Richardson Electronics, Ltd. (NASDAQ:RELL) Q2 2023 Earnings Call Transcript

Wendy Diddell: So on the HR side, yes, we have continued to hire. But what we’re doing now is making sure we’ve mentioned that there’s going to be some slowdown in the semiconductor market. So we’ve made sure everybody we’ve hired is cross-trained and they can now be moved from, for example, the semi production into green energy option and even into health care production. So we’ll continue to hire strategically, which is primarily engineering position with all of the programs Greg has mentioned. We’re constantly looking for different types of engineers to supplement the team. But from a production standpoint, we’ll work within the confines of who we have right now.

Unidentified Analyst: Okay. And do you have an updated number on the number of engineers?

Wendy Diddell: That we need or that we have?

Unidentified Analyst: That we have.

Wendy Diddell: Well, we have probably close to 100 all in now when you consider our field engineers and our application engineers and our development engineering.

Gregory Peloquin: That we’ve added. I mean total is 500.

Wendy Diddell: The number of engineers.

Gregory Peloquin: Okay.

Unidentified Analyst: And I guess the last question and you guys got us a lot, but just maybe a little bit different angle or a little bit of different aspects to it as within the semi wafer business, I mean, what are you kind of seeing from your customers? I mean, I know you said you have clarity through Q3, Q4 for your fiscal year, but what are you kind of hearing from your customers and from their business? Are they kind of information or insights you are getting from that?

Gregory Peloquin: Yes. So they look at the overall market, and they’re doing cash provide again a nice product to that market. And so it’s hard for them to extrapolate what — how that affects our business with them. So right now, the visibility we have is that we’re going to be fine and strong for the balance of the fiscal year. But going forward, they’re seeing their end customers and also the China issue, Ed mentioned, there could be a slowdown, but they haven’t been able to pass that exactly how that affects our numbers, and that’s what Wendy was talking about some of visibility and the forecast for FY €“

Operator: Our next question comes from Pete Taylor with ARS Investment Partners.

Porter Taylor: How are you guys doing?

Unidentified Company Representative: That’s very great numbers.