Copart Inc (CPRT) 2025 Q1 法說會逐字稿

Please stand by. Good day, everyone and welcome to the Copart Incorporated first quarter, fiscal 2025 earnings call. Just a reminder, today's conference is being recorded. Before turning the call over to management. I will share Copart's Safe Harbor statement.

請稍候。大家好，歡迎參加 Copart Incorporated 2025 財年第一季財報電話會議。提醒一下，今天的會議正在錄製中。在將電話轉交給管理階層之前。我將分享 Copart 的安全港聲明。

The company's comments today include forward-looking statements within the meaning of federal securities laws including management's current views with respect to trends, opportunities and uncertainties in the company's markets.

該公司今天的評論包括聯邦證券法含義內的前瞻性陳述，包括管理層目前對公司市場趨勢、機會和不確定性的看法。

These forward-looking statements involve substantial risks and uncertainties for more detail on the risks associated with the company's business we refer you to the section titled Risk Factors in the company's annual report on Form 10-K for the year ended July 31, 2024 and each of the company's subsequent quarterly reports on Form 10-Q. Any forward-looking statements are made as of today and the company has no obligation to update or revise any forward-looking statements.

這些前瞻性陳述涉及重大風險和不確定性，有關與公司業務相關的風險的更多詳細信息，我們建議您參閱公司截至2024 年7 月31 日止年度的10-K 表格年度報告中標題為“風險因素」的部分。公司隨後的季度報告（表格 10-Q）。任何前瞻性陳述均截至今日作出，本公司沒有義務更新或修改任何前瞻性陳述。

I'll now turn the call over to the company's CEO, Jeff Liaw.

我現在將把電話轉給公司執行長 Jeff Liaw。

Thank you everyone for joining the earnings call for our first quarter for fiscal 2025. On our recent calls, we've been talking about some important themes about our business, including our recent growth with bank rental and fleet sellers. We talked about Title Express, a new offering -- we're offering the insurance industry.

感謝大家參加我們 2025 財年第一季的財報電話會議。在最近的電話會議中，我們一直在討論有關我們業務的一些重要主題，包括我們最近與銀行租賃和車隊銷售商的成長。我們討論了 Title Express，這是一項新產品——我們為保險業提供服務。

We've talked about sustainability and we've talked about growth in our international businesses as well as in the heavy equipment space as well. Today, with the first quarter past us for this next fiscal year, we thought it would be a good opportunity to reflect specifically about our insurance business specifically.

我們討論了永續發展，也討論了國際業務以及重型設備領域的成長。今天，隨著下一財年第一季的過去，我們認為這將是一個很好的機會來具體反思我們的保險業務。

There are two themes I wanted to draw upon today. First is our response to the recent hurricane activity in the southeastern United States. And the second is the longer term trends that we observe in the insurance industry more broadly. First, regarding the recent flurry of hurricane activity.

今天我想談兩個主題。首先是我們對美國東南部近期颶風活動的反應。第二個是我們在保險業更廣泛觀察到的長期趨勢。首先，關於最近的一系列颶風活動。

In late September of this year, category four, hurricane Helane made landfall in Florida. Severe flooding of course struck the Tampa St. Petersburg area and eventually caused significant damage elsewhere in Florida, Georgia and North and South Carolina, including areas not accustomed to dealing with storms of this magnitude.

今年九月下旬，四級颶風「海蘭」在佛羅裡達州登陸。當然，嚴重的洪水襲擊了坦帕聖彼得堡地區，並最終對佛羅裡達州、喬治亞州以及北卡羅來納州和南卡羅來納州的其他地方造成了嚴重破壞，包括不習慣應對如此規模風暴的地區。

Then less than two weeks later, category three, Hurricane Milton struck Florida again. The back to back nature of the storms added a level of complexity to our storm response that we hadn't previously experienced, including a brief evacuation of our own people in certain most dangerous areas.

不到兩週後，三級颶風米爾頓再次襲擊佛羅裡達州。風暴的連續性使我們的風暴應對措施變得更加複雜，這是我們以前從未經歷過的，包括在某些最危險的地區短暫疏散我們的人員。

In comparison to Hurricane Ian, a similarly scaled and located storm from just two years ago. Our advanced preparation and our team's execution this time around yielded still better results with approximately twice as many vehicles picked up in the first 10 days of these 2024 storms in comparison to Ian in 2022.

與兩年前規模和地點相似的颶風伊恩相比。這次我們的提前準備和團隊的執行取得了更好的結果，與 2022 年伊恩相比，2024 年風暴的前 10 天內接獲的車輛數量大約是 2 倍。

As always, our emphasis is on retrieving, processing and selling vehicles as quickly as we can to help restore the communities in which we do business back to their prior state and to assist our clients, the major insurance companies in resolving their claims with policyholders as quickly as they can.

一如既往，我們的重點是盡快檢索、處理和銷售車輛，以幫助我們開展業務的社區恢復到之前的狀態，並協助我們的客戶、主要保險公司解決與保單持有人的索賠問題。

To that end, by the end of October, just three weeks after landfall from Milton, we had sold approximately a quarter of all of the assigned vehicles we would ultimately receive from both Helane and Milton.

為此，到 10 月底，即從米爾頓登陸後僅三週，我們已經售出了最終從海蘭和米爾頓收到的所有分配車輛的大約四分之一。

In fact, according to one third party source, three out of every four catastrophic units sold in Florida during the month of October were sold on Copart's auction platform, a reflection both of our presence as well as the speed of our execution.

事實上，根據一位第三方消息人士的說法，10 月在佛羅裡達州出售的災難性單位中，有四分之三是在Copart 的拍賣平台上出售的，這既反映了我們的存在，也反映了我們的執行速度。

This go around. Our proactive storm preparation was marked by three pillars. First, the dedicated owned storage capacity that we hold in reserve for storms of this nature, representing nearly 2000 acres nationwide and approximately 1,000 acres specifically for the Helene and Milton areas alone.

這樣繞過去。我們積極主動的風暴準備工作以三大支柱為標誌。首先，我們為應對此類性質的風暴而保留的專用儲存容量，在全國範圍內佔近 2000 英畝，僅海倫和米爾頓地區就佔了約 1,000 英畝。

Second, our technology and logistics teams have deployed real time tools that serve both our own people as well as our third party towing network, as well as our own employed drivers in optimizing routing and optimizing dispatch for the rapid retrieval and movement of vehicles through our network.

其次，我們的技術和物流團隊部署了即時工具，為我們自己的員工、第三方拖車網路以及我們自己僱用的司機提供服務，以優化路線和優化調度，以便透過我們的快速檢索和移動車輛。 。

And finally our industry leading contracted and full time towing and transport network, which we have steadily built up over the years was able to respond with unprecedented speed in this instance. I've already had an opportunity to do so face to face with many of the Copart employees. But we again want to extend our heartfelt gratitude to the more than 1,200 folks and their families who sacrificed for days in some cases, weeks and months at a time to work in challenging conditions, to work long hours, to assist again, our clients, our people and our communities.

最後，我們多年來穩步建立的行業領先的承包和全職拖車和運輸網絡能夠在這種情況下以前所未有的速度做出反應。我已經有機會與許多 Copart 員工面對面交流。但我們要再次向1,200 多名員工及其家人表示衷心的感謝，他們在某些情況下犧牲了幾天、幾週甚至幾個月的時間，在充滿挑戰的條件下工作，長時間工作，再次為我們的客戶提供幫助，我們的人民和我們的社區。

Turning our attention to our insurance business more broadly, our insurance business grew approximately 13% for the quarter in unit volume when excluding the effect of catastrophic events. We grew 9% year over year for the quarter.

將我們的注意力轉向更廣泛的保險業務，如果排除災難性事件的影響，我們的保險業務本季的單位數量增加了約 13%。本季我們年增 9%。

Total loss frequency was certainly one of the major catalysts we experienced with the total loss frequency for the calendar quarter ending September 30 reported by CCC of 21.7% an increase of almost 2% year over year.

總虧損頻率無疑是我們經歷的主要催化劑之一，CCC 報告稱，截至 9 月 30 日的日曆季度總虧損頻率為 21.7%，年增近 2%。

More broadly, though we wanted to pause for a moment to reflect on longer term industry trends there, as you know, has been a steady drumbeat in the news media and in various company announcements on accident avoidance, technologies and autonomous driving rollouts over the past decade plus.

更廣泛地說，儘管我們想停下來思考一下長期的行業趨勢，但正如你所知，過去新聞媒體和各種公司關於事故避免、技術和自動駕駛推廣的公告一直在不斷鼓動。

And in addition, we've encountered a number of inquiries in recent days from investors and other interested parties on this subject as well. Our answer here will be especially US centric, but the takeaways I think are broadly applicable to the markets in which we do business.

此外，最近幾天我們也收到了投資者和其他相關方就此主題的大量詢問。我們在這裡的答案將特別以美國為中心，但我認為要點廣泛適用於我們開展業務的市場。

We all of course draw inferences from our own empirical experience, the cars we drive, we now experience more of the safety technologies in the form of lane departure warning systems that buzz our steering wheels, rear cameras that we probably all use when we back up our cars nowadays and many of us have also taken rides in autonomous taxis within the geo fence areas in which they're operating today.

當然，我們都從自己的經驗經驗中得出推論，我們駕駛的汽車，我們現在體驗到更多的安全技術，例如車道偏離警告系統，這些系統會震動我們的方向盤，我們倒車時可能都會使用後置攝像頭如今，我們的汽車和我們中的許多人還在他們今天運營的地理圍欄區域內乘坐自動駕駛出租車。

We think there's also insight to be derived. However, from multiple decade trends that we can absorb -- that we can observe in actual data. There are four factors I wanted to draw out today and then a secondary consideration I wanted to offer that inform our perspective on the long term organic growth trends in our business.

我們認為還可以得到一些見解。然而，從我們可以吸收的數十年趨勢中，我們可以在實際數據中觀察到。今天我想提出四個因素，然後我想提出第二個考慮因素，以幫助我們了解我們業務的長期有機成長趨勢。

The first is simply population growth since 1,960 population in the United States has grown at 1% compounded, which sounds like a fairly modest growth rate. But over a time horizon of that scale, our population is almost doubled in the United States.

第一個是簡單的人口成長，自美國 1,960 人口以來，複合成長率為 1%，這聽起來是一個相當溫和的成長率。但在如此規模的時間範圍內，美國的人口幾乎增加了一倍。

The second consideration is vehicle miles traveled which over that same Horizon plus or minus has grown at 2%.

第二個考慮因素是車輛行駛里程，在同一範圍內正負成長了 2%。

As a result, vehicle miles traveled over that horizon has quadrupled from 1,960 to today, which is to say that ultimately, vehicle miles traveled as a country grows more populous and more prosperous as the United States has done generally outpaces population growth alone.

結果，這一範圍內的車輛行駛里程從 1,960 到今天增加了四倍，也就是說，隨著一個國家人口越來越多、更加繁榮，車輛行駛里程最終會超過美國單獨的人口增長速度。

We're all aware of course of the anomalous, very well documented steep decline in vehicle miles traveled in 2020 courtesy of COVID 19. We are now above pre prepandemic peaks on this specific metric. If you were to look at a visual chart showing vehicle miles traveled over this 60 plus year period, I think you'd likely also conclude that we still have several years of return to work tailwinds ahead of us as more and more businesses implement those policies.

當然，我們都知道，由於 COVID 19，2020 年車輛行駛里程出現了異常的、有據可查的急劇下降。就這一具體指標而言，我們現在已經超過了大流行前的峰值。如果您查看顯示這60 多年期間車輛行駛里程的可視化圖表，我想您可能還會得出這樣的結論：隨著越來越多的企業實施這些政策，我們仍然有幾年的重返工作崗位的順風車。

The third phenomenon I want to comment on specifically is accident rates and their long term trends downwards. So over the past 30 years, the Department of Transportation has published data on police reported crashes. There is one anomalous trend from the 2014 to 2018 period. I think marked likely by the proliferation of smartphones and the addictive apps that certainly afflict us all that caused accident rates actually to increase in certain years during that period.

我想具體評論的第三個現像是事故率及其長期下降趨勢。因此，在過去的 30 年裡，交通部公佈了警方報告的車禍數據。2014年至2018年期間存在一個異常趨勢。我認為，這可能以智慧型手機和令人上癮的應用程式的激增為標誌，這些應用程式無疑困擾著我們所有人，導致在那段時期的某些年份事故率實際上有所增加。

But nonetheless, over the decades long horizon, we've seen a steady decline in accidents per miles driven. And in fact, today versus 1990 there are approximately one-third fewer crashes and fatalities per million miles driven.

但儘管如此，在過去的幾十年裡，我們看到每英里行駛事故數量穩定下降。事實上，與 1990 年相比，今天每行駛 100 萬英里的事故和死亡人數大約減少了三分之一。

But in absolute terms, that decline has only been 8% because of the offsetting effects of the growth in population and vehicle miles travel. Safety technologies penetrate gradually into new vehicle shipments and still more gradually into the installed base of drivable vehicles. And it is that fleet effect which causes the gradual decline in accidents relative to the perhaps more innovative technology deployments exhibited or implemented by OEMs today.

但從絕對值來看，由於人口和車輛行駛里程成長的抵銷效應，下降幅度僅為 8%。安全技術逐漸滲透到新車出貨中，更逐漸滲透到可駕駛車輛的安裝基礎中。相對於當今 OEM 展示或實施的可能更具創新性的技術部署，正是車隊效應導致事故逐漸減少。

And then the fourth and most important driver of our business is total loss frequency itself. It has been the key catalyst in our growth now for decades and has grown more than fourfold since 1990. This again is a phenomenon that has exhibited a nearly monotonic increase over that period.

我們業務的第四個也是最重要的驅動因素是總損失頻率本身。幾十年來，它一直是我們成長的關鍵催化劑，自 1990 年以來成長了四倍多。這又是一個在該時期表現出近乎單調成長的現象。

But for an anomaly in late 2021 and early 2022, when the pop and used car prices made total loss a relatively expensive settlement procedure for insurance companies briefly suppressing total loss frequency. We are yet again above pre pandemic highs on this specific metric.

但 2021 年底和 2022 年初的異常情況是，當時的流行和二手車價格使全損成為保險公司相對昂貴的結算程序，從而暫時抑制了全損頻率。在這具體指標上，我們再次高於大流行前的高點。

The long term catalyst here is that vehicles become ever more complex including for reasons, safety technologies we've already talked about today and therefore more expensive to repair, rendering the repair path less attractive, while also the intrinsic value of these vehicles rise via our marketplace. We find still more buyers in places like Eastern Europe, Central and South America, Africa and elsewhere where their mobility needs are ultimately satisfied by our wrecked cars.

這裡的長期催化劑是車輛變得越來越複雜，包括我們今天已經討論過的安全技術等原因，因此維修成本更高，使得維修路徑的吸引力降低，同時這些車輛的內在價值也透過我們的技術而上升。我們在東歐、中南美洲、非洲和其他地方發現了更多的買家，在這些地方，我們的失事汽車最終滿足了他們的旅行需求。

The proliferation of safety technologies that drive accident frequency down. And by the way, there have been multiple rounds of these technologies over the decades from antilock brakes in the 70s and 80s to the more sensor driven technologies of today.

安全技術的普及降低了事故頻率。順便說一句，從 70 年代和 80 年代的防鎖死煞車系統到今天更多的感測器驅動技術，這些技術在過去的幾十年中已經出現了多輪。

But the proliferation of these technologies is not incidental to total loss frequency. But in fact, directly causal, these technologies tend to be enabled by sensors and chips often configured on the perimeter of vehicles, rendering them quickly and easily damaged in an accident and raising the cost of repair as a result, those cars in turn are still quite valuable to our destination markets as drivable contributors to the mobility in those markets.

但這些技術的擴散並不是總損失頻率的偶然因素。但事實上，直接因果關係是，這些技術往往是由通常配置在車輛週邊的感測器和晶片來實現的，導致它們在事故中快速且容易地損壞，並提高了維修成本，從而導致這些汽車仍然無法使用。

One additional secondary driver I thought was worth mentioning today is the phenomenon of uninsured, underinsured and undercapitalized motorists, specifically. On the point of uninsured or liability only drivers, there is a very clear 30 year-plus trend downward meaning over time in a market like the United States insurance coverage generally becomes more robust.

我認為今天值得一提的另一個次要驅動因素是無保險、保險不足和資本不足的駕駛現象。就未投保或僅承擔責任的駕駛員而言，30多年來存在非常明顯的下降趨勢，這意味著隨著時間的推移，像美國這樣的市場保險覆蓋範圍通常會變得更加強勁。

We do how however observe cyclicality within that longer term secular trend driven in part by insurance premiums, the economic health of the country and so forth. In the past year or two in particular, the insurance premiums have generally increased at a pace -- at a rate outpacing other components of the consumer experience in part because of the natural regulatory lag in raising insurance rates.

然而，我們如何觀察長期長期趨勢中的週期性，部分由保險費、國家經濟健康狀況等所驅動。特別是在過去的一兩年裡，保險費普遍以一定的速度增長，其增長速度超過了消費者體驗的其他組成部分，部分原因是提高保險費率方面存在監管的自然滯後。

As a result, then the liability only plus uninsured motorists combined are a greater share of the drivable fleet than they had been in prior years. Again, the long term trend here appears to be a secular trend downwards in any case.

因此，僅責任加上未投保的駕駛者在可駕駛車隊中所佔的比例就比前幾年更大。同樣，無論如何，這裡的長期趨勢似乎都是長期下降趨勢。

The upshot of all of the above for us is that as we look forward on a 5, 10 and 20 year horizon, our baseline expectation continues to be of ongoing organic industry growth as population and the (inaudible) mile -- vehicle miles travel trends plus total loss frequency most importantly, of all, more than offset declining accident frequency as safety technologies penetrate new vehicle shipments and eventually a drivable fleet.

對我們來說，上述所有內容的結果是，當我們展望5 年、10 年和20 年時，我們的基本預期仍然是隨著人口和（聽不清楚）里程——車輛里程旅行趨勢的持續有機產業成長最重要的是，隨著安全技術滲透到新車出貨並最終滲透到可駕駛車隊中，總損失頻率足以抵消事故頻率下降的影響。

We do expect perhaps more volatility from contributors such as used car prices from severe weather events and the like on both fronts, then we're investing according accordingly to ensure that we have the physical technology and people capacity to serve our insurance clients under any conditions.

我們確實預計，惡劣天氣事件等造成的二手車價格等貢獻者可能會出現更大的波動，然後我們將進行相應的投資，以確保我們擁有在任何條件下為我們的保險客戶提供服務的物理技術和人員能力。

With that, I'll hand it over to our CFO, Leah Stearns.

接下來，我會將其交給我們的財務長 Leah Stearns。

Thank you, Jeff. I'll begin with our first quarter sales trends. During the quarter, our global unit sales and inventory increased 12% and 6% respectively from the year ago period and was a function of growth and total loss frequency and share gains.

謝謝你，傑夫。我將從第一季的銷售趨勢開始。本季度，我們的全球銷售和庫存分別比去年同期成長 12% 和 6%，這是成長、總虧損頻率和份額收益的函數。

Focusing on our US business unit growth was about 11% which reflects fee unit growth of 11% and purchase unit growth of nearly 6%. Consignment or fee units continue to constitute the vast majority of our US unit volume.

重點關注我們的美國業務單位成長率約為 11%，這反映了費用單位成長 11% 和採購單位成長近 6%。寄售或收費單位繼續構成我們美國單位數量的絕大多數。

Our US insurance unit volume increased about 12% year over year and approximately 9% excluding cat units. We continue to grow our volume with non-insurance sellers by leveraging our core capabilities in outdoor storage via our real estate portfolio, a strong network of logistics solutions and a global liquid buyer base.

我們的美國保險單位銷售量年增約 12%，不包括巨災單位，增幅約 9%。我們透過我們的房地產投資組合、強大的物流解決方案網絡和全球流動買家基礎，利用我們在戶外倉儲方面的核心能力，繼續擴大與非保險賣家的業務量。

We are also seeking to optimize the mix of non-insurance units from a profitability perspective, as we continue to prune the low value unit volume. During the quarter, our blue car business which serves our bank and finance fleet and rental segment partners continued its strong trend of year-over-year growth of over 20%.

隨著我們繼續削減低價值單位數量，我們也尋求從獲利角度優化非保險單位的組合。本季度，我們為銀行和金融車隊以及租賃部門合作夥伴提供服務的藍色汽車業務繼續保持同比增長超過 20% 的強勁趨勢。

Our dealer sales volume a combination of our Copart dealer services division and National Power Sports auctions increased sales volumes by over 2% year over year. With CDS declining less than 1% and NPA increasing nearly 14%. And low value units including charities and municipalities declining 4%. On a final note, our partner in the specialty equipment space Purple Wave has driven double digit gross transaction value growth year over year for the trailing 12 month period ending October 31, which significantly outpaces industry growth in the equipment auction marketplaces they serve. This impressive growth demonstrates the value of our partnership and what it brings to the market.

我們的經銷商銷量（Copart 經銷商服務部門和 National Power Sports 拍賣相結合）使銷量同比增長了 2% 以上。CDS 下降不到 1%，NPA 成長近 14%。包括慈善機構和市政當局在內的低價值單位下降了 4%。最後一點，我們在特種設備領域的合作夥伴Purple Wave 在截至10 月31 日的過去12 個月內推動了總交易價值同比兩位數增長，這大大超過了他們所服務的設備拍賣市場的行業增長速度。這一令人印象深刻的成長證明了我們合作夥伴關係的價值及其對市場的影響。

Overall inventory levels in the US increased over 5% and decreased by about 1% when excluding low value in cat units. In turning to our international business, we saw unit growth of nearly 16% in the quarter including about 6% from cat units due to severe floods in the UAE in Brazil with fee units increasing about 16% in Q1 and purchase units increasing by just over 14% for the quarter. Our international business ended the quarter with inventory levels over 10% ahead of prior year.

美國的整體庫存水準增加了 5% 以上，如果排除低價值的 Cat 單位，則減少約 1%。就我們的國際業務而言，我們看到本季的單位數量增加了近16%，其中由於巴西阿聯酋嚴重洪災，CAT 單位增加了約6%，第一季收費單位增加了約16%，購買單位增長了略高於本季度增長 14%。本季末，我們的國際業務庫存水準比去年同期成長了 10% 以上。

Global ASPs declined by less than 1% for the quarter relative to the year ago period. Our US ASPs continue to show resilience and are significantly outperforming the used vehicle market more broadly. While the Manheim used vehicle price index declined by about 4% year over year. Our US insurance ASPs declined by only 1% over the same time period and had a slight increase of about 1% sequentially. Internationally, ASPs increased nearly 7%.

本季全球平均售價較去年同期下降不到 1%。我們的美國平均售價持續表現出彈性，並且在更廣泛的範圍內顯著優於二手車市場。而曼海姆二手車價格指數較去年同期下降約4%。我們的美國保險平均售價同期僅下降 1%，較上季小幅成長約 1%。國際上，平均售價成長了近 7%。

Turning to our financial performance. Global revenue in the quarter increased to $1.15 billion, representing growth of over $126 million or about 12%. Global service revenue increased nearly $127 million or about 15% for the first quarter, primarily due to increased volumes. US service revenue grew by about 13% for the quarter which included 2% attributable to cat units. And international service revenue grew by about 30%.

轉向我們的財務表現。該季度全球營收增至 11.5 億美元，成長超過 1.26 億美元，增幅約 12%。第一季全球服務收入成長近 1.27 億美元，成長約 15%，這主要是由於數量增加。本季美國服務收入成長約 13%，其中來自 Cat 部門的成長為 2%。國際服務收入成長約30%。

Global purchase vehicle sales for the first quarter decreased less than $1 million or approximately 20 basis points. While global purchase vehicle gross profit increased by about 72% in the first quarter. In the US purchased vehicle revenue was up about $9 million or about 12%, while purchased vehicle gross profit increased nearly $5 million or about 77% for the quarter.

第一季全球購車銷售額下降不到 100 萬美元，下降約 20 個基點。而第一季全球購車毛利成長約72%。在美國，本季外購車輛收入成長了約 900 萬美元，約 12%，而外購車輛毛利則成長了近 500 萬美元，約 77%。

Internationally, purchase vehicle revenue decreased by nearly $10 million or nearly 12%, and gross profit increased by $4 million or about 67% in the first quarter. The reduction in international purchase vehicle revenue accompanied by an increase in gross margin was primarily driven by higher ASP insurance vehicles in Germany which transitioned from purchase contract to a consignment model coupled with stronger purchase unit margins in the UK.

國際方面，第一季購車收入減少近1,000萬美元，降幅接近12%，毛利增加400萬美元，降幅約67%。國際採購車輛收入的減少伴隨著毛利率的增加，主要是由於德國保險車輛平均售價的提高，從採購合約模式轉變為寄售模式，加上英國的採購單位利潤率上升。

Global facility related costs which include facility operations, depreciation, amortization and stock based compensation increased $88 million or about 22%. In the US, facility related costs increased $74 million or nearly 22%. During the quarter, we recognized $29 million in incremental costs associated with Hurricanes, Helene and Milton.

全球設施相關成本（包括設施營運、折舊、攤提和股票薪酬）增加了 8,800 萬美元，約 22%。在美國，設施相關成本增加了 7,400 萬美元，近 22%。本季度，我們確認與颶風、海倫和米爾頓相關的增量成本為 2,900 萬美元。

This reflects noncapitalized costs associated with units sold in the quarter which is a change from our past cap financial disclosures, there remain $18 million in costs which were included or -- sorry, which were incurred and are currently capitalized on the balance sheet. These will be recognized as the remaining cat units are sold. Excluding the costs associated with the Hurricanes, facility related costs per unit increased about 4% from the prior year period.

這反映了與本季度銷售單位相關的非資本化成本，這與我們過去的財務披露上限有所不同，仍有1800 萬美元的成本被包含在內，或者——抱歉，這些成本已經發生並目前在資產負債表上資本化。這些將在剩餘的 Cat 單位售出時得到確認。排除與颶風相關的成本，每單位設施的相關成本比去年同期增加了約 4%。

This normalized increase in per unit cost reflects our ongoing investments and expanded operational capacity to support our continued growth. International facility related costs were up [$14 million], an increase of nearly 24% or approximately 7% on a per unit basis.

每單位成本的正常成長反映了我們持續的投資和擴大的營運能力，以支持我們的持續成長。國際設施相關成本增加了 [1,400 萬美元]，增加了近 24%，以單位計算增加了約 7%。

The increase in per unit costs was primarily due to growth in head count to support our business in the UK. During the quarter, global gross profit was approximately $512 million representing an increase of $48 million or about 10%. And our gross margin percent decreased by approximately 82 basis points to 44.7% in the quarter.

每單位成本的增加主要是由於支持我們在英國業務的人員數量的增加。本季度，全球毛利約 5.12 億美元，增加了 4,800 萬美元，增幅約 10%。本季我們的毛利率下降了約 82 個基點至 44.7%。

In the US. Our gross profit increased to $448 million, which was over 20 -- an increase of over $28 million or about 7%. And gross margin decreased 260 basis points to 47.2%. Our international gross profit increased to $65 million, about $20 million of an increase or 44% and gross margin increased over 740 basis points to 32.3% in the quarter.

在美國。我們的毛利增至 4.48 億美元，比 20 多，成長超過 2,800 萬美元，增幅約 7%。毛利率下降260個基點至47.2%。本季度，我們的國際毛利增至 6,500 萬美元，增幅約 2,000 萬美元，即 44%，毛利率成長超過 740 個基點，達到 32.3%。

Turning to our general and administrative expenditures which were $106 million in the quarter. This increase of $37 million reflects growth across the investments we have made into growing our specialty equipment sales team which covers both a geographic and sector specific coverage perspective. We expect to generate meaningful growth in specialty equipment gross transaction value over the next 12 to 24 months as a direct result of this investment.

談到我們本季的一般和行政支出，該支出為 1.06 億美元。3700 萬美元的成長反映了我們為擴大專業設備銷售團隊而進行的投資的成長，該團隊涵蓋了地理和特定行業的覆蓋範圍。這項投資的直接結果，我們預計未來 12 至 24 個月內特種設備總交易價值將實現有意義的成長。

In addition, the investments we're making in our platform, services, teams and systems which include our legal, compliance, technology, and our finance and people and culture teams have continued with support from third parties. We would expect these expenses to partially recede over the next 12 months and believe the business will be well positioned to generate strong operating leverage in the future.

此外，我們在第三方的支持下繼續對我們的平台、服務、團隊和系統進行投資，其中包括我們的法律、合規、技術以及我們的財務、人員和文化團隊。我們預計這些費用將在未來 12 個月內部分減少，並相信該業務將處於有利位置，能夠在未來產生強大的營運槓桿。

As a result, first quarter, GAAP operating income increased by about 3% to over $406 million, which includes a modest headwind from the impact of Hurricanes, Helene and Milton.

結果，第一季 GAAP 營業收入成長了約 3%，達到超過 4.06 億美元，其中包括颶風、海倫和米爾頓影響帶來的適度阻力。

And finally, first quarter, GAAP net income increased by about 9% to over $362 million or $0.37 per diluted common share. During the quarter, we did benefit from over $13 million of incremental interest income as we have actively invested our cash into treasury securities and for the quarter, our tax rate was 20%.

最後，第一季 GAAP 淨利潤成長約 9%，達到 3.62 億美元以上，即每股稀釋普通股 0.37 美元。在本季度，我們確實受益於超過 1,300 萬美元的增量利息收入，因為我們積極地將現金投資於國債，本季的稅率為 20%。

(technical difficulty) our capital structure as of the end of October, we had over [$4.9 billion] of liquidity which is compromised of nearly $3.7 billion in cash and our capacity under a revolving credit facility. For the quarter, we generated free cash flow of about $246 million, reflecting operating cash flow generation of $482 million in capital investments of about $237 million.

（技術困難）我們的資本結構截至 10 月底，我們擁有超過 [49 億美元] 的流動性，其中包括近 37 億美元的現金和我們循環信貸安排的能力。本季度，我們產生了約 2.46 億美元的自由現金流，反映出約 2.37 億美元的資本投資產生了 4.82 億美元的營運現金流。

Our strong performance in responding to the Hurricanes during the quarter was directly attributable to the investments we've made in our teams, cat land portfolio, logistics solutions and technology platforms. We expect to prioritize the deployment of capital into these areas as we strive to continuously improve upon our service levels on behalf of our customers.

本季我們在應對颶風方面的強勁表現直接歸功於我們對團隊、貓地投資組合、物流解決方案和技術平台的投資。我們希望優先將資本部署到這些領域，因為我們努力為客戶不斷提高我們的服務水準。

And with that, Jeff and I would be happy to take some questions.

傑夫和我很樂意回答一些問題。

Great. Thank you. At this time, we'll be conducting a question-and-answer session. (Operator Instructions)

偉大的。謝謝。此時，我們將進行問答環節。（操作員說明）

Bob Labick, CGS Securities.

拉比克 (Bob Labick)，CGS 證券公司。

Thanks. Good afternoon and thanks for taking our questions. Hi. I wanted to follow up on, (technical difficulty) frequency and salvage trends and whatnot. I think you said [21, 7] is roughly where total loss frequency is. So it's obviously really returned and gotten high you've mentioned on prior calls that this is obviously a combination of some of your customers, insurance companies well above that and then therefore some are below that as well.

謝謝。下午好，感謝您提出我們的問題。你好。我想跟進（技術難度）頻率和搶救趨勢等等。我認為你說的 [21, 7] 大致是總損失頻率的位置。因此，它顯然確實返回並變得很高，您在之前的電話中提到，這顯然是您的一些客戶、保險公司的組合，遠高於該水平，因此有些也低於該水平。

So I was wondering if you could tell us some of the characteristics of the insurance companies that are at the higher end of that or at the lower end, are they the big ones are higher and small ones are lower. Is it tech savvy versus old school? How should we think about that? And then maybe more importantly, what are the reasons a company would keep, have a lower to total loss frequency? Is that intentional or maybe just I'll stop there.

所以我想知道您能否告訴我們一些處於高端或低端的保險公司的一些特徵，是大的較高，小的較低。它是精通科技還是老派？我們該如何思考這個問題？也許更重要的是，公司維持較低總虧損頻率的原因是什麼？這是故意的還是我到此為止。

Got it. Bob a very fair question and for one for which there isn't a tidy one paragraph answer. The reality is if you even took one insurance carrier and compared them regionally against themselves, I think you'd find meaningful variation even within a given company. Broadly speaking, I think you highlighted a couple of axes on which our insurance clients can vary including their book of business where there are certain types of cars, certainly high end luxury automobiles for which some policy holders are less open minded about retaining a heavily damaged and now heavily repaired vehicle after the fact.

知道了。鮑伯是一個非常公平的問題，但對於這個問題，沒有一個簡潔的段落答案。現實情況是，如果您甚至選擇保險公司並將其與地區進行比較，我認為即使在特定公司內，您也會發現有意義的差異。從廣義上講，我認為您強調了我們的保險客戶可能會有所不同的幾個軸，包括他們的業務簿，其中有某些類型的汽車，當然是高端豪華汽車，一些保單持有人對保留嚴重受損的汽車持不太開放的態度現在事後對車輛進行了大量修理。

So for customer service accommodation reasons, sometimes those cars are totaled more readily than they otherwise would be. In terms of total loss practices, I think that some of the variations we'll see are literally the decision making criteria.

因此，出於客戶服務便利的原因，有時這些汽車比其他情況更容易被總計。就全損實踐而言，我認為我們將看到的一些變化實際上是決策標準。

So at one end of the spectrum, you'll have folks who, if anything still have the statutory mindset for lack of a better expression, which is to say that in certain states, if damage exceeds X percent of the tax value of the car by statute, a carrier must offer the policy holder a total loss at least as an option.

因此，在這個範圍的一端，你會有些人，如果有的話，仍然有法定心態，因為缺乏更好的表達，也就是說，在某些州，如果損壞超過汽車稅值的 X%根據法規，承運人必須至少作為一種選擇向保單持有人提供全損。

And so some carriers to this day still adopt that a 75% threshold or whatever arbitrary threshold for the repair estimate divided by the intact value of the car to determine the absolute line above which all cars are totaled and below which none of the cars are totaled. Others are adopting a more like a more individual underwriting, so to speak on an individual claim.

因此，一些承運人至今仍採用75% 的閾值或任意閾值來進行維修估算，除以汽車的完整價值，以確定絕對線，高於該線的所有車輛均計入總計，低於該絕對線則沒有車輛計入總計。其他人則採用更像是個人承保的方式，可以說是針對個人索賠。

So a claim comes in, what is the repair cost for this claim? How long will it take? What will the rental charges be on this repair while it's in the shop? How much can we generate for that car at Copart instead and then make an individual economic decision.

那麼索賠就來了，這次索賠的維修費用是多少？它需要多長時間？在店內進行維修時，租賃費用是多少？我們可以在 Copart 為這輛車賺多少錢，然後做出個人經濟決定。

Every carrier somewhere on that spectrum. But as you noted, there's a huge dispersion among insurance carriers today and we certainly provide them with a number of tools to help them make that decision better and help them make that decision faster. I think we've made strides in that regard, but certainly with many years of progress still to come.

該頻譜上某個位置的每個運營商。但正如您所指出的，當今保險公司之間存在著巨大的分散性，我們當然為他們提供了許多工具來幫助他們更好地做出決策並幫助他們更快地做出決策。我認為我們在這方面已經取得了長足的進步，但肯定還需要很多年才能取得進展。

Okay, great. And then just, one other question for me, obviously, a continued nice success with the Blue car, initiative there with the reduction but kind of near term current reduction in off lease vehicles which I know you don't participate in really.

好的，太好了。然後，對我來說，另一個問題顯然是，藍色汽車的持續成功，該倡議的減少，但短期內租賃車輛的減少，我知道你並沒有真正參與。

But how does it impact the supply if at all of from your blue car customers? Because there's, less younger cars kind of going into the reconditioning market. Is this impacting the total loss frequency on the blue car area versus just the regular salvage cars or have you seen any impact thus far? Are you expecting any over the next couple quarters?

但它會對藍色汽車客戶的供應產生怎樣的影響呢？因為進入翻新市場的年輕汽車越來越少。與普通報廢汽車相比，這是否會影響藍色汽車區域的總損失頻率，或者到目前為止您是否看到任何影響？您對接下來的幾季有什麼期待嗎？

I'll take that one, Bob. Just in terms of how we see off lease volumes impact our non-insurance business. It's more impactful to our CDS business, more of our dealer services. It's just the overall volume impact the wholesale market and how that can influence pricing and unit availability. It's less impactful from a blue car perspective because again, remember many of those blue car units still have some level of damage.

我要那個，鮑伯。就我們如何看待租賃量對我們非保險業務的影響而言。這對我們的 CDS 業務以及我們的經銷商服務影響更大。這只是總量對批發市場的影響以及它如何影響定價和單位可用性。從藍色汽車的角度來看，它的影響較小，因為再次記住，許多藍色汽車仍然有一定程度的損壞。

And increasingly we're working towards being close to having lower damaged vehicles flowing through Blue car, but the office units are more impacting the overall unit volume within the wholesale market as a whole and that can impact pricing and availability for the broader dealer wholesale space.

我們越來越努力地減少藍色汽車中損壞的車輛，但辦公單位對整個批發市場內的整體單位數量的影響更大，這可能會影響更廣泛的經銷商批發空間的定價和可用性。

Well, I'd say for our business off lease volume is not per se a specific catalyst. It's just one contributor to the supply and demand dynamics for new and used vehicles overall. So it perhaps is somewhat softening the used vehicle supply but that's one variable amidst a large range of them that influence those used car prices.

嗯，我想說，對於我們的業務來說，租賃量本身並不是一個特定的催化劑。它只是新車和二手車整體供需動態的貢獻者之一。因此，這可能在一定程度上削弱了二手車供應，但這只是影響二手車價格的眾多變數中的一個。

Okay, super. Thank you very much. I'll jump back in queue.

好吧，超級。非常感謝。我會插回隊列。

Chris Bottiglieri, BNP Paribas.

克里斯‧波蒂列裡 (Chris Bottiglieri)，法國巴黎銀行。

Hey guys. Thanks for taking the question. Jeff, two for you. The first one I would ask about is the follow up the question from last quarter on insurance, uninsured motorist. I was wondering, what you historically seen when there's been changes, like from cat events, we have large Hurricanes.

嘿夥計們。感謝您提出問題。傑夫，給你兩個。我要問的第一個問題是跟進上個季度關於保險、未投保駕駛者的問題。我想知道，當發生變化時，你在歷史上看到了什麼，例如貓事件，我們有大型颶風。

On one hand, you think, the higher insurance costs afterwards could be problematic for insurance, participation. On the other hand, it might be a stark reminder that you need comp insurance because your losses go up when there's major cat. So just curious, if you saw that back in the past.

一方面，您認為，之後較高的保險費用可能會為保險、參與帶來問題。另一方面，這可能是個鮮明的提醒，你需要賠償保險，因為當有大貓出現時，你的損失就會增加。所以只是好奇，如果你過去看過這一點。

Chris. I'd say the data we've seen. And I was going to give you the citation here as well. It's from, I think the Insurance Institute I believe and they tracked uninsured motorists back to call it the late 1980s plus or minus with an annual figure. The annual figure would be for the country overall. There are other sources from which we derive liability coverage also.

克里斯.我想說的是我們看到的數據。我也打算在這裡給你引文。我相信它來自保險協會，他們追蹤了未投保的駕駛者，並將其稱為 20 世紀 80 年代末期前後的年度數據。年度數字將代表整個國家。我們也可以從其他來源獲得責任保險。

And I'd say given the nationwide nature of the data, trying to find that finely parsed question as to whether Hurricane Sandy led to changes in the northeast or Ian and Hilton and Milton and Helane cause changes in Florida. Harvey and Texas that I don't think we can quite see in the data, right. So when I look at 2017, for example, Hurricane Harvey major event, there's not per se an attributable change to the uninsured motorist population, then.

我想說的是，考慮到數據的全國性，試圖找到一個精細解析的問題，即颶風桑迪是否導致了東北部的變化，或者伊恩和希爾頓、米爾頓和赫蘭導致了佛羅裡達州的變化。我認為我們無法在數據中看到哈維和德克薩斯州，對吧。因此，當我回顧 2017 年，例如颶風哈維重大事件時，沒有保險的駕駛人數本身並沒有發生可歸因的變化。

Okay. That makes sense. It's tough. All similar question that's probably equally hard to answer and ask anyway, if you go back to the Trump tariffs, I know you don't have any direct impact. But I was just curious, your AP search then obviously a lot of factors Harvey and I think just changes out of charity vehicles but just curious, like, was there any noticeable impact on your business from the Trump tariff regime in '18, '19? Did you see any impact on ASP or to the law or anything else? We would it be obvious someone might see?

好的。這是有道理的。它太硬。所有類似的問題可能同樣難以回答和詢問，如果你回到川普關稅，我知道你不會產生任何直接影響。但我只是很好奇，你的美聯社搜尋顯然有很多因素，哈維和我認為只是慈善工具的變化，但只是好奇，比如，川普關稅制度在18、19 年對你的業務有任何明顯的影響嗎？您是否看到對 ASP 或法律或其他方面有任何影響？我們會很明顯有人會看到嗎？

Not, not when we could isolate? No. And I think even the natural, the nature of your question is probably looking forward what it means for our business. And I think there's certainly elements of this that are unknown. I would say that most of the countries I think, well, with which the administration has those tariffs in mind, China, for example, are not per se meaningful importers of cars to the United States nor are they particularly meaningful export markets for Copart either.

不，當我們可以隔離的時候不行嗎？不。我認為，即使是你問題的本質，也可能是期待它對我們的業務意味著什麼。我認為其中肯定有一些未知的因素。我想說的是，我認為政府考慮徵收這些關稅的大多數國家（例如中國）本身並不是美國有意義的汽車進口國，也不是 Copart 特別有意義的出口市場。

So could we -- we could face some, contradictory effects here in our own business. You can imagine scenarios in which the value of the cars we sell are certainly higher because they're already landed on US shores. And so they're now competing against vehicles or parts from overseas that may now face new tariffs.

我們也可以——我們可能會在我們自己的業務中面臨一些矛盾的影響。您可以想像這樣的場景：我們銷售的汽車的價值肯定更高，因為它們已經登陸美國海岸。因此，他們現在正在與來自海外的車輛或零件競爭，這些車輛或零件現在可能面臨新的關稅。

You could also imagine a scenario in which it causes used car values to be higher than they otherwise would be, which could bring back some of the phenomenon we saw in late 2021 and 2022 in which demand for our services otherwise is suppressed relative to where it otherwise would be right?

您也可以想像這樣一種情況，它會導致二手車價值高於原本應有的價格，這可能會重現我們在2021 年底和2022 年看到的一些現象，即對我們服務的需求相對於其他情況受到抑制。

Because [ACPs] are sky high, our unit economics are better but total loss frequency can also be softer as a result how that all plays out, over the course of the next 12 months, next four years. I don't think we know precisely, but I would say the last time around there was not a meaningful disruption to the business.

由於 [ACP] 非常高，我們的單位經濟效益更好，但總損失頻率也可能較低，因為這一切在未來 12 個月、未來四年內會如何發展。我認為我們並不確切知道，但我想說的是，上次並沒有對業務造成有意義的干擾。

Got you. Okay. Thank you.

明白你了。好的。謝謝。

Bret Jordan, Jefferies.

布雷特·喬丹，杰弗里斯。

Hey, good morning, good evening, I guess. Question on the G&A, I think you said a lot of that $36 million was specialty sales team growth that might recede over the next 12 months. In the shorter term, do you expect to continue to build that up as you're focusing outside the -- into the incremental markets outside of salvage or are we sort of added G&A spend level that you see flat lining?

嘿，早安，晚上好，我想。關於 G&A 的問題，我想您說過 3600 萬美元中的很大一部分是專業銷售團隊的成長，這種成長可能會在未來 12 個月內消退。從短期來看，您是否希望繼續擴大這一規模，因為您將重點放在打撈之外的增量市場上，或者我們是否增加了您認為持平的一般管理支出水平？

We'll be disciplined in terms of when we make those investments specifically attributable to your point around the specialty sales team expansion. We're being opportunistic and so to the extent that we find the right sales, team members will bring them on board and we have targeted areas that we're focusing on initially.

當我們專門針對您關於專業銷售團隊擴張的觀點進行這些投資時，我們將受到紀律處分。我們是機會主義的，因此只要我們找到合適的銷售人員，團隊成員就會讓他們加入，並且我們有最初關注的目標領域。

But if there are opportunistic hires that we can make -- that makes sense for us, we certainly will pursue that, that G&A investment that we've made, we've basically doubled the head count in our sales team since the acquisition. And so it's, it's a fairly sizable increase and we're likely to digest that for a period of time, but I don't want to take anything off the table and assume that we won't be pursuing hire to the extent that we find the right folks.

但如果我們可以進行機會主義的招募——這對我們來說是有意義的，我們當然會追求這一點，我們所做的一般管理費用投資，自收購以來我們基本上已經將銷售團隊的人數增加了一倍。所以，這是一個相當大的增長，我們可能會在一段時間內消化這一點，但我不想放棄任何事情，並假設我們不會在我們的範圍內尋求聘用。

Okay. And then Jeff, you mentioned that three of four cars of cat cars in Florida were going via Copart, I guess, how does that compare to your market share in Florida? Is it an example that you are just pro collecting and processing cars faster and they're languishing on competitors lots, sort of how does that three of four cars?

好的。然後傑夫，您提到佛羅裡達州四分之三的貓車是透過 Copart 進行的，我猜，這與您在佛羅裡達州的市場份額相比如何？這是一個例子，您只是專業更快地收集和處理汽車，而它們卻在競爭對手的地段上陷入困境，四分之三的汽車是如何做到的？

Yeah, I think that'd be, it's probably speculation. I'm not prepared to undertake at the moment, but I think it reflects yes, our market presence there and it does reflect speed. So I think our ability to process cars this time both retrieved and have the salvage titles issued to be fair Florida is one of the more efficient states among the 50 in terms of how quickly they issue salvage titles back to us. So it's a function of all of those things, but I think there -- We do perceive a competitive advantage in terms of how quickly we respond to catastrophic events.

是的，我想這可能是猜測。我目前不准備承擔，但我認為這反映了是的，我們在那裡的市場存在，它確實反映了速度。因此，我認為我們這次處理汽車的能力既取回又發放報廢所有權，公平地說，就向我們發放報廢所有權的速度而言，佛羅裡達州是 50 個州中效率最高的州之一。所以這是所有這些因素的作用，但我認為——我們確實認為我們對災難性事件的反應速度具有競爭優勢。

Is Title Express playing a role in that salvage title or is it just the state is more cooperative than others?

Title Express 是否在搶救產權中發揮了作用，或者只是國家比其他國家更合作？

It can. So as you -- as I think we talked about last time, we're now managing the titles for approximately 1 million vehicles per year. So now it's a sizable portion of every of all the titles due process on behalf of insurance carriers.

可以。所以，正如我想我們上次談到的那樣，我們現在每年管理大約 100 萬輛汽車的所有權。因此，現在它代表保險公司在所有所有權正當程序中佔據相當大的比例。

The salvage title issuance is the speed with which the state responds to us once we submit the original title. Our title express team determines -- can help determine how quickly we retrieve that original title. So their ability to do so, yes, yield the competitive advantage, their ability to do so quickly yield an advantage in Florida and elsewhere.

救助產權發放是指我們提交原產權後，國家回覆我們的速度。我們的標題快遞團隊確定 - 可以幫助確定我們檢索原始標題的速度。因此，他們這樣做的能力，是的，產生了競爭優勢，他們這樣做的能力很快就在佛羅裡達州和其他地方產生了優勢。

Thank you.

謝謝。

Thanks Bret.

謝謝布雷特。

(Operator Instructions) Alice Wycklendt, Baird.

（操作員說明）Alice Wycklendt，Baird。

Hi guys. Thanks for taking my question. I think maybe the off lease discussion kind of touched on this a little bit but wanted to just hit on the dealer services side again. I think you said it was down just under 1%. Can you confirm that I have that number, right? And then if that's the case, maybe a little bit more detail about what you're seeing in that market as it seems like a slowdown from the kind of prior four quarter trend.

嗨，大家好。感謝您提出我的問題。我認為也許關於續租的討論有點觸及了這一點，但想再次觸及經銷商服務方面。我想你說過下降了不到 1%。你能確認我有這個號碼嗎？如果是這樣的話，也許可以更詳細地了解您在該市場中看到的情況，因為它似乎比前四個季度的趨勢有所放緩。

So Alice, I think what we saw in the first quarter was just a pause in September. Some slightly lower volumes related to some specific accounts, but we saw October come back. So I don't think it's a headwind that will persist, but we are obviously watching that closely. I think generally speaking, the wholesale space was a bit soft in September. So it was correlated with what we saw in the broader market.

所以愛麗絲，我認為我們在第一季看到的只是九月的暫停。與某些特定帳戶相關的交易量略有下降，但我們看到 10 月又回來了。因此，我認為這種逆風不會持續存在，但我們顯然正在密切關注。我認為整體來說，9月的批發空間有點疲軟。因此，它與我們在更廣泛的市場中看到的情況有關。

Great. That's it for me. Thanks.

偉大的。對我來說就是這樣。謝謝。

Thanks, Alice.

謝謝，愛麗絲。

Jash Patwa, JP Morgan.

賈許‧帕特瓦，摩根大通。

Hi, thanks for taking my questions. I wanted to follow up on your comments on the shift towards consignment models -- model units in Germany. Curious if you could elaborate on what you are seeing in the market there and whether we are arriving at a turning point with a broader shift towards consignment based units from the insurance carriers there. Thanks another follow up.

您好，感謝您回答我的問題。我想跟進您對向寄售模式（德國的模型單位）轉變的評論。我想知道您是否能詳細說明您在那裡的市場上看到的情況，以及我們是否正在到達一個轉折點，那裡的保險公司將更廣泛地轉向基於寄售的單位。感謝另一個跟進。

Got it. I appreciate the question. I think as you probably know if you followed Copart for a while, It's often the case that when we enter new markets and enter new quote seller segments. For example, in the UK, when we first launched our business, we were largely a principal shop. So we'd buy cars from insurance carriers as we proved to the marketplace that we had a liquid auction platform.

知道了。我很欣賞這個問題。我想，如果您關注 Copart 一段時間，您可能知道，當我們進入新市場並進入新的報價賣家細分市場時，通常會發生這種情況。例如，在英國，當我們第一次開展業務時，我們主要是一家總店。因此，我們會向保險公司購買汽車，因為我們向市場證明我們擁有一個流動性拍賣平台。

And that in fact, the sellers could achieve better results by letting it ride, so to speak, by selling the cars at Copart auctions, we invariably migrate them over time to an auction like to a pure auction arrangement. And that is now true in the UK. In the US, the example would be there's certain cars we once would have bought from certain institutional sellers like charities and so forth that over time again, eventually migrates to an auction format instead.

事實上，賣家可以透過讓它繼續行駛來取得更好的結果，可以這麼說，透過在Copart 拍賣會上出售汽車，隨著時間的推移，我們總是將它們遷移到拍賣，就像純粹的拍賣安排一樣。現在在英國也是如此。在美國，例如，我們曾經從慈善機構等某些機構賣家購買某些汽車，但隨著時間的推移，最終會轉向拍賣形式。

In Germany, the journey has been much the same as you might imagine all of these progressions are gradual. So it's not an overnight snapping of the fingers, but that's certainly the direction in which we want to move the business as the direction in which the business should move as well, right.

在德國，這一歷程與您想像的非常相似，所有這些進展都是漸進的。因此，這不是一朝一夕的打響指，但這肯定是我們希望業務發展的方向，也是業務應該發展的方向，對吧。

It's the right economic outcome for us to all for us and our clients to be on the same side of the table rooting for the same outcomes. And that's ultimately why we want to achieve that destination. So we have made progress, there's still room to go in that respect.

這對我們所有人來說都是正確的經濟結果，因為我們和我們的客戶站在桌子的​​同一邊，支持相同的結果。這就是我們想要實現這一目標的最終原因。所以我們已經取得了進展，但在這方面仍有進步的空間。

Understood. That's very helpful. I also noticed, an uptick in CapEx spend relative to the run rate over the past couple years. Could you share any details around the nature of these investments? And if we should expect a similar run rate going forward, just any, granularity around the cost pockets, whether it's, primarily land oriented or any other investments that you're making. Thanks.

明白了。這非常有幫助。我還注意到，過去幾年資本支出相對於運行率有所上升。您能否分享這些投資性質的任何細節？如果我們預計未來會有類似的運行率，那麼圍繞成本口袋的任何粒度，無論是主要面向土地還是您正在進行的任何其他投資。謝謝。

I think it's fair to say that in this period and in virtually any historical period, capitalist ministers for Copart will largely be land and development and in technology really, those two or those three dimensions and they're a reflection of immediate need in reflection of growth expectations as well. I wouldn't read a whole lot into quarter to quarter variations.

我認為可以公平地說，在這個時期以及幾乎任何歷史時期，科帕特的資本主義部長將主要是土地和發展以及技術領域的部長，這兩個或三個維度，他們反映了迫切需要，反映了成長預期也是如此。我不會對季度與季度之間的變化進行太多解讀。

You might imagine there are facilities that we have diligence and have been pursuing, have been negotiating for months in some cases, years and believe it or not, in some cases, decades that finally come to fruition and we don't schedule them right, so to speak, we buy the land when we can either land, we've already leased or land, we can immediately use or raw land, we then subsequently have to develop before we can use it ourselves.

你可能會想像，有些設施是我們竭盡全力並一直追求的，在某些情況下已經談判了數月，無論你相信與否，在某些情況下已經談判了數年，數十年終於實現了，但我們沒有正確安排它們，可以這麼說，當我們可以土地、我們已經租賃的土地或土地，我們可以立即使用或未開發的土地時，我們就購買土地，然後我們必須在我們自己使用它之前進行開發。

All of those things are folded into that one number in capital expenditure. So it's hard to read a whole lot into it. But we are delighted to invest in land and capacity and in technology, we think it equips us to serve our insurance clients.

所有這些都被納入資本支出的數字中。所以很難讀懂其中的全部內容。但我們很高興投資土地、產能和技術，我們認為這使我們能夠為保險客戶提供服務。

As I noted at the beginning of the call to support their growth, the industry's growth over time and to support industry volatility over time, I think requires us to invest more capital thoughtfully. Of course, always diligently, of course. But we're delighted to do it because we think it's necessary to serve our clients.

正如我在呼籲開始時指出的那樣，支持他們的成長、產業的長期成長以及支持產業的波動，我認為需要我們深思熟慮地投入更多資本。當然，總是勤奮，當然。但我們很高興這樣做，因為我們認為有必要為我們的客戶提供服務。

Thanks for all the call. Good luck.

感謝大家的來電。祝你好運。

Great. Thank you.

偉大的。謝謝。

This concludes the question-and-answer session. I'd like to turn the floor back to CEO, Jeff Liaw for any closing comments.

問答環節到此結束。我想請執行長 Jeff Liaw 發表最後評論。

Yeah. Thanks for joining us. We'll talk to you next quarter. Have a good afternoon.

是的。感謝您加入我們。我們將在下個季度與您交談。祝你下午好。

This concludes today's teleconference. You may disconnect your lines at this time. Thank you again for your participation.

今天的電話會議到此結束。此時您可以斷開線路。再次感謝您的參與。