USA Compression Partners LP (USAC) 2023 Q4 法說會逐字稿

Good morning.

早安.

Welcome to USA Compression Partners fourth quarter 2023 earnings conference call.

歡迎參加 USA Compression Partners 2023 年第四季財報電話會議。

(Operator Instructions) This conference is being recorded today, February 13, 2024.

（操作員說明）本次會議於今日（2024 年 2 月 13 日）錄製。

I would now like to turn the call over to Chris Porter, Vice President, General Counsel and Secretary.

我現在想將電話轉給副​​總裁、總法律顧問兼秘書克里斯·波特。

Good morning, everyone, and thank you for joining us.

大家早安，感謝您加入我們。

This morning, we released our operational and financial results for the quarter and year ending December 31, 2023.

今天上午，我們發布了截至 2023 年 12 月 31 日的季度和年度營運和財務業績。

You can find a copy of our earnings release as well as recording of this call in the Investor Relations section of our website at Usacompression.com.

您可以在我們網站 Usacompression.com 的投資者關係部分找到我們的收益發布副本以及本次電話會議的錄音。

During this call, our management will reference certain non-GAAP measures.

在這次電話會議中，我們的管理階層將參考某些非公認會計原則措施。

You will find definitions and reconciliation of these non-GAAP measures to the most comparable US GAAP measures in our earnings release.

您可以在我們的收益報告中找到這些非公認會計準則衡量標準與最具可比性的美國公認會計準則衡量標準的定義和調節。

As a reminder, our conference call will include forward-looking statements.

提醒一下，我們的電話會議將包括前瞻性陳述。

These statements are based on management's current beliefs and include projections and expectations regarding our future performance and other forward-looking matters.

這些陳述是基於管理階層目前的信念，包括對我們未來績效和其他前瞻性事項的預測和期望。

Actual results may differ materially from these statements.

實際結果可能與這些陳述有重大差異。

Please review the risk factors included in this morning's earnings release and in other public filings.

請查看今天上午的收益報告和其他公開文件中包含的風險因素。

Please note that information provided on this call speak only to management's views as of today, February 13, 2024, and may no longer be accurate at the time of a replay.

請注意，本次電話會議中提供的資訊僅代表截至今天（2024 年 2 月 13 日）管理層的觀點，在重播時可能不再準確。

I'll now turn the call over to Eric Long, President and CEO of USA Compression.

現在我將把電話轉給 USA Compression 總裁兼執行長 Eric Long。

Thank you, Chris.

謝謝你，克里斯。

Good morning, everyone, and thanks for joining our call.

大家早安，感謝您加入我們的通話。

I'm joined on the call today by Eric Scheller, our COO.

我們的營運長 Eric Sc​​heller 加入了我今天的電話會議。

This morning, we released our fourth quarter and year-end 2023 results.

今天早上，我們發布了 2023 年第四季和年底的業績。

We are extremely pleased that we were able to deliver another quarter and full year of outstanding results.

我們非常高興能夠在另一個季度和全年取得出色的業績。

We continue to increase distribution coverage and decrease leverage.

我們繼續擴大分銷覆蓋範圍並降低槓桿率。

Our results reflect our continued and incremental movement towards our previously mentioned leverage ratio goal of 4.0 times, providing us increased financial flexibility and positioning us well for when our senior notes mature, which is not until Q2 of 2026 and Q3 2027.

我們的業績反映了我們對先前提到的4.0 倍槓桿目標的持續和漸進的進展，這為我們提供了更高的財務靈活性，並為我們的高級票據到期（即2026 年第二季度和2027 年第三季）做好了準備。

Of note, for both the full-year and quarterly results, we achieved many record results, including revenues, adjusted gross margin, adjusted EBITDA, distributable cash flow, distributable cash flow coverage, average revenue-generating horsepower, and average revenue per -- revenue-generating horsepower.

值得注意的是，就全年和季度業績而言，我們取得了許多創紀錄的業績，包括收入、調整後毛利率、調整後EBITDA、可分配現金流、可分配現金流覆蓋率、平均創收馬力以及平均收入——創收馬力。

We also reduced our leverage ratio to 4.1 times and saw common unit prices over $26 during the fourth quarter nearing all-time highs.

我們也將槓桿率降低至 4.1 倍，第四季普通單價超過 26 美元，接近歷史高點。

Finally, we were added to the VettaFi Alerian MLP Infrastructure Index, the AMZI, resulting in approximately 8.8 million common units added to index funds.

最後，我們被納入 VettaFi Alerian MLP 基礎設施指數（AMZI），指數基金中新增了約 880 萬個普通單位。

I feel comfortable saying we had a great year.

我很高興地說我們度過了美好的一年。

As we look forward, we are continuing to position USAC as a resilient player in the natural gas compression service industry, as we have always done.

展望未來，我們將一如既往地將 USAC 定位為天然氣壓縮服務產業中具有彈性的參與者。

2024 will be a year that we focus on improving internal operational efficiency, the continuation of converting idle units to active status, continuing price improvements, and maximizing returns on growth capital through opportunistic purchasing of equipment that enables USAC to capture margins in line with our fourth quarter results.

2024 年，我們將重點放在提高內部營運效率、繼續將閒置設備轉為活躍狀態、持續提高價格，並透過機會性採購設備來最大化成長資本回報，使USAC 能夠按照我們的第四個目標獲取利潤。季度業績。

As we mentioned on last quarter's call, our customers and others in the industry have not yet begun to accept the pricing required for USAC to purchase new compression units.

正如我們在上個季度的電話會議中提到的，我們的客戶和業內其他人尚未開始接受 USAC 購買新壓縮裝置所需的定價。

That statement continues to be true.

這一說法仍然是正確的。

We are also mindful of the near-term geopolitical and economic uncertainty ahead.

我們也注意到近期的地緣政治和經濟不確定性。

The most recent reports from the Federal Reserve indicate that rates will be terminally higher than what we've experienced over the last decade.

聯準會的最新報告表明，利率將最終高於過去十年的水平。

The worldwide economy, including China, has slowed.

包括中國在內的全球經濟已經放緩。

We are continuing to see escalating geopolitical tension in the Middle East and then the ongoing Russia-Ukraine conflict.

我們繼續看到中東地緣政治緊張局勢升級，以及持續不斷的俄羅斯和烏克蘭衝突。

And finally, there is the never-ending US federal government budget fight and 2024 election cycle.

最後，還有永無止境的美國聯邦政府預算之爭和 2024 年選舉週期。

We believe these factors suggest the prudent course of action is to remain financially and operationally flexible.

我們認為，這些因素顯示審慎的行動方針是維持財務和營運彈性。

With that in mind, we believe one strength we have proven over time is our management's ability to weather the storm.

考慮到這一點，我們相信，隨著時間的推移，我們已經證明的一項優勢是我們的管理層抵禦風暴的能力。

If you review USAC's history, you will notice a common theme that has been core to our stable historical growth.

如果您回顧 USAC 的歷史，您會注意到一個共同的主題，它是我們穩定的歷史成長的核心。

USAC grows when the industry and geopolitical environment are supportive of that growth.

當產業和地緣政治環境支持 USAC 成長時，USAC 就會成長。

In times of uncertainty, however, you will notice that USAC has reigned in growth, battened down the hatches, and focused internally on efficiency and productivity.

然而，在充滿不確定性的時期，您會注意到 USAC 控制了成長，做好了準備，並在內部專注於效率和生產力。

It's easy to show high utilization and growth when you are the new fresh face to the compression space that is yet to experience significant lasting downturns.

當您是尚未經歷嚴重持續衰退的壓縮領域的新面孔時，很容易表現出高利用率和成長。

USAC's management has a proven track record during those times, such as 2008 to 2010, 2015 to 2017, and most recently, during the COVID downturn.

USAC 的管理層在這些時期（例如 2008 年至 2010 年、2015 年至 2017 年以及最近的新冠疫情低迷期間）擁有良好的業績記錄。

Throughout those cycles, USAC continued to maintain utilization, revenue, and adjusted EBITDA at levels strong enough to maintain our distribution while sustaining manageable levels of leverage.

在整個這些週期中，USAC 繼續將使用率、收入和調整後 EBITDA 保持在足以維持我們的分配的水平，同時維持可管理的槓桿水平。

While we do not expect the near term to be as dramatic as those prior cycles, we do see general uncertainty ahead, and believe our current 2024 plans match the USAC story that you have all become accustomed to, one of cash flow and financial stability through prudent capital spending at the right times.

雖然我們預計短期內不會像之前的周期那樣戲劇性，但我們確實看到了未來普遍的不確定性，並相信我們目前的2024 年計劃符合你們都已經習慣的USAC 故事，即透過現金流和財務穩定來實現這一目標。在適當的時候進行審慎的資本支出。

The uncertainty is not without some clarity specific to our industry.

這種不確定性並非沒有針對我們行業的一些明確性。

We still maintain a very bullish view of the long-term prospects of the natural gas compression industry.

我們仍然對天然氣壓縮產業的長期前景保持非常樂觀的看法。

As we have said before, our business is not directly tied to commodity prices, but rather production and demand.

正如我們之前所說，我們的業務並不直接與商品價格掛鉤，而是與生產和需求掛鉤。

The future looks bright on both fronts.

這兩方面的未來都是光明的。

The EIA expects US production of natural gas to likely continue growing to meet rising global demand through the end of their forecast period, which is 2050.

EIA 預計，到 2050 年預測期結束時，美國天然氣產量可能會持續成長，以滿足不斷增長的全球需求。

US natural gas exports are expected to continue growing in 2024, 2025 and beyond, especially as new LNG facilities, already approved and scheduled to come on stream in the US, increase current capacity from about 15 Bcf a day to more than 40 Bcf a day.

美國天然氣出口預計將在 2024 年、2025 年及以後繼續增長，特別是美國已批准併計劃投產的新液化天然氣設施將目前的產能從每天約 15 Bcf 增加到每天 40 Bcf 以上。

To be clear, that is incremental capacity not impacted by the recent announcement from the Biden administration to pause further approval of LNG export terminals.

需要明確的是，這是增量產能，並未受到拜登政府最近宣布暫停進一步批准液化天然氣出口碼頭的影響。

We believe these long-term dynamics will dovetail well with our current 2024 plans to focus on maximizing unitholder value through internal process optimization and efficiency, and less through capital expenditures, which we currently believe will be significantly reduced in comparison to 2023.

我們相信這些長期動態將與我們目前的2024 年計畫很好地吻合，即專注於透過內部流程優化和效率來最大化單位持有人價值，並減少資本支出，我們目前認為與2023 年相比，資本支出將大幅減少。

We believe this will allow us to continue improving our balance sheet, provide us the financial flexibility to opportunistically improve our capital structure over time, including potentially refinancing indebtedness at attractive rates, allowing us to further pursue capital cost improvement, leverage reductions and distribution policy changes.

我們相信，這將使我們能夠繼續改善我們的資產負債表，為我們提供財務靈活性，以便隨著時間的推移機會主義地改善我們的資本結構，包括可能以有吸引力的利率對債務進行再融資，使我們能夠進一步追求資本成本改善、槓桿降低和分配政策變化。

One point I would like to mention in regards to our capital structure, in January, we had $40 million of the preferred units convert into common units.

關於我們的資本結構，我想提一下，一月份，我們將 4000 萬美元的優先單位轉換為普通單位。

When combined with the common units issued pursuant to previous warrant exercises by the preferred unitholders, this resulted in an additional 4.9 million common units outstanding in the aggregate, at least 80% of which have been absorbed into the open market today.

加上優先單位持有人根據先前認股權證行使而發行的普通單位，這導致流通在外的普通單位總數增加了 490 萬份，其中至少 80% 已被吸收到今天的公開市場。

The good news is that this increases our public liquidity with a de minimis impact on our distributable cash flow coverage, which we have highlighted in a recently published investor presentation you can find on our website.

好消息是，這增加了我們的公共流動性，對我們的可分配現金流覆蓋範圍影響極小，我們在最近發布的投資者簡報中強調了這一點，您可以在我們的網站上找到。

As always, we will continue to look for ways to maximize the capital structure, and the value that can be derived there from 2024 will be no different.

像往常一樣，我們將繼續尋找最大化資本結構的方法，從 2024 年起，可以從中獲得的價值將不會有什麼不同。

Switching gears, I would like to recognize our hard-working field employees.

換個角度，我想對我們辛勤工作的現場員工表示認可。

During the recent winter storm that swept across the country in mid-January, our employees were called upon to battle ice and sleet, keeping our compression units at the ready, as our customers' natural gas compression needs changed in response to the storm.

在最近一月中旬席捲全國的冬季風暴中，我們的員工被要求與冰和雨夾雪作鬥爭，使我們的壓縮裝置隨時準備就緒，因為我們的客戶的天然氣壓縮需求因風暴而發生了變化。

As always here at USA Compression, we are all about serving our customers and our communities, helping to keep the lights and heat on when it mattered the most.

一如既往，在 USA Compression，我們致力於為客戶和社區提供服務，幫助在最重要的時候保持電力供應。

Our field employees' actions during this recent storm is just another proud example of our dedication to a high level of service.

我們的現場員工在最近這場風暴中的行動只是我們致力於高水準服務的另一個值得驕傲的例子。

I'm very proud of this company and our employees' commitment to serving the baseload power generation that we all need during those times.

我為這家公司和我們的員工致力於為我們所有人在這段時期所需的基本負載發電服務的承諾感到非常自豪。

One more point before I turn the call over to Mr. Scheller.

在我把電話轉給謝勒先生之前，還有一點要講。

I'm pleased that our 2023 safety performance continued to outperform the industry average.

我很高興我們 2023 年的安全績效持續優於業界平均。

As always, the safety of our employees, our contractors, and our customers' employees remain the number one priority of our organization.

一如既往，我們員工、承包商和客戶員工的安全仍然是我們組織的首要任務。

We are extremely proud of our employees' continued focus on being safe in all we do, each and every day.

我們為我們的員工在每一天所做的一切中持續關注安全而感到非常自豪。

With that, I will turn the call over to Eric Scheller, our COO, to discuss our fourth quarter highlights.

接下來，我將把電話轉給我們的營運長 Eric Sc​​heller，討論我們第四季的亮點。

Thanks, Eric, and good morning, all.

謝謝埃里克，大家早安。

As Eric noted, we are extremely pleased with our full year and fourth quarter results, and I am extremely proud of our employees.

正如艾瑞克所指出的，我們對全年和第四季的業績非常滿意，我為我們的員工感到非常自豪。

In addition to the record results, Eric mentioned, we continued to increase utilization during the fourth quarter to a near all-time high, all while continuing to capture contracts with extended tenure and enhanced pricing that we think generate strong, stable baseload cash flows, while providing opportunistic applied as market conditions evolve.

艾瑞克提到，除了創紀錄的業績外，我們在第四季度繼續將利用率提高到接近歷史最高水平，同時繼續獲得延長期限和提高定價的合同，我們認為這些合同會產生強勁、穩定的基本負載現金流，同時隨著市場條件的變化提供機會主義。

During the fourth quarter, our revenue growth trend continued.

第四季度，我們的收入持續成長。

It was driven primarily by continued utilization and pricing improvements.

這主要是由持續的利用率和價格改進所推動的。

Our revenue increased 4% in sequential quarters and 18% compared to the year ago period.

我們的營收季增 4%，與去年同期相比成長 18%。

The fourth quarter also saw an increase in our margins, bringing them back in line with historical averages since our initial public offering.

第四季我們的利潤率也有所增加，使其恢復到自首次公開募股以來的歷史平均值。

This increase is the result of our steady determination to offset inflationary costs through both productivity improvement and contractual pass-through adjustments.

這一增長是我們堅定決心透過生產力提高和合約傳導調整來抵消通膨成本的結果。

We believe the utilization of both the continued productivity improvement and the continued use of CPIU rate adjustments will continue to support our margins in line with current levels should inflation increase again in the near term.

我們相信，如果通膨在短期內再次上升，生產力的持續提高和 CPIU 利率調整的持續利用將繼續支持我們的利潤率維持在當前水準。

Fourth quarter 2023 net income was $12.8 million.

2023 年第四季淨利為 1,280 萬美元。

Operating income was $68.5 million.

營業收入為 6,850 萬美元。

Net cash provided by operating activities was $91.6 million and cash interest expense net was $43 million.

經營活動提供的現金淨額為 9,160 萬美元，現金利息支出淨額為 4,300 萬美元。

Cash interest expense increased by approximately $1.6 million on a sequential quarter basis, primarily due to higher average outstanding borrowings on our floating rate credit facility.

現金利息支出較上季增加約 160 萬美元，主要是由於我們的浮動利率信貸安排的平均未償借款增加。

However, higher cash interest expense was mitigated by $2.5 million of cash payments received under our $700 million notional principle fixed rate interest rate swap, which we modified and extended in October and now locks in 30 days SOFR until December 2025, at 3.9725% compared to current 30-day SOFR that currently exceeds 5%.

然而，我們在7 億美元名目本金固定利率互換下收到的250 萬美元現金支付緩解了較高的現金利息支出，我們在10 月份修改並延長了該互換期限，現在將30 天的SOFR 鎖定在2025 年12 月，利率為3.9725%。目前 30 天 SOFR 目前超過 5%。

Turning to operational results.

轉向營運結果。

Our total fleet horsepower at the end of the quarter increased by 1% to approximately 3.8 million horsepower, as we accepted delivery of 47,500 horsepower of new large horsepower units during the quarter.

本季末我們的車隊總馬力成長了 1%，達到約 380 萬馬力，因為我們在本季度接收了 47,500 馬力的新大馬力機組交付。

Our revenue-generating horsepower increased by 1% on a sequential quarter basis, primarily due to the addition of these new large horsepower units.

我們的創收馬力環比增長了 1%，這主要是由於這些新的大馬力機組的增加。

Fourth quarter 2023 expansion capital expenditures were $90.1 million, and our maintenance capital expenditures were $6.6 million.

2023 年第四季的擴張資本支出為 9,010 萬美元，維護資本支出為 660 萬美元。

Expansion capital spending continues to consist of reconfiguration and make ready of idle units along with the aforementioned delivery of 47,500 horsepower of new large horsepower units during the quarter.

擴張資本支出繼續包括重新配置和準備閒置裝置，以及上述本季交付的 47,500 匹馬力的新大馬力裝置。

We currently expect to take delivery of an additional 52,500 horsepower of new large horsepower units during the first half of 2024, with almost all expected during the first quarter, plus additional and ongoing conversion of current fleet idle units to active status.

目前，我們預計將在 2024 年上半年額外交付 52,500 匹馬力的新大馬力機組，幾乎全部預計在第一季度交付，此外還將不斷將當前車隊閒置機組轉為活躍狀態。

The new units represent the remainder of our late 2022 order.

新單位代表我們 2022 年末訂單的剩餘部分。

Additionally, throughout 2024, we anticipate the deployment of between 85,000 and 115,000 horsepower of existing uncontracted fleet assets at capital cost substantially below those of new organic growth equipment builds.

此外，我們預計 2024 年將全年部署 85,000 至 115,000 匹馬力的現有非合約車隊資產，其資本成本將大大低於新有機成長設備建造的資本成本。

Finally, I am pleased to share that on February 2, we made our 44th consecutive quarterly distribution payment.

最後，我很高興地告訴大家，2 月 2 日，我們連續第 44 次季度分配付款。

The $0.525 per unit distribution was flat to the previous quarter's distribution.

每單位 0.525 美元的分配與上一季的分配持平。

And with that, I'll turn the call back over to Eric Long for concluding remarks.

接下來，我會將電話轉回 Eric Long 進行總結發言。

Thank you, Eric.

謝謝你，埃里克。

Our 2023 full year and fourth quarter results again reflect USAC's commitment and ability to continue delivering meaningful value to our stakeholders.

我們的 2023 年全年和第四季度業績再次反映了 USAC 繼續為利害關係人提供有意義價值的承諾和能力。

Over the past five years, our total unitholder return has been 236%, beating the S&P 500 up 107%, over the same time period.

過去五年，我們的單位持有人總報酬率為 236%，同期標準普爾 500 指數上漲 107%。

We are grateful for the value we've been able to deliver to our stakeholders.

我們感謝能夠為利害關係人提供的價值。

We believe that our near-term reduction in capital growth, while focusing on internal efficiency and optimization will provide USAC greater financial flexibility and our stakeholders, a compelling value.

我們相信，我們近期減少資本成長，同時注重內部效率和優化，將為 USAC 提供更大的財務靈活性，並為我們的利害關係人提供令人信服的價值。

While we are all facing some general economic and political uncertainty in the near term, we believe we are well positioned to weather this uncertainty and continue improving our financial metrics for further capital cost improvement, leverage reductions, and distribution policy changes.

雖然我們在短期內都面臨著一些普遍的經濟和政治不確定性，但我們相信我們有能力應對這種不確定性，並繼續改善我們的財務指標，以進一步改善資本成本、降低槓桿率和改變分配政策。

To conclude, we are extremely pleased with our 2023 full year and fourth quarter results highlighted again by record quarterly revenues, adjusted EBITDA, distributable cash flow, and distribution coverage, which also featured continued improvements to utilization and contract pricing.

總而言之，我們對2023 年全年和第四季度的業績感到非常滿意，創紀錄的季度收入、調整後的EBITDA、可分配現金流和分銷覆蓋範圍再次凸顯了這一點，同時利用率和合約定價也持續改善。

We expect to file our Form 10-K with the SEC as early as this afternoon.

我們預計最快將於今天下午向 SEC 提交 10-K 表格。

And with that, we will open the call to questions.

接下來，我們將開始提問。

(Operator Instructions) Jeremy Tonet, JPMorgan.

（操作員指示）Jeremy Tonet，摩根大通。

Hey, everyone.

嘿大家。

This is Eli on for Jeremy.

這是伊萊 (Eli) 替傑里米 (Jeremy) 發言。

Just hoping the team could provide updated color around lead times for Cat engines and overall compression equipment?

只是希望團隊能夠在 Cat 引擎和整體壓縮設備的交貨時間內提供更新的顏色嗎？

How should we thinking about those lead times dynamics in the near and medium term?

我們應該如何考慮近期和中期的交付週期動態？

Thanks.

謝謝。

Hey, Eli, this is Eric Scheller.

嘿，伊萊，這是艾瑞克·謝勒。

Lead times for Cat equipment now are exceeding 40 to 45 weeks, just to receive the engines.

現在，僅接收發動機，Cat 設備的交貨時間就超過 40 至 45 週。

And then you still have packaging time that goes on top of that.

除此之外，你還有打包時間。

We are always talking to customers as they're looking at their production profiles and checking out what the demand is in excess of the current forecast we have for our horsepower.

我們總是與客戶交談，因為他們正在查看他們的生產概況並檢查需求是否超出了我們目前對馬力的預測。

Eli, this is Eric.

伊萊，這是埃里克。

I'll give a little additional color, because there's more than just new engine sourcing from Cat and others.

我將提供一些額外的顏色，因為不僅僅是從 Cat 和其他公司購買新引擎。

We continue to see supply chain bottlenecks.

我們繼續看到供應鏈瓶頸。

We've got subcomponent inventory issues.

我們遇到了子組件庫存問題。

We've got manufacturing issues.

我們遇到了製造問題。

So the misnomer that inflation had passed, and the supply chain problems are fixed, it is quite the opposite.

因此，「通貨膨脹已經過去，供應鏈問題已經解決」這一錯誤說法恰恰相反。

As we continue to onshore more and more activities, as we continue to have some of these geopolitical conflict escalations worldwide, we see continued pressure on supply chain into the future.

隨著我們繼續進行越來越多的境內活動，以及全球範圍內的地緣政治衝突繼續升級，我們看到未來供應鏈將面臨持續的壓力。

So things are not getting better.

所以事情並沒有好轉。

They roll around.

他們滾來滾去。

One day, it's a wiring harness and next day, it is bolts and nuts and gaskets.

有一天，它是線束，第二天，它是螺栓、螺母和墊圈。

And next day, it's related to turbochargers or head gaskets -- heads and valves and various things that go into keeping our engine running.

第二天，它與渦輪增壓器或缸蓋墊片有關——缸蓋和閥門以及保持引擎運轉的各種東西。

So I think that's one of the differentiators that some of the major players can bring to the table is long term, stable relationships with manufacturers or other alternative suppliers of equipment, so that we can make sure that our equipment continues to run.

因此，我認為一些主要參與者可以帶來的差異化因素之一是與製造商或其他設備替代供應商建立長期、穩定的關係，這樣我們就可以確保我們的設備繼續運作。

So just -- I think it's important for everybody to keep in mind, it's not just the access to new equipment, but it's making sure you can keep your existing equipment up and operational and running.

所以，我認為每個人都要記住這一點很重要，這不僅僅是獲得新設備的問題，而是確保您能夠保持現有設備的正常運作和運作。

And that trust me, in this environment, it's not an easy task right now.

相信我，在這種環境下，現在這不是一件容易的事。

Got it.

知道了。

Yeah, totally understand that.

是的，完全理解這一點。

And then maybe just if we could pivot to kind of some of the 2024 DCF guidance you guys provided.

然後也許我們可以轉向你們提供的一些 2024 年 DCF 指導。

Recognize there might be reduced growth CapEx, you mentioned in the opening remarks, but just wondering if you could dive further into your latest capital allocation prioritization.

您在開場白中提到，認識到成長資本支出可能會減少，但只是想知道您是否可以進一步深入了解最新的資本配置優先順序。

How should we be thinking about deleveraging, especially as you approach your leverage target versus growth CapEx levels?

我們應該如何考慮去槓桿化，特別是當您接近槓桿目標與成長資本支出水準時？

And then how do you kind of equity shareholder returns fit into that I'm thinking about the dividend and what you guys might do with that in the near term?

然後，你們的股本股東回報如何適應我正在考慮的股息以及你們在短期內可能會用它做什麼？

Yeah.

是的。

It's a really good question, it is probably front and center on a lot of our investors' minds, from retail as well as from our hedge funds and institutional investors

這是一個非常好的問題，它可能是我們許多投資者（包括散戶、對沖基金和機構投資者）頭腦中最關心的問題

(added by company after the call).

（由公司在通話後添加）。

So as we pointed out, we've got maturities coming up in '26 and '27 on roughly $1.5 billion worth of high-yield debt.

因此，正如我們所指出的，價值約 15 億美元的高收益債務將於 26 年和 27 年到期。

We want to make sure that before we address our distribution policy that we've been able to go through the refinance cycle, that's coming up here in the coming years.

我們希望確保在解決我們的分配政策之前，我們已經能夠經歷再融資週期，這將在未來幾年內出現。

You'll note that our distribution coverage was pushing 1.5 this time.

您會注意到，這次我們的分發覆蓋範圍提高到了 1.5。

You'll notice that our leverage is just a skosh over 4 and declining rapidly.

您會注意到我們的槓桿率僅超過 4，並且正在迅速下降。

So we also, flip side of that, saw an increase in 10-year treasuries this morning.

因此，另一方面，今天早上我們也看到了 10 年期公債的增加。

The probability of a rate cut in March that was almost 100% a few weeks ago is now less than 10%.

幾週前，3月降息的可能性幾乎是100%，現在則不到10%。

So the 10-year treasuries today are back almost 4.3%, a dramatic increase.

因此，今天 10 年期公債的漲幅接近 4.3%，漲幅驚人。

We had a net income hit of $10 million, which was due to swap valuation.

由於掉期估值，我們的淨利潤減少了 1000 萬美元。

Well, needless to say, that swap has increased in value here in the short term.

嗯，不用說，這種互換的價值在短期內已經增加了。

So what we're basically trying to do is fix our capital structure and improve our capital structure.

所以我們基本上想做的是修復我們的資本結構並改善我們的資本結構。

We don't have any novated debt sitting up at the parent company that is an overhang.

我們的母公司沒有任何懸而未決的更新債務。

What you see is what you get with USA.

你所看到的就是你在美國得到的。

And our intent is to work on our capital structure with those two tranches of high yields.

我們的目的是透過這兩部分高收益來改善我們的資本結構。

We've got plenty of time to address those things.

我們有足夠的時間來解決這些問題。

EIG, recently, as we noted, converted roughly $40 million of preferred into common.

正如我們所指出的，EIG 最近將約 4000 萬美元的優先股轉換為普通股。

We actually like that.

我們實際上喜歡這樣。

It gives us some additional liquidity and float in the marketplace.

它為我們提供了一些額外的流動性和市場流通量。

We've had a couple of large institutions who've been holders of our securities since the IPO, who trimmed their positioned recently.

自首次公開募股以來，有幾家大型機構一直持有我們的證券，最近他們削減了部位。

So I think what we have going on here is a longer-term secular rotation from some of the folks that have been in for a long period of time to some new players, the index funds and some new institutions that have been coming into our securities.

因此，我認為我們正在發生的是長期的長期輪換，從一些已經存在很長一段時間的人到一些新的參與者、指數基金和一些已經進入我們證券的新機構。

And what we want to do is just continue to methodically de-lever the balance sheet, get some clarity in the marketplace, with a year lead time on sourcing new equipment and with the cost associated with this new equipment, we think we've got honestly, better returns for our shareholders and continuing to slow the growth, look opportunistically at some equipment sourcing opportunities that we have.

我們想要做的只是繼續有條不紊地去槓桿化資產負債表，在市場上獲得一些清晰的信息，在採購新設備的準備時間為一年以及與該新設備相關的成本的情況下，我們認為我們已經老實說，為了給我們的股東帶來更好的回報並繼續減緩成長，機會主義地看待我們擁有的一些設備採購機會。

We continue to focus on the decarbonization world with dual drive and various other elements associated with that.

我們繼續關注雙驅動的脫碳世界以及與之相關的各種其他元素。

Electrification is not a panacea that everybody expected it is in.

電氣化並不是每個人都期望的萬靈丹。

You think the compression business has supply chain bottlenecks.

您認為壓縮業務存在供應鏈瓶頸。

All of the folks in the electric business have some very serious limitations and bottlenecks in equipment sourced from China and India and places that we can't control the supply chain.

所有從事電力行業的人在從中國和印度採購的設備以及我們無法控制供應鏈的地方都存在一些非常嚴重的限制和瓶頸。

So long-winded way to say, right now, we're focused -- laser focused on maintaining financial flexibility.

這麼囉嗦地說，現在我們的重點是──高度專注於維持財務彈性。

Our Board, of course, makes the policy decision related to distributions.

當然，我們的董事會做出與分配相關的政策決定。

But I think from all indications of what I see, in my reading of the tea leaves, we're going to continue to be conservative over the coming quarters, continue to de-lever, build distribution coverage.

但我認為，從我所看到的所有跡象來看，在我對茶葉的解讀中，我們將在未來幾季繼續保持保守，繼續去槓桿化，建立分銷覆蓋範圍。

We will get our capital structure fixed up for the next round of five to eight years or so.

我們將在下一輪五到八年左右的時間內確定我們的資本結構。

And at that point in time is when we will address what do we do next.

到那時我們將討論下一步該做什麼。

We've been through this rodeo many, many times.

我們已經經歷過這種牛仔競技表演很多很多次了。

And when everything is from the bottom left of the page to the top right of the page and bluebirds and rainbows, it's easy to manage through.

當所有內容都從頁面左下角到頁面右上角以及藍鳥和彩虹時，就很容易管理。

We've always pulled our horns in a little bit before our peers.

我們總是比同行先一步。

And because of that, we've been able to weather and manage the inevitable downturns as it come.

正因為如此，我們能夠抵禦並應對不可避免的經濟衰退。

I'd like to point (corrected by company after the call) out the fact that our unit price is near a record high.

我想指出（公司在電話會議後更正）我們的單價接近歷史新高這一事實。

And we've been public for 10 years, and we bumped up $26 a unit here recently.

我們已經上市 10 年了，最近我們把每單位的售價提高了 26 美元。

So good times when they get here, short times till they're gone.

當他們來到這裡時，時光是如此美好，而離他們離開的時間也很短。

So we want to make sure that we are positioned for stability.

因此，我們希望確保我們的定位是穩定的。

There are growth opportunities at the appropriate time we'll be able to capitalize upon.

在適當的時候，我們可以利用一些成長機會。

But for right now, a little bit of choppy waters ahead, and we intend to pull our horns in and make sure that we're here for the long haul.

但就目前而言，前面的波濤洶湧，我們打算拉緊我們的角，確保我們能長期堅持下去。

What does that mean for shareholders?

這對股東意味著什麼？

When you look at our total shareholder returns over the last five years, it has outperformed the S&P, outperformed our peer group.

當你看到我們過去五年的股東總回報時，你會發現它的表現優於標準普爾指數，優於我們的同業集團。

And we're here to tell you that if you look into the crystal ball five years from now and you look in the rearview mirror, we intend that our TSR will be at the top decile or quartile of performance versus our peers and versus alternative investments.

我們在這裡告訴您，如果您從現在起五年後看水晶球，然後看後視鏡，我們希望我們的TSR 與我們的同行和另類投資相比，將處於績效的前十分之一或四分之一。

Got it, yeah, I appreciate all the detail.

明白了，是的，我很欣賞所有的細節。

I will leave it there, thanks.

我會把它留在那裡，謝謝。

Thank you.

謝謝。

Gabriel Moreen, Mizuho Securities.

加布里埃爾·莫林，瑞穗證券。

Hi, everyone.

大家好。

It's Rob on for Gabe.

羅布替補加布。

So there's been some consolidation in the compression space.

因此，壓縮空間進行了一些整合。

Wondering how and whether you see that affecting the competitive dynamic in the space?

想知道您是否認為這會影響該領域的競爭動態？

And from your vantage point, are there bolt-on opportunities available out there for compression?

從您的角度來看，是否有可用於壓縮的補充機會？

And is that what you're alluding to in referencing equipment sourcing opportunities?

這就是您在提到設備採購機會時所提到的嗎？

You know, Rob, we never speculate on M&A opportunities.

你知道，羅布，我們從不猜測併購機會。

We look at everything that's out there, anything that we do would need to be strategic, that would need to be accretive.

我們專注於現有的一切，我們所做的任何事情都需要具有策略性，需要具有增值性。

We don't need to grow just for the sake of growth.

我們不需要僅僅為了成長而成長。

We grow to enhance returns for our shareholders.

我們不斷成長，以提高股東的回報。

So there are some things out there that we've looked at.

我們已經研究過一些事情。

There are things that we've passed on.

有些東西我們已經傳承下來了。

There are things that we'll continue to look at.

我們將繼續關註一些事情。

So at this stage, I think it will be more opportunistically driven.

所以現階段我認為會比較是機會主義驅動的。

Consolidation is a positive.

整合是正面的。

There is, historically, we had an oligopolistic situation with two major players and now, we almost have a triumvirate with a new third.

從歷史上看，我們曾經歷過由兩個主要參與者組成的寡頭壟斷局面，而現在，我們幾乎形成了一個由新的第三個參與者組成的三巨頭格局。

So it remains to be seen if the discipline that becoming a larger, more stable player in our industry brings that, that discipline remains there.

因此，成為我們行業中更大、更穩定的參與者的紀律是否會帶來這種紀律仍然存在還有待觀察。

We expect that it will because frankly, there's far more opportunities for those three large players to go around., than there is frankly, available equipment.

我們預計會出現這種情況，因為坦率地說，這三個大玩家的機會比坦率地說可用的設備要多得多。

So far so good.

到目前為止，一切都很好。

I think we'll stay the course.

我想我們會堅持到底。

And If and when there's any M&A opportunities, you'll be the first to see in a press release.

如果有任何併購機會，您將是第一個在新聞稿中看到的。

Thanks.

謝謝。

Appreciate that, Eric.

很欣賞這一點，艾瑞克。

And maybe if you could unpack in your prepared remarks, you said that those commercial discussions for new units still kind of at an impasse for customers not willing to commit on the rate or term.

也許您可以在準備好的發言中解釋一下，您說，對於不願意承諾價格或條款的客戶來說，新設備的商業討論仍然陷入僵局。

Maybe could you provide some more color into whether there's been some softening around that dynamic, or is it still pretty similar to what you saw last quarter?

也許您可以提供更多資訊來說明這種動態是否有所緩和，或者是否仍然與您上季度看到的情況非常相似？

Hey, this is Scheller.

嘿，這是謝勒。

I think it's like the ice cube starting to melt.

我認為這就像冰塊開始融化。

We're now in the middle of the first quarter.

我們現在正處於第一季中期。

We are taking some inbounds and discussions as people are looking at their production curves, trying to figure out what available capacity we could shuffle around to optimize networks and to optimize flows into the pipe.

當人們查看他們的生產曲線時，我們正在進行一些入站和討論，試圖找出我們可以調整哪些可用容量來優化網路和優化進入管道的流量。

So we always have these conversations on a continuous basis with our customers to figure out what that forward looks like, especially given that we're talking about a year out to get new units.

因此，我們總是與客戶進行持續的對話，以了解未來的情況，特別是考慮到我們正在談論一年後獲得新設備。

Got it.

知道了。

Appreciate the time, everyone.

大家珍惜時間吧。

Thank you.

謝謝。

James Spicer, TD Securities.

詹姆斯·斯派塞，道明證券。

Hi, good morning.

早安.

You spoke about the need to refinance the high-yield bonds at some point and wanting to address the capital structure.

您談到需要在某個時候對高收益債券進行再融資，並希望解決資本結構問題。

Another component there is the revolver.

另一個部件是左輪手槍。

You ended the quarter with $872 million of revolver borrowings, that's about $260 million year-over-year.

截至本季末，您的循環借款為 8.72 億美元，年比約為 2.6 億美元。

Maybe you can just speak a little bit about your comfort around that level of revolver utilization and how that factors into your overall plans for the balance sheet?

也許您可以談談您對左輪手槍使用水平的舒適度，以及這如何影響您的資產負債表總體計劃？

Yes, James, obviously, the revolver is our lowest cost of capital that we have in our capital stack.

是的，詹姆斯，顯然，左輪手槍是我們資本堆疊中最低的資本成本。

We've had a long relationship with our bank syndicate.

我們與銀行銀團有著長期的合作關係。

Literally, we're talking 12 years, 14 years associated with to --I think, there, our first finance was 2006 back with that group.

從字面上看，我們談論的是 12 年、14 年——我想，我們的第一個融資是 2006 年與該團隊合作的。

So we're in excess of 15 years, 16 years now.

所以我們現在已經超過15年、16年了。

We've got a $1.6 billion commitment with, as you pointed out, 850, 875 drawn.

正如您所指出的，我們已經承諾了 16 億美元，其中 850、875 美元已到位。

We've got plenty of capacity.

我們有足夠的能力。

When you look at the availability, we've got plenty availability to finance future growth to the extent we opt to do so.

當您查看可用性時，我們有足夠的可用性來為未來的成長提供資金，只要我們選擇這樣做。

The bank group is very, very stable.

銀行集團非常非常穩定。

We've actually had a recent entrant who was able to consolidate a couple of smaller players or some of the European institutions in energy, who are migrating out of the domestic energy business.

事實上，我們最近有一個新進者，他能夠整合一些規模較小的參與者或一些正在退出國內能源業務的歐洲能源機構。

So we solidified that with a much larger, longer term strategic type of financing institution, who has an appetite to be in compression in and in energy in general.

因此，我們透過規模更大、更長期的策略型融資機構鞏固了這一點，該機構有興趣壓縮能源領域的整體規模。

So we're very comfortable with that ABL facility.

所以我們對 ABL 設施非常滿意。

I think our vision has always been, let's use that as a growth platform.

我認為我們的願景一直是，讓我們將其作為成長平台。

And at some point when it gets large that it grows to a certain point, rather than moving that from all floating rate debt, we will term some of that up and move that into a high yield facility.

在某個時候，當它成長到某個點時，我們不會將其從所有浮動利率債務中轉移出來，而是將其中的一部分提高並轉移到高收益工具中。

So at this stage, we did put a $700 million notional float to fixed commitment in place.

因此，在這個階段，我們確實將 7 億美元的名義浮動資金落實到了固定承諾上。

Our interim -- effective interest rate of some 4%, 3.9725% or so on that facility.

我們的中期實際利率約為 4%、3.9725% 左右。

So it's an attractive cost of capital for us, and we just need to continually look to optimize and balance fixed versus floating.

因此，這對我們來說是一個有吸引力的資本成本，我們只需要不斷尋求最佳化和平衡固定與浮動。

We do have capacity and do have access to capital, unlike frankly, most of the peers in the compression industry are pretty tapped out.

我們確實有能力並且確實有機會獲得資金，但坦白說，壓縮行業的大多數同行都已經精疲力竭。

We've got the line to play with should we so desire.

如果我們願意的話，我們可以使用這條線。

And I think this is what your management team's paid to do is every single day in every single quarter, every single year to look at that capital structure, figure out how we optimize that, how does that fit in with our growth plans and we will balance accordingly.

我認為這就是你的管理團隊付錢去做的事情，就是每一天、每一季、每一年都要審視資本結構，弄清楚我們如何優化它，它如何適應我們的成長計劃，我們將相應地進行平衡。

Okay.

好的。

That's great color.

那顏色真棒。

I appreciate it.

我很感激。

And one more, if I could.

如果可以的話，再來一張。

I was just curious about the drivers behind that preferred unit conversion and what your expectations are around additional conversions in 2024.

我只是好奇這種首選單位轉換背後的驅動因素，以及您對 2024 年額外轉換的期望。

Yeah, that is something we really don't have a lot of insight or color into.

是的，這確實是我們沒有太多洞察力或色彩的事情。

I think there was -- it was probably done opportunistically.

我認為這可能是機會主義的。

I point you to the public docs, you can figure out that they've got a conversion price of $20.01. And when the units are running in that $25, $26 range, clearly, there's some economic incentives for them to do so.

我指給你看公共文檔，你可以發現他們的轉換價格是 20.01 美元。當這些設備的運作價格在 25 至 26 美元範圍內時，顯然，他們這樣做有一些經濟誘因。

They did have the warrants associated with the preferred when we put that together.

當我們將其放在一起時，他們確實擁有與優先股相關的認股權證。

Those have all been cash settled and cleared out.

這些都已現金結算並清算完畢。

Some of the -- there were some converted to common, and those have all been disseminated out into the public hands.

其中一些——有一些轉換為普通的，並且所有這些都已傳播到公眾手中。

They did convert $40 million.

他們確實兌換了 4000 萬美元。

Depends where the unit price is.

要看哪裡的單價。

If the unit price is -- you look at underwriter discount or the current strike price minus underwriter discount less than $20.01, if it is economic, they may continue to do so.

如果單價是－你看看承銷商折扣或目前執行價減去承銷商折扣小於20.01美元，如果經濟的話，他們可能會繼續這樣做。

There's some softness in the security price, probably not.

證券價格有些疲軟，但可能不會。

So they're happy with the investment.

所以他們對投資感到滿意。

It's a 9.75% current pay, so there's no big incentive for them to exit the facility.

目前工資率為 9.75%，因此他們沒有太多動力離開該機構。

And we got plenty of time and tenure associated with it.

我們有充足的時間和任期與之相關。

So I don't see them in a rush to exit.

所以我不認為他們急於退出。

I see them like any investor being methodical and trying to optimize their financial returns over time.

我認為他們像任何投資者一樣有條不紊，並努力隨著時間的推移優化他們的財務回報。

And with the EIG, I would expect nothing less than that in the future.

對於 EIG，我對未來的期望不會低於此。

Okay, makes sense, thank you.

好的，有道理，謝謝。

Thank you very much.

非常感謝。

There are no further questions at this time.

目前沒有其他問題。

This concludes today's call.

今天的電話會議到此結束。

You may now disconnect.

您現在可以斷開連線。