Mercury Systems Inc (MRCY) 2026 Q2 法說會逐字稿

Good day, everyone, and welcome to the Mercury Systems second quarter fiscal 2026 conference call. Today's call is being recorded.

大家好，歡迎參加 Mercury Systems 2026 財年第二季電話會議。今天的通話將會被錄音。

At this time, for opening remarks and introductions, I would like to turn the call over to the company's Vice President of Investor Relations, Tyler Hojo. Please go ahead, Mr. Hojo.

此時此刻，我謹將電話轉交給公司投資人關係副總裁泰勒‧霍喬，由他來致開幕詞及介紹各位嘉賓。請繼續，北條先生。

Good afternoon and thank you for joining us. With me today is our Chairman and Chief Executive Officer, Bill Ballhaus; and our Executive Vice President and CFO, Dave Farnsworth. If you have not received a copy of the earnings press release we issued earlier this afternoon, you can find it on our website at mrcy.com. The slide presentation that we will be referencing to is posted on the Investor Relations section of the website under Events and Presentations.

下午好，感謝各位的參與。今天陪同我的是我們的董事長兼執行長比爾鮑爾豪斯；以及我們的執行副總裁兼財務長戴夫法恩斯沃思。如果您尚未收到我們今天下午早些時候發布的盈利新聞稿，您可以在我們的網站 mrcy.com 上找到它。我們將要提到的幻燈片簡報已發佈在網站「投資者關係」版塊的「活動與簡報」欄位下。

Turning to slide 2 in the presentation. I'd like to remind you that today's presentation includes forward-looking statements, including information regarding Mercury's financial outlook, future plans, objectives, business prospects and anticipated financial performance. These forward-looking statements are subject to future risks and uncertainties that could cause our actual results or performance to differ materially. All forward-looking statements should be considered in conjunction with the cautionary statements on Slide 2 in the earnings press release and the risk factors included in Mercury's SEC filings.

翻到簡報的第二張投影片。我想提醒各位，今天的演講包含前瞻性陳述，包括有關 Mercury 的財務前景、未來計劃、目標、業務前景和預期財務業績的資訊。這些前瞻性陳述受到未來風險和不確定性的影響，可能導致我們的實際結果或績效與預期有重大差異。所有前瞻性陳述都應與盈利新聞稿第 2 頁中的警示性聲明以及 Mercury 向美國證券交易委員會提交的文件中包含的風險因素一併考慮。

I'd also like to mention that in addition to reporting financial results in accordance with generally accepted accounting principles, or GAAP, during our call, we will also discuss several non-GAAP financial measures, specifically adjusted income, adjusted earnings per share, adjusted EBITDA, and free cash flow.A reconciliation of these non-GAAP metrics is included as an Appendix to today's slide presentation and in the earnings press release.

我還想提及，除了在電話會議中按照公認會計準則（GAAP）報告財務業績外，我們還將討論幾項非GAAP財務指標，特別是調整後收入、調整後每股收益、調整後EBITDA和自由現金流。這些非GAAP指標的調節表已作為附錄包含在今天的幻燈片簡報和獲利新聞稿中。

I'll now turn the call over to Mercury's Chairman and CEO, Bill Ballhaus. Please turn to slide 3.

現在我將把電話交給 Mercury 的董事長兼執行長 Bill Ballhaus。請翻到第3張投影片。

Thanks, Tyler. Good afternoon. Thank you for joining our Q2 FY26 earnings call. We deliver Q2 results that were ahead of our expectations, with solid year-over-year growth and backlog, revenue, and adjusted EBITDA and robust free cash flow. Our ability to accelerate progress on a number of our customers' high priority programs once again contributed to strong results this quarter, including record first-half revenue.

謝謝你，泰勒。午安.感謝您參加我們2026財年第二季財報電話會議。我們第二季業績超乎預期，較去年同期成長穩健，積壓訂單、營收和調整後 EBITDA 均成長，自由現金流強勁。我們加快推進多個客戶重點項目的能力再次為本季度取得強勁業績做出了貢獻，包括創紀錄的上半年收入。

Today I'll cover three topics. First, some introductory comments on our business and results. Second, an update on our four priorities: performance excellence, building a thriving growth engine, expanding margins, and driving free cash flow. And third, performance expectations for the balance of FY26 and longer term. Then I'll turn it over to Dave, who will walk through our financial results in more detail.

今天我將介紹三個主題。首先，對我們的業務和業績做一些介紹說明。其次，更新我們的四大優先事項：卓越績效、建立蓬勃發展的成長引擎、擴大利潤率和推動自由現金流。第三，對 2026 財年剩餘時間和更長期的業績預期。然後我會把麥克風交給戴夫，他會更詳細地講解我們的財務表現。

Before jumping in, I'd like to thank our customers for their collaborative partnership and the trust they put in Mercury to support their most critical programs. I'd also like to thank our Mercury team for their dedication and commitment to delivering mission-critical processing at the edge.

在正式開始之前，我想感謝我們的客戶與我們建立合作關係，並感謝他們對 Mercury 的信任，讓我們能夠支持他們最重要的專案。我還要感謝我們的 Mercury 團隊，感謝他們為在邊緣端提供關鍵任務處理所付出的奉獻和努力。

Please turn to slide 4. Our Q2 results support our expectations for robust organic growth with expanding margins in positive free cash flow. Bookings of $288 million and a 1.23 book to bill, resulting in a record backlog approaching $1.5 billion. Revenue of $233 million, with first-half revenue up 7.1% year over year. Adjusted EBITDA of $30 million and adjusted EBITDA margin of 12.9%, up 36.3% and 300 basis points respectively year over year. And free cash flow of $46 million, well ahead of our expectations. We ended Q2 with $335 million of cash on hand.

請翻到第4張投影片。第二季業績符合我們對強勁內生成長、利潤率擴大和正自由現金流的預期。訂單金額達 2.88 億美元，訂單出貨比為 1.23，導致積壓訂單金額接近 15 億美元，創歷史新高。營收達 2.33 億美元，上半年營收年增 7.1%。調整後 EBITDA 為 3,000 萬美元，調整後 EBITDA 利潤率為 12.9%，分別年增 36.3% 和 300 個基點。自由現金流達 4,600 萬美元，遠超我們的預期。第二季末，我們手頭現金為3.35億美元。

These results reflect ongoing focus on our four priority areas with highlights that include solid execution across our broad portfolio of production and development programs, backlog growth of 8.8% year over year, a streamlined operating structure enabling increased positive operating leverage and significant margin expansion, and continued progress on free cash flow drivers with networking capital down $61 million year over year, or 12.9%.

這些結果反映了我們對四個優先領域的持續關注，亮點包括：我們廣泛的生產和開發項目組合的穩健執行；積壓訂單同比增長 8.8%；精簡的運營結構提高了積極的運營槓桿和顯著的利潤率利潤率；以及在自由現金流驅動因素方面持續取得進展，網絡資本同比下降 6100 萬美元，即 12.9%。

Please turn to slide 5. Starting with our four priorities and priority one, performance excellence, where our efforts positively impacted our results, primarily in two areas. First, in Q2, we recognize $4 million of net adverse EAC changes across our portfolio, which is in line with recent quarters, reflecting sound execution on our development and production programs.

請翻到第5張投影片。首先，我們列出了四個優先事項，其中首要優先事項是卓越績效，我們的努力主要在兩個方面對我們的結果產生了積極影響。首先，在第二季度，我們確認了投資組合中淨不利 EAC 變化為 400 萬美元，這與最近幾季的情況一致，反映了我們在開發和生產計劃方面的良好執行。

Second, we accelerated progress across a number of programs and generated approximately $30 million of revenue, $10 million of adjusted EBITDA, and $30 million of cash primarily planned for the third quarter. This acceleration contributed to top-line growth, adjusted EBITDA margins, and free cash flow that exceeded our expectations for Q2, and we'll also factor into our outlook for Q3, which I'll speak to you shortly.

其次，我們加快了多個項目的進展，並產生了約 3000 萬美元的收入、1000 萬美元的調整後 EBITDA 和 3000 萬美元的現金，這些現金主要計劃用於第三季度。這項加速成長帶動了營收成長、調整後 EBITDA 利潤率和自由現金流，都超出了我們對第二季的預期，我們也將把這一因素納入對第三季的展望中，稍後我會向大家詳細介紹。

Notably, our focus on accelerating customer deliveries led to record first-half revenue and the highest first-half point-in-time revenue since FY21. Beyond this solid performance across our portfolio of programs, we progressed on a number of actions in the quarter to increase capacity, add automation, and consolidate subscale sites in our ongoing efforts to drive scalability and efficiency.

值得一提的是，我們專注於加快客戶交付速度，從而實現了創紀錄的上半年收入，以及自 2021 財年以來最高的上半年單時點收入。除了我們在各個專案組合中取得的穩健表現外，本季我們還採取了多項措施來提高產能、增加自動化程度並整合規模較小的站點，以持續推動可擴展性和效率的提升。

Notably, we continued to build out our highly automated manufacturing footprint in Phoenix, Arizona, and progressed on bringing online an additional 50,000 square feet of factory space to support ramp production for our common processing architecture programs and to allow for efficient scaling if potential market tailwinds materialize. This is just one of many actions we have taken along with prior investments across a number of critical technology developments that are driving our ability to accelerate delivery of vital capabilities to our war fighters and our allies.

值得一提的是，我們繼續在亞利桑那州鳳凰城擴建高度自動化的製造基地，並推進新增 50,000 平方英尺的工廠空間投入使用，以支持我們通用加工架構項目的量產，並在潛在的市場利好因素出現時實現高效擴展。這只是我們採取的眾多行動之一，此前我們也對多項關鍵技術發展進行了投資，這些投資正在推動我們加快向作戰人員和盟友提供重要能力。

Please turn to slide 6. Moving on to priority two, driving organic growth. We delivered an ever-strong quarter with $288 million of bookings, resulting in a book-to-bill of 1.23 and a record backlog approaching $1.5 billion. Q2 awards reflected a mix of franchise program extensions, competitive new design wins, and follow-on production awards across both domestic and international customers. Bookings were led by a scope expansion on a long-standing [cost-plus] development program supporting modernization efforts within a core missile defense platform, extending Mercury's role for additional hardware content and further strengthening our position as the program progresses toward future production.

請翻到第6張投影片。接下來是第二個重點，推動內生成長。我們本季業績持續強勁，訂單金額達 2.88 億美元，訂單出貨比為 1.23，積壓訂單金額接近 15 億美元，創歷史新高。第二季獎項涵蓋了特許經營計劃的擴展、競爭性新設計方案的中標以及國內外客戶的後續生產獎項。訂單量的成長主要得益於一項長期[成本加成]開發計畫的範圍擴大，該計畫旨在支持核心飛彈防禦平台的現代化工作，擴大了 Mercury 在額外硬體內容方面的作用，並隨著該計畫向未來生產階段的推進，進一步鞏固了我們的地位。

We also captured two key new design ones during the quarter in exciting growth markets. These included a major RF and processing subsystem supporting a leading advanced air mobility manufacturers development of its ground control infrastructure, as well as a new design award supporting a space-based application with a leading aerospace and defense prime, expanding Mercury's capability set within the fast-growing space market. Importantly, these design wins represent new platform entry points and future production potential, positioning mercury for continued growth as these programs mature.

本季度，我們在充滿活力的成長市場中獲得了兩個重要的全新設計方案。其中包括為一家領先的先進空中交通製造商開發地面控制基礎設施提供支援的主要射頻和處理子系統，以及為一家領先的航空航天和國防主承包商提供支持天基應用的新設計合同，從而擴展了 Mercury 在快速增長的太空市場中的能力。重要的是，這些設計訂單代表著新的平台切入點和未來的生產潛力，隨著這些項目的成熟，Mercury 將持續成長。

Follow-on production awards were another contributor, including incremental quantities on a key US missile franchise reflecting continued customer confidence as those programs ramp, along with additional awards supporting deployed naval platforms and international land-based radar and electronic warfare applications underscoring the durability of Mercury's installed base.

後續生產訂單也是促成因素之一，其中包括美國關鍵飛彈系列產品的增量訂單，這反映出隨著這些項目規模的擴大，客戶對其持續的信心；此外，還獲得了支持已部署海軍平台和國際陸基雷達及電子戰應用的額外訂單，這凸顯了 Mercury 公司已安裝基礎的持久性。

Finally, the quarter included approximately $20 million of follow-on awards that leverage our common pricing architecture and include embedded anti-tamper and cybersecurity software from our recent acquisition of Star Lab, reinforcing the strategic value within this key set of capabilities. These awards are important, not only because of their value and impact on our growth trajectory, but also because they reflect those customers' trust in Mercury to support their most critical franchise programs with our proving capabilities and latest innovations.

最後，本季還包括約 2,000 萬美元的後續訂單，這些訂單利用了我們通用的定價架構，並包含我們最近收購 Star Lab 時獲得的嵌入式防篡改和網路安全軟體，從而強化了這套關鍵能力的戰略價值。這些獎項意義重大，不僅因為它們的價值和對我們發展軌蹟的影響，還因為它們反映了客戶對 Mercury 的信任，相信我們能夠憑藉自身的驗證能力和最新創新來支持他們最重要的特許經營項目。

Beyond our backlog growth, customer conversations continue to progress on the potential for higher demand on multiple programs across our portfolio, driven by increased defense budgets globally and domestic priorities like Golden Dome. Although these potential opportunities are still in early pipeline phases, I remain optimistic that they may have a positive impact on our demand environment if funding is allocated across certain program priorities to our customers over the next several quarters and beyond.

除了積壓訂單的成長之外，由於全球國防預算的增加以及國內優先事項（如金穹頂）的推進，我們與客戶的對話仍在繼續，探討我們產品組合中多個項目的潛在更高需求。儘管這些潛在機會仍處於早期階段，但我仍然樂觀地認為，如果未來幾個季度及以後，資金能夠分配給客戶的某些優先項目，它們可能會對我們的需求環境產生積極影響。

Please forward to slide 7. Now turning to priority three, expanding margins. In our efforts to progress toward our targeted adjusted EBITDA margins in the low- to mid-20% range, we are focused on the following drivers: backlog margin expansion as we convert lower margin backlog and add new bookings aligned with our target margin profile; ongoing initiatives to further simplify, automate, and optimize our operations; and driving organic growth to realize positive operating leverage.

請翻到第7頁。現在轉向第三項優先事項：擴大利潤率。為了實現我們調整後 EBITDA 利潤率在 20% 左右的目標，我們專注於以下幾個方面：擴大積壓訂單利潤率，將低利潤率的積壓訂單轉化為符合我們目標利潤率的新訂單；持續推進各項舉措，進一步簡化、自動化和優化我們的營運；以及推動內生成長，以實現積極的經營槓桿。

Q2 adjusted EBITDA margin of 12.9% was ahead of our expectations and up 300 basis points year over year. This margin performance was driven by the conversion and backlog previously contemplated to be delivered later in FY26 and higher operating leverage. Gross margin of 26% was slightly down year over year, driven by an increased mix of low margin backlog converted in the quarter. We expect average backlog margin to continue to increase as we convert lower margin backlog and bring in new bookings that we believe will be in line with our targeted margin profile.

第二季調整後 EBITDA 利潤率為 12.9%，高於我們的預期，年增 300 個基點。這一利潤率表現得益於原計劃在 2026 財年稍後交付的轉換訂單和積壓訂單，以及更高的營運槓桿。毛利率為 26%，較去年同期略有下降，主要原因是本季低利潤率積壓訂單轉換率上升。我們預計，隨著我們轉換低利潤率的積壓訂單，並引入我們認為符合我們目標利潤率水準的新訂單，平均積壓訂單利潤率將繼續提高。

Operating expenses are down year over year as a result of fully realizing the impact of previously implemented actions to further simplify, streamline, and focus our operations and ongoing initiatives to drive efficiency.

由於充分發揮了先前實施的各項措施的影響，進一步簡化、精簡和集中我們的營運以及持續推進的各項舉措，以提高效率，因此營運費用同比下降。

Please forward to slide 8. Finally, turning to priority four, improve free cash flow. We continue to make progress on the drivers of free cash flow, and in particular, reducing networking capital which at approximately $414 million is down $61 million year over year and is at the lowest level since Q1 FY22. Net debt is now down to $257 million, also the lowest level since Q1 of FY22. We believe our continuous improvement related to program execution, accelerating deliveries for our customers, demand planning, and supply chain management will lead to continued reduction in working capital and net debt over time.

請翻到第8頁。最後，我們來看看第四個優先事項，改善自由現金流。我們在推動自由現金流方面繼續取得進展，特別是減少了網路資本，目前網路資本約為 4.14 億美元，比去年同期減少了 6,100 萬美元，是 2022 財年第一季以來的最低水準。淨債務目前已降至 2.57 億美元，也是自 2022 財年第一季以來的最低水準。我們相信，透過不斷改進專案執行、加快客戶交付、需求規劃和供應鏈管理，我們將能夠隨著時間的推移持續降低營運資本和淨債務。

In addition, we continue to expect to allocate factory capacity in FY26 to programs with unbilled receivable balances which will help drive free cash flow although with little impact to revenue.

此外，我們預計在 2026 財年繼續將工廠產能分配給有未開立應收帳款餘額的項目，這將有助於推動自由現金流，儘管對收入的影響很小。

Please turn to slide 9. Looking ahead, I am optimistic about our team, our leadership position in delivering mission-critical processing at the edge, the market backdrop, and our expected ability over time to deliver results in line with our target profile of above market top-line growth, adjusted EBITDA margins in the low to mid-20% range and free cash flow conversion of 50%.

請翻到第9頁投影片。展望未來，我對我們的團隊、我們在邊緣關鍵任務處理方面的領導地位、市場環境以及我們預期隨著時間的推移實現與目標相符的業績的能力充滿信心，我們的目標包括：高於市場平均水平的營收增長、調整後的 EBITDA 利潤率在 20% 到 25% 的低至中段以及 50% 的自由現金流轉化率。

We believe our strong first-half results reflect continued progress toward this target profile, with an aggregate 1.17 book-to-bill, 7.1% top-line growth, 14.3% adjusted EBITDA on margins, 400 basis points of margin expansion year over year, and $41 million of positive free cash flow over the last two quarters.

我們相信，上半年強勁的業績反映了我們朝著這一目標持續取得進展，訂單出貨比為 1.17，營收成長 7.1%，調整後 EBITDA 利潤率為 14.3%，利潤率同比增長 400 個基點，並且在過去兩個季度實現了 4,100 萬美元的正自由現金流。

Coming out of Q2, we maintain our full-year view on FY26, which excludes any further accelerations within or into FY26 or upside bookings to our plan tied to domestic priorities like Golden Dome or increased global defense budgets. We continue to expect annual revenue growth of low single digits. Given our Q2 and first-half overperformance of approximately $30 million, we expect Q3 revenue to be down year over year absent any additional accelerations followed by a ramp in Q4.

進入第二季度，我們維持對 2026 財年的全年展望，其中不包括 2026 財年內或之後任何進一步的加速發展，也不包括與國內優先事項（如金頂大廈）或增加的全球國防預算相關的計劃上調。我們仍預期年營收成長率將維持在個位數低點。鑑於我們第二季和上半年業績超出預期約 3,000 萬美元，我們預計第三季營收將年減，除非出現任何額外的成長加速，然後在第四季實現成長。

We continue to expect full-year adjusted EBITDA margin approaching mid-teens. Given the accelerations into the first half and positive impact on first-half margins, we expect Q3 adjusted EBITDA margin approaching double digits as we convert low margin backlog and realize lower operating leverage. We continue to expect Q4 adjusted EBITDA margin to be the highest of the fiscal year.

我們仍預計全年調整後 EBITDA 利潤率將接近 15% 左右。鑑於上半年業務加速成長，並對上半年利潤率產生積極影響，我們預計第三季調整後 EBITDA 利潤率將接近兩位數，因為我們將轉化低利潤率的積壓訂單並實現更低的經營槓桿。我們仍預期第四季度調整後 EBITDA 利潤率將是本財年最高水準。

Finally, with respect to free cash flow, we continue to expect free cash flow to be positive for the year. As discussed, we pulled forward approximately $30 million of cash receipts into Q2, which impacts Q3, and we expect will result in free cash outflow for the quarter.

最後，關於自由現金流，我們仍然預期今年的自由現金流為正。正如之前討論的，我們將大約 3000 萬美元的現金收入提前到第二季度，這將影響第三季度，我們預計這將導致該季度自由現金流出。

In summary, with our momentum coming out of Q2, in the first half, I expect FY26 performance to represent another positive step toward our target profile. Additionally, I'm gaining optimism regarding the potential for tailwinds associated with increased global defense budgets and domestic priorities like Golden Dome to materialize in upside bookings to our plan over time.

總而言之，憑藉第二季度以來的良好勢頭，我預計 2026 財年上半年業績將代表我們朝著目標邁出的又一個積極步伐。此外，我對全球國防預算增加和國內優先事項（如金頂國家紀念大樓）帶來的利好因素逐漸抱持樂觀態度，認為這些因素最終會轉化為我們計劃的預訂量增長。

I look forward to providing updated commentary as we progress through the year.

我期待在今年餘下的時間裡為大家提供最新的評論。

With that, I'll turn it over to Dave to walk through the financial results from the quarter, and I look forward to your questions. Dave?

接下來，我將把發言權交給戴夫，讓他來介紹本季的財務業績，期待大家的提問。戴夫？

Thank you, Bill. Our second-quarter results continue to reflect solid progress toward our goal of delivering organic growth, expanding margins, and robust free cash flow. We still have work to do to reach our targeted profile, but we're encouraged by the progress we have made and expect to continue this momentum going forward.

謝謝你，比爾。我們第二季的業績持續反映出我們在實現內生成長、擴大利潤率和強勁自由現金流的目標方面取得了穩步進展。我們仍需努力才能達到目標客戶群，但我們對已取得的進展感到鼓舞，並期待繼續保持這一勢頭。

With that, please turn to slide 10, which details our second-quarter results. Our bookings for the quarter were approximately $288 million with a book-to-bill of 1.23. Our record backlog of nearly $1.5 billion is up $119 million, or 8.8% year over year. Revenues for the second quarter were $233 million, up approximately $10 million, or 4.4% compared to the prior year. During the second quarter, we were again able to accelerate progress on a number of customers' high-priority programs worth approximately $30 million of revenue, primarily planned for Q3 fiscal '26.

接下來，請翻到第 10 張投影片，其中詳細介紹了我們第二季的業績。本季我們的預訂金額約為 2.88 億美元，訂單出貨比為 1.23。我們創紀錄的積壓訂單金額接近 15 億美元，比去年同期成長 1.19 億美元，成長 8.8%。第二季營收為 2.33 億美元，較上年同期成長約 1,000 萬美元，增幅為 4.4%。在第二季度，我們再次加快了多個客戶高優先級專案的進展，這些專案價值約 3,000 萬美元的收入，主要計劃在 2026 財年第三季度實施。

Gross margin for the second quarter decreased approximately 130 basis points to 26% as compared to the same quarter last year. The gross margin decrease during the second quarter was primarily driven by execution on lower-margin programs.

第二季毛利率較去年同期下降約 130 個基點至 26%。第二季毛利率下降主要是因為執行了利潤率較低的項目。

As Bill previously noted, we expect to see an improvement in our gross margin performance over time as the average margin in our backlog improves and through our continued focus to simplify, automate, and optimize our operations. We expect average backlog margin to continue to increase as we convert lower-margin backlog and bring in new bookings that we believe will be in line with our targeted margin profile.

正如比爾之前指出的那樣，隨著積壓訂單的平均利潤率提高，以及我們持續專注於簡化、自動化和優化運營，我們預計毛利率表現會隨著時間的推移而改善。我們預計，隨著我們轉換低利潤率的積壓訂單，並引入我們認為符合我們目標利潤率水準的新訂單，平均積壓訂單利潤率將繼續提高。

Operating expenses decreased approximately $2 million, or 2.4% year over year. The decrease in research and development costs of approximately $6 million, or 28%, and was driven by efficiency improvements and head count reductions initiated in fiscal 2025 to align our team composition with our increased production mix as we previously discussed.

營運費用年減約 200 萬美元，降幅為 2.4%。研發成本減少了約 600 萬美元，即 28%，這主要得益於 2025 財年開始實施的效率提升和人員精簡措施，以使我們的團隊構成與我們不斷增長的生產組合相匹配，正如我們之前討論的那樣。

We also saw a decrease in amortization expense of over $1 million related to various customer relationship intangibles that were fully amortized in fiscal 2025. These decreases were partially offset by an increase in restructuring and other charges of $4 million as we progress on driving scale and efficiency in our operations.

我們還看到與各種客戶關係無形資產相關的攤銷費用減少了 100 多萬美元，這些無形資產已在 2025 財年完全攤銷。這些減少被重組和其他費用增加 400 萬美元部分抵消，因為我們在擴大營運規模和提高效率方面取得了進展。

Decreases in operating expenses were also partially offset by increased selling, general and administrative costs of approximately $2 million, primarily related to litigation and settlement costs.

營運費用的減少也被銷售、一般及行政費用的增加部分抵消，這部分增加約 200 萬美元，主要與訴訟和和解費用有關。

GAAP net loss and loss per share in the second quarter were approximately $15 million and $0.26, respectively, as compared to GAAP net loss and loss per share of approximately $18 million and $0.30, respectively, in the same quarter last year. The improvement in year-over-year earnings is primarily a result of increased operating leverage and lower non-operating expenses.

第二季GAAP淨虧損和每股虧損分別約為1,500萬美元和0.26美元，而去年同期GAAP淨虧損和每股虧損分別約為1,800萬美元和0.30美元。年比獲利成長主要歸功於經營槓桿的提高和非經營性支出的降低。

Adjusted EBITDA for the second quarter was approximately $30 million, up $8 million or 36.3% as compared to the same quarter last year. Our adjusted EBITDA during the second quarter was also partially driven by the acceleration of customer deliveries as previously mentioned by Bill.

第二季調整後 EBITDA 約 3,000 萬美元，比去年同期成長 800 萬美元，增幅達 36.3%。正如比爾之前提到的，我們第二季的調整後 EBITDA 也部分得益於客戶交付速度的加速。

Adjusted earnings per share was $0.16 as compared to $0.07 in the prior year. The year-over-year increase was primarily related to our increased operating leverage in the current period as compared to the prior year.

調整後的每股收益為 0.16 美元，而去年同期為 0.07 美元。與去年同期相比，本期經營槓桿率的提高是造成年成長的主要原因。

Free cash flow for the second quarter was an inflow of approximately $46 million as compared to $82 million in the prior year. The inflow from the current period was primarily driven by progress made in reducing our net working capital by approximately $61 million, or 12.9% year over year. As Bill previously noted, free cash flow during the second quarter benefited from the progress we accelerated primarily from the third quarter.

第二季自由現金流約 4,600 萬美元，而上年同期為 8,200 萬美元。本期資金流入主要得益於我們在減少淨營運資本方面取得的進展，淨營運資本減少了約 6,100 萬美元，年減 12.9%。正如比爾之前指出的那樣，第二季的自由現金流得益於我們從第三季開始加速的進展。

Slide 11 presents Mercury's balance sheet for the last five quarters. We ended the second quarter with cash and cash equivalents of $335 million sequentially driven primarily by approximately $52 million in cash provided by operations in the second quarter, which was partially offset by investments of nearly $6 million in capital expenditures and $15 million of shares repurchased and retired from our share repurchase program.

第 11 張投影片展示了 Mercury 公司過去五個季度的資產負債表。第二季末，我們的現金及現金等價物為 3.35 億美元，環比成長主要得益於第二季經營活動產生的約 5,200 萬美元現金，但部分被近 600 萬美元的資本支出和從股票回購計畫中回購並註銷的 1,500 萬美元股票所抵銷。

Billed receivables remained relatively flat and unbilled receivables decreased by approximately $5 million year over year. And as Bill previously noted, we continue to expect to allocate factory capacity in fiscal '26 to programs with unbilled receivable balances, which will help drive free cash flow with minimal impact to revenue.

已開立應收帳款基本保持穩定，而未開立應收帳款年減了約 500 萬美元。正如比爾之前指出的那樣，我們仍然預計在 2026 財年將工廠產能分配給有未開票應收帳款餘額的項目，這將有助於推動自由現金流，同時對收入的影響最小。

Inventory increased year over year by approximately $5 million. The increase was driven primarily by work in process as we bring product to its final state in support of our increased proportion of point-in-time revenue on many of the company's production programs. Prepaid expenses and other current assets increased year over year by approximately $46 million, primarily due to our settlement in principle on the securities class action complaint. This settlement in principle is recorded as a receivable within prepaid expenses and other current assets, and a corresponding accrual was recorded in accrued expenses.

庫存較上年同期增加約500萬美元。成長主要由在製品推動，因為我們正在將產品推向最終狀態，以支持公司許多生產項目中不斷增加的即時收入比例。預付費用和其他流動資產年增約 4,600 萬美元，主要原因是我們在證券集體訴訟投訴中達成了原則和解。此項原則性結算記為預付費用及其他流動資產中的應收款項，並在應計費用中記入相應的應計項目。

Accounts payable increased year over year and sequentially by approximately $41 million and $8 million, respectively, driven by the timing of payments to our suppliers. Accrued expenses increased approximately $3 million sequentially, primarily due to restructuring and other charges in the second quarter. Accrued compensation increased approximately $12 million sequentially, primarily due to our incentive compensation plans.

由於向供應商付款的時間安排，應付帳款年比和季比分別增加了約 4,100 萬美元和 800 萬美元。第二季應計費用較上季增加約 300 萬美元，主要原因是重組和其他費用。累計薪酬較上季增加約 1,200 萬美元，主要原因是我們的激勵性薪酬計畫。

The amount due to our factoring facility increased sequentially by approximately $27 million, primarily due to the timing of payments from our customers due back to our counterparty. Deferred revenues increased sequentially by approximately $11 million as a result of additional milestone billing events achieved during the period.

由於客戶應付給交易對手的款項時間安排，我們應向保理融資機構支付的金額較上月增加了約 2,700 萬美元。由於本期間實現了額外的里程碑結算事件，遞延收入環比增加了約 1,100 萬美元。

Working capital decreased approximately $60 million year over year or 12.7%. Working capital also decreased by nearly $44 million or 9.5% sequentially. This continues to demonstrate the progress we've made in reversing the multi-year trend of growth in working capital, resulting in a reduction of $246 million or 37.3% from the peak net working capital in Q1 fiscal '24. Net working capital remains a primary focus area for us, and we believe we can continue to deliver improvement.

營運資金年減約 6,000 萬美元，減少幅度達 12.7%。營運資金較上季減少了近 4,400 萬美元，降幅達 9.5%。這繼續表明我們在扭轉多年營運資本成長趨勢方面取得了進展，與 2024 財年第一季的淨營運資本高峰相比，減少了 2.46 億美元，降幅達 37.3%。淨營運資本仍然是我們關注的重點領域，我們相信我們能夠繼續取得進步。

Turning to cash flow on slide 12. Free cash flow for the second quarter was an inflow of approximately $46 million as compared to $82 million in the prior year. We continue to expect free cash flow to be positive for the year with an outflow in the third quarter, as Bill previously noted. We believe our continuous improvement in program execution, hardware deliveries, just-in-time material, and appropriate lead time payment terms will lead to continued reduction in working capital.

接下來請看第 12 頁的現金流量部分。第二季自由現金流約 4,600 萬美元，而上年同期為 8,200 萬美元。正如比爾之前指出的那樣，我們仍然預計今年的自由現金流為正，第三季將出現現金流出。我們相信，透過不斷改進專案執行、硬體交付、準時供貨以及適當的提前付款條件，我們將持續減少營運資金。

In closing, we are pleased with the performance in the second quarter and the higher level of predictability in the business. We believe continuing to execute on our four-priority focus areas will not only drive revenue growth and profitability but will also result in further margin expansion and cash conversion, demonstrating the long-term value creation potential of our business.

總之，我們對第二季的業績以及業務可預測性的提高感到滿意。我們相信，繼續推進我們的四大優先重點領域，不僅能夠推動收入成長和獲利能力提升，還能進一步擴大利潤率和現金轉換率，從而展現我們業務的長期價值創造潛力。

With that, I'll now turn the call back over to Bill.

接下來，我將把電話轉回給比爾。

Thanks, Dave. With that operator, please proceed with the Q&A.

謝謝你，戴夫。請與該操作員繼續進行問答環節。

(Operator Instructions) Peter Arment, Baird.

（操作員說明）Peter Arment，Baird。

Nice results. Bill, can you give us a little bit of like kind of any cap, how do we think about how much is left of the lower-margin backlog that you've got to kind of convert and flow through? It sounds like -- excuse me, it sounds like it's going to be still with us for Q3, but obviously, it sounds like Q4 is going to be the highest margin of the year. How should we think about just kind of how that exits the system?

結果不錯。比爾，你能否給我們透露一下，比如說，我們該如何看待剩餘的低利潤積壓訂單，這些訂單需要轉換和消化？聽起來——抱歉，聽起來第三季這種情況還會持續，但顯然，第四季的利潤率將是全年最高的。我們該如何思考它是如何退出系統的？

Yeah. I mean, it's the same progression that we've been talking about for several quarters now where at the end of FY24, we talked about that the backlog margin, the average backlog margin being lower than what we expected to see on an ongoing basis, driven by a number of factors, and that that would need to flow through over time.

是的。我的意思是，這和我們過去幾季一直在討論的發展趨勢是一樣的。在 2024 財年末，我們談到積壓訂單利潤率（平均積壓訂單利潤率）低於我們預期的水平，這是由多種因素造成的，這種情況需要隨著時間的推移而改善。

And if you look at the duration of our backlog, it wasn't a four-quarter period of time, wasn't necessarily a 12-quarter period of time. somewhere in between. So as we work our way through '26 and through '27, we expect to see most of the impact tied to the low-margin distribution of our backlog start to burn through and get behind us.

如果你看一下我們積壓訂單的持續時間，它既不是四個季度，也不一定是十二個季度，而是介於兩者之間。因此，隨著我們逐步推進到 2026 年和 2027 年，我們預計與低利潤積壓訂單分配相關的大部分影響將開始消退並成為過去。

I think the good news on this front, our gross margin in the quarter was down. It's actually a good thing because it reflects that we are burning down that lower margin distribution in our backlog. And we continue to replace that part of our backlog with higher-margin bookings that we expect to be in line with our target profile.

我認為這方面的好消息是，我們本季的毛利率有所下降。這其實是好事，因為它反映出我們正在逐步減少積壓訂單中利潤率較低的部分。我們將繼續用利潤率較高的訂單來替換積壓訂單中的那部分，我們預計這些訂單將符合我們的目標客戶群。

So no change from what we said before. It's continuation. If anything, we made great progress this quarter and burning down the low-margin distribution, as well as bringing in solid bookings in the quarter.

所以，和我們之前說的沒有任何改變。這是續篇。本季我們取得了巨大進步，不僅大幅削減了低利潤的分銷管道，而且本季也獲得了穩定的預訂量。

Just a quick follow-up. Just when we think about the pull forward, is that something that's also tied to this low-margin backlog? Or is this just something that you're calling out? Just because I think there's some confusion about what's pull forward or what's growth, et cetera.

再補充一點。當我們考慮提前交貨時，這是否也與低利潤的積壓訂單有關？還是這只是你特別指出的問題？只是因為我覺得大家對什麼是前進、什麼是成長等等有些混淆。

Yeah. I mean, you've seen over the last several quarters that we've been successful in accelerating deliveries, and it's had an impact in delivery results that were ahead of our expectations. And that's exactly what happened again.

是的。我的意思是，在過去的幾個季度裡，你們已經看到我們在加快交付速度方面取得了成功，並且交付結果超出了我們的預期。結果，同樣的事情又發生了。

This quarter, we had about $30 million of revenue that we pulled forward. It impacted EBITDA positively by about $10 million. That gives you a sense for where that backlog sits in our distribution because it basically flows through our gross margin. There's not much of OpEx. There isn't any OpEx that we had associated with it. So I would say this quarter was just a continuation of what we've been delivering over the last several quarters.

本季度，我們有大約 3000 萬美元的收入提前到帳。它對 EBITDA 產生了約 1000 萬美元的積極影響。這可以讓你了解積壓訂單在我們分銷體系中的位置，因為它基本上會影響我們的毛利。營運支出並不多。我們沒有為此支付任何營運費用。所以我認為，本季只是我們過去幾季業績的延續。

Ken Herbert, RBC.

Ken Herbert，RBC。

Hey, maybe, Bill, I just want to start first on the capacity you called out that you're adding in terms of CPA. Can you level set us in terms of where you are with capacity today on that product line, maybe from a revenue standpoint, if possible? And how we should think about how much more capacity you need to continue to bring on to support the order activity and the demand pull?

嘿，比爾，或許我想先從你提到的你在 CPA 方面增加的產能開始談起。能否請您介紹一下目前該產品線的產能狀況，如果可以的話，最好能從收入的角度談談？那麼，我們應該如何考慮還需要增加多少產能才能繼續支援訂單活動和需求拉動呢？

Yeah. And I want to -- just a reminder that the capacity that we're bringing online in Phoenix, the cost associated with that is already in our OpEx. And so the investment that we're making is a little bit of CapEx to bring additional lines on board. We are continuing to ramp up production in our CPA area that has gone basically per plan.

是的。我想提醒大家，我們在鳳凰城新增的產能，相關的成本已經計入我們的營運支出。因此，我們正在進行的一些投資是資本支出，用於增加額外的生產線。我們在 CPA 領域的生產正在持續加速，目前一切基本上都按計劃進行。

We're very good about how we're delivering for our customers. We continue to grow our backlog. You saw in the quarter, we had another $20 million of orders associated with CPA. And we remain confident that as time goes on and we continue to execute on our program, so we'll continue to see increased demand over time for that product line, and that's behind bringing on the additional space.

我們非常擅長為客戶提供服務。我們的積壓訂單持續增加。正如你所看到的，本季我們又獲得了價值 2000 萬美元的與 CPA 相關的訂單。我們仍然相信，隨著時間的推移，我們將繼續執行我們的計劃，因此我們將看到該產品線的需求不斷增長，這也是我們增加額外空間的原因。

As far as additional capacity and investments required beyond that, one of the nice things about where we sit right now is when we look at all of the potential tailwinds that are out there, and we talked about what what's driving those, for us to be positioned to execute and deliver on those tailwinds, the investment profile is really incremental and it's graceful. And we don't have to invest ahead of the demand in order to be able to deliver on it.

至於除此之外所需的額外產能和投資，我們目前所處位置的一個好處是，當我們審視所有潛在的利好因素，並討論驅動這些因素的因素時，為了能夠抓住並實現這些利好因素，投資方案實際上是漸進式的，而且非常穩健。我們無需提前投資就能滿足需求。

And for the most part, we're running at single ships across all of our factories. And so the first step for us to increase capacity to meeting tailwinds would be to add additional ships. And now with this capacity coming online in Phoenix later this year, we'll be in the same position with CPA that we can very efficiently meet increased demand associated with tailwinds just by moving to additional shift. So I think that's a really good place for us to be.

而且，我們大部分工廠都只生產單艘船。因此，我們提高產能以應對順風的第一步就是增加船隻。而隨著鳳凰城的這項產能將於今年稍晚投入使用，我們將與 CPA 一樣，只需增加班次，就能非常有效地滿足順風帶來的成長需求。所以我認為這對我們來說是一個非常好的處境。

And if I could, I just wanted to ask a question on the guidance. I mean, I think you've demonstrated a pattern here to be able to outperform. And it seems like recurring. You're able to pull revenues to the left relative to expectations.

如果可以的話，我想問一個關於指導意見的問題。我的意思是，我認為你已經展現出一種能夠超越對手的模式。而且這種情況似乎反覆出現。你可以將收入拉高到預期之外。

You've obviously set up here today with this call a fairly soft fiscal third quarter within a strong fourth quarter, and I appreciate the seasonality. But maybe what kept you back from pushing up the guide or having a little bit more confidence in the full-year numbers? Because you've got multiple quarters now of being able to obviously outperform and exceed expectations and continue to overdeliver relative to sort of the near-term setup.

顯然，您今天透過這次電話會議，預估了第三財季業績較為疲軟，而第四財季則表現強勁，我理解這種季節性因素的影響。但或許是什麼原因導致你沒有提高預測排名，或是對全年數據缺乏更多信心呢？因為你們已經連續多個季度明顯超越預期，並且相對於近期情況而言，持續取得超出預期的業績。

Yeah. And it has been pretty consistent quarter over quarter for the last several quarters. And if we think about the setup to FY26, coming into the year, we pulled forward about $30 million of accelerated deliveries and revenue from '26 into '25, which really set the stage for our expectation for the year to be low single-digit growth on top of high single digits last year.

是的。而且在過去幾個季度裡，這個數字一直保持著相當穩定的水平。如果我們回顧 2026 財年的安排，那麼在年初，我們將 2026 年約 3000 萬美元的加速交付和收入提前到 2025 年，這確實為我們預期今年在去年高個位數增長的基礎上實現低個位數增長奠定了基礎。

If it weren't for that pull forward, we would have been looking at mid-single-digit growth last year and high single-digit growth this year. So it just shows how the movement between quarters can really impact the optics around growth in a period.

如果沒有那次提前到來的拉動，我們去年本應看到個位數中段的成長，而今年本應看到個位數高段的成長。這表明季度之間的波動確實會對一段時間內的成長前景產生影響。

Now as we've come through the first two quarters of FY26, we're well ahead of plan. If you look at our top line, if you look at our EBITDA, and if you look at free cash flow, all of that is ahead of plan. So our expectations for the year are the same now as they were coming into the year. What we've done is we've overperformed and we shifted the profile to the left.

現在，2026 財年的前兩季已經過去，我們的進度遠遠超前計畫。如果你看一下我們的營收、EBITDA 和自由現金流，所有這些都超出了計劃。所以，我們對今年的預期與年初時的預期相同。我們做到了，我們超額完成了任務，並將情況向左傾斜了。

Now the expectations and the commentary that we gave for Q3 is absent any further accelerations from Q4 into Q3 or any accelerations from FY27 into FY26. The reason why we're giving our commentary that way is, for the most part, our ability to accelerate deliveries is largely driven by our ability to accelerate material.

現在，我們對第三季的預期和評論並沒有出現從第四季到第三季的任何進一步加速，也沒有出現從2027財年到2026財年的任何加速。我們之所以以這種方式發表評論，主要是因為我們加快交貨速度的能力很大程度上取決於我們加快材料供應的速度。

So if you think about what has happened in Q2, in the last few weeks of Q2, we were able to pull in material so that we could deliver more units in Q2. And you heard that our point-in-time revenue in Q2 was the highest that it's been in five years. That's a reflection of us moving hardware through our factories and shipping it. In order to do that, it's based on accelerating material from our suppliers, and we can't be certain that we're going to be able to accelerate until that material is in-house. And I don't want to give commentary and set expectations based on things that we don't have 100% confidence around.

所以，如果你想想第二季發生的事情，在第二季的最後幾週，我們能夠籌集到材料，以便我們可以在第二季交付更多的產品。你也聽說了，我們第二季的營收達到了五年來的最高水準。這反映了我們工廠的硬體運作情況以及出貨流程。為了實現這一目標，我們需要加速供應商的材料供應，但在材料到位之前，我們無法確定是否能夠加速生產。我不想對我們沒有百分之百把握的事情發表評論和設定預期。

Now for the last several quarters, we have demonstrated the ability to exercise that muscle across our entire operation. And every quarter, we've been able to accelerate 20 million to 30 million in deliveries into the quarter. But we're not setting our expectations based on that because we're going to work through the quarter on the next set of constraints and the next set of materials that we're trying to accelerate. And based on prior quarters, we've been able to do that, but we don't want to set expectations assuming that that's going to happen. So hopefully, that provides a little bit of clarity on that commentary.

在過去的幾個季度裡，我們已經證明了我們有能力在整個營運過程中運用這種能力。每個季度，我們都能夠將 2,000 萬到 3,000 萬的交付量提前到當季。但我們不會以此為依據設定預期，因為我們將在本季努力解決下一組限制因素和下一組我們正在努力加速生產的材料。根據前幾季的情況來看，我們已經能夠做到這一點，但我們不想假設這種情況一定會發生，從而設定預期。希望這能讓大家對先前的評論有更清晰的理解。

Sheila Kahyaoglu, Jefferies.

Sheila Kahyaoglu，傑富瑞集團。

Hi, guys. This is Kyle on for Sheila. On an extension of the question that Peter asked about low-margin backlog and your response that sort of persists through FY27. How do we think about the puts and takes as we think about mid-teen margins this year? And what FY27 could ultimately look like if you're still burning through some of that past backlog in light of potentially pulling forward growth and what you're seeing in the bookings trends?

嗨，大家好。這裡是凱爾替希拉報道。關於 Peter 提出的低利潤積壓訂單問題，以及您在 2027 財年仍持續存在的回應，我們想進一步探討。今年我們考慮15%左右的賠率時，該如何看待買進和賣出的問題？如果考慮到潛在的成長以及你從預訂趨勢中看到的情況，你仍在努力消化一些過去的積壓訂單，那麼 2027 財年最終會是什麼樣子呢？

I think just a point of clarification. We may have lower margin backlog still in our backlog as well working our way through FY27, but it becomes increasingly smaller as time goes on. And so, as we move forward, the impact of our low-margin backlog on our EBITDA margin continues to drop over time because the volume comes down.

我想澄清一點。2027 財年，我們的積壓訂單中可能仍有一些利潤率較低的訂單，但隨著時間的推移，這些訂單會越來越少。因此，隨著我們不斷推進，低利潤積壓訂單對我們 EBITDA 利潤率的影響會隨著時間的推移而持續下降，因為訂單量會下降。

So as every quarter that progresses, we expect that impact to continue to come down because what we're doing is we're burning down that low-margin backlog is going away, and we're replacing it with new bookings that are coming in at higher margins. And that's what's giving us the increase in our average backlog margin as time goes on. So hopefully, that helps quite a bit.

因此，隨著每季的推進，我們預計這種影響將繼續下降，因為我們正在清除那些低利潤的積壓訂單，並用利潤率更高的新訂單來取代它們。正因如此，隨著時間的推移，我們的平均積壓訂單利潤率才會不斷提高。希望這能有所幫助。

And Bill, if I might, for Kyle. It's becoming every quarter that goes by, it's a smaller percentage because of the aggregate because, as Bill said, we're not adding new things at low margin. So every quarter that we've had a bit of a lower than our expected margin, that number comes in the backlog. That number starts coming down.

還有比爾，如果可以的話，替凱爾說幾句。每個季度，這個百分比都會下降，因為正如比爾所說，我們沒有以低利潤率增加新產品。因此，每個季度，如果我們的利潤率略低於預期，那麼這部分利潤就會被計算在積壓訂單中。這個數字開始下降。

And when Bill said, hey, we expect that some of that to go through FY27, it's shrinking every quarter, and that's getting closer and closer to nothing as we go through. So I don't think people should build an expectation that we're going to have the same level of low-margin activity every quarter as we go through '27. We're not saying that at all.

比爾說，嘿，我們預計其中一些資金會持續到 2027 財年，但隨著時間的推移，這個數字每個季度都在減少，而且越來越接近零。所以我認為人們不應該期望我們在 2027 年的每個季度都會有同樣的低利潤活動。我們根本沒那個意思。

Yeah. As a reminder, this isn't a situation where it looks like we have a part of our business that's consistently running at lower margins. We have legacy programs, development programs, programs where we took EAC impacts in FY24 and FY25 that have resulted in that lower-margin distribution in our backlog. And we're just converting that and burning it through over time, and it's not being replaced. We're replacing it with higher margin bookings.

是的。需要提醒的是，這並不是說我們業務的某個部分一直處於低利潤率狀態。我們有遺留項目、開發項目，以及在 2024 財年和 2025 財年中因 EAC 影響而導致積壓訂單利潤率較低的項目。我們只是不斷地轉換和消耗這些資源，而沒有補充。我們將用利潤更高的預訂來取代它。

Understood. Very helpful. If I could just ask one follow-on about the net EACs. Obviously, they're much lower than they have been in the past but have still been a little sticky at that $4 million or $5 million a quarter. Can you just talk about what your -- where we are in -- what inning we are in terms of kind of scrubbing that portfolio and getting more towards a normal baseline? Thanks, guys.

明白了。很有幫助。我能否再問一個關於淨 EAC 的問題？顯然，它們比過去低得多，但仍然徘徊在每季 400 萬或 500 萬美元左右。您能否談談您目前的情況——我們現在處於哪個階段——在清理投資組合併使其更接近正常基準方面，我們進展到了什麼階段？謝謝各位。

Not good at baseball questions because I was a track guy, so innings are hard for me. Maybe we're on the last leg of the relay race.So largely, those EAC adjustments are reflection, as we've talked about, as we're going through and completing some of these programs at the very end. There are not that many programs left. They're very small adjustments compared to what they were in the past. We're seeing solid positive adjustments at the same time. So this quarter, it was $3.5 million roughly.

我不擅長棒球問題，因為我以前是練田徑的，所以局數對我來說很難。或許我們正處於接力賽的最後一棒。因此，正如我們之前討論過的，EAC 的這些調整在很大程度上是一種反映，因為我們正在完成一些專案的最後階段。剩下的項目已經不多了。與過去相比，這些調整幅度非常小。同時，我們也看到了切實的積極調整。所以本季大約是350萬美元。

Could I see -- and we've been asked many times, could we see that being positive for the quarter. Yeah, we could see that could it be slightly negative in the quarter. It's within a range that is not unexpected for us. It's consistent with what we've considered in our outlook. And we keep every time we finish one of these programs, put it behind us. It lessens the opportunity for those adjustments to happen in the future.

我能否看到——我們已經被問過很多次了——我們能否看到這對本季度產生積極影響。是的，我們預計本季可能會略微出現負成長。這個結果在我們意料之中。這與我們一直以來的設想是一致的。每次完成這些項目後，我們都會把它拋在腦後。這會減少未來進行這些調整的機會。

So I guess, we're getting there. Things that happened within the quarter as we're completing these things largely as we've talked about and passed on development programs, but they're older programs that we're just completing as we go through the final kind of qualification on these things.

所以我想，我們正在接近目標。本季發生了很多事情，我們正在完成這些事情，正如我們之前討論和通過的發展計劃一樣，但這些都是比較老的計劃，我們正在對這些計劃進行最終的資格認證。

Yeah. And I would just say, very frankly that we think they're kind of in a normal course range right now. And we're confident in our ability to get to our target margin profile with the EACs and the ZIP code that they've been running over the last several quarters.

是的。坦白說，我們認為他們目前正處於正常的生長曲線範圍內。我們有信心憑藉過去幾個季度以來一直運行的 EAC 和 ZIP 代碼，實現我們的目標利潤率。

Seth Seifman, JPMorgan.

Seth Seifman，摩根大通。

Nice quarter. Wanted to ask the common processing architecture in terms of ramping up. I know -- I'm sure you don't want to give an exact number, but if we think about kind of a rough proportion of what that comprises in the sales mix. Is there any way for you to kind of speak to: A, where that is; and B, where it should be going as we think a year or two out?

不錯的街區。想請教一下關於產能提升的常見處理架構。我知道——我確信你不想給出確切的數字，但如果我們考慮一下這在銷售組合中所佔的大致比例。您能否談談：A，它現在在哪裡；B，考慮到未來一兩年的發展方向？

Well, we haven't given -- we haven't quantified the percentage of the business for the sale of mix, et cetera. I will say that we have been successful over the last year in ramping up to meet our program demands.

嗯，我們還沒有給出——我們還沒有量化混合銷售等業務的百分比。我想說的是，過去一年來，我們在提升產能以滿足專案需求方面取得了成功。

The good news is the team has been executing very well in this area since we went through and implemented our root cause corrective action and started bringing the production line back up, and we've seen the follow-on orders coming. And we do see good growth potential in this part of the business. We see healthy demand, and it's an area where we're technically differentiated. And so we have a lot of optimism about this part of our business and continue to have them.

好消息是，自從我們採取根本原因糾正措施並開始恢復生產線以來，團隊在這個領域一直執行得非常好，而且我們已經看到了後續訂單的到來。我們確實看到了這部分業務良好的成長潛力。我們看到市場需求旺盛，在這個領域，我們在技術上具有差異化優勢。因此，我們對這部分業務充滿樂觀，而這種樂觀情緒將持續下去。

And I think we don't talk about kind of where we are in individual programs, but I think there are programs that are fully ramped up in the production. Within the common processing architecture, there are other programs that are still ramping up.

我認為我們不會討論各個專案的具體進展情況，但我認為有些專案的製作已經全面展開。在通用處理架構中，還有其他一些程式仍在逐步完善中。

Okay. So there's still a runway, I guess. Okay.

好的。所以，看來還有一條跑道。好的。

And then just when we think about cash up to over $300 million, you bought back a little bit of stock in the quarter. How do we think about where that cash balance should be over time and what you guys are going to do with the cash?

正當我們考慮現金儲備超過 3 億美元的時候，你們又在本季回購了一些股票。我們該如何考慮這筆現金餘額在未來應該達到什麼水平，以及你們打算如何使用這筆現金？

Yeah. No, good question. I mean, we've said and kind of still validate and think about that $100 million to $150 million is probably the right kind of balance for us. It;s higher than that as we've generated significant cash in the last 1.5 years. That's the right level over the last two or three quarters kind of probably felt like the prudent approach to cash was to keep cash on our books as we were going through a little bit of uncertainty around government shutdowns, not shutdowns, what was going to happen in terms of payment.

是的。不，問得好。我的意思是，我們之前說過，現在也仍然認為，1億到1.5億美元可能是我們合適的平衡點。實際數字高於這個數字，因為我們在過去一年半的時間裡創造了大量現金流。過去兩三個季度，現金水平一直保持在合適的水平，這或許是審慎的現金管理方式，因為當時政府停擺（或者說政府停擺）帶來了一些不確定性，我們不確定支付方面會發生什麼。

Our emphasis is on delevering. That's something we're looking at, obviously, as we go through the next couple of quarters.

我們的重點是去槓桿化。很顯然，在接下來的幾個季度裡，我們會關注這個問題。

Yeah. I'd say the priorities around delevering and continuing to drive down net debt, that remains the focus.

是的。我認為，降低槓桿率和繼續降低淨債務仍然是工作的重點。

Michael Ciarmoli, Truist.

Michael Ciarmoli，Truist。

Good results. Bill or Dave, just -- I mean, looking at your top line, and I could appreciate all the commentary, you're growing slower than some of your SMID-cap peers and even some of your customers. And I think maybe you kind of alluded to it, but can you help us with exactly how much capacity is being allocated to the unbuild and maybe tease out that drag? I mean, is it kind of $10 million, $15 million a quarter? Just to try and get a sense of kind of how much is flowing through the P&L at no revenue recognition. But obviously, it's -- you're tying up capacity, executing on that.

結果良好。比爾或戴夫，我的意思是，看看你們的營收數據，我理解大家的評論，你們的成長速度比一些市值較小的同行甚至一些客戶都要慢。我想你可能已經暗示過這一點了，但你能否幫我們弄清楚究竟有多少產能被分配給了未建成的項目，並找出其中的阻礙因素？我的意思是，大概每季1000萬美元到1500萬美元吧？只是想了解一下有多少資金在沒有確認收入的情況下流入損益表。但很顯然，這樣做會佔用資源，因為執行起來很麻煩。

Yeah. Mike, we hadn't talked about that. We haven't put out this is how much revenue -- how much higher revenue would be if we stop doing that. It's a focus of ours to continue to burn down our net working capital.

是的。麥克，我們還沒談過這件事。我們還沒有公佈具體數據——如果我們停止這樣做，收入會增加多少。我們的目標是繼續消耗掉淨營運資本。

We're still not where we think our net working capital should be. We still think the unknown balances are too high. Certainly, there's some drag for that. We've talked about that, but we haven't quantified it.

我們的淨營運資本仍未達到預期水準。我們仍然認為未知餘額過高。當然，這其中肯定存在一些阻礙。我們討論過這個問題，但還沒有進行量化。

Maybe we'll take that offline. Just maybe back to Ken's question as well on kind of the choke points and why you can't consistently see some of this acceleration.

或許我們會把這件事下線。或許也可以回到 Ken 提出的問題，關於瓶頸點以及為什麼你無法持續看到某些加速現象。

We're one month into the quarter. As you kind of gauge your suppliers and look at maybe potential choke points, are there certain items that are giving you less confidence? Is it semiconductors? Is it circuit boards? Can you just maybe -- is it discrete components? What is sort of the potential watch items on that material list that's giving you reason for pause?

本季已經過去一個月了。當你評估供應商並查看可能的潛在瓶頸時，是否有某些項目讓你不太有信心？它是半導體嗎？是電路板嗎？請問一下－它是分立元件嗎？這份材料清單中，哪些潛在的腕錶項目讓你猶豫不決？

Mike, literally every week with the teams across every program, we're going through every bill material line by line and looking at what does it take for us to get it completed. And that can vary by program, but we're literally working across all of our programs to figure out how we can accelerate kit completion so that we can move hardware through our factories.

麥克，實際上每週我們都會和各個專案團隊一起，逐行審查每一項帳單資料，看看我們需要做些什麼才能完成它。這可能因專案而異，但我們正在所有專案中努力，找出如何加快套件完成速度，以便我們能夠讓硬體在我們的工廠中快速運轉。

And the reality is while we're pushing on our suppliers to close out kits, we don't know that the material will be here until the day that it shows up because literally, a supplier could tell us that the material will be here on Friday, and then on Friday tell us that it's delayed by 60 days for one reason or another. So that's the reason why we're not incorporating any further accelerations into our outlook, but we're working it very aggressively every day across the business.

而現實情況是，雖然我們一直在催促供應商盡快完成套件的交付，但我們直到材料到貨那天才能確定材料是否到貨，因為供應商可能會告訴我們材料週五就能到，然後週五又告訴我們由於這樣那樣的原因，材料要延遲 60 天才能到貨。所以這就是為什麼我們沒有在展望中納入任何進一步的加速措施，但我們每天都在整個業務範圍內非常積極地推進這項工作。

And I think the good news is, the last several quarters, we have demonstrated that we have built a muscle in the company to do this fairly consistently. We're just not baking it into our commentary.

我認為好消息是，在過去的幾個季度裡，我們已經證明公司已經培養出強大的實力，能夠相當穩定地做到這一點。我們只是沒有把它融入我們的評論中。

And I wanted to say, Mike, I wouldn't characterize it as something's lessening our confidence. We go into the quarter, as Bill said, with, hey, what would we need to do to be able to accelerate this? And then we work on those constraints all quarter long to build our confidence that we can get it done. So not -- I wouldn't suggest that anything is lessening our confidence in our ability to do it. It's a process we work through.

我想說，麥克，我不會把它描述成某種削弱我們信心的事情。正如比爾所說，我們進入本季時會思考，我們需要做些什麼才能加快這一進程？然後，我們整個季度都在努力克服這些限制，以建立我們能夠完成任務的信心。所以，並非如此──我並不認為有什麼事情會削弱我們對自身能力的信心。這是一個我們需要經歷的過程。

Austin Moeller, Canaccord Genuity.

Austin Moeller，Canaccord Genuity。

Nice quarter. Are you able to comment, and I know it's small, but are you able to comment on the revenue impact mercury of the stop work order on the Star program? And if that were to be resumed when you might expect task orders or long leads to come in on delivery components for that?

不錯的街區。您能否就「停止工作令對 Star 專案的收入影響」發表一下看法？我知道這只是個小問題。如果恢復生產，您預計何時會收到與交付組件相關的任務訂單或長期訂單？

Yeah, Austin. We don't quantify individual contracts or programs. We have literally 300 different programs, and one of the strengths we have is the broadness of our portfolio and the revenue across it. There's no single contract that we have that approaches 10% of our revenue.

是的，奧斯汀。我們不量化單一合約或項目。我們擁有多達 300 個不同的項目，我們的優勢之一在於我們產品組合的廣泛性和收入來源。我們沒有任何一份合約的收入能達到我們總收入的 10%。

And we're working closely with our customer here and have thought through with them and understand where we are in terms of funding where they are, what they're doing in terms of that sub work. And it's incorporated in our outlook, but it has been -- there's nothing that we would change at this juncture.

我們正在與客戶密切合作，與他們一起思考，了解我們在資金方面的情況，以及他們在分包工作方面的情況。這已經融入了我們的觀點，但目前為止——我們沒有什麼需要改變的。

And I understand the dynamic of the contract shift towards higher margin production contracts in the near term here. But is there a specific mix of component product types that you expect be bridging you to your long-term gross margin and EBITDA margin expectations of low- to mid-20s?

我理解短期內合約轉變為高利潤生產合約的趨勢。但是，您是否預期某些特定的組件產品類型組合能夠幫助您實現長期毛利率和 EBITDA 利潤率約 20% 的預期目標？

Yes. Not specifically. Bill has talked about the production versus development mix and whether 80/20 is an ideal number. There probably isn't -- we're in the range kind of we expect to be in the margins that we're bringing into our new bookings are consistent with our longer-term model of what we expect. So it's across the portfolio. We feel good across the portfolio about the margin profile we're seeing in all our new bookings.

是的。不完全是。比爾談到了生產與開發的比例，以及 80/20 是否是理想的比例。可能沒有——我們目前處於預期範圍內，我們為新預訂帶來的利潤與我們的長期預期模型是一致的。所以這種情況遍及整個投資組合。我們對整個產品組合中所有新訂單的利潤率狀況都感到滿意。

Jonathan Ho, William Blair.

喬納森·何，威廉·布萊爾。

Just wanted to see if there's any additional color you can offer regarding updates to both Golden Dome and those international orders that you're perhaps getting a little bit more visibility towards?

我想了解一下，關於金穹頂項目以及您可能正在密切關注的國際訂單的最新進展，您是否還有其他補充資訊？

Yeah. It's interesting because when we think about the growth drivers in our business right now, we have a number of different growth factors. I mean, obviously, at the core, it's the ramp to rate from our development programs to production. And that's largely what is the drive group behind us achieving our target profile of above-market growth, top-line growth, EBITDA margins in the low- to mid-20% range, and free cash flow conversion of 50%-plus.

是的。有趣的是，當我們思考目前公司業務的成長驅動因素時，我們發現有許多不同的成長因素。我的意思是，很顯然，其核心在於如何將我們的研發項目轉化為實際生產。而這正是我們實現目標的主要驅動力，高於市場平均的成長、營收成長、EBITDA 利潤率在 20% 到 25% 之間，以及自由現金流轉換率超過 50%。

And then on top of that, which you don't really factor into that outlook, are a number of different tailwinds in the market associated with the larger US defense budget, a larger percentage of that budget being allocated to the acquisition of capabilities like ours, the executive orders that we feel like really play to our sweet spot, things like mandating the use of commercial technology, which is right in the center of our value proposition. Of course, Golden Dome, significant tailwinds there, and the growth of the international defense market. So that's kind of the landscape of growth drivers that are out there.

此外，還有一些你沒有真正考慮進去的市場利好因素，例如美國國防預算增加，更大比例的預算被分配給像我們這樣的能力的採購，以及我們認為真正有利於我們優勢的行政命令，例如強制使用商業技術，這正是我們價值主張的核心。當然，金頂大廈（Golden Dome）也帶來了顯著的利多因素，國際防務市場也不斷成長。這就是目前成長驅動因素的大致情況。

I would say that for both Golden Dome and for the international opportunities, we're having numerous conversations. They continue to progress across our portfolio on a large number of programs. So it's not one or two opportunities that we're tracking. There's a dozen-plus programs where we're having conversations with customers around significant increases in quantities. And I would say that as any of those tailwinds were to hit, that would shift our expectations around on our ability to hit our target profile and exceed our target profile.

我想說，無論是金頂獎頒獎典禮還是國際機遇，我們都進行了多次討論。他們在我們眾多專案中持續取得進展。所以我們關注的並非一兩個機會。我們正在與客戶就十幾個項目的採購量大幅增加進行洽談。我認為，如果這些有利因素中的任何一個出現，都會改變我們對實現和超越目標績效的預期。

So still in the pipeline phases. Conversations are still progressing. And the best leading indicator that we'll have is when those conversations materialize into bookings. And we'll keep you posted as those conversations progress.

目前仍處於研發階段。對話仍在進行中。而我們能獲得的最佳領先指標，就是這些對話何時轉化為實際預訂。我們會隨時向您報告這些對話的進度。

Excellent. And then just in terms of your cost savings and facilities consolidation initiatives, can you give us a sense of how far along we are there and maybe some of the incremental margin opportunities that are still remaining? Thank you.

出色的。那麼，就成本節約和設施整合計畫而言，您能否讓我們了解我們目前進展到什麼程度，以及可能還有哪些增量利潤機會？謝謝。

Yeah. I mean, we've made a lot of progress as we've talked about the savings that we've already recognized. And you can certainly see that when you look at the kind of the run rate we have on our OpEx now versus what it was two years ago. We continue to identify everything. We continue to work on the things that make the most sense to make us more efficient to some of the automation Bill talking about, simplifying the process, looking at our facilities.

是的。我的意思是，正如我們之前討論的，我們已經取得了很大的進展，也實現了我們已經實現的節省。當你比較我們現在的營運支出運行速度和兩年前的情況時，你肯定能看出這一點。我們繼續進行全面鑑定。我們將繼續努力，做那些最能提高效率的事情，例如比爾提到的自動化、簡化流程、審視我們的設施等等。

Obviously, the facilities take a longer time frame to recognize those kind of savings, but Bill said many times, this is a long-term life -- always part of your life is looking for savings, how can you do things better. So we still see it going for a long time.

顯然，這些設施需要更長的時間才能體現出這種節省，但比爾多次說過，這是一段漫長的人生——人生的一部分總是要尋找節省的方法，如何做得更好。所以我們仍然認為它會持續很長時間。

Bill has talked about the operating leverage and how you can see as we've been able to accelerate activity. We haven't increased our Op expense associated with those activities. So it kind of flows right through. That's the kind of impact that we expect to keep seeing as we build the business going forward.

比爾談到了經營槓桿，以及我們如何能夠加快業務活動。我們並未增加與這些活動相關的營運費用。所以它就這麼順利地流了下去。我們預計，隨著業務的不斷發展，這種影響將會持續存在。

(Operator Instructions) Noah Poponak, Goldman Sachs.

（操作說明）諾亞·波波納克，高盛。

Could you level set us on the percentage of your revenue that is international? And I don't know if you could estimate or if you have the number on what's direct versus eventually ends up outside of the US, but is it through a US customer?

能否告知我們貴公司國際收入佔總收入的百分比？我不知道您能否估算一下，或者您是否有相關數據，說明哪些商品是直接發貨，哪些商品最終會流向美國境外，但這些商品是透過美國客戶發貨的嗎？

And then same question on missile and munition, just as we all kind of recalibrate for growth rates in those two segmentations.

然後，關於飛彈和彈藥的問題也一樣，就像我們都在重新調整這兩個細分市場的成長率一樣。

Yeah. So first, I would tell you that we don't break out -- if you're asking about FMS versus non-FMS, we don't actually break that out in our financials. And to a large degree, we follow our customer set. So as we're going through, we're working with our customers on what that breakout is.

是的。首先，我要告訴你，我們不會單獨列出──如果你問的是FMS與非FMS，我們其實不會在財務報表中單獨列出。在很大程度上，我們遵循客戶的意願。因此，在推進過程中，我們正在與客戶一起探討突破點是什麼。

But if you look at the queue, you can see the international and FMS revenue, and for the second quarter that was about $8 million. So that's percentage real quick.

但如果你看一下隊列，你可以看到國際和FMS收入，第二季約為800萬美元。這就是百分比的簡要計算。

15% range, something like that.

大約15%的波動範圍。

Okay. And do you have an approximation for how much revenue you generate from the category of missiles and munitions?

好的。您能否估算一下飛彈和彈藥這個類別能為您帶來多少收入？

We don't break that out separately.

我們不單獨列出這部分內容。

Okay.

好的。

You'll be able to see in the breakout between FMS and international and our domestic business. And as we note, with our business, programs and revenue can be kind of lumpy. The international FMS business has been growing nicely. Its growth rate is down a little bit this quarter. But of course, that highlights that our domestic business, when you look at the first half year over year is up low-teens, which I think speaks to some of the inherent growth of our domestic business right now, which is pretty exciting.

您可以在分項表中看到 FMS 與國際業務和我們國內業務之間的差異。正如我們所指出的，就我們的業務而言，項目和收入可能會有些波動。國際FMS業務發展動能良好。本季其成長率略有下降。當然，這也凸顯了我們國內業務上半年同比增長了兩位數，我認為這反映了我們國內業務目前的內在增長勢頭，這非常令人興奮。

So there's a little bit of detail that you'll see in the Q. We remain very bullish about the international opportunity where our backlog is.

所以，Q部分會包含一些細節資訊。我們仍然非常看好我們在國際市場的機遇，因為我們目前積壓的訂單很多。

And you could look at it. We do break out sensors and effectors, but ranking in just specifically how much is missile, you can look at that, but it would be something we don't show.

你可以看看。我們會單獨列出感測器和效應器，但要具體統計導彈的份額，你可以查看，但這並非我們展示的內容。

A question on margins. Could you speak to, even if directionally, in the medium-term framework, what do you expect for the gross margin and then R&D and SG&A as a percentage of revenue to walk to that EBITDA margin which I just -- it'd be helpful to understand just given those percentages have been moving around as you've taken on your strategy.

關於邊際效應的問題。您能否談談，即使是方向性的，在中期內，您預計毛利率以及研發和銷售、管理及行政費用佔收入的百分比將如何變化，才能達到 EBITDA 利潤率？鑑於這些百分比隨著您實施策略而有所波動，了解這些百分比將很有幫助。

Yeah. I don't think we've spoken to gross margins explicitly when it comes to our target margin profile. But what we said about our targeted EBITDA margins in the low- to mid-20% range, that basically the elements of the bridge from where we are to get to that target range involve the backlog margin progressing the way we talked about. So burning of low-margin programs and continuing to bring in new bookings in line with our target margins.

是的。我認為我們在製定目標利潤率目標時，還沒有明確討論毛利率。但我們之前說過，我們設定的 EBITDA 利潤率目標在 20% 到 25% 之間，而要達到這個目標，基本上需要積壓訂單利潤率以我們之前所說的方式成長。因此，我們要淘汰低利潤項目，並繼續引進符合我們目標利潤率的新訂單。

And we've been doing that consistently for several quarters, and we continue marching down that path, continuing to streamline and focus on the drive efficiencies into the business. And then third, positive operating leverage, because we feel like we've got our in a very good place. And as we continue to grow the top line, we don't expect to see meaningful growth in our OpEx.

我們已經連續幾個季度這樣做了，我們將繼續沿著這條道路前進，繼續精簡流程，專注於提高業務效率。第三，積極的經營槓桿，因為我們感覺我們已經處於非常有利的位置。隨著營收的持續成長，我們預計營運支出不會出現實質成長。

So those three elements really provide the bridge from where we are to that targeted margin profile.

因此，這三個要素真正為我們目前所處的位置與目標利潤率之間架起了一座橋樑。

And just one last one. I had the step back up in restructuring to the $4 million. Just curious what you're doing there and what it does for the future.

最後一個問題。我重新調整了重組計劃，金額達到了 400 萬美元。我只是好奇你在那裡做什麼，以及這對未來有什麼影響。

That's when we took an action in the quarter, and you can see this when you look in the queue that affected about 100 folks and some facilities. So we do expect to see some lift of that as we go through the -- get the full impact of that over the next year or so.

當時我們採取了一項季度行動，你可以查看影響了大約 100 人和一些設施的隊列，就能看出這一點。因此，我們預計在接下來的一年左右的時間裡，隨著這一趨勢的深入，這種情況會有所改善，並最終產生全面影響。

And Mr. Ballhaus, it appears there are no further questions at this time. Therefore, I would like to hand the call back to you for any additional or closing remarks.

巴爾豪斯先生，目前看來沒有其他問題了。因此，我想把電話交還給您，請您補充或作總結發言。

Okay. Well, thank you very much, and thanks, everyone, for joining us for our quarterly call, and we look forward to meeting you again next quarter. Thank you very much.

好的。非常感謝，也感謝各位參加我們的季度電話會議，我們期待下個季度再與大家見面。非常感謝。

Again, everyone, that does conclude today's conference. We would like to thank you all for your participation today. You may now disconnect.

再次向各位說明，今天的會議到此結束。感謝各位今天的參與。您現在可以斷開連線了。