Sonoco Products Co (SON) 2023 Q3 法說會逐字稿

Good day, and thank you for standing by. Welcome to the Q3 2023 Sonoco Earnings Conference Call. At (Operator Instructions) Please be advised that today's conference is being recorded.

美好的一天，感謝您的支持。歡迎參加 2023 年第三季 Sonoco 收益電話會議。在（操作員指示）請注意，今天的會議正在錄製中。

I would now like to hand the conference over to your speaker, Lisa Weeks, Vice President of Investor Relations. Please go ahead.

現在我想將會議交給您的發言人、投資者關係副總裁麗莎·威克斯 (Lisa Weeks)。請繼續。

Thank you, operator, and thanks to everyone for joining us today for Sonoco's Third Quarter 2023 Earnings Call. Joining me this morning are Howard Coker, President and CEO; Rob Dillard, Chief Financial Officer; and Rodger Fuller, Chief Operating Officer.

感謝營運商，也感謝大家今天參加我們的 Sonoco 2023 年第三季財報電話會議。今天早上和我一起來的是總裁兼執行長霍華德‧科克 (Howard Coker)；羅布·迪拉德，財務長；羅傑‧富勒，營運長。

Last evening, we issued a news release highlighting our financial performance for the third quarter, and we prepared a presentation that we will reference during this call. The press release and presentation are available online under the Investor Relations section of our website at sonoco.com.

昨晚，我們發布了一份新聞稿，重點介紹了我們第三季度的財務業績，並準備了一份演示文稿，供我們在本次電話會議期間參考。新聞稿和簡報可在我們網站 sonoco.com 的投資者關係部分線上取得。

As a reminder, during today's call, we will discuss a number of forward-looking statements based on current expectations, estimates and projections. These statements are not guarantees of future performance and are subject to certain risks and uncertainties. Therefore, actual results may differ materially. Please take a moment to review the forward-looking statements on Page 2 of the presentation.

提醒一下，在今天的電話會議中，我們將討論一些基於當前預期、估計和預測的前瞻性陳述。這些陳述並非對未來績效的保證，並受到某些風險和不確定性的影響。因此，實際結果可能存在重大差異。請花點時間查看簡報第 2 頁的前瞻性聲明。

Additionally, today's presentation includes the use of non-GAAP financial measures which management believes provides useful information to investors about the company's financial condition and results of operations. Further information about the company's use of non-GAAP financial measures, including definitions as well as reconciliations to GAAP measures is available under the Investor Relations section of our website.

此外，今天的演示還包括使用非公認會計準則財務指標，管理層認為這些指標為投資者提供了有關公司財務狀況和經營業績的有用資訊。有關公司使用非公認會計準則財務衡量標準的更多信息，包括定義以及與公認會計準則衡量標準的調節，請訪問我們網站的投資者關係部分。

For today's call, we will have prepared remarks regarding our results for the quarter and outlook for the fourth quarter, followed by a Q&A session. If you will turn to Slide 4 in our presentation, I will now turn the call over to our CEO, Howard Coker.

在今天的電話會議中，我們將準備有關本季業績和第四季前景的評論，然後進行問答環節。如果您想看我們簡報中的幻燈片 4，我現在將把電話轉給我們的執行長 Howard Coker。

Okay. Well, thank you, Lisa. Good morning, everyone, and thank you for joining our third quarter 2023 earnings call.

好的。嗯，謝謝你，麗莎。大家早安，感謝您參加我們的 2023 年第三季財報電話會議。

Let me begin with highlights of the quarter. For Sonoco, we executed well, even with the ongoing market uncertainty. Sales came in at $1.71 billion, adjusted EBITDA was $280 million and adjusted earnings per share was $1.46. Sales were flat sequentially and generally in line with expectations. In the industrial sector, demand remains muted and volumes low. In consumer, volumes were sequentially higher in most businesses, while metal aerosol can volumes continue to underperform driven by lower end market demand and ongoing customer destocking.

讓我先介紹本季的亮點。對於 Sonoco 來說，即使市場持續存在不確定性，我們也執行得很好。銷售額為 17.1 億美元，調整後 EBITDA 為 2.8 億美元，調整後每股收益為 1.46 美元。銷售額環比持平，整體符合預期。在工業領域，需求依然低迷，產量也很低。在消費領域，大多數企業的銷售量持續上升，而金屬氣霧罐銷售量因低端市場需求和持續的客戶去庫存而持續表現不佳。

Our profit results were better than expected from strong productivity and effective cost management by our teams. Our productivity results are benefiting from the capital investments we are making across our plant network including automation, process improvements and energy cost reductions. We expanded adjusted EBITDA margins to over 16% and delivered strong cash flow during the quarter. We achieved these results even while we continue to invest in long-term value-adding projects and R&D initiatives throughout the portfolio.

我們的利潤結果好於預期，得益於我們團隊強大的生產力和有效的成本管理。我們的生產力成果受益於我們在工廠網路中進行的資本投資，包括自動化、流程改善和能源成本降低。我們將調整後 EBITDA 利潤率擴大至 16% 以上，並在本季度實現了強勁的現金流。即使我們繼續投資於整個投資組合的長期加值項目和研發計劃，我們仍然取得了這些成果。

Overall, I'm pleased with how these results reflect our continued ability to execute simplification, transformation and operational excellence initiatives to build a more resilient company with strong performance through the cycles.

總的來說，我很高興這些結果反映了我們持續執行簡化、轉型和卓越營運計劃的能力，以打造更具彈性、在整個週期內表現強勁的公司。

We were also pleased to close the RTS Packaging and Chattanooga Paper mill acquisition in September. These acquisitions is well aligned with Sonoco's long-term strategy to focus on our core integrated businesses and expand our sustainable consumer packaging portfolio, serving food, beverage and beauty markets. The integration process is well underway, and we are delighted to welcome our new colleagues to Sonoco.

我們也很高興在 9 月完成了對 RTS Packaging 和查塔努加造紙廠的收購。這些收購與 Sonoco 的長期策略非常一致，即專注於我們的核心綜合業務並擴大我們的永續消費包裝產品組合，服務於食品、飲料和美容市場。整合過程正在順利進行，我們很高興歡迎新同事加入 Sonoco。

And with that, I will turn it over to Rob for more details on the quarter. Rob?

接下來，我會將其轉交給 Rob，以了解有關本季度的更多詳細資訊。搶？

Thanks, Howard. I'll begin on Slide 6 with a review of key financial results for the third quarter. Please note that all results are on an adjusted basis and all growth metrics are on a year-over-year basis, unless otherwise stated. The GAAP to non-GAAP EPS reconciliation is in the appendix of this presentation and in the press release.

謝謝，霍華德。我將從幻燈片 6 開始回顧第三季的主要財務表現。請注意，除非另有說明，所有結果均經過調整，所有成長指標均以同比計算。 GAAP 與非 GAAP EPS 調整表位於本簡報的附錄與新聞稿中。

As Howard said, third quarter financial results reflect Sonoco's continued ability to deliver strong results in a low volume environment. We generated sequential growth in sales and adjusted EBITDA and improved the adjusted EBITDA margin to 16.4%. Furthermore, we exceeded our expectations and achieved adjusted EPS of $1.46.

正如霍華德所說，第三季財務表現反映了索諾克公司在低產量環境下持續交付強勁業績的能力。我們實現了銷售額的環比成長和調整後的 EBITDA，並將調整後的 EBITDA 利潤率提高至 16.4%。此外，我們超出了我們的預期，調整後每股收益為 1.46 美元。

This strong profitability was broad-based as impactful cost controls and improved productivity drove near-record profitability in both flexibles and rigid paper containers in the Consumer segment and strong profitability in the Industrial segment.

這種強勁的獲利能力具有廣泛的基礎，因為有效的成本控制和生產率的提高推動了消費領域的軟質和硬質紙容器的盈利能力接近創紀錄的水平，以及工業領域的強勁盈利能力。

In the third quarter, consolidated sales decreased to $1.7 billion. Sales decreased due to low volumes and index-based price decreases in both Consumer and Industrial. Adjusted operating profit decreased to $213 million and adjusted EBITDA decreased to $280 million. We maintained an above 16% adjusted EBITDA margin due to improved productivity and long-term cost controls associated with our ongoing business transformation program.

第三季度，綜合銷售額下降至 17 億美元。由於消費品和工業領域的銷量較低以及基於指數的價格下降，銷售額有所下降。調整後營業利潤下降至 2.13 億美元，調整後 EBITDA 下降至 2.8 億美元。由於生產力的提高以及與我們正在進行的業務轉型計劃相關的長期成本控制，我們保持了 16% 以上的調整後 EBITDA 利潤率。

Adjusted EPS of $1.46 was driven by strong operating performance as well as favorable tax and FX. Adjusted EPS increased sequentially from the second quarter due to modest volume improvement, positive productivity and positive nonoperating factors despite negative price/cost. The sales bridge on Slide 7 explains the year-over-year change in sales in the quarter. Volume/mix was negative $145 million or negative 7.7%.

強勁的經營業績以及有利的稅收和外匯推動了調整後每股收益 1.46 美元。儘管價格/成本為負，但由於銷量適度改善、積極的生產力和積極的非經營因素，調整後每股收益較第二季度連續增長。幻燈片 7 上的銷售橋解釋了本季銷售額的同比變化。銷售/組合為負 1.45 億美元，即負 7.7%。

This volume decrease was anticipated and was the product of weakening consumer demand due to the impact of inflationary pricing and destocking at retail and continued low industrial demand. We continue to take steps to improve demand visibility, and we are managing the business to mitigate the impact of low volumes.

銷售下降是預料之中的，是由於通膨定價和零售去庫存以及工業需求持續低迷的影響而導致消費者需求疲軟的結果。我們繼續採取措施提高需求可見性，並正在管理業務以減輕低銷售量的影響。

Price was negative $58 million. Our pricing performance was driven by index-based price decreases, primarily in resin and metals-based businesses. FX and other had a positive impact of $23 million with FX contributing $17 million.

價格為負5800萬美元。我們的定價表現是由基於指數的價格下降所推動的，主要是樹脂和金屬業務。外匯和其他產生了 2,300 萬美元的正面影響，其中外匯貢獻了 1,700 萬美元。

The adjusted operating profit bridge explains the year-over-year change in adjusted operating profit in the quarter. Volume/mix was negative $31 million as low volumes impacted profitability. Price/cost was negative $10 million as index-based prices declined more than overall inputs declined on a year-over-year basis. We continue to experience inflation in fixed costs and variable inputs like labor, while market-oriented inputs that drive index-based pricing such as metal and most resins declined on a year-over-year basis. Productivity was $30 million,due to restructuring activities targeting fixed cost and favorable manufacturing and purchasing performance.

調整後營業利潤橋解釋了本季調整後營業利潤的年比變化。由於銷量低影響了獲利能力，銷量/組合為負 3,100 萬美元。價格/成本為負 1000 萬美元，因為基於指數的價格年減幅度超過整體投入下降幅度。我們持續經歷固定成本和勞動力等可變投入的通貨膨脹，而推動金屬和大多數樹脂等基於指數定價的市場導向投入較去年同期下降。由於針對固定成本和良好的製造和採購績效的重組活動，生產率為 3000 萬美元。

Slide 8 has an overview of our segment performance for the quarter. Consumer sales decreased to $938 million. Consumer volumes decreased 8.1% due to inflationary pricing and continued destocking at retail. Customers of our Consumer Packaging remain cautious. We believe that our solutions are winning share. Rigid Paper Container Sales were flat as continued global growth, especially in Europe and Latin America, was offset by weakness in North America.

投影片 8 概述了我們本季的部門業績。消費者銷售額下降至 9.38 億美元。由於物價通膨和零售業持續去庫存，消費者數量下降了 8.1%。我們的消費包裝客戶仍然保持謹慎態度。我們相信我們的解決方案正在贏得市場份額。由於全球（尤其是歐洲和拉丁美洲）的持續成長被北美的疲軟所抵消，因此硬紙容器銷售持平。

Flexible sales decreased high single digits as low volume with legacy customers offset share gains with new customers. Metal Packaging sales decreased due to template-based pricing decreases and lower volume in both food and aerosol. Demand from our core customers has stabilized and indications are that destocking with these customers has moderated.

靈活銷售下降了高個位數，因為傳統客戶的銷售較低抵消了新客戶的份額成長。由於基於模板的定價下降以及食品和氣霧劑銷量下降，金屬包裝銷售額下降。我們的核心客戶的需求已經穩定，有跡象顯示這些客戶的去庫存已經放緩。

Consumer operating profit decreased to $112 million as strong productivity was offset by lower volume/mix and negative price/cost. Consumer operating profit margin increased to 11.9%. Flexibles and rigid paper containers both had near record operating profit due to strong productivity.

消費者營業利潤下降至 1.12 億美元，因為強勁的生產力被銷售/產品組合下降和負價格/成本所抵消。消費者營業利益率增至11.9%。由於生產力強勁，軟質和硬紙容器的營業利潤均接近創紀錄水準。

Turning to Industrial. Industrial sales decreased to $580 million. Industrial volumes decreased 7.5% due to lower demand in all key markets and geographies. We believe these declines are not share related as indications are that we continue to gain share based on quality and service. Operating profit decreased to $75 million due to lower volumes and negative price/cost. We generated positive productivity due to our focus on improving paper mill utilization and reducing fixed cost and SG&A.

轉向工業。工業銷售額下降至 5.8 億美元。由於所有主要市場和地區的需求下降，工業產量下降了 7.5%。我們認為這些下降與份額無關，因為有跡象表明我們繼續根據品質和服務獲得份額。由於銷量下降和負價格/成本，營業利潤下降至 7500 萬美元。由於我們專注於提高造紙廠利用率並降低固定成本和銷售管理費用，我們實現了積極的生產力。

Recent capital investments such as Project Horizon have enabled us to focus on the right markets with the right assets. We are operating with agility and continue to evaluate system improvements to maximize profitability. Operating profit margin remained at a a historically strong 12.9% and meaningful improvement from previous economic lows.

最近的資本投資（例如 Project Horizo​​n）使我們能夠以正確的資產專注於正確的市場。我們正在靈活運營，並繼續評估系統改進，以最大限度地提高盈利能力。營業利潤率維持在 12.9% 的歷史高位，較先前的經濟低點顯著改善。

All other sales decreased to $192 million due to low volumes. Operating profit increased 66% to $26 million due to strong price cost and productivity.

由於銷量較低，所有其他銷售額均降至 1.92 億美元。由於強勁的價格成本和生產力，營業利潤成長了 66%，達到 2,600 萬美元。

Moving to Slide 9. Our capital allocation framework aligns with our business strategy to drive value creation through earnings growth and higher margins. Our priority is to dynamically allocate capital to long-term strategies to improve growth and profitability in our core businesses. We remain focused on increasing the dividend, which at present is $0.51 per share on a quarterly basis or an approximate 4% annualized yield based on our current share price. After capital investments in the dividend, we prioritize investments in accretive and strategic M&A, balanced against our priority of maintaining strong liquidity and access to capital.

轉到投影片 9。我們的資本配置框架與我們的業務策略一致，透過獲利成長和更高的利潤來推動價值創造。我們的首要任務是將資本動態分配給長期策略，以提高核心業務的成長和獲利能力。我們仍然專注於增加股息，目前每季股息為每股 0.51 美元，或根據我們目前的股價計算，年化殖利率約為 4%。在股息資本投資之後，我們優先投資於增值性和策略性併購，與我們保持強勁流動性和獲得資本的優先事項相平衡。

In the third quarter, we increased the size of our revolving credit facility and refinanced our term loans to extend maturities and reduced average interest rates, while also funding the RTS acquisition. We began the fourth quarter with record liquidity and the ability to continue to pay down debt with cash from operations. In the third quarter, we generated operating cash flow of $268 million and invested $93 million in capital expenditures.

第三季度，我們增加了循環信貸額度的規模，並對定期貸款進行再融資，以延長期限並降低平均利率，同時也為 RTS 收購提供資金。我們在第四季開始時就擁有創紀錄的流動性，並且有能力繼續用營運現金償還債務。第三季度，我們產生了 2.68 億美元的營運現金流，並投資了 9,300 萬美元的資本支出。

On Slide 10, we have our guidance update. We are increasing our full year 2023 EPS guidance to $5.25 to $5.40, raising the lower end of the range to reflect our year-to-date performance, but maintaining the top end of the range to reflect the current market instability, especially considering recent weak demand trends in December.

在投影片 10 上，我們更新了指導意見。我們將2023 年全年每股收益指引上調至5.25 美元至5.40 美元，提高該範圍的下限以反映我們今年迄今的表現，但維持該範圍的上限以反映當前市場的不穩定，特別是考慮到近期的疲軟12 月的需求趨勢。

We're also increasing our full year 2023 adjusted EBITDA guidance to $1.05 billion to $1.08 billion. To reflect these changes and to reflect our expectation of maintaining higher receivables and lower payables than anticipated, we are revising our full year 2023 operating cash flow guidance to $850 million to $900 million. We are managing capital expenditures appropriately and expect to invest between $300 million and $325 million in 2023.

我們也將 2023 年全年調整後 EBITDA 指引提高至 10.5 億美元至 10.8 億美元。為了反映這些變化，並反映我們維持高於預期的應收帳款和低於預期的應付帳款的預期，我們將 2023 年全年經營現金流指引修訂為 8.5 億美元至 9 億美元。我們正在適當管理資本支出，預計 2023 年將投資 3 億至 3.25 億美元。

Now Rodger will discuss the fourth quarter outlook.

現在羅傑將討論第四季的前景。

Thanks, Rob. If you please turn to Slide 11 for our view on the segment performance drivers for the fourth quarter of 2023. First, in the Consumer segment for the fourth quarter, we expect stable volume performance versus last year and down slightly sequentially to the third quarter due to seasonality, primarily in our flexible and rigid plastics businesses.

謝謝，羅布。如果您請參閱投影片11，了解我們對2023 年第四季細分市場業績驅動因素的看法。首先，在第四季度的消費者細分市場中，我們預計銷售表現與去年相比穩定，並且比第三季略有下降，因為季節性，主要是在我們的軟質和硬塑膠業務中。

In our Global Rigid Paper Containers business, softness in some legacy products is being offset by new products using our proprietary sustainable paper solutions. We're excited to continue the global expansion of our rigid paper containers as we utilize the new capacity added in our existing operations in Brazil, Malaysia and Poland. These operations are utilizing our state-of-the-art equipment and automation technologies with plans for more investments in 2024 in emerging markets for paper cans.

在我們的全球硬紙容器業務中，一些傳統產品的柔軟度正在被使用我們專有的可持續紙張解決方案的新產品所抵消。我們很高興能夠利用巴西、馬來西亞和波蘭現有業務新增的產能，並繼續在全球擴展硬紙容器。這些業務正在利用我們最先進的設備和自動化技術，並計劃於 2024 年在新興紙罐市場進行更多投資。

In our Flexible Packaging business, we expect seasonally lower volumes after the third quarter holiday pack, but we should see continued solid productivity in flexibles as a result of recent investments in new technology. In metal cans, we expect seasonally lower food can volumes after the peak pack season in the third quarter, and metal aerosol volumes are expected to remain soft in the fourth quarter. We expect positive productivity in metal to continue in the fourth quarter due to capital investments.

在我們的軟包裝業務中，我們預計第三季假期後銷量會出現季節性下降，但由於最近對新技術的投資，我們應該看到軟包裝業務的生產力持續穩定。在金屬罐方面，我們預計第三季包裝旺季過後食品罐銷售將出現季節性下降，金屬氣霧劑銷售量預計第四季將保持疲軟。我們預計，由於資本投資，第四季金屬生產力將繼續保持正成長。

Turning to the Industrial segment. As we expected for the second half of 2023, global demand for our paper and converted products remains soft. In the fourth quarter, global industrial volumes will be slightly lower versus last year. We have seen some slight demand improvement in our North American paper and converted products business with Europe and Asia remaining quite weak.

轉向工業領域。正如我們對 2023 年下半年的預期，全球對我們的紙張和加工產品的需求仍然疲軟。第四季度，全球工業產量將略低於去年。我們看到北美紙張和加工產品業務的需求略有改善，而歐洲和亞洲仍然相當疲軟。

Also in the fourth quarter, price/cost benefits will be lower in industrial due to index-based pricing and cost inputs. With the lower volumes in Industrial, productivity improvements remain challenging, but we will continue to aggressively manage variable expenses as a countermeasure to minimize the impacts from volume deleveraging. And finally, in all other businesses, we expect slightly lower volumes from seasonality.

同樣在第四季度，由於基於指數的定價和成本投入，工業領域的價格/成本效益將較低。由於工業產量下降，生產力提高仍然具有挑戰性，但我們將繼續積極管理可變費用，作為對策，最大限度地減少產量去槓桿化的影響。最後，在所有其他業務中，我們預計季節性因素會導致銷售略有下降。

So in conclusion for the fourth quarter, the team is focused on cost control, footprint optimization in all forms of productivity will be critical until we see a sustained improvement in customer demand. And with that, back to you, Howard.

因此，總而言之，在第四季度，團隊專注於成本控制，在我們看到客戶需求持續改善之前，各種形式的生產力的佔地面積優化將至關重要。說到這裡，回到你身上，霍華德。

All Right. Thanks, Rodger. In closing, I just want to state that despite all the external demand uncertainty this year, our team is performing extremely well. And we have continued to solidify the foundation of Sonoco and make progress on our strategic initiatives.

好的。謝謝，羅傑。最後，我只想說，儘管今年外部需求存在不確定性，但我們團隊的表現非常出色。我們繼續鞏固 Sonoco 的基礎，並在我們的策略舉措上取得進展。

Speaking further on behalf of Sonoco's management team, I would like to recognize the dedication and hard work demonstrated through the quarter and year at this point, and thank all of you for the work you've done. While transformation is well underway, there is still more to be done, and I know our teams are up to the challenge.

我代表 Sonoco 管理團隊進一步發言，對本季和本年度所表現出的奉獻精神和辛勤工作表示認可，並感謝大家所做的工作。雖然轉型正在順利進行，但仍有更多工作要做，我知道我們的團隊能夠應對挑戰。

And just to further touch on these strategic initiatives, which I've been covering through the year, I'll remind you that we're only midway through reshaping our portfolio, and we look forward to completing our noncore divestitures when we can maximize value in the marketplace.

為了進一步討論我這一年來一直在討論的這些戰略舉措，我要提醒大家，我們的投資組合重組才剛剛進行到一半，我們期待著在能夠實現價值最大化時完成非核心資產剝離在市場上。

On the operating model side, Sonoco is becoming a more focused, agile and operationally efficient company. The continued optimization of our mix and factory footprint, combined with driving productivity and value-added capital projects will sustain and drive margin expansion in the future.

在營運模式方面，Sonoco 正在成為一家更專注、敏捷和營運高效的公司。我們的產品組合和工廠佈局的持續優化，加上提高生產力和增值資本項目，將維持並推動未來利潤率的擴張。

Our balance sheet remains strong, and we continue to generate cash and allocate capital in a disciplined and efficient management. And lastly, our commitment to ESG and sustainability initiatives are unwavering and remain wholly aligned to the core values of the company. There are a lot of great things going on in Sonoco and the team, and I generally look forward providing more in-depth updates on our progress during our planned Sonoco Investor Day, which is scheduled for February 22 of next year at 75 Rockefella Plaza in New York City. We will be sharing key updates on our segments, our markets and our fantastic technology innovations, and we look forward to seeing you there.

我們的資產負債表依然強勁，我們繼續以嚴格、有效率的管理方式創造現金和分配資本。最後，我們對 ESG 和永續發展計畫的承諾堅定不移，並與公司的核心價值完全一致。 Sonoco 和團隊正在發生很多偉大的事情，我總體上期待在計劃中的 Sonoco 投資者日期間提供有關我們進展的更深入的更新，該日定於明年 2 月 22 日在 75 Rockefella Plaza 舉行紐約市。我們將分享我們的細分市場、市場和出色的技術創新的關鍵更新，我們期待在那裡見到您。

At this time, operator, we would be happy to answer any questions that folks may have.

目前，運營商，我們很樂意回答人們可能提出的任何問題。

(Operator Instructions) Our first question will be coming from George Staphos of Bank of America.

（操作員指令）我們的第一個問題將來自美國銀行的喬治·斯塔福斯（George Staphos）。

I guess the first question I had, Howard and team, third quarter, you performed better than your guidance. Congratulations on that. It sounded like a lot of that was productivity. So I guess my question would be, what was -- if that's the correct premise, what was the driver of the outperformance? And as we overlay that into the fourth quarter, might we not see that continue? And yet we're looking at a steeper drop in fourth quarter earnings year-on-year.

我想我的第一個問題是，霍華德和他的團隊，第三節，你們的表現比你們的指導好。對此表示祝賀。聽起來有很大一部分是生產力。所以我想我的問題是，如果這是正確的前提，那麼表現優異的驅動因素是什麼？當我們將其疊加到第四季度時，我們是否會看到這種情況繼續下去？然而，我們預計第四季獲利將年減幅度更大。

And the related question to that would be, is that largely because of price/cost becoming a bit more negative for the reason that you mentioned? And if you had color on that, that would be great. I had one follow-on after that.

與此相關的問題是，這主要是因為價格/成本因您提到的原因而變得更加負面嗎？如果你能在上面加上顏色，那就太好了。在那之後我有了一個後續。

Sure, George. Yes, the third quarter volumes were about where we expected them to be a little bit softer, but you're right, productivity actually covered that. So that's the real driver as well as how we manage general cost containment, et cetera. As we look into the fourth quarter, we're seeing seasonal-type declines ahead of us. I expect that productivity still should be pretty solid.

當然，喬治。是的，第三季的銷量與我們預期的有所不同，但你是對的，生產力實際上涵蓋了這一點。所以這是真正的驅動因素，也是我們如何管理一般成本控制等。當我們展望第四季時，我們看到季節性下降。我預計生產力仍然相當穩定。

The real question mark is all around what the volumes are going to be. And as we hit into that December time frame, that's the real watchout for us. So we see people taking extended downtime around the holidays, et cetera.

真正的問號在於銷量是多少。當我們進入 12 月的時間框架時，這才是我們真正需要警惕的。因此，我們看到人們在假期期間會延長休息時間，等等。

So being cautious in that regard. But that's the main drivers of what we're looking at for the remainder of the year. Do you guys have any other?

所以在這方面要謹慎。但這是我們今年剩餘時間所關注的主要驅動因素。你們還有其他的嗎？

Yes, George. That's a good question. I think that Howard hit it right. If you think about next quarter, what we're thinking as volume will be a little bit weaker just generally because of the seasonality, and we always have been cautious about projecting December in the last couple of years. But the productivity performance has been really strong, and it is due to some of the strategic investments we've been making.

是的，喬治。這是個好問題。我認為霍華德說得對。如果你考慮下個季度，我們認為成交量通常會因為季節性因素而稍微減弱，而且在過去幾年中，我們對 12 月的預測始終持謹慎態度。但生產力表現確實非常強勁，這要歸功於我們一直在進行的一些策略性投資。

So we're hitting really on all 3 cylinders of our procurement, manufacturing and really getting after fixed cost. And that's what all the activity the team has been doing. So if you think about year-over-year in the fourth quarter, we're expecting to have pretty similar year-over-year performance and productivity of between $0.20 and $0.25 of improvement. And so we feel really good about how all that's starting to flow through the P&L.

因此，我們真正致力於採購、製造和真正追求固定成本的所有三個氣缸。這就是團隊一直在做的所有活動。因此，如果您考慮第四季度的同比情況，我們預計同比業績和生產力將提高 0.20 美元至 0.25 美元。因此，我們對所有這些開始在損益表中流動的情況感到非常滿意。

I guess one related question and then a quick one on metals. So you mentioned that legacy flexible was weak or -- meaning your legacy customers in flexible where. You picked up some new business that helped offset. Rigid paper was down in North America. It's sort of the same novel we've been all reading in terms of all the companies.

我猜想一個相關的問題，然後是一個關於金屬的快速問題。所以你提到傳統的彈性很弱，或者說你的傳統客戶在彈性的地方。您獲得了一些有助於抵消的新業務。北美硬紙價格下跌。就所有公司而言，這有點像是我們一直在閱讀的同一本小說。

But what are your customers in those key consumer markets were you saying about whether we're done with destocking, where the consumer demand is looking sequentially better as we get into '24? And then last question, metal, where is that performing versus your deal model at this juncture given all the volume degradation we've seen?

但是，您所說的那些主要消費市場的客戶是什麼？我們是否已經完成了去庫存工作，隨著進入 24 世紀，消費者需求看起來會逐漸好轉？最後一個問題，金屬，考慮到我們所看到的交易量下降，此時此刻與您的交易模型相比，其表現如何？

Yes. What our customers are saying right now, George, and what we're seeing is and you can see it as well that we're starting to see more promotional activity on the shelves, more discounting. And the part of what we've been dealing with, and I think the sector, in general, is the price inflation through the course of the year and trying to maintain that. And so we're starting to see breaks in that. Don't expect that that's going to be a material impact in the first quarter.

是的。喬治，我們的顧客現在所說的是，我們所看到的是，你也可以看到，我們開始在貨架上看到更多的促銷活動，更多的折扣。我們一直在處理的問題，我認為該行業總體上是全年的價格通膨，並試圖維持這種情況。所以我們開始看到這方面的突破。不要指望這會對第一季產生重大影響。

We're still early to kind of looking at what does next year going to look like. But certainly, we're seeing -- I'm in conversations with customers, and you're seeing it on the shelf as it relates to exchanging price for volume at our customer level.

我們也為時過早地了解明年會是什麼樣子。但當然，我們看到——我正在與客戶交談，你會看到它在貨架上，因為它與我們客戶層面的價格換取數量有關。

As it relates to the deal model on metal, we're right where we said or we thought we would be, particularly if you look at the ebbs and flows of year 1 and as we encroach the end of year 2. We had just a phenomenal year last year, and it's really relative to the the well-publicized inventory variances that we had year-over-year positive versus negative. You take them and you average amount, and we're right on top of exactly where we thought we would be. So we feel very good about that.

由於它與金屬交易模型相關，我們所說的或我們認為我們會做的事情是正確的，特別是如果你看看第一年的潮起潮落以及我們接近第二年年底的情況。去年是現象級的一年，這確實與我們廣為人知的庫存差異有關，我們的同比正負差異。你拿了它們，你平均數量，我們就達到了我們預期的水平。所以我們對此感覺非常好。

But even more importantly, as we continue, the integration has gone fantastically. The synergies that we identified are there and being obtained. And frankly, really pleased with the incremental synergies that we didn't anticipate that we have ahead of us. And I've said this before, the market reaction has been very, very positive. And frankly, this is a marathon, not a sprint.

但更重要的是，隨著我們的持續，整合進展得非常順利。我們確定的協同效應已經存在並且正在獲得。坦白說，我們對我們沒有預料到的增量協同效應感到非常滿意。我之前已經說過，市場反應非常非常正面。坦白說，這是一場馬拉松，而不是短跑。

But really pleased on how it's been integrated, really pleased with the overall financial performance and looking forward to continuing with the synergies and other opportunities that we see over the coming period.

但我們對它的整合方式非常滿意，對整體財務表現非常滿意，並期待在未來一段時間內繼續發揮協同作用和我們看到的其他機會。

And our next question will be coming from Anthony Pettinari of Citi.

我們的下一個問題將來自花旗銀行的安東尼·佩蒂納裡。

Just following up on George's question. In Consumer, you obviously sell into a lot of different end markets and customers. I'm just wondering, are there specific markets where destocking maybe is a bit closer to an end or others where maybe you're seeing new rounds of destocking or pullback that's surprising you? And I'm sorry if I missed this, but is it possible to quantify what you're expecting for 4Q in Consumer on a year-over-year basis?

只是跟進喬治的問題。在消費者領域，您顯然要向許多不同的終端市場和客戶銷售產品。我只是想知道，是否有特定市場的去庫存可能已經接近尾聲，或者在其他市場，您可能會看到新一輪的去庫存或回調，這讓您感到驚訝？如果我錯過了這一點，我很抱歉，但是是否有可能量化您對消費者第四季度同比的預期？

Anthony, it's Rodger. Yes, Consumer fourth quarter, we're looking at flat on a year-over-year basis with some improvement in the metals and the can side of the business, both metal and paper, and some continued volume struggles in flexible, but flat year-over-year. And you really have to look at it almost SKU by SKU. But in the flexibles area, confection and snacks have been very weak. I wouldn't call that destocking. I think that's more of a price on the shelf issue.

安東尼，是羅傑。是的，消費者第四季度的情況與去年同期持平，金屬和罐頭業務（包括金屬和紙張）有所改善，並且在靈活但持平的一年中銷量持續掙扎-同比。而且你真的必須逐個 SKU 地查看它。但在軟食品領域，糖果和零食一直非常疲軟。我不會稱之為去庫存。我認為這更多的是貨架上的價格問題。

And then if you think about where the inventory and the destocking is really more on our metal side of our business where you have a longer shelf life, on products. And as Howard said, we're seeing that start to ease and come to a -- not come to an end, but ease up. So again, in the fourth quarter, we see slightly better metal volumes than the fourth quarter of the last year.

然後，如果您考慮庫存和去庫存實際上更多地集中在我們業務的金屬方面，即產品的保質期更長。正如霍華德所說，我們看到這種情況開始緩解並達到——不是結束，而是緩解。因此，我們再次看到第四季的金屬成交量略好於去年第四季。

Okay. That's very helpful. And then in Industrial, you talked about maybe some improvement in the U.S. I don't know if that's just purely a function of easier comps or there's maybe some organic growth there. And I'm just wondering if you can comment on that. And then in Asia and Europe, understanding you don't have great visibility and there's a lot of macro uncertainty, do you have any sense whether those markets are getting worse or sort of stable or getting better or any other comments you can give there?

好的。這非常有幫助。然後在工業方面，您談到美國可能會有所改善。我不知道這是否純粹是更容易比較的結果，或者那裡可能存在一些有機增長。我只是想知道你是否可以對此發表評論。然後在亞洲和歐洲，你知道你沒有很好的能見度，並且存在著許多宏觀不確定性，你是否知道這些市場是否正在變得更糟、穩定或變得更好，或者你可以在那裡發表任何其他評論嗎？

Yes, Rodger, again. Yes, North America, I said slight improvements, and I think that's what we've seen. We've certainly seen we feel like the bottom in North America from a volume standpoint in industrials. If you look at our URB system, we operated at about 85% capacity in the third quarter, which was 5% better than the marketplace.

是的，羅傑，又來了。是的，北美，我說的是輕微的改進，我認為這就是我們所看到的。我們確實看到，從工業總量的角度來看，我們感覺北美已經觸底。如果你看一下我們的 URB 系統，我們在第三季的營運能力約為 85%，比市場好 5%。

So we felt good about that. That's coming from our integrated system as well as some really good, strong, long-term customer relationships. So North America, a little sign of improvement. I wouldn't call it a trend yet, but we'll see how it goes in the fourth quarter and move into the first quarter.

所以我們對此感覺很好。這來自我們的整合系統以及一些真正良好、強大、長期的客戶關係。北美出現了一點改善的跡象。我還不會稱其為趨勢，但我們將看看第四季和第一季的情況如何。

Europe and Asia remain weak. It's not getting worse, which is nice, but they remain weak. The URB systems ran in that 75% to 80% capacity area, but we expect the same for the fourth quarter. And if you look at year-over-year Industrial volumes for the fourth quarter, we're calling it down about 1.5% to 2%, and that's versus down 7.5% in the third quarter year-over-year. So incrementally, we're seeing a little improvement, plus, of course, the comps are getting easier as we move quarter-to-quarter, and that will continue into the first half of next year.

歐洲和亞洲依然疲軟。情況並沒有變得更糟，這很好，但他們仍然很弱。 URB 系統在 75% 至 80% 的容量區域運行，但我們預計第四季度也是如此。如果你看一下第四季的同比工業量，我們認為它下降了約 1.5% 到 2%，而第三季則是年減了 7.5%。因此，逐步地，我們看到了一些改進，而且，當然，隨著我們每個季度的變化，比較變得越來越容易，這種情況將持續到明年上半年。

Yes. And Anthony, I'd just add to that. As we talk about the volume side, and we feel like we've been in manufacturing depression or recessions really since December or so of last year. Our volumes, as you have seen through the course of that period of time on Industrial, have been challenged to say the least. But I can't tell you how impressed I have been with the team performance. We talk about productivity.

是的。安東尼，我想補充一點。當我們談論數量方面時，我們感覺自去年 12 月左右以來，我們確實一直處於製造業蕭條或衰退之中。正如您在工業領域那段時期所看到的那樣，我們的捲至少可以說受到了挑戰。但我無法告訴你球隊的表現給我留下了多麼深刻的印象。我們談論生產力。

We talk about the investments that we've made. I guess you guys are probably glad we're not talking about Project Horizon every moment that you see us or hear from us, but that's just a poster child of not being in the corrugated medium market up right now, vertically integrated and how does that flatten out and then will, frankly, improve, particularly in times like this our overall Industrial margin profile.

我們談論我們所做的投資。我想你們可能會很高興我們沒有在你們看到我們或聽到我們的消息時每時每刻都在談論地平線項目，但這只是目前瓦楞紙介質市場中沒有垂直整合的一個典型例子。坦白說，然後會趨於平緩，然後會有所改善，特別是在像這樣的時期，我們的整體工業利潤率狀況。

So we're seeing some degradation, very high levels last year from a price/cost perspective even with difficult volumes. You've seen Tan Bending Chip has dropped by $20 a ton, but we are extremely confident that we're going to maintain those double-digit type margins even in difficult times.

因此，我們看到了去年的一些下降，從價格/成本的角度來看，水平非常高，即使銷售困難。您已經看到棕褐色彎曲片每噸下降了 20 美元，但我們非常有信心即使在困難時期也能保持兩位數的利潤率。

And what excites me about where we stand today is there will be a recovery. We're not losing share. The market is not shifting in any way and there will be a recovery. And when that happens, the leveraging effect we are not enjoying right now in our productivity will come into play.

我們今天的處境讓我感到興奮的是，經濟將會復甦。我們並沒有失去份額。市場不會發生任何變化，將會復甦。當這種情況發生時，我們目前在生產力方面尚未享受到的槓桿效應將會發揮作用。

And looking forward to getting out of the situation that we're in, hopefully, that will be -- and for us, as far for anybody that has a crystal ball that maybe next year, we start seeing some type of improvements on the Industrial side, and with that will come added leverage as it relates to the investments and the productivity that we have.

期待著擺脫我們現在所處的局面，希望這將會是——對於我們來說，對於任何有水晶球的人來說，也許明年，我們開始看到工業領域的某種類型的改進一方面，隨之而來的是額外的槓桿作用，因為它與我們擁有的投資和生產力有關。

Our next question will be coming from Mark Weintraub of Seaport Research Partners.

我們的下一個問題將來自 Seaport Research Partners 的 Mark Weintraub。

First question was, the RTS transaction getting completed. Obviously, the world's changed a little bit. OCC higher, URB a bit lower. Can you update us kind of on what type of accretion or EBITDA contribution in the current environment is it reasonable to be anticipating?

第一個問題是，RTS 交易已完成。顯然，世界發生了一些變化。 OCC 較高，URB 較低。您能否向我們介紹一下當前環境下何種類型的增值或 EBITDA 貢獻的預期是合理的？

Yes, Mark, that's a good question. Really no change. I mean we've been really pleased with how those assets have come over to our portfolio. When we talked about it last year, we said it was $50 million of EBITDA with about $16 million of targeted synergies, but $10 million of those were kind of day 1 and what we're seeing is that those synergies are coming through day 1. So the business is performing well. I would say the TSA load is probably a little bit more than you probably were anticipating.

是的，馬克，這是個好問題。確實沒有什麼變化。我的意思是，我們對這些資產進入我們的投資組合感到非常滿意。當我們去年談論這個問題時，我們說這是5000 萬美元的EBITDA，大約有1600 萬美元的目標協同效應，但其中1000 萬美元是第一天的成果，我們看到的是這些協同效應正在第一天實現。所以業務表現良好。我想說的是，TSA 的負載可能比您預期的要多一些。

We think that this is -- that it's give or take $0.05, plus or minus a couple of cents, per quarter next year. And so we feel really good about how that's coming through and how the business is operating. And as Howard said, I think that that is additive to the system in this low volume environment because the mill is relatively covered, but it gives us more tons to spread across the system. So we feel really good about that.

我們認為，明年每季將增加或減少 0.05 美元，加上或減去幾美分。因此，我們對這項進展以及業務的運作方式感到非常滿意。正如霍華德所說，我認為在這種低產量環境中，這對系統是有好處的，因為工廠相對被覆蓋，但它讓我們有更多的噸位可以分佈在整個系統中。所以我們對此感覺非常好。

Okay. Great. And that includes Chattanooga when you're talking in this conversation?

好的。偉大的。當您在這次談話中講話時，這包括查塔努加嗎？

Yes, that's a good question. I was talking about both. I mean we think about it all as one kind of integrated transaction.

是的，這是一個好問題。我正在談論兩者。我的意思是，我們將這一切視為一種綜合交易。

Got it. Makes sense. And then second, maybe what are some of the other actions that you're taking that can move the dial that are outside of business getting better that are going to be flowing through next year that you'd want to highlight as we think about bridging out '24 versus '23?

知道了。說得通。其次，也許您正在採取哪些其他行動可以使業務之外的業務變得更好，這些行動將在明年進行，當我們考慮橋接時，您需要強調這些行動'24 與 '23？

Mark, yes. We continue on our journey as it relates to, as you know, 3 years ago, 3.5 years ago, we really started kicking up our capital related to the growth in productivity. And with pre-COVID, a normal capital cycle can run 1.5 to 2 years. COVID has extended that. So we're -- the expectation is we're going to see incremental improvement from those investments going in next year.

馬克，是的。我們繼續我們的旅程，如你所知，3年前，3.5年前，我們真正開始增加與生產力成長相關的資本。在新冠疫情之前，正常的資本週期可能會持續 1.5 到 2 年。新冠疫情擴大了這個範圍。因此，我們的預期是，我們將看到明年這些投資的逐步改善。

And we've talked a lot about the restructuring, how we manage our businesses from the center and what is the portfolio going to look like going forward. So we've been busy over the last 18 months or so. The term around there is clearing the underbrush, but doing small divestitures, closing facilities that are dilutive to to the overall company and nonstrategic. That's going to continue.

我們已經討論了很多關於重組、我們如何從中心管理我們的業務以及未來的投資組合會是什麼樣子的問題。所以我們在過去 18 個月左右的時間裡一直很忙。那裡的術語是清理灌木叢，但進行小規模資產剝離，關閉對整個公司有稀釋作用且非戰略性的設施。這種情況將會持續下去。

And when we're together in February, we plan to try to -- we will present to you guys, it's not mission accomplished, it's where we stand at this point in time. And I think you'll be pretty impressed with some of the restructuring activities that we'll announce at that point in time and how we're going to be managing the company going forward.

當我們二月聚在一起時，我們計劃嘗試--我們將向你們展示，這不是任務完成，而是我們目前所處的位置。我認為您會對我們屆時宣布的一些重組活動以及我們未來將如何管理公司印象深刻。

From a modeling perspective, sorry, I can't help you with how that all equates economically quarter-by-quarter or through the year. But hopefully, more information will be coming as we get together in February.

從建模的角度來看，抱歉，我無法幫助您了解這一切在經濟上如何等同於季度或全年。但希望當我們在二月聚會時，會提供更多資訊。

Okay. Fair enough. And just lastly, recognizing it's a dynamic environment, but given where tin plate is, et cetera, did you have a perspective on whether there's likely to be additional inventory impacts that flow through metal benefits or negative impacts next year? Or any help there? I mean it would seem like that could be another negative, but...

好的。很公平。最後，認識到這是一個動態環境，但考慮到鍍錫板的位置等，您是否對明年是否可能會透過金屬效益或負面影響產生額外的庫存影響有看法？或那裡有什麼幫助嗎？我的意思是，這似乎可能是另一個負面因素，但是...

Yes. Well, it's early. And everybody is aware of what's going on from a supply side perspective there, tariffs, acquisition discussions, et cetera. A lot of noise, which is causing delays in terms of our negotiations. So it's really not there yet to talk about what we think from a direct inflationary impact. What I would say is from -- a inflation or deflation impact.

是的。還好還早。每個人都知道從供應方的角度來看正在發生什麼，關稅、收購討論等等。很多噪音導致我們的談判延誤。因此，現在還沒有真正討論我們對直接通膨影響的看法。我想說的是通貨膨脹或通貨緊縮的影響。

What I would say is that the -- our customer profile from an inventory perspective is much more favorable. Major customers are saying in one case -- so I was with a customer a couple of weeks ago who has halved their inventory to our detriment in the first half of the year as they brought it down and they're coming in. So we're seeing that across the board that the inventories are starting to normalize. So whatever happens on steel pricing up or down, the relative impact should be less favorable or negative as inventories at our customer locations have decreased.

我想說的是，從庫存角度來看，我們的客戶概況要有利得多。主要客戶在一個案例中說 - 所以幾週前我和一位客戶在一起，他在今年上半年將庫存減半，這對我們不利，因為他們把庫存減少了，然後又進來了。所以我們'我們看到庫存開始全面正常化。因此，無論鋼材價格上漲或下跌，隨著我們客戶所在地的庫存減少，相對影響應該是不利或不利的。

(Operator Instructions) And our next question will come from Gabe Hajde of Wells Fargo Securities.

（操作員指示）我們的下一個問題將來自富國銀行證券的 Gabe Hajde。

This is Alex on for Gabe. I appreciate all the promise you guys made on Q4. But maybe just if I were to kind of think about 2024, can you kind of comment on how you're thinking about the working capital and your inventory?

這是亞歷克斯（Alex）替補加布（Gabe）。我感謝你們在第四季所做的所有承諾。但如果我想一下 2024 年，您能否評論一下您如何看待營運資金和庫存？

Alex, for Q4?

亞歷克斯，第四季？

For Q4 and 2024, if you can comment on that.

對於第四季度和 2024 年，請您對此發表評論。

Next year's inventory.

明年的庫存。

Yes. So for Q4, how we're thinking about it and what we thought is -- and I think Howard kind of hit the point on metal is that we have taken out and made a real concerted effort to take inventory out of the business. And so at this point, the inventory is a little over $250 million less than what it was. We expect that will be stable through the end of the year. A big part of that reduction was in metal.

是的。因此，對於第四季度，我們如何考慮它以及我們的想法是什麼 - 我認為霍華德在金屬方面擊中了要點，那就是我們已經採取了真正的協調一致的努力來消除業務中的庫存。因此，此時庫存比原來少了 2.5 億美元多一點。我們預計到今年年底這一情況將保持穩定。其中很大一部分減少是金屬的減少。

For the other working capital categories, you see from last year Q3 to Q4, we released $100 million of AR. That's something that, while we don't expect it to be that magnitude every year, that's just part of the normal cycle for us. And so we expect to release another $100 million of of AR in Q4, which will put us about taking out about $148 million of working capital, give or take.

對於其他營運資金類別，從去年第三季到第四季度，我們釋放了 1 億美元的 AR。儘管我們預計每年的情況不會如此嚴重，但這只是我們正常週期的一部分。因此，我們預計在第四季再發行 1 億美元的 AR，這將使我們能夠拿出約 1.48 億美元的營運資金，無論給予或接受。

For next year, it's really early days. We are really managing inventory really aggressively and have been, and we're managing AR and AP really aggressively as well. We feel like we're at the right level of of days at this point and don't feel like we need to be too aggressive in pulling inventories down any further in the businesses, especially as some businesses are expecting growth next year. So I think the days, the metrics for working capital will stay constant next year, and would be the guidance we would give on working capital in 2024.

對於明年來說，現在還為時過早。我們確實非常積極地管理庫存，並且一直如此，我們也非常積極地管理 AR 和 AP。我們認為目前的天數水準合適，並且不需要過於積極地進一步降低企業的庫存，特別是因為一些企業預計明年會出現成長。因此，我認為明年的營運資本指標將保持不變，並將成為我們在 2024 年給予的營運資本指引。

Okay. Can you just remind me again or remind us again what portion of COGS is labor?

好的。您能否再次提醒我或再次提醒我們，銷貨成本中哪些部分是人工？

Portion of the COGS? Can you say that again, Gabe? You're breaking up just a little bit.

銷貨成本的一部分？加布，你能再說一次嗎？你們分手只是一點點。

Sorry. Can you just remind us again what portion of COGS labor? And I guess, how should we kind of think about the mid-single-digit labor inflation next year? Do you have anything in your contracts to kind of pass this through to your customers through price increases.

對不起。您能否再次提醒我們銷貨成本勞動力的比例是多少？我想，我們該如何看待明年中等個位數的勞動通膨？您的合約中是否有任何內容可以透過漲價將其傳遞給您的客戶。

We do have the opportunity to pass on labor, but we're having to carry it until those until the timing of price adjustment coming into place, typically quarterly. But certainly, labor inflation is continuing to roll over through this year and then early next year. So it will be a timing issue with the customers.

我們確實有機會轉移勞動力，但我們必須將其保留到價格調整時間（通常是季度調整）到位為止。但可以肯定的是，勞動力通膨將在今年和明年初繼續延續。因此，這將是客戶的時間問題。

Okay. And sorry, lastly, just what portion of COGS is labor?

好的。抱歉，最後，勞務佔銷貨成本的比例是多少？

It varies by business. I mean, I'd say that in some businesses, it's in the 10% to 20% range most of the COGS is really material. And there's a component of that, that certainly fits. But it's definitely less than 25% in every business and in some businesses, it's really in the single digits.

因業務而異。我的意思是，我想說，在某些企業中，大部分 COGS 在 10% 到 20% 範圍內確實很重要。其中有一個組成部分，當然是適當的。但在每個企業中，這一比例肯定低於 25%，而且在某些企業中，這一比例實際上只有個位數。

Okay. And I would now like to turn the conference back to Lisa Weeks for closing remarks.

好的。現在，我想請麗莎·威克斯（Lisa Weeks）主持會議閉幕詞。

Thank you for joining us today. If you have any follow-ups, we'll be around after the call to answer your questions or please feel free to contact me to schedule a follow-up. We look forward to seeing you on the road at our planned conferences and events in the coming weeks, and we will look forward to reporting our fourth quarter and full year results on February 15, 2024. 1 week later, we will be having our Investor and Analyst Day on February 22, 2024 in New York, as Howard referenced.

感謝您今天加入我們。如果您有任何後續行動，我們將在通話後回答您的問題，或請隨時與我聯繫以安排後續行動。我們期待在未來幾週內參加我們計劃舉行的會議和活動，並期待於 2024 年 2 月 15 日報告我們的第四季度和全年業績。1 週後，我們將迎來我們的投資者正如霍華德提到的，2024 年2 月22 日在紐約舉行的分析師日。

This will be an in-person event, and a webcast will also be available. Registration details for the in-person event as well as the webcast will be available on our website soon. And with that, we'll close the call, and hope you all have a great day.

這將是一場面對面的活動，也將提供網路直播。現場活動和網路直播的註冊詳細資訊將很快在我們的網站上提供。至此，我們就結束通話了，祝福大家有個愉快的一天。

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

今天的電話會議到此結束。感謝您的參與。您現在可以斷開連線。