Everforth, Inc. (EFOR) 2007 Q4 法說會逐字稿

Good afternoon. My name is Marvin, and I will be your conference operator today. I would like to welcome everyone on the On Assignment fourth quarter 2007 earnings conference call. All lines have been placed on mute to prevent any background noise. After the speakers' remarks, there will be a question and answer session.

下午好。我叫 Marvin，今天將擔任各位的電話會議主持人。歡迎各位參加 On Assignment 2007 年第四季財報電話會議。為避免任何背景雜音，所有線路均已設為靜音。在講者致詞結束後，將進行問答環節。

(OPERATOR INSTRUCTIONS)

(接線員指示)

Thank you. Mr. Brill, you may begin your conference.

謝謝。Brill 先生，您可以開始會議。

Thank you.

謝謝。

Before we begin, I would like to to remind everyone, as we do each quarter, that our presentation contains predictions, estimates and other forward-looking statements representing our current judgment of what the future holds. These include words such as forecast, estimate, project, expect, believe and similar expressions. We believe these remarks to be reasonable, but they are subject to risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. We describe some of these risks and uncertainties in today's press release, and in our filings with the Securities and Exchange Commission. We do not assume the obligation to update statements made in this conference call.

在開始之前，我想一如每一季提醒各位，我們的簡報包含預測、估計及其他前瞻性陳述，代表我們目前對未來情勢的判斷。其中包括如 forecast（預測）、estimate（估計）、project（推估）、expect（預期）、believe（相信）及類似用語。我們相信這些說法是合理的，但仍可能受到風險與不確定性影響，導致實際結果與前瞻性陳述出現重大差異。我們在今日新聞稿以及向美國證券交易委員會提交的文件中，說明了部分風險與不確定性。我們不承擔更新本次電話會議中所作陳述之義務。

I would now like to introduce Peter Dameris, our CEO and President, who will provide an overview of our fourth quarter results. Peter?

接下來我想介紹我們的執行長兼總裁 Peter Dameris，他將概述我們第四季的業績。Peter？

Thank you, Jim. Good afternoon. With me today are Jim Brill, Senior Vice President and Chief Financial Officer, and Emmett McGrath, President of our Life Sciences and Allied Healthcare groups.

謝謝你，Jim。下午好。今天與我一同出席的有資深副總裁暨財務長 Jim Brill，以及我們生命科學與相關醫療保健事業群總裁 Emmett McGrath。

During our call I will give a review of the markets we serve and our operational highlights, followed by a discussion of the performance of our operating segments by myself and Emmitt. I will then turn the call over to Jim for a more detailed review and discussion of our fourth quarter financial performance, and our financial guidance for the first quarter of 2008. We will then open the call up for questions.

在本次電話會議中，我將先回顧我們所服務的市場與營運重點，接著由我與 Emmitt 討論各營運部門的表現。之後我會把電話交給 Jim，更詳細地回顧並討論我們第四季的財務表現，以及 2008 年第一季的財務指引。最後我們將開放提問。

On today's call, we wanted to share our current views on what we are seeing in the end markets we serve, and how our company might perform in a slower economic growth environment. Although we are not immune to slower GDP growth or recessions, we do believe that we are well position and that our revenues, gross margins and EBITDA might be more durable in a slower economic environment than some might believe. Our view is based on one, our lack of any significant contribution from permanent placement, 2% in 2007. Two, our diverse client base. Our top ten clients on a consolidated basis in the fourth quarter represented 7% of our revenues and, by segment, 16%in Life Sciences, 19% in Health Care, 19% in Physician Staffing and 13% in IT and Engineering. Three, the relative strength of the end markets we serve, ie Life Sciences, Healthcare and IT. Four, the skill sets we recruit for in each of the end markets we serve. Finally, the fact that professional staffing is the strongest sector in the staffing industry, and white collar unemployment is less than 2.2%.

在今天的電話會議上，我們想分享目前在所服務終端市場中所觀察到的情況，以及在經濟成長放緩的環境下公司可能的表現。雖然我們無法完全免於 GDP 成長放緩或衰退的影響，但我們確實相信公司定位良好，在較慢的經濟環境下，我們的營收、毛利率與 EBITDA 可能比外界想像更具韌性。我們的看法基於：第一，我們幾乎沒有來自永久派遣（permanent placement）的重大貢獻，2007 年僅占 2%。第二，我們的客戶基礎多元。以第四季合併口徑計算，前十大客戶合計占營收 7%；按部門來看，生命科學占 16%、醫療保健占 19%、醫師人力派遣占 19%、IT 與工程占 13%。第三，我們所服務終端市場的相對強勢，例如生命科學、醫療保健與 IT。第四，我們在各終端市場所招募的人才技能組合。最後，專業人力派遣是整體派遣產業中最強的領域，而白領失業率低於 2.2%。

The key indicators we monitor weekly to determine whether or not the markets we serve have changed positively or negatively are the amount of permanent placement and conversion fees earned; the number of new assignments and or terminations; our bill pay expansion or compression; the amount of time it takes a customer to make a hiring decision on a qualified candidate; and the number of hours being worked by a billable employee each week. To date, we have not seen significant changes in these indicators.

我們每週監測的關鍵指標，用以判斷所服務市場是否出現正向或負向變化，包括：取得的永久派遣與轉任（conversion）費用金額；新增派遣案與/或終止案的數量；我們的計費與薪資差額（bill-pay spread）是擴大或縮小；客戶對合格候選人作出聘用決策所需時間；以及每位可計費員工每週的工作時數。截至目前，我們尚未在這些指標上看到顯著變化。

Our revenue growth slowed slightly during the second half of 2007. However, we believe the slowdown had more to do with the internal performance of our Nurse Travel and Allied Healthcare groups rather than the macro-economic environment. If the end markets we serve deteriorate, we would be impacted. Our job is to limit the amount of impact from a slower growth environment. As we always do, we will remain diligent and respond appropriately. We will continue to make investments to support our growth without significantly impacting our EBITDA, and will manage our SG&A to maximize our cash flows.

我們的營收成長在 2007 年下半年略為放緩。然而，我們認為放緩更多是因為我們護理差旅（Nurse Travel）與相關醫療保健（Allied Healthcare）團隊的內部表現，而非總體經濟環境所致。若我們所服務的終端市場惡化，我們將會受到影響。我們的工作是將較慢成長環境帶來的影響降到最低。一如既往，我們將保持警覺並作出適當回應。我們將持續投資以支持成長，同時不會對 EBITDA 造成重大影響，並將管理 SG&A 以最大化現金流。

With that said, let's turn to the fourth quarter and full year results. The fourth quarter's performance again resulted in record revenues for the company of $152 million. Revenues grew 99% over the fourth quarter of '06, and 97% for the full year to 562 -- $567.2 million. Net income, excluding unusual items, was $2,932,000 or $0.08 per share. These unusual items included $722,000 in non-cash expense related to the mark to market of our $73 million interest rate swap required by our bank agreement; $531,000 of severance expense related to the separation of one of our executives; and $268,000 related to the writeoff of software development costs at our IT and Engineering group. These items after tax totaled $713,000.

話說回來，讓我們看第四季與全年業績。第四季表現再次使公司營收創新高，達 1.52 億美元。營收較 2006 年第四季成長 99%，全年成長 97%，達 5.62—5.672 億美元。扣除非經常性項目後，淨利為 2,932,000 美元，或每股 0.08 美元。這些非經常性項目包括：依銀行協議要求，對我們 7,300 萬美元利率交換（interest rate swap）按市價評價（mark to market）所產生的 722,000 美元非現金費用；與一位高階主管離職相關的 531,000 美元資遣費用；以及與 IT 與工程事業群軟體開發成本沖銷相關的 268,000 美元。上述項目稅後合計為 713,000 美元。

Our tax rate was higher than anticipated due to year-end tax adjustments at our IT and Engineering segment. Although the tax rate in the quarter was 53.1%, the rate for the full year was 44.6%. Revenue generated outside of the United States was $7.7 million or 5.1% of consolidated revenues in the fourth quarter, versus $5.1 million or 4.9% in the fourth quarter of '06. Consolidated gross margins in the fourth quarter were 31.8%, up from 27.2% in the fourth quarter of '06. Our consolidated hourly bill pay spread in the quarter also increased year-over-year. Adjusted EBITDA, excluding the unusual executive severance and software writeoff items, was $15.6 million for the quarter, $600,000 over the high end of the guidance that we gave of $15 million. Once again, our strong financial performance was achieved without any significant contribution from firm placement, and is evidence of the strong business model we have achieved.

由於 IT 與工程部門在年末進行稅務調整，我們的稅率高於預期。雖然本季稅率為 53.1%，但全年稅率為 44.6%。第四季在美國以外地區所產生的營收為 770 萬美元，占合併營收 5.1%，相較 2006 年第四季為 510 萬美元，占 4.9%。第四季合併毛利率為 31.8%，高於 2006 年第四季的 27.2%。本季合併每小時計費與薪資差額亦較去年同期增加。調整後 EBITDA（扣除上述高階主管資遣與軟體沖銷等非經常性項目）本季為 1,560 萬美元，較我們提供的 1,500 萬美元指引上緣高出 60 萬美元。再次強調，我們強勁的財務表現並未仰賴永久派遣的重大貢獻，這也證明我們已建立起強健的商業模式。

Consolidated revenue growth in the fourth quarter of 9.1% on a pro forma basis was impacted again, as expected, by slower growth in the Healthcare segment. Each of our other segments outside of Healthcare grew sequentially in an excess of 12% year-over-year. In Healthcare, the Nurse Travel group was positively impacted by approximately $2.6 million in revenue received from two clients who experienced two separate labor disruptions in northern California. $1 million of the $2.6 million of revenue had been contemplated in our fourth quarter guidance.

第四季合併營收在擬制（pro forma）基礎下成長 9.1%，如預期再度受到醫療保健部門成長放緩的影響。除醫療保健外，我們其他各部門的年增率皆超過 12%，且呈現連續成長。在醫療保健方面，護理差旅團隊因北加州兩家客戶分別發生兩起勞資糾紛而帶來約 260 萬美元的額外營收。在這 260 萬美元中，有 100 萬美元已納入我們第四季指引的考量。

Exiting the quarter, demand continues to be strong. The Physician Staffing, Life Sciences, and IT and Engineering segments continue to have the strongest end-market demand, followed by Healthcare Staffing. Based on the significant reduction in client concentration that we accomplished in the Nurse Travel Division in 2007, and our belief that patient admissions will improve, we continue to believe that performance in the Nurse Travel Division could improve in 2008. Excluding the previously referenced labor disruption revenues, our top 10 clients represented 28% of Nurse Travel only revenues, down in the quarter from 48% in the fourth quarter of '06. Geographically, we continue to see strong growth opportunities outside the United States, and have strengthened our Life Sciences and IT and Engineering offices overseas in order to capture such growth opportunities.

在季度結束時，需求仍然強勁。醫師人力派遣、生命科學，以及 IT 與工程部門仍具最強的終端市場需求，其次為醫療保健人力派遣。基於我們在 2007 年於護理差旅事業部大幅降低客戶集中度的成果，以及我們相信病患入院量將改善，我們仍認為護理差旅事業部在 2008 年的表現有機會提升。若排除前述勞資糾紛帶來的營收，我們前十大客戶占護理差旅單一部門營收的 28%，較 2006 年第四季的 48% 下降。就地理分布而言，我們持續看到美國以外地區的強勁成長機會，並已強化我們在海外的生命科學以及 IT 與工程辦公室，以掌握此類成長機會。

As most shareholders who have followed our company in the past know, the first quarter is typically the most seasonally impacted quarter of the year. This is due to holidays, the number of billable days, the timing of release of budgets by customers for the new fiscal year, the reset of payroll taxes, the amount of paid time off, and finally enticing billable employees to accept travel assignments away from their home after they have reinserted themselves in their local communities. Our weekly assignment revenue, which excludes conversion, billable expenses and direct placement revenues, averaged $11.1 million for the 3 weeks ending February 10, 2008. We averaged $10.3 million in pro forma weekly assignment revenues for the same 3-week period one year ago. Operating leverage continued to improve during the quarter. Our adjusted EBITDA margin reached 9.8%, up from 7.8% in the fourth quarter of '06, and we again grew our gross profits and operating income faster than our revenues in the fourth quarter. During the quarter, despite maintaining a higher number of staffing consultants, 773 versus 730 in the fourth quarter of '06, we increased our year-over-year productivity and gross profit per staffing consultant by 7.3% on a pro forma basis.

如同多數過去一路關注我們公司的股東所知，第一季通常是一年當中受季節性影響最明顯的一季。原因包括假期、可計費天數的多寡、客戶在新會計年度釋出預算的時點、薪資稅的重置、帶薪休假（PTO）的多寡，以及最後在員工回到其在地社群、重新融入之後，如何吸引可計費員工接受離家出差的派遣任務。我們的每週派遣收入（不含轉換收入、可計費費用與直接媒合收入）在截至2008年2月10日的3週期間平均為1,110萬美元。一年前同一個3週期間，我們的備考（pro forma）每週派遣收入平均為1,030萬美元。本季營運槓桿持續改善。我們的調整後EBITDA利潤率達到9.8%，高於2006年第四季的7.8%；且我們在第四季再次使毛利與營業利益的成長速度快於營收成長。本季期間，儘管我們維持較高的派遣顧問人數（773人，相較於2006年第四季的730人），我們仍以備考基礎將年對年的人均產能與每位派遣顧問的毛利提高了7.3%。

Before turn the call over to Emmitt, I would like to give you a brief review of several of our divisions. Our Physician Staffing business continued to perform well, growing 14.6% over the fourth quarter of 2006 on a pro forma basis. Demand for [inaudible] services continues to be very strong. During the fourth quarter the segment maintained an average of 13,000 days of requested coverage per month. This rate shows no sign of decline. Vista's President, Mark Brouse, has met with physician recruitment leaders at some of the largest hospitals and Healthcare companies in the nation this month, and was told that physician recruitment via temporary staffing and search services is the highest priority across all their facilities. On the supply side, more physicians opted into locum tenants as an interim or permanent career choice than in previous periods. The staffing industry analysts reported that the industry grew to $1.6 billion in revenue in 2007, up from $1.4 billion in '06. Gross margins in this segment were 27.4% in the fourth quarter of '07, and 29.2% for the full year. Our focus in this group is to maintain the right level of productivity and skill mix.

在把電話會議交給Emmitt之前，我想先為各位簡要回顧我們幾個事業部門的表現。我們的醫師派遣（Physician Staffing）業務持續表現良好，以備考基礎較2006年第四季成長14.6%。對[聽不清]服務的需求仍然非常強勁。在第四季期間，該事業部每月平均維持13,000天的需求覆蓋（requested coverage）。此一水準沒有任何下滑跡象。Vista總裁Mark Brouse本月與全國一些最大型醫院與醫療保健公司的醫師招募主管會面，對方表示，透過臨時派遣與獵才搜尋服務進行醫師招募，是其所有院區的最高優先事項。在供給端，選擇以代班醫師（locum tenens）作為過渡或永久職涯選項的醫師人數，較以往期間更多。人力派遣產業分析師指出，該產業2007年營收成長至16億美元，高於2006年的14億美元。該事業部門2007年第四季毛利率為27.4%，全年為29.2%。我們在此團隊的重點，是維持適當的生產力水準與技能組合。

Our IT and Engineering Division delivered its strongest operating results since joining On Assignment in February of 2007. Revenue growth accelerated over the third quarter of 2007, and gross margins and average bill rates continue to exceed our targets. Revenue in the fourth quarter increased 16.1% over the fourth quarter of 2006, and on a pro forma basis increased 11% for the full year. For the fourth quarter, approximately 40% of the segment's increase in sales was due to increased bill rates, and approximately 50% of the increase was due to more billable consultants on engagement. Sequentially, revenue growth in the fourth quarter was 5.4% over the third quarter. During the fourth quarter the IT/Engineering segment billed over 775 client companies and no single client accounted for more than 2.3% of the revenue during the quarter. The IT/Engineering segment's average bill rate increased 6% year-over-year in the fourth quarter. The IT/Engineering segment also increased its number of billable consultants out on assignment in the fourth quarter by 7.4% compared to the year ago period. Gross margins for the fourth quarter were 37.5%. Oxford's bill rates and gross margins continue to be among the highest in the industry.

自2007年2月加入On Assignment以來，我們的IT與工程事業部（IT and Engineering Division）交出了最強的營運成果。營收成長較2007年第三季加速，毛利率與平均計費率（bill rates）也持續高於我們的目標。第四季營收較2006年第四季成長16.1%；以備考基礎計算，全年成長11%。就第四季而言，該事業部銷售成長中約40%來自計費率提高，約50%來自投入專案的可計費顧問人數增加。以季對季來看，第四季營收較第三季成長5.4%。第四季期間，IT/工程事業部向超過775家客戶公司開立帳單，且單一客戶在本季的營收占比均未超過2.3%。IT/工程事業部第四季平均計費率年對年提高6%。IT/工程事業部在第四季的外派可計費顧問人數亦較去年同期增加7.4%。第四季毛利率為37.5%。Oxford的計費率與毛利率持續位居業界最高水準之列。

On the strategic front, as previously mentioned, we have significantly increased the head count of recruiters and sales people domestically and internationally in the IT/Engineering segment. Our average number of staffing consultants in the fourth quarter of 2007 totaled 439 versus 402 in '06, a 9% increase year-over-year. We will continue to increase staff in the first quarter and into the second quarter, as the economic conditions permit. Oxford's outlook for the first quarter is positive and supported by the forward-looking survey of the market demand, the Oxford Index, which measures clients' anticipated demand for consultants in the next quarter. This quarterly survey of Oxford's clients has been highly predicative of actual demands since 2002, and indicates that the segment's Q1 top line results will be positive, meaning that more clients are expected to increase their use of consultants than decrease.

在策略面，如先前所述，我們已在IT/工程事業部於國內與國際市場大幅增加招募人員與業務人員的人數。我們2007年第四季派遣顧問平均人數合計為439人，相較於2006年的402人，年對年增加9%。在經濟情勢允許的情況下，我們將在第一季並延續至第二季持續增員。Oxford對第一季的展望正向，並受到前瞻性市場需求調查（Oxford Index）的支持；該指數衡量客戶對下一季顧問需求的預期。自2002年以來，這項針對Oxford客戶的季度調查對實際需求具有高度預測性，並顯示該事業部第一季營收（top line）結果將為正向，也就是預期增加顧問使用量的客戶將多於減少者。

2007 was a transition year for our Nurse Travel Division. As many of you know, we adjusted our management and field personnel in the early fall and believe we are making progress and re-accelerating growth in the Nurse Travel group. Based on these changes, we hope to show progress in the second half of this year. Despite slower growth, we did make significant progress in diversifying our client base and expanding our gross margins in the division. Our compounded annual growth rate in the Nurse Travel Division from 2004 to 2006 had been in excess of 21%. However, in 2007, due to the loss and/or reduction of services at two major customers, we experienced minimal revenue growth, as expected, due to our ongoing diversification efforts. Our fourth quarter Nurse Travel revenues were down 2% year-over-year, and down 10.4% excluding the labor disruption revenues. However, our Nurse Travel gross margins increased 260 basis points to 23.5%. The net result is that although revenues were down 2%, gross profit dollars grew by 10.2% to $7.4 million in the fourth quarter of '07, versus $6.7 million in last year's fourth quarter. We expect revenue growth in Nurse Travel to improve in 2008 because of the changes we have made in our operations, and the diversification away from the two large clients previously mentioned.

2007年是我們護理差旅事業部（Nurse Travel Division）的轉型年。如各位所知，我們在初秋調整了管理團隊與前線人員，並相信我們正在取得進展，使護理差旅團隊的成長重新加速。基於這些變革，我們希望在今年下半年展現進一步的改善。儘管成長放緩，我們確實在分散客戶基礎與擴大該事業部毛利率方面取得顯著進展。我們護理差旅事業部在2004年至2006年的複合年成長率曾超過21%。然而在2007年，由於兩家主要客戶的服務流失及／或服務量縮減，配合我們持續推動客戶分散化的努力，我們如預期僅出現極小幅的營收成長。我們第四季護理差旅營收年對年下降2%；若排除勞資糾紛（labor disruption）相關營收，則下降10.4%。然而，我們護理差旅毛利率提高260個基點至23.5%。最終結果是，雖然營收下降2%，但2007年第四季毛利金額年對年成長10.2%至740萬美元，相較去年第四季為670萬美元。我們預期護理差旅在2008年的營收成長將因我們在營運上的調整，以及從前述兩家大型客戶的分散化而改善。

For the full year these two customers represented $16.4 million in revenue compared to $37.7 million in 2006, a reduction of $21.3 million. In the fourth quarter, these clients represented $2.3 million in revenue, versus $9.5 million last year. The head count at these two customers has dropped to 54 from 151, when comparing this week with the same week last year. We replaced a large portion of these revenues year-to-date through new business development and nursery assignments, and have significantly improved our profitability in this slower growth environment. We are still very positive about the Nurse Travel industry over the long-term, and the opportunities for our Nurse Travel group. However, to date this end market remains our most challenging.

就全年而言，這兩家客戶的營收貢獻為1,640萬美元，相較於2006年的3,770萬美元，減少2,130萬美元。在第四季，這些客戶的營收貢獻為230萬美元，相較於去年為950萬美元。與去年同週相比，這兩家客戶的在編人數已由151人降至54人。截至目前，我們已透過新業務開發與托育（nursery）派遣任務補回其中相當大一部分營收，並在此較低成長的環境下顯著提升了獲利能力。長期而言，我們仍對護理差旅產業以及我們護理差旅團隊的機會保持非常正向的看法。然而，截至目前，這個終端市場仍是我們最具挑戰性的領域。

Supply constraint and erratic hospital buying behavior continue to be a drag on this sector. With regard to the revenue diversification, we billed over 340 clients in the quarter, up from 286 a year ago and only 220 two years ago. Our top 10 customers again now only represent 28% of revenues, compared to 48% in the same quarter last year. We continue to experience demand across the broad Nurse Travel customer base, with orders up versus last year, and we have experienced a 2.4% year-over-year increase in bill rates.

供給受限以及醫院採購行為反覆無常，仍持續拖累此一領域。就營收分散化而言，我們本季向超過340家客戶開立帳單，高於一年前的286家，也高於兩年前僅220家的水準。我們前十大客戶目前合計僅占營收的28%，相較去年同季為48%。我們在廣泛的護理差旅客戶基礎上仍持續看到需求，訂單量較去年增加，且我們的計費率年對年提高2.4%。

With regard to forward guidance this year, we have elected to only give guidance for one quarter out. This practice is consistent with the practices of our peers within the staffing industry, and sufficient to assist our shareholders in evaluating our company. Jim will walk you through our guidance later in the call.

關於今年的前瞻指引，我們選擇僅提供往後一個季度的指引。此作法與人力派遣產業同業的慣例一致，且足以協助股東評估本公司。Jim 稍後將在電話會議中帶各位了解我們的指引。

I would now like to turn the call over to Emmitt.

現在我想把電話會議交給 Emmitt。

Thank you, Peter, and good afternoon.

謝謝你，Peter，大家午安。

Today I will report on the Allied Healthcare and Life Sciences groups. Before I start with Allied Healthcare group, I would first like to say what an honor and privilege it is to be a part of this group, and I look forward to working with my management team and field employees to generate profitable growth and improve its contribution to the On Assignment organization.

今天我將報告 Allied Healthcare 與 Life Sciences 兩個事業群的表現。在開始談 Allied Healthcare 事業群之前，我想先說，能成為這個團隊的一員是我的榮幸與特權；我也期待與管理團隊及第一線同仁合作，創造獲利成長，並提升其對 On Assignment 組織的貢獻。

Moving to results, Allied Healthcare revenues grew 9.4% for the full year of 2007, but declined 2.3% in the fourth quarter versus last year. The decline in year-over-year results was attributable to lower productivity gains from prior management and field level staff changes made in the latter part of 2007. Although revenues were down from Q4 of 2006, gross profit increased 6.8% in the quarter versus last year, and 16.2% for the full year. Gross margin for the quarter was 31%, which represents a 260-basis point increase over the fourth quarter of 2006. On an annual basis, gross margin was up 187 basis points to 31.8% for 2007. Finally, average bill rates increased 2.7% in the fourth quarter versus last year, and 1.8% for the full year. Bill rate expansion was attributable to greater revenue growth from our H.I.M. and Allied Travel Divisions, and improved pricing from the local Healthcare operations.

接著看營運成果，Allied Healthcare 2007 全年營收成長 9.4%，但第四季較去年同期下滑 2.3%。年對年表現下滑，主要歸因於 2007 年後期先前管理層與第一線人員變動後，生產力提升幅度較低。雖然營收較 2006 年第四季下降，但本季毛利較去年同期增加 6.8%，全年則增加 16.2%。本季毛利率為 31%，較 2006 年第四季提高 260 個基點。以全年來看，2007 年毛利率上升 187 個基點至 31.8%。最後，平均計費費率（bill rates）本季較去年同期提高 2.7%，全年提高 1.8%。計費費率的擴張，主要來自我們 H.I.M.與 Allied Travel 事業部更高的營收成長，以及本地 Healthcare 營運的定價改善。

Moving on to 2008, in order to both realize our financial goals and to strengthen our competitive position, I am focusing on three core areas - West Coast operations, productivity and high margin product lines. Starting with West Coast operations, as previously reported, the West Coast of the Allied group was challenged in 2007, resulting in high turnover and sub-par performance. I'm pleased to report that I have hired a seasoned Healthcare staffing professional to lead this region as well as realign the region to better service its markets. As for productivity, today a large number of staffing consultants have excess capacity, and offer an opportunity for greater contribution to the organization. Our goal is to increase both gross profit and the number of contractors per staffing consultant through enhanced training programs, greater accountability, revised incentive plans, new business development, greater client penetration and enterprise-wide participation in direct hire services.

展望 2008 年，為了同時達成財務目標並強化競爭地位，我將聚焦三個核心領域——西岸營運、生產力，以及高毛利產品線。先談西岸營運，如先前所報告，Allied 事業群的西岸在 2007 年面臨挑戰，導致高離職率與表現不如預期。我很高興報告，我已聘請一位資深的醫療人力派遣專業人士來領導該區域，並重新調整該區域的配置，以更好地服務其市場。至於生產力，目前有相當多的人力派遣顧問存在產能過剩，這為組織帶來提升貢獻的機會。我們的目標是透過強化訓練計畫、更高的責任制、修訂獎酬方案、新業務開發、更深的客戶滲透，以及全公司參與直接招募（direct hire）服務，來同時提升毛利與每位派遣顧問所管理的承包人員數量。

Finally, higher margin product lines. Our strategy is twofold. First, gain greater traction from our H.I.M. and Allied Travel business lines that performed well in 2007, and offer opportunity for continued growth. Second, strategically expand our local presence in the higher level respiratory, diagnostics, local nursing and therapy modalities. Early in the first quarter of 2008, I'm encouraged with the demand for our services, pipeline of new business opportunities, and most importantly, the passion and focus of our management team and field staff. We were on the right path to success but it will require a couple of quarters of hard work and a commitment to operational excellence.

最後是高毛利產品線。我們的策略分為兩個面向。第一，讓我們在 2007 年表現良好、且具備持續成長機會的 H.I.M.與 Allied Travel 兩條業務線取得更大的進展。第二，策略性擴大我們在較高階的呼吸治療、診斷、本地護理與治療等服務型態上的在地布局。在 2008 年第一季初期，我對我們服務需求、潛在新業務機會的管線，以及最重要的——管理團隊與第一線同仁的熱情與專注——感到振奮。我們正走在成功的正確道路上，但仍需要幾個季度的努力與對營運卓越的承諾。

Moving on to the Life Sciences segment, I'm pleased to report the group had another successful quarter and year. Revenues for the full year increased 14.6% over 2006, 12.1% in the fourth quarter versus last year, and despite seasonal factors grew 2% sequentially. All U.S. and European operations contributed to the segment's performance, and newer business such as clinical research gained greater traction in 2007, which fueled greater pay and bill rates. Gross profit increased 18% for the full year and 12.6% in the fourth quarter versus last year. Gross margin for the full year was 33.4%, up 97 basis points over 2006, and 33.2% for the quarter, which represents a 16 basis point year-over-year increase. During the quarter, bill and pay rates expanded year-over-year 6.1% and 5.4% respectively. Overall performance is attributable to operational excellence, focus and healthy end markets.

接著談 Life Sciences 事業群，我很高興報告該團隊又交出一個成功的季度與年度表現。全年營收較 2006 年成長 14.6%，第四季較去年同期成長 12.1%，且儘管有季節性因素，仍較前一季成長 2%。所有美國與歐洲營運據點皆對該事業群表現有所貢獻；而臨床研究等較新的業務在 2007 年取得更大進展，帶動更高的薪資與計費費率。全年毛利成長 18%，第四季較去年同期成長 12.6%。全年毛利率為 33.4%，較 2006 年提高 97 個基點；本季毛利率為 33.2%，年對年增加 16 個基點。本季計費與薪資費率年對年分別擴張 6.1% 與 5.4%。整體表現歸功於營運卓越、專注，以及健康的終端市場。

As for 2008, we continue to see steady demand for our services and will remain focused on rebuilding our contractor base, which historically contracts in late December through the first few weeks of the first quarter. In an effort to capture new markets, we opened a new lab support branch in Toronto, Canada, and also expanded our clinical research presence to the West Coast. Early in the first quarter of 2008, I am encouraged with the number of new contract placements, weekly revenue trends, contract awards, and direct higher activity. I am confident the Life Sciences group is staffed appropriately to meet the demands of our clients, and to effectively execute a successful quarter. I will now turn the call over to Jim Brill.

至於 2008 年，我們持續看到對我們服務的穩定需求，並將持續聚焦於重建承包人員基礎；該基礎歷來會在 12 月下旬至第一季前幾週期間收縮。為了掌握新市場，我們在加拿大多倫多開設新的實驗室支援分支機構，並將臨床研究的布局擴展至西岸。在 2008 年第一季初期，我對新合約派遣人數、每週營收趨勢、合約得標，以及直接招募（direct hire）活動感到鼓舞。我有信心 Life Sciences 事業群的人力配置適當，能滿足客戶需求，並有效執行以達成成功的一季。現在我把電話會議交給 Jim Brill。

Thanks, Emmitt.

謝謝你，Emmitt。

As Peter mentioned, consolidated revenues were $152 million, up significantly due to the acquisitions. There were 61.5 billing days in this quarter versus 62.25 in the third quarter and 61.5 in the fourth quarter of 2006. However, for Nurse Travel there were 92 billing days this quarter and 91 last quarter, versus 92 for the fourth quarter of 2006.

如 Peter 所提到，合併營收為 1.52 億美元，因併購而大幅成長。本季計費天數為 61.5 天，第三季為 62.25 天，2006 年第四季為 61.5 天。不過，就 Nurse Travel 而言，本季計費天數為 92 天、上季為 91 天，而 2006 年第四季為 92 天。

Let me address some of the variances and their related explanation to the extent that Peter or Emmitt has not. In the Life Sciences segment Emmitt addressed the 12.1% revenue growth. The 16 basis point increase in gross margin was primarily a result of improvement in the bill pay margin and a reduction in payroll taxes, offset in part by increased workers' compensation, insurance expenses and reduced permanent placement fees. In the Healthcare segment, Peter addressed the revenue decline, and the 260-basis point increase in Nurse Travel gross margin was due to an increase in the bill pay spread, reduction in housing and automobile expense, partially offset by an increase in other contract employee expenses, and an increase in workers' compensation insurance expense.

我來說明一些差異及其相關原因，若 Peter 或 Emmitt 尚未提及的部分。在 Life Sciences 事業群方面，Emmitt 已說明 12.1% 的營收成長。毛利率增加 16 個基點，主要是因計費與薪資差額（bill pay margin）改善及薪資稅降低；但部分被勞工補償保險、保險費用增加，以及永久職缺媒合費（permanent placement fees）下降所抵銷。在 Healthcare 事業群方面，Peter 已說明營收下滑；而 Nurse Travel 毛利率增加 260 個基點，係因計費與薪資價差（bill pay spread）擴大、住房與汽車費用降低，但部分被其他合約員工費用增加，以及勞工補償保險費用增加所抵銷。

Emmitt discussed the decrease in revenue in Allied Healthcare. The 260 basis point increase in gross margin was due to an increase in the bill pay margin, lower payroll tax and workers' comp expenses, partially offset by increase in other contract employee expenses. In Physician Staffing the revenue growth was driven by an increase in the number of physicians placed. The drop in gross margin was a result of a shift in mix toward lower margin specialties, and a compression in the bill pay spread as a result of our delaying increases in pricing. We've taken steps which we believe will improve the segment's gross margin in the second quarter.

Emmitt 已討論 Allied Healthcare 營收下滑。毛利率增加 260 個基點，係因計費與薪資毛利（bill pay margin）提升、薪資稅與勞工補償費用降低，但部分被其他合約員工費用增加所抵銷。在 Physician Staffing 方面，營收成長主要由派遣醫師人數增加所帶動。毛利率下滑則是因產品組合轉向較低毛利的專科，以及我們延後調漲價格導致計費與薪資價差（bill pay spread）收窄。我們已採取一些措施，並相信將在第二季改善該事業群的毛利率。

Our IT and Engineering segment revenues, as Peter mentioned, were driven by both an increase in bill rates and an increase in billable consultants. The increase in gross margins was driven primarily by an increase in the bill pay spread. Conversion and direct hire revenues totaled $2.6 million in the quarter or 1.7% of revenue, as compared to 2% of revenue in the third quarter of 2007, and 1.8% in the fourth quarter of 2006 on a pro forma basis.

如 Peter 所提到，我們 IT 與工程事業群的營收成長，來自計費費率提高以及可計費顧問人數增加。毛利率的提升主要由計費與薪資價差（bill pay spread）擴大所帶動。本季轉換（conversion）與直接招募（direct hire）營收合計 260 萬美元，占營收 1.7%；相較之下，2007 年第三季占營收 2%，而以擬制（pro forma）基礎計算，2006 年第四季占 1.8%。

Total SG&A expense for the fourth quarter was $40.4 million or 26.6% of revenues, which is up from 25.8% last quarter and up from last year, due to the increase in amortization of intangibles and equity-based compensation expense related to the acquisitions. In addition, Peter mentioned earlier that SG&A includes $531,000 in severance expense and $268,000 in expense related to the writeoff of in-process software development costs. Also included in SG&A in the quarter is $1.6 million of equity-based compensation expense. $3.7million of amortization related to the amortizable intangibles, and $1.7 million of depreciation. Our operating income of $7.9 million, or 5.2% of sales for the quarter, compared to $9.2 million last quarter, and $3.6 million last year.

第四季的SG&A總費用為4,040萬美元，約占營收的26.6%，較上季的25.8%上升，也較去年同期上升，主要因收購相關的無形資產攤銷與股權基礎薪酬費用增加所致。此外，Peter先前提到，SG&A包含53.1萬美元的資遣費用，以及26.8萬美元與沖銷在製軟體開發成本相關的費用。本季SG&A亦包含160萬美元的股權基礎薪酬費用。與可攤銷無形資產相關的攤銷為370萬美元，折舊為170萬美元。本季營業利益為790萬美元，約占銷售額的5.2%，相較上季為920萬美元、去年同期為360萬美元。

As we've previously discussed, the second quarter - in the second quarter, as required by our bank agreement, we entered into a 2-year interest rate swap for $73 million, which fixed our 90-day LIBOR equivalent rate at 4.94%. The decrease in market value of this instrument was $722,000 in the quarter, and this non-cash expense included in nonoperating expense - is included in nonoperating expense and thus excluded from EBITDA. Our tax rate for the year was 44.6% and 53.1% for the quarter. The rate is higher than anticipated due to year-end tax adjustments at our IT and Engineering segment. Net income was $2.2 million or 6%(Sic... See press release) for diluted share.

如同我們先前討論過的，第二季—在第二季，依照我們的銀行協議要求，我們針對7,300萬美元簽訂了一項為期2年的利率交換合約，將我們的90天LIBOR等值利率固定在4.94%。本季該工具的市值減少為72.2萬美元，這項非現金費用列於營業外費用—並因此自EBITDA中排除。本年度的稅率為44.6%，本季為53.1%。稅率高於預期，係因我們IT與工程事業部在年終進行稅務調整所致。淨利為220萬美元或6%(原文如此…請見新聞稿)（以稀釋後每股計）。

We believe it's meaningful to compare EBITDA and adjusted EBITDA when comparing the current quarter's results to prior quarters. As outlined in today's press release, EBITDA for the quarter was $13.3 million. Excluding equity-based compensation expense of $1.6 million, adjusted EBITDA was $14.8 million or 9.8% of revenue. Adjusted EBITDA was $16 million last quarter and $6 million in the fourth quarter of 2006. We ended the quarter with cash and cash equivalents of $37.7 million, up from $37 million last quarter. However, we reduced our bank debt by $8 million to $135.9 million, and we used approximately $2 million, the maximum amount allowed by our bank agreement, to purchase 278,000 shares of our stock. CapEx was approximately $1.6 million, down from $1.7 million in the prior quarter. We also sold a small database management practice in our IT and Engineering segment for a little over $1 million, which was offset against the purchase price of Oxford. This practice generated revenue of $1.6 million in 2007. Net accounts receivable was $78.8 million at the end of the fourth quarter. Day sales outstanding were 47 days, down from 50 days in the prior quarter.

我們認為，在將本季結果與前幾季比較時，同時比較EBITDA與調整後EBITDA是有意義的。如今日新聞稿所述，本季EBITDA為1,330萬美元。扣除160萬美元的股權基礎薪酬費用後，調整後EBITDA為1,480萬美元，約占營收的9.8%。上季調整後EBITDA為1,600萬美元，2006年第四季為600萬美元。本季末現金及約當現金為3,770萬美元，高於上季的3,700萬美元。然而，我們將銀行借款減少800萬美元至1億3,590萬美元，並使用約200萬美元（為銀行協議允許的最高金額）回購本公司股票27.8萬股。資本支出（CapEx）約為160萬美元，低於前一季的170萬美元。我們也在IT與工程事業部出售了一項小型資料庫管理業務，售價略高於100萬美元，並用以抵減Oxford的收購價款。該業務於2007年創造營收160萬美元。第四季末淨應收帳款為7,880萬美元。應收帳款週轉天數（DSO）為47天，低於前一季的50天。

Now turning to productivity, which we defined as the quarterly gross profit generated per staffing consultant, for the fourth quarter we averaged 773 staffing consultants, and the gross profit per staffing consultant was $62,503. The Life Sciences segment generated $100,163 in gross profit per staffing consultant for the quarter, as compared to $91,476 in the fourth quarter of 2006. To Healthcare segment generated $75,794 in gross profit per staffing consultant for the quarter, as compared to 70,640 in the fourth quarter of '06. The Physician Staffing segment generated $79,049 in gross profit per staffing consultant for the quarter, compared to $86,935 last quarter. And the IT and Engineering segment generated $45,449 in gross profit per staffing consultant for the quarter, compared to $45,037 last quarter.

接著談生產力，我們將其定義為每位派遣顧問每季所產生的毛利。第四季我們平均有773位派遣顧問，每位派遣顧問的毛利為62,503美元。生命科學事業部本季每位派遣顧問產生的毛利為100,163美元，相較2006年第四季為91,476美元。醫療照護事業部本季每位派遣顧問產生的毛利為75,794美元，相較2006年第四季為70,640美元。醫師派遣事業部本季每位派遣顧問產生的毛利為79,049美元，較上季的86,935美元下降。IT與工程事業部本季每位派遣顧問產生的毛利為45,449美元，較上季的45,037美元上升。

Based on fairly stable labor markets and normal seasonal trends, including the reset of employment taxes, we currently project consolidated revenues of 146.5 to $149.5 million for the quarter ending March 31, 2008. We are projecting consolidated gross margins of approximately 31.1% to 31.5%; SG&A of 39 to $40 million, including equity-based compensation expenses of approximately $1.5 million; approximately $2.5 million of amortization of intangible assets and financing costs; and depreciation of approximately $1.5 million. Excluding any impact from the mark to market of our $73 million interest rate swap, we project net income of $2 million to $3.4 million, and earnings per share of $0.06 to $0.10, with an effective tax rate of about 42.6%. Adjusted EBITDA is projected to range from $11 million to $13.5 million. As Peter mentioned previously, in accordance with the practice of our peers, we are not going to provide annual guidance. As you know, these estimates are subject to the risks mentioned in today's release and at the beginning of this conference call.

基於相對穩定的勞動市場與正常的季節性趨勢（包括就業稅重設），我們目前預估截至2008年3月31日止季度的合併營收為1億4,650萬至1億4,950萬美元。我們預估合併毛利率約為31.1%至31.5%；SG&A為3,900萬至4,000萬美元，其中包含約150萬美元的股權基礎薪酬費用；無形資產及融資成本攤銷約250萬美元；折舊約150萬美元。在不考慮7,300萬美元利率交換合約按市價評價（mark to market）影響的情況下，我們預估淨利為200萬至340萬美元，每股盈餘為0.06至0.10美元，有效稅率約為42.6%。調整後EBITDA預估介於1,100萬至1,350萬美元。如Peter先前提到，依照同業慣例，我們將不提供年度財測指引。如各位所知，這些估計值仍受今日公告及本次電話會議開場提及之風險影響。

I will now turn it back to Peter for some closing comments before we open up the lines for questions. Peter?

在開放提問之前，我現在把電話交回給Peter做一些結語。Peter？

Thanks, Jim. Although we are not satisfied with our revenue performance in the Healthcare segment this quarter, we are very satisfied with our overall performance and our success in growing our operating margins; expanding our gross margins; generating cash; and, excluding the Healthcare segment performance, growing our revenues faster than our peers. We would like to once again thank our many loyal, dedicated and talented employees, whose efforts have allowed us to progress where we are today. I would now like to turn the call - open the call up to participants for questions. Operator?

謝謝你，Jim。雖然我們對本季醫療照護事業部的營收表現不滿意，但我們對整體表現非常滿意，也對我們在提升營業利潤率、擴大毛利率、創造現金，以及（排除醫療照護事業部表現後）營收成長速度快於同業的成果感到滿意。我們要再次感謝眾多忠誠、敬業且才華洋溢的員工，正是他們的努力讓我們得以走到今天。我現在想把電話—開放給與會者提問。接線員？

(OPERATOR INSTRUCTIONS) Our first question comes from the line of Tobey Sommer with SunTrust.

（接線員指示）我們的第一個問題來自SunTrust的Tobey Sommer。

Thank you. A question for you on the different one-time things, writeoff, et cetera. What - you gave us the after tax impact of about $713,000. If I'm right, does that mean that if excluding EPS may have been around $0.10?

謝謝。我想請教關於不同的一次性項目、沖銷等等。你們提供了稅後影響約71.3萬美元。如果我理解正確，是否表示若排除這些項目，EPS可能約為0.10美元？

Tobey, I kind of break it into two categories. The severance, the whip and the non-cash mark to market is about -- how many cents, $0.03?

Tobey，我大致把它分成兩類。資遣、那個沖銷，以及非現金的按市價評價，大約—是多少美分，0.03美元？

$0.02, $714,000 after tax.

0.02美元，稅後71.4萬美元。

And then the increased tax rate is about $0.03 or $0.04 in the quarter.

然後，本季稅率上升約影響0.03或0.04美元。

And the higher tax rate, is that a function of being more profitable than you thought, in part at least?

那較高的稅率，至少部分原因是否是因為獲利比你們原先預期更好？

No, it's not. It has to do with the handling of certain items that IT/Engineering segment, and adjusting for the way those items were tax affected.

不，不是。這與IT/工程事業部某些項目的處理方式有關，並且需要針對那些項目在稅務影響上的處理方式進行調整。

And Peter, broadly speaking you started off your prepared comments by saying that in a slowdown, yes, economic slowdown, some of the businesses are cyclical and will be impacted, but when you look at your dashboard of what you typically look at to manage the staffing business, the trajectory is largely positive. Could you, just from a big picture standpoint, give me your thoughts about the dashboard you are looking at currently?

Peter，概括來說，你在事先準備的發言一開始提到，在景氣放緩—是的，經濟放緩時，部分業務具有循環性並會受到影響；但當你看你通常用來管理派遣業務的儀表板時，整體走勢大致仍是正向的。你能否從更宏觀的角度，談談你目前正在看的那個儀表板，以及你的想法？

Yes. Tobey, I hate to sound -- I'm not trying to sound bullish. I'm just trying to give you a realistic picture of what we are seeing today. We just haven't seen it yet. We haven't seen a marked deterioration in the marketplace. You know, we gave you what our weekly revenues are, and we think because of how we run or business on a disciplined basis as it relates to perm, and managing the quality of our revenues as much as our quantity of our revenues, that we continue to be able to grow.

是的。Tobey，我不想聽起來——我不是想表現得很樂觀。我只是想讓你對我們今天所看到的情況有一個務實的認識。我們只是還沒看到。我們還沒有看到市場出現明顯惡化。你知道，我們已經提供了每週營收的數字，而我們認為，因為我們在永久派遣（perm）相關業務上以紀律性的方式經營，並且在管理營收品質方面與管理營收規模同樣重視，所以我們仍然能夠持續成長。

We also, you know, our assignments on the IT side tend to last 4 to 5 months. So the orders we are filling -- and typically an order, a listing that we accept today in that segment will be filling in 4 to 5 days, and absent some sort of involuntary or voluntary termination, that assignment lasts 4 or 5 months. So we have got some visibility there. On the physician side, traditionally the work that we were submitting for today, we won't generate revenues for 3 months. But based on the order activity and the bookings we're doing today, 3 months out we see no slowdown.

另外，你知道，我們在 IT 端的派案通常會持續 4 到 5 個月。所以我們正在填補的訂單——而且通常在那個區塊，我們今天接受的一張訂單、一個職缺，會在 4 到 5 天內補上人；在沒有某種非自願或自願終止的情況下，那個派案會持續 4 或 5 個月。因此我們在那裡有一定的能見度。在醫師端，傳統上我們今天所提交的工作，要到 3 個月後才會產生營收。但根據我們今天的訂單活動與接單（bookings）情況，往後 3 個月我們看不到放緩。

On the nursing side, it's sloppy. It hasn't been good. But we think we've got a much better chance to grow in 0 -- we grew less than 1% year-over-year, and we got a benefit at the end of the year because of the two labor disruptions. But we think we is have a better chance to grow now that we have the vast majority of the revenues from those two customers out of our system.

在護理端，情況比較混亂。表現一直不太好。但我們認為我們有更好的機會在 0——我們年對年成長不到 1%，而且因為兩起勞動中斷事件，我們在年底得到一些助益。但我們認為，現在我們有更好的機會成長，因為我們已經把那兩個客戶帶來的絕大部分營收從我們的系統中移除。

And then finally on Life Sciences, it's the fastest growth rate it's had in a couple of years, and as Emmitt said in his prepared remarks, we haven't seen any sort of noticeable change there. And then finally Allied, that is -- we just take responsibility, that is more internal execution than it has to do with any changes in hospital or physician practice group buying behavior. So, you know, call me in 3 weeks and if I see something different, I will tell you. But as we sit here today, you know, you know for - the first quarter's traditionally our most seasonally impacted quarter, and the guidance we gave you kind of shows that we're going to - when you strip out the labor disruption revenues, that we are going to pretty much be right on the fourth, and we will be above our strongest quarter of '07 typically, which is the third.

最後在生命科學方面，這是過去幾年來最快的成長率；正如 Emmitt 在事先準備的發言中所說，我們在那裡沒有看到任何明顯的變化。最後是 Allied（聯合醫療）業務——我們就承擔責任，這更多是內部執行問題，而不是醫院或醫師診所集團採購行為的任何變化。所以，你知道，三週後再打給我，如果我看到不同的情況，我會告訴你。但就我們今天坐在這裡來看，你知道——第一季傳統上是我們季節性影響最明顯的一季，而我們給你的指引大致顯示，當你把勞動中斷帶來的營收剔除後，我們基本上會與第四季差不多，而且我們會高於 2007 年通常最強的一季（第三季）。

Right. So the trends you are seeing now actually show broadly a growing market in collection of businesses?

對。所以你們現在看到的趨勢，整體而言顯示這一組業務所處的市場是在成長的？

We see -- I would just say, you know, it doesn't help to have all of the turmoil in the marketplace, but we are still having success and being able to grow at a moderate rate.

我們看到——我只能說，你知道，市場上這些動盪當然沒有幫助，但我們仍然取得進展，並且能以中等速度成長。

Thank you very much. I will get back in the queue.

非常感謝。我會回到排隊等候。

Our next question comes from the line of Kevin Casey. Kevin, your line is open. His question has been withdrawn. Our next question comes from the line of Andrew Fones with UBS.

我們下一個問題來自 Kevin Casey。Kevin，你的線路已開通。他的問題已撤回。我們下一個問題來自 UBS 的 Andrew Fones。

This is Jim [Wizon] for Andrew. Just a couple of probably quick items. If you could give us an update what you are thinking the tax rate might run at for Q1 and also 2008.

我是 Jim [Wizon]，代 Andrew 發問。有幾個可能很快的小問題。你們能否更新一下你們對第一季以及 2008 年稅率可能落在什麼水準的看法？

Yes, I said at this point we were looking at 42.6%, which is down from the 44.3% for the full year of '07.

是的，我剛才說過，目前我們預估是 42.6%，低於 2007 全年的 44.3%。

Right. Okay. Thanks. And if you had owned Vista and Oxford for all of Q1 '07, what revenue growth does your guidance for Q1 '08 imply?

好。好的。謝謝。另外，如果你們在 2007 年第一季整季都擁有 Vista 和 Oxford，那麼你們對 2008 年第一季的營收指引所隱含的營收成長是多少？

On a pro forma basis, the easiest way to answer that question is take the '06 number and add about $15 million for one month of Oxford, and then compare it.

以擬制（pro forma）基礎來看，回答這個問題最簡單的方法是拿 2006 年的數字，加上 Oxford 一個月大約 1,500 萬美元，然後再拿來比較。

Okay. Easy enough. Thank you. I will jump back in the queue.

好的。夠簡單。謝謝。我會回到排隊等候。

Our next question comes from the line of Jeff Silber with BMO.

我們下一個問題來自 BMO 的 Jeff Silber。

Just a follow-up on the last question. If it's possible in terms of your revenue guidance, could we get a little bit more color segment by segment how you're coming up with the amounts you are projecting for the first quarter?

針對上一個問題再追問一下。如果可以的話，就你們的營收指引而言，能否按部門（segment）多提供一些說明，談談你們是如何推算第一季所預估的金額？

We are not going to go segment by segment. I think what we would say is that obviously, you know, we expect that we are still going to have issues in the Allied and Nurse Travel segments. The other segments look fairly good.

我們不會逐一按部門說明。我想我們會說的是，很明顯地，你知道，我們預期 Allied 與護理差旅（Nurse Travel）部門仍會有一些問題。其他部門看起來相當不錯。

Let me ask the question another way. Seasonally, going from 4Q to 1Q, are there any major differences between the four segments that we should be looking for?

我換個方式問。從第四季到第一季的季節性變化來看，四個部門之間是否有任何我們應該留意的重大差異？

Yes. Let me give you some qualitative comments. Traditionally lab support, as Emmitt stated in his prepared remarks, we see a buildup going into December 14 of the year of head count, and then because of research facility shutdowns and project completions, we have a fall off. Then it takes up until kind of the second week of February for us to ramp up to kind of pre-December14th highs, and then that can change depending on the strength and momentum of our business. The nursing side, irrespective of how the broader Nurse Travel industry is doing, traditionally you have a dramatic fall off after the third week of December because nurses do not want to work away from their primary residence during Christmas and New Year's. They get reinserted into their local communities and then it takes a period of time to entice them back out on to the road to work. Allied Healthcare tends not to be as cyclical as the others, and then the IT business and the Physician group had some project terms, and for the IT group refreshing of budgets, but not as severe as the lab or the -- as lab support or the Nurse Travel ramp back up.

有。我給你一些定性的評論。傳統上，實驗室支援（lab support）如同 Emmitt 在事先準備的發言中所說，我們會在每年 12 月 14 日之前看到人頭數逐步增加；然後因為研究機構關閉以及專案結束，人力會下滑。接著大概要到 2 月第二週左右，我們才會回升到接近 12 月 14 日之前的高點，而這也會依我們業務的強度與動能而改變。護理端，不論整體護理差旅產業表現如何，傳統上在 12 月第三週之後會大幅下滑，因為護理人員不想在聖誕節與新年期間離開主要居住地工作。他們會回到當地社區，然後需要一段時間才能吸引他們再回到外地工作。Allied Healthcare 的週期性通常沒有其他部門那麼明顯；而 IT 業務與醫師團隊則會有一些專案期的影響，IT 團隊也會有預算更新，但不會像實驗室支援或護理差旅那樣嚴重的回升（ramp back up）。

Actually that was helpful. I really appreciate it. I know you aren't giving guidance for '08, but is it possible to tell us what we should be looking for in terms of capital spending for the year?

其實這很有幫助。非常感謝。我知道你們沒有提供 2008 年的指引，但能否告訴我們今年資本支出大概應該看什麼水準？

I think so. Jim, can you - have you done a CapEx budget?

我想可以。Jim，你——你做了資本支出（CapEx）預算了嗎？

We haven't talked about it but the CapEx ought to be somewhere in the range of $8 million.

我們還沒談過，但資本支出應該會落在約 800 萬美元的區間。

Okay. And terms of depreciation and amortization, I know it should be coming down because of the change in amortization schedule this year. Can you refresh my memory what we should be looking for in D&A in '08?

好的。至於折舊與攤銷（depreciation and amortization），我知道因為今年攤銷年限（amortization schedule）的變更，應該會下降。你能幫我回想一下，2008 年 D&A 大概應該看什麼水準嗎？

It's basically going to be about four times what we've provided with regard to guidance, so we ought to be close to $2.4 million per quarter on the amortization side, and somewhere in the range of $1.5 million per quarter on the depreciation side. I might also just step back to the last question, the pro forma growth rates if we had Oxford for the full year in '07 on the first quarter would be 6.3% to 8.5% on the guidance line.

基本上會是我們在指引中提供數字的四倍左右，所以攤銷方面每季應該接近 240 萬美元，折舊方面每季大約在 150 萬美元的區間。我也補充回到上一個問題：如果 2007 年第一季我們整季都擁有 Oxford，那麼在指引區間下，擬制成長率會是 6.3% 到 8.5%。

Great. And then you had mentioned in terms of the share buyback that you met the limitations of your bank agreement. Can you remind us what that is?

很好。另外你提到關於庫藏股回購，你們符合銀行協議的限制條款。你能提醒我們那是什麼限制嗎？

We have a limit of $2 million -- a $2 million basket of other stuff. I won't go into what all that other stuff might be, but share buybacks is included in the other stuff. So we hadn't done anything else within that basket prior to the end of the year, so we had the full basket available for share buybacks.

我們有一個200萬美元的上限——一個200萬美元的「其他項目」額度籃子。我不會細談那些其他項目可能包含哪些內容，但股票回購包含在其他項目之中。因此，在年底之前我們在那個籃子裡沒有做任何其他動作，所以我們有完整的籃子額度可用於股票回購。

And that's annual limit of $2 million.

而那是每年200萬美元的上限。

That an annual limit of $2 million.

那是每年200萬美元的上限。

Great. And then one more financial-related question. In terms of the interest rate swap, I know you aren't going to guess in terms of what the mark to market impact will be this quarter. But stepping back, are you locked into that? I think you mentioned it was a 2-year time period. There is anyway to get out of that if you desire to do so?

很好。接著還有一個與財務相關的問題。關於利率交換（interest rate swap），我知道你們不會去猜測本季按市價評價（mark-to-market）的影響會是多少。但退一步來看，你們是否被鎖定在那個合約裡？我想你提到那是2年的期間。如果你們想要的話，有沒有任何方式可以退出？

Sure. We can probably get out of it by paying the mark to market adjustment at the time, so that would be possible. But then we would have to enter into something else in accordance with our bank agreement to fix it out again. I should just remind you that again that's a 2-year non-cash contract. So anything that we recognize as an expense through the P&L will at some time prior to the maturity of that contract come back as an income item.

當然。我們大概可以透過在當時支付按市價評價調整金額來退出，所以這是可行的。但接著我們必須依照與銀行的協議，再進入另一個工具把它重新固定下來。我也提醒你，那同樣是一個2年的非現金合約。因此，我們透過損益表（P&L）認列為費用的任何項目，在該合約到期之前的某個時間點都會以收入項目回轉。

And you would be reporting that in other income as well?

而你們也會把那個列在其他收入裡報告，對嗎？

That's correct.

沒錯。

Fantastic. I will let somebody else jump on. Thanks.

太棒了。我讓其他人接著問。謝謝。

Our next question comes from the line of Josh Vogel with Sidoti & Company.

我們的下一個問題來自 Sidoti & Company 的 Josh Vogel。

Hi, thank you for taking my call. You had comments about the growth opportunities in Life Sciences and IT/Engineering outside of the U.S.. Could you go into a little bit more detail there, how you plan to grow those businesses?

嗨，謝謝接聽我的電話。你提到在美國以外的生命科學以及 IT/工程領域的成長機會。你能否再多說一點，你們打算如何擴大這些業務？

As you know, josh, we have been in the international markets going on ten years. And what we have done is we significantly increased the head count in our IT/Engineering group and Life Sciences group to further penetrate Western Europe on a long line basis, and then we opened up a branch office in Canada on a local basis. So we report on a quarterly basis what percentage of our revenue comes from outside of the United States. As you can see, it's growing. We are growing it because our customers are demanding support over there and we have some good opportunity.

如你所知，Josh，我們在國際市場已經將近十年了。我們所做的是大幅增加 IT/工程團隊與生命科學團隊的人力編制，以便以「長線」方式進一步滲透西歐市場，並且我們也在加拿大以在地方式設立了一個分支辦公室。因此，我們每季都會報告有多少比例的營收來自美國以外。如你所見，這個比例正在成長。我們之所以能成長，是因為客戶要求我們在那邊提供支援，而且我們也有一些很好的機會。

Okay. What if we look at the M&A front? You added two large businesses last year. Can you maybe touch on what your strategy is in '08?

好的。那如果我們看併購（M&A）方面呢？你們去年新增了兩個大型業務。你能談談你們在 2008 年的策略嗎？

Yes. We are fortunate that when you look at our EBITDA growth and you look at our revenue growth and our margin expansion, we don't have to do anything. We think we are very, very well positioned. I think on top of that, you see that we opened up three branch offices for Oxford in '07, and two for Life Sciences, so we have plenty of growth opportunities even with that acquisition. We are filling the pipeline. We are having conversations, breakfasts, lunches and dinners with private owners, and there is attractive opportunities on the health information management side, on the clinical research side, on the physician staffing side; but we're not pulling the trigger right now, for a variety of reasons. We have a fair amount of operating flexibility, but unfortunately - I'm not complaining, but unfortunately our shareholders have had enough to deal with right now with regard to the share price performance that layering on additional concerns about debt leverage or integration just seems like a little bit too much and we are going to let the skies clear a little bit.

可以。我們很幸運，當你看我們的 EBITDA 成長、營收成長以及毛利率擴張時，我們其實不必做任何事。我們認為我們的定位非常、非常好。此外，你也看到我們在 2007 年為 Oxford 開了三個分支辦公室，為生命科學開了兩個，所以即使有那項收購，我們仍然有很多成長機會。我們正在充實案源管線。我們與私人業主進行各種會談、早餐、午餐和晚餐；在健康資訊管理、臨床研究、醫師人力派遣等方面都有具吸引力的機會；但基於各種原因，我們目前還沒有扣下扳機。我們有相當程度的營運彈性，但不幸的是——我不是在抱怨，但不幸的是——就股價表現而言，我們的股東現在已經有夠多事情要面對了；此時再疊加對負債槓桿或整合的額外疑慮，似乎有點太多了，所以我們打算先讓情勢稍微明朗一些。

Okay. And what about in your guidance for Q1, If we were to look at -- if Oxford was part of your business for all 3 months of a year ago, are you expecting some margin contraction in that business or not?

了解。那在你們對第一季的指引中，如果我們假設 Oxford 在去年同一期間的三個月都已經是你們業務的一部分，你們是否預期那個業務的利潤率會收縮，還是不會？

The opposite.

相反。

Okay. So you are expecting gross margins in Oxford and Vista to improve year-over-year?

好的。所以你們預期 Oxford 和 Vista 的毛利率會年增改善？

In Oxford, we are expecting that gross margins will improve year-over-year.

在 Oxford，我們預期毛利率會年增改善。

That's what your question was. Now if you are asking about Vista.

那就是你的問題。現在如果你問的是 Vista。

Now I'm switching it up.

我現在換個問法。

We hope to have stable to expanding margins throughout the year.

我們希望全年利潤率能維持穩定到擴張。

Okay. And lastly, I dropped the phone before, but what did you say to capital spending estimate for '08 was?

好的。最後一個問題，我剛剛電話掉了，但你說 2008 年的資本支出預估是多少？

About $8 million.

大約800萬美元。

Thank you.

謝謝。

And our next question comes from the line of Kevin Casey.

我們的下一個問題來自 Kevin Casey。

Hi, guys. Was there any option exercised in the quarter? I assume not?

嗨，各位。本季有任何選擇權被行使嗎？我想應該沒有？

I don't believe so. There may have been some minimal option exercises. I -- it's not enough to move the needle on the cash flow, so I just don't know off the top of my head.

我想沒有。可能有一些非常少量的選擇權行使。我——這不足以對現金流造成明顯影響，所以我一時也想不起來。

So cash flow was close to 10, 11 -- minus, what would you say, $1 million for the database sold?

所以現金流接近10、11——扣掉你說的那筆賣出資料庫的100萬美元，對嗎？

Yes, a little over.

是的，略高一些。

And then there is any seasonality in that cash flow? Because the last couple of quarters I think you have been running about 8 to10 the last couple quarters.

那現金流有任何季節性嗎？因為過去幾季我記得你們大概都在8到10左右。

I think the only seasonality that would be important to think about is in April we'll end up paying burnout payments to both Vista and Oxford. And if you take a look at balance sheet once we publish it, it may show up even today on -- but they're big numbers. So it will end up somewhere in the range of $8 million, something like that in burnout payments. That is probably going to come in April.

我認為唯一需要考慮的重要季節性是在四月，我們會支付 Vista 和 Oxford 的 burnout 款項。等我們發布資產負債表後你看一下，甚至今天在——上面可能就看得到，但金額很大。所以 burnout 款項最後大概會落在800萬美元左右，差不多那樣。那很可能會在四月發生。

You know, Kevin, the only thing that accentuated the cash flow a little bit in the fourth quarter were the labor disruptions, because those get paid very quickly.

Kevin，你知道，第四季讓現金流稍微被放大的唯一因素是勞動中斷（labor disruptions），因為那些款項支付得非常快。

Which helped out -- you saw that DSO went from 50 to 47 quarter-to-quarter, and part of that was the labor disruption issue.

這也有幫助——你看到 DSO（應收帳款週轉天數）從50降到47，部分原因就是勞動中斷的問題。

Okay. I think a few quarters ago you mentioned like $8 million plus or minus a million bucks or so is kind of the quarterly run rate of cash flow. Is there any change to that?

好的。我記得幾季前你們提到每季現金流的常態大概是800萬美元上下、正負100萬左右。這個看法有改變嗎？

No, we said we thought we'd probably generate 7 to $8 million in cash per quarter, if there aren't any other, you know, unique things happening like this burnout payment.

沒有，我們說我們認為每季大概會產生700萬到800萬美元的現金，前提是沒有其他——你知道——像這種 burnout 款項之類的特殊事件。

All right. Sounds great. Good quarter. Thanks.

好。聽起來很棒。這季表現不錯。謝謝。

Thanks, Kevin.

謝謝，Kevin。

(OPERATOR INSTRUCTIONS)

(接線員指示)

We seem to have no further questions.

我們似乎沒有其他問題了。

Okay, thanks very much, Marvin, and thank you everybody for joining us on the call. We look forward to speaking with you again in a couple of months.

好的，非常感謝你，Marvin，也謝謝各位參與本次電話會議。我們期待在幾個月後再次與各位交流。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以掛線。