Rich Hume: Yes. I think, Adam, just to maybe be a bit repetitive. The thing that we’ve got to work through is the mix shifts back now to more Endpoint. And as that happens, as Marshall said, there’s probably a 20 basis point headwind that we need to work on and figure out how to improve upon. I would say that we’re reasonably proud of the fact that when you take a look at the op income margin for FY ’23, we’ve been able to hold that or we held that despite the revenue declines that we had faced. So we have some work to do going forward, but we kind of have our eye on it, and the execution engine will kind of focus on how do we drive improvement moving forward.
Adam Tindle: Okay. And maybe just a quick follow-up, Rich. You talked a lot about Hyve consignment. But I think on the last call, it was — you talked about a new customer ramp that you were expecting in fiscal ’24. Could you give us maybe any update on that and visibility into the timing and magnitude of that? Thanks.
Rich Hume: Yes. So the customer ramp was just a little bit delayed due to timing of things, but we fully anticipate that we’re clear to go moving forward.
Adam Tindle: Okay. And so do we — do you have a sense of timing and magnitude on it yet?
Marshall Witt: Timing, we think the ramp should begin in quarter one and probably show itself a little bit more in quarter two. So at that point, hopefully, it will be meaningful enough for us to speak to.
Adam Tindle: Okay, thank you very much.
Rich Hume: Thank you, Adam.
Marshall Witt: Thanks, Adam.
Operator: We’ll take our next question from George Wang with Barclays. Your line is open.
George Wang: Hey, guys, Richard and Marshall, I just have a question just on the AIPCs. I just want to double-click just especially in terms of the time line and the kind of cadence for the ramp. Just curious if you have any more color to share, just kind of from your perspective? And also we heard a bunch from the OEM and the kind of chip makers. Just curious, kind of what specification you can disclose to better so they contribute to the AIPC wave, if you will?
Rich Hume: Yes. Thanks for the question. Good morning. Obviously, it’s a new technology coming in. All indications that we have, it will be sort of at the high end of the premium price band going forward as one would anticipate or in the fiscal year coming, I should say. All of the intelligence that we have says that it will be sort of a single-digit percent of total of the entire PC population, and then, I think, becoming more meaningful in FY ’25 and then into FY ’26. So great opportunity going forward. Kind of best crystal ball estimate is sort of mid-single-digit back half of the year percent of total PC volume and then growing meaningfully after that.
George Wang: Okay. Great. That’s it from me. Thanks.
Rich Hume: Well, thank you.
Operator: We will take our next question from Joseph Cardoso with JPMorgan. Your line is open.
Joseph Cardoso: Hi, good morning, and thanks for the question. Yes, just one for me. I just wanted to piggyback on some of the AS questions. First, can you just clarify if the year-over-year declines in AS were largely in line with your expectations 90 days ago? And then more specifically, can you just elaborate on the trends you’re seeing across some of the product categories there like servers, networking as well as any others? And just curious if any of those are trending better or worse relative to your expectations. And then just the second part of that question, as you think about a recovery in the back half, is that broad-based across these product categories? Or are you thinking that it’s more concentrated to a particular one? Thanks for the question, guys.
Rich Hume: Joe, good morning, and thank you for the question. So what I — the way I would talk about this is I think that the underlying demand across all of these technologies is pretty good. And lead with how to think about how these technologies emerged and have grown from my point of view is to think about when their backlogs recovered last year, because that’s inevitably the increment of the compare year-on-year that I think sort of distorts the numbers a little bit. And when I come at it from that perspective, server and storage had recovered its backlog earlier. And then networking had carried the backlog later into last year. And so when I think about the recovery on a year-to-year basis, I think server and storage emerged earlier than networking because of that backlog hanging around for a longer period of time will be later in the cycle.
As we had stated earlier then when we get to the back half of the year, we think that each of these categories should have growth attributes. That’s at least our expectation.
Joseph Cardoso: No, makes sense. Thanks, Rich. I appreciate all the color. Thanks, guys.
Rich Hume: Thanks, Joe.
Operator: And we will take our next question from Keith Housum with Northcoast Research.
Keith Housum: Good morning, guys. A question for you on like the revenue synergies that were anticipated from the ERP integrations. I guess are those proceeding as you guys expected? And how are you expecting those to ramp up throughout the rest of the year, is that baked into your guidance?
