Solaris Energy Infrastructure Inc (SEI) 2024 Q2 法說會逐字稿

Good day, and welcome to the Solaris Second Quarter 2024 Earnings Conference Call. (Operator Instructions) Please note today's event is being recorded.

美好的一天，歡迎參加 Solaris 2024 年第二季財報電話會議。（操作員說明）請注意今天的活動正在錄製中。

I would now like to turn the conference over to Yvonne Fletcher, Senior Vice President, Finance and Investor Relations. Please go ahead.

我現在想將會議交給財務和投資者關係高級副總裁伊馮·弗萊徹 (Yvonne Fletcher)。請繼續。

Thank you, operator. Good morning, and welcome to the Solaris Second Quarter 2024 Earnings Conference Call. Joining us today are our Chairman and CEO, Bill Zartler; and our President and CFO, Kyle Ramachandran.

謝謝你，接線生。早安，歡迎參加 Solaris 2024 年第二季財報電話會議。今天加入我們的是我們的董事長兼執行長 Bill Zartler；以及我們的總裁兼財務長凱爾·拉馬錢德蘭 (Kyle Ramachandran)。

Before we begin, I'd like to remind you of our standard cautionary remarks regarding the forward-looking nature of some of the statements that we will make today. Such forward-looking statements may include comments regarding our previously announced acquisition of Mobile Energy Rentals LLC, future financial results and reflect a number of known and unknown risks. Please refer to our press release issued yesterday, along with other recent public filings with the Securities and Exchange Commission that outline those risks.

在開始之前，我想提醒您注意我們今天將發表的一些聲明的前瞻性性質的標準警告性評論。此類前瞻性陳述可能包括有關我們先前宣布的收購 Mobile Energy Rentals LLC 的評論、未來財務業績，並反映一些已知和未知的風險。請參閱我們昨天發布的新聞稿，以及最近向美國證券交易委員會提交的其他公開文件，概述了這些風險。

I would also like to point out that our earnings release and today's conference call will contain discussion of non-GAAP financial measures, which we believe can be useful in evaluating our performance. The presentation of this additional information should not be considered in isolation or as a substitute for results prepared in accordance with GAAP. Reconciliations to comparable GAAP measures are available in our earnings release which is posted in the news section on our website. In addition, because this transaction is subject to shareholder approval at a special meeting, this communication and other materials are subject to certain proxy solicitation rules and guidelines.

我還想指出，我們的收益發布和今天的電話會議將包含對非公認會計準則財務指標的討論，我們認為這有助於評估我們的績效。不應孤立地考慮此附加資訊的呈現，也不應將其視為根據 GAAP 準備的結果的替代品。我們網站新聞部分發布的收益報告中提供了與可比較 GAAP 衡量標準的對帳。此外，由於本次交易需在特別會議上獲得股東批准，因此本通訊和其他資料須遵守某些委託書徵集規則和準則。

I'll now turn the call over to our Chairman and CEO, Bill Zartler.

現在我將把電話轉給我們的董事長兼執行長比爾‧札特勒 (Bill Zartler)。

Thank you, Yvonne, and thank you, everyone, for joining us this morning. During the second quarter, Solaris produced strong free cash flow, returned incremental cash to shareholders and continued to deliver value to our customers.

謝謝伊馮，也謝謝大家今天早上加入我們。第二季度，Solaris 產生了強勁的自由現金流，向股東返還了增量現金，並繼續為我們的客戶提供價值。

To recap our second quarter results, we generated $74 million in revenue, $21 million in adjusted EBITDA and $18 million of free cash flow. We returned $5 million to shareholders in dividends and recently announced a third quarter dividend of $0.12 per share, which will result in approximately $183 million returned to shareholders through dividends and share repurchases since 2018.

回顧第二季的業績，我們實現了 7,400 萬美元的營收、2,100 萬美元的調整後 EBITDA 和 1,800 萬美元的自由現金流。我們向股東返還了 500 萬美元的股息，最近宣布第三季股息為每股 0.12 美元，這將導致自 2018 年以來透過股息和股票回購向股東返還約 1.83 億美元。

After the quarter ended, we announced a transformative acquisition of Mobile Energy Rentals, or MER, that provides Solaris with an accretive entry into a new mobile distributed power product line with exposure to multiple end markets both within and outside the oilfield. Our acquisition of MER not only adds a great team and a current contracted business, but also provides us with the opportunity to invest primary capital to meet visible market demand for mobile distributed power. Both Solaris and MER are currently at exciting inflection points. Solaris is coming off a successful growth capital program where we introduced a new complementary product offering that is helping us earn more dollars per frac crew we follow.

本季結束後，我們宣布對 Mobile Energy Rentals (MER) 進行變革性收購，這為 Solaris 提供了進入新的行動分散式電源產品線的機會，從而涉足油田內外的多個終端市場。我們對MER的收購不僅增加了優秀的團隊和現有的合約業務，而且還為我們提供了投資主要資本的機會，以滿足行動分散式電源的可見市場需求。Solaris 和 MER 目前都處於令人興奮的轉折點。Solaris 正在完成一項成功的成長資本計劃，在該計劃中，我們推出了新的補充產品，幫助我們為我們關注的每位壓裂人員賺取更多美元。

Now with the build-out of this product line is complete, we are seeing a significant inflection in free cash flow generation. Our second quarter free cash flow of $18 million is the highest quarterly cash flow we've seen in four years, and we expect the core Solaris business will continue to generate significant free cash flow in future quarters as well.

現在，隨著該產品線的建設完成，我們看到自由現金流產生了重大變化。我們第二季的自由現金流為 1,800 萬美元，是我們四年來最高的季度現金流，我們預計核心 Solaris 業務在未來幾季也將繼續產生大量的自由現金流。

MER's inflection point is in its growth trajectory. MER is seeing demand growth across multiple end markets that underpins new growth investments in its mobile power generation assets. As a result, MER plans to more than triple its fleet size from roughly 150 megawatts today to approximately 500 megawatts by late next year. To execute this growth plan, MER needs access to capital, field service and corporate infrastructure, which Solaris can provide.

MER 的轉折點在於其成長軌跡。MER 看到多個終端市場的需求成長，這支撐了其移動發電資產的新成長投資。因此，MER 計劃在明年年底將其機隊規模從目前的約 150 兆瓦增加到三倍以上，增加到約 500 兆瓦。為了執行這項成長計劃，MER 需要獲得資金、現場服務和企業基礎設施，而 Solaris 可以提供這些。

Additionally, Solaris' engineering and manufacturing capability provides further potential operational synergies. And our presence on one-third of the completion sites in the US, combined with long-standing relationship with US oil and gas operators and midstream companies present attractive commercial cross-selling opportunities. So the timing of this combination and our respective inflection points in cash flow and growth trajectory couldn't happen at a better time, and we're excited to share progress with you about our combined businesses after our anticipated closing in the third quarter of 2024.

此外，Solaris 的工程和製造能力提供了進一步潛在的營運綜效。我們在美國三分之一的完井地點擁有業務，再加上與美國石油和天然氣運營商以及中游公司的長期關係，提供了有吸引力的商業交叉銷售機會。因此，這次合併的時機以及我們各自的現金流和成長軌跡拐點發生的時機再好不過了，我們很高興與您分享我們預計在 2024 年第三季結束後合併業務的進展情況。

Turning back to Solaris' wellsite equipment rental business. I'll give a brief overview of industry activity levels. During the second quarter, we saw the anticipated choppiness in US drilling and completions activity we referenced in our last earnings call, mostly due to a continued activity decline in natural gas-exposed basins as a result of low gas prices. Most of this decline appears to be behind us now and we saw stabilization in gas-exposed activity and continued strength in oil basins such as the Permian.

回到 Solaris 的井場設備租賃業務。我將簡要概述行業活動水平。在第二季度，我們看到了我們在上次財報電話會議中提到的美國鑽井和完井活動的預期波動，這主要是由於天然氣價格低廉導致天然氣暴露盆地的活動持續下降。現在，大部分下降似乎已經過去，我們看到天然氣暴露活動趨於穩定，二疊紀等石油盆地持續走強。

For the third quarter of 2024, we expect activity levels to be relatively flat with the second quarter. As I mentioned earlier, the Solaris Board recently approved our third quarter dividend of $0.12 per share, and I'd like to reiterate our commitment to shareholder returns. Solaris has an established track record of making strategic organic investments that drive earnings and cash flow growth. These investments have enabled Solaris to grow free cash flow and provide meaningful cash returns to shareholders. And throughout our most recent capital growth program, we continued to do both. We believe the MER acquisition introduces another opportunity to invest in a growing new product line, an attractive return and strengthen our ability to continue returning capital to our shareholders in the longer term.

對於 2024 年第三季度，我們預計活動水準將與第二季度相對持平。正如我之前提到的，Solaris 董事會最近批准了我們第三季每股 0.12 美元的股息，我想重申我們對股東回報的承諾。Solaris 在推動獲利和現金流成長的策略性有機投資方面擁有良好的記錄。這些投資使 Solaris 能夠增加自由現金流，並為股東提供有意義的現金回報。在我們最近的資本成長計劃中，我們繼續做到這兩點。我們相信，MER 收購帶來了另一個投資不斷增長的新產品線的機會、有吸引力的回報，並增強了我們繼續長期向股東返還資本的能力。

The diversification and growth of our pro forma earnings stream, combined with the longer-term nature of the distributed power contracts should support increased earnings power and cash flow resilience moving forward as compared to prior cycles. We will continue to focus on sustaining and growing our shareholder return programs, increasing our liquidity, strengthening our balance sheet and executing on the right organic and inorganic opportunities that enhance our return on capital.

與先前的周期相比，我們預期獲利流的多元化和成長，加上分散式電力合約的長期性質，應支持獲利能力和現金流彈性的提高。我們將繼續專注於維持和發展我們的股東回報計劃，增加我們的流動性，加強我們的資產負債表，並利用正確的有機和無機機會來提高我們的資本回報率。

With that, I will turn it over to Kyle for a more detailed financial review.

這樣，我會將其交給凱爾進行更詳細的財務審查。

Thanks, Bill, and good morning, everyone. I'll start by recapping our second quarter financial and operational results, and will also provide a transaction update.

謝謝比爾，大家早安。我將首先回顧我們第二季度的財務和營運業績，並將提供交易更新。

Operating cash flow was $19 million. After $1 million in capital expenditures, we generated $18 million in free cash flow, from which we returned $5 million to shareholders and paid down $14 million of our revolving credit facility at the end of the second quarter with total debt on our revolving credit facility of $16 million and net debt of $11 million.

營運現金流為 1900 萬美元。在100 萬美元的資本支出之後，我們產生了1800 萬美元的自由現金流，其中我們向股東返還了500 萬美元，並在第二季度末償還了1400 萬美元的循環信貸額度，我們的循環信貸額度的債務總額為1600萬美元，淨債務1100萬美元。

We ended the quarter with approximately $53 million of available liquidity. Our activity in the second quarter, as measured by fully utilized systems of 92, was down approximately 10% from the first quarter of 2024 and was in line with guidance. We followed an average of 56 frac crews, which was down from 64 frac crews in the first quarter of 2024.

本季結束時，我們可用的流動資金約為 5,300 萬美元。根據 92 個充分利用的系統衡量，我們第二季的活動比 2024 年第一季下降了約 10%，符合指導方針。我們平均追蹤了 56 名壓裂人員，低於 2024 年第一季的 64 名壓裂人員。

Ancillary services' contribution improved in the second quarter sequentially due to an increase in fleets that utilize last-mile trucking services and an increase in tonnes delivered per day. Excluding a $2 million benefit from a favorable property tax settlement in cost of service, total annualized contribution margin per fully utilized system was roughly flat sequentially at $1.1 million. On a per frac crew followed basis, total annualized contribution margin improved 6% sequentially to nearly $1.9 million as a larger percentage of wellsites were serviced by multiple pieces of Solaris equipment.

由於使用最後一哩卡車運輸服務的車隊數量增加以及每天交付的噸數增加，第二季輔助服務的貢獻有所改善。排除服務成本方面有利的財產稅結算帶來的 200 萬美元收益，每個充分利用的系統的年化邊際貢獻總額與上一季基本持平，為 110 萬美元。以每位壓裂人員追蹤計算，年化總邊際貢獻率較上季提高了 6%，達到近 190 萬美元，因為越來越多的井場由多台 Solaris 設備提供服務。

SG&A in the second quarter was approximately $8 million and included noncash stock-based compensation of $2.7 million. Excluding the impact of the property tax settlement, working capital use was neutral. As mentioned, capital expenditures in the second quarter were approximately $1 million.

第二季的 SG&A 約為 800 萬美元，其中包括 270 萬美元的非現金股票薪酬。排除財產稅結算的影響，營運資金使用呈中性。如前所述，第二季的資本支出約為 100 萬美元。

Turning to our guidance for the third quarter. As Bill mentioned, we expect US land completion activity to be relatively flat from average second quarter levels in the third quarter as natural gas weakness appears to have bottomed, and oil prices continue to support stable activity in basins such as the Permian. We expect SG&A in the third quarter to be relatively flat sequentially at approximately $8 million. We expect the pro forma tax rate to be approximately 26% and the pre-transaction closed pro forma dilutive share count to be flat at 44.3 million shares. For the third quarter, we expect Solaris' adjusted EBITDA to be roughly flat sequentially at $20 million to $21 million, excluding any impact from the transaction.

轉向我們第三季的指引。正如比爾所提到的，我們預計第三季美國土地竣工活動將與第二季平均水平相對持平，因為天然氣疲軟似乎已經觸底，油價繼續支持二疊紀等盆地的穩定活動。我們預計第三季的 SG&A 與上一季持平，約 800 萬美元。我們預計預計稅率約為 26%，交易前結束的預期稀釋性股票數量將持平於 4,430 萬股。對於第三季度，我們預計 Solaris 調整後的 EBITDA 將與上一季大致持平，為 2,000 萬美元至 2,100 萬美元，不包括交易的任何影響。

I will now provide a brief update on the MER acquisition timeline. We filed our definitive proxy this week and mailing has commenced, the proxy materials, to our stockholders. Special meeting of our stockholders relating to the transaction is scheduled for August 30, 2024. We continue to expect the transaction to close in the third quarter subject to stockholder and HSR approval and the completion of other customary closing conditions. We are excited about closing the acquisition and bringing the MER team on board.

我現在將提供 MER 收購時間表的簡要更新。我們本週提交了最終委託書，並且已開始向我們的股東郵寄委託書資料。有關該交易的股東特別會議定於 2024 年 8 月 30 日舉行。我們仍預期該交易將在第三季完成，但須經股東和 HSR 批准以及其他慣例成交條件的完成。我們很高興能夠完成收購並讓 MER 團隊加入。

With that, we'd be happy to take your questions.

因此，我們很樂意回答您的問題。

(Operator Instructions) Luke Lemoine, Piper Sandler.

（操作說明）Luke Lemoine、Piper Sandler。

Bill and Kyle, you both talked about 3Q and just kind of the interplay in the frac market. I think you basically said you see it stabilizing. Bill, you always have a really pragmatic view, what's happening in the completion market. Wondering if you could just stretch out a little bit and maybe talk about how you see 4Q unfolding and then also maybe the beginning of '25, if you have any visibility at this point?

比爾和凱爾，你們都談到了第三季以及壓裂市場的相互作用。我想你基本上是說你看到它穩定下來。比爾，您對竣工市場正在發生的事情總是有非常務實的看法。想知道您是否可以稍微伸展一下，也許談談您如何看待第四季度的發展，然後也可能是 25 年初，如果您現在有任何了解的話？

Well, I think that right now, it feels like budgets are sort of set. You've had the consolidation where you may be netting down one here up one there. It just feels like this market has been pretty stable. And I think the election may have something to do with, but more likely, it's about capital spending from the upstream sector. So I don't see a radical change one way or another going into the first quarter of next year. You may see the gas activity pick up a little bit early next year, probably not in the fourth quarter yet. So I really don't see anything that at this point tells me we're going to have a radical shift one way or another.

嗯，我認為現在感覺預算已經確定了。你已經進行了整合，你可能會在這裡淨賺一筆，那裡淨賺一筆。感覺這個市場一直相當穩定。我認為可能與選舉有關，但更可能的是與上游部門的資本支出有關。因此，我認為明年第一季不會出現任何根本性變化。您可能會在明年初看到天然氣活動回升，但可能還沒到第四季。所以我目前還沒有看到任何跡象表明我們將會以某種方式發生根本性的轉變。

(Operator Instructions) Stephen Gengaro, Stifel.

（操作員說明）Stephen Gengaro，Stifel。

I guess maybe two for me. The first, on the wellsite storage side, the results were obviously very good relative, I think, to the market. And what I was curious about is, I know you've talked in the past about kind of the potential for market share gains given some of the new technology rollouts and the flexibility of the systems. Can you speak to that? Have you seen that? And maybe on top of that, what are sort of the key markets that you would most likely see that if there are any markets that kind of jump out?

我想對我來說也許有兩個。首先，在井場儲存方面，我認為相對於市場而言，結果顯然非常好。我很好奇的是，我知道您過去曾談論過鑑於一些新技術的推出和系統的靈活性，市場份額增長的潛力。你能談談嗎？你見過嗎？也許最重要的是，如果有任何市場出現這種情況，您最有可能看到哪些關鍵市場？

Well, I think what you're referring to is probably as we launched the top fill loading system, which allowed us to eliminate pneumatic trucks and bringing bigger loads, that's really positioned us well to take on business in the Rockies. And we're now doing some additional work up in the Northeast and see the benefits of these larger loads means another 10 less trucks to deliver sand onto a wellsite, especially in those rural areas in the Northeast where the roads are narrow and it's tough to do that. So I do see us continuing to see places where that actually works.

嗯，我想你指的可能是我們推出了頂部填充裝載系統，它使我們能夠消除氣動卡車並帶來更大的負載，這確實使我們能夠在落基山脈開展業務。我們現在正在東北部做一些額外的工作，看到這些更大的負載的好處意味著再減少10 輛卡車將沙子運送到井場，特別是在東北部的農村地區，道路狹窄，很難運輸沙子。所以我確實看到我們繼續尋找真正有效的地方。

There has still been a momentum on wet sand as well. And we've seen wins and losses on that, and our technology continues to be positioned to take some of that with the proximity mine. So I think it's -- the market is, like I said, look, it's fairly stable. I mean, around the edges, we see where we can win some business and are doing so with our technology, but you're not going to see double-digit percentage changes in this business, I don't think, for the next couple of quarters.

濕沙上也仍有勢頭。我們已經看到了這方面的勝利和失敗，我們的技術繼續定位於利用近距離地雷來解決其中的一些問題。所以我認為，就像我說的，市場相當穩定。我的意思是，在邊緣，我們看到我們可以在哪裡贏得一些業務，並正在利用我們的技術來做到這一點，但我認為，對於接下來的幾個業務，你不會看到該業務出現兩位數的百分比變化宿舍。

And as far as exposure to the gas basins. I'm thinking Haynesville and a, kind of where do you stand in the Haynesville and b, if we were to start to see a pickup around sort of gas export, source gas, you guys generally get a little bit of an earlier look, I think, on the completion side and kind of prepping for that. Have you seen or when would you expect to maybe start to see an uptick around gas activity?

就暴露於天然氣盆地而言。我在想海恩斯維爾和a，你在海恩斯維爾和b的位置，如果我們開始看到天然氣出口、來源天然氣方面的回升，你們通常會更早地看到，我認為，在完成方面以及為此做準備。您是否已經看到或您預計什麼時候會開始看到天然氣活動的增加？

I think -- I'll make a couple of points. I don't know that we have a clear line of sight into pickup and say the Haynesville. I think Bill has very well spoken around just the flatness in the short term here. But I think what is important to highlight is the balance sheet is well prepared with a lot of torque. We've got undeployed assets or assets that are ready to be deployed that have been upgraded for the bucket elevator compatibility.

我想——我會提出幾點。我不知道我們對皮卡的視線是否清晰，例如海恩斯維爾。我認為比爾已經很好地談到了短期內的平穩性。但我認為重要的是要強調的是，資產負債表已經做好充分準備，並且具有很大的扭矩。我們有未部署的資產或準備部署的資產，這些資產已針對斗式提昇機相容性進行了升級。

And so we've got a lot of torque inside of the company to be ready for an increase in activity, whether it be in the Haynesville or anywhere else. All of our assets are highly mobile and we've been able to redeploy those assets over the last 10 years, depending on where market activity has been stronger.

因此，我們公司內部有很大的動力，為增加活動做好準備，無論是在海恩斯維爾還是其他任何地方。我們所有的資產都具有高度流動性，並且在過去 10 年中我們能夠根據市場活動較為強勁的地區重新部署這些資產。

As Bill alluded to, we've expanded significantly in the Rockies over the last couple of years. The Permian is still our largest base of activity. But I think what's really compelling and sits within our business is a lot of untapped earnings that could be turned on quite quickly. And as we saw in the second quarter, and we continue to see over multiple quarters here of late is that free cash flow is really starting to build in this core wellsite rental business.

正如比爾所提到的，過去幾年我們在落基山脈的業務大幅擴張。二疊紀仍然是我們最大的活動基地。但我認為，我們業務中真正引人注目的，是大量未開發的收入，這些收入可以很快實現。正如我們在第二季度看到的那樣，並且我們在最近的多個季度中繼續看到，自由現金流確實開始在這一核心井場租賃業務中建立。

And so we see that continuing to be a strong driver of optionality for our company as highlighted in what we're doing with the MER acquisition. So I think whether it's Haynesville or anywhere else, we're ready to go. We've got capacity, and we've got a motivated team that's ready to continue to grow with customers.

因此，我們認為這將繼續成為我們公司選擇性的強大推動力，正如我們在 MER 收購中所強調的那樣。所以我認為無論是海恩斯維爾還是其他任何地方，我們都準備好了。我們有能力，也有一支積極進取的團隊，隨時準備繼續與客戶一起成長。

Great. And then if I could just throw in one more. And I know this is a really early question, but when you look at the acquisition of US Silica and the sort of their sandbox product. Do you think that acquisition has any impact on you guys?

偉大的。然後如果我可以再加一個的話。我知道這是一個非常早期的問題，但是當你看看對 US Silica 的收購以及他們的沙盒產品時。您認為這次收購對你們有什麼影響嗎？

No. I mean taking it private, it's the same business. I don't think that it's going to change their position in the market.

不。我的意思是把它私有化，這是同樣的事情。我認為這不會改變他們在市場上的地位。

Okay. Great. Now I was just curious, I thought that would be your answer, but I figured I'd ask, and I appreciate your time.

好的。偉大的。現在我只是好奇，我以為這就是你的答案，但我想我會問，並且感謝你的時間。

John Daniel, Daniel Energy Partners.

約翰‧丹尼爾，丹尼爾能源合夥人。

Bill, Kyle, and Yvonne, this might be a little bit premature, but if you just kind of step back and think three to five years from now, what portion of the MER business would you like to see tied to stuff outside of oil and gas? And do you think there's an opportunity, long term, to take that international. Just your thoughts, any work you've done there?

Bill、Kyle 和 Yvonne，這可能有點為時過早，但如果您退後一步思考三到五年後，您希望看到 MER 業務的哪一部分與石油和石油以外的其他產品相關聯？長遠來看，您認為有機會走向國際化嗎？只是你的想法，你在那裡做過什麼工作嗎？

I think our forecast is -- our time horizon view is that out a year, I think we say it's going to be 50-50. It may be a little heavily weighted to the data center world. Those tend to be larger chunks and larger installations. So it could be weighted a little heavier there.

我認為我們的預測是——我們的時間範圍觀點是一年後，我認為我們說這將是 50-50。它對於資料中心領域來說可能有點重。這些往往是更大的塊和更大的裝置。所以它的重量可以重一點。

Absolutely, the growth of power globally is here, it's here to stay. This equipment works very well in lots of places. It's got compatibility with different fuels and can handle a relatively wide range of gas composition depending on where you need the power. So we're not afraid to go outside if that makes the most sense, where we, at this point, solely focused in US, North America and have a pretty good backlog of visibility to where the equipment will go to work, which we'll be talking about in the coming --

毫無疑問，全球力量的成長已經到來，而且將持續下去。該設備在許多地方都運作良好。它與不同的燃料相容，並且可以根據您需要電力的地方處理相對廣泛的氣體成分。因此，如果最有意義的話，我們不會害怕走出去，目前我們只專注於美國和北美，並且對設備將在哪里工作有相當好的積壓可見性，我們即將談論--

Fair enough. Just curious. That's all I had.

很公平。只是好奇。這就是我所擁有的一切。

John. I would just add that the MER team has a pretty extensive experience in developing various power projects globally. So that's a critical asset that they bring to the deal as well.

約翰.我想補充一點，MER 團隊在全球開發各種電力專案方面擁有相當豐富的經驗。因此，這也是他們為這筆交易帶來的重要資產。

Okay. Great. Good to know.

好的。偉大的。很高興知道。

Don Crist, Johnson Rice.

唐克里斯特、約翰遜賴斯。

Just one for me on MER. Since the announcement of the acquisition, have you seen any kind of increased demand or interest amongst customers that may have been existing on the Solaris' side. Just any kind of thoughts around demand? Has it picked up since you've announced the deal?

MER 上只有我一個。自宣布收購以來，您是否發現 Solaris 方面的客戶需求或興趣增加？只是關於需求的任何想法嗎？自從你宣布這筆交易以來，情況有所改善嗎？

Certainly. I mean we clearly are in contact with a lot of folks, and we've had much dialogue going on since that acquisition about needs. The utilities continue to struggle, especially in West Texas and New Mexico and how we're going to get the power to the installations and a lot of those are our current customers and trust our ability to get it to work. And so there has been that synergy that we talked about, I think it's real. And we bring up -- MER is just really in their inflection point, as I said. So our team and our reach, both commercially and operationally, is going to lead to a real benefit for the overall new Solaris going forward.

當然。我的意思是，我們顯然與許多人保持聯繫，自收購以來我們就需求進行了許多對話。公用事業公司繼續陷入困境，特別是在西德克薩斯州和新墨西哥州，我們將如何為這些設施提供電力，其中許多是我們當前的客戶，並相信我們有能力使其正常運作。因此，我們談到了協同作用，我認為這是真實的。正如我所說，MER 確實處於轉折點。因此，我們的團隊和我們在商業和營運方面的影響力將為整個新 Solaris 的未來帶來真正的好處。

I appreciate that. And Kyle, maybe one for you. Did I hear correctly that you're still looking for HSR approval and any kind of milestones that you need to get through before you can close?

我很欣賞這一點。凱爾，也許適合你。我沒聽錯吧，您仍在尋求 HSR 批准以及在關閉之前需要完成的任何里程碑？

Yes, we're a couple of weeks away from hearing back from the FTC regarding HSR and we did file the definitive proxy. So that's on file. We've got the shareholder vote set. So things are progressing well here and just a couple of more milestones to get to closing.

是的，我們距離聯邦貿易委員會 (FTC) 關於 HSR 的回應還有幾週時間，我們確實提交了最終委託書。所以這已經記錄在案了。我們已經確定了股東投票。所以這裡的事情進展順利，距離結束還有幾個里程碑。

I appreciate it. I'll turn it back.

我很感激。我會把它轉回來。

And this concludes our question-and-answer session. I'd like to turn the conference back over to the company for any closing remarks.

我們的問答環節到此結束。我想將會議轉回公司進行閉幕致詞。

Thanks, Rocco. As I mentioned in last quarter's call, this year marks Solaris' 10-year anniversary since our founding. When I look back over the last decade, I'm amazed at what we've accomplished as a team as far and we far exceeded our original goals that we laid out. We've identified the next leg of the business tool with MER and believe we have the right business with the right people that can help position Solaris for the next 10 years.

謝謝，羅科。正如我在上個季度的電話會議中提到的，今年是 Solaris 成立 10 週年。當我回顧過去十年時，我對我們作為一個團隊所取得的成就感到驚訝，並且遠遠超出了我們最初設定的目標。我們已經透過 MER 確定了業務工具的下一步，並相信我們與合適的人員擁有合適的業務，可以幫助確定 Solaris 在未來 10 年的定位。

I'd like to thank all of our employees, customers and suppliers for their continued partnership in making Solaris a success over the last decade. As we think about the next 10 years, we're excited about building new relationships and delivering both innovative solutions for our current business line customers and providing solutions that our new customers will highly value. Thank you all, and we look forward to sharing our progress with you in a few months.

我要感謝我們所有的員工、客戶和供應商，感謝他們在過去十年中持續的合作，讓 Solaris 成功了。當我們思考未來 10 年時，我們很高興能夠建立新的關係，為我們目前的業務線客戶提供創新的解決方案，並提供我們的新客戶高度重視的解決方案。謝謝大家，我們期待在幾個月後與大家分享我們的進展。

Thank you, sir. This concludes today's conference call. We thank you all for attending today's presentation. You may now disconnect your lines, and have a wonderful day.

謝謝您，先生。今天的電話會議到此結束。我們感謝大家參加今天的演講。您現在可以斷開線路，度過美好的一天。