Elbit Systems Ltd (ESLT) 2025 Q2 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to Elbit Systems' second-quarter 2025 results conference call. (Operator Instructions) As a reminder, this conference is being recorded.

女士們、先生們，感謝你們的耐心等待。歡迎參加 Elbit Systems 2025 年第二季業績電話會議。（操作說明）提醒各位，本次會議正在錄音。

I would now like to hand over the call to Daniella Finn, Elbit Systems VP, Investor Relations. Daniella, please go ahead.

現在我將把電話交給埃爾比特系統公司投資者關係副總裁丹妮拉·芬恩。丹妮拉，請繼續。

Thank you, Ila. Good day, everyone, and welcome to our second-quarter 2025 earnings call. On the call with me today are Butzi Machlis, President and CEO; and Kobi Kagan, CFO. Before we begin, I would like to point out that the Safe Harbor statement in the company's press release issued earlier today also refers to the contents of this conference call. As usual, we will provide you with both GAAP financial data as well as certain supplement non-GAAP information.

謝謝你，伊拉。大家好，歡迎參加我們2025年第二季財報電話會議。今天和我一起通話的是總裁兼執行長 Butzi Machlis 和財務長 Kobi Kagan。在開始之前，我想指出，該公司今天早些時候發布的新聞稿中的「安全港」聲明也提到了本次電話會議的內容。我們將照例向您提供 GAAP 財務數據以及某些補充的非 GAAP 資訊。

We believe that this non-GAAP information provides additional detail to help understand the performance of the ongoing business. You can find all the detailed GAAP financial data as well as the non-GAAP information and the reconciliation in today's press release.

我們認為，這些非GAAP資訊提供了更多細節，有助於了解公司持續經營的表現。您可以在今天的新聞稿中找到所有詳細的 GAAP 財務數據以及非 GAAP 資訊和調整表。

As usual, Kobi will begin by providing a discussion of the financial results, followed by Butzi, who will talk about some of the significant developments during the quarter and beyond. We will then turn the call over to question-and-answer session.

像往常一樣，Kobi 將首先對財務業績進行討論，然後 Butzi 將談論本季度及以後的一些重大進展。然後我們將把通話轉入問答環節。

With that, I would like to now turn the call over to Kobi. Kobi, please go ahead.

接下來，我想把電話交給Kobe。科比，請繼續。

Thank you, Daniella. Hello, everyone, and thank you for joining us today. We are very pleased to announce another set of quarterly results with strong double-digit year-over-year growth across all parameters. We recorded growth across all business segments and geographies, especially in Europe as well as margin expansion. Backlog increased 12% from the corresponding quarter in 2024 and free cash flow generated this quarter totaled $71 million. I will now highlight and discuss some of the key figures and trends in our financial results this quarter.

謝謝你，丹妮拉。大家好，感謝各位今天收看我們的節目。我們非常高興地宣布，又一批季度業績報告顯示，所有指標均實現了強勁的兩位數年增長。我們在所有業務部門和地區都實現了成長，尤其是在歐洲，同時利潤率也得到了提升。積壓訂單比 2024 年同期成長了 12%，本季產生的自由現金流總計 7,100 萬美元。接下來，我將重點介紹並討論本季財務業績中的一些關鍵數據和趨勢。

Second-quarter 2025 revenues were $1.973 billion compared to $1.626 billion in the second quarter of 2024. In the second quarter of 2025, Europe contributed 29%; North America, 21%; Asia Pacific, 13% and Israel was 34% of revenues. Demand continued to be robust in all three geographies as evident in the higher sales in all geographies this quarter. GAAP gross margin in the second quarter was 24% of revenues compared to 24% in the second quarter of 2024. The non-GAAP margin for the second quarter was 24.4% of revenues compared to 24.4% in the second quarter of 2024.

2025 年第二季營收為 19.73 億美元，而 2024 年第二季營收為 16.26 億美元。2025 年第二季度，歐洲貢獻了 29% 的收入；北美貢獻了 21% 的收入；亞太地區貢獻了 13% 的收入；以色列貢獻了 34% 的收入。本季所有三個地區的銷售額均有所成長，顯示市場需求依然強勁。第二季 GAAP 毛利率為營收的 24%，而 2024 年第二季為 24%。第二季的非GAAP利潤率為營收的24.4%，而2024年第二季的利潤率為24.4%。

GAAP operating income for the second quarter was $157.8 million or 8% of revenues versus $116.5 million or 7.2% of revenues in the second quarter of 2024. Non-GAAP operating income was $175.1 million or 8.9% of revenues compared with $130.5 million or 8% of revenues in the second quarter of last year.

第二季 GAAP 營業收入為 1.578 億美元，佔營收的 8%，而 2024 年第二季為 1.165 億美元，佔營收的 7.2%。非GAAP營業收入為1.751億美元，佔營收的8.9%，去年第二季為1.305億美元，佔營收的8%。

We are very pleased with this margin expansion, which is a result of the company's joint effort to improve profitability. The operating expense breakdown in the second quarter was as follows: Net R&D expenses were $129.7 million or 6.6% of revenues compared to $116.8 million or 7.2% of revenues in the second quarter of 2024.

我們對利潤率的提升感到非常滿意，這是公司為提高獲利能力而共同努力的結果。第二季的營運費用明細如下：淨研發費用為 1.297 億美元，佔營收的 6.6%，而 2024 年第二季為 1.168 億美元，佔營收的 7.2%。

Elbit continues to invest in R&D to develop cutting-edge technological product and solutions, which will maintain Elbit's position as a market leader. Marketing and selling expenses were $91.5 million or 4.6% of revenues versus $87.7 million or 5.4% in the second quarter of 2024.

Elbit將繼續加大研發投入，開發尖端技術產品和解決方案，以維持其市場領導地位。行銷和銷售費用為 9,150 萬美元，佔收入的 4.6%，而 2024 年第二季為 8,770 萬美元，佔收入的 5.4%。

G&A expenses were $93.9 million or 4.8% of revenues compared to $68.7 million or 4.2% of revenues in the second quarter of 2024. The increase in G&A expenses for the second quarter of 2025 was mainly due to onetime expenses incurred during the current quarter. G&A expenses during the second quarter of 2024 were lower than average.

2024 年第二季一般及行政費用為 9,390 萬美元，佔營收的 4.8%，而 2024 年第二季為 6,870 萬美元，佔營收的 4.2%。2025 年第二季一般及行政費用增加主要是由於本季發生的一次性費用。2024年第二季的一般及行政費用低於平均。

Financial expenses were $31.2 million in the second quarter compared to $29.1 million in the second quarter of 2024. Financial expenses during the quarter were impacted by the relatively sharp fluctuations of exchange rate, by the strong free cash flow from the beginning of the year and from the offering proceeds that in the short-term decreased the company's loan portfolio.

第二季財務支出為 3,120 萬美元，而 2024 年第二季為 2,910 萬美元。本季財務支出受到匯率相對劇烈波動、年初強勁的自由現金流以及發行所得款項的影響，這些因素在短期內減少了公司的貸款組合。

We recorded a tax expense of $7.1 million in the second quarter compared to $11.3 million in the second quarter of 2024. The effective tax rate in the second quarter of 2025 was 5.6% compared to 13.2% in the second quarter of 2024.

第二季我們錄得的稅項支出為 710 萬美元，而 2024 年第二季則為 1,130 萬美元。2025 年第二季的實際稅率為 5.6%，而 2024 年第二季的實際稅率為 13.2%。

The decrease in effective tax rate for the second quarter of 2025 was mainly due to the increase in deferred tax assets and the settlement of tax assessments. GAAP diluted EPS was $2.69 for the second quarter of 2025 compared to $1.76 in the second quarter of 2024. Our non-GAAP diluted EPS was $3.23 for the second quarter of 2025 compared to $2.08 in the second quarter of 2024.

2025年第二季實際稅率下降主要是因為遞延所得稅資產增加和稅金評估結算。2025 年第二季 GAAP 稀釋後每股收益為 2.69 美元，而 2024 年第二季為 1.76 美元。2025 年第二季度，我們的非 GAAP 稀釋後每股收益為 3.23 美元，而 2024 年第二季為 2.08 美元。

Quarterly segment revenue for the second quarter of 2025. Aerospace revenue increased by 12% year over year, mainly due to increase in precision guided munition sales in Israel and Asia Pacific and UAS sales in Europe.

2025年第二季各業務部門季度營收。航空航太收入年增 12%，主要得益於以色列和亞太地區精確導引武器銷售額的成長以及歐洲無人機系統銷售額的成長。

C4I and Cyber revenues increased by 21% year over year, mainly due to radio systems and command and control system sales in Israel and in Europe. ISTAR and EW revenues increased by 15% in the second quarter of 2025, mainly due to electro-optical system sales in Israel and electronic warfare system sales in Europe. Land revenues increased by 45% in the second quarter of 2025 due to ammunition and munition sales in Israel and in Europe. Elbit Systems of America revenues increased by 4% due to the increase in maritime and warfighters systems sales.

C4I 和網路業務收入年增 21%，主要得益於以色列和歐洲的無線電系統和指揮控制系統銷售。2025 年第二季度，ISTAR 和 EW 收入成長了 15%，主要原因是以色列的光電系統銷售和歐洲的電子戰系統銷售。由於以色列和歐洲的彈藥銷售，2025 年第二季土地收入增加了 45%。由於海事和作戰系統銷售額的成長，美國埃爾比特系統公司的收入成長了 4%。

Our order backlog as of June 30, 2025, was $23.8 billion, $2.6 billion higher than the backlog at the end of the second quarter of 2024 and $626 million higher than the backlog in the first quarter of 2025. The increase in backlog during the quarter came mainly from new international orders. Approximately 68% of current backlog is delivered from orders outside of Israel. Approximately 46% of the current backlog is scheduled to be performed during the remainder of 2025 and during 2026, and the rest is scheduled for 2027 and beyond.

截至 2025 年 6 月 30 日，我們的訂單積壓額為 238 億美元，比 2024 年第二季末的積壓額高出 26 億美元，比 2025 年第一季末的積壓額高出 6.26 億美元。本季積壓訂單的增加主要來自新的國際訂單。目前積壓訂單中約有 68% 來自以色列以外的訂單。在目前積壓的工作中，約有 46% 計劃在 2025 年剩餘時間和 2026 年完成，其餘部分計劃在 2027 年及以後完成。

Cash flow provided by operating activities in the [six quarter] ended June 30, 2025, was $304 million as compared to $26 million in the six months ended June 30, 2024. The cash flow in the six months ended June 30, 2025, was affected mainly by the strong increase in net income. On the back of the continued strong financial performance of the company, the Board of Directors has decided to increase the dividend and declare a dividend of $0.75 per share, 50% higher than the dividend distributed last year and the second dividend raised this year.

截至 2025 年 6 月 30 日的六個季度，經營活動產生的現金流量為 3.04 億美元，而截至 2024 年 6 月 30 日的六個月期間為 2,600 萬美元。截至 2025 年 6 月 30 日的六個月期間，現金流主要受到淨收入大幅成長的影響。鑑於該公司持續強勁的財務表現，董事會決定提高股息，宣布派發每股 0.75 美元的股息，比去年派發的股息高出 50%，也是今年第二次提高股息。

I will now turn the call over to Mr. Machlis, Elbit's CEO. Butzi, please go ahead.

現在我將把電話轉交給埃爾比特公司的執行長馬赫利斯先生。布茲，請繼續。

Thank you, Kobi. Hello, everyone, and thank you again for joining us today. As Kobi just described, there are indeed expectational results with double-digit growth in all parameters of revenue and profitability growth across all our segments and year ago. I'm very pleased with these results. During the quarter, we carried out a successful share offering, raising $573 million net with demand for the shares offered reaching three times the initial amount.

謝謝你，Kobe。大家好，再次感謝各位今天收看我們的節目。正如 Kobi 剛才所描述的那樣，我們所有業務板塊的收入和盈利能力增長等各項指標均實現了兩位數的增長，確實達到了預期目標，並且比去年同期增長了兩位數。我對這些結果非常滿意。本季度，我們成功進行了股票發行，淨籌集資金 5.73 億美元，所發行股票的需求量達到初始數量的三倍。

These proceeds will help support and grow healthy future businesses, enabling us to increase our production capacity and deliver on the growing demand of our products. Additionally, these proceeds will potentially enable us to further expand via M&A activity, acquiring other new technologies or expanding our global reach. During the quarter, the contract between Israel and Iran had escalated and resulted in a 12-day campaign against Iran.

這些收益將有助於支持和發展健康的未來業務，使我們能夠提高生產能力，並滿足不斷增長的產品需求。此外，這些收益將有可能使我們能夠透過併購活動進一步擴張，收購其他新技術或擴大我們的全球業務範圍。本季度，以色列和伊朗之間的衝突升級，導致對伊朗發動了為期 12 天的軍事行動。

Since October 7 war, the Middle East has gone through significant changes in many aspects, thanks to the technological superiority of the idea. Elbit played a key role in supplying the ideas with our advanced technologies and solutions. This included the Hermes 900 drones armed with various payloads flying over the sky of the Iran as shown on social media.

自10月7日戰爭以來，中東在許多方面都發生了重大變化，這要歸功於該思想的技術優勢。Elbit 在提供創意方面發揮了關鍵作用，我們擁有先進的技術和解決方案。其中包括社交媒體上顯示的，攜帶各種有效載荷在伊朗上空飛行的 Hermes 900 無人機。

ISTAR system provided crucial and continuous information, which were a key factor in defending our [ports]. EW self-protection suites played a virtual role in protecting the IDF aircraft. Our trainers made sure pilots and other fighters were professionally trained for one of the most complicated missions ever carried out. I am extremely proud of all Elbit employees who took part in this important mission and of all who contributed to the development of solutions that supported the IDF during the conflict and since October 7. For all of this, I am truly grateful.

ISTAR系統提供了至關重要且持續的訊息，這對於保衛我們至關重要。[端口] 電子戰自衛系統在保護以色列國防軍飛機方面發揮了至關重要的作用。我們的教官確保飛行員和其他戰鬥人員接受專業訓練，以執行有史以來最複雜的任務之一。我為所有參與這項重要任務的埃爾比特員工感到無比自豪，也為所有為在衝突期間以及自 10 月 7 日以來支持以色列國防軍的解決方案的開發做出貢獻的人感到無比自豪。對此，我由衷地感激。

During the quarter and up until the announcement today, Elbit won additional significant new contracts. This morning, we announced we were awarded a contract worth $1.625 billion to deliver a range of defense solution to European country over the next five years.

在本季度以及今天宣布消息之前，Elbit 又贏得了幾份重要的新合約。今天上午，我們宣布獲得一份價值 16.25 億美元的合同，將在未來五年內向一個歐洲國家提供一系列國防解決方案。

Under the contract, Elbit will deliver a variety of its products and solutions, including a comprehensive military digitization and network combat solution as well as Torch-X C4ISR suite of command-and-control applications, advanced open capabilities (inaudible), a range of unmanned aerial systems such as Hermes 900, Skylark 3, loitering munitions, and the luminous soldier-level tactical drones among others.

根據合同，埃爾比特將提供各種產品和解決方案，包括全面的軍事數位化和網路作戰解決方案，以及 Torch-X C4ISR 指揮控制應用套件、先進的開放能力（聽不清）、一系列無人機系統（如 Hermes 900、Skylark 3）、巡飛彈和發光士兵級戰術無人機等。

The contract also included a range of ISTAR capabilities, including electric warfare and SIGINT systems. This contract, among others in Europe, marks another important milestone in Elbit expanding footprint in Europe and its growing operational across the continent -- its growing operations across the continent. A couple of weeks ago, Elbit was awarded a contract worth approximately $260 million by Airbus to supply its J-Music Direct Infra-Red Counter Measure, self-protected systems for installation on the German A400 transport aircraft.

該合約還包括一系列情報、監視、目標獲取和偵察 (ISTAR) 能力，包括電子戰和信號情報 (SIGINT) 系統。這份合同，連同在歐洲的其他合同，標誌著埃爾比特在歐洲擴大業務版圖和在整個歐洲大陸不斷增長的運營又邁出了重要一步。幾週前，埃爾比特公司從空中巴士公司獲得了一份價值約 2.6 億美元的合同，為其德國 A400 運輸機提供 J-Music 直接紅外線對抗和自保護系統。

We continue to gain traction with the (inaudible) launches in Europe, winning yet another contract in [European countries] for USD130 million. In May, we received a delivery order value of $110 million for SBNVG from the Marine Corps as part of the multiyear ID/IQ contract previously secured.

我們在歐洲的（聽不清楚）發布會上繼續取得進展，又在[歐洲國家]贏得了一份價值 1.3 億美元的合約。5 月，我們收到了海軍陸戰隊價值 1.1 億美元的 SBNVG 交付訂單，這是先前簽訂的多年期 ID/IQ 合約的一部分。

These systems will support the US Marine Corps missions in operation with low light and no light conditions worldwide. Elbit was also awarded a contract worth approximately $100 million to supply the advanced UT30, unmanned turret system to General Dynamics European Land Systems.

這些系統將支援美國海軍陸戰隊在全球低光照和無光照條件下的作戰任務。Elbit 還獲得了一份價值約 1 億美元的合同，向通用動力歐洲陸地系統公司供應先進的 UT30 無人砲塔系統。

The systems will be installed on the ASCOD-armored fighting vehicles and supplied to a NATO European country. These systems will enhance the firepower and survivability of the ASCOD vehicles. During the quarter, we were awarded several contracts valued approximately $330 million by international customers, including NATO member countries to supply a broad range of advanced naval technological and solutions, including electrical warfare and anti-submarine warfare systems, modernizing and upgrade programs, combat management systems and more.

這些系統將安裝在 ASCOD 裝甲戰車上，並交付給北約歐洲國家。這些系統將增強 ASCOD 車輛的火力和生存能力。本季度，我們從包括北約成員國在內的國際客戶處獲得了價值約 3.3 億美元的多份合同，為客戶供應各種先進的海軍技術和解決方案，包括電子戰和反潛戰系統、現代化和升級計劃、作戰管理系統等等。

And last but not least, two days ago, we announced two contract wins for about $250 million for the supply of airborne munitions to the Israeli Minister of Defense. Despite some delays due to the ongoing conflicts in our region, we are progressing well with the Ramat Beka site.

最後，也是非常重要的一點，兩天前，我們宣布贏得了兩份價值約 2.5 億美元的合同，將向以色列國防部長供應空降彈藥。儘管由於我們地區持續不斷的衝突而造成了一些延誤，但拉馬特貝卡工地的建設進展順利。

Construction is continuing and initial production are expected towards the end of this year. This production site will be a state of the art and will include automated AI and robotic solutions and platforms to enable utmost facility efficiencies. I'm truly inspired by our employees' dedication and commitment to the company and would like to personally thank each and every one of our employees for contributing immensely to the success of the company. It wouldn't be possible without you.

建設工作仍在繼續，預計今年底開始投產。該生產基地將採用最先進的技術，包括自動化人工智慧和機器人解決方案及平台，以實現最高的設施效率。我深受員工們對公司的奉獻和投入所鼓舞，並想親自感謝每一位員工為公司的成功做出的巨大貢獻。如果沒有你，這一切都不可能實現。

And with that, we will be happy to answer your questions. Operator?

那麼，我們將很樂意回答您的問題。操作員？

(Operator Instructions) Jordan Lyonnais, Bank of America.

（操作員說明）喬丹·里昂內斯，美國銀行。

Going into the back half of the year, how should we think about the margin expansion and what's going to drive that?

進入下半年，我們該如何看待利潤率擴張，以及什麼因素將推動利潤率擴張？

Thank you, Jordan, for the question. We are paying a lot of attention and a lot of effort into expanding our margins, as demonstrated in the last three years where we enjoyed around 3% margin expansion. As we demonstrated in the past, we are committed to continue improving the margin by our new OneERP system, for instance, by operational leverage that is playing an important factor in the margin expansion and by other means.

謝謝你的提問，喬丹。我們非常重視並投入大量精力來擴大利潤率，過去三年我們實現了約 3% 的利潤率成長，這便是最好的證明。正如我們過去所證明的那樣，我們致力於透過新的 OneERP 系統等方式繼續提高利潤率，例如透過營運槓桿（這在利潤率擴張中發揮了重要作用）以及其他方式。

Got it. And then if I could too, could you guys give any updates on R&D or what you're seeing in the supply chain, specifically for SRM?

知道了。如果可以的話，能否請各位介紹研發​​方面的最新進展，或是你們在供應鏈方面看到的情況，特別是SRM方面的情況？

Yeah. We are developing and delivering the high-power laser source for the Iron Beam solution. The Iron Beam solution is led by Rafael, who are the main integrator of the system. However, the laser part is coming from us. And we are starting the delivery -- we are starting to deliver the first unit to Rafael for integration quite soon, and we expect to deploy the system by the end of this year.

是的。我們正在為鐵束解決方案開發和提供高功率雷射光源。Iron Beam 解決方案由 Rafael 公司主導，該公司是該系統的主要整合商。但是，雷射部分是我們提供的。我們即將開始交付——我們很快就會向拉斐爾公司交付第一台設備進行集成，預計到今年年底即可部署該系統。

In parallel, we are developing the prime and airborne high-power solutions for the Israeli Air Force, and there is a lot of interest for this solution for other customers, international customers as well globally.

同時，我們正在為以色列空軍開發主武器和機載高功率解決方案，其他客戶，包括國際客戶以及全球客戶，對這種解決方案也表現出濃厚的興趣。

Sheila Kahyaoglu, Jefferies.

Sheila Kahyaoglu，傑富瑞集團。

Maybe just if we could start on the top line. Year-to-date growth of 22% is pretty phenomenal, derisks even the mid-teens growth guidance for the year. How do we think about the deceleration in the second half and outlook for '26 as you think about capacity utilization and all these new orders coming in?

或許我們可以從最頂層開始。今年迄今的成長率為 22%，相當驚人，甚至降低了全年 15% 左右的成長預期風險。考慮到產能利用率和所有這些新訂單，我們如何看待下半年的經濟放緩以及2026年的前景？

Sheila, Kobi. As you know, we mentioned that we are looking at 2025 at mid-teens. And this is our internal target. And looking forward, of course, to 2026, again, our internal targets are double-digit growth also for next year. And I believe that the announcement this morning, of course, will support the backlog required to facilitate double-digit growth.

希拉，科比。如你所知，我們之前提到過，我們預計到 2025 年左右，也就是十幾歲的時候。這就是我們的內部目標。當然，展望 2026 年，我們的內部目標仍然是明年實現兩位數的成長。當然，我相信今天早上的公告將有助於滿足兩位數成長所需的訂單積壓。

So beyond that, we are -- beyond that, we -- as you know, our policy is not to give guidance. So this is actually our internal targets and what we can provide.

所以除此之外，我們——除此之外，我們——正如你所知，我們的政策是不提供指導。所以，這實際上是我們的內部目標以及我們能夠提供的服務。

Maybe any detail you could give on the segments. Obviously, land 45% growth in Q2, pretty spectacular, tracking ahead of your soft commentary on the $2.25 billion for the year. How long is that sustainable? And aerospace is also doing quite well. And when we think about the new artillery award, it comes into -- just confirming, it would be in the land segment?

您能否提供一些關於這些部分的細節？顯然，第二季成長了 45%，相當驚人，超過了你先前對全年 22.5 億美元的保守預測。這種情況能持續多久？航空航太業也發展得相當不錯。當我們考慮新的砲兵獎時，需要確認的是，它是否屬於陸軍領域？

So as you mentioned, Sheila, all segments actually did very well and we had growth across all segments. As we mentioned, land is especially became the best segment now in Elbit with 45% increase year over year and almost more than $550 million. That will drive additional -- we believe, additional growth in this segment, which enjoys very high demand for all the leading products.

正如你所說，Sheila，所有業務板塊的表現都非常好，所有業務板塊都實現了成長。正如我們所提到的，土地目前已成為 Elbit 最好的板塊，年增 45%，接近 5.5 億美元。我們相信，這將推動該細分市場的進一步成長，該細分市場對所有領先產品的需求都非常高。

And as we mentioned, it's not just ammunition but also Iron Fist. We have the SIGMA, which is the new Howitzer, which we're starting supplying now to the IDF, and also the Rampage missile, which was heavily used during the 12 days Iran war, and that enjoys also domestic and international demand. We believe that this segment is going to continue to grow in revenue and also expand also the margins -- further expand the margins.

正如我們所提到的，這不僅僅是彈藥，還有鐵拳。我們有新型榴彈砲 SIGMA，我們現在開始向以色列國防軍供應這種榴彈砲；還有 Rampage 飛彈，這種飛彈在 12 天的伊朗戰爭中被大量使用，並且在國內和國際上也都有需求。我們相信，這項業務板塊的營收將持續成長，利潤率也將進一步擴大。

Great. And one last one, if I may. Great job on turning around ESA. How could we think about what's left to do there, whether it's restructuring or legacy dilutive contracts?

偉大的。如果可以的話，我最後一個問題。扭轉歐洲太空總署的頹勢，幹得漂亮！我們該如何思考接下來還需要做些什麼，無論是重組還是處理遺留的稀釋性合約？

As we mentioned, we have turned around ESA. ESA was recording a loss in 2023, and we see expansion in the margins with, as you mentioned, with flushing out losing contracts. Next quarter, Q3, will be the last quarter of Sparton, a maritime company with the last quarter losing contracts. That will allow us to further increase -- to further expand the margins in Elbit Systems, America this year and always will secure next year continued expansion in margin.

正如我們之前提到的，我們已經扭轉了歐洲太空總署的局面。ESA 在 2023 年錄得虧損，正如您所提到的，隨著虧損合約的清理，我們看到利潤空間擴大。下一個季度，也就是第三季度，將是斯巴頓海運公司的最後一個季度，該公司在最後一個季度失去了合約。這將使我們能夠進一步提高——進一步擴大 Elbit Systems, America 今年的利潤率，並始終確保明年利潤率的持續成長。

(Operator Instructions)

（操作說明）

Hi, Ila. It's Daniela, and I have a couple of questions from an investor who sent it to me over e-mail. The first question is given the strong demand for UAS counter-drone measures, what are the company's plans for future development? And could you also address the issue of potential exports of these solutions to Europe and to the US?

你好，伊拉。我是丹妮拉，一位投資者透過電子郵件向我提出了幾個問題。第一個問題是，鑑於無人機系統反無人機措施的強烈需求，該公司未來的發展計畫是什麼？您能否也談談這些解決方案出口到歐洲和美國的潛在問題？

Thank you, Daniella. We have a system by the name of ReDrone, and this system is actually a combination of several technologies for the company, several technology for detections and several technologies for effectors. And talking about detections, there are radar technologies, EO technologies, SIGINT technologies, and others. And talking about effectors, there are soft-kill technologies, like jamming, energy weapon solutions and hard-kill solutions as well.

謝謝你，丹妮拉。我們有一個名為 ReDrone 的系統，該系統實際上是該公司幾種技術的組合，包括幾種用於探測的技術和幾種用於執行器的技術。說到偵測技術，有雷達技術、光電技術、訊號情報技術等等。說到效應器，有軟殺傷技術（如乾擾、能量武器解決方案）和硬殺傷解決方案。

All of these are combined together into a coherent solution. The name of this system is ReDrone. This system was delivered and heavily used successfully by the IDF in Israel. And I'm happy to say that it was also exported to other countries. We have a handful of customers abroad.

所有這些因素結合起來，形成了一個連貫的解決方案。系統的名稱是 ReDrone。該系統已交付以色列國防軍，並在以色列成功廣泛使用。我很高興地告訴大家，它也出口到了其他國家。我們在國外有一些客戶。

One of them is the Dutch Army who have chosen this system and there are additional country in NATO which acquired the system from us, and there are other customers around the globe for their system as well. This is actually -- this system is a combination of many good technologies from the company and all fueled together with AI, and we believe that this is one of the most advanced solutions, which is available in the market right now.

其中之一是選擇了這套系統的荷蘭軍隊，北約還有其他國家從我們這裡購買了這套系統，此外，全球還有其他客戶也在使用這套系統。實際上，這個系統結合了該公司許多優秀的技術，並全部由人工智慧驅動，我們相信這是目前市場上最先進的解決方案之一。

Thank you, Butzi. And the second question from [Henri from Excellence]. It's with regards to CapEx investments. So we saw during the quarter a total amount of $72 million, which is lower than the figure in the corresponding quarter last year. What can we expect in terms of the pace of capital investments during the year? And what is the total expenditure expected for 2025?

謝謝你，布茲。第二個問題來自[來自 Excellence 的亨利]這是關於資本支出投資的問題。因此，本季總金額為 7,200 萬美元，低於去年同期的數字。今年資本投資的步伐會如何？預計2025年的總支出是多少？

As mentioned in the first quarter, we enjoyed the governmental evacuation funds from the Israeli Land Authority. And that drove Q1 CapEx investment down. The running rate of the CapEx investment is around $250 million, and we are currently looking at expanding the investment based on the follow-on offering that money that was received during May.

正如第一季所述，我們獲得了以色列土地管理局提供的政府撤離資金。這導致第一季資本支出投資下降。資本支出投資的運行速度約為 2.5 億美元，我們目前正在考慮根據 5 月收到的後續發行資金來擴大投資。

Thank you, Kobi. And the final question from [Ken] regarding the Israel geopolitical positioning. On one hand, we are seeing a lot of demand for defense security applications. On the other hand, Israel is in a tough geopolitical predicament. How is the company experiencing these difficulties, obviously, apart from the big announcement that we saw this morning?

謝謝你，Kobe。肯恩提出的最後一個問題是關於以色列的地緣政治地位。一方面，我們看到對國防安全應用的需求很大。另一方面，以色列正處於艱難的地緣政治困境之中。除了我們今天早上看到的重大公告之外，該公司顯然還面臨哪些困難？

Yes. So I would like to say that, Daniella, as you mentioned, there is a growing demand for defense solution right now worldwide. And Elbit is in a unique position to offer a very advanced portfolio. And like you saw this morning in our announcement, actually, what we are able to provide is an integrated solution for customers. We are able to sit with the customer and to help him, to shape transformation for his forces.

是的。所以我想說的是，丹妮拉，正如你所說，目前全球對國防解決方案的需求正在增加。埃爾比特系統公司擁有獨特的優勢，能夠提供非常先進的產品組合。正如您今天早上在我們的公告中看到的那樣，我們實際上能夠為客戶提供的是一體化解決方案。我們能夠與客戶坐下來，幫助他，為他的團隊制定變革方案。

And this is based on the operational experience we have and the very wide portfolio we have, connecting all the dots to get into one coherent very advanced solution, which enable a country to leapfrog with its operational capability. Such kind of partnership that Elbit is able to offer is very unique. And we are in a very unique position here.

這是基於我們擁有的營運經驗和非常廣泛的產品組合，將所有環節連接起來，形成一個連貫的、非常先進的解決方案，使一個國家的營運能力能夠跨越式發展。Elbit能夠提供的這種合作關係非常獨特。我們現在處境非常特殊。

And I can say that there is a lot of interest for many, many customers worldwide to understand the breadth of the portfolio we have, the operational experience we have, and we have very good -- there are many, many discussions every day with many customers in Europe as well as in other places to try to understand how we are doing what we did in Iran, for example, and to understand also what is exportable and how we can help these countries to get such capabilities for themselves as well.

我可以肯定地說，全球許多客戶都非常有興趣了解我們產品組合的廣度、我們的營運經驗，而且我們每天都與歐洲和其他地區的許多客戶進行大量的討論，試圖了解我們是如何開展例如在伊朗開展的工作的，以及哪些工作可以出口，以及我們如何幫助這些國家也獲得類似的能力。

On top of this, I would like to mention that we are working abroad mainly via our subsidiaries. We have about 40 subsidiaries worldwide, quite a lot in Europe as well, almost all over the continent. So actually, what we are offering to our customer is not buying directly from Elbit Israel. We are also enabling our customers to work via the subsidiaries and which helps them to speak their own language and to do developments locally, to do production locally, to create jobs, to boost their economies.

此外，我還想提一下，我們主要透過子公司在海外開展業務。我們在全球擁有約 40 家子公司，其中在歐洲也有很多，幾乎遍布整個歐洲大陸。所以實際上，我們提供給客戶的並不是直接從以色列埃爾比特公司購買的產品。我們也讓客戶能夠透過子公司開展工作，這有助於他們用自己的語言進行本地開發、本地生產，創造就業機會，從而促進經濟發展。

And this is also a very unique position that we are in, and that's also a big advantage that we have. And on top of this, we are working also with many partners abroad. And just to give you an example, in Germany, as we've just mentioned, we are working with Airbus to promote our DIRCM system model, A400. We are working with [Bill] and with KNDS to promote the PULS and the rocket solutions, not just for Germany, also for Europe.

這也是我們所處的一個非常獨特的位置，也是我們的一大優勢。除此之外，我們也與許多海外合作夥伴合作。舉個例子來說，正如我們剛才提到的，在德國，我們正在與空中巴士合作推廣我們的DIRCM系統型號A400。我們正在與[比爾]和KNDS合作，推廣PULS和火箭解決方案，不僅面向德國，也面向歐洲。

So actually, we are in a unique position to offer very advanced solutions based on our wide portfolio, operational experience, and local jobs to support the local economies. Now I believe that it's true that, in some cases, for example, in France, which is not a customer of Elbit in general, there are some resistance to buy from Israeli companies.

因此，實際上，憑藉我們廣泛的產品組合、營運經驗和本地就業機會，我們處於獨特的優勢，可以提供非常先進的解決方案來支持當地經濟。現在我相信，在某些情況下，例如在法國（法國通常不是 Elbit 的客戶），確實存在一些對購買以色列公司產品的抵觸情緒。

But altogether, I can tell you that the potential that we are seeing is huge. We've never faced so many opportunities like we face today. And I believe that we are in a unique position to continue the growth of the company in the near future.

但總的來說，我可以告訴你，我們所看到的潛力是巨大的。我們從未像今天這樣面臨如此多的機會。我相信，我們擁有得天獨厚的優勢，能夠在不久的將來繼續推動公司發展。

There are no further questions at this time. Before I ask Mr. Machlis to go ahead with his closing statement, I would like to remind participants that a replay of this call will be available two hours after the conference ends. In the US please call 1-888-782-4291. In Israel, please call 03-925-5900. And internationally, please call 9723-925-5900. A replay of the call will also be available at the company's website at www.elbitsystems.com.

目前沒有其他問題了。在請馬赫利斯先生作總結發言之前，我想提醒各位與會者，這次電話會議的錄音將在會議結束後兩小時提供。在美國請撥 1-888-782-4291。在以色列，請撥打 03-925-5900。國際用戶請撥 9723-925-5900。電話會議的錄音回放也可在公司網站 www.elbitsystems.com 上收聽。

Mr. Machlis, would you like to make a concluding statement?

馬赫利斯先生，您想作總結發言嗎？

Thank you. I'd like to thank everyone on the call for joining us today and for your continued trust and support of Elbit. Have a good day, and goodbye.

謝謝。我要感謝今天所有參加電話會議的各位，感謝你們一直以來對埃爾比特公司的信任與支持。祝你今天過得愉快，再見。

Thank you. This concludes the Elbit Systems Ltd., second-quarter 2025 results conference call. Thank you for your participation. You may now go ahead and disconnect.

謝謝。埃爾比特系統有限公司 2025 年第二季業績電話會議到此結束。感謝您的參與。您現在可以斷開連線了。