Shyft Group Inc (SHYF) 2024 Q4 法說會逐字稿

Good morning and welcome to the shift Group's 4th quarter and full year 2024 conference call and webcast. All participants will be in listen-only mode until the question-and-answer session of the conference call. As a reminder, this call is being recorded. I would now like to introduce Randy Wilson, Vice President of Investor Relations and Treasury for The Shyft Group. Please go ahead.

早安，歡迎參加Shift Group 2024 年第四季和全年電話會議和網路廣播。所有參與者將處於只聽模式，直到電話會議的問答環節。提醒一下，本次通話正在錄音。現在我想介紹 Shyft 集團投資者關係和財務副總裁 Randy Wilson。請繼續。

Good morning, and thank you for joining us. Today, you will hear from John Dunn, President and Chief Executive Officer; and Jon Douyard, Chief Financial Officer. Their prepared remarks will be followed by a question-and-answer session. Before I begin, please turn to slides 2 and 3 of the presentation for a safe harbor.

早安，感謝您加入我們。今天，您將聽到總裁兼執行長約翰鄧恩 (John Dunn) 的演講；以及財務長 Jon Douyard。他們準備好的發言之後將進行問答環節。在我開始之前，請翻到簡報的第 2 張和第 3 張投影片，以獲得安全港。

Today's conference call contains forward-looking statements which are subject to a risk that could cause action results to be entirely different from those expressed or implied. Primary risks that management believes can materially affect the results are identified in our forms 10K and 10Q filed with the SEC.

今天的電話會議包含前瞻性陳述，這些陳述存在風險，可能會導致行動結果與明示或暗示的結果完全不同。管理層認為可能對結果產生重大影響的主要風險已在我們向美國證券交易委員會提交的 10K 和 10Q 表格中列明。

We will be discussing non-gap information and performance measures which we believe are useful in evaluating the company's operating performance. Reconciliations for these non-gap measures can be found in the conference call materials.

我們將討論我們認為有助於評估公司經營績效的非差距資訊和績效衡量標準。這些非差距措施的對帳可以在電話會議資料中找到。

We'll begin with a business overview from John, followed by Scott's review of 4th quarter financial results in our 2025 outlook. John will finish up our presentation with an update on our pending merger with Abby Schmidt. We'll then open the line for Q&A.

我們將首先從約翰的業務概述開始，然後是斯科特對我們 2025 年展望中第四季度財務業績的回顧。約翰將透過介紹我們與艾比施密特即將進行的合併的最新情況來結束我們的演講。然後我們將開通問答熱線。

Please turn to slide 4, and I'll turn it over to John, who'll begin today's prepared remarks.

請翻到投影片 4，我將把它交給約翰，他將開始今天的準備好的發言。

Thank you, Randy, and good morning. Welcome to our earnings call, and we appreciate your interest in the Shyft group. 2024 was an incredible year for our company. We made significant strides in advancing our strategy, delivered operational improvements, and achieved solid financial performance.

謝謝你，蘭迪，早安。歡迎參加我們的收益電話會議，我們感謝您對 Shyft 集團的關注。 2024 年對我們公司來說是不可思議的一年。我們在推進策略方面取得了重大進展，實現了營運改進，並實現了穩健的財務表現。

In December we announced a powerful next step in Shyft journey, our proposed merger with Abby Schmidt, a leading global specialty vehicles company. Together we will create a highly competitive specialty vehicles leader with enhanced scale, capabilities, and expertise and deeper customer relationships as we combine the strengths of both companies.

12 月，我們宣布了 Shyft 旅程的下一步重要舉措，即與全球領先的特種車輛公司 Abby Schmidt 進行合併。我們將結合兩家公司的優勢，共同打造一家規模更大、能力更強、專業知識更豐富、客戶關係更深入的極具競爭力的專用車輛領導者。

Let's kick off this morning with some highlights from the past year at the Shyft Group. The talented shift team has been highly engaged in implementing operational and commercial improvements throughout 2024, and we are seeing improved results.

今天上午，我們先來回顧 Shyft 集團過去一年的一些亮點。才華橫溢的輪班團隊在 2024 年一直積極致力於實施營運和商業改進，並且我們看到了更好的結果。

We consistently improved our financial performance, driven by our intense focus on increasing operational and organizational efficiencies across our company. By leveraging a one shift mindset, we are streamlining our corporate structure and managing costs to deliver margin improvement. These efforts resulted in meaningful adjusted EIA growth for the company with margins of 6.2% up 160 basis points year over year.

我們高度重視提高整個公司的營運和組織效率，從而不斷提高財務表現。透過利用「一班制」思維模式，我們正在簡化公司結構並管理成本，以提高利潤率。這些努力使公司的調整後 EIA 利潤率實現了有意義的成長，達到 6.2%，比去年同期成長了 160 個基點。

Despite a soft parcel market, our fleet vehicles and services business expanded margins to 7.2%, up 160 basis points year over year by driving operational performance. This is a testament to our team's strategic approach to controlling what they can control.

儘管包裹市場疲軟，但我們的車隊車輛和服務業務透過推動營運業績，將利潤率擴大至 7.2%，年增 160 個基點。這證明了我們團隊對控制所能控制的事物的戰略方法。

Specialty vehicles continued strong even of margins, were supported by focused execution and steady demand for infrastructure trucks bodies. Our balance sheet remains solid with net leverage less than 2 times, allowing us the flexibility to invest in strategic initiatives that support our growth going forward. This financial strength enables us to capture new opportunities and drive long-term success.

專用車輛持續保持強勁的利潤率，這得益於專注的執行和對基礎設施卡車車身的穩定需求。我們的資產負債表保持穩健，淨槓桿不到2倍，這使我們能夠靈活地投資於支持我們未來成長的策略性舉措。這種財務實力使我們能夠抓住新的機會並推動長期成功。

Finally, we are pleased to bring Blue Art to production as we successfully shift EV trucks to FedEx, which is an exciting milestone for our entire shift team. This achievement underscores our commitment to meeting the complex needs of our fleet partners and serving as their partner of choice as a transition to more sustainable fleet operations. Turning to slide 5, we outline our operating framework, which has guided shift in 2024 as we drove improvements across our business.

最後，我們很高興將 Blue Art 投入生產，因為我們成功地將電動卡車轉移到聯邦快遞，這對我們整個輪班團隊來說是一個令人興奮的里程碑。這項成就凸顯了我們致力於滿足船隊合作夥伴的複雜需求，並成為他們向更永續的船隊營運過渡的首選合作夥伴。翻到投影片 5，我們概述了我們的營運框架，該框架指導了 2024 年的轉變，推動了整個業務的改進。

Strengthening talent, improving leadership training, and ensuring safety with our Mission Zero initiative, we reduced workplace injuries by 40% in 2024. Lean manufacturing and efficiency initiatives lowered costs and improved competitiveness in the market.

透過加強人才、改進領導力培訓以及透過「零任務」計畫確保安全，我們在 2024 年將工作場所傷害減少了 40%。精益製造和效率措施降低了成本並提高了市場競爭力。

In summary, we are proud of the work we have done this year, and I would like to thank our team. Without their dedication and skill sets, our accomplishments would not be possible. I would now like to welcome Scott Ocholik to his first Shyft earnings call. And he will provide a detailed review of our financial results and 2025 outlook.

總而言之，我們為今年所做的工作感到自豪，並感謝我們的團隊。如果沒有他們的奉獻和技能，我們的成就就不可能實現。現在，我歡迎 Scott Ocholik 參加他的第一次 Shyft 收益電話會議。他將對我們的財務表現和2025年展望進行詳細回顧。

Thank you, John. First, I'd like to take a moment to introduce myself. I have been with Shyft for over 5 years, serving as the company's Chief Accounting Officer and corporate controller. I have over 25 years of experience in the global automotive supply and specialty vehicle markets, and I'm very excited to have the opportunity to be the interim CFO here at Shyft.

謝謝你，約翰。首先，我想花點時間介紹一下自己。我已經在 Shyft 工作了 5 年多，擔任公司的首席會計官和公司財務總監。我在全球汽車供應和特種車輛市場擁有超過 25 年的經驗，我很高興有機會擔任 Shyft 的臨時財務長。

I look forward to meeting many of you over the next several weeks. With that said, please turn to slide 7, and I will start with an overview of our 4th quarter financial results.

我期待在接下來的幾週內與你們見面。話雖如此，請翻到第 7 張投影片，我將首先概述我們的第四季財務表現。

Overall, our team delivered meaningful improvement in profitability in the fourth quarter. Sales for the quarter were $201.4 million down slightly from $202.3 million in the prior year. Our GAAP net loss was $3.4 million or $0.10 per share compared to a net loss of $4.4 million or $0.13 per share in the previous year. The net loss for the quarter was negatively impacted by $8.5 million of transaction costs related to the pending merger with Abby Schmidt.

總體而言，我們的團隊在第四季度實現了盈利能力的顯著提升。本季銷售額為 2.014 億美元，較上年同期的 2.023 億美元略有下降。我們的 GAAP 淨虧損為 340 萬美元或每股 0.10 美元，而去年的淨虧損為 440 萬美元或每股 0.13 美元。本季淨虧損受到與 Abby Schmidt 即將進行的合併相關的 850 萬美元交易成本的負面影響。

On an adjusted basis, EBITDA was $15.9 million for the quarter, or 7.9% of sales, up from $2.3 million or 1.1% of sales in the fourth quarter of 2023. These results include a $5.8 million of EV spend. Which is down from 9.3 million in the prior year. Adjusted net income for the quarter was $5 million and adjusted EPS increased to $0.15 per share compared to a loss of $900,000 or a negative $0.03 per share in the fourth quarter of 2023.

經調整後，本季 EBITDA 為 1,590 萬美元，佔銷售額的 7.9%，高於 2023 年第四季的 230 萬美元或 1.1%。這些結果包括 580 萬美元的 EV 支出。與上一年的 930 萬相比有所下降。本季調整後淨收入為 500 萬美元，調整後每股收益增至 0.15 美元，而 2023 年第四季虧損 90 萬美元或每股虧損 0.03 美元。

Please turn to slide 8, and I will walk through our results by operating segment. In the quarter, our fleet vehicles and service segment achieved sales of $110.7 million down 7% compared to $119 million a year ago, reflecting continued softness in walk-in vans offset by higher volumes in heavy upfits.

請翻到第 8 張投影片，我將以營運部門介紹我們的業績。本季度，我們的車隊車輛和服務部門的銷售額為 1.107 億美元，較去年同期的 1.19 億美元下降 7%，這反映出步入式貨車的持續疲軟被重型改裝車銷量的增加所抵消。

Adjusted EBITDA for the quarter was $12.1 million versus a loss of $2.6 million a year ago with higher productivity offset by lower volume. Adjusted EBITDA margin, improved to 10.9% of sales compared to a negative 2.2% in the fourth quarter of last year. This marginal improvement speaks to the strength of our team and the operational achievements made throughout the year, despite the continued challenging environment for parcel demand.

本季調整後的 EBITDA 為 1,210 萬美元，而去年同期虧損 260 萬美元，生產力提高被產量下降所抵銷。調整後的 EBITDA 利潤率從去年第四季的負 2.2% 提高至銷售額的 10.9%。儘管包裹需求環境持續充滿挑戰，但這一微小的改善體現了我們團隊的實力和全年的營運成就。

FBS backlog was $244.8 million at year end, down 24.7% versus 2023, reflecting continued softness and parcel. But on a positive note, we did achieve market share gains in our walk-in ban product line during these challenging times.

截至年底，FBS 積壓訂單為 2.448 億美元，較 2023 年下降 24.7%，反映出持續的疲軟和包裹需求。但從積極的一面來看，在這些充滿挑戰的時期，我們的步入式禁令產品線確實實現了市場份額的成長。

Turning the specialty vehicles segment, our team closed out 2024 with profitability in line with the prior year as our infrastructure-focused vocational truck businesses delivered solid results, offsetting the ongoing market weakness in motor home.

轉向專用車輛領域，我們的團隊在 2024 年結束時的盈利能力與上一年持平，因為我們以基礎設施為重點的職業卡車業務取得了穩健的業績，抵消了房車市場持續的疲軟。

Fourth quarter sales were $87.5 million a 5% increase from $83.4 million in the prior year. Adjusted EBITDA was $16.6 million or 19% of sales compared to $19 million or 22.8% of sales in the same period last year. This strong overall profitability was driven by the steady demand for infrastructure-related vocational trucks. As the backlog was $68.5 million at the end of the year, down 18.8% versus 2023. This was driven primarily by a decrease in motorhome orders.

第四季銷售額為 8,750 萬美元，較去年同期的 8,340 萬美元成長 5%。調整後的 EBITDA 為 1,660 萬美元，佔銷售額的 19%，而去年同期為 1,900 萬美元，佔銷售額的 22.8%。強勁的整體獲利能力是由基礎設施相關職業卡車的穩定需求所推動的。由於年底積壓訂單為 6,850 萬美元，較 2023 年下降 18.8%。這主要是由於房車訂單減少所致。

Please turn to slide 9 for our 2025 outlook. With our improved financial results and continued margin expansion this quarter, we are poised to continue this momentum into 2025. Our focus remains on driving growth and profitability improvement. We do, however, remain cautious as we enter 2025 on near-term demand for parcel and motorhome vehicles as we expect the softness to persist through mid-year.

請翻到第 9 張投影片，了解我們對 2025 年的展望。隨著本季財務表現的改善和利潤率的持續擴大，我們準備將這一勢頭延續到 2025 年。我們的重點仍然是推動成長和提高獲利能力。然而，在進入 2025 年之際，我們對包裹車和房車的近期需求仍保持謹慎，因為我們預計疲軟態勢將持續到年中。

We do anticipate a modest recovery in both the parcel and motorhome markets in the second half of the year. While continuing to be strong, we are also closely monitoring infrastructure spend and the potential impacts it may have on our vocational truck business.

我們確實預計今年下半年包裹和房車市場都會出現溫和復甦。在繼續保持強勁勢頭的同時，我們也在密切關注基礎設施支出及其對我們的職業卡車業務可能產生的潛在影響。

We expect year over year growth as blue art production is underway and we will reach near breakeven profitability for the full year. Given these factors and notwithstanding further changes in the operating environment, we are introducing our 2025 outlook as follows.

隨著藍色藝術品的生產正在進行中，我們預計年增長率將有所提高，全年盈利將接近盈虧平衡。考慮到這些因素，儘管經營環境進一步發生變化，我們仍將 2025 年展望介紹如下。

We expect sales to be in the range of $870 to $970 million. This includes approximately $50 million related to Blue Ark. Full year adjusted EBITDA in the range of $62 to $72 million. Consistent with historical patterns and seasonality, we expect a slow start to the year and anticipate the first quarter adjusted EBITDA to be in the low single digits.

我們預計銷售額將在 8.7 億美元至 9.7 億美元之間。其中包括與藍色方舟相關的約 5000 萬美元。全年調整後 EBITDA 在 6,200 萬至 7,200 萬美元之間。與歷史模式和季節性一致，我們預計今年開局將較為緩慢，並預計第一季調整後的 EBITDA 將處於低個位數。

As we see a second half recovery in our markets, we expect around 70% of full year adjusted EBITDA to be delivered in the second half of the year. We expect adjusted EPS in the range of $0.69 to $0.92 per share and free cash flow of $25 to $30 million up meaningfully on a year over year basis. This includes approximately $20 million of transaction-related cash expected to be paid during the year.

隨著我們看到市場在下半年復甦，我們預計全年調整後 EBITDA 的 70% 左右將在下半年實現。我們預計調整後的每股盈餘將在 0.69 美元至 0.92 美元之間，自由現金流將在 2,500 萬至 3,000 萬美元之間，較去年同期大幅成長。其中包括預計年內支付的約 2,000 萬美元交易相關現金。

We remain committed to driving further improvements in our financial performance as our end markets recover and we finalize the proposed merger with Abby Schmidt. With that, I will turn it back over to John to provide an update on the merger.

隨著終端市場的復甦以及與 Abby Schmidt 的合併提案的最終完成，我們將繼續致力於進一步改善我們的財務表現。說完這些，我將把話題轉回給約翰，讓他提供有關合併的最新情況。

Thanks, Scott, and please turn to slide 11. This proposed merger with Abby Schmidt presents a compelling opportunity for our shareholders, customers, and employees. By bringing our businesses together, we are creating a differentiated leader in the specialty vehicles space with a robust presence in the North American market, where approximately 75% of our revenues will be generated.

謝謝，斯科特，請翻到第 11 張幻燈片。此次與 Abby Schmidt 的合併為我們的股東、客戶和員工提供了一個絕佳的機會。透過整合我們的業務，我們將在專用車輛領域打造一個差異化的領導者，並在北美市場佔據強大的地位，我們的約 75% 的收入將來自北美市場。

This strategic move positions us to capture growth opportunities in high margin and markets, including commercial infrastructure. For our customers, the merger will provide a highly complementary and expanded suite of products and services driven by our unwavering focus on customer centric innovation and deep customer relationships.

這項策略舉措使我們能夠抓住高利潤市場（包括商業基礎設施）的成長機會。對於我們的客戶而言，此次合併將提供高度互補且擴展的產品和服務套件，這將由我們堅定不移地專注於以客戶為中心的創新和深厚的客戶關係所推動。

For shareholders, the combined company will have a stronger financial profile and will drive value by capitalizing on synergies, expanding our product offerings, and leveraging our team's expertise.

對於股東而言，合併後的公司將擁有更強大的財務狀況，並將透過利用協同效應、擴大我們的產品供應以及利用我們團隊的專業知識來創造價值。

Our people share a common commitment to operational excellence, customer focus, and innovation. Making us confident in our collective success. We believe that this merger is in the best interest of our shareholders, customers, and team members.

我們的員工共同致力於卓越營運、客戶至上和創新。讓我們對共同的成功充滿信心。我們相信此次合併符合我們股東、客戶和團隊成員的最佳利益。

Now turn to slide 12 and I will discuss the integration work which is well underway. Since announcing the transaction, we've made solid progress towards completing the actions needed to close. In January, we provided data reinforcing the merger's value creation potential, including additional information on Abby Schmidt's strong financial projections and market leadership.

現在翻到第 12 張投影片，我將討論正在順利進行的整合工作。自從宣布交易以來，我們在完成交易所需的各項工作方面取得了堅實的進展。一月份，我們提供了強化合併價值創造潛力的數據，包括有關 Abby Schmidt 強勁的財務預測和市場領導地位的附加資訊。

We achieved HSR antitrust approval and are making progress in other regulatory closing conditions. We're leveraging both Schiff and Abby Schmidt's strong track records of successfully integrating businesses and have established a joint integration team.

我們獲得了 HSR 反壟斷批准，並且在其他監管成交條件方面也取得了進展。我們利用 Schiff 和 bby Schmidt 成功整合業務的良好記錄，並建立了一個聯合整合團隊。

Overall, the steps we are taking are preparing our two companies to integrate seamlessly, and I look forward to providing more updates as we progress towards closing.

總的來說，我們正在採取的措施是為了讓我們兩家公司實現無縫整合，我期待在我們接近完成整合的過程中提供更多更新資訊。

Which we expect by mid 2025. We are diligently working on integrating our businesses to capture the full potential of the combined company and deliver enhanced value for our shareholders on day one. We are now ready to take your questions, operator, please open the line.

我們預計到 2025 年中期。我們正在努力整合我們的業務，以充分發揮合併後公司的潛力，並在第一天為我們的股東帶來更高的價值。我們現在準備好回答您的問題，接線員，請接通電話。

We will open up the question, the lines for questions in a moment. Please bear with me.

我們馬上就會開始提問，開始提問。請耐心等待。

Hey guys, I can hear you. Can you hear me, okay?

嘿夥計們，我能聽到你們的聲音。你聽見我說話嗎？

Technical difficulties this morning, but appreciate your patience.

今天早上出現了技術故障，但感謝您的耐心等待。

Yeah. Sorry, I didn't hear my cue there. That's okay. Also, wanted to talk about the 2025 outlook, with respect to Blue arch. It sounds like you guys, I think I heard correctly in the prepared remarks. $50 million in sales embedded in the guide and you should approach break even on EBITDA this year. Just wanted to hear you talk about do you have all orders in hand to deliver on the $50 million, maybe just talk about the cadence of delivery this year, any progress update on sort of the vehicles in the field with FedEx, or other customers, would love to hear a little bit more color on the program there.

是的。抱歉，我沒有聽到我的提示。沒關係。此外，還想談談關於 Blue arch 的 2025 年展望。聽起來你們說得對，我想我在準備好的發言中聽得沒錯。指南中包含 5000 萬美元的銷售額，您今年的 EBITDA 應該接近收支平衡。只是想聽聽您談論您是否已經準備好交付價值 5000 萬美元的所有訂單，也許只是談談今年的交付節奏，有關聯邦快遞或其他客戶現場車輛的任何進展更新，我很想听到有關該計劃的更多細節。

Great, Matt. This is John give you an update on that. So we are in the production phase running vehicles a couple a day are coming off the line to fulfill our contract with FedEx. That was for 150 orders, so we're working through that order right now. The vehicles in the field continue to perform well and meet expectations. In addition to FedEx, we have demos running with a couple other key customers, one of them up in Canada, so experiencing the cold climate, running, performing well, meeting all our expectations. So we're excited about the performance of the vehicle and getting it to the phase now where we can give it to customers to really use it. FedEx is deploying the vehicles we're making and continue to be very positive on it. If you're at LAX for example, there's a couple out there right now in service.

太好了，馬特。我是約翰，向您通報最新情況。因此，我們正處於生產階段，每天有幾輛車輛下線，以履行我們與聯邦快遞的合約。這是 150 個訂單，所以我們現在正在處理該訂單。場上車輛持續表現良好，滿足預期。除了聯邦快遞之外，我們還與其他幾個主要客戶進行了演示，其中一個在加拿大，因此經歷了寒冷的氣候，運行良好，表現良好，滿足了我們所有的期望。因此，我們對該車的性能感到非常興奮，現在我們已經可以將其交給客戶真正使用了。聯邦快遞正在部署我們製造的車輛，並繼續對此持非常積極的態度。例如，如果你在洛杉磯國際機場，那裡現在就有幾架飛機在運作。

From an order standpoint, it is a dynamic market right now as people are sorting out what to do on the EV. Fortunately though, we see a lot of commitment from our key partners. The bigger fleets are still leaning into starting to transition to the more environmentally friendly solution of EVs and from an order standpoint, we're seeing a lot of activity, confident that That will continue to materialize. The big enabler here is to get these vehicles out on the road and people really see how well they work. And so, the more vehicles on the road we have, the more positive experiences people have, the expectation is that we'll continue to lead to more orders.

從訂單的角度來看，現在市場充滿活力，因為人們正在整理如何在電動車上採取行動。但幸運的是，我們看到了來自主要合作夥伴的大量承諾。較大的車隊仍然傾向於開始轉向更環保的電動車解決方案，從訂單的角度來看，我們看到了許多活動，並相信這將繼續實現。這裡最大的推動因素是讓這些車輛上路，讓人們真正看到它們的運作。因此，道路上的車輛越多，人們的積極體驗就越多，我們預計我們將繼續獲得更多訂單。

Okay, but in terms of the orders you have in hand, do you have enough to fulfill the $50 million without incremental orders this year?

好的，但是就你們手頭上的訂單而言，今年如果沒有增量訂單，你們是否有足夠的訂單來完成 5000 萬美元的目標？

Now we need additional orders and that scenario where Scott mentioned as well, we're striving to get to that break even to do that, we need to be, we can do it at under 500 orders and we're not there yet. We're hoping to have another announcement shortly. But it's short of the full amount needed.

現在我們需要額外的訂單，正如斯科特提到的那樣，我們正在努力實現收支平衡，我們需要在 500 個訂單以下做到這一點，但我們還沒有達到這個目標。我們希望很快能發布另一個公告。但這還不夠。

Okay, right, understood, thanks. Okay, and then on the fleet vehicle segment, just wanted to hear a little bit more about the, what's embedded in the outlook for 25. It sounds like you're assuming parcel demand recovery in the back half of this year.

好的，是的，明白了，謝謝。好的，然後關於車隊車輛部分，我只是想多聽聽關於 25 年前景的一些資訊。聽起來您預計今年下半年包裹需求將會復甦。

I know that's kind of common fits and starts in terms of the prediction of recovery in that market. Maybe just talk about what gives you confidence that we're going to see a recovery in the parcel fleet demand. This year what are you hearing from customers, fleets in particular would love to hear an update on FPS there.

我知道，對於該市場復甦的預測，這是一種常見的斷斷續續的情況。也許只是談論一下是什麼讓您有信心我們會看到包裹車隊需求的復甦。今年您從客戶那裡聽到了什麼消息，特別是車隊希望聽到有關 FPS 的最新消息。

You know we're staying very close with those key parcel customers, making sure we understand exactly their needs and their plans. The good news is they're not changing the concept and how they're delivering parcel packages to the home, so they still want these large vehicles that we make, so it's right in the wheelhouse.

您知道，我們與那些主要的包裹客戶保持密切聯繫，確保我們準確地了解他們的需求和計劃。好消息是，他們沒有改變概念以及將包裹運送到家中的方式，所以他們仍然想要我們製造的這些大型車輛，這樣它就可以在駕駛室內了。

Because these vehicles are so robust, they're able to maintain them and kind of push it down some of those purchases or push out some of those purchases slightly, but what we see is they've been pushing that out for about 2 years now. Eventually there's going to need to be a replacement cycle that kicks in, and it should be a nice one kicking in. It's just a matter of when.

由於這些車輛非常堅固，他們能夠維護它們，並在一定程度上降低部分購買量或稍微推遲部分購買量，但我們看到他們已經推遲了大約 2 年。最終，需要有一個替代週期開始，而且應該是一個好的替代週期。這只是時間問題。

We're not seeing it yet, so that's why we're guiding and saying we're seeing it in the second half of the year. But we're having good conversations with the customers to understand when is that going to happen, and there's an indication it's going to happen in that second half of this year.

我們還沒有看到它，所以這就是為什麼我們指導並說我們會在下半年看到它。但我們正在與客戶進行良好的溝通，以了解何時會發生這種情況，有跡象表明這將在今年下半年發生。

Okay, got it. And then just on special vehicle, and then I'll turn it over to someone else, I guess the implied order flow was a little soft and special vehicle, could you just speak to sort of what's driving that? Is that still motor home that's driving the bulk of the weakness in in the implied order flow that you're getting in that segment? What are you seeing on sort of the core work truck piece of the business, maybe if you just unpack the order trends, especially vehicle that'd be helpful.

好的，明白了。然後只是在特殊車輛上，然後我會把它交給其他人，我想隱含的訂單流有點軟和特殊車輛，你能不能說說是什麼推動了這一點？房車是否仍是造成該領域隱含訂單流疲軟的主要原因？您對核心工作卡車業務有何看法？如果您只是分析訂單趨勢，尤其是車輛，那將會很有幫助。

Yeah, Matt, this is Scott. Thanks for the question. You're right, we're continuing to see the weakness in the motorhome market that's really, driving the weakness there on that side of things on the on the.

是的，馬特，這是史考特。謝謝你的提問。你說得對，我們繼續看到房車市場的疲軟，這實際上是導致房車市場疲軟的原因。

Work truck side of our business, we're actually starting to, it's been very steady. We're continuing to see strong orders there and especially here in the first part of 2025 we're to see strong orders so we're expecting that to continue to be steady into 2025.

我們的卡車業務實際上才剛起步，而且發展非常穩定。我們繼續看到那裡的訂單強勁，特別是在 2025 年上半年，我們將看到強勁的訂單，因此我們預計到 2025 年訂單將繼續保持穩定。

So that's the main thing on the motorhome side, the dealers, their inventories are at pre-pandemic levels now lower than pre-pandemic levels. So, I think they've got their inventories in place and now they're, I think just being a little more thoughtful on their planning on their inventories. So but we do anticipate the orders to pick up here as we move into the second half of the year on motorhome as well.

因此，這是房車方面的主要問題，經銷商的庫存處於疫情前的水平，現在低於疫情前的水平。所以，我認為他們已經準備好了庫存，現在，我認為他們在庫存規劃上會更加周到一些。因此，隨著房車市場進入下半年，我們確實預期這裡的訂單也會增加。

Okay, got it. I'll turn it over to someone else.

好的，明白了。我會把它轉交給其他人。

Thanks.

謝謝。

The next question is from Mike Shlisky with D.A. Davidson.

下一個問題來自 D.A. 的 Mike Shlisky。戴維森。

Yes, hi there. Good morning. Thanks for taking my question. Wanted to start off if you're in with.Your comments were about one of the drivers of growth or better trends in 25 sounds like infrastructure. If you're expecting to see some growth in infrastructure in 2025 the Shyft group, would it be fair to say that from what you know that Abby Schmidt will be growing its overall business, as fast or faster than Shyft Group, given their, greater focus on infrastructure in their mix.

是的，你好。早安.感謝您回答我的問題。如果您願意的話，我想開始討論一下。您的評論是關於 25 個聽起來像基礎設施的成長驅動力或更好趨勢之一。如果您預計 Shyft 集團在 2025 年的基礎設施建設方面會有所增長，那麼是否可以公平地說，根據您所了解的情況，考慮到 Abby Schmidt 更加註重基礎設施建設，其整體業務的增長速度將與 Shyft 集團一樣快甚至更快。

I think that's thanks for the question and I think that's one of the key aspects of this merger bringing Avi Schmidt together with the Shyft group. We do have that Upfit business infrastructure based that we can really coordinate our activities, have a better footprint nationwide, and access to a broader range of customers. So, we see that's one of the key points that's going to accelerate our growth. As to the specifics on what they're seeing right now because we're still in the early phase of the merger, we're not really sharing that information, but we know that they have to be seen similar activity to grow

我想感謝您的提問，我認為這是此次合併的關鍵方面之一，將 Avi Schmidt 與 Shyft 集團結合在一起。我們確實擁有基於 Upfit 的業務基礎設施，因此我們可以真正協調我們的活動，在全國範圍內擁有更好的影響力，並接觸到更廣泛的客戶。因此，我們認為這是加速我們成長的關鍵點之一。至於他們目前看到的具體情況，因為我們仍處於合併的早期階段，我們實際上並沒有分享這些信息，但我們知道他們必須看到類似的活動才能成長

Okay. Also, I just want to talk about the FBS margin, results in the quarter. Pretty good swing there. We're talking, 1,415 points from a negative to a positive, over the prior year in the fourth quarter. How sustainable is that like 11% even margin run rate at $110 million of sales, is that on the curve of where FDS is currently, running?

好的。另外，我只想談談本季的 FBS 利潤率和業績。那裡的揮桿相當不錯。我們說的是，與去年同期相比，第四季的負成長幅度達到了 1,415 點。在 1.1 億美元的銷售額下，11% 的均勻利潤率的可持續性如何？這是否符合 FDS 目前的運作曲線？

Yeah, I think, we're certainly seeing improvements in the FBS margins. We had some great operational efficiencies that we drove, so that's what you're seeing year over year to get to that low double-digit margins, and I think that's also consistent with where we Talked about, getting those margins over the last several quarters. So so yes, so we do expect to be able to to maintain that low double digits in that space and again it's really high focus on on operational efficiencies in that space. It helped us get there.

是的，我認為，我們確實看到 FBS 利潤率有所提高。我們推動了一些非常出色的營運效率，因此，這就是您逐年看到的，以實現低兩位數的利潤率，而且我認為這也與我們談論的過去幾個季度的利潤率一致。是的，我們確實希望能夠保持該領域的低兩位數成長，並且再次高度關注該領域的營運效率。它幫助我們到達了那裡。

Got it. Maybe 11 last one for me. It's a topic, yeah. Oh, I have one other question. Oh, go ahead. Oh, sure. I just want to ask about tariff. Yeah, I wanted to ask you a little bit about. What should we think about at this stage as far as tariffs? I know it's still a bit of a fluid situation, but there are some aluminum tariffs out there. Do you have surcharges planned or any other potential changes to your pricing and are there still kind of There's some kind of more flexible pricing arrangement as the tariff situation changes here in the first part of 25, the money pact your business.

知道了。對我來說也許最後一個了。是的，這是一個話題。哦，我還有一個問題。噢，繼續吧。哦，當然。我只是想問一下關稅。是的，我想問你一些事情。就關稅而言，現階段我們該考慮什麼？我知道情況仍然有點不穩定，但確實存在一些鋁關稅。您是否計劃收取附加費或對定價進行任何其他潛在更改，並且是否仍有某種更靈活的定價安排，因為 25 年前部分的關稅情況會發生變化，資金會與您的業務產生聯繫。

Yeah, I'm like, this is Scott. Let me start off there. So yeah, certainly, we've been evaluating the various scenarios relating to the tariffs and of what's been put in place and, the multiple other threats that are still out there. We implemented a supply chain strategy over the last couple of years that it's really focused on helping us mitigate this risk. It includes the strategy of North American supply alternatives, right?

是的，我想，這就是史考特。讓我從這裡開始。是的，我們當然一直在評估與關稅有關的各種情況、已經實施的措施以及仍然存在的其他多種威脅。過去幾年，我們實施了一項供應鏈策略，主要目的是幫助我們降低這種風險。其中包括北美供應替代策略，對嗎？

So we do have plans in place to mitigate the impact both through our partnerships with our suppliers as well as plans to increase prices where appropriate to help offset these impacts, but it is a very fluid situation so we're watching it very closely to be able to understand these impacts, but it is a little early as things are continuing to move quickly day to day.

因此，我們確實制定了計劃來減輕影響，既透過與供應商的合作，也計劃在適當的情況下提高價格，以幫助抵消這些影響，但這是一個非常不穩定的情況，所以我們正在密切關注，以便能夠了解這些影響，但現在還為時過早，因為事情每天都在快速發展。

The next question is from Tyler DiMatteo with BTIG.

下一個問題來自 BTIG 的 Tyler DiMatteo。

Hey guys, morning. Thanks for taking the questions. I appreciate the time. Wanted to follow up on the outlook for this year. Yeah, I, wanted to follow up real quick on the outlook here. I know the comments surrounding seasonality in the I guess what's maybe the magnitude of that? I mean, is it going to be similar to past? I know you'rnd of pe kiointed to that, hey, low single digit even and then 70% in the back half of the year. I guess I'm just curious, the degree of the seasonality, and then I have a follow up.

大家好，早安。感謝您回答這些問題。我很感激你抽出時間。想要了解今年的前景。是的，我想快速跟進一下這裡的前景。我知道關於季節性的評論，我猜它的幅度可能是多少？我的意思是，它會與過去相似嗎？我知道你對此很了解，嘿，甚至是低個位數，然後在下半年達到 70%。我想我只是好奇季節性的程度，然後我會進行跟進。

Sure, yeah, I think it's going to be consistent, with the prior year. So, if you, look at 2024, we had a similar, slow start to ramping up in a much stronger second half of the year. We're expecting that similar type of progression here this year. We do expect, the benefit, of our ITU acquisition as well as just the continued strength of the work. Space, we have talked about the fact that you know Blue arc has moved into production now, which is going to help us from an overall cost spend perspective.

當然，是的，我認為這將與前一年保持一致。因此，如果你看看 2024 年，我們有一個類似的緩慢起步，但在下半年會更加強勁。我們預計今年這裡也會出現類似的進展。我們確實期望從收購國際電聯中獲益，並期待工作的持續發展。太空，我們已經討論過這樣一個事實，你知道 Blue arc 現在已經投入生產，這將從總體成本支出的角度對我們有所幫助。

But you know in this first quarter specifically, we are still seeing the weakness in the walk-in van and the motorhome space which is which is going to be a challenge for us this quarter and I think why you're seeing that that comment on the single digit low single digits in Q1.

但您知道，具體到第一季度，我們仍然看到廂型車和房車領域的疲軟，這對我們本季來說將是一個挑戰，我想這就是您看到第一季個位數低個位數增長的評論的原因。

Got it. Thank you. And then my follow up here, really surrounding maybe the the service work and the outfitting pieces of business versus the core product, if you will. I guess in terms of the service piece and the infrastructure, I guess as that. I guess how has the the approach to kind of service work from from you guys and maybe going to customers, how has that strategy evolved as you go to win, orders? I I know obviously from a profitability perspective you guys have done a really nice job of keeping that margin profile, but I guess from a, if you think about your strategy and kind of how is that evolved over time, and I guess maybe how much is it the same? How do you kind of think about that going in terms of 2025?

知道了。謝謝。然後，我的後續內容實際上可能圍繞著服務工作和裝備業務與核心產品有關，如果你願意的話。我想就服務部分和基礎設施而言，我想就是這樣。我想問一下你們的服務工作方式以及面對客戶的方式，在贏得訂單的過程中，這種策略是如何演變的？我知道從獲利能力的角度來看，你們在保持利潤率方面做得非常好，但我想從，如果你想想你的策略以及它是如何隨著時間的推移而演變的，我想它大概有多少是相同的？您認為 2025 年的情況會是如何？

And specifically around those service bodies, our strategy continues to be to get that nationwide coverage. And so as the Royal is much more on the west coast, Geromag and aluminum's on the east coast, we're bringing that together. You see that in our new Nashville area facility where we sell both products there and so it's getting that nationwide coverage and then through our new partners, ITU, for example, they now use either a royal or Drog service body, so we're more vertically integrated there and as we roll into the merger with Avi Schmidt, there's just more opportunities there to get that vertical integration really drive the overall sales of the service body business.

特別是圍繞這些服務機構，我們的策略仍然是實現全國覆蓋。因此，由於皇家公司主要位於西海岸，而德國馬克公司和鋁業公司則位於東海岸，因此我們將兩者整合在一起。您可以看到，在我們位於納許維爾的新工廠中，我們同時銷售這兩種產品，因此它獲得了全國範圍的覆蓋，然後透過我們的新合作夥伴，例如國際電信聯盟，他們現在使用皇家或 Drog 服務機構，因此我們在那裡更加垂直整合，隨著我們與 Avi Schmidt 的合併，那裡有更多的機會實現垂直整合，真正推動機構業務的整體銷售。

So that's one of the key pieces that makes us excited about it. And in that merger, we've identified that synergies, a lot of that synergies and opportunity is coming together in that space for the outfit business supporting infrastructure.

這是讓我們感到興奮的關鍵因素之一。在那次合併中，我們發現了協同效應，許多協同效應和機會都聚集在裝備業務支援基礎設施領域。

Awesome. Thanks, guys. I appreciate the time. I'll turn it back to the queue.

驚人的。謝謝大家。我很感激你抽出時間。我會將其放回佇列。

Thank you.

謝謝。

This concludes the question and answer session. Mr. Wilson, I would like to turn the floor back over to you for closing comments.

問答環節到此結束。威爾森先生，我想把發言權交還給您，請您發表最後評論。

Thank you, operator. I'd like to thank everyone for joining today's call. Manford looks forward to connecting with the investment community at the NTA Work truck week on March 5th and 6 in Indianapolis at the Roth conference in Dana Point, California on March 16 and 17th.

謝謝您，接線生。我要感謝大家參加今天的電話會議。曼福德期待在 3 月 5 日和 6 日於印第安納波利斯舉行的 NTA 工作卡車週以及 3 月 16 日和 17 日於加利福尼亞州達納角舉行的羅斯會議上與投資界進行交流。

As always, thank you for your interest in The Shyft Group, and please reach out to me if you have any follow-up questions. With that operator, please disconnect the call.

像往常一樣，感謝您對 Shyft Group 的關注，如果您有任何後續問題，請與我聯繫。請接線生掛斷電話。

The conference has been concluded. Thank you for attending today's presentation. You may now disconnect.

會議已經結束。感謝您參加今天的演講。您現在可以斷開連線。