Donaldson Company Inc (DCI) 2025 Q3 法說會逐字稿

(Operator Instructions)

（操作員指示）

Good morning and welcome to Donaldson's third quarter fiscal 2025 earnings conference call and webcast. (Operator Instructions) Today's conference is being recorded.

早安，歡迎參加唐納森 2025 財年第三季財報電話會議和網路廣播。（操作員指示）今天的會議正在錄製。

I would now like to turn the call over to Sarika Dhadwal, Senior Director of Investor Relations and ESG. Please go ahead.

現在，我想將電話轉給投資者關係和 ESG 高級總監 Sarika Dhadwal。請繼續。

Good morning. Thank you for joining Donaldson's third quarter fiscal 2025 earnings conference call. With me today are Tod Carpenter, Chairman, President and CEO; and Brad Pogalz, Chief Financial Officer. This morning, Tod and Brad will provide a summary of our third quarter performance and our updated outlook for fiscal 2025. During today's call, we will discuss non-GAAP or adjusted results.

早安.感謝您參加唐納森 2025 財年第三季財報電話會議。今天與我一起的有董事長、總裁兼執行長 Tod Carpenter 和財務長布拉德波加爾茨 (Brad Pogalz)。今天上午，托德和布拉德將總結我們第三季的業績並更新 2025 財年的展望。在今天的電話會議中，我們將討論非公認會計準則或調整後的結果。

For third quarter 2025 non-GAAP results exclude pre-tax charges of $62 million for the impairment of certain intangible assets for our two upstream bioprocessing businesses, Univercells Technologies and Solaris. Results also exclude pre-tax charges of $4.2 million for restructuring related to footprint optimization and cost reduction initiatives, $800,000 for business development and a $1.2 million gain on the sale of fixed assets.

2025 年第三季的非 GAAP 業績不包括我們兩家上游生物加工企業 Univercells Technologies 和 Solaris 的某些無形資產減損的 6,200 萬美元稅前費用。結果還不包括與足跡優化和成本削減舉措相關的重組的 420 萬美元稅前費用、80 萬美元的業務發展費用和 120 萬美元的固定資產出售收益。

A reconciliation of GAAP to non-GAAP metrics is provided within the schedules attached to this morning's press release. 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.

今天早上的新聞稿所附的時間表提供了 GAAP 指標與非 GAAP 指標的對帳表。此外，請記住，本次電話會議中所做的任何前瞻性陳述都存在風險和不確定性，這些風險和不確定性在我們的新聞稿和美國證券交易委員會文件中有所描述。

With that, I will now turn the call over to Tod.

說完這些，我現在將電話轉給托德。

Thanks, Sarika. Good morning. This quarter, the Donaldson team once again showcased our ability to deliver record sales and record adjusted earnings withstanding macro uncertainty, including fluid tariff policies and end market pressures, supported by the durability and strength of our razor to sell razor blade model, excluding currency impact, we grew sales in all three segments.

謝謝，薩里卡。早安.本季度，唐納森團隊再次展示了我們能夠創造創紀錄的銷售額和創紀錄的調整後收益，抵禦宏觀不確定性，包括流動的關稅政策和終端市場壓力，得益於我們剃須刀的耐用性和強度，銷售剃須刀片模型，排除貨幣影響，我們在所有三個部門的銷售額均有所增長。

I am proud of our results. With our solid financial performance, the strength of our balance sheet and an unwavering confidence in our ability to create long-term value, we repurchased an above average number of shares in the quarter.

我對我們的成績感到自豪。憑藉穩健的財務表現、強勁的資產負債表以及對創造長期價值能力的堅定信心，我們在本季度回購了高於平均水平的股票。

In addition, last week, we announced an 11% increase in our quarterly dividend. Donaldson Company is in a position of strength. Earnings growth has outpaced sales growth for seven quarters in a row due in large part to operating margin expansion.

此外，上週我們宣布季度股息增加 11%。唐納森公司實力雄厚。獲利成長已連續七個季度超過銷售額成長，這在很大程度上得益於營業利潤率的擴大。

We continue to make long-term investments in the company with sharp prioritization of technology opportunities and targeted capital expenditures, and we deploy a significant amount of cash to our shareholders through dividends and share repurchase. That has been our story, and that will continue to be our story.

我們繼續對公司進行長期投資，優先考慮技術機會和有針對性的資本支出，並透過股息和股票回購向股東投入大量現金。這就是我們的故事，並將繼續是我們的故事。

Before getting into highlights from this quarter, I would like to acknowledge yesterday's announcement on the appointment of Rich Lewis as Chief Operating Officer, effective August 1. His current role as President of Life Sciences and his track record of delivering operational success throughout his 23 year Donaldson tenure, including as President of Mobile Solutions, position him well for success, and I look forward to partnering with Rich to further strengthen our execution across the organization.

在介紹本季的亮點之前，我想先了解昨天宣布的任命 Rich Lewis 為營運長的消息，該任命將於 8 月 1 日起生效。他目前擔任生命科學總裁，並在唐納森 23 年任期內取得了營運成功的記錄，包括擔任行動解決方案總裁，這些都為他的成功奠定了良好的基礎，我期待著與里奇合作，進一步加強我們整個組織的執行力。

Now I'll cover some highlights from this quarter within each of our segments. In mobile solutions, sales grew in constant currency, driven by our aftermarket business as we continue to gain share and post solid growth across all regions and across both, the OE and independent channels.

現在我將介紹本季各部門的一些亮點。在行動解決方案領域，銷售額以固定匯率計算實現成長，這得益於我們的售後市場業務，因為我們繼續獲得份額並在所有地區以及 OE 和獨立通路都實現了穩健成長。

As a reminder, recurring revenue from aftermarket parts makes up between 75% and 80% of sales in this segment. It is this solid foundation that helps us withstand the natural cycles in new equipment production. Additionally, while our first-fit businesses are currently facing cyclical headwinds in more developed regions, we remain optimistic about growth in large and growing markets, such as India due to recent wins.

提醒一下，售後零件的經常性收入佔該部門銷售額的 75% 至 80%。正是這個堅實的基礎幫助我們承受新設備生產中的自然循環。此外，雖然我們的「首批適應」業務目前在較發達地區面臨週期性逆風，但鑑於近期取得的勝利，我們仍然對印度等大型成長市場的成長持樂觀態度。

Our industrial solutions, volume growth and pricing drove a solid sales increase and as expected, profitability improved sequentially, returning to above 18%, a level consistent with our long-term target. Our aerospace and defense business continues to outperform with sales now at an all-time high. The team has worked hard to navigate supply chain bubbles and deliver our technology-led products to our customers.

我們的工業解決方案、銷售成長和定價推動了銷售額的穩定成長，正如預期的那樣，獲利能力連續提高，回到了 18% 以上，這一水平與我們的長期目標一致。我們的航空航太和國防業務持續表現出色，銷售額達到歷史最高水準。團隊一直努力應對供應鏈泡沫，並向客戶提供我們技術主導的產品。

Our connectivity strategy remains a priority, and we are in the final stages of launching our new technologies, including next-generation controllers and gateways, which will enhance our offerings across Industrial Filtration Solutions, or IFS, businesses.

我們的連接策略仍然是我們的優先事項，我們正處於推出新技術的最後階段，包括下一代控制器和網關，這將增強我們在工業過濾解決方案（IFS）業務中的產品。

Our services business is performing well, and our most recent acquisition, EZFlow, once again performed above our expectations this quarter and posted a record April. In Life Sciences, we are now operating with a leaner, more focused cost structure from which we are better positioned to leverage sales growth.

我們的服務業務表現良好，我們最近收購的 EZFlow 本季的表現再次超出我們的預期，並在 4 月創下了紀錄。在生命科學領域，我們現在採用更精簡、更集中的成本結構，以便更好地實現銷售成長。

Our larger legacy disk drive and food and beverage businesses are performing well while our newer Bioprocessing businesses are working to bring new products to market. Recall that our Isolere Bio business in October of 2024 announced the availability of its research grade IsoTag AAV reagent.

我們規模較大的傳統磁碟機和食品飲料業務表現良好，而我們較新的生物加工業務正在努力將新產品推向市場。回想一下，我們的 Isolere Bio 業務於 2024 年 10 月宣布推出其研究級 IsoTag AAV 試劑。

This quarter, we took another important step towards scaling and commercializing this product, announcing the availability of the manufacturing grade product, which is used to address bottlenecks in customers' good manufacturing processes, streamline purification and bring certain gene therapies to patients in need.

本季度，我們朝著擴大和商業化該產品邁出了重要的一步，宣布推出製造級產品，該產品用於解決客戶良好製造工藝中的瓶頸、簡化淨化過程並為有需要的患者提供某些基因療法。

Now some consolidated company highlights. Sales rose 1% year over year to $940 million, where modest volume growth was offset by a currency translation headwind, allowing pricing to push us forward. Operating margin in the quarter improved 80 basis points over 2024, driven by expense leverage. Adjusted EPS was $0.99, up approximately 8% versus prior year.

現在列出一些合併後公司的亮點。銷售額年增 1% 至 9.4 億美元，其中適度的銷售成長被貨幣折算的逆風所抵消，從而使定價推動我們向前發展。受費用槓桿的推動，本季營業利潤率較 2024 年提高了 80 個基點。調整後的每股收益為 0.99 美元，較上年增長約 8%。

I want to provide some additional details on tariffs. The impact of tariffs on this quarter's net results was immaterial. And based on what is implemented today, we expect the net impact on our profit to remain immaterial. The reason we have this view is because of how we operate. Structurally, Donaldson is well equipped to successfully navigate the current dynamic global tariff environment.

我想提供一些有關關稅的更多細節。關稅對本季淨業績的影響並不大。根據今天實施的措施，我們預計對我們利潤的淨影響將保持微不足道。我們之所以有這種觀點，是因為我們運作的方式。從結構上看，唐納森已做好充分準備，成功應對當前動態的全球關稅環境。

Our operating model provides some natural hedging from tariff impacts. First, about 75% of our footprint is region to support region manufacturing and distribution. Second, our largest exposure is from Mexico to the US, where approximately 85% of goods we ship are USMCA qualified, and our teams are working to accelerate additional qualifications where there are opportunities. Also, in thinking about Donaldson's tariff exposure, it is important to note the US is a net exporter.

我們的營運模式對關稅影響提供了一些自然的對沖。首先，我們的業務範圍約有 75% 位於區域內，以支援區域製造和分銷。其次，我們最大的業務範圍是從墨西哥到美國，我們運送的大約 85% 的貨物都符合 USMCA 資格，我們的團隊正在努力在有機會的地方加速獲得更多資格。此外，在考慮唐納森的關稅風險時，必須注意到美國是一個淨出口國。

On an annualized basis, we estimate the total impact of tariff costs on Donaldson today to be around $35 million, which we expect to offset through supply chain and price adjustments, including the application of surcharges.

以年率計算，我們估計關稅成本目前對唐納森的總影響約為 3500 萬美元，我們預計這筆影響將透過供應鏈和價格調整（包括徵收附加費）來抵消。

While navigating the ever-changing tariff dynamics, our global operations teams focus on working down backlogs and delivering on customer commitments. Overall, on-time delivery rates remain at high levels. Throughout the quarter, we maintained expense discipline while still investing in strategically important areas. We focused our capital expenditures and R&D investments, which continued across all segments.

在應對不斷變化的關稅動態的同時，我們的全球營運團隊專注於減少積壓訂單並履行對客戶的承諾。整體來看，準時交貨率仍維持在較高水準。整個季度，我們保持了費用紀律，同時仍在具有戰略重要性的領域進行投資。我們集中了資本支出和研發投資，這在所有部門都持續進行。

During the quarter, we also released our fiscal 2024 sustainability report, which illustrates how our environment and social efforts are driving cost savings, strengthening customer relationships and reinforcing our long-term competitiveness.

本季度，我們也發布了2024財年永續發展報告，該報告闡述了我們的環境和社會努力如何推動成本節約、加強客戶關係並增強我們的長期競爭力。

Key updates include our virtual power purchase agreement, where we teamed with PepsiCo to lower US emissions and a 2030 ambition to reduce landfill waste or increased recycling by 3,200 metric tons. These efforts align with the expectations of our global OEM and multinational customers, enhancing our ability to win and expand relationships.

主要更新包括我們的虛擬電力購買協議，我們與百事可樂合作降低美國的排放量，並制定了到 2030 年減少垃圾掩埋場垃圾或增加 3,200 公噸回收量的目標。這些努力符合我們全球 OEM 和跨國客戶的期望，增強了我們贏得和擴展關係的能力。

Now I'll provide some detail on third quarter sales. In mobile solutions, total sales were $583 million, roughly flat with prior year. Aftermarket sales were $460 million, a 3% increase driven primarily by mid-single-digit growth in our OE channel. Independent channel sales were up low single digits from market share gains.

現在我將提供一些有關第三季銷售的詳細資訊。行動解決方案的總銷售額為 5.83 億美元，與去年基本持平。售後市場銷售額為 4.6 億美元，成長 3%，主要得益於 OE 通路的中等個位數成長。由於市場佔有率增加，獨立通路銷售額成長了個位數。

In our first-fit businesses, end market pressures continue. Off-road sales were $96 million, down 8% and On-road sales of $27 million declined 25% primarily due to ongoing and well-documented weakness in the transportation and agriculture markets.

在我們的首次適配業務中，終端市場壓力持續存在。非公路車輛銷售額為 9,600 萬美元，下降 8%，公路車輛銷售額為 2,700 萬美元，下降 25%，主要原因是運輸和農業市場持續疲軟，且這一現像有據可查。

Touching on China for a moment. Mobile solutions China sales were a bright spot in the quarter, increasing 27% from growth in both first-fit and aftermarket. We are pleased with the momentum we are seeing, particularly in off-road as a structural shift to larger, more sophisticated equipment is driving demand for our products. We're optimistic about our long-term growth potential.

稍微談一下中國。行動解決方案中國區的銷售是本季的亮點，首次安裝和售後市場的銷售額均成長了 27%。我們對所看到的勢頭感到高興，特別是在越野領域，向更大、更複雜的設備的結構性轉變正在推動對我們產品的需求。我們對我們的長期成長潛力持樂觀態度。

Turning to industrial solutions. Industrial sales rose 5% to $283 million. IFS sales were $232 million, a 1% increase from prior year with replacement parts sales strength in several key businesses, including power generation, industrial hydraulics and industrial services offsetting new equipment declines.

轉向工業解決方案。工業銷售額成長5%，達到2.83億美元。 IFS銷售額為 2.32 億美元，比上年增長 1%，發電、工業液壓和工業服務等幾個關鍵業務的替換零件銷售強勁抵消了新設備的下滑。

Aerospace and defense sales grew to a record $52 million, largely from robust aerospace market demand. In life sciences, sales of $74 million grew 1% compared with prior year, double-digit sales growth in disk drive and food and beverage replacement parts was partially offset by timing of bioprocessing sales as we had significant project shipments in last year's third quarter.

航空航太和國防銷售額成長至創紀錄的 5,200 萬美元，主要得益於強勁的航太市場需求。在生命科學領域，銷售額達 7,400 萬美元，較上年增長 1%，磁碟機和食品飲料替換零件的兩位數銷售額增長被生物加工銷售時機部分抵消，因為我們在去年第三季度有大量項目出貨。

Overall, I'm very pleased with the results we delivered and look forward to a strong fourth quarter. Fiscal 2025 is forecasted to be another record year for Donaldson, record sales, record operating margin and record adjusted earnings.

總的來說，我對我們所取得的成果非常滿意，並期待第四季的強勁表現。預計 2025 財年將是唐納森再創紀錄的一年，銷售額、營業利潤率和調整後收益將創歷史新高。

Now I'll turn it over to Brad, who will provide more details on the financials. Brad?

現在我將把時間交給布拉德，他將提供有關財務的更多細節。布拉德？

Thanks, Tod. Good morning, everyone. We are pleased with our third quarter results. Sales were up due to the strong foundation of recurring revenue and the diverse mix of businesses and geographies where we operate. Profit was up due to revenue growth, expense discipline and prioritized investments, and we made notable contributions to shareholders via repurchase and our recently announced dividend increase.

謝謝，托德。大家早安。我們對第三季的業績感到滿意。銷售額的成長得益於經常性收入的強大基礎以及我們經營業務和地理的多元化組合。由於收入成長、費用控制和優先投資，利潤有所上升，並且我們透過回購和最近宣布的增加股息為股東做出了顯著貢獻。

I want to thank my colleagues around the world who stay focused on our customers and our opportunities for growth amidst this uncertain environment. It's no easy task, and they do these things while keeping a close eye on expenses, profitability and cash, which makes us a strong company we are.

我要感謝世界各地的同事，他們在這種不確定的環境中始終專注於我們的客戶和我們的成長機會。這不是一件容易的事，他們在做這些事情的同時密切關注費用、盈利能力和現金，這使我們成為一家強大的公司。

Before going through the details on our performance, I want to touch on the charge we took in the quarter for an impairment of intangible assets. The charge relates to our two upstream bioprocessing businesses, Univercells Technologies and Solaris.

在介紹我們的業績細節之前，我想先談談我們在本季因無形資產減損而產生的費用。該費用與我們的兩家上游生物加工企業 Univercells Technologies 和 Solaris 有關。

As we have discussed over the last several quarters, results have been pressured by market headwinds, including weak capital spending and longer-than-expected drug development time lines. The situation has not improved with an elongated ramp up in sales and profitability ultimately leading to an impairment.

正如我們在過去幾季所討論的那樣，業績受到市場逆風的壓力，包括資本支出疲軟和藥物開發時間比預期的要長。情況並未改善，銷售額和獲利能力持續上升，最終導致虧損。

That said, we still believe the bioprocessing market presents great opportunities for us, and we will continue to make strategic investments as we look for ways to develop and commercialize new disruptive technologies.

儘管如此，我們仍然相信生物加工市場為我們提供了巨大的機遇，我們將繼續進行策略性投資，尋找開發和商業化新的顛覆性技術的方法。

Now turning to a few highlights from the quarter. Note that my profit comments will exclude the impact from the items Sarika referenced earlier. Total sales increased 1%, driven by pricing and volume growth, partially offset by a headwind from currency translation.

現在來看看本季的一些亮點。請注意，我的利潤評論將排除 Sarika 之前提到的項目的影響。總銷售量成長 1%，受定價和銷售成長的推動，但被貨幣換算的不利因素部分抵銷。

Expense leverage drove operating margin up 80 basis points, and adjusted EPS of $0.99 was 8% above the prior year. Going further into the P&L, gross margin was 34.5%, a decrease of 110 basis points from last year, mainly as a result of higher manufacturing costs, including those related to footprint optimization initiatives. While these projects pressure gross margin in the near term, we are confident they will enhance our long-term profitability. I also want to repeat a point Tod made about tariffs. The impact on gross margin in third quarter was negligible.

費用槓桿推動營業利潤率上升 80 個基點，調整後每股收益為 0.99 美元，比前一年高出 8%。進一步查看損益表，毛利率為 34.5%，比去年下降了 110 個基點，主要原因是製造成本增加，包括與足跡優化計畫相關的成本。雖然這些項目在短期內會對毛利率造成壓力，但我們相信它們將提高我們的長期獲利能力。我還想重申托德關於關稅的觀點。對第三季毛利率的影響可以忽略不計。

And the total annualized impact from the current tariffs is estimated at less than 1% of sales, which is something we believe we can offset. We recognize the importance of this topic, so we wanted to make it clear where we stand today.

當前關稅造成的年度總影響估計不到銷售額的 1%，我們相信我們可以抵消這一影響。我們認識到這個主題的重要性，所以我們想明確我們今天的立場。

Back to the P&L. Third quarter operating expense as a rate of sales improved to 18.2% from 20.1% a year ago. The favorability was driven by a handful of things. We had a reversal of an earnout reserve for our Purilogics business within life sciences, and we also had lower warranty expense. These factors were further complemented by our ongoing expense discipline, reflecting the sharp prioritization happening across the company.

回到損益表。第三季營業費用佔銷售額的比例從去年同期的 20.1% 改善至 18.2%。這種好感度是由多種因素所推動的。我們逆轉了生命科學領域 Purilogics 業務的獲利準備金，並且降低了保固費用。我們持續的費用紀律進一步補充了這些因素，反映了整個公司正在進行的嚴格的優先排序。

In terms of segment profitability, mobile solutions pre-tax profit margin was 18.1%, down 30 basis points year over year mainly due to higher manufacturing costs and including those related to footprint optimization projects.

從分部獲利能力來看，行動解決方案稅前利潤率為18.1%，年減30個基點，主要原因是製造成本上升，其中包括與足跡優化項目相關的成本。

Industrial Solutions pre-tax margin was also 18.1%, down 60 basis points, largely as a result of unfavorable regional and product sales mix. Life Sciences pre-tax margin improved notably to 7.8%, mainly due to the previously mentioned earnout reversal for Purilogics, which resulted from a longer-than-expected revenue cycle.

工業解決方案稅前利潤率也為 18.1%，下降了 60 個基點，這主要是由於區域和產品銷售組合不利所致。生命科學稅前利潤率顯著提高至 7.8%，這主要歸因於前面提到的 Purilogics 獲利逆轉，這是由於收入週期長於預期造成的。

Life Sciences profit margin also benefited from the cost optimization initiatives launched earlier this year. While we expect market-based headwinds in our bioprocessing business to continue, we are committed to making selective strategic investments while leveraging the strength of our more mature life sciences businesses.

生命科學的利潤率也受益於今年稍早推出的成本優化措施。雖然我們預期生物加工業務的市場阻力將持續存在，但我們致力於進行有選擇的策略投資，同時利用我們更成熟的生命科學業務的優勢。

Now our updated fiscal '25 outlook, First, on sales. We are projecting a full year total sales increase between 1% and 3%, in line with our prior guidance. Pricing is expected to contribute approximately 1% and the impacts from both currency translation and tariffs are expected to be negligible.

現在我們更新 25 財年展望，首先是銷售額。我們預計全年總銷售額將成長 1% 至 3%，符合我們先前的預期。預計定價將貢獻約 1%，而貨幣換算和關稅的影響預計可以忽略不計。

For mobile solutions, we're forecasting sales will be flat to up 2% consistent with our previous expectation as higher-margin aftermarket growth is being partially offset by ongoing first-fit pressure. We did modify the on-road forecast with continued weakness in global truck production, resulting in a sales decline in the high teens versus low double digits.

對於行動解決方案，我們預測銷售額將持平或成長 2%，與我們先前預期的一致，因為高利潤的售後市場成長被持續的首次適配壓力部分抵消。由於全球卡車產量持續疲軟，我們確實修改了道路預測，導致銷售下降幅度達到十幾歲而不是兩位數。

As a side note, I know transportation markets get a lot of attention due to the availability of public data, but I want to remind everyone that the on-road first-fit part of our business hovers between only 3% and 5% of total sales.

順便說一句，我知道由於公共數據的可用性，運輸市場受到了很多關注，但我想提醒大家，我們業務中的道路首次安裝部分僅佔總銷售額的 3% 到 5%。

We like this space and our deep customer relationships give us confidence that our advanced technologies are excellent solutions now and into the future, but it's important to keep perspective on the impact these truck cycles have on our business.

我們喜歡這個領域，我們與客戶的深厚關係讓我們相信，我們的先進技術現在和將來都是出色的解決方案，但重要的是要專注於這些卡車週期對我們業務的影響。

Moving to off-road. The sales guidance of a mid-single-digit decline stayed the same, primarily due to weak agriculture markets. Our guidance for aftermarket sales is also unchanged at a low single-digit increase versus the prior year, showing the resilience of this important category of business.

轉向越野。銷售額預期仍為中個位數下降，主要歸因於農業市場疲軟。我們對售後市場銷售的預期也保持不變，與上年相比仍保持個位數低成長，顯示出此重要業務類別的韌性。

In industrial solutions, sales are forecast to grow between 2% and 4%, in line with our previous expectation. We continue to expect IFS sales to increase low single digits with replacement part growth offsetting slower sales of new equipment, which are being pressured by the uncertain economic environment. Aerospace and defense sales are now projected to increase in the low teens, up from high single digits as robust market conditions in both aerospace and defense continue.

在工業解決方案方面，預計銷售額將成長 2% 至 4%，符合我們先前的預期。我們繼續預期 IFS 銷售額將以低個位數成長，替換零件的成長將抵消新設備銷售放緩的影響，而新設備正受到不確定的經濟環境的壓力。由於航空航太和國防市場持續保持強勁，航空航太和國防銷售額預計將從高個位數增長至低十幾個百分點。

In life sciences, our expectation of high single-digit growth is unchanged. The positive momentum in our larger legacy businesses disk drive and food and beverage continues to be partially offset by ongoing weakness in bioprocessing. Consistent with the guidance we laid out at the beginning of the year, we are forecasting full year segment profitability to be roughly breakeven.

在生命科學領域，我們對高個位數成長的預期保持不變。我們較大的傳統業務磁碟機和食品飲料的積極勢頭繼續因生物加工的持續疲軟而受到部分抵消。與我們在年初制定的指導一致，我們預測全年分部獲利能力將大致達到損益平衡。

From a total company perspective, we are maintaining our forecasted operating margin at record levels between 15.6% and 16.0%. At the midpoint, this would be a 40 basis point year over year expansion, largely as a result of our continued focus on expense management.

從整個公司的角度來看，我們將預測的營業利潤率維持在 15.6% 至 16.0% 之間的創紀錄水準。從中間值來看，這將是同比增長 40 個基點，這主要是因為我們持續關注費用管理。

Our adjusted EPS guidance of $3.64 to $3.70 also reflects a record level. At the midpoint, we raised our forecast $0.03 from our previous guidance, implying a solid 7% year over year EPS increase that is built on a 2% sales increase.

我們調整後的每股收益預期為 3.64 美元至 3.70 美元，也反映了創紀錄的水平。在中間點，我們將預測值從先前的指導值上調了 0.03 美元，這意味著在銷售額增長 2% 的基礎上，每股收益將同比增長 7%。

Despite the economic environment, we demonstrate our ability to drive leverage, and we believe we could further expand that leverage when the economic conditions become more robust. In the meantime, we control what we can, including those key aspects of capital deployment. Cash conversion is expected to be in the range of 80% to 90% this year, consistent with historical averages.

儘管經濟環境如此，我們仍展現出推動槓桿的能力，我們相信，當經濟狀況變得更加強勁時，我們可以進一步擴大這種槓桿作用。同時，我們控制我們所能控制的一切，包括資本配置的關鍵面向。預計今年的現金轉換率將在 80% 至 90% 之間，與歷史平均值一致。

We look to finish the year with fourth quarter conversion higher than year-to-date levels due to normal seasonality and a reduction in working capital, primarily through lower inventory levels as our teams continue to navigate certain supply chain issues.

由於正常的季節性因素和營運資金的減少（主要是透過降低庫存水平，因為我們的團隊繼續解決某些供應鏈問題），我們希望今年第四季的轉換率高於年初至今的水平。

And then at a high level, strategic capital deployment is always on our minds. Investing for growth remains the top priority. We see opportunities within the company and outside via acquisitions. Inside the company, our capital expenditures for this year are forecast between $75 million and $90 million.

從高層次來看，我們始終關注策略資本部署。投資促進成長仍是重中之重。我們透過收購看到了公司內部和外部的機會。在公司內部，我們今年的資本支出預計在 7,500 萬美元至 9,000 萬美元之間。

We are investing in future growth through capacity expansion, new product development and technology projects. M&A is also an important lever in supporting our future growth, and we are still actively working a pipeline of opportunities.

我們正在透過產能擴張、新產品開發和技術項目投資未來的成長。併購也是支持我們未來成長的重要槓桿，我們仍在積極尋找機會。

We are strategic and disciplined with our focus remaining more squarely on opportunities within the life sciences and industrial markets, but the timing of deals can be uncertain, and that guides our actions. We have to protect some level of liquidity to give us flexibility to act when the opportunity arises, and we do this well given the incredible strength of our balance sheet. At the same time, we are committed to the ongoing return of cash to shareholders in a thoughtful and systematic manner.

我們具有策略性和紀律性，重點更明確地放在生命科學和工業市場的機會上，但交易時機可能不確定，而這指導著我們的行動。我們必須保護一定程度的流動性，以便在機會出現時能夠靈活採取行動，而且由於我們資產負債表的強勁實力，我們很好地做到了這一點。同時，我們致力於以周到、有系統的方式持續向股東返還現金。

And I want to provide a couple of updates on that point. First, as Tod mentioned, last week, we announced an 11% increase in our quarterly cash dividend. This level of increase is a testament to our strong operating performance today and our confidence in our future performance and financial strength.

我想就這一點提供一些最新情況。首先，正如托德所提到的，上週，我們宣布季度現金股息增加 11%。這一成長水準證明了我們目前強勁的經營業績以及我們對未來業績和財務實力的信心。

It's also worth highlighting that 2025 is forecast to be Donaldson's 30th year in a row of annual dividend increases. It's a massive accomplishment and limited to a small number of great companies, including our peers in the S&P High Yield Dividend Aristocrat Index. We are proud to be part of this elite group.

還值得強調的是，預計 2025 年將是唐納森連續第 30 年增加年度股息。這是一項巨大的成就，僅限於少數優秀公司，包括標準普爾高收益股息貴族指數中的同行。我們很榮幸能成為這個精英團體的一部分。

My second point on returning cash to shareholders. During the third quarter, we repurchased 2.4% of our outstanding shares for a total of $192 million, bringing our year-to-date repurchase to 3.3% of outstanding shares. With that level of buyback, we are now increasing our full year expectation to between 3.5% and 4%. Dividends and share repurchase are long-standing components of our capital deployment priorities.

我的第二點是關於向股東返還現金。第三季度，我們回購了 2.4% 的流通股，總計 1.92 億美元，使我們年初至今的回購量達到 3.3% 的流通股。憑藉這一水準的回購，我們現在將全年預期提高至 3.5% 至 4% 之間。股利和股票回購是我們資本配置重點的長期組成部分。

And through these vehicles, we demonstrate our view that Donaldson has a strong foundation and excellent long-term growth prospects. In summary, we performed well so far this year. The outlook we provided today suggests that performance continues in fourth quarter, keeping us on track to deliver record sales and adjusted earnings in fiscal 2025.

透過這些工具，我們表明了我們的觀點：唐納森擁有強大的基礎和良好的長期成長前景。總而言之，今年到目前為止我們的表現良好。我們今天提供的展望表明，第四季度的業績將持續保持良好，使我們預計在 2025 財年實現創紀錄的銷售額和調整後收益。

Now I'll turn the call back to Tod.

現在我將把電話轉回給托德。

Thanks, Brad. Looking ahead, as I said in my opening comments, Donaldson is playing from a position of strength, and I'm confident that we are well positioned to deliver long-term value through strategic investments, strong execution and disciplined capital deployment. Our team's ability to navigate dynamic market conditions while advancing innovation and growth initiatives gives me optimism as we drive forward to a robust future.

謝謝，布拉德。展望未來，正如我在開場白中所說，唐納森正處於優勢地位，我相信我們有能力透過策略性投資、強有力的執行和嚴謹的資本部署來實現長期價值。我們的團隊能夠駕馭動態的市場條件，同時推進創新和成長計劃，這讓我對我們邁向強勁的未來充滿信心。

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

說完這些，我現在將電話轉回給接線生，以便開通問答熱線。

(Operator Instructions)

（操作員指示）

Angel Castillo, Morgan Stanley.

摩根士丹利的安吉爾‧卡斯蒂略 (Angel Castillo)。

Good morning and thanks for taking my question. And congrats on a strong quarter. Just wanted to maybe unpack a little bit more if we could talk about kind of the gross profit margin dynamic. Particularly, I think there was a little bit of a step down here, I guess, sequentially and year over year, and you talked about some of the pieces.

早上好，感謝您回答我的問題。恭喜本季業績強勁。我們只是想進一步闡述我們是否可以談論一下毛利率的動態。特別是，我認為這裡有一點點下降，我想，逐年逐級下降，你談到了其中的一些部分。

Can you -- as you look forward, can you talk about kind of the ability to remain price cost neutral? And how you're seeing inflation more broadly in your business and perhaps also kind of quantify maybe how much was just due to footprint optimization initiatives and therefore, might not repeat as we go forward?

展望未來，您能談談保持價格成本中立的能力嗎？您如何更廣泛地看待您的業務中的通貨膨脹，也許還可以量化一下，也許其中有多少只是由於足跡優化舉措造成的，因此，在我們前進的過程中可能不會重複出現？

Hello. Angel, can you hear me?

你好。天使，你聽得到我說話嗎？

Yeah, I can hear you now.

是的，我現在可以聽到你的聲音了。

Okay. Sorry about that. We've got some technical difficulties, apologies to the group. So this is Brad. I want to start with the footprint. That was the majority of the decline in gross margin in the quarter. And I want to touch on that really quickly. I'll come back to your other comments about price cost. But as far as the footprint specifically, we're at a point of heavy lifting right now. We've got plant rationalization activities that we kicked off last year.

好的。很抱歉。我們遇到了一些技術問題，向小組致歉。這就是布拉德。我想從足跡開始。這是本季毛利率下降的主要原因。我想很快地談談這一點。我會回來評論您關於價格成本的其他評論。但就具體的足跡而言，我們現在正處於一個繁重的工作階段。我們去年啟動了工廠合理化活動。

So one plant in the US is closing and going to another US state. We've got a plant in the UK that's closing, and it's going to East Europe. So this is about driving towards longer-term opportunities, and that's where the activities are happening right now.

因此，美國的一家工廠正在關閉並轉移到美國的另一個州。我們在英國的一家工廠即將關閉，並將遷往東歐。因此，這是為了推動長期機遇，而這正是目前正在進行的活動。

As far as price cost, we feel very good about our position to stay neutral on that. We continue to get price. Obviously, the mission for us is to be fair with our customers. We're a premium brand in the markets, and there's a lot of different pricing strategies. But overall, there's no change to our stance here. We will continue to make sure that we hold on to pricing where we can.

就價格成本而言，我們對自己保持中立的立場感到非常滿意。我們繼續獲得價格。顯然，我們的使命就是公平對待我們的客戶。我們是市場上的高端品牌，有許多不同的定價策略。但總體而言，我們的立場並沒有改變。我們將繼續確保盡可能維持價格不變。

That's very helpful. And maybe if we could just expand a little bit more on the footprint side as it relates to CapEx. You lowered the CapEx outlook for the year. Can you talk about maybe what's kind of driving that? And as you think strategically kind of longer term and given some of the administration's kind of proposed tax policies, any shift or potential kind of impact or benefits to your strategy in capital investments as we think kind of going forward or desire to perhaps in size or timing of location of your investments?

這非常有幫助。也許我們可以在與資本支出相關的足跡上再擴大一點。您下調了今年的資本支出預期。您能談談是什麼原因導致這種情況的嗎？當您從長期策略角度考慮，並考慮到政府提出的一些稅收政策時，我們認為您的資本投資策略未來或希望在投資規模、投資時機和地點方面會發生哪些轉變或潛在的影響或好處？

Sure, Angel. This is Tod. So we launched CapEx projects when we feel comfortable that we can execute them. Given the dynamic environment of the tariff situation and clearly, supply chain pressures and disruption, we have large teams of people dealing with that on a more priority basis than launching some of the CapEx.

當然，安吉爾。這是托德。因此，當我們覺得可以執行資本支出項目時，我們就會啟動這些項目。鑑於關稅情勢的動態環境以及明顯的供應鏈壓力和中斷，我們擁有大量人員，比啟動部分資本支出更優先處理這些問題。

We're also really holding more inventory than we had originally planned this year as a direct result of that, so we can offset supply chain. Remember, our strategy is to always put our customers first. So while we had initially thought that we would be driving inventory down faster than we are and launching CapEx projects, right now, it's really prudent to focus on executing the businesses for our customers, and that's what you're seeing.

由於這一原因，我們今年的庫存實際上比原計劃要多，因此我們可以抵消供應鏈。請記住，我們的策略是始終把客戶放在第一位。因此，雖然我們最初認為我們會以比現在更快的速度降低庫存並啟動資本支出項目，但現在，真正明智的做法是專注於為客戶開展業務，這就是您所看到的。

Very helpful. Thank you.

非常有幫助。謝謝。

Bryan Blair, Oppenheimer.

布萊恩布萊爾，奧本海默。

Yeah, good morning.

是的，早安。

Good morning.

早安.

So hoping you could offer a little more color on industrial solutions top line trends. Obviously, the segment revenue guide was maintained. So moving parts net, I guess, to the same level. You talked last quarter about the project-driven side of IFS being, I guess, somewhat bifurcated, auto EV being notably weak, but having strength elsewhere. Is that still the case? Is your team seeing any shift in that dynamic?

所以希望您能對工業解決方案的頂級趨勢提供更多的資訊。顯然，該部門的收入指引得以維持。因此，我猜想，移動部件網路將達到同一水平。您上個季度談到了 IFS 的專案驅動方面，我想，它有些分歧，汽車 EV 明顯較弱，但在其他方面卻表現強勁。現在還是這樣嗎？您的團隊是否看到了這種動態的任何轉變？

And then on the connected service revenue, that's, of course, been a good guide for the segment. I think you had called out around 30% year-to-date connected machine growth last quarter. And are you still seeing a similar level of momentum there?

至於連網服務收入，這當然對該領域來說是一個很好的指導。我認為您曾提到上個季度迄今為止連網機器的成長速度約為 30%。您是否仍看到那裡存在類似的發展勢頭？

Sure. So at the macro, Brad will get a couple of numbers here or Sarika. But at the macro, this is what's taken place. Within our industrial solutions businesses, the equipment side of the business is a bit more pressured. We still see a large number of quotes coming through.

當然。因此，從宏觀角度來看，布拉德會得到這裡或薩里卡的幾個數字。但從宏觀來看，情況就是這樣的。在我們的工業解決方案業務中，設備方面的業務壓力更大一些。我們仍然看到大量的報價。

It's just a little bit slower to turn those into projects, but there is healthy activity out there, just a little bit more careful. Therefore, what you're seeing from our company is more of an aftermarket story. It's also we've been growing share nicely in our, what we call, stationary hydraulics business and put those two together, hydraulics, aftermarket and then now the newer portion of services together, they can really offset any of the other headwinds.

將這些變成專案的速度稍微慢一點，但還是有一些健康的活動，只是需要更加小心一點。因此，您從我們公司看到的更多的是一個售後市場的故事。我們在所謂的固定式液壓業務中的份額也一直在穩步增長，並將液壓、售後市場和現在較新的服務部分結合在一起，它們可以真正抵消任何其他不利因素。

I would note also that in the quarter that power generation, that's a very lumpy business for us. That was a bit more muted comparably year over year. And so as we look forward in the year, we have more projects that we'll be shipping, and that really helps us to sustain the overall forecast within industrial solutions.

我還要指出的是，在本季度，發電業務對我們來說是一個非常不穩定的業務。與去年同期相比，這一情況稍微緩和了一些。因此，展望今年，我們將推出更多項目，這確實有助於我們維持工業解決方案的整體預測。

Bryan, this is Brad. I just want to add one point. Tod talked about the recurring revenue for mobile solutions in his prepared remarks. But I just want to say to the question about our results, a little over half of the IFS business is replacement parts. So this is again something that gives us quite a good foundation, especially as there's a little bit of a softening on the CapEx.

布萊恩，這是布萊德。我只想補充一點。托德在準備好的演講中談到了移動解決方案的經常性收入。但我只想回答有關我們業績的問題，IFS 業務的一半多一點是替換零件。因此，這又為我們提供了相當好的基礎，特別是在資本支出略有下降的情況下。

I appreciate that color. And I'm sorry if I missed the detail. What was the margin impact of reversing the Purilogics earn-out reserves? And then given the prolonged path to bioprocess and commercialization, are the fiscal '26 targets for life sciences still in play?

我很欣賞那個顏色。如果我遺漏了細節，我很抱歉。撤銷 Purilogics 獲利準備金對利潤率有何影響？那麼，考慮到生物加工和商業化的漫長道路，26財年生命科學的目標是否仍然有效？

The total Purilogics specific was about $6 million in the quarter, and that's exactly what you said. It's an elongation of the revenue cycle in this business, similar to what we talked about with the other upstream businesses. As far as fiscal '26 targets, we're going through the process of building our plans right now, and that's something where we'll come back to the group with something in the fourth quarter like we typically do.

本季 Purilogics 的具體總金額約為 600 萬美元，這正是您所說的。這是該業務收入周期的延長，與我們討論的其他上游業務的情況類似。就 26 財年的目標而言，我們現在正在製定計劃，我們將像往常一樣在第四季度向團隊報告一些計劃。

Yeah, I do want to point out though that, Bryan, as we continue to work on life sciences as this year evolved, our profitability within the life sciences business has sequentially improved each quarter of the year.

是的，布萊恩，我確實想指出，隨著我們今年繼續致力於生命科學事業的發展，我們生命科學業務的盈利能力在每個季度都在持續提高。

Understood. Thank you again.

明白了。再次感謝您。

Brian Drab, William Blair.

布萊恩德拉布、威廉布萊爾。

Hey, good morning. This is Tyler on for Brian. Thanks for taking my question. First, the aftermarket business continues to report growth. Just wondering how well this trend is expected to hold up in the next fiscal year. Not looking for guidance, but the full year guidance right now implies a somewhat deceleration in the fourth quarter, but maybe this is driven by a strong fourth quarter in the prior year. I'm just wondering how does the growth rate trend against the recent strong performance in the next few quarters?

嘿，早安。這是泰勒為布萊恩表演的。感謝您回答我的問題。一是售後業務持續成長。只是想知道這一趨勢在下一個財政年度預計會保持多久。不是尋求指導，但目前的全年指導意味著第四季度會有所減速，但這可能是由去年第四季的強勁表現所推動的。我只是想知道，相對於最近的強勁表現，未來幾季的成長率趨勢如何？

Yeah. So if you just take a look at our company and split it into two halves, the fiscal year, first half is about 48% of our revenue and the second half is 52%. It is -- our mobile solutions aftermarket certainly falls within that cyclicality. Typically, our third and fourth quarters are the strongest of the year.

是的。因此，如果你看一下我們的公司並將其分為兩半，那麼財政年度，上半年約占我們收入的 48％，下半年佔 52％。是的－我們的行動解決方案售後市場肯定屬於這種週期性。通常，我們的第三季和第四季是一年中最強勁的。

And so that's the reason why you see a strong performance in the third quarter. We just have good vehicle utilization. And very importantly, our teams are doing an excellent job at share gains within that, giving us confidence that you'll continue to see that in the fourth quarter as well.

這就是為什麼第三季表現強勁的原因。我們的車輛利用率很好。非常重要的是，我們的團隊在提高市場份額方面做得非常出色，這讓我們有信心在第四季度繼續看到這一點。

Great. And then -- and aerospace and defense continue to be strong as well. What is your visibility like in this segment? Do the comps get tough in fiscal 2026? Or do you have enough project activity in the pipeline to maintain the current pace? Thanks. Sorry, I'm not getting anything back.

偉大的。然後——航空航天和國防也繼續保持強勁。您在此領域的知名度如何？2026 財年的業績會變得艱難嗎？或者您有足夠的專案活動來維持目前的進度？謝謝。抱歉，我沒有收到任何回應。

Can you hear me now?

現在你能聽到我說話嗎？

Yeah.

是的。

Okay. Great. So when you look at the visibility of aerospace and defense, we do have long visibility as much as four and five and six quarters on some of the projects. They go multi-year projects. And so we do have good visibility.

好的。偉大的。因此，當您查看航空航天和國防的可見性時，我們確實對某些專案具有長達四、五、六個季度的長期可見性。他們進行多年的專案。因此我們確實具有良好的可見性。

The difficulty in that business right now is the uncertainty of the supply chain. And so we have fits and starts within the supply chain activities, making that a little bit more difficult to predict the lumpiness of it at this point in time as well as they have had some swirling conversations of will there be some project cancellations, et cetera.

目前該業務的困難在於供應鏈的不確定性。因此，我們的供應鏈活動時斷時續，這使得我們更難預測目前這個時間點的不穩定性，而且他們也進行了一些關於是否會取消一些項目等的激烈討論。

But project cancellations conversations are one thing to be had in the newspapers. It's another to understand whether they're really getting canceled or not. And we continue to execute all of those. So there's some macro environmental things that are making that a little bit more difficult to predict.

但有關項目取消的討論卻是報紙上常報道的一件事。了解它們是否真的被取消又是另一回事。我們將繼續執行所有這些。因此，一些宏觀環境因素使得預測變得更加困難。

But you roll it all together and the way the team is executing. Our business is really strong, doing an excellent job, taking care of our customers. And as we said, we just shipped a record quarter in our aerospace and defense business.

但你把所有東西都整合在一起，並以團隊執行的方式進行。我們的業務確實很強大，做得非常出色，並且照顧好我們的客戶。正如我們所說，我們的航空航太和國防業務剛剛創下了季度出貨量紀錄。

Okay. Thank you. I'll pass it along.

好的。謝謝。我會傳達的。

Laurence Alexander, Jefferies.

勞倫斯‧亞歷山大，傑富瑞集團。

Hi, this is Dan Rizzo on for Laurence. Just to follow up on that. So you indicated you had a record quarter in A&D. So was there some pull forward there? Because I mean, just based upon -- you kind of talked about this a little bit, based upon the overall 2025 guidance, it seems like there is somewhat of a slowdown in the fourth quarter here year over year?

大家好，我是 Dan Rizzo，代表 Laurence 報道。只是為了跟進這一點。您說 A&D 部門的季度業績創下了紀錄。那麼那裡有向前推的作用嗎？因為我的意思是，僅僅基於——您稍微談論了這一點，根據 2025 年的整體指導，似乎第四季度的增速同比有所放緩？

We did have some second quarter sales that flocked into the third quarter. And so rather than a pull ahead, it was a little bit of a pushout, if you will. We now -- we were able to get those projects shipped and out, but that's the supply chain disruptions that I've been referencing here.

我們第二季的銷售額確實有一些成長，並持續到了第三季。因此，如果你願意的話，與其說這是一種向前拉動，不如說是一種向外推動。我們現在能夠將這些項目運出並發貨，但這就是我在這裡提到的供應鏈中斷。

And we've baked all of that into the guidance in the fourth quarter, and that's how it rolls up. So remember, we did have our aerospace and defense guide go from high single digits last quarter to now be low teens, so it has increased.

我們已將所有這些都納入第四季度的預期中，這就是最終結果。所以請記住，我們的航空航天和國防指南確實從上個季度的高個位數上升到了現在的十幾位，所以它有所增加。

Yeah. One thing I'll add, Dan, this is Brad. Just keep in mind, please, that last year, sales in aerospace and defense were up more than 20% in the fourth quarter. So if you just try to smooth that with a two year, the first half and the second half of this year are looking more comparable than what the math would suggest with the specific quarterly growth rate for fourth quarter this year.

是的。丹，我要補充一點，這是布萊德。請記住，去年第四季航空航太和國防領域的銷售額成長了 20% 以上。因此，如果您嘗試用兩年來平滑這一情況，那麼今年上半年和下半年看起來比數學上今年第四季的具體季度成長率所顯示的更具可比性。

Okay. No, that's helpful. And then I guess the same thing kind of with aftermarket then because the fourth quarter, I mean, it's still a fairly strong year, but it looks like again -- and this was alluded to before, there was a bit of a, I think, a downturn year over year in the middle based upon your guidance in the fourth quarter, but I guess that would just be attributed to a pretty tough comp, right?

好的。不，這很有幫助。然後我猜售後市場也會有同樣的事情，因為第四季度，我的意思是，這仍然是一個相當強勁的一年，但它看起來又像——這之前已經提到過，根據你對第四季度的指導，我認為中期同比有所下滑，但我想這只能歸因於相當艱難的競爭，對吧？

Right, exactly.

對，沒錯。

Okay. And then a final question. So with FX, is there a rule of thumb that we should use like changes in the euro, are they changing the, I don't know, the peso or something like that of how it works with the fluctuations that we've seen over the past few months?

好的。最後一個問題。那麼對於外匯，我們是否應該使用一個經驗法則，例如歐元的變化，它們是否會改變比索或類似貨幣，以及它如何與我們在過去幾個月看到的波動相適應？

Yeah. It's hard because of the basket of currency. So the euro is the most commonly traded outside of the USD, and that's in the neighborhood of 20%. The next closest currencies are some Asian ones that are low single digits.

是的。因為有籃子貨幣，所以很難。因此，歐元是除美元之外最常見的交易貨幣，其交易量約為 20%。緊隨其後的是一些亞洲貨幣，其匯率均為個位數。

So you can see that outsized movements in places like South Africa or Brazil create a lot of volatility within the total numbers. So it's hard to give you a heuristic on X percent equals Y percent. But hopefully, that helps some.

因此，你可以看到，南非或巴西等地的過度波動導致整體數字出現很大波動。因此很難給你一個 X 百分比等於 Y 百分比的啟發式方法。但希望這能有所幫助。

All right, it does. All right. Thanks a lot, guys. I'll turn it over.

好的，確實如此。好的。非常感謝大家。我把它翻過來。

Rob Mason, Baird.

羅布梅森，貝爾德。

Yes, thanks for taking the question and congrats to Rich. I wanted to circle back just on the industrial segment. Maybe I have hone in on IFS in particular. The -- your guidance for the year kind of implies the fourth quarter would be up sequentially.

是的，感謝您提出這個問題，並祝賀 Rich。我想再次回顧工業領域。也許我特別關注 IFS。您對今年的預測暗示第四季業績將環比上升。

Tod, you talked about on the power gen side, that being more project driven. Similarly, the new equipment, I guess, in IFS quoting activity is down. So is the step-up that we're seeing in the fourth quarter, is that solely due to power gen, that's the way -- and maybe aftermarket growth? Is that the way to think about that?

托德，你談到了發電方面，這更多是由專案驅動的。同樣，我猜想，IFS 中的新設備報價活動也在下降。那麼，我們在第四季度看到的成長是否完全歸功於發電，或者可能是售後市場的成長？是這樣思考的嗎？

Three things. One, aftermarket growth. So industrial production continues. We continue to win share due to our connected based strategies. We also have a service-based revenue that's been growing quite nicely. So that connected strategy really is helping to drive our aftermarket growth. So that's the first story. The second is, we've done really well in industrial hydraulics or what we call stationary hydraulics. And we have grown that piece. And then the third piece will be the power generation that you referenced.

三件事。一、售後市場成長。因此工業生產仍在持續。由於我們基於互聯的策略，我們繼續贏得市場份額。我們的服務收入也成長得相當不錯。因此，這種互聯策略確實有助於推動我們的售後市場成長。這就是第一個故事。第二，我們在工業液壓或我們所說的固定式液壓方面做得非常好。我們已經發展了這一部分。第三部分就是您所提到的發電。

Okay. And just because that is longer cycle power gen, is that -- do you have visibility that this stretches out over multiple quarters there? Or is that -- I'm just curious if your commentary around lower quoting activity applies to that business also.

好的。而且僅僅因為那是更長週期的發電，那麼——您是否知道這會延續到多個季度？或者是——我只是好奇您關於較低報價活動的評論是否也適用於該業務。

We do. We have very long visibility on power generation, some of the longest in the company. And I can tell you, the power generation projects are really being sought after to lock up capacity from us all the way out as far as fiscal year '28.

是的。我們對發電的預見性非常長，是公司中預見性最長的之一。我可以告訴你們，發電項目確實很受追捧，可以鎖定我們到28財年的發電能力。

So that's the kind of conversations that we're having with our customers at this point. Now power generation is clearly in a growth cycle. It's in -- already been for the last two years in a growth cycle. It's really an extended one as you read about in the newspapers, et cetera, and we're benefiting from that as well.

這就是我們目前與客戶的對話。現在發電明顯處於成長週期。過去兩年它已經處於成長週期。正如您在報紙等上讀到的那樣，它確實是一個延伸，我們也從中受益。

Yeah. Okay. And then maybe I may have missed this, Brad, when you were commenting around the footprint optimization, but when would you expect those moves to be complete in terms of just having, I guess, a negative impact on gross margin?

是的。好的。然後，布拉德，當您評論足跡優化時，我可能錯過了這一點，但您認為這些舉措何時才能完成，我猜，這對毛利率會產生負面影響？

And then if I could layer on another one point just how should we be thinking about the timing of these tariff flow-throughs as well as your mitigation efforts? I know it was negligible in the third quarter, but just over the next few quarters cadence.

然後，如果我可以再談一點，我們應該如何考慮這些關稅流通的時間以及你們的緩解措施？我知道這在第三季度是微不足道的，但在接下來的幾個季度裡就會出現。

Sure. Both important questions. Footprints, a lot of the heavy lifting is going to be done towards the end of this calendar year. There will be some trickle through into next year as we complete the moves. So that's something that we'd expect to happen again in the coming quarters.

當然。這兩個問題都很重要。足跡，許多繁重的工作將在今年底完成。隨著我們完成這些舉措，明年將會有一些進展。因此，我們預計這種情況在未來幾季會再次發生。

Tariffs, the flow-through, you can think about this, give or take 1% of sales, I think $35 million or so. It's almost ratable at this point based on flow of goods. Now of course, that's the estimate today and things are constantly changing.

關稅、流通額，你可以考慮一下，銷售額的 1% 左右，我認為是 3500 萬美元左右。目前，根據貨物流動情況，幾乎可以進行評估。當然，這是今天的估計，情況不斷變化。

But from our seats, and Tod touched on this, the region to support region footprint gives us a great advantage here. And then further, the USMCA qualifications really help us. So we do believe this is something that we can handily offset as a function of pricing or moving supply chain.

但從我們的角度來看，托德也提到了這一點，以地區為支撐的地區足跡為我們帶來了巨大的優勢。此外，USMCA 資格確實對我們有幫助。因此，我們確實相信，我們可以透過定價或行動供應鏈輕鬆抵消這一影響。

Very good. Thank you.

非常好。謝謝。

Tim Thein, Raymond James.

提姆泰恩、雷蒙詹姆斯。

Thank you. Good morning. Maybe I'll just package these together. The first question is on maybe just some preliminary thoughts as we look into '26. I know, Tod, you're putting together the plans, but maybe just anything you could offer in terms of, I don't know, maybe markets or geographies that you're maybe more optimistic about and just maybe just again, a high-level thought to the extent you can share that.

謝謝。早安.也許我會把它們打包在一起。第一個問題可能只是我們對 26 年的一些初步想法。我知道，托德，你正在製定計劃，但也許你能提供一些關於你更樂觀的市場或地區的信息，或者再一次，你能分享一些高層次的想法。

And then part two is just on the mobile aftermarket as you look across the -- both the OE and independent channels, any comments just in terms of general inventory levels and where the channel sits from a kind of from a stocking perspective. That's it for me. Thank you.

第二部分是關於移動售後市場的，您可以縱觀 OE 和獨立渠道，就一般庫存水平以及從庫存角度來看渠道所處的位置，您有何評論？對我來說就是這樣。謝謝。

Yeah, let me take the inventory question first. So I'll tell you, in the mobile aftermarket, we grew in both the OE and the independent channels within this quarter. Low single digits, low to mid-single digits in both of those.

是的，讓我先回答一下庫存問題。所以我要告訴你，在行動售後市場，我們本季在 OE 和獨立通路都實現了成長。兩者都是低個位數，低到中等個位數。

And as a reminder, our independent channel is 55% of our mobile aftermarket and the OE is 45%. Relative to inventories out there, they feel like they're at pull-through levels. It's very comfortable conversations with both channels. And so that all feels like we will experience the normal cyclicality that we would expect in the fourth quarter.

需要提醒的是，我們的獨立通路占我們行動售後市場的 55%，而 OE 則佔 45%。相對於現有的庫存，他們感覺自己正處於拉動水平。透過兩個管道進行對話非常舒適。因此，感覺我們將會經歷第四季預期的正常週期性。

As far as fiscal '26, obviously, we're going to be smarter in 90 more days given the dynamic environment. But maybe what I'll say is I find it pretty interesting. I hope you find it very interesting that our company just had a record quarter yet again, while our OE end markets have headwinds and declining somewhat in the on-road and the agriculture sectors and yet we still continue to perform very well.

就 26 財年而言，顯然，考慮到動態環境，我們將在 90 天內變得更加明智。但也許我想說的是，我發現它非常有趣。我希望你們覺得這很有趣，我們公司剛剛又創下了一個創紀錄的季度，雖然我們的 OE 終端市場在道路和農業領域遇到了阻力並有所下降，但我們仍然繼續表現良好。

We are poised when the overall economic cycle ticks up to really leverage that. And our company is in a solid, solid position and executing exceptionally well as we look to '26 in our plans. We'll continue to have that in our sights. And that's the type of plan that we'll put together for you, and we'll talk about here in about 90 days.

當整體經濟週期回升時，我們已做好準備，真正利用這一點。展望 2026 年計劃，我們公司的地位十分穩固，執行情況也十分出色。我們將繼續關注這一目標。這就是我們為您制定的計劃類型，我們將在大約 90 天後在這裡討論。

All right. Thank you.

好的。謝謝。

Nathan Jones, Stifel.

內森瓊斯（Nathan Jones），Stifel。

Yeah, thank you. Good morning. This is Adam Farley on for Nathan. I wanted to follow up on the tariff discussion. I realize that it's relatively immaterial on the cost side. But do you have any expectations from lower global growth due to disruption or uncertainty from tariffs? Maybe just any view on potential demand disruption from tariffs?

是的，謝謝。早安.亞當法利 (Adam Farley) 代替內森 (Nathan)。我想跟進關稅討論。我意識到從成本方面來說這相對來說並不重要。但是，您是否預期關稅造成的干擾或不確定性將導致全球經濟成長放緩？也許只是對關稅可能造成的需求中斷的看法？

Tough to say. We continue to react to it, talk to all of our customers, make sure we take care of our customers. It's just tough to say. I think if you take surveys out there, you get a varying degree of opinions for us right now, clearly, the first-fit projects, both in the industrial and mobile are clearly more careful.

很難說。我們會繼續對此做出反應，與所有客戶溝通，確保我們照顧好我們的客戶。這很難說。我認為，如果你進行調查，你就會得到目前對我們不同程度的意見，顯然，工業和移動領域的首次適配項目顯然更加謹慎。

But if you say vehicle utilization, our aftermarket pace businesses, our service-based businesses, those kind of activities, they continue to march along pretty well. So it's really tough to say. As far as will there be a pullback, what lies ahead, we're managing carefully just like everyone else and doing a very good job at that.

但是如果你說車輛利用率，我們的售後市場業務，我們的基於服務的業務，這些類型的活動，它們會繼續順利發展。所以這真的很難說。至於是否會出現回調，未來會怎樣，我們像其他人一樣謹慎應對，並且做得很好。

All right. I'll leave it there. Thank you for taking my question.

好的。我就把它留在那裡。感謝您回答我的問題。

We have no further questions. I'd like to turn the call back over to Tod Carpenter for closing remarks.

我們沒有其他問題了。我想將電話轉回給托德·卡彭特 (Tod Carpenter) 做最後發言。

That concludes the call today. Thanks to everyone who participated. We look forward to reporting our fourth quarter and full year fiscal 2025 results in August. Have a great day. Goodbye.

今天的通話到此結束。感謝所有參與者。我們期待在八月報告 2025 財年第四季和全年業績。祝你有美好的一天。再見。

This concludes today's call. You may now disconnect. And we're now non-private. Have a great day everyone.

今天的電話會議到此結束。您現在可以斷開連線。現在我們已經不再是私人的了。祝大家有個愉快的一天。