JELD-WEN Holding Inc (JELD) 2025 Q1 法說會逐字稿

Thank you for standing by. My name is Kayla, and I will be your conference operator today. At this time, I'd like to welcome everyone to the JELD-WEN Holding Inc first quarter 2025 earnings conference call. (Operator Instructions).

感謝您的支持。我叫凱拉 (Kayla)，今天我將擔任您的會議主持人。現在，我歡迎大家參加 JELD-WEN Holding Inc 2025 年第一季財報電話會議。（操作員指令）。

I would now like to turn the call over to James Armstrong, Investor Relations. You may begin.

現在我想將電話轉給投資者關係部的詹姆斯阿姆斯壯。你可以開始了。

Thank you, and good morning. We issued our first quarter 2025 earnings release last night and posted a slide presentation to the Investor Relations portion of our website, which can be found at investors.jeld-wen.com. We will be referencing this presentation during our call.

謝謝，早安。我們昨晚發布了2025年第一季的獲利報告，並在我們網站的投資者關係板塊發布了幻燈片演示，網址為investors.jeld-wen.com。我們將在電話會議上參考這份演示。

Today, I am joined by Bill Christensen, Chief Executive Officer; and Samantha Stoddard, Chief Financial Officer.

今天，與我一起出席的還有執行長比爾·克里斯滕森 (Bill Christensen) 和首席財務官薩曼莎·斯托達德 (Samantha Stoddard)。

Before I turn it over to Bill, I would like to remind everyone that during this call, we will make certain statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are subject to a variety of risks and uncertainties, including those set forth in our earnings release and provided in our Forms 10-K and 10-Q filed with the SEC. JELD-WEN does not undertake any duty to update forward-looking statements, including the guidance we are providing with respect to certain expectations for future results.

在將發言權交給比爾之前，我想提醒大家，在本次電話會議中，我們將做出某些構成《1995 年私人證券訴訟改革法案》所定義前瞻性陳述的聲明。這些聲明受各種風險和不確定性的影響，包括我們的收益報告中所述以及我們向美國證券交易委員會提交的 10-K 和 10-Q 表格中提供的風險和不確定性。JELD-WEN 不承擔更新前瞻性聲明的任何義務，包括我們針對未來結果的某些預期提供的指導。

Additionally, during today's call, we will discuss non-GAAP measures, which we believe can be useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. A reconciliation of these non-GAAP measures to the most directly comparable financial measures calculated under GAAP can be found in our earnings release and in the appendix of our earnings presentation.

此外，在今天的電話會議中，我們將討論非公認會計準則指標，我們認為這些指標有助於評估我們的表現。不應孤立地考慮這些附加資訊的呈現，也不應將其視為根據 GAAP 編制的結果的替代方案。這些非 GAAP 指標與根據 GAAP 計算的最直接可比較財務指標的對帳可以在我們的收益報告和收益報告附錄中找到。

With that, I would like to now turn the call over to Bill.

說完這些，我現在想把電話轉給比爾。

Thank you, James, and good morning, everyone. Before we begin, I want to take a moment to express my sincere appreciation to our employees. Your continued dedication, adaptability and focus have been essential to the progress of our transformation, enabling us to consistently deliver for our customers even in the face of significant market challenges.

謝謝你，詹姆斯，大家早安。在我們開始之前，我想花點時間向我們的員工表達最誠摯的感謝。您的持續奉獻、適應能力和專注對於我們轉型的進程至關重要，使我們能夠在面臨重大市場挑戰的情況下始終如一地為客戶提供服務。

I also want to thank our customers for their ongoing trust and collaboration as we jointly navigate this highly dynamic market environment. The strength of these partnerships is critical to our long-term success, and we remain fully committed to providing the exceptional quality, dependable service and product reliability that you have come to expect from JELD-WEN.

我還要感謝客戶在我們共同應對這個高度動態的市場環境時給予的持續信任與合作。這些合作關係的力量對於我們的長期成功至關重要，我們將繼續全力致力於提供您期望從 JELD-WEN 獲得的卓越品質、可靠的服務和產品可靠性。

Today, I'll start by providing a high-level overview of the quarter, after which Samantha will discuss our detailed financial performance and outline the impacts of the evolving tariff situation. Following Samantha's remarks, I'll return to offer further insights into current market dynamics and our approach to managing them.

今天，我將首先概述本季度的情況，然後薩曼莎將討論我們的詳細財務業績，並概述不斷變化的關稅情況的影響。在薩曼莎發表完評論之後，我將回來進一步闡述對當前市場動態以及我們管理這些動態的方法的見解。

Turning to Slide 4, and our first quarter highlights. The soft demand environment and corresponding adjusted EBITDA performance, we anticipated during our previous earnings call, largely materialized as expected. Volume pressures intensified notably during the quarter with both our North America and Europe segments experiencing double-digit volume declines.

翻到投影片 4，這是我們第一季的亮點。我們在上次收益電話會議上預測的疲軟需求環境和相應的調整後 EBITDA 表現基本上符合預期。本季銷售壓力明顯加劇，北美和歐洲分部的銷售量均出現兩位數的下降。

Further complicating this landscape, tariffs have introduced additional planning uncertainty into our market outlook. As a result of this significant short-term volatility, we are withdrawing our full year guidance. Despite these challenges, we remain focused on controlling factors within our direct influence. We continue to successfully advance our transformation projects, achieving important milestones and operational improvements as well as safety.

關稅為我們的市場前景帶來了額外的規劃不確定性，使情況更加複雜。由於這種巨大的短期波動，我們撤回了全年預期。儘管面臨這些挑戰，我們仍然專注於控制我們直接影響範圍內的因素。我們持續成功推動轉型項目，實現了重要的里程碑、營運改善和安全改善。

We also announced two additional network changes since the beginning of this year in Grinnell, Iowa and Chiloquin, Oregon. However, as Samantha will detail shortly, even with recent reductions in headcount, we have faced ongoing productivity headwinds as costs have not decreased at the pace required to fully offset the lower demand levels experienced in the first quarter. To address this gap, we are taking steps to align our operations with current order rates while actively pursuing additional opportunities to strengthen our partnerships with key customers in support of focused growth initiatives.

自今年年初以來，我們也宣布了愛荷華州格林內爾和俄勒岡州奇洛昆的另外兩項網路變更。然而，正如薩曼莎即將詳細說明的那樣，即使最近裁減了員工人數，我們仍然面臨著持續的生產力阻力，因為成本的下降速度不足以完全抵消第一季需求水準的下降。為了彌補這一差距，我們正在採取措施使我們的營運與當前的訂單率保持一致，同時積極尋求更多機會加強與主要客戶的合作夥伴關係，以支持重點成長計畫。

With that, I'll hand it over to Samantha to review our financial results in greater detail.

說完這些，我將把工作交給薩曼莎，讓她更詳細地審查我們的財務結果。

Thank you, Bill. Turning to Slide 6. As Bill noted, the first quarter was indeed challenging. However, our results were largely in line with our prior expectations. Revenue for the first quarter was $776 million, representing a 19% decline year-over-year. Of this decline, approximately 15% was due to lower core revenues, reflecting anticipated volume reductions across both our North America and Europe segments. The remaining 4% primarily resulted from the court order divestiture of our Towanda operations, which also negatively impacted our year-over-year comparisons.

謝謝你，比爾。翻到幻燈片 6。正如比爾所說，第一季確實充滿挑戰。然而，我們的結果基本上符合我們先前的預期。第一季營收為7.76億美元，年減19%。其中約 15% 的下降是由於核心收入下降，反映了我們北美和歐洲分部的預期銷售減少。其餘 4% 主要是由於法院下令剝離我們的 Towanda 業務，這也對我們的同比產生了負面影響。

Adjusted EBITDA for the quarter came in at $22 million, a decrease of $47 million compared to the prior year. This was mainly driven by significantly lower volumes and slightly unfavorable mix, resulting in an adjusted EBITDA margin of 2.8%.

本季調整後的 EBITDA 為 2,200 萬美元，較上年減少 4,700 萬美元。這主要是由於銷售量大幅下降和產品組合略微不利，導致調整後的 EBITDA 利潤率為 2.8%。

Turning to cash flow. Free cash flow was a use of $125 million in the first quarter, including $42 million in capital investments. This compares to a $46 million use of cash in the first quarter of 2024. The year-over-year decline was primarily driven by lower EBITDA combined with unfavorable working capital dynamics.

轉向現金流。第一季自由現金流使用量為 1.25 億美元，其中包括 4,200 萬美元的資本投資。相比之下，2024 年第一季的現金使用量為 4,600 萬美元。年比下降主要是由於 EBITDA 下降以及營運資本動態不利。

Specifically, working capital was a $30 million use of cash this quarter, compared to a contribution of $22 million in the first quarter of 2024, primarily related to the timing of accounts receivable last year. Additionally, in the first quarter, we received approximately $110 million of net proceeds from the court order divestiture of our Towanda facility.

具體而言，本季營運資金使用現金 3,000 萬美元，而 2024 年第一季的貢獻為 2,200 萬美元，這主要與去年應收帳款的時間有關。此外，在第一季度，我們從法院命令剝離托旺達工廠中獲得了約 1.1 億美元的淨收益。

Given the pressure from lower EBITDA and continued investment in our transformation initiatives, our net debt leverage ratio increased to 4.6 times. This level of leverage exceeds our targeted range of 2 times to 2.5 times and reducing leverage remains one of my highest priorities. To accomplish this, we remain intensely focused on driving EBITDA improvement, exercising disciplined capital allocation and carefully managing working capital as we progress through 2025 and beyond.

鑑於 EBITDA 下降的壓力以及對轉型計劃的持續投資，我們的淨債務槓桿率上升至 4.6 倍。這個槓桿水平超出了我們設定的 2 倍至 2.5 倍的目標範圍，降低槓桿率仍然是我的首要任務之一。為了實現這一目標，我們將在 2025 年及以後繼續高度重視推動 EBITDA 改善、進行嚴格的資本配置和謹慎管理營運資本。

As shown on Slide 7, the first quarter revenue decline was primarily driven by a 16% decrease in volume and mix, about half, which was due to the carryover of the loss of business at the Midwest retailer and the court order divestiture of Towanda, with the other half associated with ongoing market declines.

如幻燈片 7 所示，第一季收入下降主要是由於銷售和產品組合下降 16%，其中約一半是由於中西部零售商業務虧損的結轉以及法院下令剝離 Towanda，另一半則與持續的市場下滑有關。

While product mix had a more pronounced impact in prior quarters, it has now largely stabilized. And the current revenue pressure is predominantly related to continued weakness in volumes. Additionally, revenue was negatively impacted by the divestiture of our Towanda operations as well as the modest headwinds from unfavorable foreign currency translation associated with the Canadian dollar. In a few moments, I'll provide additional context and more detailed insights into the underlying market trends affecting our North America and Europe segment.

雖然產品組合在前幾季的影響更為明顯，但目前已基本穩定。目前的營收壓力主要與銷售持續疲軟有關。此外，我們托旺達業務的剝離以及與加幣相關的不利外幣兌換帶來的輕微阻力也對收入產生了負面影響。稍後，我將提供更多背景資訊和更詳細的見解，以了解影響我們北美和歐洲市場的潛在市場趨勢。

As shown on Slide 8, adjusted EBITDA declined by $47 million year-over-year, primarily reflecting the significant volume declines experienced during the quarter. As anticipated, we continue to face notable cost pressures from labor and material inflation, resulting in negative price cost dynamics. Additionally, the lower volume levels created operational inefficiencies across our manufacturing network, further weighing on overall productivity and EBITDA performance.

如投影片 8 所示，調整後的 EBITDA 年減 4,700 萬美元，主要反映了本季銷售量的大幅下降。正如預期的那樣，我們繼續面臨勞動力和材料通膨帶來的巨大成本壓力，導致價格成本動態呈現負面。此外，產量較低導致我們整個製造網路的營運效率低下，進一步影響了整體生產力和 EBITDA 業績。

Moving to our segment results on Slide 9. Our North America segment reported revenue of $531 million for the first quarter, representing a 22% decline compared to the prior year. Of this, core revenues decreased by 17%, primarily driven by lower volumes. Unlike last year, when product mix significantly impacted results, first quarter decline was predominantly driven by volume reductions.

前往投影片 9 上的分部結果。我們的北美部門第一季的營收為 5.31 億美元，比上年下降 22%。其中，核心收入下降了 17%，主要原因是銷售下降。與去年不同，當時產品組合對業績產生了重大影響，而第一季的下滑主要是由於銷量減少。

Adjusted EBITDA for North America declined to $16 million, compared to $61 million in the same quarter last year. This decrease reflects the negative impact of lower volumes, slightly unfavorable price cost dynamics and productivity challenges resulting from the reduced manufacturing throughput.

北美調整後 EBITDA 下降至 1,600 萬美元，去年同期為 6,100 萬美元。這一下降反映了產量下降、價格成本動態略有不利以及製造產量下降導致的生產力挑戰等負面影響。

In Europe, revenue for the first quarter was $245 million, down 12% year-over-year driven almost entirely by lower volume. Adjusted EBITDA was $11 million, a decline of $4 million from the prior year, resulting in an adjusted EBITDA margin of 4.3%. While we achieved productivity improvements in the region, they only partially offset the adverse impacts from reduced volume and modestly negative price cost pressures.

在歐洲，第一季的營收為 2.45 億美元，年減 12%，幾乎完全是由於銷量下降。調整後的 EBITDA 為 1,100 萬美元，較上年下降 400 萬美元，調整後的 EBITDA 利潤率為 4.3%。雖然我們在該地區實現了生產力提高，但這只能部分抵消產量下降和輕微的負面價格成本壓力的不利影響。

Before I hand it back to Bill, I'd like to briefly address the topic we know is top of mind for many investors, tariffs. Turning to Slide 10, we provide a detailed breakdown of our estimated tariff exposure by country based on current tariff rates. At today's tariff levels, we anticipate an annualized impact of approximately $55 million, with roughly $30 million of this amount expected to affect our 2025 results.

在將發言權交還給比爾之前，我想先簡單談談我們知道許多投資者最關心的話題——關稅。翻到投影片 10，我們根據目前關稅稅率，對各國估計的關稅風險進行了詳細分類。按照今天的關稅水平，我們預計年化影響約為 5500 萬美元，其中約 3000 萬美元預計將影響我們的 2025 年業績。

Importantly, we expect to offset these tariff costs by passing them through to our customers, though we anticipate minor timing-related impacts in the second quarter. As illustrated in the graph, we remain relatively well positioned with regard to direct material costs with only 13% of our Tier 1 and Tier 2 supplier spend currently exposed to potential tariffs. Additionally, direct material sourcing from China represents less than 1% of our total material spend.

重要的是，我們希望透過將這些關稅成本轉嫁給我們的客戶來抵消這些成本，儘管我們預計第二季與時間相關的影響會很小。如圖所示，我們在直接材料成本方面仍處於相對有利的地位，目前只有 13% 的一級和二級供應商支出受到潛在關稅的影響。此外，從中國直接採購的材料不到我們總材料支出的 1%。

The total exposure, including our Tier 2 suppliers, is closer to 5%. We believe our limited direct exposure provides us a relative advantage in the near term. However, should tariff levels stabilize, we expect significant activity in our sector to optimize supply chains and adapt to the new market dynamics, but this will not happen overnight.

包括我們的二級供應商在內的總風險敞口接近 5%。我們相信，有限的直接風險敞口將在短期內為我們帶來相對優勢。然而，如果關稅水準穩定下來，我們預計我們的行業將採取重大行動來優化供應鏈並適應新的市場動態，但這不會在一夜之間發生。

That said, this remains a highly fluid and evolving situation. We remain focused on planning proactively and maintaining flexibility. Again, we anticipate recovering the majority of tariff-related costs. However, the demand implications are unpredictable, given the unprecedented nature of this situation.

儘管如此，情況仍然高度不穩定且不斷變化。我們仍然專注於積極規劃並保持靈活性。再次，我們預計將收回大部分與關稅相關的成本。然而，鑑於這種情況前所未有的性質，其對需求的影響是無法預測的。

With that, I'll turn it back over to Bill, who will now provide further details on our updated market outlook.

說完這些，我將把話題交還給比爾，他現在將提供有關我們更新的市場展望的更多細節。

Thanks, Samantha. We are currently navigating an exceptionally challenging macroeconomic environment. Interest rates remain elevated, consumer confidence has declined to levels comparable only to those seen during the pandemic and the early 1980's, affordability remains a key topic, new homebuilder traffic did not experience the typical seasonal spring increase and many economists now estimate that the likelihood of a global recession is approximately 50%. These conditions have already begun to weigh heavily on new home construction and continue to put further pressure on repair and remodel activity.

謝謝，薩曼莎。我們目前正處於極具挑戰性的宏觀經濟環境中。利率仍然居高不下，消費者信心已下降至僅與疫情期間和 20 世紀 80 年代初相當的水平，負擔能力仍然是一個關鍵話題，新房建築商的客流量並未出現典型的春季季節性增長，許多經濟學家現在估計，全球經濟衰退的可能性約為 50%。這些情況已經開始對新房屋建設造成沉重負擔，並繼續對維修和改造活動造成進一步的壓力。

Despite these significant headwinds, we remain focused on controlling the factors we can control, as outlined on Slide 12. First, we are actively enhancing our production capabilities to improve both quality and lead times. At our Kissimmee, Florida facility, for example, which was impacted by volume shifts related to our network consolidation as a receiving site, we recently completed a focused 10-week sprint. This sprint resulted in substantial improvements in both product quality and our on-time in full performance metrics. While there is still room for further improvement, the facility is on track to meet our targeted goals this quarter.

儘管面臨這些重大阻力，我們仍然專注於控制我們能夠控制的因素，如幻燈片 12 所述。首先，我們正在積極提高生產能力，以提高品質和交貨時間。例如，在我們位於佛羅裡達州基西米的工廠，由於作為接收站點的網路整合導致產量變化，我們最近完成了為期 10 週的集中衝刺。這次衝刺使得產品品質和全面績效指標的準時性都顯著提高了。雖然仍有進一步改進的空間，但該設施預計將在本季實現我們的目標。

Second, we are adapting swiftly to meet the evolving needs of new homebuilders. Given ongoing affordability concerns, we are collaborating closely with select builders to help reduce their total costs and enhance their service experience. These targeted efforts have already enabled us to secure meaningful new business, placing us ahead of our internal plan for the first quarter of this year. Nevertheless, we see further opportunities to increase our relatively low market share among new builders.

其次，我們正在迅速適應以滿足新房屋建築商不斷變化的需求。鑑於持續的負擔能力問題，我們正在與精選建築商密切合作，以幫助他們降低總成本並增強他們的服務體驗。這些有針對性的努力已經使我們獲得了有意義的新業務，使我們領先於今年第一季的內部計劃。儘管如此，我們仍然看到了進一步增加我們在新建築商中相對較低的市場份額的機會。

Finally, we have made difficult but necessary decisions to significantly reduce head count during the quarter. By consolidating workflows and further optimizing staffing levels, we continue to adapt our workforce to the realities of our current business environment. However, additional efforts are required, particularly regarding direct labor, and we are moving rapidly to address these productivity challenges.

最後，我們做出了艱難但必要的決定，在本季大幅裁員。透過整合工作流程和進一步優化人員配備水平，我們不斷使我們的員工隊伍適應當前商業環境的現實。然而，我們還需要付出額外的努力，特別是在直接勞動力方面，我們正在迅速採取行動來應對這些生產力挑戰。

Turning to Slide 13. Despite the decisive actions we continue to take as a company, market uncertainty has recently increased significantly. As we see it, the broad range of outcomes in the economy yields a wide distribution of potential outcomes for building products as well as our business. That being said, we do want to provide some clarity around near-term expectations and anticipate that our second quarter adjusted EBITDA will be slightly above first quarter levels.

翻到第 13 張投影片。儘管我們公司不斷採取果斷行動，但市場不確定性最近顯著增加。我們認為，經濟中廣泛的結果為建築產品和我們的業務帶來了廣泛分佈的潛在結果。話雖如此，我們確實希望對近期預期提供一些清晰的說明，並預計第二季調整後的 EBITDA 將略高於第一季的水平。

Although we continue to experience softer-than-expected demand in our North America operations across both new construction and the repair and remodel segment, our cost reduction initiatives are rapidly taking effect and helping offset some of this pressure.

儘管我們在北美地區的新建築和維修及改造領域的需求仍然低於預期，但我們的成本削減措施正在迅速見效，並有助於抵消部分壓力。

We remain focused on cash flow maintenance and generation in light of the increased probability of a potential recession. We continue to fully commit to the transformation journey and have taken significant cost out of the business. We believe this will both position us well for the future and allow us to weather any coming turbulence this year.

鑑於潛在經濟衰退的可能性增加，我們仍然專注於維持和產生現金流。我們將繼續全力致力於轉型之旅，並已從業務中節省了大量成本。我們相信，這將使我們為未來做好充分準備，並使我們能夠度過今年即將到來的任何動盪。

In addition, we expect our transformation initiatives this year to achieve approximately $100 million in ongoing transformation benefits and $50 million of additional benefits from short-term actions with about 40% of the total benefits realized in the first half of the year and the remaining 60% in the second half. Consistent with our strategic plan, we still anticipate investing approximately $150 million in capital expenditures this year as we continue to further strengthen the business and position us effectively for the future.

此外，我們預計今年的轉型措施將實現約 1 億美元的持續轉型效益和 5,000 萬美元的短期行動額外效益，其中約 40% 的效益將在上半年實現，其餘 60% 的效益將在下半年實現。根據我們的策略計劃，我們仍預計今年將投資約 1.5 億美元的資本支出，以進一步加強業務並為未來做好有效準備。

Despite the ongoing market turbulence, we are executing diligently on the next phase of our strategic plan, positioning JELD-WEN effectively for long-term success.

儘管市場持續動盪，我們仍在努力執行策略計畫的下一階段，為 JELD-WEN 的長期成功做好有效定位。

Turning to Slide 14. I would like to reiterate our three key strategic priorities. First, we continue to reestablish strong partnerships with our customers. We are actively enhancing our service levels across all parts of our business, reducing lead times and doing so safely, demonstrated by meaningful year-over-year improvements in our safety metrics.

翻到幻燈片 14。我想重申我們的三個關鍵策略重點。首先，我們持續與客戶重建牢固的合作關係。我們正在積極提高所有業務領域的服務水平，縮短交貨時間，並確保安全，這從我們安全指標的逐年顯著改善中可以看出。

By consistently emphasizing safety, quality and on-time delivery and linking variable compensation to these critical metrics, we are increasingly able to deliver precisely what customers expect, the right product with the right quality, on time and in full.

透過不斷強調安全、品質和準時交貨，並將浮動薪酬與這些關鍵指標掛鉤，我們越來越能夠按時、完整地提供客戶所期望的、品質合格的正確產品。

Second, we are optimizing our manufacturing and distribution network. The recent market challenges underscore that we still have excess capacity with too many facilities operating below optimal utilization levels. We are taking a disciplined and strategic approach to realigning our long-term operational footprint, carefully balancing the right level of capacity with the need to minimize disruption and improve customer service.

第二，我們正在優化我們的製造和分銷網絡。最近的市場挑戰凸顯了我們仍然產能過剩，太多設施的營運利用率低於最佳水平。我們正在採取嚴謹的策略方法來重新調整我們的長期營運足跡，仔細平衡適當的容量水準與盡量減少干擾和改善客戶服務的需求。

Finally, we are continuing to invest in automation to drive efficiency and reduce costs. As we have noted previously, historical underinvestment has resulted in a fragmented and inefficient network. We remain committed to investing in automation and process improvements to enhance productivity, reduce complexity and strengthen our competitive position.

最後，我們將繼續投資自動化以提高效率並降低成本。正如我們之前所指出的，歷史上的投資不足導致了網路分散且效率低下。我們將繼續致力於投資自動化和流程改進，以提高生產力、降低複雜性並增強我們的競爭地位。

Entering 2025, we anticipated challenging market conditions. However, the magnitude of disruption we are currently experiencing global markets and its potential impact on consumer demand for doors and windows has exceeded our initial expectations. In response, we are focused on measures to adapt quickly to these market realities, while still maintaining our commitment to the long-term improvement of JELD-WEN's financial performance.

進入 2025 年，我們預期市場環境將充滿挑戰。然而，我們目前正在經歷的全球市場混亂的程度及其對門窗消費者需求的潛在影響已經超出了我們最初的預期。作為回應，我們專注於快速適應這些市場現實的措施，同時仍致力於長期改善 JELD-WEN 的財務表現。

I remain incredibly proud of our team's dedication and hard work. We continue investing in the right systems, processes and people to drive sustainable long-term value creation. I'm confident in our team's ability to navigate the current challenges effectively and I firmly believe we will be well positioned once markets stabilize and return to growth.

我對我們團隊的奉獻精神和辛勤工作感到無比自豪。我們持續投資於正確的系統、流程和人才，以推動永續的長期價值創造。我相信我們的團隊有能力有效應對當前的挑戰，我堅信，一旦市場穩定並恢復成長，我們將處於有利地位。

Thank you once again for your continued support and interest. With that, I'll now turn the call back over to James for the Q&A.

再次感謝您一直以來的支持與關注。說完這些，我現在將電話轉回給詹姆斯進行問答。

Thanks Bill, operator. We are now ready to begin Q&A.

謝謝接線生比爾。我們現在準備開始問答。

(Operator Instructions)

（操作員指示）

John Lovallo, UBS.

瑞銀的約翰·洛瓦洛。

Good morning, guys. Thank you for taking my questions. The first one is how confident are you in your ability to pass along the $30 million in 2020 -- sorry, in 2025 tariff impact to your customers? I mean price cost is flat to negative across your business, pre-tariff. Customers are obviously large and growing. So I'm curious your ability to pass it along. And are there any other initiatives that you're taking in terms of mitigation actions?

大家早安。感謝您回答我的問題。第一個問題是，您對將 2020 年（抱歉，是 2025 年）的 3000 萬美元關稅影響轉嫁給您的客戶有多大信心？我的意思是，在關稅之前，您的整個業務的價格成本是持平或為負的。客戶顯然規模龐大且不斷成長。所以我很好奇你傳遞它的能力。在緩解措施方面，您是否還採取了其他措施？

Good morning, John. So we are in constant negotiation with our key customers as the tariff reality evolves. We have a great internal team that has been working almost around the clock when this was all being structured to really try and define what are the opportunities that we have, but also what are the challenges in our sales organization is in close contact with our customer base. Obviously, a lot of our customers are being faced with multiple inbound requests on different product cost increases.

早安，約翰。因此，隨著關稅現實的變化，我們一直在與主要客戶進行談判。我們擁有一支優秀的內部團隊，在建立這一切的過程中，他們幾乎日以繼夜地工作，試圖真正確定我們擁有哪些機會，以及我們的銷售組織與客戶群保持密切聯繫所面臨的挑戰。顯然，我們的許多客戶都面臨著有關不同產品成本增加的多個入站請求。

So negotiations are going well. I think the big issue, John, is the certainty around what are the corridors that will stick longer term? And how many more changes are coming. So we're remaining as agile as possible when we're thinking through the long-term implications of our sourcing cost base, and we're already working with some of our key suppliers on reshoring opportunities, and we are onshoring capacity that we have available to create maybe in the short term, a higher cost base, but longer term, a lower cost base because it's domestically sourced.

談判進展順利。約翰，我認為最大的問題是確定哪些政策路徑能夠長期持續下去？還有多少變化即將到來。因此，當我們考慮採購成本基礎的長期影響時，我們會盡可能保持靈活，並且我們已經在與一些主要供應商合作尋找回流機會，我們正在將現有的產能回流，也許在短期內會創造更高的成本基礎，但從長遠來看，由於是國內採購，成本基礎會更低。

So we don't see significant challenges in getting the surcharges into the market because at the end of the day, this is something that the whole market is going to have to work together to be as effective as possible. We continue to invest in a lot of the initiatives that are taking cost out of our system and making ourselves more effective, and that's the counterbalance for us.

因此，我們認為將附加費引入市場不會面臨重大挑戰，因為歸根結底，這需要整個市場共同努力才能盡可能有效。我們繼續投資於許多舉措，以降低我們的系統成本並提高效率，這是我們的平衡措施。

So it's basically 2 levers, working with our customers to pass through surcharges, but at the same time, continuing to optimize our cost structure, and that's why the investments remain elevated to make sure we're doing as much as we can to balance. And I think the big issue right now is maybe not the near term, it's the longer term and the uncertainty in the second order that the tariffs could potentially have on demand in the channel, and that's I think the bigger issue that people are really trying to figure out what's the cone of probability, and it's extremely challenging to define that given the current reality of uncertainty.

因此，這基本上是兩個槓桿，與我們的客戶合作轉嫁附加費，但同時，繼續優化我們的成本結構，這就是為什麼投資仍然很高，以確保我們盡可能保持平衡。我認為現在的大問題可能不是短期問題，而是長期問題，以及關稅可能對渠道需求產生的二階不確定性，我認為這是人們真正想弄清楚概率錐是什麼的更大問題，考慮到當前不確定性的現實，定義概率錐極具挑戰性。

Okay. Understood. And then on average, 2Q EBITDA has historically improved, call it, 40% to 50% quarter-over-quarter from the first quarter. I mean, how should we sort of think about the phrasing of your outlook that 2Q EBITDA will be slightly better seasonally compared to the first quarter in the context of that historical number? And how should we also think about sales quarter-to-quarter from 1Q to 2Q?

好的。明白了。平均而言，第二季的 EBITDA 比第一季環比成長了 40% 至 50%。我的意思是，在歷史資料的背景下，我們應該如何看待您所說的第二季 EBITDA 與第一季相比會略有季節性好轉的前景表述？我們還應該如何看待第一季至第二季的季度銷售額？

Yes. So I mean, I think you're thinking about it correctly, John. As we look at it, typically, we experience a seasonal uptick in 2Q versus 1Q. It was very muted last year. It was there, but it was very soft. We are not seeing a significant rebound this year that would be typical with kind of a spring reload for a summer build. So I think that's the first message.

是的。所以我的意思是，我認為你的想法是正確的，約翰。從我們的角度來看，通常情況下，第二季相對於第一季會出現季節性上升。去年的情況非常平靜。它就在那兒，但是很柔軟。今年我們並沒有看到明顯的反彈，而這種反彈通常是春季重新加載以備夏季建設的典型情況。所以我認為這是第一條訊息。

The second message is we would expect a seasonal uptick, albeit off of a low base. And if we look at kind of how things were tracking, Samantha went through some of the details on our Q1 sales down roughly 19%, we see similar rates as we're rolling into April. So it's muted the rebound, and I think that has to do with the uncertainty. So we're thinking that there will be a quarter-over-quarter uptick, but off of a lower base. And maybe Samantha has more detail on that for you.

第二個訊息是，儘管基數較低，但我們預計會出現季節性上漲。如果我們看一下事情的進展情況，薩曼莎詳細介紹了我們第一季銷售額下降約 19% 的情況，而進入四月份，我們也看到了類似的下降趨勢。因此，它抑制了反彈，我認為這與不確定性有關。因此，我們認為季度環比將出現上升，但基數較低。也許薩曼莎可以為你提供更多詳細資訊。

Thanks, John. I think in terms of this year, looking into Q2, I agree with everything Bill shared, but we haven't really seen a lot of the tariff-related impact into the demand in Q1. And we saw, I would say, in April, again, more muted activity and demand than we would have expected. And just given where we are in the year and the range of the different outcomes, we want to be able to provide as much commentary on the near term where we have the most visibility.

謝謝，約翰。我認為就今年而言，展望第二季度，我同意比爾分享的所有內容，但我們並沒有真正看到關稅對第一季的需求產生太大影響。我想說，我們在四月再次看到活動和需求比我們預期的更加低迷。考慮到我們今年所處的階段以及各種不同的結果，我們希望能夠對近期最受關注的事件提供盡可能多的評論。

Got it. Thank you, guys.

知道了。謝謝你們。

Alright thanks John.

好的，謝謝約翰。

Philip Ng, Jefferies.

傑富瑞的 Philip Ng。

Hey guys. I appreciate all the good color in an uncertain macro backdrop. Bill, it was encouraging to hear you say you're expecting the $150 million in mitigation actions from transformation and cost out to kind of still kick in. The flow-through in the first half seems relatively muted. How should we think about that dropping through in the back half? Appreciating volumes did have an impact in 1Q productivity was negative? Just kind of help us think through that flow through in the back half?

嘿，大家好。我欣賞不確定的宏觀背景中的所有美好色彩。比爾，聽到您說您預計轉型和成本支出的 1.5 億美元緩解措施仍將發揮作用，這令人鼓舞。上半年的流通似乎相對平淡。我們該如何看待後半部的下滑？產量上漲對第一季生產力產生的影響是負面的嗎？只是幫助我們思考後半部的流程嗎？

Yes. So I think roughly 40-60, Phil, so 40% H1, 60% H2. Reason why it's loaded more to H2 is some of the cost measures. So again, we have $100 million transformation and $50 million of on top cost. A number of those measures were actioned at the end of 1Q, so those start dropping into 2Q and as we roll forward through the rest of the year. I think the one big variable and you hit it, Phil, on really us being able to capture the $100 million of transformation benefit is how do volumes develop because there are some productivity assumptions in there based on volumes as we roll forward. And as we've said in the prepared remarks, a number of our sites still remain underutilized. And with the limited rebound, we think that there's going to be a challenging back half situation and potentially we're going to see negative underlying productivity just based on that reality.

是的。所以我認為大約是 40-60，Phil，所以 40% H1，60% H2。H2 裝載更多貨物的原因是一些成本措施。因此，我們的轉型成本為 1 億美元，額外成本為 5,000 萬美元。許多措施是在第一季末實施的，因此這些措施在第二季以及今年剩餘時間內將開始下降。菲爾，我認為一個很大的變量，你也說對了，我們能否真正獲得 1 億美元的轉型收益，取決於產量如何發展，因為隨著我們不斷前進，其中存在一些基於產量的生產力假設。正如我們在準備好的發言中所說的那樣，我們的許多站點仍未得到充分利用。由於反彈幅度有限，我們認為下半年情況將充滿挑戰，並且基於這個現實，我們可能會看到負面的潛在生產力。

Hard for us to really pinpoint it, but we still feel confident in the transformation. We're tracking it diligently and the additional $50 million, as I said, we've taken a lot of action in 1Q that will start dropping.

我們很難真正確定這一點，但我們仍然對轉型充滿信心。我們正在認真跟踪，額外的 5000 萬美元，正如我所說，我們在第一季採取了很多行動，但這些行動將開始下降。

You can also see, Phil, in terms of the corporate costs, we were able to action that earlier in the year, and you're starting to see that materialize in Q1. Expect that to continue in Q2 through Q4. When it comes to kind of the other cost actions, we talked about the plant-related actions in 2 plants that we've announced shutdown so far this year. So you will see that benefit in the latter half of the year. Unfortunately, to Bill's point, because of the volume uncertainty and how that implies with our capacity, we would see a negative productivity underlying, that would be in addition to the cost actions that we're actively pursuing.

菲爾，您還可以看到，就公司成本而言，我們能夠在今年早些時候採取行動，並且您將在第一季看到這一舉措的實現。預計這種情況將在第二季至第四季持續下去。當談到其他成本行動時，我們討論了今年迄今宣布關閉的兩家工廠的相關行動。因此，您將在下半年看到這一好處。不幸的是，正如比爾所說，由於產量的不確定性以及這對我們產能的影響，我們將看到潛在的負面生產力，這將是我們正在積極推行的成本行動的補充。

Okay. Appreciating dynamic environment, Sam. Your leverage was, call it, 4.5 times in 1Q. You're not calling for much of the seasonal improvement in earnings going to 2Q. I mean the quick math kind of implies leverage could be as high as high single digits. So kind of help us think through how you're kind of managing that liquidity risk and what are some of the options you have to kind of improve your balance sheet in the near to medium term?

好的。欣賞動態環境，山姆。你們第一季的槓桿率是 4.5 倍。您預計第二季的獲利不會有太大的季節性改善。我的意思是，簡單的數學計算表明槓桿率可能高達個位數。那麼，請幫助我們思考您是如何管理流動性風險的，以及您在中短期內有哪些選擇可以改善您的資產負債表？

Sure. So first, I want to address the leverage comment. Our lending base does not have restrictive covenants, so we do not have issues from that standpoint. However, we do realize that that's an unacceptable level, and we are closely managing both working capital as well as diligently reviewing every single CapEx request. We have not cut back at this point on CapEx because you can see the benefit from a cost action standpoint of our investment in the transformation, but we are reviewing every single project to make sure that it fits within our strategy, and it has the payback necessary.

當然。首先，我想談談槓桿評論。我們的貸款基礎沒有限制性契約，因此從這個角度來看我們沒有問題。然而，我們確實意識到這是一個不可接受的水平，我們正在密切管理營運資金並認真審查每項資本支出請求。目前我們還沒有削減資本支出，因為從成本行動的角度來看，您可以看到我們在轉型方面的投資帶來的好處，但我們正在審查每一個項目，以確保它符合我們的策略，並有必要的回報。

We are also, as we talked about prior, evaluating potential options like a sale-leaseback or other asset sales to further strengthen our balance sheet. But I want to make sure everyone understands that we have ample liquidity for the foreseeable future, including our undrawn revolver. So from that standpoint, we feel we are on a good standpoint. We're managing our cash appropriately, and we're continuing to evaluate options that will further strengthen.

正如我們之前所討論的，我們也正在評估售後回租或其他資產出售等潛在選擇，以進一步加強我們的資產負債表。但我想確保每個人都明白，在可預見的未來，我們有充足的流動資金，包括未提取的循環信貸。因此從這個角度來看，我們覺得我們的立場是好的。我們正在適當管理現金，並正在繼續評估進一步加強的選擇。

Okay, appreciate it.

好的，謝謝。

Susan Maklari, Goldman Sachs.

高盛的蘇珊馬克拉里 (Susan Maklari)。

Good morning, everyone. My first question is thinking about your position as a largely US-based producer for your North America operations. Are you seeing or thinking about the potential that, that could help you regain some share in the market? Have you heard anything from customers initially? And any thoughts maybe on how some of those benefits could come through over time?

大家早安。我的第一個問題是，您作為北美業務的主要美國生產商的地位如何。您是否看到或考慮過可以幫助您重新獲得部分市場份額的潛力？您最初聽過顧客的任何消息嗎？您認為這些好處如何隨著時間的推移而逐漸顯現出來呢？

So I think the short answer is, yes, we see opportunity. I think the longer answer is it's highly complex currently, Susan, given the uncertain nature of tariff corridors and magnitude. There are a few areas specifically I will name one, just to highlight fiberglass doors, there's been a pretty significant uptick in imports -- Asian imports on the lower end and obviously, the tariff levels that are currently in place and potentially going to hang around for a while, it makes those products extremely prohibitive from a price standpoint in the domestic market, ourselves and others our domestic manufacturers of fiberglass doors, so there's clearly opportunities there. And we have been investing significantly in a number of our component manufacturing site, so that's also opportunity that we're already utilizing to pull some offshore components back onshore.

所以我認為簡短的回答是，是的，我們看到了機會。蘇珊，我認為更長的答案是，鑑於關稅走廊和幅度的不確定性，目前情況非常複雜。具體來說，我舉幾個領域的例子，首先要強調的是玻璃纖維門，進口量出現了相當顯著的增長——低端亞洲進口產品，而且顯然，目前的關稅水平可能會持續一段時間，從價格角度來看，對於我們自己和其他國內玻璃纖維門製造商來說，這些產品在國內市場的價格顯然存在極其昂貴。我們已經對一些零件製造基地進行了大量投資，這也是我們正在利用的機會，將一些海外零件拉回國內。

So I do think that there's opportunity. I think it will take a while to settle, and I think a couple of things need to happen. Number one, ourselves and others in the supply chain need to have some longer-term certainty on what the levels really will be and then that will help. I think the industry, in general, start to reprice different products and allow people to really understand what's the most effective sourcing strategy for those components given inflated price levels due to tariffs. And once that is set, and I think there's going to be a much clearer path for us than others as to where are we investing domestically and what kind of opportunity do we see to bring business back in, but there are already discussions going on with key customers in certain areas that we think would be an opportunity for us.

所以我確實認為有機會。我認為這需要一段時間才能解決，而且我認為需要發生幾件事。首先，我們自己以及供應鏈中的其他人需要對實際水準有一定的長期確定性，這樣才會有所幫助。我認為，總體而言，該行業開始對不同的產品重新定價，並讓人們真正了解，在關稅導致價格水平上漲的情況下，這些零件最有效的採購策略是什麼。一旦確定了這一點，我認為我們將比其他公司有更清晰的道路，了解我們在國內的投資方向以及我們看到什麼樣的機會來恢復業務，但我們已經與某些地區的關鍵客戶進行了討論，我們認為這對我們來說是一個機會。

Okay. That's great color. And then you've mentioned efforts to improve your service levels, reducing your lead times to customers. I guess, can you just talk a bit more about how you're thinking of those projects that you're taking on this year? Any change given the macro environment? And anything we should be looking for as we think about just the path for margins this year or even in the back half relative to the weaker volumes that might come through?

好的。顏色真棒。然後您提到了努力提高服務水平，縮短客戶交貨時間。我想，您能否再多談談您對今年要開展的那些項目的看法？宏觀環境有什麼變化嗎？當我們考慮今年甚至下半年的利潤率走勢，以及相對於可能出現的較弱的銷售量時，我們應該尋找什麼？

Yes. So we're -- obviously, we're staying very close to the volume reality and really going through different scenarios as we should to really try and understand what our impact range is based on volume scenarios, given tariff expectations and obviously then making assumptions on certain outcomes. As we look at our capital and what we've been doing to invest in our -- strengthen the foundation piece of the work we've been doing, at least 50% of our CapEx is locked in to larger scoping projects that are really transforming our cost base in our domestic manufacturing. So that's great news for us, and we're starting to bring online one of our first large investments in Texas in the next couple of months that we've released 18 months ago.

是的。因此，顯然，我們非常接近實際產量，並真正經歷了不同的情景，我們應該真正嘗試並了解我們基於產量情景的影響範圍，考慮到關稅預期，然後顯然對某些結果做出假設。當我們審視我們的資本以及我們為加強基礎工作所做的投資時，我們發現至少有 50% 的資本支出被鎖定在更大範圍的項目中，這些項目確實改變了我們國內製造業的成本基礎。這對我們來說是個好消息，我們將在接下來的幾個月開始在德州啟動我們 18 個月前發布的首批大型投資之一。

So some of these things are starting to take shape, and we feel that will give us a pretty great opportunity to bring our cost to serve down, however, with the softness in the market, and the short-term uncertainty, we still are investing as we need to be in our footprint, which still is too large and we need to optimize, and some of these things are longer-term projects that we don't feel that we should be turning off because we want to reap the long-term benefit.

因此，其中一些事情開始成形，我們認為這將為我們提供一個很好的機會來降低服務成本，但是，由於市場疲軟和短期不確定性，我們仍然需要進行投資，因為我們的足跡仍然太大，我們需要優化，其中一些是長期項目，我們認為不應該關閉，因為我們想要獲得長期利益。

There are other shorter-term things where we're shifting and reprioritizing as Samantha mentioned. But we feel very comfortable that we are absolutely on track with what we've set out to do. We've always said we need fewer sites, and we need to overinvest in those fewer sites. And when the market volume turns, and it will, it's a cyclical business. We know that, but we're preparing ourselves and getting our service levels and our quality levels as well as the asset base up to speed. And that will give us, we believe, a very interesting upside when the volumes turn, and that's what we're getting ready for and have been working on for the last 2 to 3 years.

正如薩曼莎所提到的，我們正在調整和重新安排其他短期事務的優先順序。但我們感到非常放心，因為我們完全按照既定的計劃在進行。我們一直說我們需要更少的站點，並且我們需要對這些更少的站點進行過度投資。當市場交易量改變時（這種情況會發生），這是一個週期性的業務。我們知道這一點，但我們正在做好準備，加快我們的服務水準、品質水準以及資產基礎。我們相信，當交易量改變時，這將為我們帶來非常有趣的優勢，而這正是我們正在準備的，並且在過去 2 到 3 年裡一直在努力的。

Okay, thank you for all the color. Good luck.

好的，謝謝你的所有顏色。祝你好運。

Thank you, Susan.

謝謝你，蘇珊。

Matthew Bouley, Barclays.

巴克萊銀行的馬修·布萊（Matthew Bouley）。

Good morning. You have Anika Dholakia on for Matt today. So first off, I wanted to talk on mix. So you mentioned that mix has stabilized this quarter, wondering if you can parse out how much of that $39 million volume mix headwind was volume versus mix and how you'd expect this to trend? I'm just wondering kind of if there is a risk, maybe customers mixing down moving forward, given a more pressured affordability backdrop? Thanks.

早安.今天，Anika Dholakia 代替 Matt 登場。首先，我想談談混合。所以您提到本季產品組合已經穩定下來，想知道您是否可以分析出 3900 萬美元的銷售組合逆風中有多少是銷量與產品組合之間的差異，以及您預計這種趨勢將如何？我只是想知道是否有風險，在承受能力壓力更大的背景下，客戶可能會減少購買量？謝謝。

So the mix downturn is really what we experienced in 2024. And as you referenced, that was when we saw a significant shift to the, I would say, lower priced, more entry-level products. We have not seen a significant mix change in 2025 thus far. So we expect to be at that lower level that we saw the transition happen in '24. We expect to be at that lower level going into 2025. So I would tell you the vast majority of what you're seeing in terms of that volume mix decline is truly volume. We have not experienced any kind of significant downturn, as I said, as we did last year.

因此，混合低迷確實是我們在 2024 年所經歷的。正如您所提到的，那時我們看到了向價格更低、更入門級產品的重大轉變。到目前為止，我們還沒有看到 2025 年出現重大的組合變化。因此，我們預計其將處於 24 年發生的轉變的較低水平。我們預計到 2025 年這一水平將處於較低水平。因此，我想告訴您，就交易量組合下降而言，您所看到的絕大多數確實是交易量下降。正如我所說，我們沒有經歷任何重大衰退，就像去年一樣。

Great. That's super helpful. And then on the second question, just maybe on the timing of the tariff impact. How we should be thinking about that $30 million flowing through 2Q versus second half? Thanks.

偉大的。這非常有幫助。關於第二個問題，也許只是關於關稅影響的時間。我們該如何看待第二季和下半年流入的 3,000 萬美元？謝謝。

So as Bill talked about, we do intend to fully pass through that $30 million in terms of the tariffs on to our customers. There is a, I would call, an immaterial difference of timing of when that takes effect in Q2, but it is insignificant in the grand scheme of what we're passing through. So I would expect that we're going to start to see the impact of the surcharges in Q2 throughout the rest of the year. And of course, that based on current levels, and I think it's anyone's guess on where those will settle.

正如比爾所說，我們確實打算將這 3000 萬美元的關稅全部轉嫁給我們的客戶。我認為，在第二季度生效的時間上存在著一個無關緊要的差異，但與我們正在經歷的宏偉計劃相比，這個差異微不足道。因此，我預計我們將在今年剩餘時間內開始看到第二季附加費的影響。當然，這是基於當前水平，我認為任何人都無法猜測這些數字將會穩定在哪裡。

Great. Thank you. I'll pass it on.

偉大的。謝謝。我會傳達的。

Trevor Allinson, Wolfe Research.

特雷弗·阿林森（Trevor Allinson），沃爾夫研究公司。

Hi, good morning. Thank you for taking my question. You guys have previously talked about offsetting $50 million of cost inflation with pricing. You've got $30 million incremental now with tariffs, you've expressed confidence in offsetting that portion. Can you talk about your confidence in offsetting the $50 million of nontariff inflation? And is $50 million still a good number for us to use on that?

嗨，早安。感謝您回答我的問題。你們之前曾討論過透過定價來抵銷 5000 萬美元的成本通膨。現在關稅增加了 3000 萬美元，您表示有信心抵消這部分損失。您能談談您對抵銷 5000 萬美元非關稅通膨的信心嗎？那麼，5000 萬美元對我們來說仍然是一個合適的金額嗎？

Yes. So I think, Trevor, this is Samantha. It is still a good number to use in terms of, I would say, nontariff-related input cost increases. We have seen, I would say, an overall softening in terms of the competitive -- overall softening of the market in terms of the competitive landscape, which is why we are focusing on not just price, but also how we can compete on service, quality, et cetera, which is why there is significant investment in those areas. I do expect us to be slightly price cost negative this year, again, because of the challenging demand outlook. But I think in terms of your overall read, the cost input increases would be about the same.

是的。所以我認為，特雷弗，這是薩曼莎。我想說，就非關稅相關的投入成本增加而言，這仍然是一個不錯的數字。我想說，我們已經看到競爭方面的整體疲軟——就競爭格局而言，市場整體疲軟，這就是為什麼我們不僅關注價格，還關注如何在服務、品質等方面競爭，這就是為什麼我們在這些領域進行大量投資。我確實預計今年我們的價格成本將略微出現負值，因為需求前景充滿挑戰。但我認為從你的整體來看，成本投入的增加是大致相同的。

Okay. Got you. Makes a lot of sense. And then second, when you guys announced the Towanda divestiture, you gave a pretty wide range on both sales and EBITDA impact, depending on how customer retention would go. I think the EBITDA range was like $25 million to $50 million. Can you provide an update there to which end of that range are you guiding towards as you have some more visibility into customer retention?Thank you.

好的。明白了。很有道理。其次，當你們宣布剝離 Towanda 業務時，你們給出了銷售額和 EBITDA 影響的相當廣泛的範圍，這取決於客戶保留情況。我認為 EBITDA 範圍是 2500 萬美元到 5000 萬美元。能否提供一下最新情況，隨著您對客戶留存率有了更多的了解，您目前的目標範圍是哪一個？謝謝你。

So I would say on that standpoint, we are seeing slightly more towards the higher end of that range. It was a pretty broad range. But what happened in terms of the last few weeks, the muted seasonal uptake from Q1, those are all factors that are playing out. But I would say, in general, we are expecting slightly to the higher end of that range.

因此我想說，從這個角度來看，我們看到的只是略微接近該範圍的高端。範圍相當廣泛。但就過去幾週發生的情況而言，第一季季節性成長放緩，這些都是正在發揮作用的因素。但我想說，總的來說，我們預計該範圍會略高一些。

Okay, thank you for all the color. And good luck moving forward.

好的，謝謝你的所有顏色。祝你未來一切順利。

Thank you, Trevor.

謝謝你，特雷弗。

Jeffrey Stevenson, Loop Capital.

傑弗裡·史蒂文森，Loop Capital。

Hi, thanks for taking my questions today. So Bill, one of your strategic priorities has been standardized and build specifications and processes across your manufacturing network. And I just wondered how far along are you in this initiative? And will it help drive further footprint consolidation in the future if needed?

你好，感謝您今天回答我的問題。所以比爾，你的策略重點之一就是標準化並建立整個製造網路的規範和流程。我只是想知道您在這項計劃上進展到什麼程度了？如果需要的話，它是否有助於推動未來進一步的足跡整合？

Yes. So we're making progress. There's 2 things that we're doing here, Jeffrey. As we've talked in the past. One is really to optimize our cost to serve. And how we're doing that is investing in pretty significant automation in some of our door slab sites. And as I just mentioned on a prior question, we are just starting to first install on one of those systems at a Texas facility. So that's coming along.

是的。所以我們正在取得進展。傑弗裡，我們在這裡做兩件事。正如我們過去所談到的。一是真正優化我們的服務成本。我們的做法是，在一些門板工地投資相當重要的自動化設施。正如我剛才在前面的問題中提到的那樣，我們剛開始在德州的一個工廠安裝其中一個系統。一切正在發生。

Second thing that we're working through now, obviously, based on tariffs and sourcing, we are taking a very hard look at our product complexity and working through optimization opportunities that we have to simplify our offering and to make sure we can get the right product cost stack in our doors and windows that meet customer expectations. So that's a second topic. That's more broader from a complexity reduction, but both of those are progressing according to plan. I'd say we're further along on investing in automation, and hence, still elevated CapEx this year, but we feel comfortable with the progress we're making on both of those fronts.

我們現在正在努力解決的第二件事，顯然是基於關稅和採購，我們正在認真審視我們的產品複雜性，並努力透過優化機會來簡化我們的產品，並確保我們可以在門窗中獲得正確的產品成本堆疊，以滿足客戶的期望。這是第二個話題。從複雜性降低的角度來看，這更為廣泛，但這兩者都正在按計劃進行。我想說我們在自動化投資方面取得了進一步的進展，因此今年的資本支出仍然有所增加，但我們對這兩個方面取得的進展感到滿意。

Okay. Great. And then could you provide more color on the new business wins you talked about with builder customers you saw from our recent collaboration efforts? And then some early successes, maybe you've seen from increasing your production builder sales concentration from windows stock and service program that you implemented last year, Bill?

好的。偉大的。然後，您能否詳細介紹一下您與建築商客戶談論的在我們最近的合作中看到的新業務勝利？然後是一些早期的成功，也許你已經從去年實施的窗戶庫存和服務計劃中看到了生產建築商銷售集中度的提高，比爾？

Yes. So we're making progress. As we said in prepared remarks, we're ahead of our expectations for gaining new business. Again, that is acquisition of new business and not delivery of product. You've got to think there's a 6- to 9-month window between the book and the build, so to speak.

是的。所以我們正在取得進展。正如我們在準備好的演講中所說，我們在獲得新業務方面超出了我們的預期。再次強調，這是新業務的獲取，而不是產品交付。你必須認為，從寫書到實際建造之間有 6 到 9 個月的時間。

So we are making progress. And that's one of the things that we really want to get better at is utilizing the strength that we have on the interior door side of the house, and combine that with a window offering that meets expectations of some of the production builders that we're developing relationships with. So we feel comfortable. But again, this is what we're seeing in our pipeline and not yet a dramatic materialization of that sales on the P&L, and that's still to come.

所以我們正在取得進展。我們真正想要做得更好的事情之一就是利用我們在房屋內門方面的優勢，並將其與滿足我們正在發展關係的一些生產建築商的期望的窗戶產品相結合。所以我們覺得很舒服。但同樣，這是我們在通路中看到的，而且尚未在損益表中顯著實現銷售額，而且這還有待實現。

But again, as I also suggested in my prepared remarks, the spring build season is pretty flat. So traffic for new homebuilders is below expectations. I'd say just in general. Obviously, there's pockets that are outliers in both directions. But in general, we're not seeing the rebound that we would expect. And again, coming back to what do we think are driving those low traffic levels, it's affordability and its interest rates, and then you add in the uncertainty of tariffs and potential further cost increases, it's creating a challenging environment right now to make big ticket decisions whether it be on large window or sliding door renovations or purchasing new homes, which obviously pull through interior doors and exterior doors and windows.

但正如我在準備好的發言中提到的那樣，春季建築季節相當平淡。因此，新房建築商的客流量低於預期。我只是說一般而言。顯然，兩個方向上都有一些異常值。但總體而言，我們並沒有看到預期的反彈。再說一遍，我們認為是什麼導致了這些低流量水平，是可負擔性和利率，然後你加上關稅的不確定性和潛在的進一步成本增加，它現在創造了一個具有挑戰性的環境，要做出重大決策，無論是大窗戶或滑動門的改造還是購買新房，這顯然都要通過內門和外門窗。

Great, thank you.

太好了，謝謝。

Steven Ramsey, Thompson Research.

史蒂文‧拉姆齊，湯普森研究公司。

Good morning. I wanted to follow on to the topic of production builder wins. Clearly, at some point, this will be a volume benefit. My first question is, will this -- or is this expected to be a benefit in the second half? And then secondly, is this line of business going to be a mixed headwind or tailwind or neutral?

早安.我想繼續討論生產建造者勝利的話題。顯然，從某種程度上來說，這將帶來數量上的優勢。我的第一個問題是，這是否會——或者預計這會為下半年帶來好處？其次，這條業務線將會是混合逆風、順風還是中性？

Hey, good morning, Stephen. Thanks for the question.So I'd say, yes, I expect something in H2. It will be small. I'd say it's not material in the grand scheme of things. More importantly, for us, it's really starting to cement the relationships where we're selling systems into our builder partners and not just an interior door package. But again, the builder of volume that is currently tracking is at the lower end. As Samantha mentioned, there was a pretty significant mix down just in general in production builders last year, and we're still seeing that this year. So what we're acquiring is at a lower end. But we would expect that to materialize later in H2, but it won't be material if you look at our overall earnings for this year.

嘿，早上好，史蒂芬。感謝您的提問。所以我想說，是的，我期待 H2 中能有所收穫。它會很小。我想說，從總體上看，這並不重要。更重要的是，對我們來說，它真正開始鞏固我們與建築商合作夥伴銷售系統的關係，而不僅僅是室內門套件。但目前追蹤的數量建構器仍處於較低端。正如薩曼莎所提到的，去年生產建築商的總體數量出現了相當大的下降，今年我們仍然看到這種情況。因此，我們收購的是較低端的產品。但我們預計這將在下半年稍後實現，但如果你看看我們今年的整體收益，這並不重要。

Okay. That's helpful. Second question would be on the CapEx outlook. Looks like you're holding that. I guess what would cause you to change your view on CapEx? You've made a great case for a lower footprint with more automation. But given this backdrop, are there any benefits you see to pulling down the CapEx a bit? Or another way to ask how much flexibility do you have with your CapEx in 2025?

好的。這很有幫助。第二個問題是關於資本支出前景。看起來你正拿著它。我猜什麼會讓您改變對資本支出的看法？您已經充分證明了透過更多的自動化可以減少對環境的影響。但考慮到這種背景，您認為稍微降低資本支出有什麼好處嗎？或者換個方式問一下，2025 年您的資本支出有多大的彈性？

Yes. So we -- there's definitely flexibility there, and we are taking a very -- a very targeted approach as really balancing the short term and the long term. A lot of the projects in the pipeline are obviously for the longer-term transformation of our network, which are materializing in different stages. So as we said, kind of above 50% of that spend is allocated to projects that are already in flight, and we're sharpening our pencil on everything else. If we do see things develop in a very negative fashion back half of the year, driven by further tariffs, shocks, uncertainties, clearly, we would be reducing the CapEx spend.

是的。因此，我們確實具有靈活性，並且我們採取非常有針對性的方法來平衡短期和長期。許多正在籌備的專案顯然是為了我們網路的長期轉型，這些專案正在分階段實施。正如我們所說，超過 50% 的支出被分配給了已經在進行的項目，而我們正在加大對其他項目的投資。如果我們確實看到下半年情況以非常負面的方式發展，受到進一步的關稅、衝擊和不確定性的推動，顯然，我們會減少資本支出。

And as Samantha mentioned, there's other avenues that we're actively looking at sale leaseback, asset sales to really make sure the balance sheet it's very secure and to continue that, and we have a credit line that's undrawn. We just want to make sure that we are going to win the long game, which is what we've always said we want to do. So we are doing everything we can to continue funding those projects, and we still continue to do that given the environment. And again, at our next call, you'll hear more depending on how markets are developing and what the expectation is. But right now, we're still pushing hard on these projects, which are important for the long term.

正如薩曼莎所提到的，我們正在積極尋找其他途徑，例如售後回租、資產出售，以真正確保資產負債表非常安全，並繼續這樣做，而且我們還有未使用的信用額度。我們只是想確保我們能夠贏得這場長期比賽，這也是我們一直說我們想要做的。因此，我們正在竭盡全力繼續資助這些項目，並考慮到當前的環境，我們仍會繼續這樣做。在我們下次電話會議上，您將聽到更多取決於市場發展和預期的消息。但目前，我們仍在努力推動這些具有長遠重要意義的計畫。

Great, thank you.

太好了，謝謝。

You're welcome.

不客氣。

(Operator Instructions)

（操作員指示）

Mike Dahl, RBC Capital Markets.

加拿大皇家銀行資本市場 (RBC Capital Markets) 的 Mike Dahl。

Alright, thanks for taking my questions.

好的，感謝您回答我的問題。

My first question, just drilling into 2Q a little bit. Look, if 2Q is only up slightly sequentially, I think your prior guide had implied that you were looking for something more like in, kind of $65 million range for 2Q EBITDA, and now we're talking -- I don't know if we're talking $25 million or $30 million, maybe you can clarify that a little bit. But that's, let's call it, like a $40 million delta. That's very meaningful. That would be like 15% to 20% of your entire prior fiscal year guide.

我的第一個問題是稍微深入探討第二季。你看，如果第二季度的 EBITDA 僅環比略有上升，我認為你之前的指導暗示你正在尋找更類似的數字，例如第二季度 EBITDA 6500 萬美元左右，而現在我們正在談論——我不知道我們談論的是 2500 萬美元還是 3000 萬美元，也許你可以稍微澄清一下。但我們姑且稱之為 4000 萬美元的差額吧。這非常有意義。這相當於您整個上一財年指南的 15% 到 20%。

So just help us break that down if there's no real net tariff impact there. It's all kind of core market, help break down what exactly changed? Maybe like give us an update on your market expectations. I think you were down kind of like low to mid-single digits for new construction and R&R prior? And what are you thinking about now? Help us drill down.

因此，如果沒有實際的淨關稅影響，請幫助我們分解它。這都是核心​​市場，請幫忙分析到底發生了什麼變化？也許您可以向我們介紹一下您對市場的預期。我認為之前新建築和 R&R 的下降幅度有點像低到中等個位數？那你現在在想什麼呢？幫助我們深入研究。

Mike, so when you think about Q2 and we've -- we're guiding directionally. We are not giving a specific range because as Bill mentioned, those range of outcomes have really increased pretty sizably. So in terms of looking at how we're going to land in Q2, it really comes down to the sales. So back to the original conversation around what sales are going to do, we expect a pickup, but we expect a very muted pickup, which we had not expected it to be as muted as we saw going into Q2 and towards the end of Q1. So I think it comes down to that.

麥克，當你考慮第二季時，我們正在進行方向性的指導。我們沒有給出具體的範圍，因為正如比爾所提到的，這些結果的範圍確實已經大幅增加。因此，就我們第二季的業績表現而言，這實際上取決於銷售額。所以回到最初關於銷售情況的討論，我們預計銷售額會回升，但回升幅度非常小，我們沒有預料到它會像我們在第二季和第一季末看到的那樣低迷。所以我認為事情就是這樣的。

Then you have essentially the flow-through of that to the bottom line with the additional cost takeouts that we've talked about. So I think you're trying to frame up an exact guidance range. And the truth of the matter is, we don't know how the demand is going to settle. So the tariff impact on our company, as Bill has stated, we feel very comfortable with how we're positioned. It's how the tariff impact is affecting the macroeconomic landscape in every other company, and it's really going to determine how things settle over the next few weeks as to where we, the sales and demand outlook is positioned in Q2.

然後，您基本上會將其透過我們討論過的額外成本支出流到底線。所以我認為您正在嘗試制定一個精確的指導範圍。事實是，我們不知道需求將如何滿足。因此，正如比爾所說，關稅對我們公司的影響，我們對自己的定位感到非常滿意。關稅影響如何影響其他所有公司的宏觀經濟格局，這將真正決定未來幾週的情況，以及我們第二季的銷售和需求前景。

Okay. Understood. Fair enough. And then, I guess, Samantha, just a follow-up on the response to Bill's question. In terms of covenants, I thought that your revolver does have restricted covenants and so you're undrawn today, so you're not subject to them. But look, like it does seem like the credit metrics are going to continue to deteriorate. I think you already expected limited operating cash this year and negative free cash flow. So to the extent you do need to draw on the revolver, can you just help us understand those -- what the covenant levels are and how much is available to borrow at this point as you think about kind of the balance of the year?

好的。明白了。很公平。然後，我想，薩曼莎，只是對比爾問題的回答進行跟進。就契約而言，我認為你的左輪手槍確實有限制性契約，所以你今天沒有被抽取，所以你不受這些契約的約束。但看起來，信貸指標似乎將持續惡化。我想您已經預料到今年的營運現金有限且自由現金流為負。因此，如果您確實需要動用循環信貸，您能否幫助我們理解這些——當您考慮今年的餘額時，契約水平是多少以及此時可以藉多少錢？

Yes. So looking at the free cash flow metrics, the one thing that a lot of folks have not factored in is the inclusion of the proceeds from the Towanda divestiture. So when you look at the free cash flow, you got to add another, let's call it, approximately $110 million to that. The -- from a covenant standpoint, even on the revolver, are -- we do not have restrictive covenants. We've evaluated kind of every one of our debt instruments and where it comes across. And we do not see -- foresee any issues even if we are to draw on the revolver.

是的。因此，在查看自由現金流指標時，許多人沒有考慮到的一件事就是將 Towanda 資產剝離的收益納入考慮。因此，當您查看自由現金流時，您必須再添加約 1.1 億美元。從契約的角度來看，即使在左輪手槍方面，我們也沒有限制性契約。我們評估了每一種債務工具及其適用範圍。即使我們要動用左輪手槍，我們也沒有預見到任何問題。

So hopefully, that addresses your question. I mean we are positioned well, as I said, for the foreseeable future. So this is something that we continue to invest in ourselves. We are seeing the benefits of that investment in terms of now multiple years of $100 million annual cost out. And we feel in a comfortable position. Keep in mind, right now, our revolving line of credit is up to $500 million that we have not touched. So hopefully, that addresses your questions, but happy to answer anything else.

希望這能解答您的問題。正如我所說，在可預見的未來，我們已經準備好了。因此，這是我們持續自我投資的事情。我們已經看到了這項投資的收益，目前我們已連續多年節省每年 1 億美元的成本。我們感覺處在一個舒適的狀態。請記住，目前，我們的循環信用額度高達 5 億美元，我們尚未動用。希望這能解答您的問題，我們也很樂意回答其他問題。

Yeah, I appreciate that. We'll follow up offline. Thanks.

是的，我很感激。我們將進行線下跟進。謝謝。

And there are no further questions at this time. James Armstrong, I'll turn the call back over to you.

目前沒有其他問題。詹姆斯·阿姆斯特朗，我會把電話轉回給你。

Thank you for joining our call today. If you have any follow-up questions, please reach out, and I would be happy to answer. This ends our call, and please have a great day.

感謝您今天參加我們的電話會議。如果您有任何後續問題，請聯絡我，我很樂意為您解答。我們的通話到此結束，祝您有愉快的一天。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以斷開連線。