TPI Composites, Inc. (NASDAQ:TPIC) Q3 2023 Earnings Call Transcript

So, we are starting that here in the fourth quarter for a handful of lines. That will continue into the first quarter, and then we will move into those transitions.

Jeff Osborne: Makes sense. And then can you give us an update on what the anticipated CapEx would be for the full year? And any comments that you can share on Newton would be helpful.

Ryan Miller: Yes. What I would tell you, we are not quite ready to guide what CapEx is going to be up for the full year, but I will kind of tell you directionally where we think it’s going to be. We have historically kind of our OpEx, CapEx, bare bones without start-ups and transitions, has generally been about 1% of sales. And what I would tell you is from a start-up and transition perspective, we are probably going to be at least that or maybe a little bit more than that as we get into next year, but we are still kind of fine-tuning the timing on some things right now, especially just thinking about the timing of transitions that happen in ‘25 that may impact our ‘24 CapEx. We definitely won’t be spending anything beyond where we are this year because we are buying the wind turbines in Türkiye, but we will have a combinational start-up and transition CapEx and just normal OpEx, CapEx.

Bill Siwek: And Jeff, as it relates to Newton, it’s still – we are still working with our customer on timing for that one. So, we do not have that locked down yet as far as exactly when we will start or the blade type in that facility.

Jeff Osborne: And then very quickly, Bill, on the EV comments you made in the thermal barrier light-duty truck. Is there any CapEx associated with that? And anything you can share around content per vehicle and when the start of production might be?

Bill Siwek: Yes. The CapEx for that is relatively light. Some of it’s already been spent. It will depend on how fast it ramps quite frankly. If it ramps faster, there will be a little bit more CapEx next year for it, but relatively small amounts of CapEx to ramp those programs that we have got started here in the fourth quarter.

Jeff Osborne: Perfect. Thank you.

Bill Siwek: Thanks Jeff.

Operator: This concludes our question-and-answer session. I would like to turn the conference back over to Mr. Bill Siwek for any closing remarks. Please go ahead.

Bill Siwek: Thank you, operator and thank you all again for your time today and continued interest and support of TPI. I look forward to the next quarter. Thank you.

Operator: The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.