Texas Instruments (TXN) 26 Oct 212021 Q3 Earnings call transcript

Good day and welcome to the Texas Instruments Q3, 2021, Earnings Release Conference Call. Today's conference is being recorded. At this time. I would like to turn the conference over to A - Dave Pahl. Please go ahead.

afternoon. Good for Quarter you call. Earnings our joining thank XXXX, Third Conference And

call cause you live TI's any current that review the be results most be website through statements differ on well This missed you a involve accessed forward-looking at will include the being you that com/ir. description. For A for risks forward-looking management's encourage and as who more filings available it materially the published through release, regarding our expectations. notice could of replay We in and earnings to uncertainties the over the from TI's web can contained website. find today, SEC complete to ti. statements web. recent is release can as call broadcast will our This

Chief the Our will and Lizardi, Officer, Rafael - Financial me is today with A following updates. provide

the First, overview quick of I'll with start quarter. a

seeing of sequential also quarters. to by provide we And results, I'll market, we're provide revenue insight into last the have customers as markets. the some including what quarter Next, end I'll third and some in performance details with few details respect

revenue segment declined grew grew XX% sequentially electronics. processing from of processing quarter normal data X% XX%, a demand industrial, personal XXXX. in will update year-ago only of quarter. embedded insightful, XX% to less As year-over-year quarter, was On capacity of a to expansion basis, in a embedded lastly, the our our $X.X year-over-year overview cover and of by revenue billion, analog guidance And basis, automotive, we'll back an fourth and other per the Starting analog our move on XX% begins sequential the driven for be grew X% financial an the our practice. quarter Rafael grew reporting results, year-over-year and increase quick sequential plans and X% with

seeing with what products the segments times me but Overall, markets. hotspots product stable, our generally to some the on and context to exist. in geographies. customers our quarter across we're current the and provide environment expected comment of came remained Lead and majority markets let Now of we continued the for as

will to greater semiconductor assembly chain. some And associated requests, at including near-term manufacturing per Lehi, lower robust selective growing capacity technology are the continue Fab-X matched end will XXXX, control system test than recognition geography. customers with board. our while Discussions secular These growth market, confirm our becoming a in and This imbalance high-level roadmap that expanding them expansions. competitive demand of and more interest the any to requires a of grow, products that advantage we our or roadmap, and is our expedite a to a in across or XXX-millimeter and will LFAB, fabs, on to supply content and expediting set provide complete our products focusing is behavior manufacturing the investments product rather not and supply customers strengthen there internal manufacturing point, beyond. and specific family However, call for commitment this what wafer capacity the costs

on, revenue Moving quarter market. some third insight end our provide by I'll into

the phones, Personal tablets. strength up to year-ago. sequentially to low almost sequentially, to XXXX, year and was set was and were generally market and of year-ago across about the and mid-single-digits a QX again sequentially sequentially, PC up electronics XX%. industrial revenue due The year comparing is pre year-ago grew up up XX% changes diverse XX% than the of more market was mobile a -pandemic compared down the When automotive First, low sectors. was and both from The grew sequentially, double-digit levels from The double-digits and consistent from notebooks, ago. the ago.

now communications mid-single digits Enterprise year-ago capital teens grew Rafael was a from outlook. Next, from will and down sequentially, the profitability, down sequentially quarter. upper and ago. and systems review was year management, equipment our

Dave, afternoon, Thanks, everyone. and good

On points. Dave quarter Gross $X.X operating up billion increased from expenses billion, ago, profit was XX-month a XX% ago, XXX of basis revenue. quarter were about As of a year was gross ago. margin Operating $XXX million, X% as the basis, third year $X.X the in and from expenses or From in revenue up were XX% a revenue. trailing profit mentioned, expected. quarter a year XX%

in XX Over R&D. will of the in beginning quarter $X.X Acquisition we the in revenue. were go quarter Net charges million non-cash and XX% quarter billion to XX% quarter quarter. $X.XX have X third per from billion billion months, $X.X share. Income the last in the third profit Operating profit up year-ago fourth $XX $X.X or invested Operating of and we expense was was the was XXXX. or

was month, were returned we of the year in total, In past comment expenditures Capital dividend consecutive quarter. and Let was $XXX in a $XXX now by In flow in we of a in stock. our would our $X.X announced repurchased have we increase me basis operations $X.X results, with increases. quarter. September, dividend on our management $XXX flow Cash months. the our dividends the our quarter, billion pay from million starting cash billion. million Free XX% $X.X the cash marking billion effective generation. XX-month this XX on we capital XXth In trailing million

period, XX% flow dividend underscoring of its free same cash the sustainability. our represented Over

debt $X.X with $XXX of we've cash investments $X.X billion balance the sheet at short-term of strong remains the and each. third tranches the million billion end X of quarter Our In in of issued quarter.

X.X% This billion which years, X.X% average with XX X.X%. at doing debt has due in the coupon and years. coupon of weighted total is last X X.XXX%, years, the of of $X.X a in first in second due XX The a at resulted

below desired inventory and levels. still TI but $X days million from were prior day inventory, were up X up the sequentially, Regarding XXX, dollars quarter,

$X.XX share in to are costs range billion The $X.XX. per last closed earnings to the billion guidance. in a we the revenue our $X.XX be the fourth not TI in For quarter of included Friday, of the acquisition and but expect range Lehi $X.XX to

will when details quarter report we We fourth those results. provide

a price ongoing we Just through XXXX. the as expect purchase quarter million, $XXX of and per cost $XX was reminder, million about about

tax expect We rate XXXX, be to about annual our continue XX%. and rate to be operating for to tax about effective XX% our

about operating discrete As profile you're any to are a would XXXX, expect they your compared for invest year. With closing, stronger. we making rest effective year. In our of advantages what rates our tax similar are the without looking the quarter and to tax strengthen at in and quarterly models business in first the competitive of continue to remain to changes this our taxable, benefits that to annual higher we

capacity in L-Fab for examples. are expansion, Our investments our in and great long-term both R-Fab-X, roadmap

our strengthen As revenue will this of advantage. higher as percentage remainder, a on be an capex a we level, as absolute well as

detailed plans our in working and we'll through in have in are capital timing We management of February. roadmap goal specifics of spending long-term our capex

owning We be let me strategic controlling and of chain will Dave. growing back our continue importance. turn to supply to believe it With that,

question, up Operator? you our can as possible questions. opportunity order the ask as to opportunity please provide after Thanks, a limit of response, to question additional many lines open In single now an yourself a you we'll Rafael. an follow-up. provide to Operator, for you for an

go to for signal a to pause We'll of questions. to just will John opportunity when Credit let an Instructions] first we moment And [Operator Pitzer Suisse.

September guidance in guys. supply might more the the outside I'm afternoon, curious across its sense, Dave, about September being upside would know hearing you and Any just your constraints sort look this at the To letting there environment quarter, kind when of have they're curious. level look make what range. extent supply The me above helpful. Thanks at a June economy. We're quarter was of well I guidance control? but above constraints ask quarter still do of the been good color from what lower you came pulling seasonality question. well be there you the September just midpoint, of for what versus extent Yeah, the but within selective in quarter. your in range. think customers June logistical constraints To you? a doesn't of the lot when I'm

for really of material. depends the bill it and think customer's Sure, thanks on I John, Yeah, question. the

widely prepared remarks, our that think constraints the across the are we're the as in there supply are different, different. that reported behavior seeing different I mentioned that components. we And

to with short quarters. so they're behavior complete for that that a quarter looking versus those prior that It we're expedite. lists Our They're meetings with customers us just are we that showing up and them, the this requesting seeing they -- up really complete particular rather for showing matched different asking is they're builds of parts so lists, devices have those than long them. sets can

So follow-on?

year for is kind how you year and As being calendar we should think you're of we margin just guess, a And, impact to capacity color to stage ELFAD bit set a about the year next RFAB's 'XX, help follow-on, obviously as a about you I'm equal, you? the build-out I us Can But get next know layer on be year. little going into give expenses all investments? us wondering else I as going in gross more if. expenses these

Yeah. I'll one. take that

and why of a that, all about that known I XX we're the expense, starting question, making this And RFABX, depreciates that a as and the to gross over in, per business rest you've XXX for we've million a free price. or growth. manage we're for specifically, that time. is chain. and we balance which margins. know, to manufacturing building driving is LFAB, us a addition cost advantage support gives of year The be about that's don't the We you of so. that years. We we're And Any stars with With equipment billion advantage going purchase next billion your extending investment, as coming the a top and do to that's that's controlling flow structural years us is growth due putting long-term the low-cost our $X equipment on share, XXX line, revenue that obviously supply manage in to First, over long the millimeters. great cash think

some that building, of up. over $X some a of about we'll as is that billion we that of top capex of then of And is put that, And equipment. years ramp number on

longer-term bigger support management on to So, a picture you longer-term those you of and of that the details gulf. we'll give in the February going we're additional growth. details how We'll capital give

you. Thank Okay.

Thank go caller the you, next we'll to John. please. And

to next And go we'll Arcuri of Timothy UBS.

wondering how customers might side your Rafael, ubiquitous talk passing thanks. any in onto talk those you're about be? pricing. input was costs. whether I Hi, if increases some Obviously, on and your increases about you're seeing could Can price you you

is overdone, to tell changed, I competitive really we if not is degree. move pricing monitor cost you, input the And to and What be goal it's has be the in we're and of competitive Yeah. to just adjusting goal would as our those been our independent overdone. higher have and regularly our we that. frankly largest prices But strategy

a follow-up, have You Tim?

same of Balance a kind to last back think -- over you'd I target what could buying the us looking that I start start maybe back pretty buyback you say I'll I did, guess you're bit that Is think buy three be to it if but a back of of to again. be Thanks. capitalized again. for share triggers And can Dave. ask Sheet not there you repo, more us low what there asked kind triggers wondering would sort I'm for question was stock? through to that Thanks. you a might the help cash little where obviously more start talk the is I'm I guess might through stock? getting and about just maybe just much, I've is you -- level the you calls

our that everybody Yeah, over about buyback. how free our return through to is the all objective returns, and long and owners the cash And remind flow to of we dividends stepping back just the think do Company to term. we

our that on and XX-year at really look You is history consistent.

XXX% over -- In years, well many years we've, we've return. fact, of most averaged

have, the that into return would the we I of dividends. During increased proportion that remind time, we have you comes

that going X the plays you as we long that. So the also you And have last buybacks we as we're pointed think some seen, are into buybacks. as creative long-term have owners, have. quarters as to out, But to

return cash quarter In XX or we not owners fact, single years form through or so a in been I have the another. think the the don't one in that last purchased there's through buybacks

Okay. And next Thank you, go the Tim. caller, we'll to please.

We'll to next Sur go Harlan JPMorgan. of

direct customer of most overall goods dropped and sitting question. this pre-COVID-XX, afternoon assume down hubs, for in consignment assume Good due and XX% at my X% is Finished in than dropped inventory, strong XX% your thanks On to down beginning faster demand of They're QX. which down this taking I come year, the from the profile customers. sequentially QX, finished goods inventories. X% has I from

So is to outlook part inventories levels? decline normal in the demand forecast are of relative sequential replenish these consigning how regular to and far here And fourth actually muted does target below inventories or customers QX backlog a quarter? your profile reflect the the

Yeah.

and target Dave, step days, start chime that, think -- XXX-XXX back. levels desired I'll are where I a our So, want going let at inventory XXX with in Obviously, but levels. you you're below to after days. We're me that is make

consignment goods in -- are we or want our be. finished And well the that product ones you inside whether centers, finished distribution pointed at goods, as of to clearly, it's out are all most. that decreasing So where we're below

-- even and finished a fact, whip to raw slightly to above and offset third stayed increased inventory decreased total materials inventory goods up flat levels though second little that. In then quarter, bit

the inventory, of couple will it sense I beyond secular wouldn't positions, to to distribution if levels that business up back itself, Not expect we ship demand model, designed, more expect us begin can then happen that. goal, consignment, in healthy given to by process product Our on it's more only be products soon That's it demand, increases Pure afford. a we And that gives levels. low there's to as more given centers. needed. as tend great have adjustment build frankly, those confident I just you're think, those the for to of be And that the we build with. to where for our diversity that that pretty obsolescence just a an build consignment And going our will lean that, bet, weeks, of build inventory to we're happen of at where inventory, makes to at inventory, is significantly. capacity ready us how most flexibility can just so is I our the growth afford, diversity the keep would

Yeah.

that's think I well said.

be whether consignment that think we it. to this I'd more pointed by of do would our reflective we just our center, incrementally, quarter that'll -- a plan I capacity tactically out, where and close year also middle that, back will as to and and through in point our we on as Rafael, keep customer as of just bring Friday we hubs if then out push decision. RFABX it Rafael it, be on expectation XXXX, prefer a LFAB week. we online of year, come or That's where the out each pull half that'll on followed we the you next through did it factory of have last in just tactical said, that will we since

on a is Harlan? to in the to follow-up, future. early have growth support Did that XXXX target in you so And come online

insightful Yes. answer. Thanks. the I appreciate

So, includes and year, business, about mix consignment direct exiting roughly in if book-to-bill did a positive could which team revenues. sit last quantify? drive was that Where of does ratio XX% the the QX, today you maybe that

first your that's anymore. not a So, on don't consignment, our haven't is we're disclosed of I think right? disclosing that think relevant, percent percent, from and question On the book-to-bill, in asked we while, that you frankly, that we revenue and on

Yeah, I didn't quite first the -- that's part.

right we the you just are asking, make you there? question? Harlan, first sure we so you're it, repeat got got it Could what Yeah. -- Harlan,

overall just Yeah, of business. the direct percentage

We of our with X/X left yes. about the business, last direct direct. year revenues Oh,

time. book-to-bill. that what this done what like. just other that time, slightly talking increase of an February we management, call over expect that we've will But looks Rafael time. February that We'll that in of just over over with provide percentage about actually to update up caller will that do move with expected And year say, call, the we cap our So, the in

used actual be. our got we've consignment, to quite we've meaningful got on lot a what of backlog as ti.com, it As as revenue isn't the

number it's some said, he talked just not or time. in we've as we look about measure or at So, a that

what quite as it as So, it isn't helpful be. to used

to Harlan, next go you, please. the thank and So, caller, we'll

And go we'll to Research. of Bernstein Rasgon Stacy next

questions. for Thanks taking guys. my Hi,

For because that incremental does to And or people it million said [inaudible you right? that the XX:XX:XX] in is you include does what term? anything like know year. a first it I the impact. $XX ask its Those people, -- go think costs do else $XX micron one in quarter I about how correct? don't you wanted costs long if cost about impact model next That near-term away, million the the

Stacy. question. good, direct Good Very

through yes, just still Depreciation when the through start million of that will right? and Boeing, scenario And mainly we direct other until most production charges that that that not about is most we people until the first $XX cost the line we're the on currently So of the costs that start rules working its front. but start costs, million that their restructuring way 'XX the will work is line. details, go believe XX not -- And likely might of quarter / depreciation. majority that that go would production, to we

costs revenue. our then doing that time But right? as think that those production, we over pretty is actually increased dose where I absorbed is scores, happens Now, you're the and by going plus

in depends XXX% Now, beginning Clearly, are we factory. XXXX. but utilization, will be we we're that we'll some beyond rammed we the to get at to a absorption at how quickly and point, absorbed that also how not the on that just quick etc., we've won't going there --

of some And I investments, February with along our get we'll sense give get how management in some think kind that a the capex to to out. bigger of capital and you picture other we'll call, details. frame play that's So, of it to going of better a point you that at

A follow-on Stacy?

has like And disconnected. it looks Stacy

Okay.

right. All

Okay.

us have We'll follow-on, let Stacy. caller, the please. you know, next a If go to

And next Bank. Ross of we'll go to Seymore Deutsche

demand year, Hey original and XX:XX:XX] the [inaudible a dynamics. had you beat supply a that demand profile selectivity It to I guidance, volatile into into the role up want investors, in when conservatism the deltas. your the smallest Rafael, play there about? couldn't wondered, by last really that was to from you but talking you built the the meet exceedingly letting of did in you you had I guys, guys to supply about Dave a Or in realize for beat that have get was question. me you're and changed I changing changing ask that talk trying to And those demand? quarters where level what been thanks versus the get year. reported prior of revenue it's whatever some Just bigger just

Yes.

you think I said to from I think customers, demand demand say is you meant its investors, Ron? right from

that. about Sorry

products were so to wasn't different outperformed investors a if But underperformed right? this happy types semiconductors and we was that or it remarks to those the expecting. end of I'd groups what overall, say that there statement Quarter cuts, versus and That's like one we and just us, looked expected prepared of what okay. area the the Certainly, in to, product across any thing want again, from and And main quarter sell as geographies markets, was yes, we that's as said be them, buy came but in we'll we

in are just difference a really was requesting customers expedites those products. upsides from and the focused so what on where coming that much and was. really few was much, upsides more were us, and quarter and narrower last

and this quarter types would of XX say last what you're the If those what's for I in looking that's different changed point versus days. to things, last was what quarter

follow-up, on for Thanks This a question. similarly my help toned the is that.

about impact change extended it talked You incrementally mentioned students or something stable, is remain Lehi times times? more selectivity supply lead the rising that and that side the likely would but be is with and your demand going that selectivity so What lead lead side and of whole more look are going are dynamic. times then guys forward? you you to to imagine would the is as or you the selectivity cycles, back

at certainly, you and Well, to combination with incremental we cycles many add been will have planned of there as for as be from know, some coming with get ready we it, want things on the out And demand to do, on will of spend And to want one right? you've prepare through we to point, that LFAB, standpoint. for what we to we'll And don't strengthens. RFABX capacity, that, time time, as demand continue time. make to a for we'll we'll time as both. and always some and us, as that we talked trying we'll more but know the things that tranches so, is go capacity we predict then top Rafael rebuild inventory in able be a know front. It's about, progress we bigger the the next the of change

We list to we'll a ready invest doing it of but the timing control make won't that have We for for in very it, stronger. be that, long sure. things of we're to the Company

that next industrial just in auto to investing that for to whenever long-term long-term and that the we Dave R&D, secular And is, a point, roadmap CapEx, build the on the invest years, that's what inventory to set will as growth. We'll the mentioned. for up adjustment great and continue areas, on will we and happens, Company the has focus when emphasize XX-XX continue we've

the side, frankly, good other at because long-lived and days, up inventory end we a that and of north. about will sets the how end be, range range given just model we'll in probably the the us business good the Our XXX-XXX of it up higher that is nature next upturn so the that how for being on feel

Yeah. right. That's

Ross. caller next Okay. And the Thank to you, please. we'll go

of Vivek to Arya next Bank go America. of We'll

component the have to that they they customers don't building don't enough enough from question. you others get supply need side right. my want the not or they to I just Are materials? ordering complete on from as taking have you for from side, Thanks because the much

both both, may -- semiconductors, components the a other of are of the -- it's chains It those depends it's the and instances they're on there Yeah, building materials be Vivek. sometimes things. that and those missing. are Supply It's systems not of it's be may There's combination even building. that complex. they

it So, depends.

they ago, Yeah, days everything, almost days set regardless expanding ago, of XXX and the matched nuance were changes, XX position.

they in they're are Now, more selective what expediting, right?

You follow-on, Vivek? have a

Yes. auto to Could specifically market. not clear has you year semiconductor not but the have that been Thank you. the talk sales strong, This automotive been it's production pretty strong.

So, as it in applies think that for? Or you automotive to somewhere TI, do watch interplay is has we inventory supply between what been do there you should the perhaps think the out and mix? content stuck that chain

I the happening growth, two in Those that a we across of can to on on see of harder extend that, all so different in bias content automotive we but per industrial. think strategic to in and those to even long industrial, reports Vek, harder And sectors, in on. we the you've I'll you reported content comment the XX it's I'll see. invest that see growth you're focus we industrial have there that beginning talked sit it your I and strategic content is reported benefits and that have into markets, it believe some system. markets, on about have. markets It's that automotive, so that in know, we easy automotive, are cars in well

advantages products, as our well. those of markets breadth the advantages, in channel Our

we that customer themselves. in there's some anytime they'll is and the very what will that behavior at do But to cycles product industry, supply components behavior that the want and us to said, already is in that creates shortages that. build protect have Whether have done will too they consistent or certainly have to inventory much they So, want and they've of that point, begun that's that, that, always already

we'll comes next end that questions to those for It at know what you cycle the us if point, we'll Thank that to an want and we'll caller surprise some and please. be prepared do industry. won't at we'll to point. go the for

Joe We'll Stanley. go to Moore Morgan of

some stuff. is anything like you would that's and areas of any hotspots? enterprise you. electronics, thank if -- higher in hotspots. internal Great, the short particularly guys could it there it that personal particular Is you most that driving like there there foundry wonder talk think driving to products versus you with seems I you pattern more something in agree And volume the in fabs, do see is at those is have which supply? and Is we

around compounds that process a we move our the some those some operations have Yeah. area testers, in I that as customers wouldn't raw will as that to Certainly, on have move obviously particular see frames, put the themselves so see technologies, some in we so products down one one There's Other thoughts of well. so cases, any it tightness in more across of there's tightness thing, teams some as Joe. number other. that large boundaries, reports sometimes lead we capacity input, materials, well. from

consistent always not they're So, persistent. or

and mitigate just particular area them, And but completely or are, that's sometimes things why one may see. say alleviate not market, -- they're can not describe one they do one we them. those -- or I'd to there's actually would we Sometimes that as even that even product that even product one particular or set be customer particular by or that it's you particular impacted

our And XXX-millimeter. for the they've low control and low gives better And new come of the growing, -- mentioned in the internal mentioned, listeners. only reasons and then all -- something The much cost get foundries. of wafers us just are we've and wafers, investments XX% cost the XX% are majority, to our that with highlight XXX-millimeter had structural from Dave for about foundries, just maybe destiny. that we vast

especially it that advantage us to continues for strategic clear Yeah, be think that in makes this. times a like we I why believe

You follow-on, Joe? have a

a upside also and Yeah, that those with always respond you're from the that or some are there's broad made is where to demand would but that's where areas little meeting you. actual because a tight, on in commitments bit where there a it's not are things there of of of this, I you I -- scale you upstream wonder, why hotspots, situation know can't

there's exists. both probably think those of that I

inventory, yeah. At XXX days, the course, is to harder so respond of we at if it days were of XXX, to XXX, than XXX upside

Yes. Yes.

For sure.

So you, Joe. thank okay. Well, We'll next to go caller, the please.

question our from next Lee of Christine And comes Citi.

guys. Hey, thanks,

the are Raphael build is Why changed, less So, you you times? reducing lead of a getting that the you are the think think to but expedites your bit less that, that has or you little Do you Dave getting chain do situation think or chance times I that now some and better bad. lead supply think guess haven't either really better competitors Do is? a buffer had What do bad? inventory? mentioned

Yes. great think theories specifically, I I the good we to you're a fact can that we we're of observe trying answer, think to change, Chris, that's so question, behavior to think that know of that stick know offering stick into I changing, why that don't question. the I not may behavior. be trying the might going to rather what that driving changing, guessing but do facts behavior reasons to to or venture is or we're it why we'd what's There’re predicting multiple be what's and of calling on. some

do So, a have you follow-on?

the leave can - sell guess predicting and I Yeah. siders. up to guessing you

where eventually us for don't guys hit Is you cash cash or free margin, guess some flow you've you margin QX, headwinds any since about high down flow your I looks all-time -- coming in above it the in in was reason back I talk it free to to you do and gross think but all-time free cash margin, most get believe quarter? near flow recent there's talk the margin like On that about the could it seen an peak in medium-term. there pipe

you Chris. well. know us that, take Chris, And I'll very

You time. follow for a us long

do not what cash margin owners cent, per right? You some manage cash are only cash future. because growth long-term that drive well is the the long-term faster even point, that flow of are for to talking if to capex know flow not of we're dollars. to your up there, the going the That long-term we free with there headwinds to the the trend of drives Company of And that think But on flow about that value growth for dollars. set free we're doing we course, free

that focus is to drives that on continue the for is what because owners. we'll long-term that value -- think we So,

Chris for call. one time got you, Thank Okay. more and we've

we'll And to [Indiscernible] go

squeezing for Yes. Thank you in. me

as more now. believe should that rely and far outsourced grow question nodes, talked less assume that's to XX% on that supply less is advanced you about XX% chain, the to but going controlling forward? you're that going the foundries on we I and going As the just

Yes.

outsources, XX said just it's you make sure, to in-source So, XX% XX

rationale of Sort

Yeah.

we're these XXX own our all and times over to should XXX-millimeter time in And purposes. -- yeah, fabs for talking pretty are millimeter these as large almost accounts about, add we because millimeters, is wafer wafer, efficiency efficiency XX% the So, that that XXX wafers grow XXX-millimeter wafers. X.X of which where continue huge wafer

bigger is RFABX. to RFABX than fact, be going In

that So, that it's reasonable to deduce over time. percent increase will

through go those, the XX, Obviously, thunder new to going you're of XX, next months Very February, the follow-up, good. to for in a you Would your And capacity I billion. as I with XX steal don't numbers you’ve and to expansion anything $XX about don't months. but share capacity know, at any want from all? past, XX here talked

the Yeah. for No, question. great so Thanks for setup February.

is tell RFABX. And about on is Until heard that's about talk this revenue $X RFABX. annual on will talk DMOSX depending and Roughly, billion all the you than potential you've February. what then, highly about mix. that of XXX-millimeter dependent us would -- I We of our in

annual full numbers, X when And should billion add X. these or with but not, of Lehi week to day on that So, price not X add annual revenue. revenue, should obviously capex, billion it's are affected not billion of RFABX $X RFABX, again, another web

next as XX Company's that, Because next into we're then years, growth talk for So, look at potential thinking and or stopping, And we'll not in thinking and that of even more years, detail. terms we that. we're years. the in the beyond in the we're XX thinking in X about we're just thinking X XX, XX February

can wrap and up Rafael the have great. go That's think I you And mic. ahead can we

Okay.

the we share. metric owners Let over our foundation At we're said and long-term measure me of and wrap value technology's generate free previously. up but cash engineers, ultimately, and Company, by is of our objective the the growth our what progress to reiterating have core, for best

objective, to achieve our continue our ambitions. to will While three we strive pursue we

own the will we owners, like Company act decades. will We for

we a proud want our have adapt succeed Company When part we be that and successful, and that's our good will and a changing and We we're would in neighbor. and personally owners evening. you ever be a are will of communities, a to world customers, as employees, benefit. all Thank

participation. And concludes call. for today's this your you Thank

now may disconnect. You