Financial Data and Key Metrics Changes - Revenue for Q3 2025 reached $83.6 million, representing a 45% year-over-year increase [6][12] - Gross margins improved to 58.8%, up 70 basis points year-over-year [14] - Non-GAAP earnings per share (EPS) more than doubled to $0.87 [6][15] - Non-GAAP operating income was $15.4 million, an improvement of $11.4 million or 12 percentage points year-over-year [15] Business Line Data and Key Metrics Changes - Communications Enterprise Data Center (CED) revenue surged 115% year-over-year to $42.1 million, accounting for 51% of total revenue [12][14] - Sales in the automotive, industrial, and defense markets totaled $20.2 million, up 14% year-over-year [13] - Mobile IoT and consumer market sales increased 4% year-over-year to $21.3 million, with a significant contribution from a large consumer end customer [13] Market Data and Key Metrics Changes - Double-digit percentage growth was observed in every region during Q3 [7] - Demand from CED, communications, enterprise, and data center customers surged, marking the sixth consecutive quarter of triple-digit growth in CED [7] Company Strategy and Development Direction - The company is focusing on high-growth markets driven by AI, automotive, industrial, defense, and consumer sectors [16] - The introduction of the Titan platform marks entry into the $4 billion standalone resonator market, expected to grow to $1 billion by 2028 [9][10] - Continued investment in R&D and customer engagement is emphasized to strengthen operating leverage and drive sustained growth [11][16] Management's Comments on Operating Environment and Future Outlook - Management highlighted the robust demand and healthy funnel positioning for continued strong growth [11] - The company expects Q4 revenue to be in the range of $100 million to $103 million, with gross margins of 60% to 60.5% [16] - Management expressed confidence in the growth momentum driven by trends in oscillators, new designs, and shorter lead times for orders [8][9] Other Important Information - The company ended Q3 with $810 million in cash and short-term investments, with cash from operations more than doubling sequentially to $31.4 million [15] - Non-GAAP operating expenses increased 14% year-over-year to $33.7 million, reflecting disciplined investment for future growth [14] Q&A Session Summary Question: What is driving the strength in Q4? - Management noted continuation of trends and sequential growth in each segment, with AI and data center business leading the growth [18] Question: How does the resonator product line impact oscillator opportunities? - Management indicated that while clocks and oscillators are interconnected, significant revenue from resonators is not expected until late 2026 or 2027 [21] Question: What is the margin profile of the Titan family? - Management confirmed that while ASPs for resonators are lower, gross margins are expected to be in the 60% range [26] Question: Any updates on M&A strategy? - Management expressed interest in M&A for scale but noted that atomic clock businesses are far out in revenue terms [28] Question: What is the outlook on gross margins? - Management indicated that product mix and scale are contributing to gross margin improvements, targeting 60%+ [33] Question: Update on go-to-market strategy? - Management highlighted significant progress in semiconductor partnerships and expanding geographic footprint [35] Question: How much of the AI data center market can the company address? - Management stated that they are in the early stages of addressing the market and are building resources in R&D and sales [40] Question: What are the potential content drivers within the CED segment? - Management noted that the transition to 1.6 TB technology will increase timing content on boards, with future opportunities in chiplets [41] Question: Any thoughts on seasonal trends? - Management expects to see typical seasonal patterns but noted strong demand across the portfolio may mitigate some seasonal effects [48]