivot to Navitas 2.0, as evidenced by high-power products representing the majority of our quarterly revenue for the first time. We expect to increasingly benefit from the broadening adoption of our GaN and high voltage SiC products in targeted high-power markets. Together, with our recent actions to reallocate resources, optimize operational efficiencies, and restructure distribution channels, we believe that Navitas is on a path to deliver improving margins and bottom-line results. I'd now like to turn the call back to Chris for some final comments before opening the call to questions. As we close today's call, I want to address one additional matter. After an extraordinary 10 years of dedicated service, Todd has decided to step down as CFO to pursue other opportunities. He has been an invaluable partner to everyone in the company, bringing financial discipline, strategic insight, and weathering integrity that helped steer us through periods of both growth and challenges. Todd has also been a great partner over the last six months, helping to pivot and transition the company to Navitas 2.0. On behalf of the entire board and executive team, I want to extend our gratitude for all of his contribution over the past decade. We have strong financial organization in place, and Todd is fully committed to assisting in a seamless transition until his successor has been made. We expect to communicate in the coming weeks regarding Todd's replacement and Navitas' new CFO. We enter in this new chapter with confidence in our strategy, our momentum, and our ability to continue delivering long-term value for our shareholders. Thank you again for joining us today. Operators, you might now open the call to questions. Thank you. We will now begin the question and answer session. If you have dialed in and would like to ask a question, please press star one on your telephone keypad to raise your hand and join the queue. If you would like to withdraw your question, simply press star one again. If you are called upon to ask your question and are listening via speakerphone in your device, please pick up your handset to ensure that your phone is not on mute when asking your question. We do request for today's session that you please limit to one question and one follow-up question and queue for any additional questions. Thank you. Our first question comes from the line of Kevin Garrigan with Jefferies. Your line is open. Yeah. Hey, Chris and Todd. Congrats on the results. Todd, best of luck on your next path forward. Hey, can you guys just walk us through how each of the high-power end markets performed in Q4 and how we should think about the trajectory for each of those markets in Q1? Yeah. Well, obviously, you know, our quarter on quarter growth in revenue was due to the high-power markets, so they are performing well. We're not gonna sort of break out the high-power markets at this time, but we do expect all of them to be performing on a go-forward basis as mobile becomes immaterial, as move through the year. Okay, got it. As a follow-up, can you just update us on the progress of the 800 V architecture opportunity, and can you give us a sense of a timeline on customer decisions? Hi, Kevin, this is Chris. As we talked last time, you know, there's a lot of work going on between us and the hyperscalers. you know, not only one, but multiple of them on the adoption of the 800 V HVDC. We sampled, as we mentioned in the press release and in the script, some of the new product that will be used in this type of architecture. We also announced a leading edge, you know, 800 V- 50 V DC-DC brick that demonstrate the performance we can get with those product. there's a continuation of collaboration. it's a bit too early to kind of, you know, tell you when this will be confirmed, but I think we are getting closer and closer with our customers. Okay, great. I appreciate the color. Congrats again on the results. Thank you. The one thing I would add, Kevin, is, you know, everybody refers to the 800 V HVDC as a step function for power content in the AI data center, and this is true, especially with the adoption of GaN replacing silicon as you move to the 800 V HVDC, right? I would outline that in AI DC, and you heard it from multiple vendors, is that there is an acceleration of demand also in using the classic architecture, which is AC-DC, right? Using SiC, we see, you know, a growth throughout the year ahead of the step function with GaN in HVDC. Our next question comes from the line of Kevin Cassidy with Rosenblatt. Your line is open. Thanks for taking my question, and congratulations on the progress. Just, as you mentioned, you're working with the hyperscalers. Are you working directly with them? Would they be building their own power supplies, or it is that gonna be a pull from the current power supplies suppliers to the hyperscalers? Kevin, it's actually all of the above, okay? The hyperscalers partially two are driving the new architecture, right? Both in terms of what they expect, in terms of density and power level in the AC-DC PSUs, as well as the 800 V, either 50 V or even lower voltage, you know, HVDC architecture, right? We don't work only with the hyperscalers. If you think about PSU, which is, you know, clearly designed in OEMs and ODMs that are serving those hyperscalers, and if you look at the HVDC, a lot of these are our classic merchant power companies serving the hyperscalers, also doing designs on this new architecture. We work with everybody. I would tell you that the drive or the change of the architecture comes from the U.S. and the hyperscalers, but a lot of the OEM and ODM in Taiwan, in China, but also in the U.S., are driving that. As you know, we just announced this board, right, which I mentioned, which was basically a co-development with a customer. That's basically to showcase the level of efficiency you can get by using GaN on the primary side and GaN on the secondary side in a 800 V- 50 V` DC-DC brick. You're gonna see more of those reference implementation in the future as well. Okay, great for that. Thanks for that detail. Have any of your customers or the hyperscalers, you know, given you an idea of when that inflection point would be, of when they start doing the installations? I mean, the thing I would say is, as I said just earlier on, Kevin's question, there are two stream, if you prefer, of the AI data center growth. Number one is more data centers, more power, and that drives more PSUs, higher power PSUs, and that drive the growth in SiC, which we are seeing throughout 2026. When it comes to the 800 V HVDC, which I think is your question, when there is a discontinuity and you cannot use silicon anymore on the primary side because you are 800 V and you have to move to a high voltage GaN, this is really driven by not the GPU change, but the rack architecture change. You compact more GPUs into a single rack and you get to megawatt rack, you cannot get the power density and the efficiency with silicon, and that's the discontinuity. I would say, as we said before, this is really about 27. Will GaN be used slightly earlier? It could. There is a case where you can use GaN in the 48 V IBC, replacing silicon, as I mentioned in the script, where GaN brings, you know, higher efficiency. You can do it with silicon, but you get higher efficiency, this might be the first time you see GaN in data centers. The real step function is really coming from the 800 V DC, which is really kind of linked to the combo rack, okay, which is the higher integration of GPUs in 27. Okay, understood. Thank you. Also, I'll give my best wishes to Todd. Pleasure working with you. Thanks, Kevin. Next question comes from the line of Quinn Bolton with Needham. Your line is open. Hey, guys. Congratulations on the progress on the transformation to Navitas 2.0, and best wishes to you, Todd. I guess, Chris, I wanted to come back on the, you know, 800 V HVDC solution, especially as you think about the primary side of that 800 V rail. There are still a lot of folks in the industry that I think are talking about using Silicon Carbide in that 800 V conversion step. You guys are obviously, you know, pushing the GaN solution, but I guess, can you say what are you seeing from the leading GPU and hyperscaler vendors that are looking at the 800 V or the 400 ± V rack architecture? Are they pushing more for GaN? Are they open to both GaN and Silicon Carbide solutions? Just how do you see this playing out from a, you know, technology perspective between GaN and silicon carbide? Thank you, Quinn. It's a very good question, actually, because I think there is some level of confusion. First of all, I would tell you that we are not pushing anything. We have both SiC and GaN, and we welcome SiC being used on the primary side if it's needed, and GaN being used on the primary side if that's needed. We're not pushing anything. We are being pulled. We've not seen any significant use case or board implementation or customer evaluation using SiC on the primary side. SiC is being used widely at 1.2 kV, as I mentioned, in the classic AC-DC, right, which is basically prior to the 800 V DC. When it comes to 800 V DC, we've been pulled by customers, and I'm talking about hyperscalers, to Kevin's question here, that are really driving the GaN adoption because it's more efficient and more driving higher density. That's fine. Okay. Chris, you also talked about your 10-kW all-GaN brick solution. Can you give a sense, is that more of a reference platform, or would that be a solution that Navitas would look to source that entire brick-level product? Because I imagine it includes a fair amount of additional componentry, and so just thinking about, you know, to the extent you're selling the full-brick solution, I imagine that might be pretty high dollar content. Could you just talk about whether you would really just sell the GaN solutions as part of that brick? Would you sell the entire brick? If you did sell the entire brick, what would the margin implications be? Sure. It's a very good question. Thank you, Quinn. We view this as an enabling solution, enabling technology for the customer. First of all, as I mentioned, this is something we've done with a customer. We have not done that in a vacuum on our own, right? This is something that we've co-developed with a leading customer, number one. Number two is we don't compete with customers, okay? At this stage, we don't see a path where we're going to sell the modules. That design is shared with our customers and the hyperscalers, as well as the ODM and OEM that are looking at how we've been able to achieve that high level of efficiency, right? 98.5%, which we believe, based on what we've seen and some of our competitors' feedback, on top of customers, are one of the best in the industry, right? I would tell you, this is for us, this is what we've done in GaN historically. We pioneered GaN in mobile by demonstrating and helping customers to get to highest level of efficiency, lowest EMI, highest level of density, and we are doing the same in AI data center. This is what I talk about when we talk about 2.0, we're leveraging the benefit and the skills of 1.0, right? This system expertise makes a difference. At the end of the day, we are in the business of selling GaN and silicon carbide and enabling our customers. As a matter of fact, on that board, we're using some of our competitors, you know, silicon, and other, you know, technologies and products that we don't have. The focus is how to show and help the customers to accelerate the adoption of GaN in HVDC. Excellent. Thank you very much, Chris. Next question comes from the line of Jon Tanwanteng with CJS Securities. Your line is open. Hi, good afternoon. Thanks for taking my questions, and I'll join the queue in wishing Todd well wishes on his journey. If you could start, maybe talk a little bit about the competitive landscape in supplying the 800 V data center. What, what are you seeing just in terms of who you're bidding against in these sockets, if they're, you know, outpricing you or doing better in technology? On top of that, you know, how is your partnership with Infineon evolving in that space as well? Thank you. Thank you for your question, Jon. I'll start with the end. We continue our partnership with Infineon. We have a cross license, as you know, and we share the same vision, which is to enable the accelerated adoption of GaN and silicon carbide in the AI DC, right? SiC as the traditional architecture and GaN in the 800 V DC, right? There's a lot of dialogue between the two companies on that front, right? Number two, you know, you will have seen that there are multiple vendors having been listed on the 800 V AI factory kind of ecosystem. As a matter of fact, I think it's up to 13 vendors today, but we don't see all of them in each of the sockets we target. I would, you know, I would recommend that you look at how many of those 13 are actually in the high voltage GaN. How many of them have a 650 V GaN in the right package to be able to enable 800 V HVDC? How many of them have mid-voltage GaN to enable the 50 V secondary side? Some of them are listed on as a silicon vendor, okay? We are listed as a GaN vendor. The other thing is, as we talked about SiC being used on the AC-DC as well, there is a natural pull on more SiC as we get to higher voltage and also outside of data center. To do the 800 V HVDC, you need to enable a change of the grid architecture. This is a pure high voltage, ultra-high voltage SiC play. What I'll tell you is there's a lot of competition, but not everybody is competing on the same thing, and there are not many of the vendors being listed that have both high voltage SiC or ultra-high voltage SiC, either competing in the AC-DC with 1.2 kV or in the grid with 2 kV and above, and adding high voltage and mid voltage GaN. This competition pool is actually being reduced. That's why we are very clear about what we do. We don't play in the silicon, we play in the GaN, high voltage, mid voltage, and in the high voltage and high voltage SiC. Got it. Thank you. Second, could you update us on the incremental margin of either this 800 V data center products or high-power products in general, especially as you roll on new suppliers? First of all, as Todd said, right, we expect continuous gross margin expansion. Remember that the growth this year is coming from all high-power markets and basically mobile going down, right, being less than 25%. What I would tell you is the scale is going to help more gross margin. As we grow revenue, some of our fixed costs absorb that, and that drive margin expansion. Number two is the high-power product in the high-power market are coming at a higher margin than mobile was, okay? That mix is going to change. The third one is we are very active in ramping new suppliers, particularly on the package side, that will help us to reduce cost, right? There is multiple aspect of how we are confident to see a gross margin expansion as we clearly outline for the rest of 2026, right? As we scale further in 2027, we expect that to continue. Great. Thank you. Again, if you would like to ask a question, press star, then one on your telephone keypad. Next question comes from the line of Jack Egan, with Charter Equity Research. Your line is open. Great. Thanks for taking the question. I had kind of a follow-up on the gross margin question before me. As mobile is getting smaller and smaller, I'm kind of curious about the longer-term outlook. Are your gross margins more so going to be driven by mix, as in, you know, data center and non-data center end market mix? Or is it more kind of the technological innovation, I guess, that Todd mentioned, that it sounds like it's referring to new products with higher ASPs. I guess I'm trying to look at what the driver of the margins, you know, that margin expansion is, whether it's end market mix or, you know, better product margins. I, it's actually going to be a combination of both. Definitely end product mix, right? As mobile decreases, the high power markets are going to give us higher margin. Those are more based on reliability and performance. On, as we sort of scale and have these new products come into, you know, the high power markets, we do expect, like, further expansions through, like, optimized process, yields, and packaging costs, which will help drive our product cost down, thereby driving our margins up as well. The one thing I would add, Jack, is, okay, scale, cost reduction, and basically higher margin product, right, as Todd said. The one thing I would say is that, again, the growth this year, and I think we've been very clear that we are very confident that Q4 was the bottom, we are getting up for Q1, and we said we're going to grow quarter-over-quarter throughout the year, with margin expansion. I would reemphasize again, that the growth is coming from whole high power markets. Yes, AI data center is a big part of the future outlook, and if you look at the SAM that we shared just a few weeks ago, it's nearly, you know, nearly a half of the SAM that we see for us in 2030. I would outline that performance computing is growing this year, okay, it will continue to grow and also help on the margin mix. Grid infrastructure is really accelerating, and I think you're going to see higher ASP product, higher margin product coming in play there, where it's more about reliability and performance and less about cost. Of course, cost matters. And then, as we talked about in AI data center, which is a cost-sensitive market, it's all about efficiency right now, okay? I think you're going to see all those markets contributing to the growth expansion in growth margins, right? I just wanted to kind of calibrate a little bit your question to make sure that we don't see the growth margin expansion only coming from AI data center. Sure, Chris. No, that's super helpful then. Then I guess kind of from a higher level, you know, I know you're not supplying as much into some of the, you know, automotive and industrial type markets, you know, silicon carbide has gone through, just broadly speaking, has gone through a period of pretty significant oversupply. So I was just kind of curious, what are your expectations on when that supply and demand and some of the other markets might balance out, you know, whether for Navitas or whether the industry as a whole? I know that you're dealing with some, you know, large volume wins that so it might not apply to you as much, but just, you know, any commentary there will be helpful. To be honest with you, Jon, I don't. I think, first of all, as a industry, you know, veteran, I would say it's going to take some time, but I think you should ask that to the vendors that are supplying the EV. We don't. We don't play in the same league of SiC, okay? You've seen me being very clear about the fact that we compete and focus on 1.2 kV for the PSUs, for AI data center, and 2 kV and above, up to 5 kV and even more for the grid. This is where, you know, this is not about scale of supply. This is about how reliable and efficient and high performance is your technology. I think for some of the SiC vendors operating at 450 V, 650 V, 800 V, focusing on EV, that's a valid concern. For us, it's about scaling with the ultrahigh voltage, okay, which is nothing really related to supply at this stage. Got it. Thanks, Chris. Next question comes from the line of Richard Shannon with Craig-Hallum. Your line is open. Great, guys. Thanks for taking my questions. Apologies to the ambient noise. I just jumped off a plane here, and I missed a bit of the call here, so hope I don't repeat any questions here. Chris, the one thing I'd love to ask you is, in the AI data center opportunity here, to what degree are your opportunities coming from your partnership and kind of drafting behind, if you will, from Infineon versus other ways? Also, is there any, you know, cross-fertilization of wins within the rack, you know, between point of load and the 800 V down, do those kind of cross-fertilize and give you additional benefit at all? you know, very good question. As I mentioned, we partner with Infineon. We have a cross license. We've done that a couple of years ago. We continue to drive collaboration to enable GaN adoption, both the high-voltage and mid-voltage. I would say that we don't leverage or benefit from Infineon. What you will see is, I think I got a question earlier from Kevin, who are you bumping into most of the time? I would say, you know, it's probably Infineon and surely Infineon, because they have the same vision, they have the same technology, you know, high-voltage GaN, mid-voltage GaN, and SiC, and ultra-high-voltage SiC as well for the grid infrastructure. There are very similarities. We bump into each other, we follow each other, but I would not say that we leverage Infineon, right? Interestingly enough, when we released the package, we found that because we talk to the same customers, we think the same way, is, you know, we end up seeing the technology the same way. That's what I would say. On your question about expansion of portfolio, that's something we are looking at. My focus right now was to pivot the company, okay? Put every eggs we have, every engineer we have, every focus we have on the four high power markets and the high voltage GaN and high and GaN and high voltage SiC. We are looking at opportunity to expand the portfolio. As you get higher voltage, in the data center, you're going to need circuit protection, and that's something we're going to look at in the future, right? For now, we are laser focused on execution with the product we have and we just released. Okay, fair enough. Thanks for that, Chris. The second question, probably for Todd, just on the gross margins. If I caught, is the end of this prepared remarks, talked about not having enough scale to really drive leverage on gross margins quite yet here. Is there a revenue level by which that happens here, and kind of what's that fall-through margin when you start to see that trajectory? Yeah, that's a great question. As our mix changes, obviously, our margins will grow, but right now we have that scale issue. We do see margins starting to expand again in Q2 and beyond. That's sort of the tipping point right now. Okay, perfect. Thanks for that. What I would tell you, Jack, is the high power markets and the high power product in the high power market are coming at higher margin. The mobile is going down. We said that in Q4 it was 25%, and we said it's gonna continue to go down and get insignificant by the end of 26, right? I think we are very confident that the mix of the mix change, the higher power product in the high power market increase as a percentage of the company, and the new product and the cost reduction we have will yield to gross margin expansion. You'll see it loud and clear, okay? Starting not very far from now. Okay, appreciate that detail. Todd, good luck on your next endeavor. Thank you. Our last question comes from the line of Quinn Bolton with Needham. Your line is open. Hey, thanks for taking that follow-up question. Chris, you spent a lot of time talking about the high, you know, the 800 V data center opportunity. You also talked about, you know, needing to rearchitect the grid. I just wondering if you could spend a second talking about the opportunity for the high voltage, silicon carbide and the solid-state transformers. Where are you in the design process for some of those, solid-state transformers? Is there a way you can ballpark, like, what's the dollar content opportunity? I don't know if it's on a per megawatt basis or a per unit basis, but is there a way to size, you know, what the, you know, the amount of, high voltage SiC that goes into a solid-state transformer as those start to be deployed, as the grid is rearchitected? Thank you, Quinn, for this follow-up question. Actually, I'm glad you asked that question because everybody focused on AI DC data center. Everybody's focusing on the 800 V HVDC architecture, which is important because it's a discontinuity in the architecture. It's a replacement of silicon by GaN, right, or by high voltage technology. None of this is possible if the grid is not changing. This is not just about getting a more efficient grid, it's a change of the architecture. You refer to SSTs, which is basically getting from 35,000 V AC, super high power, high voltage lines, down to 800 V DC at the highest level of reliability. That drives a change. I tell you, I've never seen the grid infrastructure changing that fast. You ask me, and I think we said it in the script and in the press release, we are accelerating the sampling of our 2.3 kV and 3.3 kV. Applications are any grid-tied application. SST, of course, but battery energy system, megawatt chargers, solar farm at the grid, tied level. Any of those applications are in accelerated designs. We are very busy talking to all those customers. That's why I said it's two legs, okay? We have four high power market, but if I look at the future, those two legs, the AI DC and the grid, are equally important. This is a pure high voltage SiC play. To the earlier question about EV, this is not the same technology, because what you have to deliver is high reliability technology, high reliable modules. It's a different play, right? I'm glad you asked the question. We see an accelerated design momentum. Of course, it's gonna take time. This is longer design cycle than computing. It's longer design cycle than AI DC, but I think you'll start to see a significant revenue growth starting 2027. To your question about content, in the last investor meeting we had, we basically referred to $25,000-$35,000 per megawatt of total content for Navitas as a SAM, which is based again on ultra high voltage, high voltage SiC, so 1.2 kV and 2 kV and above, and GaN. About, you know, $10,000-$12,000 is actually outside of data center. You think about $25,000-$35,000, $10,000-$12,000 of this is outside of data center, which is purely SST, BSS, and all those application, right? Again, inside data center, you have a share between, you know, SiC for PSUs and GaN as you move to 800 VDC. We should not underestimate the importance and the potential of the grid infrastructure. As a matter of fact, we released a couple of weeks ago, a detailed SAM analysis that shows that both GaN and SiC are 50%-50%, okay, in 2030, in term of the potential for, in term of the potential for Navitas to the $3.5 billion that we referred earlier. You can see that the grid is not far off the, you know, the SAM of data center. The other thing I would say is, this is just the beginning. If you think about grid, this is a multiple decade transformation that will drive higher voltage continuously. We start with 2 kV, we're getting to 3 kV, we're gonna get to 5 kV and above. That's gonna drive transformation for the next multiple decades. Excellent. Thank you. That concludes the question and answer session. I would now like to turn the call back over to the management team for closing remarks. Thank you, everybody, for attending this call. As you could tell, we are very proud of the progress we are making. The first five months and six months since I joined, was about pivoting the company and being clear about where we are going. I think we've done that. We are focusing on accelerating samples of our technology. We have four pillars of the transformation, which I mentioned: market focus, technology, leadership, you know, operational efficiency and financial discipline. We'll continue to update you on how we make progress, and I think we have a bright future ahead of us. Ladies and gentlemen, that concludes today's call. Thank you all for joining in. You may now disconnect.