ESCO Technologies Inc (ESE) 2025 Q2 法說會逐字稿

Good day and welcome to the Q2 2025 ESCO Technologies Inc earnings conference call.

大家好，歡迎參加 2025 年第二季 ESCO Technologies Inc 財報電話會議。

(Operator Instructions)

（操作員指示）

Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Kate Lowrey, Vice President of Investor Relations. Please go ahead.

請注意，今天的會議正在錄音。現在，我想將會議交給今天的第一位發言者，投資者關係副總裁凱特·洛瑞 (Kate Lowrey)。請繼續。

Thank you. Statements made during this call which are not strictly historical are forward-looking statements within the meaning of the Safe Harbor Provisions of the federal securities laws. These statements are based on current expectations and assumptions, and actual results may differ materially from those projected in forward-looking statements due to risks and uncertainties that exist in the company's operations and business environment, including but not limited to the risk factors referenced in the company's press release issued today, which will be included as an exhibit to the company's Form 8-K to be filed.

謝謝。本次電話會議中所作的非嚴格歷史性陳述屬於聯邦證券法安全港條款所定義的前瞻性陳述。這些聲明是基於當前的預期和假設，由於公司營運和商業環境中存在的風險和不確定性，實際結果可能與前瞻性聲明中預測的結果存在重大差異，包括但不限於公司今天發布的新聞稿中提及的風險因素，該新聞稿將作為公司即將提交的 8-K 表格的附件。

We undertake no duty to update or revise any forward-looking statements except as being required by applicable laws or regulations. In addition, during this call, the company may discuss some non-GAAP financial measures in describing the company's operating results. A reconciliation of these measures with the most comparable GAAP measures can be found in the press release issued today and found on the company's website at www.escotechnologies.com under the link investor relations.

除適用法律或法規要求外，我們不承擔更新或修改任何前瞻性陳述的義務。此外，在本次電話會議中，本公司可能會討論一些非公認會計準則財務指標來描述公司的營運績效。這些指標與最具可比性的 GAAP 指標的對照表可在今天發布的新聞稿中找到，也可在公司網站 www.escotechnologies.com 的投資者關係連結中找到。

Now I'll turn the call over to Bryan.

現在我將把電話轉給布萊恩。

Thanks, Kate, and thanks everyone for joining today's call. The first half of our fiscal 2025 has been highlighted by really good operational performance and positive strategic developments. It's an exciting time for ESCO with strong underlying business conditions in our key markets and completion of a major acquisition. So it's a good time for us to give the investor community an update.

謝謝，凱特，也謝謝大家參加今天的電話會議。我們 2025 財年上半年的亮點是出色的營運表現和積極的策略發展。對於 ESCO 來說，這是一個令人興奮的時刻，我們的主要市場擁有強勁的基本業務條件，並完成了一項重大收購。因此，現在是我們向投資者群體提供最新進展的好時機。

Additionally, as you are all aware, the macroeconomic picture has been evolving quite a bit over the past few months, with trade issues coming to the forefront and geopolitical news items grabbing a lot of headlines. Like everyone, we must watch these activities very closely and navigate our business through choppy waters.

此外，眾所周知，過去幾個月宏觀經濟形勢發生了很大變化，貿易問題成為焦點，地緣政治新聞佔據了頭條新聞。和所有人一樣，我們必須密切注意這些活動，引導我們的業務渡過難關。

Honestly, it's hard for us to know exactly what will happen next, but our teams have done a nice job of mitigating these risks thus far. We're happy to have this time to speak to you, and we'll update you on the impacts to ESCO as best we can. Before getting into details about the business, I do want to take a moment and say thank you to our employees for their ongoing efforts.

老實說，我們很難確切知道接下來會發生什麼，但到目前為止，我們的團隊已經很好地減輕了這些風險。我們很高興有時間與您交談，我們將盡可能向您通報對 ESCO 的影響。在詳細介紹業務之前，我想花點時間感謝我們的員工的持續努力。

You don't achieve results like ESCO has over the last few years without a talented team of employees that are customer-focused and dedicated to solving complex technical and operating challenges. It's hard work, so a big thank you to the team for the great work so far in 2025.

如果沒有一支以客戶為中心、致力於解決複雜技術和營運挑戰的優秀員工團隊，您就不可能取得像 ESCO 過去幾年那樣的成就。這是一項艱苦的工作，因此非常感謝團隊在 2025 年迄今所做的出色工作。

Chris will run you through all of the financial details for the quarter. But before we get to that, I want to give you a few comments on each of the segments. During the past month, we have completed our annual strategic planning process with each of our businesses. As a part of these meetings, we assess our end markets and our strategies to deliver above market growth. My comments on the businesses will focus a little bit more on these long-term dynamics as compared to current quarter results.

克里斯將向您介紹本季的所有財務細節。但在我們討論這個之前，我想對每個部分發表一些評論。在過去的一個月裡，我們與各個業務部門完成了年度策略規劃流程。作為這些會議的一部分，我們評估了我們的終端市場和實現高於市場成長的策略。與本季業績相比，我對企業的評論將更專注於這些長期動態。

Starting with aerospace and defense. We remain very positive regarding the long-term outlooks for these markets. Even with the macro uncertainty that we see, our expectation is for continued growth here. On the aerospace side, we see fundamental demand for additional commercial and defense aircraft, and we expect this to drive growth in our business as we move forward.

從航空航天和國防開始。我們對這些市場的長期前景仍然非常樂觀。即使我們看到宏觀不確定性，我們仍然預期這裡將繼續成長。在航空航太方面，我們看到了對更多商用和國防飛機的基本需求，我們預計這將推動我們業務的成長。

Order rates have moderated on the commercial aircraft side over the past six months. So as the supply chain adjusts to prior order surges and short-term disruptions and prepares for longer-term growth, long term, the demand is there and should drive increased build rates. On the navy side, we also continue to see robust activity in this market.

過去六個月，商用飛機的訂單率有所下降。因此，隨著供應鏈適應先前的訂單激增和短期中斷並為長期成長做好準備，從長遠來看，需求是存在的，並且應該會推動生產力的提高。在海軍方面，我們也持續看到該市場的強勁活動。

Our business supports prioritized submarine programs, which we expect to be protected and expanded due to national security priorities in both the US and the UK. That assessment supports our long-term growth outlook in line with our previous communications. Before jumping to the next business, I do want to quickly address the SMMP acquisition, which recently closed. We successfully closed the deal on April 25. It took us longer than we had hoped, but we're thrilled to have the team on board.

我們的業務支援優先潛艇計劃，我們希望根據美國和英國的國家安全優先事項來保護和擴大該計劃。該評估支持了我們先前所傳達的長期成長前景。在進入下一個主題之前，我想先快速談談最近完成的 SMMP 收購案。我們於4月25日成功完成交易。我們花費的時間比預期的要長，但我們很高興有團隊的參與。

One key thing to announce today is that we are rebranding the business to do business as ESCO Maritime Solutions. So as we discuss them in the future, we will likely describe the business as Maritime or ESCO Maritime.

今天要宣布的一件重要事情是，我們將更名為 ESCO Maritime Solutions。因此，當我們在未來討論它們時，我們可能會將該業務描述為海事或ESCO海事。

Chris will discuss the impacts on 2025 in a few minutes, but the good news here is that the business has been trending well and it's tracking at or above the projections that we made at the time that we announced the deal last July. This is an important strategic portfolio move for us, and we are excited to add a business that enhances our margin and growth profile.

克里斯將在幾分鐘內討論對 2025 年的影響，但好消息是，業務一直發展良好，並且達到或超過了我們去年 7 月宣布交易時所做的預測。這對我們來說是一個重要的策略性投資組合舉措，我們很高興能增加一項能夠提高我們的利潤率和成長前景的業務。

Switching businesses now, let's talk about the Utility Group, which had another solid quarter. Focusing on the long term here, as you all know, we are experiencing a really good business cycle in the electricity and utility end markets. From our strategic review with this team, it's clear that the market conditions supporting our growth are intact. As we've discussed previously, there are several factors which drive increased electricity demand.

現在轉換業務，我們來談談公用事業集團，該集團又度過了一個穩健的季度。著眼於長期，眾所周知，我們正在經歷電力和公用事業終端市場的一個非常好的商業週期。從我們與該團隊的策略評估來看，很明顯地支持我們成長的市場條件是完好的。正如我們之前討論過的，有幾個因素導致電力需求增加。

This increased demand coupled with aging infrastructure and extreme weather events will make the technologies that Doble provides more important than ever. So we continue to have a positive long-term outlook for this business. The renewable side of the business is an area that we continue to watch. The sales performance here was better in the second quarter when compared to the first quarter, and we continue to believe that there will be an important role for renewables to play long term.

需求的增加，加上基礎設施老化和極端天氣事件，使得 Doble 提供的技術比以往任何時候都更重要。因此，我們繼續對這項業務的長期前景持樂觀態度。再生能源業務是我們持續關注的領域。與第一季相比，第二季的銷售業績更好，我們仍然相信再生能源將在長期內發揮重要作用。

The renewables market is recalibrating right now, but order activity is better than it was a year ago, and over time, we expect a return to growth. Finally, I'll touch on the test business, which is off to a good start this year. The team here is really doing a great job, and we had a very encouraging conversation with them during the annual strategy update. Obviously, 2023 and 2024 were tough years for this business. But in the first six months of fiscal '25, we saw orders accelerate significantly, leading to very healthy backlogs.

再生能源市場目前正在重新調整，但訂單活動比一年前要好，隨著時間的推移，我們預計會恢復成長。最後，我想談談測試業務，今年的測試業務開局良好。這裡的團隊確實做得非常出色，我們在年度策略更新期間與他們進行了非常令人鼓舞的對話。顯然，2023年和2024年對該業務來說是艱難的一年。但在 2025 財年的前六個月，我們看到訂單量大幅增加，導致積壓訂單量非常可觀。

One of the strengths of tests is the diversity of end markets that it serves, and no doubt we are seeing strong activity in EMC testing, healthcare, and industrial markets. The macroeconomic uncertainty is something that we have to pay particular attention to here, as this is a global business that has a lot of cross-border trade flows. We are watching the tariff situation closely, and the team is already reacting to mitigate any impacts that we might see. The key thing to leave you with here is that the business has stabilized, and we feel good about our trajectory as we move into the second half of 2025.

測試的優點之一是它所服務的終端市場的多樣性，毫無疑問，我們看到 EMC 測試、醫療保健和工業市場活動強勁。我們必須特別關注宏觀經濟的不確定性，因為這是一項擁有大量跨境貿易流動的全球性業務。我們正在密切關注關稅情況，團隊已經做出反應，以減輕我們可能看到的任何影響。這裡要告訴大家的關鍵一點是，業務已經穩定下來，我們對進入 2025 年下半年的發展軌跡感到滿意。

In summary, we feel strongly that our end-market exposure remains favorable, and growth tailwinds should persist as we move forward.

總而言之，我們強烈感覺到，我們的終端市場曝光度仍然有利，隨著我們前進，成長的順風應該會持續下去。

With that, I'll turn it over to Chris to run you through the financial details of the quarter.

接下來，我會把主題交給克里斯，讓他向大家介紹本季的財務細節。

Thanks, Bryan. Everyone can follow along on the chart presentation. We'll start on page 3, where we'll discuss overall financial highlights of the second quarter.

謝謝，布萊恩。每個人都可以按照圖表演示進行操作。我們將從第 3 頁開始討論第二季的整體財務亮點。

Orders were up nearly 22% in the quarter, with increases from all three reporting segments. This resulted in record backlog of $932 million. Sales were up by 6.6% in the quarter, and again, we saw increases from all three segments.

本季訂單量成長近 22%，三個報告部門均有成長。這導致積壓訂單金額達到創紀錄的 9.32 億美元。本季銷售額成長了 6.6%，而且我們再次看到三個部門的銷售額均有所成長。

Adjusted EBIT margins came in at 18%, with incremental margins on the sales growth coming in at 56%, a very strong result for profitability. This resulted in an adjusted earnings per share in the quarter of $1.35 which represents a 24% increase compared to last year's second quarter.

調整後的息稅前利潤率為 18%，銷售額成長的增量利潤率為 56%，這對於獲利能力來說是一個非常強勁的結果。這使得本季調整後每股收益達到 1.35 美元，較去年第二季成長 24%。

Now we go through segment highlights, starting with aerospace and defense. Orders were up 5% in the quarter as we saw solid growth in Navy orders as well as a sizable order for PTI's CAD/PAD business. Overall, aerospace and defense continues to operate with high levels of backlog. The sales performance in the quarter was good with nearly 8% growth. The growth was led by commercial aerospace and navy.

現在我們來看看各個細分領域的亮點，首先是航空航太和國防。本季度訂單成長了 5%，因為我們看到海軍訂單穩定成長以及 PTI 的 CAD/PAD 業務的大量訂單。總體而言，航空航太和國防領域繼續面臨大量積壓訂單。本季銷售業績良好，成長近8%。這一成長主要由商業航空航天和海軍推動。

Margins were strong with adjusted EBIT margins up 400 basis points and adjusted EBIT up 28%, as we saw favorable impacts from price increases as well as favorable mix.

利潤率強勁，調整後的息稅前利潤率上漲 400 個基點，調整後的息稅前利潤上漲 28%，因為我們看到了價格上漲和有利組合帶來的有利影響。

Next on chart 5 is the Utility Solutions Group which posted another strong quarter. Order's momentum remained healthy with growth of nearly 17% as both Doble and NRG delivered double-digit order growth. On the sales side, growth was 4% which was driven by 5% growth at Doble while sales at NRG were flat compared to prior year second quarter.

圖表 5 中的下一家公司是公用事業解決方案集團 (Utility Solutions Group)，本季業績再創佳績。由於 Doble 和 NRG 均實現了兩位數的訂單成長，訂單成長動能保持良好，增幅接近 17%。銷售方面，成長率為 4%，這得益於 Doble 5% 的成長，而 NRG 的銷售額與去年第二季相比持平。

You will recall that in Q1, the sales decline for NRG was over 20%. So we have seen sequential improvement in the trends there. Profitability was very strong for Utility as we leveraged growth at Doble and also experienced favorable product mix, which helped drive adjusted EBIT margins to 23% in the quarter, and improvement of 290 basis points compared to last year's second quarter.

您可能還記得，在第一季度，NRG 的銷售額下降了 20% 以上。因此，我們看到那裡的趨勢不斷改善。由於我們利用了 Doble 的成長，並且擁有良好的產品組合，公用事業部門的獲利能力非常強勁，這有助於推動本季調整後的 EBIT 利潤率達到 23%，與去年第二季相比提高了 290 個基點。

Next, we'll cover tests, where we have seen continued recovery in this business. Order growth was exceptional as orders increased 75% compared to last year. Last year was weak, so the comparison was favorable. But there's no question we have seen higher levels of water activity than had been previously anticipated.

接下來，我們將介紹測試，我們已經看到該業務持續復甦。訂單成長非常顯著，與去年相比增加了 75%。去年表現疲軟，因此相較之下還是有利的。但毫無疑問，我們看到的水活動量比之前預期的要高。

You can see on the chart, we refer to a few key drivers in the US and China. So the growth there was pretty broad-based with filters, test and measurement, medical and industrial, all contributing. Sales were up 9% as we saw nice growth from the US and European markets, as well as good performance at MPE.

您可以在圖表上看到，我們提到了美國和中國的一些關鍵驅動因素。因此，那裡的成長相當廣泛，過濾器、測試和測量、醫療和工業都做出了貢獻。由於美國和歐洲市場出現良好成長，且 MPE 表現良好，銷售額成長了 9%。

Margins improved modestly to 12.4%. The business did experience benefits from volume leverage and price increases. This was somewhat offset by unfavorable mix in the business, which was a result of lower sales in the high margin wireless business.

利潤率小幅提高至12.4%。該業務確實從銷售槓桿和價格上漲中獲益。但這一成長在一定程度上被業務組合不利所抵消，因為高利潤的無線業務銷售額下降。

Moving to chart number 7, we have a year-to-date P&L highlights. As you can see, the results have been terrific through the first six months of 2025. Orders are up over 6% with a book to build ratio of 1.1. Sales have been even better with growth of nearly 10% year-to-date. All three segments have delivered sales growth with A&D and test, both delivering double-digit sales growth.

轉到圖表 7，我們可以看到年初至今的損益亮點。如您所見，2025 年前六個月的成果非常出色。訂單量成長超過6%，訂單與建造比率達1.1。銷售額更是錦上添花，年初至今成長近10%。三個部門的銷售額均實現成長，其中航空航太與國防和測試部門的銷售額均實現兩位數成長。

Adjusted EBIT performance has shown significant improvement with all three businesses increasing margins compared to the first six months of last year. All this leads to the adjusted earnings per share growth of 31% over the first six months of the year.

調整後的息稅前利潤表現顯著改善，三項業務的利潤率與去年上半年相比均有所提高。所有這些使得今年前六個月的調整後每股收益成長了31%。

Next is chart 8, where we have cash flow highlights. The first six months of fiscal 2025 delivered strong operating cash flow results as working capital performance has been favorable compared to the first six months of 2024. Capital spending is slightly down for the first six months, so we delivered big improvement in free cash flow and saw our debt to EBITDA leverage ratio drop to 0.3 times.

接下來是圖 8，其中有現金流亮點。2025 財年上半年的營運現金流表現強勁，因為與 2024 年上半年相比，營運資本表現良好。前六個月的資本支出略有下降，因此我們的自由現金流得到了大幅改善，債務與 EBITDA 槓桿率下降至 0.3 倍。

As Bryan mentioned during his comments, we closed the ESCO Maritime acquisition on April 25, and the balance sheet was well positioned for this based on the strong cash flow generation since the deal was announced last July.

正如布萊恩在評論中提到的那樣，我們於 4 月 25 日完成了對 ESCO Maritime 的收購，並且基於自去年 7 月宣布交易以來強勁的現金流，資產負債表已做好充分準備。

Last is chart 9, where we'll discuss the updated earnings guidance for 2025. First, on sales, we're still projecting 6% to 8% growth before the impact of the ESCO Maritime acquisition. For the five months of Maritime ownership, we are estimating sales in the range of $90 million to $100 million.

最後是圖表 9，我們將討論 2025 年的最新獲利預測。首先，就銷售額而言，在 ESCO Maritime 收購的影響之前，我們仍預期成長率為 6% 至 8%。在 Maritime 擁有的五個月內，我們估計銷售額在 9,000 萬至 1 億美元之間。

For adjusted earnings per share. Last quarter, we got it to a range of $5.55 to $5.75 per share. We are increasing that to a new range of $5.65 to $5.85 per share. We are anticipating unfavorable earnings impacts from tariffs in a range of $2 million to $4 million and those impacts are factored into the new adjusted earnings per share guidance.

調整後每股收益。上個季度，我們將其價格區間定為每股 5.55 美元至 5.75 美元。我們將這一價格區間提高至每股 5.65 美元至 5.85 美元。我們預計關稅將對收益產生 200 萬至 400 萬美元的不利影響，這些影響已計入新的調整後每股收益指引中。

For the Maritime acquisition, we are estimating adjusted earnings per share in a range of $0.20 to $0.30, which is based on the sales assumption stated above as well as EBITDA margins in the mid-20s, and interest expense on new borrowings of approximately $15 million. Adding this to the total, we have updated all in guidance of $5.85 to $6.15 per share on an adjusted basis.

對於 Maritime 收購，我們估計調整後的每股收益在 0.20 美元至 0.30 美元之間，這是基於上述銷售假設以及 20 年代中期的 EBITDA 利潤率，以及約 1500 萬美元的新借款利息支出。將此加到總數中，我們已更新所有指導價格，調整後每股收益為 5.85 美元至 6.15 美元。

I do want to be clear that guidance excludes any acquisition related to amortization for Maritime, and it excludes certain deal and integration costs related to the acquisition.

我確實想明確指出，該指南不包括與海事攤銷相關的任何收購，也不包括與收購相關的某些交易和整合成本。

That concludes the financial portion of the call and then I'll turn it back over to Bryan.

本次電話會議的財務部分到此結束，然後我將把電話轉回給布萊恩。

Thanks, Chris. So as you heard, the first six months of our year have gone really well. We're excited about the ability to increase our full-year outlook, and we're excited about the Maritime acquisition, as I discussed earlier.

謝謝，克里斯。正如您所聽到的，我們今年前六個月的業績表現非常出色。正如我之前所討論的，我們對能夠提高全年預期感到興奮，並且對海事收購感到興奮。

ESCO's future remains bright, and we continue to see a path for value creation and enhancement as we move forward. We certainly see the waters are getting a little bit choppy and economic growth could be a little bit more challenging, but we feel really good about our mix of businesses and how they will be able to navigate the current environment.

ESCO 的未來依然光明，我們在前進的過程中繼續看到創造和提升價值的道路。我們確實看到情況變得有些波濤洶湧，經濟成長可能會面臨更多挑戰，但我們對我們的業務組合以及它們如何應對當前環境感到非常滿意。

With that, I think we're done with the prepared remarks, and we can turn it over to the Q&A.

我想我們已經準備好要發言了，可以進入問答環節了。

(Operator Instructions)

（操作員指示）

John Tanwanteng, CGS.

約翰·坦萬滕（John Tanwanteng），CGS。

Hi, good afternoon. Thank you for taking my questions. And nice quarter and congrats on raising the guidance out there. I was wondering if you could touch on the sale of [vaco] over to the exploration process. Do you have any updates there and just how should we be thinking about it at this point?

嗨，下午好。感謝您回答我的問題。這是一個不錯的季度，祝賀您提高了指導。我想知道您是否可以談論 [vaco] 的出售以及勘探過程。您有任何更新嗎？我們現在應該如何考慮這個問題？

Sure. Well, we've been going through a pretty involved process there to potentially sell the business. We have had a lot of interest and we have active interest now. But it is taking a little bit longer than we anticipated to come to a conclusion. Right now, we would expect to know how it's going to end by the end of May. And that could include both a sale and it could also include us making a decision that we're going to retain the business. But we will provide notice to you if we make a decision to sell the business when we do that. And otherwise, we'll talk about it again on the next call.

當然。嗯，為了有可能出售業務，我們經歷了一個相當複雜的過程。我們一直以來都對此很感興趣，現在我們也對此很感興趣。但得出結論的時間比我們預期的要長一些。目前，我們預計五月底就能知道結果如何。這可能包括出售，也可能包括我們做出保​​留業務的決定。但如果我們決定出售該業務，我們會通知您。否則，我們將在下次通話中再次討論此事。

Got it. And how is the underlying business performed in the last couple of quarters just that that trust --

知道了。過去幾季的基礎業務表現如何？--

Yeah, we've seen a real improvement in the overall business. Chris, you want to talk to that in terms of margin and year over year?

是的，我們看到整體業務確實有所改善。克里斯，你想從利潤率和同比的角度來談談這個問題嗎？

Sure, yeah, I would say that we've seen the business stabilize. The performance has been, better versus last year through the first six months, I would say. But I would also say, the margins are still lower than what we see in the other parts of that business for overall aerospace and defense.

當然，是的，我想說我們已經看到業務穩定下來。我想說，今年前六個月的表現比去年同期好轉。但我還要說的是，其利潤率仍然低於整個航空航太和國防業務的其他部分。

But as far as some of the EAC adjustments and other challenges we've talked about in '23 and in '24, we really haven't seen any of those kind of impacts this year. And feel like by and large, those contracts are have been dealt with and and managed and so we've seen a little bit more of a recovery there so far this year.

但就我們在 2023 年和 2024 年談到的一些 EAC 調整和其他挑戰而言，我們今年確實沒有看到任何此類影響。總體而言，這些合約已經處理和管理，因此今年到目前為止，我們看到了更多的復甦。

Okay, great, thank you. If you could touch on the tariffs for a moment, is that $2 million to $4 million that you called out the net impact after you do pricing and other stuff? Is it a gross number? Just help us think about, the puts and takes there and also, the underlying assumption as to what level of tariffs does that specifically include. Is that what was announced on April 2, is there some level less than that? Just any color that would be helpful.

好的，太好了，謝謝。如果您可以稍微談一下關稅，那麼在定價和其他因素之後，您所說的淨影響是否為 200 萬至 400 萬美元？這是總數嗎？只是幫助我們思考其中的投入和產出，以及其中具體包括什麼水準的關稅的基本假設。這是 4 月 2 日宣布的嗎？還有比這更低的等級嗎？任何有用的顏色都可以。

Yeah, I mean, so first of all, I would say it's kind of a net number. So we're certainly, doing things to mitigate. We hope we can stay to the low end of the range of that $2 million to $4 million impact or even better. But that encompasses actions we're taken to try and get price, for example, to also make some adjustments in our operations. So all those things are kind of being worked, and we would expect kind of the net result the way we gave it to you.

是的，我的意思是，首先，我想說這是一個淨數字。所以我們肯定會採取措施來緩解。我們希望我們能夠將影響力保持在 200 萬至 400 萬美元的低端，甚至更好。但這包括我們為嘗試獲取價格而採取的行動，例如也對我們的營運進行一些調整。所以所有這些事情都在進行中，我們期望最終結果會和我們告訴您的一樣。

As far as percentages, I mean, we're kind of using what's been kind of issued so far. And again, we under -- we kind of went back and forth on how to handle this, but we felt it was appropriate to go ahead and bake something in and share that. And then obviously, if there's big changes, we'll kind of update, the guide for that going forward. But where we are right now, we see -- we're more of a net exporter, I would say than an importer. So maybe the broader risk becomes kind of demand related if we see significant retaliatory actions or things like that. So we'll kind of have to keep an eye on all those things and keep you updated. But that's kind of how we did the the math for this turn of the crank.

就百分比而言，我的意思是，我們正在使用迄今為止已經發布的內容。再說一次，我們反覆思考如何處理這個問題，但我們覺得繼續進行並分享一些東西是合適的。顯然，如果有重大變化，我們將更新未來的指南。但就我們目前的狀況而言，我認為我們更像是淨出口國，而不是進口國。因此，如果我們看到重大的報復行動或類似的事情，也許更廣泛的風險就會變得與需求有關。因此我們必須密切注意所有這些事情並隨時向您通報最新情況。但這就是我們對曲柄轉動進行計算的方式。

Understood. Thank you. I'll jump back in queue.

明白了。謝謝。我會重新排隊。

Josh Sullivan, The Benchmark Company.

喬許·沙利文（Josh Sullivan），基準公司。

Hey, good afternoon.

嘿，下午好。

Hi Josh.

你好，喬希。

On the Maritime solutions cash generation, I think you referenced it in the prepared remarks there, is that strong cash profile just a short-term dynamic or how long will that kind of strong free cash from the asset continue?

關於海事解決方案的現金生成，我想您在準備好的評論中提到過，強勁的現金狀況只是短期動態還是這種來自資產的強勁自由現金將持續多久？

I think what we were talking about there was more kind of the earnings impact, and adjusted earnings per share in sales. So on the cash flow, honestly, we would expect some benefit there in the year. We're still kind of working through some of those details with them as we on board them, but the numbers we were talking to were more adjusted earnings per share.

我認為我們討論的更多的是收益影響，以及銷售調整後的每股收益。因此，就現金流而言，老實說，我們預計今年會有一些收益。我們在加入他們時仍在與他們討論其中的一些細節，但我們討論的數字是調整後的每股盈餘。

Got it. And then just give them the closing of Maritime solutions asset and you're increasing exposure to just shipbuilding and particularly submarines, what are your thoughts on the '25, '26 budget or as they're proposed and then, the recent executive order on shipbuilding?

知道了。然後讓他們關閉海事解決方案資產，你就增加了對造船業，特別是潛艇的曝光，你對'25'、'26'預算或他們提出的預算以及最近關於造船的行政命令有什麼看法？

Well, first of all, Josh, I love the fact that you're already calling it ESCO Maritime Solutions. I appreciate that. And we're going to make that go viral. But, yeah, listen, we feel really good about -- with a long time getting through this deal, you worry a lot about what you're going to find when you open up your presence. And what we found is that they are on or a bit ahead of plan for all of the programs.

嗯，首先，喬希，我很高興你已經將它命名為 ESCO Maritime Solutions。我很感激。我們會讓它迅速傳播開來。但是，是的，聽著，我們感覺非常好——經過很長時間才完成這筆交易，你會非常擔心當你開放你的存在時你會發現什麼。我們發現，他們所有的項目都已達到或略超前於計劃。

And this is a -- these are businesses that have lots of good visibility to the programs that they're on and the milestones and that sort of thing. And so we had a really good idea of what, where they should be. And what we found was they're probably there or a little bit better than that. And so as we look into 2026, we feel really good about where that settles. Good progress, with their customer base in addition to the US Navy, which, we are very familiar with. They have a lot of Royal Navy exposure. And everything over there seems to be on track, moving ahead, no pun intended, full steam ahead. And we feel really good about it.

這些企業對於他們所實施的專案、里程碑等都有著良好的了解。因此，我們對它們應該是什麼、應該放在哪裡有了非常好的想法。我們發現，它們可能已經達到了那個水平，或者比那個水平稍微好一點。因此，當我們展望 2026 年時，我們對這一目標感到非常滿意。進展順利，他們的客戶群除了美國海軍之外，我們對此非常熟悉。他們有著豐富的皇家海軍經驗。那裡的一切似乎都步入正軌，不斷向前發展，沒有雙關語的意思，全速前進。我們對此感到非常高興。

Got it. And then maybe just one on the RF order flow. Is it indicative of any new cycles within those markets, or is it your exposure just too broad or too early to make that assumption?

知道了。然後也許只有一個關於 RF 訂單流。這是否預示著這些市場將出現新的週期，還是說您的接觸範圍太廣或太早而無法做出這樣的假設？

There's nothing like the 5G story or the AI story to talk about there. As I said on the prepared remarks, they have broad exposure to a wide range of markets. And I think that we are seeing some recovery in China. We're seeing some good recovery in the electromagnetic compatibility market. Don't forget that every device in the world that has electricity in it is subject to those standards. And every country in the world has an EMC standard that they follow and in order to produce product and sell it anywhere in the world, you got to test to those standards.

那裡沒有什麼像 5G 故事或 AI 故事那樣值得談論。正如我在準備好的演講中所說，他們涉足廣泛的市場。我認為我們正在看到中國經濟有所復甦。我們看到電磁相容市場正在復甦。不要忘記，世界上每個有電的設備都要遵守這些標準。世界上每個國家都有他們遵循的 EMC 標準，為了生產產品並將其銷售到世界任何地方，您必須按照這些標準進行測試。

And so I think there's some evidence that that kind of maybe the repositioning of manufacturing might be a part of it. But we've definitely seen a pick up there. The healthcare, there's a lot of -- we're seeing a lot of investments, particularly in what we call magnet swaps. So these would be upgrades at hospitals, swapping out a 5, 10 year old, magnet for a new one. Those are actually -- believe it or not, those are actually larger projects for us because you have both the deconstruct and decommissioning and the construction piece, and they tend to be higher margin for us.

所以我認為有證據表明製造業的重新定位可能是其中的一部分。但我們確實看到了那裡的回升。在醫療保健領域，我們看到了很多投資，特別是在我們所謂的磁力互換方面。因此，這將是醫院的升級，用新的磁鐵替換掉使用了 5 年或 10 年的磁鐵。無論你是否相信，這些實際上都是我們的更大項目，因為你既需要拆除和退役，也需要建造部分，而且它們往往能為我們提供更高的利潤。

So we're excited about that. And listen, the industrial markets, electromagnetic pulse testing, we took some really large orders for EMP filters, both at data centers and at the utility control centers. And that's a trend that, we think is going to continue as we move forward. So yeah, so I think that no one story there, but a good broad-based positive trend.

所以我們對此感到很興奮。聽著，在工業市場、電磁脈衝測試方面，我們接到了一些非常大的 EMP 過濾器訂單，包括資料中心和公用事業控制中心的訂單。我們認為，隨著我們不斷前進，這種趨勢將會持續下去。是的，我認為這不是一個單一的故事，而是一個廣泛的正面趨勢。

Great, I'll leave it at that. Thanks for your time. Thanks you.

太好了，我就不多說了。感謝您的時間。感謝您。

Tommy Moll, Stephens.

湯米·莫爾，史蒂芬斯。

Good afternoon and thanks for taking my questions.

下午好，感謝您回答我的問題。

Hi, Tommy.

你好，湯米。

Hey, Tommy, want to start on ESCO Maritime Solutions. It's always dangerous when analysts take partial year P&L impacts and try to project into future years when we don't have a whole lot of historical to go from. And so if a fair baseline assumption might be to just look at the profit contribution you're offering us for this fiscal year, think about the annualized version of that and then slap some form of a double digit growth rate. On that basis as we think about 2026, is there any more intelligent way that you can help frame what we all ought to be thinking about for 2026? I understand you've controlled the asset for not that long, but any guidance you could provide would be helpful.

嘿，湯米，我想開始研究 ESCO 海事解決方案。當我們沒有大量的歷史記錄可供參考時，如果分析師只考慮部分年度損益影響並試圖預測未來幾年的情況，這總是很危險的。因此，如果一個公平的基準假設可能是只看您為本財政年度向我們提供的利潤貢獻，請考慮其年化版本，然後確定某種形式的兩位數增長率。在此基礎上，當我們思考 2026 年時，您是否有更明智的方法可以幫助我們建立我們所有人應該思考的 2026 年的事情？我知道您控制該資產的時間並不長，但您提供的任何指導都會有所幫助。

Yeah, I think your construct there Tommy is reasonable. You're right. I mean, we were able to get with them right after, closing on the 25th, get some kind of detail to kind of pull together what we saw for the balance of our fiscal year.

是的，我認為你的構造 Tommy 是合理的。你說得對。我的意思是，我們能夠在 25 日結束後立即與他們取得聯繫，以獲得一些細節，以匯總我們對本財政年度餘額的看法。

We haven't been able to get under the hood for very long, as you say. And so I think that the good news is, as Bryan said, I mean, we see them as on track, the backlogs are really healthy. So they're kind of trending, at or above the kind of plans we were thinking of whenever we announced this last July.

正如您所說，我們還沒能花很長時間來探究其本質。所以我認為好消息是，正如布萊恩所說，我們看到一切進展順利，積壓訂單的情況也十分健康。因此，它們有點趨勢性，達到或超過了我們去年 7 月宣布這些計劃時所考慮的計劃。

And I think, yeah, if you kind of do a monthly run rate for this year and you put growth on top of that in kind of the low double-digit range, we would expect that's kind of the way it's trending. Obviously, we're working with them, we've got to get the plans recalendarized and all these kind of things. They've been kind of a calendar year company until now. So we've got more work to do, so we'll give more precision, hopefully and, more clarity on that as time goes forward. But I think what you're talking about is really a pretty reasonable way to look at it as you think about '26.

我認為，是的，如果你計算今年的月度運行率，並將成長率保持在兩位數的低位，我們預計這就是它的趨勢。顯然，我們正在與他們合作，我們必須重新安排計劃以及所有這類事情。到目前為止，他們一直是一家日曆年公司。因此，我們還有更多的工作要做，因此，隨著時間的推移，我們將提供更精確的信息，並希望能夠更清晰地說明這一點。但我認為，當你思考 26 時，你所說的話確實是一種非常合理的看法。

Thank you, Chris. Follow up on the incremental margins in particular for A&D and USG this quarter. I think for USG, what we might be seeing there on the significant margin expansion, strong incrementals might just be a mix dynamic, given you've got solid double growth and flat NRG.

謝謝你，克里斯。關注本季 A&D 和 USG 的增量利潤率。我認為對於 USG 而言，我們可能會看到利潤率大幅擴張，強勁的增量可能只是一種混合動態，因為您實現了穩健的雙重成長和平穩的 NRG。

So maybe you could confirm or give a little more detail there. A&D is really where I'm focused, and would be curious for any insight you can give on the solid incremental dynamic there. Thank you.

所以也許您可以確認一下或提供更多細節。A&D 確實是我關注的重點，我很想知道您能否就該領域穩固的增量動態提供一些見解。謝謝。

Sure. Yeah, I would say that on the utility side, you're right. I mean, the Doble is driving the growth, that's where the bigger margins are. So that helps. Although, I give the NRG team credit, they've done a great job of kind of reacting to this wheat market and really not hurting us from a margin perspective. But with the growth, we see you see a favorable impact there. But then I would also say inside of Doble, we've seen a little bit of mix so far this year to a little bit more of some of the legacy, let's say, offline testing type product lines. Those are going to be kind of our highest margin product lines inside of Doble.

當然。是的，我想說，從實用性方面來說，你是對的。我的意思是，Doble 正在推動成長，這就是更大的利潤所在。這很有幫助。儘管如此，我仍然對 NRG 團隊表示讚賞，他們在應對小麥市場方面做得非常出色，而且從利潤率的角度來看，他們並沒有給我們帶來任何損害。但隨著成長，我們看到了有利的影響。但我也想說，在 Doble 內部，今年到目前為止，我們已經看到了一些混合產品，其中更多的是一些傳統的產品線，例如離線測試類型的產品線。這些將成為 Doble 內部利潤最高的產品線。

So the condition monitoring is still doing good. That's a good margin business for us, but it's not really driving the growth. The way it had kind of last year and so that's a favorable mix impact inside of that business. So it really drives the incrementals to a nice level. So that's kind of the key thing there.

因此，狀態監測仍然表現良好。對我們來說，這是一筆不錯的利潤業務，但並沒有真正推動成長。它與去年的情況類似，因此這對該業務產生了有利的混合影響。因此它確實將增量推向了一個良好的水平。這就是關鍵所在。

Then I would say on the aerospace and defense side, a couple of key dynamics I would point to, we do have a little bit of favorable mix there, just some kind of customer mix and program mix. We also are seeing some really nice price impacts on some of the commercial aerospace lines of business again.

然後我想說，在航空航太和國防方面，我想指出幾個關鍵動態，我們確實在那裡有一些有利的組合，只是某種客戶組合和專案組合。我們也再次看到一些商業航空航天業務線受到了非常好的價格影響。

Some of these things, we've been working price for a while, but we've been sitting on a lot of past due backlog. It takes time to work through that. So it takes some of that price a little bit longer to flow through. So we're starting to see some of that really helping us and coming through nicely.

對於其中的一些項目，我們已經為它們定價一段時間了，但是我們仍然積壓了大量逾期未完成的工作。解決這個問題需要時間。因此，部分價格需要更長的時間才能流通。因此，我們開始看到其中一些確實對我們有幫助，而且效果很好。

And then we've also had some pretty good navy business. And navy margins are good for us -- and I would say then if we -- someone asked about FACO earlier, we are seeing a little more growth there this year from Navy versus space, that also kind of helps the mix. So all those things, I think really, kind of add up and and have moved that in a meaningful upward direction this year.

而且我們的海軍業務也做得相當不錯。海軍利潤對我們來說是件好事——我想說，如果有人早些時候問過 FACO 的情況，我們今年看到海軍比太空業務的增長要多一些，這也有助於形成組合。所以我認為所有這些因素實際上都加在一起，並在今年推動了這一趨勢的顯著上升。

Thank you, Chris. I'll turn it back. Thank you.

謝謝你，克里斯。我會把它轉回去。謝謝。

John Tan Montag.

約翰·譚·蒙塔格。

Thanks for the follow up. I was wondering if you could provide just a little bit more color on just the commercial aircraft orders. I think you mentioned that they moderate a little bit for maybe what was a hotter period just a couple quarters ago. Do you see that ending at some point and normalizing the end demand or is there something else going on there? Just any color that would be helpful.

感謝您的跟進。我想知道您是否可以提供更多關於商用飛機訂單的詳細資訊。我想您提到過，也許就在幾個季度前，這是一個比較熱的時期，但現在情況有所緩和。您是否認為這種情況會在某個時候結束並使最終需求正常化，或者還有其他事情發生？任何有用的顏色都可以。

Well, listen, we -- Boeing's a part of that story. They had a strike in the first quarter. And they've kind of moderated some of their build rates. I do think that the industry had gotten to a point where they started to kind of manage their inventory a little bit more tightly. So that we've seen a little bit of a slowdown, not a huge slowdown. From that overall piece. Fortunately, we have a lot of backlog and we've been able to continue to grow. We are pretty confident that Boeing is going to be able to pull themselves through this. I think they're doing all the right things, and so we're already starting to see signs that things are moving in the right direction.

好吧，聽著，我們——波音公司是這個故事的一部分。他們在第一節就取得了一次進攻。他們已經在某種程度上降低了部分建設速度。我確實認為該行業已經到了開始更嚴格地管理庫存的階段。因此，我們看到的是一點點放緩，而不是大幅放緩。從那篇整體來看。幸運的是，我們有很多積壓工作，我們能夠繼續發展。我們非常有信心波音公司能夠度過難關。我認為他們所做的一切都是正確的，所以我們已經開始看到事情朝著正確方向發展的跡象。

Okay, great. And then compared to last quarter where I think maybe Doble was a little bit more of a bogeyman compared to now. How do you see the state of affairs, I guess, department of defense programs and the status of them, if you think any cancellations or delays or reductions in any of those programs that you're exposed to might might be affected or impacted?

好的，太好了。然後與上一季相比，我認為 Doble 可能比現在更像惡魔。我想，您如何看待國防部計劃的現狀及其現狀？您是否認為您所接觸到的任何計劃的取消、延遲或削減都可能受到影響？

Yeah, I would probably point you to a document that I think is out on the internet that has, I think, 17 priorities of the Defense Department. And I would say the programs that we're on are all in the top four or five of those priorities. And there's plenty of spending that they can go and cut without -- but they basically said, submarines, are really high on the list. Some of our other navy programs are pretty high on the list. Overall, industrial base, shipbuilding infrastructure pretty high on their list.

是的，我可能會向您指出一份我認為在網路上發布的文件，其中列出了國防部的 17 項優先事項。我想說，我們正在進行的項目均位列這些優先事項的前四或五名。有很多開支他們可以削減，但他們基本上說潛艇在清單上名列前茅。我們的其他一些海軍項目在名單上名列前茅。總體而言，工業基礎、造船基礎設施在他們的名單中名列前茅。

So we feel really good about where we are there. And I will say that the order flow from the Navy side is pretty good right now. And we've got a good line of sight to that. We already have a good backlog and we've got a lot of pretty significant pending work.

因此，我們對目前的情況感到非常滿意。我想說的是，目前海軍方面的訂單流相當順利。我們對此有很好的認識。我們已經有大量積壓工作，還有很多相當重要的待完成工作。

Great. Thank you.

偉大的。謝謝。

Tommy Moll, Stephens.

湯米·莫爾，史蒂芬斯。

Thanks for the follow up here. Just wanted to ask for a little more detail on the pro-forma capital structure. So I'm seeing $15 million is the interest expense that you've burdened the fiscal guidance with. I guess a two-part question here. How many days of the current quarter are included in that just so we can get to a close annual run rate again as we think about next year? And are you able to comment on the pro forma leverage profile thinking on like an all in full year basis, whatever time frame you want to use? And then how you anticipate that might tick down as you start to repay the debt? Thank you.

感謝您的關注。只是想詢問有關預測資本結構的更多細節。所以我看到 1500 萬美元是你給財政指導帶來的利息支出。我想這個問題可以分成兩個部分。當我們考慮明年時，為了能夠再次獲得接近的年度運行率，當前季度的天數被包括在內？並且，無論您想使用什麼時間範圍，您能否對全年的預測槓桿概況進行評論？那麼，當您開始償還債務時，您預計這一數字會如何下降？謝謝。

You bet. So first on the pro forma debt profile, what I would say is we expect this -- when we announced last July, we kind of communicated that we were expecting around a 3 times leverage. Now that we've closed, quite a bit later than we expected and we've had really good cash generation in the interim, we're just over a [2.2] at closing or right at a 2.2, sorry, at closing. So the ratio is really quite good at closing just based on kind of where we came in.

當然。因此，首先關於備考債務狀況，我想說的是，我們預計會出現這種情況——當我們去年 7 月宣布這一消息時，我們曾表示，我們預計槓桿率約為 3 倍。現在我們已經關閉了，比我們預期的要晚得多，在此期間我們獲得了非常好的現金流，我們在關閉時的利潤略高於 [2.2]，或者正好是 2.2，抱歉，是在關閉時。因此，僅從我們所處的階段來看，這個比率在收盤時確實相當不錯。

And as we look at cash, towards the end of the year and the paydown we can do from now until then, we would expect that number to drop below 2 for sure. More towards the mid-ones, let's say [1.6] or so in that ballpark. We don't necessarily give strict guidance there, but the point is we expect to be able to frankly continue to grow EBITDA and pay down debt such that the ratio is going to look better than it does today. So that's kind of how we're looking at capital structure right now.

當我們查看現金時，臨近年底以及從現在到那時我們可以償還的金額，我們預計這個數字肯定會降至 2 以下。更接近中間值，我們假設賠率在 1.6 左右。我們不一定會給出嚴格的指導，但重點是我們希望能夠坦率地繼續增加 EBITDA 並償還債務，以使該比率看起來比現在更好。這就是我們現在看待資本結構的方式。

And then, as far as number of days, I guess what I would tell you, Tommy is we really did run that out from the 25th. So we funded the deal on the 25th, sent the money out the door, that day. And we're borrowing right now on a term loan A, that we're paying close to 6.5 on. And we're borrowing on our revolver that we're paying right around 6 on. So those are kind of the numbers we're at. And we expect because of our pay down that we just that I just talked about, that we can lower those rates yet this fiscal year as we move to the different categories of our rate structure and our debt facilities, such that we can get those numbers, slightly below 6 on the revolver and slightly above 6 on the term loan A. So that's kind of how we've got it dialed in right now.

然後，就天數而言，我想我會告訴你，湯米，我們確實從 25 日開始就用完了。因此我們在 25 日為這筆交易提供了資金，並在當天就將資金發放出去。我們目前正在藉入一筆定期貸款 A，目前我們的還款額接近 6.5。我們用循環貸款來借錢，每月還款額約為 6 美元。這些就是我們所掌握的數字。而且我們預計，由於我們已經支付了款項，因此隨著我們轉向不同類別的利率結構和債務工具，我們可以在本財年降低這些利率，這樣我們就可以得到這些數字，循環貸款略低於 6，定期貸款 A 略高於 6。這就是我們現在所採取的措施。

Great. Thank you, Chris. That's all I needed. I'll turn it back.

偉大的。謝謝你，克里斯。這就是我所需要的。我會把它轉回去。

Thank you. I'm showing no further questions. I would now like to turn the call back to management for closing remarks.

謝謝。我沒有其他問題。現在我想請管理階層做最後發言。

Well, listen, thanks everyone for taking a few minutes to spend with us. As I said in the opening remarks, this is an exciting time at ESCO, and we will talk to you again in a quarter. Take care.

好吧，聽著，感謝大家花幾分鐘時間與我們交談。正如我在開場白中所說，這是 ESCO 激動人心的時刻，我們將在一個季度後再次與您交談。小心。

And this concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。