Sensata Technologies Holding PLC (ST) 2020 Q3 法說會逐字稿

Good morning, everyone, and welcome to the Sensata Technologies Q3 2020 Earnings Conference Call. (Operator Instructions). Please also note, today's event is being recorded.

大家早安，歡迎參加森薩塔科技 2020 年第三季財報電話會議。 （操作員說明）。另請注意，今天的活動正在錄製中。

At this time, I'd like to turn the conference call over to Mr. Jacob Sayer, VP of Finance. Sir, please go ahead.

現在，我想將電話會議轉交給財務副總裁 Jacob Sayer 先生。先生，請繼續。

Thank you, Jamie, and good morning, everyone. I'd like to welcome you to Sensata's Third Quarter 2020 Earnings Conference Call. Joining me on today's call are Jeff Cote, Sensata's CEO and President; and Paul Vasington, Sensata's Chief Financial Officer.

謝謝你，傑米，大家早安。歡迎您參加森薩塔 2020 年第三季財報電話會議。參加今天電話會議的還有森薩塔 (Sensata) 執行長兼總裁傑夫·科特 (Jeff Cote)；和保羅·瓦辛頓 (Paul Vasington)，森薩塔 (Sensata) 首席財務官。

In addition to the financial results press release we issued earlier today, we will be referencing a slide presentation during today's conference call. The PDF of this presentation can be downloaded from Sensata's Investor Relations website. We will post a replay of today's webcast shortly after the conclusion of today's call.

除了我們今天早些時候發布的財務業績新聞稿外，我們還將在今天的電話會議上引用幻燈片演示。本簡報的 PDF 版本可從森薩塔的投資者關係網站下載。我們將在今天的電話會議結束後不久發布今天網路廣播的重播。

As we begin, I would like to reference Sensata's safe harbor statement on Slide 2. During this conference call, we will make forward-looking statements regarding future events or the financial performance of the company that involve certain risks and uncertainties. The company's actual results may differ materially from the projections described in such statements. Factors that might cause such differences include, but are not limited to, those discussed in our forms 10-Q and 10-K, as well as other subsequent filings with the SEC.

在我們開始之前，我想引用幻燈片2 上的森薩塔安全港聲明。 。本公司的實際結果可能與此類聲明中所述的預測有重大差異。可能導致此類差異的因素包括但不限於我們在 10-Q 和 10-K 表格以及隨後向 SEC 提交的其他文件中討論的因素。

On Slide 3, we show Sensata's GAAP results for the third quarter of 2020. We encourage you to review our GAAP financial statements in addition to today's presentation. Most of the subsequent information that we will discuss during today's call will relate to our non-GAAP financial measures. Reconciliations of our GAAP to non-GAAP financial measures are included in our earnings release and in our presentation materials. The company provides details of its segment operating income on Slides 10 and 11 of the presentation, which are the primary measures management uses to evaluate the business.

在幻燈片 3 中，我們展示了森薩塔 2020 年第三季的 GAAP 業績。我們將在今天的電話會議中討論的大部分後續資訊將與我們的非公認會計準則財務指標有關。我們的 GAAP 與非 GAAP 財務指標的調整包含在我們的收益發布和簡報資料中。該公司在簡報的幻燈片 10 和 11 中提供了其部門營業收入的詳細信息，這是管理層用於評估業務的主要指標。

Jeff will begin with key highlights of our business during the third quarter and first 9 months of 2020. He will then provide an update on recent progress in our key Smart & Connected and Electrification Megatrends growth areas. Paul will cover our detailed financials for the third quarter of 2020, including organic and market outgrowth by business unit, describe our financial and balance sheet progress in the quarter and then provide select financial guidance for the fourth quarter of 2020. We'll then take your questions after our prepared remarks.

Jeff 將從 2020 年第三季和前 9 個月我們業務的主要亮點開始。 Paul 將介紹我們2020 年第三季度的詳細財務數據，包括按業務部門劃分的有機增長和市場增長，描述我們在本季度的財務和資產負債表進展，然後提供2020 年第四季度的精選財務指導。

Now I would like to turn the call over to Sensata's CEO and President, Jeff Cote.

現在我想將電話轉給森薩塔的執行長兼總裁傑夫·科特 (Jeff Cote)。

Thank you, Jacob, and welcome, everyone. I'd like to start with some summary thoughts on our performance, as outlined on Slide 4. The rebound from lockdowns and quarantines instituted by governments around the world was dramatic in our end markets during the third quarter. Our revenue grew 37% in the quarter sequentially to $788.3 million, even higher than the updated financial guidance that we provided on September 8. It is a strong testament to the flexibility and resiliency of our manufacturing model and supply chain that we were able to capitalize on improving markets and support our customers as they rapidly ramped up production during the quarter. I'd like to recognize the agility and hard work of our entire team in achieving these results.

謝謝你，雅各布，歡迎大家。首先，我想對我們的業績進行一些總結性思考，如投影片 4 所述。本季我們的營收季增 37%，達到 7.883 億美元，甚至高於我們 9 月 8 日提供的最新財務指引。改善市場並支持我們的客戶，因為他們在本季迅速提高了產量。我想對我們整個團隊為實現這些成果所表現出的敏捷性和辛勤工作表示認可。

We continue to deliver strong market outgrowth. For the 9 months of -- first 9 months of 2020, we delivered 840 basis points of outgrowth in our heavy vehicle off-road business and 610 basis points in our automotive business. We now believe that the inventory build by our automotive customers in the first half of the year was consumed in the third quarter.

我們持續實現強勁的市場成長。 2020 年前 9 個月，我們的重型車輛越野業務實現了 840 個基點的成長，汽車業務實現了 610 個基點的成長。我們現在認為，汽車客戶上半年建立的庫存已在第三季消耗殆盡。

We continue to be confident that we will sustain our market outgrowth for 2020 in the range of 600 to 800 basis points for our heavy vehicle off-road and 400 to 600 basis points for automotive, consistent with our long-term goals, and supported by our higher levels of new business wins.

我們仍然有信心，到 2020 年，我們的重型越野車市場成長將保持在 600 至 800 個基點，汽車市場成長 400 至 600 個基點，這與我們的長期目標一致，並得到了以下方面的支持：我們更高水準的新業務獲勝。

During the quarter, we closed over $95 million of new business wins, bringing us to more than $320 million year-to-date. This pace is tracking ahead of last year, and we believe our ability to close new business despite the disruptions of the pandemic or caused by the pandemic clearly demonstrates the mission-critical nature of Sensata's products.

本季度，我們贏得了超過 9,500 萬美元的新業務，使我們今年迄今的業務收入超過 3.2 億美元。這一步伐領先於去年，我們相信，儘管受到大流行病的干擾或由大流行病造成，我們仍然有能力關閉新業務，這清楚地表明了森薩塔產品的關鍵任務性質。

Sensata today is in a very strong financial position. We generated $100 million in free cash flow in the third quarter and $213 million year-to-date, and we have taken several steps to enhance our financial position and flexibility. We are aligning our cost structure to demand levels through our restructuring program and cost controls, expected to generate savings of $60 million to $65 million next year.

森薩塔如今的財務狀況非常強勁。我們在第三季創造了 1 億美元的自由現金流，今年迄今創造了 2.13 億美元的自由現金流，我們採取了多項措施來增強我們的財務狀況和靈活性。我們正在透過重組計劃和成本控制來調整我們的成本結構以適應需求水平，預計明年將節省 6000 萬至 6500 萬美元。

During the quarter, we raised $750 million in unsecured debt through a 10-year note issued at historically low interest rate of 3.75%, lowering our overall cost of capital and extending the maturity of our capital structure. And we repaid our revolving line of credit, lowering our interest cost, given improving financial markets and customer stability.

本季度，我們透過以 3.75% 的歷史低利率發行的 10 年期票據籌集了 7.5 億美元的無擔保債務，降低了我們的總體資本成本並延長了我們資本結構的期限。鑑於金融市場的改善和客戶的穩定性，我們償還了循環信貸額度，降低了利息成本。

Finally, as I will discuss in more detail momentarily, we continue to invest in our Megatrends growth initiatives and achieved a meaningful milestone in Smart & Connected. We recently reached agreement with the first fleet manager to install and operate our Smart & Connected suite of hardware and data services within their heavy commercial vehicles on a subscription basis enabling this effort to move from trials to commercialization.

最後，正如我將立即更詳細地討論的那樣，我們繼續投資於我們的大趨勢成長計劃，並在智慧與互聯方面實現了有意義的里程碑。我們最近與第一家車隊經理達成協議，以訂閱方式在其重型商用車中安裝和運營我們的智慧互聯硬體和數據服務套件，使這項努力能夠從試驗轉向商業化。

Additionally, our progress in our Megatrend -- electrification Megatrend continues to advance, not just in automotive and other electrified equipment but also in areas of smart grid infrastructure. Year-to-date, we have closed $140 million in electrification business wins.

此外，我們在電氣化大趨勢方面取得的進展不僅在汽車和其他電氣化設備領域，而且在智慧電網基礎設施領域也不斷向前發展。今年迄今為止，我們已贏得了價值 1.4 億美元的電氣化業務。

On Slide 5, I want to provide an update on the meaningful milestone we achieved in our Smart & Connected initiative. As we've shared before, we have been testing proof of concepts of our full stack technology offering with several leading fleet managers for the past year.

在投影片 5 上，我想提供有關我們在智慧互聯計畫中實現的有意義的里程碑的最新資訊。正如我們之前分享的那樣，去年我們一直在與幾家領先的車隊管理公司一起測試我們的全端技術產品的概念驗證。

Recently, we signed our first commercial agreement in the Smart & Connected space with a top 25 North American fleet manager, demonstrating our ability to move from selling hardware to providing data insight.

最近，我們與北美 25 強車隊經理簽署了智慧互聯領域的第一份商業協議，展示了我們從銷售硬體轉向提供數據洞察的能力。

The fleet manager has opted for a full subscription model paying for the hardware, maintenance and support and ongoing data analytics services on a monthly subscription basis per vehicle over the life of the agreement. While this initial award is small, we are planning to demonstrate the value we bring before fanning out across the remainder of their fleet. Several other proof-of-concept trials are also moving forward and toward commercialization, and we are confident that others will understand the value of our solution.

車隊經理選擇了完整的訂閱模式，在協議有效期內按每輛車每月訂閱的方式支付硬體、維護和支援以及持續數據分析服務的費用。雖然最初的獎勵金額很小，但我們計劃在向其機隊的其餘部分分發之前展示我們帶來的價值。其他幾個概念驗證試驗也在前進並走向商業化，我們相信其他人會理解我們解決方案的價值。

On this basis, we continue to believe that our Smart & Connected fleet management initiative opens $6 billion in addressable markets for Sensata by 2030. And we are very pleased that we've reached a new stage of initial commercialization with this exciting solution.

在此基礎上，我們仍然相信，到2030 年，我們的智慧互聯車隊管理計畫將為森薩塔打開價值60 億美元的潛在市場。 我們很高興透過這項令人興奮的解決方案進入了初始商業化的新階段。

In the new equipment space, we expect several leading OEMs to join this program expanding the $90 million in new business wins announced to date for Smart & Connected solutions. Additionally, we are investing in expanding our technological know-how in Smart & Connected. Moving beyond heavy commercial vehicles into light-duty vehicle prognostics, through third-party collaboration, adding to the long-term opportunities ahead of us with our differentiated solutions.

在新設備領域，我們預計多家領先的 OEM 廠商將加入該計劃，擴大迄今為止宣布的智慧連網解決方案 9,000 萬美元的新業務。此外，我們正在投資擴展我們在智慧與互聯方面的技術知識。透過第三方合作，從重型商用車轉向輕型車輛預測，透過我們的差異化解決方案增加眼前的長期機會。

Moving to Slide 6. In electrification, we are expanding the solutions we provide for critical applications across all end markets we serve. During the third quarter, we closed another $32 million in electrification new business wins, bringing our year-to-date total to $140 million. These business wins demonstrate important ongoing progress against our long-term target to transform the electrification Megatrend from opportunity to material revenue for Sensata.

前往投影片 6。第三季度，我們又贏得了 3,200 萬美元的電氣化新業務，使我們的年初至今總額達到 1.4 億美元。這些業務勝利表明我們在實現將電氣化大趨勢從機會轉變為森薩塔物質收入的長期目標方面取得了重要的持續進展。

This pace of business wins so far this year is much faster than last year despite the pandemic, and these wins are expected to generate significant revenue growth for Sensata in the coming years. For example, we are expanding our capabilities and charging infrastructure and smart grid applications through third-party collaboration. As overall electrification trends accelerate, the increased opportunities for our solutions across all end markets represents an estimated $6.5 billion addressable market for Sensata by 2030.

儘管發生了大流行，今年迄今為止的業務獲勝速度仍比去年快得多，預計這些勝利將在未來幾年為森薩塔帶來顯著的收入成長。例如，我們正在透過第三方合作擴展我們的能力、充電基礎設施和智慧電網應用。隨著整體電氣化趨勢的加速，我們的解決方案在所有終端市場上的機會不斷增加，到 2030 年，森薩塔的潛在市場預計將達到 65 億美元。

To date, we have closed electrification new business wins with some of the largest and the most innovative automotive OEMs around the globe. In our core markets, the average content on battery electric vehicle now materially exceeds that of the average combustion -- internal combustion vehicle. Sensata generates approximately $50 in content in these battery electric vehicles as compared to $38 to $40 on average in internal combustion engine vehicles, representing a significant growth opportunity for the company as electrified vehicles increase and become a larger portion of the vehicle fleet worldwide.

迄今為止，我們已經與全球一些最大、最具創新性的汽車原始設備製造商贏得了電氣化新業務。在我們的核心市場，純電動車的平均含量現在大大超過了內燃機汽車的平均含量。森薩塔在這些電池電動車中的產值約為50 美元，而內燃機汽車的產值平均為38 至40 美元，隨著電動車的增加並成為全球車隊中更大的一部分，這為該公司帶來了巨大的成長機會。

Sensata has the strongest offering in the segment for longer-range and shorter charge time electric vehicles. All evidence indicates that this is where the industry is heading.

森薩塔在續航里程更長、充電時間更短的電動車領域擁有最強大的產品。所有證據都表明這就是該行業的發展方向。

While the automotive space will be a large beneficiary of electrified Megatrends, the projected growth from widening electrification should benefit all of our end markets. We are pleased with our demonstrated progress against our Megatrend initiatives and intend to continue these efforts to expand Sensata's applications for these areas organically, through third-party collaboration and through acquisition.

雖然汽車領域將成為電氣化大趨勢的一大受益者，但擴大電氣化帶來的預期成長應該會讓我們所有的終端市場受益。我們對我們在大趨勢計劃方面所取得的進展感到高興，並打算繼續努力，透過第三方合作和收購，有機地擴展森薩塔在這些領域的應用。

We see numerous opportunities to utilize our strong financial position and significant cash flow to meaningfully expand our addressable markets through serial bolt-on acquisitions within the Megatrend areas. These acquisitions should bring unique offerings that position us to grow quickly in large and fast-growing markets. We continue to believe that investments in electrification and Smart & Connected will further our end market diversification, increase our long-term growth rate and provide important competitive advantages as these trends transform our world.

我們看到了許多機會，可以利用我們強大的財務狀況和大量現金流，透過大趨勢領域內的一系列補強收購來有意義地擴大我們的潛在市場。這些收購應該會帶來獨特的產品，使我們能夠在大型且快速成長的市場中快速成長。我們仍然相信，隨著這些趨勢改變我們的世界，對電氣化和智慧互聯的投資將進一步促進我們的終端市場多元化，提高我們的長期成長率並提供重要的競爭優勢。

I'd now like to turn the call over to Paul.

我現在想把電話轉給保羅。

Thank you, Jeff. Key highlights for the third quarter, as shown on Slide 8 include revenue of $788.3 million, a decrease of 7.2% from the third quarter of 2019. Organic revenue decreased 7.5%, largely due to the impact of the COVID-19 pandemic. Changes in foreign currency increased revenue by 0.3%, and sequentially from the second quarter, reported revenue increased 36.7%, reflecting a substantial rebound in our markets.

謝謝你，傑夫。如投影片 8 所示，第三季的主要亮點包括營收 7.883 億美元，較 2019 年第三季下降 7.2%。外幣變動使收入增加了 0.3%，從第二季開始，報告收入增加了 36.7%，反映出我們市場的大幅反彈。

Adjusted operating income was $154.8 million, a decrease of 22.4% compared to the third quarter of 2019, primarily due to lower revenues, lower productivity in our manufacturing operations, revenue mix and higher incentive compensation aligned to improve financial performance, partially offset by savings from cost reduction programs.

調整後營業收入為 1.548 億美元，與 2019 年第三季相比下降 22.4%，主要是由於收入減少、製造業務生產力降低、收入組合和旨在改善財務業績的更高激勵薪酬，部分被降低成本計劃。

Adjusted net income was $103.6 million, a decrease of 28.3% compared to the third quarter 2019. Adjusted EPS was $0.66 in the third quarter, a decrease of 26.7% compared to the prior year quarter.

調整後淨利為 1.036 億美元，較 2019 年第三季下降 28.3%。

On September 8, we updated our financial guidance for the third quarter based on shipments to date, our order book and market information available at that time. Throughout the quarter, we saw continued strengthening, especially within our North American and European automotive end markets, which enabled us to exceed the higher revenue and earnings guidance that we provided in September.

9 月 8 日，我們根據迄今為止的出貨量、訂單簿和當時可用的市場資訊更新了第三季的財務指引。整個季度，我們看到了持續的增強，特別是在北美和歐洲汽車終端市場，這使我們能夠超過 9 月提供的更高的收入和獲利指引。

Now I will discuss our performance by end market in the third quarter of 2020, as outlined on Slide 9. Overall, we reported an organic revenue decline of 7.5% year-on-year against an overall end market decline of approximately 12.3%, representing market outgrowth of 480 basis points for the company. Our industrial business decreased 2.2% organically as global industrial end markets remain weak. Strong growth in factory automation and medical equipment, which includes sensors for ventilator manufacturers, mitigated some of the market decline.

現在，我將討論我們在 2020 年第三季按終端市場劃分的業績，如幻燈片 9 所示。該公司的市場成長為480 個基點。由於全球工業終端市場依然疲軟，我們的工業業務有機下降 2.2%。工廠自動化和醫療設備（包括呼吸機製造商的感測器）的強勁成長緩解了部分市場下滑。

Our aerospace business decreased 24.4% organically from reduced OEM production and lower air traffic, which has negatively impacted our aerospace aftermarket business. New product launches, primarily in the defense market, partially offset the significant aerospace market decline.

由於 OEM 產量減少和空中交通量減少，我們的航空航太業務有機下降了 24.4%，這對我們的航空航太售後市場業務產生了負面影響。主要在國防市場推出的新產品部分抵消了航空航太市場的大幅下滑。

Our heavy vehicle off-road business posted an organic revenue decrease of 7.8%, representing 860 basis points of outgrowth as compared to a 16.4% end market contraction. Our China on-road truck business continued to post better-than-expected growth from accelerated adoption of NS6 emissions regulations.

我們的重型車輛越野業務的有機收入下降了 7.8%，與終端市場收縮 16.4% 相比，成長了 860 個基點。由於加速採用 NS6 排放法規，我們的中國公路卡車業務持續實現優於預期的成長。

While our China on-road business grew in the third quarter, we experienced substantial declines in both Europe and the Americas as production levels in these geographies declined year-over-year. Year-to-date, we have delivered 840 basis points of outgrowth in the heavy vehicle off-road business.

雖然我們的中國公路業務在第三季度有所增長，但我們在歐洲和美洲的業務卻出現了大幅下滑，因為這些地區的生產水平同比下降。今年迄今為止，我們的重型車輛越野業務已實現 840 個基點的成長。

Our automotive business posted an organic revenue decrease of 7.9%. Our automotive production was down 4.1% during the quarter, production ramped rapidly through the quarter, creating challenges to serve all the demand that was presented to us. This drove customers to work down inventory from their supply chain, which had a negative 6.7% impact on revenue. Against that backdrop, our automotive business had market outgrowth of 290 basis points as expected, led by continued new product launches and emissions, electrification and safety-related applications and system. Year-to-date, we have delivered automotive outgrowth of 610 basis points as compared with our long-term target range, 400 to 600 basis points.

我們的汽車業務有機收入下降 7.9%。本季我們的汽車產量下降了 4.1%，但產量在整個季度迅速增長，這給我們滿足所有需求帶來了挑戰。這促使客戶減少供應鏈中的庫存，這對收入產生了 6.7% 的負面影響。在此背景下，在新產品的持續推出和排放、電氣化和安全相關應用和系統的帶動下，我們的汽車業務市場成長如預期的 290 個基點。今年迄今為止，我們的汽車業務成長已達 610 個基點，而我們的長期目標範圍為 400 至 600 個基點。

Now I'd like to comment on the performance of our 2 business segments in the third quarter of 2020. I'll start with performance sensing on Slide 10. Our performance sensing business reported revenues of $580.9 million, a decrease of 7.6% compared to the same quarter last year. Excluding the positive impact from foreign currency of 0.3%, performance sensing organic revenue decreased 7.9%.

現在我想評論一下我們2020年第三季2個業務部門的業績。去年同一季度。剔除外匯帶來的 0.3% 的正面影響，績效感知有機收入下降 7.9%。

On a sequential basis, performance-sensing revenue grew a dramatic 51% in the second quarter as OEM customers ramped up production through the quarter to replace production loss for the prior quarter shutdowns. Sequentially from the second quarter, our automotive business reported an increase of 59% and our heavy vehicle and off-road business reported an increase of 26%, demonstrating the strength of the market rebound.

從環比來看，第二季度績效感測收入大幅成長了 51%，因為 OEM 客戶在整個季度提高了產量，以彌補上一季停產造成的生產損失。從第二季開始，我們的汽車業務成長了59%，重型車和越野業務成長了26%，市場反彈的力度強勁。

Performance sensing operating income was $151.6 million, a decrease of 10.9% as compared to the same quarter last year with operating margin of 26.1%. The decrease in segment operating income was due primarily to lower revenues which also contributed to productivity headwinds in manufacturing and unfavorable revenue mix, somewhat offset by savings from restructuring and other cost reduction actions.

性能感知營業收入為 1.516 億美元，較去年同期下降 10.9%，營業利益率為 26.1%。部門營業收入的下降主要是由於收入下降，這也導致了製造業生產力的不利因素和不利的收入結構，但在一定程度上被重組和其他成本削減措施帶來的節省所抵消。

Sequentially, performance sensing generated incremental margin of 46% on a higher revenue, despite the profit and margin headwind caused by second quarter temporary cost reductions not continuing.

隨後，儘管第二季臨時成本削減並未持續造成利潤和利潤率逆風，但性能感測在收入增加的情況下產生了 46% 的增量利潤率。

As shown on Slide 11, Sensing Solutions reported revenues of $207.4 million in the third quarter of 2020, a decrease of 6.2% as compared to the same quarter last year. Excluding the positive impact in foreign currency of 0.2%, Sensing Solutions organic revenue decreased 6.4%.

如投影片 11 所示，Sensing Solutions 報告 2020 年第三季營收為 2.074 億美元，比去年同期下降 6.2%。剔除 0.2% 的外匯正面影響，感測解決方案部門的有機收入下降 6.4%。

On a sequential basis, Sensing Solutions revenue grew 8% in the second quarter as OEM customers ramped up production through the quarter. Sequentially, from the second quarter, our industrial business reported an increase of 7%, and our aerospace business reported an increase of 17%.

由於 OEM 客戶在整個季度提高了產量，感測解決方案第二季度的收入環比增長了 8%。接下來，從第二季開始，我們的工業業務成長了7%，我們的航空航太業務成長了17%。

Sensing Solutions' operating income was $58.2 million, a decrease of 18.6% from the same quarter last year, with operating margin of 28.1%. The decrease in segment operating income was primarily due to lower revenues that also contributed to productivity headwinds in manufacturing and unfavorable revenue mix, somewhat offset by savings from restructuring and cost reduction actions.

Sensing Solutions的營業收入為5,820萬美元，較去年同期下降18.6%，營業利益率為28.1%。部門營業收入的下降主要是由於收入下降，這也導致了製造業生產力的不利因素和不利的收入結構，但在一定程度上被重組和成本削減行動帶來的節省所抵消。

Sequentially, Sensing Solutions generated incremental margins of 15% on the higher revenue, which reflects the impact of second quarter temporary cost reductions not continuing and unfavorable revenue mix within the segment.

隨後，感測解決方案在收入增加的基礎上實現了 15% 的增量利潤，這反映了第二季度臨時成本削減未能持續以及該部門內不利的收入組合的影響。

Corporate and other costs not included in segment operating income were $61 million in the third quarter of 2020. Excluding charges added back to our non-GAAP results, corporate and other costs were $53.4 million, an increase of $12.8 million from the prior year quarter due to higher global incentive compensation costs, aligned to our improving financial performance and higher Megatrend investments, somewhat offset by savings from cost reduction initiatives.

2020 年第三季度，未計入部門營業收入的公司和其他成本為6,100 萬美元。是更高的全球激勵薪酬成本，與我們不斷改善的財務業績和更高的大趨勢投資相一致，在一定程度上被成本削減舉措節省的成本所抵消。

Items added back to our non-GAAP corporate operating expenses include restructuring-related and other costs and financing and other transaction costs. Megatrend investments were $8.8 million during the third quarter, an increase of $3 million from the prior year quarter. We currently expect approximately $33 million in Megatrend-related spend this year in order to design and develop differentiated solutions for our customers that should generate substantial long-term growth and further our end market diversification.

新增回我們的非公認會計準則公司營運費用的項目包括重組相關成本和其他成本以及融資和其他交易成本。第三季 Megatrend 投資額為 880 萬美元，比去年同期增加 300 萬美元。目前，我們預計今年大趨勢相關支出約為 3,300 萬美元，以便為我們的客戶設計和開發差異化的解決方案，從而產生可觀的長期成長並進一步實現我們的終端市場多元化。

Historic operating profit and operating margins on slides 10 and 11 reflect a reclassification of Megatrend costs on the operating segments into corporate and other.

幻燈片 10 和 11 中的歷史營業利潤和營業利潤率反映了營運部門的 Megatrend 成本重新分類為企業和其他部門。

Slide 13 shows Sensata's third quarter 2020 non-GAAP results. Adjusted operating income was down 22.4% compared to the same quarter last year. Adjusted operating margin decreased 390 basis points to 19.6%, which is still near the top of our peer group and represents an attractive operating income margin profile, especially considering how the pandemic has affected operating conditions.

幻燈片 13 顯示了森薩塔 2020 年第三季非 GAAP 業績。調整後營業收入較去年同期下降 22.4%。調整後的營業利潤率下降了390 個基點，至19.6%，這仍然接近我們同行的最高水平，並且代表了一個有吸引力的營業收入利潤率狀況，特別是考慮到大流行對經營狀況的影響。

The decrease in adjusted gross profit and adjusted operating income largely reflects the lower revenues we have experienced due to the impact of the COVID-19 pandemic and the related operating and productivity challenges. We took action early during the pandemic to align our cost structure to a lower demand profile, while continuing to invest in Megatrends that are shaping our markets to be able to deliver long-term sustainable growth.

調整後毛利和調整後營業收入的下降很大程度上反映了由於 COVID-19 大流行的影響以及相關的營運和生產力挑戰而導致的收入下降。我們在疫情爆發初期就採取了行動，調整我們的成本結構以適應較低的需求狀況，同時繼續投資於塑造我們市場的大趨勢，使其能夠實現長期可持續增長。

Incentive compensation costs are also rising and are aligned to increasing operating income as our end markets continue recover from the low point in the second quarter of this year.

隨著我們的終端市場繼續從今年第二季的低點復甦，激勵薪資成本也在上升，並與營業收入的成長保持一致。

Adjusted net income declined 28.3%, compared to the same quarter last year. The decrease reflects lower adjusted operating income, higher interest expense related to our bond issuance in the third quarter of this year and higher taxes due to jurisdictional profit mix.

調整後淨利較去年同期下降 28.3%。這一下降反映了調整後營業收入下降、與今年第三季債券發行相關的利息支出增加以及司法管轄區利潤組合導致的稅收增加。

Finally, adjusted EPS was $0.66, down $0.24 or 26.7% as compared to the third quarter of 2019, as a decrease in adjusted net income was partially offset by the benefit of share repurchases in intervening periods.

最後，調整後每股收益為 0.66 美元，較 2019 年第三季下降 0.24 美元，即 26.7%，這是因為調整後淨利潤的下降被期間股票回購的收益部分抵消。

On Slide 14, we highlight the strong financial and balance sheet management of Sensata, during the pandemic that has resulted in improved liquidity. During the third quarter, we generated $100 million in free cash flow, representing a 96% conversion rate of adjusted net income. This brings free cash generation of $213 million year-to-date, representing a nearly 100% conversion rate.

在投影片 14 中，我們強調了森薩塔在疫情期間強有力的財務和資產負債表管理，從而改善了流動性。第三季度，我們產生了 1 億美元的自由現金流，調整後淨利的轉換率為 96%。今年迄今為止，這帶來了 2.13 億美元的自由現金生成，轉換率接近 100%。

Last quarter, we announced a series of actions to structurally reduce our semi-variable costs by about 10% to align our cost structure, to expected lower demand levels and to achieve expected $60 million, $65 million in savings from these actions. We achieved the targeted $7 million savings from these programs in the third quarter and expect to achieve $11 million to $12 million in savings during the fourth quarter.

上季度，我們宣布了一系列行動，從結構上將半可變成本降低約10%，以調整我們的成本結構，滿足預期的較低需求水平，並透過這些行動實現預期的6000 萬美元、 6500 萬美元節省。我們在第三季度透過這些計劃實現了 700 萬美元的節省目標，並預計在第四季度實現 1,100 萬至 1,200 萬美元的節省。

During the third quarter, we took advantage of historically low interest rates to raise $750 million through a 10-year unsecured notes offering. Expand the maturity of Sensata's debt profile and lowering our cost of capital, given improving end market conditions and strengthening financial markets, we repaid our revolving line of credit we had drawn in April.

第三季度，我們利用歷史低利率，透過發行 10 年期無擔保票據籌集了 7.5 億美元。鑑於終端市場狀況改善和金融市場走強，擴大森薩塔債務狀況的期限並降低我們的資本成本，我們償還了 4 月提取的循環信貸額度。

Sensata's net debt-to-EBITDA was 3.6x at the end of September, slightly above our target operating range of 2.5 to 3.5x. Our capital expenditure guidance for the full year 2020 is now $110 million to $120 million, $10 million lower than prior guidance based on the benefits of continued capital controls.

截至 9 月底，森薩塔的淨債務與 EBITDA 比率為 3.6 倍，略高於我們 2.5 至 3.5 倍的目標經營範圍。我們對 2020 年全年的資本支出指引目前為 1.1 億至 1.2 億美元，比先前基於持續資本管制的好處的指導減少了 1,000 萬美元。

Over the past 9 months, we have taken significant actions to strengthen our financial position with improving economics and business conditions. We are focusing on meaningfully expanding our addressable market through small, bolt-on acquisitions and partnerships and strengthen our position within both our existing business segments and our growing Megatrend initiatives. These acquisitions as well as partnerships and third-party collaborations should bring unique capabilities and offerings that position us well to intersect large and fast-growing markets. By way of example, building on the PRECO Electronics acquisition that we announced last quarter.

在過去的 9 個月裡，我們採取了重大行動，透過改善經濟和商業條件來增強我們的財務狀況。我們專注於透過小型補強收購和合作夥伴關係有意義地擴大我們的目標市場，並加強我們在現有業務領域和不斷發展的大趨勢計劃中的地位。這些收購以及合作夥伴關係和第三方合作應該會帶來獨特的能力和產品，使我們能夠很好地進入大型且快速成長的市場。舉例來說，以我們上季宣布的 PRECO Electronics 收購為基礎。

During the third quarter, we signed a partnership agreement with Uhnder for digital radar object detection for heavy vehicles to expand our heavy vehicle safety offerings.

第三季度，我們與 Uhnder 簽署了重型車輛數位雷達目標偵測合作夥伴協議，以擴展我們的重型車輛安全產品。

In February 2021, we'll evaluate an early redemption of our 6.25% notes due 2026, depending on market -- financial conditions at that time, and our stock repurchase program remains on hold.

2021 年 2 月，我們將根據當時的市場財務狀況評估是否提前贖回 2026 年到期的 6.25% 票據，而我們的股票回購計畫仍處於擱置狀態。

We are providing financial guidance for the fourth quarter of 2020, as shown on Slide 15. Our guidance assumes our customers and we can keep our manufacturing facilities open despite resurgence in the COVID-19 pandemic and potential government responses to try to prevent the spread of the virus.

We are providing financial guidance for the fourth quarter of 2020, as shown on Slide 15. Our guidance assumes our customers and we can keep our manufacturing facilities open despite resurgence in the COVID-19 pandemic and potential government responses to try to prevent the spread of病毒.

As a result of improving economic conditions and better stability and strength, customer order patterns, for the fourth quarter of 2020, we expect to generate revenue between $810 million and $850 million, representing a reported revenue decrease between 4% and flat year-on-year, and reported revenue increase between 3% and 8% sequentially from the third quarter. At the midpoint of guidance, we expect that foreign currency will increase revenues year-over-year by approximately $7.5 million. Excluding the impact of foreign currency, we expect to report an organic revenue decrease of 5% to 1% in the fourth quarter.

由於經濟狀況的改善以及客戶訂單模式的穩定性和實力增強，我們預計 2020 年第四季的營收將在 8.1 億美元至 8.5 億美元之間，報告營收年減 4% 至持平。營收季增3% 至8%。在指導的中點，我們預計外幣收入將年增約 750 萬美元。排除外匯影響，我們預計第四季有機收入將下降 5% 至 1%。

Our current fill rate is approximately 96% of the revenue guidance midpoint for the fourth quarter. Based on our third quarter experience, we see our fill as a more reliable indicator of revenue in the coming quarter.

我們目前的填充率約為第四季營收指引中位數的 96%。根據我們第三季的經驗，我們認為填充率是下一季營收的更可靠指標。

We also continue to monitor leading economic indicators and third-party forecasts to help form our view of future market demand. We expect to report adjusted operating income between $160 million and $176 million. On the bottom line, we expect to report adjusted net income between $100 million and $114 million, which would represent a decline of 29% to 20% compared to the fourth quarter of 2019.

我們也持續監測領先經濟指標和第三方預測，以幫助我們形成對未來市場需求的看法。我們預計調整後的營業收入將在 1.6 億美元至 1.76 億美元之間。總體而言，我們預計調整後淨利潤將在 1 億美元至 1.14 億美元之間，與 2019 年第四季相比下降 29% 至 20%。

We expect to report adjusted EPS between $0.64 and $0.72, which includes a $0.01 positive impact in foreign currency at the guidance midpoint.

我們預計調整後每股收益將在 0.64 美元至 0.72 美元之間，其中包括外幣對指導中點的 0.01 美元積極影響。

In summary, Sensata has delivered strong financial performance, for the first 9 months of 2020 despite the challenging environment, and we expect to continue -- this to continue into the fourth quarter as demonstrated by the financial guidance we're providing today. Driving this performance is our continued ability to achieve our secular market outgrowth targets, including 400 -- 400 to 600 basis points for our automotive business, 600 to 800 basis points for heavy vehicle business.

總而言之，儘管環境充滿挑戰，森薩塔在 2020 年前 9 個月仍實現了強勁的財務業績，我們預計這種情況將持續到第四季度，正如我們今天提供的財務指引所證明的那樣。推動這項績效的因素是我們持續實現長期市場成長目標的能力，包括汽車業務成長 400 - 400 至 600 個基點，重型汽車業務成長 600 至 800 個基點。

Now let me turn the call back to Jeff for closing comments. Jeff?

現在讓我把電話轉回傑夫以徵求結束意見。傑夫？

Thanks, Paul. I'll wrap up with a few key messages on Slide 16 before we go to Q&A. Sensata has responded very well to the rapid upswing in many of our end markets. Demonstrating the flexibility of our manufacturing base and the resiliency of our supply chain, enabling us to capitalize on the improving end markets. Our ability to respond quickly to shifting demand positions us very well as a trusted source for our customers.

謝謝，保羅。在進行問答之前，我將在投影片 16 上介紹一些關鍵資訊。森薩塔對我們許多終端市場的快速成長做出了很好的反應。展現我們製造基地的靈活性和供應鏈的彈性，使我們能夠利用不斷改善的終端市場。我們能夠快速回應不斷變化的需求，這使我們成為客戶值得信賴的來源。

We are delivering attractive end market outgrowth. We remain confident in our ability to continue to deliver this end market out growth for full year 2020 and expect to maintain this performance into the future based upon our strong new business wins.

我們正在提供有吸引力的終端市場成長。我們對 2020 年全年繼續實現終端市場成長的能力充滿信心，並期望基於我們強勁的新業務勝利，在未來保持這一業績。

We continue to deliver strong free cash flow, which demonstrates Sensata's resilient financial model. We continue to invest in Megatrends and other growth initiatives that are opening up large and rapidly growing opportunities for Sensata across all of our end markets, and we are making excellent progress as evidenced by the first commercial fleet adoption for our Smart & Connected fleet initiative, and by the $140 million in electrification new business wins so far this year.

我們持續提供強勁的自由現金流，體現了森薩塔富有彈性的財務模式。我們繼續投資於大趨勢和其他成長計劃，這些計劃為森薩塔在所有終端市場帶來了巨大且快速成長的機會，並且我們正在取得出色的進展，第一批商業車隊採用我們的智慧互聯車隊計劃證明了這一點，今年迄今為止，電氣化新業務已贏得 1.4 億美元。

In addition, we continue to believe that the overall market environment may provide interesting opportunities to further strengthen our portfolio through strategically important value-creating acquisitions. We are pursuing technology collaborations and partnerships with third parties to expand our technological capabilities, and accelerate our Megatrend commercialization.

此外，我們仍然相信，整體市場環境可能會提供有趣的機會，透過具有戰略意義的創造價值的收購進一步加強我們的投資組合。我們正在尋求與第三方的技術合作和夥伴關係，以擴大我們的技術能力，並加速我們的大趨勢商業化。

And finally, as we emerge from this recessionary period caused by the pandemic, while we may not return to peak margin rates in the short term, we do expect to deliver industry-leading margins for our shareholders, while increasing investments in our growth opportunities and in our people.

最後，隨著我們擺脫大流行造成的衰退期，雖然我們可能不會在短期內恢復到峰值利潤率，但我們確實希望為股東提供行業領先的利潤率，同時增加對成長機會和業務的投資。在我們的人民中。

Now I'd like to turn the call back to Jacob.

現在我想把電話轉回雅各。

Thank you, Jeff. Given the large number of listeners on the call, please limit yourself to one question each and a follow-up. If we have time, we'll circle back to the group for further questions. Jamie, please assemble the Q&A roster.

謝謝你，傑夫。鑑於電話會議中有大量聽眾，請限制自己每個問題一個問題和一個後續問題。如果有時間，我們會回到小組詢問進一步的問題。傑米，請整理問答名單。

(Operator Instructions) Our first question today comes from Mark Delaney from Goldman Sachs.

（操作員說明）今天我們的第一個問題來自高盛的馬克·德萊尼（Mark Delaney）。

The revenue guidance for 4Q is well above The Street and trends a very good improvement. I'm hoping the company can speak a bit more on some of the recent order trends that it has been witnessing. And I think the fill rate that's implied in that 4Q outlook is 96% compared to about 88% last year. So hoping to understand, is there something that Sensata has seen in its order book that is suggesting order rates are going to be slowing in the fourth quarter compared to what it experienced a year ago? Or is that simply conservatism to account for some of the uncertainty for factors such as COVID?

第四季的營收指引遠高於華爾街，趨勢有很大改善。我希望該公司能夠更多地談論它所目睹的最近的一些訂單趨勢。我認為第四季展望中隱含的填充率為 96%，而去年約為 88%。因此，我們希望了解，森薩塔在其訂單簿中是否發現了一些跡象表明第四季度的訂單率將比一年前有所放緩？或者這只是保守主義，以解釋新冠病毒等因素的一些不確定性？

Yes, Mark, thanks for the question. This is Jeff. And so there was a sequential recovery again into the fourth quarter, about a 5% sequential that leads us to about 2% off for fourth quarter versus last year. Obviously, auto continues to recover. HVOR notably turned positive from a revenue standpoint quarter-over-quarter that's been an 18-month trend on HVOR. Industrial tends to be a little seasonally lower in the fourth quarter. And obviously, the aero business, as we know, is still lagging, it's 23% down from last year.

是的，馬克，謝謝你的提問。這是傑夫。因此，第四季度再次出現環比復甦，環比增長約 5%，這導致第四季度與去年相比下降了約 2%。顯然，汽車繼續復甦。從收入的角度來看，HVOR 明顯轉為正值，環比增長，這是 HVOR 18 個月的趨勢。第四季工業生產往往略為季節性下降。顯然，正如我們所知，航空業務仍然落後，比去年下降了 23%。

You noted the fill rate, 96%. Absolutely, that's higher than it typically is. We do remain conscious regarding lockdowns. We all see the news about what's going on. On the positive side, we feel as though all of our customers have done an amazing job of figuring out how to continue to stimulate demand with their end customers. We've also all done a tremendous job in terms of keeping our supply chains open. But given those concerns and also given that the last couple of quarters have seen some volatility in order rates from the time we entered the quarter until when we exited the quarter, we are remaining a little cautious. But I'm very optimistic about where things would go.

您注意到填充率是 96%。當然，這比通常情況要高。我們確實對封鎖保持警戒。我們都看到有關正在發生的事情的新聞。從積極的一面來看，我們覺得我們所有的客戶在弄清楚如何繼續刺激最終客戶的需求方面都做得非常出色。我們在保持供應鏈開放方面也做了巨大的工作。但考慮到這些擔憂，以及過去幾季從我們進入本季到退出本季的訂單率出現了一些波動，我們仍保持謹慎態度。但我對事情的發展非常樂觀。

October started off quite strong, which gives us a view that things will continue to be strong. But just watching the news and making sure that we're being cautious about where things could go Mark.

十月開局相當強勁，這讓我們認為情況將繼續強勁。但馬克，只要關注新聞並確保我們對事情的發展保持謹慎即可。

That makes a lot of sense. And for my second question, I was hoping to better understand the EBIT margins. And Jeff, you made some comments about just being an industry leading margin, but maybe not quite peak rates. Maybe you can dive a little bit more into that topic. I mean, is there anything in the fourth quarter impacting margins that we should be aware of, you're investing in some of these Megatrends and talked about a lot of really exciting things there, but any incremental investments or other factors influencing margins in the fourth quarter? And any kind of commentary about what you may consider to be industry-leading, but not peak margins as you're thinking about next year, especially as you're starting to implement this -- more fully implement this cost reduction program?

這很有意義。對於我的第二個問題，我希望能更了解息稅前利潤率。傑夫，您發表了一些評論，稱其利潤率只是行業領先，但可能還沒有達到高峰。也許你可以更深入地探討這個主題。我的意思是，我們應該注意第四季度是否有任何影響利潤率的事情，您正在投資其中一些大趨勢，並在那裡談論了很多真正令人興奮的事情，但是任何增量投資或影響利潤率的其他因素第四季？以及關於您可能認為行業領先但不是您明年考慮的峰值利潤的任何評論，特別是當您開始實施這一計劃時 - 更全面地實施該成本削減計劃？

Mark, its Paul. Just thinking about the movement sequentially, we're going to see increased investment in Megatrends. And we've got some integration spend related to the PRECO acquisition. We still have the COVID sort of disruption that's happening in the supply chain. And then a little bit of higher incentive comp as our numbers continue to improve. So those would be the kind of headwinds against the stronger volume growth that we're seeing sequentially.

馬克，是保羅。只要按順序思考這個趨勢，我們就會看到大趨勢的投資增加。我們有一些與 PRECO 收購相關的整合支出。我們的供應鏈中仍有新冠疫情造成的破壞。隨著我們的數量不斷提高，我們會獲得更高的激勵補償。因此，這些將是我們連續看到的強勁銷售成長的阻力。

Our next question comes from Joseph Spak from RBC Capital Markets.

我們的下一個問題來自加拿大皇家銀行資本市場的 Joseph Spak。

Just wanted to talk about the restructuring to align to the demand and that is saving you $65 million. When you announced that, you talked about meeting some lower end market demand, but now it does appear that demand is recovering faster than expected, at least in some end markets. So are those numbers still valid? Or does some of that go away as you look forward?

只是想談談為適應需求而進行的重組，這將為您節省 6500 萬美元。當您宣布這一消息時，您談到了滿足一些低端市場的需求，但現在看來需求的恢復速度確實快於預期，至少在某些終端市場是如此。那麼這些數字還有效嗎？或者當你期待的時候，其中一些會消失嗎？

So Jeff, I can take it. It's Paul. The numbers are valid, they're related to restructuring actions, a lot of savings is people-related savings, we continue to execute on those restructuring programs. But not all done, as we said, we're implementing over the course of this year and well into next year. But the plan is to continue to implement those programs and generate that savings.

所以傑夫，我可以接受。是保羅。這些數字是有效的，它們與重組行動有關，大量節省是與人員相關的節省，我們將繼續執行這些重組計劃。但正如我們所說，還沒有全部完成，我們將在今年和明年實施。但計劃是繼續實施這些計劃並產生節省。

Some of that savings ultimately may get offset with a higher investment in our Megatrend initiatives, but that's to be determined as we develop our 2021 plan.

其中一些節省最終可能會被我們大趨勢計劃的更高投資所抵消，但這將在我們制定 2021 年計劃時確定。

Okay. And then just on the electrification, I was wondering, obviously some positive developments here with the awards and the higher CPV commentary. Can you just remind us how big the electrification business is today? And then aside from the higher CPV, what about the margin profile of that business? Because I assume it doesn't have the scale of the ICE business today. So where are they today and where can they go in the future?

好的。然後就電氣化而言，我想知道，顯然這裡有一些積極的進展，包括獎項和更高的 CPV 評論。您能否提醒我們當今的電氣化業務有多大？那麼，除了較高的每次觀看費用之外，該業務的利潤狀況又如何呢？因為我認為它沒有當今 ICE 的業務規模。那麼他們今天在哪裡，未來又會去哪裡呢？

Yes. So when you think about the total company, that's the way we think about the current electrification business and the opportunity for the business in terms of that $6.5 billion SAM. Electrification represents only about 5% when I think of the new trend of electrification. Obviously, we've got a -- our legacy control business that serves as a self-setting circuit breaker in the market. And I wouldn't necessarily include that in the broader electrification theme, but it's a small portion today, but it's very rapidly growing. And it's a target area that we're looking at around high-voltage components and broad grid infrastructure, which will be needed to really allow the Megatrend to continue to move in this direction.

是的。因此，當您考慮整個公司時，這就是我們考慮當前電氣化業務以及 65 億美元 SAM 業務機會的方式。當我想到電氣化的新趨勢時，電氣化只佔5%左右。顯然，我們有一個——我們的傳統控制業務，可以作為市場上的自動設定斷路器。我不一定會將其納入更廣泛的電氣化主題中，但它今天只佔一小部分，但成長非常迅速。這是我們正在圍繞高壓組件和廣泛的電網基礎設施關注的目標領域，這將是真正讓大趨勢繼續朝這個方向發展所必需的。

We're seeing very positive signs from our customers. Everybody has continued to invest in this trend, regulation continues to support this trend. Big NBO's almost half of our -- almost half of our NBO's thus far this year were in this area. And we're continuing to develop not only organic capabilities but also look at M&A to focus on this as well.

我們從客戶那裡看到了非常積極的跡象。大家都在持續投資這個趨勢，監管也持續支持這個趨勢。今年迄今為止，我們幾乎一半的大型 NBO 都在這個領域。我們不僅繼續發展有機能力，而且還專注於併購，以重點關注這一點。

Our next question comes from Nik Todorov from Longbow Research.

我們的下一個問題來自 Longbow Research 的 Nik Todorov。

Congrats on great results. I was wondering if you can talk a little bit about the -- you mentioned unfavorable mix in both performance and in sensing. Maybe can you unpack that a little bit and talk about the puts and takes into the fourth quarter gross margin? And maybe how much of COVID costs expect into the fourth quarter? I think, Paul, you mentioned about $60 million or $65 million in the third Q.

祝賀取得了很好的成績。我想知道您是否可以談談您提到的性能和感測方面的不利組合。也許您可以稍微展開一下，談談第四季度毛利率的看跌期權和認購期權？預計第四季的新冠疫情成本是多少？我想，保羅，你在第三個問題中提到了大約 6000 萬美元或 6500 萬美元。

The mix is -- we've got performance sensing business that's auto and HVOR and that the Industrial Aerospace business the latter being more profitable. As we look for Q3 to Q4, you can see this is pretty significant decline, which is seasonal and normal in nature in our industrial business. And our aerospace business still continues to be down, as Jeff mentioned, almost 22%, 23% year-over-year. So those 2 parts of our business are driving down the unfavorable revenue mix to some extent. It's also our automotive business is really recovering very quickly, and that is our lower-margin business when you think of the 4 segment business units that we have.

組合是——我們有汽車和 HVOR 等性能感測業務，以及工業航空航天業務，後者利潤更高。當我們觀察第三季到第四季時，您可以看到這是相當顯著的下降，這在我們的工業業務中是季節性的和正常的。正如 Jeff 所提到的，我們的航空航太業務仍持續下降，年減近 22%、23%。因此，我們業務的這兩個部分在某種程度上減少了不利的收入組合。我們的汽車業務也確實正在快速復甦，當你想到我們擁有的 4 個細分業務部門時，這是我們利潤率較低的業務。

So it's just a dynamic of where they are in terms of recovery cycle and the probability across the portfolio of businesses so far that's driving that mix.

因此，推動這種組合的只是它們在復甦週期和迄今為止業務組合的機率方面所處的動態。

COVID cost was the second question.

新冠疫情成本是第二個問題。

Yes. So COVID cost. They've been running somewhere in the $5 million to $10 million a quarter. It's just depending on just -- its labor inefficiencies or logistics inefficiencies, the supply chains have been disrupted, and it's all the elevated costs related to protecting our place. So they're running $5 million to $10 million on average in every quarter. Some more -- some quarters were a bit higher than that, somewhere in the lower end of that range.

是的。所以新冠病毒成本。他們每季的營運成本在 500 萬至 1000 萬美元之間。這僅取決於——勞動力效率低下或物流效率低下，供應鏈被破壞，以及與保護我們的地方相關的所有成本上升。因此，他們每季平均運行 500 萬至 1000 萬美元。還有一些——有些季度比這個高一點，處於該範圍的下限。

Our next question comes from Amit Daryanani from Evercore.

我們的下一個問題來自 Evercore 的 Amit Daryanani。

I guess, first off, just on the December quarter guide, I think the implied assumption is auto production is down 4%, 5% in December. Could you just maybe talk about what are the geographical assumptions over there for auto production? And I'm curious, do you think this guide could prove to be as conservative as the one you had in September because inventory in the auto ecosystem still seems to be fairly lean at this point.

我想，首先，就 12 月季度指南而言，我認為隱含的假設是 12 月汽車產量下降 4%、5%。您能否談談那裡汽車生產的地理假設是什麼？我很好奇，您認為本指南是否會像 9 月的指南一樣保守，因為目前汽車生態系統中的庫存似乎仍然相當少。

Yes. So let me touch on where we think automotive will be -- I think you got it right, about 4%, 5% down year-on-year in the fourth quarter. North America, we're calling it about down 3% versus fourth quarter last year, Europe 2%. So a pretty significant snapback in terms of performance sequentially in Europe. China is down, right? So that's another big change as China was in a growth mode and now is down 7% versus fourth quarter of last year. And then Japan and Korea are down 8%, 10% as well.

是的。因此，讓我談談我們對汽車產業的看法——我認為你說得對，第四季同比下降約 4%、5%。北美地區與去年第四季相比下降了約 3%，歐洲地區下降了 2%。因此，就歐洲的連續表現而言，這是一個相當顯著的回升。中國已經衰落了，對嗎？因此，這是另一個重大變化，因為中國正處於成長模式，但現在比去年第四季下降了 7%。然後日本和韓國也下降了8%、10%。

I note that from an overall production rate, it is an improvement during the fourth quarter, about 1.7 million units based upon Sensata's mix, but still lower than where they were fourth quarter of last year.

我注意到，從整體生產力來看，第四季有所改善，根據森薩塔的組合，產量約為 170 萬台，但仍低於去年第四季的水平。

And I would just add that we're pretty much on top of the IHS estimates for Q4 that we adjust our business mix compared to the production that is in the IHS estimates, you'll see a little bit more negativity on the market than what you would see on pure IHS numbers when you exclude Toyota.

我想補充一點，我們幾乎在 IHS 對第四季度的預測之上，與 IHS 預測中的生產相比，我們調整了我們的業務組合，你會看到市場上的負面情緒比當您排除豐田時，您會在純IHS 數據中看到。

That's really helpful. And I guess as a follow-up, I mean, you guys have had a really impressive recovery, I think, from the bottoms of COVID over here operationally. So I'd love to get your perspective on what do you think gets you to go back to the buyback program and reinitiate that? What triggers that? Are you trying to wait for end market and demand to get better? Or are you trying to wait for the debt pay down to happen? I guess what triggers the buyback to come back would be helpful to understand?

這真的很有幫助。我想，作為後續行動，我認為，你們從這裡的新冠疫情谷底開始，已經取得了令人印象深刻的恢復。所以我很想聽聽您的看法，您認為是什麼讓您回到回購計劃並重新啟動該計劃？是什麼觸發了這個？您是否正在等待終端市場和需求改善？或者您正在等待債務償還？我想是什麼觸發了回購會有助於理解？

I think we tried to lay out for you how we're thinking about capital deployment going forward. Really excited about the opportunities on the M&A side and continue to grow our businesses and into the Megatrend issues either organically or inorganically. So that's probably -- if you think of the priority, that's where the priority is right now. The call of the 6.25% is a highly NPV driven transaction. So we like the economics around doing that. But that will be determined like if assuming economic conditions remain good, certainly would be interested in getting that value for the company. I think share repurchases are still an important part of our capital deployment strategy. You see them as a third leg in the third of the 3 options that we have right now. Still important, but probably deemphasizing that a bit from work from the other 2.

我認為我們試圖向您展示我們如何考慮未來的資本部署。對併購方面的機會感到非常興奮，並繼續發展我們的業務，並以有機或無機的方式解決大趨勢問題。所以這可能是——如果你想到優先級，那就是現在的優先級。 6.25% 的贖回是一項高度 NPV 驅動的交易。所以我們喜歡這樣做的經濟學。但這將取決於假設經濟狀況保持良好，肯定會對公司獲得這一價值感興趣。我認為股票回購仍然是我們資本配置策略的重要組成部分。您將它們視為我們現在擁有的三個選項中的第三個選項中的第三條腿。仍然很重要，但可能從其他兩個人的工作中弱化了這一點。

Our next question comes from Samik Chatterjee from JPMorgan.

我們的下一個問題來自摩根大通的 Samik Chatterjee。

This is Bharat on for Samik. So just one question from me. If I look at your 4Q guidance. Sensing solutions, you expect the end market to decline 13% to 14%. So if you could just help us think about between industrial and aerospace what are you thinking about like each segments? How much improvement you're expecting in industrial? And within aerospace, I mean, defense continues to be strong, like are you seeing any signs of hitting in the other subsegments there within aerospace?

這是巴拉特 (Bharat) 代表薩米克 (Samik) 發言。我只想問一個問題。如果我看看你的第四季指引。感測解決方案，您預計終端市場將下降 13% 至 14%。那麼，如果您能幫助我們思考工業和航空航太之間的關係，您對每個細分市場有何看法？您期望工業方面有多大改進？我的意思是，在航空航太領域，防禦仍然很強大，就像你看到航空航太領域其他細分市場受到打擊的跡像一樣嗎？

Sure. Yes, sure. So on the industrial side, fourth quarter is still about 9% down from prior year on a revenue basis. That's seasonally, usually, the fourth quarter is a little bit lower for the industrial business. And then on the aerospace side, it's still down pretty dramatically, 26% versus prior year. So that's what we're seeing in terms of the end markets there. So Paul, do you want to add anything to that?

當然。是的，當然。因此，在工業方面，第四季的營收仍比去年同期下降約 9%。這是季節性的，通常工業企業第四季的情況會稍微低一些。然後在航空航天方面，仍然大幅下降，與去年相比下降了 26%。這就是我們在終端市場上看到的情況。保羅，你想補充什麼嗎？

No, I think that covers it.

不，我認為這涵蓋了它。

Our next question comes from Luke Junk from Baird.

我們的下一個問題來自貝爾德 (Baird) 的盧克垃圾 (Luke Junk)。

First, just wanted to better understand the first commercial agreement for your heavy vehicle and off-road Smart & Connected fleet management offering. Maybe if you could just comment on how the revenue breaks down from a -- just a model standpoint between the more onetime aspects in terms of sort of front-end sales and the recurring piece? And then you also cite $90 million of Smart & Connected business wins in total year-to-date. And just wondering if you could provide a little more color on that as well.

首先，我只是想更了解重型車輛和越野智慧連網車隊管理產品的第一份商業協議。也許您可以從前端銷售和經常性部分的一次性方面之間的模型角度來評論收入如何細分？然後，您還提到了今年迄今為止智慧與互聯業務的總價值為 9000 萬美元。只是想知道你是否也可以提供更多的顏色。

Yes. I'd be glad to. So it's a first commercial experience with this in terms of closing business. And as I'm sure you know, fleets don't do a big bang in terms of how they roll this out. They start with a pilot, they roll it out to additional vehicles, and then they continue to expand that over time. And that's what we would expect across not only this one fleet manager that we've engaged with, but the others that we're in the process of having pilots with.

是的。我很樂意。因此，就關閉業務而言，這是第一次商業經驗。我相信你知道，艦隊在如何推出這一點方面並沒有造成什麼大的轟動。他們從試點開始，將其推廣到更多車輛，然後隨著時間的推移繼續擴展。這不僅是我們對與我們合作的機隊經理的期望，也是對我們正在招募飛行員的其他人的期望。

So it's a small start. That's a small revenue base to start with, but it's a clear indication that the solution provides value and the fleet managers are engaging with us to roll it out. And as I mentioned, a lot of these fleets in the aftermarket have tens of thousands of vehicles, right. So the magnitude of the addressable market that we've talked about of $6 billion is real based upon a conservative view of fan-out across that market.

所以這是一個小小的開始。雖然收入基礎很小，但它清楚地表明該解決方案提供了價值，車隊經理正在與我們合作推出該解決方案。正如我所提到的，售後市場中的許多車隊擁有數萬輛汽車，對吧。因此，根據對該市場扇出的保守觀點，我們所討論的 60 億美元的潛在市場規模是真實存在的。

And so different fleet managers will choose different business models and contract structures on this. So this particular fleet manager wanted a full subscription basis. So in that environment, we buy the equipment or build the equipment. We work together to install it, and then they pay us on a subscription basis over a 6- or 7-year time frame. Others will choose to buy equipment upfront and then just pay for data services.

因此不同的車隊經理會在此選擇不同的商業模式和合約結構。因此，這位特定的車隊經理想要一個完整的訂閱基礎。因此，在這種環境下，我們購買設備或建造設備。我們一起安裝它，然後他們在 6 或 7 年的時間範圍內按訂閱方式向我們付款。其他人會選擇預先購買設備，然後只支付數據服務費用。

So every model will be slightly different and will tailor it to the interest and the desire of the individual fleet manager. I'm very excited about the opportunity, very excited about bringing it to commercialization in a very short period of time, and looking forward to providing more updates as we continue to fan this out with other customers and with this particular customer.

因此，每種型號都會略有不同，並將根據各個車隊經理的興趣和願望進行客製化。我對這個機會感到非常興奮，對於在很短的時間內將其商業化感到非常興奮，並期待在我們繼續與其他客戶和這個特定客戶展開合作時提供更多更新。

So Luke had mentioned as well, the $90 million in NBOs. It is important to note Luke that's in the OEM market rather than in the aftermarket. So those will be with the truck and trailer manufacturers rather than the fleet manager. So more traditional hardware sale from Sensata.

盧克也提到了 NBO 中的 9000 萬美元。值得注意的是，Luke 是在 OEM 市場而不是售後市場。因此，這些將由卡車和拖車製造商而不是車隊經理負責。因此，森薩塔的五金銷售更為傳統。

Right, great point, Jacob. So it's important to note, and we've talked about this in the past, but the foundation of our Smart & Connected initiative here is around tire pressure and in an on-road truck environment there are unique requirements associated with enabling tire pressure, which introduces the notion of a hub or a vehicle area network, which is the foundation for collecting lots of additional sensor data to feed information and insight into the cloud. So that's the part that's being implemented in OEM's and we're doing the same thing in aftermarket with a broader suite of offering.

是的，很好，雅各。因此，值得注意的是，我們過去已經討論過這一點，但我們的智慧互聯計劃的基礎是圍繞輪胎壓力，在公路卡車環境中，存在與啟用輪胎壓力相關的獨特要求，這引入了集線器或車輛區域網路的概念，這是收集大量附加感測器資料以向雲端提供資訊和洞察的基礎。這就是 OEM 中正在實施的部分，我們也在售後市場上做同樣的事情，提供更廣泛的產品套件。

Okay. That's super helpful. And then maybe just as a follow-up, maybe more of a hypothetical. So the U.S. election coming next week, if, of course, there's a change of administration. Biden has signaled that he would move to rise fuel economy standards fairly sharply, above even the prior level contemplated under the Obama administration. Can you just talk about what that impact might look like in your business in terms of the clean and efficient driver? And ultimately, how does Sensata win the stricter fuel economy standards in the U.S. potentially?

好的。這非常有幫助。然後也許只是作為一個後續行動，也許更多的是一個假設。因此，美國大選將於下週舉行，當然，如果政府發生更迭的話。拜登已表示，他將大幅提高燃油經濟性標準，甚至高於歐巴馬政府先前設想的水平。您能否談談清潔高效的驅動程式對您的業務可能產生的影響？最終，森薩塔如何贏得美國更嚴格的燃油經濟性標準？

Yes. It's -- regulation and environmental policy is a long-term game. And it's not something that can change overnight. But the trends are very positive in terms of being favorable to what it is that we offer as a company, what our value proposition is.

是的。監管和環境政策是一場長期博弈。這不是一朝一夕就能改變的。但就我們作為一家公司所提供的產品和我們的價值主張而言，這些趨勢是非常正面的。

And I would view that a tilt toward more environmentally friendly and more regulatory-driven policy would, over time, be quite positive for us as a company. And so hard to know exactly how that will fan-out. But certainly, we feel as though, even with the current administration, the opportunities are significant if there's a shift toward more conservative policies from an environmental standpoint, it could -- it has to help us in the long run.

我認為，隨著時間的推移，向更環保和更加監管驅動的政策傾斜將對我們作為一家公司非常積極。很難確切地知道它將如何展開。但當然，我們認為，即使在現任政府的領導下，如果從環境角度轉向更保守的政策，機會也是巨大的，從長遠來看，它必須幫助我們。

Our next question comes from David Kelley from Jefferies.

我們的下一個問題來自 Jefferies 的 David Kelley。

I guess first one, starting with automotive. I believe in the prepared remarks, you referenced challenges to support outsized customer demand ramp. Just curious if there were any onetime costs such as overtime in the quarter to meet the more aggressive industry snapback than we all expected?

我想第一個，從汽車開始。我相信在準備好的發言中，您提到了支持超大客戶需求成長的挑戰。只是好奇是否有任何一次性成本，例如本季的加班費，以滿足比我們預期更激進的行業反彈？

No. No, David. It's just -- we run our business very lean, managing our cost of demand as tightly as possible. And with the rapid improvement in the end market, and we weren't able to serve all the demand that our customers were ordering for product. And so that had some of an impact on the amount of revenue we were able to generate in the quarter. Long-cycle business, we've got some long lead-time items. It takes a little time to get caught up and we'll get caught up, but it did create a little bit of a bump in terms of our ability to generate all the demand that was out there.

不，不，大衛。只是——我們的業務運作非常精益，盡可能嚴格地管理我們的需求成本。隨著終端市場的快速發展，我們無法滿足客戶訂購產品的所有需求。因此，這對我們本季能夠產生的收入產生了一些影響。長週期業務，我們有一些交貨時間長的項目。需要一點時間才能趕上，我們也會趕上，但它確實對我們產生所有需求的能力產生了一點影響。

Yes. And the only thing I'd add to that is that in the third quarter, you know that the trend improved dramatically through he quarter. And so, given the guide that we provided when we -- in July, you could probably sense that July was strong, but not as strong as September. And so the growth of demand during the quarter was quite strong. We're going to approach that a little bit differently in the fourth quarter, given that the demand is there.

是的。我唯一要補充的是，在第三季度，您知道整個季度的趨勢急劇改善。因此，根據我們在 7 月時提供的指南，您可能會感覺到 7 月很強勁，但不如 9 月那麼強勁。因此，本季的需求成長相當強勁。鑑於需求的存在，我們將在第四季度採取稍微不同的方法。

So October, we're starting out strong to make sure that we don't have a December that has a high demand that creates challenges to deliver. But again, you want to go back to the team's efforts on this managing through a very steep decline in the second quarter and managing costs and everything that needs to be done as a result of that and then the snapback managing that, a real testament to the team's capabilities.

因此，我們在 10 月開始就採取了強有力的措施，以確保 12 月的需求不會很高，從而為交付帶來挑戰。但同樣，你想要回到團隊在第二季度急劇下降、管理成本以及因此需要做的一切方面所做的努力，然後快速恢復管理，這真正證明了團隊的能力。

Okay. Great. That's super helpful. And maybe as a follow-up, in line with that demand discussion. Should we think about outgrowth in auto is beginning to normalize? You target 4% to 6% -- 4% to 6% range go forward, or should we expect some ongoing variability as production slowly or perhaps continue to aggressively returns back to normal?

好的。偉大的。這非常有幫助。也許作為後續行動，符合該需求討論。我們是否應該考慮汽車業的成長正在開始正常化？您的目標是 4% 至 6%——未來 4% 至 6% 的範圍，或者我們應該預期隨著產量緩慢或可能繼續積極恢復正常而出現一些持續的變化？

We had called out that the third quarter would be a little bit lower for auto, given COVID-related launch delays, right, in the second quarter as customers were preparing for launch in the third and fourth quarter. They had some challenges in terms of people being able to do what they needed to in terms of testing products and so forth and preparing for launch.

我們曾指出，考慮到與新冠病毒相關的發布延遲，汽車第三季度的銷量將會略低一些，因為客戶正在為第三季度和第四季度的發布做準備，所以第二季度的發布延遲了。他們在人們能夠在測試產品等方面做他們需要做的事情以及準備發布方面遇到一些挑戰。

So we called that out. That became true, 290 basis points of outgrowth in the third quarter for the automotive business. Fortunately, our other businesses offset it. So as a company, we were at 520 basis points of outgrowth.

所以我們大聲疾呼。這成為現實，汽車業務第三季成長了 290 個基點。幸運的是，我們的其他業務抵消了這一影響。因此，作為一家公司，我們的成長率為 520 個基點。

There's always some level of variability by quarter, by business. But again, I would point to the fact that given that we are a long-cycle business for most of our end markets that we serve, we are able to see what that outgrowth is going to look like. They plan for these launches. And we know what the new business wins are. So we have a high degree of confidence in long-term being able to maintain in that range, not necessarily in any given quarter, but long-term, for sure.

每個季度、每個業務總是存在一定程度的變化。但我想再次指出一個事實，鑑於我們所服務的大多數終端市場都是長週期業務，我們能夠看到這種成長會是什麼樣子。他們計劃這些發射。我們知道新業務的勝利是什麼。因此，我們對長期能夠維持在這個範圍內充滿信心，不一定在任何特定季度，但肯定是長期的。

Next question comes from Brian Johnson from Barclays.

下一個問題來自巴克萊銀行的布萊恩·約翰遜。

Very quick housekeeping question, and then the real question. The housekeeping question is, is there anything changing between operating income and EPS in the fourth quarter? Just my math, I'm getting a little lighter EPS than implied by the EBIT upside versus consensus.

非常快速的內務問題，然後是真正的問題。內務問題是，第四季的營業收入和每股盈餘之間有什麼變化嗎？只是我的計算，我得到的每股盈餘比息稅前利潤上漲與共識所暗示的要低一些。

I think for all the lines, you have 3 things that drive it. It's balance sheet, hedging of currency, exposures. Obviously, interest expense is rising because of the new bond deal, which is a higher coupon than the revolver. And taxes are arising a little bit in terms of mix.

我認為對於所有的產品線來說，有 3 個因素驅動它。它是資產負債表、貨幣對沖、風險敞口。顯然，由於新債券交易的票面利率高於左輪手槍，利息支出正在上升。就混合而言，稅收也有所增加。

Okay. Second question, on the electrification offset that you outlined, are those in actual vehicles right now? Or is it more the products on your shelves have those potential?

好的。第二個問題，關於您所概述的電氣化抵消，目前這些抵消是在實際車輛中嗎？還是您貨架上的產品更有這些潛力？

I'm sorry, the potential for what? In terms of the...

抱歉，潛力是什麼？就...而言

Perceived to be offset.

感覺被抵銷了。

I got you. So the $50 of content you're referring to?

我接到你了。那您指的是 50 美元的內容呢？

Right. Is that something that actually customers have filled on? Or you just have a shelf in your store that they could if they wanted there to get back to?

正確的。這是客戶實際填寫的內容嗎？或者你的商店裡只有一個貨架，如果他們想回到那裡就可以？

No, no, no. No. So these are designed in products for vehicles, for battery electric vehicles that have 50 or greater of content in them. And it's not just we have a product for when and if they chose to buy it. So it's designed in, it's sold business that generates that content per vehicle.

不，不，不。不會。不僅僅是我們有一款產品供他們選擇何時購買以及是否選擇購買。因此，它的設計目的是出售為每輛車產生該內容的業務。

Okay. And if you were to think about the market share of these opportunities versus what in your sensors that go in the combustion engine equipment. Do you see any meaningful difference, more concentrated, less concentrated spots?

好的。如果您要考慮這些機會的市場份額與內燃機設備中感測器的市場份額。您是否看到任何有意義的差異，更集中、不太集中的點？

Yes. Well, a little -- the wins on the electrification side tend to be a little more lumpy. And what I mean by that is they're bigger because the platforms that our customers are creating tend to be larger and panned out across a larger number of vehicles. So the wins are a little bit more lumpy. Therefore, the product categories tend to be a little bit more lumpy as well in terms of the overall opportunity. But there are many opportunities in the electrified vehicle space that we're either serving today or pursuing that we believe will continue to allow us to -- will benefit from this trend that we're seeing.

是的。好吧，有一點——電氣化方面的勝利往往更加不穩定。我的意思是它們更大，因為我們的客戶正在創建的平台往往更大並且適用於更多數量的車輛。所以勝利有點不穩定。因此，就整體機會而言，產品類別往往也更加混亂。但在電動車領域，我們今天正在服務或正在追求的機會有很多，我們相信這些機會將繼續讓我們從我們所看到的趨勢中受益。

Yes. And just final follow-up question there. GM announced the LTM skateboard with wireless battery sensing. It was a different company though they highlighted publicly [Advanced Micro] (corrected by the company after the call), for the solution. Does that mean that -- do you still have an opportunity on the GM platform? Is that a competitor in a year? Or did they just choose to highlight a different part of the platform that's not quite the same as what you're selling?

是的。還有最後一個後續問題。通用汽車推出了具有無線電池感應功能的 LTM 滑板。這是一家不同的公司，儘管他們公開強調了[Advanced Micro]（在電話會議後由公司更正）來尋求解決方案。這是否意味著──你們在通用汽車平台上還有機會嗎？這是一年後的競爭對手嗎？或者他們只是選擇強調平台的不同部分，與您所銷售的內容不太一樣？

For battery management, it's not us that's doing battery management, but we're certainly -- we have an opportunity to serve other components within GM for that platform.

對於電池管理，不是我們在做電池管理，但我們當然有機會為通用汽車內部該平台的其他組件提供服務。

Our next question comes from Wamsi Mohan from Bank of America.

我們的下一個問題來自美國銀行的瓦姆西·莫漢 (Wamsi Mohan)。

Can you maybe talk about how we should think about incremental margins heading into 2021, especially given that you have some material cost initiatives that you have underway going into next year? And I have a quick follow-up.

您能否談談我們應該如何考慮進入 2021 年的增量利潤，特別是考慮到您明年正在進行一些材料成本計劃？我有一個快速的跟進。

Wamsi, its Paul. So we're not going to be obviously giving guidance yet for '21, but I will say that with the growing volume, we do expect if the volume does continue at this pace, that it would drive nice incremental margins from that incremental volume if we stay at these levels. Obviously, the repositioning actions will help. We're going to continue to invest in the Megatrends, in our growth initiatives, and as Jeff talked about we are continuing to invest in our people. We have a pay for performance model. So with greater profitability, greater incentives, compensation within the P&L next year.

萬西，是保羅。因此，我們不會明顯地為21 年提供指導，但我會說，隨著銷量的增長，我們確實預計，如果銷量確實以這種速度繼續下去，那麼它將從增量中帶來可觀的增量利潤，如果我們保持在這些水準。顯然，重新定位行動會有所幫助。我們將繼續投資於大趨勢、投資於我們的成長計劃，正如傑夫所說，我們將繼續投資於我們的員工。我們有績效工資模式。因此，明年的損益表中將有更大的獲利能力、更大的激勵措施和補償。

So I do think margins will expand next year if revenues continue at these levels.

因此，我確實認為，如果收入繼續保持在這些水平，明年的利潤率將會擴大。

So Paul, just to clarify though, the conversion rate itself, the incremental margin conversion rate itself, the drop-through should be higher than historical on those incremental?

所以保羅，只是想澄清一下，轉換率本身，增量利潤率轉換率本身，下降率應該高於這些增量的歷史記錄？

For a period of time, that's right. For a period of time, maybe I would say, it's got to look a lot like what we've seen on the way down. By the way, we'll see incremental margins higher than normal. At some point, we're going to have to put investment cross back into the business. So that will start eating into the incremental. But right now, we're working in an environment where we have the capacity, margins dropped a lot because we weren't able to just get at our semi-variable and fixed costs, kind of same phenomenon on the way back up. So more of a variable model rate.

在一段時間內，確實如此。也許我會說，在一段時間內，它看起來一定很像我們在下降過程中看到的情況。順便說一句，我們會看到增量利潤高於正常水平。在某些時候，我們將不得不將交叉投資重新投入到業務中。因此，這將開始侵蝕增量。但現在，我們在一個有能力的環境中工作，但利潤率下降了很多，因為我們無法僅僅獲得半可變和固定成本，這在恢復過程中也是同樣的現象。所以更多的是可變模型率。

Right. As a follow-up, I mean, just sort of segues into this, but more on a 2020 basis. And if you look at the revenue guide that you gave at the start of the year pre COVID and where we're ending up. It's about $500 million lower on revenues and about $1.50 lower on EPS roughly. Would you say substantially all of that is COVID for revenues? Or do you think that there were other moving pieces in there? And then what about on the decremental margin side, can you maybe parse that again into COVID versus the restructuring versus the Megatrend spends or anything else that you think is material?

正確的。我的意思是，作為後續行動，我們會繼續討論這一點，但更多是在 2020 年的基礎上。如果您查看新冠疫情爆發前年初提供的收入指南以及我們的最終結果。收入大約減少了 5 億美元，每股收益大約減少了 1.50 美元。您是否認為所有這些收入基本上都是新冠疫情帶來的？或是你認為裡面還有其他移動的部分嗎？那麼，在遞減利潤方面，您能否再次將其解析為新冠疫情與重組、大趨勢支出或您認為重要的其他任何內容？

At a high level, I think we've done a good job delivering on our outgrowth targets. So I think we executed the things that were in our control, and so the outgrowth has been strong. I think most of this is -- not all of this is market-related, and I would suggest that it's all related or mostly related to COVID-19.

從高水準來看，我認為我們在實現我們的成長目標方面做得很好。所以我認為我們執行了我們控制範圍內的事情，所以結果是強勁的。我認為其中大部分——並非所有這些都與市場相關，我認為這一切都與或主要與 COVID-19 有關。

In terms of our cost structure, we've talked about a few times that in the first half of the year, we weren't really able to get at our semi-variable and fixed cost. So we were seeing our cost structure moving in line with -- our volumes move more aligned with our variable costs. We took actions in Q2 around temporary furlough. It generated $22 million in savings, so that was a temporary benefit. It didn't repeat in the second half. Now we're doing permanent cost actions because the demand levels are lower and they will be lower for some period of time.

就我們的成本結構而言，我們已經多次討論過，在今年上半年，我們並沒有真正能夠獲得半變動成本和固定成本。因此，我們看到我們的成本結構與我們的銷售量更加一致，與我們的變動成本保持一致。我們在第二季度圍繞臨時休假採取了行動。它節省了 2,200 萬美元，所以這只是暫時的好處。下半場沒有再重複這樣的情況。現在我們正在採取永久性成本行動，因為需求水準較低，並且在一段時間內會較低。

I think those are the major drivers of profitability. We're adding -- we are investing more in Megatrends because we see a lot of opportunity to grow, and we want to pursue those opportunities for long-term sustainable growth. So that is a lever as well. But for the most part, I mean, I think we're just cycling through a much -- a very depressed end market that's now starting to recover, and we're showing strong results because of it.

我認為這些都是獲利能力的主要驅動力。我們補充說，我們正在對大趨勢進行更多投資，因為我們看到了許多成長機會，我們希望抓住這些機會以實現長期可持續成長。所以這也是一個槓桿。但在很大程度上，我的意思是，我認為我們只是經歷了一個非常低迷的終端市場，現在開始復甦，因此我們表現出了強勁的業績。

Our next question comes from Jim Suva from Citi Investment Research.

我們的下一個問題來自花旗投資研究部的吉姆‧蘇瓦。

Can you just talk a little bit about any visibility you have on channel inventory? Or sometimes you sell into a middle harness maker or a middle aggregator, whether it be Delphi or other, both on the automotive side as well on the HVAC side?

能簡單談談您對通路庫存的了解嗎？或者有時您向中間線束製造商或中間聚合商（無論是德爾福還是其他公司）出售汽車方面以及暖通空調方面的產品？

Yes. So the auto side is a lot more transparent to us. To be candid auto, HVOR, aerospace is a huge amount, more transparent. We talked about the fact that we believe we built about $25 million of inventory in the channel in automotive in the first half of the year. We believe that, that has unwound in the third quarter. We had originally expected that to unwind over the balance of the year, so it unwound quicker than we had thought.

是的。所以汽車方面對我們來說更透明。坦白說，汽車、HVOR、航空航天的數量龐大，而且更加透明。我們談到了這樣一個事實，我們相信今年上半年我們在汽車通路建立了約 2500 萬美元的庫存。我們相信，這種情況已在第三季得到緩解。我們原本預計這種情況會在今年餘下時間裡得到緩解，所以它的緩解速度比我們想像的要快。

We don't see any evidence that in aerospace, HVOR, and in auto, that there's any significant inventory builds. And candidly, Jim, we judge that based upon discussions with our buyers, but also calls we get if something doesn't ship on a Friday, and it was supposed to. And that supply chain is fairly tight. We don't believe there's a lot of inventory.

我們沒有看到任何證據表明在航空航天、HVOR 和汽車領域存在任何重大的庫存增加。坦白說，吉姆，我們的判斷是基於與買家的討論，而且還根據我們接到的電話判斷是否有東西在周五沒有發貨，而本來應該發貨的。而且供應鏈相當緊張。我們認為庫存不會很多。

On the industrial side, it's a little harder. You point out, that's the one area where we do sell-through some distributors. The indications that we get is that there's not a ton of inventory build there. I think we all experienced this being consumers in terms of going to try to buy major home appliances or other goods. There is a backlog in terms of demand that has not been able to get fulfilled. And I would use that as a proxy for belief in terms of at least our products, whether or not there's any significant pent-up inventory in the system. We're not calling anything else that we're viewing will unwind in the near term.

在工業方面，這有點困難。您指出，這是我們透過一些經銷商進行銷售的一個領域。我們得到的跡像是那裡沒有大量庫存。我認為作為消費者，我們在嘗試購買主要家用電器或其他商品時都經歷過這種情況。需求方面存在積壓，無法滿足。我會用它作為至少對我們產品的信念的代表，無論系統中是否有任何重要的被壓抑的庫存。我們認為我們所看到的其他任何事情都不會在短期內緩解。

Okay. And so unwinding, does it get you back to equilibrium? Or is unwinding get you back to a little bit too lean than where you'd like to be?

好的。那麼放鬆下來，它能讓你恢復平衡嗎？或者放鬆會讓你恢復到比你想要的更瘦的狀態？

There isn't anything to unwind. And so, I would say that we're probably about an equilibrium now in terms of inventory in the supply chain. I would say that with the increased demand, you might see customers trying to build a little bit more inventory to make sure that they can serve end market demand rather than in a mode of cutting back on inventory. That would be where I think we are on the continuum.

沒有什麼好放鬆的。因此，我想說，我們現在可能在供應鏈的庫存方面達到平衡。我想說，隨著需求的增加，您可能會看到客戶試圖增加一點庫存，以確保他們能夠滿足終端市場的需求，而不是採取削減庫存的方式。我認為這就是我們所處的連續體。

Our next question comes from Michael Filatov from Berenberg Capital.

我們的下一個問題來自貝倫貝格資本的邁克爾·菲拉托夫。

I was just wondering if you could update us sort of on the revenue for GIGAVAC and sort of how that performed in that business and the high-voltage contactor has performed relative to the rest of the business? And then also sort of broadly speaking, I know there's more high-voltage contactors on sort of higher performance electric vehicles. And I was wondering how many contactors, generally speaking, on average, do you guys have right now on EVs or BEVs and how that -- you see that trending over time for your business?

我只是想知道您能否向我們介紹 GIGAVAC 的收入情況，以及該業務的表現以及高壓接觸器相對於其他業務的表現如何？從廣義上講，我知道高性能電動車上有更多的高壓接觸器。我想知道，一般來說，您現在平均有多少電動車或純電動車接觸者，以及你們如何看待隨著時間的推移你們的業務趨勢？

Yes. So a couple of points in there. So on the GIGAVAC business, although we're not calling it out directly, I would say in a significantly down market GIGAVAC has continued to grow quite nicely. And that's driven based upon the content growth that we're seeing for the offering that they have.

是的。所以有幾點。因此，在 GIGAVAC 業務上，雖然我們沒有直接指出，但我想說，在市場大幅下滑的情況下，GIGAVAC 仍然繼續保持相當不錯的成長。這是基於我們所看到的他們所提供的內容的成長而驅動的。

And so, we had a -- when we bought this business, we knew what was going to be a very fast grower, very accretive growth rates to Sensata overall, and that's what we're targeting from an M&A standpoint. The businesses that can have differentiated margins, but also be growers that grow at rates much faster than the core business, GIGAVAC has fulfilled that.

因此，當我們收購該業務時，我們知道這將是一個成長速度非常快的企業，整個森薩塔的成長率非常高，這就是我們從併購角度來看的目標。這些業務可以擁有差異化的利潤，但同時也是成長速度遠快於核心業務的種植者，GIGAVAC 已經實現了這一點。

In terms of the number of contactors, that's a platform system architecture question. There are a number of vehicles out there today that have 4 to 6 contactors in place, others have 2 contactors in place. Given the magnitude of the cost associated with contactors, I would expect that over time, that will -- the architecture associated that will push down to fewer numbers. But going in the other direction or pushing in the other direction for more protection, and therefore, more contactors is that understanding what this application does. It protects the most valuable asset in the vehicle battery, and it also protects the charging equipment and the person applying the charge. So it performs an incredibly important function. OEMs will always look to take out cost to be more competitive, but we don't view that as being anything that would be unusual or a negative toward our investment case on this particular acquisition.

從接觸器的數量來看，這是一個平台系統架構的問題。目前有許多車輛配備了 4 到 6 個接觸器，其他車輛則配備了 2 個接觸器。考慮到與接觸器相關的成本的大小，我預計隨著時間的推移，相關的架構將減少到更少的數量。但是，朝另一個方向或朝另一個方向推動以獲得更多保護，因此需要更多接觸器，這就是了解此應用程式的作用。它保護車輛電池中最有價值的資產，同時也保護充電設備和充電人員。因此它發揮著極為重要的作用。原始設備製造商總是希望降低成本以提高競爭力，但我們並不認為這有什麼不尋常的地方，也不會對我們在這次特定收購中的投資案例產生負面影響。

Our next question comes from Joseph Giordano from Cowen.

我們的下一個問題來自 Cowen 的 Joseph Giordano。

This is Robert in for Joe. I just first wanted to see if you could provide a view of what you're seeing in terms of underlying investment in auto production facilities. Is this more like filling existing capacity? Or are you seeing anything different across the various regions?

這是羅伯特代替喬。我首先想看看您是否可以提供您所看到的汽車生產設施基礎投資的看法。這更像是填補現有產能嗎？或者您認為不同地區有什麼不同嗎？

In terms of our customers, Joe, is that what you're asking or how we're building out our capacity. I'm sorry, just -- if you could be a little more specific on the question.

就我們的客戶而言，喬，這就是您所要求的或我們如何增強我們的能力。抱歉，如果你能把這個問題說得更具體一點的話。

Sorry. In terms of your customers, like at their facilities where their underlying investments being directed?

對不起。就您的客戶而言，例如他們的基礎投資所針對的設施？

Yes. I don't see any meaningful change in terms of our customers where they're designing manufacturing assembling vehicles. And no major change on our part either in terms of how we're doing this. We just talked about GIGAVAC. We now have automated high-speed lines in both China and in Mexico to serve the global automotive market.

是的。我沒有看到我們的客戶在設計製造組裝車輛方面發生任何有意義的變化。我們的做法也沒有重大變化。我們剛剛談到了 GIGAVAC。我們現在在中國和墨西哥都擁有自動化高速生產線，為全球汽車市場提供服務。

And so we've navigated through some of the challenges in terms of trade and so forth that have been expressed, but we -- I just haven't seen it result in any major change in terms of supply chain development.

因此，我們已經克服了貿易等方面所提出的一些挑戰，但我們——我只是沒有看到它在供應鏈發展方面帶來任何重大變化。

Our next question comes from Craig Hettenbach from Morgan Stanley.

我們的下一個問題來自摩根士丹利的克雷格·赫滕巴赫。

Jeff, looking at the industrial market, beyond what looks to be kind of an industrial kind of recovery here. Can you maybe just frame the growth expectations in that market? I know autos get a lot more attention given the significant size, but just across the portfolio you have kind of in the mid to longer term, what type of growth opportunities do you see in industrial?

傑夫，著眼於工業市場，超越了這裡看起來的工業復甦。您能否框架一下該市場的成長預期？我知道，鑑於汽車的規模龐大，它受到了更多的關注，但從中長期來看，在您擁有的投資組合中，您認為工業領域有哪些類型的成長機會？

Yes. Great question. I appreciate the opportunity to talk about some of the other end markets that we serve. Obviously, industrial is an enormous market, highly fragmented. We have a number of different products and end markets that we're serving there. You know that the third -- it's actually the market that's gone down the least, but it also has recovered the least amount during the year. So that different that -- market concentration in terms of a lot of different areas has been very helpful.

是的。很好的問題。我很高興有機會談論我們服務的一些其他終端市場。顯然，工業市場是一個巨大且高度分散的市場。我們在那裡提供許多不同的產品和終端市場。你知道，第三個——實際上是下跌最少的市場，但它在一年中恢復的金額也是最少的。因此，不同的－市場集中在許多不同領域是非常有幫助的。

So third quarter was a very strong quarter for our industrial business. It was only down about 2%, really driven based upon the demand for medical device, a small portion of that overall business, but had really helped it. It's a target area for us.

因此，第三季對於我們的工業業務來說是一個非常強勁的季度。它僅下降了約 2%，實際上是由醫療設備的需求推動的，醫療設備只佔整個業務的一小部分，但確實起到了幫助作用。這是我們的目標區域。

So when we start to talk about things like smart grid infrastructure that would fall more squarely in the industrial business, certainly, we'll continue to explore all industrial IoT-type applications within that business. So lots of opportunity. It's important also to note that the biggest component of that business is the -- our legacy controls business. And it's a very profitable business, a very sticky business, but a slower growing business. And so when you look at that business, in total, our target areas will be on the faster-growing areas as opposed to the core businesses that we have in there that are GDP-like growers.

因此，當我們開始談論智慧電網基礎設施等更直接屬於工業業務的事情時，我們當然會繼續探索該業務中的所有工業物聯網類型的應用程式。所以有很多機會。還需要注意的是，該業務的最大組成部分是我們的遺留控制業務。這是一個非常有利可圖的業務，一個非常有黏性的業務，但成長速度較慢。因此，當你從整體上看該業務時，我們的目標領域將是成長較快的領域，而不是我們在那裡的核心業務，即 GDP 成長型領域。

Our next question comes from Deepa Raghavan from Wells Fargo Securities.

我們的下一個問題來自富國銀行證券公司的 Deepa Raghavan。

Jeff, can you talk about the Megatrends investment in terms of autos versus HVOR versus industrial? And I assume autos, obviously, investments are increasing, but can you also talk about any -- our spends -- our investments in industrial accelerating as well? How do you think about that Megatrend investment portfolio?

Jeff，您能談談汽車、HVOR 和工業的大趨勢投資嗎？我認為汽車領域的投資顯然正在增加，但您能否也談談我們在工業加速方面的投資？您如何看待大趨勢投資組合？

Yes. So I apologize. I think I got the nature of the question, but let me repeat it just to make sure. So it's -- where the Megatrend investment is being focused across end markets? Is that the nature of the question?

是的。所以我道歉。我想我已經明白了問題的本質，但為了確定，讓我重複一遍。那麼，終端市場大趨勢投資的重點是什麼？這就是問題的本質嗎？

Yes. I mean, is that also in the industrial portion, and also a portion in the auto.

是的。我的意思是，工業部分也是如此，汽車也是如此。

Yes. Okay. Okay. Yes. So we're being very purposeful that our Megatrend, our investments are company-wide initiatives. And because we believe that these Megatrends will impact all of the end markets that we serve.

是的。好的。好的。是的。因此，我們非常有目的地讓我們的大趨勢、我們的投資成為全公司範圍的舉措。因為我們相信這些大趨勢將影響我們服務的所有終端市場。

Now it's critically important that we have a very strong position in electrification, in auto. So as the trend from combustion engine to electrified platforms continues that we're well positioned for that. But make no mistake. We are targeting capabilities that can serve the broader market.

現在至關重要的是，我們在電氣化、汽車領域擁有非常強大的地位。因此，隨著從內燃機到電氣化平台的趨勢持續下去，我們已經做好了充分的準備。但別搞錯了。我們的目標是能夠服務更廣泛市場的能力。

And so clearly, as we look at the organic development that we have ongoing, that will serve auto, industrial, the HVOR market, a little less so the aerospace for obvious reasons. I think electrification is a little further out but it serves all of those end markets. And you'll see that both our organic and our M&A-related activity will be focused on all of the end markets as we pursue these Megatrends.

很明顯，當我們審視我們正在進行的有機發展時，它將服務於汽車、工業、HVOR 市場，但由於顯而易見的原因，航空航太市場的服務要少一些。我認為電氣化有點遙遠，但它服務於所有這些終端市場。您會發現，當我們追求這些大趨勢時，我們的有機活動和併購相關活動都將集中在所有終端市場。

And yes, that applies to the Smart & Connected as well. More concentration in Smart & Connected around transport and logistics chains. But certainly, the focus would be to look at it pretty broadly across a number of market segments.

是的，這也適用於智慧互聯。更專注於圍繞運輸和物流鏈的智慧和互聯。但可以肯定的是，重點是在多個細分市場上進行廣泛的研究。

Got it. One on potential costs heading into 2021, I think since you were able to talk about, any early thoughts, but also, how do you think about momentum exiting 2020, entering 2021? And if you can also focus a little bit on the inventory situation in auto, HVOR here in the U.S. as we exit. Do you think the OEMs would have replenished efficient inventory by end of the year? Or should that continue to influence production into 2021 also and thereby benefits suppliers like yourself?

知道了。關於進入 2021 年的潛在成本，我想既然您能夠談論任何早期的想法，而且您如何看待退出 2020 年、進入 2021 年的勢頭？當我們退出時，如果你還可以關註一下美國汽車、HVOR 的庫存情況。您認為整車廠會在年底前補充有效庫存嗎？或者這是否應該繼續影響 2021 年的生產，從而使像您這樣的供應商受益？

Yes. So obviously, we're not going to provide specific guidance on 2021. But if you look at all of the third-party forecasts, it would suggest that the growth will continue from 2020 where we landed into 2021. If you look at all of our end markets, even at the fourth quarter guide, they were down fairly dramatically from 2019, and candidly, nowhere near peak levels, right? So if we pick the automotive market specifically, we're forecasting, call it, down close to 20% year-over-year. The peak auto markets were back in 2016, 2017. So we're nowhere near peak automotive market.

是的。顯然，我們不會提供有關 2021 年的具體指導。的指導下，也比2019 年大幅下降，坦白說，遠未達到峰值水平，對嗎？因此，如果我們具體選擇汽車市場，我們預測，這一市場將年減近 20%。汽車市場的高峰期早在 2016 年、2017 年。 所以我們距離汽車市場的高峰期還很遠。

So our view would be that 2020 is a fairly good low point in terms of to recover from, we're not taking that for granted. Everybody is watching signals to see whether or not there could be a double dip or other impact, but the feeling is that from here, there will be some nice growth potential over the next year or couple of years, depending on the rate of recovery. Certainly, the recovery thus far this year has been stronger than at least I would have anticipated.

因此，我們認為 2020 年是一個相當好的復甦低點，我們並不認為這是理所當然的。每個人都在觀察訊號，看看是否會出現二次探底或其他影響，但感覺是，從這裡開始，未來一年或幾年將會有一些不錯的成長潛力，這取決於復甦速度。當然，今年迄今為止的復甦至少比我預期的還要強勁。

Our next question comes from Matt Sheerin from Stifel.

我們的下一個問題來自 Stifel 的 Matt Sheerin。

Just a couple of quick ones for me here. Just regarding the commentary around M&A, Jeff, and that being a priority for cash use. You've also talked about focusing on areas of growth, emerging markets, all the things that fit into your technology themes. But could you talk about a little bit more on that strategy, particularly, are we continuing to expect more tuck-in acquisitions versus the larger deals you did 4 or 5 years ago?

這裡只是給我幾個快速的。只是關於併購的評論，傑夫，這是現金使用的優先事項。您還談到了關注成長領域、新興市場以及所有適合您的技術主題的事物。但您能否多談談該策略，特別是與您 4 或 5 年前進行的大型交易相比，我們是否繼續期待更多的內含式收購？

Yes. I am glad you asked that to sort of clarify. So we've kept the pipeline for M&A quite full during this time. Although we've been for obvious reasons, cautious in terms of capital deployment in the area of M&A, other than the one small transaction that we did with PRECO. The near-term focus will be on more bolt-on byte sized type M&A. So nothing in our sort of target zone of that $1 million purchase price or $1 billion purchase price type range.

是的。我很高興你問這個問題是為了澄清。因此，在此期間，我們的併購管道一直保持得很滿。儘管出於顯而易見的原因，我們在併購領域的資本部署方面一直持謹慎態度，除了我們與 PRECO 進行的一筆小交易之外。近期的重點將是更多的補充位元組大小類型的併購。因此，我們的目標區域中沒有 100 萬美元的購買價格或 10 億美元的購買價格類型範圍。

The target areas will be around the electrification and Smart & Connected areas. So electrified equipment broadly, not just auto, electrified equipment and smart grid infrastructure. And also around Smart & Connected, transport and logistics, and that is a focus.

目標領域將圍繞電氣化和智慧互聯領域。所以電氣化設備更廣泛，不僅僅是汽車、電氣化設備和智慧電網基礎設施。還有圍繞著智慧與互聯、運輸和物流，這是一個焦點。

We're also going to be focused on not only high growth segments, but businesses that will be highly accretive to Sensata's growth rate, right? So they're not value play where we're going to buy something, we're going to extract cost. We believe that the businesses that we're targeting can have differentiated margins perhaps not at Sensata's margin but differentiated margin, but very high-growth rates, and where we have the ability or the right to play, right?

我們不僅會關注高成長的細分市場，還會關注那些能夠極大促進森薩塔成長率的業務，對吧？因此，我們要買東西，這不是價值遊戲，我們要提取成本。我們相信，我們所瞄準的業務可以擁有差異化的利潤率，也許不是森薩塔的利潤率，而是差異化的利潤率，但增長率非常高，而且我們有能力或有權參與其中，對嗎？

So solutions or competencies that we have or end markets where we have specific knowledge regarding bringing mission-critical solutions. So that's our target area, not big bang type transformational stuff, more bolt-ons to further our strategy.

因此，我們擁有的解決方案或能力或我們擁有有關提供關鍵任務解決方案的特定知識的終端市場。所以這就是我們的目標領域，不是大爆炸式的轉型，而是更多的補充來推進我們的策略。

Our next question comes from Shawn Harrison from Loop Capital.

我們的下一個問題來自 Loop Capital 的 Shawn Harrison。

I guess my inability to remember to hit star 1, got me a lot of e-mails, asking more on the guidance, specifically, a lot of inbound e-mails, just asking about, if we could even further define, Paul, the step-up in the OpEx sequentially, I know you cited incentive comp and more investments and some other factors. But just is there a way to quantify the exact dollar amount you're seeing step-up in OpEx into the fourth quarter to kind of level set us as we start to then think about '21?

我想我不記得打星 1，給我發了很多電子郵件，詢問更多有關指導的信息，具體來說，很多入站電子郵件，只是詢問我們是否可以進一步定義，保羅，運營支出連續增加，我知道您提到了激勵補償和更多投資以及其他一些因素。但是，有沒有一種方法可以量化您在第四季度看到的營運支出上升的確切金額，以達到我們開始考慮「21」時設定的水平？

I'd say [--operating profit] (added by the company after the call), so we're up sequentially from Q3 to Q4 around $13.5 million. And I would have said if without the incremental investment we would have been up about $20 million with improved volume. So it's probably $7 million, $8 million incremental investment, that's when you consider the items I mentioned earlier on the call.

我想說的是[-營業利潤]（由公司在電話會議後添加），所以我們從第三季到第四季連續增加了約 1350 萬美元。我想說，如果沒有增量投資，隨著銷售量的提高，我們的資金將增加約 2,000 萬美元。因此，這可能是 700 萬美元、800 萬美元的增量投資，那時你會考慮我之前在電話會議中提到的項目。

Very helpful. Okay. And then as a brief follow-up. Just on the electrification side of the car, Jeff. Maybe if you could speak to 3 years out, it's $50 of content now. I think we all expect range to go up, charging time to come down. What would that potentially -- and maybe other items you can add into the vehicle, take your content up to from $50 on average now to, say, 3 years out?

非常有幫助。好的。然後作為一個簡短的後續行動。傑夫，就在汽車的電氣化方面。也許如果你能說 3 年後，現在內容的價格是 50 美元。我想我們都期望續航里程會增加，充電時間會減少。這可能會（也許還有您可以添加到車輛中的其他物品）使您的內容從現在的平均 50 美元增加到（比如說 3 年後）？

Yes. So I think it's a question of the item that you pointed out, how quickly our customers migrate toward these harder to do applications. I believe strongly that it's the direction that everything will go, and that requires the types of capabilities that we have. Given the fact that we believe on those vehicles today, we have $50 of content based upon where we're sold in. Obviously, we're not stopping there. And we'll have a number of organic initiatives underway that will continue to drive that north. And we'll also without question target other M&A-related activity that we'll continue to move that north of that number.

是的。因此，我認為這是您所指出的問題，即我們的客戶遷移到這些更難實現的應用程式的速度有多快。我堅信，這是一切都會發展的方向，這需要我們擁有的能力類型。鑑於我們今天對這些車輛的信任，我們根據銷售地點提供了 50 美元的內容。我們將實施一系列有機舉措，並繼續推動這一趨勢。毫無疑問，我們也將瞄準其他與併購相關的活動，我們將繼續將這一數字向北推進。

And so, it's a large world out there in terms of the target opportunity, don't want to make a specific call on what our target content per vehicle is, but there's ample space, if you will, for us to pursue that can continue to drive that in a very positive direction for us as a company.

因此，就目標機會而言，這是一個廣闊的世界，不想具體說明我們每輛車的目標內容是什麼，但如果您願意的話，我們有足夠的空間可以繼續追求這一目標來推動我們公司朝著非常正面的方向發展。

And ladies and gentlemen, with that, we've reached the end of today's question-and-answer session. I would like to turn the conference call back over to Jacob Sayer for any closing remarks.

女士們先生們，今天的問答環節到此結束。我想將電話會議轉回給雅各布·塞耶（Jacob Sayer），讓其發表結束語。

Thank you, Jamie. I'd like to thank everyone for joining us this morning. Sensata will be participating in the upcoming R.W. Baird Industrial Investor Conference on November 10 and the Melius Industrial Investor Conference on December 9. We look forward to seeing you at one of those events or on our fourth quarter earnings call in early February. Thank you for joining us this morning and for your interest in Sensata. Jamie, you may now end the call.

謝謝你，傑米。我要感謝大家今天早上加入我們。森薩塔將參加即將於11 月10 日舉行的R.W. Baird 工業投資者大會和12 月9 日舉行的Melius 工業投資者大會。見到您。感謝您今天早上加入我們以及您對森薩塔的興趣。傑米，你現在可以結束通話了。

Ladies and gentlemen, with that, we will end today's conference. We do thank you for attending. You may now disconnect your lines.

女士們、先生們，今天的會議就到此結束。我們非常感謝您的出席。現在您可以斷開線路。