Matthews International Corp (MATW) 2019 Q4 法說會逐字稿

Greetings, and welcome to the Matthews International Corporation Fourth Quarter Fiscal 2019 Financial Results.

您好，歡迎閱讀 Matthews International Corporation 2019 財年第四季度財務業績。

(Operators Instructions) As a reminder, this conference is being recorded.

（操作員說明）提醒一下，正在錄製此會議。

I would now like to turn the conference over to your host, Mr. Bill Wilson, Senior Director of Corporate Development for Matthews International Corporation.

我現在想把會議交給你的主持人，馬修斯國際公司企業發展高級總監比爾威爾遜先生。

Thank you.

謝謝。

You may begin.

你可以開始了。

Thank you, Melissa.

謝謝你，梅麗莎。

Good morning, everyone, and welcome to the Matthews International Fourth Quarter 2019 Earnings Call.

大家早上好，歡迎來到 Matthews International 2019 年第四季度財報電話會議。

This is Bill Wilson.

這是比爾·威爾遜。

And with us today are Joe Bartolacci, President and Chief Executive Officer; and Steve Nicola, our Chief Financial Officer.

今天和我們在一起的還有總裁兼首席執行官 Joe Bartolacci；和我們的首席財務官 Steve Nicola。

Before we start, I would like to remind you that our earnings release and financial disclosures were posted on our website, www.matw.com, in the Investors section last night.

在我們開始之前，我想提醒您，我們的收益發布和財務披露已於昨晚發佈在我們網站 www.matw.com 的投資者部分。

Presentation for our call can also be accessed in the Investors section of the website.

也可以在網站的“投資者”部分訪問我們電話會議的演示文稿。

As a reminder, any forward-looking statements in connection with this discussion are being made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.

提醒一下，與本次討論相關的任何前瞻性陳述都是根據 1995 年《私人證券訴訟改革法案》的安全港條款作出的。

Factors that could cause the company's results to differ from those discussed today are set forth in the company's annual report on Form 10-K, and other periodic filings with the SEC.

可能導致公司結果與今天討論的結果不同的因素在公司的 10-K 表格年度報告以及向美國證券交易委員會提交的其他定期文件中有所規定。

In addition, we will be discussing non-GAAP financial metrics and encourage you to read our disclosure and reconciliation tables carefully as you consider these metrics.

此外，我們將討論非 GAAP 財務指標，並鼓勵您在考慮這些指標時仔細閱讀我們的披露和調節表。

In connection with any forward-looking statements and non-GAAP financial information, please read the disclaimer also included in today's presentation materials located on our website.

關於任何前瞻性陳述和非 GAAP 財務信息，請閱讀我們網站上今天的演示材料中也包含的免責聲明。

And now I'll turn the call over to Steve.

現在我會把電話轉給史蒂夫。

Thank you, Bill.

謝謝你，比爾。

Good morning.

早上好。

Please turn to Slide 4. For the fiscal 2019 fourth quarter, the company reported consolidated sales of $392 million compared to $407 million a year ago.

請轉到幻燈片 4。在 2019 財年第四季度，該公司報告的綜合銷售額為 3.92 億美元，而一年前為 4.07 億美元。

Consistent with the previous quarters of this year, our consolidated sales comparability for the fourth quarter was significantly affected by unfavorable changes in foreign currency exchange rates, and the loss of a significant client account in our U.S. brand business early in the fiscal year.

與今年前幾個季度一致，我們第四季度的綜合銷售額可比性受到外幣匯率不利變化以及本財年初美國品牌業務重要客戶流失的重大影響。

In addition, sales for the current quarter were also impacted by delays in several significant projects in our Industrial Technologies segment.

此外，本季度的銷售額也受到我們工業技術部門幾個重要項目延遲的影響。

However, consolidated sales for the current quarter were favorably impacted by sales growth in the Memorialization segment and higher private-label brand market sales.

然而，本季度的綜合銷售額受到紀念部分銷售額增長和自有品牌市場銷售額增加的有利影響。

On a non-GAAP basis, the company reported a loss per share of $2.28 for the current quarter compared to income of $0.93 per share last year.

在非 GAAP 基礎上，該公司報告本季度每股虧損 2.28 美元，而去年同期每股收益為 0.93 美元。

The loss for the current quarter resulted from a noncash goodwill write-down.

本季度的虧損是由於非現金商譽減記所致。

As we announced following our third quarter, the company initiated a strategic review of several of its operations, including the commercial and operational structure within the SGK Brand Solutions segment.

正如我們在第三季度後宣布的那樣，該公司開始對其多項業務進行戰略審查，包括 SGK Brand Solutions 部門的商業和運營結構。

Based on the expected impact of this review on future operating structure and related projections, the company reassessed the valuation of goodwill related to the Graphics Imaging reporting unit within the SGK Brand Solutions segment and recorded a noncash write-down of approximately $78 million.

根據此次審查對未來運營結構和相關預測的預期影響，公司重新評估了與 SGK Brand Solutions 部門內圖形成像報告部門相關的商譽估值，並記錄了約 7800 萬美元的非現金減記。

On a non-GAAP basis, adjusted earnings were $1.01 per share for the fiscal 2019 fourth quarter compared to $1.23 last year.

按非美國通用會計準則計算，2019 財年第四季度調整後每股收益為 1.01 美元，而去年同期為 1.23 美元。

The decline primarily reflected the decrease in consolidated sales and lower operating income for the current quarter.

這一下降主要反映了本季度合併銷售額的減少和營業收入的減少。

Please turn to Slide 5. On a year-to-date basis, our consolidated sales were $1.54 billion compared to $1.6 billion last year.

請轉到幻燈片 5。年初至今，我們的綜合銷售額為 15.4 億美元，而去年為 16 億美元。

The combined impact of the previously reported brand client account loss and significant currency headwinds unfavorably affected sales by an estimated $56 million.

先前報告的品牌客戶賬戶損失和重大貨幣逆風的綜合影響估計對銷售額產生了 5600 萬美元的不利影響。

However, despite an estimated decline in U.S. casketed deaths for the current year, fiscal 2019 sales for the Memorialization segment were higher than last year, primarily reflecting an increase in cremation and incineration equipment sales, particularly in the U.K., higher memorial product sales and the partial year benefit of last year's acquisition of Star Granite & Bronze.

然而，儘管本年度美國棺材死亡人數估計有所下降，但紀念部門 2019 財年的銷售額高於去年，這主要反映了火葬和焚化設備銷售額的增長，特別是在英國，更高的紀念產品銷售額和部分年度受益於去年收購 Star Granite & Bronze。

In addition, on a year-to-date basis, the private label brand business continued to grow.

此外，從年初至今，自有品牌業務繼續增長。

Warehouse automation sales increased and European brand sales were higher for the current fiscal year.

本財年倉庫自動化銷售額增加，歐洲品牌銷售額更高。

These increases were offset primarily by the impact of challenging U.S. brand market conditions for the current fiscal year and year-end project delays in the Industrial Technologies segment.

這些增長主要被本財年充滿挑戰的美國品牌市場條件和工業技術部門年終項目延遲的影響所抵消。

On a GAAP basis, the company reported a loss of $1.21 per share for the fiscal year ended September 30, 2019, compared to income of $3.37 per share last year.

根據美國通用會計準則，該公司報告截至 2019 年 9 月 30 日的財政年度每股虧損 1.21 美元，而去年每股收益為 3.37 美元。

The loss for the current year resulted from the goodwill write-down of approximately $78 million or $2.42 per share in the fourth quarter.

本年度的虧損是由於第四季度商譽減記約 7800 萬美元或每股 2.42 美元。

In addition, year-over-year earnings per share comparability was impacted by the following factors: first, the significant income tax benefit recorded in the first quarter last fiscal year from the U.S. Tax Cuts and Jobs Act.

此外，每股收益的同比可比性受到以下因素的影響：首先，美國減稅和就業法案在上一財年第一季度記錄的重大所得稅優惠。

The new law had the immediate impact of a significant reduction in the company's deferred tax balances, net of an estimated repatriation transition tax.

新法律對公司的遞延稅款餘額（扣除估計的匯回過渡稅）產生了直接影響。

This prior year tax benefit was $0.82 per share; second, the company's intangible amortization expense for fiscal 2019 was $14.2 million or $0.39 per share higher than fiscal 2018.

前一年的稅收優惠為每股 0.82 美元；其次，公司 2019 財年的無形攤銷費用為 1420 萬美元或每股 0.39 美元，高於 2018 財年。

In connection with the commercial and operating structure changes within the SGK Brand Solutions segment, we accelerated the amortization of certain of the segment's trade names during the fiscal 2019 fourth quarter.

關於 SGK Brand Solutions 部門的商業和運營結構變化，我們在 2019 財年第四季度加快了該部門某些商品名稱的攤銷。

And third, our year-to-date interest expense increased $3.5 million or $0.08 per share compared to last year, primarily reflecting higher average interest rates on a full year basis, due in part to our December 2017 bond offer.

第三，我們年初至今的利息支出比去年增加了 350 萬美元或每股 0.08 美元，這主要反映了全年平均利率較高，部分原因是我們 2017 年 12 月的債券發行。

For the year ended September 30, 2019, non-GAAP adjusted earnings per share were $3.31 compared to $3.96 last year, primarily reflecting the decline in sales and related impact on adjusted EBITDA.

截至 2019 年 9 月 30 日止年度，非 GAAP 調整後每股收益為 3.31 美元，而去年為 3.96 美元，主要反映了銷售額下降以及對調整後 EBITDA 的相關影響。

Adjusted EBITDA for the fiscal 2019 fourth quarter was $59 million compared to $77 million a year ago.

2019 財年第四季度的調整後 EBITDA 為 5900 萬美元，而一年前為 7700 萬美元。

The decline resulted principally from lower consolidated sales and higher material and freight costs.

下降的主要原因是綜合銷售額下降以及材料和運費成本上升。

Adjusted EBITDA for the fiscal year ended September 30, 2019, was approximately $221 million compared to $255 million last year.

截至 2019 年 9 月 30 日止財政年度的調整後 EBITDA 約為 2.21 億美元，而去年為 2.55 億美元。

The decrease primarily reflected the impacts of lower consolidated sales and higher material and freight costs, which were partially offset by the impact of the company's ongoing cost containment initiatives, including acquisition, synergy realization and lower performance-related compensation costs.

這一下降主要反映了綜合銷售額下降以及材料和運費成本上升的影響，這些影響被公司正在進行的成本控制措施的影響部分抵消，包括收購、協同效應實現和較低的績效相關補償成本。

Investment income for the fiscal 2019 fourth quarter was $100,000 compared to $639,000 a year ago.

2019 財年第四季度的投資收益為 100,000 美元，而一年前為 639,000 美元。

Investment income for the year ended September 30, 2019, was $1.5 million compared to $1.6 million for fiscal 2018.

截至 2019 年 9 月 30 日止年度的投資收益為 150 萬美元，而 2018 財年為 160 萬美元。

Investment income primarily reflects the changes in the value of investments held in trust for certain of the company's benefit plans.

投資收益主要反映為公司某些福利計劃而持有的信託投資價值的變化。

Interest expense for the fiscal 2019 fourth quarter was $9.9 million compared to $10.6 million a year ago, reflecting a decline in average interest rates for the current quarter relative to the fourth quarter last year.

2019 財年第四季度的利息支出為 990 萬美元，而一年前為 1060 萬美元，反映出本季度的平均利率相對於去年第四季度有所下降。

During the fiscal 2019 third quarter, the company shifted approximately $140 million of debt under its revolving credit facility from dollar-based to euro-based, lowering the effective interest cost.

在 2019 財年第三季度，該公司將其循環信貸安排下的約 1.4 億美元債務從美元計價轉移為歐元計價，從而降低了實際利息成本。

Interest expense for the year ended September 30, 2019, approximated $41 million compared to $37.4 million last year, primarily reflecting higher average interest rates on a full year basis, due in part to the December 2017 bond offering.

截至 2019 年 9 月 30 日止年度的利息支出約為 4100 萬美元，而去年為 3740 萬美元，這主要反映了全年平均利率較高，部分原因是 2017 年 12 月的債券發行。

Other income and deductions net for the quarter ended September 30, 2019, represented a decrease in pretax income of $5.5 million compared to income of $455,000 for the same quarter last year.

截至 2019 年 9 月 30 日止季度的其他收入和扣除淨額與去年同期的收入 455,000 美元相比，稅前收入減少了 550 萬美元。

Other income and deductions net for the year ended September 30, 2019, represented a decrease in pretax income of $8.9 million compared to $4.7 million last year.

截至 2019 年 9 月 30 日止年度的其他收入和扣除淨額與去年的 470 萬美元相比，稅前收入減少了 890 萬美元。

Other income and deductions include the nonservice portion of pension costs.

其他收入和扣除額包括養老金成本的非服務部分。

For the year ended September 30, 2019, the nonservice portion of pension cost was $3.8 million compared to $5.7 million last year.

截至 2019 年 9 月 30 日止年度，養老金成本的非服務部分為 380 萬美元，而去年為 570 萬美元。

In addition, the fourth quarter and year-to-date amounts for the current year included a $3.7 million loss on a cost-method investment and related assets.

此外，本年度第四季度和年初至今的金額包括成本法投資和相關資產的 370 萬美元損失。

Fiscal 2018 other income included gains of $3.8 million on the sale of certain cost method investments.

2018 財年的其他收入包括出售某些成本法投資的收益 380 萬美元。

Consolidated income taxes for the 3 months ended September 30, 2019, was a benefit of $3.6 million compared to expense of $9.6 million for the same quarter last year.

截至 2019 年 9 月 30 日止三個月的綜合所得稅收益為 360 萬美元，而去年同期為 960 萬美元的支出。

Consolidated income taxes for the year ended September 30, 2019, was expense of $806,000 compared to a benefit of $9.1 million last year.

截至 2019 年 9 月 30 日止年度的綜合所得稅費用為 806,000 美元，而去年的收益為 910 萬美元。

Income taxes for the current quarter and fiscal year were significantly impacted by the goodwill write-down, which is substantially nondeductible for tax purposes.

本季度和財政年度的所得稅受到商譽減記的重大影響，這在稅收方面基本上不可扣除。

Fiscal 2018 reflected a significant income tax benefit recorded in the first fiscal quarter as a result of the U.S. Tax Cuts and Jobs Act.

由於美國減稅和就業法案，2018 財年第一財季的所得稅收益顯著。

The new law had the immediate impact of a significant reduction in the company's deferred tax balances, net of an estimated repatriation transition tax.

新法律對公司的遞延稅款餘額（扣除估計的匯回過渡稅）產生了直接影響。

Excluding these significant impacts, and the impact of other discrete items for both periods, the company estimated its consolidated effective rate at approximately 23% in fiscal 2019 compared to 26% in fiscal 2018.

排除這些重大影響，以及兩個時期其他離散項目的影響，公司估計其 2019 財年的綜合有效率約為 23%，而 2018 財年為 26%。

Please turn to Slide 6 to begin a review of our segment results.

請轉到幻燈片 6 開始查看我們的細分結果。

In the SGK Brand Solutions segment, sales for the fiscal 2019 fourth quarter were $186 million compared to $203 million a year ago.

在 SGK 品牌解決方案部門，2019 財年第四季度的銷售額為 1.86 億美元，而一年前為 2.03 億美元。

For the year ended September 30, 2019, sales for the SGK Brand Solutions segment were $744 million compared to $805 million last year.

截至 2019 年 9 月 30 日止年度，SGK 品牌解決方案部門的銷售額為 7.44 億美元，而去年為 8.05 億美元。

The declines were mainly driven by unfavorable currency rate changes and the previously disclosed brand client account loss.

下降的主要原因是不利的匯率變化和先前披露的品牌客戶賬戶損失。

Compared to last year, changes in foreign currency exchange rates had an unfavorable impact of $27 million and the client account loss unfavorably impacted sales by approximately $24 million.

與去年相比，外幣匯率的變化產生了 2700 萬美元的不利影響，客戶賬戶損失對銷售額產生了約 2400 萬美元的不利影響。

In addition, European market conditions softened later in the fiscal 2019 fourth quarter, which unfavorably impacted the segment sales for the current year.

此外，歐洲市場狀況在 2019 財年第四季度晚些時候走軟，這對本年度的分部銷售額產生了不利影響。

The segment reported higher sales in the private label brand market for the fiscal 2019 fourth quarter and fiscal year.

該部門報告稱，2019 財年第四季度和本財年自有品牌市場的銷售額有所增加。

In addition, the current quarter and year-to-date results reflected the impact of the acquisition of Frost Converting Systems, which was acquired in November 2018.

此外，本季度和年初至今的業績反映了收購 Frost Converting Systems 的影響，該系統於 2018 年 11 月被收購。

Fiscal 2019 fourth quarter adjusted EBITDA for the SGK Brand Solutions segment was $32.9 million compared to $47.3 million a year ago.

SGK 品牌解決方案部門 2019 財年第四季度調整後的 EBITDA 為 3290 萬美元，而一年前為 4730 萬美元。

The segment's adjusted EBITDA for the year ended September 30, 2019, was $119.5 million compared to $105.2 million last year -- $150.2 million last year.

該部門截至 2019 年 9 月 30 日止年度的調整後 EBITDA 為 1.195 億美元，而去年為 1.052 億美元——去年為 1.502 億美元。

The year-over-year changes primarily reflected the impact of lower sales and unfavorable product mix shift in Europe and unfavorable currency changes partially offset on a year-to-date basis by lower performance-based compensation costs.

同比變化主要反映了歐洲銷售額下降和不利的產品組合轉變以及不利的貨幣變化的影響，這些影響在年初至今被較低的基於績效的薪酬成本部分抵消。

Please turn to Slide 7. Memorialization segment sales for the fiscal 2019 fourth quarter were approximately $163 million compared to $156 million a year ago.

請轉到幻燈片 7。2019 財年第四季度的紀念部門銷售額約為 1.63 億美元，而一年前為 1.56 億美元。

Memorialization segment sales for the year ended September 30, 2019, were approximately $637 million compared to $631 million a year ago.

截至 2019 年 9 月 30 日止年度，紀念部門銷售額約為 6.37 億美元，而一年前為 6.31 億美元。

Sales of memorial products and caskets increased for the current quarter compared with a year ago.

與去年同期相比，本季度紀念產品和棺材的銷售額有所增加。

For the fiscal year, the segment reported increased sales of Memorial products and cremation and incineration equipment.

在本財政年度，該部門報告紀念產品和火化及焚燒設備的銷售額有所增加。

Caskets sales were lower on a year-to-date basis, reflecting an estimated decline in U.S. casketed deaths.

年初至今，棺材銷量較低，反映出美國棺材死亡人數估計下降。

In addition, the current year-to-date results included the benefit of the acquisition of Star Granite & Bronze, which was acquired in February 2018.

此外，當前年初至今的業績包括收購 Star Granite & Bronze 的收益，後者於 2018 年 2 月被收購。

Fiscal 2019 fourth quarter and fiscal year sales for the Memorialization segment were also impacted by the divestiture of a controlling interest in the pet cremation business during the fiscal 2019 first quarter, and changes in currency rates had an unfavorable impact of $697,000 and $3 million, respectively, on the segment sales compared with the same quarter and year-to-date period last year.

2019 財年第四季度和紀念部門的銷售額也受到 2019 財年第一季度寵物火葬業務控股權剝離的影響，匯率變化分別產生了 697,000 美元和 300 萬美元的不利影響，與去年同期和年初至今相比，該部門的銷售額。

Memorialization segment adjusted EBITDA for the fiscal 2019 fourth quarter was $32.9 million compared to $37.9 million a year ago.

紀念部門 2019 財年第四季度調整後的 EBITDA 為 3290 萬美元，而一年前為 3790 萬美元。

Memorialization segment adjusted EBITDA for the year ended September 30, 2019, was $134.3 million compared to $145.5 million last year.

截至 2019 年 9 月 30 日止年度，紀念部門調整後的 EBITDA 為 1.343 億美元，而去年為 1.455 億美元。

The current year periods primarily reflected the impact of higher material and freight costs, the divestiture of a controlling interest in the pet cremation business and on a year-to-date basis, the decline in U.S. casketed deaths on casket sales.

本年度主要反映了材料和運費上漲、寵物火葬業務控股權剝離以及年初至今美國棺材死亡人數下降對棺材銷售的影響。

These declines were partially offset by the segment's cost reduction initiatives, including acquisition synergies.

這些下降部分被該部門的成本削減舉措所抵消，包括收購協同效應。

And on a year-to-date basis, the acquisition of Star Granite & Bronze.

從年初至今，收購了 Star Granite & Bronze。

Please turn to Slide 8. Sales for the Industrial Technologies segment were $43.8 million for the quarter ended September 30, 2019, compared to $48.1 million a year ago.

請轉到幻燈片 8。截至 2019 年 9 月 30 日的季度，工業技術部門的銷售額為 4380 萬美元，而一年前為 4810 萬美元。

Sales for the Industrial Technologies segment were $156.5 million for the year ended September 30, 2019, compared to $165.9 million last year.

截至 2019 年 9 月 30 日止年度，工業技術部門的銷售額為 1.565 億美元，而去年為 1.659 億美元。

Compared with the fourth quarter last year the segment sales for the current quarter were unfavorably impacted by delays from customers of several significant identification products orders.

與去年第四季度相比，本季度的分部銷售額受到客戶延遲交付的幾項重要識別產品訂單的不利影響。

The decline for the year primarily resulted from lower product identification, partly attributable to these delays and lower applied technology sales, which were partially offset by an increase in warehouse automation sales.

這一年的下降主要是由於產品識別率較低，部分原因是這些延遲和應用技術銷售額較低，這部分被倉庫自動化銷售額的增長所抵消。

Changes in foreign currency rates had unfavorable impacts of $397,000 and $2.3 million, respectively, on the segment's current quarter and fiscal year sales compared to last year.

與去年相比，外幣匯率的變化對該部門當前季度和財年的銷售額分別產生了 397,000 美元和 230 萬美元的不利影響。

Adjusted EBITDA for the Industrial Technologies segment for the fiscal 2019 fourth quarter was $8.4 million compared with $9.1 million a year ago.

2019 財年第四季度工業技術部門的調整後 EBITDA 為 840 萬美元，而一年前為 910 萬美元。

Adjusted EBITDA for the Industrial Technologies segment for the year ended September 30, 2019, was $24.1 million compared with $25.9 million a year ago.

截至 2019 年 9 月 30 日止年度，工業技術部門的調整後 EBITDA 為 2410 萬美元，而一年前為 2590 萬美元。

The declines in the segment's adjusted EBITDA for the quarter and year-to-date periods primarily reflected the sales change.

本季度和年初至今該部門調整後的 EBITDA 的下降主要反映了銷售額的變化。

In addition, costs related to the segment's product development project were higher for the year-to-date period.

此外，與該部門的產品開發項目相關的成本在年初至今較高。

Please turn to Slide 9. Cash flow from operating activities for the fiscal 2019 fourth quarter was $41.7 million compared to $64.8 million a year ago.

請轉到幻燈片 9。2019 財年第四季度經營活動產生的現金流量為 4170 萬美元，而一年前為 6480 萬美元。

For the year ended September 30, 2019, cash flow from operating activities was $131.1 million compared to $147.6 million.

截至 2019 年 9 月 30 日止年度，經營活動產生的現金流量為 1.311 億美元，上年同期為 1.476 億美元。

These declines primarily reflected the impact of lower adjusted EBITDA for the respective quarter and year-to-date period.

這些下降主要反映了相應季度和年初至今調整後的 EBITDA 較低的影響。

At September 30, 2019, consolidated long-term debt, including current portion, approximated $941 million, representing a reduction of $39 million from the balance at September 30, 2019.

截至 2019 年 9 月 30 日，合併長期債務（包括流動部分）約為 9.41 億美元，較 2019 年 9 月 30 日的餘額減少 3900 萬美元。

At September 30, 2018, the company's outstanding debt was $961 million, representing a reduction for the current fiscal year of approximately $20 million.

截至 2018 年 9 月 30 日，公司未償債務為 9.61 億美元，較本財年減少約 2000 萬美元。

Approximately 31.3 million shares were outstanding at September 30, 2019.

截至 2019 年 9 月 30 日，約有 3130 萬股流通在外。

During the fiscal 2019 fourth quarter, the company purchased approximately 140,000 shares under the share repurchase program and approximately 710,000 shares year-to-date.

在 2019 財年第四季度，公司根據股票回購計劃購買了約 140,000 股股票，今年迄今購買了約 710,000 股股票。

At September 30, 2019, we have approximately 712,000 shares remaining under the current share repurchase authorization.

截至 2019 年 9 月 30 日，根據當前的股份回購授權，我們還有大約 712,000 股剩餘股份。

Finally, the Board last week declared a dividend of $0.21 per share on the company's common stock, representing the 26th annual increase in the company's dividend since becoming a publicly traded company in 1994.

最後，董事會上周宣布派發公司普通股每股 0.21 美元的股息，這是公司自 1994 年成為上市公司以來第 26 年增加股息。

The dividend is payable December 9, 2019, to stockholders of record November 25, 2019.

股息將於 2019 年 12 月 9 日支付給 2019 年 11 月 25 日登記在冊的股東。

With that, this concludes the financial review, and Joe will now comment on the company's operations.

至此，財務審查結束，Joe 現在將對公司的運營發表評論。

Thank you, Steve.

謝謝你，史蒂夫。

Good morning.

早上好。

Our fiscal year fell short of our expectations.

我們的財政年度沒有達到我們的預期。

We had expected a very strong fourth quarter, but due to factors outside of our control, we are unable to make up the shortfall.

我們曾預計第四季度會非常強勁，但由於我們無法控制的因素，我們無法彌補這一不足。

As you are aware, during the quarter -- we continued to face the impact of the loss of a significant brand account and increased commodity and freight costs.

如您所知，在本季度 - 我們繼續面臨重要品牌客戶流失以及商品和運費增加的影響。

But several other challenges prevented us from achieving our goals, specifically significant orders in our Industrial Technologies segment, both in our product identification business and our warehouse automation businesses were pushed off into fiscal 2020.

但其他一些挑戰使我們無法實現我們的目標，特別是我們工業技術部門的重要訂單，包括我們的產品識別業務和我們的倉庫自動化業務被推遲到 2020 財年。

In addition, delays in the release of several cremation equipment orders and a significant waste-to-energy incineration project impacted our fourth quarter Memorialization results relative to our expectations.

此外，一些火葬設備訂單和一個重要的垃圾焚燒發電項目的延遲發布影響了我們第四季度紀念業績相對於我們的預期。

Finally, a significant drop in orders from our tobacco customers and a significant shift to lower-margin surfaces products during the quarter significantly impacted the European portion of our brand business.

最後，我們煙草客戶的訂單大幅下降以及本季度向低利潤表面產品的重大轉變對我們品牌業務的歐洲部分產生了重大影響。

In general, we enter each quarter with a potential -- with potential pluses and minuses, and our guidance usually reflects our best estimates of what we will deliver.

總的來說，我們進入每個季度都有潛力——有潛在的優勢和劣勢，我們的指導通常反映了我們對我們將交付的產品的最佳估計。

Historically, we have had some wins and some losses in our estimates, which have yielded results, which have been relatively close.

從歷史上看，我們的估計有過一些勝利和一些失敗，這些結果已經產生了相對接近的結果。

Rarely, however, have we had situations where none of our significant expected wins are realized during the quarter.

然而，我們很少遇到在本季度沒有實現預期的重大勝利的情況。

Despite these issues, our businesses remain strong and we are executing on our strategies.

儘管存在這些問題，我們的業務依然強勁，我們正在執行我們的戰略。

For example, we have long said that our Memorialization business continued to improve its operating efficiency and branch out into related areas, which we believe will mitigate the demographic trends we face.

例如，我們長期以來一直表示，我們的紀念業務繼續提高其運營效率並向相關領域擴展，我們相信這將緩解我們面臨的人口趨勢。

This quarter reflects that strategy well.

本季度很好地反映了這一戰略。

We saw positive revenue trends in our Funeral Home Products business, our Bronze business, our granite business and our environmental solutions business, despite the deferral of several projects.

儘管有幾個項目被推遲，但我們在殯儀館產品業務、青銅業務、花崗岩業務和環境解決方案業務中看到了積極的收入趨勢。

Our EBITDA results in this segment for the quarter continued to be challenged by commodity and freight costs as well as significant ramp-up costs associated with the waste-to-energy business.

本季度該部門的 EBITDA 結果繼續受到商品和運費成本以及與垃圾發電業務相關的顯著增加成本的挑戰。

From a positive perspective, however, commodity pressures have subsided and should benefit the second half of 2020, and we recently landed another waste-to-energy project in the U.K., which we believe can be the first of many in the years to come.

然而，從積極的角度來看，大宗商品壓力已經消退，應該會在 2020 年下半年受益，我們最近在英國啟動了另一個垃圾焚燒發電項目，我們相信這可能是未來幾年的第一個項目。

Our efforts in the waste energy market are creating interest outside of the U.K. as we are quoting work in the U.S. and Latin America as well.

我們在廢能源市場的努力正在英國以外引起人們的興趣，因為我們也在引用美國和拉丁美洲的工作。

In our brand business, we saw improving conditions in our North American market, where we saw modest growth for the quarter when you consider the CPG, private label and merchandising businesses together.

在我們的品牌業務中，我們看到北美市場的情況有所改善，當您同時考慮 CPG、自有品牌和商品銷售業務時，我們在該季度看到了適度增長。

Several of our clients have begun to innovate off of historically low new SKU launches.

我們的一些客戶已經開始在新 SKU 發布量處於歷史低位的情況下進行創新。

It is too early to call this a trend, but revenue in some of our largest declines is up, and we saw a good start to 2020.

現在稱這是一種趨勢還為時過早，但我們一些跌幅最大的公司的收入有所上升，我們看到了 2020 年的良好開端。

We have often spoke of the success that Equator, our business focused on private label services to global retailers, was having in adding new significant accounts in the private label market.

我們經常談到我們專注於為全球零售商提供自有品牌服務的業務 Equator 在自有品牌市場上增加新的重要客戶方面取得的成功。

Our efforts in this area continue to show very positive results during the quarter, and they are set up for another strong 2020 with wins and strong pipeline.

我們在這一領域的努力在本季度繼續取得非常積極的成果，並為 2020 年又一個強勁的勝利和強大的管道做好了準備。

The cylinders, surfaces and engineering business, a business included in our Brand segment, saw a difficult quarter as our largest tobacco customer significantly curtailed spending during the quarter.

汽缸、表面和工程業務是我們品牌部門的一項業務，由於我們最大的煙草客戶在本季度大幅削減了支出，因此經歷了一個艱難的季度。

In addition, the order rate for higher-priced and higher-margin technical cylinders slowed, which we attribute to the weaker European economic condition.

此外，高價和高利潤技術氣缸的訂單率放緩，我們將其歸因於歐洲經濟狀況疲軟。

We have seen the order rate for these products return to normal in the latter part of the quarter, but not in time to be produced and shipped.

我們已經看到這些產品的訂單率在本季度後期恢復正常，但沒有及時生產和發貨。

As I have stated in the past, we are seeing significant opportunities in our engineered solutions business, again, a part of the brand business, where we use our gravure cylinder manufacturing expertise to extend into production equipment for markets like tissues, nonwoven materials, laminated flooring and particularly energy storage devices, including lithium-ion battery production.

正如我過去所說，我們在我們的工程解決方案業務中看到了重大機遇，這也是品牌業務的一部分，我們利用凹版滾筒製造專業知識擴展到紙巾、非織造材料、層壓等市場的生產設備地板，尤其是儲能設備，包括鋰離子電池生產。

Specifically, our unique know-how in the energy storage industry is drawing considerable interest, and we are proud to report a significant order for the auto industry as well as strong orders for the other engineered solutions, giving us a good backlog going into 2020.

具體來說，我們在儲能行業的獨特專業知識引起了人們的極大興趣，我們很自豪地報告汽車行業的重要訂單以及其他工程解決方案的強勁訂單，為我們進入 2020 年提供了良好的積壓訂單。

We have every expectation that if successful, this business can be a significant contributor to our future growth.

我們滿懷希望，如果成功，這項業務可以為我們未來的增長做出重要貢獻。

As we've noted in the past, now that we have substantially completed our ERP implementation, we have kicked off an initiative to capitalize on our investment by better aligning our cost base with our revenue levels.

正如我們過去指出的那樣，既然我們已經基本完成了 ERP 實施，我們已經啟動了一項計劃，通過更好地使我們的成本基礎與我們的收入水平保持一致來利用我們的投資。

We expect this initiative to benefit our brand business, but also to reduce our overall back-office costs as we centralize more of the back office functions and capitalize on the automation facilitated by our ERP.

我們希望這一舉措有利於我們的品牌業務，同時也能降低我們的整體後台成本，因為我們集中了更多的後台職能並利用了我們的 ERP 促進的自動化。

We expect this initiative to deliver an annual savings run rate of over $25 million within the next couple of years.

我們預計該計劃將在未來幾年內實現每年超過 2500 萬美元的節省運行率。

As discussed above, our warehouse automation business had significant projects get pushed into 2020 from several of our customers.

如上所述，我們的倉庫自動化業務有幾個客戶將重大項目推到了 2020 年。

As a result, this business had a strong year, but could have had a -- could have significantly outperformed if the orders were released as expected.

因此，該業務今年表現強勁，但如果訂單按預期發布，本可以表現出色。

As for the balance of the Industrial segment, product identification has successfully landed several new accounts, which are expected to contribute significantly to the fourth quarter.

至於工業板塊的餘額，Product identification 已成功登陸多個新客戶，預計將對第四季度做出重大貢獻。

Unfortunately, ramp-up in several accounts was slower than expected and orders in several accounts were pushed off into 2020.

不幸的是，幾個賬戶的增長速度低於預期，多個賬戶的訂單被推遲到 2020 年。

The group continues to successfully expand into the CPG market with large-scale installations, but timing of those installation is not often in our control.

該集團繼續通過大規模安裝成功擴展到 CPG 市場，但這些安裝的時間通常不在我們的控制範圍內。

With regard to our investment in the new products for our Industrial Technologies segment, we remain confident with our development process and of our strategy.

關於我們對工業技術部門新產品的投資，我們對我們的開發過程和戰略充滿信心。

Unfortunately, full launch will remain delayed as we continue to work through some early production issues.

不幸的是，隨著我們繼續解決一些早期生產問題，全面發布將繼續延遲。

The issues appear resolvable and we believe they mostly revolve around the process through which our pre-engine is produced.

這些問題似乎可以解決，我們認為它們主要圍繞我們的預引擎生產過程展開。

We hope to have more to speak to you about in the coming quarters.

我們希望在接下來的幾個季度裡有更多的事情要和你談談。

As we look at 2020, we remain positive about our businesses and the opportunities for growth.

展望 2020 年，我們對我們的業務和增長機會保持樂觀。

Our -- in our guidance, we are making several assumptions that are critical.

我們——在我們的指導中，我們做出了幾個至關重要的假設。

First, we expect foreign currency exchange rates to remain stable.

首先，我們預計外幣匯率將保持穩定。

We also expect modest sales growth at our Memorialization and our Technologies segments, largely driven by the delays -- the delayed orders that we had expected in the fourth quarter of 2019.

我們還預計我們的 Memorialization 和我們的技術部門的銷售額將適度增長，這主要是由於延遲——我們在 2019 年第四季度預計的延遲訂單。

Finally, we also expect brand business -- our brand business to have modest sales growth driven by the large energy storage equipment order that I referenced above.

最後，我們還預計品牌業務——我們的品牌業務將在我上面提到的大型儲能設備訂單的推動下實現適度的銷售增長。

Given these expectations, our guidance for fiscal 2020 is that our non-GAAP EPS and adjusted EBITDA will grow in the mid-single digits.

鑑於這些預期，我們對 2020 財年的指導是我們的非 GAAP 每股收益和調整後的 EBITDA 將以中個位數增長。

I want to remind you that although you might have expected better than mid-single-digit operating performance from the delayed projects and our efforts, the current labor market is increasingly difficult.

我想提醒您，儘管您可能期望延遲的項目和我們的努力會帶來比中個位數更好的經營業績，但當前的勞動力市場越來越困難。

As a result, our fiscal 2020 guidance reflects a return to normal bonus awards after a year when most employees earned no incentive compensation.

因此，我們的 2020 財年指引反映了在大多數員工沒有獲得激勵性薪酬的一年後恢復正常的獎金獎勵。

With that, let's open it up for questions.

有了這個，讓我們打開它來提問。

[Operators Instructions) Our first question comes from the line of Jason Rodgers with Great Lakes Review.

[操作員說明] 我們的第一個問題來自 Jason Rodgers 與 Great Lakes Review 的對話。

The delayed orders that you talked about in Industrial and then for the cremation and incineration equipment, any way to quantify those?

您在工業中談到的延遲訂單，然後是火化和焚化設備的延遲訂單，有什麼辦法可以量化這些訂單？

And would you expect to realize most of those in the first quarter?

您是否希望在第一季度實現其中的大部分？

Well, the orders are significant.

好吧，訂單很重要。

Let's put it that way.

讓我們這樣說吧。

I mean they range anywhere from some of the cremation equipment at $150,000 to $200,000 that was delayed to some of the installations in our product identification that were in the $1.5 million to $3 million range.

我的意思是它們的範圍從 150,000 美元到 200,000 美元的一些火化設備被延遲到我們產品標識中的一些安裝在 150 萬到 300 萬美元之間。

We had on the automation side, $6 million or $7 million, not all of which would have occurred in the fourth quarter.

我們在自動化方面有 600 萬美元或 700 萬美元，並非所有這些都發生在第四季度。

The fact of the matter is they are orders that we have received and that orders will be delivered in 2020.

事實上，它們是我們收到的訂單，訂單將在 2020 年交付。

Some of those orders cannot be delivered in the first quarter.

其中一些訂單無法在第一季度交付。

We'll be starting in the second quarter.

我們將從第二季度開始。

For example, the warehouse business, you aren't in people's warehouses during the Christmas season, so we won't even start that now until early January, beginning of February.

例如，倉庫業務，在聖誕節期間你不在人們的倉庫裡，所以我們現在甚至要到 1 月初，2 月初才開始。

So it will be in 2020, but not necessarily in the first quarter.

所以會在 2020 年，但不一定在第一季度。

And I wonder if you could talk more about the waste energy market, what your expectations are as far as revenues in fiscal '20 and then longer term, and then how do you see that whole market developing for you?

我想知道你是否可以更多地談談廢能市場，你對 20 財年和長期收入的預期是什麼，然後你如何看待整個市場為你發展？

So we are very, very, very early into the marketplace.

所以我們非常、非常、非常早地進入市場。

This is something that's going on in the U.K., but is expanding greatly around the world.

這是英國正在發生的事情，但正在世界範圍內迅速擴展。

We got a call -- just to give you an example, we had a call the other day from a cruise ship operator to look at these facilities for islands where they have landing zones for some of these cruise ships.

我們接到了一個電話 - 舉個例子，前幾天我們接到一家遊輪運營商的電話，要求我們查看這些島嶼的設施，這些設施在這些島嶼上有一些遊輪的著陸區。

So the market is beginning.

所以市場開始了。

Each one of these installations can go anywhere from $2 million to $5 million.

這些裝置中的每一個都可以花費 200 萬到 500 萬美元。

And the potential for these would be material, let's put it that way, material to our Memorialization business, and is part of why we say, our business will continue to grow top line over time.

這些的潛力將是重要的，讓我們這樣說吧，對我們的紀念業務至關重要，這也是我們說的原因之一，我們的業務將隨著時間的推移繼續增長。

And is there anything that you're doing that maybe the competitors aren't in that market?

您正在做的事情中有沒有可能競爭對手不在那個市場？

Or is it just such a new and developing market it's too early to talk about?

還是說它只是一個新興的發展中市場還為時過早？

There is -- there are very, very, very few players of our size.

有——像我們這樣規模的球員非常、非常、非常少。

I mean there are plenty of guys that produce very, very big incineration equipments for municipal sites.

我的意思是有很多人為市政場所生產非常非常大的焚燒設備。

Ours generate -- generally operate somewhere around 20,000 tons a year.

我們的發電量——通常每年大約產生 20,000 噸。

They're smaller, more adept for smaller locations, smaller towns, smaller facilities, whatever it may be.

他們更小，更擅長於更小的地點、更小的城鎮、更小的設施，無論它是什麼。

There really has not been anybody in there.

那裡真的沒有人。

It's just an extension of our cremation equipment business, just a lot bigger.

這只是我們火葬設備業務的延伸，規模更大。

Our next question comes from the line of Dan Moore with CJS Securities.

我們的下一個問題來自 CJS 證券公司的 Dan Moore。

One or two.

一個或兩個。

Can you maybe help frame or bucket the $25 million projected annual cost savings you expect to achieve from restructuring kind of run rate as we exit fiscal '20 and then the overall cost to achieve.

在我們退出 20 財年時，您能否幫助構建或總結您期望通過重組某種運行率實現的 2500 萬美元的預計年度成本節省，然後是實現的總體成本。

I think there was $10 million called out in Q4.

我認為第四季度調用了 1000 萬美元。

So I'll leave it at that, and then a follow-up.

所以我會把它留在那，然後是後續行動。

Sure.

當然。

Yes.

是的。

Dan, yes, there was -- you're right, we had a fair amount of cost to achieve as we were going through the project or at least the start of the project in the fourth quarter.

丹，是的，有——你是對的，在我們進行項目或至少在第四季度項目開始時，我們有相當多的成本要實現。

But as you would expect, there is still more to come.

但正如您所預料的那樣，還有更多的東西要來。

In fact, particularly as we get to the implementation stages of it.

事實上，尤其是當我們進入它的實施階段時。

There will not be a significant amount of that realized -- the benefit realized, I should say, in fiscal 2020.

實現的收益不會很大——我應該說，在 2020 財年實現的收益。

And when we talk about a $25 million annual run rate, we expect to be at that run rate, I would say, toward the end of fiscal 2021.

當我們談論 2500 萬美元的年運行率時，我想說，我們預計將在 2021 財年末達到該運行率。

So just -- if I'm putting a number on it, maybe a $5 million run rate by the end of fiscal 2020.

所以只是 - 如果我在上面加上一個數字，到 2020 財年末可能會有 500 萬美元的運行率。

But obviously, a lot of the benefit really starts to come in, in '21 and beyond.

但顯然，很多好處真正開始出現，在 21 世紀及以後。

Timing, very helpful.

時間，很有幫助。

In terms of bucketing those, whether it's just personnel, corporate...

在分桶方面，無論是人員，公司......

So just to give you kind of a frame.

所以只是給你一個框架。

As we kind of see it, Dan, this is 2 parts.

正如我們所看到的，丹，這是兩部分。

First off, it's the back office we've talked about.

首先，這是我們談到的後台。

And as you know, we've grown this business through a lot of acquisitions.

如您所知，我們通過大量收購發展了這項業務。

It's time to integrate those businesses into a centralized function.

是時候將這些業務整合到一個集中的功能中了。

We think there's $10 million to $12 million worth of back-office functions as we consolidate globally in the 3 sites.

我們認為，隨著我們在全球範圍內整合這 3 個站點，後台功能的價值將達到 1000 萬至 1200 萬美元。

The balance of $30 million to $35 million is going to come out of SGK.

3000 萬至 3500 萬美元的餘額將來自 SGK。

And it's really capitalizing on what we have done from an ERP system to be able to connect these businesses around the world and more level load and move more work in the offshore sites that we currently operate at.

它真正利用了我們在 ERP 系統中所做的工作，能夠連接世界各地的這些業務，並在我們目前運營的離岸站點中加載和移動更多工作。

So it's a heavy lift, I won't suggest it's not, but a large portion of it is taking business that we are currently not doing in certain parts of the world and continuing to move it to our offshore sites.

所以這是一個沉重的負擔，我不會說不是，但其中很大一部分正在開展我們目前在世界某些地區沒有開展的業務，並繼續將其轉移到我們的離岸地點。

Perfect.

完美的。

Helpful.

有幫助。

So switching gears, Joe.

所以換檔，喬。

You gave some color, which is appreciated, in terms of the signs of improvement that you're seeing in Brand Solutions.

就您在 Brand Solutions 中看到的改進跡象而言，您給出了一些顏色，我們對此表示讚賞。

Any more specificity, are you seeing actual orders -- uptick in orders in tobacco, other areas?

更具體地說，您是否看到實際訂單——煙草和其他領域的訂單增加？

We've had some head fakes in the past.

我們過去有過一些假頭像。

So trying to get a sense for your level of comfort.

所以試著了解你的舒適程度。

Yes.

是的。

We've had some head fakes.

我們有一些假頭。

Well, here's what we do know.

好吧，這就是我們所知道的。

So I mean -- we generally operate on something that's about 6 weeks out.

所以我的意思是——我們通常會在大約 6 週後進行操作。

So our backlog is not always as significant as we would like.

所以我們的積壓並不總是像我們想要的那樣重要。

But we have subscribed to some information that kind of gives us a look back over the last several quarters -- actually, over the last 10 years of new SKU launches.

但我們已經訂閱了一些信息，這些信息讓我們回顧了過去幾個季度——實際上是過去 10 年新 SKU 發布的情況。

And I would tell you, over the last 3 quarters, we are at historically low SKU launches.

我會告訴你，在過去的 3 個季度中，我們的 SKU 發布處於歷史低位。

We are, in some cases, trending at about 30% below on a run rate basis.

在某些情況下，我們的運行率趨勢低於 30%。

So we expect that will turn to normal.

所以我們預計這將恢復正常。

As that turns to normal, I don't think it's going to happen in a quarter, but it'll happen over time.

隨著這變得正常，我不認為它會在一個季度內發生，但它會隨著時間的推移發生。

We think that, that will ultimately be a good sign for this business as we continue to reduce our cost structure, take advantage of our ERP, the drop-through will be more significant.

我們認為，隨著我們繼續降低成本結構，利用我們的 ERP，這最終將成為該業務的一個好兆頭，下降將更加顯著。

Okay.

好的。

And I'll try one more and then jump back in queue maybe, but in terms of product development, spent a good amount over the last few years, just talk about your confidence in achieving a return on that investment, given some of the delays that we've had in new products.

我會再試一次，然後可能會跳回隊列，但在產品開發方面，過去幾年花費了大量資金，考慮到一些延誤，請談談您對實現投資回報的信心我們在新產品中擁有的。

And just generally, what are your expectations for product development spend in fiscal '20 relative to '19 and '18?

一般來說，您對 20 財年相對於 19 財年和 18 財年的產品開發支出有何期望？

Well, let's put it real simple for you.

好吧，讓我們為您簡單介紹一下。

I mean this is what we look at.

我的意思是這就是我們所看到的。

This is a $1.5 billion market we don't participate in today at any great extent.

這是一個價值 15 億美元的市場，我們今天沒有在很大程度上參與其中。

So we think the product that we're developing, we spent somewhere in the $35 million range.

所以我們認為我們正在開發的產品，我們花費了 3500 萬美元左右。

The opportunity we -- Steve has it...

我們——史蒂夫擁有的機會……

Cumulatively.

累積起來。

Cumulatively.

累積起來。

Yes.

是的。

Not in any year.

不是任何一年。

But we spent about $35 million for it.

但我們為此花費了大約 3500 萬美元。

But we think the opportunity that is presented to recover those costs and have a substantial rate of return over a period of time is significant.

但我們認為，在一段時間內收回這些成本並獲得可觀回報率的機會是巨大的。

So we're not as concerned about the rate of returns as we are about getting the product on the shelf.

因此，我們並不像關注產品上架那樣關注退貨率。

We also don't want to make a mistake here and go out too early and have it fail in the field for us.

我們也不想在這裡犯錯，過早出去，讓我們在現場失敗。

So we've got -- we've had some pits and starts on some of the production side.

所以我們有 - 我們在一些生產方面有一些坑和開始。

It's a pretty tight process we're on right now.

這是我們現在正在進行的一個非常緊湊的過程。

We expect to have better information for you in the next several months or maybe a couple of quarters.

我們希望在接下來的幾個月或幾個季度內為您提供更好的信息。

But we remain confident that if the solution works, as we believe it will, the return won't be the issue.

但我們仍然相信，如果解決方案奏效，正如我們所相信的那樣，回報將不是問題。

The other thing that you should also know, Dan, we -- you should see these opportunities as we see them.

丹，你還應該知道的另一件事——你應該像我們一樣看待這些機會。

We don't call out a lot of these items that are going on, but the waste-to-energy solution is an R&D project.

我們並沒有提到很多正在進行的項目，但廢物轉化為能源的解決方案是一個研發項目。

The energy storage facility, I mean, the know-how and the patents that we own in that space is an R&D project.

儲能設施，我的意思是，我們在該領域擁有的專有技術和專利是一個研發項目。

We don't call out a lot of this stuff because it's not as significant, and frankly, not as big of a market opportunity as the one we're calling out.

我們沒有大聲疾呼這些東西，因為它並不像我們所呼喚的那樣重要，坦率地說，也沒有市場機會那麼大。

But we have other things like this that have yielded the results historically, and we have a track record of getting there.

但是我們還有其他類似的東西在歷史上產生了結果，而且我們有實現目標的記錄。

And then just the overall level of spend embedded in the guide, Steve?

然後是指南中嵌入的總體支出水平，史蒂夫？

Excuse me, Dan, say that again.

對不起，丹，再說一遍。

The level of R&D spend embedded in the mid-single-digit EPS guide, just year-over-year.

中個位數 EPS 指南中嵌入的研發支出水平，僅同比增長。

That's all.

就這樣。

It's about, I'd say, $5 million to $6 million range.

我想說，這大約是 500 萬到 600 萬美元的範圍。

Our next question comes from the line of Jamie Clement with Buckingham Research Group.

我們的下一個問題來自 Jamie Clement 與 Buckingham Research Group 的對話。

Following up a little bit; on Dan's question.

跟進一點；關於丹的問題。

As we look to fiscal '20, the cost to achieve those ultimate cost savings, but also looking at whether it's residual acquisition integration cost, residual ERP stuff or just other strategic initiatives, just trying to bridge adjusted EBITDA to free cash flow, what do you think the cash cost in those buckets might be?

當我們展望 20 財年時，實現這些最終成本節約的成本，同時也在研究是否是剩餘的收購整合成本、剩餘的 ERP 東西或只是其他戰略舉措，只是試圖將調整後的 EBITDA 與自由現金流聯繫起來，做什麼你認為這些桶中的現金成本可能是？

It's going to be about $20 million to achieve this.

實現這一目標大約需要 2000 萬美元。

Most of that is going to be severance related.

其中大部分將與遣散費有關。

It has everything to do with -- you can call it, residual acquisition integration.

它與 - 你可以稱之為剩餘收購整合有關。

You can call it taking our business into a more futuristic state, whatever you would call it.

你可以稱之為將我們的業務帶入一個更具未來感的狀態，無論你怎麼稱呼它。

Yes, if we had this ERP system when we bought these businesses, it would have been called out as acquisition cost.

是的，如果我們在購買這些企業時有這個 ERP 系統，它就會被稱為收購成本。

We would have integrated them at that time.

那時我們會整合它們。

Today, we're going back and integrating them after we got an ERP.

今天，我們在獲得 ERP 後返回並整合它們。

So that's how we look at it, James.

詹姆斯，這就是我們的看法。

Okay.

好的。

So all-in, Steve, I think I -- was the all-in number maybe $24 million, $25 million or so in 2019?

所以全押，史蒂夫，我想我 - 2019 年的全押數字可能是 2400 萬美元、2500 萬美元左右？

Is that right, all those things?

是嗎，所有那些東西？

I guess I'm not sure what you're asking or trying to achieve, Jamie?

傑米，我想我不確定你在問什麼或試圖達到什麼目的？

Yes.

是的。

I'm just -- I'm looking at the -- as I think about bridging adjusted EBITDA to free cash flow for next year, right?

我只是 - 我正在考慮 - 我正在考慮將調整後的 EBITDA 與明年的自由現金流相結合，對嗎？

So this past year, acquisition cost, I think, were like $8.4 million; ERP integration, $5.8 million; strategic initiatives and other charges, $10.6 million.

所以在過去的一年裡，我認為收購成本大約是 840 萬美元； ERP整合，580萬美元；戰略舉措和其他費用，1060 萬美元。

So I think that's, what, $24 million, $25 million or so?

所以我認為那是什麼，2400 萬美元，2500 萬美元左右？

Yes.

是的。

Actually, Jamie, on a pretax basis those items would be about $30 million.

實際上，傑米，在稅前基礎上，這些項目的價值約為 3000 萬美元。

Oh, okay.

哦好的。

So those -- oh, right, right.

所以那些 - 哦，對，對。

I suppose I got it.

我想我明白了。

Got it.

知道了。

Got it.

知道了。

Okay.

好的。

So the -- and you're saying the $20 million is on a pretax basis?

所以 - 你是說 2000 萬美元是稅前的？

Correct.

正確的。

Correct.

正確的。

Okay.

好的。

Cool.

涼爽的。

Okay.

好的。

Okay.

好的。

And then capital spending?

然後是資本支出？

Low 40s.

低 40 多歲。

Yes.

是的。

Capital spending, it's -- this year, it was a little bit lower than our average.

資本支出，它是 - 今年，它比我們的平均水平低一點。

I expect it to be about our average.

我希望它能達到我們的平均水平。

So call it, low 40s.

所以稱之為，低 40 歲。

The one thing I would tell you, Jamie, is we're going to have a little bit of a bump in there as we are building a new facility in Indonesia to support our tobacco customers.

傑米，我要告訴你的一件事是，當我們在印度尼西亞建立一個新設施以支持我們的煙草客戶時，我們將在那裡遇到一些問題。

That's in -- that'll be in our numbers this year.

那就是 - 這將在我們今年的數字中。

And then, Joe, now that you mentioned tobacco.

然後，喬，既然你提到了煙草。

You spoke, I think, about a little bit more comfort about the sales outlook in Brand in Europe.

我認為，您談到了歐洲品牌的銷售前景，讓人感到更加欣慰。

Obviously, you had some reasonably significant broader macro headwinds in Europe.

顯然，您在歐洲遇到了一些相當大的宏觀逆風。

Are you comfortable enough with, for example, your tobacco business over there that you can call for like more stabilization and potentially even improvement in a couple of quarters?

例如，您對那邊的煙草業務是否足夠滿意，可以要求在幾個季度內更加穩定甚至可能有所改善？

So I mean the way I look at it is that given where we are, we finished the fourth quarter unexpectedly.

所以我的意思是，我的看法是，考慮到我們的現狀，我們意外地完成了第四季度。

I don't expect that to change in the first quarter but we have -- that's the one customer we do have some visibility on -- customers that we see some visibility on.

我不希望這種情況在第一季度發生變化，但我們有——這是我們確實有一些知名度的客戶——我們看到了一些知名度的客戶。

I would expect to start to see some more order intake by the end of this calendar year that would start to be realized into the second quarter or so.

我預計到本日曆年年底將開始看到更多的訂單接收，這些訂單將在第二季度左右開始實現。

Yes.

是的。

I guess, Joe, what I'm getting at is...

我想，喬，我的意思是……

I don't think we when.

我不認為我們什麼時候。

Yes.

是的。

No, what I'm getting at is, I mean, I think, tobacco is kind of a unique situation where that's conceivably a reason why you could feel more comfortable despite the macro backdrop being kind of dicey over there.

不，我的意思是，我的意思是，我認為，煙草是一種獨特的情況，儘管宏觀背景有點冒險，但可以想像這就是為什麼你會感覺更舒服的原因。

Well, that as well as the large energy storage project we talked about, I mean that's a significant project.

好吧，那以及我們談到的大型儲能項目，我的意思是那是一個重要的項目。

I mean -- I -- and we think that is a pretty good top line opportunity for us as well as the bottom line.

我的意思是 - 我 - 我們認為這對我們和底線來說都是一個很好的頂線機會。

So we've got to execute on it.

所以我們必須執行它。

And it's a first-of-a-kind project, but we think it's got some legs.

這是首創的項目，但我們認為它有一些優勢。

[Operators Instructions) Our next question comes from the line of Austin Nelson with AIG.

[操作員說明] 我們的下一個問題來自 AIG 的 Austin Nelson。

Just looking at the memorialization performance this year.

單看今年的追悼會表現。

The EBITDA margins are down on the higher material and transportation costs.

EBITDA 利潤率因較高的材料和運輸成本而下降。

Just trying to get a sense for what the mid-single-digit EBITDA growth assumes in that segment next year, just given that lumber is at an all -- near their all-time lows, steel has been falling dramatically, and freight has come down quite a bit.

只是想了解明年該部門的 EBITDA 中等個位數增長假設是什麼，考慮到木材處於 - 接近歷史低點，鋼鐵一直在急劇下降，運費已經到來下降了不少。

Are you expecting a benefit in that model or...

您是否期望在該模型中受益或...

Yes.

是的。

Yes?

是的？

Okay.

好的。

Yes.

是的。

I mean, Austin, so in my comments I said that we saw mitigating of the commodity costs.

我的意思是，奧斯汀，所以在我的評論中，我說我們看到了商品成本的降低。

Unfortunately for us, though, it works through our inventory system, it's about a 5- to 6-month process to get it to our bottom line.

然而，對我們來說不幸的是，它通過我們的庫存系統運作，大約需要 5 到 6 個月的過程才能達到我們的底線。

We saw that drop off towards the latter part of our fiscal year.

我們看到這種情況在本財年的下半年有所下降。

It'll start to be a benefit to us, we believe, into the second and third quarter of our calendar year -- of our next -- our 2020, excuse me.

我們相信，這將開始對我們有利，進入我們日曆年的第二和第三季度 - 我們的下一個 - 我們的 2020 年，對不起。

Of 2020.

2020年。

So we should actually -- if this were to persist, we could see a benefit into '21 as well?

所以我們實際上應該——如果這種情況持續下去，我們也能看到 21 年的好處嗎？

And as part of what we're anticipating from our bottom line growth opportunity.

作為我們對底線增長機會的預期的一部分。

Okay.

好的。

And then just one last one.

然後就是最後一個。

Despite the pressures the cash generation has still been pretty good.

儘管面臨壓力，現金產生仍然相當不錯。

And I understand CapEx was a little bit lower this year, and you've paid down some debt but also bought back some stock.

我知道今年的資本支出有點低，你已經償還了一些債務，但也回購了一些股票。

Just kind of given where your stock is trading, and I know you boosted the dividend, how do you think about use of cash?

只是考慮到你的股票交易地點，我知道你提高了股息，你如何看待現金的使用？

I mean, you've slowed down acquisitions, I understand you're trying to -- now you've got the ERP system and you're trying to integrate, should we expect additional acquisitions?

我的意思是，你已經放慢了收購，我知道你正在嘗試 - 現在你已經有了 ERP 系統並且你正在嘗試整合，我們應該期待更多的收購嗎？

Do you -- is it a more balanced approach?

你 - 這是一種更平衡的方法嗎？

I know you still want to get leverage down.

我知道你仍然想降低杠桿率。

Just trying to understand that.

只是想了解這一點。

So this past year, Austin, was a relatively unique year in terms of some of the cash demands from the acquisition standpoint.

因此，從收購的角度來看，就某些現金需求而言，奧斯汀在過去的一年是相對獨特的一年。

As you know, some of the things -- we don't get to pick and choose when things come to market.

如您所知，有些東西 - 當東西進入市場時我們無法挑選。

We don't currently see things that are imminent that I have to pull the trigger on, otherwise, I lose the opportunity.

我們目前沒有看到我必須扣動扳機的迫在眉睫的事情，否則，我會失去機會。

So I would tell you, in the near term, you'd see us more focused on the debt repayment.

所以我會告訴你，在短期內，你會看到我們更專注於償還債務。

Were stock prices were in the high 20s, low 30s, we would have been very active in the stock buyback.

如果股價處於 20 多歲、30 多歲的低位，我們會非常積極地進行股票回購。

We'll see where the stock ends up over the course of the next 6 weeks and decide whether we need to be active or not.

我們將在接下來的 6 週內查看股票的最終走勢，並決定我們是否需要活躍。

But I would tell you that we are mostly -- you'll see continuing pay down of debt.

但我會告訴你，我們主要是 - 你會看到繼續償還債務。

Thank you.

謝謝。

And ladies and gentlemen, this concludes our question-and-answer session.

女士們，先生們，我們的問答環節到此結束。

I'll turn the floor back to Mr. Wilson for any final comments.

最後請 Wilson 先生髮言。

Okay.

好的。

Thank you, Melissa.

謝謝你，梅麗莎。

And thank you for joining us today and your interest in Matthews.

感謝您今天加入我們以及您對馬修斯的興趣。

For additional information, I'll remind you to look at our company website for our financial and more information about our company results.

有關更多信息，我會提醒您查看我們公司的網站，了解我們的財務信息和有關我們公司業績的更多信息。

Thank you, and enjoy the rest of your day.

謝謝，祝您度過餘下的一天。

Thank you.

謝謝。

This concludes today's teleconference.

今天的電話會議到此結束。

You may disconnect your lines at this time.

此時您可以斷開線路。

Thank you for your participation.

感謝您的參與。