福斯 (FLS) 2025 Q2 法說會逐字稿

Good day, and welcome to the Flowserve second quarter 2025 earnings call. Today's conference is being recorded.

大家好，歡迎參加福斯 2025 年第二季財報電話會議。今天的會議正在錄製中。

At this time, I'd like to turn the conference over to Brian Ezzell, Vice President Investor Relations, Treasurer and Corporate Finance. Please go ahead.

現在，我想將會議交給投資者關係、財務和公司財務副總裁 Brian Ezzell。請繼續。

Thank you, and good morning, everyone. Welcome to Flowserve's second quarter 2025 business update. I'm joined by Scott Rowe, Flowserve's President and Chief Executive Officer; and Flowserve's Chief Financial Officer, Amy Schwetz. Turning to slide 2, our discussion will contain forward-looking statements that are based upon information available as of today. Actual results may differ due to risks and uncertainties. Refer to additional information, including our note on non-GAAP measures in our press release, earnings presentation and SEC filings, which are available on our website.

謝謝大家，早安。歡迎閱讀福斯 2025 年第二季業務更新。與我一起出席的還有福斯總裁兼執行長 Scott Rowe 和福斯財務長 Amy Schwetz。轉到投影片 2，我們的討論將包含基於截至今天可用的資訊的前瞻性陳述。由於風險和不確定性，實際結果可能有所不同。請參閱其他信息，包括我們新聞稿中關於非公認會計準則 (non-GAAP) 指標的說明、收益報告和 SEC 文件，這些信息均可在我們的網站上找到。

I will now turn it over to Scott.

現在我將把發言權交給史考特。

Great. Thank you, Brian, and good morning, everyone. Before we talk about our outstanding second quarter results, I want to provide an update on the Chart merger. As we announced yesterday, we reached an agreement to terminate the proposed merger with Chart Industries. When we were first approached by Chart about the potential merger, we took a very disciplined approach to the discussion with a focus on ensuring the strong value creation opportunities offered by Flowserve would continue in the merger.

偉大的。謝謝你，布萊恩，大家早安。在我們談論我們出色的第二季業績之前，我想先介紹一下 Chart 合併的最新情況。正如我們昨天宣布的那樣，我們已達成協議，終止與 Chart Industries 的擬議合併。當 Chart 第一次與我們聯繫，討論潛在的合併事宜時，我們採取了非常嚴謹的討論方式，重點是確保 Flowserve 提供的強大價值創造機會能夠在合併中繼續發揮作用。

This disciplined approach guided us through our decision-making process following the subsequent all-cash offer for Chart from Baker Hughes. Based on our assessment, further pursuing the merger would have been value diminishing to Flowserve shareholders given the additional cash, leverage and diluted ownership required to continue the process. While we are disappointed in this outcome, we are confident that this decision was in the best interest of our shareholders and our company.

在貝克休斯隨後向 Chart 提出全現金報價後，這種嚴謹的方法指導了我們的決策過程。根據我們的評估，考慮到繼續這項進程需要額外的現金、槓桿和稀釋的所有權，進一步推進合併將會降低福斯股東的價值。雖然我們對這一結果感到失望，但我們相信這項決定符合我們股東和公司的最佳利益。

As a result, Flowserve received a $266 million termination payment in accordance with our signed agreement. Near term, we'll evaluate opportunities to deploy this capital to create value for our shareholders, including through share repurchases. Over time, we remain committed to a disciplined approach to capital allocation, including M&A.

結果，福斯按照我們簽署的協議獲得了 2.66 億美元的終止合約賠償金。短期內，我們將評估部署這些資本的機會，為股東創造價值，包括透過股票回購。隨著時間的推移，我們始終致力於採取嚴謹的資本配置方法，包括併購。

While the outcome wasn't what we wanted, we have no regrets in our decision to pursue this opportunity or with our decision to terminate the agreement. The Flowserve team and our Board of Directors were thoughtful, disciplined and focused on our stakeholders throughout this engagement, and I believe we are in a better place today than ever before to capitalize on the opportunities in front of us.

雖然結果並不如我們所願，但我們並不後悔抓住這個機會的決定，也不後悔終止協議的決定。在整個合作過程中，福斯團隊和董事會都深思熟慮、嚴守紀律，並專注於我們的利益相關者，我相信，我們今天比以往任何時候都更有能力利用擺在我們面前的機會。

Let's now turn to slide 3. We delivered exceptional second quarter earnings in a dynamic macro environment, demonstrating the focus and strong execution of our associates. We are encouraged by our momentum through the first half of the year and we remain confident in our ability to execute at a high level even as the environment remains fluid. As a result, we increased our full year adjusted EPS guidance to $3.25 to $3.40, which at the midpoint represents an increase of more than 25% year-over-year.

現在我們來看投影片 3。在動態的宏觀環境下，我們實現了出色的第二季收益，展現了員工的專注力和強大的執行力。我們對上半年的發展動能感到鼓舞，即使環境依然動盪，我們仍然對自己高水準執行的能力充滿信心。因此，我們將全年調整後每股盈餘預期上調至 3.25 美元至 3.40 美元，中間值年增超過 25%。

Looking at our second quarter results in detail. We delivered bookings of approximately $1.1 billion and revenue growth of 3% with adjusted gross margins expanding 260 basis points to 34.9%. Adjusted operating margins were 14.6%, resulting in impressive incremental margins of 94% during the quarter, while adjusted earnings per share was $0.91.

詳細了解我們的第二季業績。我們實現了約 11 億美元的訂單，營收成長 3%，調整後的毛利率擴大 260 個基點至 34.9%。調整後的營業利潤率為 14.6%，導致本季利潤率增量高達 94%，而調整後的每股收益為 0.91 美元。

The Flowserve Business System is taking hold across the organization, driving excellence through functional discipline and accountability within our operating divisions and business units. We continue to be laser-focused on expanding margins and driving profitable growth. All products are now fully utilizing the 80/20 framework, and we believe there are further opportunities to increase margins as we are still in the early phases of this program. For the full year, we now expect to expand adjusted operating margins 200 basis points year-over-year.

福斯業務系統正在整個組織內紮根，透過營運部門和業務單位內的職能紀律和責任來推動卓越發展。我們將繼續專注於擴大利潤率和推動獲利成長。所有產品現在都充分利用了 80/20 框架，我們相信還有進一步提高利潤的機會，因為我們仍處於該計劃的早期階段。就全年而言，我們預計調整後的營業利潤率將年增 200 個基點。

Turning to slide 4, we delivered solid bookings performance with our fifth consecutive quarter of aftermarket bookings above $600 million. Our focus on growing the aftermarket business continues to pay dividends, and our high service levels are translating into improved aftermarket capture. Our largest award in the quarter was an $11 million nuclear aftermarket order for the ongoing upgrade of a nuclear power plant in North America.

轉到投影片 4，我們實現了穩健的預訂業績，連續第五個季度售後市場預訂超過 6 億美元。我們對發展售後市場業務的關注持續帶來回報，而我們高水準的服務也轉化為售後市場佔有率的提高。本季我們獲得的最大合約是一份價值 1,100 萬美元的核售後市場訂單，用於北美一座核電廠的持續升級。

Additionally, in pumps, we secured our first production order, which is a testament to Flowserve being a leader in the advanced nuclear technology space. Total nuclear bookings were nearly $60 million during the second quarter. We also booked several other smaller projects in the $5 million to $10 million range across different markets. Second quarter bookings were largely driven by our core business. This base business remained healthy in the quarter as customers continue to focus on uptime and facility utilization.

此外，在泵浦領域，我們獲得了第一份生產訂單，證明了福斯在先進核子技術領域的領先地位。第二季核電訂單總額接近 6,000 萬美元。我們還在不同市場預訂了其他幾個價值在 500 萬至 1000 萬美元之間的小型項目。第二季的預訂量主要由我們的核心業務推動。由於客戶繼續專注於正常運作時間和設施利用率，該基礎業務在本季度保持健康。

Overall, our markets remain healthy and our project funnel continues to grow, though we did see approvals for a few projects pushed from second quarter to third quarter as customers assess the macro environment and tariff situation. By end market, we generated strong year-over-year growth in general industries of 9%. Energy and chemical bookings decreased as expected given two large Middle East awards totaling $150 million that did not repeat this year. We continue to see good opportunities in the Middle East with medium-sized projects across a variety of end markets.

總體而言，我們的市場依然健康，專案管道持續成長，儘管由於客戶評估宏觀環境和關稅情況，我們確實看到一些專案的批准從第二季推遲到第三季。從終端市場來看，我們在一般產業實現了 9% 的強勁年成長。由於今年沒有出現兩筆總額達 1.5 億美元的中東大合約，能源和化學品訂單量如預期般下降。我們繼續看到中東地區在各種終端市場上擁有中型專案的良好機會。

We were happy to sign an MOU with Honeywell to integrate our RedRaven digital offering into their asset performance management system called Forge. This exciting step forward validates the incredible technology we have developed and is an opportunity to significantly scale our RedRaven offering. Leveraging this partnership, we have the ability to serve large industrial facilities, enhancing efficiency and operating predictability for our customers while creating a recurring stream of revenue for Flowserve. We look forward to sharing more details as we make progress with our customers.

我們很高興與霍尼韋爾簽署了一份諒解備忘錄，將我們的 RedRaven 數位產品整合到他們的名為 Forge 的資產績效管理系統中。這一令人興奮的進步驗證了我們開發的令人難以置信的技術，並且是大幅擴展我們的 RedRaven 產品的機會。利用這種合作關係，我們有能力為大型工業設施提供服務，提高客戶的效率和營運可預測性，同時為福斯創造經常性的收入來源。我們期待與客戶分享更多細節，並取得進展。

Turning to slide 5, while the macroeconomic environment continues to be dynamic, our end markets remain healthy. Asset utilization for large process industries remained steady and maintenance spending has continued as expected. Our project funnel remains healthy and increased sequentially in all of our end markets. In particular, the nuclear project funnel continues to grow and is at the highest level we have seen. While some new project approvals in the chemical and energy markets have been pushed out a quarter or two, there have been no unusual backlog cancellations or significant change in activity to date.

轉到投影片 5，雖然宏觀經濟環境持續保持動態，但我們的終端市場仍然保持健康。大型製程工業的資產利用率保持穩定，維護支出也持續維持預期水準。我們的專案管道保持健康，並在所有終端市場中持續成長。特別是核電項目漏斗持續成長，達到了我們所見過的最高水準。雖然化學和能源市場的一些新項目審批被推遲了一兩個季度，但迄今尚未出現異常的積壓取消或活動發生重大變化。

Our first half book-to-bill was a strong 0.99 times. For the full year, we expect our book-to-bill ratio to be approximately 1.0 times assuming project approvals continue as expected. Our strong backlog of $2.9 billion continues to position us well for future growth in the second half of the year as well as into 2026. Our elevated backlog provides a comforting level of certainty in the current market environment.

我們上半年的訂單出貨比高達 0.99 倍。假設專案審批繼續如預期進行，我們預計全年訂單出貨比將約為 1.0 倍。我們 29 億美元的強勁積壓訂單將繼續為我們在今年下半年以及 2026 年的未來成長奠定良好基礎。我們較高的積壓訂單量在當前市場環境下提供了令人欣慰的確定性。

Turning to slide 6, trade policy continues to evolve and we remain focused on building resiliency into our supply chain as well as responding as quickly as possible to the latest tariff changes. As we look at the tariff rates in place today, we estimate the annualized gross impact from these tariffs before any mitigating actions to be between $50 million to $60 million. This compares to the range we shared in April of $90 million to $100 million.

轉到投影片 6，貿易政策不斷發展，我們仍然專注於增強供應鏈的彈性，並儘快對最新的關稅變化做出反應。當我們查看目前實施的關稅稅率時，我們估計在採取任何緩解措施之前，這些關稅的年化總影響將在 5,000 萬至 6,000 萬美元之間。相較之下，我們 4 月公佈的金額範圍是 9,000 萬至 1 億美元。

We continue to actively shift sourcing around the globe, leveraging our regional structure to reduce the overall tariff impact for our customers. The pricing actions we took in response to tariffs are now fully in place with no noticeable impact to demand. We estimate the impact for tariffs to the second quarter, net of our mitigating actions, were neutral to earnings. And our goal remains to be tariff impact neutral for the full year.

我們繼續積極地將採購轉移到全球，利用我們的區域結構來減少對客戶的整體關稅影響。我們針對關稅採取的定價措施現已完全到位，對需求沒有明顯影響。我們估計，扣除我們的緩解措施後，關稅對第二季的收益的影響是中性的。我們的目標仍然是全年保持關稅影響中立。

I would like to conclude with the progress we are making with the Flowserve Business System. Operational excellence is now fully embedded with how we run our global manufacturing and is helping us deliver for our customers and our shareholders. Additionally, we are now executing 80/20 across all of our business units, and we believe there's significantly more opportunity as we decrease complexity in our product portfolio offering.

最後，我想介紹一下我們在福斯業務系統方面所取得的進展。卓越營運現已完全融入我們經營全球製造的方式，並幫助我們為客戶和股東提供服務。此外，我們現在在所有業務部門執行 80/20 原則，我們相信，隨著我們降低產品組合的複雜性，將會有更多的機會。

Finally, we launched Commercial Excellence in the second quarter with the expectation that this program drives long-term profitable growth. We are excited about the tenets of the Commercial Excellence program, and we are confident in our ability to gain traction quickly.

最後，我們在第二季推出了商業卓越計劃，期望該計劃能夠推動長期獲利成長。我們對商業卓越計劃的宗旨感到興奮，並且我們對自己迅速獲得關注的能力充滿信心。

Let me now turn the call over to Amy to speak about our financials in greater detail. Amy?

現在，讓我將電話轉給艾米，讓她更詳細地談談我們的財務狀況。艾米？

Thank you, Scott, and good morning, everyone. Turning to slide 7, the strong second quarter is another data point in demonstrating both the execution focus and the potential to be realized of the Flowserve business. We delivered second quarter revenue of $1.2 billion, adjusted operating margin of 14.6% and $0.91 of adjusted earnings per share, representing 25% earnings growth versus the prior year period. I want to thank our associates for their efforts, which were critical to delivering exceptional results during the quarter.

謝謝你，斯科特，大家早安。翻到投影片 7，強勁的第二季是另一個數據點，展示了 Flowserve 業務的執行重點和實現潛力。我們第二季的營收為 12 億美元，調整後營業利潤率為 14.6%，調整後每股收益為 0.91 美元，較去年同期成長 25%。我要感謝我們的同事所做的努力，他們的努力對於本季取得優異的業績至關重要。

Overall, revenues grew 3% versus the prior year period with the Mogas acquisition and foreign currency benefiting revenues by 260 and 110 basis points, respectively, while organic sales decreased about 100 basis points. Our 80/20 program is driving significant benefits to gross profits. However, the actions we have taken to reduce SKU counts were a modest headwind to organic growth in the quarter. Aftermarket revenues grew 7%, driven by continued aftermarket capture, while original equipment sales decreased 2% driven by lower engineered to order work in the quarter.

總體而言，營收較上年同期成長 3%，其中 Mogas 收購和外幣收益分別使營收成長 260 個基點和 110 個基點，而有機銷售額下降約 100 個基點。我們的 80/20 計劃正在為毛利帶來顯著的效益。然而，我們為減少 SKU 數量而採取的措施對本季的有機成長產生了輕微的阻力。售後市場收入成長 7%，這得益於售後市場的持續佔領，而原始設備銷售額則因本季按訂單設計的工作減少而下降 2%。

Shifting to margins. We generated an adjusted gross margin of 34.9%, representing a 260 basis point year-over-year increase and our seventh consecutive quarter of sequential margin improvement. In the quarter, adjusted gross margins benefited from strong execution of the Flowserve Business System with benefits from our 80/20 complexity reduction program proving to be a tailwind in the quarter. The quarter also benefited from favorable product mix within original equipment sales and higher aftermarket sales in the FPD segment.

轉向邊緣。我們的調整後毛利率為 34.9%，年成長 260 個基點，連續第七個季度實現利潤率成長。本季度，調整後的毛利率受益於福斯業務系統的強勁執行，而我們的 80/20 複雜性降低計劃帶來的好處被證明是本季度的順風。本季也受惠於原始設備銷售中良好的產品組合以及 FPD 部門售後市場銷售額的增加。

We believe the continued execution of the Flowserve Business System positions us well to further expand margins. Higher adjusted gross margins, coupled with consistent SG&A as a percentage of sales, led to adjusted operating margin expanding 210 basis points versus the prior year period to 14.6% and represented exceptional incremental margins of 94%. Adjusted operating income was $174 million, a 20% increase versus last year.

我們相信，福斯業務系統的持續執行將使我們進一步擴大利潤率。調整後的毛利率較高，加上銷售、一般及行政費用佔銷售額的百分比保持穩定，導致調整後的營業利潤率較去年同期擴大 210 個基點，達到 14.6%，並代表著 94% 的卓越增量利潤率。調整後的營業收入為 1.74 億美元，較去年同期成長 20%。

Our adjusted tax rate for the quarter was 17.1% driven by discrete tax benefits from foreign operations. The change in tax rate versus the prior year period favorably impacted adjusted EPS by approximately $0.05. Altogether, we delivered robust earnings per share of $0.91 for the second quarter.

本季我們的調整後稅率為 17.1%，這得益於海外業務的單獨稅收優惠。與去年同期相比，稅率變化對調整後每股盈餘產生了約0.05美元的正面影響。整體而言，我們第二季每股收益強勁，達到0.91美元。

Turning to our segments and starting with FPD on slide 8, FPD delivered solid bookings with growth in general industries but lower bookings than last year, driven by the nonrecurrence of certain large projects and some project pushouts to the back half of the year. FPD grew sales 1% versus the prior year driven by continued strength in aftermarket activity. We are particularly pleased with adjusted gross margin performance of 36.8%, an increase of 390 basis points compared to last year, driven by our 80/20 program, increased productivity and favorable mix.

談到我們的部門，從第 8 張幻燈片上的 FPD 開始，FPD 實現了穩健的訂單量，一般行業的訂單量有所增長，但訂單量低於去年，這是由於某些大型項目沒有再次發生以及一些項目推遲到下半年。受售後市場活動持續強勁的推動，FPD 的銷售額較上年同期成長了 1%。我們對調整後的毛利率表現感到特別滿意，達到 36.8%，比去年增加了 390 個基點，這得益於我們的 80/20 計劃、生產力提高和有利的產品組合。

These results translated into FPD delivering an outstanding adjusted operating margin of 20.3%, a 340 basis point increase versus the prior year period. We have made tremendous progress in FPD in the first half adjusted operating margins of 19%. FPD is now operating at margins similar to best-in-class industrials and yet we still see opportunities to increase FPD margins from here. While margins may vary modestly quarter-to-quarter, largely driven by mix, we see an opportunity for FPD operating margins to be at 20% or more over time, which would be well above the long-term targets we have previously established to deliver by 2027.

這些結果轉化為 FPD 實現了 20.3% 的出色調整後營業利潤率，比去年同期增加了 340 個基點。我們在 FPD 領域取得了巨大進步，上半年調整後的營業利潤率達到 19%。FPD 目前的利潤率與一流工業企業相似，但我們仍然看到了從現在開始提高 FPD 利潤率的機會。雖然利潤率可能因產品組合不同而每季略有不同，但我們認為 FPD 的營業利潤率有機會隨著時間的推移達到 20% 或更高，這將遠高於我們先前設定的到 2027 年實現的長期目標。

Turning to FCD on slide 10. In the quarter, FCD delivered bookings growth of 2% and sales growth of 7% driven by Mogas. FCD adjusted gross and adjusted operating margins were 30.8% and 12.2%, respectively. Mogas unfavorably impacted FCD adjusted operating margins by roughly 260 basis points, largely due to the fabricated modules business and, to a lesser extent, inventory write-offs, which together resulted in an operating loss for Mogas. We have not bid on or accepted any fabricated modules orders since acquiring the Mogas business. And after we ship the last remaining order, we do not expect to continue this type of activity, which is consistent with our plans at acquisition.

前往投影片 10 上的 FCD。本季度，在 Mogas 的推動下，FCD 的預訂量成長了 2%，銷售額成長了 7%。FCD 調整後的毛利利率和調整後的營業利益率分別為 30.8% 和 12.2%。Mogas 對 FCD 調整後的營業利潤率產生了約 260 個基點的不利影響，這主要是由於製造模組業務以及（程度較輕的）庫存註銷，這兩者共同導致了 Mogas 的營業虧損。自從收購 Mogas 業務以來，我們尚未競標或接受任何製造模組訂單。在我們發出最後一批訂單後，我們預計不會繼續此類活動，這與我們收購時的計劃一致。

While the results are lower than we expected, we recognize the acquisition is still in early days and the synergy realization is on track. We remain excited about the long-term outlook for Mogas, which expands our offerings in the attractive mining and minerals end markets and enhances our diversification efforts. To be clear, FCD margins are not meeting our margin expectations. However, we are executing on the same elements of the Flowserve Business System that have yielded exceptional results for FPD, and we believe we'll do the same here. It's important to note that absent Mogas, FCD adjusted gross margins increased 180 basis points versus prior year.

雖然結果低於我們的預期，但我們認識到收購仍處於早期階段，協同效應的實現正在按計劃進行。我們對 Mogas 的長期前景仍然充滿信心，它擴大了我們在具有吸引力的採礦和礦產終端市場的產品供應，並增強了我們的多元化努力。需要明確的是，FCD 利潤率並沒有達到我們的利潤預期。然而，我們正在執行福斯業務系統中的相同元素，這些元素已為 FPD 帶來了卓越的成果，我們相信我們在這裡也會做同樣的事情。值得注意的是，由於沒有 Mogas，FCD 調整後的毛利率比前一年增加了 180 個基點。

Turning now to cash flow on slide 10. We delivered strong cash from operations of $154 million during the quarter, driven primarily from robust earnings generation. As expected, days sales outstanding improved sequentially due to increased receipts from milestone billings, and accrued liabilities was a modest source of cash following last quarter's performance-based incentive compensation payout. Overall, adjusted primary working capital as a percent of sales was 30.1%.

現在轉到幻燈片 10 上的現金流。本季度，我們實現了 1.54 億美元的強勁經營現金流，主要得益於強勁的獲利能力。正如預期的那樣，由於里程碑帳單收入的增加，應收帳款週轉天數環比改善，並且在上個季度基於績效的激勵薪酬支付之後，應計負債成為適度的現金來源。整體而言，調整後的主要營運資本佔銷售額的百分比為 30.1%。

Working capital efficiency remains an opportunity and a priority. We expect continued improvement in our cash from operations in the second half of the year. For the quarter, capital expenditures were $17 million and resulted in strong free cash flow of $138 million and a free cash conversion ratio of 115%. For the full year, we continue to expect the free cash flow to adjusted net earnings ratio of 90% or more.

營運資本效率仍然是一個機會和優先事項。我們預計下半年營運現金流將持續改善。本季度，資本支出為 1,700 萬美元，帶來 1.38 億美元的強勁自由現金流和 115% 的自由現金轉換率。對於全年而言，我們繼續預期自由現金流與調整後淨收益比率將達到 90% 或以上。

Other uses of cash during the second quarter included nearly $60 million for dividends and share repurchases combined. Importantly, we closed the quarter with a net debt to adjusted EBITDA ratio of 1.25 times, our lowest level in the last decade, providing significant flexibility for capital allocation choices. It's important to note that with our current leverage level, the $266 million break fee represents an opportunity to allocate capital. As we have demonstrated, we will be thorough and disciplined in approach, including consideration of shareholder returns. We currently have over $200 million remaining under our share repurchase authorization.

第二季的其他現金用途包括總計近 6,000 萬美元的股息和股票回購。重要的是，本季末我們的淨債務與調整後 EBITDA 比率為 1.25 倍，這是近十年來的最低水平，為資本配置選擇提供了極大的靈活性。值得注意的是，以我們目前的槓桿水平，2.66億美元的解約費代表著一個配置資本的機會。正如我們所表明的，我們將採取徹底而嚴謹的方法，包括考慮股東回報。目前，我們的股票回購授權餘額還剩下 2 億多美元。

Turning to our 2025 outlook on slide 11. While the environment continues to evolve, we delivered robust first half results and remain focused and committed on growth, margin expansion and cash flow generation in the second half of the year. As a result, we are increasing our earnings guidance, including an adjusted operating margin expansion of 200 basis points and adjusted earnings per share of $3.25 to $3.40. The macro environment has resulted in some bookings and revenue deferrals, and we now expect organic sales growth to range from 3% to 4%, a modest decrease from our prior guidance of 3% to 5%. So back half organic growth is expected to be higher than the first half organic growth.

轉向第 11 張幻燈片上的 2025 年展望。儘管環境不斷變化，我們上半年仍取得了強勁的業績，並將繼續專注於下半年的成長、利潤率的擴大和現金流的創造。因此，我們上調了獲利預期，包括調整後營業利潤率提升200個基點，調整後每股收益從3.25美元增至3.40美元。宏觀環境導致部分訂單和收入遞延，我們目前預期有機銷售額成長將在3%至4%之間，較先前3%至5%的預期略有下降。因此，預計下半年有機成長將高於上半年有機成長。

With the weakening of the US dollar, we also expect the impact from currency rates to be neutral to slightly positive to growth and earnings for the full year. We also expect this year's tax rate to be 20%, a modest improvement versus our prior guidance of 21%, driven by discrete benefits from foreign operations. Lastly, we expect the Mogas operations to now contribute approximately $0.08 to full year adjusted EPS.

隨著美元走弱，我們也預期貨幣匯率對全年成長和獲利的影響將是中性或略微正面的。我們也預計今年的稅率為 20%，與我們先前預測的 21% 相比略有改善，這得益於海外業務帶來的單獨收益。最後，我們預計 Mogas 業務現在將為全年調整後每股收益貢獻約 0.08 美元。

Turning to the progression of earnings. We expect to deliver higher earnings in the second half of the year compared to the first half driven by increased revenues, but tempered somewhat by a higher tax rate and a more normalized mix composition versus that in the second quarter, which we expect to modestly impact back half gross margins. Specifically, we would expect Q3 revenue to be similar to Q2 and to include the aforementioned shift in mix. Revenue in Q4 will experience the traditional ramp with incremental volume benefiting operating income with margins increasing sequentially from Q3 levels.

談到收益的成長。我們預計下半年的利潤將高於上半年，這得益於收入的增長，但與第二季度相比，由於稅率的提高和產品組合更加規範化，盈利將有所下降，我們預計這將對下半年的毛利率產生輕微影響。具體來說，我們預計第三季的營收將與第二季相似，並包括前面提到的組合變化。第四季的收入將經歷傳統的成長，銷量的增加將有利於營業收入，利潤率也將比第三季的水平連續增加。

On a year-over-year basis, we continue to expect gross and operating margin expansion in both the third and fourth quarters. Additionally, our annual true-up of certain incurred but not reported liabilities is expected to occur in the third quarter, though this true-up will be excluded from our adjusted results in 2025 and going forward.

與去年同期相比，我們預計第三季和第四季的毛利率和營業利潤率都將擴大。此外，我們預計將在第三季對某些已發生但未報告的負債進行年度調整，但此類調整將被排除在我們 2025 年及以後的調整結果之外。

We continue to expect the fourth quarter to be our highest earnings quarter driven by the acceleration of growth, acquisition synergies and our 80/20 program results. In summary, I am proud of our first half results and believe we are well positioned to drive year-over-year earnings growth in the second half of the year.

我們繼續預期第四季度將成為我們獲利最高的季度，這得益於成長加速、收購綜效以及我們的 80/20 計畫成果。總而言之，我為我們上半年的業績感到自豪，並相信我們有能力在下半年實現盈利同比增長。

Let me now turn the call back to Scott.

現在讓我把電話轉回給史考特。

Thanks, Amy. We'll now turn to slide 12. Looking ahead, I remain excited about our ability to drive significant value for our shareholders. We are executing from a clear position of strength with significant momentum. Global demand for our mission-critical flow control products and solutions remains robust and our 3D strategy has us positioned to deliver sustained growth.

謝謝，艾米。我們現在翻到第 12 張投影片。展望未來，我仍然對我們為股東創造巨大價值的能力感到興奮。我們正以明顯的優勢和強勁的勢頭執行任務。全球對我們的關鍵任務流量控制產品和解決方案的需求仍然強勁，我們的 3D 策略使我們有能力實現持續成長。

The Flowserve Business System is accelerating performance across the organization, and we see further opportunities to drive growth, productivity and margin expansion to unlock further value. Our strong free cash flow generation positions us to invest in innovation and strategic initiatives to support our customers' evolving needs across the industrial spectrum.

福斯業務系統正在加速整個組織的績效，我們看到了推動成長、生產力和利潤率擴張以釋放更多價值的更多機會。我們強大的自由現金流創造能力使我們能夠投資於創新和策略性舉措，以支持客戶在整個工業領域不斷變化的需求。

In closing, on slide 13, our end markets remain healthy and our execution is the best I have seen so far with more opportunities for improvement. We continue to deliver towards our 2027 margins and EPS targets and are well positioned to deliver strong performance for the full year in 2025. The midpoint of our updated adjusted EPS guidance represents an impressive 27% increase versus last year and, combined with the significant EPS growth we delivered in 2024, we are positioned to grow adjusted EPS nearly 60% since 2023.

最後，在第 13 張投影片上，我們的終端市場依然健康，我們的執行力是我迄今為止見過的最好的，並且還有更多的改進機會。我們將繼續努力實現 2027 年的利潤率和每股盈餘目標，並已準備好在 2025 年全年實現強勁業績。我們更新後的調整後每股盈餘指引的中點比去年成長了 27%，令人印象深刻，再加上 2024 年實現的顯著每股盈餘成長，我們有望使調整後的每股盈餘自 2023 年以來成長近 60%。

I'm proud of our associates and their hard work to deliver significant value for our shareholders, and we look forward to continuing to do so in the future. With that, I'll turn the call over to the operator to open up questions and answers.

我為我們的員工以及他們為股東創造巨大價值的辛勤工作感到自豪，我們期待在未來繼續這樣做。說完這些，我將把電話轉給接線員，以開始問答。

(Operator Instructions) Andy Kaplowitz, Citigroup.

（操作員指示）花旗集團的 Andy Kaplowitz。

Scott, can you give more color into the bookings environment and your expectation for book to bill around 1 for the year, which I think would imply bookings slightly over 1 for the second half. So maybe talk about the visibility toward those bookings. Are you seeing any evidence that some of the delayed projects you saw in Q2 are starting to move forward again in Q3? And I think you mentioned the funnel is up sequentially. Any way to quantify what the funnel actually looks like?

斯科特，您能否更詳細地介紹一下預訂環境以及您對今年訂單出貨比約為 1 的預期，我認為這意味著下半年的預訂量將略高於 1。所以也許可以談談這些預訂的可見性。您是否看到任何證據表明，您在第二季度看到的一些被推遲的項目在第三季度開始再次向前推進？我認為您提到漏斗是按順序上升的。有什麼方法可以量化漏斗的實際樣子嗎？

Sure. Yes. Obviously, the market is a little bit uncertain right now. Certainly, in the second quarter the macro picture plus the tariffs really impacted some of the project spending and some of those projects just shifting. And it makes sense, right? I mean operators want to have clear financial returns in their assessments before they pull the trigger. And so I'd say, not overly surprising for us.

當然。是的。顯然，目前市場有點不確定。當然，第二季的宏觀情況加上關稅確實影響了一些項目支出，其中一些項目正在轉變。這是有道理的，對吧？我的意思是，運營商在採取行動之前希望在評估中獲得明確的財務回報。所以我想說，這對我們來說並不太令人驚訝。

On the positive side, our run rate and aftermarket business was incredibly strong and we didn't see any slowdown at all in that run rate or aftermarket business throughout Q2, and we certainly don't expect that on a go-forward basis. As you said, Q2 -- well, first half of the year, book-to-bill is 0.99. And so we're -- we believe at this point with everything we know that the full year will be 1.0, which implies slightly better than 1.0 in the second half of the year.

從積極的一面來看，我們的運行率和售後市場業務非常強勁，我們在整個第二季度沒有看到運行率或售後市場業務有任何放緩，我們當然也不期望這種情況在未來繼續發生。正如您所說，第二季度，也就是上半年，訂單出貨比是0.99。因此，根據我們目前掌握的所有信息，我們認為全年訂單出貨比將達到1.0，這意味著下半年的訂單出貨比將略高於1.0。

And right now, the project funnel is up sequentially and so the opportunities are there. Just as a reminder, that funnel number is a one-year funnel, and so that would take us into the second half of 2026. But the teams have a bottom-up approach, and we wouldn't talk about 1.0 if we didn't have the visibility to deliver that. And so I'd say there is some risk with it as there continues to be some uncertainty in the trade environment, which causes cost uncertainty with projects.

現在，專案漏斗正在逐步上升，因此機會就在那裡。提醒一下，這個漏斗數字是一年的漏斗數字，所以這將帶我們進入 2026 年下半年。但團隊採用的是自下而上的方法，如果我們不具備實現這一目標的可見性，我們就不會談論 1.0。因此我認為這存在一些風險，因為貿易環境仍然存在一些不確定性，這導致專案成本的不確定性。

And so I'd say that's what we're watching the closest is the project environment. It's impacting the energy side of our business in the chemical side of our business more than anything else. General industries appears to be pretty robust at this point. We had some really nice general industry bookings in the quarter, and then the power bookings remain incredibly strong.

所以我想說，我們最密切關注的是專案環境。它對我們化學業務的能源方面的影響比其他任何事情都大。目前，一般工業似乎相當強勁。本季度，我們獲得了一些非常好的一般行業訂單，而電力訂單仍然保持著驚人的強勁。

And so have seen -- back to your last kind of question was we have seen some projects now move into financial decision in Q3. And so we're confident we'll win some nice awards in Q3. And again, given the current environment, we feel as comfortable and confident as we can to deliver 1.0 given everything we know today.

所以我們看到——回到你的最後一個問題，我們已經看到一些專案現在在第三季進入財務決策階段。因此我們有信心在第三季贏得一些不錯的獎項。再次強調，考慮到當前的環境，根據我們今天所了解的一切，我們感到很安心和有信心能夠推出 1.0 版本。

Yes. Andy, the only thing that I would add to that is as we look at July activity, Scott referenced really no large project orders were placed in the second quarter. And this month already, we've seen a large project order sort of the size of the three that were in the $11 million to $12 million range in the third quarter combined. So we feel pretty good about that project funnel delivering in the third quarter.

是的。安迪，我唯一要補充的是，當我們回顧 7 月的活動時，史考特提到第二季確實沒有下達大型專案訂單。本月，我們已經看到一個大型項目訂單，其規模相當於第三季三個項目訂單的總和，金額在 1100 萬美元至 1200 萬美元之間。因此，我們對第三季的專案交付感到非常滿意。

Very helpful. And then, Scott or Amy, we understand that Mogas is diluting FCD margin, but how should we think about the potential improvement in the segment moving forward? Obviously, you disclosed the 260 basis points in Q2. But how do we think about ongoing pressure from Mogas? And stepping back, Scott, as you know, FCD used to have similar, maybe even better margin than FPD. So what will it take or what timeframe can margin FCD get back closer to the levels of FPD?

非常有幫助。然後，斯科特或艾米，我們知道 Mogas 正在稀釋 FCD 利潤率，但我們應該如何看待該領域未來的潛在改善？顯然，您在第二季度披露了 260 個基點。但是我們如何看待來自 Mogas 的持續壓力呢？退一步說，斯科特，如你所知，FCD 的利潤率曾經與 FPD 相似，甚至可能更好。那麼需要什麼條件或什麼時間範圍FCD保證金才能回到接近FPD的水平呢？

Yes. For a long time FCD have the higher margin. So maybe I'll let Amy walk through the margin and kind of how we see it and then the Mogas impact and then I'll kind of summarize that.

是的。長期以來，FCD 擁有較高的利潤率。因此，也許我會讓艾米講一下利潤率以及我們如何看待它，然後講講 Mogas 的影響，然後我會總結一下。

Yes. And I think you're right, Andy. To truly understand the performance, you have to look at organic FCD and Mogas somewhat separately right now. The organic FCD had a solid quarter. We still want to see more margin expansion than where we're at, but gross margins did improve 180 basis points and OI improved 140 basis points year-on-year excluding Mogas. As we look at the Mogas side of the business, really three issues impacted the quarter.and give us some confidence that this is a temporary issue.

是的。我認為你是對的，安迪。要真正了解性能，您現在必須分別看待有機 FCD 和 Mogas。有機 FCD 本季表現穩健。我們仍然希望看到利潤率比現在有更大的成長，但毛利率確實提高了 180 個基點，OI 年比提高了 140 個基點（不包括 Mogas）。當我們審視 Mogas 業務時，確實有三個問題影響了本季度，並且讓我們有信心這只是一個暫時的問題。

We focused a lot on this module, this fabricated module business. That's one we absolutely planned on discontinuing or not continuing once these orders shipped. And so they're working through the system really in the first three quarters of this year. But it's taken a little bit longer and cost a bit more to shift that final module than we'd expected, and so that's really the first item factoring their performance.

我們非常關注這個模組，這個製造模組業務。一旦這些訂單發貨，我們絕對計劃停止或不再繼續這種業務。因此，他們實際上在今年前三個季度就已經開始實施這個系統。但轉移最終模組所花的時間和成本比我們預期的要長一些，所以這確實是影響其性能的首要因素。

And then the second is really around project bookings that have been slower in really the last nine months than we would have anticipated. That has impacted their backlog a bit, but it's also impacted bookings and project revenues in the first half of the year. We do have visibility to elevate the project bookings over the next 12 months, and I think we remain really excited about the exposure that Mogas overall gives us to the mining and minerals business.

第二個問題是，過去九個月的專案預訂速度比我們預期的要慢。這對他們的積壓訂單產生了一些影響，但也影響了上半年的預訂量和專案收入。我們確實有望在未來 12 個月內提升專案訂單量，我認為，我們仍然對 Mogas 為採礦和礦產業務帶來的整體曝光感到非常興奮。

And so we remain pretty committed to that. And I'd say, overall, the integration is going well. So really synergy realization, which we've needed to overcome some of these issues, is right on track, right where we wanted to be. And so I would say it's been a little messy in our first six months of ownership, but we're really excited about the continued options and future of Mogas that it gives us, not just within that business but for cross-selling.

因此我們仍然致力於此。我想說，整體而言，整合進展順利。因此，我們克服其中的一些問題所需要的協同效應的實現正處於正確的軌道上，也正是我們想要達到的。所以我想說，在我們擁有 Mogas 的頭六個月裡，情況有點混亂，但我們對它為我們提供的持續選擇和未來感到非常興奮，不僅僅是在該業務範圍內，還包括交叉銷售。

Yes. And then I'll just add, first, on Mogas, Mogas is a good business. We've got to get these fabricated modules through the system and we'll start to clear that toward the end of the year. And then secondly, the project bookings have to come through. And the mining and minerals industry is actually really strong. We've got visibility to those orders as we go forward. And so we feel really good about the Mogas business. It's just we got to clear through some of these things that we identified in due diligence.

是的。然後我再補充一點，首先，關於 Mogas，Mogas 是一門很好的生意。我們必須讓這些製造的模組通過系統，並將在年底開始清理。其次，專案預訂必須完成。採礦和礦產行業實際上非常強大。隨著我們不斷前進，我們已經能夠清楚地看到這些訂單。因此，我們對 Mogas 業務感到非常滿意。我們只是需要弄清楚在盡職調查中發現的一些問題。

And then back to FCD in its aggregate. In theory, Mogas should be accretive to the FCD overall financials. And so we'll start to see that play out in 2026 and beyond. And like you said, Andy, we do believe and we are definitely leaning toward making sure that the gross margins in FCD are back to where we saw historically in that kind of the mid-30s to mid- to high 30s, if you will, on the gross margin side. And we have the playbook. The Flowserve Business System, the operational excellence, the 80/20 has delivered incredible results on the FPD side.

然後返回到其聚合中的 FCD。從理論上講，Mogas 應該能夠為 FCD 的整體財務狀況帶來增值。因此，我們將在 2026 年及以後看到這種情況的發生。正如您所說，安迪，我們確實相信，並且我們絕對傾向於確保 FCD 的毛利率回到我們歷史上看到的水平，即 35% 左右到 35% 左右，如果您願意的話，就毛利率而言。我們有劇本。福斯業務系統、卓越營運和 80/20 在 FPD 方面取得了令人難以置信的成果。

We're running that exact same playbook in FCD. We started a little bit later, and so they were always going to be a little bit of a lag behind the FPD progress, but the Mogas is definitely impacting the more. I will now be spending more time with our FCD team than I would have done prior to our announcement yesterday. And so I'll be in Europe on Monday morning with the team and going through a couple of their sites and making sure that we are doing the right things. And so we do have a lot of confidence in that team and definitely look forward to a second half of improved margins.

我們在 FCD 中運行著完全相同的劇本。我們起步稍晚，因此他們總是會落後於 FPD 的進步，但 Mogas 的影響肯定更大。我現在將花更多時間與我們的 FCD 團隊在一起，比昨天宣布之前要多。因此，我將於週一早上與團隊一起前往歐洲，參觀他們的幾個站點，確保我們所做的事情是正確的。因此，我們對該團隊充滿信心，並期待下半年利潤率提高。

Deane Dray, RBC Capital Markets.

加拿大皇家銀行資本市場 (RBC Capital Markets) 的 Deane Dray。

I want to go through kind of the implications of this whole Chart experience, if I can call it that. So look, in our view, the deal made sense when it was announced. The deal termination also makes complete sense. So that chapter gets closed. But now we do know more about Flowserve's growth ambitions. So does that growth ambition get put the genie back in the bottle? Or are you in the hunt for another deal? I love hearing that you can focus now 100% back on the business and you're going to spend time at FCD, that makes sense. But what about this growth ambition? And how does that play out? And how can -- what can you say about it today?

我想詳細了解整個 Chart 體驗的含義（如果我可以這麼稱呼的話）。因此，我們認為，這筆交易在宣佈時是合理的。終止交易也是完全合理的。所以這一章就結束了。但現在我們對福斯的成長抱負有了更多的了解。那麼，這種增長雄心是否會讓魔鬼再次回到瓶子裡？或者您正在尋找另一筆交易？我很高興聽到你現在可以 100% 專注於業務，並且你會在 FCD 上度過一段時間，這很有意義。但這個成長目標又如何呢？那麼結果如何呢？那麼，您今天對此有何評論呢？

Sure. Deane, let me just start with a couple of comments that you said at the beginning because I do think they're important. And I put this in the prepared remarks. And while we are disappointed in the outcome, we believe this business is in a really good place. We were always bought into the strategic logic and the combination, right, the flow and the thermal management, and there is something there that we thought we could do that was truly transformational in the space.

當然。迪恩，讓我先從你一開始說的幾點評論開始，因為我確實認為它們很重要。我已將此寫入準備好的發言稿中。儘管我們對結果感到失望，但我們相信這項業務的狀況非常好。我們始終堅信策略邏輯和組合，對的，就是流動和熱管理，我們認為我們可以做一些真正能改變這個領域的事。

I am proud of our team and our Board to remain disciplined in the early negotiations and getting to a deal but also in our ability to exit and terminate the deal in a successful way. And obviously, that results in a $266 million breakup fee that enhances our balance sheet. And we've received that money to date, and so that's in our bank account, and we are looking to how to deploy that properly.

我為我們的團隊和董事會在早期談判中保持紀律並達成協議而感到自豪，也為我們能夠成功退出和終止交易的能力而感到自豪。顯然，這會產生 2.66 億美元的分手費，從而增強我們的資產負債表。到目前為止，我們已經收到了這筆錢，並且已經存入了我們的銀行帳戶，我們正在研究如何正確地使用這筆錢。

Additionally, we were able to secure a supply agreement with Chart that really was kind of on the back of some of the revenue synergies that we were talking about with the combination. We wanted to make sure the Flowserve product got pulled through. And so we've got a multiyear supply agreement to progress that forward. And so as we think forward, right, we're not going to shy away from M&A. And I'm going to let Amy talk about kind of how we think about that and what it looks like.

此外，我們還與 Chart 達成了供應協議，這實際上得益於我們在合併時談到的一些收入協同效應。我們希望確保福斯產品能夠順利通過。因此，我們達成了一項多年供應協議來推進這項進程。因此，當我們展望未來時，我們不會迴避併購。我將讓艾米談談我們對此的看法以及它是什麼樣子的。

But what I'd say is the other thing that we demonstrated here is that we can make progress while the corporate team looks at mergers and acquisitions. And we delivered an incredibly strong quarter despite the fact that we were in a small group of our corporate team was involved in pulling off a transaction and starting to build a very robust integration plan. And so that gives me confidence that we can do things a little bit differently here, that we can lean in. But I'd also say do we're going to do that incredibly thoughtfully and we're going to be incredibly disciplined. But Amy, you want to pick up on that?

但我想說的是，我們在這裡展示的另一件事是，當公司團隊考慮併購時，我們可以取得進展。儘管我們只是公司團隊中參與完成交易並開始製定非常穩健的整合計劃的一小部分人，但我們仍然取得了令人難以置信的強勁季度業績。因此，這讓我有信心，我們可以在這裡做一些不同的事情，我們可以依靠。但我還要說，我們會非常謹慎地做這件事，而且我們會非常自律。但是艾米，你想了解一下嗎？

Yes. So I would say, Deane, our -- the filter which we are going to use M&A to really shareholder value is unchanged from before the time that we announced the acquisition. So we look for transactions that fit our strategy around diversification, decarbonization and digitization. And ideally, that comes with an attractive aftermarket component or opportunity for us to build on. We want to see attractive financials that drive accretion at both the margin and the cash flow level, and we want to maintain our healthy balance sheet and investment-grade rating.

是的。所以我想說，迪恩，我們利用併購來真正實現股東價值的過濾器與我們宣布收購之前一樣，沒有改變。因此，我們尋找符合我們多元化、脫碳和數位化策略的交易。理想情況下，這將為我們帶來有吸引力的售後市場組件或發展機會。我們希望看到有吸引力的財務狀況，推動利潤率和現金流量水準的成長，並且我們希望保持健康的資產負債表和投資等級評級。

And so we've proven to be pretty disciplined in this approach, and you can certainly expect that as we go forward. And I think that the -- it's important -- we're going to take a moment to breathe after this. But I think that the Chart transaction demonstrates three elements of our process. And that's although the majority of our opportunities going forward are going to be bolt-ons, we will look at larger transactions if the value creation is compelling. And I think that that is a sort of a risk-reward proposition that we look to fully understand. We're going to be disciplined in our approach as evidenced by our desire to not pursue this deal at any cost.

事實證明，我們在這種方法上是相當嚴謹的，而且隨著我們不斷前進，您當然可以期待這一點。我認為——這很重要——在這之後我們需要花一點時間來喘口氣。但我認為圖表交易展示了我們流程的三個要素。儘管我們未來的大部分機會都將是附加的，但如果價值創造引人注目，我們也會考慮更大的交易。我認為這是我們希望充分理解的風險回報主張。我們將嚴格遵守我們的做法，這一點從我們不想不惜一切代價達成這筆交易就可以看出。

And finally, I just want to point out that we were able to progress the deal, announce and begin integration planning while delivering what was really an outstanding quarter in Q2. And I think that's evidence that the Flowserve Business System is mature enough to allow parts of the organization to spend time on strategic opportunities while not impeding the progress of our organic business. And so it's one of the reasons why we feel confident in M&A being part of our strategy going forward.

最後，我只想指出，我們能夠推進交易、宣布並開始整合規劃，同時在第二季實現了真正出色的業績。我認為這證明福斯業務系統足夠成熟，可以讓組織的各部門花時間抓住策略機遇，同時又不會妨礙我們有機業務的進展。因此，這也是我們對併購成為未來策略一部分充滿信心的原因之一。

Look, I really appreciate all that context and color. And I think Scott made my second question to Amy just the idea of how does M&A play out from here. So that counts my two questions. I appreciate all the color.

看，我真的很欣賞所有的背景和色彩。我認為斯科特向艾米提出了我的第二個問題，即併購從現在開始如何進行。這就是我的兩個問題。我欣賞所有的色彩。

Thank you.

謝謝。

Damian Karas, UBS.

瑞銀的 Damian Karas。

Amy, you were talking a little bit about the FPD segment margin and -- excuse me, FCD is what I meant to say, and the opportunity to continue to push that over 20%. Curious to hear what are the biggest remaining levers that you see after the progress that you've already made there?

艾米，你剛才談到了 FPD 細分市場的利潤率，不好意思，我的意思是 FCD，以及繼續將其推高至 20% 以上的機會。好奇的是，在你們已經取得進展之後，你們認為剩下的最大的槓桿是什麼？

Yes. So I think with FPD, I just want to take a little bit of a victory lap that we're really excited about where we finished the quarter from a margin perspective, both gross margins and what we see saw drop to the operating margin line at over 20%. I think the things that continue to give us confidence that, that's a level that we can and will achieve again and that we can build on is really a couple of things.

是的。因此，我認為，對於 FPD，我只想稍微慶祝一下，我們對本季的利潤率感到非常興奮，無論是毛利率還是營業利潤率，我們都看到利潤率下降到了 20% 以上。我認為，讓我們繼續相信我們能夠並且將會再次達到這一水平並且我們可以在此基礎上繼續努力的事情確實有幾件事。

I think, one, the initiatives that the teams are focused on, including aftermarket capture are driving that margin expansion. And then really, the second is around 80/20. We are very much in early days of 80/20. And so we've started to see those results come through in some really faster than I think that we anticipated. But there's more to be done here.

我認為，首先，團隊所關注的舉措，包括售後市場佔領，正在推動利潤率的擴大。實際上，第二個比例大約是 80/20。我們正處於 80/20 的早期階段。因此，我們開始看到這些結果的出現，速度確實比我們預期的要快。但這裡還有很多工作要做。

And so really, what we've asked of the FPD team, we talked to our leaders this morning, and we said, please lean into growth. This is one of the reasons why we've launched our Commercial Excellence programs. But at 20% operating margins or 18% to 20% operating margins, this is a business that we really want to be focused on continuing to grow on behalf of our Flowserve shareholders.

所以實際上，我們對 FPD 團隊的要求是，我們今天早上與我們的領導進行了交談，我們說，請傾向於成長。這就是我們推出商業卓越計劃的原因之一。但在 20% 的營業利潤率或 18% 至 20% 的營業利潤率下，我們真正希望集中精力為 Flowserve 股東繼續發展這項業務。

And I'll just add -- I'll add a third lever there, which is technology. And so we've talked about some really differentiated technology within the pump area. And so we've got a pressure exchange device called Flex. We've got a hydrogen pump that's differentiated. We're commercializing an LNG and a cryogenic pump.

我還要補充一點──我要補充第三個槓桿，那就是科技。因此，我們討論了泵浦領域內一些真正差異化的技術。因此我們有一個稱為 Flex 的壓力交換裝置。我們有一個差異化的氫泵。我們正在將液化天然氣和低溫泵商業化。

All of those will be at premium margins given the technology that's embedded in those products. And so as we move toward commercialization and growth here, that's going to help us as well. And so we couldn't be more proud of what the FPD team has done. They've made really good progress. They're incredibly focused, and we're excited about the journey forward here.

考慮到這些產品所採用的技術，所有這些產品的利潤率都將很高。因此，當我們走向商業化和成長時，這也將對我們有所幫助。因此，我們對 FPD 團隊所做的一切感到無比自豪。他們確實取得了很大的進步。他們非常專注，我們對未來的旅程感到興奮。

I think my mixing up of the Ps and the Cs and the Ds just rubbed off on you, Scott. So I apologize, but you guys knew what I was talking about. On the -- I just wanted to ask you, so the nuclear bookings, you called out at $60 million in the quarter. So obviously a little bit of a step down from that $100 million plus you've been talking about the last several quarters. Is that just more a timing factor than anything else? Or should we be reading anything in addition to that? I mean, it just seems like since last quarter, there's been more positive headlines around future nuclear activity.

我覺得我混淆了 P、C 和 D 對你產生了影響，斯科特。所以我很抱歉，但你們知道我在說什麼。關於——我只是想問您，您所說的本季核訂單金額為 6000 萬美元。因此，顯然，與您過去幾季談論的 1 億美元相比，這個數字略有下降。這僅僅是時間因素嗎？或者除此之外我們還該讀些什麼？我的意思是，似乎自上個季度以來，有關未來核活動的正面消息越來越多。

Yes. So the nuclear orders are definitely lumpy. They're large in size. And you are -- sometimes you'll get smaller ones in the $10 million to $15 million range, but the larger ones are $ 30 million, $50 million and sometimes even $100 million. And so it really is just project timing. And so these are hard to get over the finish line, not because we're going to win or lose but just making sure all the documentation is correct and making sure that you're working through the customer through a very technical process.

是的。因此核訂單肯定是不穩定的。它們體型很大。有時你會得到 1000 萬美元到 1500 萬美元之間的較小金額，但較大的金額則是 3000 萬美元、5000 萬美元，有時甚至是 1 億美元。所以這其實只是專案時機問題。因此，這些都很難完成，不是因為我們會贏或輸，而只是確保所有文件都是正確的，並確保你透過一個非常技術性的過程與客戶合作。

And so I wouldn't read anything into the $60 million versus kind of the last three quarters at $100 million. We still see that this is an incredibly attractive kind of market and our funnel continues to grow and it's at the highest level that we've ever seen. And so I'd just -- I'd chalk it up to a little bit of timing, a little bit of a lumpy orders, but we're excited about nuclear as being a part of the mix as they go forward. And then the other one I just wanted to call out, we put it in the prepared remarks, but we did win our first commercial award for a small modular nuclear reactor.

因此，我不會對 6000 萬美元與過去三個季度的 1 億美元進行比較做出任何解釋。我們仍然認為這是一個極具吸引力的市場，我們的通路持續成長，目前已達到我們所見過的最高水準。所以我只是 - 我會將其歸結為一點點時間，一點點不規則的訂單，但我們很高興看到核能成為未來發展的一部分。然後我想提一下另一個，我們把它寫在了準備好的演講稿中，但我們確實贏得了第一個小型模組化核反應器商業獎項。

And so we've been participating in that. A lot of it has been through technology development. And so we have a handful of partnerships where we've been doing a lot of work to make sure that our technology is positioned well for SMR. And in the quarter, we were able to secure our first award where we will provide the primary pumps for SMR technology. And so we continue to differentiate and put ourselves in a really good position to work both in traditional nuclear power, but also in the SMR as that starts to take traction.

因此我們一直在參與此事。其中很多是透過技術開發實現的。因此，我們與一些合作夥伴一起做了大量工作，以確保我們的技術能夠很好地適應 SMR。在本季度，我們獲得了第一筆合同，將為 SMR 技術提供主泵。因此，我們繼續保持差異化，使自己處於非常有利的地位，不僅在傳統核電領域，而且在 SMR 領域也開始獲得關注。

Nathan Jones, Stifel.

內森瓊斯（Nathan Jones），Stifel。

I guess I'll start on the Commercial Excellence. I mean you talked about starting the Commercial Excellence pillar of your 80/20 initiatives in the second quarter. Can you maybe talk a little bit more about what that involves for Flowserve, how you're deploying that? I assume you're probably focused a little more on FPD to start with, with FCD meeting probably some more margin work before it pursues growth. But just any more color you can provide us around that.

我想我會從商業卓越開始。我的意思是，您談到在第二季度啟動 80/20 計劃的商業卓越支柱。您能否再多談一下這對福斯來說意味著什麼，以及您如何部署它？我認為您可能首先會更專注於 FPD，而 FCD 在追求成長之前可能需要完成更多的利潤工作。但您可以為我們提供更多相關資訊。

Sure. Yes. Let me start on kind of why Commercial Excellence is so important. And then I'm going to let Amy jump in as she is our executive sponsor for Commercial Excellence. But really, as we think about the Flowserve Business System and kind of the progress there, we really had to get operational excellence going in and making sure that we're delivering for our customers in the right way. And so we feel really good about that progress and the sustainability of that program.

當然。是的。讓我先來談談為什麼商業卓越如此重要。然後我要讓艾米加入，因為她是我們商業卓越的執行發起人。但實際上，當我們考慮福斯業務系統及其進展時，我們確實必須實現卓越營運並確保以正確的方式為客戶提供服務。因此，我們對該計劃的進展和可持續性感到非常滿意。

And then as you know, last year, we doubled down on portfolio excellence, which is where we embed the 80/20 program. We're now fully into that kind of second year of 80/20. We've got all product lines in there. And by definition, when you look at 80/20, you start to call out some of your products. And that puts some downward pressure on revenue. And so while we are focused with our customers on our top products that makes sense for Flowserve and for our customers, there are things that are coming out of the system.

然後，如您所知，去年，我們加倍重視投資組合的卓越性，這就是我們嵌入 80/20 計劃的地方。我們現在已完全進入 80/20 的第二年。我們擁有所有產品線。根據定義，當您查看 80/20 時，您就會開始呼叫一些產品。這給收入帶來了一些下行壓力。因此，當我們專注於為客戶提供對福斯和我們的客戶都有意義的頂級產品時，系統中也會出現一些問題。

And so the natural progression is then the commercial excellence to make sure that our whole organization is leaning in toward growth and making sure that we can kind of pick up some of the loss from the 80/20 program as we cut products out. And so this is the right thing to do. We're at the right time. And I'll let Amy kind of talk through some of the tenets of Commercial Excellence.

因此，自然的進展就是商業卓越，以確保我們整個組織都傾向於成長，並確保我們在削減產品時能夠彌補 80/20 計劃帶來的部分損失。所以這是正確的做法。我們正處於正確的時間。我會讓艾米談談商業卓越的一些原則。

Yes. And Scott touched on this, but really the goal is to use enhanced commercial performance to offset revenue reductions from 80/20 decisions and so we don't lose sight as an organization the goal to grow. And so the pillar is intended to really cover all elements of the commercial life cycle. And so that's opportunity generation all the way through kind of post shipment support and recovery. And it is supposed to be cover channel management, pricing, incentives, use of analytics to drive better performance within the organization.

是的。史考特談到了這一點，但真正的目標是利用增強的商業績效來抵消 80/20 決策造成的收入減少，這樣我們就不會忘記組織的成長目標。因此，該支柱旨在真正涵蓋商業生命週期的所有要素。這就是透過裝運後支持和恢復來創造機會的過程。它應該涵蓋通路管理、定價、激勵、使用分析來推動組織內部的更好績效。

And I think what's really cool is as we've seen the progress that we made around portfolio and operations, the organization is really excited about strengthening our capabilities in these areas. So we've launched pilots this summer around the program and would expect to start to see results being demonstrated in our 2026 bookings levels.

我認為真正酷的是，我們看到了我們在投資組合和營運方面取得的進展，組織對加強我們在這些領域的能力感到非常興奮。因此，我們今年夏天圍繞該計劃啟動了試點，並期望在 2026 年的預訂水平上開始看到成果。

It's something that Scott and I are going to be very focused on going into our annual operating planning. And I think what's great about this is I'm sponsoring the program, but really the program is being led by our commercial leaders with a lot of input from the people on the ground who are helping our customers on a daily basis. And so we're excited to see what comes next year.

斯科特和我將在年度營運計劃中重點關注這一點。我認為這項計劃的優點在於我贊助了該計劃，但實際上該計劃是由我們的商業領袖領導的，並吸收了每天為我們的客戶提供幫助的當地人員的大量意見。因此，我們非常期待看到明年會發生什麼。

And does this start in FPD and will move to FCD maybe as it progresses through its simplification initiatives?

這是否從 FPD 開始，並可能隨著其簡化措施的進展而轉移到 FCD？

So we started this across the commercial organization. And so we've gotten input from both FPD and FCD commercial organizations and businesses as we move forward. But you are correct, Nathan, that we're much more focused on growth in FPD than we are in FCD at this point in time. And so that means the pilots that are being launched in both programs are specifically addressed to sort of improve elements of the business that we think that we can drive marginality through focusing on.

因此我們在整個商業組織中開始了這項工作。因此，我們在前進的過程中得到了 FPD 和 FCD 商業組織和企業的意見。但是，內森，您說得對，目前我們更關注 FPD 的成長，而不是 FCD 的成長。這意味著，這兩個計畫中啟動的試點計畫專門用於改善我們認為可以透過關注來推動邊緣化的業務要素。

I just have one clarification on the dilution you're seeing in Mogas. These modular things, as I -- the last one of those or last ones of those get delivered in the third quarter of this year, is that what I heard you say? And then maybe if you can just provide some color on kind of what in-built margin expansion there would be just from the absence of having to deliver those things.

我只是想澄清一下您在 Mogas 中看到的稀釋現象。這些模組化的東西，據我所知——其中最後一個或最後幾個將在今年第三季度交付，這是我聽到您說的話嗎？然後，也許您能提供一些關於由於無需交付這些東西而產生的內在利潤擴張的詳細資訊。

Yes. I'll hit timing. I'll let Amy hit the margin. So these are -- this is -- we've got one large fabrication. This is a really, really big fabrication. It is at, call it, 90-plus percent complete. Sadly, to get this completely out of our business, it's going to take us in the early part of 2026. There won't be a ton of revenue at the end of this year, but there will be a little bit of a remaining tail. And so the team is working hard to get this cleaned up and officially delivered to our customer. And as you know, this is obviously a percentage of completion accounting. And so there's not a whole lot there, but we will be impacted in the second half of the year and then just a touch in the first quarter.

是的。我會把握時機。我會讓艾米達到邊緣。所以這些是 — — 這是 — — 我們得到的是一個大型的捏造。這實在是一個天大的謊言。目前，它已經完成了 90% 以上。遺憾的是，要徹底擺脫這個困境，我們需要等到 2026 年初。今年年底不會有大量收入，但會有一點剩餘。因此，團隊正在努力清理這個問題並將其正式交付給我們的客戶。如您所知，這顯然是完工會計的百分比。因此，影響並不大，但我們會在今年下半年受到影響，並在第一季受到輕微影響。

Yes. Just to put it in perspective, Nathan, one, we had some discrete charges as we complete -- as we're moving towards completion on that last module in the second quarter. But just at a standard level, you're looking at between 1,000 and 1,500 basis points differential in margins -- in standard margins between kind of the rest of the Mogas portfolio and modules.

是的。為了更清楚地說明這一點，內森，首先，我們在完成時收取了一些獨立的費用 - 因為我們正在朝著在第二季度完成最後一個模組的方向前進。但僅在標準水平上，您就會看到利潤率差異在 1,000 到 1,500 個基點之間——這是 Mogas 投資組合其餘部分和模組之間的標準利潤率。

Mike Halloran, Baird.

麥克·哈洛倫，貝爾德。

So just want to clarify the -- what happened on the order side and just make sure I understand what has or has not changed. Is it a fair representation to say that there was an air pocket in 2Q and that your expectations for the back half of the year are largely unchanged relative to before? Or maybe better put, what has changed in the back half of the year expectations from an order perspective relative to three or six months ago?

所以只是想澄清一下——訂單方面發生了什麼，並確保我了解哪些發生了變化，哪些沒有變化。可以公平地說，第二季度出現了一個氣泡，而您對下半年的預期與之前相比基本上沒有變化嗎？或者更確切地說，從訂單角度來看，與三到六個月前相比，下半年的預期發生了哪些變化？

Sure. Yes, I'll start with what hasn't changed at all, which is the aftermarket MRO and kind of that run rate business. And so that's coming through at healthy levels, utilizations there, customers are buying parts. They're servicing our equipment. I don't -- we didn't see a change in Q2. There was a lumpy order in Q1. So sequentially you got to normalize for that. But overall, again, it's $600 million of aftermarket. It's a really, really strong number. And we just don't see that slowing down into the second half of the year.

當然。是的，我先從完全沒有改變的部分說起，那就是售後市場 MRO 和類似的營運率業務。因此，這達到了健康水平，利用率在那裡，客戶正在購買零件。他們正在維修我們的設備。我沒有看到第二季有任何變化。第一季的訂單量不穩定。因此你必須按順序對此進行規範化。但整體而言，售後市場的規模仍為 6 億美元。這是一個非常非常強勁的數字。我們認為下半年這一趨勢不會放緩。

What we did see in Q2 was the project bookings and just given the macro environment, given tariffs, given the uncertainty on how to cost things, we just saw larger projects primarily in energy and chemicals press pause. And they wanted to get some certainty on the macro picture. They wanted to get some certainty on what the cost was. And so those -- we saw projects getting delayed. And I'd say a lot of those are a one-quarter delay or two quarters of delay. Some might be a little bit longer.

我們在第二季度看到的是項目訂單，考慮到宏觀環境、關稅、成本不確定性，我們看到主要在能源和化學品領域的大型項目暫停。他們希望對宏觀情況有一定了解。他們想確定一下成本到底是多少。因此，我們看到這些項目被推遲了。我想說其中很多都是延遲了一個季度或兩個季度。有些可能會更長一點。

The current outlook for the second half of the year and everything that we see today remains pretty solid. And I'd say over the last two or three weeks, the macro picture has gotten a little more constructive. And so we feel probably a little bit better right now about projects moving forward in the second half of the year than what we would have said maybe a month ago. With that said, even this morning, there is a change in the tariff perspective, which does put some uncertainty back into the system.

目前對下半年的展望以及我們今天看到的一切仍然相當穩健。我想說，在過去的兩三週裡，宏觀情勢已經變得更加樂觀了。因此，與一個月前相比，我們現在對下半年專案進度的感覺可能要好一些。話雖如此，但即使在今天早上，關稅觀點也發生了變化，這確實為系統帶來了一些不確定性。

And so while I believe the environment is getting more constructive, you're one or two messages away from that, going back into a little bit of uncertainty. So it's just a really hard environment to predict right now especially on how our customers are viewing projects. But we're in close communication with them. Our opportunity funnel is large. And again, we feel -- given everything we know in all of our discussions and where our funnel is, we feel like that book-to-bill ratio for the full year should end up right at 1.0.

因此，儘管我相信環境正在變得更加建設性，但距離這一目標還有一兩個訊息的距離，又回到了有點不確定性的境地。因此，現在的環境真的很難預測，尤其是我們的客戶如何看待專案。但我們與他們保持密切溝通。我們的機會漏斗很大。而且，我們再次認為——根據我們在所有討論中所了解的一切以及我們的漏斗情況，我們認為全年的訂單出貨比應該正好是 1.0。

And then just a follow up on the pricing side of things, just kind of a twofold question. One, how is pricing in the marketplace tracking from a competitive perspective? Any issues as you manage through all these, call it, geopolitical tariff headwinds? And then secondarily, just a comment on what the margins of the backlog look like and if that's still tracking the right way. I appreciate it.

然後只是關於定價方面的後續問題，這只是一個雙重問題。一、從競爭角度來看，市場定價狀況如何？在應對所有這些所謂的地緣政治關稅逆風時，您遇到了什麼問題？其次，我只想評論一下積壓訂單的利潤情況以及是否仍在以正確的方式進行。我很感激。

Yes. I'll hit the first part. Amy can hit margin to the backlog. So I'd say we've been aggressive on price this year. We talked about in the prepared remarks that prices come through without major demand implications. And so again, list price is going to be more impacted on our run rate business. So think parts, the products that go through distribution, the MRO business, all of that. We've got an incredible level of confidence that the pricing actions have been as sticky as we would have expected, and in some cases, exceeding our expectations.

是的。我將開始第一部分。艾米 (Amy) 可以對積壓訂單進行追加保證金。所以我想說，我們今年在價格方面一直很積極。我們在準備好的發言中談到，價格上漲不會對需求產生重大影響。因此，標價將對我們的營運率業務產生更大的影響。所以想想零件、經過分銷的產品、MRO 業務，所有這些。我們非常有信心，定價行動與我們預期的一樣穩定，在某些情況下甚至超出了我們的預期。

In the project business, any time that you get some uncertainty on project timing or that we may be going in a downward direction, our competitors get -- they sharpen their pencils. And so we're sharpening our pencils as well as we look at project bidding and making sure that we've got the right cost position to put forward to our customers. And so I'd say that environment has gotten slightly more competitive.

在專案業務中，任何時候，如果你對專案時間表感到不確定，或者我們可能會走下坡路，我們的競爭對手就會——他們會削尖他們的鉛筆。因此，我們正在磨礪我們的鉛筆，同時研究專案投標，並確保我們擁有正確的成本優勢來提供給我們的客戶。所以我想說環境已經變得更具競爭力了。

I don't -- I wouldn't say that it's in a non-constructive fashion, but it is making our teams work a little bit harder to make sure we're sourcing from the right people, that we're stripping out engineering costs, that we're using standard products, like all the things that we know. That engineered pumps team is really the group that does the most of this.

我不會說這是一種非建設性的方式，但它會讓我們的團隊更加努力工作，以確保我們從合適的人那裡採購，削減工程成本，使用標準產品，就像我們所知道的所有東西一樣。工程幫浦團隊確實是這方面做得最多的團隊。

They have done a tremendous job in the last year with our selective bidding and making sure that we, one, earn the work and the margins that we deserve; but two, making sure that our out margins or our execution margins are higher than what we tender. And so we're having discussions with that team about how do we make sure that we're putting our best foot forward in the tender and not losing some of that work. But I'd say the pricing environment remains constructive. It's not in a bad place at all. But there are some areas where folks are getting a little more competitive.

去年，他們在我們的選擇性投標方面做了大量工作，確保我們首先獲得應得的工作和利潤；其次，確保我們的實際利潤或執行利潤高於我們投標的價格。因此，我們正在與該團隊討論如何確保我們在投標中盡最大努力並且不會失去一些工作。但我想說定價環境仍然具有建設性。它的位置一點也不糟。但在某些領域，人們的競爭正在變得更激烈一些。

Yes. And the only thing that I would add to that is I think in terms of backlog, we're in a really good place from a margin perspective. And a couple of things that I'd point out. They're just, one, with the 80/20 program, more and more embedded in the business. We're selling the right products. We're selling the products that we know that we can make money on in the market.

是的。我唯一要補充的是，我認為就積壓訂單而言，從利潤率的角度來看，我們處於一個非常好的位置。我想指出幾點。他們只是，首先，透過 80/20 計劃，越來越多地融入業務中。我們銷售的是合適的產品。我們銷售的是我們知道可以在市場上賺錢的產品。

And the second piece was something that Scott touched upon, which is our out margins on large projects have been very positive. And so it's something that is allowing us to sharpen our pencil but also giving us a great deal of comfort that when we continue to execute at the levels that we're executing today, that we're going to continue to see the positive margin trends.

第二點是史考特提到的，即我們在大型專案中的利潤率非常高。因此，這不僅讓我們能夠磨礪自己的能力，也讓我們感到非常安心，當我們繼續按照今天的水平執行時，我們將繼續看到積極的利潤趨勢。

Saree Boroditsky, Jefferies.

薩裡‧博羅迪茨基 (Saree Boroditsky)，傑弗里斯 (Jefferies)。

This is James on for Saree. So I wanted to touch on 80/20. Can you kind of provide an update on where you kind of stand in 80/20 journey? And how much of a 200 basis point of margin expansion this year is kind of attributable to it? And is there a timing difference on implementation between FPD and FCD?

這是詹姆斯為紗麗 (Saree) 拍攝的。所以我想談 80/20。您能否提供有關您在 80/20 旅程中的最新消息？今年利潤率成長 200 個基點，其中有多少是歸功於此？FPD 和 FCD 在實施上是否存在時間差異？

Sure. Yes. We're well into the program now. We launched this at the beginning of last year. FPD was the leader in terms of the business units going through the program. But now all five of our product business units or the new equipment is fully on 80/20. And so we're excited about the progress. The business unit leaders have been incredibly disciplined in setting up their segmentation, the quads following the methodology.

當然。是的。我們現在已經順利完成該計劃。我們從去年年初就推出了這個功能。就參與該計劃的業務部門而言，FPD 處於領先地位。但現在我們所有五個產品業務部門或新設備都完全符合80/20的要求。因此我們對這項進展感到非常興奮。業務部門領導在製定細分方案時非常嚴謹，四邊形遵循方法論。

Two of our business units are now in year two, and so they've done a second segmentation on their quads and making really good progress. We haven't called out specifically how much of the margin improvement is attributable to 80/20. But what I would say is it has been a nice factor to what we've done, but there's still a lot more room and more opportunities in the combined portfolio to continue to move margins up.

我們的兩個業務部門現已進入第二年，因此他們對四邊形進行了第二次細分，並取得了非常好的進展。我們還沒有具體指出利潤率的提高有多少歸功於 80/20。但我想說的是，這對我們所做的事情來說是一個很好的因素，但合併後的投資組合中仍然有更多的空間和機會來繼續提高利潤率。

And if you look at companies that have been doing this for a long, long time, they've typically gotten 100 basis points a year on the back of their programs. And so that's our goal and objective, is to be somewhere in that kind of -- that line where we're seeing about 100 basis points a year as we progress through the program. And at this point, we're very confident that we're delivering to that expectation.

如果你觀察一下那些長期這樣做的公司，你會發現他們通常每年都能憑藉這些計劃獲得 100 個基點的收益。這就是我們的目標和目的，隨著計畫的推進，我們每年的成長率將達到 100 個基點。目前，我們非常有信心能夠實現這項期望。

Yes. And James, just a little color in terms of how I think about it. At the 200 basis points of operating margin expansion that we're targeting for this year, that would be between 50 and 100 basis points of improvement from 80/20. So we're getting close to that run rate that we want to be at as a company.

是的。詹姆斯，就我的看法而言，這只是一點色彩而已。我們今年的目標是將營業利潤率提高 200 個基點，這意味著比 80/20 提高 50 到 100 個基點。因此，我們正在接近我們公司想要達到的運作率。

Great. And I guess as a follow up, you noted a sequential increase in project funnel. So how does this compare on a year-over-year basis? And where are you seeing like strengths and weaknesses in the end markets?

偉大的。我想作為後續行動，您會注意到專案漏斗的連續增加。那麼與去年同期相比，情況如何？您認為終端市場的優點和缺點在哪裡？

Yes. I don't have the exact year-on-year funnel. I would say that the funnel is in -- the overall funnel is in a very healthy place. And so again, we feel good that the funnel itself is in a position that allows us to drive the bookings that we need and what we've talked about, to have that slightly over 1.0 in the second half of the year. We are obviously looking to continue to enhance the funnel opportunities. The power side is definitely up, and so we've got to continue to lean in and making sure that we can track the projects in the right way that allows us to see growth in the go-forward basis.

是的。我沒有確切的同比漏斗。我想說的是，漏斗已經進入——整體漏斗處於非常健康的位置。因此，我們再次感到高興，因為漏斗本身能夠讓我們推動所需的預訂量，正如我們所討論的那樣，在下半年，這一數字將略高於 1.0。我們顯然希望繼續加強通路機會。電力方面肯定在上升，所以我們必須繼續努力，確保我們能夠以正確的方式追蹤項目，以便我們能夠看到未來的成長。

Joe Giordano, TD Cowen.

喬·喬達諾（Joe Giordano），TD Cowen。

Scott, just curious how you manage. So the Chart, the no Chart, as a leader of the organization, how do you deal with this internally like from a how do you message this to your employees, right? Like so you sell them on, this is transformative for us. This is the future of the company. This is where we're going. It's going to be disruptive. There's probably going to be some people who are in that synergy bucket, right?

史考特，只是好奇你是怎麼做到的。因此，圖表，沒有圖表，作為組織的領導者，您如何在內部處理這個問題，例如如何從內部向員工傳達這個問題，對嗎？就像你把它們賣出去一樣，這對我們來說是一種改變。這就是公司的未來。這就是我們要去的地方。這會造成破壞。可能會有一些人處於這種協同效應之中，對嗎？

And then now we come out and like, no, this is -- the future of the company wasn't that. It's this and we're good this way. Like I get it. I think the people in the financial community get it. But like it's a different discussion point when you're talking internally to keep people motivated. And how do you manage something like that?

現在我們出來了，就像，不，這是──公司的未來不是那樣的。就是這樣，我們這樣就很好了。就像我明白了一樣。我認為金融界的人們明白這一點。但當你在內部討論如何激勵人們時，這是一個不同的討論點。您如何處理這樣的事情？

Yes. No, look, I appreciate the question. We've had a lot of videos that I pushed out globally that on a relatively short notice in terms of preparation. But I'd just say we've had an open communication with our teams from day one. And I'd say we never over-rotated. And while we are incredibly excited about Chart, the message that we gave to our teams was put your heads down and do your jobs. And Chart didn't have a mechanical seal business. They didn't have a pump business. They didn't have a valve business.

是的。不，你看，我很感謝你提出這個問題。我們有很多影片是在全球發布的，準備時間相對較短。但我只想說，從第一天起我們就與我們的團隊保持開放的溝通。我想說的是，我們從未過度輪換。雖然我們對 Chart 感到無比興奮，但我們給團隊傳達的訊息是埋頭苦幹，做好自己的工作。而且Chart公司沒有機械密封業務。他們沒有泵浦業務。他們沒有閥門業務。

And so for the folks that were leading our operations or our products, they really weren't impacted. And that's one of the reasons why we could continue to progress our business and have a really, really strong second quarter. The folks that were maybe a little bit more nervous about the transaction were in some of the functions in the corporate office.

因此，對於領導我們營運或產品的人來說，他們實際上並沒有受到影響。這就是我們的業務能夠繼續發展並且第二季度業績非常強勁的原因之一。公司辦公室中一些職能部門的人員可能對這筆交易感到有些緊張。

And we've had some really transparent and open discussions with them about what the possibilities could be and how that -- we would lean on our people value and treat people with respect and dignity regardless of the outcome. And so I'm a believer in having frank discussions but keeping it open and making sure that we're actively communicating. And so we pushed out a video yesterday morning. We did our leadership team this morning. And we'll do a global town hall right after our earnings call.

我們與他們進行了一些非常透明和公開的討論，討論了各種可能性以及如何做到這一點——無論結果如何，我們都會依靠我們的員工價值並以尊重和尊嚴對待員工。因此，我相信討論要坦誠，但要保持開放，並確保我們積極溝通。因此我們昨天早上發布了一段影片。今天早上我們組建了領導團隊。我們將在收益電話會議後立即召開全球市政廳會議。

And so we'll touch a lot of folks and I'll get back out on the road and start to visit more of our sites and make sure our teams are leaning in and continuing to do the good work. But I think we've done a real nice job here with our culture, and I'd say it's definitely one of the strengths of what we put together at Flowserve. And so I'm proud of our folks that the people continue to work hard for our customers and ultimately for Flowserve.

因此，我們會接觸到很多人，我會重新上路，開始訪問更多的站點，確保我們的團隊全力以赴，繼續做好工作。但我認為我們在企業文化方面做得非常好，我想說這絕對是福斯的優勢之一。因此，我為我們的員工感到自豪，他們繼續為我們的客戶努力工作，並最終為福斯公司努力工作。

And I'd just comment that when your M&A is an extension of your strategy, you may be explaining the size of a transaction or there may be a surprise that you're doing something of the scale that the merger was. But I think there is comfort throughout the organization that we've said what our strategy would be around the 3Ds and the transactions that we have announced to date have been in keeping with that. And so it a fork in the road for sure, but I wouldn't necessarily call it a full-on change in direction.

我想說的是，當你的併購成為你策略的延伸時，你可能會解釋交易的規模，或者你可能會驚訝地發現你正在做一些與合併規模相當的事情。但我認為，整個組織都感到欣慰，因為我們已經表達了圍繞 3D 的策略，而我們迄今為止宣布的交易也與此保持一致。所以這肯定是一個岔路口，但我不一定稱之為方向的全面改變。

That's fair. And just my second one. I don't want to belabor Mogas, it's a small company within a large company. But I think the expectation initially was something around $200 million in revenue. I think it's way lower than that. So maybe some color on what's driving that. And then just within the context of the FCD, and I know it's earlier stage in the margin journey than FPD, but is there something inherently more challenging in taking costs out of FCD relative to FPD, like something in the cost structure inherent there? Or is it just purely timing and just working at it?

這很公平。這只是我的第二個。我不想過多地談論 Mogas，它是一家大公司中的一家小公司。但我認為最初的預期收入是 2 億美元左右。我認為實際數字要低得多。因此我們或許可以了解造成這現象的原因。然後僅在 FCD 的背景下，我知道它在利潤旅程中比 FPD 處於更早的階段，但是相對於 FPD，從 FCD 中扣除成本是否存在本質上更具挑戰性的東西，例如那裡固有的成本結構？或者這只是時間和努力而已？

Yes. I'll hit Mogas revenue. Amy can hit the margins there. So look, we have talked about Mogas being a $200 million business. We are confident that, that's where this business needs to be and that we can grow from there. Amy mentioned a couple of times that the project side of Mogas has been light really since kind of the second half of last year and into the first half of this year. And so that's putting downward pressure on the overall revenue number.

是的。我會打擊 Mogas 收入。艾米可以在那裡達到邊緣。所以，我們討論過 Mogas 是一個價值 2 億美元的企業。我們堅信，這就是我們的業務所需要的，並且我們可以從那裡發展。艾米曾幾次提到，自去年下半年到今年上半年，Mogas 的專案方面一直很輕鬆。這給整體收入數字帶來了下行壓力。

And we -- I'd say two things. One, the aftermarket side of Mogas has been incredibly healthy, and so that continues to progress forward. Some of the project timing comments that I had an overall Flowserve certainly applied to some of the mining and minerals projects that Mogas does so well in. But we have clear visibility now. We're starting to see more activity in mining and mineral extraction.

我們──我想說兩件事。首先，Mogas 的售後市場一直非常健康，並將繼續向前發展。我對 Flowserve 整體專案時間表的一些評論當然也適用於 Mogas 表現出色的一些採礦和礦產專案。但現在我們已經看得很清楚了。我們開始看到採礦和礦物開採活動日益活躍。

And so that funnel has improved pretty substantially in the second half of the year and into 2026. And so the goal is still a $200 million revenue number. We'll exit -- or the last fabricated module will be out of the system. The aftermarket margins are fantastic and the OEM project margins are coming in at the right levels to make this accretive to the overall FCD portfolio.

因此，到今年下半年以及 2026 年，這項漏斗將顯著改善。因此目標仍然是2億美元的收入。我們將退出——否則最後一個製造的模組將退出系統。售後市場的利潤率非常高，而 OEM 專案的利潤率也達到了適當的水平，從而為整個 FCD 產品組合帶來了增值。

And I would say, Joe, we are still very committed to growing FCD margins back to more historic levels and really then trying to reset the bar around that. There is nothing structurally that tells us that we cannot get back to those levels. I will say that FCD overall was probably 5, 7, 10 years ago was more exposed to upstream business than other parts of Flowserve.

我想說，喬，我們仍然致力於將 FCD 利潤率提高到歷史最高水平，然後真正嘗試重新設定標準。從結構上來說，沒有任何跡象表明我們無法回到那些層次。我想說的是，FCD 總體上可能在 5,7,10 年前比 Flowserve 的其他部門更受上游業務的影響。

And so as that business has moved away, we have taken out high-cost country sites from the portfolio. And so that is some of the pain that we've seen in previous years. We think those actions are behind us. That sets up a little bit of a tailwind. But other than that movement, there's nothing structurally that's happened within the business, and we believe that we've addressed that in -- over the last couple of years.

因此，隨著該業務的轉移，我們從投資組合中剔除了高成本的國家網站。這就是我們在前幾年看到的一些痛苦。我們認為這些行動已經過去了。這會帶來一點順風。但除了這項變動之外，業務內部沒有發生任何結構性變化，我們相信我們在過去幾年中已經解決了這個問題。

This does conclude today's question-and-answer session. At this time, I'd like to turn the call back to Brian for any additional or closing remarks.

今天的問答環節到此結束。現在，我想將電話轉回給 Brian，讓他做任何補充或結束語。

Great. Thank you, everyone, for joining the call today. We look forward to seeing many of you at conferences in the rest of the quarter and then providing another update following Q3. If you do have any questions or follow ups, please reach out to the Investor Relations team. We'll be happy to talk you through anything. In the meantime, we hope you have a great day.

偉大的。感謝大家今天參加電話會議。我們期待在本季度剩餘時間的會議上見到你們，然後在第三季度之後提供另一份更新資訊。如果您有任何疑問或需要跟進，請聯絡投資者關係團隊。我們很樂意與您討論任何事情。同時，我們希望您度過愉快的一天。

This does conclude today's conference. We thank you for your participation.

今天的會議到此結束。我們感謝您的參與。