Installed Building Products Inc (IBP) 2024 Q2 法說會逐字稿

Greetings and welcome to Installed Building Products fiscal 2024 second quarter financial results conference call. (Operator Instructions) As a reminder, this conference is being recorded and it is now my pleasure to introduce your host, Darren Hicks, Vice President of Investor Relations. Please go ahead.

您好，歡迎參加已安裝建築產品 2024 財年第二季財務業績電話會議。（操作員說明）謹此提醒，本次會議正在錄製中，現在我很高興向您介紹主持人，投資者關係副總裁達倫·希克斯 (Darren Hicks)。請繼續。

Good morning, and welcome to Installed Building Products second quarter 2024 earnings conference call. Earlier today, we issued a press release on our financial results for the second quarter, which can be found in the investor relations section of our website. On today's call, management's prepared remarks and answers to your questions may contain forward-looking statements within the meaning of the federal securities laws.

早安，歡迎參加已安裝建築產品 2024 年第二季財報電話會議。今天早些時候，我們發布了第二季財務業績的新聞稿，您可以在我們網站的投資者關係部分找到該新聞稿。在今天的電話會議上，管理層準備好的評論和對您問題的回答可能包含聯邦證券法含義內的前瞻性陳述。

These forward-looking statements are based on management's current expectations and beliefs. These statements are subject to risks, uncertainties, and other factors that could cause actual results to differ materially from those described today.

這些前瞻性陳述是基於管理階層目前的期望和信念。這些陳述受到風險、不確定性和其他因素的影響，可能導致實際結果與今天描述的結果有重大差異。

Please refer to the cautionary statements and risk factors in our SEC filings, including our annual report on Form 10-K. We undertake no duty or obligation to update any forward-looking statements as a result of new information or future events except as required by federal securities laws.

請參閱我們向 SEC 提交的文件中的警告聲明和風險因素，包括我們的 10-K 表格年度報告。除聯邦證券法要求外，我們不承擔因新資訊或未來事件而更新任何前瞻性聲明的責任或義務。

In addition, management refers to certain non-GAAP and adjusted financial measures on this call. You can find a reconciliation of such measures to the nearest GAAP equivalent in the company's earnings release and additional reconciliation for EBITDA and adjusted EBITDA for earlier fiscal years in our investor presentation, which are available on our investor relations section of our website.

此外，管理階層在這次電話會議中提到了某些非公認會計原則和調整後的財務指標。您可以在公司的獲利報告中找到這些指標與最接近的 GAAP 等值的調整表，以及我們網站投資者關係部分的投資者介紹中的 EBITDA 和調整後 EBITDA 的額​​外調整表。

This morning's conference call is hosted by Jeff Edwards, our Chairman and Chief Executive Officer; and Michael Miller, our Chief Financial Officer; and joined by Jason Niswonger, our Chief Administrative and Sustainability Officer. I will now turn the call over to Jeff.

今天早上的電話會議由我們的董事長兼執行長 Jeff Edwards 主持；和我們的財務長邁克爾米勒；我們的首席行政和永續發展長 Jason Niswonger 也加入了進來。我現在將把電話轉給傑夫。

Thanks, Darren, and good morning to everyone joining us on today's call. As usual, I will start the call with some highlights and then turn the call over to Michael, who will discuss our financial results and capital position in more detail before we take your questions.

謝謝達倫，祝所有參加今天電話會議的人早安。像往常一樣，我將首先介紹一些要點，然後將電話轉給邁克爾，他將在我們回答您的問題之前更詳細地討論我們的財務表現和資本狀況。

During the second quarter, we began the process of winding down the operations of the single branch that installed non-core building products into newly constructed commercial structures. We believe that excluding the financial results of this branch from our typical income statement metrics is useful in understanding and evaluating the results of our ongoing operations as its non-core.

在第二季度，我們開始逐步結束在新商業建築中安裝非核心建築產品的單一分支機構的運作。我們相信，從我們典型的損益表指標中排除該分支機構的財務表現有助於理解和評估我們作為非核心業務的持續營運的結果。

As such, all income statement figures mentioned on this call exclude the aforementioned branch results and are thus net of dispositions. Our second quarter sales results continued to reflect fundamental improvements in our single family end market relative to last 12 months and good sales growth in our multifamily end market.

因此，本次電話會議中所提及的所有損益表資料均不包括上述分行業績，因此不含處置。我們第二季的銷售業績繼續反映了我們的單戶終端市場相對於過去 12 個月的根本性改善以及多戶終端市場的良好銷售成長。

We believe our customers were committed to meeting new construction homeownership demand by continuing to build new single family homes in the current macro-economic backdrop. We expect our multifamily backlog to keep branches in core geographic markets busy in the near term, despite ongoing industry headwinds as it relates to multi family unit starts.

我們相信，在當前的宏觀經濟背景下，我們的客戶致力於透過繼續建造新的單戶住宅來滿足新建房屋的需求。我們預計，儘管與多戶型單位開工有關的行業持續存在阻力，但我們的多戶型積壓訂單將使核心地理市場的分支機構在短期內保持繁忙。

Longer term we believe opportunities in our multifamily end markets remain attractive. I'm encouraged by the positive same branch sales growth we achieved in our single family end market. The nearly 8% year over year increase during the quarter was the strongest increase in same branch sales since the fourth quarter of 2022. Single family sales growth was supported by a growing proportion of sales from national production builders in the quarter.

從長遠來看，我們相信多戶型終端市場的機會仍然具有吸引力。我對我們在單戶終端市場取得的正面的同分店銷售成長感到鼓舞。該季度年增近 8%，是 2022 年第四季以來同店銷售額的最強勁增長。本季全國生產建築商的銷售比例不斷增加，支撐了單戶住宅銷售的成長。

Our deep customer relationships, local market knowledge, and ability to align our pricing with the value we offer our customers were key to our second quarter single family sales results. Our (inaudible) family installation sales growth continued to be resilient with the apparent operational benefits of our centralized service oriented model.

我們深厚的客戶關係、當地市場知識以及將我們的定價與我們為客戶提供的價值保持一致的能力是我們第二季單戶銷售業績的關鍵。我們的（聽不清楚）家庭安裝銷售成長持續保持彈性，我們以集中服務為導向的模式具有明顯的營運優勢。

On a same branch basis, multifamily sales in our installation segment increased 5%. In addition across our branches, there continues to be an opportunity to sell IBP's installation services in our markets that historically have not served multifamily customers.

在同一分店的基礎上，我們安裝部門的多戶住宅銷售額成長了 5%。此外，在我們的各個分店中，我們仍然有機會在歷史上不為多戶家庭客戶提供服務的市場上銷售 IBP 的安裝服務。

The sales growth results for our commercial insulation segment reflects different dynamics in the two submarkets that make up our commercial end market. The heavy commercial market continues to experience healthy growth. While our light commercial market continues to experience some headwinds as the light commercial construction cycle tends to lag single family construction activity.

我們的商業絕緣部門的銷售成長結果反映了構成我們商業終端市場的兩個子市場的不同動態。重型商業市場繼續健康成長。雖然我們的輕型商業市場繼續遇到一些阻力，因為輕型商業建築週期往往落後於單戶建築活動。

Excluding dispositions, commercial sales growth was modestly positive in the quarter. Strong profitability during the second quarter continued to reflect our strategic priority to apply our local market expertise to efficiently complete the most operationally and financially attractive jobs for our local business. As a result, our second quarter adjusted EBITDA margin expanded to 18.5%.

不包括處置在內，本季商業銷售成長溫和。第二季強勁的獲利能力持續反映了我們的策略重點，即運用我們的本地市場專業知識，以高效地完成對本地業務最具營運和財務吸引力的工作。因此，我們第二季調整後 EBITDA 利潤率擴大至 18.5%。

Acquisitions continued to be our top priority as we consider all of our options for capital allocation. Despite our growth over the years, we believe in meaningful opportunities still exists for us to expand our geographic presence and diversify the mix of building products we install across our national branch network.

當我們考慮所有資本配置選擇時，收購仍然是我們的首要任務。儘管我們多年來不斷發展，但我們相信仍然存在有意義的機會來擴大我們的地理影響力並使我們在全國分支機構網絡中安裝的建築產品組合多樣化。

During the 2024 second quarter, in July, we completed the following acquisitions. In North Carolina based installer of insulation, other diversified building products serving single family and multifamily customers with annual revenue over $6 million.

2024 年第二季 7 月，我們完成了以下收購。位於北卡羅來納州的絕緣安裝商和其他多元化建築產品服務於單戶和多戶客戶，年收入超過 600 萬美元。

In Oklahoma based installer of insulation, in a Massachusetts based installer of gutters, with combined annual revenue of approximately $14 million. And in Illinois based installer of a diversified set of building products with annual revenue of approximately $20 million. To date, we have acquired over $50 million of annual revenue, and we expect 2024 to be another favorable year of acquisition growth.

俄克拉荷馬州的隔熱安裝商和馬薩諸塞州的排水溝安裝商的年總收入約為 1400 萬美元。位於伊利諾州的多元化建築產品安裝商的年收入約為 2000 萬美元。迄今為止，我們的收購年收入已超過 5,000 萬美元，我們預計 2024 年將是收購成長的另一個有利年份。

We believe we are well positioned for another year of strong operational and financial performance in 2024 as we continue to focus on profitability and effective capital allocation to drive earnings growth and value for our shareholders.

我們相信，隨著我們繼續專注於獲利能力和有效的資本配置，以推動股東的獲利成長和價值，我們將在 2024 年繼續保持強勁的營運和財務表現。

Based on the US Census Bureau, single family starts year to date through June '24 have increased by 16%. We believe the current pace of starts growth supports a healthy market environment for our single family installation services.

根據美國人口普查局的數據，截至 2024 年 6 月，單戶家庭的開工率增加了 16%。我們相信，目前的開工成長速度為我們的單戶安裝服務提供了健康的市場環境。

Additionally, beyond the typical demand drivers, we believe the United States government incentives and plan mandates towards more stringent energy efficiency standards in new and existing single family homes will be favorable for our business.

此外，除了典型的需求驅動因素之外，我們相信美國政府對新建和現有單戶住宅制定更嚴格的能源效率標準的激勵措施和計劃要求將有利於我們的業務。

We intend to continue to focus on what we can control, leveraging our strong customer relationships, experienced leadership team, national scale, and diversed product categories across multiple end markets to help the company navigate through any future changes in the US construction market.

我們打算繼續專注於我們可以控制的事情，利用我們強大的客戶關係、經驗豐富的領導團隊、全國規模和跨多個終端市場的多樣化產品類別，幫助公司應對美國建築市場未來的任何變化。

I'm proud of our team's continued success, commitment to excellence, and ability to consistently meet the needs of our customers. To everyone at IBP, thank you for your commitment, your hard work and a tough job, always done well. I remain excited by the prospects ahead for IBP and the broader installation and other product installation business.

我為我們團隊的持續成功、對卓越的承諾以及持續滿足客戶需求的能力感到自豪。感謝 IBP 的每一個人，感謝你們的承諾、辛勤工作和艱苦的工作，但你們總是做得很好。我對 IBP 以及更廣泛的安裝和其他產品安裝業務的未來前景仍然感到興奮。

So with this review, I'd like to turn the call over to Michael to provide more detail on our second quarter financial results.

因此，透過這次審查，我想將電話轉給邁克爾，以提供有關我們第二季財務業績的更多詳細資訊。

Thank you, Jeff, and good morning, everyone. As Jeff noted earlier, all income statement references in my comments are net of dispositions. Consolidated net revenue for the second quarter increased 8% to $740 million compared to $687 million for the same period last year. The increase in sales during the quarter was driven by growth in our new and existing residential markets.

謝謝你，傑夫，大家早安。正如傑夫之前指出的，我評論中所有損益表參考均扣除處置。第二季綜合淨收入成長 8%，達到 7.4 億美元，去年同期為 6.87 億美元。本季銷售額的成長是由我們的新住宅和現有住宅市場的成長所推動的。

Our single family same-branch sales increased 8%, while our multifamily same-branch sales increased 5% during the second quarter. Although the components behind our price mix and volume disclosure have several moving parts that are difficult to forecast and quantify, we continue to experience top line improvement from a 6.4% increase in price mix during the second quarter, which more than offset modestly lighter job volumes down 1.4% relative to the second quarter last year.

第二季度，我們的單戶同店銷售額成長了 8%，而多戶同店銷售額成長了 5%。儘管我們的價格組合和數量披露背後的組成部分有幾個難以預測和量化的移動部分，但第二季度價格組合增長了 6.4%，我們的收入繼續改善，這足以抵消工作量的適度減少。去年第二季下降1.4%。

Our business achieved strong results in the second quarter as measured by an adjusted gross margin of 34.9%, adjusted net profit margin of 11.6%, and adjusted EBITDA margin of 18.5%. Adjusted selling and administrative expense as a percent of second quarter sales was 18.3% due to higher variable compensation related to higher gross profit and EBITDA performance from the prior year period.

我們的業務在第二季度取得了強勁業績，調整後毛利率為 34.9%，調整後淨利潤率為 11.6%，調整後 EBITDA 利潤率為 18.5%。調整後的銷售和管理費用佔第二季度銷售額的百分比為 18.3%，原因是與去年同期相比毛利和 EBITDA 業績增加導致可變薪酬增加。

Within that result, administrative expenses, excluding variable compensation in the second quarter of 2024 was flat with the first quarter of 2024. Adjusted EBITDA for the 2024 second quarter increased 11.3% to a record $136.6 million and adjusted EBITDA margin improved to 18.5% compared to 17.9% for the same period last year.

其中，2024 年第二季的管理費用（不含變動薪酬）與 2024 年第一季持平。2024 年第二季調整後 EBITDA 成長 11.3%，達到創紀錄的 1.366 億美元，調整後 EBITDA 利潤率從去年同期的 17.9% 提高至 18.5%。

We continue to target full year long term same-branch incremental adjusted EBITDA margins in the range of 20% to 25%. For the 20 -- for the 2024 second quarter, total same branch incremental adjusted EBITDA margin was 29%.

我們持續將全年長期同分行增量調整後 EBITDA 利潤率目標定在 20% 至 25% 之間。20 至 2024 年第二季度，同一分公司增量調整後 EBITDA 利潤率為 29%。

Adjusted net income per diluted share improved 14.5% to $3.2 per share. Although we do not provide comprehensive financial guidance based on recent acquisitions, we expect third quarter 2024 amortization expense of approximately $10 million and full year 2024 expense of approximately $42 million.

調整後每股攤薄淨利成長 14.5%，達到每股 3.2 美元。儘管我們沒有根據最近的收購提供全面的財務指導，但我們預計 2024 年第三季攤銷費用約為 1000 萬美元，2024 年全年費用約為 4,200 萬美元。

We would expect these estimates to change with any acquisitions we close in future periods. Also, we continue to expect an effective tax rate of 25% to 27% for the full year ending December 31, 2024.

我們預計這些估計會隨著我們在未來期間完成的任何收購而改變。此外，我們仍預期截至 2024 年 12 月 31 日的全年有效稅率為 25% 至 27%。

Now, let's look at our liquidity position, balance sheet and capital requirements in more detail. For the six months ended June 30, 2024, we generated $164 million in cash flow from operations compared to $138 million in the prior year period. The year over year increase in operating cash flow was primarily associated with higher net income and effective management of working capital.

現在，讓我們更詳細地看看我們的流動性狀況、資產負債表和資本要求。截至 2024 年 6 月 30 日的六個月，我們的營運現金流為 1.64 億美元，去年同期為 1.38 億美元。經營現金流量的年增率主要與淨利的增加和營運資本的有效管理有關。

Our second quarter net interest expense decreased to $8.2 million from $9.8 million in the prior year period, primarily due to a greater amount of interest income from higher interest rates on higher balances of cash and cash equivalents relative to the year ago period.

我們第二季的淨利息支出從去年同期的 980 萬美元減少到 820 萬美元，主要是由於現金和現金等價物餘額較上年同期較高，利率上升，利息收入增加。

At June 30, 2024, we had a net debt to trailing 12-month adjusted EBITDA leverage ratio of 0.97 times compared to 1.32 times at June 30, 2023, which is well below our stated target of 2 times. At June 30, 2024, we had $355 million in working capital, excluding cash and cash equivalents.

截至 2024 年 6 月 30 日，我們的淨債務與過去 12 個月調整後 EBITDA 槓桿率為 0.97 倍，而 2023 年 6 月 30 日為 1.32 倍，遠低於我們既定的 2 倍目標。截至 2024 年 6 月 30 日，我們的營運資金為 3.55 億美元，不含現金及現金等價物。

Capital expenditures and total incurred finance leases for the three months ended June 30, 2024, were approximately $22 million combined, which is approximately 3% of revenue, roughly in line with the same period last year.

截至 2024 年 6 月 30 日止三個月的資本支出和融資租賃總額合計約為 2,200 萬美元，約佔營收的 3%，與去年同期大致持平。

With our strong liquidity position and modest financial leverage, we continue to expand the business through acquisition and return capital to shareholders. During the 2024 second quarter, IBP repurchased 215,000 shares of its common stock at a total cost of $46 million. At June 30, 2024, the company had over $250 million available under its stock repurchase program.

憑藉強大的流動性狀況和適度的財務槓桿，我們繼續透過收購擴大業務並向股東返還資本。2024 年第二季度，IBP 回購了 215,000 股普通股，總成本為 4,600 萬美元。截至 2024 年 6 月 30 日，該公司的股票回購計畫擁有超過 2.5 億美元的可用資金。

IBP's Board of Directors approved the third quarter dividend of $0.35 per share, which is payable on September 30, 2024, to stockholders of record on September 15, 2024. The third quarter dividend represents a 6% increase over the prior year period.

IBP 董事會批准了每股 0.35 美元的第三季股息，將於 2024 年 9 月 30 日支付給 2024 年 9 月 15 日登記在冊的股東。第三季股利較去年同期增加6%。

With this overview, I will now turn the call back to Jeff for closing remarks.

有了這個概述，我現在將把電話轉回給傑夫，讓他發表結束語。

Thanks, Michael. I'd like to conclude our prepared remarks by once again thanking IBP employees for their hard work, dedication, and commitment to our company. Our success over the years is made possible because of you.

謝謝，麥可。在結束我們準備好的演講時，我想再次感謝 IBP 員工的辛勤工作、奉獻精神和對我們公司的承諾。我們這些年來的成功都是因為有你們才得以實現。

Operator, let's open up the call for questions.

接線員，讓我們開始提問吧。

(Operator Instructions) Stephen Kim, Evercore ISI.

（操作員說明）Stephen Kim，Evercore ISI。

Thanks very much guys. Thanks for all the color. But as usual, we have additional questions. I guess my first one was if you could speak to any verticals that maybe slowed a little bit in the quarter that's worth calling out or maybe missed your internal projections, you know, any verticals?

非常感謝你們。感謝所有的顏色。但像往常一樣，我們還有其他問題。我想我的第一個問題是，您是否可以談談本季度可能放緩一點的任何垂直行業，這些行業值得一提，或者可能錯過了您的內部預測，您知道，有任何垂直行業嗎？

And then broadly, when we think about fiberglass, curious if you could talk about how the price passed through is going, my sense is it's going well, but wanted to get your sense. And then also what do you think the potential is for a third increase this year?

從廣義上講，當我們考慮玻璃纖維時，好奇您是否可以談論價格的變化情況，我的感覺是進展順利，但想了解您的感覺。那麼您認為今年第三次成長的潛力有多大？

Steven, good morning. This is Michael. So on the first part of that question, relative to the verticals, I would say that all lines of business, all end markets performed very much in line with our expectations. But as we had highlighted in previous quarters, clearly the weakest part of the business right now is the light commercial business which naturally cycles behind single family development.

史蒂文，早安。這是麥可.因此，關於這個問題的第一部分，相對於垂直產業，我想說的是，所有業務線、所有終端市場的表現都非常符合我們的預期。但正如我們在前幾季所強調的那樣，目前業務中最薄弱的部分顯然是輕商業業務，它自然落後於單戶住宅開發。

So we would expect as we go into the latter half of this year and the early part of next year, given the strength that we've seen in single family that that business would start to recover. But I would say that across the board, the business performed as expected from a revenue perspective and actually performed better than we expected from a gross margin perspective.

因此，鑑於我們在單戶家庭中看到的實力，我們預計，進入今年下半年和明年初，該業務將開始復甦。但我想說的是，從收入角度來看，該業務的表現符合預期，而且從毛利率角度來看，該業務的表現實際上比我們預期的要好。

I don't know if you want to about that.

我不知道你是否願意。

Steven, this is Jeff. In terms of material tightness in pricing, it is still a very tight market. We expect it to continue to stay that way, probably to the end of the year. Obviously, it's an environment in which manufacturers have been able to realize price and it's one in which where we tried to at least make up the ground that we need to make up. I can speculate as to whether there's a third one or not. It's a little late in the year, I suppose. So maybe I won't speculate.

史蒂文，這是傑夫。從材料價格緊張的情況來看，目前市場仍然非常緊張。我們預計這種情況將繼續保持下去，可能會持續到今年年底。顯然，這是一種製造商能夠實現價格的環境，也是我們試圖至少彌補我們需要彌補的基礎的環境。我可以推測是否還有第三個。我想今年有點晚了。所以也許我不會猜測。

Okay, great. That's fine. I guess, Mike, you talked a little bit about the incentive comp. I assume that was maybe weighing a little bit on the incremental organic -- organic incremental EBITDA margin. Just wondering if there was anything else maybe to call out because that came in a little lower than we were expecting.

好的，太好了。沒關係。我想，麥克，你談到了激勵補償。我認為這可能對增量有機——有機增量 EBITDA 利潤率產生了一點影響。只是想知道是否還有其他事情需要指出，因為這比我們的預期要低一些。

And then with respect to the HUD mandate on single family, the energy code HUD mandate, which is coming next year, I guess I'm just curious to hear if you could address that and your thoughts around that. We've been guiding questions as to whether or not we might see FHFA follow on.

然後，關於 HUD 對單戶家庭的強制要求，即明年即將推出的能源法規 HUD 強制要求，我想我只是想知道您是否可以解決這個問題以及您對此的想法。我們一直在引導詢問 FHFA 是否會跟進。

And there's been also questioning around whether or not all of this just may disappear maybe due to the Chevron -- the ruling around the Chevron. I don't know what the word is, but you know what I mean by the Chevron case. And then on the potential for a Republican sweep maybe just undo all this. So just curious if you could talk about the HUD mandate broadly.

還有人質疑這一切是否可能因為雪佛龍而消失——圍繞著雪佛龍的裁決。我不知道這個詞是什麼，但你知道我說的雪佛龍案是什麼意思。然後，共和黨大獲全勝的可能性可能會抵消這一切。所以只是好奇你是否可以廣泛地談論 HUD 的任務。

As far as we know, and as far as everything that we've heard that the process is continuing. We believe that there might be some pushback relative to the timing of implementation, but it's very difficult for us to speculate what would happen in a change in the political environment.

據我們所知，以及我們所聽到的一切，這個過程仍在繼續。我們認為，實施時間可能會出現一些延遲，但我們很難推測政治環境的變化會發生什麼。

So as far as we know, and as far as our customers are working, we're all sort of working towards this getting put in place and ultimately, it still benefits the builder because they have the tax credit that will more than offset the cost of going to the '21 energy codes.

據我們所知，就我們的客戶而言，我們正在努力實現這一目標，最終，它仍然對建築商有利，因為他們擁有的稅收抵免將足以抵消成本遵循 '21 能源法規。

So that I think everyone believes is going to stay and will still continue to be available. So it doesn't make economic sense for them and obviously for the homeowner as well. So we think regardless of the political outcome, that logic and economics will continue to push forward, getting more builders building to the '21 energy code.

所以我認為每個人都相信我們會留下來並且仍然可以繼續使用。因此，這對他們來說沒有經濟意義，顯然對房主來說也是如此。因此，我們認為，無論政治結果如何，邏輯和經濟都將繼續向前推進，讓更多建築商可以按照 21 世紀能源法規進行建設。

In terms of your margin question, adjusted gross margin and both adjusted EBITDA margin and all of our comments are net of dispositions. We're very strong from our perspective, quite frankly. And the selling, adjusted selling and administrative leverage, that was higher. I should say that the costs that were higher on a relative basis to revenue was really driven by variable compensation.

就您的利潤率問題而言，調整後的毛利率和調整後的 EBITDA 利潤率以及我們的所有評論均不含處置。坦白說，從我們的角度來看，我們非常強大。銷售、調整後的銷售和管理槓桿更高。我應該說，相對於收入而言較高的成本實際上是由可變薪酬所驅動的。

And if you look at it on a quarter -- three quarter basis, basically that number has been quite in line for the past three quarters as a percentage of revenue. And if you look at just G&A dollars, excluding variable compensation, right, they've been flat for the past couple of quarters.

如果你以一個季度、三個季度為基礎來看的話，基本上這個數字在過去三個季度佔收入的百分比相當一致。如果你只看一般行政費用，不包括可變薪酬，對吧，它們在過去幾個季度一直持平。

And the only thing I'd like to add on the 2021 code is, I mean, backing up from the politics for a moment it wasn't created just kind of willy-nilly, it's created because it's good for the environment and saves energy ultimately.

我唯一想在 2021 年法規中添加的一點是，我的意思是，暫時脫離政治，它不是隨意創建的，它的創建是因為它對環境有益並節省能源最終。

And it's been well known that from in terms of installation as kind of the payback as it relates to home energy costs and kind of the effects of against the environment that the installation is probably if not the most effective way to combat some of those things is certainly up there in the top tiers.

眾所周知，從安裝方面來看，它與家庭能源成本以及對環境的影響有關，安裝可能是解決這些問題的最有效方法，如果不是最有效的方法的話當然是頂級的。

Okay, great. Thanks very much guys.

好的，太好了。非常感謝你們。

Adam Baumgarten, Zelman & Associates.

亞當‧鮑姆加滕 (Adam Baumgarten)，Zelman & Associates。

Hey guys, thank you for taking my questions. First on multifamily, just kind of how we think about the back half of the year, it's decelerated a bit, but still positive. Maybe do you expect positive same-store sales growth in multifamily in the back half at this point?

嘿夥計們，謝謝你們回答我的問題。首先是多戶家庭，就像我們對今年下半年的看法一樣，它的成長速度有所放緩，但仍然是正面的。也許您預計下半年多戶住宅的同店銷售會出現正面成長？

Well, I mean, we don't provide guidance, but I would say a couple of things on the multifamily side. The backlogs are still at a highly elevated level. So one of the things that we look at our units under construction relative to starts and if you look at that on a single family basis, it's currently running somewhere around seven to eight months, which is consistent with kind of long term trends sort of pre-COVID.

嗯，我的意思是，我們不提供指導，但我想說一些關於多戶家庭的事情。積壓訂單仍處於較高水準。So one of the things that we look at our units under construction relative to starts and if you look at that on a single family basis, it's currently running somewhere around seven to eight months, which is consistent with kind of long term trends sort of pre -嚴重特殊傳染性肺炎.

So we would say that cycle times have completely normalized in single family maybe improved a little bit above normal in the single family construction market. On multi-family, as I think everybody on the call is probably aware, the units under construction or the backlog continues to be quite elevated, normal in that market would be more like 20 to 23 months of starts.

因此，我們可以說，單戶住宅的週期時間已經完全正常化，單戶建築市場的週期時間可能比正常情況有所改善。對於多戶住宅，我想每個參加電話會議的人都可能知道，在建單位或積壓訂單繼續相當高，在該市場中正常情況下開工時間約為 20 至 23 個月。

Currently, it's running around 28 to 29 months of starts. So construction or units under construction still need to come down probably 25% to 30% to normalize, given the current starts level. And that creates a significant headwind for the industry and for us.

目前，它的啟動時間約為 28 至 29 個月。因此，考慮到目前的開工水平，建築或在建單位仍需下降 25% 至 30% 才能恢復正常。這給產業和我們帶來了巨大的阻力。

We feel good about our ability to continue to gain market share and improve the cross-sell of other products in multifamily. But clearly that significant of a readjustment in the units under construction is going to have an impact on our multifamily sales.

我們對繼續獲得市場份額並改善多戶型其他產品交叉銷售的能力感到滿意。但顯然，在建單元的重大調整將對我們的多戶住宅銷售產生影響。

I would say that the what's maybe changed from our perspective relative to that is we think that the normalization of the units under construction is going to happen sooner than we may have expected, say three to six months ago.

我想說的是，從我們的角度來看，與此相關的可能發生的變化是，我們認為在建機組的正常化將比我們預期的更早發生，例如三到六個月前。

But that also means that we'll come to a stabilization period sooner than we had expected, meaning that we will be able to then focus on just continuing to gain market share and seeing revenue growth in multifamily from market share gains versus overall market growth.

但這也意味著我們將比我們預期的更早進入穩定期，這意味著我們將能夠專注於繼續獲得市場份額，並從市場份額成長與整體市場成長中看到多戶型收入的成長。

So that was a long winded way of not answering your question, But because we don't provide guidance, but I do think you that you know, there is a good chance that if multifamily units under construction comes in for the full year between 600,000 700,000 completions that we will get to that more normalized 20 to 23 months, which in essence then creates a stable operating environment for our multifamily construction.

所以這是一個冗長的方式，沒有回答你的問題，但是因為我們不提供指導，但我認為你知道，如果在建的多戶單元全年收入在 600,000 之間，那麼很有可能我們將在20至23 個月內實現70 萬套竣工，這實際上為我們的多戶住宅建設創造了一個穩定的營運環境。

Okay. Got it. That's helpful. And then just on the disposition maybe just a little more color on what that non-core product line was. And then if we think about the rest of your footprint, any other opportunities or plans for additional dispositions.

好的。知道了。這很有幫助。然後就配置而言，也許只是對非核心產品線進行更多的描述。然後，如果我們考慮您的其餘足跡，任何其他機會或額外處置的計劃。

Absolutely not. All of our other branches are performing to our expectations or even exceeding our expectations. This was a one-off deal that obviously in hindsight, we wish we hadn't done. It is a non-core product. We really don't install it in any of our locations, and it was into the commercial and multifamily vertical. And the good news is it's behind us now

絕對不是。我們所有其他分支機構的表現都達到了我們的預期，甚至超出了我們的預期。這是一筆一次性交易，顯然事後看來，我們希望我們沒有這麼做。它是一個非核心產品。我們確實沒有在我們的任何地點安裝它，它是在商業和多戶垂直領域安裝的。好消息是它現在已經過去了

Okay, thank you.

好的，謝謝。

Michael Rehaut, JPMorgan.

麥可雷豪特，摩根大通。

Hi, thanks. Good morning everyone.

你好，謝謝。大家早安。

Morning.

早晨。

Want to hit first on the gross margins, you know, you're talking about basically, last four or five quarters now plus or minus 34%, which is solidly above your long term or longer term goal where I think 32% but I guess long term outlook 30% to 32%.

想要先實現毛利率，你知道，你基本上是在談論過去四五個季度的正負 34%，這遠高於你的長期或長期目標，我認為是 32%，但我猜長期前景為30% 至32%。

So it seems like you're consistently exceeding that. And I think a quarter or two ago, you kind of alluded to likely strength in this metric, perhaps continued strength around these levels, maybe through the end of this year? Again, not giving forward guidance, but just basically kind of saying, there's no drivers that would necessarily push this down materially from current levels in the near term at least.

所以看起來你一直在超過這個水平。我認為一兩個季度前，您提到了該指標可能的實力，也許在這些水平上持續走強，也許到今年年底？再次強調，我並沒有給出前瞻性指導，只是基本上說，至少在短期內沒有任何驅動因素必然會大幅降低當前水準。

I was wondering if that is still your thought around this metric, that this 34% level can persist. I know you've talked about maybe negative mix starting to move away at this metric, but any thoughts around the next several quarters? What might push it lower? Or do you feel perhaps a little increasingly comfortable that this level can be maintained in the near to medium term?

我想知道您是否仍然對這個指標有這樣的想法，即 34% 的水平可以持續下去。我知道您已經談到也許負面組合開始擺脫這個指標，但對於接下來的幾季有什麼想法嗎？什麼可能會推低它？或者您對在中短期內維持這一水平感到越來越放心？

Yeah. Thanks for that question. What I would say around gross margin as that adjusted gross margin in the quarter, net of dispositions was 34.9%. So I'll just call it 35%. And you're right, in the previous quarters, we've been running around 34%.

是的。謝謝你提出這個問題。我想說的是毛利率，本季調整後的毛利率（扣除處置後）為 34.9%。所以我就稱之為 35%。你是對的，在前幾個季度，我們的成長率一直在 34% 左右。

So we certainly don't expect it to go above the 35%. But to say for the near term and you know, really for the back half of the year for it to be more in the 32% to 34% range as opposed to the 30% to 32%, I think, is reasonable.

所以我們當然不希望它超過 35%。但就近期而言，我認為實際上是在今年下半年，它更多地處於 32% 至 34% 的範圍內，而不是 30% 至 32% 的範圍內，這是合理的。

We have had in the quarter some quote unquote mix headwinds, as we've talked on multiple quarters about the impact of the growth in production builder business. I would say that we've been doing an excellent job on improving the efficiency of completing jobs for the production builders, which has been helping gross margin improvement as it relates there.

我們在本季遇到了一些混合阻力，因為我們已經在多個季度討論了生產建築商業務成長的影響。我想說，我們在提高生產建設者完成工作的效率方面做得非常出色，這一直有助於毛利率的提高。

We had very strong growth with the production builders in the quarter. Our sales to production builders was up approximately 20% in the quarter with production builders at about 5% with the regional local builders, which is actually consistent with what we've been talking about that the regional and local guys, we're going to have a good year, but nothing in comparison to what the production builders had and that the vast majority of the growth in starts would be coming from their production builders.

本季我們與生產建設者的成長非常強勁。本季我們對生產建築商的銷售額增長了約20%，而生產建築商與區域本地建築商的銷售額增長了約5%，這實際上與我們一直在談論的區域和本地人員一致，我們將今年是個好年頭，但與生產建設者的情況相比，沒有什麼可比的，而且開工率的絕大多數增長將來自生產建設者。

And we're certainly seeing that pay out. But I think it's reasonable to assume that for the near to medium term that there's certainly going above the 35% is probably not likely but staying in a 32% to 34% range for the near to medium term is reasonable.

我們肯定會看到這種回報。但我認為，可以合理地假設，在中短期內，肯定不可能超過 35%，但在中短期內保持在 32% 至 34% 的範圍內是合理的。

Great, great. No, that's very helpful. Appreciate that. I guess second question, maybe just around the M&A backdrop, you've kind of highlighted doing about $50 million in annualized revenue so far year to date. Last year you kind of missed the $100 million target by a little bit. How would you characterize the pipeline and the opportunity set in front of you today maybe versus 6 or 12 months ago?

太棒了，太棒了。不，這非常有幫助。很欣賞這一點。我想第二個問題，也許就在併購背景下，您強調了今年迄今年化收入約為 5000 萬美元。去年，您稍微偏離了 1 億美元的目標。與 6 或 12 個月前相比，您如何描述今天擺在您面前的管道和機會？

I think if I recall right, you kind of reiterated the $100 million of outlook for this year, but what would you say the odds are of maybe exceeding that and, you know, is the M&A kind of outlook or pipeline increasing, decreasing, staying the same, any kind of change in how you're thinking about what you might do this year or next year?

我想，如果我沒記錯的話，您重申了今年 1 億美元的前景，但您認為超過這一數字的可能性是多少，您知道，併購類型的前景或管道會增加、減少、保留同樣，您對今年或明年可能做什麼的想法有什麼變化嗎？

Yeah, so this is Jeff. What I would say and we're guilty of saying it's robust all the time, but we're also saying that they're lumpy. But clearly versus 6 or 12 months ago, this is in versus really historically speaking, this is one of the best pipelines we've really ever had.

是的，這就是傑夫。我想說的是，我們一直說它很堅固，但我們也說它們很不穩定。但顯然，與 6 或 12 個月前相比，從歷史上看，這是我們真正擁有的最好的管道之一。

And but for a larger deal, you know, $30 million-plus that blew up the last part of last year, last year would have ended up being a pretty good year to at least certainly exceeding $100 million. You know, going forward, again, we feel really great about the prospects that are in the pipeline and the deals that are kind of even already signed up to LoI. It just depends on timing really. I guess if you look at all that over a long and a rolling period of time as opposed to counting calendar days, you probably still hit the numbers.

如果不是一筆規模更大的交易，你知道，去年下半年的交易金額超過 3000 萬美元，那麼去年將是一個相當不錯的一年，至少肯定會超過 1 億美元。你知道，展望未來，我們對正在醞釀的前景以及甚至已經簽署意向書的交易感到非常滿意。這實際上取決於時機。我想如果你在一個漫長而滾動的時間段內觀察所有這些，而不是計算日曆天數，你可能仍然達到了數字。

Yeah.

是的。

Great. Thanks so much.

偉大的。非常感謝。

Mike Dahl, RBC Capital Markets.

麥克·達爾，加拿大皇家銀行資本市場部。

Hi, thanks for taking my questions. Just on the price mix in the quarter. I know there's a lot of moving pieces, and it's hard to be too specific, but can you give us a ballpark sense of kind of the composition of true price versus the moving pieces on mix.

您好，感謝您回答我的問題。只是關於本季的價格組合。我知道有很多變動因素，而且很難說得太具體，但是您能否給我們一個大概的感覺，了解真實價格與混合變動因素的構成。

We definitely got price in the quarter. And we have given the acceleration in single family same-branch revenue being higher than multifamily same-branch revenue. Just when factoring in those two components, you know, the way that our price mix is determined, it would say that we got more price than we did mix because of the higher growth rate from single family.

我們肯定在本季度得到了價格。我們給的單戶同分店營收成長率高於多戶同分店營收。就在考慮這兩個組成部分時，你知道，我們的價格組合的確定方式會說，由於單一家庭的增長率較高，我們獲得的價格比組合的價格更高。

Okay, helpful. And then just back on the disposed brands. As a standalone, it seemed like there were maybe some issues in terms of kind of negative net revenue, negative adjusted EBITDA, pretty big negative adjusted EBITDA that then you're adding back. And I think you called it the process of winding down, then also said it's behind you. So maybe just a like a little more specifically on why the results were so pressured because that was kind of a big adjustment for the total company results.

好的，有幫助。然後回到已處置的品牌。作為一個獨立的個體，似乎在負淨收入、負調整後 EBITDA 以及相當大的負調整 EBITDA 方面可能存在一些問題，然後你再將其加回去。我想你稱之為“放鬆的過程”，然後也說它已經過去了。因此，也許只是更具體地說明為什麼業績受到如此大的壓力，因為這是對公司整體業績的重大調整。

And then secondly, on a go forward basis, are there still going to be lingering impacts in the second half here. Just any additional color you could provide would be helpful.

其次，從長遠來看，下半年是否還會產生揮之不去的影響。您可以提供的任何其他顏色都會有所幫助。

Yeah. We expect that the operations will be fully wound down by the beginning of next year. But that going forward, it will have a material impact -- immaterial excuse me, a very important distinction there, an immaterial impact on our results going forward.

是的。我們預計這些業務將在明年初完全結束。但展望未來，它將產生實質影響——對不起，這是非實質影響，這是一個非常重要的區別，對我們未來的結果產生非實質影響。

Part of the reason that the adjustments were so large in this quarter is because we made the decisions to dispose of the location and kind of take care of and clean up all of the issues that were there. This is the, again a non-core branch, completely out of anything else that we do that has quite frankly never been profitable.

本季調整如此之大的部分原因是我們決定處置該地點，並處理和清理那裡存在的所有問題。這又是一個非核心分支，完全脫離了我們所做的任何其他事情，坦白說，從來沒有盈利過。

I'm (inaudible) branch. I mean, really its product line.

我是（聽不清楚）分支。我的意思是，確實是它的產品線。

Yeah, (inaudible) .

是的，（聽不清楚）。

Yeah, it sure is located in a branch, but right now we're exiting a product line in which we don't really participate.

是的，它確實位於一個分支機構，但現在我們正在退出我們並未真正參與的產品線。

Exactly. And quite frankly, we've done over 200 acquisitions. This is the first time this has happened. I think that's a pretty darn good track record.

確切地。坦白說，我們已經完成了 200 多次收購。這是第一次發生這種情況。我認為這是一個非常好的記錄。

And just as a quick follow-up, since it's been backed out of EBITDA but not gross margin and SG&A, does that imply that the way you report adjusted gross margin and SG&A would have otherwise been higher and if you could give us a sense for if that was the reason -- a part of the reason that your SG&A was higher than expected. Did more of the costs flow through that, any sense of that breakdown?

正如快速跟進一樣，由於它已從 EBITDA 中扣除，但沒有從毛利率和 SG&A 中扣除，這是否意味著您報告調整後毛利率和 SG&A 的方式本來會更高，如果您能讓我們了解一下如果這就是原因—您的SG&A 高於預期的部分原因。是否有更多的成本流經其中，有什麼崩潰的感覺嗎？

It was just the table. I mean, we wanted to try to make it concise enough in terms of the tables that we put into to show the adjustment. But as I said in answer to a previous question, the adjusted gross margin in the quarter, excluding dispositions, would have been 34.9%. So it impacted, it negatively impacted basically hold on to the income statement.

這只是桌子。我的意思是，我們想嘗試使我們放入的表格足夠簡潔以顯示調整。但正如我在回答上一個問題時所說，本季調整後的毛利率（不包括處置）將為 34.9%。所以它產生了影響，它基本上對損益表產生了負面影響。

Okay. I missed that comment. Thank you.

好的。我錯過了那個評論。謝謝。

Reuben Garner, Benchmark Company.

魯本·加納，基準公司。

Thank you. Good morning, guys. So sorry to harp on this, but just a clarification on the commercial front. Is the run rate of revenue and profit loss that that's been stripped out in the second quarter the right way to think about on a go forward basis, meaning it added $7 million EBITDA to take that business out. Was it losing that much money on a quarterly basis?

謝謝。早安，夥計們。很抱歉喋喋不休，但這只是在商業上的澄清。第二季剔除的收入和利潤損失的運作率是未來考慮的正確方法嗎？每季虧損這麼多嗎？

It lost that much money in the second quarter, yes, and it is commercial. And so our same branch commercial revenue, excluding the disposition, was basically flat in the quarter and not negative.

是的，它在第二季度虧損了那麼多錢，而且是商業性的。因此，我們同一分公司的商業收入（不包括處置）在本季基本持平，而不是負值。

Okay. And then you guys typically compare your volume performance to kind of the completions that environment for the two end markets, you guys are not quite national yet. There's some MSAs that you're not in. Is there anything geographical that you would call out that may lead to differences between your performance and the completion in environment broadly?

好的。然後，你們通常會將你們的銷售表現與兩個終端市場環境的完成情況進行比較，你們還不是很全國化。有一些 MSA 您沒有加入。您認為是否有任何地理因素可能會導致您的表現與廣泛的環境完成之間存在差異？

I'm glad you asked that question because I think it's important that we've tried to stress this is that looking at our same branch revenue compared to completions in any one quarter it's not as impactful or useful as looking at it over a longer period of time.

我很高興你問這個問題，因為我認為重要的是我們試圖強調這一點，即與任何一個季度的完成情況相比，查看我們同一分支機構的收入，並不像在較長時期內查看它那樣有影響力或有用。

So if you look on the year to date for the first six months of the year, our same branch sales grew 4.7%, so call it 5% and multi family or single-family completions were up about 1%, right? So that delta of about 400 basis points, that's sort of mid-single digit is very consistent with what we've always talked about sort of being at a mid-single digit number above completions.

因此，如果你看看今年前六個月的情況，我們同一家分店的銷售額增長了4.7%，所以稱之為5%，而多戶型或單戶型住宅竣工量增長了約1%，對嗎？因此，大約 400 個基點的增量，即中個位數，與我們一直在談論的高於完成率的中個位數非常一致。

I will say on the multifamily side right now, that one, as you know, over the past several, more than several quarters, we've had stellar growth in same-branch multifamily sales growth. But I would say just given the dynamics of what we were talking about earlier about multifamily units under construction, there is going to be for some period of time.

我現在要說的是，在多戶住宅方面，如您所知，在過去的幾個季度中，我們的同分店多戶住宅銷售增長強勁。但我想說，考慮到我們之前討論的在建多戶單元的動態，這種情況將會持續一段時間。

I think a disconnect between our multifamily same-branch sales growth and multifamily completions until the market normalizes at a more reasonable level, which we think in terms of the units under construction road starts, which we think is going to happen, may be late this year, most likely first quarter of next year.

我認為，在市場正常化到更合理的水平之前，我們的多戶同分店銷售增長和多戶竣工之間的脫節可能會在今年晚些時候出現，我們認為就在建公寓的開工而言，我們認為這將會發生。

And if I could just sneak in a quick follow-up there, guys. The multifamily impact to mix on a go forward basis as single family recovers and multifamily stays. Can you just remind us how that plays out.

如果我能在那裡進行快速跟進，夥計們。隨著單戶家庭的恢復和多戶家庭的入住，多戶家庭對混合的影響將不斷增加。你能提醒我們這是如何進行的嗎？

It makes the mix component weaker. It's a headwind to the mix because the single family job can be a tenth of or even hundreds of what are multifamily job is.

它使混合成分變弱。這是一個不利因素，因為單戶家庭的工作可能是多戶家庭工作的十分之一甚至數百倍。

Great. Thanks, guys. Good luck going forward.

偉大的。謝謝，夥計們。祝你未來好運。

Thanks.

謝謝。

Ken Zener, Seaport Research Partners.

Ken Zener，海港研究合作夥伴。

Good morning, everybody.

大家早安。

Morning Ken.

早安，肯。

Good morning.

早安.

Just a couple of questions here. Given the strength of growth from the large builders and your, I guess, record gross margin adjusted, can you talk to why that is not a drag as that happened at the beginning of the pandemic, given your exposure to certain customers, it seems to be somewhat counterintuitive. Can you talk to why that is playing out that way?

這裡只有幾個問題。考慮到大型建築商的成長勢頭，以及我猜你創紀錄的調整後毛利率，你能否談談為什麼這不像大流行開始時那樣是一個拖累，考慮到你對某些客戶的接觸，這似乎是有點違反直覺。您能談談為什麼會出現這種情況嗎？

Our field team is doing an incredible job of managing production and making sure they are aligning the value of our services with our customers. And to be honest with you, that gets reflected then in variable compensation and they're getting rewarded for continuing to do that.

我們的現場團隊在管理生產方面做得非常出色，並確保他們使我們的服務價值與客戶保持一致。老實說，這會反映在可變薪酬中，並且他們會因繼續這樣做而獲得獎勵。

Going back to the period when you had increased exposure and gross margin, you called it out SG&A leverage at the time, but like is that you talked about not wanting to mess up your customers' pricing structure. Jeff, I believe you talked about you have to price given that experience.

回到您增加風險敞口和毛利率的時期，您當時稱其為SG&A槓桿，但類似的是您談到不想擾亂客戶的定價結構。傑夫，我相信你談到鑑於那次經歷你必須定價。

It seems that large builders to get leverage. However, there's really two of you guys that are so dominant in the service installation space. Does that really suggest that your pricing discipline, i.e., margins is sustainable in that sense if they don't have a wide variety of things to choose from? Because it does seem to be a rather distinct shift, especially this quarter, given the growth we're seeing from the public and your actual stronger gross margins because of that?

看來，大型建築商獲得了槓桿作用。然而，確實有兩個人在服務安裝領域佔據主導地位。這是否真的表明，如果他們沒有各種各樣的東西可供選擇，你的定價原則（即利潤）在這個意義上是可持續的？因為這似乎確實是一個相當明顯的轉變，尤其是本季度，考慮到我們從公眾那裡看到的增長以及因此而導致的實際更高的毛利率？

Well, there -- this is Michael, I'll start that then Jeff can finish the question. I think there are a lot of puts and takes into gross margin. While we had strong growth with the big public builders and they are our largest customers, I mean, it is a relatively small percentage of our overall revenue.

好吧，這是邁克爾，我開始，然後傑夫可以完成這個問題。我認為毛利率中有很多看跌期權和看跌期權。雖然我們與大型公共建築商的合作取得了強勁成長，而且他們是我們最大的客戶，但我的意思是，這占我們總收入的比例相對較小。

So, you know, but I do think that our team has done a great job of trying to align price and cost and also to be as efficient as possible in the field, which is really beneficial for us. So but I would also say that at the local level, there's not just two contractors that are bidding for work, I mean, there's -- it's still extremely competitive environment. And I said I would say, although there's whether they're public or regional local builders have choices. And we all have to differentiate ourselves on our service.

所以，你知道，但我確實認為我們的團隊在調整價格和成本方面做得很好，並且在該領域盡可能提高效率，這對我們來說確實有利。所以，但我也想說，在地方層面，不僅僅是兩個承包商在投標工作，我的意思是，這仍然是一個競爭極其激烈的環境。我說過我會說，儘管無論是公共建築商還是區域本地建築商都有選擇。我們都必須在服務上脫穎而出。

All right.

好的。

I think I understand the question, but I'm going to still give a bit and I know our answer that says that we get rewarded for performing. It's a little fuzzy. But I mean, I've been in the rooms and there's certain bigger builders did do I think I really believe that I preach that and there are people even more than others would say.

我想我理解這個問題，但我仍然會給出一點，我知道我們的答案是我們會因為表現而獲得獎勵。有點模糊。但我的意思是，我去過房間，確實有一些更大的建築商，我認為我真的相信我所宣揚的這一點，而且有些人比其他人說的還要多。

So I think we get in more highly priced only competitive situations sometimes for sure. But there's just as many large builders in some of our larger markets that are much more concerned about making sure that they get jobs insulated in past inspections when they need it to keep the volume.

因此，我認為有時我們肯定會陷入價格更高、競爭激烈的情況。但在我們一些較大的市場中，也有同樣多的大型建築商更關心確保他們在需要保持產量時在過去的檢查中獲得工作機會。

Understood. You talked about you -- Michael, you said it can be understood that you got more price than mix given that that's reported a little differently than one of your peers. But is that to say my calculation is that the same price was positive in mix perhaps was negative. Could you comment on just the positive negative component of that variable.

明白了。你談到了你——邁克爾，你說你得到的價格比混合的價格更高，這是可以理解的，因為報道與你的同行之一略有不同。但這是說我的計算是，相同的價格在混合中是正的，也許是負的。您能否只評論該變數的正負分量？

Both price and mix were positive, right? And if we look at, you know, my comment was really more that there was more price than mix, but they were both solid.

價格和組合都是正面的，對吧？如果我們看一下，你知道，我的評論實際上更多的是價格比組合更多，但它們都是可靠的。

Thank you.

謝謝。

Phil Ng, Jefferies.

菲爾·吳，杰弗里斯。

Hey guys. Your commentary going forward sounds, still sounds pretty upbeat. Certainly housing starts have been a little choppier the last few months with rates staying a bit more elevated. Now, certainly we're talking about potential rate cuts. So I'm just curious, what are you hearing from your customers, you know, are they managing your business any differently? Are you seeing any slowdown in quoting activity at all?

嘿夥計們。你對未來的評論聽起來仍然相當樂觀。當然，過去幾個月新屋開工量有些波動，利率維持在較高水準。現在，我們當然正在談論潛在的降息。所以我很好奇，您從客戶那裡聽到了什麼，他們以不同的方式管理您的業務嗎？您是否發現報價活動有任何放緩？

We were still very busy. I mean, I think it's clear that the growth rate in starts is coming down. The public that have reported so far, I think their orders are up like 5%, 6%. So still growth, but not the kind of growth that we were seeing earlier in the year.

我們還是很忙。我的意思是，我認為很明顯，開工成長率正在下降。到目前為止，據報道，我認為他們的訂單增加了 5%、6% 左右。所以仍然在增長，但不是我們今年早些時候看到的那種增長。

So I mean, honestly, a mid-single digit single family growth environment is extremely healthy for us and for the industry. And if we continue a multi-year path in that kind of a market, we feel very good about our ability to perform.

所以我的意思是，老實說，中等個位數的單戶成長環境對我們和整個產業來說都是非常健康的。如果我們在這種市場上繼續走多年的道路，我們對自己的表現能力感到非常滿意。

Yeah, it's clearly there is -- there are significant headwinds that we talked about earlier relative to multi family, but if we do get to a stabilized level based on the current starts, you know, say early '25 as opposed to even back half of '25, we think that creates a more stable operating environment for us and for the industry. And on the multifamily side, again, really allows us to focus on what we're doing very well is gaining market share, not just with insulation, but also with the other products.

是的，很明顯，我們之前談到的多戶家庭面臨著巨大的阻力，但如果我們確實根據當前的開局達到穩定的水平，你知道，比如說 25 年初，而不是後半段'25，我們認為這為我們和產業創造了一個更穩定的營運環境。在多戶住宅方面，再次真正讓我們專注於我們正在做的很好的事情，即贏得市場份額，不僅是隔熱材料，還包括其他產品。

I was going to make that comment. I mean, we're just we're a little different than just the general multifamily market as we said in our prepared remarks, both because we're not penetrated from a geographic perspective everywhere that we are capable of doing multifamily work yet, and we continue through one of our operations has kind of built itself into a bidding and quoting and managing machine for those branches continues to really deliver a great pipeline of projects that we can bid on and hoping to get to work from.

我正要發表這樣的評論。我的意思是，正如我們在準備好的發言中所說，我們只是與一般多戶型市場略有不同，這既是因為我們還沒有從地理角度滲透到我們有能力開展多戶型工作的所有地方，而且我們繼續透過我們的一項業務將其構建為一個投標、報價和管理機器，為這些分支機構繼續提供大量項目，我們可以投標並希望從中開展工作。

Got you. And then, Michael, I appreciate you don't guide per se, but hitting earlier conversations of the year, perhaps mid-single digit volume growth for your business organically, I think your comments were seems plausible and achievable.

明白你了。然後，邁克爾，我很感激你本身沒有提供指導，但根據今年早些時候的對話，也許你的業務有機地實現了中個位數的銷量增長，我認為你的評論似乎是合理且可以實現的。

Appreciate there's a lag in starting completion cycle time, do all that great stuff. Are you expecting volumes to go in flat, what kind of path you see that mid-single digit framework still a good way to think about full year?

欣賞開始完成週期時間的滯後，做所有偉大的事情。您是否預期銷售量將持平？

Yeah. If we just look at, say, single families, a single family volumes in the quarter, were up mid-single digits.

是的。如果我們只看單身家庭，本季的單身家庭數量增加了中個位數。

But in terms of the broader framework in terms of your demand overall, is that still a good way to think about the year or maybe some moderation just given some the chop that we've seen recently?

但就您的整體需求而言，就更廣泛的框架而言，這仍然是思考這一年的好方法嗎？

Yeah. I mean, where the -- from a volume perspective where you find some headwinds will be particularly in the light commercial business. And we expect that that will continue to have the light commercial business will continue to have headwinds, really again, we're in the back half of this year and should be on a much better footing in '25.

是的。我的意思是，從數量的角度來看，你會發現一些阻力尤其是在輕商業業務中。我們預計，輕商業業務將繼續面臨阻力，真的，我們正處於今年下半年，並且在 25 年時應該會有更好的基礎。

Okay. Can you remind us like how much of your commercial business is light versus heavy in the splits?

好的。您能否提醒我們，您的商業業務中有多少是輕量級的，哪些是重量級的？

Sure. So roughly 10% of total revenue is light commercial and 7% is heavy commercial.

當然。因此，約 10% 的總收入是輕商業收入，7% 是重商業收入。

Okay. Appreciate the color, guys.

好的。欣賞一下這個顏色，夥計們。

Susan Maklari, Goldman Sachs.

蘇珊·馬克拉里，高盛。

Thank you. Good morning, everyone.

謝謝。大家早安。

Morning Sue.

早安，蘇。

My first question is on the ancillary products. Can you talk a bit about how they performed in the quarter and that's something that you've talked about increasingly coming through in the back half of this year. Are we still on track with that? And just how should we think about the implications that we'll have from a margin perspective as we think about the upcoming next several quarters?

我的第一個問題是關於輔助產品。您能否談談他們在本季度的表現，這是您在今年下半年越來越多地談論的事情。我們仍然在這樣的軌道上嗎？當我們考慮接下來的幾個季度時，我們應該如何考慮從利潤角度產生的影響？

Yeah. So the sales growth in the other products was fairly consistent with insulation, although insulation was a tad. They were consistent, I would say. We would expect that the other products would see just becoming later in the cycle time that they would see probably higher growth than insulation.

是的。因此，其他產品的銷售成長與絕緣材料相當一致，儘管絕緣材料的銷售成長略有下降。我想說，他們是一致的。我們預計其他產品在周期中會變得更晚，它們的成長可能會比絕緣材料更高。

I would say though that the story, if you will, relative to the other products as it relates to the residential piece of our business, a single family, multi family, new residential piece of our business that we're continuing to make progress in improving the gross margin of those products.

我想說的是，如果你願意的話，這個故事相對於其他產品，因為它與我們業務的住宅部分有關，單戶、多戶、我們業務的新住宅部分，我們正在繼續取得進展提高這些產品的毛利率。

They're still considerably lower than installation, but we're continuing to make forward progress there. And it's one of the reasons why we think in the near to medium term, as we were saying earlier, that gross margins, will probably not grow from here in the 32% to 34% band in the near term, probably make some sense.

它們仍然比安裝要低得多，但我們將繼續在這方面取得進展。正如我們之前所說，這也是我們認為在中短期內毛利率可能不會在 32% 至 34% 範圍內成長的原因之一，這可能是有道理的。

Okay. And then my follow-up is you did buy some stock this quarter. Like this was the biggest repurchase you've had since 2022. Can you just talk a bit about the decision to do that and how we should be thinking about perhaps further share buybacks over the -- in the future.

好的。然後我的後續行動是您本季確實購買了一些股票。這是自 2022 年以來最大的回購。您能否談談這樣做的決定以及我們應該如何考慮未來進一步的股票回購。

Yes, and we will continue to do it. We believe that as we continue to mature as a public company, we continue to generate very strong free cash flow that it gives us a lot of opportunities, if you will, from a capital allocation perspective.

是的，我們將繼續這樣做。我們相信，隨著我們作為一家上市公司的不斷成熟，我們將繼續產生非常強勁的自由現金流，從資本配置的角度來看，這為我們提供了許多機會。

And we feel very confident that we can we can currently support a even accelerated M&A platform, our pipeline of deals now above our $100 million target and at the same time, continue to repurchase shares on a more consistent basis.

我們非常有信心，我們目前可以支援一個甚至加速的併購平台，我們的交易管道現已超過 1 億美元的目標，同時繼續以更一致的方式回購股票。

Okay, thank you. And good luck with everything.

好的，謝謝。祝一切順利。

Thanks Sue.

謝謝蘇。

Thank you.

謝謝。

Keith Hughes, Truist Securities.

基斯‧休斯 (Keith Hughes)，Truist 證券公司。

Thank you. Just some details on this branch you're getting out of. Are there going to be any appreciable asset sales that we anticipate from this move to close it?

謝謝。只是您要退出的這個分支的一些詳細資訊。我們預計這項舉措是否會導致任何可觀的資產出售以關閉它？

No, nothing significant. We really expect for the back half of the year until it's fully disposed that it will be -- it will have an immaterial impact on results going forward.

不，沒什麼重要的。我們確實預計今年下半年會發生這種情況，直到完全處理完畢為止——它將對未來的業績產生非實質影響。

And I assume that would include (inaudible) There's something about unfavorable contract settlement and the language in the press release, was that all taken care of in the quarter and (inaudible) impact on the second one.

我認為這將包括（聽不清楚）不利的合約結算和新聞稿中的語言，這一切都在本季度得到解決，以及（聽不清楚）對第二季的影響。

Correct. And that is why the quarterly EBITDA contribution was so negative.

正確的。這就是為什麼季度 EBITDA 貢獻如此之大的原因。

Okay. What -- can you tell us what product line this is as you're getting out? I know it's non-core, but specifically what?

好的。什麼—您能告訴我們您即將推出的產品線是什麼嗎？我知道它不是核心，但具體是什麼？

It's non-core.

是非核心的。

Okay. And is there any other -- your discussion on share repurchase. I know you did some in the quarter. Have you thought internally about in excess of the dividend, how much would go that way? I guess, how are you thinking about it is the question?

好的。還有其他股票回購的討論嗎？我知道你在本季做了一些事情。您是否在內部思考過，超出股息後，會有多少股息？我想，這個問題你是怎麼想的？

Yeah. I mean, if you look over the past, say, five years and from a capital allocation perspective, roughly 60% or almost $550 million went to acquisitions and 20% or almost $200 million points to share repurchases. And then about $160 million went to the dividend. And so I think as we've said, the number one priority will continue to be M&A, then the share repurchases, and then the dividend.

是的。我的意思是，如果你回顧過去，比如說五年，從資本配置的角度來看，大約 60% 或近 5.5 億美元用於收購，20% 或近 2 億美元用於股票回購。然後大約 1.6 億美元用於股息。因此，我認為正如我們所說，第一要務仍將是併購，然後是股票回購，然後是股息。

Okay. Thank you.

好的。謝謝。

And as we said in answer to Sue's question, it's our belief that we will be more consistent in regular share repurchases on a go forward basis.

正如我們在回答甦的問題時所說，我們相信，我們將在未來的基礎上更一致地進行定期股票回購。

Okay. Thank you.

好的。謝謝。

Sure.

當然。

I would like to turn the floor over to Jeff Edwards for closing remarks.

我想請傑夫·愛德華茲致閉幕詞。

Thank you for your questions, and I look forward to our next quarterly call. Thank you.

感謝您提出問題，我期待我們的下一個季度電話會議。謝謝。

This concludes today's teleconference. You may disconnect your lines at this time, and thank you for your participation.

今天的電話會議到此結束。此時您可以斷開線路，感謝您的參與。