Onto Innovation Inc. (NYSE:ONTO) Q3 2023 Earnings Call Transcript

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Michael Plisinski: It’s so the same I don’t have actually that that well broken down. Oh, hi, I’m trying to think what are publicly stated Sam is for the fin FETs at 10,000 wafer starts. And it would be obviously 30 30%. Above that, but the comment was really around our growing position within gate all around, and then how that will increase our opportunity given the same amount of wallet chips, given the same amount of expansion. So if they both expanded a FinFET [ph] node, a gate all around node expanded by 10,000 wafer starts, we’d see 30% more revenue, estimated 30% more revenue in that gate all around expansion than the positions we have in FinFET [ph]. And this is driven by more layers going to us on the OCD, insertion opportunities in integrated and then as well as the film’s layers that we’ve been able to start to win and qualify for to record positions. But I don’t have the exact dollar number for you.

David Duley: Okay, we’ll get that base number another time. Thanks for answering the questions. Thanks.

Operator: We’ll take our next question from the line of Mark Miller with benchmark. Please go ahead.

Mark Miller: Thank you for the question. I just want to clarify something the little tools that were delayed last quarter were due to customer specified mods. But the reason these tools are further push out as a component availability, fab [ph] availability, and just why the further push up most tools?

Michael Plisinski: Yes, it’s good question. It has different tools. So those tools from Q2, were delivered, they shipped shortly after the quarter, or within the early part of this quarter. The additional slip outs were sort of the knock on effect. So we had a little bit delay in the other ones, it couldn’t start the additional tools, the tools that were already planned for q3 and with some other manufacturing production issues. So these were mostly internal issues. We ended up not delivering on time. So the Q2 was tied to say, you know, customer change requests, Q3 was tied to our own execution.

Mark Miller: Okay, thank you. Just wondering to what, what are you seeing in China? Is the power of the slow the little slowing in a power segment? Is that in China or somewhere else?

Michael Plisinski: I don’t think so. I don’t think our we see a slowdown in China, per se. Overall, just not. I think we’re doing a nice job of rebuilding and recovering from some of the customers, the good customers we had that were put on the Entity List. So I think that’s a growing part of the business. I think more of the, and again, it’s still early, because, you know, our bookings in that part of the market are not generally out super far. But I think that’s more in the more established markets. So some of that pause or delay or lower visibility right now is more in the established Europe and US markets.

Mark Miller: And your gorgeous area in terms of geographic sales in the in the September quarter was in the September quarter?

Michael Plisinski: Yes. 19% [ph].

Operator: [Operator Instructions] It appears there are no further questions at this time. Mr. Sheaffer, I’d like to turn the conference back to you for any additional or closing remarks.

Mike Sheaffer: Thank you. Just a quick reminder for everybody about some upcoming events. First, on to management. We’ll be participating in the Morgan Stanley TMT conference in Barcelona next week. And we will be participating in the wolf research small and mid-cap conference in New York on December 6. Thanks, again, for joining us today. A replay of the call is going to be available on our website approximately 730 Eastern time this evening. We’d like to thank you for your continued interest and Onto Innovation. Rachel, please conclude the call.

Operator: This concludes today’s call. Thank you for your participation and you may now disconnect.

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