Federal Signal Corp (FSS) 2025 Q3 法說會逐字稿

Greetings and welcome to the Federal Signal Corporation third quarter earnings call. [Operator Instructions] It is now my pleasure to introduce your host, Felix Boshin, Vice President of Corporate Strategy and Investor Relations. Thank you. You may begin.

各位來賓，歡迎參加聯邦信號公司第三季財報電話會議。[操作員指示] 現在，我很榮幸地向大家介紹主持人，企業策略和投資者關係副總裁 Felix Boshin。謝謝。你可以開始了。

Good morning and welcome to Federal Signal's 3rd quarter 2025 conference call. I'm Felix Boshin, the company's Vice President of corporate strategy and Investor Relations. Also with me on the call today is Jennifer Sherman, our President and Chief Executive Officer, and Ian Hudson, our Chief Financial Officer. We will refer Some presentation slides today as well as to the earnings release which we issued this morning. The slides can be followed online by going to our website, FederalSignal.com, clicking on the investor call icon, and signing into the webcast. We've also posted the slide presentation and the earnings release under the investor tab on our website.

早安，歡迎參加聯邦信號公司2025年第三季電話會議。我是 Felix Boshin，公司企業策略與投資人關係副總裁。今天和我一起參加電話會議的還有我們的總裁兼執行長珍妮佛謝爾曼，以及我們的財務長伊恩哈德森。今天我們將參考一些簡報以及我們今天早上發布的盈利報告。您可以造訪我們的網站 FederalSignal.com，點擊投資者電話圖標，登入網路直播，線上觀看幻燈片。我們也將幻燈片簡報和收益報告發佈在了我們網站的投資者關係欄位下。

Before we begin, I'd like to remind you that some of our comments made today may contain forward-looking statements that are subject to the safe harbor language found in today's news release and in federal signals filings with the Securities and Exchange Commission. These documents are available on our website. Our presentation also contains some measures that are not in accordance with US generally accepted accounting principles. In our earnings release and filings, we reconcile these non-GAAP measures to GAAP measures. In addition, we will file our form 10 later today. Ian will start today by providing details on our third quarter financial results. Jennifer will then provide her perspective on our performance, provide an update on our multi-year growth initiatives, and update our guidance for 2025. After our prepared comments, we will open the line for any questions. With that , I would now like to turn the call over to Ian.

在開始之前，我想提醒各位，我們今天發表的一些評論可能包含前瞻性陳述，這些陳述受今天新聞稿和向美國證券交易委員會提交的聯邦信號文件中所載的安全港條款的約束。這些文件可在我們的網站上查閱。我們的簡報中也包含一些不符合美國公認會計原則的措施。在我們的獲利報告和文件中，我們會將這些非GAAP指標與GAAP指標進行核對。此外，我們今天稍後會提交 10 號表格。伊恩今天將首先詳細介紹我們第三季的財務表現。隨後，Jennifer 將就我們的業績發表看法，介紹我們多年成長計畫的最新進展，並更新我們對 2025 年的展望。在我們的演講結束後，我們將開放提問通道。那麼，我現在想把電話交給伊恩。

Thank you, Felix.

謝謝你，菲利克斯。

Our consolidated 3rd quarter financial results are provided in today's earnings release.

我們第三季綜合財務業績已在今天的財報中公佈。

In summary, we delivered strong financial results for the quarter with 17% year over year net sales growth, double-digit operating income improvement, a 130 basis points increase in adjusted EBR margin, and a record third quarter order intake.

總而言之，本季我們取得了強勁的財務業績，淨銷售額年增 17%，營業收入實現兩位數成長，調整後的 EBR 利潤率提高了 130 個基點，第三季訂單量創歷史新高。

Consolidated net sales for the quarter were $555 million an increase of $81 million or 17% compared to last year.

本季合併淨銷售額為 5.55 億美元，比去年同期成長 8,100 萬美元，增幅達 17%。

Organic net sales growth for the quarter was $51 million or 11%.

本季有機淨銷售額成長5,100萬美元，增幅達11%。

Consolidated operating income for the quarter was $94 million up $18.1 million or 24% compared to last year.

本季綜合營業收入為 9,400 萬美元，比去年同期成長 1,810 萬美元，增幅達 24%。

Consolidated adjusted EBITDA for the quarter was $116.2 million up $23.2 million or 25% compared to last year.

本季綜合調整後 EBITDA 為 1.162 億美元，比去年同期成長 2,320 萬美元，增幅達 25%。

That translates to a margin of 20.9% in Q3 this year, up 130 basis points compared to last year.

這意味著今年第三季的利潤率為 20.9%，比去年同期成長了 130 個基點。

GAAP diluted EPS for the quarter was $1.11 per share, of $0.24 per share, or 28% from last year. On an adjusted basis, EPS for the quarter was $1.14 per share, of $0.26 per share, or 30% from last year.

本季GAAP稀釋後每股收益為1.11美元，較去年同期成長0.24美元，增幅為28%。經調整後，本季每股收益為 1.14 美元，比去年同期下降 0.26 美元，降幅達 30%。

Border intake was again strong in the quarter at $467 million an increase of $41 million or 10% compared to last year.

本季邊境入境人數再次強勁成長，達到 4.67 億美元，比去年同期增加 4,100 萬美元，增幅達 10%。

Backlog at the end of the quarter stood at $992 million down 4% compared to Q3 last year.

本季末積壓訂單為 9.92 億美元，比去年第三季下降 4%。

In terms of our group results, ESG's net sales for the quarter were $466 million an increase of $67 million or 17% compared to last year.

就集團業績而言，ESG本季淨銷售額為4.66億美元，較去年同期成長6,700萬美元，增幅達17%。

ESG's operating income for the quarter was $85.3 million up $13.8 million or 19% compared to last year.

ESG本季營業收入為8,530萬美元，較去年同期成長1,380萬美元，增幅達19%。

ESG's adjusted EBI after the quarter was $104.9 million up $17.7 million or 20% compared to last year. That translates to a margin of 22.5% in Q3 this year, up 60 basis points compared to last year.

ESG 季度調整後的 EBI 為 1.049 億美元，比去年同期成長 1,770 萬美元，增幅達 20%。這意味著今年第三季的利潤率為 22.5%，比去年同期成長了 60 個基點。

ESG reported total orders of $371 million in Q3 this year, an increase of $18 million or 5% compared to last year.

ESG公司報告稱，今年第三季訂單總額為3.71億美元，比去年同期增加了1,800萬美元，增幅為5%。

SSG's net sales for the quarter were $90 million this year, up $14 million or 18% compared to last year.

SSG本季淨銷售額為9,000萬美元，較去年同期成長1,400萬美元，增幅達18%。

SSG's operating income for the quarter was $21.9 million up $5.1 million or 30% from last year.

SSG本季營業收入為2,190萬美元，較去年同期成長510萬美元，增幅達30%。

SSG's adjusted EBEA for the quarter was $22.9 million up $5.1 million or 29% from last year.

SSG 本季調整後的 EBEA 為 2,290 萬美元，比去年同期成長 510 萬美元，增幅達 29%。

That translates to a margin for the quarter of 25.6%, an increase of 220 basis points compared to last year.

這意味著本季利潤率為 25.6%，比去年同期成長了 220 個基點。

SSG's orders for the quarter were $96 million up $23 million or 31% in comparison to order intake in Q3 last year.

SSG 本季訂單金額為 9,600 萬美元，比去年第三季訂單額增加了 2,300 萬美元，增幅達 31%。

Corporate operating expenses for the quarter were $13.2 million compared to $12.4 million last year, with the increase primarily due to higher acquisition and integration related expenses.

本季公司營運費用為 1,320 萬美元，而去年同期為 1,240 萬美元，成長的主要原因是收購和整合相關費用增加。

Turning now to the consolidated income statement, where the increase in sales contributed to a $21.1 million dollar improvement in gross profit.

現在來看合併損益表，銷售額的成長使毛利提高了 2,110 萬美元。

Consolidated gross margin for the quarter was 29.1% compared to 29.6% in Q3 last year, as a percentage of net sales are selling, engineering, general, and administrative expenses for the quarter were down 160 basis points from Q3 last year.

本季綜合毛利率為 29.1%，去年同期為 29.6%；本季銷售、工程、一般及行政費用較去年同期下降 160 個基點。

Other items affecting the quarterly results included a $1 million increase in acquisition and integration related costs, a $700,000 increase in amortization expense, a $400,000 increase in other expenses, and a $200,000 reduction in interest expense.

其他影響季度業績的項目包括：收購和整合相關成本增加 100 萬美元，攤銷費用增加 70 萬美元，其他費用增加 40 萬美元，以及利息支出減少 20 萬美元。

Tax expense for the quarter was $22.4 million up $3.7 million from the prior year, with the increase primarily due to higher pre-tax income levels. Our effective tax rate for the quarter was 24.8% compared to 25.8% last year.

本季稅項支出為 2,240 萬美元，比上年同期增加 370 萬美元，成長的主要原因是稅前收入水準提高。本季實際稅率為 24.8%，而去年同期為 25.8%。

At this time, we expect our fourth quarter effective tax rate to be between 25% and 26%, excluding any discrete items.

目前，我們預計第四季度實際稅率將在 25% 至 26% 之間，不包括任何特殊項目。

On an overall GAAP basis, we therefore earned $1.11 per share in Q3 this year, compared with $0.87 per share in Q3 last year.

因此，按照 GAAP 整體標準，我們今年第三季每股收益為 1.11 美元，而去年第三季每股收益為 0.87 美元。

To facilitate earnings comparisons, we typically adjust our GAAP earnings per share for unusual items recorded in the current or prior quarters. In the current year quarter, we made adjustments to GAAP earnings per share to exclude acquisition-related expenses and purchase accounting expense effects.

為了方便進行收益比較，我們通常會對當季或前一季記錄的非經常性項目調整我們的 GAAP 每股盈餘。在本季度，我們對 GAAP 每股盈餘進行了調整，以排除與收購相關的費用和購買會計費用的影響。

On this basis, our adjusted earnings for the quarter were $1.14 per share, compared with $0.88 per share last year.

以此計算，我們本季的調整後每股收益為 1.14 美元，去年同期為 0.88 美元。

Looking now at cash flow, we generated $61 million of cash from operations during the quarter, bringing our year-to-date operating cash generation to $158 million an increase of $17 million or 12% compared to the first nine months of last year.

現在來看現金流，本季我們從經營活動中產生了 6,100 萬美元的現金，使我們今年迄今的經營現金流達到 1.58 億美元，比去年同期增加了 1,700 萬美元，增幅達 12%。

With the improved cash flow, we paid down approximately $55 million of debt during the quarter, ending the quarter with $159 million of net debt. And availability under our previous credit facility of $570 million. Our current net debt leverage ratio remains low.

由於現金流改善，我們在本季償還了約 5,500 萬美元的債務，季末淨債務為 1.59 億美元。並且可以利用我們之前5.7億美元的信貸額度。我們目前的淨債務槓桿率仍然很低。

Yesterday we executed a new 5 year, $1.5 billion dollar credit facility, replacing the $800 million credit facility that was previously in place. The new credit facility increases. Our revolver to $1.1 billion and also includes a $400 million term loan facility which is expected to be drawn down upon completion of the NiA acquisition. The new credit facility provides greater financial flexibility to invest in internal growth initiatives and pursue additional strategic acquisitions across our ESG and SSG groups.

昨天，我們簽署了一項新的 5 年期 15 億美元的信貸協議，取代了先前 8 億美元的信貸協議。新增信貸額度增加。我們的循環信貸額度為 11 億美元，還包括 4 億美元的定期貸款額度，預計將在完成對 NiA 的收購後提取。新的信貸安排為我們提供了更大的財務靈活性，可以投資於內部成長計劃，並在我們的 ESG 和 SSG 集團內尋求額外的策略性收購。

The terms of our new facility are more favorable to the company, reflecting our strong cash flow and balance sheet. This marks another important milestone for the company as we continue to execute on our strategic long-term growth objectives.

新設施的條款對公司更有利，反映了我們強勁的現金流和資產負債表。這標誌著公司在繼續執行長期策略成長目標的過程中又邁出了重要一步。

We also remain committed to investing in organic growth initiatives and returning cash to stockholders through dividends and opportunistic share repurchases. On that note, we pay dividends of $8.5 million during the quarter, reflecting a dividend of $0.14 per share, and we recently announced a similar dividend for the fourth quarter. That concludes my comments, and I would now like to turn the call over to Jennifer.

我們也將繼續致力於投資有機成長計劃，並透過分紅和擇機回購股票向股東返還現金。有鑑於此，我們本季派發了 850 萬美元的股息，相當於每股 0.14 美元的股息，我們最近也宣布了第四季類似的股息。我的演講到此結束，現在我想把電話交給珍妮佛。

Thank you, Ian. We reported another strong quarter of results which included 3rd quarter records across consolidated net sales, adjusted EPS, and adjusted EBITDA margin thanks to outstanding contributions from both of our groups. Within our environmental solutions group, we delivered 17% year over year net sales growth and a 20% increase in adjusted EBEDA.

謝謝你，伊恩。我們公佈了又一個強勁的季度業績，其中第三季度合併淨銷售額、調整後每股收益和調整後 EBITDA 利潤率均創歷史新高，這得益於我們兩個集團的出色貢獻。在我們的環境解決方案集團，我們實現了同比增長 17% 的淨銷售額和調整後 EBEDA 增長 20%。

With higher production levels, strong demand for our aftermarket offerings, proactive management of price/cost dynamics, and contributions from recent acquisitions representing meaningful year over year contributors.

更高的生產水準、對我們售後產品的強勁需求、對價格/成本動態的積極管理，以及近期收購帶來的貢獻，都對公司業績產生了顯著的年度成長影響。

In what is typically a seasonally strong quarter, ESG's adjusted IBBEA margin expanded by 60 basis points year over year to 22.5%, a new third quarter record and performance in the upper half of our recently raised ESG margin target range of 18 to 24%.

在通常屬於季節性強勢的季度，ESG 的調整後 IBBEA 利潤率同比增長 60 個基點至 22.5%，創下新的第三季度紀錄，並處於我們最近提高的 ESG 利潤率目標範圍 18% 至 24% 的上半部分。

Driven by continued strong order levels and an extensive pipeline of internal market share expansion initiatives, we remain focused on building more trucks across our family of specialty vehicle businesses.

在持續強勁的訂單水準和廣泛的內部市場份額擴張計劃的推動下，我們將繼續專注於在我們旗下的特種車輛業務中生產更多卡車。

These efforts to improve our throughput at our two largest ESG facilities contributed to double-digit percentage increases in revenue across our safe digging trucks, sewer cleaners, and street sweeper product lines. From a capacity perspective, our access to labor remains good, supply chains are largely stable, and our large scale capacity expansions that we completed between 2019 and 2022 position us well to profitably absorb incremental volumes into our existing footprint.

我們為提高兩家最大的 ESG 工廠的產能所做的努力，使我們的安全挖掘卡車、下水道清潔車和街道清掃車產品線的收入實現了兩位數百分比的增長。從產能角度來看，我們獲得勞動力的管道仍然良好，供應鏈基本上穩定，我們在 2019 年至 2022 年間完成的大規模產能擴張使我們能夠以盈利的方式將新增產量納入我們現有的生產佈局。

Additionally, within our CapEx outlook this year, we are investing in several productivity enhancing projects including planned automation initiatives at select facilities including our dump truck body plant in Rugby, North Dakota and the additional incremental warehouse space at our SSG facility in University Park, Illinois. These growth initiatives will further improve our throughput efficiency within our existing facility footprint and set the foundation for future organic growth. For perspective, approximately 50% of our annual caps is focused on various growth initiatives, with the other half focused on maintenance capexs.

此外，在今年的資本支出展望中，我們將投資多個提高生產力的項目，包括計劃在部分工廠實施自動化舉措，例如位於北達科他州拉格比的自卸卡車車身廠，以及位於伊利諾伊州大學城的 SSG 工廠新增的倉庫空間。這些成長措施將進一步提高我們現有設施的生產效率，並為未來的有機成長奠定基礎。從這個角度來看，我們年度資本支出中約有 50% 用於各種成長計劃，其餘一半則用於維護性資本支出。

Within our product lines, we saw strong organic revenue growth across our metal extraction support equipment. Dump truck bodies and industrial vacuum trucks as our teams continue to exec execute on various strategic growth initiatives within our industrial and markets, including geographic expansion and sales channel optimization. Shifting to aftermarkets where demand remains strong for the quarter, aftermarkets revenue were up 14% year over year, primarily driven by higher demand for aftermarket parts, increased service activity, and rental income growth.

在我們的產品線中，金屬提取輔助設備實現了強勁的內生性收入成長。隨著我們的團隊繼續在工業和市場領域執行各種戰略成長計劃，包括地理擴張和銷售通路優化，自卸卡車車身和工業真空卡車也在不斷發展壯大。轉向售後市場，該季度需求依然強勁，售後市場收入年增 14%，主要得益於售後市場零件需求增加、服務活動增加以及租賃收入成長。

Our teams are working to accelerate the growth of our parts businesses on numerous fronts, including the further integration of recent acquisitions such as hog and Trackless across our aftermarket facility footprint and increasing parts capture within our existing population base. Lastly. Our most recent acquisitions also contributed positively to top-line results in the quarter, with hog contributing approximately $20 million in net sales and Standard adding approximately $10 million of incremental net sales.

我們的團隊正在努力從多個方面加速零件業務的成長，包括進一步整合最近收購的 Hog 和 Trackless 等公司在我們售後市場設施中的業務，以及提高現有人口基數內的零件獲取量。最後。我們最近的收購也對本季的營收業績做出了積極貢獻，其中生豬收購貢獻了約 2,000 萬美元的淨銷售額，而 Standard 收購則增加了約 1,000 萬美元的增量淨銷售額。

Shifting to our safety and security systems group, the team delivered another impressive quarter with 18% top-line growth, a 29% increase in adjusted EBITDA, and a 220 basis point improvement in adjusted EBITDA margin. This improvement was primarily driven by volume growth within our public safety and warning system businesses, proactive price/cost management, and realization of certain cost savings. On that note, we successfully installed a 4th printed circuit board manufacturing line at our university park facility in Illinois in this quarter. This edition marks the 4th PCB line installation since 2022, which allows our teams to in-source certain componentry previously sourced from Asia while providing financial and operational benefits in the form of cost savings, product quality improvements, and expanded available capacity. We expect to realize incremental benefits from this 4th edition in 2026 and beyond as we scale production.

再來看看我們的安全系統團隊，團隊又取得了令人矚目的季度業績，營收成長了 18%，調整後 EBITDA 成長了 29%，調整後 EBITDA 利潤率提高了 220 個基點。這項改善主要得益於公共安全和預警系統業務的銷售成長、積極的價格/成本管理以及某些成本節約的實現。值得一提的是，本季我們在伊利諾州大學園區工廠成功安裝了第四條印刷電路板生產線。這是自 2022 年以來安裝的第四條 PCB 生產線，這使得我們的團隊能夠將以前從亞洲採購的某些組件收回內部生產，同時在成本節約、產品品質改進和可用產能擴大方面帶來財務和營運效益。我們預計，隨著生產規模的擴大，從 2026 年及以後的第四版中將逐步獲得收益。

Lastly, we are pleased with our cash conversion of the quarter, having generated $61 million of cash from operations representing 90% of net income. On an annual basis, we continue to target 100% cash conversion levels, providing dry powder for organic and inorganic capital deployment opportunities.

最後，我們對本季的現金轉換感到滿意，經營活動產生了 6,100 萬美元的現金，佔淨收入的 90%。我們每年繼續以 100% 的現金轉換率為目標，為有機和無機資本部署機會提供充足的資金。

Shifting now to current market conditions, demand for our products and service offerings remains healthy, with our third quarter order intake of 467 million representing a 10% year over year increase and the highest ever third quarter order intake on record for federal signal, as Ian indicated, our backlog declined by 4% on a year over year basis.

現在來看當前的市場狀況，對我們產品和服務的需求依然旺盛，第三季訂單量達 4.67 億美元，年增 10%，創下聯邦訊號公司第三季訂單量的歷史新高。正如 Ian 指出的那樣，我們的積壓訂單比去年同期下降了 4%。

As expected, approximately 85% of this decline was driven by lower orders for third-party refuse trucks, mostly in Canada. As we move forward and transition our refuse truck offerings from the third-party supplier to new way over time, we expect our existing third-party refuse backlog to decline in coming quarters as we deliver these third-party trucks. In backlog, but stopped taking new orders for these third-party trucks. Additionally, we are pleased that our various throughput initiatives have improved lead times and slightly reduced backlog for a certain extended product lines.

正如預期的那樣，這一下降趨勢中約 85% 是由第三方垃圾車訂單減少造成的，主要發生在加拿大。隨著我們逐步將垃圾車供應從第三方供應商過渡到新的方式，我們預計隨著這些第三方卡車的交付，我們現有的第三方垃圾車積壓訂單將在未來幾季減少。雖然訂單積壓，但已停止接受這些第三方卡車的新訂單。此外，我們很高興看到，我們的各項產能提升措施改善了某些擴展產品線的交付週期，並略微減少了積壓訂單。

Looking ahead, consistent with our typical seasonal patterns, we are expecting orders within our environmental solution group to increase both on a year over year basis and on a sequential basis in the 4th quarter. To provide more detail on the composition of orders in the quarter, we are seeing particularly strong demand for our publicly funded safety and security products both in North America and in Europe, including a major police contract win in Spain. In total, SSG orders increased 31% year over year, driven by strength and demand for public safety equipment and warning systems with. FSG, we continue to target surgical opportunities to gain market share across several US law enforcement agencies and are seeing success with this particular strategy. While SSG is typically not a backlog driven business, SSG's backlog at the end of September includes approximately $20 million earmarked for delivery in 2026.

展望未來，根據我們典型的季節性規律，我們預計第四季度環境解決方案集團的訂單量將年增，季增。為了更詳細地說明本季度的訂單組成，我們看到，無論是在北美還是歐洲，公眾對我們獲得資助的安全產品的需求都非常強勁，其中包括在西班牙贏得的一份重要的警察合約。總體而言，SSG 訂單年增 31%，這主要得益於對公共安全設備和預警系統的強勁需求。FSG，我們繼續瞄準外科手術機會，以在美國多個執法機構中獲得市場份額，並且透過這項特定策略取得了成功。雖然 SSG 通常不是一家以積壓訂單為驅動的業務，但截至 9 月底，SSG 的積壓訂單中約有 2,000 萬美元，計劃於 2026 年交付。

Within industrial and markets, orders were led by improved demand for our safe digging trucks compared to last year. Long-term, we continue to see secular tailwinds from increased adoption of hydro excavation within the United States, and we believe we are well positioned to capitalize on that secular trend.

在工業和市場領域，訂單主要來自對我們安全挖掘卡車的需求，與去年相比有所增長。從長遠來看，我們持續看到美國水力挖掘技術日益普及帶來的長期利好因素，我們相信我們已做好充分準備，能夠利用這一長期趨勢。

In summary, demand for our products remains strong, and our backlog for certain products provides excellent visibility well into 2026. Our teams are focused on executing on our growth initiatives, maintaining a healthy order intake, and increasing production.

總而言之，我們產品的需求依然強勁，某些產品的積壓訂單讓我們對 2026 年的前景有了很好的預期。我們的團隊專注於執行成長計劃，保持健康的訂單量，並提高產量。

I now want to provide an update on a number of multi-year strategic initiatives that support our through the cycle target of double-digit top-line growth. Recall over the long-term, we expect a fairly balanced contribution between organic and inorganic growth as part of those targets. First, we are pleased with the initial performance of the hog technologies acquisition which we closed in February of this year. The team has been an excellent cultural addition to the Federal Signal family, and we are excited.

現在我想向大家報告一些多年戰略舉措的最新進展，這些舉措旨在支持我們實現週期內兩位數營收成長的目標。從長遠來看，我們預計有機成長和無機成長將對這些目標做出相當平衡的貢獻。首先，我們對今年 2 月完成的生豬技術收購的初步表現感到滿意。該團隊的加入為聯邦信號大家庭帶來了極佳的文化活力，我們為此感到興奮。

To more fully integrate hog next year financially, both hogs year-to-date revenue and margin contribution have exceeded our initial estimates, primarily driven by operational throughput improvements, strong demand within hog's airport vertical, and strong aftermarket parts growth.

為了在明年更全面地整合 hog 業務，hog 業務今年迄今為止的收入和利潤貢獻均超過了我們最初的估計，這主要得益於運營吞吐量的提高、hog 業務機場垂直領域的強勁需求以及售後市場零部件的強勁增長。

Consequently, we now expect hog to contribute between 60 and 65 million of net sales in 2025, up from our previous estimate of 50 to 55 million. As we head into next year, we've identified incremental synergy opportunities that we plan to execute in 2026 spanning operational efficiencies, including procurement, go to market strategy optimization across our various road marking and line removal brands, more efficiently utilizing our North American aftermarket footprint and the usage of Hog's unique customer education technology across other federal signal products. As such, we see Hog well positioned to further expand its margins next year as we capitalize on more synergies.

因此，我們現在預計，到 2025 年，生豬將貢獻 6,000 萬至 6,500 萬美元的淨銷售額，高於我們先前估計的 5,000 萬至 5,500 萬美元。展望明年，我們已經確定了一些可逐步實現的協同效應機會，計劃在 2026 年實施，涵蓋營運效率（包括採購）、優化我們各種道路標線和劃線清除品牌的市場進入策略、更有效地利用我們在北美的售後市場佈局以及在其他聯邦信號產品中使用 Hog 獨特的客戶教育技術。因此，我們認為隨著更多協同效應的發揮，Hog 明年有望進一步擴大其利潤率。

Second, we continue to invest in scaling our internal centers of excellence, which combined with our scale within the niche specialty vehicle verticals we play and help form what we internally refer to as the power of the platform. These centers of excellence span several categories. Such as sourcing, supply chain optimization, our federal single operational system, sales channel alignment, dealer development, aftermarket support, data analytics, and new product development, and we are aimed at elevating our customer experience across our family of specialty vehicle brands. The power of this platform and execution on our strategic initiatives are important components of our long-term growth algorithm as we look to drive organic growth in excess of end market growth rates. As we look ahead to 2026, we see particular opportunities to further accelerate growth through sales channel optimization and our dealer development efforts with particular geographic white space opportunities across our track list, switch and go, and Oxbody brands. We have also identified opportunities to optimize our presence in previously underserved territories for our safe digging trucks.

其次，我們繼續投資擴大內部卓越中心的規模，這與我們在所處的細分專業車輛垂直領域的規模相結合，有助於形成我們內部所說的平台力量。這些卓越中心涵蓋多個類別。例如採購、供應鏈優化、我們的聯邦單一營運系統、銷售通路協調、經銷商發展、售後市場支援、數據分析和新產品開發，我們的目標是提升我們旗下所有特種車輛品牌的客戶體驗。該平台的強大功能以及我們在策略舉措上的執行力，是我們長期成長演算法的重要組成部分，因為我們希望實現超過終端市場成長率的內生成長。展望 2026 年，我們看到了一些特別的機會，可以透過優化銷售管道和經銷商發展工作，進一步加速成長，尤其是在我們的 Track list、Switch and Go 和 Oxbody 品牌中，存在著特定的地理空白市場機會。我們還發現了優化我們在以前服務不足的地區部署安全挖掘卡車的機會。

Third, we are highly energized to accelerate our existing Build more parts initiative in coming years, whereby we are vertically integrating certain parts production in order to drive increased recurring revenue streams, higher aftermarket share, and margin expansion over time. While still in early stages with less than $10 million in annual net sales, we are expecting another double-digit percentage. Increase in net sales resulting from this initiative this year predominantly comprised of certain street sweepers, vacuum truck, and dump truck body parts. Going forward, we see additional opportunities to expand this initiative across our other specialty vehicle categories and believe our entrance into the refuse space will present an additional untapped parts market opportunity. Importantly, given the essential nature of our products associated high utilization levels through business cycles and stable aftermarket parts and service needs of our customer, the continued growth in the aftermarket business remains an important strategic pillar in our efforts to m cyclicality.

第三，我們充滿熱情地計劃在未來幾年加速推進現有的「生產更多零件」計劃，透過垂直整合某些零件的生產，以推動經常性收入流的增加、售後市場份額的提高以及利潤率的逐步擴大。雖然公司仍處於早期階段，年淨銷售額不足 1,000 萬美元，但我們預計未來將實現兩位數的百分比成長。今年，這項措施帶來的淨銷售成長主要包括某些街道清潔車、真空吸污車和自卸車車身零件。展望未來，我們看到了將這項舉措擴展到我們其他特殊車輛類別的更多機會，並相信我們進入垃圾處理領域將帶來另一個尚未開發的零件市場機會。重要的是，鑑於我們產品的重要性，以及我們在商業週期中保持高利用率和客戶穩定的售後零件及服務需求，售後業務的持續成長仍然是我們應對週期性波動的重要策略支柱。

Lastly, we continue to expect the acquisition of newA to close in the 4th quarter of this year pending regulatory approval, as we indicated at the time of the announcement, we expect our pro forma leverage to be less than 1.5 times the time of closing, leaving sufficient flexibility for additional capital deployment toward M&A. Consistent with our long-term growth framework and stated M&A criteria, we are actively reviewing potential opportunities both in our ESG and SSG groups. Turning now to our outlook for the rest of the year, demand for our products and our aftermarket offerings remains high with our order intake this quarter contributing to a backlog which provides us with excellent visibility for further net sales and profit growth in 2026.

最後，我們仍然預計 newA 的收購將在今年第四季完成，但需獲得監管部門的批准。正如我們在宣布收購時所指出的，我們預計收購完成後，我們的備考槓桿率將低於 1.5 倍，從而為併購活動留出足夠的靈活性，以進行額外的資本部署。根據我們的長期成長框架和既定的併購標準，我們正在積極審查我們在 ESG 和 SSG 領域的潛在機會。現在展望今年剩餘時間，市場對我們產品和售後市場產品的需求依然旺盛，本季訂單量的成長也帶來了積壓訂單，這讓我們對 2026 年的淨銷售額和利潤成長充滿信心。

With our third quarter performance, our current backlog, and continued execution against our strategic initiatives, we are raising our full year adjusted EPS outlook to a new range of $4.09 to $4.17.

鑑於我們第三季的業績、目前的積壓訂單以及戰略舉措的持續執行，我們將全年調整後每股收益預期上調至 4.09 美元至 4.17 美元的新區間。

From the prior range of $3.92 to $4.10 we are also increasing our full year net sales outlook to a new range of $2.1 billion to $2.14 billion from the previous range between 2.

我們將全年淨銷售額預期從先前的 20 億美元至 40 億美元區間上調至 21 億美元至 21.4 億美元區間。

0.7 billion to 2.13 billion. This outlook reflects our view of continued healthy demand for our new equipment, parts, and aftermarket services. For clarification, this outlook does not include any contribution from the pending acquisition of Niue.

7億至21.3億。這項展望反映了我們對新設備、零件和售後服務持續健康需求的看法。需要澄清的是，此展望不包括即將進行的對紐埃島的收購所帶來的任何貢獻。

Lastly, we are maintaining our CapEx outlook of 40 to 50 million for the year.

最後，我們維持今年資本支出預期為 4,000 萬至 5,000 萬美元。

In closing, given this is that this is our last earnings call of this year, as I sit here today, I believe we are well positioned to achieve another record year in 2026 with the attraction of our strategic initiatives, new product development pipeline, throughput improvements we have achieved this year, and M&A opportunities. At this time, I think we're ready for questions, operator.

最後，鑑於這是我們今年的最後一次盈利電話會議，我今天坐在這裡，相信憑藉我們的戰略舉措、新產品開發計劃、今年實現的產能提升以及併購機會，我們已做好充分準備，在 2026 年再創佳績。操作員，現在我們可以開始提問了。

Thank you.

謝謝。

We'll now be conducting a question-and-answer session in the interest of time, Our first question comes from the line of Ross Barenbleck with William Blair. Please proceed with your question.

為了節省時間，我們現在將進行問答環節。我們的第一個問題來自羅斯·巴倫布萊克和威廉·布萊爾的對話。請繼續提問。

Good Morning, Jennifer. thanks for taking the question. Just to level set on orders really quick, what was the M&A contribution from hog and Standard at ESG in the quarter?

早上好，珍妮佛。謝謝你回答這個問題。為了快速明確訂單狀況，本季 hog 和 Standard 對 ESG 的併購貢獻為何？

Yeah, so hog added, it I think it's about 20 million in the quarter and standard was about 10.

是的，所以hog補充道，我認為季度收入大約是2000萬，標準收入大約是1000萬。

Okay, and then the SSG, that's any FX to call out there and that just all organic?

好的，那 SSG，就是所有需要關注的 FX，而且都是自然成長的嗎？

It's all organic right it was very the FX is very nominal there.

一切都是自然發生的，沒錯，特效非常少。

Okay, alright, and then maybe just to.

好吧，好吧，然後也許就到此為止。

Digging a little bit on the refuse trucks. I didn't fully appreciate that you guys were going to to stop taking orders for the third-party, within your network. Can you just help us kind of, frame the backlog contribution from that and then, kind of expectations or margin with going forward as, those kind of step away and hopefully new way fills it in.

對垃圾車進行了一些調查。我之前並沒有完全意識到你們會停止在你們的網路內接受第三方訂單。您能否幫我們分析一下，從目前的情況來看，積壓工作的貢獻情況如何，以及未來的預期或空間，因為這些工作需要逐步推進，希望新的方法能填補這些空白。

So you know we're transitioning from a third-party refuse manufacturer to new way.

所以你知道，我們正在從第三方垃圾處理商轉型到新的模式。

We've stopped taking orders, I guess I'll reiterate, that you know 85% of the year over year backlog reduction was driven by the decline of third-party.

我們已經停止接受訂單了，我想我要重申一下，你們也知道，85%的年度積壓訂單減少是由第三方訂單減少所驅動的。

Refuse backlog, which, we expect this dynamic to kind of continue in subsequent quarters as we work through the transition from the third-party refuse OEM to new way.

預計在接下來的幾個季度裡，隨著我們從第三方 OEM 過渡到新的方式，這種動態將持續下去，從而減少垃圾積壓。

And it could take.

而且可能需要一段時間。

The other thing I would add is it could take, well into 2026, for us to do this, and this should be margin creative over time.

我還要補充一點，這件事可能要到 2026 年才能完成，而且隨著時間的推移，這應該會帶來利潤空間。

Yeah, that's what I TRY to get out, I guess is just we should expect somewhere in the range of that 85% number over the next three quarters, impacting orders as well.

是的，這就是我想表達的意思，我想我們應該預期未來三個季度內，訂單量將維持在 85% 左右。

It'll vary quarter to quarter, but we would expect that it would take, the next 12 months to, deliver the trucks that are currently in backlog.

雖然每季情況會有所不同，但我們預計，交付目前積壓的卡車需要接下來的 12 個月時間。

All right, very helpful. Thank you. I'll be back in you.

好的，很有幫助。謝謝。我會回到你身邊。

Thank you.

謝謝。

Thank you. Our next question comes from the line of Chris Moore with CJS Securities. Please proceed with your question. Good morning, Chris.

謝謝。我們的下一個問題來自 CJS Securities 的 Chris Moore。請繼續提問。早上好，克里斯。

Good morning, thanks for taking a couple, so maybe just stay with NA for a second, I know that that. You guys in new way share a number of exclusive dealers, now that you've made the announcement, just wondering kind of what you're hearing from the dealer channel, is there any potential negative from the combination or just, kind of big picture what what what you're hearing at this stage?

早安，謝謝你抽出時間，所以也許可以先在北美待一會兒，我知道。你們現在以新的方式共享一些獨家經銷商，既然你們已經宣布了這一消息，我想知道你們從經銷商渠道聽到了什麼，這種合併是否存在任何潛在的負面影響，或者，從整體上看，你們目前聽到了什麼？

Yeah, the feedback has been overwhelmingly positive, as you stated, Federal Signal does share some dealers with Niue, but there's also a group of dealers that we don't share, and we're really excited to welcome those dealers to the Federal Signal family, and we think collectively this gives us a lot of opportunity going forward. So really overwhelmingly positive reaction from, existing dealer channel and the new dealer channel.

是的，反饋非常積極。正如你所說，Federal Signal確實與Niue共享一些經銷商，但也有一些經銷商我們不共享，我們非常高興歡迎這些經銷商加入Federal Signal大家庭，我們認為這為我們未來的發展提供了許多機會。無論是現有經銷商通路還是新經銷商通路，都給予了壓倒性的正面回饋。

Got it. Perfect. And maybe just one follow-up on new way. So we're talking about, 40 to $0.45 accretive, EPS in fiscal 28, 26 is roughly flat. Just trying to get a sense, is that will it be back loaded as the as the integration happens or is. Reasonable expect that that 27 will will share a reasonable portion of the of that, 40 to 45% secretion.

知道了。完美的。或許只需要對新方法進行一次後續跟進。所以我們說的是，2028 財年每股收益增加 40 美元至 0.45 美元，2026 財年每股收益大致持平。我只是想了解一下，它是會在整合過程中逐步加載，還是已經整合完畢。可以合理預期，這 27 人將分享其中相當一部分，即 40% 至 45% 的分泌物。

Yeah, I think Chris will probably give more color on that when we close the acquisition, but I think generally speaking, we have a synergy target number out there that we're going to be working with the teams on, and I think those will, kind of be more gradual as opposed to, straight out the gates I think it's going to be more gradual with them being fully realized really by the end of that 2028.

是的，我想克里斯可能會在收購完成後對此做更多說明，但總的來說，我們有一個協同效應目標，我們將與團隊一起努力實現這個目標，我認為這些目標的實現會更加循序漸進，而不是一開始就立即實現。我認為到 2028 年底，這些目標將逐步完全實現。

What I'm really encouraged by is the teams are working together with respect to post closing initiatives. and there's a lot of energy and commitment to the plan, and as soon as we get regulatory approval and close, I think that we'll be in a position to hit the ground running.

令我倍感鼓舞的是，各隊在交易完成後的各項舉措上通力合作，展現出極大的熱情和決心。一旦獲得監管部門的批准並完成交易，我相信我們就能迅速啟動各項工作。

Perfect, I, I'll leave it there appreciate it guys.

太好了，我就先說到這裡了，謝謝大家。

Thank you. Our next question comes from the line of Mike Shulsky with DA Davidson. Please proceed with your question.

謝謝。我們的下一個問題來自 Mike Shulsky 和DA Davidson 的連線。請繼續提問。

Thank you and good morning. Can you let me give us a little more commentary on the current the current federal government shutdown. I know that a lot of what you sell to, local, state, agencies, but there is some support, obviously that the federal government supplies to those agencies. I'm curious whether you've seen any changes to funding or any delays with any orders or just any kind of issues that the local players have been mentioning, given what's been going on over in Washington DC.

謝謝，早安。您能否再就目前的聯邦政府停擺事件發表一些看法？我知道你們銷售的許多產品都賣給了地方、州政府機構，但顯然聯邦政府也會向這些機構提供一些支援。鑑於華盛頓特區發生的事情，我很想知道您是否注意到資金方面有任何變化，或者訂單有​​任何延誤，或者當地玩家提到的任何問題。

Yeah, so as we previously discussed, last year we did about $10 million of direct business with the federal government that was really a military comprised of two things a military contract for one of our dump body businesses and then some military.

是的，正如我們之前討論過的，去年我們與聯邦政府進行了約 1000 萬美元的直接業務，這實際上是一項軍事業務，包括兩部分：我們其中一家垃圾車廂業務的軍事合同，以及一些軍事業務。

Installations for one of our SSG businesses so we don't expect any kind of meaningful disruption from the federal government shut down and you know our SSG orders were strong in Q3 and we haven't heard anything that we believe would change that.

我們正在為我們的一家 SSG 業務進行安裝，因此我們預計聯邦政府停擺不會造成任何實質的干擾。而且您也知道，我們 SSG 在第三季的訂單量很大，我們也沒有聽到任何我們認為會改變這種情況的消息。

So as far as the government supporting big local budgets that you haven't seen any kind of dis disruption or changes in the funding and the and the actual flow of cash.

所以，就政府支持地方大預算而言，你還沒有看到資金和實際現金流出現任何中斷或變化。

Yeah.

是的。

As yeah, as kind of the biggest single source of funding for us is water taxes, and then with respect to on the local level, there is some, certain funding in terms of municipal sales tax, for our street sweeper, for example, and certain trackless pro products Canada's important and market. Europe is important and market for our publicly funded side of the business. So given that diversification and our lack of direct sales and the funding sources that we rely upon, we wouldn't expect any meaningful impact.

是的，我們最大的單一資金來源是水費，而在地方層面，市政銷售稅也提供了一些資金，例如用於我們的街道清潔車，以及加拿大重要的無軌專業產品。歐洲是我們公共資金支持業務的重要市場。鑑於業務多元化、缺乏直接銷售以及我們所依賴的資金來源，我們預計不會產生任何實質影響。

Okay, great. Secondly, I wanted to ask a little bit about the broader environment for a new way. I'm a little out of breath this morning it's because another large waste truck company just announced that, and they're, they, also announced a merger. Curious whether, I don't know if you had a chance to look at it yet. I just saw it myself for the first time a couple of hours ago. But I'm curious whether you think, one of the other players having some more costs is being taken out. Kind of makes the pricing environment a little sharper going forward maybe after the after that merger has been integrated over the next 12 months or so.

好的，太好了。其次，我想稍微了解新方法的更廣泛環境。我今天早上有點喘不過氣來，是因為另一家大型垃圾車公司剛剛宣布了這一消息，而且他們還宣布了一項合併計劃。我很好奇，不知道你有沒有機會看過？我幾個小時前也是第一次看到它。但我很好奇，你是否認為其他一些成本較高的球員會被淘汰？這樣一來，未來12個月左右，隨著合併的完成，定價環境可能會變得更加複雜。

Yeah, so the only area that we would compete, with respect to the Terex rev merger, as you noted, would be garbage trucks, we continue to believe that NiA is extremely well positioned with its ASL product line and the Canadian opportunity through our JJE team and frankly the strength of its municipal channel.

是的，正如您所指出的，就 Terex 收入合併而言，我們唯一會與之競爭的領域是垃圾車。我們仍然相信，NiA 憑藉其 ASL 產品線、透過我們的 JJE 團隊在加拿大獲得的機會以及其強大的市政管道，都處於非常有利的地位。

So we believe, our view hasn't changed at all, since we announced the acquisition and you know we continue to be, excited and energized, by the new way team and the opportunities that.

所以我們相信，自從我們宣布收購以來，我們的觀點絲毫沒有改變，而且你知道，我們對新的團隊和機會仍然感到興奮和充滿活力。

Super.

極好的。

Thank you so much. I'll pass it along.

太感謝了。我會轉達的。

Thank you.

謝謝。

[Operator Instructions] Our next question comes from the line of Steve Barger with Key Bank Capital Markets. Please proceed with your question.

【操作員說明】我們的下一個問題來自 Key Bank Capital Markets 的 Steve Barger。請繼續提問。

Hey good morning.

嘿，早安。

I know it's early for 2026 comments, but I do get a lot of questions about ESG going forward. If we just take new way out of the conversation, do you think existing backlog and and market strength should allow you to keep the growth momentum going in core ESG, meaning, everything in the portfolio right now, can you continue to drive solid top-line growth?

我知道現在評論 2026 年還為時過早，但我確實收到了很多關於 ESG 未來發展方向的問題。如果我們換個角度來討論，您認為現有的積壓訂單和市場實力是否足以讓您在核心 ESG 領域保持成長動能？也就是說，目前投資組合中的所有項目，您能否繼續推動穩健的營收成長？

Yeah, I mean, I believe we're extremely well positioned to achieve another record year in 2026 and it's going to be a combination of execution on the strategic initiatives.

是的，我的意思是，我相信我們完全有能力在 2026 年再創佳績，而這需要策略性舉措的有效執行。

Continued throughput improvements, our new product development pipeline, and you know we've got, good visibility, through a backlog for about half of our businesses. I'm encouraged by the throughput improvements, that our, sewer cleaning team and our street sweeping team have achieved. And our road marking business as I talked about in my prepared comments has a number of opportunities that we're going to be executing on in 2026. Our mineral extraction business as I talked about my prepared remarks, had a strong quarter and we expect that to continue, so when I look at both the combination of the organic growth initiatives and the M&A opportunities.

持續提高生產效率，我們的新產品開發流程，而且你知道，我們對大約一半業務的積壓訂單有了良好的可見性。我對我們的下水道清理隊和街道清掃隊在吞吐量提升方面取得的成績感到鼓舞。正如我在事先準備好的演講稿中提到的，我們的道路標線業務有很多機會，我們將在 2026 年執行這些機會。正如我之前在發言稿中提到的，我們的礦產開採業務本季表現強勁，我們預計這一趨勢將持續下去。因此，當我審視有機成長舉措和併購機會的結合時，我認為…

I feel like we're set up to achieve another record year in 2026.

我覺得我們已經做好準備，在 2026 年再創佳績。

Yeah, I get it. I mean, a record year seems like a lot even excluding new way, but I guess the question is, do you feel like some of the mid to high single-digit organic growth momentum that you've had is still achievable just given the conditions, the backlog, the initiatives that you have?

是的，我明白了。我的意思是，即使不考慮新方法，創紀錄的一年似乎也很了不起，但我想問的是，考慮到目前的條件、積壓訂單和現有舉措，你是否覺得你仍然能夠實現之前取得的中高個位數自然增長勢頭？

Now, we remain committed to our long-term growth algorithm.

現在，我們依然致力於我們的長期成長策略。

In terms of low double-digit revenue growth split equally between M&A and our organic growth initiatives and we'll update this in February.

營收成長預計為兩位數以下，其中併購和內生成長計畫各佔一半，我們將在二月更新相關資訊。

Got it, yes, that's fair. And you do also have a really nice track record of margin expansion and ESG over the past few years. You've talked about 26 being an investment year for new way specifically when that closes.

明白了，是的，這很合理。而且，你們在過去幾年裡，在利潤率擴張和ESG方面也取得了非常好的成績。你曾說過，26 年是新方法投資的一年，尤其是在它關閉的時候。

Can you just talk about how you think about the pace of margin expansion going forward or maybe what does it change the the algorithm for incremental margin. When you think about factoring new way in whether it's the ESG or on a consolidated basis.

您能否談談您對未來利潤率擴張速度的看法，或者說這會對增量利潤率的演算法產生什麼影響？當你考慮將新方法納入考量時，無論是ESG或合併報表。

Yeah, I think Steve, obviously we have ESG margin targets that are really kind of long-term through the cycle margin targets and I think when we talked about the new way opportunity a couple of weeks back, we talked about, the need to make some investments in the business, so I think, I still think there's there's a lot of opportunity in the other areas, particularly if you think about the leverage we can get from increasing production. At some of our our main facilities, a larger facilities, I should say where we have capacity, the growth in the aftermarket business, which is slightly more attractive from a margin profile. So there can be some various puts and takes as we, in 26, but I think long-term we're still committed to that 18 to 24% margin target for the business.

是的，史蒂夫，顯然我們有ESG利潤率目標，這些目標實際上是貫穿整個週期的長期利潤率目標。幾週前我們談到新的機會時，也談到了需要對業務進行一些投資，所以我認為，我仍然認為在其他領域有很多機會，特別是考慮到我們可以透過提高產量獲得的槓桿效應。在我們的一些主要工廠，或更確切地說是規模較大的工廠（我們擁有產能的地方），售後市場業務的成長，從利潤率來看，更具吸引力。所以，正如我們在 26 歲時所經歷的那樣，可能會有一些不同的進退，但我認為從長遠來看，我們仍然致力於實現 18% 到 24% 的業務利潤率目標。

Yeah, and you know as well you can imagine that we have extremely detailed plans. And so it, we look, we've got a 26, 27, and 28 year plans for each of those years, we would expect, as you implied that new way would be margin dilutive in 2026, but, we feel very confident in our ability given the synergy opportunities that exist both on the cost and the revenue side. That this business long-term will run within the EBITDA target margin ranges that we've given and we spent a lot of time studying this and if anything I'm more encouraged by the planning and work that the teams are doing now for post closing.

是的，你也知道，你可以想像我們有非常詳細的計畫。因此，我們制定了 26 年、27 年和 28 年的計劃，對於每一年，我們預計，正如您所暗示的那樣，這種新方法將在 2026 年稀釋利潤率，但是，考慮到成本和收入方面存在的協同效應機會，我們對我們的能力非常有信心。這項業務長期來看將在我們設定的 EBITDA 目標利潤率範圍內運行，我們為此花費了大量時間進行研究，而且，團隊目前正在為交易完成後的工作和計劃進行，這讓我更加鼓舞。

I really appreciate the detail thank you. Thank.

非常感謝您的詳細解答。感謝。

You.

你。

Thank you. Our next question comes from the line of Greg Burns with Sidoti & Company. Please proceed with your question.

謝謝。我們的下一個問題來自 Sidoti & Company 的 Greg Burns。請繼續提問。

Morning. on the now the the build more parts initiative you mentioned, what percent of your parts, are currently insourced or I guess reflecting that kind of $10 million of sales that you called out?

早安.關於您提到的「增加零件生產」計劃，目前貴公司有多少百分比的零件是內部生產的？或者說，這是否反映了您提到的1000萬美元的銷售額？

Very small.

非常小。

There's a lot of untapped opportunity here, particularly with the addition of the refuse business.

這裡有許多尚未開發的商機，尤其是加上垃圾處理業務之後。

IT you're our only group that doesn't have to go get orders.

IT部門，你們是我們唯一不需要去接單的部門。

You got enough internal orders to last your lifetime.

你收到的內部訂單足夠你忙一輩子了。

Is is there like a a goal in terms of kind of what percent of your parts business you'd like to kind of vertically integrate and what what kind of margin uplift is there relative to you know outsourcing it?

你們有沒有設定目標，例如希望將零件業務的多少百分比進行垂直整合，以及與外包相比，垂直整合能帶來多大的利潤提升？

Yeah, we're still in early stages, I'm encouraged by the progress that the teams have made, we believe that, as we move forward, build more parts, can be, multiples bigger over time.

是的，我們仍處於早期階段，我對團隊的進展感到鼓舞，我們相信，隨著我們不斷前進，製造更多部件，隨著時間的推移，規模可以成倍增長。

And particularly with the refuse opportunity and you know I I guess I'll say in kind of typical federal signal fashion we pilot something we get good at it and then we start to accelerate. I think we're closing finishing our pilot phase and it's again a credit to that team and we're really looking as we moved into 26 and 27 for opportunities to accelerate that initiative.

尤其是關於垃圾處理的機會，你知道，我想我會以典型的聯邦信號方式說，我們先試行一些東西，把它做好，然後我們就開始加速。我認為我們的試點階段即將結束，這再次歸功於團隊的努力，隨著我們進入第 26 和 27 階段，我們正在積極尋找機會來加速這項計劃。

Okay, and could you just give us maybe a little bit more color on where the lead time stand, relative to maybe some of your larger product lines, what your expectations are for next year given some of the initiatives you have in place and do you expect to be able to bring your backlog down next year?

好的，您能否更詳細地介紹一下目前的交付週期，特別是相對於您的一些大型產品線而言？考慮到您已經實施的一些舉措，您對明年的預期是什麼？您預計明年能夠減少積壓訂單嗎？

Yeah. So we talked about, just reminding you the impact that the transition from the third-party, roughus manufacturer will have, during 2026, with respect to lead times, right now sewer cleaners are running around 11 months. Our three wheel sweepers, we've made great progress and credit to the team are running in that 5 to 6 month range, which is where we'd like.

是的。所以我們討論了一下，提醒大家從第三方 Roughus 製造商過渡到 2026 年將對交貨時間產生的影響，目前下水道清潔器的交貨時間約為 11 個月。我們的三輪清掃車取得了巨大進展，這要歸功於團隊的努力，它們的運行時間在 5 到 6 個月之間，這正是我們所希望的。

And then our four wheel sweepers we still have some work to do. They're running 12 to 18 months and it really varies, road marking equipment we'd want again in that 5 to 6 months with some stock available so it depends on the particular product line, but my expectation is that we would continue to reduce lead times for sewer cleaners and for our four wheel sweepers.

還有我們的四輪清掃車，我們還有一些工作要做。他們的交貨週期是 12 到 18 個月，具體時間長短不一。道路標線設備我們希望在 5 到 6 個月內再次到貨，並且有一些庫存。所以這取決於具體的產品線，但我預計我們將繼續縮短下水道清掃車和四輪清掃車的交貨週期。

Okay, and then I guess excluding the impact of the third-party. Refuse trucks. Do you think you could Do you think production rates will increase next year to where you will start to bring down the core backlog or I know it's going to depend on order input rates and all that but just based on what you're seeing now and what you have planned in terms of maybe capacity or production.

好的，那我想就排除第三方的影響吧。垃圾車。你認為明年生產力會提高到足以減少核心積壓訂單的程度嗎？我知道這取決於訂單投入率等等，但就你目前所看到的以及你在產能或生產方面的計劃而言，你認為有可能嗎？

Expansion initiatives do you do you think that that's the case?

擴張計劃，你認為情況就是這樣嗎？

I think Greg we've obviously we've talked for a number of quarters now about wanting to increase production you know to to leverage the capacity that that that's available to us so I I think that's the goal is to you know to keep working those lead times down as specifically as it relates to 26 I think we'll come back in February with the with the with the guide for 26.

我認為格雷格，我們已經連續幾個季度討論過提高產量，以充分利用我們現有的產能，所以我認為我們的目標是不斷縮短交貨週期，特別是對於26號產品，我想我們會在2月份帶著26號產品的指導方針回來。

Okay alright great thank you.

好的，太好了，謝謝。

Thank you we have reached the end of our question-and-answer session. I'd like to turn the call back over to Jennifer Sherman for any closing remarks.

謝謝，我們的問答環節到此結束。我謹將電話交還給珍妮佛‧謝爾曼，請她作總結發言。

In closing, as we enter this Thanksgiving season, I want to take a moment to thank our dedicated employees and loyal customers and dealers and distributors. Thank you for joining us today, and we will talk to you soon.

最後，值此感恩節之際，我想藉此機會感謝我們敬業的員工、忠實的客戶、經銷商和分銷商。感謝您今天收看我們的節目，我們很快再見。

Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation and have a wonderful day.

謝謝。今天的電話會議到此結束。您可以在此時斷開線路。感謝您的參與，祝您有美好的一天。