CECO Environmental Corp (CECO) 2022 Q3 法說會逐字稿

Good morning, and welcome to the CECO Environmental Third Quarter 2022 Earnings Conference Call. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Steven Hooser, Investor Relations. Please go ahead.

早安，歡迎參加CECO Environmental 2022年第三季財報電話會議。 （操作說明）請注意，本次會議正在錄音。現在我將會議交給投資者關係部的Steven Hooser先生。請開始。

Thank you, Andrea, and thank you for joining us on the CECO Environmental Third Quarter 2022 Earnings Call. On the call with me today is Todd Gleason, Chief Executive Officer; Peter Johansen, Chief Financial and Strategy Officer; and Ramesh Nuggihalli, Chief Operating Officer. Before we begin, I would like to note that we have provided a slide presentation to help guide our discussion. The call will be webcast along with the earnings presentation, which is on our website at cecoenviro.com under the Investor Relations section. I'd also like to caution investors regarding forward-looking statements. Any statements made in today's presentation that are not based on historical facts are forward-looking statements. Such statements are based on certain estimates and expectations and are subject to a number of risks and uncertainties.

謝謝Andrea，也謝謝您參加CECO Environmental 2022年第三季財報電話會議。今天與我一同出席會議的還有執行長Todd Gleason、財務兼策略長Peter Johansen以及營運長Ramesh Nuggihalli。在會議開始之前，我想說明我們準備了一份幻燈片演示文稿，以幫助引導本次討論。本次電話會議將進行網路直播，同時發布的財報簡報可在公司網站cecoenviro.com的「投資者關係」欄位下找到。此外，我還想提醒各位投資人注意前瞻性陳述。今天簡報中任何非基於歷史事實的陳述均為前瞻性陳述。此類陳述基於某些估計和預期，並受諸多風險和不確定性因素的影響。

Actual future results may differ materially from those expressed or implied by the forward-looking statements. We encourage you to read the risks described in the SEC filings included on Form 10-K for the year ended December 31, 2021. Except to the extent required by applicable securities law, we undertake no obligation to update or publicly revise any of the forward-looking statements that we make here today whether as a result of new information, future events or otherwise. Today's presentation will also include references to certain non-GAAP financial measures. We've reconciled the comparable GAAP and non-GAAP numbers in today's press release as well as the supplemental tables in the back of the slide deck. And with that, I would now like to turn the call over to Chief Executive Officer, Todd Gleason. Todd.

實際未來結果可能與前瞻性聲明中明示或暗示的結果有重大差異。我們建議您閱讀截至2021年12月31日止年度的10-K表格中提交給美國證券交易委員會（SEC）的文件，其中描述了相關風險。除適用證券法要求外，我們不承擔因新資訊、未來事件或其他原因而更新或公開修訂今天所作任何前瞻性聲明的義務。今天的演示也將提及某些非GAAP財務指標。我們已在今天的新聞稿以及幻燈片後面的補充表格中對可比較的GAAP和非GAAP資料進行了核對。接下來，我將把電話交給執行長托德·格里森。托德。

Thanks, Steven, and good day, everyone. I'm going to start with Slide #3 of the presentation that Steven mentioned. Let's get going. I'd like to begin with the note highlighted at the bottom of the slide. Effective as of today, our NASDAQ ticker symbol has officially changed to CECO. Once that ticker symbol became available earlier this year we secured it as it always made sense for CECO Environmental to be listed as such. We are celebrating our 25th anniversary as a NASDAQ-listed company so this is just a nice anniversary gift. But that's not the only bit of good news we want to share today. Let's discuss our financial results and outlook by reviewing the main points on the slide.

謝謝史蒂文，大家好。我將從史蒂文提到的簡報的第三張幻燈片開始。我們開始吧。我想先談談幻燈片底部高亮顯示的那條訊息。從今天起，我們的納斯達克股票代碼正式變更為CECO。今年早些時候，當這個股票代碼開放註冊時，我們就立即註冊了，因為對於CECO Environmental來說，使用這個代碼上市一直都很合理。今年是我們作為納斯達克上市公司25週年，所以這是一份不錯的周年紀念禮物。但這並非我們今天想分享的唯一好消息。接下來，讓我們透過回顧投影片上的要點來討論我們的財務表現和展望。

We believe these are the key takeaways from our presentation today. We delivered another strong quarter. I'd like to thank our global teams for navigating the market challenges and supply chain issues that have persisted. We continue to deliver for our customers and our channel partners. In fact, we produced record third quarter revenue and EBITDA and our third quarter was the second highest revenue quarter in the company's history. Additionally, this was our third consecutive quarter with new bookings above $100 million. Our backlog remains close to all-time highs as a result of another solid quarter of orders. Importantly, as we will highlight in more detail on Slide 5, we are getting broad-based growth from across our enterprise.

我們認為，以上是今天報告的要點。我們又迎來了一個強勁的季度。我要感謝我們的全球團隊，感謝他們克服了持續存在的市場挑戰和供應鏈問題。我們將繼續為客戶和通路合作夥伴提供優質服務。事實上，我們第三季的營收和 EBITDA 均創歷史新高，第三季也是公司史上營收第二高的季度。此外，這是我們連續第三個季度新訂單金額超過 1 億美元。由於又一個季度的訂單表現穩健，我們的積壓訂單量仍然接近歷史最高水準。更重要的是，正如我們將在第五張投影片中詳細闡述的那樣，我們整個企業都實現了全面成長。

All diversified companies like to flex their muscle of diversification, and I would suggest CECO is doing exactly that in 2022 and frankly, over the past 18 months or so. We also remain focused on our capital allocation programs. This will continue to be a hallmark of our value creation. In the quarter, we closed one acquisition, the purchase of DS21, a South Korea-based industrial water leader. In addition, we continued our stock repurchases, more on capital allocation in a few slides. The final two bullet points on this slide point to our full year 2022 guidance and our full year 2023 outlook. We are raising our 2022 guidance and introducing our outlook for next year. Bottom line is we expect to maintain strong growth and are committed to executing against our commitments. So today is the first day for our NASDAQ ticker symbol as CECO, but another quarter where CECO delivers great results.

所有多元化公司都喜歡充分發揮其多元化優勢，我認為CECO在2022年以及過去18個月左右的時間裡正是如此。我們始終專注於資本配置計劃，這將繼續成為我們價值創造的標誌。本季度，我們完成了一項收購，即收購了總部位於韓國的工業水處理領導者DS21。此外，我們繼續進行股票回購，關於資本配置的更多內容將在後續幾頁投影片中介紹。本頁投影片的最後兩點分別闡述了我們對2022年全年業績的預期以及對2023年全年業績的展望。我們提高了2022年的業績預期，並發布了對明年的展望。總而言之，我們預計將保持強勁成長，並致力於履行我們的承諾。今天是CECO在納斯達克上市的第一天，也是CECO又一個業績斐然的季度。

Let's move to Slide #4. This slide provides a summary snapshot of our third quarter and year-to-date financials. Peter will dive into our financials in more detail but here are some highlights. On the left side of the slide, we highlight key financial metrics for the third quarter and year-over-year percentages. Three consecutive quarters with orders over $100 million, another quarter with double-digit orders growth and up almost 40% year-to-date. Sales in Q3 and year-to-date are up over 30% with 36% growth in the third quarter year-over-year. 165% growth in our adjusted EBITDA for Q3 and year-to-date EBITDA margins up 250 basis points year-over-year. So, revenue and income growth continued to be really solid for CECO. Free cash flow continues to be very good for the year, and we expect to drive free cash flow as we go forward.

讓我們來看第四張投影片。這張投影片概述了我們第三季和年初至今的財務狀況。 Peter 將會更詳細地講解我們的財務數據，但這裡先列出一些要點。幻燈片左側重點列出了第三季的關鍵財務指標以及同比百分比。我們連續三個季度訂單金額超過 1 億美元，又一個季度訂單成長達到兩位數，年初至今成長近 40%。第三季和年初至今的銷售額均成長超過 30%，其中第三季年增 36%。第三季調整後 EBITDA 成長 165%，年初至今 EBITDA 利潤率年增 250 個基點。因此，CECO 的營收和利潤成長依然非常強勁。今年的自由現金流狀況良好，我們預計未來將繼續保持這一勢頭。

Overall, we're just very pleased with our third quarter performance. Now let's move to Slide #5. I referred to this slide when I was highlighting the key takeaways for the quarter and year-to-date performance. This slide provides a visual depiction of each of our eight platforms orders growth rates on a year-to-date basis and over the past 18 months. All of our platforms have delivered double-digit orders growth over the past 18 months, a truly balanced growth profile. Obviously, some have demonstrated higher growth over the past 1.5 years, such as industrial air. But bottom line, each have grown. And from a year-to-date perspective, 75% of our platforms have delivered orders growth when compared to the first three quarters of 2021.

整體而言，我們對第三季的業績非常滿意。現在我們來看第五張投影片。我在重點介紹本季和年初至今業績的關鍵要點時提到了這張投影片。這張投影片以圖表形式展示了我們八個平台年初至今以及過去18個月的訂單成長率。過去18個月，我們所有平台的訂單成長率都達到了兩位數，實現了真正均衡的成長。當然，有些平台在過去一年半中成長更快，例如工業空氣平台。但總的來說，每個平台都實現了成長。從年初至今的角度來看，與2021年前三個季度相比，我們75%的平台訂單量都成長了。

I'm not going to read each of the platform growth figures, but you can see this is a balanced growth effort. And the two platforms that are showing year-to-date declines have great opportunities in the fourth quarter to close that gap and perhaps drive full year growth themselves. The obvious point here is that our orders growth and near-record backlog are not just a result of one or two big markets or one or two big projects, but instead a collection of great effort across our entire company. I would also remind the audience that when we organized into these eight platforms about 1.5 years ago, I talked quite extensively about the goals and objectives of our focused platform organizational design. The objective was to drive more growth and more nimble management approach to capturing opportunities in core or adjacent markets to have more accountability at the core level that interacts directly with the customer. And after 18 months of driving consistent growth and performance, we would submit that this platform organizational design has been and will continue to be a real differentiation point for CECO.

我不會逐一解讀各平台的成長數據，但大家可以看出，這是一個均衡成長的局面。目前出現下滑的兩個平台在第四季度擁有巨大的機會來縮小差距，甚至可能推動全年成長。顯而易見的是，我們的訂單成長和接近歷史最高水準的積壓訂單並非僅來自一兩個大市場或一兩個大項目，而是全公司共同努力的結果。我還想提醒各位，大約一年半前，當我們把公司分成這八個平台時，我曾詳細闡述我們聚焦平台組織架構的目標和宗旨。我們的目標是推動更多成長，並採用更靈活的管理方式來掌握核心市場或鄰近市場的機遇，從而在直接與客戶互動的核心層面建立更強的責任感。經過18個月的持續成長與績效提升，我們認為，這種平台組織架構過去是、現在是、將來也仍將是CECO真正的差異化優勢。

Now let's move on. Another somewhat unique slide is #6. Let's go there now. The eight full platforms on the previous slide fit into these three strategic focus areas for CECO. Industrial air, which represents about 50% of our sales, industrial water, which now represents about 25% and energy transition, which makes up the other 25%. A few of our platforms, such as separation and filtration have solutions that cut across multiple strategic focus areas. That's why, for example, you see the Peerless brand listed across the board. Compared to some platforms are brands that are resident in only one such as EIS or Adwest which those brands are strictly within our Industrial Air platform. Whichever is the case, we have a number of well-respected brands that solve key challenges for customers in industrial water and energy transition markets.

現在我們繼續。第六張投影片比較特別，我們來看一下。上一張投影片中的八個完整平台都屬於CECO的三大戰略重點領域：工業空氣（約占我們銷售額的50%）、工業水處理（約佔25%）以及能源轉型（佔剩餘的25%）。我們的一些平台，例如分離和過濾平台，其解決方案可以跨越多個策略重點領域。這就是為什麼您會看到Peerless品牌出現在所有平台上的原因。相較之下，有些品牌只屬於一個平台，例如EIS或Adwest，它們嚴格屬於我們的工業空氣平台。無論如何，我們擁有許多備受推崇的品牌，能夠為工業水處理和能源轉型市場的客戶解決關鍵挑戰。

And on the right section of this slide, you see a representative list of just some of our project wins. Much like the diversity and balance of our orders growth, we are sharing the same diversity we have been winning across these diverse markets. And these projects, again, are just a small sample size, of course. You can read that with an industrial layer, we highlight a few semi-conductor and electric vehicle wins for our various brands. There have been significant investments in these areas, and we believe these markets will continue to invest in expansion. The same thing for chemical, metallurgy and food and beverage markets, whether it is a $7 million project win for an aluminium manufacturer that required leading air management solutions or a multibillion-dollar semiconductor fabrication facility that needs advanced scrubber technology, in this case, a $5 million solution that we provided.

在本投影片的右側部分，您可以看到我們部分中標項目的代表性清單。正如我們訂單成長的多樣性和平衡性一樣，我們在這些不同的市場中也取得了同樣的成功。當然，這些項目只是其中的一小部分。從產業層面來看，我們重點介紹了旗下各個品牌在半導體和電動車領域的一些得標項目。這些領域已有大量投資，我們相信這些市場將繼續投資擴張。化學、冶金以及食品飲料市場的情況也類似，無論是為一家鋁製品製造商贏得的價值 700 萬美元的項目（該項目需要領先的空氣管理解決方案），還是為一家價值數十億美元的半導體製造廠提供先進的洗滌器技術（在本例中，我們提供了價值 500 萬美元的解決方案），我們都取得了成功。

We believe CECO and our brands have a great position to serve these markets. Over the past years, we have steadily developed a sustainable niche leadership position in various industrial water markets. Our leadership position has been advanced through organic growth investments and the acquisitions we have made throughout 2022. In the industrial water markets, we provide highly engineered solutions that capture, treat, clean and offer reuse produced water in heavy industry or energy market applications. Oftentimes, these require special certifications or being on rigorous approved vendor lists and AVL, so to speak. The process to achieving engineering solution, or AVL documentation can take years. And in many cases, these activities ensure to our customers that our solutions are approved for them to maintain regulatory compliance while also confirming their processes are efficient and safe.

我們相信，CECO及其旗下品牌在這些市場中擁有得天獨厚的優勢。過去幾年，我們穩步發展，在各個工業水處理市場建立了可持續的細分市場領導地位。我們透過內生成長投資以及2022年進行的收購，進一步鞏固了我們的領導地位。在工業水處理市場，我們提供高度工程化的解決方案，用於重工業或能源市場應用中的廢水收集、處理、淨化和再利用。這些解決方案通常需要特殊的認證，或必須列入嚴格的認可供應商名單（AVL）。取得工程解決方案或AVL檔案的過程可能需要數年時間。在許多情況下，這些工作能夠確保我們的客戶獲得認可，從而符合監管要求，同時確保其流程高效安全。

On this slide, we highlight a $15 million produced water treatment solution that our separation filtration platform's Peerless brand is delivering to a Middle East customer that required highly engineered water management solutions. We also highlight some smaller industrial solutions with the examples shown regarding our Fybroc branded or Compass Water wins around saltwater recirculation or potable water treatment. In short, our industrial water strategic focus continues to build sustainable leadership across targeted niche areas that we believe we have every right to win and thus, we will continue to invest more organic and inorganic growth.

本投影片重點介紹了我們分離過濾平台旗下 Peerless 品牌為一家中東客戶提供的價值 1,500 萬美元的廢水處理解決方案。該客戶需要高度工程化的水管理解決方案。此外，我們也重點介紹了一些規模較小的工業解決方案，例如我們旗下 Fybroc 品牌或 Compass Water 品牌在海水循環利用或飲用水處理領域的成功案例。簡而言之，我們持續專注於工業水處理策略，致力於在目標區隔領域建立可持續的領先地位。我們相信，在這些領域，我們完全有能力贏得市場，因此，我們將繼續增加對內生式和外延式成長的投入。

And finally, the energy transition opportunities are vast. We have a very strong position in legacy energy markets such as natural gas, power and various refining applications. Now we are positioning CECO to simultaneously support those legacy customers and applications and also their needs to expand with purpose to new energy infrastructure investments associated with carbon capture, hydrogen and other advanced gas solutions. One recent win is in the carbon capture space, an almost $4 million separation and filtration solution for carbon capture within an ethanol facility. This carbon will ultimately be sequestered and, therefore, eliminate environmental exposure. Similar solutions might utilize the carbon as a commercial product, and we are working on various projects where this might be the end goal.

最後，能源轉型機會巨大。我們在天然氣、電力和各種煉油應用等傳統能源市場擁有非常強大的地位。現在，我們正致力於讓CECO能夠同時支援這些傳統客戶和應用，並滿足他們有目的地拓展到與碳捕獲、氫氣和其他先進氣體解決方案相關的新能源基礎設施投資的需求。我們最近的一項成功案例是碳捕獲領域，我們為一家乙醇工廠提供了價值近400萬美元的碳捕獲分離和過濾解決方案。這些碳最終將被封存，從而消除對環境的污染。類似的解決方案可能會將這些碳作為商業產品利用，我們正在進行多個項目，這可能是最終目標。

As carbon capture continues to receive investments in sequestration or commercialization, our solutions will be critical to aid in the development of large-scale infrastructure or more point of capture solutions. We look forward to highlighting many more of these examples in the coming quarters. Now please turn to Slide 7, which highlights our capital allocation actions. As the takeaway on the slide highlights, over the past 18 months, we have deployed almost $60 million towards the combination of strategic accretive acquisitions and share buybacks. The four acquisitions listed on the left side of the slide, are helping to advance our leadership position in industrial air or helping to build a leadership position in industrial water.

隨著碳捕獲技術在封存或商業化方面持續獲得投資，我們的解決方案對於助力大規模基礎設施建設或更多點位捕獲解決方案的實現至關重要。我們期待在接下來的幾個季度中重點介紹更多此類案例。現在請翻到投影片7，其中重點介紹了我們的資本配置行動。如幻燈片所示，在過去的18個月中，我們已投入近6,000萬美元用於策略性增值收購和股票回購。幻燈片左側列出的四項收購正在幫助我們鞏固在工業空氣領域的領先地位，或協助我們在工業水處理領域建立領先地位。

In Q1, we closed on general rubber, which adds water infrastructure and process applications. Then in Q2, we closed on compass water, which adds membrane solutions specific to highly certified marine and naval applications. And in Q3, we just closed on DS 21, which advances CECO's East Asia market access and adds great relationships with leading Korean EPCs and also provides proven industrial water (inaudible) engineered solutions. Each of these three acquisitions add niche leadership positions to industrial water solutions. The Western Air acquisition in Q2 helps to advance our industrial air position with standard us collectors and energy-efficient control solutions. Each acquisition is accretive. Each adds niche leadership in focused arenas with very strong management teams.

第一季度，我們完成了對通用橡膠的收購，這為我們帶來了水基礎設施和製程應用的業務。第二季度，我們完成了對康帕斯水務的收購，這為我們帶來了針對高認證船舶和海軍應用的薄膜解決方案。第三季度，我們剛完成了對DS 21的收購，這不僅拓展了CECO在東亞市場的准入，還增強了我們與韓國領先的EPC公司的合作關係，並提供了成熟的工業水處理工程解決方案。這三項收購均使我們在工業水處理解決方案領域佔據了細分市場的領先地位。第二季對Western Air的收購則有助於我們憑藉標準化的集熱器和節能控制解決方案，進一步鞏固我們在工業空氣領域的市場地位。每項收購都帶來了收益成長，都使我們在特定領域擁有了強大的管理團隊，從而鞏固了我們在細分市場的領先地位。

So while the transactions may seem small on a relative basis, we believe and know they had critical resources, great market leadership, geographic reach and will drive meaningful growth. On the right side of the slide, we provide an update to our share repurchases. Combined in Q2 and Q3, we repurchased about $6.5 million worth of stock. This represented around 3% of our common stock at an average purchase price of around $7.69, a pretty nice discount to our current stock price.

因此，儘管這些交易相對而言規模較小，但我們相信並確信它們擁有關鍵資源、強大的市場領導地位和廣泛的地域覆蓋，並將推動顯著成長。在投影片的右側，我們更新了股票回購情況。第二季和第三季度，我們共回購了價值約 650 萬美元的股票。這約占我們普通股的 3%，平均回購價格約為每股 7.69 美元，較我們目前的股價有相當大的折扣。

These purchases when coupled with the $5 million worth of stock repurchased in 2021 represent a consistent utilization of cash to support shareholder value. So while we just announced a 3-year $20 million authorization of stock repurchases in May, we have already utilized about 1/3 of that utilization in just six months. Now I would not suggest we are going to maintain this rate of stock buybacks, but the authorization gives us good flexibility and we will be very prudent with our capital allocation. I will now hand it over to Peter Johansen, who will go through our financial details and provide an update on our full year guidance. Peter.

這些收購加上2021年回購的價值500萬美元的股票，顯示我們持續利用現金來提升股東價值。雖然我們5月份剛剛宣布了一項為期三年、總額2000萬美元的股票回購授權，但僅僅六個月內，我們已經使用了其中約三分之一的額度。我並不認為我們會維持目前的股票回購速度，但這項授權賦予了我們很大的靈活性，我們將非常謹慎地進行資本配置。現在我將把發言權交給彼得·約翰森，他將詳細介紹我們的財務狀況，並提供全年業績指引的最新資訊。彼得。

Thanks, Todd. Before I begin to discuss CECO's third quarter financial performance, I want to briefly share with you some of my initial impressions of my now almost 90 official days in the Chief Financial and Strategy Officer role. I was very excited when Todd asked, and I agreed to join his team on the journey to build a better, bigger and stronger CECO, and I'm very pleased to sit here before you today to say that after three months, I'm even more excited about the possibilities and the journey as I have gotten to learn more about our company, our people and our customers and the vast potential that is in front of CECO. We have only scratched the surface of tapping the full potential for this organization.

謝謝托德。在正式討論CECO第三季財務業績之前，我想先簡單分享一下我擔任財務長兼策略長近90天以來的一些初步感受。當托德邀請我加入他的團隊時，我非常興奮，欣然接受，並加入了他的團隊，共同打造一個更美好、更強大、更繁榮的CECO。今天能坐在這裡，我感到非常榮幸。三個月過去了，我對公司、員工、客戶以及CECO所蘊藏的巨大潛力有了更深入的了解，也更加充滿信心，對未來的發展前景充滿期待。我們目前所取得的成就只是公司潛力的冰山一角。

Additionally, since I began, I have had the opportunity to meet and interact with a number of investors, potential investors and our analysts. And in each encounter, I have been struck by the enthusiasm about CECO and the interest shared in learning more about the company and our businesses. I look forward to spending more time with you in the future. Now let us dive into third quarter financial results. Please turn to Slide 9. On Page 4, earlier today, Todd has shared with you a few highlights from our third quarter financial results. I will now take you deeper into the numbers and performance for the quarter. On this slide is a summary of the Q3 2022 P&L performance. A more detailed view is provided in the 10-Q filed earlier today.

此外，自從我加入公司以來，我有機會與許多投資者、潛在投資者和分析師會面交流。每次交流，我都深受大家對CECO的熱情以及對公司和業務的濃厚興趣所感染。我期待未來能與大家有更多交流。現在，讓我們深入探討第三季的財務表現。請翻到第9頁。今天早些時候，Todd在第4頁已經和大家分享了我們第三季財務表現的一些亮點。現在，我將帶大家更詳細地了解本季的數據和業績。本頁概述了2022年第三季的損益。更詳細的資訊請參閱今天早些時候提交的10-Q表格。

A few items are worth highlighting for you on this page. Orders were greater than $100 million for a third consecutive quarter at $102 million, up 10% year-over-year on continued strength in our industrial air and industrial water areas of focus with the TTM orders reaching a level of $467 million. Sales performance in the quarter was even better at $108 million, up 36% year-over-year on steady execution from our growing backlog, continuing our run of six consecutive quarters of increasing sales. Third quarter gross profit margins of 30% were in line with expectations and improved 150 basis points from the year ago period as our price actions and improved execution offset higher material and project costs.

本頁有幾項值得重點介紹。訂單金額連續第三個季度超過1億美元，達到1.02億美元，年增10%，這主要得益於我們重點關注的工業空氣和工業水處理領域的持續強勁增長，過去12個月的訂單總額達到4.67億美元。本季銷售業績更為出色，達到1.08億美元，年增36%，這得益於我們不斷增長的積壓訂單的穩定執行，也延續了我們連續六個季度銷售額增長的勢頭。第三季毛利率為30%，符合預期，較去年同期提高150個基點，主要得益於我們的價格策略和執行力的提升抵銷了材料和專案成本的上漲。

This level of gross profit margin was in line with our 12-month average of 30%. We expect to deliver improved gross margins in subsequent quarters, trending back towards historic levels of 32% to 33% on a backlog that has higher margin profile, improved material and project cost outlook and higher margins contributed from our completed acquisitions and those to come. A final metric that I would like to highlight that was not described on an earlier slide #4, is non-GAAP operating income. Our non-GAAP operating income finished the quarter at $7.2 million, over 300% better than our results in the third quarter of 2021. It's important to note this performance would have been even better except for the impact of foreign exchange, which brought the number down by approximately $700,000. All this hard work on the top of the income statement, when combined with our share buyback program has delivered outstanding EPS growth in the quarter and have set CCOP for an excellent full year result.

本季毛利率水準與我們過去12個月的平均水準30%基本一致。我們預計在接下來的幾個季度中，毛利率將有所提升，並有望回升至32%至33%的歷史水準。這主要得益於利潤率更高的積壓訂單、更佳的材料和專案成本前景，以及已完成和即將完成的收購所帶來的更高利潤率。最後，我想重點介紹一下先前投影片#4中未提及的非GAAP營業收入。本季我們的非GAAP營業收入為720萬美元，比2021年第三季成長超過300%。值得注意的是，若非受到匯率波動的影響，這項業績本來可以更加出色，匯率波動導致該數字減少了約70萬美元。所有這些在損益表頂部所做的努力，加上我們的股票回購計劃，使得本季每股收益實現了顯著增長，並為CCOP全年取得優異業績奠定了基礎。

Please turn to Slide 10, where I want to provide some additional data points on orders and revenue. On an earlier slide, Todd shared with you that the orders performance for CECO is widely distributed across our various businesses. Our order strength has led to a nice run of seven consecutive quarters of average orders growth per quarter and TTM orders growth, a run, we expect to continue with the average in the third quarter reaching $117 million on TTM orders of $467 million. This figure has also set a record for orders in a three-quarter period of $377 million. Earlier on Slide 6, Todd walked you through a selection of nice wins for CECO in the quarter, which contributed to our Q3 results and will convert to revenue in the future.

請翻到第10頁投影片，我將在此提供一些關於訂單和收入的補充數據。在先前的幻燈片中，Todd 提到 CECO 的訂單表現分佈廣泛，涵蓋了我們各個業務部門。強勁的訂單表現使我們連續七季實現了平均每季訂單量和過去12個月訂單量的成長，我們預計這一成長動能將持續下去，第三季平均訂單量將達到 1.17 億美元，過去12個月訂單量將達到 4.67 億美元。這一數字也創下了前三個季度訂單量 3.77 億美元的新紀錄。在第6頁投影片中，Todd 向大家介紹了 CECO 在本季取得的一些重要成果，這些成果提升了我們第三季的業績，並將在未來轉化為實際收入。

This ongoing strength of orders translate to strengthen revenue as we convert our backlog. The series of seven quarters of orders growth has been narrowed by an even steadier and consistent revenue growth trajectory with average revenue per quarter and TTM revenue reaching $100 million and $400 million, respectively. Third quarter revenue was $28 million greater than the year ago period and was the second highest revenue quarter in company history, a mark we are looking to break again in the near future. As we flip to the next slide, #11, I'll provide some additional color on CECO's backlog. For the third consecutive quarter, CECO's backlog is at or near an all-time high. We finished the quarter with $280 million of backlog up 27% from the third quarter of 2021 and 30% from the year-end 2021 figure with a 2022 year-to-date book-to-bill over 1.2x.

訂單的持續強勁成長轉化為收入的提升，因為我們正在逐步完成積壓訂單的轉換。連續七季的訂單成長，得益於更穩定且持續的營收成長，平均季度營收和過去12個月的營收分別達到1億美元和4億美元。第三季營收比去年同期成長了2,800萬美元，是公司史上第二高的季度收入，我們期待在不久的將來再次突破這項紀錄。接下來，我們將翻到第11張投影片，進一步介紹CECO的積壓訂單狀況。 CECO的積壓訂單已連續三個季度達到或接近歷史最高水準。本季末，我們的積壓訂單總額為2.8億美元，比2021年第三季成長27%，比2021年底成長30%，2022年迄今的訂單出貨比超過1.2倍。

With an opportunity pipeline still in excess of $2 billion and with a good start to Q4 with our October bookings, we are expecting to continue the book-to-bill performance of the past seven quarters through the end of the year, setting CECO up nicely for 2023. Equally important is that our platform teams are very optimistic about growth and continue to see more opportunities to expand the current pipeline beyond existing levels. Now let's turn to Slide 12 to take a look at margins. As shown on Slide 9, our gross profit performance improvement year-over-year was substantial. Third quarter gross profit dollars delivered were up 43% versus the year ago period and was the highest level for many quarters, while its gross profit margins increased by 150 basis points, pushing the 12-month average back to the 30% level.

由於潛在訂單總額仍超過20億美元，且10月份的訂單量為第四季度開了個好頭，我們預計將延續過去七個季度的訂單出貨比，直至年底，這將為CECO在2023年的發展奠定良好的基礎。同樣重要的是，我們的平台團隊對成長前景非常樂觀，並持續看到更多機會，可以將現有訂單規模擴大到現有水平之上。現在讓我們來看第12張投影片，了解一下利潤率。如第9張投影片所示，我們的毛利年增率顯著。第三季毛利年增43%，創下多個季度以來的最高水平，同時毛利率也提高了150個基點，使12個月的平均毛利率回升至30%左右。

While it feels good to be back at 30%, our team feel that 30% is a floor for CECO's gross profit margins and fully expect to improve from this level, targeting the historic levels of 32% to 33% through continued pricing actions and price discipline, ongoing improvement in project execution, value engineering and supply chain management. Third quarter adjusted EBITDA of $9.2 million was $5.7 million higher than the year ago period, producing EBITDA margins of 8.5%, a 420-basis point improvement over the third quarter of 2021. Our TTM adjusted EBITDA of $38.5 million produced a margin for the 12-month period of 9.6%. In the quarter, we had a true-up for FX, made investments in additional commercial resources in a number of our platforms and closed the DS 21 acquisition. Without the effect of these expenses, adjusted EBITDA would have been greater than $10 million, with our margins 90 to 100 basis points higher.

儘管毛利率回升至30%令人欣喜，但我們的團隊認為30%是CECO毛利率的底線，並完全有信心在此基礎上繼續提升，目標是透過持續的價格策略和價格紀律、不斷改進專案執行、價值工程和供應鏈管理，達到32%至33%的歷史水準。第三季調整後EBITDA為920萬美元，較去年同期成長570萬美元，EBITDA利潤率8.5%，較2021年第三季提升420個基點。過去12個月的調整後EBITDA為3,850萬美元，利潤率為9.6%。本季度，我們進行了外匯調整，對多個平台的額外商業資源進行了投資，並完成了對DS 21的收購。若不計入這些費用，調整後EBITDA將超過1000萬美元，利潤率也將提高90至100個基點。

These profitability results demonstrate that even with the challenging operating environment in which we find ourselves today, CECO is getting strong leverage on our increased volume. For a moment, consider if gross profit margins had been realized at CECO's historic 32% to 33% range. EBITDA for the quarter would be in the $11.5 million to $12 million range with margins of approximately 11%. To get back to these margin levels, we remain focused on our initiatives to improve execution, commercial outcomes and optimize our G&A expenses, continuing to selectively invest in growth and enabling capabilities, but doing so at a pace that is consistent with delivering improved profitability.

這些獲利結果表明，即使在當前充滿挑戰的經營環境下，CECO 也憑藉銷售成長獲得了強勁的槓桿效應。試想一下，如果毛利率能夠達到 CECO 以往 32% 至 33% 的水平，那麼本季的 EBITDA 將在 1,150 萬美元至 1,200 萬美元之間，毛利率約為 11%。為了重回這個利潤率水平，我們將繼續專注於提升執行力、改善商業成果和優化管理費用，並持續選擇性地投資於成長和賦能能力，但始終以提升獲利能力為目標。

Now please turn to Slide 13, where I want to briefly cover cash positioning and capital deployment. The main takeaway here is that we are delivering strong operating cash flow, have ample investment capacity to fund our growth and value creation strategy and have been deploying capital aligned with that strategy. Year-to-date, we have spent approximately $54 million on M&A, share buybacks and CapEx to support our organic growth. Our strong performance has allowed us to execute on our programmatic M&A and share buybacks while maintaining a healthy EBITDA leverage ratio of less than 1.8x, yielding over $90 million of available capacity for further growth investments. We believe we have additional opportunities for improving cash generation from working capital management and project execution through the end of 2022 and into 2023.

現在請翻到第13頁投影片，我將簡單介紹一下現金狀況和資本部署。主要內容是，我們擁有強勁的經營現金流，充足的投資能力來支持我們的成長和價值創造策略，並且我們一直在按照該策略部署資本。今年迄今為止，我們已投入約5,400萬美元用於併購、股票回購和資本支出，以支持我們的內生成長。我們強勁的業績使我們能夠順利執行計劃內的併購和股票回購，同時保持低於1.8倍的健康EBITDA槓桿率，從而擁有超過9000萬美元的可用資金用於進一步的增長投資。我們相信，在2022年底至2023年期間，我們仍有機會透過營運資本管理和專案執行來進一步提升現金流。

Please turn to Slide 14, where I'll walk you through our outlook for full year 2022. Earlier this year, Todd shared with you a CECO full year financial outlook for the first time as a company. We increased the full year 2022 outlook when we presented our second quarter earnings results in August. I am pleased to share that we are increasing our full year financial outlook again to reflect strong performance and confidence in growing and converting our backlog and our operational execution. And here are the numbers. We now expect full year 2022 orders to exceed $475 million. This would represent a greater than 30% year-over-year increase and would be the second consecutive year that CECO has grown full year orders by 30% or more.

請翻到第14頁投影片，我將在此詳細介紹我們對2022年全年的展望。今年早些時候，Todd首次向大家分享了CECO公司的全年財務展望。我們在8月發布第二季財報時上調了2022年全年的業績預期。我很高興地宣布，我們再次上調全年財務預期，以反映我們強勁的業績表現以及對成長和轉化積壓訂單和營運執行的信心。以下是具體數據。我們現在預計2022年全年訂單金額將超過4.75億美元。這將比上年增長超過30%，也是CECO連續第二年全年訂單額成長達到或超過30%。

Our updated outlook for full year 2022 sales is to exceed $410 million, delivering over $100 million in revenue in the fourth quarter for a third consecutive quarter. This would represent a 26% year-over-year increase for the full year. We continue to expect full year gross profit margins of 30%, which although down 100 basis points versus full year 2021 will allow us to exit the year with higher run rate than the first half of 2022. We are also improving our full year 2022 outlook for adjusted EBITDA and increasing our previously stated range from a low of 37% to a high of 40 with a view that CECO will now deliver or exceed adjusted EBITDA of $39 million for the full year, which would be an increase of 50% versus 2021. As you can see, our full year 2022 guidance for orders, revenue and adjusted EBITDA are target numbers, implying we expect to meet or potentially exceed these levels.

我們更新後的2022年全年銷售額預期將超過4.1億美元，第四季營收將連續第三個季度突破1億美元。這將使全年營收年增26%。我們仍預期全年毛利率為30%，雖然較2021年全年下降100個基點，但仍將使我們在2022年年底的毛利率高於2022年上半年。此外，我們也調高了2022年全年調整後EBITDA的預期，將先前設定的範圍從37%上調至40%，預計CECO全年調整後EBITDA將達到或超過3,900萬美元，較2021年成長50%。如您所見，我們對2022年全年訂單量、營收和調整後EBITDA的預期均為目標值，這意味著我們預計能夠達到或超過這些目標水準。

We continue to make important growth investments while taking into consideration the supply chain and inflationary challenges. So we remain cautious about setting expectations that are out of a range. However, we believe these figures represent the best view given our balance across CECO's current strong execution, our investments and market challenges. The takeaway is this, CECO is in a better position than ever for higher performance and our 2022 full year outlook is supportive of such a view. I will now hand it back over to Todd to talk about 2023 and beyond.

我們持續進行重要的成長投資，同時兼顧供應鏈和通膨挑戰。因此，我們對設定超出預期範圍的目標仍持謹慎態度。然而，鑑於CECO目前強勁的業績表現、投資以及市場挑戰，我們認為這些數據代表了最佳的預測。總而言之，CECO比以往任何時候都更有能力實現更高的業績，我們對2022年全年的展望也印證了這一點。接下來，我將把發言權交還給Todd，讓他談談2023年及以後的發展。

Thank you, Peter. Let's turn to Slide #16. We shared this slide in August when we presented our Q2 earnings report. We outlined that along with our financial guidance, we intend to signal the consistent execution areas that will drive steady growth and transformation. While we modestly updated this slide for today's presentation, it remains largely the same. In short, we are saying what we expect to do, and we expect to execute on these points. We did a similar slide in mid-2021 and provide an update on our achievements in August of this year. You can go back and see that we check the box on the key items over the past 12 months. Steady execution, that's our goal.

謝謝Peter。我們來看第16張投影片。這張投影片我們在8月發布第二季財報時分享過。當時我們概述了，除了財務預期之外，我們還計劃重點闡述能夠推動穩步成長和轉型的關鍵執行領域。雖然我們為今天的簡報對這張投影片做了一些小的更新，但內容基本上保持不變。簡而言之，我們闡述了我們的預期目標，並承諾會落實這些目標。我們在2021年中也做過類似的幻燈片，並在今年8月更新了我們的成果。您可以回顧一下，看看我們在過去12個月中都完成了關鍵專案。穩步執行，這就是我們的目標。

Our transformation will continue as we expect as we finish the year strong. Peter shared our financial outlook and mentioned growth investments. By advancing our growth and operating excellence programs, we will have an above-average chance of sustainable performance. It isn't one magic acquisition or one fancy new product line but instead a steady diet of incremental items and transactions. As we head into 2023 and move into 2024 and beyond, we expect to build upon the foundation we have put in place over the past two years. We will advance our operating model and continue to deploy capital where it creates the highest economic returns. You can see we outlined some longer-term financial goals such as EBITDA in the mid-teens in two to three years. This will come from a continued high-performance culture that delivers as well as a transformational journey to add more short-cycle sales to our business mix.

正如我們預期，隨著年底業績的強勁成長，我們的轉型將繼續推進。 Peter分享了我們的財務展望，並提及了成長投資。透過推進我們的成長和卓越營運計劃，我們將更有可能實現可持續的業績成長。這並非依靠一次神奇的收購或一條炫目的新產品線，而是依靠持續的增量項目和交易。展望2023年、2024年及未來，我們期望在過去兩年奠定的基礎上繼續發展。我們將改善營運模式，並繼續將資本投入到能夠創造最高經濟回報的領域。正如您所看到的，我們概述了一些長期財務目標，例如在兩到三年內實現約15%的EBITDA。這將得益於我們持續打造高效的企業文化，以及透過轉型之旅在業務組合中增加更多短期銷售產品。

Over the past two years, we have already moved from only 20% short-cycle sales to approximately 30% today. We continue to expect our business mix to hit 50% short-cycle sales and 50% long cycle sales in this time horizon that we present on this slide. Now let's turn to #17, and let's review our preliminary 2023 financial outlook. We are pleased to introduce 2023 financial outlook with this focus on CECO revenue, adjusted EBITDA and free cash flow. We will provide more detail on orders and other P&L items after we close 2022 and finalize any remaining 2023 budgetary items. Our expected outlook for the full year 2023 revenue is deliver sales in the range of $450 million to $475 million, up approximately 13% if you take this range's midpoint and compare it to what our full year 2022 revenue guidance is.

過去兩年，我們的短週期銷售佔比已從20%提升至目前的約30%。我們預計，在本投影片所示的時間範圍內，我們的業務組合將達到50%的短週期銷售和50%的長週期銷售。現在，讓我們來看看第17點，回顧一下我們2023年的初步財務展望。我們很高興推出2023年的財務展望，重點在於CECO收入、調整後EBITDA和自由現金流。在2022年結束並最終確定2023年剩餘預算項目後，我們將提供更多關於訂單和其他損益項目的詳細資訊。我們預計2023年全年收入將在4.5億美元至4.75億美元之間，如果取該範圍的中位數並與我們2022年全年收入預期進行比較，則增長約13%。

We expect to have a strong backlog heading into 2023 and remain optimistic (technical difficulty) continue to invest in growth initiatives as we expect to advance our growth in adjacent markets and the aforementioned higher mix of shorter cycle sales. Our expected outlook for full year 2023 adjusted EBITDA and driving productivity while (technical difficulty) balancing investments for growth. We are also balancing the economic uncertainty and continued supply chain challenges, and these are reflected in our current thinking with respect to this 2023 outlook. Finally, with free cash flow, we remain committed to generating strong free cash flow. We believe that we can generate free cash flow in the range of 50% to 75% of EBITDA, which is the right target for CECO.

我們預計2023年將擁有強勁的訂單儲備，並保持樂觀態度（技術性問題），繼續投資於成長計劃，因為我們期望在相鄰市場以及前述短週期銷售佔比更高的地區實現成長。我們對2023年全年調整後EBITDA的預期是提高生產效率，同時（技術性問題）平衡成長投資。我們也在權衡經濟不確定性和持續的供應鏈挑戰，這些因素已反映在我們目前對2023年展望的思考中。最後，在自由現金流方面，我們仍然致力於創造強勁的自由現金流。我們相信，我們可以實現EBITDA的50%至75%的自由現金流，這對CECO而言是合適的目標。

We thought it would be helpful to be transparent on our current view of 2023. This information, coupled with the slide that Peter shared outlining our commitments on 2022 and the material we shared outlining our longer-term commitments towards steady execution and transformation should provide good material for your continued assessment of CECO and our progress. Now let's wrap up with Slide 18. Great results in Q3 and year-to-date across the board. Our sales pipeline remains strong, and our near record backlog gives us good visibility to provide an initial view of 2023. We hope you find this information helpful. We remain committed to our capital allocation programs and steady transformation of CECO. We aim for higher performance, and we expect to continue to drive great shareholder value. With that, I would like to thank Team CECO for delivering for our customers, being accountable for their results. We would like to thank everyone on this call for your interest today. And with that, I'll hand it over to the Operator as we'd be happy to answer any questions.

我們認為，坦誠分享我們對2023年的展望將對您有所幫助。這些信息，加上Peter分享的概述我們2022年承諾的幻燈片，以及我們分享的關於穩步執行和轉型長期承諾的材料，應該能為您持續評估CECO及其進展提供有益的參考。現在，讓我們來看第18張投影片。第三季和年初至今的業績全面亮眼。我們的銷售管道依然強勁，接近歷史最高水準的積壓訂單讓我們能夠清楚展望2023年。希望這些資訊對您有所幫助。我們將繼續致力於資本配置計畫和CECO的穩定轉型。我們的目標是實現更高的業績，並期望繼續為股東創造巨大價值。在此，我要感謝CECO團隊為客戶創造價值，並對績效負責。感謝各位今天參與本次電話會議。接下來，我將把會議交給接線員，我們很樂意回答任何問題。

Will now begin the answer session. (Operator Instructions) And our first question comes from Amit Dayal of H.C. Wainwright.

現在開始答疑環節。 （操作員說明）我們的第一個問題來自H.C. Wainwright公司的Amit Dayal。

Just with respect to supply chain issues, Todd, is that still preventing stronger performance potentially relative to sort of what is out there for you?

托德，就供應鏈問題而言，這是否仍會阻礙你們取得比目前市場上更好的表現？

First of all, we've been all -- when I say all, it seems like every company I know is still navigating the choppy supply chain markets. I would say that we have adjusted. Our teams are doing a great job working with our customers, working with our suppliers. And not every one of our platforms and projects are on or ahead of schedule. We're still navigating some choppiness. So, I suppose, in that way, we could suggest that things could have maybe even been a little bit better but I feel great about our team's execution. And I think that at some level, we're just so accustomed now over the last 18 months or so to just having to deal with some choppiness, it seems more just more normal. But regardless, we look forward to a day when we have a really, I guess, smooth supply chain.

首先，我們所有公司——我說「所有公司」的時候，似乎我認識的每家公司都還在應對動盪的供應鏈市場。我認為我們已經做出了調整。我們的團隊在與客戶和供應商的合作中表現出色。當然，並非我們所有的平台和專案都按計劃進行或提前完成。我們仍然面臨一些挑戰。所以，從某種程度上來說，情況或許可以更好一些，但我對我們團隊的執行力感到非常滿意。而且我認為，在過去18個月左右的時間裡，我們已經習慣了應對這種波動，現在感覺這似乎已經習以為常了。但無論如何，我們期待有一天能夠擁有真正順暢的供應鏈。

And just recent headlines around recession, et cetera. Not many companies are raising – like you guys are. How are you situated relative to some maybe competition, et cetera, on that front and how much of a risk is these type developments to your outlook? Any color on just the macro environment relative to the outlook would be all helpful?

最近關於經濟衰退等等的新聞鋪天蓋地。像你們這樣融資的公司不多。在這方面，你們相對於競爭對手的情況又是如何？這類事態發展對你們的前景有多大風險？能否就宏觀環境對前景的影響提供一些見解？

We are -- as we mentioned in our prepared remarks today, we're putting a lot of thought. We understand the dynamics that are out there, the headlines and it's real. I mean we know that inflation and the supply chain that we just talked about, continues to be uncertain. There are certainly various U.S. or international items that are somewhat concerning, if not very unknown at this point. For us, however, we, as we stated, number one, we have a really balanced diverse growth profile across our platforms and a very strong backlog, a really good pipeline. So I'm just kind of punching through the headlines, if you will, on the bullet points that we provided, that does give us more visibility than maybe some companies have.

正如我們今天在準備好的演講稿中所提到的，我們正在進行深入思考。我們了解當前的市場動態和新聞報道，這些都是真實存在的。我的意思是，我們知道剛才提到的通膨和供應鏈問題仍然存在不確定性。當然，目前美國和國際上也存在著一些令人擔憂甚至未知的問題。然而，對我們而言，正如我們所說，首先，我們在各個平台上的成長非常均衡且多元化，並且擁有非常強勁的訂單儲備和良好的專案儲備。所以，我只是簡要地概述一下我們剛才提到的要點，這些要點確實讓我們比其他一些公司擁有更清晰的前景。

I would also suggest that for CECO and the investments we've made to really be more nimble to move from a market that might be kind of slowing down or even pulling back and move more quickly into another market that we think has a growth profile. For example, we all understand that there's a gain to be a large investment in the semiconductor space. We're able to -- we feel, put ourselves in good position for opportunities there, for example. So, I think the macro themes for us still look pretty positive. There's a lot of investment in some of the markets that we mentioned. There's a lot of investment in infrastructure in the U.S. infrastructure in Europe, a fair amount of re-domestication or U.S. industrial revitalization. And I think we're just in the very early innings of some of that, but a really early earning in the energy transition. We have grown a lot of our businesses by supporting legacy energy infrastructure and capabilities. And I'm as excited about the next period of time for that transition to carbon capture to hydrogen to other gas solutions. I think CECO is in great position for those markets. And so those markets don't feel like they're pulling back we feel like they're moving forward.

我還建議，CECO及其投資應該更加靈活，能夠迅速從一個可能正在放緩甚至萎縮的市場轉移到我們認為具有成長潛力的另一個市場。例如，我們都明白在半導體領域進行大規模投資是有利可圖的。我們有能力──我們認為──讓自己處於有利地位，抓住這些機會。因此，我認為我們的宏觀前景依然相當樂觀。在我們提到的一些市場中，投資非常活躍。美國和歐洲的基礎建設投資也很多，美國工業復興或本土化進程也正在加速。我認為我們目前還處於其中一些領域的早期階段，但在能源轉型方面，我們正處於早期獲利階段。我們透過支持傳統能源基礎設施和能力，發展了許多業務。我對接下來從碳捕獲到氫能再到其他氣體解決方案的轉型階段同樣充滿期待。我認為CECO在這些市場中處於非常有利的地位。因此，我們感覺到這些市場並沒有出現衰退的跡象，反而正在向前發展。

Just one last one for me, Todd. On some of your margin improvement efforts, have some of these steps already been implemented? Are you starting to implement these? Just wanted to see sort of the time line through which these will start reflecting maybe in the financials.

托德，我最後一個問題。關於你們提升利潤率的舉措，其中一些措施已經實施了嗎？或已經開始實施了？我想了解這些措施大概需要多久才能在財務報表上反映出來。

I'm going to give you kind of a CEO math here. I'd say 1/3 of our operating excellence programs have been implemented or like, for example, pricing actions and certain execution actions that Ramesh and the operating teams and the project management teams, I think we feel like the offense game plan is moving the ball down the field very nicely, and I want to thank our teams for that focus and what they've been doing to deliver steady margins because we really have protected our margins as a result. Another 1/3, I would say, is we have the programs in place. We're just kind of early days of really hitting those harder supply chain initiatives, et cetera. And we're pretty early in some of our lean journey. Some of our operating excellence programs that I know Ramesh is also eager to share with the investment community and others as we sort of really implement those investments that we're making now, and we'll continue to make over the next 12 to 24 months. So, it's a little bit of a blend. But the good news is we know how to do this stuff (technical difficulty).

我來跟大家簡單介紹一下CEO的工作進度。我們大約有三分之一的卓越營運項目已經實施，例如定價策略和一些執行措施。 Ramesh、營運團隊和專案管理團隊的努力，讓我們感覺到進攻策略正在穩步推進，我要感謝團隊的專注和付出，而正是他們的努力確保了利潤率的穩定。另外三分之一的項目已經到位，我們目前還處於推進供應鏈等更具挑戰性的舉措的初期階段。我們的精實之旅也還處於起步階段。 Ramesh也渴望與投資界和其他人士分享我們的一些卓越營運項目，因為我們正在落實這些投資，並且在未來12到24個月內還會繼續進行這些投資。所以，目前的情況比較複雜。但好消息是我們知道如何做這件事（技術難題）。

The next question comes from Rob Brown of Lake Street Capital Markets.

下一個問題來自 Lake Street Capital Markets 的 Rob Brown。

My first question is on the businesses that were a little weaker than I think the Fluid Bed (inaudible) businesses. We talked about the potential for an uptick there. What's sort of driving the uptick there? And when do you sort of think you can do that?

我的第一個問題是關於那些我認為比流化床（聽不清楚）業務稍弱的業務。我們討論過這些業務可能會出現回升。是什麼因素推動了這些業務的成長？您認為什麼時候可以實現成長？

Orders is a very nice indicator of what they represent. I mean it's a year-over-year look. It's a growth look. So, I would say, while it is a really important indicator, orders can also be like a lot of other financials or statistics in life, they can be the timing of an order. Had we booked something in the third quarter versus the fourth quarter, et cetera. So, when you're looking at those two platforms that have shown year-to-date down, we still feel their pipelines look great. Electric vehicle, for example, and our duck valve business, we think, is a really nice opportunity.

訂單量是衡量其價值的一個非常好的指標。我的意思是，它反映了同比數據和成長情況。所以，我認為，雖然訂單量是一個非常重要的指標，但它也像生活中許多其他財務指標或統計數據一樣，會受到訂單時間的影響。例如，如果我們是在第三季而不是第四季完成訂單，情況會有所不同。因此，當我們觀察那兩個年初至今訂單量下降的平台時，我們仍然認為它們的業務前景良好。例如，電動車和我們的鴨嘴閥業務，我們認為這是一個非常好的機會。

We're a little -- I guess, I'd call it like later cycle and some big projects there that we feel like we're going to be well positioned for. And then on the fluid bed side, the investments in refining have continued to be -- if it's delayed or paused, refineries are running really hard and they're maximizing the markets that are in front of them today. And so their capital investment for certain applications like a cyclonic technology, have just sort of been pushed out and pushed out. But regardless, we like both of those pipelines. And we think that maybe as early as the fourth quarter. But certainly, as we head into next year, their pipelines look really good.

我們目前處於一個——我猜，應該說是周期後期——並且有一些大型項目，我們感覺我們已經做好了充分的準備。在流體化床方面，煉油廠領域的投資一直在持續——即使有所延遲或暫停，煉油廠也在全力運轉，力求最大限度地利用當前的市場。因此，他們對某些應用（例如旋風分離技術）的資本投資被一再推遲。但無論如何，我們看好這兩個項目。我們認為最早可能在第四季就能看到成果。當然，展望明年，他們的專案前景一片光明。

And then maybe this follows on that but the energy transition activity you talked about, do those tend to be later cycle projects? And is that as some of the confidence that you see for next year is some of those late cycle activity coming on?

那麼，也許這與先前提到的能源轉型活動有關，這些活動往往屬於週期後期專案嗎？您對明年充滿信心的部分原因是否在於這些週期後期活動即將啟動？

That pipeline is building, whether it's lighter cycle or some of these projects take a fair amount of time to get all of their entire project scope and approved and the investments all put together outside this is outside of our control, obviously. So, we may know that we're in good position for our piece of a project, but they have to get from A to Z in the alphabet, everything lined up, and we represent five letters of the alphabet in this case. But yes, look again, Ramesh and the team have done a great job of really turning the spotlight on opportunities there and the carbon capture job that we mentioned was just one example where we've had a long-term knowledge of that project coming, but we just had to wait really for that whole project to really come through to fruition. And so that's just one example. Another would be -- I think there's a lot of companies that are talking about LNG and other investment and infrastructure that's really growing in terms of support, and we feel well positioned for that as well. And that seems to have been either mid or late cycle in some of this energy investment.

這條專案管道正在建設中，無論週期長短，有些專案需要相當長的時間才能完成所有專案範圍的審批，而所有外部投資的整合顯然不在我們的控制範圍內。所以，我們可能知道自己在某個專案中處於有利地位，但他們必須從頭到尾完成所有步驟，所有環節都必須到位，而我們在這個案例中代表了字母表中的五個字母。但是，Ramesh 和他的團隊確實做得非常出色，他們真正聚焦於這些機會，我們提到的碳捕獲專案就是一個例子，我們長期以來一直了解專案的進展，但我們只是需要等待整個專案最終完成。這只是一個例子。另一個例子是——我認為很多公司都在談論液化天然氣和其他投資，以及正在蓬勃發展的基礎設施，而我們也感覺自己在這方面處於有利地位。而且，這似乎已經是能源投資週期的中後期了。

Our next question comes from James Ricchiuti of Needham and Co.

我們的下一個問題來自 Needham and Co. 的 James Ricchiuti。

I just wanted to again pursue the decision to provide guidance or an outlook preliminary for '23. And the question, Todd, is more around the short-cycle business. I mean, obviously, in the past, CECO has not been immune from economic cycles. So I'm trying to get a sense as to how -- what you're seeing in that short-cycle business, whether it's just healthy, which it sounds like it is or whether you're also potentially even taking some share in end markets?

我只是想再次確認是否要提供2023年的業績指引或初步展望。托德，這個問題更多是關於短期週期業務的。我的意思是，顯然，過去CECO也未能免受經濟週期的影響。所以我試著了解一下——你對短期週期業務的看法如何？它是否像聽起來那樣發展良好？或者你們是否也在終端市場佔據了一定的份額？

Well, in some businesses, we feel really good about maintaining and our share, for example, in some of our fluid handling businesses, whether it's taking share, it might be, but it's -- we really like our ability to partner and grow distribution. We think there's big opportunities there domestically, internationally. Some of our recent acquisitions, we feel help us bring through over the next six to 12 months, even more shorter cycle opportunities with our legacy or core CECO business, but also those acquisitions are really starting to -- we feel hit their stride with respect to opening up some shorter cycle market opportunities for us. And then, of course, just the -- I'm going to go back to the answer we gave, which is I think the industrial markets continue to be -- give us visibility at least to infrastructure, to re-domestication of U.S. industrials to large investments in certain key end markets that we feel well positioned because there's only a handful of companies that are approved to provide industrial water and industrial air solutions.

在某些業務領域，我們對維持現有市場份額感到非常滿意。例如，在一些流體處理業務中，我們或許能夠搶佔市場份額，但我們更看好自身在合作夥伴關係和拓展分銷管道方面的能力。我們認為，無論在國內或國際市場，都蘊藏著巨大的機會。我們近期的一些收購，預計在未來六到十二個月內，為我們傳統的或核心的CECO業務帶來更多周期更短的機會。同時，這些收購也開始真正發揮作用，為我們開拓一些週期較短的市場機會。當然，我還要回到我們先前的回答，我認為工業市場將繼續為我們帶來發展前景，至少在基礎建設方面如此，美國工業的本土化進程也讓我們看到了希望。我們預計在某些關鍵終端市場進行大規模投資，而我們認為這些市場已經佔據了有利地位，因為目前只有少數幾家公司獲得了提供工業用水和工業空氣解決方案的資格。

And then I think ESG is going to have some ups and downs with respect to how people feel about it thematically. But nonetheless, companies are still spending a lot of time and energy, not just because of ESG from a topical perspective, but really from -- they're committed. They're committed to environmental solutions and it's not just regulatory. And so again, we just like the balance. I would say there's not one share moment or one silver bullet or one acquisition. For us, when we're lining up to the line of scrimmage, we like the playbook we have. We feel the defense is going to throw some things at us, but we're going to be able to navigate it.

我認為，人們對ESG（環境、社會和治理）的看法會隨著時間而起伏。但即便如此，企業仍投入大量時間和精力，這不僅是因為ESG本身就是一個熱門話題，更是因為他們真正致力於環保解決方案，而不僅僅是遵守監管規定。所以，我們更看重的是平衡。我認為並不存在所謂的「靈丹妙藥」或「一錘定音」的股票暴漲或一次性收購。對我們而言，當我們準備好迎接挑戰時，我們對現有的策略感到滿意。我們預感到對方會給我們製造一些麻煩，但我們有能力應付。

Follow-up question just on this $4 million order that you highlighted related to carbon capture. Can you talk about the use case, whether this is a new or existing customer or whether you're seeing increased interest from perhaps similar sized customers either in similar or adjacent markets?

關於您提到的那筆價值 400 萬美元的碳捕獲訂單，我還有一個後續問題。能否談談具體的應用場景？這筆訂單是新客戶還是老客戶？或者您注意到，在類似或相鄰市場中，規模相近的客戶也對這項技術表現出了越來越濃厚的興趣？

Yes, it's a new customer. I mean, that said, we may have done work with them in the past, but this is mostly a new relationship, a new solution. With our legacy Peerless business having a very strong position in separation filtration for natural gas infrastructure, just a really nice natural fit for us to build relationships now, utilizing that brand in the carbon capture space. This one happens to be in an area that we have a focused investment for a number of quarters. And we think that the number -- there's two things I might add that I'm sure we look forward to hopefully talking about is that, number one, this could be a customer and a market that has a series of very similar projects.

是的，這是一個新客戶。我的意思是，雖然我們過去可能與他們有過合作，但這主要是一種全新的合作關係，一種全新的解決方案。我們旗下的Peerless品牌在天然氣基礎設施的分離過濾領域擁有非常強大的市場地位，因此，現在利用該品牌在碳捕獲領域建立合作關係，對我們來說是一個非常自然的選擇。而這個項目恰好是我們過去幾季重點投資的領域。我們認為，還有兩點值得我們進一步探討：第一，這個客戶和市場可能有許多非常相似的項目。

I mean, this is an industry that when one solution gets rolled out, it's kind of adopted by other companies in the space. So, we're optimistic that, that could be an opportunity. And then Ramesh and the team are really looking at migrating a solution like this across a range of other industries, you can look where a similar type of carbon capture could be, whether it's food and beverage, cement other industrial areas where we really feel like our relationships and relationships of our channel partners can open up a lot for us. You can feel the enthusiasm in my voice because I'm just reflecting the hard work of our great teams out there that are sharing the pipeline in these areas. And I can tell you that we hope to be talking about more of these energy transition projects throughout 2023.

我的意思是，在這個產業裡，一旦某個解決方案推出，就會被其他公司跟進。所以，我們樂觀地認為，這可能是個機會。 Ramesh 和他的團隊正在積極探索如何將類似的解決方案推廣到其他行業，例如食品飲料行業，以及其他我們認為可以利用自身和通路合作夥伴關係拓展業務的工業領域。您能感受到我語氣中的熱情，因為我只是在表達我們優秀團隊的辛勤付出，他們正在這些領域分享專案進度。我可以告訴大家，我們希望在 2023 年能夠討論更多類似的能源轉型計畫。

(Operator Instructions) And our next question comes from Aaron Spychalla from Craig Hallum.

（操作說明）我們的下一個問題來自 Craig Hallum 的 Aaron Spychalla。

Maybe first on the recent acquisitions. I know it's early, but can you just talk about some of the synergies and early impressions there. Just how the reception for your industrial water offering has been in the market as we think about the pipeline and how you've expanded that and just areas you might be looking to fill as we move forward.

或許可以先談談最近的收購。我知道現在還為時過早，但您能否談談這些收購帶來的綜效和初步印象？例如，您目前的工業水處理產品市場反應如何？讓我們來探討一下你們的研發管線，以及你們是如何拓展業務的，還有未來可能拓展的領域。

Well, it's early days. No. At the same time, we've built a nice little organic position in industrial water and produced water in certain areas. And again, I've been using an analogy like this or where we really felt -- and we know we have a seat at the table to solve industrial water solutions. So for us, whether it's Compass Water, adding a really attractive niche leadership position, that is, we believe, going well. We've done some good work with our operations internally. And the combination of what we do in marine and naval coupled with what they do, we believe there's some really great growth synergies.

嗯，現在還處於早期階段。不。同時，我們在某些​​領域的工業用水和採出水方面已經建立起一個不錯的有機市場地位。我之前也用過類似的比喻，或者說我們確實感覺到——而且我們知道我們在解決工業用水問題方面擁有一席之地。所以對我們來說，無論是透過 Compass Water 獲得一個極具吸引力的細分市場領導地位，還是其他方面，我們都相信進展順利。我們在內部營運方面也做了一些卓有成效的工作。我們相信，將我們在海洋和海軍領域的業務與他們的業務結合，將會產生非常顯著的成長協同效應。

And then the DS 21 acquisition that we just closed in the third quarter, they have just a really attractive, not only manufacturing and assembly position in Korea, South Korea, but just fantastic relationships with Korean-based EPCs that we look forward to really advancing and expanding. So all of these things, we think, opens up geographic adjacencies, market adjacencies, more short cycle, they each bring an opportunity with a 50% business mix, let's say, with replacement membranes and higher-margin products. So just early days, Aaron, but again, really excited about what they -- how they're all hitting their numbers already against our acquisition model. And then we think more growth opportunities as we roll into next year.

我們剛剛在第三季完成了對DS 21的收購。 DS 21在韓國擁有極具吸引力的製造和組裝優勢，而且與韓國的工程總承包商（EPC）建立了良好的合作關係，我們期待進一步推動和拓展這些合作關係。我們認為，所有這些舉措都帶來了地域和市場上的鄰近性，以及更短的周期，每一項都帶來了機遇，例如，在50%的業務組合中，可以考慮更換膜材和高利潤產品。 Aaron，現在還處於早期階段，但我們對這些收購模式的進展感到非常興奮，它們目前都達到了預期目標。我們相信，隨著明年的到來，我們將迎來更多成長機會。

And then you touched on it a little bit, just on the margins, it's, obviously confident in the return to historical levels, can you talk a little bit about kind of what you're assuming in that 2023 guide, and then just on supply chain materials costs, talk about some of the initiatives that are ongoing there. And as we look for improvement?

然後您剛才也稍微提到了這一點，只是略微提及。顯然，您對恢復到歷史水平充滿信心。您能否談談您在2023年指南中所做的假設？另外，關於供應鏈材料成本，請談談目前正在進行的一些措施。我們期待哪些改進措施？

Yes, we're going to try to be a little bit more, when we get into 2023, we're going to -- where we aim to, we expect to be a little bit more I guess, instructive with our view of gross margin levels for the year. We just want to get through 2022 first, and really see what's on our backlog, really see what's in our project management offering. Again, we feel very confident in our ability to get back up to those historic margins.

是的，我們打算在2023年做得更好一些——我們的目標是，我們預計屆時能更清楚地說明我們對全年毛利率水準的看法。我們首先想順利度過2022年，看看我們的積壓訂單狀況，以及我們的專案管理服務狀況。再次強調，我們對恢復到歷史毛利率水準的能力非常有信心。

But right now, we're kind of just sticking with the high-level numbers of revenue, high level numbers of EBITDA, we'll provide a little bit more visibility to the more I guess, the more four P&L when we get into 2023. I can assure you though, that our goals and objectives are aligned with what Peter shared, or how we expect to exit the year. There's just a lot of moving pieces and parts, as others have asked on the poll around economic uncertainty and cetera.

但目前，我們只能提供營收和EBITDA等宏觀數據，等到2023年，我們會提供更詳細的損益表數據。不過我可以向大家保證，我們的目標和預期與Peter分享的內容一致，也與我們對今年的展望相符。正如其他人在調查中提到的，由於經濟不確定性等因素，目前有許多變數。

We feel great about our pricing actions. we feel great about the early innings of our lean manufacturing journey. We feel great about our operational excellence programs to deliver and execute, but there is a lot of uncertainty still, around inflation could be coming up could be going down. A lot of uncertainty still around utilization of labor rates, et cetera. So, you can hear what I'm saying is that we're just trying to be a little bit thoughtful about when we give all of our financial outlook numbers, but again, we're committed to execute against the numbers we provided.

我們對定價策略充滿信心，對精實生產初期進展順利也充滿信心。我們對卓越營運專案的交付和執行能力也充滿信心，但仍有許多不確定因素，例如通膨可能上升也可能下降，勞動成本利用率等也存在許多不確定性。因此，我想表達的是，我們在發布財務展望數據時會更加謹慎，但再次強調，我們承諾兌現我們所做的承諾。

The next question comes from Bill Dezellem of Tieton Capital. Please go ahead.

下一個問題來自Tieton Capital的Bill Dezellem。請提問。

Group of questions. Let me begin with the fourth quarter order strength. You referenced that you have already seen this quarter. Would you walk through some details of that please, since you gave us a bit of a preview?

一組問題。首先，我想問一下第四季的訂單強度。您提到您已經看到了本季的情況。既然您之前已經做了一些預告，能否請您詳細介紹一下？

Yes, energy transition, I would say that area that market we feel really good about in terms of the fourth quarter to-date. Some really nice opportunities in single cycle power, for example, some nice opportunities, still across our separation filtration platform. We highlighted that we think that our fluid bed business could have a turnaround in the fourth quarter. So I would suggest that, again, in terms of global refining CapEx, we think that that's an opportunity for us to support.

是的，能源轉型領域，就第四季至今的市場表現而言，我們對此領域感到非常樂觀。例如，單一循環發電領域存在一些非常好的機會，我們的分離過濾平台也存在一些不錯的機會。我們強調，我們認為流化床業務在第四季可能會出現轉機。因此，我再次建議，就全球煉油資本支出而言，我們認為這是一個我們可以提供支援的機會。

And, when Peter shared that our quarter to date orders gives us confidence to -- we expect deliver another quarter of greater than $100 million in orders, that would be great. Four quarters in a row of that would be certainly a nice indicator of our balanced throughout the year on our balance, strength and give us another really solid backlog level as we head into 2023. Those are in our expectations, otherwise, we wouldn't have shared them.

彼得分享說，我們本季迄今為止的訂單量讓我們有信心——我們預計下一個季度訂單量將超過1億美元——那真是太好了。如果能連續四個季度都達到這個水平，無疑將很好地表明我們全年業務平衡穩健，實力強勁，並為我們進入2023年奠定堅實的訂單儲備基礎。這些都是我們預期之內的，否則我們不會透露這些資訊。

So it's, again, it's not just one platform, we expect all of our platforms to be strong, including our duck work business, which also has some great customer relationships that they've been cultivating for a number of quarters in a row that we think could hit in the fourth quarter. So, a lot there Bill as an answer and that's because there's a lot of opportunity.

所以，再次強調，這不僅關乎一個平台，我們預期所有平台都會表現強勁，包括我們的鴨子養殖業務。這項業務也擁有一些非常棒的客戶關係，他們已經連續幾個季度精心維護這些關係，我們認為這些關係在第四季度可能會有所突破。所以，比爾，答案是：機會很多。

And in specific to the fourth quarter, are you anticipating customers will have a budget flush? Or is that really not a component of Q4 orders?

具體到第四季度，您預期客戶的預算會比較充裕嗎？或者這實際上並不是第四季度訂單的組成部分？

I mean, it could be at times, I think you'd have to go through the different customers in the different markets. And they're somewhere there. You know the CapEx is going to be spent in the fourth quarter, because that's just the way the world works, spend it, use it or lose it. Is that what they say, Bill. And so, we've also been waiting for some things like the Department of Defense budget, which flips in October 1st, end of September, beginning of October.

我的意思是，有時候確實需要具體了解不同市場的不同客戶。他們就在那裡。你知道資本支出會在第四季花掉，因為這就是世界的運作方式，要嘛花掉，要嘛用掉，要嘛就作廢。他們是這麼說的嗎，比爾？所以，我們也一直在等待一些事情，像是國防部的預算，它將在9月底或10月初，也就是10月1日進行調整。

We think that could open up some interesting naval projects, where we have a unique position to -- and you've seen some of those applications when you came and visited our Ducon facility. And so again, we feel that the fourth quarter could have some unique attributes associated with just the timing of some of those budgetary items. It's sometimes a bigger moment for us than other times, I don't feel like this quarter, we're not holding our breath for cycles like that.

我們認為這可能會帶來一些有趣的海軍項目，而我們在這些項目上擁有獨特的優勢——您之前參觀我們杜康工廠時也看到了其中的一些應用。因此，我們認為第四季度可能會有一些獨特的特點，這與某些預算項目的實施時間有關。有時候，第四季對我們來說意義重大，但就本季而言，我們並不指望會出現類似的周期性波動。

And lastly, relative to the economic uncertainty that has been referenced here on the call and ever present in the press. What has that done or not done in terms of affecting potential sellers in your M&A strategy, affecting the potential sellers' mindset?

最後，關於電話會議中提到的以及媒體報告中一直存在的經濟不確定性，這對您的併購策略中的潛在賣家，以及潛在賣家的心態，產生了哪些影響？

Yes, I think it's a very important data point for them. I think that companies see being part of a larger, financially stable, diversified organization it's helped. I think when there's uncertainty in the headlines, they don't -- there's a good dialogue that goes on the financial model as a result. Sometimes it's a seller's market, sometimes it's a buyers’ market. We're a win-win organization, we like to find relationships, product categories, niche leadership, we want to keep the leadership teams engaged, every one of our acquisitions, we've done a fantastic job of doing that.

是的，我認為這對他們來說是一個非常重要的數據點。我認為，企業會意識到，成為一個規模更大、財務更穩定、業務多元化的組織的一部分，對他們大有裨益。我認為，當新聞報導充滿不確定性時，他們不會——因此，他們會就財務模型展開良好的討論。有時是賣方市場，有時是買方市場。我們是一個雙贏的組織，我們喜歡尋找合作關係、產品類別和細分領域的領導者，我們希望保持領導團隊的參與度，我們每一次收購都做得非常出色。

And in my time, with the organization, we don't buy and rip out class and fire a bunch of people, we cultivate, we invest, we grow, these are homegrown relationships that we don't just jump into an auction process at the last minute and bid and negotiate because the headlines look bad. And I think that, any deals that we do in the future are going to be accretive from a from a price perspective, and deliver the type of value from a long term because we're going to maintain those relationships.

在我任職期間，我們不會大刀闊斧地收購、拆散團隊、裁員，而是注重培養、投資和發展，這些都是我們用心打造的人際關係。我們不會因為媒體報導不佳就在最後一刻匆忙參與競標，進行談判。我認為，我們未來達成的任何交易，從價格角度來看都將是增值的，並且能夠帶來長期的價值，因為我們將維護這些關係。

I just want to push on this just a little bit more. Have you seen pricing soften as sellers are becoming nervous?

我只想再深入探討一下。您是否注意到，隨著賣家變得緊張，價格有所回落？

Prices are going up. That's for sure. Prices are not going up on transactions. But there's still money out there. People need to put their capital to us. We have a good balance sheet, we have good cash. We've got good liquidity, as Peter showed. And we're being thoughtful about our capital allocation. And I don't think prices are going higher at the moment.

價格肯定在上漲。但交易量並沒有推高價格。不過，市場上仍然有很多資金。人們需要把資金投入我們這裡。我們資產負債表穩健，現金流充裕。正如彼得所展示的，我們的流動性很好。而且，我們在資本配置方面也十分謹慎。我認為目前價格不會再上漲了。

(Operator Instructions) And our next question will come from Thomas Claugus of GMT Capital. Please go ahead.

（操作員指示）下一個問題來自GMT Capital的托馬斯·克勞格斯。請開始。

Can you remind me -- I keep hoping that Peerless is going to get some business over in Europe. So the EMEA deal that you got looks like it's a Peerless deal. Is that correct? And then is there any further progress because it looks like there's going to be a lot of natural gas projects in Europe. So I'll keep hoping that. I know, there's not a lot of Peerless over there. But I'm hoping that there's some strategy or some movement into getting those products more in Europe. And then what's the overall European or EMEA exposure. The company again, I think it's 20%. Can you remind me?

您能提醒我一下嗎？我一直希望Peerless能在歐洲拓展業務。您提到的EMEA交易看起來就是Peerless的，對嗎？之後還有其他進展嗎？因為看起來歐洲會有很多天然氣計畫。所以我一直抱持著希望。我知道Peerless目前在歐洲的業務還不多，但我希望公司能製定一些策略或採取一些措施，讓這些產品更能進入歐洲市場。另外，Peerless在歐洲或EMEA的整體市佔率是多少？我記得是20%。您能提醒我一下嗎？

Yes, it is about 20% give or take. (technical difficulty) it's doing really well in the Middle East, are doing really well in other international markets. Our aarding product line has a fantastic position in Europe. That's more on the noise management silencer. We are developing more sales channels throughout Europe with peerless and other product lines. Not just our energy transition and our legacy energy applications, but industrial air opens up more opportunities for us as we develop more sales capabilities and business development. So look, I think it's a fair question, we'll try to be a little bit more, whatever, if you want to call it update people on how Peerless is doing in Europe.

是的，大概在20%左右。 （技術性問題）我們在中東市場表現非常出色，在其他國際市場也表現良好。我們的空氣淨化產品線在歐洲佔有非常有利的地位。這裡主要指的是噪音管理消音器。我們正在歐洲各地拓展銷售管道，推廣Peerless和其他產品線。不僅是能源轉型和傳統能源應用領域，工業空氣領域也為我們帶來了更多機遇，這得益於我們不斷提升的銷售能力和業務拓展能力。所以，我認為這是一個很合理的問題，我們會盡量多做一些介紹，或者說，向大家報告Peerless在歐洲的發展情況。

I think more opportunities are there for natural gas. And I think that we have a great relationship with U.S. space, energy companies. And as they open up more natural gas solutions throughout Europe, we feel like we're well positioned there. That said, they're growing, we're growing nicely. And at some point, it's a capacity issue a little bit, a crawl, walk, run, and there's only so many places you can run and other places, you have to walk in some places, you have to kind of just pick your battles. And we don't want to take on too much at times. I'm not suggesting that we're just turning down jobs. But the fact of the matter is, I think our orders growth has been pretty solid. And I think there's opportunities for us.

我認為天然氣領域還有更多機會。而且我認為我們與美國航太和能源公司保持著良好的合作關係。隨著他們在歐洲各地推出更多天然氣解決方案，我們感覺自己已經佔據了有利地位。話雖如此，他們正在發展，我們也發展得很好。但在某種程度上，這涉及產能問題，就像爬行、行走和奔跑一樣，你能奔跑的地方有限，有些地方你只能走，你必須有所選擇。我們有時不想承擔過多的業務。我並不是說我們拒絕了所有專案。但事實是，我認為我們的訂單成長相當穩健。而且我認為我們還有很多機會。

This concludes our question-and-answer session, I would like to turn the conference back over to Todd Gleason for any closing remarks.

問答環節到此結束，現在我將會議交還給陶德‧格里森，請他作總結發言。

Thank you. I'll close with just a few comments. Number one great questions, appreciate the questions, a lot of interest and always happy to address the comments and the questions. Also, really pleased that our ticker symbol is now CECO and it's nice to have that association going forward. Also once again, like to thank our global teams at CECO, without their commitment to the customers, to our channel partners, and navigating the challenges, we wouldn't have the year to date performance, the last year and a half, two years performance that we've had. So, thank you, all of you for doing what you do for our customers and for each other every day.

謝謝大家。最後我想補充幾點。首先，大家提出的問題都很好，非常感謝大家的提問，你們的關注度很高，我也很樂意解答大家的問題和評論。另外，我很高興我們的股票代號現在是CECO，也期待未來能與CECO保持聯繫。再次感謝CECO的全球團隊，正是因為他們對客戶和通路夥伴的盡心盡力，以及克服重重挑戰，我們才能取得今年迄今為止、過去一年半甚至兩年來的出色業績。所以，感謝你們每天為客戶和彼此所做的一切。

And last but not least, our leadership team, with the last 90 days or so of adding Lin and adding Peter, Ramesh and I have been here for a little bit longer, but still really coming together, what we really feel great about our opportunities and our strategies. And so I just want someone to set thank our leadership team for jumping in to the new CECO quickly, and helping to ensure that we have a good strong end of the year and well positioned for 2023.

最後，我要特別感謝我們的領導團隊。過去90天左右，我們迎來了Lin和Peter的加入。我和Ramesh雖然加入的時間稍長一些，但我們仍在不斷磨合，彼此之間建立了良好的合作關係。我們對公司的發展機會和策略充滿信心。因此，我衷心感謝我們的領導團隊迅速融入新的CECO團隊，並幫助我們確保今年年底業績強勁成長，為2023年做好充分準備。

And so, with that, well thank everybody for your time today. We look forward to speaking with you over the next few days. And we're going to be at some conferences coming up investor conferences that like the Southwest Ideas conference in Dallas and some other some other events. So again, we look forward to seeing and meeting with many of you at those events. We'll talk to you soon. Thank you.

那麼，感謝各位今天抽出時間。我們期待在接下來的幾天與大家交流。接下來我們會參加一些會議，包括達拉斯的西南創意大會等投資者會議以及其他一些活動。再次感謝大家，我們期待在這些活動中與各位見面。我們很快再見。謝謝。

The conference has now concluded. Thank you for attending today's presentation and you may now disconnect.

會議到此結束。感謝您參加今天的報告，您可以斷開連接了。