Simpson Manufacturing Co., Inc. (SSD) 2026 Q3 法說會逐字稿

Greetings and welcome to the Simpson Manufacturing Company third-quarter 2026 earnings conference call. (Operator Instructions) As a reminder, this conference is being recorded.

各位好，歡迎參加辛普森製造公司（Simpson Manufacturing Company）2026 年第三季財報電話會議。(接線員指示) 提醒各位，本次會議將被錄音。

It is now my pleasure to introduce Kim Orlando with Investor Relations, please go ahead.

現在我很榮幸介紹投資人關係部的 Kim Orlando，請開始。

Good afternoon, ladies and gentlemen, and welcome to Simpson Manufacturing Company's third quarter 2026 earnings conference call. Any statements made on this call that are not statements of historical fact are forward-looking statements. Such statements are based on certain estimates and expectations and are subject to a number of risks and uncertainties.

各位女士、先生，下午好，歡迎參加辛普森製造公司 2026 年第三季財報電話會議。本次電話會議中所作、非屬歷史事實陳述的任何聲明，均為前瞻性聲明。此類聲明係基於若干估計與預期，並受多項風險與不確定性影響。

Actual future results may vary materially from those expressed or implied by the forward-looking statements. We encourage you to read the risks described in the company's public filings and reports, which are available on the SEC's or the company's corporate website.

實際未來結果可能與前瞻性聲明所明示或暗示者存在重大差異。我們鼓勵各位閱讀公司公開申報文件與報告中所述之風險，相關資料可於美國證券交易委員會（SEC）或公司企業網站取得。

Except to the extent required by applicable securities laws, we undertake no obligation to update or publicly revise any of the forward-looking statements that we make here today, whether as a result of new information, future events, or otherwise.

除非適用證券法另有要求，對於我們今日在此所作之任何前瞻性聲明，無論係因新資訊、未來事件或其他原因所致，我們均不承擔更新或公開修訂之義務。

On this call, we will also refer to non-GAAP measures such as adjusted EBITDA, which is reconciled to the most comparable GAAP measure of net income in the company's earnings press release. Please note that the earnings press release was issued today at approximately 4:15 PM Eastern Time. The earnings press release is available on the Investor Relations page of the company's website at ir.simpsonmfg.com. Today's call is being webcast and a replay will also be available on the Investor Relations page of the company's website.

在本次電話會議中，我們亦將提及非 GAAP 指標，例如調整後 EBITDA；該指標已於公司財報新聞稿中與最可比的 GAAP 指標（淨利）進行調節。請注意，財報新聞稿已於今日美東時間約下午 4:15 發布。財報新聞稿可於公司網站投資人關係頁面 ir.simpsonmfg.com 取得。今日電話會議將以網路直播方式進行，並將於公司網站投資人關係頁面提供重播。

Now, I would like to turn the conference over to Michael Olosky, Simpson's President and Chief Executive Officer.

現在，我想將會議交給辛普森總裁兼執行長 Michael Olosky。

Thanks, Kim. Good afternoon, everyone, and welcome to today's call. With me is Matt Dunn, our Chief Financial Officer. Our performance this quarter reflects the resilience of our business and the progress we continue to make despite a challenging market environment.

謝謝你，Kim。各位下午好，歡迎參加今天的電話會議。與我一同出席的是我們的財務長 Matt Dunn。本季的表現反映了我們業務的韌性，以及在充滿挑戰的市場環境下我們持續取得的進展。

We remain focused on what we can control, strengthening our customer relationships, bringing new innovations to market, investing in our people and culture and executing with discipline. One of the many things that makes Simpson special is the commitment of our people, many of whom have dedicated decades of their career to our company and our customers.

我們仍專注於可控事項：強化客戶關係、將新創新推向市場、投資於人才與文化，並以紀律執行。辛普森之所以特別的眾多原因之一，是我們員工的投入承諾；其中許多人已將職涯數十年奉獻給公司與客戶。

Their experience, relationships and commitment to our culture have played an important role in our success. As we continue recognizing these long-tenured employees throughout the year, I'd like to take a moment today to highlight a few of them.

他們的經驗、人脈關係以及對公司文化的承諾，對我們的成功扮演了重要角色。在我們全年持續表揚這些長期任職員工之際，我想在今天花點時間特別提到其中幾位。

First is Mike Woodall, who has been with Simpson for 35 years supporting our Southeast operations and was recently promoted to our multifamily project operations manager. Mike has built an incredibly diverse career at Simpson with experience on the production floor, in retail sales and technical support, and most recently supporting our multifamily business in estimating and project management. His journey is a great example of the opportunities to grow over a long career at Simpson.

首先是 Mike Woodall，他在辛普森服務 35 年，支援我們的美國東南部營運，並於近期晉升為我們的多戶住宅專案營運經理。Mike 在辛普森建立了極為多元的職涯，曾在生產線、零售銷售與技術支援等領域累積經驗，最近則在估算與專案管理方面支援我們的多戶住宅業務。他的歷程是辛普森長期職涯中成長機會的絕佳例證。

And Simpson is truly a family connection for Mike, with his father, Pat Whittall, also spending more than 30 years with the company making lasting contributions to our quality and operations team.

對 Mike 而言，辛普森確實也有家族連結；他的父親 Pat Whittall 也在公司服務超過 30 年，對我們的品質與營運團隊做出長久貢獻。

I'd also like to recognize Bob Boucher, a product engineer celebrating 37 years with Simpson. Bob began his career in quality control at our San Leandro facility and has worked in engineering, product design, and customer support throughout his career. Early on, Bob managed a spreadsheet of hanger load values that ultimately evolved into our hanger selector software, which he continues to manage today. It's a great example of the deep product expertise and commitment to customers that Bob has demonstrated throughout his nearly four decades at Simpson.

我也想表揚產品工程師 Bob Boucher，他正在慶祝在辛普森服務滿 37 年。Bob 的職涯起步於我們聖利安卓（San Leandro）廠的品質管制，並在其職涯中歷任工程、產品設計與客戶支援等工作。早期 Bob 管理一份吊件承載值的試算表，最終演進為我們的吊件選型軟體，而他至今仍持續管理該系統。這是 Bob 在辛普森近四十年期間所展現的深厚產品專業與對客戶承諾的絕佳例子。

Finally, I'd like to recognize Cheryl Paylor, a material handler in our automatics department at our Stockton, California facility, celebrating 39 years with Simpson. Cheryl began her career when our Northwest operations were still located in San Leandro and has been part of the Simpson team for nearly four decades. In fact, Cheryl appears in a company video with our founder, Bart Simpson, as he walks the factory floor and talks about one of our company values, everybody matters.

最後，我想表揚 Cheryl Paylor，她是我們加州史塔克頓（Stockton）廠自動化部門的物料搬運員，正在慶祝在辛普森服務滿 39 年。Cheryl 在我們西北營運仍位於聖利安卓時便開始其職涯，並已成為辛普森團隊的一員近四十年。事實上，Cheryl 曾出現在一支公司影片中，與我們的創辦人 Bart Simpson 同框；影片中他走訪工廠產線並談到我們的一項公司價值觀：每個人都很重要（everybody matters）。

It's a small but fitting connection to the values and culture that continue to define Simpson today. As we celebrate our 70th year, stories like these are a reminder that our culture is ultimately built and carried forward by our people, and we're grateful for everything that continues to contribute to Simpson.

這是一個小巧但貼切的連結，呼應了至今仍定義辛普森的價值觀與文化。在我們慶祝成立 70 週年之際，這些故事提醒我們：公司的文化最終是由員工建立並傳承下去；我們也感謝每一位持續為辛普森做出貢獻的人。

Now turning to our financial results. Net sales of $638.1 million were up 2.3% from the prior year quarter. As outlined in our investor presentation, net sales growth was primarily driven by pricing, which contributed to 2.5% of the increase. Our global sales volumes for the quarter were relatively flat.

接著談我們的財務結果。淨銷售額為 6.381 億美元，較去年同期成長 2.3%。如我們投資人簡報所述，淨銷售成長主要由定價所驅動，定價對增幅的貢獻為 2.5%。本季我們的全球銷售量大致持平。

Over the last 12 months, our global volumes declined by 1.3% comparing favorably versus the 1.9% decline in US housing starts. We believe on a volume and revenue basis we are outperforming the majority of our relevant end markets. As a reminder, we exited some business in 2025, which negatively impacted our global year-over-year volume comparisons by 30 basis points on a trailing 12-month basis and by 30 basis points in Q3 2026.

過去 12 個月，我們的全球銷售量下滑 1.3%，相較於美國新屋開工量下滑 1.9% 表現更佳。我們相信，無論以銷量或營收衡量，我們的表現均優於多數相關終端市場。提醒各位，我們在 2025 年退出了部分業務，這使得我們全球年對年銷量比較在過去 12 個月基礎上受到 30 個基點的負面影響，且在 2026 年第三季亦受到 30 個基點影響。

In North America, net sales were $502 million, up 3.8% from the prior year quarter, including an approximately $10 million benefit from pricing actions. For additional context, North American volumes were approximately 400 basis points above the 5% decline in single-family housing starts on a trailing 12-month basis.

在北美，淨銷售額為 5.02 億美元，較去年同期成長 3.8%，其中包含定價措施帶來約 1,000 萬美元的效益。補充說明：以過去 12 個月為基礎，北美銷售量約比獨棟住宅新屋開工量下滑 5% 高出約 400 個基點。

Despite continued pressure across the market, we delivered solid progress in several key growth areas, demonstrating our ability to strengthen our position with customers through differentiated products, solutions and service.

儘管市場持續承壓，我們在數個關鍵成長領域仍取得穩健進展，展現我們透過差異化產品、解決方案與服務來強化客戶合作地位的能力。

Supplier awards from two-channel partners and a top 10 builder further reflects the strength of our customer relationships and the value our teams deliver every day. Our residential business delivered low single-digit volume growth year-over-year despite continued softness in the broader housing market.

來自兩家通路合作夥伴以及一家前十大建商的供應商獎項，進一步反映我們客戶關係的強度，以及團隊每日所交付的價值。儘管整體住宅市場仍偏疲弱，我們的住宅業務年對年仍實現低個位數的銷量成長。

Our multifamily business remained a relative bright spot while our teams continue to capture opportunities through customer conversions, new product adoption, and expanded engagement with builders and pro dealers. We saw several meaningful dealer conversions during the quarter and continue to generate strong adoption of new products.

我們的多戶住宅業務仍是相對亮點；團隊持續透過客戶轉換、新產品導入，以及與建商與專業經銷商（pro dealers）更深度的互動來掌握機會。本季我們看到數筆具意義的經銷商轉換，且新產品的採用持續強勁。

While affordability pressures and cautious builder sentiment continue to weigh on housing activity, our teams remain focused on gaining share, expanding our product offering and providing excellent customer service.

雖然可負擔性壓力與建商審慎情緒持續抑制住宅活動，我們的團隊仍專注於提升市占、擴大產品供應並提供卓越的客戶服務。

Our commercial business delivered a strong quarter with volumes up high single-digits year-over-year. Growth was supported by continued momentum in our cold-formed steel and anchoring solutions. We continue to see attractive opportunities in data centers and other large projects where our inventory position, engineering expertise and relationships with contractors and distribution partners are helping us win new business.

我們的商用業務本季表現強勁，銷量年對年成長高個位數。成長受惠於我們冷成型鋼（cold-formed steel）與錨固解決方案（anchoring solutions）持續的動能。我們在資料中心及其他大型專案仍看到具吸引力的機會；在這些領域，我們的庫存配置、工程專業，以及與承包商與通路合作夥伴的關係，正協助我們贏得新業務。

We continue to focus on field engagement, technical support and converting specifications to Simpson products. The OEM business delivered another strong quarter with volumes up double-digits year-over-year. Growth was broad-based with continued momentum in mass timber and further expansion of our relationships with key OEM customers and distributors.

我們持續聚焦於第一線互動、技術支援，以及將規格轉換為採用辛普森產品。OEM 業務本季再度交出強勁成績，銷量年對年成長達雙位數。成長動能廣泛，包含大規模木構（mass timber）持續推進，以及我們與關鍵 OEM 客戶與經銷商關係的進一步擴展。

We remain encouraged by our growing mass timber project pipeline and customer engagement. Our combination of innovative products, engineering expertise, testing capabilities and field support continues to position us well across these growing applications. The component manufacturer business delivered a solid quarter with volumes up mid-single-digits year-over-year. Growth was driven by new customer wins and continued expansion with existing customers.

我們對於日益成長的大規模木構專案管線與客戶互動仍感到鼓舞。我們結合創新產品、工程專業、測試能力與第一線支援的優勢，持續使我們在這些成長中的應用領域具備良好競爭定位。構件製造商（component manufacturer）業務本季表現穩健，銷量年對年成長中個位數。成長主要由新客戶得標，以及與既有客戶合作的持續擴張所帶動。

We also reached an important milestone in the building component manufacturings conference, where we introduced our next-generation software platform to strong customer interest and engagement, while our equipment solutions generated new sales opportunities.

我們也在建築構件製造業會議上達成一項重要里程碑，於會中向客戶推出我們的下一代軟體平台，獲得強烈的客戶興趣與高度參與，同時我們的設備解決方案也帶來新的銷售機會。

The positive response reinforced our view that there is meaningful demand for an alternative supplier partner in this market. As customers evaluate the new platform, we expect growth to moderate in the near term before accelerating as adoption builds.

正面的回饋強化了我們的看法：在此市場中，對於替代性的供應商合作夥伴確實存在具實質意義的需求。隨著客戶評估新平台，我們預期短期內成長將趨於溫和，之後將隨著採用率提升而加速。

During the quarter, we also launched our new Software Academy, bringing training for our component manufacturing and residential software customers together on a single platform and strengthening the support we provide across our growing portfolio of digital solutions.

本季我們也推出全新的 Software Academy，將構件製造與住宅軟體客戶的訓練整合至單一平台，並強化我們在日益擴大的數位解決方案組合中所提供的支援。

Finally, our national retail business saw volumes decline mid-single-digits year-over-year, reflecting softer demand for larger projects across the broader home center channel. Even in a softer environment, we made progress expanding product placement, adding locations and securing new merchandising opportunities. We remain focused on strong retail execution, close collaboration with our customers and translating these expanded placements into sustained sell-through as demand improves.

最後，我們的全國零售業務量較去年同期下滑中個位數百分比，反映整體家居賣場通路中大型專案需求轉弱。即使在較疲弱的環境下，我們仍在擴大產品陳列方面取得進展，新增據點並取得新的商品陳列機會。我們仍專注於強化零售端執行力、與客戶緊密合作，並在需求改善時，將這些擴大的陳列轉化為可持續的終端銷售動能。

In Europe, third quarter net sales totaled $129.9 million, down 3.4% year-over-year, driven by a 5% year-over-year volume decline as market conditions turned less favorable amid higher interest rates and broader economic headwinds, particularly in France where heightened political and fiscal uncertainty has pressured construction activity.

在歐洲，第三季淨銷售額為1.299億美元，較去年同期下降3.4%，主要因市場環境在利率上升與更廣泛的經濟逆風下轉趨不利，導致銷量較去年同期下滑5%；其中以法國最為明顯，政治與財政不確定性升高壓抑了建築活動。

Net sales also reflected the negative effect of foreign currency translation. On a local currency basis, net sales were down 2.1%. Throughout the quarter, we maintained strong customer engagement and achieved several notable wins, among them a number of mass timber projects despite the challenging market.

淨銷售額亦反映外幣換算的不利影響。以當地貨幣計，淨銷售額下降2.1%。整個季度中，我們維持強勁的客戶互動並取得數項重要成果，其中包括在艱困市場下仍拿下多個大規模木構（mass timber）專案。

Our consolidated gross margin declined modestly by 40 basis points year-over-year to 45.7%, driven by higher material costs, depreciation and freight expenses. Following more than a year of rising steel prices, steel is now up over 50% versus a year ago and at its highest level in over four years.

我們的合併毛利率較去年同期小幅下降40個基點至45.7%，主要受材料成本、折舊與運費上升所致。在鋼材價格上漲超過一年後，目前鋼價較一年前上升逾50%，並處於四年多來的最高水準。

As a result, we expect to take additional pricing actions driven by rising steel costs and anticipate communicating further details in the coming weeks. Our operating margin was 22.1%, down 50 basis points year-over-year as the benefit of approximately $10 million and lower operating expenses were more than offset by a $12.9 million gain from the sale of our Gallatin, Tennessee facility recognized in the third quarter of 2025. The gain contributed approximately 210 basis points to our prior year margin. Adjusted EBITDA totaled $167.2 million, a 7.4% increase year-over-year.

因此，我們預期將因鋼材成本上升而採取進一步的調價措施，並預計在未來幾週公布更多細節。我們的營業利益率為22.1%，較去年同期下降50個基點；約1,000萬美元的效益與較低的營業費用，仍被2025年第三季認列之出售田納西州加拉廷（Gallatin）廠房所帶來的1,290萬美元處分利益所抵銷。該處分利益對去年同期利益率貢獻約210個基點。調整後EBITDA為1.672億美元，較去年同期成長7.4%。

In summary, we remain focused on the areas within our control, executing with discipline, managing costs and supporting our customers as we position the business for continued success. Our financial ambitions remain: one, driving above-market growth compared to our relevant end markets, including outperforming United States housing starts.

總結而言，我們仍專注於可控範圍內的事項，以紀律執行、管理成本並支援客戶，為企業持續成功做好布局。我們的財務目標不變：第一，相較於相關終端市場實現高於市場的成長，包括優於美國新屋開工表現。

Two, maintaining an operating income margin at or above 20% and three, consistently driving EPS growth ahead of net sales growth. As for our market outlook, we continue to expect US housing starts to decline in the low single-digit range in 2026 compared to 2025.

第二，維持營業利益率在20%或以上；第三，持續推動每股盈餘（EPS）成長快於淨銷售額成長。就市場展望而言，我們仍預期2026年美國新屋開工量相較2025年將呈低個位數百分比下滑。

In Europe, we now anticipate a flat to slightly declining market. Looking ahead, demand for our value-added solutions remains encouraging, and we continue to see attractive long-term opportunities across our key growth areas.

在歐洲，我們目前預期市場持平至小幅下滑。展望未來，對我們增值型解決方案的需求仍令人鼓舞，我們也持續在關鍵成長領域看到具吸引力的長期機會。

Near term, however, we are navigating a more challenging operating environment, including decelerating housing starts, and we anticipate these factors to result in volume being down slightly for the remainder of the year.

然而在短期內，我們正面對更具挑戰的營運環境，包括新屋開工放緩；我們預期這些因素將使今年剩餘期間的銷量略為下滑。

Against this backdrop, we remain disciplined in how we execute pricing and manage costs. We are focused on maintaining reliable supply and service while taking a thoughtful market-specific approach to pricing that balances input costs, product value, mix and margins with the importance of our long-term customer relationships.

在此背景下，我們在定價執行與成本管理上仍維持紀律。我們專注於維持可靠的供應與服務，同時採取審慎、因市場而異的定價策略，在投入成本、產品價值、產品組合與毛利率之間取得平衡，並兼顧與客戶長期關係的重要性。

We believe this disciplined approach, together with the strength of our customer relationships and a differentiated market position, positions us well to navigate the current environment and continue advancing our long-term growth priorities.

我們相信，這種紀律性的作法，加上我們穩固的客戶關係與差異化的市場定位，將使我們能妥善因應當前環境，並持續推進長期成長優先事項。

With that, I'd like to turn the call over to Matt, who will discuss our financial results and outlook in greater detail.

接下來，我想把電話會議交給Matt，由他更詳細說明我們的財務結果與展望。

Good afternoon, everyone. Thank you for joining us on our earnings call today. As we continue celebrating Simpson's 70th anniversary, I'd like to echo Mike's comments and recognize the many employees whose dedication and commitment are a meaningful part of what has made Simpson the company it is today.

各位下午好。感謝各位參加今天的法說會。在我們持續慶祝Simpson成立70週年之際，我也想呼應Mike的談話，並向許多員工致意；他們的投入與承諾，是成就今日Simpson的重要一環。

Before getting into the numbers, I'd like to mention that unless otherwise stated all financial measures discussed in my prepared remarks refer to the third quarter of 2026, and all comparisons will be year-over-year comparisons versus the third quarter of 2025.

在進入數字之前，我想先說明：除非另有註明，我在事先準備的講稿中所提及的所有財務衡量指標皆指2026年第三季，且所有比較皆為與2025年第三季的年對年比較。

Now turning to our results. Consolidated net sales grew 2.3% to $638.1 million. In the North America segment, net sales rose 3.8% to $502 million, driven by pricing and higher volumes. Europe's net sales decreased 3.4% to $129.9 million, driven by lower volumes and the negative effect of approximately $1.6 million in foreign currency translation, partially offset by pricing.

接著看我們的業績表現。合併淨銷售額成長2.3%至6.381億美元。在北美事業部，淨銷售額成長3.8%至5.02億美元，主要由定價與銷量增加所帶動。歐洲淨銷售額下降3.4%至1.299億美元，主要因銷量下滑及外幣換算約160萬美元的不利影響，部分被定價所抵銷。

Globally, wood construction product sales were up 1.8% and concrete construction product sales were up 4.8%. Consolidated gross profit increased 1.4% to $291.6 million, resulting in a gross margin of 45.7%, down 40 basis points from last year.

在全球範圍內，木構建築產品銷售成長1.8%，混凝土建築產品銷售成長4.8%。合併毛利成長1.4%至2.916億美元，使毛利率為45.7%，較去年下降40個基點。

In North America, gross margin was 48.4%, down from 48.7% reported in the prior year, primarily reflecting elevated material, depreciation and freight costs. In Europe, gross margin decreased to 36.1% from 37.9%, primarily reflecting lower fixed cost absorption on reduced volumes.

在北美，毛利率為48.4%，低於去年同期的48.7%，主要反映材料、折舊與運費成本居高不下。在歐洲，毛利率由37.9%下降至36.1%，主要反映在銷量降低下固定成本吸收不足。

From a product perspective, our gross margin for wood products was 44.9% compared to 46.2% a year ago, as material, freight and labor costs more than offset higher pricing. For concrete products, gross margin was 49.7% compared to 48% a year ago, reflecting higher pricing and favorable mix, partially offset by higher factory and tooling, material and freight expenses.

從產品角度來看，我們木製品的毛利率為44.9%，低於一年前的46.2%，因材料、運費與人工成本上升幅度超過定價提升。混凝土產品毛利率為49.7%，高於一年前的48%，反映定價提高與產品組合有利，但部分被工廠與模具、材料及運費支出增加所抵銷。

Now turning to expenses. As a percentage of net sales, third quarter operating expenses were 23.6%, a decline from 25.8% last year. SG&A headcount was down approximately 6% year-over-year. In total, operating expenses decreased 6.3% to $150.5 million, primarily driven by reductions across personnel related costs and professional fees.

接著看費用。以淨銷售額百分比計，第三季營業費用為23.6%，低於去年的25.8%。SG&A人力編制較去年同期約下降6%。整體而言，營業費用下降6.3%至1.505億美元，主要由人員相關成本與專業服務費用的降低所帶動。

To further detail our SG&A, our research and development and engineering expenses decreased by 9.1% or $1.9 million to $18.9 million. The decrease was driven by benefits from the strategic cost savings initiatives completed in the prior year, primarily lower personnel-related expenses and reduced professional fees.

進一步說明SG&A：我們的研發與工程費用下降9.1%，或減少190萬美元至1,890萬美元。下降主因為前一年度完成的策略性節省成本措施所帶來的效益，主要包括較低的人員相關費用與減少的專業服務費用。

Selling expenses decreased 2.1% to $54.9 million as a result of lower personnel-related expenses, partially offset by higher advertising expenses. On a segment basis, selling expenses in North America were down 3.4%, and in Europe they were up 1.2%.

銷售費用下降2.1%至5,490萬美元，係因人員相關費用降低，部分被廣告費用增加所抵銷。以事業部別來看，北美銷售費用下降3.4%，歐洲則上升1.2%。

General and administrative expenses decreased by 8.5% to $76.7 million, primarily driven by decreases in personnel-related expenses and professional fees. As a result, our consolidated income from operations totaled $141 million, a modest increase of 0.2% from $140.7 million which included the $12.9 million gain from the sale of our Gallatin, Tennessee facility.

一般及行政費用下降8.5%至7,670萬美元，主要由人員相關費用與專業服務費用下降所帶動。因此，我們的合併營業利益為1.41億美元，較去年的1.407億美元小幅增加0.2%；去年數字包含出售田納西州加拉廷（Gallatin）廠房所帶來的1,290萬美元處分利益。

Our consolidated operating income margin was 22.1%, down from 22.6% last year, including a 210 basis points impact from the sale of Gallatin in the prior year quarter. In North America, income from operations increased 9.5% to $137 million due to higher net sales on reduced operating expenses, primarily from reduced personnel costs. Our operating income margin in North America improved to 27.3% compared to 25.9% last year.

我們的合併營業利益率為22.1%，低於去年的22.6%，其中包含前一年同季出售Gallatin所帶來的210個基點影響。在北美，營業利益因淨銷售額提高且營業費用下降而增加9.5%至1.37億美元，主要來自人事成本降低。北美的營業利益率提升至27.3%，去年為25.9%。

In Europe, income from operations decreased 5% to $15.3 million, primarily due to lower sales and gross profit, mostly offset by continued cost controls. Our operating income margin in Europe was 11.8% compared to 12.0% last year. Improving our operating margin and optimizing our footprint remains a priority in Europe.

在歐洲，營業利益下降5%至1,530萬美元，主要由於銷售額與毛利下降，但多數被持續的成本控管所抵銷。歐洲的營業利益率為11.8%，去年為12.0%。在歐洲，提升營業利益率並最佳化我們的營運據點仍是優先事項。

Our effective tax rate was 25.4%. Accordingly, net income totaled $109.1 million or $2.68 per fully diluted share compared to $107.4 million or $2.58 per fully diluted share. Adjusted EBITDA was $167.2 million, an increase of 7.4%, resulting in a margin of 26.2%.

我們的有效稅率為25.4%。因此，淨利為1.091億美元，或完全稀釋後每股2.68美元，相較之下去年為1.074億美元，或完全稀釋後每股2.58美元。調整後EBITDA為1.672億美元，增加7.4%，對應的利潤率為26.2%。

Now turning to our balance sheet and liquidity, as of September 30, 2026, our debt balance was $308 million, down $66.3 million from December 31, 2025, with $580.8 million remaining available on our revolver. Cash and cash equivalents totaled $491.3 million, resulting in a net cash position of $183.3 million.

接著談資產負債表與流動性，截至2026年9月30日，我們的債務餘額為3.08億美元，較2025年12月31日減少6,630萬美元；循環信貸額度（revolver）尚可動用5.808億美元。現金及約當現金合計4.913億美元，使我們的淨現金部位為1.833億美元。

Our inventory position as of September 30, 2026, was $511.9 million, which was down $82.3 million compared to December 31, 2025, driven by approximately $45.4 million in lower raw material inventory levels on hand and $34.7 million reduction in finished goods.

截至2026年9月30日，我們的存貨為5.119億美元，較2025年12月31日減少8,230萬美元，主要由於手上原物料存貨水位約減少4,540萬美元，以及成品減少3,470萬美元所致。

North America inventory pounds on hand are down 31.5% since December 31, 2025. We anticipate raw steel inventory levels to increase as well as our cost per pound. We generated strong cash flow from operations of $173.3 million in the third quarter, providing us with continued flexibility to invest in the business while returning capital to stock quarters.

北美的存貨在手磅數自2025年12月31日以來下降31.5%。我們預期原鋼存貨水位將上升，同時每磅成本也會提高。第三季我們創造了強勁的營運現金流1.733億美元，使我們在持續回饋股東資本的同時，仍保有投資業務的彈性。

During the quarter, we invested $11.9 million in capital expenditures, returned $12.3 million in dividends to our stockholders, and we purchased $66.3 million of our common stock. We also replayed $25 million on our revolver.

本季我們投入資本支出1,190萬美元，向股東發放股利1,230萬美元，並回購普通股6,630萬美元。我們也償還了循環信貸（revolver）2,500萬美元。

Additionally, on October 22, 2026, our Board declared a quarterly dividend of $0.30 per share payable on January 28, 2027 to stockholders of record on January 7, 2027. Further, on October 22, 2026, our Board approved a new share repurchase authorization of $1 billion with no expiration date, superseding our prior $200 million authorization. The approval of this new authorization reflects the Board's confidence in the company's long-term strategy and commitment to returning capital to shareholders.

此外，於2026年10月22日，我們董事會宣告每股0.30美元的季度股利，將於2027年1月28日支付給截至2027年1月7日的在冊股東。另外，於2026年10月22日，我們董事會核准新的10億美元庫藏股回購授權，且無到期日，並取代先前2億美元的授權。此新授權的核准反映董事會對公司長期策略的信心，以及回饋股東資本的承諾。

Next, I'll turn to our 2026 financial outlook. Based on business trends and conditions as of today, October 26, 2026, our updated guidance for the full year ending December 31, 2026 is as follows. We now expect the range for consolidated operating margin to be 20.0% to 20.5%. Additional key assumptions include, our outlook for US housing starts to be down in the low single-digit range, a lower overall gross margin based on rising raw material and freight costs, imposed tariffs and increased depreciation costs, approximately $4 million of footprint optimization costs in Europe and approximately an $11 million gain on the sale of vacant land in the fourth quarter of 2026.

接下來我將談2026年財務展望。根據截至今日（2026年10月26日）的業務趨勢與狀況，我們對截至2026年12月31日止全年更新後的指引如下。我們目前預期合併營業利益率區間為20.0%至20.5%。其他關鍵假設包括：我們預期美國新屋開工量將以低個位數百分比下滑；由於原物料與運費成本上升、加徵關稅以及折舊成本增加，整體毛利率將較低；歐洲約400萬美元的據點最佳化成本；以及2026年第四季出售閒置土地約1,100萬美元的收益。

Our effective tax rate is estimated to be in the range of 25% to 26%, including both federal and state income tax rates based on current tax laws. And finally, our capital expenditures outlook is expected to be in the range of $80 million to $90 million, which includes efforts to optimize our footprint to improve operational efficiency.

我們估計有效稅率將落在25%至26%之間，包含依現行稅法計算的聯邦與州所得稅率。最後，我們預期資本支出將介於8,000萬至9,000萬美元之間，其中包含為提升營運效率而進行的據點最佳化相關投入。

In summary, we remain confident in the strength of our business and focus on executing against our long-term priorities. While the market environment remains challenging, we are continuing to invest for growth, manage the business with discipline, and generate strong cash flow to support both our strategic priorities and stockholder returns. We remain committed to a balanced approach to capital allocation, including returning free cash flow to stockholders.

總結而言，我們對業務的韌性仍具信心，並專注於落實長期優先事項。儘管市場環境仍具挑戰，我們將持續投資成長、以紀律管理業務，並創造強勁現金流，以支持策略重點與股東報酬。我們仍致力於均衡的資本配置方式，包括將自由現金流回饋給股東。

With that, I will now turn the call over to the operator to begin the Q&A session.

接下來，我把電話交給接線員，開始問答環節。

Thank you. We'll now be conducting a question-and-answer session. (Operator Instructions)

謝謝。我們現在開始進行問答環節。(接線員指示)

Trey Grooms, Stephens, Inc.

Trey Grooms，Stephens, Inc.

Hey, good afternoon, everyone. So I guess if we could maybe just touch on first the inventory pounds on hand down continues to be down significantly. I know you've mentioned maybe looking at a fourth quarter kind of load in or load in before year-end, is that still the intention?

嗨，各位下午好。我想先請教一下，存貨在手磅數持續大幅下降。我知道你們提過可能會在第四季、或在年底前進行一波補庫（load in），這仍是目前的打算嗎？

And then maybe as a follow-on with that, with the pricing actions that you'd mentioned, I guess, what's the timing there? Do you expect to fully kind of recoup steel cost inflation fairly quickly or is there a timing component we need to kind of be watching out for as we kind of look into next year.

接著延伸這個問題，關於你們提到的調價措施，我想問時點會是如何？你們預期能在相當短的時間內把鋼材成本通膨完全轉嫁回收嗎？還是其中有時滯因素，是我們在展望明年時需要留意的？

Hey, Trey, this is Matt. On the inventory question, we've been in a couple of quarter pattern here of raw material inventory coming down in pounds, even in dollars as well. If you recall, we saw quite a bit of steel a little over 12 months ago. We've been working through that and now we're kind of back in the market acquiring steel a little bit more on a just-in-time basis given the pricing of steel that's in the market where historically we've made pretty big chunky buys.

嗨，Trey，我是Matt。關於存貨的問題，我們這幾季的模式是原物料存貨在磅數上下降，金額上也下降。如果你還記得，大約12個多月前我們看到鋼材採購量相當大。我們一直在消化那批存貨，而現在在市場上採購鋼材時，考量到目前市場鋼價，我們更偏向採取即時供應（just-in-time）的方式；過去我們通常會做比較大筆、一次性的採購。

And so we're in the market now buying some steel. So I'd expect that that balance is going to go up some. I don't expect it to go way up immediately. We're taking a little bit more of a bite-sized approach to steel until we see where it settles.

因此我們現在正在市場上買一些鋼材。所以我預期那個餘額會有所上升。但我不預期會立刻大幅上升。在看到鋼價落點之前，我們會以較小批量的方式採購鋼材。

And then in terms of the price increase, I'll let Mike talk on that.

至於漲價方面，我讓Mike來說明。

So Trey, let me back up and just talk a little bit about pricing, bigger picture first. So we certainly recognize the affordability pressures on our customers in the broader industry and the issues that the whole market is facing. So we are making sure we're being very thoughtful on all things pricing 50% increase in steel and steel at a four-year high certainly creating some big headwinds.

Trey，我先退一步，先從更宏觀的角度談一下定價。我們確實理解在更廣泛的產業中，客戶面臨的可負擔性壓力，以及整個市場正在面對的問題。因此我們在所有定價相關事項上都非常審慎；鋼材上漲50%，且鋼價處於四年高點，確實帶來很大的逆風。

We have some other inflationary efforts that we're seeing and we're just not able to offset all that with productivity efforts, so what we're trying to do is really balance effectively the relationships we have between price and cost and just making sure that we can continue to invest in service availability and all the innovation efforts that our customers would expect from Simpson. So we do expect to announce additional pricing actions. It's going to be in the next coming weeks where we really share more details on that trick.

我們也看到其他通膨壓力，而僅靠生產力提升無法完全抵銷；因此我們試圖在價格與成本之間的關係上取得有效平衡，並確保我們能持續投入服務供應能力，以及客戶對Simpson所期待的各項創新努力。所以我們確實預期會宣布進一步的調價措施。在接下來幾週內，我們會分享更多細節。

Okay, got it. Thanks for that. And then just last one for me. You guys continue to do a really good job on the operating expense level, came in below where we were looking for and you talked about some of the drivers there.

好的，了解。謝謝說明。最後一個問題。你們在營業費用水準上持續做得很好，實際結果低於我們原先預期，你們也談到了一些驅動因素。

Personnel costs playing a role here. So I guess I assume this continues in the near term, but I guess if we're thinking about a little bit longer-term, are these things that or these costs out, is there a way for us to kind of think about what might need to come back with improving demand or is there some, maybe some incremental leverage that you can see out of these actions a little longer-term?

人事成本在這裡也扮演了一定角色。所以我想我假設這在短期內會持續，但如果我們把時間拉長一點來看，這些事情或這些成本中，有哪些在需求改善時可能需要再加回來？或者從這些行動中，長期來看你們是否能看到一些增量的營運槓桿？

So, Trey, let me start with that. So, one, I appreciate the feedback. We've got a team of people that's working really hard to do everything we can to manage the cost line. We are committed to that 20% operating income margin. And at the end of the day, we think we've got a great team, a great business model, and that needs to translate into strong financial results. And that 20%, I think, is operating income margin is a target that we've been committed to hitting.

Trey，我先從這點開始。第一，我很感謝你的回饋。我們有一個團隊非常努力，盡一切所能來管理成本線。我們致力於達成20%的營業利益率。歸根結底，我們認為我們有很棒的團隊、很好的商業模式，而這需要轉化為強勁的財務成果。而我認為那個20%的營業利益率，是我們一直承諾要達成的目標。

Yeah, Trey, in terms of what needs to come back, in terms of investment, if the market picks up, I mean, certainly there will be there are investments that we'd like to make, but given kind of where the market is and where we are against our financial ambitions, we're sliding those out a little bit. But when we do see the market recover some, we're going to be in a position where we're investing OpEx at a slower rate than we're going revenue. So we're somewhere targeting in the don't grow OpEx anymore than half the rate of revenue. So if you think about it from kind of a mid and longer-term, that's kind of what we're targeting.

是的，Trey，關於哪些投資需要加回來——如果市場回溫——我的意思是，當然會有一些我們想做的投資，但考量目前市場狀況以及我們相對於財務目標的進度，我們把這些投資稍微往後延。但當我們看到市場有所復甦時，我們會處在一個狀態：我們在OpEx上的投資增速會慢於營收增速。所以我們的目標大致是：OpEx的成長率不要超過營收成長率的一半。因此若從中期與長期來看，這就是我們鎖定的方向。

And Trey, we've been able to leverage attrition over the last six months to really help us keep the lid on costs as well.

另外，Trey，過去六個月我們也能利用自然流失（attrition）來幫助我們把成本控制住。

Yes, great. Thanks for all the color, really appreciate it and keep up the good work. Thanks.

好的，很棒。謝謝你們提供這麼多細節，真的很感謝，也請繼續保持。謝謝。

Daniel Moore, CJS Securities.

Daniel Moore，CJS Securities。

Thanks. Good afternoon, Mike, Matt. Thanks for taking the questions and obviously, solid results. You talked about prepared remarks, you mentioned volumes likely down slightly for the remainder of the year, given the dynamic environment we're in here. Just remind us where we are in terms of kind of prior pricing actions. Will you see much of a benefit from pricing left over in Q4 or should we expect revenue to be down sort of closer to the declines in volumes that we might experience at least the next quarter until the next round of pricing kicks in?

謝謝。下午好，Mike、Matt。謝謝你們回答問題，顯然這次結果很扎實。你們在事先準備的發言中提到，考量目前這個多變的環境，今年剩餘時間的出貨量（volumes）可能會小幅下滑。請再提醒我們一下，先前的定價措施目前進展到哪裡了？第四季還會看到多少先前漲價帶來的效益？還是我們應該預期營收下滑會更接近我們可能在下一季看到的出貨量下滑幅度，至少要等到下一輪定價生效？

Dan, let me start from a market perspective. So again, going into this year, we were assuming the market was going to be flat, it's down roughly 2% year-to-date. So I think it's 1.9% the census date is 1.9% below prior year. Our assumption is going to be down low single-digits for the full year. Certainly, there's a lot of news coming out from a lot of our customers in the industry that things are getting a little bit tighter.

Dan，我先從市場面來談。同樣地，今年一開始我們假設市場會持平，但年初至今大約下滑了2%。所以我想以普查日期（census date）來看，是比去年同期低1.9%。我們的假設是全年會下滑低個位數百分比。當然，從產業內許多客戶那邊傳出的消息是，情況正變得稍微緊一些。

So there's a chance maybe that moves from low single-digits to mid-single-digits, but right now, we're the market forecast, the latest market forecast that we have are down low single-digits with maybe a little pressure on the downside.

所以確實有可能從低個位數下滑變成中個位數下滑，但目前我們掌握的最新市場預測仍是下滑低個位數，只是下行端可能有一些壓力。

And Dan, in terms of your question on pricing, recall in 2025, we took our first price increase in June with the larger one, and then there was a smaller price increase mid-October last year. So we're going to still get a little bit of help from pricing in Q4 this year, but kind of less than 1% range when you think about it before any of the new pricing kicks in.

Dan，關於你提到的定價問題，回想一下在2025年，我們在6月進行了第一次較大幅度的漲價，然後去年10月中又有一次較小幅度的漲價。因此今年第四季我們仍會從定價中得到一點幫助，但在任何新的定價生效之前，整體大概是在不到1%的區間。

We're also getting some pricing benefit in Europe from price increases we took earlier this year, again, a little bit smaller scale. So I'd say kind of less than 1% help from price in Q4 and then we'll talk more about 27% later once some of that stuff starts to be announced.

我們也會在歐洲從今年稍早採取的漲價中獲得一些定價效益，同樣規模較小。所以我會說第四季來自價格的助益大概不到1%，至於27%的部分，等到有些事項開始對外宣布後，我們稍後會再多談。

Super helpful. That's great. And you touched on this again. Can you give a little bit more color on kind of the rollout of new software at the building show, how's that being received relative to your expectations and maybe delineate kind of the opportunity set between kind of small regional players and some of the larger folks?

非常有幫助。太好了。你們也再次提到這點。能否再多提供一些細節，關於在建築展上推出新軟體的推廣進度？相較於你們的預期，市場反應如何？另外也請區分一下，在小型區域業者與一些大型業者之間，機會版圖大概是怎麼樣？

So Dan, we're making a lot of good progress in this space. We are very pleased with what the team's been working on and we're getting a lot of good feedback from our customers. Q3 volume for the [Computo] manufacturing business was up mid-single-digits. Housing starts as a direct comparison there, so we're doing a lot better than the market.

Dan，我們在這個領域取得了很多良好進展。我們對團隊正在做的事情非常滿意，也從客戶那裡得到很多正面回饋。第三季[Computo]製造業務的出貨量成長了中個位數百分比。以住宅開工（housing starts）作為直接對照，我們的表現明顯優於市場。

At the industry trade show, which is called BCMC, which was September, we debuted our next generation software platform and there's three components to it, the producer piece, Cloud Director and Cornerstone. And remember, Dan, this is really a system that's designed to be cloud native, and so there's a bunch of advantages with that, including making it easier for distributed workforce to work together and that cloud-based system will help us really drive faster upgrades to our team and provide to our customers and provide really a high level of service and a high level of feedback on some of the ideas where they think we can add in additional features of functionality.

在9月舉辦、名為BCMC的產業展會上，我們首次亮相下一代軟體平台，包含三個組件：producer模組、Cloud Director，以及Cornerstone。而且記住，Dan，這套系統是真正以雲原生（cloud native）為設計核心，因此有許多優勢，包括讓分散式的工作團隊更容易協作；同時，這個雲端系統也能幫助我們更快地為團隊與客戶推送升級，並提供非常高水準的服務，以及針對他們認為我們可以新增的功能與特性，提供高品質的回饋機制。

And at the show, we had demo stations. We were showing people cornerstone layout and walls. We were showing the cloud director version that we have and then the latest version of producer. It was a standing room only. Dan, usually those shows at the very end kind of empty out. And even at the last minute of the show, we still had a lot of people lined up doing demos. So we're getting a lot of positive feedback. We're pretty excited about it.

在展會上，我們設置了展示站。我們向大家展示了Cornerstone的版面配置與牆體功能。我們也展示了Cloud Director版本，以及最新版本的producer。現場幾乎是站無虛席。Dan，通常這類展會到最後會逐漸散場。但即使在展會最後一刻，我們仍有很多人排隊做demo。所以我們收到很多正面回饋。我們對此相當興奮。

And then to your point about small, large, medium players, as the larger customers, they've got very significant footprints in terms of the number of sites. Those, we think we are eventually going to be a good fit for. We do have a couple of larger customers that are using our solutions today, the cloud-based version of that's going to make that even easier. We also think there's a lot of opportunities of small to mid-size customers in this space and we continue to add new customers today even though we are introducing new software as we speak.

至於你提到的小型、大型、中型業者，大型客戶在據點數量上有非常龐大的佈局。我們認為最終我們會非常適合他們。我們目前確實已有幾家大型客戶在使用我們的解決方案，而雲端版本會讓這件事變得更容易。我們也認為在這個領域，小到中型客戶有很多機會；即便我們正在導入新軟體，我們今天仍持續新增新客戶。

Really helpful. One more, I'll jump out, but just an update on capital allocation priorities. Just talk to the decision to shift from kind of shorter-term buyback authorizations to now the $1 billion authorization with no expiration. And net cash growing, would you consider going beyond the target of 50% return of free cash return to shareholders if M&A doesn't opportunities don't present themselves? Just how are we thinking about that in the context of the announcement today? Thank you again.

非常有幫助。最後一個問題我就先下線：請更新一下資本配置（capital allocation）的優先順序。也請談談你們為何從較短期的庫藏股回購授權，轉為現在這個沒有到期日的10億美元授權。另外，淨現金持續增加，如果併購（M&A）沒有出現合適機會，你們是否會考慮把回饋股東的自由現金流比例提高到超過50%的目標？就今天的公告而言，我們應該如何理解你們的思考脈絡？再次感謝。

Yeah, Dan, on the new authorization buyback of $1 billion. It's a little bit of a strategic shift in how we've managed it in the past, just providing more clarity of kind of midterm intentions and it ultimately gives us flexibility to be opportunistic in terms of when we repurchase those shares across fiscal years.

好的，Dan，關於新的10億美元回購授權。這在我們過去的管理方式上算是一個策略性的調整，主要是為了更清楚地傳達我們中期的意圖；同時也讓我們在跨財政年度回購股票的時點上，能更具彈性、把握機會。

Still want to maintain optionality and flexibility for the right M&A opportunities, which there are some that would be of interest, but none that are active. So I think in the meantime, we'll be focused on returning cash to shareholders through the buyback.

仍希望為合適的併購（M&A）機會保留選擇權與彈性；確實有一些我們會感興趣的標的，但目前沒有任何正在進行中的案子。所以我認為在此期間，我們會專注於透過庫藏股回購把現金返還給股東。

And then we have a publicly stated threshold of 35% of free cash flow. I mean, you mentioned we've been kind of north of 50% here the last few years. So I think there's flexibility there, but I would say not looking to take foot off the gas any on that. If anything, maybe step it up a little bit again if we're not seeing the M&A opportunities out there.

另外，我們公開宣示的門檻是自由現金流的35%。我的意思是，你提到過去幾年我們大概都在50%以上。所以我認為這裡有彈性，但我會說我們不打算在這方面鬆油門。如果說有什麼變化的話，若我們沒有看到外部有合適的併購機會，反而可能會再把力度提高一些。

Helpful. All right. Appreciate the color.

很有幫助。好。感謝補充說明。

Andrew Carter, Stifel.

Andrew Carter，Stifel。

Hey, thank you. Good evening. First question I wanted to ask about the national retail business taking a step back on shipments. Could you share what the POS trends were in the quarter, what they were to year-to-date? And last quarter, I think you referred to some competitive activity. Is that the channel where you've kind of seen the fasteners not kind of go to plan, therefore the weakness. I'll stop there.

嗨，謝謝。晚安。第一個問題我想問全國零售業務在出貨量上有所回落。你們能分享本季的POS（銷售點）趨勢，以及年初至今的表現嗎？另外，上季我記得你們提到一些競爭動態。是否就是在這個通路，你們看到緊固件的表現沒有如預期，因此出現疲弱？我先問到這裡。

Andrew, good question. So in the national retail space, really for that (inaudible) area, one of the biggest headwinds are these large projects. And we see that pretty much across the Board. So that's people doing additions, larger decks, pergolas, those type of larger projects tend to be a little bit slower than the overall average numbers. So we think that's part of it.

Andrew，問得好。所以在全國零售領域，尤其是在那個（聽不清）區塊，最大的逆風之一是這些大型專案。而我們幾乎在各方面都看到了這點。也就是人們做增建、更大的露台（deck）、棚架（pergola）等這類較大型的專案，其增速往往比整體平均數據更慢。所以我們認為這是其中一部分原因。

When we do comparison against the national retail numbers, one thing that makes that a little bit apples and oranges, Andrew, is, the data that we get for national retail is in dollars, and there's been a lot of pricing activity in that space, and we're comparing it against pounds. When you look at it on a dollar-for-dollar basis, we believe we're pretty much in alignment with how that market's developed over the last three months and over the course of the last year.

當我們拿來與全國零售數據比較時，有一點會讓比較變得有些「蘋果比橘子」，Andrew：我們拿到的全國零售數據是以美元金額計，而那個領域有很多定價調整活動；但我們這邊比較的是以磅（重量）計。如果用同樣以美元金額的口徑來看，我們認為過去三個月以及過去一年該市場的發展趨勢，我們基本上是同步一致的。

Yeah, and Andrew, this is Matt, in the third quarter, our POS at kind of total national retail is up in the low single-digit range. So it's up on dollars, as Mike said. There's been some pricing, so the volume is down slightly, but there's a little bit of apples and oranges there when we try to compare volumes, but it is up on dollars.

對，Andrew，我是Matt。第三季我們在全國零售整體的POS大約是低個位數成長。所以如Mike所說，以美元金額來看是成長的。因為有一些漲價，所以量略有下滑；當我們嘗試比較量的時候，確實會有點「蘋果比橘子」，但以金額來看是上升的。

And Andrew, we continue to believe we're in good shape with our national retail customers. I like the new product development ideas we're working on, the merchandising efforts, some packaging ideas we're working on. We've got a lot of good things going on that space. So we think that will get back on the path of being a good growth driver for us going forward.

Andrew，我們仍然相信我們與全國零售客戶的合作狀況良好。我很喜歡我們正在推進的新產品開發構想、陳列（merchandising）方面的努力，以及一些包裝點子。我們在那個領域有很多正面的進展。所以我們認為未來它會回到成為我們良好成長動能的軌道上。

Second question, kind of actually and to just go to Gallatin, not necessarily related to that. This has kind of been the first year, fits of starts. Can you kind of speak to kind of the margin headwind that you had this year or maybe it wasn't as much of a benefit and kind of what you expect from this and maybe in kind of progress on that and if it's going to hit all cylinders in '27?

第二個問題，想轉到Gallatin，其實不一定和剛剛那個相關。今年算是第一年，有點斷斷續續、起起伏伏。你們能談談今年遇到的毛利率逆風嗎？或者說可能沒有帶來那麼多效益；以及你們對這項投資的預期、目前進展如何，還有是否會在'27年全面發揮效能？

Yeah, we started this year in Gallatin with some challenges on the cost side, particularly on the two new processes that we in-store to kind of be more vertically integrated, which is heat treating and coating of fasteners.

是的，我們今年在Gallatin一開始在成本端遇到一些挑戰，特別是我們導入的兩項新製程，目的是讓我們更垂直整合，也就是緊固件的熱處理與塗層（coating）。

First quarter, I think we talked about it. I think it was about a $5 million start-up cost. It was less in the second quarter. And then here in the third quarter, we're kind of back to where we should be from an absorption standpoint. I would say we've got the heat treating part of that equation pretty well dialed in. The coatings piece is still kind of the last piece where we're getting over the hump and getting production volumes up to where it needs to be.

第一季我們應該有談到。我記得大約是500萬美元的啟動成本。第二季比較少。而到第三季，我們在吸收（absorption）角度已經大致回到應有水準。我會說熱處理這一塊我們已經調校得相當到位。塗層則仍是最後一塊拼圖，我們正在跨過門檻、把產量拉升到需要的水準。

But ultimately, I think it's not a drag anymore. And we'll kind of work our way out of that from an inventory situation. We've had a little bit of supply challenges on some fasteners. And so we're kind of catching up on that, expect to be in a good spot.

但總體來看，我認為它已經不再是拖累。我們也會從庫存的角度逐步把問題解決。我們在部分緊固件上曾有一些供應挑戰。所以我們正在追趕補齊，預期會回到良好狀態。

In stock-wise, inventory-wise, kind of right around if we turn the calendar year to 2027. And then into '27, it's really about the decisions we're going to make on which products that we make in Gallatin versus which products we source from Taiwan. So it kind of happens at a SKU level, looking at which ones make sense based on current steel prices and tariffs and lots of factors, but kind of constantly managing that mix to make the optimal mix in Gallatin and then buy the rest in Taiwan.

就現貨供應與庫存水位而言，大概在日曆翻到2027年左右會處在不錯的位置。接著進入'27年，重點會是我們要做哪些決策：哪些產品在Gallatin生產、哪些產品從台灣採購。這會在SKU層級逐一評估，根據目前鋼價、關稅以及許多因素來判斷哪些更合理；我們會持續管理這個組合，讓Gallatin的自製與台灣採購的搭配達到最佳化。

Andrew, these are short-term issues from our perspective. We still very much believe in the long-term story around the investment we made in Gallatin, and we think that's going to help us provide great service to our customers once we get through the short-term challenges.

Andrew，從我們的角度看，這些都是短期問題。我們仍然非常相信我們在Gallatin投資的長期故事，我們認為一旦度過這些短期挑戰，這將有助於我們為客戶提供更好的服務。

Thank you very much. I will pass it on.

非常感謝。我把時間交回去。

Tim Wojs, Baird.

Tim Wojs，Baird。

Hey guys, good afternoon. Hey, maybe just first question, if I kind of take the full year guidance and try to back into what it implies for Q4, I think it implies a pretty big step down sequentially in margins. Despite you guys having that landfill gain in there, so I know there's seasonality and that can kind of skew it, but is there anything else I guess, A is my math right and B, is there anything you kind of call out in terms of maybe kind of slower production or price cost or anything like that just to kind of think about it?

各位好，午安。第一個問題：如果我用全年指引去回推第四季的隱含數字，我覺得它暗示毛利率/利潤率會出現相當明顯的季減。即便你們還有那筆掩埋場（landfill）收益在裡面。我知道有季節性可能會造成偏差，但還有沒有其他因素？也就是A，我的計算對嗎；B，你們是否能點出一些需要留意的地方，例如產量放緩、價格與成本的關係等，讓我們更好理解？

Yeah, Tim, this is Matt. You're right. You're doing the math right. I think historically, our Q4 operating incomes are in the low 10s somewhere anyway, just from a seasonality standpoint. We do a lot less volume in the fourth quarter compared to the second, third quarter for sure, but even more or even less than the first quarter typically from a seasonality standpoint. We are seeing steel costs increase, right?

是的，Tim，我是Matt。你說得對。你的計算是對的。我想從歷史來看，我們第四季的營業利益率本來就大概在10%出頭，主要是季節性因素。第四季的出貨量相較第二、第三季肯定少很多；而且從季節性來看，通常也會比第一季更少。我們也看到鋼材成本正在上升，對吧？

We talked about price increase likely to be announced here in the next few weeks, and if that sort of follows our trend that will kick in early January, so seeing a little bit of hurt there, but again, as Mike said, trying to be cognizant of affordability and pressures and all those things and working through the inventory that we had from last year, we're kind of at the end of that road.

我們提到過，未來幾週很可能會宣布漲價；如果延續我們以往的節奏，漲價會在一月初生效，所以短期會有一些壓力。不過如Mike所說，我們也會注意可負擔性、各種壓力等因素，同時把去年留下的庫存逐步消化；我們現在也差不多走到那段路的尾聲了。

So we do have the gain in the fourth quarter that we talked about on the vacant land that closed early October, so that will be a gain. But even with that gain, we're probably in the somewhere in the 14-ish range on an operating income, if you kind of do the math, maybe even a little bit less than that, kind of upper 13. So there's definitely cost pressure on gross margin, expecting to kind of stay the course on SG&A and then we are making some, we're choosing to make some investments in our employees in the fourth quarter, kind of in recognition of a tough year and our 70th anniversary.

所以我們確實在第四季有我們先前提到的那筆收益，來自於10月初完成交割的那塊空置土地，因此那會是一筆收益。但即使有那筆收益，如果你大概算一下，我們的營業利益率大概仍會落在14%左右的區間，甚至可能還會再低一點，大概在13%偏高的水準。所以毛利率確實面臨成本壓力；我們預期SG&A大致維持既有步調；另外，我們在第四季也會選擇對員工做一些投資，算是對艱難一年以及我們70週年的一種肯定。

So there's a little bit of cost there that we've chosen to invest, but not going to move the needle a whole lot, but yes, that range is kind of where we expect to be for the year 2020 to 2025 and it does imply a drop in the fourth quarter, not that different than what we see from a normal seasonal standpoint.

所以我們選擇投入的部分會有一些成本，但不會對整體造成太大影響；不過是的，這個區間大致就是我們對2020到2025年度的預期，而且這也意味著第四季會下滑，從季節性角度來看，與一般正常情況並沒有太大不同。

That's helpful, thanks. And then on pricing, could you just remind us kind of what you attempt to do in terms of covering inflation? I just can't remember if you want to cover dollars or if you're trying to cover gross margin.

這很有幫助，謝謝。接著關於定價，你能不能提醒我們一下，你們在涵蓋通膨方面大概是怎麼做的？我有點記不清楚你們是想覆蓋成本增加的金額，還是想維持毛利率。

In general, Tim, we've got a lot of different efforts across the Board. We're looking to try to manage inflation. We've stepped up our approach on purchasing of everything outside of the CO range. We've got a lot of good things going on in that space, just general cost reduction efficiency efforts across the Board.

一般來說，Tim，我們在各方面都有很多不同的作法。我們會設法管理通膨影響。我們也加強了對CO範圍以外所有項目的採購策略。在那一塊我們有很多進展，整體而言也在全公司推動成本降低與效率提升的各項措施。

We're making good progress running our manufacturing facilities more efficient from a labor perspective. We look at pounds per labor hour, that's trending the right way. So it's lots of small things across the board. I wouldn't say there's any silver bullet that's really going to drive.

從人力角度來看，我們在提升製造廠的營運效率方面進展良好。我們看的是每工時產出磅數（pounds per labor hour），這個指標正朝正確方向趨勢改善。所以是很多分散在各處的小事情一起做。我不會說有任何一個「銀彈」能真正帶來決定性的推動。

And I would say typically, Tim, we try to price to maintain our gross margin percentage. It's not always perfect and there's movement here or year in, year out, but the intention is to maintain our gross margin percentage over the mid-long-term with bliss here and there.

而且我會說，通常來講，Tim，我們定價的目標是維持毛利率百分比。這不一定每次都能完全做到，年度之間也會有些波動，但我們的意圖是在中長期維持毛利率百分比，期間可能會有些起伏。

Okay, sounds good. Thanks, guys. Appreciate it.

好，聽起來不錯。謝謝各位。感謝。

Thanks, Tim.

謝謝你，Tim。

Kurt Yinger, D.A. Davidson.

Kurt Yinger，D.A. Davidson。

Great, thanks, and good afternoon, everyone. I know it's a little bit early, but can you just talk through maybe some of the moving pieces of how you're planning for 2027 at this stage? I mean, it seems like at least we'll start off with probably a pretty tepid demand backdrop. And I'm just curious, how are you thinking about some of the different levers you can pull in the context of the commitment to kind of maintaining that 20% operating margin?

很好，謝謝，大家午安。我知道現在可能還有點早，但你能否談談你們目前在規劃2027年時，會考量哪些變動因素？我的意思是，看起來至少一開始需求環境可能會相當疲弱。我想了解的是，在承諾維持約20%營業利益率的前提下，你們如何看待可以運用的不同槓桿？

Good question. So when we look at the market forecast for 2027, the early indications flattish. And as you probably remember, for the last five years, we've started with a market forecast that has probably dropped anywhere from 300 to 500 basis points.

好問題。當我們看2027年的市場預測時，初步訊號是大致持平。而且如你可能記得，過去五年我們一開始拿到的市場預測，後來通常都會下修約300到500個基點。

So our assumption is that we're not going to get any help from the market next year and maybe have a little bit of a headwind. So we're going to continue to do all the cost saving things that we just talked about with Tim, we're going to continue to leverage attrition to keep our costs in line and we're going to focus on the things we can control and that's driving innovation, that's taking great care of our customers and trying to get more content on house and get more shelf space and just continue to do the things that we've done over the last 70 years to drive good growth.

所以我們的假設是，明年市場不會給我們任何助力，甚至可能還會有一點逆風。因此我們會持續做剛才跟Tim談到的所有節省成本措施；我們也會繼續運用自然流失（attrition）來讓成本維持在合理水準；並且聚焦在我們能控制的事情上，也就是推動創新、把客戶服務做到最好、爭取在房屋內更多的產品配置（content on house）以及更多的貨架空間，並持續做過去70年來我們一直在做、用以帶動良好成長的那些事情。

Okay, thanks for that, Mike. And then just on the residential performance, it's kind of notable that it was positive despite the demand backdrop. Just curious whether there's anything from kind of a regional or mixed perspective that stood out.

好的，謝謝你，Mike。接著談到住宅端表現，在需求環境不佳的情況下仍然是正成長，這點蠻值得注意的。我想了解是否有任何在區域或產品組合（mix）方面特別突出的因素。

And then maybe more specifically, like you spoke to a couple of good-sized dealer conversions. I guess, is there a common thread there in terms of what's getting those customers over the hump or anything you're doing specifically that's driving those today?

另外更具體一點，你提到幾個規模不小的經銷商轉換（dealer conversions）。我想問的是，這些案例是否有什麼共同脈絡，例如是什麼讓那些客戶跨過門檻，或是你們目前有哪些特別作法在推動這些轉換？

So let's talk through the mix piece first, so housing starts again down in West Coast and South, Southeast, so the whole seismic hurricanes area. So that's providing a bit of a headwind. As you saw, housing starts in the Northeast are up, but we tend to have less content there.

那我們先談組合的部分。房屋開工數在西岸以及南部、東南部仍然下滑，也就是整個地震帶與颶風帶區域。因此這帶來一些逆風。如你所見，東北部的房屋開工數是上升的，但我們在那個區域的屋內產品配置（content）相對較少。

The good news is we do think Florida and California, two areas, we do have a lot of content in the house. We think that's roughly stabilized. So that is good news. It's not a headwind, which has been positive compared to a while ago. So we're feeling pretty good about that.

好消息是，我們確實認為佛羅里達與加州這兩個地區——我們在屋內有很多產品配置——已大致趨於穩定。所以這是好消息。它不再是逆風，相較於一段時間之前，這點是正面的。因此我們對此感覺相當不錯。

When you look at, when we look at the lumberyard conversions, we've got a big sales team out there. We've added warehouses to be able to focus on our customers and get closer to them. We can hit 95% of our ship-to locations within one day. Product availability is a big thing for our customers. We're very good at that. We continue to drive specs at through engineers and architects, and we continue to work with the builders to pull things through. So that business model that we've been driving again for the last 70 years just has us picking up more and more business with our customers because they see a lot of value when our team does.

再看木材行（lumberyard）的轉換，我們在外面有一支龐大的銷售團隊。我們也新增了倉庫，以便更聚焦服務客戶並更貼近他們。我們可以在一天內覆蓋95%的出貨目的地（ship-to locations）。產品供應可得性對客戶來說非常重要。我們在這方面做得非常好。我們也持續透過工程師與建築師推動規格採用（specs），並持續與建商合作把需求拉動出來（pull-through）。所以我們過去70年一直在推動的這個商業模式，讓我們持續從客戶那裡拿到越來越多的生意，因為他們看到我們團隊所帶來的很大價值。

Got it. And maybe just to follow-up on, given the existing share in the core connector business, like when we talk about conversions, should we picture that as being attaching more fastener business to those dealers or is it actually new locations that previously maybe weren't stocking?

了解。那我再追問一下，考量你們在核心連接件（connector）業務既有的市占，當我們談到「轉換」時，我們應該把它想像成在那些經銷商那裡搭售更多緊固件（fastener）業務，還是其實是一些以前可能沒有備貨的新據點？

Both. It's both. There are some dealers out there. So when we look at the top 150 Pro dealers, when that list comes out, of the dealers that carry products relevant to our product lines, we have 98% of them are buying our Simpson customers.

兩者都有。兩者都有。外面確實有一些經銷商。所以當我們看前150大的專業經銷商（Pro dealers）名單時，名單出來後，在那些販售與我們產品線相關產品的經銷商中，有98%都在向我們這些Simpson客戶採購。

So there are a couple where we are converting them over to our connector product line and then there are other dealers where we're tracking basically the sale of fasteners and anchors relative to the revenue from connectors and trying to make sure we have the proper amount of cross-selling activity, so we think there's some opportunity to expand in that area with some of our customers and that's certainly been helping the residential business grow.

所以其中有幾家我們正在把他們轉換到我們的連接件產品線；另外也有一些經銷商，我們會追蹤緊固件與錨栓（anchors）的銷售額相對於連接件營收的比例，並確保我們有適當的交叉銷售活動。因此我們認為在這方面對部分客戶仍有擴張機會，而這也確實一直在幫助住宅業務成長。

Perfect. Makes sense. Appreciate the color. Thank you.

完美。很合理。感謝補充說明。謝謝。

Thanks, Kurt.

謝謝你，Kurt。

Thank you. This concludes today's conference call. We thank you again for your participation. You may now disconnect your lines.

謝謝。今天的電話會議到此結束。再次感謝各位的參與。您現在可以掛斷電話線。