Diodes Incorporated

Good afternoon and welcome to DIODE's Incorporated First Quarter 2021 Financial Results Conference Call. At this time, all participants are in a listen-only mode. At the conclusion of today's conference call, instructions will be given for the question and answer session. If anyone needs assistance at any time during the conference call, please press the star key followed by the zero on your touchtone phone. As a reminder, this conference call is being recorded today, Thursday, May 6, 2021. I would now like to turn the call over to Leanne Seavers of Shelton Group Investor Relations. Leanne, please go ahead.

Good afternoon, and welcome to DIODE's first quarter 2021 financial results conference call. I'm Leanne Seavers, president of Shelton Group, DIODE's investor relations firm. Joining us today are Diode's Chairman, President, and CEO, Dr. K. Hsu Liu, Chief Financial Officer, Brett Whitmire, Senior Vice President of Worldwide Sales and Marketing, Emily Yang, Senior Vice President of Business Groups, Gary Yu, and Director of Investor Relations, Laura Murrell. Before I turn the call over to Dr. Liu, I'd like to remind our listeners that the results announced today are preliminary as they are subject to the company finalizing its closing procedures and customary quarterly review by the company's independent registered public accounting firm. As such, these results are unaudited and subject to revision until the company files its Form 10-Q for its first quarter, 2021, ending March 31st, 2021. In addition, management's prepared remarks contain forward-looking statements, which are subject to risks and uncertainties, and management may make additional forward-looking statements in response to your questions. Therefore, the company claims the protection of the safe harbor for forward-looking statements that is contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ from those discussed today, and therefore, we refer you to a more detailed discussion of the risks and uncertainties in the company's filings with the Securities and Exchange Commission, including Forms 10-K and 10-Q. In addition, any projections as to the company's future performance represent management's estimates as of today, May 6, 2021. DAS assumes no obligation to update these projections in the future as market conditions may or may not change, except to the extent required by applicable law. Additionally, the company's press release and management statements during this conference call will include discussions of certain measures and financial information in GAAP and non-GAAP terms. Included in the company's press release are definitions and reconciliations of GAAP to non-GAAP items, which provide additional details. Also, throughout the company's press release and management statements during this conference call, we refer to net income attributable to common stockholders as GAAP net incomes. For those of you unable to listen to the entire call at this time, a recording will be available via webcast for 90 days in the investor relations section of DIODE's website at www.diodes.com. And now, I'll turn the call over to DIODE's chairman, president, and CEO, Dr. Keishu Liu. Dr. Liu, please go ahead.

Thank you, Leanne. Welcome, everyone, and thank you for joining us today. Very new in the first quarter, set a new record both organically and on a consolidated basis, increasing 18% sequentially and exceeding the high end of our guidance range in what has historically been a seasonally down quarter for our business. Our growth was driven by record total POS ratings. as a result of record in both Asia and Europe, combined with strong growth in North America. We also achieved record in our computing and market, driven by record Pelcom product revenue, and the automotive market due to strong organic growth in Dio's automotive business. Combined with our expense management and operating efficiency, we delivered the highest quarter of adjusted earnings per share, which increased 25% sequentially. The integration of LLC is also progressing well and ahead of schedule. as we have already began to harvest the benefit of manufacturing synergies from improving factory loading with both LACs and DIOS products. In fact, loading at the LAC facility has reached 70% in the quarter versus our original target of 50%, resulting in bringing operationally break-even at this facility two-quarters ahead of plan. Overall, our global manufacturing footprint is serving as a key advantage at a time when the border semiconductor industry is challenged by supply and capacity constraints. we have both internal and external capacity needed to support the increasing demand we are seeing for our product. As a result, we expect to deliver another quarter of sequential growth in the second quarter, coupled with a continued expansion in bottom line profitability. With that, Let me now turn the call over to Brett to discuss our first quarter financial result and our second quarter 2021 guidance in more detail.