Hillenbrand Inc (HI) 2023 Q2 法說會逐字稿

Greetings. Welcome to Hillenbrand's Second Quarter Fiscal Year 2023 Earnings Call. (Operator Instructions) The question-and-answer session will follow the formal presentation. (Operator Instructions) Please note, this conference is being recorded. At this time, I'll turn the conference over to Sam Mynsberge, Vice President, Investor Relations. Sam, you may now begin.

問候。歡迎來到 Hillenbrand 2023 財年第二季度財報電話會議。 （操作員說明）問答環節將在正式介紹之後進行。 （操作員說明）請注意，正在錄製此會議。此時，我會將會議轉交給投資者關係副總裁 Sam Mynsberge。山姆，你現在可以開始了。

Thank you, operator, and good morning, everyone. Welcome to Hillenbrand's conference call for our fiscal second quarter of 2023. I'm joined by our President and CEO, Kim Ryan; and our Senior Vice President and CFO, Bob VanHimbergen. I'd like to direct your attention to the supplemental slides posted on our IR website that will be referenced on today's call. As a reminder, the divested Batesville segment is classified as discontinued operations for all periods presented, and our commentary will be based on the performance of our continuing operations.

謝謝接線員，大家早上好。歡迎來到 Hillenbrand 的 2023 財年第二季度電話會議。我們的總裁兼首席執行官 Kim Ryan 也加入了我的行列；以及我們的高級副總裁兼首席財務官 Bob VanHimbergen。我想請您注意我們 IR 網站上發布的補充幻燈片，今天的電話會議將引用這些幻燈片。提醒一下，被剝離的 Batesville 部門在所列所有期間都被歸類為已終止經營業務，我們的評論將基於我們持續經營業務的表現。

Turning to Slide 3. I'll remind you that our comments may contain certain forward-looking statements that are subject to the safe harbor provisions of the securities laws. These statements are not guarantees of future performance, and our actual results could differ materially. Also during the course of this call, we will be discussing certain non-GAAP operating performance measures, including organic comparisons for our segments, which exclude the impact of acquisitions, divestitures and foreign currency exchange.

轉到幻燈片 3。我會提醒您，我們的評論可能包含某些受證券法安全港條款約束的前瞻性陳述。這些陳述不是未來業績的保證，我們的實際結果可能存在重大差異。同樣在本次電話會議期間，我們將討論某些非 GAAP 運營績效指標，包括我們部門的有機比較，其中不包括收購、資產剝離和外匯兌換的影響。

I encourage you to review the appendix in Slide 3 of the presentation as well as our 10-Q, which can be found on our website for a deeper discussion of non-GAAP information, forward-looking statements and the risk factors that could impact our actual results. With that, I'll now turn the call over to Kim. Kim?

我鼓勵您查看演示文稿幻燈片 3 中的附錄以及我們的 10-Q，它們可以在我們的網站上找到，以深入討論非 GAAP 信息、前瞻性陳述和可能影響我們的風險因素實際結果。有了這個，我現在把電話轉給金。金？

Thank you, Sam, and good morning, everyone. Thank you for joining us today. With the previously announced completion of our Batesville divestiture in February, we have significantly transformed our organization to be focused on delivering highly engineered, mission-critical industrial processing solutions into end markets that are underpinned by long-term secular growth trends. As you know, our primary focus is on the end markets of durable plastics, recycling and food. At the core of these markets is a common foundation of material processing requirements that allow us to leverage our strength across the enterprise and where the expanding global middle class and an increased focus on sustainable solutions are key factors driving demand for both an increased quantity and quality of products that can be produced on our equipment.

謝謝你，山姆，大家早上好。感謝您今天加入我們。隨著之前宣布的 2 月份完成 Batesville 資產剝離，我們已經對我們的組織進行了重大轉型，專注於向受長期長期增長趨勢支撐的終端市場提供高度工程化、關鍵任務的工業加工解決方案。如您所知，我們主要關注耐用塑料、回收和食品的終端市場。這些市場的核心是材料加工要求的共同基礎，這使我們能夠在整個企業中發揮我們的優勢，而不斷擴大的全球中產階級和對可持續解決方案的日益關注是推動數量和質量需求增加的關鍵因素可以在我們的設備上生產的產品。

Over the past year, we've acquired additional capabilities. And by combining them with our existing Coperion technologies, we've enhanced the breadth of our unique end-to-end solutions. We're making good progress on integrating these acquisitions, and we continue to identify opportunities to leverage our complementary technologies, leading brands and deep applications' expertise to provide superior benefits for our customers and long-term value for our shareholders. Now I'll provide a summary of our performance and an update on the overall demand environment. I'm pleased with our performance this quarter as we delivered strong revenue growth and earnings per share that exceeded the high end of our guidance. I'm very proud of the way our associates have continued to execute our strategy as they navigate a dynamic macro environment. I'm truly grateful for the hard work of our over 9,000 employees around the world to shape what matters for tomorrow.

在過去的一年裡，我們獲得了額外的能力。通過將它們與我們現有的科倍隆技術相結合，我們擴大了我們獨特的端到端解決方案的範圍。我們在整合這些收購方面取得了良好進展，我們將繼續尋找機會，利用我們的互補技術、領先品牌和深入的應用專業知識，為我們的客戶提供卓越的利益，並為我們的股東創造長期價值。現在我將提供我們的績效摘要和整體需求環境的更新。我對本季度的表現感到滿意，因為我們實現了強勁的收入增長和每股收益，超出了我們指導的上限。我為我們的員工在動態的宏觀環境中繼續執行我們的戰略而感到自豪。我真的很感謝我們在世界各地的 9,000 多名員工為塑造明天重要的事物所做的辛勤工作。

Consolidated revenue for the quarter grew 22%, primarily driven by our contributions from our recent acquisitions and robust organic growth in our APS segment. We continue to see strong order performance within APS, including record orders for aftermarket parts and service, and we were encouraged by sequential order improvement within MTS, leading to another quarter of record total backlog. I'll now spend a moment providing more detail on what we're seeing across our end markets. Overall, the demand pipeline remains healthy across APS. And with MTS, we are seeing signs of improvement. That said, we continue to experience a cautious approach by some customers as the timing of investment decisions remained extended throughout the quarter.

本季度的合併收入增長了 22%，這主要是由於我們近期收購的貢獻以及我們 APS 部門的強勁有機增長。我們繼續看到 APS 的強勁訂單表現，包括創紀錄的售後零件和服務訂單，我們對 MTS 的連續訂單改善感到鼓舞，導致另一個季度的總積壓記錄。我現在將花點時間提供更多關於我們在終端市場上看到的細節。總體而言，整個 APS 的需求管道仍然健康。通過 MTS，我們看到了改進的跡象。也就是說，由於整個季度投資決策的時間仍然延長，我們繼續感受到一些客戶的謹慎態度。

Let's begin with the MTS segment. We saw a sequential improvement in orders, revenue and margin in the quarter with a record level of revenue from our injection molding product line as the teams did a great job of executing products from the backlog. But as anticipated, orders remained soft across the segment, particularly for our higher-margin hot runner equipment. We continue to see customer decision delays across key end markets and geographies. Order pipelines are improving, and we do expect to return to a more normal demand environment as we move through the back half of the fiscal year. Along with that, we also expect to see a pickup in margins due to more favorable product mix as the demand for hot runners improves over the next 2 quarters.

讓我們從 MTS 部分開始。我們看到本季度的訂單、收入和利潤率連續改善，我們的注塑成型產品線的收入達到創紀錄水平，因為團隊在執行積壓產品方面做得很好。但正如預期的那樣，整個部門的訂單仍然疲軟，尤其是我們利潤率較高的熱流道設備。我們繼續看到關鍵終端市場和地區的客戶決策延遲。訂單渠道正在改善，我們確實希望在本財年下半年恢復到更正常的需求環境。除此之外，隨著未來兩個季度對熱流道的需求增加，我們還預計由於更有利的產品組合而導致利潤率回升。

Now on to APS. Let's start where we've made our most recent investments. First, with food. The order pipeline for new equipment is at a record level, with strong demand outlook for North America and Europe, particularly in the areas of baked goods and pet foods. While we did see some customer decision delays in the quarter, we continue to focus the business on pipeline development. The integration of Linxis, Peerless and Gabler remains on track, and we continue to identify opportunities with customers to sell solutions that leverage the capabilities of our extended product portfolio.

現在進入 APS。讓我們從最近的投資開始。首先，與食物。新設備的訂單管道處於創紀錄水平，北美和歐洲的需求前景強勁，尤其是在烘焙食品和寵物食品領域。雖然我們確實在本季度看到一些客戶決策延遲，但我們繼續將業務重點放在管道開發上。 Linxis、Peerless 和 Gabler 的整合仍在進行中，我們將繼續尋找機會與客戶一起銷售利用我們擴展產品組合功能的解決方案。

Turning to recycling. With the combination of our Coperion extrusion and material handling systems and our recently acquired Herbold shredding, washing and grinding equipment, we are in a unique position to provide complete plastics recycling solutions. The exceptional receptivity from customers regarding the value we can provide continues to outpace expectations and the pipeline of orders has grown rapidly. We are also starting to see the scale of these customer investments increase, particularly in Europe and North America, but we also expect to see strong demand in India and the Middle East over the quarters and years ahead.

轉向回收。結合我們的 Coperion 擠出和材料處理系統以及我們最近收購的 Herbold 切碎、清洗和研磨設備，我們在提供完整的塑料回收解決方案方面處於獨特的地位。客戶對我們可以提供的價值的非凡接受度繼續超出預期，訂單渠道增長迅速。我們也開始看到這些客戶投資的規模在增加，尤其是在歐洲和北美，但我們也預計在未來幾個季度和幾年內印度和中東的需求會很強勁。

Our integration continues to progress as planned. And finally, our core growth platform of durable plastics within our APS segment. As we've communicated over the past few quarters, we continue to see a strong investment cycle for polyolefins and engineering plastics. Demand remained stable in China and India, and the Middle East remains an attractive region as well for growth, particularly for large polyolefin projects. The scale of these projects continues to increase as customers look to maximize the efficiency of their investments, and this plays to our strength as a leading global provider of high output extrusion and material handling systems.

我們的整合繼續按計劃進行。最後，我們的 APS 細分市場中耐用塑料的核心增長平台。正如我們在過去幾個季度所傳達的那樣，我們繼續看到聚烯烴和工程塑料的強勁投資週期。中國和印度的需求保持穩定，中東仍然是一個有吸引力的增長地區，尤其是對大型聚烯烴項目而言。隨著客戶希望最大限度地提高投資效率，這些項目的規模不斷擴大，這增強了我們作為全球領先的高產量擠出和材料處理系統供應商的實力。

We are also seeing strong demand for aftermarket parts and service, particularly in North America, which continues to indicate the critical need to support customers throughout the life of their equipment and systems. Overall, for APS, we continue to see good demand across our key end markets and were further bolstered by our record backlog heading into the second half of the fiscal year, which gives us visibility and confidence in our outlook, as Bob will discuss in more detail later on the call. Moving forward, our teams are laser focused on deploying the Hillenbrand operating model to drive productivity in our operations and integrate our recent acquisitions, while also aggressively managing discretionary costs over the near term.

我們還看到對售後零件和服務的強勁需求，尤其是在北美，這繼續表明在客戶設備和系統的整個生命週期內支持他們的迫切需求。總體而言，對於 APS，我們繼續看到我們主要終端市場的良好需求，並且我們在進入本財年下半年的創紀錄積壓訂單進一步推動了這一點，這讓我們對我們的前景有了可見度和信心，正如 Bob 將在更多中討論的那樣稍後在電話中詳細說明。展望未來，我們的團隊專注於部署 Hillenbrand 運營模式，以提高我們運營的生產力並整合我們最近的收購，同時也在短期內積極管理可自由支配的成本。

We remain confident in the foundation we've built to drive long-term profitable growth and shareholder value creation. I'll now turn the call over to Bob to provide a more detailed overview of our financial performance and outlook for the remainder of the year.

我們對我們為推動長期盈利增長和股東價值創造而建立的基礎充滿信心。我現在將電話轉給鮑勃，以更詳細地概述我們今年剩餘時間的財務業績和前景。

Thanks, Kim, and good morning, everyone. Two brief reminders before I begin. First, I'll be discussing our results on a continuing operations basis, which excludes Batesville. And second, I'll be making organic comparisons that exclude the impacts of acquisitions, divestitures and foreign currency exchange. Now turning to our consolidated performance on Slide 6. We delivered revenue of $691 million, an increase of 22% compared to the prior year, primarily due to acquisitions and higher aftermarket parts and service revenue. On an organic basis, revenue increased 9% year-over-year, led by 11% organic growth within our APS segment. Adjusted EBITDA of $109 million increased 8% or 3% organically as favorable pricing and productivity improvements were partially offset by cost inflation.

謝謝，金，大家早上好。在我開始之前有兩個簡短的提醒。首先，我將在持續經營的基礎上討論我們的結果，不包括貝茨維爾。其次，我將進行有機比較，排除收購、資產剝離和外匯兌換的影響。現在轉向我們在幻燈片 6 上的綜合業績。我們實現了 6.91 億美元的收入，比上年增長 22%，這主要是由於收購以及更高的售後零件和服務收入。在有機基礎上，收入同比增長 9%，這主要得益於我們的 APS 部門 11% 的有機增長。調整後的 EBITDA 為 1.09 億美元，有機增長 8% 或 3%，因為有利的定價和生產力的提高被成本通脹部分抵消。

Adjusted EBITDA margin of 15.7% decreased 200 basis points, primarily due to unfavorable product mix and the dilutive effect of the acquisitions. As we've previously discussed, the recent acquisitions currently operate with lower relative margins. However, we do expect to bring these margins in line with historical APS margins over the next few years as we drive synergies and productivity through the deployment of the Hillenbrand operating model. We reported GAAP net income from continuing operations of $24 million or $0.33 per share. Adjusted earnings per share of $0.74 increased $0.09 or 14% compared to the prior year, primarily due to pricing and productivity improvements, higher EPS volume, the impact of acquisitions and fewer shares outstanding.

調整後的 EBITDA 利潤率為 15.7%，下降了 200 個基點，這主要是由於不利的產品組合和收購的稀釋效應。正如我們之前所討論的，最近的收購目前的相對利潤率較低。然而，隨著我們通過部署 Hillenbrand 運營模式推動協同效應和生產力，我們確實希望在未來幾年內使這些利潤率與歷史 APS 利潤率保持一致。我們報告來自持續經營的 GAAP 淨收入為 2400 萬美元或每股 0.33 美元。調整後的每股收益為 0.74 美元，比上年增加 0.09 美元或 14%，這主要是由於定價和生產力的提高、每股收益增加、收購的影響以及流通股減少。

This is partially offset by inflation, unfavorable foreign currency exchange and higher interest expense. The adjusted effective tax rate in the quarter was 33.5%. We anticipate our full year tax rate to be approximately 31%, which is at the high end of our previously provided range, primarily due to unfavorable geographic mix. We generated cash flow from operations of $50 million in the quarter, up approximately $65 million from the prior year, primarily due to favorable timing of working capital. Capital expenditures were $17 million in the quarter, and we returned approximately $15 million to shareholders through our quarterly dividend.

這部分被通貨膨脹、不利的外幣兌換和更高的利息支出所抵消。本季度調整後的有效稅率為 33.5%。我們預計我們的全年稅率約為 31%，處於我們之前提供的範圍的高端，這主要是由於不利的地理組合。我們在本季度產生了 5000 萬美元的運營現金流，比上年增加了約 6500 萬美元，這主要是由於營運資金的有利時機。本季度的資本支出為 1700 萬美元，我們通過季度股息向股東返還了約 1500 萬美元。

As the supply chain environment normalizes, we continue to expect an improvement in our working capital profile, particularly through lower inventory and through the reduction of unbilled receivables related to large projects. We also anticipate that higher order volume will generate an increase in customer advances in the back half of the year, leading to stronger cash flow in the second half compared to the first half. We maintain our expectation that full year cash conversion will be in the range of 80% to 85% for fiscal 2023, while our longer-term target remains at approximately 100%.

隨著供應鏈環境的正常化，我們繼續期望我們的營運資金狀況有所改善，特別是通過降低庫存和減少與大型項目相關的未開票應收賬款。我們還預計，更高的訂單量將在今年下半年產生客戶預付款的增加，從而導致下半年的現金流量比上半年更強勁。我們維持我們的預期，即 2023 財年全年現金轉換率將在 80% 至 85% 的範圍內，而我們的長期目標仍保持在約 100%。

Now moving to segment performance, starting with APS on Slide 7. APS revenue of $431 million, increased 37% compared to the prior year, driven by acquisitions, higher aftermarket parts and service revenue and favorable pricing. Organic revenue increased 11% year-over-year. Adjusted EBITDA of $73 million, increased 12% year-over-year or 2% organically as favorable pricing, higher volume and product improvements were partially offset by cost inflation and growth investments. Adjusted EBITDA margin of 17%, decreased 370 basis points, primarily due to the dilutive effect of the acquisitions and an increase in growth investments. Margins for the acquisitions were a bit lower in the quarter than anticipated, primarily due to customer delays negatively impacting volume.

現在轉向細分市場表現，從幻燈片 7 上的 APS 開始。APS 收入為 4.31 億美元，比上年增長 37%，這主要受收購、更高的售後零件和服務收入以及優惠定價的推動。有機收入同比增長 11%。調整後的 EBITDA 為 7300 萬美元，同比增長 12% 或有機增長 2%，原因是價格優惠、銷量增加和產品改進被成本通脹和增長投資部分抵消。調整後的 EBITDA 利潤率為 17%，下降了 370 個基點，這主要是由於收購的稀釋效應和增長投資的增加。本季度的收購利潤率略低於預期，這主要是由於客戶延遲對銷量產生了負面影響。

As I mentioned earlier, we still expect to improve these margins towards historical segment levels over the next few years. Backlog of $1.67 billion, increased 30% compared to the prior year or 13% on an organic basis, primarily driven by increased orders for large plastics systems and record orders for aftermarket parts and service. As Kim mentioned, we are pleased with the robust pipelines in our key growth platforms of durable plastics, recycling and food, which we expect to translate into higher growth in the second half of the year.

正如我之前提到的，我們仍然希望在未來幾年內將這些利潤率提高到歷史細分水平。積壓訂單為 16.7 億美元，與上一年相比增長 30%，有機增長 13%，這主要是由於大型塑料系統訂單增加以及售後零件和服務訂單創紀錄。正如 Kim 所提到的，我們對耐用塑料、回收和食品等主要增長平台的強勁管道感到滿意，我們預計這將在今年下半年轉化為更高的增長。

Turning to MTS on Slide 8. Revenue of $260 million, increased 4% year-over-year or 7% organically as an increase in injection molding equipment, favorable pricing and higher aftermarket parts and service was partially offset by a decrease in hot runner equipment, which we anticipated coming into the quarter. Adjusted EBITDA of $48 million, decreased 6% or 2% organically, and adjusted EBITDA margin of 18.2%, decreased 190 basis points, primarily due to the elevated relative volume of injection molding equipment, which, as we've discussed, comes at a lower relative margin when compared to hot runners.

轉到幻燈片 8 上的 MTS。收入為 2.6 億美元，同比增長 4% 或有機增長 7%，原因是注塑設備的增加、有利的價格以及更高的售後零件和服務被熱流道設備的減少部分抵消，我們預計會進入本季度。調整後 EBITDA 為 4800 萬美元，有機下降 6% 或 2%，調整後 EBITDA 利潤率為 18.2%，下降 190 個基點，這主要是由於注塑設備的相對數量增加，正如我們所討論的那樣，與熱流道相比，相對利潤率較低。

As Kim mentioned, we expect this mix to normalize in the second half of the year, which will result in overall improvement in margins for the segment. Backlog of $298 million, decreased 29% compared to the prior year, primarily due to the execution of the existing backlog and lower orders for injection molding equipment. We delivered record revenue from our injection molding product line in the quarter, which is a testament to the team's relentless focus on execution. The order softness we saw throughout the quarter was in line with our expectations, and we are seeing pipelines improve across most applications and geographies. We expect to see orders to continue to pick up as we work through the remainder of the second half of the fiscal year.

正如 Kim 所提到的，我們預計這種組合將在今年下半年正常化，這將導致該部門利潤率的整體改善。積壓訂單為 2.98 億美元，比上年下降 29%，這主要是由於現有積壓訂單的執行和注塑設備訂單的減少。本季度我們的注塑成型產品線實現了創紀錄的收入，這證明了團隊對執行的不懈關注。我們在整個季度看到的訂單疲軟符合我們的預期，而且我們看到大多數應用程序和地區的管道都在改善。我們預計在本財年下半年的剩餘時間裡，訂單將繼續增加。

Turning to the balance sheet on Slide 9. Net debt at the end of the quarter was just under $1 billion, and our net debt to pro forma adjusted EBITDA ratio was 2.2x. At quarter end, we have liquidity of approximately $1.1 billion, including $350 million in cash on hand and the remainder available under our revolving credit facility. I'd like to highlight that in June, we expect to make a tax payment related to the Batesville sale of approximately $150 million. Including this tax payment, our net leverage ratio will be approximately 2.5x as of the end of the second quarter, which is back within our targeted range of 1.7x to 2.7x.

轉到幻燈片 9 的資產負債表。本季度末的淨債務略低於 10 億美元，我們的淨債務與備考調整後 EBITDA 的比率為 2.2 倍。截至季度末，我們的流動資金約為 11 億美元，包括 3.5 億美元手頭現金和循環信貸額度下可用的剩餘部分。我想強調的是，在 6 月份，我們預計將支付約 1.5 億美元的與 Batesville 銷售相關的稅款。包括這筆稅款在內，截至第二季度末，我們的淨槓桿率將約為 2.5 倍，回到我們 1.7 倍至 2.7 倍的目標範圍內。

Turning to Slide 10. As many of you know, we have a strong track record of deleveraging following acquisitions, and we expect to continue this track record as we move forward, while maintaining the disciplined capital deployment strategy that is focused on profitable growth and shareholder value creation. As we've consistently communicated, our capital deployment framework is based around 4 key priorities: driving profitable growth through attractive organic and inorganic investment opportunities, returning cash to shareholders through our attractive dividend policy and opportunistic share repurchases and maintaining an appropriate leverage profile with a target net leverage of 1.7x to 2.7x. As we make progress integrating our recent acquisitions, we continue to evaluate potential strategic acquisitions that strengthen our capabilities in key end markets, accelerate our profitable growth strategy and those that will provide a strong return to shareholders over the long term.

轉到幻燈片 10。正如你們中的許多人所知，我們在收購後的去槓桿化方面有著良好的記錄，我們希望在我們前進的過程中繼續保持這一記錄，同時保持專注於盈利增長和股東的有紀律的資本配置戰略創造價值。正如我們一直傳達的那樣，我們的資本部署框架基於 4 個關鍵優先事項：通過有吸引力的有機和無機投資機會推動盈利增長，通過我們有吸引力的股息政策和機會性股票回購向股東返還現金，並保持適當的槓桿率目標淨槓桿率為 1.7 至 2.7 倍。隨著我們在整合最近的收購方面取得進展，我們將繼續評估潛在的戰略收購，以加強我們在關鍵終端市場的能力，加速我們的盈利增長戰略，以及那些將為股東提供長期強勁回報的戰略收購。

Now moving to Slide 12. As we enter the second half of the fiscal year, we are updating our guidance based on performance in the first half as well as what we see in current demand and operating environment. Our guidance now assumes slightly increased expected revenue of approximately $2.81 billion to $2.86 billion for the year, previously $2.77 billion to $2.86 billion. We are maintaining the midpoint of our adjusted EPS range while narrowing slightly to $3.30 to $3.50 per share from a previous range of $3.25 to $3.55 per share.

現在轉到幻燈片 12。隨著我們進入本財年的下半年，我們將根據上半年的業績以及我們在當前需求和運營環境中看到的情況更新我們的指導。我們現在的指導假設全年預期收入略有增加，約為 28.1 億美元至 28.6 億美元，之前為 27.7 億美元至 28.6 億美元。我們維持調整後每股收益範圍的中點，同時從之前的每股 3.25 美元至 3.55 美元略微收窄至每股 3.30 美元至 3.50 美元。

Now turning to the segments. For APS, we are refining our expected annual revenue range to be $1.8 billion to $1.83 billion, previously $1.79 billion to $1.84 billion. Our assumption for underlying organic growth remains strong at approximately 10% to 12%. We are lowering our expectations for adjusted EBITDA margin to be in the range of 18.5% to 19%, previously 19% to 20%, primarily due to unfavorable product mix and the dilutive effect of price cost that has remained more elevated than anticipated. This guidance reflects underlying organic margin expansion of 40 to 90 basis points.

現在轉向細分市場。對於 APS，我們將預期年收入範圍調整為 18 億美元至 18.3 億美元，之前為 17.9 億美元至 18.4 億美元。我們對潛在有機增長的假設仍然強勁，約為 10% 至 12%。我們將調整後的 EBITDA 利潤率預期下調至 18.5% 至 19%，之前為 19% 至 20%，這主要是由於不利的產品組合和價格成本的稀釋效應仍然高於預期。該指引反映了 40 至 90 個基點的基本有機利潤率擴張。

For MTS, we are slightly raising our expected annual revenue range to be $1.01 billion to $1.03 billion, previously $980 million to $1.02 billion. We are maintaining our previous guidance for EBITDA margin in the range of 19% to 20% based on the expected product mix in the second half of the year. With the ongoing macro uncertainty, we are providing a Q3 guidance range for adjusted EPS, which we expect to be $0.88 to $0.94, which reflects year-over-year growth on a continuing operations basis of 28% to 36% and strong sequential improvements in both segments.

對於 MTS，我們將預期年收入範圍小幅上調至 10.1 億美元至 10.3 億美元，之前為 9.8 億美元至 10.2 億美元。根據下半年的預期產品組合，我們將之前對 EBITDA 利潤率的指引維持在 19% 至 20% 的範圍內。由於宏觀不確定性持續存在，我們為調整後的每股收益提供了第三季度的指導範圍，我們預計為 0.88 美元至 0.94 美元，這反映了在持續經營的基礎上同比增長 28% 至 36% 以及強勁的環比改善兩個部分。

Please review Slide 12 for additional guidance assumptions. With that, I'll turn the call back over to Kim.

請查看幻燈片 12 以了解其他指導假設。有了這個，我會把電話轉回給金。

Thanks, Bob. Before taking questions, I'll end our presentation this morning with a few final remarks. Since I became CEO nearly 18 months ago, we've significantly transformed Hillenbrand into a pure-play global industrial leader and our entire organization remains energized and excited about the opportunities that lie ahead. As we communicated at our Investor Day in December, our focus is to drive profitable growth and create long-term shareholder value through 4 key tenets. First, leveraging our leading brands with strong competitive positions in large and growing end markets; second, enhancing our growth by leveraging our large installed base to drive profitable aftermarket expansion and by expanding our capabilities through strategic M&A.

謝謝，鮑勃。在回答問題之前，我將以最後幾句話結束今天上午的演講。自從我在將近 18 個月前成為首席執行官以來，我們已經將 Hillenbrand 顯著轉變為一家純粹的全球工業領導者，我們的整個組織仍然對未來的機遇充滿活力和興奮。正如我們在 12 月的投資者日所傳達的那樣，我們的重點是通過 4 項關鍵原則推動盈利增長並創造長期股東價值。首先，利用我們在大型和不斷增長的終端市場中具有強大競爭地位的領先品牌；其次，利用我們龐大的安裝基礎來推動有利可圖的售後市場擴張，並通過戰略併購擴大我們的能力，從而促進我們的增長。

Third, utilizing the Hillenbrand operating model to drive sustained operational improvements, productivity and synergies. And finally, by deploying capital towards high-return opportunities and returning cash to shareholders through dividends and opportunistic share repurchase. Finally, I'm pleased to highlight that we will publish our fourth annual sustainability report later this month, and we look forward to sharing our continued progress with you. Now we'll open the line for questions.

第三，利用 Hillenbrand 運營模式推動持續的運營改進、生產力和協同效應。最後，通過將資本用於高回報機會並通過股息和機會性股票回購向股東返還現金。最後，我很高興地強調，我們將在本月晚些時候發布第四份年度可持續發展報告，我們期待與您分享我們的持續進展。現在我們將打開問題熱線。

(Operator Instructions) And our first question is from the line of Daniel Moore with CJS Securities.

（操作員說明）我們的第一個問題來自 CJS 證券公司的 Daniel Moore。

I'll start with APS, which remains remarkably strong, particularly at this point in "the cycle." Obviously, you've seen a nice pickup in food, pharma, et cetera. But in terms of polyolefins, when should we start to expect backlog to tick lower? And would that, in fact, be a good thing as lead times are maybe a bit stretched out at this point?

我將從 APS 開始，它仍然非常強大，尤其是在“週期”的這一點上。顯然，您已經看到食品、製藥等領域出現了不錯的增長。但就聚烯烴而言，我們應該什麼時候開始預期積壓量會下降？事實上，這會是一件好事嗎，因為此時交貨時間可能有點延長？

Yes. I would say we continue to see a strong pipeline there. And I think that as you just continue to see some of those macro trends around the investments we've seen in China over the last several years. Now you're seeing investments in India as they try and address their own domestic needs, but also some of the transfer of manufacturing that has moved into those regions. You see the Middle East investing. These typically move in regional swaps, and we just continue to see the demand for that product in these regions to take advantage of natural resources in each of the regions and be able to address market demands for those -- in a variety of end markets.

是的。我會說我們繼續在那裡看到強大的管道。而且我認為，隨著您繼續看到過去幾年我們在中國看到的投資的一些宏觀趨勢。現在你看到在印度的投資是因為他們試圖解決自己的國內需求，但也有一些製造業轉移到這些地區。你看到中東投資。這些通常在區域互換中移動，我們只是繼續看到這些地區對該產品的需求，以利用每個地區的自然資源，並能夠滿足各種終端市場對這些產品的市場需求。

And that growing global middle class is the key driver all around the world for the continued demand in these products. To your point, Dan, I do think that we are the largest backlog we've ever had. Lead times are certainly very extended, and it takes a lot of extra touches to manage the backlog this big. So over time, we would like to see that move down to a more optimal level that allows us to have more efficient touches of the backlog. But right now, we're responding to customer demands and are grateful to have so many customers that depend on us for their jobs all around the world in terms of helping them not just on sales but also on service, which also did very well in the quarter and has been a part of the building backlog.

不斷壯大的全球中產階級是全球對這些產品持續需求的主要驅動力。就你的觀點而言，Dan，我確實認為我們是有史以來最大的積壓訂單。交貨時間肯定非常長，而且管理這麼大的積壓需要很多額外的工作。因此，隨著時間的推移，我們希望看到它下降到一個更優的水平，使我們能夠更有效地處理積壓工作。但現在，我們正在響應客戶的需求，並且很高興有這麼多客戶依賴我們在世界各地的工作，不僅在銷售方面而且在服務方面幫助他們，這在這個季度，並且一直是建築積壓的一部分。

Let me go and what I would add, right, is as Kim mentioned, the operations. We continue to focus on lead time reductions and the application of the Hillenbrand operating model is proven to be successful within APS. And so we still see obviously pipeline and strong demand, but we continue to push more off the door.

讓我走吧，我要補充的是，正如 Kim 提到的那樣，操作。我們繼續專注於縮短交貨時間，Hillenbrand 運營模式的應用在 APS 中被證明是成功的。因此，我們仍然看到明顯的管道和強勁需求，但我們繼續推出更多產品。

Perfect. I'll switch gears. Maybe to lineate as you have in the past, but between injection molding, which generally has kind of longer lead times versus hot runners, more of a quick turn business and when hot runner demand, it usually turns -- when it turns, it turns quickly. So talk about sequential order activity thus far in Q3 and your confidence in the sustainability of that sequential improvement as we get into the back half of the year, particularly on the hot runner side?

完美的。我會換檔。也許像你過去那樣排隊，但在註塑成型之間，與熱流道相比，它通常有更長的交貨時間，更多的是快速轉向業務，當熱流道需求時，它通常會轉向 - 當它轉向時，它會轉向迅速地。那麼談談到目前為止第三季度的順序訂單活動，以及您對我們進入今年下半年時連續改進的可持續性的信心，特別是在熱流道方面？

Yes. So Dan, it's still early in the month and so we're still closing the books. But I would say what we've seen so far in April, we continue to see a strong pipeline, customer decisions and that timing associated with making those decisions is still fluid. But I'd tell you there's really been no surprises in the month. We did have sequential improvement in Q2 versus Q1 as we had in our prepared remarks and saw about a 6% improvement in orders in the quarter versus Q1. And again, strong pipelines, but customer orders are just fluid right now. So we feel encouraged about the activity, but just being -- I guess I should say we're recognizing the fluidity of ultimate customer decisions in our guidance.

是的。丹，現在還是月初，所以我們還在結帳。但我要說的是我們在 4 月份到目前為止所看到的，我們繼續看到強大的管道、客戶決策以及與做出這些決策相關的時間仍然不穩定。但我要告訴你，這個月真的沒有什麼意外。正如我們在準備好的評論中所說，我們確實在第二季度與第一季度相比有所改善，並且與第一季度相比，本季度的訂單增長了約 6%。再一次，強大的管道，但客戶訂單現在只是流動的。所以我們對這項活動感到鼓舞，但只是 - 我想我應該說我們在我們的指導中認識到最終客戶決策的流動性。

And one more, and I'll jump back, but just a follow-up there. Overall, it sounds like you -- the expectation is that orders will pick up on the MTS side in the back half of the year. Maybe talk about some of the guideposts and signposts that you have, if it's just your current pipeline in discussions with customers that give you confidence there? And when do we need to see orders for injection molding to pick back up to generate the kind of maybe longer-term mid-single-digit growth that is the expectation over the longer term as we think about fiscal '24?

還有一個，我會跳回來，但只是那裡的後續行動。總的來說，這聽起來像你——期望 MTS 方面的訂單將在今年下半年回升。也許談談你擁有的一些路標和路標，如果只是你目前與客戶討論的管道讓你在那裡有信心？我們什麼時候需要看到注塑成型訂單回升，以產生可能是長期的中個位數增長，這是我們對 24 財年的長期預期？

Yes. So when do we need to see that? The lead times in the injection molding side of the business are -- it can be anywhere from 6 to 12 to 15 months, depending on the size of the project. Some of the projects that we are seeing some of that fluidity is kind of those midterm projects, so I think 9 to 12 months. And so we certainly are expecting that those projects will start breaking those here in the next quarter or so, is what we're anticipating in the next quarter or 2. So those are the watch signs we're watching in the injection molding side of the business. And as you mentioned, on the hot runner side of the business, that is a much shorter lead time.

是的。那麼我們什麼時候需要看到它？注塑成型業務的交貨時間為 6 到 12 到 15 個月不等，具體取決於項目的規模。我們看到的一些流動性項目屬於中期項目，所以我認為需要 9 到 12 個月。因此，我們當然預計這些項目將在下個季度左右開始打破這些項目，這是我們在下一季度或第二季度的預期。所以這些是我們在註塑成型方面觀察到的跡象這生意。正如您提到的，在業務的熱流道方面，交貨時間要短得多。

What is -- what we're really seeing is a lot of activity relative to discussions with customers, particularly in certain geographies around projects that are starting up. But again, a lot of these folks have not been able to work collaboratively kind of in a normal sales cycle until just the last few months. And so to a certain degree, we're starting those processes and sometimes those new lines, which is what we're seeing in -- specifically in India. Those are new lines that are starting up. We're seeing a little bit longer lead time as we do the preparations and some of the design work for those types of jobs.

什麼是 - 我們真正看到的是與客戶討論相關的大量活動，特別是在圍繞正在啟動的項目的某些地區。但同樣，直到最近幾個月，這些人中的很多人才能夠在正常的銷售週期中進行協作。因此，在某種程度上，我們正在啟動這些流程，有時甚至是那些新生產線，這就是我們所看到的——特別是在印度。這些是正在啟動的新線路。當我們為這些類型的工作做準備和一些設計工作時，我們看到交貨時間有點長。

And so the -- typically, the sales cycle on those is, call it, a quarter -- typically a quarter. Maybe on a much larger, multiline project, maybe as much as 6 months, but that is typically a much shorter-term business for us. And so we'll get that turned around. We'll get those revenues in if we start seeing the pickup in decision timing. Then we'll start to experience that quickly in the financials.

因此 - 通常，這些銷售週期是一個季度 - 通常是一個季度。也許在一個更大的多線項目中，可能長達 6 個月，但這對我們來說通常是一項短期得多的業務。所以我們會扭轉局面。如果我們開始看到決策時間的回升，我們就會獲得這些收入。然後我們將開始在財務方面迅速體驗到這一點。

Really helpful. I got some questions around recycling and food, but I'll jump back in queue if any will cover.

真的很有幫助。我有一些關於回收和食品的問題，但如果有任何問題，我會跳回隊列。

Our next question is from the line of Matt Summerville with D.A. Davidson.

我們的下一個問題來自 D.A. 的 Matt Summerville。戴維森。

A couple of questions. You mentioned in your prepared remarks that the acquisition contributions may be a bit less versus expectations. On a pro forma basis, what did organic growth look like for the acquisitions in the quarter? And can you put a finer point around what might be driving some of the delays in volumes that you highlighted, particularly on the food side of the business?

幾個問題。您在準備好的評論中提到，收購貢獻可能比預期少一些。在備考基礎上，本季度收購的有機增長情況如何？您能否更詳細地說明可能導致您強調的某些數量延遲的原因，特別是在業務的食品方面？

I'll let Bob kind of look through and see what we've got handy that we can reference in the pro forma. I'm not sure that we have anything specifically handing on that topic, but we can certainly get back to you on that. Relative to what we saw in demand, it's really, frankly, just a little bit of a slowdown that we saw in any market, with just delayed customer decisions or elongated decision time lines for some of these projects. Remember that we've acquired businesses that are -- the Linxis businesses specifically are smaller businesses. They were not closing on quarters and driving for quarterly performance in the same way because they were not publicly held. They were smaller businesses. And so we're really working with them on their processes of being really clear on exactly how -- what the timing is going to be on closes.

我會讓 Bob 看一下，看看我們手頭有什麼可以在備考中參考。我不確定我們是否有任何專門處理該主題的內容，但我們肯定可以就此回复您。相對於我們在需求中看到的情況，坦率地說，我們在任何市場上都看到了一點點放緩，只是延遲了客戶決策或延長了其中一些項目的決策時間線。請記住，我們收購的企業是——Linxis 企業特別是規模較小的企業。他們沒有以同樣的方式關閉季度和推動季度業績，因為它們不是公開持有的。他們是規模較小的企業。因此，我們真的在與他們合作，讓他們真正清楚地了解具體的時間安排是如何結束的。

And so I think there was probably some optimism on our part on kind of how quickly some of these orders would close or exactly how the timing would work, but I think we're continuing to get better every month in terms of the processes that we have around our controls and our estimates in these new businesses. We continue -- I think the most important thing is do we see a robust pipeline? Are we seeing good interest? Are we seeing good traction in terms of being able to add different parts of the portfolio into the discussions that we're having with customers on these lines.

因此，我認為我們可能對其中一些訂單的關閉速度或確切的時間安排持樂觀態度，但我認為我們每個月都在繼續改進我們的流程圍繞我們對這些新業務的控制和估計。我們繼續 - 我認為最重要的是我們是否看到了強大的管道？我們看到了很好的興趣嗎？就能夠將投資組合的不同部分添加到我們與客戶就這些方面進行的討論而言，我們是否看到了良好的牽引力。

And all of those are really positive signs in terms of the businesses to work collaboratively together and offer all of the value of the full portfolio now as opposed to just pieces and parts and individual pieces of equipment. And those signs are all really, really positive. And so we're really bringing that systems approach into the businesses and again, making really good progress on the timing of quarterly close, the improving of the accuracy of the estimates that they're making as businesses. And all of those things are -- we're still early days. We're in the fifth month of owning these businesses. So we're pleased to date, but we'll have some -- we'll just have some time that it's going to take us to make sure that everything runs exactly like it does in the main base business.

就企業而言，所有這些都是真正的積極信號，可以協同工作並提供整個產品組合的所有價值，而不僅僅是零件和零件以及單個設備。這些跡像都非常非常積極。因此，我們真的將這種系統方法引入了企業，並再次在季度結算時間方面取得了很好的進展，提高了他們作為企業所做的估計的準確性。所有這些都是——我們還處於早期階段。我們在擁有這些業務的第五個月。所以我們很高興約會，但我們會有一些 - 我們將有一些時間來確保一切都像在主要基礎業務中一樣運行。

Yes. And then Matt, just the way I think about just the acquisitions. I would say that the acquisitions in total probably underperformed in the quarter top line, probably, call it, $6 million to $8 million in revenue, really, again, just based on timing of customer decisions. And so we still see strong pipelines moving forward. But that's the way I'd think about the M&A piece.

是的。然後是馬特，就像我對收購的看法一樣。我要說的是，這些收購總體上可能在季度收入中表現不佳，可能，稱之為 600 萬到 800 萬美元的收入，真的，再次，只是基於客戶決策的時間。因此，我們仍然看到強大的管道在向前發展。但這就是我考慮併購的方式。

Got it. And then just I want to talk a minute about price. I think APS was up 11% organic, MTS up 7%, if I had the numbers right, how much of that growth is being driven by price versus volume?

知道了。然後我想談談價格。我認為 APS 有機增長了 11%，MTS 增長了 7%，如果我的數字是正確的，那麼增長中有多少是由價格和數量驅動的？

Bear with me here. It's probably about 4% on price in the quarter, Matt.

在這裡忍受我。馬特，本季度的價格可能約為 4%。

Got it. And then kind of a little bit what you were talking about during the last round of questions. With respect to MTS, you're talking about the hot runner business starting to do better, even though it doesn't sound like you have orders necessarily in hand to kind of dictate that cadence. So I guess I'm curious as to what gives you the confidence that hot runners might be improving, how that informs you about the macro environment, what markets and geographies might be driving that for you guys?

知道了。然後是您在上一輪問題中談到的一些內容。關於 MTS，你說的是熱流道業務開始做得更好，儘管聽起來你手頭沒有訂單來決定這種節奏。所以我想我很好奇是什麼讓你相信熱流道可能正在改善，這如何讓你了解宏觀環境，哪些市場和地區可能會為你們推動這一點？

So the markets where we'll see that as we will -- we are expecting that we will see a pickup -- sorry, Rob and myself, I'm sorry. We're expecting that we'll see some pickup in our normal markets like China, which has been, as you know, for the hot runner business, that's a very prevalent market for us and has been one that has been really affected by some of the activities over the last several quarters where travel was not very -- it just wasn't possible in a number of quarters. And so we're really restarting -- as we mentioned in last quarter's call, we were really just restarting those conversations. So it is about pipeline in China and really getting those projects across the finish line. From a decision standpoint, I would say that we are also seeing a lot of interest in India as continued suppliers move into that India market.

因此，我們將看到的市場——我們預計我們會看到一個回升——對不起，羅布和我自己，對不起。我們預計我們會在像中國這樣的正常市場看到一些回暖，正如你所知，對於熱流道業務來說，這對我們來說是一個非常普遍的市場，並且已經受到一些影響在過去幾個季度的活動中，旅行不是很頻繁——在一些季度中這是不可能的。所以我們真的在重新開始——正如我們在上個季度的電話會議中提到的那樣，我們真的只是在重新開始這些對話。所以這是關於中國的管道，真正讓這些項目越過終點線。從決策的角度來看，我想說的是，隨著供應商不斷進入印度市場，我們也看到了對印度的濃厚興趣。

And if I was to kind of do a heat map of today versus where we see these markets over the next 12 months, all of our resources on the ground really give us confidence that they are -- while they are still kind of slow in the decision-making process right now that their expectations over the next 12 months and the indications on our quoting pipeline would indicate that we would expect to see improvement. And remember, we play in a lot of different end markets; automotive, consumer goods, packaging, medical, electronics. And so there are a lot of places to be paying attention to trends that will be opportunistic for us to be chasing in those markets. Hopefully, that helps to clarify a little bit of that, Matt.

如果我想做一張今天的熱圖與我們在未來 12 個月內看到這些市場的位置，我們在當地的所有資源確實讓我們相信它們是——雖然它們仍然有點慢現在的決策過程表明他們對未來 12 個月的期望以及我們報價管道上的跡象表明我們希望看到改善。請記住，我們在許多不同的終端市場開展業務；汽車、消費品、包裝、醫療、電子。因此，有很多地方需要關注趨勢，這些趨勢對我們來說是機會主義的，可以在這些市場上追逐。希望這有助於澄清一點，馬特。

(Operator Instructions) The next question is from the line of John Franzreb with Sidoti & Company.

（操作員說明）下一個問題來自 Sidoti & Company 的 John Franzreb。

It seems like everyone's rightfully focused on the opportunity pipeline and possibly the duration of it. I, myself, I'm surprised how strong it's been in light of macroeconomic conditions. But you suggest that it has sustainability not only into the current quarter, but maybe beyond that. When you think about the opportunity pipeline, how long do you expect to see at this elevated level, given what you're holding right now?

似乎每個人都理所當然地關注機會管道及其持續時間。我，我自己，我很驚訝它在宏觀經濟條件下的表現如此強勁。但是你建議它不僅在當前季度具有可持續性，而且可能在那個季度之後具有可持續性。當您考慮機會管道時，考慮到您現在持有的東西，您希望在這個高水平上看到多長時間？

In terms of -- are you speaking on -- more on the APS side or the MTS side or kind of broadly...

就——你是在談論——更多是在 APS 方面還是 MTS 方面，或者更廣泛地說……

Broadly.

寬廣地。

Okay. All right. So let me kind of address a couple of things and a couple of chunks to maybe think about. So let's talk about the base plastics business that we have in both our APS and MTS segments. We've continued to see -- we continue to see in various geographies, those investments continue. And as we've mentioned, we've continued to see China stay very stable but high relative to, for instance, where it was several years ago. There have been a lot of investments there. We are still working on projects that have been in flight for, frankly, a couple of years now, and we're just able to get in and do service work and start doing commissioning at sites and those types of things to bring these longtime projects to fruition and to start up.

好的。好的。因此，讓我來談談一些事情和一些可能需要考慮的問題。因此，讓我們談談我們在 APS 和 MTS 細分市場中的基礎塑料業務。我們繼續看到 - 我們繼續在各個地區看到，這些投資仍在繼續。正如我們所提到的，我們繼續看到中國保持非常穩定，但相對於幾年前的水平而言仍然很高。那裡有很多投資。坦率地說，我們仍在從事已經進行了幾年的項目，我們只是能夠進入並進行服務工作並開始在現場進行調試以及進行這些類型的工作以帶來這些長期項目實現並啟動。

And so we expect that we'll continue to see revenues in those areas, as we continue to complete projects. But the demand there remains high. We've also seen incremental activity in terms of our conversations with customers who are investing in India. Much of that India growth is driven by, frankly, a lot of people wanting to make sure that they have another Asia footprint that is not specifically in China. And so there are investment opportunities that are coming in India. We're also seeing investments again in the Middle East. And all of those have an initial investment in capital, but then those will be followed up by investments in the service and in maintaining those lines.

因此，我們希望隨著我們繼續完成項目，我們將繼續在這些領域看到收入。但那裡的需求仍然很高。在與投資印度的客戶的對話方面，我們也看到了增量活動。坦率地說，印度的增長在很大程度上是由許多人推動的，他們希望確保他們在亞洲擁有另一個足跡，而不是專門在中國。因此，印度出現了投資機會。我們也再次看到在中東的投資。所有這些都有初始資本投資，但隨後將投資於服務和維護這些線路。

So those are -- so I do expect that to be a longer duration. I mean, once these projects start, they are 24 to 30 months during the build process. And then when they commission and come online, then you've got parts and service that will come as a result of those investments. So those are pretty long in duration. When we think about some of the demand that we're seeing in other end markets like recycling, I expect that to just increase. I don't think that's a cycle per se right now. That's just a hyper investment all around the world and people who realize that this is something that is going to be absolutely required from many of these major manufacturers to have some type of capabilities for recycling, whether it's just post industrial use and what's going on in their own facilities or them elongating their own reach and vertical integration by becoming more capable of producing recycled or different types of products, biopolymers, those types of things.

所以那些 - 所以我確實希望持續時間更長。我的意思是，一旦這些項目開始，它們將在構建過程中持續 24 到 30 個月。然後，當他們投入使用並上線時，您就會獲得這些投資帶來的零件和服務。所以這些持續時間很長。當我們考慮我們在回收等其他終端市場看到的一些需求時，我預計這種需求只會增加。我認為現在這本身不是一個週期。這只是全世界的一項超級投資，人們意識到這是許多主要製造商絕對需要的東西，以具備某種類型的回收能力，無論是工業後使用還是正在發生的事情他們自己的設施或他們通過變得更有能力生產回收或不同類型的產品、生物聚合物和那些類型的東西來擴大自己的範圍和垂直整合。

So that is going to be just a hyper-investment cycle. Now primarily, we're seeing it in North America and Europe right now, but we absolutely expect that, that will continue to have increased investments in Asia and also the Middle East over time as people continue the need to have a way to deal with plastic materials and be able to reuse them. So that recycling area, I don't think that's a cycle for the foreseeable future. That is just key investments that are going to be happening. And then on the food side, as this is growing global middle class, again, we are seeing expansion of capacity to address this growing global middle class.

所以這將只是一個超級投資週期。現在主要是，我們現在在北美和歐洲看到它，但我們絕對預計，隨著時間的推移，隨著人們繼續需要有辦法應對，亞洲和中東的投資將繼續增加塑料材料並能夠重複使用。所以那個回收區，我認為在可預見的未來這不是一個循環。那隻是將要發生的關鍵投資。然後在食品方面，隨著全球中產階級不斷壯大，我們再次看到應對這一不斷壯大的全球中產階級的能力正在擴大。

I mean these were why these key markets were so important to us, not just because we had capabilities that could be extended into these markets, but because the markets themselves were attractive over the long term and had long-term secular investment and growth trends that we believe will be very advantageous for our capabilities to address them and for our shareholders to take advantage of these growing markets.

我的意思是，這就是為什麼這些關鍵市場對我們如此重要，不僅僅是因為我們有能力可以擴展到這些市場，還因為這些市場本身俱有長期吸引力，並且具有長期的長期投資和增長趨勢我們相信，這對我們解決這些問題的能力以及我們的股東利用這些不斷增長的市場都非常有利。

Perfect. And I guess just a little bit more granular of a question. The aftermarket business was relatively good. Was that a function of low inventories at the customer levels? I don't know, new channels that you're addressing or maybe something on the service mix. Can you just talk a little bit about what's going on in the aftermarket?

完美的。而且我想只是稍微細化了一個問題。後市場業務相對較好。這是客戶層面低庫存的結果嗎？我不知道，你正在處理的新渠道或者服務組合中的某些內容。你能談談售後市場的情況嗎？

Yes. I will let Bob address some of -- I'll just hit it at kind of high level. I think there has been some pent-up demand and not -- I wouldn't say that all of the increase that we've seen is pent up demand. I will certainly say that the increment of service that has been being done, which actually affected our margins a bit in APS because there's a decent differential between parts and service margins. So we did see great volume and a lot of utilization of our service teams, but a lot of that was addressing some service work that needed to be done and some of that comes at lower margin than, for instance, some of the proprietary parts that we sell.

是的。我會讓 Bob 解決一些問題——我只是在某種程度上講一下。我認為存在一些被壓抑的需求——我不會說我們看到的所有增長都是被壓抑的需求。我肯定會說已經完成的服務增量，這實際上影響了我們在 APS 中的利潤率，因為零件和服務利潤率之間存在相當大的差異。所以我們確實看到我們的服務團隊的數量和利用率很高，但其中很多是在解決一些需要完成的服務工作，而其中一些的利潤率低於，例如，一些專有部件我們出售。

So that aftermarket business, we've had a large capital investment cycle over the last several years. So -- and we've been calling from a number of quarters that one of the things that we expected to see was an increase in our aftermarket business as a result of those capital investments because they hit time periods where parts and where standard maintenance or debottlenecking or modernization, all of which we do as a part of our relationship -- ongoing relationship with customers. It's just time from those original capital investments to -- for customers to be addressing some of those types of needs, and we've got a global service team that has -- that just does a spectacular job of being there to address those needs for customers all around the world.

因此，售後市場業務在過去幾年中我們有一個很大的資本投資週期。所以 - 我們一直在多個方面呼籲，我們期望看到的事情之一是由於這些資本投資，我們的售後市場業務有所增加，因為它們達到了零件和標準維護或去瓶頸或現代化，我們所做的所有這些都是我們關係的一部分——與客戶的持續關係。現在正是從那些最初的資本投資到——讓客戶解決其中一些類型的需求的時間，我們有一個全球服務團隊——在滿足這些需求方面做得非常出色客戶遍布世界各地。

Yes. And the only thing I would add, John, is both businesses saw book-to-bill over 1. And so we're seeing it across the entire portfolio, and there's some pricing in there as well. And as Kim mentioned, today and in the past, right, it's been a strategic focus for us to grow that aftermarket business. And so we're seeing it in the results in the quarter.

是的。約翰，我唯一要補充的是，兩家公司的訂單出貨比都超過了 1。因此，我們在整個投資組合中都看到了這一點，並且其中也有一些定價。正如 Kim 提到的，今天和過去，發展售後市場業務一直是我們的戰略重點。因此，我們在本季度的結果中看到了這一點。

Well, I guess one last question. Regarding the reduction in the EBITDA margins for APS, how much of it is that mix in aftermarket? And what is the other important factor we should be thinking about in the lower margin profile in APS now versus, say, 3 months ago?

好吧，我想最後一個問題。關於 APS 的 EBITDA 利潤率下降，售後市場的組合有多少？與 3 個月前相比，現在 APS 的利潤率較低，我們應該考慮的另一個重要因素是什麼？

Yes, there's probably 1/3 of that reduction relates to mix. The other piece is that we had that's putting pressure on it would be the price costs that we saw in Q2 were still above 100% for the quarter and for the year, but just a little bit more pressure on the pricing side. And then there's some incremental investments we made in battery and food really just rounding out the drop in the margins, John.

是的，可能有 1/3 的減少與混合有關。另一點是我們給它施加的壓力是我們在第二季度看到的價格成本仍然高於本季度和全年的 100%，但定價方面的壓力略大一些。然後我們在電池和食品方面進行了一些增量投資，真的只是彌補了利潤率的下降，約翰。

Thank you. At this time, I'll now turn the floor back to management for further remarks.

謝謝。現在，我將把發言權轉回管理層，聽取進一步的評論。

Great. Thanks again, everyone, for joining us on the call today. We appreciate your ownership and your interest in Hillenbrand and our transformation. We look forward to talking to you again in August when we will report our fiscal third quarter results. Have a great day. Thank you.

偉大的。再次感謝大家今天加入我們的電話會議。我們感謝您對 Hillenbrand 和我們的轉型的所有權和興趣。我們期待在 8 月再次與您交談，屆時我們將報告我們的第三財季業績。祝你有美好的一天。謝謝。

This will conclude today's conference. You may disconnect your lines at this time. Thank you for your participation.

今天的會議到此結束。此時您可以斷開線路。感謝您的參與。