TechPrecision Corp (TPCS) 2023 Q4 法說會逐字稿

Greetings. Welcome to the TechPrecision Corporation Fourth Quarter Fiscal 2023 Financial Results Conference Call. (Operator Instructions) Please note, this conference is being recorded. I will now turn the conference over to your host, Brett Maas, Managing Partner of Hayden IR. You may begin.

問候。歡迎參加 TechPrecision Corporation 2023 財年第四季度財務業績電話會議。 （操作員說明）請注意，本次會議正在錄製中。現在我將會議交給主持人、Hayden IR 管理合夥人 Brett Maas。你可以開始了。

Thank you. On the call today is Alex Shen, Chief Executive Officer; and Tom Sammons, Chief Financial Officer.

謝謝。今天接聽電話的是首席執行官 Alex Shen；和首席財務官湯姆·薩蒙斯(Tom Sammons)。

Before we begin, I'd like to remind our listeners that management's remarks may contain forward-looking statements, which are subject to risks and uncertainties, and management may make additional forward-looking statements in response to your questions. Therefore, the company claims protection of the safe harbor and forward-looking statements as contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ from those discussed today, and therefore, we refer you to a more detailed discussion of risks and uncertainties in the company's financial filings with the SEC.

在開始之前，我想提醒聽眾，管理層的言論可能包含前瞻性陳述，這些陳述存在風險和不確定性，管理層可能會針對您的問題做出額外的前瞻性陳述。因此，該公司聲稱受到 1995 年《私人證券訴訟改革法案》中所包含的安全港和前瞻性陳述的保護。實際結果可能與今天討論的結果有所不同，因此，我們建議您參閱有關風險和風險的更詳細討論。該公司向 SEC 提交的財務文件中存在不確定性。

In addition, projections as to the company's future performance represents management's estimates as of today, June 15, 2023. TechPrecision assumes no obligation to revise or update these forward-looking statements.

此外，對公司未來業績的預測代表了截至今天（2023 年 6 月 15 日）管理層的估計。TechPrecision 不承擔修改或更新這些前瞻性陳述的義務。

With that out of the way, I'd like to turn the call over to Alex Shen, Chief Executive Officer, to provide opening remarks. Alex, the floor is yours.

說到這裡，我想將電話轉給首席執行官 Alex Shen，讓他致開幕詞。亞歷克斯，地板是你的。

Brett, thank you. Good afternoon to everyone, and thank you for joining us. The fourth quarter of fiscal 2023 was another strong quarter for our Ranor subsidiary. For fiscal year 2023, Ranor operating results improved across the board when compared to fiscal year 2022 with higher revenue and improved gross margins.

布雷特，謝謝你。大家下午好，感謝您加入我們。 2023 財年第四季度是我們 Ranor 子公司的另一個強勁季度。與 2022 財年相比，2023 財年 Ranor 的經營業績全面改善，收入增加，毛利率提高。

Ranor's revenue for fiscal year 2023 was $19.2 million, up from $14.6 million in fiscal year 2022. This is a 32% improvement year-over-year. Ranor's gross profit doubled in fiscal year 2023 to $7.0 million from $3.5 million in fiscal year 2022.

Ranor 2023 財年的收入為 1920 萬美元，高於 2022 財年的 1460 萬美元。同比增長 32%。 Ranor 的毛利潤在 2023 財年翻了一番，從 2022 財年的 350 萬美元增至 700 萬美元。

The STADCO subsidiary is a turnaround. Revenue was 58% higher year-over-year primarily due to having a full year of STADCO financial results. Production at STADCO, however, was hampered by machine downtime, specifically in the fourth quarter. This negatively impacted revenue generation and resulted in increased unabsorbed overhead. These equipment problems experienced during the fourth quarter are now resolved.

STADCO 子公司實現了扭虧為盈。收入同比增長 58%，主要是由於 STADCO 全年財務業績。然而，STADCO 的生產因機器停機而受到阻礙，特別是在第四季度。這對創收產生了負面影響，並導致未吸收的管理費用增加。第四季度遇到的這些設備問題現已得到解決。

Since the acquisition of the STADCO subsidiary, there has been significant work on repair and rebuild of STADCO's equipment. We will continue to enhance STADCO's manufacturing capabilities and capacity.

自收購 STADCO 子公司以來，在 STADCO 設備的維修和重建方面開展了大量工作。我們將繼續增強 STADCO 的製造能力和產能。

We continue our sharp focus on tactical execution and risk mitigation, driving both subsidiaries to fully comprehend, to successfully manage and to successfully meet customer expectations, enabling continuous recapture and continuous retention of customer confidence. We remain highly focused on cash management, a critical piece of risk mitigation and continue to manage and control expenses, capital expenditures, customer advances, progress billings and final invoicing at shipment.

我們繼續高度關注戰術執行和風險緩解，推動兩家子公司充分理解、成功管理並成功滿足客戶期望，從而不斷奪回和持續保持客戶信心。我們仍然高度關注現金管理，這是緩解風險的關鍵部分，並繼續管理和控制費用、資本支出、客戶預付款、進度賬單和裝運時的最終發票。

As we successfully retained customer confidence, business prospects remain strong. Our backlog was $44 million at March 31, 2023, $17.7 million at Ranor and $26.3 million at STADCO. Since March, Ranor has secured an additional $6 million in new orders.

由於我們成功地保留了客戶的信心，業務前景依然強勁。截至 2023 年 3 月 31 日，我們的積壓訂單為 4400 萬美元，Ranor 為 1770 萬美元，STADCO 為 2630 萬美元。自 3 月份以來，Ranor 又獲得了 600 萬美元的新訂單。

Now I'd like to turn the call over to our CFO, Tom Sammons, to continue our review of our fourth quarter and fiscal year 2023 results. To you, Tom.

現在我想將電話轉給我們的首席財務官 Tom Sammons，讓我們繼續審查我們第四季度和 2023 財年的業績。給你，湯姆。

Thank you, Alex. Net sales for the fourth quarter of fiscal year 2023 were $7.5 million or 1% lower when compared to the same quarter a year ago. Cost of sales were $6.7 million or 4% higher than the prior year period due primarily to lower margin project mix at Ranor and increased unabsorbed overhead at STADCO.

謝謝你，亞歷克斯。 2023 財年第四季度的淨銷售額為 750 萬美元，比去年同期下降 1%。銷售成本為 670 萬美元，比上年同期增加 4%，這主要是由於 Ranor 的項目組合利潤率較低以及 STADCO 的未吸收管理費用增加。

Cost -- gross profit was $848,000 or 25% lower compared to the same quarter a year ago primarily due to STADCO's production issues during the quarter and the resulting increase in unabsorbed overhead. SG&A expense increased by $174,000 primarily due to a severance accrual and onetime miscellaneous charges such as recruitment fees and account receivables reserve.

成本——毛利潤為 848,000 美元，比去年同期下降 25%，主要是由於 STADCO 在本季度的生產問題以及由此導致的未吸收管理費用的增加。 SG&A 費用增加了 174,000 美元，主要是由於應計遣散費和招聘費和應收賬款準備金等一次性雜費。

Operating loss was $734,000 compared to an operating loss of $273,000 in the same quarter a year ago. Interest expense for the fourth quarter increased by $7,000 due to increased borrowings under our revolver loan. We ended the quarter with $650,000 outstanding on the revolver.

運營虧損為 734,000 美元，而去年同期運營虧損為 273,000 美元。由於我們的循環貸款借款增加，第四季度的利息支出增加了 7,000 美元。本季度結束時，我們的左輪手槍餘額為 650,000 美元。

For the 12 months ended March 31, 2023, net sales were $31.4 million compared to $22.3 million in the same period a year ago, an increase of $9.1 million as a result of strong growth at Ranor and reporting a full 12 months of business activity at STADCO.

截至 2023 年 3 月 31 日的 12 個月，淨銷售額為 3,140 萬美元，而去年同期為 2,230 萬美元，增加了 910 萬美元，這是由於 Ranor 的強勁增長以及報告的 12 個月的業務活動所致。斯塔科。

Our cost of sales in fiscal 2023 were $7.6 million higher due primarily to the inclusion of the STADCO business for the full year compared to only 31 weeks in the same period a year ago. Gross profit increased by $1.5 million or 45% higher on a strong operating period of Ranor. A weak operating period of STADCO dampened consolidated gross margins year-over-year as some production issues led to slower throughput.

我們 2023 財年的銷售成本增加了 760 萬美元，主要是由於全年納入了 STADCO 業務，而去年同期僅為 31 週。由於 Ranor 的強勁運營，毛利潤增加了 150 萬美元，即 45%。由於一些生產問題導致吞吐量下降，STADCO 的疲弱運營期削弱了綜合毛利率。

While Ranor's gross margin percentage increased from 24% to 36% in fiscal '23, STADCO's performance resulted in only a slight increase in the consolidated gross margin percentage from 15.2% to 15.6%. SG&A expenses in fiscal 2023 increased by $1.1 million due primarily to the inclusion of STADCO for the full fiscal reporting period.

雖然 Ranor 的毛利率在 23 財年從 24% 增加到 36%，但 STADCO 的業績僅導致綜合毛利率從 15.2% 略微增加到 15.6%。 2023 財年的銷售、管理和行政費用增加了 110 萬美元，這主要是由於將 STADCO 納入整個財報期間。

As a result of the foregoing, we recorded an operating loss of $1.1 million compared to an operating loss of $1.6 million in the prior year. Interest expense was $356,000 for fiscal 2023 or 86% -- $86,000 higher than fiscal 2022. The increase was due primarily to a full year of interest expense recorded on the STADCO term loan and increased borrowings under the revolver loan.

由於上述原因，我們的營業虧損為 110 萬美元，而上一年的營業虧損為 160 萬美元。 2023 財年的利息支出為 356,000 美元，比 2022 財年高出 86%，即 86,000 美元。這一增長主要是由於 STADCO 定期貸款記錄的全年利息支出以及循環貸款項下的借款增加所致。

Fiscal 2023 includes a onetime $637,000 employee retention tax credit refund. And fiscal 2022 included a gain of $1.3 million for loan forgiveness under the Paycheck Protection Program. Our pretax loss was $783,000 for fiscal 2023 compared with a pretax loss of $542,000 in fiscal 2022. We recorded a tax provision of $196,000 and reported a net loss of $1 million for fiscal 2023. EBITDA for fiscal 2023 was $1.8 million compared to $1.2 million in the prior fiscal year.

2023 財年包括一次性 637,000 美元的員工保留稅收抵免退款。 2022 財年，薪資保護計劃下的貸款減免收益為 130 萬美元。我們 2023 財年的稅前虧損為 783,000 美元，而 2022 財年的稅前虧損為 542,000 美元。我們記錄的稅款準備金為 196,000 美元，報告 2023 財年的淨虧損為 100 萬美元。2023 財年的 EBITDA 為 180 萬美元，而 2023 財年的 EBITDA 為 180 萬美元，而 2023 財年的稅前虧損為 120 萬美元。上一財政年度。

Moving on to our financial position. Cash inflow from operating activities totaled $3.1 million, and we used $2.3 million of cash for capital expenditures. Our total debt was $6.1 million in March 31, 2023, compared to $7.4 million at the end of March 31, 2022, as we paid down principal on our term loans and revolver loan.

繼續我們的財務狀況。經營活動現金流入總計 310 萬美元，其中 230 萬美元現金用於資本支出。截至 2023 年 3 月 31 日，我們的總債務為 610 萬美元，而截至 2022 年 3 月 31 日，我們的總債務為 740 萬美元，因為我們還清了定期貸款和循環貸款的本金。

Cash balance at March 31, 2023, was $531,000 compared to $1.1 million at March 2022. Working capital was $5.6 million at March 31, 2023, compared to $2.8 million in March 31, 2022.

截至2023年3月31日的現金餘額為531,000美元，而2022年3月為110萬美元。截至2023年3月31日的營運資金為560萬美元，而2022年3月31日為280萬美元。

With that, I will now turn the call back over to Alex. Alex?

這樣，我現在將把電話轉回給亞歷克斯。亞歷克斯？

Thank you, Tom. For those on the call today who may not be very familiar with our company, I'd like to do a quick review. TechPrecision is a custom manufacturer of precision large-scale fabricated components and precision large-scale machine metal structural components. These components that we manufacture are custom designed.

謝謝你，湯姆。對於今天參加電話會議的那些可能不太熟悉我們公司的人，我想快速回顧一下。 TechPrecision是一家精密大型加工部件和精密大型機器金屬結構部件的定制製造商。我們製造的這些組件是定制設計的。

We sell to customers in 2 main industry sectors, the defense sector and precision industrial, predominantly defense sector. TechPrecision is proud and honored to serve the United States defense industry, specifically naval submarine manufacturing through our Ranor subsidiary and military aircraft manufacturing through our STADCO subsidiary.

我們向兩個主要工業部門的客戶銷售產品：國防部門和精密工業（主要是國防部門）。 TechPrecision 很自豪並榮幸地為美國國防工業提供服務，特別是通過我們的 Ranor 子公司進行海軍潛艇製造，並通過我們的 STADCO 子公司進行軍用飛機製造。

We aim to secure and maintain enduring partnerships with our customers. Overall, in both the Ranor and the STADCO subsidiaries, we continue to see meaningful opportunities in our defense sector as evidenced by the strength of our backlog. We are encouraged by the prospects for growing our revenue and for increasing profitability in future quarters.

我們的目標是確保並維持與客戶的持久合作夥伴關係。總體而言，在 Ranor 和 STADCO 子公司中，我們繼續在國防領域看到有意義的機會，我們的積壓訂單數量就證明了這一點。我們對未來幾個季度收入增長和盈利能力提高的前景感到鼓舞。

Finally, a reminder. We do most of our work in industries that are highly sensitive to confidentiality, which preclude us from speaking publicly about many things that a company not operating in these fields might discuss. As such, there are real limits as to what I can discuss, and sometimes those limits change. Please understand my saying that I am not allowed to discuss that is based on customer requirements and the environment in which we conduct business.

最後，提醒一下。我們的大部分工作都是在對保密性高度敏感的行業中進行的，這使得我們無法公開談論非這些領域的公司可能討論的許多事情。因此，我可以討論的內容存在真正的限制，有時這些限制會發生變化。請理解我的說法，我不能根據客戶的要求和我們開展業務的環境來討論。

Operator, you can open the line for Q&A.

接線員，您可以開通問答線路。

(Operator Instructions) The first question is from Kris Tuttle with Blue Caterpillar.

（操作員說明）第一個問題來自 Blue Caterpillar 的 Kris Tuttle。

I have a few questions. I just want to start with the STADCO situation. It sounds like the downtime came as a surprise. I'm curious to know more about the nature of the failure and your perspective on how it might have -- how you might have been alerted earlier?

我有幾個問題。我只想從 STADCO 的情況開始。聽起來這次停機是一個意外。我很想更多地了解失敗的性質以及您對失敗的看法 - 您可能會如何更早地收到警報？

And then specifically, like what kind of equipment are we talking about? Did it take time to repair due to parts inavailability or labor? I'm just trying to get a little more color on -- I want to understand it better in terms of the business.

然後具體來說，我們在談論什麼樣的設備？是否由於缺少零件或人工而需要時間進行維修？我只是想了解更多——我想從業務角度更好地理解它。

I'm going to be limited on what I'm going to be able to answer you. These -- the significant downtime certainly was not anticipated. Could we have avoided it? Probably not. There was more than one machine down, several machines down happening at the same time. That's how I would characterize it and add the color there.

我能回答你的內容將受到限制。這些——大量的停機時間當然是沒有預料到的。我們可以避免它嗎？可能不是。不止一台機器宕機，甚至有幾台機器同時宕機。這就是我如何描述它並在那裡添加顏色。

I mean, we always have equipment going down from time to time. That's just a nature...

我的意思是，我們的設備總是時不時地出現故障。這只是一種本性...

The equipment going down is the nature of the business.

設備故障是業務的本質。

It's when multiple ones at the same time that you're not used to.

當同時出現多個時，您會不習慣。

Yes. I think we all understand that. It's just it's curious, was it a part issue, a training issue? It's odd, right, to have those multiple equipment, piece of equipment go down at the same time.

是的。我想我們都明白這一點。只是好奇，這是零件問題還是培訓問題？這很奇怪，對吧，讓這些多台設備、一件設備同時停機。

It is a turnaround. It's not so odd for turnarounds. It's more on if you have a smoothly running company that you can now predict more.

這是一個轉機。扭轉局面並不奇怪。更重要的是，如果您擁有一家運行平穩的公司，那麼您現在可以進行更多預測。

So it maybe deferred maintenance that maybe wasn't kept up on these machines or...

因此，這些機器可能沒有及時進行維護，或者......

Definitely, deferred maintenance would be one of the key factors that contributed.

當然，推遲維護將是造成這種情況的關鍵因素之一。

Okay. And then shifting gears to some of your recent accomplishments on the shareholder side with the reverse split and the uplifting accomplished. Those are great accomplishments. I'm curious to know what implications that has on your strategy vis-a-vis the investment community, Investor Relations, what kind of shifts in activity you may have seen. So I'm just trying to understand where do you think you go next now that you've accomplished -- you have done some of the heavy lifting now in terms of being more investor-ready.

好的。然後轉向你最近在股東方面取得的一些成就，實現反向分割和令人振奮的成就。這些都是偉大的成就。我很想知道這對您相對於投資界、投資者關係的策略有何影響，您可能會看到什麼樣的活動變化。所以我只是想了解，既然你已經取得了成就，你認為下一步該去哪裡——你現在已經完成了一些在為投資者做好準備方面的繁重工作。

I'm going to [pawn] this one off to Tom Sammons.

我要把這個[典當]給湯姆·薩蒙斯。

I don't know that we've seen any real shift from our perspective, but I think we need to reassess or just take a look at how we've been interacting with the shareholders and maybe make some changes there as we go forward.

我不知道我們的觀點是否發生了任何真正的轉變，但我認為我們需要重新評估或只是看看我們與股東的互動方式，也許在我們前進的過程中做出一些改變。

You guys have -- I mean, have you created like a budget for maybe doing a little bit more on the outreach side of things, attending a few more conferences, that sort of thing?

你們——我的意思是，你們是否制定了預算，以便在外展方面做更多的事情，參加更多的會議，諸如此類的事情？

I think that's what we have to look at now we're kind of past getting the reverse split through and up on to the NASDAQ, yes.

我認為這就是我們現在必須考慮的問題，我們已經過了反向分拆並進入納斯達克的階段，是的。

Okay. And my last question, just for clarification, is so the STADCO outages that you guys experienced, those are in the past, and you guys are operating those machines smoothly at this point?

好的。我的最後一個問題，只是為了澄清，你們經歷過的 STADCO 停機，那些都是過去的事了，你們現在正在順利地操作這些機器嗎？

Let me just be really clear. So the equipment problems that I experienced in my STADCO subsidiary during the fourth quarter, those specific ones are now resolved. Does it mean that I've resolved them forever on those specific machines and nothing will ever go wrong? Like Tom alluded to, we always are repairing and maintaining our equipment. Can this happen again? Maybe.

讓我說清楚。因此，我在第四季度在 STADCO 子公司遇到的設備問題，這些具體問題現在已經得到解決。這是否意味著我已經在那些特定的機器上永遠解決了這些問題並且永遠不會出錯？正如湯姆提到的，我們總是在修理和維護我們的設備。這種事還能再發生嗎？或許。

And how much time or money do you think you guys need to get the STADCO plant just using the term loosely like up to your level of satisfaction of being current on maintenance? Anything can go down. I get that. But like if you buy a used car, you're like, no one has done any work on this in the last few years, I need to take it in and really get it taken care of. What's the analogy...

您認為你們需要多少時間或金錢才能讓 STADCO 工廠僅使用這個術語來達到您對當前維護的滿意度？任何事情都可能下降。我明白了。但是就像如果你買了一輛二手車，你會想，在過去的幾年裡沒有人在這方面做過任何工作，我需要把它收起來並真正照顧它。這有啥比喻啊...

That just one used car, right? It's many.

那隻是一輛二手車，對嗎？有很多。

Right. Right.

正確的。正確的。

Right. So you have a fleet of all used cars and what's going to go down next, not really sure.

正確的。所以你有一個全是二手車的車隊，接下來會發生什麼，不太確定。

Okay.

好的。

With my track record -- I think we're new to each other, right, Kris?

根據我的記錄——我認為我們彼此都是新人，對吧，克里斯？

Yes, we are.

是的我們是。

Okay. So I think my track record has been an unbroken series of wins on turnarounds. I'm not planning on having my turnaround of STADCO fail and be my first loss in my spanning several decades career of being a troubleshooter.

好的。所以我認為我的記錄是連續不斷的扭虧為盈的勝利。我不打算讓 STADCO 的轉型失敗，並成為我數十年故障排除專家職業生涯中的第一次失敗。

So I'm not trying to convince you that I'm such a great operator, but I do operate well. And we have recaptured and retained key customer confidence, which results in more orders and results in their support when we are experiencing these downtimes.

所以我並不是想讓你相信我是一位出色的操作員，但我確實操作得很好。我們重新贏得併保留了關鍵客戶的信心，這導致了更多的訂單，並在我們遇到停機時得到了他們的支持。

I think that's the key is how to grow out of these things and how to make sure that we walk in step with our customers so they can continue to believe that we will take the right steps in the right direction and not flinch from telling them the truth that we have downtime, and we need some help. And we need some patience, and we will resolve our downtime and our equipment problems.

我認為關鍵是如何從這些事情中成長，以及如何確保我們與客戶步調一致，以便他們能夠繼續相信我們將朝著正確的方向採取正確的步驟，並且毫不猶豫地告訴他們事實上，我們有停機時間，我們需要一些幫助。我們需要一些耐心，我們將解決我們的停機時間和設備問題。

Those problems that we experienced during the fourth quarter are now resolved. The customers are happy enough to show us their confidence with new POs, increasing our backlog. So I think the proof is really checking to see the other metrics, not just we have downtime, and we have a blip, a negative blip in our performance, reduced revenue because of reduced throughput. However, the customers, they are on our side. I think that's a good way to characterize it and give good color and background.

我們在第四季度遇到的那些問題現在已經得到解決。客戶很高興向我們展示了他們對新採購訂單的信心，從而增加了我們的積壓訂單。因此，我認為證據實際上是檢查其他指標，而不僅僅是我們有停機時間，而且我們有一個短暫的現象，我們的性能出現負面的短暫現象，由於吞吐量減少而導致收入減少。然而，客戶是站在我們這邊的。我認為這是表徵它並提供良好的顏色和背景的好方法。

I appreciate that, Alex. And my questions were in no way driven by any doubt about you and the team's operating capability. They were just motivated by my desire to get a really good understanding of the business, that's all.

我很感激，亞歷克斯。我的問題絕不是出於對你和團隊運營能力的任何懷疑。他們的動機只是因為我想要真正了解業務，僅此而已。

No problem.

沒問題。

The next question is from Mark Gomes with Pipeline.

下一個問題來自 Pipeline 的 Mark Gomes。

Alex, you mentioned -- you used the word capacity when you first mentioned STADCO's issues, at least these issues being put behind them so that you can continue the task of increasing productivity. And I think you used the word capacity. Was I correct in that?

Alex，你提到——當你第一次提到 STADCO 的問題時，你使用了“容量”這個詞，至少這些問題已經被拋在了後面，這樣你就可以繼續提高生產力的任務。我認為你使用了“容量”這個詞。我的說法正確嗎？

And if so, could you provide some color as to what that means? Would that mean you're going to add CapEx, add more people, you're going to try to increase the amount of work that can be done at STADCO beyond this turnaround?

如果是這樣，您能否提供一些說明這意味著什麼？這是否意味著您將增加資本支出，增加更多人員，您將嘗試增加 STADCO 在這次周轉之外可以完成的工作量？

Well, first, beyond the turnaround, it's not beyond the turnaround. It's part of the turnaround. So I would characterize it that way, right?

嗯，首先，除了扭虧為盈之外，還沒有超出扭虧為盈。這是轉變的一部分。所以我會這樣描述它，對嗎？

And then the specifics that I was talking about, I was talking about there has been and will continue to be significant work on repair and also significant work on rebuild of STADCO's equipment. Those are 2 different things, with that significant work focused on enhancing our capabilities of the machines as well as enhancing capacity and throughput. I hope that's more clear.

然後是我所說的具體細節，我所說的已經並將繼續進行大量的維修工作以及 STADCO 設備的重建工作。這是兩件不同的事情，重要的工作重點是增強機器的能力以及提高容量和吞吐量。我希望這更清楚。

It is. Do you anticipate that unanticipated CapEx spending, significant CapEx spending would be required to accomplish that goal over and above what you might have expected a few months ago?

這是。您是否預計要實現該目標需要超出您幾個月前預期的意外資本支出、大量資本支出？

Well, certainly, this fourth quarter blip with multiple downtime on multiple machines was not anticipated. Will I run into it again? Maybe. Am I doing the right things to anticipate and see what I can avoid? Yes.

嗯，當然，第四季度多台機器出現多次停機的現像是沒有預料到的。我會再次遇到它嗎？或許。我是否在做正確的事情來預測並看看我可以避免什麼？是的。

I guess my question really was, was this a setback in terms of your expectations of CapEx requirements going forward?

我想我的問題實際上是，就您對未來資本支出要求的期望而言，這是否是一個挫折？

I'm not sure I get it.

我不確定我明白了。

Well, you have plans for maybe adding equipment. Obviously, there's always CapEx spending. And I'm just curious if your anticipated CapEx spending forecast change significantly as a result of what happened at STADCO over the last few months.

嗯，您可能有添加設備的計劃。顯然，資本支出總是存在的。我只是好奇您的預期資本支出預測是否會因 STADCO 過去幾個月發生的事情而發生重大變化。

No.

不。

Okay. And then final question, we're 2 weeks before the end of this current quarter. You're exuding, I think, a good amount of confidence on this call. Would the operations that have occurred for this point in the quarter contributed to the confidence you're exuding on this call?

好的。最後一個問題是，距離本季度結束還有兩週。我認為，你在這次電話會議上流露出了很大的信心。本季度此時發生的操作是否有助於您在這次電話會議中表現出的信心？

Apparently, you and Ross are in cahoots to try to get me to forecast.

顯然，你和羅斯串通一氣，試圖讓我做出預測。

Well, it's not a forecast it's 2.5 months have already occurred, but your point is taken. But the question stands.

嗯，這不是預測，2.5 個月已經發生了，但你的觀點已被採納。但問題依然存在。

The question does stand. It shall all be revealed in time.

這個問題確實成立。一切都將及時揭曉。

The next question is from Ross Taylor with ARS Investment Partners.

下一個問題來自 ARS Investment Partners 的 Ross Taylor。

Alex, a couple of things. (inaudible) you wanted to address. A number of calls ago, you indicated you felt that STADCO could achieve margins in line with those that you're seeing at Ranor. Now you've executed really well at Ranor. And in fact, if this company was only Ranor right now, it would probably be worth a lot more than it is the STADCO, although I do think STADCO adds tremendous value to the business.

亞歷克斯，有幾件事。 （聽不清）您想要講話。之前多次致電時，您表示您認為 STADCO 可以實現與 Ranor 相同的利潤率。現在你在 Ranor 的表現非常出色。事實上，如果這家公司現在只是 Ranor，它的價值可能會比 STADCO 更高，儘管我確實認為 STADCO 為該業務帶來了巨大的價值。

How long is it going to take you to get these margins at STADCO up towards the neighborhood of Ranor? You're currently less than half.

您需要多長時間才能使 STADCO 的利潤達到 Ranor 附近的水平？你目前還不到一半。

That's a question -- that's the question, isn't it? I don't know how to answer the question because I don't know the answer. How long is it going to take?

這是一個問題——這就是問題，不是嗎？我不知道如何回答這個問題，因為我不知道答案。需要多長時間？

Do you still believe that it's achievable in, let's say, a standard investment horizon, which is 12 to 24 months?

您是否仍然相信在標準投資期限（12 至 24 個月）內可以實現這一目標？

Well, since this is a couple of custom subsidiaries, I would venture to say that the counterpoint is that this is a nonstandard look at 2 nonstandard companies. But I think also with the customer confidence at the level where it's at, we need to tactically execute.

好吧，由於這是幾個定制子公司，我敢說，相反的是，這是對兩家非標準公司的非標準審視。但我認為，鑑於客戶的信心達到目前的水平，我們需要有策略地執行。

And we need to just continue our focus, divide and conquer, eat this elephant one bite at a time. I may be overreaching in the answer, but I'm -- I think what I'm trying to say is a couple of calls ago, I expressed the belief that STADCO can reach -- what did we just say? Can reach Ranor-like margins.

我們需要繼續集中註意力，分而治之，一次一口地吃掉這頭大象。我的回答可能有些過分，但我想我想說的是在幾次電話前，我表達了 STADCO 能夠達到的信念，我們剛才說了什麼？可以達到類似 Ranor 的利潤。

Ranor-like margins.

類似拉諾爾的邊緣。

I'm just paraphrasing, but that belief is there.

我只是轉述，但這種信念是存在的。

And as I asked, is that a belief that's achievable inside? And one of the frustrations I think investors have, and there are a number of them here is that you are -- we basically have been willing to make a trade where we get really inferior Investor Relations for what's supposed to be superior operating execution.

正如我所問的，這是一種內心可以實現的信念嗎？我認為投資者所感到的挫敗感之一（這裡有很多這樣的挫敗感）是——我們基本上一直願意進行一項交易，在這種交易中，我們得到了真正較差的投資者關係，而本應是卓越的運營執行力。

The execution at Ranor fits that and justifies some level of confidence. Bluntly, what's going on at STADCO does not. And as I said, I think STADCO is a value-added acquisition. But at this stage, I do believe that it is not adding value for investors.

Ranor 的執行力符合這一點，並證明了一定程度的信心。坦率地說，STADCO 的情況並非如此。正如我所說，我認為 STADCO 是一次增值收購。但在現階段，我確實認為這並沒有為投資者增加價值。

So to get it to back to where it will add value, we need in a timely fashion not awaiting for [get-go] passion. We need to get these up, the margins up meaningfully. Is this the kind of thing you look at and say -- I mean, I assume you have your internal models. Do your internal models have you getting to Ranor-like margins in the next 2 years for STADCO?

因此，為了讓它回到能夠增加價值的地方，我們需要及時，而不是等待[開始]激情。我們需要提高這些，有意義地提高利潤。這是你看著並說的那種事情嗎？我的意思是，我假設你有自己的內部模型。您的內部模型是否能讓 STADCO 在未來 2 年內達到類似 Ranor 的利潤率？

Are we forecasting, Tom, that in the next 2 years...

湯姆，我們是否預測在未來兩年內......

It's not a forecast. It's -- honestly, it's asking the veracity of a prior comment you made. I wasn't the one who said you could get them to STADCO. You did. So I'm asking now. That was months ago, quarters ago. I'm asking now, can you get them there in 24 months? No, I'm asking can you get them there in 24 months? It's a different question.

這不是預測。老實說，它是在詢問您之前發表的評論的真實性。我不是那個說你可以把他們送到 STADCO 的人。你做到了。所以我現在才問。那是幾個月前、幾個季度前的事了。我現在問，你能在24個月內把它們送到那裡嗎？不，我問你能在 24 個月內把它們送到那裡嗎？這是一個不同的問題。

Right. I don't know.

正確的。我不知道。

Okay. I would say I think that you need to get them there. I think you need to -- telling us that you're -- you don't fail is not what we need. We need you not to fail, which means we need to get these up and operating. We need to get the value out of this acquisition.

好的。我想說我認為你需要把他們帶到那裡。我認為你需要——告訴我們你——你不會失敗，這不是我們所需要的。我們需要您不要失敗，這意味著我們需要讓這些設備啟動並運行。我們需要從這次收購中獲得價值。

I'd also say that you guys talked about -- Tom talked about the idea that you haven't done a lot different since you became a NASDAQ stock. I would say that's very true. And I think it's an area of great frustration with people I speak to.

我還想說，你們談到了——湯姆談到了自從成為納斯達克股票以來你們沒有做太多不同的事情。我想說這是真的。我認為這是讓我交談過的人感到非常沮喪的一個領域。

You really need to achieve a much more professional approach to how you handle your investors, which means you need to come up with ways whether it's finding someone on the outside to cover the stock or whether it's finding ways to get public information out there.

你確實需要採取更專業的方法來對待投資者，這意味著你需要想出辦法，無論是尋找外部人員來報導股票，還是想辦法獲取公開信息。

Every piece of information I've given on this call in the past has been publicly available. I understand you have customers who don't want you to talk about their specific niche, but now you have 2 businesses.

我過去在這次電話會議中提供的每一條信息都是公開的。我知道您的客戶不希望您談論他們的特定利基市場，但現在您有 2 項業務。

So one way you can start to do is talk about the company as a whole and get away from talking about specific programs and therefore running (inaudible) specific customers that you have. And I think that's really exceptionally important because we need to make people want to own TechPrecision.

因此，您可以開始做的一種方法是談論整個公司，而不要談論特定的計劃，從而避免運營（聽不清）您擁有的特定客戶。我認為這確實非常重要，因為我們需要讓人們想要擁有 TechPrecision。

And the only way they're going to want to know if they own it is that you have to basically make it easy to understand and learn about. I also like to ask a question of you focused on the idea of just the government. It's clear that Navy is well behind schedule in its submarine programs.

他們想要知道他們是否擁有它的唯一方法是你必須基本上讓它易於理解和學習。我還想問你一個關於政府理念的問題。顯然，海軍的潛艇計劃遠遠落後於計劃。

The Air Force and the like is also behind schedule in the F-15EX, which is interesting. They're getting more and more presence a superior air defense [fighter] and interceptor. But is there -- are there plans or is there ability to basically step out and fill some of that time lag with commercial projects or other projects at this time?

空軍等方面的F-15EX也落後於計劃，這很有趣。他們越來越多地使用高級防空戰鬥機和攔截機。但是，是否有計劃或者是否有能力基本上走出去，用商業項目或其他項目來填補一些時間滯後？

So I think -- I believe that you're talking about the Navy's delay.

所以我認為——我相信你正在談論海軍的延誤。

The Navy said -- the GAO indicated that the Navy is operating and the submarine build program is -- particularly in Virginia is operating well behind schedule because of issues with the primes.

海軍錶示，美國政府問責局表示，海軍正在運作，潛艇建造計劃正在實施，特別是在弗吉尼亞州，由於主砲問題，其運作遠遠落後於計劃。

I understand what you're saying. I'm also trying to point out, Ross, if I may, that because things are behind, there is pressure on the vendor base to put more hours in. So the -- perhaps the opposite might be true because there's a true need for acceleration. There's truly more work.

我明白你在說什麼。羅斯，如果可以的話，我還想指出，由於事情已經落後，供應商面臨著投入更多時間的壓力。因此，也許事實恰恰相反，因為確實需要加速度。確實還有更多工作要做。

Are you saying in -- Alex that you are finding the primes that you deal with coming interested in pushing work on to Ranor?

你是在 Alex 中說你發現你所處理的素數有興趣將工作推給 Ranor 嗎？

I think further define my comment, but I'm just saying that where there's a...

我想進一步定義我的評論，但我只是說哪裡有......

I always find (inaudible) on your comments, Alex.

我總是在你的評論中發現（聽不清），亞歷克斯。

Well, it's the production hours, the availability of production hours. If that availability is -- if the requirement is X, is 100, and it can only be filled up to half by somebody, then somebody else needs to step up and fill the other half. There's opportunity there for custom shops like us.

嗯，這是生產時間，生產時間的可用性。如果可用性是——如果需求是 X，是 100，並且只能由某人填補一半，那麼其他人需要站出來填補另一半。對於像我們這樣的定製商店來說，這裡有機會。

So...

所以...

And I think it's evidenced also by the number of POs and the dollar amount of the POs and the strong backlog. It's not dropping.

我認為採購訂單的數量、採購訂單的美元金額以及大量的積壓也證明了這一點。它沒有下降。

And recognize, we do not know how many POs you get or do. That's information that's not disclosed to us. So it would be impossible for us to know that you're getting more POs. But what I'm hearing you say is that you are finding opportunities with primes to pick up business that they either they cannot execute or their suppliers cannot execute at this time. Is that correct?

並認識到，我們不知道您收到或完成了多少採購訂單。這些信息沒有向我們透露。因此我們不可能知道您收到了更多采購訂單。但我聽到你說的是，你正在尋找機會與主要客戶接洽他們目前無法執行或他們的供應商無法執行的業務。那是對的嗎？

There's opportunity.

有機會。

Are you seizing those opportunities and converting them into revenue?

您是否抓住了這些機會並將其轉化為收入？

I think the backlog shows that.

我認為積壓表明了這一點。

Ranor shows it very well. Yes, I think Ranor does show that you're operating very well. It shows the potential of what can work on the other side. As I said, I think that we're looking at a situation where it's important at this stage that you guys because you are now a NASDAQ stock that we've got to get up there, and you've got to improve your relations.

拉諾很好地展示了這一點。是的，我認為拉諾確實表明你運作得很好。它顯示了另一邊可以發揮作用的潛力。正如我所說，我認為我們正在考慮一種情況，在這個階段你們很重要，因為你們現在是納斯達克股票，我們必須在那裡上漲，你們必須改善你們的關係。

You got to help send the message, so people understand who you are and what you're doing. I think that, obviously, if we look at your business, is -- what level of capacity do you think Ranor is operating at? Did you put another shift on and increased capacity? Would that be economic? And would that be -- is the opportunity there to do that?

您必須幫助傳遞信息，以便人們了解您是誰以及您在做什麼。我認為，顯然，如果我們看看您的業務，您認為 Ranor 的運營能力處於什麼水平？您是否又增加了班次並增加了產能？那會經濟嗎？那會是——有機會這樣做嗎？

I'm in that zone of I'm not allowed to discuss that right now.

我現在正處於不允許討論這個問題的區域。

Okay. Well, continuing to watch. Hopefully, what you're telling me is that you are in conversations with people about increasing capacity so that you can pick up business that other people can't execute. Away from the production problems, the machine problems in -- at STADCO, is part of the problem you're running into there a lot of kind of first build early -- that you're early in programs?

好的。嗯，繼續看。希望你告訴我的是，你正在與人們討論如何提高產能，這樣你就可以接手其他人無法執行的業務。除了生產問題之外，在 STADCO，機器問題也是您在早期首次構建時遇到的問題的一部分，即您在項目的早期階段？

Or therefore, you would expect to have margins increase naturally as you run through them? I think anyone -- everyone knows in the defense business that for (inaudible) are frequently the most difficult and the lowest margin. Is that part of what's happening there? Or is it all into internal at STADCO?

或者因此，您會期望當您運行它們時，利潤會自然增加？我想任何人——每個人都知道，在國防行業，（聽不清）往往是最困難和最低的利潤。這是那裡發生的事情的一部分嗎？或者這一切都在 STADCO 內部進行？

Is it part of it? Sometimes it's part of it for our first article costs, yes. Is it significant? Not really. The significant blip in fourth quarter was really the equipment downtime was severe because we had multiple things all -- it was a perfect storm, unfortunately.

它是其中的一部分嗎？有時它是我們第一篇文章成本的一部分，是的。重要嗎？並不真地。第四季度的重大事件實際上是設備停機時間很嚴重，因為我們有很多事情要做——不幸的是，這是一場完美的風暴。

Do you have a thought on how much revenue you lost in STADCO and idea of if you had not had those unexpected downtimes, would you have been able to see significant improvements, say, 400, 500 basis point operating margin improvement over what you generated?

您是否想過您在 STADCO 損失了多少收入，以及如果沒有這些意外的停機時間，您是否能夠看到顯著的改善，例如，營業利潤率比您產生的收入提高 400、500 個基點？

I think it's probably a good gauge, Tom, to say that we wouldn't have lost money that quarter overall? Probably.

湯姆，我認為這可能是一個很好的衡量標準，我們整個季度不會虧損？大概。

The question of revenue, I mean, I'd say...

收入問題，我的意思是，我會說......

It's not so much revenue. It's really -- it's -- it was so diminished. The throughput was so diminished. The unabsorbed part really took over. So really what we need is to really have that critical mass achieved, and we dropped below that for that quarter.

收入並沒有那麼多。它真的——它——它被削弱了很多。吞吐量就這樣減少了。未被吸收的部分確實佔據了主導地位。因此，我們真正需要的是真正達到臨界質量，而我們在該季度的產量已低於該臨界質量。

I mean, you have a combination of these 2 things were Q2, Q3, the revenue was up around 3 7. You get to Q4, it dropped to about 2 7.

我的意思是，將第二季度和第三季度這兩件事結合起來，收入增長了大約 3 7。到了第四季度，收入下降到了大約 2 7。

Yes, around (inaudible) off.

是的，大約（聽不清）關閉。

And you're not getting absorption.

而且你沒有吸收。

Yes. That's the 2 things that kind of kill us.

是的。這就是殺死我們的兩件事。

And given the -- several years ago, a STADCO executive, I believe, indicated that STADCO made or generated $101.5 million revenue per CH-53K. I believe I read that somewhere. I'm not going to ask you to comment on that.

我相信，幾年前，STADCO 的一位高管曾表示 STADCO 每台 CH-53K 的收入為 1.015 億美元。我相信我在某處讀到過。我不會要求你對此發表評論。

But given that, that program is beginning to ramp and the expectation is Sikorsky's expectation appears to be that they should sell somewhere 200 or so to the Marines, 25-plus to the Israelis and 75 or more to foreign governments, shouldn't we be at that stage where that number starts to really move meaningfully higher just because of that program? Shouldn't revenues in STADCO start to reflect the progress that Sikorsky's seeing in CH-53K?

但考慮到這一點，該計劃正在開始推進，西科斯基的預期似乎是他們應該向海軍陸戰隊出售 200 架左右，向以色列出售 25 架以上，向外國政府出售 75 架或更多，我們不應該這樣做嗎？在那個階段，這個數字僅僅因為該計劃就開始真正有意義地上升？ STADCO 的收入難道不應該開始反映出西科斯基在 CH-53K 方面取得的進展嗎？

I wish it would. Should it? Well, I think there's a lot of factors that aren't in my control at STADCO. Well, that are customer-related. So I can't really comment on that.

我希望如此。應該是？嗯，我認為在 STADCO 有很多因素是我無法控制的。嗯，這與客戶相關。所以我不能對此發表評論。

The demand's there.

需求就在那裡。

Obviously, the demand is obviously there. The PO quantities are obviously there. The funding for the POs to STADCO are all there. That's why the backlog is firm. These are firm orders. And that is a question of timing. So I just don't know how to answer it all, and I hesitate to talk about what Sikorsky is doing.

顯然，需求顯然是存在的。 PO數量顯然在那裡。 STADCO 的採購訂單資金都在那裡。這就是積壓情況穩定的原因。這些是確定的訂單。這是一個時間問題。所以我只是不知道如何回答這一切，而且我猶豫是否要談論西科斯基正在做什麼。

I mean, Sikorsky tells us what they're doing and the Navy tells us what they have a build rate program on. So these aren't great mysteries. This is publicly available information.

我的意思是，西科斯基告訴我們他們正在做什麼，海軍告訴我們他們的建造率計劃是什麼。所以這些並不是什麼大謎團。這是公開信息。

I understand that you have some trouble at times talking about it, but this is part of what I think we need to address and more effective shareholder relations effort is the ability to get people and point people to the publicly available information so they can make educated, informed decisions on what's happening inside this company.

我知道您有時在談論這個問題時遇到一些困難，但這是我認為我們需要解決的問題的一部分，更有效的股東關係工作是能夠讓人們了解公開信息，以便他們能夠接受教育，了解公司內部發生的事情的決策。

The next question is from Richard Greulich with REG Capital Advisors.

下一個問題來自 REG Capital Advisors 的 Richard Greulich。

First of all, Tom, thank you for the efforts you've put forward over the last several years and dealing with, and good luck in the future.

首先，湯姆，感謝您在過去幾年中所做的努力和應對，祝您未來一切順利。

Thank you, Richard. Appreciate that.

謝謝你，理查德。感謝。

The -- let me -- I have several different questions. I always enjoy Ross talking because he brings up interesting points, and it allows me to have time to make more -- even more questions then. So Ranor, the gross margin was 30%. Can you see a way for margin improvement from here?

讓我——我有幾個不同的問題。我總是喜歡羅斯的演講，因為他提出了有趣的觀點，這讓我有時間提出更多——甚至更多的問題。所以Ranor，毛利率是30%。您能從這裡找到提高利潤率的方法嗎？

You're talking about the quarterly gross margin?

你說的是季度毛利率嗎？

Yes.

是的。

Yes. Can we see improvement?. We have done better than that in prior quarters. It will go up and down depending upon the mix of the product we have is one of the major factors. The business is lumpy.

是的。我們能看到改進嗎？我們比前幾個季度做得更好。它會根據我們產品的組合而上下波動，這是主要因素之一。生意很坎坷。

Understood. But as your business grows over the next few years, I guess my question is, can it get up to 35% on an annualized 12-month basis, do you think is that all the question.

明白了。但隨著您的業務在未來幾年不斷增長，我想我的問題是，按 12 個月的年化計算，能否達到 35%，您認為這就是所有問題嗎？

Given the lumpiness of the business and the fits and starts between us and our customers, it's probably hard to draw that. It could be done sometimes. It could -- it depends, I think, is the best answer. Do we aim for that? Certainly.

考慮到業務的混亂以及我們和客戶之間的時斷時續，可能很難畫出這一點。有時可以這樣做。我認為，這可能是最好的答案。我們的目標是這個嗎？當然。

Well, Ranor was 36% on average for this fiscal year for 2023.

那麼，Ranor 在 2023 年本財年的平均增長率為 36%。

Right. So it's definitely doable.

正確的。所以這絕對是可行的。

Sure.

當然。

Okay. So if...

好的。因此，如果...

So we (inaudible) at 36% for this full year.

因此，我們（聽不清）全年的增長率為 36%。

On average.

一般。

On average. 1 quarter, it bumps up and down. You've got to average it out. That's what I was -- I guess I was trying to say that.

一般。 1季度，上下顛簸。你必須對其進行平均。這就是我——我想我就是想這麼說。

If there's increased interest perhaps on either the prime part of segmenting business from them or perhaps signing business to you from other subs...

如果人們對從他們那里分割業務的主要部分或者從其他子公司向您簽訂業務的興趣增加......

You're going in that zone where I told Ross that I'm in that zone where I can't talk about it. I'm sorry.

你會進入我告訴羅斯的那個區域，我處於那個我不能談論它的區域。對不起。

Okay. That's okay. But I guess the thrust of my question, that's not evident in the backlog numbers at the end of the quarter. In other words, like the backlog was basically flat quarter-to-quarter. And so...

好的。沒關係。但我猜我的問題的主旨是，這在季度末的積壓數量中並不明顯。換句話說，積壓訂單環比基本持平。所以...

I understand that. What I was trying to say to Ross is I believe Ross was saying publicly available information indicates that the Navy is behind, right? And the evidence of our backlog is not dropping. Our backlog is not dropping and is not behind. We're maintaining, in parts gaining. That's what I was trying to contrast and say, look, there are -- there's opportunities here.

我明白那個。我想對羅斯說的是，我相信羅斯所說的公開信息表明海軍落後了，對嗎？我們積壓的證據並沒有減少。我們的積壓工作沒有減少，也沒有落後。我們正在維持，部分正在增加。這就是我試圖對比的內容，並說，看，這裡有機會。

Yes. But the backlog goes -- it does go up and down.

是的。但積壓的訂單量確實有所上升和下降。

It does go up and down but not significantly down to the point where it matches up with the publicly information that the Navy is years behind.

它確實有所上升和下降，但並沒有顯著下降到與海軍落後多年的公開信息相符的程度。

But you mentioned that we brought in $6 million of POs so far in this quarter.

但您提到，本季度到目前為止，我們帶來了 600 萬美元的採購訂單。

Correct.

正確的。

Which would exceed our revenue, which tends to put us back up a little bit.

這將超過我們的收入，這往往會讓我們的收入有所回升。

That's right.

這是正確的。

It just -- it goes -- it's not fluid. It's not a smooth...

它只是——它是這樣的——它不是流動的。這不是一個光滑的...

It's not a one-to-one relationship with the delays on the Navy side versus us -- a lack of capture of new POs and new opportunities on TechPrecision side.

這與海軍方面與我們方面的延誤並不是一對一的關係——TechPrecision 方面缺乏對新採購訂單和新機會的捕捉。

So let me point it in a slightly different direction then. So are you seeing more opportunities, let's say, for business to capture than you saw 12 months ago because of that? Just -- it's a qualitative kind of comment.

那麼讓我把它指向一個稍微不同的方向。因此，您是否看到了比 12 個月前更多的商業機會？只是——這是一種定性的評論。

Holistically, I'm certainly not seeing less opportunity.

總體而言，我並沒有看到機會減少。

Okay.

好的。

Yes, that's why I was trying to characterize to Ross' earlier question also. There's no diminishing opportunity.

是的，這就是為什麼我也試圖描述羅斯之前的問題。機會不會減少。

Yes. So let me turn to then STADCO. So you said the STADCO problems that occurred in the quarter, those have been solved. And of course, it could be otherwise, but in solving them during the quarter, will there still be in the current quarter some impact from the problems impacting it?

是的。那麼讓我談談 STADCO。所以你說的 STADCO 本季度出現的問題已經解決了。當然，也可能是其他情況，但是在本季度解決這些問題時，當前季度是否還會受到影響問題的一些影響？

Those problems that occurred in last quarter are now resolved.

上季度出現的問題現已解決。

But will there be any lingering impact into this -- were they resolved during this -- during the current quarter or during the last quarter?

但是，這是否會產生任何揮之不去的影響——這些影響是否在本季度或上季度得到解決？

I carefully didn't talk about that because we're not done with this. So I carefully try to not forecast, not tell people and get the expectations -- setting expectations, that's not what I do. Forecasting is definitely not what I do. What I do is I find a problem, I fix a problem one at a time, and I get these things done. I can tell you that those problems are now resolved.

我小心翼翼地沒有談論這個，因為我們還沒有結束。所以我小心翼翼地嘗試不預測，不告訴人們並獲得期望——設定期望，這不是我所做的。預測絕對不是我做的事。我所做的就是發現一個問題，一次解決一個問題，然後完成這些事情。我可以告訴你，這些問題現在都已經解決了。

Okay. So let's look at SG&A expenses. Prior to the STADCO acquisition, they were running around, I think, $600,000, $700,000 a quarter. Now they're $1 million higher. So is that $1 million SG&A increase at STADCO itself?

好的。那麼我們來看看 SG&A 費用。在收購 STADCO 之前，我認為他們每季度的支出約為 60 萬至 70 萬美元。現在價格上漲了 100 萬美元。那麼這 100 萬美元的 SG&A 增加是 STADCO 本身嗎？

Well, when we said they're $1 million over, I mean we had, what, 6, 7 months of STADCO last year. So part of the increase is the increased number of months with STADCO.

好吧，當我們說他們超過了 100 萬美元時，我的意思是去年我們有 6、7 個月的 STADCO。因此，增加的部分原因是使用 STADCO 的月數增加。

Full year.

全年。

Full year. And then also, we had a lot of onetime expense, especially earlier in the year with the acquisition. We're going through the audit last year, we're going through everything else that we had gone through. There were certain onetime expenses that we had kind of talked about before that impacted this.

全年。此外，我們還有很多一次性費用，特別是在今年早些時候的收購中。我們正在經歷去年的審計，我們正在經歷我們經歷過的所有其他事情。在影響這一點之前，我們已經討論過某些一次性費用。

But what I'm looking at...

但我在看什麼...

One second, Rich. So Tom, I think what we're talking about here is that the SG&A expenses in fiscal '23 increased by $1.1 million compared to prior year.

等一下，里奇。 Tom，我認為我們在這裡討論的是 23 財年的 SG&A 費用與上一年相比增加了 110 萬美元。

Yes.

是的。

And this is due primarily because we included STADCO for the full 12 months.

這主要是因為我們將 STADCO 納入了整整 12 個月。

Yes.

是的。

And the previous year did not include the full 12 months.

而上一年並沒有包括完整的12個月。

Right.

正確的。

And we've had -- that's the primary driver.

我們已經——這是主要驅動力。

That is the main driver.

這是主要驅動力。

But I'm looking at on a quarterly basis. On a quarterly basis, before the acquisition of STADCO, SG&A, I think, was running at like $600,000, $700,000 a year. And now like this last quarter, it's running at $1.6 million.

但我正在按季度查看。按季度計算，在收購 STADCO 之前，我認為 SG&A 每年的運行費用約為 600,000 美元、700,000 美元。現在就像上個季度一樣，它的價格為 160 萬美元。

Yes. We were about, I think, prior to the acquisition, about 7 5 -- $750,000. So we were $2.8 million to $3 million a year.

是的。我認為，在收購之前，我們的資產約為 7 5 - 750,000 美元。所以我們每年的收入是 280 萬到 300 萬美元。

Yeah. $3 million a year.

是的。每年300萬美元。

Yes. I think we had times where we were a little bit below that.

是的。我認為我們有時會低於這個水平。

I guess I'm surprised that STADCO's SG&A is probably more than Ranor's is.

我想我很驚訝 STADCO 的 SG&A 可能比 Ranor 的多。

Well, there were onetime expenses.

嗯，有一次性費用。

But even right now, is what I'm saying.

但即使是現在，我也是這麼說的。

(inaudible) right now.

（聽不清）現在。

No, our quarter this year was -- well, I think we've just had a lot -- we've had a lot of additional expense over the last 2 years that one, especially since the acquisition related to legal, accounting, even getting up, I mean, there's additional cost to get on to NASDAQ, the additional cost to do a reverse split.

不，我們今年的季度 - 嗯，我認為我們剛剛經歷了很多 - 在過去的兩年裡，我們有很多額外的費用，特別是自從收購涉及法律、會計，甚至起床，我的意思是，進入納斯達克需要額外的費用，進行反向拆分的額外費用。

So there's been just a lot of activity that caused additional cost to -- yes, for the outside contractors, our outside service providers. That should start whittling away at this point.

因此，有很多活動導致了額外的成本——是的，對於外部承包商，我們的外部服務提供商來說。此時，這種情況應該會開始減弱。

I think we need to answer the intent of Rich's question is STADCO SG&A costing us more than expected versus Ranor. And your...

我認為我們需要回答 Rich 問題的意圖，即 STADCO 的 SG&A 成本比 Ranor 的預期要高。和你的...

No, I don't actually...

不，我其實並不...

Answer is not really. We had all these different expenses that added up. So makes it look like that, but a lot of it was not related to STADCO.

答案其實不是。我們把所有這些不同的費用加起來。所以看起來就像那樣，但其中很多與 STADCO 無關。

It's not STADCO's SG&A.

這不是 STADCO 的 SG&A。

Yes, it's acquisition-related.

是的，這與收購有關。

Yes, that was really...

是的，那確實是……

It was the Corporate level.

這是公司層面。

Okay. The...

好的。這...

Just trying to -- sorry.

只是想——抱歉。

Okay. The prior question regarding precision industrial, are there opportunities there? Are you seeking them? Are you utilizing them?

好的。前面的問題關於精密工業，那裡有機會嗎？你在尋找他們嗎？你在利用它們嗎？

We're certainly open to opportunities. We're not saying...

我們當然對機會持開放態度。我們不是說...

Yes. Are there some that loom for you to go after at this point?

是的。此時此刻，您是否有一些迫在眉睫的目標？

Well, certainly. That's what I mean. I'm not saying no to them. I'm open to those opportunities. If I'm open to them, that means I'm actively pursuing, yes. That's what open means.

嗯，當然。那就是我的意思。我並不是對他們說不。我對這些機會持開放態度。如果我對他們持開放態度，那就意味著我正在積極追求，是的。這就是開放的意思。

I know this is -- it seems like a difficult quarter to announce. But actually, I'm not rose-tinted glasses on this, but I'm actually more positive because of your comments of more opportunities that seem to be coming available as a sub with the primes. So appreciate your comments there.

我知道這似乎是一個很難宣布的季度。但實際上，我對此並不樂觀，但我實際上更加積極，因為你對更多機會的評論似乎將作為質數的替補提供。感謝您的評論。

Yes. Our job is to tell the truth and get the facts in front of us on these earnings calls and in our press releases. And we can't flinch from telling all of us, including myself and Tom, who are also shareholders that we had a bad quarter. We need to get that out there.

是的。我們的工作是在這些財報電話會議和新聞稿中說實話並把事實擺在我們面前。我們毫不猶豫地告訴我們所有人，包括我自己和湯姆，他們也是股東，我們的季度表現很糟糕。我們需要把它弄清楚。

But also, we need to get the point out there that the customer confidence is very high to the point where the backlog is not diminishing. And we continue to secure new orders and new POs that are fully funded. It's very important to contrast that.

而且，我們還需要指出，客戶的信心非常高，積壓的訂單並沒有減少。我們將繼續獲得資金充足的新訂單和新採購訂單。對比這一點非常重要。

We have a follow-up question coming from Kris Tuttle with Blue Caterpillar.

我們有一個來自 Blue Caterpillar 的 Kris Tuttle 的後續問題。

Yes. Staying on that kind of that opportunity line of questioning. Given the relationships that you have with your customers, it seems like it would put you in a really good position to understand some needs they have that are not being met or that would give you the opportunity to make some adjacent acquisitions in the custom manufacturing space where they appreciate you and what you're doing with them. And maybe there are adjacencies that could provide small opportunities for you to make some small acquisitions that are very close to the kind of work that you're already doing. Could you comment on that?

是的。保持這種提問機會。考慮到您與客戶的關係，這似乎會讓您處於一個非常有利的位置，可以了解他們尚未滿足的一些需求，或者讓您有機會在定制製造領域進行一些相鄰的收購他們欣賞你以及你和他們一起做的事情。也許有一些鄰近地區可以為您提供一些小機會，讓您進行一些與您已經在做的工作非常接近的小型收購。你能否對此發表評論？

No. I'm in that zone, Kris, that I'm not allowed to discuss that. I'm serious about...

不，克里斯，我正處於那個區域，我不被允許討論這個問題。我是認真的...

What I'm saying...

我在說什麼...

Needing to comply to that requirement. I'm sorry.

需要遵守該要求。對不起。

No, I'm just saying would -- is that something that you guys are open to as an idea? Or do you really feel like you need to go through another few quarters of integration before you can contemplate that?

不，我只是說會——你們對這個想法持開放態度嗎？或者你真的覺得你需要再經歷幾個季度的整合才能考慮這一點？

I think we are always open to good ideas. Absolutely. Tom and I and the whole entire Board, we're all open to good ideas. Absolutely.

我認為我們總是對好想法持開放態度。絕對地。湯姆和我以及整個董事會，我們都對好想法持開放態度。絕對地。

Okay. We have no further questions. We have reached the end of the question-and-answer session. This concludes today's conference, and you may disconnect your lines at this time. Thank you.

好的。我們沒有其他問題了。我們的問答環節已經結束。今天的會議到此結束，此時您可以掛斷電話了。謝謝。

Thank you, everyone. Have a great day.

謝謝大家。祝你有美好的一天。

.

。

Thank you everyone.

謝謝大家。