FTC Solar Inc (FTCI) 2023 Q3 法說會逐字稿

Hello, and welcome to FTC Solar third-quarter 2023 earnings conference call. (Operator Instructions) I would now like to hand the conference over to Bill Michalek, Vice President of Investor Relations. You may begin, sir.

您好，歡迎參加 FTC Solar 2023 年第三季財報電話會議。 （操作員指示）我現在想將會議交給投資者關係副總裁 Bill Michalek。您可以開始了，先生。

Thank you, and welcome everyone to FTC Solar's third-quarter 2023 earnings conference call. Before the call, you may have reviewed our earnings release and supplemental financial information, which are posted earlier today. If you've not yet reviewed, these documents are available on the Investor Relations section of our website at ftcsolar.com. I'm joined today by Shaker Sadasivam, Chairman of the Board; and Patrick Cook, company's Chief Commercial Officer, and Cathy Behnen; the company's Chief Financial Officer.

謝謝大家，歡迎大家參加 FTC Solar 2023 年第三季財報電話會議。在電話會議之前，您可能已經查看了今天早些時候發布的我們的收益發布和補充財務資訊。如果您尚未查看這些文件，可以在我們網站 ftcsolar.com 的投資者關係部分取得這些文件。今天，董事會主席 Shaker Sadasivam 也出席了會議。以及公司首席商務官 Patrick Cook 和 Cathy Behnen；公司財務長。

Before we begin, I'll remind everyone that today's discussion contains forward-looking statements based on our assumptions and beliefs in the current environment and speaks only as of the current date. As such these forward-looking statements include risks and uncertainties, and actual results and events may differ materially from our current expectations.

在開始之前，我要提醒大家，今天的討論包含基於我們對當前環境的假設和信念的前瞻性陳述，並且僅代表當前日期。因此，這些前瞻性陳述包含風險和不確定性，實際結果和事件可能與我們目前的預期有重大差異。

Please refer to our press release and other SEC filings for more information on the specific risk factors. We assume no obligation to update such information except as required by law. As you expect, we'll discuss both GAAP and non-GAAP financial measures today.

請參閱我們的新聞稿和其他 SEC 文件，以了解有關具體風險因素的更多資​​訊。除法律要求外，我們不承擔更新此類資訊的義務。正如您所期望的，我們今天將討論 GAAP 和非 GAAP 財務指標。

Please note that the earnings release issued this morning includes a full reconciliation of each non-GAAP financial measure to the nearest applicable GAAP measure. In addition, we'll discuss our backlog and our definition of this metric is also included in our press release. With that, I'll turn it over to Shaker.

請注意，今天早上發布的收益報告包括每項非公認會計原則財務指標與最接近的適用公認會計原則指標的全面調節。此外，我們將討論我們的積壓工作，我們對此指標的定義也包含在我們的新聞稿中。有了這個，我會把它交給 Shaker。

Thank you, Bill, and good morning, everyone. I felt it was important to speak with you directly on behalf of the Board of Directors about the leadership transition we've announced today. FTC Solar is a company with a great team of employees and innovative and compelling technology and services that customers enjoy.

謝謝你，比爾，大家早安。我認為代表董事會直接與您討論我們今天宣布的領導層換屆非常重要。 FTC Solar 是一家擁有優秀員工團隊以及客戶喜愛的創新且引人注目的技術和服務的公司。

With the start of AD/CVD and supply chain disruptions, our growth trajectory was interrupted. And much of the last two years has been about repositioning the company to be in the right markets with the right technology and cost structure.

隨著 AD/CVD 的開始和供應鏈中斷，我們的成長軌跡被中斷。過去兩年的大部分時間都是為了重新定位公司，以正確的技術和成本結構進入正確的市場。

We've made progress on that front and improved our positioning. The tracker market is healthy and profitable. And FTC Solar now needs to accelerate our progress and achieve and enjoy healthy, profitable growth.

我們在這方面取得了進展並改善了我們的定位。追蹤器市場健康且有利可圖。 FTC Solar 現在需要加快我們的進步，實現並享受健康、獲利的成長。

At the Board level as we evaluated our opportunities and growth plans ahead, the Board agreed that now is the right time to bring new leadership at FTC Solar as we enter our next phase of growth and execution. As you saw from the press release this morning, Cathy Behnen who has served as the company's Chief Accounting Officer since 2020 has been named our Chief Financial Officer on an interim basis.

在董事會層面，當我們評估未來的機會和成長計畫時，董事會一致認為，隨著我們進入下一階段的成長和執行，現在是在 FTC Solar 引入新領導層的最佳時機。正如您從今天早上的新聞稿中看到的，自 2020 年以來一直擔任公司首席會計官的 Cathy Behnen 已被臨時任命為我們的首席財務官。

Cathy has more than 20 years of financial leadership experience, including CFO and accounting partner roles and has made significant contributions to the company as Chief Accounting Officer and a member of the executive team. We're excited to have Cathy take on this expanded responsibility.

Cathy 擁有 20 多年的財務領導經驗，包括財務長和會計合夥人職位，並作為首席會計官和執行團隊成員為公司做出了重大貢獻。我們很高興讓凱西承擔這項擴大的責任。

The combination of Cathy and her fellow executive leadership members, Patrick Cook, our Chief Commercial Officer; and Sasan Aminpour, our Chief Operating Officer, will provide steady leadership of the day-to-day management of the company.

Cathy 和她的執行領導團隊成員、我們的首席商務官 Patrick Cook 的結合；我們的營運長 Sasan Aminpour 將穩定領導公司的日常管理。

To further ensure a smooth transition for the company and its employees and customers, during this transition, the Board will provide increased oversight of those leaders and be engaged on a regular basis, in particular, Ahmad Chatila will regularly assist in facilitating communication between management and the Board to monitor key activities and initiatives in order to accelerate profitable growth.

為了進一步確保公司及其員工和客戶的順利過渡，在過渡期間，董事會將加強對這些領導者的監督並定期參與其中，特別是艾哈邁德·查蒂拉（Ahmad Chatila）將定期協助促進管理層和管理層之間的溝通。董事會監督關鍵活動和舉措，以加速獲利成長。

We are confident that this team and structure has the capability along with the right blend of organizational history and new perspectives to ensure that not only do we not miss a beat, but that we accelerate toward our long-term goals.

我們相信，這個團隊和結構有能力將組織歷史和新視角正確融合，以確保我們不僅不會錯過任何一個節拍，而且加速實現我們的長期目標。

While today's news represents a change, it also represents a tremendous opportunity for us to accelerate our momentum. With that update, I thank you for your time, and I will turn it over to Patrick to discuss the highlights from Q3 and the progress that we've made.

雖然今天的消息代表了一個變化，但它也為我們提供了加速發展勢頭的巨大機會。在此更新中，我感謝您抽出時間，我將把它交給帕特里克來討論第三季度的亮點和我們取得的進展。

Thank you, Shaker, and good morning, everyone. As Cathy will discuss, our third-quarter results largely came in as expected, net of benefits to gross margin and a charge to operating expense that were not in our guidance. As we look to the fourth quarter, our slate of projects in aggregate is getting a later start than we previously anticipated as customers continue to experience various project delays.

謝謝你，Shaker，大家早安。正如凱西將討論的那樣，我們的第三季業績基本上符合預期，扣除了毛利率的收益和不在我們指導中的營運費用。展望第四季度，我們的專案整體啟動時間比我們之前的預期要晚，因為客戶繼續經歷各種專案延遲。

As a result, the guidance we're providing for the fourth quarter is down from Q3. We expect this to be followed by a much more significant revenue growth in the first quarter of 2024 as the delayed projects ramp. We continue to feel good about our future and overall long-term growth prospects.

因此，我們為第四季提供的指引低於第三季。我們預計，隨著延遲專案的增加，2024 年第一季的營收將出現更顯著的成長。我們仍然對我們的未來和整體長期成長前景感到樂觀。

Our confidence is based on our improved competitive positioning and supported by our large and growing backlog. I'll briefly read the positioning improvements that we discussed last quarter. First, we believe our manufacturing cost is now in line with our leading competitors. We are more competitive than we've ever been on that front and will continue to prove with scale.

我們的信心是基於我們不斷提高的競爭地位以及我們大量且不斷增長的積壓訂單的支持。我將簡要閱讀我們上季度討論的定位改進。首先，我們相信我們的製造成本現在與我們的主要競爭對手一致。我們在這方面比以往任何時候都更具競爭力，並將繼續透過規模來證明。

Second, our average new project margins put us on track to meet or exceed the targets we provided in the past. As you may recall, we've previously targeted getting to the 10% to 15% gross margin range on $100 million in quarterly revenue.

其次，我們的新專案平均利潤率使我們有望達到或超越我們過去設定的目標。您可能還記得，我們​​之前的目標是將季度收入達到 1 億美元，毛利率達到 10% 到 15%。

The fact that we were able to approach the low end of that range or about 9.5% on a normalized basis on only $30 million in revenue in Q3 is an additional proof point that the cost reduction actions we've taken have borne fruit and positioned us to achieve profitability as we grow revenue and see additional cost absorption.

事實上，我們能夠以第三季僅3,000 萬美元的收入接近該範圍的低端，即標準化基礎上約9.5%，這一事實進一步證明，我們採取的成本削減行動已取得成果，並使我們處於有利位置。隨著我們收入的增長和額外成本的吸收，實現盈利。

Third, we are now in the market with our 1P solution, Pioneer. We believe the 1P market has done better in this time of restricted module availability and we didn't have a solution until recently. We've had great customer response to Pioneer. And our 1P backlog is growing very nicely, including quite a few project additions following RE+ Trade Show in September.

第三，我們現在在市場上推出了我們的 1P 解決方案 Pioneer。我們相信 1P 市場在模組可用性受限的時期表現得更好，而且直到最近我們才找到解決方案。客戶對先鋒的反應非常好。我們的 1P 積壓工作成長得非常好，包括在 9 月的 RE+ 貿易展之後增加了相當多的項目。

Fourth, we continue to grow our international business. We're gaining traction in new regions, most recently adding awards in Spain and Italy. We've also seen larger awards in the existing regions like South Africa and now have awards in a dozen countries outside of the US. Our 1P solution will only enhance our prospects internationally.

第四，我們繼續發展國際業務。我們在新地區獲得了關注，最近在西班牙和義大利增加了獎項。我們也在南非等現有地區獲得了更大的獎項，現在美國以外的十幾個國家也獲得了獎項。我們的 1P 解決方案只會增強我們的國際前景。

And fifth and lastly, our backlog has now grown to approximately $1.6 billion with approximately $60 million added since August 9. On our last call, we outlined a number of projects that were added, which include deliveries in 2024, including in Spain, Italy, and South Africa.

第五，也是最後一點，我們的積壓訂單現已增長至約16 億美元，自8 月9 日以來增加了約6000 萬美元。在上次電話會議上，我們概述了一些增加的項目，其中包括2024 年交付，包括西班牙、義大利、和南非。

We also announced the award of a 1 gigawatt project in Idaho. One project we didn't mention at the time but was added to our backlog last quarter was another 600-plus megawatt project in the US. Revenue on this project will ramp here in the fourth quarter and continue into next year.

我們也宣布授予愛達荷州 1 吉瓦計畫。我們當時沒有提及但上季度添加到我們積壓工作中的一個項目是美國的另一個 600 多兆瓦項目。該項目的收入將在第四季度大幅增加，並持續到明年。

The continued growth of our backlog, including the recent additions, allows us to continue to be optimistic about our growth prospects. And our goal is now to ensure we're adding more business and converting to purchase orders to support future growth.

我們的積壓訂單持續成長，包括最近的新增訂單，使我們能夠繼續對我們的成長前景感到樂觀。我們現在的目標是確保增加更多業務並轉化為採購訂單，以支持未來的成長。

So in summary, we were pleased to do well relative to our third quarter targets and demonstrate continuous gross margin improvement. Some fourth quarter projects are starting later than anticipated, but we expect to improve revenue performance in the first quarter along with margin improvement.

總而言之，我們很高興能夠實現第三季的目標，並表現出毛利率的持續改善。一些第四季專案的啟動時間比預期晚，但我們預計第一季的營收表現將隨著利潤率的提高而改善。

We're positioned with a product -- cost structure that will enable our gross margin expansion to continue and reach new highs as revenue grows. We'll keep a cap on operating expenses, while investing for future growth, and we expect to cross profitability in 2024. With that, I'll turn it over to Cathy.

我們的產品成本結構將使我們的毛利率持續擴張，並隨著收入的成長而達到新高。我們將保持營運支出上限，同時為未來成長進行投資，我們預計將在 2024 年實現盈利。這樣，我將把它交給 Cathy。

Thanks, Patrick, and good morning, everyone. I'll provide some additional color on our third-quarter performance and our outlook. Beginning with a discussion of the third quarter, revenue came in at $30.5 million. This revenue level represents a slight decline of 5.6% relative to last quarter and an increase of 84.3% relative to the year-ago quarter.

謝謝派崔克，大家早安。我將就我們第三季的業績和前景提供一些額外的資訊。從第三季的討論開始，營收為 3,050 萬美元。這一營收水準較上季小幅下降 5.6%，較去年同期成長 84.3%。

Gross profit benefited from higher project margins, a better mix of materials versus logistics and a couple of non-recurring benefits. Specifically, our GAAP gross profit was $3.4 million or 11.1% of revenue compared to $2.2 million or 6.8% of revenue in the prior quarter.

毛利得益於更高的專案利潤、更好的材料與物流組合以及一些非經常性收益。具體來說，我們的 GAAP 毛利為 340 萬美元，佔營收的 11.1%，而上一季為 220 萬美元，佔營收的 6.8%。

On a non-GAAP basis, gross profit was $3.9 million or 12.8% of revenue. That does include a couple of non-recurring benefits totaling $1 million that were not contemplated in our guidance and related to better than expected margins on a closed project and lower than expected inventory costs that we don't expect will reoccur in future periods.

以非公認會計準則計算，毛利為 390 萬美元，佔營收的 12.8%。這確實包括一些總計100 萬美元的非經常性收益，這些收益在我們的​​指導中沒有考慮到，這些收益與已結束項目的利潤率高於預期以及低於預期的庫存成本有關，我們預計這些成本在未來不會再次出現。

If those benefits were excluded, we are on the same basis as our guidance. Non-GAAP gross margin would have been 9.5%, still above our guidance range of 3% to 9%, supported by mix and improved cost structure. This represents our fourth consecutive quarter of gross margin improvement and our third quarter of positive margin since our IPO.

如果排除這些好處，我們的基礎與我們的指導相同。非 GAAP 毛利率將為 9.5%，仍高於我們 3% 至 9% 的指導範圍，這得益於混合和改善的成本結構。這代表我們的毛利率連續第四個季度改善，也是自首次公開募股以來我們第三個季度的毛利率正值。

These figures compare to a non-GAAP gross profit of $2.6 million or 8.2% in the prior quarter and a non-GAAP gross loss of $8.2 million in the year ago quarter with the difference driven primarily by significant improved product direct margin and lower warranty and other indirect costs.

相較之下，上一季的非GAAP 毛利為260 萬美元，即8.2%，上年同期的非GAAP 毛虧損為820 萬美元，差異主要是由於產品直接利潤率的顯著提高和保固和保固服務的降低。其他間接成本。

Our GAAP operating expenses were $19.7 million on a non-GAAP basis, excluding stock-based compensation and certain other costs. Operating expenses were $13.2 million compared to $9.1 million in the year-ago quarter.

以非 GAAP 計算，我們的 GAAP 營運費用為 1,970 萬美元，不包括股票薪酬和某些其他成本。營運費用為 1,320 萬美元，去年同期為 910 萬美元。

The operating expenses this quarter included an approximate $4 million credit loss related to a specific customer account. Excluding this charge, our non-GAAP operating expenses would have been $9.2 million, which would be below or better than our guidance range and at the low end of what we've seen over the last two years as we continue to look for efficiencies across the company, while continuing to invest strategically in areas that support our growth.

本季的營運費用包括與特定客戶帳戶相關的約 400 萬美元的信用損失。排除這筆費用，我們的非 GAAP 營運費用將為 920 萬美元，這將低於或好於我們的指導範圍，並且處於過去兩年中我們看到的最低水平，因為我們繼續尋求各個方面的效率公司，同時繼續在支持我們成長的領域進行策略性投資。

Net GAAP net loss of $16.9 million or $0.14 per share compared to a $10.4 million or $0.09 per share in the prior quarter and had a net loss of $25.6 million or $0.25 per share in the year-ago quarter. Adjusted EBITDA loss, which excludes approximately $7.2 million, including stock-based compensation expense and other non-cash items was $9.7 million compared to losses of $7.2 million in the prior quarter and $17.7 million in the year-ago quarter. Excluding the $4 million charge as well as the gross margin benefit, adjusted EBITDA would have been at the high end of our guidance range.

GAAP 淨虧損為 1,690 萬美元，即每股 0.14 美元，而上一季為 1,040 萬美元，即每股 0.09 美元，去年同期淨虧損為 2,560 萬美元，即每股 0.25 美元。調整後的 EBITDA 損失（不包括約 720 萬美元，包括基於股票的補償費用和其他非現金項目）為 970 萬美元，而上一季的損失為 720 萬美元，去年同期的損失為 1770 萬美元。除去 400 萬美元的費用以及毛利率收益，調整後的 EBITDA 將處於我們指引範圍的高端。

Finally, regarding liquidity, we had an operational use of cash in the quarter, offset by usage of the ATM facility for which we received $13.4 million of cash in the quarter, and we ended the quarter with $31.5 million cash on the balance sheet. We continue to hold no debt on the balance sheet, have a largely available credit revolver, as well as $65 million remaining under the ATM program at the end of the quarter.

最後，關於流動性，我們在本季度有現金的營運使用，被ATM 設施的使用所抵消，我們在本季度收到了1,340 萬美元的現金，本季度結束時，我們的資產負債表上有3,150 萬美元的現金。我們的資產負債表上繼續沒有任何債務，擁有大量可用的信貸左輪手槍，並且截至本季末 ATM 計劃剩餘 6,500 萬美元。

With that, let us turn our focus to the outlook. Based on our current view and including the project delays that Patrick mentioned, we expect fourth quarter revenue to be down sequentially with margin, reflecting the lower absorption. We expect this to be followed in the first quarter by a fairly substantial revenue recovery as projects ramp.

有了這個，讓我們把焦點轉向前景。根據我們目前的觀點，包括帕特里克提到的項目延誤，我們預計第四季度收入將隨利潤率環比下降，反映出吸收率較低。我們預計，隨著專案的增加，第一季營收將出現相當可觀的復甦。

As Patrick mentioned, we have a great deal of gross margin runway ahead of us, and we expect the trend, particularly as the revenue grows to largely be up. Specifically, our targets for the fourth quarter called for the following. Revenue between $18 million and $28 million; non-GAAP gross margins between negative $1.3 million and positive $2 million or between negative 7% and positive 7% of revenue; non-GAAP operating expenses between $10 million and $11 million; and finally, adjusted EBITDA loss between $13 million and $2.5 million.

正如帕特里克所提到的，我們前面有很大的毛利率跑道，我們預計這一趨勢，特別是隨著收入的增長將大幅上升。具體來說，我們第四季的目標如下。收入在 1800 萬至 2800 萬美元之間；非 GAAP 毛利率在負 130 萬美元到正 200 萬美元之間，或收入的負 7% 到正 7% 之間；非 GAAP 營運費用在 1,000 萬美元至 1,100 萬美元之間；最後，調整後的 EBITDA 損失在 1300 萬美元至 250 萬美元之間。

For the first quarter of 2024, we expect to see about a 96% sequential revenue growth at the midpoint, with improvements in all categories, specifically revenue between $40 million and $50 million; non-GAAP gross margin between $3.2 million and $6.3 million or between 8% and 13% of revenue; non-GAAP operating expenses between $9 million and $10 million; and finally, adjusted EBITDA loss between $7.3 million and $3 million. Looking forward, we continue to feel good about the opportunity for a strong revenue recovery in 2024 and achieving profitability.

對於 2024 年第一季度，我們預計中點營收將季增約 96%，所有類別均有所改善，特別是營收在 4,000 萬美元至 5,000 萬美元之間；非 GAAP 毛利率介於 320 萬美元至 630 萬美元之間，或收入的 8% 至 13% 之間；非公認會計準則營運費用在 900 萬美元至 1,000 萬美元之間；最後，調整後的 EBITDA 損失在 730 萬美元至 300 萬美元之間。展望未來，我們繼續對 2024 年收入強勁復甦並實現盈利的機會感到樂觀。

With that, we conclude our prepared remarks, and I will turn it over to the operator for any questions. Operator?

至此，我們準備好的發言結束，如果有任何問題，我會將其轉交給接線員。操作員？

(Operator Instructions) Philip Shen, ROTH.

（操作員說明）Philip Shen，ROTH。

Yes, thanks for taking my questions. First one here is on the guidance for Q4 and Q1. I think it came in lighter than what the Street was looking for in a meaningful way. You talked about in your prepared remarks that you'll see a ramp up and it's been impacted by module delays. Is it fair to say that you guys have been more exposed to the LONGi detentions as opposed to Jinko because Jinko has been flowing pretty smoothly for some time now.

是的，感謝您回答我的問題。第一個是關於第四季和第一季的指導。我認為它比華爾街所尋求的更有意義的方式更輕鬆。您在準備好的演講中談到，您將看到成長，並且受到模組延遲的影響。公平地說，與晶科相比，你們更容易受到隆基被拘留的影響，因為晶科已經流動相當順利一段時間了。

And then recently only LONGi was able to get their OCI poly module released. So as that starts to ramp, would you expect much better expectations ahead as a result of that detention release from LONGi? Thanks.

最近，只有隆基能夠發布他們的 OCI 多晶矽模組。因此，隨著這種情況開始加劇，您是否會因為隆基的拘留釋放而期待更好的期望？謝謝。

Hey Phil, I'll start and then I'll let that metric to be continue to it. Historically in our backlog, we did have a fair amount of modules from that supplier that were associated with our projects. Many of those have during the AD/CVD process found different modules to move forward with. So it's fair historically, but I think that's been changing. Patrick, I don't know if you'd add anything to that.

嘿菲爾，我會開始，然後我會讓這個指標繼續下去。從歷史上看，在我們的積壓工作中，我們確實有相當數量的來自該供應商的與我們的專案相關的模組。其中許多人在 AD/CVD 過程中找到了可以繼續前進的不同模組。所以從歷史上看這是公平的，但我認為這種情況一直在改變。派崔克，我不知道你是否願意添加任何內容。

Yes, I feel like too the other thing too when you think about Q4, Q1, we've had some projects move to the right in terms of the overall revenue ramp. The 1 gigawatt project, that's we'll be delivering here. And then the 700 megawatt project that we signed last quarter and are in process of delivering. So you're going to see a lot of that baseload revenue gets shifted into 2024, which is why we are so optimistic about the future prospects just because we've got that 1.7 gigawatts-plus already in the hopper and delivering. So we're very excited about that.

是的，當你考慮到第四季、第一季時，我也覺得另一件事是，我們有一些專案在整體營收成長方面向右移動。我們將在這裡交付 1 吉瓦專案。然後是我們上季度簽署並正在交付的 700 兆瓦項目。因此，您將看到大部分基本負載收入將轉移到 2024 年，這就是為什麼我們對未來前景如此樂觀，因為我們已經擁有超過 1.7 吉瓦的電力並且正在交付。所以我們對此感到非常興奮。

Great. So we've (technical difficulty) fair amount recently about challenges with some project delays as a result of elevated rates for a long period of time and so forth. Can you walk through the rationale for each of those project pushouts. If you touched on it earlier, sorry if I missed it, but just curious if you can give a little more color as to why the gigawatt and the 700 megawatt projects were pushed to the right.

偉大的。因此，我們最近遇到了相當多的（技術困難）挑戰，即由於費率長期上漲等原因導致一些專案延遲。您能否詳細解釋一下每個專案推出的理由？如果您之前提到過，很抱歉我錯過了，但只是好奇您是否可以提供更多資訊來解釋為什麼千兆瓦和 700 兆瓦專案被推到了右邊。

I think from a just overarching perspective, what we're seeing is a rise in financing cost, obviously is creating a little bit longer duration as projects reach FNTP or LNTP. You're seeing both those types of projects move. Interconnection has also been a little bit of a challenge. You're seeing a little bit of grid issues, grid congestion. And that's having those projects ultimately pushed to the right more than what we've traditionally seen in the past.

我認為從整體角度來看，我們看到的是融資成本的上升，顯然隨著專案達到 FNTP 或 LNTP 而導致持續時間更長。您會看到這兩種類型的項目都在發生變化。互連也是一個挑戰。你會看到一些電網問題，電網擁塞。這使得這些項目最終比我們過去傳統上看到的情況更偏向右側。

Obviously, module availability is getting better, but we're seeing increased rates and financing. And interconnection is the current challenges in the market.

顯然，模組的可用性正在變得更好，但我們看到費率和融資都在增加。而互聯互通是當前市場面臨的挑戰。

Okay, great. Thanks, Patrick. One last one for me, I'll pass it on as it relates to working capital, you have a healthy amount of cash $30 million, but you have a bunch of cash tied up in accounts receivables at $71 million and pretty high [data count]. Just wondering if you can talk us through balance sheet working capital, how you expect to manage through. Thanks.

好的，太好了。謝謝，派崔克。最後一個問題，我會轉告，因為它與營運資金有關，你擁有 3000 萬美元的健康現金，但你有一大筆現金被應收帳款佔用，金額為 7100 萬美元，而且相當高 [數據計數] ]。只是想知道您是否可以向我們介紹資產負債表營運資金以及您希望如何應對。謝謝。

Yeah, so this is Cathy. We feel very confident. Our cash position will be flat, it will improve by the end of Q4. We had some chunky receivables we expect to be coming in in Q4. And with the ramp that we're seeing and move to profitability, we are confident in where that stands on the balance sheet.

是的，這就是凱西。我們感到非常有信心。我們的現金狀況將持平，到第四季末將會有所改善。我們預計第四季會收到一些大額應收帳款。隨著我們所看到的成長和獲利能力的轉變，我們對其在資產負債表上的位置充滿信心。

Great. Thanks, Cathy. In terms of what why are the receivables so chunky at this point? Or why are they so high or are there some -- there's another kind of reflection of what's going on in the market where some of your customers might be trying to preserve cash?

偉大的。謝謝，凱茜。到底是什麼原因導致應收帳款現在如此龐大？或者為什麼它們如此之高，或者是否存在一些——市場上正在發生的事情的另一種反映，您的一些客戶可能試圖保留現金？

Yeah, that's exactly what we've seen, and you know, selling financing changes on your customer side also making the -- has pushed out some of the receivables that we had some other. A large receivable that we're going on expecting to see come in in Q4.

是的，這正是我們所看到的，你知道，客戶方面的銷售融資變化也使得——已經推出了我們其他一些應收帳款。我們預計第四季會出現大量應收帳款。

And that was the receivable that we mentioned that we expected to come in last quarter. It's actually looks like it's going to come in now this quarter. So that's a bigger chunk of it.

這就是我們提到的預計上季出現的應收帳款。實際上看起來它將在本季推出。所以這是其中一個更大的部分。

It moves to the right.

它向右移動。

Got it. And do you have a credit facility and can you talk about the capacity available?

知道了。你們有信貸設施嗎？可以談談可用的產能嗎？

Yeah, we have a revolving credit facility right now. That's $100 million. We've got about [$1.5 million to 2 million] pretty de minimis amount that's ultimately utilized. It's traditionally used for letters of credit to support project as we've gotten more credibility within the market we haven't had to tap in and ultimately utilize it. So it's remained undrawn and untapped. So we've got more than $95 million available under the line (multiple speakers).

是的，我們現在有循環信貸額度。那是一億美元。我們最終利用了大約[150萬到200萬美元]相當微不足道的金額。它傳統上用於信用證來支持項目，因為我們在市場上獲得了更高的信譽，我們不必利用並最終利用它。所以它仍然沒有被繪製和開發。因此，我們已經獲得了超過 9500 萬美元的資金（多名發言者）。

Throughout the quarter we can utilize the full amount and then net debt as of quarter end, there's $5 million available left on the revolver.

在整個季度中，我們可以使用全部金額，然後在季度末使用淨債務，左輪手槍上還剩下 500 萬美元。

Okay. Thanks, guys. I'll pass it on.

好的。多謝你們。我會把它傳遞下去。

Donovan Schafer, Northland Capital Markets.

多諾萬‧謝弗 (Donovan Schafer)，北國資本市場。

Hey, guys. So thanks for taking the questions. I first want to ask, so with the transition with the CEO and the CFO, kind of wondering if you know, Shaker still on maybe we can get a response from him on this, but is the issue here is kind of the way everything is the way you guys are describing and all these dynamics that are out of your control it seems or at least being framed that way, but also lined up for acceleration?

大家好。感謝您提出問題。我首先想問，隨著執行長和財務長的過渡，我想知道你是否知道，Shaker 仍然在，也許我們可以得到他對此的回應，但這裡的問題是一切都是如此你們所描述的方式以及所有這些超出您控制範圍的動態似乎或至少是這樣構建的，但也都在加速？

I think the word acceleration was used a lot in the prepared remarks. If all that's lined up that way and unfolding as best as possible within what you can control here, then why replace the CEO and CFO and, you know or otherwise more candidly, what is the Board's view of what going on here and tied to that, why should we continue to put faith in Q1 guidance, Q4 guidance, and even the backlog at this point? Has all that been reviewed and re-reviewed by the Board? Any clarification would be helpful.

我認為「加速」這個詞在準備好的發言中被大量使用。如果所有事情都以這種方式排列，並在您可以控制的範圍內盡可能地展開，那麼為什麼要更換首席執行官和首席財務官，並且您知道或更坦率地說，董事會對這裡發生的事情以及與之相關的事情有何看法，為什麼我們要繼續相信 Q1 指引、Q4 指引，甚至此時的積壓訂單？董事會是否已審查並重新審查了所有這些內容？任何澄清都會有幫助。

In terms of the guidance thing I can let Cathy speak to this, but the I think the view is to de-risk the guidance. That's why you saw some lower numbers. I think the company feels comfortable with what we're putting out for Q4 and Q1. And Cathy, I don't know if you want to add to that.

就指導而言，我可以讓 Cathy 談談這一點，但我認為我們的觀點是降低指導風險。這就是您看到數字較低的原因。我認為公司對我們為第四季和第一季推出的產品感到滿意。凱茜，我不知道你是否想補充這一點。

Yeah, Donovan, the answer is yes. We've gone through it project by project. And my goal is to provide guidance that I can be confident in. And that's what we've done. And we have a very clear view into the ramp in Q1, so very confident with that.

是的，多諾萬，答案是肯定的。我們逐一專案地進行了研究。我的目標是提供我可以充滿信心的指導。這就是我們所做的。我們對第一季的成長有非常清晰的認識，因此對此非常有信心。

Okay. And then with the -- actually, did anyone else want to comment on that question? Okay. Well, then as a follow up talking about if module imports have improved, we've talked before about that really being the hang up and two, the backlog being skewed or 2P project, and that does tend to be more complex sites. And so those have moved to the back of the queue.

好的。然後，實際上，還有其他人想對這個問題發表評論嗎？好的。好吧，然後作為後續討論模組導入是否有所改進，我們之前已經討論過真正的問題是掛起和兩個，積壓工作傾斜或 2P 項目，這確實往往是更複雜的站點。所以這些已經移到佇列的後面了。

Since module supply has improved so much, it feels like those waiting in the wings should have been able to kick into gear and start going or otherwise that narrative is kind of broken down. If it's just interconnect and financing now, is there a reason on those aspects why you guys would be disproportionately impacted?

由於模組供應已經改善了很多，感覺那些在幕後等待的人應該能夠開始行動，否則這種敘述就會被打破。如果現在只是互連和融資，那麼你們在這些方面是否會受到不成比例的影響？

I mean, some peers -- some other peers haven't been impacted at all, but it seems like you're still being disproportionately impacted. If it's not the modules then how is the disproportionate impact landing you guys are on financing and interconnects?

我的意思是，有些同行——其他一些同行根本沒有受到影響，但似乎你仍然受到不成比例的影響。如果不是模組的問題，那麼你們對融資和互連產生的不成比例的影響是如何產生的？

So I'll talk to the module piece. We're seeing modules ultimately come in and Donovan, you're right, the 2P sites are inherently ultimately more complex. But if you think about developers and how they engage with EPCs, look, they're building out their construction schedule. So a lot of the 1P sites are still continuing to get done. And some of the 2P sites just based on EPC availability are still kind of forecasted to go mid to late 2024 and into 2025.

所以我會談談模組部分。我們看到模組最終出現，Donovan，你是對的，2P 站點本質上最終更加複雜。但如果你考慮一下開發商以及他們如何與 EPC 合作，你會發現他們正在製定施工計劃。所以很多 1P 網站仍在繼續完成。一些僅基於 EPC 可用性的 2P 站點仍預計將在 2024 年中下旬和 2025 年建成。

And those schedules are set being set in Q3 and Q4 ultimately of 2023 as they build some of these 150 to 200 megawatt sites and add to that in general. We've seen the same things that industry have seen around, financing panels, labor permitting, renegotiating PPAs. I mean those types of things we've talking about last quarter, seeing a general push on backlog.

這些時間表最終定於 2023 年第三季和第四季制定，因為他們建造了其中一些 150 至 200 兆瓦的站點，並總體上增加了這一點。我們已經看到了業界所看到的同樣的事情，融資小組、勞工許可、重新談判購電協議。我的意思是我們上個季度討論過的那些類型的事情，看到了積壓的普遍推動。

Around the 2P we have a number of projects that if they were scheduled to move forward with the project, but they didn't have modules, they've renegotiated now project. So a that would have been scheduled to go six months ago, maybe is now going to do go in late '24 and '25. So that's the new schedule for that particular project. But that's the only other thing I'd add there.

圍繞著 2P，我們有許多項目，如果他們計劃推進該項目，但他們沒有模組，他們現在就重新協商項目。因此，原定於六個月前進行的活動現在可能會在 24 年末和 25 年進行。這就是該特定項目的新時間表。但這是我要添加的唯一其他內容。

And then Donovan, this is Shaker, I'm sorry, I had trouble with the audio and I can address the question with the leadership change. And Donovan, again, thank you for the question. We talked in the prepared remarks about repositioning the business that we have, the work that we've done in the last two years and essentially lot of the work we've done has improved our cost structure and the competitive positioning.

然後是多諾萬，我是沙克爾，很抱歉，我在音訊方面遇到了問題，我可以透過領導層變動來解決這個問題。多諾萬，再次感謝你的提問。我們在準備好的發言中談到了對我們現有業務的重新定位，我們在過去兩年中所做的工作，以及我們所做的大部分工作基本上改善了我們的成本結構和競爭定位。

The organization is also a lot leaner, and we've filled gaps in our product portfolio. And really in the April-May timeframe, we were very optimistic on the business outlook, but really what was happening, we were not getting the POs. So the Board really started getting into the details and we found a lot of opportunity for improvement in just the basic blocking and tackling and execution issues.

組織也精簡了很多，我們填補了產品組合中的空白。事實上，在 4 月至 5 月的時間範圍內，我們對業務前景非常樂觀，但實際上發生了什麼，我們沒有收到採購訂單。因此，董事會真正開始研究細節，我們發現在基本的阻止、處理和執行問題上有很多改進的機會。

In particular, we found there were opportunities to accelerate decision making and how it was coordinated across the organization, closing gaps with product portfolio faster, and increasing customer interaction, so there's better linkage between revenue forecast and PO attainment. So that's the reason for the change. And hopefully, that answers your question.

特別是，我們發現有機會加速決策制定以及如何在整個組織內協調決策，更快地縮小產品組合的差距，並增加客戶互動，從而在收入預測和 PO 實現之間建立更好的聯繫。這就是改變的原因。希望這能回答你的問題。

Okay. That is helpful. And then just if I can get one last question, one last more on the credit charge, so with the $4 million credit provision tied to one customer, can you clarify is that a case you guys and the customer there is agreement or they share your understanding around the idea of what is the total amount of monies owed for goods and services provided?

好的。這很有幫助。然後，如果我能回答最後一個問題，最後一個關於信貸費用的問題，因此，對於與一位客戶相關的400 萬美元信貸撥備，您能否澄清一下，你們和客戶達成了協議，或者他們分享了您的了解所提供的商品和服務所欠的總金額是多少？

Or is there actually and they just don't have, they're just not paying it? Or is it a case or they're actually in some way disputing or they don't share your view that they don't think they owe or have reasons for withholding that $4 million?

或者實際上有，但他們只是沒有，他們只是不付錢？或者這是一個案件，或者他們實際上在某種程度上存在爭議，或者他們不同意你的觀點，認為他們不欠或有理由扣留那 400 萬美元？

Hi, Donovan, thanks for the question. No, there's no dispute. The customer understands the value of the receivable if it's strictly collectability and ability to pay issue.

你好，多諾萬，謝謝你的提問。不，沒有爭議。如果應收帳款是嚴格的可收回性和支付能力問題，客戶就會了解其價值。

Okay. That's very helpful. Okay. Thank you, guys. I'll take the rest of my questions offline.

好的。這非常有幫助。好的。感謝你們。剩下的問題我會離線回答。

Amit Dayal, H.C. Wainwright.

阿米特·達亞爾 (Amit Dayal)，H.C.溫賴特。

Thank you and good morning, everyone. Most of my questions have already been addressed, but I was just wondering if you had any projects that have been canceled. I know backlog is a little bit higher, but are there any project cancellations that are impacting near-term results and outlook?

謝謝大家，早安。我的大部分問題已經解決，但我只是想知道您是否有任何項目已被取消。我知道積壓的情況有點多，但是否有任何項目取消會影響近期業績和前景？

No, we haven't seen -- thanks for the question. We haven't seen any projects that were -- that have been canceled just pushed to the right.

不，我們還沒看到──謝謝你的提問。我們還沒有看到任何被取消的項目只是被推到了右邊。

Okay. Understood. And in non-UFLPA orders, I think you guys gave a number last quarter. I don't see it this time, maybe I missed it. Could you tell us what that number looks like?

好的。明白了。在非 UFLPA 訂單中，我想你們上個季度給了一個數字。這次沒看到，可能是我錯過了。您能告訴我們這個數字是什麼樣的嗎？

Yeah. I mean, in terms of the non-UFLPA, for the awards that we signed up this quarter, all of those are not subject to UFLPA. And all the projects have panels.

是的。我的意思是，就非 UFLPA 而言，對於我們本季簽署的獎項，所有這些都不受 UFLPA 的約束。所有的項目都有面板。

Okay, thank you. Thank you for that. So given you have a pretty positive outlook for 2024, do you think you potentially could see sequential improvements through the year in 2024 after the bounce-back, say, relative to [Q4] '23? Or do you not have any visibility at this point to give us that kind of outlook?

好的謝謝。謝謝你。因此，鑑於您對 2024 年的前景非常樂觀，您是否認為在反彈之後（例如，相對於 23 年第 4 季），您是否可能會在 2024 年看到全年的連續改善？或者您目前沒有任何可見性可以向我們提供這種前景嗎？

So we haven't guided to 2020 -- beyond Q1 for 2024. But we had indicated in the last call that we expect the ramp to start in Q4 now that you're seeing that ramp starting here in Q1. So as these projects, particularly the almost 700 megawatt project is one example that Patrick called out. That's one that's going to contribute here in Q4 and in ramp into next quarter. So that give you an indication of how we'd expect things to start to ramp on those projects that we've talked about last quarter.

因此，我們還沒有對 2020 年（2024 年第一季之後）進行指導。但我們在上次電話會議中表示，我們預計成長將在第四季度開始，因為您看到成長從第一季開始。因此，帕特里克提到的這些項目，特別是近 700 兆瓦的項目就是一個例子。這將在第四季度做出貢獻，並在下一季有所成長。因此，這可以讓您了解我們預計上季討論過的那些項目將如何開始推進。

And I think the one thing that kind of piggyback off that is if you look at a gigawatt project, nearly 700 megawatt project, once those projects start flowing, you're getting that recurring baseload of revenue. So the project isn't having that's like stop and start. So there's a linear progression of revenue that's going to stretch over multiple quarters.

我認為，如果你看看一個千兆瓦項目，近 700 兆瓦項目，一旦這些項目開始流動，你就會獲得經常性的基本收入。所以這個項目並沒有像停止和開始那樣。因此，收入呈線性增長，並將持續多個季度。

So now that we've got some of these larger projects that are ultimately delivering, it gives us a further visibility on how much revenue that we're going to get in any given quarter from those projects. And then it's just adding new projects along the way that are ultimately going to start to converting from our current contract and award and finding new projects in conjunction with these two large projects, plus several others that are ramping at the end of Q4 and in Q4 and into 2024.

因此，現在我們已經獲得了一些最終交付的大型項目，這讓我們可以進一步了解在任何給定季度我們將從這些項目中獲得多少收入。然後，它只是一路添加新項目，最終將開始從我們當前的合約和合約轉換，並尋找與這兩個大型項目結合的新項目，以及其他幾個在第四季度末和第四季度開始增加的項目並進入 2024 年。

Right. So you could potentially be in a situation where we see year-over-year improvements through all four quarters next year.

正確的。因此，您可能會遇到這樣的情況：我們會看到明年所有四個季度的年比改善。

We definitely feel good about the growth prospects in 2024 and definitely revenue growth and margin improvement for sure.

我們對 2024 年的成長前景肯定感到樂觀，收入成長和利潤率肯定會有所提高。

Okay, thank you. Just one last one, on the 1P offering, how much of the backlog or how much backlog for that product in the overall backlog number?

好的謝謝。最後一個問題是，在 1P 產品中，該產品的積壓量或積壓量佔總積壓量的多少？

The majority of if you look at the kind of contract being awarded, the majority of the backlog is our two in portrait tracker. And that really ties to the fact that the two in portrait trackers have been around since 2017, and we brought it to market in 2019, and we didn't bring the 1P Pioneer until late Q3. And so we haven't had the time to build that 1P backlog that we have with 2P.

如果你看看所授予的合約類型，你會發現大部分積壓訂單都是我們的兩個縱向追蹤器。這確實與以下事實有關：這兩款肖像追蹤器自 2017 年以來就已推出，我們於 2019 年將其推向市場，直到第三季末才推出 1P Pioneer。因此，我們沒有時間像 2P 那樣建立 1P 積壓工作。

Now we're seeing a lot of a lot of being offered to bid on projects, a lot of activity around Pioneer and the constructability benefits of it. And we expect to start building out our backlog of our 1P is going to get through Q4 and into the coming quarter.

現在，我們看到有很多項目可供投標，有很多圍繞先鋒的活動及其可施工性優勢。我們預計將在第四季和下一季開始增加 1P 的積壓工作。

Understood. Thank you guys. That's all I have. Appreciate it.

明白了。感謝你們。這就是我的全部。欣賞它。

Pavel Molchanov, Raymond James & Associates.

帕維爾·莫爾恰諾夫，雷蒙德·詹姆斯及其同事。

Yes, thanks for taking the question. Can we get an update on your manufacturing joint venture, which I think is now maybe a quarter or two since it started operating?

是的，感謝您提出問題。我們能否了解你們的製造合資企業的最新情況，我認為該合資企業自開始運營以來可能已經有一兩個季度了？

Yeah, I'll start on that one. So all the equipment installed and we've been doing qualification runs. We've got some revenue facility in the current quarter here at Q4 and get larger in 2024. And Patrick (multiple speakers).

是的，我將從那裡開始。所有設備都已安裝完畢，我們一直在進行資格運行。我們在本季度的第四季度獲得了一些收入設施，並在 2024 年獲得更大的收入。帕特里克（多位發言者）。

Sorry, Pavel, go ahead.

抱歉，帕維爾，請繼續。

No, please go ahead.

不，請繼續。

Bill's right. I mean, that facility is up and running. We've got projects going through it currently. And if you look at the -- some of the projects that are in delivery, in shipment in Q4 and 2024, the anticipation is that we'll be utilizing that facility. And we're going to market with new bids or new quotations use in production of that facility is at the forefront right now.

比爾是對的。我的意思是，該設施已經啟動並正在運行。目前我們有一些項目正在進行中。如果你看看一些正在交付、在 2024 年第四季和 2024 年發貨的項目，預計我們將利用該設施。我們將以新的投標或新的報價進入市場，該設施的生產使用目前處於最前沿。

Is there uplift in gross margin that you are anticipating, once that facility is fully ramped up?

一旦該設施全面投入使用，您預計毛利率是否會上升？

At this point, we're not making any benefit from [45x] in our current guidance. I don't know Cathy if there's anything else you want to answer.

目前，在我們目前的指導中，我們沒有從 [45x] 中獲得任何好處。我不知道Cathy你還有什麼想回答的嗎？

No, we do expect to see continued improvement in our margin, and that facility will support that as well.

不，我們確實希望看到我們的利潤率持續改善，並且該設施也將支持這一點。

Okay. I know you're not giving a formal guidance yet beyond Q1, but as you sort of zoom out on 2024 as a whole, do you anticipate being a cash user or a cash generator?

好的。我知道您在第一季之後尚未給出正式指導，但當您將 2024 年作為一個整體進行縮小時，您預計會成為現金用戶還是現金創造者？

Well, we see a crossover into profitability in 2024. So we expect to be generating cash in 2024.

嗯，我們預計 2024 年將實現盈利。因此，我們預計將在 2024 年產生現金。

All right. Thanks very much.

好的。非常感謝。

John Wilhelm, UBS.

約翰威廉，瑞銀集團。

Hey, great, thanks for taking the questions. I guess my first one, just quickly, any commentary from the Board on the status of a CEO and CFO permanent replacements and the parameters of which had internal versus external candidates and what sort of timeframe investors should expect from permanent replacements? Thanks.

嘿，太好了，感謝您提出問題。我想我的第一個問題是，董事會對執行長和財務長永久替代者的地位、內部候選人與外部候選人的參數以及投資者應該期望永久替代者的時間範圍有何評論？謝謝。

All right, John, this is Shaker, and thank you for the question. So the Board, like I said, we've been involved with details of the company over the last three months in trying to understand what's going on. And for now, we feel that the best team to take us forward is Patrick, Sasan, and Cathy with oversight from the Board.

好的，約翰，我是 Shaker，謝謝你的問題。因此，正如我所說，董事會在過去三個月裡一直在了解公司的詳細信息，試圖了解正在發生的事情。目前，我們認為帶領我們前進的最佳團隊是派崔克、薩桑和凱西，並受到董事會的監督。

And we do not want to rush into a CEO succession primarily because there's a urgency with which we need to get things done and we need to take our time in finding a good CEO. And so for both those reasons, we'll be very deliberate to make sure we've positioned the company well. We have the team that we have now has got tremendous amount of operational depth, and they're also going to be guided by a Board with a lot of operational depth.

我們不想倉促執行執行長繼任，主要是因為我們需要緊迫地完成工作，並且需要花時間尋找一位優秀的執行長。因此，出於這兩個原因，我們將非常謹慎地確保我們為公司做好了定位。我們現在擁有的團隊擁有巨大的營運深度，他們也將受到具有大量營運深度的董事會的指導。

Ahmad is going to act as a facilitator, and he played a similar role at Enphase between 2017 and 2020. So I think we feel good about the team that we have and we want to take our time in getting the CEO in place. In terms of CFO, Cathy is a very accomplished person to take that role, and we will decide on the placement either internal or external or to have Cathy going forward in the subsequent months. Hopefully, that answers your question.

艾哈邁德將擔任協調人，他在 2017 年至 2020 年期間在 Enphase 扮演了類似的角色。所以我認為我們對我們現有的團隊感覺良好，我們希望花時間讓執行長就位。就財務長而言，Cathy 是一位非常有成就的人選，我們將在接下來的幾個月內決定內部或外部的職位安排，或讓 Cathy 繼續前進。希望這能回答你的問題。

Yeah, it did; appreciate it. And then on a completely separate topic, obviously, there's I think, a healthy amount of skepticism around the $1.6 billion backlog. It's essentially the same size as the competitors that has 13 times the annual revenue. Is there any thought about taking an opportunity to provide more transparency on specifically what's in the backlog like specific projects?

是的，確實如此；欣賞它。然後，在一個完全獨立的話題上，我認為，顯然，人們對 16 億美元的積壓訂單抱持一定程度的懷疑。它的規模與年收入是其 13 倍的競爭對手基本相同。是否考慮過利用機會就具體專案等候辦事項中的具體內容提供更高的透明度？

Is there anything to stop the company from disclosing specific projects? Again, I think just a little bit of comfortability with just a portion of the backlog would provide a lot of peace of mind for investors. Just your thoughts on that, and I really appreciate taking the questions. Thanks.

有什麼可以阻止公司揭露具體項目嗎？再說一遍，我認為只要解決部分積壓問題就能讓投資人感到安心。只是您對此的想法，我非常感謝您提出問題。謝謝。

We've actually gotten that question recently and we actually did some work on that for us doing that. We didn't present it this quarter, given the changes that we announced. But that's something that over the next few months or something we could either put out or mention on our next call. But it's definitely something that we're looking to do some form.

我們實際上最近收到了這個問題，並且我們實際上為此做了一些工作。鑑於我們宣布的變化，我們本季沒有展示它。但這是未來幾個月內的事情，或者我們可以在下次電話會議上提出或提及的事情。但這絕對是我們希望以某種形式做的事情。

Great. Do well.

偉大的。做得好。

Thank you.

謝謝。

Julien Dumoulin-Smith, Bank of America.

朱利安·杜穆蘭-史密斯，美國銀行。

Hey, guys, it's Alex Rybalov for Julien. Maybe just actually a follow-on to that question on sort of the makeup of the backlog and the opportunity I'll frame it as I guess, to provide a little bit more transparency. I know you guys obviously talked about UFLPA or I guess non-UFLPA orders, but also international as sort of being a shorter cycle faster ramp than in some of the stuff we're seeing in the US. Just curious what's the status of that piece of things?

嘿，夥計們，我是朱利安的亞歷克斯·雷巴洛夫。也許實際上只是這個問題的後續，關於積壓的組成以及我將按照我的猜測來建構它的機會，以提供更多的透明度。我知道你們顯然談論了 UFLPA 或我猜非 UFLPA 訂單，而且國際訂單比我們在美國看到的一些訂單週期更短、更快。只是好奇那件事情的狀況如何？

Clearly, things still look a little bit challenged. And just curious, I mean, as far as the slippages, are you seeing the same thing internationally versus the US where obviously the rate environment is still high, but you know, a little bit more muted depending on the kind of [where you are excess]. Thanks.

顯然，事情看起來仍然有點挑戰。我只是好奇，就滑點而言，您是否在國際上看到與美國相同的情況，美國的利率環境顯然仍然很高，但您知道，根據您所在的類型，利率環境會更加平靜。過量的]。謝謝。

Yeah. I mean, I think if you look at -- thank you for the question I mean, I think if you look in the regions in which we operate, obviously, the US is the largest portion, that's where we've had the longest sustained presence.

是的。我的意思是，我想如果你看看——謝謝你提出的問題我的意思是，我想如果你看看我們經營的地區，顯然美國是最大的部分，那是我們持續時間最長的地區在場。

Some of the new geographies that we're seeing, certainly, there's interconnection and financing challenges. We haven't seen it to the extent that we've seen it ultimately in the US, but that's a function of our early entrance into those into those markets. So we haven't been in them for four or five years where you're working on large 500 megawatt, 600 megawatt, 700 megawatt projects.

當然，我們看到的一些新地區存在互聯和融資方面的挑戰。我們還沒有看到它最終在美國看到的程度，但這是我們早期進入這些市場的結果。因此，我們已經四、五年沒有參與大型 500 兆瓦、600 兆瓦、700 兆瓦專案了。

Traditionally, in places like Spain and Italy, where there's not a lot of free use land, most of the projects are sub-100 megawatts. So those both move forward and take the PO a little bit faster. But if you look at places like Australia, they have interconnection issues ultimately as well. But it's more exacerbated here in the US that we've seen.

傳統上，在西班牙和義大利等沒有大量免費使用土地的地方，大多數項目都在 100 兆瓦以下。因此，他們都向前邁進，並更快地獲得 PO。但如果你看看澳洲這樣的地方，他們最終也存在互連問題。但在美國，這種情況比我們所看到的更為嚴重。

Got it. Makes sense. When you guys think I guess moving forward, I mean, clearly some recovery contemplated for Q1 at least, I think what's interesting is you guys obviously to your point, Patrick started with the 2P company sort of shifted to doing both at this point and also sort of broadened the commercial base outside of the US.

知道了。說得通。當你們認為我想繼續前進時，我的意思是，顯然至少在第一季度考慮了一些復甦，我認為有趣的是你們顯然符合你們的觀點，帕特里克從2P 公司開始，在這一點上轉向了兩者兼具某種程度上擴大了美國以外的商業基礎。

It seems to us that there's a little bit of -- I don't want you to call it a flight to quality or to certain EPCs or players in this space. There's little bit of a have and have not. I'm curious, I mean, as you guys look to sort of reposition the business for growth off of a higher margin base, how do you think about sort of targeting that more directly? Is it we just need to win more 1P again? Is it, hey, international looks more attractive than the US? And how would you frame the strategy from here? I guess, we're converting the existing backlog.

在我們看來，有一點——我不希望你稱之為對品質或對這個領域的某些 EPC 或參與者的追求。有點有和沒有。我很好奇，我的意思是，當你們希望重新定位業務以實現更高利潤基礎上的成長時，你們如何考慮更直接地瞄準這一目標？難道我們只是需要再次贏得更多1P嗎？嘿，國際看起來比美國更有吸引力嗎？您將如何制定戰略？我想，我們正在轉換現有的積壓工作。

Yeah. No, it's a great question. I mean, I think obviously, we're very excited about the US market. We're excited about the 1P Pioneer that we have to offer. And we have certainly the top EPCs are the ones that are getting a majority of the business and where we're penetrated with those accounts.

是的。不，這是一個很好的問題。我的意思是，我認為顯然我們對美國市場非常興奮。我們對我們所能提供的 1P Pioneer 感到非常興奮。當然，我們擁有頂級 EPC，他們獲得了大部分業務，我們也滲透到了這些客戶中。

And the one nice part is we're able to sit down with those top-tier EPCs and ultimately developers and really design a project that's agnostic between 1P and 2P and really maximize the site based on the goals of that EPC or developer. And I think that's been a differentiator for us. Continuing to expand, I mean, double down in the US continue to win projects. That's a big focus for us, but continuing to grow our footprint internationally as well.

一個好的部分是我們能夠與那些頂級 EPC 和最終開發商坐下來，真正設計一個在 1P 和 2P 之間不可知的項目，並根據該 EPC 或開發商的目標真正最大化網站。我認為這對我們來說是一個與眾不同的因素。我的意思是，繼續擴張，在美國加倍努力繼續贏得計畫。這是我們的重點，但我們也持續擴大我們的國際影響力。

So if you think about how we are boots on the ground strategy for the US, you win several projects and then they grow and get bigger and you've developed a baseload revenue and you've got a fact pattern out there. We did the same thing in Australia where we've done over two dozen projects. And there we're relatively well penetrated. We've recently won awards in Spain and Italy, and we plan on delivering those in early 2024.

因此，如果你考慮我們如何在美國啟動實地戰略，你會贏得幾個項目，然後它們會成長並變得更大，你已經開發了基本負載收入，並且你已經有了一個事實模式。我們在澳洲也做了同樣的事情，我們已經完成了二十多個專案。我們在這方面的滲透相對較好。我們最近在西班牙和義大利獲獎，並計劃在 2024 年初交付這些獎項。

So that gives us a stronger foothold in Europe and a proof point for us to build a base around. And then also, as Bill mentioned, continuing to expand in markets like South Africa, where we've delivered several large projects and expect to continue to grow that market ultimately as well.

因此，這為我們在歐洲提供了更強有力的立足點，並為我們建立基地提供了基礎。然後，正如比爾所提到的，繼續擴大南非等市場，我們在那裡交付了幾個大型項目，並預計最終也將繼續擴大該市場。

And the commonality amongst those are in markets in which our value proposition of constructability and quality hold true. And that allows for the margin expansion. We're not looking to participate in markets where we aren't able to achieve profitable growth. And that's echoed by the comments that Shaker made in his opening remarks.

其中的共同點在於我們的可施工性和品質價值主張在這些市場中是正確的。這使得利潤率能夠擴大。我們不希望參與無法實現獲利成長的市場。謝克在開場白中的評論也呼應了這一點。

Got it. Makes sense guys. Appreciate the time.

知道了。有道理，夥計們。珍惜時間。

Thank you. I'm showing no further questions in the queue. Ladies and gentlemen, this concludes today's conference call. Thank you for your participation. You may now disconnect. Everyone have a wonderful day.

謝謝。我在隊列中沒有顯示任何其他問題。女士們、先生們，今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。每個人都度過了美好的一天。