Stantec Inc (STN) 2018 Q4 法說會逐字稿

Welcome to Stantec's Fourth Quarter and Year-end 2018 Earnings Results Conference Call. Leading the call today are Gord Johnston, President and Chief Executive Officer; and Theresa Jang, Executive Vice President and Chief Financial Officer.

歡迎參加 Stantec 2018 年第四季及全年業績電話會議。今天主持電話會議的是總裁兼執行長 Gord Johnston 和執行副總裁兼財務長 Theresa Jang。

Today's call is a webcast, and Stantec invites those dialing in to view the slideshow presentation, which is available in the Investors section at stantec.com. All information provided during this conference call is subject to the forward-looking statement qualifications set out on Slide 2, detailed in Stantec's management discussion and analysis, and incorporated in full for the purposes of today's call.

今天的電話會議將以網路直播的形式進行，Stantec 邀請撥入電話的與會者觀看幻燈片演示，該演示可在 stantec.com 的投資者關係部分找到。本次電話會議中提供的所有資訊均受第 2 頁幻燈片中列出的前瞻性聲明限制的約束，這些限制在 Stantec 的管理層討論和分析中進行了詳細說明，並已完整納入今天的電話會議。

With that, I am pleased to turn the call over to Mr. Gord Johnston.

接下來，我很高興將電話交給戈德約翰斯頓先生。

Thank you, and good morning. I'll start with a brief overview of the year. Then Theresa will share details of the results. Following that, I'll share some operational highlights from across our business.

謝謝，早安。我先簡單回顧一下這一年。然後特蕾莎將公佈結果詳情。接下來，我將分享我們公司各部門的一些營運亮點。

In 2018, our consulting business achieved all the financial targets we established at the start of the year. We also made significant progress on the business objectives that I set out early last year. The first objective was driving organic revenue growth. We achieved this in every quarter of 2018, culminating in a 3.3% organic net revenue growth compared to 2017. We generated organic growth in all geographies and in our Environmental Services, Energy & Resources and Water business.

2018年，我們的顧問業務實現了年初制定的所有財務目標。我們在去年年初我所訂定的業務目標方面也取得了重大進展。首要目標是推動內生性收入成長。我們在 2018 年的每個季度都實現了這一目標，最終實現了與 2017 年相比 3.3% 的有機淨收入成長。我們在所有地區以及環境服務、能源與資源和水務業務領域都實現了有機成長。

My second objective last year was to reinvigorate our focus on strategic acquisitions after we had paused to digest MWH. Last year, we acquired 7 strong firms that add to the diversity, depth of expertise and geographic reach of all our businesses, and notably, 3 acquisitions were outside North America, marking a big step forward in our strategy to build on the global platform we acquired through MWH.

我去年第二個目標是在我們暫停收購 MWH 以消化其影響之後，重新集中精力進行策略性收購。去年，我們收購了 7 家實力雄厚的公司，這增加了我們所有業務的多樣性、專業知識深度和地域覆蓋範圍，值得注意的是，其中 3 項收購發生在北美以外，這標誌著我們在透過 MWH 收購的全球平台基礎上，朝著戰略邁出了一大步。

Thirdly, we wanted to achieve cost efficiencies. While we will never compromise on health, safety or our ethical standards, we recognize that maintaining an efficient administrative cost structure is critical to our competitive advantage and profitability. In 2018, we looked closely at administrative costs and successfully reduced spending in several areas. We continued to see incremental improvements in utilization and reduced our admin and marketing expenses as a percentage of net revenue.

第三，我們希望實現成本效益。雖然我們絕不會在健康、安全或道德標準方面妥協，但我們也意​​識到，維持高效的管理成本結構對我們的競爭優勢和獲利能力至關重要。2018年，我們仔細研究了行政成本，並成功地在多個領域減少了支出。我們持續看到利用率逐步提高，並且降低了行政和行銷費用佔淨收入的比例。

And my fourth objective for 2018 was to complete a strategic review of Construction Services. As I reflect back on the MWH acquisition, I can say that despite the turmoil caused by the construction business, Stantec is stronger with the addition of MWH's design practice. It brought us a global footprint, added strength to our established teams and gave us a mature and leading presence in the U.K. water sector.

我2018年的第四個目標是完成建築服務策略檢討。回顧對 MWH 的收購，我可以說，儘管建築業動盪不安，但 Stantec 因 MWH 設計業務的加入而變得更加強大。它為我們帶來了全球影響力，增強了我們現有團隊的實力，並使我們在英國水務領域擁有了成熟和領先的地位。

However, that narrative was overshadowed by poor performance in Construction Services. We closed the sale of Construction Services in November and are in the process of reviewing the closing financial statements with the purchaser. With this chapter largely behind us, we're looking forward to refocusing all our attention and energy on continuing to grow our core consulting business.

然而，建築服務部門的糟糕表現掩蓋了這個局面。我們於 11 月完成了建築服務公司的出售，目前正在與買方一起審查最終的財務報表。隨著這一階段基本上結束，我們期待將所有註意力和精力重新集中到繼續發展我們的核心諮詢業務。

And yesterday, our board declared a dividend of CAD 0.145 per share, an increase of 5.5% from last year. This signals the board's confidence in our strategic direction and our ability to execute on our growth strategy, while recognizing construction has weighed down our earnings and cash flows in the last 2 years. The board believes a 5.5% dividend increase strikes an appropriate balance in our capital allocation, offering a meaningful dividend increase while supporting investment growth and -- investment in growth initiatives that will create long-term shareholder value.

昨天，董事會宣布派發每股 0.145 加元的股息，比去年增長 5.5%。這顯示董事會對我們的策略方向和執行成長策略的能力充滿信心，同時也承認建築業在過去兩年拖累了我們的收益和現金流。董事會認為，5.5% 的股息成長在我們的資本配置中取得了適當的平衡，既實現了有意義的股息成長，又支持了投資成長，以及對能夠創造長期股東價值的成長計畫的投資。

Now I'll hand the call over to Theresa to walk us through our results.

現在我將把電話交給特蕾莎，讓她為我們解讀結果。

Thank you, Gord. Before I jump into our earnings review, I'll note that we've made certain changes to the presentation of our financial results, mainly as a result of following accounting rules for discontinued operations, which became a requirement when we sold Construction Services.

謝謝你，戈爾德。在深入探討我們的收益回顧之前，我想指出，我們對財務績效的呈現方式進行了一些更改，這主要是由於我們出售建築服務時，需要遵循終止經營的會計準則。

First, earnings and cash flows for Construction Services have been classified as discontinued operations for the current period, and restated as such in comparative periods. Second, the accounting rules for discontinued operations required that certain corporate costs historically allocated to Construction Services be reclassified with continuing operations because those costs are ongoing in nature. The effect of this has also been incorporated into our restated results.

首先，建築服務業務的收益和現金流量在本期被歸類為終止經營業務，並在比較期間也以此方式重新表達。其次，終止經營的會計準則要求將歷史上分配給建築服務的某些公司成本重新歸類到持續經營中，因為這些成本具有持續性。這一影響也已納入我們重述的結果中。

Unrelated to the sale of Construction Services, we've broadened our definition for adjusted EBITDA, adjusted net income and adjusted EPS from continuing operations. We'll discuss these changes in greater detail, and we've done so on Page M-3 of our 2018 Annual Report, and as well, we've provided some supplemental financial information as an appendix to this presentation and in the Investors section of stantec.com.

與出售建築服務無關，我們擴大了持續經營調整後 EBITDA、調整後淨收入和調整後每股盈餘的定義。我們將更詳細地討論這些變化，我們在 2018 年年度報告的 M-3 頁上進行了討論，此外，我們還在本演示文稿的附錄和 stantec.com 的投資者部分提供了一些補充財務信息。

So let's move on to our results from Consulting Services, starting with Q4 2018. All the comparative data I'll reference relates to Q4 '17. Adjusted net income from continuing operations was CAD 45.5 million, or CAD 0.40 per diluted share, representing increases of 14.6% and 14.3%. These increases reflect solid net revenue growth in Consulting Services, reduced admin and marketing expenses as a percentage of net revenue, and decreased amortization of intangible assets.

接下來，讓我們來看看顧問服務部門的業績，首先是 2018 年第四季。我將引用的所有對比數據均與 2017 年第四季有關。經調整後，持續經營淨收入為 4,550 萬加元，即每股攤薄收益 0.40 加元，分別成長了 14.6% 和 14.3%。這些成長反映了諮詢服務淨收入的穩健成長、行政和行銷費用佔淨收入比例的下降以及無形資產攤銷的減少。

Q4 net income from continuing operations was CAD 21.2 million, or CAD 0.19 per share, increasing by 35.9% and 35.7% respectively. Q4 net revenue increased by a healthy 11.4%, reflecting 3.5% organic growth and 6% acquisition growth. Gross margin increased 7.3% but declined as a percentage of net revenue by 2.1% to 53.8%. This is largely due to our project mix, downward fee pressures in certain business segments and project execution challenges in some of our Canadian Buildings operations.

第四季持續經營淨利潤為 2,120 萬加元，即每股 0.19 加元，分別成長了 35.9% 和 35.7%。第四季淨收入實現了11.4%的健康成長，其中有機成長3.5%，收購成長6%。毛利率成長了 7.3%，但佔淨收入的百分比下降了 2.1%，至 53.8%。這主要是由於我們的專案組合、某些業務領域的費用下行壓力以及我們在加拿大的一些建築業務中遇到的專案執行挑戰所致。

Admin and marketing expenses increased 9.1%, partly due to certain unusual and nonrecurring items. Excluding these items, that increase would have been 4.3%. As a percentage of net revenue, admin and marketing would have decreased by 3.1% to 43.7%, mainly due to improved utilization, operational efficiencies and reduced share-based-compensation charges. Adjusted EBITDA increased 26% to CAD 84.2 million, increasing by 1.2% as a percentage of net revenue to 10.1%.

行政和行銷費用增加了 9.1%，部分原因是某些不尋常和非經常性項目。剔除這些項目後，增幅將達到 4.3%。行政和行銷費用佔淨收入的比例將下降 3.1%，降至 43.7%，主要是由於利用率提高、營運效率提高以及股份支付費用減少。調整後 EBITDA 成長 26% 至 8,420 萬加元，佔淨收入的百分比成長 1.2% 至 10.1%。

Now looking at discontinued operations, we recorded a CAD-32.2-million after-tax loss in Q4, CAD 35.8 million pretax. This includes operating losses incurred by Construction Services up until the November 2 divestiture, project losses associated with the remaining U.K. waste-to-energy project, CAD 5.8 million for past service costs resulting from a court ruling related to equalization benefits for the U.K. construction-defined benefit plan, a CAD-1.5-million gain on sale and the corresponding tax expense. The waste-to-energy project has experienced EPC-related delays, but we are now 20 days into our 30-day acceptance testing.

現在來看已終止經營的業務，我們在第四季錄得稅後虧損 3,220 萬加元，稅前虧損 3,580 萬加元。這包括建築服務公司截至 11 月 2 日剝離時產生的經營虧損、與剩餘的英國垃圾發電項目相關的項目虧損、因法院裁決而產生的 580 萬加元過去服務成本（該裁決與英國建築業固定收益計劃的均衡福利有關）、150 萬加元出售收益以及相應的稅費。垃圾發電計畫曾因EPC相關原因而延誤，但我們現在已經完成了為期30天的驗收測試中的第20天。

In calculating adjusted EBITDA and adjusted net income, we've excluded certain unusual or nonrecurring items because we don't believe that they are reflective of our underlying operations. For Q4, these items include a CAD-12.8-million charge for a lease exit liability related to our Edmonton head office move, a court-ruled CAD-4.7-million past service cost adjustment for our U.K.-defined benefit pensions and a CAD-5.5-million unrealized loss on investments held for self-insured liabilities. We've provided a reconciliation of these adjusted measures to net income in the appendix of this presentation.

在計算調整後的 EBITDA 和調整後的淨收入時，我們剔除了一些不尋常或非經常性項目，因為我們認為這些項目無法反映我們的基本營運狀況。第四季度，這些項目包括：與我們埃德蒙頓總部搬遷相關的租賃退出負債的 1280 萬加元費用；法院裁定的英國固定收益養老金的 470 萬加元過去服務成本調整；以及為自保負債持有的投資的 550 萬加元未實現損失。我們在本簡報的附錄中提供了這些調整後指標與淨收入的調節表。

And now moving to our full year 2018 results, where all comparative data referenced relates to full year 2017. Adjusted net income from continuing operations was CAD 206.6 million or CAD 1.82 per diluted share, representing increases of 5% and 5.8%. This demonstrates our success in growing organically and through acquisition while maintaining an efficient cost structure. For comparison purposes, had we not been required to change our methodology of allocating corporate costs, Consulting Services would have reported adjusted net income of CAD 215.5 million, or CAD 1.89 on a per-share basis, increases of 11.1% and 11%.

現在來看看我們 2018 年全年業績，其中引用的所有比較數據均與 2017 年全年相關。經調整後，持續經營淨利為 2.066 億加元，即每股攤薄收益 1.82 加元，分別成長了 5% 和 5.8%。這證明了我們在維持高效成本結構的同時，透過自身發展和收購實現了成功。為了進行比較，如果我們不需要改變公司成本分配方法，諮詢服務部門的調整後淨收入將為 2.155 億加元，即每股 1.89 加元，分別成長 11.1% 和 11%。

Unusual or nonrecurring items for the year included the Q4 items previously discussed as well as a CAD-10-million tax recovery because of proposed U.S. federal tax regulations in August. Losses incurred from Construction Services coupled with the unusual or nonrecurring items had a considerable impact on net income. 2018 net income was CAD 47.4 million, or CAD 0.42 per diluted share, decreases of 51.1% and 50.6% respectively. Net revenue increased 5.7% to CAD 3.4 billion.

本年度的特殊或非經常性項目包括先前討論過的第四季度項目，以及由於8月份美國聯邦稅收法規的提議而獲得的1000萬加元稅收返還。建築服務產生的損失以及不尋常或非經常性項目對淨收入產生了相當大的影響。2018 年淨利為 4,740 萬加元，即每股攤薄收益 0.42 加元，分別下降了 51.1% 和 50.6%。淨收入成長5.7%，達到34億加元。

As Gord mentioned at the top of the call, we achieved 3.3% organic net revenue growth with growth across all geographies and in our Environmental Services, Energy & Resources and Water businesses.

正如 Gord 在電話會議開始時所提到的那樣，我們實現了 3.3% 的有機淨收入成長，所有地區以及我們的環境服務、能源與資源和水務業務均實現了成長。

Gross margin increased by 3% to CAD 1.8 billion but declined by 1.4% as a percentage of net revenue to 54.1%, and this is largely due to overall project mix and execution challenges in our Canadian Buildings operations, compounded by the 2017 Innovyze divestiture, which was a higher-margin business, and several positive 2017 revenue adjustments.

毛利成長 3% 至 18 億加元，但佔淨收入的百分比下降 1.4% 至 54.1%，這主要是由於我們在加拿大建築業務中的整體項目組合和執行挑戰，上 2017 年剝離了利潤率較高的 Innovyze 業務，以及 2017 年的幾項積極收入再加上。

Admin and marketing, excluding unusual or nonrecurring items, fell by 2.1% as a percentage of net revenue to 42.3%, demonstrating the effectiveness of our focus on operational efficiency.

行政和行銷費用（不包括不尋常或非經常性項目）佔淨收入的比例下降了 2.1%，至 42.3%，這表明我們注重營運效率的做法是有效的。

Adjusted EBITDA increased by 11.1% to CAD 392.5 million, representing 11.7% of net revenue.

調整後 EBITDA 成長 11.1% 至 3.925 億加元，佔淨收入的 11.7%。

As for discontinued operations, we recorded an after-tax loss of CAD 123.9 million for the year, and in addition to the items described in the Q4 discussion, the full year loss includes a CAD-53-million, noncash goodwill impairment charge and a CAD-13.8-million tax charge on the disposition.

至於已終止經營業務，我們本年度錄得稅後虧損 1.239 億加元，除第四季度討論中所述的項目外，全年虧損還包括 5300 萬加元的非現金商譽減值費用和 1380 萬加元的處置稅費。

Despite this, overall, Consulting Services had a very good financial performance year, while all of our financial targets were achieved. And before we move to highlights from operations, I'll touch on our liquidity and capital resources.

儘管如此，總體而言，諮詢服務部門的財務表現在這一年表現非常出色，我們所有的財務目標都已實現。在介紹營運方面的亮點之前，我先談談我們的流動性和資本資源。

Underpinning our pursuit for growth is a commitment to protect and strengthen our balance sheet and to optimize our capital structure. While we've always benefited from strong liquidity and access to capital, our 2019 priorities include further strengthening our cash flow and leverage metrics by improving the efficiency of our working capital and by being disciplined on how we allocate capital.

我們追求成長的根本在於致力於保護和強化我們的資產負債表，並優化我們的資本結構。雖然我們一直受益於強勁的流動性和融資管道，但我們 2019 年的優先事項包括透過提高營運資本效率和嚴格控制資本配置方式，進一步加強現金流和槓桿指標。

Our days sales outstanding have crept up over the past year from 94 days to 103, and that is higher than we'd like it to be. We know that we can do better, so we're committed to lowering that number, and we've taken targeted measures to do so. I should note that in calculating our DSO we do not net off deferred revenue from accounts receivable and work in progress, and others may. I think this practice is mixed in our industry. But doing so would drop our DSO to 88 days. This doesn't change our focus on reducing our DSO, but I did think that it was important to highlight.

過去一年，我們的應收帳款週轉天數從 94 天增加到 103 天，比我們希望的要高。我們知道我們還可以做得更好，所以我們致力於降低這個數字，並且我們已經採取了有針對性的措施來實現這一目標。需要指出的是，我們在計算應收帳款週轉天數時，不會將應收帳款和在建工程的遞延收入進行抵銷，而其他公司可能會這樣做。我認為這種做法在我們這個行業內褒貶不一。但這樣做會將我們的應收帳款週轉天數降至 88 天。這不會改變我們減少應收帳款週轉天數 (DSO) 的重點，但我認為有必要強調這一點。

In terms of our borrowing capacity, at the end of 2018 we had approximately CAD 223 million of undrawn capacity on our credit facility and access to another CAD 400 million under our accordion feature if required for future acquisitions. Our net-debt-to-EBITDA ratio was 2.42 at year-end, below our target of 2.5 and well within our covenant requirements. Nevertheless, we're focused on reducing this metric to further enhance the efficiency of our capital structure.

就我們的借款能力而言，截至 2018 年底，我們的信貸額度中約有 2.23 億加元的未提取額度，如果未來收購需要，我們還可以根據我們的增額條款獲得另外 4 億加元。年末，我們的淨負債與 EBITDA 比率為 2.42，低於我們 2.5 的目標，並且完全符合我們的契約要求。儘管如此，我們仍致力於降低這項指標，以進一步提高資本結構的效率。

We've also been very active in repurchasing common shares through our normal-course issuer bid program. In 2018, we repurchased and canceled over 2.4 million common shares at an average price of CAD 31.09 per share, for an aggregate price of CAD 76.7 million, and so far this year, we've repurchased and canceled a further 195,000 shares.

我們也透過正常的發行人回購計畫積極回購普通股。2018 年，我們以每股 31.09 加元的平均價格回購並註銷了超過 240 萬股普通股，總價為 7,670 萬加元；而今年到目前為止，我們又回購並註銷了 19.5 萬股。

Lastly, in Q1 of 2019, we'll transition to IFRS 16, which will introduce significant changes to our financial statements, including increased assets and liabilities related to our leased assets and reductions to our admin and marketing expenses, offset by higher depreciation and financing costs. Our transition is still a work in progress, so we can't share specifics of the extent of the impact yet. We know IFRS 16 will change the complexion of EBITDA and other metrics, so we're working to develop our disclosures with the aim of providing transparency and comparability. We'll provide an update to our 2019 guidance in our Q1 '19 reporting.

最後，在 2019 年第一季度，我們將過渡到 IFRS 16，這將為我們的財務報表帶來重大變化，包括與租賃資產相關的資產和負債增加，以及管理和行銷費用減少，但這些減少將被更高的折舊和融資成本所抵銷。我們的轉型仍在進行中，因此我們目前還無法分享具體的影響程度。我們知道 IFRS 16 將改變 EBITDA 和其他指標的格局，因此我們正在努力完善揭露內容，以期提供透明度和可比性。我們將在 2019 年第一季報告中提供 2019 年業績指引的更新版本。

And with that, I'll turn it back to Gord for a closer look at operations and our 2019 outlook and targets.

接下來，我將把麥克風交還給戈爾德，讓他更詳細地介紹營運情況以及我們 2019 年的展望和目標。

Thank you, Theresa. In 2018, our Canadian operations performed quite well, with net revenue increasing by 5.9% in the year. That breaks down to 3.7% net organic growth and 2.2% growth from acquisitions completed in 2017 and '18.

謝謝你，特蕾莎。2018 年，我們在加拿大的業務表現相當不錯，淨收入年增 5.9%。其中，2017 年和 2018 年完成的收購帶來了 3.7% 的淨有機成長和 2.2% 的成長。

Our Power and Oil & Gas sectors were our strongest performers in Canada, largely due to significant progress on several major projects in the Power sector and a ramp-up of midstream work in Oil & Gas. Our Water business also had strong growth, driven by major projects in Western Canada, where we continue to build a top-tier presence. And although we saw a slowdown in Community Development work in the western provinces, we offset this with a steady stream of work in the east. Environmental Services retracted year-over-year, but it grew organically in the fourth quarter. Prospects in Canada are positive, with midstream Oil & Gas work continuing to increase. Growth in our Canadian Buildings business was impacted by major projects nearing completion and by certain projects that required more specialized consultants. The result was a year-over-year retraction in -- for buildings in Canada.

在加拿大，我們的電力和石油天然氣產業表現最為強勁，這主要歸功於電力產業幾個重大項目的顯著進展以及石油天然氣中游業務的加速發展。在加拿大西部重大計畫的推動下，我們的水務業務也實現了強勁成長，我們繼續在該地區打造一流的市場地位。雖然西部省份的社區發展工作有所放緩，但我們透過東部省份穩定的工作彌補了這一不足。環境服務業務年減，但第四季度實現了內生成長。加拿大的前景樂觀，中游油氣業務持續成長。加拿大建築業務的成長受到即將完工的大型專案以及需要更專業顧問的某些專案的影響。結果是加拿大建築業較去年同期出現萎縮。

Moving on to Slide 15. Our U.S. operations also had a solid year with 3.5% net revenue growth, which includes 2.5% organic net revenue growth. And with the exception of Buildings, all our U.S. businesses and sectors grew organically. Roughly 1.3% of overall net revenue growth was due to acquisition growth.

接下來是第15張投影片。我們的美國業務也取得了穩健的業績，淨收入成長了 3.5%，其中包括 2.5% 的有機淨收入成長。除了建築業務之外，我們在美國的所有業務和行業都是自然成長的。整體淨收入成長中約有 1.3% 是由於收購帶來的成長。

Our U.S. Environmental Services business achieved organic growth in several sectors, and we continue to capitalize on our environmental mitigation expertise and build on our remediation and recovery practices. And with commodity prices on the upswing, we experienced organic growth in our U.S. Mining, Oil & Gas and Water Power and Dams sectors. Our Water business grew as well, due largely to our ability to capture a share of the growing amount of work flowing from California and Texas, and when you're looking at year-over-year comps, it's important to remember that we're still comparing against the sale in Innovyze, which had a strong positive impact on our Water business in 2017.

我們的美國環境服務業務在多個領域實現了內生成長，我們將繼續利用我們在環境緩解方面的專業知識，並不斷完善我們的修復和恢復實踐。隨著大宗商品價格上漲，我們在美國的採礦、石油天然氣和水力發電及水壩領域實現了內生成長。我們的水務業務也實現了成長，這主要歸功於我們能夠抓住來自加州和德州不斷增長的業務份額。在進行同比比較時，需要記住的是，我們仍然要與 Innovyze 的出售進行比較，這在 2017 年對我們的水務業務產生了強大的積極影響。

Elsewhere in our U.S. sectors, Community Development work is growing in the busy southeast and northeast corners of the country, but this was partly offset by comparative fee pressures in other regions and by projects with higher subconsultant fees. In Transportation, the ramp-up of previously awarded major projects offset the ramp down of other projects. We have a strong strategic position in transit, bridge inspection, light-rail transit, roadways and bridges, and we continue to secure impactful projects. Our U.S. Buildings business had an organic retraction, mostly due to project issues in a large healthcare project that's winding down early in the year. But in the second half of the year, the downward trend reversed with strong organic growth in the fourth quarter and growth in our Commercial, Healthcare and Science & Technology sectors, especially in Florida and the Northeast.

在美國其他地區，社區發展工作在繁忙的東南部和東北部地區有所增長，但其他地區的相對費用壓力以及分包顧問費用較高的項目在一定程度上抵消了這一增長。在交通運輸領域，先前已授標的大型專案的推進抵消了其他專案的縮減。我們在交通運輸、橋樑檢測、輕軌交通、公路和橋樑領域擁有強大的戰略地位，並且我們不斷獲得具有影響力的項目。我們的美國建築業務出現了自然萎縮，主要是由於一個大型醫療保健項目在年初就接近尾聲，該項目存在一些項目問題。但到了下半年，下降趨勢逆轉，第四季度實現了強勁的內生成長，商業、醫療保健和科技領域也實現了成長，尤其是在佛羅裡達州和東北部地區。

In Global operations on Slide 16, we generated very strong net revenue growth of 14.3%. That includes 5.4% net organic growth and roughly 9% acquisition growth, primarily in our Environmental Services and Infrastructure businesses.

在第 16 頁的全球營運中，我們實現了非常強勁的淨收入成長，達到 14.3%。其中包括 5.4% 的淨有機成長和約 9% 的收購成長，主要來自我們的環境服務和基礎設施業務。

Leading net revenue growth within Global operations was our Water business, propelled by new projects in Australia and New Zealand. Our Mining sector continued to benefit from improving commodity prices and a steady flow of Environmental Services work in Latin America. Our Global Buildings business performed well, with 2 major project awards in Qatar and the UAE. Due to decreased volume on a large project in Europe, Environmental Services retracted. Our Water Power and Dams sector grew as a result of new project wins, but growth was partly offset by projects winding down in our export business.

全球營運中淨收入成長領先的是我們的水務業務，這主要得益於澳洲和紐西蘭的新項目。我們的採礦業持續受惠於大宗商品價格的上漲以及拉丁美洲環境服務業務的穩定成長。我們的全球建築業務表現良好，在卡達和阿聯酋獲得了 2 個重大項目。由於歐洲某大型專案的業務量減少，環境服務部門撤回了該專案。由於新項目的中標，我們的水力發電和水壩業務實現了成長，但出口業務中一些項目的逐步結束部分抵消了這一增長。

Now we'll shift gears and look at backlog. At year-end, backlog for continuing operations was CAD 4.2 billion, representing 11.7 months of work. Just over 60% of that work is in the U.S., about 25% is in Canada and roughly 14% is in our global operations. We were awarded many significant projects in 2018. Those on the slide represent just a handful of the largest projects in our backlog, and of course, these are supplemented by the many thousands of smaller projects we win around the world, thanks to our strong local relationships.

現在我們轉換一下思路，來看看積壓的工作。截至年底，持續經營業務的積壓訂單為 42 億加元，相當於 11.7 個月的工作量。其中略多於 60% 的工作在美國，約 25% 在加拿大，約 14% 在我們的全球業務中。2018年，我們獲得了許多重要項目。幻燈片上展示的只是我們待辦事項清單中幾個最大的項目，當然，這還不包括我們憑藉強大的本地關係在世界各地贏得的成千上萬個小型項目。

As we look ahead to 2019, we expect organic net revenue growth to be in the low- to mid-single digits, in line with global GDP growth. We remain committed to our long-term average compound target rate of 15% net revenue growth achieved through a combination of organic and acquisition growth.

展望 2019 年，我們預期有機淨收入成長將處於個位數低至中等水平，與全球 GDP 成長保持一致。我們將繼續致力於實現長期平均複合年均淨收入成長目標，即透過內生成長和收購相結合的方式，實現 15% 的淨收入成長。

In Canada, we expect that a continued oil price volatility, rising interest rates and increased regulatory restriction on mortgage qualifications will slow economic growth. In the U.S., we expect solid consumer spending and business investment, slightly increasing interest rates and continued strong employment. We anticipate growth in our global markets as we continue to expand our global footprint. We expect healthy GDP growth in the countries where we operate, less volatility in commodity prices helping our Mining and Environmental Services business. We do expect Brexit to create some uncertainty in Europe and the U.K., but we believe our U.K. business is insulated from these uncertainties given our long-term critical public infrastructure contracts.

在加拿大，我們預計持續的油價波動、利率上升以及對抵押貸款資格的監管限制增加將減緩經濟成長。在美國，我們預期消費者支出和企業投資將保持穩健，利率將略有上升，就業狀況將持續強勁。隨著我們不斷擴大全球業務版圖，我們預計全球市場將實現成長。我們預計在我們開展業務的國家，GDP 將保持健康成長，大宗商品價格波動性將降低，這將有助於我們的採礦和環境服務業務。我們預計英國脫歐將為歐洲和英國帶來一些不確定性，但鑑於我們長期重要的公共基礎設施合同，我們相信我們在英國的業務不會受到這些不確定性的影響。

Now looking at our 2019 targets on Slide 19. We remain committed to our previously identified target ranges for gross margin, admin and marketing expenses, EBITDA and net income as a percentage of net revenue, as shown on the slide. The transition to IFRS 16 will impact admin and marketing expenses and our EBITDA, and we'll revisit these targets in Q1 once we've completely assessed how the transition to the new standard will impact us.

現在請看第 19 頁投影片，了解我們的 2019 年目標。我們將繼續致力於先前確定的毛利率、管理和行銷費用、EBITDA 和淨收入佔淨收入百分比的目標範圍，如幻燈片所示。過渡到 IFRS 16 將影響管理和行銷費用以及我們的 EBITDA，我們將在第一季度全面評估過渡到新標準對我們的影響後重新審視這些目標。

Our 2019 acquisition strategy is to remain disciplined as we focus on small to midsize firms that will help us deepen our expertise, diversify our services in key regions and create value. We plan to continue to infill in Canada and still see significant opportunity to grow and diversify in the U.S. We need to be a top-tier provider in multiple sectors to operate at scale, and acquisitions are key to growing and diversifying our operations and building vertical depth. Our intent is to achieve the same thoughtful North-American-focused geographic and business line expansion in the key global markets, namely New Zealand, Australia and in the U.K. We remain committed to the U.K. as part of our long-term growth strategy; with long-term infrastructure demands there are plenty of opportunities. But we'll wait and see where everything lands when the uncertainty surrounding Brexit subsides.

我們 2019 年的收購策略是保持謹慎，專注於中小型企業，這將有助於我們深化專業知識，在關鍵地區實現服務多元化，並創造價值。我們計劃繼續在加拿大進行市場擴張，並且仍然看到在美國發展和多元化的巨大機會。我們需要成為多個行業的一流供應商才能實現規模化運營，而收購是發展和多元化我們業務以及建立垂直深度的關鍵。我們的目標是在主要的全球市場，即紐西蘭、澳洲和英國，實現同樣以北美為中心的深思熟慮地域和業務線擴張。我們仍然致力於英國市場，將其作為我們長期成長策略的一部分；鑑於英國長期的基礎設施需求，這裡蘊藏著許多機會。但我們會拭目以待，看看隨著英國脫歐帶來的不確定性消退，一切最終會如何發展。

Stantec steps into 2019 determined to deliver shareholder value while providing solutions to challenges facing our clients and the world. Our consulting business remains among the best in the world. We've worked hard to build a practice as -- that is diversified by business line and geography, providing a stable base against potential volatility in any one sector or region. Our business model is further strengthened by our solid client base, which is well balanced between public- and private-sector clients, and built upon strong local relationships backed by our team of global experts. Our backlogs are strong and we're well positioned to continue winning meaningful work that will grow earnings and help us create communities.

Stantec 邁入 2019 年，決心在為客戶和世界面臨的挑戰提供解決方案的同時，為股東創造價值。我們的諮詢業務仍位居世界一流水準。我們努力打造了一個業務線和地理多元化的業務體系，從而為抵禦任何單一行業或地區的潛在波動提供了穩定的基礎。我們穩固的客戶基礎進一步強化了我們的商業模式，我們的客戶群在公共部門和私營部門之間保持著良好的平衡，並且建立在強大的本地關係之上，同時還有我們的全球專家團隊提供支援。我們目前訂單充足，完全有能力繼續贏得有意義的項目，從而增加收入並幫助我們創建社區。

As always, I thank our employees, clients and the investment community for their continued confidence in Stantec.

一如既往，我感謝我們的員工、客戶和投資界對史坦泰克的持續信任。

With that, I'll turn our call back to the operator to begin the Q&A.

接下來，我將把電話轉回給接線生，開始問答環節。

(Operator Instructions)

（操作說明）

And our first question comes from Jacob Bout.

我們的第一個問題來自 Jacob Bout。

Wanted to go back to your 15% net revenue CAGR guidance. I guess we would back into, then, a kind of a 10%-plus M&A for net revenue. What is your target areas right now for M&A by geography and sector?

希望恢復您之前15%的淨收入複合年增長率預期。那麼，我猜我們最終會達成一種淨收入成長超過 10% 的併購協議。目前貴公司在併購方面的目標區域和產業有哪些？

And so, Jacob, I'd also like to clarify that that 15% is on a 5-year average. Some years will be higher than that and certainly some years will be lower than that. From a geographic and business line expansion, we -- as we've mentioned earlier, we have -- in the prepared remarks, when we started back in June of 2017 when I was named to this role, we spent a lot of time in the U.K. and in Australia and New Zealand looking at firms. So in the U.K., we've identified, still, a number of really good top-tier firms that would like to join Stantec. At this point, though, we've paused any further additions of firms in the U.K. until we learn a little bit more about Brexit. So with that said, we'll continue to focus on Australia and New Zealand. Certainly we've previously press-released the -- that we've signed an LOI with WGE Engineers, Wood & Grieve Engineers of Perth, and we'll continue to talk to additional firms down there, but we intend to take our foot off the gas at all in the U.S. We still see strong opportunities for growth in the U.S. across all of our business lines. And perhaps just for a moment going back to Australia and New Zealand area, in Australia we have some good presence in Water, an emerging presence in Transportation, and when WGE joins us, subject to due diligence in the first quarter of this year, that'll give us a very strong national buildings presence. So I think we've got a lot of opportunities, still, in Australia and New Zealand, Australia in particular, to continue to focus on transportation firms, additional strength in our Water business, really filling out the full suite of services that typically, within the Stantec -- our 5 business operating units. We're seeing, still, in Australia, a lot of growth in the southeastern corridor from a land-development perspective, Community Development. In the west, certainly a lot of work, emerging work, coming back in the Mining business. And we're hiring there; in fact, having trouble filling some of the positions we want to hire just because it's so robust there. So pretty good geographic opportunities for M&A growth as well as a lot of sectors that we still have a good run rate in as well.

所以，雅各布，我還想澄清一下，這 15% 是 5 年平均值。有些年份會高於這個數字，當然也有些年份會低於這個數字。從地域和業務範圍的擴張來看，正如我們之前在準備好的發言稿中提到的，自從 2017 年 6 月我被任命擔任這個職務以來，我們花了很多時間在英國、澳大利亞和新西蘭考察公司。因此，在英國，我們仍然發現一些非常優秀的一流公司願意加入 Stantec。不過，目前我們已暫停在英國新增任何公司，直到我們對英國脫歐有更多了解為止。因此，我們將繼續專注於澳洲和紐西蘭。當然，我們之前已經發布新聞稿宣布，我們已與珀斯的WGE Engineers和Wood & Grieve Engineers簽署了意向書，我們也會繼續與當地其他公司洽談，但我們打算暫時放緩在美國的業務擴張步伐。我們仍然認為，我們在美國的所有業務領域都擁有強勁的成長機會。或許我們可以稍微回到澳大利亞和紐西蘭地區，在澳大利亞，我們在水務領域有一些不錯的業務，在交通運輸領域也正在發展壯大，而 WGE 在今年第一季完成盡職調查後加入我們，這將使我們在全國建築領域擁有非常強大的實力。所以我認為，我們在澳洲和紐西蘭，尤其是在澳大利亞，仍然有很多機會，可以繼續專注於運輸公司，進一步增強我們的水務業務實力，真正完善 Stantec 旗下 5 個業務營運部門通常提供的全套服務。我們仍然看到，從土地開發和社區發展的角度來看，澳洲東南部走廊地區正在蓬勃發展。在西部，肯定有很多工作機會，新興工作機會，採礦業正在復甦。我們正在那裡招聘；事實上，由於那裡的就業情況非常強勁，我們甚至難以填補一些我們想要招募的職位。因此，在併購成長方面，地域上的機會相當不錯，而且我們在許多行業也仍然保持著良好的成長勢頭。

Okay, thank you. That was helpful. And maybe just a question on how the divestiture of your construction business has impacted your E&C Water business. Any impact on win rates or any other impacts? Thank you.

好的，謝謝。那很有幫助。或許也可以問一下，剝離建築業務對您的工程建設水務業務有何影響。對勝率或其他方面有影響嗎？謝謝。

We have not seen any impact on win rates or -- at this point, in the U.S. in particular, no impact that I could speak of whatsoever. And in the U.K. as well, we still have -- we haven't seen any impact from the divestiture of construction at this point.

我們尚未看到對勝率的任何影響，或者——就目前而言，尤其是在美國，沒有任何我可以談論的影響。在英國也是如此，目前我們還沒有看到剝離建築業產生任何影響。

Okay. Last question here, just on the quality of your backlog. What's the embedded EBITDA margin in your backlog you have currently?

好的。最後一個問題，關於你們待辦事項的品質。您目前積壓訂單中蘊含的 EBITDA 利潤率是多少？

We feel that the backlog hasn't been achieved through price reductions. So we feel good about the quality of the backlog as well, that it'll be in line with what we've seen historically.

我們認為，透過降價並不能解決積壓問題。所以我們對積壓工作的品質也感到滿意，認為它將與我們過去所看到的相符。

And our next question comes from Yuri Lynk.

下一個問題來自尤里·林克。

Just a follow-up on the debt-to-EBITDA ratio. It struck me as rather high; 2.42, I think, is the number provided. Can you just clarify the -- if the EBITDA you're using in that calc is restated for just the consulting EBITDA, or is that including the losses in the construction business over the last year?

關於債務與 EBITDA 比率的後續問題。我覺得這個數值相當高；我記得給的數字是 2.42。您能否澄清一下—您在計算中使用的 EBITDA 是否僅指諮詢業務的 EBITDA，還是包括了去年建築業務的虧損？

No, that is using our actual EBITDA, not the adjusted metric.

不，我們使用的是實際的 EBITDA，而不是調整後的指標。

Okay, that makes a little more sense. So that should -- I guess the thinking, if we were to tie that into the plan to do more M&A, because at face value it looks like you're rather tight there, EBITDA lapping some easy comps, better cash flow, and that kind of gets you into a better comfort range on the balance sheet. Is that the thinking?

好的，這樣就說得通了。所以，我想，如果我們把這和進行更多併購的計劃聯繫起來，因為從表面上看，你們的財務狀況似乎相當緊張，EBITDA 超過了一些容易比較的競爭對手，現金流更好，這能讓你們的資產負債表處於一個更舒適的範圍內。這就是他們的想法嗎？

Yes, and keep in mind, I mean, the EBITDA is -- we know it's going to improve now that we've shed the construction business. And so we're anticipating that coverage to improve pretty dramatically as we roll into 2019 and those -- the weak EBITDA from construction rolls off. So we -- it's something that we're monitoring, absolutely, but it's not really, for me, an area of concern.

是的，而且請記住，我的意思是，EBITDA——我們知道，既然我們已經剝離了建築業務，它肯定會改善。因此，我們預計隨著進入 2019 年，建築業疲軟的 EBITDA 將會大幅改善。所以，我們——這絕對是我們正在關注的事情，但對我來說，這並不是一個真正令人擔憂的領域。

Got it, okay. Can you share with me what the guidance implies for the Buildings segment, particularly around margin? And you described continued execution challenges in the fourth quarter in that segment. I mean, this has been going on for a while. What's being done? What are the nature of the issues? And when might they cease?

明白了，好的。您能否分享一下指引對建築板塊的具體意義，特別是對利潤率？您也提到，該業務板塊在第四季持續面臨執行方面的挑戰。我的意思是，這種情況已經持續了一段時間。正在採取哪些措施？這些問題的性質是什麼？它們何時才會停止？

Yes, when we -- certainly in the fourth quarter of last year, we did a deep dive on these 2 Buildings projects in Canada. That was the Mackenzie Vaughan Hospital and CAMH. And what we found there was -- so the issues -- we trued up, really, with a strong year-end value assessment, the cost to complete the design phase. Both those projects are in construction now, the design phase largely complete, and really those -- we trued up what we believe the year-end value to address with that. Going forward, we have services -- we'll continue with services during construction, but that work, the services-during-construction work, those budgets remain intact. So we believe that the performance in the Buildings sector going forward into 2019, while we don't see it as being spectacular, we don't foresee the degree of impact that we had in 2018.

是的，去年第四季度，我們對加拿大的這兩個建築項目進行了深入研究。那是麥肯齊沃恩醫院和 CAMH。我們發現的問題在於──我們透過強而有力的年終價值評估，真正解決了設計階段的成本問題。這兩個項目目前都在建設中，設計階段基本上完成，而且——我們已經確定了我們認為年底要解決的問題。展望未來，我們將繼續提供服務——我們將繼續在施工期間提供服務，但這些工作，即施工期間的服務工作，其預算保持不變。因此，我們認為，展望 2019 年建築業的表現，雖然我們不認為會非常出色，但我們預計不會像 2018 年那樣產生如此巨大的影響。

And was the issue there just underestimating the number of man hours it would take to complete these jobs?

問題是不是出在低估了完成這些工作所需的人工時數？

Yes, those were both P3 jobs. And you're right, they -- the scope -- we found that the scope was not well controlled. The client came back with numerous change orders, and perhaps we hadn't managed that as well internally as we could have. We've changed some people around, we've brought in some additional -- from internally, we've put some of our project management specialists on it. That's where we did the deep dive into the year-end value, did those true-ups in Q4, and that's why, going forward, we expect that we're going to be in better shape there.

是的，那兩個都是P3專案。你說得對，他們——範圍——我們發現範圍控制得不好。客戶提出了許多變更訂單，也許我們在內部處理這些變更訂單方面做得不夠好。我們調整了一些人員，也從內部調進了一些人手，像是我們的一些專案管理專家。正是在那裡，我們深入研究了年終價值，並在第四季度進行了調整，因此，展望未來，我們預計我們在這方面的情況會更好。

Okay. So we should see better margins on the whole in '19 versus '18 in Buildings? Is that the message?

好的。所以，與 2018 年相比，2019 年建築業的整體利潤率應該會更高吧？這就是你想傳達的訊息嗎？

That would be our anticipation, yes.

是的，這正是我們所預期的。

(Operator Instructions)

（操作說明）

Our next question comes from Mark Neville.

下一個問題來自馬克·內維爾。

Maybe just first on the last construction project. Just, can you just remind us, or just let us know when that officially wraps up, and then if there's any cash flow impacts that we should expect in Q1?

或許只是最後一個建築項目中的第一個。您能否提醒我們一下，或告知我們該專案何時正式結束，以及第一季現金流是否會受到任何影響？

So we -- so, good question, Mark. So as Theresa noted in her remarks, the -- we're focused right now on this 30-day acceptance test. And we're over 20 days into it, so that's the next big milestone, is to achieve that 30-day acceptance period. Once that's complete, we still have -- we have O&M contracted for a 5-year period, so we're not particularly focused on the O&M contract right now, but we have received interest from a number of firms who would be interested in picking up that O&M contract from us, and thereby us shedding all go-forward liability on that, so that's kind of something that we're certainly interested in, and we'll engage on -- in those discussions once we've completed this -- our 30-day performance test. And again, we're over 20 days into that.

所以——所以，問得好，馬克。正如特蕾莎在演講中提到的那樣，我們現在專注於這 30 天的驗收測試。現在已經過去 20 多天了，所以下一個重要的里程碑就是達到 30 天的驗收期。一旦完成，我們還有一項為期 5 年的營運維護合同，所以我們目前並沒有特別關注運營維護合同，但我們已經收到一些公司的意向，他們有興趣接手我們的運營維護合同，從而讓我們擺脫所有後續責任，所以我們當然對此很感興趣，一旦我們完成這項為期 30 天的績效測試，我們將參與這些討論。再說一遍，我們已經持續了20多天了。

Yes, as far as the cost goes, we took a pretty hard look in the fourth quarter at what we needed to provide for with respect to completing this project, as well as the anticipated impacts of the O&M contract over its 5-year life. And so from an earnings impact, we feel that we've been conservative in providing our best estimated amount, and so the goal would be that as we move into 2019 to not see material losses recorded in the year. And so that's the approach that we've taken from a cash flow perspective. Of course, that timing will be as the project unfolds and over the course of that O&M contract.

是的，就成本而言，我們在第四季度認真研究了完成該專案所需的準備金，以及營運和維護合約在其 5 年期限內的預期影響。因此，從獲利影響的角度來看，我們認為我們在提供最佳估計金額時已經比較保守了，因此我們的目標是，進入 2019 年後，不要出現重大虧損。所以，這就是我們從現金流角度採取的方法。當然，具體時間安排將隨著專案的進展和維運合約的執行而定。

But maybe just related to the actual -- ignoring the O&M, as the construction portion of these ramp up, I mean, in Q1, is there a significant cash outflow tied to that?

但或許只是與實際情況有關——忽略營運和維護，隨著這些項目的建設部分逐步推進，我的意思是，在第一季度，是否存在與此相關的重大現金流出？

I don't think it's significant, no.

我不認為這很重要。

Okay. And maybe just in the area of -- looking at your 2019 guidance, I'm just trying to reconcile sort of everything you're saying. Are you actually expecting growth in the Canadian ops next year?

好的。也許只是在——看看你 2019 年的指導意見，我只是想把你說的所有內容都整合起來。你真的預期明年加拿大業務會成長嗎？

Yes. Yes, we are forecasting organic growth in Canada for next year.

是的。是的，我們預測明年加拿大市場將實現有機成長。

Okay. I mean, it looks like a fairly difficult comp in '19 versus '18 in Canada, but like, consolidated, you're sort of roughly in the same range as what you did in '18, so I'm just curious if there is some softness in Canada or if it's down from last year, the growth rate, just maybe where you expect to make that up?

好的。我的意思是，2019 年加拿大市場與 2018 年相比，比較起來似乎相當困難，但綜合來看，你們的業績與 2018 年大致處於同一水平，所以我只是好奇加拿大市場是否存在疲軟或增長率低於去年的情況，以及你們打算如何彌補這一差距？

We're seeing really good activity in the Transportation sector in Canada. At least there's -- we've been shortlisted on a number of projects in the GTA area there, here, Ontario, Milton Corridor, Lakeshore West. So a lot of good opportunities in transportation, particularly good opportunities continuing in the -- in both Environmental Services and Environmental and our Energy & Resources group as they relate to Coastal Gas, LNG Canada and Trans Mountain, should that be approved to move forward. So we do see some green shoots in a lot of our operations in Canada.

我們看到加拿大交通運輸業的活動非常活躍。至少我們已經入圍了大多倫多地區（GTA）的多個項目，包括安大略省的米爾頓走廊和湖濱西區。因此，交通運輸領域有很多很好的機會，特別是環境服務、環境以及我們的能源與資源集團在沿海天然氣、加拿大液化天然氣和跨山輸油管項目方面繼續存在著很好的機會，如果這些項目獲得批准推進的話。因此，我們在加拿大的許多業務確實出現了一些好轉的跡象。

Okay. Maybe just one last one, then, for Theresa. Just on the reclassification of the corporate costs, I apologize if I missed this in the MD&A, but the 11.7% margin that you did in '18, does that -- is that sort of reclassified, or is that sort of on the old classification of the corporate?

好的。或許，就最後再給特蕾莎一個吧。關於公司成本的重新分類，如果我在管理層討論與分析中遺漏了這一點，我深表歉意。但是，您在 2018 年實現的 11.7% 的利潤率——這是重新分類的結果，還是沿用了公司成本的舊分類？

Yes. So it's -- I don't blame you, it's a little bit of a mind-twister in following through. So the 11.7% on the EBITDA margin, that piece is related to adjusting out those unusual and nonrecurring items. It doesn't take into account the reallocated costs. If you do adjust for the reallocated costs, we would actually have been at 12%.

是的。所以——我不怪你，要堅持下去確實有點費腦筋。因此，EBITDA 利潤率的 11.7% 與調整掉那些不尋常和非經常性項目有關。它沒有考慮重新分配的成本。如果將重新分配的成本進行調整，我們實際上應該達到 12%。

12%, okay. And I guess for -- I guess that's my question, for '19, the baseline, then, is 12% or 11.7? Just for guidance and -- yes.

12%，好的。那麼，對於 2019 年來說，基準線是 12% 還是 11.7% 呢？僅供參考——是的。

So for '19, the basis would have to be 11.7% because the new methodology of allocating cost is now the go-forward approach.

因此，對於 2019 年，基準必須為 11.7%，因為新的成本分配方法現在是未來的發展方向。

Okay, so the 11.7% is the reallocated number? Maybe I'm not fully understanding, and I apologize, but the 11.7% is reclassified?

好的，所以11.7%是重新分配後的數字嗎？也許我理解得不夠清楚，很抱歉，但11.7%是重新分類的嗎？

Yes, that's correct.

是的，沒錯。

Our next question comes from Maxim Sytchev.

下一個問題來自馬克西姆·西切夫。

I had a -- maybe a question for Theresa to start off. The reported tax rate in MD&A, you talk about 10.9%. So is that what you use to calculate the CAD 0.40 for the Q4 adjusted EPS?

我有個問題想問特蕾莎。MD&A 中報告的稅率是 10.9%。所以，你們是用這個來計算第四季調整後每股盈餘的0.40加元嗎？

The tax rate -- it would have included the adjustment for the CAD-10-million provision -- or, sorry, recovery that we adjusted for in arriving at adjusted net income. So the lower tax rate would have the recovery included; the normalized rate would have it backed out.

稅率——其中應該包括對 1000 萬加元準備金的調整——或者，抱歉，是我們在計算調整後淨收入時所調整的補償。因此，較低的稅率會包含這部分回收款項；而正常稅率則會扣除這部分款項。

Sorry, the normalized -- so the normalized EPS that you calculated the CAD 0.40, because, like, I'm just going through, right now, through the spreadsheet. So was that imputing a 27% tax rate or the 10.9%?

抱歉，您計算出的標準化 EPS 是 CAD 0.40，因為我現在正在查看電子表格。所以，這是指27%的稅率還是10.9%的稅率？

That would have been imputing a 27% tax rate.

那相當於假定稅率為27%。

Okay, okay. Thank you. And then in terms of -- when we look on a by-divisional basis, gross profit percentages are trending downward sort of across the board, and especially when you combine it with potential wage pressure due to relatively low unemployment rate. How should we think about the gross profit percentages on a prospective basis? Your comfort level around being able to bring those back up?

好的，好的。謝謝。然後，從部門層級來看，毛利率整體呈現下降趨勢，尤其是在失業率相對較低的情況下，再加上潛在的薪資壓力，情況就更糟了。我們該如何從預期角度看待毛利率？你覺得你能不能把這些東西重新提起？

So the -- yes, Max, as we look at gross margin, you're right, that has been kind of trending in a downward direction. We're pretty focused, as we did last year, on the cost side. This year we're going to continue to focus as well on -- and you're right, there is wage pressure in a number of our areas. And we're also really having a look at our overall work force, the demographics, the organizational structure, in looking for how we can continue to optimize that and bring down our overall average cost per hour of labor. So I think as we continue working through these initiatives in the first half of 2019, we're hopeful that that will, as we bring down that average cost of labor, that our gross margin will continue trend back upwards.

所以——是的，Max，當我們看毛利率時，你說得對，它一直呈下降趨勢。和去年一樣，我們非常注重成本控制。今年我們將繼續關注——你說得對，我們許多領域都面臨薪資壓力。我們也在認真審視我們的整體員工隊伍、人口結構和組織結構，以尋找如何繼續優化並降低我們每小時的平均勞動成本。因此，我認為隨著我們在 2019 年上半年繼續推進這些舉措，我們希望隨著平均勞動成本的降低，我們的毛利率將繼續呈上升趨勢。

Right. And so do you mind maybe expanding a little bit on additional efficiencies that you can drive through kind of the system? Because I mean, like, it's easy, obviously, to say, like, it's going to go up by 100 basis points, but what is exactly behind that?

正確的。那麼，您能否再詳細談談您可以透過此系統實現的其他效率提升措施呢？因為我的意思是，很明顯，說它會上漲 100 個基點很容易，但這背後究竟是什麼呢？

So we're -- when we look at our overall structure, Max, we're looking at how we can continue to lean out the structure a little bit more, how we can get less people looking at administrative-type tasks and more people back working with clients and on projects. So we're continuing that work. We have -- we've presented some initial work to the board yesterday, and we're going to continue working through that. In terms of just how can we become leaner and meaner, we need to do that now, but I think you've brought up in the past in some of our discussions that as our -- as the U.S. expansionary cycle has gone on for quite some time now, do we see it as some point softening? And if so, how quickly can firms respond to a softening? So we're making sure that we're working hard to get out ahead of that.

所以，Max，當我們審視我們的整體結構時，我們正在考慮如何繼續精簡結構，如何減少從事行政類任務的人員，讓更多的人回到與客戶和專案相關的工作。所以我們正在繼續這項工作。昨天我們已經向董事會提交了一些初步工作成果，我們將繼續推進這些工作。至於如何才能變得更精簡高效，我們現在就需要這樣做，但我認為你過去在我們一些討論中提到過，隨著美國擴張週期持續了相當長一段時間，我們是否認為它會在某個時候放緩？如果情況屬實，企業能夠以多快的速度應對經濟疲軟？所以我們正在努力確保搶佔先機。

Okay, no, that makes a lot of sense. And last question/clarification: You've added the adjusted net income to net revenue target, better than 5%, and I think consensus is already implying kind of, like, 7% for 2019. So what was the rationale of adding that additional target to your list, if it's possible?

好吧，這很有道理。最後一個問題/澄清：您已將調整後的淨收入目標添加到淨收入目標中，高於 5%，我認為市場普遍預期 2019 年的目標約為 7%。那麼，如果可以的話，為什麼要把這個額外的目標加到你的清單中呢？

It's something that we've always tracked internally, Max. It's been our -- something that we've used, and so the thought was that if it's something that's important for us to track internally and hold ourselves accountable to, that from a transparency perspective, we didn't mind sharing that with you as well.

這是我們一直在內部追蹤的事情，Max。這一直是我們使用的東西，所以我們想，如果這對我們來說是需要內部追蹤並對自己負責的事情，那麼從透明度的角度來看，我們也不介意與你們分享。

And our next question comes from Mona Nazir.

下一個問題來自莫娜·納齊爾。

So my first question is just following on the last line of questioning. You had 11.7% consulting margin in 2018, which was a year that effectively there was a lot of noise surrounding the business. You had challenges within your construction division, you were trying to sell that, new management transition, and given the noises have subsided for the most part and your recent comments surrounding optimization, do you think it's possible to hit the upper end of the guidance range for EBITDA? So 12.5% or more?

所以我的第一個問題就是緊接著上一個問題提出的。2018 年，你們的諮詢業務利潤率為 11.7%，而那一年，圍繞該業務的噪音實際上很多。您的建築部門遇到了一些挑戰，您試圖解釋這些挑戰，新的管理層也進行了過渡。鑑於目前大部分幹擾因素已經平息，以及您最近關於優化方面的評論，您認為有可能達到 EBITDA 指導範圍的上限嗎？所以是12.5%或更高？

Mona, we're going to continue to focus hard on that, both through efficiencies, increasing our quality of delivery and so on. We feel that that range of 11% to 13% is reasonable. Often we get asked, would we ever get above 13%, and I don't think that getting back in those 14% numbers that we had several years ago is -- could happen. We're going to focus hard to do as -- to get the best we can there, but certainly I think the midpoint is probably a reasonable objective for us to think about.

莫娜，我們將繼續努力，透過提高效率、提升交付品質等方式來加強這方面的工作。我們認為 11% 到 13% 這個範圍是合理的。我們經常被問到，我們的成長率是否有可能超過 13%，我認為我們不可能再回到幾年前的 14% 的水平了。我們將全力以赴，爭取做到最好，但我認為，中點或許是我們應該考慮的合理目標。

Okay, that's helpful. And then just secondly, I wanted to turn to infrastructure spending initiatives, both in Canada and the U.S., and it's been slow to take off on both sides. And from calls dating back to last year and even 2017, there was an overall optimization within the sector, and we saw strong rallying, albeit it's somewhat died down since. I'm just wondering if your current organic-growth forecast of low- to mid-single digits, does that factor in any uptick in spending, or is it based on the status quo?

好的，這很有幫助。其次，我想談談加拿大和美國的基礎建設支出計劃，但這兩個國家的基礎建設支出計劃進展緩慢。從去年甚至 2017 年的預測來看，該行業整體上進行了優化，我們看到了強勁的反彈，儘管此後有所減弱。我只是想知道，您目前對有機成長的預測是低至中等個位數，這是否考慮了支出成長的可能性，還是基於現狀？

It's really based on the status quo, Mona. Like, the -- certainly there's been a lot of talk both north and south of the border of a significant increase in infrastructure spend, but we really haven't seen anything that has materially come along. The market is pretty close to capacity both on the design and the construction side, so if there was a big injection of significant infrastructure funds either north or south of the border, part of my concern is that that would lead to some significant inflationary spirals in our industry. So -- but to your point, no, we have not included in our forecast a significant uptick in infrastructure spend.

莫娜，這其實是基於現狀的。例如，當然，邊境南北雙方都一直在談論大幅增加基礎設施支出，但我們實際上還沒有看到任何實質的進展。無論是在設計方面還是在建造方面，市場都已接近產能極限，因此，如果邊境以北或以南有大量基礎設施資金注入，我擔心這會導致我們行業出現嚴重的通貨膨脹螺旋。所以——但正如您所說，不，我們的預測中並未包含基礎設施支出的大幅增長。

And our next question comes from Derek Spronck.

下一個問題來自 Derek Spronck。

Can you provide any updates on the AMP6 to AMP7 transition?

能否提供關於AMP6到AMP7過渡的最新進展？

Yes, that process is going well. We're currently, as you know, in AMP6. AMP7 will -- really kicks in in April of 2020. So as we have a number of AMP6 clients in which we have the provision as they roll into AMP7 of just renegotiating the contract, we will not have to re-compete, so we're in discussions with a number of clients on that now. But there has only been 2 AMP7 contracts that have gone out, 1 for Yorkshire Water and 1 for SouthWest Water. And we were successful on winning both of those AMP7 agreements -- those AMP7 contracts going forward. Both run through 2025 with an option to extend past that. So we feel pretty comfortable with where we are in the AMP6 to AMP7 transition.

是的，這個過程進展順利。如您所知，我們目前處於 AMP6 階段。AMP7 將於 2020 年 4 月正式啟動。因此，我們有很多 AMP6 客戶，當他們過渡到 AMP7 時，我們只需重新協商合同，無需重新競標，所以我們現在正在與一些客戶討論此事。但目前只發出了 2 份 AMP7 合同，一份給了約克郡水務公司，一份給了西南水務公司。我們成功贏得了這兩份 AMP7 協議——也就是未來的 AMP7 合約。兩項合約均有效期至 2025 年，並​​可選擇續約。因此，我們對 AMP6 到 AMP7 過渡的現狀感到相當滿意。

Okay, that's great. Thanks, Gord. With the backlog, CAD 4.2 billion, you indicated that you're feeling relatively comfortable with any sort of uncertainty that might arise with Brexit due to the long-term nature of your contracts there. If we were to look at the -- your CAD-4.2-billion backlog, how much of that do you expect to be converted over the next 12 months? Or what's the duration of that, of the backlog?

好的，太好了。謝謝你，戈爾德。鑑於積壓訂單高達 42 億加元，您表示由於您在英國的合約具有長期性，您對英國脫歐可能帶來的任何不確定性都感到相對安心。如果我們看一下你們42億加幣的積壓訂單，你們預計在未來12個月內能轉換多少？或者說，積壓的工作要持續多久？

Well, as you know, with the new accounting rules that rolled in last year, we used to always report on our upcoming 12 to 18 months' backlog; now we're required to report on our full backlog. So certainly, that gives us 11.7 months. In terms of how much do we plan to convert, it will be just our continued taking from where we are in 2018 as we roll forward with our organic growth into 2019. I don't see -- well, we won't consume all of that, because we have, certainly, a number of additional projects coming on. (inaudible).

如您所知，隨著去年新會計準則的實施，我們過去總是報告未來 12 至 18 個月的積壓訂單；現在我們必須報告全部積壓訂單。所以，這確實給了我們 11.7 個月的時間。至於我們計劃轉化多少，那隻是在2018年的基礎上繼續增長，並隨著我們2019年的有機增長而繼續增長。我並不認為——嗯，我們不會把這些都用完，因為我們肯定還有一些其他項目即將啟動。（聽不清楚）

But by and large, it gives you pretty good visibility for 2019. I mean, the majority . . .

但總的來說，它能讓你對 2019 年的情況有相當不錯的了解。我的意思是，大多數人…

Oh, yes. We feel quite comfortable for 2019, absolutely.

哦是的。我們對2019年充滿信心，絕對是如此。

Okay, that's great. And then just one more for myself. You indicated the gross margins were down largely due to changes in project mix. Is that just the quarterly variance, or do you see that trend continuing at all in the future? And maybe a little bit more color there would be helpful.

好的，太好了。然後，再給自己來一杯。您指出毛利率下降主要是由於項目組合的變化。這只是季度間的波動，還是您認為這種趨勢在未來會持續下去？或許加點顏色會更好。

What we -- we do find that some of the Energy & Resources work that we do on the large pipeline jobs and large Oil & Gas jobs are at a lower margin than some of our other lines of business, so I think as that work increased a bit in 2018, we saw a little bit of margin impact from that. But going forward, we don't see margin contraction in a lot of the new work that we're either bidding or being awarded. So coupled with the types of projects that we're getting in the door, coupled with us working to increase our average cost of labor efficiencies, we're optimistic that the gross margins will not -- will see no further deterioration. It'll either be stable or increase through the year.

我們發現，我們在大型管道工程和大型石油天然氣工程等能源資源領域的一些工作，其利潤率低於我們其他一些業務線。因此，我認為隨著 2018 年這類工作量的增加，我們的利潤率也受到了一定程度的影響。但展望未來，我們預計在我們正在投標或已獲得的許多新項目中，利潤率不會出現收縮。因此，結合我們目前獲得的項目類型，以及我們努力提高平均勞動成本效率，我們樂觀地認為毛利率不會進一步惡化。年內要麼保持穩定，要麼持續成長。

Okay. And then just one last one, quickly, for myself, before I turn it over. Did you see any sort of impact from the U.S. government shutdown there in the first quarter?

好的。然後，在我翻過來之前，再快速地給自己最後一個。第一季度，您是否看到美國政府停擺對當地造成了任何影響？

We really didn't see a significant impact on our U.S. operations due to that. A big part of our work is for agencies like FEMA, and their funding was unaffected by the shutdown, so we really didn't see much of an impact at all.

因此，我們並沒有看到這對我們在美國的營運造成重大影響。我們的大部分工作是為像 FEMA 這樣的機構服務，而他們的資金並未受到政府停擺的影響，所以我們實際上並沒有看到太大的影響。

And our next question comes from Devin Dodge.

下一個問題來自德文·道奇。

Some of your U.S. peers continue to generate really strong organic growth, high-single-digit, low-double-digit kind of range. It was good to see a bit of a lift on your U.S. organic growth in the quarter, but it still seems like there's a bit of a gap between yourselves and some the larger players like AECOM and Jacobs. Is this just a function of the specific markets you're in, or the end markets you serve, or are there other things that we should be thinking about?

你們的一些美國同行繼續保持著非常強勁的內生成長，成長率達到了高個位數到低兩位數的水平。很高興看到貴公司本季在美國的有機成長有所提升，但貴公司與 AECOM 和 Jacobs 等一些規模更大的公司之間似乎仍然存在一些差距。這只是你所處的特定市場或你服務的最終市場的功能，還是還有其他我們應該考慮的因素？

No, and you're right, when you look at our organic net revenue growth in Q4 in the U.S., we had 4%. We've kind of seen strengthening from Q3 '18 to Q4 '18, and so we see some continued strengthening. We are projecting in the U.S. that we'll have higher organic growth this year, certainly, than in Canada, so we've got some good project wins. We've referenced a couple of the big Transportation projects. We've got some good Water projects down there. In Water in particular, our backlogs are at an all-time high, and we're working through that process of, we need to hire more people, get them in the door, in order to get the work out the door. But we're trying to still be very disciplined and -- in our hiring practices and certainly in our pay, that we don't fall into a cycle of just continuing to escalate our pay, which would then -- the pay profile, which would then lower our margin. So we're trying to be disciplined and balance that discipline with our need to consume the backlog and get the work out the door. So it's a -- we're trying to balance a little bit there, and I think we're having some success in Water so far this year. We're -- we've hired a number of people at the production ranks, upwards of -- well, without getting into the numbers, but we're certainly having some success there in hiring people and maintaining our pay profile in the way that we want to do so going forward.

不，你說得對，如果你看我們在美國第四季的有機淨收入成長，我們達到了 4%。我們看到從 2018 年第三季到 2018 年第四季度，市場有所走強，因此我們預期市場將繼續走強。我們預計今年美國市場的有機成長肯定會高於加拿大，所以我們贏得了一些不錯的項目。我們提到了幾個大型交通運輸項目。我們在那裡有一些不錯的水利工程。尤其是在水務方面，我們的積壓工作達到了歷史最高水平，我們正在努力解決這個問題，我們需要招募更多的人，讓他們入職，以便盡快完成工作。但我們仍然努力保持高度自律，在招募和薪資方面，避免陷入不斷提高薪資的惡性循環，因為這會降低薪資水平，進而降低我們的利潤率。所以我們努力保持自律，並在自律和處理積壓工作、完成任務之間取得平衡。所以，我們正在努力在這方面取得一些平衡，我認為今年到目前為止，我們在水務方面取得了一些成功。我們已經在生產部門招聘了不少人，人數高達——好吧，不透露具體數字，但我們在招聘人員和保持我們想要的薪酬水平方面確實取得了一些成功。

That's -- thanks for that, it's good color. Maybe just switching gears here, but last quarter you talked about the acquisition pipeline was as full or fuller than it's ever been. I guess, how has this evolved over the last 3 or 4 months? And maybe just further to that, I just want to make sure I have this clear, but I think Theresa mentioned that there's a desire to strengthen the balance sheet, maybe reduce leverage. Does this in any way suggest that M&A could slow down in 2019 versus maybe what it was last year?

謝謝，顏色真好看。或許我得換個話題，但上個季度您提到收購專案儲備比以往任何時候都更加充足。我想問的是，在過去的3到4個月裡，這件事發生了什麼樣的變化？另外，我想確認一下，特蕾莎提到過，公司希望加強資產負債表，或許可以降低槓桿率。這是否意味著與去年相比，2019 年的併購活動可能會放緩？

No, we don't see that occurring. So from -- first I'll talk about the pipeline perspective. From both within North America, primarily in the United States, and outside, Australia, New Zealand, there's some good opportunities in some of these solid Western European countries, up in the Nordics as well. Some good opportunities there. So the pipeline remains very, very full, and probably even fuller than when we had that discussion last quarter. In terms of the capital allocation and our growth going forward there, perhaps I'll let Theresa answer that question.

不，我們認為這種情況不會發生。所以，首先我將從管道的角度談談。無論是在北美（主要是美國），或是在北美以外的澳洲、紐西蘭，以及一些經濟實力雄厚的西歐國家和北歐國家，都存在著一些不錯的機會。那裡有一些不錯的機會。所以，管道仍然非常非常滿，甚至可能比我們上個季度討論這個問題時還要滿。至於資本配置和我們未來的發展，或許我應該讓特蕾莎來回答這個問題。

Yes, I think it's really a matter of ensuring we maintain our discipline. There are so many opportunities in the M&A pipeline that in selecting the ones that we will actually pursue, it will be about ensuring that that's the best place to place our capital, and that's really what that optimization will be about, as I talked about earlier.

是的，我認為這確實是一個確保我們保持紀律的問題。併購交易中有很多機會，因此在選擇我們實際要進行的交易時，關鍵在於確保這是我們投入資金的最佳途徑，而這正是優化工作的意義所在，正如我之前所說。

And our next question comes from Benoit Poirier.

下一個問題來自 Benoit Poirier。

And just for -- to come back on the M&A, could you mention if you saw a step up in the valuation that took place over the last year given the overall improvement in valuation in this space?

回到併購話題，鑑於該領域整體估值水準的提高，您能否提及您是否觀察到過去一年中估值水準有所提升？

We've been -- we've continued to be pretty disciplined, Benoit, as we look at these. The ones that typically would go to an auction and see even higher and higher prices, we're -- we typically don't participate in those because the seller's motivation to sell and be part of a strategic buyer like Stantec is very important to us. We see that [6] to [8] range maybe over the last year or so has kind of gone from -- to a little bit of a [7] to [9], but we still maintain our discipline and our focus in paying what we believe to be the right price for the acquisitions. And if money is the only reason for an acquisition to join us, then oftentimes we'll find that they might be better to go elsewhere.

貝努瓦，我們一直——我們一直都保持著相當的自律，認真對待這些問題。那些通常會被送到拍賣會上，價格越拍越高的房產，我們通常不會參與，因為賣家出售的動機以及成為像 Stantec 這樣的戰略買家的動機對我們來說非常重要。我們看到，在過去一年左右的時間裡，[6] 到 [8] 的範圍可能已經從 - 稍微變成了 [7] 到 [9]，但我們仍然保持著我們的紀律和專注，為收購支付我們認為合適的價格。如果收購的唯一原因是出於金錢考慮，那麼我們往往會發現，他們去別的地方可能會更好。

Okay, perfect. And just in terms of capital allocation, Theresa, sorry if I missed the answer at the beginning, but funded debt/EBITDA stood at 2.4x at the end of the year. I was wondering what type of level would you like to be going forward, and also, what type of free cash flow generation we should be looking for in 2019.

好的，完美。至於資本配置方面，Theresa，如果我一開始錯過了你的回答，請見諒，但截至年底，有息債務/EBITDA 為 2.4 倍。我想知道您希望未來達到什麼樣的水平，以及我們在 2019 年應該追求什麼樣的自由現金流。

Yes, so as I mentioned earlier, the 2.42 is based on our actual EBITDA. That does include the impact of the construction business. And so as we start to roll away from having those results in that metric, we know that the metric will improve. Where do we want it to be? I think historically Stantec has said, 1.5 to 2.5. So we're well within where we want it to be. It is about improving it further, and we know that that will occur as we continue to grow and, again, as we shed the construction impacts. From a free cash flow perspective, I think you're going to see the same thing, that our cash from operations is forecast to increase from our consulting business, and along with that, 2018 was a heavy year for us from a capital expenditure perspective, mainly because of the move into the new tower. And so we expect that spending to come down in 2019. And so both of those effects of higher cash from operations, lower CapEx, will, we think, dramatically improve our free cash flow.

是的，正如我之前提到的，2.42 是基於我們實際的 EBITDA。這其中也包括建築業的影響。因此，當我們開始不再以這些結果作為衡量標準時，我們知道該指標將會改善。我們希望它在哪裡？我認為從歷史數據來看，Stantec 曾表示，這個數字是 1.5 到 2.5。所以，我們目前的情況完全符合預期。關鍵在於進一步改進，我們知道隨著我們不斷發展壯大，以及隨著我們擺脫建設的影響，這種情況將會發生。從自由現金流的角度來看，我認為你會看到同樣的情況，我們的經營活動現金流預計將會因諮詢業務而增加，與此同時，2018 年對我們來說是資本支出很大的一年，主要是因為搬進了新大樓。因此我們預計2019年該項支出將會下降。因此，我們認為，營運現金流增加和資本支出減少這兩個因素將大大改善我們的自由現金流。

Okay. Have you provided the number in terms of CapEx for 2019, Theresa?

好的。Theresa，你有提供過2019年的資本支出數字嗎？

Yes, we provided a range of CAD 60 million to CAD 65 million for capital expenditures and CAD 5 million to CAD 10 million for software additions.

是的，我們提供了 6,000 萬加元至 6,500 萬加元的資本支出預算，以及 500 萬加元至 1,000 萬加元的軟體新增預算。

Okay, perfect. And would it be fair that the free cash flow conversion, you're still expecting kind of the 100% of the net income going forward, or is there any changes that we should take into account?

好的，完美。那麼，自由現金流轉換率是否仍預期未來淨收入能達到100%？還是說我們應該考慮一些變化？

No, I think getting close to that 1x is certainly what we're shooting for.

不，我認為我們肯定要努力接近 1 倍的目標。

Okay, perfect. And the last question for me, could you talk a little bit about the overall environment for Energy & Resources? Obviously strong organic growth and earlier this year it seemed that it was strong across each segment, so Mining, Power, Oil & Gas. I would be curious if it's well balanced between those 2 segments, and also, what type of -- if you could provide kind of an outlook for this segment going into 2019? Thank you.

好的，完美。最後一個問題，您能否談談能源與資源領域的整體環境？顯然，有機成長強勁，而且今年早些時候，各個細分市場（包括採礦、電力、石油和天然氣）的成長勢頭都很強勁。我很想知道這兩個部分之間是否平衡，另外，您能否對這個部分在 2019 年的發展前景做一些展望？謝謝。

Sure. We -- certainly we don't see the continued 20% type of growth that we saw in that group over 2018. It was coming off some pretty low comps in 2017. But there remain very good opportunities for that overall group. In the Mining sector, for us, a big part of that is in Latin America. We're seeing that group very busy. We're seeing continued hiring in Latin America, really in all 3 countries where we're active. We see mining work in Western Australia picking up again. We've talked about some of the hiring we're doing there and how we're having trouble filling some of the positions we're looking to hire there. Certainly the Power side remains robust for us. A lot of renewables-type work there. And then in our standard, sort of more the engineering side, which for us is a lot of midstream pipeline, we see good opportunities in both Western Canada and some opportunities in the U.S. as well. So I think we'll see continued growth in Energy & Resources in 2019, but certainly not in the 20%-plus range that we saw in 2018.

當然。我們當然看不到像 2018 年那樣，該群體繼續保持 20% 的成長速度。2017 年的業績比較低迷。但對於整個群體而言，仍然存在著非常好的機會。對我們來說，採礦業很大一部分業務都在拉丁美洲。我們看到那個團隊非常忙碌。我們看到拉丁美洲的招募工作仍在繼續，實際上在我們開展業務的三個國家都是如此。我們看到西澳大利亞的採礦工作正在重新開始。我們已經討論過我們在那裡進行的一些招聘工作，以及我們在填補一些職位空缺方面遇到的困難。當然，我們的電力方面依然強勁。那裡有很多可再生能源方面的工作。然後，在我們標準的工程方面，也就是我們所說的中游管道方面，我們看到了加拿大西部和美國的一些良好機會。所以我認為 2019 年能源與資源產業將持續成長，但肯定不會像 2018 年那樣成長 20% 以上。

And our next question comes from Michael Tupholme.

下一個問題來自邁克爾·圖普霍爾姆。

You provided some additional disclosure around the backlog in terms of backlog by reportable segment, geographic region, this year, which is helpful. Thank you for that. Can you provide a bit of context around how each of those regions, the backlog would have changed Q4 versus where it would have been, say, in Q3, or even earlier in 2018?

您提供了有關積壓訂單的額外披露信息，包括按報告部門、地理區域劃分的今年的積壓訂單情況，這很有幫助。謝謝。能否提供一些背景信息，說明一下每個地區的積壓訂單在第四季度與第三季度甚至 2018 年更早時期相比發生了哪些變化？

I think we would have seen not a material change. While we've had some large projects awarded in one geography or another, there wasn't a -- when you're looking at a CAD-4.2-billion backlog, even if you win a very large project, CAD 100 million in fees or so, it doesn't materially make a difference in the big picture, so I don't think that the geographic mix would have changed significantly between Q3 to Q4 or even on a quarter-on-quarter basis. Pretty similar. That's -- and the backlog is more or less in line with where we find our headcount and where we're proceeding from that perspective. So we feel pretty good about it overall.

我認為我們不會看到實質的變化。雖然我們在某些​​地區獲得了一些大型項目，但是——當你面對 42 億加元的積壓訂單時，即使你贏得了一個非常大的項目，費用大約 1 億加元，從整體上也不會產生實質性的影響，所以我認為從第三季度到第四季度，甚至從季度到季度，地域構成都不會發生顯著變化。非常相似。也就是說——積壓的工作量與我們的人員配置以及我們從這個角度出發的發展方向基本一致。所以總的來說，我們感覺還不錯。

Okay. So no one region would have driven a disproportionate share of the change one way or the other? It was -- it's pretty balanced?

好的。所以，沒有任何一個地區會對這種變化產生不成比例的影響？是嗎？它相當平衡？

Theresa and I are looking at each other, thinking no, that we think it was pretty balanced.

特蕾莎和我互相看了看，心想：不，我們覺得很平衡。

Okay, that's helpful. Thank you. Can you talk a little bit about the outlook for your Community Development activity both in Canada and the U.S.?

好的，這很有幫助。謝謝。您能否談談您在加拿大和美國開展的社區發展活動的前景？

Yes. So we still see that in Western Canada, things are a bit slower than they had been a decade ago, and that's just as a result of the slowness in the Oil & Gas business. Certainly, the coast, Vancouver is still very robust. We're seeing some good activity in Eastern Canada, Toronto and so on, and then still a lot of good activity in the U.S. in the Sun Belt states, whether it's Florida and California, those areas. We're seeing a good uptick in our land development business in the initiative that we rolled out called Urban Places, and that really brings together all of our groups from across the company looking at mixed-use development, sort of the creation of new urban downtown cores, redensification. We're seeing a lot of that in the larger cities. So that actually is an initiative we started several years ago, and we're seeing really strong uptick in that area.

是的。因此，我們仍然看到，在加拿大西部，情況比十年前要慢一些，這僅僅是因為石油和天然氣行業的低迷。當然，溫哥華沿海地區仍然非常繁榮。我們看到加拿大東部、多倫多等地市場活動活躍，美國陽光地帶各州，例如佛羅裡達州和加州等地，市場活動仍然十分活躍。我們看到，在我們推出的名為「城市場所」的計畫中，土地開發業務出現了良好的成長。該計劃真正將公司內所有團隊聚集在一起，共同研究混合用途開發、創建新的城市中心核心區以及重新提高城市密度。我們在大城市裡經常看到這種情況。這實際上是我們幾年前啟動的一項計劃，而且我們看到該領域正在取得非常強勁的成長。

Okay, thank you. And then just lastly, just to confirm, the Wood Grieve acquisition, has that now closed?

好的，謝謝。最後，再次確認一下，Wood Grieve 的收購案現在已經完成了嗎？

It has not closed. We've been -- we've issued our letter of -- that we had to sign a letter of intent there some time ago. We're just working through the due diligence, and we've stated that we anticipate that closing in Q1, and that's still our thought process.

它還沒有關閉。我們已經發出過一封信函——我們之前必須在那裡簽署一份意向書。我們目前正在進行盡職調查，我們已經表示預計將在第一季完成交易，這仍然是我們的想法。

Our next question again comes from Max Sytchev.

我們的下一個問題仍然來自馬克斯·西切夫。

Sorry, I just have one follow-up. Theresa, I can't seem to find the reconciliation to the noncash working capital changes in the financial statements. Is there a reason why that's not there, or am I missing something?

抱歉，我還有一個後續問題。Theresa，我似乎找不到財務報表中非現金營運資本變動的調節表。為什麼沒有這個功能？還是我漏掉了什麼？

Yes. So it won't be in the financial statements, but it will be in the MD&A.

是的。所以它不會出現在財務報表中，但會出現在管理階層討論與分析（MD&A）中。

Okay, so the same reconciliation to the indirect method is somewhere in the MD&A, right?

好的，所以間接法的調整也在管理階層討論與分析（MD&A）中，對吧？

Oh, I'm sorry. No, I'm sorry. You're talking about the cash from ops on the cash flow statement. No, we did not put that in the financial statements. In my drive to reduce the number of pages on the financials and the notes, that was not a required disclosure, and so we did not include that in the notes this year.

哦，對不起。不，對不起。你指的是現金流量表上的營業活動現金流。不，我們沒有把這筆款項計入財務報表。為了減少財務報表和附註的頁數，我當時認為這不是必須揭露的內容，所以今年我們沒有將其包含在附註中。

Because just -- it's kind of hard for us, like, looking from the outside, to get a better view on what's happening on each of the -- kind of the buckets of noncash working capital.

因為——從外部來看，我們很難更了解每筆非現金營運資金的具體情況。

Yes. It's -- there's a number of complexities involved in that this year, particularly with the Construction Services effect, and so that was one of the other reasons that we didn't put it in there, and I'm -- I don't know that I can commit to -- ordinarily I'd say, if there was something you needed, we'd put it on the website for you. I don't know that we can commit to that just because of the complexities required to get that number or that information right, but let us take that away and see if we can't figure something out there.

是的。今年這涉及許多複雜因素，特別是建築服務的影響，所以這也是我們沒有把它放進去的另一個原因。我——我不知道我是否能做出承諾——通常我會說，如果您需要什麼，我們會把它放在網站上供您使用。我不知道我們能否就此做出承諾，因為要獲得正確的數字或資訊需要非常複雜的操作，但讓我們先排除這些因素，看看我們能否找到解決方案。

Yes, that would be very useful. Thank you very much.

是的，那會非常有用。非常感謝。

Next question comes from Yuri Lynk.

下一個問題來自尤里·林克。

Yes, sorry, Max took my question, but I would just echo, if we could get that information at least on a go-forward basis, it would be appreciated. It's pretty important. Thanks.

是的，抱歉，Max 回答了我的問題，但我只想重申一下，如果我們至少能持續獲得這些信息，我們將不勝感激。這很重要。謝謝。

Okay. Noted.

好的。著名的。

Okay, thanks, Yuri. Good perspective.

好的，謝謝你，尤里。視角很好。

And we'll come back to Benoit Poirier.

我們稍後會再談到貝努瓦·波瓦里耶。

Just a follow-up question. I was wondering if you see any impact of the Vale disaster within the Water segment, especially with regards to the dam work.

還有一個後續問題。我想知道您是否認為淡水河谷災難對水務部門有任何影響，尤其是在大壩工程方面。

Yes, we have not seen any impact from that at this point, Benoit. Certainly that's an area of expertise that we have. We were not involved in that particular dam, so we don't see any downside. Could be potentially some upside as the -- that particular firm or other firms need to really have a look at their tailings ponds and their impoundments to make sure that they're up to standard. So we have not seen any -- certainly any negative impact. If anything, going forward, we might see a positive impact.

是的，目前我們還沒有看到任何影響，貝努瓦。這當然是我們擅長的領域。我們沒有參與那座水壩的建設，所以我們看不到任何不利影響。這可能帶來一些好處，因為——這家公司或其他公司真的需要好好檢查他們的尾礦池和蓄水池，以確保它們符合標準。所以，我們還沒有看到任何負面影響。如果有什麼影響的話，那就是未來可能會產生正面影響。

And our final question comes from Mona Nazir.

最後一個問題來自莫娜·納齊爾。

I was just wondering, what's your U.K. geographic exposure post the construction divestiture? And then the Peter Brett addition?

我只是想問一下，在剝離建築業務之後，您在英國的業務分佈如何？那麼，彼得·布雷特的加入呢？

Exposure, Mona? So the 2 types of work we have, there's certainly the AMP6/AMP7 work that we're doing in the Water business, is -- I think with regards to a Brexit would have very little to no impact of a Brexit there. The work that's being done, that the capital programs are committed, and in fact, as we go into the AMP7 cycle, we see them increasing. With the addition of Peter Brett, certainly some solid infrastructure work there that we continue to be involved in. So I don't see considerable exposure. And in fact, that's the reason why we went forward. Of the number of the firms that we were considering in the U.K., that really was the reason that we went forward with Peter Brett, because we saw them to be least exposed to any downside coming from a Brexit.

曝光，莫娜？所以，我們目前從事的兩類工作，當然包括我們在水務業務中開展的 AMP6/AMP7 工作，我認為英國脫歐對這方面的影響微乎其微，甚至沒有影響。正在進行的工作，以及資本項目的投入，事實上，隨著我們進入 AMP7 週期，我們看到這些投入還在增加。隨著 Peter Brett 的加入，那裡的基礎設施建設無疑取得了一些實質進展，我們也將繼續參與其中。所以我認為曝光度不會很高。事實上，這就是我們繼續前進的原因。在我們考慮的眾多英國公司中，我們最終選擇彼得布雷特公司，正是因為我們認為該公司受英國脫歐帶來的任何不利影響最小。

Perfect. Do you have a number as a percentage of revenue on a pro forma basis or a headcount?

完美的。您是否有以預測收入百分比計算的數字，或者是否有具體的人員數量？

In the U.K., we have -- I'm going to say roughly 1,800 to 2,000 people. Of that, roughly 1,200 would be the legacy MWH folks who are involved in the water company work, so I would see no potential for a downside there. If there was a potential with regards to any downside, it would be with the Peter Brett folks, which are in the 600- to 800-person range. But again, a lot of that work we don't see having significant downside either.

在英國，我們有——我估計大約有 1800 到 2000 人。其中大約有 1200 人是原 MWH 員工，他們參與水務公司的工作，所以我認為這方面不會有任何不利影響。如果有什麼潛在的缺點的話，那就是 Peter Brett 的員工人數在 600 到 800 人之間。但話說回來，我們認為其中許多工作也不會有明顯的弊端。

Thank you, and we have no additional questions at this time.

謝謝，我們目前沒有其他問題。

Great, well, thanks, everyone. That concludes our call today. Thank you again for joining us, and we look forward to catching up with many of you over the coming quarter.

太好了，謝謝大家。今天的通話到此結束。再次感謝各位的參與，我們期待在接下來的一個季度與大家見面交流。

Thank you.

謝謝。

And this concludes our call today. Thank you all for joining.

今天的通話到此結束。感謝各位的參與。