BWX Technologies Inc (BWXT) 2025 Q3 法說會逐字稿

Ladies and gentlemen, welcome to BWX Technologies third-quarter 2025 earnings conference call. (Operator Instructions)

女士們、先生們，歡迎參加 BWX Technologies 2025 年第三季財報電話會議。（操作說明）

I would now like to turn the call over to our host, Chase Jacobson, BWXT's Vice President of Investor Relations. Please go ahead.

現在，我將把電話交給我們的主持人，BWXT 投資者關係副總裁 Chase Jacobson。請繼續。

Thank you. Good evening, and welcome to today's call. Joining me are Rex Geveden, President and CEO and and Mike Fitzgerald, Senior Vice President and CFO.

謝謝。晚上好，歡迎參加今天的電話會議。與我一同出席的還有總裁兼執行長雷克斯·格維登，以及資深副總裁兼財務長麥克·菲茨傑拉德。

On today's call, we will reference the third quarter 2025 earnings presentation that is available on the Investors section of the BWXT website. We will also discuss certain measures that constitute forward-looking statements. These statements involve risks and uncertainties, including those described in the safe harbor provision found in the investor materials in the company's SEC filings.

在今天的電話會議上，我們將參考 BWXT 網站投資者關係部分提供的 2025 年第三季收益簡報。我們也將討論一些構成前瞻性陳述的措施。這些聲明涉及風險和不確定性，包括公司向美國證券交易委員會提交的投資者資料中的安全港條款中所述的風險和不確定性。

We'll frequently discuss non-GAAP financial measures, which are reconciled to GAAP measures in the appendix of the earnings presentation that can be found on the Investors section of the BWST's website. I would now like to turn the call over to Rex.

我們將經常討​​論非GAAP財務指標，這些指標與GAAP指標的調節表可在BWST網站投資者關係部分的收益報告附錄中找到。現在我想把電話交給雷克斯。

Thank you, Chase, and good evening to all of you. I'm excited to report another strong quarter for BWXT showcasing the effectiveness of our battle plan strategy and our leading position in nuclear solutions for the global security, clean energy and medical end markets, all of which are enjoying unprecedented demand.

謝謝你，蔡斯，各位晚上好。我很高興地宣布 BWXT 又迎來了一個強勁的季度，這充分展現了我們作戰計劃戰略的有效性，以及我們在全球安全、清潔能源和醫療終端市場的核解決方案領域的領先地位，所有這些市場都面臨著前所未有的需求。

Third quarter financial results exceeded our expectations driven by focused execution and revenue growth in both government and commercial operations. We delivered 12% organic revenue growth and roughly 20% adjusted EBITDA and earnings per share growth alongside a robust free cash flow generation.

第三季財務表現超出預期，這主要得益於政府和商業業務的專注執行和收入成長。我們實現了 12% 的有機收入成長，調整後的 EBITDA 和每股盈餘成長約 20%，同時也產生了強勁的自由現金流。

Book-to-bill was a stout 2.6% this quarter driven by large multiyear national security contracts for the production of defense fuels and high-purity depleted uranium in our special materials line of business. This led to a total backlog of $7.4 billion up 23% from last quarter and up 119% year-over-year.

本季度訂單出貨比強勁增長 2.6%，這主要得益於我們在特殊材料業務領域簽訂的多年期國家安全合同，這些合同涉及國防燃料和高純度貧鈾的生產。這導致總積壓訂單達 74 億美元，比上一季成長 23%，年增 119%。

Our year-to-date financial results feed backlog and unprecedented end market demand position us to enter 2026 from a position of financial strength. Our preliminary 2026 outlook calls for another year of record financial results with a posture to exceed our medium-term financial targets. Turning to segment results and market outlook. Government operations revenue was up 10% and adjusted EBITDA was up 1%, both ahead of expectations. In the naval propulsion business, our teams are intensely focused on meeting delivery commitments for submarine and aircraft carrier programs and driving operational excellence.

今年迄今的財務表現、積壓訂單和前所未有的終端市場需求，使我們有信心以強勁的財務實力進入 2026 年。我們初步預測，2026 年將再次取得創紀錄的財務業績，並有望超越其中期財務目標。接下來分析細分市場結果和市場展望。政府營運收入成長10%，調整後EBITDA成長1%，皆超出預期。在海軍推進系統業務方面，我們的團隊全力以赴履行潛艦和航空母艦專案的交付承諾，並致力於實現卓越營運。

In addition to traditional process optimization strategies, we are finding new ways to leverage artificial intelligence and advanced manufacturing to drive efficiencies around quality control and workflow in our facilities that will lead to improved productivity, throughput and margin performance.

除了傳統的流程最佳化策略外，我們還在探索利用人工智慧和先進製造技術來提高工廠品質控制和工作流程效率的新方法，從而提高生產力、產量和利潤率。

Technical Services is on a growth trajectory powered by a Wind street that unfolded over the last several years. Our team began transition for the Strategic Petroleum Reserve M&O contract in early October, and the BWXT led joint venture, which includes Kinectrics is in the preferred bidder period, which is the transition period for management and operations of the Canadian Nuclear Laboratories.

技術服務部門正處於成長軌道上，這得益於過去幾年風雲變幻的發展勢頭。我們的團隊於 10 月初開始進行戰略石油儲備 M&O 合約的過渡工作，由 BWXT 牽頭的合資企業（包括 Kinectrics）目前處於優先競標者階段，該階段是加拿大核實驗室管理和運營的過渡期。

We expect to assume full operational control before the end of the year. In micro reactors and advanced nuclear technologies, the market is evolving positively. We are currently manufacturing the reactor core for Play, which is on track for delivery in 2027. Related to Pala, last month, the Army announced the Janus program, which aims to deploy a nuclear reactor on the military installation no later than September 2028, building on lessons learned for Project Pele. BWXT's qualification should be a differentiator for Janus and other important national security projects that are within our cost of capital risk tolerances.

我們預計在年底前全面接管營運控制權。微型反應器和先進核子技術領域的市場正在積極發展。我們目前正在為Play專案製造反應爐核心，預計將於2027年交付。與帕拉計畫相關的是，上個月，陸軍宣布了 Janus 計劃，該計劃旨在最遲於 2028 年 9 月在該軍事設施部署一座核反應堆，並藉鑑了 Pele 計畫的經驗教訓。BWXT 的資格應該能夠使 Janus 專案和其他重要的國家安全專案脫穎而出，這些專案都在我們的資本成本風險承受範圍內。

During the quarter, we announced a collaboration with Kairos Power to commercially optimize price nuclear fuel production. We are excited to have a partner that is aligned with Google. BWXT is currently producing TRISO fuel for projects Pele, PAUSE and a variety of other customers, and we'll continue to evaluate options to enter the commercial market on a larger scale as the demand for advanced reactors grows.

本季度，我們宣布與 Kairos Power 合作，以商業化方式優化核燃料生產價格。我們很高興能與Google這樣的合作夥伴攜手共進。BWXT 目前正在為 Pele 專案、PAUSE 專案和其他各種客戶生產 TRISO 燃料，隨著先進反應器的需求成長，我們將繼續評估更大規模進入商業市場的各種方案。

Lastly, over the last several quarters, we pointed to our special materials business line, having some of the most exciting growth opportunities within the company. I'm pleased to say 2 of these opportunities both within Vienna SA materialized during the quarter. First, we were selected for the Defense Fuels contract valued at $1.5 billion to establish a domestic uranium enrichment capability for defense purposes.

最後，在過去的幾個季度裡，我們重點介紹了我們的特種材料業務線，該業務線擁有公司內一些最令人興奮的成長機會。我很高興地告訴大家，本季維也納SA內部的這兩個機會都已實現。首先，我們獲得了價值 15 億美元的國防燃料合同，旨在建立用於國防目的的國內鈾濃縮能力。

We booked the first task order under the contract and are building a interfuse manufacturing development facility in Oak Ridge, Tennessee. Over the next several years, our focus will be on centrifuge manufacturing and designing and licensing a plant for defense, uranium enrichment.

我們已根據合約獲得了第一個任務訂單，正在田納西州橡樹嶺建造一個融合製造開發設施。在接下來的幾年裡，我們的重點將放在離心機製造以及國防鈾濃縮工廠的設計和許可上。

Second, we were awarded a $1.6 billion 10-year contract to supply high-purity depleted uranium to the NNSA. This is a direct result of our 4 Anospecial materials and our deliberate strategy of expanding into the depleted uranium assay through the A.O.T. acquisition.

其次，我們獲得了價值 16 億美元、為期 10 年的合同，向美國國家核安全管理局 (NNSA) 供應高純度貧鈾。這是我們 4 種 Anospecial 材料以及我們透過收購 A.O.T. 而有意識地拓展貧鈾檢測業務的策略的直接結果。

Under this contract, we will build a manufacturing plant adjacent to our existing facility in Jonesboro, Tennessee, capable of producing up to 300 metric tons of high-purity completed uranium per year that will be used for multiple defense purposes. These are both exciting long-term projects for BWXT, not only for the revenue growth, but also the demonstration of trust our customers put in BWXT to execute on mission-critical national security programs.

根據這份合同，我們將在田納西州瓊斯伯勒現有工廠旁建造一座製造廠，該廠每年可生產高達 300 公噸的高純度成品鈾，這些鈾將用於多種國防用途。對 BWXT 而言，這都是令人興奮的長期項目，不僅能帶來營收成長，還能反映客戶對 BWXT 執行關鍵國家安全項目的信任。

Turning now to commercial operations. Reported revenue grew 12% and organic revenue grew 38% year-over-year, driven by the, Kinectrics acquisition, strong growth in commercial nuclear power and medical isotopes. Medical revenue grew double digits, driven by PET and other diagnostic product lines for which the outlook remains favorable. We expect this trend along with the increasing therapeutic isotope sales for clinical trials to support continued revenue growth in 2026.

接下來談談商業營運。報告營收年增 12%，有機收入年增 38%，這主要得益於 Kinectrics 的收購、商業核電和醫用同位素的強勁增長。醫療收入實現了兩位數成長，主要得益於PET和其他診斷產品線的成長，這些產品的前景依然樂觀。我們預計這一趨勢以及用於臨床試驗的治療性同位素銷售額的成長，將支持2026年收入的持續成長。

Consistent with our commentary last quarter, the Tech-99 development is progressing nicely and is on track for an FDA submittal in the near future. In the therapeutics market, Kinectrics commissioned 4 new electromagnetic isotope separator units that increased production capacity of Determine 176, the precursor material for (inaudible) 177 to over 500 grams annually. This expansion reinforces our role as a global supplier of highly enriched stable isotopes needed for cancer radiotherapy.

與上個季度的評論一致，Tech-99 的研發進展順利，預計在不久的將來向 FDA 提交申請。在治療市場，Kinectrics 委託生產了 4 台新的電磁同位素分離器，將 Determine 176（177 的前驅材料）的年產量提高到 500 克以上。此次擴張鞏固了我們作為全球高濃縮穩定同位素供應商的地位，這些同位素是癌症放射治療所必需的。

Turning now to commercial power, where demand is very strong, and our opportunity set is expanding across various geographies and with many of the leading reactor technology OEM providers. In the CANDU market, we have a deep backlog of heavy nuclear components supporting life extensions in Canada, including the 40 HD generators for the Fibre life extension, which are driving significant revenue growth this year.

現在轉向商業電力領域，該領域的需求非常強勁，我們的機會正在各個地區不斷擴大，並與許多領先的反應器技術 OEM 供應商合作。在 CANDU 市場，我們有大量重型核能零件訂單，用於支援加拿大的延壽項目，其中包括用於 Fibre 延壽項目的 40 台 HD 發電機，這些零件將在今年推動顯著的收入成長。

Beyond that, BWXT and Kinectrics are tracking opportunities for international candy life extensions, the Canadian new builds we have discussed in the past, other large-scale opportunities, including the Westinghouse AP1000 and multiple SMR projects. In the SMR sector, we are a key partner with the majority of leading technology providers in this rapidly expanded market.

除此之外，BWXT 和 Kinectrics 也正在關注國際糖果延長壽命的機會、我們過去討論過的加拿大新建項目、其他大規模機會，包括西屋 AP1000 和多個 SMR 項目。在小型模組化反應器 (SMR) 領域，我們是這個快速擴張的市場中大多數領先技術供應商的重要合作夥伴。

To this point, we recently signed a contract with Rolls-Royce to design stage generators for its SMR along with an MOU for manufacturing base, highlighting the power of our merchant supplier position in the market.

到目前為止，我們最近與勞斯萊斯公司簽署了一份合同，為其小型模組化反應器設計級發生器，並簽署了一份製造基地諒解備忘錄，這凸顯了我們在市場上的供應商地位。

With that, I will now turn the call over to Mike.

接下來，我將把電話交給麥克。

Thanks, Rex, and good evening, everyone. I'll begin with total company financial highlights on Slide 4 of the earnings presentation. Third quarter revenue was $866 million, up 29%, driven by both segments. PAUSE Excluding contributions from acquisitions, organic revenue was up 12%. Adjusted EBITDA was $151 million, up 19% year-over-year, driven by robust double-digit growth in commercial operations PAUSE a modest increase in government operations and lower corporate expense.

謝謝你，雷克斯，大家晚上好。我將首先介紹公司整體財務亮點，內容在收益報告的第 4 頁。第三季營收為 8.66 億美元，成長 29%，兩大業務部門均成長。暫停。若不計收購帶來的貢獻，有機收入成長 12%。經調整的 EBITDA 為 1.51 億美元，年增 19%，主要得益於商業營運的強勁兩位數成長、政府營運的適度成長以及公司支出的降低。

Adjusted earnings per share were $1, up 20%, driven by strong operating performance. Nonoperating items were neutral on a net basis. Our adjusted effective tax rate in the quarter was 23.6%, and we continue to expect a tax rate of approximately 21% for the year.

經調整後的每股盈餘為 1 美元，成長 20%，主要得益於強勁的營運表現。非經營性項目淨額為零。本季調整後的實際稅率為 23.6%，我們繼續預計全年稅率約為 21%。

In 2026, given a greater percentage of international earnings following the Kinectrics acquisition, we expect our tax rate to be slightly higher year-over-year. Third quarter free cash flow was $95 million driven by solid earnings performance and timing of cash receipts from major awards.

2026 年，由於 Kinectrics 收購後國際收益佔比增加，我們預計稅率將比前一年略有上升。第三季自由現金流為 9,500 萬美元，主要得益於穩健的獲利表現和重大專案現金到帳的時間表。

We anticipate free cash flow in 2025 to be approximately $285 million, the high end of our previous outlook range. Capital expenditures were $48 million in the quarter and $114 million year-to-date. We anticipate full year CapEx to be approximately 6% of sales, indicating an increase in the fourth quarter due to timing of spend on growth initiatives, including capacity expansion for commercial nuclear and a number of smaller projects in our government business.

我們預計 2025 年的自由現金流約為 2.85 億美元，處於我們先前預測範圍的上限。本季資本支出為 4,800 萬美元，年初至今已支出 1.14 億美元。我們預計全年資本支出將佔銷售額的 6% 左右，這意味著第四季度資本支出將有所增加，這是由於增長計劃的支出時間安排所致，包括商業核能產能擴張以及我們在政府業務中的一些較小項目。

In 2026, we expect CapEx to remain at 5.5% to 6% of sales, supportive of our longer-term growth outlook.

預計到 2026 年，資本支出將保持在銷售額的 5.5% 至 6%，這將有利於我們的長期成長前景。

Moving now to the segment results on Slide 6.

現在就來看看幻燈片 6 上的細分市場結果。

In Government Operations, third quarter revenue was up 10% driven by naval propulsion, long and fleet material procurement, special materials and a roughly 3% contribution from the A.O.T. acquisition, partially offset by a decline in microreactor volume. Adjusted EBITDA of $118 million was up modestly compared to last year, resulting in adjusted EBITDA margin of 19.2%.

在政府運營方面，第三季度收入增長了 10%，這主要得益於海軍推進系統、長船和艦隊材料採購、特殊材料以及 A.O.T. 收購帶來的約 3% 的貢獻，但微反應堆產量的下降部分抵消了這一增長。經調整後的 EBITDA 為 1.18 億美元，較去年略有成長，經調整後的 EBITDA 利潤率為 19.2%。

We expect Government Operations revenue to be up mid-single digits organically in 2025, plus just over a 2% contribution from the A.O.T. acquisition, slightly ahead of our previous outlook. We continue to expect adjusted EBITDA margin of approximately 20.5%.

我們預計 2025 年政府營運收入將實現中等個位數的有機成長，加上 A.O.T. 收購帶來的略高於 2% 的貢獻，略高於我們先前的預期。我們仍預期調整後 EBITDA 利潤率約為 20.5%。

Turning to Commercial Operations. Revenue was up a robust 122%, driven by contribution from the Kinectrics acquisition. Organic revenue growth was 38%, driven by strong year-over-year growth in our commercial power business and double-digit growth in medical. Adjusted EBITDA in the segment was $36 million, up 163%. This results in adjusted EBITDA margin of 14.2% and a nice improvement compared to our first half results and up from the 11.9% in the same quarter last year.

轉入商業營運。營收大幅成長 122%，主要得益於對 Kinectrics 的收購。有機收入成長 38%，主要得益於商業電力業務的強勁同比增長和醫療業務的兩位數增長。該業務部門調整後 EBITDA 為 3,600 萬美元，成長 163%。這使得調整後的 EBITDA 利潤率為 14.2%，與我們上半年的業績相比有了顯著提高，也高於去年同期的 11.9%。

Margin expansion was driven by solid operational performance and more favorable mix compared to recent periods. We now anticipate 2025 commercial revenue to be up approximately 60% compared to last year, driven by high teens organic growth and contribution from Kinectrics, which is performing slightly ahead of our expectations since the closing of the acquisition in May.

利潤率的提升得益於穩健的營運績效和比近期時期更為有利的產品組合。我們現在預計，2025 年的商業收入將比去年增長約 60%，這主要得益於接近 10% 的內生成長以及 Kinectrics 的貢獻。自 5 月完成收購以來，Kinectrics 的表現略高於我們的預期。

We expect segment adjusted EBITDA margin to be approximately 13.5%, the low end of our previous range due to the timing of the recovery of higher material procurement costs, which acutely impacted our results in the first half of the year.

我們預計分部調整後的 EBITDA 利潤率約為 13.5%，處於我們先前預期範圍的下限，這是由於較高的原材料採購成本恢復的時間安排所致，而這在今年上半年嚴重影響了我們的業績。

Turning to our consolidated guidance for the remainder of 2025 and our preliminary outlook for 2026. In 2025, we anticipate adjusted EBITDA to be approximately $570 million, the midpoint of our previous range. However, we now expect adjusted earnings per share to be $3.75 to $3.80, up $0.075 at the midpoint given the benefit from nonoperating items, including foreign currency gains and slightly lower interest expense.

接下來，我們來看看2025年剩餘時間的綜合業績指引以及2026年的初步展望。我們預計 2025 年調整後的 EBITDA 約為 5.7 億美元，是我們先前預測範圍的中點。然而，鑑於非經營性項目（包括外匯收益和略微降低的利息支出）帶來的利好，我們現在預計調整後的每股收益為 3.75 美元至 3.80 美元，中間值將增加 0.075 美元。

Looking to 2026, we anticipate another year of strong financial performance with low double-digit to low teens adjusted EBITDA growth, yielding high single digit to low double-digit adjusted earnings per share growth, given modest nonoperating headwinds. This should lead to another year of solid cash generation, although near-term working capital investments related to the significant growth in our business will likely lead to flat to slightly higher free cash flow.

展望 2026 年，我們預期財務業績將持續保持強勁成長，調整後 EBITDA 成長率將達到兩位數低段至兩位數低段，考慮到非經營性不利因素不大，調整後每股盈餘成長率將達到個位數高段至兩位數低段。這應該會帶來另一個穩健的現金流年，儘管與我們業務的顯著增長相關的近期營運資本投資可能會導致自由現金流持平或略有增長。

In our segments, government operations revenue is expected to grow in the mid-teens, led by growth in special materials and supported by higher revenue in naval propulsion and micro reactors. Of note, the defense fuels program and HVDU will account for over half of the segment's growth in 2026. This growth includes a significant amount of what is essentially customer-funded CapEx to build a unique infrastructure required for these programs, meaning they are expected to have below average margin in the first phases compared to the rest of our special materials portfolio.

在我們各個業務板塊中，政府營運收入預計將實現兩位數中段的成長，這主要得益於特種材料業務的成長，以及海軍推進系統和微型反應器業務收入的增加。值得注意的是，國防燃料計畫和 HVDU 將在 2026 年佔該領域成長的一半以上。這一增長包括大量本質上由客戶出資的資本支出，用於建設這些項目所需的獨特基礎設施，這意味著與我們其他特殊材料產品組合相比，這些項目在第一階段的利潤率預計會低於平均水平。

As such, we anticipate government operations adjusted EBITDA to grow in the high single-digit percentage range compared to 2025, ahead of our medium-term outlook for mid-single-digit growth in this segment. In Commercial Operations, we anticipate another year of robust revenue performance with low double-digit organic revenue and growth plus contribution from Kinectrics. We anticipate adjusted EBITDA growth to outperform revenue growth driven by better margins due to the favorable mix and solid execution.

因此，我們預計到 2025 年，政府營運調整後的 EBITDA 將實現高個位數百分比的成長，高於我們對該領域中期個位數成長的預期。在商業營運方面，我們預計今年的營收表現依然強勁，有機收入和成長將達到兩位數左右，再加上 Kinectrics 的貢獻。我們預計，由於有利的產品組合和穩健的執行，利潤率將提高，從而帶動調整後 EBITDA 的成長，超過收入的成長。

Overall, we had a strong quarter and we are well positioned for another year of record financial results. Our backlog is robust. We have good visibility into the future, and we remain focused on driving improved margin performance and cash generation in our business.

整體而言，我們本季業績表現強勁，我們已做好充分準備，迎接另一個創紀錄的財務業績。我們的待辦事項充足。我們對未來有良好的預見性，並將繼續專注於提高業務的利潤率和現金流。

With that, I will turn it back to Rex for closing remarks.

接下來，我將把發言權交還給雷克斯，請他作總結發言。

Thanks, Mike. It is an exciting time for BWXT. The secular trends of decarbonization, electrification of data center power demand combined with an increasing appetite for nuclear solutions in the national security space or meaningful tailwinds to BWXT. We are proud of our strong market position and the customer trust we have earned built upon the expertise of our workforce, our differentiated infrastructure and credentials and our strategic organic and inorganic investments.

謝謝你，麥克。對於BWXT來說，這是一個令人興奮的時刻。脫碳化、資料中心電力需求電氣化的長期趨勢，以及國家安全領域對核能解決方案日益增長的需求，都為 BWXT 帶來了顯著的利多因素。我們為我們強大的市場地位和客戶信任感到自豪，這些都建立在我們員工的專業知識、差異化的基礎設施和資格以及我們的策略性有機和非有機投資之上。

We are winning in our core businesses and expanding into new and exciting areas. During this period of exceptional growth, we are doubling down on operational excellence focus and expanding its application across the entire BWXT enterprise. We are driving further process improvements, increasing the use of industrial automation and artificial intelligence to optimize cost structure, product quality and cash generation to maintain our winning position and drive shareholder value.

我們在核心業務領域取得了成功，並正在向令人興奮的新領域拓展。在這段非凡成長時期，我們將加倍致力於卓越營運，並將其應用擴展到整個 BWXT 企業。我們正在推進流程改進，增加工業自動化和人工智慧的應用，以優化成本結構、產品品質和現金流，從而保持我們的領先地位並提升股東價值。

And with that, we look forward to taking your questions.

接下來，我們期待回答各位的問題。

(Operator Instructions) Pete Skibitski, Alembic Global.

（操作說明）Pete Skibitski，Alembic Global。

Nice quarter. I guess, for anyone, I guess, certainly, on an absolute basis, this is one of the bigger revenue beat of consensus that you guys have ever had. I think so I just wonder if you could clarify, did you book any revenue on the 2 new contracts in the quarter?

不錯的街區。我想，對任何人來說，我猜，當然，從絕對意義上講，這是你們迄今為止最大的營收成長之一。我想應該是這樣，但我還是想請您澄清一下，您在本季度是否從這兩份新合約中確認了任何收入？

I don't want in the backlog, but did you book any actual revenue on those 2 new ones. And then just kind of the modest full year sales guidance increase implies a fourth quarter that will be down pretty sharply sequentially. So I'm wondering if you could explain that also. I don't know if there's some conservatism or something else? I'll stop there.

我不想讓訂單積壓，但是你們那兩款新產品有實際收入嗎？而且，全年銷售預期的小幅上調意味著第四季度銷售額將環比大幅下降。所以我想請您也解釋一下這一點。我不知道這是保守作風還是其他原因？我就說到這裡吧。

Yes. Thanks, Pete. As it relates to the new contracts, very, very modest contribution. So not a big driver here One of the things, I think, that you're seeing a little bit and we've seen this trend this year and the second and third quarter is the seasonality around some of our large material procurements.

是的。謝謝你，皮特。至於新合約方面，貢獻非常非常有限。所以這不是主要驅動因素。我認為，我們今年第二季和第三季看到的一個趨勢是，我們的一些大型材料採購有季節性因素。

If you remember, what we've discussed in the past is as we enter into our pricing arrangements, we ultimately will work to get some of those long-lead material procurements done as quickly as possible to lock in very soon.

如果你還記得的話，我們過去討論過的是，當我們制定定價方案時，我們最終會努力盡快完成一些交貨週期長的原材料採購，以便盡快鎖定價格。

And so we've been working to try to do that in the second and third quarter. We had -- we were able to accomplish that a little bit earlier this quarter in comparison to when we had originally forecasted it in the fourth quarter. So that is why we're seeing a large feet this quarter and ultimately a little bit of seasonality in the fourth quarter just as some of those material procurements have shifted to the right.

因此，我們一直在努力爭取在第二季和第三季實現這一目標。我們——我們本季比原先預測的第四季提前一些實現了這一目標。所以這就是為什麼我們本季看到大量訂單，最終在第四季出現一些季節性波動，因為一些原料採購已經提前了。

I would say, outside of that, we're seeing really strong performance in the shops, and we're continuing to see them outperform both on our government ops and our commercial ops segment. And so we're very encouraged by that and highly focused on driving continued operational excellence initiatives within the factories.

除此之外，我想說的是，我們在門市方面表現出色，而且在政府業務和商業業務方面，門市的表現都持續優於其他業務部門。因此，我們對此感到非常鼓舞，並高度重視在工廠內部持續推動卓越營運措施。

Okay. Just one last one for me, maybe for Rex. Rex, on the new JANUS program. It seems like this is supposed to be kind of a cocoa arrangement, which I know you guys typically don't like to actually operate reactors in the field. So I'm wondering kind of what the approach is going to be for BWXT here.

好的。最後再來一個，也許也是為了雷克斯。雷克斯，關於新的 JANUS 計劃。這似乎是一種可可種植園式的合作安排，我知道你們通常不喜歡在現場實際操作反應爐。所以我想知道BWXT在這裡會採取什麼方法。

Maybe it's just a simple team agreement is all that's needed, but I was curious as to your thoughts on that.

或許只需要一份簡單的團隊協議就能解決問題，但我很好奇你對此有何看法。

Yes. Pete, we certainly do intend to compete for that Janus program, very interesting. The government is obviously looking at putting in a number of reactors at a number of different sites. And I think they'll pick a at least 2 contracted teams for that. Yes, we typically don't own and operate reactors.

是的。皮特，我們當然打算參與 Janus 計畫的競爭，這很有趣。政府顯然正在考慮在多個不同地點建造多個反應器。我認為他們至少會挑選兩支簽約球隊。是的，我們通常不擁有和經營反應器。

That's normally the job of the nuclear utility.

這通常是核電公司的職責。

So it will be a matter of finding the right teammates to go after that opportunity, but we'll do that and we'll go in and can be hard for it.

所以關鍵在於找到合適的隊友去抓住這個機會，但我們會努力做到這一點，我們會全力以赴，這可能會很艱難。

Robert Labick, CJS Securities.

Robert Labick，CJS Securities。

This is [Will] on for Bob. With 6 months or so under your belt now, what are the key takeaways from the Kinectrics acquisition? And what are some of the new market and revenue synergy opportunities.

這是威爾替鮑勃上場。現在距離收購 Kinectrics 已經過去了大約 6 個月，你認為此次收購的主要收穫是什麼？那麼，有哪些新的市場和收入綜效機會呢？

Well, as I said on the call, Kinectrics is outperforming so far. In fact, I might speak more broadly and just say the 2 acquisitions that we did this year, the Jonesboro acquisition and A.O.T. and the Kinectrics acquisition are both outperforming. And I think frankly, we've created a lot of value there. We bought both of those businesses well within our multiples and both of them are doing quite well for us.

正如我在電話會議上所說，到目前為止，Kinectrics 的表現優於其他公司。事實上，我可能會更廣泛地說，我們今年完成的兩項收購，即對 Jonesboro 和 A.O.T. 以及 Kinectrics 的收購，都表現出色。坦白說，我認為我們在那裡創造了很大的價值。我們以遠低於市場預期倍數的價格收購了這兩家公司，而且它們目前都為我們帶來了相當不錯的收益。

For Kinectrics itself, the outperformance relates to the transmission and distribution business, which is growing very smartly right now because of -- there's 2 things going on there. One is the aging infrastructure requires a lot of testing. So we're doing that.

對 Kinectrics 本身而言，業績優異與輸配電業務有關，目前發展非常迅猛，原因有二。一是老化的基礎設施需要大量的測試。所以我們正在這樣做。

And then we've got a nice business in offshore wind cable testing, particularly focused in Europe. So we're seeing outsized growth there. The life extension programs at the Pickering plant are creating a lot of opportunities that Kinectrics is well suited for. So we're attacking that one.

此外，我們在離岸風電電纜測試領域也有一項不錯的業務，尤其專注於歐洲市場。所以我們看到那裡出現了超乎尋常的增長。皮克林工廠的延壽計畫創造了許多機會，而 Kinectrics 公司非常適合這些機會。所以我們要攻克那個難題。

And then finally, we're seeing some business, sizable business around licensing support to the Canadian nuclear utilities for the new build large projects, large reactor projects in that market, and I find that encouraging from multiple perspectives, obviously, for Kinectrics itself. But I think that demonstrates the seriousness of the nuclear utilities to proceed with their plans for large nuclear reactors. So a lot of goodness in the Kinectrics business, and it's a really great match for BWXT.

最後，我們看到一些業務，相當可觀的業務，圍繞著為加拿大核電公司提供新建大型項目、大型反應堆項目的許可支持，我認為這從多個角度來看都是令人鼓舞的，顯然對 Kinectrics 本身也是如此。但我認為這顯示了核電企業推進大型核反應器計畫的決心。Kinectrics 公司有許多優勢，與 BWXT 非常契合。

So I might add that, by the way, that medical business if there is is doing very nice, and there's a lot of talent in that part of the business, which has been helpful and synergistic to BWXT Medical.

順便一提，醫療業務（如果有的話）發展得非常好，而且該業務領域人才濟濟，這對 BWXT Medical 來說既有幫助又具有協同效應。

And just one more. With exponential increase and the focus on energy production and security, where are the biggest and nearest-term opportunities for BWX to participate in the growth in nuclear energy. And how are you prioritizing investment into so many opportunities?

再來一個。隨著核能呈指數級增長，以及對能源生產和安全的關注，BWX 參與核能增長的最大和近期機會在哪裡？你們如何確定投資重點，把握這麼多投資機會？

Yes. I'd say we have -- we see demand everywhere. We see it on the commercial side of the business. We see it on the government side of the business. if you're speaking to commercial power in particular, I'd say the opportunities in order are kind of small module reactors everywhere.

是的。我認為我們有——我們看到到處都有需求。我們在企業的商業層面上看到了這一點。我們在政府部門這方面也看到了這一點。如果你具體指的是商業電力領域，我認為機會主要在於小型模組化反應器的廣泛應用。

And you know that we face the market as a merchant supplier.

你知道，我們是以供應商的身份面對市場的。

And we participate on the x300. We participate on the TerraPower Natrium reactor. We did a deal with Rolls-Royce. So we're supporting that reactor and steam generate design and ultimately manufacture and the geography is Canada, US, Europe and Poland and the UK and other places.

我們參與了 x300 專案。我們參與了TerraPower Natrium反應器計畫。我們和勞斯萊斯達成了一項協議。因此，我們正在支援反應器和蒸汽發生器的設計和最終製造，其地理範圍包括加拿大、美國、歐洲、波蘭、英國和其他地方。

So that one is super interesting to us. I do expect to see SMR announcements in the US in the fairly near future.

所以，我們對這個主題非常感興趣。我預計在不久的將來，美國會發布關於小型模組化反應器（SMR）的消息。

I'd say the large reactor opportunity is expressing pretty strongly based on what I just said about the plans in Canada. I think they'll build at least 8 can do derivative large reactors at Westlie bill and at the Brufesite.

根據我剛才提到的加拿大計劃，我認為大型反應爐的機會正在強勁地顯現出來。我認為他們至少會在韋斯特利比爾和布魯費塞特建造 8 座可以進行衍生的大型反應爐。

And then obviously, the Westinghouse announcement for $80 billion worth of reactors in the US is, I think, quite a positive sign for the industry as it relates to capacity and the need for that we're actively bidding on 81,000 components kind of every day. So that's in the commercial side of it now Pete mentioned the Janus program, which is a kind of a quasi commercial program because it's contract or contractor-operated facilities for US military sites. So that one is interesting in itself.

顯然，西屋公司宣佈在美國投資 800 億美元建造反應堆，我認為這對工業界來說是一個相當積極的信號，因為它關係到產能和需求，我們幾乎每天都在積極競標 81000 個零件。所以現在來說說商業方面。皮特提到了 Janus 計劃，這是一個準商業計劃，因為它是由承包商為美國軍事基地運營的合約設施。所以這一點本身就很有趣。

And of course, we see commercial outlets for TRISO nuclear medicine. So it's everywhere.

當然，我們也看到了 TRISO 核醫學的商業應用。所以它無所不在。

Peter Arment, Baird.

Peter Arment，Baird。

Nice results. And can you, Rex, on the 2 large contracts that you booked in the quarter, the uranium enrichment and then the depleted raining awards, I think Mike mentioned that there's going to be some government-funded CapEx to help stand some of that up. And -- but how does the revenue kind of cadence roll out when that -- when both of those programs kick off and I guess related to that, Mike, you said it would probably initially come in at some lower margins. Just how long the periods that last?

結果不錯。雷克斯，關於你本季度簽下的兩份大合同，鈾濃縮合同和貧鈾礦開採合同，我想邁克提到過，將會有一些政府資助的資本支出來幫助啟動這些項目。那麼——但是當這兩個項目同時啟動時，收入的節奏會如何呢？我想，麥克，你說過，最初利潤率可能會比較低。這些時期究竟會持續多久？

Yes. So for both of those contracts, they're kind of over an extended period of time. So I think for HVDU we've announced 10 years and use, we've talked about that being a roughly 10- to 15-year program. We will see a little bit of front-loading as we build up kind of the infrastructure investments on those in the early parts of the year. But generally speaking, they're pretty distributed over the life of the period of performance.

是的。所以這兩份合約的期限都比較長。所以我覺得對於 HVDU，我們已經宣布了 10 年的使用期限，我們也討論過這是一個大約 10 到 15 年的專案。我們將看到一些前期投入，因為我們將在今年年初逐步增加對這些項目的基礎設施投資。但總的來說，它們在整個演出期間分佈得相當均勻。

So maybe a little bit waiting early, but certainly not significant. So it will be relatively distributed over those 10 or 10 to 15 years depending on the contract that you're talking about. Those contracts are structured as fixed price programs. As you know, we typically will enter into kind of a base level margin percentage and then ultimately work to outperform those over a period of time.

所以或許稍微早一點等，但肯定不會造成太大影響。所以，根據你所說的合同，這筆款項將相對分散到這 10 年或 10 到 15 年內。這些合約採用固定價格方案。如您所知，我們通常會設定一個基本利潤率，然後努力在一段時間內超越這個利潤率。

Our special materials business has had a long history of being able to outperform. And so typically, we do not make any of those kind of large-scale adjustments from an EAC perspective until we're probably around 25% or more on the contract. So I would expect that the kind of lower margin to last for the first couple of years and then ultimately, or we would be highly focused on driving improvement in that EAC and being able to recognize a higher profit.

我們的特種材料業務一直以來都表現出色。因此，通常情況下，我們不會從 EAC 的角度進行任何大規模的調整，直到合約進度達到 25% 或以上。因此，我預計這種較低的利潤率會持續頭幾年，然後最終，或者說，我們會高度專注於提高 EAC 並實現更高的利潤。

Appreciate that color, Mike. And then just, Rex, just on Project Pele. Could you just give us a latest update on how that's going? Because it sounds like you said delivering in '27. I thought that was -- is that later than previously planned?

麥克，我喜歡這個顏色。然後，雷克斯，就只關注貝利計畫了。可否告知我們最新進展？因為聽起來你好像說的是2027年交貨。我以為那是──比原計畫晚嗎？

And just could you give us any more updates there.

能否提供更多最新進展？

Yes, Peter, that is later than the contract originally called for. That said, the requirements for that program have been evolving, particularly with all the national labs and that. And so it's not unexpected. And the program is doing very nicely. We are assembling the reactor core down in Lynchburg, Virginia right now and do expect to deliver that.

是的，彼得，這比合約原定的時間晚了。也就是說，該計劃的要求一直在變化，特別是隨著所有國家實驗室的出現等等。所以這並不出乎意料。這個專案進展非常順利。我們目前正在弗吉尼亞州林奇堡組裝反應爐堆芯，預計能夠按時交貨。

That reactor and that fuel to Idaho National Laboratory in 2027, and they'll fire it up and test it out there. So that program is going great.

該反應器和燃料將於 2027 年運往愛達荷國家實驗室，他們將在那裡啟動並進行測試。這個專案進展非常順利。

Jeffrey Campbell, Seaport.

傑弗裡·坎貝爾，海港。

First of all, congratulations on the strong quarter. Regarding (inaudible), the press release announcing the $1.5 billion award said that the pilot plant will demonstrate LEU production for defense missions before being repurposed to produce HEU for naval propulsion applications. To be clear, will the capabilities to produce HU being accomplished in the current appropriation -- or will it require additional funding.

首先，恭喜你們本季業績強勁。關於（聽不清楚），宣布授予 15 億美元獎金的新聞稿稱，該試點工廠將先為國防任務演示低濃縮鈾的生產，然後再進行改造，生產用於海軍推進應用的高濃縮鈾。需要明確的是，目前的撥款能否滿足生產 HU 的能力要求——還是需要額外的資金？

So that initial tranche of funding is about licensing Jeff, licensing in preparation for the high enriched uranium cascade, which ultimately will be based in our fuel services business in Erwin, Tennessee. That combined with a centrifuge manufacturing, development capability that we're doing up in Oak Ridge, Tennessee.

因此，首批資金用於向傑夫發放許可證，為高濃縮鈾級聯生產做準備，該級聯最終將以我們在田納西州歐文的燃料服務業務為基礎。再加上我們在田納西州橡樹嶺建立的離心機製造和研發能力。

So that actually -- the first tranche of funding does not relate to the production of the material in sales.

所以實際上——第一批資金與材料的生產和銷售無關。

Okay. Yes. And regarding the 4 new second-generation electromagnetic isotope separator units that you announced being conditioned by Kinectrics. Does the entirety of that 500-kilogram of terbium output now belong or will it belong to BWXT Medical? And were there any noteworthy differences between the first and the second generation MIS units?

好的。是的。關於您宣布的由 Kinectrics 公司提供的 4 台新型第二代電磁同位素分離器。這 500 公斤铽產量現在全屬於 BWXT Medical 公司，還是將來會屬於該公司？第一代和第二代MIS單元之間有什麼值得注意的差異嗎？

Yes, that's 500 grams of output. The (inaudible) 6, which, of course, is the base material for lutetium-177. So it's an important precursor for that nuclear medicine product, it is -- there's no essential difference between this generation and the prior generation. It's really just an increase in capacity of up about 500% by the way.

是的，產量是500公克。（聽不清楚的）6，當然，它是镥-177 的基礎材料。所以它是核子醫學產品的重要前體——這一代和上一代之間沒有本質區別。順便說一句，這實際上只是產能提高了大約 500%。

So it's an impressive capability. But we haven't integrated Kinectrics medical business into BWXT's medical business. for some good reasons. But those businesses are supporting one another, and we're finding strategic and we're finding strategic synergies there that are pretty powerful.

所以這是一項令人印象深刻的能力。但我們並沒有將 Kinectrics 的醫療業務整合到 BWXT 的醫療業務中，這其中有一些充分的理由。但這些企業都在互相支持，我們發現它們之間存在著非常強大的策略協同效應。

Scott Deuschle, Deutsche Bank.

史考特‧德施勒，德意志銀行。

Mike, could you size up the shipset value of the steam generator content you won with Rolls-Royce.

麥克，你能估算一下你用勞斯萊斯贏得的蒸汽發生器組件的船套裝價值嗎？

We haven't given specifics around that. I think, Scott, when we talk about the SMR opportunity with roles we've discussed kind of similar to the rest of our SMR in the $50 million to $100 million range. I think we're squarely in the middle of that as it relates to the roles content. So we feel comfortable kind of being in that range from a roles perspective, but we haven't disclosed the specifics.

我們沒有給出具體細節。我認為，史考特，當我們談到SMR機會時，我們討論的角色與我們其他SMR類似，都在5000萬美元到1億美元之間。我認為就角色內容而言，我們正處於這個階段的中間地帶。所以從角色角度來看，我們覺得在這個範圍內比較合適，但我們還沒有透露具體細節。

Okay. And then the press release announcing that when discussed the localization plan for future manufacturing work. I think most of what Royce is currently bidding on is for reactors in Europe. So is the implication here that you may elect to build out a manufacturing footprint in Europe if the demand is there?

好的。然後，新聞稿宣布，在討論未來製造工作的本地化計劃時。我認為羅伊斯目前競標的大部分項目都是歐洲的反應爐。所以，這是否意味著，如果歐洲有需求，你們可能會選擇在歐洲建立生產基地？

Yes. I think, Scott, we were evaluating that and other opportunities for localization that seems to be the trend in commercial nuclear power. So we certainly are considering it.

是的。我認為，斯科特，我們正在評估這一點以及其他在地化機會，這似乎是商業核電的發展趨勢。所以，我們當然會考慮這件事。

Okay. And then last question, sorry to be [pig], but Mike, can you walk us through the puts and takes on 2026 free cash flow. The result in that guide of flat to slightly up. I heard some of the pieces in the script. I'm just curious if you could put a bow on it for us.

好的。最後一個問題，不好意思問個大問題，Mike，你可以跟我們講解一下 2026 年自由現金流的看跌和看漲期權嗎？該指南中的結果是平坦到略微向上。我聽過劇本裡的一些片段。我只是好奇你能不能幫我們給它打一個蝴蝶結。

Yes. So I think we've seen a pretty significant step change over the last couple of years. As we mentioned in our Investor Day, our kind of medium-term outlook was to see continued kind of 1 day and, call it, cash conversion cycle days, which is the internal metric that we use, that's roughly about a $10 million improvement each year. We've seen a sizable improvement going from 23% to 24% and then from 24% to 25%.

是的。所以我認為，在過去幾年裡，我們已經看到了相當大的變化。正如我們在投資者日上提到的，我們的中期展望是繼續保持每天（或現金轉換週期天數）的水平，這是我們使用的內部指標，這大約意味著每年改善 1000 萬美元。我們看到，從 23% 到 24%，再從 24% 到 25%，有了顯著的提高。

If you remember, we started the year at flow into the range of 26.5. Now we're guiding to 28.5, approximately 4.25%. So part of this is driven by some of these investments in the new work contracts. We are able to negotiate some milestones on DUECE and HEU that are hitting in the fourth quarter of 25%, which is good, but it creates a step function as you look into next year. In just the timing of when you get to that next milestone.

如果你還記得的話，我們年初的流量預期在 26.5 左右。現在我們預計流量將達到 28.5，約 4.25%。因此，部分原因是由於對新工作合約的一些投資。我們能夠就 DUECE 和 HEU 的一些里程碑進行談判，這些里程碑將在第四季度達到 25%，這很好，但展望明年，這將造成一個階躍函數。關鍵在於你何時達到下一個里程碑。

And so that's a little bit of what we're seeing. In addition to that, we do have -- we're going to be on a little bit higher end of the range on CapEx.

這就是我們目前看到的一些情況。除此之外，我們的資本支出也會略高於預期。

We went up to 6% for this year. We'll be 5.5% to 6% of revenue for next year. So you're seeing a little bit of as we continue to invest in our growth initiatives across the board. And so when you kind of take a look at that, you're seeing that Basically, we're going to end up flat based on even though we'll have probably one day working capital improvement. That's going to be offset by, call it, $10 million to $15 million of on timing related to kind of milestones payments for some of these larger new contracts.

今年我們把稅率提高到了6%。明年我們將佔總收入的 5.5% 到 6%。所以，隨著我們持續增加對各項成長計畫的投資，你們現在可以看到一些成果。所以當你仔細觀察一下，你會發現，基本上，即使我們有一天可能會有營運資本的改善，最終結果也會持平。這部分損失將被一些較大新合約的里程碑付款所抵消，預計可獲得 1000 萬至 1500 萬美元的補償。

Jeff Grampp, Northland Securities.

Jeff Grampp，北地證券。

I'm curious, when we look at this '26 outlook, what do you guys view as kind of the main risks to achieving that outlook? And then maybe some '25 discussion point. But does an extended government shutdown represent a risk at all to this year's or next year's outlook?

我很好奇，當我們展望2026年時，你們認為實現這一目標的主要風險是什麼？然後或許可以討論一下 25 年的一些話題。但是，政府長期停擺是否會對今年或明年的經濟前景構成風險？

Yes. So I think I'll start with the second question just on the government shutdown. And just to clarify that the majority of the impact of our government shutdown is specific to our technical services part of the business within government operations where we run based different joint ventures with our external partners to do M&A and other environmental cleanup on DOE sites.

是的。所以我想我會先回答第二個問題，也就是關於政府停擺的問題。需要澄清的是，政府停擺對我們業務的大部分影響都集中在政府運營中的技術服務部分，我們與外部合作夥伴開展不同的合資企業，在能源部場地進行併購和其他環境清理工作。

I think the teams have done a great job of managing funding. Those -- majority of our sites are fully operational still at this point. And we're kind of making sure that we're continuing with the mission. I would say, we have not contemplated a long-term shutdown in our guidance. And so to the extent that we're seeing extended shut down.

我認為各隊在資金管理方面做得非常好。目前，我們的大部分站點仍然正常運作。我們正在努力確保繼續完成這項使命。我想說，我們的指導方針中並沒有考慮長期停工的情況。因此，我們看到的就是這種長期停工。

I don't see that as a major driver for 2025, but I would say that, that would create some risk if it extended into '26 for an extended period of time.

我不認為這是 2025 年的主要驅動因素，但我想說，如果這種情況持續到 2026 年，將會造成一些風險。

As far as kind of the puts and takes from next year, I would say, yes, the -- from an opportunity perspective, we continue to focus on operational performance and OpEx initiatives, which we've discussed a lot PAUSE -- when you look at our kind of guidance for next year, we are still working through some of the old pricing agreements. I mentioned last quarter that I anticipated some of that to continue through 2026.

至於明年的利弊，我會說，是的，從機會的角度來看，我們將繼續專注於營運績效和營運支出計劃，我們已經討論了很多次——暫停——當你查看我們對明年的指導意見時，我們仍在處理一些舊的定價協議。我上個季度曾提到，我預計其中一些情況會持續到 2026 年。

So to the extent that we can drive continued performance in the business, and we're able to see that productivity, we could have some upside as it relates to opportunities in EAC potential write-ups. We have not assumed a substantial amount of EAC write-ups in our prudent guidance.

因此，如果我們能夠推動業務持續成長，並且能夠看到生產力提高，那麼在 EAC 潛在收益方面，我們可能會有一些成長空間。我們在審慎的指導意見中並未假設有大量的 EAC 報告。

In addition to that, based on the timing of some of the new special materials contracts, we've seen earlier this year, we had strong performance in those contracts. We'll continue to focus on performing well in that part of the business. And so that could result in ultimately some opportunities to the guidance that we've laid out. From a risk standpoint, I would say a lot of this relates to just kind of the overall timing of our commercial nuclear opportunities. We're seeing a flurry of activity in RFP and RFIs, and we certainly have a decent visibility into when the timing of those orders are.

除此之外，根據我們今年早些時候看到的一些新的特殊材料合約的時間表來看，我們在這些合約中取得了強勁的業績。我們將繼續專注於在該業務領域取得優異成績。因此，這最終可能會為我們制定的指導方針帶來一些機會。從風險角度來看，我認為這很大程度上與我們商業核能機會的整體時機有關。我們看到 RFP 和 RFI 活動激增，而且我們對這些訂單的下達時間也有相當清晰的了解。

But if you had some delays.

但如果有一些延誤的話。

And the timing of those orders, it could have an impact or create some risk for next year. And then we always will highlight just defense spending, we haven't seen a major impact on that, but that's always a potential risk. And I mentioned the extended government shutdown that could be also a potential risk. So those are the big puts and takes.

這些訂單的下達時間可能會對明年產生影響或帶來一些風險。然後我們始終會專注於國防開支，我們還沒有看到這方面受到重大影響，但這始終是潛在風險。我還提到了政府長期停擺，這也可能是潛在風險。以上就是主要的買賣交易。

Awesome. I appreciate that thorough answer. That's really helpful. And it kind of ties into my follow-up. So Rex, you mentioned this demand market as being unprecedented.

驚人的。感謝您詳盡的解答。這真的很有幫助。這和我的後續討論有點關係。雷克斯，你之前提到過這種需求市場是前所未有的。

It seems like the last couple of quarters have been more headlined more on the government segment of the business. I'm curious how you see the commercial side playing out the potential acceleration there?

最近幾個季度，媒體似乎更關注了公司與政府部門的業務。我很想知道您如何看待商業方面對這種潛在加速發展的影響？

I mean, it sounds like that the pipeline is robust. And so maybe is this something that you guys think kind of materializes or accelerates from a kind of order backlog standpoint over the coming quarters? Or do you have that level of conviction or insight at this point in the cycle?

我的意思是，聽起來這條管道很穩健。那麼，你們認為這種情況會不會在接下來的幾個季度裡，從訂單積壓的角度來看，變成現實或加速發展呢？或者說，在周期的這個階段，你是否具備那種程度的信念或洞察力？

No, I do I think, Jeff, that we'll see that order start to accelerate, I think, obviously, the Westinghouse announcement was maybe the first domino to fall. If you look at small modular reactors, OPG seems committed to building out those 4, we'll see the next -- we'll see what the next announcement for SMRs is in the US. I think that should be Tennessee Valley Authority or another nuclear utility. There's a lot of chatter about that.

不，傑夫，我認為我們會看到這種趨勢開始加速發展，顯然，西屋公司的聲明可能是第一張倒下的骨牌。如果你關注小型模組化反應堆，OPG似乎致力於建造這4座反應堆，接下來我們拭目以待——看看美國下一個小型模組化反應器計畫是什麼。我認為應該是田納西河谷管理局或其他核電公司。關於這件事有很多議論。

I do fully expect that nuclear utilities in Canada go forth with the large builds pretty soon. Like I said, we have task orders, contracts already to study with licensing for the CANDU derivatives. And so yes, a lot of things are falling into place, so a lot of announcements, a lot of demand. And so I think next year for this business will be more about commercial orders and commercial announcements than about government orders and announcements, which characterize '25.

我完全相信加拿大的核電公司很快就會開始大規模的建設計畫。正如我所說，我們已經有任務訂單和合約需要研究 CANDU 衍生產品的許可事宜。所以，是的，很多事情都朝著好的方向發展，所以有很多公告發布，需求也很大。因此，我認為明年對於這家公司來說，商業訂單和商業公告將比政府訂單和公告更多，而政府訂單和公告則是 2025 年的特徵。

Michael Ciarmoli, Truist Securities.

Michael Ciarmoli，Truist Securities。

Maybe Rex, not to derail things, but maybe talk more about the, I guess, the boring portion of your business. No one's asked about Navy subs, shipbuilding and just kind of general thoughts. Mike, I heard you talk about the CapEx. I think we still have a commitment to August out there. But any kind of general update on kind of what you're seeing in terms of VA, Columbia cadence, how you're thinking about whether or not AUKUS flows in, at some point, you need more CapEx or more capacity?

雷克斯，我不想離題，但或許你可以多談談你生意中比較枯燥的部分。沒有人問過關於海軍潛艇、造船以及其他一些一般性問題。麥克，我聽你談過資本支出的事。我認為我們仍然有義務履行八月的協議。但能否提供一些關於VA、哥倫比亞大學課程進度等的整體最新情況？您是否考慮過AUKUS專案是否會在某個時候需要更多資本支出或更多產能？

Yes. Thanks for the question, Mike. I think it's taking quite a positive turn here in the last quarter. Our borrowing business in net nuclear propulsion Office had been a question because it's being examined by the Department of Defense, but you saw the sort of love best between the Australian Prime Minister and the President, it looks like AUKUS is absolutely going forward now.

是的。謝謝你的提問，麥克。我認為最後一個季度情況正在朝著相當積極的方向發展。我們在淨核推進辦公室的借貸業務一直備受關注，因為國防部正在對此進行審查，但從澳洲總理和總統之間展現出的那種情誼來看，AUKUS 似乎正在穩步推進。

We're also seeing, at the same time, we're seeing positive things at the shipyards at both GD and I seem to be turning the corner on production. I think that's quite a positive for all of us. And then of course, there's an announcement a surprise announcement about South Korea and the idea that the South Korean to build a shipyard for nuclear-powered submarines in the US. Now that things that the is not well formed from my perspective, but we don't know what that looks like yet. But to the extent that the US.

同時，我們也看到，GD 和 I 兩家造船廠的情況都出現了積極的變化，生產似乎正在好轉。我認為這對我們所有人來說都是一件好事。當然，還有一條令人意外的消息，是關於韓國計劃在美國建造核動力潛艇造船廠。在我看來，這件事目前還不太成熟，我們也不知道具體會是什麼樣子。但就美國而言。

is involved in the nuclear propulsion system, that could be an interesting opportunity for us. And so I see a lot of upside in the business relative to a couple of quarters ago. We do need more capacity to meet the demand for the office program. And we do have CapEx projects that are underway with our customer and naval reactors for that purpose. So there's been that going on already.

參與核動力推進系統，這對我們來說可能是個有趣的機會。因此，我認為與幾個季度前相比，該業務有很大的上漲空間。我們需要更多產能來滿足辦公專案的需求。我們確實有一些資本支出項目正在與客戶和海軍反應器合作開展，目的就是為了實現這一目標。所以這件事早就發生了。

So full steam ahead.

所以，全力以赴。

Got it. Got it. And then just one more, Mike, I think I've got this. I mean the implied government EBITDA margins look to be down next year. It sounds like it's just the front-end loading of some of that lower margin work and maybe even some of the other pilot progression projects.

知道了。知道了。麥克，就剩下最後一個了，我想我能搞定。我的意思是，明年政府隱含的 EBITDA 利潤率似乎會下降。聽起來像是對一些利潤較低的工作，甚至可能是對其他一些試點進展項目的前期投入。

But is anything changing with that core Navy business? Or is it really just kind of some lower-margin start-up contracts that's weighing on the margins.

但海軍的核心業務方面是否有任何變化？或者，這其實只是一些利潤較低的新創合約拖累了利潤率。

No, that's exactly right. If you look at 2026, most of it is mix pressure or half of the revenue growth is driven by (inaudible). And as we mentioned, we start off pretty low margin and then would anticipate higher positive EACs in the future. I would say, in addition to that, we are still dealing with a little bit of just the burn off of the pricing arrangements that we had entered into shortly before COVID before we saw significant labor cost and those types of things.

沒錯，完全正確。展望2026年，大部分成長壓力來自產品組合變化，或者說一半的收入成長是由…驅動的。（聽不清楚）正如我們之前提到的，我們最初的利潤率很低，但預計未來EAC會更高。除此之外，我還想說，我們目前仍在應對一些在新冠疫情爆發前不久簽訂的價格協議的後續影響，當時我們還沒有看到勞動成本大幅上升等等問題。

And so, as I mentioned before, that mix will start to change next year. And as we work through that and into the new pricing arrangements that we just recently entered into. So we're hopeful that we're going to focus on that. The other thing I would just say is we're highly focused on operational excellence initiatives. And we have a large focus on margin improvement that we're going to be driving into the business.

因此，正如我之前提到的，這種組合明年將開始改變。在我們逐步推進並落實我們最近達成的新定價安排的過程中。所以我們希望能夠把重點放在這方面。我還要補充一點，我們非常重視卓越營運措施。我們將大力提升利潤率，並將其融入業務發展中。

And we continue to focus on that every day. So we'll continue to make investments to drive performance in the business.

我們每天都在繼續關注這一點。因此，我們將繼續加大投資，以提升業務績效。

And hopefully, we'll be able to outperform and see some positive EACs next year.

希望我們明年能取得更好的成績，並且看到一些正面的EAC（完工平均成本）。

Jed Dorsheimer, William Blair.

傑德·多爾斯海默，威廉·布萊爾。

I'll echo the other sentiments. Congratulations on a great quarter here. I guess just first one, if I just kind of unpack the in the commercial growth. I noticed that you separated out the growth from Kinectrics. And specifically in your radiopharma business, that supply with Novartis, it looks (inaudible) off-label from pre chemo, which expands and, so my question is, were you supply constrained in the quarter in terms of at the precursor or for the lutetium-177 and previously, you had talked about, I think, 30-plus Phase III.

我同意其他人的看法。恭喜你們本季業績出色。我想，首先，如果我稍微剖析一下商業成長。我注意到你把成長部分和 Kinectrics 部分分開了。具體來說，在您的放射性藥物業務中，與諾華的供應，看起來（聽不清楚）是來自化療前的標籤外用途，這擴大了，所以我的問題是，就前體或镥-177而言，您本季度的供應是否受到限制？此前，您曾談到，我認為，30 多個 III 期臨床試驗。

So I'm just wondering how we should expect radiopharma growth and whether or not that was limited by the capacity.

所以我想知道我們應該如何預期放射性藥物產業的成長，以及這種成長是否受到產能的限制。

Yes, I don't -- I don't think we were supply constrained for that product. We're pretty far downstream. We do the base material in (inaudible) And lutetium-177, we don't produce the active pharmaceutical ingredient that goes to a customer upstream of us. But no, we don't feel -- we're not in a position of supply constraint for that product as to how that's going to grow, I do expect lutetium growth to continue to accelerate. I can't predict that one for our business right now, but certainly, there will be a higher demand in the future.

是的，我不認為——我不認為我們當時的產品供應受到限制。我們已經到了下游很遠的地方。我們生產基礎材料（聽不清楚）和镥-177，我們不生產提供給上游客戶的活性藥物成分。但是，我們並不覺得──我們目前沒有面臨該產品供應受限的問題，至於它未來的成長，我預期镥的成長將繼續加速。我現在無法預測這對我們公司意味著什麼，但可以肯定的是，未來需求會更高。

Got it. And then just sticking with commercial, but switching to the reactor side. It sounds -- if you received an RFP for a rolls, SMR, for example, just as an example here, or even for an AP1000, that would obviously drive the backlog but wouldn't contribute anything to growth next year. Is that correct? I just want to make sure that it seems like that would be the case, but I just wanted to confirm it.

知道了。然後繼續從事商業活動，但轉向反應爐方面。聽起來——例如，如果您收到一份關於卷材、SMR（舉個例子）或 AP1000 的 RFP，這顯然會增加積壓訂單，但不會對明年的成長做出任何貢獻。是這樣嗎？我只是想確認一下，雖然看起來好像是這樣，但我還是想確認一下。

In other words, 26% is a year of RFPs wins. And while most of the reactor side would be Bruce and OPG up in Canada, correct?

換句話說，26% 是 RFP 中標的年份。而反應爐的大部分部件應該在加拿大的布魯斯和安大略電力公司（OPG）那裡，對嗎？

Yes. Yes, that's correct.

是的。是的，沒錯。

Yes, that's correct.

是的，沒錯。

Yes. We don't have a lot of that kind of scope in the forecast, if that's what you're asking. Yes, my perspective, the growth numbers that we put out there for those kind of early targets for growth. I don't see much -- I mean I frankly don't see much risk on the revenue side because we book so much business in naval reactors, special materials and even on the commercial side and on the medical side. So it's a low-risk outlook from the standpoint of revenue, we see to drive margins.

是的。如果您問的是這個，那麼我們的預測範圍並沒有太多這方面的內容。是的，我的看法是，我們公佈的那些早期成長目標的成長數字。我看不出有什麼風險——坦白說，我看不出收入方面有什麼風險，因為我們在海軍反應器、特殊材料，甚至商業和醫療領域都獲得了大量的業務。因此，從收入角度來看，這是一個低風險的前景，我們認為這將推動利潤率的成長。

But. Yes, anything that we would get on the commercial side, say, from the 81,000 be added to that.

但。是的，我們在商業方面獲得的任何東西，比如說，從81000美元中得到的，都會加到這筆錢裡。

Andre Madrid, BTIG.

安德烈·馬德里，BTIG。

Could you maybe give us a status update on Taco? I know you said last quarter, it kind of lives on through NASA. But we did see you guys call out some weaker micro reactor volumes in the quarter, and I wanted to just know if it was attributable to this.

可否告知我們Taco專案的最新進展？我知道你上個季度說過，它透過NASA得以延續。但我們確實看到你們指出本季微型反應器的產量有所下降，我想知道這是否與此有關。

Yes, that's exactly right. So the drag to program a devolved into single agency support. It was DARPA it was a DARPA and NASA joint program. Now it's a NASA nuclear thermal propulsion program called Century. And the funding hasn't really shaped up for that in a meaningful way yet.

是的，完全正確。因此，阻礙專案進展的因素是分散到單一機構的支持下。這是DARPA的項目，是DARPA和NASA的聯合項目。現在它變成了美國太空總署的一項名為「世紀」的核熱推進計劃。而資金還沒有真正到位，無法為此提供實質的支持。

We do have some task orders under that contract, and we're able to keep our team together, but it's a lower level of revenue. And I think it's hard to predict what the outcome of that will be.

我們確實有一些合約下的任務訂單，而且我們能夠維持團隊的穩定，但是收入水平較低。我認為很難預測結果會如何。

Certainly, NASA seems to be focused on lunar efficient surface power right now, and we've assembled the team to go attack that opportunity. But nuclear thermal propulsion is still in need on the civil space and national security side. So I do think that program goes forward in some form in the future, it's just hard to predict right now.

當然，NASA 目前似乎專注於月球高效表面能源，我們已經組建了團隊來抓住這個機會。但核熱推進技術在民用航太和國家安全領域仍有需求。所以我認為這個項目未來會以某種形式繼續進行，只是現在很難預測。

Got it. Got it. No, that makes sense. And Mike, on -- I think you called it out earlier, but on the 80 Bill nuclear partnership that was recently announced. I mean what gains could be PAUSE captured there, if any?

知道了。知道了。沒錯，這很有道理。麥克，關於——我想你之前已經提到過了，關於最近宣布的800億美元核能合作項目。我的意思是，PAUSE 能從中獲得什麼收益（如果有的話）？

I mean, how do we assess that opportunity for you guys if it is an opportunity.

我的意思是，如果這真的是個機會，我們該如何評估它對你們的意義呢？

Yes. I don't think -- I mean, we haven't given specific guidance on what the size of that opportunity is at this point.

是的。我認為——我的意思是，目前我們還沒有就這個機會的規模給出具體指導。

I would just add to that. The opportunity there is for component manufacturing, which is obviously right in our sweet spot. So it could be steam generators reactor pressure vessels, those kinds of things. And so I think the opportunity set is pretty interesting, but it's not specific yet.

我還要補充一點。其中蘊藏著零件製造的機會，這顯然正是我們的優勢。所以可能是蒸氣產生器、反應器壓力容器之類的東西。所以我認為機會組合相當有趣，但目前還不具體。

Ron Epstein, Bank of America.

羅恩愛潑斯坦，美國銀行。

This is [Alex Preston] on for Ron today. I was just curious on M&A, right? Obviously, talk through a couple of times, A.O.T. and Kinectrics is performing really well. Curious if you could just walk us through a little bit about the environment you're seeing any appetite going forward for more investments

今天替補羅恩上場的是亞歷克斯普雷斯頓。我只是對併購感興趣而已，對吧？顯然，經過幾次討論，A.O.T. 和 Kinectrics 的表現都非常出色。能否請您簡單介紹一下目前看到的投資環境，以及未來是否有增加投資的需求？

It seems like you'll be well within your sort of 2 to 3x leverage range going even to like the end of the year.

看來即使到年底，你的槓桿倍數也應該會保持在 2 到 3 倍的範圍內。

Yes. But maybe I'll make a broad comment about that and then flip it over to Mike. We've been historically pretty picky about doing acquisitions because our philosophy there is to go and get things that amplify our strategic intentions in the nuclear space. And so I think that may are necessarily limited on the number of targets. But that said, we did a couple of really good ones this year with Kinectrics and A.O.T., and we've done some very good ones in the past.

是的。不過，我或許會就此發表一些概括性的評論，然後把話題交給麥克。從歷史上看，我們在進行收購時一直非常挑剔，因為我們的理念是收購那些能夠增強我們在核能領域戰略意圖的東西。所以我認為目標數量必然是有限的。不過話說回來，今年我們和 Kinectrics 以及 A.O.T. 合作做了幾款非常好的遊戲，而且我們過去也做過一些非常好的遊戲。

Nordion was a good acquisition for us. The GE Hitachi assets in Canada, a very good acquisition for us.

收購 Nordion 對我們來說是個不錯的投資。收購通用電氣日立在加拿大的資產對我們來說是一筆非常好的收購。

I would say that we are interested in acquiring right now because, as I said on the call, or as I said in 1 of the answers, we certainly can get assets within our multiple. So you've got an opportunity to create value there. So we're continuing to look. I think it's super interesting, and we'll acquire if it matches what we're trying to do strategically, otherwise, would stay away from them.

我想說，我們現在對收購很感興趣，因為正如我在電話會議上所說，或者正如我在某個回答中所說，我們當然可以以我們設定的倍數收購資產。所以你有機會在那裡創造價值。所以我們會繼續尋找。我覺得這非常有趣，如果它符合我們的策略目標，我們會收購；否則，我們會避開它。

And I think we feel comfortable where we are from a leverage standpoint. One of my priorities is to continue to clean up some of the balance sheet and create some capacity in direct outer be opportunistic about acquisitions going forward.

我認為從談判籌碼的角度來看，我們對目前的處境感到滿意。我的首要任務之一是繼續清理資產負債表，並創造一些直接對外融資能力，以便在未來有機會進行收購。

Pete Skibitski, Alembic Global.

Pete Skibitski，Alembic Global。

Just a quick housekeeping question, I guess, for Mike. Mike, the $15 million step-up in D&A in 2026, this is a small EBIT impact. But I was just wondering, does that relate to the 2 new contracts in government? Or is it from Tech 99 or something completely different?

我有個關於日常事務的小問題想問麥克。Mike，2026 年折舊和攤提增加 1,500 萬美元，對息稅前利潤的影響很小。但我只是想知道，這和政府的兩份新合約有關嗎？還是它出自 Tech 99，還是完全不同的東西？

Not related to either a part of this is the timing difference between when we get recovery under cost accounting standards and financial accounting standards. But no major step change as it relates to Tech 99. That won't happen until that program has gone through full approval. And then from the initial investments that we've been doing related to the new contracts we're starting to spend that, but those aren't placed in service. So you're not going to see a significant step up of that in '26 that will kind of bleed in over a period of time.

與此無關的另一部分是，根據成本會計準則和財務會計準則獲得回收的時間存在差異。但就 Tech 99 而言，並沒有什麼重大變化。只有當該項目獲得全面批准後，這種情況才會發生。然後，我們從與新合約相關的初始投資中開始支出，但這些投資還沒有投入使用。所以你不會在 2026 年看到這方面有顯著的提升，這種提升會隨著時間的推移而逐漸顯現。

Scott Deuschle, Deutsche Bank.

史考特‧德施勒，德意志銀行。

All right. I'll save this question from the end of the call because it's powering. But Rex, is rare earth handling or processing at all an area of strategic interest of the company, given your existing experience and the handling and processing of hazardous materials.

好的。我會把這個問題留到通話最後再問，因為它很關鍵。但是，Rex，鑑於你現有的經驗以及危險材料的處理和加工，稀土的處理或加工是否是公司的策略關注領域？

So I don't think so, Scott. Our capabilities are around special nuclear materials and the materials handling and accountability systems that go with that. We just aren't involved with rare earths typically, I mean, apart from Gateman, but just not in our playbook. And so I would say the answer to that is broadly no.

所以我覺得不是這樣，史考特。我們的能力集中在特殊核材料以及相關的材料處理和管理系統方面。我們通常不會涉足稀土領域，我的意思是，除了 Gateman 之外，但這不在我們的業務規劃之內。所以我認為答案基本上是否定的。

That concludes the question-and-answer session. I would like to turn the call back over to Chase Jacobson for closing remarks.

問答環節到此結束。我謹將電話轉回給蔡斯·雅各布森，請他作總結發言。

Thank you, Desri. Thank you, everybody, for joining us today. We appreciate your questions. We appreciate your interest in BWXT. We look forward to seeing many of you and speaking with you in the coming days, and we been seeing you at investor events.

謝謝你，德斯里。謝謝各位今天蒞臨。感謝您的提問。感謝您對BWXT的關注。我們期待在接下來的幾天裡見到各位並與您交談，我們也曾在投資者活動中見過您。

If you have any questions, please reach out to me at investors@bwxt.com. Thank you.

如有任何疑問，請聯絡我，信箱地址是 investors@bwxt.com。謝謝。

Ladies and gentlemen, that concludes today's call. Thank you all for joining, and you may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝各位的參與，現在可以斷開連結了。