Michael Plisinski: Yes. So I think two things. So going back to the HBM and the packaging, a couple of really significant events happened in the last few months that helped drive that business. One is, we had talked about having some evaluations that I would add the third HBM memory manufacturer, we had two, not the third, very quickly the demo and eval tools demonstrated the — or the evaluation tools demonstrated our value and we quickly saw some aggressive ramps. In addition, we saw new metrology opportunities; so that’s contributing to the stronger growth we see in the first half of next year. Going back to power semi, which is one of the big areas of growth in the specialty area; we do see a bit and it’s hard to say right now because it’s — we’re not getting the same kind of lead times and not having the same kind of pressure to ramp as the AI guys right now.
But we do see a little bit of slower pace in the first half, but not significantly. And I’m guessing that that will start to pick up as the rest of this year progresses.
Charles Shi: Thanks. Lastly, can you kind of give us a breakdown — I mean, that incremental $100 million [ph] can follow orders. How much of that is HBM? How much of that is [indiscernible]?
Michael Plisinski: I knew you’d ask that. Right now it’s more heavily towards HBM but let’s see now. Yes, it’s actually still pretty well balanced as I’m looking at the data. Yes, it’s still pretty well balanced between the two groups.
Charles Shi: Okay. Thanks, Mike.
Operator: Our next question comes from the line of Vedvati Shrotre with Jefferies. Please go ahead.
Vedvati Shrotre: Hi, thanks for taking my question. So I wanted to double click on the little panel opportunity. So, I know we started the year with about $80 million that you’re expecting; and then in the second quarter there was some push out, so it came down to $60 million. And so now, could you give me a sense of how much little [ph] turns out to be in 2023? And you said $30 million gets pushed out; so is it — if you could help me understand what happens in the second half of 2023 or fourth quarter?
Michael Plisinski: So you’re right, we did have the plan and the expectation to be able to deliver $80 million this year in the bookings. Because of the $30 million moving out, that means we’ll deliver $50 million this year and not the full $80 million; those other tools are going to move into deliveries for next year.
Vedvati Shrotre: And that would impact your gross margins, right, because I understand those tools carry you’re — carry lower gross margins. So there’ll be offsetting your — the cost saving initiatives would offset that; is that fair?
Michael Plisinski: Well, we’re still shipping litho tools now. So built into the gross margin profiles where we’re delivering now; the last couple of quarters last several quarters is two to three to four litho tools a quarter. And so that’s going to continue but at the same time we’ve talked a lot about how aggressively were driving the litho margins north. And I think each of the quarters next year, we’re going to see improving gross margins from litho to the point where it’s not going to be the big issue that it’s been for sure all this year. If that makes sense.
Vedvati Shrotre: Yes, got it. And then the other question, I wanted to ask you, so a lot of your peers are benefiting from China being stronger territory. Is that playing out for you in any sense? If you could elaborate on that.
Michael Plisinski: China is definitely not as strong for us as it is for our peers. I’ve seen, 40% and 50% of our peers revenue is coming from China. For us, it’s more layer 15%. [ph].
Mark Slicer: In Q2 and Q3, we’re about 15%. In year to date, we’re at 18 to 19%.
Michael Plisinski: So it’s a lot of specialty devices, you know; a lot of new markets where we have some — generally unique metrology that then brings in some of our other products. But that’s definitely not the 50% we see from some of our others.
