PSYS reported weak revenue (-4.6% QoQ), which was as expected based on the update of IP revenue decline shared by the company toward the end of the quarter. EBITDA margin of 14.8% (-260bp QoQ), however, was above our estimate of 12.7% (-470bp QoQ), as IP decline was ~USD1m lower, headcount declined again and there were some write-backs for bonus provided for in the earlier quarters. The margin beat was offset by lower-than-expected other income, limiting the beat on PAT.