Question-and-Answer Session
Operator
(Operator instructions) Your first question comes from the line of Edwin Mok of Needham & Company.
Edwin Mok – Needham & Company
Hey, thanks for taking my questions. Just maybe some on some housekeeping. How do we look at tax going forward, given that you guys have gone back to profitability and what was the cash flow from operations last quarter?
Larry Viano
The tax should remain at 37.5%. As we move further into profitability, it will start to come back down into historical levels, 33%, 32%.
What was the second part of your question, Edwin?
Edwin Mok – Needham & Company
Sorry. The second part is, what was the cash flow from operations in the last quarter?
Larry Viano
For last quarter, the cash flow from operations was almost $12 million.
Edwin Mok – Needham & Company
So the positive cash flow came from kind of working down the inventory and shrinking the balance sheet. Is that correct?
Larry Viano
Yes, of course we – it came from reducing our net loss, it came from the receivables and from inventory, the major areas.
Edwin Mok – Needham & Company
Great. And then, Larry, just maybe a follow-up on inventory. You have kind of a plan or target for inventory level going forward? Obviously, your business is improving, so – as the number of days will come down, but just kind of maybe an absolute level, what level are you comfortable with finding –
Larry Viano
Well, we think if we can bring it down – we can still bring it down. There is a fair amount of finished goods in there. So I think it could come down, even with business going up, I think it could come down at least another $5 million to $10 million in the not-too-distant future.
Edwin Mok – Needham & Company
Great, that's very helpful. And then, maybe talk a little about – maybe some of the new stuff first. So it looks like you guys are making some progress in the solar sector with this new tool as well as some other projects that you guys are doing for the battery. Have you guys like have done some work, tried to quantify how much opportunity do you think you have or how much (inaudible) in the market and can you kind of give us a sense what kind of revenue, run rate you think you can get? Two, even just look out a few years and you get as a baseline?
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