Scansource Inc (SCSC) 2025 Q2 法說會逐字稿

Welcome to the ScanSource quarterly earnings conference call. (Operator Instructions) Today's call is being recorded. (Operator Instructions)

歡迎參加 ScanSource 季度財報電話會議。 （操作員指示）今天的通話正在錄音。 （操作員指令）

I would now like to turn the call over to Mary Gentry, Senior Vice President, Finance and Treasurer. Madam, you may begin.

現在，我想將電話轉給財務和財務主管高級副總裁瑪麗金特里 (Mary Gentry)。女士，您可以開始啦。

Good morning, and thank you for joining us. Our call will include prepared remarks from Mike Baur, our Chair and CEO; and Steve Jones, Chief Financial Officer. We will review our results -- operating results for the quarter and then take your questions. We posted an earnings infographic that accompanies our comments and webcast in the Investor Relations section of our website.

早安，感謝您加入我們。我們的電話會議將包括我們主席兼執行長 Mike Baur 的準備好的演講；以及財務長史蒂夫瓊斯 (Steve Jones)。我們將檢視我們的結果—本季的經營業績，然後回答您的問題。我們在網站的投資者關係部分發布了伴隨我們的評論和網路廣播的收益資訊圖表。

As you know, certain statements in our press release, infographic and on this call are forward-looking statements and subject to risks and uncertainties that could cause actual results to differ materially from expectations. These risks and uncertainties include the factors identified in our earnings release and in our form 10-K for the year ended June 30, 2024.

如您所知，我們的新聞稿、資訊圖表和本次電話會議中的某些陳述屬於前瞻性陳述，受風險和不確定性的影響，可能導致實際結果與預期有重大差異。這些風險和不確定性包括我們在收益報告和截至 2024 年 6 月 30 日的 10-K 表中確定的因素。

Forward-looking statements represent our views only as of today and ScanSource disclaims any duty to update these statements, except as required by law. During our call, we will discuss both GAAP and non-GAAP results and have provided reconciliations on our website and in our Form 8-K.

前瞻性聲明僅代表我們截至今天的觀點，ScanSource 不承擔更新這些陳述的任何義務，除非法律要求。在電話會議中，我們將討論 GAAP 和非 GAAP 結果，並在我們的網站和 8-K 表中提供對帳資訊。

I'll now turn the call over to Mike.

我現在將電話轉給麥克。

Thanks, Mary. Thanks, everyone, for joining us today. The soft demand environment is lasting longer than we expected and large deals remained a challenge in Q2. After our Q1 sequential quarter growth, we expected sequential quarter growth for Q2, but that did not happen. And instead, net sales declined 4%. However, in a soft demand environment, we delivered gross profit growth and a strong gross profit margin.

謝謝，瑪麗。感謝大家今天的參與。疲軟的需求環境持續時間比我們預期的要長，大額交易在第二季仍然是一個挑戰。在第一季實現連續季度成長之後，我們預計第二季也將實現連續季度成長，但這並沒有發生。但淨銷售額卻下降了 4%。然而，在需求疲軟的環境下，我們實現了毛利成長和強勁的毛利率。

We are executing our hybrid distribution strategy, providing flexibility and choice with multiple sales models for hardware, SaaS, connectivity, and cloud. Our channel partners trust us to broaden their technology offerings and enable them to sell more of the technology stack, including devices, software, services to meet the end customers' requirements. In addition, we give our channel partners the opportunity to build a successful stream of recurring revenue that will result in a more profitable and sustainable business.

我們正在執行混合分銷策略，為硬體、SaaS、連接和雲端提供多種銷售模式的靈活性和選擇。我們的通路夥伴相信我們能夠拓寬他們的技術產品，使他們能夠銷售更多的技術堆疊，包括設備、軟體、服務，以滿足最終客戶的需求。此外，我們也為通路合作夥伴提供機會建立成功的經常性收入流，從而帶來更有利可圖和永續的業務。

With our recent acquisitions, we have expanded recurring revenue opportunities for our channel partners. We acquired Resourcive, our advisory business, to build the channel model of the future to drive more value by understanding end customer needs. This includes increased offerings of next-gen technologies like CX, cybersecurity, and AI.

透過最近的收購，我們為通路合作夥伴擴大了經常性收入機會。我們收購了顧問公司Resourcecive，以建立未來的通路模式，透過了解最終客戶的需求來創造更多價值。這包括增加 CX、網路安全和 AI 等下一代技術。

We have a plan to develop tools at Resourcive that will also enable our Intelisys channel partners to more efficiently serve the technology needs of end customers. After our first full quarter of operations with Advantix, a managed connectivity experience MCX provider, we are excited about the reception of this opportunity by our channel partners.

我們計劃在 Resourcive 開發工具，這也將使我們的 Intelisys 通路合作夥伴能夠更有效地滿足最終客戶的技術需求。在與託管連接體驗 MCX 供應商 Advantix 合作完成第一個完整季度後，我們很高興看到通路合作夥伴接受了這個機會。

This represents a recurring revenue opportunity for many of our VARs and a great example of a hybrid solution, combining devices and recurring revenue. The Advantix solution is a high margin recurring revenue add-on to mobile devices and a way to add more value in the barcode and mobility market. We also see the Advantix solution as a way to drive hardware demand by opening up new hybrid opportunities.

這為我們的許多增值轉售商提供了經常性收入的機會，也是結合了設備和經常性收入的混合解決方案的一個很好的例子。 Advantix 解決方案是行動裝置的高利潤經常性收入附加產品，也是在條碼和行動市場增加更多價值的一種方法。我們也認為 Advantix 解決方案可以透過開闢新的混合機會來推動硬體需求。

Looking ahead, we are well positioned for profitable growth when demand returns. I'll now turn the call over to Steve to take you through our financial results and our outlook for fiscal year 2025.

展望未來，當需求回升時，我們已準備好實現獲利成長。現在我將電話轉給史蒂夫，讓他向您介紹我們的財務表現和 2025 財年的展望。

Thanks, Mike. For Q2, the business continued to experience demand. While our top line was below our expectations, we saw strong gross profit margins led by higher mix of recurring revenue, which for Q2 represents 32% of our consolidated gross profit. Our more profitable mix translated into a higher adjusted EBITDA margin. For Q2, our consolidated net sales declined 15.5% year-over-year. However, our adjusted EBITDA only declined 8%.

謝謝，麥克。第二季度，該業務繼續受到需求。雖然我們的營收低於預期，但我們看到強勁的毛利率，這得益於經常性收入的增加，這占我們第二季綜合毛利潤的 32％。我們的獲利能力較佳的產品組合轉化為更高的調整後 EBITDA 利潤率。第二季度，我們的綜合淨銷售額年減 15.5%。然而，我們的調整後 EBITDA 僅下降了 8%。

For the quarter, our business delivered strong gross profit margins of 13.6% and adjusted EBITDA margins of 4.7%. Non-GAAP net income decreased 4%, while non-GAAP diluted EPS was flat year-over-year.

本季度，我們的業務實現了 13.6% 的強勁毛利率和 4.7% 的調整後 EBITDA 利潤率。非公認會計準則淨收入下降 4%，而非公認會計準則稀釋每股收益與去年同期持平。

We remain focused on delivering strong profitability and free cash flow for the full year and believe that our first half financial performance supports our current annual guidance range. This is the second quarter reporting under our new business segments. These segments better align with the different sales models we use in executing our hybrid distribution strategy. And as a reminder, both segments have recurring revenue.

我們將繼續專注於實現全年強勁的盈利能力和自由現金流，並相信我們的上半年財務業績支持我們目前的年度指導範圍。這是我們新業務部門的第二季報告。這些細分市場與我們執行混合分銷策略時所採用的不同銷售模式更加契合。需要提醒的是，這兩個部門都有經常性收入。

In our specialty technology solutions segment, net sales declined 16% year-over-year and 4% quarter-over-quarter. This includes a double-digit decline for large deals and FX headwinds in our Brazil business.

在我們的專業技術解決方案部門，淨銷售額年減 16%，較上季下降 4%。其中包括大額交易的兩位數下滑和巴西業務的外匯逆風。

Gross profit was essentially flat year-over-year, reflecting a higher concentration of recurring revenue and improved vendor rebates. For this segment, the percent of gross profit from recurring revenue increased to approximately 12%. Segment gross profit margin increased to 10.8% and adjusted EBITDA margin was 3.5%.

毛利與去年同期大致持平，反映出經常性收入集中度提高及供應商回扣改善。就該部門而言，經常性收入的毛利百分比增加至約 12%。分部毛利率增加至10.8%，調整後EBITDA利潤率為3.5%。

While we've not seen a broad-based recovery in our portfolio, we do have technologies in this segment with year-over-year growth including barcode mobility, physical security and mobile connectivity, MCX.

雖然我們的投資組合沒有廣泛復甦，但我們在這個領域確實擁有一些同比增長的技術，包括條碼移動性、實體安全和行動連接、MCX。

In our Intelisys & Advisory segment, net sales and gross profits increased 4% and 3% year-over-year including the addition of the Resourcive acquisition. Gross profit margin of 99% in this segment reflects the higher concentration of recurring revenue.

在我們的 Intelisys & Advisory 部門，包括對 Resourcive 的收購，淨銷售額和毛利分別年增 4% 和 3%。該部門99%的毛利率反映了經常性收入的較高集中度。

Our adjusted EBITDA margin of 41.1% reflects our continued SG&A investment to drive billings growth. Q2 end user billings for Intelisys increased 5% year-over-year to bring the annualized net billing to approximately $2.77 billion, including double-digit year-over-year growth in CX, which includes UCaaS, CCaaS, and AI-enabled CX solutions.

我們調整後的 EBITDA 利潤率為 41.1%，反映了我們持續的銷售、一般及行政費用 (SG&A) 投資以推動帳單成長。 Intelisys 第二季終端用戶帳單年增 5%，使年化淨帳單達到約 27.7 億美元，其中 CX 年成長兩位數，其中包括 UCaaS、CCaaS 和支援 AI 的 CX 解決方案。

We also saw double-digit growth for our SaaS business. During the quarter, we announced Channel Exchange, a new SaaS platform, replacing our intY CASCADE platform. With Channel Exchange, we now have a way for our Intelisys trusted advisers to deliver more SaaS solutions to end customers.

我們的 SaaS 業務也實現了兩位數的成長。在本季度，我們宣布推出一款新的 SaaS 平台 Channel Exchange，以取代我們的 intY CASCADE 平台。透過 Channel Exchange，我們現在可以為 Intelisys 值得信賴的顧問提供更多 SaaS 解決方案來讓最終客戶受益。

Year-to-date, we generated $34 million in free cash flow. However, for the quarter, we used $8 million of free cash flow due to late quarter timing for both sales and vendor payments. As we've said, we're building a cash culture and our team remains focused on generating free cash flow as it is a key metric in our annual variable compensation plans.

今年迄今為止，我們產生了 3,400 萬美元的自由現金流。然而，由於本季銷售和供應商付款的時間較晚，我們使用了 800 萬美元的自由現金流。正如我們所說，我們正在建立一種現金文化，我們的團隊仍然專注於產生自由現金流，因為這是我們年度浮動薪酬計劃的關鍵指標。

Going a bit deeper on our balance sheet and cash flow, we continue to execute our plans to improve our working capital efficiency while maintaining appropriate inventory levels to meet channel partner demand and supporting ourselves with our trade credit offerings. We ended Q2 with $111 million in cash and a net debt leverage ratio of 0.2 times on a trailing 12-month adjusted EBITDA basis. Adjusted ROIC for the quarter is 13.3% and includes a full quarter contribution from our acquisitions.

深入了解我們的資產負債表和現金流，我們繼續執行計劃，以提高我們的營運資本效率，同時保持適當的庫存水平，以滿足通路合作夥伴的需求，並透過我們的貿易信貸產品支持我們自己。我們在第二季結束時擁有 1.11 億美元現金，基於過去 12 個月調整後的 EBITDA，淨債務槓桿率為 0.2 倍。本季度調整後的 ROIC 為 13.3%，其中包括我們收購帶來的整個季度的貢獻。

Q2 capital allocation again demonstrates our plan to balance acquisitions and share repurchases while maintaining a strong balance sheet with modest net debt leverage of 1 to 2 times adjusted EBITDA. Share repurchases totaled $24 million for Q2.

第二季的資本配置再次證明了我們平衡收購和股票回購的計劃，同時保持強勁的資產負債表，淨債務槓桿率適中，為調整後 EBITDA 的 1 至 2 倍。第二季股票回購總額為 2,400 萬美元。

And as Mike said, we're pleased with the performance of our two acquisitions and what they bring to our channel capabilities and our strategic plans. We continue to have an active pipeline of acquisition targets, and we'll maintain our discipline in evaluating these opportunities.

正如麥克所說，我們對兩次收購的表現以及它們對我們的通路能力和策略計畫的影響感到滿意。我們將繼續積極尋找收購目標，並將嚴格評估這些機會。

For the remainder of FY25, we believe demand will improve but are still in a cautious tech spending environment. We are reconfirming our annual guidance of net sales ranging between $3.1 billion and $3.5 billion, adjusted EBITDA ranging between $140 million and $160 million, and free cash flow of at least $70 million. We'll now open it up for questions.

對於 25 財年的剩餘時間，我們相信需求將會改善，但仍處於謹慎的技術支出環境。我們重申年度淨銷售額預期在 31 億美元至 35 億美元之間、調整後 EBITDA 在 1.4 億美元至 1.6 億美元之間、自由現金流至少為 7,000 萬美元。我們現在開始回答問題。

(Operator Instructions) Greg Burns, Sidoti.

（操作員指示） Greg Burns，Sidoti。

Just wanted to talk about maybe the current demand environment a little bit in more detail. As far as how the quarter progressed, can you just talk about maybe the sequential cadence throughout the quarter? Did it worsen as the quarter progressed? Did it improve? How did the quarter play out in terms of maybe where you expected it when you gave guidance last quarter and where you ended up this quarter?

只是想更詳細地談談目前的需求環境。就本季的進展而言，您能否談談整個季度的連續節奏？隨著季度的進展，情況是否惡化？有改善嗎？就您上個季度給予的指導意見而言，本季的表現如何？

Greg, it's Mike. Yes, I'll try to be careful because we don't normally talk about how it progresses during the quarter. But if you think about how a December quarter normally progresses for our business, most of our suppliers with maybe one exception have calendar year ends. And as a result, they typically are very focused on closing out some business by the end of December.

格雷格，我是麥克。是的，我會盡量小心，因為我們通常不會談論本季的進展。但如果你想想我們 12 月季度的業務通常如何進展，我們大多數供應商（可能只有一個例外）都是日曆年結束的。因此，他們通常非常專注於在 12 月底之前完成一些業務。

So typically, that quarter is very heavily weighted in the December month of that quarter. So it's not significantly different than our other quarters, but it's significant enough to where we expected to have some large deals happen by the end of the quarter, which means really the end of December.

因此通常情況下，該季度的 12 月佔比非常大。因此，這與我們其他季度的情況並沒有太大差異，但足以讓我們預計本季末（實際上意味著 12 月底）將發生一些大交易。

And so as we gave our guidance earlier, we thought that we would have a typical increase in large deals and to have a double-digit decline year-over-year was the surprise. And so we really believe this was a large deal-driven miss, if you will, on our expectations for that business -- for the specialty hardware business, just so we're clear.

正如我們之前給出的指引一樣，我們認為大額交易數量會呈現正常成長，但令人驚訝的是，同比出現了兩位數的下降。因此，我們確實相信，這是一次由交易驅動的重大失誤，如果你願意的話，違背了我們對該業務——專業硬體業務——的預期，我們要清楚這一點。

Okay. And then are you -- you maintain your guys full year revenue and EBITDA guidance despite the miss this quarter. Are you seeing anything or hearing anything in the channel that gives you confidence that the back half gets a little bit stronger? Is the midpoint of guidance still a good spot to think about? Or are you thinking more towards the low end now?

好的。那麼，儘管本季業績不佳，但您仍維持全年營收和 EBITDA 預期。你在頻道中看到或聽到什麼讓你有信心後半部會變得更強大一些嗎？指導的中點仍然是值得思考的好點嗎？或者您現在更多地考慮低端市場？

Well, Greg, this is Steve and thanks for the question. We still believe that we have a chance to be in our range. And I think that's where we're thinking about the business. We still believe that there's growth opportunity in the second half, and that's what we said when we actually came into the year, we thought the first half would be down and the second half would have growth.

嗯，格雷格，我是史蒂夫，謝謝你的提問。我們仍然相信我們有機會進入我們的範圍。我想這就是我們對業務的思考。我們仍然相信下半年存在成長機會，正如我們在進入今年以來時所說，我們認為上半年會下降，下半年會成長。

Our problem is with our top line, most of our top line comes from the hardware, which you know we ship every day. So we're taking orders, we don't work with backlog. So our visibility is tough in that environment. We do have the recurring revenue streams that help us on the GP line and that helps our GP become more predictable. But the top line is really hard for us to have visibility on.

我們的問題在於我們的營收，我們的大部分營收來自於硬件，你知道我們每天都會出貨。因此，我們接受訂單，不處理積壓訂單。因此，在那種環境下我們的可見度很差。我們確實有經常性收入流，這有助於我們的 GP 線，並幫助我們的 GP 變得更可預測。但我們確實很難看到營收情況。

(Operator Instructions) Keith Housum, Northcoast Research.

（操作員指示）Keith Housum，Northcoast Research。

I know you guys usually don't talk about the current quarter here, but we are in an extraordinary time it seems. How was this quarter starting off for you guys? Are you seeing any signs that there is a recovery? I think I was anticipating that following the presidential elections that we saw in November.

我知道你們通常不會在這裡談論當前季度，但看起來我們正處於一個非常時期。你們這個季度的開始怎麼樣？您是否看到任何復甦的跡象？我想，在十一月的總統選舉之後，我就預料到了這一點。

Well, Keith, this is Mike. We're not going to report on the quarter that we're in today. We don't think that's appropriate. I think the real message that we're sending this morning is -- we've talked to our teams about how do they feel about the second half. And the second half is still attainable for our business based on the guidance we've previously given.

嗯，基思，這是麥克。我們不會報告今天所在季度的情況。我們認為這不合適。我認為我們今天早上發出的真正訊息是——我們已經與我們的團隊討論了他們對下半場的感受。根據我們之前給予的指導，下半年我們的業務仍然能夠實現。

And so we spent a lot of time with our teams reconfirming that the guidance we've given is still achievable. And so as Steve said a few minutes ago, the second half was always going to be a challenge. It's a little more challenging now and for us to reaffirm, we believe we have confidence that the business will start to grow again, but trying to discern between where we're sitting right now versus May 1.

因此，我們花了很多時間與我們的團隊一起重新確認我們給予的指導仍然是可實現的。正如史蒂夫幾分鐘前所說的那樣，下半場永遠是一個挑戰。現在的情況更具挑戰性，我們需要重申，我們相信我們有信心業務將再次開始成長，但我們要努力辨別當前的情況與 5 月 1 日的情況。

And as Steve said, we're not certain only because we don't have backlog, as you know, Keith. So our challenge is, again, to do what I know many of you do, which is talk to your partners in the channel, get their census. And for us, there's always -- and I would say this. I would say a sense of cautious optimism as you go into a year like this is coming off of last year.

正如史蒂夫所說，我們不確定只是因為我們沒有積壓，正如你所知，基斯。因此，我們面臨的挑戰仍然是做我知道很多人都會做的事情，即與渠道中的合作夥伴進行交談，以獲取他們的人口普查數據。對我們來說，總是有──我想這麼說。我想說，在進入新的一年時，我們會有一種與去年不同的謹慎樂觀的態度。

I think all of our channel partners believe that this year will be better. And so we're basing this on sentiment more than we are on any certainty on revenue that's come in already, okay? It's more on sentiment at this stage. And on thinking about what is it that could make us hit the higher end of our expectations versus the lower end. We feel very comfortable with our guidance.

我想我們所有的通路夥伴都相信今年會更好。因此，我們更多是基於情緒而不是對已有收入的確定性，好嗎？現階段更多的是取決於情緒。並思考是什麼可以讓我們達到預期的較高端而不是較低端。我們對我們的指導感到非常滿意。

And you guys didn't know a few of the technologies that we're doing better. But on a broad basis, the challenges that you saw in the quarter, were they pretty broad-based across most of your technologies that you guys sell? Or was there a few that was worse than others?

而且你們還不知道我們正在做的更好的幾項技術。但從廣泛的角度來看，您在本季看到的挑戰是否普遍存在於您們銷售的大多數技術中？或者其中有些比其他的更糟？

Well, as you know, Keith, I decided last quarter that we weren't going to talk about the technologies and I changed my mind because obviously, you guys need it, especially with the results of the quarter, some indication of what the heck is going on. And where is the -- where are the so-called green shoots and where it is not. And clearly, barcode mobility came through, we feel very good about that. We've already talked about that. And by saying that, and physical security was good.

嗯，正如你所知，基思，我上個季度決定我們不談論技術，但我改變了主意，因為顯然你們需要它，特別是根據本季度的結果，需要一些跡象表明到底發生了什麼。而所謂的綠芽又在哪裡，在哪裡沒有呢？顯然，條碼移動性已經實現，我們對此感到非常高興。我們已經討論過這個了。這樣一來，人身安全就很好了。

By saying that, we end up though not talking about the other areas, and so across the rest of the business, we didn't have a great story. And so without getting any detail about any one of them, once you get outside of what we talked about earlier, there was a challenge in the quarter that we didn't expect. And however, we expect that to attain our annual guidance, we will have to have some of those other technologies come back to life during the next two quarters. And so we do have expectations for that.

但話雖如此，我們最終還是沒有談論其他領域，因此在整個業務領域，我們並沒有一個精彩的故事。因此，在不了解任何一個細節的情況下，一旦你超出了我們之前談論的範圍，你就會發現本季有一個我們沒有預料到的挑戰。然而，我們預計，為了實現我們的年度指導目標，我們必須在接下來的兩個季度內恢復一些其他技術的活力。因此我們對此確實抱持著期望。

Keith, and I might add, Mike talked about in his comments about the large deals that we saw across the board that there were some pockets of large deals that came through, but overall, the large deals are really the story of what surprised us.

基思，我想補充一下，麥克在談到我們所看到的全面大交易時說，有一些大交易已經達成，但總的來說，大交易才是真正令我們感到驚訝的故事。

And I guess last question for me. The Intelisys business, you guys have called out how that is becoming more competitive and you got a volume versus price or price versus volume, I should say. It looks like excluding acquisitions, I guess, am I right to assume that, that revenue actually dropped year-over-year? And I guess, is there any changes in the dynamics of that business as you guys are pursuing your acquisition strategy and any tweaks that you have to your acquisition strategy after this current few quarters?

我想這是我的最後一個問題。你們已經指出了 Intelisys 業務如何變得更具競爭力，我應該說，你們得到了數量與價格或價格與數量之間的對比。我猜，看起來如果排除收購的話，那麼我的假設是否正確，收入實際上比去年同期下降了？我想問一下，在你們實施收購策略的過程中，業務動態是否會改變？

So a couple of comments. Intelisys business was essentially flat year-over-year. And what we are seeing a couple of things is there's still competitive pressures out there for sure. As you know, Keith, we talked about that probably for the last 1.5 years, maybe even 2 years now. And one of the things we've done in the last six months is, one, we've got a new President, Ken Mills, who's come in and taking a fresh look at, hey, what are some of the challenges that Intelisys is facing in a competitive landscape?

有幾點評論。 Intelisys 的業務與去年同期相比基本持平。我們看到的一些情況是，競爭壓力肯定仍然存在。如你所知，基思，我們可能已經討論這個問題一年半了，甚至可能有兩年了。我們在過去六個月中所做的事情之一是，我們迎來了一位新總裁，肯·米爾斯 (Ken Mills)，他上任後將重新審視 Intelisys 在競爭環境中面臨的一些挑戰？

And what we have learned and what we are doing or really two things I'll talk about today, that we mentioned on the call already is that we created a new platform, we're calling Channel Exchange used to be called intY CASCADE as a way to recruit new suppliers to Intelisys. There were some suppliers that we could not attract in the past to provide their technologies to the Intelisys channel. And so this platform is what some of the suppliers required for us to become a distributor. And this now allows us to have offers for the Intelisys channel community -- channel partners that our competitors don't have.

我們所學到的以及我們正在做的事情，或者我今天要講的兩件事，我們在電話會議上已經提到過，那就是我們創建了一個新平台，我們稱之為 Channel Exchange，以前稱為 intY CASCADE，作為為 Intelisys 招募新供應商的一種方式。過去我們無法吸引一些供應商向 Intelisys 管道提供他們的技術。這個平台正是一些供應商讓我們成為經銷商所需要的。現在，這使我們能夠為 Intelisys 通路社群提供我們的競爭對手所沒有的通路合作夥伴。

So none of our other TSD competitors have a product and a tool like Channel Exchange. So that's number one. And number two, Ken has put together a new partner segmentation strategy to make sure that we're treating the partners that maybe they are long, very loyal partners who have given us a lot of business over the years, make sure we're treating them in a way that's different from some of our long tail partners. So we’re doing more partner segmentation, and we’re aligning our value proposition appropriately. What that means is if we have a partner that doesn’t need all the value-added services that we’ll make sure that we give them the best possible commission split. So I think that this alignment of our offers specific to the partners is something that Ken is bringing in. Now having said all this it’s going to take a few quarters before we see the results of this but we believe it’s the right long-term strategy to build the Intelisys growth back on a competitive standpoint.

因此，我們的其他 TSD 競爭對手都沒有像 Channel Exchange 這樣的產品和工具。這是第一點。第二，肯製定了一項新的合作夥伴細分策略，以確保我們對待這些合作夥伴的方式不同於對待我們的一些長尾合作夥伴，這些合作夥伴可能是長期的、非常忠誠的合作夥伴，多年來為我們帶來了很多業務。因此，我們正在對合作夥伴進行更多的細分，並適當地調整我們的價值主張。這意味著，如果我們的合作夥伴不需要所有增值服務，我們將確保為他們提供最佳的佣金分成。所以我認為，我們針對合作夥伴提供的這種優惠是 Ken 提出的。

Okay. And is the strategy still to keep on acquiring some of these agents to help grow this business and with the Chinese wall in between Intelisys business and those?

好的。並且，我們的策略是否仍然是繼續收購一些代理商，以幫助發展這項業務，並在 Intelisys 業務和這些業務之間設置障礙？

So on the resources side, that's how we started, of course. We said that we believe that the market -- our competitive market has really forced our hand. All of our competitive distributors were doing the same thing. So yes, we started by buying one and our plan right now is to be careful about just buying and rolling up revenues. That's not our interest. We really want to create this channel model of the future and it might be that we acquire some complementary assets. It doesn't have to be just rolling up agents.

因此，從資源方面來說，我們當然就是這樣開始的。我們說，我們相信市場——我們的競爭市場確實迫使我們採取行動。我們所有競爭經銷商都在做同樣的事情。所以是的，我們開始購買一台，而我們現在的計劃是謹慎購買並增加收入。這不符合我們的利益。我們確實希望創建這種未來的通路模式，而且我們可能會獲得一些互補的資產。這不一定只是捲起代理人。

So really, we're not looking to roll up EBITDA as it is to create a model that we believe is going to be more successful and we can then use to teach and educate the other Intelisys channel partners. So I would say it's not just a roll up. It's really more of how do we create this unique channel model that we believe will be more successful and the end users will start to gravitate to us. I think it can also grow organically fairly significantly.

所以實際上，我們並不希望增加 EBITDA，而是為了創建一個我們認為會更成功的模型，然後我們可以用它來教導和教育其他 Intelisys 通路合作夥伴。因此我想說這不僅僅是一種捲起。這實際上更重要的是我們如何創造這種獨特的管道模式，我們相信這種模式將會更加成功，最終用戶也會開始被我們吸引。我認為它也可以實現相當顯著的有機成長。

(Operator Instructions) Greg Burns, Sidoti.

（操作員指示） Greg Burns，Sidoti。

I just wanted to follow up a little bit on Intelisys. In terms of where you're seeing growth there, you mentioned some of the areas where you've seen double-digit growth in the areas that, I guess, that would imply that are declining, how big of a piece of that business are they still? And do you expect maybe the declines there, either the declining portions of that business to moderate? Or are they getting to a point where there have de minimis impact and you might just see a natural lift with the mix improving in that business?

我只是想稍微了解一下 Intelisys 的情況。就您看到的成長領域而言，您提到了一些您看到兩位數成長的領域，我想，這意味著這些領域正在衰退，他們在這些業務中仍然佔多大份額？您是否預計那裡的下滑或該業務下滑的部分會有所緩和？或者他們是否已經達到了影響微乎其微的程度，而您可能只會看到隨著該業務組合的改善而自然提升？

Yeah, Greg. I think it's more like this. So the older technologies are not growing, but they're not necessarily declining either. What we're seeing is these are contracts that as they get renewed, some of them get renewed with newer technologies. And so the technology does shift, but those businesses are still very large.

是的，格雷格。我認為更像這樣。因此，舊技術沒有成長，但它們也不一定會衰退。我們看到的是，這些合約在續約時，有些合約採用了更新的技術。因此技術確實在發生變化，但這些企業的規模仍然很大。

And one of the dynamics that we haven't talked about in a while that still can happen even in the older technology, and I'll use just network or circuits as an example, they're still principally sold by the suppliers on a direct basis, principally. And we still believe that some of the suppliers, just like we're talking about advanced technologies, guess what they are, too. And they're looking for a lower-cost ways to fulfill those contracts that will still be in effect and be offers for many, many years to come.

我們有一段時間沒有談論過的一種動態情況，即使在較舊的技術中仍然可能發生，我僅以網路或電路為例，它們仍然主要由供應商直接銷售。而且我們仍然相信，就像我們正在談論先進技術一樣，有些供應商也猜想它們是什麼。他們正在尋找一種成本更低的方式來履行這些合同，這些合約在未來很多年內仍然有效。

And we believe there's still going to be some shift to the channel from the direct side of those businesses even with older technology, sometimes actually it's older technologies, the suppliers don't want their high compensated sales teams to focus on them. They want to focus on new. So we believe these older technologies can still have a long life, but no, they won't have double-digit growth rates like we called out, that doesn't mean we don't have single-digit growth rates in those older technologies, just to be clear.

我們相信，即使採用較舊的技術，這些業務的直接方面仍會有一些向通路的轉變，有時實際上是較舊的技術，供應商不希望他們的高薪銷售團隊專注於它們。他們想關注新事物。因此，我們相信這些老技術仍然可以有很長的生命週期，但它們不會像我們所說的那樣實現兩位數的成長率，這並不意味著這些老技術不會實現個位數的成長率，只是要明確一點。

Thank you. I would now like to turn the conference back to Steve Jones for closing remarks. Sir?

謝謝。現在我想請史蒂夫瓊斯致閉幕詞。先生？

Yeah. Thank you, and thank you for joining us. We expect to hold our next conference call to discuss March 31 quarterly results on Thursday, May 8 at approximately 10:30 AM.

是的。謝謝您，謝謝您加入我們。我們預計將於 5 月 8 日星期四上午 10:30 左右召開下一次電話會議，討論 3 月 31 日的季度業績。

This concludes today's conference call. Thank you for participating. You may now disconnect.

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。