Crawford & Co (CRD.A) 2024 Q4 法說會逐字稿

Good morning. My name is Sylvie, and I will be your conference facilitator today. At this time, I would like to welcome everyone to the Crawford and Company fourth-quarter and full-year 2024 earnings release conference call. In conjunction with this call, a supplementary financial presentation is available on our website at www.crawco.com under the Investor Relations section. (Operator Instructions) As a reminder today, ladies and gentlemen, this call is being recorded. And it is March 4, 2025.

早安.我叫西爾維 (Sylvie)，今天我將擔任你們的會議主持人。現在，我歡迎大家參加克勞福德公司 2024 年第四季和全年收益發布電話會議。結合本次電話會議，您可以在我們的網站 www.crawco.com 的「投資者關係」部分查閱補充財務報告。（操作員指示）今天提醒一下，女士們，先生們，本次通話正在錄音。今天是2025年3月4日。

I would now like to introduce Tami Stevenson, Crawford and Company's General Counsel. Please go ahead.

現在我想介紹克勞福德公司的總法律顧問塔米史蒂文森。請繼續。

Thank you, Sylvie. Some of the matters to be discussed in this conference call in the supplementary financial presentation may include forward-looking statements that involve risks and uncertainties. These statements may relate to, among other things, our expected future operating results and financial conditions, our ability to grow our revenues and reduce our operating expenses, expectations regarding our anticipated contributions to our underfunded defined benefit pension plans, collectability of our billed and unbilled accounts receivable, financial results from our recently completed acquisitions, our continued compliance with the financial and other covenants contained in our financing agreements, our long-term capital resource and liquidity requirements, and our ability to pay dividends in the future.

謝謝你，西爾維。本次電話會議中補充財務報告中將要討論的一些事項可能包括涉及風險和不確定性的前瞻性陳述。這些聲明可能涉及我們預期的未來經營業績和財務狀況、我們增加收入和降低經營費用的能力、對資金不足的固定收益養老金計劃的預期貢獻、已開票和未開票應收賬款的可收回性、我們最近完成的收購的財務結果、我們持續遵守融資協議中包含的財務和其他契約、我們的長期資本資源和流動性要求以及我們未來支付的股息等。

The company's actual results achieved in future quarters could differ materially from the results that may be implied by such forward-looking statements. The company undertakes no obligation to publicly release revisions to any forward-looking statements made in this conference call to reflect events or circumstances occurring after the date of the call or to reflect the occurrence of unanticipated events.

公司未來幾季所取得的實際業績可能與此類前瞻性陳述所暗示的結果有重大差異。本公司不承擔公開發布本次電話會議中任何前瞻性陳述的修訂的義務，以反映電話會議日期之後發生的事件或情況或反映意外事件的發生。

In addition, you are reminded that the operating results for any historical period are not necessarily indicative of the results to be expected for any future period. For a complete discussion regarding factors which could affect the company's financial performance, please refer to the company's Form 10-K for the year end of December 31, 2024, filed with the Securities and Exchange Commission, particularly the information under the headings Risk Factors and Management's Discussion and Analysis of Financial Condition and Results of Operation, as well as subsequent company filings with the SEC.

此外，需要提醒您的是，任何歷史時期的經營業績並不一定能代表任何未來時期的預期業績。有關可能影響公司財務表現的因素的完整討論，請參閱公司向美國證券交易委員會提交的截至 2024 年 12 月 31 日的 10-K 表格，特別是“風險因素”和“管理層對財務狀況和經營成果的討論和分析”標題下的信息，以及公司隨後向美國證券交易委員會提交的文件。

This presentation also includes certain Non-GAAP financial measures as defined under SEC rules. As required, a reconciliation is provided for those measures to the most directly comparable GAAP measures.

本簡報也包括美國證券交易委員會 (SEC) 規則定義的某些非公認會計準則財務指標。根據要求，這些指標應與最直接可比較的 GAAP 指標進行對帳。

I would now like to introduce Mr. Rohit Verma, Chief Executive Officer of Crawford and Company. Rohit?

現在我想介紹克勞福德公司執行長羅希特·維爾馬先生。羅希特？

Thank you, Tami. Good morning and welcome to our fourth-quarter and full-year 2024 earnings call. Joining me today is Bruce Swain, our Chief Financial Officer; and Tami Stevenson, our General Counsel. After our prepared remarks, we will open the call for your questions.

謝謝你，塔米。早上好，歡迎參加我們的 2024 年第四季和全年財報電話會議。今天與我一起出席的是我們的財務長 Bruce Swain；以及我們的總法律顧問 Tami Stevenson。在我們準備好發言之後，我們將開始回答大家的提問。

We closed our 2024 with a strong fourth quarter. This reflected the continued strength of our core businesses, Broadspire and International Operations. Our North America loss-adjusting and platform solution segments, which are largely weather dependent, also delivered a solid quarter following claims activity from Hurricanes Helene and Milton.

我們以強勁的第四季結束了 2024 年。這反映了我們的核心業務 Broadspire 和國際業務的持續強勁。我們的北美損失調整和平台解決方案部門很大程度上依賴天氣，在颶風海倫和米爾頓造成索賠後，該部門也取得了穩健的季度業績。

This morning, I'll highlight the key takeaways from the fourth quarter before handing it over to Bruce for a deeper dive into our segment financial performance. On this slide, you'll see some of the top clients we proudly serve. Crawford manages over $20 billion in claims annually across 70 countries, making us the largest publicly traded claims management provider worldwide.

今天上午，我將重點放在第四季的主要要點，然後交給布魯斯深入探討我們各部門的財務表現。在這張投影片上，您將看到我們自豪地服務的一些頂級客戶。克勞福德每年在 70 個國家管理超過 200 億美元的索賠，這使我們成為全球最大的上市索賠管理提供者。

Our global scale and reputation for excellence set us apart in a fragmented market, and with a team of 10,000 skilled professionals, we continue to be trusted partner of choice for our clients. Crawford is uniquely positioned to capitalize on long-term industry trends with technology at the core of our strategy to enhance claims management and deliver superior service to our clients.

我們的全球規模和卓越聲譽使我們在分散的市場中脫穎而出，憑藉由 10,000 名熟練專業人員組成的團隊，我們將繼續成為客戶值得信賴的首選合作夥伴。克勞福德擁有獨特的優勢，可以利用長期行業趨勢，以技術為核心的策略來加強索賠管理並為客戶提供優質服務。

Though we may see quarter-to-quarter variations in catastrophic events, we continue to see an overall increase in the severity and frequency of extreme weather events. As the demand for advanced claim solutions continues to grow, our technology-enabled response capabilities allow us to quickly scale and support clients through these events.

儘管我們可能會看到災難性事件的季度變化，但我們仍然看到極端天氣事件的嚴重程度和頻率總體上有所增加。隨著對先進索賠解決方案的需求不斷增長，我們基於技術的回應能力使我們能夠快速擴展並支持客戶度過這些事件。

Beyond weather-related claims, the insurance industry is seeing a rapid shift towards outsourced claims activity. Crawford's global scale and deep carrier relationships allow us to efficiently handle complex claims, reducing costs and improving outcomes for clients.

除了與天氣相關的索賠外，保險業正在迅速轉向外包索賠活動。克勞福德的全球規模和深厚的承運商關係使我們能夠有效地處理複雜的索賠，降低成本並改善客戶的結果。

We are also well positioned for growth in the P&C insurance markets, gaining market share in the fragmented US independent loss adjusting sector and strengthening our partnerships across all business segments. By integrating automation and digital workflow enhancements, we continue to optimize claims handling, positioning Crawford as the partner of choice in an evolving industry.

我們在財產和意外保險市場的成長也處於有利地位，在分散的美國獨立損失調整領域獲得了市場份額，並加強了我們在所有業務部門的合作夥伴關係。透過整合自動化和數位工作流程增強功能，我們不斷優化索賠處理，將克勞福德定位為不斷發展的行業中的首選合作夥伴。

Our commitment to innovation ensures we remain at the forefront of claims management. By leveraging cutting-edge technology, enhancing operational efficiency, and delivering market-leading solutions, we are well positioned to drive sustainable growth and reinforce our leadership in the industry.

我們致力於創新，確保我們始終處於索賠管理的前沿。透過利用尖端技術、提高營運效率和提供市場領先的解決方案，我們有能力推動永續成長並鞏固我們在產業中的領導地位。

Turning to our fourth-quarter performance, we delivered 17% year-over-year revenue growth driven by strong performance in our non-weather core businesses, plus the return of weather-related claims activity. Hurricanes Helene and Milton were significant events that contributed to this increase, and our strong client relationships positioned us as a key partner for outsourced claims processing, reinforcing Crawford's role as a trusted provider in catastrophe response.

談到我們第四季度的業績，由於非天氣核心業務的強勁表現以及天氣相關索賠活動的回升，我們的收入同比增長了 17%。颶風海倫和米爾頓是促成這一增長的重要事件，我們強大的客戶關係使我們成為外包索賠處理的關鍵合作夥伴，鞏固了克勞福德作為災難應變中值得信賴的提供者的地位。

Importantly, we saw revenue growth across all segments, highlighting the strength and resilience of our diversified business model. North America loss-adjusting, international operations, and platform solutions all delivered margin expansion and improved profitability, reflecting discipline, execution, and continued demand for our services.

重要的是，我們看到所有部門的收入都實現了成長，凸顯了我們多元化業務模式的優勢和韌性。北美損失調整、國際營運和平台解決方案均實現了利潤率的擴大和獲利能力的提高，反映了我們服務的紀律性、執行力和持續需求。

Our operating earnings increased 140% year over year, primarily reflecting high revenues from catastrophe-related claims. While weather remains a variable factor in our business, this quarter's results demonstrate that when storm activity occurs, we are well positioned to respond and support our clients effectively.

我們的營業收入年增 140%，主要反映了與災難相關的索賠帶來的高收入。雖然天氣仍然是我們業務的一個可變因素，但本季的結果表明，當風暴發生時，我們能夠有效地回應並支持我們的客戶。

We paid a quarterly dividend of $0.07 per share for CRD-A and CRD-B, underscoring our commitment to returning capital to shareholders. Additionally, our balance sheet remains strong, with ample liquidity providing us the financial flexibility to invest in growth opportunities.

我們為 CRD-A 和 CRD-B 支付了每股 0.07 美元的季度股息，彰顯了我們向股東返還資本的承諾。此外，我們的資產負債表依然強勁，充足的流動性為我們提供了投資成長機會的財務靈活性。

Throughout 2024, we have consistently highlighted the decline in storm activity compared to the historical levels. While on a full-year basis, severe storm activity was down, Hurricanes Helene and Milton impacted the fourth quarter, and preliminary storm data from NOAA indicates that storm activity increased 52% year over year in the fourth quarter of 2024 following a particularly quiet Q4 in 2023.

在整個 2024 年，我們一直強調與歷史水準相比風暴活動的下降。雖然從全年來看，嚴重風暴活動有所減少，但颶風海倫和米爾頓對第四季度造成了影響，美國國家海洋和大氣管理局 (NOAA) 的初步風暴數據顯示，繼 2023 年第四季度特別平靜之後，2024 年第四季度的風暴活動同比增長了 52%。

This uptick in severe weather had a clear impact on our financial performance. Our core non-weather segments grew 7%, demonstrating the strength of our diversified business model. At the same time, weather-related revenue increased 45%, driven by the return of outsourced claims activity in our weather-dependent businesses.

惡劣天氣的增加對我們的財務表現產生了明顯的影響。我們的核心非天氣部門成長了 7%，彰顯了我們多元化業務模式的實力。同時，受天氣相關業務外包索賠活動的回歸推動，天氣相關收入增加了 45%。

Looking deeper, our network segment closely tied to catastrophe response saw a 154% revenue increase, reinforcing Crawford's role as a trusted partner when severe weather strikes. As we enter the first quarter, weather conditions have remained relatively quiet.

深入研究後發現，我們與災難應變密切相關的網路部門收入成長了 154%，鞏固了克勞福德在惡劣天氣來襲時作為值得信賴的合作夥伴的地位。進入第一季度，天氣狀況保持相對平靜。

Our thoughts are with all those impacted by the California fires at the beginning of this year, and our teams are working to assist the recovery efforts where they are needed. We do not anticipate a significant revenue impact from wildfires as wildfire-related claims are typically characterized as total loss, and the outsourcing of claims is in turn lower.

我們與今年年初受加州大火影響的所有人同在，我們的團隊正在努力協助所需的恢復工作。我們預計野火不會對收入造成重大影響，因為與野火相關的索賠通常被定性為全損，而索賠的外包率較低。

Our capital strategy is centered on driving sustainable growth while maintaining financial flexibility. We prioritize investments in innovation and technology to enhance our service capabilities and efficiency. Additionally, we continue to pursue strategic aqua-hires that expand our expertise and market reach, including the addition of three teams in Spain during the fourth quarter.

我們的資本策略以推動永續成長和維持財務靈活性為中心。我們優先投資創新和技術，以增強我們的服務能力和效率。此外，我們繼續尋求策略性人才招聘，以擴大我們的專業知識和市場範圍，包括在第四季度在西班牙增加三個團隊。

At the same time, we remain committed to returning capital to shareholders as reflected in our full-year dividend payment totaling $0.28 per share. Our conservative approach to leverage, which was at 1.85 times EBITDA ensures we have ample liquidity to execute our strategy while delivering consistent long-term value to shareholders.

同時，我們仍然致力於向股東返還資本，這體現在我們全年每股 0.28 美元的股息支付中。我們對槓桿率採取保守的態度，即 EBITDA 的 1.85 倍，確保我們擁有充足的流動性來執行我們的策略，同時為股東提供持續的長期價值。

With that, let me turn over the call to Bruce for a deeper look at our operational and financial performance.

說到這裡，請容許我把電話轉給布魯斯，讓他更深入地了解我們的營運和財務表現。

Thank you, Rohit. Crawford operates a diversified business model across four key segments, promoting a balanced revenue mix, enabling us to navigate market fluctuations while capitalizing on opportunities across our business lines.

謝謝你，羅希特。克勞福德在四個主要領域採用多元化的業務模式，促進均衡的收入組合，使我們能夠應對市場波動，同時利用各個業務線上的機會。

North America loss-adjusting, which includes our loss-adjusting operations in the US and Canada, accounted for 24% of 2024 revenues. International operations covering all service lines outside North America contributed 32% of total revenues, reflecting our strong global presence. Broadspire, our US-based third-party administration business, represents 30% of total revenues.

北美虧損調整（包括我們在美國和加拿大的虧損調整業務）佔 2024 年營收的 24%。覆蓋北美以外所有服務線的國際業務貢獻了總收入的32%，反映了我們強大的全球影響力。Broadspire 是我們位於美國的第三方管理業務，佔總收入的 30%。

Platform solutions, which includes contractor connection, networks, and subrogation services accounted for 14% of revenues, supporting our strategy of offering end-to-end claims management solutions. North America loss-adjusting saw strong growth in the fourth quarter of 2024, with revenues increasing 14% year over year to $79.4 million. Operating earnings improved substantially from the prior year quarter to $3.4 million, reflecting increased storm activity and the benefit of our continued investment in talent.

平台解決方案（包括承包商連線、網路和代位求償服務）佔收入的 14%，支援我們提供端到端索賠管理解決方案的策略。2024 年第四季，北美虧損調整業務強勁成長，營收年增 14% 至 7,940 萬美元。營業利潤較去年同期大幅提升至 340 萬美元，這反映了風暴活動的增加以及我們持續投資於人才的效益。

Within the segment, GTS delivered another record breaking quarter, with revenues reaching $29.2 million, up 37% year over year. Additionally, US field operations grew 13% year over year to $27.6 million, further demonstrating the strength of our client relationships and our ability to support carriers during periods of heightened claims activity. A key growth driver for this segment is our strategic investments and talent, expanding our roster of highly skilled adjusters, which continues to position us for growth as demand increases for our specialized expertise in complex claims.

在該領域，GTS 再次創下新紀錄，營收達到 2,920 萬美元，年增 37%。此外，美國現場業務年增 13%，達到 2,760 萬美元，進一步證明了我們與客戶關係的牢固性以及我們在索賠活動高峰期支持承運人的能力。該部門的一個關鍵成長動力是我們的策略投資和人才，擴大了我們的高技能理賠員名冊，隨著對我們在複雜索賠方面的專業知識的需求增加，這將繼續為我們的成長做好準備。

Our international operations segment continued its strong momentum in the fourth quarter, delivering revenues of $112.5 million, growing 16% year over year, or 13% on a constant currency basis. This growth was driven by strong performances across Europe, Australia, and Asia, supported by weather-related claims and large loss activity. Operating earnings of $8.5 million more than tripled compared to the prior year quarter, and operating margin expanded by 526 basis points, reflecting the success of our strategic efforts to enhance pricing, improve productivity, and drive new business growth.

我們的國際業務部門在第四季持續保持強勁勢頭，實現營收 1.125 億美元，年增 16%，以固定匯率計算成長 13%。這一增長得益於歐洲、澳洲和亞洲的強勁表現，以及與天氣相關的索賠和巨額損失活動。營業利潤為 850 萬美元，較去年同期成長兩倍多，營業利潤率擴大了 526 個基點，這反映了我們提高定價、提高生產力和推動新業務成長的策略努力的成功。

While we expect to see quarter-to-quarter variation in international margins with the presence of some one-time benefits in the fourth quarter, the overall trajectory remains positive. Our focus on operational efficiencies and disciplined execution is delivering results, and we look forward to seeing continued improvement in 2025.

雖然我們預計第四季度國際利潤率將出現季度變化，並且會出現一些一次性收益，但整體趨勢仍然是正面的。我們專注於營運效率和嚴格的執行，並取得了成果，我們期待在 2025 年繼續取得進步。

Our Broadspire business delivered fourth-quarter revenue of $97.7 million, a 6% increase over the prior year driven by higher utilization of medical management services. Operating earnings were $10.1 million with an operating margin of 10.4%. During the quarter we proactively invested in staffing to ensure we have the capacity and expertise to support future growth, and the additional expense impacted our operating margin in the quarter.

我們的 Broadspire 業務第四季營收為 9,770 萬美元，比上年成長 6%，這得益於醫療管理服務利用率的提高。營業利益為 1,010 萬美元，營業利益率為 10.4%。本季度，我們積極投資於人員配置，以確保我們擁有支援未來成長的能力和專業知識，額外的支出影響了本季的營業利潤率。

Our platform solution segment saw a significant increase in revenue in the fourth quarter, growing 55% year over year to $57.6 million, primarily due to claims activity from Hurricanes Helene and Milton. Operating earnings also rose 144% year over year, reflecting the impact of increased storm-related claims volume.

我們的平台解決方案部門第四季營收大幅成長，年增 55%，達到 5,760 萬美元，這主要得益於颶風海倫和米爾頓帶來的索賠活動。營業收入也比去年同期成長了 144%，反映出風暴相關索賠量增加的影響。

As Rohit mentioned, networks revenues were a key growth driver, increasing 154% year over year, underscoring our strong carrier relationships and ability to support clients when severe weather occurs. Subrogation also saw a 4% year-over-year revenue increase, contributing to overall segment performance.

正如羅希特所提到的，網路收入是一個關鍵的成長動力，年成長 154%，突顯了我們與營運商的牢固關係以及在惡劣天氣下為客戶提供支援的能力。代位求償業務的收入也比去年同期增長了 4%，為整個部門的業績做出了貢獻。

While these results highlight the value of our capabilities and catastrophe response, it's important to note that weather-driven claims volumes can fluctuate. As we move into 2025, we remain focused on strengthening our client partnerships and expanding our capabilities to drive long-term sustainable growth.

雖然這些結果凸顯了我們的能力和災難應變的價值，但值得注意的是，天氣驅動的索賠量可能會有所波動。邁入 2025 年，我們將繼續致力於加強與客戶的合作夥伴關係，並拓展我們的能力，以推動長期永續成長。

Now let's take a look at our consolidated financials. In the fourth quarter of 2024, company-wide revenues before reimbursements were $347.3 million, an increase of 17% compared to the prior year period. Foreign exchange rates increased revenues by $2.4 million or less than 1%.

現在讓我們來看看我們的合併財務狀況。2024 年第四季度，公司報銷前全公司營收為 3.473 億美元，比去年同期成長 17%。外匯匯率使收入增加了 240 萬美元，不到 1%。

GAAP net income attributable to shareholders totaled $5.7 million compared to a net loss of $818,000 in the same period of 2023. GAAP diluted EPS in the 2024 fourth quarter was $0.11 for CRD-A and $0.12 for CRD-B, increasing from a loss of $0.02 for both share classes in the 2023 period.

歸屬於股東的 GAAP 淨收入總計 570 萬美元，而 2023 年同期的淨虧損為 818,000 美元。2024 年第四季，CRD-A 的 GAAP 稀釋每股盈餘為 0.11 美元，CRD-B 的 GAAP 稀釋每股盈餘為 0.12 美元，高於 2023 年同期兩類股票的虧損 0.02 美元。

O n a non-GAAP basis, diluted EPS was $0.19 for both CRD-A and CRD-B compared to $0.06 for CRD-A and $0.07 for CRD-B in the prior year period. The company's non-GAAP operating earnings totaled $18.7 million in the 2024 fourth quarter or 5.4% of revenues, increasing 140% from $7.8 million or 2.6% of revenues in the prior year period.

以非 GAAP 計算，CRD-A 和 CRD-B 的稀釋每股盈餘均為 0.19 美元，而去年同期 CRD-A 的稀釋每股盈餘為 0.06 美元，CRD-B 的稀釋每股盈餘為 0.07 美元。該公司 2024 年第四季的非 GAAP 營業收入總計 1,870 萬美元，佔營收的 5.4%，較去年同期的 780 萬美元或 2.6% 成長 140%。

Consolidated adjusted EBITDA was $27.9 million in the 2024 fourth quarter, or 8% of revenues, increasing 78% from $15.7 million, or 5.3% of revenues in the 2023 quarter. The company's cash and cash equivalent position as of December 31, 2024, totaled $55.4 million compared to $58.4 million at the 2023 year end.

2024 年第四季度，合併調整後 EBITDA 為 2,790 萬美元，佔營收的 8%，較 2023 年同期的 1,570 萬美元（佔營收的 5.3%）成長 78%。截至 2024 年 12 月 31 日，該公司的現金及現金等價物總額為 5,540 萬美元，而 2023 年底為 5,840 萬美元。

Our total receivables were up $25.2 million from the 2023 year end, primarily due to an increase in weather-related claims that we expect to unwind in the coming year. The company's total debt outstanding as of December 31, 2024, totaled $218.1 million, up from $209.1 million as of December 31, 2023.

我們的應收帳款總額較 2023 年底增加了 2,520 萬美元，這主要是由於與天氣相關的索賠增加，我們預計這些索賠將在來年解決。截至 2024 年 12 月 31 日，該公司未償還債務總額為 2.181 億美元，高於 2023 年 12 月 31 日的 2.091 億美元。

Net debt stood at $162.7 million as of December 31, 2024, while our US pension liability was $21.1 million at the end of the year, reflecting a funded ratio of 92.4%. We made no discretionary contributions to our US defined benefit pension plan during 2024, and we do not intend to make contributions during the coming year.

截至 2024 年 12 月 31 日，淨債務為 1.627 億美元，而截至年底，我們的美國退休金負債為 2,110 萬美元，資金到位率為 92.4%。我們在 2024 年期間沒有對美國固定收益退休金計畫做出任何自由支配的繳款，而且我們也不打算在來年做出繳款。

Cash provided by operating activities for 2024 was $51.6 million with free cash flow of $10 million. This compares to cash flow from operations last year of $103.8 million and free cash flow of $67.2 million. This decrease in free cash flow in 2024 was primarily due to the $48 million impact from the change in billed and unbilled accounts receivable.

2024 年經營活動提供的現金為 5,160 萬美元，自由現金流為 1,000 萬美元。相較之下，去年的營運現金流為 1.038 億美元，自由現金流為 6,720 萬美元。2024 年自由現金流的減少主要是由於已開立和未開立應收帳款變動造成的 4,800 萬美元的影響。

This decrease in our free cash flow is a result of timing-related variations, and it is not uncommon for us to see such fluctuations. The decrease in free cash flow in 2024 is not a reflection of the company's long-term cash-generating capabilities. Unallocated corporate costs were $8 million in the 2024 fourth quarter compared to the cost of $9.4 million in the same period of 2023. The increase was primarily due to increases in self-insured expense and professional fees.

我們的自由現金流的減少是與時間相關的變化造成的，這種波動並不罕見。2024年自由現金流的減少並不能反映公司的長期現金創造能力。2024 年第四季未分配的公司成本為 800 萬美元，而 2023 年同期的成本為 940 萬美元。成長的主要原因是自保費用和專業費用的增加。

During the 2024 fourth quarter, non-service pension costs were $2.5 million compared to $2.2 million in the 2023 period. We recognize pre-tax contingent earnout cost of $448,000 in the 2024 fourth quarter compared to the cost of $925,000 in the 2023 period. As Rohit mentioned earlier, we paid a $0.07 dividend per share for both CRD-A and CRD-B in the fourth quarter.

2024 年第四季，非服務退休金成本為 250 萬美元，而 2023 年同期為 220 萬美元。我們確認 2024 年第四季的稅前或有獲利成本為 448,000 美元，而 2023 年同期的成本為 925,000 美元。正如 Rohit 之前提到的，我們在第四季度為 CRD-A 和 CRD-B 支付了每股 0.07 美元的股息。

During the fourth quarter of 2024, the company did not repurchase any shares of CRD-A, but repurchased approximately 24,000 shares of CRD-B at an average share cost of $10.94. As a reminder, approximately 1.1 million shares are eligible to be repurchased under our 2021 share repurchase authorization.

2024 年第四季度，該公司沒有回購任何 CRD-A 股票，但以平均每股 10.94 美元的價格回購了約 24,000 股 CRD-B 股票。提醒一下，根據我們 2021 年股票回購授權，約有 110 萬股股票有資格回購。

With that, I'll turn the call back over to Rohit for concluding remarks.

說完這些，我會把電話轉回給羅希特，請他做最後發言。

Thank you, Bruce. We closed our 2024 with a strong fourth quarter, delivering revenue growth and improved profitability. This performance highlights the strength of our diversified business model and our ability to respond effectively when demand arises. Our deep client relationships and operational expertise continue to position us as a trusted partner in times of need.

謝謝你，布魯斯。我們以強勁的第四季度結束了 2024 年，實現了收入成長和獲利能力提高。這項績效凸顯了我們多元化商業模式的優勢以及我們在需求出現時有效回應的能力。我們深厚的客戶關係和營運專業知識使我們在需要時繼續成為值得信賴的合作夥伴。

While weather remains unpredictable, our focus on innovation, efficiency, and client service ensures we are positioned to deliver value across market cycles. I want to thank our employees for their dedication and expertise, which continue to set Crawford apart as a leader in the industry. I also want to thank our clients, shareholders, and partners for their ongoing trust and support.

雖然天氣難以預測，但我們對創新、效率和客戶服務的關注確保我們能夠在整個市場週期中提供價值。我要感謝我們員工的奉獻精神和專業知識，這使得克勞福德繼續成為行業領導者。我還要感謝我們的客戶、股東和合作夥伴一直以來的信任與支持。

Thank you for your time today. Sylvie, please open the call for questions.

感謝您今天抽出時間。西爾維，請開始提問。

(Operator Instructions) Maxwell Fritscher, Truist.

（操作員指示）Maxwell Fritscher，Truist。

In Broadspire, any observations about the underlying claims, specifically workers' comp? Are you seeing any material, inflection and claims activity there?

在 Broadspire，對於潛在的索賠，特別是工人賠償，有什麼觀察嗎？您是否看到那裡有任何材料、轉折點和索賠活動？

Hi Max, this is Rohit. No, we obviously saw changes emerge as we were just coming out of COVID, but in general we've seen stabilization in the type of claims and the frequency of claims, so nothing really different this year or this quarter to report.

你好，馬克斯，我是羅希特。不，我們顯然看到了變化的出現，因為我們剛剛擺脫 COVID，但總的來說，我們看到索賠類型和索賠頻率趨於穩定，因此今年或本季沒有什麼不同。

And then the operating margin there at Broadspire, a little lower versus the mid-teen run rate for the year. Any observations there you can point to?

然後，Broadspire 的營業利潤率比今年的中等水準略低。您能指出任何觀察結果嗎？

In 2024, we wrote a lot of new business and we grew by about 9%. We had already planned that there'll be some increased expenses in the fourth quarter reflecting the increased hiring that we anticipate for the new business that we've written. So we're not really worried about the Broadspire margin. I mean, we're still holding on overall in the mid-teens, and that's what we expect to continue.

2024年，我們簽訂了大量新業務，成長了約9%。我們已經計劃在第四季度增加一些支出，以反映我們預計新業務將增加招聘。所以我們並不真正擔心 Broadspire 的利潤。我的意思是，我們總體上仍保持在十幾歲的水平，而且我們預計這種趨勢還會持續下去。

Okay. And another good result in international, and you had mentioned that it was partially driven by enhanced pricing. So how do you look at at pricing going into 2025 in international?

好的。國際上也取得了不錯的成績，您曾提到，這部分得益於價格的提升。那麼您如何看待 2025 年國際定價呢？

In international, we had done some analysis, and we found that there were some accounts that we needed to adjust pricing on, and we've done that. We also believe that we have enforced pricing discipline just not in international, but across the organization. But I think we've largely closed the pricing gap that we had. There might be still a handful of accounts here or there that might need that adjustment. But overall, we're feeling very good about our international trajectory.

在國際上，我們做了一些分析，發現有些帳戶需要調整定價，我們已經這樣做了。我們也認為，我們不僅在國際範圍內，而且在整個組織範圍內實施了定價紀律。但我認為我們已經基本縮小了價格差距。這裡或那裡可能仍有一些帳戶需要調整。但總體而言，我們對我們的國際發展軌跡感到非常滿意。

Thank you. And then last one from me on capital allocation, any expectations for share repurchases in 2025?

謝謝。最後我想問一下關於資本配置的問題，您對 2025 年的股票回購有什麼預期嗎？

We have still over $1 million -- I'm sorry, 1 million shares left in our authorization, and we've been disciplined buyers. We will continue to look for opportunities where there are [blocks] available for us to buy. But other than that, we'll continue the program, but expect to sort of be at similar levels to what you've seen so far.

我們仍有超過 100 萬美元——抱歉，我們的授權還剩下 100 萬股，而且我們一直是紀律嚴明的買家。我們將繼續尋找可以購買的機會。但除此之外，我們將繼續該計劃，但預計其水平將與您迄今為止看到的水平相似。

(Operator Instructions) Kevin Steinke, Barrington Research.

（操作員指示）Kevin Steinke，Barrington Research。

I wanted to start out by asking about the share of weather-related claims you feel like you're getting relative to prior spikes in severe weather activity, given your onboarding of clients, et cetera. Do you feel like you're gaining share of the weather-related claims?

首先我想問一下，考慮到客戶入職情況等，相對於之前惡劣天氣活動的高峰，您覺得您收到的與天氣相關的索賠佔比是多少。您是否覺得自己在與天氣相關的索賠方面獲得了越來越多的關注？

We definitely feel that, Kevin, that we are gaining share and doing well through these cycles of storms. Ad you know, particularly Milton, we would have had a very different result had Milton crossed over Tampa versus it was south of that. But all things considered, we thought that we got a very fair share of claims during the severe weather.

凱文，我們確實感覺到，在這些風暴週期中，我們的市佔率正在擴大，而且經營狀況良好。你知道，特別是米爾頓，如果米爾頓越過坦帕而不是其南邊，我們就會得到非常不同的結果。但綜合考慮所有因素，我們認為在惡劣天氣下我們獲得了相當公平的索賠份額。

Okay, thanks. And the Broadspire margin, just to follow up on that again, you know that the investments and staffing levels, it sounds like that's something you might leverage pretty quickly, given the ramp up of new business. Are there more investments to be made there? Just kind of thinking about the trajectory of the Broadspire margin as we enter 2025.

好的，謝謝。再說一下 Broadspire 的利潤率，您知道，考慮到新業務的成長，投資和人員配備水平聽起來像是您可能會很快利用的東西。那裡還有更多的投資嗎？只是思考一下進入 2025 年時 Broadspire 邊緣的軌跡。

Yeah, I think Broadspire, we believe that our biggest differentiator in Broadspire has been our technology. And as we've stated before, the lion's share of our CapEx technology investment has been in Broadspire. We expect similar levels of investment to continue in 2025 as we continue to not just shore up some of the things that we've done, but also advance into new areas that relate to analytics and AI. So I think you will see a combination of people as well as tech investment to continue in Broadspire.

是的，我認為 Broadspire，我們相信 Broadspire 最大的區別在於我們的技術。正如我們之前所說，我們的資本支出技術投資的大部分都投入了 Broadspire。我們預計 2025 年將繼續保持類似的投資水平，因為我們不僅會繼續鞏固我們已經做的一些事情，而且還會朝著與分析和人工智慧相關的新領域邁進。因此我認為你會看到人才和技術投資的結合將繼續在 Broadspire 上進行。

Okay, thanks. And, just again, also on the international operations margin in the quarter, obviously very strong. Bruce, I think you mentioned some one-time benefits as well in the quarter. I don't know if that's something very meaningful to call out quantitatively or not, but I don't know if there's any additional color you can offer there.

好的，謝謝。而且，本季的國際業務利潤率顯然非常強勁。布魯斯，我想您也提到了本季的一些一次性福利。我不知道這是否是一個非常有意義的事情，需要量化，但我不知道您是否可以提供任何其他資訊。

Yeah, we had a one-time indirect tax benefit that came in in the quarter, about [$1.5 million] or so, which helped in the fourth quarter. It will be non-continuing. But even when you back that out, still a solid quarter for international and a good year for them overall.

是的，本季度我們獲得了一次性間接稅收優惠，大約 150 萬美元左右，這對第四季度有所幫助。它將不會持續下去。但即使你不考慮這一點，對於國際市場來說這仍然是一個穩健的季度，對於他們來說總體來說也是一個不錯的一年。

If you look at 2024, every quarter, we bumped up the international margin, and I think that as we head into 2025, our goal is to make sure that, on a quarterly comparison, that international continues on that positive trajectory.

如果你看一下 2024 年，每個季度，我們的國際利潤率都會提高，我認為，隨著我們進入 2025 年，我們的目標是確保與季度相比，國際利潤率繼續保持積極的軌跡。

Okay. That's great. And the very strong growth you had in Global Technical Services. I think you set up 37% year over year. Should we think of that being influenced meaningfully by weather or is that just kind of a continued trajectory of hiring and people getting more productive as they join your platform?

好的。那太棒了。而您的全球技術服務取得了非常強勁的成長。我認為您設定的同比增長率為 37%。我們是否應該認為這受到天氣的重大影響，或者這只是一種持續的招募軌跡，人們加入您的平台後會變得更有效率？

Yeah, I would say it's largely because of the continued acqui-hires that we've been focused on in that segment. We still believe that we have a low market share in that space and there's more room for us to grab. Obviously, the growth levels are not going to be similar on a percentage basis given we were coming off a low base. But as we get to a critical mass, those would start to stabilize. But we still think that mid single digit to low double digit is not out of question.

是的，我想說這主要是因為我們一直專注於該領域的持續人才收購。我們仍然相信，我們在該領域的市場份額較低，還有更大的發展空間。顯然，由於我們的基數較低，所以從百分比來看，成長水準不會相似。但當我們達到臨界質量時，這些就會開始穩定下來。但我們仍然認為，中等個位數到低兩位數的成長並非不可能。

Okay, makes sense. And you also mentioned hiring, I think, three teams in Spain. Can you just maybe give us a little bit more color on that? What business those folks are in, and just the overall strategy there internationally.

好的，有道理。我認為您還提到了在西班牙僱用三支團隊。您能否向我們詳細介紹一下這一點？這些人從事什麼行業，以及他們的國際整體策略。

Yeah, look, I think that when we look at our acqui-hire strategy, which is to acquire teams of experts wherever we can, that is something that we have been trying to execute globally. We've had more success in the US certainly, but we've also seen success internationally. We had reported on teams that we had brought on board in the Netherlands before. We had an opportunity in Spain to pick these three teams up that are going to add significant depth to our loss-adjusting capabilities in Spain, and we have several others in the pipeline across the world that we're working on.

是的，我認為，當我們審視我們的收購-招聘策略時，我們會盡可能地收購專家團隊，這是我們一直試圖在全球範圍內執行的事情。我們在美國確實取得了更大的成功，但我們在國際上也取得了成功。我們之前曾報道過我們在荷蘭招募的團隊。我們在西班牙有機會挑選這三支團隊，他們將大大增強我們在西班牙的損失調整能力，而且我們也正在與世界各地的其他幾支團隊合作。

Okay. And lastly, do you expect any meaningful carryover in terms of claims volume and revenue generation into the first quarter of 2025 from the Hurricanes Helene and Milton?

好的。最後，您是否預期颶風海倫和米爾頓對 2025 年第一季的索賠量和收入產生任何有意義的影響？

Not really. Both those Hurricanes did not have long tails, so we largely addressed the backlog of claims in 2024 itself. And as we look at 2025, we feel that the trajectory of our core non-weather businesses remains strong. From a weather perspective, it has been light, absent any polar vortex-like events. So everything seems as we would expect. And if normal weather patterns were to happen this year, we feel pretty good about where we stand.

並不真地。這兩次颶風都沒有長尾效應，所以我們基本上在 2024 年就解決了積壓的索賠問題。展望2025年，我們認為我們的核心非天氣業務的發展軌跡依然強勁。從天氣角度來看，天氣晴朗，沒有出現任何極地渦旋事件。一切似乎都如我們所料。如果今年的天氣狀況正常，我們會對自己的現狀感到滿意。

Okay. Well, thanks for taking the questions. And congratulations. I'll turn it back over.

好的。好的，感謝您回答這些問題。恭喜你。我會把它翻過來。

And at this time, I would like to turn the call back over to Mr. Verma for closing remarks.

現在，我想將電話轉回給維爾馬先生，請他作最後發言。

Thank you, Sylvie, and thank you to all our employees, clients, and shareholders for your continued commitment to Crawford and Company. This concludes our call today. Thank you so much and God bless.

謝謝你，西爾維，也感謝我們所有的員工、客戶和股東對克勞福德公司的持續承諾。今天的通話到此結束。非常感謝，上帝保佑。

Thank you for participating in today's Crawford and Company conference call. This call will be available for replay beginning at 11:30 AM Eastern Time today to 11:59 PM Eastern Time on April 4, 2025. The conference ID for the replay is 03099#. The number to dial for the replay is 1-888-660-6264. Thank you. You may now disconnect your lines.

感謝您參加今天的克勞福德公司電話會議。本次通話將於今天美國東部時間上午 11:30 至 2025 年 4 月 4 日美國東部時間晚上 11:59 之間提供重播。重播的會議ID是03099#。重播請撥打的號碼是 1-888-660-6264。謝謝。現在您可以斷開線路了。