AeroVironment, Inc. (AVAV) 2015 Q2 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the AeroVironment Incorporated second-quarter fiscal 2015 earnings call. (Operator Instructions). As a reminder, this conference is being recorded for replay purposes.

各位女士、各位先生，大家好，歡迎參加 AeroVironment Incorporated 2015 會計年度第二季財報電話會議。（接線員指示）。提醒各位，本次會議將錄音以供重播。

With us today from the Company is the Chairman and Chief Executive Officer, Mr. Tim Conver; Chief Financial Officer, Mr. Jikun Kim; and Vice President of Investor Relations, Mr. Steven Gitlin. Now at this time, I would like to turn the conference over to Mr. Gitlin. Please go ahead, sir.

今天與會的公司代表包括：董事長兼執行長 Tim Conver 先生；財務長 Jikun Kim 先生；以及投資人關係副總裁 Steven Gitlin 先生。現在我想把會議交給 Gitlin 先生。先生，請開始。

Thank you, Karen, and welcome to our second-quarter call. Please note that on this call certain information presented contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on current expectations, forecasts and assumptions that involve risks and uncertainties including but not limited to economic, competitive, governmental and technological factors outside of our control that may cause our business, strategy or actual results to differ materially from the forward-looking statements.

謝謝你，Karen，歡迎各位參加我們的第二季電話會議。請注意，本次電話會議中所呈現的部分資訊包含《1995 年私人證券訴訟改革法》所定義的前瞻性陳述。前瞻性陳述係基於目前的預期、預測與假設，並涉及風險與不確定性，包括但不限於我們無法控制的經濟、競爭、政府及技術因素，這些因素可能導致我們的業務、策略或實際結果與前瞻性陳述存在重大差異。

For a list and description of such risks and uncertainties, see the reports we filed with the Securities and Exchange Commission. Investors are cautioned not to place undue reliance on any forward-looking statements, which speak only as of the date on which they are made. We do not intend and undertake no obligation to update any forward-looking statements whether as a result of new information, future events or otherwise.

關於此類風險與不確定性的清單與說明，請參閱我們向美國證券交易委員會提交的報告。投資人請勿過度依賴任何前瞻性陳述；該等陳述僅反映其作成當日之情況。除非因新資訊、未來事件或其他原因，我們不擬且不承擔更新任何前瞻性陳述之義務。

The content of this conference call contains time-sensitive information that is accurate only as of today, November 25, 2014. The Company undertakes no obligation to make any revision to the statements contained in our remarks or to update them to reflect the events or circumstances occurring after this conference call.

本次電話會議內容包含具時效性的資訊，僅在今日（2014 年 11 月 25 日）為準確。公司不承擔對我們發言中所含陳述作任何修訂之義務，亦不承擔更新以反映本次電話會議後發生之事件或情況之義務。

We will now begin with remarks from Tim Conver. Tim?

接下來我們先請 Tim Conver 發表談話。Tim？

Thank you, Steve, and welcome to our second-quarter fiscal 2015 earnings call. This year, we have two priorities: first, expanding our core business with a focus on revenue and gross margin objectives; and, second, positioning AV for three large, emerging growth opportunities with managed investments. I am pleased to report that across the board our fiscal 2015 plan is on track.

謝謝你，Steve，也歡迎各位參加我們 2015 會計年度第二季財報電話會議。今年我們有兩項優先事項：第一，擴大核心業務，聚焦營收與毛利率目標；第二，透過受控投資，讓 AV 佈局三項大型、正在浮現的成長機會。我很高興向各位報告，我們 2015 會計年度的計畫整體進度如期。

On today's call, I will summarize Q2 performance and then review progress in our core business and our growth opportunities as we are focused this year. Following, Jikun Kim will provide a detailed financial summary of the quarter and the fiscal year to date, and I will discuss our outlook for the year. Then after the outlook discussion, we will take your questions.

在今天的電話會議中，我將先概述第二季表現，接著依照我們今年的重點，回顧核心業務與成長機會的進展。之後，Jikun Kim 將提供本季及本會計年度迄今的詳細財務摘要，而我將討論我們對今年的展望。展望討論結束後，我們將開放提問。

Second-quarter revenue of $52.7 million mirrors Q1 revenue, as we anticipated on our Q1 call. Gross margin of 34% improved over Q1. We had strong bookings again in Q2.

第二季營收為 5,270 萬美元，與第一季營收相當，符合我們在第一季電話會議中的預期。毛利率為 34%，較第一季改善。我們在第二季再次取得強勁的訂單。

Funded backlog increased to $125 million, up 50% over Q1 and up 90% for the year. With this backlog, our visibility entering Q3 is 97% of the midpoint of our revenue guidance range.

已獲資金支持的在手訂單（funded backlog）增加至 1.25 億美元，較第一季成長 50%，年初至今成長 90%。憑藉這些在手訂單，我們進入第三季時的能見度達到我們營收指引區間中點的 97%。

Our business model comprises two elements. First, a set of established business areas in our core business that lead their respective markets and generate operating income. And second, a portfolio of growth opportunities representing potentially large new businesses requiring investment to secure market adoption and to position us for market leadership.

我們的商業模式包含兩個要素。第一，是核心業務中一系列成熟的業務領域，這些領域在各自市場居於領先地位並創造營業利益。第二，是一個成長機會組合，代表可能形成龐大新業務的潛力，但需要投資以促成市場採用並使我們具備市場領導地位。

I will address our core businesses first. Both UAS and EES segments are executing as expected for the year. A key message in describing our core business is that our small UAS business area continues to perform well. We have built a strong backlog based on broad customer demand.

我先談核心業務。UAS 與 EES 兩個部門今年的執行均符合預期。描述我們核心業務的一個關鍵訊息是：我們的小型 UAS 業務領域持續表現良好。我們已基於廣泛的客戶需求建立了強勁的在手訂單。

During Q1, the U.S. Army and Marines both announced the requirements for their next-generation family of small unmanned aircraft systems, and both adopted AV solutions. During Q2, we received an initial $22 million order for WASP AE systems against that new Marine requirement.

在第一季期間，美國陸軍與海軍陸戰隊都公布了其下一代小型無人航空系統家族的需求，並且都採用了 AV 的解決方案。在第二季，我們收到一筆初始 2,200 萬美元的 WASP AE 系統訂單，以滿足海軍陸戰隊的新需求。

Both the Army and the Marines are upgrading their capabilities of their large Raven fleets with our Mantis gimbaled payload, contributing to order flow and revenue during the first half.

陸軍與海軍陸戰隊都在以我們的 Mantis 雲台載荷升級其龐大的 Raven 機隊能力，並在上半年帶動訂單流入與營收。

Genuine AeroVironment spare parts ensure high levels of operational readiness and reliability for our troops when the systems we make are properly maintained. This is important as the Army begins to refit its extensive small UAS fleet to ensure that after years of heavy use this critical capability will be fully operational when needed. This recapitalization contributed to high sustainment order flow for small UAS spare parts in Q2.

在我們製造的系統獲得妥善維護時，AeroVironment 原廠備品可確保部隊具備高度的作戰妥善率與可靠性。隨著陸軍開始對其龐大的小型 UAS 機隊進行整修（refit），以確保在多年高強度使用後，這項關鍵能力在需要時能完全可用，這點尤為重要。此一再資本化（recapitalization）在第二季帶動小型 UAS 備品的高維保訂單流入。

We also received international contracts from two new customers and five established customers in the second quarter, rounding out our robust small UAS order flow from multiple sources.

第二季我們也從兩位新客戶與五位既有客戶取得國際合約，使我們來自多元來源的小型 UAS 訂單流入更為強勁。

Small UAS now have the potential to be deployed beyond their traditional mission of supporting ground troops. The Navy is advancing their evaluation of small UAS adoption. Sailors operating our systems in multiple FC trials of different applications on different classes of ships have all demonstrated positive results. We're optimistic about the Navy finding high value through the future adoption of our all-environment small UAS that are uniquely capable of saltwater landing.

小型 UAS 現在有潛力部署到傳統支援地面部隊任務之外。海軍正在推進其對小型 UAS 採用的評估。水兵在多次 FC 試驗中，於不同艦種上針對不同應用操作我們的系統，均展現正面成果。我們對海軍未來採用我們具備獨特海水降落能力的全環境小型 UAS，並從中發現高度價值，抱持樂觀態度。

Our team won a significant down-select competition this quarter for a $19 million phase 2 development contract for DARPA's Tern program. Our innovative Tern solution is consistent with the DARPA and the Navy vision of an entirely new reconnaissance and strike capability for naval forces.

本季我們的團隊在一項重要的縮選（down-select）競賽中勝出，取得 DARPA「Tern」計畫第二階段（phase 2）開發合約，金額為 1,900 萬美元。我們創新的 Tern 解決方案符合 DARPA 與海軍對海軍部隊全新偵察與打擊能力的願景。

This is also an important step in our initiative to develop larger UAS with the potential to broaden our defense market access and increase revenue opportunities.

這也是我們推動開發更大型 UAS 的重要一步，該等系統有潛力擴大我們在國防市場的觸及範圍並增加營收機會。

Switchblade systems have been very successfully deployed with American troops. This successful operational experience continues to attract Switchblade procurement interest from new customers, both domestic and international, which supports our expectation for continued success in our Tactical Missile Systems business area.

Switchblade 系統已在美軍部隊中非常成功地部署。這些成功的作戰經驗持續吸引新客戶（國內與國際）對 Switchblade 的採購興趣，支持我們對戰術飛彈系統（Tactical Missile Systems）業務領域持續成功的預期。

In our Efficient Energy Systems segment, we continue to see strengthened demand for our charging systems for both passenger and industrial electric vehicles. Electric vehicle test systems still reflect soft demand in that market.

在高效能源系統（Efficient Energy Systems）部門，我們持續看到乘用與工業電動車充電系統需求增強。電動車測試系統在該市場仍反映需求疲弱。

We have now deployed more than 21,000 Level 2 charging systems in North America, and TurboCord demand continues to increase, allowing us to maintain our leadership position in this area. If plug-in EV adoption accelerates as projected over the next three to four years, the correlated increase in demand for charging systems represents a large growth opportunity for our EES segment.

我們目前已在北美部署超過 21,000 套 Level 2 充電系統，而 TurboCord 的需求持續增加，使我們得以維持在此領域的領導地位。若插電式電動車（plug-in EV）的採用在未來三到四年如預期加速，隨之而來的充電系統需求成長，將為我們的 EES 部門帶來龐大的成長機會。

I will now move on to discuss our portfolio of growth opportunities. Potential lead customers for Tactical Missile Systems, Global Observer and commercial UAS continue to express interest and behave in a manner consistent with emerging demand and probable adoption of these solutions. This year, we are closely managing increased investments to optimize our position to support and grow with these three market opportunities when customers adopt.

接下來我將討論我們的成長機會組合。戰術飛彈系統、Global Observer 與商用 UAS 的潛在領先客戶持續表達興趣，其行為也與需求正在浮現且可能採用這些解決方案的趨勢一致。今年我們正嚴格管理增加的投資，以在客戶採用時，最佳化我們支援並隨這三項市場機會成長的定位。

In Tactical Missile Systems, our increased investments in fiscal 2015 are focused on two main areas. First, we initiated investment to optimize our position for an anticipated Army LMAMS program of record. The LMAMS program of record progressed through a key Pentagon review during the quarter, and we believe it could materialize in government fiscal year 2017.

在戰術飛彈系統方面，我們於 2015 會計年度增加的投資聚焦兩大領域。第一，我們已啟動投資，以最佳化我們在預期的陸軍 LMAMS 正式列裝計畫（program of record）中的定位。LMAMS 正式列裝計畫在本季通過五角大廈的一項關鍵審查，我們相信該計畫可能在政府 2017 會計年度成形。

Our second area of Tactical Missile Systems investment this year is in the development of new systems for multiple customers. Each offer different capabilities than the existing Switchblade and the Army LMAMS program of record. While I won't discuss these new systems in any detail, they are all driven by customers seeking the unique capability set introduced with Switchblade, but for different applications.

我們今年在戰術飛彈系統投資的第二個領域，是為多個客戶開發新系統。這些系統各自提供不同於現有 Switchblade 與陸軍 LMAMS 正式列裝計畫的能力。雖然我不會詳述這些新系統，但它們皆源自客戶希望取得 Switchblade 所引入的獨特能力組合，並用於不同應用。

It's important to know that each development will be co-funded by a customer, and each represents an incremental and material market opportunity with strong customer support for near-term demonstration.

重要的是，每項開發都將由客戶共同出資（co-funded），且每一項都代表一個增量且具重大規模的市場機會，並獲得客戶對近期展示（near-term demonstration）的強力支持。

Recall that the Army and the Air Force budgets for missile systems in government fiscal 2014 totaled more than $6 billion, so the market opportunity is significant.

請回想，陸軍與空軍在政府 2014 會計年度的飛彈系統預算合計超過 60 億美元，因此市場機會相當可觀。

The second growth opportunity that we are investing in this year is commercial applications of unmanned airplane systems. Much news coverage continues to address these potential market opportunities that are expected to be large and global, and that coverage often is associated with increasingly ubiquitous consumer quadcopters.

我們今年投資的第二項成長機會，是無人航空系統的商業應用。許多新聞報導持續聚焦這些潛在市場機會，預期規模龐大且具全球性，而這些報導往往與日益普及的消費型四軸飛行器相關聯。

Our primary focus is professional system solutions for large global industries, which we believe represent the most attractive segments of this emerging market. It's also more complex than it may seem. Adoption and market success with these customers will require capabilities such as the ability to operate safely and reliably in all environments -- regulatory compliance, legal access to airspace, processing enormous amounts of data to deliver the actionable information to generate strong economic return on investment, and seamless integration into their existing business processes.

我們的主要重點是面向大型全球產業的專業系統解決方案，我們認為這些是此新興市場中最具吸引力的細分領域。同時，這比表面看起來更複雜。要在這些客戶中實現採用與市場成功，將需要多項能力，例如：在所有環境中安全且可靠地運行——符合法規、合法取得空域使用權、處理海量資料以交付可採取行動的資訊從而產生強勁的投資報酬，以及與其既有業務流程的無縫整合。

We believe the more complex requirements for success in these high-end segments of the market that is emerging are ideally matched to the kinds of robust systems and business solutions we provide. One essential element of any successful commercial UAS solution is meeting the rigorous requirements for legal access to airspace. We remain the only UAS manufacturer to have met the demanding qualifications for FAA-restricted type certification for commercial service over American soil.

我們相信，在這些正在浮現的高端市場細分領域中，成功所需的更複雜要求，與我們所提供的強健系統與商業解決方案高度契合。任何成功的商用 UAS 解決方案的一個關鍵要素，是滿足合法取得空域使用權的嚴格要求。我們仍是唯一一家 UAS 製造商，已符合 FAA 限制型式認證（restricted type certification）用於美國本土商業服務的嚴苛資格要求。

This gives us the ability to secure our own FAA certificates of authorization for commercial operations. Our demonstrated ability to achieve FAA type certification, regulatory compliance and legal access to airspace is a significant differentiation in this essential aspect of market success.

這使我們能夠為商業營運取得我們自己的 FAA 商業營運授權證書（Certificates of Authorization）。我們已證明具備取得 FAA 型式認證、符合法規要求並合法進入空域的能力，這在市場成功所必需的關鍵面向上形成顯著差異化。

During Q2, we invested -- we continue to invest in commercial UAS solution development and market positioning, both in the oil and gas industry and in other vertical markets. Our first-of-a-kind solution for BP in Alaska has contributed to important business relationships and validated industry requirements and solutions.

在第二季期間，我們進行了投資——且持續投資於商用 UAS 解決方案的開發與市場定位，涵蓋石油與天然氣產業以及其他垂直市場。我們為阿拉斯加的 BP 提供的首創解決方案，促成了重要的業務關係，並驗證了產業需求與解決方案。

We are now developing opportunities for our solutions in and outside of Alaska with BP and with other companies in the oil and gas industry. Our intent is to ensure that our lead position can translate into strong business growth and return on investment when adoption accelerates.

我們目前正與 BP 以及石油與天然氣產業的其他公司，在阿拉斯加境內外開發我們解決方案的機會。我們的目標是確保我們的領先地位，能在採用加速時轉化為強勁的業務成長與投資報酬。

This year, we also increased investment in a second key element for commercial UAS market success. That is the innovative technology developments that will further optimize platform and payload solutions across multiple new commercial applications. We are pleased with our prototype results. However, for competitive and intellectual property reasons we do not intend to discuss the specific new capabilities until we bring them to market.

今年，我們也增加了對商用 UAS 市場成功的第二個關鍵要素的投資，也就是創新技術的研發，將在多項新的商業應用中進一步最佳化平台與酬載解決方案。我們對原型成果感到滿意。然而，基於競爭與智慧財產權的考量，在我們將其推向市場之前，我們不打算討論具體的新能力。

Our third growth area driving increased investment in fiscal 2015 is Global Observer. Our joint venture in Turkey remains active, and we are expanding our relationships in Turkey to address growing opportunities for Global Observer. Lockheed Martin and AeroVironment also remain actively engaged through our memorandum of understanding to pursue Global Observer opportunities.

我們在 2015 會計年度推動增加投資的第三個成長領域是 Global Observer。我們在土耳其的合資企業仍在運作中，且我們正擴展在土耳其的合作關係，以掌握 Global Observer 日益增加的機會。洛克希德馬丁（Lockheed Martin）與 AeroVironment 也仍透過我們的合作備忘錄積極投入，以追求 Global Observer 的相關機會。

During Q2, we increased investments in business development and application engineering for international opportunities.

在第二季期間，我們增加了對國際機會的業務開發與應用工程的投資。

In total, we have invested a little less than $6 million in these three growth opportunities during the first half of the year in addition to our core business investments. We expect to increase investments in Tactical Missile Systems, Commercial UAS and Global Observer in the second half.

總計而言，除核心業務投資外，我們在上半年於這三項成長機會上的投資略低於 600 萬美元。我們預期在下半年將增加對戰術飛彈系統（Tactical Missile Systems）、商用 UAS 與 Global Observer 的投資。

In summary, this is a year of investing in new growth opportunities while continuing to execute in our core business. We are carefully managing and gating these new investments to position the Company for sustained growth with high returns. We remain market leaders in our core business in both our unmanned airplane systems and our Efficient Energy Systems segments.

總結來說，今年是在持續執行核心業務的同時，投資於新的成長機會的一年。我們正審慎管理並分階段核准這些新投資，以使公司具備高報酬的持續成長定位。我們在核心業務方面仍是市場領導者，涵蓋我們的無人飛機系統以及高效能源系統（Efficient Energy Systems）兩大部門。

We have seen strong performance in our small UAS business where order flow has been high and driven from diverse sectors. Small UAS demand is supported by the Army and Marines' next-generation requirements for our solutions, the Navy's evaluation of small UAS adoption, ongoing sustainment requirements for an installed base of thousands of our systems and a strong international requirements pipeline.

我們在小型 UAS 業務上看到強勁表現，訂單流量高且來自多元領域。小型 UAS 的需求受到陸軍與海軍陸戰隊對我們解決方案的下一代需求所支撐、海軍對小型 UAS 採用的評估、對已部署數千套系統的持續維保需求，以及強勁的國際需求管線。

Now I will turn the call over to Jikun for a detailed financial overview of Q2 and the fiscal year to date.

接下來我將把電話會議交給 Jikun，由他就第二季及本會計年度迄今提供詳細的財務概覽。

Thank you, Tim, and good afternoon everyone. AeroVironment FY15 Q2 results are as follows. Revenue for Q2 was $52.7 million, a decrease of $12.2 million, or 19%, as compared to $64.9 million a year ago.

謝謝你，Tim，各位下午好。AeroVironment 2015 會計年度第二季的結果如下：第二季營收為 5,270 萬美元，較去年同期的 6,490 萬美元減少 1,220 萬美元，或 19%。

Looking at revenue by segment, UAS revenue was $43 million, a decline of $13 million, or 23%, compared to last year. This decline was primarily due to lower product deliveries of $10 million and decrease in service revenues of $3.1 million. The decrease in product deliveries is primarily due to lower SUAS deliveries, and decrease in service revenue was due to reduced repair activities for SUAS as well as a decline in Switchblade-related [prad] activities.

按部門來看，UAS 營收為 4,300 萬美元，較去年下降 1,300 萬美元，或 23%。此下降主要由於產品交付減少 1,000 萬美元，以及服務營收減少 310 萬美元。產品交付的下降主要是因小型 UAS（SUAS）交付量較低；服務營收的下降則是因 SUAS 維修活動減少，以及與 Switchblade 相關的 [prad] 活動下降。

EES revenues increased $0.8 million, or 9%, to $9.6 million in the second quarter. This increase was primarily due to increased product deliveries of our passenger electric vehicle charging systems.

EES 營收在第二季增加 80 萬美元，或 9%，至 960 萬美元。此增加主要由於我們乘用電動車充電系統的產品交付增加。

Turning to gross margin, gross margin in the second quarter was $17.9 million, a decrease of $6 million, or 25%, as compared to $23.9 million in the prior year. Gross margin was impacted by a government contract accounting reserve we set up in the quarter for prior-year incurred cost audit findings. These reserves impacted gross profits by $2.6 million in the quarter.

接著看毛利，第二季毛利為 1,790 萬美元，較前一年同期的 2,390 萬美元減少 600 萬美元，或 25%。毛利受到我們在本季針對前一年度已發生成本審計發現而提列的政府合約會計準備金影響。這些準備金在本季使毛利減少 260 萬美元。

Now by segment, UAS gross margin decreased $5.3 million, or 26%, to $15.5 million in the quarter. The decrease is primarily driven by lower sales volumes. As a percent of revenue, gross margin for UAS decreased from 37% to 36%. EES gross margin decreased by $0.7 million, or 22%, to $2.4 million in the quarter primarily due to unfavorable product mix.

按部門來看，UAS 毛利在本季下降 530 萬美元，或 26%，至 1,550 萬美元。下降主要由較低的銷售量所致。以營收百分比計，UAS 毛利率由 37% 降至 36%。EES 毛利在本季下降 70 萬美元，或 22%，至 240 萬美元，主要由於不利的產品組合。

As a percent of revenues, EES gross margin decreased from 35% to 25%. SG&A expense for the quarter was $13.5 million, or 26% of revenue, compared to an SG&A expense of $13.1 million, or 20% of revenue in the prior year.

以營收百分比計，EES 毛利率由 35% 降至 25%。本季銷售、一般及行政（SG&A）費用為 1,350 萬美元，占營收 26%，相較前一年同期 SG&A 費用為 1,310 萬美元，占營收 20%。

R&D investments for the second quarter was $8.5 million, or 16% of revenue, compared to R&D investments of $6.9 million, or 11% of revenue in the prior year. R&D investments increased by $1.6 million year over year.

第二季研發（R&D）投資為 850 萬美元，占營收 16%，相較前一年同期研發投資為 690 萬美元，占營收 11%。研發投資年增 160 萬美元。

Operating loss for the second quarter was $4.1 million, or negative 8% of revenue, compared to the prior-year profits of $3.9 million, or 6% of revenue. Operating income was lower primarily due to lower sales volumes generating lower gross profit and higher R&D investments.

第二季營業損失為 410 萬美元，占營收為負 8%，相較前一年同期營業利益為 390 萬美元，占營收 6%。營業利益下降主要因銷售量較低導致毛利較低，以及研發投資較高。

Interest income and other expenses for the quarter was a net loss of $0.4 million, primarily driven by the conversion of the second CybAero convertible note. The effective tax benefit rate for the quarter was 36%, an increase from the prior-year period of 9%.

本季利息收入及其他費用淨額為 40 萬美元損失，主要由第二筆 CybAero 可轉換票據的轉換所致。本季有效稅務利益率為 36%，較前一年同期的 9% 上升。

Net loss for the quarter was $2.9 million, or $0.13 loss per share, compared to $1.7 million profit, or $0.07 per fully diluted share, in the same quarter last year.

本季淨損失為 290 萬美元，每股虧損 0.13 美元；相較去年同季淨利 170 萬美元、完全稀釋後每股盈餘 0.07 美元。

On an adjusted basis, which excludes the impact of the CybAero convertible notes and equity-related transactions, FY15 Q2 EPS would have been a $0.12 loss per share. We have provided an EPS reconciliation table in the press releases.

以調整後基礎計算（排除 CybAero 可轉換票據及股權相關交易的影響），2015 會計年度第二季每股盈餘（EPS）將為每股虧損 0.12 美元。我們已在新聞稿中提供 EPS 調節表。

And now moving quickly through our first-half FY15 results, revenue for the first six months was $104.5 million, a decrease of $4.5 million or 4%, as compared to $109 million a year ago. UAS revenues decreased by $7.1 million, or 8%, to $84.2 million, primarily due to decreases in customer-funded R&D work of $7 million and service revenues of $3.6 million. These reductions were offset by higher product deliveries of $3.5 million.

接著快速說明 2015 會計年度上半年結果：前六個月營收為 1.045 億美元，較去年同期的 1.09 億美元減少 450 萬美元，或 4%。UAS 營收下降 710 萬美元，或 8%，至 8,420 萬美元，主要由客戶出資研發工作減少 700 萬美元及服務營收減少 360 萬美元所致；上述減少部分被產品交付增加 350 萬美元所抵銷。

EES revenues increased $2.6 million, or 15%, to $20.3 million, primarily due to increased product deliveries of our industrial fast charge systems, partially offset by lower product deliveries of our passenger electric vehicle charging system as the CEC program came to an end earlier this year.

EES 營收增加 260 萬美元，或 15%，至 2,030 萬美元，主要由我們工業用快速充電系統的產品交付增加所致；但部分被乘用電動車充電系統的產品交付下降所抵銷，因 CEC 計畫於今年稍早結束。

Gross margin for the first six months was $31.9 million as compared to $36.4 million from the prior year. This represents a decrease of $4.5 million or 8%. Again, gross margin was impacted by the government contract accounting reserve we set up in the second quarter for prior-year incurred cost audit findings.

前六個月毛利為 3,190 萬美元，相較前一年同期為 3,640 萬美元，減少 450 萬美元或 8%。同樣地，毛利受到我們在第二季針對前一年度已發生成本審計發現而提列的政府合約會計準備金影響。

UAS gross margins decreased $5.8 million, or 18%, to $25.6 million. The decrease is primarily due to termination settlement for our Global Observer joint capability technology demonstration contract, which occurred during the first six months of the prior year. As a percent of revenue, gross margin for UAS decreased from 34% to 30%.

UAS 毛利下降 580 萬美元，或 18%，至 2,560 萬美元。下降主要由於前一年上半年發生的 Global Observer 聯合能力技術示範合約終止和解所致。以營收百分比計，UAS 毛利率由 34% 降至 30%。

EES gross margin increased $1.3 million, or 25%, to $6.3 million primarily due to higher sales volumes and favorable product mix. As a percent of revenue, EES gross margin increased from 28% to 31%.

EES 毛利增加 130 萬美元，或 25%，至 630 萬美元，主要由於銷售量較高及有利的產品組合。以營收百分比計，EES 毛利率由 28% 升至 31%。

SG&A expense for the first six months was $26.9 million, or 26% of revenue, compared to SG&A expense of $25.5 million, or 23% of revenue in the prior year.

前六個月 SG&A 費用為 2,690 萬美元，占營收 26%，相較前一年同期 SG&A 費用為 2,550 萬美元，占營收 23%。

R&D investments for the first six months was $15.7 million, or 15% of revenue, compared to R&D investments of $14.1 million, or 13% of revenue in the prior year. Operating loss for the first six months was $10.6 million, or negative 10% of revenue, compared to an operating loss of $3.2 million, or a negative 3% of revenue last year.

前六個月研發投資為 1,570 萬美元，占營收 15%，相較前一年同期研發投資為 1,410 萬美元，占營收 13%。前六個月營業損失為 1,060 萬美元，占營收為負 10%，相較去年前六個月營業損失為 320 萬美元，占營收為負 3%。

Interest income and other expenses for the first six months was $0.4 million. The effective tax benefit rate for the first six months was 36%, compared to the effective tax benefit rate for the prior year of 34%.

前六個月的利息收入及其他費用為40萬美元。前六個月的有效稅務利益率為36%，相較於前一年度的有效稅務利益率34%。

Net loss for the first six months was $6.5 million, or $0.29 loss per share, compared to a net loss of $5.6 million, or $0.25 per share last year. On an adjusted basis, which excludes the impact of the CybAero convertible notes and equity transactions, FY15 Q2 year-to-date EPS would have been a $0.30 loss per share.

前六個月淨虧損為650萬美元，或每股虧損0.29美元，相較於去年淨虧損560萬美元，或每股虧損0.25美元。以調整後基礎計算（排除CybAero可轉換票據及股權交易的影響），FY15第二季年初至今每股盈餘（EPS）將為每股虧損0.30美元。

Now backlog. Looking at backlog, funded backlog at the end of the second quarter was $125.2 million, up $59.3 million, or 90%, from April 30, 2014.

接下來談積壓訂單（backlog）。就積壓訂單而言，第二季末的已資助積壓訂單（funded backlog）為1億2,520萬美元，較2014年4月30日增加5,930萬美元，或90%。

Turning to our balance sheet, cash equivalents and investments at the end of the second quarter totaled $257.2 million, down $7 million from the prior quarter. The decline in cash equivalents and investments were driven by higher working capital needs.

再看資產負債表，第二季末的現金等價物及投資合計為2億5,720萬美元，較前一季減少700萬美元。現金等價物及投資的下降主要由較高的營運資金需求所致。

Turning to receivables, at the end of the second quarter our accounts receivables, including unbilled receivables, totaled $38 million, up $7 million from the prior quarter. Total days sales outstanding were approximately 65 days compared to 54 days at the end of the prior quarter.

再看應收款項，第二季末我們的應收帳款（含未開立帳單之應收款）合計為3,800萬美元，較前一季增加700萬美元。應收帳款週轉天數（DSO）約為65天，相較於前一季末的54天。

Taking a look at inventory, inventories were $51.8 million at the end of the quarter, compared to $46.4 million at the end of the prior quarter. Days in inventory were approximately 134 days, compared to 111 days at the end of the prior quarter.

再看存貨，季末存貨為5,180萬美元，相較於前一季末的4,640萬美元。存貨天數約為134天，相較於前一季末的111天。

Turning to capital expenditures, in the second quarter we invested approximately $1 million, or 2% of revenue, in property improvements and capital equipment. AV recognized $2.1 million of depreciation in the quarter.

再看資本支出，第二季我們約投資100萬美元，或營收的2%，用於不動產改善及資本設備。AV於本季認列210萬美元的折舊。

Now an update to our FY15 visibility. As of today, we have year-to-date Q2 actual revenues of $105 million, Q2 ending backlog that we can execute in FY15 of an additional $123 million, Q3 quarter-to-date bookings that we can execute in FY15 of an additional $6 million, unfunded backlog from incrementally funded contracts that we expect to recognize revenue for the balance of this year of $3 million, and revenues needed to hold EES revenues flat relative to last year of $14 million.

現在更新我們對FY15的可見度（visibility）。截至今日，我們年初至今至第二季的實際營收為1億500萬美元；第二季期末積壓訂單中可於FY15執行的額外1億2,300萬美元；第三季截至目前的接單（bookings）中可於FY15執行的額外600萬美元；來自逐步撥款合約的未資助積壓訂單（unfunded backlog），我們預期在今年剩餘期間可認列營收為300萬美元；以及為使EES營收相較去年持平所需的1,400萬美元營收。

This puts the total FY15 revenue visibility at $251 million, or 97%, at midpoint of revenue guidance.

這使FY15營收可見度合計達2億5,100萬美元，或在營收指引中點的97%。

Now I would like to turn things back to Tim to discuss AV's expectations for the balance of our FY15.

現在我想把時間交回給Tim，請他說明AV對FY15剩餘期間的預期。

Thank you, Jikun. You will recall from our fourth-quarter call that our primary focus for year-over-year comparisons in fiscal 2015 is on revenue and gross profit margin. We limited our guidance to these two metrics because our investments in growth opportunities during FY15 will offset operating profits from our core business.

謝謝你，Jikun。各位還記得我們在第四季電話會議中提到，2015會計年度進行年對年比較時，我們的主要重點在營收與毛利率。我們將指引限縮在這兩項指標，因為FY15期間我們對成長機會的投資，將抵銷核心業務的營業利益。

We are solidly on track for achieving these fiscal 2015 metrics. With 60% of our revenue to go for the year, we are comfortable with our revenue guidance of $250 million to $270 million because our backlog gives us good visibility for revenue at the midpoint of that range.

我們正穩健地朝達成這些2015會計年度指標邁進。由於全年仍有60%的營收待完成，我們對2億5,000萬至2億7,000萬美元的營收指引感到放心，因為我們的積壓訂單讓我們對該區間中點的營收具有良好可見度。

Our tactical focus in the second half will be on efficiently converting current backlog to revenue and building future backlog and business opportunities for fiscal 2016. We're also comfortable with our gross margin guidance for fiscal 2015 of 34.5% to 37.5% at the respective revenue levels. The expected volume increase in the second half should favorably impact our gross margin, keeping us on track to achieve that guidance range as well.

下半年我們的戰術重點將放在有效率地將目前積壓訂單轉換為營收，並為2016會計年度建立未來的積壓訂單與商機。我們也對2015會計年度在各營收水準下34.5%至37.5%的毛利率指引感到放心。預期下半年出貨量增加將對毛利率帶來正面影響，使我們同樣能按計畫達成該指引區間。

Strategically, we will continue to focus on delivering unique value to our existing customers. The pursuit of larger UAS platforms like Tern, and the three growth opportunities that we are investing in this year: Tactical Missile Systems, Global Observer and Commercial UAS. We are actively engaged with lead customers and partners in these three growth areas. This ongoing engagement supports our view of a growing probability of adoption over the next couple of years as well as the potential for compelling return on investment as that adoption subsequently drives market growth.

在策略上，我們將持續專注於為既有客戶提供獨特價值。我們追求如Tern等更大型的UAS平台，以及今年投入的三項成長機會：戰術飛彈系統（Tactical Missile Systems）、Global Observer與商用UAS。我們正與這三個成長領域的領先客戶與合作夥伴積極互動。這些持續互動支持我們的看法：未來幾年採用的可能性正在提高，且隨著採用進一步帶動市場成長，投資報酬也可能相當具吸引力。

We are carefully managing the growth portfolio investments we are making this year. We continue to believe that these investments will increase in the second half and could offset all operating profit for 2015 if fully deployed.

我們正審慎管理今年所進行的成長投資組合。我們仍相信這些投資在下半年將增加，若全面部署，可能會抵銷2015年的全部營業利益。

Thank you for your time and attention. And thanks to the AeroVironment team for the ongoing commitment of your unique human power that drives success for our customers and, as a result, our growth. Now Jikun and I will take your questions.

感謝各位撥冗與關注。也感謝AeroVironment團隊持續投入你們獨特的人力能量，為客戶帶來成功，並因此推動我們的成長。現在我和Jikun將回答各位的提問。

(Operator Instructions). Andrea James, Dougherty & Company.

（接線員指示）。Dougherty & Company的Andrea James。

Thanks so much for taking my questions. I will stick for the first on commercial drones. You said you were -- Tim, you said you are processing large amounts of data to generate a return on investment. And this is one of your advantages, I guess, presumably with BP. This just seems to be a change from how I have historically understood your core business. So I guess my question is is information services something that you're going to continue to invest in internally? Are you partnering? Can you just elaborate on that piece of the advantage for you?

非常感謝讓我提問。我先問商用無人機。你說你們——Tim，你說你們正在處理大量資料以產生投資報酬。我想這大概是你們的優勢之一，推測是與BP合作時。這看起來與我過去對你們核心業務的理解有所不同。所以我的問題是：資訊服務是否是你們接下來會持續在內部投資的項目？你們是否在與外部合作？能否就這部分的優勢再多說明一些？

Yes. Thanks for the question, Andrea. First, what I intended to say there was that one of the elements of success with the -- in these large industrial applications of commercial UAS that we think represent extremely high value will be delivering actionable information. And in order to do that, we will need to process large amounts of data to get to that actionable information. And it's, in fact, that information that will drive the return on investment for those customers.

是的。謝謝你的問題，Andrea。首先，我當時想表達的是，在我們認為價值極高的這些大型工業商用UAS應用中，成功的要素之一是提供可採取行動的資訊（actionable information）。而為了做到這點，我們需要處理大量資料，才能得到那些可採取行動的資訊。事實上，正是這些資訊將為客戶帶來投資報酬。

We see that in our initial applications with BP in Alaska as we have operated these solutions over the course of the summer. You'll recall, I think, over the last couple of calls as I have described some of the solutions we are delivering up there, they in some cases include looking at the unique network of roadways and operating paths and resource extraction that goes on up there and building very accurate 3-D maps of the geography and those areas of interest. And then integrating those with high-definition photogrammetry so that those 3-D maps are generated by creating very large amounts of data in the form of point clouds and processing those point clouds to in a back-office operation to produce those 3-D maps and integrate the high-definition video.

我們在阿拉斯加與BP的初期應用中已看到這點，因為我們在整個夏季期間運行這些解決方案。你應該記得，我想在過去幾次電話會議中我描述過我們在那裡提供的一些解決方案，其中有些包括：觀察當地獨特的道路網絡與作業路徑，以及當地的資源開採活動，並為該地理環境與關注區域建立非常精準的3D地圖。接著再結合高解析度攝影測量（photogrammetry），透過建立大量資料（以點雲point clouds的形式）來生成這些3D地圖，並在後台作業中處理這些點雲，以產出3D地圖並整合高解析度影片。

From that, we are able to help the customer extract the critical information that they need to make real-time, actionable decisions. Sorry for the long answer, particularly the -- we move that data through the cloud. We process it in conjunction with partners that are very proficient at specific applications of that high-volume, big data processing.

藉此，我們能協助客戶擷取其所需的關鍵資訊，以做出即時、可採取行動的決策。抱歉回答較長，尤其是——我們透過雲端傳輸這些資料。我們也會與在特定高容量、大數據處理應用方面非常擅長的合作夥伴共同處理。

So I don't mean to say that we are internally generating all of that work.

所以我並不是要說我們在內部自行完成所有這些工作。

I appreciate that. Then the other thing, since we only get two questions, I guess you have talked about your three main growth areas -- Commercial UAS, Global Observer, Switchblade, but then we have got this turn down select, and so this went from a $2 million program to a $20 million program within a year. I guess my question is can that continue to grow? And is expansion with the Navy another thing that we should be looking at?

了解，謝謝。那另一個問題，因為我們只能問兩題：你談到三個主要成長領域——商用UAS、Global Observer、Switchblade——但我們還有這個Tern的縮減遴選（down select），而且它在一年內從200萬美元的計畫變成2,000萬美元的計畫。我的問題是：它還能繼續成長嗎？另外，與海軍的擴展是否也是我們應該關注的方向？

Again, you will recall I've been talking for some time now about our initiative to expand our unmanned airplane systems solutions beyond the small UAS where we have a very large market share now and continue to have a strong relationship with customers in that area. But to move into -- in addition to larger-sized platforms where some of our innovative solutions have the potential to bring some compelling value to customers and expand the size of the market opportunity that we pursue.

同樣地，你會記得我一段時間以來一直在談我們的倡議：將我們的無人飛機系統（unmanned airplane systems）解決方案，從目前我們擁有很大市占、且在該領域與客戶維持強健關係的小型UAS，進一步擴展——同時也進入更大型的平台；在那裡，我們的一些創新解決方案有潛力為客戶帶來相當具吸引力的價值，並擴大我們所追求的市場機會規模。

So this is a good example. There were a half a dozen organizations that had phase 1 contracts for Tern. That down select to for phase 2 reduced the competitors to two. I believe that DARPA expects to further down select in a year or so probably to one supplier and move that onto which would probably become a significant program beyond that.

所以這是一個很好的例子。當初有半打左右的組織拿到Tern第一階段（phase 1）合約。第二階段（phase 2）的縮減遴選將競爭者減至兩家。我相信DARPA預期在一年左右會進一步縮減遴選，可能只剩一家供應商，並將其推進到——之後很可能會成為一個更具規模的重要計畫。

Peter Arment, Sterne, Agee.

Sterne, Agee的Peter Arment。

Tim, you have talked a lot about the small UAS performing really well and that you are seeing a lot of upgrades with the gimbal systems. Maybe you could just give us -- I hate to use the baseball analogy, but what inning are we in the recap of the upgrade there?

Tim，你談了很多小型UAS表現非常好，而且你看到雲台（gimbal）系統有很多升級。也許你可以給我們——我不太想用棒球的比喻，但就那個升級循環而言，我們現在大概進行到第幾局了？

This is Jikun. I think from a gimbal standpoint, we are probably halfway through. We have got some legs to go on that.

我是 Jikun。我認為從雲台（gimbal）的角度來看，我們大概走到一半了。後面還有一段路要走。

Okay. Thanks. Then unrelated if I could -- the second question -- Tim, you mentioned two new international customers and five established. Maybe you could just give us an overview. How big is the international sales mix right now within UAS, and where do you think this could be three years from now?

好的，謝謝。那另外一個不相關的問題——第二個問題——Tim，你提到兩個新的國際客戶以及五個既有客戶。也許你可以給我們一個概覽。目前在 UAS 之內，國際銷售占比大概是多少？你認為三年後可能會到什麼程度？

The pipeline for international requirements is very large, and it -- if anything it continues to grow. We now have over 30 international customers, and I would -- my expectation, from everything we can see in our pipeline, is that the three years from now our international small UAS business will be significantly larger than it is now.

國際需求的管線非常龐大，而且——如果有什麼變化的話——它還在持續成長。我們現在有超過 30 個國際客戶；而且就我們在管線中看到的一切而言，我的預期是三年後我們的國際小型 UAS 業務規模將會顯著大於現在。

We do experience what I think is relatively common, and that is, if anything, our international contract releases tend to slide more often than government -- US government contract releases. But that doesn't seem to have reduced the probability of those contracts ultimately being awarded.

我們確實遇到一種我認為相當常見的情況：如果要說的話，我們的國際合約釋出時程往往比政府——美國政府合約釋出——更常往後延。但這似乎並沒有降低這些合約最終得標的機率。

Okay. Thank you.

好的，謝謝你。

Michael Ciarmoli, KeyBanc.

Michael Ciarmoli，KeyBanc。

Maybe, Tim, how are you thinking about on your commercial UAS growth opportunities? Is that market becoming more challenging and more complicated? The FAA just -- I think they're requiring pilot licenses now basically. How are you dealing with some of the red tape that is just not clearing up right now in that market? Do you see that, I guess, creating some headwinds on your revenue growth opportunities, or have you anticipated this?

Tim，也許談談你如何看待商用 UAS 的成長機會？那個市場是否變得更具挑戰、也更複雜？FAA 剛剛——我想他們現在基本上要求飛行員執照。你們如何應對那個市場目前仍未消除的繁文縟節？你是否認為這會對你們的營收成長機會造成一些逆風，還是你們已經預先考量到了？

I think, Mike, that I was trying to address some of that in my previous comments. The specific FAA requirements that you noted are all present with our current commercial operations that are FAA approved in Alaska. We understand those. We operate in compliance with those. And, in fact, we are the -- still the only manufacturer to have achieved type certification for commercial operation over the land from the FAA.

Mike，我想我在先前的評論中已試著回應其中一部分。你提到的 FAA 具體要求，在我們目前於阿拉斯加、已獲 FAA 核准的商業營運中都已存在。我們了解那些要求，也依規定運作。而且事實上，我們仍然是——唯一一家取得 FAA 對於陸上商業運作型式認證（type certification）的製造商。

That has been so successful in this initial summer of operation with BP that this year the FAA expanded that area of operation significantly. We are now, I think, approved to operate in an area something like 14,000 square miles, which is a little larger than the state of Maryland.

這在與 BP 的第一個夏季營運中非常成功，因此今年 FAA 大幅擴大了該營運區域。我們現在，我想，獲准在大約 14,000 平方英里的區域內運作，這比馬里蘭州的面積還要大一些。

I think, in summary, we have a good understanding of what those rigorous requirements are. We have been uniquely successful in operating with them, and we are looking forward to moving ahead with being able to extend those operations more broadly.

總結來說，我們對那些嚴格要求有充分理解。我們在遵循這些要求下的營運表現獨樹一幟且相當成功，也期待能夠繼續推進，把這些營運更廣泛地延伸。

Well, I guess I was referring to the Wall Street Journal article yesterday where I guess the proposed rule would require operators to have pilot licenses.

我想我指的是昨天《華爾街日報》的那篇文章，裡面提到擬議規則可能會要求操作人員必須持有飛行員執照。

Yes. Operators are required to have pilot licenses in Alaska now.

是的。在阿拉斯加，操作人員現在就被要求必須持有飛行員執照。

Okay, okay. Got it.

好的，好的。了解了。

So we are -- to my knowledge, I saw nothing in that article yesterday, Mike, that was surprising or different than what we have been used to operating with to date.

所以，Mike，就我所知，我昨天在那篇文章裡沒有看到任何令人意外或不同於我們迄今為止一直在遵循的營運要求。

Got it. Perfect. That's helpful. Then just how should we be thinking about the payback period here for these investments? And I guess you have got an upcoming LMAMS competition. But is it reasonable to think that some of these -- we should see revenues start to hit the P&L in fiscal 2016, or can you give us any color around timing of any awards or when these growth programs start to have more pronounced impact on the income statement?

了解。很好，這很有幫助。那麼，對於這些投資的回收期，我們應該怎麼看？另外你們即將有一個 LMAMS 的競標。但是否可以合理地認為其中一些——我們會在 2016 會計年度開始看到營收反映到損益表（P&L）上？或者你能否就任何得標時點、或這些成長計畫何時會對損益表產生更明顯影響，提供一些說明？

Well, we have the chart that we put in our corporate communication deck last year that lays out the notional adoption timing and potential investment levels of a half a dozen growth opportunities that we have been focused on. Included in those are the three that we are increasing investments in this year.

我們去年在公司對外溝通簡報中放了一張圖表，概述我們聚焦的半打成長機會之名目採用時程與潛在投資水準。其中也包含我們今年正在加大投資的那三項。

Again, we are increasing those investments because we are getting market signals and customer feedback that is consistent with their accelerated consideration of adoption in those areas. We want to be optimally positioned to support that adoption and grow with them when they move.

再次強調，我們之所以加大這些投資，是因為我們收到的市場訊號與客戶回饋，顯示他們在這些領域加速考慮採用。我們希望在他們採用時能以最佳狀態支援，並在他們行動時與其一同成長。

So the timing -- looking -- referring back to that chart, the timing for each of those three areas is different. We are currently generating revenue and good returns from Switchblade as the initial product in our Tactical Missile Systems business. And so, I would suspect that the likelihood of earlier meaningful adoption of new applications there is relatively good for that business area.

因此在時程方面——回到那張圖表——這三個領域各自的時程不同。我們目前已從 Switchblade（作為我們戰術飛彈系統業務的初始產品）產生營收並取得良好報酬。因此，我推測在該業務領域，新應用較早出現具意義採用的可能性相對較高。

If we move out to the other end of the timeframe, even if we got a very short-term initial adoption of Global Observer, the ultimate delivery of those systems would be a few years out just because of lead time of that large, complex system. Obviously, the impact on the business could be huge with that adoption. And probably commercial -- I would say is -- if anything, is probably pulling in a little bit from the timeline that we had indicated on that chart, which would be looking at one to three years on our chart. And if anything, that's probably moving in a bit.

如果把時間拉到另一端，即使 Global Observer 在短期內獲得初步採用，這些系統的最終交付也會在幾年之後，因為那套大型、複雜系統的前置期很長。當然，一旦採用，對業務的影響可能非常巨大。而商用方面——我會說——如果有什麼變化的話，可能比我們在那張圖表上所示的時程略為提前；圖表上我們看的是一到三年。如果有變化，應該是略為往前移。

Josephine Millward, The Benchmark Company.

Josephine Millward，The Benchmark Company。

Congratulations on the quarter. Nice bookings.

恭喜本季表現，接單很不錯。

We like the visibility.

我們喜歡這種能見度。

Me too. Tim, can you comment on the President's request for additional OCO funding to support the campaign against ISIS? Do you see any potential there for AV? I know the request has about $55 million for small tactical UAS.

我也是。Tim，你能評論一下總統要求增加 OCO（海外應急行動）資金以支持對 ISIS 的行動嗎？你認為這對 AV 有任何潛在機會嗎？我知道該項請求中大約有 5,500 萬美元用於小型戰術 UAS。

I think there is -- as the engagement with -- in these kinds of conflicts have historically provided a venue for products like ours to deliver large, very significant value to organic teams on the ground. How that rolls out with between US engagement and US ally engagement, and what ultimately happens with the -- in the world situation, I think I'm reluctant to try to guess at. But, as you know, our systems are typically built to provide incremental and oftentimes significant incremental value to those organic teams that do get engaged in these unfortunate situations.

我認為——在這類衝突中，歷史上與此類衝突的投入往往提供了一個舞台，讓像我們這樣的產品能為地面上的有機編組（organic teams）帶來巨大且非常顯著的價值。至於這會如何在美國介入與盟友介入之間展開，以及世界局勢最終會如何發展，我不太願意去猜測。但如你所知，我們的系統通常是為了在這些不幸情境中確實投入的有機編組，提供增量價值，而且往往是相當顯著的增量價值。

Right, right. A follow-up question, have you delivered all the Switchblade in your backlog? And do you still anticipate a follow-on for the Switchblade this coming -- I guess for this fiscal year?

了解，了解。追問一下，你們是否已交付積壓訂單（backlog）中的所有 Switchblade？另外，你們是否仍預期在接下來——我想是本會計年度——會有 Switchblade 的後續訂單？

We have delivered a significant portion of the prior backlog for operational hardware. We have ongoing contracts that we are currently engaged with for Switchblade, and I would expect that we will continue to see good demand for that product from current and from new customers.

我們已交付先前積壓訂單中相當大的一部分作戰硬體。我們目前仍有正在執行的 Switchblade 合約，我預期我們會持續看到來自既有與新客戶對該產品的良好需求。

Howard Rubel, Jefferies.

Howard Rubel，Jefferies。

Jikun, just a point here. You talked about the gross margin adjustment, which reflected a booking rate change from prior periods. How should we think about this item going forward? Does that have a -- is there a modest reset in how you think about profitability?

Jikun，我這裡有個點。你談到毛利率調整，反映了與先前期間相比的入帳率（booking rate）變動。我們應該如何看待這個項目未來的走勢？這是否意味著你們對獲利能力的看法有小幅重設？

A little detail or background information on this one. The incurred costs, we are talking six or seven years ago. It's been a while, so this is -- the government is catching up with their incurred cost audits, and this is from 2007 and 2008. So we don't think it will impact us going forward, but it's something that we had to deal with this quarter.

補充一些細節或背景。這些發生的成本（incurred costs）是六、七年前的事了，已經過了一段時間；所以這是——政府正在補做其已發生成本審計（incurred cost audits），這次是針對 2007 與 2008 年。因此我們不認為它會在未來持續影響我們，但這是本季必須處理的一件事。

No, I get it. I didn't realize it was that far ago, or how long ago. I thought it would have been near, but I get what happens. Then just a second thing, just to talk a little bit about profitability, and I want to make sure that Tim to clarify your statement. So that if I understand, you are saying that, given incremental R&D and the other initiatives to grow the business and given where you are in the midpoint in guidance, you are saying that operating income would essentially be break-even. Is that a fair interpretation?

了解。我之前不知道是那麼久以前、或隔了那麼久。我以為會比較近，但我理解會發生什麼。那第二點，談一下獲利能力，我想請 Tim 釐清你的說法。也就是說，如果我理解正確，你是在說：考量額外的研發（R&D）以及其他成長業務的措施，再加上你們在指引中點（midpoint）的位置，你是在說營業利益（operating income）基本上會接近損益兩平。這樣解讀合理嗎？

I think it's fair. If we are able to complete all of the investments that we currently think would drive the kind of ROI that we are pursuing, Howard, there is obviously -- we have still got six months left to go on the operating side of the business, and we are closely managing and gating those investments. Both in terms of against internal performance progress as well as externally in the regards to the response that customers have to our ongoing engagement and market development.

我認為這樣說合理。Howard，如果我們能完成目前認為可帶來我們所追求投資報酬率（ROI）的所有投資，顯然——在營運面我們還有六個月要走，我們正密切管理並分階段把關（gating）這些投資；不僅是依據內部績效進展，也會從外部角度，依據客戶對我們持續互動與市場開發的回應來調整。

I think an additional internal area of consideration is the fact that many of the resources that we apply to these incremental investments that we are making compete with requirements for investment in our core business as well as growing customer-funded research and development.

另外一個內部考量是：我們投入到這些增量投資的許多資源，會與我們核心業務所需的投資，以及客戶出資的研發（customer-funded R&D）成長需求相互競爭。

So we are bringing on additional staff to address these requirements. We are increasing the amount of work share that we allocate to partners and to trusted outsourced suppliers, which allows us to flex that capacity more rapidly. But it does --- all of those factors will come to bear to determine how much we actually invest during the year.

因此我們正在增聘人員以滿足這些需求。我們也提高分配給合作夥伴與可信賴外包供應商的工作份額（work share），讓我們能更快速地彈性調整產能。但——所有這些因素都會影響我們在一年內實際投入多少。

So we will have a better view of this by the end of next quarter, but I don't know if that helps you at least get a better feeling for what is going into the decision-making process.

所以到下個季度末我們會有更清楚的視野；但我不確定這是否至少能幫助你更了解我們決策流程中所考量的因素。

Brian Ruttenbur, CRT Capital.

Brian Ruttenbur，CRT Capital。

Just a question along the same lines that others have been asking. R&D and SG&A expense, I understand where it was this quarter. And it sounds like, at least from your answers, is that there is going to be a ramp throughout this year, this fiscal year. And will that ramp continue into fiscal 2016? Should we -- is it going to flatten out? Decrease? Increase? Can you give me a directional?

我有個問題，方向跟其他人問的差不多。研發（R&D）與銷售、一般及行政（SG&A）費用，我了解本季的水準。聽起來至少從你們的回答來看，今年、也就是本會計年度，費用會逐步拉升。那這個拉升會延續到2016會計年度嗎？我們是否應該——會趨於持平？下降？上升？你能給我一個方向性的看法嗎？

I think our visibility at this point, Brian, is that we are primarily focused on executing these investments in fiscal 2015. No doubt, there will be some areas that will not be concluded and will roll into next year. But I think the primary focus and the primary impact at this point looks like fiscal 2015.

Brian，就目前而言，我們的能見度是：我們主要聚焦在2015會計年度執行這些投資。毫無疑問，有些領域不會在今年結束，會延續到明年。但就目前看來，主要重點與主要影響似乎都會落在2015會計年度。

Is that on the R&D side or the SG&A side?

這是指研發端，還是SG&A端？

While these investments probably will be mostly in R&D, they are certainly significant elements that are in business development, bid and proposal, and in some cases some of them will even show up in overhead accounts.

這些投資大多可能會在研發（R&D），但在業務開發、投標與提案（bid and proposal）方面也有相當重要的部分；而且其中有些在某些情況下甚至會反映在間接費用（overhead）科目中。

Okay. Thank you very much.

好的。非常感謝。

Andrea James, Dougherty.

Andrea James，Dougherty。

Thanks for taking my follow-ups. Because of Switchblade, you're looking for a program of record in GFY17. I think at one point way back in the day, you were looking for GFY14. So I guess my question is what does the Pentagon still need to decide to get it there? I guess in the past -- maybe in the context of -- in the past, they had to decide whether it was a UAS or a missile. Right? Then there was the whole direct trigger pull, indirect trigger pull debate. Where is it in the processes? Have they fully characterized it yet? And who is advocating for it?

謝謝讓我追問。因為Switchblade，你們預期在GFY17成為正式建案（program of record）。我記得很久以前某個時點，你們原本是看GFY14。所以我的問題是，五角大廈還需要做哪些決定才能推進到那一步？我想過去——也許是在——過去的脈絡裡，他們必須決定它是UAS還是飛彈，對嗎？然後還有直接扣扳機、間接扣扳機的爭論。現在在流程中的哪個階段？他們是否已經完整界定其定位？以及是誰在為它背書？

I am not sure that I recall GFY14. At least my limited memory clearly goes back to at one time we were thinking it might be 2016. But nevertheless, it's the process of getting to confirming an enduring requirement and getting to a program of record and funding that program of record has always been a relatively tortuous process, and certainly more so with the -- with sequestration and recent constraints in the DoD budget.

我不確定我是否記得GFY14。至少以我有限的記憶，清楚記得我們曾經一度認為可能是2016。不過，確認一項長期需求、推進到正式建案（program of record），以及為該正式建案取得資金，向來都是相對曲折的流程；而在預算自動削減（sequestration）以及近期國防部（DoD）預算限制之下，更是如此。

So I think it's -- at least for me, it's not at all surprising that it might have slid out a year over the last two years. But it appears to clearly be moving along the established process. I mentioned it cleared a very significant Pentagon review just this last quarter. So I think it is perceived by -- certainly up to that level, it has been perceived as an enduring requirement and approved for the next step along the way to a program of record.

所以我想——至少對我而言——過去兩年它可能往後延了一年，一點也不令人意外。但看起來它確實是在既定流程中持續推進。我提到它就在上一季通過了一項非常重要的五角大廈審查。因此我認為，至少到那個層級為止，它被視為一項長期需求，並已獲准進入通往正式建案的下一個步驟。

I appreciate that. Then you said in Q1, I think you said you had received $60 million in new UAS orders. Have you given that number for Q2 yet?

了解，謝謝。那你在第一季（Q1）提到，我想你說你收到了6,000萬美元的新UAS訂單。你有提供第二季（Q2）的數字了嗎？

Our bookings for Q2? Is that what you are --?

你是指第二季的接單（bookings）嗎？你是——？

Yes, yes.

是的，是的。

Okay, hold on. Yes, sure, hold on a second. Bookings in Q1 was $68 million. Bookings in Q2 was $95.8 million.

好的，等一下。可以，稍等一下。第一季的接單是6,800萬美元。第二季的接單是9,580萬美元。

Okay. And then your -- the buckets that give you the visibility into guidance, can you give us those buckets, please?

好的。然後你們——用來支撐財測能見度的那些「桶」（buckets），可以請你們把那些桶列給我們嗎？

Sure, so, we have actual revenues of $105 million year to date. Of the $125 million of backlog we can execute on $123 million of it, so that's an additional $123 million. We have an additional $6 million of Q3 quarter-to-date bookings that we can execute in FY15. And then one additional item that we added this quarter was that we have some unfunded, incrementally funded contracts that we will be getting incremental bookings for that we can execute in this year of an additional $3 million. And then holding EES revenues flat relative to last year generates an additional $14 million. This adds up to $251 million, or 97% of midpoint of guidance.

當然。我們年初至今（year to date）的實際營收是1.05億美元。在1.25億美元的在手訂單（backlog）中，我們可執行其中的1.23億美元，所以這是額外的1.23億美元。我們還有第三季截至目前（Q3 quarter-to-date）的接單額外600萬美元，可在FY15執行。然後本季我們新增的一個項目是：我們有一些未撥款、採分期撥款（incrementally funded）的合約，我們將取得可在今年執行的增量接單（incremental bookings），額外300萬美元。最後，若EES營收相較去年持平，將帶來額外1,400萬美元。合計為2.51億美元，約為財測中點的97%。

Prab Gowrisankaran, Canaccord.

Prab Gowrisankaran，Canaccord。

Thanks for taking my question. I am calling in for Bobby. One quick question on the EES segment. You have seen year-on-year growth for the first couple of quarters. If you can provide some color. What do you expect? I know your current funded backlog of 97% assumes flat EES growth, but if you can at any color to that.

謝謝讓我提問。我是代Bobby來電。關於EES部門有個簡短問題。你們前幾季呈現年對年成長，如果可以請提供一些說明。你們目前已撥款的在手訂單（funded backlog）達到97%是以EES持平成長為假設，但如果你能對此提供一些補充說明的話。

I did mention in the previous comments that we see continued demand strength in both the industrial and the on-road charging infrastructure businesses. We are seeing continued quarter-over-quarter growth in the revenue from our new TurboCord product. The third product line in that segment is in electric vehicle legal test equipment. Now, that market has been soft last year, and it still looks soft this year, both domestically and internationally.

我在先前的評論中確實提到，我們看到工業與道路充電基礎設施兩項業務的需求持續強勁。我們也看到新產品TurboCord帶來的營收持續季對季成長。該部門的第三條產品線是電動車法規測試設備（electric vehicle legal test equipment）。不過，那個市場去年偏弱，今年看起來仍然偏弱，無論在國內或國際市場皆是如此。

So I think we expect the bulk of our revenue for the balance of the year to come from the charging applications in both industrial and on-road vehicles.

所以我想，我們預期今年剩餘期間的大部分營收將來自工業與道路車輛兩端的充電應用。

Okay. And the follow-up question I had was in terms of the dip in gross margins you saw in the EES segment you attributed to unfavorable product mix. Is that more EV test, or do you see the margins bouncing back to the previous Q1 levels?

好的。我還有一個追問：就EES部門毛利率下滑而言，你們歸因於不利的產品組合。那是因為EV測試的比重更高嗎？或者你們認為毛利率會回升到第一季（Q1）先前的水準？

A couple of things to keep in mind. Remember the $2.6 million hit we took at the corporate level? That does get shoved down into the business segment, so EES picked up its share as well as UAS picked up its share. That does impact their segment gross profits.

有幾點要記住。先回想一下我們在公司層級承受的260萬美元衝擊？那會被分攤到各事業部門，所以EES與UAS都各自分攤了一部分。這確實會影響它們的部門毛利。

If you adjust that out, it will look a little more favorable. But, in general, we did have a mix shift where some of our more profitable products had less revenue relative to last year.

如果把那個因素調整掉，表現會看起來更有利一些。但整體而言，我們確實出現了組合轉移：相較去年，我們部分毛利較高的產品營收占比下降。

Okay. Thanks a lot.

好的。非常感謝。

Howard Rubel, Jefferies.

Howard Rubel，Jefferies。

I wanted to make sure I understood this also, Tim. Have you gotten incremental orders as a consequence of the activity in Iraq?

Tim，我想確認我也理解正確。因為伊拉克的活動，你們是否因此獲得了額外訂單？

Well, Howard, I don't want to -- I don't have a good answer for you on that. We rarely have talked about where our customers are taking our solutions, and I try to leave that to them to talk about if they want to.

Howard，這個問題我不想——我沒有一個很好的答案。我們很少談我們的客戶把我們的解決方案用到哪裡，我也盡量把這件事留給他們，如果他們想談的話由他們來談。

We have -- we did have, obviously, very strong bookings in the quarter. The bulk of those bookings were new orders were attributed to the applications I did talk about, which were generally the Marine WASP order and a lot of sustainment contracts and the Tern order. But we did end up with, what was it, $95 million, Jikun? So there are elements of that booking contract -- that booking portfolio that didn't get broken out, and I don't think my customers want to get me -- want me to be getting any more explicit about what they're doing with our solutions.

我們——本季的接單顯然非常強勁。這些接單中大部分的新訂單，主要來自我剛才提到的應用領域，通常是海軍的WASP訂單、許多維持合約（sustainment contracts），以及Tern訂單。不過我們最後達到——是多少來著，Jikun？所以在那9,500萬美元的接單——那個接單組合裡，確實有一些部分沒有被拆開說明，而我也不認為我的客戶希望我——希望我更明確地談他們如何使用我們的解決方案。

Maybe just -- I understand, and I appreciate that. The demand -- your receivables, DSOs, stretched a bit. And, so, my sense is there were probably some accelerated orders with pretty quick deliveries. Is that a fair way to think about how the quarter shaped up?

也許——我理解，也很感謝。需求——你們的應收帳款、DSO拉長了一些。所以我的感覺是，可能有一些加速下單、而且交付很快的訂單。用這種方式來理解本季的表現，是否合理？

I think you might want to think about it as just a timing of the revenues within the quarter -- month one, month two, month three. That's probably a more -- a bigger driver of that DSO than anything else.

我想你可能更應該把它視為本季內營收認列時點的影響——第一個月、第二個月、第三個月。這可能是造成DSO變動更主要的驅動因素，而不是其他原因。

Thank you very much.

非常感謝。

Thank you. That concludes our question-and-answer session for today. I would like to turn the conference back to Steve Gitlin for any closing comments.

謝謝。今天的問答環節到此結束。我想把會議交回給Steve Gitlin，請他做結語。

Thank you for your attention and your interest in AeroVironment. An archived version of this call, all SEC filings and relevant Company and industry news can be found on our website www.avinc.com. We wish you a happy holiday season, and we look forward to speaking with you again following next quarter's results. Good afternoon.

感謝各位對AeroVironment的關注與興趣。本次電話會議的存檔版本、所有SEC申報文件，以及相關公司與產業新聞，都可在我們的網站www.avinc.com查閱。祝各位佳節愉快，我們期待在下季財報公布後再次與各位交流。午安。

Thank you. Ladies and gentlemen, thank you for your participation in today's conference. This does conclude the program, and you may now disconnect. Everyone have a good day.

謝謝。各位女士、先生，感謝各位參與今天的會議。本次活動到此結束，您現在可以掛線。祝各位有美好的一天。