Alpha and Omega Semiconductor Limited

Good day and thank you for standing by. Welcome to the Alpha and Omega Semiconductor Fiscal Quarter 4 2021 Earnings Call. At this time, all participants are in a listen-only mode. After the speaker's remarks, there will be a question and answer session. To ask a question during the session, you will need to press star and then the number one on your telephone keypad. Please be advised that today's conference is being recorded. If you require any further assistance, please press star zero. I would now like to turn the conference over to your first speaker today, Mr. Gary Dvorak. Please go ahead.

Good afternoon, everyone, and welcome to Alpha and Omega Semiconductor's conference call to discuss fiscal 2021 fourth quarter and year-end financial results. I'm Gary Dvorak, investor relations representative for ALS. With me today are Dr. Mike Chang, our CEO, Stephen Chang, our president, and Yifan Liang, our CFO. This call is being recorded and broadcast live over the web. The replay will be available for seven days following the call via the link in the Investor Relations section of our website. Our call will proceed as follows. Mike will begin with strategic highlights, then Stephen will provide business updates and the detailed segment report. After that, Yvonne will review the financial results and provide guidance for the September quarter. Finally, we will have the question and answer session. The earnings release was distributed over wire services today, August 11, 2021, after the close of the market. The release is also posted on the company's website. Our earnings release and this presentation include certain non-GAAP financial measures. We use non-GAAP measures because we believe they provide useful information about our operating performance that should be considered by investors in conjunction with the GAAP measures that we provide. A reconciliation of these non-GAAP measures to comparable GAAP measures is included in the earnings release. We remind you that during this conference call, we will make certain forward-looking statements, including discussions of the business outlook and financial projections. These forward-looking statements are based on management's current expectations and involve risks and uncertainties that could cause our actual results to differ materially from such expectations. For a more detailed description of these risks and uncertainties, please refer to our recent and subsequent violence with the SEC. We assume no obligation to update the information provided in today's call. Now, I will turn the call over to our CEO, Mike, to provide strategic highlights. Mike?

Thank you, Gary. I would like to welcome everyone to today's call. I am excited to be speaking with all of you again today. We have been dealing with the COVID-19 pandemic for over one and a half years. And we continue to take strict precautions to ensure the safety and the well-being of all our employees and their families. Our fourth fiscal quarter continued the strength and the momentum we saw throughout the year. We once again delivered strong year-over-year performance in each of our market segments. with record revenue and excellent profitability. We've benefited from strong end-market demand, enabling us to optimize our product mix. Both quarter results demonstrate the strength of our market diversification strategy, broadening product portfolio, deepening customer relationships, and a growing production scale. Total revenue for the The fourth quarter grew 40% year-over-year to $177 million as we continued to see growth-based strength across our business. Non-GAAP growth margin was 34.9% up 300 basis points from last quarter and 740 basis points higher than the same quarter a year ago. Non-GAAP EPS for the fourth quarter was 95%, which more than tripled year over year. Yifang will go into more detail on our financial performance later. The strong fourth quarter kept an outstanding fiscal year 2021. revenue grew 41% year-over-year to $657 million. On the bottom line, we achieved non-GAAP EPS of $2.93 up from $0.88 last year. Previously, we had set a target of $600 million in annual revenues. revenue for Canada year 2021. And I am pleased that we successfully surpassed that target ahead of plan. While we are not immune to some of the supply chain constraints in the broader semiconductor industry, we are doing a good job managing them to mitigate any interruptions to our customers. First, We are making investments to expand capacity and further enhance our technological capability at our Oregon track. We believe the investments will strengthen our competitive advantage in our target market, and it is part of our long-term strategic plan for sustainable growth and continuous technology improvement. In the current business conditions and the shortage of capacity, it is increasingly important to have the ability to own and control our supply chain. Second, we continue to ramp up our capacity at our JV Fab in Chongqing according to plan. I am pleased with the progress we are making and we are on track approach the first one target runway in the september quarter third we continue to maintain close relationships with multiple foundry partners and are working with them for additional waiver supplies overall although our supply is tight i am thankful to be able to have both internal and external capacity to support our business and minimize the stress at our customers in this time of shortage. In summary, I am very proud and appreciative of our team's execution in fiscal year 2021. In addition to the traction we gained from the successful implementation of our strategy, we saw strong industrial tailwind during the present time. And as we enter fiscal year 2022, there are plenty of opportunities and much work to be done to continue to grow and scale our business. I am confident that we have the right leadership and the right product in place to ensure we are successful to capitalize on these opportunities. Our mission to be a trusted technology partner and a global supplier of a broad portfolio of power semiconductors remains on track. Looking ahead, we plan to grow our annual revenue to $1 billion in the next few years. Now I will turn the call over to Stephen for an update on our business and a detailed segment report.