Babcock & Wilcox Enterprises Inc (BW) 2025 Q1 法說會逐字稿

Good afternoon. Thank you for attending the Babcock & Wilcox Enterprises first-quarter 2025 conference call. (Operator Instructions).

午安.感謝您參加 Babcock & Wilcox Enterprises 2025 年第一季電話會議。（操作員指令）。

I'd now like to turn the conference over to your host, Sharyn Brooks, B&W's Director of Communications. Thank you. You may proceed, Ms. Brooks.

現在我想將會議交給主持人，B&W 的通訊總監 Sharyn Brooks。謝謝。您可以繼續，布魯克斯女士。

Thank you, Matt, and thanks to everyone for joining us on Babcock & Wilcox Enterprises' first-quarter 2025 earnings conference call. I'm Sharyn Brooks, Director of Communications and Marketing. Joining the call today are Kenny Young, B&W's Chairman and Chief Executive Officer; and Cameron Frymyer, Chief Financial Officer, to discuss our first-quarter results.

謝謝你，馬特，也謝謝大家參加 Babcock & Wilcox Enterprises 2025 年第一季財報電話會議。我是傳播和行銷總監 Sharyn Brooks。今天參加電話會議的有 B&W 董事長兼執行長 Kenny Young 和財務長 Cameron Frymyer，他們將討論我們的第一季業績。

During this call, certain statements we make will be forward-looking. These statements are subject to risks and uncertainties, including those set forth in our Safe Harbor provision for forward-looking statements that can be found at the end of our earnings press release and also in our Form 10-Q that was filed this afternoon and our Form 10-K that is on file with the SEC and provide further detail about the risks related to our business. Additionally, except as required by law, we undertake no obligation to update any forward-looking statements.

在本次電話會議中，我們所做的某些陳述將具有前瞻性。這些聲明受到風險和不確定性的影響，包括我們的前瞻性聲明安全港條款中規定的風險和不確定性，這些條款可以在我們的收益新聞稿末尾找到，也可以在我們今天下午提交的 10-Q 表和提交給美國證券交易委員會的 10-K 表中找到，並提供了與我們業務相關的風險的進一步詳細信息。此外，除法律要求外，我們不承擔更新任何前瞻性聲明的義務。

We also provide non-GAAP information regarding certain of our historical and targeted results to supplement the results provided in accordance with GAAP. This information should not be considered superior to or as a substitute for the comparable GAAP measures. A reconciliation of historical non-GAAP measures can be found in our first-quarter earnings release published this afternoon and in our company overview presentation filed on Form 8-K this afternoon and posted on the Investor Relations section of our website at babcock.com.

我們還提供關於某些歷史和目標結果的非 GAAP 信息，以補充根據 GAAP 提供的結果。此資訊不應被視為優於或替代可比較的 GAAP 指標。歷史非 GAAP 指標的對帳可以在我們今天下午發布的第一季度收益報告和我們今天下午以 8-K 表格形式提交的公司概況介紹中找到，並發佈在我們網站 babcock.com 的投資者關係部分。

I will now turn the call over to Kenny.

我現在將電話轉給肯尼。

Thanks, Sharyn. And thanks, everyone, for joining this afternoon. We are pleased to report a strong start to 2025 with robust first-quarter results across our entire business. Our results in the first quarter reflect the strong global and North American demand for our technologies as we continue converting our $7.6 billion global pipeline of identified project opportunities into new bookings.

謝謝，莎琳。感謝大家今天下午的參與。我們很高興地報告，2025 年開局強勁，我們整個業務第一季業績強勁。我們第一季的業績反映了全球和北美對我們技術的強勁需求，我們繼續將價值 76 億美元的全球已確定的專案機會轉化為新訂單。

We generated strong operating results highlighted by revenue, operating income, and adjusted EBITDA that exceeded both company and consensus expectations for the quarter. The results in the quarter were led by a strong performance from our global parts and services business, which posted the highest Q1 bookings, revenue, gross profit, and EBITDA in the past decade.

我們取得了強勁的經營業績，營收、營業利潤和調整後 EBITDA 均超出了公司和市場對本季的預期。本季的業績得益於我們全球零件和服務業務的強勁表現，該業務創下了過去十年來最高的第一季訂單量、收入、毛利和 EBITDA。

The company's core business continues to perform ahead of expectations, and we anticipate returning to positive cash flows in 2025. We are also excited to report a significant accomplishment from our recent strategic efforts to reduce or refinance our current debt. Earlier today, we announced that approximately 40% of our outstanding bonds have been exchanged into new five-year notes at a discount to par, which significantly reduces our current debt, lowers our overall net debt, and reduces our annual interest expense.

公司核心業務持續表現超出預期，我們預計2025年將恢復正現金流。我們也很高興地報告，我們最近為減少或再融資當前債務所做的戰略努力取得了重大成就。今天早些時候，我們宣布大約 40% 的未償還債券已以低於票面價值的價格兌換成新的五年期票據，這大大減少了我們當前的債務，降低了我們的整體淨債務，並減少了我們的年度利息支出。

This privately negotiated bond exchange is expected to result in $131.8 million of outstanding bonds due in 2026, being replaced with new bonds in the amount of $100.8 million that will be due in 2030. This lowers our annual interest expense by $1.1 million and combined represents a positive step in our restructuring and refinancing efforts while demonstrating continued support from our lenders and bondholders. Moving forward, we continue to explore further debt refinancing options and are in discussions regarding other potential asset dispositions to reduce our current and long-term debt obligations.

此次私下協商的債券交換預計將導致 2026 年到期的 1.318 億美元未償還債券被 2030 年到期的 1.008 億美元新債券所取代。這使我們的年度利息支出降低了 110 萬美元，這對我們的重組和再融資工作來說是積極的一步，同時也表明了我們的貸方和債券持有人的持續支持。展望未來，我們將繼續探索進一步的債務再融資選擇，並正在討論其他潛在的資產處置，以減少我們當前和長期的債務。

In support of that objective, earlier this month, we also announced the sale of the majority of the assets of our Denmark-based waste energy subsidiary for $20 million in gross proceeds to Kanadevia Inova, formerly known as Hitachi Zosen. As part of the sale, $5 million of the $20 million in total proceeds is directed to fund our BrightLoop project in Massillon, Ohio.

為了實現這一目標，本月早些時候，我們還宣布將位於丹麥的廢棄物能源子公司的大部分資產以 2,000 萬美元的總收益出售給 Kanadevia Inova（前身為日立造船）。作為出售的一部分，2000 萬美元總收益中的 500 萬美元將用於資助我們位於俄亥俄州馬西隆的 BrightLoop 項目。

As a part of this asset sale, we have also entered into agreements to work together regarding the North American waste energy market, leveraging each company's best-in-class waste-to-energy grade technologies and B&W's boiler technologies. We also entered into an agreement to jointly develop BrightLoop opportunities to leverage renewable natural gas and other applications. ABI is a global leader in waste-to-energy technologies, carbon capture, and renewable natural gas, and we look forward to working with them on joint opportunities in the years to come.

作為此次資產出售的一部分，我們也達成了協議，共同在北美廢棄物能源市場合作，利用各自公司一流的廢棄物能源級技術和 B&W 的鍋爐技術。我們也達成協議，共同開發 BrightLoop 機會，以利用再生天然氣和其他應用。ABI 是廢棄物能源技術、碳捕獲和再生天然氣的全球領導者，我們期待在未來幾年與他們合作，共創機會。

We continue to see strong global demand for our diverse portfolio of technologies and are making progress in converting our $7.6 billion global pipeline of identified projects and opportunities as displayed by our strong bookings and backlog results this quarter. Our backlog of $526.8 million at the end of the first quarter was a 47% increase compared to the same period of 2024. This represents the largest backlog in recent company history as our Thermal segment continues to perform based on higher baseload generation demand in North America.

我們繼續看到全球對我們多樣化技術組合的強勁需求，並且在轉化我們價值 76 億美元的全球已確定項目和機會方面正在取得進展，正如本季度強勁的預訂量和積壓訂單結果所顯示的那樣。截至第一季末，我們的積壓訂單為 5.268 億美元，與 2024 年同期相比成長了 47%。這是該公司近期歷史上最大的積壓訂單，因為我們的熱電部門繼續在北美更高的基荷發電需求的基礎上表現出色。

In addition, we achieved bookings from continued operations of $167 million, an 11% increase compared to the same period of 2024. This increase in bookings is supported by record high bookings from our global parts and services business. We believe these results affirm our strong foundation while underpinning our pipeline and outlook for the year ahead.

此外，我們持續經營業務的訂單金額達到 1.67 億美元，較 2024 年同期成長 11%。訂單量的成長得益於我們全球零件和服務業務創紀錄的訂單量。我們相信，這些結果鞏固了我們堅實的基礎，同時也為我們未來一年的規劃和前景奠定了基礎。

Our efforts to progress BrightLoop are moving forward as we further the commercial development of existing projects and continue working to improve the overall operational effectiveness of these technologies to produce low-cost green hydrogen. We are continuing to progress with engineering work for our previously announced BrightLoop projects.

隨著我們進一步推進現有項目的商業開發並繼續努力提高這些技術的整體營運效率以生產低成本的綠色氫氣，我們推進 BrightLoop 的努力正在向前推進。我們正在繼續推進先前宣布的 BrightLoop 專案的工程工作。

We are finalizing the financing from Massillon, Ohio project for which we have already received a significant offtake agreement. When completed, the plant will produce 5 tonnes of hydrogen per day, and we anticipate completing financing in the next few months while simultaneously placing long lead time orders and continuing with all permits, licenses, and construction. We anticipate hydrogen production from the Massillon plant sometime by mid-2026.

我們正在敲定俄亥俄州馬西隆計畫的融資，我們已經收到了一份重要的承購協議。工廠竣工後，每天將生產 5 噸氫氣，我們預計在未來幾個月內完成融資，同時下達長期訂單並繼續辦理所有許可證、執照和建設。我們預計馬西隆工廠將於 2026 年中期開始生產氫氣。

We also continue to see opportunities for new projects related to renewable energy in the United States, which could enable us to leverage our ClimateBright decarbonization platform and presents additional higher margin prospects. These opportunities are for behind-the-meter datacenter power applications as well as carbon oxide removal technology.

我們也繼續看到美國再生能源相關新項目的機會，這可以使我們能夠利用我們的 ClimateBright 脫碳平台並帶來額外的更高利潤前景。這些機會適用於電錶後資料中心電力應用以及碳氧化物去除技術。

Looking forward, we anticipate industry tailwinds and generation demand to continue throughout 2025 in the years ahead. However, the company is also keeping a close eye on the tariff negotiations and any potential impact on the business in 2025. As stated, the company's core business continues to perform ahead of expectations, and we do again expect to return to positive cash flows in 2025.

展望未來，我們預計產業順風和發電需求將在未來幾年持續到 2025 年。不過，該公司也密切關注關稅談判及其對 2025 年業務的任何潛在影響。如上所述，該公司的核心業務持續表現超出預期，我們再次預期 2025 年現金流將恢復正值。

I'll now turn the call over to Cameron to discuss the financial details of the first quarter of 2025. Cameron?

現在我將把電話轉給卡梅倫，討論 2025 年第一季的財務細節。卡梅倫？

Yes. Thanks, Kenny. I am pleased to review our first-quarter results. Further details of which can be found in the 10-Q that is on file with the SEC. Our first-quarter consolidated revenues were $181.2 million, which is a 10% increase compared to the first quarter of 2024. The increase is primarily driven by activity related to a large natural gas project for $8.5 million, higher construction volume of $6 million, and an increase in thermal part sales of $10 million.

是的。謝謝，肯尼。我很高興回顧我們的第一季業績。更多詳細資訊請參閱美國證券交易委員會 (SEC) 存檔的 10-Q 表。我們第一季的綜合收入為 1.812 億美元，與 2024 年第一季相比成長了 10%。這一增長主要得益於一項價值 850 萬美元的大型天然氣項目相關活動、600 萬美元的較高建築量以及 1000 萬美元的熱力部分銷售額的增長。

Net loss from continuing operations in the first quarter of 2025 was $7.8 million, which was a better result compared to the net loss of $12.8 million in the first quarter of 2024. Our loss per share from continuing operations in the first quarter of 2025 was $0.11 compared to a loss per share of $0.19 in the first quarter of 2024. Our operating income in the first quarter of 2025 was $5.9 million, exceeding our quarterly expectations and outpacing operating income of $5.7 million in the first quarter of 2024.

2025 年第一季持續經營淨虧損為 780 萬美元，與 2024 年第一季 1,280 萬美元的淨虧損相比有所改善。我們 2025 年第一季的持續經營每股虧損為 0.11 美元，而 2024 年第一季的每股虧損為 0.19 美元。我們 2025 年第一季的營業收入為 590 萬美元，超出了我們的季度預期，也超過了 2024 年第一季 570 萬美元的營業收入。

Our adjusted EBITDA was $14.3 million compared to $11.3 million in the first quarter of 2024. Bookings in the first quarter of 2025 were $167 million, an 11% increase compared to the same period last year. And ending backlog was $526.8 million, a 47% increase since the first quarter of 2024. As Kenny previously mentioned, this extremely strong quarterly bookings is supported by the high performance of our parts and service business this quarter.

我們的調整後 EBITDA 為 1,430 萬美元，而 2024 年第一季為 1,130 萬美元。2025年第一季的預訂金額為1.67億美元，比去年同期成長11%。期末積壓訂單金額為 5.268 億美元，自 2024 年第一季以來成長了 47%。正如肯尼之前提到的，本季極其強勁的訂單量得益於我們本季零件和服務業務的出色表現。

I'll now turn to the balance sheet, cash flow, and liquidity. Total debt at March 31, 2025, was $473.6 million, and the company had cash, cash equivalents, and restricted cash balance of $116.8 million. The company's core business is performing ahead of expectations, and we continue to anticipate returning to positive cash flows in 2025, excluding BrightLoop.

現在我將討論資產負債表、現金流和流動性。截至 2025 年 3 月 31 日，總債務為 4.736 億美元，公司擁有現金、現金等價物和受限現金餘額為 1.168 億美元。該公司的核心業務表現超出預期，我們繼續預計到 2025 年其現金流（不包括 BrightLoop）將恢復正值。

One of our top priorities continue to be the refinancing and reduction of our current debt obligations. As noted previously, we have recently entered into a privately negotiated bond exchange, which is expected to result in a $131.8 million of outstanding bonds due in 2026 being replaced with new bonds equal to $100.8 million that will be due in 2030. This is a significant positive step in our refinancing efforts as it decreases our debt obligation by $31 million and reduces interest by $1.1 million a year. Furthermore, this demonstrates the continued support from our lenders and our bondholders.

我們的首要任務之一仍然是再融資和減少當前的債務。如前所述，我們最近達成了一項私下協商的債券交換協議，預計將導致 2026 年到期的 1.318 億美元未償還債券被 2030 年到期的 1.008 億美元新債券所取代。這是我們再融資努力中的一個重要的積極步驟，因為它使我們的債務減少了 3,100 萬美元，並且每年減少了 110 萬美元的利息。此外，這也顯示了我們的貸款人和債券持有人的持續支持。

We continue to explore further debt refinancing options to extend or reduce our current and long-term debt obligations. We also continue to investigate the sale of certain other assets similar to the sale of the Denmark-based waste energy subsidiary announced earlier this month. The proceeds of these sales will be used primarily to pay down existing debt and enhance working capital.

我們將繼續探索進一步的債務再融資選擇，以延長或減少我們當前和長期的債務義務。我們也將繼續調查與本月稍早宣布的丹麥廢棄物能源子公司出售類似的某些其他資產的出售情況。這些銷售所得將主要用於償還現有債務和增加營運資金。

I'll now turn the call back over to Kenny.

我現在將電話轉回給肯尼。

Thanks, Cameron. Well, in closing, we remain intently focused on executing our strategic plan and driving further improvements in our balance sheet. Our global pipeline of over $7.6 billion and identified project opportunities remains healthy across all of our business segments. And we anticipate additional prospects for new bookings and stronger financial performance throughout 2025.

謝謝，卡梅倫。最後，我們將繼續專注於執行我們的策略計劃並推動資產負債表的進一步改善。我們全球超過 76 億美元的儲備項目和已確定的專案機會在我們所有的業務部門中都保持著良好的發展勢頭。我們預計 2025 年將有更多新訂單和更強勁的財務表現。

We continue to believe our deep industry expertise with clean energy and carbon capture technologies, coupled with our long history and traditional energy sources, positions us well to deliver environmental conscious technology-driven solutions to our global customers.

我們始終相信，我們在清潔能源和碳捕獲技術方面的深厚行業專業知識，加上我們悠久的歷史和傳統能源，使我們能夠為全球客戶提供環保的技術驅動解決方案。

As always, I would like to recognize the efforts of our dedicated and talented employees around the world who focused on working hard and safely to deliver consistent profitable growth for our shareholders and help meet the world's need for clean and reliable energy now and in the future. I'd also like to thank our global customer base and suppliers for their continued support of Babcock & Wilcox. And we remain excited about the prospects that lie ahead.

像往常一樣，我要表彰我們在世界各地的敬業且才華橫溢的員工，他們專注於努力和安全地工作，為我們的股東帶來持續的盈利增長，並幫助滿足世界現在和將來對清潔可靠能源的需求。我還要感謝我們的全球客戶和供應商對 Babcock & Wilcox 的持續支持。我們仍然對未來的前景感到興奮。

With that, I'll turn the call back over to Matt, who will assist us on taking one or two questions. Matt?

說完這些，我將把電話轉回給馬特，他將協助我們回答一兩個問題。馬特？

Ladies and gentlemen, we will now begin the Q&A session. (Operator Instructions) Aaron Spychalla, Craig-Hallum.

女士們、先生們，我們現在開始問答環節。（操作員指示）Aaron Spychalla，Craig-Hallum。

Yeah, hi, Kenny and Cameron. Thanks for taking the questions. Maybe first for me on guidance. Just wanted to make sure I might have missed it, but are you kind of reiterating guidance for the year? And I know you had some kind of caution on just project timing and tariffs and things like that. But with the strong start to the year, just wanted to get a little bit more color there, and maybe an update on the coal to gas conversion project and kind of thoughts for contribution this year versus the next couple of years.

是的，嗨，肯尼和卡梅倫。感謝您回答這些問題。也許對我來說這是第一個指導。只是想確認一下我是否錯過了，但您是否在重申今年的指導？我知道您對專案時間表、關稅等問題持謹慎態度。但隨著今年開局強勁，我只是想獲得更多細節，也許可以更新一下煤轉氣項目的情況，並思考今年和未來幾年的貢獻。

Yes. We're -- we haven't -- we didn't touch on guidance on the call just to kind of -- it's not -- we're basically just keeping it where it is or was -- on it and keeping an eye out for it rather than come back with different ranges and other aspects. We just said, let's leave it where it is but not touch it. I think our -- the key part we got to keep an eye on, as we've talked about offline, is the tariffs out there and the potential impact that that may have on projects.

是的。我們 - 我們沒有 - 我們在電話會議上沒有提及指導，只是有點 - 它不是 - 我們基本上只是保持它現在或以前的狀態 - 並密切關注它，而不是帶著不同的範圍和其他方面回來。我們只是說，讓我們把它留在原處，但不要碰它。我認為，正如我們在線下討論的那樣，我們需要關注的關鍵部分是關稅以及它可能對專案產生的潛在影響。

And that, honestly, right now is anybody's guess or clue with all that's going on in the world of these negotiations and discussions, and back and forth and back and forth. Obviously, our customers keep an eye on those as well too. And as it relates to -- I think, for parts and services, as we've talked about publicly, probably not a big impact overall in the business. But some of the larger projects and upgrades and other aspects, those are things that have potential impacts, and we just have to work with our customers on timing of that.

老實說，目前世界上正在進行許多談判和討論，而且來來回回，因此任何人都無法做出任何猜測或推測。顯然，我們的客戶也關注這些。就其相關性而言——我認為，對於零件和服務而言，正如我們公開談論的那樣，可能不會對整體業務造成很大的影響。但一些較大的專案、升級和其他方面都有可能產生影響，我們只需要與客戶合作確定時間。

So as -- the range is broad just because if a project gets delayed a month or two because of tariffs or other aspects, as people kind of wait through their strategies in and around those, it just has an impact overall in the business. So we just kind of didn't touch it on any update or any other conversation around the guidance on it.

因此，範圍很廣，因為如果一個專案因為關稅或其他方面而延遲了一兩個月，而人們正在等待圍繞這些因素制定策略，那麼這將對整個業務產生影響。因此，我們幾乎沒有在任何更新或有關其指導的其他對話中提及它。

On the natural gas project right now, it's actually proceeding on schedule and doing -- it's on time, on schedule for us and a customer. That's the large one in Indiana. So that's progressing, I think, well. Hopefully, the tariff aspects don't impact that at all from any kind of delays that may happen later on this year.

就目前的天然氣項目而言，它實際上正在按計劃進行——對於我們和客戶來說，它都是按時、按計劃進行的。這是印第安納州最大的一個。所以我認為，這是一個進展。希望今年稍後可能發生的任何關稅延誤不會對此造成任何影響。

The bulk of the shipment of inbound technology will happen later this year, early into next year. So any impact from the tariffs on that would not be realized until then. So I think both us and the customer are just keeping a close eye on these constant negotiations and updates coming out of Capitol Hill, and we'll make a kind of a real game time decision and strategy around those tariffs when it -- when we get closer to those activities, if that makes sense.

大部分進口技術將在今年稍晚至明年年初運抵。因此，關稅對此的任何影響要到那時才會顯現。因此，我認為我們和客戶都在密切關注國會山莊的持續談判和最新消息，當我們接近這些活動時，我們將圍繞這些關稅做出真正的決策和策略，如果這有意義的話。

No, it does. And then maybe second, with the asset sales, it sounds like some of those proceeds are going to be going to Massillon. Can you just remind us of the timeline for that project? You touched on it a little bit, but just total kind of costs from you and for the overall project. Sounds like financing is still coming together there. And then just what that could mean for other projects in the pipeline as that gets up and running.

不，確實如此。其次，隨著資產出售，聽起來部分收益將流向馬西隆。您能提醒我們該專案的時間表嗎？您稍微提到了這一點，但這只是您和整個專案的總成本。聽起來那裡的融資仍在進行中。那麼這對正在籌備和運行的其他項目意味著什麼？

Yes, so obviously, Massillon is important for us to get in the ground. We have been and still working through the overall financing of that aspect of it. It's -- the project itself probably, at this stage, needs around $40 million or $50 million of additional financing to complete that project.

是的，顯然，馬西隆對於我們進入該領域非常重要。我們一直在努力並仍在為該方面進行整體融資。目前，該項目本身可能需要大約 4000 萬美元或 5000 萬美元的額外融資才能完成。

We have, as we stated, wouldn't go too much further on this. But as we're in discussions with some financing options on the company, that's clearly one of them. And we're working through those details as we speak. So that's -- hopefully, we can complete that here in the next few months and then just release all of the orders that we have pending.

正如我們所說的，我們不會對此進行過多的討論。但當我們正在討論公司的一些融資方案時，這顯然是其中之一。我們正在討論這些細節。所以——希望我們能在接下來的幾個月內完成這項工作，然後發布所有待處理的訂單。

The main bulk of that need right now is in the construction area, and we really want to get the construction teams on site on ground here in the fall of this year. And that's -- we're trying to stay to that schedule as we speak. And then with the anticipation, depending on the winner, how light or hard it is, anticipate producing hydrogen sometime by mid next year at this stage.

目前，主要的需求是在建築領域，我們非常希望今年秋天讓建築隊伍到達現場。那就是——我們正在努力遵守這個時間表。然後，根據獲勝者的預期，它有多輕或多硬，預計在明年年中某個時候可以生產氫氣。

I think as we move ahead with that project and move forward on that, some of the other options -- or opportunities, not options, but opportunities that we're working on, we'll start to really move more into a serious booking mode sometime in 2016, and that's the feedback we're getting as we still work through some of the pipeline aspects out there. But the pipeline of opportunities on -- for BrightLoop seem to be growing.

我認為，隨著我們推進該專案並取得進展，一些其他的選擇——或者機會，不是選擇，而是我們正在努力的機會，我們將在 2016 年的某個時候開始真正進入更嚴肅的預訂模式，這是我們在處理一些管道方面的問題時得到的反饋。但 BrightLoop 的機會似乎不斷增加。

This is an opportunity phase clearly but within the oil and gas industry and some other heavy gas suppliers that are still looking at utilizing natural gas to hydrogen. And the value here that BrightLoop brings is it brings an alternative that says, hey, if you want to isolate CO2 today, great. If you don't, fine, up to the customer.

這顯然是一個機會階段，但對於石油和天然氣產業以及一些其他重質氣體供應商來說，他們仍在研究利用天然氣氫氣生產。BrightLoop 帶來的價值在於它提供了一種替代方案，即，如果你今天想隔離二氧化碳，那就太好了。如果你不這樣做，那也沒關係，由客戶決定。

But obviously, if there are other mandates on CO2 in the future, that option has been built in. So there's very little cost then for that new plant to have to convert to carbon capture. It's just -- it's a matter of what you want to do with the CO2, whether you -- because we capture it as part of our process.

但顯然，如果未來對二氧化碳有其他規定，這個選項已經包含在內。因此，新工廠轉換為碳捕獲裝置的成本非常低。這只是——問題在於你想如何處理二氧化碳，無論你是否——因為我們將其捕獲作為我們流程的一部分。

So there's significant capital savings versus other natural gas to hydrogen technologies. And that's one of the reasons we're getting a lot of attention on this technology right now as some of these larger companies are looking at alternatives to steam methane reform and ATR, which, clearly, SMR and ATR are proven bondable, bankable technologies, right? It's been out of the marketplace for quite some time.

因此，與其他天然氣製氫技術相比，它可以節省大量資本。這就是我們現在對這項技術給予如此多關注的原因之一，因為一些較大的公司正在尋找蒸汽甲烷重整和 ATR 的替代方案，顯然，SMR 和 ATR 是經過驗證的可粘合、可靠的技術，對嗎？它已經退出市場很長一段時間了。

BrightLoop is new, so the Massillon plant and getting the commercial plant up is vitally important. We also continue to have dialogue and are in discussions with the Department of Energy and other groups on Capitol Hill to participate either in Massillon or one or two of these other projects that we're involved in, Wyoming and/or West Virginia. And we -- hopefully, some of that will move to a favorable outcome as well. Way too early to tell, but those discussions and conversations still continue.

BrightLoop 是一家新公司，因此馬西隆工廠及其商業工廠的建立至關重要。我們也將繼續與能源部和國會山莊的其他團體進行對話和討論，參與馬西隆計畫或我們參與的懷俄明州和/或西維吉尼亞州的一兩個計畫。我們希望，其中一些事情也能取得有利的結果。現在下結論還為時過早，但這些討論和對話仍在繼續。

Understood. Thanks for taking the questions. I'll turn it over. Appreciate the color.

明白了。感謝您回答這些問題。我把它翻過來。欣賞色彩。

Yeah, thanks, Aaron.

是的，謝謝，亞倫。

Thanks, Aaron.

謝謝，亞倫。

Rob Brown, Lake Street Capital Markets.

羅布布朗 (Rob Brown)，Lake Street Capital Markets。

Good afternoon. You had a pretty strong demand environment going on. What are some of the drivers that are that are kind of driving that at this point?

午安.你們有一個相當強勁的需求環境。目前有哪些驅動因素在推動這項進程？

On the demand side, is that what you were asking? Sorry, you cut out briefly there.

從需求方面來說，這就是您所問的嗎？抱歉，您剛才說得有點簡短。

Yes, sorry. Just you had a very good bookings quarter. I think you said one of the best in 10 years. Just wanted to get a sense of some of the drivers for that demand at this point?

是的，抱歉。您剛剛度過了一個非常好的預訂季度。我認為您說的是十年來最好的之一。只是想了解目前這種需求的一些驅動因素？

Yes. I mean, the exciting part about where we are -- I mean, obviously, baseload generation worldwide, right, has really increased. And so the concept of increasing the utilization of some of our core technologies in and around coal plants are still vitally important to meet that baseload generation, and we're just seeing some of the pickup from not only those plants but other small plants as well, too, that could be natural gas, package boilers, and other aspects.

是的。我的意思是，我們所處位置令人興奮的部分是——我的意思是，顯然，全球基載發電量確實增加了。因此，提高燃煤電廠及其周邊一些核心技術的利用率對於滿足基載發電廠仍然至關重要，而且我們看到，不僅這些電廠的發電量有所回升，其他小型電廠的發電量也有所回升，這些小型電廠可能是天然氣電廠、成套鍋爐，還有其他方面。

So overall, from a parts and services standpoint, we're just seeing the need of baseload generation increase. And typically, Q1 for us is a little bit light, normally in our parts and services business. So it was pretty exciting to see the demand come in. And it's -- it was global in reach. So it was international as well as in domestic, North America, for us on that.

因此整體而言，從零件和服務的角度來看，我們只是看到基載發電需求的增加。通常來說，第一季我們的零件和服務業務會比較清淡。因此看到需求的增加是相當令人興奮的。而且它的影響力是全球性的。因此，對我們來說，這不僅涉及國際，還涉及國內和北美。

But primarily driven, if you go back to the basic aspect of it, a lot of these plants are being used more and more and more. Some of those plants last year may have shifted some of the outage work and delayed some of the outage work. As a result, they have more parts wear and tear that they need to maintain. Some of these plants are placing orders, trying to anticipate parts and other aspects that they're going to need later on this year. So there's combinations of all of those pieces that are happening across the board, but it's just exciting to see it translate into a very positive Q1.

但主要原因是，如果你回顧其基本面，你會發現這些工廠的使用越來越多。去年其中一些工廠可能已經轉移了部分停駛工作並推遲了部分停駛工作。結果，他們需要維護的零件磨損得更多。其中一些工廠正在下訂單，試圖預測今年稍後所需的零件和其他方面。因此，所有這些因素的組合都在全面發生，但看到它轉化為非常積極的第一季業績令人興奮。

Okay, great. And then I guess, you touched on it a little bit, but do you expect sort of normal seasonality with a bit of a step up throughout the year in terms of just the demand cycle or the activity cycle in those outages?

好的，太好了。然後我想，您稍微提到了這一點，但是您是否預計在需求週期或停電活動週期方面，全年會出現正常的季節性變化，並且會略有上升？

Yes. I think we'll still see a normal seasonality in the parts services. The outages obviously creates some of that happening as well, too. But I think we'll -- Q2 will be always low like Q1 is, and Q3, Q4 will do better for sure. I don't -- we don't anticipate seeing much difference on that even given the current aspect around it. But it's good to be a little bit ahead of the curve from a planning standpoint on where the demand is coming in on parts and services, but then seasonality is there. I don't know, Cameron, you may have a different thought on that.

是的。我認為我們仍然會看到零件服務的正常季節性。顯然，停電也會導致一些此類情況的發生。但我認為——第二季將像第一季一樣一直處於低位，而第三季和第四季肯定會表現得更好。我不認為——即使考慮到目前的情況，我們也不認為會看到太大的差異。但從規劃的角度來看，事先了解零件和服務的需求是件好事，但季節性還是存在的。我不知道，卡梅倫，你可能對此有不同的想法。

No, I think that's exactly right. I think we'll -- I mean, there's some lower this quarter, but I think the seasonality is a big part of it. So no, I agree completely.

不，我認為完全正確。我認為我們會——我的意思是，本季會有一些下降，但我認為季節性是其中很重要的一個因素。所以不，我完全同意。

Okay, great. Thank you. I'll turn it over.

好的，太好了。謝謝。我把它翻過來。

Thank you for your question. There are no additional questions waiting at this time, so I'll pass the call back to Sharyn Brooks for any closing remarks.

感謝您的提問。目前沒有其他問題，因此我將把電話轉回給 Sharyn Brooks 以做最後發言。

Thank you for joining us today. This concludes our conference call. A replay will be available for a limited time on our website. If you have a question that was not addressed during today's call, please feel free to reach out to our Investor Relations team at investors@babcock.com. Thank you.

感謝您今天加入我們。我們的電話會議到此結束。重播將在我們的網站上限時提供。如果您有今天電話會議中未解答的問題，請隨時聯絡我們的投資者關係團隊，郵箱地址為 investors@babcock.com。謝謝。

That concludes the conference call. Thank you for your participation. You may now disconnect your lines.

電話會議到此結束。感謝您的參與。現在您可以斷開線路了。