Fuel Tech Inc (FTEK) 2022 Q4 法說會逐字稿

Hello, and welcome to the Fuel Tech Inc. Fiscal 2022 Fourth Quarter Financial Results Conference Call and Webcast. (Operator Instructions) As a reminder, this conference is being recorded.

您好，歡迎來到 Fuel Tech Inc. 2022 財年第四季度財務業績電話會議和網絡廣播。 （操作員說明）提醒一下，正在錄製此會議。

It is now my pleasure to turn the call over to your host, Devin Sullivan, Managing Director of the Equity Group. Please go ahead, Devin.

現在我很高興將電話轉給你的東道主，股票集團董事總經理德文沙利文。請繼續，德文。

Thank you, Kevin. Good morning, everyone, and thank you for joining us today for Fuel Tech's 2022 Fourth Quarter and Full Year Financial Results Conference Call. Yesterday, after the close, we issued a copy of the press release, which is available at the company's website at www.ftek.com. Our speakers for today will be Vince Arnone, Chairman, President and Chief Executive Officer; and Ellen Albrecht, Chief Financial Officer. After prepared remarks, we will open the call for questions from our analysts and investors.

謝謝你，凱文。大家早上好，感謝您今天加入我們參加 Fuel Tech 2022 年第四季度和全年財務業績電話會議。昨天收盤後，我們發布了一份新聞稿，可在公司網站 www.ftek.com 上獲取。我們今天的發言人是董事長、總裁兼首席執行官 Vince Arnone；和首席財務官 Ellen Albrecht。在準備好發言後，我們將開始徵求分析師和投資者的問題。

Before turning things over to Vince, I'd like to remind everyone that matters discussed on this call, except for historical information, are forward-looking statements as defined in Section 21E of the Securities Act of 1934 as amended, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and reflect Fuel Tech's current expectations regarding future growth, results of operations, cash flows, performance and business prospects and opportunities as well as assumptions made by and information currently available to our company's management.

在將事情交給 Vince 之前，我想提醒大家，除了歷史信息外，本次電話會議上討論的事項均為前瞻性陳述，定義見經修訂的 1934 年證券法第 21E 條，這些陳述是根據1995 年《私人證券訴訟改革法案》的安全港條款，反映了 Fuel Tech 目前對未來增長、經營業績、現金流量、業績和業務前景和機會的預期，以及我們公司管理層做出的假設和目前可獲得的信息.

Fuel Tech has tried to identify forward-looking statements by using words such as anticipate, believe, plan, expect, estimate, intend, will and similar expressions, but these words are not the exclusive means of identifying forward-looking statements.

Fuel Tech 試圖通過使用諸如預期、相信、計劃、預期、估計、打算、意願和類似表達等詞語來識別前瞻性陳述，但這些詞語並不是識別前瞻性陳述的唯一方式。

These statements are based on information currently available to Fuel Tech and are subject to various risks, uncertainties and other factors, including, but not limited to, those discussed in Fuel Tech's annual report on Form 10-K in Item 1A under the caption of Risk Factors and subsequent filings under the Securities Exchange Act of 1934 as amended, which could cause Fuel Tech's actual growth, results of operations, financial condition, cash flows, performance and business prospects and opportunities to differ materially from those expressed in or implied by these statements.

這些陳述基於 Fuel Tech 目前可獲得的信息，並受各種風險、不確定性和其他因素的影響，包括但不限於 Fuel Tech 在 10-K 表第 1A 項年度報告中風險標題下討論的那些根據經修訂的 1934 年證券交易法，可能導致 Fuel Tech 的實際增長、經營業績、財務狀況、現金流量、業績和業務前景及機會與這些聲明中明示或暗示的內容存在重大差異的因素和後續文件.

Fuel Tech undertakes no obligation to update such factors or to publicly announce the results of any forward-looking statements contained herein to reflect future events, developments or changed circumstances or for any other reason. Investors are cautioned that all forward-looking statements involve risks and uncertainties, including those detailed in the company's filings with the SEC.

Fuel Tech 不承擔更新此類因素或公開宣布此處包含的任何前瞻性陳述的結果以反映未來事件、發展或情況變化或任何其他原因的義務。投資者應注意，所有前瞻性陳述都涉及風險和不確定性，包括公司向美國證券交易委員會提交的文件中詳述的風險和不確定性。

With all that said, I'd now like to turn the call over to Vince Arnone, Chairman, President and CEO of Fuel Tech. Vince, please go ahead.

話雖如此，我現在想把電話轉給 Fuel Tech 董事長、總裁兼首席執行官 Vince Arnone。文斯，請繼續。

Thank you, Devin. Good morning, and I want to thank everyone for joining us on the call today. We reported a strong finish to what was a successful year for Fuel Tech in 2022.

謝謝你，德文。早上好，我要感謝大家今天加入我們的電話會議。我們為 Fuel Tech 在 2022 年的成功年度畫上了圓滿的句號。

Full year 2022 revenue was $26.9 million, our highest consolidated revenue since 2019, increased 11% from full year 2021 and was driven by an operational rebound in our Air Pollution Control business segment, where revenues improved by 54% from full year 2021.

2022 年全年收入為 2690 萬美元，是我們自 2019 年以來的最高綜合收入，比 2021 年全年增長 11%，這得益於我們的空氣污染控制業務部門的運營反彈，該部門的收入比 2021 年全年增長了 54%。

For the fourth quarter of 2022, total revenues rose 8.8% to $7 million due to improved performance at our FUEL CHEM segment. Our backlog at year-end was $8.2 million and did not reflect $3.6 million of new 2023 orders announced just last week. Our effective backlog today is approximately $12 million.

2022 年第四季度，由於燃料化學部門的業績改善，總收入增長 8.8% 至 700 萬美元。我們年底的積壓訂單為 820 萬美元，並未反映上周剛剛宣布的 2023 年新訂單中的 360 萬美元。我們今天的有效積壓訂單約為 1200 萬美元。

We continue to pursue a global sales pipeline of $50 million to $75 million, consisting of a variety of projects and end markets and we are pleased with the improvement in contract awards that we have realized over these past 6 to 12 months.

我們繼續追求 5000 萬至 7500 萬美元的全球銷售渠道，包括各種項目和終端市場，我們對過去 6 至 12 個月合同授予的改善感到高興。

Our balance sheet at December 31st remains strong and reflected cash and cash equivalents of more than $23.3 million, $9.3 million in investment securities and no debt. Last week, we made significant progress in our Dissolved Gas Infusion, or DGI technology business with the announcement of Bill Decker as our new President of Water and Wastewater Treatment Technologies. Bill brings a wealth of knowledge and industry experience to Fuel Tech, and we are pleased to have him on board in this capacity.

截至 12 月 31 日，我們的資產負債表依然強勁，現金和現金等價物超過 2330 萬美元，投資證券 930 萬美元，沒有債務。上週，我們在溶解氣體注入或 DGI 技術業務方面取得了重大進展，宣布 Bill Decker 擔任我們新的水和廢水處理技術總裁。 Bill 為 Fuel Tech 帶來了豐富的知識和行業經驗，我們很高興他能以這個身份加入我們。

With respect to our operations, let's begin with a discussion of our FUEL CHEM business. Our FUEL CHEM business segment had a strong fourth quarter, with revenue rising 21% to $4.1 million compared to $3.4 million in the fourth quarter of 2021. Full year 2022 revenue for FUEL CHEM was $16.3 million, exceeding our previous guidance of $14.5 million to $15.5 million for the year, and we were very pleased with our full year performance. An overall increase in energy demand positively impacted coal-fired dispatch and regional areas where we have our program installed.

關於我們的運營，讓我們首先討論我們的 FUEL CHEM 業務。我們的 FUEL CHEM 業務部門第四季度表現強勁，收入增長 21% 至 410 萬美元，而 2021 年第四季度為 340 萬美元。FUEL CHEM 2022 年全年收入為 1630 萬美元，超過我們之前 1450 萬美元至 15.5 美元的預期萬美元，我們對我們全年的表現感到非常滿意。能源需求的整體增長對燃煤調度和我們安裝項目的區域產生了積極影響。

We continue to develop new marketing strategies to reach key decision-makers at all domestic coal-fired utilities to re-introduce our FUEL CHEM program benefits, including lowering the cost of dispatch by offering fuel flexibility, extending facility life and improving overall facility profitability and structuring a program that is active only when the unit owner wants to capitalize on high energy demand and related high unit capacity factor opportunities.

我們繼續制定新的營銷策略，以吸引所有國內燃煤公用事業的關鍵決策者重新引入我們的 FUEL CHEM 計劃優勢，包括通過提供燃料靈活性、延長設施壽命和提高整體設施盈利能力來降低調度成本，以及構建一個只有當機組所有者想要利用高能源需求和相關的高機組容量因素機會時才有效的項目。

We continue to follow the opportunity to expand the provision of our chemical technology in Mexico via our partner in that country to address the emissions created by the burning of high sulfur fuel oil, which is being undertaken without the necessary environmental remediation and at the expense of the health of surrounding communities. We do believe that political pressure is building in favor of the implementation of our FUEL CHEM program at additional facilities in this country. Our partner is currently in discussions with the state-owned utility, CFE, regarding the application of our technology at several units.

我們繼續抓住機會，通過我們在該國的合作夥伴擴大我們在墨西哥的化學技術供應，以解決燃燒高硫燃料油產生的排放問題，這種排放沒有必要的環境補救措施，而且代價是周圍社區的健康。我們確實相信政治壓力正在增加，有利於在該國的其他設施中實施我們的 FUEL CHEM 計劃。我們的合作夥伴目前正在與國有公用事業公司 CFE 討論在多個單位應用我們的技術。

As we look out to 2023, we currently expect that FUEL CHEM revenues will decline modestly from 2022 levels due primarily to a reduction in program utilization levels at our primary accounts from the very high levels experienced in 2022 and to the elimination of 1 account due to plant closures.

展望 2023 年，我們目前預計 FUEL CHEM 收入將從 2022 年的水平小幅下降，這主要是由於我們的主要客戶的計劃利用率水平從 2022 年的非常高的水平下降，以及由於以下原因取消了 1 個客戶工廠關閉。

For the APC segment, revenue for the fourth quarter of 2022 fell modestly to $2.9 million compared to $3.1 million in the fourth quarter of last year, due to the timing of project execution. APC's full year revenue was $10.6 million, a significant improvement from full year 2021 revenue of $6.9 million, driven by project execution on approximately $10 million in new project awards announced throughout 2022.

對於 APC 部門，由於項目執行的時間安排，2022 年第四季度的收入從去年第四季度的 310 萬美元小幅下降至 290 萬美元。 APC 的全年收入為 1060 萬美元，較 2021 年全年收入 690 萬美元有了顯著改善，這主要得益於 2022 年全年宣布的約 1000 萬美元新項目獎勵的項目執行。

Based on the effective backlog that we have in place today, and to the visibility that we have into potential new orders, we are confident that our APC revenues for 2023 will exceed 2022. This expectation excludes the possible favorable revenue impact of legislative initiatives that could manifest as early as the current first quarter.

根據我們今天的有效積壓，以及我們對潛在新訂單的可見性，我們有信心我們 2023 年的 APC 收入將超過 2022 年。這一預期不包括立法舉措可能帶來的有利收入影響最早在當前第一季度顯現。

We believe incremental orders for our selective non-catalytic reduction, or SNCR technology, will be driven by the proposed EPA Cross-State Air Pollution Control Rule also known as CASPER. The EPA entered into a consent degree in 2022 to update the CASPER rule with NOx reduction requirements so that sources in up to 25 specific states can comply with the 2015 National Ozone standards while meeting the good neighbor requirements of the Clean Air Act. These CASPER revisions could impact utility and industrial sources requiring additional NOx control, starting as early as 2023 for utility units and 2026 for industrial units.

我們相信，我們的選擇性非催化還原或 SNCR 技術的增量訂單將由擬議的 EPA 跨州空氣污染控制規則（也稱為 CASPER）推動。 EPA 於 2022 年簽署了一份同意書，以更新 CASPER 規則的 NOx 減排要求，以便多達 25 個特定州的來源可以符合 2015 年國家臭氧標準，同時滿足清潔空氣法的好鄰居要求。這些 CASPER 修訂可能會影響需要額外 NOx 控制的公用事業和工業來源，公用事業單位最早從 2023 年開始，工業單位最早從 2026 年開始。

EPA issued the draft rule last year for public comment, and the revised final rule is currently at the White House Office of Management and Budget for interagency review and is due to be issued later this month. The final rule is also expected to open up opportunities over the next several years for selective catalytic reduction or SCR systems for higher reductions of NOx and for our ultra systems that provide safe reagent for SCR installations. Once this rule becomes finalized, we will be better prepared to understand the implications on the impacted units and on our potential contract pipeline.

EPA 去年發布了規則草案徵求公眾意見，修訂後的最終規則目前正在白宮管理和預算辦公室進行機構間審查，並將於本月晚些時候發布。最終規則還有望在未來幾年為選擇性催化還原或 SCR 系統開闢機會，以實現更高的 NOx 還原，以及為 SCR 裝置提供安全試劑的超級系統。一旦該規則最終確定，我們將更好地準備了解對受影響單位和我們潛在合同渠道的影響。

We continue to pursue a robust global pipeline of business opportunities stemming from an increasing focus on global decarbonization as companies continue to invest in technology to improve their carbon footprints. We expect that further environmental legislation will spur growth and generate long-term business opportunities. Fuel Tech has long-standing relationships with technology suppliers and end users that will assist in our ability to capitalize on these opportunities as they develop, and we are pursuing business relationships where our technologies can become embedded as part of our customer solutions.

隨著公司繼續投資於技術以改善其碳足跡，人們越來越關注全球脫碳，我們將繼續尋求強大的全球商業機會管道。我們預計進一步的環境立法將刺激增長並產生長期的商業機會。 Fuel Tech 與技術供應商和最終用戶有著長期的合作關係，這將有助於我們利用這些發展中的機會，並且我們正在尋求業務關係，使我們的技術可以作為我們客戶解決方案的一部分嵌入。

We are continuing to pursue opportunities for our SCR and Ultra product offerings and have been awarded multiple contracts in recent months for the provision of these technologies. Many of these contracts for our Ultra technology solution, which provides a safe reagent alternative to ammonia for SCR systems, have been driven by stringent safety requirements at universities and medical facilities. Additionally, other recent contract awards have involved the application of our SNCR emissions control solution to reduce nitrogen oxides from stationary combustion sources for domestic and international applications, and our flu gas conditioning technology to improve the performance of electrostatic precipitators for an international client.

我們將繼續為我們的 SCR 和 Ultra 產品尋求機會，並在最近幾個月獲得了提供這些技術的多項合同。我們的 Ultra 技術解決方案為 SCR 系統提供了一種安全的氨替代試劑，其中許多合同都是受到大學和醫療機構嚴格的安全要求的推動。此外，最近授予的其他合同涉及應用我們的 SNCR 排放控制解決方案來減少國內和國際應用中來自固定燃燒源的氮氧化物，以及我們的流感氣體調節技術來為國際客戶提高靜電除塵器的性能。

For DGI, I want to once again welcome Bill Decker to his new role which begins on March 15. Bill brings to Fuel Tech more than 30 years of engineering, operational and financial experience serving industrial and municipal water and wastewater clients across the United States and around the world. In addition to his work in the private sector, Bill is well respected among his peers and government officials. He was selected 5x by multiple U.S. Secretaries of Commerce to serve on the Environmental Technologies Trade Advisory Committee, including twice as Chairman. This organization makes recommendations to the Secretary of Commerce on issues that affect export competitiveness of U.S. environmental technologies.

對於 DGI，我想再次歡迎 Bill Decker 擔任他將於 3 月 15 日開始的新職務。Bill 為 Fuel Tech 帶來了 30 多年的工程、運營和財務經驗，為美國和美國的工業和市政供水和廢水處理客戶提供服務世界各地。除了在私營部門的工作之外，比爾在同行和政府官員中也備受尊重。他被多位美國商務部長 5 次選入環境技術貿易諮詢委員會，包括兩次擔任主席。該組織就影響美國環境技術出口競爭力的問題向商務部長提出建議。

In November 2022, Bill was elected the Chairman of the Water and Wastewater Equipment Manufacturers Association, a Washington, D.C.-based non-profit trade association, representing water and waste water technology and service providers since 1908. This group works closely with Congress and other regulatory agencies, monitors legislative actions testified before congressional committees and advocates for funding to meet environmental goals. We believe that DGI represents a future driver of growth for Fuel Tech and an excellent opportunity to diversify our revenue stream. We are currently evaluating demonstration opportunities in a variety of end markets. and I look forward to speaking with everyone further regarding DGI as we move throughout 2023.

2022 年 11 月，比爾當選為總部設在華盛頓特區的非營利性行業協會水和廢水設備製造商協會的主席，自 1908 年以來代表水和廢水技術和服務提供商。該組織與國會和其他機構密切合作監管機構，監督在國會委員會面前作證的立法行動，並倡導為實現環境目標提供資金。我們相信，DGI 代表了 Fuel Tech 未來的增長動力，也是實現收入來源多元化的絕佳機會。我們目前正在評估各種終端市場的示範機會。我期待在整個 2023 年與大家進一步討論 DGI。

Given the respective outlooks for both APC and FUEL CHEM, we expect that total revenues for 2023 will improve to between $27 million and $32 million. This base case outlook excludes any material contribution from DGI as we commence the early stages of commercialization of this technology under Bill's guidance and any possible material uplift from new federal emissions control regulations that are expected to be finalized shortly.

鑑於 APC 和 FUEL CHEM 各自的前景，我們預計 2023 年的總收入將提高到 2700 萬美元至 3200 萬美元之間。這一基本案例展望不包括 DGI 的任何重大貢獻，因為我們在比爾的指導下開始了該技術商業化的早期階段，以及預計將很快完成的新聯邦排放控制法規可能帶來的任何重大提升。

In closing, I want to again thank the Fuel Tech team for their continued hard work and dedication as we work diligently each day to satisfy our customers requirements and plan for the development and expansion of our water technology initiative. We are pleased with our positive fourth quarter and annual financial performance and are very excited about our prospects in 2023.

最後，我想再次感謝 Fuel Tech 團隊在我們每天辛勤工作以滿足客戶需求併計劃開發和擴展我們的水技術計劃時，他們一直以來的辛勤工作和奉獻精神。我們對我們積極的第四季度和年度財務業績感到滿意，並對我們 2023 年的前景感到非常興奮。

With that said, I'll turn the discussion over to Ellen. Ellen, please go ahead.

話雖如此，我會將討論轉交給艾倫。艾倫，請繼續。

Thank you, Vince, and good morning, everyone. For the quarter, consolidated revenues rose to $7 million from $6.5 million in last year's fourth quarter. FUEL CHEM product line revenue rose to $4.1 million from $3.4 million, due primarily to improved dispatch levels for the power generation facilities that utilize our program.

謝謝你，文斯，大家早上好。本季度，綜合收入從去年第四季度的 650 萬美元增至 700 萬美元。 FUEL CHEM 產品線收入從 340 萬美元增加到 410 萬美元，這主要是由於利用我們計劃的發電設施的調度水平提高了。

APC segment revenue fell slightly to $2.9 million from $3.1 million in last year's fourth quarter due to the timing of completion on the execution of projects reflected in our current backlog.

APC 部門的收入從去年第四季度的 310 萬美元小幅下降至 290 萬美元，原因是我們當前積壓的項目執行完成的時間。

Consolidated gross margin for the 2022 fourth quarter fell to 42.8% of revenues from 50.2% of revenues in the fourth quarter of 2021. This decline can be attributed to the contribution from the APC -- from the APC segment gross margin, which declined to 35.4% of revenue from 55.6% of revenue in last year's fourth quarter due to a shift in product and technology mix. The decline was somewhat offset by an improvement in FUEL CHEM as gross margins increased to 48.1% from 45.3% in last year's fourth quarter.

2022 年第四季度的綜合毛利率從 2021 年第四季度佔收入的 50.2% 下降至佔收入的 42.8%。這一下降可歸因於 APC 的貢獻——來自 APC 部門的毛利率下降至 35.4由於產品和技術組合的轉變，去年第四季度收入的百分比為 55.6%。由於毛利率從去年第四季度的 45.3% 增至 48.1%，燃料化學業務的改善在一定程度上抵消了這一下降。

Consolidated APC segment backlog at December 31, 2022, was $8.2 million, down from $9.1 million at the end of 2021. Backlog at December 31st included $3.7 million of domestically delivered project backlog and $4.5 million of foreign delivered project backlog as compared to $3.4 million of domestic project backlog and $5.7 million of international project backlog at the end of 2021. We expect that $7.9 million of consolidated backlog will be recognized in the next 12 months, excluding contribution from any new contract awards.

截至 2022 年 12 月 31 日，合併的 APC 部門積壓訂單為 820 萬美元，低於 2021 年底的 910 萬美元。截至 12 月 31 日的積壓訂單包括 370 萬美元的國內交付項目積壓訂單和 450 萬美元的國外交付項目積壓訂單，而 340 萬美元的到 2021 年底，國內項目積壓和 570 萬美元的國際項目積壓。我們預計在未來 12 個月內將確認 790 萬美元的綜合積壓，不包括任何新合同授予的貢獻。

SG&A expenses declined to $3.1 million from $3.2 million in last year's fourth quarter. As a percentage of revenue, SG&A in the 2022 fourth quarter declined to 43.8% from 49.6% in the 2021 fourth quarter.

SG&A 費用從去年第四季度的 320 萬美元下降到 310 萬美元。作為收入的百分比，SG&A 在 2022 年第四季度從 2021 年第四季度的 49.6% 下降到 43.8%。

Research and development expenses for the fourth quarter fell slightly to approximately $200,000, primarily attributed to the timing of execution on current project initiatives.

第四季度的研發費用略有下降至約 200,000 美元，這主要歸因於當前項目計劃的執行時間。

Our operating loss was essentially unchanged at $250,000 compared to 2021 in last year's fourth quarter, reflecting a shift in margin contribution from product mix despite increased revenues and lower operating expenses. Our net loss for the quarter was $402,000 or $0.01 per share compared to a net loss of $244,000 or $0.01 per share in the same period a year ago.

與去年第四季度的 2021 年相比，我們的營業虧損基本保持不變，為 250,000 美元，這反映出儘管收入增加且營業費用降低，但產品組合對利潤率的貢獻發生了變化。我們本季度的淨虧損為 402,000 美元或每股 0.01 美元，而去年同期為淨虧損 244,000 美元或每股 0.01 美元。

Adjusted EBITDA loss was $263,000 compared to an adjusted EBITDA loss of $46,000 in the same period last year. For the full year 2022, consolidated revenue rose to $26.9 million from $24.3 million in 2021, reflecting a 54% increase in APC revenues, offset by a 6% decline in FUEL CHEM. As previously mentioned, the increase in APC segment revenue is attributed to the timing of project execution on current APC orders.

調整後的 EBITDA 虧損為 263,000 美元，而去年同期調整後的 EBITDA 虧損為 46,000 美元。 2022 年全年，綜合收入從 2021 年的 2430 萬美元增至 2690 萬美元，反映出 APC 收入增長了 54%，被 FUEL CHEM 收入下降 6% 所抵消。如前所述，APC 部門收入的增長歸因於當前 APC 訂單的項目執行時間。

FUEL CHEM segment revenue declined year-over-year due to the loss of one customer due to a permanent plant retirement, dispatch and demand and unforeseen plant outages.

FUEL CHEM 部門的收入同比下降，原因是永久性工廠退休、調度和需求以及不可預見的工廠停運導致一名客戶流失。

Consolidated gross margin declined to 43.2% from 49% last year due to the shift in segment contribution. SG&A expenses for the full year 2022 increased by 1.8% to $12.3 million from $12.1 million in 2021, which falls within the forecasted range we previously provided. For full year 2023, we expect SG&A expenses to range between $13 million and $14 million as we invest in resources to support current business initiatives in the development of our DGI technology operations.

由於分部貢獻的轉變，綜合毛利率從去年的 49% 下降至 43.2%。 2022 年全年的 SG&A 費用從 2021 年的 1210 萬美元增長 1.8% 至 1230 萬美元，這在我們之前提供的預測範圍內。對於 2023 年全年，我們預計 SG&A 費用將在 1300 萬美元至 1400 萬美元之間，因為我們投資資源以支持當前在開發 DGI 技術運營方面的業務計劃。

Operating loss was $1.5 million in both 2022 and 2021. Net loss for 2022 was $1.4 million or $0.05 per diluted share compared to net income of $54,000 or $0.01 per diluted share in 2021. Net income for 2021 included other income of $1.6 million, reflecting full forgiveness of the loan proceeds from the Paycheck Protection Program established pursuant to the CARES Act.

2022 年和 2021 年的營業虧損均為 150 萬美元。2022 年的淨虧損為 140 萬美元或攤薄後每股收益 0.05 美元，而 2021 年的淨收入為 54,000 美元或攤薄後每股收益 0.01 美元。2021 年的淨收入包括其他收入 160 萬美元，反映了全部免除根據 CARES 法案建立的薪資保護計劃的貸款收益。

Adjusted EBITDA loss was $909,000 in 2022 compared to an adjusted EBITDA loss of $662,000 in 2021.

2022 年調整後的 EBITDA 虧損為 909,000 美元，而 2021 年調整後的 EBITDA 虧損為 662,000 美元。

Moving to the balance sheet. I'm happy to report that our financial condition remains strong. As of December 31, we had cash and cash equivalents of $23.3 million and investments totaling $9.3 million. Working capital was $31.1 million or $1.03 per share. Stockholders' equity was $44.8 million or $1.48 per share, and the company had no debt.

轉到資產負債表。我很高興地報告我們的財務狀況依然強勁。截至 12 月 31 日，我們的現金和現金等價物為 2330 萬美元，投資總額為 930 萬美元。營運資金為 3110 萬美元或每股 1.03 美元。股東權益為 4480 萬美元或每股 1.48 美元，公司沒有債務。

Cash used by operating activities at December 31 was $4.1 million, driven primarily by the increase in accounts receivable from new business compared to cash provided by operating activities of $572,000 last year.

截至 12 月 31 日，經營活動使用的現金為 410 萬美元，這主要是由於新業務的應收賬款增加，而去年經營活動提供的現金為 572,000 美元。

As we began 2023, we invested another $10 million of available cash and investment securities in order to take advantage of the favorable interest rate market and we'll continue to focus on effectively maximizing and managing our business assets and operations.

2023 年初，我們又投資了 1000 萬美元的可用現金和投資證券，以利用有利的利率市場，我們將繼續專注於有效地最大化和管理我們的業務資產和運營。

To reiterate Vince's earlier comments, we are pleased with our results and remain optimistic about our opportunities in 2023 and beyond.

重申文斯先前的評論，我們對我們的結果感到滿意，並對我們在 2023 年及以後的機會保持樂觀。

I will now turn the call back over to Vince.

我現在將把電話轉回文斯。

Ellen, thanks very much, operator. I would like to now open the call for questions, please.

艾倫，非常感謝接線員。現在我想開始提問。

(Operator Instructions) Our first question is coming from Amit Dayal from H.C. Wainwright.

（操作員說明）我們的第一個問題來自 H.C. 的 Amit Dayal。溫賴特。

With respect to sort of the outlook, Vince, can you talk about sort of margin expectations, the APC business looks like it's going to be higher again this year and then you probably have some ramp related to the DGI commercialization effort. So how should we think about gross margins for 2023?

關於前景，文斯，你能談談利潤率預期嗎，APC 業務看起來今年會再次走高，然後你可能會有一些與 DGI 商業化相關的增長。那麼我們應該如何考慮 2023 年的毛利率呢？

Right. I think on the APC side, Amit, I think we're going to see a trend similar to what we had for 2022. I would expect somewhere in the 35% to 38% range on that new APC business that we bring in-house in '23 and as well as that represents the backlog that we are working off from projects that are already booked and in hand. So I like 35% to 38% as a range for that for APC gross margins.

正確的。我認為在 APC 方面，阿米特，我認為我們將看到類似於 2022 年的趨勢。我預計我們內部帶來的新 APC 業務將在 35% 到 38% 的範圍內在 23 年，這代表了我們正在從已經預訂和手頭的項目中處理的積壓工作。所以我喜歡 35% 到 38% 作為 APC 毛利率的範圍。

Chemtech is going to stay similar in nature. It's going to be upper 40s and that 49% range for Chemtech as well. Right now, with the revenue numbers that I just mentioned that we're projecting for next year, we're not factoring in a material amount of revenue as it relates to DGI, as we sit here today. So anything material that we realize will be on top of that revenue range that I mentioned a few minutes ago.

Chemtech 在本質上將保持相似。這將是 40 多歲，對於 Chemtech 來說也是 49% 的範圍。現在，根據我剛才提到的我們預計明年的收入數字，我們沒有考慮與 DGI 相關的大量收入，因為我們今天坐在這裡。因此，我們意識到的任何材料都將超出我幾分鐘前提到的收入範圍。

Okay. You mentioned some new federal emissions regulations coming up. Could you provide some additional color on that? We can look that up as well. But if you could just maybe give us some sort of a time line around when that is expected to happen and what specifically those new updates are going to cover?

好的。您提到了即將出台的一些新的聯邦排放法規。你能提供一些額外的顏色嗎？我們也可以查一下。但是，如果你能給我們一些關於預計何時發生的時間表，以及這些新更新將具體涵蓋哪些內容？

Right. I mean this is -- it's effectively an update of what's referred to as the Good Neighbor Act provisions under the Clean Air Act amendments, okay? We mentioned the Cross-State Air Pollution Control rule that it's related to those good neighborhood provisions. But what that rule basically states is, is that it requires upwind states to maintain certain levels of emissions, if you will, so that they're not impacting their downwind states with their pollution problems and/or issues to keep it simple along those lines. But what the EPA is doing is actually putting in place a reduction in those emission levels that I had noted is going to impact approximately 25 states.

正確的。我的意思是，這實際上是對《清潔空氣法》修正案中所謂的《好鄰居法》條款的更新，好嗎？我們提到了跨州空氣污染控制規則，它與那些良好的鄰里條款有關。但該規則基本上說明的是，如果你願意的話，它要求上風州保持一定水平的排放，這樣他們就不會影響他們的下風州的污染問題和/或保持簡單的問題沿著這些路線.但 EPA 正在做的實際上是降低排放水平，我注意到這將影響大約 25 個州。

And that rule, as I had noted was originally issued last year for commentary, it's due to become final here before the end of this month. So it's going to become final here shortly. We don't know exactly what that final regulation is going to look like yet. But as I've mentioned in the past couple of earnings conference calls, the impacted states and related utilities, obviously, they're looking at this very, very closely. We've had a great number of inquiries over this past 12-month time frame regarding those utilities starting to plan for what might be coming their way from an emissions reduction perspective.

正如我所指出的那樣，該規則最初是去年發布的以供評論之用，它將在本月底之前在這裡成為最終版本。所以它很快就會在這裡成為最終版本。我們還不知道最終的規定會是什麼樣子。但正如我在過去幾次財報電話會議中提到的那樣，受影響的州和相關公用事業顯然正在非常非常密切地關注這一點。在過去 12 個月的時間範圍內，我們收到了大量關於這些公用事業公司開始規劃從減排角度來看可能會發生的事情的詢問。

So it's something we've been watching closely. Our potential customer base has as well. We have put together quite a few, what I would call, budgetary assessments and evaluations for the customer base. And what we're watching is specifically what comes out as the emissions requirement under this final rule. And so we're watching it closely.

所以這是我們一直在密切關注的事情。我們的潛在客戶群也有。我們已經為客戶群匯總了很多，我稱之為預算評估和評估。我們正在關注的是最終規則下的排放要求。所以我們正在密切關注它。

And so it's difficult for us to forecast what the impact of that will be in our business. But it could be something that provides us with a nice upside opportunity as we move throughout not just '23, but as we move through '23, '24, '25, '26. A lot depends on the specific emissions reductions requirement and then secondly, the time frames for compliance. So that's what we're watching here. Does that help?

因此，我們很難預測這將對我們的業務產生什麼影響。但這可能會為我們提供一個很好的上行機會，因為我們不僅在 23 年，而且在 23 年、24 年、25 年、26 年都在移動。很大程度上取決於具體的減排要求，其次是合規的時間框架。這就是我們在這裡看到的。這有幫助嗎？

Yes, yes. And then just on the DGI side, are you beginning to build a sales pipeline for this offering? Or is it a little early for that to come into play for you?

是的是的。然後在 DGI 方面，您是否開始為此產品建立銷售渠道？或者對你來說現在發揮作用有點早？

I would say it's early in terms of calling it a sales pipeline as we sit here today, Amit. We are evaluating several demonstration opportunities. As we've discussed previously, we have been working through what has been a little bit of a longer-term search process to find Bill and bring him on board. Bill comes to the table with a lot of knowledge about the end markets that we believe DGI could be successful within and a lot of relationships that could help us bring commercialization to DGI.

我會說，就我們今天坐在這里而言，將其稱為銷售渠道還為時過早，阿米特。我們正在評估幾個示範機會。正如我們之前所討論的那樣，我們一直在努力通過一些長期的搜索過程來找到 Bill 並讓他加入。 Bill 帶著很多關於我們相信 DGI 可以在其中取得成功的終端市場的知識以及可以幫助我們將 DGI 商業化的許多關係帶到談判桌前。

So as I said in my commentary, I think we're going to have a good deal more to say about DGI as we move throughout 2023. And ultimately, yes, we will be talking about a sales pipeline, but not quite yet today.

因此，正如我在評論中所說，我認為隨著我們在整個 2023 年的發展，我們將有更多關於 DGI 的話題。最終，是的，我們將談論銷售渠道，但今天還沒有。

Next question is coming from Pete Enderlin from MAZ Partners.

下一個問題來自 MAZ Partners 的 Pete Enderlin。

You mentioned improved dispatch levels in the fourth quarter for FUEL CHEM. But could you be a little more specific about when -- I mean, where those were? I mean, I don't know what the overall climate impact was. But I don't sense a real general need for increased dispatch. So where was it for you guys?

您提到第四季度 FUEL CHEM 的調度水平有所提高。但是你能不能更具體一點——我的意思是，它們在哪裡？我的意思是，我不知道整體氣候影響是什麼。但我沒有感覺到對增加派遣的真正普遍需求。那麼你們在哪裡呢？

Yes. We -- obviously, our accounts are in specific areas of the country. We have a very large account in the Midwestern U.S. We have large accounts going out to the Northwest as well, in a couple of other regions. So it really depends ultimately, it's not necessarily always weather-driven, although that's a contributor, but it really depends on that power generation that is available in that specific regional marketplace to put power on the grid and what entities are available to put that power on the grid.

是的。我們 - 顯然，我們的賬戶在該國的特定地區。我們在美國中西部有一個非常大的客戶。我們在西北地區和其他幾個地區也有大量客戶。因此，這實際上最終取決於，它不一定總是受天氣驅動，儘管這是一個貢獻者，但它實際上取決於特定區域市場中可用的發電量以向電網供電以及哪些實體可用於提供該電力在網格上。

So there are typically multiple drivers that could impact our end customers and their need to put power on the grid. So that's what we watch. And it's not always obvious, and it's not always easy to forecast as we look forward as well. But it could also be impacted on outage schedules by other competing units in that regional market space as well. So there's different drivers for how that could be impacted.

因此，通常有多個驅動因素可能會影響我們的最終客戶以及他們對電網供電的需求。這就是我們所看到的。而且它並不總是顯而易見的，而且在我們期待的時候也並不總是容易預測。但它也可能受到該區域市場空間中其他競爭單位的停電時間表的影響。因此，有不同的驅動因素可以影響它。

Could you just remind us what the total base of FUEL CHEM customers is approximately at this point? How many?

您能否提醒我們此時 FUEL CHEM 客戶的總基數大約是多少？多少？

I'd say we're working with a 5 to 10 group of solid customers within FUEL CHEM today.

我想說我們今天在 FUEL CHEM 與 5 到 10 個固定客戶合作。

Okay. And the gross margin in the APC was 35% in the fourth quarter versus 55%, and you said it will probably maybe a little better than that in the current year. But could you just give us some sense of how inflation and these references to supply chain issues plays across that business going forward?

好的。第四季度 APC 的毛利率為 55%，而第四季度為 35%，你說它可能會比今年好一點。但是，您能否讓我們了解一下通貨膨脹和這些對供應鏈問題的提及如何在未來的業務中發揮作用？

Certainly. First to comment on the gross margins that you mentioned. In 2021, our revenue level for APC was dramatically reduced. And within the APC segment itself, in addition to execution on what I would call project work, we also do ancillary services, spare parts and the like. Typically, the ancillary services are at a higher gross margin level than our typical project execution work as a general statement.

當然。首先評論你提到的毛利率。 2021 年，我們 APC 的收入水平大幅下降。在 APC 部門本身，除了執行我所說的項目工作外，我們還提供輔助服務、備件等。一般來說，輔助服務的毛利率水平高於我們一般的項目執行工作。

So as we compare the 2 years, we actually had more project execution work in 2022 than we did in 2021 as a general statement, which, call it, lower the weighted average gross margin for APC in '22. And that's the same level that we would expect to see in '23 as we sit here today. Secondarily, the gross margin does vary across the different technologies that we provide under APC as well.

因此，當我們比較這 2 年時，我們實際上在 2022 年的項目執行工作比我們在 2021 年所做的一般聲明要多，這稱為降低了 APC 在 22 年的加權平均毛利率。這與我們今天坐在這裡時期望在 23 年看到的水平相同。其次，毛利率確實因我們在 APC 下提供的不同技術而異。

Could you elaborate on that a little bit? I mean, which ones are the most profitable?

你能詳細說明一下嗎？我的意思是，哪些是最賺錢的？

I can't get into too much detail there because it ends up becoming competitive information, Pete. But all I can say is that the technologies, depending on demand in the marketplace, they do have different gross margin realization capabilities. So just emphasizing that there is product mix involved in APC, okay?

皮特，我不能在那裡透露太多細節，因為它最終會成為競爭信息。但我只能說，根據市場需求，這些技術確實具有不同的毛利率實現能力。所以只是強調 APC 涉及產品組合，好嗎？

So answering your -- the second part of your question. Fortunately, what we've received as price increases from our supply chain, we have largely been able to pass through in terms of prices to our end customers for our APC product line, okay? There are still difficulties as we hear in the news every single day from every single business, there are still issues with supply chain, particularly with electronic componentry, that being specific, but it's not only with that area. But supply chain continues to be an issue.

所以回答你的問題的第二部分。幸運的是，我們從供應鏈中獲得的價格上漲，在很大程度上能夠將價格傳遞給我們的 APC 產品線的最終客戶，好嗎？正如我們每天從每家企業的新聞中聽到的那樣，仍然存在困難，供應鏈仍然存在問題，特別是電子元件，這是具體的，但不僅僅是那個領域。但供應鏈仍然是一個問題。

While we are looking -- we have developed and are looking to continue to develop ways whereby we look to actually inventory some of the, what I would say, more recurring longer lead time parts and pieces that are part of our APC solutions. So we have those pieces on hand to the extent we can to reduce some of that lead time exposure that we would have on new projects. So that's an initiative we started in 2022, it's an initiative that we will continue in '23. We have the balance sheet to support building a little bit of inventory for those items. And from our perspective, it is a good investment to make.

在我們尋找的同時 - 我們已經開發並正在尋求繼續開發方法，我們希望通過這些方法來實際盤點一些，我會說的，更多重複出現的更長交貨時間的零件和零件，它們是我們 APC 解決方案的一部分。因此，我們手頭有這些部分，以減少我們在新項目中的一些交付週期風險。所以這是我們在 2022 年開始的一項計劃，我們將在 23 年繼續這項計劃。我們有資產負債表來支持為這些項目建立一些庫存。從我們的角度來看，這是一項很好的投資。

And when you talk about supply chain issues and inflation. Can you give us a sense of how much of your cost really relates directly to what you might call raw materials and metals basically reflecting commodity prices? Or is it much more advanced down the supply chain than that? In other words, do you pick up stuff pretty much at the beginning of the supply chain? Or is most of it later on in the channel?

當你談論供應鏈問題和通貨膨脹時。您能否告訴我們您的成本中有多少真正直接與您所謂的基本上反映商品價格的原材料和金屬相關？還是在供應鏈下游比這更先進？換句話說，你是不是在供應鏈的開始階段就開始挑選東西了？或者大部分是稍後在頻道中？

It's later on in the channel. We are specifically not dealing directly with a lot of the commodities, if you will. Some of our suppliers depending on what technology solution we are selling, we'll have to deal with that a little bit more directly. But as I noted, anything that has come our way from a price increase perspective, we've been fortunate to be able to push forward into selling prices for our technologies.

稍後在頻道中。如果您願意，我們特別不會直接處理很多商品。我們的一些供應商取決於我們銷售的技術解決方案，我們將不得不更直接地處理這個問題。但正如我所指出的，從價格上漲的角度來看，我們遇到的任何事情，我們都很幸運能夠推動我們技術的銷售價格。

Okay. And then if I can go back to the FUEL CHEM gross margins, which are obviously and always have been excellent. Is there any possibility that you could push those up further through some kind of cost reductions or engineering improvements or whatever?

好的。然後，如果我能回到 FUEL CHEM 的毛利率，這顯然而且一直非常好。您是否有可能通過某種成本降低或工程改進或其他方式進一步提高它們？

Yes. I'd say at this point in time, it's difficult to foresee improving on those margins. Pete, we're sensitive to the overall, call it, cost structure of the coal-fired unit that is trying to dispatch power into a very competitive grid. So there's not much we can do on the customer side. And internally relative to, just call it, our internal cost structure, which is, at the end of the day, it's predominantly our specialty chemical. We don't have a lot we can do on that side of the equation. In our engineering labor component for Chemtech, I would say it's not material to our total cost structure. So I don't think there is a great deal that we can do to expand those margins further as we sit here today.

是的。我想說在這個時間點，很難預見這些利潤率會有所改善。皮特，我們對試圖向競爭非常激烈的電網輸送電力的燃煤機組的整體成本結構很敏感。因此，我們在客戶方面無能為力。在內部相對於我們的內部成本結構，也就是在一天結束時，它主要是我們的特種化學品。在等式的那一邊，我們無能為力。在我們的 Chemtech 工程勞動力部分，我想說這對我們的總成本結構並不重要。所以我不認為我們今天坐在這裡可以做很多事情來進一步擴大這些利潤率。

Okay. Fair enough. And then on DGI, you say in the press release that you're hopeful of getting your first contract this year. Could you give us some sense of where that's likely to be, what area it's likely to be and what kind of application however specific you can be?

好的。很公平。然後在 DGI 上，你在新聞稿中說你有希望在今年獲得第一份合同。你能告訴我們它可能在哪裡，它可能是什麼領域以及什麼樣的應用程序，無論你有多具體？

Yes. I think at this point in time, Pete, I would defer in any specifics on that item because I think that the first opportunity could be in a variety of different areas. So I'd be remiss if I focused on something specific at this point in time. All I can say is that on the DGI front, I expect the pace to pick up dramatically once we have Bill on board starting next week. And I think that we are going to have a variety of demonstration opportunities and then ultimately, commercial sales opportunities come our way as we move down the pike a little bit.

是的。皮特，我想在這個時候我會推遲關於該項目的任何細節，因為我認為第一個機會可能出現在各種不同的領域。因此，如果我此時專注於特定的事情，那我就是失職了。我能說的是，在 DGI 方面，我預計一旦 Bill 下週開始上任，步伐就會大大加快。而且我認為我們將有各種展示機會，然後最終，隨著我們向下移動一點點，商業銷售機會就會出現。

Okay. And then you talked about these EPA rules, Clean Air and CASPER, and all that. Which kind of emissions are going to be most severely limited or affected among your different capabilities? In other words, which technologies would benefit the most? And are we talking primarily about coal-fired opportunities or oil and gas or both?

好的。然後你談到了這些 EPA 規則、Clean Air 和 CASPER，等等。在您的不同能力中，哪種排放將受到最嚴重的限製或影響？換句話說，哪些技術將受益最大？我們主要是在談論燃煤機會還是石油和天然氣，或者兩者兼而有之？

Okay. Regarding the first part of your question, we are specifically watching nitrogen oxide, emissions reduction. And that is the focus of our SNCR and SCR technology capabilities. Depending on the level of mandated emissions reduction requirement, different levels or different, call it, product mix will evolve, whether it's SNCR or SCR requirements, and it will be unit-specific as well in terms of what is going to be needed to meet the targeted requirements, okay? So that's what we're specifically focusing on there or watching nitrogen oxide emissions and the target of the emissions reductions for that, okay?

好的。關於你問題的第一部分，我們特別關注氮氧化物，減排量。這就是我們 SNCR 和 SCR 技術能力的重點。根據強制性減排要求的級別，不同級別或不同，稱之為產品組合，無論是 SNCR 還是 SCR 要求，它都將是特定於單元的，以及需要滿足什麼有針對性的要求，好嗎？所以這就是我們在那里特別關注的或觀察氮氧化物排放量和減排目標，好嗎？

And how about the question, I guess, it's primarily going to be for coal-fired plants or lot of oil and gas or not so much?

我想這個問題主要是針對燃煤電廠或大量石油和天然氣，或者不是那麼多？

Primarily. Yes. Not much at this point in time, no, but primarily, yes.

主要是。是的。在這個時間點不多，不，但主要是，是的。

All right. And then one more, and that is for Ellen, I guess, what do you expect the interest rate that you're going to get on your cash will be this year? What are you budgeting forecast?

好的。然後還有一個，那是給艾倫的，我想，你預計今年你將獲得的現金利率是多少？您的預算預測是多少？

Between 4 and 5.

在 4 到 5 之間。

Next question today is coming from George Gaspard, a private investor.

今天的下一個問題來自私人投資者喬治加斯帕德。

Can you hear me?

你能聽到我嗎？

Yes, we can. George, how are you?

我們可以。喬治，你好嗎？

Okay. Just a couple of insights looking for. On the components, Vince, that you mentioned electronic components going into your different systems. Are you -- has anyone brought up the possibility of making sure that the components on these electronic components are not coming from China?

好的。只是尋找一些見解。關於組件，Vince，你提到了進入不同系統的電子組件。你——有沒有人提出確保這些電子元件上的元件不是來自中國的可能性？

The only reason I'm bringing this up is that it looks like there's some concern about China being able to gather data on certain components that they're putting into the United States and -- electronically. And I just -- I don't know how important that is for you, but do you have any thought on this?

我提出這個問題的唯一原因是，看起來有人擔心中國能夠收集他們輸入美國的某些組件的數據，而且是電子方式。我只是——我不知道這對你有多重要，但你對此有什麼想法嗎？

Yes. Most of the components that we buy are through entities that are U.S.-based entities, but their sourcing of where they get their products, in many cases, there may be some pieces and parts that are indeed coming from China, George because that's where the great majority of supply of a lot of these components come from. I'm sensitive to your commentary. But as we sit here today, I am -- I don't sit here as being concerned about data gathering aspects that could occur or possibly occur from the components that we're using in our systems.

是的。我們購買的大部分組件都是通過位於美國的實體購買的，但是他們從他們獲得產品的地方採購，在許多情況下，可能有一些零件確實來自中國，喬治，因為那是許多這些組件的絕大部分供應來自。我對你的評論很敏感。但是當我們今天坐在這裡時，我 - 我坐在這裡並不是因為擔心我們在系統中使用的組件可能發生或可能發生的數據收集方面。

Okay. All right. My second question to you is on the DGI area. I know that you've had some comments here related to answering questions already. But it would seem, from my view, because I followed this water treatment area closely. And it would seem like you might have a very, very significant chance in California. I think they have some really dire situations out there in water treatment. And I know the opportunity that Decker brings to it, I think, would be important.

好的。好的。我要問你的第二個問題是關於 DGI 領域的。我知道您已經在這裡發表了一些與回答問題相關的評論。但在我看來，這似乎是因為我密切關注了這個水處理領域。看起來你在加利福尼亞可能有非常非常重要的機會。我認為他們在水處理方面遇到了一些非常可怕的情況。我知道 Decker 帶來的機會很重要。

But it would -- the demand is absolutely huge in terms of the California area, and that would require you, obviously, putting some equipment out there on a test basis if you can consolidate that and do it. Do you have any thoughts on this?

但它會——就加利福尼亞地區而言，需求絕對是巨大的，顯然，如果你能整合併做到這一點，就需要你在測試的基礎上放一些設備。你對此有什麼想法嗎？

Obviously, California is a market that definitely has specific water and waste water treatment needs. So it's -- as opportunities arise, George, I'm not sure that we're -- as we sit here today, we're not looking geographically for targets where we're looking more for those end markets and success in very targeted end markets that can provide us, call it, the first initial success stories that then we'll use as expansion from there. And will -- so we'll talk about end markets first, the geographies in terms of where those end market opportunities will come. That will come as, call it, as an after effect, if you will.

顯然，加利福尼亞州是一個絕對有特定水和廢水處理需求的市場。所以它 - 隨著機會的出現，喬治，我不確定我們 - 正如我們今天坐在這裡一樣，我們不是在地理上尋找目標，我們正在尋找更多的終端市場和非常有針對性的成功終端市場可以為我們提供，稱之為第一個初步的成功案例，然後我們將從那裡用作擴展。並且會 - 所以我們將首先討論終端市場，即終端市場機會所在的地理位置。如果你願意的話，那將是，稱之為後遺症。

But there's no doubt that California has its water and wastewater treatment issues, but we're seeing that water is becoming more of a focus around the globe. And hence, our interest in getting DGI out there as quickly as we can, but we need our first success stories, if you will, and then we'll move from there.

但毫無疑問，加利福尼亞存在水和廢水處理問題，但我們看到水正成為全球關注的焦點。因此，我們有興趣盡快推出 DGI，但如果您願意，我們需要第一個成功案例，然後我們將從那裡開始。

Okay. All right. And just a final comment. It looks like your company now is in a very positive position to start moving forward and bringing a lot additional revenue stream into it. And hopefully, you can make some very positive progress in 2023 and going into '24. Hopefully, that's the case. Take care.

好的。好的。最後的評論。看起來貴公司現在處於非常積極的位置，可以開始向前發展並為其帶來大量額外的收入流。希望您能在 2023 年和進入 24 年取得一些非常積極的進展。希望是這樣。小心。

We've reached end of our question-and-answer session. I'd like to turn the floor back over for any further or closing comments.

我們的問答環節已經結束。我想把發言權轉回去征求更多意見或結束意見。

Thank you, Kevin. In closing, I'd like to thank everyone that joined the call today. I'd like to thank all of our shareholders for their continued support. And lastly, another reach out and thank you to the entirety of the Fuel Tech team. 2022 was indeed a good year for our company. We are in the best financial position that we've been in since 2018 time frame. And I think directionally, we are moving -- as George just noted, we're moving in a very positive direction today. So thanks to everyone for their support, and have a good rest of the day.

謝謝你，凱文。最後，我要感謝今天加入電話會議的所有人。我要感謝所有股東的持續支持。最後，另一位伸出援手，感謝整個 Fuel Tech 團隊。 2022年對我們公司來說確實是個好年頭。我們處於自 2018 年以來的最佳財務狀況。我認為方向性的是，我們正在前進——正如喬治剛才指出的那樣，我們今天正朝著非常積極的方向前進。所以感謝大家的支持，祝大家今天休息愉快。

Thank you. That does conclude today's teleconference and webcast. You may disconnect your lines at this time, and have a wonderful day. We thank you for your participation today.

謝謝。今天的電話會議和網絡廣播到此結束。此時您可以斷開線路，度過美好的一天。感謝您今天的參與。