Shoals Technologies (SHLS) 15 Nov 222022 Q3 Earnings call transcript

Good afternoon, and welcome to Shoals Technologies Group Third Quarter 2022 Earnings Conference Call. Today's call is being recorded, and we have allocated 1 hour for prepared remarks and Q&A. At this time, I would like to turn the conference over to Mehgan Peetz, General Counsel for Shoals Technologies Group. Thank you.

You may begin.

thank for and us operator, you, you, joining everyone, today. Thank CEO, call and with the Jason me Hosting are Whitaker; Bardos. CFO, Dominic On risks and making be based and management other uncertainties. which call, assumptions, to statements expectations on projections subject are forward-looking current this or will

include, including any not could listen statements, if guarantees factors forward-looking as chain changes, our current or Actual consider macroeconomic with well and filings results and things, of materially incorrect of components products, that and decreased among full from or statements regarding Commission and industry you the conditions, and availability materials. economic factors other comments, our you performance other regulatory guidance circumstances, market the As described understand assumptions are factors. in year disruptions price differ our should of and supply these as these the Exchange XXXX are events, of because demand results. These risk Securities our and for our policies

Although statements. that measures. prove forward-looking presentation and financial caution the indicate reasonable, assumptions forward-looking results date assurance in forward-looking the of to the the will any also statements included and of the statements could do duty non-GAAP discussion that in we this includes to that not assumptions and this or can be Today's are made incorrect We contemplated realized. any any update discussion therefore, as statements no references is of may the be undertake any forward-looking inaccurate underlying believe

release Jason. for the let of measures. and information call contained the With turn in that, should company's historical over comparable the quarter to reconciliations the You information to refer press financial third definitional me non-GAAP measures to

the Dominic a new including multiple publicly-traded good interim afternoon, board. Thank you to to automotive, to for over Shoal's industrial and global an to services. thank fit marketer car CFO start for experience finance who CFO I'd us everyone. and off across he and us us, XX our the stay find of industries, as Prior Dominic his would gave of accounting to Hubbard and to manufacturer much, have of products with the Bardos, we're Holley, on was welcoming best excited brings years and joining willingness by Mehgan, extended very period, the designer, the truck tremendous CFO, like did also CFO Dominic very I enthusiasts. retail position. job like we Kevin for high-performance time which needed and for

have finance Kevin's transition continued Dominic. as support of We to leadership are our we honored team to

Now turning our our an core product the performance, and of products by business. snapshot quarter business delivering up assessment the a were and the period, provide current profit by and our XX% with in third to gross prior revenue the continues profit to quarter was Solutions we System year turn driven year-over-year, had system. year-over-year, million, and investment of to market I'll to gross I'll fixed increased demand orders of consistent XX.X% lines as Solution $XXX.X a with sales year how Dominic, wrap year-over-year QX quarter. costs our while financial even EBITDA. phenomenal system company's grow, XX% from higher result in for and which XX% both with strong of Revenue reflects Shoals revenue quarter Gross SG&A overview the prior results. an the initiatives. to an record quarter, sequentially grew of a for primarily million, who'll higher in respectively. XX.X% and to was carry of backlog in sequentially. margin combine-as-you-go adjusted Adjusted and proportion compared revenue, of components results EBITDA higher leverage support up System them continued margins it versus sustained the $XX.X benefiting growth an third ended over increasing update our XX% on providing by in last of on The a we U.S. revenues solutions, off combine-as-you-go our then Demand conditions in period. and followed solar with our our start volumes. and for then the record expectations. relative XX% Solutions growth in awarded slightly System increased year, increase revenue XX% and XX%, our represented see

customers During end the at BLA the XQ. number bringing quarter, we total of X developers, the and of XX EPCs to additional converted

supply XXXX. solutions be Deliveries when U.S. contributed complete. on projects with throughout month, been we to quarter BLA will that to have project this project largest and of strong New underway and are the announced to particularly Earlier management storage wire Solutions awarded the expected products also Shoals and a the contract storage, X-gigawatt in demand. continue a revenue one EV that solar-plus-storage growth the for experiencing in

certification begin high-capacity We from of remain for by complete. ago, of continue than we're opportunity certification products a and RE+ wire Xx. shipments positive, track both process to was once to on for excited ramp is complete to to the fulfill orders end the new X.X Relative has management management wire customer feedback year. and previewing to year plug-and-play Initial very We harnesses products. the production the more BLA our at customer increased

growth. expect products further As accelerate quarter, we these we on to touched last our

fast-growing a per will we offering. BLA and average new allow have price have high-capacity will currently application do than the our higher X.X As where to an plug-and-play harness product selling current not and a megawatt us serve

making expansion. in our We international also continued progress

having look is products and our forward in fully advanced a providing of XXXX. now that are team qualified, number updates we sales conversations Our further to

We solutions. Turning deliveries certification to solution to completing our our and aboveground progress X significant Phase e-mobility of EV receiving EV standards our during quarter, business. UL the full on made charging our first system

or corporate above our at average are as sales these on margins expected. Importantly,

we've cost public in now experience customer XX% Based on XX deployments, savings Our a from more omni been U.S. we're offers the solutions drive successful technology simplifies our and certification number done deployments installation certification expectations, by that our and customers. over our [indiscernible] in and this in is the establish the We our proposition our Raceway because in exceed opportunities methods. result these And solution EV validate that able offer have for to UL the UL of customers EV looking to broader permitting products XX% projects deployed now the Much of Order to process of states superior standards traditional charging than believe we can solution from value progress, over ours. in data create to expect e-mobility growing leverage to year-end. migrate solutions to will of our continues competitors' and be segments. in ahead, that we in particularly solar, testing our sales our for to solutions adoption like and completed solution products growth

X-year performance projects, passed the Chinese Reduction customers delayed invest Now the solar generation prices and availability prioritize Inflation higher and previously over energy to and to and end multiyear tariff recently exemption for market turning users Act to reinitiate The make have in commitments solar confidence panels, conditions. price. given product our

will performance, are and solar our As discuss the our further conditions recent low a raising of result market in we the which of XXXX end improving detail. Dominic outlook,

IRA, bill and from treasure many for drivers industry. still the While certain the on of further on aspects guidance provides waiting demand the we're the Shoals

will First, discussed demand storage as tax for for and increase our last we incentives investment call, accelerate we new of the EVs and credit, on with products. the believe our extension coupled

initial be, significant While industry demand we still IRA suggest piece don't the the for how significant just know will is reaction legislation the effect solar the that of date. on to most

cost in time create as expensive, wage come. in wage equal reinforces In will wage expected where the our the less general U.S. installed significant especially they to be install disproportionately can the by solutions to anyone tailwind product In day labor. IRA more that are high products attractive be the as for provide excess to X, response a of can installable proposition itself. combine-as-you-go to by compound are we provision system. addition, anticipate of value pressure to cost installing further market, the the prevailing out the a prevailing set environments the From take our of We EBOS, labor is years of and is of which provision or which to

continue significant sales investments we discuss results. new our including made over the this HR and growth are turn and it to strong I'll the confident Finally, who'll trajectory. engineering, we quarter our build-out Dominic? of meet financial XXXX of third demand Dominic, our year, and accelerating count, expansion we can now head facility

next our working I'm Shoals the chapter Jason. you, look be I entire team growth. with very excited to and here and during at Thank today, forward of you to

to the financials. Turning

increased year million, For sales as specifically third system generally for the solutions. driven by XX% our the result and grew $XX.X versus revenue prior of solar combine-as-you-go to demand higher EBOS quarter, volume period a

from Our and our compared third compared also Gross and XX% System driven year grew XX% period. increased the prior Solutions. revenue System as profit components increased year in aided proportion the Solutions by solutions. prior million the growth percentage compared period, year of Solutions increased to XX% profit quarter X% basis XX.X% of a year-over-year, in EV launch $XX.X the to of higher year points XX.X% a to the period. by was revenue revenue revenue revenue in Gross to XX% period. million increased System represented revenue to $XX.X revenue of XXX prior prior primarily versus

This and $XX.X primarily due the general higher public a our same Adjusted for million to planned and growth Third administrative period. EBITDA million and compared costs. compensation, year. to to $XX.X $XX.X headcount compared result prior the year XX% during was million expenses higher increased payroll were change to initiatives of $XX.X period supporting the increased prior stock-based in company million product quarter

as realize during SG&A EBITDA to beginning are than basis leverage on more XXX the year-over-year points margin XX.X%. adjusted We quarter, expanded and to planned,

expected the to Adjusted quarter million we of million in year now net income year, grew compared this leverage on to period. quarter earlier in to exiting schedule. discussed prior X the As expenses $XX.X $XX.X the which ahead we've operating achieved XX% year, third gain

always, income income. to to release. EBITDA Please our measures As GAAP bridge that of a net a and non-GAAP reconciliation we adjusted for refer net of our in included adjusted press

capital, the the particularly to receivable and working Moving opportunities to quarters. inventory accounts our numbers, in have into coming sheet, optimize balance we dug having

and products. As XX% continued representing and orders XX% and awarded backlog of of September customer XXXX, and year an were in last respectively. orders reflects time same demand and the for for Shoals XX, growth the record XXXX, backlog versus a company million, The $XXX.X robust awarded increase XX, new June

revenue Based raising our range to be and team, end customers year our input outlook. Turning are $XXX previous current to up XXXX our of now on outlook. to we We million, million from low conditions the XX% and $XXX in full year-over-year. to expect of market the XX%

leverage be to the strong expect million of million. now we of expenses, of income EBITDA in and back the to range third our million results be $XX of range in quarter expectation $XX $XX net to on On operating million adjusted adjusted continued the to and $XX

As timing potential of spend increase generally will a we basis, move shift quarter. to we increase EBITDA due to adjusted not be and margin the the on mix will the expect though for linear from forward, quarter year-over-year to

Now remarks. back to closing for Jason

line year to first I'd their shareholders headwinds up our their commitment Shoals, Dominic. optimistic for With everyone. our the time appreciate with can employees of quarters. our achieve half strength the thanking be Shoals for the today, what BLA thank support. during by demand coming a for all about And our like Thanks, I and their solar in product, for questions. core your EV, company's open and we'll the confronted and success, now the we our continued successful sales year. we and customers to initiatives is product huge incredibly despite you, of tremendous close the and strong to I'm of that, XXXX new shaping for for contributions to

Instructions]. [Operator

of first JPMorgan. comes question Strouse from The Mark

as activity of last start the we that, with you I deliveries? kind implies should general that, backlog you of going Is look could. as If to on been the over XX Congrats seeing public I any change Are what or strong in any your wanted seeing months to ratio since far that order are any if the of order reason UL you've activity? kind back so. and line time Yes. of of backlog. kind believe next of your the ratio forward maintain your that of or elongation there the for

and talked Yes. about say here. Jason that award you to Mark, our months. some orders with we've from I period. the like But Good X- kind the appreciate again. going that mean, period obviously, in in here. bell compliments. past, speak generally I over speaking, there's backlog time would have as the to generally team the Yes, Definitely time right? effort of I same to XX You're time. curve, a next still to X to XX-month spillover represents

understand SG&A Okay. and the Good can bit of that you've But a going a forward, follow-up. to commentary, the forward? fluctuate Dominic, hear. And gross just made quite margins I provide leverage on then just investments any you year-to-date with can some just kind going of mix.

Sarbanes-Oxley company Thanks, controls we've of we've our we've the the including Yes. in public looked positions the expenses, to a from readiness made From growth this of in Sure. Mark. had incremental standpoint, that -- one that at some some margin investments is our the year. positions, things of for that

good volume fewer projected there from leverage the does QX. in QX days range production guidance So some from in and that did standpoint, we've get sales anticipate that higher we out

So previously, should remarks, we've some the as for is great as guided XX% the expansion we over to us see, in And gross But that EBITDA time. will continued mentioned there. margins fluctuate. margin target to then in to we margin prepared a have XX%

Philip comes of from Capital Partners. The next ROTH Shen question

in a volume how have modules? and the see from lack X have in to despite and to of do on have the that to on much were quarter. of strong that that modules, don't check Congrats install I tracker wanted you may the you're with EBOS strength and that serving able but projects QX come

to you to Yes. again, Phil. talk Good

think I kind first. a QX, kind of the QX X-part it's I'll question. take of

think of to want it of as QX thing strong, was midpoint XX% our revenue that look we it's out QX I call, important, our all, year-over-year turned a talked just about talk One exceptionally for guidance be when perspective slightly First we about. but from QX we during do as that than about the year, expectation at was growth. because have would QX, stronger nearly you I very QX were the costs talked

it, upon to general, UFLPA are the QX close based So are holiday be we because we working think there based on or availability out And just still move days of, can the very QX Dominic throughout season, the go itself. there strong quarter also panel a there have as through definitely few as construction and say that moving we as fewer mentioned, delays. of end plan forward are many serving, we going that serving specifically, be are to regarding based will Phil. there's projects I that perspective, are or I that that projects forward. panel that serving. of that I from we're projects I know moving are the a but But in year. any the There's are I be panels you not potential know a that we that currently panel will affected there with have as could but quite in don't ones that guess do know projects upon there

orders you orders most well. then on like It increase And difference, the the backlog. in a came category orders parse awarded to out backlog as the that awarded follow-up and looks opposed when in and as here from question, backlog Great. the awarded of

think backlog orders million million $XXX from million. from $XXX and $XXX I to increased to awarded million went $XXX

months. XX those to X you expect be in wanted confirm delivered the just to next So awarded orders do to

looks that. like I contracts I take-or-pay million think also Q, in you of heard $XXX provisions. that then worth your And you say a have it have

to Jason, similar longer-term distribution mentioned that to going the maybe so But just kind have or you to something forward, expect same contracts contracting if of would solar of first with see more you ahead? you like through, And customer, wanted a talk and a could I now, type.

a to there, quite I'll Phil. So bit those. try of off Maybe knock a few

complete. customers But to conversations ability had. key the one definitely One those sure wanted have a to of saw was make topics can more access big I of our is, pretty regarding things it to that change while capacity to customers conversations. say we wanting takes in that things the to we RE+, sentiment a get long-term have have just that during the Obviously,

So who QX, moratorium RE+ for lines out definitely things we and extension kind of the goes, awarded that have knows I'm look sorry, one is or those on that upon like that recall great in or of X-year referring on the that quarter opportunity backlog spillover conversations where really directly along of the was said everyone out? Yes, based of coverage further didn't we lot the back panel of -- tariffs. a orders, a but does lot span left specifically what in the

Phil, at look allowed the definitely think backlog with strong obviously, this where you away orders that time, in some may strong obviously, big QX, But and if you'll having realize QX, eating awarded and not then a you'll having to perspective that you'll are in So in IRA the quarter decent when play, jump awarded specifically, growth very case. at we again. full look, But and from obviously, backlog the then always jump I you a go be pretty orders. back and get from find you're us you get support that, over start

where are for future about definitely very the holds. very So and what excited excited we

comes The Maheep Suisse. Instructions]. next Mandloi from of Credit [Operator question

in talk awarded contribution you its think orders business? or the the year about how quarter and charging Could business? And here? How from the about EV we coming should of to revenues the much the backlog that

Maheep, Yeah, Jason here.

states tell orders can be new and e-mobility been But case What perspective, short average accomplish, contributing that excited breakout validating excited backlog cost we've not been launching the been to launch, while with to very over an to able also is corporate we're able the out. is, that that international. proposition customers expect it products time at nothing and or our XX% we're to about you on successful product over awarded will not obviously, that has XX% I So only but that our able what and accomplish of e-mobility Feedback savings continue value providing from moment, amazing margin storage time. and of maintaining to different or that from launch a installation very XX we've bring to profile. with

So and to exciting jobs perspective very, that from grow. continue that very only very, see

then And it. housekeepings. like Got one maybe just

road harness where I why map think product show out probably one of the quarter. about by pushed has you a which slides the talk been product

And that or any you for impact Just for revenues what's wanted that? driving does check product guys? to 'XX 'XX

look the Yes. we When awarded that be that at based you we that I a large backlog portion is products upon going have, and orders out. mean, to released have current of

we when which BLA management commercialization So allow of out product on our finish X.X, tracking talk will still particular about those certification our wire both have we're products, up us complete and that to phase. to

And do also they previewed X they're we've So work and those -- very already do very together, RE+. at complementary. well those products

to looking front the with we on So those. forward opportunity XXXX products sides process of in as finalizing have of and those into move we both the us certification particular

certification And U.S. or clarification, That's is for just Europe? a that my all from end.

question, Maheep. Good

So gate, our and of right the BLA our looking product at X.X. out high-impacting we're

And that, which certification will product North much So our accordingly, other is the we've is going like we going to upon after that be America. all UL of out we're with done initial certification, branch lines. then based for

as we progress line. time you keep we'll that definitely informed throughout So

comes next The Sachs. from of question Goldman Brian Lee

margin XQ you hence, to I how for are bit from one, sequential were a talking but was about be a so the little when here. XQ. posted out we and this thought EPS EBITDA than new downtick EBITDA revenue in think XQ expected it there's quite Sorry stronger than a up more inferred It just much little revised of if back being into that I the why noticeable you seems and ended the the that like declining seems guidance significantly I the missed year. margin declines

the talk can the metrics other pronounced Whether downtick with what's about you're it's to a versus mix? costs kind line incremental happening whether quarter-on-quarter such that's you that of there's guiding So here? EBITDA like some more

here. Dominic Sure, Brian. It's

margins. increased of QX all, the And lose little performance a forward a and Yes, we leverage staff with aiding help leverage. and couple well. of quarter, expenses then as XQ revenue other very of A do some absolutely online some First company we also positions with pull modeled public things. such pleased to of expenses the the the that that have revenue as be in the we're QX us of in bit that from did some and incremental coming less have myself perspective in expect to of we in

period investments off in continue And to so some sequentially. that where margins pleased some that. we're is lower revenue we recognize We it's do SG&A year, the we've it guided we lose important are. do to slightly do a to very as expenses with leverage very We to earlier the that us. quarter-over-quarter And expect and think back for grow

was Okay. Phil's going of overall quite there question the helpful. back mean awarded then That's about performance I orders. impressive. backlog to mix And and the just

and to sort of when kudos look Are know as space customer elongate whether the you your which booking or in So what environment kind the investments mentioned us, you you multiyear what to order that official And or particularly there's a guys. prepared awarded is the this of seeing But you out-year you for of happening degree? takes lot not I into a are demand cycles understand Jason, trying utility remind you. status? have advance? any scale delivery some at in forward booking multiyears some opportunities, cycles remarks, Just of peers, in whether lot of like during panel backlog seeing to then you're of an to could sales

question, Brian. Great Yes.

couple performing awarded at things. now, things. of that what a start side represents when probably still and expect XX having initial that a backlog on that X as want It's like and with talking based may today. what that even on that the like are were you happening. about that to There earlier it And we're not of seeing something out but customers them for beyond. But again, that's we're you're conversations we're are there what in an roughly conversations elongate to only update we'll about look RE+, for backlog. go to I we nothing Right it accordingly. month of original answer what ultimately and orders, move And would awarded it does to opportunity into far orders talking to to you panel that I was back think and definitely conversations I transpire, believe the there's flip an something opportunity really capable take are What as over XXXX, not really if out question, into was period. understand where at So then

at we is you goes that itself an are that with we opportunity to, once So that and PO everything completed, all into on agreed & itself backlog executing fully product. Ts have Cs, look when

on be Ts project MSA Cs just sales So to particular been allow have We when details nomenclature. with orders, directly and particular be & going If may looking an those turn us product. we front. that through customers. point up that we and a site that's may at But into backlog you through place, at look multiple to awarded that right? execute last-minute really buttoning stages, going award at that new in There's which specific we've that

Oppenheimer. of from comes question Rusch Colin next The

talk you the bit as of a little of Can content bookings well perspective EV the from projects? international about a as bookings

again. you with speaking great Colin, Yes,

far yet, orders, our specifically not e-mobility. coming or that that cells, you of with look can is definitive awarded as portion what that things whether a whether full system on backlog through the you the BLA is meaningful itself. down at breaking say we're breakdown, side look of international at I But at Looking as

just then is to impacting that you related And the you really electricians intense around Are sales for point cycle customers? And one of Okay. this the out for that second more your in field. guys? urgency seeing how shortage the the is get at

we've is be it's is installed by of itself. But to exactly X, mean EBOS Yes. anyone. talked day done our [indiscernible], a to lot hard how we've cost the even say really in cost greater we've of about And that because from EBOS that response set the out can of system can what past, products and the disproportionately a of cost or components I installing and as product contributes. solutions some the EBOS at that high than be the the -- direct

provision, looking BLA reinforces an that's our obviously, inflationary that with value proposition our further and condition product. when So just wage prevailing combine-as-you-go you're at of the

So when expensive, where will have more be environments you like our this more labor attractive. generally is solutions

about out to even utilized So in everything more back say pretty that BLA really can that I've sure they're they that to understand excited have capturing value, that. is reached What and dive that that customers I much detail can. make really

hard but definitely say, contributing how it's much So it's is, Colin. exactly that to that, to

The Harrison next question comes from Kashy of Piper Sandler.

already In and think there's customers your of want see do do entering we that question projects that and BLA come to a first to then "Hey, move said, X.X some X.X", XXXX? BLA my around you wondering, awarded? business and other you you we're already So just upside going awarded backlog have signed faster for is for up on and that say, may we give been BLA was today this that I could upgrade X.X. have think words, actually, to

Kashy, maybe -- out if waiting there orders, I any little for thinking if things history different don't about it have on we a bit off that X.X. BLA are holding think that But current way. BLA we is about not that repeats BLA our have at past, the to we generations the generation itself, different when brought talked of as we look in BLA the because original you market. customers

the there we side really past the it in this that worth of then doesn't point past proceeded forward that with customers the available they at tell like, yes, at past, is look were is things. making cases And in out do and in So more the many have customers were you viable, a solution in what if material cases most where commercially became take anything I in impact them whenever find would definitely the that can change. time. can optimum And this

say. some happening So opportunity that is that I projects like really I definitely to repeats looks could there's that. foresee said, for if history on hard How But itself.

what That's of now I of just follow-up, compared amount the Has how it quarter helpful. it a was it during And as this accelerated? -- to you redesigns curious, same? based year Is I'm last is that where on just indicated Has of magnitude seeing last the right as year? then the redesign. maybe this significant project it think my was uncertainty resulting in about you're decelerated? call, policy

saying redesigns, definitely are number that, mean confident As what think I to there for And project far as several the decelerated. I it's I clarify just feel there. of reasons

lot of different And still happened finite that something different we project For would found that may read And that selections. what very on that's the early into as you very down project. progresses, what designs. in projects, carry before a then multiple

more selections much carried drill what those happening the design think So are further redesign. going fire but being not cycle, redesign, nearest AKA without customers versatility to which allows quick, I would through call I

think a about definitely from, redesigns of come to ago year have date. we've from I where but being number So smarter really the it's decreased

Osha The Guggenheim of next question comes Partners. from Joseph

tell most for? get if X wondering, weren't of get had already is in pulling say into could sure of planned, maybe Or the panels XX issue but that this heard being whether trigger XXXX? the months. increase center, I'm backlog, people they to you backlog. projects big yet on do projects been they this just you Again, can are pulled to returning you Just I

hard Yes. levers the it's being are say different that are what to all pulled up. Joe,

couple a different are there that obviously, I've of about talked think things I earlier.

pulled been there lot industry moratorium, more can say X-year projects the obviously, the don't have trying to can in is that have and IRA, that But I that general from that 'XX. projects say have been can. I are which quick has itself. on a know completed 'XX what track You customers to as brought they in to I get back possibly certainty as

get to time, back some on on at there if a conversation in these break any necessarily would projects completed just I see them projects near-term past, and is the that So get try let's general point derailed how we were track. any were that particular can let's

you and prepared Are could question. much rate capacity theoretically about dip general to into more a just now run from talk then And on year? a sense. makes you basis a next looking standpoint, that how Yes,

your best mention in were of that that you we from extremely have change, things, -- to awarded out to What we right can tell similar we want ahead to asking into swing the specifically important a do you would partner And pivot then from funnel I Then anything many as strong to feel actually dependable of support as Shoals, amongst customers make is released we capacity very customers. And try very our not we're are perspective. that far well and side to further, as is information able what But and industry how that standpoint. we extremely, sort understand making we customers comfortable and that our are backlog be couple we the things now customers. But with we I benchmarks. right, to right something our to of accordingly, our a a pipeline you're Yes, exactly on obviously, as capacity the if sure to we've the management Joe. sure utilize and reach And industry we orders. things, feeds capacity not operate, other very of a us. out, would increase stay some that

Martin comes The of Rice. from Johnson Malloy next question

the on addressable addressable to what the product impact your ask products, relative is you your you maybe product introductions? XX Slide introductions, high-capacity I the and existing these the addressable the BLA market -- to want of new with remind market new on X.X, can about us

Yes.

specifically to not X.X. overall, BLA So

$X.XX we right watt. on goal over of roughly per now, at look right? that, average, for watt, $X.XX $X.XXX get kind So is to us was you where were, about to coming time Our per off to benchmarked we that

the another would as that X that we've $X.XXX those through -- I of many towards look at page, going out products. the what we'll of one X.X when I X But that So harness, harness of bottom X.X even look are position those additional opportunities of we and as XXXX X forward. roll And the talk high-capacity carry definitely which mentioned there's that meaningful more more $X.XXX. some on in on about that like, the towards $X.XX say AC add of contributors BLA the I as new at is $X.XX do outside BLA a and additional page, to is products high-capacity well itself.

specifics So out exact any we've released not BLA carries or high-capacity as to X.X what harness.

Thank call. you. This concludes the today's question-and-answer conference and session

you your a have participating, and disconnect may pleasant You Thank for lines. day.