Allegro MicroSystems, Inc.

Good day, and thank you for standing by. Welcome to the Allegro Microsystems Q3 Fiscal 2022 Financial Results Conference Call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question-and-answer session. To ask a question during that session, you will need to press star 1 on your telephone. And if you require any assistance during the call, please press star 0. I would now like to hand the conference over to your speaker today, Ms. Katie Bly. Ms. Bly, the floor is yours.

Good morning, and thank you for joining us today for Allegro's third quarter results for fiscal year 2022. I'm joined today by Allegro's President and Chief Executive Officer, Ravi Vig, and Allegro's Chief Financial Officer, Derek D'Antelio. We will review our quarterly financial performance and provide a summary of our outlooks. Our earnings released in the accompanying financial tables are available on the Investor Relations page of our website. This call is being webcasted and a recording will be available on our IR page shortly. Please note that comments made during this conference call include forward-looking statements as defined by federal securities laws. These forward-looking statements include projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties that could cause actual results to vary materially from our projections. Please refer to the earnings press release we issued today and other documents filed by us with the SEC, including the risk factors discussed in detail in our most recent 10-K filed on May 19, 2021. The company assumes no obligation to update any forward-looking information presented. The non-GAAP financial measures that are discussed today are not intended to replace or be a substitute for the presentation of Allegra's GAAP financial results and may be calculated differently than similar measures used by other companies. We are providing this supplemental information because it may enable investors to make meaningful comparisons of core operating results and more clearly highlight the results of our core ongoing operations. A reconciliation of GAAP to non-GAAP financial measures referenced during today's call can be found in our earnings press release which has been posted to our IR page. I'll now turn the call over to Allegro's president and CEO, Ravi Vaig. Ravi?

Thank you, Katie, and good morning, everyone. Q3 was a story of great products, accelerating design wins, and strong financial performance. Demand from our customers remains very strong, especially in our target automotive and industrial markets. We continue to benefit from multiple tailwinds, including alignment to high-growth applications automotive content expansion, and design wind momentum. Our Q3 design winds in emerging growth markets in XEV, ADAS, and Industry 4.0 and data center are up nearly 100% on a rolling four-quarter basis, with total design winds up roughly 25%. The momentum and mix of the winds in these areas support the better-than-industry growth in our long-term target revenue model, Now, turning to Q3 results. In fiscal Q3, we overcame the COVID-related disruptions we described last quarter, and revenue was up 13% year-over-year to $186.6 million. We expect to be back on track to prior revenue run rates in Q4. Margin expansion again exceeded the high end of our guidance with non-GAAP gross margins at 54.8%, and we continue to make progress towards a 55% target. This year is shaping up to be one for the record books. Now, most of you saw our announcement a few weeks ago that Paul Walsh is retiring after a long and successful career in this industry. I want to take this opportunity to thank Paul again, particularly for being a partner to our strategic transformation and subsequent IPO. I fully support his decision and wish him the best. I'm pleased to introduce you to Derek Dantelio, our new Chief Financial Officer. Derek joined Allegro in January with decades of broad financial and operating experience in semis and high tech. We're glad to have Derek on board. He's an accomplished CFO with a strong business acumen and the financial expertise to continue where Paul left off, and he's already hitting the ground running. Now I'll turn the call over to Derek. We'll provide you with more color of the financials, and then I'll share more details on the business and our outlook.