Cooper-Standard Holdings Inc (CPS) 2023 Q4 法說會逐字稿

Good morning, ladies and gentlemen, and welcome to the Cooper-Standard fourth-quarter and full-year 2023 earnings conference call.

早安，女士們、先生們，歡迎參加庫柏標準第四季和 2023 年全年收益電話會議。

(Operator Instructions) As a reminder, this conference call is being recorded, and the webcast will be available for replay later today.

（操作員說明）謹此提醒，本次電話會議正在錄製中，網路廣播將於今天稍晚重播。

I would now like to turn the call over to Roger Hendriksen, Director of Investor Relations.

我現在想將電話轉給投資者關係總監 Roger Hendriksen。

Thanks, Laura, and good morning, everyone.

謝謝勞拉，大家早安。

We appreciate your continued interest in Cooper-Standard and thank you for taking the time to participate in our call this morning.

我們感謝您對庫柏標準的持續關注，並感謝您抽出時間參加我們今天早上的電話會議。

The members of our leadership team who will be speaking with you on the call this morning are Jeff Edwards, Chairman and Chief Executive Officer; and Jon Banas, Executive Vice President and Chief Financial Officer.

今天早上將在電話會議上與您交談的領導團隊成員是董事長兼執行長 Jeff Edwards；和喬恩·巴納斯（Jon Banas），執行副總裁兼財務長。

(technical difficulty) to remind you that this presentation contains forward-looking statements.

（技術難度）提醒您本簡報包含前瞻性陳述。

While they are made based on current factual information and certain assumptions and plans that management currently believes to be reasonable, these statements do involve risks and uncertainties.

雖然這些陳述是基於當前的事實資訊以及管理層目前認為合理的某些假設和計劃而做出的，但這些陳述確實涉及風險和不確定性。

For more information on forward-looking statements, we ask that you refer to slide 3 of this presentation and the company's statements included in periodic filings with the Securities and Exchange Commission.

有關前瞻性陳述的更多信息，我們請您參閱本演示文稿的幻燈片 3 以及公司定期向美國證券交易委員會提交的文件中的聲明。

This presentation also contains non-GAAP financial measures.

本簡報也包含非公認會計準則財務指標。

Reconciliations of the non-GAAP financial measures to their most directly comparable GAAP measures are included in the appendix to the presentation.

非公認會計原則財務指標與其最直接可比較的公認會計原則指標的調節表包含在簡報的附錄中。

With those (technical difficulty) out of the way, I'll turn the call now over to Jeff Edwards.

解決了這些（技術難題）後，我現在將電話轉給傑夫愛德華茲。

Thanks, Roger, and good morning, everyone.

謝謝，羅傑，大家早安。

We appreciate the opportunity to review our fourth-quarter and full-year 2023 results and provide an update on our outlook for 2024 and beyond.

我們很高興有機會回顧 2023 年第四季和全年業績，並提供 2024 年及以後展望的最新資訊。

To begin, on slide 5, I'd like to highlight some key data points that we believe are reflective of our strong commitment to operational excellence in our core company values.

首先，在投影片 5 上，我想強調一些關鍵數據點，我們認為這些數據點反映了我們對公司核心價值中卓越營運的堅定承諾。

In 2023, we continued to deliver world-class results in terms of product quality, program launches, and service for our customers.

2023年，我們持續在產品品質、專案啟動和客戶服務方面取得世界一流的成果。

This is reflected by our 98% green product quality scorecards and 97% green program launch scorecards.

我們 98% 的綠色產品品質記分卡和 97% 的綠色計畫啟動記分卡反映了這一點。

Even more importantly, we had our best year ever in terms of employee safety.

更重要的是，我們在員工安全方面度過了有史以來最好的一年。

For the full year 2023, our safety incident rate was just 0.32 per 200,000 hours worked, surpassing our previous best for 2022 and well below the world-class benchmark of 0.57. We're especially proud of our 24 plants that completed the year with a perfect safety record of zero recordable incidents.

2023 年全年，我們的安全事故率僅為每 20 萬工作小時 0.32 起，超過了我們之前 2022 年的最佳水平，遠低於 0.57 的世界一流基準。我們特別為我們的 24 家工廠感到自豪，這些工廠在這一年中取得了零可記錄事故的完美安全記錄。

The dedicated teams in these plants continue to affirm that our long term goal of zero safety incidents is achievable.

這些工廠的專業團隊繼續確認我們零安全事故的長期目標是可以實現的。

We also delivered strong revenue growth in 2023 through a combination of new program launches and successful implementation of sustainable pricing.

我們也透過新計畫的推出和永續定價的成功實施，在 2023 年實現了強勁的收入成長。

Overall, our total sales increased by 12%, significantly outpacing industry production.

總體而言，我們的總銷售額成長了 12%，大大超過了產業產量。

I want to thank our commercial team for their achievements during the year as they worked closely with our customers to ensure we receive fair value for the products and services we provide.

我要感謝我們的商業團隊在這一年中所取得的成就，他們與客戶密切合作，確保我們提供的產品和服務獲得公平的價值。

In addition to the top-line growth, we had another solid year in improving operating efficiencies.

除了營收成長之外，我們在提高營運效率方面又取得了堅實的一年。

Our manufacturing and purchasing teams combined to deliver $56 million in cost savings through defined lean programs and initiatives.

我們的製造和採購團隊透過明確的精實計畫和措施總共節省了 5,600 萬美元的成本。

Combining increased operating efficiencies with our enhanced commercial agreements, we were able to more than offset continuing inflation headwinds and deliver over 500 basis points of improvement in gross margin for the year.

將營運效率的提高與增強的商業協議相結合，我們不僅能夠抵消持續的通膨不利因素，而且今年的毛利率提高了 500 個基點。

Importantly, the margin expansion is continuing in all of our operating segments.

重要的是，我們所有營運部門的利潤率都在持續擴大。

And for the first time, all four segments were profitable at the EBITDA level for the full year.

這四個部門首次在全年的 EBITDA 水準上實現盈利。

We've made a lot of progress over the past two years, but we recognize we have more work to do.

過去兩年我們取得了很大進展，但我們意識到我們還有更多工作要做。

We expect to build on the successes of 2023 to drive further value for all of our stakeholders in 2024.

我們期望在 2023 年取得成功的基礎上，在 2024 年為所有利害關係人帶來更多價值。

Turning to page 6.

翻到第6頁。

Complementing our focus on manufacturing efficiency and customer service excellence is our commitment to doing business the right way, with uncompromised honesty, transparency, and integrity.

我們致力於以正確的方式開展業務，並保持毫不妥協的誠實、透明和正直，與我們對製造效率和卓越客戶服務的關注相輔相成。

This is one of our core values, is an important component of our overall company culture.

這是我們的核心價值之一，也是我們整體公司文化的重要組成部分。

It's who we are.

這就是我們。

Several weeks ago, we were pleased to once again be named to Newsweek's list of America's most responsible companies.

幾週前，我們很高興再次入選《新聞週刊》美國最負責任的公司名單。

We see this type of recognition as an external acknowledgment of the quality of our company culture and how we conduct ourselves every day.

我們將這種類型的認可視為對我們公司文化品質以及我們日常行為方式的外部認可。

We believe our culture is key to recruiting and retaining the best talent in our industry.

我們相信我們的文化是招募和留住業界最優秀人才的關鍵。

And further, when combined with world-class technology and customer service, it's an important factor in winning and retaining business from our customers around the world.

此外，與世界一流的技術和客戶服務相結合，它是贏得和保留世界各地客戶業務的重要因素。

Now, let me turn the call over to Jon to review the financial details of the quarter.

現在，讓我將電話轉給喬恩，以審查本季的財務詳細資訊。

Thanks, Jeff, and good morning, everyone.

謝謝傑夫，大家早安。

In the next few slides, I'll cover the details of our quarterly and full-year financial results, put some context around some of the key items that impacted earnings, and then provide some color on our cash flow, balance sheet, and liquidity.

在接下來的幾張幻燈片中，我將介紹我們的季度和全年財務業績的詳細信息，介紹一些影響收益的關鍵項目的背景信息，然後對我們的現金流、資產負債表和流動性提供一些說明。

So please turn to slide 8.

請翻到幻燈片 8。

On slide 8, we show a summary of our results for the fourth quarter and full year 2023 with comparisons to the prior year.

在投影片 8 上，我們展示了 2023 年第四季和全年的業績摘要，並與前一年進行了比較。

Fourth-quarter 2023 sales totaled $673.6 million, an increase of 3.7% versus the fourth quarter of last year.

2023 年第四季銷售額總計 6.736 億美元，較去年第四季成長 3.7%。

We were able to achieve this growth despite the lost sales related to the UAW work stoppage and the sale of our technical rubber business in Europe, as well as our share of a joint venture in Asia earlier this year -- or earlier last year.

儘管由於 UAW 停工和出售我們在歐洲的技術橡膠業務以及今年早些時候或去年早些時候我們在亞洲合資企業的份額而導致銷售損失，但我們仍然能夠實現這一增長。

Adjusted EBITDA for the fourth quarter 2023 was $27.6 million or 4.1% of sales, essentially in line with our results for the fourth quarter of 2022 despite the impacts of the strike.

2023 年第四季調整後 EBITDA 為 2,760 萬美元，佔銷售額的 4.1%，儘管受到罷工的影響，但與我們 2022 年第四季的業績基本一致。

On a US GAAP basis, we incurred a net loss of $55.2 million in the fourth quarter.

根據美國公認會計原則，我們第四季淨虧損 5,520 萬美元。

This included certain non-cash charges for pension settlements, restructuring, and asset impairments.

這包括退休金結算、重組和資產減損的某些非現金費用。

Excluding these and other special items, we incurred an adjusted net loss of $31.1 million or $1.79 per diluted share for the fourth quarter of 2023.

排除這些和其他特殊項目，我們在 2023 年第四季的調整後淨虧損為 3,110 萬美元，即稀釋後每股虧損 1.79 美元。

This compared to an adjusted net loss of $31.9 million or $1.85 per diluted share in the fourth quarter of 2022.

相比之下，2022 年第四季調整後淨虧損為 3,190 萬美元，即稀釋後每股虧損 1.85 美元。

For the full year 2023, our sales totaled $2.8 billion, an increase of 11.5% versus 2022.

2023 年全年，我們的銷售額總計 28 億美元，比 2022 年成長 11.5%。

Again, the main drivers of the increase were favorable volume and mix and our new enhanced commercial agreements, with the UAW strike and the divestitures being partial offsets.

同樣，成長的主要驅動因素是有利的銷售和組合以及我們新的增強型商業協議，UAW 罷工和資產剝離被部分抵消。

Adjusted EBITDA for the year came in at $167.1 million compared to $37.9 million for the full year 2022.

全年調整後 EBITDA 為 1.671 億美元，而 2022 年全年為 3,790 萬美元。

Favorable volume and mix, including sustainable price adjustments and inflation recoveries; improved operational efficiencies; and lower raw material costs were the key drivers of the improvement.

有利的數量和組合，包括可持續的價格調整和通膨復甦；提高營運效率；原料成本的降低是這項改善的關鍵驅動力。

Continuing inflationary pressures, unfavorable foreign exchange, and higher performance-related compensation were partial offsets.

持續的通膨壓力、不利的外匯以及更高的績效薪酬都部分抵消了這一影響。

Full-year net loss was $202 million.

全年淨虧損為 2.02 億美元。

This included the loss we incurred on refinancing and extinguishment of debt, restructuring expenses, pension settlement charges, and other special items.

這包括我們因再融資和債務清償、重組費用、退休金結算費用和其他特殊項目而產生的損失。

Adjusted for the net impact of these items, we incurred a net loss for the year of $82.3 million or $4.74 per diluted share.

根據這些項目的淨影響進行調整後，我們當年的淨虧損為 8,230 萬美元，即稀釋後每股 4.74 美元。

This is a significant improvement when compared to the adjusted net loss of $171.5 million or $9.98 per diluted share we recorded in 2022.

與我們 2022 年記錄的調整後淨虧損 1.715 億美元或稀釋後每股 9.98 美元相比，這是一個顯著的改善。

From a CapEx perspective, we spent $80.7 million in 2023, which is around 2.9% of sales.

從資本支出的角度來看，我們在 2023 年花費了 8,070 萬美元，約佔銷售額的 2.9%。

This compared to CapEx of $71 million or 2.8% of sales in 2022.

相較之下，2022 年資本支出為 7,100 萬美元，佔銷售額的 2.8%。

Moving to slide 9.

轉到投影片 9。

The charts on slide 9 and 10 quantifies the significant drivers of the year-over-year changes in our sales and adjusted EBITDA for the fourth quarter and the full year, respectively.

投影片 9 和 10 上的圖表分別量化了第四季度和全年銷售額和調整後 EBITDA 同比變化的重要驅動因素。

For sales in the fourth quarter, favorable volume and mix, including customer price adjustments and recoveries, increased sales by $25 million.

對於第四季的銷售而言，有利的銷售和組合（包括客戶價格調整和恢復）使銷售額增加了 2500 萬美元。

This was net of approximately $31 million in lost sales related to the UAW strike.

這還不包括與 UAW 罷工相關的約 3,100 萬美元的銷售損失。

Foreign exchange added $11 million, while divestitures were an offset of $11 million.

外匯交易增加了 1,100 萬美元，而資產剝離則抵銷了 1,100 萬美元。

for adjusted EBITDA, favorable volume and mix, including price adjustments and inflation recoveries, added $8 million in the quarter.

對於調整後的 EBITDA 而言，有利的數量和組合（包括價格調整和通膨復甦）在本季度增加了 800 萬美元。

This was net of approximately $10 million from lost volume related to the UAW strike.

這扣除了與 UAW 罷工相關的約 1000 萬美元的銷售損失。

Manufacturing and purchasing efficiencies accounted for another $15 million of the improved results.

製造和採購效率提高了 1500 萬美元。

These improvements were offset by $17 million of general inflation, such as wage increases and higher energy expenses, and $12 million in other items, including certain year-end accrual adjustments.

這些改善被 1700 萬美元的總體通膨（例如工資上漲和能源支出增加）以及 1200 萬美元的其他項目（包括某些年終應計調整）所抵消。

Moving to slide 10.

轉到投影片 10。

For the full year, favorable volume and mix, net of customer price adjustments and recoveries, increased our sales by $315 million.

全年而言，良好的銷售和產品組合（扣除客戶價格調整和恢復後）使我們的銷售額增加了 3.15 億美元。

The full-year sales impact of the UAW strike, which is included here, was approximately $34 million.

UAW 罷工對全年銷售額的影響（包括在此）約為 3,400 萬美元。

Unfavorable foreign exchange impacted sales by $5 million, and the divestiture of our technical rubber business in Europe as well as our share of a joint venture in Asia further offset sales growth by $20 million, combined.

不利的外匯匯率影響了銷售額 500 萬美元，而我們在歐洲的技術橡膠業務的剝離以及我們在亞洲合資企業的股份進一步抵消了銷售額增長 2000 萬美元。

For full-year adjusted EBITDA, the positive factors included $171 million from improved volume and mix, including customer price adjustments and inflation recoveries; $56 million from improved manufacturing and purchasing efficiencies; and $25 million in lower material costs.

對於全年調整後 EBITDA 而言，積極因素包括來自數量和組合改善的 1.71 億美元，其中包括客戶價格調整和通膨復甦； 5,600 萬美元來自提高製造和採購效率；材料成本降低 2500 萬美元。

These improvements were partially offset by $65 million in higher wages and general inflation; $18 million in unfavorable exchange; and $40 million in other items, including higher performance-based compensation year over year.

這些改善被 6,500 萬美元的工資上漲和整體通膨部分抵消； 1800萬美元的不利交換； 4000萬美元用於其他項目，包括逐年提高的基於績效的薪酬。

The EBITDA impact of the UAW strike was approximately $11 million, which we included in the volume and mix category.

UAW 罷工對 EBITDA 的影響約為 1,100 萬美元，我們將其納入數量和組合類別。

Moving to slide 11.

轉到投影片 11。

We were pleased to end the year with strong free cash flow of $62 million in the fourth quarter.

我們很高興以第四季度 6200 萬美元的強勁自由現金流結束了這一年。

Net cash provided by operating activities was $79.7 million, an increase of $105.5 million compared to the same period last year.

經營活動提供的現金淨額為7,970萬美元，較去年同期增加1.055億美元。

The increase was driven primarily by improved net cash earnings and changes in working capital as we were able to leverage the more stable production environment versus the prior year to better optimize inventories and accounts receivable, as well as focusing on the collection of customer tooling receivables.

這一成長主要是由於淨現金收益的改善和營運資本的變化，因為我們能夠利用比上一年更穩定的生產環境來更好地優化庫存和應收帳款，並專注於客戶模具應收帳款的催收。

Capital expenditures came in at $17.6 million for the quarter, as we continue our intense focus on cash preservation and improving asset utilization.

本季的資本支出為 1,760 萬美元，我們繼續高度關注現金保存和提高資產利用率。

With cash on hand of $154.8 million and an additional $162.4 million of availability on our revolving credit facility, we ended the year with total liquidity of $317.2 million.

憑藉手頭現金 1.548 億美元和循環信貸額度的額外可用資金 1.624 億美元，我們年底的流動資金總額為 3.172 億美元。

Based on our current outlook and expectations for light vehicle production, improving operating efficiencies, and somewhat moderating inflation pressures, we believe our current cash on hand, expected future cash generation, and access to flexible credit facilities will provide ample resources to make required interest payments and support our ongoing operations.

根據我們目前對輕型汽車生產、營運效率提高和通膨壓力有所緩解的前景和預期，我們相信我們當前的手頭現金、預期的未來現金生成以及獲得靈活信貸便利的機會將提供充足的資源來支付所需的利息並支持我們持續的營運。

That concludes my prepared comments.

我準備好的評論到此結束。

So let me turn it back over to Jeff.

所以讓我把它轉回給傑夫。

Thanks, Jon.

謝謝，喬恩。

And to wrap up our discussion this morning, I want to share a few thoughts regarding our near-term and longer-term outlook and why I remain extremely optimistic about our opportunities ahead.

為了結束今天早上的討論，我想分享一些關於我們的近期和長期前景的想法，以及為什麼我對我們未來的機會仍然非常樂觀。

Moving to slide 13.

轉到投影片 13。

One reason I'm optimistic is our culture of innovation and our success in bringing new technologies to market.

我樂觀的原因之一是我們的創新文化以及我們將新技術推向市場的成功。

In 2023, we were awarded $176 million in new business associated with our innovation products.

2023 年，我們獲得了 1.76 億美元的與我們的創新產品相關的新業務。

We believe the reason is clear.

我們相信原因很清楚。

We're adding value for our customers through new product innovations that solve technical challenges and help them achieve their sustainability objectives.

我們透過新產品創新為客戶增加價值，解決技術挑戰並幫助他們實現永續發展目標。

Our digital tools and technologies are helping us bring new ideas and solutions into the market faster than ever before.

我們的數位工具和技術正在幫助我們比以往更快地將新想法和解決方案推向市場。

And we're pushing to even go faster not necessarily because our customers' demand that would be faster, but because our technological advancements enable them to be faster.

我們正在推動甚至更快，不一定是因為我們的客戶要求更快，而是因為我們的技術進步使他們能夠更快。

More than ever, our innovations, digital tools, and technical capabilities are driving opportunities and extending our competitive advantage.

我們的創新、數位工具和技術能力比以往任何時候都更能創造機會並擴大我們的競爭優勢。

As always, we want to thank our customers for their continued trust and support.

一如既往，我們要感謝客戶一直以來的信任與支持。

Turning to slide 14.

轉到投影片 14。

One of the innovations we've recently introduced is the integrated coolant manifold.

我們最近推出的創新之一是整合式冷卻液歧管。

We have already sold this technology to a major customer for application on a significant electric vehicle platform, but it is adaptable to all types of vehicle, ice, hybrid, or battery electric.

我們已將該技術出售給一家主要客戶，用於重要的電動車平台上的應用，但它適用於所有類型的車輛，包括冰車、混合動力車或電池電動車。

The use of the manifold provides an elegant but simplified fluid delivery configuration that reduces assembly connections, helps stabilized fluid pressures, and allows for enhanced airflow to optimize thermal management.

歧管的使用提供了一種優雅但簡化的流體輸送配置，可減少組件連接，有助於穩定流體壓力，並允許增強氣流以優化熱管理。

This technology can be paired with our new eCoFlow Technology to drive even further efficiencies within the thermal management system.

該技術可與我們的新 eCoFlow 技術搭配使用，以進一步提高熱管理系統的效率。

And while these technologies solve problems and reduce costs for our customers, they create increased content per vehicle and growth opportunity for Cooper-Standard.

雖然這些技術為我們的客戶解決了問題並降低了成本，但它們為每輛車創造了更多的內容，並為庫柏標準創造了成長機會。

Turning to slide 15.

轉到投影片 15。

In our sealing business, a rapidly growing innovation is our FlushSeal Technology.

在我們的密封業務中，快速成長的創新是我們的 FlushSeal 技術。

FlushSeal offers enhanced vehicle aesthetics and improved aerodynamics with only minor changes to the traditional door architecture.

FlushSeal 僅需對傳統車門結構進行微小改動，即可增強車輛美感並改善空氣力學性能。

The technology was recognized as a finalist in the Society of Plastics Engineers Automotive Innovation Awards last year.

該技術去年入圍塑膠工程師協會汽車創新獎決賽。

But more importantly than industry awards are the customer program awards.

但比業界獎項更重要的是客戶計畫獎。

We've already received contract awards for this technology on nine customer programs, with more on the way.

我們已經在九個客戶專案中獲得了這項技術的合同，更多合約即將簽訂。

These program awards with a variety of new and well-established OEMs around the globe.

這些計劃授予全球各種新的和成熟的原始設備製造商。

Turning to slide 16.

轉到投影片 16。

We're pleased to recently announce that we had expanded our Fortrex license agreement in the footwear industry and to finally be able to disclose that our partner in that agreement is NIKE.

我們很高興最近宣布，我們已擴大了鞋類產業的 Fortrex 授權協議，並最終能夠透露該協議中我們的合作夥伴是 NIKE。

As we disclosed in that announcement, the expanded agreement grants NIKE a limited exclusivity for the use of Fortrex in the footwear industry.

正如我們在該公告中所披露的，擴大後的協議授予 NIKE 在鞋類行業使用 Fortrex 的有限獨家權。

It also allows NIKE to develop their own proprietary extensions of Fortrex technology for potential use in additional product lines and applications.

它還允許 NIKE 開發自己的 Fortrex 技術專有擴展，以便在其他產品線和應用中使用。

The volume-based financial terms of the agreement remain in place.

該協議基於數量的財務條款仍然有效。

So as NIKE expands their use of Fortrex, it creates upside financial opportunity for Cooper-Standard.

因此，隨著 NIKE 擴大 Fortrex 的使用，它為 Cooper-Standard 創造了上升的財務機會。

We believe this expanded agreement is further validation of the significant potential opportunities that our Fortrex technology offers.

我們相信，這項擴大的協議進一步驗證了我們的 Fortrex 技術所提供的重大潛在機會。

Of course, we're also continuing our own development of new versions of Fortrex for automotive applications, including MicroDense Fortrex and ED65 Fortrex that offer lower weight, improved compression set, increased design flexibility, and advantaged carbon footprints.

當然，我們也正在繼續自行開發適用於汽車應用的新版本 Fortrex，包括 MicroDense Fortrex 和 ED65 Fortrex，它們具有更輕的重量、改進的壓縮永久變形、更高的設計靈活性和有利的碳足跡。

Our enhanced Fortrex automotive portfolio will be rolling out to the markets this year and next year, which will be key to capturing additional sales and market share in automotive sealing.

我們增強的 Fortrex 汽車產品組合將於今年和明年推向市場，這對於獲得汽車密封領域的額外銷售和市場份額至關重要。

Turning to slide 17.

轉到投影片 17。

In 2023, our industrial and specialty group made significant progress in optimizing that business and setting the stage for accelerated profitable growth.

2023 年，我們的工業和特種集團在優化業務並為加速獲利成長奠定基礎方面取得了重大進展。

This business, like many others, faced several challenges in the aftermath of the pandemic.

與許多其他企業一樣，該企業在疫情大流行之後也面臨一些挑戰。

Supply chains were disrupted, tight labor markets led to high employee turnover and reduced productivity in our plant, and market demand for industrial products, frankly, was weak.

供應鏈受到干擾，勞動市場緊張導致員工流動率高，工廠生產力下降，工業產品的市場需求也疲軟。

The ISG team has done a great job in resolving these issues, and they are now in the process of executing a new, advanced marketing strategy to leverage digital marketing techniques to regain and expand market share.

ISG 團隊在解決這些問題方面做得非常出色，他們現在正在執行一項新的、先進的行銷策略，以利用數位行銷技術來重新獲得和擴大市場份額。

Key markets in focus are the high growth industrial segments of heating, ventilation and air conditioning, major appliances, agricultural, and construction.

重點關注的主要市場是暖氣、通風和空調、大型家電、農業和建築等高成長工業領域。

In addition, ISG is leveraging all of the best manufacturing practices and digital tools that have been developed and deployed to optimize our automotive operations.

此外，ISG 正在利用已開發和部署的所有最佳製造實踐和數位工具來優化我們的汽車營運。

With these operational improvements in place, we expect ISG to achieve an average growth rate in excess of over 20% the next three years and deliver adjusted EBITDA margins well in excess of 10% over that same period.

透過這些營運改進，我們預計 ISG 在未來三年內將實現超過 20% 的平均成長率，並實現同期調整後 EBITDA 利潤率遠超過 10%。

Turning to slide 18.

轉到投影片 18。

The successful turnaround of ISG is part of our continuing focus on controlling costs and optimizing our operations globally.

ISG 的成功轉虧為盈是我們持續專注於控製成本和優化全球營運的一部分。

We've made excellent progress in reducing fixed costs, which we expect to leverage to drive increasing profitability, as global production volumes continue to ramp up.

我們在降低固定成本方面取得了巨大進展，隨著全球產量的持續增加，我們預計將利用固定成本來推動獲利能力的提高。

We're maintaining our commitment to fix unprofitable businesses and concentrate company resources in the area that provide the greatest opportunities for future growth and improved cash flow.

我們將繼續致力於修復不獲利的業務，並將公司資源集中在為未來成長和改善現金流提供最大機會的領域。

In some cases, the best opportunity for improving cash flow may be through exiting a business.

在某些情況下，改善現金流的最佳機會可能是退出企業。

As we have done in the past, that remains an option as well.

正如我們過去所做的那樣，這仍然是一種選擇。

Turning to slide 19.

轉到投影片 19。

To conclude this morning, let me provide a little color on the guidance we published in our press release yesterday afternoon.

作為今天早上的總結，讓我對我們昨天下午在新聞稿中發布的指導意見進行一些說明。

Our expectations for 2024 are for further margin expansion and more modest top-line growth.

我們對 2024 年的預期是利潤率進一步擴大，營收成長更加溫和。

Current forecasts suggest that global light vehicle production will be similar to last year.

目前的預測表明，全球輕型汽車產量將與去年相似。

With our strong customer mix, new program launches, and increasing content per vehicle, we expect our growth to outpace the industry in each of our key markets.

憑藉我們強大的客戶組合、新項目的推出以及每輛車內容的增加，我們預計我們的成長速度將在每個關鍵市場超過該行業。

We also expect to drive further cost savings through improved operating efficiencies and lean initiatives that will enable us to offset continued inflationary pressures.

我們也希望透過提高營運效率和精益措施進一步節省成本，從而抵消持續的通膨壓力。

To achieve our targets for the year, we need to continue to deliver world-class products and services and successfully negotiate with our customers to renew the small portion of our commercial agreements that don't automatically carry forward from last year.

為了實現今年的目標，我們需要繼續提供世界級的產品和服務，並與客戶成功談判，續簽去年不會自動延續的一小部分商業協議。

I'm confident that we will.

我相信我們會的。

Looking out beyond 2024, we see a lot of positive data points today that suggests significant upside opportunity for the automotive industry overall and for Cooper-Standard, specifically, in the coming years.

展望 2024 年以後，我們今天看到了許多積極的數據點，這些數據表明整個汽車行業以及庫珀標準在未來幾年將面臨巨大的上昇機會。

Record numbers of new licensed drivers; record high average age of the vehicle fleet in the US; light vehicle inventories that, despite recent improvements, remain well below historical averages all suggest consumer demand for new cars will remain strong and production will have to increase to keep up.

新獲得駕照的司機數量創歷史新高；美國車隊平均車齡創歷史新高；儘管近期有所改善，但輕型汽車庫存仍遠低於歷史平均水平，這一切都表明消費者對新車的需求將保持強勁，而產量必須增加才能跟上。

With these supportive dynamics.

有了這些支持動力。

I'm increasingly confident that we can and will achieve our longer-term targets for profit margins and return on investment.

我越來越有信心，我們能夠而且將會實現利潤率和投資回報的長期目標。

Operator, let's open the lines for questions.

接線員，讓我們開始提問吧。

Thank you, sir.

謝謝你，先生。

(Operator Instructions) Kirk Ludtke, Imperial Capital.

（操作員指示）柯克·路特克，帝國首都。

Hello, Jeff, Jon, Roger.

你好，傑夫、喬恩、羅傑。

Thank you for the call.

謝謝您的來電。

Hey, Kirk.

嘿，柯克。

Maybe on slide 19, maybe that's the best place to start.

也許在幻燈片 19 上，也許這是最好的起點。

So the guidance is essentially, flat revenue on flat production.

因此，指導意見本質上是產量不變、收入不變。

Just wondering if maybe you could elaborate on the [10 million] in the bridge, volume mixed price.

只是想知道您是否可以詳細說明橋樑中的[1000萬]，批量混合價格。

Are all three of those components positive?

這三個部分都是正面的嗎？

Is there -- can you give us any color as to how big each piece is?

您能給我們任何顏色來表示每塊有多大嗎？

Hey, Kirk.

嘿，柯克。

It's Jon.

這是喬恩。

While it's a small number, there is a lot going on in those -- in that one column.

雖然這個數字很小，但在那一欄中發生了很多事情。

The comments that Jeff made, prepared wise, is that we're going to be growing in excess of the regional markets with which we operate.

傑夫的評論是經過精心準備的，我們的成長將超過我們經營的區域市場。

So suffice it to say that our volumes in and of themselves will be positive.

可以說我們的銷售本身就是正面的。

And then we continue to have some work to do with enhancing our commercial agreements on a go-forward basis as well.

然後，我們也將繼續進行一些工作，以進一步加強我們的商業協議。

But that also comes back with the traditional contractual environment within which we operate here in the auto space as far as giving money back to our customers each year.

但這也伴隨著我們在汽車領域營運的傳統合約環境，每年都會向客戶回饋資金。

So there's some puts and takes when you when you think about the price area overall.

因此，當您考慮整體價格區域時，會有一些看跌期權和賣出選擇權。

Mix, we're seeing different mix components as far as the types of vehicles being manufactured in each of the regions.

混合，我們看到每個地區生產的車輛類型不同。

That's inherent in the S&P global view of the world as well as what our customers are telling us is going to be built in 2024.

這是標準普爾全球視野中固有的，也是我們的客戶告訴我們將在 2024 年建造的。

So you do see some regional differences as well as the type of platform, whether it's SUV, CUV, light duty trucks.

所以你確實會看到一些地區差異以及平台類型，無論是 SUV、CUV、輕型卡車。

But then there's also a significant component of EV launches that continue to come online and be an important part of the year-over-year story.

但電動車發布中還有一個重要組成部分繼續上線，並成為逐年故事的重要組成部分。

Got it.

知道了。

Thank you.

謝謝。

That's helpful.

這很有幫助。

With respect to the production schedule, is it the norm -- the cadence for 2024, is it the same seasonality or do you think it's different this year?

關於生產計劃，是常態嗎——2024年的節奏，是同樣的季節性還是你認為今年有所不同？

Hi Kirk.

嗨柯克。

It's Jeff.

是傑夫。

I think it's predicted to be more normal.

我認為預計會更正常。

So I guess that's a slow start in the first quarter and coming on as you go through the year is kind of how I would describe it.

所以我想第一季的起步很慢，隨著這一年的發展，我會這樣描述它。

Clearly, our light vehicle production units and the guidance that we've used for 2024, you can see there, continue to be a bit conservative, I guess, is how I would describe it.

顯然，我們的輕型汽車生產單位和我們在 2024 年使用的指導，你可以看到，仍然有點保守，我想，這就是我的描述。

But the good news is we have truly reduced our overall cost base, especially our fixed cost, and we are prepared to make significant margin improvements even on those lower volumes.

但好消息是，我們確實降低了整體成本基礎，特別是固定成本，即使在銷售量較低的情況下，我們也準備大幅提高利潤率。

So based on my prepared remarks, you can tell -- I'm sure you know that the industry is -- we believe there's significant pent up demand.

因此，根據我準備好的發言，您可以看出 - 我相信您知道這個行業 - 我們相信存在大量被壓抑的需求。

We believe that many of the other metrics regarding consumers and their appetite and interest in buying vehicles going forward continues to be positive.

我們相信，有關消費者及其未來購買車輛的興趣和興趣的許多其他指標仍然是積極的。

So at some point, we expect the volumes to begin to reflect that.

因此，在某個時候，我們預計銷售將開始反映出這一點。

But in the meantime, we've chosen to be a bit conservative there ourselves.

但同時，我們自己也選擇了保守一點。

Got it.

知道了。

That's helpful.

這很有幫助。

Thank you.

謝謝。

On slide 13, you mentioned net new business of $176 million.

在投影片 13 中，您提到了 1.76 億美元的淨新業務。

Can you elaborate on that a little bit?

能詳細說明一下嗎？

And I'm assuming that the net number is -- are your market shares stable?

我假設淨數字是──你們的市佔率穩定嗎？

Yeah, just to clarify, Kirk.

是的，只是為了澄清一下，柯克。

The $176 million is simply innovation, new innovation sales.

1.76 億美元只是創新，新創新的銷售量。

We tried to capture that to make the point that sometimes, when people talk about innovation, it's going to be the future.

我們試圖抓住這一點，以表明有時當人們談論創新時，創新將是未來。

And our point is that we have been capturing significant new business on innovation sales.

我們的觀點是，我們一直在創新銷售方面獲得重要的新業務。

We highlighted several of those innovations this year or today that will impact this year's net new business as well as next year's just to make the point that we have the ability to differentiate ourselves in the market.

我們今年或今天重點介紹了其中幾項創新，這些創新將影響今年以及明年的淨新業務，只是為了表明我們有能力在市場上脫穎而出。

So as new programs come out for bid, as replacement programs come out for bid, we don't believe we're a me-too supplier.

因此，當新項目競標時，當替代項目競標時，我們不相信自己是一個效仿的供應商。

We are offering significant ways for our customers to improve the overall efficiency of their assembly, to reduce overall costs, and to improve the performance.

我們為客戶提供重要的方法來提高組裝的整體效率、降低整體成本並提高效能。

And we don't have to think that we know that because we're booking business today with that calling card.

我們不必認為我們知道這一點，因為我們今天用那張電話卡預訂業務。

So we're really proud of that.

所以我們對此感到非常自豪。

I think as we go forward, our content per vehicle on these future launches will definitely reflect this increased content.

我認為，隨著我們的前進，我們未來發布的每輛車的內容肯定會反映這種增加的內容。

So I don't know if that answers your question, but that's kind of the point we were making today.

所以我不知道這是否回答了你的問題，但這就是我們今天要表達的觀點。

Okay, that's helpful.

好的，這很有幫助。

And with respect to market shares, do you feel like you're stable?

至於市場份額，您覺得穩定嗎？

We do.

我們的確是。

Got it.

知道了。

And then last question you mentioned that there may be some addition by subtraction opportunities here in terms of exiting businesses that are consuming cash.

然後你提到的最後一個問題，就退出消耗現金的業務而言，這裡可能存在一些加減法的機會。

Can you give us a sense for what the -- I guess is it negative EBITDA -- negative EBITDA was in those businesses last year?

您能否讓我們了解一下去年這些業務中的負 EBITDA（我猜是負 EBITDA）是什麼？

Sure, Kirk.

當然，柯克。

This is Jeff again.

這又是傑夫。

I think that the best news is that for the first time in our company's history, I think -- certainly, I can speak for the last 12 years or so.

我認為最好的消息是，我認為，在我們公司歷史上，這是第一次——當然，我可以在過去 12 年左右的時間裡發言。

This is the first time that every one of our regions has made a positive EBITDA and cash flow contribution to the company.

這是我們每個地區第一次為公司做出積極的 EBITDA 和現金流貢獻。

So I think that shows that the focus we've had on either exiting because we have or fixing because we certainly have and kept them, that that works.

所以我認為這表明我們的重點是要么退出，因為我們已經擁有，要么修復，因為我們確實擁有並保留它們，這是有效的。

And there's a lot of complexity that goes into that.

這其中有很多複雜性。

I mean certainly, customers have a vote, one way or the other.

我的意思是，客戶當然有投票權，無論是哪種方式。

We certainly have a vote, one way or the other.

我們當然有投票權，不管怎樣。

And I think we'll just continue to march our way through country by country, product by product; continue to look at the business in several different dimensions to ensure that we're operating at the lowest cost possible for us, at the same time, reflecting the desire of our customers to pay us a fair price for what we're providing.

我認為我們將繼續逐個國家、逐個產品地前進；繼續從幾個不同的維度審視業務，以確保我們以盡可能最低的成本運營，同時反映我們的客戶為我們所提供的產品支付合理價格的願望。

And that's kind of the approach we've taken.

這就是我們採取的方法。

We're very grateful that our customers continue to support us and trust us.

我們非常感謝客戶繼續支持我們並信任我們。

And our execution is what determines that, right?

我們的執行力決定了這一點，對嗎？

I mean, I'm sure they like us.

我的意思是，我確信他們喜歡我們。

But the real fact is we execute, and that's why we're winning business.

但真正的事實是我們執行，這就是我們贏得業務的原因。

And so I think that'll continue.

所以我認為這種情況會持續下去。

And I don't have a list, to answer your question, of businesses that we will -- that we plan on exiting.

我沒有一份清單來回答你的問題，列出我們要退出的企業。

We clearly continue to look at the evolving markets.

我們顯然會繼續關注不斷變化的市場。

We're looking at the customer makeup of the company going forward and where that growth is going to come from.

我們正在研究公司未來的客戶組成以及成長的來源。

And we'll make appropriate decisions regarding our footprint based on where those growth opportunities are and make sure that we continue to drive return on invested capital higher.

我們將根據這些成長機會的所在，就我們的足跡做出適當的決定，並確保我們繼續提高投資資本回報率。

In all of the plans that we have in place today, we'll do that.

在我們今天制定的所有計劃中，我們都會這樣做。

Wonderful.

精彩的。

I appreciate it.

我很感激。

Thank you.

謝謝。

You bet.

你打賭。

Thanks for the question.

謝謝你的提問。

(Operator Instructions) Michael Ward, Freedom Capital.

（操作員說明）Michael Ward，Freedom Capital。

Hello, good morning everyone.

大家早安。

Jeff, maybe we can start with NIKE and what you have there.

傑夫，也許我們可以從耐吉和你那裡擁有的東西開始。

Limited exclusivity, could you define that a little bit?

有限的排他性，能稍微定義一下嗎？

And then also, when you say volume-based financial terms, can you provide any definition for that?

然後，當您提到基於數量的財務術語時，您能否提供任何定義？

Hi.

你好。

Good morning, Mike.

早上好，麥克。

Thanks for the question.

謝謝你的提問。

This is Jeff.

這是傑夫。

Simplest way for me to describe this deal is NIKE asked us to put together a deal that would allow them to go faster in developing products across their portfolio.

對我來說，描述這筆交易的最簡單的方式是，耐吉要求我們達成協議，使他們能夠更快地開發其產品組合中的產品。

And they felt like they were in a better position to do that faster with the proposed deal that we've agreed to.

他們覺得自己處於更好的位置，可以透過我們同意的擬議交易更快地做到這一點。

So we expect them to do that.

所以我們希望他們這樣做。

We expect that there will be significant growth opportunities for us within the Fortrex portfolio.

我們預計 Fortrex 投資組合將為我們帶來巨大的成長機會。

And when that happens, we get paid more money.

當這種情況發生時，我們會得到更多的錢。

And it's really that simple there.

事情就這麼簡單。

They're committed to the product.

他們致力於產品。

They have launched the product they plan on taking it across other lines and in this agreement allows them to go faster and hopefully allows them to grow it faster than what we were doing before.

他們已經推出了他們計劃將其推廣到其他產品線的產品，在這份協議中，他們可以更快地發展，並希望他們能夠比我們以前所做的更快地發展該產品。

Okay, so you've licensed them the chemistry, correct?

好的，所以你已經向他們授予了化學許可，對嗎？

I'm sorry, Mike.

對不起，麥克。

You broke up there.

你們在那裡分手了。

You've licensed the chemistry.

您已獲得化學許可。

You're not sending the material, just the chemistry.

您發送的不是材料，而是化學成分。

That's correct.

這是正確的。

And so right now, I think it's on two different sneakers or two different shoes.

所以現在，我認為它出現在兩隻不同的運動鞋或兩隻不同的鞋子上。

And so, are you paid on a per sneaker type basis?

那麼，您是按運動鞋類型付費的嗎？

Is that how it does it -- how they do it?

他們就是這樣做的嗎？

We have a royalty stream set up based on their volume.

我們根據其數量設定了版稅流。

So as their volume goes up over a period of time, that's how we're paid.

因此，當他們的數量在一段時間內增加時，我們就是這樣獲得報酬的。

Okay, and straight cash.

好吧，直接現金。

It's just a straight 100% margin cash flow business.

這只是一項利潤率高達 100% 的現金流業務。

That's correct.

這是正確的。

Yeah, we got no investment.

是的，我們沒有投資。

Okay.

好的。

Jon, on your page 10, when you look at the bridge on revenue and EBITDA '22 to '23, you have the volume in mix.

Jon，在你的第 10 頁上，當你查看收入和 EBITDA '22 到 '23 的橋樑時，你會看到混合的數量。

Is that where the recoveries are placed?

那是恢復的地方嗎？

Is it both on the revenue and the EBITDA side?

是在收入方面還是在 EBITDA 方面？

That's right, Mike.

沒錯，麥克。

We put them in that volume in mix columns, respectively, in both sales and adjusted EBITDA.

我們將它們分別放在銷售額和調整後 EBITDA 的混合欄中。

Okay.

好的。

And so '23 was kind of a lumpy year because you had recoveries coming back from the one or two years prior.

所以 23 年是坎坷的一年，因為你已經從前一兩年恢復過來了。

Is that correct?

那是對的嗎？

Yeah, that is.

是的，就是這樣。

The cadence wasn't ratable for sure.

節奏無法確定。

If you recall back in Q3, we had some significant agreements reached that were retroactive.

如果您還記得第三季度，我們達成了一些具有追溯力的重要協議。

So it was a little bit lumpy.

所以它有點凹凸不平。

But you can appreciate the full year is a more representative view of all those price agreements that were reached to enhance our commercial arrangements.

但您可以理解，全年是為加強我們的商業安排而達成的所有價格協議的更具代表性的觀點。

Okay.

好的。

And so now, those things are reset.

所以現在，這些事情都重置了。

So as you go into 2024 with your assumptions, that $10 million number, there's very little to no recoveries.

因此，當您按照 1000 萬美元的假設進入 2024 年時，幾乎沒有任何恢復。

Is -- are recoveries a potential upside in 2024 on EBITDA?

2024 年，復甦是否會成為 EBITDA 的潛在上行空間？

Yeah.

是的。

I mentioned that there's probably still some work to do around sustainable price in certain of our product areas, certain of our regions.

我提到，在我們的某些產品領域、某些地區，圍繞永續價格可能仍有一些工作要做。

So the team is still working diligently with our customers to make sure we're getting paid properly for the products and services we're providing.

因此，團隊仍在努力與客戶合作，以確保我們所提供的產品和服務獲得適當的報酬。

So again, some work to do there.

再說一遍，還有一些工作要做。

But the nature of the industry is always such that contractual LTAs or givebacks are inherent in the POs.

但行業的本質始終是採購訂單中固有的長期協議或返還合約。

And oftentimes, we have to overcome those.

很多時候，我們必須克服這些。

So you've got the team going to work on resetting prices but dealing with the contractual overhang as well.

因此，團隊將致力於重新調整價格，同時也處理合約懸而未決的問題。

Okay.

好的。

So right now, there's nothing really significant assumed in your assumptions for 2024.

因此，目前您對 2024 年的假設並沒有任何真正重要的假設。

Well, there's pluses and minuses, Mike.

嗯，有優點也有缺點，麥克。

So just leave it like that.

所以就這樣吧。

Right, right.

是的是的。

Okay.

好的。

As you look at -- one of the things you

當你看到——你所看到的其中一件事

--

--

Just to clarify.

只是為了澄清。

Mike, just to clarify all the deals reached, we've said in the past that what we've been able to reach agreements with our customers on, 70% to 75% of that carries over into next year.

麥克，為了澄清所有達成的交易，我們過去曾說過，我們與客戶達成的協議中的 70% 到 75% 會延續到明年。

So you're starting point is still having the benefit of those arrangements.

所以你的出發點仍然是從這些安排中受益。

Right.

正確的。

And so to what Jeff was talking about, the big lump comes in this year.

所以傑夫所說的，今年出現了大問題。

And you've been saying it for a while now that we see the benefits of the restructuring actions starting to unfold in 2024.

您已經說過一段時間了，我們看到重組行動的好處將於 2024 年開始顯現。

We're starting to see that -- that's in your projection there.

我們開始看到這一點——這就是你們的預測。

Yeah, that's correct, Mike.

是的，這是正確的，麥克。

It's Jeff.

是傑夫。

I think the best way for me to categorize all of that is that I think we have reached a point of normalcy related to the price negotiations with customers that have gone on for, I don't know, 50, 60 years.

我認為對所有這些進行分類的最佳方式是，我認為我們已經達到了與客戶進行價格談判的常態，我不知道這種談判已經持續了 50 年、60 年。

I don't see this year being an abnormal one like last year or the year before was.

我不認為今年像去年或前年那樣不正常。

So we've reset it.

所以我們重置了它。

You can see that in our margins.

您可以在我們的頁邊空白處看到這一點。

It's very clear.

非常清楚。

And it would be nice to get more volume.

如果能獲得更多的銷量那就太好了。

I'll just leave it at that.

我就這樣吧。

And just lastly, on the segment data and that corporate other, you have a big negative in Q4.

最後，在細分市場數據和公司其他數據方面，第四季出現了很大的負面影響。

And for the year, it was more of a negative compared to last few years, actually since 2018, I think.

就今年而言，與過去幾年相比，我認為實際上是自 2018 年以來，情況更為負面。

Was there anything in there?

裡面有什麼東西嗎？

Or is it lumpy year-end close?

還是年底收盤時波動較大？

What happened in that data point?

該數據點發生了什麼事？

Yeah, Mike.

是的，麥克。

We referenced the final year-end accrual true-ups that we always have to do, and one of those is incentive compensation-related matters.

我們提到了我們總是必須做的最終年終應計調整，其中之一就是與激勵薪酬相關的事項。

The lumpiness you see is -- you have to wait until the end of the year to see how the overall performance is against the commitments that are inherent in those plans.

你看到的不穩定是——你必須等到年底才能看到整體績效與這些計劃中固有的承諾的對比情況。

So that is one of the elements that are in that Q4 number.

這就是 Q4 數字中的元素之一。

The -- to be fair, that we don't charge out, if you will, all of the corporate costs and overheads, so that always remains down there as a negative line item in the segment perspective.

公平地說，如果您願意的話，我們不會收取所有公司成本和管理費用，因此在細分市場中，這些成本和管理費用始終作為負項保留在下面。

Okay.

好的。

So the last couple of years are more unusual, where you had positives on that line.

所以過去幾年比較不尋常，在這方面你有正面的一面。

Unfortunately, when there's positive adjustments, it goes against

不幸的是，當有積極的調整時，它會適得其反。

--

--

It was the other way.

事實恰恰相反。

Unfortunately, that's right.

不幸的是，這是對的。

Okay.

好的。

Really appreciate it.

真的很感激。

Thank you, everyone.

謝謝大家。

Alright, Mike.

好吧，麥克。

Thanks.

謝謝。

Ben Briggs, Sonic Financial, Inc.

本‧布里格斯 (Ben Briggs)，索尼克金融公司

Good morning, guys, and thanks for taking the questions.

早上好，夥計們，感謝您提出問題。

So I've got a few here.

所以我這裡有一些。

So as I go through your 2024 guidance, if you add those all up at the midpoint, you get to roughly free cash flow breakeven just using an EBITDA minus the cash costs kind of simple analysis.

因此，當我瀏覽你們 2024 年的指引時，如果將這些全部加到中點，只需使用 EBITDA 減去現金成本這種簡單分析，就可以大致實現自由現金流盈虧平衡。

I know that working capital was obviously a tailwind for free cash flow generation this year and especially in the fourth quarter.

我知道營運資金顯然是今年（尤其是第四季）自由現金流產生的動力。

Can you talk a little bit about what you expect working capital impact to be in fiscal '24?

您能否談談您對 24 財年營運資本影響的預期？

Yeah, Ben.

是的，本。

This is Jon.

這是喬恩。

I'll take that one.

我會接受那個。

As you can appreciate, we don't provide direct guidance on free cash flow, but your math is directional.

正如您所理解的，我們不提供有關自由現金流的直接指導，但您的數學是有方向性的。

We do see the path towards positive free cash flow overall in 2024.

我們確實看到了 2024 年整體自由現金流為正的道路。

We've made good progress in '23 to improve those working capital areas.

我們在 23 年在改善這些營運資金領域取得了良好進展。

Certainly, inventory management and the focus on collection of customer tooling receivables were a couple of big areas.

當然，庫存管理和對客戶模具應收帳款收集的關注是幾個重要領域。

So there is still some room for improvement in many of those areas.

因此，其中許多領域仍有改進的空間。

They probably won't be as significant as we saw in 2023, to be frank.

坦白說，它們可能不會像我們在 2023 年看到的那樣重要。

But the incremental cash flows will certainly come from the higher cash earnings overall, continued improvements in operating efficiencies and the volume that we're showing you here on the bridge walk across.

但增量現金流肯定來自整體現金收入的提高、營運效率的持續提高以及我們在橋上向您展示的交易量。

Okay.

好的。

Got it.

知道了。

But should we expect -- I know you don't provide direct working capital guidance.

但我們是否應該期待——我知道你們不提供直接的營運資金指引。

Should we expect to see -- do you think you're at a more normalized inventory number, I guess, right now?

我們是否應該期望看到—我想，您認為現在的庫存數字是否更加正常化？

Or do you think it should be significantly different at the end of the year?

或者你認為到年底應該會有很大的不同嗎？

Not significantly different, but there's certainly continuous improvement and optimization of those.

沒有顯著的不同，但肯定會不斷改進和優化。

The biggest challenge in the last couple of years was obviously the volatility in production schedules from our customers.

過去幾年最大的挑戰顯然是我們客戶的生產計劃的波動。

So it's really hard to continue to work to whittle those balances down when the releases are changing (inaudible) volatility.

因此，當版本正在改變（聽不清楚）波動性時，繼續努力減少這些餘額確實很困難。

So as the production environment stabilizes and things get more normalized and consistent, then we can go to work to continue to take that overall inventory balance down.

因此，隨著生產環境穩定下來，事情變得更加正常化和一致，那麼我們就可以開始努力繼續降低整體庫存平衡。

Okay.

好的。

Got it.

知道了。

Thank you.

謝謝。

And then was -- I don't think you already answered this.

然後是——我認為你還沒有回答這個問題。

But have all the -- I know there's some one-time true-ups, especially in the third quarter, from customers with one-time payments that positively impacted gross margins.

但我知道，有一些一次性的調整，特別是在第三季度，來自一次性付款的客戶對毛利率產生了積極的影響。

It didn't look to me like there were many in the fourth quarter.

在我看來，第四季的情況並不多。

Is that accurate?

準確嗎？

And can you just confirm whether or not you guys have received all the one-time true-ups that you're expecting to?

您能確認一下你們是否已經收到了你們所期望的所有一次性真實結果嗎？

Your supposition is right.

你的假設是對的。

There weren't a lot of those, quote-unquote, one-time retroactive type deals reached in Q4.

第四季達成的一次性追溯型交易並不多。

We said on the last call that around $25 million to $30 million was booked in Q3 that didn't repeat here in Q4.

我們在上次電話會議中表示，第三季預訂了大約 2,500 萬至 3,000 萬美元，第四季沒有重複。

And so once those deals were reached in September, call it, the normal payment terms would have been such that we've received all that money that was booked in Q3 in Q4 already.

因此，一旦這些交易在 9 月達成，正常的付款條件就是我們已經在第四季度收到了第三季預訂的所有資金。

So as part of the working capital elements that we're able to collect on those receivables that were recorded in Q3.

因此，作為營運資本要素的一部分，我們能夠從第三季記錄的應收帳款中收取。

Okay.

好的。

Got it.

知道了。

So not much to expect from that going forward.

因此，對未來的期望並不高。

And then finally, when should we expect the NIKE partnership to be moving the EBITDA needle?

最後，我們應該預期耐吉的合作關係何時能夠推動 EBITDA 的成長？

I know that you'd spoken a few quarters ago that it was probably not going to make a major impact in the immediate term, but I wanted to see if there is maybe any positive news there that we should expect some tailwinds from that in the next couple of years.

我知道您在幾個季度前曾說過，這可能不會在短期內產生重大影響，但我想看看是否有任何積極的消息，我們應該期待在未來幾年。

Yeah, Ben.

是的，本。

Right now, we'll just leave it as a TBD.

現在，我們將其保留為待定。

Jeff described the arrangement that NIKE has, and they want to move fast.

Jeff 描述了 NIKE 的安排，他們希望快速行動。

So we'll monitor and see how progress.

因此，我們將監控並了解進展。

And we'll be able to report those once they start cranking it up.

一旦他們開始啟動，我們就可以報告這些情況。

Okay.

好的。

All right.

好的。

I appreciate the time to take questions.

我很感謝您抽出時間接受提問。

Thanks very much.

非常感謝。

Thanks, Ben.

謝謝，本。

Brian DiRubbio, Baird.

布萊恩·迪魯比奧，貝爾德。

Good morning, gentlemen.

早安，先生們。

A few questions for me.

有幾個問題問我。

Just maybe starting off with CapEx spending.

也許只是從資本支出開始。

You used to spend more on CapEx as a percent of sales in prior years.

前幾年，您在資本支出上的支出佔銷售額的百分比較高。

How should we think about that CapEx to sales number today?

今天我們該如何看待資本支出與銷售額之比？

Is it -- do you consider sort of underspending a little bit?

您是否認為支出有點不足？

Or do you think that's the new run rate for you going forward?

或者您認為這就是您未來的新運行速度嗎？

This is Jeff.

這是傑夫。

As I think we mentioned in the last call, that 3% to 3.5%, some years, if there's a lot of launches, you could get up closer to 4%.

正如我認為我們在上次電話會議中提到的那樣，3% 到 3.5%，有些年份，如果有大量的發布，你可能會接近 4%。

But I would say this is closer to the new normal, to answer your question.

但我想說這更接近新常態，來回答你的問題。

Okay.

好的。

That's helpful.

這很有幫助。

Thank you.

謝謝。

And then just on working capital.

然後就是營運資金。

I know you're not guiding there, but I'm sort of monitoring a bunch of commodities.

我知道你不是在那裡指導，但我正在監控一堆商品。

I see still costs up pretty significantly over the last couple of months.

我發現過去幾個月成本仍然大幅上漲。

Rubber cost's up pretty significantly.

橡膠成本大幅上漲。

I guess, two parts to that.

我想，有兩個部分。

A, should we expect that a little bit of a build in working capital?

答：我們是否應該期待營運資金增加？

B, does it make sense for the company to make an investment in some of these products?

B、公司投資其中一些產品是否有意義？

The concern is prices could go higher.

人們擔心價格可能會更高。

And C -- I apologize for the multipart, but how are your contracts now structured so you can get compensated for those higher costs?

C - 我對多部分錶示歉意，但是你們的合約現在是如何構建的，以便你們能夠獲得更高成本的補償？

What's the lag in that?

這有什麼滯後？

Thank you.

謝謝。

Yeah.

是的。

Brian, I'll take the second one first.

布萊恩，我先拿第二個。

We've said in the past that we're reaching a point where most of our commodity buys are -- we've got the index agreements with our customers to recover.

我們過去曾說過，我們已經達到了大部分商品購買的地步——我們已經與客戶達成了指數協議以恢復。

And that was also in around the 70% ballpark.

這也大約在 70% 左右。

So as costs go up, then we were able to pass along that requisite amount.

因此，隨著成本上升，我們就能夠傳遞所需的金額。

The rest of it, we can negotiate as the economics change.

其餘的，我們可以隨著經濟的變化進行談判。

But that's just a general go forward.

但這只是一般性的進展。

And typically, those resets are either a quarterly or a six-month basis that we go back in.

通常，這些重置是我們每季或每六個月進行一次。

Many of them are automatic.

其中許多是自動的。

The PO just adjusts with those indices updates.

PO 只是隨著這些指數的更新而調整。

So that's kind of how we're viewing the world.

這就是我們看待世界的方式。

As far as the commodities that we're exposed to or that we're buying, we don't see a significant increase in costs in 2024, at least from the data points that we're using.

就我們接觸或購買的商品而言，我們認為 2024 年成本不會大幅增加，至少從我們使用的數據來看是如此。

It could even be a slight tailwind.

它甚至可能是一個輕微的順風。

And -- but the good news is there.

而且——但好消息就在那裡。

It's much more stable than it's been in the past couple of years.

與過去幾年相比，它穩定得多。

So not seeing a significant change in the overall commodity exposure front that would cause us to do anything differently in our business.

因此，沒有看到整體商品敞口方面發生重大變化，而這會導致我們在業務中採取不同的做法。

Got it.

知道了。

And would you -- so given that, you've no plans to make any investments in inventory at this point.

有鑑於此，您目前還沒有計劃對庫存進行任何投資。

No.

不。

Got it.

知道了。

And just a final question for me.

這只是我的最後一個問題。

Obviously, cash flow was good, but you're picking a good portion of your interest.

顯然，現金流很好，但你選擇了很大一部分利息。

As those picks roll off, I know the ones in the first [lien] does at this year, how are you thinking about the balance sheet and liquidity?

隨著這些選擇的滾動，我知道今年第一個[留置權]中的選擇，您如何看待資產負債表和流動性？

And I guess, to put it another way, is an equity raise on the table at any point?

我想，換句話說，是否會隨時進行股權融資？

Yeah.

是的。

Brian, I said in my prepared remarks that we think the cash flow generation and our continuous improvement activities to further right size the business, optimize our financial strength here going forward, is going to be adequate from a debt service standpoint.

布萊恩，我在準備好的發言中說過，從償債的角度來看，我們認為現金流的產生和我們為進一步調整業務規模、優化我們未來的財務實力而進行的持續改進活動將是足夠的。

You'll see actually today when we file our 10-K later on, we've elected a straight pay on the third lien notes for the June coupon period.

今天，當我們稍後提交 10-K 時，您實際上會看到，我們選擇直接支付 6 月息票期的第三張留置權票據。

So we're confident that the cash flows will continue to be strong, and we're able to make that decision six months in advance.

因此，我們有信心現金流將繼續強勁，我們能夠提前六個月做出決定。

So as far as going forward into '25 or '26, I'm not going to talk about any strategic road map that we're thinking about because a lot can change and a lot of execution needs to happen between now and then.

因此，就進入 25 或 26 年而言，我不會談論我們正在考慮的任何策略路線圖，因為從現在到那時，很多事情都可能發生變化，並且需要進行大量執行。

But to your point, the first and third lien non-call provisions come off Q1 of next year.

但就您而言，第一和第三留置權非贖回條款將於明年第一季生效。

So there could be opportunities there if the interest rate environment is positive.

因此，如果利率環境積極，那裡可能存在機會。

We continue to execute and have successive cash flow generation patterns in front of us.

我們繼續執行並擁有連續的現金流產生模式。

So we'll see.

所以我們拭目以待。

There's a lot to happen between now and then, but we're already thinking ahead to what it means for us going forward as the business continues to execute and grow profitably.

從現在到那時，將會發生很多事情，但我們已經在提前思考，隨著業務的持續執行和獲利成長，這對我們未來意味著什麼。

Great.

偉大的。

Appreciate all the color.

欣賞所有的顏色。

Thank you so much.

太感謝了。

Thanks, Brian.

謝謝，布萊恩。

Zohair Azmi, Beach Point Capital.

佐海爾·阿茲米 (Zohair Azmi)，海灘點首都。

Hi, thanks for taking the time.

您好，感謝您抽空。

Just a few questions for me.

只是問我幾個問題。

First, has there been any impact to the business from the supply chain disruptions with what's going on in the Red Sea?

首先，紅海發生的供應鏈中斷是否對業務產生了影響？

This is Jeff.

這是傑夫。

I think the supply chain issues that we were talking about the last couple of years have essentially been resolved.

我認為我們過去幾年討論的供應鏈問題基本上已經解決。

Does that mean in this industry that's extremely complex related to the supply chain that there aren't still some things that crop up?

這是否意味著在這個與供應鏈相關的極其複雜的行業中，仍然沒有出現一些問題？

I suppose the answer to that is there are.

我想答案是有的。

But I would say they've reached a point now where we could say that we've normalized our operations, right?

但我想說，他們現在已經達到了我們可以說我們已經正常化運作的地步，對吧？

We don't have the type of headwinds that we're dealing with.

我們沒有遇到我們正在應對的那種逆風。

And for that reason, our costs have never been lower or more competitive.

因此，我們的成本從未如此低或更具競爭力。

Our operation, from an execution point of view, is world-class.

從執行的角度來看，我們的營運是世界一流的。

The price recovery negotiations that we just went through with our customers have really restored the margin foundation that the company needs in order to create and generate the type of cash going forward that's required.

我們剛剛與客戶進行的價格恢復談判確實恢復了公司所需的利潤基礎，以便創造和產生未來所需的現金類型。

We have index agreements now that are in place that ensure that the inflation roller coaster that created some pretty big challenges for us is behind us.

我們現在已經制定了指數協議，以確保為我們帶來一些相當大挑戰的通膨過山車已經過去。

Innovation is strong; we've talked about that.

創新能力強；我們已經討論過了。

We're just waiting for a volume uplift.

我們只是在等待成交量的提升。

And when that happens, the company has never been positioned better to generate the type of free cash flow that we require going forward.

當這種情況發生時，公司將處於前所未有的有利位置，能夠產生我們未來所需的自由現金流。

So probably, the reason why our customers have been so supportive.

這可能是我們的客戶如此支持的原因。

And Jon here.

還有喬恩在這裡。

Specific to the Red Sea issue, we don't move a lot of inventory through the Suez Canal.

具體到紅海問題，我們不會透過蘇伊士運河運輸大量庫存。

While you've probably read about some of the European customers or European OEMs being impacted by their supply chains, we have not seen a material impact at all from the Red Sea issue.

雖然您可能已經了解到一些歐洲客戶或歐洲原始設備製造商受到其供應鏈的影響，但我們還沒有看到紅海問題造成任何實質影響。

Right.

正確的。

And then would you mind helping us understand the step-up in manufacturing and purchasing efficiencies this year from $56 million in 2023 to the guided $80 million?

那麼您介意幫助我們了解今年製造和採購效率從 2023 年的 5,600 萬美元提高到指導價值 8,000 萬美元嗎？

What's happening there?

那裡發生了什麼事？

Yeah.

是的。

The pipelines, if you will, Zohair, that the team is looking towards is really the sequential year-over-year improvements in their overall manufacturing operations in our purchasing area.

Zohair，如果你願意的話，團隊正在尋求的管道實際上是我們採購領域整體製造業務的逐年連續改進。

So there's continued opportunities our team sees on the purchasing side as we work towards a strategic supply base.

因此，當我們努力建立策略供應基礎時，我們的團隊在採購方面看到了持續的機會。

We commonized the supply base for economies of scale, worked with a handful of strategic suppliers instead of spreading the purchases out.

我們共享規模經濟的供應基礎，與少數戰略供應商合作，而不是分散採購。

You get more bang for your buck that way.

這樣你就能得到更多的收益。

So there's still a pipeline of opportunities that we're continuing to see and some exciting things going on as far as how we analyze how we buy product.

因此，就我們如何分析我們如何購買產品而言，我們仍然會繼續看到一系列機會，並且正在發生一些令人興奮的事情。

Similar on the manufacturing side, it's more of a year-over-year number about how we continue to get more efficient, lean out the operations from -- whether it's a product flow or a manufacturing flow standpoint.

在製造方面類似，它更多的是關於我們如何繼續提高效率、精簡營運的逐年數字——無論是從產品流程還是製造流程的角度來看。

Reductions in scrap opportunities, reductions in freight costs, and the like all kind of weigh into that.

廢品機會的減少、貨運成本的降低等都對這一點產生了影響。

So many, many areas to attack and drive the continuous improvement that you see on the page.

如此多的領域需要攻擊並推動您在頁面上看到的持續改進。

So to break it down a little bit for you discretely, it's probably about 60-40 of that $80 million that you think about manufacturing versus the purchasing lean opportunities.

因此，為您離散地細分一下，您可能會考慮 8000 萬美元中的 60-40 美元用於製造與精益採購機會。

Right.

正確的。

And then last one for me.

然後是我的最後一張。

How should we think about timing and path to get to the double-digit margin target you guys have previously highlighted?

我們該如何考慮實現你們先前強調的兩位數利潤率目標的時機和路徑？

Yeah, this is Jeff.

是的，這是傑夫。

I think if you project out two years with our current plans, that's kind of what we have -- what we've been saying and what we've circled.

我認為，如果你用我們目前的計劃來預測兩年，這就是我們所擁有的——我們一直在說的和我們已經圈定的。

Certainly could be helped getting there faster if we get volume.

如果我們獲得銷量，當然可以幫助我們更快實現這一目標。

But given the current projection from our customers as well as the people that forecast volume in the industry, it would take a couple more years of what we've seen as growth within the industry to have that line of sight.

但考慮到我們的客戶以及預測行業銷售的人士目前的預測，我們認為行業內的成長還需要幾年時間才能實現這一目標。

So that's the answer I'd give you, and we're hopeful that it's much faster if we get the volume that we believe is pent up and available.

這就是我給你的答案，我們希望，如果我們獲得我們認為被壓抑和可用的數量，速度會快得多。

All right.

好的。

To clarify, so do you think that getting to 10% margins is a couple of years out or you'll have visibility into it in a couple of years?

澄清一下，您認為要在幾年後才能達到 10% 的利潤率，還是幾年後就能看到這一點？

As I said, I think we'll be there in two years.

正如我所說，我想我們會在兩年內實現這一目標。

Okay.

好的。

And is that largely driven by volume?

這很大程度上是由數量驅動的嗎？

Or are there other major components here?

或者這裡還有其他主要組件嗎？

No, I think it's delivered by volume a bit.

不，我認為它是按體積交付的。

It's delivered by the content per vehicle related to the innovation sales that we've been talking about.

它是透過與我們一直在談論的創新銷售相關的每輛車的內容來提供的。

It's delivered by launching a business that has better margins than the business that it would replace going forward.

它是透過推出一項利潤率高於其未來將取代的業務的業務來實現的。

It's driven by being profitable in all regions, in all products that we're working our way to.

它的驅動力是在我們正在努力開發的所有地區、所有產品中實現盈利。

As we talked about at the end of this year, we're there.

正如我們在今年年底談到的那樣，我們已經做到了。

That's continuing to improve upon those margins customer by customer, country by country, product by product.

逐一客戶、逐個國家、逐個產品不斷提高這些利潤。

And we have a pretty good line of sight there.

我們在那裡有很好的視線。

And it's not cost reducing ourselves to prosperity.

這並不是為了繁榮而降低我們自己的成本。

It's really launching a lot of the new business that will have higher content, higher margins because of innovation and other things that we've done with our fixed costs.

由於創新和我們用固定成本所做的其他事情，它確實推出了許多新業務，這些業務將具有更高的內容和更高的利潤。

And then last one for me.

然後是我的最後一張。

How are you guys thinking about addressing your capital structure as the non-call period for your debt roll off?

在債務滾存的非催繳期期間，你們如何考慮解決你們的資本結構問題？

Yeah, Zohair.

是的，佐海爾。

This is Jon.

這是喬恩。

I kind of alluded to it in my response to Brian.

我在給布萊恩的回覆中有點提到了這一點。

The non-call comes off in Q1 of next year.

非呼籲將於明年第一季結束。

So we're already looking to understand the market a little bit better, see what the interest rate environment does look like.

因此，我們已經在尋求更好地了解市場，看看利率環境是什麼樣的。

But for us, in particular, right now, it's all about execution and delivering on guidance.

但對我們來說，尤其是現在，一切都與執行和提供指導有關。

And our commitments here really centers around us continuing to generate positive free cash flow and stabilize the business and take advantage of the market growth that's ahead that Jeff just described for you.

我們在這裡的承諾實際上圍繞著我們繼續產生積極的自由現金流、穩定業務並利用傑夫剛剛為您描述的未來市場成長。

So no plans to announce here for you, but we're already contemplating.

所以沒有計劃在這裡為您宣布，但我們已經在考慮了。

It's 11 months away that non-call provisions comes off.

距離非贖回條款取消還有 11 個月的時間。

So we'll see how the year progresses and have some more specific as things go on.

因此，我們將看看這一年的進展情況，並隨著事情的進展提供一些更具體的資訊。

But suffice to say, we do see opportunities ahead as the business grows profitably to bring down our overall debt service costs and go forward a little bit stronger portfolio.

但可以說的是，隨著業務的獲利成長，我們確實看到了未來的機會，可以降低我們的整體償債成本，並推進更強大的投資組合。

Alright thanks for taking that.

好的，謝謝您接受。

Thanks, Zohair.

謝謝，佐海爾。

It appears that there are no more questions.

看來沒有更多的問題了。

I would now like to turn the call back over to Roger Hendriksen.

我現在想把電話轉回給羅傑·亨德里克森。

Okay.

好的。

Thanks everybody for your participation this morning, for the good questions.

感謝大家今天早上的參與以及提出的好問題。

If there is anybody out there that didn't get a chance to ask their questions, please feel free to reach out to me directly, and we'll arrange to have those questions answered.

如果有人沒有機會提出問題，請隨時直接與我聯繫，我們將安排回答這些問題。

Again, thanks for your participation this morning.

再次感謝您今天早上的參與。

This will conclude our call.

我們的通話到此結束。

Thank you, sir.

謝謝你，先生。

Ladies and gentlemen, this concludes your conference call for today.

女士們、先生們，今天的電話會議到此結束。

We thank you for participating and ask that you please disconnect your lines.

我們感謝您的參與，並請您斷開線路。

Have a lovely day.

祝你愉快。