Stabilis Solutions Inc (SLNG) 2024 Q1 法說會逐字稿

Good day, everyone, and welcome to the Stabilis Solutions first quarter 2024 earnings conference call. (Operator Instructions)

大家好，歡迎參加穩定解決方案 2024 年第一季財報電話會議。（操作員說明）

Now, it is my pleasure to turn the floor over to our host, Andy Puhala, our Chief Financial Officer. Mr. Puhala, please go ahead.

現在，我很高興將發言權交給我們的東道主、我們的財務長安迪普哈拉 (Andy Puhala)。普哈拉先生，請繼續。

Good morning, and welcome to Stabilis Solutions first quarter 2024 results conference call. I'm Andy Puhala, Senior Vice President and CFO of Stabilis. And joining me today is our President and CEO, Westy Ballard.

早安，歡迎參加穩定解決方案 2024 年第一季業績電話會議。我是安迪‧普哈拉 (Andy Puhala)，史泰比利斯資深副總裁兼財務長。今天加入我的是我們的總裁兼執行長 Westy Ballard。

We issued a press release after the market close yesterday, detailing our first quarter operational and financial results. This release is publicly available in the Investor Relations section of our corporate website at stabilis-solutions.com.

我們昨天收盤後發布了一份新聞稿，詳細介紹了我們第一季的營運和財務表現。本新聞稿可在我們公司網站 stabilis-solutions.com 的投資者關係部分公開取得。

Before we begin, I'd like to remind everyone that today's conference call will contain forward-looking statements within the meaning of the Private Securities Reform Act of 1995 and other securities laws. These forward-looking statements are based on the company's expectations and beliefs as of today, May 8, 2024.

在開始之前，我想提醒大家，今天的電話會議將包含 1995 年《私人證券改革法案》和其他證券法含義內的前瞻性陳述。這些前瞻性陳述是基於本公司截至今天（2024 年 5 月 8 日）的預期和信念。

The forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. The company undertakes no obligation to provide updates or revisions to the forward-looking statements made in today's call.

前瞻性陳述存在風險和不確定性，可能導致實際結果與預測有重大差異。該公司不承擔對今天電話會議中所做的前瞻性陳述進行更新或修訂的義務。

Additional information concerning factors that could cause those differences is contained in our filings with the SEC and in the press release announcing our results. Investors are cautioned not to place undue reliance on any forward-looking statements.

有關可能導致這些差異的因素的更多資​​訊包含在我們向 SEC 提交的文件以及宣布我們結果的新聞稿中。投資者應注意不要過度依賴任何前瞻性陳述。

Further, please note that we may refer to certain non-GAAP financial information on today's call. You can find reconciliations of the non-GAAP financial measures to the most comparable GAAP measures in our earnings press release. Today's call is being recorded and will be available for replay.

此外，請注意，我們可能會在今天的電話會議上參考某些非公認會計準則財務資訊。您可以在我們的收益新聞稿中找到非公認會計準則財務指標與最具可比性的公認會計準則財務指標的調節表。今天的通話正在錄音中，可供重播。

With that, I'll hand the call over to Westy Ballard for his remarks.

接下來，我將把電話轉給韋斯蒂·巴拉德（Westy Ballard）聽取他的講話。

Thank you, Andy, and good morning to everyone joining us on the call. We delivered a strong first quarter performance building on commercial momentum demonstrated in the latter half of 2023.

謝謝你，安迪，祝所有加入我們電話的人早安。基於 2023 年下半年展現的商業勢頭，我們在第一季取得了強勁的業績。

Net income increased 36% in the first quarter, supported by an 8% increase in LNG volumes sold when compared to the year ago period. We generated nearly $4 million in operating cash flow in the first quarter and ended the period with nearly $13 million in cash and availability under our credit agreements and a trailing 12 month net leverage ratio of 0.1 times. Even after deploying significant capital toward discretionary growth investments over the past several quarters.

第一季淨利成長 36%，得益於液化天然氣銷量年增 8%。我們在第一季產生了近400 萬美元的營運現金流，並在本季結束時根據我們的信貸協議獲得了近1,300 萬美元的現金和可用資金，過去12 個月的淨槓桿率為0.1 倍。即使在過去幾季將大量資金用於可自由支配的成長投資之後。

Yes, over the past 24 months, we've transitioned our business model towards firm longer-term customer relationships that support higher asset utilization over sustained periods, resulting in more predictable cash flows from operations.

是的，在過去 24 個月裡，我們已經將業務模式轉變為牢固的長期客戶關係，從而支持持續提高資產利用率，從而產生更可預測的營運現金流。

More recently, we've announced a transformational marine bunkering supply contract extended an agreement with a major power-generation customer and continued to expand our presence as a leading fuel supplier to the commercial space launch industry. To that end, our own liquefaction capacity is expected to be fully utilized through 2025, providing us with a high degree of visibility over the next 20 months.

最近，我們宣布了一項變革性的海上加油供應合同，延長了與一家主要發電客戶的協議，並繼續擴大我們作為商業航天發射行業領先燃料供應商的地位。為此，我們自己的液化能力預計將在 2025 年之前充分利用，為我們在未來 20 個月內提供高度的可見度。

However, in addition, to our own capacity, we maintain an extensive third party LNG supply network, which allows us to meet ongoing incremental growth in customer demand while pursuing expansion of our internal liquefaction capacity.

然而，除了我們自己的產能之外，我們還維持著廣泛的第三方液化天然氣供應網絡，這使我們能夠滿足客戶需求的持續增量成長，同時追求擴大我們的內部液化能力。

In our marine market, the first quarter 2024 was our first full quarter of LNG fueling operations and related services for Carnival Corporation, representing a milestone achievement for Stabilis. This win is also a significant development for the domestic marine fueling market, representing the first ever LNG bunkering operation in the Port of Galveston, Texas.

在我們的船舶市場，2024 年第一季是我們為嘉年華公司提供液化天然氣加註業務和相關服務的第一個完整季度，這對斯泰比利斯來說是一項里程碑式的成就。此次勝利也是國內船舶加註市場的重大發展，代表著德州加爾維斯頓港有史以來的首次液化天然氣加註作業。

Moving forward, we will continue to enhance our logistical capabilities as the only small-scale LNG bunker provider to the marine industry capable of executing multiple modes of delivery to our bunkering customers. The focus of our efforts will be on rapidly expanding our bunkering operations directly to the waterfront of strategic ports across the continental United States. These efforts will be supported by our robust inland LNG supply and logistics network which remains a clear competitive advantage for Stabilis for several key reasons.

展望未來，我們將繼續增強我們的物流能力，作為海洋產業唯一一家能夠為我們的加油客戶提供多種交付方式的小型液化天然氣加油供應商。我們努力的重點將是迅速將我們的加油業務直接擴展到美國大陸戰略港口的海濱。這些努力將得到我們強大的內陸液化天然氣供應和物流網路的支持，由於幾個關鍵原因，該網路仍然是穩定的明顯競爭優勢。

First, combined with our extensive experience in designing, constructing, and operating multiple liquefaction plants, it significantly derisks greenfield expansion activities. Second, it allows us to immediately execute new bunkering contracts as we can provide LNG bunkering fuel today anywhere in the US utilizing our diverse third-party LNG supply network.

首先，結合我們在設計、建造和營運多個液化廠方面的豐富經驗，它大大降低了綠地擴張活動的風險。其次，它使我們能夠立即執行新的加註合同，因為我們今天可以利用我們多樣化的第三方液化天然氣供應網絡在美國任何地方提供液化天然氣加註燃料。

Third, it affords us the option to supplement waterfront LNG production on a temporary or permanent basis to support incremental demand. And finally, our operational flexibility provides our current and prospective customers, the ability to consider a wide variety of trade lanes throughout the US, knowing they will have a reliable LNG fuel supply with Stabilis.

第三，它為我們提供了臨時或永久補充濱水液化天然氣生產的選擇，以支持增量需求。最後，我們的營運靈活性為我們目前和潛在的客戶提供了考慮整個美國各種貿易航線的能力，因為他們知道他們將透過斯泰比利斯獲得可靠的液化天然氣燃料供應。

We remain an advanced discussions with several potential marine customers currently seeking LNG as a lower cost cleaner-burning bunker fuel alternative for the growing inventory of LNG-fueled vessels.

我們仍在與幾家潛在的船舶客戶進行深入討論，這些客戶目前正在尋求液化天然氣作為成本更低、更清潔燃燒的船用燃料替代品，以應對不斷增長的液化天然氣燃料船舶的庫存。

Given the importance of this initiative to our customers, our history of successfully executing LNG bunkering operations on three US coasts, gives these customers tremendous confidence in our ability to deliver an actionable, credible, best-in-class bunkering solution for their long-term needs.

鑑於這項措施對我們客戶的重要性，我們在美國三個海岸成功執行液化天然氣加註業務的歷史使這些客戶對我們為其長期提供可行、可靠、一流的加註解決方案的能力充滿信心需要。

Within our commercial and industrial markets, we continue to capitalize on a multiyear investment cycle in infrastructure and electrification as data centers, cloud computing, emerging technologies, and emergency power needs give rise to increased demand for behind-the-meter power generation solutions.

在我們的商業和工業市場中，我們繼續利用基礎設施和電氣化的多年投資週期，因為資料中心、雲端運算、新興技術和緊急電力需求導致對用戶側發電解決方案的需求不斷增加。

At the same time, our nation's aging electric grid lacks the reliability, capacity, and resilience to effectively support this rapid growth in power consumption. As we move closer toward a world where the electrification of everything requires reliable access to both central and remote power sources Stabilis uniquely equipped to provide decentralized on-demand power through our integrated system-based solutions.

同時，我國老化的電網缺乏可靠性、容量和彈性來有效支持電力消耗的快速成長。隨著我們越來越接近一個萬物電氣化的世界，需要可靠地訪問中央和遠端電源，斯泰比利斯擁有獨特的裝備，可以透過我們基於系統的整合解決方案提供分散的按需電力。

For example, several weeks ago, we announced a 14 month contract extension, which solidifies our position as a leading clean fuel solutions provider for behind-the-meter energy installations and further enhances our growing position in this space.

例如，幾週前，我們宣布延長 14 個月的合同，這鞏固了我們作為用戶側能源裝置領先的清潔燃料解決方案提供商的地位，並進一步增強了我們在這一領域不斷增長的地位。

For context, the power generation sector represent approximately 25% of our total revenue in 2023, and we expect this opportunity to accelerate as domestic energy demand continues to grow over the next decade.

就背景而言，到 2023 年，發電業約占我們總收入的 25%，我們預計隨著未來十年國內能源需求的持續成長，這一機會將會加速。

Looking ahead, we intend to further optimize our existing asset base and supply chain while prioritizing investments in incremental capacity, infrastructure, and product offerings capable of supporting increased demand across our entire franchise, which includes our marine, power generation, aerospace, and other diverse end markets, both in the US and abroad.

展望未來，我們打算進一步優化我們現有的資產基礎和供應鏈，同時優先投資於增量產能、基礎設施和產品供應，以支持我們整個特許經營業務不斷增長的需求，其中包括我們的船舶、發電、航空航太和其他多元化業務美國和海外的終端市場。

To accomplish this, we are routinely evaluating a variety of prospective sources of capital with heavy emphasis and focus on those partners that know our industry, know our company, and recognize the significant upside potential in our operating model.

為了實現這一目標，我們定期評估各種潛在的資本來源，並專注於那些了解我們的行業、了解我們的公司並認識到我們的營運模式具有巨大上升潛力的合作夥伴。

Decisions to proceed with new infrastructure investments will balance longer term ratable offtake agreements that derisk our investment over a multiyear period and our comfort instantly merchant risk to us in timely and critical infrastructure is in place. To sufficiently address the rapidly advancing needs of next-generation fuels like LNG.

繼續進行新的基礎設施投資的決定將平衡長期的可分攤承購協議，這些協議會降低我們在多年期間的投資風險，並且我們會立即放心，關鍵基礎設施及時到位，給我們帶來商業風險。充分滿足液化天然氣等下一代燃料快速成長的需求。

In closing, while you've heard me discuss how Stabilis is uniquely positioned to capitalize on the significant asymmetrical growth opportunity, we see within last mile green fueling solutions across a diverse range of end markets. It's also important -- it's important to highlight how we, as a microcap equity, provide an incredibly compelling value proposition for energy transition investors.

最後，雖然您已經聽到我討論斯泰比利斯如何利用獨特的優勢來利用重要的不對稱增長機會，但我們在不同的終端市場中看到了最後一英里的綠色燃料解決方案。這也很重要——強調我們作為微型股票如何為能源轉型投資者提供令人難以置信的引人注目的價值主張。

Today, Stabilis, is one of only a handful of profitable, well-capitalized, proven operators in the energy transition market as demonstrated by our actions over the last 24 months. And more recently, as demonstrated by our strong first quarter results, which included a significant increase in available liquidity and a net leverage ratio around zero.

今天，穩定公司是能源轉型市場上少數獲利、資本充足、久經考驗的營運商之一，我們過去 24 個月的行動證明了這一點。最近，正如我們強勁的第一季業績所證明的那樣，其中包括可用流動性的顯著增加和淨槓桿率接近零。

Well, patient investors building a platform for growth that over the next decade will continue to become the last mile fueling solutions platform of choice for growing roster of industry leading high-performance brands. Like you, we are shareholders and we're committed to driving long-term value creation. We're glad you're on this journey with us and look forward to delivering on our next phase of profitable growth.

耐心的投資者正在建立一個成長平台，在未來十年內，該平台將繼續成為不斷增長的行業領先高性能品牌的首選加油解決方案平台。和您一樣，我們也是股東，致力於推動長期價值創造。我們很高興您與我們一起踏上這段旅程，並期待實現我們下一階段的獲利成長。

And with that, I will turn it over to Andy.

有了這個，我會把它交給安迪。

Thank you, Westy. Let's move to a discussion of our first quarter performance, together with an update on our balance sheet and liquidity exiting Q1. We delivered record first quarter net income of $1.5 million or $0.08 per share, driven by strong LNG demand, improved utilization of our owned liquefaction facilities, and improved operating leverage.

謝謝你，韋斯蒂。讓我們開始討論我們第一季的業績，以及我們的資產負債表和第一季流動性的最新情況。在強勁的液化天然氣需求、我們自有液化設施利用率提高以及營運槓桿改善的推動下，我們第一季淨利潤達到創紀錄的 150 萬美元，即每股 0.08 美元。

Our first quarter 2024 results reflect 10% sequential revenue growth and continued improvement in both profitability and free cash flow. The sequential improvement in our overall quality of earnings is a result of the directed shift in our business model towards steady and predictable off-take agreements.

我們 2024 年第一季的業績反映了 10% 的環比收入成長以及獲利能力和自由現金流的持續改善。我們整體獲利品質的連續改善是我們的業務模式直接向穩定且可預測的承購協議轉變的結果。

We generated $3.9 million of cash from operations in the first quarter, representing a conversion of over 100% of our EBITDA for the quarter. This strong cash generation continued to build our already favorable cash and liquidity position, which we intend to leverage as we invest in growth going forward.

我們第一季的營運產生了 390 萬美元的現金，相當於本季 EBITDA 的轉換率超過 100%。強勁的現金產生能力繼續鞏固我們本已有利的現金和流動性狀況，我們打算在投資於未來的成長時利用這一狀況。

As of March 31, 2024, Stabilis had total cash and equivalents of $8.3 million, together with $4.3 million of availability under our credit facilities. Total debt outstanding as of March 31, 2024 was $9.2 million, resulting in a net debt to trailing 12 month adjusted EBITDA of 0.1 times.

截至 2024 年 3 月 31 日，穩定的現金及等價物總額為 830 萬美元，以及我們信貸額度下的 430 萬美元可用資金。截至 2024 年 3 月 31 日，未償債務總額為 920 萬美元，導致過去 12 個月調整後 EBITDA 的淨債務為 0.1 倍。

As we continue to approach full capacity utilization, we're evaluating the deployment of internal capital towards high-return investment opportunities to grow capacity within our key end markets. In addition to larger prospective capital infusions on more transformational growth opportunities.

隨著我們繼續接近充分利用產能，我們正在評估內部資本的部署，以獲得高回報的投資機會，以增加我們關鍵終端市場的產能。除了更大的預期資本注入之外，還有更多轉型成長機會。

That concludes our prepared remarks. So operator, please open the line for the Q&A session.

我們準備好的演講到此結束。所以接線員，請打開問答環節。

(Operator Instructions) Martin Malloy, Johnson Rice.

（操作員說明）Martin Malloy、Johnson Rice。

Good morning. Congratulations on the quarter and thank you for taking my questions.

早安.恭喜本季度，感謝您回答我的問題。

[Thanks, Martin]

[謝謝，馬丁]

The first question, just could you maybe talk about the milestones we should look for that would result in giving FID for additional liquefaction capacity or marine terminal or infrastructure that they would assist in the support the bunkering?

第一個問題，您能否談談我們應該尋找的里程碑，這些里程碑將導致給予最終投資決定以增加液化能力或海運碼頭或基礎設施，以協助支援加油？

Yes, sure. So you know, we're operating and have historically operated on three coasts. Each one of those geographies present -- different variables that need to be considered as we think about FID and then the ultimate deployment capital. I think without going through each one of those locations, I think holistically, it's important to recognize the balance as I mentioned in our comments.

是的，當然。所以你知道，我們正在並且歷史上在三個海岸開展業務。每一個地區都存在不同的變量，在我們考慮 FID 以及最終的部署資本時需要考慮這些變數。我認為，從整體上看，我認為在不仔細檢查每個地點的情況下，重要的是要認識到我在評論中提到的平衡。

We want to trying to derisk these investments to the greatest extent possible, but also balancing that with not overly I'm thinking about commercial offtake and missing that opportunity. And so I think that since we've got such a strong liquidity position, we will continue to advance a lot of -- pre-FID initiatives with the understanding of property lease or purchase. As I mentioned, we've already acquired another 100,000 gallon train. We acquired that last year. We're spending a lot of time with engineering and pre-deployment designs and configuration of different plants in different geographies. We are spending a lot of time and energy around building sufficient supply chain and infrastructure along several coasts.

我們希望盡可能地降低這些投資的風險，但同時也要平衡這一點，不要過度考慮商業承購而錯過這個機會。因此，我認為，既然我們擁有如此強大的流動性狀況，我們將繼續推進許多 FID 前的舉措，以了解房地產租賃或購買的情況。正如我所提到的，我們已經購買了另一列 100,000 加侖的列車。我們去年收購了它。我們花費大量時間進行工程和預部署設計以及不同地區不同工廠的配置。我們花費大量時間和精力在幾個沿海地區建立足夠的供應鏈和基礎設施。

And so it's not one thing that you can point to. I think it's the narrative that we have about where we're spending our time and energy, not only on the pre-FID work that we're doing, but also on the commercial side. And these announcements, we think we're going to go to leverage that Carnival contract beautifully.

所以這不是你可以指出的一件事。我認為這是我們在哪裡花費時間和精力的敘述，不僅在我們正在進行的最終投資決定之前的工作上，而且在商業方面。這些公告，我們認為我們將完美地利用嘉年華合約。

It's safe to assume that we're in discussions with other would be off-takers. They think that we are a credible and interesting and safe operator. And so it's not one thing that's going to be a telltale sign for you, Martin, it's a variety of things on the CapEx side, but also on the OpEx, -- excuse me, on the commercial side.

可以肯定的是，我們正在與其他承購商進行討論。他們認為我們是一個可靠、有趣且安全的營運商。因此，馬丁，這對你來說並不是一個能說明問題的跡象，而是資本支出方面的各種事情，還有運營支出方面的事情——對不起，在商業方面。

Great. That's very helpful. My next question just wanted to talk about providing gas for data centers or industrial manufacturers. We've heard a lot of stories from these companies that they're concerned about getting power in a timely manner and the quantities that they need and also about the reliability of the grid.

偉大的。這非常有幫助。我的下一個問題只是想談談為資料中心或工業製造商提供天然氣。我們從這些公司聽到了很多故事，他們擔心及時獲得所需的電力以及電網的可靠性。

Could you maybe talk a little bit more about what kind of solutions they're looking for and the role that Stabilis could play?

您能否多談談他們正在尋找什麼樣的解決方案以及穩定公司可以發揮的作用？

Yeah, they're a tough spot. And as you know, and as we've mentioned, 25% of our business in 2023 was in and around kind of that power-gen business. As we mentioned in our remarks, that we've extended one of those contracts. So we have a lot of experience here. I think what it's going to take is really the aggregation of a wide variety of solutions as the vast majority of these cloud and data centers are eager to have as clean of an alternative as possible.

是的，他們是一個艱難的地方。如您所知，正如我們所提到的，到 2023 年，我們 25% 的業務屬於發電業務及其周邊。正如我們在評論中提到的，我們已經延長了其中一份合約。所以我們在這裡有很多經驗。我認為真正需要的是各種解決方案的聚合，因為絕大多數雲端和資料中心都渴望擁有盡可能乾淨的替代方案。

And we think that we can play a meaningful role on the front end as a lot of these data centers are being installed and trying to think through their supplemental and redundant backup power needs, we make our solutions capabilities can bring not only natural gas, but potentially aggregate other potential clean fuels as a package solution.

我們認為，我們可以在前端發揮有意義的作用，因為許多資料中心正在安裝，並試圖考慮它們的補充和冗餘備用電源需求，我們使我們的解決方案能力不僅可以帶來天然氣，還可以帶來天然氣。

And so we'll continue to be, I think, involved heavily on the front end and in assisting them, but also providing fuels that we currently offer or that we will in the future offer as kind of package solutions to supplement their behind-the-meter needs. It's really not so much primary power concern is that peak or supplemental or backup power. That's of great concern to us.

因此，我認為，我們將繼續大力參與前端工作並為他們提供幫助，同時也提供我們目前提供的燃料或我們將來將提供的一攬子解決方案，以補充他們的背後-米需求。實際上，主要的電源問題並不是峰值、補充或備用電源。這是我們非常關心的。

Thank you. I'll turn it back.

謝謝。我會把它轉回來。

Thanks.

謝謝。

Bill Dezellem, Tieton Capital.

比爾·德澤勒姆，泰頓資本。

Great. Thank you. I have a group of questions also. So first of all, were both of the plants fully utilized in the first quarter?

偉大的。謝謝。我也有一組問題。首先，這兩家工廠在第一季是否已充分利用？

By and large, yeah, we had high utilization rates. Our George West plant, and we had some maintenance items that happened in March, but by and large, fairly heavily utilized.

總的來說，我們的利用率很高。我們的喬治西工廠在三月進行了一些維護項目，但總的來說，利用率相當高。

Okay. And in the spirit of the question I was trying to understand if you are using the first quarter as a run rate is a reasonable starting point to your comment in the press release that you're going to be fully utilized through 2025?

好的。本著這個問題的精神，我試圖了解您使用第一季的運行率是否是您在新聞稿中評論的合理起點，即您將在 2025 年之前充分利用？

Yeah. I think that's probably good proxy. One of the things that you've got to remember though, is we had some seasonality, our financials in the first quarter. Those will manifest themselves again in Q4. And so it's seasonality can make it a little bit tricky, but I think to your question about our own production capacity, it's not a false assumption for you to think that those both plants will be highly utilized. Obviously, our George West is a much larger plant than our Port Allen plant. But we think utilization should be high throughout the entire year as well as through next year.

是的。我認為這可能是很好的代理。不過，您必須記住的一件事是，我們第一季的財務狀況存在一些季節性。這些將在第四季再次顯現出來。因此，季節性可能會讓事情變得有點棘手，但我認為，對於您關於我們自己的生產能力的問題，您認為這兩家工廠將得到高度利用並不是一個錯誤的假設。顯然，我們的喬治西工廠比我們的艾倫港工廠大得多。但我們認為全年以及明年的利用率應該很高。

That's helpful. And relative to that, to seasonal business in the Northeast, how much of the first quarter would be attributed to that.

這很有幫助。相對而言，東北地區的季節性業務，第一季有多少將歸因於此。

The winter peaking revenue, Bill for the first quarter was about three-quarters of $1 million.

冬季高峰期，比爾第一季的營收約為 100 萬美元的四分之三。

So not a large portion of the quarter. This year, it wasn't that large, but it's you know, it's revenue at pretty good margins because a lot of it's standby power. So it's, you know, it's solid business for us. We see that in Q1 and to a lesser extent, Q4.

因此，本季的大部分時間並不多。今年，規模沒有那麼大，但你知道，它的收入利潤率相當高，因為其中很大一部分來自待機功耗。所以，你知道，這對我們來說是一項可靠的業務。我們在第一季和第四季都看到了這一點。

Okay, great. That is that is helpful. And then I wanted to circle back to the discussion about the data centers that you were having before I would have thought and I'm just expressing my ignorance here that most of these data centers would be in locations that they could tie into a natural gas pipeline and not need to use LNG. Am I completely off base with that? Or does it really depend on the plant. Would you kind of put some perspective around that, please?

好的，太好了。這就是有幫助的。然後我想回到關於數據中心的討論，我之前曾想過，我只是在這裡表達我的無知，這些數據中心中的大多數都位於可以連接天然氣的位置管道，不需要使用LNG。我完全沒有根據嗎？或者它真的取決於植物嗎？請您對此發表一些看法好嗎？

It's a mix of both. And so you've got a wide array of locations where these data centers are plugging into. It's not so much that they're not part of the grid. It's not so much that they are involved in natural gas pipelines, certainly where there is a large infrastructure of natural gas pipelines. It's when you get outside of the Texas kind of Gulf Coast corridor and you're in Virginia and you're in the Midwest, the availability isn't nearly as robust to have supplemental peak capabilities, not dissimilar to the Northeast in peak shaving times.

它是兩者的混合體。因此，這些資料中心可以插入到各種各樣的位置。並不是說它們不是網格的一部分。與其說他們涉足天然氣管道，當然在有大型天然氣管道基礎設施的地方。當你離開德克薩斯州的墨西哥灣沿岸走廊，而你在弗吉尼亞州，你在中西部，可用性並沒有那麼強大，無法提供補充峰值能力，與東北地區的調峰時間沒有什麼不同。

And so as they come off kind of baseload and they start to migrate towards peak or supplemental power, there isn't enough for them to have. And so they've got to think of alternative solutions to supplement their contractual requirements for massive redundancy and massive uptime rates. It's a real problem and we think we can be a real solution for them.

因此，當它們脫離基本負載並開始向尖峰或補充電力遷移時，它們就沒有足夠的電力了。因此，他們必須考慮替代解決方案來補充其對大量冗餘和大量正常運行時間率的合約要求。這是一個真正的問題，我們認為我們可以為他們提供真正的解決方案。

So Westy, to make sure that I'm clear what you're saying. So if you have a plant in the Midwest that -- is based off of electricity gets hot in the summer. And so a great proportion of the time, the electricity and pulling off the grid is just fine. But in those periods where it's extraordinarily hot or conversely super cold in the winter and it starts to put pressure on the grid at that point to maintain their high uptime, they need backup and that's what you're talking about here?

Westy，請確保我清楚你在說什麼。因此，如果你在中西部有一家依靠電力的工廠，那麼夏天就會很熱。因此，在很大一部分時間裡，電力和脫離電網都很好。但在冬季異常炎熱或異常寒冷的時期，電網開始承受壓力以維持較高的正常運行時間，他們需要備份，這就是您在這裡談論的？

That's exactly right. That's exactly right. It's that peak, it's not baseload of primary power. That -- that's a market that we're going to those utilities are going to do that. It's exactly right. The supplemental peak and non baseload power demands they have is part A. Part B is just if you look at the general landscape of power demand, we think over the next five years, the US is short 30 to 40 gigawatts.

完全正確。完全正確。這是峰值，它不是主電源的基本負載。這就是我們要去的市場，那些公用事業公司會這麼做。這是完全正確的。他們的補充尖峰和非基本負載電力需求是 A 部分。

And that's because you're just going to have this proliferation of multi-dimensional hyperscale data centers that are coming online and there just isn't enough grid power to even suffice that. So those baseload won't be nearly -- those new data centers coming on. The baseload offtake won't be as high as the pre-existing. So they're just -- we're just short power.

這是因為，多維超大規模資料中心將會大量湧現，而電網電力卻不足以滿足這項需求。因此，這些基本負載不會接近——那些即將投入使用的新資料中心。基本負載承購量不會像之前那麼高。所以他們只是——我們只是缺乏電力。

Great. Thank you. And then would you please provide more detail on the power generation customer that you extended the contract with?

偉大的。謝謝。那麼您能否提供有關與您續約的發電客戶的更多詳細資訊？

It's -- I can't give you the name, but it's a customer along the Gulf Coast, that we've been -- that we've had relationship with for quite some time now.

我不能告訴你名字，但我們已經與墨西哥灣沿岸的客戶建立了相當長的合作關係。

Is this a storm repair situation where the utility is just not -- has not made the repairs as quickly as anticipated to your customer as a longer contract and therefore, you have a longer life on this also?

這是風暴維修的情況嗎？

Yes.

是的。

Okay, that is helpful. And then last question, is the marine bunkering. Would you please go into some more detail and discussing as much as you can about additional perspective, marine bunkering customers and the process that they are going through to make their decision.

好的，這很有幫助。最後一個問題是海上加油。請您詳細介紹並盡可能討論其他觀點、海上加油客戶以及他們做出決定的過程。

Sure. So if you think about really the addressable market from our perspective, it's really, really [ratable] and large offtake. That's kind of the sweet spot for us. And so when you more specifically think about that, it's those large cruise ships, it's those large containerships, large car carriers, large aluminum buyers but also -- it's those that are as sticky as possible.

當然。因此，如果您從我們的角度真正考慮潛在市場，您會發現它確實是[可評估的]並且承購量很大。這對我們來說是最有利的地方。因此，當你更具體地考慮這一點時，是那些大型遊輪、大型貨櫃船、大型汽車運輸船、大型鋁買家，而且是那些盡可能具有黏性的船。

We like the cruise industry because there's ratability every five, six, seven days are coming back to port refueling because they're offloading. Their cargo carriers have pretty predictable in their ports of call as are the container guys. So those are really, really interesting offtakes because they're just so large and predictable.

我們喜歡遊輪業，因為每五、六、七天就會有一次返回港口加油的機會，因為他們正在卸貨。他們的貨運公司和貨櫃公司一樣，在停靠港的停靠港也相當可預測。因此，這些都是非常非常有趣的業務，因為它們規模如此之大且可預測。

But every markets can be a little different. The Gulf Coast is going to have a heavier influence of tankers, West Coast has got that big trade lane come out of Asia, a big cargo port that port of Long Beach L.A. It's one of the if not the largest business, most heavily trafficked importantly in the US. East Coast has certainly got its own interesting demand needs. And I think as these vessels start to come online more and more throughout the latter part of this year and next year, the real inflection point hits and they -- these procurement teams are in desperate need of finding a US domestic solution for liquefied natural gas.

但每個市場都可能略有不同。墨西哥灣沿岸將對油輪產生更大的影響，西海岸擁有來自亞洲的大型貿易航線，洛杉磯長灘港是一個大型貨運港口。東海岸當然有自己有趣的需求。我認為，隨著這些船隻在今年下半年和明年開始越來越多地上線，真正的轉折點到來了，他們——這些採購團隊迫切需要找到美國國內的液化天然氣解決方案。

And we think that we've got the credibility and capability and know-how to do greenfield infrastructural construction, commissioning, and operations of liquefied natural gas plants. And so we are in lots of discussions with a lot of prospective customers who recognize that and recognize our capability along that cruise, cargo, car carrier large kind of offtake, big, big ships. That helps?

我們認為我們擁有進行液化天然氣工廠的綠地基礎設施建設、調試和運營的信譽、能力和專業知識。因此，我們正在與許多潛在客戶進行大量討論，他們認識到這一點，並認識到我們在郵輪、貨運、汽車運輸大型承運、大型船舶方面的能力。有幫助嗎？

It does. And then I guess I'll take that one step further is, are there -- what are the key factors that they are looking for and and what slows them down in their decision making?

確實如此。然後我想我會更進一步，他們正在尋找的關鍵因素是什麼以及是什麼阻礙了他們的決策？

Well, I think the first one or two are obvious, it's availability. And then secondly, it's creating availability of scale. I think one of the interesting dynamics here is a lot of these procurement teams who have vessels the traversing the planet, or not as I think, in tune with the lack of liquefied natural gas infrastructure to support bunkering operations in the US.

嗯，我認為前一兩個是顯而易見的，那就是可用性。其次，它正在創造規模的可用性。我認為這裡有趣的動態之一是許多採購團隊擁有穿越地球的船隻，或者不像我想像的那樣，與美國缺乏液化天然氣基礎設施來支持加油業務相一致。

And so I think they've had to really think differently about A, there's trade lanes and where they're going to bring new ships and to fuel their ships and B, their contractual obligations, you know, obviously a lot of people would love to just have a gas station every corner and the optionality to refuel. That's just not the case in the US.

所以我認為他們必須對A有不同的思考，有貿易航線，他們將在哪裡引進新船並為他們的船隻提供燃料，B，他們的合約義務，你知道，顯然很多人會喜歡每個角落都有加油站並且可以選擇加油。但美國的情況並非如此。

And so we're very excited and bullish on the prospects of getting some ratability and some firmness to some of these contracts is not going to happen with all of them.

因此，我們對其中一些合約獲得一定評級和堅定性的前景感到非常興奮和樂觀，但這些合約不會全部實現。

And but those discussions are ongoing and as I mentioned earlier, we're going to balance that with some some merchant risk based upon the tidal wave of demand that we see of ships that need a fuel. And so that's really kind of the state of play right now.

但這些討論仍在繼續，正如我之前提到的，我們將根據我們看到的需要燃料的船舶的需求浪潮來平衡一些商業風險。這就是現在的情況。

Thank you and congratulations on another solid quarter.

謝謝並祝賀您又一個穩定的季度。

Thanks, Bill.

謝謝，比爾。

(Operator Instructions) Barry Haimes, Sage Asset .

（操作員指令）Barry Haimes，Sage Asset。

Thanks so much for taking my questions and good quarter, guys. First question is, the Carnival contract, which I think you said started in the first quarter. For the balance of the year, is it a similar run rate? Does it ramp could you just describe how the volumes might look across the year for them? Thanks.

非常感謝你們提出我的問題並祝大家好。第一個問題是嘉年華合同，我想你說的是從第一季開始的。今年剩餘時間的運行率是否相似？它是否會增加？謝謝。

Yeah. I think it's pretty range-bound for the balance of the year and certainly through the next year.

是的。我認為今年餘下的時間裡，尤其是明年，它的範圍相當大。

Got it. Okay. And then and the extra 3,000 gallons of capacity, when does the equipment actually get delivered to get a feel for the timing thing?

知道了。好的。然後，還有額外的 3,000 加侖容量，何時實際交付，以了解時間表？

Yeah. So one of the unique attributes of that is it's mobile and it's flexible and it's modular. And so we want to be thoughtful about doing that. So trying to pinpoint a time line is difficult. But I think our predisposition is to have that on the water front, or at least have decisions made in the next quarter or so about where that's going to go in the waterfront in order to build out a first train for LNG capacity for bunkering operations, likely the Gulf Coast. And I think you know, it's over the next few months, we'd like to have a firm appreciation of where that's going to go in. And once that happens, I think we'll be a way to articulate that to you all.

是的。因此，它的獨特屬性之一是它的移動性、靈活性和模組化。因此，我們希望在這樣做時深思熟慮。因此，試圖確定一個時間線是很困難的。但我認為我們的傾向是在濱水區進行部署，或至少在下個季度左右做出決定，決定將其部署在濱水區的何處，以便建造第一列用於加油作業的液化天然氣產能列車，可能是墨西哥灣沿岸。我想你知道，在接下來的幾個月裡，我們希望對未來的發展有一個堅定的認識。一旦發生這種情況，我想我們將成為向大家闡明這一點的一種方式。

Okay, great. So just follow-up on that because that was my next question. When you say likely Gulf Coast, when you talked about the applications cruise ships, I always think Miami. And to your point, the container ships, LA Long Beach is the -- it's the biggest import spot for them. So why -- since you're already in the Gulf Coast, why wouldn't you more likely look to one of the other coasts, if you will, that you've been looking at? Thanks.

好的，太好了。所以請繼續跟進，因為這是我的下一個問題。當你說可能是墨西哥灣沿岸時，當你談到遊輪的應用時，我總是想到邁阿密。就您而言，貨櫃船，洛杉磯長灘是它們最大的進口地點。那麼為什麼——既然你已經在墨西哥灣沿岸了，為什麼你不更有可能去看看你一直在關注的其他海岸（如果你願意的話）呢？謝謝。

No, no, we are. We're looking at a variety of coasts. It's just, I think a couple of dynamics in the Gulf Coast that I think are really important, which is our backyard.

不，不，我們是。我們正在尋找各種海岸。只是，我認為墨西哥灣沿岸的一些動態非常重要，那就是我們的後院。

Secondly, we think we can successfully leverage that contract that we have now in Galveston. It's a sub optimal supply chain because we're taking LNG from an inland supply source hours and trucking it to the water and then bunkering their vessel and moving that to the water is a much more scalable, efficient operation.

其次，我們認為我們可以成功地利用我們現在在加爾維斯頓簽訂的合約。這是一個次優的供應鏈，因為我們從內陸供應源獲取液化天然氣，然後用卡車將其運送到水中，然後為他們的船隻加註燃料，然後將其轉移到水中，這是一種更具可擴充性、更有效率的操作。

Thirdly, we think that there's really some pent-up demand, not only in incremental cruise ships coming into the Galveston market, but also container and car carriers are also coming into this market as well. So we think it's an elegant location for us to strongly consider deploying that first train recognizing there should and will be follow on trains thereafter.

第三，我們認為確實存在一些被壓抑的需求，不僅是增量遊輪進入加爾維斯頓市場，貨櫃和汽車運輸船也進入這個市場。因此，我們認為這是一個優雅的地點，我們可以強烈考慮部署第一列火車，因為我們認識到那裡應該並且將在以後的火車上跟隨。

But it doesn't mean that. We don't reserve the right to put it inland, if Olson an aerospace customer comes with highly attractive some needs or if data center needs are highly attractive as well that drive real earnings and high returns on capital. So that's one of the benefits and attributes, as I mentioned about having small-scale modular capacity that we've already purchased. Lead times are long. So we've got a unique advantage here. And I think to repeat myself, our first inclination is to leverage our success in Galveston and expand that capability because there's a tidal wave of demand in the Gulf Coast, West Coast, and East Coast.

但這並不意味著。如果航空航太客戶 Olson 提出了極具吸引力的某些需求，或者資料中心的需求也極具吸引力，從而推動了實際收益和高資本回報率，我們不保留將其部署到內陸的權利。這就是好處和屬性之一，正如我所提到的，我們已經購買了小型模組化容量。交貨時間很長。所以我們在這裡有獨特的優勢。我想再說一遍，我們的第一個傾向是利用我們在加爾維斯頓的成功並擴大這種能力，因為墨西哥灣沿岸、西海岸和東海岸的需求激增。

No, thanks. That's very helpful. That explains a lot. My final question is maybe just an update on space. I know it's lumpy, but could you describe how that went in the first quarter and what your outlook is for the year compared to last year? Thanks.

不，謝謝。這非常有幫助。這解釋了很多。我的最後一個問題可能只是關於太空的最新情況。我知道情況很不穩定，但您能描述一下第一季的情況嗎？謝謝。

Yeah, I'll just say qualitatively space is a really good business of ours, and it's a great margin business for us, and we're very excited and honored to be a kind of the size participant we are in that market and that market's growing. Quantitatively Andy, you want to shed some light on it.

是的，我只想說，從質量上來說，太空是我們的一項非常好的業務，這對我們來說是一項利潤豐厚的業務，我們非常興奮和榮幸能夠成為我們在該市場中的規模參與者，並且該市場的生長。安迪，你想從數量上闡明這一點。

It's about 6% of our revenue in the first quarter. And as we've talked about in some of our releases, we expect that to continue to grow and become a more significant part of our business.

這約占我們第一季營收的 6%。正如我們在一些版本中所討論的那樣，我們預計這一點將繼續成長並成為我們業務中更重要的一部分。

Great. Thanks, guys. Appreciate it.

偉大的。多謝你們。欣賞它。

Yeah, thank you.

是的，謝謝。

This does conclude the Q&A portion of today's call. And at this time I'm pleased to turn the floor back to Mr. Ballard for his closing remarks.

今天電話會議的問答部分到此結束。現在我很高興請巴拉德先生致閉幕詞。

Thanks, everybody, for joining us, and we look forward to seeing you on the road in short order.

感謝大家加入我們，我們期待很快在路上見到您。

This does conclude today's teleconference, and we thank you all for your participation. You may now disconnect.

今天的電話會議到此結束，我們感謝大家的參與。您現在可以斷開連線。