UL Solutions Inc (ULS) 2024 Q3 法說會逐字稿

Hello and welcome to the UL Solutions third quarter, 2024 earnings conference call.

您好，歡迎參加 UL 解決方案 2024 年第三季財報電話會議。

Currently all participants are in a listen-only mode, a question and answer session will follow the formal presentation.

目前所有參與者都處於僅聽模式，正式演示之後將進行問答環節。

If anyone should require operator assistance during the conference, you may press star then zero on your telephone keypad as a reminder, this conference is being recorded.

如果有人在會議期間需要操作員協助，您可以按下電話鍵盤上的星號然後按零作為提醒，本次會議正在錄音。

I would now like to turn the call over to your host, Mr Kevin Arns, Associate General Counsel at UL Solutions.

現在我想將電話轉給主持人 UL Solutions 副總法律顧問 Kevin Arns 先生。

Thank you.

謝謝。

You may begin Mr Arns.

你可以開始了，阿恩斯先生。

Thank you.

謝謝。

Welcome everyone to our third quarter, 2024 earnings call.

歡迎大家參加我們的 2024 年第三季財報電話會議。

I am filling in for Mitchell Ji this quarter who is on family leave.

本季我將接替正在休家庭假的米切爾‧吉 (Mitchell Ji)。

Joining me today are Jennifer F. Scanlon, our Chief Executive Officer and Ryan D. Robinson, our Chief Financial Officer.

今天與我一起出席的有我們的執行長 Jennifer F. Scanlon 和我們的財務長 Ryan D. Robinson。

During our discussion today, we will be referring to our earnings presentation which is available on the investor relations section of our website at ul.com. Our earnings release is also available on the website.

在今天的討論中，我們將參考我們的收益報告，該報告可在我們網站 ul.com 的投資者關係部分找到。我們的收益發布也可以在網站上找到。

I would like to remind everyone that on today's call, we may discuss forward-looking statements within the meaning of the safe harbor provisions of the private securities litigation reform Act of 1995.

我想提醒大家，在今天的電話會議上，我們可能會討論 1995 年私人證券訴訟改革法案安全港條款含義內的前瞻性陳述。

These forward-looking statements may include among other things, statements about UL solutions results of operations and estimates and prospects that involve substantial risk, uncertainty and other factors that could cause actual results to differ in a material way from those expressed or implied in the forward-looking statements.

這些前瞻性陳述可能包括有關UL 解決方案的營運結果、估計和前景的陳述，其中涉及重大風險、不確定性和其他因素，這些因素可能導致實際結果與前瞻性陳述中明示或暗示的結果有重大差異看起來的陳述。

Please see the disclosure statement on slide 2 of the earnings presentation as well as the disclaimers in our earnings release concerning forward-looking statements and the risk factors that are described in our quarterly report on Form 10-Q for the quarter ended March 31, 2024.

請參閱收益簡報投影片 2 上的揭露聲明以及收益發布中有關前瞻性聲明的免責聲明以及截至 2024 年 3 月 31 日的季度 10-Q 表格季度報告中所述的風險因素。

We assume no obligation to update any forward-looking statements to reflect events or circumstances after the date hereof, except as required by law.

我們不承擔更新任何前瞻性陳述以反映本協議日期之後發生的事件或情況的義務，除非法律要求。

Today's presentation also includes references to non-GAAP financial measures, a reconciliation to the most comparable GAAP financial measure can be found in the appendix to the earnings presentation.

今天的簡報也引用了非公認會計準則財務指標，與最具可比性的公認會計準則財務指標的調節可以在收益簡報的附錄中找到。

With that.

就這樣。

I would now like to turn the call over to Jenny.

我現在想把電話轉給珍妮。

Good morning, everyone and thanks for joining us.

大家早安，感謝您加入我們。

I'm very pleased to say that our strong performance in the first half of 2024 extended into Q3 with robust growth including higher revenue, improved, adjusted EBITDA margins and solid cash flow.

我很高興地說，我們在 2024 年上半年的強勁業績延續到了第三季度，成長強勁，包括營收增加、調整後的 EBITDA 利潤率改善和穩定的現金流。

These results showcase ongoing strength in our core business and our strategic focus on key mega trends that we anticipate will drive long term demand for our industry leading services.

這些結果顯示了我們核心業務的持續實力以及我們對關鍵大趨勢的策略重點，我們預計這些趨勢將推動對我們行業領先服務的長期需求。

I'll cover three main topics before turning it over to Ryan first.

在首先將其交給 Ryan 之前，我將討論三個主要主題。

I'll highlight our strong Q3 performance.

我將重點介紹我們第三季的強勁表現。

Second, notable growth achievements and customer activities and finally, our financial position and capital allocation strategies.

其次，顯著的成長成就和客戶活動，最後是我們的財務狀況和資本配置策略。

Our strong third quarter results are due to overall healthy demand for our services and focused execution by our entire team.

我們第三季的強勁業績得益於對我們服務的整體健康需求以及我們整個團隊的專注執行。

I'm deeply appreciative of our employees whose dedication has been crucial to our success.

我非常感謝我們的員工，他們的奉獻對我們的成功至關重要。

Their unwavering commitment to safety, scientific excellence and a customer centric approach not only defines our culture but also propels our business Q3 revenue reached $731 million reflecting 8.1% overall growth with organic growth of 9.3%.

他們對安全、卓越科學和以客戶為中心的方法的堅定承諾不僅定義了我們的文化，而且推動我們第三季度的業務收入達到 7.31 億美元，整體增長 8.1%，有機增長 9.3%。

Our industrial and consumer segments showed notable strength growing by 11.7% and 9.2% respectively on an organic basis.

我們的工業和消費領域表現出顯著的實力，有機成長分別為 11.7% 和 9.2%。

While our software and advisory segment underperformed our expectations.

雖然我們的軟體和諮詢部門的表現低於我們的預期。

Our results reflected growth across all geographic regions adjusted EBITDA for the third quarter grew 12.3% and adjusted EBITDA margin expanded by 90 basis points.

我們的業績反映了所有地理區域的成長，第三季調整後 EBITDA 成長了 12.3%，調整後 EBITDA 利潤率擴大了 90 個基點。

Our hard work resulted in a 6.1% increase in adjusted net income, and we generated $215 million of free cash flow year-to-date.

我們的努力使調整後淨利潤增加了 6.1%，今年迄今我們創造了 2.15 億美元的自由現金流。

Next.

下一個。

Let me highlight a few key achievements and drivers of performance this quarter and subsequent to its end in August, we opened our cutting edge large scale battery testing lab in Auburn Hills, Michigan.

讓我重點介紹本季的一些關鍵成就和業績驅動因素，並在 8 月結束後，我們在密西根州奧本山開設了最先進的大型電池測試實驗室。

This facility, our largest laboratory investment to date is one of the most comprehensive electric and hybrid vehicle and industrial battery testing centers in the country.

該設施是我們迄今為止最大的實驗室投資，也是全國最全面的電動和混合動力汽車及工業電池測試中心之一。

It began operations with a strong backlog of industrial battery testing projects.

它開始運作時有大量積壓的工業電池測試項目。

As I mentioned on our last earnings call battery testing for UL SOLUTIONS covers a wide array of energy storage systems that goes well beyond EV and hybrid automotive batteries.

正如我在上次財報電話會議上提到的，UL 解決方案的電池測試涵蓋了廣泛的儲能係統，遠遠超出了電動車和混合動力汽車電池的範圍。

The energy transition covers a multitude of energy transfer and storage needs from small consumer to large scale industrial batteries used to power heavy equipment.

能源轉型涵蓋了從小型消費者到用於為重型設備供電的大型工業電池的多種能源傳輸和儲存需求。

We recently hosted a customer event in Auburn Hills and also had a large presence at the battery show, generating overwhelming interest from automotive and industrial customers.

我們最近在奧本山舉辦了一次客戶活動，並在電池展上大量亮相，引起了汽車和工業客戶的極大興趣。

The battery show is the largest North American trade show in conference focused on advanced battery technology and electric and hybrid vehicle drive trains.

該電池展是北美最大的會議貿易展，重點關注先進電池技術以及電動和混合動力汽車傳動系統。

Activity at the state of the art lab continues to increase and we anticipate it will contribute to our growth from 2025 onwards in our consumer space.

最先進的實驗室的活動不斷增加，我們預計它將有助於我們從 2025 年起在消費領域的成長。

We continue to be pleased with the ways our mission comes to life.

我們仍然對實現我們使命的方式感到滿意。

Our mission matters.

我們的使命很重要。

We've done a lot of work around lithium ion battery safety in the past couple of years and have demonstrated progress.

過去幾年，我們圍繞鋰離子電池安全做了很多工作，並取得了進展。

For example, the city of New York has banned the sale and rental of e-mobility devices that have not been certified for safety, which of course is what we do.

例如，紐約市禁止銷售和租賃未經安全認證的電動車設備，這當然是我們所做的。

Recent published reports about New York City indicate there has been a significant reduction in both deaths and injuries due to lithium ion battery fires as compared to the same period in 2023.

最近發布的有關紐約市的報告表明，與 2023 年同期相比，鋰離子電池火災造成的死亡和受傷人數都大幅減少。

In fact, the city's fire commissioner said that while lithium battery fires remain a threat, he saw progress in fighting that threat and working towards zero deaths.

事實上，該市消防專員表示，雖然鋰電池火災仍然是一個威脅，但他看到了在應對這項威脅和努力實現零死亡方面取得的進展。

Our work and safety based solutions are key to this effort and we are proud of our impact.

我們基於工作和安全的解決方案是這項努力的關鍵，我們為我們的影響感到自豪。

Now, let me comment on our capital allocation activities, our hard work and resilient business model backed by an investment grade balance sheet allow us to generate robust cash flow.

現在，讓我評論一下我們的資本配置活動，我們的辛勤工作和由投資等級資產負債表支持的彈性業務模式使我們能夠產生強勁的現金流。

We continue to take a disciplined approach to capital allocation key actions this quarter included completing the acquisition of Test net and anchor of our future hydrogen strategy and returning value to shareholders through our regular quarterly dividend of $0.125 per share paid in September.

我們繼續採取嚴格的資本配置方法，本季的關鍵行動包括完成對 Test net 的收購，並成為我們未來氫策略的支柱，並透過 9 月支付的每股 0.125 美元的定期季度股息為股東回報價值。

Additionally, we successfully completed a follow on offering of 23 million shares including a fully exercised green shoe on behalf of standards and engagement.

此外，我們還成功完成了 2,300 萬股股票的後續發行，其中包括代表標準和參與度的全面行使的綠鞋。

Significantly increasing our public float.

顯著增加我們的公眾持股。

We are committed to maintaining a strong balance sheet with conservative leverage and investment grade ratings and we expect to continue to return excess capital to shareholders over time.

我們致力於透過保守的槓桿率和投資等級評級來維持強勁的資產負債表，並預計隨著時間的推移，將繼續向股東返還多餘的資本。

Now let me turn the call over to Ryan who will provide greater detail on our results and our outlook.

現在讓我將電話轉給瑞安，他將提供有關我們的結果和前景的更多詳細資訊。

Thank you, Jenny and hello everyone.

謝謝你，珍妮，大家好。

I also want to thank all of our team members for delivering another strong quarter.

我還要感謝我們所有的團隊成員，他們再次實現了強勁的季度業績。

I'll first provide more detail on our financial results.

我將首先提供有關我們財務業績的更多詳細資訊。

Then I'll discuss our, then we'll discuss our segment performance before closing with some comments on our full year outlook.

然後我將討論我們的部門業績，然後在結束之前對我們的全年展望發表一些評論。

We are proud to report in our third quarter on a consolidated basis, a continuation of strong growth, a just but down margin expansion and solid cash generation.

我們很自豪地在第三季的綜合報告中報告，強勁的成長持續，利潤率擴張略有下降，現金產生穩健。

As Jenny mentioned, it's encouraging to see that revenue growth once again occurred across all of our segments and all of our geographies.

正如珍妮所提到的，令人鼓舞的是我們所有部門和所有地區的收入再次出現成長。

Now let me dive into the details of the quarter.

現在讓我深入了解本季的細節。

Consolidated revenues of $731 million were up 8.1% over the prior year quarter including organic growth of 9.3%.

綜合營收為 7.31 億美元，比去年同期成長 8.1%，其中有機成長 9.3%。

The increase reflected particular strength in the industrial segment which delivered 11.7% organic growth in the consumer segment which delivered 9.2% organic growth gross margin was essentially stable as compared to the prior year with higher revenue offset by increased compensation expense on flat headcount including the company's annual cash bonus plan and some salary increases, SG&A expenses increased 10.7% compared to the prior year period.

這一增長反映了工業領域的特殊實力，該領域實現了11.7% 的有機增長；消費領域實現了9.2% 的有機增長；與上一年相比，毛利率基本穩定，收入的增加被扁平員工（包括公司員工）補償費用的增加所抵銷。

Over half of the increase was related to stock based compensation.

超過一半的成長與股票薪酬有關。

Specifically, our cash settled appreciation rights or CSRS which were part of our pre-IPO long term incentive plan.

具體來說，我們的現金結算增值權或CSRS是我們IPO前長期激勵計畫的一部分。

Last year.

去年。

In the third quarter, we reduced our estimates of future performance which resulted in a benefit to our expenses.

在第三季度，我們降低了對未來業績的預期，這對我們的支出帶來了好處。

While this year our stronger performance resulted in some catch up expense recognition across all of our segments adjusted EBITDA for the quarter was $183 million.

今年，我們強勁的業績導致我們所有部門的費用確認有所回升，本季調整後的 EBITDA 為 1.83 億美元。

An improvement of 12.3% year over year adjusted margin was 25.0%.

調整後利潤率為 25.0%，年增 12.3%。

Up 90 basis points from the same period a year ago, on particular strength in both industrial and consumer segments which more than offset a modest decline in software and advisory adjusted net income for the third quarter was $104 million.

較去年同期成長 90 個基點，工業和消費領域的特別強勁，抵消了軟體和諮詢調整後第三季淨收入小幅下降的影響，為 1.04 億美元。

Up 6.1% from $98 million in the third quarter of 2023 adjusted diluted earnings per share was $0.49 per share up from $.0.47 in the third quarter of 2023.

較 2023 年第三季的 9,800 萬美元成長 6.1%，調整後稀釋每股收益為 0.49 美元，較 2023 年第三季的 0.0.47 美元增加。

Now let me turn to our performance by segment, starting with industrial, the mega trends of energy transition, the electrification of everything in industrial automation are driving tremendous innovation and demand for our services.

現在讓我談談我們按細分市場劃分的業績，從工業開始，能源轉型的大趨勢、工業自動化的一切電氣化正在推動巨大的創新和對我們服務的需求。

These factors help the industrial segment deliver the strongest revenue growth of the three segments for the quarter revenues in industrial rose 9.3% to $317 million or 11.7% on an organic basis.

這些因素幫助工業部門實現了三個部門中最強勁的收入成長，本季工業收入成長了 9.3%，達到 3.17 億美元，有機成長 11.7%。

As compared to the third quarter of 2023.

與 2023 年第三季相比。

Those impressive gains were driven by robust demand for our ongoing certification services across most industries and also associated price increases.

這些令人印象深刻的收益是由大多數行業對我們持續的認證服務的強勁需求以及相關的價格上漲所推動的。

Industrial and battery certification demand remains robust, in recent capacity contributions are contributing as expected.

工業和電池認證需求依然強勁，近期產能貢獻符合預期。

And as Jenny mentioned, we recently had an exciting customer event at our recently opened Auburn Hills, Michigan lab adjusted EBITDA for the industrial segment increased 10.4% to $106 million in the quarter.

正如 Jenny 所提到的，我們最近在最近開幕的密西根州奧本山實驗室舉辦了一場令人興奮的客戶活動，本季工業部門調整後的 EBITDA 成長了 10.4%，達到 1.06 億美元。

While adjusted EBITDA margin improved 30 basis points to 33.4%.

調整後的 EBITDA 利潤率提高了 30 個基點，達到 33.4%。

The higher organic revenue was partially offset by increases in performance based compensation including the comparison to last year's CSAR expense.

較高的有機收入被基於績效的薪酬增加（包括與去年的 CSAR 費用相比）部分抵消。

Now turning to the consumer segment revenues in consumer were $321 million.

現在轉向消費者細分市場，消費者收入為 3.21 億美元。

Up 8.8% from the 2023 quarter or 9.2% on an organic basis.

較 2023 年季度增長 8.8%，有機增長 9.2%。

The improvement was driven by strong demand across all four of our service lines.

這項改進是由我們所有四個服務線的強勁需求所推動的。

Demand for higher electromagnetic compatibility or EMC testing for automotive and consumer electronics.

汽車和消費性電子產品對更高電磁相容性或 EMC 測試的需求。

We are where we are a market leader remains strong.

我們在市場中的領導地位依然強勁。

We also benefited from capacity additions we have made in the last year in the areas of consumer technology HV AC and retail revenue in the quarter also benefited from a surge in demand for some technology, product testing adjusted EBITDA for the quarter in consumer was $62 million.

我們也受惠於去年在消費科技 HV AC 領域增加的產能，本季的零售收入也受惠於對某些技術的需求激增，該季度消費產品測試調整後的 EBITDA 為 6,200 萬美元。

An increase of 24.0% versus the third quarter of last year adjusted EBITDA margin for the quarter was 19.3%.

與去年第三季相比成長了 24.0%，本季調整後 EBITDA 利潤率為 19.3%。

An increase of 240 basis points year over year driven by higher revenues.

由於收入增加，年增 240 個基點。

Strong organic revenue growth was partially offset by performance based compensation and the prior year cease our benefits.

強勁的有機收入成長被基於績效的薪酬和上一年停止的福利部分抵消。

We are adding capacity at various consumer facilities, increasing our footprint and improving how we connect with our customers in order to meet increased sustainability related testing demand.

我們正在增加各種消費者設施的容量，擴大我們的足跡，並改善我們與客戶的聯繫方式，以滿足不斷增長的可持續性相關測試需求。

Our third segment is software and advisory revenues for that segment were $93 million an increase of 2.2% year over year on both a total and organic basis.

我們的第三個部門是軟體和諮詢收入，該部門的總收入和有機收入年增 2.2%，為 9,300 萬美元。

The improvement was driven by reduced churn and higher demand for software, particularly for retail product compliance and sustainability solutions, which was more than offset by a modest decline in advisory.

這項改善是由於客戶流失減少和對軟體的需求增加，特別是零售產品合規性和永續發展解決方案的需求增加，而諮詢業務的小幅下降抵消了這一影響。

As Jenny mentioned earlier, these results in software and advisory were below our expectations adjusted EBITDA for the in the quarter for software and advisory was $15 million.

正如 Jenny 之前提到的，軟體和諮詢方面的這些結果低於我們的預期，本季軟體和諮詢的調整後 EBITDA 為 1500 萬美元。

A $2 million or 11.8% decrease as compared to the third quarter, last year adjusted EBITDA margin for the quarter was 16.1%.

與第三季相比減少了 200 萬美元，即 11.8%，去年該季度調整後的 EBITDA 利潤率為 16.1%。

A decrease of 260 basis points year over year as higher revenues were more than offset by increases in both direct and company wide performance based compensation.

年比下降 260 個基點，因為收入的增加被直接薪酬和全公司績效薪酬的成長所抵消。

Turning to our cash generation in the first nine months of 2024 we generated $394 million of cash from operating activities compared to $341 million.

談到我們的現金產生，2024 年前 9 個月，我們從經營活動中產生了 3.94 億美元的現金，而去年同期為 3.41 億美元。

In the same period last year, the improvement was driven by business performance and lower cash incentive payments.

去年同期，業績改善和現金獎勵支出減少推動了這一成長。

Capital expenditures for the first nine months of 2024 were $179 million compared to $156 million.

2024 年前 9 個月的資本支出為 1.79 億美元，去年同期為 1.56 億美元。

In the year ago period, we continue to make important investments in energy transition opportunities.

去年期間，我們持續對能源轉型機會進行重要投資。

A focused growth area for UL Solutions free cash flow for the first nine months of 2024 was $215 million compared to $185 million.

2024 年前 9 個月，UL 解決方案自由現金流的重點成長領域為 2.15 億美元，去年同期為 1.85 億美元。

In the same period of 2023 we finished the quarter with $327 million of cash and total debt of $802 million.

2023 年同期，本季結束時，我們的現金為 3.27 億美元，債務總額為 8.02 億美元。

The strength of our balance sheet is reflected in our investment grade credit ratings.

我們的資產負債表實力反映在我們的投資等級信用評級。

A robust balance sheet and cash flow generation give us great flexibility to invest in organic initiatives, a creed of acquisitions and to pursue a number of value enhancing ways to produce best in class shareholder returns this year.

穩健的資產負債表和現金流生成為我們提供了極大的靈活性，可以投資於有機舉措、收購信條，並尋求多種價值提升方式，以在今年創造一流的股東回報。

You have seen examples of this in new labs.

您已經在新實驗室中看到了這樣的例子。

We have opened like Auburn Hills and the Arkansas Retail Center of Excellence as well as acquisitions like Test net and battery and Genor.

我們開設了奧本山 (Auburn Hills) 和阿肯色州卓越零售中心，並收購了 Test net、battery 和 Genor 等公司。

Now turning to the full year outlook given our strong year-to-date results and visibility into our business and end markets.

鑑於我們年初至今的強勁業績以及對業務和終端市場的了解，現在轉向全年展望。

We now expect full year constant currency organic revenue growth to be in the mid to high single digit range demand remains robust from our key mega trends, particularly the electrification of everything, energy transition, digitalization and sustainability.

我們現在預計全年固定貨幣有機收入成長將在中高個位數範圍內，我們的主要大趨勢，特別是一切電氣化、能源轉型、數位化和永續性，需求仍然強勁。

We expect to drive adjusted EBITDA margin improvement for the full year 2024 and beyond.

我們預計將推動 2024 年全年及以後調整後 EBITDA 利潤率的改善。

Through a combination of key focus areas for the company.

透過公司關鍵重點領域的組合。

First is delivering top line organic growth.

首先是實現營收有機成長。

Second is the expected mix benefit driven by our industrial segment, which is both our fastest growing and our highest margin segment.

其次是我們的工業部門推動的預期混合效益，該部門既是我們成長最快也是利潤率最高的部門。

Third is increasing productivity and fourth is strategic accretive M&A based on our full year outlook, we're excited for a set up for a strong finish to our year end.

第三是提高生產力，第四是基於我們全年展望的策略性增值併購，我們很高興為年底的強勁收官做好準備。

I'll provide some additional context on the fourth quarter, we expect Q4 constant currency organic revenue growth in the mid to high, single digit range in line with our full year outlook.

我將提供有關第四季度的一些額外背景信息，我們預計第四季度固定匯率有機收入增長將在中高個位數範圍內，這與我們的全年展望一致。

Importantly, this growth moderates from the Q3 pace primarily attributable to two factors.

重要的是，這一成長速度較第三季放緩主要歸因於兩個因素。

First, as I said earlier in Q3 of this year, consumers saw a surge in demand that may see a deceleration in Q4.

首先，正如我在今年第三季早些時候所說，消費者看到需求激增，但第四季可能會減速。

Furthermore, in 2023 Q4 was our strongest quarter of growth and presents tougher comparisons, year-to-date.

此外，2023 年第四季是我們成長最強勁的季度，與年初至今的比較更加嚴格。

We have expanded adjusted EBITDA margins by 130 basis points year over year in the fourth quarter, we expect adjusted EBITDA margin to expand at an even faster pace compared to the fourth quarter of 2023.

我們在第四季度調整後 EBITDA 利潤率比去年同期擴大了 130 個基點，我們預計調整後 EBITDA 利潤率的擴張速度將比 2023 年第四季更快。

We expect this improvement in margin to be driven by higher revenue and to be largely offset by elevated expenses to support growth namely in the categories of outsource fulfillment costs and professional services.

我們預期利潤率的改善將由收入增加所推動，並在很大程度上被支持成長的支出增加所抵消，即外包履行成本和專業服務類別。

Performance based compensation will also affect the degree of profit flow through on incremental revenue in the final quarter.

基於績效的薪酬也將影響最後一個季度增量收入的利潤流轉程度。

Of annual and multiple year plans.

年度和多年計劃。

We now expect capital expenditures to be approximately 8% to 8.5% of revenue in 24 based on our outlays of spending year-to-date and investments in new labs as we seek to match strong customer demand in both our industrial and consumer segments.

根據我們今年迄今的支出和新實驗室的投資，我們預計 24 年資本支出將佔收入的 8% 至 8.5% 左右，因為我們力求滿足工業和消費領域強勁的客戶需求。

In summary, I'm proud of the outstanding results we delivered in the third quarter and year-to-date 2024 we are growing our business faster than the market, gaining share, improving profitability and enhancing our already strong cash generating profile all with an investment grade rating as a foundation.

總而言之，我對我們在第三季度和2024 年迄今取得的出色業績感到自豪，我們的業務增長速度快於市場，贏得了份額，提高了盈利能力，並增強了我們本已強勁的現金產生能力，所有這些都透過投資等級評級作為基礎。

This allows us to be active yet selective in deployment of our capital.

這使我們能夠積極而有選擇性地部署我們的資本。

Our aspiration is to be our customers most trusted science based safety, security and sustainability partner as we look to create and deliver outsized shareholder value.

我們的願望是成為客戶最值得信賴的基於科學的安全、保障和永續發展合作夥伴，因為我們希望創造和提供巨大的股東價值。

Now let me turn the call back to Jenny for her closing remarks.

現在讓我把電話轉回給珍妮，讓她發表結束語。

Thanks Ryan.

謝謝瑞安。

Our team's outstanding performance in Q3.

我們團隊在第三季的出色表現。

Built on the momentum of our April IPO delivering robust revenue growth and improved margins.

建立在我們四月份首次公開募股的勢頭之上，實現了強勁的收入成長和利潤率的提高。

This positions us for strong full year results in our debut as a public company and lays the foundation for future success as I mentioned last quarter, occasionally we will highlight for you some important and high profile work we do as a leading expert in safety science as you know, solutions has decades of experience testing batteries including lithium ion batteries that are a large part of the energy transition.

這使我們在作為上市公司首次亮相時取得了強勁的全年業績，並為未來的成功奠定了基礎，正如我上個季度提到的那樣，我們偶爾會向您重點介紹我們作為安全科學領域的領先專家所做的一些重要且引人注目的工作，例如您知道，解決方案擁有數十年的電池測試經驗，包括鋰離子電池，鋰離子電池是能源轉型的重要組成部分。

As this transition accelerates engineers and scientists from UL Solutions regularly work with local state and federal governments to help them understand issues related to the increased market penetration of lithium ion batteries and large scale energy storage.

隨著這一轉變的加速，UL Solutions 的工程師和科學家定期與當地州和聯邦政府合作，幫助他們了解與鋰離子電池和大規模儲能市場滲透率提高相關的問題。

Over the past year, this engagement has increased to include several prominent organizations in Asia in a series of workshops, often in partnership with UL standards and engagement.

在過去的一年裡，這種參與有所增加，包括亞洲的幾個著名組織參加了一系列研討會，通常與 UL 標準和參與合作。

The R&D team from UL Solutions has conducted training and presented the results of battery safety testing and research to standards organizations, government organizations and first responders in a variety of countries including Taiwan, Vietnam, Philippines and Singapore.

UL Solutions 的研發團隊已向台灣、越南、菲律賓和新加坡等多個國家的標準組織、政府組織和急救人員進行培訓並向其展示電池安全測試和研究結果。

This year U Solutions battery R&D team has worked with the Republic of Singapore Air Force USA and the Taiwan National Fire Agency to conduct technical training including failure analysis, case studies, demonstrations of different battery safety tests and classroom instruction on advances in battery technology and safety features.

今年U Solutions電池研發團隊與美國新加坡空軍和台灣消防局合作進行技術培訓，包括故障分析、案例研究、不同電池安全測試演示以及電池技術和安全進展的課堂教學特徵。

So with that, I will conclude by underscoring that as an industry leader, we focus on product markets that are driven by long term mega trends aligned with our unique offerings.

因此，我最後要強調，身為產業領導者，我們專注於由與我們獨特產品一致的長期大趨勢所驅動的產品市場。

Our strategic execution and targeted acquisitions are helping us gain market share in the growing safety compliance and sustainability sectors.

我們的策略執行和有針對性的收購正在幫助我們在不斷增長的安全合規和永續發展領域獲得市場份額。

With our investment grade balance sheet and strong cash flow.

憑藉我們的投資等級資產負債表和強勁的現金流。

We're well positioned to deliver exceptional long term value to all stakeholders.

我們有能力為所有利害關係人提供卓越的長期價值。

UL Solutions is poised to capitalize on our strong market entry and we're enthusiastic about the opportunities that lie ahead operator.

UL 解決方案已準備好利用我們強大的市場進入優勢，並且我們對營運商面臨的機會充滿熱情。

Let's please open the call for questions.

讓我們打開提問電話。

Thank you.

謝謝。

We will now conduct a question-and-answer session.

我們現在將進行問答環節。

If you would like to ask a question, please press star one on your telephone keypad.

如果您想提問，請按電話鍵盤上的星號一。

A confirmation tone will indicate your line is in the question queue.

確認音將表示您的線路已在問題佇列中。

You may press star to remove yourself from the queue for participants using speaker equipment.

您可以按星號將自己從使用揚聲器裝置的參與者群組中刪除。

It may be necessary to pick up your handset before pressing the star keys.

按星號鍵之前可能需要拿起聽筒。

Once again, that's star one at this time, one moment while we post our first question, our first question comes from Andrew Nicholas with William Blair.

再次，這是此時的明星，當我們發布第一個問題時，我們的第一個問題來自安德魯·尼古拉斯和威廉·布萊爾。

Please proceed.

請繼續。

Hi, good morning.

嗨，早安。

Thank you for taking my questions.

感謝您回答我的問題。

I wanted to start by maybe digging in a little bit more to the consumer business, a really, strong growth quarter.

我想先深入研究消費者業務，這是一個真正強勁成長的季度。

So, I guess a two-part question first, if you could maybe just spend a little bit more time talking about general sentiment amongst kind of customers there, what you're seeing in terms of product velocity.

因此，我想首先有一個由兩部分組成的問題，您是否可以花更多時間談論那裡的各類客戶的普遍情緒，以及您在產品速度方面看到的情況。

And then also if there's any way to dive a little bit more into the surge in demand that you saw for technology, product testing, it sounds like that's something that could potentially decelerate in the fourth quarter.

此外，如果有任何方法可以進一步滿足您所看到的技術、產品測試需求的激增，那麼聽起來這可能會在第四季度放緩。

I don't, I don't know if there's a way to quantify that or at least just explain exactly what it was that happened in the third quarter.

我不知道，我不知道是否有辦法量化這一點，或至少要準確地解釋第三季發生的情況。

But both, both of those would be helpful to understand.

但兩者都有助於理解。

Yeah.

是的。

So we thank you for mentioning that Andrew, we're pleased with the performance across consumer increases both in revenue and in adjusted even the margin performance.

因此，我們感謝您提到安德魯，我們對消費者在收入和調整後利潤表現方面的成長感到滿意。

As you know, that segment has a few business lines and we're pleased to see growth in consumer technology testing, in appliances, HV AC and retail and consumer products testing.

如您所知，該細分市場有幾個業務線，我們很高興看到消費技術測試、家電、高壓交流電以及零售和消費產品測試方面的成長。

So it was in several different areas.

所以這是在幾個不同的領域。

We did see a pickup, as we mentioned in the fourth quarter.

正如我們在第四季度提到的那樣，我們確實看到了回升。

It's going to be in the third quarter related to a search of business related to new product offerings.

它將在第三季與新產品提供相關的業務搜尋相關。

Often we work with customers to help make sure their products are ready to go to market and we saw an increased level of activity in the third quarter.

我們經常與客戶合作，幫助確保他們的產品準備好進入市場，我們看到第三季的活動水準增加。

So while we're overall confident in the fourth quarter and, and increased our, our guidance mid to high single digits on a consolidated basis, we, we do see that having the potential to taper off a bit in consumer in the fourth quarter.

因此，雖然我們對第四季度總體充滿信心，並且在綜合基礎上提高了我們的指導中高個位數，但我們確實看到第四季度消費者有可能稍微減少。

And one thing I would add, Andrew is we continue to see strength in customers seeking a sustainability testing.

安德魯，我要補充的一件事是，我們繼續看到尋求永續性測試的客戶的力量。

So the tailwinds from the, you know, GWP refrigerant regulations, strong safety demand there.

因此，您知道，GWP 冷媒法規的動力是強勁的安全需求。

And also that extends into other sustainability areas such as, you know, chemicals testing and indoor air quality for products.

這也延伸到其他永續發展領域，例如產品的化學品測試和室內空氣品質。

And we're seeing that strength in North America as well as Asia.

我們在北美和亞洲都看到了這種優勢。

Very helpful.

非常有幫助。

Thank you.

謝謝。

And then maybe for my, my follow up switching gears a little bit to margins.

然後也許對我來說，我的後續行動會稍微調整到邊緣。

Another good, good kind of metric to point to in terms of margin expansion year over year.

另一個很好的指標是指利潤率逐年擴張。

Is there any way maybe bigger picture?

有什麼辦法可能更大嗎？

I don't know that you could quantify it, or you'd be willing to, but kind of rank order the different pieces of that margin expansion.

我不知道你是否可以量化它，或者你是否願意量化它，但對利潤擴張的不同部分進行了排序。

How much of that is, is a consequence of, of really strong demand and utilization versus, you know, internal process improvement and operating efficiencies or, or even price.

其中有多少是真正強勁的需求和利用率與內部流程改進和營運效率甚至價格的結果。

Just trying to get a sense for, you know, how much of this margin expansion trend is attributable to, you know, above, above average top line growth versus things that you're doing internally.

只是想了解一下，你知道，這種利潤率擴張趨勢有多少可歸因於高於平均的營收成長與你內部所做的事情。

Thank you.

謝謝。

Yeah, good question.

是的，好問題。

I'll make a couple comments that are, that are more thematic over time rather than specific 3rd quarter items.

我將發表一些評論，這些評論隨著時間的推移更具主題性，而不是特定的第三季項目。

We've talked about margin expansion over time and we and those comments we made were largely in rank order.

我們已經討論了隨著時間的推移利潤率的擴張，我們以及我們所做的評論基本上是按排名順序排列的。

So we talk about organic revenue growth and creating operating leverage in our business growing our revenue, including some price improvements at a faster pace than our expenses.

因此，我們談論有機收入成長和在我們的業務中創造營運槓桿來增加我們的收入，包括一些比我們的支出更快的價格改善。

Our core expenses including head count related expenses.

我們的核心費用包括人員編制相關費用。

We think we've managed well and we expect to continue to do that.

我們認為我們管理得很好，並且希望繼續這樣做。

Second is we, we have a very good growth driver that's benefiting consolidated margins by the by the growth and mix in industrial.

其次，我們擁有非常好的成長動力，透過工業的成長和組合使綜合利潤率受益。

And then third, we have a number of horizontal initiatives across the company managing our footprint as a total company portfolio managing and improving our digitalization of work processes including our it costs and then finally for adjusted but on margin a it's a geographic item but it, but it's an impact is we transition from private company cash based incentives to public company more fairly standard public company structures that stock based compensation will be an ad back.

第三，我們在整個公司範圍內採取了許多橫向舉措，將我們的足跡作為整個公司投資組合來管理和改進我們的工作流程數字化，包括我們的IT 成本，最後進行調整，但在利潤上，它是一個地理項目，但它，但它的影響是我們從私人公司基於現金的激勵措施過渡到上市公司更公平標準的上市公司結構，基於股票的薪酬將成為廣告回報。

It shows up in an operating income but for adjusted but the margin, it's a factor so.

它顯示在營業收入中，但對於調整後的利潤率來說，它是一個因素。

Very helpful.

非常有幫助。

Thank.

感謝。

You.

你。

Thank you.

謝謝。

The next question comes from George Tong with Goldman Sachs.

下一個問題來自高盛的喬治唐。

Please proceed.

請繼續。

Hi, thanks, good morning.

嗨，謝謝，早安。

The consumer business is continuing to see robust margin expansion on a year over year basis, 200 BPS plus this quarter.

消費者業務的利潤率持續強勁成長，本季年增 200 個基點以上。

Can you talk about how much room there is left for consumer, even the margins to expand and whether you think the low hanging fruit has been addressed or whether you're still in the very early innings of driving efficiency gains in this segment?

您能否談談留給消費者的空間有多大，甚至是擴大的利潤空間，以及您是否認為容易實現的目標已經解決，或者您是否仍處於推動該領域效率提升的早期階段？

Thanks George.

謝謝喬治。

And we are pleased with the results that we saw in consumer this quarter and we do feel like their margin is is trending toward what I would call a new normal.

我們對本季消費者所看到的結果感到滿意，我們確實覺得他們的利潤率正在走向我所說的新常態。

You know, in addition to some of the pieces that Ryan just mentioned on the organic operating leverage and our focus on the value proposition for our customers through both pricing as well as breadth of services that we're offering.

您知道，除了 Ryan 剛剛提到的有關有機營運槓桿的一些內容以及我們透過定價和提供的服務廣度關注為客戶提供的價值主張之外。

I think some other important pieces in consumer have been some of that investments in new lab capabilities.

我認為消費者領域的其他一些重要部分是對新實驗室能力的投資。

And as Ryan alluded to some of that footprint optimization, we consolidated as we announced earlier this year, our retail center of Excellence in Arkansas and housing greater capacity under a single roof is certainly helpful to the longer term margin.

正如瑞安提到的一些足跡優化，正如我們今年早些時候宣布的那樣，我們整合了我們在阿肯色州的卓越零售中心，並在單一屋頂下容納更大的容量，這肯定有助於長期利潤。

We've also been pleased with the investments that we made on the GWP refrigerant lab capabilities and continue to look at what the customer demand could be under that roof and then extending back on our EMC wireless side and the chambers that we have there, we had added some capacity under again an existing location last year and that capacity is flowing through you know, into a full utilization or greater utilization and, and that continues to extend our margins.

我們也對在 GWP 冷媒實驗室能力上進行​​的投資感到滿意，並繼續研究客戶的需求，然後延伸到我們的 EMC 無線側和我們在那裡擁有的室，我們去年，我們再次在現有地點增加了一些產能，您知道，這些產能正在流經充分利用或更高的利用，並且這將繼續擴大我們的利潤。

So we're pleased with consumer and feel like we're at a new normal.

因此，我們對消費者感到滿意，並感覺到我們正處於新常態。

Very helpful.

非常有幫助。

And then secondly, you mentioned the software and advisory business underperformed expectations a bit.

其次，您提到軟體和諮詢業務的表現有點低於預期。

Can you elaborate on some of the trends you're seeing in the segment that could have contributed to the moderation in growth and when you would expect to see a re acceleration in organic growth.

您能否詳細說明您在該細分市場中看到的一些趨勢，這些趨勢可能導致成長放緩，以及您預計何時會看到自然成長重新加速。

Yeah, software and advisory.

是的，軟體和諮詢。

You know, it is a combination of software and advisory and each piece has you know, different elements that can contribute to its growth.

您知道，它是軟體和諮詢的結合，每個部分都有您知道的可以促進其成長的不同元素。

The overall premise of our software and advisory business that said it is a reinforcing element of the value proposition that we offer to our tech customers.

我們軟體和諮詢業務的總體前提是，它是我們為技術客戶提供的價值主張的強化要素。

And I, I always like to remind everybody that two thirds of our TOP 500 customers purchase from both software and advisory and tech.

我總是想提醒大家，我們的 500 強客戶中有三分之二是從軟體、諮詢和技術領域購買的。

So, as we look to performance in each side of software and advisory, you know, what I'm looking for in software and, and the green shoots that we see is that churn is down as Ryan had mentioned, contract terms are extending in duration that leads to you know, longer term ARR and a stronger recurring, you know SAS revenue.

因此，當我們專注於軟體和諮詢各方面的性能時，你知道，我在軟體中尋找什麼，我們看到的新芽是，正如瑞安提到的那樣，客戶流失率正在下降，合約條款正在延長持續時間會帶來更長的ARR 和更強的經常性SAS 收入。

You know, we look for the pipeline that turns into revenue and we look for that pipeline specifically out of our existing tech customers and in particular in the areas of the supply chain and sustainability.

你知道，我們尋找能夠轉化為收入的管道，並且我們專門從現有的技術客戶中尋找該管道，特別是在供應鏈和永續發展領域。

And then I also look at net promoter score which we do in every business and continues to improve.

然後我也會關注我們在每項業務中所做的淨推薦值，並且不斷提高。

So, there's some, some green shoots there and software and advisory and, you know, I was pleased that this quarter, the largest US based beauty retailer did select work smart, which is part of our ultra platform as their software to aid their ability to evaluate, you know, the chemical properties of the products that are on their shelves.

因此，有一些、一些新芽、軟體和諮詢，你知道，我很高興本季度美國最大的美容零售商確實選擇了智能工作，這是我們超級平台的一部分，作為他們的軟體來幫助他們提高能力你知道，評估貨架上產品的化學特性。

And the great thing about that ultras platform is now that introduces ultras to their whole supply chain and positions us to cross sell and you know, address potentially a new set of customers that we haven't had before.

Ultras 平台的偉大之處在於，它現在將 Ultras 引入了他們的整個供應鏈，並使我們能夠交叉銷售，你知道，潛在地解決了我們以前從未有過的一組新客戶的問題。

So there are some green shoots here, but certainly we expect a better performance out of software and advisory.

因此，這裡有一些萌芽，但我們當然期望軟體和諮詢能有更好的表現。

We expect the sales transformation that they're going through to get better legs in 2025.

我們預計他們正在經歷的銷售轉型將在 2025 年取得更好的進展。

Got it very helpful.

得到它非常有幫助。

Thank you.

謝謝。

The next question comes from Andy Whitman with Robert W Baird.

下一個問題來自安迪·惠特曼和羅伯特·W·貝爾德。

Please proceed.

請繼續。

Oh, excuse me, I just had a couple questions here.

哦，對不起，我只是有幾個問題。

I guess first kind of a bigger picture question and then maybe I'll follow up with a couple of things to clarify with, Ryan.

我想首先是一個更大的問題，然後也許我會跟進一些事情來澄清，瑞安。

But Jenny, I'm just curious as to if you could comment on your exposure to the I value chain.

但珍妮，我只是好奇你是否可以評論一下你對 I 價值鏈的了解。

What types of things are you offering today?

你們今天提供什麼類型的東西？

And what types of things could you be offering in the future?

您未來可以提供哪些類型的產品？

And what are the trends you're seeing in that business in particular?

您在該行業中看到的特別趨勢是什麼？

Yeah, thanks Andy.

是的，謝謝安迪。

And it's a really great question and a fun topic to think about.

這是一個非常好的問題，也是一個值得思考的有趣議題。

You know, in the near term, there's some ways that I am affecting our business positively both in the products that we're offering, particularly through ultras and also in some of our key, both industrial and consumer products.

你知道，在短期內，我在某些方面對我們的業務產生了積極的影響，無論是在我們提供的產品中，特別是透過Ultras，還是在我們的一些關鍵產品（工業和消費產品）中。

So within ultras, we've already incorporated I, we're in the process of incorporating it into you know, four different key areas.

因此，在 Ultras 中，我們已經將 I 納入其中，我們正在將其納入您知道的四個不同的關鍵領域。

You know, the ways that we help our customers to classify their products.

您知道，我們幫助客戶對其產品進行分類的方式。

The ways that we help our customers with that chemical analysis that I just talked about with the large Beauty Ridge Haer, the ways that we're modeling wind forecasts for our renewables advisory business and the ways in which we're helping our customers generate content.

我們幫助客戶進行化學分析的方式（我剛剛與大型 Beauty Ridge Haer 討論過）、我們為再生能源諮詢業務建模風力預測的方式以及我們幫助客戶生成內容的方式。

So, AR is affecting just our, our, our software product offerings in a positive way on the tech side where we see it is in early stages of like I data centers.

因此，AR 在技術方面正在以積極的方式影響我們的軟體產品，我們看到它正處於像 I 資料中心這樣的早期階段。

The ways in which cables need to be replaced, the ways in which the electrification, the amount of electricity needed for those data centers is pretty significant.

需要更換電纜的方式、電氣化的方式以及這些資料中心所需的電量非常重要。

And then we're also seeing an extension in our ongoing certification services in our labels business because those components that go into those data centers typically contain UL labels representing that they've been certified.

然後，我們還看到標籤業務中正在進行的認證服務的擴展，因為進入這些資料中心的元件通常包含 UL 標籤，表明它們已經過認證。

So, we're seeing some great trends there.

所以，我們在那裡看到了一些很棒的趨勢。

We did announce a benchmark program for benchmarking I that's embedded in PCS.

我們確實宣布了一個嵌入 PCS 中的基準測試程式。

It's early stages, we don't expect that benchmark offering to, you know, significantly way our revenue trajectory next year.

現在還處於早期階段，我們預計基準產品不會顯著改變我們明年的營收軌跡。

But we certainly see it as a way that we continue to help our customers address the ways in which they're considering I safety in their products.

但我們當然將其視為我們繼續幫助客戶解決他們考慮產品安全問題的一種方式。

So, you know, we're going to continue to incubate offerings.

所以，你知道，我們將繼續孵化產品。

That respond to our customer's needs in the ways in which they intend to use.

以客戶打算使用的方式回應他們的需求。

I got it.

我得到了它。

That's helpful.

這很有幫助。

Thank you for that.

謝謝你。

And then I just wanted to make sure that I correctly understood what you're trying to say on the fourth quarter margin.

然後我只是想確保我正確理解了你在第四季度利潤率上所說的內容。

Performance.

表現。

Ryan, you said you mentioned obviously the third quarter margins were up 130 basis points.

Ryan，您說您明顯提到第三季利潤率上升了 130 個基點。

You said they're going to be stronger.

你說過他們會變得更強。

But then after that, you mentioned a couple of things that were negative like compensation costs.

但在那之後，你提到了一些負面的事情，像是補償成本。

I think you said something about fulfillment cost.

我想你說了一些關於履行成本的事情。

So are you saying that margins will be sequentially, the growth rate and margins will be sequentially higher in the fourth quarter than the 130 basis points or that's underlying.

那你是說第四季的利潤率將連續上升，成長率和利潤率將連續高於 130 個基點或潛在的水平。

But x those items that you called out, they might not be as strong as the 130 basis points.

但你提到的那些項目，它們可能沒有 130 個基點那麼強勁。

I know it's a nuance point, but I think one important that we all get on the same page.

我知道這是一個細微差別，但我認為重要的是我們必須達成共識。

Yeah.

是的。

And you know, good question.

你知道，這是個好問題。

So year-to-date our just our margins been up 130 basis point.

今年迄今為止，我們的利潤率上漲了 130 個基點。

And in the fourth quarter, we expect to report an acceleration of that in the fourth quarter being a higher increase than that.

在第四季度，我們預計第四季度的成長速度將高於這一增速。

However, how high will be tempered by those additional fulfillment costs that I mentioned, the higher demand comes with some outsourced lab fulfillment, some professional services.

然而，我提到的那些額外的履行成本會調節多少，更高的需求來自於一些外包實驗室履行和一些專業服務。

And in the fourth quarter, it's the final period of some the full year and multiple year incentive programs that final expenses need to be recorded in the quarter.

第四季是一些全年和多年激勵計畫的最後時期，最終費用需要記錄在本季。

So it's just the degree of flow through on incremental revenue will be tempered by, by those factors.

因此，增量收入的流動程度將受到這些因素的調節。

Okay.

好的。

That makes more sense.

這更有意義。

Thank you for clarifying that.

感謝您澄清這一點。

And that's all my questions for today.

這就是我今天的所有問題。

Thank you.

謝謝。

The next question comes from Stephanie Yee with JP Morgan.

下一個問題來自摩根大通的 Stephanie Yee。

Please proceed.

請繼續。

Hi, thank you.

你好，謝謝。

Ryan, if I could just follow up on the last question, Can we could you provide a rule of thumb for how to think about typically the incremental margin flow through if you know, let's say we weren't in the fourth quarter and you all was growing mid to high single digits any in any particular quarter.

瑞安（Ryan），如果我能跟進最後一個問題，我們能否提供一個經驗法則，告訴您如何考慮典型的增量利潤流，如果您知道的話，假設我們不在第四季度，而你們所有人在在任何特定季度中，該數字都呈現中高個位數成長。

Yeah, the we're in a period of increased performance.

是的，我們正處於績效提升的時期。

So our revenue is increasing at a pace in the in the second half.

因此，下半年我們的收入正在快速成長。

And so we just have a shorter period of time to recognize any compensation and fulfillment costs associated with that.

因此，我們只有更短的時間來確認與此相關的任何補償和履行成本。

So the the flow through is skewed by those temporary items.

因此，這些臨時物品會扭曲流量。

And at this point, we're not in a position to go into, into more detail and break out the components of that.

目前，我們還無法深入探討其細節並分解其組成部分。

But the the the primary outcome is it's a consequence of increased demand from our customers and accelerating revenue growth.

但主要結果是客戶需求增加和收入加速成長的結果。

Okay.

好的。

And when looking at the industrial segment, it's posted double digit revenue growth, organic constant currency for the last several quarters starting in 2023.

在工業領域，從 2023 年開始的過去幾個季度，以有機不變貨幣計算，該公司的收入實現了兩位數成長。

Do you view that level of revenue growth as sustainable as we look into 2025?

展望 2025 年，您認為這種收入成長水準是否可持續？

Just given kind of the multi year tail ends that you've been talking about.

剛剛給出了您一直在談論的多年尾端。

Yeah, the thing about industrial Stephanie, thanks for the question.

是的，關於工業斯蒂芬妮的事情，謝謝你的提問。

We are really proud of the double digit growth that we're seeing.

我們對所看到的兩位數成長感到非常自豪。

These projects do tend to be longer in duration and when you look at you know, the power and automation side of the business, which really reflects the energy transition and sustainability, you look at the fact that we've added capacity, both, you know, in large scale battery labs all over the world, you know, a couple of years ago in Changzhou, China, Auburn Hills, this August Korea that we completed earlier this year and then newly announced an extension there.

這些項目的持續時間確實較長，當您看到業務的電力和自動化方面時，您知道，這真正反映了能源轉型和可持續性，您會看到我們增加了產能的事實，您你知道，在世界各地的大型電池實驗室中，幾年前，我們在中國常州、奧本山、韓國，我們今年早些時候完成了這些實驗室，然後新宣佈在那裡進行擴建。

It's certainly reflective of the fact that that mega trend of the electrification of everything.

這無疑反映了萬物電氣化這一大趨勢的事實。

You know, we continue to see you know, strength and durability in the industrials business.

您知道，我們繼續看到工業業務的實力和耐用性。

And then on a more macro level, we look forward to commenting more about 2025 and beyond after we complete the end of the, at the end of the year.

然後在更宏觀的層面上，我們期待在年底完成之後對 2025 年及以後的情況進行更多評論。

But at this point, we're not going to give more specific guidance for next year.

但目前，我們不會為明年提供更具體的指導。

Okay.

好的。

Understood.

明白了。

Thank you.

謝謝。

The next question comes from Shono Rosenbaum with steel.

下一個問題來自 Shono Rosenbaum 的鋼鐵。

Please proceed.

請繼續。

Hi.

你好。

Thank you very much.

非常感謝。

For taking my questions.

回答我的問題。

First one is Ryan, maybe you could comment a little bit about the drivers of revenue growth between volume and price.

第一個是 Ryan，也許您可以評論一下銷售和價格之間收入成長的驅動因素。

European competitors have talked about, you know, pricing coming in as inflation has come down.

你知道，歐洲競爭對手已經談到，隨著通膨的下降，定價將會隨之而來。

But you're seeing your organic growth accelerate at the same time.

但您會看到您的有機成長同時加速。

Is it fair to assume that the you know, the volume is picking up at the same time?

假設交易量同時增加是否公平？

So it's overcoming that inflationary, you know, impact coming down.

所以它正在克服通貨膨脹的影響下降。

And are you able to quantify that for us in some way, shape or form?

您能否以某種方式、形狀或形式為我們量化這一點？

And then I have one follow up?

然後我有一個後續行動？

Yeah, thank you very much for the question.

是的，非常感謝你的提問。

Shono and, and as you know, we report revenue in four primary service categories.

如您所知，Shono 報告了四個主要服務類別的收入。

Two of those certifications testing and non-certification testing and other services lend themselves more to price and volume.

其中兩項認證測試和非認證測試以及其他服務更適合價格和數量。

We we provide a defined service, testing, a product and issuing a report or a certification.

我們提供明確的服務、測試、產品並發布報告或認證。

So for those, we're pleased with the revenue growth.

因此，對於這些，我們對收入成長感到滿意。

Those two categories grew 9.5% in the third quarter and both price increases and volume contribute to that in the third quarter.

這兩個類別在第三季成長了 9.5%，價格和銷量的成長都對第三季的成長做出了貢獻。

It was slightly more volume than price, but overall, we were pleased with progress in price as well.

數量略高於價格，但總體而言，我們對價格的進展也感到滿意。

Okay.

好的。

So, volume is accelerating.

因此，成交量正在加速成長。

That's the bottom line on that one.

這就是那件事的底線。

That, that's correct.

那個，說得對。

That's correct.

這是正確的。

But our, our overall revenue growth is driven by both price and volume.

但我們的整體收入成長是由價格和數量推動的。

But factually our volume is correct.

但事實上我們的音量是正確的。

Yes.

是的。

Got it.

知道了。

And this one is for you, Jenny.

這是給你的，珍妮。

Just in terms of, you know, we're thinking about the impact of various administrations on, on the business and we end up with a more tariff focused administration.

就我們而言，您知道，我們正在考慮各種政府對業務的影響，最終我們得到了一個更注重關稅的政府。

Is that helpful to your business?

這對你的生意有幫助嗎？

On the one hand, because of the sourcing and software and advisory.

一方面，因為採購、軟體和諮詢。

And then on the other side, maybe, you know, we'd have to think about some headwinds on the China side and maybe you could walk us through some of that, how much of your business is products from China, specifically going to the US and you know, just how should we think about this?

另一方面，也許，你知道，我們必須考慮中國方面的一些不利因素，也許你可以向我們介紹其中的一些，你的業務中有多少是來自中國的產品，特別是銷往中國的產品。 ，你知道，我們該如何考慮這個問題？

Yeah, you know, first of all, product safety is kind of universal and enduring and products coming into the United States or Europe, need to have safety and innovation is only successful when you have safety.

是的，你知道，首先，產品安全是普遍且持久的，進入美國或歐洲的產品需要安全性，只有擁有安全性，創新才能成功。

So when you look at, you know, administrative policies, no matter who's in office, you know, we've seen consistency in demand.

因此，當您查看行政政策時，無論誰在任，您都知道，我們看到了需求的一致性。

If you, you know, you look back from, at our growth rate from 2011 through a democratic administration to today through a Republican administration through a democratic administration, it's, been pretty consistent.

如果你，你知道，你回顧我們的成長率，從 2011 年的民主政府到今天的共和黨政府和民主政府，它是相當一致的。

So specifically, as you think about an answer to your question about tariffs, you know, we saw this in 2018, and we've continued to see the ways in which our customers react.

具體來說，當您思考有關關稅的問題的答案時，您知道，我們在 2018 年就看到了這一點，並且我們將繼續觀察客戶的反應方式。

So from China, the majority of our business is export markets, a significant majority.

所以從中國來說，我們的業務大多是出口市場，佔絕大多數。

And you know, what we continue to see is customers making decisions about where they want to house their manufacturing to launch those products into North America or Europe.

你知道，我們繼續看到客戶決定在哪裡進行製造，以便將這些產品推向北美或歐洲。

So we continue to see growth, you know, low single digits in the sites that our field teams visit in China.

因此，我們繼續看到我們的現場團隊在中國訪問的站點的成長，你知道，低個位數。

We continue to see higher growth in the sites that our field teams visit in areas where we've invested in new labs such as Vietnam, India and Mexico.

我們繼續看到我們的現場團隊在越南、印度和墨西哥等投資新實驗室的地區訪問的地點出現了更高的成長。

And we'll continue to be by our customer sides as they make decisions about where they want to house their manufacturing and distribution locations.

當客戶決定在何處安置其製造和分銷地點時，我們將繼續為他們提供支援。

Will that help the ultras business in terms of supply chain?

這對供應鏈的超跑業務有幫助嗎？

Though, that's part of what I was thinking about.

不過，這是我思考的一部分。

You know, the ultras business on supply chain is really focused on traceability of the materials within products.

要知道，供應鏈上的 Ultras 業務實際上專注於產品內材料的可追溯性。

And so certainly as numbers of suppliers in a customer supply chain change or increase, it can affect those software licenses, but I think the bigger impact is in helping our customers if they decide that they need to move their manufacturing facilities to other locations, We see it more on the tech side to re certified products or re certified, the raw materials or components that are going into those products.

因此，當然，隨著客戶供應鏈中供應商數量的變化或增加，它可能會影響這些軟體許可證，但我認為更大的影響是幫助我們的客戶，如果他們決定需要將製造設施轉移到其他地點，我們更從技術方面考慮重新認證產品或重新認證用於這些產品的原材料或組件。

So it's a, it's a bigger impact on the tech side.

所以這對技術方面的影響更大。

Got it.

知道了。

Thank you.

謝謝。

Our next question comes from Jason Haas with Wells Fargo.

我們的下一個問題來自富國銀行的賈森·哈斯。

Please proceed.

請繼續。

Hey, good morning.

嘿，早安。

And thanks for taking my question, but at least a couple quarters now where you called out value based pricing and the tailing.

感謝您提出我的問題，但至少有幾個季度您提出了基於價值的定價和尾隨。

So I was curious if you're doing anything to get a little bit more surgical on pricing.

所以我很好奇你們是否正在做一些事情來在定價上進行更多的手術。

And if that's part of the strategy, just curious where we are in that process and there's more opportunities going forward.

如果這是策略的一部分，那麼我們只是好奇我們在這個過程中處於什麼位置，未來還有更多機會。

Thanks Jason.

謝謝傑森。

It's one of my favorite topics.

這是我最喜歡的話題之一。

So I appreciate you asking it.

所以我很感激你提出這個問題。

We implemented oracle configure price quote.

我們實施了 oracle 配置報價。

In addition to having implemented a single global instance of sales force over the last few years that has all been completed.

除了在過去幾年中實施了單一的全球銷售團隊實例之外，所有這些都已經完成。

And our teams are now really focused on training, you know, the 1,000 or so, sales team members that we have on really how to unleash the power of the analysis that they have at their fingertips.

我們的團隊現在真正專注於培訓我們擁有的 1,000 名左右的銷售團隊成員，讓他們真正了解如何釋放他們觸手可及的分析能力。

And so we continue to extend the use cases and the training around those pretty powerful engines.

因此，我們繼續圍繞這些非常強大的引擎擴展用例和培訓。

And our ultimate goal is to make sure that we get paid for the value that we provide our customers.

我們的最終目標是確保我們為客戶提供的價值獲得報酬。

That's great.

那太棒了。

Thank you.

謝謝。

And then as a follow up, I'm curious if you could talk about your expectations for, CapEx going forward, recognizing that, you know, you made this conscious decision to make more investments in the business.

作為後續行動，我很好奇您是否可以談談您對未來資本支出的期望，並認識到，您知道，您做出了在業務上進行更多投資的有意識的決定。

They seem to be paying off.

他們似乎正在得到回報。

Well, so as you look at the 8 to 8.5, you know, expectation is that sort of the right framework to think about as we go forward.

嗯，當你看到 8 到 8.5 時，你知道，期望是我們前進時需要考慮的正確框架。

Yeah.

是的。

Hi, historically, our CapEx as a percentage of revenue has been a bit lower than that, but, we see opportunities in a number of themes around, particularly around energy transition that have led us to invest against those opportunities.

您好，從歷史上看，我們的資本支出佔收入的百分比略低於此，但是，我們在許多主題中看到了機會，特別是圍繞能源轉型，這促使我們針對這些機會進行投資。

We take a pretty prudent approach to underwriting each lab investment understanding the underlying customer demand and seek to, to respond to the needs of our customers and have high visibility to revenue to support those investments.

我們採取非常謹慎的方法來承保每項實驗室投資，了解潛在的客戶需求，並尋求回應客戶的需求，並高度了解收入以支持這些投資。

We are in a period of elevated CapEx and we've been achieving good returns on that CapEx.

我們正處於資本支出較高的時期，我們在資本支出上取得了良好的回報。

There are some new technologies like large batteries that we're investing in.

我們正在投資一些新技術，例如大型電池。

So, we will see we'll continue to monitor how our more recent large investments are performing and use as a basis to judge whether we continue at this elevated level to invest against those opportunities.

因此，我們將繼續監控我們最近的大型投資的表現，並以此為基礎來判斷我們是否繼續在這個較高的水平上針對這些機會進行投資。

But we're in the long 130 year history of UL, we're, we're in relatively early innings of these themes of energy transition.

但在 UL 130 年的漫長歷史中，我們正處於這些能源轉型主題的相對早期階段。

You know, and what I also always think is important to point out is that our maintenance CapEx is fairly low.

你知道，我一直認為需要指出的是，我們的維護資本支出相當低。

And so the amount that we put to CapEx is pretty discretionary based on what opportunities we see ahead of us.

因此，我們投入資本支出的金額是相當可自由裁量的，這取決於我們看到的機會。

Got it.

知道了。

That's helpful.

這很有幫助。

Thank you.

謝謝。

The next question comes from Harrow and with Jeffries, please proceed.

下一個問題來自哈羅和傑弗里斯，請繼續。

Hello, this is Harlan on for Stephanie Moore.

大家好，我是史蒂芬妮摩爾的哈倫。

So I know you called out that you recently completed the acquisition of test that as you think about other acquisitions going forward, I guess, you know, what segments of the business would you think about acquiring them?

所以我知道你說你最近完成了收購測試，當你考慮未來的其他收購時，我想，你知道，你會考慮收購哪些業務部門？

And, you know, if you could just give us a sense of, you know, the framework you use to think about acquisitions in the multiple situation in the market right now.

而且，你知道，如果你能讓我們了解一下，你知道，你用來思考當前市場多重情況下的收購的框架。

Yeah, thanks for the question and philosophically where we're the market leader and we have the opportunity to invest CapEx to strengthen our position.

是的，感謝您提出問題，從哲學上講，我們是市場領導者，我們有機會投資資本支出來鞏固我們的地位。

That's always our, number one priority.

這始終是我們的第一要務。

And, and that's why you see these investments in the new large scale battery labs or the new retail Center of Excellence places where we can extend our footprint and deepen our impact.

這就是為什麼您會在新的大型電池實驗室或新的零售卓越中心看到這些投資，在那裡我們可以擴大我們的足跡並加深我們的影響力。

But where we have opportunities to pick up a different type of intellectual property or leading, you know, researchers or thought leadership in an area like we saw in test net where they had some really strong interesting capabilities in hydrogen that we didn't have.

但是，我們有機會獲得不同類型的知識產權或領導，你知道，研究人員或思想領導力在一個領域，就像我們在測試網中看到的那樣，他們在氫方面擁有一些我們沒有的非常強大的有趣能力。

That's absolutely the perfect example of how we think about attractive M&A it's a creative, it gives us something that we couldn't otherwise easily get on our own.

這絕對是我們如何看待有吸引力的併購的完美例子，它是一種創造性，它給了我們一些我們自己無法輕易獲得的東西。

And launches us now into a space where we can grow by applying CapEx into those types of technologies if we choose to do so.

現在，如果我們選擇這樣做，我們就可以透過將資本支出應用到這些類型的技術中來實現成長。

So that's how we think about.

這就是我們的想法。

We look at M&A across all three of our segments.

我們著眼於所有三個細分市場的併購。

We've got relationships all over the world and we continue to seek opportunities that fit the timing and the profile of, of what we need to grow our business.

我們在世界各地都有合作關係，我們將繼續尋找適合我們發展業務所需的時機和情況的機會。

Thank you.

謝謝。

And then I guess, you know, just on, you know, you brought on a facility in career that you brought on the Auburn Hills.

然後我想，你知道，就在你知道的時候，你在奧本山帶來了職業生涯的便利。

So, and then, you know, so if you could just give us a sense for, you know, that there was some backlog you had before, you know, these came online.

所以，然後，你知道，所以如果你能讓我們感覺到，你知道，你之前有一些積壓，你知道，這些都是在線的。

Are these running ahead of expectations?

這些是否超出預期？

Are they running a line of expectations?

他們的預期是否符合預期？

Do you just give us some color of how, how these investments have been going so far?

您能否向我們介紹一下這些投資迄今為止的進展？

Yes, we have an underlying philosophy of not investing CapEx until we've got clear understanding of market demand and potential commitments from our existing customer base.

是的，我們有一個基本理念，在我們清楚了解市場需求和現有客戶群的潛在承諾之前，不會投資資本支出。

So the Korea lab that came online actually came because a customer asked us to invest in capacity to help them with their growth and innovation.

因此，韓國實驗室上線實際上是因為一位客戶要求我們投資能力來幫助他們的成長和創新。

And we're pleased with the pace that it is fulfilling its business case.

我們對它實現其業務案例的速度感到滿意。

Similarly, in Auburn Hills, we had a set of commitments or understanding with customers both in the EV battery space and the industrial battery space.

同樣，在奧本山，我們在電動車電池領域和工業電池領域與客戶達成了一系列承諾或諒解。

And what we're seeing is that, that backlog is fulfilling our expectations and are looking forward to ramping up, you know, the utilization and the capacity of that lab.

我們看到的是，積壓的訂單滿足了我們的期望，並期待提高該實驗室的利用率和容量。

So it, it matches our philosophy that we don't invest capital until we believe that the backlog exists and we tend to perform to our expectations.

因此，它符合我們的理念，即在我們相信存在積壓並且我們傾向於達到我們的預期之前，我們不會投資資本。

Thank you.

謝謝。

All right.

好的。

Well, thank you everyone for joining us today.

好的，謝謝大家今天加入我們。

We appreciate your support and look forward to updating you on our progress next quarter.

我們感謝您的支持，並期待在下個季度向您通報我們的最新進展。

Thank you.

謝謝。

This does conclude today's teleconference.

今天的電話會議到此結束。

You may disconnect your lines at this time.

此時您可以斷開線路。

Thank you for your participation and have a great day.

感謝您的參與，祝您有美好的一天。