Fox Factory Holding Corp (FOXF) 2024 Q1 法說會逐字稿

Good afternoon, ladies and gentlemen. Thank you for standing by. Welcome to Fox Factory Holding Corporation's first-quarter fiscal 2024 earnings conference call. (Operator Instructions) Please note this conference is being recorded.

女士們、先生們，午安。感謝您的支持。歡迎參加 Fox Factory Holding Corporation 2024 財年第一季財報電話會議。（操作員指示）請注意，本次會議正在錄音。

And now at this time, I would like to turn things over to Toby Merchant, Chief Legal Officer at Fox Factory Holding Corporation. Please go ahead, sir.

現在，我想將發言權交給 Fox Factory Holding Corporation 的首席法律官 Toby Merchant。先生，請繼續。

Thank you. Good afternoon, and welcome to Fox Factory's first-quarter 2024 earnings conference call. I'm joined today by Mike Dennison, Chief Executive Officer; and Dennis Schemm, Chief Financial Officer and Treasurer.

謝謝。下午好，歡迎參加 Fox Factory 2024 年第一季財報電話會議。今天與我一起參加的是執行長 Mike Dennison；以及財務長兼財務主管 Dennis Schemm。

First, Mike will provide business updates, and then Dennis will review the quarterly results and outlook. Mike will then provide some closing remarks before we open up the call for your questions.

首先，麥克將提供業務更新，然後丹尼斯將回顧季度業績和展望。在我們開始回答大家的問題之前，麥克將發表一些結束語。

By now, everyone should have access to the earnings release, which went out earlier this afternoon. If you have not had a chance to review the release, it's available on the Investor Relations portion of our website at investor.ridefox.com. Please note that throughout this call, we will refer to Fox Factory as Fox or the company.

現在，每個人都應該可以看到今天下午早些時候發布的收益報告。如果您還沒有機會查看新聞稿，您可以在我們網站的投資者關係部分（網址為 investor.ridefox.com）上查看。請注意，在整個通話過程中，我們將把 Fox Factory 稱為 Fox 或公司。

Before we begin, I would like to remind everyone that the prepared remarks contain forward-looking statements within the meaning of federal security laws, and management may make additional forward-looking statements in response to your questions. Such statements involve a number of known and unknown risks and uncertainties, many of which are outside the company's control and can cause future results, performance, or achievements differ materially from the results, performance, or achievements expressed or implied as such, forward-looking statements.

在我們開始之前，我想提醒大家，準備好的評論包含聯邦安全法含義內的前瞻性陳述，管理層可能會針對您的問題做出額外的前瞻性陳述。此類陳述涉及許多已知和未知的風險和不確定性，其中許多不在公司的控制範圍內，並可能導致未來結果、業績或成就與此類前瞻性陳述表達或暗示的結果、業績或成就有重大差異。

Important factors and risks that could cause or contribute to such differences are detailed in the company's quarterly reports on Form 10-Q and in the company's latest annual report on Form 10-K each filed with the Securities and Exchange Commission. Investors should not place undue reliance on the company's forward-looking statements. And except as required by law, the company undertakes no obligation to update any forward-looking statements or other statements herein, whether as a result of new information, future events, or otherwise.

可能導致或造成此類差異的重要因素和風險在公司向美國證券交易委員會提交的 10-Q 表季度報告和 10-K 表最新年度報告中均有詳細說明。投資者不應過度依賴該公司的前瞻性陳述。除法律要求外，本公司不承擔更新任何前瞻性聲明或其他聲明的義務，無論由於新資訊、未來事件或其他原因。

In addition, where appropriate in today's prepared remarks and within our earnings release, we will refer to certain non-GAAP financial measures to evaluate our business, including adjusted gross profit, adjusted gross margin, adjusted operating expenses, adjusted net income, adjusted earnings per diluted share, adjusted EBITDA, and adjusted EBITDA margin as we believe these are useful metrics that allow investors to better understand and evaluate the company's core operating performance and trends. Reconciliations of these non-GAAP financial measures to their most directly comparable GAAP financial measures are included in today's earnings release, which has also been posted on our website.

此外，在今天的準備好的發言中以及在我們的收益發布中，我們將在適當的情況下參考某些非 GAAP 財務指標來評估我們的業務，包括調整後的毛利、調整後的毛利率、調整後的營業費用、調整後的淨收入、調整後的每股攤薄收益、調整後的 EBITDA 和調整後的 EBITDA 盈利都是這些企業的業績，因為我們可以理解這些企業的新績效。這些非 GAAP 財務指標與最直接可比較的 GAAP 財務指標的對帳表包含在今天的收益報告中，該報告也已發佈在我們的網站上。

And with that, it is my pleasure to turn the call over to our CEO, Mike Dennison.

現在，我很高興將電話轉給我們的執行長 Mike Dennison。

Thanks, Toby. Good afternoon, everyone, and thank you for joining us today. Diversification is a key element in building resiliency, and it is all the more important during the period of industry cyclicality.

謝謝，托比。大家下午好，感謝大家今天的參與。多樣化是建構彈性的關鍵要素，在產業週期性期間，多樣化就顯得更為重要。

Our ability to navigate through the current market headwinds is a testament to the strength of our diversified product portfolio, which spans across multiple sectors and markets. This diversification not only mitigates risk, but also provides us with multiple avenues for future growth and expansion and in turn, drives value creation for all of our stakeholders.

我們能夠克服當前的市場阻力，證明了我們跨多個行業和市場的多元化產品組合的實力。這種多樣化不僅能降低風險，而且還為我們提供了未來成長和擴張的多種途徑，進而為所有利害關係人創造價值。

For the first quarter of 2024, we delivered $333.5 million of revenue, which was consistent with our expectations and adjusted earnings per share of $0.29, which exceeded our plan. We are confident we will see sequential improvement in our operating results over the coming quarters, ultimately returning to the strong growth rates and margins that our business can deliver.

2024 年第一季度，我們實現了 3.335 億美元的收入，符合我們的預期，調整後每股收益為 0.29 美元，超出了我們的計劃。我們相信，未來幾季我們的經營業績將持續改善，最終恢復我們業務所能實現的強勁成長率和利潤率。

While we believe the premium positioning and innovation helps mitigate macroeconomic forces, the OEMs we serve continue to face unique challenges in the near term. In SSG and more specifically in bike, our results continued to be impacted by the ongoing inventory recalibration. However, we are already seeing positive signs in Q2 and believe this business is turning back to that direction.

雖然我們相信高端定位和創新有助於緩解宏觀經濟力量，但我們服務的原始設備製造商在短期內仍面臨獨特的挑戰。在 SSG 以及更具體地說在自行車領域，我們的表現繼續受到正在進行的庫存重新校準的影響。然而，我們已經看到了第二季度的積極跡象，並相信業務正在朝著好的方向轉變。

In PVG, powersports continues to be impacted by dealer inventory levels, and in AAG, upfits are being challenged primarily by mix and model year changeover issues from our OEMs. In addition, we are seeing ongoing consumer fatigue given the extended duration of high interest rates, which is impacting discretionary spending with consumers and cautious management of inventory levels at dealerships and OEMs.

在 PVG，動力運動繼續受到經銷商庫存水準的影響，而在 AAG，改裝主要受到來自我們的 OEM 的組合和車型年份轉換問題的挑戰。此外，由於高利率持續時間較長，我們看到消費者疲勞感持續存在，這影響了消費者的可自由支配支出以及經銷商和原始設備製造商對庫存水準的謹慎管理。

Despite this confluence of headwinds, we remain laser focused on what we can control, which is delivering exceptional value through our uncompromising commitment to innovation and performance defining products across our diversified set of businesses. This focus is resulting in continued share growth with our OEM partners, which speaks to the value of our product roadmap and is a central tenet of our long-term strategy.

儘管面臨諸多不利因素，我們依然將注意力集中在我們能夠控制的事情上，即透過我們堅定不移地致力於創新和性能定義產品，在我們多元化的業務中創造卓越的價值。這一重點使我們與 OEM 合作夥伴的份額持續成長，這體現了我們產品路線圖的價值，也是我們長期策略的核心原則。

While we remain focused on products, we recognize that near term, we must also keep a close eye and tight control on our costs. Although we have not executed a company-wide workforce reduction, we have consistently and continuously refined our workforce in conjunction with work optimization and productivity targets.

雖然我們仍然專注於產品，但我們認識到短期內我們還必須密切關注並嚴格控製成本。雖然我們沒有實施全公司範圍的裁員，但我們結合工作優化和生產力目標，持續不斷地優化我們的勞動力。

We have also reduced spending and investments to ensure we run as lean and focused as possible. To be clear, this is not a one and done or even periodic management tactic at Fox, but the way we think about our jobs every day.

我們也減少了開支和投資，以確保我們盡可能精簡和專注地運作。需要明確的是，這不是福克斯一次性的或定期的管理策略，而是我們每天思考工作的方式。

Turning now to our segment performance, in the powered vehicle group, net sales were $118 million, down from $142 million in the prior year quarter, primarily due to lower OEM demand in powersports. At the dealer distributor level, the industry expects 2024 powersports retail to be down modestly versus 2023, which is driving a conservative approach to inventory management among dealers. In response, powersports OEMs continue to curtail production to balance supply with demand, which will continue to impact our results in the near term.

現在來看看我們的分部業績，在動力汽車集團，淨銷售額為 1.18 億美元，低於去年同期的 1.42 億美元，這主要是由於動力運動領域的 OEM 需求下降。在經銷商層面，業界預計 2024 年動力運動零售額將較 2023 年小幅下降，促使經銷商採取保守的庫存管理方式。作為回應，動力運動原始設備製造商繼續削減產量以平衡供需，這將在短期內繼續影響我們的表現。

In the automotive space, we continue to see strong demand from our major OEMs as they produce model year '25 products. As these are mainly limited production vehicles, we believe this significant portion of our business is insulated from interest rate issues that have impacted us elsewhere.

在汽車領域，我們繼續看到主要原始設備製造商在生產 25 款產品時表現出強勁的需求。由於這些主要是限量生產的車輛，我們相信我們業務的這一很大一部分不會受到其他地方影響的利率問題的影響。

We remain committed to our long-term growth strategy within the PVG business. While we took prudent cost reduction actions commensurate with the volume reductions, we were more deliberate in maintaining most of our highly trained engineers and leaders who are critical to developing our technologically advanced products. While this decision is impacting near-term profitability, it is essential to ensuring that we can support growth over the long term as industry conditions improve.

我們將繼續致力於 PVG 業務的長期成長策略。雖然我們採取了與產量減少相稱的審慎成本削減措施，但我們更加謹慎地保留了大多數訓練有素的工程師和領導者，他們對開發我們的技術先進產品至關重要。雖然這項決定會影響短期獲利能力，但對於確保我們能夠在產業狀況改善的情況下支持長期成長至關重要。

We are seeing the benefits from our development team as we continue to win market share, demonstrating the power and differentiation behind our product portfolio. We're excited by new product introductions for the players Indy, Dynamex, Toyota 4Runner TRD Pro, and the Sierra Echo and believe we'll be able to increase our spec share with both existing and new OEMs through this cycle given our brand leadership.

隨著我們繼續贏得市場份額，我們看到了開發團隊帶來的好處，展示了我們產品組合背後的實力和差異化。我們對 Indy、Dynamex、Toyota 4Runner TRD Pro 和 Sierra Echo 等廠商的新產品推出感到非常興奮，並且相信憑藉我們的品牌領導地位，我們將能夠通過這一周期增加在現有和新 OEM 中的規格份額。

In AAG, net sales were $102 million compared to $139 million in the prior-year quarter. The results were driven by lower sales in our upfitting business, offset by strong aftermarket growth in sales of wheels, tires, and lift kits. Upfit was lower due to product mix and unique model year changeover challenges from OEMs which delayed model year launches.

AAG 的淨銷售額為 1.02 億美元，而去年同期為 1.39 億美元。業績下滑的主因是改裝業務銷售額下降，但車輪、輪胎和升降套件等售後市場的銷售額強勁成長。由於產品組合和原始設備製造商獨特的車型年轉換挑戰推遲了車型年的推出，Upfit 較低。

We expect these impacts to largely be behind us as we exit the second quarter. Additionally, we are seeing a slowdown in sales in moderately priced upfits as consumers are generally finance these purchases are challenged with a higher interest rate environment that is persisting longer than expected.

我們預計，在第二季結束時這些影響將基本消失。此外，我們發現中價位改裝車的銷售正在放緩，因為消費者通常為這些購買提供資金，面臨著持續時間比預期更長的高利率環境的挑戰。

Despite the macroenvironment, dealers continued to make good progress in reducing existing aged inventory ahead of the release of new redesigned model year vehicles, which are expected to launch throughout the balance of the year. As we've said before, these changeovers present a great opportunity for us as we collaborate with OE partners on developing and introducing new packages for the latest models. We remain encouraged that the higher end upfits continue to see strong consumer demand and interest.

儘管宏觀環境如此，經銷商在新設計車型發布之前仍在減少現有老舊庫存方面取得良好進展，預計新車型將在今年餘下時間上市。正如我們之前所說，這些轉換為我們提供了一個很好的機會，因為我們與 OE 合作夥伴合作開發和推出最新型號的新套件。我們仍然感到鼓舞的是，高端裝備繼續受到消費者的強烈需求和興趣。

To that point, in March, we announced the launch of the company's first branded high-performance off-road upfitted truck and high-performance upfitted UTVs. We're thrilled to introduce these state-of-the-art upfitted vehicles, which exemplify all of our best-in-class products engineered to work together to create a new premium class of vehicles. With our heavily contented Fox Factory trucks, our upfit is worth four times the value of our average upfit, making these vehicles significantly more accretive to our business in the future.

為此，我們在三月宣布推出該公司首款品牌高性能越野改裝卡車和高性能改裝 UTV。我們很高興推出這些最先進的改裝車輛，它們體現了我們所有一流的產品的設計，共同打造出一個全新的高級車輛等級。由於我們的 Fox Factory 卡車品質很高，因此我們的改裝價值是平均改裝價值的四倍，這使得這些車輛在未來能為我們的業務帶來更大的增值。

In SSG, net sales were $114 million compared to $119 million last year. The decline in revenue was primarily due to a $65 million reduction in sales within bike as a result of the OEM inventory destocking we have been discussing the last several quarters. Notably, the declines in bike were partially offset by above-plan performance at Marucci, which was fueled by success across our diverse product lineup in baseball, covering the Victus and Marucci brands, softball, Lizard Skins, soft goods, international growth, and hitters house.

SSG 的淨銷售額為 1.14 億美元，而去年同期為 1.19 億美元。收入下降主要是由於我們過去幾季一直在討論的 OEM 庫存減少導致自行車銷售額減少了 6500 萬美元。值得注意的是，自行車銷售的下滑被 Marucci 超出計劃的業績部分抵消，這得益於我們棒球領域多樣化產品陣容的成功，涵蓋 Victus 和 Marucci 品牌、壘球、Lizard Skins、軟商品、國際增長和擊球手之家。

This was a strong quarter despite not having a significant new product launch. As demonstrated by the results, Marucci also played a key role in bolstering resiliency of our bottom-line performance given your attractive margin profile relative to the segment average.

儘管沒有推出重要的新產品，但本季仍表現強勁。結果顯示，鑑於貴公司的利潤率相對於行業平均水平具有吸引力，Marucci 在增強我們盈利表現的彈性方面也發揮了關鍵作用。

As we look ahead to the rest of the year, our bike segment is strengthening. OEs are gearing up for new model year launches and expanding their product offerings, which are factored into our second quarter and back half forecast. Additionally, we are seeing growth with multiple product launches, which occur throughout the balance of the year.

展望今年剩餘時間，我們的自行車業務將會增強。原始設備製造商正在為新車型的推出做準備，並擴大其產品供應，這些都已計入我們第二季和下半年的預測。此外，我們也看到，隨著多款產品的推出，我們將在全年內成長。

The e-bike category continues to experience robust growth as well. And we firmly believe that e-bikes will not only attract a broader demographic of riders, but also fuel industry-wide expansion via this growing addressable market.

電動自行車類別也持續經歷強勁成長。我們堅信，電動自行車不僅會吸引更廣泛的騎行者，而且還會透過這個不斷增長的潛在市場推動整個行業的擴張。

In the face of challenged results, our focus remains on key elements that define our brand and long history of excellence in product development. These elements include maintaining strong brand relationships, avoiding brand dilution for short term gains, and investing in research and development to drive long-term growth.

面對挑戰性的結果，我們仍然專注於定義我們品牌的關鍵要素以及我們長期卓越的產品開發歷史。這些要素包括維持強大的品牌關係、避免為了短期利益而稀釋品牌、以及投資研發以推動長期成長。

Our objectives with R&D investment are twofold. First, support innovative model year 2025 releases, which will expand our share of the OEM market. And second, capitalizing on new launches of higher-margin aftermarket components, where we are also gaining significant traction with our recently expanded e-commerce business.

我們對研發投資的目標有兩個。首先，支持2025年創新車型的發布，這將擴大我們的OEM市場份額。其次，利用新推出的利潤率更高的售後零件，我們最近擴展的電子商務業務也獲得了顯著的發展。

Now for some comments on our outlook for the balance of 2024, we continue to expect the first half of 2024 to be down year over year with the second quarter being sequentially stronger than the first quarter. Our expectation for the second quarter remains unchanged and is consistent with our plan. Dennis will speak more to our second-quarter guidance in his remarks.

現在，對於我們對 2024 年平衡前景的一些評論，我們繼續預計 2024 年上半年將同比下降，第二季將連續強於第一季。我們對第二季的預期保持不變，與我們的計劃一致。丹尼斯將在他的演講中進一步談到我們第二季度的指引。

Our full-year guidance continues to be waited to the back half and predicated on the following: bike's channel inventory continuing to improve and OEM's model year '25 releases; Marucci's continued growth across its diversified portfolio and new product launches; powersports dealer inventory improvement; upfit chassis availability and mix improvements; and new product launches within our lift kit and wheel business.

我們對全年業績的預期仍要等到下半年，並基於以下因素：自行車通路庫存持續改善和 OEM 的 25 年款車型發布； Marucci 透過多元化產品組合和新產品發布持續成長；動力運動經銷商庫存改善；升級底盤可用性和混合改進；以及升降套件和車輪業務中的新產品發布。

While those assumptions remain intact and show positive signs so far within Q2, our full-year guidance also assumed easing macro pressures and an improved consumer outlook driven by the timing of interest rate relief. With the Fed recently signaling that rates are likely to remain higher for longer, we have removed that as a positive catalyst for FY24 thesis. Thus, while we continue to expect solid growth for the second half, we have prudently narrowed our full-year 2024 outlook to the bottom half of our previous range.

雖然這些假設保持不變，且到目前為止第二季度顯示出積極跡象，但我們的全年指引也假設宏觀壓力將有所緩解，且受利率下調時機的推動，消費者前景將有所改善。由於聯準會最近暗示利率可能會在較長時間內維持在高位，我們已將其視為 FY24 論文的積極催化劑。因此，雖然我們繼續預計下半年將穩健成長，但我們已審慎地將 2024 年全年預期縮小至先前範圍的下半部。

In closing, we continue to be positive about the back half of the year. In terms of innovation, we have a robust product roadmap in place. We easily anticipate our upcoming product launches, which are happening across all three segments of our business. And we are confident that these new products, coupled with our spec share gains in the OEM market, will drive growth in the second half of the year.

最後，我們繼續對今年下半年持樂觀態度。在創新方面，我們制定了強大的產品路線圖。我們很容易就能預測即將推出的產品，這些產品涵蓋了我們業務的所有三個部分。我們相信，這些新產品加上我們在OEM市場的份額成長，將推動今年下半年的成長。

As we navigate this cycle, we remain focused on managing the elements of the business that we can control while playing to our strength, which include balanced growth through improved diversification, a deep technological moat that is advanced by our unwavering commitment to innovation, and our ability to deliver free cash flow through the cycle, which allows for opportunistic share repurchases and management of our capital structure.

在我們駕馭這一周期的過程中，我們仍然專注於管理我們能夠控制的業務要素，同時發揮我們的優勢，其中包括透過改善多樣化實現平衡成長、透過我們對創新的堅定承諾而推進的深厚技術護城河，以及我們在整個週期中提供自由現金流的能力，這使得我們能夠機會性地回購股票和管理我們的資本結構。

And with that, I'll turn the call over to Dennis.

說完這些，我會把電話轉給丹尼斯。

Thanks, Mike, and good afternoon, everyone. I'll begin by discussing our first-quarter financial results and then move to our balance sheet and cash flows, capital structure strategy, and then wrap up with a review of our guidance.

謝謝，麥克，大家下午好。我將首先討論我們的第一季的財務業績，然後討論我們的資產負債表和現金流量、資本結構策略，最後回顧我們的指引。

Total consolidated net sales in the first quarter of fiscal 2024 were $333.5 million, a decrease of 16.6% versus sales of $399.9 million in the first quarter of fiscal 2023. Our performance continues to reflect the temporary and unique challenges that exist within the various industries we serve.

2024 財年第一季的綜合淨銷售額為 3.335 億美元，較 2023 財年第一季的 3.999 億美元下降 16.6%。我們的業績繼續反映出我們所服務的各個行業中存在的暫時和獨特的挑戰。

Our gross margin was 30.9% in the first quarter of fiscal 2024 compared to 33.3% in the same quarter last year. The decrease in gross margin was primarily driven by shifts in our product line mix and reduced operating leverage on lower volumes across our three segments, partially offset by increased efficiencies at our North American facilities and cost controls.

我們的 2024 財年第一季的毛利率為 30.9%，去年同期為 33.3%。毛利率的下降主要歸因於我們產品線組合的變化，以及三個部門銷售較低導致的經營槓桿率下降，但被北美工廠效率的提高和成本控制的提高所部分抵消。

Adjusted gross margin, which excludes the effects of amortization of acquired inventory valuation markup, decreased to 32.3% in the first quarter of fiscal 2024 versus 34.1% in the prior year. Total operating expenses were $94.3 million or 28.3% of net sales in the first quarter of fiscal 2024 compared to $78.6 million or 19.7% of net sales in the same quarter last year.

調整後的毛利率（不包括收購庫存估值加價攤銷的影響）在 2024 財年第一季下降至 32.3%，而去年同期為 34.1%。2024 財年第一季的總營運費用為 9,430 萬美元，佔淨銷售額的 28.3%，而去年同期的總營運費用為 7,860 萬美元，佔淨銷售額的 19.7%。

The increase in operating expenses as a percentage of sales was attributed to the inclusion of operating expenses from our Custom Wheel House and Marucci acquisitions and the amortization of acquired intangibles. Excluding these acquisitions, our base organic operating expenses decreased by approximately $8.8 million, driven by cost controls and continuous improvement.

營業費用佔銷售額的百分比增加歸因於我們收購 Custom Wheel House 和 Marucci 的營業費用以及收購無形資產的攤銷。除這些收購外，我們的基本有機營運費用減少了約 880 萬美元，這得益於成本控制和持續改進。

Adjusted operating expenses as a percentage of sales increased to 24.1% in the first quarter of 2024 compared to 17.6% in the same period last year. Company's tax benefit was $1.3 million in the first quarter of fiscal 2024 compared to a tax expense of $9.4 million in the first quarter of fiscal 2023. The tax benefit was primarily due to a decrease in pre-tax income coupled with a onetime foreign tax credit adjustment.

2024 年第一季，調整後營業費用佔銷售額的百分比從去年同期的 17.6% 上升至 24.1%。2024 財年第一季，公司的稅收收益為 130 萬美元，而 2023 財年第一季的稅收支出為 940 萬美元。稅收優惠主要由於稅前收入減少加上一次性外國稅收抵免調整。

Net loss in the first quarter of fiscal 2024 was $3.5 million or $0.08 per diluted share compared to net income of $41.8 million or $0.98 per diluted share in the same quarter last year. And adjusted net income was $11.9 million, or $0.29 per diluted share compared to $51 million or $1.20 per diluted share in the first quarter last year.

2024 財年第一季淨虧損為 350 萬美元，即每股攤薄虧損 0.08 美元，而去年同期淨收入為 4,180 萬美元，即每股攤薄虧損 0.98 美元。調整後淨收入為 1,190 萬美元，即每股攤薄收益 0.29 美元，而去年第一季調整後淨收入為 5,100 萬美元，即每股攤薄收益 1.20 美元。

Adjusted EBITDA was $40.4 million for the first quarter of fiscal 2024 compared to $79.2 million in the same quarter last year. Adjusted EBITDA margin was 12.1% in the first quarter of fiscal 2024 compared to 19.8% in the first quarter of fiscal 2024. The decrease in our adjusted EBITDA margin reflects the temporary and unique challenges that our customers across various industries are facing, which is impacting volumes and fixed cost absorption at our facilities.

2024 財年第一季的調整後 EBITDA 為 4,040 萬美元，而去年同期為 7,920 萬美元。2024 財年第一季的調整後 EBITDA 利潤率為 12.1%，而 2024 財年第一季為 19.8%。我們調整後的 EBITDA 利潤率的下降反映了我們各行業的客戶所面臨的暫時和獨特的挑戰，這影響了我們工廠的產量和固定成本吸收。

Other drivers of our adjusted EBITDA margin performance include shifts in our portfolio mix and cost increases associated with our facilities expansion to support growth, partially offset by cost control measures and continuous improvement initiatives. Sequentially, we delivered a 40-basis-point improvement in EBITDA margin to 12.1% on the strength of aftermarket sales and our cost control measures.

影響我們調整後 EBITDA 利潤率表現的其他驅動因素包括我們的投資組合變化以及為支持增長而擴建設施相關的成本增加，但成本控制措施和持續改進舉措部分抵消了這些影響。同時，由於售後市場銷售強勁和成本控制措施，我們的 EBITDA 利潤率提高了 40 個基點，達到 12.1%。

Moving to the balance sheet and cash flows, our balance sheet continues to be a source of strength for Fox and underpins our capital allocation strategy. In the first quarter, we were able to reduce inventory by $17.9 million or 5% compared to year-end 2023, driven by our strong execution of continuous improvement efforts to optimize inventory levels across the organization, particularly within PVG.

至於資產負債表和現金流，我們的資產負債表繼續成為福斯的力量源泉，並支撐我們的資本配置策略。第一季度，與 2023 年底相比，我們能夠將庫存減少 1,790 萬美元或 5%，這得益於我們大力執行持續改善工作，以優化整個組織（尤其是 PVG 內部）的庫存水準。

Our net-net leverage is 2.9 times as of quarter end and in line with our expectations. Our flexible capital structure gives us the ability to invest in growth through R&D, CapEx, and sales and marketing and pay down debt, while providing the optionality to repurchase shares.

截至季末，我們的淨槓桿率為 2.9 倍，符合我們的預期。我們靈活的資本結構使我們能夠透過研發、資本支出以及銷售和行銷來投資成長並償還債務，同時提供回購股票的選擇權。

Our revolver balance as of March 29, 2024, was $392 million versus $370 million as of December 29, 2023. Our term loan A balance was approximately $370 million net of loan fees. During the first quarter of fiscal 2024, we incurred $70 million of debt on our revolver to support working capital which included $24 million in prepaid chassis, partially offset by $48 million in payments on our revolver and $3.6 million in payments on our term loan. During the first quarter, we repurchased approximately $25 million in shares, and we have a remaining balance of $250 million on our $300 million share repurchase authorization.

截至 2024 年 3 月 29 日，我們的循環信貸餘額為 3.92 億美元，而截至 2023 年 12 月 29 日為 3.7 億美元。我們的定期貸款 A 餘額扣除貸款費用後約為 3.7 億美元。在 2024 財年第一季度，我們在循環信貸上承擔了 7000 萬美元的債務以支持營運資金，其中包括 2400 萬美元的預付底盤，部分由我們的循環信貸支付的 4800 萬美元和我們的定期貸款支付的 360 萬美元所抵消。在第一季度，我們回購了約 2,500 萬美元的股票，我們在 3 億美元的股票回購授權中還剩餘 2.5 億美元。

Now I would like to share some select guidance. While we continue to expect solid growth for the second half of 2024, we are tempering our prior assumption for meaningful interest rate relief. And out of prudence, we have narrowed our full-year 2024 outlook to the bottom half of the previous range.

現在我想分享一些精選的指導。雖然我們仍然預計 2024 年下半年將穩健成長，但我們正在調整先前的假設，以實現有意義的利率下調。出於謹慎考慮，我們將 2024 年全年預期縮小至之前範圍的下半部。

As a result, we now expect fiscal 2024 full-year sales in the range of $1.53 billion to $1.61 billion and adjusted earnings per diluted share in the range of $2.30 to $2.55. Our full-year guidance continues to assume our income tax rate to be in the range of 15% to 18%.

因此，我們現在預計 2024 財年全年銷售額在 15.3 億美元至 16.1 億美元之間，調整後每股攤薄收益將在 2.30 美元至 2.55 美元之間。我們的全年指引繼續假設我們的所得稅率在 15% 至 18% 之間。

For the second quarter of 2024, we expect sales in the range of $340 million to $360 million and adjusted earnings per diluted share of $0.30 to $0.40. There are several drivers underpinning this sequential improvement, including bike OEs gearing up for model year 2025 releases, improving chassis mix and availability, and the new model year launch for our ramps. Our second-quarter guidance is consistent with our operating plan at the beginning of the year, which had baked in a year-over-year decline in the first half of 2024 before returning to growth in the second half of 2024.

對於 2024 年第二季度，我們預計銷售額在 3.4 億美元至 3.6 億美元之間，調整後每股攤薄收益在 0.30 美元至 0.40 美元之間。有幾個驅動因素支撐著這一連續的改進，包括自行車原始設備製造商為 2025 年車型的發布做準備、改進底盤組合和可用性，以及我們坡道的新車型年發布。我們第二季的業績指引與年初的營運計畫一致，該計畫在 2024 年上半年出現年比下滑，然後在 2024 年下半年恢復成長。

As we said previously, we will revisit 2025 aspirations in the second half of this year when we have more visibility. Our entire team at Fox Factory remains focused on controlling the aspects of the business that we can in order to keep our business optimally positioned to reaccelerate growth as industry conditions improve.

正如我們之前所說，當我們對 2025 年的目標有了更多的了解後，我們將在今年下半年重新審視 2025 年的目標。Fox Factory 的整個團隊始終專注於盡可能地控制業務的各個方面，以便讓我們的業務保持最佳狀態，並隨著行業狀況的改善而重新加速成長。

With that, I'd like to turn the call back over to Mike.

說完這些，我想把電話轉回給麥克。

Thank you, Dennis. Thank you all for joining us today. We appreciate your time and interest in Fox. To recap, we navigated through some significant industry headwinds in the first quarter, but our diversified business model and strategic growth initiatives have allowed us to remain resilient and on plan for the year.

謝謝你，丹尼斯。感謝大家今天的參與。我們感謝您花時間和對 Fox 的關注。總而言之，我們在第一季克服了一些重大的行業阻力，但我們多元化的業務模式和策略成長計劃使我們保持了韌性並按照計劃完成了今年的任務。

We are particularly excited about the strong performance in Marucci, its attractive margin profile, and the long-term growth potential it brings to our portfolio. Looking ahead, we are optimistic about the back half of the year based on a robust product roadmap. And consequently, we expect growth to be driven by spec share gains in the bike OEM market, strength in aftermarket including Marucci, and new product launches in AAG and PVG.

我們對 Marucci 的強勁表​​現、誘人的利潤率狀況以及它為我們的投資組合帶來的長期成長潛力感到特別興奮。展望未來，基於強勁的產品路線圖，我們對今年下半年充滿樂觀。因此，我們預計成長將受到自行車 OEM 市場規格份額成長、包括 Marucci 在內的售後市場實力以及 AAG 和 PVG 新產品發布的推動。

I would now like to open the call for questions. Operator?

現在我想開始提問。操作員？

(Operator Instructions) Larry Solow, CJS Securities.

（操作員指示） Larry Solow，CJS Securities。

Great. Good afternoon, guys. Hi. First question, I guess just on the guidance, it sounds like Q1 was relatively in line, and Q2 sounds like in line with what you originally expected. So just on the back half lowering, strictly, is everything mostly the same plus and minuses ex the fact that interest rates are clearly -- we don't see any indication of lowering anytime soon? Is that the biggest negating factor there? And is that impact -- can you just help us, is that impact more in AAG than the other two? Is it sort of spread out? I'm just trying to get some feel for that too. Thanks.

偉大的。大家下午好。你好。第一個問題，我想僅從指導來看，聽起來 Q1 相對符合預期，而 Q2 聽起來符合您最初的預期。因此，嚴格地說，就後半段的降息而言，一切是否都大致相同，有好有壞，例如利率顯然——我們沒有看到任何近期降息的跡象？這是最大的負面因素嗎？這種影響是——您能幫我們一下嗎，這種影響對 AAG 的影響是否比其他兩個更大？它是不是有點散了？我也只是想感受這一點。謝謝。

Yeah, Larry, it's a good question. For us, the back half is in line with us from a product launch perspective and from a market share perspective. So everything that we had intended for the year in the back half is in play and on-plan. The difference is really just that accelerator that's on the macro or the interest rate reduction would have given us. That would have been the top end of our guide.

是的，拉里，這是個好問題。對我們來說，從產品發布的角度和市場份額的角度來看，後半部分與我們是一致的。因此，我們下半年計劃的所有事項均已在進行中並按計劃進行。差異其實只是宏觀政策或降息帶給我們的加速器。這本來應該是我們指南的最高境界。

And to your question, I think that really does affect us most in probably two predominant areas. It does affect everything, frankly. Interest rate, at a high level, is a damper to -- excuse the pun -- to all the things in a discretionary consumer purchasing habits.

對於您的問題，我認為這確實在兩個主要領域對我們影響最大。坦白說，它確實影響一切。高利率會抑制——請原諒我使用雙關語——消費者可自由支配的購買習慣的一切。

But for the most part, in the back half of the year, we will feel the most of that impact is going to be in powersports and in AAG around upfit trucks. So that's kind of what we've tempered in the back half relative to again, fully just the interest rate issue itself.

但總體而言，在今年下半年，我們將感受到的最大影響將集中在動力運動和 AAG 改裝卡車方面。所以這就是我們在下半年再次緩和的問題，完全是針對利率問題本身。

And you're getting more into that customized, more higher content stuff. You think over time, those folks that target are not necessarily impacted as much by the interest rates?

而且您將會獲得更多客製化、更高內容的內容。您認為隨著時間的推移，那些以利率為目標的人不一定會受到太大的影響嗎？

Yes, that's correct. And I think with the Fox Factory truck launch, we're seeing demand on that vehicle coming directly to us, not even for dealers, which is a sign that the further you go in performance and content, the better off you're going to be.

是的，正確。我認為，隨著 Fox Factory 卡車的推出，我們看到對該車的需求直接湧向我們，甚至不是透過經銷商，這表明您在性能和內容方面走得越遠，您的收益就會越好。

Okay. Just lastly, just on the bike market, I think you had thought this would be the bottom this quarter. It seemed maybe a little bit lower than you thought, certainly lower than we had estimated down to like $54 million I guess, looks like just putting aside.

好的。最後，僅就自行車市場而言，我想您認為這將是本季的最低點。它似乎比你想像的要低一點，肯定比我們估計的要低，大概 5400 萬美元，看起來就像是擱置一邊一樣。

Sounds like you're confident we're at the bottom. What gives you that confidence? And do we kind of bounce around the bottom, or do you think we kind of bounce off a bottom and materially over the next few quarters? Thanks.

聽起來你確信我們已經處於底部。什麼給了你這樣的信心？我們會在底部附近反彈嗎？謝謝。

So I'll tell you, Q1 is interesting. It's actually above what we had forecasted for the quarter, but slightly above. It's the first quarter in a long time that we actually were able to predict the business effectively, which is a great sign.

所以我會告訴你，Q1 很有趣。事實上，它高於我們對本季的預測，但略高一些。這是我們很長一段時間以來第一個能夠有效預測業務的季度，這是一個好兆頭。

Second great sign is Q2 is already booked above Q1. So bookings mean a lot for us. We stopped, as you have heard me talk about before, Larry, forecasts are hard to follow because they were accurate. Bookings are more accurate and having bookings in Q2 already above Q1 is a good step forward.

第二個重要跡像是 Q2 的預訂量已經超過 Q1。所以預訂對我們來說意義重大。我們停下來了，正如你之前聽我說過的那樣，拉里，預測很難遵循，因為它們是準確的。預訂更加準確，並且第二季度的預訂量已經高於第一季度，這是一個很好的進步。

The third thing, frankly, is just the product launches. We've got three extra product launches this year in bike than we've had in the past on any given year. And the pep in the step in the bike team is noticeable. I mean, the team really is starting to feel better about the business and the customers and the health of the customers, especially customers in Europe. And all that kind of attributes to feeling a lot better about Q2 and even seeing some positive signs already for Q3. So yeah, we -- Q1 is right where we thought it would be. Q2, I think is going to be right where we think it's going to be. And we're hopefully turning the corner and back on the gas.

坦白說，第三件事就是產品發布。我們今年在自行車領域推出的產品比過去任何一年都多出三款。自行車隊的步伐輕快，令人矚目。我的意思是，團隊確實開始對業務、客戶和客戶（尤其是歐洲客戶）的健康狀況感到更好。所有這些都使人們對第二季的感覺好多了，甚至已經看到了第三季的一些積極跡象。是的，Q1 正好處於我們所認為的狀態。Q2，我認為它將會正好處於我們所認為的位置。我們希望能扭轉局勢，重新振作。

Okay. Great. Thanks. I appreciate the color.

好的。偉大的。謝謝。我很欣賞這個顏色。

Jim Duffy, Stifel.

吉姆·達菲（Jim Duffy），斯蒂費爾（Stifel）。

Thank you. Hi, Michael, Dennis, Toby. Hope you guys are doing well. I'll focus to two questions. I wanted to ask one on the auto OEM dimension of PVG business. And I have a question on gross margin. The PVG group, numbers in the quarter were a little bit better than we thought. If I heard you correctly, it seems like the entirely of the year-to-year decline was due to powersports? Is that accurate?

謝謝。你好，麥可、丹尼斯、托比。祝你們一切都好。我將重點討論兩個問題。我想問一個關於 PVG 業務的汽車 OEM 維度的問題。我對毛利率有疑問。PVG集團本季的業績比我們想像的要好一些。如果我沒聽錯的話，似乎所有的逐年下降都是因為動力運動造成的？這樣準確嗎？

Got it. I would say majority. Everything was kind of immaterial, but powersports is the largest decline throughout the quarter, frankly, from beginning to end. So it was -- there was a consistent decline to it.

知道了。我想說的是大多數。一切都不重要，但坦白說，從頭到尾，動力運動是整個季度跌幅最大的。事實確實如此——它一直在持續下降。

Understood. And then on the auto OEM production schedules, can you just help us with what you saw in the first quarter and then your visibility on auto OEM production for the balance of the year? I'm curious, does the guide assume just a ramp in existing platforms or is there any consideration for new platforms on the auto OEM front in the balance of the year?

明白了。然後關於汽車原始設備製造商的生產計劃，您能否幫助我們了解第一季的情況，以及今年剩餘時間汽車原始設備製造商生產的前景？我很好奇，該指南是否假設現有平台的成長只是上升趨勢，還是在全年餘下時間裡有考慮在汽車 OEM 方面推出新平台？

Yeah. Jim, our guide is fundamentally what's already in play. As you know, there's long duration cycles to get designs through production. So we can see that for years in advance. And so we have a pretty good view of what this year will look like from product launches and from the vehicles where we play today.

是的。吉姆，我們的指南基本上就是已經在實施的內容。如您所知，從設計到生產的周期很長。因此我們可以提前幾年預見這一點。因此，從產品發布和今天所接觸的車輛來看，我們對今年的情況有相當好的預測。

Frankly, our automotive business has stayed very consistent. As you know, we're on kind of limited production of vehicles with the Raptor series and TRD Pro. Those vehicles tend to have weathered the storm very well, and we've seen that materializing, and they're forecasting their actual pull of material. So that feels pretty good for us right now.

坦白說，我們的汽車業務一直保持非常穩定。如您所知，我們的 Raptor 系列和 TRD Pro 車輛產量有限。這些車輛往往能很好地經受住風暴的考驗，我們已經看到這一點，並且他們正在預測其實際的物資拉動量。所以現在我們感覺非常好。

Okay, good. And then Dennis, I wanted to ask on gross margins, assuming Marucci did its thing on gross margins with the accretive contribution. The report implies some pretty big margin compression in the organic business.

好的，很好。然後丹尼斯，我想問毛利率，假設 Marucci 透過增值貢獻來提高毛利率。該報告暗示有機業務的利潤率將受到相當大的壓縮。

What I'm trying to get my arms around is how much of that is mix versus regular weight pressure? And then within that regular weight pressure, how much of it is fixed cost deleverage? Or is there something else we should be considering with respect to gross margins as we try to think about normalization?

我想弄清楚的是，其中有多少是混合壓力，有多少是常規重量壓力？那麼在常規重量壓力下，其中有多少是固定成本去槓桿？或者，當我們試圖考慮正常化時，我們在毛利率方面是否還應該考慮其他事情？

Yeah. So two things here. So one, Marucci delivered right on track across the board, margins in place exactly where we thought they would be, their new product launches, strength in the business continues to impress. So that's on Marucci.

是的。這裡有兩件事。首先，Marucci 的業績在各個方面都達到了預期，利潤率也達到了我們預期，他們的新產品發布和業務實力繼續給人留下深刻印象。這就是 Marucci 的事。

So getting back to today's business, it comes down to volume. It all comes down to operating leverage, both in those plans and then from the OpEx standpoint. So we were pretty much coming right in my forecast, and it's all about, how do we optimize these plants.

回到今天的業務，最終問題歸結為數量。這一切都歸結於經營槓桿，無論是在這些計劃中，還是從營運支出的角度來看。因此，我們的預測基本上正確，關鍵在於我們如何優化這些工廠。

And so you heard in my commentary, I heard in Mike's commentary. We're continuing to look for cost-outs, and we were very delighted to see those cost improvements come in a big way in Q1 to help offset these volume declines that we have been seeing.

所以你們聽到了我的評論，我也聽到了麥克的評論。我們將繼續尋找降低成本的方法，並且非常高興地看到第一季的成本改善取得了很大進展，有助於抵消我們所看到的銷售下降。

And we continue to think that we're going to see them through the year as we start to ramp back up because our cost structure will lag the volume growth that we're going to be seeing. So it'll actually serve as a slight tailwind for us as we progress through the year.

我們仍然認為，隨著我們開始重新加速，我們將在今年看到它們，因為我們的成本結構將落後於我們將要看到的銷售成長。因此，隨著我們全年的進展，它實際上會給我們帶來輕微的順風。

The trick in all of this is not to cut too deep because we expect this business to turn around and to ramp back up and so we want to hold on to the really good people. And so what we've been doing is really looking at when somebody leaves, are they non-revenue generating? Or are they revenue generating?

所有這一切的訣竅是不要削減太多，因為我們預計這項業務將會好轉並重新升溫，因此我們希望留住真正優秀的人才。因此，我們一直在做的是，真正關注的是，當有人離開時，他們是否沒有創造收入？或者說它們能創造收入嗎？

If they're revenue generating, we're going to take a decision to backfill. If they're not, we're going to see what we can do to hold off until it's absolutely necessary to add somebody. And so we've been absolutely militant on the cost front.

如果他們能創造收入，我們就會決定補充。如果沒有的話，我們會想辦法延後招聘，直到絕對有必要再增加人員。因此，我們在成本方面一直是堅決的鬥爭。

Okay, helpful. And then a final clarification question. I think in the prepared remarks, there was a comment about PVG inventories. Does this relate to inventories on your books or was that relating more to channel inventories? I'm trying to understand --

好的，很有幫助。最後還有一個澄清問題。我認為在準備好的評論中，有一個關於 PVG 庫存的評論。這與您帳面上的庫存有關嗎？我試著理解--

It is twofold. Yeah. So if it were in my -- under my section, it would be about us continuing to make improvements in inventory within PVG. And we're absolutely taking out inventory and reducing that commensurate with the decline in the business. So we're managing the working capital extremely well.

它具有雙重意義。是的。因此，如果它在我的部門下，它將是關於我們繼續改進 PVG 內的庫存。我們肯定會清理庫存，並根據業務的下滑相應減少庫存。因此，我們對營運資金的管理非常好。

I think on the demand side, if it were there, then we're talking about like powersports inventory challenges in the channels, which we expect to get cleared up by year end as there's a lot of focus on this with the likes of Polaris and BRP and helping dealers manage that inventory. So it could have been two pointers where you heard inventories.

我認為在需求方面，如果存在的話，那麼我們談論的就是通路中的動力運動庫存挑戰，我們預計這些問題將在年底前得到解決，因為 Polaris 和 BRP 等公司非常關注這一點，並幫助經銷商管理庫存。因此，這可能是您聽到庫存的兩個指針。

Understood. Thank you for that clarification.

明白了。感謝您的澄清。

Anna Glaessgen, B. Riley.

安娜·格拉斯根、B.萊利。

Hi. Good afternoon, guys. I'd like to touch back on bikes. Between the first-half implied guidance in the second half, we are expecting to see a pretty big improvement in the back half as the model year '25 launches.

你好。大家下午好。我想再談談自行車。在上半年和下半年的隱含指引之間，我們預計隨著 25 年車型的推出，下半年將會出現相當大的改善。

Clearly, expectations have been a bit fluid in this segment as the industry works through channel inventories. Can you speak to where do channel inventories stand today and how much improvement you need to see to really meet the expectations for this business and in the back half?

顯然，由於產業透過通路庫存進行運作，這一領域的預期有點不穩定。您能否談談目前通路庫存的狀況以及需要看到多少改進才能真正滿足本季業務和下半年的預期？

Yeah. Anna, the inventory improvement is mixed across the board within bike OEMs.

是的。安娜，自行車原始設備製造商的庫存改善情況好壞參半。

The more boutique or smaller bike manufacturers, European bike manufacturers specifically, have done a great job. They're already through all the inventory challenges, and they're going fairly quickly in the model year '25 and pushing us pretty hard, in fact, pushing us beyond our current inventory. So we're chasing some inventory, which is a nice place to be on that.

精品或規模較小的自行車製造商，特別是歐洲自行車製造商，已經取得了巨大的成就。他們已經解決了所有庫存難題，並且在 25 年車型年中進展相當快，並且給我們施加了很大壓力，事實上，已經超出了我們目前的庫存水平。因此，我們正在追逐一些庫存，這是一個很好的地方。

So that's pretty clear and really clean. Other bigger, larger OEMs are working through it, and some are getting pretty close, and some are still little ways away. So it's a bit of a mixed bag. We're kind of taking that whole conglomerate or aggregation of all these different customers into our guide into our forecast for this year.

所以這非常清晰而且乾淨。其他更大、規模更大的 OEM 也在努力解決這個問題，有些已經非常接近了，而有些仍然有點距離。因此，情況有點複雜。我們會將所有這些不同客戶的整體狀況納入我們今年的預測指南中。

And again, what we've started to do a lot end of last year was take a look at those forecasts from the OEMs and give them a pretty significant haircut as to what we think they could actually do, and that helped us in Q1.

再說一次，我們從去年年底開始做了很多工作，那就是查看 OEM 的預測，並根據我們認為他們實際能做的事情給他們一個相當大的折扣，這對我們在第一季有所幫助。

As I said in an earlier comment, we actually delivered Q1 right above the plan we had for Q1. So getting that confidence back to the team, the ability to plan the business is really important to us. And I think that's happening and happening for sure in Q1.

正如我之前的評論中所說，我們第一季的業績實際上超出了我們為第一季度製定的計劃。因此，讓團隊重拾信心、規劃業務的能力對我們來說真的很重要。我認為這肯定會在第一季發生。

Thanks, Michael. Yeah, I know last year particularly, you're dealing with a lot of last-minute cancellations. Like, is it fair to say that dynamic has eased a bit, you know, in 2024?

謝謝，麥可。是的，我知道特別是去年，你們處理了很多最後一刻的取消訂單的情況。例如，到 2024 年，這種動態是否已經有所緩和？

That has. Yes, that has eased. And they're starting to place purchase orders out a little bit further again. And again, the whole chasing inventory to meet demand is a great place for us to be. So seeing some of that pressure, positive pressure on the system is really good.

有啊。是的，情況已經有所緩解。他們又開始將採購訂單下到更遠的地方。再說一遍，追逐庫存來滿足需求對我們來說是一個很好的狀態。因此，看到系統受到這樣的壓力和積極的壓力確實是件好事。

It's still too early. We're still in the woods, so we're not calling victory lap yet on bikes. But we just -- again, seeing the positivity in the teams, seeing the positivity in the market and our customers has been great. And the products are really strong so far.

現在還太早。我們仍在樹林裡，所以我們還不能騎自行車慶祝勝利。但是我們再次看到團隊的積極性，看到市場和客戶的積極性，這真是太好了。到目前為止，產品確實很強勁。

Great. And shifting gears to Marucci, I think in the quarter grew in the low single digits based on [Cody's] prior disclosures. Now that you've owned the business for six months or so, can you give a little bit of an update on what the go-forward growth opportunity should be there?

偉大的。將話題轉到 Marucci，根據 Cody 先前的披露，我認為本季其銷售額成長率為個位數。現在您已經擁有這家公司大約六個月了，您能否稍微介紹一下未來的成長機會是什麼？

Yeah. I mean again, they delivered a little bit above the plan in Q1. They got solid product launches. The balance of this year could get above the plan or at the plan for the balance of the year. Frankly, we think this is a double-digit growth business for us. So you should park it somewhere in the low double digits.

是的。我的意思是，他們在第一季的交付量略高於計劃。他們推出了可靠的產品。今年的餘額可能會超過計劃，或與年度餘額持平。坦白說，我們認為這對我們來說是一項兩位數的成長業務。因此你應該把它停在兩位數以下的某個地方。

And we think that we can grow. We've got lot of exciting things coming on the merchant side of the business. And frankly, they're going to unlock some doors and create some new opportunities from that business organically.

我們認為我們能夠成長。我們在商家業務方面有很多令人興奮的事情即將發生。坦白說，他們將打開一些大門，並從該業務中有機地創造一些新的機會。

Yeah. We're excited about the growth there, both Marucci and Victus. So Victus is important part of that composition as well. And just -- yeah, again, could not be more delighted with the EBITDA profile as well that we continue to see.

是的。我們對 Marucci 和 Victus 在那裡的成長感到非常興奮。因此 Victus 也是這部作品的重要組成部分。是的，我們對持續看到的 EBITDA 狀況感到非常滿意。

Great. Thanks, guys.

偉大的。謝謝大家。

Bret Jordan, Jefferies.

布雷特·喬丹，傑富瑞。

Hi, guys. (inaudible) overhead, I guess if you look at the year-over-year addition from Custom Wheel House and Marucci, is there much synergy available or cost to take out as you integrate those businesses? Or are you going to run them with the incremental overhead?

嗨，大家好。 (聽不清楚) 管理費用，我想如果您看一下 Custom Wheel House 和 Marucci 的逐年增加額，那麼在整合這些業務時，是否能產生很大的協同效應或降低多少成本？或者您打算以增量開銷來運行它們？

Yeah. Bret, on the fringe, there's probably some opportunities but not significant. Where the opportunity really lies with the Marucci acquisition is in the supply chain. I've talked about that in the past where we think some of our factory management structure from our vertical integration, how we think about design. Some of those synergies can still be had.

是的。布雷特，在邊緣，可能有一些機會，但並不重要。收購 Marucci 的真正機會在於供應鏈。我過去曾經談論過這個問題，我們從垂直整合的角度思考我們的一些工廠管理結構，以及我們如何看待設計。其中一些協同效應仍然可以實現。

We never plan for early '24. We're starting to work on those projects now, and I think that's more material in '25. But we do think there's some long-term synergies in that part of the business since backup is in our front office.

我們從來沒有為24年提前做好計劃。我們現在開始著手這些項目，我認為在 25 年這些項目會更有內容。但我們確實認為，由於備份在我們的前台，因此該部分業務存在一些長期協同效應。

And to add on that, we haven't talked about this in a long time. But last year, we talked about these acquisitions being -- some acquisitions being OpEx-heavy, CapEx-light. In this particular case, both with Marucci and Custom Wheel House, these are more OpEx-heavy businesses, CapEx-light businesses. And they are delivering right on track. So we are very, very pleased with the models that we have there with both companies.

另外，我們已經很久沒有談論過這個問題了。但去年，我們談到這些收購——有些收購是營運支出重、資本支出輕的。在這個特殊的案例中，無論是 Marucci 還是 Custom Wheel House，都是營運支出較多、資本支出較少的企業。他們正在按計劃完成任務。因此，我們對與這兩家公司合作的模式非常滿意。

Okay. And could you talk about the cadence of what you're seeing in powersports? Are we -- as the quarter progressed at the channel level, are you seeing inventory clearing and demand and conversion picking up? Or is it still sort of soft, but maybe getting softer at the consumer level given rates and all the headwinds?

好的。您能談談您在動力運動中看到的節奏嗎？隨著本季在通路層面的發展，您是否看到庫存清理、需求和轉換率回升？或者它仍然有點疲軟，但考慮到利率和所有不利因素，在消費者層面可能會變得更加疲軟？

I think it's still soft. I wouldn't say it's picking up yet. I think it's seasonal depending on the product as well. So obviously, we had a bad snow season, so snowmobile sales were way off. We've got a new snowmobile launch this year, so this upcoming season is better depending on the snow. But in UTVs and side by sides, it's a bit of a mix. But I'd say it's soft, and we're expecting it to be soft for the next probably [two] quarters.

我認為它仍然很柔軟。我不會說它已經開始復甦了。我認為這也是根據產品而具有季節性的。顯然，我們經歷了一個糟糕的雪季，​​因此雪地摩托車的銷量大幅下降。我們今年推出了一款新型雪地摩托車，因此即將到來的這個季節的狀況將取決於雪況。但在 UTV 和並排車中，情況就有點混亂。但我想說它是疲軟的，而且我們預計它在接下來的兩個季度可能都會很疲軟。

Okay. Great, thank you.

好的。太好了，謝謝。

And this is a great point because powersports came in hard with order books in strong order books. And throughout that first quarter, what did we see? It has kept pulling it back, pulling it back, pulling it down. And so this is why Mike in his opening comments talk so heavily about diversification, diversification into aftermarket, and why it's so strategically important to us.

這是一個很好的觀點，因為動力運動的訂單量很大，訂單量很大。在整個第一季度，我們看到了什麼？它一直把它拉回來、拉回來、拉下去。這就是為什麼麥克在開場白中如此強調多樣化、售後市場的多樣化，以及為什麼它對我們具有如此重要的戰略意義。

Because it gives us that ability to exert control, be relevant, create new and different markets. And this is what Marucci does for us. It's disruptive. It's high margin, takes advantage of all the industry complacency and makes a difference. And that's why we love the diversification model that Mike has put in place.

因為它賦予我們控制能力、相關性和創造新的和不同的市場的能力。這就是 Marucci 為我們做的事情。這很具破壞性。它的利潤很高，利用了整個行業的自滿情緒，並產生了影響。這就是我們喜歡麥克建立的多樣化模式的原因。

And interestingly enough, Greg, the point on the powersports side, what we did in that space is we actually started our own upfit side-by-side business in conjunction with Polaris and others. And that is the premium end of content in vehicle pricing that we talk about in automotive, where it's more resilient to affluent buyers.

有趣的是，格雷格，在動力運動方面，我們在該領域所做的實際上是與 Polaris 和其他公司合作開展自己的並行改裝業務。這就是我們在汽車領域談論的車輛定價內容的高端，它對富裕的買家更具彈性。

And we're seeing strength in that business, that middle market, kind of lower cost type vehicles in side-by-sides isn't seeing. So I do think that with performance and content, you can get around the corner of some of the softness and some of this high interest rate challenge by delivering a premium product that people really want to have and are willing to stand in line to get.

我們看到該業務在中端市場表現強勁，但在並排銷售的低成本車輛方面並不常見。因此，我確實認為，憑藉性能和內容，你可以透過提供人們真正想要、並且願意排隊購買的優質產品來解決一些疲軟問題和高利率挑戰。

Great. Thank you.

偉大的。謝謝。

Mike Swartz, Truist.

麥克·斯沃茨，Truist。

Hey, guys. Good evening. Just want to start on the bike side, and if we go back over the past 18 months, I think to frame it at a high level, visibility has been the biggest challenge. It does sound now like you might have a better visibility than you did three months ago.

嘿，大家好。晚安.只想從自行車方面開始，如果我們回顧過去的 18 個月，我認為從高層次來看，可見性一直是最大的挑戰。現在聽起來你可能比三個月前有了更好的體認。

But I just wanted to tie your commentary into something that -- another public supplier, Shimano, called out a couple of weeks back talking about -- they thought the industry would bottom in the third quarter and maybe start to return to growth in the fourth quarter. But it sounds like you're thinking bottoming more first quarter, second quarter. Is that -- any discrepancies or any other thoughts or colors between those two comments?

但我只是想將您的評論與另一家公共供應商 Shimano 幾週前提到的一件事聯繫起來——他們認為該行業將在第三季度觸底，並可能在第四季度開始恢復增長。但聽起來你認為第一季和第二季會進一步觸底。這兩則評論之間是否存在任何差異或其他想法或色彩？

Yeah, Mike. We look at Shimano pretty closely. So we understand those same comments that they are calling out. Again, they are in a different space than we are. We're very niche; we're very premium, high end. And I think when you look at the overall bike market in general, their statements are probably pretty accurate.

是的，麥克。我們非常仔細地觀察了 Shimano。因此，我們理解他們所表達的同樣的看法。再說一遍，他們和我們是處在不同的空間。我們非常小眾；我們非常優質、高端。我認為，當你縱觀整個自行車市場時，他們的說法可能相當準確。

When it comes to our business, I think it can be different. And so I think you're off only by a couple of quarters or a quarter or two, which might be a reflection of just where we sit in the market versus where they do. I mean they're in the high end as well, but they're in the entire line of bikes, not just the high end.

當談到我們的業務時，我認為情況可能會有所不同。因此，我認為你們只偏離了幾個季度或一兩個季度，這可能反映了我們在市場中的地位與他們的地位。我的意思是它們也屬於高端產品，但它們屬於整個自行車系列，而不僅僅是高端產品。

So I think that's the difference. And again, I don't -- Q2 is not going to be -- we are not looking to knock it out of the park in Q2. But we're looking that will be predictable and to go into a quarter feeling comfortable that we're going to hit the number that we projected. And we're feeling good about that. And that's the start to the turnaround in my mind.

所以我認為這就是區別。再說一次，我不認為——第二季度不會——我們並不希望在第二季度取得巨大成功。但我們預計這將是可預測的，並且在進入新季度時我們會感到自信，因為我們將達到我們預計的數字。我們對此感到非常高興。這就是我思想轉變的開始。

Okay, great. Thanks for the color there. And then second question is something I picked up in the press release, just as it pertains to the prepaid. I think you made a comment about older model inventory or prepaids being one of the challenges right now.

好的，太好了。感謝那裡的色彩。第二個問題是我在新聞稿中了解到的，與預付費有關。我覺得您提到過，舊型號庫存或預付款是當前的挑戰之一。

But is there any commentary you can add to that or how to think about the percentage of your prepaid that's older model chassis versus new model chassis? I'm just wondering if that has any impact and potential risks to margins in the back half of the year.

但是，您能對此添加什麼評論嗎，或者如何看待舊型號底盤與新底盤的預付費百分比？我只是想知道這是否會對下半年的利潤產生影響和潛在風險。

Yeah. Any type of prepaid on balance right now would be associated with newer models coming onboard. So no real risk there. I think we mentioned the prepaid status just because that is an increase in our working capital and a hit to free cash flow for us. But we talked about that because this is the season when we actually have those prepaids billed. That makes sense?

是的。目前任何類型的預付費都會與新推出的機型相關。因此，那裡不存在真正的風險。我認為我們提到預付款狀態只是因為這會增加我們的營運資金並打擊我們的自由現金流。但我們談論這個問題是因為這是我們實際收取預付費帳單的季節。這樣有道理嗎？

Yeah. Thanks.

是的。謝謝。

Mike, I think the other thing to think about there, too, is in Q1, we had to incentivize. We worked with our dealers to make sure the inventory that was aging is moving across their lot, getting out their lot. I mean this is kind of a constant thing that we think about it as we want to get into the new vehicle years and model year changes. So some of that pressure in Q1 was a function of us helping incentivize those dealers to move those vehicles. I think that's really just around model year change that has happened Q1 and Q2 this year and then kind of through it.

麥克，我認為需要考慮的另一件事是，在第一季度，我們必須提供激勵措施。我們與經銷商合作，確保陳舊的庫存能夠順利轉移並運送出他們的地段。我的意思是，當我們想要進入新車輛年份和車型年份的變化時，我們會不斷考慮這一點。因此，第一季的部分壓力是我們幫助激勵那些經銷商銷售這些車輛的結果。我認為這實際上只是圍繞今年第一季和第二季發生的車型變化，然後就是這樣。

Yeah. Thanks, Mike.

是的。謝謝，麥克。

Scott Stember, Roth MKM.

史坦伯（Scott Stember），羅斯 MKM。

Good evening, and thanks for taking my questions. Question about the launch of the '25 bike products. You did say that it should be three times more than, I guess, than what you've done in recent years. Given what's still in the pipeline in the bike market and knowing dealers, I guess still they're going to be very cautious, I guess, with floorplan and interest rates about how much inventory they bring in.

晚上好，感謝您回答我的問題。關於‘25’自行車產品推出的問題。您確實說過，我想這應該是您近年來所做的三倍。考慮到自行車市場仍有待開發的產品以及對經銷商的了解，我猜他們仍然會非常謹慎，對於佈局規劃和利率，以及他們引進多少庫存。

What are you looking at as far as like the size of this actual launch, despite the fact or taking into account that you're talking about three times. Are we looking at something that's bigger than what you've done and pre-pandemic or something a little bit more scaled back and modest?

儘管您說的是三次，但就這次實際發射的規模而言，您認為如何？我們考慮的事情是比你在疫情前所做的更大，還是規模更小、更溫和的事情？

Scott, I think you're referring to volume (multiple speakers) --

斯科特，我認為你指的是音量（多位發言者）——

Yeah, volumes.

是的，數量很多。

Yeah. So I think that's a good question. So on the volume, we're still being pretty conservative in what we think these launches will deliver. And that shows up in kind of our guide for the year just based on the nature of the environment that you kind of described.

是的。所以我認為這是個好問題。因此，就產量而言，我們對這些產品的發布將會帶來什麼結果仍持相當保守的態度。這在我們今年的指南中有所體現，只是基於您所描述的環境性質。

I would tell you what we're seeing in our conversations with dealers and distributors is if it's new product, if it's interesting and different, you're not having to discount it, and customers want it. If you're really just reiterating the same stuff that was on the shelf last year and the year before, you're heavily discounting where people are walking past it because they just -- they're already got it in the garage. They just don't need it.

我想告訴你，我們在與經銷商和分銷商的對話中發現，如果是新產品，如果它有趣且與眾不同，你就不必打折，而且客戶會想要它。如果你只是重複去年和前年貨架上的東西，那麼你就會嚴重忽視人們從哪裡經過它，因為他們已經把它放在車庫裡了。他們只是不需要它。

But if it's something new and different, they want it, and that's what's so excited. We've got a couple of those launches that have already been pretty productive for us and compelling relative to the demand on those products. So I think in our space right now in bike, new and different is everything. If you can't come up with something new and exciting, you're going to have a challenge.

但如果是某種新的、不同的東西，他們就會想要，這就是他們如此興奮的原因。我們已推出了幾款產品，這些產品對我們來說已經非常富有成效，並且相對於這些產品的需求來說非常引人注目。所以我認為，在我們現在的自行車領域，新穎和不同就是一切。如果你想不出一些新的、令人興奮的東西，你將面臨挑戰。

So that's what makes us so excited about this [3x] product launches. But again, I think on the volume for product launch, we'll stay conservative on what we think they'll actually do until we see the results.

這就是我們對這次 [3x] 產品的發布感到如此興奮的原因。但是，我認為，對於產品推出的數量，我們將對他們的實際行動保持保守態度，直到我們看到結果。

Got it. And then just a last question about the upfitting or, I guess, the Fox Factory branded upfitting in trucks and in side-by-sides, maybe just give us a little more context of how that will fit in to the individual platforms and what your expectations are for contribution, if you can give that.

知道了。然後最後一個問題是關於改裝，或者我想是 Fox Factory 品牌的卡車和並排車的改裝，也許可以給我們提供更多關於它如何適應各個平台的背景信息，以及您對貢獻的期望，如果可以的話。

Yeah, that's a new space for us. So in side-by-side upfitting, we're really talking about creating a class of vehicle, meaning in the race content or in the luxury UTV space that are well above what we purchase from a factory kind of production vehicle on a dealer floor. That's been exciting for us because we're reaching out to customers directly and through dealerships to sell those vehicles. We think that's kind of a different model.

是的，這對我們來說是一個新的空間。因此，在並排改裝中，我們實際上談論的是創造一類車輛，這意味著在比賽內容或豪華 UTV 領域，遠高於我們從經銷商購買的工廠生產車輛。這對我們來說是令人興奮的，因為我們直接與客戶聯繫並透過經銷商銷售這些車輛。我們認為這是一種不同的模型。

Same thing with the Fox Factory truck, we actually have a concierge service where you can contact us directly to put a deposit down that truck now and ultimately transact that truck to a dealer near that individual or somewhere in the country. But we're getting direct connection to the customer that's purchasing trucking in that environment. And that's a new phase for us, so that's pretty exciting.

Fox Factory 卡車也是一樣，我們實際上有一個禮賓服務，您可以直接聯繫我們，現在支付該卡車的押金，並最終將該卡車交易給該個人附近或該國某個地方的經銷商。但我們與在該環境下購買卡車運輸的客戶建立了直接聯繫。這對我們來說是一個新階段，所以非常令人興奮。

We think as we expand those vehicles in both automotive and in side-by-side that just continues to grow and expand and create kind of a new channel for us in how we market our high-end vehicles. So pretty positive stuff for us.

我們認為，隨著我們在汽車和平行領域的擴展，這些車輛將繼續成長和擴展，並為我們行銷高端車輛創造一種新的管道。這對我們來說是非常正面的事情。

And then on the truck side -- this is the last question -- are you worried about any potential cannibalization? Or will this be so far up the food chain that there will be no overlap?

然後就卡車方面而言——這是最後一個問題——您是否擔心任何潛在的蠶食？或者這在食物鏈中的位置太靠上以致於不會有重疊？

Pretty far up the food chain. I had a lot of conversations when we launched the Fox Factory truck with OEMs. It actually brought demand to us. Other OEMs came to us and said, hey, that's pretty cool. We would like to actually talk about doing something like that with you.

處於食物鏈的相當上層。當我們與原始設備製造商推出 Fox Factory 卡車時，我進行了許多對話。它實際上為我們帶來了需求。其他 OEM 來找我們並說，嘿，這太酷了。我們確實想和您討論做這樣的事情。

So it's actually opened some doors interestingly enough. And it's so high up in kind of that pinnacle or that pyramid of vehicles that it doesn't -- it's not in the same business as our Shelby business or anything else. It's different than that and exciting for I think the entire market.

有趣的是，它實際上打開了一些大門。它在汽車行業的巔峰或金字塔中佔據著如此高的位置，以至於它與我們的謝爾比 (Shelby) 業務或其他任何業務都不屬於同一行業。我認為這與此不同，並且對整個市場來說都是令人興奮的。

Got it. That's all I have. Thank you.

知道了。這就是我的所有了。謝謝。

Thank, Scott.

謝謝，斯科特。

Thank you. And at this time, Mr. Dennison, I'd like to turn things back to you, sir, for any closing comments.

謝謝。丹尼森先生，現在我想把話題轉回給您，請您做最後評論。

Thanks, [Bob]. I want to thank everyone for taking the time to join us tonight. And we will keep you guys updated as we progress through the quarter and look forward to talking to you soon. Have a good evening.

謝謝，[鮑伯]。我要感謝大家今晚抽出時間來參加我們的活動。我們將在本季持續向大家通報最新進展，期待盡快與大家溝通。祝你晚上愉快。

Thank you again, Mr. Dennison. Again, ladies and gentlemen, that does conclude today's Fox Factory Holding Corporation's first-quarter fiscal 2024 earnings call. Again, thanks so much for joining us. We wish you all a great evening. Goodbye.

再次感謝您，丹尼森先生。女士們、先生們，今天的 Fox Factory Holding Corporation 2024 財年第一季財報電話會議到此結束。再次感謝您的加入。祝大家有個愉快的夜晚。再見。