Jeffrey Benck: I think in a challenging economic environment, you find OEMs really analyzing what they’re going to — what’s their strength and where do they want to put their investment. And in many cases, they look at why are we building product that we could be outsourced on and we’re spending our money here. And so in many ways, I think we’ve seen pretty good experience where customers are more willing to reevaluate what their approach is in terms of outsourcing. If there’s anything that might impact the delay on new platform profile is really probably the product development cycle. Hey, we want to be careful on spending and we’re going to push out the product design a quarter. We’ll see some movement there. But we feel, in general, that there’s a lot of opportunities. Our broader pipeline hasn’t materially changed in terms of what the market opportunity is. So we’re not overly concerned about there being enough to do.
Operator: The next question comes from Anja Soderstrom with Sidoti. Please go ahead.
Anja Soderstrom: Great. Thanks for taking my questions, some of them have been addressed already. But in terms of semi-cap, it seems like that’s going to be a little bit later return of — or acceleration in the growth there. But how does that — can you remind me how the margins on the semi-cap business compares to the overall business? And could it be a nice tailwind there once that come back in terms of margin expansion?
Roop Lakkaraju: Anja, so yes, as we’ve indicated, semi-cap margins are some of our strongest gross margins overall in operating margins. So when the revenue comes back, as we’ve indicated later into ’24, we expect that to be a strong tailwind to our overall operating performance and operating margins.
Jeffrey Benck: The semi-cap market is generally, right now, a lot of folks are out in public and talking about 2024 being flatter. The industry hasn’t been particularly good at calling the downturn, and we’re not typically very good at calling the upside either. So you see us investing, you see us preparing, and we really protect a lot of resource, contemplating a pretty significant upswing as it comes back. But exactly calling the timing is something that we’ve been spending a lot of energy on. We just — we know right now, it really — it doesn’t look to be a first half thing, and that’s weighing pretty heavily on to how we think about our growth profile. And we’ll all be watching it quarter-to-quarter to see how that shifts. But no doubt, it will be back and people continue to talk about just how significant it could be, but the best is yet to come there.
Anja Soderstrom: So could the approach to being maintaining readiness for that to come back been pressuring margins in the coming quarters until we see that come back? Or…
Roop Lakkaraju: Yes. I mean I think it’s — you can see right now, we’re in a market where semi-cap has been softer throughout ’23, but we’ve expanded margins as you saw, Anja. So I think there’s an opportunity for us to continue to improve on our operating margin performance. It’s a little early to give you a lot of details there as we kind of finish up the year. But with the growth that we’ve seen in the other sectors over the year-over-year from ’22 to ’23, the load we’re seeing across our factories, the improved absorption, our focused operational productivity, we’re positioned well to continue to drive improving operating performance.
Anja Soderstrom: Okay. And just remind me, too, whether you have a significant footprint in Mexico and other regions that could have a currency headwind for you.
Jeffrey Benck: Could you repeat that? You said do we have a footprint in Mexico? The answer is yes. But if you asked…
Anja Soderstrom: Yes. I noticed that they’ve been suffering from the increased pesos. I don’t know if you have a large Mexican footprint that could be impacting your margins as well.
