Patterson Companies Inc (PDCO) 2025 Q2 法說會逐字稿

Thank you for standing by, and welcome to the Patterson Companies' second-quarter fiscal 2025 earnings conference call.

感謝您的耐心等待，歡迎參加 Patterson Companies 的 2025 財年第二季財報電話會議。

(Operator Instructions).

（操作員說明）。

I'd now like to turn the call over to John Wright, Vice President of Investor Relations.

我現在想將電話轉給投資者關係副總裁約翰·賴特 (John Wright)。

You may begin.

你可以開始了。

Thank you, operator.

謝謝你，接線生。

Good morning, everyone, and thank you for participating in Patterson Companies' fiscal 2025 second-quarter conference call.

大家早安，感謝您參加 Patterson Companies 的 2025 財年第二季電話會議。

Joining me today are Patterson President and Chief Executive Officer, Don Zurbay; and Patterson Chief Financial Officer, Kevin Barry.

今天與我一起出席的還有 Patterson 總裁兼執行長 Don Zurbay；和帕特森首席財務官凱文·巴里。

After a review of our financial results and outlook by management, we will open the call to your questions.

在管理層審查我們的財務表現和前景後，我們將召開電話會議回答您的問題。

Before we begin, let me remind you that certain comments made during this conference call are forward-looking in nature and subject to certain risks and uncertainties.

在開始之前，請允許我提醒您，本次電話會議中發表的某些評論本質上具有前瞻性，並存在一定的風險和不確定性。

These factors, which could cause actual results to materially differ from those indicated in such forward-looking statements, are discussed in detail in our Form 10-K and our other filings with the Securities and Exchange Commission.

這些因素可能導致實際結果與此類前瞻性陳述中所示的結果有重大差異，我們在 10-K 表格和向美國證券交易委員會提交的其他文件中詳細討論了這些因素。

We encourage you to review this material.

我們鼓勵您查看此資料。

In addition, comments about the markets we serve, including growth rates and market shares, are based upon the company's internal analysis and estimates.

此外，對我們所服務的市場的評論，包括成長率和市場份額，都是基於公司的內部分析和估計。

The content of this conference call contains time-sensitive information that is accurate only as of the date of the live broadcast, December 5, 2024.

本次電話會議內容包含時效性訊息，僅截至直播日期（2024 年 12 月 5 日）準確。

Patterson undertakes no obligation to revise or update any forward-looking statements to reflect events or circumstances after the date of this call.

帕特森不承擔修改或更新任何前瞻性陳述以反映本次電話會議之後發生的事件或情況的義務。

Also, a financial slide presentation can be found in the Investor Relations section of our website at pattersoncompanies.com.

此外，您也可以在我們網站 pattersoncompanies.com 的投資者關係部分找到財務幻燈片簡報。

Please note that in this morning's conference call, we will reference our adjusted results for the second quarter of fiscal 2025.

請注意，在今天上午的電話會議中，我們將參考 2025 財年第二季的調整後業績。

The reconciliation tables in our press release are provided to adjust various reported GAAP measures for the impact of deal amortization, integration and business restructuring expenses, and interest rate swap, and inventory prepayment write-off and a gain on the sale of an investment, along with any related tax effects of these items.

我們新聞稿中的調節表用於調整各種報告的 GAAP 指標，以了解交易攤銷、整合和業務重組費用、利率掉期、庫存預付款沖銷以及投資銷售收益的影響，以及這些項目的任何相關稅收影響。

We will also discuss free cash flow as defined in our earnings release, which is a non-GAAP measure, and use the term internal sales to represent net sales adjusted to exclude the impact of foreign currency, contributions from recent acquisitions, and the net impact of an interest rate swap.

我們還將討論收益發布中定義的自由現金流（這是一種非公認會計準則衡量標準），並使用內部銷售額一詞來表示調整後的淨銷售額，以排除外幣的影響、近期收購的貢獻以及淨影響的利率掉期。

These non-GAAP measures are not intended to be a substitute for our GAAP results.

這些非公認會計準則衡量標準無意取代我們的公認會計準則結果。

This call is being recorded and will be available for a replay starting today at 10:00 AM Central Time for a period of one week.

此通話正在錄音，並可在中部時間今天上午 10 點重播，為期一周。

Now I'd like to hand the call over to Don Zurbay.

現在我想把電話轉給唐·祖爾貝 (Don Zurbay)。

Thanks, John, and welcome, everyone, to Patterson's fiscal 2025 second-quarter conference call.

謝謝 John，歡迎大家參加 Patterson 的 2025 財年第二季電話會議。

Before we discuss our quarter, I want to acknowledge that at our press release this morning, Patterson announced that we are evaluating potential strategic alternatives to maximize shareholder value.

在我們討論我們的季度之前，我想承認，在今天早上的新聞稿中，帕特森宣布我們正在評估潛在的戰略替代方案，以最大限度地提高股東價值。

Such alternatives may include, but are not limited to, a sale, merger, strategic business combination or other transactions.

此類替代方案可能包括但不限於出售、合併、策略性業務合併或其他交易。

We cannot assure that such evaluation will result in a transaction or than any transaction, if pursued, will be successfully completed.

我們不能保證此類評估將導致交易，或任何交易（如果進行）將成功完成。

As you can understand, Patterson does not intend to disclose further developments or answer any questions unless and until it is determined that further disclosure is appropriate.

如您所知，帕特森無意披露進一步的進展或回答任何問題，除非確定進一步披露是適當的。

Now let's turn our focus to Patterson's second quarter results.

現在讓我們把注意力轉向帕特森第二季的業績。

Patterson delivered mixed fixed fiscal second quarter results within a challenging end market environment.

在充滿挑戰的終端市場環境下，帕特森第二季的固定業績好壞參半。

Our fiscal second quarter internal sales increased approximately 1% on a year-over-year basis, driven by strong performance in our animal health segment, including increased sales in our production animal business and value-added services categories.

在動物保健業務強勁表現的推動下，我們第二財季的內部銷售額年增約 1%，其中包括生產性動物業務和增值服務類別的銷售額成長。

This growth was partially offset by a continued slowdown in dental equipment spending and an ongoing impact from the Change Healthcare cybersecurity attack that occurred during Patterson's fiscal 2024 fourth quarter.

這一增長被牙科設備支出持續放緩以及 Patterson 2024 財年第四季度發生的 Change Healthcare 網路安全攻擊的持續影響所部分抵消。

As we previewed on our last quarter call, to manage through the challenging macroeconomic environment, we took dedicated cost management actions during the quarter to preserve our ability to continue making strategic investments to position Patterson for sustainable long-term growth.

正如我們在上一季電話會議中預覽的那樣，為了應對充滿挑戰的宏觀經濟環境，我們在本季度採取了專門的成本管理行動，以保持我們繼續進行戰略投資的能力，以使帕特森實現可持續的長期成長。

During the quarter, we rightsized our team with a focus on reducing our corporate headcount, while protecting nearly all customer-facing people and activities.

在本季度，我們對團隊進行了精簡，重點是減少公司員工人數，同時保護幾乎所有面向客戶的人員和活動。

We expect this realignment of our organization will generate annual cost savings of approximately $16 million.

我們預計，此次組織重組每年將節省約 1,600 萬美元的成本。

While we continue to maintain cost discipline across the organization, we made strategic investments in line with our long-term strategy.

在我們繼續維持整個組織的成本紀律的同時，我們根據我們的長期策略進行了策略性投資。

We announced two separate acquisition agreements for our animal health business.

我們宣布了兩項針對動物保健業務的單獨收購協議。

Infusion Concepts, a market leader in the design and supply of infusion, drainage and critical care products in the UK; and Mountain Vet Supply, a regional distributor with a retail store presence serving customers throughout Colorado, Nebraska, Wyoming, and Montana.

Infusion Concepts，英國輸液、引流和重症監護產品設計和供應的市場領導者； Mountain Vet Supply 是一家區域經銷商，擁有零售店，為科羅拉多州、內布拉斯加州、懷俄明州和蒙大拿州的客戶提供服務。

These transactions strengthen Patterson's position in the companion and production animal markets, respectively, and expand our portfolio with high-quality products, services and channel capabilities for animal health customers.

這些交易分別加強了 Patterson 在伴侶動物和生產動物市場的地位，並透過為動物保健客戶提供高品質的產品、服務和通路能力擴大了我們的產品組合。

We also continue to invest in our software and value-added services offerings, a very important area of long-term growth opportunity.

我們也繼續投資我們的軟體和增值服務產品，這是長期成長機會的一個非常重要的領域。

In the second quarter, we invested in new features and capabilities within Fuse, Eaglesoft, and Dolphin to help dental practices operate more efficiently in a constrained labor market by delivering automated workflows, enhanced revenue cycle management and improved care diagnosis and patient presentation.

第二季度，我們投資了 Fuse、Eaglesoft 和 Dolphin 的新功能和功能，透過提供自動化工作流程、增強收入週期管理以及改善護理診斷和患者就診，幫助牙科診所在有限的勞動力市場中更有效率地運作。

Ultimately, for the second quarter of fiscal 2025, we delivered adjusted EPS of $0.47.

最終，2025 財年第二季的調整後每股收益為 0.47 美元。

Turning to our outlook.

轉向我們的展望。

We revised our fiscal 2025 guidance to reflect adjusted expectations across our end markets for the remainder of the fiscal year, in particular, expected persistent pressures across the dental industry.

我們修訂了 2025 財年指引，以反映本財年剩餘時間內終端市場的調整後預期，特別是牙科行業預期的持續壓力。

Our revised outlook anticipates continued stable dental patient traffic, but muted equipment spending.

我們修訂後的前景預計牙科患者流量將持續穩定，但設備支出將減少。

We remain confident in the underlying fundamentals in both the dental and animal health end markets and our ability to grow market share.

我們對牙科和動物保健終端市場的基本面以及我們擴大市場份額的能力仍然充滿信心。

Furthermore, this guidance revision does not change our ongoing focus to invest in strategic growth opportunities that strengthen our business for the long term.

此外，本次指引修訂不會改變我們對投資策略成長機會以長期增強我們業務的持續關注。

Looking forward, we remain focused on supporting our customers and executing against our proven strategy, which, as a reminder, is designed to achieve four core strategic objectives: first, drive revenue growth above the current end market growth rates; second, build upon the progress we've made to enhance our margin performance; third, evolve our products, channels and services to best serve the customers in our end markets; and fourth, improve efficiency and optimization.

展望未來，我們仍然專注於支持客戶並執行我們行之有效的策略，提醒一下，該策略旨在實現四個核心策略目標：第一，推動收入成長高於當前終端市場成長率；其次，在我們已經取得的進展的基礎上，提高我們的利潤表現；第三，發展我們的產品、通路和服務，以最好地服務終端市場的客戶；第四，提高效率和優化。

Now I'll provide more detail on the financial performance in each of our two business segments.

現在我將提供有關我們兩個業務部門的財務業績的更多詳細資訊。

Let's start with dental.

我們先從牙科開始吧。

Our fiscal 2025 second quarter results in dental were varied across categories and reflected tighter market conditions than we had anticipated for this period.

我們的 2025 財年第二季牙科業績因類別而異，反映出市場狀況比我們同期預期更為緊張。

Internal sales declined approximately 2%, with positive growth in consumables more than offset by a decline in equipment and value-added services sales.

內部銷售額下降約 2%，消耗品的正成長被設備和加值服務銷售的下降所抵銷。

We delivered approximately 1% year-over-year growth in dental consumables, a modest rebound from a quarter ago and continue to believe we are outperforming the market and gaining share in this category.

我們的牙科耗材年增約 1%，較上季略有反彈，我們仍然相信我們的表現優於市場並擴大了該類別的份額。

Notably, there was no material impact from deflationary pricing on certain products in our infection control product portfolio.

值得注意的是，通貨緊縮定價對我們感染控制產品組合中的某些產品沒有重大影響。

As we previously stated, we expected the year-over-year impact of that phenomenon would be negligible after Q1 of fiscal 2025.

正如我們之前所說，我們預計這種現象的同比影響在 2025 財年第一季之後可以忽略不計。

Turning to dental equipment, internal sales decreased about 8% year over year.

牙科設備方面，內部銷售額較去年同期下降約8%。

We faced continued varied headwinds across our equipment categories.

我們的設備類別持續面臨各種阻力。

In core equipment, internal sales were essentially flat year over year.

在核心設備方面，內部銷售額比去年同期基本持平。

On the digital side, we saw declines in digital equipment and CAD/CAM categories, even though CAD/CAM sales picked up in the last month of our fiscal second quarter.

在數字方面，儘管 CAD/CAM 銷售額在第二財季最後一個月有所回升，但數位設備和 CAD/CAM 類別仍出現下降。

These results underscore the inherently lumpy nature of the dental equipment business and the continued overall market pressures on dental equipment spending.

這些結果凸顯了牙科設備業務固有的不穩定性質以及牙科設備支出持續的整體市場壓力。

And finally, internal sales in our dental value-added services category declined nearly 3% in the fiscal second quarter compared to the prior year period, primarily due to the ongoing impact of the Change Healthcare cybersecurity attack.

最後，第二財季牙科增值服務類別的內部銷售額與去年同期相比下降了近 3%，這主要是由於 Change Healthcare 網路安全攻擊的持續影響。

As a reminder, this incident created an inability for some customers to process claims for insurance reimbursement and has required our software and value-added services teams to help customers transition to alternative claims processing solutions rather than focus on selling new products and services.

提醒一下，此事件導致一些客戶無法處理保險報銷索賠，並要求我們的軟體和增值服務團隊幫助客戶過渡到替代索賠處理解決方案，而不是專注於銷售新產品和服務。

As expected, the year-over-year impact moderated on a sequential basis, a trend we expect to continue in fiscal Q3 before becoming a comparable benefit in fiscal Q4, as we lap the impact from the prior year.

正如預期的那樣，同比影響在環比基礎上減弱，我們預計這一趨勢將在第三財季繼續下去，然後在第四財季成為可比的收益，因為我們忽略了上一年的影響。

We continue to see software and e-services as a very important area of long-term growth and continue to invest in the space, as I mentioned earlier.

正如我之前提到的，我們仍然將軟體和電子服務視為長期成長的一個非常重要的領域，並繼續投資該領域。

We're also focused on finding ways to deepen the value proposition we provide to our dental customers.

我們也致力於尋找方法來深化我們為牙科客戶提供的價值主張。

One example is our recently announced extension of an important strategic relationship with PDS Health, formerly known as Pacific Dental Services, which allows Patterson to continue as the premier distributor for all merchandise, services, technology, and core equipment across PDS Health's network of more than 1,000 supporting practices nationwide.

一個例子是我們最近宣布延長與 PDS Health（以前稱為 Pacific Dental Services）的重要戰略關係，這使得 Patterson 能夠繼續作為 PDS Health 網路中所有商品、服務、技術和核心設備的首要分銷商。支持實踐。

We've also expanded our portfolio of dental equipment products for customers in both the US and Canada through our new distribution agreement with DCI Edge.

透過與 DCI Edge 簽訂新的分銷協議，我們也為美國和加拿大的客戶擴大了牙科設備產品組合。

These developments underscore our strength as an indispensable partner to large DSO networks, smaller regional group practices and independent practices.

這些發展凸顯了我們作為大型 DSO 網路、小型區域集團實踐和獨立實踐不可或缺的合作夥伴的實力。

During the quarter, we attended marketing events with our manufacturing partners, where we engaged a balanced group of current users and new prospects across all technology categories and discussed ways to improve their digital workflow and continue modernizing their dental practices.

在本季度，我們與製造合作夥伴一起參加了行銷活動，在活動中，我們與所有技術類別的現有用戶和新潛在客戶進行了平衡的接觸，並討論了改進他們的數位工作流程和繼續實現牙科實踐現代化的方法。

We met our expectation for sales execution and order realization during the second quarter.

我們在第二季的銷售執行和訂單實現方面達到了預期。

Our presence at these types of events is an extension of what we do all year long in terms of engaging with customers to help them understand how equipment and technology can enhance the productivity of their practices, reinforcing Patterson's position as the partner of choice to finance, train, support, and service their equipment and technology purchases.

我們參與這些類型的活動是我們全年與客戶互動的延伸，幫助他們了解設備和技術如何提高他們的實踐生產力，鞏固帕特森作為首選融資合作夥伴的地位，培訓、支持和服務他們的設備和技術採購。

Before we move on, I want to highlight the recent appointment of Kristin Dietzler as the new President of our dental segment.

在我們繼續之前，我想強調最近任命 Kristin Dietzler 為我們牙科部門的新總裁。

Kristin has a track record of success in achieving strong sales growth and introducing new products and brings a fresh perspective from various leadership roles and adjacent healthcare companies.

克里斯汀在實現強勁的銷售成長和推出新產品方面擁有成功的記錄，並從各種領導角色和鄰近的醫療保健公司帶來了新鮮的視角。

We are excited to have her on board and look forward to working with her to grow and evolve our dental business.

我們很高興她加入，並期待與她合作發展和發展我們的牙科業務。

This more challenging period for the dental business was partially offset with solid performance in Patterson's animal health segment, where we offer a similarly comprehensive portfolio of products and services to our customers in the companion and production animal end markets.

牙科業務面臨的這一更具挑戰性的時期被帕特森動物保健部門的穩健表現所部分抵消，我們在該部門為伴侶動物和生產動物終端市場的客戶提供類似全面的產品和服務組合。

Internal sales for the fiscal second quarter increased approximately 2% year over year, driven by mid-single-digit growth in our production animal business.

在我們的生產動物業務實現中個位數成長的推動下，第二財季的內部銷售額年增約 2%。

During the second quarter, we also continued to focus on driving greater efficiencies throughout our P&L to deliver improved profitability.

在第二季度，我們也持續致力於提高整個損益表的效率，以提高獲利能力。

In our companion animal business, year-over-year internal sales for the second quarter of fiscal 2025 declined by low single digits, but achieved sequential improvement over the prior quarter.

在我們的伴侶動物業務中，2025 財年第二季的內部銷售額同比下降了低個位數，但較上一季實現了環比改善。

Overall performance in the segment continues to be challenged by moderation in veterinary clinic traffic and by our continued discipline to focus on more profitable business in ways that modestly reduced our top line growth while supporting margin expansion.

該領域的整體業績繼續受到獸醫診所流量放緩以及我們繼續專注於利潤更高的業務的挑戰，從而在支持利潤擴張的同時適度降低我們的營收成長。

We remain encouraged by the underlying market fundamentals in the companion animal market and continue to focus our value proposition on the veterinarian, who pet owners place the most trust in caring for their pets.

我們仍然對伴侶動物市場的基本面感到鼓舞，並繼續將我們的價值主張集中在獸醫身上，因為寵物主人最信任他們照顧寵物。

As mentioned earlier, we also continue to invest in strategic growth opportunities, leveraging the successful M&A playbook we have proven out across both of our animal health businesses.

如前所述，我們也持續投資於策略性成長機會，利用我們在動物保健業務中已經證明的成功併購策略。

We continue to see momentum in our production animal business, which generated mid-single-digit internal sales growth in the second quarter of fiscal 2025.

我們繼續看到生產動物業務的成長勢頭，該業務在 2025 財年第二季度實現了中個位數的內部銷售成長。

We attribute the strong performance to a combination of share gains from our multichannel approach and value-add offerings across species.

我們將強勁的業績歸功於我們的多通路方法和跨物種增值產品的份額收益。

Our performance was particularly strong within our largest and most established customers, which continued to grow, while effectively managing through some challenging market dynamics.

我們在最大和最成熟的客戶中表現尤其強勁，這些客戶持續成長，同時有效地應對了一些具有挑戰性的市場動態。

Our differentiated value proposition makes Patterson a uniquely attractive partner to such customers in this market.

我們差異化的價值主張使帕特森成為該市場上此類客戶獨特且有吸引力的合作夥伴。

Across the animal health segment, our value-added services category delivered strong double-digit internal sales growth in the fiscal second quarter.

在動物保健領域，我們的增值服務類別在第二財季實現了強勁的兩位數內部銷售成長。

This robust performance demonstrates the strong demand for our comprehensive suite of software solutions and equipment services as well as initiatives to drive operational efficiencies in the process areas of freight and electronic billing.

這種強勁的業績顯示了對我們全面的軟體解決方案和設備服務套件的強烈需求，以及提高貨運和電子計費流程領域營運效率的措施。

Just as in our dental segment, our value-added services are a key differentiator for Patterson, enabling us to support the full life cycle of equipment for our customers.

正如我們的牙科領域一樣，我們的增值服務是 Patterson 的關鍵優勢，使我們能夠為客戶提供設備的整個生命週期支援。

Now I'd like to turn the call over to Kevin Barry to provide more detail on the financial results.

現在我想將電話轉給凱文·巴里 (Kevin Barry)，以提供有關財務業績的更多詳細資訊。

Thank you, Don, and good morning, everyone.

謝謝你，唐，大家早安。

In my prepared remarks this morning, I will cover the financial results for our second quarter of fiscal '25, which ended on October 26, 2024, and then conclude with a few comments on our outlook for the remainder of the fiscal year.

在今天早上準備好的發言中，我將介紹截至 2024 年 10 月 26 日結束的 25 財年第二季度的財務業績，然後對我們對本財年剩餘時間的前景發表一些評論。

So let's begin by covering the results for our second quarter of fiscal '25.

讓我們先介紹一下 25 財年第二季的業績。

Consolidated reported sales for Patterson Companies in our fiscal '25 second quarter were $1.67 billion, an increase of 1.3% over the second quarter of one year ago.

Patterson Companies 在 2025 財年第二季的綜合銷售額為 16.7 億美元，比一年前第二季成長 1.3%。

Internal sales, which are adjusted for the effects of currency translation, the net impact of an interest rate swap, and contributions from recent acquisitions, increased to 0.6% compared to the same period last year.

根據貨幣換算影響、利率互換的淨影響以及近期收購的貢獻進行調整後的內部銷售與去年同期相比增長至 0.6%。

GAAP gross margin for the second quarter of fiscal '25 was 19.6%, a decrease of 90 basis points compared to the prior year period.

2025 財年第二季的 GAAP 毛利率為 19.6%，較去年同期下降 90 個基點。

We also provide the financial metric of adjusted gross margin, which is a non-GAAP financial measure that adjusts gross margin for the impact of the mark-to-market accounting related to our equipment financing portfolio and the associated interest rate swap hedging instruments.

我們還提供調整後毛利率的財務指標，這是一種非公認會計原則財務指標，根據與我們的設備融資組合和相關利率掉期對沖工具相關的按市值計價會計的影響來調整毛利率。

The accounting impact of the mark-to-market adjustment affects our total company gross margin, but not the gross margin within our business segments.

以市價調整的會計影響會影響我們公司的總毛利率，但不會影響我們業務部門內的毛利率。

As previously mentioned, the net impact of the interest rate fluctuations between the swap and the equipment financing portfolio has a minimal impact on net income.

如前所述，掉期和設備融資組合之間的利率波動對淨利潤的影響很小。

In the second quarter of fiscal 2025, this adjusted metric also included an impairment charge related to a software asset as part of the restructuring charges in the quarter.

在 2025 財年第二季度，這項調整後的指標還包括與軟體資產相關的減損費用，作為該季度重組費用的一部分。

For the second quarter of fiscal '25, our adjusted gross margin was 20%, a decrease of 60 basis points compared to the year-ago period.

25財年第二季度，我們調整後的毛利率為20%，比去年同期下降了60個基點。

The year-over-year decline in gross margin is primarily due to the revenue and profit shortfall in our dental segment related to the cybersecurity attack on Change Healthcare.

毛利率年減主要是由於與 Change Healthcare 遭受網路安全攻擊相關的牙科業務收入和利潤短缺。

We continue to make progress migrating dental customers to a new claims processing platform, move past the disruption that impacted the overall operations of our customers, and in some cases, their flow of business with Patterson.

我們在將牙科客戶遷移到新的索賠處理平台方面繼續取得進展，克服了影響客戶整體營運的中斷，在某些情況下還影響了他們與 Patterson 的業務流程。

Our teams are working diligently to assist our customers with their practice operations, and we are focused on ensuring that these customers return to their previous ordering levels with us and to replace a high percentage of this revenue stream for Patterson.

我們的團隊正在努力協助客戶進行實踐操作，我們致力於確保這些客戶恢復到先前的訂購水平，並取代帕特森的大部分收入來源。

Our GAAP operating expenses as a percentage of net sales for the second quarter of fiscal 2025 were 17.3%, an increase of 20 basis points compared to the prior year period.

2025 財年第二季我們的 GAAP 營運費用佔淨銷售額的百分比為 17.3%，比去年同期增加 20 個基點。

Our adjusted operating expenses as a percentage of net sales adjusts our operating expenses for the impact of deal amortization, business restructuring expenses, and a prepaid inventory write-off in the quarter.

我們調整後的營運費用佔淨銷售額的百分比根據本季交易攤銷、業務重組費用和預付庫存沖銷的影響調整了我們的營運費用。

Adjusted operating expenses as a percentage of net sales for the second quarter of fiscal '25 were 16.4% and favorable by 10 basis points compared to the second quarter of fiscal '24.

25 財年第二季調整後的營運費用佔淨銷售額的百分比為 16.4%，與 24 財年第二季相比提高了 10 個基點。

As Don mentioned, during the quarter, we executed targeted cost actions to align our expense structure more closely to the continued challenges we are experiencing in the market, while also preserving our ability to invest where appropriate for sustainable long-term growth.

正如唐所提到的，在本季度，我們執行了有針對性的成本行動，以使我們的費用結構更緊密地適應我們在市場上遇到的持續挑戰，同時也保持了我們適當投資的能力，以實現可持續的長期成長。

In the second quarter of fiscal '25, our consolidated adjusted operating margin was 3.6%, a decrease of 60 basis points compared to the second quarter of last year.

25財年第二季度，我們的綜合調整後營業利潤率為3.6%，比去年第二季下降了60個基點。

The year-over-year decline in consolidated adjusted operating margin in the second quarter is primarily related to the sales decline in higher-margin categories related to the Change Healthcare issue.

第二季綜合調整後營業利潤率年減主要與 Change Healthcare 議題相關的高利潤類別銷售下降有關。

Our adjusted tax rate for the second quarter of fiscal '25 was 24.7%, a decrease of 40 basis points compared to the prior year period.

2025 財年第二季的調整後稅率為 24.7%，較上年同期下降 40 個基點。

Reported net income attributable to Patterson Companies, Inc., for the second quarter of fiscal '25 was $26.8 million or $0.30 per diluted share.

2025 財年第二季歸屬於 Patterson Companies, Inc. 的報告淨利為 2,680 萬美元，或攤薄後每股收益 0.30 美元。

This compares to reported net income in the second quarter of last year of $40 million or $0.42 per diluted share.

相比之下，去年第二季報告的淨利潤為 4,000 萬美元，即稀釋後每股收益 0.42 美元。

Adjusted net income attributable to Patterson Companies, Inc., in the second quarter of fiscal '25 was $41.8 million or $0.47 per diluted share.

2025 財年第二季調整後歸屬於 Patterson Companies, Inc. 的淨利為 4,180 萬美元，或攤薄後每股收益 0.47 美元。

This compares to $47.3 million or $0.50 per diluted share in the second quarter of fiscal '24.

相比之下，2024 財年第二季為 4,730 萬美元，即稀釋後每股 0.50 美元。

Year-over-year decrease in reported and adjusted net income attributable to Patterson Companies, Inc., in the second quarter of fiscal 2025 is related to lower sales of dental equipment and the continued negative impact of the cybersecurity attack on Change Healthcare within the value-added services category of the dental segment.

2025 財年第二季 Patterson Companies, Inc. 報告和調整後淨利潤同比下降，與牙科設備銷售額下降以及網絡安全攻擊對 Change Healthcare 造成的持續負面影響有關- 牙科領域的附加服務類別。

Now let's turn to our business segments, starting with our dental business.

現在讓我們轉向我們的業務部門，從牙科業務開始。

In the second quarter of fiscal '25, internal sales for our dental business decreased 2.3% compared to the second quarter of fiscal '24.

在 25 財年第二季度，我們牙科業務的內部銷售額與 24 財年第二季相比下降了 2.3%。

Internal sales of dental consumables in the fiscal second quarter increased 0.7% compared to one year ago.

第二財季牙科耗材內部銷售額較上年同期成長0.7%。

And as Don mentioned, dental consumables were no longer impacted by price deflation of certain infection control products.

正如唐所提到的，牙科耗材不再受到某些感染控制產品價格通貨緊縮的影響。

In the second quarter of fiscal '25, internal sales of dental equipment decreased by 7.5% compared to one year ago, reflecting the ongoing market pressures that have continued to negatively impact equipment sales.

25財年第二季度，牙科設備的內部銷售額與一年前相比下降了7.5%，反映出持續的市場壓力持續對設備銷售產生負面影響。

Sales in the equipment category can vary from quarter to quarter, and these dynamics apply to each of the specific product categories as well.

設備類別的銷售額每季都會有所不同，這些動態也適用於每個特定的產品類別。

This quarter, the core equipment category posted positive year-over-year sales growth, offset by a decline in digital x-ray and CAD/CAM sales compared to the prior year period.

本季度，核心設備類別的銷售額較去年同期出現正成長，但被數位 X 光和 CAD/CAM 銷售額較去年同期下降所抵銷。

Internal sales of value-added services in the second quarter of fiscal '25 decreased 2.7% over the prior year period, primarily due to the negative impact of the cybersecurity attack on Change Healthcare in our software business.

25財年第二季加值服務內部銷售額年減2.7%，主要是由於我們軟體業務中的Change Healthcare受到網路安全攻擊的負面影響。

Adjusted operating margin in dental was 8.3% in the second quarter of fiscal '25, which represents a 115 basis point decrease over the prior year period.

2025 財年第二季牙科業務調整後營業利益率為 8.3%，較上年同期下降 115 個基點。

This year-over-year operating margin shortfall again reflects the continued impact of the cyberattack on Change Healthcare.

營業利益率年減再次反映出網路攻擊對 Change Healthcare 的持續影響。

Now let's move to our animal health segment.

現在讓我們轉向動物健康部分。

In the second quarter of fiscal '25, internal sales for our animal health business increased 1.9% compared to the second quarter of fiscal '24.

在 25 財年第二季度，我們的動物保健業務的內部銷售額比 24 財年第二季度增長了 1.9%。

Internal sales for our production animal business in the fiscal second quarter increased by mid-single digits in the quarter compared to the prior year period.

我們第二財季生產動物業務的內部銷售額與去年同期相比成長了中個位數。

Our production animal team continues to execute well and outperform the market by a wide margin across all species with our multichannel approach and deep relationship with production animal customers.

憑藉我們的多通路方法以及與生產動物客戶的深厚關係，我們的生產動物團隊在所有物種中繼續表現出色，並大幅超越市場。

Internal sales for our companion animal business in the second quarter of fiscal '25 decreased by low single digits compared to the prior year period.

與去年同期相比，我們的伴侶動物業務在 2025 財年第二季的內部銷售額下降了較低的個位數。

Our performance was impacted by a low single-digit decline in vet visits on a year-over-year basis as well as our focus on margin-accretive business in this segment.

我們的業績受到獸醫就診量年比低個位數下降以及我們對該細分市場利潤成長業務的關注的影響。

The adjusted operating margin in our animal health segment was 3.9% in the fiscal '25 second quarter, an increase of 30 basis points from the prior year period.

2025 財年第二季度，我們的動物保健業務調整後營業利潤率為 3.9%，比去年同期成長 30 個基點。

Our animal health team continues to drive expense leverage and other process efficiencies to deliver an adjusted operating margin improvement on a year-over-year basis.

我們的動物健康團隊持續推動費用槓桿和其他流程效率，以實現調整後的營業利潤率同比改善。

I'm confident in the animal health team and their ability to execute on innovative new products coming to market and continuing to adapt their business model to maintain and improve profitability.

我對動物保健團隊及其執行即將上市的創新新產品的能力充滿信心，並繼續調整其業務模式以維持和提高盈利能力。

Now let me cover cash flow and balance sheet items.

現在讓我介紹一下現金流量和資產負債表項目。

During the first six months of fiscal '25, our free cash flow improved by $41.5 million compared to the same period one year ago.

在 25 財年的前六個月，我們的自由現金流與一年前同期相比增加了 4,150 萬美元。

This is primarily due to disciplined inventory management by the business units and a decrease in CapEx spending in the first six months of fiscal '25 compared to the year ago period, as we lap the investments we made in the first six months of fiscal '24 to increase our distribution footprint in Canada and the UK.

這主要是由於業務部門嚴格的庫存管理以及 25 財年前 6 個月的資本支出與去年同期相比有所減少，因為我們已經完成了 24 財年前 6 個月的投資擴大我們在加拿大和英國的分銷足跡。

Now turning to capital allocation.

現在轉向資本配置。

We continue to execute on our strategy to return cash to shareholders.

我們繼續執行向股東返還現金的策略。

In the second quarter of fiscal '25, we declared a quarterly cash dividend of $0.26 per diluted share, which was then paid at the beginning of the third quarter of fiscal '25.

在 25 財年第二季度，我們宣布季度現金股利為稀釋後每股 0.26 美元，然後在 25 財年第三季初支付。

On a year-to-date basis, we have returned a total of $96.2 million to shareholders through dividends and share repurchases.

今年迄今，我們已透過股利和股票回購向股東返還總計 9,620 萬美元。

Let me conclude with our outlook for the remainder of fiscal '25.

最後讓我對 25 財年剩餘時間的展望進行總結。

Today, we are revising our fiscal '25 GAAP earnings guidance range to $1.83 to $1.93 and our adjusted earnings guidance range to $2.25 to $2.35 per diluted share.

今天，我們將 25 財年 GAAP 獲利指引範圍修訂為每股攤薄後每股 1.83 美元至 1.93 美元，調整後獲利指引範圍為 2.25 美元至 2.35 美元。

This revised guidance range reflects the continued macroeconomic pressure on our business, balanced with our cost-saving measures and continued disciplined spending on investments for the long term.

這項修訂後的指導範圍反映了我們業務面臨的持續宏觀經濟壓力，與我們的成本節約措施和長期嚴格的投資支出相平衡。

And now I will turn the call back over to Don for some additional comments.

現在我將把電話轉回給唐，徵求一些補充意見。

Thanks, Kevin.

謝謝，凱文。

Despite the continued end market challenges across our business in the fiscal second quarter, our team has maintained a laser focus on executing on our proven strategy, rightsizing our operations and strategically investing to position Patterson for sustainable long-term growth.

儘管第二財季我們的業務面臨持續的終端市場挑戰，但我們的團隊始終專注於執行我們行之有效的策略，調整我們的業務規模並進行策略性投資，以使帕特森實現可持續的長期增長。

I want to thank the entire Patterson team for their continued hard work and commitment to serving our customers.

我要感謝整個帕特森團隊的持續辛勤工作和對服務客戶的承諾。

That concludes our prepared remarks.

我們準備好的演講到此結束。

Kevin and I will be glad to take questions.

凱文和我很樂意回答問題。

Operator, please open the line.

接線員，請開通線路。

(Operator Instructions) Michael Cherny, Leerink Partners.

（操作員說明）Michael Cherny，Leerink Partners。

Good morning and thank you for taking the question.

早上好，感謝您提出問題。

Maybe if we can just start with the guidance.

也許我們可以從指導開始。

As you think about the reduction, how much of it do you think is stuff that's outside of your control, I would say, both market driven as well as if there is any specific impact in terms of the change in guidance from the change outage versus areas that you can control and offset.

當您考慮減少時，您認為其中有多少是您無法控制的事情，我想說，這既是市場驅動的，也是由變化中斷與變化帶來的指導變化是否有任何具體影響。的區域。

I guess I want to see if we can understand the kind of gross reduction versus some of the OpEx-driven offsets and if there are any other pieces that are pointing you in the positive direction off of what I would say is not necessarily surprising change in view given the market dynamics.

我想我想看看我們是否能夠理解與某些營運支出驅動的抵銷相比的總減少量，以及是否有任何其他部分可以為您指明積極的方向，而不是我所說的不一定是令人驚訝的變化考慮到市場動態。

Yeah.

是的。

Maybe I'll -- thanks, Michael.

也許我會——謝謝，麥可。

Maybe I'll start and then I can have Kevin maybe give a little more detail.

也許我會開始，然後我可以讓凱文提供更多細節。

I mean, I guess the big items I'd point to are really, obviously, the challenging environment in a number of our segments that I would say it is an element that's out of our control.

我的意思是，我想我所指出的大項目確實非常明顯，我們許多細分市場中充滿挑戰的環境，我想說這是我們無法控制的因素。

I think the thing that -- the primary thing that we're doing to make sure that we can manage to that is the cost reductions that we put in place.

我認為，為了確保我們能夠做到這一點，我們正在做的首要事情就是降低成本。

And when we look at that, we're trying to balance, making sure that we can fund our strategic objectives while maintaining our financial performance.

當我們考慮這一點時，我們正在努力保持平衡，確保我們能夠為我們的策略目標提供資金，同時保持我們的財務表現。

And so there's a balance there.

所以那裡有一個平衡。

But I think those are the two moving parts.

但我認為這是兩個移動部分。

One, out of our control, the market, and that's been a persistent headwind here in some parts of our business for several quarters, as you know.

第一，市場是我們無法控制的，正如您所知，這在幾個季度以來一直是我們業務某些部分的持續阻力。

But the actions we're taking are the things that I would point to that are in our control.

但我要指出的是，我們正在採取的行動是我們可以控制的。

Maybe I'll see if Kevin has any additional detail he'd like to add.

也許我會看看凱文是否有任何他想補充的額外細節。

Right, as reports our forecast for the back half year, like Don said, I think we've appropriately adjusted our sales outlook for the rest of the year, particularly in the dental segment.

是的，正如我們對下半年的預測所報告的那樣，正如唐所說，我認為我們已經適當調整了今年剩餘時間的銷售前景，特別是在牙科領域。

As we mentioned in our comments, our animal health business, particularly our production animal business, continues to performed really well.

正如我們在評論中提到的，我們的動物保健業務，特別是我們的生產動物業務，繼續表現良好。

So we have that helping us as well as on the dental software business, we continue to see improvements as we lap over the Change Healthcare issue, which will fully lap here in Q4.

因此，我們以及牙科軟體業務都對我們有幫助，當我們解決「變革醫療保健」問題時，我們繼續看到改進，該問題將在第四季度完全解決。

And then in terms of offsets to that, there are a number of initiatives that are showing really good results in our gross margin and OpEx beyond even the cost reduction action we took here in Q2.

然後就抵銷而言，有許多措施在我們的毛利率和營運支出方面顯示出了非常好的成果，甚至超出了我們在第二季採取的成本削減行動。

We've seen excellent efficiency out of our logistics network, reduction of waste, cost reductions there that are dropping to the bottom line.

我們已經看到我們的物流網路效率極高、浪費減少、成本降低，這些都已經降到了底線。

And the segment teams have also done a really good job as the markets evolved to get really sharp on their pricing, to make sure that, that's dropping through the bottom line as well, that we started seeing good results for that we expect here in the back half of the year.

隨著市場的發展，他們的定價變得非常敏銳，細分市場團隊也做得非常好，以確保這也低於底線，我們開始看到我們期望的良好結果時間回到了半年。

So I'd say those are the main sort of operating assumption adjustments that we built into this guide, Michael.

所以我想說，這些是我們在本指南中內建的主要營運假設調整類型，Michael。

Got it.

知道了。

That's certainly helpful.

這當然有幫助。

And as you think about the path forward, and I appreciate the dynamics to retrench, how are you thinking about that next leg of operational improvement excellence?

當您思考前進的道路時，我很欣賞緊縮的動力，您如何考慮下一步的卓越營運改進？

As you sit here, I'm obviously not trying to get into '26 guidance, but as you get to the end of the year, do you think the organization, based on your current demand levels, will be at the place you want to be to generate a steady stream, more profitable growth environment into '26?

當您坐在這裡時，我顯然不想進入 '26 指南，但當您到年底時，您認為根據您當前的需求水平，該組織將達到您想要的水平嗎？不斷、利潤更高的成長環境嗎？

And what else needs to happen for that to potentially change?

還需要發生什麼才能改變這種情況？

Go ahead, Kevin.

繼續吧，凱文。

Yeah, I'd say, our model obviously benefits from top line leverage.

是的，我想說，我們的模型顯然受益於營收槓桿。

So it's kind of make sure we're driving that.

所以這可以確保我們正在推動這一點。

But I think, again, one positive we're seeing in the business and a key part of our strategy is driving the right mix of business to get that operating margin expansion.

但我認為，我們在業務中看到的一個積極因素和我們策略的關鍵部分是推動正確的業務組合，以實現營業利潤率的擴張。

And that's where, again, I go back to some of the new business lines that we're focused on, continuing our investment in our software portfolio that drives really strong margin enhancement, as well as some of those initiatives that the animal health team is driving to get their business model -- continue to strengthen their business model.

這就是我再次回到我們關注的一些新業務線的地方，繼續我們對軟體產品組合的投資，這些投資推動了真正強勁的利潤增長，以及動物健康團隊正在採取的一些舉措推動獲得他們的商業模式——繼續強化他們的商業模式。

Those are the things that we still see a fair amount of runway on coming out of this year.

這些都是我們今年仍將大量推出的產品。

Yeah.

是的。

And I think -- I'd add to that.

我想——我想補充一點。

I mean we're looking for the macroeconomic conditions, particularly the dental business to slowly improve and that's going to help that.

我的意思是，我們正在尋找宏觀經濟狀況，特別是牙科業務的緩慢改善，這將有所幫助。

And then I just would point out, and I think it's important maybe to -- something that gets lost sometimes in our performance, but our animal health segment has had margin expansion in six of the last eight quarters.

然後我想指出，我認為這可能很重要——我們的業績有時會失去一些東西，但我們的動物保健部門在過去八個季度中有六個季度實現了利潤率擴張。

And so even in this environment that they're dealing with, they're continuing to execute on a number of initiatives that drive operating improvement and margin improvement.

因此，即使在他們面臨的這種環境下，他們仍在繼續執行許多推動營運改善和利潤率提高的措施。

And we expect that kind of excellent performance by the animal health segment to continue.

我們預計動物保健領域的這種出色表現將持續下去。

Great.

偉大的。

Thank you.

謝謝。

Jeff Johnson, Baird.

傑夫·約翰遜，貝爾德。

Thank you.

謝謝。

Good morning, guys.

早安，夥計們。

Maybe just another question on guidance, if I could.

如果可以的話，也許只是另一個關於指導的問題。

So Kevin, as I look at the back half guidance, it's calling for, I think, about 10% to 15% year-over-year EPS growth.

因此，凱文，當我查看下半年的指導時，我認為每股收益同比增長約 10% 至 15%。

Obviously, you talked about the $16 million in cost takeout, if I give you kind of half a year credit on that.

顯然，你談到了 1600 萬美元的成本支出，如果我給你半年的信用的話。

Still talking about kind of 5% to 10% EPS growth in the back half of this year.

仍在談論今年下半年每股收益成長 5% 至 10%。

And I know those EPS comps get a little easier in the back half of this year versus the first half, but really the easy comps from last year in the second half are almost tied to tough comps in the second half of the year prior, if that makes sense.

我知道今年下半年的 EPS 比較比上半年要容易一些，但實際上去年下半年的簡單比較幾乎與前一年下半年的艱難比較聯繫在一起，如果這是有道理的。

So it just seems to me even 5% to 10%, after giving you credit on the cost savings, still seems like a steep ramp.

因此，在我看來，即使是 5% 到 10%，在考慮了成本節省之後，仍然看起來像是一個陡峭的斜坡。

What is going to change the trajectory from the first half year where EPS has been down year over year to even that 5% to 10% growth on an adjusted basis embedded in current guidance?

什麼會改變每股收益同比下降的上半年軌跡，甚至在當前指導中調整後的基礎上實現 5% 至 10% 的增長？

Thanks.

謝謝。

Yeah.

是的。

Again, I'd point to -- I think we've appropriately forecast, we do see -- we will see a significant benefit in our Q4 compared to last year because of the Change Healthcare disruption.

我再次指出，我認為我們已經做出了適當的預測，我們確實看到，由於變革醫療保健的中斷，與去年相比，我們將在第四季度看到顯著的效益。

That happened in March of last year.

那件事發生在去年三月。

So it was highly impactful to our Q4 of fiscal '24.

因此，這對我們 24 財年第四季產生了很大影響。

Like I said, we're making really good progress in getting that business back up to where it used to be.

就像我說的，我們在使業務恢復到以前的水平方面取得了非常好的進展。

And by Q4, we'll lap that.

到第四季度，我們將完成這一目標。

So that's a year-over-year improvement we'll see, Jeff.

所以，傑夫，我們將看到逐年的進步。

And then the other thing I'd say, we'll see some significant benefit below operating income in the back half of the year.

然後我要說的另一件事是，我們將在今年下半年看到低於營業收入的一些顯著收益。

We've done some really good things on our balance sheet.

我們在資產負債表上做了一些非常好的事情。

So our interest expense is going to be down year over year.

因此，我們的利息支出將逐年下降。

We'll have a lower share counts compared to prior year in the back half of the year, and that's also going to provide some tailwinds for the EPS.

與去年相比，今年下半年我們的股票數量將會減少，這也將為每股盈餘提供一些推動力。

Okay.

好的。

That's helpful.

這很有幫助。

We'll look there.

我們會去那裡看看。

Don, maybe just a question for you on the strategic alternatives, and I know you said you're not going to talk about it, and that's fine.

唐，也許只是問你一個關於戰略選擇的問題，我知道你說過你不會談論它，那很好。

I guess just factually, can you base us in how much overlap is there operationally between your vet and your dental business?

我想事實上，您能否告訴我們您的獸醫和牙科業務之間在營運上有多少重疊？

It's been a while since we've had a Capital Markets Day.

我們已經有一段時間沒有舉辦資本市場日了。

Can you just remind us of your main distribution centers in North America?

您可以提醒我們一下您在北美的主要配送中心嗎？

How many are shared services?

有多少是共享服務？

Are they completely intertwined?

它們完全交織在一起嗎？

How much SKU overlap you might have in those facilities?

您在這些設施中可能有多少 SKU 重疊？

Just anything you can give us factually speaking on how intertwined those two businesses are?

您能否向我們提供任何有關這兩項業務如何相互交織的事實？

Thank you.

謝謝。

Yeah.

是的。

No, thanks, Jeff.

不，謝謝，傑夫。

And probably we would need a much longer presentation to maybe get through all that in specifics.

也許我們需要更長的演示才能詳細了解所有內容。

I would just say it's a -- and trying to be responsive here, but it's really a mixed bag in terms of how much overlap there is.

我只想說這是一個——並試圖在這裡做出回應，但就重疊程度而言，這確實是一個混合體。

I mean there's certainly -- we have, over time, done integration.

我的意思是，隨著時間的推移，我們確實已經完成了整合。

We do have service centers, distribution centers that service both sides of the business.

我們確實有服務中心、配送中心，為業務雙方提供服務。

We do also have a number that are much more specific to each segment.

我們確實還有一個針對每個細分市場的更具體的數字。

And so it's a little bit of a mixed bag.

所以它有點魚龍混雜。

I think the devil -- we'd have to get into more detail probably, but I would just call it there's a bit of each.

我認為天哪——我們可能必須了解更多細節，但我只是稱之為兩者都有一點。

Okay, fair enough.

好吧，很公平。

Thank you.

謝謝。

Kevin Caliendo, UBS.

凱文‧卡里恩多，瑞銀集團。

Thank you for taking my question.

謝謝你回答我的問題。

I know you can't really talk a lot about the strategic alternatives, but more of a big picture question potentially is sort of what, in your mind, prompted you to go to the Board or prompted the Board to do this?

我知道您不能真正談論太多戰略選擇，但更重要的問題可能是，在您看來，是什麼促使您去董事會或促使董事會這樣做？

Is it the macro and sort of Patterson's position in the macro and sort of the operating environment or is it more of the way that the market is valuing the company and the assets of the company currently?

是帕特森在宏觀和經營環境中的宏觀地位，還是市場目前對公司和公司資產的估值方式？

Yes, Kevin, and again, I'm not -- I hope I don't sound like a broken record today on questions here, but we really don't want to get real too far into this topic.

是的，凱文，再說一遍，我不是——我希望我今天在這裡提出的問題聽起來不像是破紀錄的，但我們真的不想在這個話題上走得太遠。

I mean I kind of read the statement.

我的意思是我讀過這份聲明。

I mean I think I would just maybe say at the end of the day, I mean, there's a number of things that always enter into decisions like this.

我的意思是，我想我可能會在一天結束時說，我的意思是，有很多事情總是會影響到這樣的決定。

And for us, the main point is what can we do to maximize shareholder value, and that's what our Board is focused on.

對我們來說，重點是我們能做些什麼來最大化股東價值，這也是我們董事會關注的重點。

Helpful.

有幫助。

Thanks.

謝謝。

And just a follow-up on dental consumables.

這只是牙科耗材的後續行動。

You said, I believe, you're up 1%.

你說，我相信，你漲了 1%。

You said you still think you're expecting to take share.

你說你仍然認為你期待分享。

Does that imply the market is flat?

這是否意味著市場持平？

Is the market -- do you think the market is down?

您認為市場正在下跌嗎？

And can you maybe talk a little bit about pricing in consumables?

能談談消耗品的定價嗎？

Has that been a headwind or a tailwind or not?

這是逆風還是順風？

Anything?

任何事物？

Pricing, is that what you said?

定價，是你說的嗎？

Yeah, on the pricing side, I'm just wondering about the market and sort of what's happening with mix within consumables and pricing?

是的，在定價方面，我只是想知道市場以及消耗品和定價中的混合發生了什麼？

Yeah.

是的。

Well, maybe just -- I think we would view the market in the consumables market as flat to potentially slightly down.

好吧，也許只是——我認為我們會認為消費品市場持平甚至可能略有下降。

And maybe, Kevin, if you -- I'm not sure what you want to say in terms of a breakdown there and some of the data we have.

也許，凱文，如果你——我不確定你想就那裡的細分和我們擁有的一些數據說些什麼。

Yeah.

是的。

I think we say, visits continue to be fairly stable.

我想我們會說，訪問量仍然相當穩定。

I think there's still less spending in the market that we were seeing coming out of the pandemic, but visits and people are still going to the dentist.

我認為，由於疫情的影響，市場上的支出仍然減少，但人們仍然去看牙醫。

From a pricing standpoint, we've been talking for a little while about the impact of deflation on our portfolio, particularly in PPE categories.

從定價的角度來看，我們已經討論了通貨緊縮對我們投資組合的影響一段時間，特別是在個人防護用品類別中。

As of this quarter, that basket of goods that we track for that has essentially stabilized, and so there hasn't been a decrease on it.

截至本季度，我們追蹤的一籃子商品已基本穩定，因此並未減少。

So I'd say that headwind is gone.

所以我想說，逆風已經消失了。

And we're entering into a more sort of, quote-unquote, normal pricing environment, where we'd expect sort of normal price advances from our manufacturers here that should provide a bit of a tailwind in terms of overall sales.

我們正在進入一個更正常的定價環境，我們預計這裡的製造商會出現正常的價格上漲，這應該會為整體銷售帶來一些推動力。

Thank you.

謝謝。

John Block, Stifel.

約翰·布洛克，斯蒂菲爾。

Thanks, guys, and good morning.

謝謝，夥計們，早安。

Don, maybe just a quick one.

唐，也許只是快一點。

That $16 million in annual cost savings that I think that was the first time you quantified it.

我認為這是您第一次量化每年節省的成本 1600 萬美元。

Is that the annual run rate, call it, as early as fiscal 2H '25, the back part of this year?

這就是年度運行率嗎？

Do you get there that quickly?

你這麼快就到了嗎？

And then should we think about that $16 million as a net number?

那麼我們是否應該將這 1600 萬美元視為淨數字？

Or are there sort of some investments around the edges that get plowed back, back in that would result in a different net number?

或者是否有一些邊緣投資被收回，從而導致不同的淨值？

Thanks.

謝謝。

Yeah.

是的。

Well, we did get a bit of a benefit -- some benefit in Q2, but the primary benefit is the back half of the year at that $16 million annualized.

嗯，我們確實得到了一些好處——第二季的一些好處，但主要的好處是今年下半年的年化收益為 1,600 萬美元。

And as I mentioned in the opening, we kind of look at that as helping our expense structure, helping our bottom line as part of it, but also giving us the additional headroom to continue to invest in some very important strategic alternatives that we think have great long-term impact.

正如我在開場白中提到的，我們認為這有助於我們的費用結構，有助於我們的盈利，同時也為我們提供了額外的空間，可以繼續投資於我們認為已經實現的一些非常重要的戰略替代方案。

So it's a balance, but slight benefit in Q2, and then full benefit in the second half of the year.

所以這是一個平衡，但第二季度略有受益，然後下半年全面受益。

Okay.

好的。

Got it.

知道了。

Very helpful.

非常有幫助。

And then just to shift gears, dental equipment, you say sometimes it could be choppy, but it was down for the six straight quarters.

然後只是換檔，牙科設備，你說有時可能會不穩定，但連續六個季度都在下降。

According to our numbers, it was the weakest two-year stack since COVID.

根據我們的數據，這是自新冠疫情以來最弱的兩​​年堆疊。

Can you just give us a little bit more color there?

你能給我們多一點顏色嗎？

Like maybe the market shouldn't be bouncing, but rates are starting to marginally come down.

也許市場不應該反彈，但利率開始小幅下降。

Maybe you can give us more on the environment.

也許您可以為我們提供更多有關環境的資訊。

Arguably, your October should have had the DS World stub.

可以說，你的十月應該有 DS World 存根。

What, in your opinion, can get this market going again other than are we just sort of sitting on our hands until rates come down a more material amount and/or you get some, call it, incremental innovation from your manufacturing partners?

在您看來，除了我們只是袖手旁觀，直到利率大幅下降和/或您從製造合作夥伴那裡得到一些所謂的漸進式創新之外，還有什麼可以讓這個市場再次運轉起來呢？

Thanks.

謝謝。

Yes.

是的。

Well, you hit on the two topics that I would really bring up here.

嗯，你談到了我在這裡真正要提到的兩個話題。

I mean, I think the rates have come down, but I think we're going to need just a bit more rate reduction to have any kind of impact there or significant impact there.

我的意思是，我認為利率已經下降，但我認為我們需要再降低一點利率才能產生任何影響或重大影響。

And then, yeah, I mean, look, innovation is a key thing here.

然後，是的，我的意思是，看，創新是這裡的關鍵。

The macroeconomic challenges are not unique to us.

宏觀經濟挑戰並非我們所獨有。

So they also impact our manufacturing partners and, therefore, some of the innovation budgets, I'm sure.

因此，我確信它們也會影響我們的製造合作夥伴，進而影響一些創新預算。

And so innovation is a key part of it, but I think the rates just have to come down a little more.

因此，創新是其中的關鍵部分，但我認為費率還需要再降低一點。

And then maybe on top of the rates is just a little more positive kind of momentum on the overall macroeconomic environment.

然後，也許除了利率之外，整體宏觀經濟環境也出現了一些更積極的勢頭。

Kevin, I don't know, any additional comments there?

凱文，我不知道，還有什麼補充意見嗎？

Yeah, I agree with all that.

是的，我同意這一切。

I think usually, our dental folks would say that equipment sales -- and we're really good in innovation, so when that comes through, that usually benefits us.

我認為通常情況下，我們的牙科人員會說設備銷售——我們在創新方面非常擅長，所以當這種情況發生時，通常會讓我們受益。

So seeing more innovation in the market helps.

因此，看到市場上有更多創新會有所幫助。

And like Don said, I think practices are looking for a bit more of an economic tailwind either in terms of lower interest rates to expand or more patient spending coming through their practice to make that next big investment in either expanding a facility that helps our core equipment business or upgrading their technology.

正如唐所說，我認為診所正在尋求更多的經濟順風，要么通過降低利率來擴大規模，要么通過他們的診所增加患者支出，以便進行下一筆巨額投資，要么擴大有助於我們核心的設施設備業務或升級其技術。

So I agree with what Don said.

所以我同意Don所說的。

I think those are all the factors we're looking at.

我認為這些都是我們正在考慮的因素。

Got it.

知道了。

Thanks, guys.

謝謝，夥計們。

Erin Wright, Morgan Stanley.

艾琳·賴特，摩根士丹利。

So as you think about some of the ongoing investments that you're making, can you describe those a little bit more than just the cost structure initiatives in light of this review of potential strategic alternatives?

因此，當您考慮正在進行的一些投資時，您能否根據對潛在策略替代方案的審查來描述這些投資，而不僅僅是成本結構舉措？

Does that influence how you're thinking about those efforts?

這會影響您對這些努力的看法嗎？

It sounds like it's not, but does that distract you at all or internal teams in terms of your efforts around the ongoing business initiatives?

聽起來好像並非如此，但這是否會分散您或內部團隊圍繞正在進行的業務計劃所做的努力？

And I assume you can't answer this part, but presumably, Patterson has gone through strategic reviews before in the past, whether it was around medical or otherwise.

我認為你無法回答這一部分，但想必帕特森過去曾進行過策略審查，無論是醫療方面還是其他方面。

But maybe this one is a little bit more proactive.

但也許這個更主動一些。

I guess, how is this time different than what's been contemplated in the past?

我想，這次與過去的設想有何不同？

Thanks.

謝謝。

Yeah.

是的。

Well, I think the main area that we've talked about, I think that's important for us that I might highlight here is just the continued investment in our software and value-added services offerings.

嗯，我認為我們討論的主要領域，我認為這對我們很重要，我在這裡可能會強調的是對我們的軟體和增值服務產品的持續投資。

And so that's an important area of long-term growth opportunity.

因此，這是長期成長機會的一個重要領域。

When we thought about the cost actions and, as I mentioned, a big part of that strategy was to not look into and impact our sales-related, revenue-related activities, and also make sure that we can continue to fund these very important strategic initiatives.

當我們考慮成本行動時，正如我所提到的，該策略的很大一部分是不調查和影響我們與銷售相關、與收入相關的活動，並確保我們能夠繼續為這些非常重要的策略提供資金倡議。

And so that's the focus on that, I think long-term view for us on those things.

我認為這就是我們對這些事情的長期看法。

And so in terms of how that interplays with the strategic alternatives, again, I don't really want to comment.

因此，就其與戰略選擇如何相互作用而言，我真的不想發表評論。

I mean, we're running the business now with a focus on the long-term vision and strategy.

我的意思是，我們現在經營業務的重點是長期願景和策略。

And I think that, that is the thing we're thinking about more than just how it might interplay with anything else we're going to eventually do.

我認為，這就是我們正在考慮的事情，而不僅僅是它如何與我們最終要做的其他事情相互作用。

Okay.

好的。

That's fair.

這很公平。

And then on the animal health side, does guidance reflect any changes in terms of buy-sell relationships versus agency or access to new products?

然後在動物健康方面，指南是否反映了買賣關係與代理商或新產品取得方面的任何變化？

And do you think those manufacturer contract discussions are going well at the moment?

您認為目前製造商合約談判進展順利嗎？

And they're potentially kind of more favorable -- are they potentially more favorable just given some of the increasingly competitive dynamics going on in the market and more innovation coming through?

它們可能更有利——考慮到市場上競爭日益激烈和更多創新的出現，它們是否可能更有利？

Erin, this is Kevin.

艾琳，這是凱文。

I'd say, at this point, we're not anticipating any significant buy/sell changes and the rest of kind of that whole mix of manufacturer distributor discussions are built into our guidance.

我想說，在這一點上，我們預計不會出現任何重大的買賣變化，製造商分銷商討論的其餘部分都已納入我們的指導中。

I'd say our team has really strong relationships.

我想說我們的團隊有著非常牢固的關係。

We're talking to those manufacturers all the time and both a bit back and forth.

我們一直在與這些製造商進行一些來回的對話。

I think, because those teams are executing well in the market, we're having productive conversations with the manufacturers.

我認為，由於這些團隊在市場上表現良好，我們正在與製造商進行富有成效的對話。

So.

所以。

Thank you.

謝謝。

Jason Bednar, Piper Sandler.

傑森·貝德納，派珀·桑德勒。

Don, you've been talking about these software investments for several quarters now, clearly putting a lot of muscle behind this effort.

唐，您幾個季度以來一直在談論這些軟體投資，顯然為這項工作投入了大量精力。

We can see it's a top priority for you all.

我們可以看到這是你們所有人的首要任務。

When do these start to benefit your P&L?

這些什麼時候開始對您的損益有利？

When does the investment provide returns?

投資什麼時候能帶來回報？

Does it show at all in fiscal '26?

它會在 26 財年表現出來嗎？

Just any visibility you can offer there, so we can start to give you credit for all the investments you're making?

您可以在那裡提供任何可見性，以便我們可以開始為您所做的所有投資提供信用？

Yeah.

是的。

Well, we feel like we have good momentum here, Jason.

嗯，我們感覺我們這裡勢頭良好，傑森。

So I think I would say, definitely, you'll see some impact in fiscal '26.

所以我想我會說，你肯定會在 26 財年看到一些影響。

Again, I don't want to get too far into puts and takes yet.

再說一次，我還不想對投入和支出進行過多的討論。

I think that we'll obviously have a better vision of that as we get into the Q3 call and then, of course, when we do our Q4 guidance.

我認為，當我們進入第三季電話會議時，當然，當我們進行第四季度指導時，我們顯然對此有更好的願景。

But we would see ourselves as making really good progress here.

但我們認為自己在這裡取得了非常好的進展。

And just the numbers and how they impact the financial statements, I think, will start to really show up here as we move forward into the next fiscal year.

我認為，當我們進入下一個財年時，這些數字以及它們如何影響財務報表將開始真正顯現出來。

Okay.

好的。

All right.

好的。

That's helpful.

這很有幫助。

Kevin, on dental operating margins, if we look at where we're at today and make some pretty basic assumptions about where you'll finish in fiscal '25 versus where the business was just recently in '23, dental revenue hasn't changed that much, let's just call it flat.

凱文，關於牙科營業利潤率，如果我們看看我們今天的狀況，並對 25 財年的業績與 23 財年的業務狀況做一些非常基本的假設，那麼牙科收入並沒有改變就這麼多，我們就稱之為平的吧。

Adjusted operating income for dental is looking like it's going to be down 10% or more this year versus fiscal '23.

與 23 財年相比，今年牙科調整後營業收入預計將下降 10% 或更多。

So just can you help us understand what's happened for your business that's led to such a deterioration in profitability when revenue hasn't really changed the last two years, and especially when it sounds like from your comments earlier, you've already been taking actions along the way to reduce waste and improve efficiencies?

那麼，您能否幫助我們了解，在過去兩年收入沒有真正改變的情況下，您的業務發生了什麼導致盈利能力如此惡化，尤其是從您之前的評論來看，您已經採取了行動一路走來減少浪費並提高效率？

Yeah.

是的。

I'd point to two things, Jason, and we brought both of them up.

傑森，我想指出兩件事，我們也提出了這兩件事。

I think the two big impacts that we've had to navigate through here.

我認為我們必須應對這兩個重大影響。

One is this Change Healthcare dynamic I keep bringing up, and I feel a little bit like I repeat myself too much on it, but really the nature of that business is very profitable and has a disproportionate impact on our operating margin performance.

其中之一是我不斷提到的改變醫療保健動態，我覺得我有點重複自己太多了，但實際上該業務的本質是非常有利可圖的，並且對我們的營業利潤表現產生了不成比例的影響。

And so when that incident happened and since we've been sort of building it back up, that really has weighed on the margin performance of the business.

因此，當該事件發生時，由於我們一直在進行備份，這確實對業務的利潤表現造成了壓力。

And then it also, I think, highlights why we're investing the way we are in software.

我認為，這也凸顯了我們為什麼要這樣投資軟體。

And over the past year or so, 1.5 year, the investments we're making in that software business really show up in the dental business.

在過去一年左右的時間裡，1.5 年裡，我們在軟體業務上的投資真正體現在牙科業務上。

That's where the franchise is.

這就是特許經營權所在。

And so we have increased the OpEx spending and capital spending in dental to support that business.

因此，我們增加了牙科領域的營運支出和資本支出來支持該業務。

And as Don said, that as we get into fiscal '26 and beyond, we will have lapped the Change Healthcare incident and get that part of our e-services portfolio back on track.

正如 Don 所說，當我們進入 26 財年及以後時，我們將克服 Change Healthcare 事件，並使我們的電子服務組合的這一部分回到正軌。

And we'll start seeing the benefit of those OpEx investments that we've been making in dental and the software business.

我們將開始看到我們在牙科和軟體業務中進行的營運支出投資的好處。

Okay, helpful.

好的，有幫助。

Thank you.

謝謝。

Elizabeth Anderson, Evercore ISI.

伊麗莎白·安德森，Evercore ISI。

Good morning, guys.

早安，夥計們。

This is Sameer Patel on for Elizabeth Anderson.

這是伊麗莎白·安德森的薩米爾·帕特爾。

I just wanted to ask about -- maybe just keep on the topic of margins here.

我只是想問一下——也許只是繼續討論利潤率的話題。

Are you -- I realize that there's a little bit of a revenue or top line shortfall, particularly on the medical.

我意識到收入或營收有一點短缺，特別是在醫療方面。

But are you still thinking that the cost actions you're taking, you can keep margins flat year over year on a corporate basis?

但您是否仍然認為，您正在採取的成本行動可以使公司利潤率逐年保持穩定？

Kevin, do you want to take that?

凱文，你想接受這個嗎？

Yeah.

是的。

So you said medical, did you?

所以你說的是醫療，是嗎？

Did you mean one of our other segments?

您是指我們的其他細分市場之一嗎？

Sorry, I meant dental.

抱歉，我指的是牙科。

Sorry.

對不起。

Dental, okay.

牙科還可以吧

Yeah.

是的。

I mean, I think as we contemplate those actions, I think, like I said in earlier remarks, it really does help us blunt the impact of a softer market.

我的意思是，我認為，當我們考慮這些行動時，就像我在之前的演講中所說的那樣，它確實有助於我們削弱市場疲軟的影響。

And from an op margin standpoint, we do expect to be flat to slightly up in the back half of the year versus last year.

從營運利潤率的角度來看，我們預計今年下半年的營運利潤率將與去年持平或略有上升。

And again, it's driven by the impact of those cost actions plus the mix benefit in our software business.

同樣，它是由這些成本行動的影響加上我們軟體業務的混合效益所推動的。

Got it.

知道了。

And then I think you've talked before about reprioritizing your customer base within companion animals.

然後我想您之前已經談到過重新確定伴侶動物客戶群的優先順序。

Is that expectation still that, that impact starts to moderate in 3Q and 4Q?

這種預期仍然是，這種影響在第三季和第四季開始減弱嗎？

Or is there any change in how you're thinking about that timeline?

或者你對這個時間表的看法有什麼改變嗎？

Yeah, it should start moderating here in the back half.

是的，它應該從後半段開始緩和。

That team has done a good job of actually bringing on some new customers that we're really happy to have and also some new products that are going to come into their portfolio here in the back half that will also help their growth trajectory here going forward.

團隊做得很好，實際上帶來了一些我們非常高興擁有的新客戶，還有一些新產品將在後半段進入他們的產品組合，這也將有助於他們未來的成長軌跡。

Thank you.

謝謝。

Allen Lutz, Bank of America.

艾倫·盧茨，美國銀行。

Good morning and thanks for taking the questions.

早上好，感謝您提出問題。

One for Kevin.

一份給凱文。

It sounds like the market for dental consumables is flat to slightly down.

聽起來牙科耗材市場持平甚至略有下降。

I think you and your peers expected that by the back half of 2024, that things would improve here.

我認為您和您的同事預計到 2024 年下半年，這裡的情況將會有所改善。

And I think that it's really no surprise that the numbers are coming down.

我認為數字下降並不奇怪。

As we think about dental consumable expectations for the second half of the year, what's currently implied in the guide?

當我們思考下半年牙科耗材的預期時，指南中目前暗示了什麼？

And then is there anything to call out for the market exiting October that was different from August and September?

那麼 10 月的市場有什麼與 8 月和 9 月不同的地方值得關注嗎？

Thanks.

謝謝。

I'd say, in terms of the guide, I think we saw here in Q2, we're kind of expecting a low single-digit consumables environment.

我想說，就指南而言，我認為我們在第二季度看到，我們預計消費品的環境將處於低個位數。

Again, we've got some specific initiatives that are going to help us continue to -- we expect to out-execute the market by a bit.

同樣，我們有一些具體的舉措將幫助我們繼續下去——我們預計會比市場執行得更好一些。

So not necessarily a significant change from what we saw in Q2 for the rest of the year.

因此，與我們在今年剩餘時間內第二季度看到的情況相比，不一定有重大變化。

And I wouldn't say -- I don't want to get into kind of month-by-month performance.

我不會說——我不想陷入逐月的表現。

I think it can get a little choppy depending on certain things.

我認為根據某些事情，它可能會變得有點不穩定。

So I'd say just overall, as we thought about our guide for the year, we certainly took into account kind of what do we see in the end markets here in all of Q2, and that's the environment that we're projecting for the rest of the year, not a significant uptick from that.

因此，我想說，總的來說，當我們考慮今年的指南時，我們當然考慮了整個第二季度終端市場的情況，這就是我們今年剩餘時間，並沒有顯著上升。

Okay.

好的。

That's helpful.

這很有幫助。

And then going back to the Change cybersecurity incident.

然後回到 Change 網路安全事件。

As we think about the second half of the year here, is there any way to quantify or provide a little bit more granularity on the percentage of customers that are now fully back up and running, submitting claims where you're getting a fee, where maybe a quarter or two ago, you weren't.

當我們考慮今年下半年時，是否有任何方法可以量化或提供更多粒度的客戶百分比，這些客戶現在完全備份和運行，在您收取費用的地方提交索賠，在哪裡也許一兩個季度前，你還沒有。

Just trying to get a sense of where we are in that transition and where you are in terms of getting those fees that maybe you weren't getting a quarter ago?

只是想了解我們在轉型過程中所處的位置，以及您在獲得季度前可能未獲得的費用方面處於什麼位置？

Thanks.

謝謝。

Yes.

是的。

I'd say, we're -- in terms of the software business, we're essentially kind of on what we expected from a budgeting standpoint when we set out the year.

我想說，就軟體業務而言，我們基本上符合我們在製定今年預算時的預期。

I think in terms of quantification, what I'd tell you is, I believe when we announced our Q4 results last year, the net drag from Change Healthcare was $0.06. So as we get into Q4 of this year, that's sort of the favorable comp we have as that business kind of comes back in.

我認為就量化而言，我要告訴你的是，我相信當我們去年宣布第四季業績時，Change Healthcare 的淨拖累為 0.06 美元。因此，當我們進入今年第四季時，隨著該業務的回歸，這就是我們所擁有的有利的補償。

And like I said, that team continues to do well kind of getting those customers back on to our new claims provider and get that business back as well as, I should point this out to you, they've done a good job of bringing on some really good new e-services providers that are also performing well, that are also helping our overall software franchise going forward here.

就像我說的，團隊繼續做得很好，讓這些客戶重新回到我們的新理賠提供者並恢復業務，我應該向你指出這一點，他們在吸引客戶方面做得很好一些非常優秀的新電子服務供應商也表現良好，這也有助於我們的整體軟體特許經營權在這裡向前發展。

Great.

偉大的。

Thank you.

謝謝。

Steven Valiquette, Mizuho Securities.

史蒂文·瓦利奎特，瑞穗證券。

Great.

偉大的。

Thanks.

謝謝。

Good morning.

早安.

Thanks for taking the questions.

感謝您提出問題。

I guess, first, just with the major dental manufacturer that announced their intention to not renew their distribution contract with you.

我想，首先，只是與主要牙科製造商宣布他們打算不再與您續簽分銷合約。

Just curious if there's any updates on that.

只是好奇是否有任何更新。

But really, my bigger question is, with that same manufacturing partner, they did have a major new digital equipment product launch in the middle of your fiscal second quarter.

但實際上，我更大的問題是，與同一個製造合作夥伴一起，他們確實在第二財季中期推出了一款重要的新數位設備產品。

It seems like it wasn't really big enough to move the needle that much in the results.

看起來它還不夠大，不足以對結果太大影響。

But the question is, is that new product launch, in your mind, big enough to change the cadence of your equipment outlook for the remainder of your fiscal '25?

但問題是，在您看來，新產品的推出是否足以改變您對 25 財年剩餘時間的設備展望的節奏？

Or in other words, would your outlook for digital equipment be even worse without this new product launch?

或者換句話說，如果沒有這款新產品的推出，您對數位設備的前景會更糟嗎？

Thanks.

謝謝。

Well, maybe I'll take the second one first.

好吧，也許我會先拿第二個。

I think, no, look, it's definitely helping our results.

我認為，不，看，這肯定對我們的結果有幫助。

We participated in DS World during the quarter, and I think felt like we had a successful program there.

我們在本季度參加了 DS World，我認為我們在那裡的計劃很成功。

And so it's helpful.

所以它很有幫助。

Certainly, we continue to battle just the overall softness in the equipment market and macroeconomic conditions.

當然，我們將繼續與設備市場和宏觀經濟狀況的整體疲軟作鬥爭。

So maybe a little bit yet to be seen as we emerge from that, how the new technology fares.

因此，當我們擺脫困境時，新技術的表現可能還有待觀察。

In terms of our contract, look, we're continuing to work with Dentsply Sirona.

就我們的合約而言，我們將繼續與 Dentsply Sirona 合作。

We wrapped up DS World.

我們結束了 DS World。

We value them as a supplier.

我們重視他們作為供應商的價值。

They're one of many deep supplier relationships we have.

他們是我們擁有的眾多深厚供應商關係之一。

And our main focus, as we talk through this with them, is I think we all have the same goal, which is to drive mutual success in the end here with our contract.

當我們與他們討論這個問題時，我們的主要焦點是我認為我們都有相同的目標，那就是透過我們的合約最終推動共同成功。

And so I wouldn't want to get into the specifics of how that may play out.

因此，我不想詳細討論這將如何發揮作用。

But I think we both have the same objectives in mind.

但我認為我們都有相同的目標。

So ultimately, I think this can be a win-win.

所以最終，我認為這可以是雙贏的。

It's just maybe more a matter of working through the process.

也許更多的是完成整個過程的問題。

Got it.

知道了。

Okay.

好的。

Sorry.

對不起。

Thank you.

謝謝。

Brandon Vazquez, William Blair.

布蘭登·巴斯克斯，威廉·布萊爾。

Hi everyone, good morning.

大家好，早安。

Thanks for taking the question.

感謝您提出問題。

I have two, I'll just ask upfront.

我有兩個，我先問一下。

The first is just on macro.

第一個是宏觀上的。

A conversation that I've had a lot with investors recently is just it's been years now that both animal health and dental have kind of been in these weak end markets.

我最近與投資者進行了多次對話，內容是多年來動物保健和牙科一直處於這些弱端市場。

I know we've been digesting maybe some pull forward through COVID, things like that.

我知道我們一直在消化新冠疫情帶來的一些進展，諸如此類的事情。

But I'd just be curious, because the question is coming up more and more, is there any sense you guys have a good feel of the market that there's any structural damage to this market?

但我只是很好奇，因為問題越來越多，你們是否對市場有良好的感覺，認為這個市場有任何結構性損害？

Is it simply as easy as we're waiting for consumers to come back?

難道就只是等待消費者回來這麼簡單嗎？

Or is there something else going on underlying that's making this a little bit tougher of a rebound, frankly, for both spaces?

坦白說，或者是否存在其他潛在因素導致這兩個領域的反彈變得更加困難？

And then the follow-up question unrelated, but just to check the box with more questions around tariffs, do you guys have any exposure to the key countries being discussed right now, Canada, China or Mexico in terms of manufacturing?

然後是無關的後續問題，但只是為了檢查有關關稅的更多問題的方框，你們對目前正在討論的關鍵國家（加拿大、中國或墨西哥）在製造業方面是否有任何接觸？

Yeah.

是的。

Maybe I'll let Kevin take the second question first here.

也許我會讓凱文先回答第二個問題。

And I can comment on the first point.

我可以評論第一點。

Yeah.

是的。

I'd say, on tariffs, our supply chain team, as you can imagine, is all over it.

我想說，在關稅方面，正如你想像的那樣，我們的供應鏈團隊全力以赴。

We have relatively small direct imports, but obviously, our manufacturing partners and some other suppliers import from around the world.

我們的直接進口相對較少，但顯然，我們的製造合作夥伴和其他一些供應商從世界各地進口。

So we've got a team that's working really closely with them to make sure that we've got the right plan in place when and if a new tariff regime is implemented here.

因此，我們有一個團隊與他們密切合作，以確保我們在實施新關稅制度時制定正確的計劃。

Yeah.

是的。

And on your first question, I guess from my perspective, I don't view that there's anything fundamental that has changed in our markets.

關於你的第一個問題，從我的角度來看，我認為我們的市場沒有任何根本性的變化。

I think the COVID disruption, obviously, was unprecedented, and to some extent, still flows a little bit through.

我認為，新冠疫情造成的破壞顯然是史無前例的，而且在某種程度上，仍有一定影響。

I think it's -- but I believe it's really just a matter of consumer sentiment and the economic conditions improving, and maybe just with a dose of -- as I mentioned before, making sure that we have the right level of additional innovation on the equipment side in the dental business.

我認為，但我相信，這實際上只是消費者情緒和經濟狀況改善的問題，也許只是像我之前提到的那樣，確保我們在設備上有適當水平的額外創新牙科業務方面。

And that concludes our question-and-answer session.

我們的問答環節到此結束。

I will now turn the call back over to Don Zurbay for some final closing remarks.

現在，我將把電話轉回給唐·祖爾貝 (Don Zurbay)，讓他發表最後的結束語。

All right.

好的。

Thank you all for your time today and interest in Patterson Companies.

感謝大家今天抽出寶貴的時間以及對帕特森公司的興趣。

We'll sign off.

我們就簽了。

This concludes today's conference call.

今天的電話會議到此結束。

Thank you for your participation.

感謝您的參與。

You may now disconnect.

您現在可以斷開連線。