Trex Company Inc (TREX) 2025 Q2 法說會逐字稿

Good day, and welcome to the Trex Company second-quarter 2025 earnings conference call. (Operator Instructions) Please note that the event is being recorded.

大家好，歡迎參加 Trex 公司 2025 年第二季財報電話會議。（操作員指示）請注意，該事件正在被記錄。

I would now like to turn the conference over to Casey Kotary. Please go ahead.

現在我想將會議交給 Casey Kotary。請繼續。

Thank you, everyone, for joining us today. With us on the call are Bryan Fairbanks, President and Chief Executive Officer; and Brenda Lovcik, Senior Vice President and Chief Financial Officer. Joining Bryan and Brenda is Amy Fernandez, Senior Vice President, Chief Legal Officer and Secretary; as well as other members of Trex management.

感謝大家今天加入我們。與我們一起參加電話會議的還有總裁兼執行長布萊恩·費爾班克斯 (Bryan Fairbanks) 和高級副總裁兼財務長 Brenda Lovcik。與 Bryan 和 Brenda 一起出席的還有高級副總裁、首席法律官兼秘書 Amy Fernandez 以及 Trex 管理層的其他成員。

The company issued a press release today after market close containing financial results for the second quarter of 2025. This release is available on the company's website. This conference call is also being webcast and will be available on the Investor Relations page of the company's website for 30 days.

該公司今天收盤後發布了一份新聞稿，其中包含 2025 年第二季的財務業績。此新聞稿可在該公司的網站上查閱。本次電話會議也將進行網路直播，並將在公司網站的投資者關係頁面上發布 30 天。

I will now turn the call over to Amy Fernandez. Amy?

現在我將電話轉給艾米·費爾南德斯。艾米？

Thank you, Casey. Before we begin, let me remind everyone that statements on this call regarding the company's expected future performance and conditions constitute forward-looking statements within the meaning of federal securities laws. These statements are subject to certain risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements. For a discussion of such risks and uncertainties, please see our most recent Form 10-K and Form 10-Q as well as our 1933 and other 1934 Act filings with the SEC.

謝謝你，凱西。在我們開始之前，請允許我提醒大家，本次電話會議中有關公司預期未來業績和狀況的陳述構成聯邦證券法所定義的前瞻性陳述。這些聲明受某些風險和不確定性的影響，可能導致實際結果與前瞻性聲明中表達的結果有重大差異。有關此類風險和不確定性的討論，請參閱我們最新的 10-K 表格和 10-Q 表格以及我們向美國證券交易委員會提交的 1933 年和其他 1934 年法案文件。

Additionally, non-GAAP financial measures will be referenced in this call. A reconciliation of these measures to the comparable GAAP financial measure can be found in our earnings press release at trex.com. The company expressly disclaims any obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise.

此外，本次電話會議也將參考非公認會計準則財務指標。這些指標與可比較 GAAP 財務指標的對帳表可在 trex.com 的收益新聞稿中找到。本公司明確聲明，無論出現新資訊、未來事件或其他情況，均無義務更新或公開修訂任何前瞻性陳述。

With that introduction, I will turn the call over to Bryan Fairbanks.

介紹完畢後，我將把電話轉給布萊恩費爾班克斯 (Bryan Fairbanks)。

Thank you, Amy, and thank you all for participating in today's call to review our second-quarter results and discuss our business outlook. The Trex team delivered strong second-quarter results, highlighted by 3% net sales growth, achieving a record level of quarterly sales despite adverse weather conditions in many parts of the country and despite a declining repair and remodel market. These results are a testament to the high level of execution from our team and our channel partners as well as broad-based and sustained demand for our differentiated products.

謝謝你，艾米，也感謝大家參加今天的電話會議來回顧我們的第二季業績並討論我們的業務前景。Trex 團隊取得了強勁的第二季業績，其中淨銷售額成長了 3%，儘管全國許多地區天氣惡劣且維修和改造市場下滑，但季度銷售額仍創下歷史新高。這些結果證明了我們團隊和通路合作夥伴的高執行力以及對我們差異化產品的廣泛且持續的需求。

We are pleased with our results to date, which are grounded in the resilience of our Trex consumer, the benefits of our unique channel positioning and the appeal of our new products. Our success demonstrates effective focus and underscores the importance of ongoing investment in the strategies fueling our momentum, while strengthening the branding and marketing messages that connect with consumers and channel partners alike.

我們對迄今為止的業績感到滿意，這得益於 Trex 消費者的韌性、我們獨特的通路定位的優勢以及我們新產品的吸引力。我們的成功證明了有效的關注，並強調了持續投資於推動我們發展勢頭的策略的重要性，同時加強了與消費者和通路合作夥伴聯繫的品牌和行銷訊息。

Sales trends were similar to those of the first quarter. Demand was led by a strong performance of Trex composite and aluminum railing, Trex Lineage decking and positive momentum in our expanded mid-priced select decking line. Over the past 18 months, we've seen wood alternative products take 170 basis points of market share from wood. And as always, Trex is aggressively pursuing wood conversion as a core growth strategy.

銷售趨勢與第一季相似。需求主要源於 Trex 複合材料和鋁製欄桿、Trex Lineage 甲板的強勁表現以及我們擴大的中等價位精選甲板系列的積極勢頭。在過去的 18 個月中，我們看到木材替代產品從木材中奪走了 170 個基點的市場份額。和往常一樣，Trex 積極推行木材轉化作為核心成長策略。

From a geographic standpoint, we see strong demand in markets across the US. We continue to be pleased with our pickup in dealer conversions and Trex Pro contractor recruitment activity in the Western region, which, together with our existing and new distributors, are increasing market penetration of Trex products.

從地理角度來看，我們看到美國各地市場的需求強勁。我們繼續對西部地區經銷商轉換率和 Trex Pro 承包商招聘活動的回升感到高興，這些活動與我們現有和新的分銷商一起，正在提高 Trex 產品的市場滲透率。

As the competitive landscape within our industry continues to evolve, we feel confident that our consistent consumer messaging, unwavering commitment to our channel partners and focus on the decking and railing segment will result in additional sales growth. Additionally, Trex will ensure that our products are available everywhere that consumers make their purchasing decisions.

隨著產業競爭格局的不斷演變，我們相信，我們始終如一的消費者訊息、對通路合作夥伴的堅定承諾以及對甲板和欄桿領域的關注將帶來額外的銷售成長。此外，Trex 將確保我們的產品在消費者做出購買決定的任何地方都能買到。

Product development remains a key element of our long-term strategy. New products were once again a key contributor to the past quarter's sales performance. Products launched within the last 36 months continue to represent 22% of quarterly sales, significantly ahead of the 13% contribution in the same period last year.

產品開發仍然是我們長期策略的關鍵要素。新產品再次成為上個季度銷售業績的主要貢獻者。過去 36 個月內推出的產品持續佔季度銷售額的 22%，大幅高於去年同期的 13%。

The past 12 months have been a period of record product introductions by Trex. We've built on the success of the Trex Lineage and Select decking lines by introducing new hues and further integrating our popular sun comfortable heat mitigating technology, now also featured in the latest colors within our value-focused enhanced decking collection.

過去 12 個月是 Trex 產品推出創紀錄的時期。我們在 Trex Lineage 和 Select 裝飾系列成功的基礎上，推出了新的色調，並進一步整合了我們廣受歡迎的陽光舒適隔熱技術，現在也以最新的顏色呈現在我們注重價值的增強型裝飾系列中。

As consumers increasingly seek to enjoy their outdoor living spaces, Trex offers a compelling solution. low maintenance performance engineered decking that comprise proprietary heat mitigating technology and superior scratch and stain resistance, all made from 95% recycled and reclaimed materials. It is an ideal choice, particularly for the environmentally conscious consumer. We plan to continue rolling out our heat mitigating technology with new product launches.

隨著消費者越來越尋求享受戶外生活空間，Trex 提供了一個引人注目的解決方案。低維護性能工程甲板，包括專有的散熱技術和卓越的抗刮和抗污性，全部由 95% 的回收和再生材料製成。這是一個理想的選擇，特別是對於有環保意識的消費者來說。我們計劃透過推出新產品繼續推廣我們的散熱技術。

Over the past year, we've greatly expanded our railing portfolio to offer consumers a comprehensive range of options across every price point and design preference. From the value price Trex Select composite T rail which delivers the high performance of composite materials while competing on a price with PVC vinyl to the premium Trex X Series cable and frameless glass rails, which deliver elevated aesthetics and favored by design-conscious homeowners.

在過去的一年裡，我們大大擴展了我們的欄桿產品組合，為消費者提供了涵蓋各個價位和設計偏好的全面選擇。從具有複合材料高性能且價格可與 PVC 乙烯基相媲美的超值 Trex Select 複合 T 型導軌，到高端 Trex X 系列電纜和無框玻璃導軌，它們具有更高的美感，受到注重設計的房主的青睞。

In the second quarter, our expanded railing portfolio continued to gain traction across both key channels, in the Pro channel where distributors have aligned with our railing products and in the home center channel, where we secured additional shelf space. We also continued to strengthen our investments in branding and marketing, featuring our expanded railing portfolio, submersible marine-grade decking for both fresh and saltwater environments and demonstrating the enhanced comfort and aesthetic appeal of a Trex Deck.

在第二季度，我們擴大的欄桿產品組合繼續在兩個主要管道中獲得關注，在專業管道中，分銷商已經與我們的欄桿產品保持一致，而在家庭中心通路中，我們獲得了額外的貨架空間。我們也持續加強對品牌和行銷的投資，重點推出擴大的欄桿產品組合、適用於淡水和鹹水環境的潛水船用甲板，並展示 Trex Deck 增強的舒適性和美感。

Our new performance engineered for your Life Outdoors campaign which launched on May 1, highlights our leadership in innovation and our commitment to delivering outdoor solutions that combine lasting beauty with real-world durability. New performance engineered products are currently in the pipeline for market launch in the coming year.

我們於 5 月 1 日推出的「為您的戶外活動而設計的全新性能」活動凸顯了我們在創新方面的領導地位以及我們致力於提供將持久美觀與現實世界的耐用性相結合的戶外解決方案的承諾。新型高性能工程產品目前正在籌備中，計劃明年上市。

In the second quarter, our new inventory strategy and level loading production delivered important benefits trust from our channel partners at Trex as the inventory availability needed to meet consumer demand, enhancement in our operational efficiency and reduction of the quarterly volatility in our results. This past quarter saw the first returns from our new state-of-the-art plastic processing facility in Arkansas. The performance results have been very promising.

在第二季度，我們的新庫存策略和水平負載生產為 Trex 的通路合作夥伴帶來了重要的好處，因為庫存可用性滿足了消費者需求，提高了我們的營運效率並降低了業績的季度波動。上個季度，我們位於阿肯色州的全新最先進的塑膠加工廠首次獲得了回報。業績成果非常令人鼓舞。

Production rates and yields surpassed our initial expectations, and the facility is helping reduce the need for externally purchased plastic pellets for our decking operations in Virginia and Nevada. Importantly, these production results affirm our expectations that once fully built, Arkansas will be a model for efficient, vertically integrated, self-sufficient production that supports our channel partners and capitalizes on growth opportunities for years to come.

生產率和產量超出了我們最初的預期，而且該工廠有助於減少我們在維吉尼亞州和內華達州的甲板業務對外部購買塑膠顆粒的需求。重要的是，這些生產結果證實了我們的預期，一旦全面建成，阿肯色州將成為高效、垂直整合、自給自足生產的典範，支持我們的通路合作夥伴並利用未來幾年的成長機會。

To sum up, as we look ahead, we expect similar sales trends in the third quarter, representing substantial year-on-year revenue growth and positive financial performance, which Brenda will detail in a moment. We're pleased that even amid a repair and remodel market that's now projected to be down in 2025 versus last year, Trex is positioned to continue outperforming the market.

總而言之，展望未來，我們預計第三季的銷售趨勢類似，營收將比去年同期大幅成長，財務表現也將保持積極，Brenda 稍後將詳細介紹。我們很高興，即使預計 2025 年維修和改造市場將比去年下滑，Trex 仍有望繼續跑贏大盤。

Now before I turn the call over to Senior Vice President and CFO, Brenda Lovcik, for a financial review, I'd like to take a moment to thank Brenda for her contributions to Trex and wish her all the best in her future endeavors.

現在，在我將電話轉給高級副總裁兼財務長 Brenda Lovcik 進行財務審查之前，我想花點時間感謝 Brenda 對 Trex 的貢獻，並祝福她在未來的事業中一切順利。

Brenda?

布倫達？

Thank you, Bryan, and good evening, everyone. We are pleased with our performance in the second quarter and year-to-date, especially against the backdrop of challenging weather and a soft repair and remodel market that now looks to be down compared to 2024.

謝謝你，布萊恩，大家晚上好。我們對第二季和年初至今的表現感到滿意，尤其是在惡劣天氣和疲軟的維修和改造市場的背景下，目前看來與 2024 年相比有所下降。

We continue to execute effectively against our goal of outperforming the repair and remodel market, driven by resilient consumer demand for Trex Decking and strengthened by the successful launch of new products that have been well received by the market. We are making excellent progress on the build-out of our state-of-the-art Arkansas manufacturing facility. Recycled plastic processing began on schedule in Q2, and production rates and yields have exceeded our initial expectations. On-site plastic pellet production is delivering cost savings by reducing our reliance on more expensive external sourcing.

我們繼續有效地執行超越維修和改造市場的目標，這得益於消費者對 Trex Decking 的強勁需求，以及成功推出受到市場好評的新產品。我們在阿肯色州最先進的製造工廠的建設方面取得了良好的進展。再生塑膠加工於第二季按計劃開始，生產率和產量已超出我們最初的預期。現場塑膠顆粒生產減少了我們對更昂貴的外部採購的依賴，從而節省了成本。

Additionally, the advanced processing technology at Arkansas will allow us the option of utilizing lower grade, less desirable, recyclable plastic, further reducing input costs and reinforcing our commitment to sustainability, while maintaining the quality of our high-performance, low maintenance products. As Bryan mentioned, once fully operational in 2027, the Arkansas facility will become our most efficient production hub, enabling us to expand capacity to support market growth and more effectively serve our channel partners.

此外，阿肯色州先進的加工技術使我們能夠選擇使用較低等級、不太理想、可回收的塑料，進一步降低投入成本，加強我們對永續發展的承諾，同時保持我們高性能、低維護產品的品質。正如布萊恩所提到的，一旦 2027 年全面投入運營，阿肯色州工廠將成為我們最高效的生產中心，使我們能夠擴大產能以支持市場成長並更有效地為我們的通路合作夥伴提供服務。

I would now like to review our second-quarter 2025 and year-to-date results. Please note that unless otherwise stated, all comparisons discussed are on a year-over-year basis compared to the second quarter of 2024. As a reminder, this is the first year of our new level-loaded manufacturing strategy, which we put in place to bring greater efficiency to our manufacturing, while also reducing the volatility typically associated with channel stocking and destocking.

現在我想回顧一下我們 2025 年第二季和年初至今的業績。請注意，除非另有說明，所有討論的比較都是與 2024 年第二季相比的同比數據。提醒一下，這是我們新的水平加載製造策略的第一年，我們實施該策略是為了提高製造效率，同時減少通常與通路庫存和去庫存相關的波動。

This new strategy has caused lower than typical first half gross margins given the shift in production and associated utilization rates but will result in higher than historical second half of the year gross margins. Over time, we believe the level-loading strategy will be accretive to the full year gross margins.

由於生產和相關利用率的變化，這項新策略導致上半年毛利率低於正常水平，但下半年毛利率將高於歷史水平。隨著時間的推移，我們相信水平加載策略將會增加全年的毛利率。

Similar to Q1, we also incurred several one-time expenses tied to strategic initiatives including start-up costs associated with our Arkansas plastic processing facility, railing conversion efforts and investments in digital transformation. I will provide adjusted results reflecting these items while discussing our financial performance. A reconciliation of these adjustments can be found in our Q2 press release on trex.com.

與第一季類似，我們也發生了幾項與策略計畫相關的一次性費用，包括與阿肯色州塑膠加工廠相關的啟動成本、欄桿改造工作以及數位轉型投資。在討論我們的財務表現時，我將提供反映這些項目的調整結果。這些調整的對帳可以在 trex.com 上我們的第二季新聞稿中找到。

In the second quarter, net sales were $388 million, a 3% increase compared to $376 million in the prior year. Despite adverse weather slowing construction activity in many parts of the US and lower repair and remodel spending, we achieved low single-digit growth, demonstrating the strength of the Trex brand and the adoption of our new products.

第二季淨銷售額為 3.88 億美元，較上年同期的 3.76 億美元成長 3%。儘管惡劣天氣導緻美國許多地區的建築活動放緩，維修和改造支出減少，但我們仍實現了低個位數成長，證明了 Trex 品牌的實力和我們新產品的普及。

Gross profit was $158 million and gross margin was 40.8% compared to gross profit of $168 million and gross margin of 44.7%, down $10 million or 390 basis points. The decrease is primarily due to the one-time strategic investments made within the quarter as well as lower year-over-year production due to our decision to level load, which we estimate had a 100 basis point impact on the quarter. While level loading negatively impacted gross margins in Q1 and Q2, as previously noted, we will see a benefit to the margins in Q3 and Q4.

毛利為 1.58 億美元，毛利率為 40.8%，而去年同期的毛利為 1.68 億美元，毛利率為 44.7%，下降了 1,000 萬美元或 390 個基點。下降的主要原因是本季度進行了一次性戰略投資，以及由於我們決定平衡負荷而導致的同比產量下降，我們估計這對本季度產生了 100 個基點的影響。雖然水平負荷對第一季和第二季的毛利率產生了負面影響，但如前所述，我們將看到第三季和第四季的利潤率有所提高。

In addition, costs associated with the successful reengineering of our enhanced stacking line were approximately $4 million or a 100 basis point impact, but have not been adjusted out of gross margin. This project is now complete, and we do not expect any additional enhanced related expenses going forward.

此外，成功改造我們的增強型堆疊生產線的相關成本約為 400 萬美元或 100 個基點的影響，但尚未從毛利率中調整。該項目現已完成，我們預計未來不會有任何額外的相關費用。

The strategic investments this quarter included one-time railing conversion costs of approximately $1.4 million and one-time start-up costs related to Arkansas facility of approximately $1.3 million. Excluding these items, adjusted gross profit was $161 million.

本季的策略性投資包括約 140 萬美元的一次性欄桿改造成本和約 130 萬美元的阿肯色州工廠一次性啟動成本。除這些項目外，調整後的毛利為 1.61 億美元。

Selling, general and administrative expenses were $56 million or 14.4% of net sales compared to $51 million or 13.6% of net sales. The increase is primarily due to the additional investments in branding, which we are delivering positive returns as we saw an increase in dealer and contractor searches, product samples sold and new leads.

銷售、一般及行政開支為 5,600 萬美元，佔淨銷售額的 14.4%，而去年同期為 5,100 萬美元，佔淨銷售額的 13.6%。這一增長主要歸功於對品牌的額外投資，隨著經銷商和承包商搜尋量、產品樣品銷售量和新銷售線索數量的增加，我們獲得了積極的回報。

One-time expenses related to the start-up of the Arkansas facility and digital transformation activities were approximately $1.1 million. Excluding these one-time expenses, SG&A expenses were $55 million.

與阿肯色州工廠啟動和數位轉型活動相關的一次性費用約為 110 萬美元。除這些一次性費用外，銷售、一般及行政費用為 5,500 萬美元。

Net income was $76 million or $0.71 per diluted share, a decrease of 13% from $87 million or $0.80 per diluted share. Excluding the aforementioned expenses, adjusted net income was $79 million or $0.73 per diluted share. Adjusted EBITDA was $122 million, down 6% compared to $130 million.

淨收入為 7,600 萬美元或每股攤薄收益 0.71 美元，較 8,700 萬美元或每股攤薄收益 0.80 美元下降 13%。除上述費用外，調整後淨收入為 7,900 萬美元，即每股 0.73 美元。調整後的 EBITDA 為 1.22 億美元，較 1.3 億美元下降 6%。

From a year-to-date perspective, net sales for the first half of 2025 totaled $728 million, a 3% decrease compared to $750 million in the first six months of 2024. Net income was $136 million or $1.27 per diluted share, a 23% decrease compared to $176 million or $1.62 per diluted share. Excluding one-time charges incurred year-to-date, adjusted net income was $143 million, adjusted diluted earnings per share was $1.33, and adjusted EBITDA was $223 million.

從年初至今，2025 年上半年的淨銷售額總計 7.28 億美元，與 2024 年前六個月的 7.5 億美元相比下降了 3%。淨收入為 1.36 億美元或每股攤薄收益 1.27 美元，較 1.76 億美元或每股攤薄收益 1.62 美元下降 23%。不包括年初至今發生的一次性費用，調整後淨收入為 1.43 億美元，調整後每股攤薄收益為 1.33 美元，調整後 EBITDA 為 2.23 億美元。

Year-to-date operating cash flow was $96 million compared to $20 million in 2024. The increase was primarily due to the lower inventory. We anticipate ending the year with inventory levels at approximately the same level as the end of the year 2024 levels. In the first half, capital expenditures were $126 million, primarily related to the build-out of the Arkansas manufacturing facility.

年初至今的經營現金流為 9,600 萬美元，而 2024 年為 2,000 萬美元。成長的主要原因是庫存減少。我們預計今年年底的庫存水準將與 2024 年底的水準大致相同。上半年資本支出為 1.26 億美元，主要用於阿肯色州製造工廠的建設。

As noted in today's earnings release, we are pleased to reaffirm our full year 2025 guidance. We expect to see strong year-over-year comparisons in the second half of the year, driven by improved production levels from level loading, the ongoing benefits of our continuous improvement initiatives and the absence of the channel inventory reductions that occurred in the second half of last year.

正如今天的收益報告中所述，我們很高興重申我們對 2025 年全年的預期。我們預計，下半年的年比業績將表現強勁，這得益於水平負荷帶來的生產水準提高、持續改善措施帶來的持續效益，以及去年下半年通路庫存減少的消失。

To reiterate our 2025 guidance, we expect net sales growth of between 5% to 7%, adjusted EBITDA margin to exceed 31%; SG&A expenses to be approximately 60% of net sales, interest expense less than $2 million and depreciation in the range of $55 million to $60 million. We are projecting an effective tax rate of approximately 25% to 26%. Capital expenditures are projected to be approximately $200 million for the full year as we continue the development of the Arkansas campus.

重申我們對 2025 年的預期，我們預期淨銷售額成長 5% 至 7%，調整後的 EBITDA 利潤率將超過 31%；銷售、一般及行政費用約佔淨銷售額的 60%，利息支出低於 200 萬美元，折舊費用在 5,500 萬美元至 6,000 萬美元之間。我們預計有效稅率約為 25% 至 26%。隨著我們繼續開發阿肯色州園區，預計全年資本支出約為 2 億美元。

I will provide additional financial information for the third quarter and the remainder of the year given the impact of our level loading program. We expect Q3 net sales in the range of $295 million to $305 million, indicating growth of 28% at the midpoint as compared to the prior year. As a reminder, in Q3 of last year, there was a $70 million inventory depletion in the channel. As mentioned above, our level loading program will benefit gross margins in the third and fourth quarters, while we also eliminate expenses previously associated with our enhanced reengineering efforts.

考慮到我們的水平加載計劃的影響，我將提供第三季和今年剩餘時間的更多財務資訊。我們預計第三季淨銷售額將在 2.95 億美元至 3.05 億美元之間，與去年同期相比成長 28%。提醒一下，去年第三季度，該通路的庫存消耗了 7,000 萬美元。如上所述，我們的水平加載計劃將有利於第三季和第四季的毛利率，同時我們也消除了先前與加強重組工作相關的費用。

We expect approximately $2 million in additional one-time expenses impacting our gross profit and $2 million incremental SG&A expenses in both Q3 and Q4, taking us to the high end of our estimate for the one-time expenses, which was $15 million to $20 million for the year. These amounts will be excluded from the adjusted results we report. We anticipate third-quarter and fourth-quarter adjusted EBITDA margins to be approximately 32% and 31%, respectively, primarily benefiting from the higher gross margins driven by our level loading program as well as the lack of additional enhanced related expenses.

我們預計，第三季和第四季將有約 200 萬美元的額外一次性費用影響我們的毛利，銷售、一般及行政費用 (SG&A) 增加 200 萬美元，這將使我們達到一次性費用預估的高端，即全年 1500 萬至 2000 萬美元。這些金額將被排除在我們報告的調整結果之外。我們預計第三季和第四季調整後的 EBITDA 利潤率分別約為 32% 和 31%，主要受益於我們的水平加載計劃帶來的更高毛利率以及缺乏額外的增強相關費用。

With that, I will now turn the call back to Bryan for his closing remarks.

現在，我將把電話轉回給布萊恩，請他作最後發言。

Thank you, Brenda. At the end of June, we published our 2024 sustainability report that illustrates how we have seamlessly integrated sustainability into our business as a core strategy and details our company's commitment to circularity innovative product development, manufacturing efficiency and creating professional growth opportunities for our employees. The report can be found in the Sustainability section of our website under the Why Trex tab.

謝謝你，布倫達。6 月底，我們發布了 2024 年永續發展報告，該報告闡述了我們如何將永續發展作為一項核心策略無縫融入我們的業務，並詳細介紹了我們公司對循環創新產品開發、製造效率和為員工創造專業成長機會的承諾。您可在我們網站的「永續發展」部分的「為什麼選擇 Trex」標籤下找到該報告。

In conclusion, we are confident in our market leadership position based on our tremendous brand equity, our differentiated channel positioning, and the relationships we've built over more than three decades with the industry's most respected professional contractors, distributors, dealers, and home centers by fostering strong partnerships that are reinforced by mutual benefit. Together, we partner every day to bring the highest quality performance-driven products to the consumer and the opportunity is tremendous as industry data shows there are over 50 million decks in North America and over half are either at or beyond their normal life spans. This gives us substantial runway for future growth.

總之，憑藉我們龐大的品牌資產、差異化的通路定位以及三十多年來與業內最受尊敬的專業承包商、分銷商、經銷商和家居中心建立的牢固的互利夥伴關係，我們對自己的市場領導地位充滿信心。我們每天都攜手合作，為消費者提供最高品質的性能驅動產品，這是一個巨大的機遇，因為行業數據顯示，北美有超過 5000 萬個甲板，其中超過一半的甲板已經達到或超過了正常使用壽命。這為我們未來的成長提供了堅實的基礎。

Now I'd like to open the call to questions. Operator?

現在我想開始提問。操作員？

(Operator Instructions) Rafe Jadrosich, Bank of America.

（操作員指示）美國銀行 Rafe Jadrosich。

I just want to first clarify on the gross margin comments for the third quarter. Can you just give some more color on it? Is that 100 basis point step up off of the GAAP number that you gave? Or is that off of the [41.5] adjusted figure? And then does that include the $2 million of one-time expenses? Just help us understand exactly what that comment's on.

我首先想澄清一下第三季的毛利率評論。您能再多解釋一下嗎？您給出的 GAAP 數字是否增加了 100 個基點？還是這是根據 [41.5] 調整後的數字得出的？那麼這包括 200 萬美元的一次性費用嗎？只需幫助我們準確地理解該評論的含義即可。

As it relates to gross, we did not give guidance on gross profit or gross margin numbers for Q3 and Q4. We did provide EBITDA, the EBITDA margin guidance of 32% and 31%, respectively. In Q3, you will no longer -- we'll have the reversal of level loading, so that will help us in Q3 and Q4. And then we will no longer have the enhanced costs. Both of those were about a 100 basis point pressure on our margins in Q2.

由於與總額有關，我們沒有給出第三季和第四季的毛利或毛利率數字的指引。我們確實提供了 EBITDA，EBITDA 利潤率指引分別為 32% 和 31%。在第三季度，您將不再 - 我們將逆轉級別加載，這將有助於我們在第三季度和第四季度。這樣，我們的成本就不再增加了。這兩項因素都對我們第二季的利潤率造成了約 100 個基點的壓力。

Okay. So that was an EBITDA margin comment, not gross margin on the 100 basis.

好的。所以這是 EBITDA 利潤率評論，而不是 100 基礎上的毛利率。

Correct.

正確的。

Got it. Okay. And then the fourth quarter is significantly higher than it's been historically and the step-down from 3Q to 4Q is obviously much lower than it's been historically. Can you just help us understand what is allowing that? Like how much higher is production in the fourth quarter now than what it's been historically?

知道了。好的。然後，第四季的成長率明顯高於歷史水平，而從第三季到第四季的降幅明顯低於歷史水平。您能幫助我們理解是什麼導致了這種情況嗎？例如，現在第四季的產量比歷史水準高出多少？

Just to give us some confidence on that higher level for the fourth quarter than it's been.

只是為了讓我們對第四季的水準比以往更高更有信心。

We're not going to hand out total production levels, but you will see meaningful production increases, both in Q3 and Q4 to level the gross margin as you're describing.

我們不會公佈總產量水平，但您會看到產量在第三季和第四季都有顯著增長，從而平衡您所描述的毛利率。

One of the benefits we're seeing with this level-loaded production and we've talked about this in prior calls, is less volatility in the quarterly earnings. So you don't have the really high gross margin, all of a sudden in one quarter and then the fourth quarter are much lower.

我們看到的這種水平負載生產的好處之一就是季度收益的波動性較小，我們在之前的電話會議上也討論過這一點。因此，你的毛利率並不是很高，突然在一個季度和第四季就低了很多。

Now still in the fourth quarter, you do have lower sales. So it is more difficult to cover all of those fixed costs. So there are some adjustments at that point that do drive somewhat lower margin there. But you're going to generally see much lower volatility, assuming we can keep our production relatively level loaded at our plants over the course of the year.

現在仍處於第四季度，銷售額確實有所下降。因此，要覆蓋所有固定成本變得更加困難。因此，此時進行的一些調整確實會降低利潤率。但假設我們能夠在一年內保持工廠的生產負荷相對穩定，那麼你通常會看到波動性低得多。

Susan Maklari, Goldman Sachs.

高盛的蘇珊馬克拉里 (Susan Maklari)。

My first question is talking a bit about the demand picture out there. Can you give us a bit more color on the outperformance that you're seeing versus the market? How much of that is being driven by the new products and the share gains that you talked about? And how are you thinking about just the broader path from here given the state of the consumer and the housing backdrop?

我的第一個問題是談談那裡的需求情況。您能否向我們詳細介紹一下您所看到的相對於市場的優異表現？其中有多少是由您談到的新產品和市場佔有率成長所推動的？考慮到消費者狀況和住房背景，您如何看待今後更廣泛的發展路徑？

Overall, we were pleased with the behavior of our consumers, seeing our contractor backlogs in the six- to eight-week range. We're seeing that in the third quarter as well. We've seen outperform against repair and remodel, really for a couple of years now, that continues. It is a low-cost way for people to be able to add square footage to their home.

總體而言，我們對消費者的行為感到滿意，看到承包商的積壓訂單在六到八週的範圍內。我們在第三季也看到了這種情況。我們已經看到修復和改造的表現優於預期，事實上，這種情況已經持續了好幾年了。這是人們增加房屋面積的一種低成本方法。

I mentioned about the large number of $50 million wood decks and existence in North America, most of which are at the point where they need to be replaced. So those are some of the secular factors that are helping this industry grow, albeit not at the levels we would normally like to grow, but at least showing growth numbers as compared to many other repair and remodel companies.

我提到了北美存在大量價值 5000 萬美元的木質甲板，其中大部分都需要更換。因此，這些是幫助該行業成長的一些長期因素，儘管沒有達到我們通常希望的成長水平，但與許多其他維修和改造公司相比，至少顯示出成長數字。

Okay. That's helpful. And then can you also talk a bit about the efficiencies that you're seeing within your own operations? How that is coming through to the margins? And any thoughts on initiatives or anything that we should be aware of as we think about the back half of the year in terms of some of those aspects?

好的。這很有幫助。然後，您能否談談您在自己的營運中看到的效率？這是如何傳達到邊緣的？當我們考慮下半年的某些方面時，您對哪些舉措或哪些方面應該注意有什麼想法嗎？

Coming through the past couple of years has been really choppy for operations. We expanded capacity quickly in the pandemic than had to bring it back down again as we worked through excess inventory that had to bring it back on again. And with those significant swings in production, that adds a lot of inefficiency into the organization. By level loading and running consistently from month-to-month over a longer period of time, we can make minor step-ups. We could make minor step downs without any impact to the efficiency that we're seeing.

過去幾年的營運確實很不穩定。在疫情期間，我們迅速擴大了產能，但後來又不得不降低產能，因為我們要處理過剩庫存，所以又不得不重新增加產能。隨著生產的大幅波動，組織效率大大降低。透過在較長時間內逐月進行水平加載和持續運行，我們可以實現微小的提升。我們可以進行小幅的降級，而不會對我們所看到的效率產生任何影響。

We're seeing higher rates, higher yields, improved quality across all of our manufacturing operations as it relates to this strategy. Additionally, with Little Rock coming on, while we are still in start-up phase, we have a lot of other assets to bring on. We are very encouraged with the initial performance we've seen of the new plastic processing technology that we've put in place. We've talked over the years, Trex has had a long history of continuous improvement.

由於採用了這項策略，我們看到我們所有的製造業務的產量、產量和品質都提高了。此外，隨著小石城的加入，雖然我們仍處於起步階段，但我們還有很多其他資產可以投入使用。我們對所採用的新型塑膠加工技術的初步表現感到非常鼓舞。多年來，我們一直在談論，Trex 有著長期持續改進的歷史。

We know that every year, there are a certain amount of costs that are going to come into the business. We work as hard as we can to try to offset a reasonable amount of those costs with those continuous improvement activities, and that's something that will continue on into the foreseeable future.

我們知道，每年都會有一定金額的成本進入企業。我們竭盡全力嘗試透過持續改進活動來抵消合理數量的成本，而這種做法在可預見的未來仍將持續下去。

Keith Hughes, Truist.

基斯·休斯，Truist。

Just want to go back to the first question, the -- about the sequential 100 basis points. I just want to make sure I understand this is a 100 sequential basis points improvement from second-quarter EBITDA to third-quarter EBITDA. Is that correct?

我只想回到第一個問題，關於連續的 100 個基點。我只是想確保我理解這是從第二季 EBITDA 到第三季 EBITDA 連續 100 個基點的改善。對嗎？

So the EBITDA discussion is -- I want to get to focus on 32%. So Q3, we're going to be approximately a 32% EBITDA and in Q4, 31% EBITDA. That increase will be driven largely from gross margin improvements. And again, the biggest changes in gross margin are going to be the elimination of the enhanced expenses that we had, which are approximately 100 basis points, the level loading which again was a drag on our margin of 100 basis points in Q2. And then you'll have those one-time gross margin but will adjusted gross margin for our strategic investments also included and they're a little bit more expensive in Q3 and Q4.

因此，EBITDA 討論是——我想重點關注 32%。因此，第三季我們的 EBITDA 約為 32%，第四季我們的 EBITDA 約為 31%。這一增長主要得益於毛利率的提高。再次強調，毛利率的最大變化將是取消我們原有的增強費用，這些費用約為 100 個基點，而水平負荷又拖累了我們第二季度 100 個基點的利潤率。然後你會得到那些一次性毛利率，但也包括我們戰略投資的調整毛利率，而且它們在第三季和第四季會稍微貴一些。

Okay. And it appears though, just the way you're talking about it, the gross margin, there will be a step down from the third to the fourth, but it should be fairly modest. Is that directly --?

好的。不過，正如您所說，從第三到第四個季度，毛利率似乎會有所下降，但應該相當溫和。是直接--？

Exactly. Exactly. One other thing to remember in the gross margin is Q2 is when we started the production in our poly processing plant. And so we started the depreciation of that as well. And so as a reminder, it's $10 million for the full year, so approximately $2.5 million a quarter of depreciation that is now hitting the gross margin line.

確切地。確切地。在毛利率方面要記住的另一件事是，第二季是我們開始在聚合物加工廠生產的時候。因此我們也開始貶值它。需要提醒的是，全年折舊額為 1,000 萬美元，因此每季折舊額約為 250 萬美元，目前正在影響毛利率線。

Okay. Got it. One other question for Bryan, just in terms of sell-through, what are you seeing? And is it varied a lot by month as we particularly get into July?

好的。知道了。布萊恩還有一個問題，就銷售量而言，您看到了什麼？特別是進入 7 月後，每個月的變化是否很大？

It varied considerably. It may because of the wet weather that we saw across a good portion of the country. As we started moving into mid-June, we saw it pick up considerably, continue to do well into July. So yes, it was definitely different depending upon the weather conditions. I think the second quarter could have been a really good quarter on a sell-through basis that we've seen more favorable weather conditions across the country.

其差異很大。這可能是因為我們看到全國大部分地區都出現了潮濕的天氣。進入六月中旬，我們看到它大幅回升，並持續到七月。是的，根據天氣條件的不同，情況肯定會有所不同。我認為，從銷售情況來看，第二季度本來可能是一個非常好的季度，因為我們看到全國各地的天氣條件更加有利。

Ryan Merkel, William Blair.

瑞安·默克爾、威廉·布萊爾。

My first question is just on the broader R&R outlook. I think last quarter, it was flat. Now it's going to be down a little bit. I guess just what's changed would be helpful?

我的第一個問題是關於更廣泛的 R&R 前景。我認為上個季度它是持平的。現在它會稍微下降一點。我想，改變一下就會有幫助吧？

We're just -- what we're seeing is the other reports that are coming out at this point, other industry experts that are expecting to see some weakness with it, general consumer uneasiness about the economy at this point. So might it end up being flat? Very possibly, but it seems like there's more of a bias towards the downside at this point.

我們只是——我們看到的是此時發布的其他報告，其他行業專家預計會出現一些疲軟跡象，消費者普遍對當前經濟感到不安。那麼最終它會持平嗎？很有可能，但目前看來似乎更傾向於下行。

Yes. I take your point. It's been mixed out there. So it's hard to say what's going to happen. All right.

是的。我同意你的觀點。那裡的情況很混亂。所以很難說會發生什麼事。好的。

And then my next question, I think Brenda mentioned level loading is going to be accretive to margins. I'm not sure if you've said that before, but could you talk about why that is? And then I'd be curious how accretive it's going to be the margins that you're willing to give us that?

然後我的下一個問題是，我認為布倫達提到水平加載將會增加利潤。我不確定您之前是否說過這個，但您能談談為什麼嗎？然後我很好奇您願意給我們的利潤會有多大增值？

So it's accretive because we'll be doing more production in Q3 and 4 as we level load the facility. We're not going to get into the actual specifics of that. But again, by level loading that, we gained a lot of efficiencies as Bryan emphasized earlier.

因此，它具有增值作用，因為隨著我們平衡設施負荷，我們將在第三季和第四季進行更多生產。我們不會深入討論其具體細節。但正如 Bryan 之前強調的那樣，透過級別加載，我們獲得了很多效率。

Collin Verron, Deutsche Bank.

德意志銀行的科林‧維隆 (Collin Verron)。

I was hoping you could provide some more color just how you're thinking about sell-out demand through the rest of the year. Just given the moves in the inventory last year, I think if you just add back the destocking that you guys called out previously, put you above the high end of your 7% range. So I was just curious as to how you're thinking about maybe sell out to the rest of the year and maybe channel inventories.

我希望您能提供更多細節，說明您對今年剩餘時間的銷售需求有何看法。考慮到去年庫存的變化，我認為如果再加上你們之前提到的去庫存，成長率就會超過 7% 區間的高端。所以我只是好奇，您是如何考慮在今年剩餘時間內銷售以及通路庫存的。

Over the course of the year, we've got a 5% to 7% growth, and that's the kind of sellout that we expect on a full year basis. We're in the third quarter. So it's still one of the stronger quarters from an overall volume perspective, Q2 and Q3 in this seasonal business. The timing of our inventory going into the channel can be different from when the channel sells it out. We have to make sure that it is well stocked as we get through early by and the season kicks off in the second quarter.

在這一年中，我們的銷售額成長了 5% 到 7%，這也是我們預計全年銷售額將達到的水平。我們已進入第三季。因此，從整體銷售角度來看，第二季和第三季仍然是季節性業務表現較強的季度之一。我們的庫存進入通路的時間可能與通路售出的時間不同。我們必須確保庫存充足，因為我們要提前度過這個難關，而且賽季在第二季開始。

The team did a great job in making sure that the channel was very well serviced in the second quarter, made sure that all the products were available for their consumers along the way. But we're comfortable where inventories were coming out of the second half of the year to be able to support our growth expectations.

團隊做得非常出色，確保第二季通路服務良好，確保所有產品都能為消費者提供。但我們對下半年的庫存感到滿意，因為庫存能夠支持我們的成長預期。

Okay. And then in the press release, you guys talked about taking some prices for tariffs. I guess any color to the pricing actions that you've taken in 2025? What percentage of the portfolio that's impacting?

好的。然後在新聞稿中，你們談到了關稅的一些價格。我猜想您在 2025 年採取的定價行動會有什麼影響嗎？投資組合中有多少比例受到影響？

We did take pricing. There was a mid-single-digit increase across many of our decking products. We did not elect to take it on our railing products.

我們確實進行了定價。我們的許多裝飾產品的銷量都出現了中等個位數的成長。我們沒有選擇將其應用於我們的欄桿產品。

Ketan Mamtora, BMO Capital Markets.

Ketan Mamtora，BMO 資本市場。

Maybe the first one, does the Q4 production contemplate any inventory building in the channel given that you are level loading now?

也許是第一個問題，鑑於您現在處於水平加載狀態，第四季度的生產是否考慮在通路中建立任何庫存？

I would expect both our inventory to be similar to last year, as Brenda mentioned, and I would expect the channel inventory to be similar to where it was last year as well.

正如 Brenda 所提到的，我預計我們的庫存與去年相似，而且我預計通路庫存也與去年相似。

Understood. Okay. And then, Bryan, any thoughts around capital allocation, given this is the last big year for the Arkansas investment? How are you thinking about it, especially as you think about next year?

明白了。好的。那麼，布萊恩，考慮到這是阿肯色州投資的最後一年，您對資本配置有什麼想法嗎？您對此有何看法，尤其是考慮到明年？

Yes. We will see considerable increase in free cash flow generation. We're seeing it this year, but we'll even see it to a larger degree next year as a lot of the investment for Little Rock will be behind us, and we'll continue to grow from there.

是的。我們將看到自由現金流的大幅增加。我們今年就看到了這一點，但明年我們甚至會在更大程度上看到這一點，因為小石城的大量投資已經完成，我們將繼續從那裡發展。

We will continue to look at our priorities, first, the organic growth opportunities Second would be any acquisition opportunities in the marketplace. And I'm pleased with the low debt level that we have, high cash-generating opportunities that I think there may be some interesting things in the marketplace. And then finally, share buyback. So we do have an approved share buyback program for up to roughly 10% of the company, and we've been active on that in the past and expect that we'll be active in the future.

我們將繼續關注我們的優先事項，首先是有機成長機會，其次是市場上的任何收購機會。我對我們的低債務水平和高現金創造機會感到滿意，我認為市場上可能會有一些有趣的事情。最後，股票回購。因此，我們確實有一個已獲批准的股票回購計劃，最多可回購公司約 10% 的股份，我們過去一直積極地進行這項計劃，並預計未來我們也會積極地進行這項計劃。

Michael Rehaut, JPMorgan.

摩根大通的麥可雷豪特。

I wanted to first go back to one of your comments earlier, Bryan, in the prepared remarks about taking about 170 basis points from wood decking. I think that was over the last 12 months. How does that compare to maybe the rate of share gain over the past couple of years? And I'm just curious what -- there's obviously a limited amount of data sources for the decking market if you're working off of specific data aggregation sources that help inform you in the rate of change.

布萊恩，我想先回顧一下你之前在準備好的評論中提到的從木地板上拿走大約 170 個基點的評論。我認為那是過去 12 個月的事了。這與過去幾年的股價成長率相比如何？我只是很好奇——如果你使用特定的資料聚合來源來幫助你了解變化率，那麼顯然裝飾市場的資料來源數量是有限的。

Yes. So it's 170 basis points over the last 18 months. Remember, over the last couple of years, the low-end consumer has been relatively weak. In many cases, that is going to be your biggest part of the wood conversion marketplace. As that consumer comes back again, I expect that, that expansion will go from there.

是的。因此，在過去 18 個月內，這一數字為 170 個基點。請記住，過去幾年，低端消費者一直相對較弱。在許多情況下，這將成為木材加工市場中最大的組成部分。隨著消費者的回歸，我預計擴張將從那裡開始。

It's been up and down over the past couple of years. Anywhere from 50 basis points during the pandemic, we were at 300 basis points. The following year, went down to 100 basis points. I think the most important part of this is that in spite of a weak repair and remodel marketplace, we are still seeing people make the decision to move over to composites rather than installing wood.

過去幾年情況起伏不定。從疫情期間的 50 個基點到現在的 300 個基點。隔年，降至100個基點。我認為最重要的一點是，儘管維修和改造市場疲軟，但我們仍然看到人們決定轉向複合材料而不是安裝木材。

So how do we get that information? We do use external services to be able to get that information. But we also can talk with our channel partners and understand what they're seeing in their business, how are the composite sales doing against wood compared to prior years. So we've got a number of ways that we can triangulate on that.

那我們要如何取得這些資訊？我們確實使用外部服務來獲取該資訊。但我們也可以與我們的通路合作夥伴交談，了解他們在業務中看到的情況，與前幾年相比複合材料的銷售相對於木材的銷售情況如何。因此，我們可以透過多種方式來對此進行三角測量。

Okay. Great. No, I appreciate that. And I guess just secondly, following up on a previous question around price. I was a little surprised to hear you say that you're taking price in decking, which I assume is your core composite decking products, which are not as impacted by the tariffs on steel and aluminum.

好的。偉大的。不，我很感激。其次，我想繼續回答之前關於價格的問題。當我聽到您說要對甲板進行定價時，我感到有點驚訝，我認為這是您的核心複合甲板產品，不會受到鋼鐵和鋁關稅的影響。

So I was just trying to -- maybe if you could talk about the pricing strategy for that segment of your product segment. And maybe on a bigger picture level, when we think about the 5% to 7% growth, how much of that is coming from price versus volume?

所以我只是想——也許您可以談談您的產品部分的定價策略。也許從更大的角度來看，當我們考慮 5% 到 7% 的成長時，其中有多少是來自價格而不是數量？

I'm not going to get into our pricing strategy here on an open call with it. And we haven't provided the exact amount of pricing either. We've given you revenue for the full year. So a couple of things that we're not going to discuss here today.

我不會在公開電話會議上討論我們的定價策略。我們也沒有提供確切的價格金額。我們已經為您提供了全年的收入。有幾件事我們今天不打算在這裡討論。

John Lovallo, UBS.

瑞銀的約翰·洛瓦洛。

The first one is you guys mentioned some adverse weather conditions in the second quarter. Is there any way to size the impact of that?

第一個是你們提到第二季的一些不利的天氣條件。有什麼方法可以衡量其影響嗎？

It's really difficult to try to size that. We did definitely see weaker sales as we were going through the adverse weather period. It is very clear what we were seeing, but we've not tried to size what that would have been.

要確定其大小確實很困難。由於正經歷惡劣天氣時期，我們的銷售確實有所疲軟。我們所看到的非常清楚，但我們還沒有嘗試去衡量那會是什麼。

And then again --

然後又--

I Just wanted to commend the team because they outperformed despite that weather that everybody was talking about.

我只是想稱讚這個團隊，因為儘管大家都在談論天氣問題，但他們仍然表現出色。

Okay. Got it. And then I guess just more strategically speaking here, if the consumer were to weaken and demand for decking and railing were slow, I mean, how would that impact, if at all, your new product introductions?

好的。知道了。然後我想從更具策略性的角度來說，如果消費者的購買力減弱，對甲板和欄桿的需求放緩，那麼這會對您的新產品推出產生什麼影響呢？

I don't think it would impact our new product introductions at all. We would continue moving forward. With that, we would address our production capacity, what we're running, but it wouldn't impact our R&D. Those are long-term investments we're making and to making sure we have the right products in the market to be competitive over the long term. So I really don't see any impact from that perspective.

我認為這根本不會影響我們的新產品的推出。我們將繼續前進。這樣，我們就可以解決我們的生產能力和運作情況，但這不會影響我們的研發。這些都是我們正在進行的長期投資，以確保我們在市場上擁有合適的產品，從而保持長期競爭力。所以從這個角度來看我確實沒有看到任何影響。

Our next question comes from Trevor Allinson with Wolfe Research.

我們的下一個問題來自 Wolfe Research 的 Trevor Allinson。

Bryan, I had a follow-up question on your comments regarding capital allocation. You mentioned M&A, which is something you guys have not done a lot of historically. Do you think M&A is going to be a bigger part of the capital allocation moving forward, you start to generate more free cash flow here?

布萊恩，我對你關於資本配置的評論有一個後續問題。您提到了併購，這是你們歷史上很少做的事情。您是否認為併購將成為未來資本配置中更重要的一部分，您是否開始在這裡產生更多的自由現金流？

Well, it's been a very low part of our capital allocation. So yes, it's safe to say that there will be opportunities as we look out in the coming years that we'll be looking at.

嗯，這在我們的資本配置中所佔比例非常低。所以是的，可以肯定地說，在未來幾年裡，我們將會發現很多機會。

Okay. Makes sense. And then second question would be related and a question on CapEx. Through the majority of the build-out of Little Rock. How should we think about CapEx stepping down next year versus where's that this year?

好的。有道理。第二個問題與資本支出有關。通過小石城的大部分建設。我們該如何看待明年資本支出的下降以及今年的資本支出是多少？

Yes. So we're guiding roughly 1% of our net sales is roughly what we think the ongoing capital requirements will be going forward. So it would be like $50 million to $60 million a year. Sorry, yes, it's 50 to 60 -- sorry, $50 million to $60 million on an annual basis.

是的。因此，我們預期淨銷售額的約 1% 大致就是我們認為未來持續的資本需求。所以每年大概是 5 到 6000 萬美元。抱歉，是的，是 5000 萬到 6000 萬美元——抱歉，每年 5000 萬到 6000 萬美元。

On a maintenance business perspective. And then any additional cost savings or organic growth opportunities beyond that. So yes, you'll see a considerable step down. And there will be some little rock spending that does carry out into next year. But as we mentioned before, that will -- it will decline considerably.

從維護業務角度來看。除此之外還有任何額外的成本節約或有機成長機會。所以是的，你會看到顯著的下降。並且會有一些小規模的支出持續到明年。但正如我們之前提到的，這個數字將會大幅下降。

Trey Grooms, Stephens.

特雷格魯姆斯、史蒂芬斯。

And I also wanted to say best of luck to Brenda on your next endeavors. I guess, one thing I wanted to touch on was just -- this might be a little bit bigger picture, but you're seeing any demand shifts you're seeing from the Pro versus the DIY channel. You mentioned DIY had been a little bit slower, but you've introduced some new products there, particularly with heat mitigation technology and such. But any shift in the demand trends you're seeing in Pro versus DIY?

我也想祝福布倫達在接下來的努力中一切順利。我想談的一件事是——這可能是一個更大的圖景，但你可以看到從 Pro 頻道到 DIY 頻道的任何需求變化。您提到 DIY 的發展速度有點慢，但您已經推出了一些新產品，特別是散熱技術等。但您看到 Pro 與 DIY 的需求趨勢有什麼改變嗎？

What we are seeing is a very aggressive home center channel, especially in going after the Pro business. So it's serving a little bit different customer to that level of Pro compared to what they've done historically, but I do expect they will continue to be aggressive. And I expect our pro channel customers. They understand what they're going after as well, and they'll rise to meet the occasion from a competitiveness perspective.

我們看到的是一個非常積極的家庭中心管道，特別是在追求專業業務方面。因此，與他們過去的做法相比，它為該級別的 Pro 客戶提供的服務略有不同，但我確實希望他們能繼續積極進取。我期待我們的專業通路客戶。他們也明白自己追求的是什麼，並且會從競爭力的角度迎接挑戰。

Okay. It makes sense. And then on the -- kind of continuing with the new products, clearly, now a much more meaningful part of the business, railing is strong. You guys pointed that out. But any other new products that you could highlight that are driving this?

好的。這是有道理的。然後，繼續推出新產品，顯然，現在欄桿已成為業務中更有意義的部分，而且很強大。你們指出了這一點。但是您能重點介紹一下推動這一趨勢的其他新產品嗎？

Well, we've talked about the new decking products. We have our continued additions within the Lineage product line. Select was just launched in the second quarter of this year, Select Decking. And then, of course, the railing products that have come. So it's been a pretty busy year at this point from a product perspective.

好吧，我們已經討論了新的裝飾產品。我們在 Lineage 產品線中不斷增加新產品。Select 是今年第二季剛推出的，Select Decking。然後，當然還有欄桿產品。因此從產品角度來看，今年是相當忙碌的一年。

team's got some nice things in the pipeline coming down the path here. And stay tuned, we'll talk about them as they hit the market.

團隊正在籌備一些好事。請繼續關注，我們將在它們上市時討論它們。

Phil Ng, Jefferies.

傑富瑞的 Phil Ng。

Appreciate all the great color. Any thoughts, any color on how your demand outlook has shaped up this year, whether it's the high end or the low end of the consumer? And the mid-single-digit price increase, I suspect was not in the guide coming year. So is that a source of upside? Or is it reflecting that demand perhaps a little softer in general?

欣賞所有美麗的色彩。您對於今年的需求前景有何看法，無論是高端消費者還是低端消費者？我懷疑明年的價格指南中不會出現中等個位數的漲幅。那麼，這是否是上漲的來源呢？或者這反映出整體需求可能略有減弱？

Well, we did mention that the second quarter because of the weather was a little softer. So no, we are not taking guidance up with that. So if we see the consumer continue to behave at the levels we expected, there could be some upside to that number.

嗯，我們確實提到過，由於天氣原因，第二季的情況稍微疲軟。所以，不，我們不會採納有關該方面的指導。因此，如果我們看到消費者繼續保持我們預期的水平，那麼這個數字可能會上升。

Okay. But your view is demand hasn't materially changed outside of wet weather and the demand case reasonably.

好的。但您認為，除了潮濕天氣和合理的需求情況外，需求並沒有實質變化。

It's in line with what we expect for the year. That's correct.

這與我們對今年的預期一致。沒錯。

Okay. And then, Bryan, you mentioned M&A more to do things that are interesting out there. Can you expand a little bit in terms of what could be interesting to you? I mean, you've been growing railing on your own organically. So new categories that you're perhaps not in? I mean, your biggest competitor obviously expanded into something different. So just give us a little more color bolt-on new categories of technology on the M&A side that's potentially interesting to you?

好的。然後，布萊恩，您提到併購更多是為了做一些有趣的事情。您能否稍微詳細說明哪些內容對您來說可能很有趣？我的意思是，你一直在自然地發展自己的欄桿。那麼，您可能不屬於哪些新類別呢？我的意思是，你最大的競爭對手顯然已經擴展到了不同的東西。那麼，能否向我們詳細介紹併購方面可能讓您感興趣的新科技類別？

Yes. It could be any of those things. Outdoor living is going to be, of course, the theme that we've always had as an organization. And we'll continue to look for opportunities that can deliver the shareholder returns that our shareholders expect.

是的。這可能是其中任何一種。當然，戶外生活將是我們作為一個組織一直以來的主題。我們將繼續尋找能為股東帶來期望回報的機會。

Okay. Is there any margin threshold that you need because you have a very, very high bar. So that's been an element that's restricted you in the past, but just any thoughts on that front as well.

好的。您是否需要任何保證金門檻，因為您的門檻非常高。所以這是過去限制你的一個因素，但在這方面也有一些想法。

From a margin perspective, we recognize it's very difficult to find organizations that are going to be Trex level gross margin and EBITDA margin. But clearly, there are opportunities to generate considerable shareholder value at something less than that.

從利潤率的角度來看，我們認識到很難找到能夠達到 Trex 水平毛利率和 EBITDA 利潤率的組織。但顯然，有機會以低於這一水平的價格創造可觀的股東價值。

So in a perfect world, I'd love to find everybody who looks just like us. The reality is it's probably something different. But I think the opportunity is because of our ability to reduce costs in organizations, the capabilities, around that, that we could take somebody who may be a little bit lower on the margin side and have considerable improvement once as part of the Trex system.

因此，在一個完美的世界裡，我希望找到所有和我們長得一模一樣的人。但事實可能有所不同。但我認為，機會在於我們有能力降低組織成本，圍繞這一點，我們可以選擇利潤率可能略低的人，一旦加入 Trex 系統，就會有顯著的改善。

Kurt Yinger, D.A. Davidson.

庫爾特·英格、D.A.戴維森。

Great. I think sales in Q1 were up 2% if we took out the prior year load in, plus 3% this quarter. Is that at a high level how we should think about sell-through through the first half? Is that relatively in line at least with the visibility to that element that you guys have?

偉大的。我認為，如果扣除去年同期的銷售額，第一季的銷售額將成長 2%，而本季的銷售額將成長 3%。我們應該從高層次考慮上半年的銷售情況嗎？這是否至少與你們對該元素的可見度相對一致？

Yes, low to mid-single digit.

是的，低到中等個位數。

Okay. And then on the Enhance profile change, I know you called out that you'll be moving past some of the expenses around reengineering that if I understand correctly, there's also going to be a material added relative to what the previous profile was. Is there a way to think about the lasting go-forward impact of that? Or is it something we should be aware of?

好的。然後，關於增強配置文件的更改，我知道您說過，您將會轉移一些與重新設計相關的費用，如果我理解正確的話，還會添加一些相對於以前的配置文件的材料。有沒有辦法考慮這種現象的持久影響？或者這是我們應該意識到的事情？

No, I wouldn't say it's material enough that it's anything to be concerned about.

不，我不認為這有多重要以至於需要擔心。

Matthew Bouley, Barclays.

巴克萊銀行的馬修·布萊（Matthew Bouley）。

I wanted to ask about the retail channel. You've had some I guess, competitive capacity investments out there and other folks talking about trying to push harder into that channel. You just speak a little bit about your own medium- to longer-term positioning in retail? And how do you effectively defend your leading position in that channel?

我想詢問一下零售通路。我想，你們已經進行了一些有競爭力的產能投資，其他人也在談論試圖更加努力地進入該管道。您剛才稍微談了一下自己在零售業的中長期定位？您如何有效地捍衛自己在該管道的領先地位？

Well, I think first and foremost, it's about sales. And we have a material amount of sales at both of the home centers. We also have long-lasting relationships with the home centers. They know what Trex is going to do for them. We understand what their strategies are, recognizing the strategy between the two players may be different.

嗯，我認為首先，這與銷售有關。我們在這兩家家居中心都有大量的銷售。我們也與家居中心保持著長期的合作關係。他們知道 Trex 會為他們做什麼。我們了解他們的策略，也認識到兩個玩家之間的策略可能不同。

From time to time, we fully respect that, and we work with those management teams. And it's been an important part of our growth as we go forward. as is the Pro channel. Great relationships in the Pro channel. We understand what makes them tick and how Trex needs to provide them services in a differentiated manner than we do the home center so that everybody can grow effectively.

有時，我們會充分尊重這一點，並與這些管理團隊合作。這是我們未來成長的重要組成部分，Pro 頻道也是如此。Pro 頻道中的關係很好。我們了解是什麼讓他們如此努力，以及 Trex 需要如何以不同於家庭中心的方式為他們提供服務，以便每個人都能有效地成長。

Okay. Got it. And then secondly, maybe not to throw too many numbers out there, but if I'm taking that EBITDA margin guide of 32% and then 31% in the second half. And then if I'm taking the, I guess, the gross margin from the press release, where you talked about the 100 basis points in Q3, which I guess would be 42.5%. and then your overall SG&A guide for the full year.

好的。知道了。其次，也許我不想給出太多的數字，但如果我採用 32% 的 EBITDA 利潤率指導，那麼下半年的 EBITDA 利潤率將達到 31%。然後，如果我按照新聞稿中的毛利率計算，您談到了第三季的 100 個基點，我猜應該是 42.5%。然後是全年的整體銷售、一般和行政費用指南。

I think there's enough puzzle pieces, but it would seem to suggest that the gross margin would actually be higher in the fourth quarter relative to the third quarter. So I just really wanted to double-click on that and make sure we're getting that Q3 and Q4 gross margin right. Or was the expectation that Q3 would actually be the peak gross margin for the year?

我認為謎題已經足夠多了，但這似乎表明第四季度的毛利率實際上會比第三季更高。所以我真的想雙擊它並確保我們獲得正確的第三季和第四季的毛利率。或者是否預期第三季實際上會是今年毛利率的峰值？

Q3 will be the peak gross margin for the year, and then Q4, you will see come down.

第三季將是今年毛利率的峰值，然後第四季就會下降。

Okay. And then everything else we can fit in the puzzle.

好的。然後我們就可以把其他東西都放入拼圖中。

Exactly. The SG&A, we typically spend more in Q3, and then you start to see that also come down in Q4. So that's another area where you'll see some improvement from a margin perspective.

確切地。我們通常在第三季的銷售、一般和行政費用 (SG&A) 支出較多，然後你會看到第四季度這數字也會下降。因此，從利潤率的角度來看，這是另一個會看到一些改善的領域。

Steven Ramsey, Thompson Research Group.

史蒂文·拉姆齊，湯普森研究小組。

I wanted to clarify the new products being 22% of both trailing 12-month and Q2 only sales, make sure I'm getting that data point? Secondly, on that, it looks like new products had tremendous growth year-over-year and maybe implies that non-new products, older products did not do as well. Maybe you can parse out those two things in the cannibalization rate that's within that aside from new products expand in the market.

我想澄清一下，新產品佔過去 12 個月和第二季銷售額的 22%，請確保我獲得了該數據點？其次，從這一點來看，新產品似乎比去年同期成長巨大，這可能意味著非新產品、舊產品的表現並不那麼好。也許你可以在市場蠶食率中分析出除了新產品擴張之外的這兩件事。

Yes, I think it's important to recognize, in many cases, new products, especially on decking, we're making sure that we're staying up with a styling trends as well as adding new features like heat mitigating technology for our consumers. So it's fully expected that you would see some fall off in some of those older product lines as compared to the new ones that we're launching as a replacement.

是的，我認為重要的是要認識到，在許多情況下，新產品，特別是甲板產品，我們要確保緊跟造型趨勢，並為消費者添加諸如散熱技術之類的新功能。因此，與我們為替代產品而推出的新產品相比，一些舊產品線的銷售下降是完全可以預料的。

Okay. Helpful. And then directionally, with new products being such a heavy load in 2025. I'm not sure how it relates to '26, but do you expect to leverage SG&A in 2026 on a full year basis, given those factors?

好的。很有幫助。然後從方向來看，2025 年的新產品負擔非常重。我不確定它與 26 年有何關係，但考慮到這些因素，您是否預計 2026 年全年銷售、一般及行政費用將佔比最大？

Too early to say. There's a lot of competitive dynamics in the marketplace at this point. And we'll provide additional color on that as we get closer to the 2026 time frame.

現在說還太早。目前市場上競爭十分激烈。隨著 2026 年時間框架的臨近，我們將提供更多詳細資訊。

This concludes our question-and-answer session. I would like to turn the conference back over to Bryan Fairbanks for any closing remarks.

我們的問答環節到此結束。我想將會議交還給布萊恩費爾班克斯 (Bryan Fairbanks) 來做結束語。

Thank you for everybody's questions today, and we look forward to interacting with many of you in the coming weeks. Good evening.

感謝大家今天提出的問題，我們期待在接下來的幾週內與大家互動。晚安.

The conference has now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。