L3Harris Technologies Inc (LHX) 2024 Q1 法說會逐字稿

Greetings. Welcome to the L3Harris Technologies First Quarter 2024 Earnings Call. (Operator Instructions) As a reminder, this conference call is being recorded.

問候。歡迎參加 L3Harris Technologies 2024 年第一季財報電話會議。 （操作員說明）謹此提醒，本次電話會議正在錄音。

It is now my pleasure to introduce your host, Mark Kratz, Vice President of Investor Relations. You may now begin, Mr. Kratz.

現在我很高興向您介紹主持人，投資者關係副總裁馬克‧克拉茨(Mark Kratz)。您現在可以開始了，克拉茨先生。

Thank you, Rob. Good morning and welcome to our first quarter 2024 earnings call. Joining me this morning are Chris Kubasik, our CEO; and Ken Bedingfield, our CFO. Yesterday, we published our first quarter earnings release detailing our financial results and guidance. We also provided a supplemental earnings presentation on our website.

謝謝你，羅布。早上好，歡迎參加我們的 2024 年第一季財報電話會議。今天早上和我一起來的是我們的執行長 Chris Kubasik；和我們的財務長肯貝丁菲爾德 (Ken Bedingfield)。昨天，我們發布了第一季財報，詳細介紹了我們的財務表現和指導。我們還在我們的網站上提供了補充收益演示。

As a reminder, today's discussion will include certain constitute forward-looking statements. These statements involve risks, assumptions and uncertainties that could cause actual results to differ materially. For more information, please reference our earnings release and our SEC filings. We will also discuss non-GAAP financial measures, which are reconciled to GAAP measures in the earnings release.

提醒一下，今天的討論將包括某些構成前瞻性的陳述。這些陳述涉及風險、假設和不確定性，可能導致實際結果有重大差異。欲了解更多信息，請參閱我們的收益發布和 SEC 文件。我們還將討論非公認會計原則財務指標，這些指標與收益發布中的公認會計原則指標一致。

I'd now like to turn it over to Chris.

我現在想把它交給克里斯。

Thanks, Mark, and good morning, everyone. Since the merger of L3 and Harris 5 years ago and after strategic acquisitions and targeted divestitures, we have built a company with a national security focus. We have critical technologies in all domains that align to national security priorities and the global threat environment. Responsive space, resilient communications and rocket motors are critical for the future fight. The trusted disruptor strategy and our portfolio are setting the stage for L3Harris to differentiate ourselves with top line growth while simultaneously increasing our industry-leading margins.

謝謝，馬克，大家早安。自 5 年前 L3 和 Harris 合併以來，經過戰略收購和有針對性的剝離，我們已經建立了一家以國家安全為重點的公司。我們在所有領域都擁有符合國家安全優先事項和全球威脅環境的關鍵技術。反應靈敏的太空、靈活的通訊和火箭發動機對於未來的戰鬥至關重要。值得信賴的顛覆者策略和我們的產品組合為 L3Harris 奠定了基礎，使其能夠透過營收成長脫穎而出，同時提高業界領先的利潤率。

The global security environment continues to be one with heightened tensions and regional conflict. Domestically, Congress recently passed the 2024 Appropriations Bill, which included $844 billion for defense. Our programs are well funded, and we are positioned for profitable growth across much of the enterprise. Demand remains strong for our products and solutions as we started off the year with a 1.06x book-to-bill ratio.

全球安全環境仍然緊張、區域衝突加劇。在國內，國會最近通過了 2024 年撥款法案，其中包括 8,440 億美元用於國防。我們的專案資金充足，我們已做好了在企業大部分部門實現獲利成長的準備。我們的產品和解決方案的需求依然強勁，年初我們的訂單出貨比為 1.06 倍。

Internationally, we continue to see a strong and geographically diverse pipeline of opportunities. As an example, we were recently awarded a $150 million program to provide secure networking to Taiwan, displacing a long-time incumbent. This win is an integral part of our interoperability and supports the CJADC2 mission.

在國際上，我們繼續看到強大且地理多樣化的機會。例如，我們最近獲得了一項價值 1.5 億美元的項目，為台灣提供安全網絡，取代了長期任職的項目。這次勝利是我們互通性不可或缺的一部分，並支持 CJADC2 的使命。

Turning to tactical radios. We maintain a robust international pipeline of over $10 billion, including several FMS cases, primarily for Europe, totalling more than $1 billion. These opportunities, along with the continued strong backlog, give us confidence in an international tactical radio ramp in the second half of the year. Other international opportunities are supported by the DoD's supplemental funding, particularly in Ukraine.

轉向戰術無線電。我們擁有超過 100 億美元的強勁國際管道，其中包括幾個主要針對歐洲的 FMS 案例，總金額超過 10 億美元。這些機會，加上持續強勁的積壓，讓我們對今年下半年國際戰術無線電的發展充滿信心。其他國際機會得到國防部補充資金的支持，特別是在烏克蘭。

Earlier this week, the President signed a foreign aid package for Ukraine, Israel and Taiwan that includes $67 billion in funding for key defense programs. L3Harris has been a key supplier in Ukraine since the start of the conflict, and the need for this equipment remains strong.

本週早些時候，總統簽署了一項針對烏克蘭、以色列和台灣的對外援助計劃，其中包括關鍵國防項目的 670 億美元資金。自衝突爆發以來，L3Harris 一直是烏克蘭的主要供應商，並且對該設備的需求仍然強勁。

Our products are being used in theatre and exceeding expectations. The supplemental bill will provide our allies access to needed capabilities while at the same time support the U.S. defense industrial base, including small and midsized businesses. With the bill just recently passed, we will give you more information during the next earnings call on the incremental opportunities that it provides. Our workforce is proud to support our country and its allies around the globe.

我們的產品正在劇院中使用，並且超出了預期。補充法案將為我們的盟友提供所需的能力，同時支持美國國防工業基礎，包括中小企業。該法案最近剛通過，我們將在下次財報電話會議上向您提供更多有關其提供的增量機會的資訊。我們的員工很自豪能夠支持我們的國家及其全球盟友。

Turning to 2024. Our strong first quarter results reflect improvement across our diverse set of programs and products. We're executing on our contracts and improving cost and schedule performance, which helped drive net positive EACs for the second consecutive quarter. In our product businesses, we are improving quality and driving higher on-time deliveries.

展望 2024 年。我們正在執行合約並改善成本和進度績效，這有助於推動連續第二季實現淨正 EAC。在我們的產品業務中，我們正在提高品質並提高準時交貨率。

Turning to programs. I see development risk abating. This is not to say that we're out of the woods on all of our development programs, but the business is performing well and the disciplined bidding focus and programmatic rigor is starting to pay off. LHX NeXt cost savings are also starting to contribute, and we see that benefit accelerating in 2024 and 2025.

轉向程序。我看到發展風險正在減弱。這並不是說我們所有的開發計劃都已擺脫困境，但業務表現良好，嚴格的投標重點和計劃的嚴謹性已開始得到回報。 LHX NeXt 成本節約也開始發揮作用，我們預計這種效益將在 2024 年和 2025 年加速。

Ken will cover the financials in more detail, but I wanted to highlight that revenue was up double-digit year-over-year and operating income was up $150 million, resulting in margins expanding 80 basis points to 15.1%. Given the strong start to the year, we are raising our 2024 margin EPS and revenue guidance while reaffirming our free cash flow commitments.

Ken 將更詳細地介紹財務數據，但我想強調的是，收入同比增長了兩位數，營業收入增長了 1.5 億美元，導致利潤率擴大了 80 個基點，達到 15.1%。鑑於今年開局強勁，我們將提高 2024 年每股盈餘利潤率和收入指引，同時重申我們的自由現金流承諾。

At our Investor Day, we committed to $1 billion in LHX NeXt gross cost savings by 2026, focused on optimizing our workforce infrastructure and supply chain. The initiative will enable us to maintain our industry-leading margins while investing in technologies, tools and systems to support our customers and employees. We are accelerating our LHX NeXt activity in 2024. And earlier this month, we implemented a workforce reduction that will result in about 5% fewer people than when we began the year. With these reductions, we are focused on eliminating noncore processes, streamlining our organizational structure to maximize efficiency and rightsizing our physical footprint.

在投資者日，我們承諾在 2026 年 LHX NeXt 總成本節省 10 億美元，重點是優化我們的勞動力基礎設施和供應鏈。該計劃將使我們能夠保持行業領先的利潤率，同時投資技術、工具和系統來支持我們的客戶和員工。我們正在加快 2024 年的 LHX NeXt 活動。透過這些削減，我們專注於消除非核心流程，精簡我們的組織結構以最大限度地提高效率並調整我們的實體足跡。

To summarize. Our actions to date have put us ahead of our gross run rate savings target of $400 million by the end of the year. There's more work to do, and I am confident in our LHX NeXt leadership team and know that our collective efforts will yield the $1 billion savings target, as previously committed.

總結一下。迄今為止，我們採取的行動使我們提前實現了到年底 4 億美元的總運行率節省目標。還有更多工作要做，我對我們的 LHX NeXt 領導團隊充滿信心，並知道我們的集體努力將實現先前承諾的 10 億美元的節省目標。

Operationally, we continue to make progress within our Aerojet Rocketdyne segment. Since closing the acquisition, we've implemented processes and tools, which have helped reduce late deliveries by 20%. We've returned multiple programs back to green, and we continue to work with our customers and the DoD to accelerate and improve deliveries of these critical products and to support future growth.

在營運方面，我們繼續在 Aerojet Rocketdyne 業務領域取得進展。自完成收購以來，我們實施了流程和工具，幫助將延遲交付減少了 20%。我們已經使多個專案恢復綠色，並且我們將繼續與客戶和國防部合作，加速和改善這些關鍵產品的交付並支持未來的成長。

Aligned with that growth, it was recently announced that we were selected to be the primary propulsion provider for the Missile Defense Agency's next-generation interceptor. We anticipate this to be a multibillion-dollar opportunity over the life of the program.

與這種增長一致的是，最近宣布我們被選為導彈防禦局下一代攔截器的主要推進器提供者。我們預計這在該計劃的整個生命週期中將是一個價值數十億美元的機會。

Outside of operations, our finance team saw an opportunity to refinance some variable rate debt and replace it with fixed rate notes, saving 150 basis points. On capital deployment. We increased our dividend for the 23rd consecutive year, and we were able to get back into the share repurchase market in Q1, executing about half of the 2024 share repurchase target. We expect about $1 billion in gross proceeds from the previously announced divestitures, which will largely be used to reduce our leverage below our 3.0 target ratio.

在營運之外，我們的財務團隊看到了為一些可變利率債務再融資並用固定利率票據取代的機會，從而節省了 150 個基點。關於資本配置。我們連續第 23 年增加股息，並在第一季重返股票回購市場，執行了 2024 年股票回購目標的一半左右。我們預計先前宣布的資產剝離將帶來約 10 億美元的總收益，這將主要用於將我們的槓桿率降低到 3.0 的目標比率以下。

We remain focused on achieving the financial framework we laid out at Investor Day, and our first quarter results are a solid step forward towards delivering on our commitments.

我們仍然專注於實現我們在投資者日制定的財務框架，我們第一季的業績是朝著兌現我們的承諾邁出的堅實一步。

I'll now turn it over to Ken to provide additional perspective.

現在我將把它交給 Ken，以提供更多的觀點。

Thanks, Chris. Let's start with consolidated results for the quarter. We reported solid gains of $5.5 billion, including over $900 million for SDA tracking Tranche 2, nearly $150 million for U.S. Marine Corps and SOCOM handheld tactical radios, and an international award for a NATO country for missionized business jets that leverages our domestic ISR capabilities.

謝謝，克里斯。讓我們從本季的綜合業績開始。我們報告了55 億美元的穩健收益，其中包括SDA 追蹤第2 階段的超過9 億美元、美國海軍陸戰隊和SOCOM 手持戰術無線電的近1.5 億美元，以及北約國家因利用我們國內ISR 能力的任務型公務機而獲得的國際獎項。

Backlog remains at over $32 billion and supports margin expansion opportunity as we move forward given operational improvements and recent bidding discipline. Revenue grew 17% and 5% organically with growth in 3 of our 4 segments. Revenue at IMS reflects aircraft procurements in Q1 '23, resulting in lower sales in Q1 2024. As Chris mentioned, operating margins expanded to 15.1%, up 80 basis points from improved operational and program performance while also starting to see the benefits of LHX NeXt.

積壓訂單仍超過 320 億美元，鑑於營運改善和最近的投標紀律，隨著我們向前推進，這將支持利潤率擴張機會。隨著我們 4 個細分市場中 3 個細分市場的成長，收入有機成長了 17% 和 5%。 IMS 的收入反映了23 年第一季的飛機採購，導致2024 年第一季的銷售額下降。個基點，同時也開始看到LHX NeXt 的好處。

EPS grew 7% to $3.06 per share primarily from segment operating margin performance, partially offset by higher interest expense and lower pension income. On a pension-adjusted basis, first quarter EPS was up over 10%. Free cash was an outflow of $156 million as first quarter cash flows are typically the lowest of the year. As you will recall, we derisked 2024 cash taxes at the end of '23, and we remain confident in delivering free cash flow growth this year to $2.2 billion.

每股盈餘成長 7%，達到每股 3.06 美元，主要來自部門營業利潤率表現，但部分被較高的利息支出和較低的退休金收入所抵銷。經退休金調整後，第一季每股收益成長超過 10%。自由現金流出 1.56 億美元，因為第一季現金流通常是一年中最低的。您可能還記得，我們​​在 2023 年底消除了 2024 年現金稅的風險，並且我們仍然有信心今年實現自由現金流增長至 22 億美元。

I'd now like to turn to some segment details for the quarter. I highlighted earlier that revenue grew 17% from the acquisition of Aerojet Rocketdyne and organic growth in our SAS and CS segments as we continue to see strong demand for Space Systems and Tactical Communications businesses.

我現在想談談本季的一些部門細節。我之前強調過，由於我們繼續看到對太空系統和戰術通訊業務的強勁需求，收購 Aerojet Rocketdyne 以及我們的 SAS 和 CS 部門的有機成長使收入成長了 17%。

On margins. We drove operational improvements throughout each of our 4 segments. In SAS, we are making progress on development programs, including the recent launch of 5 L3Harris missile-tracking satellites as part of the SDA tracking Tranche 0 and HBTSS programs. With these space investments and risk largely behind us, we are beginning to realize the benefits of the new growth areas and maturing processes as we move forward. These efficiencies were a contributing factor in expanding SAS margins by 100 basis points in the quarter.

在邊緣。我們推動了 4 個細分市場的營運改善。在 SAS，我們的開發計畫正在取得進展，包括最近發射了 5 顆 L3Harris 飛彈追蹤衛星，作為 SDA 追蹤 Tranche 0 和 HBTSS 計畫的一部分。隨著這些空間投資和風險基本上已經過去，我們在前進的過程中開始意識到新的成長領域和成熟流程的好處。這些效率是本季 SAS 利潤率擴大 100 個基點的促成因素。

We made progress on program performance, resulting in a $75 million improvement in net EACs versus the first quarter of 2023. These were driven by improvements in all segments as our focus on operational rigor continues to pay dividends. This was most prominent in our CS segment, where the Integrated Vision System sector saw stronger results. The Tactical Data Link business continues to perform well as we realize synergy benefits of a consolidated business within our broadband communications sector. And in Tactical Communications, which drove solid results with an increased level of lower-margin DoD deliveries, we anticipate it will continue through the first half of the year.

我們在計劃績效方面取得了進展，與 2023 年第一季相比，淨 EAC 增加了 7500 萬美元。這在我們的 CS 領域最為突出，其中整合視覺系統領域取得了更強勁的業績。由於我們認識到寬頻通訊領域整合業務的協同效益，戰術數據鏈業務繼續表現良好。在戰術通訊領域，隨著國防部低利潤交付水準的提高，該領域取得了堅實的成果，我們預計這種情況將持續到今年上半年。

On capital allocation. Our plan remains the same. We will continue to focus on deleveraging the balance sheet before we look at opportunities to accelerate share repurchase beyond offsetting dilution. During the first quarter, we returned over $450 million to shareholders through dividends and share repurchases.

關於資本配置。我們的計劃保持不變。我們將繼續專注於資產負債表的去槓桿化，然後尋找加速股票回購以抵銷稀釋效果的機會。第一季度，我們透過股利和股票回購向股東返還超過 4.5 億美元。

Moving on to 2024 guidance. We are tightening our revenue range of $20.8 billion to $21.3 billion, while we reaffirm our free cash flow commitment of $2.2 billion. We are increasing total company margin guidance for the year to greater than 15% versus prior guidance of approximately 15%. This increase is most notable in SAS, where we now expect margins of approximately 12%, up from prior guidance of mid- to high 11%. Outside of operations, we are also updating our guidance for pension income. At the end of last year, we combined the acquired Aerojet Rocketdyne pension assets with our own. Our actuarial update is more positive than our new outlook, so we have updated those figures accordingly.

轉向 2024 年指導。我們將收入範圍收緊在 208 億美元至 213 億美元之間，同時重申 22 億美元的自由現金流承諾。我們將今年公司總利潤率指導值提高至 15% 以上，而先前的指導值約為 15%。這一成長在 SAS 中最為顯著，我們目前預計該公司的利潤率約為 12%，高於先前指引的 11% 的中高水準。除了營運之外，我們還更新了退休金收入指南。去年年底，我們將收購的 Aerojet Rocketdyne 退休金資產與我們自己的退休金資產合併。我們的精算更新比我們的新展望更加積極，因此我們相應地更新了這些數據。

Lastly on guidance. We are increasing our earnings guidance to a range of $12.70 to $13.05 per share, up from prior guidance of $12.40 to $12.80. From a modeling perspective, I would continue to point out that our CS segment will have a heavier DoD tactical mix in the first half that has less margin opportunity than international programs. Interest expense will also remain elevated in the second quarter. Both trends should reverse as we make our way into the second half of the year, along with a second half-weighted free cash flow profile. Overall, a good start to 2024, and we remain focused on executing to deliver on commitments to our customers and our shareholders.

最後關於指導。我們將每股獲利指引從先前的 12.40 美元至 12.80 美元上調至每股 12.70 美元至 13.05 美元。從建模的角度來看，我會繼續指出，我們的 CS 部門在上半年將有更重的國防部戰術組合，其利潤機會比國際項目少。第二季利息支出也將維持在較高水準。隨著下半年加權自由現金流狀況的出現，這兩種趨勢都應該會逆轉。整體而言，2024 年是一個良好的開端，我們將繼續專注於履行對客戶和股東的承諾。

With that, let's open the line for questions. Rob?

接下來，讓我們打開提問熱線。搶？

(Operator Instructions) And our first question is from Noah Poponak with Goldman Sachs.

（操作員說明）我們的第一個問題來自高盛的諾亞·波波納克（Noah Poponak）。

Chris, I wanted to ask, you have the trusted disruptor strategy, and you've talked about you've been trying to prime more and kind of growing the profile and the size in the sector and that's been working to a degree. Now that we're seeing, I think, some new entrants in the space, try the same thing and maybe have a little more success than they've had in the past, how do you think about that? I mean does that crowd that effort for you? Or is the pie big enough for multiple companies to do that? And then, Ken, just one clarification on the LHX NeXt. Will you -- will all of that be adjusted out of earnings? And is all of that cash or some of that noncash?

克里斯，我想問，你有值得信賴的顛覆者策略，你說過你一直在努力推動更多的事情，提高該行業的知名度和規模，並且這在一定程度上發揮了作用。我認為，現在我們看到該領域的一些新進入者嘗試了同樣的事情，並且可能比過去取得了更多的成功，您對此有何看法？我的意思是，這會為你帶來那麼多努力嗎？或者這塊蛋糕夠大，足以讓多家公司同時做這件事嗎？然後，Ken，請對 LHX NeXt 做一點澄清。你會——所有這些都從收入中進行調整嗎？這些是全部現金還是部分非現金？

All right. Noah, thanks for the question. Yes, I think our strategy is working, as I said, and the portfolio is well aligned. Relative to the pie between the supplemental and the fiscal year '24 budget, we're well over $900 billion. So I think there's plenty of DoD funding.

好的。諾亞，謝謝你的提問。是的，正如我所說，我認為我們的策略正在發揮作用，而且產品組合也非常協調。相對於補充預算和 24 財年預算之間的差距，我們遠遠超過 9,000 億美元。所以我認為國防部有充足的資金。

Relative to the new entrants, which sometimes I like to think of us as one since we're 5 years old, but I know where you're going with your question. We've taken the approach to team and work collaboratively with these new entrants at the highest level. So a lot of the new entrants tend to be a little more software-focused. I think the traditional, including ourselves, are a little more hardware-focused. So we're working collaboratively.

相對於新進者，有時我喜歡把我們視為一個整體，因為我們已經 5 歲了，但我知道你的問題想表達什麼。我們採取了團隊合作的方式，與這些新進者進行最高層級的合作。因此，許多新進入者往往更注重軟體。我認為傳統的，包括我們自己，都更注重硬體。所以我們正在合作。

There's been some recent awards in Q1 where we are actually a subcontractor to a new entrant that want a significant program. And sometimes, they work under us. So I would say we're embracing them and working collaboratively with them. And of course, I've talked about our Shield investments in the past and working with those venture capital companies who are much smaller but also have great technology. So I think it's working, and that's been our approach. Ken?

第一季最近獲得了一些獎項，我們實際上是一家想要重要專案的新進業者的分包商。有時，他們在我們手下工作。所以我想說我們正在擁抱他們並與他們合作。當然，我過去也談到過我們的盾牌投資，以及與那些規模小得多但技術精湛的創投公司的合作。所以我認為這是有效的，這就是我們的方法。肯？

Yes. No, from an LHX NeXt perspective, we are adjusting out the implementation costs of the program and certainly then trying to leverage the benefits of LHX NeXt in the businesses. We talked about what that target looked like for 2024, and the businesses are off working hard to operationalize that and reflect that benefit in their performance. And I think you're starting to see that here in the first quarter. And then from a cash perspective, we're primarily just adjusting out the cash severance costs related to the program. And you'll see all that reflected in the schedules to the earnings release.

是的。不，從 LHX NeXt 的角度來看，我們正在調整該計劃的實施成本，然後當然會嘗試在業務中利用 LHX NeXt 的優勢。我們討論了 2024 年的目標，各企業正在努力實施該目標，並在業績中體現這一效益。我認為你在第一季就開始看到這一點。然後從現金角度來看，我們主要只是調整與該計劃相關的現金遣散費。您將看到收益發佈時間表中反映的所有內容。

Yes. Look, we've gotten the feedback relative to our disclosures. So under Ken's leadership, we're trying to cut back on these onetime non-GAAP adjustments and be much more transparent. So I think it will be all laid out clear for you to analyze.

是的。看，我們已經收到了與我們的揭露相關的回饋。因此，在肯的領導下，我們正在努力減少這些一次性的非公認會計準則調整，並提高透明度。所以我想這一切都已經擺得很清楚了，供你分析。

Our next question comes from the line of Pete Skibitski with Alembic Global.

我們的下一個問題來自 Alembic Global 的 Pete Skibitski。

Chris, how does the win on NGI with your partner, how does that impact your outlook for Aerojet? And also considering as you mentioned, the fiscal '24 supplementals, do you get more bullish about your ability to hit that $26 billion target -- $23 billion, I should say?

Chris，與您的合作夥伴在 NGI 上的勝利對您對 Aerojet 的前景有何影響？另外，考慮到您提到的 24 財年補充文件，您是否對實現 260 億美元目標（我應該說 230 億美元）的能力更加樂觀？

$23 billion and $26 billion? Yes, absolutely. No, NGI, which is designed to protect the U.S. against evolving long-range ballistic missile threats, is a huge win for the OEM. We were a merchant supplier, as I've talked about before, on both teams. So this definitely gives us a tailwind.

230億美元和260億美元？是的，絕對是。不，NGI 旨在保護美國免受不斷演變的遠程彈道飛彈威脅，這對 OEM 來說是一個巨大的勝利。正如我之前談到的，我們在兩個團隊中都是商業供應商。所以這肯定為我們帶來了順風。

When we looked -- I went back and looked at our deal model, this really was not factored in when we made the acquisition of Aerojet Rocketdyne. So from that perspective, it's going to be accretive, at least, to our own internal goals. Aerojet Rocketdyne is a great technology, especially with the large solid rocket motors. But the quantities are still to be determined. It's going to start as a development program.

當我們回顧我們的交易模型時，我們在收購 Aerojet Rocketdyne 時確實沒有考慮到這一點。因此，從這個角度來看，這至少會促進我們自己的內部目標。 Aerojet Rocketdyne 是一項很棒的技術，尤其是大型固體火箭引擎。但數量仍有待確定。它將作為一個開發計劃開始。

We're in discussions, obviously, with the Prime. We haven't actually been awarded and signed a contract yet. But as you saw in the media, we were selected as a propulsion provider. So it's very exciting. And again, I think it will be a slower ramp as you would imagine. But '25-'26 time frame, I think we'll start to see the revenue hit our financials.

顯然，我們正在與總理進行討論。我們實際上還沒有被授予並簽署合約。但正如您在媒體上看到的那樣，我們被選為推進提供者。所以這非常令人興奮。再說一次，我認為正如你想像的那樣，這將是一個更慢的斜坡。但從 25 年到 26 年的時間範圍內，我認為我們將開始看到收入對我們的財務狀況造成影響。

The next question comes from the line of Kristine Liwag with Morgan Stanley.

下一個問題來自摩根士丹利的克里斯汀‧利瓦格 (Kristine Liwag)。

Since you formed a new Business Review Committee back in December, can you give us any color on how progress has been? What are the key areas that have come under focus? And how this compares to your LHX NeXt pipe initiatives as well? Do they overlap?

自從您在 12 月組建了新的業務審查委員會以來，您能給我們介紹一下進展嗎？哪些關鍵領域受到關注？這與您的 LHX NeXt 管道計劃相比如何？它們重疊嗎？

Yes, Kristine, it's Chris. We did set up the ad hoc Business Review Committee of the Board comprised of 4 Board members, as you saw. We've been meeting a couple of times a month for a few hours each. And we brought through a variety of topics that have been laid out in the charter that we filed in the 8-K.

是的，克里斯汀，是克里斯。正如您所看到的，我們確實設立了由 4 位董事會成員組成的董事會特設業務審查委員會。我們每個月會見幾次面，每次幾個小時。我們討論了我們在 8-K 中提交的章程中列出的各種主題。

I would say from anything from operations, we've looked at the programs, they've reviewed the program review process, the bidding process, the LHX NeXt strategy and goals. They've reviewed the portfolio, our capital deployment strategy. And we're just kind of checking through the items in the charter. Some topics are one meeting, some topics are 2 meetings. I feel like we're about halfway through the process, maybe a little more.

我想說的是，從營運的各個方面來看，我們已經審查了這些計劃，他們也審查了計劃審查流程、投標流程、LHX NeXt 策略和目標。他們審查了我們的投資組合和資本部署策略。我們只是檢查一下章程中的項目。有些主題是 1 次會議，有些主題是 2 次會議。我覺得我們已經完成了一半的過程，也許還多了一點。

And then probably middle of the year or so, the BRC will report out to our Board of Directors with observations and recommendations and findings. So I'd say it's been a very collaborative process. I think it's been good for the company, and it's a good way to orient some new Board members quickly about the company and what we're trying to accomplish. So I'd say all is going well to this point. So more to come.

然後可能在年中左右，BRC 將向我們的董事會報告意見、建議和調查結果。所以我想說這是一個非常協作的過程。我認為這對公司有好處，也是讓一些新董事會成員快速了解公司和我們正在努力實現的目標的好方法。所以我想說到目前為止一切都很順利。未來還會有更多。

The next question is from the line of Gavin Parsons with UBS.

下一個問題來自瑞銀集團 (UBS) 的加文‧帕森斯 (Gavin Parsons)。

Wanted to ask on the nearly 100 basis points of year-over-year margin expansion. If there's a way to parse that out between the drivers? I know a lot of them go hand in hand, but how much of that is NeXt versus EACs, repricing for inflation, mix and so on? Just if there's a way to think about what the drivers were in buckets.

想詢問利潤率年增近100個基點。是否有辦法在驅動程式之間解析它？我知道其中很多都是齊頭並進的，但其中有多少是 NeXt 與 EAC、通貨膨脹重新定價、混合等方面的？如果有一種方法可以思考司機在桶子裡裝的是什麼。

Yes. Gavin, it's Ken. I would say that we're seeing improvement in the kind of the high-level buckets across the board. I would say we're seeing some mix benefits in terms of, as Chris mentioned, kind of moving out of some of the development phase of contracts and into some of the more mature phase.

是的。加文，這是肯。我想說的是，我們看到了高層的全面改進。我想說，正如克里斯所提到的，我們正在看到一些混合效益，即從合約的某些開發階段進入一些更成熟的階段。

From a mix perspective, we are seeing some of the areas of the business that are a higher mix of cost-plus growing. So as an example, space within SAS was a strong grower and has a bit of a higher cost-plus mix. So that kind of works the other way a little bit.

從組合的角度來看，我們看到一些業務領域的成本加成成長程度更高。舉個例子，SAS 內部的空間成長強勁，並且具有較高的成本加成組合。所以這種方式有點相反。

But we are seeing some of the disciplined bidding start to come through in terms of confidence in our ability to perform as well as price discipline and then just performing on our programs and certainly LHX NeXt contributing. And I wouldn't want to put numbers on each of the individual buckets. But largely, as we think about kind of how you bridge from last year to this year for the most part, each of those major buckets are contributing.

但我們看到一些有紀律的投標開始出現，因為我們對我們的執行能力和價格紀律充滿信心，然後只是執行我們的計劃，當然還有 LHX NeXt 的貢獻。我不想在每個單獨的桶子上加上數字。但很大程度上，當我們考慮如何從去年到今年的大部分時間過渡時，每個主要方面都在做出貢獻。

The next question is from the line of Peter Arment with Baird.

下一個問題來自 Peter Arment 和 Baird 的對話。

Chris and Ken, you've made a lot of progress already on -- starting on LHX NeXt. And I think about 1/3 of it is tied to your gross saving targets, is tied to labor reductions. You recently made an announcement there. If you could just give us a little more color on how you think things will evolve on what's optimal for LHX and then in related to all the actions that you've been taking. Also on portfolio shaping, just in terms of any future kind of thoughts that you've had on further shaping the portfolio.

Chris 和 Ken，從 LHX NeXt 開始，你們已經取得了許多進展。我認為其中約 1/3 與總儲蓄目標、減少勞動力有關。你最近在那裡發布了一個公告。如果您能給我們更多的信息，說明您認為事情將如何發展，對 LHX 來說是最佳的，然後與您一直在採取的所有行動相關。還有關於投資組合塑造，就您對進一步塑造投資組合的任何未來想法而言。

Yes. No. Thanks, Peter. So yes, the workforce is probably the quick hitter for what we need to do for LHX NeXt. And as you said, that got us about 1/3 of the way there. The next part is going to be a little more timely and a little more complicated. And the facilities, I think, are going to be a key part of it.

是的。不，謝謝，彼得。所以，是的，勞動力可能是我們為 LHX NeXt 所做的事情的快速推動者。正如您所說，我們已經完成了大約 1/3。下一部分將會更加及時，也更加複雜。我認為，設施將是其中的關鍵部分。

Looking at the infrastructure. We have a goal of getting from 275 facilities down to 200. We have about 7 or 8 that we've identified that we'll start the process here in the second quarter. So that will have a little bit of cost to move and relocate and consolidate, but these would be smaller entities that the business case is better to consolidate into a larger facility.

看看基礎設施。我們的目標是從 275 個設施減少到 200 個。因此，行動、重新安置和整合會產生一點成本，但這些實體將是較小的實體，業務案例最好將其整合到更大的設施中。

We're continuing to reduce our ERP systems. We've invested in some technology called the unified data layer to get us access by laying on top of all of our systems to be able to get data more quickly. And then, of course, we talked about the initiatives in IT. Ultimately getting, believe it or not, from 85 data centers down to 2. So that's the infrastructure. That's going to take some time, and that's why it's going to lead into 2025 and 2026.

我們正在繼續減少我們的 ERP 系統。我們投資了一些稱為統一資料層的技術，讓我們能夠透過置於所有系統之上來更快地獲取資料。然後，當然，我們討論了 IT 領域的舉措。不管你信不信，最終資料中心從 85 個減少到 2 個。這需要一些時間，因此將持續到 2025 年和 2026 年。

We've already kicked off with the indirect procurement. We've effectively outsourced that, taking advantage of the buying power of that enterprise. So that's both a combination of price and quantity. So we're tracking to that. And then ultimately, we called it the supply chain, but it's really beyond the supply chain. It's the integration of all the functions that are critical to our products with the overall goal of reducing the cost of our products. So there's an engineering component, there's clearly a supply chain component, contracting and such. So that process is ongoing, but that's where we're going to get the next $600 million or so of savings.

我們已經開始了間接採購。我們利用該企業的購買力，有效地將其外包。所以這是價格和數量的結合。所以我們正在追蹤這一點。最終，我們將其稱為供應鏈，但它實際上超出了供應鏈。它是對我們產品至關重要的所有功能的集成，總體目標是降低我們產品的成本。因此，有一個工程組件，顯然有一個供應鏈組件、承包等。因此，這個過程仍在繼續，但這就是我們將節省接下來 6 億美元左右的資金的地方。

To your question on portfolio shaping. As you know, we have 2 that are in process. I'll just give you an update there. The antenna business, which we announced, a couple of hundred million dollars that's tracking to close the middle of this year, second quarter to be specific. And then our commercial aviation is going to be more in the second half of the year. That'll give us the $1 billion of proceeds.

關於你關於投資組合塑造的問題。如您所知，我們有兩個正在進行中。我會在那裡向您提供最新情況。我們宣布的天線業務價值數億美元，預計今年年中（具體來說是第二季）完成。然後我們的商業航空將在今年下半年變得更多。這將為我們帶來 10 億美元的收益。

Relative to the rest of the portfolio, we're just taking a hard look at that. We're going to be able to hit our leverage ratio based on these 2. And to the extent we can get a good price for what we've identified as noncore, we'll do it. But too many of the offers are coming in low, and people think we're desperate to sell, and I can assure you, we're not. So we need to get better valuations before we proceed on other transactions. Otherwise, we'll keep and run the business and go forward from there.

相對於投資組合的其他部分，我們只是認真研究一下。我們將能夠根據這兩個因素達到我們的槓桿率。但太多的報價都很低，人們認為我們急於出售，但我可以向你保證，我們不是。因此，在進行其他交易之前，我們需要獲得更好的估值。否則，我們將保留並經營業務，並從那裡繼續前進。

Our next question comes from the line of Jason Gursky with Citigroup.

我們的下一個問題來自花旗集團的 Jason Gursky。

Chris, would you spend a few minutes kind of walking around the Communications business? And maybe give us some updated thoughts since you last reported out on the funding environment. We've had fiscal '24 that got passed; '25, they got introduced. We've had some supplementals as well. And just kind of give us your take on how this plays out over the next couple of years and maybe offer up some comments on Link 16 and the expected refresh of all that hardware and when that kind of hits. Just what have we learned here over the last couple of 3 months on the Communications business?

克里斯，您願意花幾分鐘在通訊業務上走一走嗎？也許可以給我們一些自您上次報告融資環境以來的最新想法。我們已經通過了 24 財年法案； '25，他們被介紹了。我們也有一些補充。請告訴我們您對未來幾年的發展情況的看法，也許可以對 Link 16 以及所有硬體的預期更新以及何時出現這種情況提供一些評論。過去三個月我們在通訊業務上學到了什麼？

Yes. Thanks, Jason. So let me start with Link 16. Again, we have a footprint on 20,000 platforms, and then there's variations of Link 16 and other data links that we've developed that are going to be able to go into those platforms or footprint. So I think we're starting to see that. Our ultimate goal was to get Link 16 into space.

是的。謝謝，傑森。因此，讓我從 Link 16 開始。所以我想我們已經開始看到這一點了。我們的最終目標是將 Link 16 送入太空。

I can tell you for the SDA transport opportunities that are coming up, our team is going to be a merchant supplier. And as of now, it looks like we're going to be on all the teams providing Link 16-type capability and space. So we're excited about that.

我可以告訴您，對於即將到來的 SDA 運輸機會，我們的團隊將成為商業供應商。截至目前，我們似乎將加入所有提供 Link 16 型能力和空間的團隊。所以我們對此感到興奮。

Relative to the Communication Systems, I want to reiterate the opportunity that we won in Taiwan, $150 million for networking, which was a cross-company win led by our Communications segment. So that's a big deal for us. And as I mentioned, it really supports the CJADC2 initiative that our country has been talking about for quite some time.

相對於通訊系統，我想重申我們在台灣贏得的機會，即 1.5 億美元的網路業務，這是由我們的通訊部門主導的跨公司勝利。所以這對我們來說很重要。正如我所提到的，它確實支持我國已經談論了一段時間的 CJADC2 倡議。

Relative to the radios, I mean, this is just absolute good news. I know we've been talking about modernization, not only here in the U.S. but globally. And as I mentioned, we have 6 FMS cases that are currently going through the process, through the system in Europe. The backlog is going to be record backlog. Even in Q1, we were able to get the marine and the SOCOM radio orders booked.

我的意思是，相對於收音機來說，這絕對是個好消息。我知道我們一直在談論現代化，不僅在美國，而且在全球範圍內。正如我所提到的，我們目前有 6 個 FMS 案例正在透過歐洲的系統進行處理。積壓將是記錄積壓。即使在第一季度，我們也能夠預訂海軍陸戰隊和特種作戰司令部無線電訂單。

And there's a certain capacity and ability to deliver out of our Rochester facility, And it really comes, to be honest, how quickly we can get these supplemental funds under contract and approved and delivered. And with our trusted disruptor strategy, our business model actually allows us to potentially deliver radios within a week of getting the contract, depending on the configuration in the country.

我們的羅徹斯特工廠有一定的產能和能力，說實話，我們能夠多快地根據合約獲得這些補充資金並獲得批准和交付。透過我們值得信賴的顛覆者策略，我們的商業模式實際上使我們能夠在獲得合約後一周內交付無線電，具體取決於該國家/地區的配置。

So the way I look at it, we have high confidence in the guidance we've given. We clearly have the second half ramp up. But which countries will get which radios will really be a factor of when the funding turns into a contract. And those that don't get signed and delivered in 2024 will clearly be 2025. So just feel better about the business in a huge way. And again, the products, our in-theatre being tested daily, and they're working and exceeding expectation. And the whole focus on resilient communications is paying off.

因此，在我看來，我們對所提供的指導充滿信心。我們顯然已經在下半年加速了。但哪些國家將獲得哪些收音機將真正成為資金何時轉化為合約的因素。那些沒有在 2024 年簽署和交付的項目顯然將在 2025 年完成。再說一次，我們的產品、我們的劇院每天都在進行測試，它們正在工作並且超出了預期。對彈性溝通的整體關注正在得到回報。

Our next question is from the line of Ken Herbert with RBC Capital Markets.

我們的下一個問題來自加拿大皇家銀行資本市場部的肯‧赫伯特 (Ken Herbert)。

Chris and Ken, maybe just a 2-part question. First, on the Communications segment. You, obviously, did 24% margins in the first quarter. The guidance implies some slight ramp in the second half, but it clearly sounds like with international mix and maybe a little bit of a depressed second quarter, there could be some upside to that. Can you just talk about if there's anything onetime in the segment in the first quarter? And any puts and takes there we should think about as we think about the second quarter?

克里斯和肯，也許只是一個由兩個部分組成的問題。首先是通訊領域。顯然，你們第一季的利潤率為 24%。該指導意味著下半年會出現一些小幅增長，但顯然聽起來像國際混合，也許第二季度有點低迷，這可能會有一些好處。您能否簡單談談第一季該細分市場是否有一些一次性的事情？當我們思考第二季時，我們應該考慮哪些看跌期權和看跌期權？

And then just -- or the second half of the year. And then just at a higher level, obviously, international seems to be a growing business, maybe faster than the U.S. Can you just talk about longer term, the margin impact of the international opportunity within the CS segment but then more broadly?

然後就是──或者說今年下半年。然後，在更高的層面上，顯然，國際業務似乎是一個不斷增長的業務，可能比美國增長得更快。廣泛？

Sure. I'll take that one. So the first part of the question on CS margins. We delivered 24% margin in the first quarter, which I think was great performance by the CS team. And that does reflect a higher domestic mix than we saw late in '23 as well as a higher domestic mix than we expect to see in the second half of '24.

當然。我會接受那個。問題的第一部分是關於 CS 利潤率的。第一季我們實現了 24% 的利潤率，我認為 CS 團隊的表現非常出色。這確實反映出比我們在 23 年末看到的更高的國內組合，以及比我們預期在 24 年下半年看到的更高的國內組合。

We did guide low to mid 24% margin for CS for '24. And I think what we're trying to communicate is that we expect the domestic mix to be kind of consistent in the second quarter with the first quarter. Solid performance could yield similar results. But in driving that margin up to the low to mid 24% for the full year, we are looking at some international opportunities to realize some additional margin benefit as we think about that kind of full year impact. And I think -- so that's what we're trying to communicate on CS margins from a Q1 and full year '24 perspective.

我們確實將 24 年的 CS 利潤率指引為低至中 24%。我認為我們想要傳達的是，我們預計第二季的國內市場結構將與第一季保持一致。紮實的​​表現可以產生類似的結果。但為了將全年利潤率提高到 24% 的中低水平，我們正在尋找一些國際機會，以實現一些額外的利潤率效益，同時考慮到全年的影響。我認為，這就是我們試圖從第一季和 24 年全年的角度就客戶服務利潤率進行溝通的內容。

And then from the international side. Clearly, as Chris talked about in his prepared remarks and in response to Jason's question, a lot of international opportunity at certainly the CS segment. But as we look beyond that as well, we see international opportunity, in particular at IMS and certainly, the other segments have international components to their business. We don't necessarily track some of the ultimate end customer quite as closely in some of those. But the international margins tend to be stronger across the board.

然後從國際方面來看。顯然，正如 Chris 在他準備好的發言中以及在回答 Jason 的問題時談到的那樣，CS 領域確實有很多國際機會。但當我們超越這一點時，我們看到了國際機會，特別是在 IMS，當然，其他細分市場的業務也有國際組成部分。我們不一定會在其中一些方面非常密切地追蹤某些最終客戶。但國際利潤率整體上往往更高。

In my remarks, I talked about an ISR program by a NATO country. We would expect that would have strong margins as we, again, think about how we make those deliveries to our international allies and our country's partners, and recognizing the different risks and channels that come with those programs that should you perform, and we expect to be able to perform, will generate higher margins for the business. So we do see that continuing to move into the business.

我在演講中談到了北約國家的情監偵計劃。我們預計這將有很大的利潤，因為我們再次考慮如何向我們的國際盟友和我國的合作夥伴交付這些物資，並認識到您應該執行的這些計劃所帶來的不同風險和管道，我們希望能夠執行，將為企業帶來更高的利潤。因此，我們確實看到人們繼續進入該業務。

I will comment, CS clearly is the kind of the quickest-turn segment, the shorter-cycle segment in terms of ability to take international orders and turn it into sales. So just an example, that ISR program we talked about will be a multiyear program, and we'll see that kind of move into the revenue over a bit more time. But with that, I'll turn it to Chris for a few more comments.

我想說的是，就接受國際訂單並將其轉化為銷售的能力而言，CS顯然是周轉最快、週期較短的細分市場。舉個例子，我們談到的 ISR 計劃將是一個多年期計劃，我們將在一段時間內看到這種收入的變化。但接下來，我會將其轉給克里斯，以徵求更多意見。

Yes, Ken. Just as a reminder, we're in the low 20% of our revenue comes from international customers, and part of our margin improvement strategy is to grow our international business. And just as a reminder, about half of that is foreign military sales, which has margins consistent with the DoD work for the most part, and the other half is direct commercial sale. And that's where we tend to have the higher margins. But as Ken said, more international is synonymous with higher margins, and that's where our focus is. These supplementals are a big step in the right direction.

是的，肯。提醒一下，我們的收入只有 20% 來自國際客戶，而我們的利潤率改善策略的一部分就是發展我們的國際業務。提醒一下，其中大約一半是對外軍售，其利潤大部分與國防部的工作一致，另一半是直接商業銷售。這就是我們往往能獲得更高利潤的地方。但正如肯所說，更國際化意味著更高的利潤，這就是我們的重點所在。這些補充資料是朝著正確方向邁出的一大步。

Our next question is from the line of Gautam Khanna with TD Cowen.

我們的下一個問題來自 Gautam Khanna 和 TD Cowen。

Can you hear me, guys?

夥計們，你們聽得到我說話嗎？

Yes, we can.

是的，我們可以。

Terrific. I just had 2 quick questions. First, I was wondering if you could give us more granularity on the RF tactical backlog book-to-build trends. You mentioned something on SOCOM. And if you could just talk a little bit about overall mix this year and perhaps next in that business? And then I had a question on IMS EACs and if those have turned positive? And if not, what sort of still holding that segment back with respect to kind of the profit accruals?

了不起。我只有兩個簡單的問題。首先，我想知道您是否能為我們提供有關 RF 戰術積壓訂單構建趨勢的更詳細資訊。你提到了特種作戰司令部的一些事。您是否可以談談今年以及明年該業務的整體組合？然後我有一個關於 IMS EAC 的問題，這些問題是否已經轉好？如果不是，那麼在應計利潤方面，什麼樣的因素仍然阻礙了該細分市場的發展？

Yes. From a tactical radio perspective, I would say we're -- had a solid bookings order in the quarter. We've got a very solid backlog for that business at this point in time, looking at a multibillion dollar backlog in that business. And for a pretty quick turn, our shortest-cycle business, that is a very robust backlog at this point in time. So we're excited about the opportunities.

是的。從戰術無線電的角度來看，我想說我們在本季有穩定的預訂訂單。目前，我們該業務的積壓訂單數量非常多，有數十億美元的積壓訂單。對於一個相當快的轉變，我們最短週期的業務，目前積壓的訂單非常強勁。所以我們對這些機會感到興奮。

I would say the Marine Corps and SOCOM opportunity is a great one as we continue to expand that partnership with that very important customer for the business. We were also down-selected for the Air Force Next Gen Survival Radio, which is a great opportunity for that business to expand into a new market as well.

我想說，海軍陸戰隊和特種作戰司令部的機會是一個很好的機會，因為我們將繼續擴大與這個非常重要的業務客戶的合作關係。我們也被拒絕參與空軍下一代生存無線電，這對該業務來說也是擴展到新市場的絕佳機會。

And then clearly, the supplemental as Chris mentioned, and the international opportunities, so I think a huge opportunity in terms of really strong backlog at the Tactical Communications business. And as Chris mentioned, a great business model that enables them to kind of turn that factory pretty quick to deliver the radios to appropriate customers as needed based on critical demand and critical needs on the battlefield.

然後很明顯，正如克里斯所提到的補充，以及國際機會，所以我認為在戰術通訊業務的真正強大的積壓方面這是一個巨大的機會。正如克里斯所提到的，一個偉大的商業模式使他們能夠很快地轉變工廠，根據關鍵需求和戰場上的關鍵需求，根據需要將無線電交付給適當的客戶。

At IMS, in terms of -- I think the question was about EACs. And I would say that as we talked about in the prepared remarks, every segment performed better from a net EAC perspective. IMS was a part of that, significantly better performance than Q1 '23. IMS is our longest-cycle business, and it takes a while to kind of turn those programs and the operations and get everything working through the system. I think IMS had great performance in the first quarter at 11.4%, working towards the guidance that we put out there for IMS for full year '24.

在 IMS，我認為問題是關於 EAC 的。我想說，正如我們在準備好的演講中所討論的那樣，從淨 EAC 角度來看，每個細分市場都表現更好。 IMS 是其中的一部分，其效能明顯優於 23 年第一季。 IMS 是我們週期最長的業務，需要一段時間才能轉變這些程式和營運並使一切透過系統正常運作。我認為 IMS 第一季的表現非常出色，成長率為 11.4%，正在努力實現我們為 IMS 24 年全年制定的指導方針。

And strong performance on their programs, I think really starting to stabilize both the operations in terms of rates, realizing some of the benefits of LHX NeXt as well as all the hard work that the sectors within IMS segment are doing to deliver on their programs. So we're really excited about kind of the stabilization and the continued strong performance as we look out into the remaining quarters of '24.

我認為他們的計劃表現強勁，我認為真正開始在費率方面穩定運營，實現 LHX NeXt 的一些好處以及 IMS 部門內的部門為實現其計劃所做的所有努力。因此，當我們展望 24 年剩餘的季度時，我們對這種穩定和持續強勁的表現感到非常興奮。

Our next question is from the line of Richard Safran with Seaport Research Partners.

我們的下一個問題來自 Seaport Research Partners 的 Richard Safran。

Chris, Ken, Mark, I wanted to ask 2 things about Stand-in Attack. It was an opportunity for to be prime. And correct me if I'm wrong, I think you decided to no bid. We're hearing a lot more about too much risk being pushed to industry. One of your competitors just talked about adjusting for that in their bids. So I was curious about what your thinking is about bidding going forward. And what's the next opportunity for you to be prime?

克里斯、肯、馬克，我想問關於替身攻擊的兩件事。這是一個成為總理的機會。如果我錯了，請糾正我，我想你決定不出價。我們聽到更多關於將太多風險推給工業的說法。您的一位競爭對手剛剛談到在他們的出價中對此進行調整。所以我很好奇你對未來的競標有何想法。您的下一個成為總理的機會是什麼？

Yes. Thanks, Richard. I think I've been pretty consistent on the -- on our bidding strategy. We talked about the bidding discipline. It's been referenced a few times. There's 2 things going on there. A lot of people in this industry sending an inordinate amount of time and money trying to focus on a price-to-win strategy and hiring outside consultants. And we kind of find that interesting but irrelevant, so we've taken a different approach.

是的。謝謝，理查。我認為我在我們的出價策略上一直非常一致。我們討論了投標紀律。已經被引用過幾次了。那裡發生了兩件事。這個行業的許多人投入了大量的時間和金錢，試圖專注於價格製勝策略並聘請外部顧問。我們覺得這很有趣但無關緊要，所以我們採取了不同的方法。

What is our labor? What is our supply chain? What is overhead? And what's a reasonable fee? We add that up, and that's the bid we put in. And if it's deemed too high, we move on. And if it's appropriate based on our past performance and capabilities, we book the order. So that's a little bit of a change here over the last year or so.

我們的勞動是什麼？我們的供應鏈是什麼？什麼是開銷？合理的費用是多少？我們將其相加，這就是我們提出的出價。如果根據我們過去的表現和能力合適，我們就會預訂訂單。所以這是過去一年左右的一些變化。

But more importantly is bidding the right types of contracts. And I think in Stand-in Attack weapon, it was a fixed-price contract for development, again, with fixed priced options. And we will not bid any programs where we are asked to give a fixed price on an option for a product that's yet to be developed. It's just plain and simple common sense. I think there are some people in the department that agree with me, and maybe there are others that don't. But you see what happens. In most of these negative EACs across the industry, when you do a root cause corrective action, more times than not, it's a bad contracting vehicle. Nobody is perfect, and there are performance issues, but you cannot perform of a bad contract. And that's what we're trying to do, I guess, on next opportunities to prime.

但更重要的是投標正確類型的合約。我認為在替代攻擊武器中，它是一份固定價格的開發合同，同樣具有固定價格的選項。我們不會投標任何要求我們對尚未開發的產品的選項給出固定價格的項目。這只是簡單明了的常識。我認為部門裡有些人同意我的觀點，也許還有其他人不同意。但你會看到發生了什麼。在整個行業的大多數負面 EAC 中，當您採取根本原因糾正措施時，很多時候，它都是一個糟糕的承包工具。沒有人是完美的，並且有績效問題，但你不能履行糟糕的合約。我想，這就是我們在下一次啟動機會時正在努力做的事情。

I mean we have -- and again, we take an approach where is the best approach, either be a merchant supplier or a subcontractor or a prime based on our capabilities and what the customer needs.

我的意思是，我們再次採取了一種最佳方法，要么是商業供應商，要么是分包商，要么是基於我們的能力和客戶需求的主要供應商。

There was an Armed Overwatch. We've been successful there. We just got the delivery order 3. So we're up to 25 aircraft already. HADES, which is a big opportunity for the Army. It's the High Accuracy Detection and Exploitation System. It's basically up to 14 aircraft. We're bidding a global 6,500. This aligns clearly with our ISR and other capabilities. So that would be a big win for us. We have some maritime, undersea ranges where we've primed, and there's some follow-on opportunities, a bunch in classified space. I usually get a space question for now, but I'll just plug that we had no satellites in orbit at the date of merger.

有一個武裝守望者。我們在那裡取得了成功。我們剛收到第 3 份交貨訂單。 HADES，這對陸軍來說是一個巨大的機會。這是高精度檢測和利用系統。基本上最多有14架飛機。我們的全球出價是 6,500。這顯然與我們的情監偵和其他能力一致。所以這對我們來說將是一個巨大的勝利。我們已經做好了一些海上、海底範圍的準備，還有一些後續機會，其中有許多是在機密空間。我現在通常會收到一個太空問題，但我會補充說，在合併之日我們在軌道上沒有衛星。

We launched 6 in the quarter, and we've been awarded 60 SATS as prime, and there's more in the pipeline. So those come to mind just off the top of my head. And of course, we have a lot of opportunities at Aerojet Rocketdyne. And those are follow-on, but those are not prime programs. So I guess, SDA. I was thinking SDA Tranche 3 for tracking. As you know, we're the only company to have been awarded Tranche 0, 1 and 2 for a total of 38 satellites. We should get an RFP in the fourth quarter for Tranche 3, and that could be another 18 satellites. So hope that helps, Richard.

我們在本季推出了 6 個產品，並已獲得 60 個 SATS 作為主要產品，還有更多產品正在醞釀中。所以這些就從我的腦海中浮現出來。當然，我們在 Aerojet Rocketdyne 擁有很多機會。這些是後續計劃，但不是主要計劃。所以我猜，SDA。我正在考慮使用 SDA Tranche 3 進行追蹤。如您所知，我們是唯一一家獲得第 0、1 和 2 批衛星總計 38 顆衛星的公司。我們應該會在第四季收到第 3 階段的 RFP，這可能是另外 18 顆衛星。希望這會有所幫助，理查德。

Our next question is from the line of David Strauss with Barclays.

我們的下一個問題來自大衛·施特勞斯和巴克萊銀行。

I wanted to ask about the performance in the quarter. I think well above your full year guidance. So how are you thinking about that? And then if you could just touch on 2 programs out there in the press a lot where you're a supplier, F-35 Tier 3. And then how you're (inaudible) those.

我想問一下這個季度的業績。我認為遠高於您的全年指導。那麼你對此有何看法？然後，如果您能在媒體上經常提及您作為供應商的 2 個計劃，即 F-35 Tier 3。

Yes. Thanks for the question, David. Appreciate it. I think you were breaking up a little bit, but I believe the question was about SAS performance in the quarter. And solid performance by the SAS team in the first quarter, 12.3% margin rate. And they are performing well on their programs. We talked a little bit about some of the drivers there, including maturing some of the development programs. And we also talked a little bit about the mix. And as space continues to grow, that's a little more cost-plus mix. That could temper a little bit of the margins in the last 3 quarters of the year.

是的。謝謝你的提問，大衛。欣賞它。我認為你們有點分手了，但我相信問題是關於 SAS 本季的業績。 SAS 團隊第一季表現穩健，利潤率為 12.3%。他們的計劃表現良好。我們討論了一些驅動因素，包括成熟的一些開發計劃。我們也討論了一些關於混合的問題。隨著空間的不斷成長，成本加成的組合也會增加一些。這可能會稍微影響今年最後三個季度的利潤率。

But we did update guidance for SAS to approximately 12% on the margin rate. They were 12.3% in the first quarter, some upside from EAC adjustments. And as we saw strong program performance, you've got to kind of book that in the quarter.

但我們確實將 SAS 的利潤率指引更新為約 12%。第一季的成長率為 12.3%，因 EAC 調整而有所上升。當我們看到強勁的計劃表現時，您必須在本季進行預訂。

You do -- it does result in a higher booking rate as you move forward, but you do pick up some cume catch adjustment that flows through in that 90-day period versus the full year impact where that gets tempered a little bit. But we're very confident in the team at SAS, and we're confident in the guide that we put out there for approximately 12%. And I know the SAS team is out there working hard as we speak to try to figure out how to drive that up from there.

你確實這麼做了——隨著你的前進，它確實會導致更高的預訂率，但你確實會在這 90 天內經歷一些精液捕獲調整，而全年的影響會稍微緩和一些。但我們對 SAS 團隊非常有信心，並且對我們發布的大約 12% 的指南充滿信心。我知道 SAS 團隊正在努力工作，試圖弄清楚如何推動這一目標的實現。

And I think second part of your question was F-35. Our production deliveries are tracking. We have a ramp coming up in production here starting next month. So we continue to have good relations with Lockheed. In fact, I was just talking to them yesterday. They'll be starting to deliver aircraft, as you know. They'll comment on that themselves. But as they start delivering aircraft, we're going to have to ramp up even further and quicker. And that's our plan. We've made the investments in most of the infrastructure we need. So continued improvement month-over-month, quarter-over-quarter. And it's all about the core processor, and that's where the focus of the team is.

我認為你問題的第二部分是 F-35。我們的生產交付正在進行追蹤。從下個月開始，我們將在這裡進行生產。因此，我們繼續與洛克希德公司保持著良好的關係。事實上，我昨天才和他們談話。如你所知，他們將開始交付飛機。他們自己會對此發表評論。但當他們開始交付飛機時，我們將不得不進一步加快步伐。這就是我們的計劃。我們已經對所需的大部分基礎設施進行了投資。因此，逐月、逐季持續改善。這一切都與核心處理器有關，這也是團隊的重點所在。

Our next question is from the line of Matt Akers with Wells Fargo.

我們的下一個問題來自富國銀行的 Matt Akers。

Chris, I wonder if you could comment on the international pipeline at IMS in particular. You mentioned the award in the quarter, but just curious if orders are kind of starting to move there.

Chris，我想知道您是否可以特別評論一下 IMS 的國際管道。您提到了本季的獎項，但只是好奇訂單是否開始轉移到那裡。

Yes. Thanks, Matt. I mean at IMS, we did get the NATO Electronic Attack Aircraft. And this -- we were thinking back on this not that long ago. I mean this is something about 8 years ago, 9 years ago. We talked about disrupting the market, and I always give the space example. But it feels like we pretty much invented and created this biz jet ISR market. We have over 50 biz jet orders in the last 8 or 9 years on 5 different platforms.

是的。謝謝，馬特。我的意思是，在 IMS，我們確實獲得了北約電子攻擊機。不久前我們正在回想這一點。我的意思是這是大約8年前、9年前的事。我們談到擾亂市場，我總是舉出太空的例子。但感覺就像是我們發明並創造了這個商用噴射機 ISR 市場。在過去 8、9 年裡，我們在 5 個不同的平台上收到了 50 多個公務機訂單。

So we have this one opportunity that I mentioned in Europe, NATO country. There's some longer-term opportunities kind of in the Mid East. These things take a year or 2 to get booked. So the biz jet market for electronic attack, ISR, whatever capabilities, are still out there. There's a huge opportunity in the Far East that we're on our third bid relative to being down-selected. So that could be a couple of billion dollars in 2025. So very excited about that.

因此，我們有我在歐洲、北約國家提到的這個機會。中東有一些長期的機會。這些事情需要一兩年才能預訂。因此，用於電子攻擊、情監偵（ISR）的公務機市場，無論其能力如何，仍然存在。遠東地區有一個巨大的機會，我們正在第三次競標，而不是被拒絕。所以到 2025 年這可能會達到幾十億美元。

Armed Overwatch, we're starting to get interest from international customers. Once we start making deliveries later this year or early next year, I think that market is going to pick up from the aircraft side. And we still have some C130 capabilities that I believe have some international opportunities.

武裝守望先鋒，我們開始引起國際客戶的興趣。一旦我們在今年稍後或明年初開始交付，我認為飛機方面的市場將會回升。我們仍然擁有一些 C130 能力，我相信這些能力具有一些國際機會。

Maritime, we're doing a lot of work with Australia. So we continue to see opportunities there as well. Viper Shield is actually out of SAS, but great capability on F-16 EW. So I see that growing as well. And then, of course, WESCAM with the turrets, that's just a high-growth market with opportunities pretty much all over the globe.

海事方面，我們正在與澳洲進行大量工作。因此，我們也繼續在那裡看到機會。 Viper Shield 實際上是 SAS 的產品，但在 F-16 電子戰上的能力很強。所以我看到這種成長也在成長。當然，還有有砲塔的 WESCAM，這只是一個快速成長的市場，機會幾乎遍及全球。

Yes. Chris, maybe I'll just add real quick on to that in terms of Armed Overwatch, so beyond biz jets at IMS. We did get a delivery order 3 on that program for 9 aircraft, I think, bringing the total order to 25. And to your comments, I think as that program matures, gives us greater confidence in the international opportunities for that aircraft. So looking to the building confidence on that one.

是的。克里斯，也許我很快就會補充《武裝鬥陣特攻》的內容，除了 IMS 的公務機之外。我認為，我們確實在該計劃中獲得了9 架飛機的第3 份交付訂單，使訂單總數達到25 架。有信心。因此，希望建立對此的信心。

Our next question is from the line of Sheila Kahyaoglu with Jefferies.

我們的下一個問題來自 Jefferies 的 Sheila Kahyaoglu。

In the past, you guys have talked about revenue synergies with a lot of discussion today focused on LHX NeXt, which is clearly great because your profit was up over 20%. So Chris, you mentioned Taiwan, and you won a bid over a 20-year incumbent. Maybe is there any way to think about potential share gains and investment? What it means for the revenue top line outlook over the next few years? I know you laid out mid-single-digit targets, but how do we think about your revenue growth and market share gains?

過去，你們談論過收入綜效，今天的許多討論都集中在 LHX NeXt，這顯然很棒，因為你們的利潤成長了 20% 以上。克里斯，你提到了台灣，並且你贏得了對 20 年現任者的競標。也許有什麼方法可以考慮潛在的股票收益和投資？這對未來幾年的收入前景意​​味著什麼？我知道您設定了中個位數的目標，但我們如何看待您的收入成長和市佔率成長？

Yes. Thanks, Sheila. We're being selective in where we invest and bid. And if I look at the different domains, I think space is a perfect example where we are absolutely taking a market share. And as I said earlier, we've been awarded 60 satellites as a prime just since the merger, including 38 for SDA tracking alone.

是的。謝謝，希拉。我們對投資和投標的地點進行選擇性。如果我看看不同的領域，我認為太空是一個完美的例子，我們絕對佔據了市場份額。正如我之前所說，自合併以來，我們已獲得 60 顆主要衛星，其中 38 顆僅用於 SDA 追蹤。

And there's -- it's a hot market. But every couple of weeks or months, you can pick up a paper and see there's one less company in this market, a lot of [SPACs]. A lot of companies are withdrawing from that market. And we take that as a sign of our success. We're making money and we've disrupted the market. So I feel really good about what we've done in space.

這是一個熱門市場。但每隔幾週或幾個月，你就可以拿起一篇論文，看到這個市場上的公司少了一家，而有很多[SPAC]。許多公司正在退出該市場。我們將此視為我們成功的標誌。我們賺錢了，我們擾亂了市場。所以我對我們在太空中所做的事情感到非常滿意。

The airborne domain, I think it's really going to be more with -- what I referenced with the business jets. Maybe Armed Overwatch, to a lesser degree, where again, we're filling in gaps and replacing long-term incumbents are giving them different platforms, with better capability for the missions that they want.

機載領域，我認為它確實會更多地涉及——我提到的公務機。也許武裝守望先鋒，在較小程度上，我們再次填補空白並更換長期任職者，為他們提供不同的平台，為他們想要的任務提供更好的能力。

Our maritime work on the undersea ranges is world-class. Again, you go back 6 years, we had no work in that regard, and we found an opportunity to unseat a long-term 40-year incumbent and came up with a different solution. And it's been well received around the globe, as an example.

我們在海底的海事工作是世界一流的。再說一次，你回到 6 年前，我們在這方面沒有任何工作，我們找到了一個機會，推翻了長期任職 40 年的現任者，並提出了不同的解決方案。例如，它在全球範圍內受到了好評。

We've talked historically about our torpedo launch and recovery system using unmanned undersea vehicles. That market is a hot market, in my opinion. We just have to get out there and get a couple of customers, and I think that could be a real game changer for our undersea business.

我們歷史上曾討論過使用無人水下航行器的魚雷發射和回收系統。在我看來，這個市場是個熱門市場。我們只需要走出去並獲得一些客戶，我認為這可能會真正改變我們的海底業務。

On the radios. We talk about the radios, a lot of good work there. An exciting one that we haven't really talked much about is for the Air Force, which is the Next Gen Survival Radio. So we're 1 of 2 companies competing on that. And in a couple of years, we could be down-selected a new market. And another example, dislodging a long-term incumbent.

在收音機上。我們談論收音機，那裡有很多好的工作。我們還沒有真正談論太多的一個令人興奮的事情是針對空軍的，即下一代生存無線電。所以我們是這方面競爭的兩家公司之一。幾年後，我們可能會被拒絕選擇一個新市場。另一個例子是驅逐長期任職者。

And then, of course, innovation in cyber. There's something going on there every day, and you kind of have to innovate daily to stay ahead of the threat. And we're doing that and seeing good growth and good performance in that domain as well. So I hope that answers your question.

當然，還有網路創新。那裡每天都會發生一些事情，您必須每天進行創新才能領先於威脅。我們正在這樣做，並且在該領域也看到了良好的成長和良好的表現。所以我希望這能回答你的問題。

Our last question is from Doug Harned with Bernstein.

我們的最後一個問題來自伯恩斯坦的道格·哈內德。

Chris, when -- I mean, right now, you're looking at Aerojet Rocketdyne, and demand in that market is just getting better and better. And you talked a little bit about the NGI win earlier. But when you look at the demand there, and I think back to -- I remember a year ago talking with you about the situation at Aerojet Rocketdyne, Camden, for example, and how serious the bottlenecks were in trying to get production up?

克里斯，我的意思是，現在，您正在關注 Aerojet Rocketdyne，而該市場的需求正在變得越來越好。您早些時候談到了 NGI 的勝利。但是，當你看看那裡的需求時，我回想起——我記得一年前與你談論過卡姆登 Aerojet Rocketdyne 的情況，以及在試圖提高產量時遇到的瓶頸有多嚴重？

So when you look at the business now, can you see the potential to ramp up? Can you talk about what kind of growth you could potentially get from that business? And then where you stand in the process of being able to get those bottlenecks out and really move production higher?

那麼，當您現在審視這項業務時，您能看到成長的潛力嗎？您能談談您可以從該業務中獲得什麼樣的成長嗎？那麼，在消除這些瓶頸並真正提高產量的過程中，您處於什麼位置？

Yes. Doug, great, great question. And yes, it was about 16 months ago when we announced this acquisition. And I think I agree with you. When I look at where we are now, the business case gets better and better. The demand, there was no conflict in Israel. People thought Ukraine would be done. Nobody anticipated a $900 billion of defense spending for 2024.

是的。道格，好問題。是的，大約 16 個月前我們宣布了這項收購。我想我同意你的觀點。當我看到我們現在所處的位置時，業務案例變得越來越好。要求，以色列境內沒有衝突。人們認為烏克蘭就完了。沒有人預計 2024 年國防開支將達到 9,000 億美元。

So the tactical missiles, the nuclear deterrent, NGI, just tons of opportunities on SRMs. Over the long term, call it 5, 7 years, double-digit growth on the top line does not seem unreasonable to me. We have to, of course, invest in the capacity. The bottlenecks, some of them are based on low yields and performance and supply chain. I think we've made good progress in that regard, investing in our suppliers, getting additional suppliers.

因此，戰術飛彈、核威懾、NGI，以及 SRM 上的大量機會。從長遠來看，5年、7年，營收達到兩位數成長對我來說似乎不是不合理。當然，我們必須投資能力。其中一些瓶頸是基於低產量、性能和供應鏈。我認為我們在這方面取得了良好的進展，投資於我們的供應商，並獲得了更多的供應商。

I continue to think the more money the government can give to the supply chain, the better off we are. I continue to believe we don't need an additional solid rocket motor prime. What we need is someone working on the igniters, the nozzles and the cases. And I think that would help unlock the potential.

我仍然認為政府提供給供應鏈的資金越多，我們的處境就越好。我仍然相信我們不需要額外的固體火箭發動機。我們需要有人負責點火器、噴嘴和外殼。我認為這將有助於釋放潛力。

We've ordered equipment to continue to expand, whether it's mixers, ovens. They, unfortunately, tend to have a 50-, 60-week lead time, but we've placed those orders. And once we get that in, I think it's going to be -- help with the ramp. We have DPA money to build some buildings, take existing facilities and modify them. So the consolidation and piece dividend and Budget Control Act for a decade kind of stifle the ability for companies to invest and grow and inconsistent demand signals.

我們訂購了設備繼續擴充，無論是攪拌機、烤箱。不幸的是，他們的交貨時間往往是 50 至 60 週，但我們已經下了這些訂單。一旦我們得到它，我認為這將是 - 幫助坡道。我們有 DPA 的資金來建造一些建築物，對現有設施進行改造。因此，十年來的合併、計件股息和預算控制法案某種程度上扼殺了公司投資和成長的能力以及不一致的需求訊號。

But right now, I think everything is a potential tailwind. And we'll have the factories digitized by the end of this year, and we're making the investments and fixing the processes. So pretty excited about it. And 2024 is kind of catch up and continue to burn down the delinquent backlog and simultaneously invest and put in processes. But I think by the time we get to 2026, 2027, if all stays as is, it's going to really turn out to be a great acquisition.

但現在，我認為一切都是潛在的順風。我們將在今年年底前實現工廠數位化，我們正在進行投資並修復流程。對此非常興奮。 2024 年是一種迎頭趕上的一年，繼續燒毀拖欠的積壓訂單，同時投資和投入流程。但我認為，到 2026 年、2027 年時，如果一切保持原樣，這將確實是一次偉大的收購。

So I appreciate the question, Doug. And let me just wrap it up. And first of all, thank the workforce and the leadership team for a great first quarter. Obviously, thank you all for joining the call today. And Ken, Mark, myself and the team will be engaging with many of you in person in the months to come.

所以我很欣賞這個問題，道格。讓我總結一下。首先，感謝員工和領導團隊第一季的出色表現。顯然，感謝大家今天加入電話會議。肯、馬克、我本人和團隊將在未來幾個月與你們中的許多人進行面對面的接觸。

So thank you all, and have a great weekend.

謝謝大家，祝週末愉快。

Thank you. This concludes today's teleconference. You may disconnect your lines at this time. Thank you for your participation, and have a wonderful day.

謝謝。今天的電話會議到此結束。此時您可以斷開線路。感謝您的參與，祝您有美好的一天。