Descartes Systems Group Inc (DSGX) 2025 Q2 法說會逐字稿

Good afternoon, ladies and gentlemen, welcome to The Descartes Systems Group, quarterly results call. At this time, all lines are in a listen-only mode. Following the presentation, we will conduct a question-and-answer session. (Operator Instructions). This call is being recorded on Wednesday, September 4, of 2024.

下午好，女士們先生們，歡迎來到笛卡爾系統集團季度業績電話會議。此時，所有線路都處於只聽模式。演講結束後，我們將進行問答環節。 （操作員說明）。此電話錄音於 2024 年 9 月 4 日星期三進行。

I would now like to turn the call over to Scott Pagan. Please go ahead.

我現在想把電話轉給史考特·帕根。請繼續。

Thanks and good afternoon, everyone. Joining me on the call today are Ed Ryan, CEO; and Allan Brett CFO. And I trust that everyone has received a copy of our financial results press release that was issued earlier today and portions of today's call other than historical performance include statements of forward-looking information within the meaning of applicable securities laws. These statements are made under the Safe Harbor Provisions of those laws.

謝謝大家，下午好。今天和我一起參加電話會議的是執行長 Ed Ryan；和艾倫·布雷特首席財務長。我相信每個人都收到了我們今天早些時候發布的財務業績新聞稿的副本，並且今天電話會議中除歷史業績之外的部分內容包括適用證券法含義內的前瞻性信息聲明。這些聲明是根據這些法律的安全港條款做出的。

These forward-looking statements include statements related to our assessment of the current and future impact of geopolitical and economic uncertainty on our business and financial condition. Descartes operating performance, financial results and condition, Descartes gross margins and any growth in those gross margins, cash flow and use of cash business outlook, baseline revenues, baseline operating expenses and baseline calibration anticipated and potential revenue, losses and gains, anticipated recognition and expensing of specific revenues and expenses, potential acquisitions and acquisition strategy, cost reduction and integration initiatives and other matters that may constitute forward-looking statements.

這些前瞻性陳述包括與我們評估地緣政治和經濟不確定性對我們業務和財務狀況的當前和未來影響相關的陳述。笛卡爾經營業績、財務業績和狀況、笛卡爾毛利率和這些毛利率的任何增長、現金流量和現金使用業務前景、基線收入、基線營運費用和基線校準預期和潛在收入、損失和收益、預期確認和具體收入和支出的費用、潛在收購和收購策略、成本削減和整合舉措以及可能構成前瞻性陳述的其他事項。

These forward-looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance or achievements of Descartes to differ materially from the anticipated results, performance or achievements implied by such forward-looking statements. These factors are outlined in the press release and in the section entitled certain factors That may affect future results in documents filed and furnished with the Securities and Exchange Commission, the Ontario Securities Commission and other securities commissions across Canada, including our management's discussion and analysis filed today.

這些前瞻性陳述涉及已知和未知的風險、不確定性、假設和其他因素，可能導致笛卡爾的實際結果、業績或成就與此類前瞻性陳述所暗示的預期結果、業績或成就有重大差異。這些因素在新聞稿和題為「可能影響未來結果的某些因素」的部分中進行了概述，這些因素已提交給美國證券交易委員會、安大略省證券委員會和加拿大其他證券委員會提交和提供的文件中，包括我們管理層提交的討論和分析。

We provide forward-looking statements solely for the purpose of providing information about management's current expectations and plans relating to the future. You are cautioned that such information may not be appropriate for other purposes. We don't undertake or accept any obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in our expectations or any change in events, conditions, assumptions or circumstances on which any such statement is based except as required by law.

我們提供前瞻性陳述的目的只是為了提供有關管理層當前預期和未來計劃的資訊。請注意，此類資訊可能不適用於其他目的。我們不承擔或接受任何義務或承諾公開發布任何前瞻性陳述的任何更新或修訂，以反映我們的期望的任何變化或任何此類陳述所依據的事件、條件、假設或情況的任何變化，除非根據法律要求。

And with that, let me turn the call over to Ed.

接下來，讓我把電話轉給艾德。

Thanks, Scott, and welcome, everyone, to the call. We had an excellent first half of the year with record financial results this past quarter. We're excited to go over those with you and give you some perspective about the business environment we see right now. First, let me give you a roadmap for this call. I'll start by hitting some highlights of last quarter and some aspects of how our business performed.

謝謝斯科特，歡迎大家參加電話會議。我們上半年的業績非常出色，上季的財務業績創歷史新高。我們很高興能與您一起回顧這些內容，並向您提供有關我們目前所看到的商業環境的一些看法。首先，讓我為您提供本次通話的路線圖。首先，我將介紹上季度的一些亮點以及我們業務表現的一些方面。

I'll then hand it over to Allan, who will go over the Q2 financial results in more detail, and I'll then come back and provide an update on how we see the current business environment and how our business is calibrated as we enter Q3. And then we'll open it up to the operator to coordinate the Q&A portion of the call.

然後我會將其交給艾倫，他將更詳細地審查第二季度的財務業績，然後我將回來提供有關我們如何看待當前業務環境以及我們進入時如何校準我們業務的最新信息Q3。然後我們將其開放給接線員以協調通話的問答部分。

So let's get started by looking at the quarter that just ended July 31, key metrics we monitor include revenues, profits, cash flow from operations and returns on our investment. But this past quarter we again had record performance in each of those areas. Total revenues were up 17% from a year ago with service revenues up almost 20%. Net income and EPS were up 23% and 19%, respectively. Income from operations was up 17%, while adjusted EBITDA was up 12%. We generated $52 million of cash from operations representing 86% of adjusted EBITDA.

那麼，讓我們先看看剛結束的 7 月 31 日的季度，我們監控的關鍵指標包括收入、利潤、營運現金流和投資回報。但上個季度我們在各個領域再次取得了創紀錄的表現。總營收較去年同期成長 17%，其中服務收入成長近 20%。淨利潤和每股收益分別成長 23% 和 19%。營運收入成長 17%，調整後 EBITDA 成長 12%。我們從營運中產生了 5,200 萬美元現金，佔調整後 EBITDA 的 86%。

At the end of the quarter, we had $227 million of cash and were debt-free with an undrawn $350 million line of credit. We remain well-capitalized cash generating debt-free and ready to continue to invest in our business. We believe a company like ours is well positioned to continue to thrive in market conditions like these because we've got good organic growth plus the experience and capital capacity to execute on acquisitions. We had a good quarter of organic growth in our core services revenues.

截至本季末，我們擁有 2.27 億美元現金，無債務，還有 3.5 億美元未動用的信貸額度。我們資本充足，現金充足，無債務，並準備繼續投資我們的業務。我們相信像我們這樣的公司有能力在這樣的市場條件下繼續蓬勃發展，因為我們擁有良好的有機成長以及執行收購的經驗和資本能力。我們的核心服務收入在本季實現了良好的有機成長。

So I want to highlight some of the drivers of that. First is real-time visibility. Just a refresher on this, a large part of shipping is people moving goods on other people's assets, whether they be planes, trucks, rail or boat. There may also be intermediaries involved in the range of shipments we're making required filings, including freight brokers, third, party logistics providers and customs brokers of all those access modes of transportation, data sources, locations and parties involved. It can be challenging to know where shipment is and knowing the location of a shipment and when that's going to arrive is critical to serving your customer and running your business.

所以我想強調一些驅動因素。首先是即時可見性。回顧這一點，運輸的很大一部分是人們利用他人的資產運輸貨物，無論是飛機、卡車、鐵路還是輪船。我們正在提交所需備案的運輸範圍中也可能涉及中介機構，包括貨運經紀人、第三方物流提供者和所有這些運輸方式、資料來源、地點和相關方的報關行。了解貨物的位置可能具有挑戰性，而了解貨物的位置以及貨物何時到達對於服務客戶和營運業務至關重要。

Our visibility and transportation management solutions, which include MacroPoint, are increasingly important for our customers in this area. These solutions contributed to solid growth in the quarter for reasons, including first, our solutions are better attracting those customers pay based on the number of loads that are tracked by our solutions. So we're aligned with our customers on doing what we can to connect as many carriers and intermediaries as possible to get location information on loans.

我們的視覺性和運輸管理解決方案（包括 MacroPoint）對於該領域的客戶來說越來越重要。這些解決方案促成了本季的穩健成長，原因包括首先，我們的解決方案更好地吸引了那些根據我們的解決方案追蹤的負載​​數量付費的客戶。因此，我們與客戶保持一致，盡我們所能連接盡可能多的營運商和中介機構，以獲取貸款的位置資訊。

We've launched new carrier self connect tools that have helped our customers get even more location coverage across their network of carriers. We've also made investments in customer success personnel to help maximize the number of loads with full visibility. The outcome has been a greater percentage of loads, track, better data, happier customers and strong growth. Second issue is we're winning more deals and seeing strong demand for visibility.

我們推出了新的營運商自連接工具，幫助我們的客戶在其營運商網路中獲得更多的位置覆蓋範圍。我們還對客戶成功人員進行了投資，以幫助最大限度地提高負載數量並具有完全可見性。結果是更高的負載百分比、軌道、更好的數據、更滿意的客戶和強勁的成長。第二個問題是我們贏得了更多交易並且看到了對可見性的強烈需求。

Real-time visibility market is not without competitors. However, we're having good success at securing new customers and welcoming back some old ones because our commitment to tracking success. You have a broader network that's across more modes of transportation competitors, and that's been recognized by customers as they choose their visibility solutions for the future. Our customers also take comfort in our reliability and that we're operating the business they know will be around to serve them for the long term.

即時可視性市場並非沒有競爭對手。然而，由於我們致力於追蹤成功，我們在吸引新客戶和歡迎一些老客戶方面取得了巨大成功。您擁有一個涵蓋更多運輸方式競爭對手的更廣泛的網絡，並且在客戶選擇未來的可視性解決方案時，這一點得到了客戶的認可。我們的客戶也對我們的可靠性感到放心，我們正在經營他們知道將長期為他們服務的業務。

The third issue of visibility is embedded in more detail. Our solutions from customers come to us just for visibility, but others are using the card solutions and are looking at visibility as an add-on to what they're already doing. Each time, we expand our solution set, including by way of acquisitions. We look for how we can better visibility into the new solutions to provide an easier mechanism for our customers to track their loads.

第三個問題的可見性更加詳細。客戶向我們提供的解決方案只是為了提高可見性，但其他人正在使用卡片解決方案，並將可見性視為他們已經在做的事情的附加功能。每次，我們都會擴展我們的解決方案集，包括透過收購的方式。我們尋求如何更好地了解新解決方案，以便為我們的客戶提供更簡單的機制來追蹤其負載。

We believe that our best source of business is often our existing expansive and supportive customer base. So we're making dedicated efforts to make visibility easier for those customers second big issue is our routing scheduling, mobile solutions, and that contributed to our revenue success this quarter. These solutions are principally kind of for when you're managing your own fleet of vehicles rather than hiring space on other people's vehicles.

我們相信，我們最好的業務來源往往是我們現有的廣泛且支持性的客戶群。因此，我們正在努力讓這些客戶更容易了解第二大問題是我們的路線安排和行動解決方案，這為我們本季的營收成功做出了貢獻。這些解決方案主要適用於您管理自己的車隊而不是在其他人的車輛上租用空間時。

We believe we're the most experienced company in the US market and have the premier routing and scheduling solutions to offer our customers in this area have faced recent challenges, including rising labor costs, challenging challenges in securing data, rising fuel prices and customer demand for accurate delivery windows.

我們相信我們是美國市場上經驗最豐富的公司，擁有一流的路線和調度解決方案，可以為該領域的客戶提供最近面臨的挑戰，包括勞動力成本上升、數據安全方面的挑戰、燃油價格上漲和客戶需求以獲得準確的交貨窗口。

This has contributed to strong demand for new customer projects and existing customers return, we retuning their solution. We've also been innovative in this market, which has contributed to our market leadership. We recently launched a new generation route planning solution that is being rolled out by customers. And we've made investments in our solutions through acquisitions of safety solutions from Ground Cloud and final-mile delivery tracking from locals all factors that contributed to good growth in this area.

這促成了對新客戶專案的強勁需求和現有客戶的回歸，我們重新調整了他們的解決方案。我們在這個市場上也不斷創新，這有助於我們保持市場領先地位。我們最近推出了新一代路線規劃解決方案，並由客戶推出。我們透過從 Ground Cloud 購買安全解決方案以及從當地人那裡進行最後一英里交付跟踪，對我們的解決方案進行了投資，所有這些因素都促進了該領域的良好增長。

The third area is global threat intelligence once again, saw good growth in the global threat intelligence solutions and our Business Solutions generally fall into three buckets. First bucket is competitive intelligence or data mining solutions, provide information on trade flows, historical classifications of goods and other logistics and supply chain intelligence. This information can be used to help make decisions about your own supply chain, but also to see how competitive you are with other companies supply chain, recent attention on the efficiency of supply chain to help drive demand in this area.

第三個領域是全球威脅情報，全球威脅情報解決方案成長良好，我們的業務解決方案總體分為三個部分。第一桶是競爭情報或資料探勘解決方案，提供有關貿易流、商品歷史分類以及其他物流和供應鏈情報的資訊。這些資訊可以用來幫助做出有關您自己的供應鏈的決策，還可以了解您的供應鏈與其他公司的競爭力如何，最近對供應鏈效率的關注有助於推動這方面的需求。

In addition, our data is front and center in many leading business publications as a source for data about logistics and supply chains, which has also been a good demand driver for us, such a bucket of tariff and duty data to make intelligent shipping system. We provide up-to-date data about tariff and duty rates and rules around the world, which can be used by leading global trade management systems to help run international supply chain.

此外，我們的數據作為物流和供應鏈數據的來源在許多領先的商業出版物中處於前沿和中心位置，這對我們來說也是一個很好的需求驅動力，這樣的關稅和關稅數據可以用來建構智慧運輸系統。我們提供有關世界各地關稅和稅率以及規則的最新數據，領先的全球貿易管理系統可以使用這些數據來幫助運營國際供應鏈。

We've seen an increased level of changes in tariffs and duties, principally as a consequence of geopolitical tensions and trade disputes. This has changed the design many supply chains has increased the importance of having accurate and timely information like ours.

我們看到關稅和關稅的變化程度加大，這主要是地緣政治緊張局勢和貿易爭端的結果。這改變了許多供應鏈的設計，提高了像我們這樣擁有準確、及時資訊的重要性。

The third bucket is compliance solutions, help our customers make sure they're not shipping things to people. It should be maybe to specific people to specific countries to specific geographies or in some cases, specific goods being shipped. These restrictions have expanded and increased in complexity as the geopolitical tensions have increased and trade disputes have emerged. In addition, governments in the larger economy flip in that state have increased the resources dedicated to insurance to ensure compliance and have levied substantial financial penalties and firms not taken compliance seriously. We've continued to see good demand for these complex solutions as a result.

第三個方面是合規解決方案，幫助我們的客戶確保他們不會向人們運送東西。它可能應該針對特定的人、特定的國家、特定的地理位置，或在某些情況下，運送特定的貨物。隨著地緣政治緊張局勢的加劇和貿易爭端的出現，這些限制已經擴大並變得更加複雜。此外，該州較大經濟體的政府增加了專門用於保險的資源，以確保合規性，並對不認真對待合規性的公司處以巨額經濟處罰。因此，我們繼續看到這些複雜解決方案的良好需求。

Next area, e-commerce, this continues to be a growing market and part of our business. We've made investments into these solutions with additional leadership and also by way of acquisition with our purchase of XPS. Within the past year, parcel market has seen some recent challenges with labor challenges at UPS changing service preferences at the US Postal Service and FedEx restructuring.

下一個領域是電子商務，這仍然是一個不斷成長的市場，也是我們業務的一部分。我們透過額外的領導力以及透過收購 XPS 的方式對這些解決方案進行了投資。在過去的一年裡，包裹市場最近遇到了一些挑戰，包括 UPS 的勞動力挑戰、美國郵政服務的服務偏好的改變以及聯邦快遞的重組。

However, our share of the market continues to increase as we work with partners to find the most efficient way for our customers to get their deliveries, make so good acquisition inorganic contribution in the quarter. We're very happy with how the business performed in the quarter and in particular, the organic growth, the business was able to produce a few comments on our two most recent acquisition additions, the first of all on Ground Cloud. We combined with Ground Cloud February ground clients, particularly strong safety and compliance solutions to help identify safety incidents faced by drivers and provide responsive and targeted video training on challenges driver space.

然而，隨著我們與合作夥伴合作，為客戶找到最有效的交付方式，我們的市場份額持續增加，並在本季度做出了良好的收購無機貢獻。我們對本季業務的表現非常滿意，特別是有機成長，該業務能夠對我們最近的兩項收購（首先是 Ground Cloud）發表一些評論。我們與 Ground Cloud 二月地面客戶結合，特別提供強大的安全和合規解決方案，幫助識別駕駛員面臨的安全事件，並針對駕駛員空間挑戰提供響應迅速且有針對性的視訊培訓。

They also help companies manage delivery obligations as they have as they have as subcontractors to other delivery brands such as FedEx. This was one of our larger acquisitions. And when we first combined, we indicated we anticipated some impact overall on our adjusted EBITDA margin, which we saw in Q1. We've made good progress on integration and actually saw a slight uptick in aggregate adjusted EBITDA margin this quarter. So we're hoping that [builds] well for the future.

他們還幫助公司管理交付義務，就像他們作為聯邦快遞等其他交付品牌的分包商一樣。這是我們較大的收購之一。當我們第一次合併時，我們表示我們預計會對我們在第一季看到的調整後 EBITDA 利潤率產生總體影響。我們在整合方面取得了良好進展，實際上本季調整後的 EBITDA 利潤總額略有上升。因此，我們希望未來能夠順利發展。

Finally, FedEx has recently announced that it may increase the number of shipments that will move to the independent contractor network. So we saw some good initial improved demand for that. Certainly, acquisitions logos. This business provides final-mile visibility on deliveries certainly used to watch your Uber driver food delivery vehicle come down the street to your house locals technology, replicate that experience for delivery of other goods.

最後，聯邦快遞最近宣布可能會增加轉移到獨立承包商網路的貨件數量。因此，我們看到了一些良好的初步需求改善。當然，收購標誌。這項業務提供最後一英里的送貨可見性，當然可以用來觀察您的優步司機送餐車沿著街道到達您家的本地技術，複製這種體驗來送貨其他貨物。

This was a key investment in around and scheduling mobile space, something around customers' need, and they seek to provide a better delivery experience for their own customers. This investment was critical to some of our new customers trusting their fleet management to their cart.

這是圍繞和調度移動空間的關鍵投資，圍繞客戶的需求，他們尋求為自己的客戶提供更好的交付體驗。這項投資對於我們的一些將車隊管理託付給購物車的新客戶來說至關重要。

Let me just summarize I hand it over to Alan to give full financial details on the quarter, we had record financial results. The business performed well, and we believe that's a good reflection of the value that our customers continue to get from our solutions and the hard work that our team continues to put in for our customers. We ended the quarter with $227 million in cash, $350 million in available credit and a market opportunity where we continued to grow the business for our customers, both organically and through acquisitions.

讓我總結一下，我將其交給艾倫提供本季度的完整財務詳細信息，我們的財務業績創歷史新高。業務表現良好，我們相信這很好地反映了我們的客戶繼續從我們的解決方案中獲得的價值以及我們的團隊繼續為客戶付出的辛勤工作。本季結束時，我們擁有 2.27 億美元的現金、3.5 億美元的可用信貸以及我們繼續透過有機方式和收購為客戶發展業務的市場機會。

We remain focused on profitable growth so that we continue to ensure our customers have access to our stable and growing technology partner that can help them with their challenges well into the future with many thanks to all the Descartes team members for everything they've done to contribute to a great quarter and continue to have our business in an enviable position for future success.

我們仍然專注於獲利成長，以便繼續確保我們的客戶能夠獲得我們穩定且不斷發展的技術合作夥伴，幫助他們應對未來的挑戰，非常感謝所有笛卡爾團隊成員為他們所做的一切為一個偉大的季度做出貢獻，並繼續讓我們的業務處於令人羨慕的位置，以實現未來的成功。

And with that, I'll turn the call over to Allan to go through our Q2 financial results in more detail.

接下來，我會將電話轉給艾倫，以便更詳細地了解我們第二季的財務表現。

Thanks, Ed. As indicated, I'm going to walk you through our financial highlights for our second quarter, which ended on July 31. We are pleased to report record quarterly revenue of $143.4 million this quarter, an increase of 17% from revenue of $123.0 million in Q2 last year, while revenue from new acquisitions, including the ground cloud acquisition completed earlier in the year.

謝謝，艾德。如前所述，我將向您介紹我們於7 月31 日結束的第二季度的財務亮點。了17%。

As I just mentioned, contributed nicely to this growth. Similar to the first quarter and really the last several years, growth in revenue from new and existing customers from our existing solutions was the main driver in growth this quarter when compared to last year.

正如我剛才提到的，這對這種成長做出了很好的貢獻。與第一季和過去幾年類似，與去年相比，我們現有解決方案的新客戶和現有客戶帶來的收入成長是本季成長的主要推動力。

Looking further at our numbers, our revenue mix in the quarter continued to be very strong, with services revenue increasing 19% to $130.7 million or 91% of total revenue compared to $109.4 million or 89% of total revenue in the same quarter last year. Services revenue was also up nicely sequentially, increasing just over 5% from the first quarter this year as we continue to help our customers expand with new services and additional volumes, removing the impact of recent acquisitions.

進一步觀察我們的數據，我們本季的營收組合仍然非常強勁，服務收入成長了 19%，達到 1.307 億美元，佔總營收的 91%，而去年同期為 1.094 億美元，佔總營收的 89%。服務收入也環比增長，比今年第一季增長了 5% 以上，因為我們繼續幫助客戶透過新服務和額外數量擴展，消除了最近收購的影響。

On a like-for-like basis, we would estimate that our growth in services revenue from new and existing customers would have been just over 9% for the quarter when compared to the same quarter last year, similar to the results we saw in Q1 this year, license revenue came in at $1.4 million or just 1% of revenue in the quarter, down from license revenue of $3.3 million in the second quarter last year as we had a couple of larger than normal license deals closed in the second quarter last year.

與去年同期相比，我們預計本季來自新客戶和現有客戶的服務收入成長將略高於 9%，這與我們在第一季度看到的結果類似今年，授權收入為140 萬美元，僅佔本季收入的1%，低於去年第二季330 萬美元的授權收入，因為去年第二季我們完成了幾筆比正常情況更大的授權交易年。

While professional services and other revenue came in at $11.3 million or 8% of revenue, up approximately 10% from revenue of $10.3 million in Q2 last year. Mainly this was mainly as a result of recent acquisitions, including Ground Cloud. Gross margin for the second quarter was 76% of revenue for the quarter at pretty consistent with gross margins we realized both in the first quarter this year and the second quarter last year.

專業服務和其他收入為 1,130 萬美元，佔營收的 8%，比去年第二季的 1,030 萬美元收入成長約 10%。這主要是由於最近的收購所致，其中包括 Ground Cloud。第二季的毛利率佔本季營收的 76%，與我們今年第一季和去年第二季實現的毛利率相當一致。

Operating expenses increased by approximately 19% in the second quarter over the same period last year. And this was primarily related to the impact of recent acquisitions, including Ground Cloud, but also from additional labor related costs as we continue to invest in various areas of our business to prepare for future growth. So as a result of both revenue growth offset slightly by our planned cost increases in the business.

第二季營運費用較去年同期成長約19%。這主要與最近收購（包括 Ground Cloud）的影響有關，但也與額外的勞動力相關成本有關，因為我們繼續投資於業務的各個領域，為未來的成長做好準備。因此，我們計劃的業務成本增加略微抵消了收入成長。

We continue to see strong adjusted EBITDA growth of 12% to a record $60.6 million, up from $54.0 million in Q2 last year. As a percentage of revenue, adjusted EBITDA came in at 42.3% of revenue, down from [30], 43.9% of revenue in Q2 last year. And as mentioned in Q1, this is once again primarily related to the acquisition of Ground Cloud earlier in the year as it came into Descartes with much lower EBITDA ratios than the rest of our business.

我們繼續看到調整後 EBITDA 強勁成長 12%，達到創紀錄的 6,060 萬美元，高於去年第二季的 5,400 萬美元。作為收入的百分比，調整後的 EBITDA 佔營收的 42.3%，低於[30]，去年第二季佔營收的 43.9%。正如第一季所提到的，這再次主要與今年稍早收購 Ground Cloud 有關，因為它以比我們其他業務低得多的 EBITDA 比率進入 Descartes。

We should note that our adjusted EBITDA ratio as a percentage of revenue did increase slightly in Q2 when compared to Q1 of this year. As we've already started to work at improving the profitability on the ground club business, consistent with our plans, as Ed mentioned earlier, as a result of the bulk of the above net income under GAAP came in at $28.1 million or $0.32 per diluted common share in the second quarter, an increase of 23% from net income of $22.9 million or $0.27 per diluted common share in the second quarter last year.

我們應該注意到，與今年第一季相比，第二季調整後的 EBITDA 佔營收的百分比確實略有上升。正如艾德之前提到的，我們已經開始努力提高地面俱樂部業務的盈利能力，這與我們的計劃一致，因為上述大部分按照 GAAP 計算的淨利潤為 2810 萬美元，稀釋後每股收益為 0.32 美元第二季普通股淨利較去年第二季2,290 萬美元成長23%，即稀釋後普通股每股收益0.27 美元。

If we look at our operating results for the first half of the year, the trends stayed the same. Revenue came in at $280.0 million, an increase of 17% from revenue of $239.4 million in the first six months last year. For the six months, year-to-date, adjusted EBITDA came in at $118.3 million or 42.3% of revenue, up just over 12% from $105.2 million or 43.9% of revenue last year.

如果我們看看上半年的經營業績，趨勢維持不變。營收為 2.80 億美元，比去年前 6 個月的 2.394 億美元營收成長 17%。今年迄今的六個月，調整後 EBITDA 為 1.183 億美元，佔營收的 42.3%，比去年的 1.052 億美元，佔營收的 43.9% 成長了 12% 多一點。

Net income for the six month year-to-date period increased 25% coming in at $57.5 million, or $0.66 per diluted common share compared to $46.0 million or $0.53 per diluted common share in the first half of last year, again, with higher operating profits being partially offset by higher with these strong operating results and continued strong accounts receivable collections.

今年迄今六個月的淨利潤成長了 25%，達到 5,750 萬美元，即每股稀釋普通股 0.66 美元，而去年上半年為 4,600 萬美元，即每股稀釋普通股 0.53 美元。和持續強勁的應收帳款催收部分抵銷了利潤的成長。

Cash flow generated from operations came in at $52.0 million or 86% of adjusted EBITDA in the second quarter, an increase of 12% from operating cash flow of $46.4 million or also 86% of adjusted EBITDA in the same quarter last year. For the six months, year to date, operating cash flow has been $100.9 million or 85% of our adjusted EBITDA, up 11% from $90.8 million in the first half of last year.

第二季營運產生的現金流為 5,200 萬美元，佔調整後 EBITDA 的 86%，比去年同期的營運現金流 4,640 萬美元（佔調整後 EBITDA 的 86%）增加了 12%。今年迄今的六個月中，營運現金流為 1.009 億美元，占我們調整後 EBITDA 的 85%，比去年上半年的 9,080 萬美元成長了 11%。

And we should mention, as always, going forward, we expect to continue to see strong cash flow conversion and generally expect cash from operations to be between 80% to 90% of our adjusted EBITDA in the periods ahead, subject any unusual fluctuations or future changes in contingent consideration payments that we'll discuss later.

我們應該一如既往地提到，展望未來，我們預計將繼續看到強勁的現金流轉換，並且普遍預計未來一段時期來自營運的現金將佔調整後EBITDA 的80% 至90%，無論是否出現任何異常波動或未來我們稍後將討論或有對價付款的變化。

As I comment on our outlook for the second half of the year.

正如我評論我們對下半年的展望。

So overall, we're once again pleased with our operating results in the quarter as strong organic growth and solid performance from our recent acquisitions resulted in 17% growth in revenue and a 12% increase in adjusted EBITDA for the quarter.

總體而言，我們再次對本季的經營業績感到滿意，因為強勁的有機成長和近期收購帶來的穩健業績導致本季營收成長 17%，調整後 EBITDA 成長 12%。

If we turn our attention to the balance sheet, our cash balances totaled $227 million at the end of July, an increase of approximately $45 million from the end of the first quarter in April. While we generated $52 million in cash flow from operations. We also used $6 million of our existing cash balances to complete an earn-out or contingent consideration payment on a past acquisition.

如果我們將注意力轉向資產負債表，截至 7 月底，我們的現金餘額總計 2.27 億美元，比 4 月第一季末增加了約 4,500 萬美元。我們的營運現金流為 5,200 萬美元。我們也使用現有現金餘額中的 600 萬美元來完成過去收購的獲利或或有對價付款。

While also adding $2 million in capital additions during the quarter. As a result, we currently have our $227 million of cash as well as a $350 million line of credit available under our credit facility available to deploy towards future acquisitions. So we continue to be well capitalized to allow us to consider all opportunities in our market, consistent with our business.

同時本季也增加了 200 萬美元的資本補充。因此，我們目前擁有 2.27 億美元的現金以及 3.5 億美元的信貸額度，可用於未來的收購。因此，我們繼續擁有充足的資本，使我們能夠考慮市場上與我們的業務一致的所有機會。

As we turn our attention to the second half of fiscal 2024, we should note the following after incurring approximately $3.4 million in capital additions in the first half of the year, we expect to incur approximately $2 million to $3 million in additional CapEx capital additions for the balance of the year at this point, we currently expect the second half of the year will use approximately $22.8 million of our cash to pay additional contingent contingent consideration payments on two acquisitions well, the entire $22.8 million estimated contingent consideration to be paid is now accrued for on our balance sheet $12.7 million of this balance relates to the portion of the earn-out arrangements that were accrued for at the time of the acquisition and will reduce reflected in cash flow from financing activities.

當我們將注意力轉向 2024 財年下半年時，我們應該注意以下事項：在上半年增加了約 340 萬美元的資本後，我們預計將增加約 200 萬至 300 萬美元的資本支出就今年的剩餘時間而言，我們目前預計下半年將使用約2,280 萬美元的現金來支付兩項收購的額外或有對價，預計將支付的全部2,280 萬美元或有對價現已支付我們的資產負債表上應計的餘額中有1,270 萬美元涉及收購時應計的獲利安排部分，並將減少反映在融資活動的現金流量中。

While the remaining balance of approximately $10 million will be reflected in cash flow from operating activities when paid as a result of these acquisitions have been better than our initial expectations after incurring amortization costs of $30.2 million in the first half of the year. We expect amortization expense will be approximately $29.8 million for the second half of the year with this figure being subject to adjustment for foreign exchange changes and future acquisitions.

而剩餘的約 1000 萬美元餘額將在支付時反映在經營活動現金流中，因為這些收購在上半年產生了 3020 萬美元攤銷成本後好於我們最初的預期。我們預計下半年攤銷費用約為 2,980 萬美元，該數字將根據外匯變化和未來收購進行調整。

Our income tax rate for the second quarter came in at approximately 27% of pretax income, which is right around our blended statutory tax rate. Looking into the second half of the year, we currently expect our tax rate will continue to be in the range of 25% to 30% of our pretax income or somewhere either side of our statutory blended rate. However, as always, we should state that our tax rate may fluctuate quarter to quarter from onetime items that may arise as we operate internationally across multiple countries.

我們第二季的所得稅稅率約為稅前收入的 27%，正好接近我們的混合法定稅率。展望今年下半年，我們目前預計稅率將繼續在稅前收入的 25% 至 30% 範圍內，或在法定混合稅率的兩側。然而，與往常一樣，我們應該聲明，我們的稅率可能會因我們在多個國家開展國際業務時可能出現的一次性項目而按季度波動。

And finally, after incurring stock-based compensation expense of $7.4 million in the first half of this year, we currently expect stock compensation will be approximately $9.3 million for the balance of the year, subject to any forfeitures of stock options or share gains.

最後，在今年上半年產生了 740 萬美元的股票薪酬費用後，我們目前預計今年剩餘時間的股票薪酬約為 930 萬美元，前提是股票選擇權或股票收益被沒收。

And with that, I'll turn it back over to Ed to wrap up with some closing commentary as well as our baseline calibration for Q3.

至此，我將把它轉回給 Ed，以一些結束評論以及我們對第三季度的基線校準作為總結。

Great. Thanks Allan. With the Q3 a month, and we remain confident in our business, but cautious about the broader economic circumstances and various statistics and commentary relating to the supply chain and logistics markets.

偉大的。謝謝艾倫。距離第三季還有一個月，我們對我們的業務仍然充滿信心，但對更廣泛的經濟環境以及與供應鏈和物流市場相關的各種統計數據和評論持謹慎態度。

On the broader economic front, we see continued high interest rates, Pervasive conflict in the Ukraine, labor availability challenges and various recessionary pressures and economic discussions in the supply chain and logistics markets.

在更廣泛的經濟方面，我們看到持續的高利率、烏克蘭普遍存在的衝突、勞動力供應挑戰以及供應鏈和物流市場的各種衰退壓力以及經濟討論。

Here's a few things to note. First the shipping volumes, shipping volumes across various modes of transportation are below their pandemic highs and more closely tracking pre-pandemic trends. In addition, there are some current challenges such as the reduced flow through the Panama Canal caused by low water levels that could impact shipping alternatives.

這裡有幾點要注意。首先是運輸量，各種運輸方式的運輸量均低於疫情高點，且更接近疫情前的趨勢。此外，目前還存在一些挑戰，例如低水位導致巴拿馬運河流量減少，這可能會影響航運替代方案。

Second, as retailer inventories, there's high levels of retailer inventories potentially impacting fall replenishment cycles. Inventories aren't decreasing plan retailers, matching demand with replenishment and potentially carrying more safety stock.

其次，就零售商庫存而言，零售商庫存水準較高，可能會影響秋季補貨週期。庫存並沒有減少計劃零售商的數量，而是將需求與補貨相匹配，並可能持有更多的安全庫存。

The third is consumer demand. There's uncertain consumer demand coming into this peak buying season. In particular, it's uncertain how spending house will split between durable goods and services and experiences. Overall, US consumer spending is still high, but this caution, as we approach the holiday season forces us and capacities left the market. The US truck market has seen some capacity come out of the market with the recent bankruptcy of [yellow] market continues to adjust the post-pandemic volumes and it's possible more capacity will leave in Air & Sea capacity adjustments evident with less reliance on pure air freighters.

三是消費者需求。進入這個購買旺季，消費者需求存在不確定性。特別是，尚不確定支出將如何在耐用品、服務和體驗之間分配。總體而言，美國消費者支出仍然很高，但隨著假期臨近，這種謹慎態度迫使我們和產能離開市場。隨著最近[黃色]市場的破產，美國卡車市場已經看到一些運力退出市場，繼續調整大流行後的運量，並且空運和海運運力調整中可能會留下更多運力，減少對純空氣的依賴貨輪。

This additional trade restrictions are continuing to be new restrictions announced principally relating to the war in Ukraine and in connection with burgeoning trade tensions between the US and China. Some new restrictions have been announced with respect to investment in trade in chip manufacturing, AI and Quantum Technology.

這些額外的貿易限制仍然是宣布的新限制，主要與烏克蘭戰爭以及中美之間日益加劇的貿易緊張局勢有關。針對晶片製造、人工智慧和量子技術的貿易投資宣布了一些新的限制。

These restrictions can be positive for our global threat intelligence telesales business, but can also impact freight volumes because of the labor challenges. Labor negotiations have created challenges for UPS West Coast port and yellow and may impact other unionized supply chain players.

這些限制可能對我們的全球威脅情報電話銷售業務產生正面影響，但也可能因勞動力挑戰而影響貨運量。勞工談判給 UPS 西海岸港口和黃色帶來了挑戰，並可能影響其他工會供應鏈參與者。

Next, there some logistics participants planning for a more muted peak season. General commentary from logistics participants is bracing for lower volumes in the second half of the year with some companies taking proactive cost reduction activities. This is illustrative of the pervasive sentiment of caution.

接下來，一些物流參與者計劃度過一個更平靜的旺季。物流參與者的普遍評論是，由於一些公司採取了積極的成本削減活動，預計下半年銷售將會下降。這說明了普遍存在的謹慎情緒。

And then finally, distribution of parcel volumes among larger marketplaces is certain, as I mentioned earlier, UPS has some labor challenges, which may have resulted in some partial buying cautiously being redirected to other players. Fedex has publicly indicated it will be moving more parcel volume to its ground division with independent contractors and away from its Express division using employees. US Postal Service has implemented various new service adjustments as it seeks to compete, and Amazon has announced the three entering the parcel delivery business.

最後，包裹量在較大市場之間的分配是確定的，正如我之前提到的，UPS 面臨一些勞動力挑戰，這可能導致部分購買謹慎地轉向其他參與者。聯邦快遞已公開表示，將把更多的包裹數量轉移到由獨立承包商組成的地面部門，並由員工從快遞部門轉移。美國郵政局為了競爭而實施了各種新的服務調整，亞馬遜也宣布三者進入包裹遞送業務。

All of this combines to provide a very competitive environment with uncertainty as to how the volumes will shake out among the various providers. So those are some of the things we're hearing from our customers and seeing in our business, things that also inform our calibration for the quarter. Our business is designed to be predictable and consistent. We believe stability and reliability are valuable to our customers, employees and our broader stakeholders to deliver this consistency.

所有這些結合在一起，提供了一個非常競爭的環境，並且不確定各個提供者之間的銷售將如何變化。這些是我們從客戶那裡聽到的以及在我們的業務中看到的一些事情，這些事情也為我們對本季的校準提供了資訊。我們的業務旨在實現可預測且一致。我們相信穩定性和可靠性對於我們的客戶、員工和更廣泛的利害關係人來說非常有價值，以實現這種一致性。

We continue to operate from the following principles. Our long-term plan is for our business to grow adjusted EBITDA at 10% to 15% annually with growth through a combination of organic growth and acquisitions. We take a neutral party approach to building and operating solutions on our global logistics network. We don't favor any particular party. We run our business for all supply chain participants, connecting shippers, carriers, logistics, service providers and customs authorities.

我們繼續按照以下原則開展營運。我們的長期計劃是透過有機成長和收購相結合的方式，使我們的業務調整後 EBITDA 每年增長 10% 至 15%。我們採取中立方的方式在我們的全球物流網路上建立和營運解決方案。我們不偏袒任何特定政黨。我們為所有供應鏈參與者開展業務，連接托運人、承運人、物流、服務提供者和海關當局。

When we overperform, we tried to reinvest that overperformance back into our business to focus on recurring revenues and establishing relationships with customers for life, and we thrive on operating a predictable business that allows us forward visibility to our revenues and investment paybacks in our Q2 report and provided a comprehensive description of baseline revenues, baseline calibration and their limitations as of August 1, 2023, using a foreign exchange rate of CAD0.75, EUR1.10 and GBP1.28.

當我們表現出色時，我們試圖將這種表現重新投資回我們的業務，專注於經常性收入並與客戶建立終身關係，並且我們透過經營可預測的業務而蓬勃發展，這使我們能夠在第二在季度報告中提前了解我們的收入和投資回報並使用 0.75 加元、1.10 歐元和 1.28 英鎊的外匯匯率，全面描述了截至 2023 年 8 月 1 日的基準收入、基準校準及其限制。

We estimate that our baseline revenues for the third quarter of 2024 are approximately $124 million, and our baseline operating expenses are approximately $78 million. We consider this to be our baseline adjusted EBITDA calibration of approximately $46 million for the third quarter of 2024 or approximately 37% of our baseline revenues as at August 1, 2023, we continue to expect to operate in an adjusted EBITDA operating margin range of 40% to 45%.

我們估計 2024 年第三季的基準收入約為 1.24 億美元，基準營運費用約為 7,800 萬美元。我們認為這是我們 2024 年第三季約 4,600 萬美元的基準調整後 EBITDA 校準，或截至 2023 年 8 月 1 日基準收入的約 37%，我們繼續預計調整後 EBITDA 營業利潤率範圍為 40 % 至45%。

Our margin will vary in that range, given such things as foreign exchange movements and the impact of acquisitions as we integrate them into our business last quarter around path ground cloud impacted our margin, low start to the integration work to bring it up to our desire to see our contribution levels. The integration activities have gone well.

考慮到外匯波動和收購的影響等因素，我們的利潤率將在這個範圍內變化，因為我們上個季度將它們整合到我們的業務中，地面雲影響了我們的利潤率，整合工作的起步較低，無法達到我們的期望查看我們的貢獻水平。整合活動進展順利。

We've already seen some margin improvement in Q2, and we're planning for some additional margin improvement going forward, absent any other acquisition activity, we've got lots of exciting things planned in our business that remains uncertain, broader economic and supply chain environment. But we believe our [proven] track record of execution, solid capital structure and customer focus will serve us well thanks, everyone, for joining us on the call today. As always, we're available to talk to you about our business in whatever manner is most convenient for you. And with that, operator, I'll turn it over to you for questions.

我們已經看到第二季度的利潤率有所改善，並且我們計劃未來進一步提高利潤率，如果沒有任何其他收購活動，我們的業務中計劃了許多令人興奮的事情，但這些事情仍然不確定，更廣泛的經濟和供應連鎖環境。但我們相信，我們的[經過驗證的]執行記錄、堅實的資本結構和以客戶為中心將為我們服務，感謝大家今天加入我們的電話會議。一如既往，我們可以以您最方便的方式與您討論我們的業務。那麼，接線員，我將把它交給你提問。

Thank you. Ladies and gentlemen, we will now conduct the question and answer session. (Operator Instructions) Matt Pfau, William Blair.

謝謝。女士們、先生們，我們現在進行問答環節。 （操作員說明）Matt Pfau，William Blair。

Great. Thanks, guys. But I wanted to follow up on some of the comments you made about potential headwinds in the back half of the year here. How should we think about those in terms of the potential impact on your business. The part of your business is transaction based, but it's not as simple as just being tied to shipping volumes. So how do we think through the potential puts and takes there in terms of the impact on your revenue?

偉大的。謝謝，夥計們。但我想跟進您對今年下半年潛在阻力的一些評論。我們應該如何考慮這些對您業務的潛在影響。您的業務部分是基於交易的，但它並不只是與運輸量掛鉤那麼簡單。那麼，我們如何考慮潛在的賣權和賣出選擇權對您收入的影響？

Well, as we've been talking about for a year or two now we have a lot of things going very well in our business and that maybe will be going better if at some point in the future, transportation transactions went down. We don't know what the future's going to bring. We're just running the business. As you know, we're looking at what's going on in the market going, hey, there's some uncertainty out there.

嗯，正如我們已經談論了一兩年的那樣，我們的業務中有很多事情進展順利，如果在未來的某個時候，運輸交易量下降，情況可能會更好。我們不知道未來會發生什麼事。我們只是在經營生意。如您所知，我們正在關注市場正在發生的事情，嘿，那裡存在一些不確定性。

So we'll see what happens as you've seen in the past transportation transactions have gone down, stock performed very well. We do that because we sell a lot of software outside of that 60% of our recurring revenues outside of transaction-based volume. And even in the transaction space, we tend to be are you picking up more volume over the course of a quarter or a year because our customers are doing more business with us.

因此，我們將看看會發生什麼，就像您在過去看到的運輸交易下降一樣，庫存表現非常好。我們這樣做是因為我們銷售的大量軟體超出了基於交易量的 60% 經常性收入。即使在交易領域，我們也傾向於在一個季度或一年內獲得更多交易量，因為我們的客戶與我們開展了更多業務。

And as a result, we are we ended up doing pretty well even in the face of the industry having a lackluster time. So we'll see what happens I don't know what can happen in the rest of the year. We've heard different things say same stuff. You probably read in the paper. We'll see what happens. But we like our chances either way.

因此，即使在產業低迷的時期，我們的表現也相當不錯。所以我們會看看會發生什麼，我不知道今年剩下的時間會發生什麼。我們聽過不同的事情說同樣的事情。您可能在報紙上讀過。我們會看看會發生什麼。但無論如何我們都喜歡我們的機會。

Great. And just wanted to follow up on the macro point. You called out that that's been an area of strength and performing well in a trucking environment that was oversupplied. How does trucking capacity coming out of the system potentially impact that? Is that anything material to think about?

偉大的。只是想跟進宏觀點。您指出，這是一個優勢領域，並且在供應過剩的貨運環境中表現良好。系統的貨運能力會如何影響這一點？這有什麼值得考慮的嗎？

Well, I think that's actually one of the areas. I think about when I made the comment a minute ago, MacroPoint continues to grow in a relatively flat truck environment because it continues to pick up more and more customers and more volume from our competitors. I went over that in some of the prepared comments on the call today.

嗯，我認為這實際上是其中之一。我想一分鐘前我發表評論時，MacroPoint 在相對平坦的卡車環境中繼續成長，因為它繼續從我們的競爭對手那裡獲得越來越多的客戶和更多的銷售。我在今天電話會議上準備的一些評論中回顧了這一點。

But MacroPoint, we are a big beneficiary of that as as people realize the importance of having a network and the value that over a flashy application because we contract more loads more and more customers are settling the note with Descartes because they're saying had that's what's most important. And my ability to put in 100 loads to be able to track high 80s, low 90s percentage of those loans is much more important than the visibility application, at least myself most of the time that I've been using an application and look at.

但是MacroPoint，我們是其中的一大受益者，因為隨著人們意識到擁有網路的重要性以及華而不實的應用程式的價值，因為我們簽訂了更多的負載，越來越多的客戶正在與笛卡爾解決問題，因為他們說已經有了什麼是最重要的。我能夠輸入 100 個負載來追蹤這些貸款中高 80 %、低 90 % 的百分比，這比可見性應用程式重要得多，至少我自己在使用應用程式並查看的大部分時間裡是這樣。

Great. Thanks, guys for taking my questions. Appreciate it.

偉大的。謝謝你們回答我的問題。欣賞它。

Hey, thanks. Matt.

嘿，謝謝。馬特。

Paul Treiber, RBC.

保羅‧特雷伯，加拿大皇家銀行。

Thanks so much. Good afternoon. Just a question on the earn-outs and I don't recall in the past you having this degree of earn-outs and what's changed either now or over the last several acquisitions that are linked to these earn-outs versus acquisitions in the past?

非常感謝。午安.只是一個關於盈利的問題，我不記得過去你們有過這種程度的盈利，以及現在或過去幾次與這些盈利相關的收購與過去的收購相比發生了什麼變化？

Yeah. The question related to several deals we've done over the past couple of years have done that. I think it's either as a broker. We talked about it on past calls the rebalancing going on where everything was sold for high dollar items as everyone was booming coming out of the pandemic, when it started to slow down, our companies are finding it hard to get people to pay for acquisitions and earn out one way to bridge that gap.

是的。這個問題與我們過去幾年所做的幾筆交易有關，這些交易已經做到了這一點。我認為要么是作為經紀人。我們在過去的電話會議中談到了重新平衡的情況，當時所有東西都以高價出售，因為每個人都在擺脫大流行後蓬勃發展，當疫情開始放緩時，我們的公司發現很難讓人們支付收購費用，並找到一種方法來彌補這一差距。

We've used that effectively a few of the times. It's not our really our first choice, but rather just pay cash for something and own the asset outright. But when there's a dispute about what the fair prices for something we've used them to get over that hurdle and quite effectively most of the time or in fact, every time and we have an area in a process, we're very happy for that acquisition to get the earn out because that usually means we've bought a business is doing very well and probably going to do very well for us in the future. So we've used it to spread out our first choice, but certainly something we've done when we think it's appropriate.

我們已經有效地使用過幾次了。這並不是我們真正的第一選擇，而只是支付現金購買某些東西並完全擁有該資產。但是，當對於某些東西的合理價格存在爭議時，我們使用它們來克服這個障礙，並且在大多數時候都非常有效，或者事實上，每次我們在一個過程中都有一個區域時，我們非常高興進行收購是為了獲得收益，因為這通常意味著我們購買了一家經營狀況良好的企業，並且可能在未來為我們帶來良好的業績。所以我們用它來擴展我們的第一選擇，但當然我們在認為合適的時候就做了一些事情。

And then shifting to one of your more recent acquisitions at the Ground Cloud, you mentioned these things the integration go well through margin expansion. How do we think about that term margin profile as that business? I mean, you get it up to the company average margin profile.

然後轉向您最近在 Ground Cloud 的收購，您提到這些整合透過利潤擴張順利進行。我們如何看待該業務的利潤率狀況？我的意思是，你可以達到公司的平均利潤率。

I mean, our hope is to what we bought at much, much lower than that and our hope is to get it up as close as we can to that I don't know for sure we have our sights set on the company average margin profile right now, but certainly we'd like to get it up 10 points, 12 points, which will get it close.

我的意思是，我們的希望是我們以遠低於這個水平的價格購買，我們的希望是盡可能接近這個水平，我不確定我們的目標是公司的平均利潤率狀況現在，但我們當然希望將其提高10 分、12 分，這樣就可以接近了。

And that is great to see the. And just the last question is just on the M&A environment in general and your comments about the macro environment expressed a lot of caution, are you seeing that caution? So any in the M&A environment? In regards to the valuation?

很高興看到。最後一個問題是關於整體併購環境，您對宏觀環境的評論表達了很多謹慎，您看到這種謹慎了嗎？那麼在併購環境中是否有這樣的情況呢？關於估值？

I think we're starting to see repricing in some of the deals we've been doing. We're getting more deals done now than we were six, eight months ago. So I think it's starting to settle itself out right now. We will see what happens in the economy, the economy gets worse is probably going to get easier for us to get stuff done. I think it's better. You know, people might start saying I want more money for their for the companies themselves.

我認為我們已經開始看到我們一直在進行的一些交易的重新定價。與六、八個月前相比，我們現在完成的交易更多。所以我認為現在事情已經開始解決了。我們將看看經濟會發生什麼，經濟變得更糟可能會讓我們更容易完成工作。我認為這樣更好。你知道，人們可能會開始說我希望為公司本身提供更多資金。

So we'll have to see what happens. But we like what we like what we see right now and have been able to get what we think are very high-quality acquisitions done at a price. We think we can make money for our shareholders.

所以我們必須看看會發生什麼。但我們喜歡我們現在所看到的，並且能夠以一定的價格完成我們認為非常高品質的收購。我們認為我們可以為股東賺錢。

Thanks for taking the question.

感謝您提出問題。

Thank you, Paul.

謝謝你，保羅。

Justin Long, Stephens.

賈斯汀朗，史蒂芬斯。

Thanks. I guess to start building on that last question, it sounds like valuations on acquisitions have started to come down and you've talked about that a lot four quarters or so in terms of just deal activity, have you seen things pick up? And maybe could you talk about your confidence in deploying capital in the back half of the year? I know there weren't any acquisitions in this most recent quarter.

謝謝。我想從最後一個問題開始，聽起來收購估值已經開始下降，並且您已經在四個季度左右的時間裡談論了交易活動，您是否看到情況有所改善？能否談談您對下半年資金配置的信心？我知道最近一個季度沒有任何收購。

Yeah, that's right. I think we're starting to see prices come into what we think is a reasonable range of where we're able to get acquisitions done. And I think we're starting to see more stuff for sale. Again enough. There was a kind of a lag there for six months or so and knowing what to do it to get starting to open up now, we're starting to see the type of quality assets that we wanted at prices that we think are fair prices for them in yet. We'll see what happens. But hopefully that translates to the ability to get more deals done in the future.

是的，沒錯。我認為我們開始看到價格進入我們認為能夠完成收購的合理範圍。我認為我們開始看到更多的東西在出售。又夠了。那裡有六個月左右的滯後，知道該怎麼做才能開始開放，我們開始以我們認為合理的價格看到我們想要的優質資產類型他們還進來。我們會看看會發生什麼。但希望這能轉化為未來完成更多交易的能力。

Got it. And I know organic growth in the services business is what's most important. But Allan, could you share your estimate for all in organic growth in the quarter? Maybe just going forward, ahead you feel about the sustainability of the organic growth we've seen in that services business. It's held up really well despite a weak freight market. So just wanted to get a sense for your confidence in that continuing?

知道了。我知道服務業務的有機成長是最重要的。但是艾倫，您能否分享一下您對本季度所有有機增長的估計？也許只是向前邁進，您就會感受到我們在服務業務中看到的有機成長的可持續性。儘管貨運市場疲軟，但它的表現仍然非常好。所以只是想了解您對繼續進行的信心？

Yeah. So I'll take the first part of it on overall growth, which was less than the just over 9% that we saw in services we certainly saw lower license quarter. As I mentioned earlier, we had larger licenses in Q2 last year. We're back to the more basics of 1.4 million this quarter, professional services and other revenue was also flattish, down slightly, so up in around a 6% or so currency-neutral for the entire business compared to just over 9% from services and IT?

是的。因此，我將討論整體成長的第一部分，該成長低於我們在服務業中看到的略高於 9% 的成長，我們當然看到了較低的授權季度。正如我之前提到的，我們在去年第二季度獲得了更多的許可證。本季我們回到了 140 萬的基本水平，專業服務和其他收入也持平，略有下降，因此整個業務的增長約為 6% 左右（貨幣中性），而服務的增長略高於 9%和IT ？

Yes. Thanks, Allan. With regard to sustainability, I mean, we'll see what happens in the long run. But in the quarters coming up, you're going to we think we're in pretty good shape, right? We think we're running a strong business. Some of the things that went over on that in the prepared remarks and the beginning of the call, I think -- we think that puts us in a position to continue to have good organic growth in the business.

是的。謝謝，艾倫。關於永續性，我的意思是，我們將看看從長遠來看會發生什麼。但在接下來的幾個季度，你會認為我們的狀態非常好，對嗎？我們認為我們正在經營一家強大的企業。我認為，在準備好的發言和電話會議開始時討論的一些事情，我們認為這使我們能夠繼續在業務中實現良好的有機成長。

You know, I've probably mentioned this on past calls, but over the past seven or eight years, we've tended towards buying higher quality assets as we've been forced to pay a little more than we used to for stuff. We tended to pick higher-quality assets with higher rates of growth. And that translated into us moving from that mid single digits before the pandemic to after the pandemic coming out in the high single digits. And we'll do our best to stick in that range. And obviously, the economy has some effect on that. But at the moment, we like what we see.

你知道，我可能在過去的電話中提到過這一點，但在過去的七、八年裡，我們傾向於購買更高品質的資產，因為我們被迫比以前多支付一些錢。我們傾向於選擇更高品質、更高成長率的資產。這意味著我們從疫情大流行前的中等個位數轉變為疫情後的高個位數。我們將盡力保持在這個範圍內。顯然，經濟對此有一定影響。但目前，我們喜歡我們所看到的。

Great. Thanks for the time, and congrats on the quarter.

偉大的。感謝您抽出時間，並祝賀本季。

Thank you very much, Jeff.

非常感謝你，傑夫。

Scott Group, Wolfe Research.

斯科特集團，沃爾夫研究。

Hey, thanks. Afternoon, guys. So and I think last quarter you were talking about ocean volumes starting to improve and customers telling you maybe a little bit more normal inventory replenishment trends coming. Are you are they now saying something different. I just want to understand sort of what you're seeing on the macro and more and more broadly, just your views around like peak season and beyond.

嘿，謝謝。下午好，夥計們。因此，我認為上個季度您正在談論海運量開始改善，客戶告訴您可能會出現更正常的庫存補充趨勢。他們現在說的是不同的話嗎？我只是想了解您在宏觀以及越來越廣泛的情況下看到的情況，只是您對旺季及以後的看法。

Well, yeah, I don't know yet. I have heard rumors it's going to be maybe a muted peak season. I also see stuff going on with the Panama Canal, which, you know, probably for us it probably doesn't matter very much. People tend to find other ways to move the cargo, which results in other shipments on our network. So it ends up being fine for us but for our customers, if that's what you're asking, I think that disruptions like that tend to cause them some troubles.

嗯，是的，我還不知道。我聽說有傳言說這可能是個淡季的旺季。我還看到巴拿馬運河正在發生的事情，你知道，這對我們來說可能並不重要。人們傾向於尋找其他方式來運輸貨物，這導致我們的網路上出現其他貨物。因此，這最終對我們來說很好，但對我們的客戶來說，如果這就是您所要求的，我認為這樣的中斷往往會給他們帶來一些麻煩。

I don't have a crystal ball. What's going to happen in Christmas seasonal product tell you on there for sure at the end of next quarter. But the rumors I've heard as it might be a little muted, but I don't think it's something that's significant and certainly not something that's probably going to impact our numbers as much as maybe you might impact some of the Eastern carriers numbers a bit, but I don't hear anything terrific on online-only or anything spectacular going on either. So we'll set the see.

我沒有水晶球。聖誕節季節性產品將會發生什麼，將在下個季度末告訴您。但我聽到的傳言可能有點小，但我不認為這是什麼重要的事情，當然也不會影響我們的數字，就像你可能會影響一些東部航空公司的數字一樣有點，但我在網上沒有聽到任何很棒的事情，也沒有聽到任何引人注目的事情。所以我們要設定查看。

Okay. And then you spent some time talking about the parcel carriers and volume shifts with UPS and FedEx and the post office. Does that matter to you? Are you agnostic to where the volume goes into understanding (inaudible)

好的。然後您花了一些時間討論包裹承運商以及與 UPS、FedEx 和郵局的體積變化。這對你來說重要嗎？您是否不知道音量如何影響理解（聽不清楚）

Just conversing reminded yet again, from where we were trying to describe what was going on in the market for us. You're right. We're probably a little more agnostic to what we do business with all of them. We like all of them. We have good relationships with all of them. We're not trying to pick winners in this. We just help service each of them and there are times when some do better than others, sometimes when somebody more freight to us than others. But in general, it works out tend to balance out across the all this, the larger carriers you mentioned.

只是再次提醒我們，我們試圖為我們描述市場上正在發生的事情。你說得對。我們可能對與他們開展業務的內容更加不可知。我們都喜歡。我們與他們所有人都有良好的關係。我們並不是想在這件事上選出贏家。我們只是幫助為他們每個人提供服務，有時有些人比其他人做得更好，有時有些人比其他人給我們帶來更多的貨物。但總的來說，它的結果往往會平衡所有這些，你提到的較大的運營商。

Okay. And then just lastly, when I think about the step up in organic growth now versus pre-COVID, how much was price, how much is price helping Now even if it's not like real price, just nominal price to keep pace with more inflation. Is that a meaningful contributor now to organic that maybe you didn't have enough?

好的。最後，當我想到現在的有機成長與新冠疫情之前相比的進步時，價格有多大，現在的價格有多大幫助，即使它不像實際價格，只是名義價格，以跟上通貨膨脹的步伐。這是一個對有機有意義的貢獻者嗎？

I'll let Allan comment a little bit on that, but I wouldn't call it may fall. But if there were certainly we raised prices last year because of the high inflation, but now to come out.

我會讓艾倫對此發表一點評論，但我不會稱它可能會下跌。但如果確實有的話，我們去年因為高通膨而提高了價格，但現在就出來了。

Yeah, we're raising prices across the business across our product lines. Despite that, the overwhelming majority of our growth is still going to be volume related. That's going to be consistent. So we're using price to offset the cost pressures we have. We should be doing that as a business. For the most part, our growth is going to be heavily focused on volume, doing more work with new and existing guests.

是的，我們正在提高整個產品線的價格。儘管如此，我們的成長絕大多數仍與銷量相關。這將是一致的。因此，我們使用價格來抵消我們面臨的成本壓力。我們應該將其作為一項業務來做。在很大程度上，我們的成長將主要集中在數量上，與新舊客人進行更多合作。

Thank you, guys.

謝謝你們，夥計們。

Thanks, Scott.

謝謝，斯科特。

Robert Young, Canaccord Genuity.

羅伯特楊，Canaccord Genuity。

Hi, just wanted to add to the very first question around transaction revenue, not being as simple as just tied to shipping volumes. I think there are some transaction minimums on some of the contracts. Just maybe you can refresh that and how much protection that provides and weaker volume?

你好，我只是想補充關於交易收入的第一個問題，而不是僅僅與運輸量掛鉤那麼簡單。我認為某些合約有一些最低交易額。也許您可以刷新一下，以及提供多少保護和減弱音量？

Most of our contracts in the transaction space are done at a minimum of 85% to 90% of the normal volume that a customer has as that plays a role from time to time with individual customers. I think more importantly, we watch the transportation volumes our business continues to grow and in tougher economic times, we tend to have more companies head our direction because of it. They tend to shy away from the smaller guys when they get worried about people in the space struggling.

我們在交易領域的大多數合約的完成量至少是客戶正常交易量的 85% 到 90%，因為這有時會對個人客戶產生影響。我認為更重要的是，我們看到我們業務的運輸量持續成長，在經濟困難時期，我們往往有更多的公司因此而走向我們的方向。當他們擔心這個領域的人們陷入困境時，他們往往會迴避較小的公司。

So we've tended to pick up more volume. And when customers start hurting, they start asking everyone for discounts because we provide 10 or 15 different services to them. And we have a lot to negotiate with and the potential to pick up more business from our smaller competitors that are not in as strong a position as us. So as it happened in [eight] and the pandemic at a couple of times, we've had, you know, a weaker economic times. And again, I don't know that. That's what we're looking at right now.

所以我們傾向於增加銷量。當客戶開始受到傷害時，他們開始向每個人要求折扣，因為我們為他們提供 10 或 15 種不同的服務。我們有很多要談判的地方，並且有潛力從地位不如我們的較小競爭對手那裡獲得更多業務。因此，正如[8]發生的情況以及幾次大流行一樣，我們經歷了經濟疲軟的時期。再說一遍，我不知道這一點。這就是我們現在正在關注的。

We're probably looking at more of a model economic scenario right now. But in weaker economic times, we've tended to pick up volume in the face of our customers having less time and we come out of that stronger than ever.

我們現在可能更關注的是經濟情境模型。但在經濟疲軟時期，面對客戶時間較少的情況，我們往往會增加銷量，我們會比以往任何時候都更強大。

And we tend to not have the same loads that maybe some of our competitors would have a transaction volumes, which is why when these things happen is you'd look at our numbers and say, why didn't you go down and up. It's that plus the combination of other strengths in the subscription part of our business. That continues. You do well with this debt.

而且我們的負載往往與我們的一些競爭對手的交易量不同，這就是為什麼當這些事情發生時，你會看著我們的數字並說，為什麼你不下降或上升。這就是我們訂閱業務中其他優勢的結合。這樣的情況還在繼續。你在這筆債務上做得很好。

And then second one for me, you're talking about the impact of union agreements a lot of change there. Does that have an impact on your customers' willingness to invest in technology to improve the visibility of having a better price of the delivery itself goes up, then you would assume that technology becomes a better way to seek efficiencies that you're seeing? Or is it just pressure volumes?

對我來說第二個，你正在談論工會協議的影響以及那裡的許多變化。這是否會影響您的客戶投資技術以提高交付本身的更好價格的可見性的意願，然後您會認為技術成為尋求您所看到的效率的更好方法？或只是壓力體積？

I mean, the short term, is it compressor volumes that can do things better to our to our customers. Probably a lot more than it would us in the longer term, though, you're absolutely right. You've heard us say a number of times change and our business or in our customers business drives, you know, more success for Descartes.

我的意思是，從短期來看，壓縮機的銷售量可以為我們的客戶提供更好的服務。不過，從長遠來看，可能比我們多得多，你是絕對正確的。您已經聽我們說過很多次了，我們的業務或我們客戶的業務發生了變化，您知道，笛卡爾取得了更大的成功。

And I think that's absolutely true in situations like this, the more of the supply chain disruptions and strikes that ports are certainly one of them. The more you have people saying I need more information and I need more technology so that it can do something about that next time it happens and that plays right into our hand and the solvents space in the pandemic unit, it's probably 10 other scenarios. I could walk you through in the past or that's really helped us to tariffs with Trump and many, et cetera, things like that. And we're not looking forward to those changes. But when they occur, they tend to be a tailwind for us.

我認為在這種情況下這是絕對正確的，更多的供應鏈中斷和港口罷工肯定是其中之一。越多的人說我需要更多的信息，我需要更多的技術，以便下次發生這種情況時可以採取一些措施，這正好適合我們的手和大流行病部門的溶劑空間，可能還有其他10 種情況。我可以向您介紹過去的情況，或者這確實幫助我們解決了與川普的關稅等問題。我們並不期待這些改變。但當它們發生時，它們往往會成為我們的順風車。

Allright. Thanks for taking question.

好的。感謝您提出問題。

Thank you, Robert.

謝謝你，羅伯特。

Raimo Lenschow, Barclays.

雷莫‧倫肖 (Raimo Lenshow)，巴克萊銀行。

Great. Thank you. This is Jeremy on for Raimo. I was just wondering if you could give a bit more color on how the trade intelligence segment performed in the quarter and then just broadly your outlook there in terms of both organic investment and M&A around that business line. Thank you.

偉大的。謝謝。這是雷莫的傑里米。我只是想知道您是否可以對本季度貿易情報部門的表現進行更多說明，然後大致介紹一下您對該業務線的有機投資和併購的展望。謝謝。

Thanks, Jeremy. Critical and doing very well for several years now it's starting with the tariff stuff. When Trump came President, the nationalistic tendencies, you saw around the world that caused maybe people to pay more attention to it. Ukrainian war, Ukraine, Russia or has also added to it as we see sanctions getting put on a number of parties and a big part of our databases, their sanctions and our directory just today.

謝謝，傑里米。至關重要且多年來表現良好，現在是從關稅問題開始。當川普就任總統時，你在世界各地看到的民族主義傾向可能會引起人們更多的關注。烏克蘭戰爭、烏克蘭、俄羅斯或今天也增加了這一點，因為我們看到許多政黨和我們資料庫的很大一部分、他們的製裁和我們的目錄受到了製裁。

I mean, this business has been doing very well. And and I think US, Canada, will continue to be bullish about what we actually do with one of our best performing businesses as one of our most profitable businesses for the business where we think we help the customers the most in a very simple way. And of course, if there were acquisition opportunities there. We would be excited about that because we love it.

我的意思是，這項業務一直做得很好。我認為美國、加拿大將繼續看好我們對我們表現最好的業務之一的實際做法，作為我們最賺錢的業務之一，我們認為我們以一種非常簡單的方式為客戶提供了最大的幫助。當然，如果那裡有收購機會的話。我們會對此感到興奮，因為我們喜歡它。

Got it. Thank you.

知道了。謝謝。

Thank you.

謝謝。

Kevin Krishnaratnel, Scotiabank.

凱文·克里希納拉特內爾，豐業銀行。

Hey, there, good evening. You talked about some of the strength and the success you're seeing in that and visibility. You talked about winning new customers but also bringing back in. I'm curious and remind us what why customers might leave why they're coming back? You mentioned some new products like self-service tools. Just curious to know your thoughts there?

嘿，那裡，晚上好。您談到了您在這方面所看到的一些優勢和成功以及知名度。您談到了贏得新客戶的同時也吸引了他們回來。您提到了一些新產品，例如自助服務工具。只是想知道您的想法嗎？

Yeah. I mean, you saw over the past seven or eight years since we bought MacroPoint, there were a number of other players in that space that we're spending a ton of money advertising, getting their name out there and launching themselves towards the moon losing a ton of money while they're doing it without what seemed like without a lot of regard to that.

是的。我的意思是，自從我們收購MacroPoint 以來，你看到在過去的七、八年裡，這個領域還有許多其他玩家，我們花了很多錢做廣告，讓他們的名字在那裡，然後向月球發起進攻。

I think over time that help them pick up some customers really make enough noise. You spend enough money, you probably pick up some customers, but in the long run, those customers start looking and saying, hey, who's the best provider here and maybe it's not the guy named newspaper, maybe it's the guy that contract the most loads forming and overtime.

我認為隨著時間的推移，幫助他們吸引一些客戶確實會產生足夠的噪音。你花了足夠的錢，你可能會吸引一些客戶，但從長遠來看，這些客戶開始尋找並說，嘿，誰是這裡最好的提供商，也許不是那個叫報紙的人，也許是合約負載最多的人成型和加班。

I think we've been we as a network operator, you expect us to focus on. [S&M] does get focused on things like I just mentioned, we focused on getting more connections on the network. And as a result, we track more loads by the by a lot than our competitors do and that over time, the customers realize that's what's most important and that's helped us get some competitive wins in that space.

我認為我們一直是我們作為網路營運商，您期望我們重點關注的。 [S&M] 確實專注於我剛才提到的事情，我們專注於在網路上獲得更多連接。因此，我們追蹤的負載​​比競爭對手多得多，隨著時間的推移，客戶意識到這是最重要的，這幫助我們在該領域獲得了一些競爭優勢。

Okay, got it. Thanks for that. Second question, e-commerce, a growing market. You made a bunch of acquisitions during the pandemic come to your mind is how does how you guys think about that business in terms of and the size in our percentage of revenue? And maybe if you can give us some thoughts on the growth profile there. E-commerce industry-wide seems to be trending back up after, you know, normalizing year ago. Comment on the e-commerce business.

好的，明白了。謝謝你。第二個問題，電子商務，一個不斷成長的市場。您在疫情期間進行了一系列收購，您想到的是，您如何看待該業務以及我們佔收入百分比的規模？也許您能給我們一些關於那裡的成長概況的想法。在一年前的正常化之後，整個電子商務行業似乎正在回升。評論電子商務業務。

Yeah, I'm a big fan of the e-commerce business. We got it at seven, eight years ago, nine years ago now and continue to buy any asset in that space that we think would be a good fit for what we already do and and with an ability to help us grow our network, it's about 10% of our business today. It's one of our faster-growing businesses and we absolutely continue to like that business. And I think that as more and more people order stuff online, that business is going to continue to do well for us for the foreseeable future.

是的，我是電子商務業務的忠實粉絲。我們在七、八年前、現在九年前就得到了它，並繼續購買該領域的任何資產，我們認為這些資產非常適合我們已經做的事情，並且有能力幫助我們發展我們的網絡，這是關於我們今天業務的 10%。這是我們成長較快的業務之一，我們絕對會繼續喜歡這項業務。我認為，隨著越來越多的人在線上訂購商品，在可預見的未來，這項業務將繼續為我們帶來良好的業績。

Got it. Just last one. Any locals sounds it's doing well. I know that was more of an [A-pac] focused business. Are you starting to sell that product into other other tiers of customers.

知道了。就最後一張。任何當地人聽起來都做得很好。我知道這更多的是 [A-pac] 的重點業務。您是否開始將該產品銷售給其他層級的客戶？

We are you know, we are we've always provided that service through third parties and we had a chance to buy our coal fleet. We thought that was a great opportunity for us to be able to do that ourselves without paying a third party to do it. So that's what we did. And we're bringing it all the jurisdictions that we operate in right now.

你知道，我們一直透過第三方提供這項服務，我們有機會購買我們的煤炭船隊。我們認為這是一個很好的機會，我們可以自己做這件事，而無需支付第三方費用。這就是我們所做的。我們正在將其帶到我們目前運營的所有司法管轄區。

It's a simple service, right? If it's up, you order something and you want to see the truck driver in your house and you can go into an app, you can see where the driver is that having been said somebody trying to deliver furniture, something of that nature.

這是一個簡單的服務，對吧？如果它啟動了，你訂購了一些東西，你想看到你家裡的卡車司機，你可以進入一個應用程序，你可以看到司機在哪裡，據說有人試圖運送家具，類似的東西。

It's very important that you're there when they come in and make the delivery and mobile functionality like that really helps make sure that customers know when the trucks coming to that, are there to get their furniture or whatever it is that they ordered from us. So we want to make sure we're able to bring that experience to all of our customers. And now we're doing it in a way where we own the entire solution. So we're happy about that.

非常重要的是，當他們進來時，您在場並進行送貨和移動功能，這確實有助於確保客戶知道卡車何時到達那裡，是否在那裡取他們的家具或他們從我們那裡訂購的任何東西。因此，我們希望確保能夠為所有客戶帶來這種體驗。現在我們以擁有整個解決方案的方式來做這件事。所以我們對此感到高興。

Got it. Appreciate the color on pipeline. Thanks.

知道了。欣賞管道上的顏色。謝謝。

Thanks, Scott.

謝謝，斯科特。

There are no further questions at this time. Please continue.

目前沒有其他問題。請繼續。

Our Great thanks, everyone. Appreciate your time today, and we look forward to reporting back to you next quarter at a great day.

非常感謝大家。感謝您今天抽出時間，我們期待在下個季度美好的一天向您報告。

Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。