So don’t think of quotes as some sort of active bidding process with other vendors. Sometimes it’s simply they’re interested in the innovation that you’ve brought them and they want you to quote it, right? And then there’s won, W-O-N. We’ve won the project. So the $80 million we talked about before was won. The $200-plus million, and the number is actually higher than that, are in the qualification and quote stage, meaning we have not won them yet, but when they get to quote stage, our rate of win is much higher than 50%.
Operator: Our next question comes from the line of Jeff Van Sinderen with B. Riley.
Jeff Van Sinderen: I guess just if we can circle back to Roku for a minute. I’m just curious what do you think the probability is that Roku might sign a license with you. It’s not too late, I guess? And then also, are there any other companies that are infringing in a similar way?
Paul Arling: Yes. Well, first of all, as far as Roku is concerned, I couldn’t speak to that, that would be a decision they would have to make. Of course, along with us sitting down to agree upon that. I will only say this that from the very start of this activity many years ago now, all we want, all we’ve asked for, all we will ask for is they are using properties of ours and we wish them to pay a fair market-based license for those properties. We’ve made that clear this whole time to them and to anyone else who asks, that is what we want. That’s what we wanted from the start. It’s what we wanted two years ago, three years ago. It’s what we want now. And we’re going to continue until that happens. Now, if they were willing to talk on a reasonable basis to do that, then we would be more than willing to sit down and do that.
We’re not in this to litigate or in this because, again, we’ve created new novel ideas in this marketplace, features and products that no one else had ever created before. We’ve patented them under patent law, and we expect to be paid for them. And as I said in the prepared remarks, most of the leading companies in home entertainment are utilizing these features in their products. They’ve respected this. They bought — they’ve either licensed from us, bought chips from us, bought products from us that exhibit these features. So our view is that we simply want to be paid for what they’ve created. If they’re willing to sit down and do that, we’ve been willing to do that all along.
Jeff Van Sinderen: Right.
Paul Arling: [indiscernible] there may be, but there aren’t very many, only because, again, most major companies are customers of ours who are buying products or licensing from us in some way.
Jeff Van Sinderen: Okay. That’s fair enough. Let’s hope Roku comes to their senses and decides to sign a license. Can you speak to what you think the growth rate of the HVAC and hash business, if you kind of look at those together this year, what that growth rate might be looking at all the new projects you’re taking on that will start to ramp later in the year and so forth?
Paul Arling: Yes. Well, I can’t give you the exact growth rate because, again, it will depend on a lot of things, what month certain things ship in this year. I don’t want to provide that sort of precise guidance. But what I will tell you is, again, it’s similar to home entertainment, those many years ago. The growth rate and it was probably lower actually than it is in home automation and HVAC is a growing market, probably 8%, 10%, somewhere in that range. In Home Entertainment, back in the day, it was probably 5%. But our growth was greater. We typically grew at least 5% to 10% because we were shifting share. So if the market growth in a particular year was 3%, we might have grown 8% because, again, we were winning business.
Our products were better, and we were able to convert new customers to our solutions because of it. And that’s how we build a great home entertainment control business over time. We see a similar approach here. The growth rate is 8%, and our expectation would be to grow greater than that because we will be replacing products that are currently in the market, probably vended by someone else with our new advanced better product. That will be our approach, was in home entertainment, will be here. Same approach. And we’ve got a lot of active engagement. Steve asked this earlier, I apologize. I’ve forgotten. We’ve sold — we already have projects sold into five of the top eight HVAC companies in the world. Obviously, Daikin is known because it’s now our largest customer.
They are one of the top eight, but five of the top eight are not buying from us, and we are close to closing the sixth. When we do that, we will have six of the top eight HVAC companies in the world either currently buying from us or working on projects to buy from us. And again, back to home entertainment, this is how it starts. You win a project or two. If the company then has 30 projects, your goal over the next number of years is to win all of them. You will not win all of them all at once. You do those projects, you do them well, you build a great product for them and then you win more projects. So that’s our goal, and it is what we are achieving already.
Jeff Van Sinderen: Okay. So just to clarify that, it sounds like you will have six of the eight. Is there any reason you couldn’t get the other two and have all eight?
Paul Arling: Correct. We can. That will be the goal. Again, as you probably have heard me say many years ago in home entertainment, I used to say this when our market share was 4%. We are pursuing our God-given right to 100% market share.
Jeff Van Sinderen: Right, okay. And just then…
Paul Arling: And then we only had 4% so people thought I was crazy. But in some areas of the world, through product innovation, not anything else, we built a better solution. We were manic about building it. We went out and did build it often with unique features that were covered under patent, but we also have the unique capability, both through data and know-how and IP to build a better product than anybody in the world. We are beginning to do the same thing here. Climate Control is a great market. The products there are good in many cases. In many cases, they’re not so good. The current vendors are, again, just okay, and we think we can go to these companies and help them build, design and build better products with more features, more integration with other systems in the home and make it more integral to the smart home.
That’s what we’re doing. It’s what we’re showing at places like CES and AHR trade shows and getting in front of customers and they — but again, five of the top eight are currently engaged with us on projects or are currently buying from us. And we’re hopefully closing in on the sixth. And to your point, Jeff, there’s no reason why the other two wouldn’t see the same thing.
Jeff Van Sinderen: Right. Well, okay. And then also, I just wanted to clarify on guidance for the year. I believe you said you expect to be profitable for the full year. And I’m just wondering your thoughts on when do you think revenues — I mean are you thinking revenues are going to be up year-over-year in one of those particular quarters? Is that Q2, Q3 or Q4, maybe it’s a second half combined? Just any thoughts on what revenues might reflect upward year-over-year and then the same for EPS, maybe they’re different quarters, but just any thoughts around that?
Paul Arling: Yes. Well, obviously, if we’re profitable for the year, we’ve exceeded earnings because — we did not earn money in 2024. So we will have a quarter better. In fact, I believe our guidance in Q1 is actually slightly better than what our actual performance was in Q1 of ’23. But we do see improvement as this year progresses. As far as — I don’t want to provide specific revenue guidance, but everyone here is focused on not only winning projects for this year and also next, because some projects when a customer wants to give you a nice sized project and they say, well, we’re not shipping this until April of next year. We’re obviously not going to say no to them. We’re building a better future. We’d like to create also a way better ’25 and ’26.
But we are working hard to make sure that the projects we have piled up already, plus some new projects we can put in place will get us to revenue growth in the near future. I can’t tell you exactly which quarter, but we — our goal would obviously be to make that happen this year, right, and then go into next year with a nice growth year. And that’s what we’re working to do. Get these projects all in, get them developed, tested, shipping and it just builds one layer of revenue. Again, same thing we did in home entertainment. We had big projects like with Comcast, but the business was really built off of one project at a time, right? And you pile them on top of each other and never lose them, which we did. We would not only win the project, but we’d win all the derivative projects after that because we, again, did a great job for these customers.
We need to do the same thing here. Build the layers of revenue, it will pile up as time goes on, perform, build good quality products, products delivered on time, come to them with new innovations, you’ll win the next one, and this is the way great businesses are built. And it’s what we’re doing. We’re already doing it. We just need to keep executing across this year and, of course, into next. And we’re confident in what’s going to happen.
Operator: Showing no further questions at this time. I would now like to turn the conference back to Paul for closing remarks.
Paul Arling: All right. Thank you for joining us today and for your continued support of UEI. We plan to present at Sidoti’s virtual Small Cap Conference in March. We look forward to seeing you there. If you could be there. Have a great day.
Operator: And this concludes today’s conference call. Thank you for participating. You may now disconnect.
