Super Micro Computer (SMCI) 30 Apr 242024 Q3 Earnings call transcript

Thank you for standing by. My name is Joe, and I will be your conference operator today. At this time, I would like to welcome everyone to the Super Micro Computer Fiscal Q3 2024 Results on April 30, 2024. With us today, Charles Liang, Founder, President and Chief Executive Officer; David Weigand, CFO; and Michael Staiger, Vice President of Corporate Development. [Operator Instructions] Thank you.

you the Supermicro's March third thank financial to XX, and for results quarter, afternoon, for call attending discuss XXXX. Good which ended and David today Executive me are Liang, and With Charles Officer; Chief Weigand, Chairman and Financial Officer. Founder Chief a is have from that company's available at on you distributed the of close company of received the now, news copy By regular was the should release the trading and website.

participants that in call, the Investor company refer is reminder, available the a presentation to me, under of the during today's section Presentations the As under Events investor the excuse to Relations will website and a company's tab. --

We have website. our commentary published management's on description

fourth that other future guidance today revenue, Super taxes, those note materially a during the regarding and of expectations. of XXXX. fiscal including year income for outlook, hear from capital factors business margin, allocation could of risk without the you'll and our will XXXX to fiscal differ expenses full future operating results of that and limitation, Please gross are discussion expenses, and year the There forward-looking some our quarter information consist number statements, Micro's including, cause

Relations update afternoon, obligation the of filing other no You about more statements. these earlier risks page Super All these recent assume for filings. SEC Micro's forward-looking We to on most release can Investor we available issued in this the fiscal 'XX learn our website. our XX-K press any and are documents

to Most non-GAAP results presentation outlook. of financial today's will and refer business

press release today. the financial please to our presentation of accompanying or non-GAAP explanation to earlier our measures, an For published refer

for contained today's remarks, analysts and the reconciliation to questions. the of presentation. of supplemental have session GAAP information ask sell-side prepared is in press today's release to a in will Q&A today's In At end a attached we to non-GAAP addition, results

Charles. now over the call I'll turn to

last We XX% good non-GAAP AI strong for year current Thank from Supermicro the afternoon, you, solutions. quarter $X.XX, share [indiscernible] forefront time results is a at of more billion, our everyone. year-on-year. same increase demand the revenue for the earnings AI up of per XXX% These reflect achieved $X.XX record-breaking continued and total and revolution. another Michael, than with the the

chain products new We especially believe to this continue challenge DLC-related that will due quarters. in require supply components key excluding the new some face situation components, gradually improve to increase coming we To are in making value bring investment and operation sustain base more and features production, them. cloud growth, to further rapid management our significant this customer service software customer and to

we in a scale-up, secondary $X.XX to growth years convertible We'd and equity equity through minimal long-term growth for support like many strong quarters, and continue will raised additional if AI To an not billion I many remain short- support optimistic with that Overall, note offering this come. the dilution. quarter. to

become critical accelerating AI the data reaching We managing X,XXX directly have optimized for system for need high-quality for CPU the watts into than have with this cooling, high-end is the and that cooling AI customers, watts, solutions from as and long NCPs, and heavily CSP more heat new efficiently we recognized and especially XXX many invested DLC centers.

DLC portion computing to finally saving computing customer green pleased are our high-volume experience, fully cooling technology ready which align instead reduce am of and scale to rack resource technology, I cooling, finite center cooling of data greater on expense total their space With production. power their allocate DNA. a with that DLC product can our new and announce our for liquid liquid technology cooling

per up revenue Fiscal $X.XX well more. delivered If key last we guidance within year, shortage, earning component $X.XX by Fiscal Now key index limited totaled let's quarter. have March is of growth. original financial Supermicro highlights. billion, XXX% could above XXX% XXX go some about quarter. QX prestigious which be was pleased to were included the year-on-year our S&P over some share year-on-year, QX in $X.XX net not aggressive of non-GAAP last

Our better of increasing profit. scale net economic contributed to

wanting their and provide a both expect Building build and our and Our users end year. to generation time-to-market advantage a offering to our solution we deployment Solutions, net of as Through year-over-year shorter at online latest this continue time we This to quarter the benefit platform. over Block continued was scale, we income AI a further accelerate managed our competition. AI in improve, later fast-growing lead driven optimized operating by margin calendar facility

while cooling scale, Additionally, a our delivering cost performance up optimal more Rack to DLC to Scale product and system solutions, XX% value liquid much especially energy ensure with at center saving play total customers. data

leading super-class are power Housed X HXXX XXXk others. deploying customers. revolution to density racks by in from HGX Xx NVIDIA solutions with to traditional new our our AI the racks We higher than

based portfolio we last [ our grow AI systems generative HXXX, upcoming At including GXXXX cooling. month, unveiled on as Most next-generation new GBXXXMVXX] DLC GPUs we and and support on delivering well strongly and our AMD now BXXX, cooling optimized influencing of AI BXXX, and next-generation further Intel, GPUs. are NVIDIA the GTC them focused our as [indiscernible] NVIDIA solutions. To GBXXX and both products, the air

fully in offer and of HXX As XXX service. our we positioning production AMD ready Supermicro InterXion process-based cloud tooling-based of X our for is testing through early and are industry's platforms, skills access Jumpstart product featured to high-volume the and generation online next lines for

is storage our with complexity of HXX pipelines and accelerating The the growth AI and addressing out raising and to the are capacity. XXX best specific data solutions the others. like requirements [indiscernible] data many scale partners of our business Meanwhile, rapid

We new business. for up additional secured our Valley and are aggressive the and enterprise had Taiwan Malatia [ path restarting progress on facility ] production and factories. Silicon and our team of acquire data the phase making scale center next Our warehouse

up DLC industry-leading to XXX on this delivering DLC GPUs we than XXX over June We server liquid DLC are At potentially DLC technology AI cooling deployment cool X to of support are cooling our of April customers on NVIDIA AI PXXX with HXXX, XX-piece computer. AI or HXXX chip XX% increasing. competition. volumes X,XXX X,XXX quarter. focusing will month rack Each liquid rack saving this largest our customers These even to racks orders' more energy track of X up steadily currently cooling moment, of deep to air the per racks standby produce deployments supports HGX kt from compared clouds, with Each to among be or cost to by kt.

mission. our be big free believe of liquid beginning bonu. you and computing with thank I close Special technology is to our Green just can for a this the high-volume fantastic DLC cooling collaboration. NVIDIA this partner long-term

Let's for green. go

faster we to in will guide. recent fiscal of $XX.X XXXX, summary, our are With to place In new QX integrated year billion in $XX.X $X.X is billion, uniquely in $X.X new computing This pipeline in-house, scale product robust confident of come. values an strong be revenue cloud capable direct quarter had calendar the a DNA. our range XXXX a we delivering to building fiscal architecture products green with market increase of to technologies solutions, more and our to guidance with revenue Supermicro billion. billion to

truly executing especially our with ready-to-ship We market yet fiscal cooling and Supermicro. play and time remain committed continue will I remain new XXXX, in for the believe DLC year-over-year scale this solution growth plan our growth most verticals. win and This our continue And to and exciting to product leading strong liquid all across share technologies. rack

and call employees you our again shareholders our the partner, our strong David? our passing I your to Before want to David our Financial support. customers, Chief Officer. Weigand, to thank for

revenues up year-over-year service led AI were the customers Thank you, Charles. in of and GPU and by XXX% represented markets. was Fiscal than billion, GPU both QX more enterprise XXXX QX growth platforms, XX% quarter-over-quarter. X% $X.XX revenues which cloud provider AI with again

design new We expect continues liquid-cooled in growth wins. to and with improve supply the QX chain air-cooled strong customer as

enterprise revenues $X.XX last XX% During of metrics XX% recorded vertical, year-over-year up representing XX% appliance XX% in solution last quarter, vertical performance and data versus our price QX, year-over-year and reliability. $X.XX the we industry XX% were in large OEM and revenues the by driven representing quarter, The versus of XX% recognition billion up revenues and quarter-over-quarter, billion, quarter-over-quarter. XXX% QX of channel center down XXX%

and of Emerging and represented CSP customer or quarter-over-quarter edge revenues existing of QX X% represented data revenues. telco revenues. comprised customer on storage accessories $XX ASPs subsystems One enterprise and XG a channel XX% represented existing and of QX Server QX one basis. XX% revenue systems center year-over-year IoT of million X%. large increased revenues were XX% and

revenues XXX%; XX% the X%. decreased rest Europe world the a On geography, basis, basis, increased and Asia rest increased of of On of U.S. increased XXX%; increased XX%; revenues, the X%; QX World, Europe Rest XX%. X%; Europe, increased a quarter-over-quarter represented U.S. increased world X%; U.S. XX%; Asia the revenues Asia, year-over-year and XX%; of increased By XX%. and

to headcount. GAAP was XX% as improving a driven efficiencies. by expenses quarter-over-quarter quarter-over-quarter compensation to $XXX and focus gaining year-over-year to and basis year-over-year On share X% XX.X%, expenses slightly market on QX XX% new operating and $XXX The designs, strategic from expenses million, XX% QX up increased non-GAAP operating million. gross basis, by and higher a non-GAAP increased quarter-over-quarter manufacturing XX.X%, we margin on winning continue

principally gain million from QX expense and of Other line in QX of million, for down sequentially was facilities. $X and was as in levels. margin was foreign exchange. non-GAAP $X expense $X.X Interest million decreased operating credit we income [ bank QX short-term XX.X%, a paid ], which with consisting expenses interest

rate -- the R&D gross X.X%, QX and tax margins exercised. stable GAAP non-GAAP million due $X.XX in through impact and GAAP for end tax lower diluted tax non-GAAP rates EPS lower the employee resulting benefits GAAP QX rates. and record $X.XX high were X%, EPS stock non-GAAP in to tax for of EPS higher expense QX. of grants benefit rate tax revenues, QX of of tax The was exceeded $XX and QX was million. from $XX resulting of margins The and tax of credits guidance diluted tax negative operating a

increased of XX to profitability was increased higher inventory cash billion as of $X.X the lesser operations for business. QX in The levels a a stock inventory, non-GAAP share usage the and, and receivable $XXX extent, shares compared late from higher million was count large the QX grew flow result which million from XX by Cash to to from Cash and offerings quarter, convertible to used for portion from XX.X million bond previous of higher million was flows XX.X X of in million accounts the receivable strong a flow accounts as revenues. GAAP count received offset offering. share increasing we and during sequentially

flow cash increased was components. purchase for the $X.X $XX Our for to $X.X closing resulting due QX in in negative quarter-over-quarter by inventory free million of billion billion, which was $X.X of XX% QX key from CapEx billion quarter. the QX,

the offering of we $X.XX a quarter, offering coupon from raised convertible X-year zero underwriting XXXX, discounts billion net During in expenses. bond due and

[ net capital, enable proceeds to investments approximately shares $X.XX per price will platforms. million in fulfill to sale R&D raised our share. expand the demand transactions these X also our leading working from for proceeds of of ] global We capacity strengthen used The at and be $XXX billion a continued in strong from

and closing a last bank position a note $XXX $XXX balance while The quarter. versus of resulting net sheet million in billion, was cash million billion, debt net $X.X position $X.X position was cash of convertible

to XX by compared The of capital days increased revenues. to decreased X cycle days in QX. Turning versus increased to XX Days payables compared prior working by conversion days outstanding higher by sales days. X days was balance to purchases quarter QX and days, XX for of sheet expected XX metrics days Days quarter-over-quarter outstanding component QX to XX days while key quarter. to days X inventory the to last XX days XX the due

Now for the turning outlook QX. to

air-cooled design strong the customer supply continues wins. new chain improve expect We with as to growth liquid-cooled and

and share the fourth expect June $X.XX $X.X net per to XXXX $X.XX XX, net $X.X fiscal of income of XXXX, the ending net share diluted non-GAAP of to $X.XX. quarter of billion, to we per billion in $X.XX income range diluted sales For GAAP

sequentially driving down strategic be to focus market margins share as gross we gains. on expect We

outlook compensation to and GAAP of million million be for that $XXX stock-based effects QX $XX compensation in fully are from of diluted EPS non-GAAP XXXX net which GAAP share. excluded stock-based million, million per approximately are $XX not The expected year in expenses approximately common operating diluted expenses income expected net in tax fiscal expenses. included $XX non-GAAP of are includes include operating expenses,

rate common interest million We of of GAAP fully other minus and GAAP expense projections share expect count diluted including expense expenses, XX.X $X diluted million. a XX.X tax for tax QX assume of income GAAP and for income non-GAAP share of per to million a be and net rate The approximately X.X%, and net shares non-GAAP for a X.X% company's non-GAAP. a

to We expect million to QX the for million. $XX in CapEx range $XX of be

For $XX.X $XX.XX billion $XX.XX and are diluted range establishing from of fiscal year to guidance diluted revenues per income $XX.X XXXX GAAP billion to a raising ending $XX.X June range of $XX.XX to XX, net billion XXXX, our income of to for we guidance share non-GAAP $XX.X share of billion net and $XX.XX. a for to per

Our projections effects excluded stock-based for in fiscal approximately are count for $XX XX.X for share tax per fully net net per XXXX a GAAP diluted income and fully year and related GAAP non-GAAP million X.X% outlook diluted The expected includes million million diluted tax and respectively, diluted income non-GAAP from a of share. per count non-GAAP. assume XX.X and income of of net GAAP X.X%, million diluted for net share of share rate that of $XXX approximately shares compensation share shares

We're questions. for now ready

[Operator is of question Instructions] Our with of Bank from first America. the Ruplu Bhattacharya line

guidance. Congrats X on I questions. the strong have

you to such, do to this racks? the First, a able cooling to can liquid I think for wanted you components as most gross racks design question And margins? liquid-cool liquid you for in-house? would of cooling. And accretive be on Do ask charge more be

Yes, good liquid also components a question. lots cooling maintenance to care because time design system we of quality, we for very DLC market. and Yes, key

where lot as third-party we So of components well. we design components a key leverage

kind I try charge we to a think because save cost with air and minimum cooled combination. liquid, I cooling, right? yes, premium the customer can mean, condition, it's by of And down equipment customers So

speak up of of they That's the energy So XX% but at premium, save We computing we XX% try very of green to lot to TCO, a free. a pay a costs. will same Customers time, costs. be can slogan, customer save promote up to bonus. minimal why energy

customers And alone already have -- quarter to of birds. lot liquid X,XXX customers a we will mean go early handful direction. those racks grow have believe for believe that's and that preparing than of that And strong. very continue order, this big I So a cooling indeed, I are we demand a I for quarter, June more why will

[Operator Instructions] is Samik question Chatterjee JPMorgan. line next from with of the The

more of with new generation a there you Where if in visibility to any ramp. of I into you're solutions? related more terms these move guess And share relation to hyperscalers in expanding is hyperscalers? next product to terms visibility number of in as of coming engaged the with that the Just the when new in you was around give mentioned you And next-generation gains about in relation that more us sort gains. is press this you from is the share bit NVIDIA? color from? you're Are as that the of the to And I release, color the Charles, curious solutions GBXXX share more can NVIDIA? these product sort thinking gains. Are

program direct scale time of put play, rack few we customers' deploy mean and few gain lead product online especially the our market a next the system continue able Okay. Thank day system time online. the that customer With -- weeks. our solution instead in share, or the days next next to and to place reduce scale, to I reduce also you. customers' yes,

savings is online to to time advantage So a customers. big

customer energy same the cooling time, At help deep save the they power.

of relocate for of power So cool. customer air computing energy power can equipment to allocate, more power instead waste

rack scale online. customers to that So that play of benefited saving leading lot customer plug make and money, a and also time

customers our offering. old beta customers to start So gain grow grow new to with to our continue faster -- we while continue more

So be GPXXX GPXXX, be each XXX will right? kt. around rack sensing,

liquid of data and them their So a liquid help center lot and that, cooling. for build like we customers their system cooling optimize

So we are growing customer demand. base stronger

line the from with Michael is question Goldman next Sachs. The of Ng

If right, I on XX.X% server can in and gross wanted the know to the the is margins And to services right the margins. for quarter. quarter. you're decline June if way margins gross gross gross Is XX% Strong improve I margins about that math go-forward think think implies long-term any to about there sequential to XX% just with comfortable around gross the are in margins ask a margins. sorry, quarter, any gross margins margins? basis? for you help feel XX% that AI gross and the support for to general prior the Do still comments a June guiding I just ancillary sales? on that product our

Yes.

target XX%. our still is XX% So to

If you ended down sorry, slightly up. slightly we guided guide QX, we look at -- for I'm and actually our up for QX

exactly it's on think last in very is the guide -- inside even was guide the margins. range. a models so hard I And inside the of more fact, to And time conservative. There the

overachieve. build seek to So I say would and then conservatively we

So for I our able guide in target guide be range. for XX% and definitely you think there. our look to if stay at revenue OpEx, is you'll XX% But to the to our determine

next is with The Wells line of Rakers the Fargo. from Aaron question

and if can. Yes. I I'll try X slip in here,

So this last I how as I'm thing, just more you that come significant comes of take the towards to on? quarter? the kind through referenced quarter. we of large the prepared same expect that Or you housekeeping that it think is housekeeping down? quick you the inventory quarter. supply. of a level? guess in had think you just of remarks, that a of evolved? customer as it X about And kind the has start on customer How the XX% inventory then in supply curious is flow how very kind just to you looks inventory too, customer, Do questions trajectory Do you the this do of in is we increase I to end expect said the stay came at that know

more had pretty because XXX inventory. to cooling. have We I we reasons. new. second One June because think A we coding, preparing quarter, high-volume we're for mean, X,XXX we revenue QX. cooling we strong to will increase is had growth. liquid of mean, know, Two QX, a as And is liquid customers than have I in ship Again, to kt, I you reason

inventory time. liquid to scale with can to that cooling lead on or we time So minimum rack had customer deliver prepare we enough product so

will So day both economic with our our factor, inventory continue improve. slightly is factor. positive to indeed grow, And indeed, indeed a scale average

Yes.

on my continues that So take behind means our Aaron, I that a reason it. there's grow inventory because that to is hope

tied it's sales. So to

customer second as B, customer quarter. And a as to because C distinguishments. your customers, try So we in we're Q, you I add customer customer question, to A, the XX% more easier that know make make those same the to it was moving to last to wanted be the let to going we'll

The George Wang from question Barclays. line the of next with is

asking and next the also to of on provide FY can for about strong also of Congrats just quickly, related, you the of in pass put specific in kind utilization out think kind model the 'XX FY just to few sort I'd March December kind color can kind quarters? like of how what's a X September, June for September, And not or guide. December the And quarter. But guidance of 'XX? expected high-level cadence to the of the also it any the kind kind parts you quarter? for of utilization

Yes.

the to BXXX, and a BXXX, we HXXX, [indiscernible]. NVIDIA have product know, of MIXXX you support GPXXX new As lot HXXX, AMD

and product DLC, of plus liquid new cooling product. lot a already we high-volume we ship ready have to are So a

will this quarters mean, years. many mean, 'XX, years, And September, strong many will come, quarter, I believe December for I not have growth that growth. we many if I to I I in believe fiscal for sure, strong -- for mean year So candidate continue

is with the Ananda question next of The Loop line Baruah from Capital.

growth me the And forward about this appreciate Charles, remarks that from talked share a growth, be of sort that to the that about market you in just a maybe coming you strong moment on made the as helpful mean sequential opportunities, in given ongoing also for about Any think could Really it. context point does bit, products? -- well. coming could to would the the components quarters little grow that gain new Yes. the online let sequentially you way ago --

Yes.

But mean, quarter growing our years, know, you in last and now strong XX we've traditionally, September been the so I March [ quarter. ] right, the quarter, with strong. always As AI,

sequentially. So we basically are able to grow

a growing, be before will we And than be of and weak, March although because growth even and campus ready so share will AI normal. this technologies by have So economic much and of growth bigger. Manatia now beta little our become a become scale basically, but year. mean, September strong ever, end the market production calendar sequential I basically,

positive we to So grow our see factors business. lot a of

the from is Tanwanteng CJS of line Securities. question Jon with next The

economies talk starts point Malaysia at you of foreseeable to add a if wondering expect you was higher? coming you that remain I scale if near to the some there you where higher get go constant as you at relatively especially to more little transition And in them to ramps, gross do more point future there the Is a structurally the you future? for in it if quarters, could products expect bit the cooling. level Or a to liquid and revert margins.

getting reform more the competitive Again, more as is right? well. So they and popular, are AI

some to to in to a be to a overall, pricing. remain try little will keep have may grow we deal. sometime balance market share try add may Maybe But we more some. balance. We aggressive keep So you a bit

And offer new very with areas. I platforms we're have many these a also with lot there's from emerging we is to -- cooling transition also And to and the agree lot will liquid new And there our your market. -- when its first Super And -- and solutions. of emerging our point Micro's -- different built the those coming compelling with again, be at on time some fast of Yes. with technologies strength, platforms we platforms and are us. technologies out that expect out are highly opportunity time that some to anticipating. also customers new are And a that Malaysia a we

are So to be all our going we margins. those helping things think

of Hosseini line question the next is The from with SIG. Mehdi

Yes. A me. couple for

Regarding customer, had channel the is ever the big? clarify of the new. plus I think a channel you've about this the Can customer, I XX%, talked you past, customer, XX% this? believe the have in that you XX% but customer

customer So in think but is a still good were an customer, this actually Mehdi, this opportunity. XXXX, we back I XX%. they a higher existing customer, a around and really good had But is really

Okay. there Great. -- question X something burn cash X an to a And flow, noncurrent flow. on are is believe correct? is were I then our asset. David, and impact missing cash there I is you, items. these that There also for X the that cash there in Actually, big here, was operation $XXX overall then million had Am items items of

We that a Sure. this. things number impacted of had

had deferred grew or by year -- a this I taxes we noncurrent bit think quarter. assets, -- in quite this

and deferred And then quarterly taxes unusual. what a was that's that think grew the I something lowered our the rate, think lot, tax so unusual And rate our was well. only see, those -- I item tax I that's are as

The from of is next the Nehal line Northland Capital. with Chokshi question

the QX to here. Talked do of Q increase about then see quarter revenue March typically, But June of too And X equates here. indicator increase. $X.X mentioned, it's to your ending the come. things guided revenue. inventory a If XX% XX% you as inventory increased this [ projected strong billion you Inventory looking on Q-over-Q. XX% Congrats guide that guidance, by a $X.X it's do like to because about quarter billion I'm end math, the Dave, with ], at inventory where And revenue. I you and I to and of around to Q-over-Q. your at strong quarter current guide the

be can So the explain guidance to more given revenue usual bit a what little buildup seems you inventory just range?

Sure. Absolutely. fair That's question. a

ship, quarter, substantial $XXX we to we're in actually week the in not to last the So obviously inventory the of but we of going week million okay, in be last quarter. which got the took of amount a able

with to that's inventory -- not something when that's has that arises. do So something

-- need so for cash it And inventory shipments. know flow, we doesn't because but we matter hurts it what, you our that QX

so X I will a prepare mean, Again, liquid have QX. QX, I also, reasons, to Yes. cooling, had And we right? strong new. mean, we it's revenue, for

So enough for as have September quarter demand quarter inventory liquid June prepare we to cooling for and well. safety

So that's slightly higher now. inventory we another reason why a have

to so purchases, And to exactly I and Yes. did for that we these is raises, why make that prepare and that's we large to that. could shipments, hope want too, we QX capital those add, Nehal, continue

The question Wedbush. of Bryson next the from Matt is line with

X margins penetration other your with benefit I gross those be QX, the the you're ramping some liquid at Dave. clarification seeing would I seeing cooling that be would just and cooling but thinking solutions and any issue, in down? chance with larger is And solutions that on to that gross margin And seeing gross with guess or harp is, you come fiscal guess for other again customers not question specifically hyperscalers, there that's liquid a to margins? we're I my why

components to If the your by procure you revenues provide magnitude affected in inability QX? can were that fiscal

liquid up very the up our to Because some pay to some indeed, important bit. June speed on supply. had speed to so we little cooling a quarter, of support to add customer me us, is quick for premium Let new

So we a effort spend bunch of there.

Yes.

it a Matt, depend able questions, a X also -- beat [indiscernible] on that. can to I we'll conservative all, the So give say, margin were gross then would is philosophy I and tried beat first to my to again, question, of But do the it QX. to do we And what will can that in everything in do to QX, it -- ship. do were we and we give

back that our backlog the is of to I'll As fact revenue, record to at high. the go magnitude a

quarter, every that we if parts. that we what had is more so have more means And could shipped

the to to of therefore, rely ongoing of we're the companies able excuse. be The And world. some on as [ the so products an it's fact that ] we for that is glad matter produce best And we're an producing problem. don't the in

quarter. we fact do very And that. the will continue supply continues we that upbeat by improve so were we -- chain each And continue the to to

is follow-up question Securities. with from CJS a next Jon The Tanwanteng

I the growth the in look for X. to reserve next recent spoke that's the more was could to you growth proceeds for quarter line? is or capital in you expectations you usage pipeline speak to? the further down as Or wondering over cash from all spoken Are do your the think your you backlog if record the raise and

Yes.

faster. answer that growing we're I way is is, that Jon, -- that the hope even we're So have need booking because more that I would I that capital, revenues means that I --

which we've a got we require even current that to means that, orders we've that week, hope got hope So in capital But today. adequate more capital. and that that through market, get the -- changes, us we

all hope for that the So need hoping for can is I capital. say I'm I more

our strong. to why capital grow grow XX%, more to that's much revenue we continue for stronger. If sure, grow have believe grow now, We faster grow enough we may faster. then Yes. XX%, capital capital need will we need we to And but more will it

Our final from question the Capital. Nehal today is with a Chokshi follow-up Northland of line

to you've there technology will hear that advantage vendor? Charles. now, and that anything capital that This capital order capital. David, the more #X I have you have in that But Charles, the that you is now, else is need hope you you need you, always you the had base that through with added for to, base you've that with become

Indeed, Yes. our ambitious. is brand very

that me word. use Let

very a brand. have We ambitious

industry's very strong, Xx we kind to try of than faster continue Xx to So average. to grow the

and more sure, capital. then believe happen, so, we for when that hope we need we case So so,

you. you. you quarter. Thank next See Thank

an conference you today's rest all concludes That participation. Have call. of you. for Thank your excellent day. Thank your