Matt Ramsay: Thank you, guys. I guess my follow-up question, it’s not, to me, the most strategically important part of your business, but I think it has a lot of different benefits is the consumer market in Asia. And I mean Bernie used the cookie jar analogy a number of times over the years. And the consumer market got down to a small enough percentage of your revenue. I think there was an intention to potentially really lean in and try to regrow that business both from a revenue perspective and also, it gives you a lot of flexibilities around growth and margins. And maybe the demand environment is not there today to really lean in and regrow that. But I just wanted to do a pulse check on the strategy, that’s still the intention to regrow that business as a percentage of revenue and you feel like you have the product portfolio to go and do that?
Michael Hsing: The strategy is correct. And as in the last quarter, I said like has dropped to unhealthy positions, way too low. And there’s a lot of money to be made. And margin may be lower but it helped the EPS a lot. So the second question is whether we have enough product? We did a lot of them, and that came in last 0.5 years. And other ones will release in next couple of quarters and our next quarter also, and those will turn into revenues in the 0.5 year to 9 months’ time.
Bernie Blegen: We remain committed to the consumer marketplace as part of our diversification.
Michael Hsing: Absolutely. Okay.
Matt Ramsay: Thank you, guys. Have a good afternoon. Appreciate it.
Genevieve Cunningham: Our next question is from Tore Svanberg of Stifel. Tore, your line is now open.
Tore Svanberg: Yes. Thank you. I just had two quick follow-ups. First of all, on the buyback, I mean, this is from a size perspective something that’s quite large. And we don’t have much history with the company in regards to a size like that. So how should we think about, I guess, philosophy with the buyback? You mentioned to offset dilution, but are you going to be opportunistic? Or are you like some other companies where you buy the stock regardless of the price? Just trying to understand some of the dynamics there.
Bernie Blegen: Yes. So I’d like to comment on that very quickly is that when we looked at doing the buyback, we were demonstrating confidence in our free cash flow over the next 3-year window. And the goal here is to offset dilution that will naturally occur during that period of time. So we’re going to apply a go-to-market strategy that is both opportunistic but also programmatic. So we don’t have a timetable necessarily for how to implement it during that period, but it will reflect both existing market conditions as well as a systematic program.
Michael Hsing: Well, implies a bylaw, keep it higher, yes.
Tore Svanberg: Yes, that’s very helpful. The other follow-up, and I know this is a minor detail, but your lighting control business was up quite a bit in the quarter. Was that mainly because of notebook, or was there something else going on there?
Michael Hsing: Lighting business?
Bernie Blegen: I’m sorry, Tore, you broke up a little bit. Were you talking about storage and computing?
Tore Svanberg: No, no, no. So you have the lighting control business. I mean you showed this in your filings. It was up about 20% sequentially. And I was just wondering if that was because of notebook or anything else.
Michael Hsing: No, these are decorate lighting. We don’t have a lot of consumer business anymore. But these are small numbers, okay? I mean I don’t know that specifically, but I do know we don’t have a lot of consumers because these are really, really low price. These are industrial lightings and decorative lighting.
Bernie Blegen: Yes. I apologize, Tore. I think that you broke up and we missed the heart of your question, which end market?
Michael Hsing: Lighting, he said.
Tore Svanberg: Yes. You have a lighting control versus DC to DC, right? So lighting control, it increased by $4.5 million sequentially. It was [1] [ph]. It’s a $100 million annual business. I mean it’s not trivial, but obviously, small in the bigger scheme of things.
Michael Hsing: Yes.
Bernie Blegen: Yes. Again, Michael addressed it, but it’s a general market.
Michael Hsing: I don’t know it specifically, but that’s the market where we’re in. We will position ourself. We’re not specifically in the consumer and in high volumes.
Bernie Blegen: And also, it’s in automotive as well.
Michael Hsing: Yes. You’re right.
Genevieve Cunningham: [Operator Instructions] As there are no further questions, I would now like to turn the webinar back over to Bernie.
Bernie Blegen: Just closing here, I’d like to thank you all for joining us this webinar and I look forward to talking to you again during the fourth quarter, which will likely be at the end of January. Thank you. Have a nice day.
