Superior Industries International Inc (SUP) 2022 Q3 法說會逐字稿

Hello, and welcome to Superior Industries Third Quarter 2022 Earnings Teleconference Call. My name is Priscilla, and I'll be your coordinator for today's event.

您好，歡迎來到 Superior Industries 2022 年第三季度收益電話會議。我叫 Priscilla，我將擔任今天活動的協調員。

Please note this call is being recorded. (Operator Instructions)

請注意，此通話正在錄音中。 （操作員說明）

We are joined today this morning by Majdi Abulaban, President and CEO; Tim Trenary, Executive Vice President and CFO; and Joanne Finnorn, Senior Vice President, Investor Relations. I will now hand you over to your host, Ms. Joanne Finnorn, to begin today's conference. Thank you.

今天上午，總裁兼首席執行官 Majdi Abulaban 加入了我們的行列；執行副總裁兼首席財務官 Tim Trenary；和投資者關係高級副總裁 Joanne Finnorn。現在我將把你們交給你們的東道主 Joanne Finnorn 女士，開始今天的會議。謝謝你。

Good morning, everyone, and welcome to our third quarter earnings call. During our call this morning, we will be referring to our earnings presentation, which, along with our earnings release, is available on the Investor Relations section of Superior's website.

大家早上好，歡迎來到我們的第三季度財報電話會議。在今天上午的電話會議中，我們將提及我們的收益報告，該報告與我們的收益報告一起可在 Superior 網站的投資者關係部分獲得。

I am joined on the call by Majdi Abulaban, our President and Chief Executive Officer; and Tim Trenary, our Executive Vice President and Chief Financial Officer.

我們的總裁兼首席執行官 Majdi Abulaban 和我一起接到了電話；和我們的執行副總裁兼首席財務官 Tim Trenary。

Before I turn the call over to Majdi, I would like to remind everyone that any forward-looking statements contained in this presentation or commented on today are subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Please refer to Slide 2 of this presentation for the full safe harbor statement and to the company's SEC filings, including the company's current annual report on Form 10-K, for a more complete discussion of forward-looking statements and risk factors.

在我將電話轉給 Majdi 之前，我想提醒大家，本演示文稿中包含的或今天評論的任何前瞻性陳述均受 1995 年《私人證券訴訟改革法案》安全港條款的約束。請參閱幻燈片本演示文稿的第 2 部分提供了完整的安全港聲明和公司向美國證券交易委員會提交的文件，包括公司當前的 10-K 表格年度報告，以更完整地討論前瞻性陳述和風險因素。

We will also be discussing various non-GAAP measures today. These non-GAAP measures exclude the impact of certain items and, therefore, are not calculated in accordance with U.S. GAAP. Reconciliations of these measures to the most directly comparable U.S. GAAP measures can be found in the appendix of this presentation.

我們今天還將討論各種非 GAAP 措施。這些非 GAAP 措施排除了某些項目的影響，因此未根據美國 GAAP 計算。可以在本演示文稿的附錄中找到這些措施與最直接可比的美國 GAAP 措施的調節。

With that, I'll turn the call over to Majdi to provide a business and portfolio update.

有了這個，我將把電話轉給 Majdi 以提供業務和投資組合更新。

Thanks, Joanne, and thanks, everyone, for joining our call today to review our first quarter results.

謝謝喬安妮，也謝謝大家今天加入我們的電話會議，回顧我們的第一季度業績。

I'll begin on Slide 5 with the highlights. Our team delivered another quarter of solid results, including double-digit growth in value-added sales and adjusted EBITDA, along with substantial margin and content per wheel expansion; this while facing continued industry supply chain disruptions, depressed volumes and commodity cost increases.

我將從幻燈片 5 的亮點開始。我們的團隊又取得了穩健的業績，包括增值銷售額和調整後 EBITDA 的兩位數增長，以及每輪擴張的可觀利潤率和內容；同時面臨持續的行業供應鏈中斷、銷量下降和商品成本增加。

In line with the plan we laid out in our value creation road map, we have remained focused on driving operational improvements across the enterprise, while continuing to collaborate with customers and suppliers on inflationary cost recoveries and other cost reduction solutions. We also continue to leverage our differentiated portfolio to capture demand for premium wheels, expanding content on wheel in the quarter by 10%.

根據我們在價值創造路線圖中製定的計劃，我們一直專注於推動整個企業的運營改進，同時繼續與客戶和供應商就通脹成本回收和其他成本降低解決方案進行合作。我們還繼續利用我們差異化的產品組合來捕捉對優質車輪的需求，將本季度的車輪內容擴大 10%。

These combined efforts have enabled us to achieve EBITDA margins on par with pre-pandemic levels, while overcoming persistent macroeconomic headwinds, including inflationary cost increases as well as unfavorable FX. This is a testament to the capabilities of our leadership team as well as our operational strength. While these headwinds continue to weigh in on our operating environment, we are seeing some signs of improvement in industry production, which we expect to continue heading into 2023.

這些共同努力使我們能夠實現與大流行前水平相當的 EBITDA 利潤率，同時克服持續的宏觀經濟逆風，包括通脹成本增加和不利的外匯。這證明了我們領導團隊的能力以及我們的運營實力。儘管這些不利因素繼續影響我們的經營環境，但我們看到工業生產出現一些改善跡象，我們預計這種情況將持續到 2023 年。

During the quarter, we also maintained focus on cash generation and preservation through prudence with capital expenditures and working capital management. This has enabled us to achieve an historic low net debt of $456 million and to maintain strong liquidity of $283 million.

在本季度，我們還通過審慎的資本支出和營運資金管理，將重點放在現金生成和保全上。這使我們能夠實現 4.56 億美元的歷史最低淨債務，並保持 2.83 億美元的強勁流動性。

Moving on to Slide 6, which highlights regional industry production. While industry production is improving, with notable increases on a year-over-year basis, in both North America and Europe sequential comps actually point to continued industry supply chain challenges.

轉到幻燈片 6，其中突出顯示了區域工業生產。雖然工業生產正在改善，同比顯著增長，但在北美和歐洲，連續比較實際上表明行業供應鏈面臨持續挑戰。

Having said that, demand for our innovative portfolio of products continues to play out, manifesting itself in sustained growth above market. As I mentioned last time, this trajectory has not necessarily been linear, but it has equated to long-term outperformance and profitable growth. In fact, our portfolio has delivered a compound annual growth rate of 7% since early 2019. We expect this trajectory to continue as markets recover further.

話雖如此，對我們創新產品組合的需求仍在繼續發揮作用，表現為高於市場的持續增長。正如我上次提到的，這條軌跡不一定是線性的，但它等同於長期的優異表現和盈利增長。事實上，自 2019 年初以來，我們的投資組合實現了 7% 的複合年增長率。我們預計隨著市場進一步復甦，這一趨勢將繼續下去。

In addition to recovering markets, our ongoing focus on enhancing our portfolio technology will continue to serve as a tailwind driving growth over market. Consumer demand for lighter and larger wheels with premium finishes has remained strong, and our ability to meet this demand has been a key driver in our long-term outperformance.

除了市場復甦之外，我們對增強產品組合技術的持續關注將繼續成為推動市場增長的順風。消費者對更輕、更大、優質飾面的車輪的需求依然強勁，而我們滿足這一需求的能力一直是我們長期表現出色的關鍵驅動力。

Moving on to Slide 7 to address our current operating environment. While global industry production remains significantly below pre-COVID levels due to the lingering challenges addressed on the left side of this chart, we are beginning to see some improvements. Compared to prior year, global production volumes in our markets increased 28%, supported in part by the easing of semiconductor supply chain constraints.

轉到幻燈片 7 來解決我們當前的操作環境。由於該圖表左側解決的揮之不去的挑戰，儘管全球工業生產仍遠低於 COVID 之前的水平，但我們開始看到一些改善。與上一年相比，我們市場的全球產量增長了 28%，部分原因是半導體供應鏈限制的放鬆。

That said, we expect the tailwinds shown here, including low dealer inventory and record aging fleet and pent-up demand, to continue to propel our business forward. And while an inflation-driven demand destruction scenario is plausible, we do not see that playing out.

也就是說，我們預計這裡顯示的順風，包括低經銷商庫存和創紀錄的老化車隊和被壓抑的需求，將繼續推動我們的業務向前發展。雖然通貨膨脹驅動的需求破壞情景是合理的，但我們認為這種情況不會發生。

On to Slide 8 to discuss our progress against our value creation road map. Our team continues to do an outstanding job executing on the priorities laid out on this slide. This is evidenced by the strong financial performance we have delivered throughout the year.

轉到幻燈片 8，討論我們根據價值創造路線圖取得的進展。我們的團隊繼續出色地執行本幻燈片中列出的優先事項。我們全年交付的強勁財務業績證明了這一點。

In fact, I just came back from a visit to our operations in Mexico, where we are operating at best-in-class quality levels and where our team is taking continuous improvement to a whole new level. [Dozens of master black belts, black belts and green belts], solving problems and delivering exciting bottom line savings. A case in point, our oldest plant in Mexico recently received a quality award from Nissan and was named GM Supplier of the Year. We are very proud of their achievements.

事實上，我剛剛參觀完我們在墨西哥的業務回來，我們在那里以一流的質量水平運營，我們的團隊正在將持續改進提升到一個全新的水平。 [數十位黑帶大師、黑帶大師和綠帶大師]，解決問題並實現令人興奮的底線節約。一個典型的例子是，我們在墨西哥最古老的工廠最近獲得了日產頒發的質量獎，並被評為年度通用汽車供應商。我們為他們的成就感到非常自豪。

Equally important is the commercial discipline we have instituted throughout the company. This is not a priority of our sales team only. It is the priority of the entire organization. Teaming up with customers on cost reduction ideas as well as collaborating on cost recovery dialogues. Here, we have made very good progress.

同樣重要的是我們在整個公司製定的商業紀律。這不僅僅是我們銷售團隊的優先事項。這是整個組織的首要任務。與客戶就降低成本的想法進行合作，並就成本回收對話進行合作。在這裡，我們取得了很好的進展。

In terms of profitable growth, our portfolio continues to play out. And as I mentioned last time, now more than ever, and it's exciting here, our global-to-local manufacturing footprint continues to be the choice for customers pursuing localization in region. In fact, just this week, we launched a localization effort in North America of a major program for a European OEM operating in the U.S. Again, another exciting evolution here of the strategic value of our footprint, our in-region footprint.

就盈利增長而言，我們的投資組合繼續發揮作用。正如我上次提到的，現在比以往任何時候都更令人興奮，我們從全球到本地的製造足跡仍然是追求區域本地化的客戶的選擇。事實上，就在本週，我們在北美啟動了一項針對在美國運營的歐洲 OEM 的主要計劃的本地化工作。再次，我們足跡戰略價值的另一個令人興奮的演變，我們的區域內足跡。

Slide 9 provides a bit more color on the drivers of our long-term content per wheel growth. So adoption of electrification, lightweighting, aerodynamics and consumer preference for larger wheels with premium finishes continues to accelerate. A case in point. Since 2019, we have tripled the number of wheels with lightweighting applications in North America and doubled the same in Europe. Further, our premium wheel mix grew from 35% in 2019 to 49% now. And in fact, if you look at the wheels larger than 19 inches, that has gone from 19% to 52%. So in total, adoption of these technologies has enabled us to deliver a staggering 30% increase in content per wheel over the last few years.

幻燈片 9 為我們每個輪子的長期內容增長的驅動因素提供了更多的顏色。因此，電氣化、輕量化、空氣動力學的採用以及消費者對具有優質飾面的更大車輪的偏好繼續加速。一個很好的例子。自 2019 年以來，我們在北美採用輕量化應用的車輪數量增加了兩倍，在歐洲增加了一倍。此外，我們的優質車輪組合從 2019 年的 35% 增長到現在的 49%。事實上，如果你看看大於 19 英寸的車輪，它已經從 19% 上升到 52%。因此，總的來說，採用這些技術使我們能夠在過去幾年中將每個輪子的內容驚人地增加 30%。

Slide 10 showcases some of our most recent launches, reflecting increasing adoption of our premium offerings among key OEM customers (inaudible) on a wide range of platforms, from traditional internal combustion vehicles to electric vehicles, including the Ford Mach-E and Mercedes G-Class shown on this slide. These product launches continue to reflect the evolution of consumer preference as the market continues to move towards our premium offerings.

幻燈片 10 展示了我們最近推出的一些產品，反映出越來越多的主要 OEM 客戶（聽不清）在各種平台上採用我們的優質產品，從傳統內燃機汽車到電動汽車，包括福特 Mach-E 和梅賽德斯 G-這張幻燈片上顯示的類。隨著市場繼續轉向我們的優質產品，這些產品的發布繼續反映了消費者偏好的演變。

Turning on to Slide 11, which highlights the collective effort of the Superior team. These are tangible results, tangible results of executing our strategic priorities.

轉到幻燈片 11，它突出了 Superior 團隊的集體努力。這些是有形的成果，是執行我們戰略重點的有形成果。

With unit shipments still historically low compared to pre-COVID levels, we expanded EBITDA margins, net sales per wheel and content per wheel. This demonstrates the agility of our business, as we are achieving these results in a volatile market environment, and also demonstrates the substantial upside ahead as industry volumes improve.

與 COVID 之前的水平相比，單位出貨量仍處於歷史低位，我們擴大了 EBITDA 利潤率、每個車輪的淨銷售額和每個車輪的內容。這展示了我們業務的敏捷性，因為我們在動蕩的市場環境中取得了這些成果，也展示了隨著行業銷量的提高，未來的巨大增長空間。

So Slide 12 is actually the same information, but it's on a year-to-date basis. It highlights a couple of things. It highlights the lumpy nature of customer recoveries. But more importantly, it highlights the run rate EBITDA of our business, which, if you go back historically, in a normal volume environment, is about 25% a year. So we're there.

所以幻燈片 12 實際上是相同的信息，但它是基於年初至今的。它強調了幾件事。它突出了客戶恢復的不穩定性。但更重要的是，它突出了我們業務的 EBITDA 運行率，如果你回顧歷史，在正常的交易量環境下，每年約為 25%。所以我們在那裡。

Slide 13 addresses our full year 2022 outlook. We are maintaining a conservative view of industry vehicle production volumes versus current IHS outlook, and we expect modest industry improvements for the remainder of the year.

幻燈片 13 闡述了我們的 2022 年全年展望。與當前的 IHS 展望相比，我們對行業汽車產量持保守看法，我們預計今年剩餘時間行業將適度改善。

In line with these expectations, our guidance remains unchanged, and has not changed all year, with adjusted EBITDA anticipated in the range of $165 million to $185 million and cash flow from operations of $105 million to $150 million. Tim will elaborate on our expectations further in his remarks.

與這些預期一致，我們的指引保持不變，並且全年都沒有改變，調整後的 EBITDA 預計在 1.65 億美元至 1.85 億美元之間，運營現金流在 1.05 億美元至 1.5 億美元之間。蒂姆將在他的發言中進一步闡述我們的期望。

In closing, I am proud of our team's performance in this past quarter and throughout the year. We are in the third year of industry depressed volumes and supply chain disruptions. We have executed day-in and day-out in the face of these challenges. We look forward to continuing this momentum and to generating further value for our shareholders as the year comes to a close.

最後，我為我們團隊在上個季度和全年的表現感到自豪。我們正處於行業銷量低迷和供應鏈中斷的第三個年頭。面對這些挑戰，我們日復一日地執行。我們期待在年末繼續保持這一勢頭，並為我們的股東創造更多價值。

And now I will turn the call over to Tim. Tim?

現在我將把電話轉給蒂姆。蒂姆？

Thank you, Majdi, and good morning, everyone.

謝謝 Majdi，大家早上好。

Commodity cost increases, especially the cost to alloy aluminum and the cost of energy, general inflation and global supply chain instability and constraints continue to burden the company's cost structure. The cost of energy has, however, come down from recent highs, and the stability of global supply chains has generally improved. Light vehicle production in our markets continues to be depressed due to component shortages affecting our customers' vehicle production.

商品成本增加，尤其是合金鋁的成本和能源成本、普遍的通貨膨脹和全球供應鏈的不穩定和製約因素繼續給公司的成本結構帶來負擔。然而，能源成本已從近期高位回落，全球供應鏈的穩定性普遍改善。由於零部件短缺影響了我們客戶的汽車生產，我們市場上的輕型汽車生產繼續低迷。

ECI, our established and disciplined Enterprise Cost Improvement program, supported by our expanding Lean Six Sigma capabilities, what we refer to internally as CI, or continuous improvement, continues to support our financial performance and operations in this business environment. We are pleased with the execution of our cost-out programs and the performance of our manufacturing, commercial and procurement teams.

ECI 是我們既定且嚴格的企業成本改進計劃，在我們不斷擴展的精益六西格碼功能（我們在內部稱為 CI 或持續改進）的支持下，繼續支持我們在此業務環境中的財務績效和運營。我們對成本削減計劃的執行以及我們的製造、商業和採購團隊的表現感到滿意。

Let's look at Slide 15, Third Quarter Financial Summary. The company sold 3.8 million wheels in the quarter, 8% more than in the prior year period. Net sales increased to $406 million for the quarter, compared to $311 million in the prior year period. The increase in net sales is primarily from higher aluminum cost passthrough to our customers. The cost of aluminum and the cost to alloy the metal remains elevated (inaudible) has come down from recent highs.

讓我們看一下幻燈片 15，第三季度財務摘要。公司本季度售出 380 萬個車輪，比去年同期增長 8%。本季度淨銷售額增至 4.06 億美元，而去年同期為 3.11 億美元。淨銷售額的增長主要是由於更高的鋁成本轉嫁給了我們的客戶。鋁的成本和金屬合金的成本仍然很高（聽不清），已從近期高點回落。

Value-added sales increased to $178 million for the quarter, compared to $162 million in the prior year period, due in large part to more wheels sold, but also customer recoveries of inflation, offset in part by the weaker euro.

本季度的增值銷售額增至 1.78 億美元，而去年同期為 1.62 億美元，這在很大程度上是由於售出更多的車輪，以及客戶因通貨膨脹而恢復，部分被疲軟的歐元所抵消。

We reported a net loss of $0.4 million for the third quarter, or a loss per diluted share of $0.35, compared to a net loss of $7 million, or a loss of $0.61 per diluted share, in the prior year period.

我們報告第三季度淨虧損 40 萬美元，或每股攤薄虧損 0.35 美元，而去年同期淨虧損 700 萬美元，或每股攤薄虧損 0.61 美元。

The year-over-year sales bridge is on Slide 16. Volume, price and mix benefited value-added sales by $31 million in the quarter, in large part because of the higher wheel sales compared to the third quarter of last year and recoveries of cost inflation. Aluminum costs passed through to our customers was up $79 million compared to the prior year because of the elevated cost of aluminum. And the weaker euro burden value-added sales by $15 million.

同比銷售橋樑位於幻燈片 16 上。數量、價格和組合使本季度的增值銷售額增加了 3100 萬美元，這在很大程度上是因為與去年第三季度相比車輪銷售額增加以及成本通脹。由於鋁成本上升，轉嫁給我們客戶的鋁成本比上一年增加了 7900 萬美元。疲軟的歐元使增值銷售額增加了 1500 萬美元。

On Slide 17, adjusted EBITDA increased to $36 million in the quarter, compared to $30 million in the prior year period. The adjusted EBITDA margin for the quarter was 20%, an acceptable margin on $178 million of value-added sales.

在幻燈片 17 中，本季度調整後的 EBITDA 增至 3600 萬美元，而去年同期為 3000 萬美元。本季度調整後的 EBITDA 利潤率為 20%，就 1.78 億美元的增值銷售額而言，這是一個可接受的利潤率。

Volume, price and mix and [foreign exchange] were inconsequential. Recovery of extraordinary cost inflation from our customers supplemented Q3 performance of $12 million. Metal timing was a $6 million burn in the quarter, compared to a $7 million benefit in the prior year period. The impact of metal timing tends to net out over time.

數量、價格和組合以及[外匯]都是無關緊要的。從我們的客戶那裡收回了異常的成本膨脹，補充了第三季度 1200 萬美元的業績。金屬計時在本季度損失了 600 萬美元，而去年同期為 700 萬美元。金屬計時的影響往往會隨著時間的推移而消失。

Slide 18, third quarter cash flow. Cash flow provided by operating activities was $17 million, compared to negative cash flow provided by operating activities of $46 million in the prior year period. This improvement is largely due to significantly better working capital performance in the quarter compared to the prior year period.

幻燈片 18，第三季度現金流。經營活動產生的現金流量為 1700 萬美元，而去年同期經營活動產生的現金流量為負值 4600 萬美元。這一改善主要是由於與去年同期相比，本季度的營運資本表現顯著改善。

Net cash used in investing activities decreased to $11 million, compared to $20 million in the prior year period. Capital spending this quarter is low because of timing of expenditures. We still expect capital expenditures on the order of $75 million for the year.

用於投資活動的淨現金減少至 1100 萬美元，而去年同期為 2000 萬美元。由於支出的時間安排，本季度的資本支出較低。我們仍然預計今年的資本支出約為 7500 萬美元。

Cash payments for nondebt financing activities was $4 million, flat compared to the prior year.

非債務融資活動的現金支付為 400 萬美元，與上一年持平。

Free cash flow for the quarter was, therefore, $2 million compared to negative free cash flow of $70 million in the prior year period.

因此，本季度的自由現金流為 200 萬美元，而去年同期為負自由現金流 7000 萬美元。

An overview of the company's capital structure is on Slide 19. Funded debt was $577 million at quarter-end, $39 million less than year-end 2021. The decrease results primarily from the weaker euro and, therefore, depreciation of the euro-denominated debt. Net debt decreased to $456 million, [$42 million] less than year-end 2021. Funded debt and net debt have continued to decline this year and are the lowest since the UNIWHEELS acquisition.

公司資本結構概覽見幻燈片 19。本季度末融資債務為 5.77 億美元，比 2021 年年底減少 3900 萬美元。減少的主要原因是歐元疲軟，因此以歐元計價的債務貶值.淨債務減少至 4.56 億美元，比 2021 年底減少 [4200 萬美元]。融資債務和淨債務今年繼續下降，是自收購 UNIWHEELS 以來的最低水平。

At the present somewhat elevated cost of aluminum, the company has a larger investment in metal on the balance sheet than is normal. We size this incremental investment at about $8 million at quarter-end. This will come back to us as aluminum cost continues to normalize.

在目前鋁成本略有上升的情況下，該公司在資產負債表上對金屬的投資比正常情況下更大。我們在季度末將這一增量投資規模定為約 800 萬美元。隨著鋁成本繼續正常化，這將回到我們身邊。

Liquidity was $283 million at quarter-end.

季度末流動資金為 2.83 億美元。

The debt maturity profile is depicted on Slide 20. We have no impending maturities of funded debt. Revolving credit facilities, which mature in May and October of '23. were undrawn. The company is in compliance with all loan covenants.

幻燈片 20 描述了債務到期情況。我們沒有即將到期的融資債務。 23 年 5 月和 10 月到期的循環信貸額度。未繪製。公司遵守所有貸款契約。

The capital markets have pulled back, especially the public leveraged finance market. Fortunately, the company isn't compelled to do anything at this moment. And with the passage of time, we (inaudible) continue to prove out the operating model, improve our financial performance and to delever the balance sheet. We stay close to our financing relationships and intend to pursue a refinancing of the company at the appropriate time.

資本市場回落，尤其是公開槓桿金融市場。幸運的是，該公司目前不必做任何事情。隨著時間的推移，我們（聽不清）繼續證明運營模式，改善我們的財務業績並去槓桿化資產負債表。我們密切關注我們的融資關係，並打算在適當的時候對公司進行再融資。

The company's 2022 financial outlook is on Slide 21. The timing of the industry recovery and the Ukraine conflict could have a meaningful impact on light vehicle production in the remainder of the year and, therefore, our financial performance.

公司 2022 年的財務展望在幻燈片 21 中。行業復甦的時機和烏克蘭衝突可能會對今年剩餘時間的輕型汽車生產產生重大影響，因此也會對我們的財務業績產生重大影響。

The euro is [depreciating] vis-a-vis the dollar and has adversely affected sales and EBITDA, but has benefited the funded debt.

歐元相對於美元 [貶值] 對銷售額和 EBITDA 產生了不利影響，但有利於融資債務。

Global supply chains continue to be unstable and are sometimes constrained, but have improved.

全球供應鏈繼續不穩定，有時會受到限制，但已經有所改善。

The cost of manufacturing inputs, especially energy, are uncertain. Energy prices have, however, come down from recent highs.

製造投入的成本，尤其是能源，是不確定的。然而，能源價格已從近期高位回落。

The amount and timing of the recovery of extraordinary cost inflation from our customers is also uncertain.

從我們的客戶那裡收回異常成本通脹的金額和時間也不確定。

We do expect a modest recovery in light vehicle production in the remainder of the year and beginning of next year.

我們確實預計今年剩餘時間和明年初輕型汽車產量將溫和復蘇。

Having said all of that, we expect to sell 16 million to 17 million wheels in 2022, with net sales in the $1.6 billion to $1.7 billion range, and value-added sales in the $740 million to $800 million range. We expect adjusted EBITDA in the range of $165 million to $185 million and cash flow from operations to be $105 million to $150 million. We expect capital expenditures on the order of $75 million. We now model a 35% to 45% effective tax rate for the year.

綜上所述，我們預計 2022 年將銷售 1600 萬到 1700 萬個車輪，淨銷售額在 16 億美元到 17 億美元之間，增值銷售額在 7.4 億美元到 8 億美元之間。我們預計調整後的 EBITDA 在 1.65 億美元至 1.85 億美元之間，運營現金流為 1.05 億美元至 1.5 億美元。我們預計資本支出約為 7500 萬美元。我們現在模擬當年 35% 到 45% 的有效稅率。

In closing, we delivered a solid quarter. Value-added sales were up, EBITDA was up, content per wheel was up, and net debt was down.

最後，我們交付了一個穩定的季度。增值銷售額上升，EBITDA 上升，每輪內容上升，淨債務下降。

Discussions with our customers regarding recovery of extraordinary cost inflation are ongoing. There can be no assurance that we will have continued success, and the recoveries may be lumpy. Customer recoveries of extraordinary cost inflation supplement our self-help programs, ECI and CI. This, taken together with the company's demonstrated ability to maintain commercial, procurement and operations discipline should put Superior in a position to benefit significantly from the operating leverage in our business when light vehicle build recovers.

與我們的客戶就異常成本通脹的恢復進行討論。無法保證我們會繼續取得成功，而且複蘇可能並不順利。異常成本通脹的客戶恢復補充了我們的自助計劃、ECI 和 CI。這一點，再加上公司在維持商業、採購和運營紀律方面表現出的能力，應該會讓 Superior 在輕型車輛製造恢復時從我們業務的運營槓桿中獲益良多。

This concludes our prepared remarks. Majdi and I are happy to take your questions. Priscilla, back to you.

我們準備好的發言到此結束。 Majdi 和我很樂意回答您的問題。普里西拉，回到你身邊。

(Operator Instructions) We'll now take our first question from Gary, from Barrington Research.

（操作員說明）我們現在將接受來自 Barrington Research 的 Gary 的第一個問題。

In speaking with some other Tier 1 suppliers, they've said that their order patterns have been very erratic and are starting to improve. I would assume that you're starting to feel that same thing: less erratic orders from your end users. Even some of these Tier 1s are saying the automakers order things and then just don't pick them up in time.

在與其他一些一級供應商交談時，他們表示他們的訂單模式非常不穩定，並且正在開始改善。我假設您開始有同樣的感覺：來自最終用戶的不穩定訂單減少了。甚至其中一些一級供應商也表示，汽車製造商訂購了東西，但沒有及時取貨。

Gary, just 2 things, and I'll speak to the erratic nature of orders. Actually, this year is surprising. I mean, we all felt that the automakers would get a handle on these microchip shortages. Volumes have come in short of what you expected, what I expected, far short of it, I'd guess, right? The year was supposed to be a [20% year] and it could be just a 5% year.

加里，只有兩件事，我會談談訂單的不穩定性質。事實上，今年令人驚訝。我的意思是，我們都認為汽車製造商會解決這些微芯片短缺問題。成交量低於您的預期，我的預期，遠遠低於它，我猜對吧？這一年應該是 [20% 年]，也可能只是 5% 年。

I would say that the erratic nature of orders has moderated a bit, but it's surprisingly still there. And I think, Gary, it's largely because the problem now is not only a microchip problem. It's actually broader to other supply chain factors that some customers that you're aware of have run into a couple of months ago, having to build 50,000 vehicles and not be able to ship them.

我會說訂單的不穩定性質有所緩和，但令人驚訝的是它仍然存在。我認為，加里，這主要是因為現在的問題不僅僅是微芯片問題。它實際上比其他供應鏈因素更廣泛，你知道的一些客戶在幾個月前遇到過，不得不建造 50,000 輛汽車並且無法發貨。

So I would say it has moderated, but it's still there. And the issue for us, the issue for us is the erratic nature of these orders causes us to increase, to incur costs; costs, frankly, that we cannot afford and costs that we are in discussions with our customers on recovery.

所以我會說它已經緩和了，但它仍然存在。對我們來說，問題是這些訂單的不穩定性質導致我們增加，產生成本；坦率地說，我們負擔不起的成本以及我們正在與客戶討論恢復問題的成本。

Okay. And then on Slide 9, when you highlight all of the various growth aspects there with lightweighting, premium finishes, et cetera, is that within your actual portfolio? Or is that just within the industry?

好的。然後在幻燈片 9 上，當您強調輕量化、高級飾面等所有不同的增長方面時，這些在您的實際產品組合中嗎？還是僅在行業內？

No, no, that's -- actually, the blue bars are our portfolio. The industry versus -- this data, Gary, is versus 2019. So if (inaudible) 2019 on market, you would show that that's down 15%, right? So the market is down 15%. Our lightweighting applications are up 15%. It's a very exciting story. And actually, our view is when you look at these drivers of content growth in our business, they actually accelerate. And in my remarks, I went into a couple of statistics about if you compare lightweighting where it was just 24 months ago versus now, it triples in some cases and doubles in others. But what I didn't say in the remarks is what percent of our portfolio has lightweighting applications in it. It's less than 15%. So we are far, far from where we can be and where we will be as these technologies continue to be adopted by our customers.

不，不，那是——實際上，藍條是我們的投資組合。行業與 - 加里，這個數據與 2019 年相比。因此，如果（聽不清）2019 年上市，你會表明它下降了 15%，對嗎？所以市場下跌了 15%。我們的輕量化應用增長了 15%。這是一個非常激動人心的故事。實際上，我們的觀點是，當您查看我們業務中內容增長的這些驅動因素時，它們實際上會加速。在我的發言中，我研究了一些統計數據，如果你將 24 個月前的輕量化與現在進行比較，它在某些情況下會增加三倍，在其他情況下會增加一倍。但是我在評論中沒有說的是我們的產品組合中有多少百分比包含輕量化應用程序。它不到 15%。因此，隨著我們的客戶繼續採用這些技術，我們離我們可以達到的位置和我們將要達到的位置還很遠。

Okay. That's great to hear. And then lastly, and I'll let somebody else jump in, you signed a pretty big deal with Toyota. You announced it last quarter. When does that start ramping up? In 2023?

好的。聽到這個消息我很高興。最後，我會讓其他人參與進來，你與豐田簽署了一份相當大的協議。你在上個季度宣布了它。什麼時候開始增加？ 2023年？

It starts up ramping up in Q -- it's not Toyota, by the way. It's -- we didn't disclose the customer actually. Sorry about that, Gary. We did not disclose it. But it starts in Q2 of next year.

它在 Q 中開始上升——順便說一下，它不是豐田。這是 - 我們實際上沒有透露客戶。對不起，加里。我們沒有透露。但它從明年第二季度開始。

(Operator Instructions) We have Gary again.

（操作員說明）我們又有加里了。

Obviously, some questions on the proverbial elephant in the room on your balance sheet. Do you have any number on what the senior notes are trading at in the market right now? They're denominated in euros, correct?

顯然，關於資產負債表上房間裡眾所周知的大象的一些問題。你知道目前市場上高級票據的交易價格嗎？它們以歐元計價，對嗎？

Yes, they are, Gary. It's Tim.

是的，他們是，加里。是蒂姆。

If I may, Gary, both elements of our funded debt, the term loan and the bonds over in Europe, what you referred to as the senior notes, unsecured notes, the fact that they trade at both (inaudible) are a reflection of the capital markets in general. In other words, if you look at the amount by which those securities have traded down, it roughly reflects the amount of decline necessary in order to reflect the yield in the marketplace today of those types of securities. Said another way, it's a reflection of the marketplace, not a reflection of the marketplace's perception of our paper.

加里，如果我可以的話，我們的融資債務的兩個要素，即長期貸款和歐洲的債券，你所說的高級票據，無擔保票據，它們在這兩種情況下交易的事實（聽不清）反映了資本市場一般。換句話說，如果您查看這些證券的下跌量，它大致反映了為反映當今市場上這些類型證券的收益率所必需的下跌量。換句話說，它是市場的反映，而不是市場對我們報紙的看法的反映。

Right. But if I see on Slide 19, you've got them on the books at $213 million. They're EUR 217 million. That's a translation thing. But do they trade in the market, at all? I guess what I'm trying to get at is...

正確的。但是，如果我在幻燈片 19 上看到，賬面價值為 2.13 億美元。他們是 2.17 億歐元。那是翻譯的事情。但他們真的在市場上交易嗎？我想我想要得到的是......

They do. They do trade.

他們是這樣。他們做貿易。

Okay. Are they trading above par?

好的。他們的交易價格高於平均水平嗎？

No, they're trading below par, at a discount to par.

不，他們的交易價格低於面值，低於面值。

Okay. Any thoughts to maybe starting to use a little bit of excess cash flow to start buying back some of the notes, if at all possible, given where the dollar is relative to the euro?

好的。如果可能的話，考慮到美元相對於歐元的匯率，是否有任何想法可能開始使用一點多餘的現金流來開始回購一些票據？

So we have given that some consideration. There are at least 2 downsides if you were doing that. Because they are so closely held and, therefore, the market for them is so illiquid, any transaction in these securities tends to move the value of the securities significantly. So that's a roundabout way of saying is were we to undertake that exercise, our ability to buy in these notes at the discounted price, a meaningful amount of it, that is, is not very great because it would just, in my judgment, would just quickly move the value of the securities. That's number one.

所以我們已經考慮到了這一點。如果您這樣做，至少有兩個缺點。由於它們的持有量如此之大，因此它們的市場流動性如此之差，因此這些證券的任何交易都會顯著改變證券的價值。因此，這是一種迂迴的說法，如果我們進行這種練習，我們以折扣價購買這些票據的能力，有意義的數量，也就是說，不是很大，因為根據我的判斷，它會只是迅速移動證券的價值。這是第一。

Having said that, if one considers the value that the company might create were it to undertake what I just said and to bring in what I would consider a small amount of the notes, I just think it's better for the company to maintain the flexibility that it enjoys with its liquidity right now.

話雖如此，如果考慮公司可能創造的價值，如果它承擔我剛才所說的並引入我認為少量的票據，我只是認為公司保持靈活性更好它現在享受其流動性。

So on balance, to date, given where the notes are trading, we've decided not to do that. If the notes traded down further versus or if the euro depreciated further, that might change.

因此，總的來說，到目前為止，考慮到票據的交易地點，我們決定不這樣做。如果票據交易價格進一步下跌，或者如果歐元進一步貶值，那可能會改變。

And what's the yield on those notes right now?

現在這些票據的收益率是多少？

We'll have to get that for you before we end the call here. Jack, can you do that for me?

在我們在這裡結束通話之前，我們必須為您拿到它。傑克，你能幫我做嗎？

(Operator Instructions) We'll now take our next question from [Graham Kramer, from Faze Investment Advisors].

（操作員說明）我們現在將接受 [來自 Faze Investment Advisors 的 Graham Kramer] 的下一個問題。

Great. I think just a question when I look at the value-add sales per wheel, obviously not adjusted for the numbers you present here, it looks like North America that has declined, let's say, 10% this year, [$46 to $42], whereas in Europe, it's been going up quite a bit. Could you just comment on that trend? Is that mix? Or am I doing my math right here?

偉大的。當我查看每個車輪的增值銷售額時，我認為這只是一個問題，顯然沒有根據您在這裡提供的數字進行調整，看起來北美已經下降了，比方說，今年下降了 10%，[46 美元到 42 美元]，而在歐洲，它已經上升了很多。你能評論一下這個趨勢嗎？那是混音嗎？或者我在這裡做我的數學？

Graham, a couple of points. First, these numbers are adjusted for FX, okay, just to be sure.

格雷厄姆，有幾點。首先，這些數字針對 FX 進行了調整，好吧，只是為了確定。

Second, when you look at the year-on-year comp, in North America mix was very, very strong last year. In fact, these guys blew it out of the water. So you see some moderation, some moderation this year and you see Europe catching up. Overall, Europe was always a higher contented story, on average, than North America. But the growth in both sides of the ocean is very, very comparable.

其次，當您查看同比比較時，去年北美的組合非常非常強勁。事實上，這些傢伙把它從水里吹了出來。所以你看到一些節制，今年一些節制，你看到歐洲迎頭趕上。總的來說，平均而言，歐洲總是比北美更令人滿意。但是大洋兩岸的增長非常非常具有可比性。

Okay. Okay. And just in terms of the trends, just looking at the unit sales again, I see -- I mean, obviously, Europe is weak. I know there's a lot going on over there. But we had a pretty big sequential decline in 3Q, which I don't think is the norm seasonally. What are your expectations in that part of the world as far as just -- or what are you hearing about how the demand is shaking out?

好的。好的。就趨勢而言，再次看一下單位銷售額，我明白——我的意思是，很明顯，歐洲很疲軟。我知道那邊發生了很多事情。但是我們在第三季度出現了相當大的環比下降，我認為這不是季節性的常態。就目前而言，您對世界那個地區的期望是什麼——或者您聽到了什麼關於需求正在發生變化的消息？

I mean, that's a very good question. And Europe, obviously, has been a surprise for all of us, especially given what happened in Ukraine, right?

我的意思是，這是一個非常好的問題。顯然，歐洲對我們所有人來說都是一個驚喜，尤其是考慮到烏克蘭發生的事情，對吧？

So year-to-date, Graham, if you look at Europe, the industry grew at 2%, right? If you look at North America, the industry grew at 11%. So when you combined the whole, our markets grew about 6% year-to-date. We have said we think the year will close out more like 5%. That implies potentially a flat Q4. Q4 last year was stronger than Q3.

所以今年迄今為止，格雷厄姆，如果你看看歐洲，這個行業增長了 2%，對嗎？如果你看看北美，該行業增長了 11%。因此，當你將整體結合起來時，我們的市場今年迄今增長了約 6%。我們已經說過，我們認為今年將結束 5% 左右。這意味著第四季度可能持平。去年第四季度強於第三季度。

What we are seeing is the OEMs continuing to struggle much more in Europe than in North America, with supply chain issues. Actually, to Gary's point, not only we're not seeing the volume, but also the erratic nature of schedules is still there and surprisingly there, Graham.

我們看到的是，原始設備製造商在歐洲的供應鏈問題比在北美的掙扎要嚴重得多。事實上，就加里的觀點而言，我們不僅沒有看到數量，而且時間表的不穩定性質仍然存在，令人驚訝的是，格雷厄姆。

Okay. And is aftermarket, is that affected here at all? Or not? As far as Europe goes.

好的。售後市場是否受到影響？或不？就歐洲而言。

(inaudible) The aftermarket for us last year, last year was a phenomenal growth story for us, 24% growth year-on-year, largely because of a lot of -- well, I will say most of the market is served out of Asia, not just China, but the rest of Asia. And there were a lot of transportation issues, and we had to step in and help our customers. We actually gained quite a bit of share in that process. So what you see really is a moderation of where we were.

（聽不清）去年我們的售後市場，去年對我們來說是一個驚人的增長故事，同比增長 24%，主要是因為很多 - 好吧，我會說大部分市場都是由亞洲，不僅僅是中國，而是亞洲其他地區。還有很多運輸問題，我們不得不介入並幫助我們的客戶。實際上，我們在該過程中獲得了相當多的份額。因此，您真正看到的是我們所處位置的緩和。

Our position in the aftermarket is very strong overall in Europe. Market share-wise, we believe we are #1. Our market share in Germany actually is close to 25%. We continue to maintain that. And that business has always served as an offset to some of the volatilities we saw on the OEM side. [It's a good] business for us, but you're seeing some moderation back to, let's say, where we were in 2019 levels.

我們在售後市場的地位在歐洲總體上非常強大。就市場份額而言，我們相信我們是第一名。我們在德國的市場份額實際上接近 25%。我們繼續保持這一點。該業務一直抵消我們在 OEM 方面看到的一些波動。 [這對我們來說是一件好事]，但你會看到一些緩和回到，比方說，我們在 2019 年的水平。

Gary Prestopino, it's Tim. The bonds, the euro bonds, are yielding today 15%.

加里·普雷斯托皮諾，我是蒂姆。這些債券，即歐元債券，今天的收益率為 15%。

It appears there is no further question at this time. I'd like to turn the conference back to you, Mr. Majdi Abulaban, for any additional or closing remarks.

看來此時沒有進一步的問題了。 Majdi Abulaban 先生，我想將會議轉回給您，請您發表任何補充或閉幕詞。

Thanks, everyone, for joining our call today.

感謝大家今天加入我們的電話會議。

In closing, I am very encouraged by our results this quarter and throughout the year. We look forward to continuing to (inaudible) on our strategic priorities and delivering long-term profitable growth.

最後，我對我們本季度和全年的業績感到非常鼓舞。我們期待繼續（聽不清）我們的戰略重點並實現長期盈利增長。

To the Superior team, thank you for your hard work, for your perseverance and for continuing to take care of each other during these challenging times.

感謝 Superior 團隊，感謝你們的辛勤工作、堅持不懈以及在這些充滿挑戰的時期繼續互相照顧。

Thanks again for joining, and have a nice day.

再次感謝您的加入，祝您有美好的一天。

Thank you for joining today's call. You may now disconnect.

感謝您參加今天的電話會議。您現在可以斷開連接。