Bright Horizons Family Solutions Inc. (NYSE:BFAM) Q3 2024 Earnings Conference Call November 4, 2024 5:00 PM ET Company Participants Michael Flanagan - VP, IR Stephen Kramer - CEO Elizabeth Boland - CFO Conference Call Participants Andrew Steinerman - J.P. Morgan Manav Patnaik - Barclays George Tong - Goldman Sachs Jeff Meuler - Baird Toni Kaplan - Morgan Stanley Jeff Silber - BMO Capital Markets Josh Chan - UBS Faiza Alwy - Deutsche Bank Harold Antor - Jefferies Operator Greetings, and welcome to the Bright ...

Altice USA, Inc. (NYSE:ATUS) Q3 2024 Earnings Conference Call November 4, 2024 4:30 PM ET Company Participants Sarah Freedman - IR Dennis Mathew - Chairman and CEO Marc Sirota - CFO Conference Call Participants Craig Moffett - Moffett Nathanson Jonathan Chaplin - New Street Research Kutgun Maral - Evercore ISI Jim Schneider - Goldman Sachs Frank Louthan - Raymond James Jessica Reif Ehrlich - Bank of America Sebastiano Petti - JPMorgan Operator Greetings, and welcome to the Altice USA Third Quarter 2024 Resu ...

Financial Data and Key Metrics - Cloud ARR grew to $309 million, up 27% YoY, representing 74% of total ARR of $417 million [4] - SaaS revenue reached $77 million, up 30% YoY, while total revenue was $119 million, up 17% YoY [4] - Non-GAAP gross margin improved to 76.3%, up from 71.8% in the prior year period [16] - Non-GAAP operating income was $15.1 million, compared to $6.4 million in the prior year period [16] - Free cash flow was $24.1 million, or 20% of total revenue [16] - Total remaining performance obligations were $549.4 million, up 32% YoY [16] Business Line Performance - Intapp Assist for DealCloud introduced two new AI-powered features: sourcing recommendations and smart tagging [5] - Intapp Assist for Terms was launched, enabling legal professionals to comply with client terms via Microsoft Teams [6] - Intapp Walls for Copilot gained traction, helping firms use Microsoft Copilot AI securely [7] - The company expanded its partner ecosystem, now totaling 135 data, technology, and services partners [8] Market Performance - International operations contributed 34% of total revenue, up from 31% a year ago [14] - The company added new clients across verticals, including a top-ranked venture capital firm in the US and TGS Baltic in the Baltic states [10][11] - Cloud migrations progressed, with notable examples including Honigman and a New York-based Am Law 100 firm [12] Strategy and Industry Competition - The company is focusing on cloud business over on-premise and service offerings, with 92% of clients adopting at least one cloud module [13] - Intapp is leveraging its partnership with Microsoft to drive growth, including co-selling through the Azure Marketplace [8][23] - The company is investing in AI capabilities, with Intapp Assist and Walls for Copilot contributing to growth [16] Management Commentary on Operating Environment and Outlook - Management highlighted strong demand and a robust pipeline, with no significant impact from macroeconomic factors [19] - The company expects SaaS revenue of $79.5-$80.5 million for Q2 FY25, with total revenue of $120.5-$121.5 million [17] - Full-year FY25 guidance includes SaaS revenue of $327.6-$331.6 million and total revenue of $495.5-$499.5 million [17] Other Important Information - The company has over 2,600 clients, with 707 having an annual recurring revenue of at least $100,000 [16] - Cloud net revenue retention rate reached 119% in Q1 FY25 [16] Q&A Session Summary Question: Deal Environment and Financial Services Outlook - No change in the deal environment, with strong demand and a robust pipeline [19] Question: ARR and Billing Dynamics - The company is focusing on enterprise accounts, with 70% of SAM in the top 2,000 accounts [21] Question: Alliance Impact and Revenue Contribution - The Microsoft partnership is the largest, with increased co-marketing and co-selling activities [23] Question: Margin Upside and Reinvestment - Margin improvement driven by services mix and cloud optimization, with continued investment in product-led growth [25] Question: SaaS Revenue Mix and Guidance - The company is being prudent with revenue mix, balancing license and cloud evolution [28] Question: Cloud ARR Growth Potential - Cloud ARR growth is driven by new logos, cross-selling, and upselling, with potential for larger deals [32] Question: Sales Team Changes and Productivity - The company reorganized its sales team to focus on enterprise accounts, with positive early results [35] Question: Cloud NRR Drivers - Cloud NRR driven by cross-selling and upselling success, with a focus on cloud metrics [37] Question: On-Premise to SaaS Migration Journey - The company is encouraging clients to migrate to the cloud, leveraging AI capabilities and scalability benefits [39] Question: Net New ARR Lumpy Performance - Net new ARR performance is influenced by deal timing and resource allocation [41] Question: Generative AI Pricing and Packaging - The company is seeing success with specific AI applications, defending pricing through value propositions [44] Question: KPMG Deal and Azure Marketplace Impact - The KPMG deal highlights the company's collaboration product and the benefits of the Azure Marketplace [46][48] Question: Microsoft Partnership and AI Strategy Flexibility - The company is not exclusive with Microsoft on AI technology but benefits from the strategic partnership [51] Question: Large Deal Activity and Pipeline Strength - Large deal activity is influenced by resource allocation to enterprise accounts, with a strong pipeline [55] Question: Capital Markets Activity and Growth Assumptions - The company's end markets remain healthy, with growth driven by execution rather than external factors [56]

Financial Data and Key Metrics - Fiscal Q1 2025 revenue grew 125% YoY and 41% sequentially, driven by auto insurance carrier budgets and expanded client, media, and product footprints [6] - Adjusted EBITDA jumped to over $20 million in Q1 [6] - Auto Insurance revenue grew 664% YoY to a record level, while Financial Services revenue grew 192% and Home Services revenue grew 32% [7] - Total revenue for Q1 was $279.2 million, with adjusted net income of $12.5 million or $0.22 per share, and adjusted EBITDA of $20.3 million [13] - Financial Services represented 76% of Q1 revenue, growing 192% YoY to $210.9 million, driven by Auto Insurance [14] - Home Services represented 23% of Q1 revenue, growing 32% YoY to a record $65.1 million [14] Business Line Performance - Auto Insurance revenue reached a record level, with a 664% YoY growth, driven by increased carrier budgets and media optimization [7][14] - Non-insurance Financial Services, including personal loans, credit cards, and banking, grew 18% combined [14] - Home Services revenue grew 32% YoY, reflecting strong market opportunities and progress on growth initiatives [14][32] Market Performance - The company expects strong continued growth in Auto Insurance, with carriers reporting good results and increased demand [7] - The Home Services market is expected to grow at strong double-digit rates over the long term, despite potential short-term impacts from TCPA rule changes [32] Strategic Direction and Industry Competition - The company is focused on increasing and optimizing media supply to meet surging carrier demand, which should further expand margins [7] - FCC changes to TCPA rules are expected to accelerate industry rationalization and consolidation, benefiting the company disproportionately [10] - The company is expanding its media supply through both partnerships and owned-and-operated properties, with a focus on improving margins [27][29] Management Commentary on Operating Environment and Future Outlook - The company raised its full fiscal year 2025 outlook, expecting revenue of about $1 billion and adjusted EBITDA between $75 million to $80 million [8][16] - Management remains bullish on the Auto Insurance market, with no signs of a slowdown from carriers [20] - The company is maintaining a conservative posture regarding FCC rule changes and potential election-related disruptions [23][24] Other Important Information - The company closed Q1 with $25 million in cash and equivalents, with a normalized cash balance of approximately $47 million after receiving $22 million in payments post-quarter end [15] - Seasonality is expected to impact Q2, with a typical 10% sequential decline in revenue due to reduced client staffing and budgets during the holiday period [15] Q&A Session Summary Question: Insurance growth and seasonality - Insurance revenue grew over 80% sequentially, with a typical 10% sequential decline expected in Q2 due to seasonality [19] - The company has factored in seasonality and remains positive about carrier demand [20] Question: Full-year guidance and back-half expectations - The company expects a more modest outlook for Home Services in the back half due to TCPA rule changes, but remains optimistic about long-term growth [21][22] - The company is maintaining a conservative posture regarding FCC rule changes and election-related disruptions [23][24] Question: Insurance market dynamics - The insurance market is seeing broader client participation and increased scale, with carriers becoming more sophisticated in their digital and performance strategies [26] Question: Media supply and margin opportunities - The company is increasing media supply through partnerships and owned-and-operated properties, with a focus on improving margins [27][29] Question: Home Services growth and TCPA impact - Home Services growth is driven by market opportunities and progress on initiatives, with TCPA expected to have a direct impact but higher conversion rates offsetting some effects [31][32] Question: Free cash flow and collections - Free cash flow was impacted by timing of payments, with collections expected to normalize in Q2 [33] Question: Carrier spend and LTV analysis - Carriers are becoming more sophisticated in analyzing spend versus lifetime value (LTV), with Progressive representing 20% of Q1 revenue [35][36] Question: CapEx and free cash flow estimates - CapEx expectations remain unchanged, with free cash flow estimates based on adjusted EBITDA minus CapEx [37] Question: Auto Insurance growth and scaling - The company expects strong double-digit growth in Auto Insurance, with no significant headwinds to scaling [39] Question: Election impact on Auto Insurance - The company is maintaining a conservative posture regarding potential election-related disruptions [40] Question: State insurance rate regulations - California remains a challenge for insurance rate adjustments, with no significant changes expected post-election [42][43] Question: Interest rate impact on verticals - Lower interest rates are expected to benefit credit cards and personal loans, while having a neutral impact on Home Services and insurance [44][45][46]

Sensata Technologies Holding plc (NYSE:ST) Q3 2024 Earnings Conference Call November 4, 2024 4:30 PM ET Company Participants James Entwistle - Senior Director of Investor Relations Martha Sullivan - Interim President and Chief Executive Officer Brian Roberts - Executive Vice President and Chief Financial Officer Conference Call Participants Wamsi Mohan - Bank of America Joseph Giordano - TD Cowen Mark Delaney - Goldman Sachs Christopher Glynn - Oppenheimer Shreyas Patil - Wolfe Research Manmohanpreet Singh ...

PRA Group, Inc. (NASDAQ:PRAA) Q3 2024 Results Conference Call November 4, 2024 5:00 PM ET Company Participants Najim Mostamand - Vice President, Investor Relations Vik Atal - President and Chief Executive Officer Rakesh Sehgal - Executive Vice President and Chief Financial Officer Conference Call Participants David Scharf - Citizens JMP Mark Hughes - Truist Robert Dodd - Raymond James Operator Good evening and welcome the PRA Group Third Quarter 2024 Conference Call. All participants will be in a listen-onl ...

SelectQuote, Inc. (NYSE:SLQT) Q1 2025 Earnings Conference Call November 4, 2024 8:30 AM ET Company Participants Matt Gunter - Investor Relations Tim Danker - Chief Executive Officer Ryan Clement - Chief Financial Officer Bob Grant - President Bill Grant - Chief Operating Officer Conference Call Participants Ben Hendrix - RBC Capital Markets George Sutton - Craig-Hallum Pat McCann - NOBLE Capital Markets Operator Welcome to SelectQuote's First Quarter Earnings [Technical Difficulty]. All lines have been plac ...

Financial Data and Key Metrics - Adjusted property EBITDA at Wynn Las Vegas was $202.7 million on $607.2 million of operating revenue, with an EBITDA margin of 33.4% [19] - EBITDA in Las Vegas was essentially flat year-over-year, impacted by lower-than-normal table games hold, which reduced EBITDA by around $2 million in Q3 2024 [20] - In Boston, adjusted property EBITDA was $63 million, up 4% year-on-year, with an EBITDA margin of 29.4% [22] - Macau operations delivered adjusted property EBITDA of $262.9 million on $871.7 million of operating revenue, with an EBITDA margin of 30.2%, up 210 basis points compared to Q3 2019 [23][24] - Global cash and revolver availability stood at $3.5 billion as of September 30, with $1.7 billion in Macau and $1.8 billion in the U.S. [26] - The company reduced gross debt by $1.2 billion year-on-year, resulting in approximately $70 million of annualized interest expense savings [27] - Trailing 12-month property EBITDA across all markets was nearly $2.4 billion, with a consolidated net leverage ratio of just over 4 times [28] Business Line Performance - In Las Vegas, hotel revenue grew by 5%, slot handle by 4%, and table drop remained healthy despite tough year-over-year comps [6] - Boston's Encore generated $63 million of EBITDAR, up 4% year-on-year, with slot handle up 3%, table drop up 1%, and non-gaming revenue up 2% [8] - Macau's EBITDA grew 3% year-on-year to $263 million, with operating revenue up 6%, driven by a 10% increase in combined mass table and slot win [9] - Macau's mass table drop increased almost 30% during the Golden Week holiday period compared to the previous year [14] Market Performance - Las Vegas demand remained healthy, with strong growth in slot handle, table drop, and non-gaming demand in Q4 [6] - Macau's competitive environment remains intense, but the company is focusing on maximizing EBITDA rather than market share [10] - The UAE gaming market is projected to be a $3 billion to $5 billion market, with Wynn Al Marjan Island progressing rapidly, reaching the 24th floor of the hotel tower [16][17] Strategic Direction and Industry Competition - The company is investing in high-ROI developments, including Wynn Al Marjan Island in the UAE, and exploring greenfield opportunities in gateway cities [17][18] - In Macau, the company is revitalizing the Chairman's Club, enhancing loyalty programs, and investing in concession-related CapEx, including an event center and production show [12][13] - The company is focusing on luxury positioning and unique programming to appeal to affluent customers, ensuring resilience in competitive markets [8][16] Management Commentary on Operating Environment and Future Outlook - Management remains bullish on the long-term outlook for Macau, citing strong mass table drop and 99% hotel occupancy in October [14][15] - The company is confident in its ability to compete profitably in Macau through continued investment in market-leading assets and 5-star service [13] - In Las Vegas, the high-end consumer demand remains stable, with retail lease revenue up 3.5% year-over-year in Q3 [37] - The company expects strong operating leverage in Macau as the market continues to grow [24] Other Important Information - The Board increased the share repurchase authorization to $1 billion, highlighting the commitment to returning capital to shareholders [5][30] - CapEx in Q3 was $101 million, primarily related to villa renovations and food and beverage enhancements at Wynn Las Vegas, concession-related CapEx in Macau, and maintenance across the business [31] - The company contributed $18.2 million of equity to the Wynn Al Marjan Island project, bringing the total equity contribution to $532.6 million [32] Q&A Session Summary Question: Outlook for 2025 across regions and cost increases [34] - Management does not manage to margins but aggressively manages revenues and costs, focusing on demand in Las Vegas and Macau [35] - In Las Vegas, the high-end consumer remains stable, with retail lease revenue up 3.5% year-over-year in Q3 [37] - In Macau, the competitive environment is intense, but the company is focusing on EBITDA rather than market share [40] Question: Impact of Super Bowl comps in Las Vegas [41] - Management did not provide specific numbers but noted that Q4 and F1 are shaping up well, with strong room rates and a later booking window for F1 [41] Question: Competitive pressures in Macau [43] - Competitive pressures in Macau are stable to slightly better compared to the beginning of the summer, but the market remains very competitive [44] Question: Performance of Wynn Macau [48] - Wynn Macau's strong performance is attributed to execution and improvements in the physical and food and beverage experience [48][49] Question: High-end table play trends in Las Vegas [50] - The company has diversified its casino business to reduce exposure to extreme high-end volatility, with steady table drop and strong slot handle growth [52][53] Question: Gaming revenue decline in Las Vegas [56] - The decline in gaming revenue in Las Vegas is attributed to hold normalization and higher ADRs, with no broader trend observed [56][57] Question: Group business outlook for Q4 and 2025 [58] - Group business remains healthy, with a record year in room nights expected for 2024 and 2025 pacing similarly, with a focus on rate [59][60] Question: Capital allocation and CapEx needs [62] - The company opportunistically repurchases shares and balances liquidity needs between growth, debt management, and returning capital [63] - CapEx in Las Vegas includes villa renovations and food and beverage enhancements, with total project CapEx expected to be around $300 million [65][66] Question: RevPAR and smart tables in Macau [70] - RevPAR in Macau is not a significant indicator due to high occupancy levels, and smart tables are expected to be fully rolled out by Chinese New Year 2025 [70][71] Question: Impact of stimulus in Macau [74] - It is too early to assess the impact of stimulus in Macau, but demand during Golden Week was encouraging [74] Question: Macau CapEx guidance reduction [76] - The reduction in Macau CapEx guidance is due to timing and government approvals, with no change in competitive dynamics [76][77] Question: New York licensure process and iGaming legislation [79] - The company is cautious about iGaming legislation due to potential revenue declines and regulatory blowback, particularly for land-based gaming employees [79][80][81]

Financial Data and Key Metrics - Revenue for Q1 2025 was $181.9 million, up 12.8% sequentially and 0.7% year-over-year [27] - Non-GAAP gross margin was 25.5%, down from 26.4% last quarter and 28.8% a year ago, primarily due to ASP erosion and mix changes [29] - Non-GAAP EPS was $0.21, compared to $0.09 last quarter and $0.33 a year ago [29] - Operating cash flow was $11 million, including $8.4 million of customer deposit repayments [30] - Cash balance at the end of the quarter was $176 million, up slightly from $175.1 million last quarter [31] Segment Performance Computing - Revenue increased 8.6% year-over-year and 6.6% sequentially, representing 42% of total revenue [11] - Strength in PC desktops, notebooks, and servers, offset by softer graphics and AI-accelerator cards due to platform transition [11] - Backlog for graphics and AI-accelerator cards is growing, with increased BOM content expected in the next platform [12] - Expect slight sequential growth in the December quarter, driven by share gains in desktops and strength in graphics cards and servers [14] Consumer - Revenue increased 2% year-over-year and 12.4% sequentially, representing 17.4% of total revenue [15] - Growth driven by gaming, wearables, and TVs, offset by a decline in home appliances [15] - Forecast a 30% sequential decline in the December quarter due to seasonality in gaming and TVs, and softness in home appliances [16] Communications - Revenue increased 14.2% year-over-year and 29.4% sequentially, representing 19.5% of total revenue [17] - Growth driven by a Tier 1 U.S. smartphone customer and strong sequential growth from China OEMs, offset by declines from Korea [17] - Expect a low double-digit sequential decline in the December quarter due to seasonality and limited visibility on smartphone sell-through [18] Power Supply and Industrial - Revenue was down 23.7% year-over-year but up 15.6% sequentially, representing 17.5% of total revenue [19] - Growth driven by seasonal strength in AC-DC power supplies and quick chargers, while solar remains soft [19] - Expect low single-digit sequential growth in the December quarter, driven by e-mobility and quick chargers, offset by seasonal decline in AC-DC power supplies [21] Strategic Direction and Industry Competition - The company is transitioning from a component supplier to a total solutions provider, leveraging strengths in high-performance silicon packaging and intelligent ICs [9] - Opportunities in advanced computing, AI datacenters, foldable smartphones, and faster charging technologies [9][10] - Increased competition in the market, particularly in consumer-related segments, as competitors seek to fill fabs [37][57] - Focus on higher BOM content and total solutions to differentiate from competitors [61] Management Commentary on Market Environment and Outlook - The September quarter confirmed the completion of inventory corrections, with seasonality returning and new markets like AI and advanced computing emerging [22] - Limited visibility into 2025, with the calendar first quarter typically being seasonally soft [23] - Optimistic about growth driven by advanced technology, a diversified product portfolio, and a strong customer base [23] - Power management trends, including AI, digitalization, and electrification, present significant opportunities [25] Other Important Information - Non-GAAP financial measures are used to provide additional insights into operating performance, with reconciliations to GAAP measures included in the earnings release [4] - Forward-looking statements involve risks and uncertainties, with detailed descriptions available in SEC filings [5] Q&A Session Summary Question: Competitive Landscape in Graphics Cards - Increased competition as firms seek to fill fabs, but less competition expected in the next platform transition for graphics cards [37][39] - Opportunities in datacenters, though competition is expected to intensify [40] Question: Seasonality and Market Recovery - Seasonal patterns have returned, but full recovery in PC shipments is still pending [41] - Expect typical seasonal declines in the December quarter, with growth opportunities in graphics cards and AI-accelerator cards [43] Question: Communications Segment Decline - Clarification that the 30% decline forecast was for the Consumer segment, not Communications [46][48] - Communications segment expected to see a low double-digit sequential decline due to seasonality [18] Question: AI and Compute Opportunities - Near-term opportunities in next-generation graphics and AI-accelerator cards, with increased BOM content [50][52] - Data center opportunities are in development, with potential for larger content [54] Question: Pricing and Competitive Pressure - Increased pricing pressure due to softer market recovery and competitors shifting to consumer markets [57] - Strategy to counter ASP erosion through new product rollouts and targeting higher-performance sockets [58][61] Question: JV and Capacity Utilization - JV is raising additional funds and signing up more customers, with continued support for the company's business [64] - Fab utilization was around 80%, with capacity to support further growth [66] Question: Gross Margin Trends - Sequential decline in gross margin primarily due to ASP erosion, with expectations for improvement through higher utilization and new product mix [67]

Financial Data and Key Metrics - Q3 2024 revenue reached a record $113 million, up 47% sequentially and 206% year-over-year [9] - Non-GAAP operating margin expanded to over 32%, with non-GAAP EPS of $0.23 [9] - Q4 2024 revenue guidance is between $126 million and $130 million, representing an 11% to 15% sequential increase [32] - Non-GAAP gross margin for Q4 is expected to be approximately 75%, with operating expenses projected between $54 million and $55 million [33] - Cash flow from operating activities in Q3 was $63.5 million, with cash, cash equivalents, and marketable securities totaling $887 million at the end of the quarter [31] Business Line Data and Key Metrics - Aries product family remains the largest revenue contributor, driven by third-party GPU-based AI platforms and internally developed AI accelerators [28] - Taurus revenue diversified beyond 200-gig applications, with initial production ramp of 400-gig Ethernet-based systems [29] - Leo CXL revenues are driven by preproduction volumes for next-generation CXL-capable compute platforms [29] - Scorpio Smart Fabric Switch family began shipping in preproduction volumes during Q3, with design wins for both P-Series and X-Series [29][13] Market Data and Key Metrics - The Scorpio Smart Fabric Switch family is expected to expand the total market opportunity for the company's four product families to over $12 billion by 2028 [11] - Scorpio P-Series addresses a multibillion-dollar opportunity with a ground-up architecture designed for AI data flows [20] - The X-Series is expected to have a larger total addressable market (TAM) over the long term, with a current TAM of nearly zero [50] Company Strategy and Industry Competition - The company has joined the Ultra Accelerator Link (UALink) Consortium, positioning itself at the forefront of developing high-speed, low-latency interconnects for scale-up connectivity between accelerators [14] - The Scorpio Smart Fabric Switch family is designed to address the increasing complexity of connectivity challenges within AI infrastructure, both for scale-out and scale-up networks [11][12] - The company's COSMOS software stack provides hyperscaler customers with tools to monitor and optimize their infrastructure, enhancing the value of its hardware solutions [15][38] Management Commentary on Operating Environment and Future Outlook - Management highlighted the criticality of connectivity in modern AI clusters, driven by trillion-parameter model sizes and faster, more complex AI accelerators [10] - The company expects to benefit from shorter AI platform refresh cycles and increased reliance on trusted partners by hyperscalers [15] - Management is optimistic about the market opportunity for internally developed AI accelerator platforms, which could be larger than third-party GPU-based systems [21] Other Important Information - The company demonstrated the industry's first PCIe Gen 6 fabric switch at the 2024 OCP Global Summit, with preproduction volumes already shipping [13] - Non-GAAP financial measures are used to evaluate performance, with reconciliations provided in the earnings release [6] Q&A Session Summary Question: Confidence in sequential growth and visibility for the first half of next year [35] - The company has strong visibility due to a diversified revenue stream, with Taurus and Aries product lines expected to grow into 2025 [36] Question: Differentiators for Scorpio switch portfolio, particularly the COSMOS software stack [37] - The Scorpio family is purpose-built for AI applications, with a software-first approach and integration with COSMOS providing a holistic view of AI infrastructure [38] Question: Ramp timeline for Scorpio business and potential size in 2025 [40] - Scorpio is expected to exceed 10% of revenues in 2025, with production volumes ramping throughout the year [41] Question: Leo CXL memory controller applications and potential impact in 2025 [42] - Leo CXL is transitioning from the "crawl" to "walk" stage, with production volumes expected to begin in 2025 [42] Question: Product mix and strength in Q3 revenue [44] - Aries revenue, driven by third-party GPUs and internally developed AI accelerators, was the primary driver of Q3 upside [45] Question: Margin impact of Scorpio product line [46] - Scorpio is not expected to impact long-term gross margin targets of 70%, with a wide range of margin profiles across the product portfolio [46] Question: Competitive positioning and opportunity for Scorpio X-Series [49] - The X-Series is expected to have a larger TAM over time, with customization capabilities through the company's software-defined architecture [50] Question: Diversification of Taurus product family across customers [51] - The Taurus business is expected to broaden in 2025, with increased diversification as data rates go higher [52] Question: Timeline for PCIe Gen 6 volume production [53] - Volume production for PCIe Gen 6 will depend on customer timelines, with opportunities growing across Gen 5 and Gen 6 implementations [53] Question: Relationship between Scorpio and PCIe Retimer business [54] - The company's software-based architecture and COSMOS integration provide a unique advantage in optimizing system-level configurations [54] Question: Inflection point for ASIC business growth [56] - Hyperscalers are increasing investments in internal ASIC programs, driving growth for the company's product lines [57] Question: Average content per GPU and impact of Scorpio [59] - The average content per GPU is increasing due to ASP uplifts with new protocol generations and the introduction of Scorpio [60] Question: Revenue contribution from Scorpio P-Series and X-Series in 2025 [62] - Both P-Series and X-Series are expected to contribute to revenues in 2025, with X-Series ramping in the back half of the year [63] Question: Attach rates for Scorpio P-Series and X-Series [64] - P-Series attach rate is 1:1 per GPU, while X-Series attach rate depends on the configuration of the back-end fabric [65] Question: Long-term diversification between merchant GPU and custom AI accelerator players [68] - The company expects to see a diversified revenue stream across merchant GPU and custom AI accelerator platforms, with multiple product lines contributing to growth [68]