GrafTech International Ltd (EAF) 2025 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by. My name is Desiree, and I will be your conference operator today. At this time, I would like to welcome everyone to the GrafTech’s third-quarter 2025 earnings conference call and webcast. (Operator Instructions) I would now like to turn the conference over to Mike Dillon, Vice President of Investor Relations. You may begin.

女士們、先生們，感謝你們的耐心等待。我叫黛西蕾，今天我將擔任你們的會議接線生。此時此刻，我謹代表 GrafTech 向大家歡迎參加 2025 年第三季財報電話會議和網路直播。（操作員指示）現在我將會議交給投資人關係副總裁麥克狄龍。你可以開始了。

Thank you, Desiree. Good morning, and welcome to GrafTech International's third-quarter 2025 earnings call. With me today are Tim Flanagan, Chief Executive Officer; and Rory O’Donnell, Chief Financial Officer. Tim will begin with opening comments, including an update on the commercial environment. Rory will then provide more details on our quarterly results and other financial matters, and Tim will close with additional comments on our outlook. We will then open the call to questions. Turning to our next slide.

謝謝你，黛西蕾。早安，歡迎參加 GrafTech International 2025 年第三季財報電話會議。今天陪同我的是執行長蒂姆·弗拉納根；以及首席財務官羅裡·奧唐納。蒂姆將首先發表開幕致辭，其中包括對商業環境的最新情況介紹。接下來，Rory 將詳細介紹我們的季度業績和其他財務事項，Tim 將最後對我們的前景發表補充評論。接下來我們將開放提問環節。接下來請看下一張投影片。

As a reminder, some of the matters discussed on this call may include forward-looking statements regarding, among other things, performance, trends, and strategies. These statements are based on current expectations and are subject to risks and uncertainties. Factors that could cause actual results to differ materially from those indicated by forward-looking statements are shown here. We will also discuss certain non-GAAP financial measures, and these slides include the relevant non-GAAP reconciliations. You can find these slides in the investor relations section of our website at www.graftech.com. A replay of the call will also be available on our website. I'll now turn the call over to Tim.

提醒各位，本次電話會議討論的一些事項可能包括有關績效、趨勢和策略等方面的前瞻性陳述。這些陳述是基於目前的預期，並存在風險和不確定性。可能導致實際結果與前瞻性陳述所指出的結果有重大差異的因素如下。我們還將討論一些非公認會計準則財務指標，這些投影片包括相關的非公認會計準則調節表。您可以在我們網站 www.graftech.com 的投資者關係版塊找到這些投影片。電話會議的錄音回放也將在我們的網站上提供。現在我將把電話交給提姆。

Good morning, and thank you for joining GrafTech's third-quarter earnings call. Today, we'll provide an overview of our third quarter performance, share key operational and commercial updates, and discuss our outlook for the remainder of 2025 and beyond. I'm pleased to share that GrafTech delivered another quarter of meaningful progress in the third quarter of 2025, reflecting our team's commitment to disciplined execution and operational excellence in a challenging market environment.

早安，感謝各位參加GrafTech第三季財報電話會議。今天，我們將概述第三季的業績，分享重要的營運和商業更新，並討論我們對 2025 年剩餘時間及以後的展望。我很高興地宣布，GrafTech 在 2025 年第三季取得了另一個季度的實質進展，這體現了我們團隊在充滿挑戰的市場環境中對嚴謹執行和卓越營運的承諾。

During the quarter, we achieved 9% year-over-year increase in sales volume, reaching nearly 29,000 metric tonnes. To achieve this, we are actively leveraging our strong customer value proposition and capitalizing on the commercial momentum we have built to expand our market share and drive continued volume growth. In fact, reflecting our full -- revised full-year 2025 sales volume guidance that Rory will speak to in a few moments, we are on track to achieve cumulative sales volume growth of over 20% since the end of 2023.

本季度，我們的銷售量年增 9%，達到近 29,000 公噸。為了實現這一目標，我們正在積極利用我們強大的客戶價值主張，並利用我們已經建立的商業勢頭來擴大市場份額，推動銷售持續成長。事實上，正如羅裡稍後將要談到的，根據我們修訂後的 2025 年全年銷售量預期，我們預計自 2023 年底以來實現累計銷售量增長超過 20%。

This is impressive growth in any market but is particularly noteworthy given that graphite electrode demand has remained relatively flat for the past two years. It's a clear indication that our customer value proposition is compelling and now, we're outperforming the broader market. In addition, we continue to focus on optimizing our geographic sales mix, particularly in the United States, where our sales volume grew by 53% year over year in the third quarter.

在任何市場中，這都是令人印象深刻的成長，但考慮到過去兩年石墨電極的需求一直相對平穩，這一點尤其值得注意。這清楚地表明，我們的客戶價值主張具有吸引力，現在，我們的業績已經超過了整個市場。此外，我們繼續專注於優化我們的地理銷售組合，尤其是在美國，第三季我們的銷售額年增了 53%。

This strategic shift towards the US market, which remains the strongest region for graphic electrode pricing is a direct result of our efforts to capture opportunities in regions with more favorable pricing dynamics and to strengthen our competitive position. On the cost side, we delivered a 10% year-over-year reduction in our cash cost per metric tonne for the third quarter and increased our full-year guidance for cost reductions, as Rory will discuss.

這項策略轉向美國市場（美國仍然是圖形電極定價最強勁的地區）是我們努力抓住價格動態更有利的地區的機會並加強我們競爭地位的直接結果。在成本方面，我們第三季每公噸現金成本年減了 10%，並提高了全年成本削減預期，Rory 將對此進行討論。

As a result, for the full year of 2025, we're on track more than a 30% cumulative reduction in our cash cost per metric tonne since the end of 2023. This achievement underscores our ability to control our production costs and adapt our operations to varying levels of demand. Regarding profitability, we generated positive EBITDA adjustment, positive adjusted EBITDA of $13 million for the quarter. We also generated $25 million in net cash from operating activities and $18 million in adjusted free cash flow, further strengthening our liquidity position to $384 million as of the end of September. This cash flow performance and ending liquidity position exceeded our expectations for the third quarter.

因此，到 2025 年全年，我們預計將實現自 2023 年底以來每公噸現金成本累積下降 30% 以上。這項成就凸顯了我們控制生產成本和根據不同需求水準調整營運的能力。在獲利能力方面，我們實現了正的 EBITDA 調整，本季調整後的 EBITDA 為 1,300 萬美元。我們也透過經營活動產生了 2,500 萬美元的淨現金流和 1,800 萬美元的調整後自由現金流，進一步增強了我們的流動性，截至 9 月底達到 3.84 億美元。第三季的現金流量表現和期末流動性狀況都超出了我們的預期。

While we're encouraged by these reported results, and as we've previously noted, we'll never be satisfied with this level of performance. Yet we view this as a further demonstration of growing momentum and that these are constructive advances in the right direction, providing a solid platform to build upon as the market recovers. Turning to the next slide. Let me provide our current thoughts on the broader steel industry. On a global basis, steel production outside of China was approximately 206 million tonnes in the third quarter of 2025, up nearly 2% compared to the third quarter of last year, resulting in a global utilization rate for the third quarter of approximately 66%.

雖然我們對這些公佈的結果感到鼓舞，而且正如我們之前指出的那樣，我們永遠不會對這種水平的表現感到滿意。但我們認為這進一步表明了市場勢頭日益強勁，這些都是朝著正確方向邁出的建設性步伐，為市場復甦提供了堅實的基礎。翻到下一張投影片。讓我談談我們目前對整個鋼鐵業的看法。2025 年第三季度，除中國以外，全球鋼鐵產量約 2.06 億噸，比去年同期成長近 2%，全球第三季產能利用率約 66%。

On a year-to-date basis, global steel production outside of China is relatively flat. Looking at some of our key commercial regions using data published by the World Steel Association earlier this week. For North America, steel production was flat year to date compared to the prior year. Specific to the US, World Steel reported that on a year-to-date basis, steel production grew 2% compared to 2024. In the EU, steel output decreased 4% year to date compared to the same period in 2024 and remains well below historical levels of steel production and utilization for that region.

今年迄今為止，除中國以外的全球鋼鐵產量相對穩定。我們利用世界鋼鐵協會本週稍早發布的數據，來看看我們的一些主要商業區域。北美地區的鋼鐵產量與去年同期相比持平。以美國為例，世界鋼鐵協會報告稱，截至目前，美國鋼鐵產量比 2024 年增加了 2%。歐盟今年迄今的鋼鐵產量比 2024 年同期下降了 4%，並且仍然遠低於該地區鋼鐵生產和利用的歷史水準。

Although the overall steel sector is still experiencing short-term challenges, however, early indications of a rebound in the steel markets have started to appear, and recent developments have provided additional reasons for encouragement. Earlier this month, World Steel published their most recent short-range outlook for steel demand. For the US, World Steel is projecting a 1.8% steel demand growth in 2026 behind a number of factors including pent-up demand for residential construction and easing financing conditions, while favorable trade policies will support domestic steel production.

儘管鋼鐵業整體仍面臨短期挑戰，但鋼鐵市場已開始出現復甦的早期跡象，近期的發展也提供了更多令人鼓舞的理由。本月初，《世界鋼鐵》雜誌發布了最新的短期鋼鐵需求展望。世界鋼鐵協會預測，受多種因素影響，2026 年美國鋼鐵需求將增加 1.8%，其中包括住宅建設的積壓需求和融資條件的放寬，同時有利的貿易政策將支持國內鋼鐵生產。

In Europe, World Steel is projecting a return of steel demand growth in the near term, forecasting demand growth of 3.2% for 2026. This reflects some of the demand drivers we have discussed previously, including initiatives to increase investment in infrastructure and defense spending, representing key steel-intensive industries. To further support the European steel industry earlier this month, the European Commission announced new trade protection measures that should drive higher levels of production in this key region for GrafTech. Specifically, the measures when effective next year, will cut steel import quotas by 47%, significantly increased the out-of-quota tariffs and introduce melt and pour provisions prevent circumvention. These measures are in addition to the provisions within the Carbon Border Adjustment Mechanism, or CBAM, that is expected to provide further support to the EU steel industry once implemented at the beginning of 2026.

世界鋼鐵協會預測，歐洲鋼鐵需求將在近期恢復成長，並預測 2026 年需求成長率將達到 3.2%。這反映了我們之前討論過的一些需求驅動因素，包括增加對基礎設施和國防開支的投資舉措，這些都是鋼鐵密集型產業的關鍵組成部分。為了進一步支持歐洲鋼鐵業，歐盟委員會在本月初宣布了新的貿易保護措施，這應該會推動 GrafTech 在該關鍵地區的產量提高。具體而言，這些措施將於明年生效，屆時將削減鋼鐵進口配額 47%，大幅提高超出配額的關稅，並引入熔煉和澆鑄規定以防止規避。除了碳邊境調節機制（CBAM）的規定外，這些措施也將為歐盟鋼鐵業提供進一步的支持。 CBAM預計將於2026年初實施。

These developments are a structural positive for the EU steel industry with some analysts projecting the trade projections to drive this steel imports lower by more than 10 million tonnes on an annualized basis. This alone could drive EU steel capacity utilization rates, which have averaged just over 60% for the past couple of years to nearly 70%. Finally, on a global basis, World Steel is projecting global steel demand outside of China to grow 3.5% year-over-year based on many of the same factors, a further easing of geopolitical tensions and improved macroeconomic conditions could support further growth.

這些發展對歐盟鋼鐵業來說是結構性的利好，一些分析師預測，貿易預測將使歐盟鋼鐵進口量每年減少超過 1,000 萬噸。僅此一項就可能將歐盟鋼鐵產能利用率從過去幾年平均略高於 60% 提高到接近 70%。最後，從全球範圍來看，世界鋼鐵協會預測，除中國以外，全球鋼鐵需求將年增 3.5%，這主要基於許多相同的因素。地緣政治緊張局勢的進一步緩解和宏觀經濟狀況的改善可能會進一步支撐成長。

Against that backdrop, we are having active and ongoing dialogue with our customers on their needs for the upcoming year. While it's too early in the process to draw any conclusions, our compelling customer value proposition positions us well to continue the share gains we've achieved over the past two years, including further market share growth in the United States. At the end of the day, we're unwavering in our commitment to serve our customers with excellence and be the most trusted value-added supplier of high-quality graphite electrodes.

在此背景下，我們正在與客戶積極持續地就他們來年的需求進行對話。雖然現在下任何結論都為時過早，但我們極具吸引力的客戶價值主張使我們能夠繼續保持過去兩年取得的市場份額成長，包括在美國進一步擴大市場份額。歸根結底，我們始終堅定不移地致力於為客戶提供卓越的服務，並成為最值得信賴的高品質石墨電極增值供應商。

Consistent with our focus on nurturing long-term partnerships built on performance, reliability, and mutual success. We look forward to sharing more on our 2026 outlook during our year-end call. Before turning the call over to Rory, I want to sincerely thank our entire team around the world for their remarkable efforts, resilience, and commitment during this pivotal time. Their dedication continues to drive our progress and position us for long-term success. But most importantly, I want to thank our employees for their unwavering commitment to a culture of safety.

我們始終致力於培養以績效、可靠性和互利共贏為基礎的長期合作關係。我們期待在年終電話會議上與大家分享更多關於2026年展望的資訊。在將電話交給羅里之前，我衷心感謝我們全球團隊在這個關鍵時期所付出的卓越努力、展現出的韌性和奉獻精神。他們的奉獻精神不斷推動我們的進步，並為我們長期成功奠定了基礎。但最重要的是，我要感謝我們的員工對安全文化的堅定承諾。

This is a non-negotiable priority across the organization, and we're pleased to have maintained strong momentum in this area, putting us on track for our best safety performance in years. As we move through the end of the year and into next, sustaining and building on this momentum is a must and must remain a critical focus. Our ultimate goal is zero injuries, and we continue to work relentless toward that standard every single day. With that, let me turn the call over to Rory to provide more color on our commercial and financial performance.

這是整個組織不容商榷的優先事項，我們很高興在這個領域保持了強勁的勢頭，使我們有望取得多年來最好的安全業績。隨著我們邁入年底和明年，保持和鞏固這種勢頭至關重要，必須繼續作為重點。我們的最終目標是零傷亡，我們每天都在不懈地努力朝著這個目標邁進。接下來，我將把電話交給羅裡，讓他更詳細地介紹我們的商業和財務表現。

Thank you, Tim, and good morning, everyone. Starting with our operations. Our production volume for the third quarter was approximately 27,000 metric tonnes, resulting in a capacity utilization rate of 63%. While representing a modest sequential decline in production compared to the prior two quarters, this was planned as annual maintenance activities at our European manufacturing facilities occurred during the third quarter, consistent with our historical practice. On a full-year basis, our expectation remains to balance our production and sales volume levels.

謝謝你，提姆，大家早安。首先從我們的營運開始。第三季我們的產量約為 27,000 公噸，產能利用率為 63%。雖然與前兩個季度相比，產量環比略有下降，但這在計劃之內，因為我們在歐洲的生產設施的年度維護活動在第三季度進行，這與我們以往的做法一致。從全年來看，我們的預期仍然是維持生產和銷售量水準的平衡。

Turning to our commercial performance. In the third quarter, our sales volume was approximately 29,000 metric tonnes. This is a 9% year-over-year increase and represented our highest sales volume performance in 12 quarters. Of particular note is our success in actively shifting a significant portion of our volume to the US as we have discussed. For Q3, our sales volume within the US grew 53% year-over-year. Year-to-date, we have grown sales volume in this region by 39% compared to last year. This is an impressive result given year-to-date steel production in the US is up less than 2%.

接下來談談我們的商業表現。第三季度，我們的銷售量約為29,000公噸。這比去年同期成長了 9%，也是我們 12 個季度以來最高的銷售量。尤其值得一提的是，正如我們之前討論過的，我們成功地將相當一部分業務量轉移到了美國。第三季度，我們在美國的銷售額年增了 53%。今年迄今為止，我們在該地區的銷售額比去年同期成長了 39%。考慮到今年迄今為止美國鋼鐵產量增加不到 2%，這是一個令人印象深刻的結果。

On a full-year basis, we now expect our total sales volumes to increase 8% to 10% in 2025. The modest change from our previous guidance of 10% year-over-year sales volume increase reflects our disciplined approach of foregoing volume opportunities where margins are unacceptably low. To this last point, we continue to face challenging pricing dynamics across nearly all of our regions. While this is partially attributable to flat market demand, it further reflects the increased level of low-priced graphite electrode exports from China and others that we have spoken to previously, which has resulted in an unsustainable level of excess electrode capacity in the rest of the world.

以全年計算，我們現在預計到 2025 年，我們的總銷售額將成長 8% 至 10%。我們先前預期年銷量將成長 10%，而此次調整幅度不大，反映了我們採取的嚴謹策略，即在利潤率過低的情況下放棄銷量成長機會。關於最後一點，我們幾乎所有地區都持續面臨嚴峻的定價狀況。雖然這部分歸因於市場需求疲軟，但也進一步反映了中國和我們之前談到的其他國家低價石墨電極出口量的增加，這導致世界其他地區電極產能過剩，達到了不可持續的水平。

Against that backdrop, at times, we are making decisions to walk away from certain commercial opportunities where we are not being adequately compensated for our value proposition. This is consistent with our commitment to a disciplined, value-focused growth, not volume for volume's sake. Expanding on the topic of price, our average selling price for the third quarter was approximately $4,200 per metric tonne, which represented a 7% decline compared to the prior year and sequentially was in line with the second quarter.

在此背景下，有時我們會決定放棄某些商業機會，因為我們無法從中獲得與自身價值相符的充分補償。這與我們秉持的穩健、以價值為導向的成長理念相一致，而不是為了追求數量而追求數量。關於價格方面，我們第三季的平均售價約為每公噸 4,200 美元，與去年同期相比下降了 7%，與第二季相比持平。

The year-over-year decrease was largely driven by the substantial completion in 2024 of the higher-priced LTAs along with persistent challenges with market pricing that I just discussed. Our focus remains on mitigating these impacts in the near term, including the previously mentioned geographic mix shift towards the United States. Similar to all regions, average pricing in the US is below 2024 levels, but it remains our strongest region for graphite electrode pricing. In fact, we estimate that the higher mix of US volume boosted our weighted average selling price for the third quarter by over $120 per metric tonne and by a similar amount on a year-to-date basis.

同比下降的主要原因是 2024 年價格較高的長期租賃協議 (LTA) 的大量竣工，以及我剛才討論過的市場定價方面持續存在的挑戰。我們目前的重點仍然是減輕這些影響，包括前面提到的地理結構向美國的轉移。與所有地區類似，美國的平均價格低於 2024 年的水平，但它仍然是我們石墨電極價格最高的地區。事實上，我們估計，美國銷量佔比的提高使我們第三季的加權平均售價每公噸上漲了超過 120 美元，年初至今的漲幅也與之類似。

As a result, when comparing our year-to-date weighted average price of approximately $4,200 per metric tonne, to the non-LTA price of $3,900 we reported in the fourth quarter of last year, we saw an increase of nearly 8%. Despite the demand climate, our strong commercial progress highlights the effectiveness of our approach to engaging customers and demonstrates the significant benefits we provide them. Our value proposition is founded on several essential pillars.

因此，將我們今年迄今的加權平均價格約為每公噸 4,200 美元，與我們去年第四季報告的非 LTA 價格 3,900 美元進行比較，我們發現價格上漲了近 8%。儘管市場需求不旺盛，但我們強勁的商業進展凸顯了我們與客戶互動方式的有效性，並證明了我們為客戶帶來的顯著利益。我們的價值主張是建立在幾個基本支柱之上。

These include our unparalleled technical expertise associated with the architect furnace productivity system, which is further enhanced by the support of our exceptional customer technical service team. We also continue to make substantial investments in research and development, reinforcing GrafTech's leadership in graphite electrode and petroleum needle coke technology and innovation.

這包括我們與建築師爐生產力系統相關的無與倫比的技術專長，以及我們卓越的客戶技術服務團隊的支持，這些專業知識得到了進一步的加強。我們將繼續在研發方面進行大量投資，鞏固 GrafTech 在石墨電極和石油針狀焦技術及創新方面的領先地位。

Another distinguishing factor is our unique vertical integration into needle coke, ensuring a reliable supply of this crucial raw material. Additionally, our flexible and integrated global manufacturing network provides enhanced supply dependability, an increasingly significant benefit given the changing landscape of global trade regulations. Ultimately, we are dedicated to fostering and enhancing lasting customer relationships, aiming to provide mutual benefit and ongoing shared achievements for the long term.

另一個顯著特徵是我們獨特的針狀焦垂直整合模式，確保了這種關鍵原料的可靠供應。此外，我們靈活且一體化的全球製造網絡提高了供應可靠性，鑑於全球貿易法規格局的變化，這無疑是一項越來越重要的優勢。最終，我們致力於培養和加強與客戶的長期合作關係，旨在實現互利共贏和長期共同發展。

Turning to costs. For the third quarter, our cash costs on a per metric tonne basis were $3,795, representing a 10% year-over-year decline. We continue to outperform our expectations in this area and are increasing our full-year cost savings guidance. In response to our revised sales volume outlook, we have implemented additional measures to enhance the efficiency of our production schedules and further optimize production costs.

接下來談談成本。第三季度，我們每公噸的現金成本為 3,795 美元，年減 10%。我們在該領域的表現持續超出預期，因此提高了全年成本節約預期。針對我們修訂後的銷售量預期，我們已採取額外措施，以提高生產計劃的效率並進一步優化生產成本。

We now anticipate an approximate 10% year-over-year decline in our cash COGS per metric tonne for 2025 on a full-year basis, compared to our previous guidance of 7% to 9% decline. Achieving a full-year 10% decline would translate into cash COGS per metric tonne of approximately $3,860 for the full year. While this is above our year-to-date run rate, as we have noted previously, we will have periodic quarter-to-quarter fluctuations in our cash cost recognition as a result of timing impacts. However, we are pleased to be outperforming our initial expectations for the year and that our cost structure continues to trend in the right direction.

我們現在預計，2025 年全年每公噸現金銷售成本將年減約 10%，而我們先前的預期是下降 7% 至 9%。全年下降 10% 將轉化為每公噸現金銷售成本約為 3,860 美元。雖然這高於我們年初至今的運行速度，但正如我們之前指出的，由於時間因素的影響，我們的現金成本確認將出現週期性的季度間波動。然而，我們很高興今年的業績超過了最初的預期，而且我們的成本結構繼續朝著正確的方向發展。

Remarkably, achieving our full-year cost guidance would represent a 30% two-year cumulative decline in our cash COGS per metric tonne compared to the full year of 2023. Our teams continue to do extraordinary work in identifying and executing cost reduction opportunities across various components of our variable and fixed costs. Let me highlight a few examples. Drawing on our extensive experience in research and development, along with our commitment to innovation, we are consistently working to reduce the consumption of specific raw materials, all while maintaining the high standards of our product.

值得注意的是，如果實現我們全年的成本指引目標，則與 2023 年全年相比，我們每公噸的現金銷售成本將在兩年內累積下降 30%。我們的團隊在識別和執行降低變動成本和固定成本各個組成部分的成本削減機會方面，持續做出卓越的貢獻。讓我舉幾個例子。憑藉我們在研發方面的豐富經驗以及對創新的承諾，我們不斷努力減少特定原材料的消耗，同時保持我們產品的高標準。

By leveraging our recent investments in technology, we are able to lower our total energy usage. In addition, we are optimizing our production schedules to make the most of lower electricity rates available during off-peak periods. Our efforts to implement procurement initiatives have also yielded impressive results. Notably, through broadening our supplier network, helping us to minimize our variable costs even further.

透過利用我們近期在技術方面的投資，我們能夠降低總能源消耗。此外，我們正在優化生產計劃，以充分利用非尖峰時段較低的電價。我們在實施採購措施方面的努力也取得了令人矚目的成果。值得一提的是，透過擴大供應商網絡，我們進一步降低了變動成本。

Furthermore, our ongoing initiatives to reduce fixed costs have positively impacted our production costs while the higher volume has enhanced our fixed cost leverage. Lastly, our team continues to effectively manage the potential cost impacts caused by evolving global trade policymaking and specifically, the impact of US tariffs.

此外，我們持續推動降低固定成本的措施對我們的生產成本產生了正面影響，而更高的產量也增強了我們對固定成本的槓桿作用。最後，我們的團隊繼續有效管理不斷變化的全球貿易政策，特別是美國關稅的影響，可能造成的成本影響。

To expand on this point, as we have consistently noted, our integrated global production network gives us flexibility around where we can manufacture our products, allowing us to serve end markets efficiently and reliably. In addition, we maintained strategically positioned inventories across key geographies, allowing us to meet customer demand even in dynamic market conditions. As a result, we are well positioned to minimize the potential impacts imposed by current trade policies, and we continue to expect the impact of the announced tariffs to have less than 1% impact on our 2025 cost, which is reflected in our updated cash COGS guidance.

進一步闡述這一點，正如我們一直指出的那樣，我們一體化的全球生產網路使我們能夠靈活地選擇產品生產地點，從而高效可靠地服務於終端市場。此外，我們在關鍵地區保持了策略性庫存佈局，使我們能夠在動態的市場環境下滿足客戶需求。因此，我們有能力最大限度地減少當前貿易政策可能帶來的影響，我們仍然預計已宣布的關稅對我們 2025 年成本的影響將小於 1%，這已反映在我們更新後的現金銷售成本指引中。

Overall, through disciplined execution and a relentless focus on efficiency, we've made remarkable progress in driving down costs and enhancing the overall agility of our operations in order to control production costs at various levels of demand. Further, we are achieving all this while maintaining our dedication to product quality and reliability as well as upholding our commitments to environmental responsibility and safety. Turning to the next slide and factoring all of this in.

總體而言，透過嚴謹的執行和對效率的不懈追求，我們在降低成本和提高營運的整體靈活性方面取得了顯著進展，從而能夠在各種需求水平下控制生產成本。此外，我們在實現所有這些目標的同時，也始終堅持對產品品質和可靠性的承諾，並履行對環境和安全的責任。翻到下一張投影片，把所有這些因素都考慮進去。

For the third quarter, we had a net loss of $28 million or $1.10 per share. This compares to a net loss of $36 million, $1.40 per share in the prior year as the reduction of our costs more than offset the year-over-year decline in weighted average pricing. For the third quarter, adjusted EBITDA was $13 million compared to a negative $6 million in the prior year. As noted in our earnings release, our current quarter EBITDA included an $11 million noncash benefit from recognizing previously deferred revenue following the resolution of a long-standing commercial matter.

第三季度，我們淨虧損 2,800 萬美元，即每股虧損 1.10 美元。相比之下，去年淨虧損 3,600 萬美元，每股虧損 1.40 美元，原因是成本降低抵銷了加權平均價格年減的影響。第三季調整後 EBITDA 為 1,300 萬美元，而上年同期為負 600 萬美元。正如我們在獲利報告中所述，本季 EBITDA 包含 1,100 萬美元的非現金收益，該收益來自先前因長期商業糾紛而確認的遞延收入。

Turning to cash flow. We were pleased to report positive cash flow for the first time in four quarters. For the third quarter, cash provided by operating activities was $25 million, while adjusted free cash flow was $18 million, with both measures comparable to the prior year. Our positive third-quarter cash flow reflected a favorable change in net working capital as was expected. Taking a step back, we had a $45 million build in our net working capital through the first six months of the year, most notably driven by inventory as first-half production exceeded sales volume.

接下來談談現金流。我們很高興地宣布，四個季度以來首次實現正現金流。第三季度，經營活動產生的現金流量為 2,500 萬美元，調整後的自由現金流量為 1,800 萬美元，這兩個指標均與去年同期持平。正如預期，我們第三季正現金流反映了淨營運資本的有利變化。回顧過去，今年前六個月我們的淨營運資本增加了 4,500 萬美元，這主要是由於上半年產量超過銷售量，導致庫存增加。

As we have previously noted, this was planned as we had intentionally built inventory in the first half of the year, reflecting one of our cost savings initiatives, which is to level load our 2025 production while balancing production and sales volume levels on a full-year basis. As we unwind this inventory timing impact, our build in net working capital through the first nine months of 2025 was reduced to $14 million despite an $11 million working capital impact in the third quarter from the noncash earnings related to the recognition of previously deferred (inaudible).

正如我們之前提到的，這是有計劃的，因為我們有意在今年上半年建立了庫存，這反映了我們的一項成本節約舉措，即在全年平衡生產和銷售量的同時，均衡我們 2025 年的生產負荷。隨著庫存時間影響的消除，儘管第三季因確認先前遞延的收益而產生的非現金收益導致營運資本受到 1,100 萬美元的影響，但我們 2025 年前九個月的淨營運資本增加額仍減少至 1,400 萬美元。（聽不清楚）

With this strong working capital performance in the third quarter, on a full-year basis, we remain on track for working capital to be favorable to our cash flow for 2025. This is being realized through a combination of production cost improvements and inventory management, while maintaining adequate safety stock of pins and electrodes. Overall, we continue to track ahead of our initial cash flow projections for 2025 and remain encouraged by our momentum in this area.

憑藉第三季強勁的營運資本表現，從全年來看，我們仍有望在 2025 年實現有利於現金流的營運資本目標。這是透過提高生產成本和加強庫存管理來實現的，同時保持足夠的針腳和電極安全庫存。總體而言，我們繼續領先 2025 年的初步現金流預測，並對我們在該領域的成長勢頭感到鼓舞。

Turning to the next slide and expanding on this point. We ended the third quarter with total liquidity of $384 million, consisting of $178 million of cash, $107 million of availability under our revolving credit facility, and $100 million of availability under our delayed draw term loan. As a reminder, this untapped portion of our delayed draw term loan is available to be drawn until July of 2026, and our expectation remains to draw this residual ports prior to its expiration.

接下來請看下一張投影片，並詳細說明這一點。第三季末，我們的總流動資金為 3.84 億美元，其中包括 1.78 億美元的現金、1.07 億美元的循環信貸額度以及 1 億美元的延期提取定期貸款額度。再次提醒，我們延期提取定期貸款中尚未動用的這部分資金可在 2026 年 7 月之前提取，我們仍然希望在到期前提取這部分剩餘資金。

As it relates to our $225 million revolving credit facility, which matures in November of 2028, we had no borrowings outstanding as of the end of the quarter. However, based on a springing financial covenant that considers our recent financial performance, borrowing availability under the revolver remains limited to approximately $115 million, less currently outstanding letters of credit which were approximately $8 million as of the end of the quarter. Overall, we believe our strong liquidity position, along with the absence of substantial debt maturities until December of 2029, will support our ability to manage through near-term industry-wide challenges.

就我們 2.2​​5 億美元的循環信貸額度而言，該額度將於 2028 年 11 月到期，截至本季末，我們沒有任何未償還的借款。然而，根據一項考慮我們近期財務業績的觸發式財務契約，循環信貸項下的可用借款額度仍然限制在約 1.15 億美元，減去截至本季度末約 800 萬美元的未償信用證。總體而言，我們相信我們強勁的流動性狀況，以及在 2029 年 12 月之前沒有重大債務到期，將有助於我們應對近期整個行業的挑戰。

In summary, our focused execution, operational discipline, and strategic positioning are enabling us to deliver results today while building for a strong foundation for long-term growth. I am proud of the progress we have made, and I am confident in our ability to continue creating value for our customers, our shareholders, and all of our stakeholders. To that end, I would like to echo Tim's sentiments and extend my gratitude for the outstanding commitment and hard work demonstrated by our team members worldwide. I will now turn the call back to Tim for some final comments on our outlook.

總而言之，我們專注的執行力、嚴謹的營運紀律和策略定位使我們能夠在今天取得成果，同時為長期成長奠定堅實的基礎。我為我們所取得的進展感到自豪，我有信心我們能夠繼續為我們的客戶、股東和所有利害關係人創造價值。為此，我謹贊同提姆的觀點，並對我們全球團隊成員所展現出的傑出奉獻和辛勤工作表示感謝。現在我將把電話轉回給蒂姆，請他對我們的前景做一些最後的評論。

Thanks, Rory. In summary, we laid out a disciplined plan in response to evolving industry dynamics and heightened macro uncertainty, and we're executing against that plan. Our objectives are clear and include to increase our sales volume and gain market share, improve our average pricing, most notably by shifting the geographic mix of our volume to higher-priced regions, to reduce costs and working capital requirements, and to ultimately improve our liquidity and strengthen our overall financial foundation.

謝謝你，羅裡。總而言之，我們針對不斷變化的行業動態和日益加劇的宏觀不確定性制定了一項嚴謹的計劃，並且我們正在按照該計劃執行。我們的目標很明確，包括增加銷售量和市場份額，提高平均價格（尤其透過調整銷售量在高價地區的地理分佈），降低成本和營運資金需求，最終提高流動性，增強整體財務基礎。

As it relates to our third quarter, we're pleased that our efforts across all of these areas are beginning to translate into improved bottom-line performance. This reflects signs of progress and momentum towards accelerating our path back to normalized levels of profitability as the market recovers. This is last point, I spoke earlier here to a number of potential catalysts to support a rebound of the steel market in the near term. Longer term, we remain bullish on the structural tailwinds that support the ongoing shift towards electric arc furnace steelmaking.

就第三季而言，我們很高興看到我們在所有這些領域的努力開始轉化為利潤的改善。這反映出隨著市場復甦，我們在加快恢復正常獲利水準的道路上取得了進展和勢頭。這是最後一點，我之前在這裡談到了一些可能在短期內推動鋼鐵市場反彈的催化劑。從長遠來看，我們仍然看好支撐向電弧爐煉鋼持續轉變的結構性利好因素。

Globally, based on data published by the World Steel Association, the EAF method of steelmaking further increased its market share in 2024, accounting for 51% of steel production outside of China. This is a continuation of the steady share growth that the EAF industry has experienced for a number of years. And driven by decarbonization efforts, we expect this trend to continue. In the US, which produces approximately 80 million tonnes of steel annually, over 20 million tonnes of new EAF capacity has either recently come online or is planned for the coming years, with further announcements expected as we move ahead.

根據世界鋼鐵協會公佈的數據，到 2024 年，電弧爐煉鋼法的市佔率進一步擴大，佔中國以外鋼鐵產量的 51%。這是電弧爐產業多年來持續穩定成長的趨勢的延續。在脫碳努力的推動下，我們預計這一趨勢將持續。在美國，每年約生產 8,000 萬噸鋼鐵，超過 2,000 萬噸的新電弧爐產能最近已經投產或計劃在未來幾年投產，隨著時間的推移，預計還會有更多公告。

This will drive further share gains for electric arc furnace steel production in this key region. In the EU, while some European steelmakers have announced temporary delays in their EAF transition plans, other projects continue to move forward, and we continue to expect a meaningful mix shift towards EAF steelmaking within the EU in the medium to longer term. Further, with graphite electrode inventories remaining at low levels in Europe, an increase in European EAF steel production should lead to an outsized increase in graphite electrode demand.

這將進一步推動電弧爐煉鋼在該關鍵地區的市場份額成長。在歐盟，雖然一些歐洲鋼鐵製造商宣布暫時推遲其電弧爐煉鋼轉型計劃，但其他項目仍在繼續推進，我們仍然預計在中長期內，歐盟的鋼鐵生產結構將發生顯著變化，轉向電弧爐煉鋼。此外，由於歐洲石墨電極庫存仍處於較低水平，歐洲電弧爐煉鋼產量的增加應該會導致石墨電極需求的大幅成長。

Given the expected growth in demand and tariff protections impacting certain form graphite electrode producers, the US and the EU remain important strategic regions for GrafTech for the long term. With our strong commercial momentum in these regions and our focus on meeting the evolving needs of our customers, we are well positioned to capitalize on this demand growth. Expanding briefly on the topic of trade protection. We are continuously assessing a range of potential tariff outcomes and how those scenarios could influence steel industry trends and shape the commercial environment for graphite electrodes, and more broadly, synthetic graphite.

鑑於對某些形式的石墨電極生產商的需求預期增長以及關稅保護措施的影響，美國和歐盟對於 GrafTech 而言，從長遠來看仍然是重要的戰略地區。憑藉我們在這些地區強勁的商業發展勢頭，以及我們專注於滿足客戶不斷變化的需求，我們已做好充分準備，把握這一需求成長帶來的機會。簡單闡述貿易保護問題。我們正在不斷評估一系列潛在的關稅結果，以及這些情況將如何影響鋼鐵業的趨勢，並塑造石墨電極以及更廣泛意義上的合成石墨的商業環境。

Speaking to the US, we are encouraged by the steps that the administration is taking to create a more level playing field from a trade perspective and to protect critical industries. As it relates to the steel industry, with the expanded Section 232 tariffs that have been implemented on steel imports into the US, we continue to expect these tariffs will be stickier than the broader tariff programs that have continued to evolve. As it relates to critical minerals, which includes synthetic graphite made from petroleum needle coke, we expect to see growing demand in this market driven by the growth in the EAF steelmaking and the building of Western supply chains for battery needs, whether for electric vehicles or energy storage applications.

與美國方面溝通時，我們對美國政府為創造更公平的貿易環境和保護關鍵產業所採取的措施感到鼓舞。就鋼鐵業而言，隨著美國對鋼鐵進口實施擴大的 232 條款關稅，我們仍然預計這些關稅將比不斷發展的更廣泛的關稅計劃更具黏性。就關鍵礦物而言，包括用石油針狀焦製成的合成石墨，我們預計，隨著電弧爐煉鋼的增長以及西方電池供應鏈的建設（無論是用於電動汽車還是儲能應用），該市場的需求將會增長。

However, the establishment of those western supply chains from raw material manufacturer through to the OEMs, remains in early stages and we're operating in an industry that is suffering from overcapacity in China. Against this backdrop of market dominance, earlier this month, China announced expanded export controls on synthetic graphite. While it remains too early to assess the longer-term impact of these measures, we believe that the potential for international trade disruptions further highlights the strategic importance of the West, reducing its reliance on China for critical minerals such as synthetic graphite, to accelerate the development of the domestic supply chain with the support of policy making.

然而，從原料製造商到整車製造商的西方供應鏈的建立仍處於早期階段，而且我們所處的產業正遭受中國產能過剩的困擾。在這種市場主導地位的背景下，本月初，中國宣布擴大合成石墨的出口管制。雖然現在評估這些措施的長期影響還為時過早，但我們認為，國際貿易中斷的可能性進一步凸顯了西方的戰略重要性，即減少其對中國關鍵礦產（如合成石墨）的依賴，並在政策制定的支持下加速國內供應鏈的發展。

To that end, earlier this year, the Department of Commerce announced preliminary anti-dumping tariffs of 93.5% being imposed on graphite active anode material imports from China. This stacks on top of previously announced tariffs resulting in a combined tariff of 160% on Chinese anode material imported into the US. While further policy measures will be needed, we welcome this important development, which, along with recent announcements related to initiatives on sourcing of rare earth and other critical minerals, demonstrates a strategic intent on the part of the US government to foster an ex-China supply chain for these key materials.

為此，今年早些時候，美國商務部宣布對從中國進口的石墨活性負極材料徵收 93.5% 的初步反傾銷稅。這與先前宣布的關稅疊加，導緻美國對中國進口陽極材料徵收的綜合關稅高達 160%。雖然還需要進一步的政策措施，但我們歡迎這項重要進展。這項進展，連同最近宣布的有關稀土和其他關鍵礦物採購的舉措，表明美國政府有戰略意圖，即促進這些關鍵材料擺脫對中國的依賴，建立供應鏈。

As it relates to GrafTech, given the fluid nature of global trade policy, and the heightened attention on critical minerals, we are taking proactive measures that seek to minimize the risk to GrafTech, capitalize on emerging opportunities, and promote fair trade in our key markets. All of this is consistent with our approach on advocating for ourselves in order to optimally position GrafTech and its stakeholders for long-term success. In closing, this is a pivotal time for GrafTech. We made tremendous progress on our strategic initiatives, and that progress gives us confidence.

就 GrafTech 而言，鑑於全球貿易政策的不斷變化以及對關鍵礦產的高度關注，我們正在採取積極措施，力求最大限度地降低 GrafTech 面臨的風險，抓住新興機遇，並在我們的主要市場促進公平貿易。所有這些都與我們為自己爭取權益、從而使 GrafTech 及其利害關係人獲得長期成功的最佳策略一致。總之，現在是 GrafTech 的關鍵時期。我們在策略性舉措方面取得了巨大進展，這項進展給了我們信心。

We are in a strong position to benefit from the long-term structural trends that are set to shape the future of our industry. As a result, we're energized by the opportunities that lie ahead. We remain fully committed to executing our strategy, delivering value for our customers, and driving long-term sustainable growth for our stakeholders. This concludes our prepared remarks. We'll now open the call for questions.

我們處於有利地位，能夠從塑造我們行業未來的長期結構性趨勢中受益。因此，我們對未來的機會充滿熱情。我們將繼續全力執行我們的策略，為客戶創造價值，並為我們的利害關係人推動長期永續成長。我們的發言稿到此結束。現在開始接受提問。

Thank you. We well now begin the question-and-answer session. (Operator Instructions) Arun Viswanathan, RBC Capital Markets.

謝謝。現在我們將開始問答環節。（操作員說明）Arun Viswanathan，RBC Capital Markets。

Great. Thanks for taking my questions; hope you guys are well. So I guess, first off, I guess -- do we -- should we expect any other kind of deferred revenue benefits? Or where does that arise from? And is that one-time in nature, I guess, first off?

偉大的。謝謝你們回答我的問題；希望你們一切都好。所以我想，首先，我想問的是──我們是否應該期待其他類型的遞延收入收益？或者說，這種現象從何而來？首先，我想，這種情況在自然界中只發生過一次吧？

This is Rory, good morning. You should not expect any further. I mean, we don't have anything deferred left on the balance sheet. You'll note that in the upcoming disclosures in our SEC filings. So consider it one-time, it relates – [along] since collected receivable that is no longer going to impact the -- or the results going forward.

我是羅裡，早安。你不應該再有任何其他期待了。我的意思是，我們的資產負債表上已經沒有任何遞延支出了。您會在我們即將提交給美國證券交易委員會的文件中看到相關揭露。所以把它看作是一次性的，它與已收回的應收帳款有關，這不再會影響——或者說，不會影響未來的結果。

Sure, thanks. And then just on price and volume. So your average price came in a little bit lower than what we were thinking. Mainly that was -- maybe our own mismatching of your contract roll-offs. But I guess, what do you guys think about the current demand and price environment? It does appear that utilization rates are still globally at a point that wouldn't necessarily support higher electrode pricing? Or maybe you can just comment on that? And if you need to weave in some thoughts on needle coke and how that's progressing as well, that would be helpful. Thanks.

好的，謝謝。然後就看價格和銷量了。所以你們的平均價格比我們預想的還要低。主要原因可能是——我們自己對你們的合約終止安排不符。不過，我想問大家，你們對目前的需求和價格環境有什麼看法？目前看來，全球電極利用率仍處於不足以支撐更高電極價格的水平？或者您能否就此發表一下看法？如果你還需要補充一些關於針狀可卡因及其發展的想法，那就更好了。謝謝。

Yes, Arun, I'll start by saying, I'm going to be careful about talking too much about pricing. Certainly, anything forward-looking just given the fact that we're in the middle of our negotiations with customers, both in the US and Europe and globally right now. But I mean, I think we commented quite a bit about this in the second quarter call. I mean it's an oversupplied market right now. And so therefore, that makes it challenging to push pricing in such a market.

是的，阿倫，首先我要說的是，我會謹慎地避免過度談論價格問題。當然，鑑於我們目前正在與美國、歐洲乃至全球的客戶進行談判，任何前瞻性的計劃都難以實現。但我的意思是，我認為我們在第二季財報電話會議上已經對此進行了許多討論。我的意思是，現在市場供應過剩。因此，在這種市場環境下推動價格上漲就變得非常困難。

That being said, I think you're starting to see some positive momentum across the steel industry and whether that's because of infrastructure and defense spending in Europe, whether it's because of trade actions that have been ongoing for now more than six or seven months in the US and recently announced in Europe. I think we're starting to see some momentum where we expect not only steel demand, but also steel production predict to pick up in those regions.

話雖如此，我認為鋼鐵業開始出現一些積極的勢頭，這或許是因為歐洲的基礎設施和國防開支，或許是因為美國已經持續了六、七個月，最近又在歐洲宣布的貿易行動。我認為我們開始看到一些勢頭，預計這些地區的鋼鐵需求和鋼鐵產量都將有所回升。

So all in all, it still remains a challenging market, but I think we're still optimistic that we'll start to see some more positive momentum on the pricing side as we look out going forward. And certainly, to the longer term, I think we still firmly believe that you're going to see a big influx of additional EAF production. I commented on the 20 million tonnes or so that we're seeing in the US right now already. As it relates to needle coke, needle coke continues to remain relatively flat from an overall pricing perspective globally. And I think, again, that's a reflection of where the electrode market is right now.

總而言之，市場仍然充滿挑戰，但我認為我們仍然樂觀地認為，展望未來，價格方面將會出現一些更積極的勢頭。當然，從長遠來看，我們仍然堅信，電弧爐產量將會大幅增加。我評論了目前美國已經出現的約 2000 萬噸的產量。就針狀焦而言，從全球整體價格來看，針狀焦的價格仍保持相對穩定。我認為這再次反映了電極市場目前的狀況。

I think the trade case that you're seeing play out right now in the Department of Commerce against the active anode material in China. The 93.5% tariff rate that we mentioned that will be finalized (inaudible) depending on when the government reopens, Q1 of next year, I think that will start to underpin and give all of the producers of anode material more confidence to continue to invest in their projects. And I think that will continue to support the overall demand for needle coke, and you'll start to see that market tighten up and pricing improve, and that will have a knock-on effect into the electrode market. So it's where we are today, and I think greener pastures ahead as we look out into the future.

我認為你現在看到的這場針對中國活性陽極材料的貿易訴訟，是美國商務部正在審理的。我們提到的 93.5% 的關稅稅率將最終確定（聽不清楚），這取決於政府何時重新開放，可能是明年第一季。我認為這將開始支撐並讓所有陽極材料生產商更有信心繼續投資他們的項目。我認為這將繼續支撐針狀焦的整體需求，你會看到市場趨於緊張，價格有所改善，這將對電極市場產生連鎖反應。這就是我們目前的處境，但我認為展望未來，我們將迎來更美好的未來。

Great, thanks. And then if I could just ask on the idea of supplying into the battery-related materials market. I guess you just mentioned that the market is oversupplied for electrodes. So I guess, is there any way to accelerate the commercial applications? Where are you on that time line? And we've been in an oversupplied market on electrodes for a while now. So is there any limitations to moving forward to pivot some of your portfolio into that market as well?

太好了，謝謝。然後，我能否問一下關於向電池相關材料市場供貨的想法？我想你剛才提到了電極市場供應過剩的問題。所以我想知道，有沒有辦法加速商業應用？你目前處於時間線上的哪個位置？而且，電極市場已經供過於求一段時間了。那麼，將部分投資組合轉移到該市場是否有任何限制？

I think our understanding is that you guys have maybe 180,000 tonnes-plus of capacity and maybe 130 is used in electrodes. So there does appear to be some latent capacity that you maybe you could direct into that market. What's taking this long? And where are you in that journey?

據我們了解，你們的產能可能超過 18 萬噸，其中可能 13 萬噸用於電極。所以，似乎確實存在一些潛在產能，或許你可以將其引導到該市場。怎麼這麼久？你目前處於這段旅程的哪個階段？

Yeah. No, I think that's a fair question, and I think consistent with what we've said in the past. We continue to develop our capabilities. I think where we have a distinct advantage to the market right now is the vertical integration with Seadrift and the ability to supply needle coke and raw materials into that market. As you noted, there is excess graphitization capacity, both in the US and the EU, given that we're operating at roughly 60% to 65% utilization rates.

是的。不，我認為這是個合理的問題，而且我認為這與我們過去所說的一致。我們將繼續提升自身能力。我認為我們目前在市場上的明顯優勢在於與 Seadrift 的垂直整合，以及向該市場供應針狀焦和原料的能力。正如您所指出的，鑑於我們目前的產能利用率約為 60% 至 65%，美國和歐盟都存在過剩的石墨化產能。

But to be able to maximize that, you need to have batteries being produced by those that want to be non-Chinese suppliers in those regions, right? And right now, all of the battery material continues to be supplied by the Chinese, which is why that trade case is so critically important to allow those that want to have broader aspirations of producing anode (inaudible) battery factories in the US and the EU to be able to support their financing activities and make a market that otherwise is competitive and constructive for them.

但要最大限度地發揮這種優勢，就需要讓那些地區的非中國供應商生產電池，對吧？目前，所有電池材料仍然由中國供應，因此，該貿易案至關重要，它可以讓那些希望在美國和歐盟建立陽極（聽不清楚）電池工廠的人能夠支持他們的融資活動，並創造一個對他們而言具有競爭力和建設性的市場。

We've said all along that we don't see ourselves as a standalone add-on producer. We're somewhat balance sheet constrained from that standpoint. But I think that we would be a good partner for someone who's looking for raw material supply and/or someone who's looking for interim bridge supply of graphitization capability, and/or graphitization expertise given that that's what we do.

我們一直都說，我們並不把自己定位為獨立的插件生產商。從這個角度來看，我們的資產負債表受到一定限制。但我認為，對於那些正在尋找原材料供應商和/或正在尋找石墨化能力和/或石墨化專業知識的過渡性供應商的人來說，我們將是一個很好的合作夥伴，因為這就是我們所做的事情。

So we think there's still opportunities out there. But that market is still developing, and it will take some time. I think the finalization of the trade case next year will be an important milestone to start to see that market unlock itself somewhat. And I think we're still pretty optimistic not only just because of batteries for EVs, but probably equally and almost more importantly, is energy storage systems as we look forward on the electricity needs that the world is going to face here, which has been a very popular topic of late.

所以我們認為機會依然存在。但這個市場仍在發展中，還需要一些時間。我認為明年貿易案的最終裁決將是一個重要的里程碑，標誌著市場開始逐步解凍。我認為我們仍然相當樂觀，不僅是因為電動車的電池，而且可能同樣重要，甚至更重要的是儲能係統，因為我們展望未來世界將面臨的電力需求，這最近一直是一個非常熱門的話題。

Great, thanks a lot.

太好了，非常感謝。

Thanks, Arun.

謝謝你，阿倫。

Bennett Moore, JPMorgan.

貝內特摩爾，摩根大通。

Good morning, Tim and Rory. Congrats on the solid quarter. Thanks for taking my questions.

早安，提姆和羅裡。恭喜你們本季業績穩健。謝謝您回答我的問題。

Thanks, Ben.

謝謝你，本。

I wanted to start quick on the 50% tariffs on India material. I think those have been in place since August. Have you seen any material impact on imports into the US as a result? And do you think these tariffs could help drive share gains or some of your conversations regarding 2026 commitments?

我想盡快著手對印度原料徵收 50% 的關稅。我認為這些措施從八月就開始實施了。因此，您是否觀察到對美國進口的任何實質影響？您認為這些關稅能否幫助推動市場佔有率成長，或對您關於 2026 年承諾的一些討論有所幫助？

Yeah. Again, I think we're confident, as we said, that we will continue to see gains in the US. I think we have a full expectation that we'll continue to grow volume in whole or in total as we head into next year, but we'll continue to focus a lot of energy into the US market.

是的。正如我們之前所說，我們仍然有信心，美國市場將繼續成長。我認為我們完全有理由相信，明年整體銷售將繼續成長，但我們將繼續把大量精力投入美國市場。

Really, again, as a market that I think customers recognize the value proposition, the technical services and all of the capabilities we bring to the table. So we certainly do think that that remains an opportunity for us. With respect to the Indian tariffs, right, I think -- that presents an opportunity in the market, right? I think certainly, anybody facing a 50% tariff is going to have a hard time overcoming that economic hurdle and should be supportive for negotiations as we head into those negotiations here in the fourth quarter.

再次強調，我認為市場客戶認可我們的價值主張、技術服務以及我們所能提供的所有能力。所以我們認為這對我們來說仍然是一個機會。關於印度的關稅，我認為——這為市場帶來了機遇，對吧？我認為，任何面臨 50% 關稅的國家都很難克服這一經濟障礙，因此應該支持談判，因為我們將在第四季度進入談判階段。

And maybe I'll take an opportunity to step back and editorial to realize a little bit, right? I mean, I think both the Chinese and the Indians have really overbuilt their electrode capacity to multiples and multiples greater than their domestic EAF consumption could ever reach, and I think if we look back to 2022, the Indians are exporting almost 60% more material than they did then.

也許我可以藉此機會退後一步，進行一些反思和反思，對吧？我的意思是，我認為中國和印度的電極產能都嚴重過剩，遠遠超過了國內電弧爐消耗量。我認為，如果我們回顧2022年，印度的電極出口量比當時增加了近60%。

They've lowered their prices by 40%, the Chinese have lowered their prices by more than 30%. And I think a combination of those reasons and the ongoing war in Russia and the financing of that were through the purchasing of oil as well as the supply of electrodes into the Russian market, really, to me, is a strong reason in basis or justification for keeping those tariffs in place and hope that they don't just become a bargaining chip as the Trump administration works to settle out the trade disputes that are ongoing. So it's an opportunity for us, but certainly look forward to the negotiations here in the fourth quarter with that as a backdrop.

他們已經降價 40%，中國人已經降價 30% 以上。我認為，這些原因，加上俄羅斯持續不斷的戰爭以及通過購買石油和向俄羅斯市場供應電極來資助這場戰爭，對我來說，這確實是維持這些關稅的有力依據或理由，我希望這些關稅不會僅僅成為特朗普政府在努力解決持續貿易爭端時的談判籌碼。所以這對我們來說是一個機會，但我們當然期待在此背景下，在第四季進行談判。

That's great color, thanks. And then my last follow-up here is regarding some commentary last quarter, you discussed scrap type being an attractive candidate for public-private partnership. Since then, we've seen some additional deals unfold, including government entities, providing financial support for the graphite industry. So just wondering if GrafTech had any sort of new engagement on this for instance this last quarter? Thanks.

顏色真好看，謝謝。最後，我想就上個季度的一些評論提出一些後續問題，您當時討論了廢料處理是公私合作的理想選擇。此後，我們看到一些額外的交易達成，包括政府實體為石墨產業提供財政支援。所以我想知道GrafTech上個季度在這方面是否有任何新的進展？謝謝。

Yeah. Thanks for that question, Bennett. I think you really need to take a step back and think about the work that the government is doing on critical minerals as well as trade policy and take that all into consideration as we think about how we promote a strong and domestic industrial base and in particular, steel making, right? I mean 70% of this deal in the US is made via the EAF. 50% of steel in Europe is made via EAFs.

是的。謝謝你的提問，貝內特。我認為你真的需要退後一步，好好想想政府在關鍵礦產和貿易政策方面所做的工作，並在思考如何促進強大的國內工業基礎，特別是鋼鐵製造業發展時，把所有這些因素都考慮進去，對吧？我的意思是，美國70%的鋼鐵都是用電弧爐煉鋼完成的。歐洲50%的鋼鐵也是透過電弧爐煉鋼完成的。

You can't produce that steel without electrode. So it's really important that not only are we protecting the steel and the downstream industries for steel, but we also have to think about the supply chains and the base that supports the steel industry, and we really need to see a healthy electrode industry to support that.

沒有電極就生產不出那種鋼。因此，我們不僅要保護鋼鐵及其下游產業，還要考慮支撐鋼鐵產業的供應鏈和基礎，而我們確實需要一個健康的電極產業來支撐鋼鐵產業。

As we think about what's going on and some of the announcements that you mentioned, we said this on the second-quarter call and still stand by it that we're really applauding what the Trump administration is doing on that front and what the Department of War is doing to support the development of critical mineral supply chains, both in the US and with its allies. We've talked about the 93%. So I won't go back down that path. But I think just this trade tit for tat that you're seeing between the US and China around critical minerals really highlights that importance, again, of creating that strategic supply chain. And I think synthetic graphite squarely fits into what the aim of that is.

當我們思考當前情況以及您提到的一些公告時，我們在第二季度電話會議上說過，並且仍然堅持這一觀點，那就是我們非常讚賞川普政府在這方面所做的工作，以及戰爭部為支持美國及其盟友的關鍵礦產供應鏈發展所做的工作。我們已經討論過93%這個數字了。所以我不會再走那條路了。但我認為，目前中美兩國圍繞關鍵礦產展開的這種針鋒相對的貿易戰，再次凸顯了建立戰略供應鏈的重要性。我認為合成石墨完全符合這個目標。

I think as it relates to GrafTech, I think we're uniquely positioned as a 139-year-old industry leader, technical innovator as well as being the only vertically integrated producer of synthetic graphite with Seadrift down in Texas. And we're confident that will play a critical role in supporting the domestic supply chain now and into the future. I think we remain confident that we can be a good strategic partner in this space, and we'll continue our advocacy efforts to propose GrafTech's interest now and into the future. As it relates to any further commentary, I just think at this point, it wouldn't be appropriate or useful for me to comment further.

我認為就 GrafTech 而言，我們擁有獨特的優勢，作為一家擁有 139 年歷史的行業領導者和技術創新者，同時也是唯一一家垂直整合的合成石墨生產商，我們在德克薩斯州擁有 Seadrift 公司。我們相信，這將在現在和未來為支持國內供應鏈發揮關鍵作用。我認為我們仍然有信心成為該領域優秀的戰略合作夥伴，我們將繼續積極倡導 GrafTech 現在和未來的利益。至於是否還要進一步評論，我認為此時此刻我再作評論既不合適也無濟於事。

Understood. Thanks for that, great context, and best of luck moving forward.

明白了。謝謝，這提供了很好的背景信息，祝你未來一切順利。

Thanks, Bennett. Have a great day.

謝謝你，貝內特。祝你有美好的一天。

Jay Spencer, Stifel.

Jay Spencer，Stifel。

Hi there. So you mentioned your selling price on average is $4,200 per tonne. And you mentioned that the US volumes, I believe you said boosted the average price by $120 per tonne. Is that -- is it fair to say that US pricing has improved sequentially from the prior quarter?

你好呀。您提到您的平均售價是每噸 4,200 美元。你提到美國的需求量，我相信你說，讓平均價格每噸上漲了 120 美元。也就是說，美國的物價水準是否比上一季有所改善？

I would say -- this is Rory. I would say it's flat to slightly up compared to the prior quarter.

我會說——這就是羅裡。我認為與上一季相比，基本持平或略有成長。

Remember that you typically see US contracts negotiated on an annual basis. So you don't see a lot of price movement within the US on an annual basis.

請記住，美國合約通常是每年協商一次的。因此，在美國，你不會看到每年價格有太大的波動。

Got you. Okay. And as us analysts looking for indicators of pricing, we've looked at China graphite electrode pricing on Bloomberg historically, even though that's not the price you guys actually realized that it was -- that provided some information in terms of directionality. But given the increase in tariffs for active anode material and given your focus on the US. Is that that Bloomberg metric no longer useful? Or how should we think about that?

抓到你了。好的。作為尋找價格指標的分析師，我們查看了彭博社上中國石墨電極的歷史價格，儘管那並不是你們實際意識到的價格——但這提供了一些方向性資訊。但考慮到活性陽極材料關稅的增加，以及你們對美國的關注。彭博社的那個指標已經過時了嗎？我們該如何看待這個問題？

Yeah. So that Bloomberg price we've seen quite a bit of volatility over the last 12 to 18 months. I think it serves at least as a directional indicator of what you're seeing in the market maybe not at those exact levels, just given the delta between the domestic market, the export market, and what that looks like. But China pricing -- the Chinese export pricing is always going to be a proxy for what the rest of world pricing is. So those regions that are less focused on quality and are focused on buying the cheapest electrodes available to the market.

是的。因此，在過去的 12 到 18 個月裡，我們看到彭博價格出現了相當大的波動。我認為這至少可以作為市場走向的一個方向性指標，雖然可能不完全符合這些水平，但考慮到國內市場、出口市場以及它們之間的差異，就可以作為參考。但是中國的定價——中國的出口定價始終可以作為世界其他地區定價的參考指標。所以，那些不太注重質量，而專注於購買市場上最便宜的電極的地區。

So that Chinese pricing is going to see -- or have a bigger impact in the Middle East, Turkey, Africa, South America, in particular. As it relates to the US and the EU, it doesn't necessarily influence those prices to the same extent, just given the fact that you do already have trade protections in place against Chinese electrodes to some extent in the US, and certainly to a bigger extent in the EU.

因此，中國的定價策略將對中東、土耳其、非洲、南美洲等地產生更大的影響。至於美國和歐盟，由於美國已經對中國電極產品實施了一定程度的貿易保護，而歐盟的貿易保護力度更大，因此，它對這些價格的影響程度未必相同。

So it certainly is an influence, but it isn't the ultimate driver in those two end markets. What becomes the challenge is the amount of volume that gets put into the rest of world by the Chinese, exporting 300,000-plus tonnes of electrodes into the rest of world markets puts a lot of pressure on the western suppliers to focus their energies in the markets that have better pricing. And it just has this knock-on effect as you think about globally. So that's why the commentary on the excess capacity and exporting their excess capacity becomes so relevant.

所以它當然是一個影響因素，但它並不是這兩個終端市場的最終驅動因素。挑戰在於中國向世界其他地區出口的電極數量，超過 30 萬噸的電極出口到世界其他市場，這給西方供應商帶來了極大的壓力，迫使他們將精力集中在價格更好的市場。從全球角度來看，這會產生連鎖反應。所以，關於產能過剩和出口過剩產能的評論就顯得非常重要。

Okay, thank you very much.

好的，非常感謝。

Thank you.

謝謝。

That concludes the question-and-answer session. I would like to turn the call back over to our CEO, Tim Flanagan, for closing remarks.

問答環節到此結束。我謹將電話交還給我們的執行長提姆·弗拉納根，請他作總結發言。

Thank you, Desiree. I'd like to thank everyone on this call for your interest in GrafTech, and we look forward to speaking with you next quarter. Have a great day.

謝謝你，黛西蕾。感謝各位對 GrafTech 的關注，我們期待下季與各位再次交流。祝你有美好的一天。

Ladies and gentlemen, that concludes today's call. Thank you all for joining, and you may now disconnect.

女士們、先生們，今天的電話會議到此結束。感謝各位的參與，現在可以斷開連結了。