NPK International Inc. (NPKI) 2026 Q1 法說會逐字稿

Thank you for standing by. My name is Kate, and I will be your conference operator today. At this time, I would like to welcome everyone to the NPK International first quarter 2026 earnings. (Operator Instructions)

感謝各位耐心等候。我是 Kate，今天將擔任本次電話會議的接線員。此刻，我謹代表公司歡迎各位參加 NPK International 2026 年第一季財報電話會議。（接線員指示）

I would now like to turn the call over to Gregg Piontek. Please go ahead.

現在我想將電話交給 Gregg Piontek。請開始。

Thank you, operator. I'd like to welcome everyone to the NPK International First Quarter 2026 Conference Call. Joining me today is Matthew Lanigan, our President and Chief Executive Officer. Before handing over to Matthew, I'd like to highlight that today's discussion contains forward-looking statements regarding future business and financial expectations. Actual results may differ significantly from those projected in today's forward-looking statements due to various risks and uncertainties, including the risks described in our periodic reports filed with the SEC.

謝謝，接線員。我想歡迎各位參加 NPK International 2026 年第一季電話會議。今天與我一同出席的是我們的總裁兼執行長 Matthew Lanigan。在把電話交給 Matthew 之前，我想先提醒各位，今天的討論包含有關未來業務與財務預期的前瞻性陳述。由於各種風險與不確定性（包括我們向美國證券交易委員會（SEC）提交的定期報告中所描述的風險），實際結果可能與今日前瞻性陳述所預測者有重大差異。

Except as required by law, we undertake no obligation to update our forward-looking statements. Our comments on today's call may also include certain non-GAAP financial measures. Additional details and reconciliations to the most directly comparable GAAP financial measures are included in our quarterly earnings release, which can be found on our corporate website.

除法律要求外，我們不承擔更新前瞻性陳述的任何義務。我們在今日電話會議中的評論也可能包含若干非 GAAP 財務衡量指標。更多細節以及與最直接可比的 GAAP 財務衡量指標之調節，已載於我們的季度財報新聞稿中，可於公司網站查閱。

There will be a replay of today's call, and it will be available by webcast within the Investor Relations section of our website at npki.com. Please note that the information disclosed on today's call is current as of May 1, 2026.

今日電話會議將提供重播，並將以網路直播方式於 npki.com 網站的投資人關係（Investor Relations）專區提供。請注意，今日電話會議所揭露之資訊截至 2026 年 5 月 1 日為止。

At the conclusion of our prepared remarks, we will open the line for questions. And with that, I'd like to turn the call over to our President and CEO, Matthew Lanigan.

在我們的準備發言結束後，我們將開放提問。接下來，我想把電話交給我們的總裁兼執行長 Matthew Lanigan。

Thanks, Gregg, and welcome to everyone joining us on today's call. We are very pleased with our strong start to 2026, which played out in line with our expectations discussed on last quarter's call. Despite the typical pause in customer projects around the year-end holidays, rental activity accelerated throughout the quarter with total rental and service revenues setting another quarterly record at $52 million, a 4% sequential and 20% year-over-year increase.

謝謝你，Gregg，也歡迎所有參與今日電話會議的各位。我們對 2026 年的強勁開局感到非常滿意，整體表現與我們在上一季電話會議中所討論的預期一致。儘管年終假期期間客戶專案通常會暫緩，租賃活動在本季仍持續加速，租賃與服務總營收再創單季新高，達 5,200 萬美元，較前一季成長 4%，較去年同期成長 20%。

Product sales demand also remained robust, contributing $23 million to first quarter revenue. Off the back of our solid execution, we delivered $22 million adjusted EBITDA in the quarter, representing a 4% sequential and 14% year-over-year improvement.

產品銷售需求同樣維持強勁，為第一季營收貢獻 2,300 萬美元。在我們穩健執行的帶動下，本季調整後 EBITDA 達 2,200 萬美元，較前一季提升 4%，較去年同期提升 14%。

We're also very pleased with our first quarter cash flow, delivering $21 million of cash flow from operations and $5 million of free cash flow while also expanding our rental fleet by 4%, repaying our revolving credit facility and using $3 million to fund share repurchases. Overall, Q1 once again demonstrated our consistent strong execution, which we believe are a direct reflection of our commitment to our key strategic priorities.

我們也對第一季的現金流表現非常滿意：營運活動現金流入 2,100 萬美元，自由現金流為 500 萬美元；同時我們將租賃車隊擴增 4%，償還循環信用額度，並使用 300 萬美元進行庫藏股回購。整體而言，第一季再次展現我們一貫且強勁的執行力，我們相信這直接反映了我們對關鍵策略優先事項的承諾。

As highlighted last quarter, a key component of our organic growth strategy is our manufacturing capacity expansion efforts. Having substantially concluded our project evaluation, our Board of Directors recently approved our plans to increase our production capacity by approximately 50% from current levels. We expect to invest $40 million to $45 million over the next 5 quarters to complete this project with the goal of bringing the additional capacity online by mid-2027.

如同上一季所強調，我們有機成長策略的一個關鍵組成是製造產能擴張。隨著專案評估已大致完成，我們董事會近期核准了將產能自目前水準提升約 50% 的計畫。我們預期在未來 5 個季度投入 4,000 萬至 4,500 萬美元完成此專案，目標是在 2027 年年中前讓新增產能投入運作。

We are confident that this expansion, along with our continuing debottlenecking initiatives will support our growth and composite matting market share growth for the foreseeable future. With that, I'll turn the call to Gregg for his prepared remarks.

我們有信心，這項擴產計畫加上我們持續推動的去瓶頸措施，將在可預見的未來支持我們的成長以及複合材料鋪墊（composite matting）市場占有率的提升。接下來我把電話交給 Gregg 進行他的準備發言。

Thanks, Matthew. I'll begin with a more detailed discussion of our first quarter results, then provide an update on our operational outlook and capital allocation priorities for the remainder of 2026. As Matthew touched on, the first quarter results were in line with our outlook commentary on our Q4 earnings call and reflect the continued momentum in our end markets. It's worth noting that the first quarter of 2026 also followed a similar pattern to early 2025. With a seasonal lull in project activity around the year-end holidays, then picking up steam as we progress through the first quarter.

謝謝你，Matthew。我將先更詳細說明第一季業績，接著更新我們 2026 年剩餘期間的營運展望與資本配置優先事項。如 Matthew 所提到，第一季結果符合我們在第四季財報電話會議中的展望評論，並反映終端市場動能持續。值得注意的是，2026 年第一季也呈現與 2025 年初相似的型態：年終假期前後專案活動出現季節性放緩，隨後在第一季進行期間逐步回溫。

Rental revenues grew 27% year-over-year, reflecting 12% organic growth, combined with a $4 million contribution from the Grassform acquisition. Service revenues grew 7% with substantially all of the increase coming from the acquisition. Total rental and service revenues were $52 million in the first quarter, achieving another all-time quarterly high, improving 4% sequentially and 20% year-over-year. Product sales activity also remained robust, benefiting from continuing demand from utility companies, generating $23 million of revenues in the first quarter, an 8% improvement from the quarter of last year. Looking at revenues by geography and sector.

租賃營收年增 27%，反映 12% 的有機成長，並加上 Grassform 併購帶來的 400 萬美元貢獻。服務營收成長 7%，幾乎全部增幅皆來自該併購。第一季租賃與服務總營收為 5,200 萬美元，再創歷史單季新高，較前一季提升 4%，較去年同期提升 20%。產品銷售活動亦維持強勁，受惠於公用事業公司持續需求，第一季營收達 2,300 萬美元，較去年同期季度提升 8%。接著我們按地區與產業別來看營收。

Our US revenues increased 9% year-over-year to $66 million including 17% growth in rental revenues, with the utility sector driving the substantial majority of our growth UK revenues more than doubled year-over-year to $9 million in the first quarter, primarily reflecting the Grassform contribution. Turning to gross profit.

美國營收年增 9% 至 6,600 萬美元，其中租賃營收成長 17%，且公用事業部門貢獻了我們成長的絕大部分。英國營收在第一季年增逾一倍至 900 萬美元，主要反映 Grassform 的貢獻。接著看毛利。

The first quarter gross margin was 36.2% compared to 37.7% in the fourth quarter and 39% in the first quarter of last year. The modest sequential gross margin compression primarily reflects the effect of lower rental fleet utilization early in the quarter attributable to the timing of large-scale projects, partially offset improvements in pricing, while the year-over-year decline also reflects the continuing impact of the cross rental costs discussed in previous quarters.

第一季毛利率為 36.2%，相較第四季的 37.7% 以及去年第一季的 39%。毛利率較前一季小幅下滑，主要反映本季初租賃車隊使用率較低的影響，原因在於大型專案時點安排；此影響部分被價格改善所抵銷。而年減幅度亦反映我們在前幾季討論過的交叉租賃（cross rental）成本持續影響。

It's important to highlight here that our cross rental fleet provides flexibility to support our large project activity and meet our customer commitments while also helping limit inefficient transportation. First quarter SG&A expenses totaled $13.2 million compared to $15.4 million in the fourth quarter and $11.7 million in the first quarter of last year. The first quarter result includes $12.5 million from our legacy business, along with $700,000 associated with the Grassform business.

在此需要強調的是，我們的交叉租賃車隊提供彈性，可支援大型專案活動並履行對客戶的承諾，同時也有助於降低低效率運輸。第一季銷售、一般及管理（SG&A）費用合計 1,320 萬美元，相較第四季的 1,540 萬美元以及去年第一季的 1,170 萬美元。第一季結果包含我們既有業務的 1,250 萬美元，以及與 Grassform 業務相關的 70 萬美元。

As highlighted last quarter, the fourth quarter results included $1.8 million of acquisition-related transaction costs and severance. Income tax expense was $3.6 million in the first quarter, reflecting an effective tax rate of 26%. Adjusted EPS from continuing operations was $0.12 per diluted share in the first quarter compared to $0.13 per share in the fourth quarter and $0.12 per share in the first quarter of last year. Turning to cash flows. Operating activities generated $21 million of cash in the first quarter, including $22 million from net income adjusted for noncash expenses, slightly offset by $1 million of cash used by a net increase in working capital.

如同上一季所提，第四季結果包含 180 萬美元的併購相關交易成本與資遣費。第一季所得稅費用為 360 萬美元，反映有效稅率 26%。第一季持續營運之調整後每股盈餘（EPS）為稀釋後每股 0.12 美元，相較第四季為每股 0.13 美元，去年第一季亦為每股 0.12 美元。接著看現金流。第一季營運活動產生 2,100 萬美元現金流入，其中包含經非現金費用調整後的淨利 2,200 萬美元，並被營運資金淨增加所使用的 100 萬美元現金小幅抵銷。

Net CapEx used $16 million, which includes nearly $15 million of net investment into the rental fleet expansion. We also used $3 million to fund share repurchases. We ended the quarter with total debt of $11 million and total cash of $7 million for a net-debt position of $4 million. Additionally, we have $148 million of availability under our bank facility, providing us with ample financial flexibility to continue executing on our strategic growth objectives, including our manufacturing expansion. Now turning to our business outlook.

淨資本支出（CapEx）使用 1,600 萬美元，其中包含近 1,500 萬美元用於租賃車隊擴張的淨投資。我們也使用 300 萬美元進行庫藏股回購。本季末總負債為 1,100 萬美元，現金總額為 700 萬美元，淨負債部位為 400 萬美元。此外，我們在銀行融資額度下尚有 1.48 億美元可用額度，為我們持續執行策略性成長目標（包括製造擴產）提供充足的財務彈性。接下來談我們的業務展望。

As disclosed in yesterday's press release, our customers remain highly constructive on the near- and longer-term outlook for utilities and critical infrastructure spending. With the benefits of our first quarter results and near-term expectations, we have raised the range of our full year 2026 outlook, now anticipating total revenues of $310 million to $325 million and adjusted EBITDA of $92 million to $102 million.

如同我們在昨日新聞稿中所揭露，我們的客戶對公用事業與關鍵基礎建設支出在短期及長期的展望仍持高度正向看法。基於第一季結果以及近期預期，我們已上調 2026 全年展望區間，現預期總營收為 3.10 億至 3.25 億美元，調整後 EBITDA 為 9,200 萬至 1.02 億美元。

The midpoint of our range reflects 15% revenue growth and 28% adjusted EBITDA growth over 2025. Our revenue guidance continues to reflect double-digit organic rental revenue growth along with the contribution from the Grassform acquisition, while product sales remained relatively in line with 2025 levels. In terms of CapEx, outside of the manufacturing expansion project, there are no other changes to our investment expectations for 2026.

我們區間中點反映相較 2025 年營收成長 15%，調整後 EBITDA 成長 28%。我們的營收指引仍反映租賃營收的雙位數有機成長，以及 Grassform 併購的貢獻；而產品銷售則大致與 2025 年水準相當。就資本支出而言，除製造擴產專案外，我們對 2026 年的投資預期沒有其他變動。

We anticipate total net CapEx of $75 million to $90 million for the year, including $30 million to $35 million of current year spending for the manufacturing expansion project, along with $35 million to $45 million targeted for rental fleet expansion. This level of investment is expected to grow our DURA-BASE rental fleet by a low- to mid-teens percentage, supporting our organic growth and also displacing a portion of cross-run assets currently deployed on projects.

我們預期全年淨資本支出（CapEx）合計為7,500萬至9,000萬美元，其中包括製造產能擴建專案當年度支出3,000萬至3,500萬美元，以及用於租賃車隊擴張的3,500萬至4,500萬美元。此投資水準預計將使我們的DURA-BASE租賃車隊以低至中十位數百分比成長，支持我們的有機成長，並同時替換目前在專案上部署的一部分跨租（cross-run）資產。

As for the near-term outlook, we expect to deliver 20% year-over-year growth in rental and service revenues in Q2, which includes the benefit of double-digit organic growth combined with the effect of the Grassform acquisition. On the product sales side, we expect Q2 revenues will be fairly in line with prior Q2 levels. Q2 gross margin is also expected to be roughly in line with the prior Q2 results.

就短期展望而言，我們預期第二季（Q2）租賃與服務營收將較去年同期成長20%，其中包含有機成長達雙位數的貢獻，以及Grassform收購案帶來的影響。在產品銷售方面，我們預期Q2營收將大致與過去Q2水準相當。Q2毛利率也預期將大致與前一年度Q2結果一致。

They remain dependent on the timing of project completions and fleet redeployments for a few large-scale projects. In terms of SG&A, we expect to remain near the $13 million quarterly level in the near term. For taxes, we expect our effective tax rate will remain relatively in line with the Q1 level for the full year 2026. We entered the year with roughly $40 million of NOLs and other tax credit carryforwards, which when combined with the accelerated deductions for capital investments are expected to significantly limit our cash tax obligations for the next several years.

這些仍取決於幾個大型專案的完工時點與車隊重新部署的時程。就銷售、一般及行政費用（SG&A）而言，我們預期短期內將維持在每季約1,300萬美元的水準。就稅務而言，我們預期2026全年有效稅率將大致與第一季（Q1）水準相近。我們在年初約有4,000萬美元的淨營運虧損（NOL）及其他稅額抵減結轉額，這些加上資本投資的加速扣除，預期將在未來數年大幅限制我們的現金稅負。

As it relates to our capital allocation strategy, we continue to prioritize investments in the growth of our rental fleet and our manufacturing capacity expansion as well as strategic acquisitions while also remaining committed to returning a portion of free cash flow generation to shareholders through our disciplined share repurchase program.

就我們的資本配置策略而言，我們仍優先投入租賃車隊成長與製造產能擴建，同時也重視策略性併購；並且我們也持續承諾透過嚴謹的庫藏股回購計畫，將部分自由現金流回饋給股東。

And with that, I'd like to turn the call back over to Matthew for his concluding remarks.

接下來，我想把電話交回給Matthew，請他做結語。

Yes. Thanks, Gregg. With a strong start to the year, we remain committed to our strategic priorities and executing to our 2026 plan we laid out last quarter. To that end, our primary focus continues to be the scale-up of our rental platform, which generates the highest long-term returns for our business. As we've discussed, our strategy includes a combination of geographic expansion and market share growth in the US.

好的，謝謝你，Gregg。隨著今年開局強勁，我們仍致力於我們的策略優先事項，並執行我們在上季所提出的2026年計畫。為此，我們的首要重點仍是擴大我們的租賃平台規模，因為這能為公司帶來最高的長期報酬。如同我們先前討論的，我們的策略包含在美國進行地理版圖擴張與市占率提升的組合。

And UK We remain confident that the strong momentum in these markets will support our continued fleet and operational expansion throughout the year, though the quarterly cadence remains dependent on project timings, particularly for large-scale projects. We remain committed to making the necessary investments to support our growth, investing a substantial majority of 2026 cash flows into the expansion of our DURA-BASE composite mat rental fleet which we expect to grow by low to mid-teens percentage in 2026, while also advancing our manufacturing expansion project, which will increase our production capacity by roughly 50%.

以及英國。我們仍有信心，這些市場的強勁動能將支持我們在全年持續擴張車隊與營運規模，儘管季度節奏仍取決於專案時程，尤其是大型專案。我們仍承諾投入必要投資以支持成長，將2026年現金流的絕大部分投入DURA-BASE複合墊板（composite mat）租賃車隊的擴張；我們預期該車隊在2026年將以低至中十位數百分比成長。同時，我們也將推進製造擴建專案，該專案將使我們的產能提升約50%。

Our second focus area remains on driving organizational efficiencies across the business. As we work through the significant transition to our new ERP system implemented in the first quarter, we now seek to leverage the enhanced system capabilities to drive further improvements while also making the necessary investments to drive sustainable long-term revenue growth for the company.

我們的第二個重點領域仍是推動全公司組織效率提升。隨著我們完成第一季導入的新ERP系統所帶來的重大轉換，我們現在希望運用強化後的系統能力，進一步推動改善，同時也進行必要投資，以帶動公司可持續的長期營收成長。

On balance, we expect our approach will help limit SG&A spending growth and drive continued improvement in our SG&A as a percentage of revenues. With respect to the conflict in the Middle East, we continue to monitor its impact on both our own and our customers supply chains, and we have not seen any meaningful impacts to date.

整體而言，我們預期此作法將有助於限制SG&A支出成長，並持續改善SG&A占營收比重。關於中東衝突，我們持續監控其對我們自身及客戶供應鏈的影響，截至目前尚未看到任何實質影響。

We are tracking our raw material suppliers closely and expect our work over the last several years to diversify our supply base will provide a useful counterbalance to any short-term cost movements. In addition, as Gregg mentioned earlier, our cross rental fleet capacity provides some offset to our internal transport charges associated with fleet movements between projects and we are ensuring our direct sales pipeline maintains commercial flexibility to pass through impacts where practical. And our final priority is the allocation of capital beyond our organic requirements.

我們正密切追蹤原物料供應商，並預期過去數年在供應來源多元化方面的努力，將能對任何短期成本波動提供有用的平衡。此外，如Gregg先前提到的，我們的跨租（cross rental）車隊產能可在一定程度上抵銷因專案間車隊移動所產生的內部運輸費用；我們也確保直銷管線維持商業彈性，以便在可行時將影響轉嫁。最後一項優先事項，是在滿足有機需求之外的資本配置。

With a strong balance sheet and a disciplined approach, we remain committed to our share repurchase program while also continuing to evaluate core strategic inorganic opportunities that increase our market coverage, value and relevance to customers in key critical infrastructure markets.

憑藉強健的資產負債表與嚴謹的作法，我們仍致力於庫藏股回購計畫，同時也持續評估核心、具策略性的非有機機會，以提升我們在關鍵基礎建設市場中對客戶的市場覆蓋、價值與相關性。

With robust market outlooks in our served geographies, a clear strategic focus and a pristine balance sheet, we are confident in our ability to deliver another strong year of profitable growth in 2026. In closing, I want to thank our shareholders for their ongoing support, our employees for their dedication to the business, including their commitment to safety and compliance and our customers for their ongoing partnership. And with that, we'll open the call for questions.

在我們所服務地區具備強勁的市場展望、清晰的策略聚焦以及極為健全的資產負債表之下，我們有信心在2026年再度交出強勁且具獲利性的成長。最後，我要感謝股東持續的支持，感謝員工對業務的投入與奉獻，包括對安全與合規的承諾，也感謝客戶持續的合作夥伴關係。接下來，我們將開放提問。

(Operator Instructions)

（接線員指示）

Aaron SpychallaCraig-Hallum.

Aaron Spychalla，Craig-Hallum。

So maybe first for me, just on -- can you talk about the pipeline in a little bit more detail? Just what have you been seeing from kind of greenfield versus brownfield projects? Are you starting to see any pickup from some of the high-voltage projects that are starting to come to the market?

我這邊先問第一個問題，關於——你能否更詳細談談案源（pipeline）？你們在綠地（greenfield）與棕地（brownfield）專案方面分別看到了什麼情況？另外，那些開始進入市場的高電壓專案，你們是否開始看到任何回溫？

Yes. Aaron, I'll take that one. I think at this point -- answering the second part of your question first, we're not really -- it's still a little early for some of the larger, higher voltage projects. We're expecting to see them a little later in the year. So most of the activity we're seeing right now is outside of that range.

好的，Aaron，這題我來回答。我想目前——先回答你問題的第二部分，我們其實還沒有真正看到——對於一些更大型、電壓更高的專案來說，現在仍稍微早了一點。我們預期會在今年稍晚看到它們。因此，我們目前看到的大多數活動都在那個範圍之外。

When I look at the split, where we left it last year in terms of pipeline build year-on-year, I think those -- that's holding pretty well here. We're seeing a slight growth, very slight growth in our emerging territory quoting activity, which is great to see that the investments in that commercial front end is starting to pay off. So I'd say, generally speaking, our pipeline remains as robust as where we left it last quarter. Some timing issues here in the first quarter that we touched on, on the call really kind of driving that first quarter, but still very optimistic for the rest of the year.

當我看分布情況時，就我們去年在案源建立（pipeline build）年對年（year-on-year）的狀況而言，我認為目前維持得相當不錯。我們在新興區域的報價活動看到些微、非常些微的成長，這很令人欣慰，代表我們在商務前端的投資開始見到成效。整體來說，我們的案源仍與上季結束時一樣強勁。第一季有一些我們在電話會議中提到的時程問題，確實影響了第一季的表現，但我們對今年剩餘時間仍非常樂觀。

All right. And then I appreciate the color on the capacity expansion. As we're hearing more of your customers talking about multi-decade CapEx cycle for utility transmission. Just can you talk about how long of a growth runway the expansion provides you and just potential to add additional capacity either in Louisiana or at the new location over time.

了解。也謝謝你對產能擴張的補充說明。隨著我們聽到越來越多客戶談到公用事業輸電將進入長達數十年的資本支出（CapEx）循環，你能否談談這次擴張能為你們提供多長的成長跑道？以及未來隨時間推進，在路易斯安那或新地點增加額外產能的可能性。

Yes. I guess the answer to that question is going to be a function of how fast the market wants to grow. Look, we see this plant giving us plenty of capacity through the end of the decade, if you will. And then beyond that, I think it is worth noting only settle on our locations. Longer term, we have plenty of room in our Louisiana facility if we wanted to co-locate everything there.

好的。我想這個問題的答案，將取決於市場希望以多快的速度成長。你看，我們認為這座工廠將在本十年末之前為我們提供充足的產能。再往後，我也想指出，我們在選址方面仍有彈性。長期來看，如果我們想把所有產能都集中設在路易斯安那的廠區，我們那裡仍有很大的空間。

And also, we have the ability to look for alternate sites. So we feel pretty good about our ability to grow our capacity in a timely fashion to meet the market demand out.

此外，我們也有能力尋找替代場址。因此，我們對於能夠及時擴充產能以滿足市場需求，感到相當有信心。

Lauren Maher, B. Riley Securities.

Lauren Maher，B. Riley Securities。

My first question is with the additional CapEx in mind, are you anticipating maintaining the same returns that you're currently generating?

我的第一個問題是，考量到額外的資本支出（CapEx），你們是否預期能維持目前所創造的相同報酬水準？

Yes. I would expect no change in the overall expectation. Obviously, that's a bit of a step change in terms of the investment in the asset base. But over time, we should continue to gain operating leverage on our asset base and provide a tailwind to our return on invested capital.

是的。我預期整體報酬的預期不會改變。當然，就資產基礎的投資而言，這是一個明顯的躍升。但隨著時間推進，我們應能持續在資產基礎上取得營運槓桿，並對投入資本報酬率（ROIC）形成正向助力。

Great. And then you mentioned improved pricing. Can you frame the magnitude of rental rate increases and whether you see room for further pricing?

很好。另外你提到定價改善。你能否說明租賃費率上調的幅度，以及你是否認為仍有進一步調價空間？

Yes. I think at this point, I'd probably frame it in low single digit, Laura. And I think what we're seeing is a little bit of tightness in the market. So we would expect to be able to hold that and maybe add to that moving forward in the year. Obviously, a little early for that, but encouraged with what we're seeing so far.

是的。我想在這個時間點，我大概會把它界定在低個位數成長，Laura。我認為我們看到市場有些許吃緊。因此，我們預期能夠維持這個水準，並且可能在今年接下來的時間再進一步提升。當然，現在談還稍早，但就目前所見的情況而言，我們感到鼓舞。

Min Cho, Texas Capital Securities.

Min Cho，Texas Capital Securities。

So it sounds like as the utilization remains strong, but you're going to continue to prioritize our rental fleet additions over product sales. But do you feel like your capacity is sufficient right now to support both at least through this year?

所以聽起來，雖然使用率仍然強勁，但你們會持續優先增加我們的租賃車隊（設備）而非產品銷售。不過，你們覺得目前的產能是否足以同時支援這兩者，至少在今年之內？

Yes. I think we touched on that last quarter. I mean, we feel comfortable that we can beat both. And I don't think we've been in a position yet where we've had to "prioritize one over the other". I think we've been able to meet both.

是的。我想我們在上一季已經提到過。我們的意思是，我們有信心兩邊都能做到。而且我不認為我們至今曾處於必須「在兩者之間擇一優先」的情況。我認為我們一直都能同時滿足兩邊的需求。

I think as Gregg touched on, we have a cross rental fleet that we can utilize here which has been helpful in offsetting any transportation inefficiencies with the price of diesel now kind of rising with the conflict in the Middle East. We're using that to help offset it. But we feel comfortable that we can meet what we see in the foreseeable future.

我想如 Gregg 所提到的，我們有一個可在此運用的交叉租賃（cross rental）車隊，這在抵消運輸效率不佳方面很有幫助，因為目前柴油價格隨著中東衝突而有上升。我們正利用這點來協助抵消影響。但我們有信心能滿足我們在可預見未來所看到的需求。

Excellent. So how should we think about kind of revenue and EBITDA progression through the rest of the year relative to the first quarter, kind of given seasonality, your cross rental I guess, continued cross rental, I guess, continued cross rental usage or displacement as well as CapEx timing.

很好。那麼，考量季節性、你們的交叉租賃（我想是持續的交叉租賃使用或替代效應），以及資本支出（CapEx）時點，對於今年剩餘期間相較第一季的營收與 EBITDA 走勢，我們應該如何看待？

Yes. I mean, the CapEx, I would expect to be -- there will be some front-loaded elements here associated with the procurement of equipment for the securing of the equipment for the expansion. So I would expect that to be a little more loaded up than, call it, Q2 and Q3. As far as the revenue and EBITDA cadence, EBITDA is obviously going to follow -- we're holding a pretty consistent EBITDA margin. But the revenue cadence, I would say the back half of the year still have that natural seasonality in Q3.

是的。就資本支出而言，我預期——會有一些前置投入的部分，與為擴產而採購設備、確保設備供應相關。因此，我預期這部分會比 Q2 和 Q3 更偏前段投入。至於營收與 EBITDA 的節奏，EBITDA 顯然會跟著走——我們維持相當一致的 EBITDA 利潤率。但就營收節奏而言，我會說下半年仍會在 Q3 呈現那種自然的季節性。

So obviously, I framed up the expectation for Q2. Naturally, the Q3 typically pulls back a bit from Q2 and then rebounds and surges from there in Q4.

所以，顯然我已經說明了對 Q2 的預期。通常 Q3 會自然地比 Q2 略為回落，然後在 Q4 再度反彈並加速成長。

Brandon Rogers, Roth Capital.

Brandon Rogers，Roth Capital。

This is Brandon Rogers on for Gerry Sweeney. So in terms of the wood to composite matting conversion, would you -- where would you estimate the composite matting stands as a percent of the overall market? And do you see the pace of conversion accelerating or remaining stable?

我是 Brandon Rogers，代替 Gerry Sweeney 提問。就木材到複合材料鋪墊（matting）的轉換而言，你們會如何估計複合材料鋪墊目前占整體市場的比例？你們認為轉換速度會加快，還是維持穩定？

Yes. Thanks, Brandon. I think we've called this out. We still see roughly 1/4 of the market in total being composite at this point, based on our math. I think the market share shift is going to be really a function of the pace of growth.

是的，謝謝你，Brandon。我想我們之前有提過。依我們的估算，目前整體市場大約仍有四分之一是複合材料。我認為市占率的移轉，主要會取決於成長速度的快慢。

If the market keeps growing as strongly as it is now, I think that we would expect that kind of percentage to hold just as everybody is keeping up with the growth rate, maybe a point or 2 of relative share shifts.

如果市場持續像現在這樣強勁成長，我想我們會預期這個比例大致維持不變，因為大家都在跟上成長率，可能只會出現 1 到 2 個百分點的相對市占變動。

And then one more for me. So -- sorry -- so the utility spending has accelerated your manufacturing capacity plans with the target for the 50% increase by mid '27. Is there anything that could delay this time line? Or is there any likelihood that the investments required to complete the expansion or more than your estimated $40 million to $45 million?

我還有一題。關於公用事業支出加速了你們的製造產能規劃，目標是在 2027 年年中前提升 50%。有沒有任何因素可能延後這個時程？或者，完成擴產所需的投資是否有可能高於你們估計的 4,000 萬到 4,500 萬美元？

Yes. I think there's always some movements in project timings and budget estimates. We feel pretty good that with the range we've painted and the timing there. We've been planning this for a while. Unforeseen things may happen, but we feel pretty good that we're going to be able to deliver this within the time frame and the budget that we've put forward here, Brandon.

是的。我想專案時程與預算估算總是會有一些變動。我們對於我們所提出的區間與時程感覺相當良好。我們已經規劃這件事一段時間了。可能會有不可預見的事情發生，但我們相當有信心能在我們在此提出的時程與預算內交付，Brandon。

(Operator Instructions)

（接線員指示）

Bill Dezellem, Tieton Capital.

Bill Dezellem，Tieton Capital。

A couple of questions. Following up on your remarks about the large high-voltage projects have not yet begun, but you see them beginning later this year. Does that imply an acceleration of your growth rate in 2027 relative to 2026?

我有幾個問題。延續你們提到大型高壓專案尚未開始，但你們預期今年稍晚會開始。這是否意味著你們在 2027 年的成長率會相較 2026 年加速？

A little early to piece it all together, Bill, but I think what we had called out on previous calls was these high-voltage lines are going to have a larger matting requirement to fulfill them, large heavier equipment, larger equipment to get those lines installed.

Bill，現在要把所有因素拼湊起來還稍早，但我想我們在先前的電話會議中提到的是，這些高壓線路將需要更多的鋪墊（matting）來完成，因為需要大型、更重型的設備，才能把那些線路安裝完成。

So we see that as a net increase in matting requirement. And so you would logically say, yes, how that fits in with the rest of the project activity and what we can service, we need to look at that as we get closer to '27, but encouraging trend for sure.

因此，我們認為這會帶來鋪墊需求的淨增加。所以從邏輯上你會說，是的——至於這如何與其他專案活動相互配合，以及我們能服務到什麼程度，我們需要在接近 2027 年時再進一步評估，但這確實是令人鼓舞的趨勢。

Great. And then relative to the acquisition comments, I guess I'll put two in here. When do you anticipate that Grassform will be fully integrated, which I'm presuming that is the point that you would be willing to seriously entertain the next acquisition. And when that time comes, what are you structurally looking for with that next acquisition? Help us understand the characteristics that you're looking for and what you would be trying to accomplish with that acquisition?

很好。接著關於併購的評論，我想我這裡放兩個問題。你們預期 Grassform 何時會完成全面整合？我推測那會是你們願意認真考慮下一筆併購的時間點。等到那個時候，下一筆併購在結構上你們在尋找什麼？請協助我們理解你們在尋找的特徵，以及你們希望透過那次併購達成什麼目標？

Yes. Thanks, Bill. Look, I think we would have substantially most of the integration completed within the next sort of three to six months. I think an ERP conversion, we'll obviously look to roll them onto our ERP system. That may put a little bit longer tail on that.

是的，謝謝你，Bill。你看，我想我們會在接下來大約三到六個月內完成大部分的整合。我們也會進行 ERP 轉換，顯然會把他們導入我們的 ERP 系統；這部分可能會讓時程尾端拉得稍微長一些。

But when we bought the business, Bill, our focus was not to distract them with a lot of integration activity. It was to let them run. We're a very well-run business. And so we didn't want to get in the way too much with integration activities, which is why that time line may seem a little longer than you might have expected. And I think so far, that's going well for us.

但 Bill，當初我們收購這家公司時，我們的重點不是用大量整合活動去分散他們的注意力，而是讓他們照常運作。他們本來就是一家管理良好的企業。因此，我們不希望整合活動過度干擾他們，這也是為什麼時程看起來可能比你預期的稍長。我認為到目前為止，這對我們而言進展得很順利。

With respect to future acquisitions, I think it's pretty clear relative to our strategy. I think if there's markets where we can accelerate composite market share relative to timber incumbent, and we think that, that an acquisition will accelerate that relative to what we could do organically. That's when we would look to seriously kick the tires on something to acquire. And then from there, you've got your normal structural kind of pipeline factors in terms of the leverage of the company, the strength of the management team, the quality of the contracts that they have, et cetera, all of those kind of normal diligence items that you'd expect. So I hope that addressed your question.

至於未來的併購，我想相對於我們的策略已經很清楚。如果在某些市場中，我們能相較於既有的木材（timber）業者更快提升複合材料的市占率，而且我們認為透過併購能比有機成長更快達成，那就是我們會認真去評估、仔細研究可能收購標的的時候。接著，還會有一般結構性的管線因素，例如公司的槓桿水準、管理團隊的實力、其合約品質等等，這些都是你所預期的常規盡職調查項目。希望這回答了你的問題。

I'll now turn the call back over to Gregg Piontek for closing remarks.

我現在把電話交回給 Gregg Piontek 作結語。

All right. That our call today. Should you have any questions or requests, please reach out to us using our e-mail at investors@npki.com, and we look forward to hosting you again next quarter.

好的。以上是我們今天的電話會議。如有任何問題或需求，請透過電子郵件 investors@npki.com 與我們聯繫，我們也期待在下個季度再次接待各位。

Ladies and gentlemen, that concludes today's call. Thank you all for joining. You may now disconnect.

各位女士先生，今天的電話會議到此結束。感謝各位參與。您現在可以掛線。