L B Foster Co (FSTR) 2026 Q1 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Q1 2026 L.B. Foster earnings conference call. (Operator Instructions). Please be advised that today's conference is being recorded. I would now like to hand the conference over to your first speaker today, Lisa Durante, Director of Financial Reporting and Investor Relations. Please go ahead.

各位早安，感謝您稍候。歡迎參加 L.B. Foster 2026 年第一季（Q1）財報電話會議。（接線員指示）請注意，今天的會議將被錄音。現在我想把會議交給今天的第一位講者，財務報告與投資人關係總監 Lisa Durante。請開始。

Thank you, operator. Good morning, everyone, and welcome to L.B. Foster's first quarter of 2026 earnings call. My name is Lisa Durante, the company's Director of Financial Reporting and Investor Relations. Our President and CEO, John Kasel; and our Chief Financial Officer, Bill Thalman, will be presenting our first quarter operating results, market outlook and business developments this morning.

謝謝，接線員。各位早安，歡迎參加 L.B. Foster 2026 年第一季財報電話會議。我是 Lisa Durante，擔任公司財務報告與投資人關係總監。今天上午將由我們的總裁暨執行長 John Kasel，以及財務長 Bill Thalman，向各位報告第一季營運成果、市場展望與業務發展。

We'll start the call with John providing his perspective on the company's first-quarter performance. Bill will then review the company's first quarter financial results. John will provide perspective on market developments and company outlook in his closing comments. We will then open up the session for questions.

我們將先由 John 分享他對公司第一季表現的觀點。接著 Bill 將回顧公司第一季財務結果。John 會在結語中補充市場動態與公司展望。之後我們將開放問答。

Today's slide presentation, along with our earnings release and financial disclosures were posted on our website this morning and can be accessed on our Investor Relations page at lbfoster.com. Our comments this morning will follow the slides in the earnings presentation.

今天的簡報投影片，以及我們的財報新聞稿與財務揭露，已於今早發布在公司網站上，可至 lbfoster.com 的投資人關係頁面查閱。我們今天上午的發言將依照財報簡報中的投影片進行。

Some statements we are making are forward-looking and represent our current view of our markets and business today. These forward-looking statements reflect our opinions only as of the date of this presentation, and we undertake no obligation to revise or publicly release the results of any revisions to these statements in light of new information, except as required by securities laws. For more detailed risks, uncertainties and assumptions relating to our forward-looking statements, please see the disclosures in our earnings release and presentation. We will also discuss non-GAAP financial metrics and encourage you to carefully read our disclosures and reconciliation tables provided within today's earnings release and presentation as you consider these metrics.

我們所做的部分陳述屬於前瞻性陳述，代表我們目前對市場與業務的看法。這些前瞻性陳述僅反映截至本簡報日期的意見；除證券法規要求外，我們不承擔因新資訊而修訂或公開發布任何修訂結果之義務。關於與前瞻性陳述相關的更詳細風險、不確定性與假設，請參閱我們財報新聞稿與簡報中的揭露內容。我們也將討論非 GAAP 財務衡量指標，並建議您在評估這些指標時，仔細閱讀本次財報新聞稿與簡報中所提供的揭露與調節表。

So with that, let me turn the call over to John.

那麼，接下來我把電話交給 John。

Thanks, Lisa, and hello, everybody. Thanks for joining us today for our first quarter earnings call. I'll begin with slide 5, covering the key drivers for our results of the quarter. As you can see from our earnings release, we carried positive momentum generated at the end of last year into the first quarter, delivering strong results across the board. The robust sales growth in Q1 was as expected, up 23.9% over last year.

謝謝你，Lisa，各位大家好。感謝各位今天參加我們的第一季財報電話會議。我將從第 5 頁投影片開始，說明本季業績的關鍵驅動因素。從我們的財報新聞稿可以看到，我們把去年年底所累積的正向動能延續到第一季，各項表現皆交出強勁成果。第一季的強勁營收成長符合預期，較去年成長 23.9%。

The growth was highest in the Rail Group, which was up 38.4% over last year, with all business units delivering significant improvements. Sales for Infrastructure segment were also up 5.9%, driven by continuing demand in our precast concrete business. The strong sales growth translated into a significant improvement in profitability, with EBITDA up 183% over last year. The improved profitability was realized within our margins with gross profit up 27.5% and gross margins improving 60 basis points to 21.2% -- we also continue to leverage our operating structure with SG&A as a percent of sales declining 240 basis points compared to last year. Our normal working capital cycle increased total debt $16.9 million during the quarter as we prepared to support our customers' construction season.

成長幅度最大的是鐵路事業群（Rail Group），較去年成長 38.4%，各業務單位皆有顯著改善。基礎建設（Infrastructure）部門的銷售亦成長 5.9%，主要受惠於我們預鑄混凝土業務需求持續強勁。強勁的銷售成長帶動獲利能力大幅提升，EBITDA 較去年成長 183%。獲利改善反映在毛利表現上：毛利增加 27.5%，毛利率提升 60 個基點至 21.2%——同時我們也持續發揮營運結構槓桿效益，SG&A 佔銷售比重較去年下降 240 個基點。本季在我們正常的營運資金週期下，為支援客戶的施工旺季準備，總負債增加 1,690 萬美元。

Our disciplined capital allocation approach reduced total debt $22.8 million compared to last year. Coupled with significant improvement in profitability in the quarter, our gross leverage was cut in half from 2.5x last year to 1.2x at quarter end. So in summary, we're really pleased with the strong start to the year, and we remain optimistic about our prospects for continued progress in 2026. I'll cover the market outlook and our financial guidance for the year after Bill runs through the financial details for the quarter. Over to you, Bill.

我們嚴謹的資本配置策略使總負債較去年減少 2,280 萬美元。再加上本季獲利能力顯著改善，我們的總槓桿倍數由去年的 2.5 倍降至季末的 1.2 倍，等於減半。總結來說，我們對今年強勁的開局感到非常滿意，並對 2026 年持續進步的前景保持樂觀。待 Bill 說明本季財務細節後，我將再補充市場展望與全年財務指引。交給你了，Bill。

Thanks, John; and good morning, everyone. I'll begin my comments on slide 7, covering the consolidated results for the first quarter. Reconciliations for non-GAAP information and other financial details are included in the appendix of the presentation.

謝謝你，John；各位早安。我將從第 7 頁投影片開始，說明第一季合併業績。非 GAAP 資訊的調節表及其他財務細節，已收錄於簡報附錄中。

Net sales for the quarter were $121.1 million, up 23.9% over last year, primarily due to the strong growth in the Rail segment. As a reminder, last year's sales in Rail were weaker than normal due to a pause in government funding programs that delayed customer project work. As John mentioned, the consolidated gross profit was up 27.5% in the quarter, with gross margins improving 60 basis points to 21.2%. Both segments realized double-digit increases in gross profit in the quarter, highlighting the broad improvement realized in our results. I'll provide more color on segment sales and margins later in the presentation.

本季淨銷售額為 1.211 億美元，較去年成長 23.9%，主要來自鐵路（Rail）部門的強勁成長。提醒各位，去年鐵路部門的銷售低於正常水準，原因是政府資金計畫一度暫停，導致客戶專案施工延後。如 John 所提，本季合併毛利較去年成長 27.5%，毛利率提升 60 個基點至 21.2%。兩個部門本季毛利皆呈現雙位數成長，凸顯我們業績改善的廣泛性。我稍後會在簡報中提供更多部門別銷售與毛利率的細節。

SG&A expenses totaling $23 million were up $2.1 million or 9.9% compared to last year. The primary driver was higher employment costs, including a $1.2 million increase in incentive compensation expense with the improved results in Q1 compared to last year. This year's incentive expense also includes $0.7 million in accelerated stock compensation expense associated with annual incentive plan grants awarded to retirement-eligible employees.

SG&A 費用合計 2,300 萬美元，較去年增加 210 萬美元或 9.9%。主要驅動因素為人事成本上升，其中包含因第一季業績較去年改善而使獎勵性薪酬費用增加 120 萬美元。今年的獎勵費用亦包含 70 萬美元的加速認列股票薪酬費用，係與年度獎勵計畫授予符合退休資格員工的獎勵相關。

Despite the higher expenses year-over-year, the SG&A percent of sales improved 240 basis points to 19%. EBITDA was $5.2 million, up 183% versus last year, driven by the sales growth and improved gross profit. First-quarter cash flow improved over last year with operating cash flow favorable $15.7 million on improved profitability and lower working capital needs. And lastly, consolidated orders and backlog were both lower compared to last year, 4.7% and 11.7%, respectively. I'll cover segment-specific drivers later in the presentation.

儘管費用年增，但 SG&A 佔銷售比重改善 240 個基點至 19%。EBITDA 為 520 萬美元，較去年成長 183%，主要受銷售成長與毛利改善帶動。第一季現金流亦較去年改善，營運現金流因獲利提升與營運資金需求降低而增加 1,570 萬美元。最後，合併訂單與在手訂單（backlog）較去年分別下降 4.7% 與 11.7%。我稍後會在簡報中說明各部門的具體驅動因素。

The financial profile of our results on slide 8 highlights the seasonality in the business over the last 3 years. We're entering the construction season for our customers, which typically translates to higher sales and profitability during our second and third quarters. Last year, first-quarter sales were unusually low due to a pause in government funding impacting rail demand early in the year. These delays were resolved throughout 2025, resulting in an unusually strong fourth quarter last year. So while 2025 looks relatively normal compared to the averages, the quarterly splits last year were far from normal.

第 8 頁投影片所呈現的財務輪廓，突顯過去三年業務的季節性。我們正進入客戶的施工旺季，通常會使第二季與第三季的銷售與獲利較高。去年第一季銷售異常偏低，係因政府資金暫停影響年初鐵路需求。這些延遲在 2025 年逐步解決，導致去年第四季異常強勁。因此，雖然 2025 年相較平均值看起來較為正常，但去年的季度分布其實遠非正常。

This year's first-quarter results represent a typical level of demand, and we expect the phasing of business to follow a more normal pattern in 2026. I'll cover the segment specific performance on the next couple of slides, starting with Rail on slide number 9.

今年第一季的結果代表較典型的需求水準，我們預期 2026 年的業務節奏將回到較正常的型態。接下來幾頁我將說明各部門的表現，先從第 9 頁投影片的鐵路部門開始。

First-quarter revenues were $74.8 million, up 38.4% compared to last year's soft start, primarily in Rail Products. The improvement was strongest for Rail Products with sales up 40.8% due to higher demand for rail distribution and transit products. Global Friction Management sales were up 39.5%, as this growth platform continues to perform well. Technology Services & Solutions sales were also up 29.1% due to short-term project work in our UK business. Rail margins of 21.6% were down 70 basis points, driven primarily by unfavorable sales mix with the higher Rail distribution volumes this year.

第一季營收為 7,480 萬美元，較去年疲弱的開局成長 38.4%，主要來自鐵路產品（Rail Products）。其中鐵路產品改善最為明顯，銷售成長 40.8%，係因鐵路配銷與軌道交通產品需求增加。全球摩擦管理（Global Friction Management）銷售成長 39.5%，此成長平台持續表現良好。技術服務與解決方案（Technology Services & Solutions）銷售亦成長 29.1%，主要受惠於我們英國業務的短期專案工作。鐵路部門毛利率為 21.6%，下降 70 個基點，主要因今年鐵路配銷量增加導致銷售組合不利。

Turning to Rail orders and backlog. Q1 orders were down 3.2% due to lower orders for Friction Management after a very strong level attained last year. Rail Product and TS&S orders were relatively flat compared to last year. And the Rail backlog was up 11.3% due to a large multiyear order secured in our UK business late last year.

接著談鐵路（Rail）的訂單與在手訂單（backlog）。第一季訂單下滑 3.2%，主因是摩擦管理（Friction Management）在去年達到非常強勁的水準後，今年訂單較低。鐵路產品（Rail Product）與 TS&S 的訂單相較去年大致持平。而鐵路在手訂單上升 11.3%，係因我們英國業務於去年底取得一筆大型多年期訂單。

Turning to Infrastructure Solutions on slide 10. Net sales increased $2.6 million or 5.9%. The improvement was realized in Precast Concrete with sales up 17.2%, highlighting the strong demand that continues in this growth platform. Steel Products sales declined $2.3 million, primarily due to lower bridge form volumes. Infrastructure gross profit increased $1.4 million with the margins up 200 basis points to 20.6%. The improvements were realized in Precast Concrete driven by higher sales volumes and favorable sales mix, coupled with improved manufacturing execution.

接著看第 10 頁的基礎建設解決方案（Infrastructure Solutions）。淨銷售額增加 260 萬美元或 5.9%。改善主要來自預鑄混凝土（Precast Concrete），銷售成長 17.2%，凸顯此成長平台持續強勁的需求。鋼鐵產品（Steel Products）銷售下滑 230 萬美元，主要因橋梁模板（bridge form）出貨量較低。基礎建設毛利增加 140 萬美元，毛利率提升 200 個基點至 20.6%。改善主要來自預鑄混凝土，受惠於較高的銷售量與有利的銷售組合，加上製造執行改善。

I'll mention here that one cost driver we're starting to see elevate is fuel charges within our freight costs. This was not a big impact in Q1, but something we're working on mitigating starting here in Q2. Infrastructure orders declined $4.4 million due to lower intake for Pipeline Coatings after a very strong level in last year's first quarter. Partially offsetting were Precast Concrete orders up $2.3 million or 5.5%. Infrastructure backlog totaling $107.4 million is down $38 million versus last year.

我在此補充一點：我們開始看到一項成本驅動因素上升，即運輸成本中的燃油附加費（fuel charges）。這在第一季影響不大，但我們自第二季起正著手降低其影響。基礎建設訂單減少 440 萬美元，係因管線塗層（Pipeline Coatings）在去年第一季基期非常強勁後，今年接單較低。部分抵銷因素為預鑄混凝土訂單增加 230 萬美元或 5.5%。基礎建設在手訂單合計 1.074 億美元，較去年減少 3,800 萬美元。

About $30 million of the decline was in Steel Products with $19 million due to the Summit Pipeline Coating order cancellation in Q3 last year. Precast Concrete backlog was also lower $8 million with reduced open orders for CXT buildings. I'll provide some additional color on segment orders and backlog at the end of my review.

其中約 3,000 萬美元的減少來自鋼鐵產品（Steel Products），而其中 1,900 萬美元係因去年第三季 Summit 管線塗層（Pipeline Coating）訂單取消所致。預鑄混凝土在手訂單也減少 800 萬美元，原因是 CXT 建築（CXT buildings）的未結訂單較少。我會在本段落回顧結尾提供一些關於各事業部訂單與在手訂單的補充說明。

I'll next cover liquidity and leverage metrics on slide 11. The chart reflects the ongoing improvement in our management of net debt and leverage. Net debt of $55.7 million was down $24.2 million compared to last year, with the gross leverage ratio cut in half to 1.2x, driven by improved profitability and lower working capital levels. Our capital-light business model has translated into significant cash generation over the last several years. As a reminder, we wrapped up the $8 million per year Union Pacific settlement payments at the end of 2024.

接下來我將在第 11 頁說明流動性與槓桿指標。圖表反映我們在淨負債與槓桿管理上的持續改善。淨負債 5,570 萬美元，較去年減少 2,420 萬美元；總槓桿比率減半至 1.2 倍，主要受惠於獲利能力提升與營運資金水位下降。我們的輕資本（capital-light）商業模式在過去數年帶來顯著的現金創造。提醒一下，我們已於 2024 年底完成每年 800 萬美元的聯合太平洋（Union Pacific）和解付款。

Excluding these payments, we generated about $85 million in free cash flow over the last 3 years or approximately $28 million per year on average. We also have about $75 million in federal NOLs available, which should continue to minimize cash taxes for the next several years. We utilize a systematic disciplined approach to deploying capital across our priorities, which I'll now cover on slide 12.

若排除這些付款，我們在過去 3 年約產生 8,500 萬美元的自由現金流，平均每年約 2,800 萬美元。我們也有約 7,500 萬美元的聯邦淨營運虧損扣抵額（federal NOLs）可用，預期未來數年將持續降低現金稅負。我們以系統化且嚴謹的方式，依優先順序配置資本；我接著將在第 12 頁說明。

Managing our debt and leverage at reasonable levels remains our top capital allocation priority. At the end of the first quarter, the gross leverage ratio per our revolving credit agreement was just under 1.2x, well within our target range of 1x to 1.5x. Seasonal working capital needs are expected to increase debt further in the second quarter, but we should stay around our target leverage range and remain favorable compared to last year. Capital spending in the first quarter totaled $3 million or 2.4% of sales.

將負債與槓桿維持在合理水準，仍是我們資本配置的首要優先事項。第一季末，依循環信用協議（revolving credit agreement）計算的總槓桿比率略低於 1.2 倍，明顯落在我們 1 倍至 1.5 倍的目標區間內。季節性營運資金需求預期將在第二季推升負債水準，但我們應仍可維持在目標槓桿區間附近，且相較去年仍更為有利。第一季資本支出合計 300 萬美元，約占銷售額 2.4%。

We have several targeted organic growth programs within our Precast Concrete business that we expect will increase the 2026 CapEx rate to 2.7% of sales approximately. We've also systematically repurchased our stock over the last 3 years with just over 1 million shares repurchased since early 2023, representing 9.3% of the outstanding shares. We did not make any open market repurchases in the first quarter after buying about 582,000 shares in 2025. We have $28.7 million authorized to spend on buybacks over the next 2 years, which represents approximately 9% of the shares stock value outstanding at today's valuation. As always, we will remain disciplined and conservative in our approach to this important capital allocation priority.

我們在預鑄混凝土（Precast Concrete）業務中有數項聚焦的有機成長計畫，預期將使 2026 年資本支出率提高至約占銷售額 2.7%。此外，過去 3 年我們也有系統地回購股票；自 2023 年初以來已回購略逾 100 萬股，約占流通在外股數的 9.3%。我們在第一季未於公開市場進行回購，先前於 2025 年已回購約 582,000 股。未來 2 年我們仍有 2,870 萬美元的回購授權額度，按今日估值約相當於流通在外股票市值的 9%。一如既往，我們在這項重要的資本配置優先事項上，將維持嚴謹且保守的紀律。

And finally, we continue to evaluate tuck-in acquisitions to add breadth to our growth platforms, primarily in the Precast Concrete market space. I'll wrap up my comments with some additional color on order rates and backlog on Slides 13 and 14. We've mentioned in the past that order rates tend to be choppy for our business given the project nature of the work we support for our customers. Generally, orders received are fulfilled within a year with only about 10% of the open backlog relating to projects expected to extend beyond a year. On a consolidated basis, the trailing 12-month book-to-bill ratio at the end of the quarter was 0.95:1, down from both last year's first quarter and the end of 2025.

最後，我們持續評估小型併購（tuck-in acquisitions），以擴充我們的成長平台廣度，主要聚焦於預鑄混凝土市場領域。我將以第 13 與第 14 頁對訂單速度與在手訂單的補充說明作結。我們過去曾提到，由於我們所支援的客戶工作具有專案性質，訂單速度往往較為波動。一般而言，收到的訂單會在一年內履行，未結在手訂單中僅約 10% 與預期超過一年期的專案相關。以合併口徑來看，本季末過去 12 個月的接單出貨比（book-to-bill）為 0.95:1，低於去年第一季與 2025 年底。

The decline versus last year was driven by the lower ratio in Infrastructure at 0.84:1, driven primarily by the Summit order cancellation and softer Pipeline Coating order intake impacting Steel Products. Rail order rates overall remain positive with the trailing 12-month ratio at 1.03:1, although down from the end of 2025 after the strong finish last year.

相較去年下降，主要是基礎建設（Infrastructure）的比率較低，為 0.84:1，主要受 Summit 訂單取消影響，以及管線塗層（Pipeline Coating）接單轉弱而影響鋼鐵產品（Steel Products）。鐵路（Rail）整體接單速度仍維持正向，過去 12 個月比率為 1.03:1，但在去年強勁收尾後，較 2025 年底有所下滑。

And lastly, the consolidated backlog reflected on slide 14 totaled $209.6 million, down $27.6 million from last year, with the decline realized in Infrastructure stemming primarily from lower Pipeline Coating open orders, including the impact of the Summit order cancellation. We're focused on building our backlog across the business during the second quarter to set up a strong second half of the year. John will cover some additional backlog details and developments in his closing remarks.

最後，第 14 頁所示的合併在手訂單合計 2.096 億美元，較去年減少 2,760 萬美元；減少主要發生在基礎建設（Infrastructure），主要源自管線塗層（Pipeline Coating）未結訂單較少，其中包含 Summit 訂單取消的影響。我們正專注於在第二季提升全公司在手訂單，以為下半年強勁表現奠定基礎。John 將在結語中補充更多在手訂單細節與最新進展。

I'll wrap up here by saying we're very pleased with the start of 2026 and remain optimistic about the prospects for further progress this year. Thanks for the time this morning. I'll now hand it back to John for his closing remarks. Back to you, John.

我在此總結：我們對 2026 年的良好開局感到非常滿意，並對今年進一步進展的前景保持樂觀。感謝各位今早撥冗。我現在把時間交回 John 進行結語。交給你了，John。

Thanks, Bill. I'll begin my closing remarks on slide 16, reviewing developments in our key end markets.

謝謝你，Bill。我將在第 16 頁開始我的結語，回顧我們主要終端市場的最新發展。

Starting with Rail, Bill highlighted that the significant growth realized in Q1 was due to a return to normal customer demand levels after last year's slow start. The federal government programs that fund our customers' repair and maintenance projects remain active with no significant disruptions evident as of today. This should provide a favorable demand tailwind in the US for our Rail Products for the foreseeable future.

先從鐵路（Rail）談起，Bill 強調第一季實現的顯著成長，主要是因去年初需求偏弱後，客戶需求回到正常水準。為客戶維修與保養專案提供資金的聯邦政府計畫仍在運作中，截至目前未見明顯中斷。這應可在可預見的未來，為我們在美國的鐵路產品（Rail Products）帶來有利的需求順風。

Friction Management had another phenomenal quarter with 39.5% sales growth to start the year. This is on top of 42% growth in the fourth quarter last year and 19% growth for all of 2025. We continue to invest our commercial and technology capabilities for this important growth platform, and we're targeting further domestic market penetration as well as geographic expansion into Western Europe. The total track monitoring product line was somewhat flat in the first quarter, but commercialization of our Rockfall monitoring product line is expected to provide lift in volumes as the year progresses. All in all, we expect a more normal year in demand for the Rail segment in 2026, which would be a significant improvement over last year.

摩擦管理（Friction Management）再度繳出亮眼的一季，年初至今銷售成長 39.5%。這是在去年第四季成長 42% 以及 2025 全年成長 19% 的基礎之上。我們持續投資於此重要成長平台的商業與技術能力，並鎖定進一步提升國內市場滲透率，同時向西歐進行地理擴張。全系列軌道監測（track monitoring）產品線在第一季表現略為持平，但我們的落石監測（Rockfall monitoring）產品線商業化預期將隨著年度推進帶動出貨量提升。整體而言，我們預期 2026 年鐵路事業部的需求將更趨正常化，這將較去年有顯著改善。

Turning to Infrastructure. The end market developments remain favorable as well. Precast Concrete sales were up 17% in Q1 after 20% growth in 2025. As expected, the backlog at the end of the quarter was a bit lower for the CXT buildings product line, which had a record year in 2025. However, civil construction activity remains robust, which is bolstering demand for Precast Concrete products, helping to mitigate the lower building volumes.

接著談到基礎建設（Infrastructure）。終端市場的發展同樣維持有利。預鑄混凝土（Precast Concrete）在2025年成長20%之後，2026年第一季銷售再成長17%。如預期，該季末CXT建築產品線的在手訂單（backlog）略為下降，因為該產品線在2025年創下歷史新高。不過，土木建設活動仍然強勁，帶動對預鑄混凝土產品的需求，有助於緩解建築量下滑的影響。

We're also seeing demand for our Envirokeeper water management solution continue to increase, and we're making capital investments to support further growth of this product line. So all in all, we're off to a great start for Precast and expect growth to continue as 2026 unfolds.

我們也看到Envirokeeper水管理解決方案的需求持續增加，並且正在進行資本投資，以支持該產品線的進一步成長。總體而言，預鑄業務在年初就有很好的開局，我們預期隨著2026年的推進，成長將持續。

Turning to Steel Products. Market conditions continue to improve, driven primarily by the recovery of oil and gas investments and favorable impact on our Protective Coatings product lines. Steel Products sales declined slightly in the first quarter due to softer demand for our bridge forms, while Protective Coatings were essentially flat in Q1 after nearly 43% growth in 2025. Bill mentioned the Infrastructure backlog was down primarily to the Summit order cancellation that was communicated last year, coupled with lower bookings for Protective Coatings. But it's important to note that bidding activity remains robust, and we believe the market recovery for domestic energy and pipeline investments will translate into improving Protective Coatings backlog.

接著談到鋼鐵產品（Steel Products）。市場狀況持續改善，主要受油氣投資復甦所帶動，並對我們的防護塗層（Protective Coatings）產品線帶來有利影響。鋼鐵產品第一季銷售小幅下滑，原因是橋梁模板（bridge forms）需求較疲弱；而防護塗層在2025年成長近43%之後，第一季基本持平。Bill提到，基礎建設的在手訂單下降，主要是因去年已對外溝通的Summit訂單取消，加上防護塗層接單（bookings）較低所致。但重要的是，投標活動仍然強勁，我們相信國內能源與管線投資的市場復甦，將轉化為防護塗層在手訂單的改善。

In summary, we believe we're well positioned for continuing growth across our key end markets and product lines with ongoing emphasis on our growth platforms, noting that the volatile geopolitical environment has not had a significant impact to date on our end markets or demand of our products. Of course, we'll continue to monitor conditions and adjust as necessary.

總結來說，我們認為在持續聚焦成長平台的同時，公司在主要終端市場與產品線上已具備延續成長的良好定位；並且截至目前，波動的地緣政治環境尚未對我們的終端市場或產品需求造成顯著影響。當然，我們會持續監測情勢並在必要時調整。

So in conclusion, we're off to a great start in 2026, which allows us to reaffirm our financial guidance, which I'll cover in my closing remarks now on slide 17. I'll start by highlighting again the significant progress we made through 2025. I'm very proud with our team's accomplishments and the strong start to 2026 highlights the favorable momentum we've generated in the business. The year-over-year growth and profitability expansion achieved in our first-quarter results was primarily driven by a recovery to normal demand conditions for our Rail business.

因此，最後總結一下，我們在2026年有一個很好的開局，這讓我們得以重申（reaffirm）財務指引；我將在第17頁的結語中說明。我先再次強調我們在2025年取得的重大進展。我為團隊的成果感到非常自豪，而2026年強勁的開局凸顯了我們在業務上所累積的有利動能。我們第一季的年對年成長與獲利能力擴張，主要是由於鐵路（Rail）業務需求回到正常水準所帶動。

One way to look at the favorable momentum in our results is our trailing 12 months metrics with sales of $563.4 million and adjusted EBITDA of $42.4 million. Both metrics are already at or near the midpoints of our 2026 full year guidance. So as long as quotation activity remains strong and backlog builds in line with expectations, we should be well positioned to deliver a strong year of growth in 2026.

衡量我們業績有利動能的一種方式，是觀察過去12個月（trailing 12 months）的指標：銷售額為5.634億美元，調整後EBITDA為4,240萬美元。這兩項指標已經達到或接近我們2026年全年指引的中位數。因此，只要報價活動（quotation activity）維持強勁、在手訂單依預期累積，我們就應能在2026年交出強勁的成長年度表現。

So in closing, we're reaffirming our full year financial guidance for now, and we'll revisit our outlook after the second quarter. Thank you for your time and continuing interest in L.B. Foster. I'll turn it back to the operator for the Q&A session.

最後，我們目前重申全年財務指引，並將在第二季之後重新檢視展望。感謝各位撥冗以及持續關注L.B. Foster。我把時間交還給主持人，進入問答環節。

(Operator Instructions) Liam Burke, B. Riley Securities.

（主持人指示）Liam Burke，B. Riley Securities。

John, I mean in your prepared comments, you talked about Friction Management, which is a great driver of growth and margin. How difficult is it to take the North American model and move it over to European markets?

John，我是說在你準備好的發言中，你談到摩擦管理（Friction Management），這是帶動成長與毛利的很棒驅動因素。要把北美的模式移植到歐洲市場，有多困難？

Well, that's -- well, first of all, thanks for joining us today, Liam. And we've been working on that actually for the last 5 years of getting that acceptance, not just here in North America, but getting the excitement of this product over specifically in Western Europe, and we're going through Germany to make that happen. So we started working directly with the largest German transit authority over there, getting acceptance and accreditation of the product, and we're looking for continued interest as well as actual orders and sales happening this year -- end of this year as well as going to next year.

嗯，這個——首先，Liam，謝謝你今天加入。我們其實在過去5年一直在推動這件事，爭取不只在北美的認可，也希望在西歐那邊讓大家對這個產品產生興趣與熱度；我們正透過德國來促成這件事。因此，我們開始直接與當地最大的德國運輸主管機關合作，取得產品的接受度與認證（accreditation），並期待今年——今年底以及明年——能持續看到興趣提升，以及實際的訂單與銷售落地。

So it is a slower adoption, if you will, because of the brand recognition is primarily North America, but they're picking up on the excitement, especially in the transit space over there because it's just adding so much value. They're seeing the value. And the world is -- as far as friction management is relatively small. And so we're pretty excited about what we have right now and the ability to continue to grow that.

所以可以說採用速度比較慢，因為品牌認知主要仍在北美；但他們正在感受到這個產品的吸引力，特別是在那邊的大眾運輸領域，因為它能創造很大的價值。他們看得到價值。而摩擦管理這個領域在全球相對規模不大。因此，我們對目前的進展以及持續擴張的能力感到相當振奮。

Great. Bill, you had negative operating cash flow for the quarter, which is perfectly normal for seasonality purposes. But on a year-over-year basis, as you point out in your comments, it was significantly better. What contributed to that improvement?

很好。Bill，你們本季營運現金流為負，基於季節性這完全正常。但如你在發言中指出，與去年同期相比明顯改善。是什麼因素促成這項改善？

Yes. A few things, Liam. The profitability of the business overall, first of all, was much better. And then working capital needs this quarter were also a bit lower. And then the incentive arrangements for the company were a bit higher last year than they were this year just in terms of the payouts.

是的，有幾個因素，Liam。首先，整體業務的獲利能力明顯更好。其次，本季的營運資金需求也略低。另外，就獎酬安排而言，去年公司的激勵方案支付金額比今年高一些。

So we would expect, where our working capital is at the moment, we will start to build further through the second quarter as we start to get ready for the growth expectations we see through the balance of the year. But just timing of some of the (inaudible) a lot of time thinking about and addressing our UK business and the working capital deployed over there. So the model actually requires less working capital, and that's part of the benefit that we saw in Q1.

因此，以我們目前的營運資金水位來看，隨著第二季開始為下半年所預期的成長做準備，我們預期營運資金會進一步增加。不過，部分（聽不清楚）在時間點上的影響——我們也花了很多時間思考並處理英國業務，以及那邊所投入的營運資金。該營運模式實際上需要較少的營運資金，這也是我們在第一季看到的部分效益。

So just a quick follow-up, and I'll turn it over. Do you see any change in your overall working capital metrics or is it just normal quarter-to-quarter seasonality?

那我再快速追問一下，之後我就把時間交出去。你們整體的營運資金指標有看到任何結構性變化嗎？還是只是正常的季度間季節性波動？

I would say, overall, we are running at a lower working capital need overall on an average as a percentage of sales.

我會說，整體而言，我們的平均營運資金需求（以銷售額百分比衡量）正在處於較低水準。

(Operator Instructions) Julio Romero, Sidoti & Company.

（主持人指示）Julio Romero，Sidoti & Company。

Bill, you mentioned that fuel costs within freight -- fuel charges within freight costs for Infrastructure Solutions are starting to creep up, not a big surprise there given the macro front. But can you highlight if higher fuel and freight costs are isolated to just the Infrastructure Solutions segment or is it the broader portfolio? And then also how you're navigating these costs? And are there other -- are there any other rising input costs that are worth highlighting?

Bill，你提到基礎建設解決方案（Infrastructure Solutions）在運輸成本中的燃料成本——也就是運費中的燃油附加費——開始上升，考量總體環境這並不意外。但你能否說明，燃料與運輸成本上升是僅限於基礎建設解決方案部門，還是整體產品組合都受到影響？另外你們如何因應這些成本？以及是否還有其他值得一提的上升投入成本？

Yes. So maybe just to start with the fuel costs. Certainly, that would be within our inbound and outbound freight cost structure. Obviously, with the current market conditions, that's been an escalating cost that we're seeing across the portfolio. It's the most significant for sure, within Infrastructure, just given the delivery costs associated with the Precast Products being a heavier overall tare weight. But we've had different programs that we're implementing in terms of pricing where we can to mitigate those costs.

是的。那我先從燃料成本談起。這當然會反映在我們的進出貨運輸成本結構中。很明顯，在目前的市場狀況下，這是一項我們在整體產品組合中都看到的上升成本。其中影響最顯著的確是在基礎建設部門，主要是因為預鑄產品（Precast Products）較重，相關配送成本更高。不過，我們也在可行之處推動不同的定價方案，以緩解這些成本。

Just like any other company, that's something that we're looking to pass on. It wasn't a significant driver in Q1, but certainly starting to see it here in Q2, and we're managing that cost with pricing actions where we can. And then I guess to follow up on your other question, in terms of other escalating costs, nothing of significance at this point that we would point to.

就像任何其他公司一樣，這也是我們希望轉嫁出去的部分。它在第一季並不是一個重要的驅動因素，但我們確實開始在第二季看到它的影響，而且我們會在可行之處透過調價行動來管理這項成本。然後我想回覆你另一個問題，至於其他正在上升的成本，目前沒有任何重大事項是我們會特別指出的。

Okay. Very helpful there. You highlighted you're seeing some early signs that the actions taken in the UK Rail business are translating into improvements. Is that business becoming less of a drag? Was it less of a drag to your pretax profit here in the first quarter than it was in the fourth quarter? And what kind of sequential improvement in that business is kind of embedded in the 2026 outlook?

好的。非常有幫助。你提到你們看到一些早期跡象，顯示在英國鐵路業務採取的行動正在轉化為改善。那項業務是否正在變得不那麼拖累？相較於第四季，它在第一季對你們稅前利潤的拖累是否較小？另外，在 2026 年展望中，對該業務的環比改善大概內含了多少？

Yes. So our actions are definitely taking hold. We made a number of structural changes over there as well as focus on what business that we have and more importantly, what we want to do over there, and so we're seeing the benefits of that.

是的。所以我們的行動確實正在發揮效果。我們在那邊做了多項結構性調整，同時也聚焦於我們現有的業務，更重要的是我們希望在那邊做什麼，因此我們正在看到其帶來的效益。

And when Bill was mentioning the working capital as far as the amount of working capital as a percent of sales, that's a big part of our improvement year-over-year. So we're very pleased with where we're at right now, and we'll continue to make sure that we stay in front of what it is. But it's a big part of our company. It's a big part of Rail. When we talk about the year-over-year improvement and the improvement of profitability, that's where the technology innovation is.

另外，當 Bill 提到營運資金、也就是營運資金占銷售額的比例時，這是我們年對年改善的一大部分。所以我們對目前的狀況非常滿意，也會持續確保我們能超前掌握相關事項。但這是我們公司很重要的一部分，也是鐵路業務很重要的一部分。當我們談到年對年改善以及獲利能力的提升時，技術創新就在這裡發揮作用。

And when earlier question by Liam, that's a big part of our continued growth that we're doing, specifically in Friction Management, and that's kind of our gateway to make that happen. So we're -- we've been taking quite a bit of action, and we're going to stay focused to make sure that it's where we want it to be. But we are pleased with the first-quarter results and coming out of where we ended last year.

而且回到先前 Liam 的問題，這也是我們持續成長的一大部分，特別是在摩擦管理（Friction Management）方面，而這算是我們實現該成長的入口。因此我們已採取相當多的行動，並且會保持專注，確保它達到我們希望的狀態。不過我們對第一季的結果，以及相較於去年年底的狀況改善，感到滿意。

Excellent. And then last one for me would just be if you could touch on the inorganic growth pipeline for Precast Products and any other market penetration initiatives you currently have underway within Precast Products?

很好。那我最後一個問題是，能否談談預鑄產品（Precast Products）的非有機成長管線，以及你們目前在預鑄產品內正在推進的其他市場滲透計畫？

Well, first of all, we really focus on organic. I just want to make sure we really hammer that. We got a lot of really good exciting things going on, and that's where we're taking our capital. Bill mentioned we spent $3 million of capital in the quarter, 2.4% of sales. We talked about spending 2.7% as far as the year.

嗯，首先，我們真的聚焦在有機成長。我只是想確保我們把這點講清楚。我們目前有很多非常好的、令人振奮的事情在進行，而這也是我們投入資本的方向。Bill 提到我們本季資本支出為 300 萬美元，占銷售額的 2.4%。我們也談到全年大約要花到 2.7%。

That's where we're spending our money because we got great growth, organic growth programs going on right now, specifically in the Infrastructure business and namely in Concrete.

我們把錢花在這裡，因為我們現在有很好的成長、也就是有機成長計畫在推進，特別是在基礎建設（Infrastructure）業務，尤其是在混凝土（Concrete）方面。

And of course, we have our filter related to other inorganic opportunities where it makes sense. We will -- we continue to look at bolt-on type operations and that we will be able to add additional product lines or geographic expansion for us. And they're out there, and we're working through options or opportunities right now. But first and foremost, we're executing on what we have in front of us, and that's some nice growth here organically in those specific businesses. So we're pleased with results to date.

當然，我們也有一套篩選機制，用來評估其他在合理情況下的非有機機會。我們會——我們持續尋找可作為補強併購（bolt-on）的營運項目，以便為我們增加額外的產品線或進行地理版圖擴張。這些機會確實存在，我們目前也正在評估一些選項或機會。但最重要的是，我們正在執行眼前的計畫，也就是在那些特定業務上實現不錯的有機成長。因此我們對目前為止的成果感到滿意。

And I would now like to turn the call back to John Kasel for closing remarks.

接下來我想把電話交回給 John Kasel，請他做結語。

Well, thank you, operator. Thank you for joining us today. And I'd like to close with 2 points maybe that didn't come up today in the call or specifically as it relates to the quarter. And Bill mentioned that our order rates are choppy and the project work and that's true that you see in our sales, sometimes it (inaudible) as we close the quarter, we had a very strong April for order intake about 15% was added to our backlog in the month of April across the entire company.

好的，謝謝接線員。也謝謝各位今天加入。我想用兩點作結，可能是今天電話會議中沒有提到、或是與本季更直接相關的。Bill 提到我們的接單率起伏不定以及專案型工作，這確實如此，你們在我們的銷售中也看得到，有時候在季末結束時會（聽不清楚）。我們在四月的接單非常強勁，四月份單月在全公司範圍內約有 15% 被加入到我們的在手訂單（backlog）中。

So we talked a lot about momentum in Q4. We had a strong finish to the year. And we're here telling you now that momentum is carried in Q1. (inaudible) concerns are not with us today. We have plenty of work to be able to achieve what we want to get done this year, and we're seeing that uplift happening across the company (inaudible) and of course, bidding activity is extremely strong as well.

所以我們在第四季談了很多動能。我們去年年底收得很強。而我們現在告訴各位，這股動能延續到了第一季。（聽不清楚）相關的疑慮今天並不存在。我們有足夠的工作量來達成今年想完成的目標，而且我們看到這股提升正在全公司範圍內發生（聽不清楚）；當然，投標活動也非常強勁。

The last point I'd like to leave with you is our ability to pull this off and do it well. And I'd just like to call out the Infrastructure Group, Precast and our Steel Products side, that performed the entire quarter with 0 injuries in our company. And I think that's just a great testament to not just the fact that we're here now 124 years, but we're here really curating a culture of safety and performance and really a commitment to our employees of doing it right. And the Infrastructure Group, led by Bob Ness, has done just a tremendous job of doing it right each and every day and keeping our employees safe and getting our products to our customer. So -- and we'll continue to work on that, and we'll continue to strive into a wonderful second quarter.

我想留給各位的最後一點，是我們把這件事做成、而且做好的能力。我也想特別點名基礎建設事業群（Infrastructure Group）、預鑄（Precast）以及我們的鋼鐵產品（Steel Products）部門，整個季度在公司內達成 0 傷害事故。我認為這不只是我們走過 124 年的一個很好的證明，更是我們在塑造安全與績效文化、以及對員工「把事情做對」的承諾的體現。由 Bob Ness 領導的基礎建設事業群，每一天都做得非常出色，確保員工安全，並把產品交付給客戶。所以——我們會持續在這方面努力，也會持續朝著一個很棒的第二季邁進。

So we're looking forward to catch up with you at the end of Q2, and I wish everybody a wonderful start to May. Take care. We'll talk to you next time.

因此我們期待在第二季結束時再與各位交流，也祝大家五月有個美好的開始。保重。我們下次再談。

And this concludes today's program. Thank you for participating. You may now disconnect.

今天的節目到此結束。感謝各位參與。您現在可以掛線。