MarineMax Inc (HZO) 2024 Q3 法說會逐字稿

Good morning. Welcome to the MarineMax Fiscal 2024 third-quarter conference call. Today’s call is being recorded. (Operator Instructions)

早安.歡迎參加 MarineMax 2024 財年第三季電話會議。今天的通話正在錄音。（操作員說明）

At this time, all participants are in a listen-only mode. A brief question-and-answer session will follow the formal presentation. At this time, I would like to turn the call over to Scott Solomon of the company’s Investor Relations firm, Sharon Merrill Advisors. Please go ahead, sir.

此時，所有參與者都處於只聽模式。正式演講後將舉行簡短的問答環節。現在，我想將電話轉交給公司投資人關係公司 Sharon Merrill Advisors 的 Scott Solomon。請繼續，先生。

Good morning and thank you for joining us. Hosting today’s call are Brett McGill, MarineMax’s President and Chief Executive Officer; and Mike McLamb, the company’s Chief Financial Officer. Brett will begin the call by discussing MarineMax’s operating highlights. Mike will review the financial results and then management will be happy to take your questions. The earnings release and supplemental presentation can be found at investor.marinemax.com. With that, I’ll turn the call over to Mike.

早安，感謝您加入我們。今天的電話會議由 MarineMax 總裁兼執行長 Brett McGill 主持。以及公司財務長 Mike McLamb。Brett 將首先討論 MarineMax 的營運亮點。麥克將審查財務結果，然後管理層將很樂意回答您的問題。收益發布和補充說明可在 Investor.marinemax.com 上找到。這樣，我會將電話轉給麥克。

Thank you, Scott. Good morning, everyone, and thank you for joining this call. I’d like to start by reminding you that certain of our comments are forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. Any forward-looking statements speak only as of today. These statements involve risks and uncertainties that could cause actual results to differ materially from expectations.

謝謝你，斯科特。大家早安，感謝您參加本次通話。首先我想提醒您，我們的某些評論屬於 1995 年《私人證券訴訟改革法案》所定義的前瞻性陳述。任何前瞻性陳述僅代表今天。這些陳述涉及風險和不確定性，可能導致實際結果與預期有重大差異。

These risks include, but are not limited to, the impact of seasonality and weather, global economic conditions and the level of consumer spending, the company’s ability to capitalize on opportunities or grow its market share, and numerous other factors identified in our Form 10-K and other filings with the Securities and Exchange Commission.

這些風險包括但不限於季節性和天氣的影響、全球經濟狀況和消費者支出水平、公司利用機會或擴大市場份額的能力，以及我們在我們的報告中確定的許多其他因素。提交的10-K 表和其他文件。

Also on today’s call, we will make comments referring to non-GAAP financial measures. We believe that the inclusion of these financial measures helps investors gain a meaningful understanding of the changes in the company’s core operating results. These metrics can also help investors who wish to make comparisons between MarineMax and other companies on both a GAAP and a non-GAAP basis. The reconciliation of non-GAAP financial measures to the most directly comparable GAAP measures is available in today’s earnings release. With that, let me turn the call over to Brett for an overview for the quarter. Brett?

同樣在今天的電話會議上，我們也將就非公認會計準則財務指標發表評論。我們相信，納入這些財務指標有助於投資人對公司核心經營績效的變化有有意義的了解。這些指標還可以幫助那些希望在 GAAP 和非 GAAP 基礎上對 MarineMax 和其他公司進行比較的投資者。在今天的收益報告中提供了非公認會計準則財務指標與最直接可比較的公認會計準則財務指標的調整表。接下來，讓我將電話轉給布雷特，以了解本季的概況。布雷特？

Thank you, Mike. Good morning, everyone, and thank you for joining us. Our team’s exceptional performance drove 5% topline growth in the third quarter, despite the challenging retail environment across the marine industry. To deliver solid same-store sales growth of 4% in this environment is a testimony to the strength of our strategy and our team.

謝謝你，麥克。大家早安，感謝您加入我們。儘管整個船舶產業的零售環境充滿挑戰，但我們團隊的卓越表現推動第三季營收成長 5%。在這種環境下，同店銷售額達到 4% 的穩健成長，證明了我們的策略和團隊的實力。

With aggressive marketing and promotions, we were able to generate an increase in boat revenue, complemented by nice contributions from our superyachts group, marinas, and finance and insurance businesses.

透過積極的營銷和促銷活動，我們的船舶收入得以增加，同時我們的超級遊艇集團、碼頭以及金融和保險業務也做出了巨大貢獻。

At the industry level, the aggressive promotional environment continued in Q3 amid elevated inventories, interest rates, and persistent concerns about inflation. The weakened consumer sentiment was evident in US powerboat registrations. According to data from statistical surveys, the fiberglass segment, which drives much of our revenue, was down in the quarter. While the premium end of the market is performing better than the value segment, and as we have said all year, it’s not without its challenges.

在行業層面，由於庫存增加、利率上升以及對通膨的持續擔憂，第三季繼續積極的促銷環境。消費者情緒的疲軟在美國摩托艇登記中表現得很明顯。根據統計調查的數據，驅動我們大部分收入的玻璃纖維部門在本季出現了下降。儘管高端市場的表現優於廉價市場，正如我們全年所說，但它也面臨挑戰。

We continue to communicate regularly with our manufacturing partners to ensure they are getting accurate, real-time information about the retail environment. Our manufacturing partners have responded with increased incentives and promotional support to help drive sales.

我們繼續與製造合作夥伴定期溝通，以確保他們獲得有關零售環境的準確、即時資訊。我們的製造合作夥伴已採取更多激勵措施和促銷支援來應對，以幫助推動銷售。

As expected, gross margin of 32% was down from last year due to higher promotional activity. Our stated goal when we initiated our higher margin growth strategy many years ago was to improve and sustain our gross margins above 30%, which we have achieved for 15 consecutive quarters.

如預期，由於促銷活動增多，毛利率為 32%，較去年下降。多年前，我們啟動更高利潤成長策略時的既定目標是提高並維持毛利率在 30% 以上，我們已連續 15 個季度實現這一目標。

With industry-wide boat margins having settled back down to pre-COVID levels or lower in certain categories, our strategy to structurally enhance the long-term operating profile of MarineMax has resulted in a stronger and more resilient company. We credit that to the acquisitions of IGY Marinas, Fraser, and Northrop & Johnson, as well as many other marina and storage-focused entities, among others.

隨著全行業船舶利潤率回落至新冠疫情前的水平或某些類別的更低水平，我們從結構上增強 MarineMax 長期營運狀況的策略使公司變得更強大、更有彈性。我們將此歸功於對 IGY Marinas、Fraser 和 Northrop & Johnson 以及許多其他以碼頭和倉儲為重點的實體的收購。

Our strategic vision for the recreational marine industry has centered on leveraging our decades of experience, relationships, and customer service excellence to build a meaningful presence in higher margin year-round areas of the business.

我們對休閒海洋產業的策略願景集中在利用我們數十年的經驗、關係和卓越的客戶服務，在全年利潤率較高的業務領域建立有意義的影響力。

Supported by our strong balance sheet, the strategic acquisitions we have completed over the past several years have significantly expanded our geographic reach, broadened our product offerings and increased our customer base, giving us touch points across the entire recreational marine ecosystem.

在我們強大的資產負債表的支持下，我們過去幾年完成的策略性收購顯著擴大了我們的地理覆蓋範圍，擴大了我們的產品範圍並擴大了我們的客戶群，為我們在整個休閒海洋生態系統中提供了接觸點。

The vision for our business is to provide the world’s best boating and yachting experience, backed by premium brands and exceptional customer service. When our customers travel to a marina, our goal is to make it one of our destinations.

我們業務的願景是提供世界上最好的划船和遊艇體驗，並以優質品牌和卓越的客戶服務為後盾。當我們的客戶前往碼頭時，我們的目標是使其成為我們的目的地之一。

When they store their boat, we want it to be a MarineMax storage location. When they have a need for financing or insurance, superyacht management or to plan a Caribbean vacation, we want our offerings to be first in mind.

當他們存放船隻時，我們希望它成為 MarineMax 存放位置。當他們需要融資或保險、超級遊艇管理或計劃加勒比海度假時，我們希望我們的產品是他們的首要考慮。

Through our industry-leading technology and digital tools such as Boatyard and Boatzon, we drive great experiences for our customers and high levels of engagement. We are delivering on that vision and believe that the future power of the brand and our platform has never been stronger.

透過我們領先業界的技術和數位工具（例如 Boatyard 和 Boatzon），我們為客戶帶來卓越的體驗和高水準的參與度。我們正在實現這一願景，並相信品牌和我們平台的未來力量從未如此強大。

I would add that each of the businesses we have acquired over the past several years has generally met or exceeded our expectations and also brought an increased base of talent into MarineMax.

我想補充一點，過去幾年我們收購的每一項業務總體上都達到或超出了我們的預期，也為 MarineMax 帶來了更多的人才基礎。

The recent formation of our new SuperYacht Division, SYD, which we previewed on prior earnings calls, is an example of how we are able to generate increasing operating and commercial synergies across our portfolio. The SYD integrates the operations of Fraser Yachts, Northrop & Johnson, Fairport Yacht Management, SuperYacht Management, and Atalanta Golden Yachts, streamlining the back office functions of these businesses into a unified entity.

我們最近成立了新的超級遊艇部門SYD，我們在之前的財報電話會議上對此進行了預覽，這是我們如何能夠在我們的投資組合中產生越來越多的運營和商業協同效應的一個例子。SYD 整合了 Fraser Yachts、Northrop & Johnson、Fairport Yacht Management、SuperYacht Management 和 Atalanta Golden Yachts 的業務，將這些企業的後台職能簡化為一個統一的實體。

Our expansion into superyacht services began many years ago to support our Azimut, Galeon, and Ocean Alexander customers, along with others from our retail dealership operations as they migrated to increasingly larger yachts. The complexity of these vessels demanded specialized services, which our SYD companies are exceptionally well positioned to provide. The creation of this new division also creates opportunities for us to increase synergies between the SYD and our IGY portfolio to expand our international customer base.

我們多年前就開始向超級遊艇服務擴張，為我們的 Azimut、Galeon 和 Ocean Alexander 客戶以及我們零售經銷業務的其他客戶遷移到越來越大的遊艇提供支援。這些船舶的複雜性需要專門的服務，而我們的 SYD 公司在提供這些服務方面具有得天獨厚的優勢。這個新部門的創建也為我們創造了機會，增強 SYD 和 IGY 產品組合之間的協同效應，從而擴大我們的國際客戶群。

As part of our long-term operational improvement plan, we initiated strategic cost-cutting actions to better align our expense structure with the current operating environment and improve operating leverage. Some of our actions will increase toward the end of the selling season and into fiscal 2025. We expect increasing cost savings from these and other initiatives, contributing to enhanced cash flow over the longer term.

作為我們長期營運改善計畫的一部分，我們啟動了策略性成本削減行動，以更好地調整我們的費用結構與當前的營運環境，並提高營運槓桿。我們的一些行動將在銷售季節結束時和 2025 財年期間增加。我們預計這些措施和其他措施將進一步節省成本，有助於增強長期現金流。

On the governance front, during the quarter, the board appointed Dr. Rebecca White as Chair of our Board of Directors. Dr. White, a MarineMax Director since 2018, brings a wealth of expertise to this pivotal role. As the James W. Walter Chair of Entrepreneurship and Director of the John P. Lowth Entrepreneurship Center at the University of Tampa, she offers invaluable insights in governance, strategy and organizational development. Her leadership will be instrumental as MarineMax continues to execute its value creation strategy.

在治理方面，本季董事會任命 Rebecca White 博士為董事會主席。White 博士自 2018 年起擔任 MarineMax 董事，為這一關鍵角色帶來了豐富的專業知識。身為坦帕大學 James W. Walter 創業學主席兼 John P. Lowth 創業中心主任，她在治理、策略和組織發展方面提供了寶貴的見解。隨著 MarineMax 繼續執行其價值創造策略，她的領導力將發揮重要作用。

We recently announced the retirement of three esteemed Board members. First, our Founder and Executive Chairman, Bill McGill, who spearheaded MarineMax’s growth over a career in the marine industry spanning more than 50 years. On behalf of all of the team members of MarineMax, I want to thank Bill for his vision to transform our industry. He is truly a pioneer.

我們最近宣布三位受人尊敬的董事會成員退休。首先是我們的創始人兼執行主席 Bill McGill，他在海洋產業 50 多年的職業生涯中引領了 MarineMax 的發展。我謹代表 MarineMax 的所有團隊成員，感謝 Bill 改變我們產業的願景。他確實是一位先驅。

I also want to acknowledge the work of two other distinguished Board members, Joe Watters and Charles Oglesby. On behalf of the entire Board, I extend our gratitude for their enduring contribution to MarineMax’s success.

我還要感謝另外兩位傑出的董事會成員喬·沃特斯 (Joe Watters) 和查爾斯·奧格爾斯比 (Charles Oglesby) 所做的工作。我代表整個董事會，對他們為 MarineMax 的成功做出的持久貢獻表示感謝。

During our second quarter call, I briefly discussed the situation concerning our marina operations in Cabo San Lucas and mentioned that we were actively pursuing appropriate remedies. While the situation is fluid, we have been operating the marina since early May as we continue to work on longer-term remedies. Given the nature of the process, we are unable at this time to provide further comments.

在第二季的電話會議中，我簡要討論了我們在卡波聖盧卡斯碼頭運作的情況，並提到我們正在積極尋求適當的補救措施。雖然情況不穩定，但我們自五月初以來一直在運作碼頭，並繼續致力於長期補救措施。鑑於該過程的性質，我們目前無法提供進一步的評論。

And before I turn the call over to Mike, I also want to address recent public comments from Island Capital Group. As we stated in the press release we issued on July 12, our Board is open-minded and regularly evaluates bona fide opportunities to enhance shareholder value. The Board is always open and responsive to input from key stakeholders and we have spoken with Island Capital on several occasions.

在將電話轉給麥克之前，我還想談談島嶼資本集團最近的公開評論。正如我們在 7 月 12 日發布的新聞稿中所述，我們的董事會持開放態度，並定期評估提高股東價值的真正機會。董事會始終保持開放態度並積極回應主要利益相關者的意見，我們已多次與 Island Capital 進行了交談。

MarineMax will continue to make decisions and take actions that we believe are in the best interest of the company and our shareholders. Today’s call is focused on our results, strategy and guidance, and we don’t plan to comment further on this matter. Now let me turn the call over to Mike for the financial review. Mike?

MarineMax 將繼續做出我們認為符合公司和股東最佳利益的決策並採取行動。今天的電話會議重點討論我們的結果、策略和指導，我們不打算就此事發表進一步評論。現在讓我把電話轉給麥克進行財務審查。麥克風？

Thank you, Brett, and good morning again, everyone. I’d also like to start by thanking our team for their efforts in producing a strong quarter despite the ongoing industry challenges. For the quarter, revenue grew 5% to approximately $758 million, reflecting same-store sales growth of 4% and contributions from acquisitions including Atalanta Golden Yachts, C&C Boat Works, and Williams Jet Tenders. This is the first full quarter that Williams has been part of MarineMax and their performance in the quarter exceeded our expectations, reflecting the strength of their exceptional team.

謝謝你，布雷特，大家早安。首先，我還要感謝我們的團隊在面臨持續的行業挑戰的情況下為實現強勁的季度業績所做的努力。本季營收成長 5%，達到約 7.58 億美元，反映出同店銷售額成長 4%，以及 Atalanta Golden Yachts、C&C Boat Works 和 Williams Jet Tenders 等收購的貢獻。這是 Williams 加入 MarineMax 的第一個完整季度，他們在本季的表現超出了我們的預期，反映了他們卓越團隊的實力。

Despite the industry-facing unit declines this quarter, we maintained our unit sales at nearly the same level as last year, resulting in market share gains. This resilience in a challenging market not only demonstrates our company’s strength but also positions us strategically for future growth.

儘管本季行業銷量有所下降，但我們的銷量仍與去年幾乎持平，從而提高了市場份額。這種在充滿挑戰的市場中的韌性不僅展示了我們公司的實力，而且為我們未來的成長奠定了戰略地位。

For the quarter, as expected, gross margins declined due to pressure on boat margins. On a consolidated basis, however, margins of 32% reflect the benefit of the higher margin business expansion strategy as Brett mentioned.

正如預期的那樣，本季毛利率因船舶利潤率壓力而下降。然而，在綜合基礎上，32% 的利潤率反映了布雷特提到的更高利潤率業務擴張策略的好處。

SG&A expenses increased 6%, excluding transaction costs, changes in contingent consideration and other items identified in the earnings release. As Brett mentioned, given industry trends, we did initiate cost reduction actions during the quarter, which did include select store closings and reductions within our team. These actions will continue to positively impact our expense structure as we move through Q4 and also fiscal 2025.

SG&A 費用增加了 6%，不包括交易成本、或有對價的變化以及收益發布中確定的其他項目。正如布雷特所提到的，鑑於行業趨勢，我們確實在本季度啟動了成本削減行動，其中包括關閉部分商店和團隊內部的裁員。隨著我們進入第四季度和 2025 財年，這些行動將繼續對我們的費用結構產生積極影響。

Interest expense increased as a result of rising interest rates and increased inventory as expected. Adjusted net income was $34.8 million or $1.51 per diluted share, compared with $46.5 million or $2.07 per diluted share last year. Adjusted EBITDA for the quarter was $70.4 million compared with $83.5 million last year.

由於利率上升和庫存增加符合預期，利息支出增加。調整後淨利為 3,480 萬美元，即稀釋後每股收益 1.51 美元，而去年為 4,650 萬美元，即稀釋後每股收益 2.07 美元。本季調整後 EBITDA 為 7,040 萬美元，而去年為 8,350 萬美元。

Turning to the balance sheet, cash and cash equivalents at June 30 increased to over $242 million. Inventories at quarter end decreased sequentially from March, consistent with historical trends and our expectations. More importantly, our aging of inventory continues to lead the industry as monitored by our industry-leading floor plan lenders and is generally in great shape, especially considering the environment. On a same-store basis, comparable unit inventories are more than 30% below 2019 levels.

談到資產負債表，截至 6 月 30 日，現金和現金等價物增加至超過 2.42 億美元。季末庫存較 3 月環比下降，與歷史趨勢和我們的預期一致。更重要的是，根據我們行業領先的平面圖貸款機構的監測，我們的庫存老化繼續領先於行業，並且總體狀況良好，特別是考慮到環境。以同店計算，可比單位庫存比 2019 年水準低 30% 以上。

Turning to liabilities, our short-term borrowings, which is our floor plan financing was up primarily due to increased inventory. Customer deposits, as expected, declined both year over year and sequentially, given seasonality and the availability of inventory, which is generally consistent with historical patterns.

談到負債，我們的短期借款（即我們的平面圖融資）增加主要是由於庫存增加。正如預期的那樣，考慮到季節性和庫存可用性，客戶存款同比和環比均有所下降，這通常與歷史模式一致。

Debt-to-EBITDA net of cash was a little over 1 times at quarter end, as we continue to maintain a strong liquidity position. We have additional liquidity in the form of unlevered inventory and roughly $200 million in available lines of credit.

由於我們持續保持強勁的流動性狀況，截至季度末，扣除現金的債務與 EBITDA 比率略高於 1 倍。我們擁有無槓桿庫存形式的額外流動性和約 2 億美元的可用信貸額度。

Turning to guidance, based on our year-to-date results, challenges in the industry and expectations for the remainder of the year, we are reaffirming our fiscal year 2024 adjusted net income guidance range of $2.20 per diluted share to $3.20 per diluted share and our adjusted EBITDA guidance range of $155 million to $190 million. These expectations do not consider or give effect for, among other things, material acquisitions that we may complete or other unforeseen events, including changes in global economic conditions.

轉向指導，根據我們今年迄今的業績、行業挑戰以及對今年剩餘時間的預期，我們重申 2024 財年調整後淨利潤指導範圍為每股稀釋每股 2.20 美元至 3.20 美元，我們調整後的EBITDA 指導範圍為1.55 億美元至1.9 億美元。這些預期並未考慮或影響我們可能完成的重大收購或其他不可預見的事件，包括全球經濟狀況的變化。

Our guidance assumes an annual expected tax rate of just over 27% and a share count of $23.1 million. The wider range on EPS versus EBITDA is because our non-cash items, like stock-based compensation and depreciation and amortization, grow more meaningfully as a percentage.

我們的指導假設年度預期稅率略高於 27%，股票數量為 2,310 萬美元。每股盈餘與 EBITDA 的範圍更大是因為我們的非現金項目（例如基於股票的薪酬以及折舊和攤提）的百分比增長更有意義。

For the full year, we continue to anticipate same-store sales growth in the low- to mid-single-digit range and gross margins remaining in the low 30%s on a percentage basis. We expect fiscal 2024 SG&A expenses to be elevated above our 2023 level, given our year-to-date performance but with the year-over-year increase continuing to moderate as we implement additional cost reduction actions.

就全年而言，我們繼續預期同店銷售額將在低至中個位數範圍內成長，毛利率以百分比計算仍將保持在 30% 左右。鑑於我們今年迄今的業績，我們預計 2024 財年的銷售、管理及行政費用將高於 2023 年的水平，但隨著我們實施額外的成本削減行動，同比增幅將繼續放緩。

July continues to reflect the tough retail environment. That said, we expect our team will continue to rise to whatever industry challenges are thrown their way. As of today, our same-store sales for the month of July are trending positively year over year, but there’s much work to do to ensure we finish the month on a strong note.

七月繼續反映出嚴峻的零售環境。也就是說，我們希望我們的團隊將繼續應對任何行業挑戰。截至今天，我們 7 月份的同店銷售額同比呈積極趨勢，但要確保我們以強勁的表現結束這個月，還有很多工作要做。

Our Q3 results demonstrate that with the proper level of manufacturing support coupled with our retailing strategies, we are able to generate sales growth and drive significant cash flows in a challenging environment. With that, I’ll turn the call back over to Brett for closing comments. Brett?

我們第三季的業績表明，憑藉適當水平的製造支援加上我們的零售策略，我們能夠在充滿挑戰的環境中實現銷售成長並推動大量現金流。至此，我會將電話轉回給布雷特以徵求結束意見。布雷特？

Thank you, Mike. The foundation on which MarineMax was founded 26 years ago remains true today to provide the world’s best boating and yachting experience by consistently exceeding the greatest expectations of our customers, our team members and our stakeholders.

謝謝你，麥克。MarineMax 26 年前成立的基礎仍然如此，即透過不斷超越我們的客戶、團隊成員和利益相關者的最大期望來提供世界上最好的划船和遊艇體驗。

Today, we have evolved into a highly diversified global business with exclusive distribution rights to more than 40 premium brands, industry-leading super yacht brokerage services, and a portfolio of strategically positioned luxury marinas.

如今，我們已發展成為一家高度多元化的全球企業，擁有 40 多個優質品牌的獨家經銷權、行業領先的超級遊艇經紀服務以及戰略定位的豪華碼頭組合。

We are executing our value creation strategy to enhance the growth and earnings power by acquiring complementary, higher margin businesses and investing in brand expansion, services, and experiences for the premium segment. Our strategic initiatives are yielding results, and we anticipate significant performance enhancement as market conditions improve and our newly integrated acquisitions gain momentum.

我們正在執行價值創造策略，透過收購互補的、利潤率更高的業務以及投資於高端市場的品牌擴張、服務和體驗來增強成長和獲利能力。我們的策略舉措正在取得成果，隨著市場狀況的改善和我們新整合的收購的勢頭增強，我們預計業績將顯著提升。

We will continue to be disciplined in our approach with a core focus on allocating capital to the highest return opportunities that meet our high investment criteria. We are committed to maintaining the company’s long-term financial strength and generating sustained value for our shareholders. And with that, operator, let’s open up the call for questions.

我們將繼續嚴格執行我們的方法，核心重點是將資金分配給符合我們高投資標準的最高回報機會。我們致力於維持公司的長期財務實力並為股東創造持續的價值。那麼，接線員，讓我們開始提問吧。

(Operator Instructions) Michael Swartz, Truist Securities.

（操作員指令）Michael Swartz，Truist 證券公司。

Hey, guys. Good morning. Maybe just to start with guidance. You reaffirmed your fiscal year 2024 outlook. With two months left in the quarter, it is a pretty wide range. Any kind of philosophy or justification around maybe why you did not narrow the range a bit here, again, two months to go in the fiscal year?

大家好。早安.也許只是從指導開始。您重申了 2024 財年的展望。本季還剩兩個月，這是一個相當大的範圍。有什麼哲學或理由可以解釋為什麼你沒有在本財政年度還剩兩個月的時候稍微縮小範圍嗎？

Good question, Mike. We just produced a pretty good quarter in a tough environment, but the industry clearly is challenged, and we ran all kinds of different scenarios, and we just felt it was the most prudent and warranted to leave the guidance range wide like that, just given the uncertainties that are in the industry today.

好問題，麥克。我們剛剛在艱難的環境中創造了一個相當不錯的季度，但該行業顯然面臨著挑戰​​，我們運行了各種不同的場景，我們只是認為，像這樣保持指導範圍是最謹慎和合理的，只是給出當今產業存在的不確定性。

Okay. And then just with the -- I think you said you closed a few dealerships in the quarter and I would assume that is part of the strategic cost reduction plan that you are putting in place. Is there any way at a high level to quantify what maybe the savings and maybe the revenue impact is of closing those locations with some of the other actions you have taken?

好的。然後，我想您說過您在本季度關閉了一些經銷商，我認為這是您正在實施的戰略成本削減計劃的一部分。有沒有什麼方法可以在較高層面上量化關閉這些地點以及您採取的其他一些行動可能帶來的節省和收入影響？

Probably the best way to look at it, Mike, is last quarter we talked about our first goal is to get our SG&A expense in 2024. The goal was to get it back to 2023’s level. So, if you look at how we have operated in Q1, Q2 and Q3 now, our SG&A percentage is getting closer and closer. I think we are 20 basis points higher on an adjusted basis at the end of this quarter. But we are still 110 basis higher on a year-to-date basis.

麥克，最好的看待方式可能是上個季度我們談到的第一個目標是在 2024 年實現 SG&A 費用。目標是使其恢復到 2023 年的水平。因此，如果你看看我們現在第一季、第二季和第三季的營運情況，就會發現我們的 SG&A 百分比越來越接近。我認為，在本季末調整後的基礎上，我們的股價上漲了 20 個基點。但與年初至今相比，我們的股價仍高出 110 個基點。

So, our goal overall, if you just do the math on that, would tell you we are trying to get something like $20 million or $25 million out of the company from some of the actions that we have taken.

因此，如果您計算一下，我們的總體目標會告訴您，我們正試圖透過我們採取的一些行動從公司獲得 2000 萬或 2500 萬美元左右的收入。

I will add that some of those stores are duplicative in a market and should not affect revenue in any way. That was some of the decision in that case.

我要補充的是，其中一些商店在市場上是重複的，不應以任何方式影響收入。這是該案中的一些判決。

Yeah. That is a good point. The stores that close are largely satellite stores where we have an adjacent store to a hub store nearby if you will.

是的。這是一個好點。關閉的商店主要是衛星商店，如果您願意的話，我們在附近的中心商店附近有一家商店。

Okay. That is helpful. Thank you, guys.

好的。這很有幫助。感謝你們。

James Hardiman, Citigroup.

詹姆斯‧哈迪曼，花旗集團。

Hi. This is Sean Wagner on for James. I just wanted to -- I might have missed it, but what was the breakdown of the same-store sales number between ASPs and units, and then, what was the same-store sales assumption in your guidance? And where do you expect that ASP versus unit trend to go from here?

你好。這是詹姆斯的肖恩·瓦格納。我只是想——我可能錯過了，但平均售價和單位之間的同店銷售數字的細目是什麼，然後，您的指導中的同店銷售假設是什麼？您預計平均售價與銷售趨勢將走向何方？

Yeah. Good question, Sean. We had said for the whole fiscal year, low-to-mid single-digit same-store sales growth. We do not give quarterly guidance and we reaffirmed that same low-to-mid single-digit same-store sales growth the full fiscal year.

是的。好問題，肖恩。我們曾說過，整個財年的同店銷售額將達到中低個位數成長。我們不提供季度指引，但我們重申整個財年同店銷售的中低個位數成長。

In the June quarter, we had 4% same-store sales growth. What I said in the prepared remarks was that we held units’ flat year over year. The entire growth is basically an increase in the average unit selling price.

在六月季度，我們的同店銷售額成長了 4%。我在準備好的發言中所說的是，我們的單位數量比去年同期持平。整個成長基本上就是平均單價的成長。

I think it is extremely noteworthy that we are able to hold our units’ flat year over year where -- for fiberglass boat sales, which is primarily what we are selling a lot of. In the month of June, the industry was down 23%. In the month of May, it was down double digits. I think in April, it was down double digits also. I think it speaks to the testimony of the strategies that we deployed and the strength of our team.

我認為非常值得注意的是，我們能夠使玻璃纖維船銷售量同比持平，這主要是我們大量銷售的產品。6月份，該行業下降了23%。5月份，數字下降了兩位數。我想四月也下降了兩位數。我認為這證明了我們部署的策略和我們團隊的實力。

Okay. And I guess, just on the state of the consumer, when do you think this market bottoms? Do you have any reason to think things get better from here and sort of without -- just better from here without interest rate cuts and how much would interest rates need to move to spark demand?

好的。我想，就消費者的狀況而言，您認為這個市場何時見底？您是否有任何理由認為情況會從現在開始變得更好，如果沒有降息，情況會變得更好？

Yeah. Your guess is as good as ours. Obviously, any signaling of interest rate release would clearly help all consumers and definitely in our marketplace. How much is needed? I do not know that it is a lot that is needed, but something would help.

是的。你的猜測和我們的一樣好。顯然，任何利率釋放的訊號顯然都會幫助所有消費者，尤其是我們市場上的消費者。需要多少？我不知道需要多少，但有些東西會有所幫助。

And where are we, I think all of us in the industry want to feel like we are somewhere skimming along the bottom of this cycle trying to figure out how to get level, but it continues to be challenged on a year-over-year basis. But it feels like we are down towards the bottom of this cycle.

我們現在在哪裡，我認為業內所有人都希望感覺自己處於這個週期的底部，試圖弄清楚如何達到水平，但它仍然逐年受到挑戰。但感覺我們正處於這個週期的底部。

Okay. Thanks, guys.

好的。多謝你們。

Drew Crum from Stifel.

來自 Stifel 的德魯·克拉姆。

Okay. Thanks. Hey, guys. Good morning. You provided some commentary on your inventory. Could you expound on that and maybe give us a sense as to how your position compares to the industry and how you see inventory trending for your business over the next few quarters?

好的。謝謝。大家好。早安.您對庫存提供了一些評論。您能否詳細說明這一點，也許讓我們了解您的地位與行業相比如何，以及您如何看待未來幾季您的業務的庫存趨勢？

Yeah. I can take a stab at this, and Brett can chime in if he wants to. But we get a lot of data from our floor plan letters that would show that we are very well-positioned, especially from an aging perspective, relative to the industry overall. There have been a couple of other reports that have tried to compare our inventory versus others.

是的。我可以嘗試一下，布雷特如果願意也可以插話。但我們從平面圖信件中獲得了大量數據，這些數據表明我們相對於整個產業處於非常有利的位置，特別是從老化的角度來看。還有一些其他報告試圖將我們的庫存與其他人進行比較。

I think we are in pretty good shape. We have been focused on it for a while. Our level of non-currents is pretty low. Our fresh products is higher, obviously. So all that is good.

我認為我們的狀態非常好。我們已經關注它有一段時間了。我們的非流動水準相當低。顯然，我們的生鮮產品更高。所以這一切都很好。

The way inventory traditionally, seasonally, rises and falls, usually the end of June is a low point and then it begins to rise as you go through the summer. So I would expect as we get to the end of September, inventories will come up something from where they are now at the end of June. It all depends on what comes in from the manufacturers.

傳統上，庫存季節性地上升和下降，通常六月底是一個低點，然後隨著夏季的到來，它開始上升。因此，我預計到 9 月底時，庫存將比 6 月底的情況增加。這一切都取決於製造商的產品。

We are, as you can imagine, working very closely with all of our partners about build rates. I think, Brett said, giving them real-time feedback on what is happening at retail, adjusting trends, adjusting product that we are getting daily with our manufacturing partners, just given the fluidness of the industry today.

正如您可以想像的那樣，我們正在與所有合作夥伴就構建率進行密切合作。布雷特說，我認為，考慮到當今行業的流動性，向他們提供有關零售業發生的情況的即時回饋，調整趨勢，調整我們每天與製造合作夥伴一起獲得的產品。

Yeah. And I will add that all of our manufacturers have done an outstanding job stepping up with this kind of providing the support needed to push retail. Even with these trends that are shown in the data, they are helping us push inventory through.

是的。我還要補充一點，我們所有的製造商在提供推動零售所需的支援方面都做得非常出色。即使數據中顯示了這些趨勢，它們也正在幫助我們推動庫存。

Got it. And then maybe just a follow-up, guys. Just your confidence in your ability to sustain a gross margin at or above 30%. It looks like the rate of decline -- year-on-year decline is moderated as you progress through the year, but just confidence that you can keep it in that low 30%s range going forward? Thanks.

知道了。然後也許只是後續行動，夥計們。只是您對將毛利率維持在 30% 或以上的能力充滿信心。看起來下降率——同比下降率隨著這一年的進展而放緩，但你是否有信心未來能夠將下降率保持在 30% 的低水平範圍內？謝謝。

Yeah. I think that we generally felt confident when we deployed this strategy many years ago that we would be able to keep it up there. I think that what probably confused a lot of people was when boat margins expanded as much as they did during COVID, so it was kind of masking our strategy and so we kept trying to articulate of our margin breakdown, how much of it is boat margins versus how much of it is these higher margin businesses. And clearly, today in the industry, boat margins are at or below pre-COVID levels.

是的。我認為，當我們多年前部署這項策略時，我們普遍充滿信心，認為我們能夠保持這項策略。我認為，可能讓很多人感到困惑的是，當船舶利潤率像新冠疫情期間那樣擴大時，這有點掩蓋了我們的策略，因此我們一直試圖闡明我們的利潤率細目，其中有多少是船舶利潤率以及這些利潤率較高的業務佔多少比例。顯然，現今產業的船舶利潤率已達到或低於新冠疫情前的水準。

So there is no longer this upside in our margins from the product that we are selling. And so the margin you are seeing this quarter at 32% is the reflection of these strategies. And actually, I would probably tell you there may be some upside in those margins long-term because of where the industry is.

因此，我們銷售的產品的利潤不再有這種上升空間。因此，本季 32% 的利潤率就是這些策略的反映。事實上，我可能會告訴你，由於產業所處的位置，這些利潤長期來看可能會有一些上行空間。

You break it down into the new and used boat sales margins are clearly at some of the highest pressures they have been under, right? And then you look at our strategy. Really, some of these acquisitions are very new in the higher margin businesses. And as we continue to integrate, find synergies across the platforms, which we are, the next several years, we think there is opportunity and upside in that.

你將其分解為新船和二手船的銷售利潤率，顯然它們正面臨最高的壓力，對嗎？然後你看看我們的策略。事實上，其中一些收購對於利潤率較高的業務來說是非常新的。隨著我們繼續整合，尋找跨平台的協同效應，我們認為，未來幾年，這其中存在著機會和優勢。

Okay. Thanks, guys.

好的。多謝你們。

Joe Altobello, Raymond James.

喬·阿爾托貝洛，雷蒙德·詹姆斯。

Thanks. Hey, guys. Good morning. So, first question, just curious on retail trends throughout the quarter. I think on the last earnings call, you mentioned that April comps were up nicely. So, if you look at the industry data, it seemed to get worse as the quarter progressed. So I’m curious what you guys saw.

謝謝。大家好。早安.所以，第一個問題，我只是對整個季度的零售趨勢感到好奇。我想在上次財報電話會議上，您提到四月份的業績成長良好。因此，如果你看一下行業數據，隨著季度的進展，情況似乎變得更糟。所以我很好奇你們看到了什麼。

Yeah. Our April was strong. And I tell you, we finished strong. Despite the data in June, we finished strong. We finished the quarter strong. So, it doesn’t mean that May was bad. It wasn’t necessarily bad. It just -- we needed a strong June and we had a strong June.

是的。我們的四月很強勁。我告訴你，我們表現強勁。儘管 6 月的數據不佳，但我們仍表現強勁。我們以強勁的表現結束了本季。所以，這並不意味著五月很糟糕。這並不一定是壞事。只是－我們需要一個強勁的六月，而我們也擁有了一個強勁的六月。

But then geographically, I know you didn’t ask that, but no region really stood out as a real bright spot. I think we continue to cite Florida as a good place to be. But the Midwest came alive seasonally. The Northeast did, as you would expect, to a degree, Texas. But yeah, April was strong, as we said earlier, Joe, and then we finished the quarter with a pretty strong month as well.

但從地理角度來看，我知道你並沒有問這個問題，但沒有一個地區真正成為真正的亮點。我認為我們繼續將佛羅裡達視為一個好地方。但中西部地區季節性地活躍起來。正如你所預料的那樣，德克薩斯州在一定程度上做到了東北部。但是，是的，四月份表現強勁，正如我們之前所說，喬，然後我們也以相當強勁的月份結束了本季。

Okay. Helpful. And then on the cost savings, I think you mentioned earlier, $20 million to $25 million. I assume that encompasses all of the cost savings initiatives that you guys are talking about. And in terms of timing, is that by the end of next year? So we’ll see the full benefit of that in fiscal 2026?

好的。有幫助。然後，關於成本節約，我想您之前提到過，2000 萬至 2500 萬美元。我認為這涵蓋了你們正在談論的所有成本節約措施。從時間上來說，是明年年底嗎？那麼我們會在 2026 財年看到這一點的全部好處嗎？

Yeah. So kind of the way I’m articulating it, Joe, is our first goal is let’s get back, let’s get our SG&A in line with where it was in 2023. And if you do that math with where we are now, you get to that mid-$20 million range and that would be on a run rate for (technical difficulty)

是的。喬，我表達的方式是，我們的首要目標是讓我們回歸，讓我們的銷售及管理費用與 2023 年的水準保持一致。如果你根據我們現在的情況進行數學計算，你會得到 2000 萬美元左右的範圍，這將是按運行率計算的（技術難度）

I’ll probably add some caveats. Obviously, that’s subject to inflation and other changes and all that stuff. But that’s the goal that we’ve set out. We’ve been making good progress. You can tell just in the current quarter how our SG&A percentages are pretty close year over year.

我可能會添加一些警告。顯然，這會受到通貨膨脹和其他變化等因素的影響。但這就是我們設定的目標。我們一直在取得良好進展。您可以在本季看出我們的銷售、管理及行政費用 (SG&A) 百分比與去年同期非常接近。

Understood. Thank you.

明白了。謝謝。

Eric Wold, B. Riley Securities.

沃爾德 (Eric Wold)，B. 萊利證券。

Thanks. Good morning. So let’s sort of dive into the margins a little bit more. You know that OEM continues to lean heavily on incentives to push sales and reduce channel inventories. But you also noted that boat margins are at or below pre-pandemic levels.

謝謝。早安.因此，讓我們更深入地探討一下邊緣問題。您知道，OEM 繼續嚴重依賴激勵措施來推動銷售和減少通路庫存。但您也指出，船舶利潤率處於或低於疫情前的水平。

So do you expect OEMs to keep incentives at current levels longer term or if they take their foot off the gas on those when demand improves on lower rates, how much upside can you have on boat margins from here? Does that imply that boat margins on a normalized basis should be above pre-pandemic levels longer term?

那麼，您是否預期原始設備製造商會長期將激勵措施保持在當前水平，或者當需求因較低的利率而改善時，如果他們不再關注汽油，那麼您的船舶利潤率可以有多少上升空間？這是否意味著從長遠來看，正常化的船舶利潤率應高於疫情前的水準？

Good question. Maybe the way I’d answer it, Eric, is boat margins are under pressure today. So when you look at transaction margins, they’re probably an aggregate a little below where they would have been averaging for most of the years before the -- before COVID, only because of how soft the industry is.

好問題。艾瑞克，也許我的回答是，如今船舶利潤面臨壓力。因此，當你觀察交易利潤率時，你會發現它們的總和可能略低於新冠疫情之前大部分時間的平均水平，這只是因為該行業的疲軟程度。

I don’t think the industry has seen declines like this if you take out the financial crisis. I don’t think the industry has seen declines where it’s down 23%, 15%, stuff like that in a long, long time. So I think there is upside from a boat margin perspective long-term. On the first part of your question, I think manufacturers are going to continue to help drive retail and work closely with their dealer partners.

我認為，如果排除金融危機的影響，該產業就不會出現這樣的下滑。我認為該行業在很長一段時間內都沒有出現過下降 23%、15% 之類的情況。因此，我認為從長期角度來看，船舶利潤率有上行空間。關於你問題的第一部分，我認為製造商將繼續幫助推動零售並與經銷商合作夥伴密切合作。

And I would add that their incentives and support are in line with historical trends also. So, I think that kind of plays out normally.

我想補充一點，他們的激勵和支持也符合歷史趨勢。所以，我認為這種情況是正常的。

Got it. And then just the follow-up question, kind of thinking about kind of the two groups of buyers that would come into your store, obviously, the value boat buyer that needs financing and maybe a higher end buyer that maybe, at least indicates he’s a cash buyer, but he may be financing somewhere else.

知道了。然後是後續問題，考慮一下會進入您商店的兩組買家，顯然，需要融資的價值船買家，也許是高端買家，至少表明他是這樣的——他是現金買家，但他可能在其他地方融資。

They’re going to be in a little bit better position than the value buyer. Have you seen -- on the hiring guys, have you seen any shifts in their demand or any improvements or deceleration demand from maybe the better positioned buyer in recent months?

他們將比價值買家處於更好的位置。您是否看到招募人員的需求發生了任何變化，或者最近幾個月來自可能處於更有利位置的買家的任何改進或減速需求？

I think it’s a general rule that because of the brands we carry, most of our buyers technically are better positioned. But maybe a way to answer the question a little bit is, and Brett’s been saying this for a while, from a smaller product to a larger product, including yachts, it’s a tough environment out there across the spectrum.

我認為一般規則是，由於我們擁有的品牌，我們的大多數買家在技術上都處於更好的位置。但也許回答這個問題的一個方法是，布雷特已經說過一段時間了，從較小的產品到包括遊艇在內的較大產品，整個領域的環境都很艱難。

People are very selective. They really need a reason to buy today, which we’ve been obviously unlocked that and find those reasons successfully, but it doesn’t really matter where they are on the spectrum is what I’d say is difficult.

人們非常有選擇性。他們今天確實需要一個購買的理由，我們顯然已經解鎖了這個理由，並成功地找到了這些理由，但他們處於哪個階段並不重要，我想說的是困難。

Yeah. And I don’t think we’ve seen any major shift in their appetite to finance with us or finance or not finance or the profile looking much different. Nothing’s really dramatically changed there. I think you were touching on that in your question.

是的。我認為我們沒有看到他們對與我們合作融資的興趣發生任何重大轉變，或者融資或不融資，或者形像看起來有很大不同。那裡沒有什麼真正發生巨大的變化。我認為你在問題中談到了這一點。

No. That helps. Thanks, guys.

不。這有幫助。多謝你們。

Brandon Rollé, D.A. Davidson.

布蘭登·羅爾，D.A.戴維森。

First, just given that fiscal year 2024 is almost coming to a close, would you provide any early thoughts on fiscal year 2025 and maybe some puts and takes to think about as we model fiscal year 2025? Thank you.

首先，鑑於 2024 財年即將結束，您能否提供有關 2025 財年的任何早期想法，以及在我們為 2025 財年建模時需要考慮的一些看法？謝謝。

Brandon, thank you. Thank you for the question. We don’t get into talking too deeply about 2025 until this year ends and then we state our guidance for 2025. The only thing I would say is, and I may change this commentary a quarter, who knows, but Brett kind of touched on this. It’s hard to think the industry can get a whole lot softer.

布蘭登，謝謝你。感謝你的提問。在今年結束之前，我們不會太深入地討論 2025 年，然後我們會闡述對 2025 年的指導。我唯一想說的是，我可能會改變這個評論四分之一，誰知道呢，但布雷特有點觸及了這一點。很難想像這個行業會變得更加疲軟。

Yeah. And I think you could kind of, we’ve been pretty consistent for many, many years on how we model our business, although it’s changed a lot with a lot of our higher margin businesses, but we model around what do we think the industry units are going to be next year.

是的。我認為你可能會說，多年來我們在業務建模方面一直非常一致，儘管我們的許多利潤率較高的業務發生了很大變化，但我們的建模圍繞著什麼我們認為行業單位將在明年。

And we derive a number up or down, usually up from that and I think we’ll be consistent with the way we’ve done it year in and year out with also applying our higher margin business and how they’ll perform. And I think showing this quarter, we feel that those are a touch more resilient and should continue to show that.

我們得出一個向上或向下的數字，通常是向上的，我認為我們將與我們年復一年的做法保持一致，同時應用我們的利潤率較高的業務以及它們的表現。我認為在本季度展示，我們認為這些更具彈性，並且應該繼續展示這一點。

Okay. Great. And then just one more question. I think you had mentioned you were expecting maybe inventory levels to maybe start rising in September. Are you kind of underpinning maybe two more months of destocking and then dealers are ready to take on more inventory or do you feel like given where kind of industry inventories are at, it could last throughout the remainder of calendar year 2024?

好的。偉大的。然後還有一個問題。我想您曾提到您預計庫存水準可能會在 9 月開始上升。您是否會支持再進行兩個月的去庫存，然後經銷商準備好接受更多庫存，或者您是否認為考慮到行業庫存的狀況，這種情況可能會持續到 2024 年剩餘時間？

I think that’s a great question. I think it really depends on a dealer-by-dealer. I think overall from an industry perspective, there’s a lot of dealers out there who have too much product still and they have too much age products. So they’re going to be hard pressed to take new models of anything today and I think you’re seeing that reflected in the earnings reports in the industry today from the different manufacturers that are coming out there.

我認為這是一個很好的問題。我認為這實際上取決於經銷商。我認為總體而言，從行業角度來看，有很多經銷商擁有太多仍然存在的產品，而且他們擁有太多過時的產品。因此，他們今天將很難採用任何新模型，我認為您已經在當今行業中不同製造商發布的收益報告中看到了這一點。

From our perspective, we are in -- we think we’re in a lot better, well, we are in a lot better shape from an aging and a non-current perspective. We’re going to be bringing in product that we think we need for the foreseeable future, and traditionally, that means inventories rise slightly as we head into September. All that depends on retail trends and how we’re seeing in July, August and September, obviously, and we’ll make adjustments as needed.

從我們的角度來看，我們認為我們的狀況要好得多，從老化和非目前的角度來看，我們的狀況要好得多。我們將引進我們認為在可預見的未來需要的產品，傳統上，這意味著進入 9 月時庫存會略有增加。顯然，這一切都取決於零售趨勢以及我們在 7 月、8 月和 9 月的情況，我們將根據需要進行調整。

Okay. Great. Thank you.

好的。偉大的。謝謝。

John Healy, Northcoast.

約翰·希利，北海岸。

Thanks for taking my question. Just one question on the gross margins. I know there’s been a lot of discussion of that on the call already. But just wanted to ask it this way, when you kind of look at that and where we’re at, I take your comments as being we’re at a pretty low point, but I’d love to get your thoughts on how they recover from here and how that process evolves.

感謝您提出我的問題。只有一個關於毛利率的問題。我知道電話會議上已經對此進行了很多討論。但只是想這樣問，當你看看我們現在的處境時，我認為你的評論是我們正處於一個相當低的點，但我很想听聽你的想法關於他們如何從這裡恢復以及這個過程如何演變。

Is it simply that we need retail or do you feel like the situation at your competitive dealers will that weigh on gross margins for a period even if you are starting to see some continuation of this retail trend? I’m just trying to understand the pace and maybe some framework of how you think it might get better from here?

只是因為我們需要零售嗎？我只是想了解一下進度，也許還有一些框架，您認為從這裡開始情況會如何變得更好？

Yeah. I’ll just comment. I think you do need a healthier industry environment. It would be beneficial for sure in terms of inventory levels, all of that, which is happening.

是的。我只是發表評論。我認為你確實需要一個更健康的產業環境。就庫存水準而言，這肯定是有益的，所有這些正在發生。

There is some data out there that some of the floor plan lenders have shared that is projecting and showing weeks on end dropping at the end of September and then really dropping at the end of December. And what’s driving a lot of that is some level of retail, but also significant drops in wholesale.

一些平面圖貸款機構分享了一些數據，這些數據預計並顯示 9 月底連續幾週下降，然後在 12 月底真正下降。其中很大一部分原因是零售業的一定程度的成長，但批發業也大幅下降。

So the product coming in isn’t replenishing as fast as the sales are going out, which is good. You can kind of check that box that that should be happening here early in our fiscal 2025. So maybe late calendar 2024, early calendar 2025. And then obviously the consumer feeling better I think will help.

因此，產品的補充速度並沒有銷售出去的速度快，這很好。您可以勾選該框，確定這應該會在 2025 財年年初發生。所以可能是 2024 年末，2025 年年初。顯然，我認為消費者感覺更好會有所幫助。

And it’s a normal cycle. I chalk it up to we’re in some type of a cycle now that we as an organization have been through multiple times as a management team and it’s not all that uncommon. Margins do contract and then they do rise afterwards.

這是一個正常的周期。我認為這是因為我們現在正處於某種類型的周期中，作為一個組織，我們作為管理團隊已經經歷過多次，而且這種情況並不少見。利潤率確實會收縮，然後又會上升。

Our manufacturers have been great. They know that they’re tough decisions to make to bring some production levels down so that we can kind of start getting ahead of this retail downward trend. That’s going to help too. But with the industry trends, like Mike said, it’s going to be hard to get uptick in those quickly.

我們的製造商很棒。他們知道，降低部分生產水準是一項艱難的決定，這樣我們才能開始領先零售業的下降趨勢。這也會有幫助。但正如麥克所說，隨著行業趨勢的發展，這些趨勢將很難迅速上升。

Understood. Thank you.

明白了。謝謝。

David MacGregor, Longbow Research.

大衛‧麥格雷戈，長弓研究中心。

Yes. Good morning and thanks for taking the questions. A couple questions. First of all, just around the acquisition cadence, do the cost reduction efforts and maybe the other points of focus in your business right now, you kind of throttle back on acquisition activity or does this environment kind of accelerate and create a little more motivation around the seller and as a consequence we’d see a little more activity?

是的。早上好，感謝您提出問題。有幾個問題。首先，圍繞著收購節奏，降低成本，也許還有您現在業務的其他重點，您會減少收購活動，或者這種環境是否會加速並創造更多動力賣家，因此我們會看到更多的活動？

Yeah. I think the industry trends and kind of wanting to make sure cash flow is in a great place has probably throttled things a little in the past, I’ll call it year. But I think there’s opportunities out there, and we’re keeping an eye as we always do on what we could do to continue to grow.

是的。我認為，行業趨勢以及確保現金流處於良好狀態的願望可能在過去（我稱之為“一年”）中有所限制。但我認為機會就在那裡，我們會像往常一樣密切關注我們能做些什麼來繼續成長。

Follow up question, just I wonder if we could dig a little further into some of the cost reduction programs and efforts to $20 million to $25 million. And you talked already about maybe closing some underperforming locations. Is that the largest part in terms of the composition of that number or are there other things going on here that are worth talking about?

後續問題，我想知道我們是否可以進一步深入研究一些成本削減計劃和 2000 萬至 2500 萬美元的努力。您已經談到可能會關閉一些表現不佳的地點。就該數字的構成而言，這是最大的部分還是這裡還有其他值得討論的事情？

David, thank you. We talked I think on last call, we’re looking at everything in the business, every line item. And certainly, facilities costs are a big part of it. It comes with insurance and a bunch of other things that are related to the facilities. So that may end up being the largest overall percentage, although I don’t really recall for sure.

大衛，謝謝你。我想在最後一次通話中我們談到了，我們正在研究業務中的一切，每一個項目。當然，設施成本是其中很大一部分。它附帶保險和許多與設施相關的其他東西。因此，這可能最終成為最大的總體百分比，儘管我不太確定。

But then some level of team member reductions, which we’ve done and then other just internal costs and spend with different vendor partners that we’ve really dug into to decide do we need that or do we not or can we renegotiate it. So that’s the goal that we’re working on.

但是，我們已經做了一定程度的團隊成員削減，然後是其他內部成本以及與不同供應商合作夥伴的支出，我們已經真正深入研究以決定我們是否需要或是否可以重新談判。這就是我們正在努力的目標。

Great. Thanks very much, Mike

偉大的。非常感謝，麥克

Thank you. This concludes our question-and-answer session. I would like to turn the conference back over to Brett McGill for any closing remarks.

謝謝。我們的問答環節到此結束。我想將會議轉回布雷特·麥吉爾（Brett McGill）發表閉幕詞。

I want to thank everybody for joining the call today. And we’ll be hard at work. And we’ll talk to you on the next quarter call.

我要感謝大家今天加入電話會議。我們將努力工作。我們將在下個季度的電話會議上與您交談。

Thank you. The conference has now concluded. Thank you for attending today’s presentation. You may now disconnect.

謝謝。會議現已結束。感謝您參加今天的示範。您現在可以斷開連線。