Emergent BioSolutions Inc (EBS) 2024 Q2 法說會逐字稿

Good afternoon, everyone. I'm the operator for today's call. Thank you for joining today as Emergent discusses their operational and financial results for the second quarter 2024.

大家下午好。我是今天電話的接線生。感謝您今天參加 Emergent 討論其 2024 年第二季的營運和財務表現。

As is customary, today's call is open to all participants and the call is being recorded and is copyrighted by Emergent BioSolutions. In addition to today's press release, there is a series of slides accompanying this webcast available to all webcast participants.

按照慣例，今天的電話會議向所有參與者開放，電話會議正在進行錄音，版權歸 Emergent BioSolutions 所有。除了今天的新聞稿外，所有網路廣播參與者還可以觀看本網路廣播附帶的一系列幻燈片。

Turning to slide three. During today's call, Emergent may make projections and other forward-looking statements related to their business, future events, their prospects, or future performance. These forward-looking statements are based on their current intentions, beliefs, and expectations regarding future events.

翻到第三張幻燈片。在今天的電話會議中，Emergent 可能會做出與其業務、未來事件、前景或未來業績相關的預測和其他前瞻性陳述。這些前瞻性陳述是基於他們當前的意圖、信念和對未來事件的期望。

Any forward-looking statement speaks only as of the date of this conference call and as except as required by law, Emergent does not undertake to update any forward-looking statement to reflect new information, event, or circumstances.

任何前瞻性聲明僅代表本次電話會議之日的情況，除非法律要求，否則 Emergent 不承諾更新任何前瞻性聲明以反映新資訊、事件或情況。

Investors should consider this cautionary statement as well as the risk factors identified in Emergent's periodic reports filed with the SEC when evaluating their forward-looking statements. During today's call, Emergent may also discuss certain non-GAAP financial measures that involve adjustments to GAAP figures in order to provide greater transparency regarding Emergent's operating performance. Please refer to the tables found in today's press release.

投資者在評估前瞻性陳述時應考慮此警告聲明以及 Emergent 向 SEC 提交的定期報告中確定的風險因素。在今天的電話會議上，Emergent 也可能討論某些非 GAAP 財務指標，其中涉及對 GAAP 數據的調整，以便提高 Emergent 經營績效的透明度。請參閱今天新聞稿中的表格。

Turning to slide four, the agenda for today's call will include Joe Papa, President and Chief Executive Officer, who will comment on the multi-year plan update, key product highlights, and future catalysts. Rich Lindahl, EVP and Chief Financial Officer, who will speak to the current state of the company, financials for second quarter, as well as 2024 full-year guidance, including guidance for the third quarter. This will be followed by Q&A.

轉向幻燈片四，今天電話會議的議程將包括總裁兼首席執行官 Joe Papa，他將評論多年計劃更新、關鍵產品亮點和未來催化劑。執行副總裁兼財務長 Rich Lindahl 將介紹公司的現況、第二季的財務狀況以及 2024 年全年指引，包括第三季的指引。接下來將進行問答。

Finally, and for the benefit of those who will be listening to the replay of this webcast, this call was held and recorded on August 6, 2024. Since then, Emergent may have made announcements related to topics discussed during today's call.

最後，為了那些將收聽本次網路廣播重播的人的利益，本次電話會議於 2024 年 8 月 6 日舉行並進行了錄音。從那時起，Emergent 可能發布了與今天電話會議中討論的主題相關的公告。

And with that, I would now like to turn the call over to Joe Papa for opening remarks. Joe?

現在，我想將電話轉交給喬·帕帕（Joe Papa）致開幕詞。喬？

Hello, everyone, and thank you for joining us today to discuss our second quarter results in our 2024 financial outlook. I am joined today by Rich Lindahl, our Chief Financial Officer. Following my opening remarks, Rich will detail our quarter two performance, provide guidance for the third quarter, as well as our full-year guidance. I will then review our future growth drivers, providing summarizing thoughts on our multi-year plan, and then we'll open it up for Q&A.

大家好，感謝您今天加入我們討論 2024 年財務展望中的第二季業績。今天我們的財務長 Rich Lindahl 也加入了我的行列。在我的開場白之後，里奇將詳細介紹我們第二季的業績，提供第三季的指導以及我們的全年指導。然後我將回顧我們未來的成長動力，總結我們的多年計劃的想法，然後我們將開放它進行問答。

First, I would like to start by thanking our Emergent team members who have been hard at work executing on our multi-year plan to stabilize, turn around, and transform the business. It has been a great team effort in the first half of this year, and specifically our quarter two efforts enabled us to exceed our quarter two revenues guidance without a significant ACAM2000 shipment that we were able to recognize in early July. I appreciate the dedication of our team, especially their support for our mission and our values.

首先，我要感謝我們的 Emergent 團隊成員，他們一直在努力執行我們的多年計劃，以穩定、扭轉和轉型業務。今年上半年，團隊付出了巨大的努力，特別是我們第二季度的努力使我們能夠超出第二季度的收入指導，而我們在 7 月初就意識到 ACAM2000 的出貨量並不大。我感謝我們團隊的奉獻精神，特別是他們對我們的使命和價值的支持。

Turning to slide six, I'd like to review our progress against our multi-year plan focused on stabilizing Emergent. Based on the first half performance, we are raising the midpoint of our 2024 revenue and adjusted EBITDA guidance, which Rich will walk through in great detail. While there are some one-time items in Q2 numbers, we made great progress against our plan, including making a significant reduction to our debt, as well as operating performance and working capital improvement.

轉向第六張幻燈片，我想根據我們專注於穩定 Emergent 的多年計劃回顧我們的進展。根據上半年的業績，我們提高了 2024 年收入的中點，並調整了 EBITDA 指導，Rich 將詳細介紹這一點。雖然第二季的數據中有一些一次性項目，但我們在計劃方面取得了很大進展，包括大幅減少債務，以及營運績效和營運資本改善。

We focused on our product core business drivers and delivered for our customers and patients. We created a customer-focused, leaner, more flexible organization, and we streamlined our site network.And finally, leveraging our product and internal capabilities to support future growth.

我們專注於我們的產品核心業務驅動因素，並為我們的客戶和患者提供服務。我們創建了一個以客戶為中心、更精簡、更靈活的組織，並簡化了我們的站點網路。

Turning to slide seven, I'd like to call several activities that have been critical during the initial stabilization phase of our multi-year plan. We successfully amended our credit agreement, expanding the runway to execute on our operational plan. Following our May 1, restructuring announcement and after the transaction with Bora closes for our Camden site this quarter, combined, we will have reduced our workforce by approximately 50% since January of 2024. We will also have a total of approximately $110 million in expense savings from these combined efforts.

轉到第七張幻燈片，我想談談在我們多年計劃的初始​​穩定階段至關重要的幾項活動。我們成功修改了信貸協議，擴大了執行營運計畫的範圍。繼 5 月 1 日宣布重組之後，以及本季與 Bora 完成卡姆登工廠交易後，自 2024 年 1 月以來，我們將裁員約 50%。透過這些共同努力，我們還將總共節省約 1.1 億美元的費用。

In July, we resolved our contract dispute with Janssen and received a $50 million payment from the settlement. We successfully completed an FDA inspection at the Camden facility in July, which is a full GMP surveillance inspection of our biologic products. This underscores our commitment to ensuring the highest standards of patient safety and product quality. I thank the team again for all these great efforts.

7 月，我們解決了與 Janssen 的合約糾紛，並從和解中獲得了 5000 萬美元的付款。7 月份，我們在卡姆登工廠成功完成了 FDA 檢查，這是對我們的生物產品的全面 GMP 監督檢查。這強調了我們對確保患者安全和產品品質最高標準的承諾。我再次感謝團隊所做的所有這些巨大努力。

Now on slide eight, I walked through a series of strategic actions taken in the second quarter to reduce our total quantum of debt this year. On our previous earnings calls, we discussed divesting certain products and assets. To date, we have achieved a $75 million divestment of RSDL to SERB pharmaceuticals, $30 million from the sale of our Camden facility to Bora Pharmaceuticals, which is expected to close this month and will result in a 350-person headcount reduction.

現在，在第八張投影片上，我詳細介紹了第二季為減少今年債務總額而採取的一系列策略行動。在先前的財報電話會議上，我們討論了剝離某些產品和資產。迄今為止，我們已完成7,500 萬美元的RSDL 撤資給SERB 製藥公司，其中3,000 萬美元來自將我們的卡姆登工廠出售給Bora Pharmaceuticals，該交易預計將於本月完成，並將導致員工人數減少350人。

The net proceeds from these two transactions is expected to more than satisfy the junior capital rates requirements under emergent amended credit facilities. We also sold an empty underutilized warehouse at our Canton site for $7 million. We received $50 million from Janssen following our contract dispute settlement, and we expect $10 million in the third quarter related to Bavarian Nordic Milestone and anticipate another $20 million by year end. Also, we have generated operational cash flow following our May business update and have improved working capital to contribute to debt pay down. Rich will have more comments on that.

預計這兩項交易的淨收益將超過緊急修訂信貸安排下的初級資本利率要求。我們還以 700 萬美元的價格出售了位於廣州工廠的一個未充分利用的空倉庫。合約糾紛解決後，我們從楊森獲得了 5000 萬美元，我們預計第三季將獲得與巴伐利亞北歐里程碑相關的 1000 萬美元，並預計到年底將再獲得 2000 萬美元。此外，我們在 5 月業務更新後產生了營運現金流，並改善了營運資本，以有助於償還債務。里奇將對此發表更多評論。

Turning to our product business slide on slide nine, we continue to make progress delivering on our commitments. I'll start with the key highlights around NARCAN Nasal Spray. We are continuing to invest in the expansion of NARCAN Nasal Spray, which is more crucial than ever as the opioid crisis continues. Last year, more than 100,000 lives were lost to a drug overdose, of which nearly eight in 10 were caused by an opioid or synthetic opioid. This is an unacceptable number of American lives lost every year.

轉向第九張投影片上的產品業務幻燈片，我們在兌現我們的承諾方面繼續取得進展。我將從 NARCAN 鼻噴劑的主要亮點開始。我們將繼續投資擴大 NARCAN 鼻噴劑，隨著鴉片類藥物危機的持續，這比以往任何時候都更重要。去年，超過 10 萬人因吸毒過量而喪生，其中近十分之八是由鴉片類藥物或合成鴉片類藥物造成的。每年美國人喪生的人數令人無法接受。

As a leading naloxone product, we are determined to increase access points of NARCAN to help get the life- saving product into the hands of more people. And in Canada, where the opioid-related deaths continue to increase, we are working closely with Health Canada to distribute convenience kits containing NARCAN, which are critical to first responders and people in a position to help save a life.

作為領先的納洛酮產品，我們決心增加NARCAN的接入點，幫助更多人獲得救生產品。在加拿大，與鴉片類藥物相關的死亡人數持續增加，我們正在與加拿大衛生部密切合作，分發含有 NARCAN 的便利包，這對急救人員和有能力幫助拯救生命的人至關重要。

We also believe our efforts to broaden access and increase awareness are contributing to the impact we're seeing across several hard-hit areas. For example, states like New Jersey reported 1,007 suspected drug deaths in the first six months of 2024, but that's down 26% from last year. And Maine had an expected 12% decrease in opioid-related overdose deaths.

我們也相信，我們擴大准入和提高意識的努力正在為我們在幾個受災嚴重的地區看到的影響做出貢獻。例如，新澤西州等州報告 2024 年前 6 個月有 1,007 例疑似毒品死亡，但比去年下降了 26%。緬因州與鴉片類藥物相關的過量死亡預計將減少 12%。

While it's not promising to see the number of opioid deaths decreasing, unfortunately, opioid deaths still remain high, and we believe that expanding access to NARCAN is needed. Annually, we expect to deliver NARCAN to about 18,000 individual patients across the US and Canada through our NARCAN Direct Program. We strive to serve as the best- in-class provider to all of our public interest customers.

雖然阿片類藥物死亡人數不太可能減少，但不幸的是，阿片類藥物死亡人數仍然很高，我們認為需要擴大 NARCAN 的使用範圍。每年，我們預計透過 NARCAN 直接計劃向美國和加拿大約 18,000 名患者提供 NARCAN。我們努力成為所有公共利益客戶的一流提供者。

In fact, we announced just earlier today a new distribution center in Nevada. This new facility allows emergents to further meet the increased demand for Naloxone by now having faster, more efficient delivery for NARCAN to all of our customers.

事實上，我們今天早些時候宣佈在內華達州建立一個新的配送中心。這個新設施現在可以更快、更有效率地將 NARCAN 交付給我們所有的客戶，使緊急人員能夠進一步滿足對納洛酮不斷增長的需求。

We continue to tackle the many barriers to increased consumer access by offering online availability through Amazon and pharmacy websites where you're creating an easy access avenue for the people who have an easy way to obtain delivered right at their doorstep.

我們透過亞馬遜和藥局網站提供線上服務，繼續解決增加消費者准入的諸多障礙​​，在這些網站上，您可以為那些可以輕鬆在家門口獲得送貨服務的人們創造一條便捷的准入途徑。

To date, we have distributed boxes of NARCAN to 32,000 retailers. OTC status for NARCAN has also enabled our business-to-business and workplace efforts. We have secured five major businesses that have ordered NARCAN, including United States Gypsum, Coppers, and leading financial services companies, just to name a few.

迄今為止，我們已向 32,000 家零售商分發了成箱的 NARCAN。NARCAN 的非處方藥地位也促進了我們企業對企業和工作場所的努力。我們已經獲得了五家訂購 NARCAN 的主要企業，其中包括 United States Gypsum、Coppers 和領先的金融服務公司等。

We launched Narcan.com/Workplace, which enables businesses to order NARCAN and have it shipped to their offices and worksites. We continue to engage with new partners like the National Safety Council to educate and reach businesses around the importance of workplace safety. And just last month, the American Medical Association shared their support to put Naloxone next to defibrillators in public places.

我們推出了 Narcan.com/Workplace，使企業能夠訂購 NARCAN 並將其運送到他們的辦公室和工作場所。我們繼續與國家安全委員會等新合作夥伴合作，向企業宣傳工作場所安全的重要性。就在上個月，美國醫學會表示支持將納洛酮放在公共場所的除顫器旁。

To pull on this thread, we understand that approximately 1,700 lives are saved by the defibrillators each year, and the device costs about $18 on average. We also believe putting Naloxone, which is a fraction of the defibrillator cost alongside this lifesaving measure, could help tens of thousands of lives lost to opioid overdose each year.

圍繞著這一線索，我們了解到除顫器每年可以挽救約 1,700 條生命，而該設備的平均成本約為 18 美元。我們也相信，將納洛酮（僅佔除顫器成本的一小部分）與這項救生措施結合起來，可以幫助每年因阿片類藥物過量而喪生的數萬人。

Our country is facing a public health crisis that has bipartisan support and continuous federal and state funding helps increase access to NARCAN for first responders. Just last week, a study in Lancet reported that fatal opioid overdoses contributed to a lower American life expectancy by nearly a year. The burden of these deaths on life expectancy and years of life lost is due to the high burden among younger adults. We clearly have more work to do here.

我們的國家正面臨一場公共衛生危機，兩黨的支持和持續的聯邦和州資助有助於增加急救人員獲得 NARCAN 的機會。就在上週，《刺胳針》的一項研究報告稱，致命的鴉片類藥物過量導緻美國人的預期壽命降低了近一年。這些死亡對預期壽命和壽命損失造成的負擔是由於年輕人負擔過重。我們顯然還有更多工作要做。

In a new survey we conducted, it was found that younger generations aged 18 to 34 and those in high school level education were less likely to be aware Naloxone can reverse the effects of fentanyl, putting these already vulnerable populations at further risk. We will continue to strive to meet and respond to our customers' needs to ensure we maintain our leadership position.

我們進行的一項新調查發現，18 至34 歲的年輕一代和受過高中教育的人不太可能意識到納洛酮可以逆轉芬太尼的影響，從而使這些本已脆弱的人群面臨進一步的風險。我們將繼續努力滿足和回應客戶的需求，以確保我們保持領先地位。

Turning to our medical countermeasures portfolio on slide 10, in addition to opioid overdose epidemics, we maintain a leadership position in addressing leading public health threats, including anthrax, smallpox, botulism, and Ebola.

轉向幻燈片 10 上我們的醫療對策組合，除了阿片類藥物過量流行之外，我們在應對主要公共衛生威脅（包括炭疽、天花、肉毒桿菌中毒和伊波拉）方面保持著領導地位。

We are optimistic about the potential of our MCM products, including TEMBEXA and Ebanga, and their ability to contribute to our future growth. This includes over $250 million in contract modifications with the US government for our MCM business, including a $30 million order to supply CYFENDUS, $99.9 million to supply ACAM2000, and new contract options totaling $122.9 million to supply US government VIGIV and BAT.

我們對 TEMBEXA 和 Ebanga 等 MCM 產品的潛力及其為我們未來成長做出貢獻的能力感到樂觀。其中包括與美國政府就我們的MCM 業務進行的超過2.5 億美元的合約修改，包括為CYFENDUS 供貨的3000 萬美元訂單、為ACAM2000 供貨的9990 萬美元以及為美國政府VIGIV 和BAT 供貨的總計1.229 億美元的新合約選項。

We believe that these milestones reaffirm our place as a trusted biodefense partner and demonstrate the strength of our total portfolio. Contracts also indicate continued runway for potential future procurement. In fact, we expect to receive approval from the FDA on our sBLA to expand ACAM for MPOX by the end of the quarter. We have a strong line of sight to future procurement levels for our existing portfolio and look forward to pursuing additional opportunities for contract award in the second half of the year.

我們相信，這些里程碑重申了我們作為值得信賴的生物防禦合作夥伴的地位，並展示了我們整體產品組合的實力。合約還表明未來潛在採購的持續跑道。事實上，我們預計將在本季末獲得 FDA 批准我們的 sBLA，以擴展 MPOX 的 ACAM。我們對現有產品組合的未來採購水準有著強烈的願景，並期待在下半年尋求更多的合約授予機會。

Next on slide 11 is a look at our streamlined footprint of sites in Lansing, Michigan, and Winnipeg. This is driven by our previously announced decision to scale back our bio services work, while maintaining our ability to manufacture and deliver our products to customers. We are winding down our efforts at Bayview and Rockville sites, further reducing our manufacturing footprint and our working capital. As mentioned, we sold our empty facility in Canton, Massachusetts for $7 million, which is demonstrative of our efforts to explore strategic alternatives for sites that are not linked to our core capabilities.

接下來的幻燈片 11 展示了我們在密西根州蘭辛和溫尼伯的工廠的精簡足跡。這是由於我們先前宣布的決定縮減我們的生物服務工作，同時保持我們為客戶製造和交付產品的能力。我們正在逐步減少在灣景和羅克維爾工廠的工作，進一步減少我們的製造足跡和營運資金。如前所述，我們以 700 萬美元的價格出售了馬薩諸塞州坎頓的空置設施，這表明我們努力探索與我們的核心能力無關的工廠的戰略替代方案。

In summary, on slide 12, we have a diverse portfolio of products linked to our manufacturing network that we expect will continue to meet the demands both in the US. and abroad.

總而言之，在投影片 12 上，我們擁有與我們的製造網路相關的多樣化產品組合，我們預計這些產品將繼續滿足美國的需求。和國外。

I'll now hand it over to Rich to review our financials.

我現在將把它交給 Rich 來審查我們的財務狀況。

Thanks Joe, and good afternoon everyone. We appreciate you joining the call today. As Joe has just discussed, we're making significant progress against our near-term priorities of stabilizing the business and strengthening our financial foundation.

謝謝喬，大家下午好。我們感謝您今天加入電話會議。正如喬剛才所討論的，我們在穩定業務和加強財務基礎的近期優先事項方面正在取得重大進展。

Our report today reflects several key proof points. We delivered solid second quarter results with continued momentum of NARCAN, shipments of Anthrax, and an international sale of ACAM2000. We received over $250 million of contract modifications to continue supplying CYFENDUS, ACAM2000, VIGIV, and BAT to the US government.

我們今天的報告反映了幾個關鍵證據。憑藉 NARCAN、Anthrax 的出貨量和 ACAM2000 的國際銷售的持續勢頭，我們實現了穩健的第二季度業績。我們收到了超過 2.5 億美元的合約修改，以繼續向美國政府提供 CYFENDUS、ACAM2000、VIGIV 和 BAT。

We announced a confidential settlement agreement with Janssen Pharmaceuticals, which resulted in a $50 million payment to Emergent on July 31. We announced $112 million in asset sales. We entered into a definitive agreement to divest our Baltimore-Camden facility to Bora Pharmaceuticals for $30 million, sold an underutilized warehouse at our Canton facility for $7 million, and sold our chemical decontamination product, RSDL, to SERB Pharmaceuticals for $75 million.

我們宣布與 Janssen Pharmaceuticals 達成保密和解協議，最終於 7 月 31 日向 Emergent 支付 5,000 萬美元。我們宣佈出售 1.12 億美元的資產。我們簽訂了一項最終協議，以3000 萬美元的價格將我們的巴爾的摩-卡姆登工廠出售給Bora Pharmaceuticals，以700 萬美元的價格出售了我們坎頓工廠的一個未充分利用的倉庫，並以7500 萬美元的價格將我們的化學淨化產品RSDL 出售給了SERB Pharmaceuticals。

These transactions, once fully completed, will satisfy the capital raise requirement in our amended credit facility. We received notification that the EMA accepted the Bavarian Nordic submission for the chikungunya vaccine, which was part of the travel health divestiture in 2023. This acceptance triggers the first milestone payment of $10 million, which we expect to receive in the third quarter.

這些交易一旦完全完成，將滿足我們修訂後的信貸安排中的資本籌集要求。我們收到通知，EMA 已接受巴伐利亞北歐提交的基孔肯雅疫苗申請，該疫苗是 2023 年旅行健康資產剝離的一部分。此次接受將觸發第一筆 1000 萬美元的里程碑付款，我們預計將在第三季收到。

We'll go into further detail on the balance sheet, but the influx of cash from these items is expected to provide approximately $200 million that can be used for debt repayment this year. Since the beginning of 2023, we have also announced actions to reduce annual expenses by roughly a $0.25 billion. This reinforces our commitment to improving our overall financial foundation and setting the business up for stronger profitability and shareholder value going forward.

我們將進一步詳細介紹資產負債表，但這些項目帶來的現金流入預計將提供約 2 億美元，可用於今年的債務償還。自 2023 年初以來，我們也宣布了每年減少約 2.5 億美元開支的行動。這強化了我們對改善整體財務基礎、讓業務未來實現更強獲利能力和股東價值的承諾。

And finally, we are again raising the midpoints of our revenue and adjusted EBITDA guidance for 2024. Turning to our results, we had another strong quarter with revenue above our previously provided guidance. As indicated on slide 14, highlights in the second quarter include total revenues of $255 million, a decrease versus the prior year due to timing of the US government order for ACAM.

最後，我們再次提高 2024 年收入和調整後 EBITDA 指引的中點。談到我們的業績，我們又經歷了一個強勁的季度，收入高於我們之前提供的指導。如投影片 14 所示，第二季的亮點包括總收入為 2.55 億美元，由於美國政府 ACAM 訂單的時間安排，與前一年相比有所下降。

Total segment adjusted gross margin of 26% versus 43% in the prior year, primarily due to the Janssen settlement agreement, the write-down of related assets, and other one-time charges, and adjusted EBITDA in the quarter of negative $10 million, a reduction versus the prior year due to the timing of US government procurements and $28 million of one-time charges.

總部門調整後的毛利率為26%，而前一年為43%，這主要是由於楊森和解協議、相關資產的減記和其他一次性費用，以及本季調整後的EBITDA 為負1000 萬美元，由於美國政府採購的時間安排和 2800 萬美元的一次性費用，與前一年相比有所減少。

Turning to slide 15, you'll note there are a number of non-recurring items in our results for the quarter, many of which are added back as seen in the non-GAAP reconciliation tables. A common theme here is that as part of our efforts to stabilize, turn around, and transform the business, we have taken several decisions that improve our future profitability but result in short-term charges.

轉向投影片 15，您會注意到我們本季的業績中有許多非經常性項目，其中許多項目已加回來，如非 GAAP 調節表中所示。這裡的一個共同主題是，作為我們穩定、扭虧為盈和轉型業務努力的一部分，我們採取了多項決定來提高我們未來的獲利能力，但會產生短期費用。

In particular, our actions to reduce our site footprint and significantly de-emphasize our bioservices business required us to evaluate the related asset values, which in turn led to the impairments and write-offs shown on the slide. We also resolved several legacy issues and now move ahead with the uncertainty of those matters behind us.

特別是，我們採取的減少工廠佔地面積和大幅削弱生物服務業務的行動要求我們評估相關資產價值，這反過來又導致幻燈片上顯示的減值和沖銷。我們也解決了一些遺留問題，現在我們將克服這些問題的不確定性繼續前進。

Diving deeper into quarterly revenues, important items on slide 16 include NARCAN sales of $120 million, which reflects continued robust demand for our opioid overdose reversal product. Compared to the prior year, we had a slightly unfavorable price-volume mix in the US public interest channel, partially offset by higher sales of over-the-counter NARCAN.

深入了解季度收入，幻燈片 16 上的重要項目包括 1.2 億美元的 NARCAN 銷售額，這反映了對我們的阿片類藥物過量逆轉產品的持續強勁需求。與前一年相比，我們在美國公共利益管道的價格-數量組合略有不利，但部分被非處方藥 NARCAN 銷售的增加所抵消。

Anthrax MCM sales of $39 million, an increase of $18 million versus the prior year, driven by timing of CYFENDUS and BioThrax sales. Smallpox MCM sales of $18 million, representing the international order of ACAM2000 in the second quarter. The decline year-over-year is due to the timing of the US government procurement for ACAM2000, which we delivered in early July.

在 CYFENDUS 和 BioThrax 銷售時機的推動下，Anthrax MCM 銷售額達到 3,900 萬美元，比前一年增加 1,800 萬美元。天花MCM銷售額為1800萬美元，相當於第二季ACAM2000的國際訂單。年比下降是由於美國政府採購 ACAM2000 的時間所致，我們在 7 月初交付了 ACAM2000。

Other product sales of $7 million, a decrease of $13 million versus the prior year, primarily related to BAT and RSDL sales timing, and total bio services revenues of $65 million, which includes the $50 million attributed to the arbitration settlement from Janssen. The remaining bioservices revenue in the quarter was primarily related to our Camden facility.

其他產品銷售額為 700 萬美元，比前一年減少 1,300 萬美元，主要與 BAT 和 RSDL 銷售時間有關，生物服務總收入為 6,500 萬美元，其中包括因楊森仲裁和解而產生的 5,000 萬美元。本季剩餘的生物服務收入主要與我們的卡姆登工廠有關。

Turning to operating expenses on slide 17, cost of commercial product sales in the quarter was $53 million, influenced by the continued strong sales of NARCAN. Cost of MCM product sales in the quarter was $31 million, driven by sales of CYFENDUS and BioThrax. Cost of bio services of $212 million, reflecting the asset write-down related to the Janssen settlement agreement, offset by a decrease in overhead costs at our Maryland facilities.

轉向幻燈片 17 上的營運費用，受 NARCAN 持續強勁銷售的影響，本季商業產品銷售成本為 5,300 萬美元。在 CYFENDUS 和 BioThrax 銷售的推動下，本季 MCM 產品銷售成本為 3,100 萬美元。生物服務成本為 2.12 億美元，反映了與楊森和解協議相關的資產減記，並被我們馬裡蘭州工廠管理費用的減少所抵消。

R&D expense of $33 million, which includes project termination costs and restructuring costs associated with the May 1, announcement. Outside of those items, our core R&D costs are currently focused on the funded Ebanga development program. And SG&A spend of $86 million, including restructuring costs offset by lower employee and marketing-related expenses.

研發費用為 3,300 萬美元，其中包括與 5 月 1 日公告相關的專案終止成本和重組成本。除了這些項目之外，我們的核心研發成本目前主要集中在資助的 Ebanga 開發計劃上。SG&A 支出為 8,600 萬美元，其中包括員工和行銷相關費用減少所抵銷的重組成本。

With that, let's move to slide 18 and review segment performance during the quarter. In the commercial segment, revenues were $120 million, comprised entirely of NARCAN, and segment-adjusted gross margin was $67 million, or 56%. In the MCM segment, revenues were $63 million, driven primarily by anthrax and an international sale of ACAM2000. Segment-adjusted gross margin was $35 million, or 55%. As for the services segment, revenues were $65 million, and segment-adjusted gross margin was negative $36 million.

接下來，讓我們轉到投影片 18 並回顧本季的部門績效。商業部門的收入為 1.2 億美元，全部由 NARCAN 組成，部門調整後的毛利率為 6,700 萬美元，即 56%。MCM 部門的收入為 6,300 萬美元，主要由炭疽病和 ACAM2000 的國際銷售推動。經部門調整後的毛利率為 3,500 萬美元，即 55%。至於服務部門，收入為 6,500 萬美元，部門調整後毛利率為負 3,600 萬美元。

I'll now take a moment to summarize our 2024 year-to-date performance as shown on slide 19. First half revenue was $555 million, up 11% versus prior year, driven by MCM and bioservices. Year-to-date adjusted gross margin was $213 million, or 39%, reflecting our prior efforts to reduce costs as well as MCM sales timing. And first half EBITDA was $57 million, an improvement of roughly $100 million versus the prior year.

現在，我將花點時間總結我們 2024 年迄今的業績，如投影片 19 所示。在 MCM 和生物服務的推動下，上半年營收為 5.55 億美元，比去年同期成長 11%。年初至今調整後毛利率為 2.13 億美元，即 39%，反映了我們先前為降低成本以及 MCM 銷售時機所做的努力。上半年 EBITDA 為 5,700 萬美元，較上年增加約 1 億美元。

Turning to slide 20, we ended the second quarter with $70 million in cash and $83 million of total liquidity, including availability under our revolving credit facility. And as of June 30, 2024, our net debt position was $794 million, a roughly $40 million reduction versus the first quarter. Net working capital was $380 million at June 30, a $53 million improvement versus the prior quarter, and $71 million lower than the second quarter of 2023. We remain focused on continuing to optimize our working capital position to free up capital for debt repayment.

轉向投影片 20，我們在第二季結束時擁有 7000 萬美元的現金和 8300 萬美元的總流動資金，包括我們的循環信貸安排下的可用資金。截至 2024 年 6 月 30 日，我們的淨債務部位為 7.94 億美元，比第一季減少約 4,000 萬美元。截至 6 月 30 日，淨營運資本為 3.8 億美元，比上一季增加 5,300 萬美元，比 2023 年第二季減少 7,100 萬美元。我們仍然專注於繼續優化我們的營運資金狀況，以釋放資金用於償還債務。

Turning to 2024 guidance, please see slide 21. While our efforts to improve operating performance will not happen immediately, we are making significant progress. As announced in our press release this evening, we're updating our outlook for the full year 2024. For both revenue and profitability, as we did in May, we are raising the midpoint of our revenue and adjusted EBITDA guidance.

關於 2024 年指導，請參閱投影片 21。雖然我們改善營運績效的努力不會立即發生，但我們正在取得重大進展。正如今晚我們在新聞稿中宣布的那樣，我們正在更新 2024 年全年的展望。對於收入和盈利能力，正如我們 5 月所做的那樣，我們正在提高收入的中點和調整後的 EBITDA 指導。

Full year guidance is as follows, and the details are shown on slide 29 in the appendix. Total revenues of $1.05 billion to $1.125 billion. Commercial product sales of $450 million to $480 million. We continue to see strong demand for NARCAN in the US public interest, Canadian, and OTC channels. Having said that, we're taking a more conservative view on 2024 given developments in a competitive environment.

全年指引如下，詳細資訊請參考附錄第 29 張投影片。總收入為 10.5 億美元至 11.25 億美元。商業產品銷售額為 4.5 億至 4.8 億美元。我們繼續看到美國公共利益、加拿大和 OTC 管道對 NARCAN 的強勁需求。話雖如此，鑑於競爭環境的發展，我們對 2024 年持較保守的看法。

MCM product sales of $455 million to $490 million. Since our last report on May 1, we received the $250 million award for CYFENDUS, ACAM, BAT, and VIGIV. We now have a large portion of our MCM revenue committed for 2024. Services segment revenue of $120 million to $130 million, an increase versus our prior guidance due to the impact of the Janssen settlement.

MCM產品銷售額為4.55億美元至4.9億美元。自 5 月 1 日上次報告以來，我們為 CYFENDUS、ACAM、BAT 和 VIGIV 獲得了 2.5 億美元的獎勵。我們現在已承諾 2024 年實現 MCM 收入的很大一部分。由於楊森和解協議的影響，服務部門收入為 1.2 億至 1.3 億美元，較我們先前的指引增加。

Shifting to profitability metrics, we're forecasting adjusted EBITDA of $140 million to $180 million. The increase at the midpoint reflects the improved visibility of our MCM revenues, as well as our continued focus on operating expenses. It's important to note that this guidance reflects the sale of RSDL, which we completed last week, but does not yet reflect the impact of the upcoming Camden facility sale, as that transaction has not yet closed.

轉向獲利能力指標，我們預測調整後 EBITDA 為 1.4 億至 1.8 億美元。中點的成長反映了我們 MCM 收入可見度的提高，以及我們對營運支出的持續關注。值得注意的是，本指引反映了我們上週完成的 RSDL 出售，但尚未反映即將進行的卡姆登設施出售的影響，因為該交易尚未結束。

Having said that, there is currently $15 million to $20 million of revenue and negative $5 million to $10 million of adjusted EBITDA related to Camden in our forecast for the second half of the year. For the full year of 2024, we're forecasting total segment adjusted gross margin of 42% to 45%. Shifting to the third quarter, we're forecasting revenue in a range of $265 million to $315 million. That's all for the financial update.

話雖如此，在我們對下半年的預測中，卡姆登目前的收入為 1500 萬至 2000 萬美元，調整後 EBITDA 為負 500 萬至 1000 萬美元。對於 2024 年全年，我們預測部門調整後總毛利率為 42% 至 45%。轉向第三季度，我們預測營收在 2.65 億美元至 3.15 億美元之間。這就是財務更新的全部內容。

I'll now turn the call back over to Joe for some final thoughts

我現在會把電話轉回給喬，詢問一些最後的想法

Thank you, Rich. Our hardworking team at Emergent made significant progress executing on the strategic operational changes to stabilize our financial position and position as well for the future. This is critical to our turnaround. But as we look forward, we see meaningful opportunities for Emergent growth drivers that have the potential to impact lives around the world.

謝謝你，里奇。我們勤奮的 Emergent 團隊在執行策略營運變革方面取得了重大進展，以穩定我們的財務狀況和未來的地位。這對我們的扭虧為盈至關重要。但展望未來，我們看到了新興成長驅動力的重大機遇，它們有可能影響世界各地的生活。

Turning to slide number 23, I'd like to focus on the future growth drivers for our organization based on the potential expansion of our in-line products. This will look like international expansion and line extensions of our current products, strategic partnerships that leverage our own capabilities or identify unique public-private partnerships, increased focus on public health preparedness, and funding and willingness to address the opioid epidemic.

轉向第 23 號幻燈片，我想根據我們線上產品的潛在擴展重點關注我們組織的未來成長動力。這看起來像是我們現有產品的國際擴張和產品線延伸、利用我們自身能力或確定獨特的公私夥伴關係的戰略夥伴關係、更加關注公共衛生準備工作以及解決阿片類藥物流行病的資金和意願。

In closing, our transformation will take time. It's not linear. But that said, I'm pleased with the progress our team has made and the value created over the past month, and importantly, the debt paydown that we have achieved. We are planning to finish out the year strong by paying down a significant amount of additional debt while we prepare to enter our turnaround phase and move towards an exciting future.

最後，我們的轉型需要時間。它不是線性的。但話雖如此，我對我們團隊在過去一個月所取得的進展和創造的價值感到滿意，更重要的是，我們還清了債務。我們計劃透過償還大量額外債務來強勁地結束這一年，同時準備進入扭虧為盈階段並邁向令人興奮的未來。

With that, Operator, let's open up the line for questions.

那麼，接線員，讓我們打開提問線路。

(Operator Instructions) Jessica Fye, JPMorgan.

（操作員指示）Jessica Fye，摩根大通。

Hey, this is Nick on for Jess. Thanks for taking our questions. First, with the decision to expand NARCAN distribution capabilities with the new center in Nevada, can you kind of talk about the long-term growth opportunity for NARCAN in both OTC as well as the PIP market?

嘿，這是為傑西代言的尼克。感謝您回答我們的問題。首先，隨著決定在內華達州設立新中心來擴大 NARCAN 分銷能力，您能否談談 NARCAN 在 OTC 和 PIP 市場上的長期成長機會？

Kind of how are you thinking about the overall market opportunity across OTC and PIP? What do you see as the current and future growth driver there? And maybe could you comment on potential peak sales for NARCAN?

您如何看待 OTC 和 PIP 的整體市場機會？您認為當前和未來的成長動力是什麼？也許您能評論一下 NARCAN 的潛在峰值銷售嗎？

Sure. You got a lot of questions there. I'm also joined by Paul Williams who's here who can help us to address these questions. This is Joe Papa. I'll start, Paul, and then feel free to add in. I think, first and foremost, what we're most excited about is that this is a real public health problem and that we've got to solve it.

當然。你那裡有很多問題。保羅威廉斯也加入了我的行列，他可以幫助我們解決這些問題。這是喬爸爸。保羅，我先開始，然後您可以隨意補充。我認為，首先也是最重要的是，我們最興奮的是這是一個真正的公共衛生問題，我們必須解決它。

We've got to help solve it. We believe NARCAN has shown some good progress in solving this. The fact I point to that there was a 3% reduction in total amount of deaths in the United States last year, but that still means there's a lot more to do when you're talking about still remaining 100,000 deaths.

我們必須幫助解決它。我們相信 NARCAN 在解決這個問題上已經取得了一些良好的進展。我指出的事實是，去年美國的死亡總數減少了 3%，但這仍然意味著當你談論仍然剩餘的 10 萬例死亡時，還有很多工作要做。

We think it's going to get solved by a number of things. Number one, in terms of our ability to continue to expand access to NARCAN, we believe that the amount of funding that will go towards the public interest market from some of the opioid drug settlements from the big pharma companies will come into this category and that will help the state expand their educational program, but also their purchase and the ability to make NARCAN more available to all the markets.

我們認為這個問題可以透過很多事情來解決。第一，就我們繼續擴大 NARCAN 准入的能力而言，我們相信，大型製藥公司的一些阿片類藥物和解協議將流向公共利益市場的資金數額將屬於這一類別，並將幫助該州擴大他們的教育計劃，同時也有助於他們的購買以及使NARCAN 更容易進入所有市場的能力。

I think it's, first and foremost, one of the big items for us. Beyond that, we clearly are working very closely with the states and we believe that our NARCAN direct programs are embedded into many of these public interest markets and that's going to allow us, we believe, to continue to be a very important provider of NARCAN to all those states.

我認為這對我們來說首先是最重要的項目之一。除此之外，我們顯然正在與各州密切合作，我們相信我們的 NARCAN 直接計劃已融入許多公共利益市場，我們相信，這將使我們繼續成為 NARCAN 的非常重要的提供者所有這些州。

I think that those are probably the first and foremost things I would add we clearly believe the brand itself is a very important part of it. But, Paul, other things you want to add to answer that question?

我認為這些可能是我想要添加的首要內容，我們顯然相信品牌本身是其中非常重要的一部分。但是，保羅，您還想添加其他內容來回答這個問題嗎？

Yeah. Maybe, Joe, I think a couple of things. One is, I don't think you can understate the emphasis coming out of the White House. And we recently attended the Office of National Drug Control Policy Naloxone Roundtable Discussion, where really talking about -- we're barely just starting to see a decrease in deaths, but 100,000 deaths is way too much.

是的。也許，喬，我想了幾件事。一是，我認為你不能低估白宮的強調。我們最近參加了國家藥物管制政策辦公室納洛酮圓桌討論會，真正談論的是——我們剛開始看到死亡人數下降，但 10 萬人死亡人數太多了。

And we've got to solve that, one, through the states. We've started to address that by expanding access with over-the-counter, which is going to allow us, I think, to expand into businesses. Obviously, we're online and on retail shelves and continue to drive the level of awareness and understanding around fentanyl poisoning, around accidental overdose, as well as in the addiction space. And I think all of those point to we've got a long way to go before NARCAN before we actually start seeing a plateau in the market and the demand for naloxone.

我們必須解決這個問題，第一，透過各州。我們已經開始透過擴大櫃檯交易來解決這個問題，我認為這將使我們能夠擴展到商業領域。顯然，我們在網路和零售貨架上繼續提高人們對芬太尼中毒、意外用藥過量以及成癮領域的認識和理解水平。我認為所有這些都表明，在我們真正開始看到市場穩定和對納洛酮的需求之前，我們還有很長的路要走。

And I think what Paul is saying is, one, I think you have to comment on in the world we live in today. But the US has bipartisan support for solving this problem. I mean, there's not often we can get bipartisan support, but we do have a bipartisan support for solving the opioid epidemic that we see out there right now.

我認為保羅所說的是，第一，我認為你必須對我們今天所處的世界做出評論。但美國兩黨都支持解決這個問題。我的意思是，我們很少能得到兩黨的支持，但我們確實得到了兩黨的支持來解決我們現在看到的鴉片類藥物流行病。

And I think that's an important part of it. And I think one doesn't have to look any further than the Lancet article that came out a week ago that says, the overall impact of opioid-related death is reducing the life expectancy of the United States population by almost a year, just because of opioid. That just says volumes about how important this issue is and volumes about why we believe NARCAN can make a real difference. So, I think that's what's going to help us with the growth.

我認為這是其中重要的一部分。我認為人們不必再看一周前發表的《柳葉刀》文章，該文章稱，與阿片類藥物相關的死亡的總體影響使美國人口的預期壽命減少了近一年，因為阿片類藥物。這充分說明了這個問題的重要性，也充分說明了為什麼我們相信 NARCAN 可以帶來真正的改變。所以，我認為這將有助於我們的成長。

We clearly believe our distribution capabilities is why we added the Nevada distribution center and we announced that today. It just makes -- allows us to be faster and more customer responsive, which is what we're trying to do for the future, create a leaner, customer-focused organization that has more flexibility. So, I think all those things are the reason why we see NARCAN as being a great opportunity for the future.

我們顯然相信我們的配送能力是我們增加內華達州配送中心的原因，我們今天宣布了這一點。它只是讓我們能夠更快、更快速地回應客戶需求，這就是我們為未來所做的努力，創造一個更精簡、以客戶為中心、具有更大靈活性的組織。所以，我認為所有這些都是我們將 NARCAN 視為未來的絕佳機會的原因。

Great. And with that in mind, a few months back, a competitor announced the distribution agreement with the State of California to supply OTC NARCAN. How are you contemplating that with your current outlook for your OTC product? And are you seeing any other trends among other states?

偉大的。考慮到這一點，幾個月前，一家競爭對手宣布與加州簽訂分銷協議，供應非處方藥 NARCAN。您目前對 OTC 產品的前景有何看法？您是否發現其他州還有其他趨勢？

Sure. We're working very closely. We still work very closely with the State of California to be clear. California has some very aggressive opioid reduction targets, which obviously we support the importance of that. We continue to supply products to the State of California. Once again, having a distribution center in Nevada makes it easier for us to deliver to the state of California.

當然。我們正在非常密切地合作。我們仍然與加利福尼亞州密切合作以澄清這一點。加州制定了一些非常積極的鴉片類藥物減少目標，顯然我們支持其重要性。我們繼續向加州供應產品。在內華達州設有配送中心，我們再一次可以更輕鬆地將貨物運送到加州。

And we also believe that, as I said before, the NARCAN Direct program is embedded into the public service process because we make it easier for them to essentially have a one-stop-shop for getting access to our products. So, we're going to continue to work with the State of California, just like we work with the other states.

我們也相信，正如我之前所說，NARCAN Direct 計劃已嵌入公共服務流程中，因為我們使他們更容易從本質上擁有一站式商店來獲取我們的產品。因此，我們將繼續與加州合作，就像我們與其他州合作一樣。

We believe the brand NARCAN is important. We believe our manufacturing capacity and capabilities is important. And we believe our distribution capability with 18,000 locations around the United States are all very important reasons why we're going to be successful with the State of California, but for other states as well. And that's how we're approaching this in terms of we are the leader. We're going to continue to try to improve the overall access. And as that total market expands, we believe we're going to get our fair share of that market expansion as well.

我們相信 NARCAN 品牌很重要。我們相信我們的製造能力和能力很重要。我們相信，我們在美國各地 18,000 個地點的分銷能力是我們在加利福尼亞州以及其他州取得成功的非常重要的原因。這就是我們作為領導者來解決這個問題的方式。我們將繼續努力改善整體訪問。隨著整個市場的擴大，我們相信我們也將在市場擴張中獲得公平的份額。

Great. And maybe could you provide some additional detail on some of the steps you're taking to improve long-term margins and maybe provide some color on what you see as an achievable margin profile for the current business?

偉大的。也許您可以提供一些關於您為提高長期利潤而採取的一些步驟的額外細節，並可能提供一些您認為當前業務可實現的利潤概況的顏色？

Are you asking specifically about NARCAN or just total business, so I understand.

您是專門詢問 NARCAN 還是只是詢問全部業務，所以我理解。

Total business but NARCAN as well, if you want to comment on that specifically.

如果你想具體評論的話，這是全部業務，但也包括 NARCAN。

Yeah. Well, let me start with NARCAN because that's where the bases of your questions are. We are clearly working with our partners on the contract manufacturing of our product and continuing to work to reduce the total cost of goods sold for our product. We have a good understanding of what we can do and we already have made some progress this year.

是的。好吧，讓我從 NARCAN 開始，因為這是您問題的基礎。我們顯然正在與合作夥伴合作生產我們的產品，並繼續努力降低我們產品的銷售總成本。我們對自己能做什麼有很好的了解，今年已經取得了一些進展。

We expect to -- and we've targeted even more progress for the future. But we're working very closely to look at those specific vehicles in terms of where the cost is by what's the cost for the raw material, what's the cost for the actual nasal device and then also the assembly, et cetera.

我們期望——並且我們的目標是未來取得更多進展。但我們正在非常密切地研究這些特定車輛的成本，包括原材料的成本、實際鼻腔裝置的成本以及組裝成本等。

Looking at all avenues for NARCAN to bring down that cost. I think on the rest of our business, Rich, probably you may want to make some comments. But I think one of the things we're doing, looking at overall gross margin, is just creating a leaner, more efficient network in terms of our manufacturing site. We believe that will give us significant reductions in our cost of goods sold just as we become more efficient at each site.

NARCAN 正在尋找降低成本的所有途徑。我認為，關於我們的其餘業務，Rich，您可能想發表一些評論。但我認為，從整體毛利率來看，我們正在做的事情之一就是在我們的製造工廠方面創建一個更精簡、更有效率的網路。我們相信，這將使我們的銷售成本顯著降低，同時我們在每個站點的效率也會提高。

As we talked about during the call, we're going to shut down the Rockville, we're shutting down the Bayview as we divest the Camden site, as we sell the Canton site, all those action steps we believe are going to help us with our overall gross margin improvement. And I think that's the way we'll mostly get to those relative savings over time. Obviously, each site -- the remaining Lansing site, the remaining Winnipeg site will become much more important and obviously more, we believe, efficient as we go forward.

正如我們在電話中談到的，我們將關閉羅克維爾，我們將關閉灣景，因為我們剝離了卡姆登場地，因為我們出售了坎頓場地，我們相信所有這些行動步驟都會幫助我們隨著我們整體毛利率的改善。我認為隨著時間的推移，我們將主要透過這種方式實現相對節省。顯然，每個站點——剩餘的蘭辛站點、剩餘的溫尼伯站點將變得更加重要，而且我們相信，隨著我們的前進，顯然會變得更有效率。

Yeah. I think that's right. And I think -- so the major driver is really the cost that we've taken out in terms of the manufacturing site network so that we have less unutilized capacity or excess capacity in the network. That's really helping cost of goods sold as we come through the end of this year and into next year.

是的。我認為這是對的。我認為，主要驅動因素實際上是我們在製造現場網路方面削減的成本，以便我們減少網路中的未利用產能或過剩產能。隨著今年年底和明年的到來，這確實有助於降低銷售成本。

And then, we're being very disciplined about our R&D spending as we go forward. And then finally, on the SG&A side, we are working very hard to reduce our overall level of SG&A, which again will flow through as we come out of this year into next year.

然後，隨著我們的發展，我們對研發支出非常嚴格。最後，在SG&A方面，我們正在非常努力地降低SG&A的整體水平，這將在我們從今年進入明年時再次體現出來。

Okay. Maybe just the last one from us then. Could you provide some color on when we should expect an option for TEMBEXA and Ebanga?

好的。也許只是我們的最後一次。您能否提供一些資訊來說明我們何時應該期待 TEMBEXA 和 Ebanga 的選擇？

So, I think on Ebanga, that is still a few years out into the future, based on the nature of the contract, which really had several years of development and commercialization -- or scale-up, I should say, followed by procurement options following that.

因此，我認為，就 Ebanga 而言，根據合約的性質，這還需要幾年的時間，該合約確實經過了幾年的開發和商業化——或者我應該說是擴大規模，然後是採購選擇接下來。

On TEMBEXA, we continue to have conversations with the United States Government about the timing and magnitude of the next option exercise. We don't have anything to report today, but we are working hard to maintain the continuity of supply of that product as we move forward.

關於 TEMBEXA，我們繼續與美國政府就下一次選擇權行使的時間和規模進行對話。今天我們沒有任何可報告的內容，但我們正在努力保持該產品供應的連續性。

Great. Thanks so much.

偉大的。非常感謝。

(Operator Instructions) I'm showing no further questions. I would now like to turn the call back to Joe for closing remarks.

（操作員說明）我沒有再提出任何問題。現在我想將電話轉回給喬，讓他發表結束語。

Well, thank you again, everyone, for joining us today. As I mentioned, I'd like to thank our Emergent team for all the great work during the quarter to help us to achieve the milestones we've achieved. Importantly, we look forward to finishing the second half of the year strong, continuing to debt pay down that we're already adding to that debt pay down, of course, and then importantly, continue to improve our overall operational performance for the business and to reduce debt by the working capital improvement.

好的，再次感謝大家今天加入我們。正如我所提到的，我要感謝我們的 Emergent 團隊在本季所做的所有出色工作，幫助我們實現了已經實現的里程碑。重要的是，我們期待下半年表現強勁，繼續減少債務償還，當然，我們已經在債務償還的基礎上增加了債務償還，然後重要的是，繼續改善我們的整體業務運營績效和通過改善營運資金來減少債務。

So all those things will be important parts of our future. Look forward to any additional questions as we have a chance to go out and talk to all of you. Thank you. Have a great day, everyone.

因此，所有這些事情都將成為我們未來的重要組成部分。期待任何其他問題，因為我們有機會出去與大家交談。謝謝。祝大家有美好的一天。

Thank you all. And with that, ladies and gentlemen, we now conclude the call. Thank you for your participation. Please note an archived version of today's webcast, as well as a PDF version of the slides used during today's call will be available later today and accessible through the investor's landing page on the company's website. Thank you again. We look forward to speaking with you all in the future.

謝謝大家。女士們、先生們，我們現在結束通話。感謝您的參與。請注意，今天網路廣播的存檔版本以及今天電話會議中使用的幻燈片的 PDF 版本將於今天晚些時候提供，並可透過公司網站上的投資者登陸頁面進行存取。再次感謝您。我們期待將來與大家交談。