Envista Holdings Corp (NVST) 2025 Q1 法說會逐字稿

Hello, my name is Madison, and I will be your conference call facilitator this afternoon. At this time, I would like to welcome everyone to Envista Holdings Corporation's first-quarter 2025 earnings results conference call. All lines have been placed on mute to prevent any background noise. (Operator Instructions)

您好，我叫麥迪遜，今天下午我將擔任您的電話會議主持人。現在，我歡迎大家參加 Envista Holdings Corporation 2025 年第一季收益業績電話會議。所有線路均已靜音，以防止任何背景噪音。（操作員指示）

And I will now turn the call over to Mr. Jim Gustafson, Vice President of Investor Relations at Envista Holdings. Mr. Gustafson, you may begin your conference call.

現在我將電話轉給 Envista Holdings 投資者關係副總裁 Jim Gustafson 先生。古斯塔夫森先生，您可以開始電話會議了。

Good afternoon. Thanks for joining Envista's first-quarter 2025 earnings call. We appreciate your interest in our company. With me today are Paul Keel, our President and Chief Executive Officer; and Eric Hammes, our Chief Financial Officer. Before we begin, I want to point out that our earnings release, the slide presentation supplementing today's call, and reconciliations and other information required by SEC Regulation G relating to any non-GAAP financial measures provided during the call are all available on the Investor section of our website, www.envistaco.com.

午安.感謝您參加 Envista 2025 年第一季財報電話會議。感謝您對我們公司的關注。今天與我一起的有我們的總裁兼首席執行官保羅·基爾 (Paul Keel) 和我們的首席財務官埃里克·哈姆斯 (Eric Hammes)。在我們開始之前，我想指出的是，我們的收益報告、今天電話會議的補充幻燈片演示以及與電話會議期間提供的任何非 GAAP 財務指標有關的對帳和其他資訊均可在我們網站 www.envistaco.com 的投資者部分找到。

The audio portion of this call will be archived in the Investor section of our website later today under the heading Events and Presentations. During the presentation, we will describe some of the more significant factors that impacted year-over-year performance. The supplemental materials describe additional factors that impacted year-over-year performance. Unless otherwise noted, references in these remarks to company-specific financial metrics relate to the first quarter of 2025, and references to period-to-period increases and decreases in financial metrics are year over year.

本次通話的音訊部分將於今天稍後存檔在我們網站的「活動和演示」標題下的「投資者」部分。在演示過程中，我們將描述一些影響同比業績的更重要的因素。補充資料描述了影響同比業績的其他因素。除非另有說明，這些評論中提到的公司特定財務指標均與 2025 年第一季有關，而財務指標的同期增減則是指同比增減。

During the call, we may describe certain products and devices that have applications submitted and pending certain regulatory approvals or are available only in certain markets. We will also make forward-looking statements within the meeting of the Federal Securities Laws, including statements regarding events and developments that we believe, anticipate, or may occur in the future.

在通話過程中，我們可能會描述某些已提交申請並等待某些監管部門批准或僅在某些市場上銷售的產品和設備。我們還將在聯邦證券法會議範圍內做出前瞻性陳述，包括有關我們相信、預期或可能在未來發生的事件和發展的陳述。

These forward-looking statements are subject to a number of risks and uncertainties, including those set forth in our SEC filings, and actual results may differ materially from any forward-looking statements that we make today. These forward-looking statements speak only as of the date they are made, and we do not assume any obligation to update any forward-looking statements except as required by law.

這些前瞻性陳述受到許多風險和不確定性的影響，包括我們向美國證券交易委員會提交的文件中所述的風險和不確定性，實際結果可能與我們今天所做的任何前瞻性陳述有重大差異。這些前瞻性陳述僅代表其作出之日的觀點，除非法律要求，否則我們不承擔更新任何前瞻性陳述的義務。

With that, I will turn the call over to Paul.

說完這些，我會把電話轉給保羅。

Thank you, Jim. Good afternoon and welcome, everyone. We appreciate you taking the time to join us today. We'll cover four items on today's call. I'll kick us off with some opening thoughts on our first-quarter results. Next, Eric will take us through the numbers in more detail. Third, I'll close with an update on our strategic and operational progress, including how we're navigating the current environment. And then as always, we'll open it up for your questions.

謝謝你，吉姆。下午好，歡迎大家。感謝您今天抽空加入我們。今天的電話會議我們將討論四項內容。首先，我將就我們第一季的業績談一些看法。接下來，Eric 將向我們更詳細地介紹這些數字。第三，最後我將介紹我們的策略和營運進展，包括我們如何應對當前環境。然後像往常一樣，我們將回答您的問題。

Slide 4 summarizes three things; first-quarter results, progress on the plan we laid out at our Capital Markets Day, and the actions that we're taking to navigate the current environment. Let's begin on the left with Q1 performance. In short, it was a solid start to the year for Envista. We delivered core growth of 0.2% and adjusted EBITDA margin around 13%, both in line with our expectations as well as adjusted EPS of $0.24, a bit ahead of our expectations. In addition to this, we made good progress on the $250 million share repurchase program that we announced on our Q4 call.

投影片 4 總結了三件事：第一季的業績、我們在資本市場日制定的計劃的進展情況以及我們為應對當前環境而採取的行動。讓我們從左邊第一季的表現開始。簡而言之，對於 Envista 來說，這是一個好的開始。我們實現了核心成長 0.2%，調整後 EBITDA 利潤率約為 13%，均符合我們的預期，調整後每股收益為 0.24 美元，略高於我們的預期。除此之外，我們在第四季電話會議上宣布的 2.5 億美元股票回購計畫也取得了良好進展。

Moving to the middle of the slide, we delivered growth across most of the portfolio, including Consumables and Nobel Biocare, as well as Ormco, excluding China, where ortho VBP preparations are underway. We saw broad-based progress on the operations front, with gains in areas like customer service, price, G&A productivity, and Spark margins. And we made progress across multiple people priorities, including a four-point jump in employee engagement as we benefit from the momentum we've been building across the past few quarters.

移至幻燈片中間部分，我們大部分投資組合都實現了成長，包括消耗品和 Nobel Biocare，以及 Ormco（不包括中國，其中正在進行正交 VBP 準備工作）。我們在營運方面取得了廣泛的進展，客戶服務、價格、一般及行政管理效率和 Spark 利潤率等領域均有所成長。我們在多個人員優先事項上都取得了進展，其中員工敬業度提高了四個百分點，這得益於我們過去幾個季度積累的勢頭。

Turning to the macro environment, the global dental market was generally stable in Q1 with underlying demand similar to what we saw in the second half of 2024. As we know, dental tends to be more resilient than the overall economy. While US consumer confidence indices have deteriorated since the start of the year, we did not see this manifest in our Q1 results. Geopolitical uncertainty has continued to moan, of course. As a consequence, we are ramping mitigating actions to further increase our resiliency moving forward.

展望宏觀環境，第一季全球牙科市場整體穩定，潛在需求與 2024 年下半年相似。眾所周知，牙科業比整體經濟更具彈性。儘管美國消費者信心指數自今年年初以來有所惡化，但我們在第一季的業績中並未看到這種跡象。當然，地緣政治的不確定性仍在持續。因此，我們正在增加緩解措施，以進一步提高我們未來的彈性。

For example, the restructuring we announced on our last call, as well as additional cost controls throughout the quarter, is contributing to good G&A productivity across Envista. We captured price across most geographies and businesses in Q1, furthering the momentum we built in 2024. We took advantage of the flexibility embedded in our global supply chain to activate changes in source of supply in response to announced or anticipated tariff activity. And as Eric will say more about shortly, we benefit from a strong balance sheet.

例如，我們在上次電話會議上宣布的重組以及整個季度的額外成本控制正在為 Envista 的良好 G&A 生產率做出貢獻。我們在第一季佔領了大多數地區和業務的價格，進一步鞏固了我們在 2024 年建立的勢頭。我們利用全球供應鏈的靈活性，根據已宣布或預期的關稅活動來啟動供應源的變化。正如埃里克稍後會詳細介紹的那樣，我們受益於強勁的資產負債表。

I'll say more specifically about the tariff landscape later in the presentation, but like many global players, we launched a tariff task force early in Q1. Tightly coordinated communications coupled with strong operational capabilities have allowed us to move nimbly in response to the shifting environment. Taking into account tariff announcements made to date, balanced against the good momentum we're building and the solid start in Q1, we are maintaining our 2025 guidance of 1% to 3% core growth, roughly 14% adjusted EBITDA margins, and adjusted EPS of $0.95 to $1.05.

我將在稍後的演講中更具體地介紹關稅情勢，但與許多全球參與者一樣，我們在第一季初就成立了關稅工作小組。緊密協調的溝通加上強大的營運能力使我們能夠靈活應對不斷變化的環境。考慮到迄今為止發布的關稅公告，加上我們正在建立的良好勢頭和第一季的良好開局，我們維持 2025 年核心增長率 1% 至 3%、調整後 EBITDA 利潤率約 14% 以及調整後每股收益 0.95 美元至 1.05 美元的預期。

I'll now turn it over to Eric to walk us through the numbers.

現在我將把時間交給 Eric，讓他向我們介紹這些數字。

Thanks, Paul. In the first quarter, we delivered sales of $617 million. Currency exchange rates negatively impacted sales year over year by about 140 basis points, while core sales in the quarter increased 20 basis points. Our Specialty Products and Technology segment declined about 1 point, and the Equipment and Consumables segment increased about 2 points. As a reminder, Q1 2025 had two fewer billing days versus Q1 2024, which generated a modest non-operational headwind, the impact of which you will see more in our Specialty Products and Technology segment given the direct nature of the business.

謝謝，保羅。第一季度，我們的銷售額達到 6.17 億美元。貨幣匯率對銷售額產生了約 140 個基點的負面影響，而本季核心銷售額則成長了 20 個基點。我們的專業產品和技術部門下降了約 1 個百分點，而設備和消耗品部門則增加了約 2 個百分點。提醒一下，2025 年第一季與 2024 年第一季相比，計費天數減少了兩天，這產生了適度的非營運阻力，鑑於業務的直接性質，您將在我們的專業產品和技術部門中看到更多這種阻力的影響。

As Paul mentioned, we posted positive growth in Consumables, Premium Implants, and in Orthodontics outside China. Consumables was strong across most categories and geographies. We posted a second consecutive quarter of growth in premium, including North America, which is an area of particular focus for us. Ortho was positive both in Spark and Brackets and Wires, again excluding the effects of VBP preparation in China.

正如保羅所提到的，我們在中國以外的耗材、優質植入物和矯正領域都實現了積極成長。消耗品在大多數類別和地區都表現強勁。我們的保費收入連續第二季成長，其中北美地區是我們特別關注的地區。Ortho 對 Spark 和 Brackets and Wires 均持正面態度，再次排除了中國 VBP 準備的影響。

Our Q1 adjusted gross margin was 54.8%, a decrease of 260 basis points versus the prior year, with foreign exchange rates being the primary headwind. We'll cover in detail specifically in our margin walk, but the weaker dollar trend from Q4 to Q1 resulted in a net FX transaction loss from balance sheet remeasurement. From an operational perspective, though, our supply chain performed in line with our expectations, including another quarter of strong Spark unit cost reduction.

我們第一季的調整後毛利率為 54.8%，較前一年下降 260 個基點，主要不利因素是外匯匯率。我們將在保證金評估中具體介紹，但第四季至第一季的美元疲軟趨勢導致資產負債表重新計量的淨外匯交易損失。不過，從營運角度來看，我們的供應鍊錶現符合我們的預期，包括 Spark 單位成本又一個季度強勁下降。

Our adjusted EBITDA margin for the quarter was 12.8%, which was 120 basis points lower than the prior year. Overall, margins were hurt by the net FX impact already mentioned, but helped by G&A productivity, price, and further improvements in Spark margins. Adjusted EPS in the first quarter was $0.24, down $0.02 compared to the same quarter of last year, but slightly above our expectations. Our non-GAAP tax rate for the quarter was 31.5%, favorable to our expectations, although we are still forecasting a full-year figure of approximately 37%.

本季調整後的 EBITDA 利潤率為 12.8%，比上年下降 120 個基點。總體而言，利潤率受到了前面提到的淨外匯影響的影響，但受到了一般及行政管理效率、價格以及 Spark 利潤率進一步提高的幫助。第一季調整後每股收益為 0.24 美元，較去年同期下降 0.02 美元，但略高於我們的預期。本季我們的非公認會計準則稅率為 31.5%，符合我們的預期，儘管我們仍然預測全年稅率約為 37%。

Finally, free cash was an outflow of $5 million in Q1. The first quarter is typically a low cash flow quarter for us due to the timing of incentive compensation and working capital. The year-over-year reduction was the result of a low incentive compensation payout in the comparable period last year. Let's now turn to two bridges to help us break down our year-over-year results, beginning with the sales bridge.

最後，第一季自由現金流出 500 萬美元。由於激勵薪酬和營運資本的時間安排，第一季通常是我們現金流較低的季度。年比下降的原因是去年同期激勵薪酬支出較低。現在讓我們轉向兩座橋樑來幫助我們打破同比業績，首先是銷售橋樑。

For year-over-year revenue, foreign exchange was a headwind of approximately $8 million due to the dollar, on average, being stronger in Q1 2025 than it was in Q1 2024, moderated a bit by the fact that the dollar weakened notably during the quarter. Sales volume was roughly flat in Q1. This is the net of growth in Consumables, Premium Implants, and Orthodontics offset by declines in Diagnostics globally and Brackets and Wires in China.

對於同比收入而言，外匯造成約 800 萬美元的阻力，因為美元在 2025 年第一季平均比 2024 年第一季強勢，但由於美元在本季明顯走弱，外匯阻力略有緩和。第一季的銷售量基本上持平。這是消耗品、優質植入物和正畸產品的成長淨額，抵消了全球診斷產品和中國托架和鋼絲產品的下滑。

The Spark revenue deferral change accounted for an approximate $4 million headwind in Q1. This is consistent with the guidance we provided last quarter. We expect Q2 to be roughly neutral year on year. And in the second half, we expect year-over-year benefits from the unwinding of our higher revenue deferral.

Spark 營收延期變化給第一季造成了約 400 萬美元的不利影響。這與我們上個季度提供的指導一致。我們預計第二季將年比數據大致持平。而在下半年，我們預期隨著更高收入遞延的解除，我們將獲得年增。

Price was a benefit of $6 million over the prior year as we delivered approximately 1 point of growth through price execution. We have been working for the past several quarters leveraging EBS in order to increase our yield on price changes globally. In Q1, we saw improved price performance across many of our businesses and geographies.

由於我們透過價格執行實現了約 1 個百分點的成長，因此價格比前一年增加了 600 萬美元。過去幾個季度，我們一直在利用 EBS 來提高全球價格變化的收益。在第一季度，我們的許多業務和地區的價格表現都有所改善。

Turning to the adjusted EBITDA margin bridge, foreign exchange rates were a net headwind of 170 basis points, principally due to the transactional effect mentioned earlier related to the US dollar weakening within the quarter. Volume and mix represented 120-basis-point declines connected to the negative growth of high margin Brackets and Wires in China and relatively fast growth in select portfolios within Nobel and Consumables, which carry margins below fleet average.

談到調整後的 EBITDA 利潤率橋樑，外匯匯率淨逆風 170 個基點，主要由於前面提到的與本季美元走弱有關的交易效應。交易量和產品組合下降了 120 個基點，原因是中國高利潤率的 Brackets 和 Wires 業務出現負增長，而 Nobel 和 Consumables 部分產品組合增長相對較快，利潤率低於車隊平均水平。

Spark deferrals represented about 60 basis points of headwind versus the prior year. Similar to my comments on revenue, we estimate the Q2 margin impact from Spark deferral to be roughly neutral year on year before turning to a tailwind in Q3 and Q4. On the positive side, we had a net productivity gain of 150 basis points in the quarter. As Paul mentioned, we reached another record low on Spark unit costs and delivered year-over-year reductions in G&A, including corporate spending.

與前一年相比，Spark 延期帶來了約 60 個基點的不利影響。與我對營收的評論類似，我們估計 Spark 延期對第二季度利潤率的影響與去年同期相比大致保持中性，然後在第三季和第四季轉為順風。從積極的一面來看，本季我們的淨生產力提高了 150 個基點。正如保羅所提到的，我們的 Spark 單位成本再創新低，包括企業支出在內的一般及行政費用也較去年同期下降。

And rounding out the walk, our previously mentioned progress on pricing contributed 80 basis points of margin expansion in Q1. Turning to segment performance, poor revenue in the Specialty Products and Technology segment declined 70 basis points year on year. In our Orthodontics business, as Paul mentioned, we saw growth in both Spark and Brackets and Wires outside China.

最後，我們先前提到的定價進展為第一季的利潤率成長貢獻了 80 個基點。談到分部業績，特種產品和技術分部收入較差，年減了 70 個基點。正如保羅所提到的，在我們的矯正業務中，我們看到中國以外的 Spark 和托槽及鋼絲業務均實現了成長。

On the implants side, Premium delivered another quarter of positive growth, although Challenger contracted slightly after consistent growth across 2024. In Q1, our Specialty Products and Technologies business had an adjusted operating margin of 14.1%, down about 100 basis points year over year. This decline was driven by FX transaction losses within the quarter, the net impact from our Spark deferral change, and a decline in ortho China volumes.

在植入物方面，Premium 再次實現了季度正成長，儘管 Challenger 在 2024 年持續成長後略有萎縮。第一季度，我們的特種產品和技術業務調整後的營業利潤率為 14.1%，年減約 100 個基點。這一下降是由於本季外匯交易損失、Spark 延期變化的淨影響以及中國鄰苯二甲酸酯交易量的下降造成的。

Moving to our Equipment and Consumables segment, core sales in the quarter increased by 170 basis points versus prior year, as mid-single-digit growth in Consumables was partially offset by a high single-digit contraction in Diagnostics. Our adjusted operating margin for this segment declined 360 basis points versus Q1 2024, mainly driven by FX transaction losses within the quarter and partially offset by the previously mentioned volume and price growth in Consumables.

轉向我們的設備和消耗品部門，本季度核心銷售額較上年同期增長了 170 個基點，因為消耗品部門的中等個位數增長被診斷部門的高個位數收縮部分抵消。該部門的調整後營業利潤率較 2024 年第一季下降了 360 個基點，主要原因是本季外匯交易損失，並被前面提到的消耗品銷售和價格成長部分抵銷。

Next, I'll turn to cash flows and our balance sheet. Q1 free cash flow was minus $5 million, a reduction of $34 million year on year, primarily driven by the low-incentive compensation payout in 2024 that I mentioned earlier. Our balance sheet remains strong and stable, with net debt to adjusted EBITDA of approximately 1 times.

接下來，我將討論現金流和我們的資產負債表。第一季自由現金流為負 500 萬美元，年減 3,400 萬美元，主要原因是我之前提到的 2024 年低激勵薪資支出。我們的資產負債表依然強勁且穩定，淨債務與調整後 EBITDA 比率約為 1 倍。

As we outlined at our Capital Markets Day, Envista has an excellent balance sheet and good underlying financial strength. This provides us strong flexibility during periods of macroeconomic uncertainty, much like we see today. Given this financial position, three months ago, we announced a $250 million share repurchase program. In Q1, we purchased $19 million of our stock or just over 1.1 million shares.

正如我們在資本市場日所概述的那樣，Envista 擁有出色的資產負債表和良好的潛在財務實力。這為我們在宏觀經濟不確定時期提供了強大的靈活性，就像我們今天所看到的一樣。鑑於這種財務狀況，三個月前，我們宣布了一項 2.5 億美元的股票回購計畫。在第一季度，我們回購了價值 1,900 萬美元的股票，即超過 110 萬股。

That covers our Q1 financial review. I'll now turn the call back over to Paul for a strategy and operations update.

這涵蓋了我們的第一季財務回顧。我現在將電話轉回給保羅，讓他介紹策略和營運的最新情況。

Thanks, Eric. At our Capital Markets Day in March, we laid out a value-creation plan consisting of four components, guided by our purpose, centered on our values, focused on our priorities, and framed by our guidance. By way of update, I'll outline Q1 progress on priorities on the following slide. Next, provide a bit more detail on the tariff landscape, and then wrap up with some closing thoughts.

謝謝，埃里克。在三月的資本市場日上，我們制定了一項價值創造計劃，該計劃由四個部分組成，以我們的目標為指導，以我們的價值觀為中心，關注我們的優先事項，並以我們的指導為框架。作為更新，我將在下一張投影片中概述第一季優先事項的進度。接下來，提供更多有關關稅狀況的細節，然後總結一些結論。

As Eric detailed, we had a strong start to 2025 from a financial perspective. The same is true in terms of our strategic and operational progress. With respect to growth, we already covered our headway in Consumables, Nobel, and Ortho, as well as price capture across most of the portfolio. We also posted good performance across most geographies, positive growth in North America, Japan, and emerging markets excluding China, and flat in Europe.

正如 Eric 所詳述的，從財務角度來看，我們在 2025 年有一個強勁的開始。我們的策略和營運進展也是如此。在成長方面，我們已經在消耗品、諾貝爾和 Ortho 方面取得了進展，並且在大多數投資組合中實現了價格捕獲。我們在大多數地區也取得了良好的業績，北美、日本和中國以外的新興市場都實現了正成長，而歐洲則持平。

In addition to these, we're continuing to make good progress on the commercial and clinical front, having trained more than 15,000 customers in the quarter. Many of you will have read the positive reports covering this year's International Dental Show in Cologne. I hadn't been there myself since before COVID, but the spirit of innovation and optimism that is characteristic of the event was as strong as ever, some 135,000 visitors from more than 150 countries were in attendance along with over 2,000 exhibitors.

除此之外，我們在商業和臨床方面繼續取得良好進展，本季已培訓了超過 15,000 名客戶。你們中的許多人可能已經讀過有關今年科隆國際牙科展覽會的正面報道。自從新冠疫情爆發以來，我自己就沒有去過那裡，但這次展會所特有的創新和樂觀精神一如既往地強烈，來自 150 多個國家的約 135,000 名參觀者以及 2,000 多家參展商參加了此次展會。

While there is plenty of near-term macro uncertainty, as I'll come on to in just a moment, long-term confidence in the dental market remains high. On the operational front, we continue to enjoy strong contributions from EBS, our continuous improvement methodology that is central to how we deliver results, develop our people, and advance our culture.

儘管短期內存在著許多宏觀不確定性（我稍後會談到），但對牙科市場的長期信心仍然很高。在營運方面，我們繼續受益於 EBS 的強大貢獻，EBS 是我們持續改進的方法，對於我們如何實現成果、培養人才和推進文化至關重要。

By way of example, we continue to serve customers at very high service levels, with on-time delivery around 95%. Dependable customer service is always important, but particularly so in times of heightened uncertainty. We're seeing improved G&A productivity, supported by the actions we took in recent quarters to address redundancies and streamline processes. And as mentioned earlier, Spark posted another successive quarter of gross margin improvement, and we remain on track for this business to turn operating profit positive in the second half.

舉例來說，我們繼續以非常高的服務水準為客戶提供服務，準時交貨率約為 95%。可靠的客戶服務始終很重要，尤其是在充滿不確定性的時期。我們看到，G&A 效率有所提高，這得益於我們最近幾季為解決冗餘問題和簡化流程而採取的行動。如同前面所提到的，Spark 連續一個季度實現了毛利率的提高，我們仍有望在下半年實現該業務的營業利潤為正。

Finally, with respect to people, we saw a nice uptick in employee engagement in Q1, with broad-based improvement in important areas like communication, collaboration, and advancing an energizing work environment. We also saw year-on-year improvement in employee retention across both our professional and production teams. And a refreshed leadership team is working well together, benefiting from a nice balance of experienced Envista leaders with deep market knowledge and customer relationships supplemented with fresh perspectives brought in from other high-performing companies and cultures.

最後，就人員而言，我們看到第一季員工敬業度大幅提升，在溝通、協作和營造充滿活力的工作環境等重要領域均取得了廣泛改善。我們也看到專業團隊和生產團隊的員工留任率逐年提高。煥然一新的領導團隊合作良好，得益於經驗豐富的 Envista 領導者的良好平衡，他們擁有深厚的市場知識和客戶關係，並補充了從其他高績效公司和文化中帶來的新視角。

Three thoughts on today's highly fluid tariff landscape. First, one of Envista's fundamental strengths is our exceptional global reach. We have 2,400 commercial leaders working with customers across 130-plus countries. We serve these customers from a manufacturing footprint spanning three continents. Our worldwide reach is clearly a competitive advantage, but by definition, it also exposes us to macro shifts in areas like raw material supply, currency fluctuations, and yes, tariffs.

對於當今高度不穩定的關稅情勢的三點思考。首先，Envista 的根本優勢之一是我們卓越的全球影響力。我們擁有 2,400 名商業領袖，與 130 多個國家的客戶合作。我們的製造基地遍佈三大洲，為這些客戶提供服務。我們的全球影響力顯然是一種競爭優勢，但從定義上講，它也使我們面臨原材料供應、貨幣波動以及關稅等領域的宏觀變化。

Specific to current tensions between the US and China, we have strong positions in both markets. This has served us well over time and will continue to be a benefit moving forward, but it does come with heightened uncertainty in the current context. As we have detailed in other investor communications, our supply chain is well architected to respond to shifts of this sort. Most of our large businesses have sources of supply in two or more countries, and the vast majority of our product registrations cover multiple supply locations.

具體到當前中美之間的緊張局勢，我們在兩個市場都佔有強勢地位。長期以來，這給我們帶來了很大的好處，並將繼續為我們帶來好處，但在當前情況下，這確實帶來了更大的不確定性。正如我們在其他投資者溝通中詳細說明的那樣，我們的供應鏈經過精心設計，可以應對此類變化。我們大多數的大型企業在兩個或兩個以上的國家都有供應來源，而且我們的絕大多數產品註冊涵蓋多個供應地點。

While any change takes some time to implement, the takeaway for stakeholders is that we have good, albeit not complete, flexibility to navigate the current environment. Let me give you a feel for some of the actions currently underway. Our tariff task force has been meeting daily, and our senior management team meets weekly to understand the latest developments, to agree on appropriate actions, and to ensure effective execution.

雖然任何改變都需要一些時間來實施，但利害關係人的收穫是，我們擁有良好的（儘管不是完全的）靈活性來應對當前的環境。讓我向你們介紹一下目前正在進行的一些行動。我們的關稅工作小組每天都會開會，我們的高階管理團隊每周也會開會，以了解最新進展，商定適當的行動，並確保有效執行。

We have already transitioned some sources of supply, and further moves are underway. We're working closely with suppliers and partners to ensure clear communication and good execution across our broader connected supply chains. All sides understand that costs could increase, either directly from specific tariffs or indirectly from downstream inflation effects. Collaboratively optimizing how these costs are managed through price and other levers makes a big difference for impacted stakeholders.

我們已經轉換了一些供應來源，並且正在進行進一步的措施。我們正在與供應商和合作夥伴密切合作，以確保我們更廣泛的互聯供應鏈中的清晰溝通和良好的執行。各方都明白，成本可能會增加，要么直接來自特定關稅，要么間接來自下游通膨效應。透過價格和其他手段協作優化這些成本的管理方式，對受影響的利害關係人來說意義重大。

And as Eric detailed in his comments, we're managing costs wherever we can to help offset increases that are outside our control. And third, let me frame the tariff impact to our business. Beginning with Q1, the impact was negligible. Looking forward to the balance of 2025, we expect to broadly offset the impact from the tariffs currently in effect through the range of mitigating actions that I just described. Each of these efforts has a different implementation timeline, so we anticipate net headwinds in Q2 with offsetting tailwinds in the second half.

正如埃里克在評論中詳細闡述的那樣，我們正在盡一切可能管理成本，以抵消我們無法控制的成本成長。第三，讓我來闡述關稅對我們業務的影響。從第一季開始，影響可以忽略不計。展望2025年的平衡，我們期望透過我剛才描述的一系列緩解措施，廣泛抵消目前生效的關稅的影響。每項努力都有不同的實施時間表，因此我們預計第二季將出現淨逆風，而下半年將出現抵銷順風。

I'll close my tariff comments with the most obvious but also the most important point. This is naturally a highly fluid environment. While I feel good about the flexibility embedded in our global footprint as well as the execution orientation of our organization, things have, and most likely will, continue to change.

我將以最明顯但最重要的一點來結束我的關稅評論。這自然是一個高度流動的環境。雖然我對我們的全球影響力所蘊含的靈活性以及我們組織的執行力感到滿意，但情況已經並且很可能將繼續改變。

I'll wrap things up with some closing thoughts on the quarter. First, dental market performance in Q1 was pretty similar to what we saw in the second half of 2024. Second, our Q1 performance was in line with our expectations and a good start to the year. We continue to build strong momentum as reflected in the results we shared today. With respect to the macro, dental is most responsive to three or four economic indicators with a mix of pluses and minuses at present.

我將用一些關於本季的總結性想法來結束本季的工作。首先，第一季的牙科市場表現與 2024 年下半年的表現非常相似。第二，我們第一季的業績符合預期，為今年開了個好頭。正如我們今天分享的結果所反映的那樣，我們繼續保持強勁勢頭。從宏觀角度來看，目前牙科產業對三到四個經濟指標最為敏感，有好有壞。

On the downside, consumer confidence is clearly trending the wrong way. After five consecutive months of gains across the back half of 2024, the University of Michigan Consumer Confidence Index declined every month this year and is now back to the lows of 2022. While dental is empirically more stable than the broader economy and has lower regulatory or reimbursement risk than other healthcare categories, the flip side is that higher out-of-pocket pay means increased consumer sensitivity.

不利的一面是，消費者信心明顯呈現下滑趨勢。密西根大學消費者信心指數在 2024 年下半年連續五個月上漲之後，今年每個月都下降，目前已回落至 2022 年的低點。雖然從經驗上看，牙科比整體經濟更穩定，而且監管或報銷風險比其他醫療保健類別更低，但另一方面，更高的自付費用意味著消費者敏感度的增加。

Unemployment, on the other hand, is a positive at present. People with jobs tend to also have dental insurance, which underpins the stability of dental, especially in non-elective categories. Employment levels are currently good across most major economies. Interest rates are probably somewhere in the middle. On the one hand, most central banks lowered rates across the fall, and several continued to do so in Q1. On the other hand, absolute levels are still above where they were pre-COVID, and the go-forward forecast for further loosening is less certain today than it was a few months ago, which brings us on to tariffs.

另一方面，失業率目前是積極因素。有工作的人往往也會有牙科保險，這鞏固了牙科的穩定性，特別是在非選修類別中。目前大多數主要經濟體的就業水準良好。利率可能處於中間水準。一方面，大多數央行在整個秋季都降低了利率，並且有幾家央行在第一季繼續降息。另一方面，絕對水平仍高於新冠疫情之前的水平，而且目前對進一步放鬆政策的預測不像幾個月前那麼確定，這就引出了關稅問題。

As I walked through a moment ago, we have good plans in place to offset the levies currently in effect. As our initiatives ramp, any GAAP in Q2 should be recovered in the second half. While well understood by this audience, I'll nonetheless again underline the fluidity of the situation. Today's news could well be out of date by tomorrow.

正如我剛才所說的那樣，我們已經制定了很好的計劃來抵消目前徵收的稅款。隨著我們舉措的加強，第二季的任何 GAAP 都應該在下半年恢復。儘管在座的各位都理解這一點，但我還是要再次強調情勢的不確定性。今天的新聞到明天很可能就過時了。

Netting all this out, we are maintaining the 2025 guidance that we put forth on our Q4 call, albeit with a wider confidence interval for the reasons just mentioned. I'll close by noting that navigating today's shifting environment, while challenging, also showcases the commitment and expertise of our global team. We have talented and dedicated people here at Envista and I am grateful for all you do in the service of our stakeholders.

綜合考慮所有這些因素，我們維持在第四季度電話會議上提出的 2025 年指導方針，儘管由於剛才提到的原因，置信區間有所擴大。最後，我要指出的是，應對當今不斷變化的環境雖然充滿挑戰，但也展現了我們全球團隊的承諾和專業知識。Envista 擁有才華橫溢、敬業奉獻的員工，我感謝你們為我們的利害關係人所做的一切服務。

That completes our prepared remarks, and we'll now open it up for your questions. Thank you.

我們的準備好的演講到此結束，現在我們將開始回答大家的提問。謝謝。

(Operator Instructions) Jon Block, Stifel. Please go ahead.

（操作員指示）Jon Block，Stifel。請繼續。

Thanks, guys. Paul and Eric, thanks for the questions. I'll push a little more on tariffs as it's top of mind for many investors right now. So given the constantly changing environment, can you just say a little bit more about your current tariff exposure and maybe just provide some -- call it like specifics on what you're doing to mitigate the impact. Thanks.

謝謝大家。保羅和埃里克，感謝你們的提問。我將進一步推動關稅問題，因為這是目前許多投資者最關心的問題。因此，考慮到不斷變化的環境，您能否再多說一點有關您目前的關稅風險，並提供一些具體信息，說明您為減輕影響所採取的措施。謝謝。

Yes, thanks for the question, Jon. That is a good place to start. The lion's share of our tariff exposure sits in three areas. As you might expect, our two largest categories are US goods imported into China and then Chinese goods imported the other way into the US. Now with respect to the former, most of our exposure here comes from our own facilities, in particular Premium Implants that we sell in China but make in one of our plants in the US.

是的，謝謝你的提問，喬恩。這是一個很好的起點。我們的關稅風險主要集中在三個領域。正如您所料，我們最大的兩個類別是美國商品進口到中國，然後中國商品從美國進口到美國。現在就前者而言，我們的大部分曝光度來自我們自己的設施，特別是我們在中國銷售但在美國的一家工廠生產的優質植入物。

So in terms of mitigation, we have two major implant manufacturing locations, one in the US and one in Sweden. They have similar capabilities and product registrations. So while, as I mentioned in our prepared remarks, it does take a bit of time to implement, we're in the process of shifting a portion of the China supply from the US to Sweden.

因此，在緩解方面，我們有兩個主要的植入物製造地點，一個在美國，一個在瑞典。它們具有類似的能力和產品註冊。因此，正如我在準備好的演講中提到的那樣，這確實需要一些時間來實施，但我們正在將部分中國供應從美國轉移到瑞典。

Now secondly, with respect to the Chinese imports into the US, these are a little bit different. They're principally raw materials and semi-finished goods that come from our suppliers. So a different array of activities are underway to mitigate the impact here. For example, we expect our suppliers to mitigate the tariff impacts themselves rather than passing it on to Envista. And like Envista, many of them have manufacturing locations in multiple countries. So they have supply changes underway in their own networks.

其次，就中國對美國的進口而言，情況略有不同。它們主要是來自我們供應商的原料和半成品。因此，我們正在採取一系列不同的活動來減輕這裡的影響。例如，我們希望我們的供應商自行減輕關稅的影響，而不是將其轉嫁給 Envista。和 Envista 一樣，許多公司在多個國家設有生產基地。因此，他們自己的網路正在發生供應變化。

We're also qualifying additional suppliers to build further resilience and optionality in our supply base. That then brings us on to the third, the smallest category, of tariff exposure. That's European imports into the US. These are similar to the first category. Most of this is finished goods that we produce in an Envista site but sell to customers in the US.

我們也正在對更多供應商進行資格審查，以增強我們供應基礎的彈性和可選性。接下來我們討論第三類，也是最小的關稅風險類別。這是歐洲進口到美國的商品。這些與第一類類似。其中大部分是我們在 Envista 工廠生產但銷售給美國客戶的成品。

So a couple of examples to flesh it out. We produce some of our imaging equipment for US customers in Finland, and we produce some of our Consumables in plants in Italy and the Czech Republic. Now as with premium, we have US manufacturing for both of these businesses. And so again, we're rebalancing the supply chain to take advantage of that. We don't have complete flexibility in this regard; but overall, we're in pretty good shape.

舉幾個例子來充實它。我們在芬蘭為美國客戶生產一些成像設備，並在義大利和捷克共和國的工廠生產一些耗材。現在，與高端產品一樣，我們為這兩家企業都提供了美國製造。因此，我們再次重新平衡供應鏈以利用這一點。在這方面我們沒有完全的彈性；但總體而言，我們的狀況相當良好。

Finally, to round out the tariff situation, in addition to these supply chain-specific actions, we're also taking more general countermeasures that include things like COGS and G&A productivity and further gains in price capture. Actions of this sort further mitigate the impact of tariffs where our supplier management or our manufacturing activities don't fully offset the cost. Let me pause there and see if that gets at the heart of it, Jon.

最後，為了完善關稅情勢，除了這些針對供應鏈的行動之外，我們還採取了更普遍的對策，包括提高銷貨成本（COGS）和一般及行政費用（G&A）生產率以及進一步提高價格捕獲率等。當我們的供應商管理或製造活動無法完全抵銷成本時，此類行動進一步減輕了關稅的影響。讓我在這裡暫停一下，看看這是否觸及了問題的核心，喬恩。

No, that certainly does, Paul. That was great. Thanks very much. A lot of good detail there. I'll pivot for the second question. And I feel like this is going to come up on a handful of dental calls over the next week or so. But I'd just love to hear a little bit about April trends. Maybe just call it general trends, just volume-based, and your thoughts there and what it does or doesn't mean when we think about conversion to higher ASP procedures such as implants and clear aligners where you guys have a good chunk of business. And thanks for your time.

不，確實如此，保羅。那很棒。非常感謝。那裡有很多很好的細節。我將轉向第二個問題。我覺得在接下來的一週左右的時間裡，這個問題將會出現在一些牙科電話中。但我還是想了解一下四月的趨勢。也許只是稱之為一般趨勢，僅基於數量，當我們考慮轉換為更高的 ASP 程序（例如植入物和透明矯正器）時，您的想法是什麼，或者不意味著什麼，而您在其中擁有大量業務。感謝您抽出時間。

Yes, maybe I'll come at it from three levels. What are we seeing broadly in the market? Has there been any change from Q1 now rolling into Q2? And then the specifics, what we can share about the beginning of the quarter. The macro market trend is very similar. So Q1 was similar to the second half of 2024, and the start of April looks a lot like March. So of course, we're aware of some of the macro indicators deteriorating. But again, we don't see that yet manifesting in our results.

是的，也許我會從三個層面來談這個問題。我們在市場上普遍看到了什麼？從第一季到第二季度，有什麼變化嗎？然後是具體細節，我們可以分享有關本季度初的信息。宏觀市場走勢十分相似。因此，第一季與 2024 年下半年類似，而四月初與三月非常相似。當然，我們知道一些宏觀指標正在惡化。但同樣，我們還沒有在結果中看到這一點的體現。

So maybe the second part of it is April for us is off to a pretty good start. You can't read too much into a first month of a quarter, but we're encouraged by the early start. And then thirdly, sort of specifics across the portfolio, we don't see any major shifts from, say, a lower ticket procedure like a single tooth restoration versus all on four. And we don't see any major shifts between another one that we get asked about is brackets and wires to clear aligners. So I think the takeaway here is, in general, relative to what we all remember pre-COVID, the market still is slow, but it's pretty stable so far this year.

因此，四月份的第二部分對我們來說可能是一個相當不錯的開始。你不能對一個季度的第一個月做出太多的解讀，但我們對早期的開始感到鼓舞。第三，從整個產品組合的具體情況來看，我們沒有看到任何重大轉變，例如從單顆牙齒修復等較低票價的手術轉變為四顆牙齒修復。我們沒有看到我們被問到的另一個問題，即托架和鋼絲與透明矯正器之間有任何重大轉變。因此，我認為這裡的要點是，總的來說，相對於我們記憶中的疫情之前的情況，市場仍然緩慢，但今年到目前為止相當穩定。

Great color. Thanks, guys.

顏色很棒。謝謝大家。

Jason Bednar, Piper Sandler.

傑森貝德納、派珀桑德勒。

Good afternoon, guys. I want to follow up on Jon's question there on the tariff side. Maybe just hoping for maybe a little bit more of a prescriptive look on what you're seeing with gross and net impacts from tariffs in the business this year. Net obviously seems zero, but just if you can talk about kind of what you're assuming in the guide.

大家下午好。我想跟進喬恩關於關稅方面的問題。也許只是希望您能對今年關稅對企業造成的總影響和淨影響有更直觀的了解。淨值顯然為零，但您是否可以談談您在指南中假設的內容？

And trying to understand, do you have line of sight to that mitigation fully benefiting or offsetting in the second half of the year? And final, I guess, third part of this question is, do you have some assumptions built in here around the tariff pause remaining in place or that tariff pause being lifted? I don't think I heard that in the prepared remarks.

並試圖了解，您是否認為這種緩解措施將在下半年完全發揮作用或抵消影響？最後，我想，這個問題的第三部分是，您是否對關稅暫停是否繼續實施或關稅暫停是否取消有一些假設？我認為我沒有在準備好的發言中聽到這一點。

Let's see. There's a couple of things in there, Jason. Let me see if I can remember them, and remind me if I miss one. First, what is in our guide? Our guide includes tariff activity in effect today. We don't take a position on what might happen tomorrow. Similar comment regarding FX. Our guide includes spot rates as of the end of Q1. We don't take any position on what might happen with currency moving forward.

讓我們來看看。裡面有幾件事，傑森。讓我看看是否能記住它們，如果我錯過了一個就提醒我。首先，我們的指南包含什麼？我們的指南包括今天生效的關稅活動。我們對明天可能發生的事情不持立場。關於外匯的類似評論。我們的指南包括截至第一季末的現貨價格。我們對未來貨幣走勢不持任何立場。

I asked about I guess how confident are we that we can mitigate those tariffs already in effect across the back half? I would say our confidence is less certain than we were at the end of Q4 when we gave the guide. The error bars here are wider, but I would say the expected outcome is the same. That's why we're maintaining guidance.

我問的是，我們對下半年減輕已經生效的關稅有多大信心？我想說，我們的信心不如我們在第四季末給出指南時那麼堅定。這裡的誤差範圍更寬，但我想說預期結果是相同的。這就是我們維持指導的原因。

Maybe a bit more color on that. That's entirely conceivable that there could be benefits to the guide. So if inflation, for instance, heats up more, that would be a more pricing-supportive environment. And that would help to the upside on our core growth guide. The other side of that, of course, is also true. An inflationary environment will pressure COGS and margins, and that would be a potential downside. But as we look across the different scenarios, again, we think that the guide we gave at the end of Q4 that we're maintaining today is still the most appropriate guide for the full year.

也許可以再豐富一點色彩。完全可以想像該指南可能會帶來好處。因此，如果通貨膨脹進一步加劇，將會形成一個更有利於定價的環境。這將有助於我們的核心成長指南的提升。當然，另一方面也是如此。通膨環境將對銷貨成本和利潤率造成壓力，這將是一個潛在的不利因素。但當我們審視不同的情景時，我們再次認為，我們在第四季末給出的、我們今天維持的指導仍然是全年最合適的指導。

Okay, just one -- I think, the first part, if we can come back to it on the gross impact, if you could quantify that for us. And then as a follow-up question, also similar to Jon's question, I guess, but different tactics. How are dentists responding here real time to uncertainty just in March and April? Can you talk about what you're seeing with respect to capital purchase decisions, shifts in supply purchase priorities, inventory that offices are holding? I just would love to just get, again, kind of a current real time or fresh look at some of those dynamics.

好的，就一個——我想，第一部分，如果我們可以回到整體影響力上來，你能為我們量化一下嗎？然後作為後續問題，我想也與喬恩的問題類似，但策略不同。光是三月和四月，牙醫就如何即時應對不確定性？您能否談談您對資本購買決策、供應購買優先順序的變化以及辦公室持有的庫存的看法？我只是想再次以即時或全新的視角來觀察其中的一些動態。

Yes. Let's see, in terms of the gross impact, if I can give you a bit more color, we are a net exporter from the US into China. So the piece I talked about, Premium Implants made in the US going into China, that's a bigger number than the raw materials and the semi-finished goods that we purchase from suppliers that come back into US plants. That's the biggest chunk of the exposure, those two buckets.

是的。讓我們看看，就整體影響而言，如果我可以給你更多一點說明的話，我們是美國到中國的淨出口國。所以，我談到的是美國製造的優質植入物進入中國的數量，比我們從供應商購買並返回美國工廠的原材料和半成品的數量還要多。這兩個桶子是曝光量最大的部分。

The European piece that I talked about with Jon's question is smaller. And I would say the mitigation plans we have in place, although there's some variability on how quickly we get implemented, our ability to do so is pretty clear. We have multiple factories and we can move and rebalance supply across that.

我針對喬恩的問題談到的歐洲部分較小。我想說的是，我們制定的緩解計劃，雖然實施速度有些差異，但我們執行的能力是相當明確的。我們有多家工廠，我們可以在這些工廠之間轉移和重新平衡供應。

Let's see, you had a second question regarding tariff impact on customers. Probably easiest to think of it in two -- let's say three broad categories. Let's think of it, DSOs versus sort of individual proprietors. A doctor who might have a clinic or two. And then let's think about it US versus different parts of the world. The DSOs I've spoken with across Q1 were are in pretty good shape. We're pretty confident. Some of them have been at some of the dental shows, so I know that the sales side has spoken with them, and I think they're continuing to see good activity.

讓我們看看，您有第二個問題，關於關稅對客戶的影響。可能最簡單的方法是將其分為兩類──比如說三類。讓我們想想，DSO 與某個個體業主。可能擁有一兩家診所的醫生。然後讓我們思考美國與世界不同地區的對比。我在第一季交談過的 DSO 的狀況都非常好。我們非常有信心。他們中的一些人參加過一些牙科展覽會，所以我知道銷售方面已經與他們交談過，我認為他們的活動繼續保持良好狀態。

Some of the smaller customers of ours, they're closer to the consumer end of the spectrum, so some of the uncertainties that a normal consumer would feel in the current environment, they feel as well. I added that the category, US versus international, it's pretty different. I would say that the uncertainty is higher here in the US than it is in other developed markets. I think there's a noticeable difference in sort of attitude US versus Europe. And then I was in China earlier in Q2 before the tariff activity really heated up. And there, I would say that I went to a couple large DSOs, and things were feeling pretty good to give you a feel for it.

我們的一些小客戶更接近消費者群體，因此他們也會感受到一般消費者在當前環境下會感受到的一些不確定性。我補充說，美國和國際類別有很大不同。我想說，美國的不確定性比其他已開發市場更高。我認為美國和歐洲的態度有明顯差異。然後我在第二季早些時候去了中國，當時關稅活動還沒有真正升溫。我想說的是，我去了幾個大型 DSO，感覺一切都很好，可以讓你感受一下。

All right, helpful. Thank you.

好的，很有幫助。謝謝。

Elizabeth Anderson, Evercore ISI.

伊麗莎白·安德森，Evercore ISI。

Hi, guys. Thanks so much for the question. I had a question about VBP. What are your current expectations in terms of the timing and extent of VBP this year? And then also, perhaps, what have you sort of embedded in your guidance for that as we think about the next couple of quarters?

嗨，大家好。非常感謝您的提問。我有一個關於 VBP 的問題。您對今年 VBP 的時間和範圍有何期望？那麼，當我們考慮接下來的幾季時，您在指導中對此有何體現？

Let's see. VBP, ortho VBP, the kind of soundbite here, Elizabeth, is that it's progressing pretty in line with what we expected. The Chinese government is getting good at this, having gone through multiple categories. To give you a little detail on that, we expected that they would break forth OBVP into two distinct but related processes, one for the procedure cost and then one for the supply cost. That's exactly what we're seeing. The procedure cost VBP is currently underway across multiple provinces. We expect that to complete in the first half. And then if they follow past precedent, the supply VBP would follow shortly after that.

讓我們來看看。VBP，正交 VBP，伊莉莎白，這裡的聲音片段的進展與我們的預期相當一致。中國政府在這方面做得越來越好，已經經歷了多個類別。為了讓您更詳細地了解這一點，我們預計他們會將 OBVP 分解為兩個不同但相關的過程，一個用於程序成本，一個用於供應成本。這正是我們所看到的。目前，VBP 程序費用正在多個省份進行。我們預計這將在上半年完成。然後，如果他們遵循過去的先例，供應 VBP 也會隨之而來。

Second thing, we expect -- a major goal of these VBPs is to consolidate supply in order to maximize purchasing power. So as we saw with implants, the larger market share players going in tend to get even stronger coming out, provided they have the capabilities to compete in the new environment. We saw that in our implants business. While there was certainly a material impact of price down in the 40-plus percent range, there was a larger increase in volume to us. So net-net, it was a benefit.

第二件事，我們預計—這些 VBP 的主要目標是鞏固供應以最大限度地提高購買力。因此，正如我們在植入物中看到的那樣，如果進入新環境的參與者俱備競爭能力，那麼他們進入市場的份額越大，退出市場的實力就越強。我們在植入物業務中看到了這一點。雖然價格下跌 40% 以上確實產生了實質影響，但對我們來說銷量卻有了更大的成長。所以整體來說，這是一個好處。

We have a very strong position in Brackets and Wires in China, so we expect a similar net benefit in that regard. And then third, you asked about what is included in our guide. We expected to see a soft first quarter, maybe a soft first half in Brackets and Wires in China. That was in our original guide. We saw exactly that in Q1. We expect to see a benefit now in the second half when that product VBP completes, and hopefully, we navigate the process correctly.

我們在中國支架和鋼絲市場佔有非常強勢的地位，因此我們預期在這方面也會有類似的淨收益。第三，您詢問我們的指南中包含哪些內容。我們預計中國 Brackets and Wires 公司第一季的業績將會疲軟，甚至上半年的業績也會疲軟。那是在我們最初的指南中。我們在第一季就看到了這一點。我們期望在下半年產品 VBP 完成時看到效益，並且希望我們能正確地完成這個過程。

Got it. That's helpful. And maybe just as a follow up, we obviously saw some nice consumable sales in the quarter, and I know you had previously mentioned that that's not as impacted by the selling day's impact. Is there anything in terms of that we should think about in terms of distributor restocking, or would you say that that had pretty good sell-through dynamics? Any color there would be helpful.

知道了。這很有幫助。也許只是作為後續行動，我們顯然看到本季度有一些不錯的消費品銷售，我知道您之前提到過，這並沒有受到銷售日的影響。在經銷商補貨方面我們是否應該考慮什麼，或者您認為這具有相當不錯的銷售動態？任何顏色都會有幫助。

So yes, Consumables was a good quarter for us. I would say a couple of things, Elizabeth. First, Consumables and other covered or non-elective categories tend to always do better relative to the elective categories when confidence drops or when the market slows. So I guess I'm not surprised that our Consumables business was stronger. We'd expect that to continue. Pretty stable business for us. That would be the first thing I'd say.

所以是的，消耗品對我們來說是一個好的季度。我想說幾件事，伊莉莎白。首先，當信心下降或市場放緩時，消耗品和其他涵蓋或非選修類別往往總是比選修類別表現更好。因此，我想我的消耗品業務更加強勁並不令我感到驚訝。我們預計這種情況將會持續下去。對我們來說，業務相當穩定。這是我要說的第一件事。

The second thing is we worked hard last year, as you guys will remember, to try to diminish the inventory impacts through Consumables, which, of course, is a distributed category for us. Our operational capabilities are high. I talked about our customer service levels being consistently strong. Our partners understand they don't need a lot of inventory to serve their customers. You take more of the inventory out of the channel, you take out some of that variability to buy forward, et cetera. So I think that just further increases the stability of the business for us. So Consumables, good stable category. We have a good position in it, and we're off to a good start in 2025.

第二件事是，大家會記得，我們​​去年努力嘗試透過消耗品來減少庫存影響，當然，這對我們來說是一個分散式類別。我們的作戰能力很高。我談到我們的客戶服務水準始終保持強勁。我們的合作夥伴明白他們不需要大量庫存來為客戶提供服務。您可以從渠道中取出更多的庫存，消除一些可變因素以便進行遠期購買，等等。所以我認為這進一步提高了我們的業務穩定性。因此，消耗品屬於良好且穩定的類別。我們在這方面佔據了有利地位，2025 年我們將有一個好的開始。

Super helpful. Thank you.

超有幫助。謝謝。

Jeff Johnson, Baird.

傑夫·約翰遜，貝爾德。

Yes, thanks. Good afternoon, guys. So Paul, you mentioned a couple times during the call a 1-point price benefit in the quarter. I remain surprised, pleasantly surprised by that. Just my view has been that pricing power is tougher and tougher in dentistry, especially in this environment. But I guess my question is, you also talk about that as potentially a tariff mitigation strategy.

是的，謝謝。大家下午好。保羅，您在電話會議中幾次提到本季 1 個百分點的價格收益。我對此仍然感到驚訝，甚至驚喜。我的觀點是，牙科領域的定價權越來越難，尤其是在這種環境下。但我想我的問題是，您也將其視為潛在的關稅緩解策略。

As I talk to some of the dealers, I think what I'm hearing is especially those who are making in China, bringing into the US, those low-cost guys, if they really jack prices up, you may see dentists start to just move their purchasing decisions to other companies that don't raise prices so much.

當我與一些經銷商交談時，我認為我聽到的是，特別是那些在中國製造、將低成本產品引入美國的公司，如果他們真的抬高價格，你可能會看到牙醫開始將他們的購買決定轉移到其他不會大幅抬高價格的公司。

So the question, I guess, is more, what do you think your pricing power is in a tariff environment? Can you raise prices multiple points here on some products and get away with it without having to worry about customers shifting purchase preferences to other companies? Just how are you thinking about that maybe over the next few quarters?

所以我想，問題更多的是，您認為在關稅環境下您的定價能力如何？您能否將某些產品的價格提高多個點，而不必擔心客戶將購買偏好轉向其他公司？您對於未來幾季的情況有何看法？

Yes, let me answer it in general terms, and then it's specific country by country, category by category, and type of customer by type of customer. And I'll say more about what I mean by that. But in general, a couple things have been true across my career in dental that clinicians, in particular, sort of the higher -- I don't want to say higher quality, but the clinicians who play at the higher end of the pyramid, they value innovation. So they are willing to pay more for a better solution that improves either a clinical outcome for their patients or for clinical efficiency in their practice. In those cases, you can capture price.

是的，讓我概括地回答這個問題，然後針對每個國家、每個類別、每個客戶類型進行具體分析。我將會更詳細地解釋我的意思。但總的來說，在我的牙科職業生涯中，有幾件事是事實，那就是臨床醫生，特別是那些較高級別的——我不想說質量更高，但那些處於金字塔高端的臨床醫生，他們重視創新。因此，他們願意支付更多的錢來獲得更好的解決方案，以改善患者的臨床結果或提高臨床實踐的效率。在這些情況下，您可以捕捉價格。

I think the second part of it, what was implied in your question, is for pure commodities where you don't bring anything in particular to the customer other than the product, you're right. Those can be very price-sensitive circumstances. Which brings me on to the second half of the answer. Country by country, category by category, and type of customer by type of customer is important. Right now, I would say the US, yes, is more price-sensitive than some of the other markets.

我認為第二部分，也就是你的問題所暗示的，是純商品，除了產品之外，你不會為客戶帶來任何特別的東西，你是對的。這些情況可能對價格非常敏感。這讓我想到了答案的後半部。針對不同的國家、不同的類別以及不同的客戶類型進行分析非常重要。現在，我想說，是的，美國比其他一些市場對價格更敏感。

Some of our emerging markets, for instance, where there's a bigger differentiation between sort of the top-of-the-pyramid provider and more of the lower-tier provider, they tend to be less price sensitive than a similar volume customer in the US. You got to go category by category, of course, those where we have a stronger market position and those where we bring more innovation. Of course, we have greater ability to capture price. And then type of customer here is important. The DSOs, of course, much harder to capture price in that category than it would be with an individual clinician who might have a site or two.

例如，在我們的一些新興市場中，金字塔頂端的供應商和較低層級的供應商之間的差異較大，因此與美國同等數量的客戶相比，他們對價格的敏感度往往較低。當然，你必須逐一分析哪些類別是我們擁有更強市場地位的，哪些類別是我們帶來更多創新的。當然，我們有更大的能力去捕捉價格。這裡的客戶類型很重要。當然，與擁有一兩個站點的個體臨床醫生相比，DSO 更難捕捉該類別的價格。

Nice. That's helpful. Thank you. Maybe just a real quick one for Eric, just to make sure he's still with us here. I think two of the biggest swing factors in the second half of '25, in my model anyway, on the margin side, are you still expecting to get two-thirds of that $45 million or so Spark deferral from last year, two-thirds of that flowing back through the P&L in the back half of this year?

好的。這很有幫助。謝謝。對 Eric 來說也許只是一個快速的問候，只是為了確保他還和我們在一起。我認為 25 年下半年最大的兩個波動因素，無論如何，在我的模型中，在利潤方面，您是否仍預計會獲得去年 4500 萬美元左右的 Spark 遞延款的三分之二，其中三分之二會在今年下半年通過損益表回流？

And then I would assume that $4 million stub and the other, whatever, $15 million stub flows through early next year. So one is that two-thirds of the $45 million flow through is still expected in the second half this year. And two, I think you had quantified it at about $20 million of savings from cost takeout and other restructurings this year. Is that still the right number to be thinking about as far as restructuring savings, or those have gone up, I guess, as you try to mitigate some of the tariffs? Thanks.

然後我假設 400 萬美元的存根和另外 1500 萬美元的存根將在明年年初流出。因此，一方面，預計 4,500 萬美元的資金流入中，三分之二仍將在今年下半年到達。其次，我認為您已經將其量化為今年透過成本削減和其他重組節省的約 2000 萬美元。就重組儲蓄而言，這仍然是值得考慮的正確數字嗎？或者我猜，當您試圖減輕部分關稅時，這些數字已經上升了？謝謝。

Yes, great question, Jeff. Appreciate it. So I think the headline for Spark is no change in terms of what we communicated in the last call. So let me just remind you, maybe remind everybody, of the details. So last year we talked about the net headwind being about $45 million for the full year on a revenue basis from the Spark deferral change that we made. We indicated also on our Q4 call that we expected about two-thirds of that to come back as a tailwind this year.

是的，傑夫，問得好。非常感謝。因此，我認為 Spark 的標題與我們上次通話中傳達的內容相比沒有任何變化。因此，讓我提醒您，或提醒所有人，注意細節。因此，去年我們談到，由於我們做出的 Spark 延期變更，全年的淨逆風約為 4500 萬美元。我們在第四季電話會議上也表示，預計今年約有三分之二的銷售額將順風回升。

The charts that we provide indicate about a $4 million headwind in Q1. We expect that to be roughly neutral year on year in Q2, which means the balance of it, really, all of the two-thirds of the $45 million will be in the second half. Most of that is going to be in Q3. And when we get into the Q2 call, we'll probably give you even more specifics on that. No real change to that algorithm, that formula. And as you can already figure out, that's part of the reason that we'll have, call it, an outperformance, at least on a relative basis, for core growth in the second half of this year.

我們提供的圖表顯示第一季的逆風約為 400 萬美元。我們預計第二季的年收入將大致持平，這意味著 4,500 萬美元中的三分之二都將出現在下半年。其中大部分將在第三季實現。當我們進入第二季電話會議時，我們可能會向您提供更多具體資訊。該演算法、該公式沒有真正的改變。正如您已經了解的那樣，這也是我們今年下半年核心成長表現優異（至少相對而言）的原因之一。

And then restructuring, yes, so what we said on the Q4 call was $20 million. We're very much in line as we executed that coming even through first quarter. The majority of that benefit is going to hit in 2025. We'll have a little bit of investment. You saw, for example, we increased R&D this quarter, year on year, quarter on quarter, about 8%. But most of that is going to hit in 2025, and I would say no change to what we committed to, how we're executing, and how we see it.

是的，然後進行重組，所以我們在第四季度電話會議上說的是 2000 萬美元。我們非常符合這一目標，甚至在第一季就實現了這一目標。大部分收益將在 2025 年實現。我們會進行一點投資。例如，您會看到，本季我們的研發支出年比、季均增加了約 8%。但其中大部分將在 2025 年實現，我想說，我們的承諾、我們的執行方式以及我們的看法都不會改變。

We do see G&A performing better. That's outside of a restructuring comment. This quarter was a very good G&A reduction, as you heard from Paul, both year on year and sequentially and as we move forward. So without us having a specific next-level action to your question about restructuring, we do see good initiatives yielding good results, and that's part of the playbook we've got for making sure that we can mitigate as much as possible on that front.

我們確實看到 G&A 表現得更好。這不屬於重組評論的範圍。正如保羅所說，本季的 G&A 費用下降非常好，無論是同比還是環比，而且隨著我們繼續前進。因此，儘管我們還沒有針對您提出的重組問題採取具體的下一級行動，但我們確實看到好的舉措產生了好的結果，而這也是我們為確保能夠盡可能減輕這方面的影響而製定的策略的一部分。

Thank you.

謝謝。

Allen Lutz, Bank of America.

美國銀行的艾倫·盧茨。

Good afternoon. Thanks for taking the questions. One for Paul or Eric here on implants. Premium implants grew globally. Challenger looks like was a little weak this quarter. What drove the softness in Challenger in 1Q? What are the expectations embedded in the guide for the rest of the year between those two? I think you have some product launches coming in the second half. Trying to get a sense of what the expectations are for those two pieces for the rest of the year. Thanks.

午安.感謝您回答這些問題。這裡有一個關於植入物的保羅或埃里克。優質植入物在全球範圍內不斷增長。本季度，挑戰者看起來有點弱。是什麼導致 Challenger 第一季表現疲軟？指南中對今年剩餘時間的預期是如何的？我認為你們將在下半年推出一些產品。試著了解今年剩餘時間對這兩件作品的期望是什麼。謝謝。

I wanted to take that one. And then if I missed something, Eric can jump in. So Challenger had four straight quarters of growth in 2024 dip into the negative in Q1. You might remember at the beginning of Eric's comments, he mentioned that we had two fewer billing days in Q1 and that that would create a modest non-operational headwind in particular for our direct businesses. Challenger is a good example there. So I think that played a little bit of a part of it.

我想拿那個。如果我遺漏了什麼，Eric 可以介入。因此，挑戰者在 2024 年連續四個季度的成長都在第一季陷入負成長。您可能還記得，在 Eric 評論的開頭，他提到我們第一季的計費天數減少了兩天，這將對我們的直接業務造成適度的非營運阻力。挑戰者就是一個很好的例子。所以我認為這起了一點作用。

More importantly, the second half of your question, what do we expect across the year? We don't see this as signaling a change in trajectory for our Challenger business. It's an important category for us. As you know, we under-index in Challenger relative to premium, so we're very focused on growing our Challenger business both organically and, if the opportunity comes up we'd look there as well. Specific to what's included in the guide, I'll look to Eric on this, but we're not anticipating a change to the trajectory on either premium or Challenger. Steady, slow progress, again, continuing to move towards market rates of growth.

更重要的是，您問的下半年，我們對全年有什麼期待？我們並不認為這表明我們的挑戰者業務軌跡發生了變化。這對我們來說是一個重要的類別。如您所知，相對於高端產品，我們對挑戰者的指數較低，因此我們非常注重有機地發展我們的挑戰者業務，如果有機會，我們也會在那裡尋找。具體到指南中包含的內容，我會向 Eric 諮詢，但我們預計高級版或挑戰者的軌跡不會改變。穩步、緩慢地前進，再次繼續向市場成長率邁進。

Yes, Alan, just a couple points. So just to reinforce what Paul mentioned in terms of billing days, first quarter. We didn't get deep into it. We did just want to make everybody aware. Two billing days is quite a bit for a direct business. We saw it coming into the quarter. We felt it to some degree even exiting the quarter.

是的，艾倫，我只想說幾點。因此，只是為了強調保羅在第一季的計費天數方面所提到的內容。我們並未深入探討這個問題。我們只是想讓每個人都意識到這一點。對於直接業務來說，兩天的計費時間是相當長的。我們預見了它進入本季。甚至在退出本季時，我們也在某種程度上感受到了這一點。

I'll just underscore Paul's comment. Nothing of a dramatic core growth trend as we go through the year for premium. Likely slightly better in the next couple of quarters. But that business has been on a relatively consistent up-ticking trend, and we expect it to be similar in that same vein. And then maybe a little bit better back-cap Challenger growth. That's because one of the products that we manufacture does come out of Europe, and we saw a softer business there in the back-cap of last year even though we had four quarters of good core growth in the business globally.

我只是想強調保羅的評論。回顧這一年，我們並沒有發現什麼顯著的核心成長趨勢。未來幾季的情況可能會略有改善。但該業務一直呈現相對持續的上升趨勢，我們預計也將維持類似的趨勢。然後也許挑戰者的成長會更好。這是因為我們生產的產品之一確實來自歐洲，儘管我們全球核心業務在過去四個季度都實現了良好的成長，但去年年底歐洲的業務卻表現疲軟。

Thank you very much.

非常感謝。

Steven Valiquette, Mizuho Securities.

瑞穗證券的史蒂文‧瓦利奎特 (Steven Valiquette)。

Hi, thanks. Steven Valiquette from Mizuho. I guess separate from the Spark deferral accounting distortions, are you able to disclose whether the Spark ASP just moved directionally up or down sequentially in 1Q '25 versus 4Q '24, and what are the key drivers within that? And also, are you seeing any other major clear-liner competitors raising prices, either in relation to tariffs or really for any reason, I guess? Thanks.

你好，謝謝。瑞穗的 Steven Valiquette。我想，除了 Spark 遞延會計扭曲之外，您能否揭露 Spark 平均售價在 2025 年第一季與 2024 年第四季相比是連續向上還是向下移動，其中的主要驅動因素是什麼？另外，您是否看到其他主要的透明競爭對手提高價格，無論是與關稅有關還是其他原因？謝謝。

Yes, Steve, so just to hit on the first piece, so no major change in our Spark average selling price. I would just go back to a comment Paul made just previously in terms of innovation in the market space and the ability to capture price or value. For us in our Spark business, that means a consistent level of price, a consistent level of value capture, and of course, backed by the fact that we've been performing well in terms of primary case growth, revenue growth. And of course, if we strip out the deferral, we had another quarter of good high single-digit net revenue growth in our Spark business.

是的，史蒂夫，我們只談第一點，我們的 Spark 平均售價沒有重大變化。我想回到保羅剛才就市場空間創新和獲取價格或價值的能力所做的評論。對於我們的 Spark 業務來說，這意味著一致的價格水平、一致的價值獲取水平，當然，還有我們在主要案例增長、收入增長方面表現良好的事實作為後盾。當然，如果我們剔除遞延因素，我們的 Spark 業務將迎來一個季度的高個位數淨收入成長。

And then the second part of your question, for sure, the competitive landscape is challenging. I would just say as a reminder, we do the same, I think. For everybody -- just to remind everybody that we focus very specifically on the Orthodontic segment. It is a segment that we have good brand presence in, we have good brand power in.

然後是問題的第二部分，當然，競爭格局充滿挑戰。我只是想提醒一下，我想我們也會這麼做。對每個人來說——只是提醒大家，我們非常關注正畸領域。在這個領域，我們擁有良好的品牌影響力和品牌影響力。

Of course, the business has penetrated very well over the last many years and quarters. Still has a lot of untapped market potential. And that's why we see ourselves best positioned in that place, both from a value standpoint as well as what we're doing, of course, on the back end in terms of improving the gross margin of the business.

當然，過去許多年和幾個季度以來，該業務已經滲透得非常好。仍有大量尚未開發的市場潛力。這就是為什麼我們認為自己處於最佳位置，無論是從價值的角度，還是從我們在後端為提高業務毛利率所做的事情的角度。

Got it. Okay. Thanks.

知道了。好的。謝謝。

Brandon Vasquez, William Blair.

布蘭登·巴斯克斯、威廉·布萊爾。

Hey, everyone. Thanks for taking the question. Can I go back to China and tariffs for a second? Are you guys able to right-size us to any degree whether it's your entire China business or would be really helpful your Premium Implants because it sounds like that's what's most impacted by importing to China, how big that business is these days. And part of the question here is also trying to understand. Is there inventory being held in China or are you having to ship currently under, I believe, 125% tariffs? Are you having to ship some of the Nobel implants into China today, incurring those higher costs?

嘿，大家好。感謝您回答這個問題。我可以回中國討論一下關稅嗎？你們能否對我們的規模進行適當調整，無論是整個中國業務，還是對高級植入物真正有幫助，因為這聽起來像是受進口到中國影響最大的業務，目前這項業務的規模有多大。這裡的部分問題也是試著去理解。中國是否有庫存，或者您必須在目前 125% 的關稅下發貨？您今天是否必須將部分諾貝爾植入物運往中國，產生更高的成本？

Yes, let me take that. So we have a large business in China. I think we've disclosed before it's in the high single digits. It's a percent of our total revenue. And our Implants business is the biggest part of that, of which Premium is the biggest part of our Implants business. That was the first part of your question.

是的，讓我來接受。所以我們在中國的業務很大。我認為我們之前已經披露過該數字是高個位數。這是我們總收入的百分比。我們的植入物業務是其中最大的一部分，而 Premium 又是我們植入物業務中最大的一部分。這是您問題的第一部分。

Second, do we hold inventory in China? Yes. While it is a direct business in most parts of the world, in China, just because of the logistical complexity, a lot of the Premium business still goes through distribution. So yes, there is inventory -- premium inventory in China. Third part of your question, are we currently shipping into China and incurring tariffs? The answer is yes. We are, and we're in the process of shifting, as I mentioned under Jon's call, supply for China from the US to our site in Sweden. We expect that to take a couple of months to get fully implemented.

第二，我們在中國有庫存嗎？是的。雖然在世界大部分地區這都是直接業務，但在中國，由於物流的複雜性，許多高端業務仍需要透過分銷。是的，中國有庫存——優質庫存。您的問題的第三部分是，我們目前是否正在向中國運送貨物並產生關稅？答案是肯定的。正如我在喬恩的電話中提到的那樣，我們正在將對中國的供應從美國轉移到我們在瑞典的工廠。我們預計這將需要幾個月的時間才能完全實施。

Okay, perfect. That's super helpful. One last quick modeling one. Any updates on kind of shifting or finding some new structure for the tax entities on a go-forward basis? Thanks for the question.

好的，完美。這非常有幫助。最後一個快速建模。關於未來稅務實體的轉變或新結構的尋找有任何更新嗎？謝謝你的提問。

Yes, great. Excellent. I'll take that. So maybe just as a reminder on a couple data points, so our guide for the year that we put out in fourth quarter was 37%. If you go back to the pre-read remarks, you may have heard me mention that we still expect the tax rate this year to be at 37%. We did have a lower non-GAAP tax rate in Q1, around 31.5%. That's primarily because we saw better US income or US income improvement. Because of the high interest deductibility cap, anything we can do to generate better US income is incrementally favorable to our US tax rate.

是的，太棒了。出色的。我會接受的。因此，也許只是提醒幾個數據點，我們在第四季度發布的年度指南是 37%。如果您回顧之前閱讀的評論，您可能已經聽到我提到我們仍然預計今年的稅率為 37%。我們第一季的非公認會計準則稅率確實較低，約為 31.5%。這主要是因為我們看到美國收入增加或美國收入改善。由於利息扣除上限較高，我們為增加美國收入所做的任何事情都會對我們的美國稅率產生逐步的有利影響。

That being said, as we look outwards, we see the tariff environment being a little bit challenging on US income, and that's the reason why we're holding to a guide right now of 37%. Making good progress on the point you mentioned in terms of just the high interest deductibility cap, I won't say much more on that. I do expect that we'll be able to give some updates on that as we get into the middle of this year, but we have a good path. I mentioned, I think, on the last call, it's something that takes time, and we'll certainly keep everybody updated as we get further into it.

話雖如此，當我們向外看時，我們發現關稅環境對美國收入來說有點挑戰，這就是我們目前堅持 37% 指導的原因。您提到的有關高利息扣除上限的問題已經取得了很大進展，對此我不再多說。我確實希望我們能夠在今年年中提供一些更新信息，但我們已經有了一個很好的方向。我認為，在上次通話中我提到過，這需要時間，隨著我們進一步了解情況，我們一定會及時向大家通報最新情況。

Erin Wright, Morgan Stanley.

摩根士丹利的艾琳·賴特。

Great. I'm curious if you think you're benefiting at all or seeing any sort of other disruption around your competitors across the various businesses. And then on the flip side of that, from a supplier standpoint, I guess any disruption there in terms of your distributor partners just with recent transactions on that front? Thanks.

偉大的。我很好奇，您是否認為自己從中受益，或者是否看到各個業務領域的競爭對手受到了任何其他幹擾。另一方面，從供應商的角度來看，我猜想就最近的交易而言，您的經銷商合作夥伴是否會受到干擾？謝謝。

So let's see, are we seeing any change in our behavior with respect to our competitors or with respect to our suppliers? The second one's easier. Yes, we are seeing responsiveness from our suppliers. The same sort of tenor of the conversation on this call takes place with our suppliers. We've been working with many of these folks for many years, and they're very much committed to our success. So they're moving quickly and responsibly to support -- those are the Category 2 impacts in particular that I mentioned, raw materials or semi-finished goods that are tariff impacted.

那麼讓我們看看，我們對待競爭對手或供應商的行為是否發生了任何變化？第二個比較容易。是的，我們看到了供應商的回應。這次電話會議中，我們與供應商的談話也同樣基調。我們已經與其中的許多人合作多年，他們非常致力於我們的成功。因此，他們正在迅速而負責任地採取行動來提供支持——這些是我提到的第二類影響，即受關稅影響的原材料或半成品。

The first part, with respect to our competitors, they're a capable, nimble bunch, so they're always moving. Whether they're doing that in response to tariffs or not, a little bit more difficult to discern. A couple things are true about dental. It's an attractive market. People know it. Second, although it tends to have a few strong players in each category, they're all relatively capable. And three, it's that intersection between capabilities and competition that keeps propelling the industry forward. I don't know if tariffs change that much, Erin, to tell you the truth.

第一部分，就我們的競爭對手而言，他們是一群能力強、行動敏捷的人，所以他們總是不斷地前進。他們這樣做是否是為了應對關稅，這一點很難判斷。關於牙科，有幾件事是正確的。這是一個有吸引力的市場。人們都知道這一點。其次，雖然每個類別中都有一些強大的參與者，但他們的能力都相對較強。第三，能力與競爭的結合不斷推動產業向前發展。艾琳，說實話，我不知道關稅是否會發生那麼大的變化。

And how much does guidance now assume in terms of price realization for the year relative to what you were anticipating previously?

與您之前的預期相比，現在的指導對於今年的價格實現有何假設？

Erin, your question was, let me just make sure I caught it, was price realization for the year versus prior guidance. Was that it?

艾琳，你的問題是，讓我確保我理解了，今年的價格實現情況與之前的指導相比如何。就這樣嗎？

Correct, yes.

正確，是的。

Okay. Yes, so what we mentioned when we issued the guidance is that we expected price growth for the year to be roughly in line with what we did last year. Last year, we had about 60 basis points of growth as a reminder. So that's how we were seeing our price. Reasonably equal, I would say, throughout the quarters for the full year with a bit of a nuance between first half, second half, China VBP, right? That is the one single element that's not playing a big factor in our price today or in the first half that will play a little bit more heavily in the second half on a weighted basis.

好的。是的，我們在發布指引時提到，我們預計今年的價格成長將與去年大致持平。去年，我們的成長率約為 60 個基點。這就是我們看到的價格。我想說，全年各季度的情況基本上相同，只是上半年、下半年和中國 VBP 之間略有差異，對嗎？這是對我們今天或上半年的價格影響不大的一個因素，但從加權角度來看，它在下半年將發揮更大的作用。

And then we're not giving a sort of a re-guide on price, but I'll just go back to how Paul opened the call relative to Jon's question around our tariff actions. So they are in the space of distribution network, manufacturing, as he just mentioned, working with suppliers. But then we do expect cost and price also to play a role in that mitigation. Net-net, we should have a little better pricing than we were originally thinking in our guide. As we get further into our plan and the execution of that, we'll give some updates.

然後，我們不會給出某種價格方面的重新指導，但我只會回顧保羅在電話會議中如何回答喬恩關於我們關稅行動的問題。正如他剛才提到的，他們在分銷網絡和製造領域與供應商合作。但我們確實預期成本和價格也會在緩解過程中發揮作用。總體而言，我們的定價應該比我們最初在指南中設想的要好一些。隨著我們進一步了解計劃並執行，我們將提供一些更新。

Okay. Thank you.

好的。謝謝。

Michael Cherny, Leerink Partners.

Michael Cherny，Leerink Partners。

Good afternoon. Thanks for taking the question. I guess just a quick one at the end here. We've talked a lot about the macro concerns for your customers, macro concerns regarding various different end markets. As you think through your strengths, your broadness, and you talked about the balance sheet, what does the potential for the M&A environment look like on your front?

午安.感謝您回答這個問題。我想最後就簡單說一下。我們已經討論了很多有關您的客戶的宏觀關注點，以及有關各種不同終端市場的宏觀關注點。當您思考自己的優勢、廣度並談到資產負債表時，您認為併購環境的潛力如何？

You're managing through the macro concerns as best as possible, but clearly, there's a number of small vendors that might be seeing bigger worries because of lack of scale, supply side issues. Anything you can update us on relative to your appetite and the potential opportunities that you have to potentially consolidate lower-capitalized other players in the market?

您正在盡可能地處理宏觀問題，但顯然，由於規模不足、供應方面的問題，許多小型供應商可能會面臨更大的擔憂。您能否向我們介紹一下您的興趣以及您可能整合市場上其他資本較低的參與者的潛在機會？

So I'd come at it a couple ways, Michael. I mean, first, I would begin with just a reminder. It's a cash-generative business. It tends to generate more cash than it consumes, which then takes us to our capital allocation priorities, starts with funding organic growth, high-margin business, high return on investment business like this. The highest risk-adjusted return for any marginal dollar is going to be in R&D, commercialization, clinical training, et cetera.

所以我會用幾種方法來解決這個問題，麥可。我的意思是，首先，我只想提醒一下。這是一項能產生現金的業務。它產生的現金往往比消耗的多，這就要求我們優先考慮資本配置，首先要為有機成長、高利潤率業務、高投資回報率業務等提供資金。任何邊際美元的最高風險調整回報都將用於研發、商業化、臨床訓練等方面。

The second, though, on the list is accretive M&A, and I underlined the accretive piece, which I think brings us on to the sentiment of your question. In the same way that public market dental multiples are down, we're seeing the same in private transactions. We, of course, believe in the long-term attractiveness of dental. So generally speaking, yes, we think this is an opportunity to take advantage of our strength both in terms of market position and balance sheet. And as attractive assets come up available at lower multiples, yes, we'd take a good look at them. Does that cover it?

不過，名單上的第二個是增值型併購，我強調了增值部分，我認為這讓我們了解你問題中的情緒。正如公開市場牙科倍數下降一樣，我們在私人交易中也看到了同樣的情況。當然，我們相信牙科的長期吸引力。所以總的來說，是的，我們認為這是一個利用我們在市場地位和資產負債表方面的優勢的機會。當有吸引力的資產以較低的倍數出現時，是的，我們會仔細研究它們。這就涵蓋了嗎？

It does. Thank you.

確實如此。謝謝。

All right. Thanks for the question, Michael. I think that's it for the queue. Maybe I'll just wrap up by thanking everybody for tuning in today and close with just a couple of wrap-up comments. The first would be the Q1 was a solid start for Envista. As we mentioned a couple of times, market conditions were similar to what we saw in the back half of 2024. Our growth and margins were broadly in line with what we expected, and EPS was a bit ahead.

好的。謝謝你的提問，麥可。我認為隊列就是這樣的。也許我只是想感謝大家今天的收看，最後做幾句總結性的評論。首先，Q1 對於 Envista 來說是一個好的開始。正如我們多次提到的，市場狀況與 2024 年下半年的情況類似。我們的成長和利潤率基本上符合我們的預期，每股收益略有領先。

Our performance, I would say, was generally broad-based. Most of our businesses and geographies delivered positive growth, and the performance was also broad-based in terms of the work we're doing to deliver those results. So we saw good, continued progress on operations and execution, and we saw good progress on our people and culture priorities.

我想說，我們的表現總體上是廣泛的。我們的大多數業務和地區都實現了正成長，而且就我們為實現這些成果所做的工作而言，業績表現也是廣泛的。因此，我們看到營運和執行方面持續取得良好進展，我們也看到人員和文化優先事項方面取得良好進展。

Naturally, we talked a lot about tariffs on today's call. I think that the takeaway from all that is probably threefold. First, like all global players, we do have exposure. Second, the same global exposure or the same global reach that causes that exposure also gives us the footprint and flexibility to respond to it. And so net-net across 2025, we expect to cover the tariff impact that we know of today.

當然，我們在今天的電話會議上討論了很多有關關稅的問題。我認為從這一切我們可以得到三方面的啟示。首先，與所有全球參與者一樣，我們確實有曝光率。其次，同樣的全球曝光度或導致曝光度的全球影響力也為我們提供了應對曝光度的影響力和靈活性。因此，我們預計到 2025 年，淨額將涵蓋我們今天所知的關稅影響。

Finally, I guess it would be appropriate to close by saying that while macro uncertainty is certainly elevated and the distribution of potential outcomes here has widened, dental has historically been more resilient than the broader economy. So for this and the many other reasons that we discussed on today's call, we maintain our 2025 guidance that we issued on the Q4 call. And I think that probably covers it for today. I'll thank you all for tuning in and wish everyone a great day and a great week. Thanks.

最後，我想最後說一句是合適的，雖然宏觀不確定性肯定有所增加，潛在結果的分佈也擴大了，但從歷史上看，牙科行業比整體經濟更具彈性。因此，出於這個原因以及我們在今天的電話會議上討論的許多其他原因，我們維持在第四季度電話會議上發布的 2025 年指引。我想今天的內容就到此為止。感謝大家的收看，並祝大家有美好的一天和美好的一周。謝謝。

Thank you. This does conclude today's presentation. Thank you for your participation. You may disconnect at any time.

謝謝。今天的演講到此結束。感謝您的參與。您可以隨時斷開連線。