Standex International Corp (SXI) 2024 Q4 法說會逐字稿

Good morning, ladies and gentlemen, and welcome to the Standex International fiscal fourth quarter 2024 financial results conference call. (Operator Instructions)

早安，女士們、先生們，歡迎參加斯丹迪斯國際 2024 年第四季財務業績電話會議。（操作員說明）

This call is being recorded on Friday, August 2, 2024. I would now like to turn the conference over to Chris Howe, Director of Investor Relations. Please go ahead.

此通話錄音於 2024 年 8 月 2 日星期五。我現在想將會議交給投資者關係總監 Chris Howe。請繼續。

Thank you, operator, and good morning. Please note that the presentation accompanying management's remarks can be found on the Investor Relations portion of the company's website at www.standex.com. Please refer to Standex' Safe Harbor statement on slide 2.

謝謝您，接線員，早安。請注意，管理層講話的簡報可在公司網站 www.standex.com 的投資者關係部分找到。請參閱投影片 2 上的斯丹迪斯安全港聲明。

Matters that Standex management will discuss on today's conference call include predictions, estimates, expectations, and other forward-looking statements. These statements are subject to risks and uncertainties that could cause actual results to differ materially. You should refer to Standex's most recent annual report on Form 10-K as well as other SEC filings and public announcements for a detailed list of risk factors.

斯丹迪斯管理層將在今天的電話會議上討論的事項包括預測、估計、期望和其他前瞻性陳述。這些陳述存在風險和不確定性，可能導致實際結果有重大差異。您應參閱 Standex 的最新 10-K 表格年度報告以及其他 SEC 備案文件和公告，以了解風險因素的詳細清單。

In addition, I'd like to remind you that today's discussion will include references to the non-GAAP measures of EBIT, which is earnings before interest and taxes; adjusted EBIT, which is EBIT, excluding restructuring, purchase accounting, acquisition-related expenses and onetime items; EBITDA, which is earnings before interest, taxes, depreciation and amortization; adjusted EBITDA, which is EBITDA excluding restructuring, purchase accounting, acquisition-related expenses and onetime items; EBITDA margin and adjusted EBITDA margin.

此外，我想提醒您，今天的討論將包括提及非公認會計原則的息稅前利潤（EBIT）指標，即息稅前利潤；調整後息稅前利潤，即息稅前利潤，不包括重組、採購會計、收購相關費用及一次性項目； EBITDA，即息稅折舊攤提前利潤；調整後的 EBITDA，即不包括重組、採購會計、收購相關費用和一次性項目的 EBITDA； EBITDA 利潤率和調整後 EBITDA 利潤率。

We will also refer to other non-GAAP measures, including adjusted net income, adjusted operating income, adjusted net income from continuing operations, adjusted earnings per share, adjusted operating margin, free operating cash flow, and pro forma net debt to EBITDA. These non-GAAP financial measures are intended to serve as a complement to results provided in accordance with accounting principles generally accepted in the United States. Standex believes that such information provides an additional measurement and consistent historical comparison of the company's financial performance.

我們還將參考其他非公認會計準則指標，包括調整後淨利潤、調整後營業收入、調整後持續經營淨利潤、調整後每股收益、調整後營業利潤率、自由營業現金流以及預計EBITDA 淨債務。這些非公認會計準則財務指標旨在作為根據美國普遍接受的會計原則提供的結果的補充。斯丹迪斯認為，此類資訊提供了公司財務表現的額外衡量和一致的歷史比較。

On the call today is Standex's Chairman, President and Chief Executive Officer, David Dunbar; and Chief Financial Officer and Treasurer, Ademir Sarcevic.

今天參加電話會議的是斯丹迪斯董事長、總裁兼執行長 David Dunbar；財務長兼財務主管 Ademir Sarcevic。

Thank you, Chris. Good morning, and welcome to our fiscal fourth quarter and fiscal year 2024 conference call. I would like to thank our corporate finance team and each of our business leaders for achieving our record profit and cash generation in fiscal 2024 with challenging general market conditions pressuring the top line.

謝謝你，克里斯。早安，歡迎參加我們的第四財季和 2024 財年電話會議。我要感謝我們的企業財務團隊和每位業務領導人在 2024 財年實現了創紀錄的利潤和現金生成，儘管總體市場條件充滿挑戰，給營收帶來壓力。

Behind the scenes, our engineering and sales and marketing teams continued to ramp up new product development and enhance our competitive position. As a result, in fiscal 2024, we expanded gross margin 90 basis points and operating margin 60 basis points while investing an additional $3.3 million in research and development to fuel our future growth initiatives.

在幕後，我們的工程、銷售和行銷團隊持續加強新產品開發力度，增強我們的競爭地位。因此，在 2024 財年，我們將毛利率提高了 90 個基點，營業利潤率提高了 60 個基點，同時在研發方面額外投資了 330 萬美元，以推動我們未來的成長計畫。

Even in the face of challenging market conditions, we continue to expand margins and increase investments for future growth. In fiscal 2025, we expect to release a record number of new products.

即使面對充滿挑戰的市場條件，我們仍持續擴大利潤並增加未來成長的投資。2025 財年，我們預計將發布創紀錄數量的新產品。

Now if everyone can turn to slide 3, key messages. In the fourth quarter, sales declined 4.3% with contributions from acquisitions and fast-growth markets, partially offsetting an organic decline. Though sales were down in electronics due to continued soft demand in appliances and general industrial end markets in China and Europe, we have seen orders strengthening these past two months, indicating that markets are improving and that our commercial strategy is taking hold.

現在大家可以翻到投影片 3，關鍵訊息。第四季度，由於收購和快速成長市場的貢獻，銷售額下降了 4.3%，部分抵消了有機下降。儘管由於中國和歐洲的家電和一般工業終端市場的需求持續疲軟，電子產品的銷售額有所下降，但我們看到過去兩個月的訂單有所增加，這表明市場正在改善，我們的商業策略正在發揮作用。

We also experienced an impact from a slowdown of new vehicle introductions in North America affecting our engraving segment. We expect demand to improve as we enter the second half of fiscal 2025. Demand in Asia and Europe remained stable. Sales in the fast-growth end markets grew 13% year on year to $27 million in the fourth quarter and grew 13% year on year to $94 million in fiscal 2024. Sales grew faster than expected in space and defense end markets and slower than expected in renewable energy, electric vehicles, and smart grid applications.

我們也受到北美新車引進放緩的影響，影響了我們的雕刻業務。我們預計，隨著進入 2025 財年下半年，需求將會改善。亞洲和歐洲的需求保持穩定。快速成長的終端市場第四季銷售額年增13%至2,700萬美元，2024財年年增13%至9,400萬美元。太空和國防終端市場的銷售成長快於預期，而再生能源、電動車和智慧電網應用的銷售成長則慢於預期。

I am especially pleased that we continue to demonstrate resilient operating performance from the execution of our price and productivity initiatives. As a result, we achieved adjusted operating margin of 16%, up 60 basis points on a sequential basis. Four of our five segments reported adjusted operating margin above 20%.

我特別高興的是，我們透過執行價格和生產力計劃繼續展現出有彈性的營運績效。結果，我們實現了 16% 的調整後營業利潤率，環比上升 60 個基點。我們五個部門中有四個部門的調整後營業利潤率超過 20%。

Following record profitability in fiscal 2023, we again achieved fiscal year record milestones in adjusted gross margin, adjusted operating income, adjusted operating margin, adjusted earnings per share, and free cash flow. At the same time, in fiscal year 2024, research and development investments were the highest ever and increased $3.3 million to 2.8% of sales. We remain optimistic about our long-term operating margin potential as we leverage better general market conditions and a higher sales contribution from new products and new applications.

繼 2023 財年創紀錄的獲利能力之後，我們在調整後毛利率、調整後營業收入、調整後營業利潤率、調整後每股收益和自由現金流方面再次實現了本財年創紀錄的里程碑。同時，2024 財年，研發投資達到有史以來最高水平，增加了 330 萬美元，佔銷售額的 2.8%。我們對長期營業利潤率潛力保持樂觀，因為我們利用更好的整體市場條件以及新產品和新應用的更高銷售貢獻。

On a sequential basis, in fiscal first quarter 2025, we expect similar to slightly higher revenue as higher sales into fast-growth end-markets are mostly offset by less favorable project timing in the engineering technologies segment. We expect similar to slightly higher gross margin and slightly lower to similar adjusted operating margin due to higher investments in selling, marketing, and R&D.

從環比來看，我們預計 2025 財年第一季的營收將略有上升，因為快速成長的終端市場的銷售額增加大部分被工程技術領域不太有利的專案時機所抵消。由於銷售、行銷和研發方面的投資增加，我們預期毛利率將略高，調整後的營業利潤率將略低。

We are positioned to release new products in every business in fiscal 2025, contributing over 100 basis points of incremental growth. I will go into more detail on the next slide. In addition, we anticipate fast-growth market sales to grow above 20% and exceed $110 million in fiscal 2025.

我們的目標是到 2025 財年在每項業務中推出新產品，貢獻超過 100 個基點的增量成長。我將在下一張投影片中詳細介紹。此外，我們預計快速成長的市場銷售額將在 2025 財年成長 20% 以上，並超過 1.1 億美元。

In fiscal year 2025, we expect general market conditions to stabilize in the first half and strengthen as we move further into the second half, providing a healthier backdrop of growth. We are reaffirming our long-term financial outlook by fiscal year 2028. These targets include high single-digit organic growth to greater than $1 billion in sales, adjusted operating margin greater than 19%, return on invested capital of greater than 15% and free cash flow conversion at approximately 100% of GAAP net income.

2025 財年，我們預計整體市場狀況將在上半年趨於穩定，並隨著下半年的進一步發展而走強，從而提供更健康的成長背景。我們重申 2028 財年的長期財務前景。這些目標包括銷售額達到超過 10 億美元的高個位數有機成長、調整後的營業利潤率超過 19%、投資資本回報率超過 15%，以及自由現金流轉換約為 GAAP 淨利潤的 100%。

Let's turn to slide 4 that highlights our progress -- once ahead for new product development and new applications. Personally, I'm very excited about 2025. This slide has literally been 10 years in the making. We began ramping up our R&D spending about five years ago as we completed our portfolio transformation and began focusing on operational improvements.

讓我們轉向投影片 4，它強調了我們的進展——在新產品開發和新應用方面取得了領先。就我個人而言，我對 2025 年感到非常興奮。這張幻燈片實際上已經製作了 10 年。大約五年前，當我們完成投資組合轉型並開始專注於營運改善時，我們開始增加研發支出。

As our margins and our predictability improved, we were able to increase our R&D spending as you see in the graph here, growing from $6.3 million to $20.5 million. A new product development can take several years, then must be incorporated into our customers' own new product design cycle, so it takes a few years to convert a new product development project to sales. It's like turning on the spigot in the hose and waiting for the water to come out the other end.

隨著我們的利潤率和可預測性的提高，我們能夠增加研發支出，如圖所示，從 630 萬美元增加到 2,050 萬美元。新產品的開發可能需要幾年的時間，然後必須納入客戶自己的新產品設計週期，因此將新產品開發專案轉化為銷售需要幾年的時間。這就像打開軟管的龍頭並等待水從另一端流出。

Our work is now beginning to bear fruit. New product releases begin with a trickle in 2023 with two new products, followed by three in 2024. Now new products are nearing completion in all businesses, and we anticipate releasing more than 12 new products in 2025. We anticipate they will add more than 1% to our sales growth in 2025.

我們的工作現已開始取得成果。新產品的發布將從 2023 年開始陸續發布兩款新產品，隨後在 2024 年發布三款新產品。目前，所有業務的新產品已接近完成，我們預計 2025 年將發布超過 12 種新產品。我們預計 2025 年他們將為我們的銷售額成長帶來 1% 以上的成長。

Every business will launch at least one new product, and we will release at least one in every quarter of the year. As the year progresses, we will provide updates on recently released products. This is the year to watch us as we develop the skill to launch new products and ramp their sales.

每個企業都會推出至少一款新產品，我們每年每季都會發布至少一款。隨著時間的推移，我們將提供最近發布的產品的更新。今年是值得關注的一年，我們將開發推出新產品並提高銷售的技能。

I will now turn the call over to Ademir and discuss our financial performance in greater detail.

我現在將把電話轉給阿德米爾，並更詳細地討論我們的財務表現。

Thank you, David, and good morning, everyone. Let's turn to slide 5, fourth-quarter 2024 summary. On a consolidated basis, total revenue decreased approximately 4.3% year on year to $180.2 million. This reflected an organic revenue decline of 9.4% and 1.1% impact for foreign exchange partially offset by 6.2% benefit from recent acquisitions. Fourth-quarter 2024 adjusted operating margin increased 60 basis points year on year to 16%.

謝謝大衛，大家早安。讓我們轉向投影片 5，2024 年第四季摘要。綜合來看，總營收年減約4.3%至1.802億美元。這反映了有機收入下降 9.4% 和外匯影響 1.1%，部分被近期收購帶來的 6.2% 收益所抵銷。2024年第四季調整後營業利潤率年增60個基點至16%。

In the fiscal fourth quarter, adjusted operating income decreased 1% on 4.3% consolidated revenue decrease year on year. Adjusted earnings per share remained flat year on year at $1.76.

第四財季，調整後營業收入下降 1%，綜合收入較去年同期下降 4.3%。調整後每股收益與去年同期持平，為 1.76 美元。

Net cash provided by operating activities was $28.7 million in the fourth quarter of fiscal 2024 compared to $40.4 million a year ago. Capital expenditures were $6.5 million compared to $7.6 million a year ago. As a result, we generated fiscal fourth quarter free cash flow of $22.2 million compared to $32.8 million a year ago. Our free cash flow conversion ratio as a percent of GAAP net income was 112%.

2024 財年第四季營運活動提供的淨現金為 2,870 萬美元，去年同期為 4,040 萬美元。資本支出為 650 萬美元，而一年前為 760 萬美元。結果，我們第四財季的自由現金流為 2,220 萬美元，而去年同期為 3,280 萬美元。我們的自由現金流轉換率為 GAAP 淨利潤的 112%。

Now please turn to slide 6, and I will begin to discuss our segment performance and outlook, beginning with electronics. Segment revenue of $80.4 million increased 0.6% year on year as 14.6% benefit from recent acquisitions was mostly offset by an organic decline of 12.3% and 1.6% impact from foreign currency.

現在請轉到投影片 6，我將開始討論我們的細分市場業績和前景，從電子產品開始。部門營收為 8,040 萬美元，年成長 0.6%，近期收購帶來的 14.6% 收益大部分被 12.3% 的有機下降和外匯影響 1.6% 所抵銷。

Adjusted operating margin of 20.5% in fiscal fourth quarter 2024 decreased 50 basis points year on year as the contribution from recent acquisitions and pricing and productivity initiatives were more than offset by lower volume. Our new business opportunity funnel increased approximately 30% year on year and is currently at approximately $85 million.

2024 財年第四季調整後營業利潤率為 20.5%，年減 50 個基點，因近期收購、定價和生產力措施的貢獻被銷售下降所抵銷。我們的新商機漏斗年增約 30%，目前約 8,500 萬美元。

As David highlighted in his comments, we are starting to see encouraging signs that markets are starting to recover, which is further supported by positive order trends in the last two months. June orders in electronics increased approximately 30% over the average order intake for the past six months and our July orders increased approximately 5% over June orders.

正如大衛在評論中所強調的那樣，我們開始看到令人鼓舞的跡象，表明市場開始復甦，過去兩個月的積極訂單趨勢進一步支持了這一跡象。6 月電子產品訂單比過去 6 個月的平均訂單量增加了約 30%，7 月訂單比 6 月訂單增加了約 5%。

The recent upward trend in monthly orders has been driven by the following factors: inventory normalization, strengthening of the North American mail aero market, the return of certain semiconductor customers, increased demand for bare reed switches, and our commercial focus on gaining share in fast-growth end markets.

近期每月訂單的上升趨勢是由以下因素推動的：庫存正常化、北美郵件航空市場的走強、某些半導體客戶的回歸、對裸簧開關的需求增加以及我們的商業重點是在快速增長的市場份額- 成長的終端市場。

We anticipate the positive impact from this trend to more meaningfully show in our top line as we move to the second half of our fiscal year. Sequentially, in fiscal first quarter 2025, we expect similar to slightly higher revenue driven by higher sales into fast-growth end markets and similar adjusted operating margin as pricing and productivity initiatives offset higher investment in selling, marketing, and R&D.

我們預計，隨著財年下半年的到來，這一趨勢的正面影響將更有意義地體現在我們的營收中。因此，在2025 財年第一季度，我們預計，由於快速成長的終端市場銷售額增加，收入將略有增加，調整後的營業利潤率也會類似，因為定價和生產力舉措抵消了銷售、行銷和研發方面的投資增加。

Please turn to slide 7 for a discussion of the engraving and scientific segments. Engraving revenue decreased 22.8% to $32.7 million, driven by organic decline of 21% and 1.9% impact from foreign exchange. Operating margin of 12% in fiscal fourth quarter 2024 decreased 660 basis points year on year due to slower demand in North America due to OEM platform push outs. In our next fiscal quarter, on a sequential basis, we expect moderately higher revenue and operating margin due to more favorable project timing in Europe and Asia.

請參閱幻燈片 7，以了解雕刻和科學部分的討論。由於有機下降 21% 和外匯影響 1.9%，雕刻收入下降 22.8% 至 3,270 萬美元。由於 OEM 平台推出導致北美需求放緩，2024 財年第四季的營業利潤率為 12%，年減 660 個基點。在我們的下一個財政季度，由於歐洲和亞洲的專案時機更為有利，我們預計收入和營業利潤率將略有上升。

Scientific revenue decreased 4.1% to $17.5 million due to lower demand from retail pharmacies. Operating margin of 28.1% increased 260 basis points year on year due to impact of productivity initiatives and lower freight costs, partially offset by lower volume. Sequentially, we expect similar revenue and slightly lower operating margin due to continued investments in research and development activities and higher freight costs.

由於零售藥局的需求下降，科學收入下降 4.1% 至 1,750 萬美元。由於生產力措施和貨運成本下降的影響，營運利潤率為 28.1%，年增 260 個基點，但部分被銷售下降所抵銷。因此，由於研發活動的持續投資和較高的貨運成本，我們預期收入將相似，但營業利潤率將略有下降。

Now turn to slide 8 for a discussion of the engineering technologies and specialty solutions segments. Engineering technologies revenue increased 15.7% to $25.3 million, driven by organic growth of 15.9%, slightly offset by 0.2% impact from foreign currency. This strong organic growth was due to higher demand in aviation end market, more favorable project timing, and growth in new applications.

現在轉到投影片 8，討論工程技術和專業解決方案部分。受 15.9% 有機成長的推動，工程技術收入成長 15.7%，達到 2,530 萬美元，略微抵銷了 0.2% 的外匯影響。這種強勁的有機成長得益於航空終端市場的更高需求、更有利的專案時機以及新應用的成長。

Operating margin of 20.9% increased 670 basis points year on year as leverage on higher sales and productivity initiatives were partially offset by investments in research and development. This represents the fifth consecutive quarter of sequential operating margin improvement in this segment. Sequentially, we expect moderately to significantly lower revenue and slightly lower operating margin due to unfavorable project timing.

營業利益率為 20.9%，年成長 670 個基點，這是因為銷售和生產力提高計畫的槓桿作用被研發投資部分抵銷了。這代表該部門營業利潤率連續第五個季度實現成長。因此，由於專案時機不利，我們預期收入將適度顯著下降，營業利潤率將略有下降。

Specialty solutions segment revenue of $24.2 million decreased 6.3% year on year, primarily due to lower demand in the display merchandising business, partially offset by organic growth in the hydraulics business. Operating margin of 22.2% decreased 260 basis points year on year. Sequentially, we expect similar revenue and operating margin.

專業解決方案部門營收為 2,420 萬美元，年減 6.3%，主要是由於顯示器銷售業務的需求下降，但部分被液壓業務的有機成長所抵消。營業利益率為22.2%，較去年同期下降260個基點。因此，我們預期收入和營業利潤率將相似。

Next, please turn to slide 9 for a summary of Standex's liquidity statistics and the capitalization structure, which remain strong. Standex ended fiscal fourth quarter 2024 with $347 million of available liquidity. At the end of the fourth quarter, Standex had net cash of $5.3 million compared to net debt of $10 million at the end of fiscal third quarter 2024. Standex's long-term debt at the end of fiscal fourth quarter 2024 was $148.9 million.

接下來，請翻到投影片 9，了解斯丹迪斯的流動性統計數據和資本結構的摘要，這些數據仍然強勁。截至 2024 財年第四季度，斯丹迪斯擁有 3.47 億美元的可用流動資金。截至第四季末，Standex 的淨現金為 530 萬美元，而 2024 年第三季末的淨債務為 1,000 萬美元。截至 2024 年第四財季末，斯丹迪斯的長期債務為 1.489 億美元。

Cash and cash equivalents totaled $154.2 million. We declared our 240th quarterly consecutive cash dividend of $0.30 per share and approximately 7.1% increase year on year. In fiscal 2025, we expect capital expenditures to be between $35 million and $40 million.

現金及現金等價物總計 1.542 億美元。我們宣布連續第 240 季現金股利每股 0.30 美元，較去年同期成長約 7.1%。2025 財年，我們預計資本支出將在 3,500 萬美元至 4,000 萬美元之間。

I will now turn the call over to David to discuss our key takeaways from our fourth-quarter results.

我現在將把電話轉給大衛，討論我們第四季業績的主要收穫。

Thank you, Ademir. Please turn to slide 10. I'm very proud of our team for their continued operational execution and focus on growing markets that led to our record cash and profit generation in fiscal 2024. We achieved several records that were driven by our operational execution, continued progress of our growth efforts, and the successful integration of our recent acquisitions. We remain optimistic about the long-term secular trends that will benefit from the transition from internal combustion to hybrid and electric in automotive; infrastructure spending in smart grid; defense applications and next-generation aerospace development; and from the evolution of space exploration.

謝謝你，阿德米爾。請翻到投影片 10。我為我們的團隊持續的營運執行和對不斷增長的市場的關注感到非常自豪，這使我們在 2024 財年創造了創紀錄的現金和利潤。我們取得了多項記錄，這些記錄是由我們的營運執行、我們的成長努力的持續進展以及我們最近收購的成功整合所推動的。我們對長期趨勢保持樂觀，這將受益於汽車從內燃機轉向混合動力和電動的轉變；智慧電網基礎設施支出；國防應用與下一代航空航太開發；以及太空探索的演變。

We anticipate sales into fast-growth end markets to accelerate over our long-term target horizon and beyond as these trends develop. To support our future growth, we continue to invest in our engineering capabilities to drive new product development and new applications across markets with growth potential.

我們預計，隨著這些趨勢的發展，快速成長的終端市場的銷售將在我們的長期目標範圍內加速。為了支持我們未來的成長，我們繼續投資我們的工程能力，以推動具有成長潛力的市場的新產品開發和新應用。

In fiscal year 2025, for the first time in the company's history, new products will be released in every one of our businesses. We continue to maintain a strong balance sheet that allows us to prudently assess an active pipeline of organic and inorganic growth opportunities to support future growth. In fiscal 2025, we expect the general market conditions to stabilize in the first half and strengthen as we move further into the second half, barring any unforeseen economic disruptions.

2025 財年，我們的每項業務都將發布新產品，這在公司歷史上尚屬首次。我們繼續保持強勁的資產負債表，使我們能夠審慎評估一系列積極的有機和無機成長機會，以支持未來的成長。到 2025 財年，我們預計整體市場狀況將在上半年趨於穩定，並在下半年進一步走強，除非有任何不可預見的經濟幹擾。

We reaffirm our long-term financial outlook by fiscal year 2028. These targets include high single-digit organic growth to greater than $1 billion in sales, adjusted operating margin greater than 19%, return on invested capital of greater than 15%, and free cash flow conversion at approximately 100% of GAAP net income.

我們重申 2028 財年的長期財務前景。這些目標包括銷售額達到超過 10 億美元的高個位數有機成長、調整後營業利潤率超過 19%、投資資本回報率超過 15%，以及自由現金流轉換約為 GAAP 淨利潤的 100%。

We will now open the line for questions.

我們現在將開通提問熱線。

Thank you. Ladies and gentlemen, we will now begin the question-and-answer session. (Operator Instructions) Michael Legg, Benchmark.

謝謝。女士們、先生們，我們現在開始問答環節。（操作員指令）Michael Legg，基準。

Thanks. Good morning, everyone, and congratulations on another nice quarter. I wanted to kind of dig into a little bit on the new product development. Can you explain a little bit of the development phase alongside the customer and how you work with them to come up with the new products, whether the next-generation products or new products?

謝謝。大家早安，恭喜又一個美好的季度。我想深入了解新產品的開發。您能否與客戶一起解釋開發階段，以及您如何與他們合作開發新產品，無論是下一代產品還是新產品？

And then as they work into the production cycle of the customer, the first year, you gave us 100 basis points improvement. But what does that really mean the second, third year as these things start to be rolled into it?

然後，當他們進入客戶的生產週期時，第一年，您給了我們 100 個基點的改進。但是，當這些事情開始進入第二年、第三年時，這到底意味著什麼呢？

And then just a follow-up on that would be you have 12 that you've mentioned for fiscal '25. What does the R&D pipeline look like longer term for new products? Thanks.

然後，後續行動就是您提到的 25 財年的 12 個。新產品的長期研發管道是什麼樣的？謝謝。

That's a lot of questions. If I forget any, let me know. So first of all, how we work with customers. As you know, most of our businesses compete on what we call customer intimacy. So our new product ideas come from our customers.

這是很多問題。如果我忘記了，請告訴我。首先，我們如何與客戶合作。如您所知，我們的大多數業務都在所謂的客戶親密度上競爭。所以我們的新產品創意來自我們的客戶。

We identify applications or neighboring needs of the applications we serve that we don't meet with current product that goes into our innovation hopper and then if it gets through our filters, it goes into new product development. So the ideas come from customers. And in some businesses, like engineering technologies, the new product development is actually often funded by the customer and is for a specific customer project.

我們確定我們所服務的應用程式或我們所服務的應用程式的鄰近需求，這些需求與進入我們創新料斗的當前產品不滿足，然後如果它通過了我們的過濾器，就會進入新產品開發。所以想法來自客戶。在某些業務中，例如工程技術，新產品開發實際上通常由客戶資助，並且針對特定的客戶專案。

So we don't develop a product simply based on some abstract notion of what the market might need and then launch a new product in the market to see what will happen. We already know customers need it. We work out the specs and the requirements with customers. So when we launch it, we know that we're on the mark.

因此，我們不會只根據市場可能需要的抽象概念來開發產品，然後在市場上推出新產品，看看會發生什麼。我們已經知道客戶需要它。我們與客戶一起制定規格和要求。因此，當我們推出它時，我們知道我們已經成功了。

What was the next question, Ademir? You can help me.

下一個問題是什麼，阿德米爾？你可以幫助我。

Year two and three, what -- first year, 100 basis points --

第二年和第三年，什麼－第一年，100 個基點--

Yeah. So this is the year we've said you watch us as we learn how these -- how new products ramp. In general, it takes -- it will take about three years, at least for a new product to ramp to full volume because our customers have to design it into their cycle. And I guess as the year goes on, we'll communicate more what our expectations are. I would tell you, we set 100-basis-point -- greater than 100 basis point sales from new products this year. We certainly have internal targets higher than that.

是的。因此，今年我們說過，請您關注我們，了解這些新產品如何成長。一般來說，至少需要三年左右的時間，新產品才能達到滿載生產，因為我們的客戶必須將其設計到他們的週期中。我想隨著時間的推移，我們將更多地傳達我們的期望。我想告訴你，我們設定了 100 個基點——今年新產品的銷售額超過 100 個基點。我們當然有比這更高的內在目標。

As we get more customer wins, we'll be able to portray a better evolution in years two and three. But we certainly expect that to increase and ramp up. There are other products in the pipeline that -- next year, we'll be announcing that we've got new products scheduled for release in 2026. We've got a full pipeline now. We're spending $20 million a year on R&D. That will drive new product releases year after year.

隨著我們贏得更多客戶，我們將能夠在第二年和第三年描繪出更好的發展。但我們當然預計這一數字將會增加。還有其他產品正在醞釀中——明年，我們將宣布計劃於 2026 年發布新產品。我們現在已經有了完整的管道。我們每年在研發上花費 2000 萬美元。這將推動年復一年的新產品發布。

Great. And then just one other question. On your five-year target for '28 on those goals, historically, you've exceeded your previous long-term guidance over those time frames. With this new one, where would you say you are in comparison to making those numbers by '28 or earlier?

偉大的。然後還有一個問題。從歷史上看，在 28 年的五年目標中，您已經超越了先前在這些時間範圍內的長期指導。有了這個新的產品，與 28 年或更早之前的數字相比，您認為自己處於什麼水平？

Well, year on year, we went backwards from last year. So I'd say we maybe took a step back. The step back, as we've communicated, is largely the market over -- if you step back even farther, if you look over 10 years, our organic growth over 10 years has been about 3% a year. Since COVID, it's been 4%.

嗯，年復一年，我們比去年倒退了。所以我想說我們可能退了一步。正如我們所傳達的那樣，退一步很大程度上是市場的結束——如果你退一步更遠，如果你回顧過去 10 年，我們在過去 10 年的有機增長約為每年 3%。自新冠疫情以來，這一比例為 4%。

With the step back this last year, just the way market cycles work, we'd expect the market to come back in the next year or so. We communicated today, we think of the second half, it will come back. So we take that core growth of 3% over 10 years as a good proxy for our business -- of what it will do over the next 4 years. We believe our fast-growth markets will still be $200 million -- our sales in the fast-growth markets in 2028. That leaves about $170 million of sales to come from 3% growth rate, which is about $90 million.

隨著去年的回落，正如市場週期的運作方式一樣，我們預計市場將在明年左右回歸。今天我們溝通了，我們想到下半場，它會回來的。因此，我們將 10 年內 3% 的核心成長率作為我們業務的良好代表——未來 4 年的業務。我們相信，到 2028 年，我們的快速成長市場的銷售額仍將達到 2 億美元。如果成長率為 3%，則銷售額將達到約 1.7 億美元，約 9,000 萬美元。

And the new product development sales need to add about $80 million over the next four years. So we feel very good about where we're at, given the magnitude of new products we're releasing now and continued progression with fast growth.

未來四年新產品開發銷售額需要增加約8000萬美元。因此，考慮到我們現在發布的新產品的規模以及快速成長的持續進展，我們對自己所處的位置感到非常滿意。

Yeah. And I would second that, Mike, I think we're still pretty confident and comfortable that -- again, barring any unforeseen economic disruptions that we'll get to those targets.

是的。我想說的是，麥克，我認為我們仍然非常有信心和放心——再次強調，除非出現任何不可預見的經濟幹擾，否則我們將實現這些目標。

Congratulations on the quarter. Thanks.

恭喜本季。謝謝。

Chris Moore, CJS Securities.

克里斯摩爾，CJS 證券。

So it looks like you're expecting fiscal '25 to be more back-half loaded. Can you maybe just talk a little bit more about the visibility kind of surrounding the belief general markets will begin to improve? And really, are there specific segments or markets that you're thinking about? I think you talked a little bit of electronics and maybe on engraving, but just trying to understand which segments you're thinking are really more likely second-half loaded.

因此，看來您預計 25 財年的後半負載會更大。您能否多談談圍繞整體市場將開始改善的信念的可見性？確實，您正在考慮特定的細分市場或市場嗎？我認為您談到了一些電子產品，也許還談到了雕刻，但只是想了解您認為哪些部分確實更有可能在下半年加載。

Yeah. So I'll add a couple of data points and then Ademir can pitch in. We have some of our businesses -- some segments of business where we have good long-term visibility. So engineering technologies, for example, we have a very good view in engineering technologies. Defense, aviation and space, especially are going to ramp up through the year. So we feel very good, very confident about that growth.

是的。因此，我將添加幾個數據點，然後阿德米爾可以參與其中。我們有一些業務——在某些業務領域，我們擁有良好的長期知名度。例如工程技術，我們對工程技術有非常好的看法。尤其是國防、航空和航太領域，今年的發展將尤其強勁。所以我們對這種成長感覺非常好，非常有信心。

In our magnetics business in electronics, sales in the semiconductor manufacturing equipment, we anticipate that will start to ramp up towards the end of the calendar year. That looks really good.

在我們的電子磁性業務以及半導體製造設備的銷售中，我們預計到今年年底將開始增加。看起來確實不錯。

Another data point we have, we've talked about in past quarters, is we use the sale of switches as a leading indicator for our businesses. It's historically been a good indicator, and we've really seen that start to ramp nicely in the last few quarters.

我們在過去幾季討論過的另一個數據點是，我們使用交換器的銷售作為我們業務的領先指標。從歷史上看，這是一個很好的指標，我們確實看到它在過去幾個季度開始良好成長。

I think two quarters ago, we said we thought it bottomed out, was starting to come up. Last quarter, we said it was coming up a little bit. Now we're seeing a more decisive increase, as Ademir mentioned in his script.

我想兩個季度前，我們說我們認為它已經觸底，但現在開始回升。上個季度，我們說它會有所上升。現在我們看到了更決定性的增長，正如阿德米爾在他的劇本中提到的那樣。

Yeah. And Chris, if I can add to that. We also obviously track internal data, and we are encouraged by what we are seeing into the electronics over there over the past two months. They ran up about 30% higher in the month of June over the past six months and July was higher. So we are cautiously optimistic that trend will continue, and we have a lot of commercial focus on making sure we gain share, and we continue to grow.

是的。克里斯，如果我可以補充一下的話。我們顯然也追蹤內部數據，我們對過去兩個月在電子設備中看到的情況感到鼓舞。過去六個月中，6 月股價上漲了約 30%，7 月漲幅更高。因此，我們對這一趨勢將持續持謹慎樂觀態度，我們在商業上投入了大量精力，以確保我們獲得份額並繼續成長。

Got it. I appreciate that. Conversely, are there any segments where growth is still going to be from where you sit today, a little bit more challenging, might be flattish or up a little bit versus what we just talked about?

知道了。我很欣賞這一點。相反，與我們剛才討論的情況相比，是否有任何細分市場仍將保持成長，更具挑戰性，可能持平或略有上升？

Yeah. I think we mentioned in the script, engraving in North America, in particular -- anyone following the auto OEMs in North America, they're going through, let's say, a transitional period here. Many of them have announced they're pushing out their new platforms. Ford, in particular, was a very good customer for us, earlier this year announced they're pushing platforms out by a couple of years. So we think FY25 will be a challenging year for North American engraving business.

是的。我想我們在劇本中提到過，尤其是北美的雕刻——任何關注北美汽車原始設備製造商的人，他們正在經歷過渡時期。他們中的許多人已經宣布他們正在推出他們的新平台。尤其是福特，對我們來說是一個非常好的客戶，今年稍早宣布他們將把平台推出幾年。因此，我們認為 25 財年對北美雕刻業務來說將是充滿挑戰的一年。

Got it. In terms of the longer-term goals, the organic growth, high single-digits, it seems like that would be -- lots of things would have to go right in '25 in order to reach that. Is that a fair way to look at it?

知道了。就長期目標而言，有機成長、高個位數成長，似乎是——很多事情都必須在 25 年順利進行才能實現這一目標。這是一個公平的看待它的方式嗎？

Well, yeah, a way to think of it is -- the way we think is that by the end of the year, we believe we'll be on that kind of a sequential growth rate that supports annual upper single-digits. We have good visibility to this coming quarter, and we think it will start to accelerate from there based on some of the things we talked about. And by our Q3, Q4, we anticipate that that growth rate will support upper single digits.

嗯，是的，一種思考方式是——我們的想法是，到今年年底，我們相信我們將實現支持年度高個位數的連續成長率。我們對下一個季度有很好的預見性，並且根據我們討論的一些事情，我們認為它將從那裡開始加速。到第三季、第四季，我們預期成長率將支持較高的個位數。

I kind of went through the math earlier to the prior question. Of course, if the markets -- the market is going to have a 3% or 4% impact on our business. But on top of that, our fast-growth presence, we're very confident in the growth there. And then with the new product releases, we have a new engine for growth to take us in the upper single digits above that core.

我在前面的問題之前就已經完成數學計算了。當然，如果市場——市場將對我們的業務產生 3% 或 4% 的影響。但最重要的是，我們的業務快速成長，我們對那裡的成長非常有信心。然後，隨著新產品的發布，我們有了新的成長引擎，使我們的核心業務取得了更高的個位數成長。

Yeah. And if I can just add to that, Chris. I mean, you know half of the company is electronics, right? And again, from what we are seeing from a macro level, electronics had a tough year from a top-line standpoint, and that's because of just the general macro environment. But we are seeing that starting to improve, plus all -- some of the new products we're going to be launching in this segment, along with their exposure to fast-growth end markets, make us optimistic that as we move to the year -- again, barring any unforeseen economic disruptions that we're going to see pretty nice organic growth in the electronics business, especially in the second half of the fiscal year. Because these orders we are taking now, it takes time for them to actually turn into sales.

是的。如果我可以補充一點，克里斯。我的意思是，你知道公司一半的業務是電子產品，對吧？再說一遍，從宏觀層面來看，從營收角度來看，電子產業經歷了艱難的一年，而這只是因為整體宏觀環境。但我們看到，情況開始有所改善，加上我們將在這一領域推出的一些新產品，以及它們對快速增長的終端市場的接觸，讓我們樂觀地認為，隨著我們進入這一年— —再次強調，除非出現任何不可預見的經濟幹擾，否則我們將看到電子業務相當不錯的有機成長，特別是在本財年下半年。因為我們現在接的這些訂單，真正轉換成銷售還需要時間。

Mike Shlisky, D.A. Davidson.

麥克‧史利斯基 (Mike Shlisky)，D.A.戴維森。

So I want to follow up on one of the earlier questions -- on one of your answers. I don't want to get too far ahead, but the level of product introductions you have this fiscal year, is that supposed to be the kind of the new norm going forward? Have you unlocked kind of a new cultural imperative to keep that product cadence fairly high?

因此，我想跟進之前的問題之一——您的答案之一。我不想走太遠，但本財年產品推出的水平，這應該是未來的新常態嗎？您是否開啟了一種新的文化要求，以保持較高的產品節奏？

Yes. We've got good visibility to product launches this year and emerging visibility to 2026. And we see what's in the pipeline in stages 0, 1 and 2. I do believe this will be the new cadence for us. We'll release new products kind of at this rate indefinitely.

是的。我們對今年的產品發布以及 2026 年的新產品都有很好的了解。我們看到了第 0、1 和 2 階段正在醞釀的內容。我相信這將是我們的新節奏。我們將無限期地以此速度發布新產品。

And Mike, if I can just add to that, we are at about 2.8% of sales in terms of R&D spend. I think we said that we want to get over 3% as we move forward. So we're going to continue investing in R&D. We believe in these new products that are going to be launched. And as David says, watch us and see how it works out.

麥克，如果我可以補充一點的話，我們的研發支出約佔銷售額的 2.8%。我想我們說過，隨著我們的前進，我們希望獲得超過 3% 的份額。因此，我們將繼續投資研發。我們對即將推出的這些新產品充滿信心。正如大衛所說，請觀察我們，看看結果如何。

Of course, fantastic. We haven't talked much about the M&A environment yet. I am curious if you can tell us a little bit about the pipeline, what's in the later stages, or even if you're looking to divest anything, how anything is going on that process?

當然，太棒了。我們還沒有過多討論併購環境。我很好奇你能否告訴我們一些有關管道的信息，後期階段是什麼，或者即使你想剝離任何東西，這個過程進展如何？

Yeah. We've got -- I think we mentioned last quarter, we have a very active pipeline. These are -- the majority of the really active opportunities are privately owned businesses. And in most cases, there's not a process. These are based on long-term relationships.

是的。我想我們上個季度提到過，我們有一個非常活躍的管道。這些是——大多數真正活躍的機會是私人企業。在大多數情況下，沒有一個過程。這些都是基於長期關係。

So there are some that are actionable. So don't be surprised if in the coming months, we do announce something. But until you have a deal, you don't have a deal. But we -- I would say we feel optimistic about the environment for us.

所以有些是可行的。因此，如果在接下來的幾個月裡我們確實宣布了一些事情，請不要感到驚訝。但在達成協議之前，你還沒有達成協議。但我想說，我們對我們的環境感到樂觀。

In terms of divestitures, we only have good products in our portfolio. We get inbound calls regularly about many of our businesses. And at the time our choosing, we're confident we would have the option if we chose to divest in other business. However, there's no pressing need like there was three, four years ago.

在資產剝離方面，我們的投資組合中只有好的產品。我們經常接到有關我們許多業務的來電。當我們做出選擇時，我們相信如果我們選擇剝離其他業務，我們將有選擇。不過，現在的需求已經不像三、四年前那麼迫切了。

Got it. Maybe last one for me -- back to the topic of your new products. Have they then been released yet, just the first month and into the fiscal year here? And if so, how has it gone?

知道了。也許對我來說是最後一個——回到你們的新產品的話題。那麼它們是否已發布，僅在第一個月並進入本財年？如果是這樣，情況怎麼樣？

Yeah, there -- we've got a few scheduled for release this quarter. We talked about their business and we got all the presidents together last month and told them, every quarter, we're going to talk about new products. And they said, well, please don't tell our competitors what we're going to release in the coming quarters. So wait until after the release, and then update.

是的，我們計劃在本季發布一些內容。我們討論了他們的業務，上個月我們把所有總裁聚集在一起，告訴他們，每個季度我們都會討論新產品。他們說，好吧，請不要告訴我們的競爭對手我們將在未來幾季發布什麼。所以等到發布之後，再更新。

So in our next earnings release, we'll share the releases from this quarter and then progressively. But I have to tell you, I'm really pleased. The last three or four years, you can imagine, we're spending $20 million in R&D. There was a lot of work going on. We have quarterly reviews with -- our Board formed a special committee, the Innovation and Technology Committee. We review the pipeline. We review our work processes.

因此，在我們的下一次財報發布中，我們將分享本季的發布訊息，然後逐步分享。但我必須告訴你，我真的很高興。你可以想像，過去三、四年我們在研發上花了 2000 萬美元。有很多工作正在進行中。我們進行季度審查—我們的董事會成立了一個特別委員會，即創新和技術委員會。我們審查管道。我們審查我們的工作流程。

One of our Board members ran the research and development labs at Procter & Gamble. Michael Hickey on our Board from Ecolab has a great pedigree in growth and ramping up sales of new products. So there's been a lot of activity under the hood. So we're really excited that FY25, we can start to kind of open the curtain on some of those things.

我們的一位董事會成員負責管理寶潔公司的研發實驗室。來自藝康 (Ecolab) 的董事會成員 Michael Hickey 在新產品的成長和銷售方面有著出色的表現。所以幕後有很多活動。因此，我們非常高興 25 財年我們可以開始揭開其中一些事情的帷幕。

And we're anxious -- just as anxious as you are to see how these new launches go. And we know that not all these new products will succeed. That's why you need a portfolio of new products. And developing the new products is one thing, ramping up sales through really effective marketing and targeting and directed commercial approach is another. So we'll go through the year, report on our progress, and it was a very exciting year for us.

我們很著急——就像你們很著急地想知道這些新產品的發布進展如何一樣。我們知道並非所有這些新產品都會成功。這就是您需要新產品組合的原因。開發新產品是一回事，透過真正有效的行銷、定位和定向商業方法來提高銷售量是另一回事。因此，我們將回顧這一年，報告我們的進展，這對我們來說是非常令人興奮的一年。

Gary Prestopino, Barrington Research.

加里‧普雷斯托皮諾，巴靈頓研究中心。

Ademir, you -- I couldn't write this down fast enough. You talked about sequential changes in orders. Could you just go through that? I think you gave some data on June and July.

阿德米爾，你——我寫得不夠快。您談到了訂單的連續變化。你能經歷一下嗎？我想你提供了一些六月和七月的數據。

Yeah. Sure, Gary. So our June orders -- for the month of June in our electronics segment were about 30% higher than the average order rate for the past six months, May and before. And in July, that trend continue because the orders in July were another 5% higher and -- over 5% higher than our June orders. So for the past two months, we have seen really positive trends from kind of showing that the market is recovering along with some of our extended commercial activity.

是的。當然，加里。因此，我們電子部門 6 月的訂單量比過去 6 個月、5 月及之前的平均訂單率高出約 30%。7 月，這種趨勢仍在繼續，因為 7 月的訂單量又比 6 月的訂單量高出 5%，而且高出 5% 以上。因此，在過去的兩個月裡，我們看到了真正積極的趨勢，表明市場正在隨著我們一些擴展的商業活動而復甦。

Okay. Good to hear. And then just on your new products that you're going to roll out, over a dozen new products, how many of these are targeted for your fast-growth markets?

好的。很高興聽到。然後就您將要推出的新產品而言，有十多個新產品，其中有多少是針對您快速成長的市場的？

Let's see. Not all of our markets -- our businesses serve what we've defined as fast-growth markets. We have a number of new products coming out in scientific, for example, great end market, but it's not in our fast-growth. The electronics businesses -- the electronics new products, virtually all of them will have some applications at least in fast-growth. The engineering technologies new products are all fast-growth end markets. So I'd roughly say half of them are fast-growth.

讓我們來看看。並非我們所有的市場——我們的業務都服務於我們定義的快速成長的市場。我們在科學領域（例如，龐大的終端市場）推出了許多新產品，但這並不屬於我們的快速成長階段。電子業務－電子新產品，幾乎所有這些產品至少在快速成長中都會有一些應用。工程技術新產品都是快速成長的終端市場。所以我粗略地說其中一半是快速成長的。

Okay. And then in terms of these new products, is there any -- looking for the right word here -- increase in the specialization, technology or whatever, with these products that you should be able to attain a higher margin or contribution margin on these new products versus some of the legacy business that you have?

好的。然後就這些新產品而言，是否有任何 - 在這裡尋找正確的單字 - 專業化、技術或其他方面的增加，透過這些產品，您應該能夠在這些新產品上獲得更高的利潤或貢獻利潤產品與您擁有的一些遺留業務？

Yeah, absolutely. We anticipate that all these new products based on the voice of customer work we've done, and our own knowledge of the products, the product families they're part of, is that they will deliver margin -- gross margin is higher than the average in that business. And some of them are just kind of pushing the envelope or performance of the products. Some of them are entering into new adjacent segments. But our expectation -- in our funnel, when we develop a product, if it's not going to deliver higher margin, we will pass on and go to other -- and prioritize those developments that will deliver higher margins.

是的，絕對是。我們預計，所有這些新產品都基於我們所做的客戶工作的聲音，以及我們對產品及其所屬產品系列的了解，它們將帶來利潤——毛利率高於該行業的平均水平。其中一些只是在挑戰產品的極限或性能。其中一些正在進入新的相鄰細分市場。但我們的期望是——在我們的漏斗中，當我們開發一種產品時，如果它不能帶來更高的利潤，我們就會放棄並轉向其他產品——並優先考慮那些能夠帶來更高利潤的開發。

So David, right off the bat, as you roll these things -- these new products out, they do have a higher incremental gross margin and we should see positive impact to the gross margin as we go through the year?

那麼大衛，馬上，當你推出這些新產品時，它們確實有更高的增量毛利率，我們應該看到這一年對毛利率的正面影響？

Yes, that's our expectation. We've got limited experience. Over the last five years, we've launched a handful of products. Those new products are selling at higher margins. So based on that experience and our voice of customer and development, yeah, we do believe that. At the moment of launch, they will be accretive to our margins.

是的，這就是我們的期望。我們的經驗有限。在過去的五年裡，我們推出了一些產品。這些新產品的銷售利潤更高。因此，基於這些經驗以及我們對客戶和開發的聲音，是的，我們確實相信這一點。在推出時，它們將增加我們的利潤。

(Operator Instructions) Ross Sparenblek, William Blair.

（操作說明）Ross Sparenblek、William Blair。

Starting on the new products. I mean, [it was a curious] comment that you don't expect all of these are going to succeed. The vast majority are voice of the customer. I believe 70% are educated there. Is that still a way to think about it, maybe 30% of these dozen are just kind of throwing out there to see what sticks?

從新產品開始。我的意思是，[這是一個奇怪的]評論，你並不指望所有這些都會成功。絕大多數都是客戶的聲音。我相信70%的人在那裡接受過教育。這仍然是一種思考方式嗎？

Well, if you look at -- look -- I mean, everybody, when they launch a product, believes it's going to succeed. The reality is if you look at the data, not all new products succeed. In fact, most of them fall short of expectations. That's why you need a portfolio of them. Some will far exceed the expectation.

好吧，如果你看——看——我的意思是，每個人在推出產品時都相信它會成功。事實是，如果你看一下數據，你會發現並非所有新產品都會成功。事實上，他們中的大多數都沒有達到預期。這就是為什麼您需要它們的投資組合。有些會遠遠超出預期。

So I think we're just looking at others' experience to say, let's be honest and humble here. They're not all going to succeed. But we think we have enough of them. And enough of them will succeed enough and probably exceed our expectations to drive our top-line growth. So I didn't mean to confuse you with that statement. We're not going to launch something knowing that it is not going to succeed. But we're just learning from experience here.

所以我認為我們只是看看其他人的經驗，然後說，讓我們誠實和謙虛。他們並不都會成功。但我們認為我們已經足夠了。其中足夠多的公司將取得足夠的成功，並可能超越我們的預期，從而推動我們的營收成長。所以我並不是故意要讓你對這個說法感到困惑。我們不會推出一些明知不會成功的東西。但我們只是從這裡吸取經驗。

Okay. Maybe I'm just reading too much into it, but thanks for the clarity there. And then maybe just kind of framing the average TAM expectations, I mean, a dozen products, 7% -- or $7 million of sales. They're not all going to hit July 1, obviously. But what are you guys targeting? And then what is maybe like your ROI or product vitality index threshold as you think about conceptualizing that ramp and how these can build if they are successful?

好的。也許我只是讀得太多了，但謝謝你的清晰。然後也許只是製定 TAM 的平均預期，我的意思是，十幾種產品，佔銷售額的 7%，即 700 萬美元。顯然，它們不會都在 7 月 1 日到來。但你們的目標是什麼？然後，當您考慮概念化斜坡以及如果成功時如何建立這些斜坡時，您的投資回報率或產品活力指數閾值可能是多少？

Well, those are great questions. I think in the course of the year, we will get better and better about talking about those things. I would say that we've -- our sales just last year of the products that have been released in the last five years, like mid-single-digit percent of our sales, we think that will go up another 100 basis points or more this coming year. Over five-plus years -- we'll see how long it takes these to ramp.

嗯，這些都是很好的問題。我認為在這一年中，我們會越來越好地談論這些事情。我想說的是，我們去年的銷售額是過去五年中發布的產品的百分比，我們認為這將再增加 100 個基點或更多來年。在五年多的時間裡——我們將看到這些需要多長時間才能實現。

But for us -- you could create your own model here. But for us to deliver upper single-digit growth long term, and relying on new products to some extent, we're going to have to get into the teens and above over time with new products -- I don't know when we'll get there. As we evolve, we'll share that more.

但對我們來說——您可以在這裡創建您自己的模型。但對我們來說，要實現長期上個位數的成長，並在某種程度上依賴新產品，隨著時間的推移，我們將不得不將新產品帶入十幾歲及以上——我不知道什麼時候我們」會到達那裡。隨著我們的發展，我們將分享更多。

Ademir, do you have something to add?

阿德米爾，您還有什麼要補充的嗎？

No, I think that's right. That's right.

不，我認為這是對的。這是正確的。

Okay. Is there anything you can call out particular, like, this is a $20 million opportunity, and we're really excited. Any other ones that you're just kind of taking a little adjacent share here and there?

好的。有什麼可以特別指出的，例如，這是一個價值 2000 萬美元的機會，我們真的很興奮。還有其他一些您只是在這裡或那裡分享一些相鄰的內容嗎？

I think what we do is that quarter by quarter, as we announce what's been released, we would do that. We do have some that potentially really expand our served market and have a $20 million-plus opportunity.

我認為我們所做的就是每個季度，當我們宣布已發布的內容時，我們都會這樣做。我們確實有一些可能真正擴大我們服務的市場並擁有價值超過 2000 萬美元的機會。

But Ross, just to put this perspective, this is not -- we wouldn't launch a product and say $2 million market opportunity. I mean, we are talking about much higher opportunity we are targeting. And so these are significant changes.

但羅斯，從這個角度來看，這不是——我們不會推出一個產品並說有 200 萬美元的市場機會。我的意思是，我們正在談論我們瞄準的更高的機會。因此，這些都是重大變化。

Yeah, that's very clear. And last one here on just electronic margins and expectations. I know we have 200 basis points of prior cost out. I think there's like five magnetic products that are launching, which are dilutive. So how should we think about the incrementals this year given the cross currents? And then what level of revenue do you think we need to achieve for electronics to get back to the 2023 -- kind of 22%, 23%?

是的，這很清楚。最後一個是關於電子利潤和期望。我知道我們之前的成本支出有 200 個基點。我認為大約有五種磁性產品正在推出，它們的稀釋作用是稀釋的。那麼，面對逆流，我們該如何看待今年的增量呢？那麼您認為電子產品收入需要達到什麼水準才能回到 2023 年——22%、23% 左右？

Yeah. I think, Ross, you're going to get a few things working in our favor. Obviously, the volume -- just that margin fall through that you get from a higher volume, we are still getting some price and productivity. We've got new products that are going to be launched. And we would expect our margin in electronics to improve sequentially as we improve through the fiscal year.

是的。我想，羅斯，你會做出一些對我們有利的事情。顯然，銷量——只是銷量增加帶來的利潤下降了，我們仍然獲得了一些價格和生產力。我們有新產品即將推出。我們預計，隨著本財年的改善，我們的電子產品利潤率將持續改善。

And we do believe the second half will be stronger from a revenue standpoint than the first half. So again, as David said, you can do your own model. But as you kind of think about the second half of FY25, we're optimistic that the margin is going to get better than it is today.

我們確實相信，從收入角度來看，下半年將比上半年更強勁。所以，正如大衛所說，你可以做你自己的模型。但考慮到 25 財年下半年，我們樂觀地認為利潤率會比現在更好。

(Operator Instructions) There are no further questions at this time. I'll hand the call over to David Dunbar for closing remarks. Sir, please go ahead.

（操作員說明） 目前沒有其他問題。我將把電話轉交給大衛·鄧巴（David Dunbar）做總結發言。先生，請繼續。

All right. Thank you. I want to thank everybody for joining us on the call. We enjoy reporting on our progress at Standex. And finally, again, I want to thank our employees and shareholders for your continued support and contributions. We look forward to speaking with you again in our fiscal first quarter 2025 call.

好的。謝謝。我要感謝大家加入我們的電話會議。我們喜歡報告我們在斯坦德斯的進展。最後，我要再次感謝我們的員工和股東的持續支持和貢獻。我們期待在 2025 財年第一季的電話會議中再次與您交談。

Ladies and gentlemen, this concludes today's conference. Thank you very much for your participation. You may now disconnect.

女士們、先生們，今天的會議到此結束。非常感謝您的參與。您現在可以斷開連線。