Teledyne Technologies Inc (TDY) 2024 Q3 法說會逐字稿

Ladies and gentlemen, thank you for standing by. Welcome to the Teledyne third quarter earnings conference call. (Operator Instructions) And as a reminder, your conference call today is being recorded.

女士們先生們，謝謝你們的支持。歡迎參加 Teledyne 第三季財報電話會議。（操作員說明）謹此提醒，您今天的電話會議正在錄音。

I will now turn the conference call over to your first speaker, Jason VanWees. Please go ahead.

我現在將電話會議轉給第一位發言人傑森‧範威斯 (Jason VanWees)。請繼續。

Thank you. Hello, and good morning, everyone. This is Jason VanWees, Vice Chairman. And I'd like to welcome everyone to Teledyne's Third Quarter 2024 Earnings Release Conference Call. We released our earnings earlier this morning.

謝謝。大家好，早安。我是傑森‧範韋斯，副主席。我歡迎大家參加 Teledyne 2024 年第三季財報發布電話會議。我們今天早上早些時候發布了財報。

Joining us today are Teledyne's Executive Chairman, Robert Mehrabian; CEO, Edwin Roks, President and COO; George Bobb, and SAP CFO, Steve Blackwood, and Melanie Cibik, EVP, Counsel, Chief Compliance Officer and Secretary. After remarks by Robert, Edwin, George and Steve, who will ask for your questions.

今天加入我們的有 Teledyne 執行主席 Robert Mehrabian；執行長 Edwin Roks、總裁兼營運長； George Bobb、SAP 財務長 Steve Blackwood 和執行副總裁、法律顧問、首席合規官兼秘書 Melanie Cibik。羅伯特、艾德溫、喬治和史蒂夫發言後，他們將提出問題。

But of course, before we get started, our attorneys have remind to me to tell you that all forward-looking statements made this morning are subject to various assumptions, risks and caveats as noted in the earnings release and our periodic SEC filings, and of course, actual results may differ materially. Here's Robert.

當然，在我們開始之前，我們的律師提醒我告訴您，今天早上發表的所有前瞻性陳述都受到收益發布和我們定期向 SEC 提交的文件中指出的各種假設、風險和警告的影響。實際結果可能存在重大差異。這是羅伯特.

Thank you, Jason, and good morning, and thank you for joining our earnings call. Teledyne achieved all-time record sales in the third quarter with revenues sequentially greater in each segment, allowing us to report overall year-over-year growth as we expected.

謝謝傑森，早安，謝謝您參加我們的財報電話會議。Teledyne 在第三季度實現了創紀錄的銷售額，每個細分市場的收入均連續增長，使我們能夠如我們預期的那樣報告總體同比增長。

We continue to see robust demand in our longer cycle defense, space and energy businesses. And at the same time, while year-over-year comparison remains challenging, sales for most of our short cycle commercial businesses have either stabilized or have begun to recover sequentially. Year-to-date, we approximately repurchased about $354 million of our stock. We completed two acquisitions for $125 million, repaid $450 million of gross debt.

我們繼續看到長週期國防、太空和能源業務的強勁需求。同時，雖然年比比較仍然具有挑戰性，但我們大多數短週期商業業務的銷售額要么已經穩定，要么已經開始連續復甦。今年迄今為止，我們大約回購了約 3.54 億美元的股票。我們以 1.25 億美元完成了兩項收購，償還了 4.5 億美元的總債務。

But our quarter end leverage has remained in the 1.7 times given record free cash flow over the last 9 months. Orders were greater than sales for the fourth consecutive quarter -- and we once again ended the period with record backlog. Nevertheless, given the timing of future shipments against this backdrop, and some sales, we were able to accelerate into the third quarter.

但鑑於過去 9 個月創紀錄的自由現金流，我們的季末槓桿率仍保持在 1.7 倍。訂單連續第四個季度大於銷售額，我們再次以創紀錄的積壓結束了這段時期。儘管如此，考慮到在此背景下未來的發貨時間以及一些銷售，我們能夠加速進入第三季。

We continue to remain reasonably confident that quarterly sales will again increase sequentially in the fourth quarter but only modestly compared with the third quarter.

我們仍然有理由相信，第四季的季度銷售額將再次環比成長，但與第三季相比增幅不大。

I will now turn the call over to Edwin, our CEO, who will further comment on the performance of our four business segments.

我現在將把電話轉給我們的執行長埃德溫，他將進一步評論我們四個業務部門的表現。

Thank you, Robert. This is Edwin, and I will first report on the Digital Imaging segment, which represents a bit over 50% of Teledyne's portfolio. And like Teledyne, as a whole, this segment is a mix of lower cycle businesses, such as defense, space and health care, combined with shorter cycle markets, including industrial automation, semiconductor inspection and infrared components and cameras for applications ranging from factory condition monitoring to maritime navigation.

謝謝你，羅伯特。我是 Edwin，我將首先報告數位成像領域，該領域佔 Teledyne 產品組合的 50% 以上。與整個Teledyne 一樣，該細分市場是低週期業務（例如國防、航太和醫療保健）與較短週期市場（包括工業自動化、半導體檢測以及適用於從工廠條件到應用的紅外線組件和相機）的組合。

Third quarter 2024 sales declined less than 1% compared to last year. Sales to industrial and machine vision markets declined year-over-year. However, this was partially offset by increased sales from FLIR. Both is commercial infrared imaging and defense base businesses as well as for Teledyne space-based infrared imaging detectors.

2024 年第三季銷售額與去年相比下降不到 1%。工業和機器視覺市場的銷售額較去年同期下降。然而，這被 FLIR 銷售額的成長部分抵消。兩者都是商業紅外線成像和國防基礎業務以及 Teledyne 天基紅外線成像探測器。

Furthermore, for the fifth consecutive quarter, healthy margins the entire FLIR business portfolio helped us protect overall operating margin, even given the significant year-over-year reduction in sales of our typically highest contribution margin product lines. George will now report on the other three segments, which represents the balance of Teledyne.

此外，整個 FLIR 業務組合連續第五個季度保持健康的利潤率，幫助我們保護了整體營運利潤率，即使我們通常貢獻利潤率最高的產品線的銷售額同比大幅下降。喬治現在將報告其他三個部分，這代表了 Teledyne 的平衡。

Thanks, Edwin. The instrumentation segment consists of our marine, environmental, and test and measurement businesses, which contributed a little under 25% of sales. For the total segment, overall third quarter sales increased 6.3% versus last year.

謝謝，埃德溫。儀器儀表業務由我們的海洋、環境以及測試和測量業務組成，其貢獻了略低於 25% 的銷售額。就整個細分市場而言，第三季整體銷售額比去年增長了 6.3%。

Sales of marine instruments increased 24.1% in the quarter, primarily due to both strong offshore energy and subsea defense sales. Sales of environmental instruments decreased 3.5%, primarily due to greater sales of water quality instruments, offset by lower sales of select laboratory instruments and emission monitoring systems.

本季海洋儀器銷售額成長 24.1%，主要得益於海上能源和海底防禦銷售的強勁成長。環境儀器的銷售額下降了 3.5%，主要是由於水質儀器的銷售額增加，但被部分實驗室儀器和排放監測系統的銷售下降所抵消。

Sales in electronic custom measurement systems, which include digitizers and protocol analyzers decreased 8.6% year-over-year on a tough quarterly comparison versus 2023. Instrumentation operating margin increased in each product family in the third quarter, with overall operating margin increasing 155 basis points to 27.5% and and 152 basis points on a non-GAAP basis to 28.6%.

與 2023 年相比，包括數位化儀和協議分析儀在內的電子客製化測量系統的銷售額年減了 8.6%，季度比較嚴峻。第三季每個產品系列的儀器營業利潤率均有所成長，整體營業利潤率提高了155 個基點，達到27.5%；以非GAAP 計算，整體營業利潤率提高了152 個基點，達到28.6% 。

In the aerospace and defense electronics segment, which represents roughly 15% of Teledyne sales, third quarter sales increased 9.2%, driven by growth both commercial aerospace and defense electronics products. Overall segment operating profit increased year-over-year with GAAP segment margin increasing 117 basis points to 28.1% and 116 basis points on a non-GAAP basis to 28.2%.

航空航太和國防電子領域約佔 Teledyne 銷售額的 15%，在商業航空航太和國防電子產品成長的推動下，第三季銷售額成長了 9.2%。整體部門營業利潤年增，GAAP 部門利潤率成長 117 個基點至 28.1%，非 GAAP 部門利潤率成長 116 個基點至 28.2%。

For the engineered systems segment, which contributes less than 10% to overall sales, third quarter revenue increased 9.4%. Segment operating profit also grew with segment margin increasing 70 basis points due to higher sales and a greater mix of manufacturing programs.

對於佔總銷售額不到 10% 的工程系統領域，第三季營收成長了 9.4%。由於銷售額的增加和製造計劃的增加，部門營業利潤也有所增長，部門利潤率增加了 70 個基點。

I will now pass the call back to Robert.

我現在將把電話轉回給羅伯特。

Thank you, George. I'll conclude with a few comments on strategy and capital allocation. Over the last several quarters, some of our markets have experienced weakness, but we lowered costs to protect margins in these businesses while growing and increasing margin in those businesses where the environment was more favorable.

謝謝你，喬治。最後我將就策略和資本配置發表一些評論。在過去的幾個季度中，我們的一些市場經歷了疲軟，但我們降低了成本以保護這些業務的利潤率，同時在環境更有利的那些業務中成長和提高利潤率。

During this period, we also opportunistically purchased our own stock. While our current $1.25 billion stock repurchase authorization remains active. We're also fortunate that our near-term acquisition pipeline is healthy. While there are always new challenges, I'm optimistic that we have began -- begun to exit some of our more difficult quarterly comparisons and we will continue to grow both organically and through acquisitions.

在此期間，我們也伺機買了自己的股票。而我們目前 12.5 億美元的股票回購授權仍然有效。我們也很幸運，我們的近期收購管道是健康的。雖然總是存在新的挑戰，但我樂觀地認為，我們已經開始退出一些更困難的季度比較，我們將繼續透過有機成長和收購實現成長。

I'll now turn the call over to our CFO, Steve.

現在我將把電話轉給我們的財務長史蒂夫。

Thank you, Robert, and good morning. I will first discuss some additional financials for the quarter not covered by Robert, and then I will discuss our fourth quarter and full year 2024 outlook.

謝謝你，羅伯特，早安。我將首先討論 Robert 未涵蓋的本季度的一些其他財務數據，然後我將討論我們的第四季度和 2024 年全年展望。

In the third quarter, cash flow from operating activities was $249.8 million compared with $278.2 million in 2023. Free cash flow, that is cash flow from operating activities less capital expenditures, was $228.7 million in the third quarter of 2024 compared to $255.2 million in 2023. Cash flow decreased in the third quarter due to higher income tax payments.

第三季經營活動現金流量為 2.498 億美元，而 2023 年為 2.782 億美元。2024 年第三季的自由現金流（即經營活動產生的現金流量減去資本支出）為 2.287 億美元，而 2023 年為 2.552 億美元。由於所得稅增加，第三季現金流量減少。

Capital expenditures were $21.1 million in the third quarter of 2024 compared with $23 million in 2023. Depreciation and amortization expense was $76.9 million for both the third quarters of 2024 and 2023. For the first 9 months of 2024, cash flow from operating activities and free cash flow were $859.5 million and $804.8 million, respectively.

2024 年第三季的資本支出為 2,110 萬美元，而 2023 年為 2,300 萬美元。2024 年和 2023 年第三季的折舊和攤提費用均為 7,690 萬美元。2024 年前 9 個月，經營活動現金流和自由現金流分別為 8.595 億美元和 8.048 億美元。

We ended the quarter with approximately $2.24 billion of net debt. That is approximately $2.8 billion of debt less cash of $561 million.

本季結束時，我們的淨債務約為 22.4 億美元。這大約是 28 億美元的債務減去 5.61 億美元的現金。

Now, turning to our outlook. Management currently believes that GAAP earnings per share in the fourth quarter of 2024 will be in the range of $4.27 to $4.41 per share with non-GAAP earnings per share in the range of $5.13 to $5.23. And for the full year of 2024, we are raising our GAAP earnings per share outlook to $17.28 to $17.42, and we are narrowing our non-GAAP outlook to $19.35 to $19.45, the top end of our prior outlook range.

現在，轉向我們的展望。管理層目前認為，2024 年第四季的 GAAP 每股盈餘將在 4.27 美元至 4.41 美元之間，非 GAAP 每股盈餘將在 5.13 美元至 5.23 美元之間。對於 2024 年全年，我們將 GAAP 每股收益預期上調至 17.28 美元至 17.42 美元，並將非 GAAP 預期收窄至 19.35 美元至 19.45 美元，這是我們先前展望範圍的上限。

I will now pass the call back to Robert.

我現在將把電話轉回給羅伯特。

Thank you. We would now like to take your questions. Operator, if you're ready to proceed with the question and answers, please go ahead. Did I lose our operator?

謝謝。我們現在願意回答您的問題。接線員，如果您準備好繼續提問和回答，請繼續。我失去接線生了嗎？

(Operator Instructions) Jim Ricchiuti, Needham. .

（操作員說明）Jim Ricchiuti，Needham。。

Robert, I think you alluded to some acceleration in sales perhaps coming pull-ins in Q4. Was that mainly in the defense area? Or were there some other markets where you saw that?

羅伯特，我認為您提到了第四季度銷售可能會出現一些加速。主要是在防守區域嗎？或者您在其他市場也看到過這種情況嗎？

No, I think it was primarily where we have the largest backlog, which would be the Defense businesses, a little bit from energy, but primarily different ratings.

不，我認為這主要是我們積壓最多的地方，即國防業務，還有一點來自能源，但主要是不同的評級。

Got it. And just with respect to -- it sounds like you had a good quarter from an order standpoint. Can you give us any more color in terms of book-to-bill as it relates to the segments? And maybe how you're thinking about overall revenue growth versus what you maybe were thinking about a few months back?

知道了。就訂單而言，聽起來您的季度表現不錯。您能否為我們提供更多與細分市場相關的訂單到帳單方面的資訊？也許您對整體營收成長的看法與幾個月前的情況相比如何？

Yes. Let me start with the book-to-bill. Let me start with the overall first. Book-to-bill at the end of Q3 was about 1.48. Almost all of the businesses had healthy book to build, except for 1 of our environmental businesses. Let me now go over those. In instruments, book-to-bill was about 1 with Marine, of course, being much higher and T&M coming along to over 1 and environmental below 1.

是的。讓我從訂單到帳單開始。首先讓我從整體開始。第三季末的訂單出貨比約為 1.48。除了我們的環保業務外，幾乎所有的業務都有健康的帳簿需要建立。現在讓我回顧一下這些。在儀器方面，訂單出貨比約為 1，當然，Marine 的出貨比要高得多，而 T&M 則超過 1，而環境則低於 1。

In digital imaging, we are experiencing good book-to-bill numbers in what we call historical Teledyne, book-to-bill was 1.08 and FLIR had excellent book-to-bill of 1.17. aerospace and defense, 1.04 and engineered systems 1.82.

在數位成像領域，我們在歷史悠久的 Teledyne 中經歷了良好的訂單出貨比數字，訂單出貨比為 1.08，FLIR 的訂單出貨比為 1.17。航空航天和國防，1.04 和工程系統 1.82。

Regarding the revenue, we've decided that with all the uncertainty in the world today, starting with elections and then, of course, the various conflicts in the Middle East and Europe, we've decided that it's prudent to maintain the number -- the revenue number that we had in -- at the end of Q2 that we projected, which is about $5.624 billion or EUR 5.6 billion. And we might do better, but right now, Jim, with all the uncertainty, it's prudent not to be too effervescent.

關於收入，我們決定，鑑於當今世界的所有不確定性，從選舉開始，當然還有中東和歐洲的各種衝突，我們決定維持這個數字是謹慎的——我們預計第二季末的收入約為56.24 億美元或歐元56億。我們可能會做得更好，但現在，吉姆，考慮到所有的不確定性，謹慎的做法是不要太興奮。

Got it. Makes sense. Just one quick follow-up and I'll turn it over. Just with respect to the test and measurement business, are you seeing now -- it looked like you had some nice sequential growth. Do you feel that the weakness in the scopes business is behind you? Or is this still the critical analogic business strength contributing to this overall better results?

知道了。有道理。只要快速跟進一下，我就會把它翻過來。就測試和測量業務而言，你現在看到了嗎——看起來你有一些不錯的連續成長。您是否覺得示波器業務的弱點已經過去了？或者說，這仍然是促成整體更好結果的關鍵類比業務優勢嗎？

In the third quarter, it was primarily the protocol I think we're a little hesitant about projecting the oscilloscope businesses. But usually, what happens at year-end, which would be our people do capital expenditures, and we pick up business in that domain. So we're hopeful that this year would be a repeat of last year with Q4 being higher than Q3.

在第三季度，主要是協議問題，我認為我們對預測示波器業務有點猶豫。但通常情況下，年底會發生什麼，我們的員工會進行資本支出，然後我們會在該領域開展業務。因此，我們希望今年能夠重演去年的情況，第四季的成長率高於第三季。

Greg Konrad, Jefferies.

格雷格·康拉德，杰弗里斯。

Is there any way -- or can you parse Digital Imaging for the quarter and maybe what you're seeing across the different businesses? I mean, going into the quarter, we did see a couple of negative pre-announcement from some of your peers on the vision side. Any color on what you're seeing across the different vision end markets either from an order or just trend perspective?

有什麼辦法嗎？我的意思是，進入本季度，我們確實看到一些願景方面的同行發布了一些負面的預先聲明。從訂單或趨勢的角度來看，您在不同的視覺終端市場中看到了什麼顏色？

Yes. Let me slice it on the larger picture first, if I may. If you look at our two segments within that digital imaging. You have our historical digital imaging, which is as well as our scientific imaging here. And then you have FLIR. So if I look at the big picture for Q3, what we call our traditional historical digital imaging revenue was declined. Organic growth was negative, almost 9.8%, 9.9%.

是的。如果可以的話，讓我先把它從更大的圖景上切開。如果你看看我們在數位成像中的兩個部分。您可以看到我們的歷史數位成像，以及我們的科學成像。然後你就有了 FLIR。因此，如果我從第三季的整體情況來看，我們所說的傳統歷史數位成像收入有所下降。有機成長是負的，幾乎是9.8%、9.9%。

On the other hand, FLIR did exceptionally well. In the defense businesses in FLIR, which is 40% of FLIR, the growth was 8.2% and with all the subdivisions within there growing very healthy. In the far commercial businesses, we were essentially flat, but we have to keep in mind that in the commercial flare businesses, we also do have a camera vision system, which is basically an aerial camera, two-dimensional arial camera, which has much lower sales, just like the rest of our vision camera systems in the So if we took that negative out FLIR Industrial also grew.

另一方面，FLIR 的表現卻異常出色。FLIR 的國防業務（佔 FLIR 的 40%）成長了 8.2%，其中的所有細分業務都成長得非常健康。在遙遠的商業業務中，我們基本上持平，但我們必須記住，在商業照明業務中，我們也確實有一個相機視覺系統，它基本上是一個航空相機，二維航空相機，它有很多銷售額下降，就像我們的其他視覺相機系統一樣。

And overall, FLIR grew 3.2% with that negative coming. We had -- now we also going to Dale, what we're looking at there is basically a range of businesses some positive and some negative. Let me give you the positives first and the negatives, which we've talked about before. Interestingly enough, our micro-electromechanical systems or MEMS, is experiencing really good growth. Maybe that's the canary in the mine because they're making a lot of products that are of relevance to the semiconductor industry.

總體而言，FLIR 在這一負面影響的影響下增長了 3.2%。我們現在也去了戴爾，我們在那裡看到的基本上是一系列業務，有些是積極的，有些是消極的。讓我先告訴你正面的一面和負面的一面，我們之前已經討論過。有趣的是，我們的微機電系統或 MEMS 正在經歷非常好的成長。也許這就是礦井裡的金絲雀，因為他們正在生產許多與半導體產業相關的產品。

Also, as you may recall, we have in Aerospace and Defense business within our historical digital imaging. That did very well, grew almost 13%, where we had decreases were primarily in scientific and industrial vision systems and somewhat in healthcare. I think the healthcare is going to recover. And I think in the industrial and scientific vision systems, we believe that at least in the camera domain with bottomed out, and we have a slow recovery there is a portion of that deals with sensors where it makes sense for ourselves and other people, that's going to lag a little more.

此外，您可能還記得，我們​​在歷史悠久的數位成像領域擁有航空航太和國防業務。表現非常好，成長了近 13%，其中我們的下降主要是在科學和工業視覺系統以及醫療保健領域。我認為醫療保健將會恢復。我認為在工業和科學視覺系統中，我們相信至少在相機領域已經觸底，而且我們正在緩慢復甦，其中一部分涉及感測器，這對我們自己和其他人來說都是有意義的，那就是會稍微滯後一點。

It may have bottomed out, but we don't see a recovery at this point. So overall, I would say DALSA, e2v, Teledyne Imaging were lagged a little bit with mixed progress in the different businesses FLIR carried the day for the overall Digital Imaging.

它可能已經觸底，但目前我們還沒有看到復甦。因此，總體而言，我認為 DALSA、e2v、Teledyne Imaging 的表現稍顯落後，FLIR 在不同業務中的進展參差不齊，在整個數位成像領域取得了勝利。

And then, I mean, maybe it's a little bit early to talk about 2025, but it seems at least on the long cycle, whether that's defense or on marine, you've experienced positive book-to-bill on ramping sales. If you look out over the next year, can you maybe talk about how much visibility you have on the long-cycle businesses versus how you're thinking about the recovery in short cycle over the next year?

然後，我的意思是，也許現在談論 2025 年還為時過早，但至少在長週期上，無論是國防還是海軍，你都經歷了積極的訂單到賬單銷售的增長。如果您展望明年，您能否談談您對長週期業務的了解程度以及您對明年短週期業務復甦的看法？

The long-cycle businesses, Greg, assuming there is no catastrophes as anything like that can affect our long-cycle businesses. They're healthy. We think it's -- they're going to grow year-over-year. We have some really good program wins, both in our FLIR Defense as well as in our Teledyne Imaging here in space and other programs.

格雷格，長週期業務，假設沒有災難，因為類似的事情會影響我們的長週期業務。他們很健康。我們認為它們將會逐年增長。我們贏得了一些非常好的項目，無論是在我們的 FLIR Defense 項目中，還是在我們的 Teledyne Imaging 太空項目和其他項目中。

So we think those are going to grow. On the short-cycle businesses, we're just going through the first cut of our plans for next year. I think I have to say it's a little too early to predict how that's going to work. I'll wait another couple of months and see what happens to the elections here, but more importantly, what kind of capital expenditures people exercise as they get near the end of the quarter, Q4.

所以我們認為這些將會成長。在短週期業務方面，我們剛完成明年計畫的第一部分。我想我不得不說現在預測這將如何運作還為時過早。我將再等幾個月，看看這裡的選舉會發生什麼，但更重要的是，人們在接近第四季末時會採取什麼樣的資本支出。

And then maybe just sneaking in one last one. I mean, if you think about defense across FLIR and engineered and A&D electronics, what was defense up in the quarter?

然後也許只是偷偷溜進最後一件。我的意思是，如果您考慮 FLIR 以及工程和 A&D 電子產品的防禦，那麼本季的防禦情況如何？

Defense US government business was up organically maybe 2.5% plus, but we do have programs overseas that are doing really well. For example, Ukraine. We supply a whole range of products to them, also some to Middle East. And those programs have been very healthy, and we seem to be winning new programs, especially with offers that we have in counter UAV systems as well as our own UAVs, the small Black Hornet, which are doing really well. So we're overall very positive in that domain.

美國政府的國防業務有機成長了 2.5% 以上，但我們確實有一些海外專案進展得非常好。例如，烏克蘭。我們向他們供應全系列產品，也向中東供應一些產品。這些項目一直非常健康，我們似乎正在贏得新項目，特別是我們提供的反無人機系統以及我們自己的無人機，即小型黑黃蜂，它們做得非常好。所以我們在這個領域總體上非常積極。

Andrew Buscaglia, BNP.

安德魯·巴斯卡利亞，法國巴黎銀行。

I wanted to touch on -- Marine has been so strong all year. And you seem to have good visibility in that. I'm just wondering what sustainability of that growth is through next year? How much visibility do you have that you can maintain such a strong segment and then not -- maybe not see a little bit -- we're a little bit worried about challenging comps, but how do you see that playing out?

我想談談——海軍陸戰隊這一整年都很強大。你似乎對此有很好的了解。我只是想知道明年這種成長的可持續性如何？你有多少能見度，你可以保持如此強大的細分市場，然後 - 也許看不到一點 - 我們有點擔心具有挑戰性的競爭，但你如何看待這種情況？

Yes. Let me -- that's a good question. Marine, has had kind of variation in their book-to-bill with Q1 being very strong at 1.27% and then Q3 being around 1.04%. Here's the story on marine. We acquired about 23 small businesses to form our Marine group. Those range from interconnect for commercial oil exploration and oil production to defense.

是的。讓我——這是個好問題。Marine 的訂單出貨比有一定差異，第一季非常強勁，為 1.27%，第三季約為 1.04%。這是關於海洋的故事。我們收購了大約 23 家小型企業來組成我們的海洋集團。這些範圍從商業石油勘探和石油生產的互連到國防。

We have underwater vehicles, a whole range of them from floats to gliders to what we call the vehicles that are being used both in this country and in Europe. And then we have military programs that deal with her penetrators for the Virginia class submarine as an example. So the mix is very interesting. It's it's offshore energy maybe 30%, maybe more, if you put in exploration, it's close to 40%.

我們擁有水下航行器，種類齊全，從浮體到滑翔機，再到我們在這個國家和歐洲使用的所謂的航行器。然後我們有處理弗吉尼亞級潛艇穿甲彈的軍事計劃作為例子。所以這種混合非常有趣。海上能源可能佔 30%，甚至更多，如果投入勘探，接近 40%。

But then we have science, construction, which are about 27%. And then we have defense, which is as much as 28%. So it's a distributor, it's a kind of mirrors, in some ways, Teledyne as a whole. Our expectations are that, that will remain strong. It is possible, though, that with the current projections, oil prices may decline significantly not as much as they did in 2014 to '16, but may decline.

但我們還有科學、建築，大約 27%。然後我們還有防守，高達28%。所以它是一個分銷商，它是一種鏡子，在某些方面，Teledyne 是一個整體。我們的期望是，這將保持強勁。不過，根據目前的預測，油價的跌幅可能不會像 2014 年至 16 年那樣大幅下降，但可能會下降。

And if that happens, some of our production interconnects will go down, but the other businesses that we have there should remain healthy. Some positive about Marine for next year.

如果發生這種情況，我們的一些生產互連將會中斷，但我們在那裡的其他業務應該保持健康。對明年的海軍陸戰隊有一些正面的看法。

No, that's helpful. And you guys made the comment in your press release about you've been buying back stock, but maybe M&A looks like it's perking up here. Can you comment a little bit more on that? And then specifically on any -- what are the size of these deals you're -- you might be seeing?

不，這很有幫助。你們在新聞稿中評論說你們一直在回購股票，但也許併購看起來正在活躍起來。您能對此發表更多評論嗎？然後具體來說，您可能會看到的這些交易的規模是多少？

Yes. Andrew, that's a very good question. And the reason it's timely, is for the first time, I would say since we acquired FLIR. We've done a couple of acquisitions every year, like this year, we've got a small business for our Marine. We bought Atomic, which is an imaging business for our overall imaging DALSA 2B.

是的。安德魯，這是一個非常好的問題。我想說，自從我們收購 FLIR 以來，這是第一次。我們每年都會進行幾次收購，就像今年一樣，我們為我們的海軍陸戰隊收購了一家小型企業。我們收購了 Atomic，這是我們整體成像 DALSA 2B 的成像業務。

But there hasn't been that much activity or opportunity for us to do acquisition. Suddenly in the last month or so, the funnel seems to have opened up. And we are seeing more opportunities, especially outside digital imaging. For example, in our aerospace and defense as well as instruments. So we're kind of positively inclined to look at what we can do, how much power we have to make acquisitions.

但我們並沒有那麼多的活動或機會進行收購。突然間，在過去一個月左右的時間裡，漏斗似乎打開了。我們看到了更多的機會，尤其是數位成像之外的機會。例如，在我們的航空航太和國防以及儀器儀表領域。因此，我們有點積極地傾向於考慮我們能做什麼，我們有多少權力進行收購。

And frankly, we bought our stock when it was close to 52 weeks low. And we've continued buying it through Q3. But no, I think it's more likely that we will focus more highly on acquisitions since we have the wherewithal to spend up to, I don't know, $2 billion to $3 billion if we want to. I don't know if we'll do that much, but we certainly are in the market to buy some smaller companies which would be, let's say, in the $50 million range and maybe some things that are closer to $0.5 billion or more. It won't be anything as large as FLIR at this time, but -- there are many opportunities.

坦白說，我們是在股票接近 52 週低點時買入的。我們在第三季度繼續購買它。但不，我認為我們更有可能更加關注收購，因為如果我們願意的話，我們有足夠的資金來花費 20 億到 30 億美元，我不知道。我不知道我們是否會做那麼多，但我們肯定會在市場上收購一些規模較小的公司，比如說，這些公司的價格在5000 萬美元左右，也許還有一些接近5 億美元或更多的公司。目前它不會像 FLIR 那麼大，但是——有很多機會。

Joe Giordano, TD Cowen.

喬·佐丹奴，TD·考恩。

Can you just talk us through like what's contemplated in the guide for next quarter? And how you're thinking going forward about what's going on in Boeing?

您能否向我們介紹一下下季度指南中的預期內容？您對波音公司未來的發展有何看法？

Let me start with Boeing because that's a subject that we kind of study and follow. We -- in our aerospace business, which serves Boeing as well as other Airbus and a whole bunch of airline customers. We think the strike could risk for us. I'm hoping that it settles, but the risk for us is in the 737 MAX, where we have the data acquisition systems, that could hit us that's assuming the strike goes through the year through the quarter, that could hit us as much as on the upside, maybe $5 million in revenue from Q3 to Q4.

讓我從波音開始，因為這是我們研究和遵循的一個主題。我們的航空航太業務為波音、其他空中巴士以及眾多航空公司客戶提供服務。我們認為罷工可能會為我們帶來風險。我希望事情能夠解決，但我們面臨的風險在於 737 MAX，我們擁有數據採集系統，這可能會對我們造成打擊，假設罷工貫穿全年到整個季度，這可能會對我們造成同樣大的打擊。好的方面來說，第三季到第四季的營收可能達到500 萬美元。

But if the strike is settled, depending on timing, it could be less than that, maybe two or three. So it's a little bit of a headwind for us. The other part of your question was for me. I kind of lost the trend of --

但如果罷工得到解決，根據時間安排，罷工人數可能會少於這個數字，也許是兩到三個。所以這對我們來說有點不利。你問題的另一部分是問我的。我有點失去了趨勢--

Boeing was the first question, I can move. You also mentioned in instrumentation, I think you indicated that there was a piece of that business on the environmental side that was weak with like orders below revenues. Can you give us a little bit more color on what that is and what type of applications or end markets that's facing?

波音是第一個問題，我可以移動。您也提到在儀器方面，我認為您表示環境方面的部分業務很薄弱，類似訂單低於收入。您能給我們更多關於它是什麼以及面臨什麼類型的應用程式或終端市場的資訊嗎？

Yes. In the environmental side, we have two sets of businesses. One that deals with drug discovery and water quality et cetera. And that business has been okay. Where we've seen a little weakness is in our air quality monitoring, stack monitoring and basically looking at quality of products. There, we've had a little weakening.

是的。在環保方面，我們有兩套業務。一個涉及藥物發現和水質等的領域。而且生意一直還不錯。我們發現空氣品質監測、煙囪監測和產品品質方面存在一些弱點。在那裡，我們的實力減弱。

But and we depend a little bit on Middle East where they buy our systems, large systems. I think it might be a little weak a few million dollars, but I'm not that concerned about it. Nothing bad is going to happen. It's just -- we think Q4 should be a little better than Q3. So -- it doesn't concern me right now. An instrument as George said, includes Marine, Test and Measurement as well as environmental.

但是我們有點依賴中東，他們在那裡購買我們的系統，大型系統。我認為幾百萬美元可能有點弱，但我並不那麼擔心。不會有什麼不好的事情發生。只是——我們認為第四季應該比第三季好一點。所以——現在這與我無關。正如喬治所說，儀器包括海洋、測試和測量以及環境。

And just last for me. The margins in DI were good. I think probably better than some excess. Can you give us maybe some color on to what drove that? And how are you thinking about margins to wrap up the year across the portfolio here?

對我來說只是最後一次。DI 的利潤率不錯。我認為可能比一些過量要好。您能給我們一些解釋是什麼推動了這一點嗎？您如何看待今年整個投資組合的利潤率？

I think what you have is FLIR's margins really improved very much. And we're very healthy. And digital imaging as a whole remains relatively flat in margins. I would say maybe went down 30 basis points -- if you look at the whole year, '24 versus '23, the same here, of course, as I mentioned, was FLIR. On the FLIR side, Edwin and his people were able to take cost out in our camera, especially in our camera and some health care businesses to compensate for lower revenue. And that helped protect some of the margins in those businesses.

我認為 FLIR 的利潤率確實提高了很多。而且我們非常健康。總體而言，數位成像的利潤率仍然相對平穩。我想說可能會下降 30 個基點 - 如果你看看全年，'24 與 '23，當然，正如我所提到的，FLIR 也是如此。在 FLIR 方面，Edwin 和他的團隊能夠降低我們相機的成本，特別是我們的相機和一些醫療保健業務的成本，以彌補收入的下降。這有助於保護這些業務的部分利潤。

Some of our very high-margin businesses are in the camera business. So there's been combination. FLIR, very strong, digital imaging, the rest of digital imaging, taking the cost out. And I'm hoping that as the recovery comes -- we will not put that cost back in because we've had really good experience with defense. And of course, with marine in the past, where we took the cost out, didn't put the cost back in very quickly and the margins there have turned out to be very healthy. So overall, I'm positive about digital imaging.

我們的一些利潤率非常高的業務是相機業務。於是就有了組合。FLIR，非常強大，數位成像，其餘的數位成像，去除成本。我希望隨著經濟的復甦，我們不會再投入這筆成本，因為我們在防守方面有非常好的經驗。當然，在過去的海運業務中，我們去掉了成本，但並沒有很快將成本收回來，而且那裡的利潤率非常可觀。總的來說，我對數位成像持樂觀態度。

Is there a way if you just kind of scale like how big a drag -- because I know those cameras and sensor businesses are very high margin. So like how much of a drag would you say currently those businesses are on what you're reporting for margins?

有沒有辦法，如果你只是規模化，例如阻力有多大——因為我知道那些相機和感測器業務的利潤率非常高。那麼，您認為目前這些業務對您所報告的利潤率有多大拖累？

I would say, overall, those businesses account for maybe $300 million, the ones that we're seeing the drag on -- and I would say it changes, but I'd say maybe $50 million in a drag in those businesses overall. Doesn't sound like a lot, but those are our highest margin businesses.

我想說，總體而言，這些業務可能佔 3 億美元，我們看到這些業務受到拖累 - 我想說，情況有所變化，但我想說，這些業務總體上可能會拖累 5000 萬美元。聽起來不多，但這些是我們利潤率最高的業務。

And so when the revenue goes down, then the margin overall declines because of that. But as we've said before, we think the cameras have bottomed out, book-to-bill is better than one. Of course, remember, deal is low compared to last year. and sensors will come eventually, but not right away.

因此，當收入下降時，整體利潤率也會因此下降。但正如我們之前所說，我們認為相機已經觸底，按訂單發貨比按訂單發貨要好。當然，請記住，與去年相比，交易量較低。感測器最終會出現，但不會馬上出現。

Jordan Lyonnais, Bank of America.

喬丹·里昂，美國銀行。

Could you just give us some color around how you're thinking about FLIR's opportunity for new programs like Replicator 2.

您能否告訴我們一些關於您如何看待 FLIR 對於 Replicator 2 等新專案的機會。

Let me take this we have a whole bunch of programs for FLIR that are doing really well. Let's start with the small UAVs. The small UAVs, we have the best system in the world. These are UAVs that are about 6 to 7 inches in size. If they were flying in the room we do, you probably wouldn't hear it or not it -- but your picture can grow automatically, you'd get a good video of it up to 25 kilometers away.

我認為我們有一大堆 FLIR 程序，效果非常好。我們先從小型無人機開始。對於小型無人機，我們擁有世界上最好的系統。這些無人機尺寸約為 6 至 7 英寸。如果它們在我們的房間裡飛行，您可能聽不到或聽不到——但您的圖片可以自動放大，您可以在 25 公里外獲得清晰的影片。

So that's really good. But on the other side, we also have a content UAV system that's being used in Europe. And another example is we have loitering UAVs that we're introducing, which can carry munitions. The difference between these and other people's munition enabled UAVs is that we can call this back if they reach the target and it's not an opportune time, so we can't recover the system.

所以這真的很好。但另一方面，我們也有一個正在歐洲使用的內容無人機系統。另一個例子是我們正在推出可以攜帶彈藥的徘徊無人機。這些和其他人的彈藥無人機的區別在於，如果它們到達目標並且時機不成熟，我們可以將其回調，因此我們無法恢復系統。

So overall, I think the whole UAV business for us is very strong. We also have a whole bunch of other programs like we just announced a program win in a suite of sensors that go on -- for chemical, biological, nuclear, we announced that we just won a program for $168 million. So far especially clear defense, we're very positive. We have an excellent leader there in and we're very positive about that business.

總的來說，我認為我們的整個無人機業務非常強大。我們還有一大堆其他項目，例如我們剛剛宣布贏得了一套感測器項目——對於化學、生物、核能，我們宣布我們剛剛贏得了一個價值 1.68 億美元的項目。到目前為止特別明確的防守，我們非常積極。我們有一位優秀的領導者，我們對這項業務非常樂觀。

Got it. And then so for Replicator 2 specifically counter UAS systems.

知道了。Replicator 2 也是如此，專門對抗 UAS 系統。

We have a system in Europe right now with Casper which is being deployed, and it's successful. That's all I can say about that at this time. .

我們現在在歐洲有一個 Casper 系統，正在部署中，並且非常成功。目前我能說的就是這些。。

(Operator Instructions) Guy Hardwick, Freedom Capital Markets.

（操作員說明）Guy Hardwick，自由資本市場。

A lot of my questions have been answered, but just sort of big picture. Digital Imaging margins peaked at 24% a few years back. If short cycle does recover at some point next year, what is the potential you think in terms of -- given the kind of what you've said about incremental margins and the higher margin mix of short cycle?

我的許多問題都得到了解答，但只是大局觀。幾年前，數位成像利潤率達到 24% 的峰值。如果短週期確實在明年某個時候恢復，考慮到您所說的增量利潤率和短週期的較高利潤率組合，您認為潛力有多大？

Yes. Right now, if I look at Q3, if I look at Q3, our margins in overall digital imaging are about 22.6%. Last year, this time, they were more like 24.2%. So I would hazard a guess that as a minimum should be as good as last year. And if the short-cycle businesses do come back strongly, there's an opportunity for us to go above 25%, which would be very healthy for us.

是的。現在，如果我看看第三季度，如果我看看第三季度，我們在整體數位成像領域的利潤率約為 22.6%。去年，這一次，他們的比例更像是 24.2%。所以我大膽猜測至少應該要跟去年一樣好。如果短週期業務確實強勁復甦，我們就有機會達到 25% 以上，這對我們來說非常健康。

But I would maintain that with the uncertainty, especially in our longer recovery of our -- we'll go probably more 24%-plus, 24.2%, 24.5%. But if the sensors recovered, then the margin would go higher.

但我堅持認為，由於存在不確定性，特別是在我們的長期復甦中，我們的成長率可能會超過 24%、24.2%、24.5%。但如果感測器恢復，那麼利潤將會更高。

Okay. And just as a follow-up. Obviously, you indicated in the statement that you see short cycle has stabilized and maybe improving I assume that's because of booking trends. Can you maybe just give us a bit more color on booking trends in short cycle?

好的。並且只是作為後續行動。顯然，您在聲明中表示您看到短週期已經穩定，並且可能有所改善，我認為這是因為預訂趨勢。您能給我們更多有關短週期預訂趨勢的資訊嗎？

Yes. In the last two to three months, our book-to-bill is above 1, let's say, 1.1. But I have to always keep in mind that when we talk book-to-bill, we're talking about build that's lower than it used to be. So I don't want to overstate that. It's not like book-to-bill at the height of the system.

是的。在過去的兩到三個月裡，我們的訂單出貨比高於 1，比方說 1.1。但我必須始終記住，當我們談論訂單到賬單時，我們談論的是比以前更低的構建。所以我不想誇大這一點。這與系統鼎盛時期的「從訂單到帳單」不同。

So -- but -- what that tells us is that we have reached the bottom and we recovery. The flip side on sensors themselves, the book-to-bill has not recovered yet. So we're a little -- people are a little more hesitant to spend money on sensors because then they have the longer haul of developing cameras, whereas it's easier for them to acquire camera.

所以——但是——這告訴我們，我們已經觸底並且正在復甦。感測器本身的另一面是，訂單出貨量尚未恢復。所以我們有點——人們在感光元件上花錢有點猶豫，因為這樣他們開發相機的時間就更長，而他們更容易獲得相機。

The flip side, I have to say, again, going back to FLIR because FLIR has been so successful is that they have both long cycle and short cycle infrared cameras. In the long cycle, they're fixed cameras in the short cycle that had cameras. And we're very pleased that FLIR Industrial has done really well in that domain. And we expect that they'll continue to do so with new products with artificial intelligence enable cameras that bring decision, make decisions easier for the customers, we're positive there as we are with the FLIR businesses.

另一方面，我不得不再說一遍，回到 FLIR，因為 FLIR 如此成功，因為他們同時擁有長週期和短週期紅外線熱像儀。在長週期中，它們是固定攝影機，在短週期中，它們是有攝影機的。我們非常高興 FLIR Industrial 在該領域表現出色。我們預計他們將繼續這樣做，推出具有人工智慧功能的新產品，使相機能夠帶來決策，讓客戶更容易做出決策，我們對此持樂觀態度，就像我們對 FLIR 業務一樣。

And Robert, is that the point -- what used to be called point gray? Is that what you're referring to?

羅伯特，這就是問題所在——過去被稱為點灰色的東西嗎？你指的是這個嗎？

No. Part gray is the one that's more matched to the cameras that we have in Actually, while we kind of put it in FLIR, it's more aligned with a from an organization standpoint, it reports to the leader that what I was talking about was the infrared offering is substantial.

不。部分灰色是與我們擁有的攝影機更匹配的部分。紅外線提供的數量是可觀的。

We have no further questions in queue at this time.

目前我們沒有其他問題在排隊。

Thank you. Operator, thank you very much. I'll now ask Jason to conclude our conference call, please.

謝謝。接線員，非常感謝您。現在我請傑森結束我們的電話會議。

Thanks, everyone. And thanks, Robert. If you have any follow-up questions, of course, my number is on the earnings release, please feel free to call me. And then, Alan, if you please give the replay information at the end of the call, that would be ideal. Thanks, everyone. Goodbye. .

謝謝大家。謝謝，羅伯特。當然，如果您有任何後續問題，我的電話號碼在財報發布上，請隨時打電話給我。然後，艾倫，如果您能在通話結束時提供重播信息，那就太理想了。謝謝大家。再見。。

Thank you. Ladies and gentlemen, this conference is available for replay, and that will be beginning today October 20 -- pardon me, October 23, 2024 at 10:00 Pacific daylight time through November 23, 2024, at midnight. To access the AT&T playback service during that time, you can dial toll-free (866)207-1041, and the access code is 128-4672. International participants may dial area code (402)970-0847 using the same access code. Those numbers again are (866) 207-1041, an area code (402) 970-0847. The access cold once again is 128-4672.

謝謝。女士們、先生們，本次會議可以重播，重播將於今天 10 月 20 日（請原諒）太平洋夏令時間 2024 年 10 月 23 日 10:00 開始，直至 2024 年 11 月 23 日午夜。在此期間若要存取 AT&T 播放服務，您可以撥打免費電話 (866)207-1041，接入碼為 128-4672。國際參與者可以使用相同的接入碼撥打區號 (402)970-0847。這些號碼還是 (866) 207-1041，區號 (402) 970-0847。冷訪問再次為 128-4672。

That will conclude your conference call for today. Thank you for your participation and for using AT&T Event Teleconferencing. You may now disconnect.

今天的電話會議到此結束。感謝您的參與和使用 AT&T 活動電話會議。您現在可以斷開連線。