John Chen: No. So it’s a good question. I don’t believe we’re going to have a Q1 FY25 bigger than Q4. That’s what you’re asking. But I do believe that we’re still following the 20% growth on year-over-year where we presented to you all in the May meeting. So you do expect us to have double-digit growth and pushing to a 20% growth year-over-year. And by then I hope that these so-called software-define vehicle efforts delay. And hopefully, everybody seems to have a reasonable handles on supply chain despite of the political situation between US, China, Western world and so forth. And so that’s gradually getting under control. Electrification is on everybody’s, it’s in their product’s backs so to speak. Although to us it’s really hoping that that drive more volume of a car, not so much as electric versus gas, we have a difference there.
And so if that is removed then we will start seeing design wins that will turn into developer seats to kind of professional services engagement and then ultimately turn into royalty backlog, royalty. So fundamentally we see nothing concerning at all. We see this as a purely a timing issues And we see it starting to get better in Q4, unless there are some other industry events like the UAW strikes that last longer, then that’s a little bit out of our control. But even though, even the UAW strikes, it’s not going to last, as you probably know this very well, it’s not going to last in perpetuity and because both sides got hurt. So I think they will resolve it. I certainly hope they will and then we’ll get back on track.
Paul Treiber: Okay. And then my second question. I don’t know how much you can answer it, but I’ll throw it out there. Just in regards to Project Imperium, I know you can’t give specifics, but have you or the board reached a point where you’ve narrowed down to a few high-level paths? And can you sort of share the high-level paths?
John Chen: Yes. I can’t comment on it, but the answer is yes.
Paul Treiber: Okay. Thanks for taking the questions.
John Chen: Sure.
Operator: And our next question today comes from Daniel Chan with TD Cowan. Please go ahead.
Daniel Chan: Hey, John. You expected the strategic review to conclude by the end of summer, and your contract with BlackBerry is quickly approaching, would it be possible that this review goes past November or should we expect something in the next month or so?
John Chen: I think there’s better than 50-50 chance you should expect something sooner.
Daniel Chan: Okay. That’s helpful. And then maybe another question on the timing. To what extent do you think the uncertainty from the strategic reviews having an impact on the near term financial performance, whether it be from staff productivity or even customers waiting for a conclusion?
John Chen: No, actually, I mean, really seriously, I check this a lot, because that’s an obvious concern. And from a customer point of view, no, I don’t see, there might be one or two conversations I had, but it was like, kind of like, oh, by the way, when I talked to a customer, they said, oh, by the way, what’s good, you know, what’s going on there, you know, that kind of thing. And, or somebody asked me, part of the long conversation and all of a sudden they said, should I be concerned about this? I said, nope, nope, you have nothing to be concerned about. We stand behind everything we do and build and deliver. So not much really coming from and the sales floor hasn’t fed back to me about this being a roadblock of some sorts.
But having said that, the longer it lingers on, the worse it’s going to get. And even though it is not a big, big worse. So I have no intention, because of being an operator, I got employees, partners, customers, shareholders to worry about. So we’re not going to let this thing. It might take a long time, multiple steps, but there will be some decision made.
