艾默生電氣 (EMR) 2023 Q2 法說會逐字稿

Hello. Welcome to the Emerson Second Quarter 2023 Earnings Call. Please note, today's event is being recorded. I would now like to turn the conference over to your host, Colleen Mettler, Vice President of Investor Relations at Emerson. Please go ahead.

你好。歡迎來到艾默生 2023 年第二季度財報電話會議。請注意，今天的活動正在錄製中。我現在想把會議轉交給你的主持人，艾默生投資者關係副總裁 Colleen Mettler。請繼續。

Good morning, and thank you for joining us for Emerson's Second Quarter Fiscal 2023 Earnings Conference Call. Today, I am joined by President and Chief Executive Officer, Lal Karsanbhai; Chief Financial Officer, Frank Dellaquila; and Chief Operating Officer, Ram Krishnan. Also joining us today is Mike Baughman, who is announced earlier this morning as our Chief Financial Officer effective May 10.

早上好，感謝您加入我們的艾默生 2023 財年第二季度收益電話會議。今天，總裁兼首席執行官 Lal Karsanbhai 和我一起出席了會議；首席財務官 Frank Dellaquila；和首席運營官 Ram Krishnan。今天加入我們的還有邁克·鮑曼 (Mike Baughman)，他於今天上午早些時候被宣佈為我們的首席財務官，自 5 月 10 日起生效。

As always, I encourage everyone to follow along with the slide presentation, which is available on our website.

一如既往，我鼓勵大家跟隨我們網站上的幻燈片演示。

Please join me on Slide 2. This presentation may include forward-looking statements, which contain a degree of business risks and uncertainty. Please take time to read the safe harbor statement and note on non-GAAP measures. I will now pass the call over to Emerson's President and CEO, Lal Karsanbhai, for opening remarks.

請加入幻燈片 2。此演示文稿可能包含前瞻性陳述，其中包含一定程度的業務風險和不確定性。請花時間閱讀安全港聲明並註意非 GAAP 措施。我現在將電話轉交給艾默生總裁兼首席執行官 Lal Karsanbhai，請他致開幕詞。

Thank you, Colleen, and good morning. Please turn to Slide 3. I'd like to begin by thanking the global Emerson team for a tremendous performance, our Board of Directors and shareholders for the trust that you place in us. It has been a busy first 26 months as CEO as we reinvented Emerson. The second quarter performance was exceptional. It was a quarter in which we significantly advanced our strategic agenda across the 3 dimensions of our value creation model.

謝謝你，科琳，早上好。請轉到幻燈片 3。首先，我要感謝艾默生全球團隊的出色表現，感謝我們的董事會和股東對我們的信任。在我們重塑 Emerson 的過程中，擔任首席執行官的前 26 個月非常忙碌。第二季度的表現非常出色。在這個季度中，我們在價值創造模型的三個維度上顯著推進了我們的戰略議程。

First, culture. In the last 2 months, we announced 2 important leadership changes. Vidya Ramnath was named as the company's Chief Marketing Officer, replacing Kathy Button Bell, who had a distinguished career at Emerson and put Emerson's brand on the map while working for 3 different CEOs. Vidya is the right person to accelerate our journey as a pure-play automation company. She brings deep technical knowledge and customer exposure, is an engineer, and for the last 4 years, has led Emerson's Middle East and Africa business. We believe this is a highly differentiating move for us as a company.

第一，文化。在過去的 2 個月裡，我們宣布了 2 項重要的領導層變動。 Vidya Ramnath 被任命為公司的首席營銷官，接替 Kathy Button Bell，後者在 Emerson 擁有傑出的職業生涯，並在為 3 位不同的 CEO 工作時將 Emerson 的品牌推向了地圖。 Vidya 是加速我們作為一家純自動化公司的旅程的合適人選。她擁有深厚的技術知識和客戶經驗，是一名工程師，在過去的 4 年裡，她一直領導艾默生的中東和非洲業務。我們相信這對我們公司來說是一個高度差異化的舉措。

Secondly, this morning, we announced Frank's planned retirement and Mike Baughman as Emerson's CFO. I'll say a few more words about this later in the presentation. Lastly, we completed our first digital employee engagement survey. We heard from 85% of our global employee base and received a high quartile net engagement score. This gives us a stake in the ground and a great perspective on the areas of strength and opportunities to better the talent experience at Emerson.

其次，今天早上，我們宣布弗蘭克計劃退休，邁克鮑曼將擔任艾默生的首席財務官。我將在稍後的演示中對此多說幾句。最後，我們完成了第一個數字員工敬業度調查。我們聽取了 85% 的全球員工的意見，並獲得了很高的四分位數淨參與度分數。這給了我們立足之地，讓我們對優勢領域和改善艾默生人才體驗的機會有了更廣闊的視野。

Second, the portfolio. We will be finalizing the climate transaction in the current quarter. The CEO for the joint venture has been named, Ross Shuster, and we are excited by what his leadership and experience brings to the business. I'd like to thank Jamie Froedge for the work he did in the business. and for his contributions over 16 years of service at Emerson. In addition, we signed a definitive agreement to acquire National Instruments. We're very excited about the company, the technology and most importantly the people. This is an important point. The large portfolio moves are now complete. As an investor, you now have clarity that an investment in a share of Emerson is an investment in the leading global automation company serving a diversified set of end markets with a high growth, high profitability and cash flow, cohesive and differentiated tech stack made up of intelligent devices, control and software led by AspenTech.

第二，投資組合。我們將在本季度完成氣候交易。合資企業的首席執行官已被任命為 Ross Shuster，我們對他的領導能力和經驗為企業帶來的影響感到興奮。我要感謝 Jamie Froedge 在公司所做的工作。以及他在艾默生服務超過 16 年的貢獻。此外，我們還簽署了收購 National Instruments 的最終協議。我們對公司、技術以及最重要的人員感到非常興奮。這是很重要的一點。大型投資組合變動現已完成。作為投資者，您現在清楚地知道，投資艾默生的股份是對全球領先的自動化公司的投資，該公司服務於多元化的終端市場，具有高增長、高盈利能力和現金流、具有凝聚力和差異化的技術堆棧以AspenTech為首的智能設備、控制和軟件。

Our focus on a go-forward basis as we did this quarter will be on creating value with this tremendous company.

正如我們本季度所做的那樣，我們的重點是與這家偉大的公司一起創造價值。

Lastly, our third pillar, execution. None of the work we've done would have been possible without it. The phenomenal results and momentum we have in the business is a testament to the quality of our global teams and to the strength of the Emerson management system. Underlying orders were up 7% with late cycle process markets continuing to exhibit strong demand. Hybrid also remains robust, driven by reshoring investments globally. From a world area perspective, Americas orders led with China returning to growth as expected. As we look to the remainder of the year, we still feel confident in continued mid-single-digit order growth.

最後，我們的第三個支柱，執行。沒有它，我們所做的任何工作都是不可能的。我們在業務中取得的驚人成果和發展勢頭證明了我們全球團隊的素質和艾默生管理體系的實力。基礎訂單增長了 7%，後期加工市場繼續表現出強勁的需求。在全球回流投資的推動下，混合動力也保持強勁。從世界範圍來看，美洲訂單領先，中國如預期恢復增長。展望今年剩餘時間，我們仍然對持續的中個位數訂單增長充滿信心。

The strong demand and steadily improving supply chain environment enabled 14% underlying sales growth in the quarter, well above our expectations. All world areas were up double digits, led by the Americas, up 15%. Intelligent devices and software and control were also both up double digits. This strong sales performance and the continued operational execution of our teams led to 53% operating leverage in the quarter, excluding AspenTech.

強勁的需求和穩步改善的供應鏈環境使本季度的基礎銷售額增長了 14%，遠高於我們的預期。世界所有地區都增長了兩位數，其中美洲增長了 15%。智能設備和軟件及控制也都增長了兩位數。這種強勁的銷售業績和我們團隊持續的運營執行力導致本季度的運營槓桿率為 53%，不包括 AspenTech。

Favorable impacts from mix and price cost also drove a 320 basis point improvement in adjusted segment EBITA to 24.6%. Adjusted EPS was $1.09, beating the midpoint of guidance by $0.11, again, driven by the strong sales and operational performance. This is a 25% increase versus Q2 of 2022. Free cash flow was up 64% year-over-year and up 23% year-to-date, which is on track to meet our full year expectations.

組合和價格成本的有利影響也推動調整後的分部 EBITA 提高 320 個基點至 24.6%。調整後的每股收益為 1.09 美元，再次超出指導的中點 0.11 美元，這再次受到強勁的銷售和運營業績的推動。與 2022 年第二季度相比增長了 25%。自由現金流同比增長 64%，年初至今增長 23%，有望達到我們的全年預期。

Turning to Slide 4. Our value creation priorities and growth initiatives around innovation and secular growth platforms that we outlined at our investor conference in November 2022 are yielding meaningful results. First, Emerson was recognized by Fortune Magazine as one of America's Most Innovative Companies. The recognition is a testament to our innovation history and dedication from our employees to create leading technology and software for our customers. We are extremely excited to be recognized for this award and are working continuously to accelerate our innovation engine for future growth.

轉到幻燈片 4。我們在 2022 年 11 月的投資者會議上概述的圍繞創新和長期增長平台的價值創造優先事項和增長計劃正在產生有意義的結果。首先，艾默生被《財富》雜誌評為美國最具創新力的公司之一。這一認可證明了我們的創新歷史以及我們員工為客戶創造領先技術和軟件的奉獻精神。我們非常高興能夠獲得這個獎項，並不斷努力加速我們未來增長的創新引擎。

Similarly, Emerson continues to differentiate as a leader in growth markets like energy transition, metals and mining and software. In the second quarter, Emerson was awarded the software and automation contract for Intermountain Power Agency's renewed power plant. The Utah project transforms a retiring coal-fired power plant into a clean energy plant running on hydrogen. At first, the plant will use a mix of 30% hydrogen, 70% natural gas before transitioning to 100% hydrogen by 2045. The hydrogen will be supplied by the Mitsubishi Power Advanced clean energy production and storage hub, another greenfield project that Emerson was awarded in 2022. When complete, the Intermountain project will supply 6 Western states with carbon-free power, a critical step towards a net zero world.

同樣，艾默生繼續作為能源轉型、金屬和採礦以及軟件等增長市場的領導者脫穎而出。第二季度，艾默生獲得了 Intermountain Power Agency 更新電廠的軟件和自動化合同。猶他州的項目將一座退休的燃煤電廠改造成一座以氫為燃料的清潔能源電廠。首先，該工廠將使用 30% 的氫氣和 70% 的天然氣，然後到 2045 年過渡到 100% 的氫氣。氫氣將由 Mitsubishi Power Advanced 清潔能源生產和存儲中心提供，這是艾默生參與的另一個綠地項目於 2022 年授予。完成後，Intermountain 項目將為 6 個西部州提供無碳電力，這是邁向淨零世界的關鍵一步。

With our integrated end-to-end renewables and power generation platform, Emerson was chosen because of our industry expertise and proven experience in hydrogen and complex projects.

憑藉我們集成的端到端可再生能源和發電平台，艾默生被選中是因為我們在氫能和復雜項目方面的行業專業知識和成熟經驗。

Secondly, Emerson and AspenTech were jointly selected to automate and optimize the Golden Triangle Polymers facility on the Texas Gulf Coast. The $8.5 billion project is a sister facility to QatarEnergy and Chevron Phillips Ras Laffan project that we highlighted in the first quarter. Emerson will lead its -- will provide its leading DeltaV control system and intelligent devices and AspenTech will provide its leading simulation software. This technology will allow the facility to operate with approximately 25% lower greenhouse gas emissions than similar projects in the U.S. and Canada. This is a great example of the differentiating strength of Emerson and AspenTech.

其次，艾默生和 AspenTech 被聯合選中，對德克薩斯墨西哥灣沿岸的 Golden Triangle Polymers 設施進行自動化和優化。這個價值 85 億美元的項目是我們在第一季度強調的 QatarEnergy 和 Chevron Phillips Ras Laffan 項目的姊妹設施。艾默生將領導其——將提供其領先的 DeltaV 控制系統和智能設備，而 AspenTech 將提供其領先的仿真軟件。與美國和加拿大的類似項目相比，這項技術將使該設施的溫室氣體排放量減少約 25%。這是艾默生和 AspenTech 差異化實力的一個很好的例子。

Turning to Slide 5. We remain energized and excited by our recently announced acquisition of National Instruments. National Instruments will expand our leading automation business into the attractive test and measurement space and provide important industry diversification into discrete markets. NI's leading portfolio of technology and software are well positioned to capitalize on secular trends within semiconductor and electric vehicles, and we expect the transaction to be accretive to our long-term underlying growth.

轉到幻燈片 5。我們對最近宣布的對 National Instruments 的收購仍然充滿活力和興奮。 National Instruments 將把我們領先的自動化業務擴展到有吸引力的測試和測量領域，並向離散市場提供重要的行業多元化。 NI 領先的技術和軟件組合完全有能力利用半導體和電動汽車的長期趨勢，我們預計該交易將促進我們的長期潛在增長。

Inclusive of $165 million of synergies by the end of year 5, the transaction meets the financial criteria we have communicated. We will work to complete the customary regulatory and closing conditions and expect to close in the first half of Emerson's fiscal 2024. We have the opportunity to meet the extended management team and to do a global town hall with NI employees last week while visiting Austin. From that meeting, we came away even more confident in the potential opportunities of our combined company. The technology is differentiated and has ample room to expand, and the talent, well, it's simply exceptional. But most importantly, I was energized by the warm reception we received from the leadership team and all the employees we met. In a way, I am proud to be an NI-er now as well.

包括到第 5 年底的 1.65 億美元的協同效應，該交易符合我們已經傳達的財務標準。我們將努力完成慣常的監管和關閉條件，並預計將在艾默生 2024 財年上半年關閉。我們有機會會見擴展的管理團隊，並在上周訪問奧斯汀時與 NI 員工進行全球市政廳會議。從那次會議上，我們對合併後公司的潛在機會更有信心。技術是差異化的，有足夠的擴展空間，而人才，嗯，簡直是非凡的。但最重要的是，我受到領導團隊和我們遇到的所有員工的熱情接待。在某種程度上，我現在也很自豪能成為一名 NI-er。

Please turn to Slide 6. The past 26 months have been fast paced and an exciting journey for Emerson. We moved from a $17 billion 2-platform business to a cohesive $16 billion automation leader. It took a lot of hard work to transform this business, and we now have an outstanding opportunity to create value for shareholders. It is a portfolio that is exposed to secular growth trends that are expected to drive growth for years to come and we remain committed to our 4% to 7% through the cycle underlying growth target.

請翻到幻燈片 6。過去 26 個月的節奏很快，對 Emerson 來說是一段激動人心的旅程。我們從價值 170 億美元的 2 平台業務轉變為具有凝聚力的 160 億美元自動化領導者。轉型這項業務需要付出很多努力，現在我們有一個絕佳的機會為股東創造價值。這是一個受長期增長趨勢影響的投資組合，預計將推動未來幾年的增長，我們仍然致力於在整個週期內實現 4% 至 7% 的基本增長目標。

Our new portfolio is higher margin at approximately 49% gross profit and 23% adjusted segment EBITA margin. Our industry mix is more diversified than 2 years ago, focused on automation, and with the discrete markets now our second largest customer end market. While we will continue to pursue bolt-on acquisitions, we're now turning our focus to executing the strategy we laid out at investor conference in delivering the synergies we have committed to for AspenTech and NI.

我們的新投資組合利潤率更高，毛利潤約為 49%，調整後的分部 EBITA 利潤率為 23%。我們的行業組合比 2 年前更加多元化，專注於自動化，離散市場現在是我們的第二大客戶端市場。雖然我們將繼續進行補強收購，但我們現在正將重點轉向執行我們在投資者會議上製定的戰略，以實現我們承諾為 AspenTech 和 NI 實現的協同效應。

Please turn to Slide 7. Emerson and our Board are committed to ongoing Board refreshment. And yesterday, we had the privilege of announcing 2 new Board members to our Board of Directors. Leticia Gonçalves is the President of Global Foods for ADM and a member of the company's Executive Council. As part of ADM, Bayer and Monsanto, Leticia has held roles in digital solutions, commercial operations, international management and technology development and is a long-time advocate and driver of diversity and inclusion. Her experience in these areas and accelerating change make her an excellent addition to our Board. Leticia is originally from Brazil. She is a chemical engineer and has a tremendous passion for innovation.

請轉到幻燈片 7。艾默生和我們的董事會致力於持續更新董事會。昨天，我們有幸向董事會宣布了 2 名新董事會成員。 Leticia Gonçalves 是 ADM 全球食品公司的總裁，也是公司執行委員會的成員。作為 ADM、拜耳和孟山都的一部分，Leticia 曾在數字解決方案、商業運營、國際管理和技術開發方面擔任過職務，並且是多元化和包容性的長期倡導者和推動者。她在這些領域的經驗和加速變革使她成為我們董事會的優秀成員。萊蒂西亞原產於巴西。她是一名化學工程師，對創新充滿熱情。

Speaking of innovation, Jim McKelvey is a successful entrepreneur who founded Block, Invisibly and Fintop Capital. He brings a unique innovation-focused perspective to Emerson and will serve as a key collaborator as we continue to accelerate innovation and invest in technology and engineering. Jim has expertise in many areas, including software, cloud and cybersecurity, which will benefit Emerson as we provide customers with leading digital solutions.

說到創新，Jim McKelvey 是一位成功的企業家，他創立了 Block、Invisibly 和 Fintop Capital。他為艾默生帶來了以創新為中心的獨特視角，並將在我們繼續加速創新並投資於技術和工程的過程中成為重要的合作者。 Jim 在軟件、雲和網絡安全等許多領域擁有專業知識，這將有利於艾默生為客戶提供領先的數字解決方案。

They are energized and so are we. And we are excited to have both Leticia and Jim join our Board of Directors.

他們充滿活力，我們也是。我們很高興 Leticia 和 Jim 都加入我們的董事會。

Before I turn the call over to Frank, please turn to Slide 8. I would like to congratulate Frank for a distinguished career of over 32 years at Emerson and the past 14 years as CFO. Frank, I met you 28 years ago, and it has been an honor to be your colleague. Please know that you created a legacy here at Emerson. We could not have accomplished what we did over the past 26 months without you, and I would not have been able to lead this company without your wisdom, confidence and support. You made us better. You made me better. Thank you for the lasting impression you left on me and the impact you made on all of us.

在我將電話轉給 Frank 之前，請轉到幻燈片 8。我要祝賀 Frank 在 Emerson 超過 32 年的傑出職業生涯以及過去 14 年的首席財務官職位。弗蘭克，我在 28 年前認識你，很榮幸能成為你的同事。請知道，您在艾默生創造了一份遺產。沒有你，我們無法完成過去 26 個月的成就，沒有你的智慧、信心和支持，我也無法領導這家公司。你讓我們變得更好。你讓我變得更好。感謝您給我留下的深刻印像以及您對我們所有人的影響。

I'm also excited to announce Mike Baughman as CFO of Emerson effective May 10. Mike has over 35 years of experience in finance, operations across Baxter, Emerson, of course, and PwC. I'm excited about what Mike brings to the role, and please join me in welcoming him. Mike, congratulations.

我也很高興地宣布邁克·鮑曼 (Mike Baughman) 將於 5 月 10 日起擔任艾默生首席財務官。邁克在百特、艾默生和普華永道的財務和運營方面擁有超過 35 年的經驗。我很高興 Mike 為這個角色帶來了什麼，請和我一起歡迎他。邁克，恭喜。

Thanks, Lal, and thanks to you and the Board for giving me the opportunity to serve as Emerson's next Chief Financial Officer. I'm very excited to get into the role.

謝謝拉爾，也感謝你和董事會給我機會擔任艾默生的下一任首席財務官。我很高興能擔任這個角色。

Good morning, everyone. I've had the opportunity to meet several of our investors and analysts, and I'm looking forward to meeting more of you and working with you in the future. And to my Emerson colleagues listening in, thank you for a fantastic quarter.

大家，早安。我有機會會見了我們的幾位投資者和分析師，我期待著在未來見到更多的人並與你們合作。對於聆聽的艾默生同事們，感謝你們度過了一個美妙的季度。

As Lal just talked about, it's been a productive 26 months with respect to reshaping our portfolio and we're on track to achieve what we set out to do. The impressive result is a more cohesive $16 billion automation company, expected to grow 4% to 7% through the cycle with peer-leading margins and a more diversified end market exposure. I think that the portfolio transformation is a great start. And now we get to operate in this new environment. Execution has always been a hallmark of Emerson, and we're building on that to focus on accelerating profitable growth, integrating NI and growing our cash flows as the supply chain normalizes.

正如 Lal 剛才所說，在重塑我們的投資組合方面，過去 26 個月是富有成效的，我們正在按計劃實現我們的目標。令人印象深刻的結果是一家價值 160 億美元的自動化公司更具凝聚力，預計在整個週期內增長 4% 至 7%，利潤率處於同行領先地位，終端市場敞口更加多元化。我認為投資組合轉型是一個很好的開始。現在我們開始在這個新環境中運作。執行一直是艾默生的標誌，我們正在以此為基礎，專注於加速盈利增長、整合 NI 以及隨著供應鏈正常化而增加我們的現金流。

I certainly expect successful execution in these areas to result in increased shareholder value. While I'm excited about our future, transitioning to the CFO role is a little bittersweet for me personally. Frank was a major reason I joined Emerson a little over 5 years ago. And during that time, I've come to know Frank is a great finance professional and, more importantly, a wonderful person. I'm confident we'll have a smooth transition over the coming months.

我當然希望在這些領域的成功執行能夠增加股東價值。雖然我對我們的未來感到興奮，但就我個人而言，過渡到首席財務官的角色有點苦樂參半。弗蘭克是我 5 年多前加入艾默生的主要原因。在那段時間裡，我開始知道弗蘭克是一位出色的金融專業人士，更重要的是，他是一個了不起的人。我相信我們將在未來幾個月順利過渡。

Thanks, Mike. And now I'll turn the call over to Frank.

謝謝，邁克。現在我會把電話轉給弗蘭克。

Lal, Mike, thank you so much for the kind words. When I showed up here 32 years ago, I never -- didn't really know what to expect, but I never could have imagined the opportunities that I would have, the things I would get to do, and above all, the people I would have the privilege to work with. The last 13 years have truly been a privilege, leading a world-class finance organization who I respect and I trust implicitly, who've never let me down. And I thank them from the bottom of my heart.

拉爾、邁克，非常感謝你們的客氣話。當我 32 年前來到這裡時，我從來沒有——真的不知道會發生什麼，但我從來沒有想過我會擁有的機會，我會做的事情，最重要的是，我會遇到的人將有幸與之合作。過去 13 年真的是一種榮幸，領導了一個我尊重和絕對信任的世界級金融組織，他從未讓我失望。我從心底里感謝他們。

The last 2 years, working with Lal and Ram, and the people in this room and our extended team on the portfolio transformation have been truly special and just a wonderful capstone to my career, and I will always be grateful for that opportunity. Thank you, Lal. I'm truly grateful for that.

在過去的 2 年裡，與 Lal 和 Ram 以及這個房間裡的人和我們在投資組合轉型方面的擴展團隊一起工作真的很特別，對我的職業生涯來說是一個美妙的頂點，我將永遠感激這次機會。謝謝你，拉爾。我真的很感激。

It's been a heck of a ride.

這真是一段旅程。

Emerson is well positioned for the future. This is a perfect time to turn it over to Mike, who I've come to know well as a person, respect as a leader over the last 5 years. I am confident he's going to provide the right leadership for the challenges we have again. The future is very, very bright, and I'm so happy to have been a small part of it. I've enjoyed working with all of you over the last 2 years on the phone with our analysts and our investors. And I couldn't think of a better way to go out, and I'm very grateful and I'm just so thankful for that.

艾默生已為未來做好準備。現在是將它交給 Mike 的最佳時機，在過去的 5 年裡，作為一個領導者，我已經很了解他了。我相信他將為我們再次面臨的挑戰提供正確的領導。未來非常非常光明，我很高興能成為其中的一小部分。在過去的 2 年裡，我很高興與你們所有人一起與我們的分析師和投資者通電話。我想不出更好的出門方式，我非常感激，對此我非常感激。

Thanks, everybody, and there is no crying on earnings call.

謝謝大家，財報電話會議上沒有哭泣。

Thanks, Frank. And to you on Chart 9.

謝謝，弗蘭克。在圖 9 上給你。

Okay. Here we go. Good morning, again, everyone. Please turn to Slide 9. Our second quarter financial results were outstanding, reflecting our strong end markets and operating execution. Lal summarized the results for you so I'll provide a bit more color. Additional details are in the press release and in the slides, in the appendix to this presentation.

好的。開始了。大家早上好。請轉到幻燈片 9。我們第二季度的財務業績非常出色，反映了我們強大的終端市場和運營執行力。 Lal 為您總結了結果，所以我會提供更多顏色。其他詳細信息在新聞稿和幻燈片中，在本演示文稿的附錄中。

Underlying sales growth exceeded our expectations at 14%. All world areas in both business groups were up double digits, reflecting the strength in our end markets, our positioning in them and our geographic presence. Demand was broad-based with later cycle process markets up high teens and hybrid markets also up double digits in the quarter. Discrete demand has begun to moderate after several quarters of strong growth, but sales were still strong in the quarter, up high single digits. Safety and productivity returned to growth, up 3% in the quarter.

基礎銷售額增長 14%，超出了我們的預期。兩個業務集團的所有世界區域都增長了兩位數，反映了我們在終端市場的實力、我們在這些市場的定位以及我們的地理分佈。需求基礎廣泛，後周期流程市場增長了十幾歲，混合市場在本季度也增長了兩位數。經過幾個季度的強勁增長後，離散需求開始放緩，但本季度的銷售額仍然強勁，達到高個位數。安全和生產率恢復增長，本季度增長 3%。

Net sales also were up 14% for the quarter with a 3-point drag from currency, which was essentially offset by acquisitions and divestitures. We did close our Russia divestiture in March and we now report the business we had on the divestiture line of our net sales bridge.

本季度的淨銷售額也增長了 14%，受到匯率的 3 個百分點的拖累，這基本上被收購和資產剝離所抵消。我們確實在 3 月份完成了對俄羅斯的資產剝離，現在我們報告了我們在淨銷售橋資產剝離線上的業務。

Our businesses continue to realize significant price. In the quarter, price contributed approximately $150 million and 5 points of growth. Backlog also grew $300 million, reflecting the strong orders, backlog of approximately $6.9 billion to end the quarter. AspenTech revenue was below expectations for reasons they explained on their call, and I'll briefly summarize those here. Please keep in mind that AspenTech reports revenue under ASC 606 so the factors affecting GAAP revenue are complex, as explained on AspenTech's earnings call. There were 3 factors in play.

我們的企業繼續實現可觀的價格。本季度，價格貢獻了約 1.5 億美元和 5 個增長點。積壓訂單也增長了 3 億美元，反映出強勁的訂單，本季度末積壓訂單約為 69 億美元。由於他們在電話中解釋的原因，AspenTech 的收入低於預期，我將在這裡簡要總結一下。請記住，AspenTech 根據 ASC 606 報告收入，因此影響 GAAP 收入的因素很複雜，正如 AspenTech 在財報電話會議上所解釋的那樣。有3個因素在起作用。

The first was longer than planned project execution in the OSI business, which pushed out the recognition of project revenue milestones. This is mainly a timing-related dynamic, and we continue to see strong demand trends from the power transmission and distribution market. AspenTech also experienced shorter-term contract lengths within the SSE business. Overall, the shift from perpetual to term contracts is progressing well, but some customers are choosing shorter contract lengths than we expected, and that has a direct impact on upfront revenue recognition. And lastly, AspenTech is seeing some weakness in OpEx spend in the bulk chemical market, which is impacting heritage AspenTech.

第一個是 OSI 業務的項目執行時間比計劃的長，這推遲了項目收入里程碑的確認。這主要是與時間相關的動態，我們繼續看到輸配電市場的強勁需求趨勢。 AspenTech 在 SSE 業務中也經歷了較短的合同期限。總體而言，從永久合同到定期合同的轉變進展順利，但一些客戶選擇的合同期限比我們預期的要短，這對前期收入確認有直接影響。最後，AspenTech 發現大宗化學品市場的 OpEx 支出有些疲軟，這正在影響傳統的 AspenTech。

For further clarification, Emerson's chemical exposure is more diversified across both bulk and specialty chemicals and both OpEx and CapEx spend.

為了進一步澄清，艾默生的化學品業務在大宗化學品和特種化學品以及運營支出和資本支出方面更加多元化。

Adjusted segment EBITA margin improved 320 basis points. Leverage excluding AspenTech exceeded 50%. Strong sales growth, favorable business and world area mix and margin-accretive price costs all reflect exceptional execution by operations and contributed to the margin improvement. Adjusted EPS grew 25% to $1.09, and we'll discuss that on the next chart. Lastly, free cash flow was up 64% versus the prior year quarter and up 23% year-to-date. The strong earnings growth and slight improvement in working capital contributed to that growth. AspenTech contributed $129 million to free cash flow.

調整後的部門 EBITA 利潤率提高了 320 個基點。不包括 AspenTech 在內的槓桿率超過 50%。強勁的銷售增長、有利的業務和全球區域組合以及利潤增長的價格成本都反映了運營的出色執行並促進了利潤率的提高。調整後每股收益增長 25% 至 1.09 美元，我們將在下一張圖表中討論。最後，自由現金流較上年同期增長 64%，年初至今增長 23%。強勁的盈利增長和營運資本的輕微改善促成了這一增長。 AspenTech 為自由現金流貢獻了 1.29 億美元。

Please turn to Slide 10. Most importantly, 14% underlying sales growth and 53% segment-level operating leverage contributed 26% of our EPS growth quarter-over-quarter. Of that, AspenTech contributed $0.04. Currency was a $0.03 headwind and other items, mainly income tax because we had favorable discrete items last year, were a net $0.05 headwind. The reduced share count resulting from the $2 billion share repurchase that we completed in the first quarter contributed $0.04 to earnings per share. So again, overall adjusted EPS grew 25% year-over-year.

請轉到幻燈片 10。最重要的是，14% 的基礎銷售增長和 53% 的細分市場運營槓桿貢獻了我們季度每股收益增長的 26%。其中，AspenTech 貢獻了 0.04 美元。貨幣是 0.03 美元的阻力，其他項目，主要是所得稅，因為我們去年有有利的離散項目，是 0.05 美元的淨阻力。我們在第一季度完成的 20 億美元股票回購導致股票數量減少，為每股收益貢獻了 0.04 美元。因此，整體調整後每股收益同比增長 25%。

Please turn to Slide 11, and we'll talk about our revised 2023 market outlook. We continue to see broad-based strength in most key end markets. In particular, we've updated our expectations for both process and hybrid markets. We have increased our expectation for process sales to a high single-digit to low double-digit growth range on the back of continued energy, energy transition and chemical market momentum. This market was strong in the second quarter and our customers continue to signal favorable spending plans for the rest of the year.

請轉到幻燈片 11，我們將討論我們修訂後的 2023 年市場前景。我們繼續看到大多數關鍵終端市場的廣泛實力。特別是，我們更新了對流程和混合市場的預期。在持續的能源、能源轉型和化工市場勢頭的支持下，我們將對加工銷售的預期提高到高個位數到低兩位數的增長范圍。這個市場在第二季度表現強勁，我們的客戶繼續表示對今年剩餘時間的支出計劃有利。

Within chemicals, we continue to see strong CapEx spending particularly in the U.S., the Middle East and Asia. Within the hybrid space, life sciences and metals and mining continue to be strong and we expect this market to grow high single digits in 2023. Reshoring continues to be a prevalent topic among our customers and we expect near- and longer-term benefits from this trend. As I mentioned, discrete demand is beginning to moderate as these earlier cycle markets have been strong for the last few years. We are seeing this first in Europe as industrial production is affected by rising input costs. Still, we continue to hear optimism about spend on factory automation and productivity improvements from our customers.

在化學品方面，我們繼續看到強勁的資本支出支出，尤其是在美國、中東和亞洲。在混合領域，生命科學、金屬和採礦業繼續保持強勁勢頭，我們預計該市場將在 2023 年實現高個位數增長。回流仍然是我們客戶普遍關注的話題，我們預計短期和長期收益將從中受益趨勢。正如我所提到的，離散需求開始放緩，因為這些早期週期市場在過去幾年一直很強勁。我們首先在歐洲看到這種情況，因為工業生產受到投入成本上升的影響。儘管如此，我們仍然聽到客戶對工廠自動化和生產力提高方面的支出持樂觀態度。

Please turn to Slide 10, and we'll talk about our revised guidance. Based on the market strength I described and our continued expectation of mid-single-digit order growth, we are increasing our sales and earnings guidance for the year. For 2023, underlying sales growth has been increased to 8.5% to 10% year-on-year and net sales to 9% to 10.5%. We expect Intelligent devices to be near the top of this range and software control nearer to the lower end. We are also increasing our expectation for segment operating leverage based on the strong first half achievement and our second half outlook.

請轉到幻燈片 10，我們將討論修訂後的指南。基於我所描述的市場實力和我們對中等個位數訂單增長的持續預期，我們正在提高今年的銷售和盈利預期。 2023 年，基本銷售額同比增長 8.5% 至 10%，淨銷售額同比增長 9% 至 10.5%。我們預計智能設備將接近該範圍的頂部，而軟件控制將接近該範圍的下端。基於上半年強勁的業績和下半年的展望，我們還提高了對分部經營槓桿的預期。

Continued sales strength, favorable price/cost and continued operational performance give us confidence in increasing this guide. We now expect segment operating leverage to be in the low to mid-40% range, excluding AspenTech. Adjusted EPS guidance has been raised to a range of $4.15 to $4.25, up $0.15 at the bottom of the range and $0.12 at the midpoint. AspenTech is expected to contribute approximately $0.25 to this improved guidance. The strength in core Emerson operations is more than offsetting the reduced AspenTech expectation, which is incorporated into our guidance.

持續的銷售實力、有利的價格/成本和持續的運營績效使我們有信心增加該指南。我們現在預計，不包括 AspenTech 在內的部門運營槓桿將處於 40% 的中低水平。調整後的每股收益指引已上調至 4.15 美元至 4.25 美元的區間，區間底部上漲 0.15 美元，中間區間上漲 0.12 美元。 AspenTech 預計將為此改進後的指導貢獻約 0.25 美元。艾默生核心業務的實力足以抵消 AspenTech 預期的降低，這已納入我們的指導方針。

Free cash flow is expected to be approximately $2.2 billion for the year, of which AspenTech contributes approximately $300 million. This is consistent with our prior guidance of approximately 100% free cash flow conversion on GAAP net earnings and is equivalent to approximately 85% on an adjusted net earnings basis. In the future, we will express free cash flow conversion on an adjusted net earnings basis, consistent with our other key non-GAAP metrics, adjusted EBITA and adjusted earnings per share.

全年自由現金流預計約為 22 億美元，其中 AspenTech 貢獻了約 3 億美元。這與我們之前關於 GAAP 淨收益大約 100% 自由現金流轉換的指導一致，相當於調整後淨收益的大約 85%。未來，我們將在調整後的淨收益基礎上表示自由現金流轉換，與我們其他關鍵的非 GAAP 指標、調整後的 EBITA 和調整後的每股收益保持一致。

The business we have today has strong cash conversion characteristics that we expect to convert over time at an average of 100% on an adjusted basis. We now expect AspenTech's adjusted segment EBITA to be slightly below 40% for the year. As a reminder, Emerson's third quarter is AspenTech's seasonally strongest quarter due to the timing of contract renewals. We believe the operating items that affected AspenTech's third quarter results reflects transitory operating and market challenges. We are as confident as ever about the long-term strategic opportunity afforded by our ownership of AspenTech and in the $110 million year-5 synergy commitment that we made. As a reminder, all of this guidance excludes the impact of Climate Technologies' operations, interest income and the financial impact of the sale, which we expect to close, we hope, May 31.

我們今天的業務具有很強的現金轉換特徵，我們預計隨著時間的推移，在調整後的基礎上平均可以 100% 進行轉換。我們現在預計 AspenTech 調整後的部門 EBITA 今年將略低於 40%。提醒一下，由於合同續籤的時間安排，艾默生的第三季度是 AspenTech 季節性最強的季度。我們認為影響 AspenTech 第三季度業績的經營項目反映了暫時的經營和市場挑戰。我們一如既往地對我們擁有 AspenTech 所帶來的長期戰略機遇以及我們做出的 1.1 億美元第 5 年協同效應承諾充滿信心。提醒一下，所有這些指導不包括氣候技術公司運營的影響、利息收入和出售的財務影響，我們希望在 5 月 31 日完成出售。

In the appendix, we have provided information on the post-closing financial reporting treatment of Climate Technologies. Briefly to turn to the third quarter, that guide also reflects the strong outlook for the year. We expect underlying sales growth of 10% to 12%. We expect leverage to be in the mid- to high 40s in the quarter and adjusted EPS to be between $1.07 and $1.11. This represents an 18% increase at the midpoint versus prior year. We should point out for context that last year's third quarter was negatively impacted by China shutdowns and serious supply chain challenges around electronics, which at the time, we estimated reduced third quarter sales by approximately $150 million with the China impact being pushed into the fourth quarter.

在附錄中，我們提供了有關 Climate Technologies 的交割後財務報告處理的信息。簡要地轉向第三季度，該指南也反映了今年的強勁前景。我們預計基本銷售額增長 10% 至 12%。我們預計本季度的槓桿率將處於 40 的中高水平，調整後的每股收益將在 1.07 美元至 1.11 美元之間。這表示與上一年相比，中點增長了 18%。我們應該指出，去年第三季度受到中國停工和圍繞電子產品的嚴重供應鏈挑戰的負面影響，當時我們估計第三季度銷售額減少約 1.5 億美元，而中國的影響被推遲到第四季度.

Thank you for your attention. I'll turn it back now to the operator to open the call for questions.

感謝您的關注。我現在將其轉回給接線員以打開問題電話。

(Operator Instructions) And this morning's first question comes from Andrew Obin with Bank of America.

（操作員說明）今天早上的第一個問題來自美國銀行的安德魯·奧賓。

So Frank, congratulations, and thank you. And Mike, welcome. So I guess my first question is a lot of debate with investors about the impact of improving lead times on orders, backlog and free cash flows. Clearly, you're starting releasing working capital. But if you're releasing working capital, perhaps you're ordering less stuff. And if you're ordering less stuff, maybe somebody else is ordering less stuff. How do you think this dynamic will play out over the next 6 to 12 months?

弗蘭克，恭喜你，謝謝你。邁克，歡迎。所以我想我的第一個問題是與投資者就改善交貨時間對訂單、積壓訂單和自由現金流的影響進行了很多辯論。顯然，您正在開始釋放營運資金。但是，如果您要釋放營運資金，那麼您可能會訂購更少的東西。如果你訂購的東西少了，也許其他人訂購的東西也少了。您認為這種動態在未來 6 到 12 個月內將如何發揮作用？

Well, I'll start off with some comments just on the underlying environment, which we're still optimistic about, as you heard on the call, Andrew. Mid-single-digit order run rates, we came out of the quarter at 7% and expect that range to continue through the remainder of the year. So the demand environment based on our [C] is strong. And as Frank outlined correctly, I think there are some puts and takes out there, and we're watching those carefully. But as a whole, we feel very good about that.

好吧，我將從一些關於基礎環境的評論開始，我們仍然對此持樂觀態度，正如你在電話中聽到的那樣，安德魯。中個位數的訂單運行率，我們以 7% 的速度結束了本季度，並預計該範圍將持續到今年剩餘時間。所以基於我們[C]的需求環境很強。正如弗蘭克正確概述的那樣，我認為那裡有一些看跌期權，我們正在仔細觀察。但總的來說，我們對此感覺非常好。

Having said that, we have a very robust backlog as well. We did build backlog in the quarter. And we continue to work through that, which gives me further confidence obviously in the performance of the company for the second half. Naturally, with supply chain challenges largely alleviated, of course, there are still a few issues out there, but largely alleviated. Lead times have started to come down. And -- but we haven't seen that reflected in any slow in orders. And very much, as you saw quarter-over-quarter and sequentially, our order pace continues to be very consistent there. Ram, anything to add?

話雖如此，我們也有非常強大的積壓工作。我們確實在本季度積壓了訂單。我們將繼續努力解決這個問題，這顯然讓我對公司下半年的表現更有信心。自然地，隨著供應鏈的挑戰在很大程度上得到緩解，當然，仍然存在一些問題，但在很大程度上得到了緩解。交貨時間已經開始下降。而且——但我們還沒有看到這反映在訂單的任何緩慢上。非常多，正如你看到的季度環比和順序，我們的訂單速度在那裡仍然非常一致。拉姆，有什麼要補充的嗎？

Yes. I would say, again, Andrew, I think from a lead time perspective, distribution, for example, is less than 20% of our overall sales. So we -- and frankly, even with distributors, as our lead times have come down, we haven't seen any change in ordering patterns. Our KOB3 business, which is the other piece that is lead time dependent, continues to be strong. So no fundamental change for us as it relates to ordering patterns from our customers as lead times across all categories of products for us have come down. Now I know others have mentioned that. But to date, we haven't seen the impact.

是的。我想再說一遍，安德魯，我認為從交貨時間的角度來看，例如，分銷不到我們總銷售額的 20%。所以我們 - 坦率地說，即使有分銷商，隨著我們的交貨時間縮短，我們也沒有看到訂購模式有任何變化。我們的 KOB3 業務，這是另一個依賴於交貨時間的業務，繼續保持強勁。因此，對於我們而言，這與我們客戶的訂購模式有關，因為我們所有類別產品的交貨時間都已經下降，因此沒有根本性的變化。現在我知道其他人已經提到了這一點。但到目前為止，我們還沒有看到影響。

Great answer. And just maybe a follow-up question on aligning Aspen and Emerson sales channel. You guys clearly highlighted golden triangle, success of going to market together, you reaffirmed the synergies. But I guess the question I have, as you work closer with Aspen, what are the opportunities to improve visibility at Emerson, right, because you have access now to a lot of CIOs? But also, what are the opportunities at Aspen to benefit from deep and broad relationships that Emerson has with their key clients, for example, in the chemical space, right, you said our relationships are much broader. What can you do to improve visibility at Aspen in key verticals?

很好的答案。也許還有一個關於調整 Aspen 和 Emerson 銷售渠道的後續問題。你們清楚地強調了金三角，一起進入市場的成功，你們重申了協同作用。但我想我的問題是，隨著您與 Aspen 的密切合作，提高 Emerson 知名度的機會是什麼，對吧，因為您現在可以接觸到很多 CIO？而且，Aspen 有哪些機會可以從艾默生與其主要客戶建立的深厚而廣泛的關係中獲益，例如，在化學領域，對，你說我們的關係要廣泛得多。您可以做些什麼來提高 Aspen 在關鍵垂直領域的知名度？

Yes. No, it's a good question. It goes back to the heart of the commercial agreement that -- the very robust commercial agreement that we have with AspenTech. There is world area alignment in leadership. There's sales force alignment and incentives, and very honestly, joint pursuit in 2 areas: capital projects, which was the example that I shared with you; and then a very robust analysis on an industry-by-industry basis of the white space opportunities that exist, particularly for our control system and for AspenTech. And that's more of a systematic approach by the selling organizations but one that will prove to be and is proving to be quite a large opportunity as well. Ram?

是的。不，這是個好問題。它可以追溯到商業協議的核心——我們與 AspenTech 達成的非常強大的商業協議。領導力在世界範圍內保持一致。有銷售人員的調整和激勵，老實說，在兩個領域共同追求：資本項目，這是我與您分享的例子；然後對存在的空白空間機會逐個行業進行非常穩健的分析，特別是對於我們的控制系統和 AspenTech。這更像是銷售組織的一種系統方法，但這種方法將被證明是並且正在被證明是一個相當大的機會。內存？

Yes. And just to add, I think the customer landscape is really the way we really want to drive more [C] for AspenTech. Certainly, the momentum on projects is there early. But as we shared with you before, 70% of the control systems that we have, DeltaV innovation, don't have Level 3 software capability at many of our customers. 9,000 of those are in markets like life sciences and metals and mining. So those are the unique type of opportunities, the AMS systems that we have where we can bring Aspen. That's the approach we're taking through our commercial agreement. They are very, very quickly focused as well, where we look at markets where Aspen doesn't have the strength, and that's really where a lot of the effort is being put. So we'll see that benefit come through. It's 3 quarters in, obviously, in the relationship. The momentum is early on projects, but more will come as it relates to the white space that I described over time.

是的。補充一點，我認為客戶環境確實是我們真正想要為 AspenTech 帶來更多 [C] 的方式。當然，項目的勢頭很早就存在。但正如我們之前與您分享的那樣，我們擁有的 70% 的控制系統，DeltaV 創新，在我們的許多客戶中都沒有 3 級軟件功能。其中 9,000 個在生命科學、金屬和採礦等市場。所以這些是獨特的機會類型，我們擁有的 AMS 系統可以將 Aspen 帶到那裡。這就是我們通過商業協議採取的方法。他們也非常非常迅速地專注於我們關注 Aspen 沒有實力的市場，而這確實是投入了大量精力的地方。所以我們會看到好處來了。顯然，在這段關係中有 3 個季度。項目的勢頭很早，但隨著時間的推移，它與我描述的空白相關，將會有更多的勢頭。

And the next question comes from Deane Dray with RBC Capital Markets.

下一個問題來自 RBC Capital Markets 的 Deane Dray。

I also want to wish Frank all the best. It's been great working with you, and congrats to Mike. So my first question is maybe take us through the -- what you're seeing on the discrete side with some of the demand moderating. How did it progress through the quarter? Is it isolated to some specific verticals or geographies? Because we are hearing elsewhere slowing in Europe especially on the chemical side. But we appreciate to hear the color there, please.

我也希望弗蘭克一切順利。和你一起工作很愉快，恭喜邁克。所以我的第一個問題可能是讓我們了解一下——你在離散方面看到的一些需求放緩。本季度進展如何？它是否孤立於某些特定的垂直或地理區域？因為我們聽說歐洲其他地方正在放緩，尤其是在化學方面。但我們很高興聽到那裡的顏色，拜託。

Yes. So Deane, Ram here. From a discrete order activity, now the discrete business from a sales perspective, we had good strong growth in the quarter, 9.5%, close to 10% growth in the quarter from a sales perspective, which was driven by backlog reduction. Orders did go slightly negative this year -- this quarter, I should say, primarily driven by slowdown in Europe. Frankly, we haven't seen much of a slowdown in North America but a slight slowdown in Europe, particularly in Germany and the segment around machine builders. We do serve the machine builder segment in Germany, which is both domestic German market as well as these machine builders export. So that's really probably the one segment. A little bit of slowdown in the U.K. Frankly, Asia is holding up and China remains good. So that's the color. We do expect discrete to get into tougher comparisons as we get through the second half of the year, and we expect orders to remain negative before they turn positive into '24.

是的。 Deane，Ram 在這裡。從離散訂單活動，現在從銷售角度來看離散業務，我們在本季度實現了 9.5% 的強勁增長，從銷售角度來看，本季度增長接近 10%，這是受積壓訂單減少的推動。今年的訂單確實略有下降——這個季度，我應該說，主要是受歐洲經濟放緩的推動。坦率地說，我們沒有看到北美有太大的放緩，但歐洲略有放緩，尤其是在德國和機器製造商周圍的部分。我們確實為德國的機器製造商部門提供服務，這既是德國國內市場，也是這些機器製造商的出口市場。所以這真的可能是一個部分。英國略有放緩。坦率地說，亞洲正在堅挺，中國仍然很好。這就是顏色。我們確實預計，隨著下半年的到來，離散型產品將進行更嚴格的比較，並且我們預計訂單在 24 年轉為正值之前將保持負值。

Got it. And then just a follow-up, and I also just want to hear, Frank, one more time here. On the free cash flow difference between GAAP and adjusted this year, that difference, how much of that is either working capital needs given kind of supply chain? Or is it more from Climate?

知道了。然後只是一個跟進，我也只想听到，弗蘭克，在這裡再說一次。關於 GAAP 和今年調整後的自由現金流量差異，這種差異，其中有多少是給定供應鏈的營運資金需求？還是更多來自氣候？

No. I mean, there is none of the difference. The difference is simply the calculation, the denominator. I mean, Deane, we're just talking about the $2.2 billion guide of free cash flow and whether we use GAAP earnings or we use adjusted earnings as a denominator, and that's the difference between the conversion ratio. There's no difference at all in the calculation of the cash flow itself.

不，我的意思是，沒有任何區別。區別只是計算，分母。我的意思是，Deane，我們只是在談論 22 億美元的自由現金流指南，以及我們是使用 GAAP 收益還是使用調整後收益作為分母，這就是轉換率之間的差異。現金流量本身的計算完全沒有區別。

And the next question comes from Scott Davis of Melius Research.

下一個問題來自 Melius Research 的 Scott Davis。

And I'll echo what the other fellows and I'm sure others will say, and congrats to both Frank and Mike on the changes here. So I don't want to fixate on AspenTech. We can do that later perhaps, but I will anyway, the bulk chemical OpEx, is it typically that volatile? Is this something that they've experienced in the past and perhaps you might see in the future? Or is this kind of an unusual circumstance?

我會重複其他人的話，我相信其他人會說，並祝賀 Frank 和 Mike 所做的更改。所以我不想專注於 AspenTech。也許我們可以稍後再做，但我還是會做，大宗化學品 OpEx，它通常有那麼大的揮發性嗎？這是他們過去經歷過的事情，也許你將來會看到嗎？或者這是一種不尋常的情況？

No, I think the bulk chemical dynamic, as I mean you see many of the chemical customers say at the end of the day with a little bit of slowing demand there and their utilization rates being optimized, the portion of the AspenTech business which typically gets impacted as their manufacturing and supply chain software suite. So in terms of new purchases or new contracts around that, which we have built into the forecast, that's where we're seeing slowdown. So that's pretty normal. Obviously, refining for them continues to remain strong. Upstream and midstream continues to remain good. It's really the manufacturing and supply chain suite in bulk chemicals where we have seen the slowdown, and we've seen that in the past when the large chemical customers slow down spending on the OpEx side.

不，我認為大宗化學品動態，正如我的意思是你看到許多化學品客戶在一天結束時說那裡的需求略有放緩並且他們的利用率正在優化，AspenTech 業務的這一部分通常會得到受影響的是他們的製造和供應鏈軟件套件。因此，就我們已經納入預測的新採購或新合同而言，這就是我們看到放緩的地方。所以這很正常。顯然，煉油對他們來說繼續保持強勁。上游和中游繼續保持良好。這確實是散裝化學品的製造和供應鏈套件，我們看到了放緩，我們在過去看到大型化學品客戶放慢了 OpEx 方面的支出。

Okay. That's helpful. And guys, assuming your stock price works, and I know AspenTech is down quite a bit from its highs, but is there any interest in -- and I know there's some restrictions, but those things can always be discussed in taking an even larger stake in the entity and perhaps over time, integrating it fully into Emerson?

好的。這很有幫助。伙計們，假設你們的股價有效，而且我知道 AspenTech 從高位下跌了很多，但是否有興趣——我知道有一些限制，但這些事情總是可以在獲得更大股份時討論在實體中，也許隨著時間的推移，將其完全整合到艾默生？

Scott, this is Lal. No, look, we're still very committed to the model that we set forward a year -- closed nearly a year ago now. It works. We're seeing the commercial value. We're working the technology piece as well. And like I've said in the past, if at a point in time that changes and we have impetus to then address that through the change in the ownership structure of the vehicle, we'll think about it then, but not at this point. And then furthermore, as you know and you noted, we are in a standstill period for another calendar year from now.

斯科特，這是拉爾。不，看，我們仍然非常致力於我們一年前提出的模型——現在已經關閉了將近一年。有用。我們看到了商業價值。我們也在研究技術。就像我過去說過的，如果在某個時間點發生了變化，並且我們有動力通過改變車輛的所有權結構來解決這個問題，那麼我們會考慮，但不是現在.此外，正如您所知和注意到的那樣，從現在開始我們將處於另一個日曆年的停滯期。

And the next question comes from Andy Kaplowitz with Citigroup.

下一個問題來自花旗集團的 Andy Kaplowitz。

Congratulations, Frank and Mike. Lal, could you give us a little more color into your incremental margin performance both for Q2 and 2023. I know the new Emerson is supposed to record higher incrementals well into the 30s. But what's changed for Emerson in '23 that's allowing you to record low to mid-40s over 50% in Q2? Is it mostly 5% price that Frank mentioned and much improved supply chain environment? Is maybe underlying Emerson able to sustain incrementals in the 40% plus ex-Aspen over the longer term? And how you're thinking about price versus cost moving forward?

祝賀你，弗蘭克和邁克。拉爾，你能不能給我們更多關於第二季度和 2023 年的增量利潤率表現的顏色。我知道新的艾默生應該在 30 年代記錄更高的增量。但是 Emerson 在 23 年發生了什麼變化，這讓你在第二季度的 50% 以上達到了 40 多歲的中低水平？ Frank 提到的主要是 5% 的價格和大大改善的供應鏈環境嗎？從長遠來看，潛在的艾默生是否能夠在 40% 以上的前 Aspen 中維持增量？您如何考慮價格與成本的關係？

Yes. We certainly -- I'll let Ram add some operating color as we went through the quarter. But we certainly believe in the strong guide that we put together in the 40% leverage for the full year given the early performance in the first 6 months. Look, there are a lot of things that were positive. Obviously, the execution was exceptional. I think the operating executives in the businesses performed very, very well and exact. The volume was important, as we noted, growing the underlying sales of 14%. But furthermore, mix and price/cost were beneficial as well in the quarter. So a lot of things on our way there. But honestly, working within the management system that we've designed is a very important parameter that enables our businesses to perform at a very high level here. Ram?

是的。我們當然 - 我會讓 Ram 在我們經歷這個季度時添加一些運營顏色。但我們當然相信，鑑於前 6 個月的早期表現，我們對全年 40% 的槓桿率給出了強有力的指導。看，有很多積極的事情。顯然，執行是例外的。我認為業務中的運營主管表現得非常非常好和準確。正如我們所指出的，銷量很重要，基礎銷售額增長了 14%。但此外，該季度的組合和價格/成本也有利。所以我們去那裡的路上有很多事情。但老實說，在我們設計的管理系統內工作是一個非常重要的參數，它使我們的業務能夠在這里以非常高的水平執行。內存？

Yes. I mean, other dynamics that certainly went our way is strong North America in the quarter. Strong performance in our instrumentation and final control businesses and the leverage we got there. So dynamics are on mix, certainly the price/cost element that Lal mentioned. But fundamentally, the 14% sales growth in the quarter does help leverage. So all of those dynamics went in our favor.

是的。我的意思是，其他肯定會影響我們的動態是本季度強勁的北美。我們在儀器儀表和最終控制業務方面的強勁表現以及我們在這方面的影響力。所以動態是混合的，當然是 Lal 提到的價格/成本因素。但從根本上說，本季度 14% 的銷售額增長確實有助於槓桿作用。所以所有這些動力都對我們有利。

That's helpful, guys. And then maybe you could give us a little more color into what you're seeing by region. I think China was relatively weak for you in Q1. It seems like it's better in Q2. I think, Lal, you mentioned easy comparisons in Q3. So how are you thinking about regional demand moving forward for the rest of the year?

這很有幫助，伙計們。然後也許您可以為我們按地區看到的內容提供更多顏色。我認為中國在第一季度相對較弱。 Q2好像好點了。我想，拉爾，你在第三季度提到了簡單的比較。那麼，您如何看待今年餘下時間的區域需求？

Feel really good. It was a very robust quarter globally for us in terms of sales performance and very honestly orders, as Ram and -- excuse me, Frank outlined. China flipped for us. It was down in the mid-single digits a quarter ago. It is up both in orders, high single digits and in sales in the mid-single digits. So we feel very good, and we feel good about what we see in China for the remainder of the year as well. So that's a positive.

感覺真好。就銷售業績和非常誠實的訂單而言，這對我們來說是全球非常強勁的一個季度，正如 Ram 和 - 對不起，Frank 概述的那樣。中國為我們翻轉。一個季度前，它下降了中等個位數。它的訂單、高個位數和中個位數的銷售額都有所增長。所以我們感覺非常好，我們對今年剩餘時間在中國看到的情況也感覺良好。所以這是積極的。

Look, North America, very robust growth, broad strength, a lot of it driven by the near-shoring elements and core strength in hybrid and processed with growth of 15-ish percent in sales. Europe, that's been very honestly, Andy, the biggest surprise of the year. It continues to be very strong for us with growth in the mid-teens, 14% in the quarter in sales and orders that are very strong, and very honestly, highlighted by energy, sustainability and life science investments.

看，北美，增長非常強勁，實力廣泛，其中很多是由混合動力和加工的近岸元素和核心力量推動的，銷售額增長了 15%。歐洲，老實說，安迪，這是今年最大的驚喜。對我們來說，它繼續非常強勁，增長在十幾歲左右，本季度銷售和訂單增長 14%，非常強勁，老實說，能源、可持續性和生命科學投資突出了這一點。

And then the rest of Asia, driven by India, Southeast Asia and then an incredibly strong Middle East and Africa region as well with significant investments in sustainability, in LNG across the region. So at this point in time, with the exception of the discrete weaknesses that we've already talked through, continue to see very, very strong global momentum as we go through the quarter here into the rest of the year.

然後是亞洲其他地區，在印度、東南亞以及強大無比的中東和非洲地區的推動下，該地區對液化天然氣的可持續性進行了大量投資。因此，在這個時間點，除了我們已經討論過的離散弱點之外，在我們從本季度進入今年剩餘時間的過程中，繼續看到非常非常強勁的全球勢頭。

And the next question comes from Steve Tusa with JPMorgan.

下一個問題來自摩根大通的史蒂夫圖薩。

Congratulations again to both CFOs, outgoing and incoming.

再次祝賀即將離任和即將上任的兩位首席財務官。

Thank you, Steve.

謝謝你，史蒂夫。

Thank you, Steve.

謝謝你，史蒂夫。

What was price capture in the quarter? And where do you expect it to be for the year?

本季度的價格捕獲情況如何？你預計今年會在哪裡？

Yes. It was 5 points in the quarter. We expect it to be 3% to 4% for the year.

是的。這一節是5分。我們預計今年的增長率為 3% 至 4%。

Okay. Great. And then, Lal, just curious from like a governance perspective, the Aspen results, there's a lot going on there. I guess at a high level, some of it sounds like execution on some of these contracts, perhaps in the, I guess, I call it, integration phase of what they're doing even though it's not really an acquisition by them, I guess. It seems like that there were a couple of things that surprised them about the assets that you guys are contributing. How does that conversation work in the boardroom there? Because those are like assets that you guys knew. I'm not sure how surprising that was to you, but it was clearly surprising to the market the way this has played out. So I'm just curious, like a little more color from your perspective on the integration that's going on there, and perhaps how that kind of discussion and then how to move forward plays out when that type of thing happens?

好的。偉大的。然後，Lal，從治理的角度來看，Aspen 結果很好奇，那裡發生了很多事情。我想在高層次上，其中一些聽起來像是對其中一些合同的執行，我猜，我稱之為他們正在做的事情的整合階段，即使這並不是他們真正的收購，我猜.似乎有幾件事讓他們對你們貢獻的資產感到驚訝。那裡的會議室如何進行對話？因為這些就像你們知道的資產。我不確定這對您來說有多令人驚訝，但市場的發展方式顯然讓市場感到驚訝。所以我只是很好奇，從你對那裡正在進行的整合的角度來看，就像更多的顏色一樣，也許當這種事情發生時，這種討論是如何進行的，然後是如何向前發展的？

Yes. No, absolutely, Steve. I'll give you some color here. Let me -- and maybe there's 3 or 4 here critical points. Let me first begin by saying that we're -- I continue to be and we collectively continue to be very optimistic about the business and the differentiation that it provides as a technology solution across a diverse customer base. That's very important. Secondly, the execution of both the commercial and the technology synergies is progressing ahead of pace. We have alignment across all selling organizations, the technology teams. And I highlighted a capital project win that we worked on, and we're working on many across the world that we have a joint funnel of pursuits.

是的。不，絕對，史蒂夫。我會在這裡給你一些顏色。讓我 - 也許這裡有 3 或 4 個關鍵點。首先讓我說我們 - 我繼續並且我們共同繼續對業務及其作為跨不同客戶群的技術解決方案提供的差異化非常樂觀。這非常重要。其次，商業和技術協同效應的執行正在超前推進。我們在所有銷售組織和技術團隊之間保持一致。我強調了我們所從事的一項資本項目勝利，我們正在世界各地開展許多工作，我們有一個共同的追求漏斗。

So what happened in the Q? And I think there are important dimensions here to talk about. The first, the company continues to perform extremely strongly. It's a rule of 50 software business with ACV growth exceeding 11% and strong cash flow. But there were 3 challenges in the quarter, and these were challenges that we have a robust communication process not just at the Board level but at an operating level. And we speak with Antonio and Chantelle, who is the CFO, on a regular basis.

那麼 Q 中發生了什麼？我認為這裡有一些重要的方面需要討論。首先，公司繼續表現非常強勁。 ACV 增長率超過 11% 且現金流強勁，這是 50 家軟件業務的規則。但是本季度有 3 個挑戰，這些挑戰是我們不僅在董事會層面而且在運營層面都有強大的溝通流程。我們定期與首席財務官 Antonio 和 Chantelle 交談。

The first is shorter-term contracts on subscriptions at FSC, which is -- obviously was one of the assets that we contributed to. The assumption in the plan was on a 3- to 4-year basis of subscriptions that we converted -- AspenTech converted those from perpetual license to subscription. The reality is that they came in more in the 1-year level. So that had an impact on revenue recognition, just the nature of that conversion journey and a challenge as those customers in that market space, except subscription contracts, over the perpetual traditional licenses.

第一個是 FSC 的短期訂閱合同，這顯然是我們貢獻的資產之一。計劃中的假設是基於我們轉換的 3 到 4 年訂閱——AspenTech 將這些從永久許可轉換為訂閱。現實情況是，他們在 1 年級的水平上獲得了更多。因此，這對收入確認產生了影響，只是轉換過程的性質以及該市場空間中的那些客戶（訂閱合同除外）對永久傳統許可的挑戰。

The second, you also referenced is OSI. We do -- it is a differentiated business in a high-growth segment, as you know. But the integration has been slower. It's a business that came with a heavy service component to it. And very honestly, that migration and conversion ultimately from perp to sub on the software is taking longer than expected. But we continue to be jointly very optimistic about the business. The orders in the business are strong and we will work through the next few quarters to execute there.

第二，您還提到了 OSI。我們這樣做 - 如您所知，它是高增長領域中的一項差異化業務。但整合速度較慢。這是一項帶有大量服務組件的業務。老實說，最終從軟件上的 perp 到 sub 的遷移和轉換花費的時間比預期的要長。但我們繼續共同對這項業務非常樂觀。該業務的訂單量很大，我們將在接下來的幾個季度中努力執行。

And then lastly, as Ram described earlier, the heritage AspenTech business and the slowdown related to the bulk chemical segment there. Having said all of that, look, the plan has been reset. It's embedded in our results here. It's embedded in the outlook that we provided in the guide. And the investment is, I still believe there's a tremendous amount of value creation opportunity here for Emerson shareholders, and we continue to be very committed. And I think we have the processes, both operating, which is CEO to CEO, CFOs and through the Emerson management process, as best we can here and through the Board of Directors in which to manage in and to be part of the conversations and discussions with that team.

最後，正如 Ram 之前所描述的那樣，傳統的 AspenTech 業務和放緩與那裡的散裝化學品部門有關。說了這麼多，看，計劃已經重置了。它嵌入在我們的結果中。它嵌入在我們在指南中提供的前景中。而投資是，我仍然相信艾默生股東在這裡有大量的價值創造機會，我們將繼續非常投入。我認為我們有流程，包括 CEO 到 CEO、CFO 和艾默生管理流程，我們盡最大努力在這里和通過董事會管理並參與對話和討論和那個團隊。

Are you assuming a bounce back in your fourth quarter in those results? Thanks for all the color, too.

您是否假設這些結果會在第四季度反彈？也謝謝所有的顏色。

Yes, of course. No, look, I think we've embedded their perspective, which they shared with their investors on their call into our guide.

是的當然。不，看，我認為我們已經將他們的觀點嵌入到我們的指南中，他們在電話會議上與投資者分享了這些觀點。

The next question comes from Nigel Coe with Wolfe Research.

下一個問題來自 Wolfe Research 的 Nigel Coe。

And Frank, it's hard to believe you've been CFO for 14 years. So a good run. Congratulations, and good luck in retirement. And Mike, congratulations.

弗蘭克，很難相信你已經擔任首席財務官 14 年了。所以跑得很好。祝賀你，祝你退休後好運。邁克，恭喜你。

Thank you, very much.

非常感謝。

Yes. Just on the -- just maybe picking up on Steve's question there. Maybe just -- maybe this is a question for you, Frank. Maybe just talk about some of the moving pieces in the guide. I mean, clearly, the bulk of the uplift is driven by much better revenue conversion -- margin conversion. But maybe some of the moving pieces, AspenTech, how has that changed in the guide, maybe stock comp? Any of the sort of major discrete lumps would be helpful?

是的。只是——也許只是在回答史蒂夫的問題。也許只是——也許這是一個問題，弗蘭克。也許只是談談指南中的一些感人片段。我的意思是，很明顯，大部分的提升是由更好的收入轉換——保證金轉換推動的。但也許是一些移動的部分，AspenTech，指南中的變化如何，也許是股票比較？任何一種主要的離散塊都會有幫助嗎？

Well, I mean, the main driver is obviously the improved outlook for operations, the uplift in the sales as well as the operational execution, the strong price realization, all the things that drove the strong leverage in the second quarter we expect to have in the third quarter and throughout the rest of the year. So I mean, that is mainly the story and that is strong enough to overcome the reduced AspenTech guide. I mean, as Lal said, we essentially incorporate their guide into our numbers. And they took the guide down for the year. So we've overcome that headwind as we move from the February to the current guidance. And those are the main pieces.

好吧，我的意思是，主要驅動力顯然是運營前景的改善、銷售和運營執行力的提升、強勁的價格實現，所有推動我們預計在第二季度實現強勁槓桿作用的因素第三季度和全年剩餘時間。所以我的意思是，這主要是故事，它足以克服減少的 AspenTech 指南。我的意思是，正如 Lal 所說，我們基本上將他們的指南納入了我們的數字。他們取消了這一年的指南。因此，當我們從 2 月轉向當前指導時，我們已經克服了逆風。這些是主要部分。

And that's about $0.06, $0.07 mark-to-market on AspenTech?

這在 AspenTech 上按市值計價約為 0.06 美元、0.07 美元？

For the year, roughly, yes, in that range.

今年，大致上，是的，在那個範圍內。

Yes. Okay. Great. And then just on the -- maybe picking up off Ram's comment on the sort of the installed base of DCS. You said 70% don't have Level 3 software capability. Does that precipitate an upgrade cycle? I know we've talked about this over in the past. But are we at the threshold now where we might see an installed base upgrade cycle? Or is it more just patching around that with some of the capabilities around software?

是的。好的。偉大的。然後就在 - 可能會接受 Ram 關於 DCS 已安裝基礎的評論。你說 70% 的人不具備 3 級軟件能力。這會加速升級週期嗎？我知道我們過去已經討論過這個問題。但是，我們現在是否處於可能會看到安裝基礎升級週期的門檻？或者它只是用軟件的一些功能來解決這個問題？

I mean, I don't know if we're planning for a major upgrade wave. I think it's more a disciplined approach with each one of our customers to address the optimization benefits and the APM benefits and some of the capabilities that Aspen brings to improve the performance of the overall automation system that is installed in many of these customers. And we're going across the board, across industries, power and life sciences being the focus area. Everybody is very interested in digitally transforming their assets. And we're seeing more and more interest from our customers to launch digital transformation programs across the automation stack where level 3 software has an important role to play, primarily around optimization on the manufacturing suite and then more the asset performance management and the reliability software on uptime of assets in their infrastructure. So that's the journey. I think you're going to see more and more of that. Sustainability is another area where software will get deployed. But I don't think it's a big wave. I think it's more a disciplined wave over time, and we have the opportunity to drive it.

我的意思是，我不知道我們是否計劃進行一次重大的升級浪潮。我認為我們的每個客戶都採用一種更有紀律的方法來解決優化優勢和 APM 優勢以及 Aspen 帶來的一些功能，以提高安裝在許多這些客戶中的整體自動化系統的性能。我們正在跨行業，跨行業，電力和生命科學是重點領域。每個人都對數字化改造他們的資產非常感興趣。我們看到越來越多的客戶有興趣在整個自動化堆棧中啟動數字化轉型計劃，其中 3 級軟件可以發揮重要作用，主要圍繞製造套件的優化，然後是資產性能管理和可靠性軟件其基礎設施中資產的正常運行時間。這就是旅程。我想你會看到越來越多這樣的事情。可持續性是將部署軟件的另一個領域。但我不認為這是一個大浪。我認為隨著時間的推移，這更像是一個有紀律的浪潮，我們有機會推動它。

And the next question comes from Jeff Sprague with Vertical Research.

下一個問題來自 Vertical Research 的 Jeff Sprague。

Congrats to Frank and Mike. Frank, I think it's hard to believe you've been CFO for 14 years because until we got a new CEO, we didn't have many opportunities to get to know you. The new structure is better, so congrats all around.

恭喜弗蘭克和邁克。弗蘭克，我認為很難相信你已經擔任首席財務官 14 年了，因為在我們任命新首席執行官之前，我們沒有太多機會認識你。新結構更好，所以恭喜大家。

Thank you, Jeff.

謝謝你，傑夫。

A lot of ground covered. I just want to touch back on capital deployment. And Lal, as you said, the big moves are done and that certainly makes sense. But you did indicate that you're working bolt-ons. And it looks like you also maybe have a 6-month gap or so between the Climate proceeds and National Instruments closing. Just wonder how that might play out over that time frame? Is there room for some more share repurchase? Are there actionable bolt-ons that could be happening kind of over this interim period or just what we should expect there?

覆蓋了很多地面。我只想談談資本部署。拉爾，正如你所說，重大舉措已經完成，這當然是有道理的。但你確實表示你正在補強。看起來您在氣候收益和 National Instruments 關閉之間也可能有 6 個月左右的差距。只是想知道在那個時間範圍內會如何發揮作用？還有更多的股票回購空間嗎？在這個過渡時期是否有可能發生的可操作的補強措施，或者我們應該在那裡期待什麼？

Yes, I'll let Frank comment as well here. But no, look, we'll obviously work towards the closing of National Instruments over those 6 months aggressively. It may come sooner, we'll see. It depends on the regulatory approvals. That's going to be the key pacing items, as you know, Jeff. The bolt-ons, we work them aggressively within the businesses. And some are competitive processes, others not. And we have 2 or 3 of those that we're looking at any given point in time. It will continue to do so. These are sub-billion purchase price type of deals. And we have a low -- a small number we're looking at right now and evaluating.

是的，我也會讓 Frank 在這裡發表評論。但是，不，看，我們顯然會在這 6 個月內積極努力關閉 National Instruments。它可能會來得更快，我們拭目以待。這取決於監管部門的批准。正如你所知，傑夫，這將是關鍵的節奏項目。補強措施，我們在企業內部積極開展工作。有些是競爭過程，有些則不是。我們有 2 或 3 個我們正在查看任何給定時間點。它將繼續這樣做。這些是十億以下購買價格類型的交易。我們現在正在研究和評估的人數很少。

And then, look, we continue to be very committed to return cash to our shareholders, whether that's through the dividend or share repurchase. And as we go into 2024, we'll lay out what the appropriate plan there is and communicate that. Frank, anything to add?

然後，看，我們繼續非常致力於向我們的股東返還現金，無論是通過股息還是股票回購。當我們進入 2024 年時，我們將製定合適的計劃並進行溝通。弗蘭克，有什麼要補充的嗎？

Yes, yes, Jeff, I wouldn't view share repurchase decisions in the context. That's kind of the gap between closing Climate and closing NI. I would view it more broadly as part of the capital allocation strategy. I mean, when we -- after we close NI, we'll have a balance sheet that's well below [2] debt-to-EBITDA and a tremendous amount of financial flexibility. So we'll just continue to make those decisions in that context.

是的，是的，傑夫，我不會在上下文中查看股票回購決定。這就是關閉 Climate 和關閉 NI 之間的差距。我會更廣泛地將其視為資本配置策略的一部分。我的意思是，當我們 - 在我們關閉 NI 之後，我們的資產負債表將遠低於 [2] 債務對 EBITDA 和巨大的財務靈活性。因此，我們將繼續在這種情況下做出這些決定。

Great. And then just back to chem. And I do understand you have a more diverse business than Aspen, but why shouldn't we kind of view this as an early warning sign of pressure in the core business income? And maybe just a little bit more color what you're seeing there because there are obviously CapEx and profitability issues kind of across a lot of that industry right now?

偉大的。然後回到化學。而且我確實知道你的業務比 Aspen 更多樣化，但為什麼我們不應該將其視為核心業務收入壓力的預警信號？也許你在那裡看到的顏色更多一點，因為現在很多行業顯然都存在資本支出和盈利能力問題？

Yes. So for us, the capital cycle in chemical, particularly specialty chemical is as good as we have seen it, particularly in Middle East, Asia Pacific and ethylene and methanol investments in North America. So for us, we haven't seen the capital cycle slow. However, what Aspen is referencing is the OpEx spend in chemical customers as they throttle their production in response to slowing demand. And therefore, that translates to MSC purchases, the manufacturing supply chain suite purchases is really the dynamic that's impacting them. It's a small impact to them at this point, but -- given it's 18% of their sales mix, I think they've referenced that. But to be honest, we haven't really seen any KOB3 slowdown or KOB2 in chemical. And then certainly, many of our major project wins to date that we have been sharing with you have been in the chemical, petrochemical space, particularly in the emerging markets. So at this point, we don't see that as an inflection point or a slowdown in the industry despite the higher feedstock costs.

是的。因此，對我們而言，化工領域的資本週期，尤其是特種化學品的資本週期與我們所看到的一樣好，尤其是在中東、亞太地區以及北美的乙烯和甲醇投資。所以對我們來說，我們還沒有看到資本週期放緩。然而，Aspen 所指的是化工客戶的 OpEx 支出，因為他們為應對需求放緩而限制生產。因此，這轉化為 MSC 採購，製造供應鏈套件採購確實是影響它們的動力。目前這對他們影響很小，但是——鑑於它佔他們銷售組合的 18%，我認為他們已經參考了這一點。但老實說，我們還沒有真正看到任何化學 KOB3 放緩或 KOB2。當然，迄今為止，我們與您分享的許多重大項目都是在化工、石化領域，尤其是在新興市場。因此，在這一點上，儘管原料成本較高，但我們並不認為這是行業的拐點或放緩。

And the next question comes from Joe O'Dea with Wells Fargo.

下一個問題來自富國銀行的 Joe O'Dea。

Congrats to Frank and Mike. I wondered just on the discrete, if you could elaborate a little bit on North America and the interplay between some of the structural, and it sounds like continued strength that you're seeing in sort of battery electric and semiconductors. But then the flip side of that, anything that you're just seeing from sort of a general industrial cyclical standpoint, whether the macro uncertainty is having any impact or whether it's more just kind of like natural digestion of what's been ordered over the last few years?

恭喜弗蘭克和邁克。我想知道在離散方面，如果你能詳細說明北美和一些結構之間的相互作用，這聽起來像是你在電池電力和半導體中看到的持續強度。但另一方面，從一般工業周期的角度來看，無論宏觀不確定性是否產生任何影響，或者它是否更像是對過去幾年訂購的產品的自然消化年？

Yes. I mean in North America, to be honest, on the discrete side, we haven't seen -- I mean, we obviously don't play in a big way in semiconductors and batteries yet. We play in a smaller fashion with our DeltaV business. But obviously, we'll get a lot more exposure to that dynamics with National Instruments. In the core machine automation business that we play in North America, we haven't seen a significant slowdown to date, but it is obviously slower than the momentum we're seeing in the process markets.

是的。我的意思是在北美，老實說，在離散方面，我們還沒有看到——我的意思是，我們顯然還沒有在半導體和電池領域大展拳腳。我們在 DeltaV 業務中以較小的方式開展業務。但顯然，我們將通過 National Instruments 更深入地了解這種動態。在我們在北美開展的核心機器自動化業務中，迄今為止我們還沒有看到明顯的放緩，但它顯然比我們在流程市場看到的勢頭要慢。

Got it. And then also just wanted to ask about [Nati] and integration planning and sort of what efforts are currently underway that you're standing up, say, over the next 6 months to ensure a successful launch of the integration process there?

知道了。然後也只是想問一下 [Nati] 和整合規劃，以及您目前正在進行哪些努力，比如說，在接下來的 6 個月內，以確保在那裡成功啟動整合過程？

Yes, sure. This is Lal. We kicked that off last week in Austin over 1.5 days with the management team. We have assembled a team, a steering committee, and then we have functional integration leadership across the 8 value drivers or so that's been identified. Obviously, on a steering committee basis, I participate, as does Eric Starkloff. And we've each named a leader on the integration team, and in our case, Vincent Servello. So that's up and running. Meetings are taking place. We'll have an in-person kick off with a large group here in St. Louis coming up, and then we'll be up and running on all the full integrations. But really good start, great organizational discussions already have taken place. And now we are excited about this work ahead of us as we had to close.

是的，當然。這是拉爾。我們上週在奧斯汀與管理團隊一起開始了為期 1.5 天的活動。我們已經組建了一個團隊，一個指導委員會，然後我們在 8 個價值驅動因素中擁有職能整合領導力，這些已經確定。顯然，在指導委員會的基礎上，我和 Eric Starkloff 都參與了。我們每個人都任命了集成團隊的領導者，在我們的案例中，是 Vincent Servello。這樣就可以正常運行了。會議正在進行中。我們將在聖路易斯與一大群人進行面對面的開球，然後我們將啟動並運行所有完整的集成。但真正好的開始，已經進行了很好的組織討論。現在我們對擺在我們面前的這項工作感到興奮，因為我們不得不關閉。

And this concludes both the question-and-answer session as well as the event itself. Thank you so much for attending today's presentation. You may now disconnect your lines.

問答環節和活動本身到此結束。非常感謝您參加今天的演講。您現在可以斷開線路。