AdvanSix Inc (ASIX) 2024 Q2 法說會逐字稿

Good day and welcome to the AdvanSix second quarter 2024 earnings conference call. (operator instructions) Please note this event is being recorded. I would now like to turn the conference over to Adam Kressel, VP, Investor Relations and Treasurer. Please go ahead.

美好的一天，歡迎參加 AdvanSix 2024 年第二季財報電話會議。（操作員說明）請注意此事件正在被記錄。現在我想將會議交給投資者關係副總裁兼財務主管 Adam Kressel。請繼續。

Thank you, Chad. Good morning and welcome to AdvanSix second quarter 2024 earnings conference call. With me here today are President and CEO, Erin Kane; and Senior Vice President and CFO, Michael Preston.

謝謝你，查德。早安，歡迎參加 AdvanSix 2024 年第二季財報電話會議。今天與我在一起的有總裁兼執行長艾琳凱恩 (Erin Kane)；資深副總裁兼財務長 Michael Preston。

This call and webcast including any non-GAAP reconciliations are available on our website at investors.advansix.com. Note that elements of this presentation contain forward-looking statements that are based on our best view of the world and of our business as we see it today.

本次電話會議和網路廣播（包括任何非公認會計原則對帳）可在我們的網站 Investors.advansix.com 上取得。請注意，本簡報的內容包含前瞻性陳述，這些陳述是基於我們對當今世界和業務的最佳看法。

Those elements can change and the actual results could differ materially from those projected and we ask that you consider them in that way. We refer you to the forward-looking statements included in our press release and earnings presentation. In addition, we identify the principal risks and uncertainties that affect our performance in our SEC filings including our annual report on Form 10-K as further updated and subsequent filings with the SEC.

這些因素可能會發生變化，實際結果可能與預測結果有重大差異，我們要求您以這種方式考慮它們。我們建議您參閱我們的新聞稿和收益報告中包含的前瞻性陳述。此外，我們在向 SEC 提交的文件中確定了影響我們業績的主要風險和不確定性，包括進一步更新的 10-K 表格年度報告以及隨後向 SEC 提交的文件。

This morning, we will review our financial results for the second quarter of 2024 and share our outlook for our key product lines and end markets. Finally, we'll leave time for your questions at the end.

今天早上，我們將回顧 2024 年第二季的財務業績，並分享我們對關鍵產品線和終端市場的展望。最後，我們將在最後留出時間回答您的問題。

So with that, I'll turn the call over to AdvanSix's President and CEO, Erin Kane.

因此，我會將電話轉給 AdvanSix 的總裁兼執行長 Erin Kane。

Thanks, Adam, and good morning, everyone.

謝謝亞當，大家早安。

We appreciate you joining us here today for our quarterly call. As you saw in our press release, we delivered a strong second quarter with year-over-year improvement in sales, earnings, margin rate and cash flow and a return to targeted utilization rates across our integrated value chain. This performance reflects our collective organization's focused execution to capture commercial benefits and the advantages of our business model and diverse product portfolio.

我們感謝您今天參加我們的季度電話會議。正如您在我們的新聞稿中看到的那樣，我們第二季度的業績表現強勁，銷售額、收益、利潤率和現金流均同比有所改善，整個綜合價值鏈的利用率也恢復到目標水平。這項績效反映了我們集體組織為獲取商業利益而專注的執行力以及我們的商業模式和多樣化產品組合的優勢。

We realized a 6% improvement in sales, reflecting higher domestic nylon volumes, a robust domestic application season for ammonium sulfate and continued strength in acetone pricing. Our disciplined capital execution continued to support long-term performance and growth, including sustain, our sustainable US Sulfate to accelerate increase nutrition program.

我們的銷售額實現了 6% 的成長，反映出國內尼龍銷量增加、硫酸銨國內應用旺季以及丙酮定價持續走強。我們嚴格的資本執行繼續支持長期業績和成長，包括維持我們可持續的美國硫酸鹽以加速增加營養計劃。

Overall, our team delivered strong operational performance including near record production of granular ammonium phosphate. Additionally, we returned $8 million of cash to shareholders through dividends and repurchases.

總體而言，我們的團隊實現了強勁的營運績效，包括接近創紀錄的粒狀磷酸銨產量。此外，我們也透過股利和回購向股東返還 800 萬美元現金。

Looking ahead into the second half, we continued to have several year-over-year tailwinds supporting a favorable earnings outlook including a continued tight global acetone supply and demand environment, modestly improving North American Nylon industry spreads and we started the third quarter with a robust ammonium sulfate Fill program at higher pricing levels compared to the prior year.

展望下半年，我們繼續面臨一些同比有利因素，支撐著良好的盈利前景，包括全球丙酮供需環境持續緊張，北美尼龍行業利差小幅改善，我們以強勁的業績開始了第三季度與上一年相比，硫酸銨填充計劃的定價水準更高。

We are highly focused on delivering the right outcomes for our stakeholders by driving superior operational and commercial performance to meet the evolving needs of our customers, building capabilities to strengthen our innovation and portfolio resiliency and executing against a disciplined capital deployment framework. We continue to positively position the enterprise to fuel future earnings and cash flow performance in support of robust total shareholder returns.

我們高度專注於為利害關係人提供正確的成果，推動卓越的營運和商業績效，以滿足客戶不斷變化的需求，建立能力以加強我們的創新和投資組合彈性，並根據嚴格的資本部署框架執行。我們繼續為企業提供積極的定位，以推動未來的獲利和現金流表現，以支持強勁的股東總回報。

Let me now turn the call over to Mike.

現在讓我把電話轉給麥克。

Thanks, Erin, and good morning, everyone. I'm now on Slide 4, where I will provide a summary of the second quarter 2024 financials and year-over-year performance. Higher sales of nylon and ammonium sulfate due to favorable North American supply and demand conditions and continued strength in acetone pricing drove favorable financial results.

謝謝艾琳，大家早安。我現在正在看第四張投影片，我將在其中提供 2024 年第二季財務狀況和年比業績的摘要。由於北美供需狀況良好以及丙酮定價持續走強，尼龍和硫酸銨銷量增加，推動了良好的財務表現。

We saw a 6% increase in sales, 5% from increased volume and 1% from net pricing, which converted to a 19% increase in adjusted EBITDA of $78 million and a 24% increase in adjusted earnings per share of $1.55.

我們看到銷售額成長了 6%，銷量成長了 5%，淨定價成長了 1%，調整後 EBITDA 成長了 19%，達到 7,800 萬美元，調整後每股盈餘成長了 24%，達到 1.55 美元。

Free cash flow was $17 million in the quarter, up 6%. Cash flow from operations of $50 million increased $15 million, primarily due to higher net income and the favorable impact of changes in working capital. Capital expenditures of $33 million in the quarter increased $14 million reflecting our planned increased spend on maintenance and enterprise programs.

本季自由現金流為 1,700 萬美元，成長 6%。營運現金流量為 5000 萬美元，增加了 1500 萬美元，主要是由於淨利潤增加以及營運資本變化的有利影響。本季的資本支出為 3,300 萬美元，增加了 1,400 萬美元，反映出我們計劃增加維護和企業計劃支出。

Now let's turn to Slide 5. Here we highlight the key drivers of our second quarter adjusted EBITDA performance sequentially from the first quarter of 2024. Overall, the quarter can be characterized by our team's ability to both capture the benefits of commercial tailwinds, while driving a return to robust operational performance.

現在讓我們轉向投影片 5。在此，我們將重點放在 2024 年第一季起第二季調整後 EBITDA 業績的主要驅動因素。總體而言，本季的特點是我們的團隊有能力抓住商業順風的好處，同時推動恢復強勁的營運表現。

The absence of the first quarter, one-time impact associated with our Frankford site resulted in a $27 million benefit sequentially. Tighter North American supply and demand conditions across each of our product line, supported a $19 million improvement in pricing of raw materials and a $21 million benefit in volume and sales mix.

由於第一季的缺席，與我們的法蘭克福工廠相關的一次性影響導致了 2700 萬美元的連續收益。我們各產品線的北美供需狀況趨緊，原物料定價提高了 1,900 萬美元，銷售量和銷售組合收益提高了 2,100 萬美元。

As expected, ammonium sulfate price net of natural gas and sulfur costs was up sequentially as prices and demand seasonally strengthened. Plant costs and other items were approximately $10 million favorable, reflecting strong operational performance and lower plant spend, including a $2 million reduction in planned plant turnaround costs.

正如預期的那樣，隨著價格和需求季節性走強，扣除天然氣和硫磺成本後的硫酸銨價格環比上漲。工廠成本和其他項目節省了大約 1000 萬美元，反映出強勁的營運績效和較低的工廠支出，包括計劃工廠週轉成本減少了 200 萬美元。

Let's turn to slide 6. Erin will dive further into each of our key product lines in a moment. But here on slide 6, we've shown our typical industry pricing charts to provide further context on the market dynamics this past quarter.

讓我們轉到投影片 6。艾琳稍後將進一步深入了解我們的每個關鍵產品線。但在投影片 6 中，我們展示了典型的產業定價圖表，以提供有關上個季度市場動態的進一步背景資訊。

For Nylon global pricing remained relatively stable sequentially. Thee declines in Asia offset by improved North American spreads on tighter regional supply amid stable end market demand. In the fertilizer space, corn belt nitrogen pricing saw a reduction overall in the second quarter relative to the first.

尼龍全球價格季比保持相對穩定。在終端市場需求穩定的情況下，由於區域供應趨緊，北美價差有所改善，抵消了亞洲的跌幅。在化肥領域，第二季玉米帶氮肥價格相對第一季整體下降。

In contrast, ammonium sulfate pricing strength in the quarter with industry corn Belt prices up 25% sequentially with continued sulfur demand growth and reduced supply in North America. And in Chemical Intermediates industry realized acetone prices over refinery grade propylene costs remained healthy.

相較之下，隨著北美硫磺需求持續成長和供應減少，工業玉米帶價格較上季上漲 25%，本季硫酸銨定價走強。在化學中間體產業，丙酮價格相對於煉油廠級丙烯成本仍保持健康。

Now, let me turn the call back to Erin.

現在，讓我把電話轉回艾琳。

Thanks, Mike. The following three slides provide a deeper look at each of our product lines including industry spread trends tied to our key variable margin equations as well as market dynamics and performance drivers.

謝謝，麥克。以下三張投影片更深入介紹了我們的每條產品線，包括與我們的關鍵可變利潤方程式相關的產業傳播趨勢以及市場動態和績效驅動因素。

For our Plant Nutrient business, spreads have strengthened in recent months. We believe this is reflective of an increasingly recognized software value proposition and observed growth in demand. We have entered the third quarter at higher ammonium sulfate pricing levels compared to the prior year as the value chain began restocking fertilizer supporting our new season order books.

對於我們的植物營養素業務，近幾個月利差有所加強。我們相信，這反映了軟體價值主張日益得到認可以及觀察到的需求成長。與前一年相比，我們進入第三季度的硫酸銨定價水平較高，因為價值鏈開始補充肥料以支持我們的新季節訂單。

While we navigated typical seasonal pricing considerations and what many consider more cautious broader ag fundamentals, we know that farmers may be able to support their profitability.

雖然我們考慮了典型的季節性定價考慮因素以及許多人認為更為謹慎的更廣泛的農業基本面，但我們知道農民可能能夠支持他們的盈利能力。

Our performance in Q2 at a time when nitrogen prices were on the decline albeit with some supply tightness, coupled with the outcome of our Fill program, we believe are proof points to the resiliency of sulfur nutrition demand and supports our expectation is to deliver improved year-over-year performance.

我們在第二季度的表現，儘管供應有些緊張，但氮肥價格仍在下降，再加上我們的填充計劃的結果，我們相信，這證明了硫營養需求的彈性，並支持我們的預期，即實現更好的一年- 同比表現。

Longer term, we remain excited about the growth prospects for this business and leveraging our expertise as a leader in this space. The projects within our sustain program are progressing well including passing the environmental stage review of the USDA grant process and are continuing to track our target investment return profile of 20% plus.

從長遠來看，我們仍然對該業務的成長前景感到興奮，並利用我們作為該領域領導者的專業知識。我們的永續計畫中的專案進展順利，包括通過了美國農業部撥款流程的環境階段審查，並繼續追蹤我們 20% 以上的投資回報目標。

Year-to-date, we've achieved approximately 68% granular conversion and continue to anticipate reaching approximately 70% by the end of the year. This program will continue to support growing market demand for sulfur nutrition with estimated growth of 3% to 4% per year. In addition, we continue to receive positive feedback around product demand to support essential nutrition not only for traditional crops like soybeans as well.

今年迄今為止，我們已經實現了約 68% 的精細轉化，並預計到今年年底將達到約 70%。該計劃將繼續支持不斷增長的硫營養市場需求，預計每年增長 3% 至 4%。此外，我們繼續收到有關產品需求的正面回饋，不僅支持大豆等傳統作物的基本營養。

Let's turn to slide 8. For chemical intermediates the chart on the left represents a weighted average industry acetone over refinery grade propylene margin. As you can see, acetone spreads have recovered amid tight global supply and demand conditions. This have been supported by the persistent lower phenol operating rates on reduced demand to value chain, serving building construction in other industrial applications.

讓我們轉到幻燈片 8。對於化學中間體，左圖代表工業丙酮相對於煉油級丙烯的加權平均利潤。正如您所看到的，在全球供需緊張的情況下，丙酮價差已經恢復。苯酚開工率持續較低，以及價值鏈需求減少，為其他工業應用中的建築施工提供了支援。

Acetone and phenol represent approximately 60% of our intermediate sales with acetone making up a far majority of that. As a reminder, approximately 80% of our produce phenol is consumed by our downstream propyl operations while all of our acetone is sold externally.

丙酮和苯酚約占我們中間體銷售額的 60%，其中丙酮佔絕大多數。需要提醒的是，我們約 80% 的苯酚產品被下游的丙基生產消耗，而我們所有的丙酮均對外銷售。

For us, Acetone is a key product line, with a perform an optimized strategy to meet customer needs while driving favorable sales and profitability mix. For the remaining 40% of our chemical Intermediates portfolio, our key strategic focus is around placing our various chemistry platforms into select high-value applications.

對我們來說，丙酮是一個關鍵的產品線，我們執行優化的策略來滿足客戶需求，同時推動良好的銷售和獲利組合。對於我們化學中間體產品組合的其餘 40%，我們的關鍵策略重點是將我們的各種化學平台放入選定的高價值應用中。

This diversification of end market exposure supports our sales and margin performance through applications such as Nadone Cyclohexanone serving the electronics space our EZ-Blox for alkyd based paints and specialty amines for ag, pharma and industrial applications.

終端市場的多元化透過諸如服務於電子領域的 Nadone 環己酮、用於醇酸基塗料的 EZ-Blox 以及用於農業、製藥和工業應用的特種胺等應用來支持我們的銷售和利潤表現。

Now, let's turn to nylon Solutions on Slide 9. Here, we've shown both the global composite caprolactam and North American resin over benzene spreads given the meaningful split of our monomer and polymer sales. Globally, nylon demand remained mixed across most major end uses.

現在，讓我們轉向幻燈片 9 上的尼龍解決方案。在這裡，我們展示了全球複合材料己內酰胺和北美樹脂相對於苯的價差，因為我們的單體和聚合物銷售存在顯著的分割。在全球範圍內，大多數主要最終用途的尼龍需求仍然參差不齊。

Varying regional dynamics, including competitive intensity and trade flows, continued to impact regional pricing. Despite long supply and demand fundamentals, estimated operating rates out of China are sitting at multiyear highs, resulting in continued nylon exports to other regions, namely Southeast Asia.

不同的區域動態，包括競爭強度和貿易流動，繼續影響區域定價。儘管供需基本面長期存在，但中國的預計開工率仍處於多年高位，導致尼龍繼續出口到其他地區，即東南亞。

In North America, demand has been stable, albeit on a lower base with continued softness in building construction, offset by resilience in packaging and engineering plastics applications. Industry supply has been constrained in North America in recent months, supporting regional outperformance as evidenced in the charts.

在北美，需求一直穩定，儘管基礎較低，建築施工持續疲軟，但被包裝和工程塑膠應用的彈性所抵消。近幾個月來，北美的工業供應受到限制，如圖表所示，支撐了該地區的優異表現。

North American spreads have improved at the second half 2023 trough levels, and we expect further modest improvement through the remainder of 2024, given the tighter regional supply environment. For this business, we remain highly focused on supporting improved through-cycle profitability given we're operating in the third cycle since then.

北美價差已在 2023 年下半年的谷底水準有所改善，鑑於區域供應環境趨緊，我們預計 2024 年剩餘時間將進一步小幅改善。對於這項業務，我們仍然高度關注支援提高整個週期的獲利能力，因為我們自那時以來一直在第三個週期中運作。

While our global low-cost position in caprolactam supports our ability to operate at disproportionately higher utilization rates and meet demand where it exists through cycle, our goal of generating higher mileage reminding us to drive productivity, optimize our regional and product sales mix and continued to promote the value proposition of our differentiated nylon products.

雖然我們在己內酰胺方面的全球低成本地位支持我們以不成比例的較高利用率運作並滿足整個週期中存在的需求的能力，但我們產生更高里程的目標提醒我們提高生產力，優化我們的區域和產品銷售組合，並持續推廣我們差異化尼龍產品的價值主張。

Supporting our current performance is an improved geographical mix as our export sales have moved back to an average historical level of sitting at approximately 12% of our total nylon sales volume in the second quarter.

支持我們目前業績的是地理結構的改善，因為我們的出口銷售額已回到平均歷史水平，佔第二季尼龍總銷量的約 12%。

Now before moving to Q&A, we like to take the opportunity on the next two slides to reiterate and illustrate our through-cycle cash generation, how we allocate that cash and the long-term returns we're generating generating for our business and shareholders. This is a business that's viewed through the lens of long-term performance. The big picture can be missed on a short term snapshot.

現在，在進行問答之前，我們想利用接下來兩張投影片的機會重申和說明我們的整個週期現金產生、我們如何分配現金以及我們為我們的業務和股東創造的長期回報。這是一項從長期績效的角度來看的業務。短期快照可能會錯過大局。

Ample cash from operations has been generated to fund critical allocation priorities and our healthy balance sheet continues to provide flexibility and optionality when needed. Our approach to deploying cash is disciplines with a two-pronged framework of critical funding and discretionary choices to create value.

營運中產生了充足的現金，為關鍵的分配優先事項提供資金，我們健康的資產負債表繼續在需要時提供靈活性和選擇性。我們部署現金的方法是採用關鍵資金和創造價值的酌情選擇雙管齊下的框架。

From a critical funding perspective, we have our ongoing base CapEx, including our maintenance projects and health safety and environmental spend, as well as our enterprise programs to support long-term operational excellence and risk mitigation. And our dividend, which has grown since its initiation in 2021 service as a dependable return of cash to our shareholders and fits very well within this framework, well supported by annual operating cash flow.

從關鍵資金角度來看，我們擁有持續的基礎資本支出，包括維護項目、健康安全和環境支出，以及支持長期卓越營運和風險緩解的企業計畫。我們的股息自 2021 年啟動以來一直在增長，是向股東提供可靠的現金回報，非常適合這個框架，並得到年度營運現金流的有力支持。

All further capital allocation is discretionary where we fund growth and cost-savings programs and robust returns inorganic opportunities and share repurchases. We've generated $1.2 billion of cash from operations since 2017. Through various conditions and cycles this framework has allowed us to fund critical deployment, grow our dividend and invest for long-term performance and growth.

所有進一步的資本配置都是酌情決定的，我們為成長和成本節約計劃以及強勁的回報無機機會和股票回購提供資金。自 2017 年以來，我們已從營運中產生了 12 億美元的現金。透過各種條件和週期，該框架使我們能夠為關鍵部署提供資金、增加股息並投資於長期業績和成長。

Now, let's turn to Slide 11. Pulling it all together, the net outcome of an effective capital allocation framework is robust returns, and we believe for businesses like ours. ROIC is a key valuation metric. We've generated double-digit percentage returns on invested capital through the cycle outperforming peers, which is a testament to the earnings power created from our investments, along with our operational and commercial execution.

現在，讓我們轉向投影片 11。總而言之，有效的資本配置框架的最終結果是強勁的回報，我們相信對於像我們這樣的企業。投資報酬率是一個關鍵的估值指標。我們在周期內的投資資本回報率優於同行，這證明了我們的投資以及我們的營運和商業執行所創造的獲利能力。

We remain well positioned to diverse to deliver as a diversified chemistry company with a playbook and execution to a set of focused priorities and strategies. We have a leading North American position, an advantaged asset base and are aligned to a diverse set of end market applications with an enhanced sales mix across the portfolio.

我們仍然處於多元化的有利地位，作為一家多元化的化學公司，我們有一套劇本和執行力來執行一系列重點優先事項和策略。我們在北美擁有領先地位，擁有得天獨厚的資產基礎，並透過增強整個產品組合的銷售組合來適應各種終端市場應用。

We have increased the earnings power of this business with our focus on through-cycle profitability and the goal of generating higher lows and higher highs. And as I just shared, our capital allocation framework provides upside and optionality for further value creation, AdvanSix offers a compelling investment thesis.

我們專注於整個週期的獲利能力以及創造更高低點和更高高點的目標，從而提高了該業務的獲利能力。正如我剛才分享的，我們的資本配置框架為進一步創造價值提供了優勢和選擇性，AdvanSix 提供了令人信服的投資論點。

So with that, Adam, let's move to Q&A.

那麼，亞當，讓我們進入問答環節。

Thanks Erin. Chad, can you please open the line for questions?

謝謝艾琳。乍得，您能打開提問線嗎？

Thank you. (operator instructions) David Silver, CL King.

謝謝。（操作員說明）David Silver，CL King。

Yeah, hi. Thanks very much. So the minute you have a number --

是的，嗨。非常感謝。所以當你有了號碼的那一刻--

Good morning, David.

早安，大衛。

Yeah. Good morning. Thank you. I do have a kind of a number of questions. I think maybe the first one I'd like to start on is some your comments about improved operating performance and higher utilization.

是的。早安.謝謝。我確實有很多問題。我想我想開始的第一個可能是您對改進操作性能和更高利用率的評論。

So I do recognize field being able to run your own inter integrated -- vertically integrated complex at high rates does help you quite a bit. I'd also comment where there was an issue, I guess, in the first quarter.

因此，我確實認識到，能夠以高速率運行自己的內部整合——垂直整合綜合體的領域確實對您有很大幫助。我也會評論第一季有問題的地方。

So maybe if you could just -- what's the word? I don't know, dart on a dartboard. But how close to optimal would you say your operational execution was this quarter? In other words, maybe I don't know, 95% utilization might be -- might be your target. I'm just saying that and obviously without disruptions.

所以也許如果你可以──這個詞是什麼？我不知道，在飛鏢盤上飛鏢。但您認為本季的營運執行情況與最佳水準有多接近？換句話說，也許我不知道，95% 的利用率可能是——可能是你的目標。我只是這麼說，顯然沒有打擾。

But did you really kind of we'll operate as efficiently as you possibly could? Is that should we kind of assume that? Or is there incremental room for improvement going forward and potentially even an extra increment to your underlying earnings potential? Thanks.

但您真的希望我們能盡可能有效率地運作嗎？我們應該這樣假設嗎？或者未來是否有進一步改進的空間，甚至可能進一步增加您的潛在收入潛力？謝謝。

Well, Thanks for the question. have to maybe sort of start with a quote. I got an e-mail this morning from our friends that had a Franklin D. Roosevelt quote said, a smooth sea never made a skilled sailor.

嗯，謝謝你的提問。也許必須從引用開始。今天早上我收到朋友發來的一封電子郵件，其中引用了富蘭克林·羅斯福的名言：平靜的大海永遠不會造就熟練的水手。

And I know you call out our challenge in Q1, but for us, operational excellence is a forever pursuit, right. I think when we talk about returning to operational rates in the second quarter, we did indeed return sort of mid to high 90% range at Hopewell, which is the sweet spot of where we'd like to operate relative to our target.

我知道您指出了我們在第一季面臨的挑戰，但對我們來說，卓越營運是永遠的追求，對吧。我認為，當我們談論第二季度恢復營運率時，合和確實恢復了 90% 的中高範圍，這是我們相對於目標營運的最佳點。

Certainly, the rest of the chain supports and fills in around that. But as you say, this is an area of continuous improvement. We know just on continuing to create that safe, stable, sustainable operations over longer stretches, inherently create more operational leverage, right.

當然，鏈條的其餘部分支持並填補了這一點。但正如你所說，這是一個持續改進的領域。我們知道，只要繼續在較長時間內創造安全、穩定、可持續的運營，本質上就會創造更多的營運槓桿，對吧。

So it supported our results in Q2, we learn from every single challenge that we have. We improve our scale. We improve our capability set and bring that forward. And that really is the underlying on and our tenants for operational excellence program.

因此，它支持了我們第二季度的結果，我們從我們遇到的每一個挑戰中學習。我們提高規模。我們改進並推進我們的能力。這確實是我們的租戶卓越營運計畫的基礎。

When you started with the FDR quote, I thought you were going to stay in politics nothing happens by accident. But I like your quote better.

當你開始引用羅斯福的名言時，我以為你會繼續從政，不會有任何事情發生是偶然的。但我更喜歡你的引用。

Thank you for that.

謝謝你。

Okay. I guess I would like to ask a couple of questions on, I guess, the ammonium sulfate side of your business. And maybe you could just characterize kind of the spring selling season. In other words, it looks like you had both high volumes and you were able to achieve reasonably good pricing relative to how I guess, the benchmark pricing moved during the quarter.

好的。我想我想問幾個關於貴公司硫酸銨方面的問題。也許你可以描述一下春季銷售季節的特徵。換句話說，看起來你們的銷售量很高，而且相對於我猜測的本季基準定價的變化，你們能夠實現相當好的定價。

And I'd also say it was kind of in a environment where the comparable product urea was moving in one direction and your product was stable or even slightly higher towards the end. So maybe if you could just talk about that, did you just out execute maybe some of your competition?

我還想說，這是在一種環境中，可比產品尿素朝一個方向移動，而您的產品在接近尾聲時保持穩定甚至略高。所以也許如果你能談談這一點，你是否剛剛在執行上勝過了你的一些競爭對手？

Or how would you just characterize your ability to kind of execute very well in the fast pace spring planting season, especially given a number of issues, but one would be attractively priced comparable or close to comparable products? Thanks,

或者，您如何描述您在快節奏的春季種植季節中表現出色的能力，特別是考慮到許多問題，但其中一種產品的價格與同類產品相當或接近，具有吸引力？謝謝，

Sure. And I appreciate certainly the call-out in the comparison here. We believe we positioned ourselves well through the buildup into the season. That's always important and certainly it's something that we're focused on here as we start the next fertilizer in a year.

當然。我當然很欣賞這裡的比較中的標註。我們相信，在賽季的準備階段，我們已經把自己定位得很好。這始終很重要，當然這是我們在一年內開始施肥時所關注的事情。

You may recall that, we had our own production. We have increased our granular ammonium sulfate output. So that certainly went a long way to meeting the demand for the higher value granular product that is in demand here in North America.

您可能還記得，我們​​有自己的產品。我們增加了顆粒硫酸銨產量。因此，這對於滿足北美地區對高價值顆粒產品的需求無疑大有幫助。

We also purchased some extra volume to make sure that we were ready for our customers' demand to offset our challenges in Q1. But I think, what we're seeing is is really the recognition of the essentiality of sulfur nutrition. And so there is that growing demand that was taking place.

我們還購買了一些額外的數量，以確保我們準備好滿足客戶的需求，以抵消我們在第一季的挑戰。但我認為，我們所看到的是對硫營養重要性的真正認知。因此，需求正在不斷增長。

I think the proof points we saw in the quarter, it was really that not just, the 10% to 50% yields that some folks typically see on corn, but I recognize value that some folks can also see mid-single digit increases on yields on soybeans as well.

我認為我們在本季度看到的證據表明，這不僅是一些人通常在玉米上看到的10% 到50% 的收益率，而且我認識到一些人還可以看到收益率中個位數增長的價值對大豆也是如此。

And when the fundamentals are pressuring profitability for farmers yield is a key consideration for them. And so I think our execution, our positioning with our customers, the growth of the high products and the higher demand product on that we're committing to. And then certainly we are seeing this demand signal.

當基本面給農民的獲利能力帶來壓力時，產量就是他們的關鍵考慮因素。因此，我認為我們的執行力、我們對客戶的定位、高端產品的成長和更高需求的產品都是我們所承諾的。當然，我們也看到了這種需求訊號。

There was some supply tightness. certainly that supported it. But I think it's those fundamentals that are allowing us to perform -- a lot of support in Q2, but also supported really the Fill program that we've seen here at the start of Q3 and really the resilience of demand for farmers fertilizers are particularly sulfur nutrition.

供應出現一定程度的緊張。當然，這支持了它。但我認為正是這些基本面讓我們能夠表現出色——第二季度得到了很多支持，而且也真正支持了我們在第三季度初看到的填充計劃，而且農民肥料需求的彈性尤其明顯。營養。

All right. Thank you for that. And just to follow up again still on ammonium sulfate first, I think you touched on this, but I did want to clarify from your prepared remarks that there was some benefit from the increased percentage of granular product that you or that you might have had available.

好的。謝謝你。首先還是要再次跟進硫酸銨，我想您已經談到了這一點，但我確實想從您準備好的評論中澄清，您或您可能擁有的顆粒產品百分比的增加有一些好處。

That was one thing. And then secondly, I mean, this is more from a at Corporate Boardroom level than from a down on the ground in the corn belt view. But do you -- are you starting to view maybe, I don't know, ammonium sulfate a little bit light acetone?

那是一回事。其次，我的意思是，這更多是來自公司董事會層面，而不是從玉米種植帶的實際情況來看。但你——你是否開始認為，我不知道，硫酸銨和一點點輕丙酮？

In other words, they're both co-products to a certain extent. And they did the maybe the pressures on Nylon globally led to less product available elsewhere. Somewhat like we see with the acetone from time to time, but is there any thinking about that in general? Or is that is that a little bit too arcane?

換句話說，它們在某種程度上都是聯產品。他們所做的可能是全球尼龍面臨的壓力導致其他地方的產品減少。有點像我們時不時看到的丙酮，但總體上有沒有考慮過這一點？還是這有點太神秘了？

Okay. I can certainly tackle both halves of that. Relative to the volume increase, we would we would put our estimate at about 35% of the grain ourselves line increase was attributable to our increased production and that mix benefit.

好的。我當然可以解決這兩個問題。相對於產量的增加，我們估計糧食自產線成長的 35% 左右是由於我們產量的增加和混合效益。

And so that's an important trend for us as we continue to invest in our SUSTAIN program. So that's sort of part one and part two, relative to fertilizer and intermediate, we've shared the view in the past. We talk about the split by sales revenue, but when you look at what we produce by volume fertilizer and intermediates in our two-thirds, if not three-quarters of our production.

因此，隨著我們繼續投資我們的 SUSTAIN 計劃，這對我們來說是一個重要趨勢。這就是關於肥料和中間體的第一部分和第二部分，我們過去曾分享過這一觀點。我們討論的是按銷售收入劃分的情況，但當你看看我們生產的肥料和中間體占我們產量的三分之二（如果不是四分之三）時。

So they're very important product line for us. A bit different in the supply demand global fundamentals where yes phenol and acetone are leading to a tighter global acetone market. There definitely is quite a bit of ammonium sulfate is still coming out of China. And that is predominately headed to Brazil and other places. But again, here, we continue to see sulfur nutrition as a recognized need globally and for it's boosting yields.

所以它們對我們來說是非常重要的產品線。全球供需基本面略有不同，苯酚和丙酮導致全球丙酮市場趨緊。肯定還有相當多的硫酸銨來自中國。這些貨物主要運往巴西和其他地方。但在這裡，我們仍然認為硫營養是全球公認的需求，並且它可以提高產量。

Okay. And this is not a question, but maybe just an observation, but I do appreciate this slide that was added this time for the first time charting the price of ammonium sulfate over the raw materials. I track that myself but I think it was -- I appreciate you calling it out this time.

好的。這不是一個問題，而可能只是一個觀察，但我確實很欣賞這次添加的這張幻燈片，它首次繪製了硫酸銨相對於原材料的價格圖表。我自己也注意到了這一點，但我認為——我很感謝你這次指出這一點。

I did want to ask a question. It's agricultural, but this is more ag-chem or the pesticide line of things. But you do have a couple of product lines that service the crop chemicals market. And I would say that's and that's an area that for more than one year or so it's been from the folks I talk to it's been oversupplied customer inventories had been built up during the pandemic and they work even beyond the normal buffer stock levels.

我確實想問一個問題。它是農業的，但更多的是農業化學或農藥系列的東西。但您確實有一些為農作物化學品市場提供服務的產品線。我想說的是，這個領域在一年多的時間裡，從與我交談過的人看來，在大流行期間已經積累了供應過剩的客戶庫存，而且他們的工作甚至超出了正常的緩衝庫存水平。

From your perspective, US Amines, and I believe parts of your oximes portfolio go into that area. Has the environment there improved? Are you able to place more your product or have the customers that ag can makers, have they kind of cleaned up the surplus that built up over the past couple of years in your view?

從您的角度來看，美國胺公司和我相信您的部分肟產品組合都進入了該領域。那裡的環境有改善嗎？您是否能夠投放更多產品或擁有農業製造商的客戶，在您看來，他們是否清理了過去幾年累積的盈餘？

Yes, certainly, we continue and have experienced the headwinds as you point out in the ag chemical businesses and certainly continue to see retailers and growers in our work through that higher inventory. And the value chain from MIPA through come through all the way to herbicides is really being impacted with low priced on Chinese imports of glyphosate salt, so saving on inventories have improved a little. That value chain is still working through. Certainly, the dynamics that we've been tracking and certainly you're hearing from from others.

是的，當然，正如您在農業化學品業務中指出的那樣，我們繼續並經歷了逆風，並且肯定會繼續看到零售商和種植者透過更高的庫存來參與我們的工作。從MIPA一直到除草劑的價值鏈確實受到中國進口草甘膦鹽價格低廉的影響，因此庫存節省有所改善。該價值鏈仍在發揮作用。當然，我們一直在追蹤動態，當然您也從其他人那裡聽到了這些動態。

I'd say the flip side, the adjuvants where we're selling and some of the spray grade ammonium sulfate that gets mixed into that did improve in the season indicating that there is there is some progress being made on deeper in the value chain, because that would be additive at the last step. So some progress, but certainly some ways to go relative to the so the underlying dynamics.

我想說的另一面是，我們銷售的助劑以及混合其中的一些噴霧級硫酸銨在本季度確實有所改善，這表明在價值鏈的更深處正在取得一些進展，因為這將在最後一步中添加。所以取得了一些進展，但相對於潛在的動態，肯定還有一些方法可以走。

Okay. And then just the last question here. I'm kind of towards that, I don't know, back half of my earnings season. And I would just say that your company based on the remarks, it's virtually the only company that did not call out kind of a a weaker demand environment across the general industrial sector.

好的。然後是最後一個問題。我不知道，在我的財報季後半段，我有點傾向這一點。我只想說，根據上述言論，貴公司實際上是唯一一家沒有指出整個工業部門需求環境較弱的公司。

And I'm just wondering if you could maybe comment on your maybe your relatively buoyant or optimistic outlook for supplying the industrial sector when -- again, could just be who I'm talking to. But that has not been been a common theme this earnings season. Thank you.

我只是想知道您是否可以對您對工業部門供應的相對樂觀或樂觀的前景發表評論，而這可能正是我正在交談的人。但這並不是本財報季的常見主題。謝謝。

Certainly I appreciated that. And we would we would also share the view that there are aspects in the industrial manufacturing economy that are, but our challenge right? And that's , collectively, we're all seeing a slower recovery than perhaps where many of us would have been on a couple of months ago.

當然我很欣賞這一點。我們也同意工業製造經濟的某些方面是這樣的觀點，但我們面臨的挑戰對嗎？總的來說，我們看到的復甦速度可能比幾個月前還要慢。

But that said, I think there are aspects of our diversification that ultimately are playing out here relative to our what we would have a favorable outlook year over year for the back half.

但話雖如此，我認為我們多元化的某些方面最終會在這裡發揮作用，這與我們下半年的逐年良好前景有關。

And certainly, the greatest weakness in the slower recovery is in building and construction. I think that's an area we continue to watch. It impacts either the demand growth or the recovery, certainly in Nylon resin, but also in certain aspects of our intermediates. But the flip side is we've seen automotive be relatively stable and strong.

當然，復甦緩慢的最大弱點是建築業。我認為這是我們繼續關注的一個領域。它影響需求成長或復甦，尤其是尼龍樹脂，也影響我們中間體的某些方面。但另一方面，我們已經看到汽車產業相對穩定且強大。

We've seen the resiliency of packaging. I mean our wire and cable product line come back as well. So I think that for us, we've been talking about this diversification as a positive, and that's probably really what's playing out here for us as we look to the second half.

我們已經看到了包裝的彈性。我的意思是我們的電線和電纜產品線也回來了。因此，我認為對我們來說，我們一直在談論這種多元化是積極的，這可能正是我們展望下半年的情況。

Okay, that's great. Thanks very much. I appreciate all the color.

好的，太好了。非常感謝。我欣賞所有的顏色。

Thanks, have a great day.

謝謝，祝你有美好的一天。

Charles Neivert, Piper Sandler.

查爾斯·尼維特，派珀·桑德勒。

Yeah. Just a few things. One, when you look at the SUSTAIN program and you're talking about an additional 200,000 tonnes at Solvay, how is that coming about? Or what's happening there? Can you sort of walk sandal program and whatever expansion there might be?

是的。只是幾件事。第一，當您查看 SUSTAIN 計劃時，您會發現索爾維將額外生產 20 萬噸，這是怎麼實現的？或是那裡發生了什麼事？您能推出步行涼鞋計劃以及可能的任何擴展嗎？

Sure. As we are in I have shared in the past here and can just kind of recapture for us, it's a series of programs and projects in our course of years that really is leading to that opportunity set. And so it's going to take us a couple of years to get to the full outlay.

當然。正如我過去在這裡分享的那樣，我們可以重新回顧一下，我們多年來的一系列計劃和項目確實帶來了這個機會。因此，我們需要幾年的時間才能獲得全部支出。

It is a win-win across many ways because we're increasing the granular conversion here, which is enabling us to do this without great increases in consumption of energy, in fact to water rates. There is a nice sustainability aspect to it, but it is a series of projects along that route rights.

這在很多方面都是雙贏的，因為我們在這裡增加了粒度轉換，這使我們能夠在不大幅增加能源消耗（實際上是水費）的情況下做到這一點。它有一個很好的可持續性方面，但它是沿著該路線的一系列項目。

So we are targeting 70% by the end of this year with really the full completion by 2027, and so as you think about just various aspects of how we're going to address this. It's not a new line. It's really just dechoking, creating the ability for us to really just convert really standard up to granular what's happening here over the course of the next few years. And we can certainly share there is a full page on and I believe in the last earnings deck that we could turn back over to you, Charlie.

因此，我們的目標是在今年年底前完成 70%，並在 2027 年之前完全完成，所以當你考慮我們將如何解決這個問題的各個方面時。這不是一條新線。這真的只是消除了阻塞，讓我們能夠真正將標準轉換為未來幾年內發生的具體情況。我們當然可以分享，有一個完整的頁面，我相信最後的收益甲板我們可以交給你，查理。

Yeah. I mean but in terms of total available AS both granular and standard grade, your capacity hasn't actually increased in total because that's just the chemical conversion. So you either leave it as one one type or the other, but it's just the amount of product you're converting that we're talking about in that 200,000?

是的。我的意思是，但就顆粒級和標準級的總可用 AS 而言，您的容量實際上並未整體增加，因為這只是化學轉換。因此，您要么將其保留為一種類型，要么保留另一種類型，但這只是我們在這 200,000 種中討論的您要轉換的產品數量？

That is that is the primary consideration. I mean, there are some things that's currently we are exploring that could continue to release that we have -- we'll continue to evaluate in our system. But yes and again that conversion is a valuable, right, just given the premium that we get from from standard to the greater form.

這就是首要考慮的因素。我的意思是，目前我們正在探索的一些東西可能會繼續發布——我們將繼續在我們的系統中進行評估。但是，是的，這種轉換是有價值的，對的，只要考慮到我們從標準形式到更高級形式所獲得的溢價。

Yeah, I just want to make sure I'm understanding it as what it was as opposed to an actual expansion of capacity by that amount. It's just a shift, a higher value, higher profitability, but the absolute tonnage available, relatively small change, just what type of tonnage is available?

是的，我只是想確保我理解的是它的本來面目，而不是實際的容量擴張。只是一個轉變，價值更高，獲利能力更高，但是絕對的可用噸位，變化比較小，到底是什麼類型的噸位可用？

On that same note, are you guys looking at all at -- and I know that the systems may not be in place even regionally for you to be able to do it. But is there any thought to carbon capture on the ammonia unit and then creating an effective of green or blue ammonia there and then running that, as that wouldn't be part of your AS molecules and maybe higher value still? Is that something that's at all under consideration?

同樣，你們是否正在考慮——我知道，即使在區域範圍內，系統也可能無法讓你們做到這一點。但是有沒有想過在氨裝置上捕獲碳，然後在那裡產生有效的綠色或藍色氨，然後運行它，因為它不會成為你的AS分子的一部分，而且可能仍然具有更高的價值？這是正在考慮的事情嗎？

Yeah. So currently all of our -- or the vast majority of our CO2 is been captured -- at current has been captured before years for beneficial reuse. So we have partners on the Hopewell site that are taking that CO2, and it is being used in a valuable food and beverage industry and cold chain storage.

是的。因此，目前我們所有的二氧化碳或絕大多數二氧化碳都已被捕獲，目前已在幾年前被捕獲以進行有益的再利用。因此，我們在合和工廠的合作夥伴正在吸收二氧化碳，並將其用於有價值的食品和飲料行業以及冷鏈儲存。

And as you may know, the Mid-Atlantic is a large poultry and pork industry, and so certainly we can the beneficial reuse on in the region is pretty high relative to that and like I said also for for beverage. So we do capture it today and have been. Certainly any other considerations, but right now, it's in good use and we have great partners that are taking that taking that offtake to that.

如您所知，大西洋中部地區是一個大型家禽和豬肉產業，因此我們當然可以在該地區進行有益的再利用，相對於此，就像我所說的，對於飲料也是如此。所以我們今天確實捕捉到了它，並且一直如此。當然還有其他考慮因素，但現在，它得到了很好的利用，我們有很好的合作夥伴正在採取這項措施。

Yeah. I guess the offtake people aren't -- don't hate, because you in effect the CO2 doesn't for lack of a better term disappear. You can't get a green credit by obviously you've got some credit for whatever sale that's worth.

是的。我想人們不會——不要討厭，因為實際上二氧化碳不會因為缺乏更好的術語而消失。顯然，無論任何有價值的銷售都獲得了一些信用，你都無法獲得綠色信用。

When I look at the again at AS, would you say, I mean, the realization of sulfur is a valuable part of the input? Do you think that do you think that's going to contribute to a better spread over urea over time? I mean, historically, there's been a -- there's that clearly that relationship has had a certain spread over time.

當我再次審視AS時，你會說，我的意思是，硫的實現是輸入中有價值的一部分？您認為隨著時間的推移，這有助於更好地傳播尿素嗎？我的意思是，從歷史上看，這種關係顯然隨著時間的推移而有了一定的傳播。

Do you think that's something that's now going to grow because of that realization has more? And have you seen sort of more acceptance of AS in the US? Are we just substituting in part for Chinese product that used to come across? I mean, how do you see that market shifting?

你認為現在這種東西會因為人們的認知而增長嗎？您是否看到美國對 AS 的接受度有所提高？我們只是部分取代以前遇到的中國產品嗎？我的意思是，您如何看待市場變化？

Yeah. I mean, certainly as we shared there is that consideration on the baseline nitrogen nutrition price of which are working in a premium for this sulfur value proposition. But we do believe certainly the the willingness to pay and the acceptance of the sulfur composition has been one that again our field research are agronomists have been out, but we certainly are seeing it strengthen the last 18 to 24 months. We expect software consumption to continue to increase accordingly, and there's a clear willingness to pay for that for that boost to yields.

是的。我的意思是，正如我們所分享的那樣，對基準氮營養價格的考慮對於硫價值主張來說是溢價。但我們確實相信，支付意願和對硫成分的接受度是我們農學家進行實地研究的結果，但我們確實看到它在過去 18 至 24 個月中有所增強。我們預計軟體消費將繼續相應增加，並且人們明確願意為此付出代價以提高收益率。

And depending on how much over the soft nitrogen addition, considering with where corn is going or anything you can do to boost yield under these kind of situations that relatively minimal cost, I think is going to get looked at pretty positively.

根據軟氮添加量的多少，考慮到玉米的去向或在這種相對最低成本的情況下可以採取的任何措施來提高產量，我認為將會得到相當積極的關注。

On the nylon side, I think has there been any particular market that's been making things a little bit better? Or is it really spread across all the basic nylon markets?

在尼龍方面，我認為是否有任何特定市場使情況變得更好一些？或者它真的遍布所有基本尼龍市場嗎？

Yeah. I mean here in North America, I mean certainly it is the region, we want to focus on without clarity of our ability to support our customers here. Again, the resiliency -- Again, we've seen more of it in an EP in our engineering plastics, really buoyed by automotive.

是的。我的意思是在北美，我的意思當然是這個地區，我們希望在不清楚我們支持客戶的能力的情況下重點關注這個地區。再說一次，彈性——我們再次在工程塑料的 EP 中看到了更多的彈性，這確實受到汽車的推動。

We've seen packaging come back as well. I mean there certainly, were pressures several months ago relative to food inflation. We've all seen those numbers come back. So that supporting revenue in packaging and others that perhaps were pulled back, along the way.

我們也看到包裝也回歸了。我的意思是，幾個月前確實存在與食品通膨相關的壓力。我們都看到這些數字回來了。因此，包裝和其他方面的收入可能會一路下降。

And again, as I mentioned before, it's really that building construction area that is I think stable now, but certainly the most challenged given the macro dynamic that we fit in relative to interest rates, mortgage rates, which is really slowed down on residential.

再次，正如我之前提到的，我認為現在確實是建築施工面積穩定，但鑑於我們相對於利率、抵押貸款利率所適應的宏觀動態，這肯定是最具挑戰性的，而住宅抵押貸款利率確實放緩了。

But more importantly, I think the commercial side of your indicators are not -- they're growing, but they're not growing at the rate they've all grown in the past. So there definitely is a recognized slowing there, but that's kind of how it plays out. There have been some supply considerations, so I think that has enabled us to not just capture some of the recovery, but also a consideration in share as well.

但更重要的是，我認為你們指標的商業面並沒有——它們正在成長，但它們的成長速度並不像過去那樣。因此，肯定存在公認的放緩，但結果就是如此。有一些供應方面的考慮，所以我認為這使我們不僅能夠捕捉到一些復甦，而且還考慮了份額。

Got it. Natural gas obviously has been moving downward quite a bit over the last month few months in particular. Are you guys hedged in any way? Or are you able to take pretty much full advantage of the decline in gas, particularly obviously, on the ammonia unit, but just in general?

知道了。尤其是在過去的幾個月裡，天然氣顯然已經大幅下降。你們有以某種方式對沖嗎？或者，您是否能夠充分利用天然氣產量的下降，尤其是在合成氨裝置上，但只是總體而言？

And is that something in terms of the AS spread, that's going to make it look better even as the market moves into a seasonally weaker period and your sales shift toward South America and maybe a little less granular and a little more of the standard products? But I assume that gas should help a lot.

就 AS 價差而言，這是否會使其看起來更好，即使市場進入季節性疲軟時期，並且您的銷售轉向南美，並且可能稍微不那麼精細，更多的是標準產品？但我認為天然氣應該會很有幫助。

Yeah. Charlie, we have a natural course, a normal course, we don't hedge natural gas. It is a consideration in terms of the variable cost for ammonium sulfate and fertilizers and can impact the pricing in the marketplace. Therefore, there is I'll call it a long-term correlation over time with respect, to our end market pricing and that feedstock. So as a normal course, we don't hedge.

是的。查理，我們有自然路線，正常路線，我們不對沖天然氣。這是硫酸銨和化肥可變成本的考慮因素，可能會影響市場定價。因此，我將其稱為隨著時間的推移與我們的終端市場定價和原料的長期相關性。因此，作為正常過程，我們不會進行對沖。

With respect to the forward look, we did see a bit of a spike in natural gas in July, but it did correct and come back down and settle at a lower level in August. And we'll continue to watch it. But net-net, overall I'd say for Q3, our expectation is that natural gas costs will be up a bit. And then we'll obviously monitor it closely here as we get into the fourth quarter,

就前瞻性而言，我們確實看到 7 月份天然氣價格出現了一些飆升，但它確實出現了修正，並在 8 月回落並穩定在較低水平。我們將繼續關注。但總的來說，我想說，對於第三季度，我們的預期是天然氣成本會略有上升。然後，當我們進入第四季度時，我們顯然會在這裡密切監視它，

I think that does it for me today. Thanks very much.

我想今天對我來說就是這樣。非常感謝。

Thanks, Charlie.

謝謝，查理。

And ladies and gentlemen, this concludes today's question and answer session. I will turn the conference back to Erin Kane for any closing remarks.

女士們、先生們，今天的問答環節到此結束。我將把會議轉回艾琳凱恩（Erin Kane）發表閉幕詞。

Thank you, all again, for your time and interest this morning. We hope this call and discussion of clarify the continued operational and commercial benefits, that our team captured and drove to support our second quarter performance, as well as the key considerations for our favorable earnings outlook.

再次感謝您今天早上的時間和興趣。我們希望這次電話會議和討論能夠澄清我們的團隊捕獲並推動支持我們第二季度業績的持續運營和商業利益，以及我們有利的盈利前景的關鍵考慮因素。

The strength of our business model and our position as a diversified chemistry company, will serve us well. And we continue to expect performance this year to demonstrate our resilience. We feel very good about the strategies we've implemented and our continued investments to support expectations for AdvanSix's long-term sustainable performance.

我們的業務模式優勢以及我們作為多元化化學公司的地位將為我們提供良好的服務。我們仍然期望今年的表現能夠證明我們的韌性。我們對我們已實施的策略以及為支持 AdvanSix 長期可持續業績預期而持續進行的投資感到非常滿意。

With that, we look forward to speaking with you again next quarter. Stay safe and be well.

因此，我們期待下個季度再次與您交談。保持安全並保持健康。

The conference has concluded. Thank you for joining today's presentation. You may now disconnect.

會議結束了。感謝您參加今天的演講。您現在可以斷開連線。