Charles River Laboratories International Inc (CRL) 2024 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by, and welcome to the Charles River Laboratories fourth quarter and full-year 2024 earnings conference call. This call is being recorded. (Operator Instructions)

女士們，先生們，感謝你們的支持，歡迎參加 Charles River Laboratories 2024 年第四季和全年財報電話會議。本次通話正在錄音。（操作員指令）

I would now like to turn the conference over to our host, Todd Spencer, Vice President of Investor Relations. Please go ahead, sir.

現在，我想將會議交給我們的主持人、投資者關係副總裁 Todd Spencer。先生，請繼續。

Good morning, and welcome to Charles River Laboratories fourth quarter and full-year 2024 earnings and 2025 guidance conference call and webcast. This morning, I am joined by Jim Foster, Chair, President, and Chief Executive Officer; and Flavia Pease, Executive Vice President and Chief Financial Officer. They will comment on our results for the fourth quarter of '24 as well as our financial guidance for 2025. Following the presentation, they will respond to questions.

早安，歡迎參加 Charles River Laboratories 2024 年第四季和全年收益及 2025 年指引電話會議和網路廣播。今天上午，我與董事長、總裁兼執行長 Jim Foster 一起出席；以及執行副總裁兼財務長 Flavia Pease。他們將對我們 24 年第四季的業績以及 2025 年的財務指引發表評論。演示結束後，他們將回答問題。

There is a slide presentation associated with today's remarks, which is posted on the Investor Relations section of our website at ir.criver.com. A webcast replay of this call will be available beginning approximately two hours after the call today and can also be accessed on our Investor Relations website. The replay will be available through next quarter's conference call.

今天的演講附有幻燈片演示，已發佈在我們的網站 ir.criver.com 的投資者關係部分。本次電話會議的網路重播將於今天電話會議結束後約兩小時開始提供，也可以在我們的投資者關係網站上存取。重播將透過下個季度的電話會議提供。

I'd like to remind you of our safe harbor. All remarks that we make about future expectations, plans, and prospects for the company constitute forward-looking statements under the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated. During this call, we will primarily discuss non-GAAP financial measures, which we believe help investors gain a meaningful understanding of our core operating results and guidance. The non-GAAP financial measures are not meant to be considered superior to or a substitute for results of operations prepared in accordance with GAAP. In accordance with Regulation G, you can find comparable GAAP measures and reconciliations on the Investor Relations section of our website.

我想提醒你我們的安全港。我們對公司未來期望、計畫和前景所做的所有評論均構成 1995 年《私人證券訴訟改革法》規定的前瞻性陳述。實際結果可能與所示結果有重大差異。在本次電話會議中，我們將主要討論非公認會計準則財務指標，我們相信這有助於投資人深入了解我們的核心經營績效和指引。非公認會計準則財務指標並不意味著優於或取代依照公認會計準則編製的經營成果。根據規則 G，您可以在我們網站的投資者關係部分找到可比較的 GAAP 指標和對帳表。

I will now turn the call over to Jim Foster.

現在我將電話轉給吉姆·福斯特。

Thank you, Todd, and good morning. We're pleased to end the year with a fourth-quarter performance that was slightly better than expected, yielding annual revenue and non-GAAP earnings per share higher than guidance that we issued in November. Before I provide more details on our fourth-quarter results, I will provide an update on the market trends in our 2025 financial guidance.

謝謝你，托德，早安。我們很高興以略好於預期的第四季度業績結束今年，年收入和非公認會計準則每股收益高於我們 11 月發布的指引。在我提供有關我們第四季度業績的更多細節之前，我將在我們的 2025 年財務指引中提供有關市場趨勢的最新資訊。

Beginning with an update on the market environment, I can say that our view of biopharmaceutical demand remains consistent with our last update. Overall, DSA demand KPIs, including the net book to build ratio, were stable compared to the third quarter, and we expect similar trends throughout 2025. Many of our global biopharmaceutical clients continue to move forward with their restructuring and pipeline reprioritization activities, which are expected to constrain early-stage spending by many of these clients again in 2025.

從市場環境的更新開始，我可以說，我們對生物製藥需求的看法與上次更新一致。總體而言，DSA 需求 KPI（包括淨帳面與建造比率）與第三季相比保持穩定，我們預計 2025 年全年將出現類似的趨勢。我們的許多全球生物製藥客戶繼續推動其重組和產品線重新排序活動，預計這將在 2025 年再次限制許多客戶的早期支出。

Small and mid-sized biotechnology clients continued to benefit from a more favorable funding environment through the end of 2024 compared to the previous two years, and we expect biotech demand trends will be stable to slightly improved in 2025 versus last year. These combined trends are expected to result in flattish DSA demand sequentially within 2025. However, we expect steady volume to be at a lower level than in 2024 because many global biopharmaceutical clients reset their budgets in the middle of last year.

與前兩年相比，到 2024 年底，中小型生技客戶將繼續受益於更有利的融資環境，我們預計 2025 年生物技術需求趨勢將與去年相比保持穩定或略有改善。預計這些綜合趨勢將導致 DSA 在 2025 年內持續持平。不過，我們預計穩定的銷售量將低於 2024 年的水平，因為許多全球生物製藥客戶在去年年中重新設定了預算。

We're closely monitoring our clients' R&D spending patterns, the funding environment, and interest rates, as well as new biotech company formations, which have slowed over the past couple of years and believe our expectations for 2025 are appropriately measured.

我們正密切關注客戶的研發支出模式、融資環境和利率以及新生技公司的成立情況。

As discussed at a recent investor conference, the primary factors in influencing our 2025 outlook are as follows. The first relates to our expectation for stabilizing DSA demand environment in 2025, as well as an anticipated headwind from lower DSA pricing throughout the year. The second item is lower commercial revenue in the CDMO business, which will reduce consolidated revenue by approximately 1% in 2025. And finally, our site consolidation actions are expected to reduce revenue by an additional 50 basis points this year.

正如最近的投資者會議所討論的，影響我們 2025 年展望的主要因素如下。第一個與我們對 2025 年 DSA 需求環境穩定的預期以及全年 DSA 價格下跌預計帶來的阻力有關。第二項是CDMO業務商業收入降低，將導致2025年合併收入減少約1%。最後，我們的站點整合行動預計今年的收入將進一步減少 50 個基點。

The cumulative effect of these factors is expected to result in a revenue decline of 3.5% to 5.5% on an organic basis this year and when including a foreign exchange headwind of over 1%, a reported revenue decline of 4.5% to 7%.

這些因素的累積效應預計將導致今年的收入有機下降 3.5% 至 5.5%，如果加上超過 1% 的外匯逆風，報告收入將下降 4.5% 至 7%。

We have taken significant action to protect the operating margin and shareholder value, including restructuring initiatives that are expected to yield annualized savings of approximately $225 million in 2026, of which over $175 million will be realized this year. However, we will not be able to fully offset the revenue decline in 2025, particularly in the DSA segment, which is expected to result in a modestly lower consolidated operating margin and a non-GAAP earnings per share in a range of $9.10 to $9.60.

我們已採取重大措施來保護營業利潤率和股東價值，包括重組舉措，預計到 2026 年將實現約 2.25 億美元的年度化節約，其中今年將實現超過 1.75 億美元。然而，我們將無法完全抵消 2025 年的收入下降，特別是 DSA 部門的收入下降，預計這將導致合併營業利潤率略有下降，非 GAAP 每股收益在 9.10 美元至 9.60 美元之間。

Now, I'd like to quickly recap our fourth quarter and full-year consolidated performance. We reported revenue of $1 billion in the fourth quarter of 2024, a 1.8% decline on an organic basis from the previous year. For the year, we reported revenue of $4.05 billion with an organic revenue decrease of 2.8%, driven primarily by lower DSA revenue. Our full-year revenue slightly outperformed the range that we provided in November, led by a better than expected fourth-quarter performance in the RMS segment and a robust year end for Microbial Solutions.

現在，我想快速回顧一下我們第四季和全年的綜合業績。我們報告 2024 年第四季的營收為 10 億美元，較上年同期有機下降 1.8%。我們報告的全年收入為 40.5 億美元，有機收入下降 2.8%，主要原因是 DSA 收入下降。我們的全年營收略高於 11 月提供的範圍，這主要得益於 RMS 部門第四季表現優於預期以及微生物解決方案部門年底的強勁表現。

Sales to both the global biopharmaceutical and small and mid-sized biotech client segments declined for the full year, but in the fourth quarter, we were pleased to see revenue from biotech clients return to growth for the first time since the third quarter of 2023.

全年全球生物製藥和中小型生技客戶領域的銷售額均出現下滑，但在第四季度，我們很高興看到來自生技客戶的收入自 2023 年第三季以來首次恢復成長。

The operating margin increased 80 basis points year over year to 19.9% in the fourth quarter, principally driven by lower unallocated corporate costs and margin expansion in the Manufacturing segment. The cost-saving initiatives also helped to limit the margin declines in the DSA and RMS segments. For the full year, the operating margin declined by 40 basis points to 19.9%. The decrease was primarily driven by the DSA segment as well as higher unallocated corporate costs. Earnings per share were $2.66 in the fourth quarter, an increase of 8.1% from $2.46 in the fourth quarter of 2023.

第四季營業利潤率年增 80 個基點至 19.9%，主要得益於未分配企業成本的降低和製造部門利潤率的擴大。節省成本的措施也有助於限制 DSA 和 RMS 部門的利潤率下滑。全年營業利益率下降40個基點至19.9%。下降的主要原因是DSA部門以及未分配的公司成本增加。第四季每股收益為 2.66 美元，較 2023 年第四季的 2.46 美元成長 8.1%。

The fourth-quarter operating margin expansion as well as favorable below-the-line items, including reductions in interest expense, the tax rate, and share count, led to the earnings improvement. For 2024, earnings per share declined by 3.3% to $10.32 due primarily to the lower revenue and operating margin partially offset by the benefit of cost saving initiatives.

第四季營業利潤率的擴大以及利息支出、稅率和股數減少等有利的線下項目推動了盈利的改善。2024 年，每股盈餘下降 3.3% 至 10.32 美元，主要原因是營收和營業利潤率下降，但成本節約措施帶來的好處部分抵銷了這一影響。

Turning to segment performance. I'll now provide you with additional details on the fourth quarter in each segment's outlook for 2025. DSA revenue in the fourth quarter was $603.3 million, a decrease of 3.5% on an organic basis. The decline reflected lower study volume as well as slightly lower pricing. As anticipated, Safety Assessment pricing turned negative in fourth quarter as the moderating pricing environment during 2024 started to work from backlog into the revenue stream. In the current demand environment, pricing has become a point of discussion with clients, particularly small and mid-sized biotechs.

轉向細分錶現。我現在將為您提供有關 2025 年各個細分市場第四季度展望的更多詳細資訊。第四季DSA營收為6.033億美元，有機下降3.5%。下降的原因在於研究量減少以及價格略有下降。正如預期的那樣，由於 2024 年緩和的定價環境開始從積壓訂單影響到收入流，安全評估定價在第四季度轉為負值。在當前的需求環境下，定價已成為與客戶討論的焦點，尤其是中小型生技公司。

We have strategically and selectively utilized pricing and other commercial enhancements, including better integration of our DSA sales force with the global -- with the goal to gain additional market share and believe the strategy has been successful as demonstrated by an improved DSA capture rate during 2024.

我們策略性地和選擇性地利用了定價和其他商業增強功能，包括更好地將我們的 DSA 銷售團隊與全球整合在一起——目標是獲得額外的市場份額，並相信該策略已經取得成功，2024 年 DSA 捕獲率的提高證明了這一點。

DSA demand KPIs were also stable in the fourth quarter, including the net book-to-bill ratio and cancellation rate. The net book-to-bill remained below 1 times in the fourth quarter, with global biopharmaceutical and small and mid-sized biotech client segments in a similar range. This was consistent with the third quarter, following the divergence in trends during the second quarter that resulted in revenue to global biopharmaceutical clients taking a step down in the second half of 2024, which will continue to impact 2025.

DSA 需求 KPI 在第四季也保持穩定，包括淨訂單出貨比和取消率。第四季度，淨訂單出貨比仍低於 1 倍，全球生物製藥和中小型生技客戶群則處於類似範圍內。這與第三季的情況一致，先前第二季的趨勢出現分離，導致全球生物製藥客戶的收入在 2024 年下半年下降，並將繼續影響 2025 年。

Cancellations also remained at lower levels in the fourth quarter as they have for most of the past year and closer to targeted levels. We believe the clients have largely completed the process of cancelling lower priority programs that remained in our backlog so that the key for the DSA segment to return to revenue growth will be a sustained improvement in booking activity, which has not yet occurred.

與去年大部分時間一樣，第四季的取消量也保持在較低水平，更接近目標水平。我們相信，客戶已基本完成取消積壓的低優先事項項目的流程，因此 DSA 部門恢復收入成長的關鍵在於預訂活動的持續改善，而這尚未發生。

For the full year, DSA revenue decreased 6.2% on an organic basis, which was consistent with our expectation in November that DSA revenue would be favorable to our previous outlook of a high-single-digit decline. At year end, DSA backlog modestly declined to $1.97 billion from $2.12 billion at the end of the third quarter.

就全年而言，DSA 收入有機下降 6.2%，這與我們 11 月的預期一致，即 DSA 收入將優於我們先前預測的高個位數降幅。截至年底，DSA 積壓訂單從第三季末的 21.2 億美元小幅下降至 19.7 億美元。

In 2025, we expect DSA revenue will decline at a mid- to high-single-digit rate on an organic basis, which will be slightly less favorable than in 2024. We expect that both lower pricing and steady volume will have a similar impact on the 2025 decline.

到 2025 年，我們預計 DSA 收入將以中高個位數的有機速度下降，這將比 2024 年略有下降。我們預計，較低的價格和穩定的數量將對 2025 年的下降產生類似的影響。

As I mentioned earlier, we expect study volume will be relatively stable sequentially throughout 2025 for the global biopharmaceutical and biotech client segments but at a lower level than in 2024 due primarily to the softer demand from global biopharmaceutical clients that emerged in the second half of last year. In addition, lower realized DSA pricing will add an incremental headwind in 2025 that was not present in 2024 when realized pricing was essentially flat for the full year.

正如我之前提到的，我們預計 2025 年全球生物製藥和生物技術客戶領域的研究量將保持相對穩定，但將低於 2024 年的水平，這主要是由於去年下半年全球生物製藥客戶的需求減弱。此外，較低的實際 DSA 定價將在 2025 年帶來增量阻力，而 2024 年則不會出現這種情況，當時全年實際定價基本上持平。

We have not assumed any meaningful improvement in the DSA demand environment during 2025 at this time, so the quarterly gating of DSA revenue dollars should be relatively consistent over the course of the year aside from a modest seasonal impact in the first quarter.

目前，我們尚未假設 2025 年 DSA 需求環境會有任何顯著改善，因此除了第一季的適度季節性影響外，DSA 收入的季度限制在全年應該相對一致。

In recent weeks, NHP supply has once again made headlines as a result of a recent proposal at the Standing Committee meeting of CITES, an international body that oversees the trade of animals, including NHPs used in biomedical research, to potentially suspend the trade of NHPs from Cambodia. We were very pleased the studies did not enact a trade suspension at the meeting in early February and postponed the agenda item on this matter until the end of the year. This decision underscores the international community's strong support for a fair, accurate, and science-based review process, providing the necessary time to review the facts and counteract the misinformation being disseminated by other groups.

最近幾週，非人靈長類動物的供應問題再次成為頭條新聞，原因是瀕危野生動植物種國際貿易公約（CITES）常設委員會會議最近提議暫停來自柬埔寨的非人類靈長類動物的貿易。我們非常高興，2月初的會議上的研究沒有頒布貿易暫停令，而是將此事的議程推遲到了年底。這項決定凸顯了國際社會對公正、準確和基於科學的審查程序的大力支持，為審查事實和反駁其他團體傳播的錯誤訊息提供了必要的時間。

Let me be clear. Charles River firmly believes that any action to restrict the availability of purpose-bred NHPs from Cambodia could have significant and unintended consequences that will impact biomedical research globally. Legally sourced NHPs are critical, regulatory-required models to help ensure human patient safety and advanced biologics drug development for the global biopharmaceutical industry.

讓我說清楚。Charles River 堅信，任何限制柬埔寨專用 NHP 供應的行動都可能產生重大的意想不到的後果，影響全球生物醫學研究。合法來源的 NHP 是關鍵的、監管要求的模型，有助於確保人類患者的安全和全球生物製藥行業先進的生物藥物開發。

Charles River will continue to work collaboratively with regulatory agencies, government officials, industry trade associations, and our biopharmaceutical clients to promote patient safety and educate our partners about the scientific importance of NHPs, particularly when viable alternatives do not currently exist.

Charles River 將繼續與監管機構、政府官員、行業貿易協會以及我們的生物製藥客戶合作，促進患者安全，並向我們的合作夥伴宣傳 NHP 的科學重要性，特別是在目前尚不存在可行替代品的情況下。

With regard to our NHP supply, we will continue to diligently work to diversify and secure our supply chain by procuring NHPs and the various supply arrangements outside of Cambodia, including through our controlling interests in Noveprim in Mauritius. As a reminder, we will be able to utilize an increasing number of Mauritius NHPs in our DSA segment after 2026. In the appendix of our slide presentation today, we have also updated certain key statistics for 2024 that were included in our NHP report last year.

關於我們的 NHP 供應，我們將繼續努力透過在柬埔寨境外採購 NHP 和各種供應安排（包括透過我們在毛里求斯 Noveprim 的控股權益）來實現供應鏈的多樣化和安全性。提醒一下，2026 年後，我們將能夠在 DSA 領域使用越來越多的毛里求斯 NHP。在今天投影片簡報的附錄中，我們也更新了去年 NHP 報告中包含的 2024 年某些關鍵統計數據。

DSA operating margin was 24.7% in the fourth quarter or a 130 basis point decrease in the fourth quarter of 2023 and was 25.7% for the full year of 2024, representing 180 basis point decline year over year. Both the fourth quarter and full-year declines were primarily driven by lower revenue, which was partially offset by the benefit from cost savings.

2023 年第四季 DSA 營業利潤率為 24.7%，年減 130 個基點，2024 年全年 DSA 營業利潤率為 25.7%，年減 180 個基點。第四季和全年的下滑主要由於收入下降，但成本節約帶來的收益部分抵消了這一影響。

RMS revenue in the fourth quarter was $204.3 million, a decrease of 0.4% on an organic basis. For the year, RMS revenue was essentially flat with just 0.1% decline on an organic basis.

RMS 第四季營收為 2.043 億美元，有機下降 0.4%。全年來看，RMS 收入基本上持平，有機收入僅下降 0.1%。

For both the quarter and the year, lower revenue for Research Model Services, including CRADL, NHP sales in China, and the Cell Solutions business was mostly offset by higher sales of small research models in all geographic regions, principally driven by higher pricing. Cell Solutions 2024 growth rate was impacted by the consolidation of its operations to its largest California site.

無論是本季或本年度，研究模型服務（包括 CRADL、中國的 NHP 銷售）和細胞解決方案業務的收入下降大部分被所有地理區域小型研究模型銷售額的增加所抵消，這主要歸因於價格上漲。Cell Solutions 2024 的成長率受到其業務合併至其最大的加州工廠的影響。

In 2025, RMS revenue is expected to increase at a low-single-digit rate, driven primarily by higher pricing in the North American and European models businesses. Improved growth prospects for Research Model Services, including CRADL, and from higher NHP sales to Noveprim third-party clients.

2025年，RMS收入預計將以低個位數的速度成長，主要原因是北美和歐洲車型業務的定價上漲。包括 CRADL 在內的研究模型服務的成長前景改善，以及對 Noveprim 第三方客戶的 NHP 銷售額增加。

Unit volume for small research models continued to be lower in 2024, due in large part to the softer biopharmaceutical spending environment. However, higher pricing and higher revenue from academic institutions more than offset these unit volume declines. We expect similar trends in 2025, with higher pricing in North America and Europe, more than offsetting lower unit volumes. We also expect small models revenue in China to be flattish as the life sciences environment continues to be somewhat challenged.

2024 年小型研究模型的單位數量將持續下降，這在很大程度上是由於生物製藥支出環境較弱。然而，更高的定價和來自學術機構的更高收入足以抵消這些單位銷售的下降。我們預期 2025 年也會出現類似的趨勢，北美和歐洲的價格將會上漲，足以抵銷銷售下降的影響。由於生命科學環境持續面臨一定挑戰，我們也預期中國小型模型收入將持平。

Given the recent news around NIH funding, we will closely monitor the health of our academic and government client base. Our direct exposure to the NIH represents less than 2% of our total revenue, largely related to insourcing solutions contracts. For academia, small research models are critical components to academic research projects and considered direct research costs, but we will monitor what, if any, impact the NIH's new directive to cap indirect costs will have on these clients.

鑑於最近有關 NIH 資助的新聞，我們將密切關注我們的學術和政府客戶群的健康狀況。我們對 NIH 的直接投資占我們總收入的不到 2%，主要與內部採購解決方案合約有關。對於學術界來說，小型研究模型是學術研究計畫​​的關鍵組成部分，並被視為直接研究成本，但我們將監測 NIH 的新指令對這些客戶的限制是否會產生影響。

Overall, large models are not expected to be a significant contributor to RMS revenue growth this year as anticipated increase in Noveprim's third-party NHP revenue will be partially offset by lower NHP revenue in China. Demand for research model services is expected to rebound and become a notable contributor to RMS revenue growth in 2025.

總體而言，大型模型預計不會成為今年 RMS 收入成長的重要貢獻者，因為 Noveprim 第三方 NHP 收入的預期成長將被中國 NHP 收入的下降部分抵消。預計研究模型服務的需求將會反彈，並成為 2025 年 RMS 收入成長的重要貢獻者。

Our GEMS business is expected to get back on track as clients increasingly utilize these services to support their complex research efforts and maintenance of the genetically modified model colonies. Moderate growth of CRADL operations is expected to deliver an improved top-line performance in 2025, primarily driven by new CRADL sites. To limit risk in this tighter budgetary environment, the new sites will either have dedicated or anchored clients. Clients are continuing to view CRADL as an attractive model to access flexible vivarium space without having to invest in internal infrastructure, which provides a powerful value proposition for clients who are looking to reduce costs and conserve capital.

隨著客戶越來越多地利用這些服務來支援其複雜的研究工作和基因改造模型群落的維護，我們的 GEMS 業務有望重回正軌。預計 CRADL 業務的適度成長將在 2025 年帶來更好的營業業績，這主要得益於新的 CRADL 站點。為了在預算緊縮的環境下限制風險，新站點將擁有專門或固定的客戶。客戶繼續將 CRADL 視為一種有吸引力的模式，無需投資內部基礎設施即可獲得靈活的動物飼養空間，這為希望降低成本和節省資本的客戶提供了強大的價值主張。

The RMS operating margin decreased by 30 basis points year over year to 22.8% in the fourth quarter but increased by 70 basis points to 23.7% in 2024. For the year, the operating margin improvement was primarily due to higher pricing for small research models, cost savings related to our restructuring initiatives, and a favorable revenue mix related to higher sales of NHPs due to the Noveprim acquisition. We expect similar drivers to contribute to the RMS operating margin in 2025.

第四季 RMS 營業利益率年減 30 個基點至 22.8%，但到 2024 年將增加 70 個基點至 23.7%。本年度，營業利潤率的提高主要歸因於小型研究模型的定價提高、與重組舉措相關的成本節約、以及因收購 Noveprim 而導致的 NHP 銷售額增加帶來的有利收入組合。我們預期類似的驅動因素將在 2025 年為 RMS 的營業利益率做出貢獻。

Manufacturing Solutions revenue was $194.9 million in the fourth quarter, the growth rate of 2.1% on an organic basis, and the full-year organic growth rate was 6.8%. The slower fourth-quarter growth rate was primarily driven by lower commercial revenue in the CDMO business, offset by a robust year-end performance for the Microbial Solutions business.

第四季製造解決方案營收為1.949億美元，有機成長率為2.1%，全年有機成長率為6.8%。第四季成長率放緩主要是由於 CDMO 業務的商業收入下降，但微生物解決方案業務的年底強勁表現抵消了這一影響。

These same drivers will likely result in essentially flat Manufacturing revenue in 2025 on an organic basis. Biologics Testing benefited in 2024 from certain client projects that will not repeat, which will result in a moderated growth rate in 2025.

這些相同的驅動因素可能會導致 2025 年製造業收入在有機基礎上基本持平。2024 年，生物製劑測試受益於某些不會重複的客戶項目，這將導致 2025 年的成長率放緩。

As mentioned at a recent investor conference, we expect lower revenue from two commercial CDMO clients will reduce consolidated revenue by approximately 1% in 2025 and the Manufacturing segment's growth rate by more than 5%. Despite the commercial setbacks, we believe our efforts over the past two years to enhance the CDMO operations have established a solid foundation for this business through investments in facilities, leadership, and scientific expertise.

正如最近的投資者會議所提到的，我們預計兩家商業 CDMO 客戶的收入下降將導致 2025 年合併收入減少約 1%，製造部門的成長率減少 5% 以上。儘管遭遇商業挫折，但我們相信，過去兩年來我們為加強 CDMO 營運所做的努力已經透過對設施、領導力和科學專業知識的投資為這項業務奠定了堅實的基礎。

Although demand in the cell and gene sector is not as robust as it was when we acquired the business in 2021, we believe attractive long-term growth opportunities exist, and we have a healthy pipeline of biotech clients with early-stage clinical candidates ready to help move the CDMO business forward.

儘管細胞和基因領域的需求不如我們在 2021 年收購該業務時那麼強勁，但我們相信存在著誘人的長期成長機會，並且我們擁有健康的生物技術客戶管道，其中早期臨床候選藥物已準備好幫助推動 CDMO 業務向前發展。

The Microbial Solutions business reported a strong year-end performance with solid growth across all three testing platforms: Endosafe, Celsin, and Accugenix. Endosafe continued to lead the way with robust growth for testing consumables, as well as another strong quarter for instrument placements. We believe the 2024 performance thoroughly demonstrated that demand for Microbial products has rebounded and that clients are increasingly utilizing our comprehensive, rapid manufacturing quality control testing solutions to enhance their product release testing speed and efficiency.

微生物解決方案業務報告了強勁的年終業績，三個測試平台均實現了穩健的成長：Endosafe、Celsin 和 Accugenix。Endosafe 持續保持領先地位，偵測耗材業務實現強勁成長，儀器安置業務也再創佳績。我們相信 2024 年的表現充分錶明對微生物產品的需求已經反彈，並且客戶越來越多地利用我們全面、快速的製造品質控制測試解決方案來提高其產品發布測試速度和效率。

The Manufacturing segment's operating margin increased by 330 basis points to 28.7% in the fourth quarter and by 560 basis points to 27.4% for the full year. We were pleased by the operating margin expansion, which was driven by operating leverage from improved demand in the Microbial Solutions and Biologic Testing businesses and our continued focus on generating greater efficiencies across all businesses, including CDMO. We believe the Manufacturing segment remains on track to reach its goal to return to an operating margin above the 30% level within a couple of years.

製造部門的營業利潤率在第四季度增加了 330 個基點，達到 28.7%，全年增加了 560 個基點，達到 27.4%。我們對營業利潤率的擴大感到高興，這是由於微生物解決方案和生物檢測業務需求增加帶來的營業槓桿作用，以及我們持續致力於提高包括 CDMO 在內的所有業務的效率。我們相信，製造部門將預計在幾年內實現其目標，即營業利潤率恢復到 30% 以上的水平。

To conclude, we are currently operating in a challenging biopharmaceutical demand environment with continued constrained client spending, but we believe that demand trends are stabilizing. On the positive side, biotech is trending favorably. We have not seen signs of further deterioration from our global biopharmaceutical clients. However, we're not forecasting a recovery in 2025. We are taking decisive action to manage the company through the current environment, including appropriately right-sizing our infrastructure and eliminating over 5% of our cost structure. We remain committed to initiatives to generate more revenue, contain costs, and protect shareholder value.

總而言之，我們目前正處於充滿挑戰的生物製藥需求環境中，客戶支出持續受到限制，但我們相信需求趨勢正在穩定。從積極的一面來看，生物技術正在呈現良好的發展趨勢。我們尚未看到全球生物製藥客戶出現進一步惡化的跡象。然而，我們預測 2025 年不會出現復甦。我們正在採取果斷行動，在當前環境下管理公司，包括適當調整我們的基礎設施規模並削減超過 5% 的成本結構。我們將繼續致力於創造更多收入、控製成本和保護股東價值的措施。

To ensure our future success, we continue to make progress on strategic actions in these three main areas: restructuring and other initiatives to manage costs and generate greater efficiency by reducing staffing levels to align with the pace of demand, optimizing our global footprint, and streamlining processes and operations. We have made meaningful progress on this front and continue to selectively evaluate additional opportunities to cut costs and drive efficiency and now expect to generate approximately $225 million of annualized cost savings from these initiatives.

為了確保我們未來的成功，我們將繼續在以下三個主要領域採取策略行動：重組和其他舉措，以管理成本並透過減少人員水準來提高效率，以適應需求的速度，優化我們的全球影響力，並簡化流程和營運。我們在這方面取得了有意義的進展，並繼續有選擇地評估削減成本和提高效率的更多機會，現在預計透過這些措施每年可節省約 2.25 億美元的成本。

The second area is concentrating on commercial enhancements to promote a client-centric focus and gain additional market share. Our goal is to enhance the client experience and reinforce our role as a flexible and responsive partner to our clients, including through leveraging technologies such as our Apollo platform and our RMS e-commerce initiatives. As I mentioned earlier, our enhancements to our DSA salesforce and dynamic pricing strategy have enabled us to gain market share over the past year.

第二個領域是集中於商業增強，以促進以客戶為中心的重點並獲得額外的市場份額。我們的目標是提升客戶體驗，並加強我們作為客戶靈活、響應迅速的合作夥伴的角色，包括透過利用我們的 Apollo 平台和 RMS 電子商務計劃等技術。正如我之前提到的，我們對 DSA 銷售團隊的增強和動態定價策略使我們在過去一年中獲得了市場份額。

And finally, we are taking a balanced approach to capital allocation and regularly revisiting our best uses for capital. We are very pleased that our leverage remains low in the low 2 times range, and as we have routinely done, we continue to evaluate select M&A candidates. Based on our anticipated capital needs this year and coupled with our belief that we are currently undervalued, it is an opportune time to allocate most of our free cash flow to stock repurchases in 2025 under our $1 billion authorization. We intend to repurchase approximately $350 million in stock over the next month or two, which exceeds our initial goal of $100 million last year to offset annual dilution from equity awards.

最後，我們採取平衡的方法進行資本配置，並定期重新審視資本的最佳用途。我們非常高興我們的槓桿率仍然保持在 2 倍以下的低位，而且正如我們慣常所做的那樣，我們將繼續評估精選的併購候選人。根據我們今年預期的資本需求，再加上我們認為我們目前被低估的信念，現在是將我們的大部分自由現金流分配給 2025 年 10 億美元授權範圍內的股票回購的好時機。我們打算在未來一兩個月內回購價值約 3.5 億美元的股票，這超過了我們去年最初設定的 1 億美元的目標，以抵消股權獎勵的年度稀釋。

We have navigated challenges before, and we believe our strategic actions will enable us to emerge from this period as stronger, leaner, and more profitable company and an even more responsive partner for our clients. We have always distinguished ourselves through our exquisite science and preclinical focus, extending our leading position as our clients' preferred global non-clinical drug development partner.

我們以前曾克服過挑戰，我們相信，我們的策略行動將使我們走出這段時期，成為更強大、更精簡、更盈利的公司，並成為客戶更具責任感的合作夥伴。我們始終以精湛的科學和臨床前重點脫穎而出，擴大了我們作為客戶首選的全球非臨床藥物開發合作夥伴的領先地位。

I'd like to thank our employees for their exceptional work and commitment, and our clients and shareholders for their continued support.

我要感謝我們的員工的出色工作和奉獻，以及我們的客戶和股東的持續支持。

Now, Flavia will provide additional details on our financial performance and 2025 guidance.

現在，Flavia 將提供有關我們的財務業績和 2025 年指引的更多詳細資訊。

Thank you, Jim, and good morning. Before I begin, may I remind you that I'll be speaking primarily to non-GAAP results, which exclude a goodwill impairment in the fourth quarter of 2024, amortization and other acquisition related adjustments, costs related primarily to restructuring actions, gains or losses from certain venture capital and other strategic investments, and certain other items. Many of my comments will also refer to organic revenue growth, which excludes the impact of acquisitions, divestitures, and foreign currency translation.

謝謝你，吉姆，早安。在開始之前，我要提醒您，我將主要談論非 GAAP 結果，該結果不包括 2024 年第四季的商譽減損、攤銷和其他收購相關調整、主要與重組行動相關的成本、某些風險投資和其他策略性投資的收益或損失，以及某些其他項目。我的許多評論還將涉及有機收入成長，其中不包括收購、資產剝離和外幣折算的影響。

We are pleased with our fourth-quarter financial results, with revenue and non-GAAP earnings per share slightly exceeding our annual outlook. In the face of a challenging domain environment, we have taken decisive actions to navigate these headwinds. Our efforts include aggressive actions to rationalize costs and align our infrastructure with the current demand.

我們對第四季度的財務業績感到滿意，收入和非公認會計準則每股收益略高於我們的年度預期。面對充滿挑戰的領域環境，我們採取了果斷行動來應對這些阻力。我們的努力包括積極採取行動合理化成本並使我們的基礎設施與當前需求保持一致。

As Jim noted, the restructuring initiatives we implemented are expected to result in approximately $225 million in annualized cost savings in 2026, including over $175 million realized this year, slightly ahead of our prior target as we selectively implemented smaller additional initiatives. The multi-year cost savings program is expected to reduce our cost structure by over 5% through headcount reductions and network rationalization efforts, the majority of which are underway and are on track.

正如吉姆所指出的，我們實施的重組舉措預計將在 2026 年帶來約 2.25 億美元的年度成本節約，其中包括今年實現的 1.75 億美元以上的成本節約，由於我們有選擇地實施了較小的額外舉措，這一數字略高於我們之前的目標。這項多年的成本節約計畫預計將透過裁減員工和網路合理化措施將我們的成本結構降低 5% 以上，其中大部分措施正在進行中並且進展順利。

To further balance our capital structure, we leveraged our strong cash flow generation to repurchase $100 million in stock in the third quarter of 2024, achieving our goal to offset the annual share account dilution from equity awards. As Jim mentioned, under the $1 billion Board authorization, we intend to increase the level of stock repurchases in 2025 to approximately $350 million.

為了進一步平衡我們的資本結構，我們利用強勁的現金流量產生能力在 2024 年第三季回購了價值 1 億美元的股票，實現了抵銷股權獎勵造成的年度股票帳戶稀釋的目標。正如吉姆所提到的，根據董事會 10 億美元的授權，我們打算將 2025 年的股票回購水準提高到約 3.5 億美元。

We believe allocating free cash flow to stock repurchases this year will be prudent in light of our low leverage levels and our current valuation, which is certainly depressed because of the current industry headwinds but also does not ascribe enough value to the favorable long-term growth fundamentals that we expect to again re-emerge once the biopharmaceutical industry refocuses on investing in their pipelines.

我們認為，考慮到我們的低槓桿水平和當前估值，今年將自由現金流分配給股票回購是明智之舉。

We are particularly pleased with our strong free cash flow generation of $501.6 million in 2024. This achievement reflects the effectiveness of our tightly managed capital expenditures, disciplined working capital management, and the early success of our cost savings initiatives. By maintaining a balanced approach to capital deployment, we continue to demonstrate our commitment to enhance long-term shareholder value.

我們對 2024 年強勁的自由現金流（5.016 億美元）感到特別高興。這項成就反映了我們嚴格管理的資本支出、嚴格的營運資本管理的有效性以及成本節約措施的早期成功。透過維持平衡的資本配置方式，我們持續展現提高長期股東價值的承諾。

I will now provide additional details on our 2025 outlook. As Jim discussed, 2024 reflected a constrained biopharmaceutical spending environment, which is expected to persist into 2025. Therefore, we expect a reported revenue decline of 4.5% to 7%, including the foreign exchange headwind, and 3.5% to 5.5% on an organic basis.

我現在將提供有關我們 2025 年展望的更多詳細資訊。正如吉姆所討論的，2024 年反映了生物製藥支出環境的受限，預計這種情況將持續到 2025 年。因此，我們預計報告收入將下降 4.5% 至 7%，包括外匯不利因素，有機收入將下降 3.5% 至 5.5%。

FX has become more of a headwind in recent months as the US dollar has strengthened and is now expected to reduce reported revenue by 1% to 1.5%. We have provided additional information on FX rates and our currency exposure in the appendix to our slide presentation.

近幾個月來，由於美元走強，外匯已成為一大阻力，預計目前外匯將導致報告收入減少 1% 至 1.5%。我們在幻燈片簡報的附錄中提供了有關外匯匯率和貨幣風險的更多資訊。

Non-GAAP earnings per share are expected to be in a range of $9.10 to $9.60. On a segment basis, we have also provided the reported and organic revenue outlook for 2025 on slide 31.

非公認會計準則每股收益預計在 9.10 美元至 9.60 美元之間。在各部門的基礎上，我們也在第 31 頁上提供了 2025 年的報告收入和有機收入前景。

In 2025, we expect the consolidated operating margin will be modestly lower from 19.9% in 2024 as the cost savings associated with restructuring initiatives will not fully offset the lower revenue this year. This is particularly true in the DSA segment, for which we expect an operating margin decline. However, there are opportunities for margin expansion in the RMS and Manufacturing segments.

到 2025 年，我們預計綜合營業利潤率將略低於 2024 年的 19.9%，因為重組舉措相關的成本節省不會完全抵消今年的收入下降。這在 DSA 領域尤其如此，我們預計該領域的營業利潤率將會下降。然而，RMS 和製造部門仍有擴大利潤的機會。

Unallocated corporate costs in 2025 are expected to be approximately 5% of total revenue. These expenses normalized in the fourth quarter of 2024 to 5.2% of revenue, primarily driven by performance-based bonus. However, the 40 basis point increase to 5.7% for full-year 2024 was primarily attributable to higher health and fringe-related costs throughout the year. We expect corporate costs to decrease in 2025 because of benefits from cost saving actions.

預計 2025 年未分配的公司成本約佔總收入的 5%。這些費用在 2024 年第四季正常化為營收的 5.2%，主要由績效獎金推動。然而，2024 年全年成長 40 個基點至 5.7%，主要歸因於全年健康和福利相關成本的增加。我們預計，由於節約成本措施帶來的好處，2025 年企業成本將會下降。

The non-GAAP tax rate for 2025 is expected to be in the range of 22.5% to 23.5%, an increase from 21.3% in 2024. The anticipated increase in the tax rate is principally due to an increase in the global minimum tax as well as a modest impact related to stock-based compensation. In addition, we have not assumed that discrete tax items, which benefited 2024, will repeat.

預計 2025 年非 GAAP 稅率將在 22.5% 至 23.5% 之間，高於 2024 年的 21.3%。預計稅率的增加主要是由於全球最低稅率的增加以及與股票薪酬相關的適度影響。此外，我們並未假設2024年受益的單獨稅項將會重複出現。

As it's typically the case due to the timing of equity awards vesting, the headwind from stock-based compensation will be more pronounced in the first half of the year, including an expected first-quarter tax rate in the mid-20% range.

由於股權獎勵歸屬時間的典型情況，股票薪酬的阻力將在今年上半年更加明顯，包括預計第一季的稅率在 20% 左右。

Total adjusted net interest expense in 2025 is expected to be in a range of $112 million to $117 million compared to $117.7 million last year. The slight decrease will be primarily driven by lower interest rates on floating-rate debt. We do expect to borrow during the year to balance the timing of the stock repurchases earlier in the year with the free cash flow that we will generate, but overall, expect that balances will be similar at the end of 2025.

預計 2025 年調整後淨利息支出總額將在 1.12 億美元至 1.17 億美元之間，而去年為 1.177 億美元。輕微的下降主要歸因於浮動利率債務的利率下降。我們確實希望在年內借入資金，以平衡年初股票回購的時間和我們將產生的自由現金流，但總體而言，預計 2025 年底的餘額將相似。

In 2024, we lowered our net interest expense by repaying approximately $400 million in debt, the highest repayment in recent years, bringing our growth and net leverage ratios to 2.2 times at the year end. Additionally, in December, we amended our existing credit agreement to establish a revolver with borrowing capacity of up to $2 billion, reduced from our previous $3 billion facility due to our lower current leverage and anticipated capital needs. Importantly, we're able to obtain competitive pricing on this new agreement.

2024年，我們透過償還約4億美元的債務降低了淨利息支出，這是近年來最高的償還金額，使我們的成長和淨槓桿率在年底達到2.2倍。此外，12 月，我們修改了現有的信用協議，建立了一個循環信貸協議，借款能力高達 20 億美元，由於我們目前的槓桿率較低且預計資本需求較低，該額度較之前的 30 億美元有所減少。重要的是，我們能夠就這項新協議獲得有競爭力的價格。

At the end of the fourth quarter, we had outstanding debt of $2.2 billion with approximately two-thirds at a fixed interest rate compared to $2.3 billion at the end of the third quarter.

截至第四季末，我們的未償還債務為 22 億美元，其中約三分之二以固定利率償還，而第三季末為 23 億美元。

For 2025, we expect free cash flow will be in a range of $350 million to $390 million, representing a decrease from $501.6 million in 2024. The decrease will be driven by lower earnings and higher working capital to build inventories, particularly for NHBs, and that stabilization of receivables after favorable collections in 2024. Capital expenditures for 2025 are expected to be essentially flat from 2024 levels at approximately 6% of total revenue or about $230 million with projects primarily related to a mix of maintenance capital and the completion of ongoing projects. This outlook reflects our discipline approach to aligning capacity and capital investments with client demand and is well below our peak CapEx in recent years of 8.2% of revenue. A summary of our 2025 financial guidance can be found on slide 37.

到 2025 年，我們預計自由現金流將在 3.5 億美元至 3.9 億美元之間，較 2024 年的 5.016 億美元下降。下降的原因在於收益下降、用於建立庫存的營運資本增加（尤其是對於 NHB 而言），以及 2024 年收款有利後應收帳款的穩定性。預計 2025 年的資本支出將與 2024 年的水平基本持平，約佔總收入的 6% 或約 2.3 億美元，該項目主要涉及維護資本和正在進行的項目的完成。這一前景反映了我們將產能和資本投資與客戶需求相結合的嚴謹方法，且遠低於近年來我們佔收入 8.2% 的峰值資本支出。我們的 2025 年財務指導摘要可在投影片 37 上找到。

With regard to the first quarter of 2025, we expect revenue will decline at a mid-single-digit rate on an organic basis and at a mid- to high-single digit decline on a reported basis due to several factors including first quarter seasonality in the DSA and Biologics Testing businesses as well as a modest headwind from the timing of NHP shipments.

對於 2025 年第一季度，我們預計收入將以中等個位數的有機速度下降，以中高個位數的報告速度下降，原因是第一季 DSA 和生物製劑測試業務的季節性以及 NHP 出貨時間帶來的適度阻力等多種因素。

From an earnings perspective, we expect non-GAAP earnings per share of at least $2 in the first quarter. The decline from the fourth quarter will be primarily driven by lower operating margin due in part to the seasonal business trends and the timing of NHP shipments. And as I mentioned, we expect a meaningfully higher tax rate in the mid-20% range, reflecting a headwind from stock-based compensation. Unallocated corporate costs will also remain slightly above 5% of revenue in the first quarter. We expect revenue and operating margin will improve after the first quarter, principally as we move beyond the seasonal trends at the beginning of the year.

從獲利角度來看，我們預計第一季非公認會計準則每股收益至少為 2 美元。第四季的下滑主要由於營業利潤率下降，部分原因是季節性業務趨勢和 NHP 出貨時間的影響。正如我所提到的，我們預計稅率將在 20% 左右顯著上升，這反映出股票薪酬面臨的阻力。第一季未分配的企業成本也將維持在略高於營收的5%的水準。我們預計第一季後營收和營業利潤率將會改善，主要是因為我們已經擺脫了年初的季節性趨勢。

In conclusion, we're confident in our ability to emerge from this period of softer demand as a stronger, more agile organization. Our decisive actions, including aggressive cost optimization initiatives, stock repurchases, and a disciplined approach to capital management, demonstrate our commitment to enhancing shareholder value.

總之，我們有信心，我們有能力擺脫這段需求疲軟時期，成為一個更強大、更敏捷的組織。我們的果斷行動，包括積極的成本優化措施、股票回購和嚴謹的資本管理方法，顯示了我們致力於提高股東價值的承諾。

We believe our leaner infrastructure will position as well to capitalize on new business opportunities when they emerge and drive sustainable, profitable growth in the future. Thank you.

我們相信，我們更精簡的基礎設施也將能夠抓住新出現的商業機會，並推動未來可持續的獲利成長。謝謝。

That includes our comments. We will now take questions.

其中包括我們的評論。我們現在開始回答問題。

(Operator instructions) Elizabeth Anderson, Evercore.

（操作員指示）伊麗莎白·安德森（Elizabeth Anderson），Evercore。

I just had a question about your bookings expectations. Like given the backlog number that you guys had in the fourth quarter, it seems like maybe the book-to-bill, at least on my math, may have taken a bit of a step down sequentially. And I just wanted to understand like if you look at it on the current quarter basis -- so I just want to understand if there's timing. Obviously, on a TTM basis, it's more stable. So one, could you confirm my math? And then b, like, how are you seeing things in the first quarter? And sort of can you talk a little bit more about your sort of trending expectations in that regard as we move through 2025?

我只是想問一下您的預訂預期。就像考慮到你們在第四季的積壓訂單數量一樣，至少根據我的計算，訂單出貨比可能比去年同期有所下降。我只是想了解，如果您根據當前季度的情況來看 — — 所以我只是想了解是否有時間安排。顯然，從TTM來看，它更加穩定。那麼，你能確認我的數學計算嗎？然後，例如，您對第一季的情況有什麼看法？您能否再談談您對 2025 年這方面的趨勢預期？

Elizabeth, I can maybe start just with your question on the book-to-bill, and then I don't know if Jim wants to add additional commentary on the overall outlook. Actually, the fourth quarter, both growth and that book-to-bill was sequentially -- essentially stable. There was no deterioration or improvement either. So we were pleased that after the second-quarter decline that we saw, especially with our global accounts, we had a bounce back in the third quarter and then stayed flat in the fourth quarter.

伊莉莎白，我可以從你關於訂單出貨比的問題開始，然後我不知道吉姆是否想對整體前景發表額外的評論。實際上，第四季的成長和訂單出貨比都基本上保持穩定。既沒有惡化，也沒有改善。因此，我們很高興看到，在第二季度出現下滑之後，尤其是我們的全球帳戶，我們在第三季度出現反彈，並在第四季度保持穩定。

Yeah, so Elizabeth said we would -- for the first quarter, which is typically softer for us, we anticipate some seasonality in DSA and Biologics. And back half of the year, we'll see stronger sales in Noveprim for NHPs, should have sort of consistent sales growth across the year. We feel that biopharmaceutical client demand has stabilized and that biotech demand has stabilized to be -- or to be slightly up.

是的，伊莉莎白說我們會 — — 對於第一季來說，這通常對我們來說比較疲軟，我們預計 DSA 和生物製劑會出現一些季節性。今年下半年，我們將看到 Noveprim 的 NHP 銷售表現強勁，全年的銷售應該會保持持續成長。我們認為生物製藥客戶需求已經穩定，生物技術需求也穩定下來——或略有上升。

So we don't anticipate any further deterioration in demand from a volume point of view. We'll have a little bit of a step down on price in DSA though. And the first-quarter trend that I just talked about is embedded in our guidance.

因此，從數量的角度來看，我們預期需求不會進一步惡化。不過，我們會稍微降低 DSA 的價格。我剛才談到的第一季趨勢已經體現在我們的指引中。

Okay, that's super helpful. Thank you.

好的，這非常有幫助。謝謝。

Matt Sykes, Goldman Sachs.

高盛的馬特·賽克斯 (Matt Sykes)。

Maybe just on RMS. I know you quantified the direct NIH exposure at less than 2%. Could you just talk about academic as a whole, including NIH, what that is in terms of percentage of MRS? And what are you kind of seeing real time from that customer base in terms of the metrics that you're observing or feedback that you're getting, just given all the uncertainty in that segment?

也許僅在 RMS 上。我知道您量化了直接的 NIH 暴露量，發現其不到 2%。您能否談談包括 NIH 在內的整個學術界，其 MRS 所佔百分比是多少？考慮到該領域存在的所有不確定性，從您觀察到的指標或獲得的回饋來看，您對該客戶群的即時情況有何看法？

So I don't think -- we're not seeing much or hearing much yet. There's a fair amount of speculation about what's such an indirect cost recovery of support they'll actually be. But assuming that things are as anticipated, as you say, it's about 2% of the total. It's about academic and governments, about 40% of RMS. A lot of that is related to government contracts, but the academic impact of that will be much less, let's say, a little bit over the entire company even though most of it's an RMS. It's about academic and government are about 10%. And if you peel that back, a bunch of it's outside the US. A bunch of that is in academic institutions, and a relatively small amount is government related.

所以我不認為——我們還沒有看到或聽到太多消息。人們對於他們實際上將提供怎樣的間接成本回收支援存在著相當多的猜測。但假設事情如您所說，預期的那樣，它約佔總數的 2%。它與學術和政府有關，約佔 RMS 的 40%。其中許多與政府合約有關，但其學術影響要小得多，可以說，對整個公司的影響很小，儘管其中大部分是 RMS。與學術和政府有關的佔比約為 10%。如果你仔細分析一下，你會發現很多數據都在美國境外。其中大部分是在學術機構，相對較少的部分與政府有關。

So we'll have to see what impact, if any, that we have, particularly with long-term contracts for things like producing animals for certain institutes at NIH. (inaudible) is possible, but that would be pretty destructive to the researchers. So we feel that given the relatively small percentage of revenue that's associated with that, we should be fine.

因此，我們必須看看會產生什麼影響（如果有的話），尤其是對於為國立衛生研究院的某些研究所生產動物等長期合約。 （聽不清楚）是可能的，但這對研究人員來說會具有很大的破壞性。因此我們認為，考慮到與此相關的收入比例相對較小，我們應該沒問題。

Got it. And then just on sort of large pharma demand, I mean, you've been calling that out as an area of weakness. As you think about sort of the reprioritization cost cutting cycle that we've been through, you kind of mentioned we're maybe towards the end but no view on terms of recovery. But are you expecting any sort of improvement to that dynamic in the second half of '25? Or we should be thinking more about '26 in terms of recovery from that customer segment?

知道了。然後就大型製藥公司的需求而言，我的意思是，你一直稱之為弱點。當您想到我們經歷過的重新確定優先順序的成本削減週期時，您提到我們可能已經接近尾聲，但對復甦方面沒有任何看法。但您是否預計在 25 年下半年這種動態會有所改善？或者我們應該多考慮 26 年該客戶群的復甦情況？

So we -- in '24, we just assumed that things would get better in the back half of the year for a whole bunch of reasons. We thought the capital markets would open up and this reprioritization stuff would be over. And assuming that things are going to get better, it's not a very good strategy. So all we can do is have a guidance based on conversations with clients. Now, we're dealing with every large pharmaceutical company in the world. They're reprioritizing the pipelines and restructuring their infrastructures to deal with the patent -- impending patent cliffs, et cetera.

因此，在 24 年，我們只是假設由於各種原因，情況在下半年會變得更好。我們以為資本市場將會開放，重新調整優先順序的過程將會結束。而且假設事情會變得更好，這並不是一個很好的策略。因此，我們所能做的就是根據與客戶的對話提供指導。現在，我們正在與世界上每家大型製藥公司打交道。他們正在重新調整管道優先順序並重組基礎設施來應對即將到來的專利懸崖等問題。

And depending on who you talk to, much of that has been done, and there's still a fair amount still to be done. And it's impossible for us to predict what that will be or when that will be concluded except for what the clients tell us. So we would anticipate that while things have stabilized and while we don't anticipate things would get worse or deteriorate further, that pharma would be pretty much consistent for the balance of the year, and the biotech is more stable and would be slightly improving throughout the year. That depends very much on capital markets. They have some several IPOs that have gotten off and priced well, so that's encouraging.

並且根據你與誰交談，大部分工作已經完成，但仍有相當多的工作有待完成。除了客戶告訴我們的情況外，我們不可能預測最終結果是什麼或何時結束。因此，我們預計，雖然情況已經穩定下來，我們預計情況不會進一步惡化，但製藥業在今年餘下時間將保持基本穩定，生物技術業將更加穩定，並且全年將略有改善。這在很大程度上取決於資本市場。他們有幾項 IPO 都已成功上市且定價合理，因此這是令人鼓舞的。

There's been some really good inflows into venture capital firms. That's encouraging as well. While there definitely has been some reprioritization for the biotech companies, they don't have the same sort of large infrastructures to reduce, and they don't do anything internally. So they very much need us and other companies like us.

創投公司確實獲得了一些不錯的資金流入。這也令人鼓舞。雖然生技公司確實重新調整了優先順序，但它們並沒有需要削減的大型基礎設施，而且它們內部也沒有做任何事情。所以他們非常需要我們和其他像我們這樣的公司。

So we anticipate kind of consistent revenue throughout the year, a little bit of a step down in DSA over 2024 because of the pricing headwinds. And if it's better than that, that would be terrific, but we don't have any indications now that would cause us to guide differently.

因此，我們預計全年收入將保持穩定，但由於定價阻力，2024 年 DSA 將略有下降。如果結果比這更好，那就太好了，但目前我們還沒有任何跡象表明我們需要採取不同的指導方針。

Thank you very much.

非常感謝。

Tejas Savant, Morgan Stanley.

摩根士丹利的 Tejas Savant。

Maybe one for you, Flavia. On the CDMO business, just a couple of housekeeping items for me. Any cancellation payment benefit in the fourth quarter? Do you expect one to come through in '25? And then what can you do to cushion the margin impact on the segment from underutilization? I think I heard you mention that there's opportunities for operating margin in Manufacturing to actually grow year over year in '25.

也許有一個適合你，弗拉維亞。關於 CDMO 業務，對我來說只有幾件瑣事。第四季有任何取消付款福利嗎？您預計 25 年將會有一個成功嗎？那麼你能做些什麼來緩解因利用率不足而對部門利潤造成的影響呢？我想我聽過您提到過，製造業的營業利潤率在25年實際上有機會逐年增長。

Yeah, hi, Tejas. Thanks for the question. And I'll take the latter part first. You're correct. We will -- we are forecasting margin expansion for the Manufacturing segment. Margins will be challenged in the CDMO business as you pointed out, given the loss of those commercial clients. But we're taking actions there to right-size our infrastructure and staffing to the lower sales.

是的，你好，Tejas。謝謝你的提問。我先講後者。你是對的。我們預測製造部門的利潤率將會擴大。正如您所指出的，由於失去這些商業客戶，CDMO 業務的利潤率將面臨挑戰。但我們正在採取行動，調整我們的基礎設施和人員配置，以適應較低的銷售。

And then in addition to that, the other two businesses within Manufacturing are going to continue to do well and perform well. We saw, as Jim mentioned in his prepared remarks, a very strong finish for the Microbial business, which will continue to help with margin expansion.

除此之外，製造業的另外兩項業務也將持續表現良好。正如吉姆在其準備好的發言中提到的那樣，我們看到微生物業務表現非常強勁，這將繼續有助於利潤率的擴大。

Going back to your first question, there are some contractual obligations that we will benefit from. Those are embedded in the 2025 guidance that we provided for the segment, and so I'll leave it at that.

回到您的第一個問題，我們將從一些合約義務中受益。這些都包含在我們為該部門提供的 2025 年指導中，因此我不再贅述。

Got it. That's helpful. And then one for you, Jim, on the CITES decision to defer the decision on the Cambodian NHP trade. I was just curious as to whether there's any steps you can take proactively over the next 12 months to further derisk your supply chain there, perhaps increasing sourcing from other countries in Southeast Asia? Or is it basically Noveprim ramping in that 2026 plus time frame that's the real meaningful offset for any Cambodian supply disruptions here?

知道了。這很有幫助。然後，吉姆，我想問您一個問題，關於 CITES 推遲對柬埔寨 NHP 貿易作出決定。我只是好奇，在未來 12 個月內，您是否可以採取一些主動措施來進一步降低那裡的供應鏈風險，例如增加從東南亞其他國家的採購？或者說，Noveprim 在 2026 年以後的時間範圍內增加產量，這是對柬埔寨供應中斷的真正有意義的補償？

We will do everything we can as we always have, by the way, even without a potential disruption like we might have from CITES [decision] to source NHPs from multiple geographies and multiple providers, some of which we have long-term contracts, some of which we buy on markets, some of which we have an ownership position like in Mauritius. So we will do everything we can to protect ourselves in the eventuality that that doesn't go well.

順便說一句，即使沒有《瀕危野生動植物種國際貿易公約》[決定]可能帶來的干擾，我們也將一如既往地竭盡全力，從多個地區和多個供應商採購 NHP，其中一些我們簽訂了長期合同，一些我們從市場上購買，一些我們擁有所有權，比如在毛里求斯。因此，如果出現問題，我們將盡一切努力保護自己。

Obviously, we and the rest of the scientific community will provide valid and valuable scientific input to the CITES folks to make the decision to underscore the criticality of these animals for drug development, particularly for large molecules around the world, given the fact that there are no general alternatives. So we're very optimistic that that will go well. If it doesn't, we will use multiple sources of supply to obviously to try to satisfy the needs of our clients.

顯然，我們和科學界的其他成員將向 CITES 工作人員提供有效且有價值的科學意見，幫助他們做出決定，強調這些動物對於藥物開發的重要性，特別是對於世界各地的大分子藥物開發，因為沒有通用的替代品。因此我們非常樂觀地認為一切將會順利。如果沒有的話，我們將使用多種供應源來盡力滿足客戶的需求。

Got it. Thanks for the color, guys. Appreciate it.

知道了。謝謝你們的顏色。非常感謝。

Dave Windley, Jefferies.

傑富瑞（Jefferies）的戴夫溫德利（Dave Windley）。

Jim, you've commented in your remarks about your expectations for demand throughout 2025 and then also commented about pharma continuing its restructuring. You may have seen in a couple of surveys we've done recently where a number of large pharma respondents talk about expecting kind of a second round of restructuring. And so my question to you is, how much visibility are clients able to give you on that type of thing? For example, if there's another restructuring coming and the internal people seem to know about it, are they sharing that with you such that you're able to incorporate that in your expectations?

吉姆，你在評論中談到了對 2025 年全年需求的預期，然後也評論了製藥業將繼續重組。您可能已經在我們最近進行的幾項調查中看到，許多大型製藥公司的受訪者表示預計將進行第二輪重組。所以我想問您，客戶對於這類事情能給予您多少透明度？例如，如果即將進行另一次重組，並且內部人員似乎知道該信息，他們是否會與您分享該信息，以便您能夠將其納入您的預期中？

And then kind of relatedly, your thoughts about '25 is as far out as the end of the year, is that based on this type of conversation? Or are you just having to take a conservative posture given limited visibility? Thanks.

然後有點相關的是，你對 25 年的想法是到今年年底為止，這是基於這種類型的對話嗎？還是你只是因為可見度有限而不得不採取保守的態度？謝謝。

David, we're staying, as we always do, as close to our clients as possible. We have a long term, very senior relationships with folks of pretty much every drug company. They depend heavily on us for a whole range of things; many of them buy across our entire portfolio.

戴維，我們會像往常一樣，盡可能地貼近我們的客戶。我們與幾乎所有製藥公司的員工都保持著長期、高層的合作關係。他們在很多事情上都嚴重依賴我們；他們中的許多人都購買了我們的整個投資組合。

Is there another shoe to drop? We're not hearing that. I suppose, anything is possible. Some of them have told us that they're (inaudible) done and moving away from this, and we'll be spending more. Some of them have announced that just in terms of their overall R&D expenditures. But we do anticipate that some of that is not over yet. So I think we have very -- we have as good visibility as we possibly can have. I mean, they are very much dependent on us doing the work for them, so they need to get out ahead of that in terms of booking slots and communicating with us in terms of how much work they anticipate having us do or not do. And when they get done with their infrastructure reductions, it's likely that they'll want to crank things up meaningfully, getting back to (inaudible) filings or maybe discovery spending.

還有其他鞋子要掉下來嗎？我們沒有聽到那件事。我想，一切都有可能。他們中的一些人告訴我們，他們（聽不清楚）已經完成了並且將不再做這件事，而我們將會花費更多。其中一些公司已經公佈了其整體研發支出。但我們確實預計其中一些尚未結束。所以我認為我們已經擁有盡可能好的可見性。我的意思是，他們非常依賴我們為他們完成工作，所以他們需要在預訂時段方面走在前面，並與我們溝通他們預計我們做或不做多少工作。當他們完成基礎設施削減後，他們可能會希望更進一步加大力度，重新回到（聽不清楚）備案或許是發現支出的狀態。

So I do think it's incumbent upon them to keep us well informed. As I said earlier, we're just not going to make any overall assumptions on what's going to happen aside from what they tell us is going to happen. And so all we can do is stay in very close communication with them, which we do constantly. And so we anticipate that things won't deteriorate further, that things will be stable there, even if some have a second round, some of them will be out of that and will be moving forward. So it should be a decent offset.

因此我確實認為他們有責任讓我們充分了解情況。正如我之前所說，除了他們告訴我們將要發生的事情之外，我們不會對將要發生的事情做出任何總體假設。因此，我們所能做的就是與他們保持密切溝通，我們一直都是這麼做的。因此，我們預計情況不會進一步惡化，那裡的情況將會保持穩定，即使有些國家出現第二輪談判，但有些國家也會擺脫談判困境，繼續向前邁進。所以這應該是一個不錯的抵消。

If I could ask you a quick follow-up in the deck, around DSA and pricing, you highlighted that in the current environment, pricing has become a topic of discussion. I wanted to clarify whether that was the -- in the current environment part of that, is that kind of an extension of what you have been telling us? Or is this a signal that the pricing is -- kind of the pricing demands from clients are intensifying and maybe taking another step down? Thanks.

如果我可以在演講中就 DSA 和定價問題向您提出一個快速的後續問題，您強調說，在當前環境下，定價已成為一個討論主題。我想澄清一下，在當前環境下，這是否是您所告訴我們內容的延伸？或者這是否表明客戶的定價要求正在加強，甚至可能進一步下降？謝謝。

Yeah, no, it's a continuation with the biotech guys that are -- where access to capital is difficult. And even the big pharma companies who have been reducing their infrastructure, they have been more price sensitive. And of course, as we've reported multiple times, we do have several competitors, particularly in the safety assessment business that compete with us primarily on price. So price becomes both an issue and an opportunity for our clients.

是的，不，這是生物技術人員面臨的難題——取得資金非常困難。即使是那些一直在削減基礎設施的大型製藥公司，它們對價格的敏感度也更高。當然，正如我們多次報告的那樣，我們確實有幾個競爭對手，特別是在安全評估業務方面，他們主要在價格上與我們競爭。因此，價格對我們的客戶來說既是一個問題，也是一個機會。

As we've also said, we both strategically and selectively will utilize a reduction in our own prices to either preserve or garner new share. We don't go to the point of matching our competition because those price points we feel would be too low, given the complexity of the studies and the cost of the studies that we're doing. So it's an issue. The work that we've done to continue to lean out our infrastructure, which I think we've done a really good job at, allows us to be slightly more aggressive with our pricing if our cost structure is lower and still be able to protect margins as well as possible. So a continuation of kind of the dialogue that we saw last year. I don't think that's a new intensification of it with regard to price.

正如我們所說，我們將策略性地和有選擇地利用降低自身價格來保留或獲得新的份額。我們不會與競爭對手進行比較，因為考慮到研究的複雜性和我們正在進行的研究的成本，我們認為這些價格點太低了。所以這是一個問題。我們為繼續精簡基礎設施所做的工作，我認為我們在這方面做得非常好，這使我們能夠在成本結構較低的情況下更積極地定價，同時仍然能夠盡可能地保護利潤率。這是我們去年看到的對話的延續。我認為，就價格而言，這並不是新的加劇。

Got it. Appreciate the clarification. Thank you.

知道了。感謝您的澄清。謝謝。

Anne Hynes, Mizuho.

安妮海因斯 (Anne Hynes)，瑞穗。

What do you think is different about this downturn versus other downturns? And do you think the recovery from this downturn would be different? I guess what I'm trying to get at is you gave long-term growth rates right before the industry started decline. Do you think those growth rates will be intact post the recovery from this downturn? Or do you think there's a structural shift in the growth of any of your business lines? Thanks.

您認為此次經濟衰退與其他經濟衰退相比有何不同？您認為這次經濟衰退後的復甦會有所不同嗎？我想我想表達的是，你給出了該行業開始衰退之前的長期成長率。您認為經濟從此次衰退中復甦後，這些成長率還會維持下去嗎？或者您認為您的某條業務線的成長是否發生了結構性轉變？謝謝。

Yeah, so I don't think this downturn is -- and the last time we had a situation like this, it was after the economic meltdown in '08, so we had a tough time in '09, '10, '11, and '12. During that period, things were fundamentally different from a marketplace point of view. Number one, many of our competitors, we now own, so I think we have a bigger infrastructure. I'm talking principally.

是的，所以我不認為這次的經濟衰退是——上次我們遇到這種情況是在2008年經濟崩潰之後，所以我們在2009年、2010年、2011年和2012年度過了一段艱難的時期。在那個時期，從市場角度來看情況發生了根本性的變化。首先，我們現在擁有許多競爭對手，所以我認為我們擁有更大的基礎設施。我主要講的是。

About safety assessments, there were a modest amount of biotech companies, and now there are hundreds if not thousands, so many more companies that need that capability. And in those days, the big pharma companies were doing a lot more -- first, there were more big pharma companies, and they were doing a lot more work internally, and that's changed. That's changed fundamentally.

關於安全評估，以前的生物技術公司數量很少，但現在有數百甚至數千家公司需要這種能力。在那個年代，大型製藥公司做的工作更多——首先，出現了更多的大型製藥公司，它們在內部做了更多的工作，而這種情況已經改變了。這已經發生了根本性的改變。

We also -- we and all of our competitors have built a lot of space, and we were really swimming in excess capacity, which I think allows the clients to really push pricing way down and margins down as well. So the situation isn't -- I mean, everything that I just said is different.

我們和我們所有的競爭對手都建造了大量空間，我們的產能確實過剩，我認為這讓客戶能夠真正壓低價格並降低利潤率。所以情況不是——我的意思是，我剛才說的一切都不同。

Thousands of biotech companies, pharma is much leaner. We have -- I would say, our capacity utilization isn't optimal and isn't where we would like it to be, but it's not nearly in the position that we were in previously. So the thing that's similar is these clients are approaching a patent list, and that's somewhat circular. I mean, that's probably every decade or so, we see a patent that's happening. This one's pretty profound because there's a lot of very expensive drugs out there. But we do think that there's a necessity for all of our clients, both large and small, to get back to work as soon as they feel comfortable doing that from an affordability point of view.

擁有數千家生技公司，製藥業更加精簡。我想說，我們的產能利用率並不理想，也沒有達到我們所希望的水平，但還遠遠沒有達到我們之前的水平。因此，相似之處在於這些客戶都在接近專利清單，這有點循環。我的意思是，大概每十年左右，我們就會看到一項專利的出現。這一點非常深刻，因為市面上有許多非常昂貴的藥物。但我們確實認為，我們所有的客戶，無論大小，只要從負擔能力的角度感覺舒適，就有必要盡快恢復工作。

The host of drug modalities right now to treat really tough diseases is the best, maybe, it's ever been, and there's definitely a lot of drugs that have not been pursued. So they're either parked somewhere or -- and they may be parked before the IND phase, so we're not seeing that as well. So we can't predict exactly when the recovery will be, but it feels like a fundamentally different situation than the last time. And it feels like there's a significant amount of pent up demand and need on the client's part to develop these drugs, as I said, which are very powerful and meeting unmet medical needs.

目前用於治療真正疑難疾病的各種藥物方式可能是有史以來最好的，但肯定還有很多藥物尚未被開發。因此，它們要么停在某個地方，要么 - 而且它們可能停在 IND 階段之前，所以我們也沒有看到這種情況。因此，我們無法準確預測復甦何時會發生，但感覺這次的情況與上次有著根本的不同。而且感覺客戶方面對開發這些藥物有著大量被壓抑的需求和需要，正如我所說的，這些藥物非常強大，可以滿足尚未滿足的醫療需求。

Great. And just as a follow-up, I believe you said in 2025 you're assuming some growth in biotech. Can you just elaborate how much growth and what gives you confidence in that growth?

偉大的。作為後續問題，我相信您說過您預計 2025 年生物技術會有所成長。您能否詳細說明一下成長幅度有多大以及是什麼讓您對這種成長充滿信心？

Yeah. I mean, just that we're being -- we began to see it take up a little bit in the fourth quarter. And we're in it, and it feels more stable than the big pharma folks. And as I said, everything that they do is outsourced. So given the both current and anticipated inflows from the capital markets and into the venture firms, we anticipate an improvement but modest -- a modest improvement. So that's embedded in our guidance, and the modest improvement will not be sufficient to offset the situation from the big pharma companies who will be pretty much stable but definitely not increasing.

是的。我的意思是，我們開始看到它在第四季度有所增加。我們身處其中，感覺比大型製藥公司更穩定。正如我所說，他們所做的一切都是外包的。因此，考慮到資本市場和創投公司的當前和預期資金流入，我們預計情況會有所改善，但幅度不大——只是適度改善。因此，這已包含在我們的指導中，而適度的改善不足以抵消大型製藥公司的狀況，大型製藥公司的狀況將基本穩定，但肯定不會成長。

Great, thank you.

太好了，謝謝。

Justin Bowers, Deutsche Bank.

德意志銀行的賈斯汀·鮑爾斯。

Just pivoting back to DSA. One clarification on Liz's question, with the bookings being stable sequentially, is that in terms of like the nominal bookings and net bookings or just on the book-to-bill? And then part two of this is, can you just help us understand some of the underlying dynamics in DSA? You've discussed a fairly stable demand environment from the second half of the year, stability in global, some modest improvement in biotech, but it looks like organic is down mid-single to high-single in 2025. So is that delta? Is that price or mix or discovery? Just sort of help us peel the onion back a little bit there.

只需轉回 DSA。對於 Liz 的問題，需要澄清的是，由於預訂量連續保持穩定，這是指名義預訂量和淨預訂量，還是僅僅是訂單出貨比？第二部分是，您能幫助我們了解 DSA 中的一些潛在動態嗎？您已經討論了從今年下半年開始相當穩定的需求環境，全球穩定，生物技術有所改善，但看起來有機產品在 2025 年會從中位數下降到高位數。那麼這就是增量嗎？這是價格、組合還是發現？這只是幫助我們稍微剝一下洋蔥皮而已。

Let me just take the back half of the question and Flavia can take the beginning of it. So it will be down in a similar range to last year, slightly more. Last year, the decline was principally volume. And this year, it's going to be sort of half price and half volume. So the price is coming through the backlog as work comes out of the backlog and that we actually do it where we have prices that were lower than previously.

讓我只回答問題的後半部分，然後弗拉維亞可以回答問題的開頭部分。因此，降幅將與去年相似，甚至略高一些。去年，下降的主要是數量。今年，價格和銷量都將減半。因此，隨著工作從積壓訂單中完成，價格也會隨之變化，而且我們實際上是在以比以前更低的價格進行交易。

So the good news about that is that we anticipate that the volume decline will be lower than it was the prior year, so that's a good thing. And but we do have a pricing headwind, which we should move through for the balance of the year.

好消息是，我們預計銷量下降幅度將低於前一年，這是一件好事。但是我們確實面臨定價方面的阻力，我們應該在今年餘下時間內克服它。

I'll let Flavia answer the book-to-bill question.

我請弗拉維亞來回答訂單出貨比的問題。

Yeah. Justin, I was talking about growth in that book-to-bill in my earlier comments about stability in -- sequentially in the fourth quarter versus the third quarter.

是的。賈斯汀，我之前在評論第四季度與第三季度相比的穩定性時談到了訂單出貨比的成長。

Okay, and maybe just one more follow-up on pricing is if we're looking at the environment now and, call it, 1Q, is it stable versus 4Q? Or any changes in either direction with respect to the price in DSA?

好的，也許關於定價的另一個後續問題是，如果我們現在看環境，稱之為 1Q，它與 4Q 相比是否穩定？或者 DSA 價格有任何方向的變化嗎？

I can take that, Jim. Yeah, I think prices is stable. I think that's the clarification to Dave Windley's question that Jim provided additional color when we said the continuation of the environment, we started seeing some pricing headwinds in terms of the bookings we were taking as early as last year. And we have signaled throughout 2024 about that selective pricing, selective discounting that we were conducting, and that is now materializing in a price headwind in 2025. But we're not seeing a continuation of erosion of pricing of what we're booking in 2025 towards the later part of 2025 or 2026, if that makes sense. So spot prices, I'd say, flattish to the end of the year.

我可以接受，吉姆。是的，我認為價格穩定。我認為這是對戴夫溫德利（Dave Windley）問題的澄清，當我們談到環境的延續時，吉姆提供了額外的細節，我們早在去年就開始看到我們所做的預訂方面的一些定價阻力。我們在 2024 年全年都發出信號，表示我們將進行選擇性定價和選擇性折扣，而這在 2025 年的價格逆風中得以體現。但如果說得通的話，我們不會看到 2025 年預訂的價格在 2025 年下半年或 2026 年繼續下滑。因此我認為現貨價格到年底將保持穩定。

Understood. That's helpful. Thanks so much.

明白了。這很有幫助。非常感謝。

Charles Rhyee, TD Cowen.

查爾斯·瑞（Charles Rhyee），TD Cowen。

Hi, this is Lucas on for Charles Rhyee. Wanted to dig deeper into the Manufacturing segment and the opportunities you see for margin expansion. I understand that you guys are expecting margins to improve in 2025 here, driven by growth of Microbial Solutions. You also call that right sizing actions and CDMO business and potential [receive] payments from clients who terminated their arrangements. Should we think about those two items as the opportunities to see improved margins? Or are there other items that you guys expect to benefit within the segment?

大家好，我是 Lucas，代替 Charles Rhyee 演出。想要深入了解製造業領域以及您看到的利潤擴大機會。我知道，你們預計，在微生物解決方案成長的推動下，2025 年的利潤率將會提高。您還可以稱之為正確的規模行動和 CDMO 業務以及可能從終止其安排的客戶 [收到] 付款。我們是否應該將這兩項視為提高利潤的機會？或者你們預計該領域還有其他項目會受益嗎？

Jim, I can take that if you want since I was answering the question about the Manufacturing Solutions margin expansion. So Lucas, all the items that you relayed, in addition to that, we've been looking at right sizing our, let's say, staffing across the entire company all throughout last year. And the $225 million of cost savings that will annualize fully by 2026, but $175 of that will be in 2025, benefit all segments and all businesses within each of the segments, right? So Biologic Solutions - excuse me, Biologic Testing, Microbial, and CDMO all had actions in the works. And then as I mentioned, we further enhance the restructurings in CDMO given the loss of those two commercial clients. So the focus on margin protection has been the case throughout all of last year, and it's going to impact all businesses.

吉姆，如果你願意的話我可以接受這個，因為我正在回答有關製造解決方案利潤率擴大的問題。盧卡斯，除了你轉達的所有事項之外，我們去年還一直在研究如何合理調整整個公司的人員配置。到 2026 年，2.25 億美元的成本節省將完全實現年度化，但其中的 1.75 億美元將在 2025 年實現，這將使所有部門以及每個部門內的所有業務受益，對嗎？所以生物解決方案——對不起，生物測試、微生物和 CDMO 都已經採取行動了。正如我所提到的，考慮到失去這兩位商業客戶，我們進一步加強了 CDMO 的重組。因此，對利潤保護的關注貫穿了去年全年，這將影響所有企業。

Okay. I appreciate that. And then just as a follow-up, your guys' 10-K filing, it noted that one of your clients received a complete response letter from the FDA. Can you clarify whether this was one of the clients -- the two clients that you discussed at JPMorgan or if this is a new client? The filing says it took place in January '25.

好的。我很感激。然後作為後續行動，你們的 10-K 文件指出，你們的一位客戶收到了 FDA 的完整回覆信。您能否澄清這是您在摩根大通討論過的兩個客戶之一，還是一位新客戶？文件稱此事發生於25年1月。

It's one of the two clients we talked about at JPMorgan.

它是我們在摩根大通談到的兩個客戶之一。

All right. Thanks.

好的。謝謝。

Michael Ryskin, Bank of America.

美國銀行的邁克爾·里斯金（Michael Ryskin）。

First, I want to just take on a little bit on margins for next year. I think you generally just said, modestly down margins for '25 versus '24. I just want to make sure my math is right. Once I go through the models of adding the share buyback and some of the other non-GAAP items, I'm getting pretty close to down 100 bps, something in that ballpark. Is that right? Or is it more of in the like 10, 20 bps year over year.

首先，我想稍微提高一下明年的利潤。我認為您通常只是說，2025 年的利潤率與 2024 年相比略有下降。我只是想確保我的數學是正確的。一旦我研究了添加股票回購和其他一些非 GAAP 項目的模型，我就會接近下降 100 個基點，大概就是這樣。是嗎？或者同比增速大概在 10 到 20 個基點之間。

Jim, I can take that. I think, Mike, we're going to let each of you interpret what we mean by modestly below and update your models accordingly. I know you would rather have more quantitative guidance than qualitative, but at this point, we're going to stick with how we provided that color.

吉姆，我可以接受。我想，麥克，我們將讓你們每個人解釋一下下面我們所說的謙虛是什麼意思，並相應地更新你們的模型。我知道您寧願得到更多的定量指導而不是定性指導，但在這一點上，我們將堅持提供顏色的方式。

Okay, sure. And then a quick follow-up, then. You touched on pricing a couple times. I appreciate your comments on sort of like stable pricing and the answer you gave just a couple questions ago in terms of how price works through the backlog impact on '25. That all makes sense. But I just kind of want to take a step back and see how you think about pricing relative to historical levels. There's been a lot of price [taken] over the last couple of years. Obviously, you're seeing that as a headwind flow through now but maybe sort of ignoring the week-to-week, month-to-month trends of is there pricing stability or not.

好的，當然。然後快速跟進。您幾次談到定價問題。我很感謝您對於穩定定價的評論，以及您在幾個問題之前就價格如何通過積壓對'25 的影響而給出的答案。這一切都是有道理的。但我只是想退一步來看看您如何看待相對於歷史水平的定價。過去幾年裡，價格上漲了很多。顯然，您現在將此視為一股逆風，但也許忽略了每週、每月的價格穩定趨勢。

Do you feel like, in general, for your business and maybe for the market overall, price is in a healthy level? I guess put in other words is, could we be seeing something where you get some stability for a few quarters then another reset? Or at least, maybe stability for a few quarters, but you just don't have pricing power for several years because it is still a little bit on the more expensive side relative to historicals? Just going to take a step back and take a bigger view of the price question.

您是否覺得，整體而言，對於您的業務甚至整個市場而言，價格處於健康水平？我想換句話說就是，我們是否會看到某種情況在幾個季度內保持穩定，然後再次重置？或者至少，可能在幾個季度內保持穩定，但幾年內你就沒有定價權，因為與歷史價格相比，現在的價格還是有點貴？我們只需退一步思考，從更廣闊的視角來看價格問題。

I mean, it's tough to predict except this is a certainty that the (inaudible) we're in is pull back the biotechs relative to funding and the big guys relative to getting their infrastructures in good shape is transitory for sure. And if you look at our Safety Assessment business, just as an example, and given that it's such a large business and so impactful, it's just classic supply demand quotient. And so as the demand rebuilds, as more drugs, more IDs are filed, and pipelines get robust again and space gets tight again, which it has for years, most recently is '21 and '22 and will -- again, we think, for a meaningful amount of time, will have a meaningful amount of price and power, number one. And price will be less of an issue for our clients and getting access to capacity and in a timely fashion will be paramount to them, which, as I said, which we saw for years. So that's inevitable, and that will be coming back.

我的意思是，這很難預測，但可以確定的是，我們所處的（聽不清楚）階段會拉低生技公司的資金投入，而大公司在基礎建設方面的表現也肯定會是暫時的。如果您以我們的安全評估業務為例，考慮到這是一個如此龐大的業務並且影響如此之大，它就是經典的供需商。因此，隨著需求的恢復，隨著更多藥品、更多身分證件被提交，管道再次變得強勁，空間再次變得緊張，這種情況已經持續多年，最近一次是21年和22年，而且，我們認為，在一段有意義的時間內，將擁有有意義的價格和權力，這是第一點。對於我們的客戶來說，價格不再是問題，而及時獲得產能對他們來說才是最重要的，正如我所說，這是我們多年來一直看到的。這是不可避免的，而且這種情況還會再次發生。

We get price in the research model business every year for 76 years and will again in 2025. And we get price in other businesses with this great demand, Microbial, in particular. And so it's a very pure supply-demand quotient.

76 年來，我們每年都在研究模型業務中獲得收益，2025 年我們將再次獲得收益。由於需求旺盛，我們在其他業務中也獲得了價格，尤其是微生物業務。所以這是一個非常純粹的供需商。

And Mike, just to come back to your question, as I said, I'm not going to provide quantitative additional color, but just it's helpful for 2024, where we just finished the year, we had said that margins were going to go down modestly, and they ended up going down 40 bps. So if that's helpful, as you think about what our modestly, moderately means. Just to provide some qualitative color.

麥克，回到你的問題，正如我所說，我不會提供量化的額外細節，但它對 2024 年很有幫助，我們剛剛結束這一年，我們曾說過利潤率將小幅下降，最終下降了 40 個基點。如果這有幫助的話，您可以思考我們的謙虛、適度意味著什麼。只是為了提供一些定性的顏色。

Okay, thanks.

好的，謝謝。

Max Smock, William Blair.

馬克斯·斯莫克，威廉·布萊爾。

Let me just a quick one for me here. I was a little bit surprised by the impairment for the Biologics Testing business. I think over the last couple quarters, you've talked about seeing a continued rebound in that sub segment, seemed like things were going well. I know you touched on it a bit during the call, but can you just walk through the issues facing that business and how you're thinking about growth there from that sub segment in 2025? And then longer term, whether there's been a material change to how you're thinking about the long-term potential for that business, which, I think, going back to the Analyst Day, you pointed to as being a high-single-digit or maybe even 10% growth longer term? Thank you.

讓我在這裡簡單說一下。我對生物製劑測試業務的損害感到有點驚訝。我認為在過去幾個季度中，您談到看到該細分市場的持續反彈，看起來情況進展順利。我知道您在通話中稍微提到了這一點，但您能否簡單介紹一下該業務面臨的問題以及您如何看待 2025 年該細分市場的成長？那麼從長期來看，您對該業務長期潛力的看法是否發生了重大變化？謝謝。

Yeah, I can take the question on the goodwill impairment. So we obviously do a goodwill assessment of all of our segments annually. And in this case, the CDMO business is part of the segment where the goodwill charge was recorded. So as you can imagine, the loss of the two commercial clients, in addition to a perhaps more -- a lower level of growth in those businesses versus what we had assumed at the time of acquisition with the primary drivers of the impairment. So while there's still good growth potential, especially with cell and gene therapy, once the market rebounds, it is at a lower level versus what we had assumed at the time of acquisition. And the loss of those two commercial clients put additional pressure. Does that help?

是的，我可以回答有關商譽減損的問題。因此，我們顯然每年都會對所有部門進行商譽評估。在這種情況下，CDMO 業務是記錄商譽費用的部門的一部分。因此，你可以想像，失去兩個商業客戶，此外，這些業務的成長水平可能低於我們在收購時所假設的水平，這是造成損害的主要因素。因此，雖然仍有良好的成長潛力，尤其是細胞和基因療法，但一旦市場反彈，其水平將低於我們收購時的假設。而失去這兩位商業客戶則帶來了額外的壓力。這樣有幫助嗎？

Yeah. And sorry, maybe I misunderstood. Was there an impairment related to the -- it sounds like the impairment was entirely related to the CDMO business. I maybe misinterpreted your comments around it being related more to the testing business itself, which again, I think has been one of the better performing sub segments in your broader Manufacturing business over the last couple of quarters.

是的。抱歉，我可能誤會了。是否存在與之相關的減損——聽起來減損完全與 CDMO 業務有關。我可能誤解了您的評論，認為它與測試業務本身更相關，但我認為，在過去幾個季度中，測試業務一直是您更廣泛的製造業務中表現較好的子部門之一。

Yeah, the goodwill for the CDMO business is combined with Biologics Testing in terms of how the segment is tested, conducted. And so I would say, if you think about what triggered that, it's mostly driven by the CDMO adjustments, not the biologic testing.

是的，就該部門的測試和實施方式而言，CDMO 業務的商譽與生物製劑測試相結合。所以我想說，如果你想想是什麼引發了這一事件，你會發現，這主要是由 CDMO 調整而不是生物測試驅動的。

Got it. Thank you. It's helpful.

知道了。謝謝。這很有幫助。

Jacob Johnson, Stephens.

雅各約翰遜，史蒂芬斯。

I've got two on CDMO that I'll just ask in combination. One, just clarification, Flavia, you mentioned maybe there's some contractual arrangements around the loss of these commercial customers. Is that something that's -- and it's contemplating guidance? Is that something that is contemplated in the 1% headwind from the loss of those customers?

我有兩支 CDMO，我會組合起來詢問。首先，需要澄清的是，弗拉維亞，您提到可能存在一些關於失去這些商業客戶的合約安排。這是正在考慮的指導嗎？這是在失去這些客戶所造成的 1% 逆風中所考慮的嗎？

And then the second question, just has the loss to these commercial customers and you disclosed the [43] and the 10-K, has that impacted business development activities? I think commercial therapy support is a good selling point as the loss to these customers made things more difficult. Thanks.

然後第二個問題是，這些商業客戶的損失以及您所揭露的[43]和10-K是否影響了業務發展活動？我認為商業治療支援是一個很好的賣點，因為失去這些客戶使事情變得更加困難。謝謝。

Why don't I just take the second quickly, which is that -- obviously, we're not thrilled with the loss of our (inaudible) as commercial customer. And the second one I would say, we would describe that more as reduced revenue rather than a loss. But anyway, so I do think that having those clients has been helpful and beneficial to our sales effort by the same token.

我為什麼不快速回答第二個問題？ 很明顯，我們對失去（聽不清楚）商業客戶感到非常不滿。第二，我想說，我們更願意將其描述為收入減少，而不是損失。但無論如何，我確實認為擁有這些客戶對我們的銷售工作同樣有幫助和益處。

We have a fair number of clients that we have and continue to get, many in the -- who are in the clinical phase and some in late clinical phase. So we should continue to see a significant demand. I think that business is actually very well run right now and very well staffed, and capabilities have been enhanced significantly. And clients are really in need of high-quality providers. So I don't think it's helpful, but I think that we're going to continue to get this business notwithstanding the loss of those clients.

我們擁有並將繼續擁有相當數量的客戶，其中許多處於臨床階段，有些處於臨床後期階段。因此我們應該會繼續看到巨大的需求。我認為目前業務運作得非常好，人員配備非常出色，能力也得到了顯著增強。而客戶也確實需要高品質的供應商。所以我不認為這有什麼幫助，但我認為，儘管失去這些客戶，我們仍將繼續開展這項業務。

And Jacob, just to confirm, the contractual obligations that we have with one of those clients is contemplated in the guidance and embedded and included in the 100 basis points of headwind that we talked about.

雅各布，我確認一下，我們與其中一位客戶之間的合​​約義務已在指引中考慮，並包含在我們之前談到的 100 個基點的逆風中。

Got it. Thanks for taking the questions.

知道了。感謝您回答這些問題。

Patrick Donnelly, Citi.

花旗銀行的 Patrick Donnelly。

Flavia, maybe one more just on the book-to-bill. I guess with the $150 million step down in the backlog, I was getting closer to kind of a 0.75 book-to-bill, which would have been down from the low 0.9 range last quarter. I know you're saying it's flat sequentially, so what -- I guess, what am I missing? Is it FX or something in there? I'm just trying to figure out that book-to-bill comment, if you could provide a little more color.

弗拉維亞，也許還有一篇關於訂單與帳單的文章。我想，隨著積壓訂單減少 1.5 億美元，訂單出貨比就越來越接近 0.75 了，而上個季度的訂單出貨比還低 0.9。我知道您說的是它是連續平坦的，那麼——我想，我遺漏了什麼？這是 FX 還是其他什麼？我只是想弄清楚訂單與出貨量之間的評論，希望您能提供更多詳細資訊。

Yeah, I won't provide additional quantitative commentary other than to say the math is -- it's like very flat quarter over quarter. So don't know if FX is playing an impact in your model or -- remember, you have nominator and denominator, and you have the bookings but also the revenue outlook that plays into it. So it's flat, both growth and that book-to-bill, Q4 versus Q3.

是的，除了說數學是——每個季度都非常平穩之外，我不會提供額外的定量評論。所以不知道外匯是否會對您的模型產生影響——請記住，您有分子和分母，有預訂量，但也有收入前景。因此，第四季與第三季相比，成長和訂單出貨比都持平。

Okay, right. I'll take a look at that. And then, Jim, maybe one for you just to kind of talk about the DSA margin outlook going forward. You certainly understand, this year, you have the pressure on the price and the revenue obviously down, the high-single margins will go down with it. You talked a little bit about the Manufacturing long-term marginality. You talk about DSA. As we go forward here, how do you think about the margin trajectory?

好的，對的。我會看一下。然後，Jim，也許您可以談談未來的 DSA 利潤率前景。你當然明白，今年你面臨價格壓力，收入明顯下降，高單利潤率也會隨之下降。您談到了製造業的長期邊際性。您談論的是 DSA。隨著我們繼續前進，您如何看待利潤率走勢？

Certainly, a question we get a lot about where this goes over the next few years, continue to contract? Are there path higher here and there's a recovery? Can you talk about, I guess, the moving pieces inside DSA? I know you talked a little bit about the pricing environment going forward, but curious how you think about that margin trajectory over multiple years in DSA. Thank you, guys.

當然，我們經常被問到的一個問題是，未來幾年這一趨勢會如何？這裡是否有上漲的路徑並且有復甦？能談談 DSA 內部的活動部件嗎？我知道您談到了未來的定價環境，但我很好奇您如何看待 DSA 多年來的利潤率趨勢。謝謝你們。

Yeah. We definitely don't think it'll continue to contract. So you've got two issues. One is -- three issues, really. One is significant leaning out of the infrastructure there, which I think we've done a really good job at this year, both in terms of physical capacity and human capacity as well, coupled with technology, digitizing the company, and allowing the clients to do self-educated and book studies themselves and have things be much less manual and people oriented.

是的。我們絕對不認為它會繼續萎縮。因此，您遇到了兩個問題。一是——其實是三個問題。一是大幅加強基礎設施建設，我認為我們今年在這方面做得非常好，無論是在物理能力還是人力方面，再加上技術，實現了公司數位化，並允許客戶自己進行自學和書籍研究，使事情不再那麼手動，而更加以人為本。

And as I said earlier, as capacity -- and by the way, we're being very careful in terms of how much capacity we add given what the demand is right now, which is why CapEx will be down in 2025. And as the capacity fills and the backlog elongates, people will be willing to pay more. We've seen that, as I said earlier, for multiple years, for long periods of time, where pricing suddenly becomes much less of an issue.

正如我之前所說，就產能而言——順便說一句，考慮到目前的需求，我們在增加產能方面非常謹慎，這就是為什麼 2025 年資本支出將下降。隨著產能填滿和積壓時間延長，人們將願意付出更多。正如我之前所說，我們已經看到，多年來，在很長一段時間內，定價突然不再是一個問題。

And I would remind all of you that while the preclinical spend is not insignificant, and it's obviously very important to get a drug into the clinic, it's 20% to 25% of the cost of developing a drug and 70%, 75% is in the clinic. So they can and should and will begin to spend more in discovery and in early development.

我想提醒大家，雖然臨床前支出並非微不足道，而且它對於藥物進入臨床階段顯然非常重要，但它只佔藥物開發成本的 20% 到 25%，而 70% 到 75% 用於臨床階段。因此他們可以、也應該、也將開始在發現和早期開發方面投入更多資金。

So if you combine those three issues, we should see improvement in operating margin. I'm not going to give you a number or quantify that, but I think they could be meaningfully better than they are now going forward.

因此，如果將這三個問題結合起來，我們應該會看到營業利潤率的提高。我不會給你一個數字或量化這一點，但我認為他們今後的表現可能會比現在更好。

Understood. Thank you.

明白了。謝謝。

Casey Woodring, JPMorgan.

摩根大通的凱西‧伍德林 (Casey Woodring)。

I just have one two-part question on the new administration. The first is on tariffs. So earlier this morning, President Trump said he would likely impose a 25% tariff on pharmaceutical imports that could come as soon as April 2. So just any quick thoughts on how something like that would impact pharma budgets and that customer groups pre-clinical drug development spending?

我對新政府只有一個問題，分成兩個部分。第一是關稅問題。今天早上，川普總統表示，他可能會對藥品進口徵收 25% 的關稅，最快可能在 4 月 2 日實施。那麼，您能不能想一想，這樣的事情會如何影響製藥預算以及客戶群的臨床前藥物開發支出？

And then second, on the new administration, just kind of curious to hear your general thoughts around how customers are thinking through any other potential impacts, such as RFK's confirmation, just given in the past, we've talked about greater scrutiny of pharmaceutical approvals? Any color you can share there. Thank you.

其次，關於新政府，我很好奇想聽聽您對客戶如何看待其他潛在影響的總體看法，例如羅伯特·甘迺迪 (RFK) 的確認，我們之前討論過對藥品審批的更嚴格審查？您可以在那裡分享任何顏色。謝謝。

Yeah, I mean, it would all be a, probably, speculation at this point. So we're really not hearing much from our clients on the RFK situation. And he's talked a lot about food, and he's talked a lot about vaccine spending. And we'll just have to see how that that pans out, what impact, if any, will he have on both the rate and the quantity of new drugs being developed and what, if anything, will happen to the FDA.

是的，我的意思是，目前這一切可能都還只是猜測。因此，我們確實沒有從客戶那裡聽到太多關於 RFK 情況的消息。他也多次談論食品問題和疫苗支出問題。我們只需觀察事情會如何發展，他會對新藥開發的速度和數量產生什麼影響（如果有的話），以及 FDA 會面臨什麼變化（如果有的話）。

I've seen the situation this morning relative to the tariffs, and that's trying to support the US development of drugs. So that could be beneficial to US drug companies. So we'll just have to see how that plays out as well.

我今天早上看到了與關稅有關的情況，這是為了支持美國的藥品研發。這可能對美國製藥公司有利。所以我們只需要看看事情會如何發展。

Great, I think that concludes the questions for today's call.

太好了，我想今天電話會議的問題就到此結束了。

In fact, sir, yes, that is the final question in our queue. Mr. Spencer. I'm happy to turn it back to you, sir, for any additional or closing remarks.

事實上，先生，是的，這是我們隊列中的最後一個問題。史賓塞先生。先生，如果您還有任何補充或結束語，我很樂意將時間交還給您。

Sorry, that was me. Yeah, no, that is the conclusion of the call. Thank you, everyone, for joining us this morning.

抱歉，那是我。是的，不，這是通話的結論。感謝大家今天早上加入我們。

That does include the today's Charles River Laboratories fourth quarter and full-year 2024 earnings conference call. Thank you for your participation, and you may now disconnect your lines.

其中包括今天的 Charles River Laboratories 第四季和 2024 年全年財報電話會議。感謝您的參與，您現在可以斷開線路了。