Astec Industries Inc (ASTE) 2022 Q4 法說會逐字稿

Hello, and welcome to the Astec Industries Fourth Quarter Earnings Call. As a reminder, this conference is being recorded.

大家好，歡迎來到 Astec Industries 第四季度財報電話會議。提醒一下，這次會議正在錄製中。

It is my pleasure to introduce your host, Stephen Anderson, Senior Vice President of Administration and Investor Relations. Mr. Anderson, you may begin.

我很高興向您介紹主持人，行政和投資者關係高級副總裁斯蒂芬安德森。安德森先生，您可以開始了。

Thank you, and welcome to the Astec Fourth Quarter 2022 Earnings Conference Call. Joining me on today's call are Jaco van der Merwe, Chief Executive Officer; and Becky Weyenberg, Chief Financial Officer. In just a moment, I'll turn the call over to Jaco to provide comments, and then Becky will summarize our financial results.

謝謝，歡迎參加 Astec 2022 年第四季度收益電話會議。與我一起參加今天電話會議的還有首席執行官 Jaco van der Merwe；和首席財務官 Becky Weyenberg。稍後，我會將電話轉給 Jaco 以提供意見，然後 Becky 將總結我們的財務結果。

Before we begin, I'll remind you that our discussion this morning may contain forward-looking statements that relate to the future performance of the company, and these statements are intended to qualify for the safe harbor liability established by the Private Securities Litigation Reform Act. Any such statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions. Factors that can influence our results are highlighted in today's financial news release and others are contained in our filings with the SEC. As usual, we ask that you familiarize yourself with those factors.

在我們開始之前，我會提醒您，我們今天上午的討論可能包含與公司未來業績相關的前瞻性陳述，這些陳述旨在符合《私人證券訴訟改革法》規定的安全港責任.任何此類陳述都不是未來業績的保證，並受某些風險、不確定性和假設的影響。可能影響我們業績的因素在今天的財經新聞稿中得到強調，其他因素包含在我們提交給美國證券交易委員會的文件中。像往常一樣，我們要求您熟悉這些因素。

In an effort to provide investors with additional information regarding the company's results, the company refers to various U.S. GAAP, which are generally accepted accounting principles, and non-GAAP financial measures, which management believes provide useful information to investors. These non-GAAP financial measures have no standardized meaning prescribed by U.S. GAAP and, therefore, are unlikely to be comparable to the calculation of similar measures for other companies.

為了向投資者提供有關公司業績的更多信息，公司參考了各種美國公認會計原則和非公認會計原則財務措施，管理層認為這些措施為投資者提供了有用的信息。這些非 GAAP 財務指標沒有美國 GAAP 規定的標準化含義，因此不太可能與其他公司的類似指標的計算相比較。

Management of the company does not intend these items to be considered in isolation or as a substitute for the related GAAP measures. Management of the company uses both GAAP and non-GAAP financial measures to establish internal budgets and targets and to evaluate the company's financial performance against such budgets and targets.

公司管理層不打算單獨考慮這些項目或替代相關的 GAAP 措施。公司管理層同時使用 GAAP 和非 GAAP 財務指標來製定內部預算和目標，並根據此類預算和目標評估公司的財務業績。

You should also note a reconciliation of GAAP to non-GAAP results is included in our news release and in the appendix of our slide deck. All related earnings materials are posted on our website at www.astecindustries.com, including our presentation, which is under the Investor Relations and Presentation tabs.

您還應注意，我們的新聞稿和幻燈片的附錄中包含 GAAP 與非 GAAP 結果的對賬。所有相關的收益材料都發佈在我們的網站 www.astecindustries.com 上，包括我們的演示文稿，位於“投資者關係”和“演示文稿”選項卡下。

And now I will turn the call over to Jaco.

現在我將把電話轉給 Jaco。

Thank you, Steve. Good morning, everyone, and thank you for joining us this morning. I would like to begin my comments by saying how humbled and grateful I am to be speaking to you as the CEO of Astec. When I joined the company 6 years ago, I was drawn by what I saw, a strong company with a history of delivering valued product that had tremendous potential.

謝謝你，史蒂夫。大家早上好，感謝您今天早上加入我們。在開始我的評論之前，我想說作為 Astec 的首席執行官，我是多麼的謙卑和感激。當我 6 年前加入這家公司時，我被我所看到的所吸引，這是一家強大的公司，擁有提供具有巨大潛力的有價值產品的歷史。

Now as CEO, I'm even more convinced of these early impressions. Astec has established itself as a market leader in the industries we serve, bringing innovative solutions to the road construction industry for over 50 years. The team here is talented, dedicated and committed to making the company a strong and resilient as possible. As a leadership team, we remain united around our purpose of Built To Connect. It defines where we are going and what we can become. We have made progress, and I'm proud to be part of the team that has moved us forward.

現在作為首席執行官，我更加相信這些早期印象。 Astec 已成為我們所服務行業的市場領導者，50 多年來一直為道路建設行業提供創新解決方案。這裡的團隊才華橫溢、敬業奉獻，致力於使公司盡可能強大和富有彈性。作為一個領導團隊，我們圍繞 Built To Connect 的目標保持團結。它定義了我們要去哪里以及我們能成為什麼。我們取得了進步，我很自豪能成為推動我們前進的團隊的一員。

The priorities for Astec in 2023 are shown on Slide 4. I'll share more detail in a few minutes, but the priorities are executing on our Simplify, Focus and Grow strategy and delivering on our commitments to employees, customers and shareholders. As CEO, I will continue to champion these priorities for the organization, while emphasizing the importance of execution to drive consistent and sustainable financial performance.

Astec 在 2023 年的優先事項如幻燈片 4 所示。我將在幾分鐘內分享更多細節，但優先事項是執行我們的簡化、專注和發展戰略，並兌現我們對員工、客戶和股東的承諾。作為首席執行官，我將繼續支持組織的這些優先事項，同時強調執行對於推動一致和可持續的財務業績的重要性。

We have a sound framework and motivated team, and we are working together to create a culture of outperformance to reach our potential. Through our Built To Connect purpose, we are enabling our employees to create a customer-centric culture that provides value, and this will benefit our shareholders. That being said, we still have work to do. Our efforts this year will be primarily spent on our Simplify and Focus pillars. This foundation will better position us to grow profitably through organic investments in the future. Then at the right time, targeted acquisitions can be pursued and effectively integrated into our operations.

我們有一個健全的框架和積極進取的團隊，我們正在共同努力創造一種超越績效的文化以發揮我們的潛力。通過我們的 Built To Connect 宗旨，我們使我們的員工能夠創造一種以客戶為中心的文化，提供價值，這將使我們的股東受益。話雖如此，我們仍有工作要做。我們今年的努力將主要花在我們的簡化和聚焦支柱上。該基金會將使我們在未來通過有機投資更好地實現盈利增長。然後在適當的時候，可以進行有針對性的收購併將其有效地整合到我們的運營中。

This is a great company with an outstanding team and differentiated products. And I'm very grateful for the confidence that Board has placed in me to be its next CEO. I look forward to meeting with you over the coming months, and I commit to perform in a way to earn your confidence in the future.

這是一家偉大的公司，擁有優秀的團隊和差異化的產品。我非常感謝董事會對我成為下一任首席執行官的信任。我期待著在接下來的幾個月裡與您會面，我承諾會以一種能贏得您對未來的信心的方式表現。

On Slide 5, you can see in the end markets we serve through our 2 complementary segments, ensuring that needed materials are delivered and installed for ongoing infrastructure investments. I recently attended the National Asphalt Pavement Association's Annual Meeting and was able to connect with many of our customers. I can tell you that they are optimistic and the interactions were positive as the project pipeline looks very full for 2023 as well into 2024. I will also add that a lot of the work that is planned for this year is not yet being driven by the infrastructure built as we are still in the early days of those funds flowing into specific projects. Excitement is high and our customers are anxious to get the solutions we provide.

在幻燈片 5 上，您可以看到我們通過 2 個互補部分服務於終端市場，確保為持續的基礎設施投資交付和安裝所需的材料。我最近參加了全國瀝青路面協會的年會，並與我們的許多客戶建立了聯繫。我可以告訴你，他們很樂觀，互動也很積極，因為 2023 年和 2024 年的項目管道看起來都非常滿。我還要補充一點，今年計劃進行的許多工作尚未由基礎設施建設，因為我們仍處於這些資金流入特定項目的早期階段。興奮之情高漲，我們的客戶渴望獲得我們提供的解決方案。

The 3 pillars of our strategy, Simplify, Focus and Grow, are best summarized on Slide 6. They align the elements of our performance culture and provide the organization with a common framework to create value and drive returns.

我們戰略的三大支柱，簡化、專注和成長，在幻燈片 6 中得到了最好的總結。它們與我們的績效文化元素保持一致，並為組織提供了一個共同的框架來創造價值和推動回報。

Beginning with Simplify. We are optimizing organizational structure by reducing complexity across our organization, starting with the leadership team and extending into select areas. We are focused on consistent execution and driving efficiencies. The current system and process consolidations help enable efficiencies through better reporting and access to data as well as uncover opportunities for further improvement in our operations. We are also using Simplify to help optimize our product portfolio, including which products we make, how we make them and where we make them. Once we simplify and remove unnecessary complexity, we are better able to focus using the OneASTEC business model to drive excellence in everything we do.

從簡化開始。我們正在通過降低整個組織的複雜性來優化組織結構，從領導團隊開始並擴展到選定領域。我們專注於一致的執行和提高效率。當前的系統和流程整合有助於通過更好的報告和數據訪問來提高效率，並發現進一步改進我們運營的機會。我們還使用 Simplify 來幫助優化我們的產品組合，包括我們生產哪些產品、我們如何生產它們以及我們在哪裡生產它們。一旦我們簡化並消除了不必要的複雜性，我們就能夠更好地專注於使用 OneASTEC 業務模型來推動我們所做的一切變得卓越。

Operational excellence is permeating our entire organization, driving a focus on quality and performance into our culture. Performance includes thorough planning and execution. We are further assessing prior strategic actions and are harvesting learnings that will benefit us going forward. Prior strategic actions under review currently include our Drive to '25 initiative, the performance of our Brazil business, our site closures in Mequon and Tacoma and the integrations of recent acquisitions.

卓越運營正在滲透到我們的整個組織，將對質量和績效的關注融入到我們的文化中。績效包括全面的計劃和執行。我們正在進一步評估先前的戰略行動，並正在收穫有益於我們前進的經驗教訓。目前正在審查的先前戰略行動包括我們的 Drive to '25 計劃、我們巴西業務的績效、我們在 Mequon 和 Tacoma 的站點關閉以及最近收購的整合。

We improve as an organization when we drive functional excellence across every part of the company. As we do this, we discovered that operational excellence is not only for production teams, but is applicable to all areas, such as commercial teams where we can elevate the customer experience through aftermarket excellence. This drives higher customer satisfaction and engagement as well as growth in our business.

當我們在公司的每個部門推動卓越的職能時，我們作為一個組織得到改善。當我們這樣做時，我們發現卓越運營不僅適用於生產團隊，而且適用於所有領域，例如我們可以通過卓越的售後市場提升客戶體驗的商業團隊。這推動了更高的客戶滿意度和參與度以及我們業務的增長。

Profitable growth will be driven by expanding our parts and service business. Our dealer networks and our international presence. It will also be driven by bringing innovative new products through markets and by leveraging technology and digital connectivity for our customers. We have great products and a team that is diligently working to develop improvements and enhancements to meet customer needs and deliver solutions to add value. Together, these 3 pillars of Simplify, Focus and Grow help ensure we have the right priorities to consistently drive profitable and sustainable growth as we bring value to our customers, employees, partners and shareholders.

擴大我們的零件和服務業務將推動盈利增長。我們的經銷商網絡和國際影響力。它還將通過在市場上推出創新的新產品以及為我們的客戶利用技術和數字連接來推動。我們擁有出色的產品和團隊，他們正在努力開發改進和增強功能以滿足客戶需求並提供解決方案以增加價值。簡化、專注和增長這三大支柱共同幫助確保我們有正確的優先事項，在為客戶、員工、合作夥伴和股東帶來價值的同時，始終如一地推動盈利和可持續增長。

Moving on to the financial results and the current business environment. We summarized our Q4 key messages on Slide 7. I have already mentioned some of these and focus on those comments not yet addressed. Our fourth quarter results reflect the strong fees to a year that was characterized by challenging and dynamic environments. The global Astec team rose to the challenge by demonstrating our core values, delivering unique solutions and by providing outstanding customer service to our valued commercial partners.

繼續討論財務業績和當前的商業環境。我們在幻燈片 7 上總結了第四季度的關鍵信息。我已經提到了其中的一些，並重點關注那些尚未解決的評論。我們第四季度的業績反映了這一年的強勁收費，這一年的特點是充滿挑戰和充滿活力的環境。全球 Astec 團隊通過展示我們的核心價值觀、提供獨特的解決方案以及為我們重要的商業合作夥伴提供卓越的客戶服務來迎接挑戰。

Q4 sales improved 31% compared with last year and full year sales were up 16%. In addition to the strong effort of our team, we benefited from robust end market demand across both segments. Positive customer sentiment is proving sustainable even in the face of ongoing macroeconomic uncertainty, and our record-level backlog gives us confidence as we enter 2023.

與去年同期相比，第四季度銷售額增長了 31%，全年銷售額增長了 16%。除了我們團隊的不懈努力外，我們還受益於兩個細分市場強勁的終端市場需求。即使面對持續的宏觀經濟不確定性，積極的客戶情緒也被證明是可持續的，我們創紀錄的積壓讓我們在進入 2023 年時充滿信心。

As a market leader in our industry, we develop and deliver technology that enable our customers to be successful. We are taking this same approach internally as we unify existing systems, standardized processes and integrate solutions with the rollout of our Oracle suite of solutions. Becky will say more about this in a few minutes.

作為我們行業的市場領導者，我們開發和提供能夠幫助我們的客戶取得成功的技術。我們正在內部採用相同的方法，因為我們統一了現有系統、標準化流程並將解決方案與我們的 Oracle 解決方案套件的推出相集成。 Becky 將在幾分鐘後詳細說明這一點。

Turning to Slide 8. I would like to review current business dynamics and how we are responding. As we enter 2023, the demand outlook is much the same as it was during the second half of 2022. Infrastructure projects, which tend to be longer term and less correlated with near-term economic fluctuations, have remained robust and our customer sentiment has remained positive. This supports our confidence and challenges us to increase output through capacity expansion and operating efficiencies to meet strong demand and convert backlog into delivered product.

轉到幻燈片 8。我想回顧一下當前的業務動態以及我們的應對方式。隨著我們進入 2023 年，需求前景與 2022 年下半年大致相同。基礎設施項目往往是長期的，與近期經濟波動的相關性較低，但仍然保持強勁，我們的客戶情緒也保持不變積極的。這支持了我們的信心，並挑戰我們通過產能擴張和運營效率來增加產量，以滿足強勁的需求並將積壓訂單轉化為交付的產品。

As funding begins to flow from the Federal Infrastructure Investment and Jobs Act, we expect this to provide future revenue growth and visibility. As a reminder, the bill currently runs until September 2026. The health and reliability of the supply chain we rely on has shown improvement over the last year, eliminating some of the challenges we encountered. However, pockets of tight labor conditions are persisting, contributing to supply chain delays. Our procurement and engineering teams have done a good job to identify and qualify second sources when feasible.

隨著資金開始從聯邦基礎設施投資和就業法案中流出，我們預計這將提供未來的收入增長和知名度。提醒一下，該法案目前有效期至 2026 年 9 月。我們所依賴的供應鏈的健康和可靠性比去年有所改善，消除了我們遇到的一些挑戰。然而，緊張的勞動力條件持續存在，導致供應鏈延誤。在可行的情況下，我們的採購和工程團隊在確定和鑑定第二來源方面做得很好。

From a human capital management perspective, we continue to hire and train personnel to increase operations staff and output. At the same time, we are implementing operational excellence initiatives to mitigate future disruptions in our supply chain.

從人力資本管理的角度來看，我們繼續招聘和培訓人員以增加運營人員和產出。與此同時，我們正在實施卓越運營計劃，以減輕我們供應鏈未來的中斷。

Inflationary pressures are stabilizing, but we expect some inflation to persist into 2023. We continue to proactively offset inflation through pricing as needed.

通脹壓力正在企穩，但我們預計部分通脹將持續到 2023 年。我們將繼續根據需要通過定價主動抵消通脹。

We show our historical backlog on Slide 9. As you can see, backlog at the end of Q4 is down slightly from the record level we established in the previous quarter. Over the past 2 years, our backlog has increased 153% and some moderation is expected. We are making steady progress on our initiatives to convert backlog and expect to see this trend continue as order rates normalize and we increase output.

我們在幻燈片 9 上顯示了我們的歷史積壓。如您所見，第四季度末的積壓比我們在上一季度創下的記錄水平略有下降。在過去 2 年中，我們的積壓增加了 153%，預計會有所緩和。我們正在穩步推進轉換積壓訂單的舉措，並預計隨著訂單率正常化和我們增加產量，這一趨勢將繼續下去。

I mentioned earlier how the OneASTEC business model, as shown on Slide 10, has aligned us along the unifying framework and centered us around our customers and markets. It is this alignment on core values that unite us as an organization and keeps us focused on achieving our operational excellence objectives. It guides us in onboarding talent and as we add new employees to meet customer demand. It directs us as we leverage our global footprint to reduce lead times, optimize revenue and manage costs. And it empowers us to better mitigate supply and logistic challenges by building a robust supply chain. This model is a critical component of our success, and I believe has become an ingrained component of our culture that will enable continued future success.

我之前提到過 OneASTEC 業務模型（如幻燈片 10 所示）如何使我們與統一框架保持一致，並使我們以客戶和市場為中心。正是這種核心價值觀的一致性使我們作為一個組織團結在一起，並使我們專注於實現我們的卓越運營目標。它指導我們入職人才以及我們增加新員工以滿足客戶需求。它指導我們利用我們的全球足跡來縮短交貨時間、優化收入和管理成本。它使我們能夠通過建立強大的供應鏈來更好地緩解供應和物流方面的挑戰。這種模式是我們成功的關鍵組成部分，我相信它已經成為我們文化中根深蒂固的組成部分，它將使我們在未來繼續取得成功。

Slide 11 and 12 lay out targeted areas of growth with our primary focus being the organic growth opportunities shown on Slide 11. These initiatives such as growth in parts and service and dealer expansion are beginning to gain traction. Organic opportunities offer us the most straightforward and efficient path to profitable growth. And we will continue to prioritize these initiatives while we keep our eyes open for selective opportunities to acquire businesses that meet our disciplined, strategic and financial focus.

幻燈片 11 和 12 列出了目標增長領域，我們的主要關注點是幻燈片 11 中顯示的有機增長機會。零部件和服務的增長以及經銷商擴張等舉措開始受到關注。有機機會為我們提供了實現盈利增長的最直接、最有效的途徑。我們將繼續優先考慮這些舉措，同時密切關注選擇性機會，以收購符合我們紀律、戰略和財務重點的業務。

We are on an ESG journey, as shown on Slide 13. That is focused on key areas where we believe we can create the most value. We are still early in our journey. But already, we are making progress. Slide 14 shows a carbon footprint model where we can employ our materials knowledge, process tools and telematics to monitor and drive lower emissions. This is an area where I believe we can add even more value and one that is generating interest from our customers.

我們正在進行 ESG 之旅，如幻燈片 13 所示。重點關注我們認為可以創造最大價值的關鍵領域。我們的旅程還處於早期階段。但是，我們已經取得了進展。幻燈片 14 顯示了一個碳足跡模型，我們可以在其中利用我們的材料知識、工藝工具和遠程信息處理來監測和推動低排放。這是一個我相信我們可以增加更多價值的領域，也是一個引起客戶興趣的領域。

Staying on the theme of telematics, Slide 15 shows how we are developing comprehensive digital solutions, including positive contributions from our Grathwol and mines acquisitions. This approach aligns well with Simplify, Focus and Grow framework as we develop capabilities that improve our operations, elevates the customer experience for our partners and expands our ability to grow into high-value market opportunities.

幻燈片 15 以遠程信息處理為主題，展示了我們如何開發全面的數字解決方案，包括 Grathwol 和礦山收購的積極貢獻。這種方法與 Simplify、Focus and Grow 框架非常吻合，因為我們開發的能力可以改善我們的運營，提升我們合作夥伴的客戶體驗，並擴大我們成長為高價值市場機會的能力。

Finally, bringing these slides together on Slide 16, we highlight the Astec Digital suite. Beginning with materials in the ground to completed roads and bridges and then ongoing service. We're providing products and services that differentiate Astec as the industry leader. And while I'm proud of the progress we have made, I am even more excited about the path we have in front of us to deliver sustainable, profitable growth.

最後，將這些幻燈片放在幻燈片 16 上，我們重點介紹了 Astec Digital 套件。從地面材料開始，到完成道路和橋樑，然後是持續服務。我們提供的產品和服務使 Astec 脫穎而出，成為行業領導者。雖然我為我們取得的進步感到自豪，但我對我們面前實現可持續盈利增長的道路感到更加興奮。

With that, I will now turn the call over to Becky to discuss our detailed financial results.

有了這個，我現在將把電話轉給貝基來討論我們的詳細財務結果。

Thank you, Jaco, and good morning, everyone. I'll begin my review of the fourth quarter results on Slide 18. Sales were $349.9 million, up 31.2% with strong growth in both equipment and parts, which increased 45.3% and 11.8%, respectively. By region, there was a 32.2% increase in domestic sales and a 27.4% increase in International sales. Strong demand also kept backlog near the record level we established in Q3, coming down slightly as we increased output and order rates are beginning to normalize. Compared with last year, backlog is up 19.7% on a consolidated basis.

謝謝 Jaco，大家早上好。我將從第 18 張幻燈片開始回顧第四季度的業績。銷售額為 3.499 億美元，增長 31.2%，設備和零件增長強勁，分別增長 45.3% 和 11.8%。按地區劃分，國內銷售額增長 32.2%，國際銷售額增長 27.4%。強勁的需求也使積壓量接近我們在第三季度創下的記錄水平，隨著我們增加產量和訂單率開始正常化，積壓量略有下降。與去年相比，積壓訂單綜合增長了 19.7%。

By segment, Infrastructure Solutions backlog grew 26.2%, while Material Solutions increased 8.9%. Domestic backlog saw the greatest increase, improving 23.3%. However, International was also up growing 2.8%. This broad-based increase in backlog across segments and regions is indicative of the robust demand we are seeing in our end markets and the success of our global commercial teams winning business.

按細分市場劃分，基礎設施解決方案積壓訂單增長 26.2%，而材料解決方案增長 8.9%。國內積壓訂單增幅最大，增長了 23.3%。然而，國際也上漲了 2.8%。跨部門和地區的積壓訂單普遍增加表明我們在終端市場看到的強勁需求以及我們的全球商業團隊贏得業務的成功。

Adjusted EBITDA increased $22.2 million, expanding adjusted EBITDA margin 370 basis points to 6.3%. This was primarily due to the net positive impact of volume, pricing and mix that outpaced inflation and higher manufacturing costs due to lingering inefficiencies in the supply chain. We have previously outlined our pricing actions and that we expected pricing to catch up with the rising costs we encountered over the last 2 years. This quarter, we realized significant pricing, which helped improve profitability and drive margins.

調整後的 EBITDA 增加 2220 萬美元，將調整後的 EBITDA 利潤率擴大 370 個基點至 6.3%。這主要是由於數量、定價和組合的淨積極影響超過通貨膨脹以及由於供應鏈中揮之不去的低效率而導致的製造成本上升。我們之前已經概述了我們的定價行動，我們預計定價將趕上我們在過去 2 年中遇到的成本上漲。本季度，我們實現了重大定價，這有助於提高盈利能力並推動利潤率。

We did see an increase in adjusted SGA&E, which was up 6% as we invested in head count, incurred expenses for our transformation program as well as incremental costs from acquired businesses. We expect margins to further improve as we overcome supply chain challenges and realize additional benefits from our transformation.

我們確實看到調整後的 SGA&E 增加了 6%，因為我們投資於員工人數、轉型計劃產生的費用以及收購業務的增量成本。隨著我們克服供應鏈挑戰並從轉型中獲得更多收益，我們預計利潤率將進一步提高。

Adjusted earnings per share was $0.34, driven by increase in gross profit and maintaining cost controls and operating expenses. This excludes costs driven by our transformation program, which will optimize our company for long-term value creation. We also recorded foreign valuation allowances of $5.8 million, primarily associated with our Brazil entity. As a result, our adjusted net effective tax rate for the quarter was 47.6%. For 2023, we expect our normalized net effective tax rate to be in the 23% to 24% range.

調整後的每股收益為 0.34 美元，這主要得益於毛利的增加以及維持成本控制和運營費用。這不包括我們的轉型計劃驅動的成本，這將優化我們公司的長期價值創造。我們還記錄了 580 萬美元的外國估值津貼，主要與我們的巴西實體相關。因此，我們調整後的本季度淨有效稅率為 47.6%。對於 2023 年，我們預計我們的標準化淨有效稅率將在 23% 至 24% 的範圍內。

Moving on to Slide 19. Infrastructure Solutions sales increased 27.1% to $238.4 million in the quarter, primarily due to strong global demand for our solutions, especially equipment and favorable net volume, pricing and mix. Demand was up for both domestic and international sales increasing 26.9% and 28.2%, respectively. By product, equipment sales were up 42.1% and parts sales grew 6.6%.

轉到幻燈片 19。本季度基礎設施解決方案銷售額增長 27.1% 至 2.384 億美元，這主要是由於全球對我們解決方案的強勁需求，尤其是設備以及有利的淨銷量、定價和組合。國內和國際銷售的需求分別增長了 26.9% 和 28.2%。按產品劃分，設備銷售額增長 42.1%，零部件銷售額增長 6.6%。

Segment gross profit increased 34.3% to $48.2 million, and gross margin increased 110 basis points to 20.2%, primarily due to the impact of favorable volume, pricing and mix. Adjusted EBITDA margins expanded 280 basis points to 9.7%.

分部毛利增長 34.3% 至 4,820 萬美元，毛利率增長 110 個基點至 20.2%，這主要是由於有利的銷量、定價和組合的影響。調整後的 EBITDA 利潤率擴大 280 個基點至 9.7%。

Turning to Slide 20. Our Materials Solutions sales increased 39% to $109.8 million, driven by strong global demand for equipment and parts along with favorable volume, pricing and mix. Equipment sales grew 49.4% and parts were up 23.2%. Domestic sales grew 45.7% and International sales increased 24.5%.

轉到幻燈片 20。我們的材料解決方案銷售額增長 39% 至 1.098 億美元，這得益於全球對設備和零件的強勁需求以及有利的銷量、定價和組合。設備銷售額增長 49.4%，零部件增長 23.2%。國內銷售額增長 45.7%，國際銷售額增長 24.5%。

Segment gross profit increased 35.6% to $21.7 million However, gross margin decreased 50 basis points to 19.8%, due primarily to cost inflation and manufacturing inefficiencies this quarter that offset volume, pricing and mix for the segment. Adjusted EBITDA margins for the segment increased 530 basis points.

分部毛利增長 35.6% 至 2170 萬美元 然而，毛利率下降 50 個基點至 19.8%，主要原因是本季度成本上漲和製造效率低下抵消了該分部的銷量、定價和組合。該部門調整後的 EBITDA 利潤率增加了 530 個基點。

On Slide 21, we highlight the key drivers of our year-over-year adjusted EBITDA bridge. EBITDA improved significantly in the fourth quarter, up 217.1% to $22.2 million, which caused EBITDA margin to expand 370 basis points to 6.3%. The positive contribution from volume, pricing and mix more than offset the impact from inflation.

在幻燈片 21 上，我們重點介紹了我們按年調整後的 EBITDA 橋的主要驅動因素。第四季度 EBITDA 顯著改善，增長 217.1% 至 2220 萬美元，這導致 EBITDA 利潤率擴大 370 個基點至 6.3%。銷量、定價和產品組合的積極貢獻抵消了通貨膨脹的影響。

Negative manufacturing efficiencies due to supply chain disruptions are still having a lingering effect and SGA&E were slightly higher due to increased commissions, research and development costs and the addition of personnel associated with our mines acquisition. Looking ahead, we continue to expect further benefit from price realization and the implementation of our transformation strategy.

供應鏈中斷導致的負製造效率仍然存在揮之不去的影響，由於佣金、研發成本增加以及與我們的礦山收購相關的人員增加，SGA&E 略有上升。展望未來，我們繼續期望從價格實現和我們轉型戰略的實施中進一步受益。

On Slide 22, we show full year results. Strong demand enabled us to grow sales 16.3% and backlog 19.7%. Adjusted EBITDA grew 8.8%, even with the various supply chain and manufacturing efficiency headwinds we encountered this year, which is a testament to the entire team for performing in a challenging environment.

在幻燈片 22 上，我們展示了全年業績。強勁的需求使我們的銷售額增長了 16.3%，積壓訂單增長了 19.7%。調整後的 EBITDA 增長了 8.8%，儘管我們今年遇到了各種供應鍊和製造效率的不利因素，這證明了整個團隊在充滿挑戰的環境中的表現。

Turning to Slide 23. We continue to invest in growth, which brought our cash position down to $62.8 million reflecting an increase in inventory and CapEx to meet demand and improve productivity and capacity. Our balance sheet remains solid, and we expect our cash position to grow as we manage working capital and resolve supply chain disruptions. Our liquidity and manageable debt enable us to withstand a variety of economic situations as well as support investment plans and return cash to shareholders. Should we need to incur higher debt levels in the future, we will strive to operate between 1.5 to 2.5x net debt-to-EBITDA.

轉到幻燈片 23。我們繼續投資於增長，這使我們的現金頭寸降至 6280 萬美元，反映出增加庫存和資本支出以滿足需求並提高生產力和產能。我們的資產負債表保持穩健，我們預計隨著我們管理營運資金和解決供應鏈中斷問題，我們的現金狀況將會增長。我們的流動性和可管理的債務使我們能夠承受各種經濟形勢，支持投資計劃並向股東返還現金。如果我們未來需要承擔更高的債務水平，我們將努力將淨債務與 EBITDA 的比率保持在 1.5 至 2.5 倍之間。

Turning to Slide 24. We maintain a disciplined framework to capital deployment, balancing investments in growth with returning cash to shareholders. In 2022, we spent $41 million on CapEx to invest in projects to improve operational efficiencies and advance our long-term strategy. We also spent $18 million for the acquisition of mines earlier in the year to build out our digital platform. Our commitment to return cash to shareholders was demonstrated in the fourth quarter as we repurchased $4 million in shares and increased our quarterly dividend 8.3% to $0.13 per share.

轉到幻燈片 24。我們保持嚴格的資本配置框架，平衡增長投資與向股東返還現金。 2022 年，我們在資本支出上花費了 4100 萬美元，用於投資項目以提高運營效率並推進我們的長期戰略。今年早些時候，我們還斥資 1800 萬美元收購了礦山，以構建我們的數字平台。我們向股東返還現金的承諾在第四季度得到體現，我們回購了 400 萬美元的股票，並將季度股息提高 8.3% 至每股 0.13 美元。

Our Oracle transformation, summarized on Slide 25, remains on budget and on schedule. This system will be a key enabler of long-term sustainable improvements in productivity and efficiency. We will begin to see benefits in the second half of this year as the first waves of solutions are utilized. I am proud of the work our team is doing and excited as we draw near to delivering this objective.

我們的 Oracle 轉型（在幻燈片 25 中進行了總結）仍在按預算和時間表進行。該系統將成為長期可持續提高生產力和效率的關鍵推動因素。隨著第一波解決方案的使用，我們將在今年下半年開始看到收益。我為我們團隊正在做的工作感到自豪，並在我們接近實現這一目標時感到興奮。

I will now turn it back over to Jaco for his closing comments.

現在，我將把它轉回給 Jaco，聽取他的結束評論。

Thank you, Becky. Turning to Slide 26. I would like to review our key investment highlights. Despite all the changes we saw in 2022, one thing that has remained constant is our customers' desire for our unique solutions. We have built a leadership position by delivering innovative, high-quality products and superior customer service. And our markets are experiencing positive long-term demand drivers from secular trends such as population growth and aging infrastructure.

謝謝你，貝基。轉到幻燈片 26。我想回顧一下我們的主要投資亮點。儘管我們在 2022 年看到了所有變化，但始終不變的一件事是我們的客戶對我們獨特解決方案的渴望。我們通過提供創新、優質的產品和卓越的客戶服務建立了領導地位。我們的市場正在經歷人口增長和基礎設施老化等長期趨勢帶來的積極長期需求驅動因素。

We have been successful in winning business opportunities. As the global installed base of Astec products grow, it creates the need for reliable aftermarket parts that tends to be reoccurring and less cyclical. This strong OEM aftermarket combination, coupled with improving operational excellence, improves our financial returns. As a result, we have a strong balance sheet that enabled us to strategically invest and grow.

我們已經成功地贏得了商機。隨著 Astec 產品的全球安裝基數不斷增長，它產生了對可靠的售後市場零件的需求，這些零件往往會重複出現且週期性較低。這種強大的 OEM 售後市場組合，加上卓越的運營，提高了我們的財務回報。因此，我們擁有強大的資產負債表，使我們能夠進行戰略投資和發展。

Finally, our commitment to the simplify, focus and growth strategic pillars unite our organization and drives improvement in everything we do. We saw improvements in nearly all financial metrics in 2022 and have made progress on achieving our long-term financial targets, shown on Slide 27.

最後，我們對簡化、專注和增長戰略支柱的承諾將我們的組織團結起來，並推動我們所做的一切改進。我們在 2022 年看到了幾乎所有財務指標的改善，並在實現我們的長期財務目標方面取得了進展，如幻燈片 27 所示。

The plans we have in place including the article implementation plus our team's actions to live out our core values daily gives us confidence that these targets are attainable, and that 2023 will be a good year for Astec.

我們制定的計劃（包括文章實施）加上我們團隊每天為踐行核心價值觀而採取的行動，讓我們相信這些目標是可以實現的，2023 年對 Astec 來說將是豐收的一年。

I'll close by reiterating the sentiment from my opening remarks. I'm humble and grateful to be the CEO of such a wonderful team and organization, and I'm excited about where we are going and what we can accomplish together in 2023 and beyond.

最後，我將重申我開場白中的觀點。我很謙虛，也很感激能擔任如此出色的團隊和組織的首席執行官，我對我們的發展方向以及我們在 2023 年及以後共同取得的成就感到興奮。

With that, operator, we are now ready to open the call for any questions.

有了這個，接線員，我們現在準備好打開任何問題的電話。

(Operator Instructions) Your first question is from the line of Mig Dobre with Baird.

（操作員說明）您的第一個問題來自 Baird 的 Mig Dobre 系列。

It's Joe Grabowski on for Mig this morning. So Jaco, you've been in your new role for about 60 days. Obviously, you're not new to Astec, but you are new to the CEO role. Any initial observations in addition to your prepared remarks from your new broadened perspective?

今天早上由 Joe Grabowski 接替 Mig。 Jaco，你擔任新角色已經大約 60 天了。顯然，您對 Astec 並不陌生，但對擔任 CEO 這一職位還是陌生的。除了您從新的拓寬視角準備的評論之外，還有什麼初步觀察嗎？

Yes, absolutely, Joe, and nice to talk to you this morning. The first 60 days, I've visited 12 of our U.S. facilities, and I met through a significant number of people on all levels and organization. And one thing that's very clear to me is that we have a lot of good people in our organization, a lot of people that's really focused on delivering results for us. I've also spent quite a bit of time talking to customers, visiting various industry events, specifically the National Asphalt Pavement Association. And the market is very positive. Our customers has a lot of work to do. And obviously, that provides us some confidence for this year.

是的，當然，喬，今天早上很高興和你交談。在最初的 60 天裡，我參觀了我們在美國的 12 個設施，並通過各個級別和組織的大量人員進行了會面。我非常清楚的一件事是，我們的組織中有很多優秀的人，很多人真正專注於為我們取得成果。我還花了很多時間與客戶交談，參觀各種行業活動，特別是全國瀝青路面協會。市場非常積極。我們的客戶有很多工作要做。顯然，這為我們今年提供了一些信心。

We've also made some structural changes on our executive leadership team. And I think the structure will position us very well for a company of our size. And what I'm more excited about is that we're putting the right focus in the right place in organization. And then we spend a lot of time communicating with our organization around the change, interacting with employees on multiple occasions. So very positive first 60 days, lots of work, a lot of traveling going on. But I think we have a strong organization behind us and even more important, our customers are very positive at this point in time.

我們還對執行領導團隊進行了一些結構性調整。而且我認為這種結構將使我們非常適合我們這種規模的公司。我更興奮的是我們將正確的重點放在組織中的正確位置。然後我們花了很多時間與我們的組織圍繞變革進行溝通，在多個場合與員工互動。前 60 天非常積極，有很多工作，很多旅行正在進行。但我認為我們背後有一個強大的組織，更重要的是，我們的客戶此時非常積極。

Got it. Okay. Great. I guess, my next question would be, it looks like guidance is still suspended. Becky did mention that you expect margins to continue to improve. But any other thoughts or color you could give on 2023 earnings drivers?

知道了。好的。偉大的。我想，我的下一個問題是，指導似乎仍處於暫停狀態。 Becky 確實提到您預計利潤率會繼續提高。但是，對於 2023 年的盈利驅動因素，您還有其他想法或看法嗎？

Yes. I mean, obviously, as part of our Simplify, Focus and Grow, we're going to continue to drive our operational excellence. I think we have strong teams in place now. As you guys know, the volatility in the supply chain is still there. Our teams are working hard to minimize supply chain disruptions. And as that improves, we should see a positive effect on margins.

是的。我的意思是，很明顯，作為我們簡化、專注和成長的一部分，我們將繼續推動我們的卓越運營。我認為我們現在擁有強大的團隊。正如你們所知，供應鏈的波動性仍然存在。我們的團隊正在努力最大程度地減少供應鏈中斷。隨著這種情況的改善，我們應該會看到對利潤率的積極影響。

Steel pricing is a little bit fluctuating, as you guys very well know. We've seen steel pricing moderating a little bit, however, recently turning back upwards.

正如你們所熟知的，鋼鐵價格有點波動。我們已經看到鋼鐵價格有所緩和，但最近又回升。

The other positive thing is that we have seen some stability with regards to employee turnover and actually our ability to hire employees. And that will help us as well creating a stable environment and improving efficiencies in manufacturing.

另一件積極的事情是，我們已經看到員工流動率以及實際上我們僱用員工的能力方面有些穩定。這也將幫助我們創造一個穩定的環境並提高製造效率。

We invested a significant amount of money last year in CapEx. And those projects, as I walk through our facilities, is very visible. Equipment is getting commissioned and the benefits are starting to flow through our operations. And we're continuously working on pricing. As you guys see, we've had a positive effect on pricing this year, and we're going to continue to work on that.

去年我們在資本支出上投入了大量資金。當我走過我們的設施時，這些項目非常明顯。設備正在調試，收益開始流經我們的運營。我們一直在努力定價。正如你們所看到的，我們今年對定價產生了積極影響，我們將繼續努力。

Got it. Okay. And if I can squeeze in one more last question. Your sales in the quarter were the highest since the pandemic by a pretty sizable amount, yet the drag on EBITDA for manufacturing efficiencies got a little bit worse. So maybe kind of talk about supply chain, production and kind of, I guess, the Yin and Yang between the fact that the sales were much higher, but the efficiency drag didn't get any better?

知道了。好的。如果我可以再提出最後一個問題。您本季度的銷售額是自大流行以來最高的，數量相當可觀，但 EBITDA 對製造效率的拖累變得更糟了。所以也許是關於供應鏈、生產和某種，我猜，銷售量高得多的事實之間的陰陽，但效率拖累沒有得到任何改善？

Yes, I can take the first half, start with that one as well, Joe. Obviously, supply chain disruptions are not over yet. So we've seen that specifically more in our mobile equipment side, where there's obviously a large number of parts that goes into equipment. I think it's also important to remember that the fourth quarter have significant holiday periods, in the fourth quarter with Thanksgiving and the Christmas holidays. And then lastly, we also do our annual physical inventory counts during that period of time. And that takes some hours out of the shop. So I'm positive that you will see that turnaround here in the first quarter again.

是的，我可以參加上半場，也從上半場開始，喬。顯然，供應鏈中斷尚未結束。因此，我們在移動設備方面尤其看到了這一點，顯然有大量零件進入設備。我認為同樣重要的是要記住，第四季度有重要的假期，第四季度有感恩節和聖誕節假期。最後，我們還在那段時間進行年度實物庫存盤點。這需要幾個小時才能離開商店。所以我很肯定你會在第一季度再次看到這種轉變。

Your next question comes from the line of Stanley Elliott from Stifel.

您的下一個問題來自 Stifel 的 Stanley Elliott。

Jaco, welcome to the call.

Jaco，歡迎致電。

Yes. Good morning, Stanley. Thank you.

是的。早上好，斯坦利。謝謝。

Could you talk about maybe what happened on the part sales and the material group? A big improvement there, was that just an improvement on the supply chain or really just kind of some catch up? Any further help there would be great.

你能談談零件銷售和材料組發生了什麼事嗎？那裡有很大的改進，這只是供應鏈的改進還是真的只是某種追趕？任何進一步的幫助都會很棒。

Yes. Good question there, Stanley. So obviously, for me, personally, parts is something that I'm very passionate about. And you guys will remember with the closures of our Mequon business, that was specifically in the Material Solutions business and created the short-term disruption in the flow of parts. So our teams have been very focused on reducing backlog in that business. And those results are starting to show up.

是的。好問題，斯坦利。所以很明顯，就我個人而言，零件是我非常熱衷的事情。你們會記得我們 Mequon 業務的關閉，特別是在材料解決方案業務中，並造成了零件流動的短期中斷。因此，我們的團隊一直非常專注於減少該業務的積壓。這些結果開始顯現。

Our teams have also been successful in leveraging our international footprint by getting additional capacity out of our international sites to support that business. So as the move plays out and as we get to the teams back performing before -- like before we close the facilities, I think those results will continue to be positive.

我們的團隊還通過從我們的國際站點獲得額外的容量來支持該業務，從而成功地利用了我們的國際足跡。因此，隨著這一舉措的實施，以及我們讓團隊恢復之前的表現——就像在我們關閉設施之前一樣，我認為這些結果將繼續是積極的。

Perfect. And then you mentioned international a couple of times on the quality of a nice international background. With previous positions, help us from memory, legacy Astec had some issues on the manufacturing side and on the distribution side in the International, I suppose on the margin side. What do you think that you can bring to the table? What do you think that the company is going to do differently this period so that the international margins and growth profile could be not dilutive or accretive even to what you are doing here in North America.

完美的。然後你多次提到國際背景的質量。有了以前的職位，從記憶中幫助我們，遺留的 Astec 在製造方面和國際分銷方面存在一些問題，我想是在利潤方面。你認為你可以帶來什麼？您認為公司在此期間將採取哪些不同的做法，以便國際利潤率和增長狀況不會稀釋或增加您在北美所做的事情。

Yes. Good question again, Stanley. So my view on international is that, that has a significant opportunity for our organization. If you look at our traditional market shares, obviously, the U.S. is much stronger for us. And I see the international market as a great opportunity for us. However, we need to be smart about it and make sure that we have the right manufacturing footprints and the right supply chain processes.

是的。好問題，斯坦利。所以我對國際的看法是，這對我們的組織來說是一個重要的機會。如果你看看我們的傳統市場份額，顯然，美國對我們來說要強大得多。我認為國際市場對我們來說是一個很好的機會。然而，我們需要對此保持聰明，並確保我們擁有正確的製造足跡和正確的供應鏈流程。

So in our future growth, as we make our plans to grow internationally, finding the right footprint and the right supply chain processes will be important for us. Delivering products out of the U.S. is not always the best solution and will not give us the same margin. So leveraging our sites, which we've now started to do already that we have, is really important. And then when the time is right, we will look for other opportunities.

因此，在我們未來的發展中，當我們制定國際發展計劃時，找到合適的足跡和合適的供應鏈流程對我們來說很重要。從美國運送產品並不總是最好的解決方案，也不會給我們同樣的利潤。因此，利用我們現在已經開始做的網站非常重要。然後在合適的時候，我們會尋找其他機會。

Stanley, this is Steve. I would add to that, that under our decentralized structure previously, as Jaco said, exporting to those sites, we weren't structured to fully optimize getting product to those sites, but we want Astec considering those as manufacturing sites, it opens up a lot of opportunities for us. Yes.

斯坦利，這是史蒂夫。我要補充一點，在我們之前的分散結構下，正如 Jaco 所說，出口到這些站點，我們的結構並未完全優化將產品運送到這些站點，但我們希望 Astec 將這些視為製造站點，它開闢了一個我們有很多機會。是的。

And one other comment there is we are investing in specifically our site in Northern Ireland in Omagh. And that facility will become a very important part for us to service the region there. So we're very well aware that if we want to have good margins and good profitable business that we have to be local and we have to be graded at manufacturing and logistics in the local markets.

另一條評論是我們正在專門投資我們在北愛爾蘭奧馬的網站。該設施將成為我們服務該地區的一個非常重要的部分。因此，我們非常清楚，如果我們想要獲得良好的利潤率和良好的盈利業務，我們就必須在當地開展業務，我們必須在當地市場的製造和物流方面進行評級。

That makes great sense. And switching gears to the balance sheet. Your inventories are up, obviously, just because of inflation and other things. Help us with the -- where would you think inventories might finish into next year into '23? Maybe the implications for free cash flow, what you want to talk about as a percent of EBITDA or net income conversion? Anything along those lines would be great.

這很有道理。並將齒輪切換到資產負債表。顯然，您的庫存增加只是因為通貨膨脹和其他因素。幫助我們 - 你認為庫存可能會在明年到 23 年完成？也許對自由現金流的影響，你想談談 EBITDA 或淨收入轉換的百分比？沿著這些路線的任何事情都會很棒。

Yes. Stanley, this is Becky. I'll take a stab at that one. Our inventories are up year-over-year, but so is our backlog, and we continue to see good order intake. And so we're really focused on do we have the right inventory at the right location for that backlog support. So we have pockets where the backlog is larger than others. And so we're balancing that. But certainly, we're challenging the rest of the sites to improve their turns across the house, we're challenging everyone to improve their returns. So we expect that inventory with the focus we have on it to come down, but just being mindful that it does move in conjunction with backlog.

是的。斯坦利，這是貝基。我會試一試那個。我們的庫存同比增加，但我們的積壓訂單也在增加，我們繼續看到良好的訂單接收。因此，我們真正關注的是我們是否在正確的位置擁有正確的庫存來支持積壓工作。所以我們的口袋裡積壓的訂單比其他人多。所以我們正在平衡這一點。但可以肯定的是，我們正在挑戰其他站點以改善他們在整個房子裡的周轉率，我們正在挑戰每個人以提高他們的回報。因此，我們希望我們關注的庫存會下降，但要注意它確實與積壓一起移動。

Yes, Stanley. Steve. I'll jump in as well. That inventory, the largest portion is raw materials. And there's a little bit of whip that quickly converts to finished goods. But those finished goods, they go out quickly based on the demand. So primarily raw material buildup to support the demand.

是的，斯坦利。史蒂夫。我也跳進去該庫存中，最大的部分是原材料。並且有一點鞭子可以快速轉化為成品。但是那些成品，他們根據需求很快就出去了。因此，主要是原材料的積累來支持需求。

Perfect. That's it for me. Look forward to see you guys in a couple of weeks.

完美的。對我來說就是這樣。期待在幾週後見到你們。

Your next question comes from the line of Steve Ferazani from Sidoti.

你的下一個問題來自 Sidoti 的 Steve Ferazani。

I wanted to ask about a couple -- I know you're not guiding for '23, but a couple of lines, maybe you can offer some help if you didn't provide it in the detailed review this morning. CapEx for 2023, how you're thinking about it? And also with the announced limited restructuring, how you're thinking that can affect SG&A?

我想問一些問題——我知道你不是在指導 '23，而是幾行，如果你在今天早上的詳細審查中沒有提供，也許你可以提供一些幫助。 2023 年的資本支出，您怎麼看？以及宣布的有限重組，您認為這會如何影響 SG&A？

Yes. I am Steve. So our CapEx outlook for this year is in the range of $25 million to $35 million. As you know, we invested heavily last year. And the focus is obviously to extract all the benefits of those CapEx investments. Yes, we did announce the limited restructure. And we see an SG&A run rate of about $56 million to $60 million and Becky can maybe provide a little bit more color on the SG&A run rate.

是的。我是史蒂夫。因此，我們今年的資本支出前景在 2500 萬至 3500 萬美元之間。如您所知，我們去年投入了大量資金。重點顯然是提取這些資本支出投資的所有收益。是的，我們確實宣布了有限的重組。我們看到 SG&A 運行率約為 5600 萬至 6000 萬美元，Becky 可能會在 SG&A 運行率上提供更多顏色。

Sure. Steve, with the SG&A run rate, we do think will be pretty flat year-over-year on a percentage of sales basis. So we're trying to leverage the sales. So we should expect that to stay flat. We are taking some restructure -- limited restructuring actions, not necessarily all SGA&E, but we are also we acquired mines, which is software engineers, and that all sits in SG&A. So we have an uptick related to that acquisition because of where those people sit. So all in all, we expect that it will largely remain flat as it moves with sales.

當然。史蒂夫，根據 SG&A 運行率，我們確實認為在銷售額的百分比基礎上同比持平。所以我們正試圖利用銷售。所以我們應該期望它保持平穩。我們正在採取一些重組——有限的重組行動，不一定是所有 SGA&E，但我們也收購了礦山，即軟件工程師，而這一切都在 SG&A 中。因此，由於這些人所處的位置，我們與此次收購有關。因此，總而言之，我們預計它會隨著銷售的變化而基本保持平穩。

Also, as a reminder, we have ConExpo this year. So Q1, we always see an uptick in not that this is all SG&A either, but just I'll throw in that we're continuing to roll out our systems. And so we have some incremental things going on in Q2. And so we've got a lot of launches going on this year with those products. So it will be a little bit lumpy, but it's still -- it will be pretty flat with last year. I leave it at that.

另外，提醒一下，我們今年有 ConExpo。所以第一季度，我們總是看到一個上升，不是因為這都是 SG&A，而是我要說的是我們將繼續推出我們的系統。因此，我們在第二季度發生了一些漸進的事情。因此，我們今年推出了很多這些產品。所以它會有點起伏，但它仍然 - 與去年持平。我就此打住。

And Steve, your...

還有史蒂夫，你的...

As a percentage of sales, correct.

作為銷售額的百分比，正確。

Yes. Sorry, Steve, I know you're aware of this, so -- or many others, but the ConExpo show is once every 3 years.

是的。抱歉，史蒂夫，我知道你知道這一點，所以 - 或許多其他人，但 ConExpo 展會每 3 年一次。

Yes. Great. Two months into the year, can you give any look at how order trends are going? Obviously -- this was the first quarter we saw backlog down. I know part of that is the significant sales increase and maybe it was year-end, but can you give any sense on order tracking for the early part of the year?

是的。偉大的。今年已經過去兩個月，您能看看訂單趨勢如何嗎？顯然 - 這是我們看到積壓的第一季度。我知道其中一部分是銷售額的顯著增長，也許是年底，但你能說說今年年初的訂單跟踪嗎？

Yes, Steve, I can do that. As I mentioned, when we met with a significant amount of our customers at NAPA, everybody was still very optimistic. We don't believe that a lot of the money from the infrastructure bill has flown yet. So we trust that, that will continuously support our order intake. But just for January, we've seen an $8 million uptick again in backlog. So good trend continuing.

是的，史蒂夫，我能做到。正如我提到的，當我們在 NAPA 會見大量客戶時，每個人都非常樂觀。我們認為基礎設施法案中的大量資金尚未流出。所以我們相信，這將持續支持我們的訂單接收。但僅在 1 月份，我們就看到積壓訂單再次增加了 800 萬美元。如此良好的趨勢仍在繼續。

Great. Great. I talked to a lot of companies that are sitting on very significant backlog, and it's provided them the flexibility to be much more aggressive on the pricing side simply because you're sitting on this much backlog, you can be willing to lose lower margin business. How do you think about that equation?

偉大的。偉大的。我與很多積壓了大量訂單的公司進行了交談，這為他們提供了靈活性，可以在定價方面更加積極，因為你有這麼多積壓，你可以願意失去利潤率較低的業務.你如何看待這個等式？

Yes. Good question. I think it's much easier to move pricing on and on parts and services as your supply chain moves pricing. On capital equipment, obviously, you have to think a little bit forward and dissipate. So our teams are continuously reviewing pricing. I think we are in a much better position today than what we were in the past.

是的。好問題。我認為隨著您的供應鏈調整定價，調整零件和服務的定價要容易得多。在資本設備上，顯然，您必須考慮向前一點並消散。因此，我們的團隊不斷審查定價。我認為我們今天的處境比過去要好得多。

One thing to consider is if a customer buys an asphalt plant from us, that customer has a lifespan on that equipment for 30 years. And we definitely don't want to necessarily lose that opportunity as well. So -- but we believe that our teams will be able to offset any additional inflationary pleases with pricing.

需要考慮的一件事是，如果客戶從我們這裡購買瀝青設備，則該客戶對該設備的使用壽命為 30 年。我們絕對不想失去這個機會。所以 - 但我們相信我們的團隊將能夠通過定價來抵消任何額外的通貨膨脹。

Okay. Makes sense.

好的。說得通。

Your next question is from the line of Larry De Maria with William Blair.

你的下一個問題來自 Larry De Maria 和 William Blair。

Obviously, a big increase in equipment sales. Just try to dig that into a little bit more so. Can you talk about volume-price mix, any big deliveries? Trying to understand if we're able to catch up in production or if we're pivoting to better throughput at this point?

很明顯，設備銷量大增。只是嘗試將其挖掘得更多一點。你能談談量價組合，任何大的交付嗎？試圖了解我們是否能夠趕上生產，或者我們是否正在轉向提高吞吐量？

Yes. I mean if you -- the reduction in backlog is obviously a function of getting additional volume out. I will say that our teams have done a really good job implementing some significant CapEx projects. We've also, over the last year, invested significantly in manufacturing engineering capability. And those teams are starting to deliver results by helping us to reduce our manufacturing lead times and cycle times.

是的。我的意思是，如果你 - 積壓的減少顯然是獲得額外數量的功能。我會說我們的團隊在實施一些重要的資本支出項目方面做得非常好。去年，我們還在製造工程能力方面進行了大量投資。這些團隊開始通過幫助我們減少製造交貨時間和周期時間來交付成果。

So I'm positive that we will see further improvements in our output versus what we had in prior years. The fact that supply chain is still disruptive in some of our lines makes it a little bit unpredictable. But with that getting better, output will continue to improve over the next couple of quarters.

所以我很肯定，我們將看到我們的產出與前幾年相比有進一步的改善。事實上，供應鏈在我們的一些生產線中仍然具有破壞性，這使得它有點不可預測。但隨著情況好轉，未來幾個季度的產出將繼續改善。

And then maybe I'm going to jump -- I'm going to join 2 questions into 1 here. But you talked about dealer expansion and strategic accounts, and you also mentioned digital connectivity and telematics. Can you maybe just give us right setting of where we are in that -- in those multiple journeys, where we've come from, where we are now and how much more wood there is to chop? Is all the equipment going out connected with telematics now? Or is that in the future or just kind of right level on those initiatives, if you can.

然後也許我要跳——我要在這裡將 2 個問題合併為 1 個問題。但是你談到了經銷商擴張和戰略客戶，你也提到了數字連接和遠程信息處理。你能不能給我們正確的設定——在那些多次旅程中，我們從哪裡來，我們現在在哪裡，還有多少木頭要砍？現在出門的設備都連接telematics了嗎？或者，如果可以的話，是在未來還是在這些舉措上處於適當的水平。

Yes. So I will take it in 3 steps there. So let's talk about the dealers. I mean if you look back at Astec's history, we were primarily a direct market player. And on the mobile equipment side, the teams have now significantly transitioned to dealers. And what's happened last year was the teams have really put good structure in place around how we manage dealers, how do we agree on performance with the dealers. And that process, in my mind, is really going to drive the performance of our dealers.

是的。所以我將在那里分 3 個步驟進行。那麼讓我們談談經銷商。我的意思是，如果你回顧 Astec 的歷史，我們主要是一個直接的市場參與者。在移動設備方面，團隊現在已經顯著過渡到經銷商。去年發生的事情是，團隊確實圍繞我們如何管理經銷商、我們如何與經銷商就績效達成一致建立了良好的結構。在我看來，這個過程真的會推動我們經銷商的業績。

Our teams have also been successful with -- we're expanding dealers across the country, and we still have a few white spaces in the U.S. But overall, we -- the guys have done a really good job expanding that. So I will say really good progress on the dealer side.

我們的團隊也取得了成功——我們正在全國范圍內擴大經銷商，我們在美國仍有一些空白。但總的來說，我們——這些人在擴展方面做得非常好。所以我會說經銷商方面的進展非常好。

On the strategic account side, this is something that I'm very passionate about as we see consolidation in our customer base. We need to be good dealing with the larger customers. And our teams have now, I think, found their strides on that. There's still a lot of work to do for us. But I think we're just going to see that improve in the future.

在戰略客戶方面，這是我非常熱衷的事情，因為我們看到了客戶群的整合。我們需要與大客戶打交道。我認為，我們的團隊現在已經在這方面取得了進展。我們還有很多工作要做。但我認為我們只會在未來看到這種改善。

On the telematics side, I think we are really early there. with the Mines acquisition, the Grathwol acquisition of about 2 years ago, taking and putting all of those things together with the current technology we have is something that we are working on right now. And at ConExpo, we will actually exhibit some of the new products. But there's still a significant runway and work to do before we have all the technology on our equipment.

在遠程信息處理方面，我認為我們真的很早。通過大約 2 年前對 Mines 的收購，對 Grathwol 的收購，將所有這些東西與我們現有的技術結合起來，這是我們現在正在努力的事情。在 ConExpo，我們實際上會展示一些新產品。但是，在我們的設備上擁有所有技術之前，還有一條重要的跑道和工作要做。

There are no further questions in the queue. I'd like to hand the call back to Steve Anderson for closing remarks.

隊列中沒有其他問題。我想將電話轉回給史蒂夫安德森，請他作結束語。

All right. Thank you, Brett. And well, to talk about it, anyone who's going to be out in Vegas for ConExpo, please stop by our booth in Central Hall and see us. We'd love to show you some new things that we have on display there. So thanks for that.

好的。謝謝你，布雷特。好吧，說說這件事，任何要到維加斯參加 ConExpo 的人，請到我們位於中央大廳的展位來見我們。我們很樂意向您展示我們在那裡展示的一些新東西。所以謝謝你。

We appreciate your participation on this call, and thank you for your interest in Astec. As today's news release indicates, today's conference call has been recorded. A replay of this conference call will be available through March 15, and an archived webcast will be available for 90 days. The transcript will be available under the Investor Relations section of the Astec Industries' website within the next 7 days. All of that information is contained in the news release distributed earlier this morning. This will conclude our call, but I'm happy to connect with you if you have additional questions later. Thank you all. Have a good day.

感謝您參與本次電話會議，並感謝您對 Astec 的關注。正如今天的新聞稿所示，今天的電話會議已經錄製完畢。此電話會議的重播將在 3 月 15 日之前提供，而存檔的網絡廣播將提供 90 天。成績單將在未來 7 天內在 Astec Industries 網站的投資者關係部分提供。所有這些信息都包含在今天上午早些時候發布的新聞稿中。我們的通話到此結束，但如果您以後有其他問題，我很樂意與您聯繫。謝謝你們。祝你有美好的一天。

Ladies and gentlemen, this does conclude today's teleconference. Thank you for your participation. You may disconnect your lines at this time, and have a wonderful day.

女士們，先生們，今天的電話會議到此結束。感謝您的參與。此時您可以斷開線路，度過美好的一天。