通用動力 (GD) 2024 Q2 法說會逐字稿

Good morning and welcome to the General Dynamics second quarter 2024 earnings conference call. All participants will be in listen-only mode. Please note this event is being recorded. (Operator Instructions)

早安，歡迎參加通用動力公司 2024 年第二季財報電話會議。所有參與者將處於僅聽模式。請注意此事件正在被記錄。 （操作員說明）

I would now like to turn the conference over to Nicole Shelton, Vice President, Investor Relations. Please go ahead.

我現在想將會議交給投資者關係副總裁妮可謝爾頓 (Nicole Shelton)。請繼續。

Thank you, operator, and good morning, everyone. Welcome to the General Dynamics second quarter 2024 conference call. Any forward-looking statements made today represent our estimates regarding the company's outlook. These estimates are subject to some risks and uncertainties.

謝謝接線員，大家早安。歡迎參加通用動力 2024 年第二季電話會議。今天發表的任何前瞻性陳述均代表我們對公司前景的估計。這些估計存在一些風險和不確定性。

Additional information regarding these factors is contained in the company's 10-K, 10-Q and 8-K filings. We will also refer to certain non-GAAP financial measures. For additional disclosures about these non-GAAP measures, including reconciliations to comparable GAAP measures, please see the slides that accompany this webcast, which are available on the Investor Relations page of our website, investorrelations.gd.com.

有關這些因素的更多資​​訊包含在該公司的 10-K、10-Q 和 8-K 文件中。我們也將參考某些非公認會計準則財務指標。有關這些非 GAAP 衡量標準的其他揭露，包括與可比較 GAAP 衡量標準的調節，請參閱本網路廣播隨附的幻燈片，這些幻燈片可在我們網站 Investorrelations.gd.com 的投資者關係頁面上找到。

On the call today are Phebe Novakovic, Chairman and Chief Executive Officer, and Kim Kuryea, Chief Financial Officer. I will now turn the call over to Phebe.

今天參加電話會議的有董事長兼執行長 Phebe Novakovic 和財務長 Kim Kuryea。我現在會把電話轉給菲比。

Thank you, Nicole. Good morning, everyone, and thanks for being with us. Earlier this morning, we reported earnings of $3.26 per diluted share on revenue of $11.98 billion, operating earnings of $1.16 billion and net income of $905 million.

謝謝你，妮可。大家早安，感謝您和我們在一起。今天早些時候，我們報告稀釋後每股收益為 3.26 美元，營收為 119.8 億美元，營業利潤為 11.6 億美元，淨利潤為 9.05 億美元。

We enjoyed revenue increases at each of our four business segments compared to the year ago quarter. Across the company, revenue increased a strong 18% with a 51% increase in our Aerospace segment and a 10% increase across our defense units, strong growth by any standards.

與去年同期相比，我們四個業務部門的營收均有所成長。整個公司的收入強勁增長了 18%，其中航空航天部門收入增長了 51%，國防部門收入增長了 10%，無論以任何標準衡量，增長都非常強勁。

Importantly, operating earnings of $1.16 billion are up almost $200 million or 20.2%, demonstrating solid operating leverage. Similarly, net earnings are up 21.6% and earnings per share up 21% over the year ago quarter. You'll note we mistreat EPS consensus by $0.02 due entirely to the slip before G700 deliveries from the last week in the quarter to the beginning of Q3.

重要的是，11.6 億美元的營業利潤成長了近 2 億美元，即 20.2%，顯示出穩健的營運槓桿。同樣，與去年同期相比，淨利潤成長了 21.6%，每股收益成長了 21%。您會注意到，我們將 EPS 共識誤判了 0.02 美元，這完全是由於從本季度最後一周到第三季度初 G700 交付之前的下滑。

One has since been delivered three are imminent. From a different perspective, the sequential comparisons are also quite favorable. Revenue is up $1.2 billion and operating earnings are up $120 million on steady margin. On a year-to-date basis, revenue of $22.7 billion is up $2.67 billion or 13.3% over last year's first half.

一架已經交付，三架即將交付。從不同的角度來看，順序比較也相當有利。營收成長 12 億美元，營業利潤成長 1.2 億美元，利潤穩定。今年迄今，營收為 227 億美元，比去年上半年成長 26.7 億美元，成長 13.3%。

Operating earnings of nearly $2.2 billion or up 15.4%, net earnings of $1.7 billion or up 15.6% despite a higher provision for income taxes. In a few minutes, our CFO, Kim Kuryea, will provide you with free cash flow for the first half and remainder of the year. Our strong continued order activity and backlog as well as some additional relevant financial information.

儘管所得稅撥備增加，營業利潤仍接近 22 億美元，成長 15.4%；淨利為 17 億美元，成長 15.6%。幾分鐘後，我們的財務長 Kim Kuryea 將為您提供今年上半年和剩餘時間的自由現金流。我們強勁的持續訂單活動和積壓以及一些其他相關的財務資訊。

But first, I will take you through each of the segments. We'll start with aerospace. Let me give you some comparative numbers that will show the front end of a tremendous growth surge for aerospace that will progress favorably throughout the year.

但首先，我將帶您了解每個部分。我們將從航空航天開始。讓我給你們一些比較數據，這些數據將顯示航空航天業巨大成長的前端，並將在全年取得良好進展。

Then I will attempt to put all of this in some reasonable perspective for you. Aerospace had revenue of $2.94 billion and operating earnings of $319 million with a 10.9% operating margin. Revenue of $987 million more than last year's second quarter, a remarkable 51% increase.

然後我會嘗試從合理的角度為您闡述所有這些內容。航空航太業營收為 29.4 億美元，營業利益為 3.19 億美元，營業利益率為 10.9%。營收比去年第二季增加了 9.87 億美元，增幅高達 51%。

The revenue increase was driven by additional new aircraft deliveries, coupled with higher service revenue. We delivered 37 aircraft, including 11 newly certified G700 in the quarter. This is for fewer than we expected to deliver, but more about that in a minute.

收入成長是由新飛機交付量增加以及服務收入增加所推動的。我們本季交付了 37 架飛機，其中包括 11 架新認證的 G700。這比我們預期交付的要少，但稍後會詳細介紹。

Operating earnings of $319 million or up $83 million, 35% over the year ago quarter. The 10.9% operating margin was 120 basis points lower than the year-ago quarter. This was driven by G700 delivery, expect carrying more than expected costs from three things: First, retrofit, second, battle station work related to the late arrival of parts, and three, the extended certification period.

營業利潤為 3.19 億美元，比去年同期成長 8,300 萬美元，成長 35%。營業利益率為 10.9%，比去年同期低 120 個基點。這是由G700交付推動的，預計超出預期的成本來自三件事：一是改裝，二是與零件遲到相關的戰站工作，三是認證期限延長。

This cost burden will affect 20 Lot 1 aircraft, which includes five test aircraft that will not deliver this year. So we are through the Lot 1 cost burden for this year within the next four deliveries. The good news is that margins on the G700 are expected to increase by 600 basis points to 700 basis points in Lot 2 and by a similar increment in Lot 3. By the time we reach Lot 3 production and deliveries, we will have reached a steady state in terms of productivity and predictability.

這項成本負擔將影響 20 架 Lot 1 飛機，其中包括今年不會交付的五架測試飛機。因此，我們將在接下來的四次交付中解決今年的第一批成本負擔。好消息是，G700 的利潤率預計將在第2 批中增加600 個基點至700 個基點，在第3 批中也有類似的增量。穩定的水平生產力和可預測性方面的狀態。

A few comments on predictability. You might recall that I told you we expected to deliver 50 to 52 G700 this year and that the deliveries would be more or less evenly divided over the last three quarters of the year. But we planned 15 for Q2 and delivered 11. So much for predictability.

關於可預測性的一些評論。您可能還記得，我告訴過您，我們預計今年將交付 50 至 52 架 G700，並且交付量將或多或少均勻分佈在今年最後三個季度。但我們為第二季度計劃了 15 個，並交付了 11 個。

We actually had the remaining four completed and ready to go. I could not get through the preflight delivery testing in time. You might be surprised to learn that each G700 is flown about 30 hours of test before delivered. Two of the plans also needed a supplemental type certificate because of a very different cabin configuration. That wasn't done by the end of the quarter.

事實上，我們已經完成了剩下的四個並準備就緒。我無法及時通過飛行前交付測試。您可能會驚訝地發現，每架 G700 在交付前都經過了約 30 小時的飛行測試。由於客艙配置截然不同，其中兩個方案還需要補充型號證明。到本季末時尚未完成。

Back to some numerical comparisons. The sequential numbers are equally impressive. Revenue is up $856 million, a strong 41% increase and operating earnings are up $64 million, about 25% affected by 130 basis points degradation in operating margins for the reasons I just mentioned a moment ago.

回到一些數字比較。連續的數字同樣令人印象深刻。營收成長了 8.56 億美元，強勁成長了 41%，營業利潤成長了 6,400 萬美元，約 25% 受到營業利潤率下降 130 個基點的影響，原因正是我剛才提到的。

You'll see much stronger operating margins in the third quarter, followed by even better operating margin and related earnings in the fourth quarter. Separately, we still expect to deliver 50 to 52 G700 this year. Look for about 16 in the third quarter and 23 to 25 in the fourth quarter.

您將在第三季看到更高的營業利潤率，然後在第四季度看到更好的營業利潤率和相關收益。另外，我們仍預計今年將交付 50 至 52 架 G700。第三節預計為 16 人左右，第四季為 23 至 25 人。

From an orders perspective, we had a respectable quarter at 0.9 to 1 book-to-bill in dollar terms. There is strong interest in the fair pipeline across the product mix. As I noted last quarter, bringing transactions to close has elongated somewhat as there is some caution while customers digest the impact of geopolitical events in general and the US presidential election in particular.

從訂單角度來看，以美元計算，我們的季度訂單出貨比為 0.9 比 1。人們對整個產品組合的公平管道有著濃厚的興趣。正如我上個季度指出的那樣，交易完成的時間有所延長，因為客戶在消化地緣政治事件，特別是美國總統大選的影響時保持了一定的謹慎態度。

United States remains our strongest market, but the EU is improving. The Middle East shows very strong potential and just very recently, we have seen some improvement in China. The interest level of buyers and the expiration of accelerated [depreciation] at the end of the year suggests a reasonably strong order intake in the second half of the year, particularly in the fourth quarter.

美國仍然是我們最強大的市場，但歐盟正在改善。中東顯示出非常強大的潛力，就在最近，我們看到中國取得了一些進步。買家的興趣程度和年底加速[折舊]到期顯示下半年訂單量相當強勁，尤其是第四季。

We are pleased to have both G700 FAA an EASA certifications behind us. The aerospace comparative revenue and earnings numbers in the quarter are very good by any reasonable standard, but still behind consensus largely attributable to deliveries that did not make it to the wire.

我們很高興獲得 G700 FAA 和 EASA 認證。從任何合理標準來看，本季度航空航天業的相對收入和盈利數據都非常好，但仍落後於共識，這主要歸因於交付未能順利完成。

In summary, the aerospace team had a very good quarter. It is handling the rapid increase in deliveries and revenue on a methodical and disciplined fashion. We look forward to a powerful second half with increasing revenue and earnings quarter over quarter as we forecasted at the end of last quarter. Moving to the defense business as a collective, we once again saw strong growth and good operating performance across the portfolio. Let me walk you through each segment in turn.

總而言之，航空航天團隊度過了一個非常好的季度。它正在以有條不紊、紀律嚴明的方式應對交付量和收入的快速增長。正如我們在上個季度末所預測的那樣，我們期待下半年的強勁成長，營收和獲利將逐季成長。轉向國防業務作為一個整體，我們再次看到整個投資組合的強勁成長和良好的營運表現。讓我依序引導您完成每個部分。

First, combat systems. Combat Systems had revenue of almost $2.3 billion, up 19% over the year ago quarter, with growth at each of the three business units. Earnings of $313 million are up almost 25%. And margins at 13.7% represented a 70 basis points increase over the Q2 last year, ensured very strong operating performance from combat system.

第一，戰鬥系統。 Combat Systems 的營收接近 23 億美元，比去年同期成長 19%，三個業務部門都成長。獲利 3.13 億美元，成長近 25%。 13.7%的利潤率比去年第二季增加了70個基點，確保了作戰系統非常強勁的營運績效。

The increased revenue came from facilities expansion and artillery work in ammo business, coupled with increases in international tank and medium wheeled vehicle sales and US Army programs of records. Each of the businesses increased earnings nicely, but particularly strong operating leverage in our international vehicle business.

收入的增加來自彈藥業務中的設施擴建和火砲工作，以及國際坦克和中型輪式車輛銷售以及美國陸軍記錄項目的增加。每項業務的獲利都取得了不錯的成長，但我們的國際汽車業務的營運槓桿尤其強勁。

On a sequential basis, revenue increased 8.8% and earnings rose 11%. Year to date, revenue of about $4.4 billion is up 19.3% and earnings of $595 million are up almost $100 million or 20%. Combat saw robust order intake with over $3.4 billion awarded in Q2, resulting in a book-to-bill of 1.5 to 1 for the quarter.

營收季增 8.8%，獲利成長 11%。今年迄今為止，營收約為 44 億美元，成長了 19.3%，獲利為 5.95 億美元，成長了近 1 億美元，即 20%。 Combat 在第二季獲得了超過 34 億美元的強勁訂單，導致該季度的訂單出貨比為 1.5 比 1。

Orders came from across the portfolio, ranging from ammunition, the main battle tank for the US Army, and wheeled vehicles for an international customer. Demand remained steady, particularly for the Abrams main battle tank and international wheeled vehicles. We expect demand for ammo to continue to rise for some time to come as we rapidly increase production of artillery shells and components. All in all, a very strong growth and performance quarter for combat systems.

訂單來自各個產品組合，從彈藥、美國陸軍的主戰坦克到國際客戶的輪式車輛。需求保持穩定，特別是對艾布拉姆斯主戰坦克和國際輪式車輛的需求。我們預計，隨著我們迅速增加砲彈和零件的產量，對彈藥的需求將在未來一段時間內繼續增長。總而言之，戰鬥系統的成長和性能季度非常強勁。

Turning to marine systems. Once again, our shipbuilding group is demonstrating strong revenue growth. Marine Systems revenue of $3.45 billion is up $394 million, almost 13% against the year-ago quarter. Columbia-class construction and engineering volume drove the growth while Virginia class DDG51 revenue also increased nicely.

轉向海洋系統。我們的造船集團再次展現強勁的營收成長。船舶系統營收為 34.5 億美元，比去年同期成長 3.94 億美元，成長近 13%。哥倫比亞級建造和工程量推動了成長，而維吉尼亞級 DDG51 收入也出現了良好成長。

Operating earnings are $245 million, up $10 million over the year ago quarter, with a 60 basis points decrease in operating margin. Margins were impacted by continued delays to EB from the submarine industrial base, partially offset by improvement in DDG51 performance above and continued steady performance at NASSCO.

營業利潤為 2.45 億美元，比去年同期增加 1,000 萬美元，營業利潤率下降 60 個基點。利潤率受到潛艦工業基地 EB 持續延遲的影響，但部分被上述 DDG51 性能的改善和 NASSCO 的持續穩定性能所抵消。

Sequentially, revenue increased 3.7% and earnings improved 5.6% in Q2, driven by volume and EB as we saw some quarter over quarter improvements supply chain deliveries to the yard and continued positive performance at NASSCO.

隨後，在銷售量和 EB 的推動下，第二季營收成長了 3.7%，獲利成長了 5.6%，因為我們看到供應鏈向船廠的交付量逐季度有所改善，並且 NASSCO 的業績持續良好。

Year to date, marine revenue of $6.8 billion is up 12.1% and earnings of $477 million are up 7%. As I noted a moment ago. Although the supply chain is improving in places, EB continues to be impacted by late deliveries from the supply chain, which both delays schedule and impacts costs.

年初至今，海運收入達 68 億美元，成長 12.1%，獲利達 4.77 億美元，成長 7%。正如我剛才指出的。儘管供應鏈在某些地方正在改善，但 EB 仍然受到供應鏈延遲交貨的影響，這既延遲了進度，也影響了成本。

Add a sequence for multi ton modules is time-consuming and expensive. Our strategy, as you know, has been to increase our productivity to somewhat offset that impact. To that end throughput, a significant measure of productivity continues to improve. Hiring is good, and attrition is lower, so all good sign.

為多噸模組添加序列既耗時又昂貴。如您所知，我們的策略是提高生產力，以在一定程度上抵消這種影響。為此，吞吐量是衡量生產力的重要指標，不斷提高。招募狀況良好，人員流失率較低，所以都是好兆頭。

In summary, we are starting to see some momentum build in our shipyards to meet the delivery and repair requirements of our customer, the US Navy. We anticipate that all of our yards are now well positioned for slow but steady incremental margin growth over time with fewer perturbations.

總之，我們開始看到我們的造船廠正在形成一些勢頭，以滿足我們的客戶美國海軍的交付和維修要求。我們預計，我們所有的船廠現在都處於有利位置，隨著時間的推移，利潤率將緩慢但穩定地增長，且幹擾較少。

Finally, technologies. The group had another good quarter with revenue of nearly $3.3 billion, up 2.5% over the year ago quarter and operating earnings of $320 million, up 13.1% on a 90 basis points improvement in margins. This nice improvement in operating performance was across both businesses.

最後是技術。該集團又迎來了一個良好的季度，收入接近 33 億美元，比去年同期增長 2.5%，營業利潤達 3.2 億美元，增長 13.1%，利潤率提高了 90 個基點。兩家公司的經營績效都取得了顯著的改善。

GDIT margins increased 40 basis points and mission systems margins were up 130 basis points as they continue to recover from supply chain impacts experienced in 2023 and before. Sequentially, revenue was up $81 million or 2.5% and operating earnings were up 8.5% on a 50 basis points improvement margin.

GDIT 利潤率成長了 40 個基點，任務系統利潤率成長了 130 個基點，因為它們繼續從 2023 年及之前經歷的供應鏈影響中恢復過來。隨後，營收成長了 8,100 萬美元，即 2.5%，營業利潤成長了 8.5%，利潤率提高了 50 個基點。

And the story is much the same for the year to date with revenue of $6.5 billion, up about 1% and operating earnings of $615 million, up 5.7% against the first six months of last year. As a result, margins for the group were up 40 basis points year to date to 9.4%.

今年迄今的情況也大致相同，營收為 65 億美元，成長約 1%，營業利潤為 6.15 億美元，比去年前六個月成長 5.7%。結果，該集團的利潤率年初至今成長了 40 個基點，達到 9.4%。

So all relevant comparisons this quarter show revenue and earnings growth and margin expansion at both businesses, positioning them well going forward, ensure GDIP is holding its industry leading margins while consistently delivering year over year growth, while mission systems is delivering nice margin expansion as it transitions from sunsetting legacy programs.

因此，本季度所有相關比較都顯示了兩家公司的收入和盈利增長以及利潤率擴張，使它們在未來保持良好的地位，確保GDIP 保持其行業領先的利潤率，同時持續實現同比增長，而任務系統則實現了良好的利潤率擴張，因為它從廢棄的遺留項目中進行過渡。

The group received $3.3 billion in orders in the quarter, bringing the total $7.2 billion for the first six months. That results in a book-to-bill for the group of 1.0 for the quarter and 1.1 for the year to date.

該集團本季收到了 33 億美元的訂單，前六個月訂單總額達到 72 億美元。結果是該集團本季的訂單出貨比為 1.0，今年迄今的訂單出貨比為 1.1。

Total awards for the group in the first half are up 30% compared with the first six months of 2023. This is on the strength of win rates, consistently around 80% for the group and capture rates at roughly 65%, both very strong for this industry.

與2023 年前6 個月相比，該團體上半年的獎金總額增加了30%。都非常強勁。

Backlog was down slightly from the end of the first quarter due to the removal of backlog associated with an international divestiture in the quarter, but was up almost $200 million from a year ago. As importantly, the qualified pipeline remains very robust at over $120 billion. So the group is well positioned to continue its growth trajectory. Let me now turn the call over to Kim.

由於本季取消了與國際資產剝離相關的積壓訂單，積壓訂單較第一季末略有下降，但較去年同期增加了近 2 億美元。同樣重要的是，合格的管道仍然非常強勁，價值超過 1200 億美元。因此，該集團處於有利地位，可以繼續其成長軌跡。現在讓我把電話轉給金。

Thank you, Phebe and good morning. I'll start with orders. We had a solid quarter from an orders perspective at $10 billion with an overall book-to-bill ratio of 0.8 to 1 for the company. This was achieved in a quarter when revenue grew 18% over last year, and there were no significant shipbuilding contracts awarded.

謝謝你，菲比，早安。我將從命令開始。從訂單角度來看，我們這個季度表現穩健，達到 100 億美元，公司整體訂單出貨比為 0.8 比 1。這是在收入比去年增長 18% 的季度實現的，並且沒有授予重大造船合約。

Aerospace had a book-to-bill of 0.9 to 1, while revenue grew over 40% sequentially with the initial deliveries of the G700. On the defense side of the business, combat systems did particularly well with a book-to-bill of 1.5 to 1 and technologies was 1 to 1.

航空航太領域的訂單出貨比為 0.9 比 1，而隨著 G700 的首次交付，營收季增了 40% 以上。在國防業務方面，作戰系統表現尤其出色，訂單出貨比為 1.5 比 1，技術為 1 比 1。

We ended the quarter with backlog of $91.3 billion, essentially even with where we were a year ago. Our total estimated contract value, which includes options in IDIQ contracts, ended the quarter at nearly $130 billion.

本季末，我們的積壓金額為 913 億美元，基本上與一年前持平。我們估計的合約總價值（包括 IDIQ 合約中的選擇權）截至本季末接近 1,300 億美元。

Turning to our cash performance for the quarter. We generated $814 million of operating cash flow. After capital expenditures our free cash flow was $613 million for the quarter, yielding a cash conversion rate of 68%. Technologies led the segments with strong cash flow generation in the quarter.

轉向我們本季的現金表現。我們產生了 8.14 億美元的營運現金流。扣除資本支出後，本季我們的自由現金流為 6.13 億美元，現金轉換率為 68%。科技公司本季現金流量強勁，在各細分市場中處於領先地位。

When you consider the free cash flow through the first half of 2024, we are slightly positive at $176 million and about $250 million ahead of what we had planned. After the planned slow start in the first half, we expect significant second-half growth with the majority of the cash generated in the fourth quarter. We are still planning a cash conversion rate around 100% for the year. So you may be wondering what's driving cash to be so backloaded this year?

當考慮到 2024 年上半年的自由現金流時，我們略為樂觀，為 1.76 億美元，比我們的計劃提前了約 2.5 億美元。在上半年計劃中的緩慢啟動之後，我們預計下半年將出現顯著增長，大部分現金將在第四季度產生。我們仍計劃今年的現金轉換率約為 100%。因此，您可能想知道是什麼原因導致今年現金如此積壓？

It's apparent from our balance sheet that we have been building up working capital in the first half of the year, which we expect to substantially unwind in the second half. One obvious driver of this is Gulfstream with the ramp up for the certification and deliveries of the G700. The plan G700 deliveries in the second half are significant, which will reduce working capital.

從我們的資產負債表中可以明顯看出，我們在上半年一直在累積營運資金，預計下半年將大幅減少。其中一個明顯的推動因素是灣流 G700 的認證和交付量不斷增加。下半年計畫交付的G700意義重大，將減少營運資金。

Another large contributor to the growth in working capital has been combat system. They have several programs of payer delivery. Thus, we are buying material in the first half of the year that results in product deliveries and cash in the second half of the year. Combat is also subject to the timing of deposits on international programs and the first half of the year has been a period of liquidating deposits received in prior periods.

營運資金成長的另一個重要貢獻者是戰鬥系統。他們有幾個付款人交付計劃。因此，我們在上半年購買材料，從而在下半年交付產品和現金。戰鬥也取決於國際項目存款的時間，上半年是清算前期收到的存款的時期。

Now turning to capital deployment. Capital expenditures were $201 million or 1.7% of sales in the quarter. Similar to last year, you should expect capital expenditures to be somewhat higher in the second half of the year and slightly above 2% of sales when the year wraps up.

現在轉向資本配置。資本支出為 2.01 億美元，佔本季銷售額的 1.7%。與去年類似，您預計今年下半年的資本支出將會增加，並在年底時略高於銷售額的 2%。

Also in the quarter, we paid $389 million in dividends and repurchased approximately 119,000 shares of stock for $34 million. Through the first half, we repurchased only a modest number of shares for a total of $139 million, driven largely by our 2024 cash profile.

同樣在本季度，我們支付了 3.89 億美元的股息，並以 3,400 萬美元的價格回購了約 119,000 股股票。上半年，我們只回購了少量股票，總金額為 1.39 億美元，這主要是由於我們 2024 年的現金狀況所致。

We ended the quarter with a cash balance of approximately $1.4 billion and a net debt position of $7.9 billion, down over $300 million from last quarter. As a reminder, we have an additional $500 million of fixed rate notes mature in fourth quarter that we plan to repay with cash on hand.

本季結束時，我們的現金餘額約為 14 億美元，淨債務部位為 79 億美元，比上季減少了 3 億多美元。提醒一下，我們還有另外 5 億美元的固定利率票據將於第四季到期，我們計劃用手頭現金償還。

Our net interest expense in the quarter was $84 million compared to $89 million last year. That brings the interest expense for the first half of the year to $166 million, down from $180 million for the same period in 2023 on lower debt balances.

本季我們的淨利息支出為 8,400 萬美元，而去年為 8,900 萬美元。由於債務餘額減少，今年上半年的利息支出從 2023 年同期的 1.8 億美元降至 1.66 億美元。

At this point, our expectation for interest expense for the year remains unchanged at approximately $320 million. Finally, the effective tax rate in the quarter was 17%, bringing the tax rate for the first half to 17.2%. This rate is a little lower than our outlook for the full year, which remains around 17.5%. For the second half of the year we expect the rate to be lower in the third quarter and then a bit higher in the fourth due to typical timing items.

目前，我們對今年利息支出的預期維持在約 3.2 億美元不變。最後，該季度的有效稅率為17%，使得上半年的稅率達到17.2%。這一比率略低於我們對全年的預期，仍保持在 17.5% 左右。今年下半年，由於典型的計時項目，我們預計第三季的利率會較低，然後第四季會稍微高一點。

Phebe, that concludes my remarks. I'll turn it back over to you.

菲比，我的發言到此結束。我會把它還給你。

All right, thanks, Kim. Let me move on to give you updated forecast for the year. The figures I'm about to give you are all compared to our January forecast, which will be posted along with today's guidance on our website.

好的，謝謝，金。讓我繼續為您提供今年的最新預測。我即將向您提供的數據都是與我們一月份的預測進行比較的，該預測將與今天的指導一起發佈在我們的網站上。

In aerospace, we are sticking with our same earnings estimates, but we'll get there with higher revenue and about a 100 basis points drop in margins for all the reasons I mentioned to you a few minutes ago. We are still holding to our delivery estimate of about 160 airplanes.

在航空航太領域，我們堅持相同的獲利預測，但由於我幾分鐘前向大家提到的所有原因，我們將實現更高的收入和約 100 個基點的利潤率下降。我們仍然維持約 160 架飛機的交付估計。

With respect to the defense businesses, combat will have revenue of about $200 million higher than previously projected as a result of continued demand. So look for total revenue, about $8.7 billion. Margin should be about the same. All in operating earnings will be up $30 million over the previous forecast.

至於國防業務，由於持續的需求，戰鬥業務的收入將比先前預期的高出約 2 億美元。因此，請查看總收入，約為 87 億美元。保證金應該差不多。全部營業利潤將比先前的預測增加 3000 萬美元。

Marine systems revenue should be up $1 billion electric boat and somewhat above. So we will have annual revenue between $13.4 million and $13.8 billion with an operating margin around 7.4% with operating earnings up around $45 million over the January forecast. For technologies, we are not changing our earlier guidance to you.

電動船海洋系統收入應增加 10 億美元，甚至更高。因此，我們的年收入將在 1,340 萬美元至 138 億美元之間，營業利潤率約為 7.4%，營業利潤比 1 月份的預測增加約 4,500 萬美元。對於技術，我們不會改變先前對您的指導。

On a company-wide basis we see annual revenue up about $2 billion with overall margins down about 30 basis points. So total revenue of $47.8 million to $48.2 billion and operating earnings up modestly. All up that indicates EPS guidance of $14.40 to $14.50, $0.05 over prior guidance.

在整個公司範圍內，我們預計年收入將增加約 20 億美元，而整體利潤率將下降約 30 個基點。因此，總收入為 4,780 萬美元至 482 億美元，營業利潤小幅成長。所有這些都表明 EPS 指導為 14.40 美元至 14.50 美元，比之前的指導高出 0.05 美元。

I will note that normally this time of year we have solid insight into revenue and margin. In this growth environment, the upside has been difficult to predict with equal clarity. Should anything materially change in Q3, I will give you another correct guidance.

我要指出的是，通常每年的這個時候我們都會對收入和利潤率有深入的了解。在這種成長環境下，上行空間很難同樣清楚地預測。如果第三季發生任何重大變化，我會給你另一個正確的指導。

That concludes my remarks and we'll be happy to take your questions.

我的發言到此結束，我們很樂意回答您的問題。

Thank you Phebe. As a reminder, we ask participants to ask one question and one follow-up so that everyone has a chance to participate. Operator, could you please remind participants how to enter the queue?

謝謝你菲比。提醒一下，我們要求參與者提出一個問題和一個後續行動，以便每個人都有機會參與。接線員，您能提醒一下參加者如何進入隊列嗎？

(Operator Instructions) David Strauss, Barclays.

（操作員說明）David Strauss，巴克萊銀行。

Morning, thanks for taking my question. See on the G700 as I understand, there are some issues that you have to fix with these pre-built airplanes. Can you just talk about what exactly the issue is, how far of the way you are through that and whether this is a still an issue in terms of airplanes that are on the line? Thanks.

早安，感謝您提出我的問題。據我了解，在 G700 上，這些預製飛機必須解決一些問題。您能談談問題到底是什麼，您已經解決了多少問題，以及對於在役飛機而言這是否仍然是一個問題？謝謝。

Sure. So very late in the certification process, we had a requirement to bind to gather some wires in the tail of the airplane. So relatively simple fix for those airplanes that we'd already built, we took the tails off for those that we were building we just didn't put them on.

當然。因此，在認證過程的最後階段，我們需要在飛機尾部綁紮一些電線。對於我們已經製造的那些飛機來說，修復相對簡單，我們把正在製造的飛機的尾翼取下來，只是沒有把它們裝上去。

So this is largely behind us and contributed to the -- a bit to the cost impact on Lot 1. But I would note that it's extremely hard to discern anything meaningful looking from the outside in here. This is, as I said, largely behind us and was pretty late in the process and not particularly difficult to do.

因此，這在很大程度上已經落後於我們，並導致了對 1 號地塊的成本影響。正如我所說，這基本上已經過去了，並且在這個過程中已經很晚了，而且並不是特別困難。

Great. And so none of these slips relate to kind of supply chain issues. It was more about just the fixing this certification issue.

偉大的。因此，這些單據都與供應鏈問題無關。更多的是關於解決這個認證問題。

Right. Thinking about the supply chain is more a question of cost then of deliveries.

正確的。考慮供應鏈更多的是成本問題，而不是交付問題。

Terrific. Thank you

了不起。謝謝

Peter Arment, Baird.

彼得·阿門特，貝爾德。

Thanks there. Good morning Phebe.

謝謝那裡。早安，菲比。

Good morning.

早安.

Yeah, it's really encouraging to hear about the 50 to 52 is still intact for the G700. Maybe you could just touch upon, I think expectations around bookings. I know you've talked about in the past about geopolitics and a lot of just -- volatility in the world. Just your thoughts on just bookings for the year. Thanks.

是的，聽到 G700 的 50 至 52 仍然完好無損，真是令人鼓舞。也許你可以談談我對預訂的期望。我知道您過去曾談論過地緣政治以及世界的許多波動。只是您對今年預訂的想法。謝謝。

So we try to give some color around that. In the remarks, I say that we typically see in any US presidential election, a slowdown around the election. And I think this won't be any different, but we do expect, as I noted in my remarks, more robust fourth quarter because we've got the expiration of the -- sorry, the depreciation and the pipeline is quite good and I gave you also some color around the geographical distribution there. So on all those quite a bit of interest in our airplanes.

所以我們嘗試給它一些色彩。我在演講中表示，在任何美國總統選舉中，我們通常會看到選舉前後的放緩。我認為這不會有任何不同，但正如我在演講中指出的那樣，我們確實預計第四季度會更加強勁，因為我們已經到期了——抱歉，折舊和管道非常好，我還為您提供了有關那裡地理分佈的一些資訊。因此，大家對我們的飛機非常感興趣。

It's great to hear. Just as a quick follow-up, just your latest thoughts on just the D400, is that still tracking to your kind of original plan?

很高興聽到。作為一個快速跟進，只是您對 D400 的最新想法，這仍然符合您最初的計劃嗎？

It is and we are to fly very soon.

是的，我們很快就會起飛。

Robert Spingarn, Melius Research.

羅伯特‧斯賓加恩 (Robert Spingarn)，Melius 研究中心。

Hey, good morning.

嗨，早安。

Morning.

早晨。

Phebe, maybe on sort of a two-parter on marine. I wanted to ask you first with the recent supplemental there was money a little over $3 billion to help support the submarine industrial base. And you did mention last time that there were a few sole-source suppliers of complex components that were causing some of the delays. So wondering if that money has gotten to them and is resolving the issue or if you had to qualify alternate sources.

菲比，也許是海軍陸戰隊的兩方。我想先問一下，最近的補充文件中有超過 30 億美元的資金來幫助支持潛艇工業基地。您上次確實提到，有一些複雜組件的獨家供應商導致了一些延誤。因此，想知道這筆錢是否已經到達他們手中並正在解決問題，或者您是否必須確定替代來源。

And then the longer-term question is, a decade ago or maybe a little bit longer, our marine was a 10% type margin business. And given the supply chain issues the impact -- the shipbuilding workforce in the aftermath of COVID. Is that a realistic target some point the future? And what might be the timing on that? Thank you.

然後更長期的問題是，十年前或更久一點，我們的船舶業務是 10% 的利潤率業務。考慮到供應鏈問題的影響—新冠疫情後的造船勞動力。這是未來某個時刻的現實目標嗎？大概的時間是什麼？謝謝。

Sure. So the -- let me take each part of your question in turn. So the Navy working quite closely with the [congress] allocated significant funding for the industrial bases you noted, that money has begun to flow and it is intended for another, and it's targeted for a number of uses.

當然。那麼，讓我依序回答你問題的每一部分。因此，海軍與[國會]密切合作，為你提到的工業基地分配了大量資金，這些資金已經開始流動，並用於其他用途，並且有多種用途。

One, increased throughput, two some facilitation, some training, increased hiring and that so, it's been really critical and we've been pushing very hard to get that money as fast as we possibly can into the supply chain to help stabilize them.

一是增加吞吐量，二是一些便利性、一些培訓、增加招聘，因此，這非常重要，我們一直在努力推動資金盡快進入供應鏈，以幫助穩定供應鏈。

We -- and let me put it to you this way. There are some supply chain providers who are improving and improving quite nicely. We still have some challenges out there that are pretty well publicized, but we're continuing to work with the US Navy on how to the extent that those can be mitigated.

我們——讓我這樣告訴你。有一些供應鏈提供者正在不斷改進和改進。我們仍然面臨一些廣為人知的挑戰，但我們正在繼續與美國海軍合作，研究如何在一定程度上緩解這些挑戰。

So we continue to see cost impacts from late deliveries of out of sequence work as I noted in my remarks, but we continue to be hopeful. We are hopeful that the additional funding that we're putting into the supply chain should help stabilize over time.

因此，正如我在演講中指出的那樣，我們繼續看到延遲交付無序工作的成本影響，但我們仍然充滿希望。我們希望，我們投入供應鏈的額外資金能夠隨著時間的推移幫助穩定。

So with respect to your 10% margin, that certainly is our goal. I see the supply chain has to stabilize. We've got to come down our learning curves on Columbia. Virginia throughput has to increase. So we will ultimately stabilize at -- in the marine group. And I will notice, by the way, I think you mentioned something about the workforce.

因此，就 10% 的利潤率而言，這當然是我們的目標。我認為供應鏈必須穩定下來。我們必須降低哥倫比亞大學的學習曲線。維吉尼亞州的吞吐量必須增加。所以我們最終將穩定在——海軍陸戰隊。順便說一句，我會注意到，我想你提到了一些關於勞動力的事情。

We have -- in the last year or so had no difficulty in hiring at our shipyards and our training program has been pretty robust. So we've got shipbuilders coming out of that training program with a higher than typical level of proficiency. Our retention is also much better.

在過去一年左右的時間裡，我們的造船廠在招募方面沒有遇到任何困難，而且我們的培訓計畫也相當健全。因此，我們的造船廠從該培訓計劃中脫穎而出，其熟練程度高於典型水平。我們的保留率也好得多。

So that gives us some confidence in the throughput and productivity capacity of the shipyards. But everything in shipbuilding is slow. So it's small incremental improvement over time. But I think 10% is a reasonable goal over time. And there's no way to estimate that with any precision not going to speculate, but it is objective.

因此，這讓我們對造船廠的吞吐量和生產力有一定的信心。但造船業的一切都很緩慢。因此，隨著時間的推移，這是一個小的漸進式改進。但我認為隨著時間的推移，10% 是一個合理的目標。沒有辦法以任何精確度來估計，而不是推測，但它是客觀的。

Thank you very much.

非常感謝。

Cai von Rumohr, TD Cowen.

蔡·馮·魯莫爾，TD·考恩。

Yes, thanks so much, Phebe.

是的，非常感謝，菲比。

Good morning.

早安.

Good morning. So the tail issue at Gulfstream, does that -- does the required rework extend beyond the first 20 units in the first block? And should we be looking for a sequential build in terms of unit deliveries so that I would assume then you have less first block impact in the third quarter than the second and even less or non in the fourth and therefore, you should see a strong lift in the margins sequentially. Is that the way to look at it?

早安.那麼灣流的尾部問題是否——所需的返工是否超出了第一個區塊的前 20 個單位？我們是否應該在單位交付方面尋找連續的構建，以便我假設第三季度的第一塊影響小於第二季度，第四季度的影響甚至更少或沒有，因此，您應該看到強勁的提升依次在頁邊空白處。是這樣看的嗎？

Yes. So which I tried to give you a lot of color that in my remarks. But with respect to the binding of some of those wired in the tail, that's largely behind us. And with respect to the margin trajectory., we've seen nice margin improvement in this quarter and then again, in the fourth quarter, think about the fourth quarter is mid to high upper-teens.

是的。因此，我試圖在我的言論中為大家帶來很多色彩。但就尾部的一些連接而言，這在很大程度上已經成為過去。就利潤率軌跡而言，我們在本季度看到了不錯的利潤率改善，然後在第四季度，想想第四季度的利潤率處於中高位。

Okay. And because of this rework, should we assume that the profitability on block two for the G700 that the sequential step-up from one to two will be somewhat bigger than one might normally look for?

好的。由於這次返工，我們是否應該假設 G700 的第二塊的盈利能力（從一到二的順序提升）將比通常所期望的要大一些？

I tried to give you that in my remarks, but this was really a Lot 1 issue.

我試圖在我的發言中向您說明這一點，但這確實是一個第一個問題。

Got it. Thank you.

知道了。謝謝。

Jason Gursky, Citi.

賈森古爾斯基，花旗銀行。

Hey, good morning, everybody. Phebe, just wanted to spend a few minutes talking about those services business at in aerospace. And just some of the trends that you're seeing there with the fleet utilization and what you're seeing in the competitive environment in that business as well.

嘿，大家早安。 Phebe，只是想花幾分鐘討論一下航空航太領域的服務業務。這只是您在車隊利用率方面看到的一些趨勢，以及您在該業務的競爭環境中看到的情況。

So on the service side, services, as we said before, will grow with the expansion of the fleet. Our objective is to get as much of the Gulfstream work possible and we've got the vast preponderance of that already.

所以在服務方面，我們之前說過，服務會隨著機隊的擴大而成長。我們的目標是盡可能完成灣流的工作，我們已經在這方面取得了巨大的優勢。

Services is growing this year. And as is, by the way, a special mission, which is driving a lot of the revenue increase this year. But we should see nice steady growth over time in the service sector and there's no will with respect to services, there's no real difference in any of the competitive environment.

今年服務業不斷成長。順便說一句，這是一項特殊使命，它推動了今年收入的大量成長。但我們應該看到服務業隨著時間的推移會出現良好的穩定成長，而且服務業沒有意願，任何競爭環境都沒有真正的差異。

Okay. Great. And then turning to technologies and maybe even a bit of your crystal ball on the pipeline and the outlook for bookings and book-to-bill there. What's the environment look like there for you all over the next 12, 18 months on the pipeline and the outlook for book-to-bill for the technologies business.

好的。偉大的。然後轉向技術，甚至可能是你的水晶球，以及那裡的預訂和預訂到賬單的前景。未來 12 個月、18 個月的發展環境以及技術業務的訂單到帳單前景如何。

So we continue to see a very active pipeline, I think the available market at the moment is over $120 billion, pretty robust. And we've been winning our fair share a little bit more than our fair share. So we believe that over time that will continue as it has in the last couple of years, drive services growth and frankly mission systems as well. So I think technology is positioned for nice, steady, slow growth, which is exactly what we have promised in the past and what we're delivering. The pretty steady.

因此，我們繼續看到非常活躍的管道，我認為目前可用的市場超過 1200 億美元，相當強勁。我們贏得的公平份額比我們的公平份額多一點。因此，我們相信，隨著時間的推移，這種情況將像過去幾年一樣繼續下去，推動服務成長，坦白說，任務系統也會成長。因此，我認為科技的定位是良好、穩定、緩慢的成長，這正是我們過去所承諾且正在兌現的。還算穩重。

George Shapiro, Shapiro Research.

喬治·夏皮羅，夏皮羅研究。

Good morning.

早安.

Hi, George.

嗨，喬治。

Phebe, I just wanted to get some clarification. You'd said that the pretty much all the costs were incorporated yet you delivered 11, 5 you said will won't be delivered until next year, but there's still 4 left to go because that's the 4 that you just delivered in the first week or so of the second of the third quarter.

菲比，我只是想得到一些澄清。你說幾乎所有的成本都已包含在內，但你交付了 11 個，你說要到明年才能交付 5 個，但還剩下 4 個，因為這是你第一周剛交付的 4 個大約第三季的第二季。

Yeah, so the Lot 1 consisted of about 20 or so airplanes. Our fiber test airplanes will deliver next year. But this year, the Lot 1 costs are going to be behind us imminently. We've delivered one of the four. I mean, I tried to give you some color on the delivery process and the other three are imminent here. So I think we're in pretty good shape on that. Is that helped you.

是的，所以第一批由大約 20 架左右的飛機組成。我們的光纖測試飛機將於明年交付。但今年，Lot 1 的成本很快就會被拋在腦後。我們已經交付了四件中的一件。我的意思是，我試圖向您提供有關交付過程的一些信息，而其他三個即將到來。所以我認為我們在這方面處於很好的狀態。這對你有幫助嗎。

Yeah, that helps. And then just a quick follow up my usual question. If I look at the gross bookings versus the net bookings from your backlog is like $171 million difference. Was that just forfeiture cancellation, currency related. Do you have any comment on that?

是的，這有幫助。然後快速跟進我通常提出的問題。如果我看一下積壓訂單中的總預訂量和淨預訂量，差異約為 1.71 億美元。這只是與貨幣相關的沒收取消嗎？你對此有何評論？

Nothing that I can put my finger on to be quite honest in the moment.

老實說，目前我還沒有什麼可以指出的。

Okay. And just one last one the.

好的。還有最後一項。

Sure.

當然。

Aftermarket growth in the quarter, it's at Gulfstream.

本季售後市場的成長來自於灣流。

Pretty good. Pretty robust in the service business, and we expect it to continue to grow the share. Just driving a lot of the revenue increase along with special mission.

不錯。服務業務相當強勁，我們預期其份額將持續成長。只是隨著特殊使命的推動，收入大幅增加。

Ken Herbert, RBC.

肯·赫伯特，加拿大皇家銀行。

Yeah, hi, Phebe, good morning.

是的，嗨，菲比，早安。

Good morning.

早安.

I wanted to see if you can make some comments on combat and specifically the outlook for bookings in Europe, Japan and other regions but also, how should we think about with the orders you're booking today, the impact on the backlog? And what extent are they accretive to segment margins or how accretive could they be as some of the more recent bookings flow into the backlog and revenues?

我想看看您是否可以就戰鬥，特別是歐洲、日本和其他地區的預訂前景發表一些評論，而且，我們應該如何考慮您今天預訂的訂單，對積壓的影響？它們在多大程度上增加了細分市場的利潤，或者隨著最近的一些預訂流入積壓訂單和收入，它們能增加多少？

So the bookings continue to reflect the threat environment, both that they were driven in the quarter, both by international vehicle orders and US ammunition and army programs of record. And I think we'll see as we've going forward, I'd say that combat systems is typically as we've talked about in the past, probably a mid-14% margin business, but it will have quarter variability, sometimes up around 15%.

因此，預訂量繼續反映了威脅環境，這都是由國際車輛訂單以及美國彈藥和陸軍計劃在本季度推動的。我想我們會看到，隨著我們的前進，我想說的是，戰鬥系統通常就像我們過去討論的那樣，可能是利潤率中等的 14% 業務，但有時會有季度波動上漲約15% 。

So it's really a question of mix in the moment, we see increased what we call sustainment think about repair and support, which tends to carry a little higher margin. And I didn't exactly ask this question, but I'll also to answer it as we move from the lower margin facilitization work to that higher margin throughput on -- that's generated like a throughput on ammunition, you'll see it, little bit of a margin expansion there.

因此，目前這確實是一個混合問題，我們看到我們所謂的維修和支援方面的維持性想法增加，這往往會帶來更高的利潤。我並沒有確切地問這個問題，但當我們從較低利潤的便利化工作轉向較高利潤的吞吐量時，我也會回答這個問題——這就像彈藥的吞吐量一樣產生，你會看到它，一點點那裡的利潤率有所擴大。

And just can you can you quantify the potential impact in the second half in the fourth quarter from the timing of some of the cash receipts on combat.

您可以根據一些戰鬥現金收入的時間來量化第四季度下半年的潛在影響。

I think we've broken out cash for you by business group, I think Kim tend to give you a fair amount of color on in third and particularly the fourth quarter of unwinding some of the pre-builds in combat with deliveries of the vehicles and materials.

我認為我們已經按業務部門為您分列了現金，我認為金傾向於在第三季度，特別是第四季度為您提供相當多的色彩，以解除一些預製項目，以應對車輛的交付和交付材料。

Doug Harned, Bernstein.

道格·哈內德，伯恩斯坦。

Good morning, thank you.

早安，謝謝。

Hi, Doug.

嗨，道格。

Hi. If we look at Gulfstream and kind of look through the current margin issues and when you get out to 2026, you should be at a point where you've got a full portfolio of maturing aircraft, commonality. And if we go back to the days, when you could get to those 18% and to 20% type margins. Is there a way to think about the progression here? They're clearly near term issues, you've got the G800 to 400 how do you see working through those the implication for margins and where you would come out when you're -- what I would say in more of a normalized mode?

你好。如果我們看看灣流，看看當前的利潤率問題，當你到 2026 年時，你應該已經擁有了成熟的飛機和通用性的完整產品組合。如果我們回到過去，你可以獲得 18% 和 20% 的利潤率。有沒有辦法思考這裡的進展？它們顯然是近期問題，您已經了解了 G800 至 400，您如何看待這些對利潤率的影響以及當您處於正常化模式時您會得出什麼結果？

I'd say there's good potential for higher margins along the lines that we had seen in the past. But exactly when at this point is hard to pinpoint, but I think we're pretty confident and I'm pleased with the long-term margin trajectory at aerospace for all the reasons that I think you quite cogently listed.

我想說，按照我們過去所看到的方式，有很大的潛力提高利潤率。但目前很難確定具體時間，但我認為我們非常有信心，並且我對航空航天業的長期利潤軌跡感到滿意，原因我認為您已經非常有說服力地列出了。

And then just changing gears. When you look at munitions, I know you're expanding capacity substantially. A lot of people look at the situation in Europe. We've got an election coming up. And when you look at the demand for munitions. If you run that out five, six, seven years, how do you see that? Because others are in rynanmetal and others are also ramping up here? How do you see that extending over time?

然後只是改變齒輪。當你查看彈藥時，​​我知道你正在大幅擴大產能。很多人都在關注歐洲的情況。我們即將舉行選舉。當你看看對彈藥的需求。如果你用五年、六年、七年，你怎麼看？因為其他人都在 rynanmetal，其他人也在這裡崛起？您如何看待這種情況隨著時間的推移而延長？

Well, it's hard to look into a crystal ball much past planning period that we've we anticipate for the next couple of years increase munitions orders as dictated by the threat environment. And we're pretty confident in that. So that's kind of how I look at it. It's awfully difficult to predict the threat environment with any kind of clarity other than pure speculation from outside the next couple of years.

嗯，很難預測已經過去很久的計畫期，我們預計未來幾年會根據威脅環境增加彈藥訂單。我們對此非常有信心。這就是我的看法。除了未來幾年外界的純粹猜測之外，很難以任何清晰的方式預測威脅環境。

I was asking because as you think about this build out, sort of what period of time are you looking at, as kind of what I was getting at in terms of growth.

我問這個問題是因為當你考慮這個建設時，你會考慮什麼時間段，就像我在成長方面所得到的。

Yeah, couple of years, I wasn't clear on that. I apologize. Yeah, I would say a couple of years of this. I would say three, four years max somewhere along those lines. And then we'll see, I think there have been some profound lessons learned from about the criticality of munitions, ammunition. So I expect those to be incorporated in a year like most land forces thinking.

是的，幾年了，我對此還不清楚。我道歉。是的，我想說幾年。我想說最多三、四年。然後我們會看到，我認為我們從彈藥的重要性中學到了一些深刻的教訓。因此，我預計這些將像大多數陸軍的想法一樣在一年內納入。

Okay. Very good. Thank you.

好的。非常好。謝謝。

Myles Walton, Wolfe Research.

邁爾斯·沃爾頓，沃爾夫研究中心。

Thanks, good morning. I was wondering Phebe, you increase the sales at Gulfstream, but no change in deliveries. Is that an ASP for a services driven higher revenue base?

謝謝，早安。我想知道菲比，你增加了灣流的銷量，但交貨量沒有改變。這是以服務驅動更高收入基礎的 A​​SP 嗎？

A couple of things including, services as I had noticed, increase in services and also an increase in special mission, which are kind of lumpy, as you know, we've talked about in the past.

包括我注意到的服務、服務的增加以及特殊任務的增加，這些都是不穩定的，正如你所知，我們過去討論過。

Okay, got it. And then to another detail question, thanks for the color on the unit improvement in margins. Are the unit quantities about 20 aircraft, similar to Lot 1? And then secondarily, when you move to the 800, the D800, should we anticipate a similar profile and profitability or do you think you'll be at higher profit sooner on the 800 out of the gates? Thanks.

好，知道了。然後是另一個細節問題，感謝單位顏色的利潤改善。單位數量約 20 架飛機，與 Lot 1 類似嗎？其次，當您轉向 800、D800 時，我們是否應該預期類似的概況和盈利能力，或者您是否認為 800 推出後您會更快獲得更高的利潤？謝謝。

Our planning purposes is the latter, but that's probably all the clarity we've got at the moment. It all depends on the certification process, but we anticipate I think and reasonably anticipate that they'll come out of the gate very strong.

我們的規劃目的是後者，但這可能是我們目前所了解的全部內容。這一切都取決於認證過程，但我們預計我認為並合理地預期它們會非常強大。

Okay. And where the Lot quantities about (inaudible)

好的。批次數量約為（聽不清楚）

Yes, typical Lot quantities.

是的，典型批量。

Scott Deuschle, Deutsche Bank.

史考特‧德施勒，德意志銀行。

Hey, good morning.

嗨，早安。

Morning.

早晨。

Phebe, can you characterize the ramp up of this new munitions facility in Texas, you opened up during the quarter. I guess are you likely to exit through value at a relatively full run rate or is the ramp more gradual from that? Thank you.

Phebe，您能描述一下您在本季開設的德州新彈藥設施的發展嗎？我猜你可能會以相對完整的運行速度通過價值退出，還是從此之後的增長更加緩慢？謝謝。

So we opened up the facility, the first line is running and producing as we anticipated, we are standing up lines three and four. So that's a material increase in the throughput at that facility. But it's a modern facility with a very strong and good workforce. So we're pretty encouraged that we will quickly come down our learning curves and produce at or above our plan.

因此，我們開放了工廠，第一條生產線正在按照我們的預期運作和生產，我們正在建立第三條和第四條生產線。因此，該設施的吞吐量大幅增加。但它是一個現代化的設施，擁有非常強大和優秀的勞動力。因此，我們感到非常鼓舞，因為我們將很快降低學習曲線並達到或高於我們的計劃。

Great. And Kim, just to clarify your earlier comments, are you expecting working capital to be a source of cash in 3Q?

偉大的。 Kim，為了澄清您先前的評論，您是否預計營運資金將成為第三季的現金來源？

Yes, but I would say that when you look at the cash profile for the rest of the year, most of that cash does come in the fourth quarter. So most of that working capital will unwind in the fourth quarter, not the third quarter.

是的，但我想說，當你查看今年剩餘時間的現金狀況時，大部分現金確實來自第四季度。因此，大部分營運資金將在第四季而不是第三季釋放。

Okay. So modestly positive in 3Q?

好的。第三季如此溫和樂觀？

Yes.

是的。

Thank you.

謝謝。

Robert Stallard, Vertical Research.

羅伯特·斯塔拉德，垂直研究。

Thanks, so much. Good morning.

非常感謝。早安.

Morning.

早晨。

Phebe, a couple of critical questions for you. First of all, from the US if the Ukraine supplemental worked zero, what sort of risks that present to GD in the future.

菲比，有幾個關鍵問題想問你。首先，美國方面如果烏克蘭的補充工作為零，未來會為GD帶來什麼樣的風險。

And then second in the UK, a change of government over here, whether there's any implications for Ajax or (inaudible) thank you.

其次是英國，這裡的政府發生了更迭，無論對阿賈克斯有什麼影響還是（聽不清楚）謝謝。

Take that in the inverse order. Don't anticipate any particular changes in Ajax vehicle is performing extremely well. The UK Army is pleased with it. So I think that's a standard piece of kit for the UK Army.

按照相反的順序。不要期望任何特定的變化，Ajax 車輛表現得非常好。英國陸軍對此感到滿意。所以我認為這是英國陸軍的標準配備。

With respect to the US I think it's, the Ukrainian supplemental certainly helped, but was not the only source of funding for munitions and frankly, the munitions demand is a reality. Independent of I think a lot of other things based on the lessons learned that most land forces, I believe, have incorporated at this point. so we expect that to continue.

就美國而言，我認為烏克蘭的補充確實有所幫助，但並不是彈藥資金的唯一來源，坦白說，彈藥需求是現實。獨立於我認為基於大多數陸軍目前已經吸取的經驗教訓的許多其他事情。所以我們預計這種情況會持續下去。

Okay. Thanks so much.

好的。非常感謝。

Seth Seifman, JPMorgan.

賽斯‧塞夫曼，摩根大通。

Good morning.

早安.

Morning.

早晨。

One quick quite a specific one on Gulfstream, the attestation work you talked about due to delayed supplier deliveries. Is that behind us now as well?

一項關於灣流的快速、非常具體的工作，您談到的由於供應商交貨延遲而進行的認證工作。現在我們也已經落後了嗎？

I'd say supply chain has improved, but it is not completely healed yet. So I suspect we'll continue to have some attestation work.

我想說供應鏈已經改善，但還沒有完全癒合。所以我懷疑我們會繼續進行一些認證工作。

Okay. And then more broadly, the comment you made at the end of the prepared remarks about potentially revisiting the guidance with the Q3 earnings. Is that because of uncertainty in any particular area or just kind of broadly across the business?

好的。然後更廣泛地說，您在準備好的評論末尾發表的有關可能重新審視第三季收益指引的評論。這是因為某個特定領域的不確定性還是整個企業普遍存在的不確定性？

I think that in this growth environment, revenue's been harder for us to predict and just the input of contract executions -- and the impact of contract executions. So that's why we'd have a little less clarity than we typically do at this point, as revenue is a bit harder for us to identify with kind of certainty that we typically can.

我認為，在這種成長環境中，我們更難預測收入，而僅預測合約執行的輸入以及合約執行的影響。因此，這就是為什麼我們現在的透明度比通常情況下要低一些，因為我們很難像通常那樣確定收入。

Okay, very good. Thanks very much.

好的，非常好。非常感謝。

Ellan Paige, Jefferies.

埃蘭·佩奇，杰弗里斯。

Good morning. Thanks for the question. Just starting on the G700, you mentioned Lot 3 was at a steady-state margin. How do we think about that relative to G650? When it was that kind of peak margin?

早安.謝謝你的提問。剛從 G700 開始，您提到 Lot 3 處於穩態利潤率。相對於 G650，我們如何看待這一點？那種利潤率高峰是什麼時候？

You know, I don't have that exact well comparison. But these are going to be very healthy margins, as you can imagine on these airplanes.

你知道，我沒有那麼精確的比較。但正如你可以在這些飛機上想像的那樣，這些利潤將是非常可觀的。

Okay, thank you. And then just moving to marine, as we think about the high growth this year? How do we think about that continuing into 2025? Or should we assume?

好的謝謝。當我們考慮今年的高成長時，然後轉向海洋？我們如何看待這種情況持續到 2025 年？或者我們應該假設？

So this is, we continue to see a strong growth profile for the marine group for the foreseeable future. In fact, for some time to come, driven by, as I noted before, a threat environment. So growth is continuing. Some years it will be a higher rate of growth than others, but it is a growth trajectory.

因此，我們在可預見的未來繼續看到海洋集團的強勁成長。事實上，正如我之前指出的，在未來一段時間內，將受到威脅環境的驅動。因此，成長仍在繼續。有些年份的成長率會高於其他年份，但這是一個成長軌跡。

Thank you. I'll leave it there.

謝謝。我會把它留在那裡。

Noah Poponak, Goldman Sachs.

諾亞·波波納克，高盛。

Hi, good morning, everyone.

嗨，大家早安。

Morning.

早晨。

Mining, Phoebe, I guess if I look at the funded backlog at Gulfstream, it's been relatively flattish over the last kind of 1 year and 1.5 year. I know you have overall good demand for the new products. But how are you thinking about matching supply to demand as you're going to ramp deliveries here? Do you have visibility that the orders will keep pace with that. Do you have any concern about taking the revenue run rate above the order rate?

菲比，採礦業，如果我看看灣流的資金積壓情況，我想，在過去的 1 年和 1.5 年中，情況相對平穩。我知道你們對新產品總體上有很好的需求。但是，當您要增加這裡的交貨量時，您如何考慮匹配供需？您是否知道訂單會跟上？您是否擔心收入運行率高於訂單率？

So I think we've got a very balanced plan through this year and the way we see -- the way we think about the market, certainly the pipeline supports that and has supported it. There's an awful lot of interest in these new airplanes. So I think we've planned accordingly. And I think as I tried to give you some color in the remarks, the pipeline remains strong and that's the best indicator of near term future growth.

因此，我認為我們今年制定了一個非常平衡的計劃，以及我們看待市場的方式，當然，管道支持這一點，並且已經支持了它。人們對這些新飛機非常感興趣。所以我認為我們已經做了相應的計劃。我認為，當我試圖在評論中給大家一些色彩時，管道仍然強勁，這是近期未來成長的最佳指標。

Okay. How far out into the future does the pipeline go in terms of your level of visibility and confidence in what the order flow will look like?

好的。就您對訂單流的可見度和信心程度而言，管道未來會發展多久？

But doesn't stand to reason that the further out you go in the future, the less your confidence, is actually I think a truism, but for what we can see we are -- we like what we see in the pipeline.

但我認為，未來走得越遠，信心就越少，這實際上是不言而喻的，但就我們所看到的而言，我們喜歡我們在管道中看到的東西。

Okay. And Kim, did you -- I apologize if I missed it. Did you provide a new free cash flow to net income conversion goal for the year? And then I guess just any comment on how to think about that next year, if there are some abnormalities this year that reverses next year.

好的。 Kim，你是嗎——如果我錯過了，我深感抱歉。您是否提供了新的年度自由現金流到淨利潤轉換目標？然後我想，如果今年出現一些異常現象，明年會出現逆轉，那麼關於如何思考明年的任何評論。

So in terms of for the year, we're still targeting the conversion rate of approaching 100%. Obviously, a lot of that cash is going to come in the fourth quarter of this year based on our profile this year. And honestly, we are still in the planning process for next year. So we're not at the point, that we're ready to give any cash flow guidance for next year.

所以就今年而言，我們的目標仍然是接近100%的轉換率。顯然，根據我們今年的情況，大量現金將在今年第四季到位。老實說，我們仍在製定明年的計畫。因此，我們還沒有準備好為明年提供任何現金流量指引。

Okay. Thank you.

好的。謝謝。

So [Audra], I think we have time for just one more question.

[奧德拉]，我想我們還有時間再問一個問題。

Matt Akers, Wells Fargo.

馬特·埃克斯，富國銀行。

Hey, good morning. Thanks for the question.

嗨，早安。謝謝你的提問。

Morning.

早晨。

There was a fire at the Camden Arkansas facility. Can you just comment if that was material at all and if that it's back on line at this time?

阿肯色州卡姆登工廠發生火災。您能否評論一下這是否重要以及此時是否已恢復上線？

well, that was a tragedy for the individual, the family and for us from a business perspective, it's a very small line.

好吧，這對個人、家庭來說都是一場悲劇，從商業角度來看，對我們來說，這是一條很小的線。

Got it. Thanks. And I guess if you could comment on the outlook at NAASCO just between repair work, I think you guys recently won those sub tender work there, just kind of how you see the outlook for that yard?

知道了。謝謝。我想如果您能在維修工作之間對 NAASCO 的前景發表評論，我想你們最近贏得了那裡的分項招標工作，您如何看待該船廠的前景？

So NAASCO learning and performance on the TAA, the oiler are going quite well for delivering the seven of the eight class ESB and repair continues to be pretty strong as the demand from the US Navy is increasing.

因此，NAASCO 在 TAA 上的學習和表現，加油船進展順利，可以交付八級 ESB 中的七艘，並且隨著美國海軍需求的增加，維修工作繼續相當強勁。

Okay. Thank you.

好的。謝謝。

Thank you, everyone, for joining our call today. As a reminder, please refer to the General Dynamics website for the second quarter earnings release and highlights presentation. If you have any additional questions I can be reached at 7038763152.

謝謝大家今天加入我們的電話會議。謹此提醒，請參閱通用動力網站以了解第二季度收益發布和亮點演示。如果您還有任何其他問題，可以撥打 7038763152 與我聯絡。

This does conclude today's conference call. Thank you for your participation. You may now disconnect.

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。