Hudson Technologies Inc (HDSN) 2025 Q3 法說會逐字稿

Good day everyone and welcome to the Hudson Technologies third quarter 2025 earnings call. (Operator Instructions) It is now my pleasure to hand the floor over to your host, Jennifer Belodeau. Ma'am, the floor is yours.

大家好，歡迎參加 Hudson Technologies 2025 年第三季財報電話會議。（操作員說明）現在，我很高興將發言權交給你們的主持人珍妮佛貝洛多。女士，請您發言。

Thank you. Good evening, and welcome to our conference call to discuss Hudson Technologies financial results for the third quarter of 2025. On the call today are Vincent Abbatecola, Hudson's Lead Independent Director; Brian Bertaux, CFO and Interim CEO; and Kate Houghton, Hudson's Senior Vice President of Sales and Marketing.

謝謝。晚上好，歡迎參加我們的電話會議，我們將討論 Hudson Technologies 2025 年第三季的財務表現。今天參加電話會議的有：Hudson 的首席獨立董事 Vincent Abbatecola；財務長兼臨時執行長 Brian Bertaux；以及 Hudson 的銷售和行銷高級副總裁 Kate Houghton。

I'll now take a moment to read the Safe Harbor statement. During the course of this conference call, we will make certain forward-looking statements. All statements that address expectations, opinions or predictions about the future are forward-looking statements.

現在我將花點時間宣讀「安全港」聲明。在本次電話會議期間，我們將發表一些前瞻性聲明。所有涉及對未來的預期、意見或預測的陳述都是前瞻性陳述。

Although they reflect our current expectations and are based on our best view of the industry and of our businesses as we see them today, they are not guarantees of future performance. Please understand that these statements involve a number of risks and assumptions, and since those elements can change and in certain cases, are not within our control, we would ask that you consider and interpret them in that light.

雖然這些預測反映了我們目前的預期，並且基於我們對產業和我們自身業務的當前最佳看法，但它們並不能保證未來的業績。請理解，這些聲明涉及許多風險和假設，由於這些因素可能會發生變化，在某些情況下，這些因素不在我們的控制範圍內，因此我們請您從這個角度考慮和解讀這些聲明。

We urge you to review Hudson's most recent Form 10-K and other subsequent SEC filings for a discussion of the principal risks and uncertainties that affect our business and our performance and of the factors that could cause our actual results to differ materially.

我們敦促您查閱 Hudson 最新的 10-K 表格和其他後續提交給美國證券交易委員會的文件，以了解影響我們業務和業績的主要風險和不確定性，以及可能導致我們實際業績與預期業績存在重大差異的因素。

With that, we will now turn the call over to Vincent Abbatecola from our Board of Directors. Please go ahead, Vincent.

接下來，我們將把電話交給董事會成員文森特·阿巴特科拉。請繼續，文森特。

Thank you, Jennifer. Good evening all, and thank you for joining us. Earlier this week, we announced that Brian Coleman has stepped down as Chairman and Chief Executive Officer of Hudson Technologies. Brian had a long and successful tenure with Hudson. And on behalf of the Board, we thank him for his dedication and contributions to our company.

謝謝你，珍妮弗。各位晚上好，感謝各位的參與。本週早些時候，我們宣布布萊恩科爾曼已卸任 Hudson Technologies 董事長兼執行長一職。布萊恩在哈德遜公司任職時間很長，而且非常成功。我謹代表董事會，感謝他對我們公司的奉獻與貢獻。

He was particularly instrumental during the difficult time after the passing of our founder, Kevin Zugibe. Brian's leadership and financial acumen allowed Hudson to further strengthen its competitive positioning while also transforming our balance sheet. We sincerely wish Brian Coleman every success in the future.

在我們創辦人凱文祖吉貝去世後的艱難時期，他發揮了尤為重要的作用。Brian 的領導能力和財務智慧使 Hudson 能夠進一步加強其競爭地位，同時改善我們的資產負債表。我們衷心祝福布萊恩·科爾曼未來一切順利。

Our company is now centered on advancing our growth strategy to focus on both organic and inorganic opportunities to build upon our strong foundation, a strategy which we believe requires alternative CEO skill sets. Our Board is in the final stage of our search to select a Chief Executive Officer candidate who will lead Hudson in the next phase of its growth, and we expect to announce an appointment in the near term.

我們公司目前專注於推動成長策略，並專注於有機成長和非有機成長機會，以鞏固我們強大的基礎。我們認為，這項策略需要具備不同技能的執行長。我們的董事會已進入執行長候選人遴選的最後階段，該候選人將帶領 Hudson 進入下一個發展階段，我們預計將在近期宣布任命。

I'll now turn this call over to Brian Bertaux, Hudson's Chief Financial Officer, who has assumed the CEO responsibilities during this interim period. The Board very much thanks Brian for filling that role. Please go ahead, Brian.

現在我將把電話轉交給哈德遜公司的財務長布萊恩貝爾托，他在此過渡時期承擔了執行長的職責。董事會非常感謝布萊恩擔任此職。請繼續，布萊恩。

Thank you, Vincent, and good evening, everybody. I am humbled to serve as Interim CFO for Hudson Technologies during this transition. I effectively served in a similar role at another point in my career, and I'm fortunate we have a great leadership team and passionate employees at Hudson. Together, we will continue to drive the company forward and increasing shareholder value.

謝謝你，文森特，大家晚上好。我很榮幸能在此次過渡期間擔任 Hudson Technologies 的臨時財務長。在職涯的另一個階段，我也曾擔任過類似的職務，我很幸運，Hudson 擁有一支優秀的領導團隊和充滿熱情的員工。我們將攜手並進，持續推動公司發展，提升股東價值。

We are very pleased with our strong third quarter results to close out our nine month refrigerant selling season. Key third quarter highlights include 20% revenue growth, 32% gross margin and a 59% increase in net income of $12.4 million.

我們對第三季強勁的業績非常滿意，這為我們為期九個月的冷媒銷售季畫下了圓滿的句點。第三季主要亮點包括：營收成長 20%，毛利率成長 32%，淨利潤成長 59% 至 1,240 萬美元。

Our third quarter revenue growth was driven by both increased sales volume and a higher average sales price of refrigerants. Additionally, we continue to expand our strategic supply chain of aftermarket refrigerants through outreach and awareness campaigns to encourage the return of used refrigerant by contractors to service cooling systems.

第三季營收成長主要得益於冷媒銷售增加和平均售價上漲。此外，我們繼續透過宣傳和意識提升活動來擴大售後冷媒的策略供應鏈，鼓勵承包商將用過的冷媒回收，用於維修冷卻系統。

We will provide a full overview of our annual growth in refrigerant reclamation during our next call when we report full year 2025 results. HFCs were approximately $8 per pound in the third quarter. When we discuss pricing, we generally focus on 410A, which represents about 70% of the total aftermarket demand for HFCs. Also, I'm extremely pleased to note that we were recently awarded the renewal of the contract to support the US Military as prime contractor with the US Defense Logistics Agency, the DLA.

我們將在下次電話會議上全面概述冷媒回收業務的年度成長情況，屆時我們將公佈 2025 年全年業績。第三季氫氟碳化合物的價格約為每磅 8 美元。當我們討論定價時，我們通常會關注 410A，它約佔 HFC 售後市場總需求的 70%。另外，我非常高興地宣布，我們最近獲得了與美國國防後勤局 (DLA) 續約的合同，繼續作為主承包商為美國軍方提供支援。

We are energized to have won the Indefinite Delivery and Quantity contract, which is valued at $210 million for the first five year base period and includes a five year renewal option. Hudson has served as prime contractor to the DLA since 2016, and we believe their selection demonstrates the strength of our partnership and our success in reliably providing critical materials to the nation's many military installations and facilities.

我們非常高興贏得了這份無限期交付和數量合同，價值 2.1 億美元，為期五年基本期，並包含五年續約選項。自 2016 年以來，Hudson 一直是 DLA 的主要承包商，我們相信選擇他們證明了我們合作夥伴關係的強大以及我們在可靠地向國家眾多軍事設施提供關鍵材料方面取得的成功。

There was tremendous effort by our team to win this competitive bid, and I, on behalf of the entire company, want to thank them for their strong execution and track record servicing the contract over the last nine years. We look forward to continue our relationship as a valued partner to the US military in the supply of refrigerants, industrial gases and equipment.

我們的團隊為贏得這項競爭激烈的投標付出了巨大的努力，我謹代表全公司感謝他們在過去九年中出色地執行合約並取得良好業績。我們期待繼續作為美國軍方的重要合作夥伴，為其提供冷媒、工業氣體和設備。

Now we want to turn to 2024 HFC market data as recently reported by the EPA. 2024 refrigerant reclamation activity for the industry grew by 19%. Hudson's reclamation grew at about the same rate. HFC inventory levels declined 18% in 2024. We expected a steeper decline in inventory as 2024 HFC production was curtailed 30% from 2023 levels through the AIM Act. So consistent with 2023, the 2024 update indicates the supply in the channel remains plentiful related to demand.

現在我們來看看美國環保署最近發布的2024年HFC市場數據。 2024年，該產業的冷媒回收活動成長了19%。哈德遜河的土地開墾速度也大致相同。2024年HFC庫存水準下降18%。我們預計庫存將出現更大幅度的下降，因為根據《AIM法案》，2024 年 HFC 產量將比 2023 年水準減少 30%。因此，與 2023 年的情況一致，2024 年的更新表明，通路供應相對於需求仍然充足。

Over time, 410A refrigerant market dominance will be taken over by lower GWP new generation refrigerants. As with other refrigerant phaseouts, 410A demand will continue for another 20 years-plus as 410A units remain in service through their useful lives. Therefore, our concern remains that an ideal supply and demand balance in the HSC refrigerant landscape may not occur until 2029, which is when the next production curtailment will occur.

隨著時間的推移，410A冷媒市場的主導地位將被全球暖化潛值較低的新一代冷媒所取代。與其他冷媒淘汰一樣，由於 410A 機組在其使用壽命內將繼續服役，因此對 410A 的需求還將持續 20 多年。因此，我們仍然擔心，HSC冷媒領域的理想供需平衡可能要到2029年才會出現，屆時將出現下一次減產。

Now I'll turn the call over to Kate Houghton, Senior Vice President of Sales and Marketing, to provide some additional detail around Hudson's market opportunity. Kate?

現在我將把電話交給銷售和行銷高級副總裁凱特霍頓，讓她詳細介紹哈德遜的市場機會。凱特？

Thank you, Brian, and good evening, everyone. We saw increased sales volume in the third quarter as temperatures warmed up across the country and cooling systems were activated in earnest. With systems turned on and in regular use, service appointments typically tick up as operating issues are identified.

謝謝你，布萊恩，大家晚上好。第三季度，隨著全國氣溫升高，冷凍系統全面投入使用，我們看到銷售量有所成長。系統開啟並正常使用後，隨著運作問題的發現，服務預約通常會增加。

Our sales activity in the third quarter largely mitigated what had been a late start to our nine month season. We executed strongly during this year's selling season, ensuring that our customers had the refrigerants they needed when and where they needed them.

第三季的銷售活動在很大程度上彌補了我們九個月銷售季開局較晚的不足。在今年的銷售旺季，我們執行力很強，確保我們的客戶在需要的時候和地點都能獲得所需的冷媒。

And we continue to make excellent progress promoting recovery and reclamation activities to the field technicians who are integral in the recovery and return process. Without field technicians recovering refrigerant from a unit, reclamation does not occur, and our continued outreach to influence technician participation is reflected in the positive growth of our reclaim numbers.

我們繼續在促進復原和復墾活動方面取得優異進展，向在復原和復墾過程中發揮關鍵作用的現場技術人員推廣復原和復墾活動。如果沒有現場技術人員從設備中回收冷媒，就無法進行回收利用，而我們不斷努力影響技術人員的參與，這體現在我們回收數量的正面成長。

The fourth quarter is historically our slowest quarter as a large portion of our customers transition from cooling applications to heating. The 2024 EPA data released in September largely aligned with our expectations and visibility of the market. While we believe the time frame to supply-demand imbalance has lengthened slightly, we remain confident that the current phase down of HFC Refrigerants represents a significant long-term growth opportunity for Hudson.

第四季歷來是我們業務最淡的季度，因為我們的大部分客戶都在從冷氣應用轉向暖氣應用。美國環保署9月發布的2024年數據與我們對市場的預期和可預見性基本一致。雖然我們認為供需失衡的時間框架略有延長，但我們仍然相信，目前 HFC 冷媒的逐步淘汰對 Hudson 而言是一個重要的長期成長機會。

Additionally, the EPA has certain proposals currently under review that would potentially make changes to the technology transition rule of the AIM Act. In a recent proposal, the EPA seeks to extend compliance dates for certain equipment transitions for applications in supermarket systems and industrial process refrigeration, amongst others.

此外，美國環保署目前正在審查一些提案，這些提案可能會對《AIM法案》的技術過渡規則進行修改。美國環保署最近提出一項提案，希望延長某些設備過渡的合規日期，這些設備應用於超市系統和工業製程製冷等領域。

The proposal includes extending the compliant dates for the move to lower GWP equipment solutions as far out as to 2032. In addition, the EPA recognizes that there may be the possibility of stranding equipment that had been manufactured prior to January 1, 2025, and is allowing for the sell-through of that manufactured equipment to continue beyond December 31, 2025.

該提案包括將過渡到低全球暖化潛勢 (GWP) 設備解決方案的合規日期延長至 2032 年。此外，美國環保署 (EPA) 意識到，在 2025 年 1 月 1 日之前生產的設備可能會出現擱淺的情況，因此允許這些已生產的設備的銷售期限延長至 2025 年 12 月 31 日之後。

The proposed rule should not materially impact Hudson and may provide a slight advantage for our business. It's also important to note that while technology transition time frame is under review, the core elements of the AIM Act, including the allowance system and refrigerant management rule, which mandates phasedown of HFCs remain in place. We are closely monitoring all developments and are in direct and frequent contact with the EPA as well as members of Congress.

擬議規則不應為 Hudson 帶來實質影響，反而可能為我們的業務帶來些許優勢。值得注意的是，雖然技術過渡時間框架正在審查中，但《AIM 法案》的核心要素，包括配額制度和冷媒管理規則（強制逐步減少 HFC 的使用），仍然有效。我們正在密切關注事態發展，並與美國環保署以及國會議員保持直接和頻繁的聯繫。

Federal regulations aside, Hudson is well positioned to capitalize on state-by-state initiatives around the use of lower GWP refrigerants and equipment. Several states have already instituted requirements for the use of reclaim refrigerant in their municipal buildings and for higher GWP HFCs and we expect more to follow.

撇開聯邦法規不談，Hudson 完全有能力利用各州圍繞使用低全球暖化潛值冷媒和設備而推出的各項措施。一些州已經規定市政建築必須使用回收冷媒，必須使用全球暖化潛值更高的氫氟碳化合物，我們預計會有更多州效仿。

We remain committed to increasing our position as a thought leader and vocal promoter of responsible refrigerant management. And in early September, we sponsored a panel discussion as part of Climate Week NYC entitled Reclaiming the Future Together, Power on the Growth of Refrigerant Reclamation.

我們將繼續致力於提升我們在負責任的冷媒管理領域作為思想領袖和積極倡導者的地位。9 月初，我們贊助了一場小組討論，作為紐約氣候週的一部分，主題是「攜手重塑未來，推動冷媒回收的發展」。

During this event, we brought together a distinguished group of industry experts, including representatives from HARDI, the District of Columbia Sustainable Energy Utility, from Lennox International and from Rocky Mountain Institute to discuss the economic benefits and the environmental importance of refrigerant reclamation.

在本次活動中，我們匯集了一群傑出的產業專家，包括來自 HARDI、哥倫比亞特區永續能源公用事業公司、倫諾克斯國際公司和洛磯山研究所的代表，共同探討冷媒回收的經濟效益和環境重要性。

At this event, we discussed the first of its kind DC SEU refrigerant recovery pilot, which focuses on greenhouse gas emission reduction. We remain committed to developing partnerships such as with the DC SEU to reach all corners of the refrigerant recovery market.

在本次活動中，我們討論了第一個以減少溫室氣體排放為重點的 DC SEU 冷媒回收試點計畫。我們將繼續致力於發展合作夥伴關係，例如與 DC SEU 的合作，以涵蓋冷媒回收市場的各個角落。

In addition to events like Climate Week, we remain active working with refrigeration technicians and contractors to encourage the recovery and return of refrigerants during the processing of servicing a cooling system rather than the practice of venting refrigerant.

除了氣候週等活動外，我們還積極與冷凍技術人員和承包商合作，鼓勵在維修冷凍系統的過程中回收和返還冷媒，而不是排放冷媒。

With the increase in 2024 reclamation activity in the industry as tracked by the EPA as well as the consistent growth we've seen in our company's reclamation business, we believe our efforts are driving meaningful progress.

根據美國環保署 (EPA) 的追蹤數據，2024 年該產業的土地復墾活動有所增加，加上我們公司土地復墾業務的持續成長，我們相信我們的努力正在推動有意義的進展。

Our extensive long-standing customer network, proprietary technology and national footprint position us well as a source for newly manufactured refrigerants as new lower GWP products are introduced and also as a resource for recovery and reclamation activity.

我們擁有廣泛的長期客戶網路、專有技術和全國性佈局，這使我們能夠很好地成為新生產的冷媒的來源，因為新的低全球暖化潛值 (GWP) 產品不斷推出，同時我們也是回收和再生活動的資源。

We believe our strength in all aspects of refrigerant supply as well as recovery, reclamation and sophisticated field service is a competitive advantage as we look to expand existing customer relationships and win new customers while also ensuring a smooth transition during the ongoing and future refrigerant phase down.

我們相信，我們在冷媒供應、回收、再生和先進的現場服務等各個方面的優勢，是我們拓展現有客戶關係、贏得新客戶以及確保在當前和未來冷媒逐步淘汰過程中平穩過渡的競爭優勢。

Now I'll turn the call back to Brian to review our third quarter financial results. Go ahead, Brian.

現在我將把電話轉回給布萊恩，讓他回顧我們第三季的財務表現。請繼續，布萊恩。

Thank you, Kate. I'll now review our third quarter 2025 financial results in a little more detail with a comparison to the 2024 quarter. Hudson recorded $74 million in revenue, an increase of 20%. Revenue growth in the quarter was driven by increased sales volume, coupled with an increase in our average sales price. We posted 32% gross margin, reflecting a 630 basis point increase in 2024 with the improvement related to favorable trends in refrigerant market pricing.

謝謝你，凱特。接下來，我將更詳細地回顧我們 2025 年第三季的財務業績，並與 2024 年第三季進行比較。Hudson公司營收達7,400萬美元，成長20%。本季營收成長主要得益於銷售增加以及平均售價上漲。我們公佈的毛利率為 32%，預計到 2024 年將成長 630 個基點，這得益於冷媒市場價格的有利趨勢。

Gross profit at $23.7 million improved significantly as compared to $15.9 million in the 2024 quarter. We recorded $8.9 million in SG&A expenses compared to $8.1 million last year. The increase is related to staffing additions. With that, operating income essentially doubled to $14 million. We recognized $1.6 million and $2.3 million of favorable other income in the 2025 and 2024 quarters, respectively.

毛利為 2,370 萬美元，較 2024 年同期的 1,590 萬美元大幅成長。我們錄得銷售、管理及行政費用890萬美元，去年同期為810萬美元。此次成長與人員增加有關。這樣一來，營業收入幾乎翻了一番，達到 1,400 萬美元。我們在 2025 年和 2024 年季度分別確認了 160 萬美元和 230 萬美元的其他有利收入。

The 2025 other income related to a potential earn-out from last year's acquisition of USA Refrigerant that did not materialize. The 2024 other income was primarily related to a favorable legal settlement. Hudson recorded net income of $12.4 million or $0.27 per share compared to net income of $7.8 million or $0.17 per share last year. Our third quarter revenue performance essentially offset what was a late start to this year's selling season. With that, we finished the nine months of 2025 with nearly the same revenue as 2024.

2025 年的其他收入與去年收購 USA Refrigerant 的潛在獲利支付有關，但該獲利支付並未實現。2024 年的其他收入主要與一項有利的法律​​和解有關。Hudson公司錄得淨利1,240萬美元，即每股0.27美元，去年同期淨利為780萬美元，即每股0.17美元。第三季營收表現基本上彌補了今年銷售旺季開始較晚的不足。如此一來，2025 年頭九個月的營收與 2024 年的營收幾乎持平。

The company strengthened its unlevered balance sheet, ending the quarter with $90 million in cash. Our capital allocation strategy remains focused on organic and strategic growth as well as opportunistic share repurchases. We repurchased $1.3 million of stock in the third quarter, bringing our total purchases to $5.8 million thus far in 2025.

該公司增強了其無槓桿資產負債表，季度末現金餘額為 9,000 萬美元。我們的資本配置策略仍著重於內生成長和策略成長，以及機會性股票回購。我們在第三季回購了價值 130 萬美元的股票，使我們在 2025 年迄今的總回購額達到 580 萬美元。

We are pleased to have delivered improved third quarter gross margin. However, as many of you know, our fourth quarter is our seasonally slowest quarter as the majority of our aftermarket customers transition from cooling to heating applications. With that in mind, we are maintaining our expectation of slightly above mid-20% gross margin for full year 2025.

我們很高興第三季毛利率有所提高。然而，正如你們許多人所知，第四季度是我們季節性最淡的季度，因為我們的大多數售後市場客戶都會從製冷應用過渡到供暖應用。考慮到這一點，我們維持對 2025 年全年毛利率略高於 20% 的預期。

In closing, we have built our business and long-standing customer base around our capabilities of getting the right refrigerant to the right place, at the right time. As our industry continues to move through the lower GWP refrigerant phase downs, we are all well positioned to meet demand for current and next-generation refrigerants, leveraging our industry experience, proprietary technology and proven distribution network to ensure reliable customer service and satisfaction.

最後，我們憑藉在正確的時間將正確的冷媒送到正確的地點的能力，建立了我們的業務和長期的客戶群。隨著我們行業繼續逐步淘汰低全球暖化潛值冷媒，我們憑藉行業經驗、專有技術和成熟的分銷網絡，已做好充分準備，滿足當前和下一代冷媒的需求，確保可靠的客戶服務和客戶滿意度。

Operator, we'll now open the call to questions.

接線員，現在開始接受提問。

(Operator Instructions) Gerry Sweeney, Roth Capital.

（操作說明）Gerry Sweeney，Roth Capital。

Good afternoon, everyone. Thanks for taking my call.

大家下午好。謝謝您接聽我的電話。

Hi Jerry.

嗨，傑瑞。

This one may be for Vincent. I apologize. I think I got Vincent right. And when you said you're in the final stages of looking for a new CEO, and I think you also mentioned alternative skills. Just curious if you could give us a little bit more details on what alternative skill sets may mean?

這件東西可能是給文森的。我道歉。我覺得我把文森的名字記對了。你說你正在尋找新的首席執行官，而且我認為你也提到了其他技能。我只是想問一下，您能否更詳細地解釋一下「替代技能組合」可能意味著什麼？

I'm assuming this is at least someone with some more acquisition experience, but I'm also curious if this infers maybe a different sales strategy or different reclaim strategy as well?

我假設這個人至少有一些收購經驗，但我也很好奇這是否意味著他會採取不同的銷售策略或不同的客戶挽回策略？

Jerry, this is Eric. I'll take that question. Really, what we're looking for, and I think you're hitting the nail on the head here is probably someone with a larger company background that both has experience with acquisitions, but also a lot of skills around organic growth of companies that have much larger lines than, say, just refrigerant reclamation and recycling that might have some insight into other complementary areas that we might be able to expand into like expanding our services offerings, et cetera.

傑瑞，這是艾瑞克。我來回答這個問題。實際上，我們正​​在尋找的人，我認為你一語中的，可能是擁有大型公司背景的人，既有收購經驗，也有豐富的公司有機增長技能，這些公司的業務範圍遠不止製冷劑回收和再利用，他們可能對其他互補領域有一些見解，我們可以擴展到這些領域，例如擴展我們的服務產品等等。

Got you. That's fair. I appreciate it. And then this maybe for Brian. We always do a series of channel checks and we have some pretty good ones, I believe. And our indications and talks with our contacts alluded to, maybe HFC pricing seeing a bump because of issues with the HFO rollout, availability of gas, canisters, et cetera, and some of the pricing that we saw -- pricing increases that we saw this summer may be transitory.

抓到你了。這很合理。謝謝。這或許是給布萊恩的。我們總是會進行一系列的頻道檢查，而且我認為我們的一些頻道檢查效果相當不錯。我們與聯絡人的談話和跡象表明，由於 HFO 的推廣、天然氣、氣罐等供應問題，HFC 價格可能會上漲，而我們今年夏天看到的一些價格上漲可能是暫時的。

Our checks indicate that HFC prices are down around $6.50 per pound. Just curious as to what your thoughts are for next year with, we have a stockpile, maybe some of those HFO headwinds abate, where potentially pricing could be?

我們的調查顯示，HFC價格已降至每磅6.50美元左右。我只是好奇您對明年市場有何看法，假設我們有庫存，也許高純度燃油的一些不利因素會有所緩解，那麼價格可能會達到什麼水平？

I would say your channel checks seem very accurate. And right now, we would expect that perhaps pricing for next year, just say, on the average for the whole year would be consistent with this year on the average for the whole year. But as we all know, that's just -- it's something that we would expect to happen. But in a volatile market, it's uncertain now.

我認為你的頻道檢查結果非常準確。目前，我們預計明年全年的平均價格將與今年全年的平均價格保持一致。但我們都知道，這只是——這是我們預料中會發生的事情。但在動盪的市場中，現在情況尚不明朗。

No, that's fair. And we don't have a crystal ball. So I just want to get your thoughts on that. So got it. And I'll jump back in queue. I may have a question or two more, but I don't want to get much of your time. So thank you.

不，這很合理。我們又沒有水晶球。所以我想聽聽你對此的看法。明白了。那我再重新排隊。我可能還有一兩個問題，但不想佔用您太多時間。所以，謝謝你。

Ryan Sigdahl, Craig-Hallam.

Ryan Sigdahl，Craig-Hallam。

Hey good afternoon guys.

嘿，各位下午好。

Good afternoon, how are you doing?

下午好，你好嗎？

Good. Thanks. On the EPA data, similar thoughts as you guys kind of implies slightly lower demand, slightly higher supply. You mentioned potentially not being at an imbalance until 2029 or after. Curious how much that changes potentially the strategy from a core organic Hudson standpoint over the next couple of years and also maybe an M&A standpoint and if that had anything to do with kind of the timing for a change at CEO?

好的。謝謝。根據美國環保署的數據，和你們的想法類似，這似乎顯示需求略有下降，供應略有上升。你提到可能要到 2029 年或之後才會出現失衡。很好奇這會在未來幾年內對 Hudson 的核心有機成長策略產生多大影響，以及對併購策略可能產生多大影響，這是否與 CEO 更迭的時機有關？

Yeah, Ryan, I can take a crack at that. I think you're right. I mean we do see the same things in the market that other people see. I think beyond just us guessing where gas prices are, I think we know as a company, we need to reduce our overall exposure to the ups and downs of the gas market. And we're likely to do that through both organic expansions, but also likely through M&A and acquiring complementary lines that aren't necessarily completely tied to refrigerant gas prices.

是的，瑞恩，我可以試試看。我覺得你說得對。我的意思是，我們在市場上看到的東西和其他人看到的東西都是一樣的。我認為，除了猜測汽油價格走勢之外，我們公司也應該意識到，我們需要降低自身對汽油市場波動的整體風險敞口。我們可能會透過自身發展來實現這一目標，但也可能透過併購和收購與冷媒氣體價格不一定完全相關的互補產品線來實現這一目標。

Yes. DLA, congrats on the competitive renewal there. Any change from an assumption standpoint? I get kind of the upper bounds, but it had been running at the $30 million to $35 million of revenue. Is that still the right assumption? And then anything different with this contract? And then kind of last part of this would be government shutdown. Any impact there, I guess, in the near term?

是的。DLA，恭喜你們成功續約。從假設的角度來看，有任何變化嗎？我大致了解上限情況，但它的收入一直維持在 3,000 萬到 3,500 萬美元之間。這種假設現在仍然正確嗎？那麼這份合約有什麼不同之處嗎？最後一部分就是政府停擺。我想，短期內會有什麼影響嗎？

Yeah. So we are very pleased to have won that. I would tell you that over time, you'd expect it to be consistent with where it has been. Yes, the government shutdown is having some near-term volatility. So we've seen a little bit of an impact of that in the fourth quarter. Hopefully, it's just timing. But overall, when we think about the contract, it's consistent with the current contract.

是的。所以我們很高興贏得了這場比賽。我會告訴你，隨著時間的推移，你會期望它與之前的狀態保持一致。是的，政府停擺確實造成了一些短期波動。所以我們在第四季已經看到了一些影響。希望只是時機問題。但總的來說，當我們考慮這份合約時，它與現行合約是一致的。

Last one for me. Any benefit from selling A2Ls, both either from a volume revenue, but even more so kind of in the pricing commentary?

這是我最後一個了。銷售 A2L 產品有什麼好處嗎？無論是銷售收入，還是定價方面的考量？

Yeah. So this year saw the rollout of both R-32 and R-454B, and we were well positioned there. We had a good supply chain even through the shortages of the crisis, and we had a lot of activity there. We were able to service our core customers, take care of them and also see that follow through with some of our other HFCs. So we were pleased how we navigated that this year, and we're very well set up for going into 2026 relative to A2Ls.

是的。今年R-32和R-454B都推出了，而我們在這方面佔據了有利地位。即使在危機期間物資短缺，我們的供應鏈也保持良好，而且我們在這方面開展了許多業務。我們能夠服務好核心客戶，照顧好他們，也看到了這種服務對我們其他一些HFC客戶的後續跟進。所以，我們對今年應對這種情況的方式感到滿意，而且相對於 A2L 而言，我們已經為進入 2026 年做好了非常充分的準備。

And maybe just a follow-up on that. Do you expect the A2Ls to be kind of a core part of the go-forward business? Or was it more of a stop gap given supply chain challenges for others?

或許可以就此做個後續說明。您是否認為A2L將成為未來業務的核心組成部分？或者，這只是針對其他公司面臨的供應鏈挑戰而採取的權宜之計？

So certainly, as you look forward, A2L systems will start to become more of an impact for us and more of a larger part of our business. The HFCs, the 410As, the 134, that installation base is very dominant, and we'll continue to be in that space for a long time as those systems need repair and before they phase out. But you'll see that the A2L start to grow in terms of percentage and importance for us as we move forward. And certainly, again, we expect growth in that part of our business next year.

因此，展望未來，A2L 系統肯定會對我們產生更大的影響，並成為我們業務中越來越重要的組成部分。HFC、410A、134 等型號的安裝基礎非常強大，我們將長期處於這一領域，因為這些系統需要維修，而且在它們被淘汰之前，我們將繼續在這個領域深耕。但你會發現，隨著我們不斷前進，A2L 的佔比和重要性都會開始成長。當然，我們預計明年這部分業務將繼續成長。

Great. Thanks, guys. Good luck.

偉大的。謝謝各位。祝你好運。

Thanks.

謝謝。

Thanks.

謝謝。

Matthew Maus, B. Riley.

馬修·莫斯，B·萊利。

Hi, this is Matthew on for Josh. Thanks for taking my questions. I guess just first on the 3Q beat, can you break down what drove that beat? Was it more volume or just better pricing or mix? And also, how did the USA refrigerants kind of track in 3Q?

大家好，我是馬修，替喬許報道。謝謝您回答我的問題。我想先說說第三季的節拍，你能分析一下是什麼因素促成了這一節拍嗎？是銷售成長，還是定價或產品組合優化？另外，美國冷媒在第三季的表現如何？

It was more volume driven. So it was about 18% volume and a couple of points higher pricing. And USA refrigerants really had the same contribution as it's had throughout the year. So nothing notable with regards to USA refrigerant.

銷量是主要驅動因素。所以銷量成長了約 18%，價格上漲了幾個百分點。美國冷媒的貢獻與全年其他時間一樣。所以，就美國冷媒而言，沒有什麼特別值得注意的地方。

But again, what we've really gained from USA refrigerant is having access to that aftermarket supply of refrigerants. So they're growing our base of lower-cost aftermarket refrigerants as compared to buying virgin refrigerants.

但話說回來，我們從美國冷媒中真正獲得的，是能夠獲得售後市場的冷媒供應。因此，與購買全新冷媒相比，他們正在擴大我們低成本售後冷媒的市場基礎。

Got it. And just another quick one for me. I guess when looking at the inventory, I thought it was -- you guys hit a normalized level in the past two quarters and then there was a sequential build in 3Q. I'm just wondering what the thought process was there or the reasoning?

知道了。再給我快速回答一個問題。我看了庫存情況後覺得——你們在過去兩個季度達到了正常水平，然後在第三季度出現了連續增長。我只是想知道當時的思考過程或理由是什麼？

That's just where -- we want to make sure that we're at a point to adequately serve the market next year. So I would say that last year's cash flow was very much significantly impacted by our inventory reduction. Now you're seeing in 2025, really a normalized working capital structure for us, but we're very pleased that we had $25 million of operating cash flow, and that's at a normalized working capital structure. So we're generating very strong cash flow just mostly through operating income.

正因如此，我們希望確保明年我們能充分滿足市場需求。所以我認為，去年的現金流受到了庫存減少的顯著影響。現在，在 2025 年，我們看到的是一個真正正常的營運資本結構，但我們很高興我們擁有 2,500 萬美元的營運現金流，而這還是在正常的營運資本結構下。因此，我們主要透過營業收入產生了非常強勁的現金流。

Got it. Great. That was it for me. Thank you.

知道了。偉大的。對我來說，一切都就此結束了。謝謝。

(Operator Instructions) Andrew Steinhardt, Canaccord.

（操作說明）Andrew Steinhardt，Canaccord。

Hi, Brian, Eric, Eric, Kate and the rest of the team, this is Andrew, on for Austin. Congrats on the solid quarter here.

嗨，布萊恩、艾瑞克、艾瑞克、凱特以及團隊其他成員，我是安德魯，為您帶來奧斯汀的報導。恭喜你們本季業績穩健。

Thank you.

謝謝。

I'll jump right into my first question. You guys have almost $90 million in cash with no debt on the balance sheet and have made the interest in growing inorganically pretty clear. Would the intent be to acquire a business that can reduce the seasonal impact to revenues?

我直接切入我的第一個問題。你們手頭上有近 9000 萬美元現金，資產負債表上沒有任何債務，而且已經非常明確地表達了透過非內生增長實現增長的意願。收購的目的是為了減少季節性因素對收入的影響嗎？

And I guess, what kind of specific capabilities, markets or businesses in general do you think add the most value to the company with its current footprint?

那麼，您認為以公司目前的業務規模，哪些具體能力、市場或業務能夠為公司創造最大價值呢？

Yes. So that's a great question. We've talked about areas that we investigate M&A on previous calls. Certainly, large interest in service businesses and thinking about being closer aligned to those end user customers, whether that's aligned with our current field services and expansion of that complementary areas, maybe some areas that we haven't been in.

是的。這是一個很好的問題。我們在之前的電話會議中討論過我們調查併購領域的一些問題。當然，我們對服務型企業非常感興趣，並且正在考慮如何更緊密地與最終用戶客戶建立聯繫，無論這是否與我們目前的現場服務以及互補領域的擴展相一致，也許還會涉及一些我們尚未涉足的領域。

But thinking about all of the things that go into HVAC cooling systems and adjacent spaces is where we're spending a lot of time and really looking at what's available and turning over some rocks to go into that. We have looked at other reclaimers, and so there are some other opportunities there potentially, but we really are focusing on that service area for our interest in acquisition.

但是，我們正在花大量時間思考暖通空調冷卻系統和相鄰空間的所有組成部分，並認真研究有哪些可用資源，並為此進行深入研究。我們也考察過其他回收商，所以那裡可能還有一些其他的機會，但我們目前確實將收購重點放在了該服務領域。

Got it. That's helpful. And if I could just ask a follow-up kind of in a different direction here. volumes were pretty solid through the first nine months of the year. Are there any plans to utilize a portion of the $90 million to add distribution centers based on current demand considering the satisfactory number of reclamation labs?

知道了。那很有幫助。如果可以的話，我想問一個稍微不同的後續問題。今年前九個月的銷量相當穩定。考慮到目前回收實驗室的數量令人滿意，是否有計劃利用9000萬美元中的一部分，根據當前需求增設配送中心？

No. We're not going to speak to that in detail. But again, we are looking to optimize the $90 million strategic initiatives, acquisitions. So perhaps that may be on the list, but we're not going to go into any detail.

不。我們不會詳細討論這個問題。但是，我們再次強調，我們正在尋求優化9000萬美元的策略性舉措和收購項目。所以這或許會在名單上，但我們不會深入探討任何細節。

Understood. Thank you. I'll hop back in the queue.

明白了。謝謝。我重新排隊。

Thank you. That concludes our Q&A session. I'll now hand the conference back to Brian Bertaux for closing remarks. Please go ahead.

謝謝。我們的問答環節到此結束。現在我將把會議交還給布萊恩·貝爾托，請他作閉幕致詞。請繼續。

Thank you. Our company's success is a result of the collective efforts of our 250 employees with contributions from everybody in this building, in our facilities across the country and those out in the field. Our team has consistently proved that they will always vigorously pursue the best in themselves and their departments for the benefit of our customers, our partners and the company.

謝謝。我們公司的成功是250名員工共同努力的結果，這離不開我們大樓裡的每一位員工、我們遍布全國的工廠的每一位員工以及在外地工作的每一位員工的貢獻。我們的團隊一貫證明，他們將始終積極追求自身及部門的最佳表現，以造福我們的客戶、合作夥伴和公司。

We remain committed to growing our leadership position in the refrigerant and reclamation industry to drive improved financial results and increase shareholder value. On behalf of Kate, myself and the Board of Directors, we say thank you to all of our employees for your continued support and dedication to our business.

我們將繼續致力於鞏固我們在冷媒和回收行業的領先地位，以推動財務績效的改善並提高股東價值。我謹代表凱特、我自己和董事會，感謝所有員工對我們業務的持續支持和奉獻。

And as always, we also thank both our long and short-term shareholders and those that recently joined us for their support. We look forward to speaking with you in March to discuss the fourth quarter and our full year 2025 results. Have a good night, everybody.

一如既往，我們也要感謝我們的長期和短期股東以及最近加入我們的股東們的支持。我們期待在三月與您會面，討論第四季和2025年全年業績。祝大家晚安。

Thank you, everyone, this concludes today's event. You may disconnect at this time, and have a wonderful day. Thank you for your participation.

謝謝大家，今天的活動到此結束。您可以暫時斷開連接，祝您有美好的一天。感謝您的參與。