Alamo Group Inc (ALG) 2023 Q4 法說會逐字稿

Good day, and welcome to the Alamo Group, Incorporated fourth quarter 2023 conference call.

美好的一天，歡迎參加 Alamo Group, Incorporated 2023 年第四季電話會議。

All participants will be in a listen only mode.

所有參與者將處於只聽模式。

(Operator Instructions) Please note this event is being recorded.

（操作員說明）請注意此事件正在被記錄。

I would now like to turn the conference over to Mr. Edward Rizzuto, Executive Vice President, General Counsel and Secretary.

我現在將會議交給執行副總裁、總法律顧問兼秘書愛德華·裡祖托先生。

Please go ahead, sir.

請繼續，先生。

Thank you.

謝謝。

By now you should have all received a copy of the press release.

現在你們應該都收到了新聞稿的副本。

However, if anyone is missing a copy and would like to receive one, please contact us at two one two eight two seven three seven four six and we will send you a release and make sure you're on the company's distribution list.

但是，如果有人遺失了一份副本並希望收到一份，請撥打二一二八二七三七四六聯繫我們，我們將向您發送一份新聞稿並確保您在公司的分發名單上。

There will be a replay of the call, which will begin one hour after the call and run for one week.

電話會議將進行重播，重播將在電話會議後一小時開始，持續一週。

The replay can be accessed by dialing one eight seven seven three four four seven five two nine with the passcode one two nine four six eight nine.

可以透過撥打 1 8 7 7 3 4 7 5 2 9 並使用密碼 1 2 9 4 6 8 9 來存取重播。

Additionally, the call is being webcast on the Company's website at w. w. w. dot alamo dash group.com, and a replay will be available for 60 days.

此外，該電話會議正在公司網站 w 上進行網路直播。 w。 w。 dot alamo dash group.com，可以重播 60 天。

On the line with me today are Jeff Leonard, President and Chief Executive Officer, and Richard Worley, Executive Vice President, Chief Financial Officer and of management, will make some opening remarks, and then we'll open up the line for your questions during the call.

今天與我通話的有總裁兼首席執行官傑夫·倫納德(Jeff Leonard)，以及執行副總裁、首席財務官和管理層理查德·沃利(Richard Worley)，他們將發表一些開場白，然後我們將在會議期間開放專線回答您的問題。的電話。

Today, management may reference certain non-GAAP numbers in their remarks.

如今，管理階層可能會在言論中引用某些非公認會計準則資料。

Reconciliations of these non-GAAP results to applicable GAAP numbers are included in the attachments to our earnings release.

這些非 GAAP 結果與適用的 GAAP 資料的對帳包含在我們收益發布的附件中。

Before turning the call over to Jeff, I'd like to make a few comments about forward-looking statements.

在將電話轉給傑夫之前，我想對前瞻性陳述發表一些評論。

We will be making forward-looking statements today that are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995.

我們今天將根據 1995 年《私人證券訴訟改革法案》的安全港條款做出前瞻性聲明。

Forward-looking and forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results.

前瞻性和前瞻性陳述涉及已知和未知的風險和不確定性，可能導致公司未來期間的實際績效與預測結果有重大差異。

Among those factors, which could cause actual results to differ materially are the following adverse economic conditions, which could lead to a reduction in overall market demand, supply chain disruptions, labor constraints, competition, weather seasonality, currency-related issues, geopolitical events and other risk factors listed from time to time in the Company's SEC reports.

在這些因素中，可能導致實際結果出現重大差異的因素包括以下不利的經濟條件，這可能導致整體市場需求減少、供應鏈中斷、勞動力限制、競爭、天氣季節性、貨幣相關問題、地緣政治事件和公司SEC 報告中不時列出的其他風險因素。

The Company does not undertake any obligation to update the information contained herein, which speaks only as of this date.

本公司不承擔更新本文所含資訊的任何義務，這些資訊僅代表截至目前的情況。

I would now like to introduce Jeff Lennar.

現在我想介紹傑夫·萊納爾。

Jeff, please go ahead.

傑夫，請繼續。

Thank you, Ed. I'd like to again thank everyone who has joined us on the conference call today and to express our appreciation for your continued interest in Alamo Group.

謝謝你，艾德。我想再次感謝今天參加我們電話會議的所有人，並對您對阿拉莫集團的持續關注表示感謝。

The fourth quarter shaped up broadly in line with our expectations, and we were very pleased with the financial results we reported today.

第四季的情況基本上符合我們的預期，我們對今天報告的財務表現非常滿意。

Despite gathering headwinds in several of our served markets, our teams achieved record quarterly sales and earnings for the ninth consecutive quarter.

儘管我們服務的幾個市場遇到了阻力，但我們的團隊連續第九個季度實現了創紀錄的季度銷售額和收入。

I would now like to turn the call over to Richard Worley, who will take us through a review of our financial results for the fourth quarter.

我現在想將電話轉給理查德·沃利，他將帶領我們回顧第四季的財務表現。

I will then provide additional comments on the results and say a few words about the outlook as we enter 2024.

然後，我將對結果提供更多評論，並就進入 2024 年的前景說幾句話。

Following our formal remarks, we look forward to taking your questions.

在我們正式發言之後，我們期待回答您的問題。

Richard, please go ahead.

理查德，請繼續。

Thanks, Jeff, and good morning, everyone.

謝謝傑夫，大家早安。

Alamo Group's fourth quarter 2023 closed with an excellent performance that produced record net sales and net income driven by continued strong demand for products.

Alamo Group 2023 年第四季表現出色，在產品需求持續強勁的推動下，淨銷售額和淨利潤創歷史新高。

Fourth quarter consolidated net sales were $417.5 million, an increase of 8% compared to $386.6 million in the fourth quarter of last year.

第四季合併淨銷售額為 4.175 億美元，比去年第四季的 3.866 億美元成長 8%。

Gross margin dollars increased by $11 million and gross margin percent was up almost 80 basis points in the quarter compared to the fourth quarter of 2022.

與 2022 年第四季相比，本季毛利率增加了 1,100 萬美元，毛利率提高了近 80 個基點。

Both margin dollars and percentage and percentage increase were driven by higher volume and price initiatives we've had in place along with improved productivity.

利潤率和百分比的成長都是由我們採取的更高的銷售和價格措施以及生產力的提高所推動的。

Operating income for the fourth quarter came in at $44.8 million versus $42.7 million in the fourth quarter of 2022, an increase of 5%.

第四季營業收入為 4,480 萬美元，較 2022 年第四季的 4,270 萬美元成長 5%。

Operating income as a percent of sales was just under 11% for the fourth quarter versus 11% for the four for the same quarter last year.

第四季營業收入佔銷售額的百分比略低於 11%，而去年同期則為 11%。

Consolidated net income for the fourth quarter was $31.5 million or $2.63 per share diluted share, an increase of 8% versus net income of $29.2 million or $2.44 per diluted share for the fourth quarter of 2022.

第四季合併淨利潤為 3,150 萬美元，即稀釋後每股收益 2.63 美元，較 2022 年第四季淨利 2,920 萬美元，即稀釋後每股收益 2.44 美元成長 8%。

Vegetation management was off in total sales compared to the fourth quarter of 2022.

與 2022 年第四季相比，植被管理的總銷售額有所下降。

We expected the softness in coming in both in forestry and agricultural markets.

我們預計林業和農業市場都會出現疲軟。

Net sales were $214.4 million, a decrease of 8% compared to $232.5 million for the fourth quarter of 2022.

淨銷售額為 2.144 億美元，較 2022 年第四季的 2.325 億美元下降 8%。

As we care as we have continued to monitor dealer inventory levels, which are up but not at historical levels.

正如我們關心的那樣，我們繼續監控經銷商庫存水平，庫存水平有所上升，但未達到歷史水平。

We honor dealer requests during the quarter to reschedule shipments until 2024 which was a big reason for lower sales.

我們在本季度滿足了經銷商的要求，將發貨時間重新安排到 2024 年，這是銷售額下降的一個重要原因。

The division's operating income for the fourth quarter was $19.8 million, down 35% versus $30.2 million for the same period in 2022.

該部門第四季的營業收入為 1,980 萬美元，比 2022 年同期的 3,020 萬美元下降 35%。

Industrial Equipment division, net sales had a tremendous quarter coming in at $203.2 million, up 32% compared to $154.1 million for the fourth quarter of 2022.

工業設備部門的季度淨銷售額達到 2.032 億美元，較 2022 年第四季的 1.541 億美元成長 32%。

This was due to a solid performance across all product lines, particularly vacuum trucks, sweepers, debris collectors and snow removal equipment, while truck traffic, while truck chassis deliveries and component part receipts return to more consistent cadence, there were a few late component deliveries that impacted this division's operations, although not as significantly as in previous quarters.

這是由於所有產品線的穩定表現，特別是真空卡車、清掃機、碎片收集器和除雪設備，而卡車交通、卡車底盤交付和零件收貨恢復到更一致的節奏，但有一些零件交付延遲這對該部門的運作產生了影響，儘管不如前幾季那麼嚴重。

This resulted in a substantial rise in operating income in the fourth quarter of 2023 of just over $25 million compared to $12.5 million for the fourth quarter 2022, an increase of over 100%.

這導致 2023 年第四季的營業收入大幅成長，略高於 2,500 萬美元，而 2022 年第四季為 1,250 萬美元，增幅超過 100%。

Consolidated net sales were a record for the full year of 2023 coming in at just under $1.7 billion, up 12% compared to $1.5 billion for full year of 2022.

2023 年全年綜合淨銷售額創歷史新高，接近 17 億美元，比 2022 年全年的 15 億美元成長 12%。

Strong demand for our products in both divisions, along with positive impacts of pricing initiatives and improved supply chain and productivity were the main drivers of the increase.

兩個部門對我們產品的強勁需求、定價措施的正面影響以及供應鏈和生產力的改善是成長的主要驅動力。

Consolidated sales were the highest in the Company history 2020 to 2023, gross margin percent was up almost 200 basis points and gross margin increased $77 million versus 2022, an increase of 20%.

2020 年至 2023 年，合併銷售額達到公司歷史最高水平，毛利率上升近 200 個基點，毛利率較 2022 年增加 7,700 萬美元，成長 20%。

The margin improvement resulted from continued and continued improvement in supply chain conditions, which led to efficiencies and enhanced capital cap capacity utilization.

利潤率的提高源於供應鏈狀況的持續改善，從而提高了效率並提高了資本上限產能利用率。

Full year operating income for 2023 was just under $198 million or slightly below 12% of sales compared to full year 2022, which was $148.6 million, just under 10% of sales, up 33% increase in operating income dollars and 190 basis point increase in operating income as a percent of sales.

2023 年全年營業收入略低於1.98 億美元，略低於銷售額的12%，而2022 年全年為1.486 億美元，略低於銷售額的10%，營業收入增長了33%，銷售額成長了190 個基點。營業收入佔銷售額的百分比。

Net income for 2023 was $136.2 million or $11.36 per diluted share versus net income of $101.9 million or $8.54 per diluted share for 2022, an increase of 34%.

2023 年淨利為 1.362 億美元，即稀釋後每股收益 11.36 美元，而 2022 年淨利為 1.019 億美元，即稀釋後每股收益 8.54 美元，成長 34%。

The company's backlog at the end of 2023 came in at just over $860 million.

截至 2023 年底，該公司的積壓訂單剛超過 8.6 億美元。

That's down 15% compared to backlog levels at the end of 2022.

與 2022 年底的積壓水準相比，下降了 15%。

Few additional financial items.

很少有額外的財務項目。

I'd like to cover that relate to the balance sheet at the end of 20 at the end of 2023, which continues to remain extremely strong working capital increased $53 million compared to the end of 2020 to increase primarily from higher accounts receivable and to a lesser extent, inventory.

我想介紹一下與2023 年底20 月底的資產負債表有關的情況，該資產負債表繼續保持極其強勁的勢頭，與2020 年底相比，營運資本增加了5,300 萬美元，主要是由於應收帳款增加和較小程度上，庫存。

For the full year of 2023, we reduced our debt level on our credit facility by almost $67 million.

2023 年全年，我們的信貸額度債務水準減少了近 6,700 萬美元。

Our bank leverage ratio at the end of 2023 was just under [1:1], which had its lowest level in just over eight years, four years, excuse me.

截至 2023 年底，我們的銀行槓桿率略低於 [1:1]，這是八年多來的最低水平，請原諒，四年了。

And finally, the Company's trailing 12 month EBITDA was a record coming in at just under $247 million, up 26% compared to calendar 2022.

最後，該公司過去 12 個月的 EBITDA 創紀錄，接近 2.47 億美元，與 2022 年相比成長了 26%。

For 2024, cash flow shipment should remain strong as our focus will be continue to reduce both inventory and debt.

2024 年，現金流量出貨應保持強勁，因為我們的重點將繼續減少庫存和債務。

We will remain disciplined in execution, controlling costs and expenses and as inflation is expected to continue to put pressure on our margins for the supply chain will continue to be major focuses to reduce the amount of work in process we hold.

我們將繼續嚴格執行，控製成本和費用，並且由於通貨膨脹預計將繼續對我們的利潤率造成壓力，因此供應鏈將繼續成為減少我們持有的在製品數量的主要焦點。

So in summary, Q4 was a record for look out for our quarter for Alamo Group sales were up 8%, which translated into 8% increase in net income.

總而言之，第四季度是 Alamo 集團銷售額成長 8% 的季度記錄，這意味著淨利潤成長 8%。

We are also pleased that our Board recently approved an increase of our regular quarterly dividend of $0.22 per share to $0.26 per share for 2024.

我們也很高興董事會最近批准將 2024 年定期季度股息從每股 0.22 美元增加到每股 0.26 美元。

With that, I'll turn the call back over to Jeff.

這樣，我會將電話轉回給傑夫。

Thank you, Richard.

謝謝你，理查。

We want to thank everyone who joined us on the conference call today.

我們要感謝今天參加我們電話會議的所有人。

In the fourth quarter, we produced solid financial results that were broadly in line with our expectations.

第四季度，我們取得了穩健的財務業績，基本上符合我們的預期。

We were especially pleased that our fourth quarter results established the company's ninth consecutive quarter of record sales and earnings.

我們特別高興的是，我們第四季的業績創造了公司連續第九個季度的銷售和獲利記錄。

Overall, our markets continued to display significant strength during the fourth quarter, although they began to diverge directionally as we closed out the year.

總體而言，我們的市場在第四季度繼續表現出強勁的實力，儘管在年底時它們開始出現方向性分歧。

Municipal county and state agencies continued to accelerate their investment in renewal and modernization of their infrastructure maintenance fleet state rainy day funds remain near all-time highs and ended 2023, nearly double what they were before the pandemic in 2019.

市、縣和州機構繼續加快對基礎設施維護車隊更新和現代化的投資，州雨天資金仍接近歷史最高水平，截至 2023 年，幾乎是 2019 年大流行前的兩倍。

The pace of spending by state and municipal governments continued to accelerate last year relative to 2022 and double digit annual spending growth was reported again in 2023.

與 2022 年相比，去年州和市政府的支出步伐持續加快，2023 年年度支出成長再次達到兩位數。

This continued to drive robust demand across our full product offering and the Industrial Equipment division as well as our roadside and specialty mowing products and the vegetation management division.

這繼續推動我們的全產品供應和工業設備部門以及路邊和特殊割草產品和植被管理部門的強勁需求。

The market for our forestry and tree care products was more challenging in the fourth quarter as negative trends emerged in the wood biomass market.

由於木材生物質市場出現負面趨勢，我們的林業和樹木護理產品市場在第四季更具挑戰性。

According to the USDA United States, wood pellet exports increased 6% by weight, and the price per ton also increased 6% relative to 2022 less positive lead domestic suppliers are confronting cost pressures and tight supplies of waste wood feedstocks that are pressuring margins in the long term supply contracts.

據美國農業部稱，與2022 年相比，木屑顆粒出口重量增加了6%，每噸價格也上漲了6%，國內供應商正面臨成本壓力和廢木原料供應緊張，這給利潤帶來壓力。長期供應合約。

This slowed planned investments in major equipment, higher interest rates, also constrained ordering activity related to these larger and more expensive products.

這減緩了主要設備的計劃投資，利率上升，也限制了與這些更大、更昂貴的產品相關的訂購活動。

While recent biomass market dynamics were less favorable in the final months of 2023.

儘管近期生物質市場動態在 2023 年最後幾個月不太有利。

Demand for our forestry products remained at a good level in the fourth quarter, although off from the peaks of the previous few years in the hobby farm and ranch segment, fourth quarter trends were also mixed after a long upward run spanning several years.

儘管休閒農場和牧場領域的需求與前幾年的峰值有所不同，但第四季度對我們林業產品的需求仍保持在良好水平，在經歷了幾年的長期上升之後，第四季度的趨勢也好壞參半。

Cattle prices declined modestly in the fourth quarter, but still ended the year with strong double digit gains.

牛肉價格在第四季小幅下跌，但年底仍以兩位數的強勁漲幅。

Hog prices were lower in the fourth quarter and were down for the full year as well.

第四季生豬價格較低，全年生豬價格也有所下降。

Agricultural crop prices, including corn, soybeans and wheat, all moved lower in the fourth quarter, although they remained at historically good levels.

包括玉米、大豆和小麥在內的農作物價格在第四季均下跌，但仍維持在歷史良好水準。

As a result of these commodity price trends, US farmer sentiment declined in the fourth quarter.

由於這些大宗商品價格趨勢，美國農民情緒在第四季下降。

The higher interest rates that prevailed through the second half of the year caused dealers to push inventories lower.

下半年普遍存在的較高利率導致經銷商降低庫存。

This was most notable in the hobby farm and ranch market where dealers deferred certain planned equipment deliveries and canceled some longer lead time orders.

這在業餘愛好農場和牧場市場最為引人注目，經銷商推遲了某些計劃的設備交付並取消了一些交貨時間較長的訂單。

This dealer destocking pattern impacted orders within the vegetation management division.

這種經銷商去庫存的模式影響了植被管理部門的訂單。

Dealers selling the products of our Industrial Equipment division have not been impacted as much by higher interest rates as they don't carry meaningful inventories of these made to order products.

銷售我們工業設備部門產品的經銷商並未受到較高利率的影響，因為他們沒有這些客製化產品的有意義的庫存。

Looking at how these market forces drove our business in the fourth quarter, sales in the vegetation management division were down 8% and new order bookings declined 34% compared to the fourth quarter of 2020 to year end.

從這些市場力量如何推動我們第四季的業務來看，與 2020 年第四季截至年底相比，植被管理部門的銷售額下降了 8%，新訂單預訂量下降了 34%。

Order backlog in this division declined 39% relative to the fourth quarter of 2022.

該部門的積壓訂單較 2022 年第四季下降了 39%。

These numbers need to be viewed with perspective, though, as the division sales orders and backlog remained elevated compared to pre-pandemic levels.

不過，需要客觀地看待這些數字，因為與疫情前的水平相比，該部門的銷售訂單和積壓訂單仍然較高。

The division's fourth quarter EBITDA of 12.6% was 360 basis points lower than the prior year.

該部門第四季 EBITDA 為 12.6%，較上年同期下降 360 個基點。

However, on a full year basis, EBITDA was 80 points higher versus 2022.

然而，從全年來看，EBITDA 比 2022 年高出 80 點。

The division's backlog represents a solid four months of sales at the current pace two months longer than the level reported reported pre-pandemic fourth quarter sales were lower compared to the prior year in forestry tree care and the hobby farm and ranch markets.

該部門的積壓訂單代表著穩定的四個月銷售額，按目前的速度計算，比大流行前報告的第四季度銷售額比去年林業樹木護理和業餘農場和牧場市場報告的水平要低兩個月。

But sales of mowers to governmental agencies were sharply higher.

但向政府機構銷售的割草機卻大幅增加。

Fourth quarter EBITDA was impacted by costs associated with sales incentives to motivate retail sales.

第四季 EBITDA 受到與刺激零售銷售的銷售激勵相關的成本的影響。

Although these incentives were more modest than those employed in the second and third quarters, fourth quarter sales in the Industrial Equipment division were 32% higher than the prior year.

儘管這些激勵措施比第二季和第三季採用的激勵措施更為溫和，但工業設備部門第四季的銷售額比去年同期成長了 32%。

The division's order bookings in the fourth quarter were down 9% just due to a difficult comparable.

由於比較困難，該部門第四季的訂單預訂量下降了 9%。

This was the result of an extraordinarily large snow removal equipment order that was received in the final quarter of 2022.

這是 2022 年最後一個季度收到的一份特別大的除雪設備訂單的結果。

The year end order backlog in this division was 18% higher than the prior year.

該部門年末積壓訂單比前一年增加 18%。

Fourth quarter EBITDA of 15.1% was 320 basis points higher than the prior year, with the improvement driven by better efficiency, better manufacturing flow as the chassis supply situation continued to improve.

第四季 EBITDA 為 15.1%，比上年同期高出 320 個基點，這是由於底盤供應持續改善而提高的效率和更好的製造流程所推動的。

Full year EBITDA of 13.6% also marked a 320 basis point improvement versus 2022 and again, this was primarily the result of improved efficiency and higher chassis receipts at the 2023 monthly sales pace.

全年 EBITDA 為 13.6%，也比 2022 年提高了 320 個基點，這主要是由於 2023 年月度銷售速度提高了效率和更高的底盤收入。

The division's backlog represents approximately nine months of sales.

該部門的積壓訂單相當於約九個月的銷售額。

All of the product lines within this division achieved fourth quarter sales growth in excess of 20%.

該部門所有產品線第四季銷售額成長均超過 20%。

We were especially pleased that Royal Truck equipment that we acquired in late October had a very strong fourth quarter with sales more than 60% higher than the prior year.

我們特別高興的是，我們在 10 月底購買的 Royal Truck 設備在第四季度表現非常強勁，銷售額比去年同期增長了 60% 以上。

Foil truck contributed nicely to the division's sales and EBITDA in the quarter.

鋁箔卡車為本季該部門的銷售額和 EBITDA 做出了巨大貢獻。

We're very excited about the new opportunities we've identified in the highway safety market and expect we can continue to grow in this area.

我們對在高速公路安全市場中發現的新機會感到非常興奮，並期望我們能夠在這一領域繼續發展。

We were also pleased that our teams were able to substantially complete the transfer of compact sweeper manufacturing from our Kent Washington facility to our facility in Mako.

我們也很高興我們的團隊基本上能夠完成緊湊型掃地機製造從肯特華盛頓工廠到馬科工廠的轉移。

On-the-go was caused in the fourth quarter and then to divest the Kent facility Overall we were pleased with the results achieved in the fourth quarter despite a more mixed market environment, the fact that our teams were able to offset much of the impact of the more challenging conditions in vegetation management with performance improvements in Industrial Equipment clearly shows the strength of our product offering as we enter 2024, the trends evident in the fourth quarter are expected to continue the excess channel inventory and vegetation management will take some time to work through and it now appears that the highly anticipated benefits of an interest rate reduction may not occur until later in the year.

On-the-Go 是在第四季度造成的，然後剝離了肯特工廠。總體而言，儘管市場環境更加複雜，但我們對第四季度取得的成果感到滿意，事實上我們的團隊能夠抵消大部分影響進入2024 年，植被管理面臨的更具挑戰性的條件和工業設備性能的改進清楚地表明了我們產品供應的實力，第四季度明顯的趨勢預計將繼續過剩的渠道庫存，植被管理將需要一段時間才能恢復正常。目前看來，人們期待已久的降息帶來的好處可能要到今年晚些時候才會顯現。

We are closely monitoring this and will not hesitate to adjust our capacity as needed to match current demand.

我們正在密切關注這一情況，並將毫不猶豫地根據需要調整我們的產能以滿足當前的需求。

We remain bullish on the prospects for our Industrial Equipment division and expect the good momentum evident in the fourth quarter to continue driven by elevated spending by governmental agencies, combined with a modest sustained tailwind from the federal infrastructure bill.

我們仍然看好工業設備部門的前景，並預計第四季度明顯的良好勢頭將繼續受到政府機構支出增加以及聯邦基礎設施法案的溫和持續推動的推動。

We're expecting another sequential improvement in chassis receipts in the first half of 2024, and this will help sustain a reasonable level of organic growth our balance sheet is strong and we reduced total debt by more than 22% or more than $67 million during 2023.

我們預計 2024 年上半年底盤收入將再次連續改善，這將有助於維持合理的有機增長水平，我們的資產負債表強勁，2023 年總債務減少了 22% 以上或超過 6700 萬美元。

This positions us well for what we expect will be a more active in an M&A market in 2024.

這使我們處於有利位置，預計 2024 年併購市場將更加活躍。

So in conclusion, we believe the Company is in a good position as we enter 2024, and we're optimistic about our prospects for the new year.

總而言之，我們相信，進入 2024 年，公司處於有利地位，並且我們對新的一年的前景感到樂觀。

Before closing my remarks today, I'd like to thank our customers, dealers, suppliers, our thousands of exceptional employees and our financial stakeholders for their continued support for the company.

在結束今天的演講之前，我要感謝我們的客戶、經銷商、供應商、數千名優秀員工以及我們的財務利害關係人對公司的持續支持。

This concludes our prepared remarks.

我們準備好的演講到此結束。

We're now ready to take your questions.

我們現在準備好回答您的問題。

So operator, please go ahead.

那麼接線員，請繼續。

(Operator Instructions) Mig Dobre, Baird.

（操作員說明）Mig Dobre，Baird。

Good morning, and thank you for taking the question.

早上好，感謝您提出問題。

And maybe we can start with vegetation management on.

也許我們可以從植被管理開始。

Can you can you maybe give us a little more more insight into the order cancellations that you experienced in the quarter?

您能否讓我們更深入了解您在本季經歷的訂單取消情況？

Sounds like you expect dealer destocking to continue in 24.

聽起來您預計經銷商去庫存將在 24 日繼續進行。

Is there a way to sort of frame the overhang from the destock in dollar terms, and I'm not sure I can give you that on this call.

有沒有一種方法可以用美元來衡量去庫存帶來的懸而未決的問題，我不確定我能在這次電話會議上告訴你這一點。

We can certainly put something together for you.

我們當然可以為您整合一些東西。

The pace of order cancellations in the fourth quarter was actually down a bit from Q. three, Mig, but it was still heavily concentrated in the hobby farm and ranch segment where dealers can have, firstly to reprice orders as we've seen for a while and then to partially replace those new orders.

第四季度訂單取消的速度實際上比第三季度有所下降，米格，但它仍然主要集中在業餘愛好農場和牧場領域，經銷商可以首先對訂單重新定價，正如我們在同時然後部分替換這些新訂單。

But we're also kind of an off-season period in that market at the moment.

但目前我們也正處於該市場的淡季。

So I think the real test of the tape will be how the early months of 24 shape up as we head into the spring season, but it really wasn't that unusual compared to what we saw in Q3, for example.

因此，我認為對磁帶的真正考驗將是當我們進入春季時，24 日的前幾個月會如何形成，但與我們在第三季度看到的情況相比，這確實並沒有那麼不尋常。

But the order softness remains.

但訂單疲軟依然存在。

And that's really just because the inventories still remain too high out in the dealers and we continue to run incentives, which elevated our marketing costs in that division.

這實際上只是因為經銷商的庫存仍然過高，而我們繼續實行激勵措施，這提高了我們在該部門的行銷成本。

It's tried and move those inventories out of dealer stocks.

它試圖將這些庫存從經銷商庫存中移出。

It's been pointed out to me repeatedly that the thing you've got to think about here from a dealer perspective is a dealer's balance sheet is denominated in dollars, not units.

有人一再向我指出，從經銷商的角度來看，您必須考慮的是經銷商的資產負債表以美元而不是單位計價。

And so as the price of those units has gone up over the years, it means less units of space on the balance sheet and inventory.

因此，隨著這些年來這些單位的價格上漲，這意味著資產負債表和庫存上的單位空間減少。

So it tends to squeeze short-line suppliers like us made when those balance sheets start to come under pressure.

因此，當這些資產負債表開始承受壓力時，它往往會擠壓像我們這樣的短線供應商。

So none of that has really surprised and we've been through it before, and I think we could still see some daylight sort of toward the middle of the year of this division.

所以這一切都沒有讓我們感到驚訝，我們以前也經歷過這種情況，我認為我們仍然可以在今年年中看到一些曙光。

I'm still optimistic that this system will clear up sort of towards the back end of Q2.

我仍然樂觀地認為這個系統將在第二季末恢復正常。

That's just my latest thoughts.

這只是我最新的想法。

If we look at your your implied orders in Q4 were calculated, if you would orders and Vigen vegetation management, our math is about $176 million in orders.

如果我們計算第四季度的隱含訂單，如果您考慮訂單和 Vigen 植被管理，我們的計算結果約為 1.76 億美元的訂單。

And I'm sort of curious if you think that this level of order intake is what we should be thinking for 2024, at least for the front half of 24 or if you expect another step down, for instance, as this destock continues to materialize?

我有點好奇，您是否認為我們應該在 2024 年（至少是 24 年前半段）考慮這種訂單量水平，或者您是否預計隨著庫存去化的繼續實現，訂單量會進一步下降？

Yes, that's a great question, Mig.

是的，這是一個很好的問題，米格。

I think what I would say about it is the bookings that you see are net.

我想我想說的是，你看到的預訂是淨預訂。

So it's net of order cancellations.

所以這是扣除訂單取消後的淨值。

So it does tend to depress the order run rate.

所以它確實會降低訂單運行率。

And I think we'll continue to see those order cancellations slow for the next quarter or two, which will drive the net booking number higher.

我認為在接下來的一兩個季度我們將繼續看到訂單取消速度放緩，這將推動淨預訂量上升。

So no, I don't believe this is the new normal long term, certainly not for 2024.

所以，我不認為這會是長期的新常態，尤其是 2024 年。

It's hard to call the bottom in the ag space.

很難說農業領域已經觸底。

But I think when we look at what our dealers are telling us and where their inventories are, where either at the bottom or close to it really close to it right now.

但我認為，當我們看看經銷商告訴我們的內容以及他們的庫存在哪裡時，無論是在底部還是接近底部，現在都非常接近底部。

And so I think we should start to see those numbers ticking back up.

所以我認為我們應該開始看到這些數字回升。

I hope that helps you a little bit?

我希望這對你有一點幫助？

Yes, no, it is helpful.

是的，不，這很有幫助。

And I'm trying to understand from a revenue standpoint, if that's kind of where you are in terms of bookings and backlog so from a revenue standpoint, how we should be thinking about the front half of 24 relative to the two to the $214 million that you put up fourth quarter.

我試著從收入的角度來理解，如果這就是你在預訂和積壓方面的情況，那麼從收入的角度來看，我們應該如何考慮 24 的前半部分相對於兩者的 2.14 億美元你提出了第四季度。

I'd make this, Richard, we kind of think the first quarter as we move out of the relatively what you saw seen here in the fourth quarter in that general range and probably somewhat into the second quarter.

我想說的是，理查德，我們認為第一季是我們從第四季所看到的整體範圍中移出的，可能會進入第二季。

And then from a margin standpoint sequentially, are we looking at something similar to the fourth quarter?

然後從利潤率的角度來看，我們是否會看到與第四季類似的情況？

We're hoping to hold it right where it's at or I think as Jeff mentioned on the repricing we're talking about, we think our if we think in standard gross margins, we think that will come down some.

我們希望將其保持在原位，或者我認為正如傑夫在我們正在討論的重新定價中提到的那樣，我們認為如果我們考慮標準毛利率，我們認為這將會下降一些。

But overall, we think our efficiencies and we're working on reducing our purchase price variances that we can actually start get.

但總的來說，我們認為我們的效率很高，我們正在努力減少我們實際上可以開始獲得的採購價格差異。

We're pushing back to our vendors to reduce costs.

我們正在敦促供應商降低成本。

So our incoming in our incoming cost should come down.

所以我們的收入成本應該會下降。

And if that's the case, hopefully, we'll hold the margins roughly in the same area that we're at now.

如果是這樣的話，希望我們能夠將利潤率保持在與現在大致相同的區域。

And make remember there's some seasonality here that Q4 first blend in the revenue to the revenue stream tends to be lower, and that will start to increase towards the back of the first quarter and into the second.

請記住，這裡存在一些季節性，即第四季度首先將收入融入收入流中的收入往往較低，並且在第一季末和第二季開始增加。

So that should support at least a modest improvement of EBITDA.

因此，這至少應該支持 EBITDA 的適度改善。

It normally does if you look at the pattern this division.

如果你看看這個劃分的模式，通常是這樣的。

Okay, understood.

好的，明白了。

And then final question for me is obviously there's pressure on margin in vegetation management and we talked about the revenue and what's going on with de-stock.

對我來說，最後一個問題顯然是植被管理的利潤率面臨壓力，我們討論了收入以及去庫存的情況。

And from that point in time, do you think you're going to have to adjust capacity or adjust the cost base to at least tried to stabilize margins.

從那時起，您是否認為您將不得不調整產能或調整成本基礎，以至少嘗試穩定利潤率。

If these trends continue into the back half of 21.

如果這些趨勢持續到21年下半年。

We're working on that right now, Mike, because we've had some under-absorption flow through into the P&L and we don't tolerate that long term.

麥克，我們現在正在解決這個問題，因為我們已經有一些吸收不足的資金流入損益表，我們不能容忍這麼長時間。

So we're working on that right now.

所以我們現在正在努力。

The next question will come from Chris Moore with CJS Securities.

下一個問題將由 CJS 證券公司的 Chris Moore 提出。

Thanks for taking a couple of good morning and maybe withstand same similar lines, but just in terms of the 12% operating margin target for this year, is it fair to say that it will be challenged in the first half of the year and with a little improvement and the vegetation side, you may be back end up in that arena or just kind of any thoughts you have at this stage?

感謝您早上好，也許會遇到同樣的情況，但就今年 12% 的營業利潤率目標而言，可以公平地說，今年上半年將面臨挑戰，並且沒什麼改進和植被方面，您可能會回到那個競技場，或者只是您在這個階段有什麼想法？

I do, Chris.

我願意，克里斯。

I think as we move toward the back end of Q2, we'll get back to that pace because, as we said a moment ago that the margin should trend upward in vegetation management, particularly notably in Q2.

我認為，當我們走向第二季末時，我們將回到這一速度，因為正如我們剛才所說，植被管理的利潤率應該呈上升趨勢，特別是在第二季。

It will start at the back end of the fourth quarter in a couple of weeks' time.

它將在幾週後的第四季末開始。

It's already starting to warm up down here in the south.

南方地區已經開始暖化。

So I think that will bode well for us.

所以我認為這對我們來說是個好兆頭。

So I think we'll be back there certainly within the second quarter.

所以我認為我們肯定會在第二季度內回到那裡。

That's my expectation as we sit here now, as I say, it's really hard to call the bottom in ag because it's really comes down to the sentiment of dealers and to get the dealer sentiment improve with, we need to get interest rates moving in a better direction for them because they're not really in a bad place right now.

這是我現在坐在這裡的預期，正如我所說，很難說農業已見底，因為這實際上取決於經銷商的情緒，為了改善經銷商的情緒，我們需要讓利率在對他們來說有更好的方向，因為他們現在的處境並不糟糕。

They're just pessimistic about what the short-term yields everybody was sort of factoring in this earlier in the year interest rate reduction, which gave us a moment of optimism.

他們只是對今年早些時候降息時每個人都考慮到的短期收益率持悲觀態度，這給了我們一個樂觀的時刻。

And I think that kind of crushed fairly quickly in the hobby farm and ranch segment.

我認為這種情況在業餘農場和牧場領域很快就被壓垮了。

But in any event, we're still going to reassess our targets.

但無論如何，我們仍然會重新評估我們的目標。

We gather up our management team typically in the second quarter, early in the second quarter, pull together the best brains in the Company revised our strategy.

我們通常在第二季、第二季初召集我們的管理團隊，召集公司最優秀的人才來修改我們的策略。

And at that point, we'll revise our target.

到那時，我們將修改我們的目標。

So I would say towards the back end of the second quarter, look for some news on revised targets.

所以我想說，在第二季末，尋找一些有關修訂目標的消息。

Chris, one thing I would point to this, too, that I think we all kind of seem to forget about is how will the Industrial Equipment division is performing.

克里斯，我也想指出這一點，我認為我們似乎都忘記了工業設備部門的表現如何。

I mean their margins are up every single quarter that we've had here going back to Q2 next year.

我的意思是，從明年第二季開始，他們的利潤率每季都會上升。

And as Jeff mentioned earlier, our expectations is that's going to continue to go on as we move into the balance of 20 into 2020 for yourself?

正如 Jeff 之前提到的，我們的期望是，當我們進入 2020 年的 20 年後，這種情況會繼續下去嗎？

I think that's the beauty of our business.

我認為這就是我們業務的美妙之處。

We've got two businesses here and we can't forget about the industrial piece because their performance has done really well.

我們這裡有兩家企業，我們不能忘記工業部分，因為他們的表現做得非常好。

Chris, it's Jeff.

克里斯，這是傑夫。

One other thing I'd like to point out, we had some extraordinarily high SG&A costs come through at the corporate level this quarter.

我想指出的另一件事是，本季我們公司層級的銷售、管理及行政費用非常高。

Because of the changes that weren't announced, our Board of Directors yesterday, we had high recruiting costs.

因為昨天沒有公佈的變動，我們的董事會，我們的招募成本很高。

And if you back those back out, that's clearly a one-time event.

如果你支持這些，那顯然是一次性事件。

We'd have been right on what the analysts were expecting for us in the quarter.

我們對分析師對本季的預期是正確的。

So that's why I said, I'm still bullish that there's some things going on the back of here that we know about that are just causing us to say look, okay, this is a bit of a one-time event in Q1 that won't repeat in Q2.

所以這就是為什麼我說，我仍然看好這裡發生的一些事情，我們知道這些事情只是讓我們說，看，好吧，這是第一季的一次性事件，贏得了勝利第二季度不再重複。

So I still like where we sit very, very much.

所以我還是非常非常喜歡我們坐的地方。

And as I've said for the last couple of quarters, these two divisions would converge in a better place and industrial made up a little more ground than I expected in Q1.

正如我在過去幾個季度中所說的那樣，這兩個部門將在一個更好的地方融合，工業部門的地位比我在第一季的預期要多一些。

And I think our vegetation management guys did a really good job playing defense, protecting their bottom line and did a little bit better maybe than I could have hoped they could do with the pressure on the top line in that division.

我認為我們的植被管理人員在防守方面做得非常好，保護了他們的底線，並且可能比我希望的更好一些，他們在該部門頂線的壓力下可以做的更好。

Having said that, we do have some under-absorption.

話雖如此，我們確實有一些吸收不足的地方。

We need to deal with it.

我們需要處理它。

We're going to deal with it properly to make sure that we don't have that repeat in the second quarter.

我們將妥善處理，確保第二季不會重演。

So that's our plan forward.

這就是我們的未來計劃。

That's very helpful.

這非常有幫助。

And the 11.6% industrial margins this quarter there.

而本季的工業利潤率也有11.6%。

Is that about the top or there's still room for even more improvement on that front?

這是關於頂部還是在這方面仍有進一步改進的空間？

No, there's going to continue to be more room for that, Chris, because as we mentioned in there, we still got component issues on a few items that when you're dealing with something of that magnitude and the sheer size and volume of a unit that's pretty expensive from a cost standpoint and you missed something that doesn't get that.

不，克里斯，將會繼續有更多的空間，因為正如我們在那裡提到的，當你處理如此大的東西以及一個巨大的尺寸和體積時，我們仍然在一些項目上遇到組件問題。從成本的角度來看，這個單位相當昂貴，而你錯過了一些沒有得到這個的東西。

We can't complete that unit.

我們無法完成該單元。

It sits in with which our width is still high.

它位於我們的寬度仍然很高的位置。

We're pushing $31 million-plus in whip and that's very difficult to get through.

我們正在推動 3,100 萬美元以上的資金投入，但這是非常困難的。

It does relieve itself as you move forward.

當你繼續前進時，它確實會自行緩解。

But again, sometimes you just get those things that pop out in that.

但同樣，有時你會得到那些突然出現的東西。

I think if those continue to improve what we're expecting and we're pushing our procurement folks to kind of get a little bit more level loading of those deliveries of those components that we need to complete these units will continue to see margins moving in the right direction for them, and it should be up yet.

我認為，如果這些繼續改善我們的預期，並且我們正在推動我們的採購人員對我們完成這些單位所需的那些組件的交付進行更多的水平裝載，那麼我們將繼續看到利潤率的上升對他們來說這是正確的方向，而且應該還可以。

When you look at that division.

當你看到那個部門。

Chris, the vacuum truck business continues to perform exceptionally well.

克里斯，真空卡車業務持續表現出色。

Fleet utilization has been excellent all through the first the fourth quarter, and it has started well in the first quarter as well.

整個第四季的機隊利用率都非常出色，第一季的開局也很好。

And then our sweepers group is starting to gain momentum to.

然後我們的清掃小組開始蓄勢待發。

They had a nice pickup year over year and a nice sequential pickup quarter over quarter.

他們的年復一年和季度環比都有不錯的增長。

And our snow removal group, the margins continue to expand there and their backlog is still rising.

而我們的除雪小組，那裡的利潤持續擴大，積壓的訂單仍在增加。

So I think when you look at the picture in the Industrial division, it looks very bullish from my point of view, and we still have eliminated all of the costs related to the inefficiencies that Richard was referring to.

因此，我認為，當您查看工業部門的情況時，從我的角度來看，它看起來非常樂觀，而且我們仍然消除了與理查德提到的低效率相關的所有成本。

So we've still got some running room to pick up there.

所以我們還有一些運行空間。

So I think the outlook for industrial is bullish from my point of view.

因此，從我的角度來看，我認為工業前景是樂觀的。

And Chris, they came in at 12.3% EBIT for the quarter, which is a huge improvement over even Q. three by itself.

克里斯，他們本季的息稅前利潤為 12.3%，這比第三季本身已經有了巨大的進步。

And I think we've been asked the question, do we expect their margins to continue to go north above that and the answer is yes.

我認為我們已經被問到這個問題，我們是否預期他們的利潤率會繼續高於這個水平，答案是肯定的。

Mike Shlisky, DA Davidson.

麥克·什利斯基，檢察官戴維森。

And so another debt reduction here in the fourth quarter in the back half of 23, given what your business is handled here in in 2024.

因此，考慮到 2024 年您的業務處理情況，23 年後半段的第四季將再次削減債務。

When you take both segments together.

當你把兩個部分放在一起。

I'm curious whether you can give us any thoughts whether you think you can get to zero net debt by the end of the year?

我很好奇您能否給我們一些想法，您是否認為您可以在年底前實現淨債務為零？

Or just any kind of rough brackets around your planned targets for debt reduction over the next couple of quarters?

或者只是圍繞您未來幾季的債務削減計劃目標的任何粗略範圍？

Chris, that we've got roughly, if not by just like I'm sorry, we got about $240 million, $235 million in term.

克里斯，我們已經大致得到了，如果不是像我很抱歉那樣的話，我們得到了大約 2.4 億美元，2.35 億美元。

So and the balance of this in our revolver.

所以我們的左輪手槍的平衡。

The intent here is to continue to move forward in 2024 and reduce the revolver down.

這裡的目的是在 2024 年繼續前進並減少左輪手槍。

And we do have that ability if any, excess cash does come in we can pay on the term on the back on the on the long-term piece of on the back end.

我們確實有這種能力（如果有的話），多餘的現金確實進來了，我們可以在後端的長期部分上支付。

So it doesn't that's our intent to continue, but we have it off to zero?

那麼這不是我們繼續下去的意圖，而是我們把它降到零了？

No, but we're going to do everything we can obviously to reduce or to eliminate the revolving piece of that debt and continue to any excess cash.

不，但我們顯然會盡一切努力減少或消除該債務的循環部分，並繼續使用任何多餘的現金。

We have is to pay on the term permanently.

我們必須永久按期付款。

Mike, we're obviously trying to keep this balance sheet that could sheet in great shape for what we're expecting would be about M&A more than 24.

麥克，我們顯然正在努力保持資產負債表的良好狀態，因為我們預計併購數量將超過 24 家。

We're already seeing some signs of that.

我們已經看到了一些跡象。

So obviously, that's that's the most important thing.

顯然，這是最重要的事。

We're ready to jump on the opportunities when they come.

當機會到來時，我們已準備好抓住機會。

And that's kind of where I was going to go with my next question, and that was on how it's going with the Royal Truck business since you acquired it, I couldn't help, but notice that your new Chairman, as someone who has who is no stranger to the highway infrastructure safety of business and you call this Your next new platform, I know you mentioned in the opening comments, but could you maybe give us a little more detail as to the number or sizing of the M&A candidates you could maybe add to that over the next, I guess, I mean for 18 months.

這就是我要問的下一個問題，那就是自從您收購皇家卡車業務以來，它的發展情況如何，我忍不住，但請注意，您的新董事長，作為一個擁有對高速公路基礎設施業務安全並不陌生，你稱之為你的下一個新平台，我知道你在開場白中提到過，但你能否給我們更多關於併購候選者的數量或規模的細節我想，也許在接下來的18 個月內會增加這一點。

Just now this this space might cause a type of mechanical market space.

剛才這個空間可能會造成一種機械市場空間。

We like it's fairly fragmented.

我們喜歡它相當分散。

There's a lot of middling sized companies, companies in that $30 million to $70 million annual revenue range.

有很多中型公司，年收入在 3000 萬美元到 7000 萬美元之間。

But then there's a couple of big players in that space that we like a great, great deal.

但這個領域有一些我們非常非常喜歡的大玩家。

And so you're right, Rich.

所以你是對的，里奇。

Corrado, our new incoming Chairman, announced this morning has a background in that space, and he was with me out of the Axis show the American traffic safety show a few days ago, kind of kicking the tires on a few things.

我們新任主席科拉多今天早上宣布他在該領域有背景，幾天前他和我一起參加了美國交通安全展的軸心展，在一些事情上進行了嘗試。

So we like the space, we think we can grow there and we think near-term opportunities there.

所以我們喜歡這個空間，我們認為我們可以在那裡成長，我們認為那裡有近期的機會。

Got it.

知道了。

And then second, maybe you have a somewhat broader question when you put together the outlook for margins in both the group's and the outlook for potentially turning around and visitation and obviously strong growth in industrial here.

其次，當您將集團的利潤率前景以及潛在的扭虧為盈和訪問量以及工業的強勁增長的前景放在一起時，也許您會遇到一個更廣泛的問題。

I just want to get can you give us some kind of a sense as to whether you expect a year of growth net-net for revenues and margins in 2020 on a holistic.

我只是想知道您能否告訴我們，您是否預計 2020 年的收入和利潤將實現淨增長。

I think probably what you want to look at the two divisions.

我想大概你想看這兩個部門。

The Industrial, we expect revenue levels to be higher than they were in 2023, 2024.

工業方面，我們預期收入水準將高於 2023 年、2024 年。

The vegetation management, I think probably it's going to be a bit soft, as we mentioned as you start to have first half of the year, but we think we can gain some momentum and tried to get something that's relatively in the general same ballpark of where we were at 2023?

植被管理，我認為可能會有點軟，正如我們在今年上半年開始時提到的那樣，但我們認為我們可以獲得一些動力，並試圖獲得相對大致相同的東西2023 年我們在哪裡？

Yes.

是的。

I still think there's some tumor net-net for growth.

我仍然認為腫瘤有一定的成長空間。

I'm the optimist in the group because I do believe we're near the bottom on ag.

我是這個團隊中最樂觀的人，因為我確實相信我們的 ag 已經接近底部了。

I was the first one to say, look, it's hard to call the bottom.

我第一個說，你看，底部很難說。

When you're immersed in the business when the guys running the business are deep in it, it's hard to call the bottom.

當你沉浸在業務中時，當經營業務的人深陷其中時，很難說底部。

But all the signals that I see tell me we are either at the bottom or very, very, very close to it in the hobby farm and ranch segment so I still I'm still an optimist on 2024.

但我看到的所有訊號都告訴我，在業餘愛好農場和牧場領域，我們要么處於底部，要么非常非常接近底部，所以我仍然對 2024 年持樂觀態度。

And as I said, I'm very, very bullish on where our industrial division is go and they still got great momentum they're still booking good orders.

正如我所說，我非常非常看好我們工業部門的發展方向，他們仍然保持著強勁的勢頭，他們仍然預訂了良好的訂單。

Again, they had a kind of a difficult comparable from a booking point of view.

同樣，從預訂的角度來看，他們有一種困難的可比性。

And I think I missed that snow removal or a year ago, this time.

我想我錯過了一年前的除雪，這次。

And but they had a great quarter and their backlog is up like 18%.

但他們的季度表現不錯，積壓訂單增加了 18%。

So they're really well positioned to continue to gain ground here.

因此，他們確實處於有利地位，可以繼續在這裡取得進展。

And that is our strategy is one of our market segments softens, the others accelerate.

這就是我們的策略，我們的細分市場之一會軟化，而其他細分市場會加速。

And if we can keep doing that, we're in a really nice place.

如果我們能繼續這樣做，我們就處於一個非常好的情況。

So I think you'll see us refresh our targets, Mike here in a couple of months, and I think they'll be well received.

所以我想你會看到我們在幾個月後刷新我們的目標，麥克，我認為他們會受到好評。

That's my judgment.

這是我的判斷。

So so flat up in one segment?

某一部分如此平坦？

Well, the up nicely in the other segments and both you have market opportunities in 24 as well for segments?

嗯，其他細分市場的成長很好，你們在 24 以及其他細分市場都有市場機會嗎？

Yes, that's my belief.

是的，這就是我的信念。

Tim Moore, EF Hutton.

蒂姆·摩爾，EF 赫頓。

Thanks and great full year organic sales growth and wonderful backlog finish on the Industrial Equipment side with new orders.

感謝全年有機銷售的巨大增長以及工業設備方面的新訂單積壓工作的出色完成。

Definitely ahead of my forecast there.

絕對領先我的預測。

I just wanted to drill more into one topic that investors really weren't believing or maybe over looking where your stock price is $160 in October and based on some calls, I was counting on, but seems like a very good catalyst.

我只是想深入探討一個投資者確實不相信的話題，或者可能忽略了 10 月份你的股價為 160 美元，並且基於一些電話，我本來指望的，但似乎是一個非常好的催化劑。

I know we're just start highlighting this topic three questions ago, but I'm just the industrial equipment operating margin runway.

我知道我們在三個問題前才開始強調這個主題，但我只是工業設備運作利潤跑道。

We know that you've got to you'll be getting operating leverage growth just from volumes and Richard mentioned getting went down with the procurement team and more inefficiencies taken out.

我們知道，您必須僅從銷售中獲得營運槓桿成長，理查德提到採購團隊的工作量下降以及更多效率低下的問題被消除。

Can you maybe dive into more, you know, just on the inefficiencies plants and any way to kind of ballpark, if you're 80% back to maybe being recovered on normalization of supply chain components and delays and not need to restart those lines of production to finish off the final assembly steps of our backyard lessening their?

如果你的供應鏈組件正常化和延遲的情況已經恢復到 80%，並且不需要重新啟動這些生產線，你是否可以深入研究效率低下的工廠以及任何大致的方法？生產完成我們後院的最後組裝步驟，減少他們的？

Yeah, let me take the first crack at that.

是的，讓我先試試看。

And I think Richard was to add a comment or two as well, it could be that I will look like you guys.

我想理查德也應該添加一兩則評論，也許我會看起來像你們。

When you look at the chassis situation, Tim, there are still problems that all the truck builders are having getting frame rails out of Mexico.

提姆，當你看看底盤情況時，所有卡車製造商仍然面臨著從墨西哥取出車架縱樑的問題。

They all share one supplier.

他們都共用一個供應商。

And So believe it or not a kind of a straight piece has been steel frame rail is holding up production for all the major OEMs in North America.

因此，不管你信不信，鋼架導軌一直在阻礙北美所有主要原始設備製造商的生產。

That's issue number one issue number two, as Allison Transmission has been having difficulties at the moment getting the transmissions that we need for the vacuum trucks.

這是第一個問題，也是第二個問題，因為艾里遜變速箱目前在獲得真空卡車所需的變速箱方面遇到了困難。

And that has set back the pace of recovery in the truck chassis market a little bit.

這稍微阻礙了卡車底盤市場的復甦步伐。

Having said that, we're going to get hundreds more chassis in 2024 than we were in 2023.

話雖如此，2024 年我們將比 2023 年多獲得數百個底盤。

I think we are in a very, very strong position, and we are finally starting to get a nice diversity of chassis coming in after working to diversify our supply channels six, six months or so ago.

我認為我們處於非常非常有利的地位，在大約六、六個月前努力使我們的供應管道多樣化之後，我們終於開始獲得多樣化的底盤。

So I think, you know, we're probably better than 80% back in terms of the supply chain itself.

所以我認為，就供應鏈本身而言，我們可能已經恢復了 80% 以上。

But we still have these shop floor inefficiencies when when something like a frame rail doesn't come or transmission doesn't come and suddenly a chassis that you're expecting to receive doesn't show up on your door.

但是，當車架導軌之類的東西沒有出現或變速箱沒有出現，並且突然您期望收到的底盤沒有出現在您的門上時，我們仍然存在車間效率低下的情況。

And then there's still some labor issues in some of our bigger plants, not not labor unrest, just shortage of getting enough people to be able to run these plants the way we run them want to run the way we want to run them.

我們的一些較大工廠仍然存在一些勞工問題，不是勞工騷亂，而是缺乏足夠的人員來以我們想要的方式運作這些工廠。

But I would say it's much better now than it was a quarter ago, and I think it's going to continue to grow Africa.

但我想說，現在比一個季度前好多了，我認為非洲將繼續成長。

You know, I think, Tim, on that, and that's the key to me here is not as it is is chassis.

提姆，你知道，我認為，這對我來說關鍵不是底盤。

But our with this high, not because of chassis or whip is high because of component parts or lack of them when we need them, if they're here on time.

但我們的這麼高，不是因為底盤或鞭子高，而是因為零件或在我們需要它們時缺少它們，如果它們準時到達。

And they're efficient world that when we open the work quarter, we run right through it and we complete and close, but we end up missing something we have to go park that unit and it could be less said before 90% to 95% complete and we can't finish it and we have to go start on something else until the component gets it.

他們是一個高效的世界，當我們打開工作季度時，我們會直接完成它，完成並關閉，但我們最終會錯過一些我們必須去停放該單元的東西，在90% 到95% 之前就更不用說了完成了，但我們無法完成它，我們必須開始做其他事情，直到組件得到它。

That's the efficiencies that we keep pushing back on that we have to work on that the government needs to do a better job and help us out there and trying to make sure that those components are delivered to us on time with a good quality cost price an item in there.

這就是我們不斷推遲的效率，我們必須努力，政府需要做得更好，幫助我們，並努力確保這些組件以良好的品質成本價格按時交付給我們那裡的項目。

So that helps us because SOP is starting is probably about the worst thing we could do and it's worse in the Industrial division that is in vegetation management, I think thanks for that color.

這對我們有幫助，因為 SOP 的啟動可能是我們能做的最糟糕的事情，而且在植被管理的工業部門更糟糕，我想感謝這種顏色。

Thanks for that color, Richard and Jeff.

感謝理查德和傑夫提供的這種顏色。

Just to add a little bit.

只是補充一點。

I could just add a little more color for ECM.

我可以為 ECM 添加更多顏色。

The supply chain problems were actually more of an issue in the fourth quarter and vegetation management.

供應鏈問題實際上在第四季和植被管理中更重要。

Some of the bigger components that we need for the forestry side started to be more disruptive than we've seen for a while and that caused some real headaches in forestry up in our Morbark business, but we were not anticipating.

我們林業方面所需的一些更大的組件開始比我們一段時間以來所看到的更具破壞性，這給我們莫巴克業務的林業帶來了一些真正令人頭痛的問題，但我們沒有預料到。

So we're battling our way through that.

所以我們正在努力解決這個問題。

But net net, as you look across the Company, we are in a much better place.

但是，當你縱觀整個公司時，我們的處境要好得多。

Steel prices are looking a little bit favorable as we ended the year.

截至年底，鋼材價格看起來有點有利。

So that could be a little bit of a tailwind for us for at least the first few months of 2024.

因此，至少在 2024 年的前幾個月，這對我們來說可能是一點推動力。

So on balance, as I said, I think I've called the bottom.

所以總的來說，正如我所說，我認為我已經觸底了。

You guys can all tell me as long a quarter of 10 from now in the ag space, but I'm calling bottom and I think I'm up optimistic optimistic about where the next couple of quarters may go.

你們都可以告訴我從現在起農業領域的 10 季度，但我正在呼籲底部，我認為我對未來幾季的發展持樂觀態度。

And I certainly think we're going to be back to very nice running by the middle of this year in the vegetation management division.

我當然認為我們的植被管理部門將在今年年中恢復到非常好的運作狀態。

That's really good Q1.

這確實是很好的 Q1。

We always appreciate your candor, and that's just such a good improvement there, even on industrial equipment compared to 1.5 or two years ago with the going back to the final step.

我們始終感謝您的坦誠，即使在工業設備上，與 1.5 或兩年前相比，這也是一個很好的改進，而且回到了最後一步。

And it's just nice to for investors to know that like, you know, they're yet 100%, but there's still that extra operating margin level expansion just from it when you get there?

對於投資者來說，很高興知道，他們還 100%，但當你到達那裡時，仍然會有額外的營業利潤水平擴張？

When you go into the Industrial Equipment division, Tim, the vacuum truck business is our steady performer there doing great.

提姆，當您進入工業設備部門時，真空卡車業務是我們的穩定表現，表現出色。

And we were able to add nicely to the rental fleet and expect to add significantly to the rental fleet as we go into 2024.

我們能夠很好地增加租賃機隊，並預計在進入 2024 年時將大幅增加租賃機隊。

That's going to be very positive.

這將是非常積極的。

That's very profitable business for us.

這對我們來說是非常有利可圖的生意。

And then our sweeper and debris collector business, which has been running, okay, not perfectly.

然後我們的清掃機和碎片收集器業務一直在運行，好吧，但並不完美。

The last couple of quarters of 2023 really picked up the pace in the fourth quarter, and it's got a really good start.

2023 年的最後幾季在第四季度確實加快了步伐，並且有了一個非常好的開始。

We came out of the gate in 24 also with a very good backlog.

我們在 24 月走出大門，積壓的訂單也非常多。

So that's an improvement.

所以這是一個改進。

And then our snow removal group was at its best point in years from a profitability point of view with an exceptionally strong background back backlog.

然後，從獲利角度來看，我們的除雪團隊正處於多年來的最佳狀態，背景積壓異常強勁。

So the outlook and snow is very nice for us right now, too.

所以現在的景色和雪對我們來說也非常好。

That's great.

那太棒了。

And can we do things are firing on all cylinders and industrial and you get back to the 12%-plus operating margin pretty pretty easily.

我們能否在工業領域全力以赴，輕鬆恢復 12% 以上的營業利潤率。

You should with them the outlook.

你應該和他們一起展望未來。

But I'm one.

但我是其中之一。

Just switching gears and I think most of my questions already answered on the vegetation side.

只是切換齒輪，我想我的大部分問題已經在植被方面得到了解答。

What about I'm just any updates on upcoming launches or trade shows for hybrid and electric product offering US and European cities and towns.

我只是想了解美國和歐洲城鎮即將推出的混合動力和電動產品的發布或貿易展覽的最新情況。

They're starting to pursue better duty cycles and more environmental friendly fleet mixes.

他們開始追求更好的工作循環和更環保的機隊組合。

I'm leaving you talk about there in launches and introductions Yes.

我讓你在發布和介紹中談論那裡是的。

Well, we launched an electric mower in our French operations about a year ago.

大約一年前，我們在法國工廠推出了電動割草機。

That's starting to really gain momentum now and sell very, very well.

現在它開始真正獲得動力並且賣得非常非常好。

We've started to expand the production of the hybrid hybrid Timberwolf chipper that we make in UK, and we're going to bring that to the North American market here very shortly.

我們已經開始擴大在英國製造的混合動力 Timberwolf 削片機的生產，我們很快就會將其推向北美市場。

So that's positive.

所以這是積極的。

Our small compact a hybrid street sweeper has come out of the gate very, very well and actually surprised us with the momentum behind that.

我們的小型緊湊型混合動力街道清潔機已經非常非常好地推出，背後的動力實際上讓我們感到驚訝。

So that's looking very positive.

所以這看起來非常積極。

And then I think you probably saw our all-electric a street sweeper, the MDM. six at the show and ConExpo.

然後我想您可能看到了我們的全電動街道清掃車 MDM。六度參加展覽和ConExpo。

And we've been had a little bit of a setback there and that the electric chassis were played from the supplier that we're not going to get as many of those in the first quarters.

我們在那裡遇到了一些挫折，電動底盤是由供應商提供的，我們在第一季不會得到那麼多的供應商。

We'd hope.

我們希望。

But I mean, we're talking with Boeing about chassis, you can have on one hand.

但我的意思是，我們正在與波音公司討論底盤，你可以一方面擁有。

So it's not a needle mover from that point of view.

所以從這個角度來看，它並不是一個推動者。

But the momentum momentum is very, very good.

但勢頭勢頭非常非常好。

And I continue to believe this company in a very good position.

我仍然相信這家公司處於非常有利的地位。

The really bright news was our larger electric sweeper has proved proven to give more operating hours than we expected on a charge of the batteries battery packs are performing better.

真正令人振奮的消息是，事實證明，我們的大型電動掃地機在充電後的運行時間比我們預期的要長，電池組的性能也更好。

So we're getting a more net yield product productivity time out of that product than we were expecting.

因此，我們從該產品中獲得的淨產量產品生產時間比我們預期的要多。

And the early customers that have seen it have been very very impressed with that.

看過它的早期客戶對此印象非常深刻。

And I was too from an engineering point of view, how well that's turned out.

我也從工程的角度來看，結果有多好。

So we're in a great position there from my perspective.

因此，從我的角度來看，我們處於有利的地位。

Yes, that's great.

是的，那太好了。

Color on the battery packs.

電池組上的顏色。

And I'm a big fan of that hybrid timberland chip participants can do phenomenally well in North America as it rolls out.

我是混合林地晶片參與者的忠實粉絲，隨著它的推出，它可以在北美表現出色。

But I'm thankful I am that separator efficient ethanol industry.

但我很慶幸我是高效乙醇產業的分離者。

Mig Dobre, Baird.

米格·多布雷，貝爾德。

Thanks for the follow up on in industrial.

感謝工業界的跟進。

Is there is there a way to frame for us pricing in your backlog?

有沒有辦法在您的積壓訂單中為我們定價？

So if we're looking at 18% increase year over year in backlog, how much of that would be price relative to volume.

因此，如果我們看到積壓訂單逐年增加 18%，那麼其中價格相對於數量的比例有多大。

I would probably tell you two thirds of that is more volume than it is for price, but our price has gone up every single every single month we've made adjustments in every single quarter on our backlog.

我可能會告訴你，其中三分之二的數量多於價格，但我們的價格每個月都在上漲，我們在每個季度都對積壓訂單進行了調整。

So yes, it's in there.

所以是的，它就在那裡。

The purchase to the purchase cost side of that equation is flat, meaning we're not seeing much price escalation from our suppliers at the moment, a little bit on the chassis, but it's very, very modest.

該等式的購買成本與購買成本持平，這意味著我們目前沒有看到供應商的價格上漲太多，底盤上有一點，但非常非常溫和。

So most of that gain is, in fact, just good running in the business from my point of view.

因此，從我的角度來看，事實上，大部分的收益只是業務的良好營運。

So I think the majority of that is true growth.

所以我認為其中大部分是真正的成長。

I see I ask the question because I'm trying to figure out what the reasonable expectation for revenue growth in industrial in 2024, right in your backlog is high.

我之所以問這個問題，是因為我試圖弄清楚 2024 年工業收入成長的合理預期是多少，而你們的積壓訂單數量很高。

It sounds to me that and while there's still some supply chain issues, you're expecting more chassis in 24 than you did you had in 23.

在我看來，雖然仍然存在一些供應鏈問題，但你預計 24 中的底盤會比 23 中的底盤更多。

So your volume should be up, pricing is positive and should help you.

所以你的銷售應該會增加，定價是正面的，應該會對你有幫助。

So can you maybe help us understand what's the reasonable expectation for revenue in 24?

那麼您能否幫助我們了解 24 小時收入的合理預期是多少？

Yes.

是的。

I think when you look at that division, make a couple of things.

我認為當你審視這個部門時，要做一些事情。

I mean, in terms of the chassis, we have failed when some parts of the business were actually sold out for 2024, which is great seats haven't been delivered yet.

我的意思是，就底盤而言，我們失敗了，因為 2024 年業務的某些部分實際上已售罄，而很棒的座椅尚未交付。

So I think you will see nice revenue growth out of the industrial division.

所以我認為你會看到工業部門的收入成長良好。

They're feeling bullish about where they sit right now and they've come out of the gate very strongly in the first quarter.

他們對自己現在的處境感到樂觀，而且他們在第一季的表現非常強勁。

I can't be specific about that, obviously, but we like the momentum and what we see there.

顯然，我不能具體說明這一點，但我們喜歡這種勢頭和我們在那裡看到的東西。

So I think there's plenty of room for organic revenue growth in the Industrial division.

因此，我認為工業部門的有機收入成長還有很大的空間。

We were with that division head yesterday at our Board meeting and Mike likes where you sitting and the backlog has never been higher and that business, it's a beautiful spot at the end.

昨天我們和那位部門負責人一起參加了董事會會議，麥克喜歡你坐的位置，積壓的訂單從未如此之高，而那項業務，這是最後的一個美麗的地方。

And then as you point out with regard to the chassis, we're going to get hundreds more chassis in 2024, at least.

然後，正如您所指出的，關於底盤，我們將在 2024 年至少獲得數百個底盤。

That's what we've been promised that what we saw in 2023 that will flow through in a couple of nice ways.

這就是我們所承諾的，我們在 2023 年所看到的將會以幾種好的方式實現。

Our rental fleet should go up very nicely, I hope, hopefully by triple digits, but certainly by double digits in terms of unit count.

我希望，我們的租賃車隊應該會成長得非常好，希望能成長三位數，但就單位數量而言，肯定會成長兩位數。

And that helps because we're running that fleet so hard right now, it's hard to keep up with it.

這很有幫助，因為我們現在正在努力經營這支車隊，很難跟上它的步伐。

The utilization is so high.

利用率這麼高。

You're putting a lot of wear and tear on the trucks in the fleet.

您為車隊中的卡車帶來了很大的磨損。

But secondly, it's helping our sweeper business that has a big backlog and has been constrained on that.

但其次，它正在幫助我們的清掃機業務積壓大量訂單並受到限制。

And we're building trucks now on our debris collector group enrichment that they've sort of been the poor guy at the back of the line to get chassis and they're starting to get chassis flowing through again.

我們現在正在碎片收集組濃縮中建造卡車，他們在某種程度上是排在後面獲得底盤的可憐人，現在他們開始再次讓底盤流過。

So I think we're going to see nice organic growth in the Industrial division.

因此，我認為我們將在工業部門看到良好的有機成長。

One other thing too, that Mig, in 2020 for the full year royalty trust and that will probably definitely push their sales above double a double digit increase.

另一件事是，Mig 在 2020 年獲得全年特許權使用費信託，這肯定會推動他們的銷售額實現兩位數以上的成長。

Okay.

好的。

This concludes our question and answer session.

我們的問答環節到此結束。

I would like to turn the conference back over to management for any closing remarks.

我想將會議轉交管理層發表閉幕詞。

Please go ahead.

請繼續。

Okay.

好的。

Thank you very much.

非常感謝。

Appreciate everybody joining the call today, and we look forward to having you join our first quarter conference call in May of 2020 for you.

感謝今天加入電話會議的每個人，我們期待您參加我們於 2020 年 5 月舉行的第一季電話會議。

The conference has now concluded.

會議現已結束。

Thank you for attending today's presentation.

感謝您參加今天的演講。

You may now disconnect.

您現在可以斷開連線。