賓士域 (BC) 2019 Q3 法說會逐字稿

Good morning, and welcome to the Brunswick Corporation's Third Quarter 2019 Earnings Conference Call. (Operator Instructions) Today's meeting will be recorded. If you have any objections, you may disconnect at this time.

早安，歡迎參加 Brunswick Corporation 2019 年第三季財報電話會議。(接線員指示) 今天的會議將會錄音。如您有任何異議，請於此時中斷連線。

I would now like to introduce Al Marchetti, Senior Director, Investor Relations.

現在我想介紹投資人關係資深總監 Al Marchetti。

Good morning, and thank you for joining us. On the call this morning are Dave Foulkes, Brunswick's CEO; Bill Metzger, CFO; and Ryan Gwillim, Vice President, Finance and Treasurer.

早安，感謝各位加入我們。今天早上的電話會議出席者包括 Brunswick 執行長 Dave Foulkes；財務長 Bill Metzger；以及財務副總裁兼財務主管（Treasurer）Ryan Gwillim。

Before we begin with our prepared remarks, I'd like to remind everyone that during this call, our comments will include certain forward-looking statements about future results. Please keep in mind that our actual results could differ materially from these expectations. For the details on the factors to consider, please refer to our recent SEC filings and today's press release. All of these documents are available on our website at brunswick.com.

在開始我們預先準備的發言之前，我想提醒各位，本次電話會議中的評論將包含若干關於未來結果的前瞻性陳述。請注意，我們的實際結果可能與這些預期存在重大差異。有關需考量因素的詳細資訊，請參閱我們近期向 SEC 提交的文件以及今天的新聞稿。上述文件皆可於我們的網站 brunswick.com 取得。

During our presentation, we will be referring to certain non-GAAP financial information. Reconciliations of GAAP to non-GAAP financial measures are provided in the appendix to this presentation and the reconciliation sections of the consolidated financial statements accompanying today's results.

在簡報過程中，我們將引用若干非 GAAP 財務資訊。GAAP 與非 GAAP 財務衡量指標之調節表，已提供於本簡報附錄，以及隨今日結果一併提供之合併財務報表中的調節章節。

As a reminder, on June 27, 2019, Brunswick completed the sale of its Fitness business. Starting with the second quarter of 2019, the historical and future results of this business are now reported as discontinued operations. Therefore, for all periods presented in this release, all figures and outlook statements incorporate this change and reflects continuing operations only, unless otherwise noted.

提醒各位，Brunswick 已於 2019 年 6 月 27 日完成出售其健身（Fitness）事業。自 2019 年第二季起，該事業的歷史與未來業績現已列報為停業單位。因此，本新聞稿所呈列之所有期間的所有數字與展望陳述，除非另有說明，皆已納入此變更並僅反映持續營業單位。

I would now like to turn the call over to Dave.

現在我想把電話會議交給 Dave。

Thank you, Al, and good morning, everyone.

謝謝你，Al，各位早安。

Our third quarter performance exceeded our expectations, reflecting the continued successful execution of our marine strategy and reinforcing the tremendous confidence we have in the future growth opportunities within each of our businesses. Both gross and operating margins expanded during the quarter despite anticipated reductions in sales, demonstrating the positive effect of our structural cost-reduction activities and improved sales mix as well as the strength of our overall business portfolio.

我們第三季的表現優於預期，反映出我們持續成功執行海事（marine）策略，並強化我們對各項業務未來成長機會的高度信心。儘管銷售如預期下滑，本季毛利率與營業利益率仍雙雙擴張，顯示我們結構性降本措施與銷售組合改善的正面效果，以及整體業務組合的實力。

The more favorable demand environment across the U.S. in the third quarter of 2019, along with planned lower wholesale shipment activity, resulted in better-than-expected pipeline inventory improvements across both boat and engine product lines. We ended the quarter with boats in the field already slightly below the prior year.

2019 年第三季美國整體需求環境較為有利，加上我們規劃中的較低批發出貨活動，使船艇與引擎兩大產品線的通路庫存（pipeline inventory）改善優於預期。本季結束時，市場端（field）的船艇數量已略低於去年同期。

We anticipate 2019 EPS as adjusted of approximately $4.25, which is the midpoint of our previous guidance. We are still confident in our 2020 adjusted EPS target of $5 to $5.50. We will provide additional color throughout the call on factors impacting these targets.

我們預期 2019 年調整後 EPS 約為 4.25 美元，位於先前指引的中點。我們仍對 2020 年調整後 EPS 目標 5 至 5.50 美元充滿信心。在本次電話會議中，我們將就影響這些目標的因素提供更多說明。

I'll now provide some highlights on our segments and the overall marine market. For the Marine Engine segment, solid increases in both gross and operating margins continued the trend for the first half of the year despite lower revenue. Demand for higher horsepower outboard engines remains particularly strong, especially in the 175- to 300-horsepower V6 and V8 categories introduced in 2018. Sales of higher horsepower engines to the dealer channel are up significantly compared to the first 9 months of 2018, resulting in more robust repower activity. Capacity investments to satisfy existing demand and expand market share in this horsepower family remain on target for completion in the fourth quarter with the benefits increasing in 2020.

接下來我將提供各事業部門與整體海事市場的一些重點。在海事引擎（Marine Engine）事業部門方面，儘管營收較低，毛利率與營業利益率的穩健提升延續了上半年的趨勢。高馬力舷外機的需求仍特別強勁，尤其是 2018 年推出的 175 至 300 匹馬力 V6 與 V8 類別。相較於 2018 年前 9 個月，銷售至經銷通路的高馬力引擎大幅成長，帶動更強勁的汰換（repower）活動。為滿足既有需求並擴大此馬力家族市占率所進行的產能投資，仍按計畫於第四季完成，相關效益將於 2020 年進一步提升。

We continue to expand our outboard engine presence in saltwater markets. Our industry-leading engine lineup will be on full display next week at the Fort Lauderdale International Boat Show, including our newest high horsepower outboards, the 400 and 450R. Power Products continues to perform in line with our expectations and its comprehensive line of electrical products has been a perfect complement to our parts and accessories portfolio. The business continues to be accretive to the overall performance of the parts and accessories portfolio.

我們持續擴大舷外機在鹽水市場的布局。我們業界領先的引擎產品線將於下週在羅德岱堡國際遊艇展（Fort Lauderdale International Boat Show）完整展出，包括最新的高馬力舷外機 400 與 450R。Power Products 的表現持續符合我們的預期，其完整的電氣產品線與我們的零件與配件產品組合形成絕佳互補。該業務持續對零件與配件產品組合的整體表現帶來增益（accretive）。

In the Boat segment, revenue and earnings were lower as anticipated due to the planned pipeline reductions I mentioned earlier. As we previewed on the Q2 call, saltwater fishing sales were affected by challenging comparisons between years at Boston Whaler. In the second half of 2019, the business is leaning pipelines in advance of upcoming major product launches compared to strong increases in 2018 due to pipeline fill of new Realm models. At retail, Boston Whaler had a very strong performance in the quarter, particularly in the larger products.

在船艇（Boat）事業部門方面，由於我先前提到的通路去化計畫，營收與獲利如預期較低。如同我們在第二季電話會議中所預告，Boston Whaler 因年度間比較基期具挑戰性，鹽水釣魚船銷售受到影響。2019 年下半年，該業務在重大新產品上市前先行精簡通路，相較之下，2018 年因新 Realm 型號的通路鋪貨而大幅增加。在零售端，Boston Whaler 本季表現非常強勁，尤其是在較大型產品。

The Boat business continues to focus on growing its premium boat brands as well as expanding operating margins. To further these initiatives, 3 important strategic actions were completed during the quarter.

船艇業務持續聚焦於成長其高端船艇品牌，同時擴大營業利益率。為推進這些倡議，本季完成了 3 項重要的策略行動。

First, we formed the Aluminum Boat Group comprised of 7 leading aluminum or pontoon brands to fully leverage our scale and drive operational excellence.

第一，我們成立鋁船事業群（Aluminum Boat Group），由 7 個領先的鋁船或浮筒船（pontoon）品牌組成，以充分發揮規模效益並推動營運卓越。

We also formed the Venture Group that comprises 4 of our value fiberglass brands focused on providing affordable and exceptional boating experiences and expanding boating participation.

我們也成立 Venture Group，包含 4 個主打高性價比的玻璃纖維品牌，聚焦於提供可負擔且卓越的航海體驗，並擴大航海參與度。

Finally, we officially opened the Boat Group Technology Center that joins industry-leading engineering and design functions to create a world-class center for product and technology development and design excellence. I will comment further on new product introductions later in this presentation.

最後，我們正式啟用船艇事業群技術中心（Boat Group Technology Center），整合業界領先的工程與設計職能，打造世界級的產品與技術開發及設計卓越中心。我稍後將在本簡報中進一步評論新產品導入。

Lastly, Freedom Boat Club, our most recent acquisition, announced its 200th franchise location earlier this month and continues to perform as anticipated. This marks 100 new locations for Freedom in just over 3 years, demonstrating the strong growth potential of this business.

最後，作為我們最新的併購案，Freedom Boat Club 本月稍早宣布其第 200 個加盟據點，且持續如預期表現。這代表 Freedom 在短短 3 年多內新增 100 個據點，顯示該業務具備強勁的成長潛力。

Next, I would like to review the year-to-date sales performance of our segments by region on a constant currency basis, excluding acquisitions. In the U.S., total revenues were down 4% while international sales in total were up 4%.

接下來，我想以固定匯率（constant currency）基礎、並排除併購影響，回顧我們各事業部門依地區劃分的年初至今銷售表現。在美國，總營收下滑 4%，而國際市場整體銷售則成長 4%。

International sales for the engine segment, which represent 32% of segment sales year-to-date, increased by 6% with gains in most regions except Canada. Boat segment international sales, which represent 26% of segment sales year-to-date, were down 3%. As expected, European sales continue to be lower due to slower market conditions and the supply constraint caused by the transition from a contract manufacturing relationship that we noted at the beginning of the year. This demand will be fully recovered as we expand our production capabilities at our manufacturing facility in Portugal with minimal investment. The engine segment increase relates to increased demand for 175- to 300-horsepower engines in the European region.

引擎事業部門的國際銷售（年初至今占該部門銷售的 32%）成長 6%，除加拿大外多數地區皆有增長。船艇事業部門的國際銷售（年初至今占該部門銷售的 26%）下滑 3%。如預期，歐洲銷售因市場狀況放緩而持續偏低，且年初我們提及的從委外製造關係轉換所造成的供應限制亦帶來影響。隨著我們以最小投資擴充葡萄牙製造廠的產能，這部分需求將可完全回補。引擎事業部門的成長則與歐洲地區對 175 至 300 匹馬力引擎需求增加有關。

Canadian Boat revenue rebounded in the third quarter, bringing the year-to-date comparison flat versus prior year. As anticipated, the removal of the import tariffs in Q2 of this year spurred a partial recovery in wholesale demand in the region.

加拿大船艇營收在第三季回升，使年初至今與去年同期相比轉為持平。如預期，今年第二季取消進口關稅帶動該地區批發需求部分復甦。

This table provides some color on the performance of the U.S. marine market. In the third quarter, retail trends rebounded in most outboard boat categories, slightly ahead of our expectations, including a very strong increase in September. While still down on a year-to-date basis, the market performance in Q3 suggest healthy consumer sentiment as the challenging weather conditions influenced demand in the first half of the year. SSI data for the U.S. boat market is down 5% on both the year-to-date and trailing 12-month basis.

此表提供一些關於美國海事市場表現的補充說明。第三季，多數舷外機船艇類別的零售趨勢回升，略優於我們的預期，其中 9 月增幅尤其強勁。雖然年初至今仍呈下滑，但第三季的市場表現顯示消費者信心健康，因上半年具挑戰性的天候條件曾影響需求。SSI 數據顯示，美國船艇市場在年初至今與近 12 個月（trailing 12-month）基礎上皆下滑 5%。

NMMA outboard engine unit registrations are up modestly year-to-date with outboards 150-horsepower and above up low double digits and outboards below 150-horsepower down mid-single digits. These results reflect the softness experienced in value pontoon and aluminum fish categories in the first half of the year and strength in premium offerings which are benefiting revenue performance.

NMMA 舷外機引擎單元註冊量年初至今小幅成長，其中 150 馬力及以上的舷外機成長低雙位數百分比，而 150 馬力以下的舷外機則下滑中個位數百分比。這些結果反映出今年上半年平價浮筒船與鋁製釣魚船類別需求偏弱，以及高端產品的強勁表現；高端產品正帶動營收表現。

Closing out the year, we anticipate fourth quarter retail results to be consistent with Q3, resulting in full year retail unit sales being down by mid-single-digit percent, giving us confidence in the retail market environment as we move into 2020.

展望年底，我們預期第四季零售結果將與第三季一致，使得全年零售銷售台數將下滑中個位數百分比；這讓我們在邁入 2020 年時，對零售市場環境更具信心。

We continue to diligently execute our capital strategy and we've made excellent progress against our $400 million share repurchase commitment, which remains on track for completion by the end of the year. We also fully exited our remaining defined benefit pension plans early in the quarter and completed the retirement of our $150 million outstanding senior notes in August.

我們持續嚴謹執行資本策略，且在 4 億美元庫藏股回購承諾上已取得極佳進展，仍按計畫於年底前完成。我們也在本季初完全退出剩餘的確定給付型退休金計畫，並於 8 月完成償還 1.5 億美元未償還的高級票據。

Finally, we recently announced a 14% increase to our quarterly dividend, which represents the seventh consecutive year of dividend increases. This reflects the strength of our marine-focused portfolio, especially the strong and steady profitability of our parts and accessories business and its aftermarket revenue, along with our ongoing commitment to deliver shareholder value. Our balance sheet position and cash flow continue to afford us the opportunity to deploy future capital in a variety of ways depending on market conditions, including for acquisitions, capacity enhancements, debt reduction or further share repurchases.

最後，我們近期宣布將季度股利提高 14%，這是連續第七年調升股利。這反映出我們以海事為核心的投資組合之實力，尤其是零件與配件業務及其售後市場營收所帶來的強勁且穩健獲利能力，同時也展現我們持續為股東創造價值的承諾。我們的資產負債表與現金流狀況，仍讓我們得以視市場情況以多種方式運用未來資本，包括併購、產能提升、降低負債或進一步回購股份。

Now I'll turn the call over to Bill for additional comments on our financial performance.

接下來我把電話交給 Bill，請他就我們的財務表現補充說明。

Thanks, Dave. On an adjusted basis, diluted EPS for the quarter was $1.10, off slightly versus third quarter 2018. Sales were down 6% or 9% without the benefit of completed acquisitions.

謝謝你，Dave。以調整後基礎計算，本季稀釋後每股盈餘（EPS）為 1.10 美元，較 2018 年第三季略為下降。銷售額下滑 6%；若不計已完成併購帶來的貢獻，則下滑 9%。

Operating earnings were down modestly. However, operating margins improved 40 basis points, continuing the first half trend of margin expansion. This resulted in overall operating deleverage performance of 6%.

營業利益小幅下滑。然而，營業利益率提升 40 個基點，延續上半年利益率擴張的趨勢。因此整體營業槓桿（deleveraging）表現為 6%。

Our third quarter overdrive was due primarily to factors Dave described earlier, including accelerated benefits from the previously announced cost control actions and improved sales mix, primarily in higher horsepower engines.

我們第三季的超預期表現，主要來自 Dave 先前提到的因素，包括先前宣布的成本控管措施所帶來的效益加速顯現，以及銷售組合改善，主要體現在較高馬力引擎。

On a year-to-date basis, net sales are up 2% versus 2018 and down 3% without the benefit of acquisitions. Operating earnings on an as adjusted basis have increased by 10% with strong margin growth of 90 basis points, an impressive adjusted operating leverage of 51%.

以年初至今來看，淨銷售額較 2018 年成長 2%；若不計併購效益則下滑 3%。以調整後口徑計算，營業利益成長 10%，營業利益率強勁提升 90 個基點，調整後營業槓桿達到令人印象深刻的 51%。

In the Marine Engine segment, revenue was down 4% with benefits from Power Products and continuing robust demand for higher horsepower outboard engines offset by softness in both outboard engines 150-horsepower and below as well as sterndrive engines. These anticipated reductions are in response to OEM production cuts as a result of the retail market conditions in the first half of the year.

在海事引擎（Marine Engine）部門，營收下滑 4%；Power Products 的貢獻與高馬力舷外機持續強勁的需求，抵銷了 150 馬力及以下舷外機與艉內外機（sterndrive）引擎的疲弱。這些預期中的下滑，是因應上半年零售市場狀況所導致 OEM 減產而做出的回應。

Mercury's adjusted operating earnings were $146.4 million, slightly lower than 2018. Adjusted operating margins improved 60 basis points to 19% and operating deleverage was a very favorable 5%. This performance reflects cost reductions, benefits from Power Products and positive changes in sales mix, which exceeded the impact of lower sales volumes I referenced earlier.

Mercury 的調整後營業利益為 1.464 億美元，較 2018 年略低。調整後營業利益率提升 60 個基點至 19%，營業槓桿下滑（deleveraging）為非常有利的 5%。此表現反映了成本降低、Power Products 的效益以及銷售組合的正向變化，其影響超過我先前提到的銷售量下降所帶來的衝擊。

In the Boat segment, adjusted revenues were lower by 12%. By category, aluminum freshwater sales were down primarily due to planned reductions in value pontoon and aluminum fish products. Recreational fiberglass gains included improvement at Sea Ray and saltwater fishing performance was in line with our previous expectations as Dave noted earlier. Wholesale units sold in the third quarter were down 18% versus Q3 of 2018 with a 10% decrease year-to-date, reflecting adjustments made to production volumes throughout the year in response to muted market demand in the first half of the year.

在船艇（Boat）部門，調整後營收下滑 12%。按品類來看，淡水鋁製船銷售下滑，主要因計畫性降低平價浮筒船與鋁製釣魚船產品。休閒玻璃纖維船的成長包含 Sea Ray 的改善；而鹽水釣魚船表現如 Dave 先前所述，符合我們先前的預期。第三季批發出貨台數較 2018 年第三季下滑 18%，年初至今下滑 10%；反映我們因應上半年市場需求偏弱，全年持續調整生產量。

Overall, average selling prices increased reflecting a more favorable mix and expanded content on boats, along with inflationary price increases. Adjusted operating margins were down and operating deleverage was 23%. This performance was due mostly to the impact of lower sales and production volumes as well as higher discounts, which were partially mitigated by our aggressive actions to manage our cost structure which will continue to benefit performance in future periods.

整體而言，平均售價上升，反映更有利的產品組合、船艇內容配置增加，以及通膨帶動的價格調整。調整後營業利益率下滑，營業槓桿下滑（deleveraging）為 23%。此表現主要是因銷售與生產量下降以及折扣提高所致；我們積極管理成本結構的行動部分抵銷了上述影響，且將在未來期間持續帶來效益。

We made excellent progress against our pipeline reduction targets in the quarter. Dealer pipelines ended the quarter with 30 weeks of boats on hand measured on a trailing 12-month basis, which is now up only 2 weeks from last year. Importantly, on a unit basis, field inventory is down slightly versus the end of the third quarter of 2018. We are now planning for weeks on hand at the end of the year to be flat to down slightly from prior year levels, which positions us very favorably heading into 2020. We anticipate third quarter wholesale trends to continue for the remainder of the year as fourth quarter retail activity is not material due to seasonality and dealers are unlikely to meaningfully adjust stocking plans in advance of the boat show season.

本季我們在達成通路庫存（pipeline）降低目標方面取得極佳進展。以過去 12 個月為基礎衡量，經銷商通路於季末的船艇在手週數為 30 週，較去年僅增加 2 週。更重要的是，以台數計算，外部庫存（field inventory）較 2018 年第三季末略為下降。我們目前規劃年底在手週數將與去年持平或略降，這使我們在邁入 2020 年時處於非常有利的位置。我們預期第三季的批發趨勢將延續至今年剩餘期間，因第四季零售活動受季節性影響並不顯著，且經銷商不太可能在船展季開始前大幅調整備貨計畫。

Our third quarter continuing operations GAAP results also reflect the impact of excluding certain items from our as adjusted results. In operating earnings, these include restructuring, exit, impairment and other charges in the quarter totaling $8.1 million, primarily related to our previously announced structural cost reductions taken across the enterprise.

我們第三季持續營運的 GAAP 結果，也反映了在調整後結果中排除特定項目的影響。在營業利益方面，這些項目包括本季重整、退出、減損及其他費用合計 810 萬美元，主要與我們先前宣布、在全公司推動的結構性成本降低措施相關。

In addition, we incurred $7.5 million of purchase accounting amortization in connection with both the Power Products and Freedom Boat Club acquisitions. As Dave mentioned earlier, we completed the exit of our remaining defined benefit pension plans, which resulted in a $294 million pretax noncash settlement charge related to the unamortized actuarial losses. This amount was also excluded from our as adjusted results for the quarter.

此外，與 Power Products 與 Freedom Boat Club 兩項併購相關，我們認列了 750 萬美元的購買會計攤銷費用。如 Dave 先前提到，我們已完成退出剩餘的確定給付型退休金計畫，因未攤銷的精算損失而產生 2.94 億美元稅前非現金結算費用。該金額亦自本季調整後結果中排除。

We now anticipate full year adjusted diluted EPS of approximately $4.25 per share, which is at the midpoint of our prior guidance range of $4.20 to $4.30 a share. While we are encouraged by third quarter retail activity that has been better than anticipated, we are not anticipating any meaningful change to planned wholesale shipments in the fourth quarter and remain focused on rightsizing pipelines to ensure a clean start to 2020. Ongoing structural cost-reduction activities and a lower share count will continue to benefit comparisons. There are no other material changes to our outlook for the year as we anticipate revenue to be up slightly versus 2018 and operating earnings growth of a mid-single-digit percent due to solid improvement in both gross and operating margins.

我們目前預期全年調整後稀釋 EPS 約為每股 4.25 美元，位於先前每股 4.20 至 4.30 美元指引區間的中點。儘管第三季零售活動優於預期令我們備受鼓舞，但我們不預期第四季計畫中的批發出貨量會有任何顯著變動，並仍專注於調整通路規模，以確保 2020 年能有乾淨的起步。持續的結構性降本活動與較低的流通股數將持續有利於比較基期。我們對今年展望沒有其他重大變動：預期營收將較 2018 年略增，且因毛利率與營業利益率皆有穩健改善，營業利益成長將為中個位數百分比。

Moving to tariffs. There have not been any material shifts in our estimates. The recent news of an interim deal between the U.S. and China, including the delayed increase in the Wave 1 through 3 tariffs from 25% to 30% does not result in any significant change to our full year estimate impact of $17 million to $22 million of pretax earnings. Further, the Wave 4 tariffs will not have any material impact on our current estimate. Additionally, we assume that the exclusion on the 40- to 60-horsepower engines will be extended into 2020.

接著談關稅。我們的估計並未出現任何重大變化。近期美中達成臨時協議的消息，包括將第 1 至第 3 波關稅由 25% 調升至 30% 的措施延後，並不會對我們全年稅前盈餘影響估計（1,700 萬至 2,200 萬美元）造成任何顯著改變。此外，第 4 波關稅對我們目前的估計也不會造成重大影響。另外，我們假設 40 至 60 馬力引擎的關稅豁免將延長至 2020 年。

On the Boat side, the retaliatory tariffs on boat exports to Canada were lifted in the second quarter. As Dave mentioned earlier, this had a favorable impact on wholesale demand comparisons in the third quarter and may continue to benefit demand into 2020. The impact of retaliatory tariffs on boat exports to the EU remains unchanged and incorporated into our plans.

在船艇業務方面，對出口至加拿大的船艇所課徵之報復性關稅已於第二季解除。如同 Dave 先前提到的，這對第三季的批發需求比較帶來正面影響，並可能持續在 2020 年以前支撐需求。對出口至歐盟之船艇所課徵的報復性關稅影響則維持不變，並已納入我們的規劃之中。

I will conclude with an update on certain items that will impact our P&L and cash flow for 2019. We now anticipate free cash flow in 2019 of approximately $260 million. Year-to-date free cash flow of $79 million is trailing our previous expectation due primarily to less favorable working capital performance in the engine segment, mostly in inventory and payables. We anticipate several factors will contribute to performance in the fourth quarter, including earnings and positive working capital trends.

最後我將就若干將影響我們 2019 年損益表與現金流的項目提供更新。我們目前預期 2019 年自由現金流約為 2.60 億美元。年初至今自由現金流為 7,900 萬美元，低於我們先前的預期，主要係因引擎部門營運資金表現較不理想，主要反映在存貨與應付帳款。我們預期第四季將有數項因素有助於表現，包括獲利以及營運資金的正向趨勢。

Offsetting the higher working capital usage is a more favorable cash tax rate compared to our prior estimate. The effective book tax rate for 2019 remains consistent with our previous guidance from the July earnings call.

抵銷較高營運資金使用的是，相較於我們先前估計更有利的現金稅率。2019 年有效帳面稅率仍與我們在 7 月財報電話會議所提供的指引一致。

Finally, as Dave referenced earlier, our share repurchase plan remains on track, resulting in no change to our prior average diluted shares outstanding estimate of approximately 85.5 million.

最後，如同 Dave 先前提到的，我們的庫藏股回購計畫仍按進度進行，因此我們先前對平均稀釋流通在外股數約 8,550 萬股的估計不變。

Our capital strategy assumptions generally remain in line with our estimate from the July earnings call with the exception of slightly lower planned capital expenditures and an increase in our quarterly dividend to $0.24 per share that Dave mentioned earlier.

除略低於原規劃的資本支出，以及如 Dave 先前所提到將季度股利提高至每股 0.24 美元之外，我們的資本策略假設大致仍與 7 月財報電話會議時的估計一致。

I'll now turn the call back to Dave to continue our outlook comments.

接下來我把電話交回給 Dave，繼續說明我們的展望評論。

Thanks, Bill.

謝謝，Bill。

As I mentioned in the opening of this call, we continue to execute against our plans for the year and our overall marine strategy with several key factors driving our future performance. For our Marine Engine business, we anticipate net sales growth in 2019 for the segment in the low single digit percent range with a solid improvement in operating margin. Our priorities for this segment continue to be satisfying demand and expanding market share, especially in the greater than 175-horsepower category. With the added capacity coming online in the fourth quarter, we anticipate additional margin benefits as we satisfy greater levels of demand in the repower and international markets.

如同我在本次電話會議開場時提到的，我們持續依照年度計畫以及整體海事策略執行，並有數項關鍵因素將驅動我們未來的表現。就我們的海事引擎業務而言，我們預期 2019 年該部門淨銷售成長將落在低個位數百分比區間，且營業利益率將有明顯改善。該部門的優先事項仍是滿足需求並擴大市占率，特別是在 175 馬力以上的類別。隨著新增產能於第四季上線，我們預期在滿足翻新換裝（repower）與國際市場更高水準需求的同時，將帶來額外的毛利率效益。

Power Products continues to provide meaningful contributions to the parts and accessories business. We recently announced a new business called Power Products Systems Integrators, which will allow us to partner with OEMs to design comprehensive marine system solutions and add many of the digital switching features that boaters now expect. As a result of all of the portfolio changes we have made in the last 18 months, we are taking a fresh look at our management and internal reporting structure, and anticipate this review may result in a change to our segment reporting. While not finalized, we anticipate changes beginning with the first quarter of 2020. We will provide more information reflecting this potential change on the January earnings call.

Power Products 持續為零件與配件業務帶來具意義的貢獻。我們近期宣布一項名為 Power Products Systems Integrators 的新業務，將使我們能與 OEM 合作設計完整的海事系統解決方案，並加入許多船主目前所期待的數位切換功能。由於過去 18 個月我們所做的所有產品組合調整，我們正重新檢視管理與內部報告架構，並預期此檢視可能導致我們的部門別揭露方式有所變更。雖尚未定案，我們預期變更將自 2020 年第一季開始。我們將在 1 月的財報電話會議上提供更多反映此潛在變更的資訊。

Similarly, the Boat segment continues to execute against its operating and strategic priorities. Our full year outlook is unchanged with projected modest top line and margin reductions in 2019. We will continue to focus our near-term efforts on managing pipeline inventory levels in order to put ourselves in a favorable position entering 2020 with substantial work already completed in the third quarter. Additionally, our structural cost reductions as well as the strategic actions within this segment that I referenced earlier in the call will both provide benefits to our margin expansion plans in 2020 and beyond.

同樣地，船艇部門也持續依其營運與策略優先事項執行。我們對全年展望維持不變，預期 2019 年營收與利潤率將小幅下滑。我們將持續把短期重點放在管理通路庫存水位，以便在進入 2020 年時處於有利位置，而第三季已完成大量相關工作。此外，我們的結構性成本降低，以及我在本次電話會議稍早提到的該部門策略行動，兩者都將為我們 2020 年及以後的利潤率擴張計畫帶來助益。

Freedom Boat Club continues to execute its growth strategy, and we've also started to capitalize on our synergy opportunity with our initial Freedom fleet conversions to Brunswick boats and Mercury engines. Our service and technology businesses also continue to execute against their strategic objectives and augment our outstanding products and distribution network.

Freedom Boat Club 持續執行其成長策略，我們也已開始透過將初期 Freedom 船隊轉換為 Brunswick 船艇與 Mercury 引擎，來實現協同效益機會。我們的服務與科技業務也持續依其策略目標執行，並強化我們卓越的產品與通路網絡。

Our new product introductions, particularly within our premium boat brands, began during the quarter with the new Harris Solstice 230 and 250 pontoon models. These new product offerings demonstrate our focus on technology enhancements as both models have been equipped with CZone digital switching, part of the Power Products System Integrators product offering. You will see future new product launches continue to incorporate innovative technology enhancements that make boating easier.

我們的新產品導入，特別是在高端船艇品牌方面，於本季以全新的 Harris Solstice 230 與 250 浮筒船型號揭開序幕。這些新產品展現我們對技術升級的重視，因為兩款機型皆配備 CZone 數位切換系統，屬於 Power Products System Integrators 的產品方案之一。您將看到未來的新產品上市將持續納入創新技術升級，讓航行更輕鬆。

During our recently completed dealer meetings, overall sentiment has been very positive with excitement around our new product launches. Additionally, we're encouraged by the results from early model year East Coast boat shows with both Sea Ray and Boston Whaler reporting favorable trends compared to the prior year.

在我們近期完成的經銷商會議中，整體情緒非常正面，對我們的新產品上市感到振奮。此外，從新年度機型在美國東岸早期船展的結果來看，我們也受到鼓舞，Sea Ray 與 Boston Whaler 皆回報相較去年呈現有利趨勢。

In closing, our strong third quarter results demonstrates our ability to actively manage in a softer-than-anticipated marine market. Continued operating margin expansion, along with favorable deleverage metrics, highlight the benefits of the significant changes we have made in our portfolio over the past several quarters.

總結而言，我們強勁的第三季結果展現了我們在低於預期的海事市場環境中，仍能積極管理的能力。持續的營業利益率擴張，加上有利的去槓桿指標，凸顯我們在過去數季對產品組合所做重大調整所帶來的效益。

We are confident in our ability to deliver shareholder returns consistent with our long-term strategic plan. We plan to deliver record earnings in 2019 in what would be the 10th consecutive year of adjusted EPS growth. Additionally, we remain confident in our ability to achieve our 2020 EPS target even in the event of a flat retail market in 2020.

我們有信心能依照長期策略計畫，為股東帶來一致的報酬。我們計畫在 2019 年創下創紀錄的獲利，這也將是調整後 EPS 連續第 10 年成長。此外，即使 2020 年零售市場持平，我們仍對達成 2020 年 EPS 目標充滿信心。

We are honored to be named the winner of the Soundings Trade Only Most Innovative Marine Company award. This is further evidence of our commitment to new product introductions, technology-enabled solutions and innovation and inspiration on the water. I'm also pleased to announce the launch of our new corporate website that gives our users a very contemporary view of our marine-focused company. I invite all of you to view the new look and functionality at brunswick.com.

我們很榮幸獲選為 Soundings Trade Only「最具創新海事公司」獎得主。這進一步證明我們對新產品導入、科技驅動的解決方案，以及水上創新與啟發的承諾。我也很高興宣布我們全新企業網站正式上線，讓使用者能以非常現代的方式認識我們以海事為核心的公司。我邀請各位至 brunswick.com 觀看全新的視覺與功能。

Next week marks an important early season saltwater checkpoint with the Fort Lauderdale event kicking off on October 30. We look forward to joining many of you there to see the strength of our high horsepower outboard engine lineup as well as the official debut of 3 of our upcoming major new products: the Boston Whaler 325 and 405 Conquest and our Sea Ray Sundancer 320 Coupe. This is only the beginning of a string of new product introductions across our premium brands over the next 3 to 6 months.

下週將迎來重要的早季鹽水市場檢核點，Fort Lauderdale 活動將於 10 月 30 日揭幕。我們期待在那裡與各位中的許多人相聚，一同見證我們高馬力舷外機產品線的實力，以及我們即將推出的 3 項重大新產品的正式亮相：Boston Whaler 325 與 405 Conquest，以及 Sea Ray Sundancer 320 Coupe。這只是未來 3 到 6 個月內，我們高端品牌一連串新產品導入的開端。

I will now open the line for questions.

我現在開放提問。

(Operator Instructions) Our first question comes from Craig Kennison with Baird.

（接線員指示）我們的第一個問題來自 Baird 的 Craig Kennison。

Dave, can you articulate, I guess, the strategic and financial benefits of your decision to establish the Brunswick Boat Group Tech Center and then also the Aluminum Boat Group? Trying to make sure we have that narrative right.

Dave，你能否闡述一下，你決定成立 Brunswick Boat Group Tech Center，並且也成立 Aluminum Boat Group 的策略與財務效益？我想確認我們把這個敘事說清楚。

Yes. So I think the Boat Group Technology, I think both, Craig, I think both are really related to leveraging the total scale of our operation to deliver improved results at each of our boat brands. So as boats become more technologically advanced, we need more and more specialist capabilities to be able to deliver them. And with a fully distributed set of engineering activities that's not always possible. But consolidating those activities gives you all the capability, gives you the best design resources and the best engineering resources to deploy on each of the brands. And that's what we're doing. We have fantastic engineers and designers and specialists now able to deploy that expertise, particularly on Sea Ray and Boston Whaler, but they're actually also already supporting our other brands with innovative designs and new technology that some of the smaller brands wouldn't necessarily be able to implement on their own. So we're looking here for how do we leverage our scale for a competitive advantage.

可以。所以我認為船艇集團技術中心——我想兩者都是，Craig，我認為兩者其實都與運用我們整體營運規模、以在各個船艇品牌上交付更佳成果有關。隨著船艇變得更具科技含量，我們需要越來越多的專業能力才能交付這些產品。而在工程活動完全分散的情況下，這並不總是可行。但把這些活動整合起來，就能具備完整能力，並擁有可部署到各品牌的最佳設計資源與最佳工程資源。這正是我們正在做的事。我們現在有非常出色的工程師、設計師與專家，能夠部署這些專業，特別是在 Sea Ray 與 Boston Whaler 上，但其實他們也已經在支援我們其他品牌，提供創新設計與新技術，而一些較小的品牌未必能單靠自身就導入這些。因此我們在此要思考的是：如何運用我們的規模來取得競爭優勢。

In terms of the Aluminum Boat Group, that has really been managed as a set of separate brands with individual kind of cost structures within each. So as a consolidated entity, we're able to take out, lean out the cost structure but also implement some capabilities like really contemporary digital marketing that we can deploy across all the brands. So the Aluminum Boat Group gives us a leaner cost structure, at the same time add increased capability for all of the brands.

就鋁製船艇事業群而言，過去確實是以一組各自獨立的品牌來管理，每個品牌都有各自的成本結構。因此，作為一個合併後的整體，我們能夠精簡、瘦身成本結構，同時也能導入一些能力，例如真正符合當代的數位行銷，並可在所有品牌間加以部署。所以，鋁製船艇事業群讓我們擁有更精實的成本結構，同時也為所有品牌增加更強的能力。

Our next question comes from James Hardiman with Wedbush Securities.

下一個問題來自 Wedbush Securities 的 James Hardiman。

So first, a little bit of a clarification. Maybe help us figure out what moved around between 3Q and 4Q. Obviously, 3Q came in better than you thought, but the guidance is at the midpoint of the previous range. So the implication is that fourth quarter's coming down a little bit. So what moved around a little bit? And then it looks like that targeted weeks on hand number is now flat to down as opposed to flat. What's the thought there?

首先，想先釐清一下。也許請幫我們理解一下第三季到第四季之間有哪些變動。顯然第三季的表現比你們原先預期更好，但指引的中位數仍落在先前區間的中點。所以這代表第四季可能會稍微下修一些。那麼，究竟有哪些地方出現了一些變動？另外，看起來你們的目標「庫存週數（weeks on hand）」現在是持平到下降，而不是單純持平。這背後的考量是什麼？

Yes. Thank you, James. So I think, first of all, just taking a step back, I think we're going to come in very solidly for this year. And obviously, we're beginning to transition our focus to 2020. And so setting up for a strong year as we go into 2020. There was some favorable influences in Q3, particularly on margins and cost reductions, which could be a tailwind into Q3 (sic) [Q4] if they persist.

是的。謝謝你，James。我想首先先退一步看整體，我們今年的表現會非常穩健。而且很明顯地，我們也開始把重心轉向 2020 年。因此，我們正在為 2020 年的強勁表現做準備。第三季有一些有利因素，特別是在毛利與成本降低方面；如果這些因素持續，可能會在第三季（原文誤稱）[第四季]形成順風。

On the potential headwind side, it's just a quarter with a -- it's a relatively small quarter. And we don't necessarily know exactly what some of our Mercury customers, for example, OEM customers, are going to do towards the end of the year in December. What the demand will be as we go into the end of the year. So I think for the full year, we obviously want to get -- one of the priorities is getting the pipeline down, and I think we're really ahead of schedule on that and then we'll continue in those efforts. And then we're trying to balance out the tailwinds that we experienced in Q3 with just a little more uncertainty as we get towards, particularly at the end of the fourth quarter. But I would say on a favorable note that as we've entered the fourth quarter, the good retail trends in Q3 are persisting into the beginning of Q4.

至於可能的逆風面，第四季本來就是一個——相對較小的季度。而且我們也不一定能完全掌握，例如我們的一些 Mercury 客戶（例如 OEM 客戶）在年底 12 月會怎麼做。以及在接近年底時需求會是什麼樣子。所以就全年而言，我們顯然希望——其中一個優先事項是把通路庫存（pipeline）降下來；我認為我們在這方面確實進度超前，接下來也會持續努力。同時，我們也在權衡第三季所經歷的順風因素，與在接近年底、尤其是第四季末端時稍高的不確定性。不過從正面來看，進入第四季後，第三季良好的零售趨勢仍延續到第四季初。

James, I would just maybe add to that a little bit. I would direct you to -- when we set the guidance for the second half of the year that was tied to the $4.20 a share to $4.30, as we thought about Q3, we were definitely positioning ourselves towards the bottom end of the range. So that upside certainly contributes to us moving more towards the middle. And there's probably some things from a timing perspective, some operating expenses that ended up being moved from Q3 into Q4 which are timing-related. We've got things like FX that have moved against us marginally, but it still is a low single digit million number worse than what we would have expected 3 months ago. So things like that had kind of contributed to us really positioning ourselves right in the middle of where we thought we'd be 3 months ago.

James，我可能再補充一點。我會請你回頭看——當我們為下半年設定指引時，是以每股 4.20 美元到 4.30 美元為基礎；在思考第三季時，我們其實是把自己定位在區間的下緣。因此，第三季的上行表現確實讓我們更往區間中位數靠攏。另外，從時點角度來看，可能有一些營業費用因為時程因素，從第三季挪到第四季。我們也遇到像匯率（FX）這類因素對我們略為不利，但相較於 3 個月前的預期，差異仍只是低個位數百萬美元的程度。因此，這些因素共同促使我們把定位放在 3 個月前所預期的中位數附近。

Okay. That's helpful. And then maybe a more difficult question. Obviously, the industry had a rough first half of the year, right? A significantly better third quarter. But as we made our way through the quarter, July, I thought the July number was really good just given it was a tough comp, but maybe there was some pent-up demand there. I don't know if you think that was also the case in August. But then, at least according to the SSI, the September was a fantastic number, maybe the best number in a few years. So I guess my question is, how does the demand environment feel to you guys right now? I mean, obviously, the most recent number is up a bunch. Does it feel up? Does it feel flat? Does it feel down? There's a lot of sort of mystery or misinterpretations that we could have based on a month here or a month there. But how does it feel to you guys?

好的。這很有幫助。接著可能是一個比較難的問題。顯然，產業在上半年表現不佳，對吧？但第三季明顯好很多。不過在季度進行的過程中，7 月的數字我覺得非常好，尤其是在比較基期很高的情況下，但也許有一些遞延需求在那裡。我不確定你們是否也認為 8 月也是同樣的情況。但至少根據 SSI 的資料，9 月是非常亮眼的數字，可能是幾年來最好的表現。所以我的問題是，你們現在對需求環境的感受如何？我的意思是，最新的數字大幅上升。你們感覺是上升嗎？感覺持平嗎？還是感覺下降？因為我們可能會因為某一個月或另一個月而產生很多「謎團」或誤讀。但你們的感受到底如何？

I think it feels pretty good. We consistently, I think, said that we thought that the vast majority of the effects in Q1 were weather-related. And that once that weather issue normalizes, begin to see demand more in line with our expectations. And I think that's what we have seen. So despite a number of kind of ups and downs at the macro level, I would say that particularly the recent East Coast boat shows have been very strong. We've seen significant improvements in retail activity over last year. So retail on the ground seems good. The momentum that we had in September seems to be continuing. So I feel like our read on the market was pretty good and I get a good sense of dealer sentiment picking up as well.

我覺得感覺相當不錯。我們一直都說，我們認為第一季的影響絕大多數與天氣有關。而一旦天氣因素回歸正常，需求就會開始更符合我們的預期。我想我們確實看到了這一點。因此，儘管總體層面有一些起伏，我會說，特別是近期東岸的船展表現非常強勁。我們看到相較去年零售活動有顯著改善。所以第一線的零售狀況看起來不錯。9 月的動能似乎仍在延續。因此我覺得我們對市場的判讀相當準確，也感受到經銷商的情緒正在回升。

Our next question comes from Steven Zaccone with JPM.

下一個問題來自 JPM 的 Steven Zaccone。

I just wanted to follow up on the previous comment about Mercury. So as we think about the fourth quarter, should we be expecting propulsion sales to decline again? Obviously, it will be less than the third quarter decline, but would you expect them to still be down? And then just staying within Marine Engine. On the P&A side, it looks like on the organic basis it was down for the second straight quarter. So I understand the market's volatile, but could you just elaborate what's driving the recent P&A weakness and maybe when you expect that to return to growth on an organic basis?

我想就剛才關於 Mercury 的評論再追問一下。所以當我們思考第四季時，我們是否應該預期推進系統（propulsion）銷售會再次下滑？顯然，下滑幅度會小於第三季，但你們是否仍預期會是年減？另外，仍在船用引擎（Marine Engine）範疇內。在 P&A（零件與配件）方面，看起來以有機基礎來看已連續第二季下滑。我理解市場波動很大，但你們能否再說明近期 P&A 走弱的原因，以及你們預期何時有機成長會回到正成長？

Steve, this is Bill. I would comment that your directional comments on Mercury sales in the fourth quarter are correct. They will be down but not down to the same degree they were in Q3. On the P&A business, you got to remember that there's 75% of that business which is aftermarket, which is continuing to be stable and up slightly. The OEM side of that business, which is about the other 25%, is subjected to a lot of the production reductions we're seeing across the marine industry here in the second half. So there's nothing there that causes us any concern. It's behaving exactly the way we thought it would. And the portfolio there is performing the way we would expect it to perform.

Steve，我是 Bill。我會說，你對第四季 Mercury 銷售方向性的評論是正確的。它們會下滑，但下滑幅度不會像第三季那麼大。至於 P&A 業務，你要記得其中有 75% 是售後市場（aftermarket），這部分仍持續穩定並小幅成長。而 OEM 端約占另外 25%，會受到我們在下半年於整個船舶產業看到的各種減產影響。所以那裡沒有任何讓我們擔心的地方。它的表現完全符合我們的預期。而該產品組合（portfolio）的表現也如我們所預期。

Got it. Got it. And then just more broadly on 2020, can you talk to your preliminary top line expectations for next year? Are you expecting both Marine Engine and the Boat segment to return to growth next year? And maybe just what's the best way to rank the drivers that are going to drive the improvement in the top line?

了解。了解。然後更廣泛地談到 2020 年，您能談談對明年初步的營收（top line）預期嗎？您是否預期 Marine Engine 與 Boat 事業部明年都會恢復成長？另外，若要排序推動營收改善的驅動因素，最好的方式是什麼？

Steve, I would say what we've talked about for 2020 is we're going to see organic growth opportunities without any help from the market kind of in that, call it, $0.60 per share range, plus or minus maybe $0.10. It's really comprised of 3 things. It's growth in outboards as we bring new capacity online for the 175- to 300-horsepower engine family. We would expect to see more normal growth in the P&A business as weather normalizes next year. And we would expect to see a pop in wholesale. Remember, we have been a growth in boats. We've been producing and wholesaling well below retail this year. In a stable retail environment, we will naturally see a rebound in wholesale demand to match what's going on at retail. Those 3 things, if you start to think about what the growth would be, it's very close to that mid-single-digit sort of number that we typically will talk about what our organic growth opportunity is. And that's without any help from the market.

Steve，我會說我們對 2020 年所談的是：即使市場不提供任何助力，我們也會看到有機成長機會，大約在每股 0.60 美元的區間，上下可能約 0.10 美元。這主要由三件事構成。第一是舷外機（outboards）的成長，因為我們將為 175 至 300 匹馬力引擎系列新增產能並上線。第二是隨著明年天候回歸正常，我們預期 P&A 業務會出現較正常的成長。第三是我們預期批發（wholesale）會出現一波回升。請記得，我們一直在船艇端成長。今年我們的生產與批發出貨都明顯低於零售端。在零售環境穩定的情況下，我們自然會看到批發需求反彈，以匹配零售端的狀況。這三件事，如果你開始思考成長幅度，會非常接近我們通常所談的中個位數（mid-single-digit）左右，也就是我們典型所說的有機成長機會。而這是在市場沒有任何助力的情況下。

Yes. I think we're very, very excited about the growth opportunities in all the elements of the business in 2020. As we said, even with a flat market, we'll get that growth. We're excited about what's happened in Q3 on the retail side and what seems to be a good start to Q4. We have not talked that much about new product launches either, but I can tell you that 2020 is going to be one of the most exciting product years that we have ever had. And the launches that you see at Fort Lauderdale are just the start of what you will see. So the initial response even to some of the products that we've teased already has been spectacular. So I'm really excited about 2020.

是的。我認為我們對 2020 年各項業務要素的成長機會都非常、非常興奮。如我們所說，即使市場持平，我們也能取得那樣的成長。我們對第三季在零售端的表現，以及第四季看起來不錯的開局感到振奮。我們也沒有太多談到新產品上市，但我可以告訴你，2020 年將會是我們有史以來最令人興奮的產品年度之一。你在 Fort Lauderdale 看到的上市動作，只是你將會看到的一切的開始。因此，即便只是對我們已經先行預告（tease）的一些產品，初步反應也非常驚人。所以我對 2020 年真的非常期待。

Our next question comes from Eric Wold with B. Riley.

我們的下一個問題來自 B. Riley 的 Eric Wold。

Two questions. I guess, first one, you obviously noted that inventory is down slightly in units in September. Can you talk about kind of the level of promotional activity that you kind of saw needed to kind of move that inventory? And then how would you characterize the inventory in terms of maybe boat type and age?

兩個問題。我想第一個，你們顯然提到 9 月的庫存（以台數計）略有下降。你們能談談為了去化這些庫存，你們認為需要的促銷活動大概是什麼程度嗎？另外，就船型與庫齡而言，你們會如何描述目前的庫存結構？

As we said, we increased promotional activity in Q3, but it was essentially in line with the market, I would say. That will moderate in Q4. So that was really helpful in Q3 to get things moving. I would say, inventory levels versus the kind of baseline that we just set, which is about, what, 30, we're about 30 weeks in that right now. As I looked across all of the segments, we're talking about modest differences within a couple of weeks depending on which one you look at. But all of the segments are coming down in line with our expectations. There isn't an anomaly somewhere. I would say the only thing is, as we mentioned, we did pull down Boston Whaler particularly somewhat in excess of the average because of the new product launches that are imminent and will continue through the next 12 months.

如我們所說，我們在第三季提高了促銷活動，但我會說基本上與市場水準一致。第四季會趨於緩和。所以第三季這確實很有幫助，讓整體動起來。我會說，庫存水準相對於我們剛設定的基準（大約是 30 週），我們目前大概就在 30 週左右。我檢視各個事業部後，我們談的是小幅差異，視你看哪一個，差距大概在幾週以內。但所有事業部的庫存都正依照我們的預期下降。沒有哪裡出現異常。我會說唯一的例外是，如我們提到的，我們確實把 Boston Whaler 的庫存拉得更低一些，特別是略高於平均的幅度，因為新產品上市迫在眉睫，且未來 12 個月會持續推出。

Okay. And then just a follow-up question, a broader question, maybe one that's kind of tough to answer. But as you have conversations with your dealers, especially as you move into boat show season, are you seeing any changes in purchasing behavior from boat buyers, maybe things around financing needs and approvals, price points they're gravitating towards, time to make a purchase decision, anything you'd kind of point to there?

好的。接著一個追問，是比較廣泛、可能也比較難回答的問題。但當你們與經銷商對談、尤其進入船展季時，你們是否看到船艇買家的購買行為有任何改變？例如融資需求與核准情況、他們偏好的價格帶、做出購買決策所需時間等，有沒有什麼你們會特別指出的？

No. I would say that we haven't seen any material change in financing. I would say that we continue to see in the early or late season shows, depending on which way you look at it, the East Coast shows, we've seen particular strength in the large Sea Ray and the large Boston Whaler. I would say, as you probably noted in the recent SSI though, improvements were across the board, but I would say that trending towards the more premium brands.

沒有。我會說我們沒有看到融資方面有任何重大變化。我會說，我們持續在季初或季末的展會（看你怎麼定義）——也就是東岸的展會——看到大型 Sea Ray 與大型 Boston Whaler 特別強勁。我會說，不過如你可能在近期的 SSI 中注意到的，改善是全面性的，但我會說趨勢是更偏向高端品牌。

Our next question comes from Tim Conder with Wells Fargo Securities.

我們的下一個問題來自 Wells Fargo Securities 的 Tim Conder。

Just a couple of clarifications here and then one question. The channel inventory clearance, Bill, can you give us any color on a year-over-year basis or absolute dollars how much the incentives or promos related to that in Q3 impacted margins? And then just to clarify a prior statement, you're looking at for 2020 in marine retail units to be flat in the U.S. or was that a global or yes, yes to that? And then one base question is related to the ramp in the high horsepower outboards. I thought you guys might be shipping more in Q4. It sounds like that's potentially pushed back a little into 2020. Has there been any shift in the timing of that ramp or those shipments or is that still is what you had originally planned all along?

這裡先做幾點釐清，然後一個問題。關於通路庫存去化（channel inventory clearance），Bill，你能否提供一些資訊：以年對年或以絕對金額來看，第三季與此相關的獎勵或促銷對毛利率造成了多大影響？另外釐清先前一句話，你們對 2020 年海事零售台數的看法是美國持平，還是全球持平，或是——是的，是的就是那個意思？然後一個基本問題是關於高馬力舷外機的爬坡（ramp）。我原本以為你們第四季可能會出貨更多。聽起來可能稍微往後延到 2020 年。那個爬坡或出貨時點是否有任何變動，還是其實一直都符合你們原先的規劃？

Yes. Maybe I'll take the last one first, Tim. It's Dave. Yes, there's been no change at all. The ramp-up in the unit daily volume has been ongoing and continues into Q4 as that additional capacity comes online. So we are already going to start getting additional benefit in Q4, but the majority of it will come as we enter 2020.

是的。Tim，也許我先回答最後一題。我是 Dave。是的，完全沒有任何變動。隨著新增產能上線，單位日產量的爬坡一直在進行，並且會延續到第四季。所以我們在第四季就會開始獲得一些額外效益，但大部分效益會在進入 2020 年時顯現。

Tim, if you look at the year-over-year margin movements in Boats in Q3, about 1/3 of that was related to discounts. So if we're down 240 basis points, it comprises about 1/3. If you think about overall discount levels in the quarter, it's a fairly small number compared to the overall sales volume. So we're not talking of double-digit millions number here, it's more of a single-digit millions number just to kind of put it into context.

Tim，如果你看第三季船艇業務（Boats）的年對年毛利率變動，大約有三分之一與折扣有關。所以如果我們下降 240 個基點，其中約三分之一是由此構成。如果你看本季整體折扣水準，相對於總銷售量而言是相當小的數字。所以我們不是在談數千萬美元的規模，而是更接近個位數百萬美元的規模，提供你一個脈絡。

And when you think about our assumption for next year in 2020, I would say it triangulates to a flat unit, flat dollar sort of an assumption. So I think if you consider what we've seen in the market relative to ASP growth and things like that, we're just assuming flat on both. And I would say, we are not at this point in time making a market call. It is more of a, without any help from the market, we feel that we've got $1 per share of growth opportunities that helps us get up into that $5 to $5.50 per share range next year.

至於我們對明年 2020 年的假設，我會說推算起來是台數持平、金額也持平的假設。所以我認為，考量我們在市場上看到的 ASP 成長等因素，我們就是假設兩者都持平。我也會說，我們目前並沒有對市場做出判斷。比較像是：在市場不提供任何助力的情況下，我們認為我們有每股 1 美元的成長機會，這能幫助我們明年達到每股 5 到 5.50 美元的區間。

And our next question comes from Michael Swartz with SunTrust.

我們的下一個問題來自 SunTrust 的 Michael Swartz。

Just wanted to start off on just the engine margins during the quarter. I'm just trying to get a sense -- Tim was well ahead of what I was looking for, but just trying to get a sense of how much of that is product mix towards the higher horsepower versus aftermarket OEM versus some of the cost savings you've seen, if there's any easy way to bucket that, would appreciate it.

我想先從本季的引擎毛利率談起。我只是想了解一下——Tim 的表現遠優於我原先的預期，但我想釐清其中有多少是來自產品組合偏向較高馬力、相較於售後市場/OEM 的組合變化，或是你們看到的一些成本節省；如果有任何簡單的方式可以分類說明，將不勝感激。

Yes. Michael, I'll take that one. I'd say, in Q3, we got favorable effects from mix. We got favorable effects from operating expense benefits. I'd say the operating expense reductions and cost management activities are greater than mix. Headwinds, we're certainly operating at lower production levels and tariffs in the quarter are not a bad guy. A year ago, we were actually incurring tariffs. We were recording expense for tariffs on the 40- to 60-horsepower engines which were subsequently reversed in Q4. That actually ends up being a little bit of a headwind for us in Q4.

好的。Michael，我來回答這題。我會說，在第三季，我們從產品組合獲得了正面效益。我們也從營業費用的效益中獲得正面影響。我會說，營業費用的降低與成本管理活動帶來的效益大於產品組合的效益。至於逆風，我們確實是在較低的生產水準下運作，而且本季關稅並不是壞人。一年前，我們其實是在承擔關稅成本。我們曾就 40 到 60 馬力引擎的關稅入帳費用，而該費用之後在第四季被沖回。這實際上會在第四季對我們形成一點逆風。

Okay. Great. And sticking with tariffs, understanding that Wave 3 going to 30% and List 4 wouldn't have much, if any, impact to '19. But is there a way to think about what the annualized impact of those 2 items would be as we think about 2020, maybe what the increment would be?

了解。很好。延續關稅的話題，理解第三波（Wave 3）提高到 30% 以及清單 4（List 4）對 2019 年應該幾乎沒有影響（如果有的話）。但在思考 2020 年時，有沒有辦法估算這兩項的年化影響，或可能增加的幅度？

Yes. Michael, it's Ryan. I'll take this one. Yes. I mean, what we're looking at now is something very similar to the impact in 2019. Could there be a small increase depending on percentages moving around depending on additional componentry coming in from China related to the 175- to 300-horsepower capacity improvement? Yes. I think you could see that, but it would be a low to mid-single-digit million number. So we anticipate tariff impact as we know them today to be roughly the same as this year with maybe a slight increase.

有的。Michael，我是 Ryan。我來回答這題。是的。我的意思是，我們目前看到的情況與 2019 年的影響非常相近。是否可能會有小幅增加，取決於比例的變動，以及與 175 到 300 馬力產能提升相關、從中國進口的額外零組件？是的。我認為你可能會看到這種情況，但金額會是低到中個位數百萬美元的水準。因此，以我們今天所知的關稅影響來看，預期大致與今年相同，可能略有增加。

Okay. So the increase would be low to mid-single digits, not?

了解。所以增加幅度會是低到中個位數，而不是？

Correct. Correct.

正確。正確。

Our next question comes from Gerrick Johnson with BMO Capital Markets.

我們的下一個問題來自 BMO Capital Markets 的 Gerrick Johnson。

A couple of questions. First, on outboards, the decline in sub-150-horsepower. Is that purely market-driven or perhaps are you losing some share in that market?

我有幾個問題。首先，關於舷外機（outboards），150 馬力以下的下滑。這純粹是市場驅動，還是你們在那個市場可能流失了一些市占？

No. Our share continues to be very strong. It really is related to the softness that we experienced in pontoon and the fishing boat, aluminum fishing boat sales in the first half of the year. We have an extremely strong lineup, 150-horsepower and below, in addition to the substantially new lineup which is above that horsepower range. So the other good news for us is, I think, as we free up the constraint on the new outboard family, which was 175 to 300 but now includes the 450, and begin to use that to gain further market share, we will pull along the rest of the product portfolio with us. Most companies that we are talking with already about taking our engines want a full portfolio, not just the new engines. So really, we expect that capacity in the 175 to 300 not just to unlock market share opportunities in that range but to unlock a full portfolio of market share opportunities.

不是。我們的市占仍然非常強勁。這確實與我們在上半年於浮筒船（pontoon）以及釣魚船、鋁製釣魚船銷售所經歷的疲弱有關。我們在 150 馬力及以下有非常強的產品陣容，此外在更高馬力區間也有大幅更新的產品線。所以對我們而言另一個好消息是，我認為當我們解除新舷外機家族的產能瓶頸（原本是 175 到 300，現在也包含 450），並開始利用它來進一步提升市占時，我們也會帶動其餘產品組合一起成長。我們正在洽談的多數公司，在採用我們引擎時都希望有完整的產品組合，而不只是新引擎。因此我們預期 175 到 300 的產能，不僅能解鎖該區間的市占機會，也能解鎖整個產品組合的市占機會。

Excellent. And then the inventory in the field, relatively flat, but how is the aging? What is the average age of a unit out there compared to last year?

很好。接著，通路端的庫存相對持平，但庫存老化情況如何？目前外部單位的平均庫齡與去年相比如何？

We track really stuff that's 12 months and older, and that's still in excellent shape on a historical basis, maybe elevated a little bit, Gerrick, but still in very excellent shape. And we're also looking at the composition of 2019 model year product versus 2020. We made a lot of headway in Q3 rebalancing that to more align with where you would expect it at this point in time. It's still a little bit higher than it was. But if you look at some of the historical activity there, we are still at very comfortable levels. So nothing that creates any sort of material risk for us or gives us any concern looking forward.

我們主要追蹤的是庫齡 12 個月以上的項目，而從歷史角度來看目前仍然非常健康；Gerrick，可能略微偏高一點，但仍然非常健康。我們也在看 2019 年式產品與 2020 年式產品的組成。我們在第三季在重新平衡方面取得了很大進展，使其更符合此時點你會期待的狀態。目前仍比之前略高一些。但如果你看一些歷史活動，我們仍處在非常舒適的水位。因此沒有任何會對我們造成重大風險或讓我們對未來感到擔憂的事情。

Great. And David, I have one more that I've had a lot of request for me to ask this one. Last quarter, I asked you your confidence in your 2020 guidance on a scale of 1 to 10 and I think you said 11 to 12. So I have to ask again, where are we on that scale right now?

很好。David，我還有一個問題，很多人請我一定要問。上季我問你對 2020 年指引的信心，若以 1 到 10 來衡量，我記得你說是 11 到 12。所以我得再問一次：現在在那個量表上，我們在哪裡？

We're north of 11 to 12, Gerrick. I would say that I'm very excited about the progress that we have made setting out for 2020, both on the inventory side, on some tailwinds on retail. So very, very confident, let's say 15 this time. I don't know. We throw out a number there.

我們在 11 到 12 之上，Gerrick。我會說，我對我們為 2020 年所做的準備進展感到非常振奮，包括庫存面，以及零售端的一些順風。所以非常、非常有信心，這次就說 15 吧。我也不知道。我們就隨口給個數字。

Our next question comes from Joe Altobello with Raymond James.

我們的下一個問題來自 Raymond James 的 Joe Altobello。

Just want to go back to inventories for a second. The expectation now is to end 2019 with weeks on hand flat to down slightly, which implies a modestly more aggressive reduction than we were talking about 3 months ago. It sounds like you expect weeks on hand to remain about flat next year as well or at least that's what's baked into the $5 to $5.50 EPS guidance. And the reason I ask that is, we've heard different things from different manufacturers in recent weeks, but it sounds like you're not hearing any heightened conservatism among dealers or floorplan lenders at this point going into 2020.

我想再回到庫存話題一下。目前的預期是 2019 年底的在手週數（weeks on hand）持平或小幅下降，這意味著相較於三個月前我們談到的，你們將進行稍微更積極的去化。聽起來你們也預期明年在手週數大致維持持平，或至少這已反映在每股盈餘（EPS）5 到 5.50 美元的指引中。我之所以這麼問，是因為近幾週我們從不同製造商聽到不同說法，但聽起來你們目前並未感受到經銷商或庫存融資（floorplan）貸款方在進入 2020 年時有任何更高程度的保守態度。

There's certainly no sort of conservatism being put on by the floorplan lenders. I think, us specifically, we have been extremely proactive of managing inventories with our dealers to get them where they want to be at the end of the year. So I'm very, very comfortable with where we're going to end the year. And I think, at the margin, we're not talking about a significant sort of adjustment in metrics at the end of the year. It's a week. It's not 4 or 5, which would indicate a much more material shift in dealer sentiment. I just think in advance of the boat shows, there's probably some desire to see a bit more of the model year '19 product clear through the channel in advance of stocking product for 2020. And I don't expect that to be a big issue once the calendar turns into 2020.

庫存融資貸款方當然沒有施加任何保守作法。我想就我們而言，我們一直非常積極地與經銷商一起管理庫存，讓他們在年底達到他們希望的水位。所以我對我們年底的結束水位非常、非常放心。而且我認為，就邊際變化而言，我們談的並不是年底指標上很顯著的調整。是一週。不是 4 或 5 週；若是 4 或 5 週，才會顯示經銷商情緒出現更實質的轉變。我只是認為在船展之前，可能會希望讓一些 2019 年式產品在通路中更順利地清掉，之後再為 2020 年備貨。而我不預期在日曆翻到 2020 年後，這會成為大問題。

Okay. It's very helpful. And then just switching gears to CapEx. The outlook this year is now $230 million. I guess it was $240 million, $260 million. What's the reason for the reduction? And as we think about what a normalized level of maintenance CapEx is for you guys, obviously, excluding the capacity investments, what does that look like for 2020 and beyond?

好的。這非常有幫助。接著切換到資本支出（CapEx）。今年的展望現在是2.30億美元。我想之前是2.40億美元、2.60億美元。下調的原因是什麼？另外，當我們思考你們正常化的維護性資本支出水準時，當然不包含產能投資，2020年及之後大概會是什麼樣子？

So I would say the reduction has been a little bit of just re-evaluating projects and timing, but a lot of it is just payment timing. When things get done, when they get paid for is how it rolls through the cash flow statement. So this is not a material change in any of our capacity plans at Mercury or any of our new product development plan. So all of that stuff remains very much intact. Normal run rate, we typically talk about 3.5% to 4% of sales. I think that puts us in a position where we're both investing in product at fairly healthy levels and increasing capacity on a measured basis to meet what increased demand is. I think what you've seen happen this year is a meaningful step-up as we introduce new product and raised capacity beyond what we would normally do really pushed us into that $250 million range this year, now $230 million.

我會說，這次下調有一小部分是重新評估專案與時程，但很大一部分只是付款時點的差異。事情何時完成、何時付款，會如何反映在現金流量表上。所以這並不是我們在Mercury的任何產能規劃或任何新產品開發計畫的重大變動。因此，這些都仍然非常完整地維持不變。就正常的運行水準而言，我們通常談的是銷售額的3.5%到4%。我認為這讓我們能在相當健康的水準上投資產品，同時以審慎的步調擴充產能，以滿足需求增加。我想你今年看到的是一個顯著的提升：因為我們推出新產品，且把產能提高到超出我們通常會做的程度，確實把今年推到約2.50億美元的區間，而現在是2.30億美元。

Again, I just want to reinforce, there is no change to our plans for capacity expansion, and we have not adjusted any of our product development plans.

再次強調，我們的產能擴張計畫沒有任何改變，我們也沒有調整任何產品開發計畫。

Got it. Okay. But is that 3.5% to 4% number a good number for 2020 or you think more 2021?

了解。好的。但這個3.5%到4%的數字，對2020年來說是個合適的數字嗎？還是你覺得更像是2021年？

No. That's a good number.

不。那是個合適的數字。

Our next question comes from Scott Stember with CL King.

下一個問題來自CL King的Scott Stember。

Yes. Can we talk about on the repower side. I think you mentioned some excellent growth there this last quarter. And certainly, the new family of engines is certainly helping there. But can you maybe talk about the different parts of the world where you're seeing the most growth?

是的。我們可以談談換裝（repower）這一塊嗎？我想你提到上季那邊有很不錯的成長。而且新的引擎系列確實在那方面有所幫助。但你能否談談你們在哪些世界地區看到最多的成長？

A substantial portion of the repower market is in the U.S. And really, as we progressively unlock additional capacity on the new engine family, we have had pent-up demand in our dealer channel to be able to accept new engines for repower. And we're beginning to be able to satisfy that, which have been a constraint last year and even earlier this year. So repower market is particularly strong in the U.S., I would say, and also in other areas. Dealers, the channel to market in other areas outside the U.S. is a little different to in the U.S. In the U.S., it is predominantly OEM with some repower. In Europe, for example, almost all engines go through a dealer channel. So it's a little different measurement outside, but I would say, good growth in the U.S. as we've been able to free up more capacity.

換裝市場有相當大一部分在美國。實際上，隨著我們逐步釋放新引擎系列的額外產能，我們的經銷通路一直有累積的需求，希望能接收新的引擎用於換裝。而我們現在開始能夠滿足這些需求；這在去年、甚至今年更早的時候一直是個限制因素。所以我會說，換裝市場在美國特別強勁，其他地區也不錯。美國以外地區的經銷商／通路模式，和美國有些不同。在美國，主要是OEM，並有部分換裝。例如在歐洲，幾乎所有引擎都透過經銷通路。所以在美國以外的衡量方式會有點不同，但我會說，隨著我們能釋放更多產能，美國的成長表現良好。

Got it. And then lastly, you might have touched on this earlier, I might have missed it. But just for 2020, just priorities for cash and I know you guys are completing your or getting close to completing your share repurchase plan that you talked about before, but how do we expect to prioritize the buckets for 2020?

了解。最後一個問題，你可能先前有提到，我可能漏聽了。但就2020年而言，現金運用的優先順序是什麼？我知道你們正在完成、或接近完成先前提到的股票回購計畫，但我們預期2020年會如何在各個用途之間分配優先順序？

Well, we will, obviously, have continued capital investments, not quite at the level that we were at this year. We expect to complete our $400 million commitment for share repurchases in 2019. However, we have authorization for another $200 million beyond that should market conditions allow. And then we have continued to mention that we will continue to look at acquisitions, particularly parts and accessories and annuity-related businesses that fit more into our P&A portfolio and maybe our service business portfolio. Do you have any other comment, Bill?

嗯，我們顯然會持續進行資本投資，但不會像今年這麼高。我們預期在2019年完成4.00億美元的股票回購承諾。不過，在市場狀況允許的情況下，我們還有額外2.00億美元的核准額度。此外，我們也持續提到會繼續尋找併購機會，特別是零件與配件，以及與年金型（annuity-related）業務相關、較符合我們P&A產品組合、也可能符合我們服務業務組合的標的。Bill，你還有其他補充嗎？

No. That's perfect.

沒有。這樣很完整。

Our next question comes from David MacGregor with Longbow Research.

下一個問題來自Longbow Research的David MacGregor。

I wonder if you can just talk about materials and component costs and the extent to which that provided any kind of benefit in the third quarter and just maybe your expectations for fourth quarter? Then I've got a quick follow-up.

我想請你談談材料與零組件成本，以及第三季在多大程度上帶來任何形式的助益，並請談談你們對第四季的預期。然後我有個簡短的追問。

David, I think commodity costs have been pretty under control. We have seen very normal levels of inflation, if you like, on the cost side, nothing extraordinary. I wouldn't say they provided a benefit. I wouldn't say they were a headwind either.

David，我認為大宗商品成本一直控制得相當好。在成本端，我們看到的是非常正常的通膨水準（如果你要這麼說的話），沒有什麼特別異常。我不會說它們帶來了助益。我也不會說它們形成了逆風。

Yes. I would just say, sequentially, we're starting to see year-over-year trends start to normalize a little bit. I'd say, we went through a period for 12 months or so where we saw a bit more elevated inflation and then associated price increases. As we get into the back half of the year here, both of those are much more kind of in line with what historical trends would have been.

是的。我會說，就序列（sequentially）來看，我們開始看到年對年趨勢稍微回到常態。我想我們曾經有大約12個月左右的期間，看到通膨稍微偏高，並伴隨相應的漲價。進入今年下半年後，這兩者都更接近歷史趨勢的水準。

I would say, just connecting to a backlog question that Craig Kennison asked earlier about, the value of things like the Aluminum Boat Group. Part of the value there is us approaching commodity suppliers and component suppliers as a complete entity and making sure that we are realizing the economies of scale that we should be expecting considering the size of our buys. So in addition to the product development and SG&A reduction that is afforded by the organizational changes that we made, we will be using that to leverage the product cost as well.

我會說，連結到Craig Kennison先前問到的積壓訂單（backlog）問題，例如像鋁製船艇事業群（Aluminum Boat Group）這類項目的價值。其中一部分價值在於：我們以一個完整的實體身分去接洽大宗商品供應商與零組件供應商，並確保以我們的採購規模而言，能實現我們應該期待的規模經濟。因此，除了我們因組織調整而獲得的產品開發與SG&A（銷售、一般及行政費用）降低之外，我們也會利用這點來槓桿化產品成本。

Is there any way to think quantitatively about the benefit of that scale advantage?

有沒有什麼方式可以用量化的角度來思考這個規模優勢所帶來的效益？

Yes. I think it's certainly, we will begin to see the benefits of it next year. It will become more apparent in the bottom line.

有。我認為我們肯定會在明年開始看到它的效益。它會在最終獲利（bottom line）上變得更明顯。

And just my follow-up...

那我追問一下……

Dave, I think we've been pretty direct with people that we have aspirations to get the margin of that business to be double digit over time. And this is certainly one of several levers that we have at our disposal to contribute to that.

Dave，我想我們一直很直接地跟大家說，我們的目標是讓那項業務的利潤率隨時間推進達到雙位數。而這確實是我們手上可運用的數個槓桿之一，有助於達成該目標。

Yes. I can tell you we are laser-focused on that and we are putting in place or actually executing on all the levers we need.

是的。我可以告訴你，我們對此高度聚焦，而且我們正在建立、或者說其實正在執行我們所需要的所有槓桿。

Okay. And just quick follow-up, I guess on this additional capacity in the engine business. It's kind of exciting, I guess, in terms of what it could mean for growth, but can you help us or just remind us in terms of just the extent to which it will enable growth? I mean, how much additional capacity are you putting in place? And does it kind of cadence up over 2020 or is there kind of a step function increase and then it's really up to you to sell that capacity going forward?

好的。再一個簡短追問，我想是關於引擎業務的額外產能。就它對成長可能意味著什麼而言，這有點令人振奮；但你能否協助我們、或提醒我們，關於它能在多大程度上帶動成長？也就是說，你們正在建置多少額外產能？而它是在2020年逐步爬升，還是會有一個階梯式（step function）的增加，之後就主要取決於你們未來如何把這些產能賣出去？

Let me see, in the new family of engines that we introduced, which is where the capacity is really mostly going in, we have stated roughly a 20% or so increase in capacity available to us as we go into 2020. I think our manufacturing operations in Mercury does a wonderful job of teasing out every engine. So I would expect them to continue to optimize that new capacity over time, but it is a very material increase and certainly will unlock the opportunity for market share gains that have really been there but just latent as we've been waiting for the capacity to come online.

讓我想想，在我們推出的新一代引擎系列中——也就是產能主要投入的地方——我們已表示，隨著進入2020年，我們可用產能大約將提升20%左右。我認為我們在Mercury的製造營運在把每一具引擎的效能發揮到極致方面做得非常出色。因此我預期他們會隨時間持續優化這新增產能，但這是一項非常重大的提升，並且肯定會釋放出取得市占率提升的機會；這些機會其實一直存在，只是因為我們一直在等待產能上線而暫時被擱置。

And our next question comes from Joseph Spak with RBC.

下一個問題來自RBC的Joseph Spak。

Just, I guess, a quick follow-up on the last question, maybe you answered it. But it does seem like on the Boat side the focus maybe is more on margin expansion at this point, and I think you mentioned that sort of double digit target. But is that achievable even if a relatively sort of flat outlook over the midterm? And if so, is that just from, I guess, greater efficiency and utilization in the plants or what's sort of the driver of that?

我想就上一個問題做個簡短追問，也許你已經回答了。但看起來在船艇業務這邊，目前的重點可能更偏向毛利率擴張，而我記得你提到過類似雙位數的目標。但即使中期展望相對持平，這也能達成嗎？如果可以，是因為工廠端更高的效率與產能利用率，還是主要驅動因素是什麼？

Is it achievable with a flat market in the medium term? Yes is the answer to that. We have a number of things that are going on, including in the areas that you mentioned around operational performance improvement. The leverage that we have, as I've mentioned in some kind of earlier calls, in getting our manufacturing efficiency up to already demonstrated levels in our best plants is very, very large. But on top of that, the kind of cost-reduction efforts that will begin to bear fruit strongly, particularly in 2020, they're actually showing some benefit already. And we have all the levers we need to get to double digits.

在中期市場持平的情況下能達成嗎？答案是可以。我們正在推進多項工作，包括你提到的營運績效改善等領域。正如我在先前幾次電話會議中提到的，我們所擁有的槓桿非常大：把製造效率提升到我們最佳工廠已經證明可達到的水準。除此之外，成本降低的各項努力也將開始明顯開花結果，特別是在2020年；其實現在已經開始看到一些效益。而且我們具備達到雙位數所需的所有槓桿。

And I would say our product investments, Joe, are very much focused on places where we believe a lot of the significant profit opportunities are. If you look at what we're doing at Boston Whaler, if you look at what we're doing at Sea Ray, even brands like Lund and Harris where we've got opportunities to satisfy demand in premium markets, all of that stuff should be very helpful to get to where our targets are.

另外我想說，Joe，我們的產品投資非常聚焦在我們認為存在大量重大獲利機會的領域。如果你看看我們在Boston Whaler的作為、我們在Sea Ray的作為，甚至像Lund與Harris這些品牌——我們在高端市場有機會滿足需求——這些都將非常有助於我們達成目標。

Are you willing to indicate how many of the plants are sort of not at that best-in-class level?

你願意說明一下，有多少工廠目前還沒有達到那種同級最佳（best-in-class）的水準嗎？

I would say that we have strongly demonstrated very high capability in several plants, but there are several others that have opportunities. So I wouldn't be more specific than that.

我會說，我們已在數個工廠強力證明具備非常高的能力，但也還有其他幾個工廠存在改善空間。所以我不會比這更具體了。

Thank you. And at this time, we would like to turn the call back to Dave for some concluding remarks.

謝謝。此時，我們想把電話會議交回給Dave做結語。

Well, thank you very much for attending. I'm very excited about the progress we made in the third quarter of this year. I think we demonstrated the ability to manage in different market conditions. We demonstrated the effectiveness of the actions that we've already taken in delivering, I think, a really exciting level of earnings performance against expected levels of revenue. I think the tailwinds that we're seeing in the latter half of Q3 and into Q4, in combination with the progress that we've made on pipeline reduction, both of which are slightly better than we anticipated, sets us up very nicely. I'm very, very excited about the Fort Lauderdale Boat Show. I hope many of you will join us there. I think it will be a great event demonstrating on all sides of our business the incredible power of our marine platform. So exciting times ahead for us and thank you for joining us.

非常感謝各位出席。我對我們今年第三季所取得的進展感到非常振奮。我認為我們展現了在不同市場環境下進行管理的能力。我們也證明了已採取行動的有效性：在我認為符合預期的營收水準下，交出令人非常振奮的獲利表現。我認為我們在第三季後半段到第四季所看到的順風因素，再加上我們在通路庫存（pipeline）降低方面取得的進展——兩者都略優於我們的預期——讓我們處於非常有利的位置。我對Fort Lauderdale Boat Show感到非常、非常興奮。希望各位當中有許多人能到場與我們相聚。我相信這將是一場很棒的活動，能從我們業務的各個面向展現我們海事平台的驚人實力。未來令人振奮，謝謝各位加入我們。

Ladies and gentlemen, this concludes today's conference call. Thank you for participating. You may now disconnect.

各位女士、先生，今天的電話會議到此結束。感謝各位參與。您現在可以掛線。