KBR Inc (KBR) 2024 Q3 法說會逐字稿

Good morning, everyone, and welcome to KBR third quarter 2024 earnings conference call. My name is Emily, and I'll be coordinating your call today. (Operator Instruction). I will now turn the call over to our host, Jamie Dubray, Vice President of Investor Relations. Please go ahead. Jamie.

大家早安，歡迎參加 KBR 2024 年第三季財報電話會議。我叫艾米麗，今天我將協調您的電話。（操作員說明）。我現在將把電話轉給我們的主持人、投資者關係副總裁傑米·杜布雷 (Jamie Dubray)。請繼續。傑米.

Thank you, Emily. Good morning and welcome to KBR’s third quarter fiscal 2024 earnings call. Joining me are Stuart Bradie, President and Chief Executive Officer, as well as Mark Sopp, Executive Vice President and Chief Financial Officer. Stuart and Mark will provide highlights from the quarter and then open the call for your questions.

謝謝你，艾米麗。早安，歡迎參加 KBR 2024 財年第三季財報電話會議。與我一起的還有總裁兼執行長 Stuart Bradie 以及執行副總裁兼財務長馬克索普 (Mark Sopp)。史都華和馬克將提供本季的亮點，然後開始電話詢問您的問題。

Today's earnings presentation is available on the Investor section of our website at KBR.com. This discussion includes forward-looking statements reflecting KBR's views about future events and their potential impact on performance as outlined on slide 2. These matters involve risks and uncertainties that could cause actual results to differ significantly from these forwardlooking statements as discussed in our most recent Form 10-K available on our website.

今天的收益報告可在我們網站 KBR.com 的投資者部分查看。本討論包括反映 KBR 對未來事件及其對績效潛在影響的看法的前瞻性陳述，如投影片 2 所示。這些事項涉及風險和不確定性，可能導致實際結果與我們網站上最新的 10-K 表格中討論的前瞻性陳述有顯著差異。

This discussion also includes non-GAAP financial measures that the company believes to be useful metrics for investors. A reconciliation of these non-GAAP measures to the nearest GAAP measure is included at the end of our earnings presentation.

此次討論也包括該公司認為對投資者有用的非公認會計準則財務指標。我們的收益報告末尾包含了這些非公認會計準則衡量標準與最接近的公認會計準則衡量標準的調節表。

I will now turn the call over to Stuart.

我現在將把電話轉給斯圖爾特。

Thank you, Jamie, and welcome to our third quarter earnings presentation. I would like to start on slide 4, if I may. Now we show this on every earnings presentation, so no surprise. It lays us at Zero Harm program and the pillars, both environmental and social that underpin that program. The progress we’ve made in each of these pillars is highlighted in our Annual Sustainability Report, which takes me nicely on to slide 5.

謝謝傑米，歡迎來到我們的第三季財報。如果可以的話，我想從第四張投影片開始。現在我們在每一次收益報告中都會展示這一點，所以這並不奇怪。它為我們奠定了零傷害計劃以及支撐該計劃的環境和社會支柱。我們在年度永續發展報告中重點介紹了我們在每個支柱方面取得的進展，這讓我很高興看到投影片 5。

So this month, we issued our 2023 Sustainability Report. I mean, the team does an amazing job in showcasing all that we are doing across these pillars. We’ve shown only a few highlights on the slide here and I'll pick up on a few. Our health and safety performance is once again top quintile. I think really demonstrating our commitment to really looking after our people. 37% of KBR Group ‘23 revenue actually, over $2.5 billion is directly linked to sustainability. And I think thus shows clear alignment with shareholder value, which we talked about before is a clear differentiator for KBR.

因此，本月，我們發布了 2023 年永續發展報告。我的意思是，團隊在展示我們在這些支柱上所做的一切方面做得非常出色。我們在此處的幻燈片上只展示了一些亮點，我將重點介紹其中的一些。我們的健康和安全績效再次名列前五分之一。我認為這真正體現了我們對真正照顧我們的員工的承諾。實際上，KBR Group 23 收入的 37%（超過 25 億美元）與永續發展直接相關。我認為這表明與股東價值的明確一致，我們之前討論過這是 KBR 的一個明顯的差異化因素。

The result from our people survey, which is run by an independent company and done anonymously, resulted in KBR being classified as a great place to work in multiple countries. Now the survey showed us a couple of things. I think the first, our focus on people is truly making a difference and secondly, but of course, we are not perfect and we still have lot to do.

我們的員工調查由一家獨立公司以匿名方式進行，結果顯示 KBR 在多個國家/地區被列為最佳工作場所。現在調查向我們展示了一些事情。我認為，首先，我們對人的關注確實有所作為，其次，當然，我們並不完美，我們仍然有很多工作要做。

On the side of the slide, you will see our continued commitment to strong governance and we continue to make progress in I&D advancing our agenda on multiple fronts. Our maturity and commitment and delivery of sustainability has been externally scored by various agencies and you’ve seen that that before. And MSCI, we believe, is the most cited and we are of course delighted to have achieved for the second consecutive year, the very highest ranking of AAA. As I said, these are only a few highlights and I would encourage you if you have time to have a look at the field document, which is on our website.

在幻燈片的一側，您將看到我們對強有力治理的持續承諾，並且我們在 I&D 方面繼續取得進展，在多個方面推進我們的議程。我們的成熟度、承諾以及可持續發展的交付已由多個機構進行了外部評分，您之前已經看到過這一點。我們相信 MSCI 是被引用最多的，我們當然很高興連續第二年獲得 AAA 的最高排名。正如我所說，這些只是一些亮點，如果您有時間查看我們網站上的現場文檔，我會鼓勵您。

Now, on to Slide 6 and the group financial highlights for the quarter. This was another clean quarter and frankly, another set of terrific and consistent results. Group revenue was up double-digit at 10% year-on-year. Adjusted EBITDA increased 18% over the same period. I think once again demonstrating the focus and discipline to deliver on our strategy to winning the right work and then executing with excellence the prudent cost management. And this has resulted, as you would expect, in enhanced margins which were up 70 bps. Cash was once again a standout, with year-to-date convergent at a 129%, an absolutely spectacular performance.

現在，進入幻燈片 6 和本季集團財務亮點。這是另一個乾淨的季度，坦白說，又是一組出色且一致的結果。集團營收年增10%，實現兩位數成長。調整後 EBITDA 同期成長 18%。我認為，再次展示了我們的策略重點和紀律，以贏得正確的工作，然後以卓越的方式執行審慎的成本管理。正如您所期望的那樣，這導致利潤率提高了 70 個基點。現金再次表現出色，年初至今收斂於 129%，表現絕對出色。

Now on to book-to-bill. Now as you know, we've been providing a book-to-bill figure ex the Plaquemines project for the last several quarters to convey underlying business performance without the large LNG burn. And beginning this quarter, we will switch to only using this figure in our materials, especially in light of the new JV with Technip, which I will cover in a moment. On this basis, I'm really pleased to report that our book-to-bill at the group level was 1.2x in the quarter and both STS and GS in particular had strong quarter.

現在開始從預訂到帳單。如您所知，過去幾季我們一直在提供 Plaquemines 專案的訂單出貨比數據，以傳達基本的業務績效，而無需大量液化天然氣燃燒。從本季度開始，我們將轉而在我們的材料中僅使用這個數字，特別是考慮到與 Technip 的新合資企業，我稍後將對此進行介紹。在此基礎上，我真的很高興地報告，本季我們集團層級的訂單出貨比為 1.2 倍，尤其是 STS 和 GS 的季度表現強勁。

And this sets us up well to close out the year, but this together with our attractive pipeline, really gives the group a solid foundation heading into ‘25 and increases confidence to achieve industry-leading long-term targets. At this point, I would like to publicly recognize and thank our people all across the world who continued to deliver every day doing what that truly matters. And without them, these results would not be possible.

這讓我們為今年的收官奠定了良好的基礎，再加上我們有吸引力的產品線，確實為集團進入 25 世紀奠定了堅實的基礎，並增強了實現行業領先的長期目標的信心。此刻，我要公開表揚並感謝我們世界各地的員工，他們每天都在做真正重要的事情。沒有他們，這些結果就不可能實現。

Now as you are also aware, we closed on the LinQuest acquisition, and I'm pleased to report that the integration is well underway and the expected alignment and values and culture are shining through. We've had numerous Town Hall meetings with LinQuest employees all over the country, and we could not be more pleased with their warm reception to KBR.

現在您也知道，我們已經完成了對 LinQuest 的收購，我很高興地報告說，整合正在順利進行，預期的一致性、價值觀和文化正在顯現出來。我們與全國各地的 LinQuest 員工舉行了多次市政廳會議，我們對他們對 KBR 的熱情接待感到非常高興。

Their deep domain expertise really, outstanding technical capability and their dedication to serve the mission of the customer, which is a 100% aligned with how we operate doing things that matter. Lastly, I'm pleased to report that we will be increasing our guidance for revenue, adjusted EBITDA and adjusted EPS this year to reflect the addition of LinQuest and our ongoing organic strong performance.

他們深厚的領域專業知識、出色的技術能力以及他們為客戶使命服務的奉獻精神，這與我們做重要事情的運作方式 100% 一致。最後，我很高興地向大家報告，今年我們將提高收入、調整後 EBITDA 和調整後每股收益的指導，以反映 LinQuest 的加入以及我們持續的強勁表現。

Now on to Slide 7 on some key awards. Let me start with STS and Saudi Arabia. Now, there's been quite a bit of speculation on this and we're now in a position to talk about our role on the liquid to chemicals project for Aramco LTC. As we've discussed previously, there was an opportunity across multiple world scale projects for olefin crackers where initially tendered as pre-front end design and PMC project management contracts, plus there was an overarching coordinating project management contract or CPMC.

現在轉到投影片 7，了解一些重要獎項。讓我從 STS 和沙烏地阿拉伯開始。現在，對此有很多猜測，我們現在可以談談我們在 Aramco LTC 液體化學品專案中的角色。正如我們之前所討論的，多個世界規模的烯烴裂解裝置專案存在機會，這些專案最初作為前端設計和 PMC 專案管理合約進行招標，此外還有總體協調專案管理合約或 CPMC。

Now KBR won one of the crackers and the overarching CPMC. And this was actually the maximum any single company could win. Now the cracker project that KBR secured due to competing Aramco’s priorities was actually suspended and this has been made public.

現在，KBR 贏得了其中一位破解者和總體 CPMC。這實際上是任何一家公司可以贏得的最高金額。現在，KBR 由於與阿美公司的優先事項競爭而獲得的裂解裝置項目實際上已暫停，並且這一情況已被公開。

That said, the CPMC, we believe, is the key role. This is a multi-year endeavor employing critical resources covering and not only touching all the olefin’s projects at all stages, but also developing and working via integrated schedule, supply chain management strategy, data and digital management plus where Aramco really managing the data in a digitalized way and really sort of looking at continuity of safety systems and the data digitalization of those safety systems and being the project-wide technical authority.

也就是說，我們認為 CPMC 是關鍵角色。這是一項多年的努力，利用關鍵資源，不僅涵蓋各個階段的所有烯烴項目，而且還通過綜合時間表、供應鏈管理戰略、數據和數字管理以及阿美公司真正管理的項目進行開發和工作。數位化方式處理數據，真正著眼於安全系統的連續性和這些安全系統的數據數位化，並成為整個專案的技術權威。

And to be clear, we will have teams embedded in each of the pre-FEED CPMC contractors during the other large projects on Aramco's behalf. Now this will ramp up progressively through the rest of this year and in 2025, and as a matter of fact, we’ll continue well beyond our longterm targets. Now to give you a feel, revenue through the pre-FEED will be between $50 million to $100 million. And then going through FEED and into execution, revenue will be several times this magnitude, so quite significant.

需要明確的是，在代表阿美公司進行其他大型專案期間，我們將在每個預 FEED CPMC 承包商中派駐團隊。現在，這一數字將在今年剩餘時間和 2025 年逐步增加，事實上，我們將繼續遠遠超出我們的長期目標。現在讓您感受一下，透過預 FEED 獲得的收入將在 5,000 萬至 1 億美元之間。然後透過 FEED 並執行，收入將是這個數量級的幾倍，非常可觀。

In addition, again, with Aramco, we have also secured another of the offshore gas development front-end designs. This is asked third to date, that are really key enablers for the LTC program itself. This is another substantial and important piece of work, again, setting us up well for 2025 and a significant contribution to our long-term targets.

此外，我們也與阿美公司合作，獲得了另一個海上天然氣開發前端設計。這是迄今為止第三次提出的問題，這確實是 LTC 計劃本身的關鍵推動因素。這是另一項實質且重要的工作，再次為我們為 2025 年奠定了良好的基礎，並對我們的長期目標做出了重大貢獻。

I would remind you that Aramco are replacing crude by gas - with gas, sorry to generate power, and the crude will then go via the LTC program into various petrochemicals. This is both value add for the crude, but reduces the carbon footprint of energy production in the Kingdom significantly.

我想提醒大家的是，沙烏地阿美公司正在用天然氣取代原油——用天然氣發電，然後原油將透過 LTC 計畫進入各種石化產品。這不僅增加了原油的價值，也顯著減少了沙烏地阿拉伯能源生產的碳足跡。

So now let me turn to LNG, again quite a bit of speculation on this market. So, firstly on Plaquemines. We expect first LNG. This will be one of the industry benchmarks for speed to market. And further LNG will people will be produced as the individual smaller trains are commissioned progressively through 2025 and into 2026.

現在讓我談談液化天然氣，這個市場上又出現了很多猜測。所以，首先是斑塊礦。我們預計第一批液化天然氣。這將成為上市速度的行業基準之一。隨著個別小型列車在 2025 年和 2026 年逐步投入使用，將生產更多液化天然氣。

In the quarter, we secured the Lake Charles project in joint venture with Technip. This is a partner with worked with successfully many times to have strong construction and fabrication capability. And the customer is energy transfer. To be clear, the contract terms are firmly aligned with our stated risk profile and KBR will be performing management and technical services similar to our rule on Plaquemines. And again, similar to Plaquemines, this will be reported through equity in earnings.

本季度，我們與 Technip 合資獲得了查爾斯湖計畫。這是一個多次成功合作的合作夥伴，擁有強大的施工和製造能力。而客戶就是能量的傳遞。需要明確的是，合約條款與我們聲明的風險狀況完全一致，KBR 將提供與 Plaquemines 規則類似的管理和技術服務。與 Plaquemines 類似，這將透過收益中的權益來報告。

Energy transfer is making solid progress in offtakes and has the balance sheet to move the project through to final investment decision. In fact, they’ve actually placed long lead orders already. That said, there's a bit more wood to chop on this, and I think the election will have an impact on timing. We do not expect FID until the second half of 2025.

能源轉移在承購方面取得了紮實的進展，並擁有資產負債表來推動專案做出最終的投資決策。事實上，他們實際上已經下了長期訂單。也就是說，在這件事上還有更多的麻煩，我認為選舉將對時機產生影響。我們預計最終投資決定要到 2025 年下半年才會推出。

In addition and also in the LNG market, in this quarter, we secured the Front End Design for an additional LNG train for a confidential LNG producer in the Middle East, which could lead to bigger segments as that project progresses. And also in LNG we secured the project management contract, the PMC for and behalf of ADNOC the Abu Dhabi National Oil Company for their new LNG project in Abu Dhabi.

此外，在液化天然氣市場上，本季度，我們為中東一家機密液化天然氣生產商獲得了額外液化天然氣列車的前端設計，隨著該項目的進展，這可能會帶來更大的細分市場。在液化天然氣方面，我們也代表阿布達比國家石油公司 ADNOC 為其在阿布達比的新液化天然氣專案獲得了專案管理合約、PMC。

To be clear, this is for the execution phase, so again this is multi-year and valued circa $130 million and this follows on from a successful PMC of the Front End Design that we completed earlier in the year. And finally, we just announced the award of the Shell Manatee gas project in Trinidad and this is an enabler for LNG in that part of the world.

需要明確的是，這是針對執行階段的，因此這又是一個多年期的項目，價值約 1.3 億美元，這是我們在今年早些時候完成的前端設計成功 PMC 的基礎上進行的。最後，我們剛剛宣布獲得特立尼達殼牌海牛天然氣項目，這是該地區液化天然氣的推動者。

As we said previously, LNG is a global business that truly affords KBR’s lots of opportunities aligned with our desired risk profile and leveraging a differentiated capability. Now let me shift a little bit to emerging technology areas. We announced our acquisition of Sustainable Aviation Field Technology, early in 2024. And since then, we have digitalized and modernized the tech while ensuring we can deliver an end-to-end solution.

正如我們之前所說，液化天然氣是一項全球業務，真正為 KBR 提供了許多與我們所需的風險狀況一致的機會，並利用了差異化的能力。現在讓我稍微轉向新興科技領域。我們在 2024 年初宣布收購 Sustainable Aviation Field Technology。從那時起，我們對技術進行了數位化和現代化，同時確保我們能夠提供端到端解決方案。

And this solution now trademarked as Fuel SAF it’s the first AFTM SAF certified SAF technology. And we're particularly excited for what's to come as we're now at an intersection of increased demand, supportive legislation across the world and progressive incentives. And the project we announced with Avina is the first in an exciting pipeline of opportunities and obviously more to come through 2025.

該解決方案現已註冊為 Fuel SAF，它是第一個 AFTM SAF 認證的 SAF 技術。我們對即將發生的事情感到特別興奮，因為我們現在正處於需求成長、世界各地支持性立法和漸進激勵措施的交叉點。我們與 Avina 宣布的項目是一系列令人興奮的機會中的第一個，顯然到 2025 年還會有更多機會。

On circularity and in particular, related to our investment in Mura Hydro-PRT Plastics recycling technology, I personally visited the site in the UK at Wilton and saw the progress first hand recently. Commissioning is well advanced and although progress was impacted by skilled labor shortages due predominantly to BREXIT, the plant will be producing product before year end.

關於循環性，特別是與我們對 Mura Hydro-PRT 塑膠回收技術的投資相關的問題，我最近親自參觀了位於英國威爾頓的工廠，並親眼目睹了進展。調試工作進展順利，儘管主要由於英國脫歐導致熟練勞動力短缺影響了進度，但該工廠將在年底前生產產品。

The LG Chemicals plant in Korea, our first modular solution is on the same timetable, and the Mitsubishi plant Japan is looking to produce products in early 2025. So in the world of new technology, having the first-at-scale plant is absolutely terrific, but three operating at-scale plants is actually the watershed and we believe this will catalyze new license and project partnership opportunities in 2025 and beyond. So again, very, very exciting.

我們的首個模組化解決方案韓國 LG 化學工廠也在同一時間表上生產，日本三菱工廠計劃在 2025 年初生產產品。因此，在新技術領域，擁有第一個規模工廠絕對是非常棒的，但三個營運規模工廠實際上是分水嶺，我們相信這將在 2025 年及以後催生新的許可和專案合作機會。再說一遍，非常非常令人興奮。

STS book-to-bill was 1.0 in the quarter, but actually this does not include the large ADNOC LNG PMC, I referred to earlier. That was signed a few days after quarter close and will be booked in Q4. And now with that, and what’s in the hopper, we expect Q4 to be a strong booking quarter for STS.

本季 STS 訂單出貨比為 1.0，但實際上這不包括我之前提到的大型 ADNOC LNG PMC。該協議是在季度結束後幾天簽署的，並將在第四季度預訂。現在，有了這些，以及料斗中的內容，我們預計第四季將成為 STS 的強勁預訂季度。

Now onto government solutions. In the US, as expected, Q3 was a strong bookings quarter due to Department of Defense annual budget cycles. However, our international business also had a great quarter. And together achieving 1.3x for the quarter and 1.1 on a trailing 12 months basis. And some highlights this quarter were nine awards in our Systems Engineering business via the IAC MAC Contract Vehicles we’ve talked about many times. Actually, this year we have been awarded approximately$1.5 billion in task orders under that contract, $1.2 billion of which were actually in Q3.

現在談談政府解決方案。在美國，由於國防部年度預算週期，正如預期的那樣，第三季的預訂量強勁。然而，我們的國際業務季度也表現出色。本季實現 1.3 倍，過去 12 個月實現 1.1 倍。本季度的一些亮點是我們的系統工程業務透過我們多次討論過的 IAC MAC 合約工具獲得的九個獎項。實際上，今年我們根據該合約獲得了大約 15 億美元的任務訂單，其中 12 億美元實際上是在第三季。

Now as you are aware, we booked only backlog that’s funded and the $1.21 billion this quarter is the ceiling value of those combined contracts, which we will expect to book and burn over time. So, one significant contract worth highlighting contained within that $1.2 billion reflects the increased attention focus and funding expected for the Pacific with a circa $200 million multi-year contract supporting the Naval Warfare Center Pacific program, which is actually a new digital customer for KBR, where we will play a significant role in introducing and testing new technology as we progress the digital transformation and zero trust environment for that customer.

如您所知，我們只預訂了已融資的積壓訂單，本季 12.1 億美元是這些合併合約的上限價值，我們預計會隨著時間的推移預訂並銷毀這些合約。因此，這12 億美元中包含的一份值得強調的重要合約反映了人們對太平洋地區的關注度和資金預期的增加，其中一份價值約2 億美元的多年期合約支持太平洋海戰中心項目，該專案實際上是KBR 的新數位客戶，隨著我們為客戶推動數位轉型和零信任環境，我們將在引入和測試新技術方面發揮重要作用。

In space, as you know, a key strategic vector for KBR, we continued momentum with a followon strategic award by the Naval Research Lab, as shown on the slide. The acquisition of LinQuest was made to accelerate our growth in military space, interoperability and digital engineering. And in the months since we've closed, LinQuest had secured over $60 million of new orders under a unique contract vehicle that KBR does not currently utilize and not LinQuest actually does not utilize IAC MAC so with KBR and LinQuest now able to use each other’s contract vehicles the revenue synergy opportunities are exciting because the procurement cycles for these are very, very quick.

如您所知，太空是 KBR 的關鍵戰略載體，我們透過海軍研究實驗室的後續戰略獎項繼續保持勢頭，如幻燈片所示。收購 LinQuest 是為了加速我們在軍事航太、互通性和數位工程領域的發展。在我們關閉後的幾個月裡，LinQuest 透過獨特的合約工具獲得了超過6000 萬美元的新訂單，而KBR 目前並未使用該工具，而且LinQuest 實際上也沒有使用IAC MAC，因此KBR 和LinQuest 現在可以互相使用。

Now, before I move on, I would be remised if I did not give you a HomeSafe update, the systems testing for the interstate moves were successful. And moves have started now. This is very significant as a significant milestone as it clears the way for essentially through domestic moves.

現在，在我繼續之前，如果我沒有給你一個 HomeSafe 更新，我會被原諒，州際移動的系統測試是成功的。現在行動已經開始。作為一個重要的里程碑，這是非常重要的，因為它為基本上透過國內行動掃清了道路。

While we expect to see an increase in moves in Q4 as new lanes are turned on, revenue for the full year 2024 will be below our expectation. And to be clear, there's no impact to profit because as you are aware, we were conservative in our original guide for 2024. And as a matter of fact, our long-term targets also contain a conservative ramp as presented at Investor Day. So the lower volume in ‘24 has no impact at all to our targets.

雖然我們預計隨著新車道的開通，第四季度的移動量將會增加，但 2024 年全年的收入將低於我們的預期。需要明確的是，這對利潤沒有影響，因為如您所知，我們在 2024 年最初的指南中持保守態度。事實上，我們的長期目標也包含投資者日所提出的保守成長目標。因此，24 月份較低的交易量對我們的目標沒有任何影響。

Our solid relationship TRANSCOM continues to be collaborative and we look forward to progressively ramping up on the program and enhancing the moving experience for our men and women in uniform and their families through ‘25 and beyond.

我們與 TRANSCOM 的牢固關係將繼續保持協作，我們期待著逐步加強該計劃，並在 25 點及以後為我們的軍人及其家人增強搬家體驗。

Terrific. Thank you, Stuart. And good day, everyone. I'll pick it up on slide 9. So as you've heard from Stuart already, the results for Q3 were really good across the board with every single metric you see here up double-digits over last year. Margins and cash flow were the particular highlights with profitability running consistently in the mid-11% range all year. And cash flow super strong at $422 million on a year-to-date basis.

了不起。謝謝你，斯圖爾特。大家好。我會在投影片 9 上選取它。正如您從斯圖爾特那裡聽到的那樣，第三季度的結果非常全面，您在這裡看到的每項指標都比去年增長了兩位數。利潤率和現金流是特別的亮點，盈利能力全年始終保持在 11% 的中間區間。今年迄今現金流量非常強勁，達到 4.22 億美元。

DSOs, days sales outstanding continued to run at the lowest levels we have ever seen at KBR averaging about 60 days through this year so far. And as you know, low DSOs reflect high customer satisfaction and also importantly superb teamwork, across our operations, our functions and customer touch points.

DSO、應收帳款天數繼續保持在 KBR 有史以來的最低水平，今年迄今平均約為 60 天。如您所知，低 DSO 反映了高客戶滿意度，而且重要的是，我們的營運、職能和客戶接觸點都體現了卓越的團隊合作。

Let me just here quickly go on to slide 10 on results of the segments. Over on the left, as you see STS is humming along with continued good momentum and superb profit growth, consistently above the 20% margin level. As I said before, this team does remarkable job delivering intellectual property capabilities to customers all around the world, while continuing to grow its services platform also a very attractive overall margins. This is attributed to specialized domain expertise, scarce skill sets in a very cost, competitive delivery mechanism.

讓我在這裡快速繼續介紹投影片 10 的各個部分的結果。在左邊，您可以看到 STS 正在蓬勃發展，並持續保持良好的勢頭和出色的利潤增長，利潤率始終高於 20% 的水平。正如我之前所說，這個團隊在向世界各地的客戶提供智慧財產權能力方面做得非常出色，同時繼續發展其服務平台，整體利潤也非常有吸引力。這歸因於專業領域的專業知識、稀缺的技能以及成本非常高且具競爭力的交付機制。

On the right, Government Solutions had an excellent quarter as well with revenues up 11% and profit up 14% on improved margins. A particular importance we saw increased award decisions in the US, many of which came in our favor as towards said after experiencing delays in the first half. Our win rate on award decisions was well over 50%. So it's really a testament to the great team effort there.

右邊的政府解決方案部門也有著出色的季度表現，營收成長了 11%，利潤成長了 14%，利潤率有所提高。特別重要的是，我們看到美國的裁決決定有所增加，其中許多裁決對我們有利，正如我們在上半年經歷延誤後所說的那樣。我們的獲獎決定勝率遠超過 50%。所以這確實證明了團隊的巨大努力。

And as Stuart said, the government book-to-bill was 1.3x in the quarter, all the while international grew at an impressive 13% with contributions from the UK, Australia, and the Middle East, which well demonstrates our expanding global reach. On to slide 11 and capital matters. As said earlier, cash flow generation has been outstanding, which enabled deleveraging in September, coming off of the LinQuest acquisition, which closed in August.

正如史都華所說，本季政府訂單出貨比成長了1.3 倍，而在英國、澳洲和中東的貢獻下，國際業務成長了13%，令人印象深刻，這充分證明了我們不斷擴大的全球影響力。轉到投影片 11 和資本問題。如前所述，現金流生成一直很出色，這使得 8 月完成的 LinQuest 收購得以在 9 月實現去槓桿化。

So just stepping back is terrific to have made such a sizable and high quality acquisition like LinQuest, plus deploy about a quarter of a billion in buybacks and dividends year-to-date and still have a leverage ratio well south of three times. This underscores, the power of our EBITDA growth and also cash generation. It's worth noting we received a credit upgrade attendant with the LinQuest deal with all agencies now at Double B plus rating equivalents.

因此，退一步來說，能夠進行像LinQuest 這樣大規模和高品質的收購，再加上今年迄今部署了約25 億美元的回購和股息，並且槓桿率仍然遠高於三倍，這真是太棒了。這凸顯了我們 EBITDA 成長和現金產生的力量。值得注意的是，隨著 LinQuest 與所有機構的合作，我們獲得了信用升級，現在的評級為 Double B 加等值。

Together with the quality of the acquisition, we lowered the borrowing rate on both the new debt associated with the deal and existing debt. We added committed liquidity and pushed out maturities. These actions will help contain interest cost and also enable more deployment options as we go down the road. All forms of capital deployment spanning M&A, buybacks and debt reduction deliver benefits to us. So we'll balance doing those based on what generates in our view, the most attractive long-term value for our shareholders.

結合收購的質量，我們降低了與交易相關的新債務和現有債務的借款利率。我們增加了承諾的流動性並推遲了到期日。這些行動將有助於控制利息成本，並在我們今後的發展過程中提供更多的部署選項。併購、回購和減債等各種形式的資本配置都為我們帶來了好處。因此，我們將根據我們認為對股東最具吸引力的長期價值來平衡這些做法。

Now, I'll finish up with slide 12 and our forward view of guidance. Delinquent contribution for 2024 is consistent with the information we provided in the acquisition announcement. We are moderately increasing the revenue guide to $7.5 billion to $7.7 billion reflecting four months of LinQuest in this year’s results. And also reflecting lower topline contribution from HomeSafe that Stuart just mentioned.

現在，我將用投影片 12 和我們的前瞻性指導觀點來結束。2024 年拖欠繳款與我們在收購公告中提供的資訊一致。我們將營收指南適度提高至 75 億美元至 77 億美元，反映了 LinQuest 今年四個月的表現。這也反映出史都華剛才提到的 HomeSafe 的收入貢獻較低。

And the profit side was strong year-to-date results and adding LinQuest. We are increasing our adjusted EBITDA guidance range to $840 million to $870 million. For EPS, the net effect of the LinQuest EBITDA contribution and also the incremental interest that stems from that transaction enables a moderate increase to the adjusted EPS guide, raising the floor to a range of $3.20 to $3.30.

利潤方面是年初至今的強勁業績以及 LinQuest 的加入。我們將調整後的 EBITDA 指引範圍提高至 8.4 億美元至 8.7 億美元。對於每股收益，LinQuest EBITDA 貢獻的淨效應以及該交易產生的增量利息使調整後的每股收益指南適度增加，將下限提高到 3.20 美元至 3.30 美元的範圍。

As I said, cash flow generation has been strong all year and because the EPS bump modest with four months of LinQuest activity, we're sticking with the original cash flow range of $460 million to $480 million. So to wrap it up, another quarter of well-rounded execution, spanning program, delivery winning new work, generating cash flow and adding LinQuest to the team. This also enabled us to improve the capital structure for better earnings production and future deployment optionality as we look to 2025 and beyond.

正如我所說，全年現金流生成一直很強勁，而且由於 LinQuest 活動四個月後 EPS 略有上升，因此我們堅持原來的 4.6 億美元至 4.8 億美元的現金流範圍。因此，總而言之，又一個季度的全面執行、涵蓋專案、交付贏得新工作、產生現金流並將 LinQuest 加入團隊。這也使我們能夠改善資本結構，以實現更好的獲利生產和未來部署的選擇性，並展望 2025 年及以後。

Thanks everyone for tuning in this morning. I'll turn it back over to Stuart.

感謝大家今天早上的收聽。我會把它轉回給斯圖爾特。

Thanks Mark. Terrific job as always, I will finish off on slide 13 with some key takeaways. So as Mark and myself have said, earlier, outstanding third quarter performance with double-digit year-over-year growth across all key metrics, revenue profit and operating cash flow absolutely terrific. On LinQuest, really performed well since closing, it’s won over $60 million of new work and really delivered solid strong September results. The more importantly, integration is progressing really, really well and with revenue synergy opportunities crystallizing, it's a very exciting acquisition indeed.

謝謝馬克。一如既往的出色工作，我將在投影片 13 上總結一些關鍵要點。正如馬克和我本人早些時候所說，第三季業績出色，所有關鍵指標均實現兩位數同比增長，收入利潤和營運現金流絕對出色。在 LinQuest 上，自關閉以來確實表現良好，贏得了超過 6000 萬美元的新作品，並在 9 月取得了強勁的業績。更重要的是，整合進展非常非常順利，隨著收入協同機會的具體化，這確實是一次非常令人興奮的收購。

As a result of our strong year-to-date performance, and of course the addition of LinQuest, we're raising guidance as Mark just talked about on revenue, adjusted EBITDA and adjusted EPS. And finally on bookings, 1.2 times book-to-bill at the Group level together with our attractive pipeline sets us up nicely for the remainder of this year of course, but more importantly gives momentum going into 2025.

由於我們今年迄今為止的強勁表現，當然還有 LinQuest 的加入，我們正在提高指導，正如馬克剛才談到的收入、調整後 EBITDA 和調整後每股收益。最後，在預訂方面，集團層面的 1.2 倍預訂比，加上我們有吸引力的管道，當然為我們今年剩餘的時間做好了準備，但更重要的是為我們進入 2025 年提供了動力。

So thank you again for joining us on today's call. And I'll now pass it back to Emily, who will open the call for questions. Thank you.

再次感謝您參加今天的電話會議。我現在將其傳回給艾米麗，她將開始提問。謝謝。

(Operator Instruction)

（操作員說明）

Andy Kaplowitz, Citi.

安迪‧卡普洛維茨，花旗銀行。

Good morning, everyone.

大家早安。

Hi, Andy.

嗨，安迪。

Stuart or Mark, I know it's a bit early to talk. Good morning. I know it’s a bit early to talk too much about ‘25, but could you give us a little more color into visibility and particularly in STS growing in line with that algorithm you gave us earlier this year the 11% to 15% revenue growth as it looks like as you said, trailing 12-month book-to-bill reaccelerated a bit in Q3, I know you talked about the strong expected Q4.

史都華或馬克，我知道現在談論還為時過早。早安.我知道現在談論太多25 還為時過早，但是您能否為我們提供更多關於可視性的信息，特別是在STS 增長方面，您今年早些時候給我們提供了11% 到15 的演算法正如您所說，追蹤 12 個月的訂單出貨量在第三季再次加速，我知道您談到了第四季度的強勁預期。

Last quarter I think you talked about some delays in energy transition projects. Are you still seeing those delays? And how do you think about the sustainability, the one times book-to-bill that you recorded in Q3 moving forward?

上個季度，我認為您談到了能源轉型專案的一些延誤。您仍然看到這些延誤嗎？您如何看待永續性，以及您在第三季記錄的一次性訂單到帳單的情況？

So, lots of questions in one there, Andy.

安迪，這裡有很多問題。

I pretty good at leaving them together, Stuart.

我很擅長讓他們在一起，史都華。

Yeah, that's good. I would say that, it's still quite early, We are in obviously started our budgets for next year. I think that we're confident that we're aligned with our 11% to 15% growth expectations in STS going into next year. Our book-to-bill obviously picked up in Q3 and it’s looking strong in Q4 to underpin that. The margin performance continues to be very strong.

是的，那很好。我想說，現在還很早，我們顯然已經開始製定明年的預算了。我認為我們有信心實現明年 STS 11% 至 15% 的成長預期。我們的訂單出貨量在第三季度明顯有所回升，並且在第四季度看起來很強勁，支撐了這一點。利潤率表現仍然非常強勁。

I think energy transition projects we are seeing more activity in the Middle East in particular around market share, around ammonia and the gas green hydrogen. But I think in general, a lot will depend on the election results and in terms of the speed in the US. But overall, the energy security market, combined with a growing energy transition albeit probably slower than we expected, a still growing market really gives us good confidence that will be aligned with what was presented at Investor Day in terms of STS targets. Hopefully, that helps.

我認為我們在中東看到了更多的能源轉型專案活動，特別是圍繞市場份額、氨和綠色氫氣。但我認為總的來說，這很大程度取決於選舉結果和美國的速度。但總體而言，能源安全市場，加上不斷增長的能源轉型，儘管可能比我們預期的要慢，但仍在增長的市場確實給了我們很大的信心，這將與投資者日上提出的STS 目標保持一致。希望這會有所幫助。

It does, Stuart. And then, Mark, just I want to ask you about the guidance, just on the context of LinQuest, obviously, you put in four months, you mentioned that sort of the offset is HomeSafe. I guess, if I just look at the sort of guidance raise, it seems like -- is there anything else that's a little slower than you thought I guess because LinQuest I think would be pretty sizable if not more than the EBITDA change in the guidance.

確實如此，斯圖爾特。然後，馬克，我想問你有關指導的問題，就 LinQuest 的背景而言，顯然，你花了四個月的時間，你提到那種抵消是 HomeSafe。我想，如果我只看一下指導性的提高，似乎——還有什麼比你想像的要慢一點的嗎？

Yeah. Thanks, Andy. Just one clarification, if you will, is while HomeSafe is an offset to LinQuest on revenues, we did not really factor in profits for HomeSafe as Stuart said. So that's not a reason for contributing to your question relative to Q4 and the guide. So that is as expected for the year from a profit perspective on HomeSafe. But we do have interest expense coming in for LinQuest. So we have good news is we have three full months of LinQuest, but we have three full months of interest.

是的。謝謝，安迪。如果你願意的話，只需澄清一點，雖然 HomeSafe 是 LinQuest 收入的抵消，但正如斯圖爾特所說，我們並沒有真正考慮 HomeSafe 的利潤。因此，這不是回答與第四個問題和指南相關的問題的原因。因此，從 HomeSafe 的利潤角度來看，這符合今年的預期。但我們確實有 LinQuest 的利息費用。所以我們有個好消息，我們有整整三個月的 LinQuest，但我們有整整三個月的興趣。

So we have that occurring, as good as of a job, our treasurer has done with minimizing the impact of that. LinQuest is accretive, but it's like a couple of pennies. So we didn't think that warranted a big bump and we just moved up the midpoint by taking up the floor. We do have some seasonality that does kicking in the fourth quarter, a little bit on things like just the efficiency of our labor coming into the fourth quarter with holidays and things like that as a little off pace for parts of government and parts of STS.

因此，我們已經發生了這種情況，我們的財務主管已經盡力將其影響降至最低。LinQuest 具有增值性，但也只是幾分錢。所以我們認為這不值得大的衝擊，我們只是透過佔據地板來向上移動中點。我們確實有一些季節性因素在第四季度開始顯現，例如第四季度假期到來時我們的勞動力效率，以及諸如此類的事情，政府部門和 STS 部門的步伐有點慢。

So we're being conservative on our outlook there. And that's about it. So not trying to get too fancy. Where we're adding some to the guide here, but cautiously so heading into the fourth quarter and really in context capping off a brilliant year of growth on all metrics and doing out or above a week set out to do at the beginning of the year.

因此，我們對那裡的前景持保守態度。就是這樣。所以不要試圖變得太花俏。我們在這裡為指南中添加一些內容，但要謹慎地進入第四季度，真正在所有指標上結束輝煌的一年增長的背景下，並完成或超過年初計劃的一周。

And I think just to finish off and I think the original question was on EBITDA guide. I mean, we think that the LinQuest revenue is about a $175 million that’s coming in at double digits. That's about a $17 million EBITDA return and that's actually the raise that we've put into the announcement, Andy, so completely consistent.

我想最後，我認為最初的問題是關於 EBITDA 指南。我的意思是，我們認為 LinQuest 的收入約為 1.75 億美元，呈兩位數。這大約是 1700 萬美元的 EBITDA 回報，這實際上是我們在公告中投入的加薪，安迪，所以完全一致。

Tobey Sommer, Truist Securities.

托比·索默（Tobey Sommer），Truist 證券公司。

Hey, good morning, everyone. This is Jasper Bibb on for Tobey. It sounds like a lot of the exciting wins in STS just kind of curious like how do you think mix in some of these LNG recycling wins ramping up might impact the segment margins over the next couple of years, maybe relative to the flattish margin you outlined at your Investor Day this spring? Thank you.

嘿，大家早安。我是托比的賈斯柏‧比伯。聽起來STS 中的許多令人興奮的勝利只是有點好奇，例如您認為如何將這些液化天然氣回收勝利中的一些增加可能會影響未來幾年的細分市場利潤率，也許相對於您概述的持平利潤率今年春天的投資者日？謝謝。

I think we - I think having margins in the circa 20% range with a business that's growing a 11% to 15%, I think, is the targets we set out and that's the targets we're going to hold to. And maybe obviously mix volatility around margins mostly growing as we've seen, we've achieved ‘21, ‘22 in second quarters depending on mix. But I think our overall guidance stands in our long-term targets over time, particularly through the ‘27 stands. So I don't think there's going to be much change.

我認為，我們設定的目標是我們設定的目標，也是我們要堅持的目標，業務成長 11% 到 15%，利潤率在 20% 左右。正如我們所看到的，顯然，圍繞利潤率的混合波動大多在增長，根據混合情況，我們在第二季度實現了 21 倍、22 倍。但我認為，隨著時間的推移，我們的整體指導將體現在我們的長期目標中，特別是透過 27 個看台。所以我認為不會有太大變化。

Thanks. And then the another follow-up on HomeSafe. Good to hear no impact to your targets for a little bit of a total spike there. Just to clarify, do you think it’s still on plan with the, I guess, underlying ‘25 assumptions for HomeSafe revenue from the Investor Day? Or is that maybe a little bit below plan now, and that's the offset by other wins across the portfolio or LinQuest?

謝謝。然後是 HomeSafe 的另一個後續行動。很高興聽到總峰值沒有對您的目標產生影響。我想澄清一下，您認為投資者日 HomeSafe 收入的基本 25 假設仍在計劃中嗎？或者現在可能有點低於計劃，並且被投資組合或 LinQuest 中的其他勝利所抵消？

No, it's very much in -- on target. As I said in my prepared remarks, we took a quite a conservative view through ’25, ‘26 and ‘27. In fact, in terms of the way the program ramps up, and certainly now we've kind of opened the aperture if you like, but the systems testing to really progress the domestic moves, I think, if there's any surprise that I think there's opportunity to the upside. That is a new program, however. But I do feel that we've got the right sort of numbers on a conservative basis within the ‘25 long-term target guide that we gave at Investor Day. And obviously, more will come out as we guide for ‘25 in February.

不，它非常符合目標。正如我在準備好的演講中所說，我們在 25 月、26 月和 27 月採取了相當保守的觀點。事實上，就該計劃的推進方式而言，如果你願意的話，現在我們當然已經打開了光圈，但係統測試確實推動了國內行動，我認為，如果有任何驚喜的話，我認為上行的機會。然而，這是一個新計劃。但我確實認為，在我們在投資者日給出的 25 歐元長期目標指南中，我們在保守的基礎上得到了正確的數字。顯然，隨著我們 2 月 25 日的預測，還會有更多消息出現。

Michael Dudas, Vertical Research.

邁克爾·杜達斯，垂直研究。

Hello, Jamie, Stuart, Mark.

你好，傑米、史都華、馬克。

Hi, Mike.

嗨，麥克。

Good morning, Mike.

早上好，麥克。

So with the positive progress, you mentioned with the energy projects in the Middle East in Saudi in particular, maybe you could – like what type of workforce, how is it being staffed towards has been maybe in 24? And how that may ramp in 2025? And I assume that's going to be used throughout many of your offices globally. And you - given some of the opportunities that you have in your current opportunity could you see further, on contractor bookings over the next 12 to 18 months in some of these other LNG or related opportunities there?

因此，隨著積極的進展，您提到了中東的能源項目，特別是沙烏地阿拉伯的能源項目，也許您可以了解 24 世紀的勞動力類型，人員配置如何？到 2025 年，這一數字將如何成長？我認為這將在全球許多辦公室中使用。而您 - 鑑於您目前的機會中擁有的一些機會，您能否進一步了解未來 12 至 18 個月內其他一些液化天然氣或相關機會的承包商預訂？

Yeah, I mean, that's a really good question, Mike. We, so for LTC program, that will be led out to the Houston Office, supported by predominantly the Saudi office. As you can expect as things move into Saudi Arabia the work on the gas developments offshore as we led from our Leatherhead office again supported by Saudi on Chennai in particular. The LNG projects that we are looking at are actually again led either out of particularly out of Houston or Leatherhead, but predominantly in that case supported at Chennai in our India office. And so it really is a global impact and allows us to derisk concentration.

是的，我的意思是，這是一個非常好的問題，麥克。對於 LTC 計劃，我們將把該計劃引入休士頓辦事處，主要由沙烏地阿拉伯辦事處提供支援。正如您所期望的那樣，隨著事情進入沙烏地阿拉伯，我們在萊瑟黑德辦事處領導的海上天然氣開發工作再次得到了沙烏地阿拉伯在欽奈的支持。我們正在考慮的液化天然氣計畫實際上又是從休士頓或萊瑟黑德發起的，但在這種情況下主要是在我們印度辦事處的欽奈提供支援。因此，這確實是一種全球性影響，使我們能夠消除集中的風險。

I would also say that in terms of the opportunity when we are doing front end design then obviously the followon opportunity is clear depending on where you are in the world. And I think if it's in the Middle East that will like maybe, maybe a broader packages, but really in the project management realm. If it’s in places that are not in the Middle East but different contract vehicles that pursue our risk profile.

我還想說，就我們進行前端設計時的機會而言，顯然後續機會是明確的，這取決於您在世界上的哪個位置。我認為，如果是在中東，也許會喜歡更廣泛的包，但實際上是在專案管理領域。如果不是在中東，而是在不同的合約工具中追求我們的風險狀況。

So but in all Occasions, I think being involved early in the project performing well, often means that you actually have a role going forward. So that's why we put a lot of emphasis and in explaining to the market where we sit and sort of pre front end’s concepts and front end designs because it really positions us not only for broader rules but also around understanding technology opportunities and things like that, so. Hopefully that helps.

因此，但在所有情況下，我認為早期參與專案並表現良好，通常意味著您實際上在未來發揮作用。因此，這就是為什麼我們非常重視並向市場解釋我們所處的位置以及前端概念和前端設計，因為它不僅使我們能夠適應更廣泛的規則，而且還使我們能夠理解技術機會和事物就這樣，所以。希望有幫助。

It does Stuart. And my follow-up is that, you mentioned in your prepared remarks about some of the energy transition opportunities, maybe more uncertain because of US elections, maybe turning to the government side, any change into your thoughts on what you said given your significant business units in Government Solutions relative to what you're seeing out of the Pentagon or what anticipated change could occur and anything that would cause them any move in minor change your thoughts given how things looks like to turning out?

斯圖爾特確實如此。我的後續行動是，您在準備好的演講中提到了一些能源轉型機會，可能由於美國大選而更加不確定，可能會轉向政府方面，考慮到您的重要業務，您對您所說內容的想法是否會發生變化政府解決方案中的單位與您從五角大樓看到的情況或可能發生的預期變化以及任何可能導致它們發生微小變化的因素有關，考慮到事情的結果，您的想法是什麼？

No, I don't think materially, Mike, I think that the strong bipartisan support around military spending and the Department of Defense budgets as we’ve seen in the past, I think that it is where we've positioned the business, whether that be in military space or in the Pacific or looking at hypersonics or cyber or even civil space with NASA, are going to be strongly supported regardless of how the elections turn out.

不，我不認為實質性的，麥克，我認為，正如我們過去所看到的那樣，兩黨對軍事支出和國防部預算的大力支持，我認為這就是我們對業務的定位，無論是在軍事太空還是在太平洋，或是在高超音速、網絡，甚至是與美國太空總署合作的民用太空，無論選舉結果如何，都將得到大力支持。

So we are feeling pretty good at that. There is usually a question on what happens in Europe on low cap, but we feel that that’s moving more to or move more to a sustainment type solution depending on what happens with Russia and the Ukraine. But obviously that’s not a near term resolution we see. But you never know. But I don’t think there is going to be a material change in where are the priority spending is going to be and I think that we will guide appropriately is it going to ’25 and we are pretty confident of our targets of growth that we are going present at Investor Day.

所以我們對此感覺很好。人們通常會問歐洲在低上限情況下會發生什麼，但我們認為這會更多地轉向或更多地轉向維持型解決方案，具體取決於俄羅斯和烏克蘭的情況。但顯然這不是我們看到的短期解決方案。但你永遠不知道。但我認為優先支出的方向不會發生重大變化，我認為我們將適當指導是否會達到 25 美元，我們對我們的目標非常有信心我們將在投資者日展示的成長。

Steven Fisher, UBS.

史蒂文費雪，瑞銀。

Thanks a lot. So Stuart you mentioned, potential election impact on Lake Charles. I'm just curious what are some of the scenarios that could play out with that project based on the elections and kind of what was the timing implications be for those various scenarios? And I don't want to put words in your mouth, but it sounded like the answer to Andy's question was that, maybe in the – that Lakes Charles as they delayed by a longer period of time, say a couple of years. You still think you could have enough work in STS to hit those 11% to 15% targets. I don’t want to put words in your mouth, but just clarifying that that’s what you are messaging?

多謝。史都華你提到，選舉對查爾斯湖的潛在影響。我只是好奇根據選舉該項目可能會出現哪些場景，以及這些不同場景的時間影響是什麼？我不想把話放在你嘴裡，但聽起來安迪問題的答案是，也許在——查爾斯湖因為他們推遲了更長的時間，比如說幾年。您仍然認為您可以在 STS 中進行足夠的工作來實現 11% 到 15% 的目標。我不想把話放到你嘴裡，只是想澄清這就是你要傳達的訊息？

So in terms of the election and LNG, as you know, there's a pause in LNG projects in the US. If the democrats remain, there is that strong indications that some projects will be released for going forward as long as they meet certain probably environmental hurdles and things like that. And we feel that Lake Charles is very well placed to be part of that cadre. If the Republicans go forward, I think they – their state positioning is to really go faster and there is a consequence of that I think that the project will go faster and that was really my comment there.

因此，就選舉和液化天然氣而言，如您所知，美國的液化天然氣計畫暫停了。如果民主黨留下來，有強烈的跡象表明，只要遇到某些可能的環境障礙和類似問題，一些項目就會被釋放並繼續前進。我們認為查爾斯湖非常適合成為這一骨幹隊伍的一部分。如果共和黨繼續前進，我認為他們——他們的州定位是真正進展得更快，結果是我認為該項目會進展得更快，這確實是我的評論。

The FID that we gave you in the second half of next year is probably based on the conservative view. It could go quicker on that, but again there is obviously, as I said wood to chop there. In terms of our ability to look further field for and looking at our pipeline and the way that we will perform, I think there is absolute credibility in the numbers we put forward regardless of timing of Lake Charles. And so, it's just we had one particular analyst who raised the fact that it would be difficult in an LNG market to replace what we are doing in Plaquemines moves announced for the associated LNG projects in one quarter.

我們明年下半年給大家的最終投資決定可能是基於保守的觀點。它可能會進展得更快，但顯然，正如我所說的，要在那裡砍柴。就我們進一步尋找領域、審視我們的管道以及我們的執行方式的能力而言，我認為無論查爾斯湖的時間如何，我們提出的數字都是絕對可信的。因此，只是我們有一位特定的分析師提出了這樣一個事實，即在液化天然氣市場上很難取代我們在一個季度內宣布的相關液化天然氣項目普拉克明行動中所做的事情。

And so, I really want to be strong on that point, and you can see that the opportunity set that’s been realized in a very short order. So I think there's got to be more opportunity not less. And certainly energy demand is not reducing, it’s increasing particularly in the global side. So that’s really my answer to the question, Steven. Unless Mark you want to see something further?

因此，我真的想在這一點上表現得更堅強，你可以看到，這些機會在很短的時間內就實現了。所以我認為機會必須更多而不是更少。當然，能源需求並沒有減少，而是在增加，尤其是在全球範圍內。這就是我對這個問題的回答，史蒂文。除非馬克，你想看到更多的東西嗎？

I think you covered it beautifully well, Stuart.

我認為你把它講得很好，史都華。

Thank you.

謝謝。

Okay. Terrific, and then, maybe just on the Saudi side, just curious if you have a sense of how fluid, that situation is with their programs there, like, can we take this now, to take this PMC contract to the bank if you will or could it still change either to the upside or the downside and then you're talking to due to about some other opportunities? But I am just wondering is this thing now kind of locked in?

好的。太棒了，然後，也許只是在沙特方面，只是好奇你是否了解他們那裡的計劃的情況有多流暢，比如，我們現在可以把這個 PMC 合約交給銀行嗎？下行，然後你正在談論由於其他一些機會？但我只是想知道這東西現在是不是已經被鎖定了？

Well, they will make a final investment decision, I believe, Steve, when the EPC pricing comes in after the front-end designs are completed. But obviously, we are at pre-FEED and FEED and it will take a couple of years to come through that exercise. Right now Aramco is committed and so we feel very strongly that this is a very solid set of bookings. But we won’t book it into backlog until such times as we reach the various milestone gates and but it was really to give you an indication of our rule on LTC.

好吧，我相信，史蒂夫，當前端設計完成後 EPC 定價到來時，他們將做出最終的投資決定。但顯然，我們正處於預 FEED 和 FEED 階段，需要幾年的時間才能完成這項工作。目前，阿美公司已經做出了承諾，因此我們強烈認為這是一組非常可靠的預訂。但在達到各個里程碑之前，我們不會將其列入待辦事項中，但這實際上是為了讓您了解我們對 LTC 的規則。

The fact that Aramco view us as really a very strong capability and we have very strong relationship of course and we got that broader CPMC rule which actually is bringing a whole set of different skill sets, but have never really delivered under a PMC environment before and KBR was chosen to do that. So I think ultimately it’s a future tick it’s a really positive news. We are trying to give you a sense of the scale. It’s a multi-year program. So really underpins a long lead targets and, yeah we are feeling really good about it.

事實上，阿美公司認為我們確實具有非常強大的能力，我們當然有非常牢固的關係，我們獲得了更廣泛的CPMC 規則，該規則實際上帶來了一整套不同的技能，但以前從未在PMC環境下真正交付過KBR 被選中來做這件事。所以我認為最終這是一個未來的契機，這是一個非常正面的消息。我們試圖讓您了解規模。這是一個多年期計劃。因此，這確實支撐了長期領先目標，是的，我們對此感覺非常好。

Jerry Revich, Goldman Sachs.

傑瑞·雷維奇，高盛。

Yeah, hi, good morning, everyone. Stuart, if we just take a -- hi, if we just take a step back, maybe five, six years ago, the risk terms on a lot of these LNG projects and other large-scale energy projects weren’t very attractive to you folks. Now the win rates have been really attractive for you folks including Lake Charles LNG. Can you just talk about, what's changed over that time frame in terms of industry discipline and that's enabled the opportunity for you folks to have such a high win rate with acceptable and attractive risk terms for KBR?

是的，嗨，大家早安。斯圖爾特，如果我們退一步，也許五六年前，許多液化天然氣項目和其他大型能源項目的風險條款對你們這些人。現在，勝率對包括查爾斯湖液化天然氣公司在內的你們來說非常有吸引力。您能否談談，在這段時間內行業紀律發生了哪些變化？

Yeah, I mean, that we've been very clear. We're not taking lump sum EPC risk and we don't take instructions we call out. And we've been very true to that. We're not going back to the future if you like and what we're doing here. So, I think that particularly with VG and the success of Venture Global and their first phase and in Plaquemines, I think there are certainly new models that are, that new customers, new developers are looking at because it allows them to carry the continuity and manage the risk directly and also allows them to be heavily engaged in the decision-making.

是的，我的意思是，我們已經說得很清楚了。我們不承擔一次性 EPC 風險，也不接受我們發出的指示。我們一直非常忠實於這一點。如果你願意的話，我們不會回到未來，也不會回到未來。因此，我認為，特別是隨著VG 和Venture Global 的成功以及他們第一階段和Plaquemines 的成功，我認為肯定有新的模式，新客戶、新開發人員正在關注，因為它使他們能夠保持連續性和直接管理風險，並允許他們大量參與決策。

And, and that doesn't suit all customers. There's still lump sum EPCs out there. Many of them you'll know about, and we're not interested in them whatsoever. So I just think the market is realizing that there could be a different way. It doesn't suit everyone, but it does suit some and where it sits on we are actively engaged. In the Middle East, where there's a project management, a contract or front-end design with PMC's where, of course, that's fits our model very, very well.

而且，這並不適合所有客戶。那裡仍然有一次性EPC。其中許多你都會知道，但我們對它們不感興趣。所以我認為市場正在意識到可能有不同的方式。它並不適合所有人，但它確實適合某些人，我們正在積極參與其中。在中東，那裡有 PMC 的專案管理、合約或前端設計，當然，這非常非常適合我們的模式。

And we'll continue to chase those types of opportunities. But I think if the -- I think the two things, I think really the, I guess the intent of your question is there is a market for the risk profile that that we are - we have appetite for, absolutely. And I think we've proven that. And secondly are we positioned well enough globally to take advantage of that? I think the answer and we've demonstrated that put me on our bone in Q3 in particular is absolutely yes.

我們將繼續追逐這些類型的機會。但我認為，如果——我認為這兩件事，我真的認為，我想你問題的意圖是，我們的風險狀況有一個市場——我們絕對有興趣。我想我們已經證明了這一點。其次，我們在全球的定位是否足以利用這項優勢？我認為答案和我們已經證明的，特別是在第三季度讓我堅定的是絕對是的。

Super, and can I ask you on the Heritage Tech pipeline, could you just talk about what you expect to book over the next couple of quarters in areas like ammonia and plastic recycling? I know there's a pretty strong visibility on the pipeline and when you expect bookings to play out, can you just expand on what that looks like over the next couple of quarters?

超級好，我可以問一下關於 Heritage Tech 管道的問題嗎？我知道管道上的可見度相當高，當您預計預訂會發揮作用時，您能否擴展一下接下來幾個季度的情況？

Yeah, we don't -- I mean, I think the, we are very excited obviously with - and plastics recycling as we start to look at the pipeline of opportunities and where the markets are going for those. I think, as I said in my prepared remarks, the catalyst for change in terms of active a final investment decisions on the dozen or so licenses we’ve already sold for Hydro PRT, they're really down to the performance of what happens at Wilton or in Korea or in Japan.

是的，我們不——我的意思是，我認為，我們顯然對塑膠回收感到非常興奮，因為我們開始尋找機會的管道以及市場的發展方向。我認為，正如我在準備好的發言中所說，對於我們已經為Hydro PRT 出售的十幾個許可證進行積極的最終投資決策而言，變革的催化劑，它們實際上取決於所發生的事情的表現在威爾頓、韓國或日本。

And so, I think we'll update the market more on that as these start to produce product, at year end and slightly into ‘25. So very excited about that. I think the bookings will come later in the year associated that with that, Jerry just given the timing. But very, very strong pipeline there.

因此，我認為隨著這些產品在年底開始生產產品，我們將向市場提供更多相關信息，並在 25 歐元左右。對此非常興奮。我認為預訂將在今年晚些時候進行，傑瑞剛剛給出了時間。但那裡的管道非常非常強大。

In terms of ammonia, I mean, it continues to be an attractive market. The ammonia pricing came down as through the coast of the year. But there's still a lot of interest in actually moving forward particularly in the Middle East around the fact they’ve got very attractive gas prices. They're looking at market share. Theirs is also growing demand for fertilizers, as well as commitment around positioning for hydrogen as we move forward. So I think, as we go into ‘25, we expect to see continued buoyancy in the ammonia market. The exact timing is very difficult to tell, and -- but I think the market itself remains very attractive.

我的意思是，就氨而言，它仍然是一個有吸引力的市場。全年氨價格下降。但人們仍然對實際推進有很大興趣，特別是在中東，因為他們的天然氣價格非常有吸引力。他們正在考慮市場份額。他們對化學肥料的需求也不斷增長，以及隨著我們前進對氫的定位的承諾。因此，我認為，當我們進入 25 月時，我們預計氨市場將持續繁榮。確切的時機很難說，但我認為市場本身仍然非常有吸引力。

Sangita Jain, KeyBanc Capital Markets.

Sangita Jain，KeyBanc 資本市場。

Hi, good morning. If I can ask one on the LTC project that you said was suspended by Aramco. If Aramco changes its priorities to move more investment to other parts of Asia, would you be able to follow them there for similar projects?

嗨，早安。我可以詢問一下您所說的被阿美公司暫停的 LTC 專案嗎？如果阿美公司改變其優先事項，將更多投資轉移到亞洲其他地區，您是否能夠效仿他們在那裡開展類似項目？

I mean, I think, I mean, it depends on the contractual structure, but yes if it's a front-end design PMC of course, we can uh and we've got offices in Asia that could support that depending on where it is. I think, historically they've, done more in China and increasingly looking at India. They've used SABIC as really their overseas investment vehicle. Remember that Aramco owns the majority of SABIC at least 50% if not more.

我的意思是，我想，我的意思是，這取決於合約結構，但是，如果是前端設計 PMC，當然我們可以，而且我們在亞洲設有辦事處，可以根據所在地提供支援。我認為，從歷史上看，他們在中國做得更多，並且越來越多地關注印度。他們將 SABIC 作為真正的海外投資工具。請記住，沙烏地阿美公司擁有 SABIC 的大部分股份，至少 50%（如果不是更多）。

So I think yes, in theory, but I don't suspect that's going to happen because I think that as I said, the reason I said what I said in my prepared remarks was that, they are looking to decarbonize in the kingdom. They're trying to use gas to produce power which at the moment they burn crude and the utilization of crude into petrochemicals is value-add over time and that's where they are pointing the investment dollars. So, I don't think it's just an investment in liquid to chemicals globally. I think there is a strategic and a sustainability play inside itself that’s driving these investments.

所以我認為理論上是的，但我不懷疑這種情況會發生，因為我認為正如我所說，我在準備好的發言中所說的話的原因是，他們正在尋求在王國脫碳。他們正在嘗試使用天然氣來發電，目前他們燃燒原油，並將原油用於石化產品，隨著時間的推移會產生增值，這就是他們投資的方向。因此，我認為這不僅僅是全球對液體化學品的投資。我認為，這些投資本身就存在著策略性和永續性的推動力。

Got it. And I know you've referenced the long-term guidance a couple times but I think this project was in your long-term risk-adjusted guidance that you gave us at your Analyst Day. So I just want to know how you're thinking about that long-term guidance without this project in it?

知道了。我知道您已經多次提到了長期指導，但我認為該專案包含在您在分析師日向我們提供的長期風險調整指導中。所以我只想知道，如果沒有這個項目，您如何看待長期指導？

I'm sorry, I'm confused.

對不起，我很困惑。

(multiple speakers) On your Analyst Day, you gave us long-term guidance right, which included this LTC project on a risk-adjusted basis?

（多位發言者）在分析師日，您給了我們長期指導，包括在風險調整的基礎上的 LTC 專案？

Yeah, it does. But remember, we've got a very prominent role on LTC, which is the coordinating PMC which I said would be $70 to $100 million through pre-FEED and several times that value through execution which is aligned to our multi-year project, so it’s our long-term target. So we've got a very prominent role in LTC. That's why I spend quite a bit of time talking to that particular project. We have going to a bit of a blackbox up to date and apologies for that but we are not allowed to say anything about the customer, but now we can.

是的，確實如此。但請記住，我們在LTC 上扮演著非常重要的角色，LTC 是協調PMC，我說過透過預FEED 獲得的價值將達到70 到1 億美元，而執行獲得的價值是我們多年專案的數倍，所以這是我們的長期目標。因此，我們在 LTC 中發揮著非常重要的作用。這就是為什麼我花了很多時間討論那個特定項目。我們需要進行一些黑盒子更新，對此表示歉意，但我們不允許透露有關客戶的任何信息，但現在我們可以了。

Gautam Khanna, TD Cowen.

高塔姆·卡納，TD·考恩。

Well hey, good morning, guys. I curious on LinQuest. There was some language in the briefing about small business awards. I was curious do they have a lot of small business set aside work? If so can you quantify how much and how that runs through or runs us?

嘿，早上好，夥計們。我對 LinQuest 很好奇。簡報中有一些關於小企業獎項的措詞。我很好奇他們有很多小企業預約的工作嗎？如果是這樣，您能否量化它在多大程度上以及如何貫穿或貫穿我們？

Yeah, they don't really have any small business set aside. We obviously go out to stop through the acquisition. So it's no such feature at all, Gautam.

是的，他們確實沒有預留任何小生意。我們顯然要透過收購來阻止。所以根本沒有這樣的功能，高塔姆。

I'll just expand the work we refer to as SBIR 3. So that is not restricted to small business. It reflects initially was perhaps under that set aside type of construct, but now it's preferential type of contract vehicle. It can put money to work quickly. It is fully available to large businesses and it largely is done on the sole source basis to progress and commercialize the technologies that are at play that started off small and have become something bigger. So it's really an attractive type of vehicle for not only LinQuest, but part of the KBR Group, as well.

我將擴展我們稱為 SBIR 3 的工作。因此，這不僅限於小型企業。它反映最初可能是預留類型的結構，但現在它是合約工具的優惠類型。它可以讓資金快速發揮作用。它完全可供大型企業使用，並且很大程度上是在唯一來源的基礎上完成的，以進步和商業化正在發揮作用的技術，這些技術從小處開始，後來變得更大。因此，這確實是一種有吸引力的工具，不僅對於 LinQuest，而且對於 KBR 集團的一部分也是如此。

Well, thank you. That’s helpful. And just last one for me on. You may have addressed it but I joined late. CR, the budget CR, I mean, what is your expectation for bookings over the next couple quarters if in fact the CR extends?

嗯，謝謝。這很有幫助。最後一件是給我的。你可能已經解決了這個問題，但我加入得很晚。CR，預算 CR，我的意思是，如果 CR 實際上延長了，您對未來幾季的預訂有何預期？

I mean, I think, we've got enough in flight being looked at. We've got a number and that will be awarded on the protest, but we don’t talk about them until the protest is resolved and quite sizable. So we - I mean, assuming they come in our favor, and you never of course, Gautam, the way the protest go, but I think bookings will remain pretty strong as a consequence of what’s in flight. And obviously there will be some delays with CR, but we don’t expect it to in any way change what we think we will guide to for next year aligned with our long leads targets.

我的意思是，我認為我們已經對飛行中的情況進行了足夠的關注。我們已經得到了一個數字，將在抗議時授予該數字，但在抗議得到解決並且規模相當大之前我們不會談論它們。所以我們 - 我的意思是，假設他們對我們有利，當然，你永遠不會，高塔姆，抗議的方式，但我認為由於飛行中的原因，預訂量將保持相當強勁。顯然，CR 會出現一些延誤，但我們預計它不會以任何方式改變我們認為明年將指導的目標，與我們的長期領先目標保持一致。

At this time, we have no further questions. I'll turn the call back to Stuart Bradie for final remarks.

目前，我們沒有其他問題了。我會將電話轉回給斯圖爾特布雷迪（Stuart Bradie），讓他發表最後的評論。

Thank you, Emily. And thank you again for listening and thank you for your interest as always in KBR. I think another terrific quarter. A double-digit growth across all key metrics, really it’s not just revenue, it’s actually delivering that revenue into greater profit with enhanced margins. So really a terrific effort by our people all across the world. So yeah, thank you again and I am sure we’ll be on calls later today and tomorrow and through the course of the next little while. So, thank you very much.

謝謝你，艾米麗。再次感謝您的收聽，並感謝您一如既往地對 KBR 的興趣。我認為又是一個很棒的季度。所有關鍵指標都實現了兩位數的成長，這不僅僅是收入的成長，實際上還透過提高利潤率將收入轉化為更大的利潤。這確實是我們全世界人民所付出的巨大努力。所以，是的，再次感謝您，我相信我們會在今天晚些時候、明天以及接下來的一段時間內接聽電話。所以，非常感謝。

Thank you, everyone for joining us today. This concludes our call and you may now disconnect your lines.

謝謝大家今天加入我們。我們的通話到此結束，您現在可以斷開線路了。