實耐寶 (SNA) 2023 Q1 法說會逐字稿

Hello, and welcome to the Snap-on Incorporated 2023 First Quarter Results Conference Call. (Operator Instructions) Please note, today's event is being recorded. I would now like to turn the conference over to your host today, Sara Verbsky, Vice President, Investor Relations.

大家好，歡迎來到 Snap-on Incorporated 2023 年第一季度業績電話會議。 （操作員說明）請注意，今天的活動正在錄製中。我現在想把會議轉交給今天的主持人，投資者關係副總裁 Sara Verbsky。

Ma'am, please go ahead.

女士，請繼續。

Thank you, Keith, and good morning, everyone. Thank you for joining us today to review Snap-on's first quarter results, which are detailed in our press release issued earlier this morning. We have on the call today, Nick Pinchuk, Snap-on's Chief Executive Officer; and Aldo Pagliari, Snap-on's Chief Financial Officer. Nick will kick off our call this morning with his perspective on our performance. Aldo will then provide a more detailed review of our financial results. After Nick provides some closing thoughts, we'll take your questions.

謝謝你，基思，大家早上好。感謝您今天加入我們，回顧 Snap-on 第一季度的業績，我們在今天上午早些時候發布的新聞稿中對此進行了詳細說明。 Snap-on 的首席執行官 Nick Pinchuk 今天接聽了我們的電話；和 Snap-on 的首席財務官 Aldo Pagliari。尼克將在今天早上以他對我們表現的看法開始我們的電話會議。奧爾多隨後將對我們的財務業績進行更詳細的審查。在 Nick 提供一些結束語後，我們將回答您的問題。

As usual, we have provided slides to supplement our discussion. These slides can be accessed under the Downloads tab in the webcast viewer as well as on our website, snapon.com, under the Investors section. These slides will be archived on our website along with a transcript of today's call.

像往常一樣，我們提供了幻燈片來補充我們的討論。這些幻燈片可以在網絡廣播查看器的“下載”選項卡下以及我們網站 snapon.com 的“投資者”部分下訪問。這些幻燈片將連同今天電話會議的文字記錄一起存檔在我們的網站上。

Any statements made during this call relative to management's expectations, estimates or beliefs or that otherwise discuss management's or the company's outlook, plans or projections are forward-looking statements, and actual results may differ materially from those made in such statements. Additional information and the factors that could cause our results to differ materially from those in the forward-looking statements are contained in our SEC filings. Finally, this presentation includes non-GAAP measures of financial performance, which are not meant to be considered in isolation or as a substitute for their GAAP counterparts. Additional information regarding these measures is included in our earnings release issued today, which can be found on our website.

在本次電話會議期間作出的任何與管理層的預期、估計或信念相關的陳述，或者以其他方式討論管理層或公司的前景、計劃或預測的任何陳述都是前瞻性陳述，實際結果可能與此類陳述中的結果存在重大差異。其他信息和可能導致我們的結果與前瞻性陳述中的結果存在重大差異的因素包含在我們提交給美國證券交易委員會的文件中。最後，本演示文稿包括非 GAAP 財務業績衡量標準，不應孤立考慮或替代其 GAAP 對應衡量標準。有關這些措施的更多信息包含在我們今天發布的收益報告中，可在我們的網站上找到。

With that said, I'd now like to turn the call over to Nick Pinchuk. Nick?

話雖如此，我現在想把電話轉給 Nick Pinchuk。缺口？

Thanks, Sara. As usual -- good morning, everybody. Good morning. As usual, I'll start the call by covering the highlights of the first quarter, and I'll give you my perspective on what it all means. And then Aldo will provide a detailed review of the financials. Along the way, we'll cover the markets. The robust gangbusters. We'll also give you a view of our momentum. It's been unbroken and vibrant.

謝謝，薩拉。和往常一樣——大家早上好。早上好。像往常一樣，我將通過介紹第一季度的亮點來開始電話會議，然後我將向您介紹我對這一切意味著什麼的看法。然後奧爾多將提供詳細的財務審查。在此過程中，我們將涵蓋市場。強大的黑手黨。我們還將讓您了解我們的發展勢頭。它一直完整而充滿活力。

Once again, the story of our quarter is continued resilience. Our ability to navigate the complex while knowing that with the flip of a calendar -- with the flip of the calendar will bring new challenges. You could pick up any significant publication or listen or watch any business show and you will encounter a variety of concerns, the measures of adversity and contraction. What we know, we can resist the difficulties. And so we have for the past 3 months and for quarter after quarter.

再一次，我們這個季度的故事是持續的韌性。我們駕馭複雜事物的能力，同時知道隨著日曆的翻轉——隨著日曆的翻轉將帶來新的挑戰。你可以拿起任何重要的出版物或收聽或觀看任何商業節目，你會遇到各種各樣的問題、逆境和收縮的措施。我們所知道的，我們可以抵抗困難。因此，我們在過去 3 個月和每個季度都如此。

You see, we're armed with significant advantages. Our markets, displaying resilience born out of criticality, our brand standing above delivering quality and reinforcing personal pride, our products. They clearly move the world forward by making the critical easier. And finally, our people, our team, experienced, capable and confident. We are encouraged by this quarter, and I'll tell you why.

你看，我們擁有顯著的優勢。我們的市場顯示出源於關鍵的韌性，我們的品牌超越提供質量和增強個人自豪感，我們的產品。他們顯然通過讓關鍵變得更容易來推動世界向前發展。最後，我們的員工、我們的團隊經驗豐富、有能力且充滿信心。我們對這個季度感到鼓舞，我會告訴你原因。

Our reported sales in the period were $1.183 billion, up versus last year by $85.2 million or 7.8%, including $24 million or 240 basis points of unfavorable foreign exchange. Organic sales, they were up 10.2%, increases in every group, our 11th consecutive quarter of year-over-year operating expansion. Our opco operating income for the quarter was $259.8 million, including $7.6 million of unfavorable foreign currency, increasing by 16.5%. And the operating margin, it was 22%, rising 170 basis points over last year.

我們在此期間報告的銷售額為 11.83 億美元，比去年增加 8520 萬美元或 7.8%，其中包括 2400 萬美元或 240 個基點的不利外匯。有機銷售額增長了 10.2%，每組都有增長，這是我們連續第 11 個季度實現同比運營擴張。我們本季度的 opco 營業收入為 2.598 億美元，其中包括 760 萬美元的不利外幣，增長了 16.5%。營業利潤率為 22%，比去年上升 170 個基點。

For financial services, operating income of $66.3 million compared to last year's $70.4 million. And that complies with opco -- and that combined with opco resulted in a consolidated operating margin of 25.6%, an 80 basis point improvement. In the first quarter's EPS, $4.60, up $0.60 or 15% from last year's $4. So we believe our confidence and our ongoing optimism is clearly justified by the numbers.

對於金融服務，營業收入為 6630 萬美元，而去年為 7040 萬美元。這符合 opco 的要求——與 opco 相結合導致綜合營業利潤率為 25.6%，提高了 80 個基點。第一季度的每股收益為 4.60 美元，比去年的 4 美元上漲 0.60 美元或 15%。因此，我們相信我們的信心和我們持續的樂觀情緒顯然是由數字證明的。

Now let's look closer at our markets. The automotive repair environment remains hot. Demand across all disciplines. We continue investing in new products and accommodating the repair challenges of newer models, matching the increased complexity. As platforms change, the modification requires new tools to accomplish the task, and we're keeping pace, whether it's an internal combustion engine or an electric vehicles, the techs need an assist and we're ready to bring it.

現在讓我們仔細看看我們的市場。汽修環境依舊火爆。跨學科的需求。我們繼續投資於新產品並應對新型號的維修挑戰，以應對日益增加的複雜性。隨著平台的變化，修改需要新的工具來完成任務，我們正在跟上步伐，無論是內燃機還是電動汽車，技術人員都需要幫助，我們已準備好提供幫助。

The updates create a range of challenges, new challenges, from accessibility issues associated with combined spaces requiring new designs of varying geometries. The tighter engineering talent fueling the need for precision torque instrument to the increasing number of fasteners and listing our power tools to remove and install parts efficiently to the rise of drive by wire, more electronics. The more the electronics, the greater the need for handheld diagnostics and special software that can communicate with and manage the neural network of computers and sensors.

這些更新帶來了一系列挑戰，新的挑戰，從與需要不同幾何形狀的新設計的組合空間相關的可訪問性問題。更緊密的工程人才推動了對精密扭矩儀器的需求，以增加緊固件的數量，並列出我們的電動工具以有效地拆卸和安裝零件，以推動線控驅動、更多電子產品的興起。電子設備越多，對手持式診斷和特殊軟件的需求就越大，這些軟件可以與計算機和傳感器的神經網絡進行通信並對其進行管理。

We're seeing strength in OEM dealerships. As new models break down to the market, new arrays of essential tools, equipment and diagnostics are needed to service the different and unique characteristics of each vehicle. For independent repair shops, business is booming. You're taking your vehicle in for service recently, you've witnessed this first hand, the bays are full and the parking lots are chockablock. And when I speak with our franchisees, they are enthusiastic, saying demand is robust. It's written all over the numbers. Garages are scheduled further out for shops of all types. Owners see the growth. They know they need technicians. And as you might expect, the rise in the tech count is substantial and the wages are moving up. And then of course, this is all music to our ears.

我們看到了 OEM 經銷商的實力。隨著新車型進入市場，需要一系列新的基本工具、設備和診斷工具來為每輛車的不同和獨特特性提供服務。對於獨立維修店來說，生意興隆。您最近要將車輛送去維修，您已經親眼目睹了這一情況，車位已滿，停車場也人滿為患。當我與我們的加盟商交談時，他們很熱情，說需求強勁。它寫在所有數字上。車庫被安排在更遠的地方，供各種類型的商店使用。業主看到了增長。他們知道他們需要技術人員。正如您所預料的那樣，技術人員數量的增長是巨大的，而且工資也在上漲。當然，這對我們來說都是音樂。

We believe that with the new vehicle models, the rise of automation, the growing need for precision and the increasing vehicle complexity, we may be entering the golden age of vehicle repair and our numbers say it may be so. So people repair. It's a great place to operate for our Tools Group and for our Repair Systems and Information Group, RS&I. And we believe it's only getting better.

我們相信，隨著新車型的出現、自動化的興起、對精度的需求不斷增長以及車輛複雜性的增加，我們可能正在進入車輛維修的黃金時代，我們的數據表明可能如此。於是人修。對於我們的工具組和我們的維修系統和信息組 RS&I 來說，這是一個很好的運營場所。我們相信它只會變得更好。

Now let's talk about the critical industries where commercial and industrial, C&I, take Snap-on out of the garage, solving tasks of consequences, representing our most significant international presence. It's an area where we're -- I suppose, most subject to global headwinds, but the news is still reasonably encouraging. The critical industries kept rising across sectors, aviation, education, heavy-duty fleets, general industry and natural resources, all up. And the military, once down, is now rebounding with high demand.

現在讓我們談談關鍵行業，在這些行業中，商業和工業、C&I、將 Snap-on 帶出車庫，解決後果任務，代表我們最重要的國際影響力。這是一個我們所在的領域——我想，最容易受到全球逆風的影響，但這個消息仍然相當令人鼓舞。關鍵行業持續上漲，航空、教育、重型船隊、一般工業和自然資源等行業均上漲。軍方一度下滑，現在需求旺盛，正在反彈。

And for geographies, North America was strong. Europe was improved, even in the face of ongoing -- of the ongoing war in Ukraine and the revenue disruption of the Brexit and Asia Pacific remained mixed, variation across the landscape. But overall, the critical industry markets of C&I showed significant and broad positives every sector. The first quarter is marked by substantial strides in that arena, and we see more opportunity on the horizon.

就地理位置而言，北美很強大。即使面對烏克蘭持續不斷的戰爭以及英國退歐和亞太地區的收入中斷，歐洲也有所改善，整個地區情況參差不齊。但總體而言，C&I 的關鍵行業市場在每個領域都表現出顯著而廣泛的積極影響。第一季度在該領域取得了長足的進步，我們看到了更多的機會。

We believe there's abundant and ongoing potential all along our runways for growth, enhancing the van network, expanding with repair shop owners and managers, extending the critical industry and building in emerging markets, leveraging our extensive product line, welding our strengthening brand and deploying the increasing understanding of the tasks, connecting to the customer, standing face-to-face in the workplace where the tasks are performed, observing the work, turning that insight into an innovative new products and some in the future for professionals. And we amplify that endeavor by applying a generous helping a rapid continuous improvement, or RCI, as we call it, driving our productivity and our margin upwards. So that's our view of the market.

我們相信，我們的跑道在增長、增強貨車網絡、與維修店所有者和經理一起擴張、擴展關鍵行業和在新興市場建設、利用我們廣泛的產品線、鞏固我們強大的品牌以及部署增加對任務的理解，與客戶建立聯繫，站在執行任務的工作場所面對面，觀察工作，將這種洞察力轉化為創新的新產品，並在未來為專業人士提供一些產品。我們通過慷慨幫助快速持續改進（我們稱之為 RCI）來擴大這一努力，從而提高我們的生產力和利潤率。這就是我們對市場的看法。

Now let's turn to the groups. In the C&I group, sales of $363.8 million, including $12.5 million unfavorable foreign currency, increased 7% to last year. Organic sales were up 11.1% with double-digit gains in critical industries and specialty torque that precision leading the way. C&I's operating income of $55.8 million, including $2 million of unfavorable foreign currency, represents an increase of 22.1% over last year, and the operating margin was 15.3%, up 190 basis points from the 2022 level, promising numbers, right?

現在讓我們轉向小組。 C&I 集團的銷售額為 3.638 億美元，其中包括 1250 萬美元的不利外幣，比去年增長 7%。有機銷售額增長了 11.1%，關鍵行業的兩位數增長和精密領先的專業扭矩。 C&I 的營業收入為 5580 萬美元，其中包括 200 萬美元的不利外幣，比去年增長 22.1%，營業利潤率為 15.3%，比 2022 年的水平高出 190 個基點，這是一個很有希望的數字，對吧？

C&I demonstrated considerable growth despite the ongoing uncertainty across geographies. One of the factors that's been attenuating C&I in the recent past was the impact of supply turbulence. The customize -- you heard me say it on the go, the customized kits with many different products are vulnerable to availability disruption. And one of the drivers behind the C&I rise were the improvements along the supply chain. During the period, we started to clean the log jams and reduce the impacts. The first quarter is evidence of that progress.

儘管各地區持續存在不確定性，但 C&I 仍顯示出可觀的增長。最近削弱 C&I 的因素之一是供應動蕩的影響。定制——你聽到我在旅途中說過，包含許多不同產品的定制套件很容易受到可用性中斷的影響。 C&I 上漲背後的驅動力之一是供應鏈的改善。期間，我們開始清理堵塞的原木，減少影響。第一季度就是這種進步的證據。

For some time, we've said that the demand in critical initiatives have been strong. It continued in the first quarter. And that positive is rooted in innovative products designed specifically for making a difference in critical paths. One example is our new ATech 1/4-inch Drive Flex-Head TechAngle Micro Torque Wrench, through a mouthful, but it's a great product. It's aimed directly at the aircraft repair where -- at aircraft repair with a necessity for torque precision is rising. The need for power is increasing and repair in tight spaces is becoming more common.

一段時間以來，我們一直在說關鍵舉措的需求一直很強勁。它在第一季度繼續。這種積極的影響源於專為改變關鍵路徑而設計的創新產品。一個例子是我們的新 ATech 1/4 英寸驅動 Flex-Head TechAngle 微型扭矩扳手，雖然是一口，但它是一款很棒的產品。它直接針對飛機維修——在飛機維修中，扭矩精度的必要性正在提高。對電力的需求不斷增加，在狹小空間內進行維修也變得越來越普遍。

Our new unit works on all 3 fronts. The new wrench is almost 1 foot long, but less than an inch in diameter. Configured to facilitate access deep inside engine compartments. It's also equipped with a 15-degree Flex-Head design, allowing it to avoid obstacles. And it uses our durable 72-tooth gear mechanism, enabling the tool to operate with small rotations when the barriers restrict motion, making it tough wrench. The new ATech has power, significant power, reaching 300-inch. It's expanding the range by 20% and increasing the number of applications that tool can cover. Consolidating tasks from multiple devices into one convenient unit and eliminating change over time, providing -- that's providing a nice productivity gain.

我們的新單位在所有 3 個方面開展工作。新扳手幾乎有 1 英尺長，但直徑不到 1 英寸。配置為便於深入發動機艙內部。它還配備了 15 度 Flex-Head 設計，使其能夠避開障礙物。它使用我們耐用的 72 齒齒輪機構，使工具能夠在障礙物限制運動時以小的旋轉操作，使其成為堅固的扳手。新ATech有動力，顯動力，達到300寸。它將範圍擴大了 20%，並增加了該工具可以涵蓋的應用程序數量。將來自多個設備的任務整合到一個方便的單元中，並消除隨時間變化的變化，提供——這提供了一個很好的生產力增益。

The unit has 4 alert modes, LCD, LED, vibratory and audible. Renting it -- those 4 prevent over torquing. Even when the visibility is low and the space is constrained. And when combined with the units accuracy plus or minus 2%, the feature serv to keep the fastening right on spec. The ATech accessibility, power and accuracy protects throughout the aviation sector, it's another hit product that helped drive C&I upward in this quarter. Well, that's C&I, on the rise, higher sales, stronger profits, powerful products and more to come.

該裝置有 4 種警報模式，LCD、LED、振動和聲音。租用它——這 4 個可以防止過度扭轉。即使能見度低且空間受限。當結合單位精度正負 2% 時，該功能有助於保持緊固符合規格。 ATech 的可訪問性、功能和準確性為整個航空業提供保護，它是本季度幫助推動 C&I 上升的另一款熱門產品。好吧，那是 C&I，在上升，更高的銷售額，更強的利潤，強大的產品和更多的未來。

Now on to the Tools Group. Sales of $537.0 million, up $24.9 million, including $7.1 million of unfavorable foreign currency, registering a 6.3% organic gain with high single-digit increases in the U.S. and a low single-digit rise in the international network and the operating margin was 24.5%, up by 180 basis points against 80 basis points of unfavorable currency. Boomshakalaka! This was a great number for us. We're really optimistic and encouraged by this. The vehicle repair markets are strong and resilient and it trades an ongoing path of abundant opportunity. And once again, the tools numbers back it up.

現在到工具組。銷售額為 5.37 億美元，增加 2490 萬美元，其中包括 710 萬美元的不利外幣，實現 6.3% 的有機收益，其中美國的高個位數增長和國際網絡的低個位數增長，營業利潤率為 24.5% , 對 80 個基點的不利貨幣上漲 180 個基點。 Boomshakalaka！這對我們來說是一個很大的數字。我們對此非常樂觀和鼓舞。汽車維修市場強大而有彈性，並且它交易的是一條充滿機會的持續道路。再一次，工具數量支持它。

But beyond the quantitative evidence, I was just with some of our driver -- our van drivers last week. And their view was unconditionally positive. That's the only word I can use without equivocation or without question, they say shops are busy. All the product -- all our product lines are in high demand and their technician customers are brimming with confidence. It seems like the people of vehicle repair from top to bottom have great expectations for the way forward. And that positivity is evident in the continuing enthusiasm for big tickets, longer payback items, diagnostics and tool storage boxes. They continue to be major contributors to our results. You can see it in the success of the top of the line ZEUS+handheld diagnostic units. You can find it in the reception of our latest addition to the EPIQ tool storage lineup.

但除了定量證據之外，上週我只是和我們的一些司機——我們的貨車司機在一起。他們的觀點是無條件的積極的。這是我唯一可以毫不含糊或毫無疑問地使用的詞，他們說商店很忙。所有產品——我們所有的產品線都有很高的需求，他們的技術人員客戶充滿信心。看來上下修車界的人都對未來的路充滿了期待。這種積極性在對大票、更長回報項目、診斷和工具存儲盒的持續熱情中顯而易見。他們仍然是我們業績的主要貢獻者。您可以從頂級 ZEUS+ 手持診斷裝置的成功中看到這一點。您可以在我們 EPIQ 工具存儲系列的最新成員的接待處找到它。

The 68-inch EPIQ limited edition box, toolbox. We call it the Neon Stinger. It's generated considerable excitement with its eye-catching look, a gloss black body with the newest color in tool storage trim, beyond how this -- I mean this baby pops, even at a less than bright light and say, the corner of a shop, of a tool store or a repair shop, it stands out to any place given the techs a chance to make a statement. And it's not just the glow. It also offers a range of powerful functionality. The speed drawer providing customizable organizations. A power drawer with securable charging space, and LED power top spanning the entire length of the box, fully illuminating the drawers and the tools making them shine like the jewels they are.

68寸EPIQ限量版盒子，工具箱。我們稱之為霓虹毒刺。它以其引人注目的外觀引起了相當大的興奮，黑色光澤的機身和工具存儲裝飾中的最新顏色，超越了這個 - 我的意思是這個寶貝彈出，即使在光線不足的情況下，比如說，商店的角落，在工具店或維修店，只要技術人員有機會發表聲明，它就會在任何地方脫穎而出。不僅僅是發光。它還提供了一系列強大的功能。提供可定制組織的快速抽屜。帶安全充電空間的電源抽屜，LED 電源頂部橫跨整個盒子長度，充分照亮抽屜和工具，使它們像珠寶一樣閃閃發光。

The Stinger, it also offers a 15 power outlets and 6 USB ports, all to ensure the tech -- cordless tools, lights and accessories are always charged and ready to go. I'll tell you, demand was strong and the Stinger was a Snap-on million-dollar hit product in a blink of an eye. So the Tools Group, robust demand in all product segments and the momentum train just kept running throughout the quarter.

Stinger 還提供 15 個電源插座和 6 個 USB 端口，所有這些都是為了確保技術——無繩工具、燈和配件始終充電並隨時可用。我會告訴你，需求很旺盛，Stinger 一眨眼就成了 Snap-on 百萬美元的熱門產品。因此，工具集團、所有產品領域的強勁需求和動力火車在整個季度一直保持運轉。

Now let's speak of RS&I. Sales reached $446.6 million, up $48.4 million or 12.2%, including $6 million in unfavorable foreign currency. Organic activity advanced 13.9% with double-digit increases in undercar equipment and OEM business is driving the game. 2 big contributors. RS&I operating earnings were $104.6 million, rising 14.2% over last year, and the operating margin was 23.4%, up 40 basis points. Again -- once again, this quarter, software products and subscriptions were a significant plus. Along those lines, our Mitchell 1 division responsible for providing repair information software to independent shops, continue to succeed, pursuing customer connection and innovation by bringing great new improvements to shop efficiency.

現在讓我們談談 RS&I。銷售額達到 4.466 億美元，增長 4840 萬美元或 12.2%，其中包括 600 萬美元的不利外幣。隨著底盤設備和 OEM 業務的兩位數增長，有機活動增長了 13.9%。 2大貢獻者。 RS&I 營業收入為 1.046 億美元，比去年增長 14.2%，營業利潤率為 23.4%，上升 40 個基點。再一次 - 本季度，軟件產品和訂閱再次成為一個重要的優勢。沿著這些思路，我們負責為獨立商店提供維修信息軟件的 Mitchell 1 部門繼續取得成功，通過為商店效率帶來巨大的新改進來追求客戶聯繫和創新。

And this year -- an example is at this year's meeting of the heavy-duty technology and maintenance council in Orlando, which Mitchell 1 introduced our powerful wiring navigation features, specifically for trucks. It was immediately clear to large truck professionals that are new software would make it much easier and quicker for technicians to navigate the challenges of electrical issues on debate ever more complex vehicles, whether powered by internal combustion or battery cells. The feature makes a real difference. It's a significant aid to truck repair -- to the truck repair world, enabling quick transition from one wiring diagram to another following the wire without interruption between views. This is a significant time saver for the tech across the industry and the shops are noticing.

今年 - 一個例子是今年在奧蘭多舉行的重型技術和維護委員會會議上，Mitchell 1 介紹了我們強大的佈線導航功能，專門用於卡車。大型卡車專業人士立即清楚，新軟件將使技術人員更容易、更快地應對電氣問題的挑戰，討論越來越複雜的車輛，無論是內燃機還是電池驅動。該功能帶來了真正的不同。它是對卡車維修的重要幫助——對卡車維修界來說，它可以根據電線從一張接線圖快速過渡到另一張接線圖，而不會在視圖之間中斷。這為整個行業的技術節省了大量時間，商店也注意到了這一點。

Mitchell 1 just released another great product. It's automated work package function for its collision repair software. The new system gathers into one screen, all the relevant information needed for collision jobs, overhaul procedures, illustrations and diagrams. All retrieved with the click of a button -- with one click of the button. One of the difficulties in collision repair is that the multifaceted nature of the task, you need part details, repair procedures, system diagrams, but that information is usually found in separate places in varying categories within the vehicle's documentation.

Mitchell 1 剛剛發布了另一款很棒的產品。它的碰撞修復軟件具有自動化工作包功能。新系統將碰撞作業、大修程序、插圖和圖表所需的所有相關信息匯集到一個屏幕中。單擊按鈕即可檢索所有內容——只需單擊一下按鈕。碰撞修復的困難之一是任務的多面性，您需要零件細節、修復程序、系統圖，但這些信息通常可以在車輛文檔中不同類別的不同位置找到。

Our new system combines the data into a single work package that guides the technician progressively through the effective repair. It sounds really simple. But in fact, the consolidated and comprehensive information eliminates the 20 to 90 minutes that's ordinarily needed to repair and effective guide for collision repair task. We believe the new software will be a big contributor to Mitchell 1 growth. It's a clear savings in an area that's rising in modern vehicle repair. With the increase of vehicle automation and the associated growth in sensor networks, (inaudible) repairs increasingly more important, and our new feature is right on target to ease the way.

我們的新系統將數據組合到一個工作包中，指導技術人員逐步完成有效的維修。聽起來很簡單。但事實上，綜合全面的信息消除了通常需要 20 到 90 分鐘的維修時間，並有效地指導了碰撞維修任務。我們相信新軟件將對 Mitchell 1 的增長做出重大貢獻。在現代汽車維修領域，這是一個明顯的節省。隨著車輛自動化程度的提高和傳感器網絡的相關增長，（聽不清）維修變得越來越重要，而我們的新功能恰恰可以緩解這一問題。

We keep expanding in RS&I. We keep expanding our RS&I's position with repair shop owners and managers, offering more and more solutions for the day-to-day challenges, welding customer connection and innovation, to essential components of Snap-on value creation, processes to drive winning new software and hardware. We're confident. It's a successful formula and RS&I results reinforce that view.

我們不斷擴大 RS&I。我們不斷擴大我們的 RS&I 在維修店老闆和經理中的地位，為日常挑戰提供越來越多的解決方案，將客戶聯繫和創新融入 Snap-on 價值創造的基本組成部分，推動贏得新軟件的流程和硬件。我們有信心。這是一個成功的公式，RS&I 結果強化了這一觀點。

So those are the highlights of our quarter. Continued momentum. Our 11th straight period of year-over-year operating growth. C&I is showing strength, gaining against the supply turbulence of the day. RS&I, remaining robust, rising with software and hardware. The Tools Group, a healthy and enhanced van network, aiming for more. Organic sales in the quarter, up 10.2%. Opco operating margin, 22% and EPS $4.60, up 15% over last year, a significant increase. It all adds up. It all serves to provide clear evidence and powerful testimony that Snap-on has emerged from the great withering on the COVID, stronger than when it entered and the enterprise is continuing that upward trend with capability and conviction. It was an encouraging quarter.

所以這些是我們季度的亮點。勢頭持續。我們的營業收入連續第 11 年實現同比增長。 C&I 正在顯示實力，在當天的供應動盪中獲益。 RS&I，保持強勁，隨著軟件和硬件的發展而上升。 The Tools Group 是一個健康且增強的貨車網絡，旨在實現更多目標。本季度有機銷售額增長 10.2%。 Opco 營業利潤率為 22%，EPS 為 4.60 美元，比去年同期增長 15%，增幅顯著。這一切加起來。這一切都提供了明確的證據和有力的證明，表明 Snap-on 已經從 COVID 的大蕭條中走出來，比進入時更強大，並且企業正在以能力和信念繼續這種上升趨勢。這是一個令人鼓舞的季度。

Now I'll turn the call over to Aldo.

現在我會把電話轉給奧爾多。

Thanks, Nick. Our consolidated operating results are summarized on Slide 6. Net sales of $1.183 billion in the quarter, increased 7.8% from 2022 levels, reflecting a 10.2% organic sales gain, partially offset by $24 million or 240 basis points of unfavorable foreign currency translation. The organic sales increase this quarter includes broad-based gains across all of the segments.

謝謝，尼克。幻燈片 6 總結了我們的綜合經營業績。本季度淨銷售額為 11.83 億美元，比 2022 年的水平增長 7.8%，反映了 10.2% 的有機銷售收益，部分被 2400 萬美元或 240 個基點的不利外幣換算所抵消。本季度的有機銷售額增長包括所有細分市場的廣泛收益。

From a geographic perspective, we experienced double-digit year-over-year organic sales growth in North America and low single-digit organic gains in Europe. Consolidated gross margin of 49.8% improved 110 basis points from 48.7% last year. Contributions from the increased sales volumes and pricing actions and benefits from the company's RCI initiatives more than offset the effects of higher material and other costs as well as 20 basis points of unfavorable foreign currency.

從地理角度來看，我們在北美經歷了兩位數的同比有機銷售額增長，在歐洲經歷了較低的個位數有機增長。綜合毛利率為 49.8%，比去年的 48.7% 提高了 110 個基點。銷量增加和定價行動的貢獻以及公司 RCI 計劃帶來的收益遠遠抵消了材料和其他成本上漲以及 20 個基點的不利外幣的影響。

While the supply chain environment has somewhat improved, we believe the corporation continued to navigate effectively costs and other challenges associated with the ongoing conditions. Operating expenses as a percentage of net sales of 27.8%, improved 60 basis points from 28.4% last year. Operating earnings before financial services of $259.8 million in the quarter compared to $223.1 million in 2022. As a percentage of net sales, operating margin before financial services of 22% improved 170 basis points from last year's first quarter.

雖然供應鏈環境有所改善，但我們相信公司將繼續有效應對成本和與當前狀況相關的其他挑戰。營業費用占淨銷售額的百分比為 27.8%，比去年的 28.4% 提高了 60 個基點。本季度金融服務前營業利潤為 2.598 億美元，而 2022 年為 2.231 億美元。占淨銷售額的百分比為 22%，比去年第一季度提高了 170 個基點。

Financial Services revenue of $92.6 million in the first quarter of 2023 increased 5.6% compared to $87.7 million last year. Operating earnings of $66.3 million, decreased $4.1 million from 2022 levels and included a return to what we believe to be a more normal level of provisions for credit losses than those recorded last year. Consolidated operating earnings was $326.1 million in the quarter compared to $293.5 million last year. As a percentage of revenues, the operating earnings margin of 25.6% improved 80 basis points from last year. Our first quarter effective income tax rate of 23.1% compared to 23.7% last year. Net earnings of $248.7 million or $4.60 per diluted share including $0.12 of unfavorable impact associated with foreign currency, increased $31.3 million or $0.60 per share from 2022 levels, representing a 15% increase in diluted earnings per share.

2023 年第一季度金融服務收入為 9260 萬美元，比去年的 8770 萬美元增長 5.6%。營業收入為 6630 萬美元，比 2022 年的水平減少了 410 萬美元，其中包括恢復到我們認為比去年記錄的水平更正常的信貸損失準備金水平。本季度綜合營業收入為 3.261 億美元，而去年同期為 2.935 億美元。營業利潤率為 25.6%，佔收入的百分比比去年提高了 80 個基點。我們第一季度的實際所得稅率為 23.1%，而去年為 23.7%。淨收益為 2.487 億美元或每股攤薄收益 4.60 美元，包括 0.12 美元與外匯相關的不利影響，比 2022 年的水平增加 3130 萬美元或每股 0.60 美元，意味著每股攤薄收益增加 15%。

Now let's turn to our segment results for the quarter. Starting with C&I on Slide 7. Sales of $363.8 million increased from $340.1 million last year, reflecting a $36.2 million or 11.1% organic sales gain, which was partially offset by $12.5 million of unfavorable foreign currency translation. The organic growth primarily reflects double-digit gains in sales to customers in critical industries and in the segment specialty torque business as well as low single-digit increase in the segment's European-based hand tools business.

現在讓我們來看看本季度的分部業績。從幻燈片 7 的 C&I 開始。銷售額從去年的 3.401 億美元增加到 3.638 億美元，反映了 3620 萬美元或 11.1% 的有機銷售收益，這部分被 1250 萬美元的不利外幣換算所抵消。有機增長主要反映了關鍵行業和專業扭矩業務部門客戶銷售額的兩位數增長，以及該部門位於歐洲的手動工具業務的低個位數增長。

With respect to critical industries, the sales gains were wide ranging in the quarter. In addition to higher activity across general industry, sales to the military were robust as were sales to technical education, aviation and natural resources. Gross margin of 38.8% improved 240 basis points from 36.4% in the first quarter of 2022. This is primarily due to higher sales volumes including increased activity and the higher gross margin critical industries, pricing actions and benefits from RCI initiatives. These improvements were partially offset by the effects of higher material and other costs.

對於關鍵行業，本季度的銷售收益範圍很廣。除了整個一般行業的活動增加外，對軍事的銷售以及對技術教育、航空和自然資源的銷售也很強勁。毛利率為 38.8%，比 2022 年第一季度的 36.4% 提高了 240 個基點。這主要是由於銷量增加，包括活動增加和關鍵行業毛利率提高、定價行動以及 RCI 舉措帶來的好處。這些改進部分被更高的材料和其他成本的影響所抵消。

Operating expenses as a percentage of sales of 23.5% in the quarter increased 50 basis points from 23% in 2022, mostly due to increased sales and higher expense businesses. Operating earnings for the C&I segment of $55.8 million increased 22.1% from $45.7 million last year. The operating margin of 15.3%, improved 190 basis points from 13.4% last year.

本季度營業費用佔銷售額的百分比為 23.5%，比 2022 年的 23% 增加了 50 個基點，這主要是由於銷售額增加和費用較高的業務。 C&I 部門的營業收入為 5580 萬美元，比去年的 4570 萬美元增長了 22.1%。營業利潤率為 15.3%，比去年的 13.4% 提高了 190 個基點。

Turning now to Slide 8. Sales in the Snap-on Tools Group of $537 million compared to $512.1 million a year ago, reflecting a 6.3% organic sales gain, partially offset by $7.1 million of unfavorable foreign currency translation. The organic sales growth reflects a high single-digit gain in our U.S. business and a low single-digit increase in our international operations. Sales in the quarter were up year-over-year in all product lines. Gross margin of 47.3% in the quarter improved 180 basis points from 45.5% last year. This increase is primarily due to higher sales volumes and pricing actions, lower material and other costs and benefits from RCI initiatives, partially offset by 80 basis points of unfavorable currency effects.

現在轉到幻燈片 8。Snap-on Tools Group 的銷售額為 5.37 億美元，而一年前為 5.121 億美元，有機銷售額增長 6.3%，部分被 710 萬美元的不利外幣折算所抵消。有機銷售增長反映了我們美國業務的高個位數增長和我們國際業務的低個位數增長。本季度所有產品線的銷售額均同比增長。本季度毛利率為 47.3%，比去年的 45.5% 提高了 180 個基點。這一增長主要是由於銷量和定價行動的增加、材料和其他成本的降低以及 RCI 舉措帶來的收益，部分被不利的貨幣影響抵消了 80 個基點。

Operating expenses as a percentage of sales of 22.8% were unchanged from last year. Operating earnings for the Snap-on Tools Group of $131.7 million, including $6.1 million of unfavorable foreign currency effects, increased $15.7 million from last year, while the operating margin of 24.5%, including 80 basis points of unfavorable currency effects, improved 180 basis points from 22.7% in 2022.

營業費用佔銷售額的百分比為 22.8%，與去年持平。 Snap-on Tools Group 的營業利潤為 1.317 億美元，包括 610 萬美元的不利外匯影響，比去年增加 1570 萬美元，而營業利潤率為 24.5%，包括 80 個基點的不利匯率影響，提高了 180 個基點從 2022 年的 22.7% 開始。

Turning to the RS&I Group shown on Slide 9. Sales of $446.6 million increased 12.2% from $398.2 million in 2022, reflecting a 13.9% organic sales gain, partially offset by $6 million of unfavorable foreign currency translation. The organic gain is comprised of double-digit increases in sales of undercar and collision repair equipment and in activity with OEM dealerships and a mid-single-digit gain in the sales of diagnostics and repair information products to independent shop owners and managers. Gross margin of 43.5% declined 110 basis points from 44.6% last year, primarily due to increased sales in lower gross margin businesses and the effects of higher material and other costs. These declines were partially offset by benefits from pricing actions and savings from our C&I initiatives as well as 30 basis points of favorable foreign currency effects.

轉向幻燈片 9 中顯示的 RS&I 集團。銷售額為 4.466 億美元，比 2022 年的 3.982 億美元增長 12.2%，反映出 13.9% 的有機銷售額增長，部分被 600 萬美元的不利外幣折算所抵消。有機收益包括車底和碰撞維修設備銷售額的兩位數增長以及與 OEM 經銷商的活動，以及診斷和維修信息產品向獨立店主和經理的銷售額的中等個位數增長。毛利率為 43.5%，比去年的 44.6% 下降了 110 個基點，這主要是由於毛利率較低的業務銷售額增加以及材料和其他成本增加的影響。這些下降部分被定價行動帶來的好處和我們 C&I 計劃的節省以及 30 個基點的有利外匯影響所抵消。

Operating expenses as a percentage of sales of 20.1% improved 150 basis points from 21.6% last year primarily due to benefits from sales volume leverage and higher activity and lower expense businesses and savings from RCI initiatives. Operating earnings for the RS&I Group of $104.6 million compared to $91.6 million last year. The operating margin of 23.4% compared to 23% reported a year ago.

營業費用佔銷售額的百分比為 20.1%，比去年的 21.6% 提高了 150 個基點，這主要是由於銷售量槓桿和更高的活動以及更低的費用業務以及 RCI 計劃的節省帶來的好處。 RS&I 集團的營業收入為 1.046 億美元，而去年為 9160 萬美元。營業利潤率為 23.4%，而去年同期為 23%。

Now turning to Slide 10. Revenue from financial services of $92.6 million increased from $87.7 million last year, primarily reflecting the growth of the loan portfolio. Financial Services operating earnings of $66.3 million, including $700,000 of unfavorable foreign currency effects compared to $70.4 million in 2022. Financial services expenses of $26.3 million were up $9 million from 2022 levels, including $8.1 million of higher provisions for credit losses. The year-over-year increase in provision reflects both the growth of the portfolio as well as a return to what we believe to be a more normal pre-pandemic rate of provision.

現在轉到幻燈片 10。金融服務收入從去年的 8770 萬美元增加到 9260 萬美元，主要反映了貸款組合的增長。金融服務營業收入為 6630 萬美元，其中包括 700000 美元的不利外匯影響，而 2022 年為 7040 萬美元。金融服務費用為 2630 萬美元，比 2022 年的水平增加了 900 萬美元，其中包括 810 萬美元的信貸損失準備金增加。準備金的同比增長既反映了投資組合的增長，也反映了我們認為更正常的大流行前準備金率的回歸。

For reference, provisions for finance receivable losses in the quarter were $14.2 million, as compared to $6.3 million in the first quarter last year. In the first quarters of 2019 and 2018, provisions for losses were $12.5 million and $15.8 million, respectively. In addition, the gross worldwide extended credit or finance receivable portfolio has increased 7.5% year-over-year, and we believe the delinquency and portfolio performance trends currently remain stable. As a percentage of the average portfolio, financial services expenses were 1.1% in the first quarter of 2023 as compared to [0.8%] last year.

作為參考，本季度應收融資損失準備金為 1420 萬美元，而去年第一季度為 630 萬美元。 2019 年和 2018 年第一季度，虧損準備金分別為 1250 萬美元和 1580 萬美元。此外，全球擴展信貸或融資應收賬款投資組合總額同比增長 7.5%，我們認為拖欠率和投資組合業績趨勢目前保持穩定。 2023 年第一季度，金融服務支出占平均投資組合的百分比為 1.1%，而去年為 [0.8%]。

In the first quarter of 2023 and 2022, respective average yield on finance receivables were 17.7% and 17.6%. In the first quarter of 2023 and 2022, the average yield on contract receivables were 8.7% and 8.5%, respectively. Total loan originations of $300.9 million in the first quarter increased $55.3 million or 22.5% from 2022 levels, reflecting a 25.1% increase in originations of finance receivables and a 9.2% increase in originations of contract receivables. The increase in finance receivable origination reflects the continued strong demand for big ticket products sold by our franchisees during the quarter.

2023年和2022年第一季度，應收融資款的平均收益率分別為17.7%和17.6%。 2023 年和 2022 年第一季度，合同應收賬款的平均收益率分別為 8.7% 和 8.5%。第一季度的貸款發放總額為 3.009 億美元，比 2022 年的水平增加了 5530 萬美元或 22.5%，反映出融資應收賬款的發放增加了 25.1%，合同應收款的發放增加了 9.2%。應收融資來源的增加反映了本季度我們的特許經營商對大件產品的持續強勁需求。

Moving to Slide 11. Our quarter-end balance sheet includes approximately $2.3 billion of gross financing receivables, including $2 billion from our U.S. operation. The 60-day plus delinquency rate of 1.5% for U.S. extended credit compared to 1.6% in 2022. On a sequential basis, the rate is down 10 basis points reflecting the seasonal trend we typically experience between the fourth and first quarters. As it relates to extended credit or finance receivables, trailing 12-month net losses of $45.1 million represented 2.46% of outstandings at the end of the first quarter. While this was up 12 basis points from a year ago, it is 45 basis points lower than year-end 2019.

轉到幻燈片 11。我們的季度末資產負債表包括大約 23 億美元的應收融資總額，其中包括來自我們美國業務的 20 億美元。美國延期信貸的 60 天以上拖欠率為 1.5%，而 2022 年為 1.6%。按順序計算，該比率下降了 10 個基點，反映了我們通常在第四季度和第一季度之間經歷的季節性趨勢。由於與延期信貸或融資應收賬款相關，過去 12 個月的淨虧損為 4510 萬美元，佔第一季度末未償還款項的 2.46%。雖然這比一年前上升了 12 個基點，但比 2019 年底低了 45 個基點。

Now turning to Slide 12. Cash provided by operating activities of $301.6 million in the quarter compared to $193.9 million last year. The increase from the first quarter of 2022 primarily reflects lower year-over-year increases in working investment, improved net earnings and lower cash tax and compensation payments. Net cash used by investing activities of $72.9 million included net additions to finance receivables of $49.6 million and capital expenditures of $23 million. Net cash used by financing activities of $152.1 million included cash dividends of $86.1 million and the repurchase of 356,000 shares of common stock for $87.2 million under our existing share repurchase programs. As of quarter end, we had remaining availability to repurchase up to an additional $345.4 million of common stock under existing authorizations.

現在轉到幻燈片 12。本季度經營活動提供的現金為 3.016 億美元，而去年為 1.939 億美元。與 2022 年第一季度相比的增長主要反映了營運投資的同比增長下降、淨收益的改善以及現金稅和補償金的減少。投資活動使用的現金淨額為 7290 萬美元，其中包括融資應收賬款淨增加額 4960 萬美元和資本支出 2300 萬美元。融資活動使用的現金淨額 1.521 億美元，包括現金股息 8610 萬美元和根據我們現有的股票回購計劃以 8720 萬美元回購 356,000 股普通股。截至本季度末，根據現有授權，我們仍有餘力回購最多 3.454 億美元的普通股。

Turning to Slide 13. Trade and other accounts receivable increased $20.7 million from 2022 year-end. Days sales outstanding of 62 days compared to 61 days at 2022 year-end. Inventories increased $16 million from 2022 year-end. On a trailing 12-month basis, inventory turns 2.4% compared to 2.5% at year-end 2022. The growth in inventory primarily reflects higher demand, including inventories to support new products as well as critical industry projects. Additionally, to better assure availability given the dynamics of the current supply chain situation, our level of safety stocks and in-transit parts components and raw materials are up as our year-over-year costs associated with finished goods.

轉到幻燈片 13。貿易和其他應收賬款比 2022 年底增加了 2070 萬美元。待售天數為 62 天，而 2022 年底為 61 天。庫存比 2022 年底增加了 1600 萬美元。在過去 12 個月的基礎上，庫存從 2022 年底的 2.5% 變為 2.4%。庫存的增長主要反映了更高的需求，包括支持新產品和關鍵行業項目的庫存。此外，鑑於當前供應鏈形勢的動態，為了更好地確保可用性，我們的安全庫存和在途零部件和原材料的水平隨著我們與成品相關的同比成本上升。

Our quarter end cash position of $833.8 million compared to $757.2 million at year-end 2022. Our net debt to capital ratio of 7.4% compared to 9% at year-end 2022. In addition to cash and expected cash flow from operations, we have more than $800 million available under our credit facilities. And as of quarter end, there are no amounts outstanding under the credit facility, and there are no commercial paper borrowings outstanding.

我們的季度末現金頭寸為 8.338 億美元，而 2022 年底為 7.572 億美元。我們的淨債務與資本比率為 7.4%，而 2022 年底為 9%。除了來自運營的現金和預期現金流外，我們還有我們的信貸額度下有超過 8 億美元可用。截至季度末，信貸額度下沒有未償還的金額，也沒有未償還的商業票據借款。

That concludes my remarks on our first quarter performance. I'll now briefly review a few outlook items for 2023. We anticipate that capital expenditures will approximate $100 million. In addition, we currently anticipate that our full year 2023 effective income tax rate will be in the range of 23% to 24%.

我對第一季度業績的評論到此結束。我現在將簡要回顧 2023 年的幾個展望項目。我們預計資本支出將約為 1 億美元。此外，我們目前預計 2023 年全年的實際所得稅率將在 23% 至 24% 之間。

I'll now turn the call back to Nick for his closing thoughts. Nick?

我現在將電話轉回給尼克，聽取他的結束想法。缺口？

Thanks, Aldo, for that detailed financial review. Look, well, that's Snap-on's first quarter. It is an encouraging performance, demonstrating clearly the breadth, the depth and the length of our extraordinary advance. The breadth, progress across each of the operating groups. C&I, gaining on the challenge of customized kits amidst supply turbulence and rising above the difficulties of geographic reach in troubled times.

謝謝，Aldo，詳細的財務審查。看，這是 Snap-on 的第一季度。這是令人鼓舞的表現，清楚地展示了我們非凡進步的廣度、深度和長度。每個運營組的廣度和進展。 C&I，在供應動盪中迎接定制套件的挑戰，在困難時期克服地域覆蓋的困難。

Tools Group, continuing its upward trend, taking full advantage of the hot resilient vehicle repair market, reaching yet another margin high. RS&I, riding the wave of vehicle complexity and new model introductions, registering another quarter of powerful growth. The period was positive all across our enterprise. Our quarter also had depth. The record was strong from top to bottom, up and down the P&L. C&I, 11.1% organic growth and the OI margin was 15.3%, up 190 basis points. RS&I, organic sales rising, 13.9% and OI margin, a strong 23.4%, 40 points over last year.

Tools Group繼續保持上升趨勢，充分利用火熱的彈性汽車維修市場，再創利潤率新高。 RS&I 乘著車輛複雜性和新車型推出的浪潮，實現了又一個季度的強勁增長。這段時期對我們整個企業來說都是積極的。我們的季度也有深度。從上到下，從上到下，從損益表上下的記錄都很強勁。 C&I，有機增長 11.1%，OI 利潤率為 15.3%，上升 190 個基點。 RS&I，有機銷售額增長 13.9%，OI 利潤率高達 23.4%，比去年高出 40 個百分點。

The Tools Group organic activity increasing 6.3% more in the U.S., high single digits. And we spoke of the eye-catching brilliance of the Stinger toolbox. Remember, I admit, it really pops, well, something else that pops is the Tools OI margin. It's something that catch attention. It pops like a neon sign, 24.5%, up 180 basis points, directly against 80 basis points of unfavorable foreign currency. All that added up to strength across the corporation. Organic sales advancing 10.2%, up big, even in the uncertainty. OI margin, 22% -- 22%, representing a rise of 170 basis points.

Tools Group 在美國的有機活動增長了 6.3%，高個位數。我們談到了 Stinger 工具箱引人注目的光彩。記住，我承認，它真的很流行，好吧，流行的其他東西是工具 OI 餘量。這是一件引人注目的事情。它像霓虹燈一樣突然出現，24.5%，上漲 180 個基點，直接對抗 80 個基點的不利外幣。所有這些加在一起增強了整個公司的實力。有機銷售額增長 10.2%，漲幅很大，即使在不確定的情況下也是如此。 OI 利潤率，22% - 22%，上升了 170 個基點。

And the final tally of it all, EPS, it was $4.60, up by a clear distance over any comparison. And finally, our performance is marked by length, by the extended positive trend. It was the 11th consecutive quarter of year-over-year operating gain. The world is evolving as we thought it would. New equipment and software being needed to follow the acceleration of model change and new technologies. The vehicle repair market is looking like it's approaching a golden age, more technicians, wages rising, collective and individual optimism across the sector. And we sought our momentum extending in the quarter, a positive view that was confirmed by the voice of the franchisees. And moving forward, we believe that the momentum will continue. And we are confident -- we're confident that we're positioned to make the most of the abundant opportunities, growing and improving. We've done it period after period, and we did it again in the first quarter.

最後，每股收益為 4.60 美元，比任何比較都高出一個明顯的距離。最後，我們的表現以長度為標誌，以延長的積極趨勢為標誌。這是連續第 11 個季度實現同比運營收益。世界正像我們想像的那樣發展。需要新設備和軟件來跟上模型變化和新技術的加速發展。汽車維修市場看起來正在接近黃金時代，更多的技術人員，工資上漲，整個行業的集體和個人樂觀。我們尋求在本季度延續的勢頭，特許經營商的聲音證實了這一積極觀點。展望未來，我們相信這種勢頭將繼續下去。我們有信心——我們有信心我們有能力充分利用豐富的機會，不斷發展和改進。我們一個時期又一個時期地做到了，我們在第一季度又做到了。

You see, we do have device advantages in our product, authored by customer connection and innovation, easing the way for critical path, making a clear difference with professionals. We have an advantage in our brand, marking the serious and the professional, bringing pride and dignity, like no other name. And we have an advantage in our people, our team. Challenge, tested and fully dedicated, and we believe the resilient markets and these considerable advantages will enable Snap-on to maintain its momentum and continue its rise into the second quarter throughout 2023 and well beyond.

你看，我們的產品確實具有設備優勢，由客戶聯繫和創新創造，簡化了關鍵路徑，與專業人士產生明顯差異。我們的品牌具有優勢，標誌著嚴肅和專業，帶來自豪和尊嚴，這是其他品牌所無法比擬的。我們在我們的員工和團隊方面具有優勢。挑戰、考驗和全力投入，我們相信彈性市場和這些顯著優勢將使 Snap-on 能夠保持其勢頭，並在整個 2023 年第二季度及以後繼續增長。

Now before I turn the call over to the operator, it's appropriate that I speak to our franchisees and associates, our team. I know many of you are listening. This quarter is encouraging, but those who would ask why or how, we only look all of you. For the considerable part you played in this performance, you have my congratulations. For the extraordinary commitment you've given to our team, you have my admiration. And for the unfailing confidence you hold in Snap-on future, you have my thanks.

現在，在我將電話轉給接線員之前，我應該先與我們的加盟商和合作夥伴、我們的團隊交談。我知道你們很多人都在聽。本季度令人鼓舞，但那些會問為什麼或如何的人，我們只看你們所有人。對於你在這場演出中扮演的重要角色，我表示祝賀。對於您對我們團隊的非凡承諾，您得到了我的欽佩。感謝您對 Snap-on 未來的堅定信心。

Now I'll turn the call over to the operator. Operator?

現在我把電話轉給接線員。操作員？

(Operator Instructions) And this morning's first question comes from Christopher Glynn with Oppenheimer.

（操作員說明）今天早上的第一個問題來自克里斯托弗·格林和奧本海默。

I was curious, Nick, about the C&I kind of showing some stepped up organic growth there. You talked about the supply chain easing a little bit. So curious what -- if you're seeing past due backlog kind of diminish here and where you are in that stage? And is overall backlog continuing to grow because it sounds like the breadth is becoming quite assertive.

尼克，我很好奇 C&I 在那裡顯示出一些加速的有機增長。你談到了供應鏈的放鬆。很好奇什麼——如果你看到逾期未完成的積壓工作有所減少，以及你在那個階段的位置？總體積壓是否繼續增長，因為聽起來廣度變得相當自信。

Backlog is still pretty strong. I mean the 11.1%, the increase -- by the way, it was bigger than that really in the critical industries. So that wasn't borne out of the backlog. Pretty much the backlog is still there. And what you're seeing is getting some of the repair challenges underway. I'm not declaring complete victory over the supply turbulence but it looks a lot better this quarter than it has in the past.

積壓仍然很強勁。我的意思是 11.1%，增長——順便說一下，它比關鍵行業的實際增長要大。所以這不是積壓的結果。幾乎積壓仍然存在。你所看到的是一些修復挑戰正在進行中。我並沒有宣布供應動蕩的完全勝利，但本季度看起來比過去好多了。

Plus, you got the military coming back in that period. The military was down before. So you have those 2 factors driving the critical industries upwards, and that's pretty good. And it isn't -- we still have a pretty strong backlog sitting there. Orders just keep going. Everybody likes Snap-on customized products.

另外，你讓軍隊在那個時期回來了。軍隊之前就垮了。所以你有這兩個因素推動關鍵行業向上發展，這很好。事實並非如此——我們仍然有大量積壓的待辦事項。訂單繼續進行。每個人都喜歡 Snap-on 定制產品。

Okay. And in the press release, you mentioned the story continues, the Snap-on value creation process and you referred to considerable capacity for improvement. Could you elaborate on some of the specifics that undergird that statement?

好的。在新聞稿中，你提到故事還在繼續，Snap-on 的價值創造過程，你提到了相當大的改進能力。您能否詳細說明支持該聲明的一些細節？

Yes. We could be a lot more efficient in selling off the vans. This is one of the reasons that going through our business, going upwards in the Tools Group on the principal components of driving it upwards, we could do better than that. Our factories could be more efficient because they're chockablock, they're up to their eyeballs. We're trying to expand them. So we're working on the expansion, and we're pounding the RCI into those expansions. So we better -- that will help us quite a bit. So you see that.

是的。我們可以更有效地出售貨車。這是通過我們的業務，在推動它向上發展的主要組成部分的工具集團中向上發展的原因之一，我們可以做得更好。我們的工廠本來可以更有效率，因為它們擁擠不堪，它們吸引了眼球。我們正在努力擴大它們。所以我們正在努力擴展，我們正在將 RCI 投入到這些擴展中。所以我們做得更好——這對我們有很大幫助。所以你看到了。

And I think in a lot of ways, RCI applies to the Tools business, I mean to the Product business because that's the complexity in repair goes up. It needs new products and having a large number of new products really necessitate a real focus on RCI and the actual customer connection and innovation process. And so we'll drive that through.

我認為在很多方面，RCI 適用於工具業務，我的意思是適用於產品業務，因為這會增加維修的複雜性。它需要新產品，而擁有大量新產品確實需要真正關注 RCI 以及實際的客戶聯繫和創新過程。所以我們會推動它通過。

So fundamentally, we see a lot of opportunities. Our business is sort of like that, Chris. We sort of structurally have opportunities because we have 85,000 SKUs. We're pretty vertically integrated in a lot of places, sometimes, in some cases, raw steel comes in the back of the factory and through a number of different processes from forging all the way to plating to make it look like jewels and putting in the hands of the end user, we have tremendous verticality. So we have horizontal, 85,000 SKUs and a verticality. That creates a lot of interests for continuous improvement. So we have lots of confidence in our ability to do better.

所以從根本上說，我們看到了很多機會。我們的業務有點像那樣，克里斯。我們在結構上有機會，因為我們有 85,000 個 SKU。我們在很多地方都非常垂直整合，有時，在某些情況下，原鋼來自工廠後面，經過許多不同的過程，從鍛造一直到電鍍，使它看起來像珠寶，然後放入在最終用戶手中，我們擁有巨大的垂直性。所以我們有橫向的 85,000 個 SKU 和縱向的。這為持續改進創造了很多興趣。因此，我們對自己做得更好的能力充滿信心。

Great. If I could sneak one more in, just want to go a little deeper into the military that had been soft for some time, and it sounds like it's a pretty sharp and resetting levels there. Just curious if you could give some color on -- I think lumpiness as part of the military story, too. So just curious how to factor that aspect here.

偉大的。如果我能再偷偷摸摸地進去，只想更深入地了解已經軟化了一段時間的軍事，聽起來那裡的水平非常尖銳和重置。只是好奇你是否可以給一些顏色 - 我認為塊狀也是軍事故事的一部分。所以只是好奇如何在這裡考慮這個方面。

I think we're seeing an encouraging situation. I mean we are spitting blood all over the military in the quarter -- further quarters. It was a big negative for us. It's really not there. But now it seems to have come back in a number of different projects, and they're not huge projects, they're smaller projects. So this is kind of a -- we interpret it as an opening of the spicket. Every time -- the guys in military told me that every time a new administration comes in, regardless of who it is, there's a new sheriff in the town . They raise -- we're going to have new procedures, the new procedures actually don't work. And so eventually, the war fighters say I need tools, and therefore, the spicket opens. That's what's happening now.

我認為我們看到了令人鼓舞的情況。我的意思是，我們正在向該區的整個軍隊吐血——更遠的區。這對我們來說是一個很大的負面影響。它真的不在那裡。但現在它似乎又出現在許多不同的項目中，它們不是大型項目，而是較小的項目。所以這是一種 - 我們將其解釋為 spicket 的開口。每次——軍隊裡的人都告訴我，每次新政府上台，不管是誰，鎮上都會有一個新的治安官。他們提出——我們將有新程序，新程序實際上不起作用。所以最終，戰士們說我需要工具，因此，尖樁打開了。這就是現在正在發生的事情。

And the next question comes from Bret Jordan with Jefferies.

下一個問題來自 Jefferies 的 Bret Jordan。

I think you called out sort of strength in some of the higher ticket items. Could you give us some more color on that, sort of what the hand tools versus high ticket and then storage versus diagnostics within the higher ticket product mix?

我認為你在一些高價項目中表現出了某種力量。你能給我們更多的顏色嗎，比如手動工具與高價產品組合，然後是存儲與診斷產品組合中的高價產品？

Look, handhelds are about consistent with the growth this period. So if you're looking for mix, there's really not a mix story along the product lines. We don't see. If you step back, you look at it, there's a lot of product, particularly hand tools, they're about equal to our growth, give or take, equal to our growth.

看，手持設備與這一時期的增長基本一致。因此，如果您正在尋找混合，那麼產品線中確實沒有混合故事。我們沒有看到。如果你退後一步，你看一下，有很多產品，尤其是手工工具，它們大約等於我們的增長，給予或索取，等於我們的增長。

And in terms of big ticket, you got diagnostics being stronger than tool storage because we just introduced -- and we introduced the big ZEUS -- ZEUS+, I think it's $12,000. This is a monster, the top-of-the-line handheld diagnostic. And so that's been selling robustly. And you see that together with tool storage in the originations this quarter. So I think for the selling of -- the selling to the franchisees quarter, you're seeing a good big ticket done a little bit more or more with diagnostics this quarter than in past quarters because of the ZEUS launch. And then you see hand tools kind of keeping pace with the average. Everybody else is the -- the other cats and dogs are floating around in there.

就大票而言，你得到的診斷比工具存儲更強大，因為我們剛剛推出——我們推出了大 ZEUS——ZEUS+，我認為它是 12,000 美元。這是一個怪物，頂級的手持診斷。因此，它的銷量一直很強勁。你在本季度的起源中看到了這一點以及工具存儲。因此，我認為對於銷售——向特許經營商銷售的季度，由於 ZEUS 的推出，你會看到本季度的診斷比過去幾個季度做得更多或更多。然後你會看到手動工具與平均水平保持同步。其他人都是——其他貓狗都在那裡漂浮。

Okay. And then a question on the credit business. I mean, obviously, underlying rates have come up and your -- I think your yield was 17.7% or so. Is there the potential to bring your yields up? I mean can you pass through some of the higher base rates on those loans? Or is that...

好的。然後是關於信貸業務的問題。我的意思是，很明顯，基礎利率已經上升，你的——我認為你的收益率是 17.7% 左右。是否有可能提高您的收益？我的意思是你能通過這些貸款的一些較高的基準利率嗎？還是那...

I want to answer this question, but Aldo needs to have at least one question, so I'll let him...

我想回答這個問題，但 Aldo 至少需要有一個問題，所以我會讓他...

Bret, probably not. And the reason for that is we hold our rates. they're are not the lowest rates in the world. They are reflective of the credit profile of the customers that we serve. So they certainly are competitive in the segment where we play. But our rates have been kind of steady over the decade -- not just the years, decade, and we're funded long, as you probably recall. And therefore, we don't have the same upward pressure on our cost of funds for the next several years. So as a result of that, we tend to hold the program steady. So the uptick you see right now really is probably reflected a little bit of the slightly better profile of customers as maybe compared to a year or so ago, but it's very slight, right, 17.6% to 17.7%.

布雷特，可能不是。原因是我們保持利率不變。它們不是世界上最低的利率。它們反映了我們所服務客戶的信用狀況。因此，他們在我們所在的細分市場中肯定具有競爭力。但我們的利率在過去十年中一直保持穩定——不僅僅是幾年、十年，而且我們的資金來源很長，你可能還記得。因此，未來幾年我們的資金成本不會面臨同樣的上行壓力。因此，我們傾向於保持程序穩定。所以你現在看到的上升確實可能反映了與大約一年前相比客戶狀況略有改善的一點點，但它非常輕微，對，17.6% 到 17.7%。

Okay. And one last question for you then on the cost input side. Are you seeing -- what's the cadence? I mean whether it's metals pricing or labor or obviously shipping has come down, but how are you seeing the input cost cadence trending?

好的。最後一個問題是關於成本投入方面的問題。你看到了嗎——節奏是什麼？我的意思是無論是金屬定價還是勞動力還是明顯的運輸都已經下降，但你如何看待投入成本節奏的趨勢？

So look, the cost is similar. There's slight pockets of improvement. Every once in a while, you still have to resort to a spot buy and you're looking at materials. So I'd say the most broadly speaking, as I think we said earlier, is that there's some improvement, but every day, you have to remain agile, flexible. There's always a new challenge when you walk in the door. So modest improvement, but still, you got to bring all your resources to the table to effectively manage it.

所以看，成本是相似的。有輕微的改進。每隔一段時間，您仍然需要求助於現貨購買並且您正在尋找材料。所以我想說的是，最廣泛地說，正如我想我們之前所說的那樣，是有一些改進，但每一天，你都必須保持敏捷、靈活。當你走進大門時，總會有新的挑戰。如此適度的改進，但您仍然必須將所有資源帶到桌面上以有效地管理它。

And the next question comes from Gary Prestopino with Barrington Research.

下一個問題來自 Barrington Research 的 Gary Prestopino。

I have a question for Aldo, so he has gotten the second question. Well, I got one for you, too. In the other category, Aldo, there was a $15.2 million looks like positive and you tax effect that, it's about, I think, $0.20 of earnings, $0.21 of earnings. What exactly is that?

我有一個問題要問 Aldo，所以他得到了第二個問題。好吧，我也給你準備了一個。在另一個類別中，奧爾多，有 1520 萬美元看起來是積極的，你的稅收影響，我認為大約是 0.20 美元的收入，0.21 美元的收入。那到底是什麼？

I don't know if you're looking at other income, but if we're looking -- actually, believe it or not, Gary, on the cash that we have on hand, we're earning a much higher level of interest income than what we did last year. You might remember, about a year ago, you're getting hardly nothing on your money. Now effectively, the corporation is earning about 4.75% on whatever cash it does have.

我不知道你是否在看其他收入，但如果我們在看 - 實際上，信不信由你，加里，我們手頭的現金，我們正在賺取更高水平的利息收入比我們去年做的。您可能還記得，大約一年前，您的錢幾乎一無所獲。現在，無論擁有多少現金，該公司實際上都賺取了大約 4.75% 的收益。

Okay. All right. So that explains that. And then I just want to get a question on the diagnostics and the software. Nick, it's growing. Are you finding that there are shops that and I don't -- can't believe that this is possible that did not have any diagnostic capabilities that are rapidly adapting it because of the more of the electronics on the models? Or are entities just looking to upgrade and buy a more powerful machine?

好的。好的。所以這解釋了這一點。然後我只想問一個關於診斷和軟件的問題。尼克，它在成長。你是否發現有些商店，我沒有 - 不能相信這是可能的，因為模型上的電子設備更多，所以沒有任何正在快速適應它的診斷能力？或者實體只是想升級和購買更強大的機器？

Well, I mean, look, I think the -- sure, there are shops that don't have diagnostics. I mean, there are guys who think they can do it themselves. And by the way, you can repair it yourself, but it takes more time. And so the more experienced technicians think they can get through in some of them, particularly in truck shops, you'll see that more.

好吧，我的意思是，看，我認為 - 當然，有些商店沒有診斷。我的意思是，有些人認為他們自己可以做到。順便說一句，你可以自己修理，但需要更多時間。因此，更有經驗的技術人員認為他們可以通過其中一些，特別是在卡車商店，你會看到更多。

But generally, diagnostics are an upgrade and they're upgrading the software. And what happens, the good thing about this, like I say in the remarks, is the more drive by wire, the more you need more advancements in both the software and the hardware. It's one of the reasons why the ZEUS+ has been such a baffled hit, is that it really does move everything forward, bigger screens, make it easier from a hardware point of view, and it's got enhanced software.

但總的來說，診斷是一種升級，他們正在升級軟件。會發生什麼，這樣做的好處，就像我在評論中所說的那樣，線控驅動越多，您就越需要在軟件和硬件方面取得更多進步。這就是為什麼 ZEUS+ 如此受挫的原因之一，是它確實推動了一切向前發展，更大的屏幕，從硬件的角度來看更容易，並且它有增強的軟件。

And we tried to emphasize that we keep coming up with ideas like Mitchell 1, like the wiring diagrams for trucks. That may not sound like much, but it's bad because if you have to keep -- it's really helpful because if you have to keep trying to find the wire in a new view, it's a real puzzle sometimes, and they're holding about collision. Collision is booming. And so writing software for collision, we're kind of, I think in kind of one of the only few they're trying to do that, and we see that being very positive. So there's a lot of opportunity flowing through there.

我們試圖強調我們一直在想出像 Mitchell 1 這樣的想法，比如卡車的接線圖。這聽起來可能不多，但這很糟糕，因為如果你必須保留 - 這真的很有幫助，因為如果你必須繼續嘗試在新視圖中找到電線，這有時是一個真正的難題，而且他們正在等待碰撞.碰撞正在蓬勃發展。因此，為碰撞編寫軟件，我認為我們是他們嘗試這樣做的少數人之一，我們認為這是非常積極的。所以那裡有很多機會。

Most of it, though, it really depends on the shop. If you're talking about just the vehicle repair shop, most of them are upgrading what they have already. In some cases, the shop certainly has something. That would be it. In some cases, you're adding technicians that are using more and more diagnostics, so don't have a diagnostic now, they're borrowing. In other cases, if you look at truck or collision repair, they're just starting to get diagnostics. That's a little more fertile ground for it.

不過，其中大部分實際上取決於商店。如果您只是在談論汽車維修店，那麼他們中的大多數都在升級他們已有的東西。在某些情況下，商店肯定有東西。就是這樣。在某些情況下，您正在添加使用越來越多診斷的技術人員，所以現在沒有診斷，他們正在藉用。在其他情況下，如果您查看卡車或碰撞修復，他們才剛剛開始進行診斷。這為它提供了更肥沃的土壤。

Okay. And then as you sell these higher-ticket diagnostic products, I would assume that the software package that comes with it or is associated with it is also a higher ticket versus the low-end diagnostic.

好的。然後當你銷售這些高價診斷產品時，我會假設它附帶或與之相關的軟件包也比低端診斷產品價格更高。

I'll tell you what, Gary, I don't know how we can afford to sell it for the price we do. But we do -- we view it as a high value, but yes, the software is more -- when you buy the initial package, you get software for a period of time, like 6 months in the package. And so then you could take a subscription then that will start after 6 months or you can wait till 6 months over and take a subscription or you can wait for 6 months and buy a title. But if you're talking about -- let's take a look at the discrete purchase would be like buy a title, which would be 6 months of new software, ZEUS is higher than the next level down and the next level down. So it's higher.

我會告訴你什麼，加里，我不知道我們怎麼能以現在的價格賣掉它。但我們確實——我們認為它具有很高的價值，但是是的，軟件更重要——當你購買初始包時，你會得到一段時間的軟件，比如包中的 6 個月。然後你可以訂閱 6 個月後開始，或者你可以等到 6 個月後再訂閱，或者你可以等 6 個月再買一個標題。但是，如果你在談論——讓我們來看看離散購買就像購買一個標題，這將是 6 個月的新軟件，ZEUS 高於下一個級別和下一個級別。所以它更高。

And just lastly, do you foresee a situation where as more EVs proliferate through the car part that you would develop a diagnostic tool that's just specific for EVs?

最後，您是否預見到這樣一種情況，即隨著越來越多的電動汽車通過汽車部件激增，您會開發一種專門針對電動汽車的診斷工具？

Sure. But -- yes, that's a long time off, there because first, what would happen is a diagnostic unit that would handle internal combustion and EVs because they're going to be sharing the space for a long time. They're going to be chewing the same dirt on a highway for a long time. And so the real thing is you're going to need a broad group of that, both in software and tools. That's what's going to happen. Eventually, EVs may take over a plug-in hybrids or whatever evolves in that situation, and that will move the car part. But it's a long way process.

當然。但是——是的，那是一段很長的時間，因為首先，會發生的是一個診斷單元，它可以處理內燃機和電動汽車，因為它們將長期共享空間。他們將在高速公路上咀嚼同樣的泥土很長一段時間。所以真正的事情是你需要一個廣泛的群體，包括軟件和工具。這就是將要發生的事情。最終，電動汽車可能會取代插電式混合動力車或任何在這種情況下發展起來的東西，這將推動汽車的發展。但這是一個漫長的過程。

There's no singularity in here. But once they start to get some presence in the market, you have to start including them in your diagnostic software so that you help the technicians deal with them as you help them deal with the 650-horsepower BMW M5 competition.

這裡沒有奇點。但是一旦它們開始在市場上佔有一席之地，您就必須開始將它們包含在您的診斷軟件中，以便幫助技術人員處理它們，就像您幫助他們應對 650 馬力的 BMW M5 競爭一樣。

And the next question comes from Elizabeth Suzuki with Bank of America.

下一個問題來自美國銀行的伊麗莎白鈴木。

Great. First, I wanted to ask about the financing arm. In terms of your outlook, I mean, do you see risk to originations, if your customers start shifting from some of these bigger ticket items to smaller ticket and as credit conditions more broadly kind of tightened, does that have an impact on your customers' ability or willingness to take on additional debt for those large purchase?

偉大的。首先，我想問一下融資部門。就你的前景而言，我的意思是，如果你的客戶開始從這些大票項目中的一些轉向小票項目，並且隨著信貸條件更廣泛地收緊，你是否看到起源風險，這是否會對你的客戶產生影響？是否有能力或願意為那些大額採購承擔額外的債務？

Actually, I don't know. That's a big question. There's a lot of hypotheticals in there. I don't think we see a risk right now. People seem to be robust in terms of the big ticket items. One of the messages of our point is -- I think I said when we're at the conference, there almost seems to be 2 economies, the financial economy and the physical economy. And the physical economy right now things pretty pumped me. And so we see -- and we see that with the take-up of big-ticket items that expresses their confidence.

其實，我不知道。這是個大問題。裡面有很多假設。我認為我們現在沒有看到風險。就大件商品而言，人們似乎很健壯。我們的觀點之一是——我想我在會議上說過，似乎幾乎有兩種經濟體，金融經濟體和實體經濟體。現在的物質經濟讓我很興奮。所以我們看到 - 我們看到，通過購買表達他們信心的大件商品。

Really, and in past downturns, it hasn't been the rates that's influenced because our rates stay the same. It hasn't been the rates or the actual money that of technicians that influences the choice. It's their mental view. The paraphrase is, what was (inaudible) election. It's a psychology (inaudible) . And so basically, in the great financial recession, it was the -- we would have said economies [bloom,] repair shops hum and they kept going. And so yes, but they were getting up every day and getting bad news for breakfast on all the shows and reading the paper. So they were worried about taking long-term long payback items, but they had the money.

真的，在過去的經濟低迷中，受影響的並不是利率，因為我們的利率保持不變。影響選擇的不是技術人員的費率或實際資金。這是他們的心理觀點。換句話說，什麼是（聽不清）選舉。這是一種心理學（聽不清）。所以基本上，在嚴重的金融衰退中，它是——我們會說經濟[繁榮，]修理廠嗡嗡作響，他們繼續前進。所以是的，但他們每天起床，早餐時在所有節目和報紙上收到壞消息。所以他們擔心拿長期的長期回報項目，但他們有錢。

So I don't anticipate the money going away, but I -- but they could change their attitude, depending on how much bombardment occurs. I think really, that's how we see the world playing out. Repair is essential. It keeps going. But the mentality of the customers can shift between big ticket and small ticket. We saw -- I mean, if you want evidence that you go back to just out of the COVID. Coming out of the COVID everybody had money and garages and never stopped, but they were focused on small ticket items, not big ticket. And when they start to get more comfortable and they had the psychological recovery and exhilaration, they started to go big ticket. That's what we see it.

所以我不認為錢會消失，但我——但他們可能會改變態度，這取決於發生了多少轟炸。我認為真的，這就是我們看待世界的方式。維修是必不可少的。它繼續前進。但是客戶的心態可以在大票和小票之間轉換。我們看到了——我的意思是，如果你想要證據證明你回到剛剛脫離 COVID 的狀態。從 COVID 中走出來，每個人都有錢和車庫，而且從未停止過，但他們專注於小件商品，而不是大件商品。當他們開始變得更舒服並且心理恢復和興奮時，他們開始大手筆。這就是我們所看到的。

Yes. Got it. No, it certainly makes sense that the sentiment is a little different here on Wall Street than it is on Main Street. So I get that.

是的。知道了。不，華爾街的情緒與大街上的情緒略有不同當然是有道理的。所以我明白了。

And the next question comes from Scott Stember with ROTH MKM.

下一個問題來自 Scott Stember 和 ROTH MKM。

Nick, you're talking about how collision is booming. I just wanted to flesh that out a little bit. How much of it is just from, I guess, a volume standpoint at the collision level which I guess you could see with increased purchases along the car or just collision equipment versus increased demand of diagnostics for ADAS for the collision side.

尼克，你在談論碰撞是如何蓬勃發展的。我只是想充實一點。我猜，其中有多少只是從碰撞水平的體積角度來看，我想你可以看到隨著汽車或碰撞設備的增加購買與碰撞側 ADAS 診斷需求的增加。

No. Both of those. I think increasingly, in the collision area is people are more and more interested in -- as we go forward in the sort of like the ADAS situation where you're talking about calibration and setting the neural network of sensors. And also, things like we talked about with Mitchell 1 with the special collision focused software because people are seeing that job more and more.

不，兩者都有。我越來越認為，在碰撞領域，人們越來越感興趣——因為我們在 ADAS 的情況下前進，你正在談論校準和設置傳感器的神經網絡。而且，就像我們與 Mitchell 1 討論的那樣，使用專門的碰撞聚焦軟件，因為人們越來越多地看到這項工作。

Two things are happening -- 3 things are happening, I suppose. The first one is a lot of different materials in a car now. So you just can't bend steel, you have to cut different like carbon fiber and so on. So there's a lot of different physical products that we sell that make that. That was -- that's a long-standing trend. And then as the neural networks have become more ubiquitous, they need a lot of software and hardware that's focused on that to recalibrate and do that. And then thirdly, collision shops are getting more jobs because the collision has taken more time. If you don't think that -- when you hammer your bumper, see how much it cost you, how long it takes you to get it replaced. Those are taking more time. So there's more work for collision shop. So they're seeing 3 factors: one, the material, two, addressing the neural network and three, just handling the volume and getting productivity.

有兩件事正在發生——我想有三件事正在發生。第一個是現在汽車中有很多不同的材料。所以你不能彎曲鋼材，你必須切割不同的材料，比如碳纖維等等。因此，我們銷售的許多不同的實體產品都可以做到這一點。那是——這是一個長期存在的趨勢。然後隨著神經網絡變得越來越普遍，他們需要大量專注於此的軟件和硬件來重新校準並執行此操作。第三，碰撞車間正在獲得更多工作，因為碰撞花費了更多時間。如果你不這麼認為——當你敲打你的保險槓時，看看你花了多少錢，你需要多長時間才能把它換掉。那些需要更多時間。因此，碰撞車間還有更多工作要做。所以他們看到了 3 個因素：一是材料，二是解決神經網絡問題，三是處理數量和提高生產力。

Got it. And housekeeping in the Tools segment sell into the van channel versus sell-through? Were they pretty much in line?

知道了。工具部門的內務管理是向貨車渠道銷售還是通過銷售？他們幾乎一致嗎？

They were in line pretty well balanced this quarter. They go up and down, but we pretty much feel as though they're kind of matching up, and they have. They fluctuate from quarter-to-quarter. But this quarter is pretty evenly [keeled]. Maybe there's a little bit more selling off the van that's selling into there, maybe a little bit, but not anything significant. So -- it is pretty solid.

他們本季度的表現非常平衡。他們上下起伏，但我們幾乎感覺他們有點匹配，而且他們確實匹配了。它們每個季度都在波動。但本季度的情況相當 [龍骨狀]。賣到那裡的貨車可能賣得更多，也許有一點，但並不重要。所以 - 它非常堅固。

All right. And just last question, just going back to Bret's question about the, I guess, the composition of the Tools Group. It sounds if tools were up or hand tools were up in line with the overall segment. Can you maybe just talk about anything to point out new products out there? Is it different selling tactics? Is it bundling of certain things? Just trying to see what's going there.

好的。最後一個問題，回到布雷特關於工具組的組成的問題。聽起來工具是否已啟動或手動工具是否與整個細分市場保持一致。你能不能談談任何事情來指出那裡的新產品？是不同的銷售策略嗎？它是捆綁某些東西嗎？只是想看看那裡發生了什麼。

A lot of different things. I mean, fundamentally, the big kahuna in the Tools Group this time is ZEUS+, a big ticket item, [$12,000.] So that's rolling through that business. And so that's the thing that gets your attention. I talked about this Neon Stinger, I really meant it. I was flying off the shelf. We showed it at our kickoff and people loved it because (inaudible) technicians want to make a statement. So tool storage has got some nice products. So you have a new model and diagnostic that's driving that. You have some really nice innovations in tool storage.

很多不同的東西。我的意思是，從根本上說，這次工具組中的大 kahuna 是 ZEUS+，一個高價項目，[12,000 美元]。所以它正在通過該業務滾動。所以這就是引起你注意的事情。我談到了這個 Neon Stinger，我是認真的。我正在飛離架子。我們在啟動時展示了它，人們喜歡它，因為（聽不清）技術人員想要發表聲明。所以工具存儲有一些不錯的產品。所以你有一個新的模型和診斷來驅動它。你們在工具存儲方面有一些非常好的創新。

And in hand tools, you have a number of different things, some of which are things like new pliers. We have a range of new pliers that everybody loves. I was talking to the franchisees, like I said, a couple of weeks ago. And these guys whipped out these pliers and started talking about how great they are and easy to sell because they're so functional, how in grip. They hold on really well, 3 positions, so you can handle any kind of job. People love them. So you see that, plus we're bundling some things like impact sockets, putting together some impact sockets where they weren't bundled before. So people impact sockets or things you use are very hard and difficult like trucks, you really need a lot of power. So the sockets have to be of a different dimension. Less hard but stronger, thicker wall and those kinds of things. So we see those coming out, maybe focused on the truck shop. So those are the kinds of things that are driving the situation. But it's always that way. There's always a story around product.

在手動工具中，您有許多不同的東西，其中一些是新鉗子之類的東西。我們有一系列人人都喜歡的新型鉗子。幾週前，我正在與特許經營商交談，就像我說的那樣。這些傢伙拿出這些鉗子，開始談論它們有多棒，而且很容易銷售，因為它們功能強大，抓握力強。他們做得很好，有 3 個職位，因此您可以處理任何類型的工作。人們喜歡他們。所以你看到了，加上我們正在捆綁一些東西，比如衝擊套筒，把一些以前沒有捆綁的衝擊套筒放在一起。所以人們衝擊插座或你使用的東西就像卡車一樣非常堅硬和困難，你真的需要很大的力量。因此，插座必須具有不同的尺寸。不那麼堅硬但更堅固，更厚的牆壁和諸如此類的東西。所以我們看到那些出來，也許專注於卡車車間。所以這些就是推動這種情況的事情。但它總是那樣。總有一個關於產品的故事。

And our next question comes from David MacGregor with Longbow Research.

我們的下一個問題來自 Longbow Research 的 David MacGregor。

Let me start off by just asking about the revenue mix overall. Are you seeing a shift in the percentage of revenues from technicians versus independent garage owners and dealerships?

讓我首先詢問整體收入組合。您是否看到技術人員與獨立車庫所有者和經銷商的收入百分比發生了變化？

Not really. I mean you could say that. Let me say this. Only in this way, not in the Tools Group for sure. I don't see it in the Tools group. You could argue that, all right, you tend to get garage owners who are also technicians. They are the probably #1 buyer of ZEUS+. So in that way, you might see more of that. But every time you roll out the top of the line diagnostic unit, you're seeing that. So adjusting for our expectations in that way, I don't see any change in the Tools Group.

並不真地。我的意思是你可以這麼說。讓我這樣說。只有這樣，肯定不在工具組中。我在工具組中沒有看到它。你可能會爭辯說，好吧，你往往會得到同時也是技術人員的車庫所有者。他們可能是 ZEUS+ 的第一大買家。因此，通過這種方式，您可能會看到更多。但每次推出頂級診斷單元時，您都會看到這一點。因此，以這種方式調整我們的期望，我看不到工具組有任何變化。

If you go to RS&I, while repairs, software and diagnostic sales independent of repair shops were up. The 2 big pounders in RS&I was the OEM businesses following the new models and the equipment, but equipment is split between pretty much equally between garages and independent. So generally, you'll see a slight shading toward OEM garages on the RS&I side. You won't see any -- much of a mix change on the tool side except for the fact that ZEUS+ seems to always -- the big kahuna always sells has a strong shop buy. That's pretty much it. Other than that, we don't see any change .

如果你去 RS&I，而獨立於維修店的維修、軟件和診斷銷售卻在上漲。 RS&I 的 2 大巨頭是 OEM 業務，緊隨新車型和設備之後，但設備在車庫和獨立設備之間的分配幾乎是平均的。所以一般來說，您會看到 RS&I 側的 OEM 車庫略有陰影。你不會看到任何 - 除了 ZEUS+ 似乎總是 - 大的 kahuna 總是銷售有很強的商店購買之外，工具方面的混合變化很大。差不多就是這樣。除此之外，我們看不到任何變化。

Just staying on the garage owners for a minute, Nick. Your contract receivable is up 9.2%. You sense that garage owners are maybe starting to face a little more difficulty in securing credit, returning to Snap-on credit as an alternative?

只是在車庫老闆那裡停留一分鐘，尼克。你的合同應收款增加了 9.2%。您是否感覺到車庫所有者在獲得信貸方面可能開始面臨更多困難，返回 Snap-on 信貸作為替代方案？

Probably the contract receivables are with the franchisees and the van leases and inventory, so...

合同應收賬款可能與特許經營商以及貨車租賃和庫存有關，所以...

Yes, let’s throw them in there as well. I just say, does this group facing any more of a challenge on secured credit?

是的，讓我們也把它們扔進去。我只是說，這個群體在擔保信貸方面是否面臨更多挑戰？

David, it's a logical extension of bad -- higher credit maybe. But I'm not hearing it. I don't know. You're a windshield guy, too. I mean, I don't hear it in my windshield surveys, nobody is saying that. And I would just offer our impression was based on how our franchisees are and how they say the technicians are is the balance sheets are pretty robust.

大衛，這是不良的合乎邏輯的延伸——也許是更高的信用。但我沒有聽到。我不知道。你也是擋風玻璃的傢伙。我的意思是，我在擋風玻璃調查中沒有聽到它，沒有人這麼說。我只想提供我們的印像是基於我們的特許經營商的情況以及他們如何說技術人員的資產負債表非常穩健。

So yes, that might happen, but I don't think we're seeing it happen now. I don't think that's occurring right now. I think this is a pretty robust sector. We haven't -- we didn't see it get manipulated during the great (inaudible). They were more cautious, but they were still pretty flush. So I don't know. Could happened, but I don't hear it anyway.

所以是的，這可能會發生，但我認為我們現在不會看到它發生。我不認為現在正在發生這種情況。我認為這是一個非常強勁的行業。我們沒有——我們沒有看到它在偉大的（聽不清）期間被操縱。他們更加謹慎，但他們仍然很紅。所以我不知道。可能發生了，但我還是沒聽到。

Okay. And then just on storage and maybe any of the other categories where you've got large backlogs. Can you just give us some sense of how far back those backlogs are extending...

好的。然後只是存儲，也許還有其他任何你有大量積壓的類別。你能告訴我們這些積壓的延期有多遠嗎……

Too far. That's why we're in a factory. Look, that is -- even I was at these franchisees. I don't know if you can take this around many times, if you wish, but these guys are telling me they can sell every tool storage box they get. Backlogs go back, I don't want to really get into that story. But it's pretty substantial, probably longer than we would like.

太遠。這就是我們在工廠的原因。看，那是——甚至我也在這些特許經營商那裡。我不知道如果你願意，你能不能把它帶走很多次，但這些人告訴我他們可以賣掉他們得到的每一個工具儲物盒。積壓回去，我不想真正進入那個故事。但它相當可觀，可能比我們想要的要長。

But sometimes we wonder -- I'd tell you what, just a key, looking at sometimes we wonder if it is a better if the backlog is long. It makes people want them more. I don't know. You know what I mean? Because everybody wants a Snap-on box, it seems. So maybe it just makes it more attractive, like if you have to wait for a car for a long time. But we'd like to bring this backlog down. That's why we are enhancing our factories in all categories really. Virtually all of our product lines are up to the eyeballs and trying to turn out the factories. But the one that chases us the most is tool storage because everywhere we go, people say, I need more. I need more. I need more.

但有時我們想知道 - 我會告訴你什麼，只是一個關鍵，有時我們想知道如果積壓很長是否更好。它讓人們更想要它們。我不知道。你知道我的意思？因為似乎每個人都想要一個 Snap-on 盒子。所以也許它只是讓它更有吸引力，就像你要等車很長時間一樣。但我們想減少這個積壓。這就是為什麼我們真正在所有類別中加強我們的工廠。事實上，我們所有的產品線都在吸引眼球，並試圖讓工廠脫穎而出。但最讓我們著迷的是工具存儲，因為無論我們走到哪裡，人們都會說，我需要更多。我需要更多。我需要更多。

Is there a reason then Nick, why the regional kickoffs you were offering discount packages on storage? It seems odd that you'd be discounting something that -- backlog.

尼克，為什麼你在區域啟動時提供存儲折扣包是有原因的嗎？您對積壓的東西打折似乎很奇怪。

No, because we offer discount packages all the time. That's part of the reason to buy now. You could say, okay, you don't have to have the discount package. But in reality, in reality, David, our franchisees are conditioned to sell off a kind of deal. Our art is to make that deal attractive but leaner or richer depending on how we want to move the product.

不，因為我們一直提供折扣套餐。這是現在購買的部分原因。你可以說，好吧，你不必有折扣包。但實際上，大衛，我們的特許經營商有條件出售一種交易。我們的藝術是讓這筆交易有吸引力，但更精簡或更豐富，這取決於我們想要如何移動產品。

Got it. Last question for me is just, I guess, given the strength in big-ticket sales, Nick, combined with -- whether you're on Wall Street or Main Street, there's a slowing macro out there. I guess, what gives you confidence you aren't pulling forward technician purchasing power that adversely impacts hand tool sales and future growth at some point down the road?

知道了。我想我的最後一個問題是，考慮到高價銷售的強勁勢頭，尼克，再加上——無論你是在華爾街還是主街，宏觀經濟正在放緩。我想，是什麼讓您有信心您不會推動技術人員的購買力在未來的某個時候對手動工具的銷售和未來增長產生不利影響？

Actually, I don't worry so much about hand tools. I don't. I mean, we -- hand tools have been strong come hell or high water. I mean I think -- I mean I only been here 15 years. So maybe that's not long enough. But the thing is it seems though hand tools -- if you're talking about the longer payback items like I was talking to Liz, sooner or later, sometimes, the psychology of it all breaks through and even the guys who are working every day and pulling in the money, they say, I want to keep my powder dry for a while, sometimes.

實際上，我不太擔心手動工具。我不。我的意思是，我們 - 手動工具無論遇到地獄還是水漲船高都非常強大。我的意思是我認為——我的意思是我來這裡才 15 年。所以也許這還不夠長。但事情似乎是手工工具——如果你像我和 Liz 一樣談論更長的回報項目，遲早，有時，這一切的心理都會突破，甚至是那些每天都在工作的人拉錢，他們說，有時我想讓我的火藥乾一會兒。

But that's a psychological balance which I think right now, there's tremendous reservoirs of optimism in the people of work. It's different than the big companies. If you look at the National Association Manufacturers, and you look at small manufacturers versus large manufacturers. There's all of a sudden a big divide between them in terms of their optimism, their outlook. The small guys have almost never been higher. So I think this is part of what it is. I think there's a lot of talk. As you said, there is a lot of talk and just we saw -- I'm not saying it's wrong or anything like that. But when you walk in -- when I walk in a garage or meet the franchisees, they're saying, who's this guy, this guy, Paul, I don't even know who he is.

但這是我現在認為的一種心理平衡，工作人員中存在著巨大的樂觀情緒。跟大公司不一樣。如果你看看全國製造商協會，你就會看到小型製造商與大型製造商的對比。突然間，他們之間在樂觀和前景方面出現了巨大的分歧。小個子幾乎從來沒有高過。所以我認為這是它的一部分。我認為有很多話要說。正如你所說，有很多討論，只是我們看到了——我並不是說這是錯誤的或類似的事情。但是當你走進去——當我走進車庫或遇到特許經營商時，他們會說，這個人是誰，這個人，保羅，我什至不知道他是誰。

Well, it was a good quarter. Congratulations, Nick.

嗯，這是一個很好的季度。恭喜你，尼克。

And the last question comes from Luke Junk with Baird.

最後一個問題來自 Luke Junk 和 Baird。

No, we're maybe a little limited for time, so I'll just ask one question today. And what I was really hoping to understand is, Nick or Aldo, you could just unpack the gross margin gains we saw both in the Tools Group and C&I this quarter a little bit more, especially when I'm hoping to understand how much normalization we're seeing right now in the margin in terms of price and what's going on with material costs and whether you think that's sustainable or even there might be more opportunity as we go from here?

不，我們的時間可能有點有限，所以我今天只問一個問題。我真正希望了解的是，Nick 或 Aldo，您可以將本季度我們在 Tools Group 和 C&I 中看到的毛利率收益進一步分解，尤其是當我希望了解我們在多大程度上正常化時現在在價格和材料成本方面的利潤率以及您是否認為這是可持續的，甚至我們從這裡開始可能會有更多機會？

Well, look -- I like to do this. So I'll do this. Look, in C&I, it is simple. Critical industries, boomshakalaka. Critical industries are the highest margin business in that area. And the margins are robust and they did pretty well. And like we talked about the military and I don't know if you heard that call, but the military tends to be is the base by base type of product we're getting that's moving it. And that tends to be pretty good.

嗯，看——我喜歡這樣做。所以我會這樣做。看，在 C&I 中，這很簡單。關鍵行業，boomshakalaka。關鍵行業是該領域利潤率最高的行業。而且利潤率很高，而且做得很好。就像我們談到軍隊一樣，我不知道你是否聽到過那個電話，但軍隊往往是我們正在獲得的產品類型的基地，這正在推動它。這往往是相當不錯的。

So I think that's one factor you're seeing there. That's pretty strong. They were up -- the critical industries were up greater than 11%. And that's what drove the margins. I think, principally. There were other things -- I mean another thing is that generally, the supply chain is getting better, but some of the stuff you go out and buy a whole bunch of stuff and when you (inaudible), you buy a lot because you don't want to have to not have them. So some of that stuff is working its way through. So it's a very complex mix. We are seeing some abatement, that should continue.

所以我認為這是你在那裡看到的一個因素。那是相當強大的。它們上漲了——關鍵行業上漲了 11% 以上。這就是推動利潤的原因。我認為，主要是。還有其他事情——我的意思是另一件事是，一般來說，供應鏈正在變得更好，但是有些東西你出去買一大堆東西，當你（聽不清）時，你買了很多，因為你不不想擁有它們。所以其中一些東西正在發揮作用。所以這是一個非常複雜的組合。我們看到一些減少，應該繼續。

And -- but mostly, the big factor there, the 190 basis points had to do with critical industries doing well. The customized kits are great for us and they sold, we broke some of the bottlenecks, and we did well in that situation. So that's C&I.

而且 - 但主要是那裡的重要因素，190 個基點與關鍵行業的良好表現有關。定制套件對我們來說很棒，他們賣掉了，我們打破了一些瓶頸，在那種情況下我們做得很好。這就是 C&I。

If you look at Tools Group, it's -- there's no product mix story that I think guys were wondering if there were, it wasn't that. But it is the fact that there is an attenuation in the commodities, so the commodities, which Tools Group is very vertically integrated, so they buy commodities in a lot of situations. So they get a nice pop from that. And so they're getting some improvement in that situation. Of course, they're taking their foot off the pricing in concert with that. And then the Tools Group has been hammering away at RCI. So you see a lot of that happening in this situation. So we think the whole thing is sustainable. Now that -- I'm not telling you that the OI margin for the Tools Group is going to be the same next quarter, but we don't think they can't -- we believe they could go higher, not necessarily next quarter, but we think there's room to move up from RCI and a rationalization of the situation.

如果你看看 Tools Group，它是——沒有產品組合的故事，我認為人們想知道是否有，不是那樣的。但事實是商品有衰減，所以 Tools Group 非常垂直整合的商品，所以他們在很多情況下購買商品。所以他們從中得到了很好的流行音樂。所以他們在這種情況下得到了一些改善。當然，與此相呼應，他們正在降低定價。然後 Tools Group 一直在努力研究 RCI。所以你會看到在這種情況下發生了很多事情。所以我們認為整個事情是可持續的。現在 - 我不是告訴你工具集團的 OI 利潤率在下個季度將保持不變，但我們認為他們不能 - 我們相信他們可以走得更高，不一定是下個季度，但我們認為 RCI 仍有上升空間，並且情況合理化。

And this concludes the question-and-answer session. I would like to turn the floor to Sara Verbsky for any closing comments.

問答環節到此結束。我想請 Sara Verbsky 發表任何結束評論。

Thank you all for joining us today. A replay of this call will be available shortly on snapon.com. As always, we appreciate your interest in Snap-on. Good day.

感謝大家今天加入我們。此通話的重播將很快在 snapon.com 上提供。一如既往，我們感謝您對實耐寶的關注。再會。

Thank you. The conference has now concluded. Thank you for attending today's presentation, and you may now disconnect your lines.

謝謝。會議現已結束。感謝您參加今天的演講，您現在可以掛斷電話了。