Reliance Inc (RS) 2023 Q4 法說會逐字稿

Greetings, and welcome to Reliance, Inc. Fourth Quarter and Full Year 2023 Earnings Conference Call. (Operator Instructions) As a reminder, this conference is being recorded.

大家好，歡迎參加 Reliance, Inc. 2023 年第四季和全年財報電話會議。 （操作員指示）謹此提醒，本次會議正在錄製中。

It is now my pleasure to introduce Kim Orlando, ADDO, Investor Relations. Thank you. You may begin.

現在我很高興向大家介紹投資者關係部 ADDO 的 Kim Orlando。謝謝。你可以開始了。

Thank you, operator. Good morning, and thanks to all of you for joining our conference call to discuss Reliance's Fourth Quarter and Full Year 2023 financial results. I am joined by Karla Lewis, President and Chief Executive Officer; Steve Koch, Executive Vice President and Chief Operating Officer; and Arthur Ajemyan, Senior Vice President and Chief Financial Officer. A recording of this call will be posted on the Investors section of our website at investor.reliance.com.

謝謝你，接線生。早安，感謝大家參加我們的電話會議，討論 Reliance 的第四季和 2023 年全年財務表現。總裁兼執行長卡拉·劉易斯 (Karla Lewis) 也加入了我的行列； Steve Koch，執行副總裁兼營運長；以及資深副總裁兼財務長 Arthur Ajemyan。本次電話會議的錄音將發佈在我們網站 Investor.reliance.com 的投資者部分。

Please read the forward-looking statement disclosures included in our earnings release issued this morning, and note that it applies to all statements made during this teleconference. The reconciliations of the adjusted numbers are included in the non-GAAP reconciliation part of our earnings release.

請閱讀我們今天早上發布的收益報告中包含的前瞻性聲明披露內容，並注意它適用於本次電話會議期間發表的所有聲明。調整後數字的調節包含在我們收益發布的非公認會計準則調節部分。

I will now turn the call over to Karla Lewis, President and CEO of Reliance.

我現在將把電話轉給 Reliance 總裁兼執行長 Karla Lewis。

Good morning, everyone, and thank you for joining us today to discuss our fourth quarter and full year 2023 results. Before I dive into our performance, I'd like to begin by highlighting today's exciting announcement of our corporate name change to Reliance, Inc.

大家早安，感謝您今天加入我們討論我們的第四季和 2023 年全年業績。在深入探討我們的表現之前，我想先強調一下今天令人興奮的消息：我們公司更名為 Reliance, Inc.。

To coincide with this announcement, please note that our website has also been updated to reflect our new domain name, reliance.com. Over the years, retaining the words steel and aluminum in our corporate name has limited the perception of our company because Reliance has evolved to be so much more than metal. We are a family of companies committed to providing diversified metal solutions and increasing levels of value to our customers, opportunities to our employees and returns to our stockholders.

為了配合此公告，請注意，我們的網站也已更新，以反映我們的新網域 reliance.com。多年來，在我們的公司名稱中保留“鋼”和“鋁”這兩個詞限制了我們公司的形象，因為 Reliance 已經發展得不僅僅是金屬。我們是一個致力於提供多元化金屬解決方案並不斷提高客戶價值、員工機會和股東回報的公司家族。

Reliance has made investments in our business far in excess of our peers while consistently generating industry-leading results. We have become stronger and more diversified, collaborative and focused as we further differentiate Reliance as a best-in-class company. We believe these developments as well as our long-standing reputation for credibility with all of our stakeholders have made Reliance a name that stands alone. We are proud of our 85-year history and 30 years as a public company and will remain anchored to our core business model and values as we move forward into the future.

Reliance 對我們業務的投資遠遠超過同行，同時持續創造業界領先的績效。隨著我們進一步將 R​​eliance 打造成一流的公司，我們變得更加強大、更加多元化、更加協作和專注。我們相信，這些發展以及我們在所有利害關係人中長期享有的信譽聲譽使 Reliance 成為一個獨一無二的名字。我們為我們 85 年的歷史和 30 年的上市公司歷史感到自豪，並且在邁向未來時將繼續堅持我們的核心業務模式和價值觀。

Turning to our results. Reliance delivered strong operational and financial performance in 2023 in a challenging environment. I'd like to recognize and thank our dedicated team throughout our family of companies for consistently executing our resilient business model and providing increasing levels of value to our customers while maintaining their focus on keeping each other safe.

轉向我們的結果。 Reliance 在充滿挑戰的環境中於 2023 年實現了強勁的營運和財務業績。我要表彰並感謝我們整個公司家族的敬業團隊，他們始終如一地執行我們的彈性業務模式，為我們的客戶提供越來越多的價值，同時保持他們對確保彼此安全的關注。

These collective efforts led to annual earnings per share of $22.64, the second highest in our history. We increased our volumes through continued market share gains while maintaining our full year gross profit margin of 30.7%, near the top end of our estimated sustainable range due to our strong pricing discipline and significant capital reinvestment to increase our capacity and value-added processing capabilities.

這些集體努力使每股年收益達到 22.64 美元，是我們歷史上第二高的。我們透過持續的市佔率成長來增加銷量，同時將全年毛利率維持在30.7%，接近我們估計的可持續範圍的上限，這要歸功於我們嚴格的定價紀律和大量的資本再投資，以提高我們的產能和增值處理能力。

Reliance generated annual cash flow from operations of $1.67 billion and invested a record $468.8 million back into our business through capital expenditures. Our CapEx budget for calendar year 2024 is $425 million, with approximately 2/3 dedicated to growth projects that will further enhance our value-added capabilities, upgrade and improve our operating facilities and fund expansion into new markets. We expect our total 2024 CapEx cash outlay will be approximately $500 million, which includes some carryover projects from 2023 and prior years due to extended lead times throughout the supply chain.

Reliance 每年從營運中產生 16.7 億美元的現金流，並透過資本支出向我們的業務投資創紀錄的 4.688 億美元。我們 2024 年的資本支出預算為 4.25 億美元，其中約 2/3 專門用於成長項目，這些項目將進一步增強我們的增值能力、升級和改善我們的營運設施以及為新市場擴張提供資金。我們預計 2024 年資本支出現金支出總額約為 5 億美元，其中包括 2023 年及往年因整個供應鏈交貨時間延長而結轉的一些項目。

We also continue to execute on our capital return priorities in 2023, returning $717.6 million to our stockholders through dividends and share repurchases. In addition to our organic growth efforts, we announced 2 acquisitions in the first quarter of 2024. On February 1, we welcomed Cooksey Iron & Metal to the Reliance family of companies.

我們也繼續執行 2023 年的資本回報優先事項，透過股利和股票回購向股東回報 7.176 億美元。除了我們的有機成長努力之外，我們還宣布了 2024 年第一季的 2 項收購。2 月 1 日，我們歡迎 Cooksey Iron & Metal 加入 Reliance 公司家族。

Cooksey is a well-known metal service center based in Tifton, Georgia with a strong reputation for premium customer service and rapid delivery standards, which is in direct alignment with the Reliance model. Cooksey's 3 locations generated approximately $90 million of net sales in 2023, and their addition to the Reliance family of companies strengthens and expands our position in the fast-growing Southeastern market.

Cooksey 是一家著名的金屬服務中心，總部位於喬治亞州蒂夫頓，在優質客戶服務和快速交付標準方面享有盛譽，這與 Reliance 模式直接相符。 Cooksey 的 3 個分店在 2023 年創造了約 9,000 萬美元的淨銷售額，它們加入 Reliance 公司家族，加強並擴大了我們在快速成長的東南市場的地位。

And on February 14, 2024, we announced that we had entered into a definitive agreement to acquire American Alloy Steel, a leading distributor of specialty carbon and alloy steel plate and round bar, including pressure vessel quality material. American Alloy adds specialty carbon steel plate to our product portfolio as well as new fabrication capabilities. American Alloy's 6 locations generated approximately $310 million of net sales in 2023. The transaction is expected to close within the next 60 days, subject to regulatory approval and customary closing conditions.

2024 年 2 月 14 日，我們宣布已達成收購 American Alloy Steel 的最終協議，該公司是特種碳鋼和合金鋼板和圓鋼（包括壓力容器優質材料）的領先經銷商。美國合金公司在我們的產品組合中增加了特殊碳鋼板以及新的製造能力。 American Alloy 的 6 個工廠在 2023 年實現了約 3.1 億美元的淨銷售額。該交易預計將在未來 60 天內完成，具體取決於監管部門的批准和慣例成交條件。

We continue to see a broad array of M&A opportunities in the pipeline, and we'll pursue those that meet our disciplined criteria for well-managed companies that enhance our diversification by product, end market and geography and are immediately accretive to our earnings.

我們繼續看到一系列廣泛的併購機會，我們將尋求那些符合我們管理良好的公司嚴格標準的併購機會，這些機會可以增強我們在產品、終端市場和地理方面的多元化，並立即增加我們的收益。

In summary, we are very pleased with our 2023 results that were achieved in a challenging operating environment. Our long-standing and continuously improving business model enables resilient execution throughout economic cycles, including both pricing and end market demand fluctuations present in the metals industry. In addition, the increasing level of collaboration we continue to see across our family of companies creates excitement for our future as we work together to capitalize on the many opportunities in front of us.

總之，我們對 2023 年在充滿挑戰的營運環境中所取得的表現感到非常滿意。我們長期且不斷改進的業務模式能夠在整個經濟週期中實現彈性執行，包括金屬產業中存在的定價和終端市場需求波動。此外，我們不斷看到我們各公司之間的合作水平不斷提高，這讓我們對未來感到興奮，因為我們共同努力利用擺在我們面前的許多機會。

2024 is another milestone year for Reliance. We will celebrate our 85th anniversary and our 30th anniversary as a public company. While we are changing our company name and logo, Reliance captures the essence of who we always have been and always will be to our suppliers, customers, investors and employees. We are more than metal. We are a family of companies. We are industrial strength.

2024 年對 Reliance 來說是另一個具有里程碑意義的一年。我們將慶祝我們作為上市公司成立 85 週年和 30 週年。在更改公司名稱和徽標的同時，Reliance 抓住了我們對供應商、客戶、投資者和員工的過去和未來的本質。我們不僅僅是金屬。我們是一個公司家族。我們是工業實力。

Thank you all for your time today. I'll now turn the call over to Steve, who will review our 2023 demand and pricing trends.

感謝大家今天抽出時間。我現在將電話轉給 Steve，他將回顧我們 2023 年的需求和定價趨勢。

Thanks, Karla, and good morning, everyone. I would also like to express my gratitude to the entire Reliance family for a strong finish to the year and for prioritizing safety at the forefront of our strategy. Our performance was also made possible by our valued customers who rely on us for quick deliveries of high-quality products as well as our suppliers who continue to support us through all market cycles and remain instrumental to our growth initiatives.

謝謝卡拉，大家早安。我也要向整個信實集團表示感謝，感謝他們在這一年中取得了出色的成績，並將安全放在了我們策略的首位。我們的業績也得益於我們尊貴的客戶，他們依靠我們快速交付高品質的產品，以及我們的供應商，他們在整個市場週期中繼續支持我們，並繼續為我們的成長計劃發揮重要作用。

I'll now turn to our demand and pricing trends. Our fourth quarter tons sold were up 4.9% from the prior period, within our expected range of up to 3.5% to 5.5%. For the full year, tons sold were up 3.7% compared to 2022, reflecting solid underlying demand in several key markets, including nonresidential construction, aerospace, automotive as well as contributions from our organic growth activities across carbon plate, structural and flat-rolled products.

我現在將談談我們的需求和定價趨勢。我們第四季的銷量較上一季成長 4.9%，在我們 3.5% 至 5.5% 的預期範圍內。全年銷售量較 2022 年成長 3.7%，反映出多個關鍵市場的強勁潛在需求，包括非住宅建築、航空航太、汽車，以及我們在碳板、結構和扁材產品有機成長活動的貢獻。

We were particularly pleased with the market share we captured in 2023 by growing our tons sold by 3.7% annually, well in excess of a 1.5% increase reported by the MSCI. Our fourth quarter average selling price per ton sold of $2,466 was down 3.4% from the third quarter, which came in slightly better than our expected range of down 4% to 6% as carbon steel and aluminum prices stabilized.

我們對 2023 年的市佔率感到特別滿意，銷售量每年增長 3.7%，遠高於 MSCI 報告的 1.5% 增幅。第四季每噸平均售價為 2,466 美元，較第三季下降 3.4%，略好於我們因碳鋼和鋁價格穩定而下降 4% 至 6% 的預期範圍。

Next, I'll turn to an overview of the trends we saw within our products and key end markets. Carbon steel tubing, plate and structures, our 3 largest product groups, represented about 1/3 of our fourth quarter sales. All these products experienced strong growth and outperformed industry shipment levels compared to the prior year quarter. For the full year, sales volume growth in carbon plate and structural products fueled by strong nonresidential construction supported our industry outperformance.

接下來，我將概述我們在產品和關鍵終端市場中看到的趨勢。碳鋼管材、板材和結構是我們最大的 3 個產品組，約占我們第四季銷售額的 1/3。與去年同期相比，所有這些產品都經歷了強勁的成長，並且表現優於行業出貨量水準。全年來看，強勁的非住宅建築推動碳板和結構產品銷售成長，支撐了我們的產業優異表現。

We are cautiously optimistic nonresidential construction, including infrastructure, activity will remain at healthy levels in the first quarter of 2024. And in the medium to long term, we believe industrial reassuring efforts for new public infrastructure projects under various federal and state programs will support continued nonresidential construction and infrastructure demand.

我們對2024 年第一季包括基礎設施在內的非住宅建設活動將保持在健康水平持謹慎樂觀態度。從中長期來看，我們相信各種聯邦和州計劃下的新公共基礎設施項目的工業保證工作將支持持續非住宅建築和基礎設施需求。

Aluminum and stainless products represented approximately 30% of our total fourth quarter sales, with aluminum and stainless aerospace products comprising about 10%. Stainless steel prices and volumes continued to decline in the fourth quarter of 2023, both sequentially and year-over-year. However, our fourth quarter 2023 shipments of aluminum products increased compared to the prior year as prices stabilized on strengthened aerospace demand. We are optimistic aerospace demand for commercial, military, defense and space will remain healthy in the first quarter of 2024.

鋁和不銹鋼產品約占我們第四季總銷售額的 30%，其中鋁和不銹鋼航空航太產品約佔 10%。 2023 年第四季不銹鋼價格和銷量持續下降，無論是環比還是同比。然而，由於航太需求增強，價格趨於穩定，我們 2023 年第四季的鋁產品出貨量較前一年增加。我們樂觀地認為，商業、軍事、國防和太空領域的航空航太需求將在 2024 年第一季保持健康。

We primarily service the automotive market through our toll processing operations, which as a reminder, are not reflected in our tons sold. Our tolling business processed 7.5% more tons in 2023 compared to last year on increased processing demand from the automotive market and our continued investments to increase capacity. Our fourth quarter shipments improved modestly year-over-year as demand quickly recovered after the UAW strike concluded in late October. Our first quarter outlook for the automotive market remains positive.

我們主要透過來料加工業務為汽車市場提供服務，但需要提醒的是，這並沒有反映在我們的銷售中。由於汽車市場加工需求的增加以及我們持續投資以增加產能，我們的來料加工業務在 2023 年的加工噸數比去年增加了 7.5%。由於 10 月底 UAW 罷工結束後需求迅速恢復，我們第四季的出貨量比去年同期略有改善。我們對汽車市場第一季的前景仍然樂觀。

We saw a wide range of products through diverse sectors in the general manufacturing market, including industrial machinery, consumer products and heavy equipment, among others, which collectively represent 1/3 of sales. Shipments improved modestly year-over-year, driven by strength in heavy equipment. We expect demand in the broader manufacturing sector will remain at healthy levels in the first quarter of 2024.

我們在一般製造業市場中看到了不同領域的廣泛產品，包括工業機械、消費品和重型設備等，這些產品合計佔銷售額的1/3。在重型設備強勁的推動下，出貨量較去年同期小幅成長。我們預計 2024 年第一季更廣泛的製造業的需求將保持在健康水準。

Sales for the semiconductor industry declined year-over-year but stabilized sequentially in the fourth quarter. We are excited about the growth prospects we anticipate arising under the CHIPS Act as well as reshoring activities that give us confidence in our long-term outlook for this market and further justify the investments we are continuing making to increase our capacity to support active and anticipated opportunities.

半導體產業的銷售額較去年同期下降，但第四季環比穩定。我們對《CHIPS 法案》預期的成長前景以及回流活動感到興奮，這使我們對該市場的長期前景充滿信心，並進一步證明我們為提高支持積極和預期的能力而繼續進行的投資是合理的機會。

Please refer to our earnings release for additional commentary on our end markets and product diversification. I will now turn the call over to Arthur to review our financial results and outlook.

請參閱我們的收益發布，以了解有關我們的終端市場和產品多元化的更多評論。我現在將把電話轉給亞瑟，以審查我們的財務業績和前景。

Thanks, Steve, and good morning, everyone. Our fourth quarter 2023 non-GAAP diluted earnings per share came in at $4.73, with some benefit from a lower-than-expected tax rate and a higher-than-expected LIFO income. Adjusting for these items, our non-GAAP earnings per share would have been $4.04, surpassing our guidance of $3.70 to $3.90. Better-than-anticipated pricing and gross profit margin resilience, along with solid execution on all fronts, including effective inventory management, further contributed to the outperformance.

謝謝史蒂夫，大家早安。我們的 2023 年第四季非 GAAP 攤薄每股收益為 4.73 美元，部分受益於低於預期的稅率和高於預期的 LIFO 收入。在對這些項目進行調整後，我們的非 GAAP 每股收益將為 4.04 美元，超過我們 3.70 美元至 3.90 美元的指引。優於預期的定價和毛利率彈性，以及包括有效庫存管理在內的各方面的紮實執行，進一步促成了優異的業績。

We finished 2023 with $14.8 billion in sales and $22.64 in earnings per share, both representing our second highest historical results. We successfully outperformed industry shipment levels across nearly all products and grew sales volumes in both fourth quarter and the full year compared to 2022. We maintained gross profit margin of 30.6% in the fourth quarter and 30.7% for the full year, near the high end of our sustainable range, mitigating some of the impact of declining prices prevailing in 2023.

2023 年，我們的銷售額為 148 億美元，每股收益為 22.64 美元，均為我們歷史第二高的業績。與2022 年相比，我們幾乎所有產品的出貨量均成功超越行業水平，第四季度和全年銷量均有所增長。第四季度毛利率保持在30.6%，全年毛利率保持在30.7% ，接近高端水準。我們的可持續範圍，減輕 2023 年普遍價格下跌的一些影響。

Our long-term investments in value-added processing capabilities were key to these outcomes as value-added processing gross profit margins are less susceptible to compression in declining price environment. In 2023, we performed value-added processing on 50.6% of sales orders, up from 50.2% in 2022. On a FIFO basis, which is how we monitor our day-to-day operating performance, which excludes the effect of our LIFO inventory valuation method, our gross profit margin improved by roughly 30 basis points to 28.8% compared to the third quarter of 2023 due to improved alignment between inventory costs and replacement costs, particularly in carbon and stainless steel products.

我們對加值加工能力的長期投資是這些成果的關鍵，因為加值加工毛利率在價格下降的環境下不易受到壓縮。 2023 年，我們對 50.6% 的銷售訂單進行了增值處理，高於 2022 年的 50.2%。以先進先出為基礎，這是我們監控日常營運績效的方式，不包括後進先出庫存的影響根據估值方法，我們的毛利率比2023 年第三季提高了約30 個基點，達到28.8%，這是由於庫存成本和重置成本之間的一致性得到改善，特別是在碳鋼和不銹鋼產品方面。

Our use of the LIFO inventory valuation method benefited both our gross profit margin and earnings in 2023. We recorded LIFO income of $59.5 million in the fourth quarter and $164.5 million for the full year, exceeding our $140 million annual estimate. We ended the year with a LIFO reserve of $579.3 million in our balance sheet, which will be used to generate LIFO income and reduce the volatility of our gross profit margin and earnings as metal prices trend lower in 2024 or future periods. We currently estimate LIFO income of $80 million in 2024. As always, we will update our expectations quarterly to account for actual inventory cost and metal pricing trends.

我們使用後進先出庫存估值方法使我們的毛利率和2023 年收益均受益。我們第四季度的後進先出收入為5,950 萬美元，全年為1.645 億美元，超出了我們1.4 億美元的年度預期。截至年底，我們的資產負債表中的後進先出儲備金為5.793 億美元，該儲備金將用於產生後進先出收入，並隨著2024 年或未來時期金屬價格走低，減少我們毛利率和收益的波動性。我們目前估計 2024 年後進先出收入為 8,000 萬美元。一如既往，我們將每季更新我們的預期，以考慮實際庫存成本和金屬定價趨勢。

Moving on to expenses. Our full year 2023 non-GAAP same-store SG&A expenses increased by $55.2 million or 2.2% over last year from incremental variable costs associated with higher tons shipped, which were partially offset by lower incentive-based compensation resulting from lower profitability. As a reminder, our model normalized -- normalizes expenses by rightsizing incentives as profit trends down. This decline in incentives is partially offset by increased headcount to support organic growth in the business. On a per ton basis, our expenses decreased slightly compared to last year due to better operating leverage and were relatively stable compared to the same quarter of 2022.

繼續討論支出。我們2023 年全年非GAAP 同店SG&A 費用比去年增加了5520 萬美元，即2.2%，原因是與發貨量增加相關的增量可變成本，但盈利能力下降導致的激勵性薪酬減少部分抵消了這一增量。提醒一下，我們的模型已經標準化——隨著利潤趨勢下降，透過調整激勵措施來標準化支出。激勵措施的下降被支持業務有機成長的員工人數增加部分抵消。以噸計算，由於營運槓桿改善，我們的費用較去年略有下降，但與 2022 年同季相比相對穩定。

I'll now switch gears to our balance sheet and cash flow discussion. Our inventory turn rate based on tons came in at 4.7x in 2023, meeting our company-wide goal of 4.7x compared to 4.4x in 2022. Our healthy inventory turn rate not only helped lessen the impact of declining prices on our gross profit margin, but also contributed to strong cash flow generation of $1.67 billion in 2023, the second highest level in our history. For the fourth quarter, operating cash flow of $525.6 million funded $110.2 million in capital expenditures, $58.8 million of cash dividends and $240.3 million of share repurchases, resulting in a 1.6% reduction in common shares outstanding.

我現在將轉向我們的資產負債表和現金流量討論。 2023 年，我們的庫存週轉率（以噸為單位）為4.7 倍，實現了全公司4.7 倍的目標，而2022 年為4.4 倍。我們健康的庫存週轉率不僅有助於減輕價格下跌對毛利率的影響，而且還為 2023 年創造了 16.7 億美元的強勁現金流，這是我們歷史上的第二高水準。第四季度，營運現金流為 5.256 億美元，為 1.102 億美元的資本支出、5,880 萬美元的現金股利和 2.403 億美元的股票回購提供資金，導致已發行普通股減少 1.6%。

On February 13, our Board of Directors increased our regular quarterly dividend 10% to an annual rate of $4.40 per share, marking the 31st dividend increase since our 1994 IPO. We have paid regular cash dividends for 64 consecutive years without reduction or suspension.

2 月 13 日，我們的董事會將定期季度股息提高了 10%，達到每股 4.40 美元的年利率，這是自 1994 年 IPO 以來的第 31 次股息增加。我們已連續64年定期派發現金紅利，沒有減少或暫停支付。

Our strong balance sheet, consistent cash flow generation and recently announced $1.5 billion share repurchase authorization allow us to be opportunistic. We are very proud of the fact that our strong financial position has enabled us to invest back into our business to support growth, while concurrently returning approximately 45% of our net income and 58% of free cash flow to our stockholders over the past 3 years.

我們強大的資產負債表、持續的現金流產生以及最近宣布的 15 億美元股票回購授權使我們能夠抓住機會。我們感到非常自豪的是，我們強大的財務狀況使我們能夠重新投資於我們的業務以支持成長，同時在過去 3 年中向股東返還約 45% 的淨利潤和 58% 的自由現金流。

I'll conclude with our first quarter outlook. Overall, we expect underlying end market demand will remain relatively healthy in the first quarter of 2024. We also expect shipping volumes to increase 9% to 11% sequentially in the first quarter, consistent with typical seasonality. On the pricing side, we expect our average selling price per ton sold for the first quarter will increase slightly, up 1% to 3% compared to the fourth quarter based on stabilizing pricing trends for many of our products. Based on these expectations, we anticipate non-GAAP earnings per diluted share in the range of $5.30 to $5.50 for the first quarter of 2024.

最後我將介紹我們第一季的展望。總體而言，我們預計 2024 年第一季潛在終端市場需求將保持相對健康。我們也預計第一季貨運量將季增 9% 至 11%，與典型的季節性一致。在定價方面，基於我們許多產品的價格趨勢趨於穩定，我們預計第一季的每噸平均售價將小幅上漲，較第四季上漲1%至3%。根據這些預期，我們預計 2024 年第一季的非 GAAP 攤薄每股收益將在 5.30 美元至 5.50 美元之間。

To close, I'd like to thank the entire Reliance team for its collaborative efforts to drive industry-leading performance in 2023. This concludes our prepared remarks. Thank you for your participation. And at this time, we'll now open the call to questions. Operator?

最後，我要感謝整個 Reliance 團隊為在 2023 年推動業界領先的業績所做的共同努力。我們準備好的演講到此結束。感謝您的參與。此時，我們將開始提問。操作員？

(Operator Instructions) Our first question comes from the line of Katja Jancic with BMO Capital Markets.

（操作員說明）我們的第一個問題來自 BMO 資本市場的 Katja Jancic。

In 4Q, your gross profit margin was at the higher end of your sustainable range. I would assume that in a declining pricing and volume environment, it would get at least a bit compressed. Is it fair to say that, in general, your sustainable gross profit margin is moving higher?

第四季度，您的毛利率處於可持續範圍的高端。我認為在價格和銷量下降的環境中，它至少會被壓縮一點。整體而言，你們的永續毛利率正在上升，這樣說是否公平？

Katja, thanks for being on the call this morning. So it is our intent to continue to drive our gross profit margin higher as we're continuing to invest in more and more advanced processing equipment, doing more for our customers, we're able to drive our gross profit margin higher. We also benefit from being on the LIFO inventory costing method with being able to hold our margin more sustainable.

Katja，感謝您今天早上接聽電話。因此，我們的目的是繼續提高我們的毛利率，因為我們繼續投資越來越先進的加工設備，為我們的客戶做更多的事情，我們能夠提高我們的毛利率。我們也受惠於採用後進先出的庫存成本計算方法，能夠維持我們的利潤更永續。

But it certainly is our intent. And I think if you look back over the past 8 to 10 years, you will see our sustainable gross profit margin at a steady improvement. We continue to see a lot of opportunity with our customers to do more with them, for them, which is why we're continuing to invest in CapEx. And so it is our intent to drive that higher, but I know all of you ask us to try to quantify when and how much, but we can't do that, but we do want to continue to move higher in that.

但這確實是我們的意圖。我認為，如果你回顧過去8到10年，你會看到我們的可持續毛利率正在穩步提高。我們繼續看到我們的客戶有很多機會與他們一起為他們做更多的事情，這就是我們繼續投資資本支出的原因。因此，我們的意圖是推動這一進步，但我知道你們所有人都要求我們嘗試量化何時以及多少，但我們無法做到這一點，但我們確實希望繼續在這方面走得更高。

Arthur, do you want to add anything?

亞瑟，你想補充什麼嗎？

Yes. Sure, Katja. And fourth quarter typically has the annual kind of LIFO catch-up. And when we talk sustainable margins, we refer to that on an annual basis as on a quarterly basis, you could have certain bumps that move the margin up or down. So on an annual basis, we're still 30.5 -- I beg your pardon, we were above 30%, 30.7%. So yes, your point is well taken.

是的。當然，卡佳。第四季通常會出現年度後進先出的情況。當我們談論可持續利潤率時，我們指的是按年度和按季度計算，可能會出現某些波動，導致利潤率上升或下降。所以按年計算，我們仍然是 30.5——請原諒，我們高於 30%、30.7%。所以是的，你的觀點得到了很好的理解。

And a reminder that LIFO for us effectively resets cost of sales make to replacement costs. So it effectively takes out inventory gains and losses from our results. So it's a better metric of operating results, at least that's been our view. And it's -- it actually helps us navigate pricing cycles and takes out the volatility from our operating results.

並提醒我們，後進先出法有效地將銷售成本重置為重置成本。因此，它有效地從我們的結果中扣除了庫存損益。因此，這是一個更好的營運結果衡量標準，至少我們是這麼認為的。它實際上幫助我們駕馭定價週期並消除我們經營業績的波動性。

And maybe just a follow-up on this? Because Arthur, as you said, this year, the gross profit margin was at 30.7%. I think last year, it was around the same level, 30.8%. What would you -- and this is at the higher end of the range, right? What would you have to see to be comfortable to really raise it above current level?

也許只是這件事的後續行動？因為亞瑟，正如你所說，今年的毛利率是30.7%。我認為去年大約是同一水平，30.8%。你會怎麼做——這是範圍的高端，對吧？您需要看到什麼才能真正將其提高到當前水平以上？

When the time comes, Katja, we'll let you know.

Katja，到時候我們會通知你。

Okay. One more, if I may. Can you remind us what is your exposure to aerospace?

好的。如果可以的話，再來一張。您能提醒我們一下您在航空航太領域的業務有哪些嗎？

It's roughly 10%.

大約是10%。

Of sales.

銷售。

Sales. Correct.

銷售量。正確的。

Our next question comes from the line of Phil Gibbs with KeyBanc Capital Markets.

我們的下一個問題來自 KeyBanc Capital Markets 的 Phil Gibbs。

Did you provide any color on what you expected 2024 CapEx to be? And also how much do you have left on the buyback?

您是否提供了您對 2024 年資本支出的期望？還有，回購還剩多少錢？

Yes. So our current 2024 approved CapEx budget is $425 million. So those are projects, will initiate this year. Because of lead times, we probably won't have all of that completed. But we do have carryover from prior years. So from a cash spend, we're estimating about $500 million going out the door for prior and current-year projects.

是的。因此，我們目前批准的 2024 年資本支出預算為 4.25 億美元。這些項目將於今年啟動。由於交貨時間的原因，我們可能無法完成所有這些工作。但我們確實有前幾年的結轉。因此，從現金支出來看，我們估計大約 5 億美元將用於去年和今年的項目。

A lot of that -- most of that is growth-related, as it has been the last several years. As I just mentioned with Katja, we continue to find more ways to provide value to our customers, go into new greenfields in new geographic areas, broaden our products and processing capabilities. So we see a lot of opportunity to continue to do that. And then on our share repurchase, we've got $1.4 billion, Arthur?

其中很多——大部分與成長相關，就像過去幾年一樣。正如我剛才與 Katja 所提到的，我們將繼續尋找更多方式為客戶提供價值，進入新地理區域的新領域，擴大我們的產品和加工能力。因此，我們看到了很多繼續這樣做的機會。然後我們的股票回購就得到了 14 億美元，阿瑟？

Correct. $1.4 billion, left, yes.

正確的。 14 億美元，左，是的。

And unusually, the OpEx levels, at least in my model, were up sequentially in the fourth quarter, which is not seasonally typical. Did you have some accrual catch-up? I think we're just trying to figure out what the right baseline is.

不同尋常的是，營運支出水準（至少在我的模型中）在第四季度連續上升，這並不具有季節性特徵。您是否有一些應計的追趕？我認為我們只是想找出正確的基線是什麼。

Yes. So, good question. Normally, it's a little bit of a decline. But as we talked about, we've been growing the business organically in fourth quarter volumes shipped. Well, yes, they declined sequentially. There is over 4% growth year-over-year. So some of that is just our organic growth. And I think if you look at it, the sequential increases in terms of absolute dollars is a relatively small amount.

是的。所以，好問題。正常情況下，會略有下降。但正如我們所說，我們一直在第四季度的出貨量中有機成長業務。嗯，是的，他們依次下降。年成長超過4%。所以其中一些只是我們的有機成長。我認為，如果你仔細觀察一下，你會發現，就絕對美元而言，連續成長的金額相對較小。

So nothing unusual in terms of catching up from the rest of the year. You're just building -- probably building a little bit more infrastructure?

因此，追趕今年剩餘時間並沒有什麼不尋常的。你只是在建造——可能建造更多的基礎設施？

Correct.

正確的。

Okay. I did have one more in here. You did make a couple of deals recently. And I know, just generally speaking, given history that a lot of deals don't contribute right away given mark-to-markets in the first quarter on inventory, but would you expect these to start being accretive in the second quarter?

好的。我這裡確實還有一個。您最近確實達成了幾筆交易。我知道，一般來說，鑑於歷史記錄，鑑於第一季的庫存按市值計價，許多交易不會立即做出貢獻，但您是否預計這些交易會在第二季開始增值？

Yes. Well, Phil, one of our criteria for acquisitions are that they're immediately accretive. So Reliance's strategy on acquisitions hasn't changed that we buy good, well-run, profitable businesses. So we expect them -- and hopefully, they're listening. We expect them to be immediately accretive based on their past results. We have no reason to think that, that would not be the case. We're excited about welcoming them to the family.

是的。好吧，菲爾，我們的收購標準之一是它們能立即增值。因此，Reliance 的收購策略並沒有改變，我們購買優秀、經營良好、有獲利的企業。所以我們期待他們——並希望他們正在傾聽。我們期望他們能夠根據過去的成果立即增值。我們沒有理由認為情況並非如此。我們很高興歡迎他們加入這個家庭。

The revenue splice between these 2 deals is largely in carbon or mixed amongst metals?

這兩筆交易之間的所得拼接主要是碳還是混合金屬？

Yes, primarily carbon. And just a reminder, Cooksey, we did already close February 1, so they come into our numbers -- they're in our numbers now. American Alloy has to go through regulatory approval, so that is not yet closed. And at the time that we are able to close that, we'll make an announcement and then their numbers would begin rolling in then.

是的，主要是碳。只是提醒一下，庫克西，我們確實已經在 2 月 1 日結束了，所以它們進入了我們的數據——它們現在就在我們的數據中。美國合金公司必須獲得監管部門的批准，因此尚未完成。當我們能夠完成這項工作時，我們將發佈公告，然後他們的人數就會開始滾動。

(Operator Instructions) Our next question comes from the line of Martin Englert with Seaport Research Partners.

（操作員說明）我們的下一個問題來自 Martin Englert 和 Seaport Research Partners 的線路。

Question on sequential volume guidance at the high end of the range. I think that it implies that it would be down marginally year-on-year with volumes. The end market commentary was generally positive in the release and prepared remarks. Could you just touch on where that weakness could be year-on-year? Or am I misinterpreting that?

關於範圍高端的連續交易量指導的問題。我認為這意味著銷量將同比略有下降。最終市場評論在發布和準備好的言論中總體上是正面的。能談談同比的弱點在哪裡嗎？或者我誤解了這一點？

No, you asked a very good question, Martin. As you may recall, last year, our first quarter increase sequentially from the fourth quarter was unusually strong, and we called it out as we had some demand pull forward in the first quarter from rising carbon flat-rolled prices. So going from Q4 of '22 to Q1 of '23, our tons increased almost 18%. And then sequentially as we navigated the rest of the year, there were declines, which were sort of a little atypical from a seasonality perspective. So when you look at it from Q1 of '24 to Q1 of '23 perspective, you're going to see a little bit of that decline, which is again due to that unusually really strong Q1 of '23.

不，你問了一個很好的問題，馬丁。您可能還記得，去年，我們第一季比第四季連續成長異常強勁，我們之所以指出這一點，是因為第一季碳扁材價格上漲帶來了一些需求拉動。因此，從 22 年第四季到 23 年第一季度，我們的噸數增加了近 18%。然後，隨著我們在今年剩餘時間的瀏覽，出現了下降，從季節性角度來看，這有點不典型。因此，當你從 24 年第一季到 23 年第一季的角度來看時，你會看到一點點下降，這又是由於 23 年第一季異常強勁所致。

Yes. I would say it was more buying patterns of some of our customers. And I just want to make sure we're not implying weakness. We still see healthy demand in Q1 2024.

是的。我想說這更多的是我們一些客戶的購買模式。我只是想確保我們沒有暗示軟弱。我們仍然看到 2024 年第一季的需求健康。

I guess, following on that -- okay, so there was noise in the comparison year-on-year in 1Q and some atypical seasonal trend after that. But based on what you see today, would you expect, I guess, more fundamental underlying demand to be exhibited in the volumes in the remaining quarters? Meaning if it was comparing negatively marginally in 1Q and you're rather positive on these end markets, meaning we should expect some growth in volumes year-on-year?

我想，接下來 - 好吧，第一季的同比比較中存在噪音，此後出現了一些非典型的季節性趨勢。但根據您今天看到的情況，我猜您是否預計剩餘季度的銷售量會反映出更基本的潛在需求？意思是，如果第一季的銷量略有下降，而您對這些終端市場相當樂觀，這意味著我們應該預期銷量會比去年同期成長？

I mean that's certainly our intent and what we're pushing for. We've been making investments to continue to grow organically. And our teams out in the field did a great job in 2023. We outperformed the MSCI shipment levels. That was strategic. It was because of investments we've made because of our companies going after smart profitable business that's out there, and they were very successful in doing that.

我的意思是，這當然是我們的意圖和我們正在推動的目標。我們一直在進行投資以繼續有機成長。我們的現場團隊在 2023 年表現出色。我們的表現優於 MSCI 出貨量水準。這是戰略性的。這是因為我們進行了投資，因為我們的公司追求的是明智的盈利業務，而且他們在這方面非常成功。

We think underlying demand at this time, we are positive. We think there are a lot of good tailwinds coming through the infrastructure, the chip, the reshoring and nearshoring, that is all still out there. So we only give guidance a quarter out, but we are positive about the opportunities that are out there that we expect to see in 2024, but we've also been in this business long enough that we know there are certain things we can't control, but we're excited and we're positive at this time.

我們認為此時的潛在需求是正面的。我們認為基礎設施、晶片、回流和近岸外包帶來了許多良好的推動力，這些都仍然存在。因此，我們只給出四分之一的指導，但我們對預計在 2024 年看到的機會持樂觀態度，但我們在這個行業已經從事了足夠長的時間，我們知道有些事情我們無法做到控制，但我們現在很興奮並且很積極。

That's very helpful. Can you touch on the corresponding volumes to the sales of the 2 acquisitions? And I understand one of them is pending, but what you saw in 2023 for each?

這非常有幫助。您能否談談這兩筆收購的相應銷售額？據我所知，其中一項正在懸而未決，但您在 2023 年對每項有何看法？

Yes. I mean we've disclosed their sales numbers, Martin, but nothing beyond that, nothing on volumes at this time. And it won't be -- overall, we're -- they are important businesses, important additions to the family, and we're excited about that. But it's not going to materially move our tons.

是的。我的意思是，馬丁，我們已經披露了他們的銷售數字，但除此之外什麼也沒有透露，目前沒有任何關於銷量的資訊。總的來說，我們不會——它們是重要的企業，是家庭的重要成員，我們對此感到興奮。但這不會實質地改變我們的噸位。

Are you able to qualitatively comment on the gross margin profile relative to Reliance?

您能否對 Reliance 的毛利率狀況進行定性評估？

Yes. I mean we don't -- we do not typically talk about individual companies unless it's a very material transaction. But we -- I will say that they are good performing profitable businesses. But we do -- we're excited that there -- we do see some opportunities to help expand their gross profit margins from where they are currently. Some of the expertise we have throughout the Reliance family and value-added processing, we think we can bring to the companies and really help them work on that and pricing discipline. So we think there's upside to their already solid profitability levels, but we're not going to give specific numbers.

是的。我的意思是，我們通常不會談論個別公司，除非這是一項非常重大的交易。但我們——我會說他們是業績良好、獲利能力強的企業。但我們確實——我們對此感到興奮——我們確實看到了一些機會來幫助他們擴大目前的毛利率。我們認為我們可以為公司帶來我們在 Reliance 系列和增值處理方面擁有的一些專業知識，並真正幫助他們遵守定價規則。因此，我們認為他們已經穩固的獲利水準還有上升空間，但我們不會給出具體數字。

Okay. That's helpful. If I could, one last one on the repurchases. The average repurchase price is lower quarter-on-quarter in 4Q. The volume repurchase increased to $0.9 million versus $0.5 million. And I think earlier in your prepared remarks, you did highlight you typically opportunistically repurchased, but how are you thinking about repurchases looking ahead, both in the near term and 1Q with more of the share prices today?

好的。這很有幫助。如果可以的話，回購最後一張。第四季回購平均價格季減。回購數量從 50 萬美元增至 90 萬美元。我認為在您準備好的演講中，您確實強調了您通常會機會主義地回購，但您如何看待未來的回購，無論是在短期內還是在第一季（隨著今天的股價上漲） ？

Yes. So Martin, we look at share repurchases like all of our -- all of our capital allocation buckets where we try to opportunistically be active in each of those buckets. And we don't have any one holding back another one. The fact that we have announced a couple of acquisitions doesn't change. We've got the -- we're in a financial position where that doesn't impact our ability to repurchase shares or how we view that. So we expect to continue to be active when we think it's the right timing in the market, which is consistent with Q3, Q4. A lot depends on how the stock trades during that period.

是的。因此，馬丁，我們會像我們所有的資本配置類別一樣看待股票回購，我們試圖在每個類別中積極投機。我們沒有任何人阻礙另一人。我們已經宣布了幾項收購的事實並沒有改變。我們的財務狀況不會影響我們回購股票的能力或我們的看法。因此，當我們認為市場時機合適時，我們預計將繼續保持活躍，這與第三季、第四季一致。很大程度取決於該時期股票的交易方式。

And Martin, just a quick reminder. We refreshed our authorization back in October to $1.5 billion, and we have $1.4 billion remaining on that authorization. So in our prepared remarks, we provided some 3-year historical figures on total returns, which was roughly 58% of free cash flows over the last 3 years. Does that mean that's the number that we're guiding to going forward? No. As Karla said, we kind of look at that largely opportunistically, and we have the authorization and the balance sheet and the cash flows to be able to act on that when the opportunities present themselves.

馬丁，只是簡單提醒一下。我們在 10 月將授權更新為 15 億美元，授權還剩 14 億美元。因此，在我們準備好的發言中，我們提供了一些 3 年總回報率的歷史數據，約佔過去 3 年自由現金流的 58%。這是否意味著這就是我們未來指導的數字？不。正如卡拉所說，我們基本上是從機會主義角度看待這個問題，我們擁有授權、資產負債表和現金流，能夠在機會出現時採取行動。

Is there any -- well, that might not necessarily be the target or the last 3 years have trended? Is there some lower bound that -- I guess, lower bound to the framework as a minimum that you would like to return by dividends and repurchases? Or not necessarily, it's really based on the best opportunity set?

有沒有——嗯，這可能不一定是目標或過去三年的趨勢？是否存在一些下限——我想，您希望透過股息和回購來回報的最低框架下限？或者不一定，真的是基於最佳機會集？

Yes. Martin, because as I just mentioned, we try to be opportunistic in all of our capital allocation buckets, whether it's acquisitions, organic growth, dividends, share repurchases. We don't set formal policies because we are selling into cyclical markets. So we want to have the flexibility to allow us to do what we think is the best use of capital at the time. So we don't have any formal policies established for that other than trying to be a good capital allocator and reward our stockholders and grow our company.

是的。馬丁，因為正如我剛才提到的，我們試圖在所有資本配置方面保持機會主義，無論是收購、有機成長、股息、股票回購。我們不制定正式政策，因為我們正在向周期性市場出售產品。因此，我們希望擁有靈活性，使我們能夠做我們認為當時資本的最佳利用方式。因此，除了努力成為良好的資本配置者並獎勵我們的股東並發展我們的公司之外，我們沒有為此制定任何正式政策。

Our next question is a follow-up question from the line of Phil Gibbs.

我們的下一個問題是菲爾吉布斯 (Phil Gibbs) 提出的後續問題。

Just broadly speaking, what are you seeing in the automotive market right now? Because I know there was a lot of volatility in the headlines in the back half of last year from the auto strike.

概括地說，您目前對汽車市場有何看法？因為我知道去年下半年汽車罷工的頭條新聞有很大的波動。

Yes, Phil. So we service the automotive market predominantly through toll processing, where we do not take ownership of the metal, which we like servicing that market that way, taking out any metal price risk for us. And we're processing, inspecting, delivering, storing the metal. Typically, our customers in that business are the mills selling to the automakers.

是的，菲爾。因此，我們主要透過來料加工為汽車市場提供服務，我們不擁有金屬的所有權，我們喜歡以這種方式為該市場提供服務，從而為我們消除任何金屬價格風險。我們正在加工、檢查、運輸、儲存金屬。通常，我們該行業的客戶是向汽車製造商銷售產品的工廠。

And our companies that do that are very good at what they do. They've done a great job servicing the markets, also shifting to be able to process aluminum as there's more and more aluminum content. We've been continuing to invest in those companies.

我們這樣做的公司非常擅長他們所做的事情。他們在服務市場方面做得很好，隨著鋁含量越來越高，他們也轉向能夠加工鋁。我們一直在繼續投資這些公司。

And last year, our processing volumes in our toll processing businesses, which are about 65% automotive-related were up 7.5%. And so it was a good year for us, again, partly because of our investments for growth, but also because even though there were a few stoppages and it was a little erratic for certain periods during the strikes, it didn't hit us on a broad basis. It was typically one customer, one platform that would be down.

去年，我們的來料加工業務（約 65% 與汽車相關）的加工量成長了 7.5%。因此，這對我們來說又是美好的一年，部分原因是我們對成長的投資，但也因為儘管有一些停工，並且在罷工期間的某些時期有點不穩定，但它並沒有對我們造成打擊廣泛的基礎。通常是一個客戶、一個平台會故障。

So it wasn't too broad-based for us. A lot of our customers were anticipating the strike coming. And so we worked with them to try to build up a little more inventory for them prior to that, and it came back pretty quickly when the strike ended. So we didn't see a big impact from that. And we continue to be busy. We're continuing to invest to increase capacity there, and we're positive on automotive going forward.

所以它對我們來說基礎不太廣泛。我們的許多客戶都預計罷工即將到來。因此，我們與他們合作，試圖在此之前為他們建立更多的庫存，罷工結束後，庫存很快就恢復了。所以我們沒有看到這產生很大的影響。我們還在繼續忙碌。我們將繼續投資以提高那裡的產能，並且我們對汽車行業的未來發展持樂觀態度。

And then just a question for modeling clarity. The other income was pretty robust in Q4. Does that capture largely the interest income on your cash balance?

然後是一個關於建模清晰度的問題。第四季的其他收入相當強勁。這是否主要反映了您現金餘額的利息收入？

That's correct, Phil. And there's some life insurance income in there, but the vast majority of that is interest income on our cash.

沒錯，菲爾。其中有一些人壽保險收入，但其中絕大多數是我們現金的利息收入。

Perfect. And then if I could sneak in one more just on semis infrastructure. I know you've made some good investments there in the last couple of years. Are you starting to see some of that spending come back? Or is that not a market that you're looking for growth in '24?

完美的。然後我是否可以在半成品基礎設施上再偷偷加入一個。我知道過去幾年你在那裡做了一些不錯的投資。您是否開始看到部分支出回升？或者這不是您在 24 年尋求成長的市場？

Yes. So I think for the year 2024, we would look for some growth, our smaller investment in a new facility in Texas, they're ramping up now. They're in production mode, but with where the industry is right now, they're starting a little slower. The equipment side of the business is more negatively impacted than kind of the construction project side of the semiconductor business. Our larger facility capacity expansion in Texas is not yet live. So they're still in build mode. So we haven't seen anything out of that new investment yet.

是的。因此，我認為到 2024 年，我們將尋求一些成長，我們對德州新工廠的投資規模較小，現在正在增加。他們正處於生產模式，但鑑於該行業目前的狀況，他們的起步速度要慢一些。該業務的設備方面比半導體業務的建設項目方面受到的負面影響更大。我們在德州更大的設施產能擴張尚未啟動。所以他們仍處於建構模式。所以我們還沒有看到新投資帶來任何成果。

But we did see in Q4, the semiconductor industry really -- they're still busy, but there was a bit of an inventory buildup. So they've been working through that. And we're positive going into 2024 that we'll start to see some improvement. A lot of it, though, on the construction side is dependent upon the pace that our customers build because there have been some stops and starts on some of the projects.

但我們確實在第四季度看到，半導體行業確實仍然很忙，但庫存有所增加。所以他們一直在努力解決這個問題。我們確信進入 2024 年我們將開始看到一些改善。不過，在施工方面，很大程度上取決於我們客戶的施工速度，因為某些項目出現了一些停頓和開工。

That concludes our question-and-answer session. I'd like to hand it back to Karla Lewis for closing remarks.

我們的問答環節到此結束。我想把它交還給卡拉劉易斯做結束語。

Thanks again, everyone, for joining our call today. And before we close out the call, I'd like to remind everyone that we will be in Florida later this month presenting at the BMO 33rd Annual Global Metals, Mining and Critical Materials Conference, and we hope to see many of you there. Thank you again to all of you for your continued support of Reliance.

再次感謝大家今天加入我們的電話會議。在我們結束電話會議之前，我想提醒大家，我們將於本月晚些時候在佛羅裡達州出席 BMO 第 33 屆年度全球金屬、採礦和關鍵材料會議，我們希望在那裡見到你們中的許多人。再次感謝大家對 Reliance 的持續支持。

Ladies and gentlemen, this does conclude today's teleconference. Thank you for your participation. You may disconnect your lines at this time, and have a wonderful day.

女士們、先生們，今天的電話會議到此結束。感謝您的參與。此時您可以斷開線路，度過美好的一天。