Ananda Baruah: Yeah. That’s anomaly. Great. Job.
Chuck Mattera: Thanks, Ananda.
Operator: Thank you. One moment for our next question. And it’s from the line of Dave Kang with B. Riley. Please proceed.
Chuck Mattera: Good morning, Dave.
Dave Kang: Thank you. Good morning. A question is on ARM lasers. Chuck, I think you talked about it in the past that as ARM lasers has an 8-figure opportunity and could reach 9 figures if you successfully penetrate the Chinese market. Just wondering if you can give us an update there.
Chuck Mattera: Thanks, Dave. Thanks for asking about one of our other super exciting opportunities. Giovanni?
Giovanni Barbarossa: Yeah, Dave. Thanks for the question. Yeah. We’re making a progress. Actually just recently, we learned that major battery maker in China kind of displaced our competitor laser to replace it with ours on the production line. So we think it’s going to be a huge opportunity for gold, since it’s one of the largest battery makers in the world. So we think in addition to the existing customers they keep ramping production, you see the major advantage of the spot-free, no-porosity kind of well quality provided by our ARM laser people, we believe that to grow in the market space. And it’s not going to be limited just to batteries for EVs. I think we’re seeing application beyond that, not only in the automotive market, but for example, in the semi cap equipment market, we have been engaged recently on working on some advanced lithography tools to provide laser welding for some special alloys parts that are needed by those tools.
Chuck Mattera: Dave, we’re aiming to drive a paradigm shift when it comes to laser building.
Dave Kang: Got it. Thank you.
Operator: Thank you. One moment for our next question, please. And it comes from the line of Jim Ricchiuti with Needham & Company. Please proceed.
Chuck Mattera: Good morning, Jim.
James Ricchiuti: Hi, Chuck. I wonder if you could elaborate on the comment early on in the shareholder letter that you would consider other strategic opportunities to unlock shareholder value. I’m wondering what that means. Are you suggesting that you might pursue some smaller M&A to maybe expand in some areas that you may not necessarily have the presence you want to have?
Chuck Mattera: Jim, that’s a great question. We’re from time to time, asked about it. We are prudent stewards of our capital. And let me ask Bob Bashaw, our President, if he’d like to remark.
Bob Bashaw: Yeah. Sure. Yeah, I’m happy to, Chuck. Yes, as you know, we have been open to all kinds of transactions in the history of the company. And we are with great partners, and as Chuck said, shareholder value is always our driver. So we are actively, like we have been for 51 years, considering lots of alternatives to grow shareholder value. As we indicated in the shareholder letter, these are probably going to be smaller transactions, not material, but that is our focus across all range of potential transactions.
James Ricchiuti: Is it a case of expanding in some areas that you’re underserved? Is that the focus?
Bob Bashaw: Well, for sure. There’s — if you look at all the technologies and the opportunities we have, there are a lot of corners that we can look in for areas to grow. There’s also tremendous opportunities to partner. So we have — we are considering all of those options and have active engagements in those areas.
James Ricchiuti: Thank you.
Chuck Mattera: Thank you, Bob.
Operator: Thank you. One moment for our last question, please. And it comes from the line of Mike Genovese with Rosenblatt Securities.
Michael Genovese: All right. Good morning. And I guess, I’ll go to beating the dead horse here. When I parse your comments on 800G as a percentage of datacom transceivers this year, I end up somewhere in the range of revenue should be 70% to 150% higher than the $300 million you talked about entering the year. And so with that as the preamble, my two-part question is, are we still looking at 20% of the revenues being in the first half of the year and 80% in the second half of the year like you guys said last quarter or is that sort of — has that changed a little bit? And then secondly, just as we look at fiscal ’25, should we put Sanjai’s CAGR, which I think he said was 55%, if I heard that right? Is that roughly the right way to think about where we start for fiscal ’25 growth in that business? Thank you.
Chuck Mattera: Okay. Thank you, Mike. Okay, Sanjai?
Sanjai Parthasarathi: Yeah. Thanks, Chuck. Good morning, Mike. So, I think our revenue pattern is pretty much in line with what you stated in terms of our growth rate. Obviously, we are going to — we are aiming to do even better than that in terms of the second half of the fiscal year.
Chuck Mattera: And I remind you, it is 65% is a five year CAGR. So maybe just keep that in mind, Mike.
Michael Genovese: Sorry, but I’m just — I guess, 20-80 though, is that we’re still targeting 20-80, that hasn’t flattened out a little bit because of the good performance in 2Q? It’s still 20-80?
Chuck Mattera: It’s close to that, maybe a little bit higher than 20 and a little lower than 80, but that’s roughly right.
Michael Genovese: Okay. Great. Thanks so much. You got a great job. Thank you.
Chuck Mattera: Welcome. Thank you.
Operator: Thank you. And this concludes the Q&A session. I will turn it back to Paul Silverstein for any final comments.
Paul Silverstein: Thank you, Carmen. I want to thank all the analysts on the call for their thoughtful questions. And I want to thank all of you on the line for having joined us this morning. We look forward to talking to you in the future. Thank you.
Operator: Thank you, ladies and gentlemen, for joining us today. You may now disconnect.
