信達思 (CTAS) 2024 Q3 法說會逐字稿

Good day, everyone, and welcome to the Cintas Corporation announces fiscal 2024 third quarter earnings release conference call. Today's call is being recorded. At this time, I would like to turn the call over to Mr. Jared Mattingley, Vice President and Treasurer, Investor Relations. Please go ahead, sir.

各位好，歡迎參加 Cintas Corporation 公布 2024 會計年度第三季財報新聞稿電話會議。今天的會議將進行錄音。此刻，我想把電話交給投資人關係副總裁兼財務長 Jared Mattingley 先生。先生，請開始。

Thank you for joining us. With me is Todd Schneider, President and Chief Executive Officer; and Mike Hansen, Executive Vice President and Chief Financial Officer. We will discuss our fiscal 2024 third quarter results. After our commentary, we will open the call to questions from analysts. The Private Securities Litigation Reform Act of 1995 provides a safe harbor from civil litigation for forward-looking statements.

感謝各位加入。我與總裁兼執行長 Todd Schneider，以及執行副總裁兼財務長 Mike Hansen 一同出席。我們將討論 2024 會計年度第三季的業績。在我們的說明之後，將開放分析師提問。《1995 年私人證券訴訟改革法》為前瞻性陳述提供民事訴訟的安全港。

This conference call contains forward-looking statements that reflect the company's current views as to future events and financial performance. These forward-looking statements are subject to risks and uncertainties, which could cause actual results to differ materially from those we may discuss. I refer you to the discussion on these points contained in our most recent filings with the Securities and Exchange Commission.

本次電話會議包含前瞻性陳述，反映公司目前對未來事件及財務表現的看法。這些前瞻性陳述受風險與不確定性影響，可能導致實際結果與我們所討論者出現重大差異。相關事項請參閱我們最近向美國證券交易委員會提交文件中的討論。

I will now turn the call over to Todd.

我現在把電話交給 Todd。

Thank you, Jared. Due to the outstanding dedication and execution of our employees, whom we call partners, we delivered very strong results for our third quarter. Total revenue for the third quarter grew 9.9% to $2.41 billion. The revenue dollars represent record quarterly revenue. We are pleased with the performance of each of our businesses. Our revenue growth remains robust, and we have good momentum in the business.

謝謝你，Jared。由於我們員工（我們稱之為夥伴）卓越的投入與執行力，我們第三季交出非常強勁的成果。第三季總營收成長 9.9% 至 24.1 億美元。該營收金額創下單季營收新高。我們對各項業務的表現都感到滿意。我們的營收成長仍然強勁，業務動能良好。

New business remains strong. Our sales team continues to operate at a high level. We are seeing broad success across the many verticals, particularly within our focus verticals as well as our cross-selling efforts and penetration of new products and services within our existing customers. Retention levels are strong and remain at very attractive levels.

新業務維持強勁。我們的銷售團隊持續以高水準運作。我們在多個垂直領域都看到廣泛的成功，尤其是在我們聚焦的垂直領域，以及我們的交叉銷售努力，並在既有客戶中導入更多新產品與服務。留存率表現強勁，且仍維持在非常具吸引力的水準。

Our strong revenue growth flowed through to our bottom line. Gross margin for the third quarter increased 220 basis points to a record 49.4%, an increase of 14.9%. Operating income was a record 21.6%, an increase of 16.6%. Diluted EPS grew a robust 22.3% to $3.84.

我們強勁的營收成長也反映在獲利端。第三季毛利率提高 220 個基點至創紀錄的 49.4%，毛利金額增加 14.9%。營業利益率創紀錄達 21.6%，營業利益增加 16.6%。稀釋後每股盈餘（EPS）強勁成長 22.3% 至 3.84 美元。

Cash flow remained strong. Net cash provided by operating activities in the third quarter grew 32.8% over the prior year. In the third quarter, we continued to invest in our businesses through capital expenditures of $107 million.

現金流依然強勁。第三季營業活動提供的淨現金較去年同期成長 32.8%。第三季我們持續透過 1.07 億美元的資本支出投資於各項業務。

During the third quarter, we made acquisition purchases of $111 million. On March 15, we paid shareholders $137.6 million in quarterly dividends, an increase of 17.1% from the amount paid the previous March. Our strong cash flow gives us flexibility to choose how we deploy our capital. And through 3 quarters, we have deployed over $1.4 billion of capital across our priorities of capital expenditures, acquisitions, dividends and buybacks.

第三季我們進行了 1.11 億美元的併購支出。3 月 15 日，我們向股東支付 1.376 億美元的季度股利，較前一年 3 月支付金額增加 17.1%。強勁的現金流讓我們在資本配置上更具彈性。且在前三季，我們已在資本支出、併購、股利與庫藏股回購等優先事項上合計投入超過 14 億美元的資本。

I would like to thank our employees whom we call partners for their continued focus on our customers, our shareholders and each other. Before turning the call over to Mike to provide details of our third quarter results, I'll provide our updated financial expectations for our fiscal year. We are increasing our financial guidance.

我要感謝我們的員工（我們稱之為夥伴）持續專注於客戶、股東以及彼此。在把電話交給 Mike 說明第三季業績細節之前，我先提供本會計年度更新後的財務展望。我們正在上調財測指引。

We are raising our annual revenue expectations from a range of $9.48 billion to $9.56 billion to a range of $9.57 billion to $9.6 billion, a total growth rate of 8.6% to 8.9%. Also, we are raising our annual diluted EPS expectations from a range of $14.35 to $14.65 to a range of $14.80 to $15, a growth rate of 13.9% to 15.5%. Mike?

我們將全年營收預期由 94.8 億至 95.6 億美元，上調至 95.7 億至 96.0 億美元，總成長率為 8.6% 至 8.9%。同時，我們將全年稀釋後 EPS 預期由 14.35 至 14.65 美元，上調至 14.80 至 15.00 美元，成長率為 13.9% 至 15.5%。Mike？

Thanks, Todd, and good morning. Our fiscal 2024 third quarter revenue was $2.41 billion compared to $2.19 billion last year. The organic revenue growth rate adjusted for acquisitions, foreign currency exchange rate fluctuations and a difference in the number of workdays was 7.7%.

謝謝，Todd，大家早安。我們 2024 會計年度第三季營收為 24.1 億美元，去年同期為 21.9 億美元。若調整併購、外匯匯率波動以及工作天數差異後，有機營收成長率為 7.7%。

Total growth was positively impacted by 170 basis points due to the extra workday. We remind you as you update your models for next fiscal year that there will be 2 less workdays compared to this current fiscal year. Each quarter next year, we'll have 65 workdays, which means the first and the fourth quarters will each have 1 less workday than this fiscal year.

總成長率因多出 1 個工作天而正向影響 170 個基點。我們提醒各位在更新下一會計年度模型時，下一會計年度將比本會計年度少 2 個工作天。明年每一季將有 65 個工作天，這表示第一季與第四季各會比本會計年度少 1 個工作天。

Organic growth by business was 7.1% for Uniform Rental and Facility Services, 11.5% for First Aid and Safety Services, 13.9% for Fire Protection Services and Uniform Direct Sale was down 3.9%. Gross margin for the third quarter of fiscal '24 was $1.19 billion compared to $1.03 billion last year, an increase of 14.9%. Gross margin as a percent of revenue was 49.4% for the third quarter of fiscal '24 compared to 47.2% last year, an increase of 220 basis points.

各業務的有機成長率為：制服租賃與設施服務 7.1%，急救與安全服務 11.5%，消防防護服務 13.9%，制服直接銷售則下滑 3.9%。2024 會計年度第三季毛利為 11.9 億美元，去年同期為 10.3 億美元，增加 14.9%。毛利率（占營收比）為 49.4%，去年同期為 47.2%，提高 220 個基點。

Strong volume growth, technology improvements and continued operational efficiencies helped generate this strong gross margin. Gross margin percentage by business was 48.8% for Uniform Rental and Facility Services, 56.3% for First Aid and Safety Services, 48.8% for Fire Protection Services and 41.1% for Uniform Direct sale.

強勁的量增、科技改善以及持續的營運效率提升，促成了這樣的毛利率表現。各業務毛利率為：制服租賃與設施服務 48.8%，急救與安全服務 56.3%，消防防護服務 48.8%，制服直接銷售 41.1%。

Gross margin for the Uniform Rental and Facility Services segment increased 170 basis points from last year. Energy was a tailwind of 40 basis points. In addition, we continue to leverage our strong revenue growth, our technology investments and extract inefficiencies out of the business through our Six Sigma and engineering teams.

制服租賃與設施服務部門的毛利率較去年提高 170 個基點。能源因素帶來 40 個基點的正面助益。此外，我們持續運用強勁的營收成長與科技投資，並透過六標準差（Six Sigma）與工程團隊，從業務中去除低效率。

Our technology investments have allowed us to improve garment sharing among our plants, which improves material cost. Our SmartTruck technology allows us to improve our route efficiencies and provide route densities to our existing routes, which positively impacts truck purchasing, labor and energy. Our Six Sigma and engineering teams have helped us create efficiencies in the plant that allow us to maximize the utilization of our plant equipment, labor and energy.

我們的科技投資讓我們能改善各工廠之間的服裝共享，進而降低材料成本。我們的 SmartTruck 技術讓我們能提升路線效率，並提高既有路線的路線密度，對卡車採購、人力與能源成本帶來正面影響。我們的六標準差與工程團隊也協助我們在工廠端創造效率，使我們能最大化工廠設備、人力與能源的使用率。

Gross margin for the First Aid and Safety Services segment increased 470 basis points from last year. Strong revenue growth continues to help expand our margins in this segment. Strong revenue performance in some of our high-margin recurring revenue products like AED rentals, eyewash stations and WaterBreak continues to provide a healthy revenue mix.

急救與安全服務部門的毛利率較去年提高 470 個基點。強勁的營收成長持續推動該部門的利潤率擴張。在部分高毛利的經常性收入產品（如 AED 租賃、洗眼站與 WaterBreak）上的強勁營收表現，持續帶來健康的營收組合。

Our technology investment in SmartTruck continues to provide route optimization and improved efficiencies. And our first aid dedicated distribution center allows us to lower product costs. All of these contribute to improved gross margins.

我們在 SmartTruck 的科技投資持續帶來路線最佳化與效率提升。而我們的急救專用配送中心則讓我們能降低產品成本。上述因素皆有助於毛利率改善。

Selling and administrative expenses increased 90 basis points from last year. The increase was driven by investments in selling resources, technology and our management trainee program as well as costs associated with an agreement in principle to settle the purported class action contract dispute brought by plaintiff, City of Laurel. We determined that settling the claim is in the best interest of Cintas. The total monetary payment agreed to in the proposed settlement, including the 60 basis points recognized in this quarter is $45 million. We expect that the settlement costs will not impact our financials in the future periods.

銷售與管理費用較去年增加 90 個基點。增加主要來自對銷售資源、科技與管理培訓生計畫的投資，以及與原告 City of Laurel 提起之所稱集體訴訟合約爭議、達成原則性和解協議相關的成本。我們判定和解符合 Cintas 的最佳利益。擬議和解中同意的總金額支付（包含本季認列的 60 個基點）為 4,500 萬美元。我們預期和解成本不會在未來期間影響我們的財務表現。

As Todd mentioned earlier, we generated strong cash flow. For the year, our free cash flow increased 31.6%. This has allowed us to invest back into the business, which has resulted in capital expenditures of 4.3% for the year. Our investments include technology to grow the top line and expand margins, automation to improve efficiencies in our plants and additional processing capacity where needed. We expect capital expenditures to finish around 4.25% of revenue for the year.

如 Todd 先前提到的，我們產生了強勁的現金流。今年以來，我們的自由現金流增加 31.6%。這使我們得以再投資於業務，並使今年資本支出占比達 4.3%。我們的投資包括：用以推動營收成長並擴大利潤率的科技、用以提升工廠效率的自動化，以及在需要之處增加處理產能。我們預期今年資本支出將約為營收的 4.25%。

Operating income of $520.8 million compared to $446.8 million last year. Operating income as a percentage of revenue was 21.6% in the third quarter of fiscal '24 compared to 20.4% in last year's third quarter, an increase of 120 basis points. Our effective tax rate for the third quarter was 19.9% compared to 22.1% last year. The tax rates in both quarters were impacted by certain discrete items, primarily the tax accounting impact for stock-based compensation.

營業利益為 5.208 億美元，去年同期為 4.468 億美元。2024 會計年度第三季營業利益率為 21.6%，去年第三季為 20.4%，提高 120 個基點。第三季有效稅率為 19.9%，去年同期為 22.1%。兩個季度的稅率皆受到某些一次性項目影響，主要為股票基礎薪酬的稅務會計影響。

Net income for the third quarter was $397.6 million compared to $325.8 million last year. This year's third quarter diluted EPS of $3.84 compared to $3.14 last year, an increase of 22.3%. Todd provided our annual financial guidance. Related to the guidance, please note the following: fiscal '24 interest expense is expected to be $99 million compared to $109.5 million in fiscal '23, predominantly as a result of less variable rate debt. Our fiscal '24 effective tax rate is expected to be 20.6%. This compares to a rate of 20.4% in fiscal '23.

第三季淨利為 3.976 億美元，去年同期為 3.258 億美元。今年第三季稀釋後 EPS 為 3.84 美元，去年同期為 3.14 美元，增加 22.3%。Todd 已提供我們的年度財務指引。關於該指引，請注意以下事項：預期 2024 會計年度利息費用為 9,900 萬美元，較 2023 會計年度的 1.095 億美元下降，主要因浮動利率負債較少。預期 2024 會計年度有效稅率為 20.6%，相較 2023 會計年度的 20.4%。

Our guidance does not include the impact of any future share buybacks. As I mentioned earlier, we expect that the proposed settlement will not impact our financials in future periods. And accordingly, there is no impact on our guidance. Guidance includes $17.4 million of acquired revenue for the fourth quarter. This revenue includes the impact of the recently announced acquisitions during the third quarter.

我們的財測指引不包含任何未來股票回購的影響。如我先前提到的，我們預期擬議的和解在未來期間不會影響我們的財務表現。因此，對我們的指引沒有影響。指引包含第四季併購帶來的營收 1,740 萬美元。該營收包含第三季近期宣布之併購案的影響。

That concludes our prepared remarks. Now we are happy to answer your questions from the analysts. Please ask just one question and a single follow-up if needed. Thank you.

以上為我們事先準備的發言。接下來我們很樂意回答分析師的提問。如有需要，請只提一個問題並最多追問一次。謝謝。

(Operator Instructions) We will now take our first question from Manav Patnaik from Barclays Capital.

（接線員指示）我們現在開始第一個問題，由 Barclays Capital 的 Manav Patnaik 提問。

This is Ronan Kennedy on for Manav. Can I just ask with regards to the strong margin performance? Could you kind of assess or characterize the contributions from whether it's the SmartTruck, the Six Sigma, the engineering, extracting of inefficiencies? But also how we should think about those as drivers in the context of the sustainability of the margins, if you could elaborate on that, please?

我是代替 Manav 的 Ronan Kennedy。我想就強勁的毛利率表現請教一下：您能否評估或描述一下貢獻來源，例如 SmartTruck、六標準差（Six Sigma）、工程團隊、以及消除低效率等？另外，也請您談談在毛利率可持續性的脈絡下，這些因素作為驅動力應如何看待？麻煩您說明。

Thank you for your question, Ronan. It's -- when you think about the gross margin, it really starts with our culture, how we run our business, the expectations we have, the intensity of which we run it and the focus. That being said, there's many, many inputs to those numbers.

謝謝你的問題，Ronan。當你思考毛利率時，確實是從我們的文化開始：我們如何經營業務、我們的期望、我們執行的強度以及專注度。話雖如此，這些數字背後有非常非常多的投入因素。

Certainly, our investments that we are making are paying off, the investments in SmartTruck, the investments in our Six Sigma team, the investment in our engineering team, the investment in our supply chain organization are all helping us to improve those results. So I can't give you an exact number with hey, SmartTruck gave us X basis points, what have you.

當然，我們正在進行的投資正在產生回報：對 SmartTruck 的投資、對我們六標準差團隊的投資、對工程團隊的投資、以及對供應鏈組織的投資，都在幫助我們改善這些成果。因此我無法給你一個精確數字，例如 SmartTruck 貢獻了 X 個基點之類的。

It's -- there's many inputs, and we're pleased with the investments that we've made, and we're pleased with the leadership and the culture of the organization where they're focused on, driving those results, providing a better experience for our customers and providing a better experience for our employee partners.

這——有很多投入因素。我們對已做出的投資感到滿意，也對組織的領導力與文化感到滿意，因為他們專注於推動這些成果，為客戶提供更好的體驗，也為我們的員工夥伴提供更好的體驗。

That's helpful. And then with regards to obviously strong performance on the top line as well, can you just talk about the contributions from new business and penetration versus expectations? How pricing is trending and also retention, please?

這很有幫助。接著就營收端同樣強勁的表現，能否談談新業務與滲透率相對於預期的貢獻？另外也請談談定價趨勢以及留存率，謝謝。

Yes. Good question. So when we think about our growth, again, there's many contributing factors. We really like where we are from a growth standpoint. The internal growth, certainly we like the acquisitions that we've made, really good businesses. But when we think about the components of it, certainly pricing is a component, but it is not the majority.

好的。很好的問題。當我們思考成長時，同樣有很多貢獻因素。我們非常喜歡目前的成長狀況。內生成長方面，當然我們也喜歡所做的併購，都是很好的企業。但就其組成而言，定價確實是一個因素，但不是主要部分。

The majority of our growth is from volume growth and that's really pleasing to us because we want to be able to grow our business in that manner. Pricing has moderated, and it's much closer to historical. And that's exactly what we had planned throughout the year. Where we're really benefiting is from our new business. Our team is performing at a high level. Our service organization is -- the retention levels are very attractive. And then we're cross-selling appropriately.

我們成長的主要來源是量的成長（volume growth），這讓我們非常高興，因為我們希望以這種方式擴大業務。定價已趨於溫和，並更接近歷史水準，這正是我們全年規劃的方向。我們真正受益的是新業務：團隊表現非常出色；我們的服務組織——留存率水準非常吸引人；此外我們也在適當地進行交叉銷售。

We have a great breadth of products and services that we want to make sure that our customers and our prospects are aware of. And so we're benefiting kind of across all -- not kind of -- we are benefiting across all of those areas, and they're all big contributing factors. But we like where we are, and we like how we're growing the business.

我們擁有非常廣泛的產品與服務，希望確保客戶與潛在客戶都能了解。因此我們在所有這些領域都受益——不是「某種程度上」——而是確實在所有這些領域都受益，而且它們都是重要的貢獻因素。我們喜歡目前的位置，也喜歡我們推動業務成長的方式。

And our next question comes from Joshua Chan from UBS.

下一個問題來自 UBS 的 Joshua Chan。

Could you talk about the -- I guess, piggybacking on the prior question, could you talk about the sustainability of growth that you're seeing, now that pricing has moderated to a historical level? Do you see the current run rate sustaining based on what you're seeing out there talking to customers and retention rate dynamics and all that?

我想談談——算是延續上一題——在定價已回落到歷史水準之後，你們目前看到的成長可持續性如何？根據你們與客戶的交流、留存率動態等，你們是否認為目前的運行速度（run rate）可以維持？

Yes, Josh. Again, we like where we are from a growth standpoint. The exciting thing is there's -- we service a little over 1 million customers. There are 16 million businesses in North America. So we're -- we think there's an incredible runway for us. So we're selling to -- about 60% of our new accounts come from no-programmers and that is continuing.

是的，Josh。同樣地，就成長而言我們很喜歡目前的狀況。令人振奮的是——我們服務的客戶略超過 100 萬家，而北美有 1,600 萬家企業。所以我們——我們認為我們有非常長的成長跑道。因此我們在銷售方面——約 60% 的新帳戶來自「沒有方案的客戶」（no-programmers），而這個趨勢仍在持續。

So we're seeing great results from talking to prospects and showing them a better way to do it than they are today. Now that doesn't necessarily mean that, that is new spend. They might be spending that money somehow. It's just we're redirecting it to do it better, smarter, faster, in some cases, even less expensive than the way they're doing it.

因此，我們在與潛在客戶溝通並向他們展示比目前更好的做法方面，看到很好的成果。當然，這不一定代表新增支出。他們可能本來就以某種方式在花這筆錢；只是我們把它重新導向，讓他們做得更好、更聰明、更快，在某些情況下甚至比他們目前的做法更省錢。

So we think the runway is very attractive because of the number of prospects that are out there and our business -- or excuse me, our buying proposition resonating with prospects and customers. So we expect that we like where we are from a growth standpoint. As I mentioned, we like how we're growing, and we want to continue in that manner.

因此我們認為跑道非常吸引人，因為市場上有大量潛在客戶，而且我們的業務——或更正，我們的價值主張（buying proposition）能引起潛在客戶與客戶的共鳴。所以我們預期，就成長而言我們喜歡目前的位置。如我提到的，我們喜歡我們的成長方式，並希望以同樣方式持續下去。

That's great color. And for my follow-up, you talked about incremental margins being in the 20% to 30% range historically. And now you're sort of at the higher end of that in recent years. Is this the right level of incremental margins going forward on revenue growth that comes ahead?

這些說明很有幫助。我的追問是：你提到歷史上增量利潤率（incremental margins）在 20% 到 30% 的區間，而近年你們大致處於該區間的高端。就未來的營收成長而言，這是否是往後合理的增量利潤率水準？

Yes. Well, we recognize the math of 20% to 30% incremental margins. We need to be at the higher end of that in order to continue to improve our margins and we're focused on doing that. We're doing so by extracting out those inefficiencies, getting really good leverage on our revenue growth, so many, many ways.

是的。我們理解 20% 到 30% 增量利潤率的數學關係。為了持續改善利潤率，我們需要處於該區間的高端，而我們也專注於做到這點。我們透過消除那些低效率、在營收成長上取得很好的槓桿效益等方式來達成，有很多很多方法。

But running a business is not linear. And so we know there's going to be some puts and takes and some quarters will be higher and some won't be as high. But generally speaking, we like that range, and I prefer the higher end than the lower end. That's for sure.

但經營企業不是線性的。因此我們知道會有一些此消彼長，有些季度會更高，有些則不會那麼高。但整體而言，我們喜歡這個區間，而且我確實更偏好高端而不是低端。

And our next question comes from Heather Balsky from Bank of America.

下一個問題來自美國銀行（Bank of America）的 Heather Balsky。

I was hoping if you could just talk about the M&A you did this quarter, kind of what attracted you to the assets? And then just an update on how to think about M&A going forward.

我想請你談談本季進行的併購，大概是哪些因素吸引你們收購這些資產？另外也請更新一下，未來應如何看待併購（M&A）。

I'm certainly happy to start, Mike. Regarding -- Heather, regarding M&A. So it's an important component for us. You certainly cannot pace M&A. So they kind of come as they do, and it takes two to dance. But I can tell you the 2 that we announced this past quarter are great businesses, first off, really good operators, really attractive businesses.

我很樂意先開始，Mike。關於——Heather，關於併購。這對我們而言是重要的組成部分。你當然無法安排併購的節奏；它們往往是水到渠成，而且需要雙方配合。但我可以告訴你，我們在上一季宣布的兩筆交易都是很棒的企業：首先，經營者非常優秀，業務也非常有吸引力。

In the case of the one in Kentucky, it provided us with some needed capacity in that region of the country. In addition to the added capacity, we were able to absorb that volume into 7 of our facilities. So some really nice synergies allows us to -- as we're closer to the customers to spend more time with the customer and less time driving. So that's important to us.

以肯塔基州那一筆為例，它為我們在該地區提供了所需的產能。除了新增產能之外，我們也能將該業務量吸收進我們的 7 個據點。因此產生了非常好的綜效，使我們——因為更接近客戶——能花更多時間與客戶互動、減少在路上開車的時間。這對我們很重要。

In the case of the acquisition in -- the M&A in Pennsylvania, we did not acquire any additional capacity. But in that case, we were able to absorb it into 16 of our facilities. So again, attractive synergies, more time with the customer, less time driving. In those cases, we also then get to talk to our new customers about the broader breadth of products and services that we have.

以賓夕法尼亞州的併購——也就是在賓州的 M&A——為例，我們沒有取得額外產能。但在那個案例中，我們能把它吸收進我們的 16 個據點。因此同樣有吸引人的綜效：更多時間與客戶互動、更少時間開車。在這些案例中，我們也能與新客戶談我們更廣泛的產品與服務組合。

So we think it's -- overall, it's very attractive. As I mentioned, it takes two to dance. You can't pace it. But in this case, these were 2 really attractive businesses, great operators that really made sense for us.

因此我們認為——整體而言——非常有吸引力。如我提到的，這需要雙方配合，你無法安排節奏。但在這次，這兩家企業都非常吸引人，經營者也很優秀，對我們而言非常合理。

Maybe a couple of added points. As Todd said, these are great acquisitions, and we've had a handful of them this fiscal year. Each of the two that Todd talked about is less than $20 million in annual revenue. The $17.4 million that we gave you in our prepared remarks, includes the impact of those. But keeping in mind, we've made acquisitions all year long. And so that fourth quarter impact would include all of the acquisitions we've made throughout the last 12 months. Just something to keep in mind as you're thinking about our fourth quarter.

我再補充幾點。如 Todd 所說，這些都是很棒的收購案，而本會計年度我們也做了幾筆。Todd 提到的兩筆交易，每一筆的年營收都低於 2,000 萬美元。我們在事先準備的發言中提到的 1,740 萬美元，包含了這些交易的影響。但也請記得，我們整年都有進行併購。因此第四季的影響會包含過去 12 個月內我們所做的所有併購。當你在思考我們第四季時，這點請一併納入考量。

And our next question comes from Andy Wittmann from R.W. Baird. Andy, is your line muted?

下一個問題來自 R.W. Baird 的 Andy Wittmann。Andy，你的電話線有靜音嗎？

I'm sorry about that. Mike, I just want to build on that last question where you were commenting on the M&A contribution. Is there any -- in your fourth quarter guidance, is there a change in your fundamental outlook for the company, recognizing that it is up now somewhat on these 2 -- somewhat larger acquisitions that you did?

抱歉。Mike，我想延續上一題你對併購貢獻的評論。在你們第四季指引中，考量到你們現在因這兩筆——相對較大的——併購而有所上修，對公司基本面展望是否有任何改變？

And then as an addendum to that, was this 60 basis points or $45 million legal settlement that you just talked about, was that included and considered in your initial guidance? Or are you absorbing that and still able to raise your guidance here?

然後作為補充，你剛才提到的這筆 60 個基點或 4,500 萬美元的法律和解費用，是否已包含並納入你們最初的財測指引？還是你們把它吸收掉，仍然能在這裡上調指引？

Yes. So Andy, I already forgot your first part of the question. What was your first part?

是的。所以 Andy，我已經忘了你問題的第一部分。你第一部分是什麼？

First question is, is your fundamental outlook for business unchanged -- is your fundamental outlook unchanged for 4Q? Or is there a change there?

第一個問題是，你們對業務的基本展望是否未變——你們對第四季的基本展望是否未變？還是那裡有變化？

Yes, I apologize. No. As Todd talked about, our market remains very large. The momentum in the business remains good. The adoption remains good. And the guide for the fourth quarter is right where we want to be in terms of sort of the stated profile of growth that we want to have. And so all of that put together with not really any change in customer behavior would mean no continued performance like we've seen, and we continue to like the momentum of the business.

是的，抱歉。不，正如 Todd 談到的，我們的市場仍然非常大。業務動能仍然良好。採用情況仍然良好。而第四季的指引正好符合我們想要的狀態，也就是我們希望達成的既定成長輪廓。因此，綜合以上，再加上客戶行為並沒有真正改變，意味著我們沒有看到任何持續性的表現變化；我們仍然喜歡業務的動能。

As it relates to your second question, the 60 basis points, that was not contemplated in the initial guide from the beginning of the year, and that was simply absorbed through -- well, in this third quarter, the 60 basis points simply absorbed.

至於你的第二個問題，那 60 個基點在年初最初的指引中並未納入考量，而是在——嗯，在第三季，這 60 個基點就直接被吸收掉了。

And our next question comes from George Tong from Goldman Sachs.

下一個問題來自高盛的 George Tong。

Can you provide an update on the external selling environment, including how client budgets and sales cycles are performing?

你能否更新一下外部銷售環境，包括客戶預算以及銷售週期的表現？

Yes. I'm certainly happy to start, George. We haven't really seen much of a change in sales cycle. As far as our -- the interest in our products and services remains good, we're always continuing to invest in new products and services, tweaks, I guess, certainly to them to make it as attractive to the prospects and the customers as possible. But we're not seeing a change. Momentum continues to be good, outsourcing still resonates.

好的，George，我很樂意先回答。我們其實沒有看到銷售週期有太大變化。就我們而言——對我們產品與服務的興趣仍然良好；我們也一直持續投資於新產品與新服務，當然也會做一些調整，我想是為了讓它對潛在客戶與現有客戶盡可能有吸引力。但我們沒有看到變化。動能持續良好，外包仍然很有共鳴。

And we're seeing, as I mentioned earlier, the new program market is -- it's still really, really large, and we've become pretty darn proficient at and presenting to those prospects to help them run a better business. And we help them with all the products and services we provide. And as I mentioned, it's not always new money. Usually, they're spending something is just redirecting it to us to do it better, faster, smarter, cheaper type thing.

而且如我先前提到的，新方案市場——仍然非常、非常大；我們也已經相當擅長向這些潛在客戶簡報，協助他們把生意做得更好。我們透過所提供的所有產品與服務來幫助他們。正如我提到的，這不一定是新增預算；通常他們本來就有支出，只是把它重新導向我們，讓我們用更好、更快、更聰明、更便宜的方式來做。

Got it. That's helpful. And then separately, can you talk a little bit about your focus verticals, including health care? How much additional runway is there for these focus verticals to serve as a tailwind to organic revenue growth?

了解，這很有幫助。另外，你能否談談你們聚焦的垂直領域，包括醫療保健？這些聚焦垂直領域作為有機營收成長順風的額外跑道還有多少？

Yes. So George, so it's in our internal growth. So it is helping us. That focus is helping us to organize around the customer and provide the products and services that they want and that has been a good strategy for us over the past number of years. So we like all the verticals we're in. We find them very attractive whether it's health care, hospitality, education, state, local government business, it's all attractive, and we're organized around it, and our value proposition is resonating with them.

好的。George，這屬於我們的內生成長，所以確實在幫助我們。這種聚焦有助於我們以客戶為中心來組織，並提供他們想要的產品與服務；這在過去幾年一直是我們很好的策略。所以我們喜歡我們所處的所有垂直領域。我們覺得它們都非常有吸引力，不論是醫療保健、旅宿、教育、州與地方政府業務，都很有吸引力；我們也圍繞它們來組織，而我們的價值主張也正在引起他們的共鳴。

And our next question comes from Tim Mulrooney from William Blair.

下一個問題來自 William Blair 的 Tim Mulrooney。

This is Luke McFadden on for Tim Mulrooney. So I wanted to ask two, just on First AID -- I'll start with the first one and then move on to the second one after. But First Aid and Safety has been growing at a double-digit rate for quite a few quarters in a row now. I know there's a penetration story here with your established base of uniform customers. But I'm also curious if new product introductions are an important driver of this growth. How much of your growth in that segment is from new product introductions?

我是代 Tim Mulrooney 提問的 Luke McFadden。我想問兩個問題，先談 First Aid——我先問第一個，之後再問第二個。First Aid and Safety 已經連續好幾季以雙位數成長。我知道這裡有一個對你們既有制服客戶基礎的滲透故事。但我也好奇，新產品導入是否是推動這項成長的重要驅動因素。你們該部門的成長有多少來自新產品導入？

Luke, we really like the First Aid business. Part of our culture is continued innovation. So we're always looking at improving our processes, improving our products, improving our services. So it's always a component. I cannot give you a number of, hey, it was X basis points of growth due to a product rollout or what have you.

Luke，我們非常喜歡 First Aid 業務。我們文化的一部分就是持續創新。所以我們一直在尋找改善流程、改善產品、改善服務的方法。因此它一直都是一個因素。我無法給你一個數字，例如，嘿，因為某次產品推出帶來了 X 個基點的成長之類的。

But I can tell you this, the value proposition in the first aid business and all of our businesses, but in first aid, as you asked about, it's really resonating. And the mix of business that we have there is really good. And we're able to be better sourcers, better providers of products with our investment in our distribution center.

但我可以告訴你的是，急救業務的價值主張——其實也是我們所有業務的價值主張——但就你問的急救而言，確實非常有共鳴。而且我們那裡的業務組合非常好。透過我們對配送中心的投資，我們能成為更好的採購者、更好的產品供應者。

So when you have a robust supply chain that allows us to get products to the customers in a really timely fashion, it puts us in a great spot to be successful. So yes, cross-sell, we're absolutely -- we want all of our customers, whether they're uniform or fire or a direct sale customer, we want them all to know about our first aid business. And we try to make sure that that occurs in many different conduits, but it's -- yes, we're benefiting from that cross-sell.

因此，當你擁有強健的供應鏈，讓我們能非常及時地把產品送到客戶手上，就讓我們處在一個很好的位置去取得成功。所以是的，交叉銷售，我們絕對——我們希望所有客戶，不論是制服、消防，或是直銷客戶，都能了解我們的急救業務。我們也努力確保透過許多不同管道做到這點；而且——是的，我們正從這種交叉銷售中受益。

Understood. Really helpful. And maybe just sticking on First Aid and Safety here. As you think about that segment of your business, does it feel like you've essentially built out the full suite of products and services there? Or at some point, should we expect to potentially hear more about other product introductions as you continue to build out the portfolio? It's the room here for more is essentially what I'm curious to know.

了解，非常有幫助。那也許就繼續談 First Aid and Safety。當你們思考這個業務部門時，你們是否覺得已經基本建構出完整的產品與服務組合？或者在某個時間點，我們是否應該預期你們會持續擴充產品組合、推出更多新產品？我好奇的是，是否還有更多空間。

Yes, Luke. Yes, again, I'll go back to our culture. Our culture is such that we are constantly innovating and pushing ourselves to be -- to provide the best products and services. And so you'll see more of that to come. We're constantly innovating to put our partners in the best position, our employee partners in the best position to provide the most value for our customers.

是的，Luke。是的，再次回到我們的文化。我們的文化就是不斷創新、推動自己——提供最好的產品與服務。所以你會看到未來還會有更多。我們持續創新，讓我們的夥伴、我們的員工夥伴處在最佳位置，為客戶提供最大的價值。

And then maybe one added comment, Luke, when we think about this business, you may have heard us speak to umbrellas of image, safety, cleanliness and compliance. And when we think about this business, safety is a fairly larger umbrella. And when our First Aid and Safety people are speaking with customers and thinking about that innovation that Todd talked about, we're thinking quite broadly about how do we keep our customers, how do we help our customers keep their employees safe and that can mean opportunities into the future. And that's the way we look at it from a broad perspective.

另外也許補充一點，Luke，當我們思考這個業務時，你可能聽過我們談到「形象、安全、清潔與合規」這幾個大傘。當我們思考這個業務時，安全是一個相對更大的傘。而當我們的 First Aid and Safety 團隊與客戶交流、並思考 Todd 所提到的創新時，我們會非常廣泛地思考：我們要如何幫助客戶讓他們的員工保持安全，而這可能意味著未來的機會。這就是我們從更宏觀角度看待它的方式。

And our next question comes from Andrew Steinerman from JPMorgan Securities.

下一個問題來自摩根大通證券的 Andrew Steinerman。

In the quarter, when you look at your rentals and facility services segment, how much of the growth is actually coming from uniforms versus ancillary services? And directionally, like is there good growth in both? And also, if you can make a comment about ad stops within uniforms.

在本季，當你看你們的租賃與設施服務部門時，成長中有多少實際上來自制服，多少來自附加服務？方向性來說，兩者是否都有不錯的成長？另外，如果可以的話，也請評論一下制服業務中的廣告停投（ad stops）。

Andrew, as you know, we don't give out those specific numbers. But directionally, to your question, yes, we're seeing growth across them at all. There's good demand for our uniform business and our facility services business, frankly, for all of our business products and services. So nothing to point out to one particular area there. As far as ad stops, there's a -- we haven't really seen a change to our customer behavior there. So it's, I'll call it, kind of business as usual. There's many inputs to that number. But nevertheless, I'd say it's kind of business as usual.

Andrew，如你所知，我們不會提供那些具體數字。但就方向性而言，回答你的問題，是的，我們在各項上都看到成長。坦白說，我們的制服業務與設施服務業務，以及我們所有業務的產品與服務，都有良好的需求。所以沒有特別要指出某一個領域。至於 ad stops，那裡——我們其實沒有看到客戶行為有什麼變化。所以我會說，算是照常運作。那個數字有很多輸入因素，但無論如何，我會說大致上是照常。

And our next question comes from Jasper Bibb from Truist Securities.

下一個問題來自 Truist Securities 的 Jasper Bibb。

I wanted to follow up on the earlier discussion on first aid. The gross margin there was really impressive at 56% this quarter, but you also had SG&A up 25% from the prior year. So could you provide just maybe a bit of color on the investments you're making in that business? And when do you think the first aid segment should start to deliver a bit more margin leverage over that SG&A base?

我想跟進先前關於急救的討論。本季該業務的毛利率 56% 非常亮眼，但你們的 SG&A 也較去年同期上升 25%。你能否提供一些背景，說明你們在該業務上正在進行哪些投資？以及你認為急救部門何時應該開始在這個 SG&A 基礎上展現更多的利潤槓桿？

Yes, Jasper, as I mentioned, we really like the business, and it's performing really well, and we're investing appropriately. The amount of prospects out there are massive. And to Mike's point earlier, the value proposition is resonating. We talk about the mantra in that business is what's more important to a business than the health and safety of their employees and their customers.

好的，Jasper，如我提到的，我們非常喜歡這個業務，它表現得非常好，我們也在適當地投資。外部的潛在客戶數量非常龐大。而且如 Mike 先前所說，我們的價值主張正在引起共鳴。我們在那個業務中常說的一句話是：對一家企業而言，還有什麼比員工與客戶的健康與安全更重要？

So that is resonating. We're in a great position to invest to provide those products and services. So we're doing just that. And so we're investing in selling resources. We're investing in marketing resources because we really like where we are and it makes sense to invest. And I think you're seeing it show up in the operating margin and the gross margin.

所以這確實引起共鳴。我們處在一個很好的位置，可以投資以提供那些產品與服務。因此我們正在這麼做。所以我們在銷售資源上投資，也在行銷資源上投資，因為我們非常喜歡目前的位置，而且投資是合理的。我想你也看到它反映在營業利益率與毛利率上。

Yes. We've -- each quarter this year has been 22% or higher, which is quite a big improvement from a year ago. And so as Todd said, we want to continue to invest in the long-term growth of all of our businesses, and you can really see those investments playing out, particularly in the gross margin line of First Aid and Safety. But we love the margins. They're up quite a bit over the last few years, and we'll continue to invest as we see appropriate.

是的。我們——今年每一季都達到 22% 或更高，較一年前有相當大的改善。因此如 Todd 所說，我們希望持續投資於旗下所有業務的長期成長，而你確實可以看到這些投資正在發揮成效，特別是在急救與安全（First Aid and Safety）的毛利率項目上。但我們很喜歡目前的毛利率表現。過去幾年毛利率已大幅提升，我們也會在認為適當時持續投資。

It makes sense. And then just I was hoping to get an update on what you're seeing for expense growth on labor and fleet-related costs in the quarter.

這很合理。接著我想請你更新一下，本季你們在勞動力與車隊相關成本的費用成長方面觀察到的情況。

Jasper, good question. Certainly, labor is an important component. We want to make sure that we're providing attractive wages, competitive wages. And we've spoken on previous calls that we were not flat-footed when it came to the wage inflation that I'd say North America has seen over the past few years.

Jasper，問得很好。當然，勞動力是一個重要組成。我們希望確保提供具吸引力的薪資、具競爭力的薪資。我們在先前的電話會議也提到，對於我認為北美過去幾年所見的薪資通膨，我們並沒有措手不及。

So we've been in a good position, and we like where we are from that perspective. And here's what's really exciting is we have -- I mentioned earlier, our Six Sigma teams, our engineering teams, they're helping us to automate certain items to bring transformation technology to portions of our business, whether it's SmartTruck or plant efficiencies that allows us to mitigate that subject as best as possible.

因此我們目前處於不錯的位置，就這個面向而言我們也滿意。更令人振奮的是——我先前提到，我們的六標準差（Six Sigma）團隊、工程團隊正協助我們將部分項目自動化，把轉型技術導入我們業務的某些環節，不論是 SmartTruck 或是工廠效率提升，讓我們能盡可能緩解該議題。

And so we're investing and have invested for years in those organizations, and it's paying off and what we're seeing with our total labor costs as we manage through and make sure we're still in a really good spot to be competitive and attract the very best people.

因此我們多年來一直在這些組織上投資，也確實看到成效；在我們管理整體勞動成本的同時，確保我們仍處於非常有利的位置，能保持競爭力並吸引最優秀的人才。

And our next question comes from Ashish Sabadra from RBC.

下一題來自 RBC 的 Ashish Sabadra。

I just wanted to focus on the Google partnership. I was wondering if you can provide an update on that front. I believe you've already migrated your SAP onto the GCP, and how should we think about those benefits that you may have seen in the quarter, but also benefits as we go forward?

我想聚焦在與 Google 的合作夥伴關係。我想請問你能否就這方面提供最新進展。我相信你們已經把 SAP 遷移到 GCP 上了；那麼我們該如何看待你們本季可能已看到的效益，以及未來的效益？

Good question, Ashish. I would characterize -- well, first off, we have a great relationship with Google. You're correct. We did migrate to the Google Cloud platform. And I would characterize it as that we're in the early innings there.

問得很好，Ashish。我會這樣描述——首先，我們與 Google 的關係非常好。你說得沒錯，我們確實已遷移到 Google Cloud 平台。我會形容我們目前仍在非常早期的階段。

And so we certainly hope to maximize our relationship and put our employee partners in a position to provide more value and to be as successful as possible because we believe there's tools that will be available to us to provide more value to the customers and to put our people in a better position to provide that value, which makes them more successful. So early innings, but we're optimistic about where that can go.

因此我們當然希望最大化這段合作關係，讓我們的員工夥伴能處於更能創造價值、也更能成功的位置，因為我們相信將有工具可供我們使用，以便為客戶提供更多價值，並讓我們的人員更有條件去提供這些價值，進而讓他們更成功。所以仍在早期階段，但我們對其發展方向感到樂觀。

That's very helpful color. And if I can ask a quick accounting clarifying question. So in the balance sheet, the uniform and other rental items and service that moderated sequentially quarter-to-quarter. I was just wondering, if you can provide any color on what's driving that? Is that better efficiency or anything on that front?

這些補充非常有幫助。我想再快速問一個會計釐清問題：在資產負債表上，「制服及其他租賃物品與服務」項目在季對季上有所趨緩。我想了解是什麼因素驅動的？是效率提升或其他原因嗎？

Yes. Todd talked a little bit about how we are working on all pieces of the business, but certainly one of those is inventory and he touched on a little bit of garment sharing. So you can think about when we improve garment sharing, for example, we don't need to inject as many new garments into that in-service inventory.

是的。Todd 稍早談到我們正在改善業務的各個環節，其中一項當然是庫存，他也提到了一點「衣物共享」（garment sharing）。你可以這樣想：例如當我們提升衣物共享時，我們就不需要把那麼多新衣物投入到在用庫存（in-service inventory）中。

So the more sharing means better utilization of our existing in-service inventory. And it means we don't have to add as much into the in-service inventory from new purchases. That's one of the areas. Certainly, though, there are others like improved sourcing as well. Volume growth, as Todd said, remains really strong. And so what we're seeing is some nice offsetting of the volume growth with some of these initiatives.

因此，共享越多代表我們既有在用庫存的使用效率越好，也意味著我們不必透過新採購再增加那麼多在用庫存。這是其中一個面向；當然也還有其他因素，例如採購來源改善等。正如 Todd 所說，量的成長仍然非常強勁。因此我們看到，透過這些措施，能對沖部分的量成長所帶來的影響，效果不錯。

And our next question comes from Stephanie Moore from Jefferies.

下一題來自 Jefferies 的 Stephanie Moore。

I wanted to continue the discussion on the pretty impressive margin front for the quarter. I appreciate the color in terms of kind of discussing the route optimization, the merchandise management, Six Sigma and the likes.

我想延續本季相當亮眼的利潤率表現的討論。我很感謝你們就路線最佳化、商品管理、六標準差等提供的補充說明。

But maybe if you could provide a little bit of color on -- of your major initiatives, which ones you think are kind of still in the early innings where we could kind of continue to see some more improvement or accelerated improvement. And then maybe taking it a step further, what is next for you guys in terms of other areas of opportunity that haven't been as major focus yet?

但也許你們可以再多分享一些——在你們的主要計畫中，哪些你們認為仍處於早期階段，因此我們可能還會看到更多改善或加速改善？再進一步，你們接下來在其他機會領域上有什麼規劃——也就是那些目前還不是主要焦點的領域？

Stephanie, from our strategic initiatives that we're focused on how can we impact our business in total, certainly our material costs, our energy, our labor. And Mike referred to earlier, our energy spend is down 40 basis points. But that's not all just price. That is -- those initiatives that we referred to earlier, the material cost is a -- our 2 largest costs are material cost and labor.

Stephanie，就我們聚焦的策略性計畫而言，我們在思考如何對整體業務產生影響，當然包括原物料成本、能源與勞動力。Mike 先前提到，我們的能源支出下降了 40 個基點。但那不全然只是價格因素；那是——我們先前提到的那些計畫所帶來的成果。原物料成本是——我們兩大成本是原物料成本與勞動力。

So we're very focused on driving efficiencies in all those areas because to Mike's earlier point, we love the volume growth, but we don't want to sacrifice margin because the volume growth is so robust that we've got these strategic initiatives to extract these inefficiencies out of our business. And I wouldn't speak to anyone in particular that it's in the earlier innings or the others.

因此我們非常專注於在所有這些領域推動效率提升，因為如同 Mike 先前所說，我們喜歡量的成長，但我們不想因為量的成長非常強勁就犧牲利潤率；因此我們有這些策略性計畫，來把業務中的低效率剔除。我不會特別指出哪一項仍在早期階段或其他項目。

We've got a nice runway for -- forward for doing that. A little bit of that is our culture is that we're constantly trying to innovate and push ourselves to be better. So I think you'll see that continue. As far as acceleration, it's built in. We're constantly doing it. So I think we're focused on -- there's incremental margins, and this is an important component of making sure we can hit those numbers.

我們在這方面有很好的——向前推進的跑道。其中一部分也來自我們的文化：我們持續嘗試創新並推動自己變得更好。所以我認為你會看到這種趨勢延續。至於加速，它已經內建在我們的運作中；我們一直在做。因此我認為我們聚焦在——增量利潤率，而這是確保我們能達成那些數字的重要組成。

Yes. The only thing I might add is we are certainly in the very early innings of technology, and we believe there's a nice runway there. Todd talked about just the recent migration to the Google Cloud and that creates a foundation for us to do some interesting things moving forward.

是的。我唯一想補充的是，我們在科技方面確實仍處於非常早期階段，我們相信那裡有很好的發展跑道。Todd 談到近期遷移到 Google Cloud，而這為我們未來做一些有趣的事情奠定了基礎。

And our next question comes from Scott Schneeberger from Oppenheimer.

下一題來自 Oppenheimer 的 Scott Schneeberger。

It's Daniel on for Scott. Could you please speak to the outlook for uniform direct sales and fire protection as well as some perspective on the margins for All Other going forward, please?

我是代 Scott 提問的 Daniel。請問你能談談制服直銷（uniform direct sales）與消防防護（fire protection）的展望，以及未來「其他全部」（All Other）的利潤率走勢觀點嗎？謝謝。

I'll start on the outlook. And Mike, if you want to speak to the margins. The uniform direct sale business is a strategic business for us. We have some really large strategic accounts, whether it's national accounts or in the hospitality, gaming area of our business. And so strategic meaning that those customers spend a lot more money with us not just with garment direct sale but also outside of that. So that's important.

我先談展望。Mike，如果你想談利潤率也可以補充。制服直銷業務對我們而言是一項策略性業務。我們有一些非常大型的策略性客戶，不論是全國性客戶，或是在我們業務中的餐旅、博彩領域。因此所謂策略性，是指這些客戶在我們這裡的總支出遠不只服裝直銷，還包括其他品項與服務。這點很重要。

That being said, that business certainly can be a little lumpy due to the nature of it with rollouts and purchases. But we like where we're positioned there. We like the value proposition that we're -- where we are there. So we think the outlook is very positive there.

話雖如此，由於該業務的性質涉及導入（rollouts）與採購，因此業績確實可能會有些波動。但我們喜歡我們在那裡的布局，也喜歡我們目前提供的價值主張。因此我們認為那裡的展望非常正面。

As far as the fire business, it's been a great business for us. The results over the last several years, we've seen great revenue growth. We've seen great margin improvement. And it's the only business we're in where you legally have to have those products and services. So we think it's -- the outlook is really positive because of the prospects that are out there and the runway we see for opportunity. So Mike, if you want to comment on margin?

至於消防業務，對我們而言一直是很棒的業務。過去幾年我們看到很好的營收成長，也看到很好的利潤率改善。而且這是我們唯一涉足的一個業務：在法律上你必須具備那些產品與服務。因此我們認為展望非常正面，因為市場上有很多潛在客戶，我們也看到很長的機會跑道。所以 Mike，如果你想評論利潤率？

Sure. So as Todd said, the fire business, in particular, the margins have increased quite a bit in the last handful of years, and we've seen a lot of the same initiatives and other initiatives specific to that business really take off like we've seen in our other businesses. The one thing I might point out there, we did see some increase in SG&A in the fire business year-over-year, and we're starting to get into that SAP implementation for the fire business.

當然。如 Todd 所說，消防業務——特別是其利潤率——在過去幾年已提升不少；我們也看到許多相同的計畫，以及一些針對該業務的其他計畫，確實像我們其他業務一樣開始加速發揮效果。我想指出的一點是，消防業務的 SG&A（銷售、一般及行政費用）年對年確實有所增加，而我們也開始進入消防業務的 SAP 導入。

So we might see a little bit of pressure as we move into fiscal '25 on the fire margins, the overall margins because of that investment in that move. But you've seen with our rental and first aid and safety businesses, once we understand how to use that and get proficient at it, it can create some really nice opportunities.

因此，隨著我們進入 2025 會計年度（fiscal '25），由於這項遷移投資，我們可能會在消防利潤率、整體利潤率上看到一些壓力。但你也看到，在我們的租賃以及急救與安全業務中，一旦我們了解如何使用並熟練掌握，它就能創造一些非常好的機會。

So maybe a little bit of -- we've seen some great improvement, maybe a little bit of next year and the following year pressure on SG&A because of that implementation. But we certainly expect those margins to continue to improve in the longer term.

所以也許會有一點——我們已看到很大的改善；但明年以及後年，因為該導入，SG&A 可能會有一些壓力。不過我們仍然預期，從較長期來看，這些利潤率會持續改善。

From a uniform direct sale margin perspective, as Todd said, that business is going to go up and down. It's going to be a little bit bumpy from quarter to quarter. And because of that, the margins will be as well. So I don't think there's anything specific to call out other than it isn't quite as consistent of a business as the other 3 that we have.

從一致的直銷毛利率角度來看，正如 Todd 所說，那項業務會有起有落。每一季之間會有些顛簸。也因此，毛利率也會如此。所以我認為沒有什麼特別需要點出的，除了它不像我們另外 3 項業務那樣穩定一致。

And our next question comes from Shlomo Rosenbaum from Stifel, Nicolaus.

下一個問題來自 Stifel, Nicolaus 的 Shlomo Rosenbaum。

Todd, can you talk a little bit about the macro environment with regard to employment, and specifically, if you could touch upon some of the areas where they're looking for more automation to reduce the employment due to raises in minimum wage in areas like California. Are you -- how exposed are you to those kind of verticals? And then after that, I have a follow-up.

Todd，你能否談談就業相關的總體環境？特別是，如果可以的話，請談談一些領域因為像加州這類地區最低工資上調，而在尋求更多自動化以降低用工的情況。你們——你們對這類垂直產業的曝險有多大？之後我還有一個追問。

Shlomo, yes, from a macro environment, as I mentioned, we haven't seen much change in our customer behavior. Certainly, there's always some puts and takes. And as you mentioned, our employers are under pressure to figure out ways to automate things because wage inflation, that has occurred and will continue to occur. It's occurred for many, many years.

Shlomo，是的，從總體環境來看，如我提到的，我們沒有看到客戶行為有太大變化。當然，總會有一些此消彼長。正如你提到的，我們的雇主客戶正承受壓力，需要想辦法把事情自動化，因為工資通膨已經發生且將持續發生。這已經發生很多很多年了。

Now there is also some -- the infrastructure bills that are out there, the onshoring, I can't speak to specifics of, oh, boy, we're benefiting from this or this is a headwind here. But generally, we like the spot we're in. And we think it's the macro environment where -- it's been reasonably stable. And that's -- we find that attractive and we can be really successful in that environment.

另外也有一些——外界的基礎建設法案、製造回流（onshoring），我無法談到具體細節，比如說，哇，我們正從這裡受益，或那裡形成逆風。但總體而言，我們喜歡我們所處的位置。我們認為總體環境——一直相當穩定。而這——我們覺得很有吸引力，我們也能在那樣的環境中非常成功。

Just for a follow-up, you have a competitor there that was spun out, say, 6 months ago, and I was just wondering, has there been any change in the environment with them competitively in terms either positively or negatively? I mean have you seen any changes in the way that they bid? Are you taking more business from them? Maybe you could just comment in general.

再追問一下，你們那邊有一家競爭對手大約 6 個月前被分拆出來，我想知道在競爭環境方面是否有任何變化，無論是正面或負面？我的意思是，你們是否看到他們投標方式有任何改變？你們是否從他們那裡拿到更多業務？也許你可以就整體情況評論一下。

Yes. Shlomo, I would characterize it as it's pretty well business as usual. They're a very good competitor, always have been. I'm sure they always will be, and we have a great deal of respect for them, and it's a very competitive environment. It always has been as far as -- as long as I've been with the company, it has been, and I'm sure it will be in the future. But we're focused on putting our employee partners in the best position to be successful in providing our customers the best value proposition. So really, none of that has changed.

是的。Shlomo，我會形容為基本上照常運作。他們是一個非常優秀的競爭對手，一直都是。我相信他們也一直會是，我們非常尊重他們，而且這是一個競爭非常激烈的環境。就——就我在公司任職以來，一直如此，我也相信未來也會如此。但我們專注於讓我們的員工夥伴處於最有利的位置，能成功地為客戶提供最佳價值主張。所以，真的，這些都沒有改變。

And our next question comes from Kartik Mehta from Northcoast Research.

下一個問題來自 Northcoast Research 的 Kartik Mehta。

Todd, you have been able to execute extremely well this year, beat guidance. And as you look at the business, is that the result of maybe metrics like nonprogrammers being a little bit better than you thought? Is it sales being better than you thought? Maybe you're just more cautious about the economy that actually happened. If you look at why you've been able to do better, what would you point to?

Todd，你今年執行得非常好，並且超越指引。當你看這門生意時，這是否可能是因為像非程式設計師（nonprogrammers）這類指標比你預期更好？是銷售比你想的更好？或是你對實際發生的經濟情況更保守？如果你回頭看為什麼能做得更好，你會指向哪些因素？

Yes. Kartik, it starts with our culture and our expectations of our employee partners and the pace and the intensity of which they run. But that being said, we've -- our value proposition is really resonating in each of the businesses we're in. The first aid business, we spoke about, it's very good. Outsourcing is resonating nicely.

是的。Kartik，這要從我們的文化、我們對員工夥伴的期望，以及他們運作的速度與強度談起。但話說回來，我們的價值主張在我們所處的每一個業務中都非常有共鳴。我們談到的急救業務表現非常好。外包業務也有很好的共鳴。

Maybe it has to do with -- it's not as easy to hire people as it has been in the past. So if you want someone to outsource it, it's that much more attractive. We like the spot we're in. And we have exceeded our internal expectations, and we're pleased with that.

也許這與——現在要招人不像過去那麼容易有關。所以如果你想把它外包出去，就會更具吸引力。我們喜歡我們所處的位置。我們超出了內部預期，對此感到高興。

But we're -- it's -- there are so many inputs to it because we're trying to focus on providing better products, better services, better technologies to make our people more successful and to make our customers that much happier. So a lot of inputs, but we like where we're positioned, and we're continuing to invest for the future.

但我們——這——有太多輸入因素，因為我們正專注於提供更好的產品、更好的服務、更好的技術，讓我們的人更成功，也讓我們的客戶更滿意。所以有很多因素，但我們喜歡我們的定位，並且持續為未來投資。

And just one follow-up. You obviously discussed M&A a lot. I'm wondering and I know some of these acquisitions can take years to come to fruition. But as you look at the market today, are you seeing any change in the pricing environment, maybe what expectations are from sellers? Or has it remained about the same?

再追問一個。你們顯然談了很多併購（M&A）。我想知道，而且我知道其中一些收購可能需要多年才能開花結果。但就你們今天看到的市場而言，你們是否看到估值／價格環境有任何變化，例如賣方的期望？還是大致維持不變？

Yes, Kartik, good question. I wouldn't speak to any change there. It's more about certain events might cause them, whether it's an owner's age or succession or there's many different life events that would cause them to make a move. And it's more about that.

是的，Kartik，問得好。我不會說那裡有任何變化。更多是某些事件可能會促使他們行動，無論是業主年齡、接班安排，或是許多不同的人生事件會促使他們做出決定。更多是這些因素。

To your point, it's in certain cases, these are decades in the making. And you can't really pace them. But when they are ready, we're ready. And we are highly acquisitive, very interested in M&A from all shapes and sizes, big, little, medium, everything in between, we think it's -- we're very interested.

如你所說，在某些情況下，這些是累積數十年的結果。你其實無法去安排節奏。但當他們準備好了，我們也準備好了。我們非常積極進行收購，對各種形態與規模的併購都很有興趣，大的、小的、中等的，以及介於其間的一切，我們認為——我們非常有興趣。

And our next question comes from Toni Kaplan from Morgan Stanley.

下一個問題來自 Morgan Stanley 的 Toni Kaplan。

I wanted to ask a question on the focus verticals. Are you able to share sort of the growth between focus verticals versus non-focus ones? And how do you assess whether to add a new vertical into that sort of focus designation? Is there a different go-to-market strategy for focus verticals as well?

我想問一個關於重點垂直產業（focus verticals）的问题。你們是否能分享一下重點垂直產業相較於非重點垂直產業的成長情況？以及你們如何評估是否要把新的垂直產業納入這種重點指定？對於重點垂直產業是否也有不同的上市策略（go-to-market strategy）？

Toni, well, I'll say this about our focus verticals. I certainly expect them to grow faster than the business in general. And when you have an organized approach and you're nice around a customer base, you certainly expect that. And we've chosen what we think are really good verticals that are very attractive. So yes, I can't give you a specific of, oh, boy, it's adding X amount of basis points to our total growth, but we think we've chosen well.

Toni，關於我們的重點垂直產業，我會這麼說：我確實預期它們會比整體業務成長更快。當你採取有組織的方法，並且能很好地圍繞某個客戶群運作時，你當然會這樣期待。我們選擇了我們認為非常好的、很有吸引力的垂直產業。所以是的，我無法給你一個具體數字，比如說，哇，它為我們的總成長額外貢獻了 X 個基點，但我們認為我們選得很好。

And we're always analyzing what -- should we have another one or should we not? And what's the best way, and it really gets down to what puts our employee partners in the best position to be successful and what creates the most value for the customer base. So we're looking -- we're evaluating, always doing that, but we like where our investment is at this point.

而且我們一直在分析——我們是否應該再增加一個，或不應該？以及最好的方式是什麼？這真的歸結到什麼能讓我們的員工夥伴處於最有利的位置以取得成功，以及什麼能為客戶群創造最大價值。所以我們在看——我們在評估，持續都在做，但就目前而言，我們對投資的方向感到滿意。

Terrific. Wanted to also ask about your marketing budget and whether you've increased that year-over-year. I recently heard some Cintas commercials on Bloomberg Radio, for example. Just wondering if that's coincidence or if there's been a greater push towards more marketing?

很好。我也想問一下你們的行銷預算，以及你們是否有年對年增加。例如，我最近在 Bloomberg Radio 聽到一些 Cintas 的廣告。只是想知道那是巧合，還是你們在行銷上有更大的推進？

Yes, Toni. First off, thank you. I'm glad to hear that. The algorithm is working, and it's hitting our target audience. So I wouldn't say there's been a step change there. It's just trying to be -- make sure our investment is well placed, and we're trying to leverage analytics and technology to make sure that the investment is driving the very best ROI as possible. So it's just a matter of tweaks versus a step change in investment.

是的，Toni。首先，謝謝你。我很高興聽到這個。演算法正在發揮作用，並且觸及到我們的目標受眾。所以我不會說那裡有什麼階躍式的變化。只是要確保我們的投資放在對的地方，我們正嘗試運用分析與技術，確保投資能帶來盡可能最佳的投資報酬率（ROI）。所以這只是微調，而不是投資的階躍式改變。

At this time, there are no further questions. I'd like to turn the call back over to Jared for closing remarks.

目前沒有其他問題。我想把電話交回給 Jared 作結語。

Thank you for joining us this morning. We will issue our fourth quarter of fiscal '24 financial results in July. We look forward to speaking with you again at that time. Thank you.

感謝各位今天早上加入我們。我們將於 7 月公布 2024 財年第四季財務結果。我們期待屆時再次與各位交流。謝謝。

This concludes today's conference call. Thank you for your participation. You may now disconnect.

今天的電話會議到此結束。感謝各位的參與。您現在可以掛線。