Lakeland Industries Inc (LAKE) 2024 Q1 法說會逐字稿

Good day, and welcome to the Lakeland Industries Fiscal 2024 First Quarter Financial Results Conference Call. (Operator Instructions) During today's call, we may make statements relating to our goals and objectives for future operations, financial and business trends, business prospects and management's expectations for future performance that constitute forward-looking statements under federal securities laws.

美好的一天，歡迎參加 Lakeland Industries 2024 財年第一季度財務業績電話會議。 （操作員說明）在今天的電話會議中，我們可能會發表與我們未來運營的目標和目標、財務和業務趨勢、業務前景以及管理層對未來業績的預期有關的聲明，這些聲明構成聯邦證券法規定的前瞻性聲明。

Any such forward-looking statements reflect management expectations based upon currently available information and are not guarantees of future performance and involve certain risks and uncertainties that are more fully described in our SEC filings.

任何此類前瞻性陳述均反映了基於​​當前可用信息的管理層預期，並非對未來業績的保證，並且涉及我們向美國證券交易委員會提交的文件中更全面描述的某些風險和不確定性。

Our actual results, performance or achievements may differ materially from those expressed in or implied by such forward-looking statements. We undertake no obligation to update or revise any forward-looking statements to reflect events or developments after the date of this call.

我們的實際結果、業績或成就可能與此類前瞻性陳述中明示或暗示的結果、業績或成就存在重大差異。我們沒有義務更新或修改任何前瞻性陳述以反映本次電話會議之後發生的事件或發展。

During today's call, we will discuss financial measures derived from our financial statements that are not determined in accordance with U.S. GAAP, including EBITDA and adjusted EBITDA. A reconciliation of each of the non-GAAP measures discussed on this call to the most directly comparable GAAP measure is presented in our earnings release.

在今天的電話會議中，我們將討論從我們的財務報表中得出的並非根據美國公認會計準則確定的財務指標，包括 EBITDA 和調整後的 EBITDA。我們的收益報告中列出了本次電話會議中討論的每項非公認會計原則指標與最直接可比的公認會計原則指標的調節表。

At this time, I would like to introduce you to your host for this call, Lakeland Industries' Chief Executive Officer, Charlie Roberson. Mr. Roberson, the floor is yours.

現在，我想向您介紹本次電話會議的主持人，萊克蘭工業公司的首席執行官查理·羅伯森。羅伯森先生，請發言。

Thank you, Jenny. Good morning and thank you all for joining. I'd like to begin by pointing out that in addition to the press release yesterday, we also posted a Q1 investor deck on the Investors section of our website. And while we will not speak directly to it on this call, we do invite you to access it and follow along.

謝謝你，珍妮。早上好，感謝大家的加入。首先我想指出，除了昨天的新聞稿外，我們還在我們網站的投資者部分發布了第一季度投資者資料。雖然我們不會在這次電話會議上直接與其交談，但我們確實邀請您訪問它並跟進。

We're pleased with our fiscal first quarter results as Lakeland delivered net sales of $28.7 million, up 5.2% year-over-year. While our net sales for the quarter included $2 million for our acquisition of Eagle Technical Products this past December, Lakeland also delivered organic growth in targeted geographic markets and product lines. Of note, our fire and flame resistant/arc-resistant performance product categories saw significant year-over-year growth of 103% and 55%, respectively.

我們對第一財季的業績感到滿意，Lakeland 的淨銷售額為 2,870 萬美元，同比增長 5.2%。雖然我們本季度的淨銷售額包括去年 12 月收購 Eagle Technical Products 的 200 萬美元，但 Lakeland 還在目標地理市場和產品線方面實現了有機增長。值得注意的是，我們的防火和阻燃/耐電弧性能產品類別同比分別大幅增長 103% 和 55%。

In terms of profitability, our first quarter gross margin of 43.4% was above our long-term target of 40% and as Roger will cover in more detail, benefited from multiple dedicated actions from our team members.

在盈利能力方面，我們第一季度的毛利率為 43.4%，高於我們 40% 的長期目標，正如羅傑將更詳細介紹的那樣，這得益於我們團隊成員的多項專注行動。

In regard to our geographic markets, the North American industrial demand continues to hold strong and is performing in line with our expectations. Oil and gas turnaround activity, which was significantly curtailed during COVID, is returning at a measured pace over a prolonged period, partially due to ongoing labor availability constraints. We anticipate labor constraints continuing throughout the remainder of the year and are expecting an extended strong fall turnaround season.

就我們的地域市場而言，北美工業需求繼續保持強勁，並且表現符合我們的預期。石油和天然氣周轉活動在新冠疫情期間大幅減少，但在很長一段時間內正在以有節奏的速度恢復，部分原因是持續的勞動力供應限制。我們預計今年剩餘時間勞動力限制將持續，並預計秋季周轉季節將持續強勁。

Going forward, we will continue to monitor global oil market developments such as the recent production cuts announced by OPEC+ and I would characterize our outlook for the year as cautiously optimistic given the shifting macroeconomic backdrop.

展望未來，我們將繼續關注全球石油市場的發展，例如歐佩克+最近宣布的減產，鑑於宏觀經濟背景的變化，我將今年的前景描述為謹慎樂觀。

While our North American markets are performing in line with our targets, our Asian markets have been weaker than expected, driven almost entirely by China. China's departure from a zero tolerance COVID-19 policy in late December significantly curtailed government demand for testing-related PPE, including disposable coveralls. Industrial economic activity has been very slow to recover as foreign customers seek to reduce dependence on China and their supply chains and as China experiences a sequent outbreak of the XBB variant of the COVID-19 virus.

雖然我們的北美市場表現符合我們的目標，但我們的亞洲市場卻弱於預期，幾乎完全由中國推動。中國於 12 月底放棄了對 COVID-19 的零容忍政策，這大大減少了政府對與檢測相關的個人防護裝備（包括一次性工作服）的需求。由於外國客戶尋求減少對中國及其供應鏈的依賴，以及中國隨後爆發了 COVID-19 病毒的 XBB 變種，工業經濟活動的複蘇非常緩慢。

In addition to depressed industrial activity, China is experiencing post-pandemic excess inventory in its distribution channels. We anticipated an excess inventory condition would likely occur in China but believed it would not be as severe as in the U.S. or Europe due to significantly shorter lead times within China.

除了工業活動低迷之外，中國的分銷渠道還經歷了疫情后的庫存過剩。我們預計中國可能會出現庫存過剩的情況，但由於中國境內的交貨時間大大縮短，因此相信這種情況不會像美國或歐洲那麼嚴重。

As a result of these factors, we anticipate China's economic recovery will remain slower than our initial projections throughout the course of the year.

由於這些因素，我們預計全年中國經濟復甦仍將慢於我們最初的預測。

Europe continues to outperform our expectations this year. But admittedly, this is because our forecast headed into the fiscal year was quite cautious given some of the macro geopolitical and energy security or supply-related issues that overhang this region. So we do not -- we do expect Europe to continue to progress this year at a pace ahead of our original expectations even though industrial activity in general remains muted.

歐洲今年的表現繼續超出我們的預期。但不可否認的是，這是因為考慮到該地區面臨的一些宏觀地緣政治和能源安全或供應相關問題，我們對本財年的預測相當謹慎。因此，我們確實預計歐洲今年將繼續以超出我們最初預期的速度取得進展，儘管總體工業活動仍然低迷。

Turning to other important markets globally. India and Mexico are tracking slightly behind our projections for the first quarter, although we believe activity will ultimately improve and come in line with our projection for the year. Latin America is performing ahead of forecast right now and is expected to maintain this performance for the remainder of the fiscal year.

轉向全球其他重要市場。印度和墨西哥第一季度的表現略低於我們的預測，但我們相信經濟活動最終將有所改善並符合我們今年的預測。拉丁美洲目前的表現超出預期，預計將在本財年剩餘時間內保持這一表現。

In terms of our focus on high-value products, we're seeing year-over-year success with our fire and flame-resistant/arc-resistant products in North America. Our sales team has been successful in adding new distributors, expanding geographic reach and have begun displacing our competitors as key or primary suppliers with a number of existing and new distributors, resulting in 29% organic revenue growth for fire products and 55% organic growth within the FR/AR product line. Lakeland is gaining traction in these markets, and we believe that our focus on these product lines is yielding success.

就我們對高價值產品的關注而言，我們的防火和阻燃/耐電弧產品在北美取得了逐年的成功。我們的銷售團隊成功地增加了新的經銷商，擴大了地理覆蓋範圍，並開始通過許多現有和新的經銷商取代我們的競爭對手作為主要或主要供應商，導致消防產品有機收入增長 29%，FR/AR 產品線有機增長 55%。 Lakeland 在這些市場上越來越受歡迎，我們相信我們對這些產品線的關注正在取得成功。

Shifting gears to Eagle. Our integration efforts are tracking firmly on schedule, and we are continuing to accelerate synergy capture between organizations. This is evident in our fire business as Eagle is successfully promoting sales of NFPA-certified gear into their existing sales channels. Our legacy team is also in the process of incorporating Eagle CE hoods into our NFPA markets and promoting Eagle CE turnout gear into our international markets.

換檔到鷹。我們的整合工作正在穩步按計劃進行，並且我們正在繼續加速組織之間的協同效應。這在我們的消防業務中顯而易見，因為 Eagle 成功地將 NFPA 認證的設備銷售到其現有銷售渠道。我們的傳統團隊還在將 Eagle CE 煙罩納入我們的 NFPA 市場，並將 Eagle CE 消防裝備推廣到我們的國際市場。

Our efforts to integrate Eagle products into Lakeland's geographic markets are initially focused on Latin America and Mexico and will be followed by India and Southeast Asia. To this end, Lakeland's leadership team and Eagle personnel will be meeting with our Latin American and Mexico sales teams to train them on Eagle products later this month. Eagle will have a chance to learn firsthand about the South American firefighting market.

我們將 Eagle 產品整合到萊克蘭地理市場的努力最初集中在拉丁美洲和墨西哥，隨後將是印度和東南亞。為此，Lakeland 的領導團隊和 Eagle 人員將於本月晚些時候與我們的拉丁美洲和墨西哥銷售團隊會面，對他們進行 Eagle 產品培訓。 Eagle 將有機會直接了解南美消防市場。

On the expansion front, we're pleased with the progress we are making at our new Monterrey, Mexico facility, which we expect to be complete by the fiscal third quarter of this year. As we have previously communicated, this manufacturing plant will greatly benefit our efforts to gain market share in higher-value strategic end markets, most notably fire, flame-resistant/arc-resistant high performance for electrical utilities and chemical by providing short-run capability and additional capacity to service our growing high-value product sales.

在擴張方面，我們對墨西哥蒙特雷新工廠取得的進展感到滿意，我們預計該工廠將在今年第三財季完工。正如我們之前所傳達的，該製造工廠將通過提供短期能力和額外產能來服務我們不斷增長的高價值產品銷售，將極大地有利於我們在更高價值的戰略終端市場中獲得市場份額，尤其是電力公用事業和化學品的防火、阻燃/耐電弧高性能。

As we look to the balance of our current fiscal year, we anticipate little change in our existing business environment. We believe that China will remain weak with little in the way of economic recovery. India and Mexico were slightly behind projections as of the end of Q1 but are recoverable, and we believe they will meet revenue projections for the year. North America is currently running at forecast sales pace and is expected -- continue to do so through the remainder of the year. Europe and Latin America are both running ahead of their projections through the first quarter and do not show any signs of weakening.

當我們展望本財年的餘額時，我們預計現有的商業環境不會有什麼變化。我們認為，中國將持續疲軟，經濟復甦之路困難重重。截至第一季度末，印度和墨西哥的收入略低於預測，但可以恢復，我們相信它們將達到今年的收入預測。北美目前正按預測的銷售速度運行，並預計在今年剩餘時間內繼續如此。歐洲和拉丁美洲第一季度的表現都超出了預期，並且沒有表現出任何疲軟的跡象。

In the aggregate, we believe based on current market information and the strength that we are seeing in fire and industrial FR markets that we will attain our goal of mid- to high single-digit growth this year.

總的來說，我們相信，根據當前的市場信息以及我們在消防和工業阻燃劑市場看到的實力，我們將實現今年中高個位數增長的目標。

Overall, we remain very positive on the position we are generating for ourselves within the market, and we expect to deliver continued revenue growth in our core markets as well as profitability levels in line with the company's 3-year to 5-year targets. We will accomplish this through geographic targeting of specific products, turnout gear, flame-resistant/arc-resistant high-performance and chemical suits, and through pricing deviations and disposables to select end user accounts where we believe we can leverage the business to capture strategic sales currently held by our competitors.

總體而言，我們對自己在市場中的地位保持非常積極的態度，我們預計核心市場的收入將持續增長，盈利水平將符合公司的 3 年至 5 年目標。我們將通過針對特定產品、消防裝備、阻燃/耐電弧高性能和化學防護服的地理定位，並通過定價偏差和一次性用品來選擇最終用戶帳戶來實現這一目標，我們相信我們可以利用該業務來獲取競爭對手目前持有的戰略銷售。

I'll now pass the call to Roger to provide an overview of our financial results. Roger?

現在我將把電話轉給羅傑，概述我們的財務業績。羅傑？

Thanks, Charlie and good morning, everyone. Lakeland delivered sales of $28.7 million in the first quarter. Domestic sales were $12.3 million or 43% of total revenues and international sales were $16.4 million or 57% of total revenues. This compares with domestic sales of $11.2 million or 41% of the total and international sales of $16.1 million or 59% of the total in the first quarter of fiscal 2023.

謝謝查理，大家早上好。 Lakeland 第一季度銷售額達 2870 萬美元。國內銷售額為 1,230 萬美元，佔總收入的 43%，國際銷售額為 1,640 萬美元，佔總收入的 57%。相比之下，2023 財年第一季度國內銷售額為 1,120 萬美元，佔總銷售額的 41%，國際銷售額為 1,610 萬美元，佔總銷售額的 59%。

In terms of product mix for the quarter, disposables continued to decrease as a percentage of Lakeland sales and represented 43% of total revenues compared to 53% in the year-ago quarter. This again reflects the efforts we've made to shift our product mix toward higher value, higher margin and less commoditized nondisposable products as we've discussed in prior calls. Additionally, as we noted in our earnings press release issued yesterday afternoon, we saw strong growth within our fire product category, with sales up 103% year-over-year.

就本季度的產品組合而言，一次性用品佔 Lakeland 銷售額的百分比繼續下降，佔總收入的 43%，而去年同期為 53%。正如我們在之前的電話會議中討論的那樣，這再次反映了我們為將產品組合轉向更高價值、更高利潤和更少商品化的非一次性產品所做的努力。此外，正如我們在昨天下午發布的收益新聞稿中指出的那樣，我們的消防產品類別實現了強勁增長，銷售額同比增長 103%。

From a geographic standpoint, Lakeland saw strong sales growth in our U.S., Canada and European markets. However, this growth was partially offset by soft Asian sales, particularly in China and India.

從地域角度來看，萊克蘭在美國、加拿大和歐洲市場的銷售增長強勁。然而，這一增長被亞洲銷售疲軟所部分抵消，特別是在中國和印度。

Gross profit as a percentage of net sales was 43.4% for fiscal 2024 first quarter as compared to 40.5% a year ago. As Charlie already highlighted, the strong improvement in our gross margin performance was driven by deliberate sales focus on higher-value products as well as improved finished goods material costs and lower manufacturing expenses.

2024 財年第一季度的毛利潤占淨銷售額的百分比為 43.4%，而去年同期為 40.5%。正如查理已經強調的那樣，我們毛利率表現的強勁改善是由於對高價值產品的刻意銷售重點以及成品材料成本的改善和製造費用的降低所推動的。

Compared to the prior quarter, our gross margin percentage increased 6 percentage points, up from 37.4% due to an improved product mix, the absence of excess freight expense write-offs that we had in Q4, profit in Q1 ending inventory and a positive Q1 inventory reserve adjustment.

與上一季度相比，我們的毛利率從 37.4% 上升了 6 個百分點，這是由於產品結構的改善、第四季度沒有沖銷超額運費、第一季度期末庫存盈利以及第一季度庫存準備金調整積極所致。

Lakeland reported operating profit of $1.9 million in Q1 2024 as compared to $1.4 million in the first quarter last year. As a result, operating margins were 6.8% in the first quarter, up from 5.3% for the first quarter of last year. Our operating profit benefited from the improved gross margins and higher revenue, as previously discussed, partially offset by an increase of $900,000 in operating expenses in Q1 of 2024.

Lakeland 報告 2024 年第一季度營業利潤為 190 萬美元，而去年第一季度為 140 萬美元。結果，第一季度營業利潤率為 6.8%，高於去年第一季度的 5.3%。如前所述，我們的營業利潤受益於毛利率的提高和收入的增加，但部分被 2024 年第一季度營業費用增加 90 萬美元所抵消。

The increase in operating expenses is attributable to increases in severance expenses and currency fluctuations, travel and trade show expenses and higher professional fees. Currency fluctuations primarily related to the Argentinian peso, which totaled approximately $300,000 negatively affected operating profit.

運營費用的增加是由於遣散費和貨幣波動、旅行和貿易展覽費用以及更高的專業費用的增加。貨幣波動主要與阿根廷比索有關，總計約 300,000 美元，對營業利潤產生了負面影響。

Lakeland delivered net income of $1.3 million or $0.18 per basic and diluted share during the quarter. This compares to $1.1 million or $0.15 per basic share and $0.14 per diluted share in the prior period. EBITDA for the first quarter of fiscal 2024 was $2.4 million compared to $1.9 million for the first quarter of fiscal 2023. Adjusted EBITDA was $2.8 million in Q1 2024 compared to $2.3 million in Q1 of '23.

Lakeland 在本季度實現淨利潤 130 萬美元，即每股基本股和稀釋股淨利潤 0.18 美元。相比之下，上一時期的每股基本股為 110 萬美元，即每股 0.15 美元，每股稀釋股為 0.14 美元。 2024 財年第一季度的 EBITDA 為 240 萬美元，而 2023 財年第一季度為 190 萬美元。2024 年第一季度調整後的 EBITDA 為 280 萬美元，而 2023 年第一季度為 230 萬美元。

Moving to the balance sheet. Lakeland ended the quarter with cash and cash equivalents of approximately $26 million, an increase of $1.4 million compared to our fiscal year 2023 year-end cash balance of $24.6 million due primarily to cash provided by operating activities of $3.7 million for the 3 months ended April 30, 2023. The company continued to have no debt at the end of the quarter and has up to $25 million available from bank credit facilities.

轉向資產負債表。 Lakeland 本季度末的現金和現金等價物約為 2600 萬美元，比 2023 財年的年終現金餘額 2460 萬美元增加了 140 萬美元，這主要是由於截至 2023 年 4 月 30 日的三個月經營活動提供的現金為 370 萬美元。該公司在本季度末仍然沒有債務，並可從銀行信貸額度獲得高達 2500 萬美元的可用資金。

Capital expenditures for the 3 months ended April 30, 2023, were $700,000 and were related to capital equipment for the company's new manufacturing facility in Monterrey, Mexico that's scheduled to open in the second half of the current year, as Charlie previously mentioned. As a reminder, we anticipate fiscal 2024 capital expenditures to be approximately $3 billion as we complete the new manufacturing facility in Monterrey, Mexico and replace existing equipment in a normal course of operation. We expect to fund the capital expenditures from our cash flow from operations.

正如查理之前提到的，截至 2023 年 4 月 30 日的三個月的資本支出為 70 萬美元，與該公司位於墨西哥蒙特雷的新製造工廠的資本設備有關，該工廠計劃於今年下半年開業。提醒一下，我們預計 2024 財年的資本支出約為 30 億美元，因為我們完成了墨西哥蒙特雷的新製造工廠並在正常運營過程中更換現有設備。我們預計將通過運營現金流來支付資本支出。

The company purchased $300,000 of common stock under its repurchase program during the quarter, leaving approximately $5.1 million remaining under the current authorization. Lakeland was also pleased to pay its initial quarterly dividend of $0.03 per share to stockholders during the quarter.

該公司本季度根據回購計劃購買了 30 萬美元的普通股，目前授權剩餘約 510 萬美元。 Lakeland 還很高興在本季度向股東支付每股 0.03 美元的首次季度股息。

Our inventories declined slightly quarter-over-quarter from $58.2 million at January 31, 2023, to $57.9 million at the end of Q1 '24. Raw materials inventory increased by approximately $400,000, while finished goods inventories decreased by approximately $500,000. Our increase in raw material inventory is driven by increases in our higher-value strategic products.

我們的庫存環比略有下降，從 2023 年 1 月 31 日的 5820 萬美元降至 24 年第一季度末的 5790 萬美元。原材料庫存增加約 400,000 美元，而製成品庫存減少約 500,000 美元。我們原材料庫存的增加是由高價值戰略產品的增加推動的。

Moving forward, we remain committed to accelerating the reduction of our finished goods inventory this year as previously communicated and will continue to explore various price deviations on additional product styles.

展望未來，我們仍然致力於按照之前的溝通，今年加速減少成品庫存，並將繼續探索其他產品款式的各種價格偏差。

With that overview, I'd like to now turn the call over to the operator to open for questions and answers.

有了這個概述，我現在想將電話轉給接線員以開放問題和解答。

Thank you very much. (Operator Instructions) Your first question is coming from Alex Fuhrman of Craig-Hallum Capital Group.

非常感謝。 （操作員說明）您的第一個問題來自 Craig-Hallum Capital Group 的 Alex Fuhrman。

And congratulations on a really nice quarter. Would love to talk about gross margin and what we could expect to see for the rest of this year and heading into next year. It seems like you very quickly hit your longer-term profitability target. Was there a mix shift involved in getting there? So quickly, would love to just hear your broad thoughts on what we could expect to see over the next few quarters and years.

祝賀您度過了一個非常美好的季度。我很想談談毛利率以及我們對今年剩餘時間和明年的預期。您似乎很快就達到了長期盈利目標。到達那裡是否涉及混合轉變？很快，我很想听聽您對我們在未來幾個季度和幾年內預計會看到的情況的廣泛想法。

This is Roger. Thank you for the question and thank you for the comments. We were obviously pleased with the quarter. We did see a very nice increase over Q4 as well as year-over-year. The bulk of that increase was driven by product mix, obviously, with a slight increase in revenue driving gross profit. But the mix driving gross margin, as we talked about, the focus on the higher-value strategic product line within fire and FR/AR.

這是羅傑。感謝您的提問，也感謝您的評論。我們顯然對這個季度感到滿意。我們確實看到第四季度以及同比都有非常好的增長。顯然，這一增長的大部分是由產品組合推動的，收入的小幅增長推動了毛利潤。但正如我們所討論的，這種組合推動了毛利率，重點關註消防和阻燃/增強現實領域的高價值戰略產品線。

The other thing as you'll probably remember, compared to last quarter, particularly, we had about a 200 basis point decrease or write-off in excess freight cost in Q4, and we did a comprehensive inventory costing analysis, cost roll in Q4, can clean that up from some of the higher freight costs during the COVID period.

您可能還記得的另一件事是，與上季度相比，特別是第四季度的超額運費成本減少或沖銷了約 200 個基點，並且我們進行了全面的庫存成本分析，第四季度的成本滾動，可以消除 COVID 期間一些較高的運費成本。

The other thing that I mentioned in my prepared remarks, we did have a slight adjustment into positive from profit and ending inventory in inventory reserves. Of course, we'll have those every quarter. They could go either way. But this quarter, they were positive.

我在準備好的發言中提到的另一件事是，我們確實對庫存儲備中的利潤和期末庫存進行了輕微調整。當然，我們每個季度都會有這些。他們可以選擇任何一種方式。但本季度，他們的表現很積極。

So longer term, over the course of the remainder of the year, we certainly are not guiding to count on those quarterly adjustments in ending inventory like we just said, but that -- we are on track for that 40%-plus gross margin that we've indicated.

因此，從長遠來看，在今年剩餘時間內，我們當然不會像我們剛才所說的那樣指望期末庫存進行季度調整，但我們正朝著我們所指出的 40% 以上的毛利率邁進。

Alex, this is Charlie. Also like to point out the investor deck we did for Q1 actually does contain a bridge showing the margin improvement quarter-to-quarter.

亞歷克斯，這是查理。另外想指出的是，我們為第一季度所做的投資者甲板實際上確實包含一個橋樑，顯示逐季度的利潤率改善。

Okay. That's really helpful. And then you mentioned in your remarks and in release last night that you're seeing a lot of good response to the higher-value products that you've been focusing more on. Obviously, that -- it sounds like that's having a positive impact on gross margin as well. Can you give us a sense of how much of your business today is what you would call those higher-value products and where you see that going over the next few years?

好的。這真的很有幫助。然後您在昨晚的講話和新聞稿中提到，您看到對您一直更關注的高價值產品有很多良好的反應。顯然，這聽起來對毛利率也產生了積極影響。您能否讓我們了解一下您今天的業務有多少是您所謂的高價值產品以及您認為未來幾年的發展方向？

Yes. Alex, we're already seeing a shift to that -- it's -- we look at that in more general terms. Within our product categories, we have sales even of the same product that may -- in one case, may be strategic or higher value where another is not. We tried -- we're trying to get that message across in the press release. We talked about how we define high value. It's an end user definition, and it really goes to the amount of effort and consultation that they put into the purchasing decision.

是的。亞歷克斯，我們已經看到了這種轉變——我們從更一般的角度來看待這一點。在我們的產品類別中，我們甚至銷售相同的產品，在一種情況下，這些產品可能具有戰略價值或更高的價值，而另一種產品則不然。我們嘗試過——我們試圖在新聞稿中傳達這一信息。我們討論瞭如何定義高價值。這是最終用戶的定義，它實際上取決於他們在購買決策中付出的努力和諮詢的數量。

Now having said that, disposables with the exception of cleanroom, is -- we just generally consider entirely commodity or not high value. And we've seen a year-over-year shift...

話雖如此，除潔淨室外的一次性用品——我們通常認為完全是商品或價值不高。我們看到了逐年的轉變......

Full year.

全年。

Full year shift in our disposables, a decline of 6% that has moved largely into the fire and the FR/AR wovens categories, okay? So as we move forward in future years, I expect to see that trend continue, maybe not at a 6% a year pace. But as we keep going, I think that eventually we will see our strategic items grow to where they're a 60-plus percent maybe even as high as 65% of our total revenue.

我們的一次性用品全年變化，下降了 6%，主要轉移到防火和阻燃/增強織物類別，好嗎？因此，隨著我們在未來幾年向前邁進，我預計這種趨勢會繼續下去，也許不會以每年 6% 的速度增長。但隨著我們繼續前進，我認為最終我們會看到我們的戰略項目增長到占我們總收入的 60% 以上，甚至可能高達 65%。

And Alex, I'll again encourage you and the listeners to kind of refer to a couple of slides we have in the Q1 investor presentation that we posted. You'd see -- if you look at -- as Charlie referred to, if you look at the full year 2023 or the year that we just finished, revenue, you've got 49% of that was from disposables for Q1 of 2024 that was 43%. So as Charlie mentioned, it's a $6 million decrease compared to the full year of last year.

亞歷克斯，我將再次鼓勵您和聽眾參考我們發布的第一季度投資者演示文稿中的幾張幻燈片。你會看到——如果你看一下——正如查理提到的，如果你看一下 2023 年全年或我們剛剛完成的一年的收入，你會發現其中 49% 來自可支配收入，2024 年第一季度為 43%。正如 Charlie 提到的，與去年全年相比減少了 600 萬美元。

The chemical remains kind of consistent at around 20%. And where we did see the pickup was in the FR/AR, and particularly the fire. So Eagle of course, contributed having the first full quarter of performance or results from Eagle. But also, as we mentioned in our prepared remarks, we're seeing organic growth in fire.

該化學物質的含量始終保持在 20% 左右。我們確實在 FR/AR 中看到了皮卡，尤其是火災。因此，Eagle 當然對 Eagle 第一個完整季度的表現或業績做出了貢獻。而且，正如我們在準備好的發言中提到的那樣，我們看到火災的有機增長。

Yes. And Alex, the other part of that question is in the higher-value products is where we have value for product development. We've got things that are in the -- there that represent an opportunity to grow those markets as well as to take market share from our competitors.

是的。亞歷克斯，這個問題的另一部分是高價值產品是我們對產品開發有價值的地方。我們擁有的東西代表著發展這些市場以及從競爭對手那里奪取市場份額的機會。

Well, we don't appear to have any further questions in the queue. I'm now going to hand back over to the management team for any closing remarks.

嗯，我們隊列中似乎沒有任何其他問題了。我現在將把閉幕詞交還給管理團隊。

Thank you, Jenny. Thank you all for joining us on today's call. We look forward to building on our momentum and sharing our successes with you this year. Thank you and have a good day.

謝謝你，珍妮。感謝大家參加今天的電話會議。我們期待今年再接再厲，與您分享我們的成功。謝謝你，有一個美好的一天。

Thank you, everybody. This does conclude today's conference call. You may disconnect your phone lines at this time and have a wonderful day. Thank you for your participation.

謝謝大家。今天的電話會議到此結束。此時您可以斷開電話線並度過美好的一天。感謝您的參與。