nVent Electric PLC (NVT) 2024 Q3 法說會逐字稿

Good day and welcome to the Invent Electric third quarter, 2024 earnings conference call. All participants will be in the Sono mode.

美好的一天，歡迎參加 Invent Electric 2024 年第三季財報電話會議。所有參與者將處於 Sono 模式。

Should you need assistance? Please send you a conference specialist for pressing the star key followed by zero.

您需要協助嗎？請派一位會議專家來按星號鍵，然後按零。

After today's presentation, there will be an opportunity to ask questions to ask a question. You can press star then one on your telephone keypad to withdraw your question. Please press star two. Please note this event is being recorded. Oh, now it's trying to conference over to Tony Ryder, Vice President of Investor Relations. Please go ahead.

今天的演講結束後，將有機會提問。您可以按下電話鍵盤上的星號，然後按一個來撤回您的問題。請按星號二。請注意此事件正在被記錄。哦，現在它正試圖與投資者關係副總裁托尼·萊德（Tony Ryder）進行會議。請繼續。

Thank you and welcome to Invents third quarter, 2024 earnings call on the call with me are Beth Wozniak, our chair and Chief Executive Officer and Sara Zawoyski, our Chief Financial Officer.

感謝並歡迎參加 Invents 2024 年第三季財報電話會議，與我一起參加電話會議的有我們的董事長兼執行長 Beth Wozniak 和我們的財務長 Sara Zawoyski。

They will provide details on our third quarter performance and I'll look for the fourth quarter and an update to our full year 2024 outlook.

他們將提供有關我們第三季業績的詳細信息，我將關注第四季度的業績以及 2024 年全年展望的更新。

Please take note as a result of the previously announced agreement to sell the thermal management business. The company is reporting the results of this business as discontinued operations and has reclassified 2023 and 2024 results for all prior periods.

請注意先前宣布的出售熱管理業務的協議。該公司將該業務的業績報告為已終止經營業務，並已對所有前期的 2023 年和 2024 年業績進行了重新分類。

In addition, guidance is now presented on a continued operations basis. All results referenced throughout this presentation on a continued operations basis unless otherwise stated 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 filing 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.

此外，現在提供持續運營的指導。除非在我們開始之前另有說明，否則本簡報中引用的所有結果均基於持續運營，請允許我提醒您，有關公司預期財務業績的任何聲明均為前瞻性聲明，受到未來風險和不確定性的影響，例如今天的風險和不確定性。的義務。

Actual results could differ materially from anticipated results.

實際結果可能與預期結果有重大差異。

Today's webcast is accompanied by a presentation which you can find in the investors section of Invents website.

今天的網路廣播還附有演示文稿，您可以在 Invents 網站的投資者部分找到簡報。

References to Non-GAAP Financials are reconciled in the appendix of the presentation.

對非公認會計準則財務數據的引用在簡報的附錄中進行了調整。

We will have time for questions after our prepared remarks. Please send me your questions to one and one. Follow up with that. Please turn to slide 3 and I'll turn the call over to Beth.

在我們準備好的發言後，我們將有時間提問。請將您的問題發送給一和一。繼續跟進。請翻到投影片 3，我會將電話轉給貝絲。

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

謝謝你，托尼，大家早安。很高興今天能與您分享我們強勁的第三季業績。

We continue to execute on our strategy for growth with a focus on high growth verticals, new products and global expansion.

我們持續執行成長策略，重點關注高成長垂直產業、新產品和全球擴張。

In the third quarter, we delivered record sales up 9% both on a continuing operations and total basis.

第三季度，我們的持續經營銷售額和總銷售額均創紀錄地成長了 9%。

Total adjusted earnings and cash flows were strong coming in better than expected and we continue to make investments to expand our data solutions business.

調整後的總收入和現金流量強勁，優於預期，我們繼續進行投資以擴大我們的數據解決方案業務。

Our portfolio transformation is underway with the announced sale of the thermal management business and we expect the sale of the business to close by early 2025.

隨著熱管理業務的宣佈出售，我們的產品組合轉型正在進行中，我們預計該業務的出售將於 2025 年初完成。

Our most recent acquisition track D is off to a good start growing sales, strong double digits and is a great new platform for invent.

我們最近收購的 D 軌道取得了良好的開端，銷售額增長強勁，實現了兩位數的增長，並且是一個偉大的新發明平台。

We believe these portfolio moves will make invent a more focused and higher growth, electrical connection and protection leader and further positions invent with the electrification, sustainability and digitalization trends.

我們相信，這些投資組合措施將使發明成為一個更專注和更高成長的電氣連接和保護領導者，並進一步定位發明與電氣化、永續發展和數位化趨勢。

Now on to slide 4 for a summary of our third quarter, performance sales in the quarter were up 1% organically led by infrastructure. Year-to-date. New products have contributed over three points to sales growth and we've launched 77 new products adjusted operating income grew 4% year over year with return on sales down 120 basis points due to investments and mix adjusted EPS was 63¢. We generated an impressive $143 million in free cash flow up over 30%. We're on track for another strong year.

現在進入投影片 4，對第三季進行總結，該季度的業績銷售在基礎設施的推動下有機增長了 1%。今年迄今為止。新產品對銷售成長的貢獻超過三個百分點，我們推出了77 種新產品，調整後營業收入年增4%，銷售回報率因投資而下降120 個基點，混合調整後每股收益為63 美分。我們產生了 1.43 億美元的自由現金流，成長了 30% 以上，令人印象深刻。我們有望迎來另一個強勁的一年。

Looking at sales performance across our key verticals. Infrastructure led the way up low double digits organically with data solutions growing double digits industrial was down low single digits, commercial resi declined mid single digits with continued end market softness.

查看我們關鍵垂直領域的銷售業績。基礎設施帶動了低兩位數的有機成長，數據解決方案成長了兩位數，工業下降了低個位數，商業房地產下降了中個位數，終端市場持續疲軟。

Turning to organic sales by geography, North America was up low single digits and Asia Pacific had strong broad based growth, Europe declined low single digits.

就按地區劃分的有機銷售額而言，北美地區出現了低個位數增長，亞太地區出現了強勁的廣泛增長，歐洲則出現了低個位數增長。

Lastly, organic orders in Q3 grew mid single digits year over year.

最後，第三季的有機訂單年增中個位數。

Looking ahead to Q4 from a vertical perspective, we expect infrastructure to have the strongest growth, particularly data solutions and power utilities, industrial is expected to be flat, commercial resy to remain soft.

從縱向角度展望第四季度，我們預計基礎設施將有最強勁的成長，特別是數據解決方案和電力公用事業，工業預計持平，商業Rey將保持疲軟。

In addition, macro uncertainty remains with the upcoming elections and interest rates which has some distributors cautiously managing inventory overall. I'm very proud of how our event team overall. I'm very proud of our event team and how we continue to execute and deliver for our customers and shareholders while transforming the portfolio. We're on track for another strong year. I will now turn the call over to Sarah for further detail on our third quarter results and our updated outlook for 2024. Sarah. Please go ahead. Thank you, Beth.

此外，即將到來的選舉和利率仍然存在宏觀不確定性，這使得一些經銷商謹慎管理整體庫存。我對我們活動團隊的整體表現感到非常自豪。我對我們的活動團隊以及我們如何在投資組合轉型的同時繼續為客戶和股東執行和交付感到非常自豪。我們有望迎來另一個強勁的一年。我現在將把電話轉給 Sarah，以了解有關我們第三季業績和 2024 年最新展望的更多詳細資訊。請繼續。謝謝你，貝絲。

We had a strong third quarter.

我們的第三季表現強勁。

Performance with both segments growing better than expected earnings and record cash flow. Let's turn to slide 5 to review our results which as a reminder are all on a continuing operations basis.

兩個部門的業績成長均優於預期，現金流量創歷史新高。讓我們翻到投影片 5 來回顧我們的結果，提醒一下，這些結果都是在持續營運的基礎上進行的。

Sales.

銷售量。

Of 782 million.

7.82 億。

Dollars were up 9% relative to last year or up. 1% organically volumes contributed approximately two points to growth and price was essentially flat acquisitions added $59 million to sales or eight points to growth better than expected. Foreign exchange impact was neutral.

美元兌去年同期上漲9%以上。 1% 的有機銷售量對成長貢獻了約 2 個百分點，而價格基本持平收購為銷售額增加了 5,900 萬美元，或對成長貢獻了 8 個百分點，好於預期。外匯影響是中性的。

Third quarter adjusted operating income was $168 million. Up 4% return on sales was 21.5% down 120 basis points every year. This reflected tough prior year, comps and corporate costs and electrical and fastening mix and higher investments. This year inflation was roughly $25 million in the quarter.

第三季調整後營業收入為 1.68 億美元。年增4%，銷售回報率為21.5%，每年下降120個基點。這反映了去年的困難、比較和企業成本以及電氣和緊固件組合以及更高的投資。今年該季度的通貨膨脹約為 2500 萬美元。

Q3 adjusted EPS was 63¢ down 3% due to higher interest and taxes. As expected, we generated outstanding free cash flow in the quarter of $143 million. Up 33% or 18% of sales reflecting strong working capital performance.

由於利息和稅收增加，第三季調整後每股收益為 63 美分，下降 3%。正如預期的那樣，我們在本季產生了 1.43 億美元的出色自由現金流。銷售額成長 33% 或 18%，反映出強勁的營運資金表現。

Now please turn to slide 6 for a discussion of our third quarter segment performance.

現在請翻到投影片 6，討論我們第三季的部門業績。

Starting with enclosures, the team delivered another excellent quarter. Sales of $477 million increased 16% and 1% organically.

從外殼開始，該團隊又交付了出色的季度業績。銷售額為 4.77 億美元，有機成長 16% 和 1%。

Acquisitions added 14 points to sales the track. The acquisition performed very well with sales up strong double digits versus a year ago and a growing robust backlog. The integration is off to a great start from a vertical perspective. Infrastructure led up double digits with strength and data solutions in both power and cooling, industrial and commercial resy. Each decline geographically, North America grew low single digits and Asia Pacific grew mid 10s while Europe was down enclosures third quarter segment income was an impressive $104 million. Up 17% return on sales of 21.9% increased 20 basis points year over year driven by strong execution, productivity and higher margins from new products. More than offset inflation and help fund investments, electrical and fastening returned to sales growth in the quarter. Sales of $305 million increased 1%. Organically growth was led by infrastructure including power utilities up high single digits.

收購使賽道銷量增加了 14 個點。此次收購表現非常出色，銷售額比一年前成長了兩位數，積壓訂單也不斷成長。從垂直角度來看，整合已經有了一個好的開始。基礎設施憑藉電力和冷卻、工業和商業資源方面的實力和數據解決方案實現了兩位數的成長。從地理來看，北美地區的成長幅度較低，亞太地區的成長幅度在10 多歲左右，而歐洲地區的成長則有所下降，第三季的細分市場收入達到了令人印象深刻的1.04億美元。由於強勁的執行力、生產力和新產品更高的利潤率，銷售回報率增長了 17%，達到 21.9%，同比增長 20 個基點。電氣和緊固件在本季度恢復了銷售成長，不僅抵消了通貨膨脹，還幫助基金投資。銷售額達 3.05 億美元，成長 1%。有機成長由包括電力在內的基礎設施帶動，成長幅度高達個位數。

In addition, industrial grew mid single digits, commercial resy remains soft geographically. Organic sales in North America were flat and Asia Pacific grew double digits while Europe was down electrical and fastening segment income was $93 million. Down five.

此外，工業成長中個位數，商業房地產在地理上仍然疲軟。北美地區的有機銷售額持平，亞太地區成長了兩位數，而歐洲的電氣和緊固部門收入則下降了 9,300 萬美元。下降五。

Percent year.

百分比年。

Over year return on sales was a solid 30.4%.

全年銷售回報率為 30.4%。

Down.

向下。

100 90 basis points. Mainly due to tough comps for me on slide 7 titled balance sheet and cash flow. We ended the quarter with 137 million.

100 90 個基點。主要是因為我對標題為「資產負債表和現金流」的幻燈片 7 進行了艱難的比較。本季結束時，我們的銷量為 1.37 億。

Dollars of cash on hand and $600 million available in our revolver.

我們手邊有美元現金，還有 6 億美元可用左輪手槍。

Free cash flow is exceptionally strong in the quarter year-to-date free cash flow of $277 million was up nearly 50%.

本季自由現金流異常強勁，年初至今自由現金流為 2.77 億美元，成長了近 50%。

Versus a year.

與一年相比。

Ago.

前。

The fourth quarter is historically our highest cash flow quarter and we expect.

正如我們預期的那樣，第四季是我們歷史上現金流量最高的季度。

Continued improvements in working.

工作持續改進。

Capital turning to slide 8 where we.

資本轉向幻燈片 8，我們在那裡。

Outline our capital.

概述我們的首都。

Allocation priorities.

分配優先權。

We will continue to take a balanced and disciplined approach to capital allocation to deliver strong.

我們將繼續採取平衡和嚴格的資本配置方法，以實現強勁的目標。

Returns.

返回。

Growth remains our first priority both organic and inorganic in the quarter. We expanded our footprint to increase our liquid cooling capability, ForEx and support our growing backlog. We completed the acquisition of Tracee providing a new growth platform and we have returned $195 million here today to shareholders.

無論是有機成長還是無機成長，成長仍然是我們本季的首要任務。我們擴大了業務範圍，以提高我們的液體冷卻能力、ForEx 並支援我們不斷增長的積壓訂單。我們完成了 Tracee 的收購，提供了一個新的成長平台，今天我們已向股東返還 1.95 億美元。

Including $100 million in share repurchases in the third quarter.

其中包括第三季1億美元的股票回購。

Looking ahead, we expect to have a significant optionality for further capital.

展望未來，我們預計將有更多資本的重要選擇。

Deployment with the sale of the thermal management business and strong cash flow generation.

透過出售熱管理業務和產生強勁的現金流進行部署。

Moving to slide 9 and our full year outlook.

轉到幻燈片 9 和我們的全年展望。

On a continuing operations basis.

在持續經營的基礎上。

We're updating our full year guidance to.

我們正在更新全年指導。

Reflect the thermal management management business, moving to discontinued operations.

反映熱管理管理業務，轉向終止經營。

And narrowing the range.

並縮小範圍。

With one quarter to go for the full year reported sales are expected to grow approximately 13% organically up. Roughly 3% acquisitions are expected to contribute approximately 10 points to sales growth and FX is expected to be neutral.

距離全年結束還有一個季度，預計銷售額將有機成長約 13%。大約 3% 的收購預計將為銷售成長貢獻約 10 個百分點，而外匯預計將保持中立。

Our outlook for full year adjusted EPS is $2.49 to do to to $2.51 which represents growth.

我們對全年調整後每股收益的預期為 2.49 美元，達到 2.51 美元，這代表著成長。

Of 7 to 8%.

7%至8%。

This includes an 8¢ or 3% point negative impact to EPS.

這包括對每股收益 8 美分或 3% 的負面影響。

Related to.

相關於。

Changes in the global tax standards.

全球稅收標準的變化。

A few important items to note for the year first, we expect adjusted operating income to grow 15 to 16%. This reflects price and productivity offsetting inflation. In addition, we are making investments in capacity, new products and digital to accelerate growth and productivity.

首先，我們預計今年調整後的營業收入將成長 15% 至 16%。這反映了價格和生產力抵消了通貨膨脹。此外，我們也在產能、新產品和數位化方面進行投資，以加速成長和提高生產力。

Second, we are well on track to generate over $400 million of free cash flow with conversion in the range of 95 to 100.

其次，我們預計將產生超過 4 億美元的自由現金流，轉換率在 95 到 100 之間。

Percent.

百分比。

Third, corporate costs are now expected to be approximately $110 million. This includes indirect costs of approximately 15 million.

第三，企業成本目前預計約 1.1 億美元。其中包括約1500萬美元的間接成本。

Dollars previously allocated to the thermal management. Business.

之前分配給熱管理的資金。商業。

Work is already underway to address these costs.

解決這些成本的工作已經在進行中。

A few additional 2024 assumptions include a tax rate of approximately 23% net interest expense of approximately $105 million shares of approximately 168 million and CapEx of approximately $80 million.

2024 年的一些額外假設包括約 23% 的稅率、約 1.05 億美元的淨利息支出、約 1.68 億股股票和約 8,000 萬美元的資本支出。

We expect full year 2024.

我們預計 2024 年全年。

To be another year of strong sales profit.

又一個銷售利潤強勁的一年。

And.

和。

Cash.

現金。

Flow moving to slide 10 in our fourth quarter outlook, we expect reported sales to grow 11 to 13% with acquisitions contributing approximately nine points to sales.

在我們的第四季展望中，流量將滑至第 10 位，我們預計報告銷售額將成長 11% 至 13%，其中收購對銷售額貢獻約 9 個百分點。

Organic sales are expected to be up 1 to 3% with both segments growing.

隨著這兩個細分市場的成長，有機銷售額預計將成長 1% 至 3%。

We expect adjusted EPS to be between 58 and 60¢ up 5 to 9% year on year wrapping up. I am pleased with our third quarter performance and believe we are well positioned heading into 2025.

我們預計調整後每股收益將在 58 至 60 美分之間，年增 5 至 9%。我對我們第三季的業績感到滿意，並相信我們在進入 2025 年時處於有利位置。

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

我的演講到此結束，我會將電話轉回給貝絲。

Thank you.

謝謝。

Sarah. Turning to slide 11. Let me give you an update on our data solutions Business and Liquid cooling. In particular, as you know, we are a leader in liquid cooling for data centers and have been offering solutions for many years across the cooling continuum.

莎拉.轉向幻燈片 11。特別是，如您所知，我們是資料中心液體冷卻的領導者，多年來一直在整個冷卻過程中提供解決方案。

Our differentiation is based on our deep application expertise and our innovative multi generational designs. We continue to expand our product portfolio to serve data center customers across hyperscale enterprise multi tenant and our distribution partners.

我們的差異化是基於我們深厚的應用專業知識和創新的多代設計。我們繼續擴展我們的產品組合，為超大規模企業多租戶和分銷合作夥伴的資料中心客戶提供服務。

Our high density liquid cooling portfolio includes rack and row coolant distribution units and various manifolds. Our advanced cooling solutions are specifically designed to manage the substantial heat output of cutting edge A I infrastructure helping to drive optimal performance and longevity. We are well positioned to support the expansion of A I capabilities, driving innovation and efficiency in high performance computing environments.

我們的高密度液體冷卻產品組合包括機架和行冷卻劑分配單元和各種歧管。我們先進的冷卻解決方案專為管理尖端人工智慧基礎設施的大量熱量輸出而設計，有助於實現最佳性能和使用壽命。我們處於有利地位，可以支援人工智慧功能的擴展，推動高效能運算環境的創新和效率。

We are currently engaged with NVIDIA in the design of liquid cooling products, solutions and architectures that meet the needs for the GB 200 NVL 72 and its follow on next generation platforms. We will be showcasing our NVIDIA reference design solutions at Supercompute in a few weeks.

我們目前正在與 NVIDIA 合作設計液體冷卻產品、解決方案和架構，以滿足 GB 200 NVL 72 及其後續下一代平台的需求。幾週後，我們將在超級運算大會上展示我們的 NVIDIA 參考設計解決方案。

We are also actively engaged with other chip manufacturers to understand future cooling requirements.

我們也積極與其他晶片製造商合作，以了解未來的冷卻需求。

In addition to investing in new products, we are expanding capacity in our facilities, building out our advanced lab and testing capabilities and partnering with our suppliers to ensure they can rapidly scale with us.

除了投資新產品外，我們還擴大設施產能，建立先進的實驗室和測試能力，並與供應商合作，確保他們能夠與我們一起快速擴大規模。

We continue to see high demand for our data solutions products in cooling power and cable management and now expect 2024 data solution sales to exceed $575 million. We believe we are well positioned to win in this rapidly growing space.

我們繼續看到冷卻電源和電纜管理方面對我們的數據解決方案產品的高需求，現在預計 2024 年數據解決方案銷售額將超過 5.75 億美元。我們相信，我們處於有利地位，能夠在這個快速成長的領域中取得勝利。

Please turn to slide. 12, over the last few years, we have demonstrated our growth strategy is working with strong execution, delivering robust sales and adjusted operating income and earnings per share.

請轉到幻燈片。 12、在過去的幾年裡，我們已經證明我們的成長策略是強有力的執行力，帶來強勁的銷售以及調整後的營業收入和每股盈餘。

Looking ahead to 2025 we are undergoing a portfolio transformation which we believe will make us a more focused higher growth, electrical connection and protection company.

展望 2025 年，我們正在進行投資組合轉型，我們相信這將使我們成為一家更專注於更高成長的電氣連接和保護公司。

Over 70% of our portfolio is exposed to the secular trends of electrification, sustainability and digitalization infrastructure now represents approximately a third of our portfolio and is expected to grow the most next year. We are well positioned in data solutions and power utilities with robust backlogs.

我們超過 70% 的投資組合受到電氣化、永續發展和數位基礎設施長期趨勢的影響，目前約占我們投資組合的三分之一，預計明年將成長最快。我們在數據解決方案和電力公用事業領域處於有利地位，擁有大量積壓訂單。

Our outlook for industrial and commercial resi is more positive.

我們對工業和商業房地產的前景更加樂觀。

New products again are expected to be a key driver of our growth.

新產品預計將再次成為我們成長的關鍵驅動力。

Finally, as part of our portfolio transformation, we have a very healthy M&A pipeline and project nearly $2 billion in available capital to deploy from the thermal management sale and a robust free cash flow generation.

最後，作為我們投資組合轉型的一部分，我們擁有非常健康的併購管道，並預計可透過熱管理銷售和強勁的自由現金流產生來部署近 20 億美元的可用資本。

In summary, we expect 2025 to be a strong growth year.

總而言之，我們預計 2025 年將是強勁成長的一年。

Wrapping up on slide 13, we had another strong quarter of operational performance including record cash flow. Our portfolio transformation is underway.

在投影片 13 的總結中，我們的營運表現又一個強勁的季度，包括創紀錄的現金流。我們的投資組合轉型正在進行中。

We are well positioned to grow with the electrification, sustainability and digitalization trends.

我們處於有利地位，可以隨著電氣化、永續發展和數位化趨勢的發展而成長。

And our future is bright with that. I will now turn the call over to the operator to start.

我們的未來因此而光明。我現在將把電話轉給接線員開始。

Q&A.

問答。

Yes, thank you. We will now begin the question and answer session to ask a question. You can press star then one on your telephone keypad. If you're using a speaker phone, please pick up your handset before pressing the keys. If any time your question has been addressed and you would like to withdraw it. Please press star. Then two at this time, we will pause momentarily to assemble the roster.

是的，謝謝。我們現在開始問答環節來提問。您可以按下電話鍵盤上的星號，然後按一個。如果您使用免持電話，請在按鍵前拿起聽筒。如果您的問題已解決，但您想撤回它。請按星號。那麼此時兩點，我們將暫停一下以集合名單。

And one's first question customer Julian Mitchell with Barclays.

第一個問題是巴克萊銀行的客戶朱利安·米切爾。

Hi, good morning, good morning. May maybe just the first question around the margin outlook. So it looks like I think margins may be down 100 bits or so operating wise, Sequentially in Q4, just wanted to check that's roughly correct. And, and when we're thinking more broadly about margins into next year, you have this big investment spend headwind right now in the second half.

嗨，早上好，早安。可能只是關於利潤前景的第一個問題。因此，我認為在第四季度，營運方面的利潤率可能會下降 100 位左右，只是想檢查一下這是否大致正確。而且，當我們更廣泛地考慮明年的利潤率時，下半年的投資支出將面臨巨大的阻力。

Does that normalize into next year? And how quickly should that 15 million of indirect unallocated cost get worked down, please?

這會在明年正常化嗎？請問這 1500 萬間接未分配成本應該要多快才能減少？

Okay, Julian, I think that.

好吧，朱利安，我是這麼認為的。

Was a three part question. So.

這是一個由三個部分組成的問題。所以。

Let me, let me start with the first one, you know, in terms of that seasonal downtick on margin from Q3 to Q4. It's just that more seasonal. If you look at.

讓我從第一個開始，你知道，從第三季到第四季的利潤率季節性下降。只是季節性比較強而已。如果你看的話。

Historically, EFS.

從歷史上看，EFS。

Tends to be.

往往是。

Strongest in Q2 and Q3.

第二季和第三季最強。

And lighter from a sales perspective in Q4 and Q1 and the Ross right is commensurate, you know, with that. So you do have some seasonality from A Q3 to Q4 standpoint from a return on sales aspect of.

從第四季和第一季的銷售角度來看，羅斯的銷量更輕，你知道，與之相稱。因此，從銷售回報率的角度來看，從第三季到第四季確實存在一些季節性。

Things. I think your second question is in.

事物。我想你的第二個問題已經出現了。

Regard to investments. I mean, we've been very explicit.

關於投資。我的意思是，我們已經非常明確了。

Kind of walking into this.

有點走進這個。

Year that investments are.

投資年。

Important to, you know, fuel future.

你知道，這對推動未來很重要。

Growth.

生長。

Particularly.

特別。

Around new products and data solutions. We have seen that accelerate.

圍繞新產品和數據解決方案。我們已經看到這種情況正在加速。

Here in the back half, bringing some of that liquid cooling capability.

在後半部分，帶來了一些液體冷卻能力。

Online here in Q3 and Q4. And I think you can expect us to continue.

第三季和第四季在線。我想你可以期待我們繼續下去。

On that new product and some of those.

關於新產品和其中的一些產品。

Commercial data solution investments as we walk into.

我們走進商業數據解決方案投資。

2025.

2025 年。

But those ramp up costs, you know, should diminish, you know, over time related to just bringing.

但你知道，隨著時間的推移，這些增加的成本應該會減少。

That capacity.

那個能力。

Up online. And I think your third.

上線了。我認為你的第三個。

Question was around indirect cost. So essentially.

問題是關於間接成本。所以本質上。

You know, as part of that.

你知道，作為其中的一部分。

Thermal management now going into disks.

熱管理現已進入磁碟領域。

There are some, you know, indirect costs that essentially.

您知道，本質上有一些間接成本。

Don't get allocated if you will to thermal management. Now that sits within that corporate cost.

如果您願意進行熱管理，請不要分配。現在這屬於公司成本之內。

Bucket.

桶。

That's roughly.

大概就是這樣。

15 million.

1500萬。

Dollars. And I would say two things, one.

美元。我想說兩件事，一。

Work is already underway in.

工作已經在進行中。

Terms of reducing.

減少條款。

Those costs, really focused on driving more.

這些成本確實集中在駕駛更多方面。

Efficiencies, accelerating.

效率，加速。

Some of our business.

我們的一些業務。

Process transformation efforts that we already have.

我們已經做出了流程轉型的努力。

Underway. And I would say the second piece of it is, you know, really some of that falling.

進行。我想說的是，你知道，第二部分確實是其中的一部分。

Off.

離開。

If you will, you know, with that.

如果你願意的話，你知道的。

Thermal management, you know, business being.

熱管理，你知道，這就是生意。

Divested, but there's gotta be targeted actions and we've got that work underway of renegotiating contracts, you know, etcetera. So I.

撤資，但必須採取有針對性的行動，我們正在進行重新談判合約的工作，等等。所以我。

Would expect those indirect costs to.

預計這些間接成本會。

Reduce really.

確實減少了。

Throughout, you know, 2025.

你知道，自始至終都是 2025 年。

That's super helpful. Thank you. And then maybe a very simple or simpler. Second question would just be on the organic sales outlook. So I think you're growing sort of 1 to 3 in the current quarter year on year. Beth, you sounded more enthused about the outlook for say industrial and commercial rears in in 25. So is it reasonable to assume in in 25 based off your comments that you're not too far off perhaps as, as things look today, that medium term sort of growth placeholder of 4 to 6 that you talked about last year.

這非常有幫助。謝謝。然後也許是一個非常簡單或更簡單的。第二個問題是關於有機銷售前景。所以我認為當前季度的同比增長率為 1 到 3。貝絲，你聽起來對25 年後工業和商業後勤的前景更加熱情。是否合理？您去年談到的 4 到 6 的成長佔位符。

As we go into 2025 look, the portfolio looks different and we've, we've been repositioning it around infrastructure as I said in my comments, right? And so we can look at our backlog and these higher growth verticals. And so we think that is going to set us up as we go forward, you know, the portfolio is now exposed to those trends. And I think as we sit here today, there remains this macro uncertainty. We've got an election coming up, you know, interest rates where they're at. And I think we've seen our distribution partners just be cautious on inventory and recall. A lot of our portfolio is sold through that distribution channel. So we expect as we get into 2025 the outlook, there is more positive and the end market outlook as well.

當我們進入 2025 年時，投資組合看起來會有所不同，正如我在評論中所說，我們一直在圍繞基礎設施重新定位它，對嗎？因此，我們可以看看我們的積壓訂單和這些更高成長的垂直領域。因此，我們認為這將為我們的前進奠定基礎，你知道，投資組合現在面臨這些趨勢。我認為，當我們今天坐在這裡時，宏觀不確定性仍然存在。我們即將舉行選舉，你知道，利率目前的水平。我認為我們已經看到我們的分銷合作夥伴對庫存和召回持謹慎態度。我們的許多產品組合都是透過該分銷管道出售的。因此，我們預計，當我們進入 2025 年時，前景將會更加樂觀，最終的市場前景將更加樂觀。

Great. Thank.

偉大的。感謝。

You.

你。

Thank you.

謝謝。

Thank you. And the next question comes on just freig with vertical research.

謝謝。下一個問題是關於垂直研究的。

Hey, thanks. Good morning, everyone. Good morning. Hey, good morning. Hey, just on the NVIDIA collaboration that you mentioned here. Maybe I missed it, but did they press release this name me by name, partner ecosystem or something? You know, just wondering maybe we're going to hear that at supercompute but any, any color there.

嘿，謝謝。大家早安。早安.嘿，早安。嘿，關於您在這裡提到的 NVIDIA 合作。也許我錯過了，但他們在新聞稿中提到了我的名字、合作夥伴生態系統還是其他什麼？你知道，只是想知道也許我們會在超級電腦上聽到這個，但那裡有任何顏色。

More to come. How about I say that? And yes, we will be showcasing a lot of our products and collaboration efforts at supercompute.

未來還會有更多。我這麼說怎麼樣？是的，我們將展示我們在超級運算方面的許多產品和協作成果。

In their booth or just in your booth.

在他們的展位或就在您的展位。

In our booth. And I will say we will have other cooling products in other booths as well. I don't want to give away too much there, Jeff, but you will see our invent product showcase around the supercompute show.

在我們的展位裡。我想說的是，我們在其他展位上也會有其他冷卻產品。傑夫，我不想透露太多，但您會在超級計算展上看到我們的發明產品展示。

Okay. And, and what was the negative mix effect in EFS that you mentioned?

好的。您提到的 EFS 中的負面混合效應是什麼？

Yeah, a lot of that.

是的，很多。

You know, Jeff was prior year and we called that out last year particularly in Q2 and Q3, you know, their return on sales, in those quarters was north of 32% and just based on the mix of sales in those quarters, they were getting kind of an outsized impact from positive mix that we didn't expect, you know, to continue as we go forward. So again, on an absolute basis, the return on sales this quarter was north of 30%. It's just that year over year comp was a tough comp. We do think that that comp gets easier in Q4, you know, based on what that mix looked like a year ago as.

你知道，傑夫是去年的，我們去年特別指出了這一點，特別是在第二季度和第三季度，你知道，他們在這些季度的銷售回報率超過32％，並且僅根據這些季度的銷售組合，他們是積極的組合產生了巨大的影響，你知道，我們沒有預料到這種影響會在我們前進的過程中持續下去。因此，從絕對值來看，本季的銷售回報率超過了 30%。只是年復一年的比賽是一場艱難的比賽。我們確實認為，根據一年前的情況，第四季度的比賽會變得更容易。

Well.

出色地。

And how are you thinking about price going forward? Obviously ticked a little negative and it trailed, you know, kind of inflation productivity investments collectively. How do you think you could kind of manage that algorithm as we move into Q4 in 2025?

您如何看待未來的價格？顯然有點負面，你知道，它總體上落後於通膨生產力投資。當我們進入 2025 年第四季時，您認為如何管理該演算法？

You know what Jeff, I think we see the price, you know, things are very stable is how we would characterize it. And, you know, in several, in the past several years, we've seen more outsized price than volume. Now we're seeing strong contributions of volume, but we do think that that price will be positive as we go forward into 2025.

你知道傑夫，我想我們看到了價格，你知道，事情非常穩定，這就是我們對它的描述。而且，你知道，在過去的幾年裡，我們看到價格比銷售更大。現在我們看到了銷量的強勁貢獻，但我們確實認為，隨著我們進入 2025 年，價格將是積極的。

Great. Thank you.

偉大的。謝謝。

Thank you. And the next question, Kanad Car with Wolf Research.

謝謝。下一個問題是 Wolf Research 的 Kanad Car。

Thanks. Good morning, everyone.

謝謝。大家早安。

So yeah, so I think this is for you. I think the, so the 44 Q, 1 to 3% core sales maybe, maybe just break that out between the two segments. I'm guessing it's not going to be that different between the two. But I do want to try and understand a little bit better the lumpiness in the solutions and perhaps liquid cooling as well and how that's influencing sort of the, the kind of three Q to four Q because it does feel like the sales are a bit flatter three Q to four Q than perhaps normal seasonality.

是的，所以我想這適合你。我認為，44 季的核心銷售額可能為 1% 到 3%，也許只是在兩個細分市場之間進行劃分。我猜兩者之間不會太大不同。但我確實想嘗試更好地理解解決方案中的塊狀結構，也許還有液體冷卻，以及它是如何影響三季度到四季度的，因為它確實感覺銷售有點平淡三個Q 到四個Q 可能比正常的季節性多。

Let me take that first one.

讓我拿第一個。

Your.

你的。

Guess is right, Nigel, in terms of both segments kind of being in that one.

奈傑爾，我的猜測是對的，因為這兩個部分都屬於那個部分。

To 3%.

到3%。

Range. You know, if you look at it just from a.

範圍。你知道，如果你只從a來看的話。

Vertical standpoint overall, you know, we continue to expect, you know, good.

整體而言，從垂直角度來看，我們繼續期待，你知道，很好。

Growth in infrastructure.

基礎設施的成長。

Industrial mixed, you know, stronger in.

工業混合，你知道，更強。

Ef a bit softer.

Ef稍微軟一點。

In enclosures and continued commercial resy.

在外殼和持續的商業Resy中。

Softness.

柔軟度。

Overall. And again, I would just reiterate.

全面的。我再次重申。

You know, what Beth said in her prepared remarks is what's encouraging is that both segments, you know, so, you know, good order growth, you know.

你知道，貝絲在她準備好的講話中所說的令人鼓舞的是，這兩個部分，你知道，所以，你知道，良好的訂單增長，你知道。

In Q3 as.

在第三季中。

Well in.

好在。

Forming that I think the one, you know.

形成我認為的那個，你知道。

Caution there is just, you know, at the end of the year and given some of these macro uncertainties, we would expect some distributors, you know, to manage those inventory levels there at.

需要注意的是，在今年年底，考慮到一些宏觀不確定性，我們預計一些經銷商會管理這些庫存水準。

Year end. In.

年底了。在。

Terms of, you know.

條款，你知道。

Q3 and Q4, you know.

Q3和Q4，你知道的。

Seasonality from a sales perspective, you know, look, I think that the biggest seasonality element there that, that we're seeing is really just EFS and I think that's pretty consistent with historically, you know, again, going back, you know, EFS is going to be stronger in Q2 and Q3.

從銷售角度來看，季節性因素，你知道，我認為我們看到的最大的季節性因素實際上就是 EFS，我認為這與歷史非常一致，你知道，再一次回顧一下，你知道， EFS 在第二季和第三季將會變得更強。

And that Q3 to Q4, you're going to see a little bit of that downtick if you will on the EFS sales front.

從第三季度到第四季度，如果您關注 EFS 銷售方面，您將會看到一點點下降。

Any anything on the phasing of shipments, and data solutions.

有關分階段發貨和數據解決方案的任何資訊。

Not necessarily.

未必。

Now, we talked about data solutions kind of this first half versus second half. We talked about that a little bit last quarter and some of that is just based on, you know, timing of some of these, you know, more meaningful customer programs of where that comes into place. But we feel really good about our backlog. Orders are strong and again, making great progress and building that capability. And Beth talked about what we're also underway in terms of building out the testing and the and the lab capability. So I'm really excited about, you know, the future of data solutions. And now I know you guys have been asking, you know, in terms of what that data solutions number looks like, but, you know, kind of characterizing that at $575 million we expect, you know, for this year, so meaningfully higher than what it was a year ago.

現在，我們討論了上半年和下半年的數據解決方案。我們上個季度對此進行了一些討論，其中一些只是基於，你知道，其中一些更有意義的客戶計劃的實施時間。但我們對積壓的訂單感覺非常好。訂單再次強勁，取得了巨大進展並建立了這種能力。貝絲談到了我們在建立測試和實驗室能力方面正在進行的工作。所以我對數據解決方案的未來感到非常興奮。現在我知道你們一直在問，數據解決方案的數字是什麼樣的，但是，你們知道，有點描述我們預計今年的 5.75 億美元，所以有意義地高於一年前是什麼情況。

That's great. Thanks. And then just a quick one on the M&A sort of pipeline development, you've got a lot of cash to deploy, which is obviously good news. But do you, do you expect this to be a series of acquisitions or do you think there could be one or two sort of larger opportunities? And are we sort of set on deploying the bulk of the capital in 2025 on M&A or could there be some buy back as well?

那太棒了。謝謝。然後簡單介紹一下併購類管道開發，您有大量現金可以部署，這顯然是個好消息。但是您是否認為這將是一系列收購，或者您認為可能存在一兩個更大的機會？我們是否打算在 2025 年將大部分資金用於併購，或者也可能進行一些回購？

Well, as you know, we've always said our first priority with our capital allocation is to grow both both organic and inorganic. And as we look at our pipeline, we think that it is very robust. I think we've demonstrated our ability to integrate larger deals. And so as we look into 2025 and I always say this, you never can control the timing of deals, but I think it does give us an opportunity if we want to do a more sizable deal. But again, we're disciplined in, you know, the multiple we pay, but I, I believe that, you know, we have good opportunity as we go into 2025 to execute on M&A.

嗯，如你所知，我們總是說我們資本配置的首要任務是有機和無機的成長。當我們審視我們的管道時，我們認為它非常強大。我認為我們已經展示了整合更大交易的能力。因此，當我們展望 2025 年時，我總是這麼說，你永遠無法控制交易的時間，但我認為，如果我們想要進行更大規模的交易，這確實給了我們機會。但我們再次強調，我們支付的倍數是有紀律的，但我相信，進入 2025 年，我們有很好的機會執行併購。

Okay. Thanks, sir.

好的。謝謝，先生。

Thank you.

謝謝。

Thank you. And the next question, Custom Dean Dre with R BC Capital markets.

謝謝。下一個問題是 R BC 資本市場的 Custom Dean Dre。

Thank you. Good morning, everyone. Good morning.

謝謝。大家早安。早安.

I appreciate the slide 11 with the portfolio snapshots as well as sizing data solutions. And I know you set it up double digits. But can you be more specific on what data center did in the quarter? In terms of growth?

我很欣賞幻燈片 11 中的投資組合快照以及規模數據解決方案。我知道你把它設定為兩位數。但您能否更具體地介紹一下資料中心在本季的表現？在成長方面？

We don't necessarily.

我們不一定。

Break that out more specifically. But I think if you look at just that 575 million that we're expecting for the full year and look at where that was, you know, last year, that's, you know, in that in excess of 20% from a year, over.

更具體地分解一下。但我認為，如果你看看我們預計全年的 5.75 億人，看看去年的情況，你知道，這個數字比一年前的 20% 多，超過。

Year growth perspective.

年增長前景。

And again, I'll just go back to the order, you know, book has been strong there, you know, with continuing backlog growth as well. So feel good about that heading into 2025.

再說一次，我會回到訂單，你知道，那裡的書籍一直很強勁，你知道，積壓訂單也持續成長。因此，對 2025 年的到來感到滿意。

Understood. So, and that kind of brings up the question about market share and growth rates and, and how you stack up versus peers in this space. And so one of the challenges and we've talked about this with you before, but the idea here is you are in many platforms and partners where you don't see the NVE name. And so it's a bit like, you know, in the early 1990s when Intel went to the Intel inside, that's when people started to see and appreciate how pervasive and what kind of share Intel had. So how are you addressing this in the way of being able to profile your share? I know you're a leader in it you know, the first and in terms of liquid cooling, but what kind of challenges do you have here and being able to talk about where and how you're in different platforms but not necessarily able to put your name on it.

明白了。因此，這就提出了有關市場份額和成長率的問題，以及您如何與該領域的同行競爭。這是挑戰之一，我們之前已經與您討論過這個問題，但這裡的想法是您在許多平台和合作夥伴中看不到 NVE 名稱。所以這有點像，你知道，在 20 世紀 90 年代初，當英特爾進入英特爾內部時，人們開始看到並欣賞英特爾擁有多麼普遍和什麼樣的份額。那麼，您如何透過分析您的份額來解決這個問題呢？我知道您是這方面的領導者，您知道，在液體冷卻方面，您是第一個，但是您在這裡面臨什麼樣的挑戰，能夠談論您在不同平台中的位置和方式，但不一定能夠把你的名字寫在上面。

Well, Dean, I think I would start by saying that in this hyper scale high compute community, the event name and capability is well known and understood. So those who are involved in the design and development, and I think we're continuing to expand our offerings and ensuring that we're marketing our capability more broadly, especially as you get perhaps into multi tenant or more through the distribution channels where the knowledge of what's going on in this high compute, in terms of just the liquid cooling capability, there's still many who are learning about it. So we're working with our distribution partners there. But our view is we're going to continue to invest in new products. We're ramping with many of those customers that we can't speak about. We're on the next generation of designs. We talked about our collaboration with NVIDIA and I said, stay tuned. There's more that we will be sharing at supercompute. So you know, from my perspective, I think we just need to continue to go fast. The space is evolving rapidly and we're making investments from new products to capacity to our suppliers, to our lab capability. And you know, expect this to continue to be rapid growth for us.

好吧，Dean，我想我首先要說的是，在這個超大規模的高計算社區中，事件名稱和功能是眾所周知和理解的。因此，對於參與設計和開發的人來說，我認為我們正在繼續擴展我們的產品，並確保我們更廣泛地行銷我們的能力，特別是當您可能透過分銷管道進入多租戶或更多業務時，僅就液體冷卻能力而言，關於這種高計算中正在發生的事情的知識，仍然有很多人正在學習。因此，我們正在與那裡的分銷合作夥伴合作。但我們的觀點是我們將繼續投資新產品。我們正在與許多我們無法談論的客戶合作。我們正在研究下一代設計。我們談到了與 NVIDIA 的合作，我說，請繼續關注。我們將在超級計算中分享更多內容。所以你知道，從我的角度來看，我認為我們只需要繼續快速前進。這個領域正在迅速發展，我們正在對新產品、供應商產能和實驗室能力進行投資。你知道，預計我們將繼續快速成長。

Great. That's just my follow up question is exactly on that the four X capacity expansion. Can you give us a sense? I mean, if the market is growing in excess of 40% how much is this capacity expansion? How far does that take you in the next couple of years? And just remind us how much is actually manufacturing capacity versus the amount of test labs? Because that's really how you have proof to your partners that the liquid cooling delivers on the specs that that they require.

偉大的。我的後續問題正是關於 4 X 容量擴充。你能給我們一個感覺嗎？我的意思是，如果市場成長超過 40%，那麼產能擴張的規模是多少？未來幾年你能走多遠？請提醒我們，實際製造能力與測試實驗室數量相比有多少？因為這確實是您向合作夥伴證明液體冷卻符合他們所需規格的方式。

Yeah, so Dean, you know, the manufacturing capacity when we refer to that is about a four X capacity and we think that's going to get us through the next couple of years at this point that can change. And so we're in the process of building that out. Our lab expansion is going to take us through into 2025 but that, you know, more than doubles our lab capability and capacity of what we have today. And by the way, all of that isn't enough. And so I wanted to make that point that we've been working with our supply base because you also have to ensure that they can rapidly scale as well. So there's a lot of different areas is that we're investing from an end to end perspective to make sure that we can, you know, continue on the growth rate that we're at and continue to offer solutions more broadly as we start to see some of these A I chips you know, extend beyond, just say the hyper Scrs.

是的，迪恩，你知道，我們提到的製造能力大約是四倍的產能，我們認為這將使我們度過未來幾年，在這一點上可能會改變。所以我們正在建造它。我們的實驗室擴建計劃將持續到 2025 年，但您知道，這將使我們的實驗室能力和現有能力增加一倍以上。順便說一句，所有這些還不夠。因此，我想指出的是，我們一直在與我們的供應基地合作，因為您還必須確保它們也可以快速擴展。因此，我們在許多不同的領域進行從端到端的角度進行投資，以確保我們能夠繼續保持目前的成長率，並在我們開始時繼續提供更廣泛的解決方案看看這些人工智慧晶片中的一些，你知道，超出範圍，就說超級Scrs。

That's great. I look forward to seeing the team in Atlanta. Thank you. Thank you.

那太棒了。我期待在亞特蘭大見到球隊。謝謝。謝謝。

Thank you. And the next question C Joe Richie with Goldman Sachs.

謝謝。下一個問題是高盛的 C Joe Richie。

Hey, guys. Good morning.

嘿，夥計們。早安.

Good morning.

早安.

Hey, so maybe, maybe following on that thread and I'm sure again, we'll, we'll hear more in a few weeks, but I'm, I'm trying to understand like the, the productivity right now that you have in your data center business and liquid cooling specifically, maybe just kind of comment. You know, last time we saw the offering, it just seemed like you guys were trying to run as fast as you could and there's probably is probably not fully efficient at that point. And so I'm just curious to understand the margins and just any any comments you can make around the productivity you have around that business today.

嘿，所以也許，也許按照那個線索，我再次確信，我們會，我們會在幾週內聽到更多消息，但我，我正在嘗試理解，現在的生產力您在數據中心業務和液體冷卻方面的具體情況，也許只是一種評論。你知道，上次我們看到這個產品時，你們似乎試圖盡可能快地跑，但那時可能還沒有完全有效率。因此，我只是想了解利潤率以及您對當前該業務的生產力可以發表的任何評論。

Well, I'll, I'll start there and I'll let Sara jump in, you know, we've always said that our liquid cooling margins or sorry, our data solutions margins kind of reflected the products in that portfolio of our segment. So what we do around cable management kind of reflects the margins that we have in efs, what we do around liquid cooling and power and some of the other products select the margin and enclosures. Now, having said that there's a lot of investment going in and there's a lot of start up cost to that. And so we do think that over time there's opportunity to drive some more efficiency. So the margins are good today, but we know that over time they will get better as things scale more and more. And I'll let Sarah add anything to that, that she wants.

好吧，我將從這裡開始，我會讓薩拉插話，你知道，我們總是說我們的液體冷卻利潤，或者抱歉，我們的數據解決方案利潤在某種程度上反映了我們的產品組合中的產品部分。因此，我們在電纜管理方面所做的工作在某種程度上反映了我們在 efs 方面的利潤，我們在液體冷卻和電源方面所做的工作以及其他一些產品選擇了利潤和外殼。現在，話雖如此，有大量的投資正在進行，而且啟動成本也很高。因此，我們確實認為，隨著時間的推移，有機會提高效率。因此，今天的利潤率很高，但我們知道，隨著時間的推移，隨著業務規模越來越大，利潤率會變得更好。我會讓莎拉添加她想要的任何內容。

Yeah, maybe the only thing else I would add is, you know, I think the.

是的，也許我唯一要補充的是，你知道，我認為。

Enclosures business.

外殼業務。

Has just delivered some underlying, you know, strong productivity and, and seeing some good operating leverage as well as you know, better mix, you know, on some of these new products, you know, new programs. So even with some of these bringing the capacity online and, and these investments, we still expanded return on sales in the quarter. So there's some strong underlying productivity there as well.

剛剛交付了一些潛在的，你知道的，強大的生產力，並且看到了一些良好的營運槓桿，以及你知道的，更好的組合，你知道，在一些新產品，你知道，新計劃上。因此，即使其中一些將產能上線並進行了這些投資，我們仍然擴大了本季的銷售回報。因此，那裡也有一些強大的潛在生產力。

Okay. It's good to hear and then I guess just circling back to the organic growth question and heading into next year, if I, if I kind of pull out your acquisition contribution from this year and the comments that you've made around data solutions, it seems like the rest of the business isn't growing this year from, from an organic growth standpoint. And so I'm curious, you know, Beth, as you kind of think about 2025 are there, are there areas that are, you know, kind of really depressed within your business where you could see an inflection, that's just, you know, spur organic growth. And then just to follow on to that, are there any capacity constraints that you have to be able to meet demand if it were to inflect outside of data solutions? Of course.

好的。很高興聽到，然後我想回到有機成長問題並進入明年，如果我，如果我拿出你今年的收購貢獻以及你圍繞數據解決方案所做的評論，它從有機增長的角度來看，今年其他業務似乎沒有成長。所以我很好奇，你知道，貝絲，當你想到 2025 年時，你的業務中是否有一些領域真的很蕭條，你可以看到一個拐點，那就是，你知道，刺激有機成長。接下來，如果要在資料解決方案之外發生變化，是否需要滿足任何容量限制？當然。

Okay. Well, I think one of the things, you know, we've said this year is that commercial resi has been soft. And so we do expect that to improve in 2025. The second I would point out to is industrial. And so we've seen some strength in industrial in efs and we've seen some weakness in our enclosures business. Some of that also has to do with CapEx investments, interest rates, but it also has to do with our distribution channel. Again, we think that improves going into next year. I would talk about power utilities where again, we've strengthened the portfolio with that track the acquisition. But earlier in the year, we certainly saw this level of inventory at end customers and the distribution channels. But our es business and and enclosures in Q3 saw nice growth in power utilities because we believe some of that, you know, inventory adjustments have taken place. But looking at 2025 you know, I think the the well, some of this macro uncertainty even tied to elections gets behind us and the portfolio we believe is strengthened with the things that we've done with acquisitions and new products. And so, you know, our view is positive as we go into and backlog support going into 2025 as a strong growth year.

好的。嗯，我認為我們今年說過的一件事是商業儲備一直疲軟。因此，我們確實預計這一情況將在 2025 年有所改善。因此，我們看到了 efs 工業領域的一些優勢，也看到了我們的外殼業務的一些弱點。其中一些也與資本支出投資、利率有關，但也與我們的分銷管道有關。同樣，我們認為明年情況會有所改善。我想談談電力公用事業，我們再次透過追蹤收購加強了投資組合。但在今年早些時候，我們確實看到了終端客戶和分銷管道的庫存水準。但我們的 ES 業務和外殼在第三季度看到了電力公用事業的良好成長，因為我們相信其中一些庫存調整已經發生。但展望 2025 年，我認為，一些甚至與選舉有關的宏觀不確定性已經成為過去，我們相信，透過收購和新產品所做的事情，我們的投資組合得到了加強。因此，您知道，隨著我們進入並積壓支持進入 2025 年這一強勁增長年，我們的觀點是積極的。

Okay, great. Thank you.

好的，太好了。謝謝。

Thank you. And the next question, Covi Vui with Citigroup.

謝謝。下一個問題是花旗集團的 Covi Vui。

Hey, good morning. Thanks for taking my call.

嘿，早安。感謝您接聽我的電話。

So maybe just following up on, on, on the growth question in, in another way. I mean, if you think about the, you, you had mid single digit orders growth in three Q but 1% organic revenue and, and, and you're guiding 1 to 3 organic and four Q. So I guess, can you talk about when we should see that higher level of orders growth more directly convert to revenue?

所以也許只是以另一種方式跟進成長問題。我的意思是，如果您考慮一下，您在三個季度的訂單增長為中等個位數，但有機收入為1％，並且您正在指導1 到3 個有機和四個季度。能談談嗎大約什麼時候我們應該看到更高水準的訂單成長更直接轉化為收入？

Well, I think, you know, yes, you're correct. We're guiding 1 to 3. And I think, you know, we have a mix when we look at our orders of short cycle and some backlog we've spoken to that we see with say data solutions, but we believe, you know, as we get into 2025. Because again, I think this quarter, we see this macro uncertainty that has, you know, again, distributors pausing for example or managing inventory. And I think as we get into 2025 we start to see improvements in terms of you know how our growth layers in.

嗯，我想，你知道，是的，你是對的。我們正在指導 1 到 3。時。我認為，隨著進入 2025 年，我們開始看到我們的成長層次有所改善。

And maybe I would add just one point to 2024 here. I mean, if you look at just kind of where we're at year-to-date and, and some of the context that we've given on Q4, if you look at enclosures, I mean, they're expected to be strong mid single digit growth this year. Right. And, and infrastructure has been a big part of that and that's even with some of the underlying, you know, headwinds around industrial Europe, etcetera. And then ef obviously not, not as much, you know, but again, in the start of the year, you know, that's where we had some of the infrastructure, the utility, you know, channel inventory dynamics that we were working through and commercial resy headwinds. And again, so as we flip next year, you know, it's not far off right from enclosures being, you know, strong big single digits. And then it's the, the the end market dynamics that that talked about in terms of turning on the EFS side.

也許我只想在這裡為 2024 年添加一點。我的意思是，如果你看看我們今年迄今為止的情況，以及我們在第四季度給出的一些背景，如果你看看外殼，我的意思是，它們預計將是今年強勁的中個位數增長。正確的。而且，基礎設施一直是其中的重要組成部分，即使存在一些潛在的，你知道的，圍繞著工業歐洲等的逆風。然後，顯然沒有，沒有那麼多，你知道，但同樣，在今年年初，你知道，這就是我們擁有一些基礎設施、公用事業、你知道、我們正在研究的渠道庫存動態的地方，商業Resy逆風。再說一次，當我們明年翻轉時，你知道，距離實現強勁的大個子就不遠了。然後就是我們在轉向 EFS 方面所討論的終端市場動態。

Got it that's helpful, appreciate it. And then maybe just moving to track you for a minute and you mentioned it's off to a good start as it's coming into the portfolio double digit growth, which is great to hear. Can you just talk more about sort of the visibility that you have you know, within their backlog, how far, how far out does does their visibility extend?

明白了，很有幫助，感激不盡。然後也許只是跟踪您一分鐘，您提到它有了一個良好的開端，因為它正在進入投資組合兩位數的增長，這很高興聽到。您能否多談談您所知道的可見性，在他們的待辦事項中，他們的可見性延伸了多遠？

In some cases, we can see orders that we get like a year of visibility. Some are maybe shorter than that, but you know, we do have a good backlog as we go into next year. And if you think about what we're doing there, these are control houses that are used to support upgrades for an aging electrical infrastructure as well as with renewables and with data centers as well. So, so we have some nicer visibility there and and just see continued strong growth in our outlook.

在某些情況下，我們可以看到我們獲得的訂單就像一年的可見性一樣。有些可能比這短，但你知道，進入明年我們確實有很多積壓的訂單。如果您考慮我們在那裡所做的事情，您會發現這些控制室用於支援老化電力基礎設施以及再生能源和資料中心的升級。因此，我們在那裡有更好的能見度，並看到我們的前景持續強勁增長。

Appreciate the color. Thanks.

欣賞顏色。謝謝。

Thank you.

謝謝。

Thank you. Last question in the record with Deutsche Bank.

謝謝。德意志銀行記錄中的最後一個問題。

Yeah, thanks. Good morning.

是的，謝謝。早安.

Maybe just starting on orders and kind of dovetailing with the expectations for 2025 with respect to industrial and commercial and resi have you guys seen any sign of improvement in order activity or is it more about, you know, rates coming down and some of the macro dynamics that, you know, gives you conviction that those, those parts of the businesses can turn positive?

也許剛開始訂單，與 2025 年工業、商業和房地產方面的預期相吻合，你們是否看到訂單活動有任何改善的跡象，或者更多的是，你知道，利率下降和一些宏觀經濟因素你知道，這些動力讓你相信業務的那些部分可以變得積極嗎？

You know, it, it's I'd say things have been stable. How about I put it that way? But our view is that interest rates and this macro uncertainty and also just how distributors, you know, are managing through this year that first, the fact that it's stable is good utility certainly improved. I would make that comment, but our view is that does get better in 2025.

你知道，我想說的是事情一直很穩定。我這樣說怎麼樣？但我們的觀點是，利率和這種宏觀不確定性，以及經銷商今年的管理方式，首先，它的穩定性是良好的效用，這一事實肯定會有所改善。我會發表這樣的評論，但我們認為 2025 年情況確實會變得更好。

Okay. That's helpful. Thank you. And then I guess, maybe, could you talk a little bit about what you're seeing holistically from a channel inventory perspective? It seems like things are kind of going according to plan with, with less of those headwinds in the back half of the year. But I guess how would you characterize inventory now? Thank you.

好的。這很有幫助。謝謝。然後我想，也許您能從通路庫存的角度談談您所看到的整體情況嗎？事情似乎正在按計劃進行，下半年的不利因素會減少。但我猜你現在會如何描述庫存？謝謝。

Well, I think I would start, you know, by saying through the distribution channel, we've actually seen positive sell out, really, you know, and so the sell in is a little bit weaker. And so this is why we, you know, believe that they, many of them have talked about managing their cash flow performance and interest rates. And so, you know, we think that it's that inventory level, they're just being very cautious. And so as we get into 2025 because they talk about end market demand still being, you know, good. So we expect, you know, that will, you know, that situation will improve as we go into 2025.

嗯，我想我首先要說的是，透過分銷管道，我們實際上看到了積極的銷售，真的，你知道，所以銷售有點疲軟。因此，這就是為什麼我們相信他們中的許多人都在談論管理現金流績效和利率。所以，你知道，我們認為這就是庫存水平，他們只是非常謹慎。因此，當我們進入 2025 年時，因為他們談論終端市場需求仍然很好。因此，我們預計，隨著 2025 年的到來，這種情況將會有所改善。

Thank you. I'll pass it on.

謝謝。我會把它傳遞下去。

Thank you.

謝謝。

Thank you. And the next question question, Jeff Hammond with Keyban capital markets.

謝謝。下一個問題是 Jeff Hammond 與 Keyban 資本市場。

Hey, good morning.

嘿，早安。

Good morning, Jeff.

早安，傑夫。

Hey, just back to capital allocation. I'm just wondering, you know, you get, you did 100 million buyback in the quarter. And I'm just wondering, you know, II I know the focus is, is organic and organic, but just how to think about any earmark for buy back around the you know, the thermal sale.

嘿，回到資本配置。我只是想知道，你知道，你在本季回購了 1 億美元。我只是想知道，我知道焦點是有機的和有機的，但如何考慮圍繞熱銷進行回購的任何指定用途。

You know, when we announced the sale of the, you know, the intent for the sale, we did say our first priority always remains growth both organic and inorganic, but there is the opportunity to do some buybacks. So we did that in Q3. And I think as we go into next year, as I like to say, you never can control the timing of M&A and certainly, you know, if there was no M&A opportunity or the world changed, you know, there's always opportunity to do some buybacks.

你知道，當我們宣佈出售時，你知道，出售意向時，我們確實說過我們的首要任務始終是有機和無機增長，但有機會進行一些回購。所以我們在第三季就這樣做了。我認為，正如我想說的，當我們進入明年時，你永遠無法控制併購的時機，當然，你知道，如果沒有併購機會或世界發生了變化，你知道，總是有機會做一些事情回購。

Okay. And then utility, yeah, I think that had been kind of a drag and it, you know, I think you call that high single digit growth, is that just a function of comps or are you actually seeing that business start to, to re accelerate.

好的。然後，公用事業，是的，我認為這有點拖累，你知道，我認為你稱之為高個位數成長，這只是比較的函數，還是你實際上看到業務開始重新發展加速。

In our EFS business? You know, this was a challenge for us in the first half of the year. And we talked about, you know, high co you know, we had really high growth in 2023. We also had lead times that were extended and they've now come back in line. So Q3 for us in our EFS business in that utility segment was very strong. And so we believe that, and we also see the backlog that we have in our enclosures and track the business. And so, we, you know, as we look at 2025 we think utility is going to be a key driver of our infrastructure growth.

在我們的 EFS 業務中？要知道，這對我們上半年來說是一個挑戰。我們談到，你知道，高合作，你知道，我們在 2023 年實現了非常高的成長。因此，第三季我們在公用事業領域的 EFS 業務非常強勁。所以我們相信這一點，我們也看到了我們的圍欄中的積壓並追蹤業務。所以，你知道，當我們展望 2025 年時，我們認為公用事業將成為我們基礎設施成長的關鍵驅動力。

Okay, great. And then just last one orders, you know, up mid single digits, I think you haven't really been calling out orders. So I'm assuming that's a re acceleration. And I'm just wondering is that, you know, largely data solutions or is it, or is it more broad based than that?

好的，太好了。然後只是最後一個訂單，你知道，中間個位數，我認為你還沒有真正發出訂單。所以我假設這是重新加速。我只是想知道，你知道，主要是數據解決方案，還是它，或者它的基礎比這更廣泛？

It's actually more broad based? And so, you know, we've seen, you know, strong orders and enclosures and, and it's, it's a mix but data solutions has been good and we've seen, you know, mid single digit orders in EFS as well.

它實際上基礎更廣泛嗎？所以，你知道，我們已經看到，你知道，強勁的訂單和附件，而且，這是一個混合體，但數據解決方案一直很好，我們也看到，你知道，EFS 中的中位數訂單。

Okay, thanks so much.

好的，非常感謝。

Thank you. Next question from Brian Drab with William Blair.

謝謝。布萊恩·德拉布 (Brian Drab) 向威廉·布萊爾 (William Blair) 提出了下一個問題。

Good morning. I was wondering if you could just I don't know if you're willing to do this or not. Give us a little more granularity on that 575 million. In the past, we've talked about, you know, the data solutions category and then within that power and cooling and then within that liquid cooling and can, can you just comment on whether power and cooling is now maybe more than half of that 575 million. And then, you know what, I'm, I'm curious what power and cooling is growing at as well.

早安.我想知道你是否可以，只是我不知道你是否願意這樣做。讓我們更詳細地了解這 5.75 億。過去，我們討論過數據解決方案類別，然後在電力和冷卻方面，然後在液體冷卻方面，您能評論一下電力和冷卻現在是否可能超過一半嗎？然後，你知道嗎，我很好奇電力和冷卻的成長速度。

Yes, you're right. We've always said that cooling and power is about 50%. So I would say it's, it's a little more than 50%. But I also like to say, you know, some of our cable management business has been growing at that same rate because it's all part of the solution as we go forward. So, but you know, certainly with the, with the growth rates around liquid cooling, we expect that's going to continue to increase as a percentage of that overall data solutions portfolio?

是的，你說得對。我們一直說冷卻和電力大約佔50%。所以我想說，略高於 50%。但我還想說，你知道，我們的一些電纜管理業務一直在以同樣的速度成長，因為隨著我們的發展，這都是解決方案的一部分。那麼，但是您知道，隨著液體冷卻的成長率，我們預期液體冷卻在整個數據解決方案組合中所佔的百分比將繼續增加？

Okay. And then is there any way you could give us an update on the expected timing of the thermal deal? And it's going to be a massive amount of cash that you're, you'll have at that point and the interest rate that you expect at least, you know, I I know you can't predict interest rates but like the interest rate that you're getting on your cash.

好的。那麼您有什麼辦法可以提供我們有關熱力交易預計時間的最新資訊嗎？到那時你將擁有大量現金，並且至少你期望的利率，你知道，我知道你無法預測利率，但就像利率一樣你正在得到你的現金。

So yes, when we announced the sale, we said that we expect the sale of the thermal management business to occur in early 2025 by early 2025. And I'll let Sarah comment on our.

所以，是的，當我們宣佈出售時，我們表示我們預計熱管理業務的出售將於 2025 年初進行。

Cash.

現金。

Yeah, I think you could, you know, think about in the context of sort of a rate in that 4 to 5% range depending upon, you know, what sits on the balance sheet and you know, earns interest, you know, from a deposit standpoint or even looking at, you know, some of our prepayable term, you know, term debt and what we're paying on that, which is, you know, 6% So if you look at kind of the blend of that you can think about, you know, in that 4 to 5% range.

是的，我認為你可以，你知道，考慮一下 4% 到 5% 範圍內的利率，這取決於資產負債表上的內容，你知道，賺取利息，你知道，從存款的角度來看，你知道，我們的一些預付期限，你知道，定期債務以及我們為此支付的費用，即，你知道，6% 所以如果你看一下這些的混合你可以考慮一下，你知道，在4% 到5 % 的範圍內。

Right? Okay. Thank you very much.

正確的？好的。非常感謝。

Thank you. And the next question comes from David Silver with CL King.

謝謝。下一個問題來自 David Silver 和 CL King。

Yeah. Hi, good morning. Good morning.

是的。嗨，早安。早安.

I just wanted to follow up maybe on your comments on the track, the business serving as a new platform.

我只是想跟進您對賽道的評論，該業務作為一個新平台。

I think you mentioned that a couple of times in your prepared remarks.

我想你在準備好的發言中多次提到這一點。

But you know, you mentioned the business is off to a good start. But my sense is, is that it touches on, you know, some different end markets, different customer base.

但你知道，你提到業務有一個好的開始。但我的感覺是，它牽涉到一些不同的終端市場、不同的客戶群。

You know, when you did make the deal, I'm sure you had some longer term plans. I mean, do those plans, I mean, maybe if you could just add a little color on where the business might be heading in the next few years, but is this a business you want to scale up? Is this a business where the breadth, you know, adding breadth is more important? And then maybe, you know, since it is quote unquote a new platform, is, is this something that's best managed within the enclosures, you know, the larger enclosures group or are there some differences that maybe make you think down the road? It could form the basis for a new, you know, third segment. Anyway, just you're thinking about, I know it's very early days, but but strategically, you know, what, what what, what are some of your thoughts about the opportunities there?

你知道，當你確實達成交易時，我確信你有一些長期計劃。我的意思是，這些計劃是否可行，我的意思是，也許您可以為未來幾年業務的發展方向添加一些色彩，但這是否是您想要擴大規模的業務？你知道，在這個產業中，增加廣度更重要嗎？然後也許，你知道，因為這是一個新平台，所以，這是在更大的外殼組內最好管理的東西，還是有一些差異可能會讓你思考？它可以構成新的第三部分的基礎。無論如何，只是你在想，我知道現在還為時過早，但從戰略上講，你知道，什麼，什麼，你對那裡的機會有什麼想法？

Well, as you know, and we've published this, we have this M&A framework and we always think of great products in high growth verticals that we can invest in and scale. And so for us, as we thought about our enclosure segment and how could we have a stronger position in utilities? We saw this as an offering that was growing with the dynamics of and you know, aging infrastructure, data data center build out and effectively. And I'm being very simplistic here. It is a larger type enclosure than what we were doing today. And I also like to say that when you go in these control houses, you see more enclosures and you also see some of the other products that are in the invent portfolio. And so we saw this as an opportunity for us to extend what we do in enclosures in a more scaled way that we felt that we could have synergies with the rest of the invent portfolio and allow us to expand our position in utilities, renewables and add to what we do in data centers. And I think there's a lot of synergies within the enclosures portfolio because you can think of how we purchase materials, etcetera. That at this point, we believe that it's, you know, it's a part of that segment and we're going to continue to as per our framework, you know, invest in it and scale it to grow.

嗯，正如你所知，我們已經發布了這個，我們有這個併購框架，我們總是想到我們可以投資和擴大規模的高成長垂直領域的偉大產品。因此，對我們來說，當我們考慮我們的外殼細分市場時，我們如何在公用事業領域擁有更強大的地位？我們認為這是一項隨著基礎設施老化、資料中心擴建而有效成長的產品。我在這裡說得非常簡單。它是一個比我們今天所做的更大的外殼。我還想說，當您進入這些控制室時，您會看到更多的外殼，並且還會看到發明組合中的一些其他產品。因此，我們認為這是一個機會，讓我們能夠以更大規模的方式擴展我們在封閉領域的工作，我們認為我們可以與發明組合的其他部分產生協同效應，並使我們能夠擴大我們在公用事業、再生能源領域的地位，並增加我們在資料中心所做的事情。我認為外殼產品組合中有很多協同作用，因為您可以想到我們如何購買材料等。在這一點上，我們相信它是該細分市場的一部分，我們將繼續按照我們的框架進行投資並擴大規模以實現成長。

Okay, great. Thank you very much that that's it for me. Appreciate it. Thank you.

好的，太好了。非常感謝你，對我來說就是這樣。欣賞它。謝謝。

Thank you. And that does conclude the question and answer session. I would like to return the conference back over to Beth Walz for any closing comments.

謝謝。問答環節到此結束。我想將會議交還給貝絲·沃爾茲（Beth Walz）以徵求結束意見。

Thank you for joining us today. I'm very pleased with our performance in Q3. We will continue to focus on our customers, employees and shareholders by executing on our growth strategy and transforming our portfolio. I'm excited for our future. Thanks again for joining us. This concludes the call.

感謝您今天加入我們。我對我們第三季的表現非常滿意。我們將繼續關注我們的客戶、員工和股東，執行我們的成長策略並轉變我們的投資組合。我對我們的未來感到興奮。再次感謝您加入我們。通話就此結束。

Thank you. As mentioned, the conference has concluded. Thank you for attending today's presentation. You may now disconnect.

謝謝。如前所述，會議已經結束。感謝您參加今天的演講。您現在可以斷開連線。