Jason Cardew: Yes. So the impact on margins is sort of embedded in those two data points that we shared with you, our connection systems and electronics because much of the electronics growth that we outlined through ’25 is in the battery disconnect units, and we attributed 125 basis points margin expansion, 3 systems overall to electronics growth. And then also on the connection system side, the bulk of that growth it’s going to come through electric vehicles, the intercell connect board being the most significant growth within that and then also the plugboard. So — those are the two key drivers, and then we have the benefit of volume in wire on electric vehicle platforms. We do see growth there as well. But I don’t have a specific basis point impact to highlight for that, David.
David Kelley: Okay. Got it. No, that’s helpful. And then I appreciate the color on the E-Systems margin expansion plan. Specifically on the connection systems build out, how much of that do you see yourself kind of able to do in-house today versus the need to do additional bolt-on acquisitions, whether it be in terminals or connector-type product areas?
Ray Scott: Well, I think we have great capabilities organically. There’s — if there’s an opportunity for, like I said earlier, for a tuck-in acquisition that we continue to enhance our growth and expand our margin, it makes sense. We would do that. But to the Hu Lane partnership that we recently established, we’ve extended our ability to grow our business and grow that partnership. And then I think with the M&N acquisition, the over molding capabilities and the bus bars, these are becoming much more sophisticated. We have in-house capabilities. And the plug board for Volkswagen was probably one of the most sophisticated connection systems in what would be an EV space. And we were awarded that program. That program continues to grow because it gets scaled across multiple platforms.
So nothing has limited us from growing in that area that we don’t have in-house. It’d just be — if there was an opportunity to expand quicker inorganically, where it would fit, it might make sense, but we have all the capabilities in-house and we’ve done a nice job growing that business. And we talked about the growth there. It’s been incredible over the last several years.
Jason Cardew: And the $750 million revenue target for connection systems in 2025 is — does not include any inorganic growth.
Operator: Our next question comes from Emmanuel Rosner from Deutsche Bank. Please go ahead with your question.
Emmanuel Rosner: Wanted to follow up with you on some of the growth over the market. So I appreciate all the detail you gave on the backlog and even sort of the reconciliation towards the 2023 growth over market. What do you feel are now sort of the right normalized growth over market profile for both of your segments or on an ongoing basis? And then to what extent do you think mix could sort of play an ongoing headwind or tailwind in that? I understand the 2023 dynamics. But just generally speaking, is that a big factor?
Jason Cardew: Yes, Emmanuel, I think that the mix factor or mix impact in ’23 is probably the peak negative impact we would see in Seating. If you look out ’24 and ’25, I would expect that to moderate somewhat. And I think that 4 points of growth over market in Seating over the long term is still the right assumption to model. And as Ray alluded to earlier, we are seeing more interest from customers to take over business from competitors, either midstream or in the next generation than we’ve ever seen before. And that’s coming on the heels of $2 billion — nearly $2 billion of conquest awards over the last 4 years. I think the Seating team has performed at a very high level. They continue to — customers are recognizing that.
