Orion Group Holdings Inc (ORN) 2023 Q4 法說會逐字稿

good morning, and welcome to Orion Group Holdings Fourth Quarter and Full Year 2023 Earnings Conference Call and Webcast. (Operator Instructions) Please also note today's event is being recorded at this time, I'd like to turn the floor over to Margaret Boyce, Investor Relations for Orion. Please go ahead, ma'am.

早上好，歡迎來到 Orion Group Holdings 2023 年第四季和全年財報電話會議和網路廣播。（操作員說明）另請注意，此時正在錄製今天的活動，我想將發言權交給 Orion 投資者關係部的瑪格麗特·博伊斯 (Margaret Boyce)。請繼續，女士。

Thank you, operator, and thank you all for joining us today. To discuss Orion Group Holdings Fourth Quarter and Full Year 2023 financial results. We issued our earnings release after market last night. It's available in the Investor Relations section of our website at Orion Group Holdings, Inc.com. I'm here today with Travis Boone, Chief Executive Officer, and Scott Banta's, Chief Financial Officer.

謝謝運營商，也謝謝大家今天加入我們。討論 Orion Group Holdings 第四季和 2023 年全年財務表現。我們昨晚在盤後發布了收益報告。您可以在 Orion Group Holdings, Inc.com 網站的投資者關係部分找到這些資訊。今天，我與執行長 Travis Boone 和財務長 Scott Banta 一起來到這裡。

On today's call, management will provide prepared remarks and then we'll open up the call for your questions.

在今天的電話會議上，管理層將提供準備好的發言，然後我們將開始電話會議詢問您的問題。

Before we begin, I'd like to remind you that today's comments will include forward-looking statements under the federal securities laws. Forward-looking statements are identified by words such as will, be, intend, believe, expect, anticipate or other comparable words and phrases. Statements that are not historical facts are forward-looking statements. Our actual financial condition and results of operations may vary materially from those contemplated by such forward-looking statements. Discussion of the factors that could cause our results to differ materially from these forward-looking statements are contained in our SEC filings, including our reports on Form 10 Q and 10 K.

在開始之前，我想提醒您，今天的評論將包括聯邦證券法規定的前瞻性陳述。前瞻性陳述透過諸如將、是、打算、相信、期望、預期或其他類似的詞語和短語來識別。非歷史事實的陳述均為前瞻性陳述。我們的實際財務狀況和經營業績可能與此類前瞻性聲明中預期的存在重大差異。我們向 SEC 提交的文件中包含可能導致我們的結果與這些前瞻性陳述有重大差異的因素的討論，包括我們的 10 Q 表格和 10 K 表格報告。

With that, I'd now like to turn the call over to Travis TRAVIS. Please go ahead.

現在，我想將電話轉給特拉維斯·特拉維斯 (Travis TRAVIS)。請繼續。

Thank you, Margaret. And welcome to our Fourth Quarter and Year End 2023 call.

謝謝你，瑪格麗特。歡迎撥打我們的 2023 年第四季和年底電話會議。

Good morning. I'll start by saying that I am pleased with our progress on transforming the business throughout 2023, we did what we said we would do, and the business is much healthier.

早安.首先我要說的是，我對 2023 年我們在業務轉型方面取得的進展感到高興，我們做到了我們所說的，而且業務更加健康。

To summarize our fourth quarter and full year results. We made the profitability of our business priority over revenue. Our Q4 revenues grew 3% to 202 million and year end revenues declined slightly to $712 million versus $748 million in 2022 on the surface, that's not impressive. But as I communicated to you throughout the year, driving the top line for the sake of revenue growth was not our objective in construction. If you don't have discipline, you can win bids to grow revenue without making money until you put yourself out of business. That was the situation when Scott and I joined Orion in late 2022 and our top priority was to transform the business into a company that can deliver profitable and sustainable growth. We now have strong backlog to support revenue growth in 2024 and be profitable at the same time a year ago, we laid out a three point strategic plan to work toward long-term sustainable growth, which included improving the profitability of the concrete business, strengthening business development to drive growth and investment and resources to realize Orion's full potential. We worked at plan throughout 2023 and accomplished our goals for the year. Concrete is now profitable, but we will continue to drive higher margins in that business.

總結我們第四季和全年的業績。我們將業務盈利能力置於收入之上。我們第四季的營收成長了 3%，達到 2.02 億美元，年終營收略有下降，降至 7.12 億美元，而表面上看，2022 年的營收為 7.48 億美元，這並不令人印象深刻。但正如我全年與大家溝通的那樣，為了收入成長而推動營收並不是我們的建設目標。如果你沒有紀律，你可能會贏得競標以增加收入，但卻無法賺錢，直到你破產為止。這就是我和 Scott 在 2022 年底加入 Orion 時的情況，我們的首要任務是將業務轉型為一家能夠實現盈利和可持續增長的公司。我們現在有強大的積壓來支持 2024 年的收入成長並在一年前同時實現盈利，我們制定了三點戰略計劃以實現長期可持續增長，其中包括提高具體業務的盈利能力，加強業務發展推動增長，投資和資源充分發揮Orion 的潛力。我們依照 2023 年計畫開展工作，完成了全年目標。混凝土業務現已獲利，但我們將繼續提高該業務的利潤率。

We have invested in strategic growth and have vastly improved our business development team and processes, which is driving growth.

我們投資於策略性成長，並極大地改進了我們的業務開發團隊和流程，這正在推動成長。

Lastly, we significantly improved our balance sheet and liquidity. We made significant progress optimizing our business, and we strategically invested in our fleet to better prepare for the future. We still have work to do, but today, our business is much healthier as measured by a significant improvement in profitability metrics. Gross profit margin increased 620 basis points to 11.4% versus 5.2% fourth quarter last year. Adjusted EBITDA for the quarter was $14.8 million or a 7.3 adjusted EBITDA margin, a significant improvement over $3.2 million or 1.6% adjusted EBITDA margin in Q4 2022. As we communicated from the beginning, reversing the margin decline in our concrete business was a top priority. And in March, it turned the corner on an adjusted EBITDA margin basis, concrete delivered 5.3% versus a negative 1.8% year over year. Don't get me wrong growing. The top line is important. And in 2023 we made significant progress in strengthening our business development efforts, which I'll cover more later. What's important is winning the right projects for Orion, high value long term projects like Pearl Harbor and the Grand Bahamas dry-dock for awards like these demonstrate our ability to win large, complex projects that are reputation builders in our markets. And while we are pursuing large projects, we are also applying a disciplined approach to projects of all sizes. The go-forward story is so Orion is now set up to own unlock its full potential first winning projects with the right. Pricing is critical to driving profitability that required us to implement guardrails, such as minimum bid margins and pursuing work where we have strong value proposition that differentiates Orion from competition as well as bolstering our management oversight with experienced leaders. However, you can just establish and enforce new rules, the organization must understand and embrace them and that required us to reset Orion's culture, while having a strong and engaging culture is always an ongoing process.

最後，我們顯著改善了資產負債表和流動性。我們在優化業務方面取得了重大進展，並對機隊進行了策略性投資，以便更好地為未來做好準備。我們仍有工作要做，但今天，從獲利指標的顯著改善來看，我們的業務更加健康。毛利率成長 620 個基點，達到 11.4%，去年第四季為 5.2%。本季調整後 EBITDA 為 1,480 萬美元，調整後 EBITDA 利潤率為 7.3%，比 2022 年第四季的 320 萬美元或調整後 EBITDA 利潤率 1.6% 顯著改善。正如我們從一開始就傳達的那樣，扭轉混凝土業務利潤率下降的趨勢是當務之急。3月份，在調整後的 EBITDA 利潤率基礎上，混凝土交付量達到 5.3%，而去年同期為負 1.8%。別誤會我的成長。頂線很重要。2023 年，我們在加強業務發展工作方面取得了重大進展，我將在稍後介紹。重要的是為 Orion 贏得合適的項目、珍珠港和大巴哈馬乾船塢等高價值長期項目，獲得此類獎項表明我們有能力贏得大型、複雜的項目，這些項目在我們的市場上建立了聲譽。在我們追求大型專案的同時，我們也對各種規模的專案採取嚴格的方法。未來的故事是這樣的，獵戶座現在已經準備好釋放其全部潛力，並獲得第一個獲獎項目的權利。定價對於提高獲利能力至關重要，這要求我們實施護欄，例如最低投標利潤和追求我們擁有強大價值主張的工作，使 Orion 在競爭中脫穎而出，並透過經驗豐富的領導者加強我們的管理監督。然而，您可以建立並執行新規則，組織必須理解並接受它們，這要求我們重置 Orion 的文化，而擁有強大且有吸引力的文化始終是一個持續的過程。

In 2023, we accomplished a great deal to strengthen our organization and its identity in the marketplace. We put disciplined processes and procedures in place. So extra stations are crystal clear, and everyone is focused on the same mission, delivering predictable excellence through outstanding execution to achieve this we tore down the silos that had existed for far too many years throughout the business was a classic case of what happens when acquisitions are now fully integrated or duplicate Platforms business unit autonomy, frictional resources over like talent and other challenges. And since these disciplines are all interrelated, we were missing many opportunities to collaborate and cross-sell Fast Forward. One year later Orion is now one company pulling in the same direction, we rebranded all of our operations under the Orion banner, including the rebranding of TAS. concrete construction as Orion, we are also rebuilding an IT infrastructure that will give us a better line of sight across the entire business as well as the capability of scale. Scott will give more detail in this in his remarks above all, I'm especially thrilled with the caliber of leaders that we attracted to Orion this year. Alan acumen formally with AE. Com, joined us as Senior Vice President of Strategy and Growth. This was a new role that we critically needed to drive strategy, business development, sales training and future M&A. We also hired chip Burrell as our new in-house counsel. Chip has an impressive legal compliance and risk management background. Louisiana is an important market for Orion, and we now have a new office in New Orleans to expand our presence in the state where we began working in 1906. Since Scott and I came onboard, our culture and our senior leadership is strikingly different than a year ago. We are fostering a winning mindset, celebrating our achievements and pushing ourselves to higher performance by unifying under the Orion brand. We will develop a more recognizable presence in the national market unlock new potential for growth, leverage collaboration across teams and support our mission to deliver high-quality solutions with predictable excellence to reflect our ONE Orion brands. We are launching our new website on March fourth. It would be happy for you to go check it out when it goes live next week. With these critical building blocks in place, we are turning our full attention to building momentum in the business in 2024, we expect our performance to improve with a gradual build throughout the year. However, we believe 2025 will be the year when our transformation starts to really kick in for several key reasons, in a little over a year, we almost quadrupled our pipeline of opportunity from $3 billion to over 11 billion. This reflects not only the measures we've taken to transform Orion, but also an improving market outlook. We're expecting to see increased RFP activity from our marine clients. This year and the public and private sector, the core is undertaking a number of capital construction projects that we're preparing to bid on, including the pent-up demand for maintenance, dredging and waterways which would benefit Orion based on our Pearl Harbor word, green is also well-positioned to participate from naval defense spending in the Pacific add to that 10 billion that is earmarked for coastal restoration in Louisiana in the coming years, as well as the port expansion capital projects necessary to accommodate larger ships and more warehousing capacity for Orion concrete might also benefit from public funding for infrastructure projects. This would be a new opportunity for Orion since our work in Dallas and Houston core markets is mostly in the private sector with any interest rate relief. We believe several private sector construction projects would be greenlighted to support the outsized growth in these two markets. We also see an opportunity to expand our concrete business presence in Florida bottom line. There are strong tailwinds and a ton of opportunity in our space that requires the special skills and experience that limits competition. We have the best people in the industry who are laser focused on execution, growing revenues and driving margins. I'm very optimistic that Orion is set up for success in 2024, 2025 and beyond.

2023 年，我們在加強我們的組織及其市場地位方面取得了巨大成就。我們制定了嚴格的流程和程序。因此，額外的站點非常清晰，每個人都專注於同一個使命，透過出色的執行力提供可預測的卓越成果，以實現這一目標，我們拆除了整個業務中存在多年的孤島，這是收購時發生的經典案例現在完全整合或重複的平台業務單位自主權、人才等資源摩擦和其他挑戰。由於這些學科都是相互關聯的，因此我們錯過了許多合作和交叉銷售 Fast Forward 的機會。一年後，Orion 現在是一家朝著同一方向前進的公司，我們將所有業務重新命名為 Orion 旗下，包括 TAS 的重新命名。作為Orion的具體建設，我們也在重建IT基礎設施，這將使我們能夠更好地了解整個業務以及規模化的能力。斯科特將在他的演講中提供更多細節，最重要的是，我對今年我們吸引到 Orion 的領導者的才華感到特別興奮。Alan acumen 正式與 AE 合作。Com 加入我們，擔任策略與成長資深副總裁。這是我們迫切需要的新角色，以推動策略、業務發展、銷售培訓和未來的併購。我們還聘請了奇普·伯勒爾（chip Burrell）作為我們新的內部法律顧問。Chip 擁有令人印象深刻的法律合規和風險管理背景。路易斯安那州是 Orion 的重要市場，我們現在在新奧爾良設立了一個新辦事處，以擴大我們在 1906 年開始工作的州的業務。自從我和史考特加入以來，我們的文化和高階領導力與一年前有了顯著的不同。我們正在培養一種必勝的心態，慶祝我們的成就，並透過統一在 Orion 品牌下推動我們取得更高的業績。我們將在全國市場上建立更知名的形象，釋放新的成長潛力，利用跨團隊的協作，並支持我們的使命，以可預測的卓越性提供高品質的解決方案，以體現我們的ONE Orion 品牌。我們將於三月四日推出新網站。當它下週上線時，您會很高興去查看它。有了這些關鍵的建置模組，我們將全力專注於 2024 年的業務發展勢頭，我們預計我們的業績將隨著全年的逐步建設而提高。然而，我們相信 2025 年我們的轉型將開始真正啟動，原因有幾個：在一年多一點的時間裡，我們的機會管道幾乎翻了兩番，從 30 億美元增加到超過 110 億美元。這不僅反映了我們為改造 Orion 所採取的措施，也反映了市場前景的改善。我們預計船舶客戶的 RFP 活動將會增加。今年以及公共和私營部門，核心是進行一些我們準備投標的基本建設項目，包括被壓抑的維護、疏浚和水道需求，根據我們的珍珠港事件，這將有利於獵戶座綠色還處於有利地位，可以參與太平洋地區的海軍國防支出，加上未來幾年專門用於路易斯安那州海岸恢復的100 億美元，以及容納更大船隻和更多倉儲所需的港口擴建資本項目Orion 混凝土的產能也可能受益於基礎設施項目的公共資金。這對 Orion 來說將是一個新的機會，因為我們在達拉斯和休士頓核心市場的工作主要是在私營部門，並且有任何利率減免。我們相信，一些私營部門的建設項目將獲得批准，以支持這兩個市場的大幅成長。我們也看到了擴大我們在佛羅裡達州具體業務的機會。我們的領域有強大的順風和大量的機會，需要限制競爭的特殊技能和經驗。我們擁有業內最優秀的人才，他們專注於執行、增加收入和提高利潤。我非常樂觀地認為 Orion 將在 2024 年、2025 年及以後取得成功。

Now I'll turn this call over to Scott to discuss our operations and financials.

現在我將把這個電話轉給史考特，討論我們的營運和財務狀況。

Thanks, Travis, and good morning, everyone. During 2023, we were hard at work implementing changes to position Orion for future success. As Travis outlined, we invested in critical areas of the business to prepare for the growth opportunities in front of us. A big focus this year was investing in technology, replacing the outdated infrastructure that we inherited. We really redesigned and rebuilt our IT infrastructure moving from housing, our servers in our offices to hosting our IT systems in state of the art data centers in Austin and Las Vegas. With this move, our systems are now more secure and reliable with greater flexibility and adaptability. We completed the implementation of a CRM system to improve our business development capabilities. We've also implemented the first phase of a project management system and a PDP. tool that will improve our overall project and expense management capabilities in 2024, we will continue to enhance our IT systems, migrating the concrete business over to the same financial platform as the marine segment, which will deliver efficiencies and greatly improved line of sight across our entire business. With these changes, we can deliver our projects with improved financial performance. As mentioned previously, we need to consistently invest in modernizing and refurbishing our fleet to better service. Our customers and capital expenditures were lower than historical averages. This year, we expect maintenance CapEx to return to historical levels. Additionally, we will be investing in growth capital to be ready to execute more work for our customers to expand our fleet in a cost-effective way. We recently purchased a dredge under construction, and we'll be investing over the next two years to build it out. We expect it to be fully operational in 2025. We were successful in strengthening the balance sheet and monetizing our noncore real estate assets in 2023, securing our ABL credit facility was key to strengthening our financial flexibility. We closed over $25 million in equipment and real estate sale leaseback transactions last year and last week, we announced that we entered into a $34 million land sale contract for our East West Jones property with an expected closing date in June. With the completion of this transaction, we will have unlocked almost 60 million of value from our balance sheet to reduce debt and invest in growing our business in 2024.

謝謝崔維斯，大家早安。2023 年，我們努力實施變革，為 Orion 奠定未來成功的基礎。正如特拉維斯所概述的，我們投資於業務的關鍵領域，為我們面前的成長機會做好準備。今年的一大重點是投資技術，取代我們繼承的過時基礎設施。我們真正重新設計和重建了我們的 IT 基礎設施，從住房、辦公室伺服器到在奧斯汀和拉斯維加斯最先進的資料中心託管我們的 IT 系統。透過這項舉措，我們的系統現在更加安全可靠，具有更大的靈活性和適應性。完成CRM系統實施，提升業務拓展能力。我們也實施了專案管理系統和 PDP 的第一階段。到 2024 年，我們將繼續增強我們的 IT 系統，將具體業務遷移到與船舶部門相同的財務平台，這將提高我們的效率並大大改善我們的視野。整個業務。透過這些變化，我們可以在交付專案時提高財務績效。如前所述，我們需要持續投資於機隊現代化和翻新，以提供更好的服務。我們的客戶和資本支出低於歷史平均。今年，我們預計維護資本支出將恢復到歷史水準。此外，我們將投資於成長資本，以便為我們的客戶執行更多工作做好準備，以經濟高效的方式擴大我們的機隊。我們最近購買了一艘正在建造的挖泥船，我們將在未來兩年內投資建造它。我們預計它將於 2025 年全面投入營運。2023 年，我們成功加強了資產負債表並將非核心房地產資產貨幣化，確保我們的 ABL 信貸安排是增強我們財務靈活性的關鍵。去年和上週，我們完成了超過 2500 萬美元的設備和房地產售後回租交易，我們宣佈為 East West Jones 地產簽訂了價值 3400 萬美元的土地出售合同，預計交割日期為 6 月。此次交易完成後，我們將從資產負債表中釋放近 6,000 萬美元的價值，以減少債務並投資於 2024 年業務的成長。

To wrap up on the balance sheet, as of December 31st, we had 38.9 million of cash and total debt outstanding of 37.2 million. At the end of the quarter, we had no outstanding borrowings under our revolving credit facility.

總結資產負債表，截至 12 月 31 日，我們的現金為 3,890 萬美元，未償債務總額為 3,720 萬美元。截至本季末，我們的循環信貸安排下沒有未償還借款。

Moving on to our financial results, fourth quarter revenue increased 2.8% to $201.6 million, primarily due to an increase in marine revenue related to the Pearl Harbor dry project, partially offset by lower concrete revenue following our decision to exit the unprofitable Central Texas concrete fourth quarter gross profit increased to $23 million or 11.4% of revenue compared to $10.2 million or 5.2% last year. This 620 basis point increase was primarily driven by margin improvements in both sections, reflecting higher quality projects and improved execution partially offset by a lower margin and mix of dredging revenue.

轉向我們的財務業績，第四季度收入增長2.8%，達到2.016 億美元，主要是由於與珍珠港幹項目相關的海洋收入增加，部分抵消了我們決定退出不盈利的德克薩斯州中部混凝土第第四季混凝土收入的下降。本季毛利增至 2,300 萬美元，佔營收的 11.4%，而去年為 1,020 萬美元，佔營收的 5.2%。620 個基點的成長主要是由兩個部門的利潤率提高所推動的，反映了專案品質的提高和執行力的提高，部分被較低的利潤率和疏浚收入組合所抵消。

Sg&a expenses for the fourth quarter were 17.2 million or 8.5% of revenue, up from $13.7 million or 7% of revenue in the fourth quarter of last year. Sg&a expenses grew due to increased IT and business development spending and higher legal costs related to some lingering project claims.

第四季的銷售、管理及行政費用為 1,720 萬美元，佔營收的 8.5%，高於去年第四季的 1,370 萬美元，佔營收的 7%。由於 IT 和業務開發支出增加，以及與一些懸而未決的項目索賠相關的法律成本增加，SG&A 支出有所增長。

Adjusted net income for the quarter was 2.6 million or an adjusted net income of $0.08 per diluted share compared to an adjusted net loss of 3.7 million were an adjusted loss of $0.12 per diluted share in the prior year period. This result excludes $7 million or $0.21 of diluted earnings per share of non-recurring items. Our GAAP net loss for the fourth quarter of 2023 was $4.4 million, or $0.13 loss per diluted share and EBITDA for the fourth quarter was $6.5 million and adjusted EBITDA was 14.8 million. Adjusted EBITDA margin was 7.3%, up from 1.6% in the prior year period.

本季調整後淨利為 260 萬美元，調整後每股攤薄淨利潤為 0.08 美元，而上年同期調整後淨虧損為 370 萬美元，調整後每股攤薄虧損為 0.12 美元。這項結果不包括 700 萬美元或 0.21 美元的非經常性項目攤薄每股收益。我們 2023 年第四季的 GAAP 淨虧損為 440 萬美元，或稀釋後每股虧損 0.13 美元，第四季的 EBITDA 為 650 萬美元，調整後的 EBITDA 為 1,480 萬美元。調整後 EBITDA 利潤率為 7.3%，高於去年同期的 1.6%。

Turning to bidding metrics, in the fourth quarter, we bid on approximately $1.1 billion worth of opportunities, winning 86.3 million. This resulted in the contract value weighted win rate of 7.6% and a book-to-bill ratio of 0.43 times for the quarter. As of December 31st, our backlog was 762.2 million compared with $448.8 million at December 31st of last year. Breaking out our fourth quarter backlog, $602.5 million was in our marine segment with $159.7 million in our concrete segment. In addition, we have been awarded over 120 million of new marine segment project work that was not included in our backlog at the end of the fourth quarter as Travis mentioned, we are delivering on our promise to improve profitability by implementing discipline in our bidding process and maintain quality work at attractive pricing.

談到競標指標，第四季度，我們競標了價值約 11 億美元的機會，贏得了 8,630 萬個機會。這導致該季度合約價值加權獲勝率為 7.6%，訂單出貨比為 0.43 倍。截至 12 月 31 日，我們的積壓訂單為 7.622 億美元，而去年 12 月 31 日為 4.488 億美元。從第四季的積壓來看，我們的海洋部門有 6.025 億美元，混凝土部門有 1.597 億美元。此外，我們還獲得了超過1.2 億個新的海洋部門專案工作，正如特拉維斯所提到的，這些工作並未包括在第四季度末的積壓工作中，我們正在兌現透過在招標過程中實施紀律來提高盈利能力的承諾並以有吸引力的價格保持高品質的工作。

During the fourth quarter, our adjusted EBITDA margins moved closer to our target of low double digit adjusted EBITDA margins for Marine and high single digit adjusted EBITDA margins.

在第四季度，我們的調整後 EBITDA 利潤率更接近我們的目標，即船舶業務的低兩位數調整後 EBITDA 利潤率和高個位數調整後 EBITDA 利潤率。

For the concrete segment, adjusted EBITDA margin in our marine segment increased to 8.4%, up from 5.1% last year. And our concrete segment adjusted EBITDA margin improved to 5.3%, up from negative 1.8% adjusted EBITDA margin last year.

對於混凝土業務，我們船舶業務的調整後 EBITDA 利潤率從去年的 5.1% 增加到 8.4%。我們的混凝土部門調整後 EBITDA 利潤率從去年調整後 EBITDA 利潤率為 1.8% 的負值提高至 5.3%。

Looking ahead to 2024 and beyond, we're excited about our outlook. Our business development efforts are producing an expanding pipeline of attractive projects we anticipate growing the top line substantially over 2023, and we expect revenue to ramp up throughout the year. Of course, as with any project-based business, there may be lumpiness quarter to quarter based on project milestones in Hawaii. Our Pearl Harbor project is not ramping as fast as we anticipated in the first quarter due to shipping delays of equipment and supplies related to the drought in the Panama Canal as well as unforeseen delays on the project out of our control. We expect revenue from Hawaii to ramp throughout 2024 and build through the year being stronger in the second half, we are increasing our CapEx spend over 2023 to upgrade our fleet so that we are prepared for the industry tailwinds that are expected to accelerate through 2025 and beyond. As we grow the top line, we plan to continuously improve margins by managing our business more efficiently and productively. We are confident in our ability to continue to improve returns on capital and deliver increasing value to our shareholders.

展望 2024 年及以後，我們對我們的前景感到興奮。我們的業務發展努力正在產生越來越多有吸引力的項目，我們預計收入將在 2023 年大幅增長，並且我們預計全年收入將大幅增長。當然，與任何基於專案的業務一樣，根據夏威夷的專案里程碑，每個季度可能會出現波動。由於巴拿馬運河乾旱導致設備和物資運輸延誤，以及我們無法控制的工程意外延誤，我們的珍珠港工程第一季的進度沒有我們預期的快。我們預計夏威夷的收入將在2024 年全年持續成長，並在下半年變得更加強勁，我們將在2023 年增加資本支出以升級我們的機隊，以便我們為預計到2025 年加速的行業順風做好準備，超過。隨著收入的成長，我們計劃透過更有效率、更有成效地管理我們的業務來不斷提高利潤率。我們對繼續提高資本回報率並為股東創造更大價值的能力充滿信心。

With that, we'll open up the call for questions.

至此，我們將開始提問。

(Operator Instructions) Joe Gomes, Noble Capital.

（操作員指示）Joe Gomes，Noble Capital。

Good morning. Thanks for taking the questions we want to do. So you guys just touched a little bit on Hawaii, but I was wondering if you could give us a little bit more color on both Hawaii and the Grand Bahama projects.

早安.感謝您提出我們想做的問題。你們剛剛觸及了夏威夷的一點點，但我想知道你們是否能為我們提供有關夏威夷和大巴哈馬計畫的更多資訊。

Sure. Is there anything specific you wanted me to cover, Joe, or just kind of looking for where we are in IE.

當然。Joe，您是否希望我介紹任何具體內容，或者只是尋找我們在 IE 中的位置。

Can you talk a little bit right there at the end on pro Harbor about not ramping as fast, but any directional color on that? Any color you have on Grand Bahama would be great.

你能在 Pro Harbour 的最後談談不要那麼快地加速，但有任何方向性的顏色嗎？大巴哈馬島上的任何顏色都很棒。

Sure.

當然。

Both projects are going well and we still feel very confident about the projects and margins and the ability to deliver on those projects there was there. As Scott mentioned, there was a few a few hiccups with the Panama Canal that were that were sorting through, if you will. It's been challenging. You've probably seen in the news, there's getting kitting of materials and goods through the Panama Canal has been challenging. So we've got a little bit of little little hiccups there, but we're working through that. And generally speaking, the project, as I said, is going well and just a little bit slower of start of revenue than we had anticipated or planned. But it's everything is well on track.

這兩個專案進展順利，我們仍然對專案和利潤以及交付這些專案的能力充滿信心。正如史考特所提到的，巴拿馬運河出現了一些小問題，如果你願意的話，這些問題正在解決。這很有挑戰性。您可能在新聞中看到，透過巴拿馬運河運送材料和貨物一直是一項挑戰。所以我們遇到了一些小問題，但我們正在解決這個問題。總的來說，正如我所說，該專案進展順利，只是收入開始比我們預期或計劃的要慢一些。但一切都步入正軌。

As far as Bahama similar, similar story project's going very well. Everything is on schedule from a portion of the work got got delayed. One of our subs got slightly delayed and that slowed the revenue, but the project is on schedule and on track. So everything is well there, too.

就巴哈馬而言，類似的故事項目進展順利。一切都按計劃進行，部分工作被推遲了。我們的一個潛艇稍微延遲了，這導致收入下降，但該項目正在按計劃進行併步入正軌。所以那裡一切都很好。

Great.

偉大的。

Thanks for that. And then the concrete segment page just looking on the non-operating income, our EBITDA loss was higher in the fourth quarter of 23, 4.8 million versus the 3.7 in 2022 was there. Was that something you were expecting? Did the segment take a little bit of a step back during the quarter? Any more clarity there would be great.

感謝那。然後具體的部門頁面僅查看非營業收入，我們的 EBITDA 損失在 23 年第四季度更高，為 480 萬，而 2022 年為 3.7。這是你所期待的嗎？該部門在本季是否有所後退？任何更清晰的訊息就太好了。

Thanks.

謝謝。

Yes. So we had the rebranding of the concrete business under the Orion brand, which guess as a result of looking at that intangible on the balance sheet didn't really have a reason to support the value that's on the balance sheet. So we had a $7 million intangible loss from writing that brand down in the quarter. If it were not for that concrete up operating performance would have been much better.

是的。因此，我們對 Orion 品牌下的具體業務進行了品牌重塑，透過查看資產負債表上的無形資產，我們猜測並沒有真正理由支持資產負債表上的價值。因此，我們在本季因減記該品牌而遭受了 700 萬美元的無形損失。如果沒有具體的操作，性能會好得多。

Okay, great.

好的，太好了。

Thanks for that clarity on your back in line.

感謝您在隊列中的清晰說明。

Julio Romero, Sidoti & Company.

胡里奧·羅梅羅，西多蒂公司。

Thanks, Terry. Good morning, Travis and Scott. Tom, Travis, for the new. Do you expect performance?

謝謝，特里。早上好，特拉維斯和斯科特。湯姆，崔維斯，新的。你期待表現嗎？

Hey, good morning. You mentioned you expect performance to improve with a gradual build throughout the year.

嗨，早安。您提到您希望透過全年逐步建立來提高效能。

And Scott, you mentioned you expect revenue to grow substantially in 24. And I assume you are talking for Orion overall maybe in one rather one specific segment, but can you guys just kind of walk us through the cadence expected for sales and profit across both segments in 2024?

Scott，您提到您預計 24 年收入將大幅成長。我假設您正在談論 Orion 的整體情況，也許是在一個特定的細分市場，但是您能否向我們介紹一下 2024 年這兩個細分市場的銷售額和利潤的預期節奏？

Yes.

是的。

I'll just kind of expand on it a bit. We kind of see a typical seasonal drop at the beginning of the year, and we expect that to be true this year as well. But as we move through the year and Hawaii and Bahamas contribute more and more revenue as we go through the year. We expect to continually post improving results over the prior year when we're not think about revenue and what it looks like in relation to 2023. We've got pretty sizable backlog going into the year. A good portion of that is expected to burn in the next 12 months. We have a lot of opportunities in the pipeline that are potentially there realizable within the year as well. So we see a lot of good movement in the direction of expanding revenue. So I yes, always are going to be ups and downs in a contracting business where we work outside and have projects that start and stop at different times during the year, but and the general trend we see often.

我將對此進行一些擴展。我們在年初看到了典型的季節性下降，我們預計今年也是如此。但隨著時間的推移，夏威夷和巴哈馬貢獻的收入越來越多。當我們不考慮收入以及與 2023 年相關的情況時，我們預計將繼續公佈比前一年更好的業績。今年我們有相當大的積壓訂單。其中很大一部分預計將在未來 12 個月內燃燒。我們正在醞釀很多機會，這些機會也有可能在今年內實現。因此，我們看到在擴大收入的方向上發生了許多良好的變化。所以我是的，我們在外面工作的承包業務總是會起起落落，專案在一年中的不同時間啟動和停止，但我們經常看到整體趨勢。

Right.

正確的。

Okay.

好的。

That's very helpful. And then looks like, as you guys said last quarter, the fourth quarter and sales were going to be significantly due to the project timing pushing some sales into the fourth quarter and you clearly weren't hitting on there with the strong performance on the margin sales there is the first quarter is still expected to be stronger than fourth or or did some project timing maybe pull forward some some 1Q sales if you can speak to that?

這非常有幫助。然後看起來，正如你們上個季度所說，由於專案時間安排將一些銷售推到了第四季度，第四季度的銷售額將顯著增加，而你們顯然沒有在利潤率方面表現強勁預計第一季度的銷售仍將強於第四季度，或者某些項目的時間表是否可能會提前一些第一季的銷售，如果您能對此談談嗎？

Yes, we don't expect the first quarter to be stronger than the fourth quarter.

是的，我們預計第一季不會比第四季強。

We do expect the first quarter to improve over the first quarter of last year. So there's ups and downs through the year, but first quarter is typically a seasonable dip for us.

我們確實預計第一季將比去年第一季有所改善。因此，全年都會有起起落落，但第一季對我們來說通常是一個季節性的下降。

Very helpful. I'll pass it on. Thanks very much.

很有幫助。我會把它傳遞下去。非常感謝。

David Storms, Stonegate Capital.

大衛‧斯托姆斯 (David Storms)，Stonegate Capital。

The morning four, due to hoping you could just start by giving us a little insight as to what the margin profile, it looks like on your backlog. Are we just about through a lot of those old legacy contracts, or is there still more work that needs to be done there so we're most of the way through those.

早上四點，因為希望您能先讓我們了解您的積壓訂單上的利潤概況。我們是否剛剛完成了很多舊的遺留合同，或者是否還需要做更多的工作，所以我們已經完成了大部分工作。

There's a there's a few lingering ones that we'll be finishing up this year. But there's a generally speaking, we're through we're through the vast majority of them.

有一些揮之不去的問題我們將在今年完成。但總的來說，我們已經經歷了其中的絕大多數。

Very helpful.

很有幫助。

Thank you.

謝謝。

And then just on the liquidity front, great to see that you've got a East-West Jones contracted on once that's finalized. Are there any other levers that you're looking to pull in order to generate more liquidity? Or do you feel like you're in a good spot once once that's finalized and we're not at that scale.

然後就流動性而言，很高興看到一旦最終確定就簽訂了東西方瓊斯合約。您是否希望利用其他槓桿來產生更多流動性？或者一旦最終確定，你是否覺得自己處於一個好的位置，而我們還沒有達到那個規模。

There's that one. We're glad to have that thing under contract again and looking forward to getting that getting that close this year. But as far as you know, any other big needle mover, asset sales, et cetera. We're not anticipating anything large. We've got some equipment will settle and some things like that, but not big needle movers.

有那個。我們很高興再次與該項目簽訂合同，並期待今年能夠實現這一目標。但據您所知，還有其他重大推動因素、資產出售等。我們預計不會發生任何大事。我們有一些設備可以安定下來，還有類似的東西，但沒有大型針動裝置。

I think where we have in some improvement opportunities on cash flow and in working capital as we have projects close out and retainage to go collect, I think there will be a cycle of that coming up. Also, you may have seen in our press release, we amended our credit agreement to lower our interest rate on our revolver in our term loan. So that will also help our cash flow coming into next year for this year.

我認為，當我們有專案關閉和保留要收回時，我們在現金流量和營運資本方面有一些改進機會，我認為將會出現一個這樣的週期。此外，您可能在我們的新聞稿中看到，我們修改了信貸協議，以降低定期貸款中左輪手槍的利率。因此，這也將有助於我們今年進入明年的現金流。

That's very helpful.

這非常有幫助。

DeForest Hinman, Walthausen &Co.

德福雷斯特‧欣曼 (DeForest Hinman)、沃爾索森公司

Hey, I'm with Bumbershoot Holdings now, that's not correct. But yeah, thanks for taking the questions. A big component of the better returns for?

嘿，我現在在 Bumbershoot Holdings，這是不正確的。但是，是的，感謝您提出問題。更好的回報的一個重要組成部分是什麼？

Yes, the equity holders is the is related to the interest expense. You got pretty high of interest carry on the debt. I mean, obviously some of that's going down with East-West Jones being sold. And then you had a little bit of relief that you discussed in the press release. And how should we be thinking about the state of the balance sheet as it relates to working capital and you have some of these larger projects and how you know, the billings and the milestone payments work out as we go through the year. I mean, is it your expectation that and there will be a fair amount of leverage on the balance sheet as 2024 progresses? Or is it going to be running in a net cash position. Can you just help us understand how that looks because it's going to have a pretty big impact on you, your cash flows and your earnings power. That's my first question.

是的，股東是與利息支出相關的。你的債務利息很高。我的意思是，顯然其中一些隨著東西瓊斯被出售而下降。然後，正如您在新聞稿中所討論的那樣，您鬆了一口氣。我們應該如何考慮資產負債表的狀況，因為它與營運資金有關，而且您有一些較大的項目，以及您如何知道，帳單和里程碑付款在我們度過這一年的過程中如何計算。我的意思是，您是否期望隨著 2024 年的進展，資產負債表上會有相當數量的槓桿？或者它將以淨現金狀況運行。您能否幫助我們了解一下情況，因為它將對您、您的現金流和您的盈利能力產生相當大的影響。這是我的第一個問題。

Yes, for sure.

是肯定的。

And that is something obviously that as we came in last year, we needed to refinance our debt and it wasn't the best time to hit the market, we were able to successfully do that. I think the reduction in the interest rate that we just signed with White Oak is up reflection of both an improvement in the interest rate environment as well as our performance and how we are performing relative to.

很明顯，當我們去年進入時，我們需要為我們的債務再融資，而這並不是進入市場的最佳時機，但我們能夠成功做到這一點。我認為我們剛剛與 White Oak 簽署的利率下調既反映了利率環境的改善，也反映了我們的業績以及我們的相對錶現。

Yes, the prior 12 months, they see us as an improving credit. And I think that they see as we do that, we have options to improve the interest rate on our debt going forward. With our East West Western sale, we will look to reduce our debt with proceeds from that. And we have the opportunity to with some of our cash flow initiatives, in particular, some claims that we're pursuing that we expect to be able to monetize during the year and that be another opportunity to reduce our debt.

是的，在過去 12 個月裡，他們認為我們的信用狀況有所改善。我認為他們認為，當我們這樣做時，我們可以選擇提高未來債務的利率。透過我們的東西方銷售，我們將尋求利用由此產生的收益來減少我們的債務。我們有機會透過我們的一些現金流計劃，特別是我們正在追求的一些主張，我們預計能夠在今年內貨幣化，這是減少我們債務的另一個機會。

And going forward, we see a role for debt on our balance sheet.

展望未來，我們看到債務在我們的資產負債表上發揮重要作用。

We've got a lot of opportunities in our space. We think that we can take advantage of more of those opportunities with additional capital, and we're figuring the West the best way for us to approach that is to take advantage of those opportunities in the most efficient way for our shareholders. So I'm still still thinking about those things, but certainly looking to reduce interest expense through improved cash flow, lower rates and reduced debt balances.

我們的領域有很多機會。我們認為，我們可以透過額外的資本來利用更多這些機會，我們認為西方對我們來說最好的方法就是以最有效的方式為我們的股東利用這些機會。因此，我仍在考慮這些事情，但肯定希望透過改善現金流、降低利率和減少債務餘額來減少利息支出。

And then just a follow up on that commentary, is that just and that fire was and the board and you consider issuing equity to plan for some of those opportunities. I have a follow-up.

然後是該評論的後續行動，這是否公正，並且董事會和您考慮發行股權來計劃其中一些機會。我有一個後續行動。

Yes, I would say that we're not early enough in our thinking on those elements as to where we would go with the balance sheet.

是的，我想說的是，我們對資產負債表的走向的這些要素的思考還不夠早。

But I do think that we've got plenty of room, plenty of cash flow, plenty of opportunity. So we see it then way to use capital the best way to get it. We'll have discussions and figure out over the course of the next 12 months.

但我確實認為我們有足夠的空間、充足的現金流、充足的機會。所以我們認為使用資本是獲得資本的最佳方式。我們將在接下來的 12 個月內進行討論並找出答案。

Okay, thank you.

好的謝謝。

And then on the CapEx commentary, obviously you have basically a whole new executive team versus the prior few years, you referenced maintenance CapEx going to more of a historic level. How do you define that? Can you give us that number? And then the second part of that question is you mentioned acquiring a vessel a barge to do some additional spending there. I mean, you do have some pretty old barges. So this is a somewhat of a newer thing. Can you can you help us understand the outlay for the Vishal built flat? And then what's the total CapEx and what's the cadence over the next couple of years there. So multipart question on CapEx.

然後在資本支出評論中，顯然與前幾年相比，您基本上擁有了一個全新的執行團隊，您提到維護資本支出將達到歷史水平。你如何定義它？你能給我們那個號碼嗎？然後這個問題的第二部分是你提到購買一艘駁船來在那裡進行一些額外的支出。我的意思是，你們確實有一些相當舊的駁船。所以這是一個較新的事物。您能幫我們了解建造 Vishal 公寓的費用嗎？然後總資本支出是多少，未來幾年的節奏是多少。關於資本支出的多部分問題。

Thank you.

謝謝。

Sure, David.

當然，大衛。

So on the on the maintenance CapEx, just generally speaking, it's 15 million or so is the one referencing historic historic levels. That's a ballpark ballpark number around $15 million for maintenance CapEx. And then the additional CapEx there for for building out the the dredge that we purchased, there's a that will be over over a period of time next year or two to get that built out. The we as you as you did point out, we've got some older dredges that are in our fleet, although we did we have we did rebuild one and get it get it operational last year. So while it might be somewhat old, it's in a it's a it's a pretty pretty new piece of equipment based on the rebuilds. That's kind of what we're doing with this. This other one we purchased. So we're working on getting our getting our fleet up to up to standards for emissions and technology and best equipment.

因此，在維護資本支出方面，一般來說，約1500 萬是參考歷史水準的。維護資本支出的大概數字約為 1500 萬美元。然後，用於建造我們購買的挖泥船的額外資本支出，將在明年或兩年的一段時間內完成。正如您所指出的，我們的船隊中有一些較舊的挖泥船，儘管我們確實重建了一艘挖泥船並在去年投入使用。因此，雖然它可能有點舊，但它是基於重建的相當新的設備。這就是我們正在做的事情。我們購買的另一件。因此，我們正在努力讓我們的車隊達到排放、技術和最佳設備的標準。

Yes.

是的。

And I think over the two years, we'll be able to build out this dredge at a much cheaper rate than it would cost us to start from scratch that I think in the course of the 24 months, probably 25 to 30 million investment Okay.

我認為在兩年內，我們將能夠以比我們從頭開始的成本便宜得多的速度建造這艘挖泥船，我認為在這 24 個月內，可能需要 25 到 3000 萬的投資。

Just for clarity, did you buy an older vessel than the just kind of the intent of just doing a fairly say was the data on it or something

為了清楚起見，您是否購買了一艘較舊的船隻，只是為了公平地說一下它的數據或其他東西

was a there was a dredge hole that the there was in the process of being rebuilt by another. Another company that we are that we purchased at auction for a very, very inexpensive cost.

那裡有一個挖洞，正在被另一個人重建。我們是另一家在拍賣會上以非常非常便宜的價格購買的公司。

Okay. And I'll just squeeze in the last follow-up on the East-West Jones transaction of I didn't read through all the disclosures, but I'll just turning to Sweden here. But we did we negotiate an environmental release on that property sale? Or do we have hypothetical our environmental liability with that property going forward?

好的。我將只是擠進關於東西瓊斯交易的最後一個後續行動，因為我沒有閱讀所有披露的內容，但我將在這裡轉向瑞典。但我們是否就該房產出售的環境釋放問題進行了協商？或者我們對該財產未來負假設的環境責任？

Yes, yes, it's as is where is So okay.

是的，是的，就是這樣，所以還好。

Thank you.

謝謝。

You bet.

你打賭。

Julio Romero, Sidoti & Company.

胡里奧·羅梅羅，西多蒂公司。

Okay. Thanks for taking a couple of quick follow-ups. On maybe can we just speak to dredging for a little bit? Is the level of competition you saw for dredging in the third quarter still kind of ongoing and on can you maybe speak to whether those smaller competitors that were bidding for dredging in the third quarter, a little bit closer to filling up their capacity?

好的。感謝您進行一些快速跟進。也許我們可以談談疏浚一下嗎？您在第三季度看到的疏浚競爭水平是否仍在持續，您能否談談那些在第三季度競標疏浚的較小競爭對手是否更接近填滿其產能？

I'd say it's a similar story Julio, some pretty pretty as the latter half of last year going into going into 24 here. And I would guess some of Mark's some more busy hasn't been there hasn't been a ton of bid activity so far this year, but it's pretty similar what we what we talked about in the latter half of last year. We're optimistic that the third and fourth quarter will pick up on the on the dredging side of things, we've been pretty fortunate. We've picked up some picked up some good dredging work that has been keeping us keeping us going, but it's not at the kind of historic levels that it used to be. So we're not saying we're not dead in the water, but we're we're not as busy as we'd like to be.

我想說這是一個類似的故事，胡里奧，有些相當漂亮，就像去年下半年進入 24 歲的時候一樣。我猜馬克的一些更忙碌的事情今年到目前為止還沒有大量的投標活動，但這與我們去年下半年談論的非常相似。我們樂觀地認為第三季和第四季疏浚方面將會好轉，我們非常幸運。我們已經取得了一些良好的疏浚工作，這些工作一直讓我們繼續前進，但它並沒有達到以前的歷史水平。所以我們並不是說我們沒有死在水里，但我們並沒有我們想的那麼忙。

So. Got it. And Tom, can you maybe just speak to SG&A a little bit as well and break out how much of the fourth quarter SG&A expense was related to higher legal claims and maybe help us think about for SG&A spend in 2024, excluding We and now we're not probably going to break out the details of SG&A.

所以。知道了。湯姆，您能否也談談 SG&A 一點，並詳細說明第四季度 SG&A 費用中有多少與更高的法律索賠相關，也許可以幫助我們考慮 2024 年的 SG&A 支出，不包括我們和現在的我們。我們可能不會透露SG&A 的詳細資訊。

But on just to give you I think that where we are fourth quarter is going to be a fairly typical number for us going forward in absolute dollars. And I think with our systems investments continuing the legal expenses, they have been growing of the investments that we've made in business development. Most of those have kind of hit a sort of steady state. So I think you continue at that level for the next 12 months.

但我想告訴大家的是，我認為第四季的情況對於我們未來的絕對美元來說將是一個相當典型的數字。我認為，隨著我們的系統投資持續增加法律費用，我們在業務開發方面的投資也不斷成長。其中大多數已經達到某種穩定狀態。所以我認為在接下來的 12 個月裡你會繼續保持這個水平。

Got it. That's good color. Thanks very much.

知道了。這顏色真好啊非常感謝。

And ladies and gentlemen, with that we'll be concluding today's question.

女士們、先生們，我們就到此結束今天的問題。

Actually, before we conclude, if anyone would like to ask additional questions, please press star and then one. And to withdraw yourself from the queue, you may press star and two.

實際上，在我們結束之前，如果有人想問其他問題，請按星號，然後再按一個。若要退出佇列，您可以按星號和二號。

And we do have a follow up from DeForest Hinman from Walthausen & Co. Please go ahead with your follow-up

我們確實收到了來自 Walthausen & Co. 的 DeForest Hinman 的後續報導。請繼續您的後續報導

Hey, it's Bumbershoot Holdings. But can you give us some more color on some of these ongoing claims. You referenced timing wise size. I think to there were some legacy stuff out there, you guys and some work on some of the I think it was a runway in Alaska. I don't know if it ever got it resolved or is topline with the drainage, Canal and Georgia, are those things still out there are trying to get pain on RTs different things and any color there and any color on timing and potential size of those recoveries?

嘿，這是 Bumbershoot 控股公司。但您能給我們更多關於其中一些正在進行的主張的資訊嗎？您提到了時間方面的大小。我認為那裡有一些遺留的東西，你們和一些工作，我認為這是阿拉斯加的跑道。我不知道它是否得到了解決，或者是否與排水系統、運河和喬治亞州的頂線有關，這些事情是否仍然存在，試圖讓RT感到痛苦，不同的事情和那裡的任何顏色以及時間和潛在大小的任何顏色那些恢復狀況？

Yes. We've got a couple of a couple of legal matters that are going to trial this year in the middle middle part of the year that we're optimistic about, um, there there's no no downside for us on either one of those probably are not going to get into details about which matters they are. But we do have we have a couple of them that again, we're optimistic that there will be some upside potential on those two matters around the middle part of the year.

是的。我們有幾個法律案件將在今年年中審理，我們對這些案件持樂觀態度，嗯，對我們來說，其中任何一個都沒有任何不利影響不會詳細說明它們是什麼。但我們確實有一些問題，我們再次樂觀地認為，這兩件事在今年中期會有一些上行潛力。

Okay. Thank you. And as another follow-up, you talked about some of these IT projects. A previous management team is working on a lot of stuff on the IT side. I think ERP, when are those projects complete in your mind?

好的。謝謝。作為另一個後續行動，您談到了其中一些 IT 專案。以前的管理團隊正在從事 IT 的許多工作。我想ERP，你心目中那些專案什麼時候完成？

And what do you think the cost are associated with those

您認為與這些相關的成本是多少

in terms of when we expect those to complete the we've got kind of three major projects that are going on on the IT front including the P. two P. system, the project management system and the and deal conversion for the concrete business via the first two of those are on a earlier time line expect those to be operational by midyear fully and then the GL conversion that is later in the year. So that's in the second half work. We anticipate that we will complete all three of those projects in the course of the year.

就我們預計何時完成而言，我們在 IT 方面正在進行三個主要項目，包括 P.2P. 系統、項目管理系統以及具體業務的交易轉換其中前兩個項目的時間表較早，預計將在年中全面投入運營，然後在今年晚些時候進行總帳轉換。這就是下半年的工作。我們預計將在今年完成所有這三個項目。

And in terms of the spending to do that, basically at the level that you see in our last several quarters, it should be continuing at that level across three to four quarters.

就實現這一目標的支出而言，基本上處於過去幾個季度的水平，並且應該在三到四個季度內繼續保持該水平。

Okay.

好的。

Thank you.

謝謝。

Thanks.

謝謝。

And ladies and gentlemen, at this time we will conclude our question-and-answer session. I'd like to turn the floor back over to Travis Boone for any closing remarks.

女士們、先生們，我們的問答環節到此結束。我想請特拉維斯·布恩 (Travis Boone) 發表結束語。

Thank you, Joe. First, I want to say thank you to our shareholders for your continued support of our of our business. We were continuing to improve our improve our business. And and I also want to thank our employees for their hard work that have gotten us where we are we 2023 was a lot. It was a challenging year for us. We had a lot of a lot of hard work, a lot of initiatives, a lot of a lot of things going on in the business and everybody leaned in and worked hard throughout the year. So definitely appreciate our employees and all their their hard work every day that I will close out and thank you all for participating today.

謝謝你，喬。首先，我要感謝我們的股東對我們業務的持續支持。我們正在繼續改進我們的業務。我還要感謝我們的員工的辛勤工作，他們讓我們取得了今天的成就，2023 年我們取得了巨大的進步。對我們來說，這是充滿挑戰的一年。我們做了很多艱苦的工作，採取了很多舉措，業務上發生了很多事情，每個人都在這一年裡努力工作。因此，我非常感謝我們的員工以及他們每天的辛勤工作，最後我要感謝大家今天的參與。

Ladies and gentlemen, with that, we'll conclude today's conference call and presentation. We thank you for attending. You may now disconnect your lines.

女士們先生們，我們今天的電話會議和演示就到此結束。我們感謝您的出席。現在您可以斷開線路。