Dole PLC (DOLE) 2022 Q2 法說會逐字稿

Welcome to the Dole Plc 2022 Second Quarter Results Conference Call and Webcast. Today's conference is being broadcast live over the Internet and is also being recorded for playback purposes. (Operator Instructions)

歡迎參加 Dole Plc 2022 年第二季度業績電話會議和網絡直播。今天的會議正在互聯網上進行現場直播，並且也正在錄製以供回放。 （操作員說明）

For opening remarks and introductions, I would like to turn the call over to Head of Investor Relations with Dole Plc, James O'Regan.

對於開場白和介紹，我想將電話轉給 Dole Plc 的投資者關係主管 James O'Regan。

Thank you, Victoria. Welcome, everybody, and thank you for joining our Second Quarter 2022 Earnings Conference Call. This conference call is being webcast live on our website and will be available for replay after this call.

謝謝你，維多利亞。歡迎大家，並感謝您參加我們的 2022 年第二季度收益電話會議。本次電話會議正在我們的網站上進行網絡直播，並將在本次電話會議後進行重播。

Joining me on the call today are Johan Linden, Chief Operating Officer; and Jacinta Devine, Chief Financial Officer. This is Jacinta's first earnings call since assuming the role of Chief Financial Officer on 1st of July. Jacinta has over 25 years' of experience in the group, and we wish her every success in her new role. Our Chief Executive Officer, Rory Byrne, apologizes that he is unable to join us today as he is attending to a personal matter.

今天和我一起參加電話會議的是首席運營官 Johan Linden；和首席財務官 Jacinta Devine。這是 Jacinta 自 7 月 1 日擔任首席財務官以來的第一次財報電話會議。 Jacinta 在該集團擁有超過 25 年的經驗，我們祝愿她在新角色中一切順利。我們的首席執行官羅里·伯恩（Rory Byrne）對他今天無法加入我們深表歉意，因為他正在處理個人事務。

During this call, we will be referring to presentation slides and supplemental remarks, and these are available on the Investor Relations section of the Dole plc website. Please note, our remarks today will include certain forward-looking statements within the provisions of the federal securities safe harbor law. These reflect circumstances at the time they are made, and the company expressly disclaims any obligation to update or revise any forward-looking statements. Actual results or outcomes may differ materially from those that may be expressed or implied due to a wide range of factors, including those set forth in our SEC filings and press releases.

在這次電話會議中，我們將參考演示幻燈片和補充說明，這些都可以在 Dole plc 網站的投資者關係部分找到。請注意，我們今天的評論將包括聯邦證券安全港法規定中的某些前瞻性陳述。這些反映了當時的情況，公司明確表示不承擔更新或修改任何前瞻性陳述的義務。由於廣泛的因素，包括我們在美國證券交易委員會的文件和新聞稿中規定的因素，實際結果或結果可能與可能明示或暗示的結果或結果存在重大差異。

Our earnings press release, financial statements and related materials for the second quarter can be found on our website at doleplc.com/investors. Information regarding the use of non-GAAP financial measures may also be found in the press release, which also includes a reconciliation to the most comparable GAAP measures. The details of our statutory forward-looking statements disclaimer can be found in our SEC filings and in the presentation slides, which we'll be referring to today. Our financial statements for the second quarter were also filed with the SEC earlier today and contain reported financial information for Dole plc for the quarters ended 30 June 2022 and 30 June 2021 and half year numbers for both 2022 and 2021.

我們的第二季度收益新聞稿、財務報表和相關材料可在我們的網站 doleplc.com/investors 上找到。有關使用非公認會計原則財務措施的信息也可以在新聞稿中找到，其中還包括與最具可比性的公認會計原則措施的對賬。我們的法定前瞻性聲明免責聲明的詳細信息可以在我們提交給美國證券交易委員會的文件和演示幻燈片中找到，我們將在今天提及。我們今天早些時候也向美國證券交易委員會提交了第二季度的財務報表，其中包含 Dole plc 截至 2022 年 6 月 30 日和 2021 年 6 月 30 日的季度報告的財務信息以及 2022 年和 2021 年的半年數據。

Our earnings press release and investor presentation also reference pro forma comparative financial information. This pro forma information illustrates Dole plc's results for the second quarter and first 6 months of 2021, and that the merger IPO and refinancing had occurred on January 1, 2020. This is consistent with the pro forma financial information presented in the Form F-1 filed with the SEC in connection with the IPO.

我們的收益新聞稿和投資者介紹也參考了備考比較財務信息。該備考信息說明了 Dole plc 2021 年第二季度和前 6 個月的業績，合併 IPO 和再融資發生在 2020 年 1 月 1 日。這與 F-1 表格中提供的備考財務信息一致就首次公開募股向美國證券交易委員會提交。

With that, I'm pleased to turn today's call over to Johan.

有了這個，我很高興將今天的電話轉給約翰。

Thank you, James, and welcome, everybody, to -- and thank you for joining us today. I want to begin by acknowledging that we recently marked the 1-year anniversary of the completion of the IPO and the merger of Total Produce and Dole Food Company. The merger has brought together to highly synergistic and complementary organizations establishing Dole Plc as the global leader in our industry. We are pleased with how well the integration has gone, and we continue to progress well with the synergy initiatives.

謝謝你，詹姆斯，歡迎大家，謝謝你今天加入我們。首先，我要承認，我們最近紀念了 IPO 完成以及 Total Produce 和 Dole Food Company 合併一周年。合併匯集了高度協同和互補的組織，將 Dole Plc 確立為我們行業的全球領導者。我們對整合的進展感到滿意，並且我們在協同計劃方面繼續取得良好進展。

In Q2, we again increased intercompany trade, which is a key objective. We are also making good progress in maximizing internal utilization of existing group assets and by working together to make investments that support the combined businesses. Additionally, we have continued with the rebranding of Total Produce businesses, which is an important step as we expand the presence of the Dole brand in the marketplace.

在第二季度，我們再次增加了公司間貿易，這是一個關鍵目標。我們還在最大限度地利用現有集團資產的內部利用率方面取得了良好進展，並通過合作進行投資以支持合併後的業務。此外，我們繼續對 Total Produce 業務進行品牌重塑，這是我們擴大 Dole 品牌在市場上的影響力的重要一步。

If we take a step back and reflect on the last year, there have been many headwinds the entire industry has faced. From rising input cost to global supply chain disruptions, the pandemic and the ongoing geopolitical situation causing market disruptions, it's undeniable that it has been a year full of unprecedented uncertainty and challenges. But we have been able to react to and mitigate the impact of these challenges at the speed and efficiency far superior to what we could have done prior to the merger. We know that the key to succeed in this industry over the long term is scale and diversification, which is why our vertically integrated business model is -- model supported by our highly strategic and diversified asset base has allowed us to continue performing well during this uncertain and challenging environment.

如果我們退後一步回顧去年，整個行業都面臨著許多逆風。從不斷上升的投入成本到全球供應鏈中斷、疫情和持續的地緣政治局勢導致市場混亂，不可否認，這一年充滿了前所未有的不確定性和挑戰。但我們已經能夠以遠遠優於合併之前的速度和效率來應對和減輕這些挑戰的影響。我們知道，在這個行業取得長期成功的關鍵是規模和多元化，這就是為什麼我們的垂直整合業務模式——由我們高度戰略性和多元化的資產基礎支持的模式，使我們能夠在這種不確定的時期繼續保持良好的表現和具有挑戰性的環境。

Turning to our Q2 performance. Overall, the group has delivered results for Q2 in line with our expectations. On a pro forma comparative basis, excluding the impact of currency translation and net M&A activity, revenue increased by approximately 3.2%. Adjusted EBITDA of $109 million was in line with our expectations, although behind last year. The reduction on last year was predominantly due to expected changes in the phasing of our EBITDA and a slower-than-anticipated turnaround in our Fresh Vegetable business.

談到我們第二季度的表現。總體而言，該集團第二季度的業績符合我們的預期。在備考比較基礎上，不包括貨幣換算和淨併購活動的影響，收入增長了約 3.2%。調整後的 EBITDA 為 1.09 億美元，符合我們的預期，儘管落後於去年。去年的減少主要是由於我們 EBITDA 階段的預期變化以及我們新鮮蔬菜業務的周轉速度慢於預期。

Turning to our balance sheet. We are pleased to see our leverage come down to 3.4x at the end of the quarter, and we expect our leverage to improve further in the second half. In the second quarter, we had a strong focus on cash flow. While we needed to maintain some higher working capital to protect from supply chain shortages, we focused on tight management of working capital and discretionary spend. We also took a disciplined approach on CapEx focusing on essential projects. And importantly, we made further progress on disposing of noncore assets totaling $10 million in Q2 as we continue to focus on optimizing our invested capital. We are pleased to announce today a cash dividend for the second quarter of $0.08 per share. This continues our commitment to return cash to shareholders.

轉向我們的資產負債表。我們很高興看到我們的槓桿率在本季度末降至 3.4 倍，我們預計我們的槓桿率將在下半年進一步提高。在第二季度，我們非常關注現金流。雖然我們需要維持一些較高的營運資金以防止供應鏈短缺，但我們專注於嚴格管理營運資金和可自由支配的支出。我們還對重點項目的資本支出採取了嚴格的方法。重要的是，隨著我們繼續專注於優化我們的投資資本，我們在第二季度處置總額為 1000 萬美元的非核心資產方面取得了進一步進展。我們今天很高興地宣布第二季度每股 0.08 美元的現金股息。這延續了我們向股東返還現金的承諾。

Turning to Slide 8 for our operational highlights. In our Fresh Fruits division, we had a strong quarter, driven by our North American business and commercial cargo. As we referred to in our Q1 call, during the first half, we have implemented cost savings and risk mitigation initiatives, including putting additional hedges in place and progressed the challenging work of rebalancing our supply and demand in bananas after the changes in the marketplace caused by the war. In the absence of further abrupt changes in the market conditions, like we saw at the start of the war, we are now pleased with the outlook and are looking forward to a strong second half outperforming our prior year comparatives.

轉到幻燈片 8，了解我們的運營亮點。在我們的新鮮水果部門，在北美業務和商業貨運的推動下，我們的季度表現強勁。正如我們在第一季度電話會議中提到的那樣，在上半年，我們實施了成本節約和風險緩解措施，包括實施額外的對沖措施，並在市場變化導致香蕉供需再平衡方面取得了進展。通過戰爭。在市場狀況沒有進一步突然變化的情況下，就像我們在戰爭開始時看到的那樣，我們現在對前景感到滿意，並期待下半年的強勁表現優於去年同期。

Our diversified business on a like-for-like basis had a very robust quarter despite ongoing supply chain and inflationary challenges. We are very pleased to see our diversified segment consistently demonstrating their ability to trade well and dynamically set pricing in response to exceptional market conditions. We expect that robustness to continue in the second half, and we are very pleased with the current progress we are making in these segments.

儘管供應鍊和通脹挑戰持續存在，但我們以同類產品為基礎的多元化業務在季度表現非常強勁。我們很高興看到我們多元化的細分市場持續展示其良好交易和動態定價以應對異常市場條件的能力。我們預計下半年將繼續保持強勁勢頭，我們對目前在這些領域取得的進展感到非常滿意。

While we are pleased with our second quarter performance overall, we are disappointed with the progress we have made in our vegetable business. Q2 showed significant improvements over Q1, but not to the levels we anticipated in our turnaround plan, and we expect now to face an unfavorable environment through the second half of 2022. Inflation continues to impact our value-added salad business. We have been able to push through some price increases. However, recent softness in the category, demand is creating a difficult trade-off for the industry between the pursuit of the volume needed to maximize production efficiencies and the pricing needed to offset inflationary headwinds.

雖然我們對第二季度的整體表現感到滿意，但我們對蔬菜業務取得的進展感到失望。第二季度與第一季度相比有顯著改善，但並未達到我們在扭虧為盈計劃中預期的水平，我們預計到 2022 年下半年將面臨不利的環境。通貨膨脹繼續影響我們的增值沙拉業務。我們已經能夠推動一些價格上漲。然而，最近該類別的疲軟，需求使該行業在追求最大化生產效率所需的產量和抵消通脹逆風所需的定價之間做出艱難的權衡。

To combat these challenges, we are actively engaged in mitigation efforts, while continuing to explore consolidation opportunities as well as strategic opportunities for growth. While we remain confident in our ability to get vegetable business back to profit, we do not now expect to see a full recovery in our vegetable business until 2023.

為了應對這些挑戰，我們積極參與緩解工作，同時繼續探索整合機會和戰略增長機會。雖然我們對讓蔬菜業務恢復盈利的能力仍然充滿信心，但我們現在預計我們的蔬菜業務要到 2023 年才能全面復甦。

With that, I will hand you over to Jacinta to give you the financial review.

有了這個，我會把你交給 Jacinta 給你財務審查。

Thank you, Johan, and thank you all for joining us here today.

謝謝你，約翰，謝謝大家今天加入我們。

Turning to Slide 10. As Johan mentioned, we are pleased with the strong results delivered by the group in what remains a difficult inflationary trading environment. Revenue for the first -- for the second quarter was $2.4 billion, a decrease of 4% against the pro forma comparative, primarily due to a negative foreign currency translation impact of $112 million and a net reduction of $69 million from M&A activity, both primarily in our Diversified Fresh Produce EMEA segment.

轉到幻燈片 10。正如約翰所說，我們對集團在仍然困難的通脹交易環境中取得的強勁業績感到高興。第一季度——第二季度的收入為 24 億美元，與備考比較相比下降 4%，主要是由於 1.12 億美元的負面外幣折算影響和併購活動淨減少 6900 萬美元，兩者主要在我們多元化的新鮮農產品 EMEA 部門。

On a like-for-like basis, revenue increased by 3.2%. This increase in revenue was driven by robust growth in our Fresh Fruit and Diversified Foods segments, offset in part by decline in the Fresh Vegetables segment as a result of lower volumes and value-added salads, due to both lost volumes following the recall event earlier in the year and due to lower industry demand.

在類似的基礎上，收入增長了 3.2%。收入的增長是由我們的新鮮水果和多樣化食品部門的強勁增長推動的，但部分被新鮮蔬菜部門的下降所抵消，原因是銷量和增值沙拉減少，原因是早些時候召回事件後的銷量下降在這一年中，由於行業需求下降。

Adjusted EBITDA for the second quarter was $109 million, a decrease of $34.5 million on a pro forma comparative basis. $4 million of the decrease in adjusted EBITDA was as a result of the impact of currency translation on the reported results. On a like-for-like basis, the $30 million decline was primarily due to the strong prior year comparisons in Fresh Fruits and to a loss in Fresh Vegetables.

第二季度調整後的 EBITDA 為 1.09 億美元，在備考比較基礎上減少了 3450 萬美元。調整後 EBITDA 減少 400 萬美元是由於貨幣換算對報告結果的影響。在同類產品的基礎上，3000 萬美元的下降主要是由於新鮮水果與上一年相比的強勁表現以及新鮮蔬菜的虧損。

Turning to Slide 11. Adjusted net income for the second quarter was $41.3 million, in line with prior year and lower on a pro forma comparison basis. The decrease on the pro forma comparative was predominantly due to the decrease in adjusted EBITDA, offset in part by a lower tax expense. Adjusted fully diluted EPS for the quarter was $0.44 compared to $0.74 in the prior year and $0.70 on a pro forma comparative basis, again, driven by the reduction in adjusted EBITDA.

轉到幻燈片 11。第二季度調整後的淨收入為 4130 萬美元，與去年同期持平，在備考比較的基礎上更低。備考比較的減少主要是由於調整後的 EBITDA 減少，部分被較低的稅收支出所抵消。本季度調整後的完全攤薄後每股收益為 0.44 美元，而去年同期為 0.74 美元，在備考比較基礎上為 0.70 美元，這再次受到調整後 EBITDA 減少的推動。

I will now provide some more detail on the -- on each of the individual segments, starting with Fresh Fruit on Slide 13. Revenue for the second quarter increased by 3.5% compared to the pro forma comparative for 2021, continuing the good momentum from the first quarter. Revenue was positively impacted by increased pricing in commercial cargo, increased pricing in North America for bananas and higher worldwide volumes and pricing in pineapples. This was partially offset by lower pricing in noncore markets for bananas.

我現在將提供有關每個細分市場的更多詳細信息，從幻燈片 13 上的新鮮水果開始。與 2021 年的備考比較相比，第二季度的收入增長了 3.5%，延續了第一季度。收入受到商業貨運價格上漲、北美香蕉價格上漲以及全球銷量和菠蘿價格上漲的積極影響。這被香蕉非核心市場較低的價格部分抵消。

Adjusted EBITDA for the second quarter decreased by 32.4% compared to the pro forma comparative for 2021. The prior year comparatives had the benefit of strong market conditions due to tight supply following the hurricanes in Central America in November 2020. And as expected, these conditions did not repeat in 2022. Adjusted EBITDA was also impacted by higher ocean and inland freight costs, higher costs and packaging, fertilizers and other materials. These higher costs were partially offset by higher pricing in core markets as well as strong performance in commercial cargo business.

與 2021 年的備考比較相比，第二季度的調整後 EBITDA 下降了 32.4%。由於 2020 年 11 月中美洲颶風過後的供應緊張，上一年的比較受益於強勁的市場條件。正如預期的那樣，這些條件2022 年沒有重複。調整後的 EBITDA 還受到海運和內陸運費上漲、成本和包裝、化肥和其他材料上漲的影響。這些較高的成本被核心市場較高的定價以及商業貨運業務的強勁表現部分抵消。

Moving to the Diversified Fresh Produce EMEA on Slide 14. Revenue for the second quarter decreased 10.7% compared to the pro forma comparative for 2021. This was primarily driven by a negative translation impact on currency of $110 million due to the stressing of the U.S. dollar in the quarter against all major European currencies. In addition, there was a net reduction to revenue from M&A activity of $69 million in the quarter. On a like-for-like basis, revenue grew 8.1% with growth seen across the division, driven by increased pricing. And additionally, due to strong revenue growth in South Africa, driven by different seasonal export timing this year compared to 2021.

在幻燈片 14 上轉向多樣化的新鮮農產品歐洲、中東和非洲。與 2021 年的備考比較相比，第二季度的收入下降了 10.7%。這主要是由於美元承受壓力而對貨幣產生了 1.1 億美元的負面換算影響本季度兌所有主要歐洲貨幣。此外，本季度併購活動的收入淨減少了 6900 萬美元。在同類產品的基礎上，在定價上漲的推動下，整個部門的收入增長了 8.1%。此外，由於今年與 2021 年相比季節性出口時機不同，南非收入增長強勁。

Revenue growth was partially offset by some logistics challenges in Europe, which impacted volumes. Adjusted EBITDA for the second quarter decreased by 3.9% compared to the pro forma comparative for 2021. The decrease in adjusted EBITDA was primarily a result of translating the results of European currency businesses into U.S. dollar with -- which strengthened significantly against European currencies compared to the prior year. On a like-for-like basis, adjusted EBITDA increased 7.4%, driven by a strong performance from our Spanish and U.K. businesses in the quarter, offset by a more challenging quarter for our Northern European businesses due to logistical challenges.

收入增長被歐洲的一些物流挑戰部分抵消，這些挑戰影響了銷量。與 2021 年的備考比較相比，第二季度的調整後 EBITDA 下降了 3.9%。調整後 EBITDA 的下降主要是由於將歐洲貨幣業務的結果轉換為美元 - 與歐洲貨幣相比，美元顯著走強前一年。在類似的基礎上，調整後的 EBITDA 增長了 7.4%，這得益於我們西班牙和英國業務在本季度的強勁表現，但由於物流挑戰，我們的北歐業務面臨更具挑戰性的季度抵消了這一影響。

Turning to Diversified Fresh Produce, Americas and Rest of World. Revenue for the second quarter increased 5.7% compared to the pro forma comparative for 2021. This increase was primarily driven by a good performance in the potato, onion and avocado category as well as recovery in Chilean grape volumes after weather impacted volumes in Q2 of 2021.

轉向多樣化的新鮮農產品、美洲和世界其他地區。與 2021 年的備考比較相比，第二季度的收入增長了 5.7%。這一增長主要是由於馬鈴薯、洋蔥和鱷梨類別的良好表現以及智利葡萄產量在 2021 年第二季度受到天氣影響後的恢復.

Adjusted EBITDA for the second quarter decreased by 5.4%. This decrease was driven by Q2 2021 having a seasonal timing benefit in the quarter compared to Q2 2022 and due to a challenging quarter in the joint venture kiwi business. Excluding seasonal impact -- timing impact, there was a positive development in the majority of the North American businesses in the quarter, in particular, in the avocado, potato and onion categories.

第二季度經調整 EBITDA 下降 5.4%。這一下降是由於與 2022 年第二季度相比，2021 年第二季度在該季度具有季節性時間優勢，並且由於合資奇異果業務的季度充滿挑戰。排除季節性影響——時間影響，本季度北美大部分業務都有積極發展，特別是在鱷梨、馬鈴薯和洋蔥類別。

Now turning to Fresh Vegetables on Slide 16. Revenue for the second quarter decreased by 6.9% compared to the pro forma comparative for 2021. Revenue was negatively impacted by lower volumes of value-added salad product due both to lost volumes following the value-added salad recalls in December 2021 and January 2022, and lower industry demand. Revenue was also impacted by a planned decrease in volumes in Fresh Packed Vegetable products. These decreases were partially offset by price increases in value-added salads and significantly stronger pricing in Fresh Packed Vegetable products, supported by the reduced volume strategy.

現在轉向幻燈片 16 上的新鮮蔬菜。與 2021 年的備考比較相比，第二季度的收入下降了 6.9%。收入受到增值沙拉產品銷量下降的負面影響，原因是增值沙拉產品的銷量下降沙拉在 2021 年 12 月和 2022 年 1 月召回，行業需求下降。收入也受到新鮮包裝蔬菜產品數量計劃減少的影響。這些下降部分被增值沙拉的價格上漲和新鮮包裝蔬菜產品的價格大幅上漲所抵消，這在減量戰略的支持下。

Adjusted EBITDA for the second quarter was a loss of $5.7 million. Fresh Vegetables adjusted EBITDA was negatively impacted by lower revenue and lower cost absorption due to lower volumes as well as by inflationary pressures on freight, packaging and labor costs. These challenges in the value-added salad business were partially offset by improved performance in the fresh packed products.

第二季度調整後的 EBITDA 為虧損 570 萬美元。新鮮蔬菜調整後的 EBITDA 受到收入下降和成本吸收下降的負面影響，原因是銷量下降，以及運費、包裝和勞動力成本的通脹壓力。增值沙拉業務中的這些挑戰被新鮮包裝產品的性能改善部分抵消。

Turning to Slide 17. Capital expenditures for the second quarter were $22 million. We have now invested $39.4 million year-to-date spread for reinvestments in farms and glasshouses in our growing regions and in efficiencies in logistics, warehousing and processing closer to the market. We are now expecting capital expenditure of $110 million for the year, a reduction of $50 million versus our prior guidance. After completing the disposal of 2 noncore warehousing assets in Europe in the quarter, we have now generated approximately $27 million in sales of noncore assets year-to-date and remain focused on optimizing our invested capital further in the coming quarters.

轉到幻燈片 17。第二季度的資本支出為 2200 萬美元。今年迄今，我們已投資 3,940 萬美元，用於對我們種植區的農場和溫室進行再投資，並提高離市場更近的物流、倉儲和加工效率。我們現在預計今年的資本支出為 1.1 億美元，與我們之前的指導相比減少了 5,000 萬美元。在本季度完成對歐洲 2 項非核心倉儲資產的處置後，我們今年迄今已產生約 2700 萬美元的非核心資產銷售額，並在未來幾個季度繼續專注於進一步優化我們的投資資本。

Looking at working capital. Earlier this year, in addition to our normal seasonal working capital increases, we took additional precautionary measures by building up inventories to combat potential shortages due to global supply chain concerns. As we ended Q2, we have been starting to see the normal seasonal working capital effects unwind. And while we expect our working capital to continue to come down as we move into the second half, we do still see an underlying higher level of working capital now compared to prior years, being driven by the precautionary measures we took earlier in the year and higher prices.

看營運資金。今年早些時候，除了我們正常的季節性營運資金增加外，我們還採取了額外的預防措施，通過增加庫存來應對全球供應鏈問題導致的潛在短缺。當我們結束第二季度時，我們已經開始看到正常的季節性營運資本效應逐漸減弱。雖然我們預計隨著我們進入下半年，我們的營運資金將繼續下降，但我們確實看到與往年相比，現在的營運資金水平仍然較高，這是由我們在今年早些時候採取的預防措施推動的，並且更高的價格。

Prior to the beginning of 2022, Dole entered into $600 million of interest rate swaps with maturity dates ranging from 3 to 5 years, which effectively converted $600 million of our debt from variable to fixed rates. And earlier this year, we added a further 100 million swaps, such that we now have approximately half of our outstanding debt at fixed interest rates. We are pleased that we were proactive in mitigating some of our exposure to rising interest rates. However, in light of the recent significant interest rate increases announced by many central banks, driving up underlying base rates, we expect the full year interest expense to be approximately $60 million.

在 2022 年初之前，Dole 簽訂了 6 億美元的利率掉期合約，到期日從 3 年到 5 年不等，有效地將我們 6 億美元的債務從浮動利率轉換為固定利率。今年早些時候，我們又增加了 1 億次掉期，因此我們現在擁有大約一半的固定利率未償債務。我們很高興我們主動減輕了利率上升的一些風險。然而，鑑於近期許多央行宣布大幅加息，推高基礎基準利率，我們預計全年利息支出約為 6,000 萬美元。

We are continuing to make good progress on management of our global tax outlay after the merger last year. And having considered our latest operational forecast for the year, we expect and adjusted effective tax rates in the range of 23% to 25%. We are pleased that we were able to further diversify our funding base in Q2. And as planned, we entered into a new 3-year committed trade receivables arrangement, giving us increased financial flexibility at a lower cost as we continue to invest in the business and execute the strategy we outlined as part of the IPO. Our net leverage at the end of the quarter decreased to 3.4x. We expect leverage to decrease further in the second half of the year.

去年合併後，我們在全球稅收支出管理方面繼續取得良好進展。考慮到我們今年的最新運營預測，我們預計並調整有效稅率在 23% 至 25% 之間。我們很高興我們能夠在第二季度進一步多樣化我們的資金基礎。按照計劃，我們簽訂了一項新的 3 年承諾貿易應收賬款安排，在我們繼續投資業務並執行我們在 IPO 中概述的戰略時，以更低的成本提高了財務靈活性。我們在本季度末的淨槓桿率降至 3.4 倍。我們預計下半年槓桿率將進一步下降。

Now I will hand you back to Johan, who will give an update on our full year '22 outlook and closing remarks.

現在，我將把您交給 Johan，他將提供有關我們 22 年全年展望和閉幕詞的最新信息。

Thank you, Jacinta. The economic environment remains fluid as we look into the second half. And today, we are currently seeing some both positive trends and some further challenges. On the more challenging side, as we mentioned when referring to our Fresh Vegetables business, we have recently seen some initial signs of adjustments in consumer behavior with evidence of consumer decreasing the demand for certain value-added products, which have a higher retail selling price. However, partially compensating for this, we have seen some signs of demand increasing in the banana category as consumers look to substitute for more or substitute more for products with a lower retail selling price.

謝謝你，傑辛塔。展望下半年，經濟環境仍然不穩定。今天，我們目前看到了一些積極的趨勢和一些進一步的挑戰。在更具挑戰性的方面，正如我們在提及我們的新鮮蔬菜業務時提到的那樣，我們最近看到了消費者行為調整的一些初步跡象，有證據表明消費者減少了對某些零售價較高的增值產品的需求.然而，為了部分彌補這一點，我們看到香蕉類別的需求出現了一些增長跡象，因為消費者希望以更多的產品替代或更多地替代零售價格較低的產品。

While in our 2 diversified segments, our extensive range of products and markets leaves us well placed to perform well as economic conditions change. Additionally, on the positive side, we have recently been seeing some stabilization in prices in important commodities, like packaging and fertilizers as well as in fuel, and we're also starting to see some signs that we are turning the corner on availability of labor.

雖然在我們的 2 個多元化細分市場中，我們廣泛的產品和市場範圍使我們能夠很好地應對經濟狀況的變化。此外，從積極的方面來看，我們最近看到重要商品的價格有所企穩，例如包裝、化肥以及燃料，而且我們也開始看到一些跡象表明我們正在轉向勞動力供應.

In summary, we are pleased with the outlook in the 2 diversified segments and believe we have an improved outlook in our Fresh Fruit segment compared to Q1. However, due to a slower than anticipated return to full operating profitability in our Fresh Vegetables and the increasing impact on translation due to the significant strengthening of the U.S. dollar, we believe it is prudent to reduce our full year adjusted EBITDA guidance by approximately 5.5% to a range of $330 million to $350 million. We remain positive on the long-term outlook and our priorities for the second half of the year remain in line with that with what we set out during the last earnings call, with a critical focus on accelerating the turnaround of our value-added salad business.

總之，我們對兩個多元化細分市場的前景感到滿意，並相信與第一季度相比，我們的新鮮水果細分市場的前景有所改善。然而，由於我們的新鮮蔬菜業務恢復全面運營盈利能力的速度慢於預期，以及美元大幅走強對翻譯的影響越來越大，我們認為將全年調整後 EBITDA 指引降低約 5.5% 是審慎的做法到 3.3 億美元到 3.5 億美元之間。我們對長期前景保持樂觀，下半年我們的優先事項與我們在上次財報電話會議上設定的一致，重點關注加速增值沙拉業務的周轉.

In closing, we are delighted to have now reached a 1-year milestone of operating as Dole plc. And I want to thank again all our talented and dedicated people for the immense contributions they have made to our business in the past year. Because of the strength of our people, and the support of our partners and customers, we are looking to the future with great confidence.

最後，我們很高興現在已經達到了作為 Dole plc 運營的 1 年里程碑。我要再次感謝我們所有才華橫溢、敬業的員工在過去一年中為我們的業務做出的巨大貢獻。由於我們人的力量，以及我們合作夥伴和客戶的支持，我們充滿信心地展望未來。

With that, I will now hand you back to the operator, and we can open the line for questions.

有了這個，我現在把你交還給接線員，我們可以打開電話提問。

(Operator Instructions) And our first question comes from Patrick Higgins of Goodbody.

（操作員說明）我們的第一個問題來自 Goodbody 的 Patrick Higgins。

Three questions for me, if that's okay. Firstly, just on the value-added salads business. Could you just give us some color on the wider market? And is it currently in decline as well? Or how much is Dole underperforming in the market? And I guess how much pricing has the competitive set taken relative to Dole at this point?

給我三個問題，如果可以的話。首先，就增值沙拉業務而言。你能給我們在更廣闊的市場上一些顏色嗎？它目前也在下降嗎？或者說都樂在市場上的表現落後多少？我猜在這一點上，相對於 Dole，競爭產品的定價是多少？

Secondly, I think you mentioned looking at consolidation opportunities within this business. Could you just expand on that? Does that include potentially disposing of your business to other operators? Are you looking to maybe add to your business? And what kind of size of deals would you be looking at? And then finally, could you just give us a sense of your expectations of phasing in that business into H2? So should we expect still loss make in Q3 and then profitable into Q4 and onwards into FY '23, just interested to hear how that phasing is going to work?

其次，我認為您提到了在該業務中尋找整合機會。你能擴展一下嗎？這是否包括可能將您的業務出售給其他運營商？您是否希望增加您的業務？你會考慮什麼樣的交易規模？最後，您能否告訴我們您對該業務逐步進入下半年的期望？那麼我們是否應該期望第三季度仍然虧損，然後在第四季度盈利，然後到 23 財年，只是想知道分階段將如何運作？

Lots of questions, Patrick. Okay. So first of all, we look at the market for value added. We have seen the category come down. So the category has lost some space, and that has to do with some of the products within that category as they have higher prices and people are shying away from that for lower-priced products, such as bananas, potatoes, onions. So the market or the category has taken a hit, and that hit has actually complicated our return to profitability. Because when you have a category that is declining a little bit, it's difficult to go out and ask for new volume at the same time that you actually want to take price.

很多問題，帕特里克。好的。因此，首先，我們著眼於增值市場。我們已經看到這個類別下降了。因此，該類別失去了一些空間，這與該類別中的一些產品有關，因為它們的價格較高，人們對價格較低的產品避而遠之，例如香蕉、土豆、洋蔥。因此，市場或類別受到了衝擊，而這種衝擊實際上使我們恢復盈利變得複雜。因為當你有一個品類略有下降時，你很難在你真正想要定價的同時出去尋求新的銷量。

We have taken price, and we're very happy with the price that we took during Q1. But we have a little bit more to take, and we also have seen some additional inflation during the summer as a consequence of the war, right? So we -- there is some more price to be taken, but we expect to take that as we are negotiating the new contracts with the customers. And yes, we have lost some market share. So it's not only the category went down, we have also lost some market share as a consequence of the recall. But we are hopeful to claim back some of that volume going into Q1 of next year.

我們已經採取了價格，我們對第一季度的價格感到非常滿意。但我們還有一點需要承擔，而且由於戰爭，我們在夏季也看到了一些額外的通貨膨脹，對吧？所以我們 - 有更多的價格要承擔，但我們希望在與客戶談判新合同時接受這一點。是的，我們失去了一些市場份額。因此，不僅該類別下降，我們還因召回而失去了一些市場份額。但我們希望在明年第一季度收回部分銷量。

When it comes to consolidation, yes, we did mention that, and we always look around what's going on in the market. We are always open for M&A activities. But our sole focus right now for vegetables is to return it to profitability. So that's the only focusing thing that we have for this category. And when it comes to the phasing of the EBITDA, we do expect Q4 to be stronger than Q3.

說到整合，是的，我們確實提到了這一點，而且我們總是關注市場上正在發生的事情。我們始終對併購活動持開放態度。但我們目前對蔬菜的唯一關注是使其恢復盈利。所以這是我們在這個類別中唯一關注的事情。當談到 EBITDA 的分階段時，我們確實預計第四季度將強於第三季度。

Our next question comes from Adam Samuelson at Goldman Sachs.

我們的下一個問題來自高盛的亞當薩繆爾森。

I guess the first question is just to clarify a little bit. So the $20 million reduction to the adjusted EBITDA guidance, could you maybe parse that between kind of reduced outlook for Fresh Vegetables currency? I think in the prepared remarks Johan, you alluded to actually an approved outlook in Fresh Fruit. So maybe just quantify the different moving pieces there. And specifically, I think the slide said that the second quarter was in line with expectations. So just to clarify that entire $20 million reductions in the second half.

我想第一個問題只是為了澄清一點。因此，調整後的 EBITDA 指引減少了 2000 萬美元，您能否分析一下新鮮蔬菜貨幣前景的下調？我認為在準備好的評論中，約翰提到了新鮮水果的實際前景。所以也許只是量化那裡的不同移動部分。具體來說，我認為幻燈片表明第二季度符合預期。因此，只是為了澄清下半年的全部 2000 萬美元削減。

Yes. So Q2 was in line with expectations. But when we were looking into the second half, we've had expected a stronger rebound on vegetables. So that is what's driving it. What has changed since Q1 is that when we were talking in Q1, we still saw a very strong category growth for value added. And when the category is growing, it's much easier to go back and reclaim lost volume as a consequence of the recall. And it's also easier to ask for price. Now in the category of backtrack, that has forced us to reevaluate how we see our return to profitability plan. So that's by far the driving factor then there is also some translation as an impact when we compare from Q1 to now, but the main -- the bulk of this is coming from a reevaluation of the vegetables turnaround.

是的。所以第二季度符合預期。但當我們展望下半年時，我們曾預計蔬菜會出現更強勁的反彈。所以這就是驅動它的原因。自第一季度以來發生的變化是，當我們在第一季度談論時，我們仍然看到附加值的類別增長非常強勁。當該類別增長時，返回並收回因召回而損失的數量要容易得多。而且詢問價格也更容易。現在在回溯的類別中，這迫使我們重新評估我們如何看待我們的盈利計劃。所以到目前為止，這是驅動因素，當我們從第一季度到現在進行比較時，也有一些影響，但主要 - 大部分來自對蔬菜周轉率的重新評估。

Okay. All right. That's helpful. And then just as we think about that change in EBITDA relative to kind of the change in free cash flow outlook, the interest kind of went up, the CapEx went down, those are largely offsetting. Just since you alluded to maybe expecting a full year increase in working capital usage versus the prior fund. Any way to quantify that as we think about kind of what the free cash flow profile of the business looks like this year?

好的。好的。這很有幫助。然後就像我們考慮 EBITDA 的變化相對於自由現金流前景的變化一樣，利息上升，資本支出下降，這些在很大程度上抵消了。就在您提到與之前的基金相比，營運資金使用量可能會增加一整年。當我們考慮今年業務的自由現金流狀況時，有什麼方法可以量化這一點？

Yes. So while we do expect our normal working capital inflow, we're coming off a higher base, so because of the decisions we made to invest in inventory in the early part of the year to manage the global supply challenges. So we're expecting the normal working capital inflow, but from a higher base, the trends are very similar to what you would have seen in prior years.

是的。因此，雖然我們確實預計我們的營運資金會流入正常，但我們正在擺脫更高的基數，因此，由於我們在今年年初做出了投資庫存以應對全球供應挑戰的決定。因此，我們預計正常的營運資金流入，但從更高的基數來看，趨勢與您在前幾年看到的非常相似。

And sorry, if I just -- again, with the combined company, it's hard to go back to prior years to think about kind of what that phasing would be in the Dole versus the total produce kind of working capital, I wouldn't know...

抱歉，如果我只是 - 再次，對於合併後的公司，很難回到前幾年來考慮在 Dole 中的分階段與總生產類型的營運資金相比，我不知道...

Yes. So, Adam, we are around. We're going to be -- if you take out the recall, which had an impact on the working capital last year, we're going to have an outflow this year of around $40 million to $50 million by year-end.

是的。所以，亞當，我們就在身邊。我們將——如果你把去年對營運資金產生影響的召回排除在外，到年底我們將有大約 4000 萬至 5000 萬美元的資金流出。

Our next question comes from Christopher Barnes at Deutsche Bank.

我們的下一個問題來自德意志銀行的 Christopher Barnes。

I just had a quick follow-up on the value-added salad business. Could you just provide some more specificity on when like when you think you'll be done with the turnaround. Like I think just as a follow-up to Patrick's first question, do you expect to return to positive EBITDA in the fourth quarter? Or is that more of a fiscal '23 endeavor?

我剛剛對增值沙拉業務進行了快速跟進。您能否提供一些更具體的信息，說明您認為何時可以完成周轉。就像我認為作為帕特里克第一個問題的後續行動一樣，您是否希望在第四季度恢復正的 EBITDA？或者這更像是 '23 財政年度的努力？

We will turn it around. We do expect a positive EBITDA for the vegetable business in Q4. We have stabilized our service to the customers. We are servicing our customers very well. And historically, we have seen when we do service them well and when we do then go out and ask for new volume, that normally follows. So we are optimistic that we see demand coming back for us, and we have started to see some small wins, but we still need more.

我們會扭轉局面。我們確實預計第四季度蔬菜業務的 EBITDA 為正。我們已經穩定了對客戶的服務。我們很好地為客戶服務。從歷史上看，我們已經看到我們什麼時候為他們提供了良好的服務，然後我們又出去要求新的數量，這通常會隨之而來。因此，我們對看到需求回升感到樂觀，我們已經開始看到一些小的勝利，但我們仍然需要更多。

Got it. Understood. And then just as a follow-up question. I think we all have a good sense for your top line exposures by currency, but is there any help you can give us on sensitivities from here from currency as it relates to EBITDA? I mean, to the extent like we have further dollar strength or even a weakening, how should we think about like the resulting impact to profitability? And then if you could just comment on what portion of your costs are dollar denominated versus in local currencies, I think that would be helpful?

知道了。明白了。然後作為一個後續問題。我認為我們都對您按貨幣計算的最高風險敞口有很好的認識，但是您是否可以從這裡就貨幣與 EBITDA 相關的敏感性向我們提供任何幫助？我的意思是，在美元進一步走強甚至走弱的情況下，我們應該如何看待由此產生的對盈利能力的影響？然後，如果您可以評論一下您的成本中以美元計價的部分與以當地貨幣計價的部分，我認為這會有所幫助嗎？

Yes. So just to remember, we're talking about translation here rather than transaction exposures. But about 1% strengthening in U.S. dollar has about a $1 million impact on our EBITDA. So our U.S. dollar expenses, it's about [50%].

是的。所以請記住，我們在這裡談論的是翻譯而不是交易風險。但美元升值約 1% 會對我們的 EBITDA 產生約 100 萬美元的影響。因此，我們的美元支出約為 [50%]。

Our next question comes from Ronald French at Davy.

我們的下一個問題來自戴維的 Ronald French。

A couple of questions, if I could. Maybe just further follow-up questions on the vegetables business and value-added salads in particularly. I guess, generally, my interpretation is this is -- it's a complex category. It's a complex business. And ultimately, it feels like there needs to be more radical actions taken in that segment. Can you kind of walk through other than pricing, I guess, what actions are being taken, whether it's leadership, whether it's network, whether it's looking at different channels?

有幾個問題，如果可以的話。也許只是對蔬菜業務和增值沙拉的進一步跟進問題。我想，一般來說，我的解釋是——這是一個複雜的類別。這是一項複雜的業務。最終，感覺需要在該領域採取更激進的行動。除了定價之外，您能否介紹一下正在採取哪些行動，是否是領導力，是否是網絡，是否正在尋找不同的渠道？

And then allied to that, can you remind us how much of that business in salads is private label versus branded? And has that shift to private label, has that weighed on margin, it kind of feels like when you're running more kind of more (inaudible) and have more SKUs, it becomes just more complex? So that's the first question, and I'll let you answer that. I have one more.

然後與此相關，你能提醒我們沙拉業務中有多少是自有品牌而不是品牌？這種轉向自有品牌是否會影響利潤率，感覺就像當您運行更多（聽不清）並且擁有更多 SKU 時，它變得更加複雜？所以這是第一個問題，我會讓你回答這個問題。我還有一個。

Yes, let's see, if I understood and followed the questions here. Private label versus branded has no real impact on our profitability. It does to a certain extent, make it a little bit more complicated because you add 1 SKU into production, but there is no big difference between the profitability. So if we were to sell more in private label that doesn't really have an impact. I don't have it in front of me, but my guess is that we have around 60% to 70% under the Dole brand, and the rest is around private label today. So when it comes to the overall -- what we are doing is that, yes, we have strengthened the management within the organization, we have added analytical power from corporate. So we have put that in. You have to have -- just to go through all the processes going through all the numbers. So that has happened.

是的，讓我們看看我是否理解並遵循了這裡的問題。自有品牌與品牌對我們的盈利能力沒有實際影響。它確實在一定程度上讓它變得更複雜一些，因為你在生產中添加了 1 個 SKU，但盈利能力沒有太大差異。因此，如果我們要以自有品牌銷售更多，那並沒有真正產生影響。我面前沒有它，但我猜我們有大約 60% 到 70% 屬於 Dole 品牌，而今天剩下的都是自有品牌。因此，就整體而言 - 我們正在做的是，是的，我們加強了組織內部的管理，我們增加了企業的分析能力。所以我們已經把它放進去了。你必須有 - 只是為了通過所有數字來完成所有流程。所以這已經發生了。

Of late, we have also added industry expertise when it comes to operational excellence within the company. So that is also happening. And of course, we're doing a lot of contingency plans here that -- so our actions will depend on if we believe that we have some big wins in the near future, then we will act according to one plan. If it's not, we will then reduce some of our fixed costs, which is actually not that complicated for us to do. It would just be some -- a little bit of time consuming and planning. But if we don't believe we're going to have a big volume win, we will also do some adjustment in the fixed cost. So there are a couple of contingency plans in place depending on how we feel about demand in the near future.

最近，在公司內部的卓越運營方面，我們還增加了行業專業知識。所以這也正在發生。當然，我們在這裡制定了很多應急計劃——所以我們的行動將取決於我們是否相信我們在不久的將來會取得一些重大勝利，然後我們將按照一個計劃行事。如果不是，我們將減少一些固定成本，這實際上對我們來說並不復雜。這只是一些 - 有點耗時和計劃。但如果我們不相信我們會在銷量上大獲全勝，我們也會對固定成本進行一些調整。因此，根據我們對近期需求的看法，制定了一些應急計劃。

Got it. Okay. That's good color. And then maybe my second question just around the banana business and the banana market more generally. You talked to your own actions around the supply side. Can you kind of remind us? I know you had -- it was a watch point around trade flows, and you'd called out that there was excess supply from Ecuador not making its way into Russia. Can you kind of update us on your own view about the actions that you've taken, and I guess the general kind of thermometer ahead of kind of recontracting rounds into 2023?

知道了。好的。這個顏色不錯然後也許我的第二個問題是關於香蕉業務和更普遍的香蕉市場。你談到了自己在供應方面的行動。你能提醒我們一下嗎？我知道你有 - 這是一個圍繞貿易流動的觀察點，你曾呼籲厄瓜多爾的供應過剩沒有進入俄羅斯。您能否根據自己對您已採取的行動的看法向我們更新一下，我猜是在 2023 年重新簽約之前的一般溫度計？

Yes. So we normally contract a little bit long. So we normally have a little bit of excess in the first half because the market is normally strong. So we want to make sure that we have volume and that we -- if we don't need it in the core markets, we can sell them at profit in noncore markets, such as the Black Sea, Turkey, Middle East or Asia. This year, when the war happened, those markets just fell away. So we had to recaliber our supply base. So we took some supply out to not have too much excess also going into the second half. So that was done during the tail end of Q1 and in the beginning of Q2. So that is behind us.

是的。所以我們通常會收縮一點點。所以我們通常在上半年有一點過剩，因為市場通常很強勁。因此，我們希望確保我們有數量，並且我們 - 如果我們在核心市場不需要它，我們可以在非核心市場（如黑海、土耳其、中東或亞洲）以盈利方式出售它們。今年，當戰爭發生時，這些市場就消失了。所以我們不得不重新調整我們的供應基地。所以我們拿出了一些供應，以免在下半年有太多過剩。所以這是在第一季度末和第二季度初完成的。所以這在我們身後。

And when we now look into the second half and the end of the year and the season for negotiation, some of the contracts, mostly Europe, but also some American contracts now in the second half, we feel that the market is relatively tight. So the supply is relatively tight. We have seen overall supply come down. And we expect that to continue to come down as we look towards the end of the year.

而且我們現在看下半年和年底和賽季談判，一些合同，主要是歐洲的，還有一些美國的合同現在在下半年，我們覺得市場比較緊張。所以供應比較緊張。我們看到整體供應下降。隨著我們展望今年年底，我們預計這一數字將繼續下降。

Okay. Great. If I could squeeze in maybe a third and just a high level one around -- if you look at the H2 implied EBITDA on the midpoint of the range. It still needs a good [semblance] of growth, I think, 150% and 25% growth. Is that largely coming from Fresh Fruits?

好的。偉大的。如果我可以擠入大約三分之一，而且只是一個高水平 - 如果你看看 H2 隱含的 EBITDA 在範圍的中點。我認為，它仍然需要良好的[外表]增長，150% 和 25% 的增長。這主要來自新鮮水果嗎？

It's -- we -- as we did say in the prepared remarks upfront, we are optimistic about our diversified segments that they're going to perform well, and we expect a stronger second half of Fresh Fruit compared to last year. So that is correct.

正如我們在預先準備好的評論中所說的那樣，我們對我們的多元化細分市場表現良好感到樂觀，我們預計下半年新鮮水果的表現將比去年更強勁。所以這是正確的。

Our next question comes from Kenneth Zaslow at Bank of Montreal.

我們的下一個問題來自蒙特利爾銀行的 Kenneth Zaslow。

Just wanted to follow up on the banana market a little bit. How much supply do you think is going to be reduced this year? Have you seen any retailers push back on any of the price increases? And again, how -- when do your contracts renew? How does that exactly work? And I'll leave it there.

只是想稍微跟進一下香蕉市場。您認為今年的供應量會減少多少？您是否看到任何零售商抵制任何價格上漲？再說一次，您的合同何時續簽？這究竟是如何工作的？我會把它留在那裡。

Okay. So contracts work differently in different markets and with different customers. Europe, in general, you can say it's being negotiated in between, let's say, now and [upwards] in November. So that's when you negotiate supply contract in Europe. In America, you have rolling contracts. So that can happen any time of the year, but we have more volume being negotiated in the second half. But then -- and then you contract and then you normally contract for 1 year, but you can also have a 2-year contract. So that's when it comes to the contract.

好的。因此，合同在不同市場和不同客戶的工作方式不同。歐洲，一般來說，你可以說它是在現在和 11 月[向上]之間進行談判的。這就是你在歐洲談判供應合同的時候。在美國，你有滾動合同。所以這可能在一年中的任何時候發生，但我們在下半年有更多的交易量正在談判中。但是然後 - 然後您簽訂合同，然後您通常簽訂 1 年的合同，但您也可以簽訂 2 年的合同。所以這就是合同的時候。

When it comes to pushback, yes, we always have pushbacks from the customers. But in the end, we feel that we have been able to pass on the price increases that we needed when it comes to this category. It's a little bit different from market-to-market. We felt very optimistic and good about Europe going into the year and also in the beginning of the year because we then pushed through prices that we were happy with. Then of course, the euro came down, and that has impacted us negatively. But overall, yes, we've been able to push back on -- push the inflation on to our customers.

是的，說到回擊，我們總是有來自客戶的回擊。但最終，我們覺得我們已經能夠將我們需要的價格上漲傳遞給這個類別。這與市場到市場有點不同。我們對進入今年和年初的歐洲感到非常樂觀和良好，因為我們隨後推高了我們滿意的價格。然後當然，歐元下跌，這對我們產生了負面影響。但總的來說，是的，我們已經能夠反擊——將通貨膨脹推給我們的客戶。

When it comes to supply, we have seen so far supply come down from 3% to something, and we expect that, but that's just expectation, who knows. We expect that decline to accelerate going into the second half. And what is -- it might not sound like much when we talk about 2.5%, 3% of decline in volumes. But this is from a category that is used to have a 2% increase year-over-year for, I think, at least the last 15 years. So only the last 2 years, have we seen the supply base come down. And we don't believe that necessarily to be negative for us.

在供應方面，到目前為止，我們已經看到供應量從 3% 下降到某個水平，我們預計會出現這種情況，但這只是預期，誰知道呢。我們預計這種下降將在下半年加速。什麼是 - 當我們談論 2.5%、3% 的銷量下降時，這聽起來可能並不多。但我認為，至少在過去的 15 年裡，這個類別過去每年增長 2%。因此，僅在過去 2 年，我們才看到供應基數下降。而且我們認為這不一定對我們不利。

Given the banana outlook and your stabilization in the Fresh Vegetables, do you think that 2023 would be an above algorithm year just because of the recovery from this? Or do you think that you have reset the base of which you will grow on algorithm here? Just -- and then I'll leave it there, and I appreciate your time.

鑑於香蕉的前景和您在新鮮蔬菜中的穩定，您是否認為 2023 年會因為從中復蘇而高於算法年？或者你認為你已經重置了你將在這裡的算法成長的基礎？只是 - 然後我會把它留在那裡，我很感激你的時間。

It's a very valid question, and I totally understand that you're asking it, but it's too early for us to answer it. We will get back to you when we give the full year guidance later in the year. The full year guidance for [next year].

這是一個非常有效的問題，我完全理解你在問這個問題，但我們現在回答這個問題還為時過早。當我們在今年晚些時候提供全年指導時，我們會回复您。 [明年]的全年指導。

Our next question comes from Bryan Spillan at Bank of America.

我們的下一個問題來自美國銀行的 Bryan Spillan。

I just -- I'd like to get your perspective on to I guess 2 more macro topics. One is, as we're looking into the colder weather months in Europe and maybe the potential for energy rationing in certain parts of Europe, certainly higher energy costs. Can you talk about just how you're preparing or what potential preparations you're making both operationally to the extent that it affects operations, but also consumer sensitivity if they're seeing much higher home heating costs as we move into the colder weather? And then I have a follow-up.

我只是 - 我想了解您對我猜還有 2 個宏觀主題的看法。一是，當我們正在研究歐洲較冷的天氣月份以及歐洲某些地區的能源配給潛力時，能源成本肯定會更高。你能否談談你正在如何準備或你正在做哪些潛在的準備，這既會影響運營，又會影響消費者的敏感性，如果隨著我們進入寒冷的天氣，他們會看到更高的家庭供暖成本？然後我有一個跟進。

Yes. When we look at consumers, yes, we do believe that they might change their behavior. But when it comes to Europe, we are selling -- it's the diversified segment where we're big, right? And there we're selling the full portfolio of products. So if there is any change in one product it will just be compensated, but other products we are selling. So we don't believe we will be negatively impacted by that directly. And also when banana said we are big win in Europe, we don't believe that will be impacted because it's a low-priced product. So we feel we're in a good position from that perspective.

是的。當我們觀察消費者時，是的，我們確實相信他們可能會改變自己的行為。但說到歐洲，我們正在銷售——這是我們做大的多元化細分市場，對吧？我們在那裡銷售完整的產品組合。因此，如果一種產品有任何變化，它只會得到補償，但我們正在銷售的其他產品。所以我們不相信我們會直接受到負面影響。而且當香蕉說我們在歐洲大獲全勝時，我們認為這不會受到影響，因為它是一種低價產品。所以我們覺得從這個角度來看我們處於一個很好的位置。

When it comes to energy costs, yes, all the divisions we are having are out looking and making sure that they have energy into the future. We have had -- we have done some investments. We have gone into biofuel in some places where we before had gas. We had invested in some solar. So we have taken precautions to be ready for a harsh winter. But we are absolutely aware of everything, of course, that's going on. And we do believe that it could be a year full of surprises, but we also believe that we are very nimble and with the diversification we have within the product and the type of products we are selling, we believe that we are in a good position.

談到能源成本，是的，我們擁有的所有部門都在尋找並確保他們擁有未來的能源。我們已經 - 我們做了一些投資。我們已經在一些以前有天然氣的地方使用了生物燃料。我們投資了一些太陽能。因此，我們採取了預防措施，為嚴冬做好準備。但是我們絕對知道一切，當然，這正在發生。我們確實相信這可能是充滿驚喜的一年，但我們也相信我們非常靈活，並且憑藉我們在產品和我們銷售的產品類型方面的多樣化，我們相信我們處於有利地位.

Understood. And then some of the meteorological forecasts into the winter now are again predicting another La Nina, maybe even one this year that's stronger than last year. Can you just remind us La Nina years how that affects or what impact that has either positive or negative on sourcing, especially out of South America and the Western U.S.?

明白了。然後一些進入冬季的氣象預報現在再次預測另一個拉尼娜現象，甚至今年可能比去年更強。您能否提醒我們拉尼娜現象年，這對採購有何影響或對採購產生積極或消極的影響，尤其是在南美和美國西部以外的地區？

Yes. So this year, what you have seen is that the weather has been cloudier. So we have had bad weather. So it's a bit a little bit colder, more cloud, less illumination, which has then meant that production has come down in Ecuador and Colombia. So you see volumes down in those in those countries, and we have seen drought then in Western United States. And if that continues, I think you would see that trend then continuing.

是的。所以今年，你看到的是天氣變多云了。所以我們遇到了壞天氣。所以它有點冷，更多的雲，更少的照明，這意味著厄瓜多爾和哥倫比亞的產量下降了。因此，您會看到這些國家/地區的產量下降，而我們當時在美國西部也看到了乾旱。如果這種情況繼續下去，我想你會看到這種趨勢繼續下去。

(Operator Instructions) And our next question comes from Ben Bienvenu at Goldman Sachs.

（操作員說明）我們的下一個問題來自高盛的 Ben Bienvenu。

I was hoping to revisit the Fresh Vegetables category. I appreciate the color on kind of the exit rate for profitability this year, but you expect to be back to positive EBITDA in the fourth quarter. I'm curious, kind of putting a finer point on some of the comments you've made around mix shift and pricing for that business. When we think about the recovery or continued recovery of margins in 2023, are we -- are you expecting a recovery back to kind of what we saw in 2021? Or is it in the cards to get back to that kind of 3% margin rate even as the mix has shifted?

我希望重新審視新鮮蔬菜類別。我很欣賞今年盈利退出率的顏色，但您預計第四季度將回到正的 EBITDA。我很好奇，對您圍繞該業務的混合轉變和定價所做的一些評論提出了更好的觀點。當我們考慮到 2023 年利潤率的恢復或持續恢復時，我們是否——您是否期望恢復到我們在 2021 年看到的那種狀態？或者即使組合已經發生變化，是否有可能回到那種 3% 的保證金率？

I mean the target for us is to get back to the 2020.

我的意思是我們的目標是回到 2020 年。

Okay. So what -- if that's the target, I guess, is the path there to get back, is that a realistic target in 2023? Or is it -- would you expect that it takes longer to that just as we think about kind of calibrating our expectations on the recovery?

好的。那麼——如果這是目標，我猜，那是回歸的道路，那是 2023 年的現實目標嗎？或者是 - 您是否會期望在我們考慮校准我們對複甦的預期時需要更長的時間？

It's -- I understand the question. And we are putting all the actions in place that we feel and deem necessary to get back there, and that is the expectations that we are having on the division. And remember also that we have taken other actions already in this year that it's actually -- we were taking actions when it comes to the fresh pack, meaning the whole head products, the whole head ice brands and such. So we are also optimistic looking into next year on those products. And you have to remember the categories coming off from the very, very strong growth phase. The last 5 years, you have seen a CAGR of 5%. We see a dip right now, but we believe the underlying demand is there, and we believe that the consumers will return to the product even if we have had a small dip right now, some 5% in volume in the first half.

這是 - 我理解這個問題。我們正在採取所有我們認為並認為有必要回到那裡的行動，這就是我們對部門的期望。還要記住，我們在今年已經採取了其他行動，實際上是——我們在新鮮包裝方面採取了行動，這意味著整個頭部產品、整個頭部冰品牌等。因此，我們也對明年這些產品持樂觀態度。你必須記住來自非常非常強勁的增長階段的類別。過去 5 年，您看到了 5% 的複合年增長率。我們現在看到了下降，但我們相信潛在的需求是存在的，我們相信即使我們現在有小幅下降，消費者也會回到產品上，上半年的銷量下降了約 5%。

Okay. Great. And then a follow-up question on the pricing commentary that you made that you -- your expectations, I think, changed in part because of expected or less than the previously expected kind of pricing increases, I think is maybe what you noted. Are you expecting to continue to take price, maybe just in smaller doses going forward? Or how should we be thinking about kind of the posture that you all would take around price?

好的。偉大的。然後是關於您所做的定價評論的後續問題 - 我認為您的期望發生了變化，部分原因是預期的或低於先前預期的價格上漲，我認為這可能是您所指出的。您是否期望繼續採取價格，也許只是以較小的劑量前進？或者我們應該如何考慮你們所有人對價格的態度？

Yes, we are expecting to continue to take price in the categories, and we expect that the underlying inflation is there. And it's there for everyone, so we also expect the competition to do the same. So as we renegotiate contracts, we will push for price.

是的，我們預計將繼續在這些類別中定價，並且我們預計存在潛在的通貨膨脹。它適用於每個人，所以我們也希望比賽也能做到這一點。因此，當我們重新談判合同時，我們將推動價格。

At this time, there are no further questions. I'd now like to pass over to Johan Linden for any final remarks.

此時，沒有進一步的問題。我現在想請約翰·林登做最後的評論。

Well, then thanks for all of you for joining the call today and for the continued interest in Dole, and we are looking forward to speaking with you soon again. All the best.

那麼，感謝大家今天加入電話會議以及對 Dole 的持續興趣，我們期待很快再次與您交談。一切順利。