Celestica Inc (CLS) 2022 Q1 法說會逐字稿

Good morning. My name is Julianne, and I will be your conference operator today.

早安.我叫朱莉安，今天我將擔任你們的會議主持人。

At this time, I would like to welcome everyone to Celestica's Q1 2022 Earnings Conference Call. (Operator Instructions)

現在，我歡迎大家參加 Celestica 2022 年第一季業績電話會議。 (操作員指示)

Craig Oberg, Vice President of Investor Relations and Corporate Development, you may begin your conference.

投資者關係和企業發展副總裁 Craig Oberg，您可以開始您的會議了。

Good morning, and thank you for joining us on Celestica's First Quarter 2022 Earnings Conference Call. On the call today are Rob Mionis, President and Chief Executive Officer; and Mandeep Chawla, Chief Financial Officer.

早安，感謝您參加 Celestica 2022 年第一季業績電話會議。今天的電話會議由總裁兼執行長 Rob Mionis 和財務長 Mandeep Chawla 主持。

As a reminder, during this call we will make forward-looking statements within the meanings of the U.S. Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. Such forward-looking statements are based on management's current expectations, forecasts and assumptions, which are subject to risks, uncertainties and other factors that could cause actual outcomes and results to differ materially from conclusions, forecasts or projections expressed in such statements.

提醒您，在本次電話會議中，我們將根據美國1995年《私人證券訴訟改革法》和適用的加拿大證券法做出前瞻性陳述。此類前瞻性陳述是基於管理階層目前的預期、預測和假設，這些預期、預測和假設受風險、不確定性和其他因素的影響，這些因素可能導致實際結果與此類陳述中表達的結論、預測或預期有重大差異。

For identification and a discussion of such factors and assumptions as well as further information concerning forward-looking statements, please refer to yesterday's press release, including the cautionary note regarding forward-looking statements therein, our most recent annual report on Form 20-F and other public filings which can be accessed at sec.gov and sedar.com. We assume no obligation to update any forward-looking statement except as required by law.

有關此類因素和假設的識別和討論，以及有關前瞻性陳述的更多信息，請參閱昨日的新聞稿（包括其中關於前瞻性陳述的警示說明）、我們最新的20-F表格年度報告以及其他公開文件，這些文件可在sec.gov和sedar.com上查閱。除法律要求外，我們不承擔更新任何前瞻性聲明的義務。

In addition, during this call we will refer to various non-IFRS financial measures, including ratios based on non-IFRS financial measures, consisting of operating earnings, operating margin, adjusted gross margin, adjusted return on invested capital or adjusted ROIC, free cash flow, gross debt to non-IFRS trailing 12-month adjusted EBITDA leverage ratio, adjusted net earnings, adjusted earnings per share or adjusted EPS, adjusted SG&A, Lifecycle Solutions revenue and adjusted effective tax rate.

此外，在本次電話會議中，我們將參考各種非國際財務報告準則 (non-IFRS) 財務指標，包括基於非國際財務報告準則 (non-IFRS) 財務指標的比率，包括營業收益、營業利潤率、調整後毛利率、調整後投資資本回報率或調整後 ROIC、自由現金流量、總債務與非國際財務報告準則過去 12個月後調整後 12個月準則槓桿率、調整後淨收益、調整後每股盈餘或調整後每股盈餘、調整後銷售、一般及行政費用、生命週期解決方案收入及調整後有效稅率。

Listeners should be cautioned that references to any of the foregoing measures during this call denote non-IFRS financial measures, whether or not specifically designated as such. These non-IFRS financial measures do not have any standardized meanings prescribed by IFRS and may not be comparable to similar measures presented by other public companies that report under IFRS or report under U.S. GAAP and use non-GAAP financial measures to describe similar operating metrics.

聽眾請注意，本次電話會議中提及的任何上述指標均指非國際財務報告準則 (IFRS) 財務指標，無論是否明確指定。這些非國際財務報告準則 (IFRS) 財務指標不具備國際財務報告準則 (IFRS) 規定的任何標準化含義，且可能無法與其他根據國際財務報告準則 (IFRS) 或根據美國公認會計準則 (US GAAP) 報告並使用非公認會計準則 (non-GAAP) 財務指標描述類似營運指標的上市公司提供的類似指標進行比較。

We refer you to yesterday's press release and our Q1 2022 earnings presentation, which are available at celestica.com under the Investor Relations tab, for more information about these and certain other non-IFRS financial measures, including a reconciliation of historical non-IFRS financial measures to the most directly comparable IFRS financial measures from our financial statements.

我們建議您參閱昨天的新聞稿和我們的 2022 年第一季度收益報告，這些報告可在 celestica.com 的“投資者關係”選項卡下找到，以獲取有關這些和某些其他非國際財務報告準則財務指標的更多信息，包括歷史非國際財務報告準則財務指標與我們財務報表中最直接指標的國際財務報告準則的更多信息，包括歷史非國際財務報告準則財務指標與我們財務報表中最直接指標的國際財務報告準則的更多信息，包括歷史非國際財務報告準則財務指標與我們財務報表中最直接指標的國際財務報告準則的更多信息，包括歷史非國際財務報告準則財務指標與我們財務報表中最直接指標的國際財務報告準則的更多信息，包括歷史非國際財務報告準則財務指標與我們財務報表中最直接指標的國際財務報告準則的更多信息，包括歷史非國際財務報告準則財務指標與我們財務報表中最直接的國際財務報告準則財務報告準則的對帳。

Unless otherwise specified, all references to dollars on this call are to U.S. dollars, and per share information is based on diluted shares outstanding.

除非另有說明，本次電話會議中所有提及的美元均指美元，每股資訊均基於稀釋的流通股。

Let me now turn the call over to Rob.

現在讓我把電話轉給羅布。

Thank you, Craig. Good morning, everyone, and thank you for joining us on today's conference call.

謝謝你，克雷格。大家早安，感謝你們參加今天的電話會議。

Our strong performance for the first quarter of 2022 was a great start to the year and a testament to the execution of our multiyear journey. In spite of a dynamic macro environment, Celestica continues to execute well on our key objectives while advancing our long-term strategy.

2022年第一季的強勁表現，不僅為新的一年開了個好頭，也印證了我們多年來的奮鬥歷程。儘管宏觀環境瞬息萬變，Celestica 依然在推進長期策略的同時，持續出色地完成了關鍵目標。

Both our first quarter revenue and non-IFRS adjusted EPS came in above the high end of our guidance ranges, and our non-IFRS operating margin exceeded the midpoint of our guidance ranges. Furthermore, our non-IFRS operating margin of 4.4% represents the ninth consecutive quarter of year-over-year operating margin improvement.

我們第一季的營收和Non-IFRS調整後每股盈餘都高於我們預期區間的上限，Non-IFRS營業利潤率也超過了我們預期區間的中點。此外，我們Non-IFRS營業利潤率為4.4%，這標誌著我們連續第九個季度實現營業利潤率年增。

And Q1 2022 was another strong quarter for our CCS segment, achieving 24% revenue growth compared to the first quarter of 2021. Hardware Platform Solutions, or HPS, continues to exhibit very strong growth, as we continue to gain market share. Our HPS business is expected to remain a driver of growth in CCS for all of 2022.

2022年第一季度，CCS部門再次表現強勁，營收較2021年第一季成長24%。隨著市場佔有率的不斷提升，硬體平台解決方案（HPS）業務也持續呈現強勁成長。預計HPS業務將在2022年全年繼續成為CCS業務成長的驅動力。

Our ATS segment also had a solid quarter, achieving 31% revenue growth as compared to the first quarter of last year. Our success in ATS was driven primarily by our growth in our Industrial and Capital Equipment businesses, including our first full quarter of results from PCI. We're also pleased to see our A&D business returning to growth from trough levels in 2021.

我們的 ATS 部門本季表現穩健，營收較去年第一季成長 31%。 ATS 部門的成功主要得益於工業和資本設備業務的成長，包括 PCI 部門首個完整季度的業績。我們也很欣喜地看到 A&D 業務從 2021 年的低谷中恢復成長。

While we are operating in a challenging supply chain environment, we believe we will build on the positive momentum we have established in the first quarter by executing on our strategic and operational objectives and achieve another year of strong financial performance in 2022.

儘管我們正處於充滿挑戰的供應鏈環境中，但我們相信，透過執行我們的策略和營運目標，我們將在第一季度建立的積極勢頭的基礎上，在 2022 年再次取得強勁的財務業績。

Based on robust year-to-date demand and the assumption that the supply chain environment does not materially worsen, we are pleased to have raised our full year 2022 revenue outlook to $6.5 billion, or more. If achieved, this would represent 15% year-over-year growth.

基於年初至今強勁的需求，以及供應鏈環境不會大幅惡化的假設，我們很高興地將2022年全年營收預期上調至65億美元或更高。如果實現這一目標，將實現15%的年成長。

In addition, as a result of the higher revenue outlook, we have tightened the range on our full year non-IFRS adjusted EPS range to between $1.60 and $1.75.

此外，由於營收前景較好，我們已將全年非國際財務報告準則調整後每股收益範圍收窄至 1.60 美元至 1.75 美元之間。

Before I offer some additional detail on our business outlook, I'd like to turn the call over to Mandeep, who will provide you with additional color on our first quarter financial performance as well as our guidance for the next quarter and details on our 2022 outlook. Over to you, Mandeep.

在我進一步闡述我們業務前景之前，我想先把電話交給 Mandeep，他將為我們詳細介紹我們第一季度的財務業績、下一季度的業績指引以及 2022 年的展望。 Mandeep，接下來就交給你了。

Thank you, Rob, and good morning, everyone.

謝謝你，羅布，大家早安。

First quarter 2022 revenue came in at $1.57 billion, above the high end of our guidance range. Revenue was up 27% year-over-year and up 4% sequentially, fueled by double-digit revenue growth in both of our segments.

2022年第一季營收為15.7億美元，高於我們預期區間的上限。得益於兩個部門均實現兩位數營收成長，營收年增27%，季增4%。

We delivered non-IFRS operating margin of 4.4%, 20 basis points ahead of the midpoint of our revenue and non-IFRS adjusted EPS guidance ranges, driven by strong performance in both segments. Non-IFRS operating margin was up 90 basis points year-over-year and down 50 basis points sequentially.

得益於兩個部門的強勁表現，我們實現了4.4%的非國際財務報告準則（Non-IFRS）營業利潤率，比收入和Non-IFRS調整後每股收益預期中位數高出20個基點。 Non-IFRS營業利潤率年增90個基點，較上季下降50個基點。

Non-IFRS adjusted earnings per share were $0.39, above the high end of our guidance range of $0.31 to $0.37, and up $0.17 year-over-year and down $0.05 sequentially.

非國際財務報告準則調整後每股收益為 0.39 美元，高於我們預期範圍的高端 0.31 美元至 0.37 美元，同比增長 0.17 美元，環比下降 0.05 美元。

ATS segment revenue was up 31% year-over-year, above our expectations of a low-20s percentage year-over-year increase. Organically, ATS revenue was up 12% year-over-year. Sequentially, total ATS segment revenue was up 10%.

ATS 部門營收年增 31%，高於我們預期的 20% 出頭的年增率。 ATS 部門有機收入年增 12%。環比增長 10%。

The year-over-year and sequential revenue growth in ATS was driven by continued strength in Capital Equipment, organic growth in our base Industrial business and a full quarter of revenue from PCI. We are pleased that ATS has achieved over 10% year-over-year organic revenue growth for each of the past 4 quarters.

ATS 營收年增率和環比成長得益於資本設備業務的持續強勁成長、基礎工業業務的有機成長以及 PCI 業務整整一個季​​度的營收成長。我們非常高興地看到，ATS 在過去四個季度中每個季度都實現了超過 10% 的有機營收年增率。

Our CCS segment continued to deliver strong top line growth, with revenue up 24% year-over-year and down 1% sequentially. Year-over-year growth was driven by strength from across our Communications and Enterprise markets, led by our HPS business.

我們的CCS部門持續保持強勁的營收成長，營收年增24%，季減1%。年成長主要得益於我們通訊和企業市場（其中以HPS業務為首）的強勁表現。

Our HPS business delivered revenue of $362 million in the first quarter, up 81% year-over-year, led by demand strength and new program ramps with service providers, supported by continuing data center growth.

我們的 HPS 業務第一季實現了 3.62 億美元的收入，同比增長 81%，這得益於需求強勁、服務提供商的新項目增加以及數據中心的持續增長。

Communications revenue was up 18% year-over-year, in line with our expectations of a high-teens percentage increase, [then was] down 1% sequentially. Year-over-year growth was driven by growth in our HPS business.

通訊收入年增18%，符合我們預期的高雙位數成長，但季減1%。年成長主要得益於HPS業務的成長。

Enterprise revenue in the quarter was up 36% year-over-year, better than our expectation of a mid-teens percentage increase. Sequentially, Enterprise revenue was approximately flat. The year-over-year increase was driven by strong demand across both compute and storage customers and a less-than-anticipated seasonality impact.

本季企業業務營收年增36%，高於我們預期的15%左右的增幅。環比成長方面，企業業務收入基本持平。年比成長主要得益於運算和儲存客戶強勁的需求，以及低於預期的季節性影響。

Turning to segment margins. ATS delivered a segment margin of 5.0% in the first quarter, up 100 basis points year-over-year and down 60 basis points sequentially. The year-over-year margin increase was driven by improved operating leverage from higher volumes and productivity.

談到分部利潤率。 ATS 第一季分部利潤率為 5.0%，年成長 100 個基點，季減 60 個基點。利潤率年增率的動力源自於銷售量和生產力的提升所帶來的營運槓桿的提升。

CCS segment margin of 3.9% was up 80 basis points year-over-year and down 50 basis points sequentially. The year-over-year margin increase was driven by higher volume and stronger mix related to our HPS business.

CCS部門利潤率為3.9%，較去年成長80個基點，較上季下降50個基點。利潤率年增率主要得益於HPS業務的銷售成長和產品組合優化。

Moving on to some additional financial metrics. IFRS net earnings for the quarter were $22 million, or $0.17 per share, compared to net earnings of $11 million, or $0.08 per share, in the same quarter of last year and net earnings of $32 million, or $0.26 per share, last quarter.

我們再來看看其他一些財務指標。根據國際財務報告準則 (IFRS)，本季淨利為 2,200 萬美元，合每股 0.17 美元；去年同期淨利為 1,100 萬美元，合每股 0.08 美元；上季淨利為 3,200 萬美元，合每股 0.26 美元。

Adjusted gross margin was 8.8%, up 20 basis points year-over-year and down 80 basis points sequentially. The year-over-year improvement was driven by strong operating leverage as a result of higher volumes and cost productivity efforts, partly offset by inefficiencies from material constraints.

調整後毛利率為8.8%，較去年成長20個基點，較上季下降80個基點。年比改善主要得益於銷售成長和成本效率提升帶來的強勁經營槓桿，但部分抵消了材料限制導致的效率低下。

Non-IFRS operating earnings were $69 million, up $26 million year-over-year and down $5 million sequentially.

非國際財務報告準則下的營業利潤為 6,900 萬美元，比去年同期增加 2,600 萬美元，比上一季減少 500 萬美元。

Our non-IFRS adjusted effective tax rate for the first quarter was 19%, 2% lower year-over-year but 3% higher sequentially.

我們第一季的非國際財務報告準則調整後有效稅率為 19%，年減 2%，但較上季成長 3%。

For the first quarter, non-IFRS adjusted net earnings were $48 million, up $20 million year-over-year and down $7 million sequentially.

第一季度，非國際財務報告準則調整後淨利為 4,800 萬美元，年增 2,000 萬美元，季減 700 萬美元。

First quarter non-IFRS adjusted ROIC of 13.9% was up 3.1% year-over-year and down 2.7% sequentially.

第一季非國際財務報告準則調整後的 ROIC 為 13.9%，較去年同期成長 3.1%，季減 2.7%。

Moving on to working capital. Our inventory at the end of the quarter was $1.93 billion, up $781 million year-over-year and up $238 million sequentially. We continue to maintain higher inventory levels to support growth across our Lifecycle Solutions business, while also increasing strategic inventory purchases in light of the constrained supply chain environment.

再來說說營運資本。截至本季末，我們的庫存為19.3億美元，年增7.81億美元，季增2.38億美元。我們繼續保持較高的庫存水平，以支援生命週期解決方案業務的成長，同時在供應鏈受限的環境下，我們也增加了策略性庫存採購。

To offset the working capital impacts of higher inventory, we have more than doubled the cash deposits from our customers year-over-year and will continue to work with them to obtain higher cash deposits when appropriate.

為了抵​​消庫存增加對營運資金的影響，我們將客戶的現金存款年增了一倍以上，並將在適當的時候繼續與他們合作以獲得更高的現金存款。

Inventory turns in the first quarter were 3.2x, down from 4.0 turns in the prior year period and down from 3.5 turns last quarter.

第一季庫存週轉率為 3.2 倍，低於去年同期的 4.0 倍，也低於上一季的 3.5 倍。

Capital expenditures for the first quarter were $16.4 million, or 1% of revenue.

第一季的資本支出為 1,640 萬美元，佔營收的 1%。

Non-IFRS free cash flow was $0.5 million in the first quarter, compared to $20.9 million in the prior year period and $35.6 million last quarter. This is our 13th consecutive quarter of delivering positive non-IFRS free cash flow.

第一季非國際財務報告準則下的自由現金流為50萬美元，去年同期為2,090萬美元，上季為3,560萬美元。這是我們連續第13季實現非國際財務報告準則下的正自由現金流。

Cash cycle days were 76 in the first quarter, an improvement of 6 days year-over-year and up 1 day sequentially. Cash cycle days decreased on a year-over-year basis, as higher inventory was more than offset by higher A/P days and higher cash deposit days.

第一季現金週期為76天，較去年同期改善6天，季增1天。現金週期年減，原因是庫存增加被應付帳款天數和現金存款天數增加所抵銷。

Moving on to some additional key metrics. Our cash balance at the end of the first quarter was $347 million, down $102 million year-over-year and down $47 million sequentially. Combined with approximately $600 million available under our revolver, we believe that our current liquidity of nearly $1 billion is sufficient to meet our anticipated business needs.

接下來談談一些其他關鍵指標。第一季末，我們的現金餘額為3.47億美元，年減1.02億美元，季減4,700萬美元。加上我們約6億美元的循環信貸額度，我們相信，目前有近10億美元的流動資金足以滿足我們預期的業務需求。

We ended the quarter with gross debt of $656 million, down $4 million from the previous quarter, leaving us with a net debt position of $309 million.

本季末，我們的總債務為 6.56 億美元，比上一季減少了 400 萬美元，淨債務為 3.09 億美元。

Our first quarter gross debt to non-IFRS trailing 12-month adjusted EBITDA leverage ratio was 1.8x, down 0.2 turns sequentially and up 0.4 turns from the same quarter of last year.

我們第一季的總負債與非國際財務報告準則過去 12 個月調整後的 EBITDA 槓桿比率為 1.8 倍，比上一季下降 0.2 倍，比去年同期上升 0.4 倍。

At March 31, 2022, we were compliant with all financial covenants under our credit agreement.

截至 2022 年 3 月 31 日，我們遵守了信貸協議下的所有財務契約。

During the quarter, we repurchased approximately 700,000 shares for cancellation, at a cost of $7.8 million. We ended the quarter with 124.1 million shares outstanding, a reduction of approximately 3% from the prior year period.

本季度，我們回購了約70萬股股票並註銷，成本為780萬美元。本季末，我們的流通股總數為1.241億股，較去年同期減少約3%。

Our long-term capital allocation strategy remains consistent. We intend to return 50% of our non-IFRS free cash flow to our shareholders, while investing 50% in our business over the long term. However, our focus in 2022 as a result of our acquisition of PCI will be to reduce our net debt while continuing to be opportunistic towards share repurchases.

我們的長期資本配置策略維持不變。我們計劃將非國際財務報告準則下的自由現金流的50%返還給股東，同時將50%用於長期業務投資。然而，由於收購了PCI，我們在2022年的重點將是減少淨債務，同時繼續把握機會進行股票回購。

Now turning to our guidance for the second quarter of 2022. We are projecting second quarter revenue to be in the range of $1.575 billion to $1.725 billion. If the midpoint of the range is achieved, revenue would be up 16% year-over-year and up 5% sequentially.

現在來看看我們對2022年第二季的業績預期。我們預計第二季營收將在15.75億美元至17.25億美元之間。如果達到該區間的中位數，營收將年增16%，季增5%。

Second quarter non-IFRS adjusted earnings per share are expected to range from $0.38 to $0.44 per share.

預計第二季非國際財務報告準則調整後每股盈餘將在 0.38 美元至 0.44 美元之間。

If the midpoint of our revenue and non-IFRS adjusted EPS guidance ranges are achieved, non-IFRS operating margin would be approximately 4.6%, an increase of 70 basis points year-over-year and an increase of 20 basis points sequentially.

如果我們的營收和非國際財務報告準則調整後每股盈餘指引範圍的中點得以實現，非國際財務報告準則營業利潤率將約為 4.6%，年成長 70 個基點，季增 20 個基點。

Non-IFRS adjusted SG&A expense for the second quarter is expected to be in the range of $62 million to $64 million.

預計第二季非國際財務報告準則調整後的銷售、一般及行政費用將在 6,200 萬美元至 6,400 萬美元之間。

We anticipate our non-IFRS adjusted effective tax rate to be approximately 20%, excluding any impacts from taxable foreign exchange or unanticipated tax settlements.

我們預計非國際財務報告準則調整後的有效稅率約為 20%，不包括應稅外匯或意外稅款結算的影響。

Turning to our end market outlook for the second quarter of 2022. In our ATS end market, we anticipate revenue to be up in the low-20s percentage range year-over-year, driven by demand (inaudible) Capital Equipment and Industrial, including the acquisition of PCI.

談到我們對 2022 年第二季的終端市場展望。在我們的 ATS 終端市場，我們預計營收將年增 20% 左右，這主要得益於對資本設備和工業的需求（聽不清楚），包括對 PCI 的收購。

In CCS, we anticipate our Communications end market revenue to be up in the low-double-digit percentage range year-over-year, driven by strong demand from service provider customers, supported by our HPS business.

在 CCS 領域，我們預計通訊終端市場收入將比去年同期成長低兩位數百分比，這得益於服務供應商客戶的強勁需求以及 HPS 業務的支援。

In our Enterprise end market, we anticipate revenue to increase in the high-teens percentage range year-over-year, supported by [print] and servers.

在我們的企業端市場，我們預計在[列印]和伺服器的支援下，營收將年增百分之十幾。

Finally, as Rob mentioned, we are pleased to have raised our revenue outlook for 2022 to at least $6.5 billion based on our strong execution, robust demand to date and the current supply chain environment. We will continue to evaluate our 2022 outlook throughout the year, and should the supply chain environment materially improve we will update our outlook accordingly.

最後，正如Rob所提到的，基於我們強勁的執行力、迄今為止的強勁需求以及當前的供應鏈環境，我們很高興將2022年的收入預期上調至至少65億美元。我們將在全年持續評估2022年的預期，如果供應鏈環境出現實質改善，我們將相應地更新預期。

We continue to anticipate non-IFRS operating margin between 4% and 5% and are now targeting non-IFRS adjusted EPS of between $1.60 and $1.75 for the full year.

我們繼續預期非國際財務報告準則下的營業利潤率將在 4% 至 5% 之間，目前的目標是全年非國際財務報告準則下的調整後每股收益在 1.60 美元至 1.75 美元之間。

I'll now turn the call back over to Rob for additional color on our end market and overall business outlook.

現在我將把電話轉回給 Rob，以進一步了解我們的終端市場和整體業務前景。

Thank you, Mandeep.

謝謝你，Mandeep。

With our transformation behind us, we are looking ahead and remain committed to our long-term vision of becoming the undisputed industry leader in our high-value markets. To achieve this objective, we will continue to focus on the core pillars of our strategy.

轉型已成定局，我們放眼未來，並將繼續致力於實現我們的長期願景：成為高價值市場中無可爭議的產業領導者。為了實現這一目標，我們將繼續專注於策略的核心支柱。

First, we will continue to grow where we are market leaders or have specific competitive advantages, what we call our Lifecycle Solutions business. We are already executing well against this strategy, as our Lifecycle Solutions business represented 67% of our total revenue at the end of the first quarter of 2022, up from 59% in the first quarter of 2021. Looking forward to the remainder of 2022, we reiterate our expectation for strong growth in Lifecycle Solutions.

首先，我們將繼續在市場領先或擁有特定競爭優勢的領域（即我們稱之為「生命週期解決方案」的業務）實現成長。我們已成功執行此策略，截至2022年第一季末，生命週期解決方案業務占我們總營收的67%，高於2021年第一季的59%。展望2022年剩餘時間，我們重申對生命週期解決方案業務強勁成長的預期。

The second core pillar of our strategy is to invest for growth by continuing to enhance our capabilities across the value chain and to develop new capabilities to further expand our set of solutions for our customers. We have recently made significant organic and inorganic investments in our capabilities, including our Richardson, Texas, and Maple Grove, Minnesota, facilities as well as our acquisition of PCI. All 3 of these investments are examples of bolstering our capabilities across our Lifecycle Solutions business, and we intend to make prudent investments in our capabilities in the quarters to come.

我們策略的第二個核心支柱是投資成長，持續提升我們在整個價值鏈中的能力，並開發新的能力，以進一步擴展我們為客戶提供的解決方案。我們近期對自身能力進行了重大的有機和無機投資，包括位於德州理查森和明尼蘇達州楓樹林的工廠，以及對PCI的收購。這三項投資都是增強我們生命週期解決方案業務能力的例證，我們計劃在未來幾季對自身能力進行審慎的投資。

And finally, we will continue to advance the Celestica operating system to drive excellence across the global network. Operational excellence is the cornerstone of our success and will continue to be a top priority across our global network.

最後，我們將繼續推動 Celestica 的營運系統，以推動全球網路的卓越營運。卓越營運是我們成功的基石，並將繼續成為我們全球網路的首要任務。

Although we are confident in our future, we believe that the component shortages will continue to gate our true growth potential, as we expect the supply chain environment will remain constrained for at least the remainder of the year. We believe the demand backdrop with our customers would support significantly higher revenues in the absence of these challenges.

儘管我們對未來充滿信心，但我們認為零件短缺將繼續限制我們真正的成長潛力，因為我們預計供應鏈環境至少在今年剩餘時間內仍將受到限制。我們相信，如果沒有這些挑戰，客戶的需求環境將支持我們實現顯著成長的收入。

Our second quarter guidance and full year 2022 outlook have accounted for these macro conditions to the best of our ability.

我們第二季的指引和 2022 年全年的展望已盡最大努力考慮了這些宏觀條件。

Now turning to the outlook for our segments. Our ATS segment achieved impressive growth in the first quarter as we continue to benefit from strong demand and new program growth. For 2022, as a result of anticipated continued growth, we continue to expect ATS segment revenue of approximately $2.8 billion, or more, and segment margin between 5% and 6%. If our ATS segment revenue outlook is achieved, this would represent approximately 20% growth compared to 2021.

現在談談我們各部門的前景。由於我們繼續受益於強勁的需求和新項目的成長，我們的ATS部門在第一季實現了令人矚目的成長。由於預期的持續成長，我們預計2022年ATS部門的營收將達到約28億美元或以上，部門利潤率將在5%至6%之間。如果我們的ATS部門收入預期得以實現，這將比2021年增長約20%。

Our Capital Equipment business continued its impressive trajectory in Q1 2022, driven by market share gains, new wins and robust secular tailwinds. Wafer fabrication equipment demand is strong, and we continue to believe that these dynamics support additional runway for continued growth.

在市場佔有率成長、新訂單以及強勁的長期利好因素的推動下，我們的資本設備業務在2022年第一季延續了令人矚目的成長動能。晶圓製造設備需求強勁，我們堅信這些動力將為持續成長提供更多動力。

Our Industrial business is expected to continue to be a large contributor to our growth this year. We are currently well positioned with 6 leading EV charger OEMs and are also building a strong presence in the energy storage market. We have already begun significant ramps in this space, which are anticipated to continue throughout 2022 and beyond. Additionally, our acquisition of PCI has already begun to yield cross-selling synergies as we work together to deliver and expand our range of capabilities to our customers.

我們的工業業務預計將繼續為今年的成長做出重要貢獻。目前，我們與六家領先的電動車充電樁原始設備製造商合作，佔據有利地位，並在儲能市場中不斷壯大。我們已在該領域開始顯著增長，預計這一勢頭將持續到2022年及以後。此外，我們對PCI的收購已開始產生交叉銷售綜效，我們將攜手合作，為客戶提供並拓展我們的業務能力。

The recovery in the A&D market continues, as we are experiencing an increase in demand from commercial aerospace. As stated in previous calls, given A&D was the largest component of our ATS segment prior to the pandemic, we believe there is significant runway for growth as the A&D market continues its recovery. Moreover, new wins and logos in our defense, space and UAV businesses are expected to drive even further growth in A&D.

隨著我們感受到商用航空航太需求的成長，航空航太與國防市場持續復甦。如同先前的電話會議所述，鑑於航空航太與國防在疫情之前是我們航空運輸服務 (ATS) 部門的最大組成部分，我們相信，隨著航空航太與國防市場持續復甦，我們將擁有巨大的成長空間。此外，我們在國防、航太和無人機業務領域取得的新訂單和新標誌預計將進一步推動航空航太與國防業務的成長。

We believe that our HealthTech business is a very attractive business with significant growth opportunities with an accretive margin profile. Our expertise across a wide array of end markets, extensive site certifications and automation provide a foundation for future growth in existing and new markets.

我們相信，我們的健康科技業務極具吸引力，擁有巨大的成長機會和持續成長的利潤率。我們涵蓋廣泛終端市場的專業知識、廣泛的現場認證和自動化技術，為現有市場和新興市場的未來成長奠定了堅實的基礎。

Now turning to CCS. Our CCS segment continues to achieve excellent results, growing 24% year-over-year. Our HPS business grew 81% year-to-year, driven by service provider and communications customers. Moreover, our opportunity funnel and general market outlook remains very positive in HPS.

現在談談CCS。我們的CCS部門持續取得優異的業績，年增24%。我們的HPS業務年增81%，這主要得益於服務提供者和通訊客戶的推動。此外，我們在HPS領域的機會漏斗和整體市場前景仍然非常樂觀。

In our Communications end market, demand is expected to remain strong throughout the year, largely driven by networking customers.

在我們的通訊終端市場，預計需求全年將保持強勁，主要由網路客戶推動。

In our Enterprise end market, the strong demand we are seeing in storage and compute is expected to continue in the second quarter.

在我們的企業端市場，我們看到的儲存和運算方面的強勁需求預計將在第二季持續下去。

Today, I can proudly say we are stronger than ever. We are a more diversified, yet focused, company, operating in markets with strong growth profiles and where we have a competitive advantage. We are built to win, and we have a long-term strategy in place intended to ensure that we continue our trajectory.

今天，我可以自豪地說，我們比以往任何時候都更強大。我們是一家更多元化、更專注的公司，在成長強勁、競爭優勢顯著的市場中運作。我們生來就注定要贏，並且我們制定了長期策略，以確保我們繼續保持發展勢頭。

This progress could not have been accomplished without the hard work and perseverance of our employees. I want to thank all of our employees for their continued support and commitment, enabling us to achieve our goals.

如果沒有員工的辛勤工作和堅持不懈，我們不可能有這樣的進步。我要感謝所有員工的持續支持和奉獻，使我們得以實現目標。

And with that, I would now like to turn the call over to the Operator for Q&A.

現在，我想將電話轉給接線員進行問答。

(Operator Instructions) Our first question comes from Ruplu Bhattacharya, from Bank of America.

（操作員指示）我們的第一個問題來自美國銀行的 Ruplu Bhattacharya。

Is there a way to quantify what the revised full year guidance on the top line and bottom line assumes in terms of disruption from the supply chain issues as well as from the war in Ukraine? What have you assumed in terms of headwind, both on the top line and on the bottom line?

有沒有辦法量化修訂後的全年營收和利潤預期，以應對供應鏈問題以及烏克蘭戰爭帶來的衝擊？您假設的營收和利潤將面臨哪些不利因素？

Ruplu, Mandeep here. It's a tough one to answer, in the sense that, as you know, it's dynamic and it changes quarter-to-quarter. As you saw with Q1, we ended up beating our guidance range because we were able to execute very well in the supply environment. For the guidance that we've provided into Q2, we are making an assumption right now that the supply environment is going to be relatively consistent to where it is today. So really, the status quo. And we're holding that assumption forward for the back half of the year.

Ruplu，我是 Mandeep。這個問題很難回答，因為如你所知，它是動態的，每個季度都會變化。正如你在第一季看到的那樣，我們最終超出了預期範圍，因為我們在供應環境中表現出色。對於我們在第二季提供的業績指引，我們目前假設供應環境將與目前的水平相對一致。也就是說，我們維持現狀不變。我們將在今年下半年繼續保持這個假設。

To your specific point on the Ukraine and Russia, it has had a very minimal impact on the company to date. And so we're expecting something similar going into the back half of the year because we know what suppliers are coming out of the Ukraine and we know which ones of our customers have programs that are exposed to the Ukraine, and those assumptions are consistent.

關於您提到的烏克蘭和俄羅斯問題，迄今為止，它對公司的影響非常小。因此，我們預計下半年也會出現類似的情況，因為我們知道哪些供應商來自烏克蘭，也知道哪些客戶的專案與烏克蘭相關，這些假設是一致的。

Okay. Got it. Can I ask -- it looks like inventory was up 14% sequentially. And now given the higher revenue growth assumptions for the year, how should we think about cash conversion cycle and free cash flow for the full year?

好的。明白了。請問一下——庫存似乎較上季增加了14%。考慮到今年更高的收入成長假設，我們應該如何看待全年的現金轉換週期和自由現金流？

So inventory is up this year, as you mentioned. Deposits are also up. Deposits are up almost 150% year-over-year. So it is helping to fund some of the build.

正如您所說，今年庫存增加了。定金也增加了。定金年增近150%。所以這有助於為部分建設提供資金。

We really view inventory right now as an asset. Our ability to secure this inventory is leading us to be able to fulfill demand from our customers, which is very robust and continuing through the year. We anticipate that inventory is likely going to remain elevated through 2022.

我們現在確實將庫存視為一項資產。我們保障庫存的能力使我們能夠滿足客戶的需求，而客戶的需求非常強勁，並將持續到今年。我們預計庫存可能會在2022年保持高點。

We were targeting $100 million or more of free cash flow when we were indicating $6.3 billion of revenue for the year. Now that we're seeing our ability to fulfill more demand and that we've raised our revenue outlook, we likely will be less than $100 million for the year, but we are still targeting positive free cash flow for Q2 through to Q4.

當我們預計今年營收為63億美元時，我們的目標是實現1億美元或以上的自由現金流。現在，我們看到自己有能力滿足更多需求，並且已經上調了營收預期，今年的自由現金流很可能低於1億美元，但我們仍然希望第二季到第四季的自由現金流為正。

Got it. And if I can just sneak one more in. The CCS segment operating margin was again higher than the 2% to 3% long-term range. What are some of the drivers for this? And how should we think about that over the next couple of quarters?

明白了。如果我可以再補充一點的話，CCS部門的營業利潤率再次高於2%到3%的長期預期。造成這現象的原因是什麼？接下來幾季我們該如何看待這個情況？

Most simplistically, I would just point to HPS. HPS, as you know, grew 81% year-over-year in the first quarter. The demand profile continues to be very strong. There's a very good level of adoption of the products that we have brought to market. And so that will continue through 2022.

簡單來說，我只想說一下HPS。眾所周知，HPS第一季同比成長了81%。需求持續強勁。我們推向市場的產品獲得了很高的認可度。這種勢頭將持續到2022年。

Overall, what I would say is that HPS is accretive to CCS margins. It's also accretive to the company margins. And so as HPS continues to be a larger part of the pie, we do expect that we have margin benefits in CCS.

總的來說，我想說的是，HPS 能夠提升 CCS 的利潤率，也能夠提升公司利潤率。因此，隨著 HPS 繼續佔據更大的市場份額，我們預期 CCS 的利潤率也會有所提升。

Great. Thank you for all the details, and congrats on the strong execution in the quarter.

太好了！感謝您提供的所有細節，也恭喜您本季的出色表現。

Our next question comes from Thanos Moschopoulos, from BMO Capital Markets.

我們的下一個問題來自 BMO 資本市場的 Thanos Moschopoulos。

Supply chain had less of a top line impact than in Q4. And so just in terms of that sequential improvement, does that reflect better component availability? Or does that have more to do with mix or with the mitigating actions that you guys were able to take?

供應鏈對營收的影響比第四季小。那麼，就環比改善而​​言，這是否反映了零件供應的改善？或者這與產品組合或你們採取的緩解措施有關？

Thanos, as with COVID, we're becoming pretty adept at managing through supply chain constraints. I would say the overall macro supply chain environment is still quite constrained, and it's similar in dynamic relative to Q4. Lead times are still extended. We're seeing some increase in [passives]. That being said, we've been navigating through them quite well, and things are pretty much consistent with last quarter.

Thanos，就像新冠疫情一樣，我們正變得非常擅長應對供應鏈的限制。我想說的是，整體宏觀供應鏈環境仍然相當受限，而且與第四季相比，其動態情況類似。交貨週期仍然延長。我們看到被動訂單增加。話雖如此，我們一直在很好地應對這些限制，情況與上一季基本一致。

And our expectation right now, Thanos, is that that will continue through the year. As Rob mentioned, when we look at the constrained environment within semiconductors, as an example, lead times right now are relatively consistent in the first quarter as they were with the fourth quarter. Where we are seeing some additional dynamics is on the [passives] side. Capacitors and resistors lead times are extending. But for the most part, we'd say that the environment is relatively consistent.

Thanos，我們目前的預期是，這種情況將持續到今年年底。如同Rob所提到的，以半導體產業的受限環境為例，第一季的交貨週期與第四季相比相對穩定。我們看到一些額外的動態出現在[被動元件]方面。電容器和電阻器的交貨週期正在延長。但整體而言，我們認為市場環境相對穩定。

And how have the lockdowns in China impacted the business, if at all? I mean, I know you have a presence there. Is there any incremental impact from the lockdowns?

中國的封鎖對你們的業務有什麼影響嗎？我知道你們在中國有業務。封鎖會不會帶來一些額外的影響？

To date, the impact to operations has been immaterial. Our attendance at our sites is in the 90% range in the China sites. But we are keeping a watchful eye on our suppliers, especially as it relates to inbound and outbound logistics. It is a dynamic situation, Thanos, but we believe that any of the risks are factored into our guidance.

到目前為止，疫情對營運的影響尚不顯著。我們在中國各工廠的出勤率約90%。但我們仍在密切關注供應商，尤其是在進出物流方面。 Thanos，這是一個動態變化的情況，但我們相信，任何風險都已計入我們的業績預期中。

And then finally, (inaudible) report suggesting that the average lead time on semi equipment is now something like 18 months. Just curious if that's consistent with what you're seeing.

最後，（聽不清楚）報告顯示，半導體設備的平均交付週期現在約為18個月。我很好奇這是否與您的觀察一致。

It is. And I would say our customers' backlogs are at record highs. The visibility that we have into our order book has increased, which is helping us do effective planning, and also (inaudible) material shorts as we continue to post impressive growth out of that business.

是的。我想說的是，我們客戶的積壓訂單量創下了歷史新高。我們對訂單的可視性提高了，這有助於我們進行有效的規劃，並且（聽不清）材料短缺問題也隨之得到解決，因為我們在該業務上繼續取得了令人矚目的增長。

Our next question comes from Jim Suva, from Citigroup.

下一個問題來自花旗集團的 Jim Suva。

If I do my math right, it kind of looks like your revenues this year are going to be up ballpark 15% or so, if that's correct. Can you help us just dissect it about organic versus kind of, I believe the PCI acquisition is going to be fully folded in this year, so kind of organic versus total? Then I'll probably have a follow-up.

如果我沒算錯的話，你們今年的收入看起來會成長約15%左右。您能不能幫我們分析一下，是有機成長還是整體成長？我相信PCI的收購將在今年全面完成，所以是有機成長還是整體成長？之後我可能會再跟進。

Jim, when we closed the PCI acquisition we had indicated that revenue was being targeted in about the $325 million range. And so when we say $6,500 million, if you back that out that's probably about 5% of the growth. So the 15% grows closer to 10% on an organic basis.

吉姆，我們完成 PCI 收購時曾表示，目標收入約 3.25 億美元。所以，當我們說 65 億美元時，如果算上這個數字，大概相當於 5% 的成長。所以，15% 的成長，在有機成長的基礎上，接近 10%。

Great. And is that PCI revenue trajectory or plan still consistent? I didn't know if it's kind of changed a little bit in the past few months or so.

太好了。 PCI 的收入軌跡或計劃是否仍保持一致？我不知道過去幾個月它是否有所變化。

No. And if I can maybe talk about PCI for a moment, we're very pleased with how the business is performing. The revenue is on track to the business case. In fact, it's slightly exceeding it right now. We're seeing strong demand across their customer group. And joining up with Celestica's supply chain expertise, we're helping them also clear a lot of material shorts.

不。如果我可以談談PCI，我們對業務表現非常滿意。收入符合預期，實際上，目前略有超出。我們看到他們的客戶群需求強勁。結合Celestica的供應鏈專業知識，我們也正在幫助他們解決許多材料短缺問題。

We're also really pleased from an integration perspective. Controls are integrated, but we're also starting to see some benefits on the synergy side. We've booked our first synergistic win between PCI and Celestica before it was PCI, a Celestica customer that is going into a PCI facility. And we have a very long list of other targets that we're working to do the same thing on.

從整合的角度來看，我們也非常滿意。控制系統已集成，但我們也開始看到協同效應方面的一些好處。在 PCI 之前，我們已經獲得了 PCI 和 Celestica 之間的首個協同合作，而 PCI 是 Celestica 的客戶，目前正在使用 PCI 設施。此外，我們還有很多其他目標客戶正在努力實現同樣的目標。

Great. And then my last question is, you mentioned more customer deposits and inventory. Obviously, it seems like you'd rather have more inventory now rather than less. Is this structural in nature, where the just-in-time model is kind of changing? And do you think there's going to be a [permanent built-in] of deposits in more inventory? I'm just kind of curious if this is kind of a structural change, not to you but maybe the whole industry.

太好了。我的最後一個問題是，您提到了增加客戶定金和庫存。顯然，您現在似乎更傾向於增加庫存而不是減少庫存。這是否是結構性的，即時生產模式正在發生某種變化？您認為庫存增加會永久內建定金嗎？我只是好奇這是否是一種結構性變化，不是對您而言，而是對整個行業而言。

I'll start off and I'll let Mandeep finish, Jim. I would say in today's environment inventory is more of an asset than anything else. It enables us to grow, enables us to gain share, either protect or gain share. And we've been carefully working with our customers in partnership with them to make sure we get cash deposits that protect their growth and also to help protect and/or grow our market share. So it's somewhat of a win-win when it comes to that.

我先說到這裡，吉姆，等我讓曼迪普說完。我想說，在當今的環境下，庫存比其他任何東西都更是一種資產。它讓我們能夠成長，讓我們能夠獲得市場份額，無論是保住還是增加。我們一直與客戶密切合作，確保我們獲得現金存款，既能保障他們的成長，也能幫助保住和/或增加我們的市場份額。所以從某種程度上來說，這是一種雙贏。

That being said, it is still somewhat of a very dynamic supply chain environment, and we do get caught from a timing perspective when we think we're going to be able to ship some product and then it gets stuck for a little bit of time until we can clear the last-minute shortages.

話雖如此，這仍然是一個非常動態的供應鏈環境，當我們認為我們能夠運送一些產品時，我們確實會從時間角度陷入困境，然後它會被卡住一段時間，直到我們能夠清除最後一刻的短缺。

So there's still inefficiency in there, but the way we're looking at it is we're managing it fairly well relative to everyone else and as proven by our strong growth over the last several quarters.

因此，其中仍然存在效率低下的問題，但我們的看法是，與其他人相比，我們管理得相當好，過去幾個季度的強勁增長也證明了這一點。

Jim, maybe if I was to point to something structural or that could be a structural change is we are seeing much higher levels of visibility from our customers as we go through this year and, frankly, into next year. In some cases, customers are giving us visibility on what their demand profile is 18 months or even more out. And they're backing it up contractually, where they want us to bring in the material to support the demand outlook that they are providing. And they know that if that does not materialize that they're ultimately on the hook for the inventory. We haven't traditionally seen order windows go out that far. And so it will be interesting to see as the supply chain environment normalizes whether that's a new norm.

吉姆，如果我要指出某種結構性變化，或某種結構性變化，那就是我們看到客戶對今年甚至明年的需求預測越來越清晰。在某些情況下，客戶會讓我們了解他們未來18個月甚至更長的需求狀況。他們也會透過合約來支持這種預測，希望我們能夠供應材料以支持他們目前的需求前景。他們知道，如果這無法實現，最終他們將承擔庫存的責任。我們以往從未見過訂單窗口期會持續這麼長。因此，隨著供應鏈環境逐漸恢復正常，這是否會成為一種新常態，值得關注。

Okay. Then my last question is, it looks like you guys took your revenue guidance up higher and then you, what would be the right word, narrowed the EPS range by taking the lower end up, but you didn't change the higher end. Is that just due to, like, more shipping costs and logistic costs about why you wouldn't also adjust the higher end of earnings?

好的。那麼我的最後一個問題是，看起來你們上調了營收預期，然後，怎麼說呢，透過上調低端數據縮小了每股收益預期範圍，但並沒有調整高端數據。這是否只是因為運輸成本和物流成本增加，所以你們沒有調整獲利的高端數據？

No, it's just a reflection of the dynamic environment that we're in right now. So to your point, we took it to $6.5 billion, or more, and we tightened the range from $1.55 to $1.75 to $1.60-$1.75. What we're trying to say is that extra $200 million of revenue we know is going to yield, at minimum, an additional $0.05. And is there an opportunity to go above the range? It'll probably be tied to how much more revenue we could do over $6.5 billion.

不，這只是我們目前所處動態環境的反映。正如您所說，我們把目標定在了65億美元甚至更高，並將目標區間從1.55美元到1.75美元收窄到了1.60美元到1.75美元。我們想說的是，我們知道額外的2億美元收入至少會帶來0.05美元的額外收益。那麼，有沒有可能超出這個範圍呢？這可能取決於我們能在65億美元的基礎上增加多少收入。

Our next question comes from Paul Treiber, from RBC Capital Markets.

下一個問題來自加拿大皇家銀行資本市場的 Paul Treiber。

Obviously, the demand environment that you're seeing is quite strong right now. Just hoping that you could provide any indication that you may have on the sustainability of demand. I mean, there's a lot of macro concerns beyond just technology, but across the board. Have you seen any signs of customers either reducing the extended forecast or pulling purchase orders, anything that would suggest some sign of conservatism for the second half of the year or even in 2023?

顯然，您目前看到的需求環境相當強勁。希望您能提供一些關於需求永續性的跡象。我的意思是，除了技術之外，還有很多宏觀的擔憂，而是全方位的。您是否看到任何跡象表明客戶正在下調長期預測或減少採購訂單，或者任何跡象表明他們對今年下半年甚至2023年採取保守態度？

Paul, that's certainly something that's at the top of our minds to be wareful of. But frankly, across our markets we have seen no signs of that. Within ATS, we see record backlogs, very strong visibility. The same with Industrial, same with HealthTech and the same with Aerospace & Defense. And within our CCS business, specifically, our HPS business. As Mandeep mentioned earlier, we have very strong visibility, with firm POs for a really good period of time relative to prior year. So we have seen no softening to date.

保羅，這當然是我們最需要注意的事。但坦白說，在我們的市場中，我們還沒有看到任何跡象。在ATS領域，我們看到了創紀錄的積壓訂單，並且具有很強的可預見性。工業、醫療科技和航空航太與國防領域也是如此。在我們的CCS業務，特別是HPS業務中，也是如此。正如Mandeep之前提到的，我們的可預見性非常強，與去年相比，我們的訂單在一段非常長的時間內保持穩定。因此，到目前為止，我們還沒有看到任何疲軟跡象。

And Paul, maybe what I would just add is if we -- as a reminder from the discussion we had during the Investor Day about a month ago or so, what we had talked about was our confidence in the company's portfolio is really driven by the mix of the portfolio.

保羅，也許我想補充的是，如果我們——提醒一下我們大約一個月前在投資者日的討論，我們所談論的是，我們對公司投資組合的信心實際上是由投資組合的組合驅動的。

So today, in Q1, 67%, or let's call it 2/3, of our revenue came from Lifecycle Solutions, which you know is built between ATS and HPS. On the ATS side, our long-term view of that market has not changed. We do believe that there are fundamentals in place which will grow the ATS markets and our share of it at 10% or more over the long term.

所以，在第一季度，我們67%（或2/3）的收入來自生命週期解決方案，你知道，它是建立在ATS和HPS之間。在ATS方面，我們對該市場的長期看法並沒有改變。我們確實相信，現有的基本面將推動ATS市場以及我們在其中的份額長期保持10%或以上的成長。

And then when we look at HPS with the traction that we have right now and the amount of revenue share that we've been able to take, we also believe that that business has the ability to grow at 10% or more over the long term.

然後，當我們以目前的牽引力和我們能夠獲得的收入份額來看待 HPS 時，我們也相信該業務有能力在長期內實現 10% 或更高的成長。

Clearly, it's playing out in 2022. And right now, we continue to feel confident going into '23 that Lifecycle Solutions can grow double digits.

顯然，這將在 2022 年上演。現在，我們仍然有信心進入 2023 年，生命週期解決方案可以實現兩位數的成長。

That's helpful. A bit of a follow-up to Jim's question on the cash deposits and the structural change. Would you say, all else equal, that the larger amount of cash deposits is creating perhaps stickier demand or at least better visibility to future demand?

這很有幫助。我想跟進Jim關於現金存款和結構性變化的問題。在其他條件相同的情況下，您是否認為，更高的現金存款額可能會創造更持久的需求，或至少能更好地預測未來的需求？

Yes. Because what we, going to one of the remarks I made, when a customer is giving us an order outlook that can go for 12 to 18 to 24 months and they want us to bring in inventory that they may not be able to consume in the next 6 to 12 months, there's a funding equation that we have to work out with the customer, and deposits is a lever that we go to. Because they are asking us, "Please bring in the inventory, please secure it, because I want to make sure that you can [square my kit] a year from now."

是的。因為，正如我之前所說，當客戶給我們一份為期12到18到24個月的訂單預期，並希望我們引入他們在未來6到12個月內可能無法消耗的庫存時，我們必須與客戶協商一個資金方案，而定金是我們採取的一個手段。因為他們要求我們：“請引入庫存，請確保庫存安全，因為我想確保你們一年後能夠[整理好我的設備]。”

But deposits aren't the only thing that we turn to. We also, in some cases, get additional pricing from customers. And in some cases, we get early payments on receivable.

但我們不僅依賴訂金。在某些情況下，我們也會向客戶收取額外價格。有時，我們還會提前收到應收帳款。

And at the end of the day, our approach to commercial accounts is the same as it's been for many years, which is we're an ROIC-driven company. And so we want to ensure that if we're bringing in excess inventory, that is more than covered either through other offsets in working capital or through pricing.

歸根結底，我們對待商業帳戶的方式與多年來一樣，即我們是一家以投資回報率 (ROIC) 為導向的公司。因此，我們希望確保，如果庫存過剩，我們能夠透過其他營運資本補償或定價措施來彌補。

And Paul, I would just add, back to your first question, the increased cash deposit is really a proxy for the confidence that our customers have in their demand profile. And the fact that it's up on a year-over-year basis is a testament to that.

保羅，回到你的第一個問題，我想補充一點，現金存款的增加實際上反映了我們的客戶對其需求狀況的信心。而現金存款年增的事實就證明了這一點。

(Operator Instructions) Our next question comes from Todd Coupland, from CIBC.

（操作員指示）我們的下一個問題來自加拿大帝國商業銀行的 Todd Coupland。

I also wanted to ask about the demand environment, but more from a strategic perspective. When you see this extended supply chain that keeps getting pushed out in terms of relief, you have geopolitical issues, does that make you rethink what kind of footprint is appropriate globally and whether or not you should have more production in North America? Just your thoughts on that.

我也想問需求環境，但更多的是從策略角度來談。當你看到這條延伸的供應鏈因為救援和地緣政治問題而不斷被擠壓時，這是否會促使你重新思考什麼樣的全球佈局才是合適的，以及是否應該在北美增加生產？請問您對此有何看法？

Good question. The regionalization trend, we've seen present here for over a year-plus, and we've been working with our customers to help improve the resiliency of their supply chain. And we have a very diversified footprint. And as we think about helping customers create that contingency plans and resiliency plans across their supply chain, it has been shifting some of our capacity into the Americas, if you will, Mexico and North America, outside of Asia. And we're constantly kind of looking at our network strategy to see where we need to add capacity and/or take capacity out. Right now, we feel very comfortable in where we're at. That being said, we probably will need to look to make incremental investments if we continue on this impressive growth profile that we have been over the last several quarters.

問得好。區域化趨勢已經持續了一年多，我們一直在與客戶合作，幫助他們提升供應鏈的韌性。我們的業務範圍非常多元化。為了幫助客戶制定整個供應鏈的應急計劃和韌性計劃，我們將部分產能轉移到了美洲，也就是墨西哥和北美，而不是亞洲。我們一直在審視我們的網路策略，看看哪些地方需要增加產能或減少產能。目前，我們對目前的狀況感到非常滿意。話雖如此，如果我們能繼續保持過去幾季令人印象深刻的成長勢頭，我們可能需要考慮進行增量投資。

Right. And if that trend continues, how does that impact the footprint that you have in Asia-Pac at the moment? Does that -- can you imagine that getting downsized? Or are you making choices on different countries?

對。如果這種趨勢持續下去，會對你們目前在亞太地區的業務規模產生什麼影響？你能想像亞太地區的業務規模會縮小嗎？還是你們會根據不同的國家做選擇？

No, at this stage of the game we don't see any downsizing in the cards. We really see more just capacity expansion, specifically, probably in Mexico and also in other parts of Asia. But in terms of contraction, based on the growth that we see we don't see that in the cards, at least in the near to midterm.

不，在目前階段，我們預計不會有任何裁員的跡象。我們看到的更多只是產能擴張，具體來說，可能是在墨西哥，也可能在亞洲其他地區。但就收縮而言，根據我們目前的成長情況，我們認為至少在近期到中期內不會出現這種情況。

Todd, what I would say is that we continue to see customers have a strong desire to be in Southeast Asia. And because of our dominant footprint in Thailand and Malaysia, we're able to satisfy the demand. We're seeing customers, some of those customers who want to be in Southeast Asia also have a dual-node strategy. So they also want similar programs run out of North America. And so we're seeing a lot of those go towards Mexico. But the footprint we have right now, the feedback we're getting is it's quite strategic for our customers.

托德，我想說的是，我們持續看到客戶對進軍東南亞市場有著強烈的意願。由於我們在泰國和馬來西亞佔據主導地位，我們能夠滿足這些需求。我們發現，一些希望進軍東南亞市場的客戶也採用了雙節點策略。他們也希望在北美地區也能開展類似的計畫。因此，我們看到很多客戶選擇在墨西哥開展業務。但就我們目前的佈局而言，我們收到的回饋表明，這對我們的客戶來說具有戰略意義。

Right. And just to update us on sort of the cost advantage. So you would see Thailand and Malaysia at a material cost advantage over Mexico in the current environment.

對。我再跟大家介紹一下成本優勢。在當前環境下，泰國和馬來西亞比墨西哥具有實質的成本優勢。

To some extent, from a labor perspective, yes, there are differences. But what I would also say is, historically, what we would see is also parts going back and forth over the ocean. And so it's interesting that if you go beyond just labor cost and you look at landed cost and total cost of ownership, in some situations, depending on where the customer's product is going, it actually sometimes could be on par or even cheaper to do it in North America.

從勞動力角度來看，某種程度上確實存在差異。但我還要說的是，從歷史上看，我們也會看到零件在海上來回運輸。有趣的是，如果你不只考慮勞動成本，還考慮到岸成本和總擁有成本，在某些情況下，根據客戶產品的目的地，在北美運輸有時可能與在北美運輸持平，甚至更便宜。

I would also add that our customers, if there is a cost difference between various regions, our customers are more than willing to understand the differences and pay for those differences in the name of creating more resiliency in their supply chain.

我還要補充一點，如果不同地區之間存在成本差異，我們的客戶非常願意理解這些差異，並以增強供應鏈彈性的名義為這些差異付費。

That makes sense. And then just last question for me. Aerospace has been on a slow recovery. You talked about it being, you having muted expectations for that. Yet, it seems like you're hinting it's getting better. Is that a change? Or is that -- are you still being fairly conservative about the recovery there?

這很有道理。然後我最後一個問題。航空航太業一直在緩慢復甦。您之前說過，您對此的預期不高。然而，您似乎暗示情況正在好轉。這是一種改變嗎？還是說——您對該行業的復甦仍然持相當保守的態度？

I think in Aerospace we're expecting a stronger second half versus first half. I would say it's a dynamic of commercial versus defense. On commercial, we see a steady recovery, getting better sequentially quarter-to-quarter-to-quarter. And on the defense side, we have some new programs that we've won that will be ramping towards the back half of the year.

我認為，在航空航太領域，我們預計下半年會比上半年表現更強勁。我認為這是商用和國防之間的動態對比。在商用領域，我們看到了穩步復甦，並且環比成長。在國防領域，我們贏得了一些新項目，這些項目將在下半年逐步推進。

When you go into segments, business (inaudible) is very hot right now. It has been. And commercial aerospace, I think in North America air traffic is recovering. In China and Europe, it's lagging a little bit relative to North America, but I think it's steady growth.

說到細分市場，現在生意（聽不清楚）非常熱門。一直如此。商業航空方面，我認為北美的空中交通正在復甦。中國和歐洲的航空業相對於北美略有滯後，但我認為成長穩定。

And then what we'd also say, though, is we're pleased with the sequential improvement that we're seeing in A&D. It probably won't get back to full recovery until 2024, though. And so as Capital Equipment over time may moderate, we do believe that we have an offset that can happen in the outer years with A&D.

不過，我們還要說的是，我們對航空和國防業務的持續改善感到滿意。不過，它可能要到2024年才能完全恢復。因此，隨著資本設備業務逐漸放緩，我們相信航空和國防業務在未來幾年可能會有所彌補。

Our next question comes from Robert Young, from Canaccord Genuity.

我們的下一個問題來自 Canaccord Genuity 的羅伯特楊 (Robert Young)。

If I could just continue that line of questioning on the recovery you think might happen in A&D in the second half, what kind of implication would that have on the margins? Or is it at a stage where it's still a drag to that 5% to 6% margin structure in ATS?

我可以繼續問這個問題嗎？您認為下半年A&D業務可能會復甦，這會對利潤率產生什麼影響？還是說，目前來看，A&D業務的復甦仍會拖累ATS 5%到6%的利潤率？

It's a drag today, but we expect it to hold its own as we get towards the back end of the year. So right now, as you know, Rob, A&D has a very heavy fixed-cost structure. And we purposely decided to hold on to capabilities during this downturn. We do need some more revenue growth in order to get that business to margins that we would normally see.

這對我們目前來說是一個拖累，但我們預計，隨著年底臨近，這種情況將有所緩解。 Rob，您知道，A&D 目前的固定成本結構非常沉重。我們特意決定在經濟低迷時期保留現有產能。我們確實需要更多的收入成長，才能使該業務的利潤率恢復到正常水平。

Our expectations for ATS in total is that we will see some sequential margin improvement as we go through the year. As you would have seen, we did 5.0% in the first quarter. We are still targeting to be in the 5% to 6% range, and we think that we can improve as we go through the year.

我們對ATS整體的預期是，利潤率在今年全年將有所提升。如各位所見，我們第一季的利潤率為5.0%。我們仍將利潤率目標設定在5%至6%之間，我們相信，隨著全年的推進，利潤率將持續提升。

Okay. And then my second question is around a comment you made, I think, last quarter about higher renewal rates because of the difficulty that your customers are seeing transferring work between vendors in a more difficult supply chain. Is that still a factor? And is there a pricing dynamic or benefit that comes along with that?

好的。我的第二個問題是關於您上個季度提到的關於提高續約率的評論，因為您的客戶在供應鏈更加複雜的情況下，在供應商之間轉移工作變得更加困難。這仍然是一個因素嗎？這是否會帶來定價動態或好處？

Yes, to both questions, Rob. It is still a factor. When a customer thinks about switching ponies, if you will, it's very hard for a new supplier, if you will, or provider to establish (inaudible) supply chain. So it is creating stickier relationships. And to some extent, it does create pricing advantage, but I wouldn't say that's a main driver.

是的，Rob，這兩個問題我都回答了​​。這仍然是一個因素。當客戶考慮更換供應商時，新的供應商（或說供應商）很難建立（聽不清楚）供應鏈。所以，這正在建立更緊密的關係。在某種程度上，這確實創造了價格優勢，但我不會說這是主要驅動力。

And Rob, that stickiness is reflective of the supply chain environment. But frankly, a lot of that stickiness would be there without. It's the reason that we focus on Lifecycle Solutions. There are very high barriers to entry. You need a lot of investment for a number of years in order to get to a certain level of capabilities. And so even in a normalized environment, we think 2/3 of the company, which is Lifecycle Solutions, that's stickier revenue than traditional EMS.

Rob，這種黏性反映了供應鏈環境。但坦白說，如果沒有供應鏈環境，這種黏性也會存在。這就是我們專注於生命週期解決方案的原因。該行業的進入門檻非常高。你需要在數年內進行大量投資才能達到一定的能力水準。因此，即使在正常化的環境下，我們認為公司2/3的生命週期解決方案業務的收入黏性也比傳統的EMS業務更高。

Okay. And last question for me. Just it seems to me in my conversations that the confidence in the semi cap cycle is weakening a little bit, but you still seem to be very confident on your visibility in 2022. Just curious, are you seeing any signs that the visibility or the durability of the semi cap cycle you're benefiting from, is it 2022 and 2023? Is there any color on how long you think it may last? If you have any confidence to give any kind of outlook there, that would be helpful.

好的。最後一個問題。在我的談話中，我覺得大家對半市值週期的信心正在減弱，但您似乎仍然對2022年的前景非常有信心。我很好奇，您是否看到任何跡象表明，您正在受益的半市值週期的前景或持久性有所提升，是2022年還是2023年？您認為它會持續多久？如果您有信心可以分享一些展望，那將會很有幫助。

We're very confident in the Capital Equipment business. As I mentioned earlier, the backlogs with our customers are very high. The visibility that they're giving us is also very good. We're also growing faster than the market, driven by our high-level assembly capability, our diversified footprint, our vertical integration that we have. So overall, we're very bullish on our Capital Equipment, at least this year and also going into next year as well.

我們對資本設備業務充滿信心。正如我之前提到的，我們客戶的訂單積壓量非常高。他們給予我們的透明度也非常好。由於我們高水準的組裝能力、多元化的業務佈局以及垂直整合的優勢，我們的成長速度也高於市場平均。因此，整體而言，我們對資本設備業務非常看好，至少在今年是如此，明年也是如此。

UBS' forecast basically says for the entire industry, a strong '22, flattening out a little bit in '23. But again, our outlook is that we're going to be growing faster than the market based on some of those reasons I mentioned.

瑞銀對整個產業的預測基本上是，2022年將強勁成長，2023年將略微持平。但基於我之前提到的一些原因，我們的預期是，我們的成長速度將快於市場。

And Rob, when you're hearing remarks from others that the semi cycle may be slowing a little bit, as you know, we produce equipment in the wafer fab equipment space. Both memory and equipment that was going into logic/foundry were on fire last year. Memory has started to plateau in 2022, but the equipment that's going into logic and foundry continues to be very high in terms of demand. And so that's why 2022 still has good overall growth characteristics. And then that logic/foundry growth in 2022, that may moderate as we go into 2023, but there's still some very good fundamentals in place for the remainder of this year.

Rob，當你聽到其他人說半週期可能會放緩時，如你所知，我們在晶圓廠設備領域生產設備。去年，用於邏輯/代工的記憶體和設備都炙手可熱。內部存在2022年開始趨於穩定，但用於邏輯和代工的設備需求仍然很高。這就是為什麼2022年仍然具有良好的整體成長特徵。 2022年的邏輯/代工成長可能會在2023年放緩，但今年剩餘時間仍然有一些非常好的基本面。

Great. That's helpful. And then the other side of the Capital Equipment, the display market, is that still something that could become healthier in 2023?

太好了。這很有幫助。那麼，資本設備的另一面，顯示器市場，到2023年還會變得更健康嗎？

Maybe. Right now, due to the very strong growth that we're having in semi cap, we're repurposing a lot of the capabilities that we have in Korea to support the semi cap growth. And given that over about 40% of all capital is kind of purchased through folks in that region, Samsung, Hynix, if you will, it plays very well into a regionalization play. So while the display market is down, we're using the capabilities and the capacity we have in the area to support the tremendous growth that we have within Capital Equipment, semi cap.

或許吧。目前，由於我們在半導體市場的強勁成長，我們正在重新調整在韓國的許多產能，以支持半導體市場的成長。考慮到超過40%的資本是透過該地區的公司（例如三星、海力士等）購買的，這在區域化策略中發揮了很好的作用。因此，儘管顯示器市場低迷，我們仍在利用該地區的產能來支持我們在資本設備和半導體市場的強勁成長。

We have no further questions in queue. I'd like to turn the call back over to Rob Mionis for any closing remarks.

我們沒有其他問題了。我想把電話轉回給Rob Mionis，請他做最後總結。

Thank you. We're off to a strong start in 2022, and I'm pleased that the execution of our strategy continues to yield results. And we continue to execute well through a difficult supply chain environment. I'm also pleased that we're able to raise our full year financial outlook. I'd like to thank our global team for a strong first quarter, and thank you all for joining today's call. We look forward to updating you as we progress throughout the year.

謝謝大家。 2022年我們開局良好，我很高興我們的策略實施持續取得成效。即使在艱難的供應鏈環境下，我們依然表現良好。我也很高興我們能夠上調全年財務預期。我要感謝我們全球團隊在第一季的強勁表現，也感謝大家參加今天的電話會議。我們期待在全年的進展中向大家報告最新情況。

Ladies and gentlemen, this concludes today's conference call. Thank you for your participation.

女士們，先生們，今天的電話會議到此結束。感謝各位的參與。