Beacon Roofing Supply Inc (BECN) 2024 Q2 法說會逐字稿

Good evening, ladies and gentlemen, and welcome to the Beacon second quarter 2024 call earnings call. My name is Elliott, and I'll be your coordinator for today. (Operator Instructions) As a reminder this conference call is being recorded for replay purposes.

女士們、先生們，晚上好，歡迎參加 Beacon 2024 年第二季財報電話會議。我叫艾利歐特，我將擔任你們今天的協調員。（操作員說明）謹此提醒，本次電話會議正在錄音以供重播之用。

I would now like to turn the call over to Mr. Binit Sanghvi, Vice President, Capital Markets and Treasurer. Please proceed Mr. Sanghvi.

我現在想將電話轉給資本市場副總裁兼財務主管 Binit Sanghvi 先生。請桑維先生繼續。

Thank you, Elliott, good evening, everybody. And as always, we thank you for taking the time to join our call. Today, I'm joined by Julian Francis, our Chief Executive Officer; and Prith Gandhi, Beacon's Chief Financial Officer. Julian and Prith will begin today's call with prepared remarks that will follow the slide deck posted to the Investor Relations section of Beacon's website. After that, we will open the call for questions.

謝謝你，艾利奧特，大家晚上好。一如既往，我們感謝您抽出時間參加我們的電話會議。今天，我們的執行長朱利安·弗朗西斯 (Julian Francis) 也加入了我的行列。以及 Beacon 財務長 Prith Gandhi。朱利安和普利斯將以事先準備好的演講開始今天的電話會議，這些演講將在 Beacon 網站投資者關係部分發布的幻燈片之後進行。之後，我們將開放提問。

Before we begin, please reference slide 2 for a couple of brief reminders. First, this call will contain forward-looking statements about the company's plans and objectives and future performance. Forward-looking statements can be identified because they do not relate strictly to historical or current facts and use words such as anticipate, estimate, expect, believe and other words of similar meaning.

在我們開始之前，請參考投影片 2 以獲取一些簡短的提醒。首先，本次電話會議將包含有關公司計劃、目標以及未來業績的前瞻性陳述。前瞻性陳述可以被識別，因為它們與歷史或當前事實並不嚴格相關，並且使用諸如預期、估計、期望、相信和其他類似含義的詞語。

Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including but not limited to those set forth in the Risk Factors section of the company's 2023 form 10-K.

由於各種重要因素，包括但不限於公司 2023 年表格 10-K 的風險因素部分中列出的因素，實際結果可能與此類前瞻性陳述所示的結果有重大差異。

Second, the forward-looking statements contained in this call are based on information as of today, August 1, 2024, and except as required by law. The company undertakes no obligation to update or revise any of these forward-looking statements.

其次，本次電話會議中包含的前瞻性陳述是基於截至今天（2024 年 8 月 1 日）的信息，法律要求的除外。本公司不承擔更新或修改任何這些前瞻性陳述的義務。

And finally, this call will contain references to certain non-GAAP measures. The reconciliation of these non-GAAP measures to the most comparable GAAP measures is set forth in today's press release and the appendix to the presentation accompanying this call, both the press release and the presentation are available on our website at becn.com.

最後，本次電話會議將包含對某些非公認會計原則措施的引用。這些非GAAP 衡量標準與最具可比性GAAP 衡量標準的調整在今天的新聞稿和本次電話會議隨附的演示文稿附錄中進行了闡述，新聞稿和演示文稿均可在我們的網站becn.com上獲取。

Now let's begin with opening remarks from Julian.

現在讓我們從朱利安的開場白開始。

Thanks, Binit. Good afternoon, everyone. I'm pleased to say that we delivered another quarter of solid execution on our growth initiatives. But before I begin our review, let me remind you of the assumptions that underpinned our prior outlook.

謝謝，比尼特。大家下午好。我很高興地說，我們的成長計畫又在一個季度得到了紮實的執行。但在開始審查之前，讓我提醒您支持我們先前觀點的假設。

We expected the residential roofing market would be down year-on-year as storm-related demand declined substantially and more than offset the improvement in new residential construction and non-storm-related reroofing.

我們預計住宅屋頂市場將同比下降，因為與風暴相關的需求大幅下降，並且遠遠抵消了新住宅建設和非風暴相關屋頂翻修的改善。

In commercial roofing, we said that there would be a contraction in the installation activity in the first half of the year, but our volumes would grow because of last year's contractor destocking. We also expected a shift to more repair and reroofing activity rather than new commercial construction. That would impact product mix in this part of our business.

在商業屋頂方面，我們表示上半年的安裝活動將會收縮，但由於去年承包商的庫存減少，我們的銷售將會成長。我們也預計將轉向更多的維修和翻修屋頂活動，而不是新的商業建築。這將影響我們這部分業務的產品組合。

By and large, end market demand has performed as we expected, with commercial slightly better than anticipated and new res slightly worse, and we expect storm demand to be in line with the 10-year average.

整體而言，終端市場需求表現符合我們的預期，商業略優於預期，新房略差，我們預期風暴需求將與10年平均水準一致。

Now let's begin on slide 4. Against this backdrop, our team demonstrated that our Ambition 2025 plan has created multiple paths to growth, and we delivered a record for quarterly sales. In the second quarter, average selling prices were up low-single digits year-over-year, which combined with contributions from greenfields and acquisitions to drive net sales nearly 7% higher although slightly lower than our initial expectations given the weather in the quarter. And once again, we delivered double-digit adjusted EBITDA margins.

現在讓我們從投影片 4 開始。在此背景下，我們的團隊證明了我們的「2025 年雄心壯志」計畫創造了多種成長途徑，並且我們創造了季度銷售記錄。第二季度，平均銷售價格年比小幅上漲，加上綠地和收購的貢獻，推動淨銷售額成長近 7%，儘管考慮到本季天氣狀況，略低於我們最初的預期。我們再次實現了兩位數的調整後 EBITDA 利潤率。

Our gross margin came in at 25.6%, approximately 20 basis points above the second quarter of last year but below our expectations, largely due to the lower-than-expected contribution from inventory profits related to our April single price increase. Adjusted OpEx increased primarily from additional headcount as we maintained staffing at our branches to meet a higher level of anticipated activity.

我們的毛利率為 25.6%，比去年第二季高出約 20 個基點，但低於我們的預期，主要是由於 4 月單次漲價帶來的庫存利潤貢獻低於預期。調整後營運支出的增加主要來自員工人數的增加，因為我們維持了分行的人員配置，以滿足更高水準的預期活動。

Additionally, the impact of recent greenfield locations and M&A yet to be fully synergized, also negatively impacted operating leverage. We continue to use our balance sheet capacity to reinvest in the business, conduct M&A and return capital to shareholders.

此外，近期綠地建設和併購的影響尚未完全協同，也對營運槓桿產生了負面影響。我們繼續利用資產負債表能力對業務進行再投資、進行併購並向股東返還資本。

Since the end of the first quarter, we have acquired 21 branches including the recent announcements of Roofers Mart of Southern California, Extreme Metal Fabricators and Integrity Metals.

自第一季末以來，我們已收購了 21 家分支機構，其中包括最近宣布的 Roofers Mart of Southern California、Extreme Metal Fabricators 和 Integrity Metals。

Roofers Mart has a 40-year history serving contractors in the Los Angeles metro market and demonstrates our focus on growing our commercial roofing business. Extreme Metal and Integrity Metals extend our residential and commercial roofing product offering to include metal solutions to meet the needs in Florida's coastal regions.

Roofers Mart 擁有 40 年為洛杉磯地鐵市場承包商提供服務的歷史，體現了我們對發展商業屋頂業務的專注。Extreme Metal 和 Integrity Metals 擴展了我們的住宅和商業屋頂產品系列，包括金屬解決方案，以滿足佛羅裡達州沿海地區的需求。

Entering the second half of the year, we will be proactive in responding to local market conditions by adjusting inventory and staffing levels while maintaining Beacon's high caliber customer service. We're investing in improving our operations delivering results today while also preparing for the future, including investments in our leading digital platform, private label offerings and our pricing model.

進入下半年，我們將積極應對當地市場狀況，調整庫存和人員配置水平，同時維持Beacon高品質的客戶服務。我們正在投資改善我們的運營，以實現今天的成果，同時也為未來做好準備，包括對我們領先的數位平台、自有品牌產品和定價模型的投資。

Now please turn to page 5. As many of you know, we laid out our targets to drive above-market growth, deliver consistent double-digit adjusted EBITDA margins, build a great organization and generate superior shareholder returns.

現在請翻到第5頁。正如你們許多人所知，我們制定的目標是推動高於市場的成長，提供持續兩位數的調整後 EBITDA 利潤率，建立一個偉大的組織並產生卓越的股東回報。

A relentless focus on our customers is central to how we operate and to achieving these goals. Our team is working every day to deliver a great customer experience and ensure we are building on our legacy of service.

對客戶的不懈關注是我們營運和實現這些目標的核心。我們的團隊每天都在努力提供卓越的客戶體驗，並確保我們在服務傳統的基礎上繼續發展。

Let me provide you with an update on our strategic initiatives, starting with how we are building a winning culture. As part of our commitment to our team members' wellness, we recently launched an upgraded employee assistance program, the new program has added emphasis on mental health as well as physical health to recognize the challenge today's employees and their families face.

讓我向您介紹我們策略舉措的最新情況，首先是我們如何建構制勝文化。作為我們對團隊成員健康承諾的一部分，我們最近啟動了升級的員工協助計劃，新計劃更加重視心理健康和身體健康，以認識當今員工及其家人面臨的挑戰。

One of our core values is do the right thing, and this applies to our efforts to build better for the environment. In May, we issued our third Annual Corporate Social Responsibility Report, which demonstrated our commitment to action and transparency on environmental and social topics. We proudly reported three years of progress towards our goal of halving our emissions intensity by 2030.

我們的核心價值之一是做正確的事，這也適用於我們為創造更好的環境所做的努力。五月，我們發布了第三份年度企業社會責任報告，該報告顯示了我們對環境和社會主題的行動和透明度的承諾。我們很自豪地報告三年來我們在實現 2030 年將排放強度減半的目標方面取得的進展。

In addition, we outlined our Scope 1 and 2 greenhouse gas emissions and our efforts to reduce those emissions by operating a more sustainable fleet and investing in renewable energy. Our 2023 CSR reports highlights how we are progressing on our commitment. I encourage all of our stakeholders to go to our website and view the full report.

此外，我們還概述了範圍 1 和範圍 2 溫室氣體排放量，以及我們透過營運更永續的機隊和投資再生能源來減少這些排放量的努力。我們的 2023 年企業社會責任報告重點介紹了我們在履行承諾方面的進展。我鼓勵所有利害關係人造訪我們的網站並查看完整的報告。

Our second pillar is driving growth above market and enhancing margins through a set of targeted initiatives. Expanding our customer reach continues to be a major lever in our growth plans, including our investments in greenfields and acquisitions. Our greenfield team continues to execute on our pipeline of new locations and we have opened 13 branches year-to-date.

我們的第二個支柱是透過一系列有針對性的措施推動高於市場的成長並提高利潤。擴大客戶範圍仍然是我們成長計畫的主要槓桿，包括我們對綠地的投資和收購。我們的綠地團隊繼續執行我們的新地點計劃，今年迄今已開設 13 家分行。

Each time we have a new branch, we add sales resources and reduced the average distance and time it takes us to reach our customers. This enhances our overall value proposition giving us the opportunity to earn market share. We have now opened 58 new branches since the beginning of 2022, exceeding our original Ambition 2025 goal of 40 total.

每次我們開設新分公司時，我們都會增加銷售資源，並縮短與客戶接觸的平均距離和時間。這增強了我們的整體價值主張，使我們有機會贏得市場份額。自 2022 年初以來，我們現已開設 58 家新分行，超過了我們原定的 2025 年雄心目標 40 家新分行。

On acquisitions, we discussed our recent purchase of Roofers Mart Extreme Metals and Integrity Metals earlier. And we highlighted the acquisitions of Roofers Supply of Greenville, General Siding and Smalley & Company on our call in May.

關於收購，我們先前討論了最近對 Roofers Mart Extreme Metals 和 Integrity Metals 的收購。我們在 5 月的電話會議上重點介紹了對 Roofers Supply of Greenville、General Siding 和 Smalley & Company 的收購。

However, it is worth mentioning again that with the acquisition of Smalley and its 11 locations spread throughout the West, we have built the leading national specialty waterproofing distribution platform with a track record of providing value-added solutions to contractors in both new construction and restoration markets.

然而，值得再次一提的是，透過收購 Smalley 及其遍布西部的 11 個地點，我們建立了領先的全國特種防水分銷平台，並在新建和​​修復方面為承包商提供增值解決方案的記錄市場。

Since announcing our Ambition 2025 plan, we have acquired 21 companies adding 71 branches. In total, we have deployed approximately $690 million in capital towards these acquisitions, adding base year revenue of more than $800 million.

自從宣布我們的「2025 年雄心」計畫以來，我們已經收購了 21 家公司，增加了 71 家分店。總的來說，我們為這些收購部署了約 6.9 億美元的資本，增加了超過 8 億美元的基準年收入。

In total, these acquisitions are performing ahead of our expectations. Our online capability continues to be a clear competitive advantage for Beacon, and sales through our digital platform increases customer loyalty, generates larger basket sizes and enhances margin by roughly 150 basis points when compared to offline channels.

總的來說，這些收購的表現超出了我們的預期。我們的線上能力仍然是Beacon 的明顯競爭優勢，與線下通路相比，透過我們的數位平台進行的銷售提高了客戶忠誠度，產生了更大的購物籃規模，並將利潤率提高了約150個基點。

In the second quarter, we grew digital sales approximately 22% year-over-year. Digital sales to our residential customers were a highlight as we achieved our highest quarterly adoption ever at nearly 26%. We continue to invest to strengthen our platform and just last week commenced an enhanced alliance with EagleView, a leading provider of aerial imagery, software and analytics. This collaboration makes it easier for contractors to quickly and accurately place digital orders, allowing them to run their businesses more efficiently and as such, choose Beacon as their supply partner.

第二季度，我們的數位銷售額年增約 22%。對住宅客戶的數位化銷售是一大亮點，我們實現了有史以來最高的季度採用率，接近 26%。我們繼續投資加強我們的平台，並在上週開始與領先的航空圖像、軟體和分析提供商 EagleView 建立加強聯盟。這種合作使承包商能夠更輕鬆地快速、準確地下數位訂單，從而使他們能夠更有效地經營業務，因此選擇 Beacon 作為他們的供應合作夥伴。

Our focus on commercial roofing solutions is one of the key growth initiatives of our Ambition 2025 plan. We outlined above-market growth targets and have been taking steps to become the market leader. To achieve this goal, we must develop best-in-class talent. And in the past year, we launched a new training program. Hundreds of employees have attended the e-learning and hands-on sessions with over 150 completing the advanced level certification.

我們對商業屋頂解決方案的關注是我們 2025 年雄心壯志計畫的關鍵成長舉措之一。我們制定了高於市場的成長目標，並一直在採取措施成為市場領導者。為了實現這一目標，我們必須培養一流的人才。去年，我們推出了新的培訓計畫。數百名員工參加了線上學習和實踐課程，其中 150 多名員工完成了高級認證。

Team members improve their understanding of commercial roofing basics, including product details, installation techniques and all varieties of low slope roof systems. Through a more knowledgeable and confident branch and sales team, we are better able to support the needs of our commercial contracted customers and create positive interactions that will increase loyalty, resulting in higher wallet share.

團隊成員提高了對商業屋頂基礎知識的理解，包括產品細節、安裝技術和各種低坡度屋頂系統。透過知識更豐富、更有信心的分公司和銷售團隊，我們能夠更好地支持商業簽約客戶的需求，並建立積極的互動，從而提高忠誠度，從而獲得更高的錢包份額。

Now as we have discussed in several quarters, we are enhancing productivity and capacity through our continuous improvement and operational excellence initiatives. Our focus on the bottom quintile branch process has generated meaningful contributions to EBITDA and this year is no different. Through this process, we have already generated approximately $3 million additional dollars from the class of 2024.

現在，正如我們在幾個季度所討論的那樣，我們正在透過持續改進和卓越營運計劃來提高生產力和能力。我們對倒數五分位分支流程的關注為 EBITDA 做出了有意義的貢獻，今年也不例外。透過這個過程，我們已經為 2024 屆畢業生額外籌集了約 300 萬美元的資金。

Our branch optimization efforts are also showing results, increasing storage capacity including yard flow and optimizing product placement for picking efficiency, all of which improves branch productivity and support increased sales from existing assets. And all these tools are deployed to drive synergies from our acquisition portfolio. Through a systematic approach to integrating acquired branches, we are able to achieve top line and bottom line performance improvements.

我們的分支機構優化工作也取得了成果，增加了包括堆場流量在內的儲存容量，並優化了產品放置以提高揀選效率，所有這些都提高了分支機構的生產力並支持增加現有資產的銷售額。所有這些工具的部署都是為了推動我們的收購組合的協同效應。透過系統化的方法來整合收購的分支機構，我們能夠實現頂線和底線績效的改進。

As we have mentioned on previous calls, our recent acquisitions that have yet to be synergized are likely to be dilutive in the near-term. But I'm pleased to report that the margins in our portfolio as a whole continue to improve relative to the pro forma at the time of transaction.

正如我們在先前的電話會議中提到的，我們最近尚未實現協同效應的收購可能會在短期內被稀釋。但我很高興地報告，相對於交易時的預計，我們整個投資組合的利潤率持續提高。

And fourth, let's review how we are creating shareholder value. As previously announced during the quarter, we entered into an additional accelerated share repurchase program in the amount of $225 million. The buyback program demonstrates both our commitment to delivering value to shareholders and our confidence in the Ambition 2025 plan.

第四，讓我們回顧一下我們如何創造股東價值。正如先前在本季宣布的那樣，我們額外啟動了價值 2.25 億美元的加速股票回購計畫。回購計畫既體現了我們為股東創造價值的承諾，也反映了我們對 Ambition 2025 計畫的信心。

As you can see, we truly have multiple paths to growth and margin expansion through the cycle. We have a differentiated approach and have built the tools to achieve our Ambition 2025 targets. Now many of you know or met Prith Gandhi, our CFO since May. I'm very pleased that Prith joined us and as I said in the last call when I welcomed him, Prith's proven track record in financial leadership, especially in the building products industry, makes him a great addition to our team.

正如您所看到的，我們確實有多種途徑可以在整個週期中實現成長和利潤擴張。我們採用差異化方法並建立了工具來實現我們的「2025 年雄心」目標。現在，你們中的許多人都認識或見過自 5 月以來我們的財務長 Prith Gandhi。我很高興 Prith 加入我們，正如我在上次電話歡迎他時所說的那樣，Prith 在財務領導方面（尤其是在建築產品行業）的良好記錄使他成為我們團隊的重要補充。

Now I'll pass the call over to Prith to provide a deeper focus on our second quarter results.

現在我將把電話轉給 Prith，以更深入地關注我們第二季的業績。

Thanks, Julian, and good evening, everyone. Turning now to slide 7. We achieved almost $2.7 billion in total net sales in the second quarter, up nearly 7% year-over-year primarily driven by the impact of acquisitions and higher average selling prices.

謝謝朱利安，大家晚上好。現在轉到投影片 7。第二季我們的淨銷售額總額接近 27 億美元，年增近 7%，這主要是由於收購和平均售價上漲的影響。

As Julian mentioned, we had wet weather and precipitation in large slots of the country, particularly in May, as well as excessive heat throughout the quarter that impacted the number of roofing days during Q2. Nevertheless, we were able to achieve organic sales growth across all three lines of business and set a new quarterly sales record.

正如朱利安所提到的，該國大部分地區天氣潮濕，降水較多，特別是在 5 月份，整個季度的高溫也影響了第二季的屋頂天數。儘管如此，我們在所有三個業務領域都實現了有機銷售成長，並創下了新的季度銷售記錄。

In the aggregate, price contributed over 2% to revenue growth, while organic volumes were up less than 1%, including contributions from greenfield. Acquisitions completed within the last 12 months are performing well and contributed more than 4% growth to daily net sales year-over-year. Residential roofing sales were higher by more than 2% as higher prices were partially offset by lower shipments in regions that are lapping higher storm and hail demand, including in Florida. Recall that Q2 2023 was a record second quarter for shingle shipments.

整體而言，價格對營收成長的貢獻超過 2%，而有機銷量成長不到 1%，其中包括綠地的貢獻。過去 12 個月內完成的收購表現良好，為每日淨銷售額年增超過 4%。住宅屋頂銷售額增加了 2% 以上，因為風暴和冰雹需求增加的地區（包括佛羅裡達州）的發貨量減少部分抵消了價格上漲。回想一下，2023 年第二季木瓦出貨量創歷史新高。

And while our residential volumes were down on a year-over-year basis, the R&R market remains resilient and consistent with our planning assumptions. Beacon's volumes compared favorably to industry shipments or ARMA during the quarter, but it is always important to keep in mind that there is destocking or restocking at the distributor level in any given quarter. With that in mind, we estimate that we grew at least in line with the market.

儘管我們的住宅數量同比下降，但 R&R 市場仍然具有彈性，並且符合我們的規劃假設。與本季度的行業出貨量或 ARMA 相比，Beacon 的銷量相當不錯，但始終要記住，在任何特定季度，分銷商層面都會減少庫存或補充庫存，這一點始終很重要。考慮到這一點，我們估計我們的成長至少與市場一致。

Our team executed the April shingle price increase to discipline, achieving good realization regionally. As a result, we achieved price growth in the low to mid-single-digit percentages year-over-year. Non-residential sales increased by more than 11% based on strong R&R activity and the comparison to low second quarter 2023 sales, which were influenced by destocking at the customer level.

我們的團隊執行了四月份木瓦價格上漲的紀律，在區域內取得了良好的實現。結果，我們實現了同比低至中個位數的價格成長。基於強勁的 R&R 活動以及與 2023 年第二季較低銷售量（受到客戶層面去庫存的影響）的比較，非住宅銷售成長了 11% 以上。

Prices declined in the low single digits year-over-year, but remained stable on a sequential basis. Bidding and quoting activity remains at healthy levels. We also continue to see a shift from new construction to repair and reroofing activity in the second quarter.

價格較去年同期下降幅度較低，但較上季保持穩定。投標和報價活動保持在健康水平。我們也繼續看到第二季從新建活動轉向維修和翻修屋頂活動。

Complementary sales increased by more than 12% year-over-year as acquisitions drove higher sales of our specialty waterproofing products. Selling prices were higher by low single digits year-over-year. Please keep in mind that our complementary product category now has approximately 70% residential and 30% non-residential exposure.

由於收購推動了我們特種防水產品的銷售成長，互補銷售額年增超過 12%。銷售價格年增了低個位數。請記住，我們的補充產品類別目前大約有 70% 的住宅產品和 30% 的非住宅產品。

Turning to slide 8. We will review gross margin and operating expenses. Gross margin was 25.6% in the second quarter, up nearly 20 basis points year-over-year. Slower realization of the April shingle price increase was largely matched by the timing of the inflow of higher product costs. Therefore, we did not produce the level of inventory profits we initially forecast. That said, our gross margin performance in the quarter remains well above historical Q2 gross margin levels.

轉到投影片 8。我們將審查毛利率和營運費用。第二季毛利率為25.6%，較去年同期成長近20個基點。4 月木瓦價格上漲的實現速度較慢，很大程度上與產品成本上漲的時間相符。因此，我們沒有達到我們最初預測的庫存利潤水準。也就是說，我們本季的毛利率表現仍遠高於第二季的歷史毛利率水準。

In the aggregate, on a year-over-year basis, price cost was positive by nearly 30 basis points in the second quarter. The execution of the April shingle price increase kept price above product inflation. In addition, higher digital channel sales and sales of our private label products continue to be accretive to Beacon's gross margin. However, these sales were offset by higher nonresidential sales mix impacts and the dilutive impact of acquisitions and greenfields completed in the past year.

總體而言，第二季價格成本較去年同期上漲近 30 個基點。四月木瓦價格上漲的執行使價格高於產品通膨。此外，更高的數位通路銷售額和自有品牌產品的銷售額繼續增加 Beacon 的毛利率。然而，這些銷售額被較高的非住宅銷售組合影響以及去年完成的收購和綠地的稀釋影響所抵消。

Adjusted operating expense was $441 million, an increase of $63 million compared to the prior year quarter. The change in adjusted OpEx was driven primarily by additional headcount in our existing branches. You will recall from our Q1 call in May that we made a conscious effort to ensure that we were appropriately staffed to meet the forecast ramp in seasonal activity.

調整後營運費用為 4.41 億美元，比去年同期增加 6,300 萬美元。調整後營運支出的變化主要是由於我們現有分支機構的員工人數增加所致。您可能還記得我們在 5 月的第一季電話會議中，我們有意識地努力確保配備適當的人員來滿足季節性活動的預測成長。

In addition, expenses associated with acquired and greenfield branches contributed approximately $27 million of the increase in total operating expenses. Inflation in wages, benefits, rent, professional fees and T&E also contributed to the increase in operating expenses.

此外，與收購和新建分行相關的費用在總營運費用的成長中貢獻了約 2,700 萬美元。工資、福利、租金、專業費用和差旅費的上漲也導致了營運費用的增加。

As a result, adjusted operating expenses as a percent of sales increased to 16.5%, up 140 basis points year-over-year. As mentioned earlier, demand in several key markets, including Florida, was either impacted by wet weather, severe heat, overlapping record shingle volumes in the prior year, resulting in lower operating leverage than we expected on our call in May. As we have demonstrated in the past, we are adjusting to local market conditions and will balance operating efficiency and high service levels in the second half of the year.

因此，調整後的營運費用佔銷售額的百分比上升至 16.5%，較去年同期上升 140 個基點。如前所述，包括佛羅裡達州在內的幾個主要市場的需求要么受到潮濕天氣、酷暑、去年創紀錄的木瓦數量的影響，導致營運槓桿低於我們在 5 月電話會議中的預期。正如我們過去所證明的那樣，我們正在根據當地市場情況進行調整，並將在下半年平衡營運效率和高服務水準。

Investments in Ambition 2025 priorities to drive above-market growth and margin enhancement also continued in the quarter. These investments include initiatives related to our sales organization, private label, pricing tools, e-commerce technologies and branch optimization.

本季也持續對 Ambition 2025 優先事項進行投資，以推動高於市場的成長和利潤率提升。這些投資包括與我們的銷售組織、自有品牌、定價工具、電子商務技術和分支機構優化相關的措施。

Now turning to slide 9. Operating cash flow was negative $48 million in the quarter. As a reminder, given the seasonal pattern of working capital needs in our business, we typically use cash in the first half of the year and generate cash in the second half of the year.

現在轉到投影片 9。該季度營運現金流為負 4,800 萬美元。提醒一下，考慮到我們業務營運資金需求的季節性模式，我們通常在上半年使用現金，在下半年產生現金。

Net inventory reached a seasonal peak at the end of the second quarter, up $259 million compared to the end of the second quarter of 2023. As mentioned on the first quarter call, we built inventory to ensure adequate product availability to align with the hype of construction activity.

淨庫存在第二季末達到季節性峰值，較 2023 年第二季末增加 2.59 億美元。正如第一季電話會議中提到的，我們建立了庫存，以確保有足夠的產品可用性，以適應建築活動的炒作。

Higher inventory year-over-year is also attributable to inventory acquired through M&A and to support greenfields. We continue to expect strong cash generation in the second half of the year, but now expected to be weighted towards the fourth quarter given the inventory build into Q2.

庫存同比增加也歸因於透過併購獲得的庫存以及支援綠地建設。我們繼續預計下半年現金產生強勁，但考慮到第二季度的庫存增加，預計第四季度的現金產生量將增加。

While Julian previously covered the share repurchase program, let me provide some additional details that may be helpful. Share repurchases in the second quarter were made through a $225 million accelerated share repurchase plan and resulted in the retirement of approximately 1.9 million shares or $180 million during the second quarter. As a result, net of share issuances for stock-based compensation, we reduced our common shares outstanding to 61.9 million on June 30 versus 63.6 million at March 31.

雖然朱利安之前介紹過股票回購計劃，但讓我提供一些可能有幫助的其他詳細資訊。第二季的股票回購是透過 2.25 億美元的加速股票回購計畫進行的，導致第二季約 190 萬股股票或 1.8 億美元的回購。因此，扣除基於股票補償的股票發行後，我們將 6 月 30 日的已發行普通股減少至 6,190 萬股，而 3 月 31 日為 6,360 萬股。

The remaining $45 million equity forward contract is expected to settle in the fourth quarter of 2024 and results in the estimated repurchase and retirement of approximately 500,000 additional shares as of June 30.

剩餘的 4,500 萬美元股權遠期合約預計將於 2024 年第四季結算，預計截至 6 月 30 日將回購和退休約 50 萬股額外股票。

We also continue to invest in organic growth, upgrading our fleet and facilities to support our customers and employees. In total, we expect to deploy approximately $125 million in capital expenditures during the full year of 2024. Our capital allocation will remain balanced between deploying cash in our business and executing on the active and robust value-creating acquisition pipeline.

我們也繼續投資於有機成長，升級我們的機隊和設施，以支持我們的客戶和員工。總的來說，我們預計 2024 年將全年部署約 1.25 億美元的資本支出。我們的資本配置將在業務中部署現金和執行積極而穩健的創造價值的收購管道之間保持平衡。

Net debt leverage at the end of the second quarter was 3.2 times trailing 12 months adjusted EBITDA. Given the substantial cash generation expected in the back half of the year, we are well positioned to pay down our seasonal borrowings and bring down net debt leverage closer to the midpoint of our targeted range. At the same time, we intend to continue to invest in the processes and technologies that will lay the groundwork for improved service, future growth and branch productivity.

第二季末的淨負債槓桿率為過去 12 個月調整後 EBITDA 的 3.2 倍。鑑於預計下半年將產生大量現金，我們有能力償還季節性借款，並將淨債務槓桿率降低到接近目標範圍的中點。同時，我們打算繼續投資流程和技術，為改善服務、未來成長和分支機構生產力奠定基礎。

With that, I'll turn the call back to Julian for his closing remarks.

接下來，我將把電話轉回給朱利安，讓他作結語。

Thanks, Prith. Now please reference page 11 of the slide materials. Before we head to Q&A, I'd like to update you on our outlook for the remainder of 2024. We expect the momentum we experienced in the first half and outlined at the beginning of this call to continue into the third quarter. We expect that the residential repair and reroof market demand will be lower this year, driven by lower storm demand which, at this point, appears to remain on track to meet our assumption of the 10-year average.

謝謝，普里斯。現在請參考投影片資料的第 11 頁。在我們進行問答之前，我想向您介紹我們對 2024 年剩餘時間的最新展望。我們預計上半年所經歷的以及本次電話會議開始時概述的勢頭將持續到第三季。我們預計，受風暴需求下降的推動，今年住宅維修和屋頂翻修市場需求將會下降，目前看來仍有望達到我們對 10 年平均值的假設。

We continue to believe non-storm related demand will be higher in both new construction and aged replacement despite higher interest rates. In our commercial roofing business, we monitor the Architectural Billing Index, which continues to remain significantly below 50, indicating contraction in activity. And while we expect better than expected repair and reroofing activity to continue, contracted destocking was largely over at the end of the second quarter of 2023, and so the year-on-year comps should return to more normal levels.

我們仍然認為，儘管利率較高，但新建築和舊建築更換的非風暴相關需求將會更高。在我們的商業屋頂業務中，我們監控建築計費指數，該指數繼續大幅低於 50，顯示活動萎縮。雖然我們預計好於預期的維修和翻修屋頂活動將繼續，但合約去庫存已在 2023 年第二季末基本結束，因此同比比較應恢復到更正常的水平。

For the third quarter, we expect total sales per day growth to be in the high single-digit range year-over-year, above the July sales growth of low single digits per day. We expect gross margin to be in the high 25% range, around 30 basis points higher than in our second quarter. This includes current expectations regarding our announced August price increase realization.

對於第三季度，我們預計每日總銷售額年增將處於高個位數範圍，高於 7 月份每日低個位數銷售額成長。我們預計毛利率將在 25% 左右，比第二季高出約 30 個基點。這包括目前對我們宣布的 8 月漲價實現的預期。

Operating expenses are expected to increase year-over-year, largely attributable to the higher head count from greenfields and acquired branches. As mentioned earlier, our focus on operational efficiency and proactively managing resources will intensify. As a result, we expect adjusted operating expenses as a percentage of sales to be in line with the third quarter of last year.

營運費用預計將同比增加，這主要是由於新建和收購分公司的員工數量增加。如前所述，我們將加強對營運效率和主動管理資源的關注。因此，我們預計調整後的營運費用佔銷售額的百分比將與去年第三季保持一致。

Regarding the second half of the year, we remain focused on areas within our control, including sales execution, inventory reductions and cost management. Our full year net sales expectations is for growth in the 6% to 8% range, including acquisitions announced year-to-date. Please note that we have two extra selling days in 2024 as compared to 2023.

下半年，我們仍然專注於我們控制範圍內的領域，包括銷售執行、庫存減少和成本管理。我們預計全年淨銷售額將成長 6% 至 8%，其中包括今年迄今宣布的收購。請注意，與 2023 年相比，2024 年我們多了兩個銷售日。

On gross margin, we continue to expect to be price cost neutral, resulting in a full year gross margin percentage in the mid-25% range. We now expect that sales growth and cost discipline will result in full year adjusted EBITDA expectations of between $930 million and $970 million, inclusive of recently acquired businesses. And as Prith mentioned, our focus on working capital is expected to result in strong cash flow generation in the second half of the year.

在毛利率方面，我們繼續預期價格成本中性，從而導致全年毛利率百分比在 25% 左右。我們現在預計，銷售成長和成本控制將導致全年調整後 EBITDA 預期在 9.3 億美元至 9.7 億美元之間，其中包括最近收購的業務。正如普利斯所提到的，我們對營運資本的關注預計將在下半年產生強勁的現金流。

We have a resilient business model and a leadership team capable of adjusting quickly to take advantage of opportunities in the market as they develop. We will continue to deploy capital on initiatives that we expect will result in accelerated growth, including executing on our robust pipeline of acquisitions and delivering on our greenfield locations, which we now expect to result in more than 25 branches in 2024.

我們擁有富有彈性的商業模式和領導團隊，能夠在市場發展過程中快速調整以利用市場機會。我們將繼續將資本部署在我們預計將帶來加速成長的舉措上，包括執行我們強大的收購管道和交付我們的綠地地點，我們現在預計到 2024 年將擁有超過 25 家分店。

In summary, we're well positioned to continue to outperform the market in this dynamic demand environment, creating value for all our stakeholders. We are looking forward to the rest of 2024 and helping our customers to build better and build more.

總之，我們處於有利位置，可以在這種動態的需求環境中繼續跑贏市場，為所有利害關係人創造價值。我們期待 2024 年剩下的時間，幫助我們的客戶建立得更好、建造得更多。

And with that, Elliot, I'll open it up for questions.

艾利歐特，接下來我將開始提問。

Thank you. (Operator Instructions)

謝謝。（操作員說明）

Michael Rehaut, JPMorgan.

麥可雷豪特，摩根大通。

Hi, thanks, good afternoon and thanks for taking my questions. I wanted to first zero in a little bit on the SG&A in 2Q and you kind of reviewed in your prepared remarks, some of the drivers that appeared to be a bit higher than expected on a year-over-year basis as a percentage of revenue? At the same time, you said you're focused on driving efficiencies in the second quarter -- in the second half and expect percentage of sales SG&A to be flat year over year.

你好，謝謝，下午好，謝謝你回答我的問題。我想先將第二季的銷售及管理費用歸零，您在準備好的評論中回顧了一些驅動因素，這些驅動因素佔收入的百分比似乎比去年同期的預期要高一些？同時，您表示，您的重點是在第二季度（下半年）提高效率，並預計銷售 SG&A 的百分比將與去年同期持平。

So what's driving the, let's say, were there certain temporary elements that drove the higher expense in the second quarter relative to expectations and what are the actions that you're taking to maybe get that back on line on a percent of sales year over year basis for the back half or at least for the third quarter?

那麼，是什麼推動了，比方說，是否存在某些臨時因素導致第二季度的費用相對於預期更高，以及您正在採取哪些行動來恢復同比銷售額的百分比後半段或至少第三季度的基礎？

Thanks Michael. This is Julian. And yeah, I mean, I think it's the question that's going to be on everyone's minds for a second quarter. So it was a really difficult sort of second quarter to manage at a branch level. So we saw record daily sales, so we didn't see it consistently because of the weather. So we were staffed up to serve that really high demand level, but it was never consistent. And managing that on a day-to-day basis, we didn't do it as well as I had hoped, but I think that was a big driver of it.

謝謝邁克爾。這是朱利安。是的，我的意思是，我認為這是第二季度每個人都會想到的問題。因此，第二季度在分支機構層級的管理確實非常困難。因此，我們看到了創紀錄的每日銷售額，但由於天氣原因，我們並沒有持續看到這項紀錄。因此，我們配備了足夠的人員來滿足非常高的需求水平，但它從來都不是一致的。在日常管理中，我們沒有做到我希望的那麼好，但我認為這是一個很大的推動力。

Obviously, we added a number of greenfields and acquisitions earlier in the year this year than we've done previously. And so that adds to our total OpEx count and so we've sort of flatlined it, this year will be similar number of branches opened in the first half and the second half, which was a little bit more back-end weighted last year. So that drove year over year increase as well.

顯然，我們今年比以前更早增加了一些綠地和收購。因此，這增加了我們的總營運支出數量，因此我們對其進行了扁平化處理，今年上半年和下半年開設的分支機構數量將相似，去年的後端權重稍高一些。這也推動了逐年成長。

But the big thing with this variability in day-to-day volume, we were staffed ready, the inventory was ready for it. And we think it was it was just so variable on a day-to-day basis in the markets that it became tricky to manage. And so we were a little bit -- we missed a little bit on that side of things in terms of our overall management style.

但對於日常數量的這種變化來說，最重要的是，我們已經做好了人員準備，庫存也準備好了。我們認為市場每天的變化如此之大，以至於管理起來變得很棘手。因此，就我們的整體管理風格而言，我們在這方面有點錯過了。

Now as you also asked about sort of looking forward and how does that adjust? We've sat down with our operating groups and sat and said, look we've got to get this this back in line. We've got to create operating leverage from sales growth, and we're going to have to manage that more aggressively. We've already started doing that. We've taken action in June and July to make sure that we've got the right level of staffing for the demand that's in the market. We're seeing -- still seeing some variability in terms of day-to-day sales. But we are being much more aggressive in terms of managing levels of staffing on a day-to-day basis than we were in the second quarter.

現在你也問了一些關於未來的展望，以及如何調整？我們與我們的營運團隊坐下來並坐下來來說，我們必須讓這一切恢復正常。我們必須透過銷售成長創造營運槓桿，並且我們必須更積極地管理這一點。我們已經開始這麼做了。我們在六月和七月採取了行動，以確保我們擁有適合市場需求的人員配置。我們看到——日常銷售方面仍然存在一些變化。但我們在日常人員配置水準方面比第二季度更加積極。

Like I said, I don't think we missed it by much, we'd come into the year expecting a strong second quarter with some carryover from last year. As I said, with the what we saw on really good days was what we had anticipated, we call the market, what we obviously couldn't call was the weather. And that said, that certainly had an impact on how we manage it. We think we'll work our way through that and get that back to where it should be. I don't know Prith, has got anything that in terms of specifics, but that's really what drove it.

就像我說的，我認為我們並沒有錯過太多，我們預計第二季會表現強勁，並將延續去年的業績。正如我所說，我們在真正美好的日子裡看到的就是我們所預期的，我們稱之為市場，我們顯然不能稱之為天氣。也就是說，這肯定對我們的管理方式產生了影響。我們認為我們會努力解決這個問題並使其回到應有的狀態。我不知道普里斯有什麼具體的東西，但這確實是推動它的原因。

Yeah. Just maybe just a couple of points of color. So a couple of other things in terms of the overall OpEx, it's a 37 -- $63 million increase year over year, $27 million of that came from the M&A and greenfields. And I think when we spoke with you all in May, our expectation was that the stock component of the OpEx would be relatively flat and if you remember, that was $22 million in Q1. And as we discussed, some of the acquisitions that we've done have significant work to kind of bring them up to the -- and create value. And so we we've had some timing issues with some of that. So that's part of the reason as well.

是的。也許只是幾個顏色點。因此，就整體營運支出而言，還有其他一些事情，同比增長了 37 至 6300 萬美元，其中 2700 萬美元來自併購和新建項目。我認為，當我們 5 月與大家交談時，我們的預期是營運支出的庫存部分將相對持平，如果您還記得的話，第一季為 2200 萬美元。正如我們所討論的，我們所做的一些收購在幫助他們達到目標並創造價值方面做了重要的工作。所以我們在其中一些方面遇到了一些時間問題。這也是部分原因。

Right. Now thank you for that. Appreciate all the detail there. And I guess secondly, just thinking about bigger picture on the gross margin side. Well, I think, Julien, you highlighted some of the incremental benefit that you continue to get from the bottom quartile work? And obviously there are a lot of other initiatives that you have in place on the gross margin side.

正確的。現在謝謝你了。欣賞那裡的所有細節。我想其次，只是考慮毛利率方面的更大前景。嗯，我想，朱利安，你強調了你繼續從底部四分之一的工作中獲得的一些增量好處？顯然，您在毛利率方面還採取了許多其他舉措。

So conceptually, how should we think about bottom quartile contributions over the next couple of years? Should they continue moderate in size, perhaps just given low hanging fruit impact from the prior year or from prior years, and it kind of gets incrementally tougher as you go forward. And maybe you could just kind of review other opportunities around gross margin over the next couple of years from a strategic initiative standpoint?

因此，從概念上講，我們應該如何考慮未來幾年底部四分位數的貢獻？如果它們的規模繼續中等，也許只是考慮到前一年或前幾年的容易實現的成果，而且隨著你的前進，它會變得越來越困難。也許您可以從策略計畫的角度回顧未來幾年毛利率的其他機會？

Yeah, Michael, I'll touch on that briefly. Certainly we see dramatic improvement, as in the bottom quintile contribution to EBITDA margins. I think it's been one of the real highlights of the last years, how the team has really come together and driven that. It is incrementally harder now to drive them a little bit more, but we reset the branches each year. And so we still believe there's opportunity. We've also expanded our thinking on this and sort of said, look what's the real opportunity if we can get each of the sort of Quintiles groupings to get it up to the next Quintiles sort of thing.

是的，邁克爾，我將簡短地談談這一點。當然，我們看到了顯著的改善，例如對 EBITDA 利潤率的貢獻排名墊底。我認為這是過去幾年真正的亮點之一，團隊如何真正團結起來並推動這一目標。現在驅動它們變得越來越困難，但我們每年都會重置分支。所以我們仍然相信有機會。我們也擴展了對此的思考，並說，看看如果我們能夠獲得每種五分位數分組以使其達到下一個五分位數之類的事情，那麼真正的機會是什麼。

So we're exploring what some -- what it would take to really move all of those elements forward. And we think that the pricing model, the work we're doing on private label and digital, and all of those initiatives are certainly contributing. I think the we were probably challenged in the quarter on price coming through in the market. We saw obviously the shingle price increase in April, we had expectations probably a better realization in the quarter than we actually saw. And I think that was partly due to the variability of demand on a day-to-day basis in the market as well.

因此，我們正在探索如何真正推動所有這些要素向前發展。我們認為定價模式、我們在自有品牌和數位方面所做的工作以及所有這些舉措肯定都做出了貢獻。我認為我們在本季可能面臨市場價格的挑戰。我們明顯看到四月份木瓦價格上漲，我們預計本季的實現可能比我們實際看到的更好。我認為這部分是由於市場日常需求的改變。

We saw very good realization where we had very strong markets and we saw very low realization in markets. As we mentioned, we've called out Florida before. And in fact, we called out Florida and the our call in May is a place that we weren't expecting to see a lot of price and that actually materialize. So there is still a lot of work to be done on that. But I continue to believe that private label digital pricing model continue to drive margin and our bottom quintile branch process will continue.

我們在市場非常強勁的地方看到了很好的實現，而在市場中我們看到了非常低的實現。正如我們所提到的，我們之前曾呼籲佛羅裡達州。事實上，我們對佛羅裡達州進行了呼籲，我們五月的呼籲是一個我們沒有預料到會看到很多價格的地方，而且實際上已經實現了。因此，這方面還有很多工作要做。但我仍然相信自有品牌數位定價模式將繼續推動利潤率成長，我們的底部五分之一分支流程將持續下去。

And so I think we're looking for ways to expand that process to more branches to make sure that we're working the full gamut of the problems. So I continue to believe that we've got room to expand our gross margin on a product line basis. But as I said, the mix has shifted much more towards commercial. We were very deliberate about that. We think that it has a great profile for return on capital, but it does have lower gross margin. So we continue to look for ways to improve that as well.

因此，我認為我們正在尋找將該流程擴展到更多分支的方法，以確保我們正在解決所有問題。因此，我仍然相信我們在產品線的基礎上還有擴大毛利率的空間。但正如我所說，這種組合已經更多地轉向商業化。我們對此非常深思熟慮。我們認為它的資本報酬率很高，但毛利率確實較低。因此，我們也繼續尋找改進的方法。

Right. Thanks so much.

正確的。非常感謝。

(Operator Instructions)

（操作員說明）

Garik Shmois, Loop Capital.

Garik Shmois，Loop Capital。

Hi, thanks for taking my question. I was wondering if you could talk about the acceleration you're expecting on a daily sales basis, here in the third quarter starting July up low single digits. I think you're expecting to be up high single digits for the quarter. So if you can unpack the drivers of the stronger expected August and September, they'll be great.

您好，感謝您提出我的問題。我想知道您是否可以談談您對每日銷售的預期加速，即從 7 月開始的第三季的低個位數成長。我認為您預計本季的業績將實現高個位數成長。因此，如果您能解開預計 8 月和 9 月強勁的驅動因素，那就太好了。

Yeah. Look, Garik, the market overall is been good. Like I said, I mean, we saw record daily sales in the second quarter on a day-to-day basis, it just wasn't consistent and we'd have a day where it dropped off. We think some of the weather impact in Q2 is going to get pushed into Q3. So we're expecting that demand hasn't gone away. I mean if you need a roof, you're going to get a roof. And if it rains on one day, you're going to get with the next day.

是的。加里克，你看，市場整體狀況良好。就像我說的，我的意思是，我們在第二季的日常銷售中看到了創紀錄的日銷售額，但它並不一致，而且有一天會下降。我們認為第二季的一些天氣影響將被推到第三季。因此，我們預期需求並未消失。我的意思是，如果你需要一個屋頂，你就會得到一個屋頂。如果有一天下雨，第二天就可以了。

So we think there'll be some continued push into the third quarter with demand pretty good, and we're excited about that opportunity. We do think that there's an August 1, price increase, the price increase went into effect today on shingles. So we'll see that pickup on the top line in the rest of this quarter as well.

因此，我們認為第三季的需求將會持續成長，而且需求相當不錯，我們對這個機會感到興奮。我們確實認為 8 月 1 日價格上漲，帶狀皰疹價格上漲今天生效。因此，我們也將在本季剩餘時間內看到營收的回升。

And then the back half of the year tends to be a little bit more biased to activity. So now if we're going to get the 100 degree days across the entire country for the entire third quarter, and we'll be watching that. But overall, we like I said, we feel pretty good about the market, we're probably a little bit more bullish on what than we were coming into the year on commercial, as we've said. Residential re-roof has been very good at the strong demand we think is going to come in around the 10-year average. That's what kind of what we feel we're tracking.

然後下半年往往會更偏向活動。所以現在，如果我們要在整個第三季全國迎來 100 度的氣溫，我們就會密切關注。但總的來說，我們就像我說的那樣，我們對市場感覺非常好，我們可能比我們進入今年的商業市場更樂觀，正如我們所說的那樣。住宅屋頂翻修非常符合我們認為將達到 10 年平均的強勁需求。這就是我們感覺我們正在追蹤的東西。

New res was slightly worse, but overall we came into the year calling for a very healthy market. And that's what we've got. We think some of the demand got pushed out of Q2 and is probably going to appear in Q3.

新的資源情況稍差，但總體而言，我們進入了這一年，需要一個非常健康的市場。這就是我們所擁有的。我們認為部分需求在第二季被擠出，可能會在第三季出現。

Adam Baumgarten, Zelman & Associates.

亞當‧鮑姆加滕 (Adam Baumgarten)，Zelman & Associates。

Hey guys, give a sense for maybe how many days on the roof were lost in the second quarter? And was it across both residential and commercial? Or is it more focused on residential?

嘿夥計們，請想像一下第二季度在屋頂上損失了多少天？它橫跨住宅和商業嗎？還是更專注於住宅？

So Adam, I'll let Prith touch on it. But we do have some statistics. I mean, we -- look I tried to avoid being the weatherman since I joined the company, and that's how we get weather every day. I mean there was clearly some well reported impact. But in terms of the number of days we do watch that. But I think that's less indicative than the total of the market. As I said, we think it did have an impact. We think it's probably pushed into some into Q3. Prith?

亞當，我會讓普里斯談一下。但我們確實有一些統計數據。我的意思是，我們——看，自從我加入公司以來，我就努力避免成為天氣預報員，這就是我們每天獲取天氣的方式。我的意思是，顯然有一些得到充分報道的影響。但就我們確實觀看的天數而言。但我認為這比市場總量更具代表性。正如我所說，我們認為它確實產生了影響。我們認為它可能會被推遲到第三季。普里斯？

Yeah. So look, it's generally biased towards the residential market because a lot of our deliveries are on top of the roof. So that's one point to make. The other thing is between normal weeks and weeks where we've experienced weather the kind of demand differences about low-single digits. And we think about a third of the weeks in the quarter were affected by weather, so.

是的。所以看，它通常偏向住宅市場，因為我們的許多交付都是在屋頂上的。這是需要指出的一點。另一件事是在正常的幾週和幾週之間，我們經歷了低個位數的需求差異。我們認為本季大約有三分之一的時間受到天氣的影響。

Thank you.

謝謝。

David Manthey, Baird.

大衛曼蒂，貝爾德。

Yeah, thank you. Good afternoon. Relative to your comments on lack of expected inventory profits, I'm a bit confused as to what happened there. I think if you go back to the early part of the year, no one really thought that shingle price increase was going to stick and you're able to get low to mid single digits, but the gross margin fell short of your expectations anyway. I'm assuming you didn't play inventory checking like we used to in the old days. And maybe you could just help me understand the dynamic there.

是的，謝謝。午安.相對於您對缺乏預期庫存利潤的評論，我對那裡發生的事情有點困惑。我認為，如果你回到今年年初，沒有人真正認為木瓦價格上漲會持續下去，並且你能夠獲得低至中個位數的價格，但毛利率無論如何都低於你的預期。我假設你沒有像我們過去那樣進行庫存檢查。也許你可以幫助我了解那裡的動態。

Yeah. I'll touch on it, and Prith can maybe quantify some things. But coming into the quarter, we did expect much better price realization than we actually saw we came out of the gate on the pricing pretty healthy, but we normally see it climb over several weeks as we implemented across all of the customer base. So it usually takes some time to get it done.

是的。我會談到它，普里斯也許可以量化一些事情。但進入本季度，我們確實預期價格實現比我們實際看到的要好得多，我們的定價非常健康，但隨著我們在所有客戶群中實施，我們通常會看到它在幾週內攀升。所以通常需要一些時間才能完成。

And so you continue to generate those inventory profits. But the spike is usually early on. In this one we got good realization in markets where the demand was strong, but in weaker markets there was some delay in getting the price put in place and then as the quarter went on, we just didn't get it implemented throughout. The demand remains weak. In some of those markets, and so we didn't generate any of the inventory profits we thought in certain markets and we generated a good amount and what we would have expected and others.

這樣你就可以繼續產生這些庫存利潤。但高峰通常出現在早期。在這過程中，我們在需求強勁的市場中得到了很好的實現，但在市場疲軟的情況下，價格的製定出現了一些延遲，然後隨著季度的繼續，我們只是沒有完全實施它。需求仍然疲軟。在其中一些市場中，我們沒有產生任何我們認為在某些市場中的庫存利潤，但我們產生了大量的庫存利潤，達到了我們的預期和其他目標。

So on when you add it all up and we thought we were going to get a much better realization across the entire country than we actually did. And so both the delay in implementing some of the increases to meet some of the competitive situations, it meant that we just didn't get the profits as the -- as our inventory cost rose through the quarter. The price rose slightly above it, but it didn't get the normal spike at the beginning. And then flattening out, we sort of tailed up and so you just don't generate inventory profits that way.

因此，當你將所有這些加起來時，我們認為我們將在整個國家獲得比實際更好的認識。因此，為了滿足某些競爭情況而延遲實施一些成長，這意味著我們只是沒有獲得利潤，因為我們的庫存成本在整個季度都在上升。價格略有上漲，但並沒有達到一開始的正常飆升。然後趨於平緩，我們有點落後了，所以你就不會以這種方式產生庫存利潤。

Yeah. I mean, the only thing to add, as you guys know, we use weighted average inventory costing. And so on days, even when you're not selling the weighted average cost of inventory, If you're buying continues to go up, and we were buying inventory throughout the quarter. So that's the only thing to add.

是的。我的意思是，唯一要補充的是，正如你們所知，我們使用加權平均庫存成本法。依此類推，即使你不出售庫存的加權平均成本，如果你購買的庫存繼續上升，我們整個季度都在購買庫存。所以這是唯一要添加的內容。

Mike Dahl, RBC.

麥克·達爾，加拿大皇家銀行。

Yeah, thanks. Just as a follow-up to that, just given what you just articulated around the path of realization on the price and inventory profits. Can you be more specific about what's embedded in your 3Q and full year guide with respect to the August price increase both in terms of top line help and inventory profit?

是的，謝謝。作為後續行動，考慮到您剛才圍繞價格和庫存利潤的實現路徑所闡明的內容。您能否更具體地介紹一下您的第三季和全年指南中關於八月份價格上漲的收入幫助和庫存利潤方面的內容？

Well, in terms of the inventory profit for the quarter in the August price increase, we expect similar kind of progression as we've seen with the April price increase, I think what we said in the prepared remarks was 30 basis points improvement. We see a similar pattern with this price increase.

嗯，就 8 月份價格上漲的季度庫存利潤而言，我們預計會出現與 4 月份價格上漲類似的進展，我認為我們在準備好的評論中所說的是 30 個基點的改善。我們在這次價格上漲中看到了類似的模式。

Trey Grooms, Stephens.

特雷格魯姆斯、史蒂芬斯。

Yeah, thanks. Just kind of a quick bit of clarity here on the free cash flow comment maybe being weighted a little bit more to the 4Q. Could you go into a little bit more detail on that? I know it can kind of shift around a little bit seasonally, but any more color on the timing there? Thank you.

是的，謝謝。這裡只是簡單地澄清一下自由現金流的評論可能會在第四季度中佔據更大的比重。能更詳細地介紹一下嗎？我知道它可能會隨著季節的變化而發生一些變化，但是關於時間安排還有更多的顏色嗎？謝謝。

Yeah. I mean, look, it's -- we bought inventory inventory throughout the second quarter. And as we've discussed we were kind expecting roughly on the order of $500 million of free cash flow for the full year. And you basically kind of burned cash in the first half to the order of $250 million. So we expect the back half of the year to produce, call it in the order of $750 million in free cash flow and roughly evenly spread between the two quarters.

是的。我的意思是，看，我們在第二季購買了庫存。正如我們所討論的，我們預計全年自由現金流約為 5 億美元。上半年你基本上燒掉了 2.5 億美元的現金。因此，我們預計今年下半年將產生約 7.5 億美元的自由現金流，並且大致均勻分佈在兩個季度之間。

Okay. Got it. (multiple speakers)

好的。知道了。（多個發言者）

Yeah, sorry, it's not unusual for us to build obviously inventory in the first half of the year. I mean, it's -- the back half of the year is when most of the roofing activity gets done. So we come a little heavy in -- we expect to continue to bring product in during the third quarter because demand will be -- we believe, will be pretty good. And then we expect to we'll certainly diminish the inventory we have, but that will probably just accelerate into the fourth quarter as demand falls off, we'll reduce our purchases unless we see some more demand come in, but that's why the shape of it is such.

是的，抱歉，我們在上半年建立明顯的庫存並不罕見。我的意思是，下半年是大部分屋頂活動完成的時候。因此，我們的投入有點大——我們預計將在第三季度繼續推出產品，因為我們相信需求將相當不錯。然後我們預計我們肯定會減少我們擁有的庫存，但這可能會隨著需求下降而加速進入第四季度，我們將減少採購，除非我們看到更多的需求進來，但這就是為什麼形狀是這樣的。

Okay. So I guess just to clarify again, is it when you say evenly split, 3Q and 4Q should be roughly evenly split or is it going to be 4Q weighted? I'm misunderstanding. Sorry --

好的。所以我想再次澄清一下，當你說平均分配時，3Q 和 4Q 應該大致平均分配還是 4Q 加權？我誤會了。對不起--

Yeah, more in 4Q, but overall, yes, let's call it, 60-40 in that order.

是的，第四季度會更多，但總的來說，是的，我們可以這樣稱呼它：60-40。

Okay. All right. Well, thanks for clearing that up. Appreciate it. Thanks.

好的。好的。嗯，謝謝你澄清了這一點。欣賞它。謝謝。

Philip Ng, Jefferies.

菲利普‧吳，杰弗里斯。

Hey guys, this is Nagy on for Philip. Just going back to the organic volumes in 2Q is kind of flattish. Any color on the breakout between the segments would be helpful. And then could you give assistance of the magnitude of what greenfields are contributing. I know you did maybe around 30 greenfield branches last year. So how much are those contributing on the organic side?

大家好，我是菲利普的納吉。光是回到第二季的有機銷售就有點平淡了。各段之間的突破處的任何顏色都會有所幫助。然後您能否就綠地的貢獻程度提供協助。我知道去年你們新建了大約 30 個分店。那麼這些人在有機方面貢獻了多少呢？

Yeah. I think, Nagy, in terms of the greenfield, I'll let Prith touch on that as in terms of the greenfields, we said that we initially launched Ambition 2025 that we would do 10 year. We ramped that up because we've been a very successful program for us. I think in total for -- at the end of this year, we're estimating somewhere in the region -- and Prith will correct me if I get this a little bit wrong, but somewhere in the region of $400 million-plus of total revenue from greenfields that we've started since Ambition 2025. I think that's the number that we're looking at. So it's pretty substantial across those [58] plus by the end of the year in terms of total revenue.

是的。Nagy，我想，就綠地而言，我會讓 Prith 談談這一點，就綠地而言，我們說過，我們最初啟動了“雄心 2025”，我們將在 10 年內實施這一計劃。我們加大了力度，因為我們的計劃非常成功。我認為，到今年年底，我們正在估計該地區的某個地方，如果我有一點錯誤，Prith 會糾正我，但總金額約為 4 億美元以上。 。我認為這就是我們正在研究的數字。因此，到今年年底，就總收入而言，[58] 以上的公司的收入相當可觀。

Yeah. It's actually over $500 million. So good, it's a great contribution overall. In terms of the actual organic demand for the quarter, it's roughly 2.8% of the 6.8% in revenue growth comes from organic and that includes both the existing branches as well as the greenfields.

是的。實際上超過5億美元。太好了，總的來說這是一個很大的貢獻。就本季的實際有機需求而言，6.8% 的營收成長中約有 2.8% 來自有機需求，其中包括現有分公司和新建分公司。

Kathryn Thompson, Thompson Research Group.

凱瑟琳·湯普森，湯普森研究小組。

Hey. Thank you for taking my question today. I just wanted to focus on the commercial segment, which, as you pointed out, is improving despite the ABI readings, that we would argue and based on our feedback from the field and companies we talk to the ABI becoming less relevant. In part because it doesn't capture some of the mega projects for instance, when you look at put in place numbers, the manufacturing subsegment in and of itself has doubled to north 15% of the total mix since 2018.

嘿。感謝您今天回答我的問題。我只是想專注於商業領域，正如您所指出的，儘管 ABI 讀數正在改善，但我們認為，根據我們與 ABI 交談的領域和公司的反饋，該領域的相關性變得越來越不重要。部分原因是它沒有涵蓋一些大型項目，例如，當你查看已到位的數字時，自 2018 年以來，製造業細分領域本身已翻一番，佔總項目的 15%。

And with that in mind, do you have any additional color or numbers you can frame around the mix shift and types of projects that you're servicing today and maybe during the quarter in the commercial segment and how that has changed and in particular parsing out between new and repair and remodel within the commercial segment? Thank you.

考慮到這一點，您是否有任何其他顏色或數字可以圍繞您今天或可能在商業領域的本季度服務的項目的混合轉變和類型以及它如何變化，特別是解析出來商業領域內的新建、維修和改造之間的關係？謝謝。

Yeah, Kathryn, I'll try to get to some of that. So certainly, what we have seen is, coming into the year, we were expecting the installed volume to be down as we said. And specific to Beacon because of the contractor behavior last year, we were expecting volumes to grow. But coming into the year, we were certainly watching the overall demand level very carefully, and it's actually held up pretty well. Our bidding and quoting activity across the Board has been good.

是的，凱瑟琳，我會盡力解決其中的一些問題。當然，我們所看到的是，進入今年，我們預計安裝量會像我們所說的那樣下降。具體到 Beacon，由於去年承包商的行為，我們預期銷售量會成長。但進入今年，我們確實非常仔細地觀察了整體需求水平，而且實際上保持得很好。我們的投標和報價活動全面良好。

Look, we've seen good amount of government work and schools have come through, and they are generally repair and remodel, repair and reroof markets. We think some of that got pushed out. As we said, it biased more towards new construction during COVID, those would be big jobs that we're getting done. And the reroof work is clearly getting done more now. And that's been a boost for us as well. It's a little bit of a mix shift in product. But overall, that's good.

看，我們已經看到大量的政府工作和學校已經完成，它們通常是維修和改造、維修和屋頂市場。我們認為其中一些被排除了。正如我們所說，它更偏向新冠疫情期間的新建築，這些將是我們正在完成的重大工作。屋頂的翻修工作現在顯然已經完成得更多了。這對我們來說也是一種推動。這是產品的一點混合轉變。但總的來說，這很好。

Obviously, office and retail has been a little bit softer. Certainly, we sort of get mixed with multifamily. Multifamily has been way off. Some of that is more commercial roofing than residential roofing. And then office has been a little bit soft, but most of the segments that we look at have actually been holding up pretty well. And it's more of the shift towards the repair and replace work than the new. And I think that's reflected in the ABI Index in terms of why it's so weak, there's more of this shift away from the new construction, which I think ABI biases towards.

顯然，辦公和零售業的表現有些疲軟。當然，我們有點與多戶家庭混在一起。多戶家庭已經離我們很遠了。其中一些是商業屋頂而不是住宅屋頂。然後辦公室有點疲軟，但我們關注的大多數細分市場實際上都表現得很好。而且更多的是向維修和更換工作的轉變，而不是新的工作。我認為這反映在 ABI 指數中，因為它為何如此疲軟，更多的是偏離新建築，我認為 ABI 偏向新建築。

So I think if you think about the commercial real estate market as a whole. I think we reflect that pretty well where the segments are strong and where the segments are weak. So you mentioned manufacturing, you mentioned data warehouses in general, those remain pretty good. And we continue to see, like I said, good bidding and quoting activity going out into the fourth quarter now and even early next year. So we remain quite bullish. And I think that we began focusing on this a couple of years ago as a market that we thought we could create a lot of value in. And we think we've been doing very well in that market as well. So we're very pleased with the results there.

所以我認為如果你考慮整個商業房地產市場。我認為我們很好地反映了哪些細分市場較強，哪些細分市場較弱。所以你提到了製造業，你提到了一般的資料倉儲，這些仍然相當不錯。正如我所說，我們繼續看到良好的投標和報價活動持續到第四季度，甚至明年初。所以我們還是相當看好。我認為我們幾年前就開始關注這個市場，我們認為我們可以在其中創造很多價值。我們認為我們在該市場也做得很好。所以我們對那裡的結果非常滿意。

Keith Hughes, Truist.

基斯‧休斯，真理主義者。

Thank you. I guess in the second half, let's built into this guidance. Are you assuming your -- excuse me, your residential roofing unit -- most of us earlier, are you assuming they're down low single digits or let me put words in your mouth just what's kind of the view there?

謝謝。我想在下半年，我們將納入本指南。你是否假設你的——對不起，你的住宅屋頂單元——我們大多數人早些時候，你是否假設它們的價格下降了個位數，或者讓我把話放在你嘴裡，那裡的景色是什麼樣的？

Sorry, Keith, you didn't -- you weren't clear coming through that.

抱歉，基思，你沒有——你不清楚。

Okay. Let me let me just say it again. In the second half guidance -- sales guidance, what do you have implied on units in residential roofing year over year, roughly?

好的。讓我再說一次。在下半年的指導－銷售指導中，您對住宅屋頂單位同比的大致暗示是什麼？

Yeah. So (inaudible) just one second, Keith.

是的。所以（聽不清楚）請稍等一下，基斯。

Yeah, fine.

是的，很好。

Yeah. So for the full year -- for the Q3 in terms of residential, we're expecting in terms of price and volume kind of low single digits on price and a little bit better on volume. (multiple speakers) Yeah go ahead. And on Q4 kind of mid -- negative mid-single digits on volume for Q4 year-over-year.

是的。因此，就全年而言，就住宅而言，我們預計第三季的價格和銷售量將達到低個位數，銷售量會稍微好一點。（多個發言者）好的，繼續。第四季的銷量年減中個位數。

Okay. And you were faced, you did double-digit positives in the second half in units last year. But those numbers about right?

好的。去年下半年，你的單位數量達到了兩位數的正數。但這些數字大約對嗎？

Yeah, that would have been about right, Keith, obviously, we had a strong storm come through towards the end of last year, which was particularly a strong finish to the year, particularly in Q4. So Q4 residential comps this year are going to be tough because there was such a big store demand towards the end of last year. So we would expect to -- we would certainly expect that to be down, but we expect the overall quarter to see growth organically, yeah.

是的，基思，顯然，我們在去年年底經歷了一場強烈的風暴，這對今年來說是一個特別強勁的結束，特別是在第四季度。因此，今年第四季的住宅競爭將會很艱難，因為去年底的商店需求非常大。所以我們預計——我們當然預計這一數字會下降，但我們預計整個季度會出現有機增長，是的。

Okay, great. Thank you.

好的，太好了。謝謝。

David MacGregor, Longbow Research.

大衛‧麥格雷戈，長弓研究中心。

Thanks. Good afternoon and thanks for taking the question and apologies for the background noise here. But Julian, I just want to ask you a question on how you respond to a changing macro and I guess, tactically, what do you do differently to protect margins, it becomes clear that we're heading into a harder landing macro.

謝謝。下午好，感謝您提出問題，並對這裡的背景噪音表示歉意。但是朱利安，我只想問你一個關於你如何應對不斷變化的宏觀的問題，我想，從戰術上講，你會採取什麼不同的措施來保護利潤，很明顯，我們正在進入一個更難著陸的宏觀。

Yeah. Look, we -- David, we -- the fact is that we fundamentally believe that the macro economy is not the overall driver of reroofing demand, which represents 80% of the business. It's really driven by the total number of houses out there, and the total number of buildings. And as I've said for several years now, there's always more buildings at the end of the year than there are at the beginning, we consistently build more.

是的。聽著，我們——大衛，我們——事實是，我們從根本上相信宏觀經濟並不是翻修屋頂需求的整體驅動力，而翻修屋頂需求佔了業務的 80%。它實際上是由房屋總數和建築物總數所驅動的。正如我多年來所說，年底的建築總是比年初多，我們一直在建造更多建築。

So we continue to expect to see a good demand environment. We believe that the aging housing stock, the aging commercial stock presents real opportunity for us. But in terms of where I think your question is going is really around our operating posture. And look, we've been very focused on driving efficiency at the branches, trying to make sure we've got good cost control. I think we had a very difficult second quarter to manage. I think we learned how to do that through the quarter, and we expect to get better.

因此，我們繼續期望看到良好的需求環境。我們相信，老化的房屋存量、老化的商業存量為我們提供了真正的機會。但我認為你的問題實際上是圍繞著我們的營運狀況展開的。看，我們一直非常注重提高分公司的效率，並努力確保我們有良好的成本控制。我認為我們的第二季非常難以管理。我認為我們在整個季度中學會瞭如何做到這一點，並且我們預計會變得更好。

But really, it is ours management at the branch are we making sure that we're being efficient. Are we staffed at the right level on a day-to-day basis, are we getting the right efficiency out of the branches, are we focused on our bottom quintile process to yield the margins. And then I think that ultimately, we are looking at private label, digital on our pricing model in order to give us a little bit of boost on the margin side as well.

但實際上，我們分行的管理階層要確保我們的效率。我們是否在日常工作中配備了適當級別的人員，我們是否從分支機構中獲得了適當的效率，我們是否專注於底部五分之一的流程以產生利潤。然後我認為最終，我們正在考慮在我們的定價模型上考慮自有品牌、數位化，以便在利潤方面也為我們帶來一點推動。

We think these are all significant contributors and we need to execute against those. We have not seen yet the impact of the pricing model that we're putting in. We should be complete with that at the – certainly, the first half, maybe the end of the first quarter of 2025. And we think that's exactly what we thought it was, and we said we believe it would yield 50 basis points of improvement in gross margin.

我們認為這些都是重要的貢獻者，我們需要針對這些做出執行。我們還沒有看到我們所採用的定價模型的影響。我們應該在 2025 年上半年，也許是第一季末完成這項工作。我們認為這正是我們所想的，我們相信這將使毛利率提高 50 個基點。

So there's a lot of work that we continue to do, both at the gross margin level, but more importantly, at the EBITDA level to enhance our margin, not just protect it, and we think we can do that. We were a little -- I'll be honest, we were disappointed with the performance on OpEx in the second quarter. But we'll bounce back from that, and we'll get it right, and we'll move forward and we'll continue to drive operating performance.

因此，我們在毛利率水準上繼續做很多工作，但更重要的是在 EBITDA 水準上，以提高我們的利潤率，而不僅僅是保護它，我們認為我們可以做到這一點。老實說，我們對第二季營運支出的表現感到失望。但我們會從中恢復過來，我們會做對的，我們會繼續前進，我們將繼續推動經營業績。

Thank you, Julian.

謝謝你，朱利安。

Thanks for the question, David.

謝謝你的提問，大衛。

Reuben Garner, The Benchmark Company.

魯本·加納，基準公司。

Thank you. Good evening, everybody. Forgive me if I mischaracterized this, but it would seem that your outlook, at least for organic kind of top line for the second half is pretty comparable to what you're looking for before maybe a touch better, but in your prepared remarks or in the press release kind of worry about it. You mentioned something about being proactive to respond to market conditions by adjusting resources and inventory.

謝謝。大家晚上好。如果我錯誤地描述了這一點，請原諒我，但看來您的前景，至少對於下半年的有機頂線來說，與您之前所尋找的內容相當，也許會更好一些，但在您準備好的評論中或在新聞稿有點擔心。您提到透過調整資源和庫存來主動應對市場狀況。

I was just curious if you could kind of square up those comments, Julian, because it seems like you remain pretty bullish and things have been good outside of some weather, but you're talking about kind of making adjustments. So if you could just kind of clarify that for me to be great. Thanks, guys.

我只是很好奇你是否可以整理這些評論，朱利安，因為看起來你仍然非常樂觀，並且在某些天氣之外情況一直很好，但你正在談論進行調整。所以如果你能澄清這一點對我來說就太好了。謝謝，夥計們。

Yeah, absolutely, Reuben. I mean, look, I think that the reality of the market today has been that we've got some very good markets, some particularly bad markets, and it's been a very variable. And the differences is that our branches aren'table to move around. I mean the manufacturing can move shingle shipments around the country. They waterfall it and they can flow whether demand is we still have to operate branches even in the weak markets and serve those markets. I mean, if you take Florida, for example, I think you'd see that our shipments there are off 40%, 50%, maybe not 30%, 40% for the year.

是的，絕對是，魯本。我的意思是，我認為當今市場的現實是，我們有一些非常好的市場，也有一些特別糟糕的市場，而且這是一個非常多變的市場。不同之處在於我們的分支機構不能移動。我的意思是製造業可以將木瓦運送到全國各地。它們呈現瀑布式分佈，無論需求如何，它們都可以流動，即使在市場疲軟的情況下，我們仍然必須經營分支機構並為這些市場提供服務。我的意思是，如果你以佛羅裡達州為例，我想你會發現我們今年的出貨量減少了 40%、50%，也許不是 30%、40%。

And we still a very large market, and we have to adjust and make sure that we've got the right staffing levels in those markets. And we've got the right resources. That market is off a lot and making sure you get ahead of it is important and we've got several markets that are quite weak. I think we've executed price in those markets and continue to see things things go through, but we've got to be able to get staffing levels.

我們仍然是一個非常大的市場，我們必須進行調整並確保我們在這些市場中擁有合適的人員配置水準。我們擁有合適的資源。該市場大幅下滑，確保您領先很重要，而且我們有幾個市場相當疲軟。我認為我們已經在這些市場上執行了價格，並繼續觀察事情的進展，但我們必須能夠達到人員配備水準。

The flip side is in markets where it's been particularly good. And we've got to make sure that we've got the right level of people in those markets as well so that we can take advantage of a strong market. And I think that we will adjust after the second quarter where I don't think we executed on that as well as we could have done. We need to we need to get better at that, we need to adjust and that's really where our comments come from. The variability of the markets. We've got to make sure we get it right.

另一方面是在表現特別好的市場。我們必須確保在這些市場上也擁有適當水準的人員，以便我們能夠利用強大的市場。我認為我們將在第二季之後進行調整，我認為我們在這方面的執行情況沒有達到我們本可以做到的程度。我們需要在這方面做得更好，我們需要調整，這就是我們的評論的真正來源。市場的可變性。我們必須確保我們做對了。

Got it. Very helpful. Thanks, guys. Good luck going forward.

知道了。非常有幫助。謝謝，夥計們。祝你未來好運。

Thanks very much for your question, Reuben.

非常感謝你的提問，魯本。

That concludes the questions. Now I would like to turn the call back over to Mr. Francis for his closing comments.

問題到此結束。現在我想將電話轉回給弗朗西斯先生，請他發表結束語。

Thank you, Elliot. I just want to say thank you to all of you for your interest in Beacon and your continued support of our efforts to improve the business. And we are we continue to be very pleased with our top line performance and the growth that we are seeing, we believe we've demonstrated that we have multiple paths to growth. We also believe we've got multiple paths for margin enhancing initiatives that are driving success at the bottom line as well. And we continue to believe that there's further opportunity in this business. So with that, thank you very much for your attention, and thanks very much for attending and thanks. Bye.

謝謝你，艾利奧特。我只想感謝大家對 Beacon 的關注以及對我們改善業務努力的持續支持。我們仍然對我們的營收表現和所看到的成長感到非常滿意，我們相信我們已經證明了我們有多種成長途徑。我們也相信，我們有多種提高利潤率的舉措，這些舉措也能推動獲利的成功。我們仍然相信這項業務還有更多機會。因此，非常感謝您的關注，非常感謝您的出席和感謝。再見。

Ladies and gentlemen, today's call is now concluded. We'd like to thank you for your participation. You may now disconnect your lines.

女士們、先生們，今天的電話會議到此結束。我們衷心感謝您的參與。現在您可以斷開線路。