Avanos Medical Inc (AVNS) 2025 Q2 法說會逐字稿

Good morning, ladies and gentlemen, and welcome to the Avanos second-quarter 2025 earnings conference call. (Operator Instructions) I would now like to turn the conference over to Scott Galovan, Chief Financial Officer. Please go ahead, sir.

女士們、先生們，早安，歡迎參加 Avanos 2025 年第二季財報電話會議。（操作員指示）現在，我想將會議交給財務長 Scott Galovan。先生，請繼續。

Good morning, everyone, and thanks for joining us. It's my pleasure to welcome you to Avanos 2025 second-quarter earnings conference call.

大家早安，感謝大家的參與。我很高興歡迎您參加 Avanos 2025 第二季財報電話會議。

Presenting today will be Dave Pacitti, CEO, who will kick off the call by sharing a few leadership updates. Dave will then provide a high-level overview of our second-quarter results before turning it over to Jason Pickett, who has been serving as our Interim CFO. Jason will share additional details on these topics, provide an overview of our financial results, and 2025 assumptions inclusive of the impact of tariffs. We will finish the call with Q&A. A presentation of today's call is available on the Investors section of our website, avanos.com.

今天的演講者是執行長 Dave Pacitti，他將透過分享一些領導層最新動態來開始這次電話會議。隨後，戴夫將對我們的第二季度業績進行概述，然後將其交給擔任我們臨時首席財務官的傑森·皮克特 (Jason Pickett)。Jason 將分享更多這些主題的細節，概述我們的財務表現以及包括關稅影響在內的 2025 年假設。我們將以問答形式結束通話。今天的電話會議簡報可在我們的網站 avanos.com 的投資者部分找到。

As a reminder, our comments today contain forward-looking statements related to the company, our expected performance, and current economic conditions, including risks related to ongoing tariff negotiations in our industry. No assurance can as to future financial results.

提醒一下，我們今天的評論包含與公司、我們的預期業績和當前經濟狀況相關的前瞻性陳述，包括與我們行業正在進行的關稅談判相關的風險。無法保證未來的財務結果。

Actual results could differ materially from those in forward-looking statements. For more information about forward-looking statements and the risk factors that could influence future results, please see today's press release and records described in our filings with the SEC.

實際結果可能與前瞻性陳述的結果有重大差異。有關前瞻性陳述和可能影響未來結果的風險因素的更多信息，請參閱今天的新聞稿和我們向美國證券交易委員會提交的文件中描述的記錄。

Additionally, we'll be referring to adjusted results and outlook. The press release has information on these adjustments and reconciliations to comparable GAAP financial measures.

此外，我們也將參考調整後的結果和展望。新聞稿中包含有關這些調整以及與可比較 GAAP 財務指標的對帳資訊。

Now I'll turn the call over to Dave.

現在我將把電話轉給戴夫。

Thanks, Scott, and good morning, everyone. I'd like to begin today by addressing the leadership changes that we announced earlier this morning. First, it's my great pleasure to announce that Scott Galovan, previously our SVP of (technical difficulty) Avanos' new Chief Financial Officer.

謝謝，斯科特，大家早安。今天，我想先談談我們今天早上宣布的領導層變動。首先，我很高興地宣布，前高級副總裁 Scott Galovan（技術難度）Avanos 的新任財務長。

In his 12-plus years with the company, Scott has been instrumental in executing our strategy, identifying and pursuing strategic acquisitions and divestitures to strengthen our portfolio, keeping Avanos focused on the future. His extensive experience in navigating complex transactions will be absolutely critical as we build on our transformation efforts. We're excited to welcome him to this role and look forward to dynamic leadership and valuable contributions.

在公司任職 12 餘年的時間裡，史考特在執行我們的策略、確定和進行策略性收購和資產剝離以加強我們的投資組合、讓 Avanos 專注於未來方面發揮了重要作用。在我們推動轉型的過程中，他在處理複雜交易方面的豐富經驗至關重要。我們很高興歡迎他擔任這一職務，並期待他的活力領導和寶貴貢獻。

I'd also like to take this opportunity to thank Jason Pickett for serving as our Interim CEO while we conducted our search to fill this role. We greatly appreciate his leadership and his commitment to keeping us on the road during this transitional period. Jason will continue to lead our tax, treasury, and accounting functions.

我也想藉此機會感謝 Jason Pickett 在我們尋找人選期間擔任我們的臨時執行長。我們非常感謝他的領導能力以及他在這段過渡時期讓我們繼續前進的承諾。傑森將繼續領導我們的稅務、財務和會計職能。

Finally, I'm honored to announce I've been appointed to Avanos' Board of Directors, working alongside our Board members to guide Avanos each direction and on delivering long-term shareholder value will truly be my privilege.

最後，我很榮幸地宣布，我已被任命為 Avanos 董事會成員，與董事會成員一起指導 Avanos 的各個方向，並實現長期股東價值，這將是我的榮幸。

Now, we will shift our comments to our early results and outlook. Building off our first-quarter results, we delivered a strong second quarter, anchored by continued healthy performance of our life sustaining, special progress, and our old age sparing, Pain Management and Recovery segment.

現在，我們將把評論轉向我們的早期結果和展望。在第一季業績的基礎上，我們在第二季取得了強勁的成績，這得益於生命維持、特殊進步以及養老、疼痛管理和恢復部門的持續健康表現。

The demand for our products remains robust, and I'm pleased with the foundation laid out our three-year transformation efforts. For my first 100 days, I viewed the initiatives that we were identified and implemented within the transformation journey. I'm encouraged by the progress of these initiatives and believe that these are additional opportunities to advance our optimization efforts.

我們的產品需求依然強勁，我對我們三年轉型努力奠定的基礎感到滿意。在最初的 100 天裡，我回顧了我們在轉型過程中確定並實施的措施。這些措施的進展令我感到鼓舞，並相信這些都是推動我們優化工作的額外機會。

But early, I think you're confident we can improve our commercial effectiveness through organizational enhancements, innovative, and capital efficient go-to market approaches, and strategic partners. In addition, I believe our further operating model improvements and cost reduction opportunities through the organization that we'll be addressing in the coming quarters.

但早期，我認為您有信心我們可以透過組織改進、創新和資本高效的市場進入方法以及策略合作夥伴來提高我們的商業效率。此外，我相信我們將在未來幾季透過組織進一步改善營運模式並降低成本。

Next, I'm pleased to share that on July 1, we closed the sale of our Hyaluronic Acid product line of business. While we are not disclosing the financial terms, we were very pleased with this divesture, which represents a meaningful step in advancing our transformation strategy and reinforcing our commitment to focus growth in our two strategic sectors, especially Nutrition Systems and Pain Management and Recovery.

接下來，我很高興地告訴大家，7月1日，我們完成了玻尿酸產品線業務的出售。雖然我們沒有披露財務條款，但我們對此次剝離感到非常高興，這代表著我們推進轉型戰略和加強我們致力於專注於兩個戰略領域（特別是營養系統和疼痛管理和恢復）增長的承諾邁出了有意義的一步。

Now, turning to our second-quarter results. For the quarter, we achieved net sales of $175 million, adjusted for the effects of foreign exchange and the impact of our strategic decision to withdraw from revenue streams that did not meet the return criteria specified our portfolio transformation priority. Organic sales were up 2% compared to a year ago.

現在，我們來談談我們的第二季業績。本季度，我們實現了 1.75 億美元的淨銷售額，並根據外匯影響以及我們根據投資組合轉型優先事項確定的退出不符合回報標準的收入流的戰略決策的影響進行了調整。有機銷售額較去年同期成長了 2%。

[Initially, we regenerate it.] $0.17 of adjusted diluted earnings per share and $17 million of adjusted EBITDA with adjusted gross margins of 55.7% and SG&A as a percentage of revenue of 45.2%.

[最初，我們對其進行再生。 ] 調整後每股稀釋收益為 0.17 美元，調整後 EBITDA 為 1700 萬美元，調整後毛利率為 55.7%，銷售、一般及行政費用佔收入的百分比為 45.2%。

Finally, due to downward pressure on our market capitalization, we assess goodwill from the quarter and recorded a non-cash impairment charge of $77 million in the Pain Management and Recovery reporting unit. Our overall execution this quarter was solid. And the state projects we made against each of our transformation priorities provide confidence in our ability to the ranges of our '25 financials.

最後，由於我們的市值面臨下行壓力，我們評估了本季的商譽，並在疼痛管理和恢復報告部門記錄了 7,700 萬美元的非現金減損費用。本季我們的整體執行情況穩健。我們針對每個轉型重點制定的國家計畫讓我們對實現 25 年財務目標的能力充滿信心。

With that, let me turn the call over to Jason, who will discuss our second-quarter financial results as well as our 2025 outlook.

說完這些，讓我把電話轉給傑森，他將討論我們的第二季財務表現以及 2025 年的展望。

Thanks, Dave. I'll spend the next few minutes discussing our second-quarter results at the segment level. Our Specialty Nutrition Systems portfolio continues to deliver above market results, growing 5% organically versus prior year, reaffirming our number one position in long-term, short-term, and neonatal enteral feeding. Demand for our long-term enteral feeding products remains strong. And our underlying growth continues to be market levels.

謝謝，戴夫。接下來的幾分鐘我將討論我們第二季各部門的業績。我們的專業營養系統產品組合持續提供高於市場的業績，與前一年相比有機成長 5%，重申了我們在長期、短期和新生兒腸內餵食領域的領先地位。我們對長期腸內餵食產品的需求依然強勁。我們的潛在成長仍然保持市場水平。

However, as anticipated and shared during our quarter earnings call, our second quarter performance was tempered by the timing of distributor orders captured in our first quarter results, resulting from our go direct transition in the United Kingdom. Our short-term enteral feeding portfolio posted another quarter of double-digit growth globally from the second quarter. The results were fueled by continued expansion of our US [enteral] offering, inclusive of our newly launched core grip tube retention system designed to reduce the risk of tube migration and dislodgement.

然而，正如我們在季度收益電話會議上所預期和分享的那樣，由於我們在英國實行直銷轉型，我們的第二季度業績受到第一季業績中分銷商訂單時間的影響。從第二季度起，我們的短期腸內餵食產品組合在全球範圍內再次實現了兩位數的成長。這項結果得益於我們不斷擴大美國[腸內]產品線，包括我們新推出的核心抓握管固定係統，旨在降低管移位和脫落的風險。

Finally, our Neonatal Solutions business delivered another excellent quarter growing greater than 12% compared to prior year. As we had previously signaled, we anticipate lower, but still above market growth, for our neonatal product line over the next few years as we get the late stages of the infant adoptions in North America.

最後，我們的新生兒解決方案業務又取得了出色的一個季度，與去年相比成長了 12% 以上。正如我們之前所暗示的，隨著北美嬰兒收養市場的後期發展，我們預計未來幾年我們的新生兒產品線的成長率會有所下降，但仍高於市場成長率。

From a profitability standpoint, operating profit for our Nutrition Systems in the second quarter was nearly 18%, reflecting the impact of tariffs [transit] unfavorable cost absorption. We believe the dynamics we have just discussed provide a foundation for us to deliver mid-single-digit organic revenue growth for our Specialty Nutrition System portfolio in 2025, driven by core commercial execution, new product innovations, and further global market expansion opportunities.

從獲利能力的角度來看，我們營養系統第二季度的營業利潤接近 18%，反映了關稅[運輸]不利的成本吸收的影響。我們相信，我們剛剛討論的動態為我們在 2025 年實現專業營養系統產品組合中位數有機收入成長奠定了基礎，這得益於核心商業執行、新產品創新和進一步的全球市場擴張機會。

Now, turning to our Pain Management and Recovery. Normalized organic sales for this work were up 3.4%, including the impact from foreign exchange and our previously announced strategic decision to withdraw from certain low-growth, low-margin products.

現在，轉向我們的疼痛管理和恢復。這項工作的正常化有機銷售額成長了 3.4%，其中包括外匯的影響以及我們先前宣布的退出某些低成長、低利潤產品的策略決策。

Our Radiofrequency Ablation or RFA business continues to deliver excellent results, hosting near [14%] growth this quarter compared to the previous. We are experiencing sustained growth in our RFA generator capital sales, which enables us to capture higher procedure volumes, especially within our ESENTEC product lines.

我們的射頻消融或 RFA 業務持續取得優異的成績，本季與上一季相比成長近 [14%]。我們的 RFA 發生器資本銷售額持續成長，這使我們能夠獲得更高的處理量，尤其是在我們的 ESENTEC 產品線中。

We credit our renewed ASC strategy and the increasing productivity of our fully deployed new structure supporting these outcomes. Additionally, we are encouraged by the progress of our relief offering internally, leveraging reimbursement payments in several geographies, including the United Kingdom and Japan.

我們認為，新的 ASC 策略和全面部署的新結構所帶來的生產力的提高對這些成果提供了支持。此外，我們對內部救援工作的進展感到鼓舞，並利用了包括英國和日本在內的多個地區的補償金。

Our Surgical Pain business was down compared to prior year, generally in line with our expectations. While the implementation of the reimbursement decision afforded by the NOPAIN Act is taking longer than anticipated, and we are devoting more effort to understanding and addressing coverage denials.

我們的外科疼痛業務與前一年相比有所下降，但整體符合我們的預期。雖然《NOPAIN 法案》規定的報銷決定的實施時間比預期的要長，但我們正在投入更多精力去了解和解決承保拒絕問題。

The NOPAIN Act provides hospitals and caregivers with improved options to administer non-opioid, post-operation pain relief. We're excited to support better patient care through our ON-Q and ambIT product line offerings.

《NOPAIN 法案》為醫院和護理人員提供了更好的選擇，以管理非鴉片類藥物、術後疼痛緩解。我們很高興能夠透過我們的 ON-Q 和 ambIT 產品線提供更好的患者護理。

Finally, our Game Ready portfolio posted slightly lower revenues than a year ago. We are working to increase our go-to market model, primarily in North America, to improve performance and expandability within our portfolio.

最後，我們的 Game Ready 產品組合的收入比一年前略有下降。我們正在努力擴大我們的市場進入模式，主要在北美，以提高我們產品組合的性能和可擴展性。

Operating profit for Pain Management and Recovery, excluding the non-cash impairment charge previously mentioned, grew nearly $2 million from a year ago during the second quarter, demonstrating our recent top line and cost management execution. Although we had some mixed results across our Pain Management and Recovery segment during the second quarter, we are encouraged by the continued progress we saw, particularly within our RFA product line, which continues to make solid organic gains.

疼痛管理和恢復部門的營業利潤（不包括前面提到的非現金減損費用）在第二季度比去年同期增長了近 200 萬美元，體現了我們近期的營收和成本管理執行情況。儘管第二季度我們的疼痛管理和恢復部門取得了一些好壞參半的業績，但我們對所看到的持續進展感到鼓舞，特別是我們的 RFA 產品線，該產品線繼續取得穩健的有機增長。

Finally, our Hyaluronic Acid injections and intravenous infusion product lines reported in [corporate] other declined over 20% during the second quarter, primarily due to continued pricing pressure on our 3 and 5 shot HA categories. As Dave mentioned a few minutes ago, we divested the HA business at the end of July.

最後，我們公司報告的透明質酸注射劑和靜脈輸液產品線在第二季度下降了 20% 以上，這主要是由於我們的 3 和 5 劑 HA 類別持續面臨價格壓力。正如戴夫幾分鐘前提到的，我們在 7 月底剝離了 HA 業務。

Moving to our financial position and liquidity, our balance sheet remains strong and continues to provide us with strategic flexibility with $90 million of cash on hand and $105 million of debt outstanding as of June 30. We have maintained leverage levels meaningfully below 1 term for several quarters and will continue to be good stewards of our balance sheet.

談到我們的財務狀況和流動性，我們的資產負債表依然強勁，並繼續為我們提供戰略靈活性，截至 6 月 30 日，我們擁有 9,000 萬美元現金和 1.05 億美元未償還債務。我們已經連續幾季將槓桿率維持在 1 個期限以下，並將繼續妥善管理我們的資產負債表。

Free cash flow for quarter was negative, approximately $4 million, driven by the timing of tax payments, as well as higher capital expenditures supporting our supply chain initiatives. We anticipate generating approximately $40 million of free cash flow for the year, including the impact of tariffs, which I'll address in a few minutes.

本季自由現金流為負，約 400 萬美元，原因是納稅時間以及支持供應鏈計畫的資本支出增加。我們預計今年將產生約 4000 萬美元的自由現金流，其中包括關稅的影響，我將在幾分鐘內討論這個問題。

From a capital allocation standpoint and as we have previously shared, we have closed on two small transactions that support our Specialty Nutrition System strategy. And we are actively pursuing acquisitions that align with the returns criteria.

從資本配置的角度來看，正如我們之前所分享的，我們已經完成了兩筆支持我們的專業營養系統策略的小額交易。我們正在積極尋求符合回報標準的收購。

Now, turning to our 2025 outlook. Given our robust first and second positions, we are reaffirming our full-year estimate of $665 million to $685 million, inclusive the impact of our Hyaluronic Acid divestiture. We remain confident in Specialty Nutrition System segments' strength for the duration of the year and continued market share gains in our RFA segment.

現在，我們來談談 2025 年的展望。鑑於我們穩固的第一和第二地位，我們重申全年預期，即 6.65 億美元至 6.85 億美元，其中包括我們剝離透明質酸業務的影響。我們仍然對專業營養系統部門在今年全年的實力以及 RFA 部門市場份額的持續成長充滿信心。

Now regarding tariffs, while the environment remains volatile and fluid, we still estimate approximately $50 million in incremental tariff-related manufacturing costs for the year, primarily related to products with country of origin from Mexico and China, consistent with our initial estimate. As a reminder, in the first quarter, we incurred $1.1 million of tariffs, which were capitalized into inventory and amortized in the second quarter through cost of goods sold.

現在關於關稅，雖然環境仍然不穩定且多變，但我們仍然估計今年與關稅相關的製造成本增量約為 5000 萬美元，主要與原產國為墨西哥和中國的產品有關，這與我們最初的估計一致。提醒一下，在第一季度，我們產生了 110 萬美元的關稅，這些關稅被資本化為庫存，並在第二季度透過銷售成本攤銷。

For the second quarter, we incurred over $8 million in tariffs, which we will be expensing in the third quarter. The second-quarter tariffs were negatively impacted by increased China origin goods shipments, with some incurring the 145% tariff rate prior to the US administration reducing the China origin tariffs to 30%.

第二季度，我們產生了超過 800 萬美元的關稅，這些關稅將在第三季支出。第二季的關稅受到中國原產商品出貨量增加的負面影響，在美國政府將中國原產商品關稅降至 30% 之前，部分商品的關稅稅率已達 145%。

Our team continues to implement a range of strategies focused on tariff mitigation actions, including internal cost containment, pricing actions where appropriate, leveraging previously issued temporary tariff exemptions for portions of our portfolio, and lobbying efforts with AdvaMed and other third parties that have interactions with the administration. Lastly, we have accelerated supply chain investments and are targeting a complete exit from China sourced NeoMed products by the second half of 2026.

我們的團隊繼續實施一系列以降低關稅為重點的策略，包括內部成本控制、適當情況下的定價行動、利用先前針對部分產品組合發布的臨時關稅豁免，以及向 AdvaMed 和其他與政府有互動的第三方進行遊說。最後，我們加快了供應鏈投資，目標是到 2026 年下半年完全退出中國產的 NeoMed 產品。

As we noted in our first-quarter earnings call, we entered 2025 with challenging markets for some of our five categories; currency headwinds and other global macroeconomic factors like tariffs. Despite these challenges, currency conditions have improved. Our strategic segment growth is healthy. And our cost management discipline remains strong.

正如我們在第一季財報電話會議上所指出的，進入 2025 年，我們的五大類別中的一些市場將面臨挑戰；貨幣逆風以及關稅等其他全球宏觀經濟因素。儘管面臨這些挑戰，貨幣狀況已經改善。我們的策略部門成長健康。我們的成本管理紀律依然嚴格。

We still face uncertainty on the full impact of tariffs on our profitability and free cash flow, but we are pleased with our commercial progress, thus far, this year. As a result, the company is maintaining its 2025 adjusted earnings per share estimate range of $0.75 to $0.95, inclusive of the impact of our Hyaluronic Acid divestiture.

我們仍然不確定關稅對我們的盈利能力和自由現金流的全面影響，但我們對今年迄今為止的商業進展感到滿意。因此，該公司維持其 2025 年調整後每股收益預估範圍 0.75 美元至 0.95 美元，其中包括我們剝離透明質酸業務的影響。

Operator, please open the line for questions.

接線員，請打開熱線以回答問題。

(Operator Instructions) Dan Stauder, Citizens JMP.

（操作員指示）Dan Stauder，Citizens JMP。

Yeah. Great. Thank you for the questions and the great quarter. And Scott, congratulations on the new role. First just on the 2025 guidance. You reaffirmed a full year on the sales line and that's inclusive of the HA divestitures; impressive and great to see.

是的。偉大的。感謝您的提問以及本季的精彩表現。斯科特，祝賀你擔任新職務。首先是關於 2025 年的指導。您重申了全年的銷售線，其中包括 HA 資產剝離；令人印象深刻，很高興看到。

But I was hoping you could just give us some more high-level color on what you had previously assumed for HA in the second half of '25? And what that implies for SNS and Pain Management as we model out the back half of the year? Thanks.

但我希望您能給我們一些更詳細的信息，說明您之前對 25 年下半年 HA 的預期？當我們預測下半年的情況時，這對 SNS 和疼痛管理意味著什麼？謝謝。

Sure. Thanks, Dani. So yeah -- so we're pleased to be able to affirm the year, inclusive of the impact of HA. Obviously, there's five months of revenue that we're not going to be able to recognize in that business due to the sale.

當然。謝謝，丹尼。是的——我們很高興能夠確認這一年，包括 HA 的影響。顯然，由於出售，我們將無法確認該業務的五個月收入。

So we're pleased with the performance of our futures of SNS and PM&R. Those businesses continue to perform well. We're not disclosing exactly what the impact would be of the foregone HA revenue but we are comfortable reaffirming guidance for the top line and the bottom line.

因此，我們對 SNS 和 PM&R 期貨的表現感到滿意。這些業務繼續表現良好。我們不會透露放棄 HA 收入的具體影響，但我們很樂意重申營業收入和利潤的指導。

Yeah. And Dan, also I'll add, currency headwinds are not as material as we'd anticipated. So that's been a great answer that allows us to follow up with that growth in the strategic segments that we have.

是的。丹，我還要補充一點，貨幣逆風並不像我們預期的那麼嚴重。這是一個很好的答案，它使我們能夠跟進我們所擁有的策略領域的成長。

Okay. Great. Appreciate that. And then I guess a little bit more specific on the RF ablation business, really strong quarter. You touched on some of the dynamics there.

好的。偉大的。非常感謝。然後我想更具體地談談射頻消融業務，這是一個非常強勁的季度。您談到了那裡的一些動態。

But would still love some more color on what's driving growth there and how sustainable do you feel this is in the second half of '25 and into '26? Just anything you're seeing. Any more color would be great.

但仍希望了解更多關於推動那裡成長的因素，以及您認為這種成長在 2025 年下半年和 2026 年的可持續性如何？就是你所看到的一切。如果有更多顏色就更好了。

Yeah. Hi, Dani. This is Dave. A couple things. One, I tend be out there with the team and also attend a couple pain conferences, so I've got a really good, better understanding of the market. And as I spent time with physicians and our customers, as well as our team in the field, I think more and more customers see us as a RF solution company; very dedicated in that area.

是的。你好，丹尼。這是戴夫。有幾件事。首先，我傾向於與團隊一起出去，也參加一些疼痛會議，所以我對市場有了非常好的了解。當我與醫生、我們的客戶以及我們在該領域的團隊相處時，我認為越來越多的客戶將我們視為一家射頻解決方案公司；我們在該領域非常專注。

There's companies with a broader different offerings in pain, but we're very focused. And our ablation, we have a three-tiered offering, which I think also is a very complimentary to what physicians are trying to do when you look at our total portfolio.

有些公司提供更廣泛的不同解決方案，但我們非常專注。我們的消融治療有三個層次，當你看著我們的整體產品組合時，我認為這也與醫生正在嘗試做的事情非常互補。

So given the fact we're dedicated to the space; we've been in the space a long time, we now have the three-tiered offering, and there's a lot of momentum there on the ablation side. And we see that momentum continue. We're very pleased with execution of the field and the portfolio and progress that we're making.

因此，鑑於我們致力於該領域；我們已經在該領域待了很長時間，現在我們提供三層產品，並且在消融方面有很大的發展勢頭。我們看到這種勢頭仍在持續。我們對該領域的執行情況以及我們所取得的成果和進展感到非常滿意。

So yes, we -- I would say feel very good about it and feel good about it in the next year as well. And I do think because we are dedicated to the space -- as you know, there's other companies that have broader offers, I mentioned. But given the fact that we're so focused on it, people see us that as the RF company, at least, that's the takeaway I have from being in the field and the offerings are really quite good in terms of having a three-tier solution.

所以是的，我們——我想說我們對此感覺非常好，並且對明年也同樣感覺良好。我確實認為，因為我們專注於這個領域——正如你所知，還有其他公司提供更廣泛的服務，我提到過。但考慮到我們如此專注於此，人們至少將我們視為一家 RF 公司，這是我從該領域獲得的收穫，而且就三層解決方案而言，我們提供的產品確實相當不錯。

And I think from a numbers perspective, you can see 13.8% growth quarter-over-quarter for the RFA. And what we're seeing is, with our increase in our generator sales, which is a great answer, we're also seeing material pull through.

我認為從數字角度來看，RFA 的環比增長為 13.8%。我們看到的是，隨著發電機銷售的成長，這是一個很好的答案，我們也看到了材料的拉動。

So when we sell the generator, we're actually selling the high prices and margin up that we have. And we're seeing that not just with -- if you sell our generators but you have people that keep those generators and they're continuing to buy from us. So again, that comes back to the sales team is going out there, servicing the customers, and just being able to differentiate our products from what's out there.

因此，當我們銷售發電機時，我們實際上是在以高價和高利潤銷售。我們看到的不僅僅是——如果你銷售我們的發電機，而且有人保留這些發電機，他們會繼續從我們這裡購買。所以，這又回到了銷售團隊的職責，即走出去，為客戶提供服務，並能夠將我們的產品與市場上的產品區分開來。

Great. Thanks. And then just one last one for me. Again on HA divesture. I guess just -- how should we think about how this impacts the income statement longer-term, specifically on the gross and operating margin lines?

偉大的。謝謝。對我來說，還有最後一個。再次討論 HA 資產剝離問題。我想，我們該如何看待這對長期損益表的影響，特別是對毛利率和營業利益率的影響？

We appreciate that you reiterated the bottom-line guide here and understand that there are some other moving parts for the rest of 2025. But as we look out further, what do you feel is more steady state without HA as far as the margin level looks like? Or is it pretty neutral given some of your initiatives that you have in place? Thanks.

我們感謝您在此重申底線指南，並了解 2025 年剩餘時間還有一些其他活動部分。但是，當我們進一步觀察時，就利潤水平而言，您認為沒有 HA 的更穩定狀態是什麼樣的？或者考慮到您已採取的一些舉措，這種看法是否相當中立？謝謝。

Yeah. What I would say, Daniel, is when we looked at what was coming in the back half -- I mentioned to you that we're running the business more from a cash perspective, so we were trying to maintain the revenue. We were potentially lowering our sales prices to make the business work.

是的。丹尼爾，我想說的是，當我們展望下半年的情況時——我跟你提到過，我們更多地是從現金角度來經營業務，所以我們試圖保持收入。我們可能會降低銷售價格以使業務正常運作。

So ultimately, when we look at the financials for the rest of the year, not a material impact on the bottom line when it comes to the HA divestiture. We're able to make up anything that we are losing there or on the revenue side with our strong strategic performance in those segments. So HA, not a material number that we're seeing all the way down to the bottom line.

因此，最終，當我們回顧今年剩餘時間的財務狀況時，我們發現 HA 資產剝離不會對底線產生重大影響。憑藉我們在這些領域的強大策略表現，我們能夠彌補這些領域或收入方面的任何損失。所以 HA，我們看到的不是一個實質的數字。

Yeah. The challenge in that business was not volumes. It was more price. And so, obviously, from a profitability perspective, as we continue to see pressure on margins and HA, the impact there, going forward, from just EPS and EBITDA perspective is limited.

是的。該業務的挑戰不在於數量。價格更高。因此，顯然，從獲利能力的角度來看，由於我們繼續看到利潤率和 HA 的壓力，因此從 EPS 和 EBITDA 的角度來看，未來的影響是有限的。

Great. Thank you very much.

偉大的。非常感謝。

Thank you. And no further questions that came through at this time. I'll now turn the call over back to David Pacitti for closing remarks. Please go ahead, sir.

謝謝。目前沒有其他問題。現在我會把電話轉回給 David Pacitti 做結束語。先生，請繼續。

Yeah. Thanks, everyone. Thanks for the questions today.

是的。謝謝大家。感謝您今天的提問。

And closing, I'm really proud of the progress Avanos has made in transforming our business as demonstrated by our Hyaluronic Acid divestiture. I'm generally pleased with our bright future, driven by the dedication of our teams and a vital role our products really with our customers, which is a great thing, and really getting back to patients and back to things that matter. So we appreciate your continued interest in Avanos and thanks again for the questions.

最後，我為 Avanos 在業務轉型方面取得的進展感到非常自豪，正如我們的透明質酸剝離所證明的那樣。我對我們的光明未來總體上感到滿意，這得益於我們團隊的奉獻精神以及我們的產品對客戶的真正重要作用，這是一件偉大的事情，並且真正回報患者和重要的事情。因此，我們感謝您對 Avanos 的持續關注，並再次感謝您的提問。

Thank you. This concludes our conference call for today. Thank you all for participating. You may now disconnect.

謝謝。今天的電話會議到此結束。感謝大家的參與。您現在可以斷開連線。