nVent Electric PLC (NVT) 2022 Q3 法說會逐字稿

Good morning, and welcome to the nVent Electric Third Quarter 2022 Earnings Conference Call. (Operator Instructions) Please note, this event is being recorded.

早上好，歡迎參加 nVent Electric 2022 年第三季度收益電話會議。 （操作員說明）請注意，此事件正在記錄中。

I'd now like to turn the conference over to Tony Riter, Vice President of Investor Relations. Please go ahead.

我現在想把會議交給投資者關係副總裁 Tony Riter。請繼續。

Thank you, Jason. Welcome to nVent's Third Quarter 2022 Earnings Call. On the call with me are Beth Wozniak, our Chief Executive Officer; and Sara Zawoyski, our Chief Financial Officer. They will provide details on our third quarter performance and outlook for the fourth quarter and update to our full year 2022 outlook.

謝謝你，傑森。歡迎參加 nVent 2022 年第三季度財報電話會議。與我通話的是我們的首席執行官 Beth Wozniak；和我們的首席財務官 Sara Zawoyski。他們將提供有關我們第三季度業績和第四季度展望的詳細信息，並更新我們的 2022 年全年展望。

Before we begin, let me remind you that any statements made about the company's anticipated financial results are forward-looking statements subject to future risks and uncertainties, such as the risks outlined in today's press release and nVent's filings with the Securities and Exchange Commission. Forward-looking statements are made as of today, and the company undertakes no obligation to update publicly such statements to reflect subsequent events or circumstances. Actual results could differ materially from anticipated results.

在我們開始之前，讓我提醒您，關於公司預期財務業績的任何陳述都是前瞻性陳述，受未來風險和不確定性的影響，例如今天的新聞稿和 nVent 向證券交易委員會提交的文件中概述的風險。前瞻性陳述自今天起作出，公司不承擔公開更新此類陳述以反映後續事件或情況的義務。實際結果可能與預期結果大不相同。

Today's webcast is accompanied by a presentation, which you can find in the Investors section of nVent's website. References to non-GAAP financials are reconciled in the appendix of the presentation. We'll have time for questions after our prepared remarks.

今天的網絡廣播附帶一個演示文稿，您可以在 nVent 網站的“投資者”部分找到該演示文稿。對非公認會計原則財務的引用在演示文稿的附錄中進行了核對。在我們準備好的評論之後，我們將有時間提問。

With that, please turn to Slide 3, and I will now turn the call over to Beth.

有了這個，請轉到幻燈片 3，我現在將把電話轉給 Beth。

Thank you, Tony, and good morning, everyone. It's great to be with you today to share our outstanding third quarter performance.

謝謝你，托尼，大家早上好。很高興今天能與您分享我們出色的第三季度業績。

Our nVent team delivered exceptional results, by serving our customers, responding to strong demand and overcoming supply chain challenges. Our strategy to focus on high-growth verticals, new products, global expansion and acquisitions, combined with strong execution, continue to drive our success. We believe we are well positioned with the electrification of everything megatrends.

我們的 nVent 團隊通過為客戶提供服務、響應強勁的需求和克服供應鏈挑戰，取得了非凡的成果。我們專注於高增長垂直領域、新產品、全球擴張和收購的戰略，加上強大的執行力，繼續推動我們的成功。我們相信，我們在一切大趨勢的電氣化方面處於有利地位。

Our third quarter performance was a new record for both sales and adjusted EPS and, once again, exceeded our guidance. This marked our sixth consecutive quarter with organic sales growth at or above 20%, demonstrating our growth strategy is working. Our return on sales improved both year-over-year and sequentially. Given our strong third quarter results and expectations for Q4, we are, again, raising our guidance for full year sales and adjusted earnings per share.

我們第三季度的業績是銷售額和調整後每股收益的新紀錄，並且再次超出了我們的預期。這標誌著我們連續第六個季度有機銷售額增長達到或超過 20%，表明我們的增長戰略正在奏效。我們的銷售回報率同比和環比都有所提高。鑑於我們強勁的第三季度業績和對第四季度的預期，我們再次提高了對全年銷售額和調整後每股收益的指導。

Now on to Slide 4, for a summary of our third quarter performance. Sales in the quarter were up 20% organically, with double-digit growth in all segments and key verticals. Segment income was up 22% year-over-year and return on sales up 90 basis points. Adjusted EPS was up an impressive 25%. We generated $126 million in free cash flow, up 17%. Overall, a great quarter.

現在看幻燈片 4，總結我們第三季度的業績。本季度銷售額有機增長 20%，所有細分市場和關鍵垂直領域均實現兩位數增長。分部收入同比增長 22%，銷售回報率增長 90 個基點。調整後的每股收益增長了 25%，令人印象深刻。我們產生了 1.26 億美元的自由現金流，增長了 17%。總的來說，一個很棒的季度。

Orders grew high single digits, on top of 43% orders growth a year ago. We expected order growth to moderate given this comparison. We continue to have a robust backlog, up strong double digits year-over-year, that gives us confidence going forward.

訂單增長了個位數，高於一年前 43% 的訂單增長。鑑於此比較，我們預計訂單增長將放緩。我們繼續有大量積壓，同比增長兩位數，這給了我們前進的信心。

Let me share a few other highlights. New products added 3 points to sales growth. Year-to-date, we've launched 42 new products and expect to deliver 50 again this year. I'm very pleased with the progress we have made. We are launching more new products faster that are innovative and highly valued by our customers. We recently won a showstopper award at the National Electrical Contractors Association for one of our nVent catting products.

讓我分享一些其他的亮點。新產品為銷售增長增加了3個點。年初至今，我們推出了 42 款新產品，預計今年將再次交付 50 款。我對我們取得的進展感到非常高興。我們正在更快地推出更多具有創新性和客戶高度評價的新產品。我們最近因我們的一種 nVent catting 產品贏得了美國國家電氣承包商協會的傑出獎。

Looking at our key verticals, they all delivered strong double-digit organic growth. Infrastructure continued to lead the way, with strength in data solutions and power utilities. Commercial and residential grew strong double digits, driven by North America and Europe. Industrial continued its broad-based growth, given the strong trends in automation. And finally, energy continued to perform well, particularly in MRO.

縱觀我們的主要垂直領域，它們都實現了強勁的兩位數有機增長。基礎設施繼續引領潮流，在數據解決方案和電力設施方面具有優勢。在北美和歐洲的推動下，商業和住宅強勁增長了兩位數。鑑於自動化的強勁趨勢，工業繼續其廣泛的增長。最後，能源繼續表現良好，尤其是在 MRO 方面。

Looking at our organic sales performance by geography, we continue to see broad-based growth in North America, up 28%. Europe was up double digits in all segments. Developing regions declined high single digits, primarily due to China. In the quarter, we experienced COVID-related lockdowns in Xinghua, where we have our largest China manufacturing plant.

從地理位置來看我們的有機銷售業績，我們繼續看到北美的廣泛增長，增長了 28%。歐洲在所有領域都上漲了兩位數。發展中地區下降了高個位數，主要是由於中國。在本季度，我們在興化經歷了與 COVID 相關的封鎖，我們在那裡擁有最大的中國製造工廠。

Looking ahead, we are raising our full year sales and EPS guidance, reflecting our third quarter performance and expectations for Q4. Our orders and robust backlog give us confidence in Q4 and into next year. We're excited for the future with the electrification of everything.

展望未來，我們將提高全年銷售額和每股收益指引，以反映我們第三季度的業績和對第四季度的預期。我們的訂單和強大的積壓使我們對第四季度和明年充滿信心。我們對一切都電氣化的未來感到興奮。

I will now turn the call over to Sara for a detail on our third quarter results and our updated outlook for 2022. Sara, please go ahead.

我現在將把電話轉給 Sara，詳細了解我們第三季度的業績和我們對 2022 年的最新展望。Sara，請繼續。

Thank you, Beth. I'm pleased to share with you another quarter of strong execution, with double-digit sales growth, return on sales expansion and improved free cash flow.

謝謝你，貝絲。我很高興與您分享另一個季度的強勁執行，實現兩位數的銷售增長、銷售擴張回報和改善的自由現金流。

Let's turn to Slide 5 to review our third quarter results. Sales of $745 million were up 16% compared to last year or 20% organically. Overall, sales growth was broad-based, with double-digit growth across all segments in key verticals. Volume contributed -- continued to be strong, adding 5 points to growth and price adding 15 points. Foreign exchange was a 4-point headwind.

讓我們轉到幻燈片 5 來回顧我們的第三季度業績。與去年相比，銷售額為 7.45 億美元，增長了 16%，有機增長了 20%。總體而言，銷售增長基礎廣泛，關鍵垂直領域的所有細分市場均實現了兩位數的增長。成交量貢獻——繼續強勁，增加了 5 個點的增長和價格增加了 15 個點。外匯是一個 4 點的逆風。

Segment income was $144 million, up 22%, with return on sales of 19.3%, up 210 basis points sequentially and improved 90 basis points year-over-year, all better than expected. Volume and price contributions more than offset the impact from roughly $55 million of inflationary cost pressures, supply chain inefficiencies and FX headwinds. In addition, we continue to make investments in R&D, digital and sales and marketing for growth and productivity.

分部收入為 1.44 億美元，增長 22%，銷售回報率為 19.3%，環比增長 210 個基點，同比增長 90 個基點，均好於預期。數量和價格的貢獻抵消了大約 5500 萬美元的通脹成本壓力、供應鏈效率低下和外匯逆風的影響。此外，我們繼續在研發、數字和銷售和營銷方面進行投資，以實現增長和生產力。

Q3 adjusted EPS was $0.66, up 25% year-over-year. We generated $126 million of free cash flow in the quarter, up 17%. We are actively managing working capital, while supporting robust demand in a challenging supply chain environment. We expect cash flow momentum to continue in the fourth quarter, reflecting our seasonal strength and working capital improvements.

第三季度調整後每股收益為 0.66 美元，同比增長 25%。我們在本季度產生了 1.26 億美元的自由現金流，增長了 17%。我們正在積極管理營運資金，同時在充滿挑戰的供應鏈環境中支持強勁的需求。我們預計第四季度的現金流勢頭將繼續，反映出我們的季節性實力和營運資金的改善。

Now please turn to Slide 6 for a discussion of our third quarter segment performance, where you will see continued sales momentum and strong margin performance.

現在請轉到幻燈片 6，討論我們第三季度的細分市場表現，您將在其中看到持續的銷售勢頭和強勁的利潤率表現。

Starting with Enclosures. Sales of $388 million increased 20% organically, with both volume and price contributing. Sales growth was broad-based across all verticals, led by infrastructure and industrial. Geographically, North America led, followed by Europe. Overall, orders were up double digits year-over-year.

從外殼開始。 3.88 億美元的銷售額有機增長了 20%，銷量和價格均有所貢獻。在基礎設施和工業領域的帶動下，所有垂直領域的銷售增長都十分廣泛。在地理上，北美領先，其次是歐洲。總體而言，訂單同比增長兩位數。

Enclosures' third quarter segment income was $72 million, up 27%, return on sales improved 230 basis points sequentially and was up 170 basis points year-over-year to 18.5%. Improved execution and price realization offset the impact of inflation and continued supply chain inefficiencies. Recall, this business was most impacted by inflation and supply chain challenges and we pointed to ROS improvement in the back half of the year. We expect return on sales performance to continue to improve year-over-year in Q4 due to price cost and improved productivity.

Enclosures 第三季度部門收入為 7200 萬美元，增長 27%，銷售回報率環比提高 230 個基點，同比增長 170 個基點至 18.5%。改進的執行和價格實現抵消了通貨膨脹和持續的供應鏈效率低下的影響。回想一下，這項業務受通貨膨脹和供應鏈挑戰的影響最大，我們指出今年下半年 ROS 有所改善。由於價格成本和生產力的提高，我們預計第四季度的銷售業績回報率將繼續同比提高。

Now moving to Electrical & Fastening. Sales of $209 million increased 28% organically, with both volume and price contributing. All verticals grew strong double digits, led by infrastructure, with power utilities up over 50%. Geographically, all regions grew, led by North America. Orders were up double digits in the quarter.

現在轉向電氣和緊固。銷售額為 2.09 億美元，有機增長 28%，銷量和價格均有所貢獻。在基礎設施的帶動下，所有垂直領域都實現了兩位數的強勁增長，電力公用事業增長超過 50%。從地理上看，所有地區都在增長，以北美為首。本季度訂單增長了兩位數。

Electrical & Fastening segment income was $61 million, up 26%. Return on sales was 29.1%, up 50 basis points relative to last year on strong execution and price offsetting inflation and supply chain headwinds. We continue to invest in new products and vertical teams to drive growth and support our customers.

電氣和緊固部門收入為 6100 萬美元，增長 26%。銷售回報率為 29.1%，較去年上升 50 個基點，原因是執行力強勁，價格抵消了通脹和供應鏈逆風。我們將繼續投資於新產品和垂直團隊，以推動增長並支持我們的客戶。

Turning to Thermal Management. Sales of $148 million grew 13% organically, with both volume and price contributing. All verticals grew double digits, led by industrial with particular strength in chemicals. High-margin industrial MRO demand continued to be robust for the sixth consecutive quarter.

轉向熱管理。銷售額為 1.48 億美元，有機增長 13%，銷量和價格均有所貢獻。所有垂直行業都實現了兩位數的增長，其中以化工行業為首，尤其是在化工領域。高利潤工業 MRO 需求連續第六個季度保持強勁。

Geographically, North America was strongest, with growth in MRO, chemicals and clean fuels. Europe saw strength in industrial, offset by the impact of Russia. China was down due to supply chain challenges and customer delays from COVID lockdowns. Overall, orders were flat in Q3, largely reflecting what impacted sales. We continue to see solid order and quote activity for longer cycle projects.

從地理上看，北美最強勁，MRO、化學品和清潔燃料增長。歐洲的工業實力強勁，但被俄羅斯的影響所抵消。由於供應鏈挑戰和 COVID 封鎖造成的客戶延誤，中國經濟下滑。總體而言，第三季度訂單持平，很大程度上反映了影響銷售的因素。我們繼續看到較長周期項目的穩定訂單和報價活動。

Thermal Management segment income was up 14% to $36 million. Return on sales expanded 140 basis points year-over-year to 24.2%, driven by improved price cost and positive mix contribution from industrial MRO.

熱管理部門收入增長 14% 至 3600 萬美元。銷售回報率同比增長 140 個基點至 24.2%，這得益於價格成本的改善和工業 MRO 的積極組合貢獻。

Moving to Slide 7, it's titled balance sheet and cash flow. We ended the quarter with a cash balance of $194 million. We focused on working capital improvements in Q3 and generated $126 million in free cash flow. Also, we exercised our delayed draw option on our $200 million term loan and ended the quarter with $600 million available on our revolver. We believe our healthy balance sheet provides us with ample capacity to invest in the business and execute on our growth strategy.

轉到幻燈片 7，它的標題是資產負債表和現金流量。我們在本季度末的現金餘額為 1.94 億美元。我們在第三季度專注於改善營運資金，並產生了 1.26 億美元的自由現金流。此外，我們對 2 億美元的定期貸款行使了延遲提款選擇權，並在本季度結束時有 6 億美元可用於我們的左輪手槍。我們相信，我們健康的資產負債表為我們提供了充足的投資業務和執行增長戰略的能力。

Slide 8 provides a summary of our capital allocation priorities. We continue to prioritize growth, while maintaining a strong liquidity position. We ended the third quarter with a net debt to adjusted EBITDA ratio of 1.7x, just below the low end of our target range of 2x to 2.5x. Year-to-date, we have returned $96 million to shareholders, including a competitive dividend and share repurchases. We believe our strong liquidity and robust cash flow position us well to continue to invest, execute on M&A and deliver attractive shareholder returns.

幻燈片 8 概述了我們的資本配置優先事項。我們繼續優先考慮增長，同時保持強勁的流動性頭寸。我們在第三季度末的淨債務與調整後 EBITDA 的比率為 1.7 倍，略低於我們 2 至 2.5 倍目標範圍的低端。年初至今，我們已向股東返還 9600 萬美元，包括有競爭力的股息和股票回購。我們相信我們強大的流動性和強勁的現金流使我們能夠繼續投資、執行併購並提供有吸引力的股東回報。

Moving to Slide 9, you will see our updated 2022 full year outlook. Our year-to-date performance has been strong, with sales up 21% and adjusted earnings per share up 18%. As Beth highlighted earlier, we are, again, raising our full year sales and earnings outlook.

轉到幻燈片 9，您將看到我們更新的 2022 年全年展望。我們年初至今的表現一直很強勁，銷售額增長了 21%，調整後的每股收益增長了 18%。正如貝絲早些時候強調的那樣，我們再次提高了全年銷售和盈利前景。

For organic sales growth, we now expect a range of 18% to 19% versus our prior guidance of 15% to 17% for the year. Adjusted EPS is expected to be in the range of $2.30 to $2.32 versus our prior guidance of $2.17 to $2.23. This new guidance reflects adjusted EPS growth of 17% to 18%, on top of the 31% growth last year.

對於有機銷售增長，我們現在預計今年的增長幅度為 18% 至 19%，而我們之前的預期為 15% 至 17%。調整後的每股收益預計在 2.30 美元至 2.32 美元之間，而我們之前的指導為 2.17 美元至 2.23 美元。這一新指引反映了調整後每股收益增長 17% 至 18%，而去年增長了 31%。

For free cash flow, we now expect conversion to be approximately 90% at the low end of our prior range due to higher working capital to support our strong sales growth.

對於自由現金流，由於更高的營運資金支持我們強勁的銷售增長，我們現在預計轉換率將在我們先前範圍的低端約為 90%。

A few other full year callouts. We now expect a 4-point FX headwind to the top line, corporate cost expectations have moved up slightly to roughly $85 million, and we now expect CapEx of approximately $50 million at the low end of our prior range.

其他一些全年標註。我們現在預計收入將受到 4 個點的外匯逆風，企業成本預期已小幅上調至約 8500 萬美元，我們現在預計資本支出約為 5000 萬美元，處於我們先前範圍的低端。

Looking at our fourth quarter outlook on Slide 10. We expect reported sales to be up 4% to 6% and organic sales to be up 9% to 11%, with an FX headwind of about 5%. We expect both volume and price to contribute. Our orders and backlog give us confidence in Q4 and into next year, and adjusted EPS is expected to be between $0.56 and $0.58.

看看我們對幻燈片 10 的第四季度展望。我們預計報告的銷售額將增長 4% 至 6%，有機銷售額將增長 9% 至 11%，外匯逆風約為 5%。我們預計數量和價格都會有所貢獻。我們的訂單和積壓訂單讓我們對第四季度和明年充滿信心，調整後的每股收益預計在 0.56 美元至 0.58 美元之間。

Wrapping up, we continue to execute well with strong sales growth, ROS expansion and improved free cash flow. I am pleased with our performance and believe we are well positioned for another great year.

最後，我們繼續以強勁的銷售增長、ROS 擴張和改善的自由現金流表現良好。我對我們的表現感到滿意，並相信我們已經為又一個偉大的一年做好了準備。

This concludes my remarks, and I will now turn the call back over to Beth.

我的發言到此結束，我現在將電話轉回給 Beth。

Thank you, Sara. Please turn to Slide 11. At nVent, we are building a more sustainable and electrified world. With the macro trends of the electrification of everything and the increasing importance of sustainability, we are seeing increased demand for our products and solutions.

謝謝你，薩拉。請轉到幻燈片 11。在 nVent，我們正在建設一個更加可持續和電氣化的世界。隨著萬物電氣化的宏觀趨勢和可持續性的日益重要，我們看到對我們的產品和解決方案的需求不斷增加。

As the world moves through the energy transition, we see investments being made in infrastructure, renewables, energy storage and electric transportation. We believe we're well positioned to grow with these secular trends.

隨著世界能源轉型，我們看到對基礎設施、可再生能源、能源儲存和電力運輸的投資。我們相信我們已經做好了與這些長期趨勢一起成長的準備。

At nVent, we connect and protect. Our products and solutions have strong value propositions, tied to sustainability and electrification. These include energy efficiency, electrical resiliency, labor saving, safety, reliability and serviceability.

在 nVent，我們連接和保護。我們的產品和解決方案具有強大的價值主張，與可持續性和電氣化相關。這些包括能源效率、電氣彈性、節省勞動力、安全性、可靠性和可維護性。

To bring that to life, let me share a few examples. Our data center liquid cooling solutions are more energy efficient when compared with traditional air cooling. They can remove heat at the source more effectively and improve the power usage effectiveness by up to 30%.

為了實現這一點，讓我分享幾個例子。與傳統的空氣冷卻相比，我們的數據中心液體冷卻解決方案更節能。它們可以更有效地從源頭去除熱量，並將電源使用效率提高多達 30%。

When it comes to electrical connections, our nVent ERIFLEX Flex bus can reduce the installation time and cost up to 50% and 20%, respectively. It is safer and easier to use, more reliable and customizable. This new product is applications across many high-growth verticals from data centers to energy storage to e-mobility.

在電氣連接方面，我們的 nVent ERIFLEX Flex 總線可以分別減少高達 50% 和 20% 的安裝時間和成本。它更安全、更易於使用、更可靠和可定制。這種新產品應用在從數據中心到能源存儲再到電動汽車的許多高增長垂直領域。

We believe investing in sustainability and electrification is critical. In addition to the strong value propositions of our products, we are committed to developing them in a responsible manner, with a focus on eco-friendly materials, lower environmental impact and end user safety. By 2025, we expect greater than 90% of our new product introduction funnel to have a positive impact in at least one of these categories.

我們認為投資於可持續性和電氣化至關重要。除了我們產品的強大價值主張外，我們還致力於以負責任的方式開發它們，重點關注環保材料、降低環境影響和最終用戶安全。到 2025 年，我們預計超過 90% 的新產品引入渠道將至少對其中一個類別產生積極影響。

When it comes to acquisitions, our focus is on company's positioned to grow with the electrification of everything. We've strengthened our portfolio in data solutions, industrial automation and renewables. We've added more than $200 million in annual revenue since then. These acquisitions have grown 30% year-to-date, outperforming and growing faster than overall nVent.

在收購方面，我們的重點是公司的定位是隨著一切電氣化而增長。我們加強了我們在數據解決方案、工業自動化和可再生能源方面的產品組合。從那時起，我們的年收入增加了 2 億多美元。這些收購今年迄今已增長 30%，表現優於整體 nVent，增長速度更快。

Wrapping up on Slide 12. We had an outstanding quarter with sales and adjusted EPS exceeding our guidance. And for the full year, we expect double-digit sales and EPS growth. Looking ahead to 2023, let me share some initial thoughts. While the macro environment is uncertain and supply chain challenges persist, we believe the electrical secular tailwinds position us well to outperform GDP. We expect the investments in infrastructure and the energy transition will drive demand for our products and solutions.

結束幻燈片 12。我們有一個出色的季度，銷售額和調整後的每股收益超出了我們的指導。對於全年，我們預計銷售額和每股收益將實現兩位數增長。展望 2023 年，讓我分享一些初步的想法。儘管宏觀環境不確定且供應鏈挑戰持續存在，但我們相信電氣長期順風使我們能夠很好地跑贏 GDP。我們預計對基礎設施和能源轉型的投資將推動對我們產品和解決方案的需求。

We believe next year, we'll still be in inflationary environment, and we've consistently shown we can manage price cost effectively. We will continue to invest in capacity and productivity to deliver for our customers. Our digital transformation journey will accelerate, with the goal of making it easier for our customers to do business with us.

我們相信明年，我們仍將處於通脹環境中，並且我們一直表明我們可以有效地管理價格成本。我們將繼續投資於產能和生產力，為我們的客戶提供服務。我們的數字化轉型之旅將加速，目標是讓我們的客戶更容易與我們開展業務。

We expect our momentum in new products and innovation to further enhance our position in high-growth verticals and be a strong contributor to growth. I'm excited about our future and believe we're well positioned for the electrification of everything.

我們預計我們在新產品和創新方面的勢頭將進一步提升我們在高增長垂直領域的地位，並成為增長的強大貢獻者。我對我們的未來感到興奮，並相信我們已經為一切電氣化做好了準備。

With that, I will now turn the call over to the operator to start Q&A.

有了這個，我現在將把電話轉給接線員開始問答。

(Operator Instructions) Our first question comes from Joe Ritchie from Goldman Sachs.

（操作員說明）我們的第一個問題來自高盛的喬·里奇。

Nice quarter. Yes, so a bit of an odd question to start off, but there was a big acquisition that was announced yesterday. Stock was down double digits, I think partly because of the leverage that the company was taking on.

漂亮的季度。是的，這是一個奇怪的問題，但昨天宣布了一筆大收購。股票下跌了兩位數，我認為部分原因是該公司正在採取的槓桿作用。

And so I know, Beth, in your opening remarks, you mentioned M&A and your focus on the electrification of everything. But I'm just really curious if in this environment, how are you thinking about the size of acquisitions that you are -- that are potentially in your pipeline, and the type of deals you would do and the type of leverage that you'd maybe take on in this environment?

所以我知道，貝絲，在你的開場白中，你提到了併購和你對一切電氣化的關注。但我真的很好奇，如果在這種環境下，你如何看待你的收購規模——可能在你的管道中，你會做的交易類型和你會利用的槓桿類型也許在這種環境下承擔？

Yes, our M&A pipeline is very robust. And I think a couple of things. You never quite control the timing, and we've proven to be very disciplined in terms of our targets and how they strategically fit. I think one thing I would say is we have a strong balance sheet and cash flow position, which we think gives us optionality. And I'd also say this, we have demonstrated such strong execution and integration of our acquisition targets, and as I mentioned, better than our overall nVent performance.

是的，我們的併購渠道非常穩健。我認為有幾件事。你永遠無法完全控制時間，事實證明，我們在目標以及它們的戰略契合方面非常自律。我想我想說的一件事是我們擁有強大的資產負債表和現金流狀況，我們認為這給了我們選擇權。我還要說的是，我們已經展示了我們收購目標的強大執行力和整合能力，正如我所提到的，比我們的整體 nVent 表現更好。

But that gives me confidence that we could do a larger deal than the ones that we've had. But of course, we're going to remain disciplined and certainly, we have our models that we ensure that we can meet all those targets and hurdles.

但這讓我相信我們可以做比我們已經擁有的更大的交易。但是，當然，我們將保持自律，當然，我們有我們的模型，我們可以確保我們能夠滿足所有這些目標和障礙。

Okay. Great. That's helpful. And then I guess you did provide some commentary on 2023. There is some concern that nonresidential investment activity is going to follow residential. It doesn't seem like you're seeing the signs of that across your portfolio. And so maybe just provide a little bit more color on how you're thinking about your end markets as you head into 2023?

好的。偉大的。這很有幫助。然後我猜你確實提供了一些關於 2023 年的評論。有人擔心非住宅投資活動將跟隨住宅投資活動。您似乎沒有在您的投資組合中看到這種跡象。因此，也許只是為您在進入 2023 年時如何考慮終端市場提供更多色彩？

I think as we initially head into 2023, as I mentioned, we think infrastructure is going to continue to be very strong. And that's really because of the investments that are being made. It's the change with the energy transition. So all of those trends, we believe, are favorable.

我認為，正如我所提到的，當我們最初進入 2023 年時，我們認為基礎設施將繼續非常強大。這真的是因為正在進行的投資。這是能源轉型帶來的變化。因此，我們認為，所有這些趨勢都是有利的。

As we look at industrial, we see that we have a really strong backlog there, particularly in our Enclosures business, and there's a lot of focus on industrial, automation and reshoring or just -- the fact that everyone has had so many labor constraints and challenges. And so we think going into next year with our backlogs, we believe we'll have some strength there.

當我們看工業時，我們看到我們在那裡有大量積壓，特別是在我們的外殼業務中，並且有很多關注工業、自動化和回流，或者只是——事實上每個人都有這麼多的勞動力限制和挑戰。因此，我們認為隨著我們的積壓工作進入明年，我們相信我們會在那裡擁有一些實力。

I think on the commercial and residential, residential is not a big piece of our portfolio. And certainly, we've seen that slower. On the commercial side, if you look at where we have the most of our business in our Electrical & Fastening Solutions, a lot of what we do in commercial is related to power and data infrastructure. So any time that you are retrofitting a building or looking to have more content, you think of a hotel room and all the different outlets and plugs and things like that, it drives for more of our solutions.

我認為在商業和住宅方面，住宅並不是我們投資組合的重要組成部分。當然，我們已經看到速度變慢了。在商業方面，如果您看看我們在電氣和緊固解決方案中業務最多的地方，我們在商業方面所做的很多事情都與電力和數據基礎設施有關。因此，每當您改造建築物或希望擁有更多內容時，您會想到酒店房間以及所有不同的插座和插頭之類的東西，它會推動我們提供更多的解決方案。

So we continue to keep innovating. We come out with new products that are labor saving, given the labor shortage in the contractor market, that also plays well to our strength. And then finally, energy, we think that we'll see some continued strength there just because of energy independency, the switch to clean fuels, biofuels, et cetera. And we've seen good project and quote activity in our Thermal Management business.

所以我們不斷創新。鑑於承包商市場的勞動力短缺，我們推出了節省勞動力的新產品，這也很好地發揮了我們的優勢。最後是能源，我們認為，由於能源獨立、轉向清潔燃料、生物燃料等，我們將在那裡看到一些持續的力量。我們在熱管理業務中看到了良好的項目和報價活動。

The next question comes from Julian Mitchell from Barclays.

下一個問題來自巴克萊銀行的 Julian Mitchell。

Maybe I just wanted to switch the focus to the near term a little bit. So just for your fourth quarter revenue guide, I guess two parts to it. One is that I think your guide implies sales are down mid-single digit sequentially and normally. They're flattish in Q4. So I understand there's a bit of an FX sequential headwind, but is there anything else going on like shipping days or something like that to be aware of? And then when we look year-on-year at organic sales, I think you said you should get volume growth in Q4. So maybe just frame how much pricing is stepping down from that very big tailwind in Q3?

也許我只是想稍微將注意力轉移到近期。因此，僅針對您的第四季度收入指南，我想它分為兩部分。一是我認為您的指南暗示銷售額通常按順序下降中個位數。他們在第四季度持平。所以我知道有一點外匯順序逆風，但是還有什麼其他的事情，比如運輸天數或類似的事情需要注意嗎？然後當我們查看有機銷售額的同比增長時，我認為您說您應該在第四季度實現銷量增長。因此，也許只是在第三季度的巨大順風中降低了多少定價？

Okay. Good. Let me first start, Julian, with just how we thought about the quarter. And so one of the things for us, as we looked at our orders and our backlog -- but we also were cautious with not knowing what our distribution channel partners would do with their inventory positions.

好的。好的。朱利安，讓我首先談談我們對本季度的看法。因此，當我們查看訂單和積壓訂單時，對我們來說是一件事——但我們也很謹慎，因為不知道我們的分銷渠道合作夥伴會如何處理他們的庫存狀況。

And remember, there's a significant portion of our business that is really short cycle. And while demand is still very strong and the output through our channel partners is strong, our thinking there is that they may tend to modify their inventory positions as we go out of this fourth quarter. We don't know, but that was one of the our views in just being cautious on how we looked at Q4.

請記住，我們的業務中有很大一部分是非常短的周期。雖然需求仍然非常強勁，我們的渠道合作夥伴的產出也很強勁，但我們認為他們可能會在我們結束第四季度後調整其庫存狀況。我們不知道，但這是我們對第四季度持謹慎態度的觀點之一。

And I think, Julian, the other maybe thing to add to that on the sequential side is what Beth said, and then you flagged it, I mean, it's currency, currency is paying a piece of that in terms of that downtick.

而且我認為，朱利安，在順序方面可能要補充的另一件事是貝絲所說的，然後你標記了它，我的意思是，它是貨幣，就下跌而言，貨幣正在支付一部分。

I think the other piece is Russia. It's having kind of an oversized impact on Q4. And then from an overall standpoint, I mean, that 9% to 11%, as we said in our prepared remarks, includes both an expectation of volume and price. Obviously, it's going to be a bit more skewed to price, but still modest volume. And keep in mind that we're lapping 24% growth of a year ago, where we saw double-digit volume and double-digit price. So that step down on price is more of a factor of what we're lapping a year ago than anything else.

我認為另一部分是俄羅斯。它對第四季度產生了巨大的影響。然後從整體的角度來看，我的意思是，正如我們在準備好的評論中所說，這 9% 到 11% 包括對數量和價格的預期。顯然，它會更偏向於價格，但數量仍然適中。請記住，我們一年前的增長率為 24%，當時我們看到了兩位數的銷量和兩位數的價格。因此，價格下降更多的是我們一年前所採用的因素，而不是其他任何因素。

That's very helpful. And just a very quick follow-up. On the sort of fourth quarter margins, are we thinking Enclosures leads the year-on-year increase, EFS flattish and then Thermal maybe down?

這很有幫助。只是一個非常快速的跟進。關於第四季度的利潤率，我們是否認為外殼引領同比增長，EFS 持平，然後熱可能下降？

Well, here's what I would say, Q4, we do expect another strong margin performance and good incrementals. We would expect it to look a little bit more normal in terms of that sequential downtick in ROS, but significantly better than what we saw in Q3 to Q4 a year ago, really based on better price cost and productivity.

好吧，這就是我要說的，第四季度，我們確實期待另一個強勁的利潤率表現和良好的增量。我們預計，就 ROS 的連續下降而言，它看起來會更正常一些，但比我們一年前在第三季度至第四季度看到的情況要好得多，這實際上是基於更好的價格成本和生產力。

And then from a margin perspective, I guess I would characterize it like this. We would expect Enclosures to be the largest driver of that year-on-year margin improvement and see more kind of modest margin performance to flatten EFS and Thermal. I mean it's really more of a function of the strength of that margin performance of a year ago than anything else.

然後從利潤的角度來看，我想我會這樣描述它。我們預計外殼將成為同比利潤率提高的最大推動力，並看到更多適度的利潤率表現以壓平 EFS 和熱。我的意思是，這實際上更多地取決於一年前的利潤率表現，而不是其他任何事情。

The next question comes from Deane Dray from RBC Capital Markets.

下一個問題來自加拿大皇家銀行資本市場的 Deane Dray。

Impressive performance here. Maybe I start with geographies. For Europe, just given all the anxiety about the potential slowdown, you're not seeing it in your headline numbers here today from third quarter. But anything changes at the margin quote activity? And then similarly for China, you called out the COVID shutdown would -- are you expecting to recoup that in the fourth quarter? And can you size that for us?

這裡的表現令人印象深刻。也許我從地理開始。對於歐洲而言，考慮到對潛在放緩的所有焦慮，您今天從第三季度的頭條數據中看不到它。但是保證金報價活動有什麼變化嗎？然後同樣對於中國，你呼籲 COVID 關閉將 - 你預計會在第四季度收回嗎？你能幫我們調整一下嗎？

Okay. So starting with Europe, as we mentioned, our European performance continued to be strong. The one area, of course, where was a negative impact for us is just Russia, right? And that's largely in our Thermal Management business. So that was the impact that we saw.

好的。因此，正如我們提到的，從歐洲開始，我們的歐洲表現繼續強勁。當然，對我們產生負面影響的一個領域就是俄羅斯，對吧？這主要是在我們的熱管理業務中。這就是我們看到的影響。

But otherwise, Europe continues to perform well for us. When you look at China, and remember China is only mid-single digits in terms of our overall portfolio. So it's not significant. And we were really impacted. And these COVID lockdowns vary by region, and our plan was impacted in the quarter in Q3. So we're working to recover from that. And I expect we're going to see some improved performance there in Q4. And on our Thermal Management business, it's also just some timing there. So I think we're going to see that turn around as we progress through the quarter.

但除此之外，歐洲繼續為我們表現出色。當您查看中國時，請記住，就我們的整體投資組合而言，中國祇是個位數的中位數。所以意義不大。我們真的受到了影響。這些 COVID 封鎖因地區而異，我們的計劃在第三季度受到影響。所以我們正在努力從中恢復。我預計我們將在第四季度看到一些改進的表現。在我們的熱管理業務中，這也只是一些時機。因此，我認為隨著本季度的進展，我們將看到這種轉變。

Great. And then for Sara, on the -- you tweaked free cash flow down for the year. And it sounds like it was all related to the higher working capital demands for this (inaudible) and ongoing strength on the industrial side. You didn't call out anything on supply chain. So are you still carrying buffer inventory? Is there an expectation that you would be able to work that down? And has the supply chain improved at all since last quarter?

偉大的。然後對於 Sara，你調整了今年的自由現金流。聽起來這一切都與更高的營運資金需求（聽不清）和工業方面的持續實力有關。你沒有提到供應鏈上的任何東西。那麼，您還在攜帶緩衝庫存嗎？有沒有期望你能把它降下來？自上個季度以來，供應鍊是否有所改善？

Yes. So I would see that free cash flow guide really is pointing to the low end of our previously guided range of that 90% in terms of conversion. And it simply is a function of the strong demand that we could use to see in the quarter. Amidst what is still a challenging supply chain, I think we see it getting modestly, gradually better, but it's still challenging.

是的。所以我會看到自由現金流指南確實指向我們之前指導範圍的低端，即 90% 的轉換率。這只是我們可以在本季度看到的強勁需求的函數。在仍然充滿挑戰的供應鏈中，我認為我們看到它正在適度地逐漸好轉，但它仍然具有挑戰性。

AR will naturally be higher with these higher sales, and we continue to invest in inventory to service our customers. And at the same time, we are surgically managing that working capital. Inventory was actually flat from Q2 to Q3. So I think over the long term, nothing changes in terms of our cash conversion goals of getting to that 100%. We continue to see working capital as being a big opportunity. And I think prior to going into this year, with the strong demand against the challenging supply chain, we have a strong track record of converting at 100%, including in 2021.

隨著這些更高的銷售額，AR 自然會更高，我們將繼續投資於庫存以服務我們的客戶。與此同時，我們正在通過手術方式管理營運資金。從第二季度到第三季度，庫存實際上持平。所以我認為從長遠來看，我們實現 100% 的現金轉換目標沒有任何變化。我們繼續將營運資金視為一個巨大的機會。我認為在進入今年之前，由於對充滿挑戰的供應鏈的強勁需求，我們擁有 100% 轉換率的良好記錄，包括 2021 年。

You asked kind of on the supply chain front, I would say that we see improvements in terms of getting team members into the door, into our factories and DCS from what we saw kind of in the first half of the year. But it still is taking time to get those team members trained on board and productive, and that's what continues to be a really strong volume output.

你問的是供應鏈方面的問題，我想說，與上半年的情況相比，我們在讓團隊成員進門、進入我們的工廠和 DCS 方面看到了改進。但是，讓這些團隊成員接受培訓並提高工作效率仍然需要時間，而這仍然是非常強勁的產量。

Material availability, I would say, again, better than where we started the first half, clearly better than what we're lapping here of a year ago, but there's still pockets where we're still challenged. So we're having to be very surgical and very focused in terms of where and how we're managing this working capital as we balance all the factors here.

我要再說一遍，材料的可用性比我們上半年開始的地方要好，明顯比我們一年前在這裡的情況要好，但仍有一些口袋我們仍然面臨挑戰。因此，當我們平衡這裡的所有因素時，我們必須非常外科手術並且非常專注於我們在哪里以及如何管理這些營運資金。

The next question comes from Nigel Coe from Wolfe Research.

下一個問題來自 Wolfe Research 的 Nigel Coe。

Yes. So going to Enclosures, obviously, we've seen some nice margin momentum through the year. It sounds like labor is the issue here more than supply chain. Is that fair to say? And I'm just wondering if it's a labor issue, when would you expect to be sort of at a more normalized productivity in Enclosures? And then -- so the second part of that would be, as we go into 2023, obviously, assuming no recession, do you think there's a path to high teens for the full year in Enclosures?

是的。因此，很明顯，我們在今年看到了一些不錯的利潤率勢頭。聽起來勞動力比供應鏈更重要。這樣說公平嗎？我只是想知道這是否是一個勞動力問題，你希望什麼時候能夠在外殼中達到更加標準化的生產力？然後 - 所以第二部分將是，當我們進入 2023 年時，顯然，假設沒有經濟衰退，你認為在 Enclosures 全年有一條通往高青少年的道路嗎？

So let me just start with, yes, labor has been a challenge for us in many of our plants, including Enclosures. And it's improving, but still a challenge. And I would also say materials, particularly when it comes to electronics, still is very challenging. But we're working our way both through that.

所以讓我開始吧，是的，在我們的許多工廠（包括外殼）中，勞動力一直是我們面臨的挑戰。它正在改善，但仍然是一個挑戰。我還要說材料，特別是在電子產品方面，仍然非常具有挑戰性。但我們正在努力解決這兩個問題。

And I would say, on Enclosures, we're even looking at some more expanded capacity and looking at expanding our operations in Mexico, just for the strong demand that we see and we think that's prudent just strategic areas that we're investing in. We're not really giving any color yet as we go into 2023. But as I mentioned earlier and in my prepared remarks, I just think the backlog is strong for Enclosures, and we think we've got momentum with some of the infrastructure and industrial electrification trends that we see going forward into 2023.

我想說的是，在外殼方面，我們甚至正在考慮擴大產能並考慮擴大我們在墨西哥的業務，只是為了我們看到的強勁需求，我們認為這只是我們正在投資的戰略領域。進入 2023 年，我們還沒有真正給出任何顏色。但正如我之前提到的以及在我準備好的評論中，我只是認為外殼的積壓很強大，我們認為我們在一些基礎設施和我們看到 2023 年的工業電氣化趨勢。

Okay. That's great. And then to the Thermal, obviously, orders -- I'm assuming there's some impact there from Russia, but just wondering if you can maybe size that. But more interested in the outlook. And you commented that coding activity and project outlook looks pretty good there. So maybe just give us a bit more color in terms of what you see on the longer cycle side. And then perhaps just touch on Europe. We're seeing a lot of news their own pipelines, probably it's getting blown up, et cetera. How does that impact nVent in regions?

好的。那太棒了。然後是Thermal，很明顯，訂單——我假設那裡有來自俄羅斯的一些影響，但只是想知道你是否可以調整一下。但對前景更感興趣。你評論說那裡的編碼活動和項目前景看起來相當不錯。因此，就您在較長周期方面看到的內容而言，也許只是給我們更多的色彩。然後也許只是觸及歐洲。我們看到了很多他們自己的管道的新聞，可能它被炸毀了，等等。這對各地區的 nVent 有何影響？

Well -- so starting with Russia. Yes, what we're seeing both in revenue and our orders in the Thermal Management business is -- has been impacted by Russia. And we've always said that was our business most impacted there. What we're seeing in North America is a very strong growth in industrial MRO. We've talked about that for 6 consecutive quarters being very, very strong, and that's continuing.

嗯 - 所以從俄羅斯開始。是的，我們在熱管理業務中看到的收入和訂單都受到了俄羅斯的影響。我們一直說這是我們在那裡受影響最大的業務。我們在北美看到的是工業 MRO 的強勁增長。我們連續 6 個季度都在談論它非常非常強勁，而且這種情況還在繼續。

We've seen a lot of focus on things like clean energy and biofuels and carbon recapture, so some energy transition areas, but we think that the project orders and activity both in Europe and North America is strong. And I would say another area for us has been the focus in chemicals, and that has performed very well for us as we go forward.

我們已經看到很多關注諸如清潔能源、生物燃料和碳回收等問題，因此也有一些能源轉型領域，但我們認為歐洲和北美的項目訂單和活動都很強勁。我想說，對我們來說，另一個領域是專注於化學品，在我們前進的過程中，這對我們來說表現得非常好。

So with respect to the particular disruption that you talked about, that really hasn't been an area for us. It hasn't caused any issue, but we definitely are strategically looking at this energy resiliency, energy independency, energy transition and making sure that we're well positioned globally to serve some of the changes in demand here. And I think that going into next year, we'll see some strength.

因此，關於您談到的特定中斷，這對我們來說確實不是一個領域。它沒有造成任何問題，但我們肯定在戰略上關注這種能源彈性、能源獨立性、能源轉型，並確保我們在全球處於有利地位，以應對這裡的一些需求變化。我認為進入明年，我們會看到一些力量。

The next question comes from Jeff Hammond from KeyBanc Capital Markets.

下一個問題來自 KeyBanc Capital Markets 的 Jeff Hammond。

So I just want to go back on productivity because it seems like the price cost is getting better, but productivity still seems to be a challenge. And I'm just wondering, as you look into '23, how big of an opportunity that is, if you can kind of catch up some of the supply chain and labor issues you're talking about?

所以我只想回到生產力，因為看起來價格成本越來越好，但生產力似乎仍然是一個挑戰。而且我只是想知道，當您查看 23 年時，如果您能夠趕上您正在談論的一些供應鍊和勞動力問題，那麼機會有多大？

Well, I mean, I would start from the standpoint of -- we've worked towards this equation, if you will, that price plus productivity is going to more than offset right inflation. And so I think we've managed that well over the last couple of years. Productivity has been more of a headwind in the current environment, given some of the supply chain challenges. But we would expect that to continue to gradually improve.

好吧，我的意思是，我將從以下角度開始 - 我們已經朝著這個等式努力，如果你願意的話，價格加上生產力將超過抵消正確的通貨膨脹。所以我認為我們在過去的幾年裡做得很好。考慮到供應鏈的一些挑戰，在當前環境下，生產力更像是一個不利因素。但我們預計這種情況會繼續逐步改善。

I mean I think we saw a modest improvement from Q2 to Q3. We expect that to continue into Q4. I think timing of when kind of that overall supply chain environment will get back to more normal? I can't say that we have a particular view on that. What I would say is that we're really focused on doing something differently than what we've done before in terms of onboarding, in terms of training, in terms of ensuring that we've got the right level of automation in our factories, putting in capacity and investments as Beth alluded to earlier. So there's a lot that we're doing to drive that productivity improvement, along with looking to see that gradually improve just from an overall environment perspective.

我的意思是我認為我們看到了從第二季度到第三季度的適度改善。我們預計這種情況將持續到第四季度。我認為這種整體供應鏈環境何時會恢復正常？我不能說我們對此有特定的看法。我想說的是，我們真的專注於做一些不同於我們以前所做的事情，包括入職培訓、培訓、確保我們的工廠擁有適當的自動化水平，正如貝絲之前提到的那樣，投入產能和投資。因此，我們正在做很多事情來推動生產力的提高，同時希望從整體環境的角度來看逐漸提高。

Okay. Great. And then just to be clear on the 4Q guide. So you're building in some expectation for distributor destocking. Are you actually seeing any evidence of that in near term?

好的。偉大的。然後只是為了明確 4Q 指南。因此，您對分銷商去庫存抱有一定的期望。你真的在短期內看到了任何證據嗎？

It was a caution that we had, right, not knowing, right? And I'd say that our demand -- first of all, we always look at the demand and the throughput, our distributors, and that's very strong. So we're very pleased with that. And I think order patterns have generally been in line with what we've seen in Q3. So to this point, things look fine. But again, as we approach December, you just don't know, right? So I think it's good for us just to have a cautious view there.

這是我們的警告，對，不知道，對吧？我想說的是我們的需求——首先，我們總是關注需求和吞吐量，我們的分銷商，這非常強大。所以我們對此非常滿意。而且我認為訂單模式通常與我們在第三季度看到的一致。所以到目前為止，事情看起來還不錯。但是，當我們接近 12 月時，你只是不知道，對吧？所以我認為對我們保持謹慎的看法是有好處的。

Yes, absolutely. And then just -- there's been -- the magnitude of inflation has been pretty eye-popping. But we're seeing some input costs come in on the material side. And I'm just wondering, particularly on Enclosures, how you're thinking about durability of kind of holding price should some of these lower input costs persist?

是的，一點沒錯。然後只是 - 曾經 - 通貨膨脹的幅度非常令人瞠目結舌。但我們看到一些投入成本出現在材料方面。我只是想知道，尤其是在外殼方面，如果其中一些較低的投入成本持續存在，您如何考慮持有價格的持久性？

I think the thing to keep in mind is that even if we see some material price easing, we've got inflation in so many other areas. We have inflation in labor. We have inflation in freight. We have inflation in energy costs. So on balance, as I mentioned, we think next year is an inflationary environment, and we're going to continue to manage that price cost equation as we go into next year.

我認為要記住的是，即使我們看到一些材料價格下降，我們在許多其他領域也出現了通貨膨脹。我們有勞動力通貨膨脹。我們有運費通脹。我們有能源成本的通貨膨脹。所以總的來說，正如我所提到的，我們認為明年是一個通脹環境，我們將在明年繼續管理價格成本方程。

The next question comes from Jeff Sprague from Vertical Research.

下一個問題來自 Vertical Research 的 Jeff Sprague。

I was wondering if -- just back to Slide 5, if we can just have a little bit more of a discussion of kind of the inflation productivity investment equation? And in particular, I'm sort of interested in how much of a productivity headwind you're fighting against some of these supply disruptions. But could you just kind of unpack that $74 million for us? And then I've got a follow-up.

我想知道是否 - 回到幻燈片 5，我們是否可以對通脹生產率投資等式進行更多討論？特別是，我對您在應對這些供應中斷方面的生產力逆風有多大興趣。但是你能為我們解開這 7400 萬美元的包裝嗎？然後我有一個跟進。

Yes. So on that $74 million, you've got roughly $55 million of that is going to be inflationary pressures. So that means you've got roughly $19 million, $20 million related to investments and productivity.

是的。因此，在這 7400 萬美元中，大約有 5500 萬美元將是通脹壓力。所以這意味著你有大約 1900 萬美元，2000 萬美元與投資和生產力相關。

Maybe a couple of things I would call out there, Jeff, is on the investment side, you can see it on the P&L., I mean we are investing higher dollars in terms of R&D, sales and marketing and digital that shows up in that SG&A line. And so that's a significant year-over-year investment that we're making that we believe you're seeing the returns already on that in terms of the new product contribution and what we're doing around digital capabilities to service our customers and to drive productivity.

傑夫，也許我會在投資方面說幾件事，你可以在損益表上看到。我的意思是，我們在研發、銷售和營銷以及數字方面的投資更高SG&A 線。因此，這是我們正在進行的一項重大的逐年投資，我們相信您已經看到了新產品貢獻以及我們圍繞數字能力為客戶提供服務和推動生產力。

I think the other piece of that -- balance of that is going to be on the productivity side. And then that's a couple of different things there. One would just be, we're not yet seeing that supply chain efficiencies that we would expect with the volume leverage that we're seeing. I think that's marginally getting better from Q2 to Q3, and we would expect that to continue to get better as the quarters progress here and into next year, just as we get more productive in our factories as we've talked about and also put in some of the additional capacity.

我認為另一部分 - 平衡將在生產力方面。然後是一些不同的事情。一個就是，我們還沒有看到我們所看到的數量槓桿所期望的供應鏈效率。我認為從第二季度到第三季度，情況略有好轉，我們預計隨著季度的進展和明年的進展，情況會繼續好轉，正如我們已經討論過的那樣，我們的工廠生產效率更高，也投入了一些額外的容量。

As we sit here today, and we continue to have just strong demand. And so that means we're leveraging our global footprint, maybe unlike what we would normally do in terms of very -- in-region -- for-region approach. We're flexing our capacity, engaging with some outside sourcing to help us service that demand. And that just has a cost component to it.

當我們今天坐在這裡時，我們仍然有強勁的需求。因此，這意味著我們正在利用我們的全球足跡，這可能與我們通常在非常 - 區域內 - 區域方法方面所做的不同。我們正在發揮我們的能力，與一些外部採購合作，以幫助我們滿足這一需求。這只是一個成本組成部分。

But again, as we drive for greater efficiencies in our factories, as we put in that more and more automation as we make some of those capacity investments, coupled with a backdrop of what we see as a gradually improving supply chain, we think that, that's going to consistently improve as the quarters progress.

但同樣，隨著我們努力提高工廠的效率，在我們進行一些產能投資時投入越來越多的自動化，再加上我們認為供應鏈逐漸改善的背景，我們認為，隨著季度的進展，這將不斷改善。

And then just on the question of capacity. It sounds like it's mostly labor, but your capital spending actually is a little on the low end of what you were previously thinking. Do you need kind of a significant bump in brick-and-mortar here to continue to grow at this pace? You're actually posting better volume growth than a lot of companies we cover, right? We're seeing a lot of organic growth out there. And from a lot of companies, it's price and not volume, but you've got both working. So just wondering how much more you can kind of squeeze out of the existing footprint without maybe a material increase in your capital spending?

然後只是關於容量的問題。聽起來主要是勞動力，但您的資本支出實際上比您之前的想法低了一點。您是否需要在這裡的實體店大幅增加才能繼續以這種速度增長？實際上，您發布的銷量增長比我們報導的許多公司都要好，對吧？我們看到了很多有機增長。從很多公司來看，它是價格而不是數量，但你已經得到了兩者的工作。因此，只是想知道在不大幅增加資本支出的情況下，您還能從現有足跡中擠出多少？

We've been able to manage our CapEx spending fairly consistently as a percentage overall, and I think that's true how we think about 2023. Having said that, for the last couple of years, we've always been able to make investments and expansion. So this year, we expanded in a factory in Thailand.

我們已經能夠以總體百分比相當一致地管理我們的資本支出支出，我認為這就是我們對 2023 年的看法。話雖如此，在過去的幾年裡，我們一直能夠進行投資和擴張.所以今年，我們在泰國擴建了一家工廠。

As we're going into next year, we're going to expand in Mexico. And what that enables us to do is to strengthen our regional strategy as well as, as we look at some of these areas for infrastructure growth, we believe that we do need to add some more lines to give us that capacity that maybe is constraining some volume growth today. But Jeff, we believe we can manage that within our current investment plans that we have.

隨著我們進入明年，我們將在墨西哥擴張。這使我們能夠做的是加強我們的區域戰略，以及，當我們著眼於其中一些領域的基礎設施增長時，我們認為我們確實需要增加一些線，以賦予我們可能限制一些今天的成交量增長。但是傑夫，我們相信我們可以在我們現有的投資計劃中管理這一點。

And maybe just one little nit. Just surprised that chemicals are so strong. I'm sure it isn't lost on that -- it's about every chemical company in the world is like imploding from an earnings standpoint. I mean is there kind of something unusual or unique that's going on that's giving you strength in that particular business at this point in time?

也許只是一點點。只是驚訝於化學物質如此強大。我敢肯定，這並沒有迷失——從收益的角度來看，世界上每家化工公司都像內爆一樣。我的意思是，是否有某種不尋常或獨特的事情正在發生，讓你在這個特定的業務中獲得力量？

I don't know, Jeff, that I would say that there's anything unique there in particular. One of the things as we've talked about some conversion of petrochemical to some of these clean fuels or biofuels isn't for us. They require more maintenance -- attempt to maintain a temperature to allow to flow. So in some cases, it requires more content from us, for example. And I see that's been supporting some of our growth.

我不知道，傑夫，我會說那裡有什麼特別之處。我們已經談到將石化產品轉化為其中一些清潔燃料或生物燃料的其中一件事不適合我們。他們需要更多的維護 - 嘗試保持溫度以允許流動。因此，例如，在某些情況下，它需要我們提供更多內容。我看到這一直在支持我們的一些增長。

So that would be maybe the one thing I could point to. But for us, it's just been an area where our value propositions and our capabilities have just played well.

所以這可能是我可以指出的一件事。但對我們來說，這只是我們的價值主張和能力發揮良好的一個領域。

The next question comes from Scott Graham from Loop.

下一個問題來自 Loop 的 Scott Graham。

Congratulations on really just an outstanding quarter. I wanted to maybe drill down a little bit further into the impact of higher commercial loan rates and let's say, your commercial buildings market, which is a pretty big market for you guys. Obviously, we all get the whole secular to smart building thing, improving efficiency goes without saying. I'm just wondering, though, if you thought through whether, in a higher rate environment, perhaps some of that activity slows, maybe that market turns into more break and fix next year? You thought through that?

祝賀你真的只是一個出色的季度。我想進一步深入研究更高的商業貸款利率的影響，比如說你們的商業建築市場，這對你們來說是一個相當大的市場。顯然，我們都對智能建築的整個世俗化瞭如指掌，提高效率是不言而喻的。不過，我只是想知道，如果您考慮過，在更高利率的環境中，也許其中一些活動會放緩，也許明年市場會變成更多的突破和修復？你考慮清楚了嗎？

Yes, I mean, I think that's right. You see -- I mean, certainly, you've seen the interest rates. Again, we're not really in resi, but you see it starting there with homebuilders right now. And I do think, on the commercial side, we would expect to see that flow.

是的，我的意思是，我認為這是正確的。你看 - 我的意思是，當然，你已經看到了利率。再說一次，我們並不是真的在 resi，但你現在看到它從房屋建築商那裡開始。我確實認為，在商業方面，我們希望看到這種流動。

And our view is we're so broad-based in terms of the different types of buildings, warehouses, data centers, et cetera, that we support with our products and offerings. And they also, particularly with our EFS portfolio, a lot of what we're driving our labor-saving solutions and power and data infrastructure is where we play. So the content, we think, is key.

我們的觀點是，就不同類型的建築物、倉庫、數據中心等而言，我們的基礎非常廣泛，我們的產品和產品支持。他們也，特別是我們的 EFS 產品組合，我們正在推動我們的節省勞動力的解決方案以及電力和數據基礎設施的很多方面是我們發揮作用的地方。所以我們認為內容是關鍵。

So our view is as we keep coming up with new products that are labor savings that can be extended across medical or institutional or that we believe we're still going to manage to grow and outperform just because of the value propositions that we have. But it will -- certainly, commercial is going to slow from where it has been in 2022.

因此，我們的觀點是，隨著我們不斷推出新產品，這些新產品可以節省勞動力，可以擴展到醫療或機構，或者我們相信，僅僅因為我們擁有的價值主張，我們仍將設法實現增長和超越。但它會——當然，商業將從 2022 年的水平開始放緩。

Okay. Happy to hear you contemplate that because it seems like it kind of has to move the right at least pause. The other I wanted to ask you about was sort of the cadence of orders in the quarter, obviously, continues to be very strong, but does that also includes some pricing, a fair amount of pricing?

好的。很高興聽到您考慮這一點，因為它似乎必須向右移動，至少暫停一下。我想問的另一個問題是本季度的訂單節奏，顯然，仍然非常強勁，但這是否也包括一些定價，相當數量的定價？

So I'm just wondering really 2 things on orders, what the sort of cadence was each month year-over-year and into October, if possible? And are the order volumes up as well?

所以我只是想知道訂單上有兩件事，如果可能的話，每個月的節奏是什麼？訂單量也增加了嗎？

Well, I think the one thing I would say as we look at the quarter and just keep in mind that August is a big holiday period in Europe. So when we look at the quarter overall, I don't think there was any -- I mean, it was fairly consistent, right? And as we've gone into the fourth quarter, it's fairly consistent. So there hasn't been any particular trend one way or another, just strong order growth. And of course, it is both volume and price that we're seeing.

好吧，我認為當我們查看該季度時我要說的一件事，請記住，8 月是歐洲的一個重要假期。因此，當我們查看整個季度時，我認為沒有任何 - 我的意思是，它相當一致，對吧？當我們進入第四季度時，情況相當一致。因此，沒有任何特定的趨勢，只有強勁的訂單增長。當然，我們看到的是數量和價格。

The next question comes from David Silver from CL King.

下一個問題來自 CL King 的 David Silver。

Yes, I'm going way down my list of potential questions here. But first question, and this will just take a few seconds. But broadly speaking, I guess, I'm interested in your thoughts about the vitality index or new product sales. But more to the point, last couple of years, you've kind of set internal targets for new product introductions, I think, at around 50. And your company has been growing, as you pointed out, pretty -- at a pretty healthy clip and you are sharpening your focus on those high-growth verticals.

是的，我將在這裡列出我的潛在問題列表。但第一個問題，這將只需要幾秒鐘。但總的來說，我想，我對你對活力指數或新產品銷售的看法很感興趣。但更重要的是，在過去的幾年裡，你已經為新產品的推出設定了內部目標，我認為，大約是 50 歲。正如你所指出的，你的公司一直在成長，相當 - 相當健康剪輯，您正在加強對那些高增長垂直行業的關注。

So is it a reasonable surmise on my part to think that 50 is moving from kind of the target or the ceiling to kind of the floor on your new product introduction efforts? And secondly, maybe just to comment about going to market with new products, maybe the last 12 months, you would probably say we were emerging or recovering from a downturn maybe over the next 12 months globally will be entering an economic slowdown? So just maybe some thoughts about new product introduction pace. And any changes or shifts in how you go to market should the global economy enter a slower patch?

那麼，我認為 50 在您的新產品引入工作中正在從某種目標或天花板轉變為某種地板，這是一個合理的推測嗎？其次，也許只是為了評論新產品進入市場，也許在過去的 12 個月裡，你可能會說我們正在從低迷中崛起或從低迷中復蘇，也許在未來 12 個月全球將進入經濟放緩？所以也許只是對新產品推出速度的一些想法。如果全球經濟進入放緩階段，您進入市場的方式是否會發生任何變化或轉變？

Yes, well, I think with new products, this is an area where I think we've had really tremendous performance. And it really is a cross-functional approach, right, that we think about what is the market opportunity, how do we differentiate and then how do we launch through our supply chain and through our channel partners.

是的，嗯，我認為對於新產品，這是我認為我們已經取得了非常出色的表現的一個領域。這確實是一種跨職能的方法，對，我們考慮什麼是市場機會，我們如何區分，然後我們如何通過我們的供應鍊和我們的渠道合作夥伴推出。

So you are correct to say, over the last couple of years, we've been able to launch about 50 new products. And keep in mind, our portfolio has everything from a fastening product, all the way up to a connected control solution or a liquid cooling solution. So there -- we have differences in terms of the cycle time to create those new products.

所以你說得對，在過去的幾年裡，我們已經能夠推出大約 50 種新產品。請記住，我們的產品組合從緊固產品一直到連接的控制解決方案或液體冷卻解決方案，應有盡有。因此，我們在創建這些新產品的周期時間方面存在差異。

So will that number go up? It could, but I think 50 is a good number for us. What we look to see is that the impact, in terms of our cycle time, the revenue dollars, margin, all of those things, which is why we're seeing our vitality increase.

那麼這個數字會上升嗎？可以，但我認為 50 對我們來說是一個不錯的數字。我們希望看到的是影響，就我們的周期時間、收入、利潤等所有這些而言，這就是我們看到活力增加的原因。

And I would say, from a launch standpoint, I think we've gotten much more effective in the commercialization because launching a new product effectively these days means that you have all the digital assets in place and not just that you launch a new product. And I think we've gotten really good with our channel partners and with our end users to engage them in our process so that we launch very effectively and have inventory on hand, et cetera, so that we -- the time of revenue recognition from these new products is a lot faster.

我想說，從發布的角度來看，我認為我們在商業化方面變得更加有效，因為這些天有效地發布新產品意味著您擁有所有數字資產，而不僅僅是發布新產品。而且我認為我們與我們的渠道合作夥伴和最終用戶的關係非常好，讓他們參與到我們的流程中，以便我們非常有效地啟動並擁有手頭的庫存等等，因此我們 - 收入確認的時間來自這些新產品要快很多。

So let's say we go into next year when things are slower. I don't think that changes our approach because we're basing our new products on creating value and whether it's labor savings or whether it's liquid cooling, which is energy efficiency. And I spoke to the need for electrification and sustainability. I think we're going to continue to see a strong impact of new products on our overall growth.

因此，假設我們進入明年，事情會變得更慢。我認為這不會改變我們的方法，因為我們的新產品基於創造價值，無論是節省勞動力還是液體冷卻，即能源效率。我談到了電氣化和可持續性的必要性。我認為我們將繼續看到新產品對我們整體增長的強大影響。

Okay. Great. And this next question, I guess I'm looking at Slide 11 in the lower right-hand corner, where you list many of your recent acquisitions. So I believe it was 3 percentage points of your growth this quarter came from M&A or inorganic sources.

好的。偉大的。下一個問題，我想我正在查看右下角的幻燈片 11，您在其中列出了您最近的許多收購。因此，我認為本季度您的增長中有 3 個百分點來自併購或無機來源。

When I look at that list, I was just wondering if you may comment on which of those acquisitions you think are contributing kind of at above the company average or maybe a little bit below? And in particular, I'm thinking proportionately. I mean I understand there's all different sized companies in there. But which would you say are maybe punching above your weight or have been positively -- a positive surprise relative to expectations? And maybe if there's 1 or 2 that are lagging, that would be helpful as well.

當我查看該列表時，我只是想知道您是否可以評論您認為哪些收購的貢獻高於公司平均水平或可能略低於公司平均水平？特別是，我正在按比例思考。我的意思是我知道那裡有所有不同規模的公司。但是你會說哪一個可能超出了你的體重，或者是積極的——相對於預期來說是一個積極的驚喜？也許如果有 1 或 2 個滯後，那也會有幫助。

Well, David, just to clarify, we had said that new products had driven 3 points of growth. That was a 3-point comment. We've said these acquisitions have been growing at a rate of 30% year-to-date. And so recall, overall nVent has grown at 20%.

好吧，大衛，澄清一下，我們說過新產品推動了 3 個增長點。這是一個三點評論。我們已經說過，這些收購今年以來一直以 30% 的速度增長。回想一下，整個 nVent 增長了 20%。

So our acquisitions are all outperforming our overall nVent growth rate. And so what I would point to here is more from a -- if you look at CIS Global and WBT, these acquisitions have been focused on data solutions, data centers, so one of that infrastructure areas.

因此，我們的收購都超過了我們的整體 nVent 增長率。所以我在這裡要指出的更多是——如果你看看 CIS Global 和 WBT，這些收購一直集中在數據解決方案、數據中心，所以是基礎設施領域之一。

When I look at our Vynckier acquisition, it's been focused on renewables and places like solar. So we're seeing growth there. And we think about Eldon focused on global growth and industrial automation. So they really are all -- have all outperformed the models that we put in place, and I just use that as a -- to show that when we've done acquisitions, we know how to focus on high-growth verticals, integrate them into our business and make them successful through our vertical and channel approach.

當我查看我們對 Vynckier 的收購時，它一直專注於可再生能源和太陽能等領域。所以我們在那裡看到了增長。我們認為 Eldon 專注於全球增長和工業自動化。所以他們真的都 - 都超過了我們建立的模型，我只是用它作為 - 表明當我們完成收購時，我們知道如何專注於高增長的垂直行業，整合它們進入我們的業務，並通過我們的垂直和渠道方法使他們成功。

This concludes our question-and-answer session. I would like to turn the conference back over to Beth Wozniak for any closing remarks.

我們的問答環節到此結束。我想把會議轉回給 Beth Wozniak 做任何閉幕詞。

Thank you, and thank you for all of us joining us today. We're very proud of the outstanding performance we have delivered. We will continue to execute on our strategy to make nVent a top-tier, high-performance electrical company delivering for our people, our customers and our shareholders. We believe nVent is well positioned for the trends in electrification and sustainability. Our future is bright. Thanks again for joining us. This concludes the call.

謝謝你們，也感謝你們今天加入我們。我們為我們提供的出色表現感到非常自豪。我們將繼續執行我們的戰略，使 nVent 成為一流的高性能電氣公司，為我們的員工、客戶和股東提供服務。我們相信 nVent 在電氣化和可持續發展趨勢方面處於有利地位。我們的未來是光明的。再次感謝您加入我們。這結束了通話。

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連接。