Ferguson Enterprises Inc (FERG) 2025 Q1 法說會逐字稿

Good morning, all, and thank you for joining us for Ferguson's first-quarter conference call.

大家早安，感謝您參加我們弗格森第一季的電話會議。

My name is [Carl] and I'll be coordinating your call today.

我的名字是[卡爾]，今天我將協調您的電話。

(Operator Instructions)

（操作員說明）

I'd now like to hand over to your host, Brian Lantz, Ferguson's VP of Investor Relations and Communications.

現在我想將會議交給主持人、費格森公司投資人關係與傳播副總裁布萊恩‧蘭茨 (Brian Lantz)。

You may now begin the conference.

您現在可以開始會議了。

Good morning, everyone, and welcome to Ferguson's first-quarter earnings conference call and webcast.

大家早安，歡迎來到弗格森第一季財報電話會議和網路廣播。

Hopefully, you've had a chance to review the earnings announcement we issued this morning.

希望您有機會查看我們今天早上發布的收益公告。

The announcement is available in the investors section of our corporate website and on our SEC filings web page.

該公告可在我們公司網站的投資者部分和我們的 SEC 備案網頁上查看。

Recording of this call will be made available later today.

本次通話的錄音將於今天稍晚提供。

I want to remind everyone that some of our statements today may be forward looking and are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected, including the various risks and uncertainties discussed in our Form 10-K available on the SEC's website.

我想提醒大家，我們今天的一些聲明可能是前瞻性的，並受到某些風險和不確定性的影響，這些風險和不確定性可能導致實際結果與預測結果有重大差異，包括我們在10- K 表格中討論的各種風險和不確定性，該表格可在美國證券交易委員會的網站上。

Also, any forward-looking statements represent the company's expectations only as of today, and we disclaim any obligation to update these statements.

此外，任何前瞻性陳述僅代表本公司截至目前的預期，我們不承擔更新這些陳述的義務。

In addition, on today's call, we will also discuss certain non-GAAP financial measures.

此外，在今天的電話會議上，我們還將討論某些非公認會計準則財務指標。

Please refer to our earnings presentation and announcement on our website for additional information regarding those non-GAAP measures, including reconciliations to the most directly comparable GAAP financial measures.

請參閱我們網站上的收益演示和公告，以了解有關這些非公認會計準則衡量標準的更多信息，包括與最直接可比的公認會計準則財務衡量標準的調節表。

With me on the call today are Kevin Murphy, our CEO; and Bill Brundage, our CFO.

今天與我一起參加電話會議的是我們的執行長凱文墨菲 (Kevin Murphy)；和我們的財務長比爾·布倫戴奇。

I will now turn the call over to Kevin.

我現在會把電話轉給凱文。

Thank you, Brian, and welcome, everyone, to Ferguson's first-quarter results conference call.

謝謝布萊恩，歡迎大家參加費格森第一季業績電話會議。

On today's call, I'll cover highlights from our first-quarter performance.

在今天的電話會議上，我將介紹我們第一季業績的亮點。

I'll also provide a more detailed view of our performance by end market and by customer group before turning the call over to Bill for the financials.

在將電話轉給比爾詢問財務數據之前，我也會更詳細地介紹我們按終端市場和客戶群劃分的業績。

I'll then come back at the end to give some closing comments before Bill and I take your questions.

最後我會在比爾和我回答你們的問題之前給一些結束語。

Again, in the first quarter, our associates have remained focused on execution and on customer service.

同樣，在第一季度，我們的員工仍然專注於執行和客戶服務。

We continue to outperform broader markets with sales of $7.8 billion, nearly 1% ahead of last year despite market headwinds and deflation of approximately 2%.

儘管面臨市場逆風和約 2% 的通貨緊縮，但我們的表現繼續跑贏大盤，銷售額達 78 億美元，比去年增長近 1%。

Gross margins were resilient, and we continue to manage operating costs, focusing on servicing volumetric growth and continued investment in our business.

毛利率具有彈性，我們繼續管理營運成本，專注於服務銷售成長和對業務的持續投資。

We delivered adjusted operating profit of $706 million, representing a 9.1% adjusted operating margin.

我們實現調整後營業利潤 7.06 億美元，調整後營業利益率為 9.1%。

Adjusted diluted earnings per share of $2.45 was down 7.5% on the prior year.

調整後攤薄每股收益為 2.45 美元，比上年下降 7.5%。

This year has largely started out as expected, with volume growth offset by continued price deflation in commodity-based products.

今年開局基本上符合預期，但大宗商品價格持續下跌抵消了銷售成長。

Our balanced business mix and our ability to deploy scale locally gives us confidence in our continued outperformance as our markets return to growth.

我們均衡的業務組合和在本地部署規模的能力使我們對隨著市場恢復成長而持續表現出色充滿信心。

Turning to our performance by end market in the United States.

轉向我們在美國終端市場的表現。

Net sales grew by 0.5%.

淨銷售額成長 0.5%。

Residential end markets, which comprise approximately half of US revenue, saw similar activity levels to the fourth quarter.

住宅終端市場約占美國營收的一半，其活動水準與第四季相似。

Both new residential construction and repair maintenance and improvement markets have been down compared to the prior year.

與前一年相比，新住宅建設以及維修保養和改善市場均有所下降。

And we continued to outperform with overall residential revenue flat in the first quarter.

我們的表現持續優於大盤，第一季整體住宅收入持平。

Nonresidential markets were slightly more resilient, but also remained down year over year with activity levels similar to the fourth quarter.

非住宅市場的彈性稍強，但仍較去年同期下降，活動水準與第四季相似。

We continue to take share with total revenue growth of approximately 1%.

我們繼續佔據總收入成長約 1% 的份額。

Sales in civil infrastructure and industrial were stronger with commercial flat.

民用基礎設施和工業銷售強勁，其中商業公寓銷售強勁。

We've continued to see solid shipments, open order volumes, and bidding activity on large capital projects.

我們繼續看到穩定的出貨量、未平倉訂單量以及大型資本項目的投標活動。

And our intentional balanced market exposure continues to position us well.

我們有意平衡的市場曝險繼續使我們處於有利地位。

Moving now to revenue performance across our customer groups in the United States.

現在轉向我們美國客戶群的收入表現。

Residential trade plumbing grew by 1%, sequentially consistent with both the third and fourth quarters despite headwinds in both new and repair maintenance and improvement construction as well as continued price deflation.

儘管新建、維修、維護和改善建設都面臨阻力，而且價格持續通縮，但住宅管道貿易成長了 1%，與第三季和第四季的季比一致。

HVAC grew by 10% as we continue to invest in distinct growth initiatives, including servicing the dual trade contractor.

隨著我們繼續投資於獨特的成長計劃，包括為雙重貿易承包商提供服務，暖通空調 (HVAC) 成長了 10%。

Residential building and remodel revenues were down 1%, similar to the past couple of quarters.

住宅建築和改建收入下降 1%，與過去幾季類似。

The higher-end remodel market continues to hold up better than the broader remodel market.

高端改造市場繼續比更廣泛的改造市場表現得更好。

And residential digital commerce declined by 8% as consumer demand remained weak.

由於消費者需求依然疲軟，住宅數位商務下降了 8%。

Waterworks revenues were up 3%, with activity in public works, general municipal and meters and metering technology offsetting weakness in residential.

自來水廠收入成長了 3%，公共工程、一般市政和儀表以及計量技術領域的活動抵消了住宅領域的疲軟。

Our diversification efforts into geosynthetics and soil stabilization continue to position us well for growth.

我們在土工合成材料和土壤穩定方面的多元化努力繼續為我們的成長奠定了良好的基礎。

The commercial/mechanical customer group grew by 1% on top of a strong 6% prior year comparable driven by large capital projects such as data centers, partially offset with weaker activity in traditional nonresidential projects.

在數據中心等大型資本項目的推動下，商業/機械客戶群在去年強勁的 6% 基礎上增長了 1%，部分抵消了傳統非住宅項目活動疲軟的影響。

Our industrial fire and fabrication and facilities supply customer groups delivered a combined net sales decline of 6%, heavily impacted by commodity deflation and steel pipe against a flat comparable.

我們的工業消防、製造和設施供應客戶群的綜合淨銷售額下降了 6%，受到大宗商品通貨緊縮和鋼管與可比同類產品的嚴重影響。

We remain committed to a broad and balanced end market exposure, driving productivity for our specialized professional customers and maximizing value to the total project.

我們仍然致力於廣泛而平衡的終端市場曝光，提高我們專業客戶的生產力，並最大限度地提高整個專案的價值。

Now let me pass you over to Bill to cover the financial results in more detail.

現在讓我請比爾來更詳細地介紹財務表現。

Thank you, Kevin, and good morning, everyone.

謝謝你，凱文，大家早安。

Net sales of $7.8 billion were 0.8% ahead of last year, driven by an organic revenue decline of 0.3%, offset by acquisition growth of 1.1%.

淨銷售額為 78 億美元，比去年增長 0.8%，這是由於有機收入下降 0.3%，但被 1.1% 的收購成長所抵消。

On a volumetric basis, total volume increased by approximately 3%, with organic volume up approximately 2%.

以體積計算，總體積增加了約 3%，其中有機體積增加了約 2%。

Continued weakness in certain commodity-related categories drove modest overall price deflation of around 2%.

某些大宗商品相關類別的持續疲軟導致整體價格小幅通貨緊縮，約 2%。

Gross margin was 30.1%, a decrease of 10 basis points over last year.

毛利率為30.1%，較去年下降10個基點。

Operating cost growth was driven by volumetric growth, inflation, and continued investment in organic growth capabilities, including our annual trainee class, HVAC expansion efforts, large capital project teams, and investments in digital tools.

營運成本成長是由容量成長、通貨膨脹以及對有機成長能力的持續投資所推動的，包括我們的年度培訓班、暖通空調擴張工作、大型資本專案團隊以及對數位工具的投資。

Adjusted operating profit of $706 million was down $67 million, delivering a 9.1% adjusted operating margin.

調整後營業利潤為 7.06 億美元，減少了 6,700 萬美元，調整後營業利潤率為 9.1%。

Adjusted diluted EPS of $2.45 was 7.5% lower than last year driven by lower adjusted operating profit, partially offset by the impact of share repurchases.

調整後攤薄每股收益為 2.45 美元，比去年下降 7.5%，原因是調整後營業利潤下降，但部分被股票回購的影響所抵銷。

And our balance sheet remains strong at 1.2 times net debt to adjusted EBITDA.

我們的資產負債表依然強勁，淨負債與調整後 EBITDA 比率為 1.2 倍。

Moving to our segment results.

轉向我們的細分結果。

Net sales in the US grew by 0.5% with an organic decline of 0.4%, offset by a 0.9% contribution from acquisitions.

美國淨銷售額成長 0.5%，有機下降 0.4%，但被收購帶來的 0.9% 貢獻所抵銷。

Adjusted operating profit of $697 million decreased $69 million over the prior year, delivering an adjusted operating margin of 9.5%.

調整後營業利潤為 6.97 億美元，比上年減少 6,900 萬美元，調整後營業利潤率為 9.5%。

In Canada, net sales were 6.3% ahead of last year, with organic growth of 1.3% and a 5.6% contribution from acquisitions, partially offset by a 0.6% adverse impact from foreign exchange rates.

在加拿大，淨銷售額比去年成長 6.3%，有機成長 1.3%，收購貢獻 5.6%，部分被匯率 0.6% 的不利影響所抵銷。

Markets have been broadly similar to that of the United States with nonresidential activity remaining more resilient than residential.

市場與美國市場大致相似，非住宅活動仍比住宅活動更具彈性。

Adjusted operating profit of $23 million in the quarter was flat to last year.

該季度調整後營業利潤為 2,300 萬美元，與去年同期持平。

Moving to our cash performance.

轉向我們的現金表現。

Working capital investments of $376 million during the first quarter were a touch higher than historical seasonal trends, due to timing and investments in HVAC to support our growth initiatives as well as the transition to new efficiency standards.

第一季的營運資本投資為 3.76 億美元，略高於歷史季節性趨勢，這是由於 HVAC 的時機和投資支持我們的成長計劃以及向新效率標準的過渡。

As a result, operating cash flow was $345 million in the quarter.

因此，該季度的營運現金流為 3.45 億美元。

We have continued to invest in organic growth through CapEx, investing $77 million resulting in free cash flow of $274 million in the first quarter.

我們繼續透過資本支出投資於有機成長，投資了 7,700 萬美元，導致第一季的自由現金流達到 2.74 億美元。

Turning to capital allocation.

轉向資本配置。

As previously noted, we invested $77 million of CapEx into the business in the first quarter to build on our competitive advantages and drive above-market organic growth.

如前所述，我們在第一季向該業務投資了 7,700 萬美元的資本支出，以增強我們的競爭優勢並推動高於市場的有機成長。

We're investing in areas such as counter conversions to sell both HVAC and plumbing material to a growing segment of dual trade professionals.

我們正在投資櫃檯改造等領域，向越來越多的雙重貿易專業人士銷售暖通空調和管道材料。

We're also investing to optimize our supply chain network for a combination of automation, efficiency, and expansion.

我們也投資優化我們的供應鏈網絡，以實現自動化、效率和擴展的結合。

And we continue to invest in digital tools and technology.

我們繼續投資數位工具和技術。

We raised our dividend 5% over the prior year to $0.83 per share for this quarter, reflecting our confidence in the business and cash generation.

本季我們的股息比去年同期提高了 5%，達到每股 0.83 美元，反映了我們對業務和現金產生的信心。

We continue to consolidate our fragmented markets through bolt-on geographic and capability acquisitions.

我們繼續透過補強地理和能力收購來鞏固分散的市場。

We are pleased to announce two completed acquisitions, Fresno Pipe and Supply and Templeton.

我們很高興地宣布完成兩項收購：Fresno Pipe and Supply 和 Templeton。

And finally, we are committed to returning surplus capital to shareholders when we are below the low end of our target leverage range of 1 to 2 times net debt to adjusted EBITDA.

最後，當我們低於調整後 EBITDA 淨債務 1 至 2 倍的目標槓桿範圍下限時，我們致力於將剩餘資本返還給股東。

We returned $256 million to shareholders via share repurchases this quarter, reducing our share count by approximately 1.3 million.

本季我們透過股票回購向股東返還了 2.56 億美元，股票數量減少了約 130 萬股。

And we ended the quarter with approximately $600 million outstanding under the current share repurchase program.

截至本季末，根據目前的股票回購計劃，我們尚未償還的資金約為 6 億美元。

Moving on to our fiscal 2025 guidance.

接下來是我們的 2025 財政年度指導。

As Kevin said, the year has started largely as we expected.

正如凱文所說，今年的開局基本上符合我們的預期。

And as a result, our guidance is unchanged.

因此，我們的指導意見沒有改變。

We expect net sales to grow in the low single-digit range based on our markets being down low single digits, inclusive of pricing being slightly down for the year driven by ongoing deflation in commodity-based products.

我們預計淨銷售額將在低個位數範圍內成長，因為我們的市場下降了低個位數，其中包括因商品產品持續通貨緊縮而導致的今年定價小幅下降。

We expect continued market outperformance of approximately 300 to 400 basis points and just under a 1% contribution from already completed acquisitions, which is partially offset by one fewer sales day in the third quarter.

我們預期市場表現將持續優於市場約 300 至 400 個基點，且已完成收購的貢獻略低於 1%，但第三季銷售日減少部分抵銷了這項貢獻。

We expect an adjusted operating margin range between 9% to 9.5%.

我們預計調整後的營業利潤率範圍為 9% 至 9.5%。

Interest expense will be between $180 million to $200 million.

利息支出將在 1.8 億至 2 億美元之間。

Our adjusted effective tax rate will be approximately 26%, and we expect to invest between $400 million to $450 million in CapEx.

我們調整後的有效稅率約為 26%，我們預計在資本支出上投資 4 億至 4.5 億美元。

We believe that our strong balance sheet, agile business model, balanced end market exposure, and continued investment, positions us well for the future.

我們相信，我們強大的資產負債表、靈活的業務模式、平衡的終端市場曝險以及持續的投資使我們為未來做好了準備。

Thank you, and I'll now pass back to Kevin.

謝謝，我現在將回傳給凱文。

Thank you, Bill.

謝謝你，比爾。

As we conclude our remarks, let me first reiterate how proud we are of our associates, who have displayed disciplined execution in an environment characterized by market headwinds and commodity price deflation.

在結束演講時，請允許我首先重申我們對我們的員工感到多麼自豪，他們在市場逆風和大宗商品價格通縮的環境中表現出了紀律嚴明的執行力。

Our focus remains steadfast on the principles that underpin our strategy for sustained growth and market leadership.

我們的重點仍然堅定不移地堅持支撐我們持續成長和市場領導地位策略的原則。

As a result, our fiscal year has started largely as we expected.

結果，我們的財政年度基本上按照我們的預期開始了。

Our strong balance sheet enables us to invest in organic growth, consolidate fragmented markets through acquisitions and return capital to our shareholders.

我們強大的資產負債表使我們能夠投資於有機成長，透過收購鞏固分散的市場並向股東返還資本。

We will continue to operate at the lower end of our target leverage range, maintain the flexibility to capitalize on strategic opportunities as they arise.

我們將繼續在目標槓桿範圍的下限運營，保持靈活性，以便在策略機會出現時利用它們。

Our commitment to delivering productivity for our customers remains unwavering.

我們對為客戶提供生產力的承諾始終堅定不移。

By enhancing our value-added solutions and our digital tools, we're creating efficiencies, reducing costs, enhancing quality to provide real benefits for our customers.

透過增強我們的增值解決方案和數位工具，我們正在提高效率、降低成本、提高質量，為我們的客戶提供真正的利益。

This is especially important in the current challenging macroeconomic environment, given the pressures on the trade labor force.

考慮到貿易勞動力面臨的壓力，這一點在當前充滿挑戰的宏觀經濟環境中尤其重要。

We expect to continue to outperform our markets as we leverage multiyear structural tailwinds.

隨著我們利用多年的結構性有利因素，我們預計將繼續跑贏大盤。

Our size, scale, and strategy, we believe we are well positioned to take advantage of opportunities in the underbuilt and aging US housing market, nonresidential large capital projects, and the growing demand for plumbing and HVAC specialized professionals.

我們相信，我們的規模、規模和策略足以充分利用美國尚未建成且老化的住房市場、非住宅大型資本項目以及對管道和暖通空調專業人才不斷增長的需求的機會。

Thank you for your time today.

感謝您今天抽出時間。

Bill and I are now happy to take your questions.

比爾和我現在很樂意回答你的問題。

Operator, I'll hand the call back over to you.

接線員，我會把電話轉回給您。

(Operator Instructions) Keith Hughes, Truist.

（操作員說明）Keith Hughes，Truist。

There was a good bit of SG&A deleverage in the quarter.

本季SG&A 去槓桿化程度較高。

If you could talk about that, what that would look like for the remainder of the fiscal year.

如果您可以談談本財年剩餘時間的情況。

Keith, this is Bill.

基思，這是比爾。

Thanks for the question.

謝謝你的提問。

Let me start with that one.

讓我從那個開始吧。

If you go back to when we set out guidance for the full fiscal year, we expect it to come into the year facing some market headwinds on the top line and continued commodity deflation.

如果你回顧我們制定整個財年指引的時候，我們預計今年將面臨一些市場逆風和持續的大宗商品通貨緊縮。

And we acknowledge that, that was going to put some pressure on SG&A, particularly deleverage, particularly in the first half of the year.

我們承認，這將對銷售管理、一般行政費用（SG&A）帶來一些壓力，特別是去槓桿化，尤其是在今年上半年。

And effectively, that's what we've seen.

實際上，這就是我們所看到的。

If you look at volume growth in the quarter, total volumes were up about 3%.

如果您查看本季的銷量成長情況，您會發現總銷量成長了約 3%。

And the teams have done a really nice job managing headcount and full-time equivalents at a rate below that.

這些團隊在管理員工人數和全職員工方面做得非常好，但速度卻低於這個數字。

So we are driving productivity in the underlying business.

因此，我們正在提高基礎業務的生產力。

But with 3% volume growth, our total cost base is up about 5%.

但隨著 3% 的銷售成長，我們的總成本基礎增加了約 5%。

That difference is driven by wage inflation and continued investment.

這種差異是由薪資通膨和持續投資所驅動的。

So we are investing in areas like our typical trainee class.

因此，我們正在投資我們典型的實習生課程等領域。

We brought in roughly 150 trainees through the start of the fiscal year.

截至本財政年度年初，我們引進了約 150 名學員。

We're continuing to invest in our HVAC counter expansion.

我們將繼續投資於暖通空調櫃檯的擴建。

We talked a bit about the mega project, large project teams that we've invested in.

我們討論了一些我們投資的大型專案、大型專案團隊。

So it's really a combination of volume growth and a reminder that we've been back to volume growth now for three quarters combined with continued investment.

因此，這實際上是銷售成長的結合，並提醒我們，我們現在已經恢復了三個季度的銷售成長，並持續投資。

Yeah.

是的。

And Keith, we're going to continue to invest to make sure that we can execute on that volume growth for our customers.

基思，我們將繼續投資，以確保我們能夠為客戶實現銷售成長。

But also as we expect our markets to return to growth, we want to be ready to capitalize on that.

但當我們預計我們的市場將恢復成長時，我們希望做好充分利用這一點的準備。

And as Bill indicated, from a market tailwind perspective, we're seeing very good activity levels as we build out our HVAC capabilities across our plumbing counters where we've got over 400 counters built out today on the way to over 500, adding greenfield locations.

正如比爾所指出的那樣，從市場順風的角度來看，隨著我們在管道櫃檯上建立HVAC 能力，我們看到了非常好的活動水平，今天我們已經建造了400 多個櫃檯，預計將達到500 多個，並增加了綠地地點。

And it's starting to pay real dividends as you look at HVAC up 10% on a 4% growth comparable from the prior year.

當你看到暖通空調產業在去年 4% 的成長基礎上成長了 10% 時，它開始帶來真正的紅利。

You add to that what we're doing with large capital projects and building out teams to be aggressively up funnel to make sure that we're able to capitalize across customer groups from waterworks to commercial/mechanical to fire suppression to industrial on some really good project work that's out there that's offsetting traditional nonresidential activity.

除此之外，我們還在大型資本項目上所做的事情，以及積極組建團隊的方式，以確保我們能夠利用從自來水廠到商業/機械、滅火到工業等各個客戶群體的一些真正好的產品。

Okay.

好的。

One other question on margins.

關於利潤率的另一個問題。

Price is down, about what it's been for several quarters.

價格下降了，大約是幾個季度以來的水平。

Gross margin flipped from -- we were seeing some modest improvements in gross margin, only down 10 basis points, but the improvement stopped.

毛利率逆轉——我們看到毛利率略有改善，僅下降了 10 個基點，但改善停止了。

Anything specific in this quarter that caused a little more compression with the same pricing environment?

在相同的定價環境下，本季有什麼具體情況導致了更多的壓縮嗎？

Yes, Keith, I think the continued commodity deflation continues to put a bit of pressure on gross margins.

是的，基思，我認為持續的大宗商品通貨緊縮繼續給毛利率帶來一定壓力。

But also when you look at seasonality and business mix, go back to Kevin's comment on HVAC growing at 10%.

但當您考慮季節性和業務組合時，請回到 Kevin 對 HVAC 成長 10% 的評論。

Our waterworks business is up 3%.

我們的自來水廠業務成長了 3%。

So the businesses that are growing the fastest for us right now have a slightly lower overall gross margin.

因此，目前我們成長最快的業務整體毛利率略低。

And that's putting a bit of mix pressure on the gross margin in the short term as we stepped into the quarter.

當我們進入本季度時，這在短期內給毛利率帶來了一些混合壓力。

As we're sat here today, Keith, we are pleased with the gross margin profile of the commodity business as deflation is happening.

基思，當我們今天坐在這裡時，我們對通貨緊縮正在發生時商品業務的毛利率狀況感到滿意。

And our teams are out growing share and also growing volume in those categories.

我們的團隊在這些類別中的份額和數量都在不斷增長。

And again, we're pretty pleased with where that sits from a gross margin perspective.

再說一遍，從毛利率的角度來看，我們對目前的情況非常滿意。

Okay.

好的。

Thank you.

謝謝。

Phil Ng, Jefferies.

菲爾·吳，杰弗里斯。

I guess piggybacking on Keith's question on op margins.

我想是利用基思關於營運利潤的問題。

When I look at 1Q on balance, top line was pretty much down the line, and gross margins were pretty impressive despite deflation.

當我整體來看第一季時，收入幾乎處於下降狀態，儘管存在通貨緊縮，但毛利率仍然相當可觀。

It was the op margin that was a little lighter.

營運利潤率稍微低一些。

It's closer to the low end of your full-year guide.

它更接近全年指南的低端。

And certainly, Q1 and Q4 are typically your bigger margin quarters, I guess.

當然，我猜第一季和第四季通常是利潤率較高的季度。

So kind of, Bill, help us kind of think through how do you envision your op margins kind of shaking out more towards the midpoint?

那麼，比爾，請幫我們思考一下，您如何設想您的營運利潤會向中點進一步擴大？

Is it a function of some of these investments you've talked about on the HVAC counter side of things kind of paying more, I guess, dividends to your results?

我想，這是否是您在暖通空調櫃檯上談到的一些投資的功能，是為您的業績支付更多股息？

Are you taking more OpEx?

您是否需要更多營運支出？

And then perhaps maybe pricing could look a little better in the back half.

然後，也許下半年的定價可能會好一些。

Help us think through how do you envision the op margin progression through the year?

請幫我們思考一下您如何看待今年的營業利潤率進展？

Yeah, sure, Phil.

是的，當然，菲爾。

And so when you take a step back, again, the quarter was largely in line with our expectations.

因此，當您再次退後一步時，該季度基本上符合我們的預期。

And our full-year expectations of operating margins in that 9% to 9.5% range are unchanged.

我們對全年營業利潤率的預期保持在 9% 至 9.5% 的範圍內不變。

Again, certainly, we expected more pressure on SG&A deleverage in the first half, particularly as we stepped through the first half with that continued commodity deflation.

當然，我們預計上半年SG&A去槓桿化將面臨更大壓力，特別是在我們經歷了上半年持續的大宗商品通貨緊縮的情況下。

And when we sit here today looking at the second quarter, recognizing that we still have some commodity headwinds, and we're still facing a low growth environment in our seasonally latest quarter, I would expect some continued pressure on Q2 operating margins.

當我們今天坐在這裡審視第二季時，意識到我們仍然面臨一些商品逆風，並且我們在季節性最新季度仍然面臨低成長環境，我預計第二季營業利潤率將繼續面臨壓力。

But we do expect improvement as we move through the year, and you actually noted a couple of those reasons.

但我們確實預計隨著這一年的進展會有所改善，您實際上也注意到了其中幾個原因。

First off, we are at volume growth.

首先，我們的銷量正在成長。

We've been at volume growth for three quarters in a row.

我們的銷售量已連續三個季度保持成長。

We expect that volume growth to continue.

我們預計銷售量將持續成長。

Our open order volumes do continue to build.

我們的未平倉訂單量確實在持續增加。

And those have inflected positive, which gives us some confidence that, that growth will improve as we move through the fiscal year.

這些都產生了正面的影響，這讓我們相信，隨著本財年的推進，經濟成長將會改善。

And then lastly, we do expect deflationary pressures to ease as we move through the year.

最後，我們確實預計通貨緊縮壓力將隨著今年的推移而緩解。

There are a couple of reasons for that.

這有幾個原因。

First off, from a finished goods perspective, we've talked a lot about the finished goods pricing environment and price increase environment being a bit spottier than a traditional year in the past.

首先，從製成品的角度來看，我們已經談論了很多關於製成品定價環境和價格上漲環境比過去的傳統年份有點不穩定的問題。

We're starting to see as we turn into the calendar year some more traditional returns to price increase announcements.

隨著新年的到來，我們開始看到一些更傳統的漲價公告回報。

So we would expect our finished goods pricing which, again, is about 85% of our overall revenue.

因此，我們預計我們的成品定價將占我們總收入的 85% 左右。

We would expect that to inflect positive as we move through the second half of the year.

我們預計，隨著今年下半年的到來，這將產生正面影響。

And then on commodities, while it's very difficult to predict what's going to happen with commodity pricing, the comparables, particularly on a two-year stack basis, the deflationary comparables will continue to ease as we move through the year.

然後在大宗商品方面，雖然很難預測大宗商品定價將發生什麼，但可比價格，特別是在兩年基礎上，隨著今年的推移，通貨緊縮可比價格將繼續緩解。

So sat here today, we are still expecting pricing overall to be slightly down for the year.

因此，今天坐在這裡，我們仍然預計今年整體定價將略有下降。

We were down about 2% in the first quarter again.

第一季我們再次下跌約 2%。

So we are expecting some improvement to pricing as we move through the year.

因此，我們預計今年的定價將會改善。

That should help, along with improved volumes should help second-half operating margins, which is why we sit here today with a guide on the full year that's unchanged.

這應該會有所幫助，而且銷量的提高也應該有助於下半年的營業利潤率，這就是為什麼我們今天坐在這裡，全年指南沒有變化。

Okay.

好的。

That's great color, Bill.

那顏色真棒，比爾。

It's very encouraging to hear and see the shrink in your civil and infrastructure markets in the quarter.

聽到並看到本季民用和基礎設施市場的萎縮是非常令人鼓舞的。

You've also talked about how bidding activity for some of these heavy mega projects have been pretty good.

您還談到了一些大型大型項目的投標活動非常好。

So that's encouraging.

所以這是令人鼓舞的。

We've heard from some of our private -- into the companies we cover calling out the larger projects potentially put on pause ahead of the election.

我們從我們所報導的一些私人公司那裡聽到了一些大型項目可能在選舉前暫停的聲音。

Curious if you see -- if you saw that, and have you seen bidding activity perhaps stepped up post-election?

好奇如果你看到了——如果你看到了，你是否看到選舉後競標活動可能會加強？

And with a Trump presidency, how do you kind of see it impacting your different businesses, end markets, whether it's US manufacturing, which is probably a good guy.

川普擔任總統後，您如何看待它對您的不同業務、終端市場的影響，無論是美國製造業，這可能是個好人。

But perhaps on the other end, maybe [EDRA] stuff might be more hampered.

但也許在另一端，[EDRA] 的東西可能會受到更多阻礙。

Help us think through what you're seeing and what a Trump presidency could bring.

幫助我們思考您所看到的以及川普擔任總統會帶來什麼。

Yeah, Phil, thank you.

是的，菲爾，謝謝你。

And you're right.

你是對的。

Large capital projects have largely offset that traditional nonreservoir, we've said that for the last couple of quarters.

大型資本項目在很大程度上抵消了傳統的非水庫項目，我們在過去幾個季度已經說過了。

If you then start to go down deeper into that, we're seeing continued good bidding activity on the commercial side of the world for large capital.

如果你開始更深入地了解這一點，我們會看到世界商業方面對大型資本的持續良好競標活動。

That plays through our waterworks business into commercial/mechanical and the like.

這透過我們的自來水廠業務滲透到商業/機械等領域。

As you can imagine, that's fairly heavy inside of the data center work.

正如您可以想像的那樣，這是資料中心內部相當繁重的工作。

I mean the data center activity, we would refer to it as 100% go, 100% funded, and go as fast as you can.

我指的是資料中心活動，我們稱之為 100% 進行、100% 資助、並儘可能快地進行。

And that work is very attractive to us on a couple of different fronts.

這項工作在幾個不同的方面對我們非常有吸引力。

Number one, the product set overindexes for us versus a traditional nonres project.

第一，與傳統的非資源項目相比，該產品為我們設定了過高的索引。

And candidly, our share has been attractive as we've approached those, especially as we've approached them in a more holistic way across water, fire, industrial and commercial/mechanical.

坦白說，當我們接觸這些問題時，特別是當我們以更全面的方式接觸水、消防、工業和商業/機械領域時，我們的份額一直很有吸引力。

So we continue to see a bullish stance on that.

因此，我們繼續看到對此的看漲立場。

On the EV and battery side, the pace is not as fast.

在電動車和電池方面，步伐沒有那麼快。

And it really does depend on the project as well as some of the onshoring activity that we're seeing.

這確實取決於專案以及我們所看到的一些外包活動。

Maybe the construction activity and our shipments aren't meeting the press release, if you will, on what that announcement looked like.

也許建築活動和我們的出貨不符合新聞稿的要求，如果你願意的話，關於公告的內容。

But really, it's about a realistic timeline for construction activity.

但實際上，這是關於建設活動的現實時間表。

And some of that's affected by the labor force being a limiting factor, some of it around the geography of some of these projects combined with the labor force.

其中一些受到勞動力作為限制因素的影響，其中一些是圍繞其中一些項目的地理位置與勞動力相結合的。

So I think it's just the natural gestation period of those projects.

所以我認為這只是這些項目的自然孕育期。

In terms of what can happen with a change in administration, we don't think that there'll be a slowdown in data center activity.

就管理變更可能發生的情況而言，我們認為資料中心活動不會放緩。

In fact, quite the opposite.

事實上，恰恰相反。

When you look at what's happening from an EV perspective, as we said, there's going to be some spotty fits and starts in that world.

正如我們所說，當你從電動車的角度來看正在發生的事情時，這個世界將會出現一些不穩定的情況。

But generally speaking, we think a large capital project place continues to grow and will continue to be attractive for us as we go forward.

但總的來說，我們認為大型資本項目持續成長，並且隨著我們的前進，將繼續對我們有吸引力。

Really appreciate the color, guys.

真的很欣賞這個顏色，夥計們。

Thank you.

謝謝。

Matthew Bouley, Barclays.

馬修·博利，巴克萊銀行。

Thank you for taking the questions.

感謝您提出問題。

I wanted to ask back on the OpEx side with that sort of 5% year-over-year growth.

我想反問營運支出方面，年增 5%。

Is there a scenario where you would either kind of pull back on that depending on how the end markets end up shaking out?

是否存在一種情況，您會根據終端市場最終的變化而取消此計劃？

Or is there a case that maybe some of these investments from a timing perspective happens to be a little more front-loaded?

或者是否有這樣的情況：從時機角度來看，其中一些投資恰好是提前進行的？

Just curious, I mean just if we're thinking about a 5% year-over-year growth in OpEx, how that plays into the full year operating margin guide.

只是好奇，我的意思是，如果我們考慮營運支出年增 5%，這將如何影響全年營運利潤率指南。

So just curious again around what that year-over-year growth could look like there.

所以我再次好奇那裡的同比增長會是什麼樣子。

Yeah, Matt, thank you.

是的，馬特，謝謝你。

And as we look over the longer term, we're going to continue to invest in what volume opportunity we're seeing today.

從長遠來看，我們將繼續投資於我們今天看到的數量機會。

But maybe as importantly, if you look at the medium-term outlook for our market, you talk about the residential side of the house, which is about half of our business.

但也許同樣重要的是，如果你看看我們市場的中期前景，你會談論房屋的住宅部分，這大約是我們業務的一半。

We're underbuilt from a housing perspective.

從住房的角度來看，我們的建設不足。

We need single-family growth to happen in the market.

我們需要市場上單戶住宅的成長。

We're starting to see some signs of that even though the long end of the curve and the 30-year isn't to the place where we think we can really start to accelerate.

我們開始看到一些跡象，儘管曲線的長端和 30 年還沒有到達我們認為可以真正開始加速的地方。

We're seeing some good sparks and bidding activity on the waterworks side of our business for single family across the west, the south central, and the southeast that give us some encouragement.

我們在西部、中南部和東南部的單身家庭業務的自來水廠方面看到了一些良好的火花和招標活動，這給了我們一些鼓勵。

We're going to continue to build the right volumetric opportunity case for our labor force, but also not shortchanging our ability that continues to accelerate out of a downturn as we look at this business more medium term.

我們將繼續為我們的勞動力創造合適的數量機會，但當我們從更中期的角度看待這項業務時，我們不會低估我們繼續加速走出低迷的能力。

Yeah, Matt, in some of those investments, you could argue are a bit frontloaded to use your term, I mean, in terms of the trainee class we brought in, in terms of how we're rolling out HVAC across our counter network.

是的，馬特，在其中一些投資中，你可能會說用你的術語來說有點提前，我的意思是，就我們引入的實習生課程而言，就我們如何在我們的櫃檯網絡中推出暖通空調而言。

Obviously, those are a bit upfront investments, and then the returns on that come over time.

顯然，這些都是一些前期投資，然後隨著時間的推移就會產生回報。

And so we are very optimistic about the return profile of that.

因此，我們對其回報非常樂觀。

We're seeing great early returns on the HVAC business and those growth initiatives.

我們看到暖通空調業務和這些成長計畫取得了巨大的早期回報。

And so we're going to press forward with that.

因此，我們將繼續推進這項工作。

Now if the market and the environment turns dramatically against what we're expecting, if volumes turn negative, if the markets get worse, we'll take different cost-cutting and cost reduction actions, but we don't expect that today.

現在，如果市場和環境與我們的預期發生巨大變化，如果銷量變為負數，如果市場變得更糟，我們將採取不同的成本削減和成本削減行動，但我們今天預計不會發生這種情況。

And we are continuing to invest as we move through the fiscal year.

隨著本財年的推進，我們將繼續進行投資。

Got it.

知道了。

That's super helpful color.

這是超級有用的顏色。

And secondly, zooming into the price side, I guess on the commodity side, are you still seeing any kind of sequential declines in commodity or has it been a little more stable?

其次，從價格方面來看，我想在大宗商品方面，您是否仍然看到大宗商品出現任何連續下降，或者是否更加穩定？

And then conversely, as we think about your guide on the finished goods side, I guess roughly what level of finished good inflation are you guys assuming in order to get to kind of the full-year guide?

相反，當我們考慮成品方面的指南時，我想你們假設成品通膨水準大致是多少，才能獲得全年指南？

Yeah.

是的。

On finished goods were still broadly flat in Q1 in terms of year-over-year pricing.

第一季製成品的年比定價仍基本持平。

And as I mentioned earlier on this call, we are expecting as we turn into the calendar year that we'll have some additional price increase activity coming through, and we get some sort of low single-digit finished goods pricing as we move through the back half of the year.

正如我之前在這次電話會議上提到的，我們預計，當我們進入日曆年時，我們將進行一些額外的提價活動，並且當我們經歷時間回到了半年。

That, coupled with the commodity comparables easing, will give us -- continues to give us a bit of confidence that those overall deflationary pressures will ease.

再加上大宗商品價格的寬鬆，將繼續讓我們對整體通貨緊縮壓力將會緩解抱持一定的信心。

In terms of within the commodity buckets, we're still seeing a couple of commodity categories that have returned to inflation now.

就商品類別而言，我們仍然看到一些商品類別現在已經恢復通膨。

So we mentioned on the last call in Q4, copper tube and fittings were showing some inflation year over year.

因此，我們在第四季的最後一次電話會議中提到，銅管和配件比去年同期出現了一些通膨。

That's continuing.

這還在繼續。

We still have pressure on steel pipe and on PVC.

鋼管和PVC仍面臨壓力。

I would say that that's been a little bit more sequentially stable, but there's still some pressure there.

我想說，這已經比較穩定了，但仍然存在一些壓力。

So as we sit here today and we look into the second quarter, we're still expecting some commodity deflation headwinds that we need to work through.

因此，當我們今天坐在這裡展望第二季度時，我們仍然預計會出現一些我們需要克服的大宗商品通貨緊縮阻力。

But again, we expect those to improve as we move through calendar '25.

但我們再次預計，隨著 25 日曆年的到來，這些情況將會有所改善。

All right.

好的。

Thanks, Bill.

謝謝，比爾。

Thanks, Kevin.

謝謝，凱文。

Good luck, guys.

祝你好運，夥計們。

Mike Dahl, RBC Capital Markets.

麥克·達爾，加拿大皇家銀行資本市場部。

You've actually got Steven [Lee] on for Mike Dahl.

事實上，你已經讓史蒂文[李]取代了麥克達爾。

Thanks for taking my question.

感謝您提出我的問題。

The recent political shakeup was brought up earlier, but given the recent focus on tariffs, I think it could be helpful if you can remind us of your international cost exposures and how your thoughts of -- about managing that has shifted since the election in the last administration.

最近的政治動盪是早些時候提出的，但考慮到最近對關稅的關注，我認為如果您能提醒我們您的國際成本風險以及自美國大選以來您對管理這一風險的想法如何發生變化，這可能會有所幫助。

Thanks, Steven.

謝謝，史蒂文。

Yeah, if you look at our overall COGS and sourcing approach, we source products from over 37,000 different suppliers.

是的，如果你看看我們的整體銷貨成本和採購方法，我們會從超過 37,000 家不同的供應商採購產品。

We've got as good of a breadth of supplier base and product category base as anyone in the industry.

我們擁有與業內其他公司一樣廣泛的供應商基礎和產品類別基礎。

If you bifurcate that into own brand and branded products, we source own brand products from over 30 countries and have largely mitigated some of the China exposure, as we said in past calls, in areas like lighting and small appliances and the like.

如果將其分為自有品牌和品牌產品，我們會從30 多個國家/地區採購自有品牌產品，正如我們在過去的電話會議中所說，在照明和小家電等領域很大程度上減輕了一些中國風險。

We still have some China exposure.

我們仍然有一些中國業務。

But generally speaking, we have broadened that across multiple countries, and the US is our second largest supplier for own brand products.

但總的來說，我們已經將其擴展到多個國家，美國是我們自有品牌產品的第二大供應商。

And then the 90% of our business that is branded, again, we're sourcing product from a wide variety of manufacturers.

我們 90% 的業務都是品牌業務，我們從各種各樣的製造商那裡採購產品。

And we will move our product strategy based on price and value.

我們將根據價格和價值來調整我們的產品策略。

We've shown the ability to pass through price in terms of how that landscape changes.

我們已經展示了根據環境變化來傳遞價格的能力。

If you look at overall, the macro market provided that it continues to move on as we believe it will, we believe can cause for some degree a price inflation and a deflationary price environment for us, which could be helpful.

如果你從整體來看，宏觀市場如果繼續按照我們的預期發展，我們相信會在一定程度上導致價格通膨和通貨緊縮的價格環境，這可能會有所幫助。

That's very helpful.

這非常有幫助。

Thanks, Kevin.

謝謝，凱文。

John Lovallo, UBS.

約翰‧洛瓦洛，瑞銀集團。

This is actually Matt Johnson on for John.

這其實是馬特·約翰遜為約翰代言的。

I guess first, sorry if you guys already hit on this, but could you just talk about how organic sales trended through the quarter and into November, both a volume and pricing basis?

我想首先，抱歉，如果你們已經注意到了這一點，但是您能否談談整個季度和 11 月的有機銷售趨勢，包括數量和定價基礎？

Yeah.

是的。

There wasn't a lot of variability on organic sales through the quarter or on overall deflation.

本季有機銷售額或整體通貨緊縮沒有太大變化。

That 2% overall deflation has actually been quite consistent overall for the last five quarters.

過去五個季度 2% 的整體通貨緊縮實際上總體上相當穩定。

And as we step into the second quarter here from a November revenue trend perspective, the overall growth in commodity deflation has been pretty consistent with Q1.

當我們從 11 月營收趨勢的角度進入第二季時，大宗商品通貨緊縮的整體成長與第一季非常一致。

Appreciate that.

很欣賞這一點。

And then, I guess, just touching on M&A.

然後，我想，只是談到併購。

So you guys completed one acquisition in the quarter.

所以你們在本季完成了一項收購。

Could you guys just give us an update on how the pipeline and valuation expectations look today relative to this time last year and if you guys are expecting any sort of ramp-up in activity into 2025?

你們能否為我們介紹一下目前的通路和估值預期與去年同期相比的最新情況，以及你們是否預計 2025 年的活動會有所增加？

Yeah, the pipeline is still quite healthy.

是的，管道仍然相當健康。

When you look at our industry, made up of 10,000-plus small to medium-sized competitors, there's ample runway for us to go after from an M&A perspective.

當你看到我們這個由 10,000 多家中小型競爭對手組成的行業時，從併購的角度來看，我們有足夠的跑道可以追求。

So we have an active pipeline.

所以我們有一個活躍的管道。

Valuation, not a lot of changes over the last 6 to 12 months in terms of valuation expectations.

估值方面，過去 6 至 12 個月的估值預期變化不大。

And so I think we've got a very healthy and robust pipeline looking forward.

所以我認為我們有一個非常健康和強大的管道。

In terms of timing, that's always the hardest thing to call in terms of how these are going to come through at any given time.

就時間安排而言，這始終是最難確定的事情，因為這些事情在任何特定時間將如何完成。

When you look at most of the acquisitions that we're doing, these are small- to medium-sized businesses, often family-run businesses.

當您查看我們正在進行的大多數收購時，您會發現這些都是中小型企業，通常是家族企業。

And the decision to sell their business is a once-in-a-lifetime decision.

出售業務的決定是一生一次的決定。

So calling timing in any given period is difficult.

因此，在任何給定時期內調用計時都是很困難的。

But as we look forward, we've got no doubt in terms of our ability to continue to consolidate our fragmented markets and add somewhere in that 1% to 3% annualized incremental revenue through acquisitions over time.

但展望未來，我們毫無疑問有能力繼續整合分散的市場，並隨著時間的推移透過收購增加 1% 至 3% 的年化增量收入。

Thanks, guys.

謝謝，夥計們。

David Manthey, Baird.

大衛曼蒂，貝爾德。

Just to hit on the progression here in the guidance again.

只是為了再次強調指南中的進展。

If OpEx grew 5% on 2% volume growth and flattish overall revenues this quarter without any major unusual expense items in OpEx, should we then assume that as we look forward here, OpEx is going to grow something in that mid-single-digit rate, give or take, through the remaining quarters of the year?

如果營運支出在銷售成長2% 的基礎上成長5%，且本季整體收入持平，且營運支出中沒有任何重大的異常費用項目，那麼我們是否應該假設，正如我們在此展望的那樣，營運支出將以中個位數的速度成長在今年剩下的幾個季度裡，給予還是接受？

And what your outlook assumes is that revenue growth accelerates in the back half of your fiscal year and then leverages those operating expenses.

您的前景假設的是，您的財政年度後半段收入成長加速，然後利用這些營運費用。

Am I hearing that right?

我沒聽錯吧？

Yeah, Dave, that's about right.

是的，戴夫，差不多是這樣。

We would look at overall volume in the quarter up about 3%, inclusive of acquisitions, which certainly comes with cost.

我們預計本季的總銷量將成長約 3%，其中包括收購，這當然會帶來成本。

But that's right.

但那是對的。

If you take that volume growth of [3] and you add the investments that we've made and add a bit of wage and infrastructure inflation, that's how you get to that mid-single-digit growth.

如果你考慮[3]的數量成長，加上我們所做的投資，再加上一點薪資和基礎設施通膨，這就是你達到中個位數成長的方式。

We plan to keep a close watch on that as we move through the back half of the fiscal year.

我們計劃在本財年後半段密切關注這一情況。

But as our markets return to growth and particularly as those deflationary pressures ease, that should improve SG&A leverage as we move through the year.

但隨著我們的市場恢復成長，特別是通貨緊縮壓力的緩解，這一年的銷售管理及行政費用槓桿率應該會有所改善。

But is it safe to say that you're looking for at least a bit of revenue growth acceleration as we move through the year.

但可以肯定地說，隨著今年的到來，您至少會看到收入成長的加速。

Is that correct?

這是正確的嗎？

That's correct.

這是正確的。

Yeah.

是的。

We expect the back half of the year to improve from an overall revenue perspective, volumes a bit and easing deflation.

我們預計今年下半年整體營收將有所改善，銷售量有所改善，通貨緊縮有所緩解。

Okay.

好的。

And then you pointed out one fewer day in the third quarter.

然後你指出第三季少了一天。

Could you talk about what month that hits just so we get an idea of how impactful that is from a revenue standpoint?

您能否談談具體是哪一個月，以便我們從收入的角度了解其影響有多大？

And then is there anything else, Bill, we should keep in mind as it relates to expenses and margins, given that the delta in year-to-year selling days?

那麼，比爾，考慮到逐年銷售天數的增量，還有什麼是我們應該記住的，因為它與費用和利潤有關？

Yeah.

是的。

There's one fewer day in the quarter -- in the third quarter.

這個季度少了一天——第三季。

Dave, I'd have to pull out the month.

戴夫，我必須退出這個月。

It's not that relevant which month it is.

具體是哪一個月並不重要。

I think it's February because we had 29 days last year in the leap year.

我認為是二月，因為去年閏年有 29 天。

And if I think about SG&A leverage progression, there's not anything really unique that's going to come in as we move through the back of the year, just more continued investment in managing the volumetric headcount of the business.

如果我考慮 SG&A 槓桿率的進展，當我們進入今年下半年時，並沒有什麼真正獨特的東西會出現，只是在管理業務的人員數量方面進行了更多的持續投資。

Okay.

好的。

Thanks very much.

非常感謝。

Kathryn Thompson, Thompson Research Group.

凱瑟琳·湯普森，湯普森研究小組。

It's actually Brian Biros on for Kathryn.

實際上是布萊恩·比羅斯 (Brian Biros) 替補凱瑟琳 (Kathryn)。

Thank you for taking my questions today.

感謝您今天回答我的問題。

On the gross margin performance, can you touch on the things that are in your control to help margins that have private label?

關於毛利率表現，您能否談談您可以控制的哪些事情可以幫助自有品牌提高利潤？

I think it's that 10% of sales, and you have some other internal margin initiatives.

我認為這佔銷售額的 10%，而且您還有其他一些內部利潤計劃。

I think it would be helpful to hear how those are helping to offset the downward pressures that you mentioned of what is out of your control.

我認為了解這些措施如何幫助抵消您提到的無法控制的下行壓力將會有所幫助。

Yeah, absolutely.

是的，絕對是。

I mean private label, our own brand, as we call it, is absolutely a lever and an investment area that should improve our gross margins over time.

我的意思是自有品牌，我們自己的品牌，正如我們所說，絕對是一個槓桿和一個投資領域，應該隨著時間的推移提高我們的毛利率。

To Kevin's point, it's just under 10% of our revenue today, and we believe that we will grow that over time.

對 Kevin 來說，這僅占我們今天收入的 10%，我們相信隨著時間的推移，我們的收入將會成長。

In addition to that, if you look at areas that we're investing in around the pricing side of the business, pricing analytics and pricing tools, and not to mention we continue to add value-added solutions and services, and we continue to charge for that value.

除此之外，如果你看看我們在業務定價方面投資的領域、定價分析和定價工具，更不用說我們繼續增加增值解決方案和服務，並且我們繼續收費對於這個值。

So there are a number of levers that we have around improving those gross margins over time.

因此，隨著時間的推移，我們可以採取多種手段來提高毛利率。

The best thing for us in a challenging trade labor force environment is to continue to add productivity to that contractor base because gross margin is the best reflection of the value that we provide in the marketplace.

在充滿挑戰的貿易勞動力環境中，對我們來說最好的事情就是繼續提高承包商基礎的生產力，因為毛利率是我們在市場上提供的價值的最佳反映。

And to Bill's point, that starts to manifest itself in areas like our product strategy.

對比爾來說，這開始體現在我們的產品策略等領域。

And you highlighted own brand, but own brand is only one piece.

你強調了自有品牌，但自有品牌只是其中之一。

When you look at the partnerships that we have with our branded suppliers, making sure that we can take cost out of the supply chain such that we can grow our gross margins.

當你看看我們與品牌供應商的合作關係時，確保我們可以降低供應鏈的成本，從而提高毛利率。

When we sell through that product strategy to the contractor while enhancing their productivity, that's the best long-term, durable, sustainable path to gross margin expansion.

當我們透過該產品策略向承包商銷售，同時提高他們的生產力時，這是實現毛利率擴張的最佳長期、持久、可持續的途徑。

Yeah.

是的。

And then last one on the HVAC expansion plans, maybe can you explain how that's progressing here and like in a down residential environment and kind of what that could look like already starts to come back more meaningfully?

最後一個關於暖通空調擴建計劃，也許你能解釋一下這裡的進展如何，就像在一個低迷的住宅環境中，以及看起來已經開始變得更有意義的情況嗎？

I think it was up 10% in the quarter, I assume, in a tough end market.

我認為，在嚴峻的終端市場中，該季度上漲了 10%。

So just trying to think about we have an easier environment, what does that look like?

所以想一下我們有一個比較輕鬆的環境，那是什麼樣子的呢？

Yeah.

是的。

We were really pleased with the growth of the HVAC side of the business, up 10% on a 4% comp from prior year.

我們對 HVAC 業務的成長感到非常滿意，比去年成長了 4%，成長了 10%。

Certainly, the mix of that business is a bit more attractive as you look at break, fix, repair, and replace as well as new construction.

當然，當你考慮到破壞、修理、修理、更換以及新建時，該業務的組合更具吸引力。

And so we were pleased with the way in which we were able to build out HVAC product and expertise on our existing counter locations to the tune of over 400 so far, on a track to get over 500 by the end of the fiscal year and over the next 24 months, over 650.

因此，我們對能夠在現有櫃檯位置建立 HVAC 產品和專業知識的方式感到非常滿意，到目前為止，數量已超過 400 個，預計到本財年結束時將達到 500 多個接下來的24 個月，超過650 個。

But additionally, growing our greenfields in the HVAC space, growing our HVAC expertise with our associate base and the outside sales professionals and then obviously complementing that with the M&A landscape.

此外，我們還需要在暖通空調領域拓展我們的綠地，透過我們的員工基礎和外部銷售專業人員來發展我們的暖通空調專業知識，然後透過併購環境來明顯地補充這一點。

And so we're pleased with what that looks like.

所以我們對它的樣子很滿意。

Certainly, as we think about an improving economy overall, that will also improve what the HVAC opportunity is.

當然，當我們考慮整體經濟的改善時，這也將改善暖通空調的機會。

Today, we're skewing a bit more towards repair versus replace.

今天，我們更傾向於維修而不是更換。

And certainly, as we see new construction start to ramp up, that will help that HVAC side of the business as well.

當然，隨著我們看到新的建設開始增加，這也將有助於暖通空調方面的業務。

But generally, really pleased with the approach and the traction that we've got in that space.

但總的來說，我們對我們在該領域的方法和吸引力感到非常滿意。

This concludes our questions for today.

我們今天的問題到此結束。

I'd like to pass back to Kevin Murphy for any closing remarks.

我想請凱文墨菲做結束語。

Yeah.

是的。

Thank you.

謝謝。

Yeah, as we close, again, let me end by where we began and saying thank you to our associates for their focus and their execution on making our customers' projects better because our customers were dealing with Ferguson.

是的，在我們結束之際，讓我再次從我們開始的地方結束，感謝我們的員工的專注和執行力，使我們客戶的專案變得更好，因為我們的客戶正在與弗格森打交道。

And that's in the face of market headwinds and ongoing commodity deflation.

這是面對市場逆風和持續的大宗商品通貨緊縮的情況。

And as Bill has indicated during the Q&A, this year has started out largely as we expected.

正如比爾在問答中指出的那樣，今年的開局基本上符合我們的預期。

But we remain very committed to delivering productivity for our specialized professional customers.

但我們仍然致力於為我們的專業客戶提供生產力。

And that involves continuing to invest so that we can outperform our markets as they return to growth.

這需要繼續投資，以便我們能夠在市場恢復成長時跑贏大盤。

And we capitalize on some strong multi-year structural tailwinds in areas like the dual trade contractor for HVAC plumbing, large capital projects like data centers, and a multi-customer group approach that's going to make those projects deliver faster on time and on budget.

我們利用了暖通空調管道雙重貿易承包商、資料中心等大型資本項目以及多客戶團體方法等領域的一些強大的多年結構性優勢，這將使這些項目更快地按時、按預算交付。

So thank you very much.

非常感謝。

We appreciate your time today.

我們非常感謝您今天抽出時間。

Look forward to talking to you again very soon.

期待很快再次與您交談。

We conclude today's call.

我們結束今天的電話會議。

We'd like to thank everyone for joining.

我們要感謝大家的加入。