Donaldson Company Inc (DCI) 2023 Q4 法說會逐字稿

Hello, and thank you for standing by. My name is Regina, and I will be your conference operator today. At this time, I would like to welcome everyone to the Donaldson Company, Inc. Fourth Quarter 2023 Earnings Conference Call. (Operator Instructions) I would now like to turn the conference over to Sarika Dhadwal, Director of Investor Relations. Please go ahead.

您好，感謝您的支持。我叫雷吉娜，今天我將擔任你們的會議操作員。現在，我歡迎大家參加唐納森公司 2023 年第四季度收益電話會議。 （操作員指示）我現在想將會議轉交給投資者關係總監 Sarika Dhadwal。請繼續。

Good morning. Thank you for joining Donaldson's Fourth Quarter and Full Year Fiscal 2023 Earnings Conference Call. With me today are Tod Carpenter, Chairman, CEO and President; and Scott Robinson, Chief Financial Officer.

早上好。感謝您參加唐納森 2023 財年第四季度和全年收益電話會議。今天與我在一起的有董事長、首席執行官兼總裁托德·卡彭特 (Tod Carpenter)；和首席財務官斯科特羅賓遜。

This morning, Tod and Scott will provide a summary of our fourth quarter and full year performance and details on our outlook for fiscal 2024.

今天早上，托德和斯科特將提供我們第四季度和全年業績的總結以及我們對 2024 財年展望的詳細信息。

During today's call, we will discuss non-GAAP or adjusted results. For fourth quarter and full year fiscal 2023 non-GAAP results exclude restructuring and other charges of $4.9 million and $21.8 million, respectively. Fourth quarter and full year fiscal 2022 non-GAAP results exclude $3.4 million of charges related to the conflict in Eastern Europe. A reconciliation of GAAP to non-GAAP metrics is provided within the schedules attached to this morning's press release.

在今天的電話會議中，我們將討論非公認會計原則或調整後的結果。 2023 財年第四季度和全年非 GAAP 業績不包括重組費用和其他費用，分別為 490 萬美元和 2180 萬美元。 2022 財年第四季度和全年非公認會計準則業績不包括與東歐衝突相關的 340 萬美元費用。今天上午新聞稿所附的時間表中提供了 GAAP 與非 GAAP 指標的調節表。

Additionally, please keep in mind that any forward-looking statements made during this call are subject to risks and uncertainties, which are described in our press release and SEC filings.

此外，請記住，本次電話會議期間做出的任何前瞻性陳述都受到風險和不確定性的影響，這些風險和不確定性已在我們的新聞稿和 SEC 文件中進行了描述。

With that, I will now turn the call over to Tod Carpenter. Please go ahead.

現在，我將把電話轉給托德·卡彭特。請繼續。

Thanks, Sarika. Good morning. Fiscal year 2023 was a milestone year for Donaldson Company. From a financial perspective, we made great progress on the objectives laid out during our Investor Day in April. We delivered record top and bottom line results ending the year with $3.4 billion in revenue and $3.04 in adjusted earnings per share, increases of 4% and 13%, respectively. Improved our operating margin by 110 basis points by expanding gross margin while continuing to invest in our strategically important higher-margin growth areas. Delivered cash conversion of 114%, primarily by reducing our inventory levels by over $84 million and returned $256 million to our shareholders in the form of dividends and share buybacks.

謝謝，薩里卡。早上好。 2023 財年對於唐納森公司來說是具有里程碑意義的一年。從財務角度來看，我們在四月份投資者日制定的目標上取得了巨大進展。截至年底，我們實現了創紀錄的營收和淨利潤，收入為 34 億美元，調整後每股收益為 3.04 美元，分別增長 4% 和 13%。通過擴大毛利率，同時繼續投資於具有重要戰略意義的高利潤增長領域，我們的營業利潤率提高了 110 個基點。現金轉化率為 114%，主要是通過將庫存水平減少超過 8400 萬美元，並以股息和股票回購的形式向股東返還 2.56 億美元。

We also made significant strategic changes to our operating structure, laying the foundation to drive Donaldson to the next stage of its evolution and position ourselves for future profitable growth. First, we completed our organizational redesign aimed at better serving our end market customers. Second, we introduced Life Sciences as a separate operating segment, allowing for increased transparency as we build out our presence in this important growth area. And third, we completed 2 new Life Sciences acquisitions, Isolere Bio and Univercells Technologies, companies with game-changing disruptive technologies that complement our existing capabilities and offerings in the space.

我們還對運營結構進行了重大戰略調整，為推動唐納森進入下一階段的發展奠定了基礎，並為未來的盈利增長做好了準備。首先，我們完成了組織重新設計，旨在更好地服務我們的終端市場客戶。其次，我們將生命科學作為一個獨立的運營部門，以便在我們在這一重要增長領域拓展業務時提高透明度。第三，我們完成了兩項新的生命科學收購，即 Isolere Bio 和 Univercells Technologies，這些公司擁有改變遊戲規則的顛覆性技術，補充了我們在該領域的現有能力和產品。

Importantly, and in conjunction with Investor Day, we also announced our Filtration for a Thriving Future sustainability strategy and 2030 environmental and social ambitions. I am continually impressed by the resilience and dedication of the Donaldson employees, particularly with the backdrop of such a dynamic and pivotal year, and I am proud of their accomplishments.

重要的是，在投資者日的同時，我們還宣布了“過濾繁榮未來”可持續發展戰略以及 2030 年環境和社會目標。唐納森員工的韌性和奉獻精神一直給我留下了深刻的印象，特別是在如此充滿活力和關鍵的一年的背景下，我為他們的成就感到自豪。

Now I'll cover some highlights from the fourth quarter. Sales of $880 million were down 1% year-over-year, driven by a decline in volume, partially offset by pricing benefits. The impact from currency translation in the quarter was minimal. Volumes continue to be impacted by Aftermarket softness largely driven by OE customer inventory normalization and weakness in Disk Drive due to market-related conditions and destocking. On the pricing side, as has been the case all year, strategic and value pricing to offset inflationary pressures remain critical for Donaldson.

現在我將介紹第四季度的一些亮點。由於銷量下降，銷售額為 8.8 億美元，同比下降 1%，但部分被定價優勢所抵消。本季度貨幣換算的影響很小。銷量繼續受到售後市場疲軟的影響，這主要是由於 OE 客戶庫存正常化以及磁盤驅動器由於市場相關狀況和庫存減少而疲軟所致。在定價方面，正如全年的情況一樣，抵消通脹壓力的戰略和價值定價對唐納森來說仍然至關重要。

While most input costs have stabilized, our work is ongoing as we continue to see increases in some areas such as labor and energy. EPS in the quarter was $0.78, down 7% from prior year. We remain committed to investing in our strategically important growth areas. And during the fourth quarter, we continued those investments, which in conjunction with the sales decline, resulted in a quarterly year-over-year decrease in earnings. With respect to operations, fill rates, on-time deliveries and late backlog levels across the organization improved versus prior year as our operations teams continue to deliver for our customers.

雖然大多數投入成本已經穩定，但我們的工作仍在繼續，因為我們繼續看到勞動力和能源等某些領域的成本增加。該季度每股收益為 0.78 美元，比去年同期下降 7%。我們仍然致力於投資具有重要戰略意義的增長領域。在第四季度，我們繼續進行這些投資，再加上銷售額下降，導致季度收益同比下降。在運營方面，由於我們的運營團隊繼續為客戶提供服務，整個組織的填充率、準時交付和後期積壓水平比去年有所改善。

Throughout the company, while we execute today, we are also ensuring through our strategic investments that we are well positioned to drive future growth. To that end, first, on August 16, we opened our new manufacturing plant in Leon, Mexico. The 265,000 square-foot facility will help meet future demand and importantly, was built to include leading sustainability technologies such as higher efficiency lighting, air conditioning and compressor systems. This new plant will produce hydraulic, lube and fuel products.

在整個公司範圍內，我們在執行今天的同時，還通過戰略投資確保我們處於有利位置來推動未來的增長。為此，首先，我們於 8 月 16 日在墨西哥萊昂開設了新的製造工廠。這座佔地 265,000 平方英尺的設施將有助於滿足未來的需求，重要的是，該設施的建造採用了領先的可持續技術，例如更高效的照明、空調和壓縮機系統。該新工廠將生產液壓、潤滑油和燃料產品。

Also in August, Donaldson opened a 25,000 square-foot Bioprocessing Technical Center in Durham, North Carolina. This state-of-the-art facility includes 20,000 square feet of laboratory and cleanroom capabilities that will be used to bring Isolere's revolutionary IsoTag technology to market. Isolere's first research use product is expected to launch in the first quarter of fiscal 2024.

同樣是在 8 月，唐納森在北卡羅來納州達勒姆開設了佔地 25,000 平方英尺的生物加工技術中心。該最先進的設施包括 20,000 平方英尺的實驗室和潔淨室，將用於將 Isolere 的革命性 IsoTag 技術推向市場。 Isolere 的首款研究用途產品預計將於 2024 財年第一季度推出。

Second, we are working to meet customer needs through significant investments in R&D and M&A. Specific to M&A, during the fourth quarter, we acquired our fourth Life Sciences company, Univercells Technologies. Univercells Technologies delivers the next generation of upstream to midstream bioprocessing technologies for cell and gene therapies by leveraging the strength of process intensification and chaining. The company produces unique bioreactor systems that employ proprietary, single-use fixed-bed bioreactors combined with midstream processing capabilities, including depth and tangential flow filtration.

其次，我們致力於通過在研發和併購方面的大量投資來滿足客戶需求。具體到併購，我們在第四季度收購了第四家生命科學公司 Univercells Technologies。 Univercells Technologies 通過利用工藝強化和連鎖的優勢，為細胞和基因療法提供下一代上游到中游生物加工技術。該公司生產獨特的生物反應器系統，採用專有的一次性固定床生物反應器，並結合中游處理能力，包括深度和切向流過濾。

These systems provide measurable advantages over the competition in productivity, concentration, cost reduction and footprint. This acquisition is part of our string of pearls approach to become a differentiated solutions provider in the bioprocessing space with a specific focus on filtration and other separation and filtration tools. Our current capabilities give us excellent coverage and growth potential across the bioprocessing production chain with a focus on plasma DNA, mRNA vaccines and therapeutics as well as cell and gene therapies. We expect to add products and technologies through internal [development] and M&A that will fill gaps in our current product portfolio and enable us to provide customers with complete solutions.

這些系統在生產力、集中度、成本降低和占地面積方面提供了明顯的競爭優勢。這次收購是我們成為生物加工領域差異化解決方案提供商的一系列珍珠計劃的一部分，特別關注過濾和其他分離和過濾工具。我們目前的能力為我們提供了整個生物加工生產鏈的卓越覆蓋範圍和增長潛力，重點是血漿 DNA、mRNA 疫苗和療法以及細胞和基因療法。我們希望通過內部[開發]和併購來增加產品和技術，這將填補我們當前產品組合的空白，並使我們能夠為客戶提供完整的解決方案。

We're excited about these investments and continue to focus on meeting the needs of our current customer base and growing addressable market.

我們對這些投資感到興奮，並將繼續專注於滿足當前客戶群和不斷增長的目標市場的需求。

Now I'll provide some detail on fourth quarter sales. Total company sales were $880 million, down 1% from prior year. Pricing was a 5% benefit. In Mobile Solutions, total sales were $543 million, a 5% decline versus 2022. Pricing added 6%. Performance in Mobile businesses were mixed this quarter with Off-Road sales of $103 million, down slightly, mainly due to weaker market demand in the Americas and China. Aftermarket sales of $402 million were down 7% year-over-year as we continue to see OEM customers draw down inventories to better reflect normalizing global supply chain conditions.

現在我將提供有關第四季度銷售的一些詳細信息。公司總銷售額為 8.8 億美元，比上年下降 1%。定價有 5% 的優惠。移動解決方案領域的總銷售額為 5.43 億美元，較 2022 年下降 5%。定價上漲 6%。本季度移動業務的業績好壞參半，越野業務銷售額為 1.03 億美元，略有下降，主要是由於美洲和中國市場需求疲軟。售後市場銷售額為 4.02 億美元，同比下降 7%，因為我們繼續看到 OEM 客戶減少庫存，以更好地反映全球供應鏈狀況的正常化。

Sales in On-Road of $37 million were up 6%, resulting from solid equipment production rates. Also within Mobile Solutions, an update on China. Sales declined 15% versus 2022 and 10% in constant currency. Overall, China continues to be challenging given the weak end market conditions, particularly with respect to Off-Road. That said, our long-term view has not changed and the sheer market size, combined with our world-class technology and high-quality offerings give us confidence in our ability to gain share in the China market.

由於設備生產率穩定，公路銷售額增長了 6%，達到 3700 萬美元。同樣在移動解決方案中，還有有關中國的最新情況。銷售額與 2022 年相比下降了 15%，按固定匯率計算則下降了 10%。總體而言，鑑於終端市場狀況疲弱，特別是在越野方面，中國仍然面臨挑戰。儘管如此，我們的長期觀點沒有改變，龐大的市場規模，加上我們世界一流的技術和高質量的產品，讓我們對在中國市場獲得份額的能力充滿信心。

Now I will turn to the Industrial Solutions segment. Industrial had another strong quarter as sales grew 10% to $277 million ahead of our internal expectations. Pricing added 4%. Industrial Filtration Solutions, or IFS, sales grew 11% to $241 million, driven by continued strength in dust collection sales and Power Generation project timing. Aerospace and Defense sales were up 4% as a result of Defense sales strength.

現在我將轉向工業解決方案部分。工業領域又迎來了一個強勁的季度，銷售額增長了 10%，達到 2.77 億美元，超出了我們的內部預期。定價增加了 4%。受除塵銷售和發電項目時機持續強勁的推動，工業過濾解決方案 (IFS) 銷售額增長 11%，達到 2.41 億美元。由於國防銷售強勁，航空航天和國防銷售額增長了 4%。

On the Life Sciences segment, Life Sciences sales were $60 million, down 12% year-over-year, below our expectations driven primarily by Disk Drive as market softness and destocking continued. Importantly, we believe we are now seeing early signs of a slow demand recovery and expect a sequential improvement in Disk Drive through fiscal 2024 as data center and cloud computing demand recovers. Our long-term Life Sciences story is partially a function of realizing the full potential of our recently acquired capabilities, and it is worth noting that our acquisitions are generating growth, adding 340 basis points to sales growth in the segment this quarter.

在生命科學領域，生命科學銷售額為 6000 萬美元，同比下降 12%，低於我們的預期，這主要是由於市場疲軟和庫存持續減少而導致磁盤驅動器的推動。重要的是，我們相信我們現在看到了需求緩慢復甦的早期跡象，並預計隨著數據中心和雲計算需求的複蘇，到 2024 財年磁盤驅動器將出現連續改善。我們的長期生命科學故事部分是為了充分發揮我們最近收購的能力的潛力，值得注意的是，我們的收購正在帶來增長，為本季度該領域的銷售增長增加了 340 個基點。

I'm proud of our fiscal 2023 accomplishments, both financial and strategic. And because of the hard work of our Donaldson employees around the globe, we are better positioned than ever to deliver to all of our stakeholders in fiscal 2024. To that end, for the full year, we are forecasting sales, operating margin and earnings at all-time high levels. More specifically, we are projecting sales growth of between 3% and 7% or to $3.6 billion at the midpoint, operating margin in the range of 14.7% and 15.3% and EPS between $3.14 and $3.30, all record for Donaldson Company.

我對我們 2023 財年的財務和戰略成就感到自豪。由於唐納森全球員工的辛勤工作，我們比以往任何時候都更有能力在 2024 財年向所有利益相關者交付成果。為此，我們預測全年的銷售額、營業利潤率和收益為歷史最高水平。更具體地說，我們預計銷售額增長在3% 到7% 之間，即中間值達到36 億美元，營業利潤率在14.7% 到15.3% 之間，每股收益在3.14 美元到3.30 美元之間，均為唐納森公司的創紀錄水平。

Now I'll turn it over to Scott, who will provide more details on the financials and our outlook for fiscal '24. Scott?

現在我將把它交給斯科特，他將提供有關財務狀況和我們對 24 財年前景的更多詳細信息。斯科特？

Thanks, Tod. Good morning, everyone. Fiscal 2023 was a record year for Donaldson. I would like to thank our global teams who came together, managed through our company-wide organizational redesign and delivered results consistent with the expectations we laid out at the beginning of the year. Fiscal 2023 serves as a strong foundational year as we work towards a 2026 financial and strategic targets we laid out at Investor Day, and I'm excited about continuing to report on our progress. I will provide color on our outlook for fiscal 2024 in a few minutes, but first, will give additional details on the results for the fourth quarter.

謝謝，托德。大家，早安。 2023 財年對於唐納森來說是創紀錄的一年。我要感謝我們的全球團隊，他們齊心協力，通過全公司範圍的組織重新設計進行管理，並交付了與我們年初設定的期望一致的結果。 2023 財年是一個堅實的基礎年，我們致力於實現在投資者日制定的 2026 年財務和戰略目標，我很高興繼續報告我們的進展情況。我將在幾分鐘內介紹我們對 2024 財年的展望，但首先將提供有關第四季度業績的更多細節。

To summarize, sales declined 1% versus 2022. Operating income decreased 7%, driven by investments primarily in Life Sciences. EPS of $0.78 decreased 7%, and cash conversion was 173% versus 78% a year ago. Gross margin was 34.3%, a 140 basis point improvement versus prior year. Pricing was the largest driver of the gross margin improvement, followed by benefits from the stabilization of input costs, including lower freight costs.

總而言之，銷售額較 2022 年下降 1%。營業收入下降 7%，主要由生命科學領域的投資推動。每股收益為 0.78 美元，下降 7%，現金轉化率為 173%，而一年前為 78%。毛利率為 34.3%，比上年提高 140 個基點。定價是毛利率改善的最大驅動力，其次是投入成本穩定的好處，包括較低的運費。

Operating expenses as a percentage of sales were 20.0% compared with 18.0% a year ago. The deleveraging of operating expenses in the quarter was due to increased post-pandemic hiring expenses. And importantly, nearly half of the deleveraging was from incremental expenses related to our Life Sciences acquisitions. Operating margin was 14.3%, down 60 basis points versus prior year as operating expense deleveraging more than offset the year-over-year improvement in gross margin.

運營費用佔銷售額的比例為 20.0%，而去年同期為 18.0%。本季度運營費用的去槓桿化是由於疫情后招聘費用的增加。重要的是，近一半的去槓桿化來自與我們的生命科學收購相關的增量支出。營業利潤率為 14.3%，較上年下降 60 個基點，原因是營業費用去槓桿化抵消了毛利率的同比改善。

Now I'll discuss segment profitability. Mobile Solutions pretax profit margin was 16.2%, up 40 basis points year-over-year and Industrial Solutions pretax profit margin was 19.2%, up 60 basis points. Gross margin expansion, driven in large part by pricing, was a key driver in both of these segments. With respect to Life Sciences, the pretax loss of approximately $7 million included a headwind from acquisitions of roughly $8 million. Pretax profit margin was minus 12.4% versus 20.3% a year ago. While incremental investments in our acquisitions, including the purchase of Univercells Technologies are negatively impacting results in the short term, we remain committed to investing for the future and look forward to scaling these businesses.

現在我將討論細分市場的盈利能力。移動解決方案稅前利潤率為16.2%，同比增長40個基點，工業解決方案稅前利潤率為19.2%，同比增長60個基點。毛利率的擴張在很大程度上是由定價推動的，是這兩個領域的關鍵驅動力。生命科學業務方面，稅前虧損約 700 萬美元，其中包括約 800 萬美元的收購逆風。稅前利潤率為-12.4%，而一年前為20.3%。雖然我們收購中的增量投資（包括收購 Univercells Technologies）在短期內對業績產生負面影響，但我們仍然致力於未來投資，並期待擴大這些業務。

The decline in Disk Drive sales was also a marginal headwind this quarter.

磁盤驅動器銷量的下降也是本季度的一個小阻力。

Turning to a few balance sheet and cash flow statement highlights. Fourth quarter capital expenditures, mainly inclusive of continued capacity expansion investments in North America were approximately $25 million. As I mentioned earlier, cash conversion in the quarter was 173%, particularly strong versus 78% in 2022. We continue to experience high levels of conversion as a result of our actions to reduce inventory to more normalized levels.

轉向一些資產負債表和現金流量表的亮點。第四季度資本支出（主要包括北美持續產能擴張投資）約為 2500 萬美元。正如我之前提到的，本季度的現金轉換率為 173%，與 2022 年的 78% 相比尤其強勁。由於我們採取了將庫存減少到更正常水平的行動，我們繼續實現高水平的轉換。

In terms of other capital deployment, we acquired Univercells Technologies for $147 million and returned $53 million to shareholders inclusive of $30 million in the form of dividends and $23 million in share repurchases. Our balance sheet continues to be in great shape. This quarter, our strong cash flow generation enabled significant capital deployment with a minimal change in leverage. We ended the quarter with a net debt-to-EBITDA ratio of 0.8x.

在其他資本配置方面，我們以 1.47 億美元收購了 Univercells Technologies，並向股東返還 5,300 萬美元，其中包括 3,000 萬美元的股息和 2,300 萬美元的股票回購。我們的資產負債表繼續保持良好狀態。本季度，我們強勁的現金流生成實現了重大資本部署，槓桿變化最小。本季度結束時，我們的淨債務與 EBITDA 比率為 0.8 倍。

Now moving to our fiscal '24 outlook. First, on sales. We are forecasting fiscal 2024 sales to increase between 3% and 7%. This includes pricing of approximately 2% and a currency translation benefit of about 1%. For Mobile Solutions, we are anticipating a sales increase of between 1% and 5% with our first-fit businesses up low single digits and Aftermarket sales up mid-single digits. Supportive end market conditions, along with market share gains in Aftermarket are expected to be the drivers.

現在轉向我們的 24 財年展望。首先，關於銷售。我們預計 2024 財年銷售額將增長 3% 至 7%。這包括約 2% 的定價和約 1% 的貨幣換算收益。對於移動解決方案，我們預計銷售額將增長 1% 至 5%，其中我們的首次安裝業務將實現低個位數增長，售後市場銷售額將實現中個位數增長。支持性的終端市場條件以及售後市場市場份額的增長預計將成為推動因素。

For Industrial Solutions, sales are expected to increase between 3% and 7%. IFS sales are forecast to rise mid-single digits from strength in virtually every business including dust collection and industrial services. Aerospace and Defense sales are projected to decline low single digits after cycling 2 years of strong post-pandemic growth in both fiscal 2022 and fiscal 2023.

對於工業解決方案，銷售額預計將增長 3% 至 7%。預計 IFS 的銷售額將在包括除塵和工業服務在內的幾乎所有業務中實現中個位數增長。在經歷了疫情后兩年的強勁增長之後，航空航天和國防銷售額預計將在 2022 財年和 2023 財年出現低個位數下降。

In Life Sciences, we are forecasting sales to increase approximately 20% as we drive geographic expansion in Food & Beverage, as our Bioprocessing Equipment and Consumables business mature and commercialize and as the Disk Drive business returns to growth. In addition, we expect full year fiscal 2024 Life Sciences pretax profit margin to be positive and remain confident in our Life Sciences Investor Day targets.

在生命科學領域，隨著我們推動食品和飲料領域的地域擴張、生物加工設備和耗材業務的成熟和商業化以及磁盤驅動器業務恢復增長，我們預計銷售額將增長約 20%。此外，我們預計 2024 財年生命科學全年稅前利潤率為正，並對我們的生命科學投資者日目標保持信心。

Moving on to operating margin. We expect full year operating margin within a range of between 14.7% and 15.3%, an increase versus 14.6% in fiscal 2023, driven by gross margin expansion and partially offset by higher expenses as a rate of sales. Our guidance implies an operating margin at an all-time high for Donaldson, which is important to note, particularly given our ongoing investments as we work to scale our Life Sciences businesses. As I always say, we remain committed to higher levels of profitability on higher levels of sales, and we plan to deliver this again in fiscal 2024.

接下來是營業利潤率。我們預計全年營業利潤率將在 14.7% 至 15.3% 之間，較 2023 財年的 14.6% 有所增長，這主要受到毛利率擴張的推動，但部分被較高的銷售費用率所抵消。我們的指導意味著唐納森的營業利潤率處於歷史最高水平，這一點值得注意，特別是考慮到我們在努力擴大生命科學業務的過程中正在進行的投資。正如我常說的，我們仍然致力於在更高的銷售水平上實現更高的盈利水平，我們計劃在 2024 財年再次實現這一目標。

In terms of EPS, we are forecasting a range between $3.14 and $3.30 from $3.04 in fiscal 2023.

就每股收益而言，我們預計 2023 財年的每股收益將在 3.04 美元的基礎上，在 3.14 美元至 3.30 美元之間。

Now on to our balance sheet and cash flow outlook. Cash conversion is expected to be in the range of 95% to 105%, slightly down from 114% in fiscal 2023, but still above our historical averages. Our capital expenditures forecast is $95 million to $115 million and while heavily weighted towards growth initiatives, includes [maintenance] investments such as workplace of the future, our initiative to update and modernize our building facilities and our continued commitment to attract and retain talent.

現在談談我們的資產負債表和現金流前景。現金轉換率預計在 95% 至 105% 之間，略低於 2023 財年的 114%，但仍高於我們的歷史平均水平。我們的資本支出預測為9500 萬至1.15 億美元，雖然重點關注增長計劃，但包括[維護]投資，例如未來的工作場所、我們更新和現代化建築設施的計劃以及我們對吸引和留住人才的持續承諾。

In terms of other capital deployment priorities, we continue to focus on reinvesting back into the company, strategic acquisitions and our commitment to returning value to shareholders through dividends and share repurchases.

在其他資本部署優先事項方面，我們繼續專注於對公司的再投資、戰略收購以及通過股息和股票回購向股東回報價值的承諾。

Now I'll turn the call back to Tod.

現在我將把電話轉回托德。

Thanks, Scott. As we begin fiscal 2024 through each of our segments, we are steadfast in fulfilling our purpose of Advancing Filtration for a Cleaner World. In Mobile, we are addressing a growing need, helping our customers solve sustainability challenges by delivering higher performance solutions and utilizing our technology to improve efficiencies and fuel economy. We continue to build out our alternative power solutions portfolio to ensure we remain well positioned to address all future engine adoption scenarios.

謝謝，斯科特。在我們的各個部門開始 2024 財年之際，我們堅定不移地實現“推進過濾，創造更清潔的世界”的目標。在移動領域，我們正在滿足日益增長的需求，通過提供更高性能的解決方案並利用我們的技術來提高效率和燃油經濟性，幫助客戶解決可持續發展挑戰。我們繼續構建我們的替代動力解決方案組合，以確保我們保持良好的地位來應對所有未來的發動機採用場景。

In Industrial, we are growing our technologies and solutions to form strategic customer partnerships. Our expanded connectivity applications enable monitoring and alerting and drive energy efficiency. Our Dust and Fume Control product portfolio designed for optimized energy consumption and carbon footprint reduction provides solutions for customer environmental filtration challenges.

在工業領域，我們正在發展我們的技術和解決方案，以形成戰略客戶合作夥伴關係。我們擴展的連接應用程序可實現監控和警報並提高能源效率。我們的粉塵和煙霧控制產品組合專為優化能源消耗和減少碳足跡而設計，為客戶的環境過濾挑戰提供解決方案。

In Life Sciences, we are building out capabilities to address process integrity in Food & Beverage and improve the sustainability of the global food supply through entry into alternative proteins. We are also leveraging our existing technology, R&D capabilities and acquisitions to support the development of new therapeutics through differentiated and disruptive technologies.

在生命科學領域，我們正在建立解決食品和飲料工藝完整性的能力，並通過進入替代蛋白質來提高全球食品供應的可持續性。我們還利用現有技術、研發能力和收購，通過差異化和顛覆性技術支持新療法的開發。

A few comments on our progress in this regard, which gives us confidence in achieving our growth objectives. We have added over 1,000 years of bioprocessing experience to our team, including 150 scientists, engineers and commercial and operations personnel. Customer interest in our Purilogics and Isolere technology is tremendous. We are building onto a $210 million opportunity pipeline with large customers and over 20% of this pipeline has already achieved technical approval. And lastly, sales of Solaris bioreactor products more than doubled year-over-year in the fourth quarter and we enter fiscal 2024 with backlogs at record highs.

關於我們在這方面取得的進展的一些評論，這使我們對實現增長目標充滿信心。我們的團隊擁有 1,000 多年的生物加工經驗，其中包括 150 名科學家、工程師以及商業和運營人員。客戶對我們的 Purilogics 和 Isolere 技術非常感興趣。我們正在與大客戶建立價值 2.1 億美元的機會渠道，並且該渠道中超過 20% 的產品已獲得技術批准。最後，Solaris 生物反應器產品的銷售額在第四季度同比增長了一倍多，進入 2024 財年時，積壓訂單創下歷史新高。

In closing, I look forward to the journey that lies ahead as we execute on our longer-term strategy and drive towards our financial targets, and I'm confident we have the right team in place to achieve those goals.

最後，我對未來的旅程充滿期待，因為我們執行長期戰略並推動實現我們的財務目標，並且我相信我們擁有合適的團隊來實現這些目標。

With that, I will now turn the call back to the operator to open the line for questions.

這樣，我現在將把電話轉回接線員以打開提問線路。

(Operator Instructions) Our first question will come from the line of Bryan Blair with Oppenheimer.

（操作員說明）我們的第一個問題將來自布萊恩·布萊爾和奧本海默的線路。

Starting with your top line outlook, maybe offer some more color on what you're seeing in current order rates and how your team is contemplating first and second half growth by segment. There's now quite a bit of nuance there and certainly different comps that the segments face as fiscal '24 moves forward.

從您的頂線展望開始，也許可以提供更多關於您在當前訂單率中看到的情況以及您的團隊如何考慮上半年和下半年按細分市場增長的信息。現在，隨著 24 財年的推進，這些細分市場面臨著相當多的細微差別，而且肯定會面臨不同的競爭。

So maybe what I'll do is -- this is Tod. So maybe what I'll do is talk at the macro, and Scott could give you a little bit up feel for numbers on cadence as you work to build your model. Just at a macro level, we see strength in Europe, followed by good markets in the United States, okay markets in Latin America and troubled markets in APAC. As you kind of look at across our businesses, clearly, the Mobile Solutions segment is experiencing destocking largely because of the OE portion of our Aftermarket business. And that is what's keeping us into the low single digits type of growth level.

所以也許我會做的是——這是托德。因此，也許我要做的是從宏觀角度進行討論，斯科特可以在您構建模型時讓您對節奏上的數字有一點感覺。僅從宏觀層面來看，我們看到歐洲市場表現強勁，其次是美國市場表現良好，拉丁美洲市場表現良好，而亞太地區市場則陷入困境。縱觀我們的業務，很明顯，移動解決方案部門正在經歷庫存減少，這主要是因為我們的售後市場業務的原配設備部分。這就是使我們的增長水平保持在低個位數的原因。

IFS continues to be strong, both Aftermarket as well as the equipment side, and that's more of a broad-based type of comment. And within Life Sciences, we would look to continue to execute and see growth across those base businesses that we have been growing in the prior years. So as we just maybe look at the macro model, we're returning more to a more normal cadence of Donaldson Company, whereby last year, we were 49% first half, 51% second half. We would expect this fiscal year to be more of a 48-52 type of a split.

IFS 繼續表現強勁，無論是售後市場還是設備方面，這都是一種基礎廣泛的評論。在生命科學領域，我們希望繼續執行前幾年一直在發展的基礎業務並實現增長。因此，當我們看看宏觀模型時，我們正在更多地回歸唐納森公司更正常的節奏，去年，我們上半年為 49%，下半年為 51%。我們預計本財年將更多地是 48-52 的分割。

So maybe I'll just add on a little bit to that, Bryan. So in terms of quarterly sequencing, in total, like Tod said, we're kind of back to normal seasonality. So that means revenues in the second half will be higher than in the first half. And also in terms of profitability, both gross margin and operating margin, I mean we've given you guidance for the year in total. But generally, both the gross margin and the operating margin are going to be generally sequential up quarter-over-quarter in each of the quarters throughout the year.

所以也許我會補充一點，布萊恩。因此，就季度排序而言，總的來說，就像托德所說，我們有點回到了正常的季節性。這意味著下半年的收入將高於上半年。在盈利能力方面，無論是毛利率還是營業利潤率，我的意思是我們已經為您提供了今年的總體指導。但總體而言，全年每個季度的毛利率和營業利潤率都將普遍環比上升。

So it's a little bit of a ramp this year on both gross margin and operating margin with revenues a little bit higher in the back half than in the front half, as Tod mentioned. So we're kind of sticking to the guidance at the whole level from a quarterly perspective. There is some pluses and minuses within each of the business units. But I think if you stick with the normal seasonality and revenues generally increasing first half to back half and gross margins and operating margins generally sequentially improving in each of the quarters throughout the year.

因此，正如托德提到的那樣，今年的毛利率和營業利潤率都有所上升，後半段的收入略高於前半段。因此，我們從季度的角度來看，堅持整個層面的指導。每個業務部門都有一些優點和缺點。但我認為，如果你堅持正常的季節性，上半年到下半年收入普遍增加，全年每個季度的毛利率和營業利潤率普遍連續提高。

Okay. Appreciate the color there. And sticking with margin. Industrial profitability was again actually pretty exceptional in the quarter, and Industrial performance overall has been very solid. The last 3 quarters, you've come in well ahead of your fiscal '26 targets for Industrial margin. [It seems to have] a pretty good momentum going into fiscal '24. Are run rate margins sustainable for the segments? Or are there cost mix, other factors that we should keep in mind that may moderate profit level going forward?

好的。欣賞那裡的顏色。並堅持保證金。本季度的工業盈利能力實際上再次相當出色，而且工業表現總體上非常穩健。過去 3 個季度，您已經遠遠超出了 26 財年的工業利潤率目標。 [似乎]進入 24 財年的勢頭相當不錯。各細分市場的運行率利潤率是否可持續？還是我們應該牢記的成本組合或其他因素可能會降低未來的利潤水平？

Well, let me just start and I'll turn it over to Scott here for a little bit more color. But just at the macro level, we're executing extremely well with our strategy on Industrial. Clearly, that we talked about at Investors Day with connected-based products, we are seeing share gain within our Aftermarket businesses. Our Equipment-based businesses are hanging quite well overall at the macro atmosphere. So we're pretty comfortable with where we are, what we're seeing, and we'll continue to press and execute our strategy.

好吧，讓我開始吧，我會將其交給斯科特，以獲得更多的色彩。但僅在宏觀層面，我們的工業戰略執行得非常好。顯然，我們在投資者日討論了基於互聯的產品，我們看到售後市場業務的份額有所增長。我們的裝備業務在宏觀環境下總體表現良好。因此，我們對自己所處的位置、所看到的情況感到非常滿意，我們將繼續推動和執行我們的戰略。

Yes. And maybe I'd just add, Bryan, we -- like you said, we did have very good performance and we really had strong project-based shipments in the last part of last year. So that really drove a very strong leverage and high profitability. So we're very pleased to see the progress and success of the organization. So we probably overleveraged a bit, but we expect Industrial margins to continue to be strong and we do think about our Investor Day targets. At this point, we've chosen not to change them. We're certainly committed to achieving all of those Investor Day targets. And kind of as you've noted, Industrial has got a very good jump on achieving their operating margin targets that we laid out at Investor Day, and it's actually slightly ahead right now.

是的。也許我想補充一點，布萊恩，我們——就像你說的，我們確實有非常好的業績，去年下半年我們確實有強勁的基於項目的發貨量。因此，這確實帶來了非常強大的槓桿作用和高盈利能力。因此，我們很高興看到該組織的進步和成功。因此，我們的槓桿率可能有點過高，但我們預計工業利潤率將繼續強勁，並且我們確實考慮了投資者日目標。此時，我們選擇不更改它們。我們當然致力於實現所有這些投資者日目標。正如您所指出的，工業公司在實現我們在投資者日制定的營業利潤率目標方面取得了很大的進步，而且目前實際上還略有領先。

Absolutely. And then for Life Sciences, Scott, I think you called out last quarter, 800 basis points or thereabout margin impact from acquisitions. It sounds like that was worse than that at [$8 million] or so in dollar impact for fiscal 4Q. We know there's a lot of investment there, and it's a long-term outlook for the build-out of the platform. But how should we think about the near-term progression of margin impact from the acquisitions and how that is ultimately contemplated in your fiscal '24 guidance?

絕對地。然後對於生命科學，斯科特，我認為您在上個季度指出了收購對利潤率的影響，約為 800 個基點。聽起來這比第四財季 [800 萬美元] 左右的美元影響更糟糕。我們知道那裡有大量投資，而且這是該平台建設的長期前景。但是，我們應該如何考慮收購對利潤率影響的近期進展以及您的 24 財年指導中最終如何考慮這一點？

Yes. So I mean we certainly talked about that quite a bit. And first off, just to note, we're very proud of the fact that the company continues to put up record levels of sales and record levels of [property] while we are investing in our Life Sciences and other businesses to really make sure we secure long-term growth potential for the company. And we've done some acquisitions, and with that, comes some amortization and some start-up costs. And we've done some investments like that, and we want to make sure we properly fund those businesses. I said in my script that we expect the Life Sciences operating margin to be positive next year. So we definitely invested heavily, and we took on a bit of a run rate expenses, and you see that in our OpEx. But we do expect the operating margin for Life Sciences to be positive for next year's fiscal results.

是的。所以我的意思是我們確實談論了很多。首先，需要指出的是，我們感到非常自豪的是，在我們投資生命科學和其他業務的同時，公司繼續創下創紀錄的銷售水平和創紀錄的[財產]水平，以真正確保我們確保公司的長期增長潛力。我們已經進行了一些收購，隨之而來的是一些攤銷和一些啟動成本。我們已經進行了一些類似的投資，我們希望確保為這些企業提供適當的資金。我在腳本中表示，我們預計明年生命科學業務的營業利潤率為正。因此，我們確實投入了大量資金，並且承擔了一些運行費用，您可以在我們的運營支出中看到這一點。但我們確實預計生命科學業務的營業利潤率將對明年的財務業績產生積極影響。

Your next question will come from the line of Nathan Jones with Stifel.

您的下一個問題將來自內森·瓊斯 (Nathan Jones) 和斯蒂菲爾 (Stifel) 的線路。

I am going to follow up on Bryan's last question on the Life Sciences margin and see if we can get any more help with the progression of that through '24. I mean, margins swung by 30 points from the first quarter of '23 to the fourth quarter of '23. Just -- I know, Scott, you said positive for the year. Is there any help you can give us with -- I mean, I assume they're going to start out negative in the first quarter. Should we be thinking about something like the fourth quarter margin in the first quarter? And how that kind of ramps up through the year to get to positive?

我將跟進 Bryan 關於生命科學邊緣的最後一個問題，看看我們是否能在 24 年的進展中獲得更多幫助。我的意思是，從 23 年第一季度到 23 年第四季度，利潤率波動了 30 個百分點。只是——我知道，斯科特，你說今年的表現是積極的。你能給我們提供什麼幫助嗎——我的意思是，我認為他們在第一季度的開局會是負數。我們是否應該考慮第一季度第四季度的利潤率之類的問題？這種情況如何在這一年中逐漸變得積極？

Yes. I mean we're looking at next year where we definitely stepped up our investments in the fourth quarter. So as sales increase, it'll certainly help cover those costs. And don't forget we also have the Disk Drive headwinds this year that we expect to abate next year. So we're looking at low single-digit profitability. And for the most part, relatively consistent throughout the fiscal year, achieving a positive operating margin for the next year. So there's not any massive swings contemplated. The really big investment period was the fourth quarter, and we had the Disk Drive headwinds that will normalize sequentially going forward. So we feel like we're in a better position and the results will reflect that.

是的。我的意思是，我們正在考慮明年，我們肯定會在第四季度加大投資。因此，隨著銷售額的增加，它肯定會有助於彌補這些成本。不要忘記，今年我們也面臨著磁盤驅動器的不利因素，我們預計明年將會減弱。因此，我們正在考慮低個位數的盈利能力。在大多數情況下，整個財年相對穩定，明年實現正營業利潤率。因此，沒有考慮任何大幅波動。真正的大投資期是第四季度，我們遇到了磁盤驅動器的逆風，這些逆風將在未來逐漸正常化。所以我們覺得我們處於更好的位置，結果將反映這一點。

So the margins -- you're not thinking the margins in Life Sciences have a big ramp up throughout the year, they're relatively consistent? I mean if you're assuming volume gets sequentially better through the year, I assume margins would get sequentially better through the year, but there's not a huge variance in those numbers?

那麼，您是否認為生命科學領域的利潤全年都有大幅增長，它們相對穩定？我的意思是，如果你假設銷量在這一年中連續好轉，我假設利潤率在這一年中會連續好轉，但這些數字並沒有巨大的差異？

There's not a huge variance in the numbers, Nathan. And Life Science will be actually a little bit lumpy in the year more than some of the other -- than the other 2 segments, but just slight degrees of difference throughout the year.

內森，數字上並沒有太大的差異。事實上，生命科學今年的表現會比其他一些領域——比其他兩個領域更不穩定，但全年的差異程度很小。

And we [put out] the Investor Day target, right, of 22.5% operating margin for Life Sciences 3 years out, and we're still committed to that number and believe it's achievable.

我們制定了投資者日目標，即 3 年後生命科學業務營業利潤率達到 22.5%，我們仍然致力於實現這一目標，並相信這是可以實現的。

And that just comes from absorbing these costs with revenue as those businesses ramp up, right? I mean you're still in a position with a number of those businesses where revenue is pretty minimal.

這只是隨著這些業務的增長而用收入吸收這些成本，對嗎？我的意思是，您仍然處於許多收入微乎其微的業務中。

Exactly. And when you look at what additional CapEx might be needed in the businesses, that particular -- the way we look at that is we will need some additional manufacturing capability across the Life Sciences segment. We will have that investment within the next 3 years, adding that in -- to be able to meet the manufacturing capabilities. But we bake that all within this guide, we put that all within the investors' targets and gives us confidence within the targets that we talked about last April.

確切地。當你考慮業務中可能需要哪些額外的資本支出時，我們看待這一問題的方式是，我們將需要整個生命科學領域的一些額外的製造能力。我們將在未來 3 年內進行投資，並增加——以滿足製造能力。但我們將所有這些都納入本指南中，我們將所有這些都納入投資者的目標之內，並使我們對我們去年四月談到的目標充滿信心。

Maybe we could get some more color on the $210 million opportunity pipeline that you talked about, Tod. Half has achieved technical approval, I guess that means the other half is still waiting for it. Is that $210 million all business that you expect to win? Or is that business that you still have to compete to win? And how should we think about that kind of those projects being released and ramping up?

托德，也許我們可以對您談到的 2.1 億美元的機會渠道有更多了解。一半已經獲得技術批准，我想這意味著另一半還在等待。這 2.1 億美元是您希望贏得的全部業務嗎？或者您仍然需要通過競爭才能贏得該業務？我們應該如何看待此類項目的發布和啟動？

So the $210 million is the opportunity pipeline, and that's why we pointed out that we're 20% of it is approved, right? So 80% of it, we are still looking to go through with the particular OE, the approval process or we are in flight of the approval process. So -- but that's near term what we're chasing. And we've looked at that $210 million over a 7-year period. It's important to also understand that what we baked into this particular guide out of those seed planting based businesses is very little revenue for this fiscal year. It really starts to show a bit more next year and then ramps up.

因此，2.1 億美元是機會渠道，這就是為什麼我們指出其中 20% 已獲得批准，對嗎？因此，其中 80% 的內容，我們仍在尋求完成特定的 OE、審批流程，或者我們正在執行審批流程。所以——但這就是我們近期所追求的。我們在 7 年期間研究了這 2.1 億美元。還重要的是要了解，我們在本特定指南中納入的那些基於種子種植的業務在本財年的收入非常少。明年它確實會開始表現得更多，然後會加速。

Your next question comes from the line of Brian Drab with William Blair.

你的下一個問題來自布萊恩·德拉布（Brian Drab）和威廉·布萊爾（William Blair）的對話。

The Univercells acquisition, I was just curious, that was $10 million in revenue in '22. You paid a good multiple for that. I think it's like 13.5x trailing sales. So I assume that's growing rapidly. What should we model for that business in roughly for fiscal '24? It must be in the, I guess, like $15 million range or something thereabouts?

我只是好奇收購 Univercells，22 年的收入為 1000 萬美元。你為此付出了很多倍的代價。我認為這相當於追踪銷售額的 13.5 倍。所以我認為這個增長很快。在 24 財年，我們應該為該業務建立什麼樣的模型？我猜，它一定在 1500 萬美元左右？

Yes. We baked that into the current guide that we gave you, obviously, with what our expectations are. We do expect it to grow double digits within that business. But we also have some pieces to put in place in order to be able to execute that, which we have all put in on the revenue side as well as any particular costs on that into this guide that we just gave you, remembering that we have not owned that business very long. So we'll be integrating it throughout this year.

是的。顯然，我們將其納入了我們為您提供的當前指南中，這符合我們的期望。我們確實預計該業務將實現兩位數增長。但我們還需要採取一些措施，以便能夠執行該計劃，我們已將其全部納入收入方面以及我們剛剛提供給您的本指南中的任何特定成本，請記住，我們有擁有該業務的時間並不長。因此，我們將在今年整合它。

Yes. Okay. Got it. Makes sense. And -- so with the 20% forecast for the Life Sciences segment, I guess maybe like -- I'm going to probably model it like 15% organic revenue growth. And I'm just wondering -- can you -- should I discern anything from the press release in terms of the order that you listed, the drivers of growth in Life Sciences because Food & Beverage, Bioprocessing, then Disk Drive? I'm just wondering like which of those is expected to contribute most of the incremental organic revenue in fiscal '24, which is (inaudible).

是的。好的。知道了。說得通。而且 - 因此，對於生命科學領域 20% 的預測，我想可能會這樣 - 我可能會將其建模為 15% 的有機收入增長。我只是想知道，我是否應該從新聞稿中按照您列出的順序辨別出生命科學增長的驅動力（食品和飲料、生物加工，然後是磁盤驅動器）？我只是想知道其中哪一個預計將貢獻 24 財年大部分增量有機收入，這是（聽不清）。

Yes, it's going to be broad-based, Brian, but you're right. We've grown the Food & Beverage business double digits for a number of years. We expect that to happen again this year. And then, of course, we noted that our Solaris backlogs are at all-time highs. We would have expected that. That just is a good indicator to you that we're executing quite well. And then we would expect Disk Drive coming off easier comps to have a low double-digit type of a growth rate. So you pack all that together, that's how -- that's what really gives us confidence in the numbers we're giving.

是的，這將是基礎廣泛的，布萊恩，但你是對的。多年來，我們的食品和飲料業務以兩位數的速度增長。我們預計今年會再次發生這種情況。當然，我們注意到我們的 Solaris 積壓訂單達到了歷史最高水平。我們早就料到會這樣。這對您來說是一個很好的指標，表明我們執行得很好。然後我們預計磁盤驅動器會從更容易的比較中獲得較低的兩位數增長率。所以你把所有這些放在一起，這就是真正讓我們對我們給出的數字充滿信心的原因。

Okay. Got it. And then just one last one. Can you talk about customer development within the -- like acquisition progress that you're making with customers within the Life Sciences segment? How many customers do you have now? Like Solaris backlog, is that across many different customers? Or is it one big project for one customer? Any color on that would be really helpful.

好的。知道了。然後只有最後一張。您能談談您在生命科學領域與客戶的收購進展嗎？你們現在有多少客戶？與 Solaris 積壓工作一樣，這是否涉及許多不同的客戶？或者這是一個客戶的一個大項目？任何顏色都會非常有幫助。

Yes. Thanks, Brian. So it's not one big project. It is more broad-based. And remember that Solaris makes the very small desktop type of bioreactors that would go into laboratory type of use as well as the larger project type of bioreactors that you're referring to. Their backlog is a bit more broad-based than one big elephant, so to speak. So we're happy with the progress that we have there. And then with the newer acquisitions, we're also happy with the very, very broad-based customer acceptance of those particular products and are working with a number of opportunities.

是的。謝謝，布萊恩。所以這不是一個大項目。它的基礎更加廣泛。請記住，Solaris 製造了非常小的桌面型生物反應器（可用於實驗室類型）以及您所指的較大項目類型的生物反應器。可以這麼說，他們的積壓工作比一頭大象的基礎要廣泛一些。因此，我們對目前取得的進展感到滿意。然後，通過新的收購，我們也很高興看到非常非常廣泛的客戶對這些特定產品的接受，並且正在尋找許多機會。

Your next question comes from the line of Laurence Alexander with Jefferies.

你的下一個問題來自勞倫斯·亞歷山大和杰弗里斯的對話。

This is Kevin Estok on for Laurence. So my questions have largely already been asked. But I guess just -- do you guys see any risk of a recession impacting any of your end markets in '24? And I guess, if so, which areas (inaudible) risk? And when you said that you expect your top line in APAC to be troubled next year, is that mostly related to China? Or are there issues elsewhere in the region that you're seeing?

我是勞倫斯的凱文·埃斯托克。所以我的問題基本上已經被問到了。但我想，你們認為 24​​ 年經濟衰退有影響你們的終端市場的風險嗎？我想，如果是這樣，哪些領域（聽不清）存在風險？當您說預計明年亞太地區的營收將遇到麻煩時，這主要與中國有關嗎？或者您在該地區的其他地方發現了問題嗎？

Yes. So when you talk about the recession, it's really China for us all the time. We're really happy with where we are with China based upon we know that that's a very troubled economy over there. Everybody knows that in the world. But we're happy with where we sit, position to when it comes out, that should give us tailwind. We have a number of different market share gains over there that should be able to give us some positive outcomes. However, we have not baked any of that type of lift into F '24 guidance. We believe that will just be a little bit more protracted than it's currently or then was, let's say, seen 6 months ago.

是的。因此，當你談論經濟衰退時，對我們來說，實際上一直是中國。我們對中國的現狀感到非常滿意，因為我們知道那裡的經濟非常困難。世界上每個人都知道這一點。但我們對我們的位置和發佈時的位置感到滿意，這應該會給我們帶來順風。我們在那裡獲得了許多不同的市場份額，這應該能夠給我們帶來一些積極的成果。然而，我們尚未將任何此類提升納入 F '24 指南中。我們認為，這種情況只會比現在或 6 個月前的情況更長一些。

So we're very careful about projecting China. But for the rest of the world, we have not really seen any early indicators of recessionary type of behavior in any of the other geographies. And so we have not contemplated that at this time.

所以我們對中國的預測非常謹慎。但對於世界其他地區來說，我們還沒有真正看到任何其他地區經濟衰退類型行為的早期跡象。所以我們目前還沒有考慮這一點。

Your next question comes from the line of Rob Mason with Baird.

你的下一個問題來自 Rob Mason 和 Baird 的對話。

Maybe, Tod, just wanted to follow up on that last comment. I mean, to the extent that you've not baked in any recessionary impact, I guess how do you reconcile some of the PMIs that we see out of Europe versus your results, which seem to be very good? It just seems like there's some disconnect there given the results. Is that more share gain-oriented on your side? Or just kind of help us versus what we historically would have expected given those macro indices.

也許，托德，只是想跟進最後的評論。我的意思是，在您沒有受到任何衰退影響的情況下，我想您如何將我們在歐洲看到的一些採購經理人指數與您的結果（看起來非常好）進行協調？考慮到結果，似乎存在一些脫節。您這邊是否更注重份額收益？或者只是幫助我們對比我們歷史上對這些宏觀指數的預期。

Sure. So we've long said that we're a diverse portfolio of businesses across our company. You're starting to see the strength of that, particularly as you read about particular sectors having some headwinds. Donaldson Company is more broad than that. Some of the execution within the strategies that we talked about at Investor Day is actually going extremely well. We clearly have share gains in some of our replacement part based businesses. And so we have good momentum at this point in time, and we'll continue to press, continue to invest and look for a continuation of the solid execution that we're seeing across our company.

當然。因此，我們長期以來一直表示，我們公司擁有多元化的業務組合。你開始看到它的力量，特別是當你讀到某些特定行業面臨一些阻力時。唐納森公司的範圍比這更廣泛。我們在投資者日討論的一些策略的執行實際上進展得非常順利。我們在一些基於替換零件的業務中顯然獲得了份額增長。因此，我們目前勢頭良好，我們將繼續施壓，繼續投資，並尋求延續我們在整個公司看到的紮實執行力。

Yes. To the extent -- and speaking to the Mobile business, I think, particularly to the extent destocking was heavy in the fourth quarter. It's a bit going on for several quarters. I thought your commentary around the Aftermarket -- Mobile Aftermarket business implied that it may continue. And I was just curious if that's the case, you said it could weigh on the low single digit or influence that low single-digit growth rate. How much longer do you think are you anticipating that destocking headwinds impact that business?

是的。我認為，就移動業務而言，特別是在第四季度大幅去庫存的情況下。這已經持續了幾個季度了。我認為您對售後市場——移動售後市場業務的評論暗示它可能會繼續下去。我只是很好奇如果是這樣的話，你說這可能會影響低個位數的增長率或影響低個位數的增長率。您認為去庫存的逆風會影響該業務多久？

Yes. Thanks, Rob. Let me just give a little bit more specific color on that. If you recall in our Mobile Solutions Aftermarket business, our OE portion of that business is 40% of the revenue. Our independent channel is 60% of the revenue. If you look at just the fourth quarter, we would tell you that our independent channel was roughly flat year-over-year and the OE channel was down mid-teens. So that suggests to you that the destocking across the OE channel, and it's not specific to one end market, but now has more broadened to multiple customers. It has really created a headwind across our Aftermarket.

是的。謝謝，羅布。讓我對此進行更具體的說明。如果您還記得我們的移動解決方案售後市場業務，我們該業務的 OE 部分佔收入的 40%。我們的獨立渠道佔收入的60%。如果你只看第四季度，我們會告訴你，我們的獨立渠道與去年同期相比大致持平，而 OE 渠道則下降了十幾歲。因此，這表明整個原配設備渠道的去庫存並非特定於某一終端市場，而是現在已擴大到多個客戶。這確實給我們的售後市場帶來了阻力。

It is not the independent distributor channels. In fact, looking forward, we would expect that destocking from all the behaviors we've seen from the OE to pick up just a little bit, looking forward here in the first 2 quarters but not appreciably. So therefore, our estimation is that the destocking at the OE side would go in the first Q and likely the second quarter because there's a lot of balance sheet management across the OE sector in our second quarter as we end the calendar year and then pick up in the second half of the year.

它不是獨立的分銷渠道。事實上，展望未來，我們預計，我們從 OE 中看到的所有行為中的去庫存會略有增加，預計前兩個季度會有所增加，但不會明顯增加。因此，我們的估計是，原廠設備方面的去庫存將在第一季度進行，也可能在第二季度進行，因為隨著日曆年結束，然後在第二季度，整個原廠設備部門進行了大量的資產負債表管理下半年。

Yes. And maybe just to take the other side of that, the first-fit side in Mobile. Now the supply chains have largely normalized, lead times have come down. Are your OE customers still giving you the same level of visibility on their production schedules? Or has that shortened up as well? How do you feel about the level of visibility?

是的。也許只是為了看看另一面，即移動中最適合的一面。現在供應鏈已基本正常化，交貨時間也縮短了。您的 OE 客戶是否仍為您提供相同水平的生產計劃可見性？或者也縮短了？您對可見度水平有何看法？

So nothing's changed. Yes, nothing's changed about the models between the way we operate with our OEs and Donaldson Companies. We do things where our computers are linked. And so we get a longer look at their production build rates. They may firm the build rates a little tighter. So say, at more like 90 days rather than 150 days, but we're still very comfortable with what we're seeing across all of the end markets in the Mobile Solutions. So that's agriculture, construction, mining and On-Road, with On-Road likely showing a bit more resiliency than the others.

所以什麼都沒有改變。是的，我們與原始設備製造商和唐納森公司的運營方式之間的模式沒有任何變化。我們在計算機相連的地方做事情。因此，我們可以更長期地了解他們的生產速度。他們可能會將建造速度收緊一些。可以這麼說，更像是 90 天而不是 150 天，但我們仍然對移動解決方案中所有終端市場的情況感到非常滿意。這就是農業、建築業、採礦業和公路運輸，其中公路運輸可能比其他行業表現出更強的彈性。

(Operator Instructions) And we have no further questions at this time. I'll turn the call back over to Tod Carpenter for any closing remarks.

（操作員說明）目前我們沒有其他問題。我會將電話轉回給托德·卡彭特（Tod Carpenter）以供結束語。

That concludes the call today. Thanks to everyone who participated, and I look forward to reporting our first quarter fiscal 2024 results in November. Have a great day. Goodbye.

今天的電話會議到此結束。感謝所有參與的人，我期待在 11 月報告我們 2024 財年第一季度的業績。祝你有美好的一天。再見。

That will conclude today's call. We thank you all for joining. You may now disconnect.

今天的電話會議到此結束。我們感謝大家的加入。您現在可以斷開連接。