Vertiv Holdings Co (VRT) 2022 Q2 法說會逐字稿

Good morning. My name is Nadia, and I'll be your conference operator today. At this time, I would like to welcome everyone to Vertiv's Second Quarter 2022 Earnings Conference Call. (Operator Instructions) Please note that this call is being recorded.

早安.我叫納迪亞，今天我將擔任你們的會議接線生。此時，我謹歡迎大家參加 Vertiv 2022 年第二季財報電話會議。 （操作員說明）請注意，此通話正在錄音。

I would now like to turn the program over to your host for today's conference call, Lynne Maxeiner, Vice President of Investor Relations.

現在我想將會議議程交給今天電話會議的主持人、投資者關係副總裁 Lynne Maxeiner。

Great. Thank you, Nadia. Good morning and welcome to Vertiv's Second Quarter 2022 Earnings Conference Call. Joining me today are Vertiv's Executive Chairman, Dave Cote; Chief Executive Officer, Rob Johnson; Chief Financial Officer, David Fallon; and Chief Strategy and Development Officer, Gary Niederpruem.

偉大的。謝謝你，納迪亞。早安，歡迎參加 Vertiv 2022 年第二季財報電話會議。今天與我一起出席的有維諦技術 (Vertiv) 執行主席戴夫·科特 (Dave Cote)；執行長羅布·約翰遜；財務長大衛法倫；首席策略與發展長 Gary Niederpruem。

Before we begin, I point out that during the course of this call, we will make forward-looking statements regarding future events, including the future financial and operating performance of Vertiv. These forward-looking statements are subject to material risks and uncertainties that could cause actual results to differ materially from those in the forward-looking statements. We refer you to the cautionary language included in today's earnings release, and you can learn more about these risks in our annual and quarterly reports and other filings with the SEC.

在開始之前，我指出，在本次電話會議期間，我們將就未來事件做出前瞻性陳述，包括 Vertiv 未來的財務和營運績效。這些前瞻性陳述存在重大風險和不確定性，可能導致實際結果與前瞻性陳述中的結果有重大差異。我們建議您參考今天的收益發布中包含的警示性語言，您可以在我們的年度和季度報告以及向 SEC 提交的其他文件中了解有關這些風險的更多資訊。

Any forward-looking statements that we make today are based on assumptions that we believe to be reasonable as of this date. We undertake no obligation to update these statements as a result of new information or future events. During this call, we will also present both GAAP and non-GAAP financial measures. Our GAAP results and GAAP to non-GAAP reconciliations can be found in our earnings press release and the investor slide deck found on our website at investors.vertiv.com.

我們今天所做的任何前瞻性陳述都是基於我們認為截至目前為止合理的假設。我們不承擔因新資訊或未來事件而更新這些聲明的義務。在本次電話會議中，我們也將介紹 GAAP 和非 GAAP 財務指標。我們的 GAAP 業績以及 GAAP 與非 GAAP 調整表可在我們的收益新聞稿中找到，以及在我們的網站 Investors.vertiv.com 上找到的投資者幻燈片。

With that, I'll turn the call over to Executive Chairman, Dave Cote.

接下來，我會將電話轉給執行主席戴夫·科特 (Dave Cote)。

As I mentioned on our previous calls, we're taking 2022 a quarter at a time with an escalating performance profile as price increases realized. It has taken time to work our way through the backlog, but as we do, performance escalates. The profile will look exactly the same as we outlined in February, but in substance, the story and performance are in line with that profile.

正如我在之前的電話會議中提到的，我們將 2022 年作為一個季度，隨著價格上漲，業績狀況不斷升級。我們需要時間來解決積壓的問題，但隨著我們的努力，效能會不斷提升。該簡介看起來與我們在二月份概述的完全相同，但實質上，故事和表演都符合該簡介。

End-market demand remains robust. Our order rates reflect this strength. And as market leaders in these spaces, we are furthering the gap by accelerating our new product introductions. We also continue addressing the operational areas, particularly in the Americas, that have caused shortfalls historically. While there are still some improvements to work through, the SIOP process in Americas under the leadership of Giordano Albertazzi is better aligned than ever. There is still work to do, but certainly, it is in a much better place and continuing to improve.

終端市場需求依然強勁。我們的訂單率反映了這種優勢。作為這些領域的市場領導者，我們正在透過加快新產品的推出來擴大差距。我們也持續解決歷史上造成資金短缺的業務領域，特別是美洲地區的問題。儘管仍有一些改進工作需要完成，但在 Giordano Albertazzi 的領導下，美洲的 SIOP 流程比以往任何時候都更加協調一致。仍有工作要做，但可以肯定的是，它已經處於更好的位置並且正在繼續改進。

There are other process improvements also being addressed by the new management team in the Americas. They are getting after challenging areas that have really become apparent during these recent periods of high volatility. The new management team is doing exactly what we need them to do: cleaning these up and resetting the base for a great runway ahead in the fourth quarter and 2023 in a very profitable part of the business, the Americas.

美洲的新管理團隊也正在解決其他流程改善問題。他們正在尋找在最近的高波動時期真正變得明顯的具有挑戰性的領域。新的管理團隊正在做我們需要他們做的事情：清理這些問題，並為第四季度和 2023 年在業務利潤豐厚的美洲地區的良好發展奠定基礎。

Third quarter is expected to be a sequential step-up in performance followed by another expected large step up for Q4. I know some of you may question our ability to deliver the second half as presented in our guidance, especially a significant fourth quarter. But the team will walk you through why and how we believe that will happen as price realization improves and supply improves with newly qualified suppliers.

預計第三季業績將連續上升，第四季預計將再次大幅上升。我知道你們中的一些人可能會質疑我們能否按照我們的指導意見交付下半年的業績，尤其是重要的第四季。但團隊將引導您了解我們認為隨著價格實現的提高和新合格供應商的供應的改善，這種情況會發生的原因和方式。

We remain on pace to achieve a significant step-up in financial performance that supports the earnings profile we presented at in February. End markets remain strong, inflation is starting to moderate. We are navigating supply chain challenges and bringing additional suppliers online, and price is sticking. With the anticipated performance profile, we expect that 2023 can be a very good year for Vertiv and our shareholders.

我們將繼續努力實現財務業績的顯著提升，以支持我們 2 月公佈的獲利狀況。終端市場依然強勁，通膨開始放緩。我們正在應對供應鏈挑戰，並讓更多供應商上線，而且價格保持不變。根據預期的業績狀況，我們預計 2023 年對於 Vertiv 和我們的股東來說將是非常好的一年。

So with that, I'll turn the call over to Rob.

因此，我會將電話轉給 Rob。

Thank you, Dave. Q2 was another step forward in delivering on our commitments for 2022. Starting with some of the key messages on Slide 3. Demand continues at a pace I've not seen in the 30 years of my career in this market. Orders were up 17% in second quarter, 11% from volume and 10% from higher prices with a 4% deduct for foreign exchange. Our customers are focused on securing supply in a tight market, and we see that both in our orders and backlog, which firms up the demand outlook well into 2023.

謝謝你，戴夫。第二季是我們在履行2022 年承諾方面又向前邁出了一步。從幻燈片3 中的一些關鍵資訊開始。需求持續成長的速度是我在這個市場的30 年職業生涯中從未見過的。第二季訂單成長 17%，其中數量成長 11%，價格上漲 10%（扣除 4% 的外匯）。我們的客戶專注於在緊張的市場中確保供應，我們在訂單和積壓訂單中都看到了這一點，這堅定了 2023 年的需求前景。

Our adjusted operating profit exceeded the midpoint of our guidance. We continue to work through a number of key actions for improvement. But where we have fully implemented change, we are seeing the benefits take hold. Key among them is our pricing performance. We have proved to ourselves and now, hopefully, to you, our investors, that we are a business that can get price. Our pricing plan remains at $360 million for the full year.

我們調整後的營業利潤超過了指導的中點。我們繼續採取一些關鍵的改善行動。但在我們全面實施改變的地方，我們看到了好處。其中關鍵是我們的定價表現。我們已經向自己證明，現在也希望向您，我們的投資者證明，我們是一家可以獲得價格的企業。我們的全年定價計劃仍為 3.6 億美元。

Supply chain continues to be challenging, but we've made very good progress in securing qualified second and third sources of supply for key components, and we'll start seeing the benefit from that activity in Q3 and more fully in Q4. Our new thermal facility in Monterrey, Mexico has started production, and we have a new fan supplier coming online that has committed to help us meet the significant demand we are seeing across the thermal management market.

供應鏈仍然面臨挑戰，但我們在確保關鍵零件合格的第二和第三供應來源方面取得了非常好的進展，我們將在第三季度開始看到該活動的好處，並在第四季度更充分地看到這一好處。我們位於墨西哥蒙特雷的新熱工廠已開始生產，並且我們有一個新的風扇供應商上線，該供應商致力於幫助我們滿足整個熱管理市場的巨大需求。

Our work qualifying new suppliers is not only limited to fans. We have also qualified new breaker manufacturers, semiconductor suppliers and other suppliers. While there's still more work to do, we have been very aggressive in our actions to manage the challenging supply chain environment, most notably in the electronic components.

我們篩選新供應商的工作不僅限於粉絲。我們也對新的斷路器製造商、半導體供應商和其他供應商進行了資格認證。儘管還有更多工作要做，但我們一直非常積極地採取行動來管理充滿挑戰的供應鏈環境，尤其是在電子元件領域。

In light of the supply change conditions and in conjunction with the expected significant sales increase in the second half of the year, we have not been able to reduce inventory as quickly or as significantly as we anticipated and communicated to you earlier in this year. While we're expected to use cash in the second quarter, it was larger than we anticipated. Although there should be an improvement in the next 6 months, we are reducing our full year expectations for free cash flow to a range of $25 million of use to $25 million of cash generation.

鑑於供應變化情況以及預計下半年銷售量大幅成長，我們未能像今年稍早預期並與您溝通的那樣快速或大幅減少庫存。雖然我們預計第二季將使用現金，但數量超出了我們的預期。儘管未來 6 個月應該會有所改善，但我們將全年自由現金流預期降低至 2,500 萬美元的使用至 2,500 萬美元的現金產生範圍。

As Dave mentioned, we made significant progress in our SIOP process globally, but we are especially happy with the progress that we've made in Americas and believe, based on these improved processes, inventory reduction should be a significant source of cash flow in 2023. While there are many moving pieces, we provided updated guidance for our adjusted operating profit, reducing the midpoint by $25 million. We have provided a detailed bridge on the changes on these slides on Slide 12 that David Fallon will cover shortly. There is some rebalancing between third and fourth quarter. But in aggregate, we are still on pace to deliver a very strong second half with a noticeable step-up across key financial metrics.

正如 Dave 所提到的，我們在全球 SIOP 流程中取得了重大進展，但我們對美洲的進展特別滿意，並相信，基於這些改進的流程，庫存減少應該成為 2023 年現金流的重要來源雖然有許多變化，但我們為調整後的營業利潤提供了更新的指導，將中點減少了2500 萬美元。我們在幻燈片 12 上提供了有關這些幻燈片的更改的詳細橋樑，David Fallon 很快就會介紹。第三季和第四季之間存在一些重新平衡。但總的來說，我們仍有望在下半年實現非常強勁的業績，關鍵財務指標顯著提高。

Turning to Slide 4. This slide summarizes what we see in the market by region. No change in our view across our end markets versus what we saw in April. They are still quite healthy and very strong. Cloud and colocation remain robust. You've seen this in the cloud growth rates reported by all major cloud providers. AWS reported last week that their cloud business increased 33% in the second quarter and believes that we are still in the early stages of enterprise and public sector cloud adoption. Certainly, the growth in cloud market supports this view. Data growth is not slowing down.

轉向投影片 4。這張投影片總結了我們按地區劃分的市場狀況。與四月相比，我們對終端市場的看法沒有改變。他們仍然非常健康並且非常強壯。雲端和託管仍然強勁。您已經在所有主要雲端提供者報告的雲端成長率中看到了這一點。 AWS 上週報告稱，他們的雲端業務在第二季度成長了 33%，並認為我們仍處於企業和公有部門雲端採用的早期階段。當然，雲端市場的成長支持了這一觀點。數據成長並未放緩。

Our view on the enterprise and small to medium business remained consistent from Q1, and we believe edge applications will continue to provide growth and lift for these markets. The communication market continues to see 5G investment, and we're aligned with all the relevant players in this space.

我們對企業和中小型企業的看法與第一季保持一致，我們相信邊緣應用將繼續為這些市場提供成長和提升。通訊市場持續看到 5G 投資，我們與該領域的所有相關參與者保持一致。

In the commercial and industrial market, vital applications continue to drive growth and opportunities for Vertiv. The market outlook remains very healthy. It is likely our year-over-year order growth rate will moderate in the second half as the comparisons to prior year will be difficult. But I want to reiterate the end markets we play in continue to be very, very good shape.

在商業和工業市場，重要的應用繼續推動 Vertiv 的成長和機會。市場前景仍然非常健康。由於與去年相比將很困難，下半年我們的訂單年增率可能會放緩。但我想重申，我們所處的終端市場仍然非常非常好。

Moving on to Slide 5. Customer demand remains strong. Our order rate and backlog are a clear demonstration of this strength. We are delivering on our price plan and have implemented price actions needed to deliver the second half pricing plans, including that on our book-and-ship business.

轉到投影片 5。客戶需求依然強勁。我們的訂單率和積壓訂單清楚地證明了這種實力。我們正在實施我們的價格計劃，並實施了實施下半年定價計劃所需的價格行動，包括我們的預訂和運輸業務。

As I said earlier, supply chain continues to be challenging, especially in electronics. We do not expect this to abate in 2022, and we anticipate that we will see pressure at least through the first half of 2023. We have incurred higher costs for electronic components since we had to go to the spot market to secure some of that supply.

正如我之前所說，供應鏈仍然面臨挑戰，尤其是在電子產業。我們預計這種情況不會在 2022 年減弱，並且我們預計至少到 2023 年上半年我們都會面臨壓力。由於我們必須前往現貨市場來確保部分供應，因此我們的電子元件成本較高。

In addition, material and freight inflation was higher as absolute dollars for the second quarter, but generally in line with the -- adjusted for the higher volume. We have started to see some relief in commodity and freight markets. We typically see a benefit on this on a quarter lag, but expected to provide a nice tailwind for us as we go into 2023. We've made good progress in qualifying additional suppliers on key components and should start seeing additional supply hit our factories in late Q3 and further into Q4. This provides support to our volume assumptions for the ramp in Q3 and Q4.

此外，第二季的材料和貨運通膨以絕對美元計算較高，但總體與根據較高的交易量調整後的情況一致。我們開始看到商品和貨運市場有所緩解。我們通常會看到季度滯後帶來的好處，但預計在進入2023 年時將為我們提供良好的推動力。我們在關鍵零件的額外供應商資格認定方面取得了良好進展，並且應該會開始看到我們的工廠在2023 年獲得額外供應。第三季末，並進一步進入第四季。這為我們對第三季和第四季銷售成長的假設提供了支持。

We have to add some fixed costs sooner than anticipated to support the volume lift in areas such as our new thermal plant in Monterrey, Mexico. In summary, the market remains strong. Supply chain is still complex, but we are getting to the implementation phase for the new suppliers that should help alleviate sourcing pressures on the most critical components.

我們必須比預期更早增加一些固定成本，以支持墨西哥蒙特雷的新熱電廠等地區的銷售提升。總而言之，市場依然強勁。供應鏈仍然很複雜，但我們正在進入新供應商的實施階段，這將有助於減輕最關鍵組件的採購壓力。

With that, I'll now turn it over to David to walk us through the financials. David?

現在，我將把它交給大衛，讓他帶我們了解財務狀況。大衛？

Thanks, Rob. Turning to Page 6. This slide summarizes our second quarter financial results. As you can see, net sales increased 11% from last year's second quarter, and we're up 8% organically, including 2% from volume and 6% from price. The E&I acquisition added $114 million in net sales and was partially offset by a $60 million FX headwind, more than 70% of that headwind in EMEA. And we also had a headwind related to the divestiture of our industrial UPS business in EMEA, and that was a $17 million headwind.

謝謝，羅布。翻到第 6 頁。這張投影片總結了我們第二季的財務表現。正如您所看到的，淨銷售額比去年第二季度增長了 11%，有機增長了 8%，其中銷量增長了 2%，價格增長了 6%。 E&I 收購增加了 1.14 億美元的淨銷售額，但被 6,000 萬美元的外匯不利因素部分抵消，其中 70% 以上來自歐洲、中東和非洲地區。我們也遇到了與剝離 EMEA 工業 UPS 業務相關的不利因素，即 1,700 萬美元的不利因素。

Pricing added $80 million in the quarter, which was in line with guidance and double what we saw in the first quarter as we continue to burn through the lower-priced backlog and recognize more sales booked after we implemented substantial price increases late last year and earlier this year. Adjusted operating profit of $82 million exceeded the midpoint of guidance, but was $52 million lower than last year's second quarter.

本季定價增加了8000 萬美元，這符合指導方針，是我們在第一季度看到的兩倍，因為我們繼續消耗低價積壓訂單，並在去年年底和早些時候實施大幅提價後確認了更多的銷售預訂今年。調整後營業利潤為 8,200 萬美元，超過指導中位數，但比去年第二季低 5,200 萬美元。

We list some of the components of this reduction at the bottom of the page. But in summary, there was $11 million -- or $10 million unfavorable price/cost; and $45 million headwind from FX and other, including a $10 million foreign exchange headwind; $10 million from direct labor, inflation and inefficiency, in part driven by the supply chain challenges; and approximately $20 million from cost headwinds in the Americas, primarily related to customer support costs, our sales incentive compensation program and several other drivers.

我們在頁面底部列出了這種減少的一些組成部分。但總的來說，有 1100 萬美元——或者 1000 萬美元的不利價格/成本；來自外匯和其他方面的 4500 萬美元逆風，其中包括 1000 萬美元的外匯逆風； 1000 萬美元來自直接勞動力、通貨膨脹和低效率，部分原因是供應鏈挑戰；美洲的成本逆風帶來約 2000 萬美元，主要與客戶支援成本、我們的銷售激勵補償計劃和其他幾個驅動因素有關。

We expect to see continued year-over-year cost headwinds in the Americas in the third quarter, but we believe we have identified and addressed most of these issues as we will enter the fourth quarter and transition into 2023. Adjusted diluted EPS was $0.10 for the quarter, which was in line with guidance. Second quarter free cash flow was negative $232 million. While we expected a net use of cash, it was certainly higher than we anticipated.

我們預計第三季美洲地區將繼續出現同比成本逆風，但我們相信，隨著我們將進入第四季度並過渡到2023 年，我們已經發現並解決了大部分問題。調整後的攤薄每股收益為0.10 美元該季度，這符合指導。第二季自由現金流為負 2.32 億美元。雖然我們預期現金淨使用量，但它肯定高於我們的預期。

As Rob mentioned, we have not reduced inventory consistent with our expectations at the beginning of the year, in part due to continued supply chain challenges, but also in preparation for the significant volume ramp in the second half of the year. We are improving our SIOP processes globally. And as Dave mentioned, notably in the Americas, and we expect to receive an inventory free cash flow dividend at some point in 2023.

正如羅布所提到的，我們並沒有按照年初的預期減少庫存，部分原因是供應鏈持續面臨挑戰，但也是為了為下半年銷售大幅成長做好準備。我們正在全球範圍內改進我們的 SIOP 流程。正如戴夫所提到的，特別是在美洲，我們預計將在 2023 年的某個時候獲得庫存自由現金流股息。

Turning to Page 7. This slide summarizes our second quarter segment results. We saw a sequential quarterly improvement in organic sales growth, adjusted operating profit and adjusted operating margin across all 3 regions. The Americas region grew organically 6.6% or $37 million with most of that growth coming from price. We do anticipate more balance between price and volume in Americas in the second half of 2022, including mid-teen year-over-year volume growth as we continue to qualify new suppliers and launch the Monterrey facility.

翻到第 7 頁。這張投影片總結了我們第二季的部門表現。我們看到所有 3 個地區的有機銷售成長、調整後營業利潤和調整後營業利潤率均出現較上季改善。美洲地區有機成長 6.6%，即 3,700 萬美元，其中大部分成長來自價格。我們確實預計 2022 年下半年美洲的價格和銷售將更加平衡，包括隨著我們繼續篩選新供應商並啟動蒙特雷工廠，銷售量將實現同比中位數成長。

Americas adjusted operating profit of $82 million was negatively impacted year-over-year by price/cost, higher fixed costs, including to support the volume ramp-up in the second half and additional cost headwinds we referenced on the previous slide. In APAC, organic sales increased 5.9% despite the China COVID lockdowns, which we estimate lowered second quarter sales by approximately $30 million. Notwithstanding the impact of the lockdowns, adjusted operating profit for APAC was actually higher than our expectations as we were able to drive higher sales in other APAC subregions while managing fixed costs.

美洲調整後營業利潤為 8,200 萬美元，年比受到價格/成本、固定成本上漲（包括支持下半年銷售成長）以及我們在上一張幻燈片中提到的額外成本不利因素的負面影響。在亞太地區，儘管中國因新冠疫情而實施封鎖，但有機銷售額仍成長了 5.9%，我們估計第二季銷售額下降了約 3,000 萬美元。儘管受到封鎖的影響，亞太地區調整後的營業利潤實際上高於我們的預期，因為我們能夠在管理固定成本的同時推動亞太地區其他次區域的銷售成長。

Finally, we continue to see strong growth in EMEA with organic sales up 13.3% with a good balance between volume and price. While inflation accelerated in the second quarter from the first quarter, so did our pricing. Our second quarter net price/cost in EMEA, while still a headwind, was less of a headwind than what we saw in Q1, and we expect price/cost to be a significant tailwind in the second half of the year.

最後，我們繼續看到歐洲、中東和非洲地區的強勁成長，有機銷售額成長 13.3%，銷量和價格之間保持良好平衡。雖然第二季的通膨較第一季加速，但我們的定價也是如此。我們第二季度在歐洲、中東和非洲地區的淨價格/成本雖然仍然是逆風，但比我們在第一季度看到的逆風要小，我們預計價格/成本將在今年下半年成為一個重要的順風車。

Moving to Slide 8, we summarize our updated third quarter guidance, which is about $50 million lower at the midpoint than our previous guidance. This slide summarizes third quarter versus last year, but likely more pertinent is an analysis of the changes from our previous guidance, which we provide in a couple of slides. Despite the reduction, third quarter guidance still reflects a material sequential step-up from the second quarter across all of our key financial metrics with organic sales expected to be up approximately $100 million, 70% of that volume, and adjusted operating profit expected to be up almost $60 million at the midpoint. Despite the reduction from our prior guidance, our third quarter expectations return us to an adjusted operating profit level from last year's third quarter and will serve as a strong bridge to a substantial improvement in the fourth quarter and transition us into a very strong 2023.

轉向投影片 8，我們總結了更新後的第三季指引，該指引的中位數比我們先前的指引低了約 5000 萬美元。這張投影片總結了第三季與去年的比較，但可能更相關的是對我們先前的指導的變化的分析，我們在幾張投影片中提供了指導。儘管有所減少，但第三季指引仍反映了我們所有關鍵財務指標較第二季度的實質連續提升，有機銷售額預計將增長約1 億美元，佔銷量的70%，調整後的營業利潤預計為中間值上漲了近 6000 萬美元。儘管我們的預期較先前的指引有所下降，但我們對第三季的預期使我們恢復到去年第三季調整後的營業利潤水平，並將成為第四季度大幅改善的堅實橋樑，並使我們進入非常強勁的2023 年。

Next, turning to Page 9. This slide summarizes our revised full year financial guidance, which reflects the $37.5 million lower adjusted operating profit at the midpoint versus our prior guidance. Once again, we provide detail of this reduction on Slide 10, the next page. But from a macro perspective, it is driven by a $25 million foreign exchange headwind and an additional $12.5 million net from additional cost wins in various categories, partially offset by the benefit from incremental sales volume. And more on this on the next slide. But as Rob mentioned at the outset, as it relates to free cash flow, we are reducing our full year guidance to a range of positive $25 to negative $25 million in part due to lower expected adjusted operating profit, but probably more significantly from changed expectations with our expected inventory reduction.

接下來，翻到第 9 頁。這張投影片總結了我們修訂後的全年財務指引，該指引反映了與我們先前的指引相比，中點調整後營業利潤減少了 3,750 萬美元。我們再次在下一頁幻燈片 10 上提供了這種減少的詳細資訊。但從宏觀角度來看，這是由 2500 萬美元的外匯逆風和各個類別的額外成本收益帶來的額外 1250 萬美元的淨收益推動的，但部分被銷售增量帶來的收益所抵消。下一張投影片將詳細介紹這一點。但正如Rob 在開頭提到的，由於與自由現金流相關，我們將全年指引下調至正25 美元至負2500 萬美元的範圍，部分原因是預期調整後營業利潤較低，但更重要的原因可能是預期的變化隨著我們預期的庫存而減少。

We continue to improve our SIOP processes in what is a very challenging supply chain environment. And we're encouraged that these improved processes will result in much improved inventory management, but the timing of the inventory reduction benefits will likely be pushed into 2023. Nonetheless, we are still anticipating significant improvements in free cash flow in the second half of the year and -- notably in the fourth quarter.

在極具挑戰性的供應鏈環境中，我們不斷改進 SIOP 流程。我們感到鼓舞的是，這些改進的流程將大大改善庫存管理，但庫存減少效益的時間可能會推遲到 2023 年。儘管如此，我們仍然預計下半年自由現金流將顯著改善今年，尤其是第四季度。

Now turning to Slide 10. We provide additional detail underlying changes from our previous guidance. As you can see on the slide, foreign currency translation, certainly driven by the strengthening U.S. dollar, negatively impacted net sales by approximately $160 million for the full year and adjusted operating profit by approximately $25 million. We include some additional information on our foreign currency exposure on Page 27 in the appendix in this package. But just as a broad overview, over 50% of our sales are denominated in a currency other than the U.S. dollar. Changes in the euro and British pound have been more acute than other currencies. And as a result, over 70% of our negative FX impact is in EMEA.

現在轉向幻燈片 10。我們提供了先前指南中潛在變化的更多詳細資訊。正如您在幻燈片中看到的那樣，外幣換算（當然是由美元走強推動的）對全年淨銷售額產生了約1.6 億美元的負面影響，調整後的營業利潤產生了約2500 萬美元的負面影響。我們在本資料包的附錄第 27 頁中提供了一些有關我們外幣風險的附加資訊。但總體而言，我們超過 50% 的銷售額是以美元以外的貨幣計價的。歐元和英鎊的變化比其他貨幣更為劇烈。因此，超過 70% 的負面外匯影響發生在歐洲、中東和非洲地區。

Moving on. Incremental volume is expected to generate an additional $230 million of sales, $100 million of that was in the second quarter, and these sales translate into $82 million of adjusted operating profit for the full year. And there is a pronounced increase in volume in the fourth quarter as we've increased sales expectations, primarily in the Americas based upon our success in qualifying new suppliers and, of course, the launch of the Monterrey facility.

繼續。增量預計將帶來 2.3 億美元的額外銷售額，其中 1 億美元來自第二季度，這些銷售額將轉化為全年 8,200 萬美元的調整後營業利潤。由於我們提高了銷售預期，第四季度的銷售量顯著增加，主要是在美洲，基於我們在新供應商資格方面的成功，當然還有蒙特雷工廠的啟動。

Material inflation is up $20 million from our previous guidance, $10 million in each Q2 and Q3, primarily driven by continued higher costs for electronic components and spot buys. We anticipate this pressure to ease somewhat heading into the fourth quarter as we continue to bring additional suppliers into our supply chain. We have reduced profit expectations for E&I for the full year by about $12 million. This is mostly driven by timing as shipments have shifted to the right and into 2023. But that business continues to improve, and the demand environment continues to be strong with backlog at E&I up over 60% from year-end 2021, which portends significant sales and profitability improvement heading into 2023.

材料通貨膨脹比我們先前的指引增加了 2,000 萬美元，第二季和第三季各增加了 1,000 萬美元，這主要是由於電子元件和現貨採購成本持續上漲所致。我們預計，隨著我們繼續將更多供應商納入我們的供應鏈，這種壓力將在第四季度有所緩解。我們將 E&I 全年利潤預期下調了約 1,200 萬美元。這主要是由於出貨量向右移動並進入2023 年的時機推動的。但該業務持續改善，需求環境持續強勁，E&I 的積壓訂單較2021 年底增加了60% 以上，這預示著銷售量將大幅增加到 2023 年獲利能力將有所改善。

We have increased our fixed cost estimates for the year by approximately $30 million. Most of this driven by timing as we anticipate adding some of these fixed costs in early 2023, but we accelerated the timing to support the higher volume in the second half and for early 2023. Some of these higher fixed costs are also related to IT spending as we continue to optimize our ERP system in the Americas.

我們將今年的固定成本估算增加了約 3,000 萬美元。其中大部分是由時機驅動的，因為我們預計在 2023 年初增加其中一些固定成本，但我們加快了時機以支持下半年和 2023 年初的更高產量。其中一些較高的固定成本也與 IT 支出有關我們不斷優化美洲的ERP 系統。

And last on this chart are other cost headwinds, primarily in the Americas, and as we mentioned, associated with any number of underlying factors, most of which we believe are transitory and addressable and should be mitigated as we enter the fourth quarter and pivot into 2023.

這張圖表的最後是其他成本阻力，主要是在美洲，正如我們所提到的，與許多潛在因素相關，我們認為其中大多數是暫時的和可以解決的，隨著我們進入第四季度並轉向2023 年。

So in summary, on this slide, current full year guidance is about $37 million lower than prior guidance at the midpoint, $25 million of that related to FX with $50 million of $37 million reduction in the third quarter, offset by an $11 million increase in the fourth quarter and, of course, the $2 million beat in the second quarter.

總而言之，在這張幻燈片中，目前的全年指導比之前的指導中點低了約3700 萬美元，其中2500 萬美元與外匯相關，第三季度減少了3700 萬美元中的5000 萬美元，被外匯收入增加1,100 萬美元所抵銷。第四季的銷售額超過了第二季的 200 萬美元。

Next, turning to Slide 11. We provide a sequential bridge from third quarter to fourth quarter for both net sales and adjusted operating profit, a $220 million increase in net sales and a $113 million increase in adjusted operating profit. We understand that based upon our fourth quarter last year, there may be some concerns with our ability to deliver a robust fourth quarter this year. To help allay these potential concerns, we provide this bridge, which quantifies the sources of the uplift.

接下來，轉向投影片 11。我們提供了從第三季到第四季淨銷售額和調整後營業利潤的連續橋樑，淨銷售額增加了 2.2 億美元，調整後營業利潤增加了 1.13 億美元。我們了解，根據去年第四季的情況，可能有人擔心我們今年第四季業績強勁的能力。為了幫助減輕這些潛在的擔憂，我們提供了這座橋樑，它可以量化提升的來源。

First, the higher volume is certainly supported by improved visibility in the sourcing. And as we've mentioned, the launch of the Monterrey facility. In addition, it's very important to understand, we normally have a seasonal volume ramp from third quarter to fourth quarter. The $35 million sequential pricing benefit is driven by the continued burn of lower-priced backlog in previous quarters with a vast majority of our fourth quarter shipments from higher-priced orders from late 2021 and early 2022. We anticipate approximately $10 million additional adjusted operating profit from E&I in the fourth quarter, primarily from incremental volume, which should flow through at higher margins, pursuant to improve pricing, similar dynamic for the base Vertiv business. And finally, as we discussed on the prior slide, other is driven by the ramp down in the Americas cost headwinds partially offset by additional fixed costs.

首先，更高的產量肯定是由採購可見性的提高所支持的。正如我們所提到的，蒙特雷設施的啟動。此外，了解這一點非常重要，我們通常從第三季到第四季會有季節性銷售成長。 3500 萬美元的連續定價收益是由於前幾季度低價積壓訂單的持續消耗而推動的，我們第四季度的出貨量絕大多數來自2021 年末和2022 年初的高價訂單。我們預計調整後營業利潤將增加約1,000 萬美元第四季 E&I 的成長主要來自於增量，隨著定價的改善，增量銷售應該會帶來更高的利潤，這與 Vertiv 基礎業務的動態類似。最後，正如我們在上一張幻燈片中討論的那樣，其他因素是由美洲成本逆風下降所驅動，部分被額外的固定成本所抵消。

So in summary, the fourth quarter adjusted operating profit guidance of $253 million at the midpoint certainly represents a substantial quarter for us, especially considering the $13 million adjusted operating profit in the first quarter and the $82 million in the second quarter. However, we believe we are addressing 2 of the most pressing issues that drove lower firsthand -- first half performance: pricing and supply chain constraints. And we have visibility and confidence in our ability to deliver these fourth quarter projections.

總而言之，第四季度調整後營業利潤指引中位數2.53 億美元對我們來說無疑是一個重要的季度，特別是考慮到第一季度調整後營業利潤1300 萬美元和第二季度調整後營業利潤8200 萬美元。然而，我們相信我們正在解決導致上半年業績下降的兩個最緊迫的問題：定價和供應鏈限制。我們對實現第四季度預測的能力充滿信心。

On the following slide, so Slides 12 through 14, we will continue to be transparent with our communications around our plan and provide additional details for the second half. In February, we laid out an aggressive but achievable plan through the first 6 months. Our high-level scorecard reflects $91 million higher sales, $25 million higher adjusted operating profit, $10 million higher pricing and $5 million lower inflation. And likely more important, our expectations for the fourth quarter have not significantly changed from the beginning of the year.

在下面的幻燈片（即幻燈片 12 到 14）中，我們將繼續圍繞我們的計劃進行透明的溝通，並提供下半年的更多詳細資訊。 2 月份，我們在前 6 個月制定了一項積極但可實現的計劃。我們的高級記分卡反映了銷售額增加了 9,100 萬美元，調整後營業利潤增加了 2,500 萬美元，定價增加了 1,000 萬美元，通貨膨脹率降低了 500 萬美元。可能更重要的是，我們對第四季的預期與年初相比沒有顯著變化。

On Page 12, this illustrates our current quarterly sales guidance at the top of the slide and our prior April guidance at the bottom. There's certainly a lot of numbers on this slide. I won't go through each and every one of them. But of note, on the right, is the increased volume growth from our previous guidance, higher across all 3 regions, but most certainly, most significant in the Americas as we have referenced.

在第 12 頁，投影片頂部顯示了我們目前的季度銷售指導，底部顯示了我們先前 4 月的銷售指導。這張投影片上一定有很多數字。我不會一一詳述。但值得注意的是，右側的銷量增長較我們之前的指導有所增加，所有3 個地區的銷量增長均有所增加，但可以肯定的是，正如我們所提到的，美洲的銷量增長最為顯著。

Turning to Page 13. This slide summarizes our updated quarterly adjusted operating profit and margin guidance, a similar construct to the previous slide with current guidance at the top and the April guidance at the bottom. We've already discussed changes in guidance and the step-up from the third quarter to a fourth quarter that would be a record high and by a wide margin for sales, adjusted operating profit and adjusted operating margin between 14% and 15%.

翻到第 13 頁。這張投影片總結了我們更新的季度調整後營業利潤和利潤率指引，其結構與上一張投影片類似，目前指引位於頂部，四月份指引位於底部。我們已經討論了指導方針的變化以及從第三季度到第四季度的提升，這將創歷史新高，並且銷售額、調整後營業利潤和調整後營業利潤率將大幅提高在14% 至15% 之間。

Finally for me, for prepared remarks on Slide 14, we show the expected quarterly 2022 progression of our regional adjusted operating margins. We have primarily focused externally on the recovery plan for the Americas. But as reflected on this slide, there is expected sequential quarterly adjusted operating margin improvement across all 3 regions. And even though not depicted on this slide, the same is true for E&I. The scale of the improvement is more significant in the Americas than EMEA as they were more impacted by inflation than APAC. But these charts illustrate that the entire Vertiv global team is driving improved execution. Clearly, we are focused on unlocking value on a global basis, and we know you are watching closely, and we'll continue to be very transparent with the status of our progress.

最後，對於我在投影片 14 上準備好的評論，我們展示了 2022 年區域調整後營業利潤率的預期季度進展。我們主要關注外部美洲的復甦計劃。但正如這張投影片所反映的那樣，預計所有 3 個地區的季度調整後營業利潤率都將有所改善。儘管這張投影片上沒有描述，但 E&I 也是如此。美洲的改善幅度比歐洲、中東和非洲更為顯著，因為它們比亞太地區更容易受到通貨膨脹的影響。但這些圖表表明，整個 Vertiv 全球團隊正在推動執行力的提升。顯然，我們專注於在全球範圍內釋放價值，我們知道您正在密切關注，我們將繼續對我們的進展狀況保持高度透明。

With that said, I turn it back over to Rob.

話雖如此，我把它轉回給羅布。

Thanks, David. Turning to Slide 15, where we provide our expectations for market conditions over the next 18 months or so. And we share many of the drivers of optimism for 2023 that portends to be a very strong year. First, you've heard us comment on several times on the strength of the market we serve. All major cloud companies are growing strongly and continue to invest. Colocation utilization rates continue to be high. Edge demand and 5G rollouts will continue, and we are very well positioned to win on both of those fronts.

謝謝，大衛。轉向幻燈片 15，我們在其中提供了對未來 18 個月左右市場狀況的預期。我們對 2023 年持樂觀態度，這預示著將是非常強勁的一年。首先，您已經多次聽到我們對我們所服務的市場的實力發表評論。所有主要雲端公司都在強勁成長並持續投資。主機託管利用率仍然很高。邊緣需求和 5G 推出將繼續，我們完全有能力在這兩個方面獲勝。

While we are certainly mindful of the possibilities of a recession, we don't think that blunts the growth of data, certainly not in the near term or intermediate term. In fact, business could likely utilize more data in ways to enrich their business models and gain productivity across their operations in the face of recessionary conditions.

雖然我們當然注意到經濟衰退的可能性，但我們認為這不會削弱數據的成長，尤其是在短期或中期。事實上，面對經濟衰退，企業可能會利用更多數據來豐富其業務模式並提高整個營運的生產力。

In summary, our demand remains strong. We are currently filling our backlog for the second half of the -- for next year, and we expect these favorable conditions to continue. On the right-hand side of this slide, we provide a quick list of reasons to be optimistic about 2023. Our fourth quarter is shaping up consistent with our beginning-of-the-year expectations with pricing actions not only returning profitability to where we were prior to the challenging supply chain and inflationary environment but to a higher level.

總而言之，我們的需求依然強勁。我們目前正在填補明年下半年的積壓訂單，我們預計這些有利的條件將持續下去。在這張投影片的右側，我們快速列出了對 2023 年持樂觀態度的理由。第四季度的情況與我們年初的預期一致，定價行動不僅使盈利能力恢復到我們的水平出現在充滿挑戰在的供應鏈和通膨環境之前，但達到了更高的水平。

In fact, we believe we are in a -- we are a much stronger company today and we'll be a much stronger company tomorrow because of these events over the last 12 months and the results we are very encouraged with that we see for 2023. Although we are not prepared to provide a lot of detail into 2023 expectations, we still need to execute and deliver Q3 and Q4, and there's plenty of uncertainty with supply chain and inflation.

事實上，我們相信，我們今天是一家更強大的公司，明天我們也將成為一家更強大的公司，因為過去 12 個月發生的這些事件以及我們對 2023 年看到的結果感到非常鼓舞儘管我們不準備提供2023年預期的大量細節，但我們仍然需要執行和交付第三季度和第四季度，而且供應鏈和通膨存在許多不確定性。

To give everyone something to work with for next year, we directionally expect that our adjusted operating profit to be 50% higher in 2023 than in 2022. Of course, there are still a lot of moving pieces, and we will know more and we'll update this expectation after our third and fourth quarters. So please view this as a preliminary guidepost as we look forward to a strong 2023.

為了給大家明年的工作提供一些幫助，我們有方向性地預計 2023 年調整後的營業利潤將比 2022 年高出 50%。當然，仍然有很多變化，我們會了解更多，我們會繼續努力。我們將在第三季和第四季後更新這項預期。因此，請將此視為初步指南，我們期待 2023 年的強勁表現。

Finally, on Slide 16 and again, the summary of our key messages for today. Sitting here 1 quarter further into 2022, I feel more strongly than ever that the process improvements we've made and implementing throughout the year give us the ability and the consistency to get price, coupled with the corrective actions we've taken in the Americas, are going to result in a very, very successful future for Vertiv. Without a doubt, the proof will be in the back half of 2022. I pledge to you that we are committed to executing well and transparently communicating our progress.

最後，在投影片 16 中，我們再次總結了今天的關鍵資訊。距離 2022 年還有一個季度，我比以往任何時候都更加強烈地感受到，我們全年所做和實施的流程改進使我們有能力和一致性獲得價格，再加上我們在美洲採取的糾正措施，將為Vertiv 帶來非常非常成功的未來。毫無疑問，證據將在 2022 年下半年出現。我向您保證，我們致力於良好執行並透明地傳達我們的進展。

With that said, I want to thank our employees, our Board members for your continued support in our organization as we continue to make significant strides forward.

話雖如此，我要感謝我們的員工、董事會成員在我們繼續取得重大進展的過程中對我們組織的持續支持。

I will now turn the call over to the operator who will open up the lines for questions.

我現在將把電話轉給接線員，他將開通提問線路。

(Operator Instructions) And our first question today comes from Nigel Coe of Wolfe Research.

（操作員說明）今天我們的第一個問題來自 Wolfe Research 的 Nigel Coe。

There's a lot to chew through here, for sure. So just wanted to run through -- you mentioned some of the cost headwinds in Q2 leaking through to Q3 and then improving into Q4. I thought maybe you could just dive a little bit deeper on that. You mentioned some of the cost headwinds in the Americas at the Monterrey facility, et cetera. So maybe if you can just run through that quickly, that would be awesome.

當然，這裡有很多值得思考的地方。因此，我只想簡單介紹一下 - 您提到第二季度的一些成本不利因素會滲透到第三季度，然後改善到第四季度。我想也許你可以更深入地探討這一點。您提到了美洲蒙特雷工廠等地的一些成本阻力。所以如果你能快速地完成這個任務，那就太好了。

Yes. Thanks, Nigel. This is David. So there's really 2 categories, and we try to break those out on Slide 10. But the first category is related to fixed costs. And these are certainly tied, although not completely tied, to additional cost to support the second half ramp up in volume. And some of these costs we anticipated to add at the beginning of 2023, but we brought them forward. Most of these are plant-related costs, but also includes some engineering costs related to the qualifying of new vendors and parts.

是的。謝謝，奈傑爾。這是大衛。因此，實際上有 2 個類別，我們嘗試在幻燈片 10 上將它們分開。但第一個類別與固定成本相關。這些當然與支持下半年銷售增加的額外成本有關，儘管並非完全相關。其中一些成本我們預計會在 2023 年初增加，但我們提前了。其中大部分是與工廠相關的成本，但也包括一些與新供應商和零件資格相關的工程成本。

But I think there's probably a question if these would create a tail or a headwind for 2023. I think that $15 million we're expecting in Q4, you annualize that to $60 million versus the $30 million for this year would imply a $30 million headwind. Some of these costs certainly are one-time-related to support either a hard ramp in a plant like Monterrey or a soft ramp in many of the other plants that are seeing high volumes. So I would not anticipate to see a significant year-over-year headwind related to fixed costs in 2023.

但我認為可能存在一個問題，這些是否會為2023 年帶來尾風或逆風。我認為我們預計第四季度的收入為1500 萬美元，如果將其年化為6000 萬美元，而今年的3000 萬美元將意味著3000 萬美元的逆風。其中一些成本肯定與支持蒙特雷等工廠的硬爬坡或許多其他產量較高的工廠的軟爬坡有關。因此，我預計 2023 年不會出現與固定成本相關的同比重大阻力。

The other cost headwinds bucket, which we estimate at about $18 million in Q2, $15 million in Q3, we truly believe these are transitory. These are very specific issues. We mentioned a couple of them in the slide deck: customer support costs, also higher costs related to the sales incentive plan. These are -- and there's a host of other issues that Gio and his team have been identifying and addressing over the last 2 quarters or so. And we believe we have them identified. They'll continue to present a headwind in Q3, but we believe these should be fully resolved in Q4 and from a year-over-year basis actually provide a nice year-over-year tailwind for 2023.

另一個成本逆風桶，我們估計第二季約為 1800 萬美元，第三季約為 1500 萬美元，我們確實相信這些都是暫時的。這些都是非常具體的問題。我們在幻燈片中提到了其中的幾個：客戶支援成本，以及與銷售激勵計劃相關的更高成本。 Gio 和他的團隊在過去兩個季度左右的時間裡一直在識別和解決這些問題以及許多其他問題。我們相信我們已經確定了他們的身份。它們將在第三季度繼續帶來逆風，但我們相信這些問題應該在第四季度得到完全解決，並且從同比來看，實際上為 2023 年提供了良好的同比順風。

Okay. Great. And I just wanted to -- just curious on the material inflation. You've got a $10 million clip to both Q2, Q3, and then that's neutral in Q4. Is that just kind of a more normalized purchasing pattern combined with some of these new suppliers on chips? I mean, any color there?

好的。偉大的。我只是想——只是對物質通膨感到好奇。第二季和第三季的預算為 1000 萬美元，第四季的預算為中性。這是否只是一種更規範的採購模式，與一些新的晶片供應商結合？我的意思是，有什麼顏色嗎？

No. You're absolutely right. I think we've seen a little bit of stability, although there continues to be variability as it relates to electronic components. Inflation there certainly is higher than we anticipated heading into the quarter. I think the light at the end of the tunnel is related to the new supplier qualifications that we're seeing that should come online in the fourth quarter.

不，你說得完全正確。我認為我們已經看到了一點穩定性，儘管與電子元件相關的變化仍然存在。進入本季度，那裡的通貨膨脹肯定高於我們的預期。我認為隧道盡頭的曙光與我們看到的新供應商資格有關，這些資格應該在第四季度上線。

So I think if you look at the ramp-up of new inflation, I think we saw $15 million in Q1. That ramped to $40 million in Q2, and we anticipate that $40 million of new inflation will remain consistent in Q3. And we actually have implied in our guidance a $5 million dip in Q4. But still subject to change. There's still a lot of uncertainty and challenges with the electronic components, we're still relying to a certain extent on spot buys, but we believe we've taken some really proactive steps and initiatives to address that higher -- those higher costs we're paying and primarily through qualifying new suppliers.

因此，我認為如果你看看新通膨的上升情況，我認為第一季我們看到了 1500 萬美元。第二季這一數字增至 4,000 萬美元，我們預期第三季新增通膨率將維持在 4,000 萬美元不變。事實上，我們在我們的指導中暗示了第四季度下降了 500 萬美元。但仍可能發生變化。電子元件仍然存在許多不確定性和挑戰，我們在一定程度上仍然依賴現貨購買，但我們相信我們已經採取了一些真正積極主動的步驟和舉措來解決更高的成本問題。重新付款，主要是透過合格的新供應商。

My follow-on is the free cash flow in the second half of the year. You mentioned the SIOPs improving in 2023. Just wondering the degree of confidence in executing on the second half free cash plan. And then perhaps more importantly, going into 2023, you mentioned an inventory free dividend in '23. Does that suggest that you're confident in your converting over 100% in '23?

我的後續是下半年的自由現金流。您提到 2023 年 SIOP 有所改善。只是想知道執行下半年自由現金計畫的信心程度。也許更重要的是，進入 2023 年，您提到了 23 年的無庫存股息。這是否表明您對 23 年的轉換率超過 100% 有信心？

Probably not prepared to commit on a free cash flow conversion for next year, but we certainly are optimistic. Our beginning-of-the-year guidance for inventory actually assumed a $50 million reduction from end of year 2021. And that's a 2021 year-end number. That was actually up fairly significantly from the end of 2020.

可能不准備承諾明年的自由現金流轉換，但我們當然很樂觀。我們年初的庫存指引實際上假設從 2021 年底開始減少 5,000 萬美元。這是 2021 年底的數字。實際上比 2020 年底有了相當大的成長。

Yes, in reality, we'll probably build inventory by about $100 million again in 2022. That's $150 million delta, and there's other moving pieces. But that effectively explains the takedown in the full -- for the full year number from $150 million to about 0 at midpoint. There is definitely opportunity as it relates to optimizing our inventory levels. We are very confident that we are executing towards that opportunity through our SIOP processes. And I would be very optimistic that we should have a reduction -- a real reduction in inventory or certainly from a DIO perspective in 2023. So we refer to that internally as a dividend, and it should not only create a very nice one-time benefit from that reduction in 2023, but certainly on an ongoing basis as we look at our (inaudible).

是的，實際上，我們可能會在 2022 年再次增加約 1 億美元的庫存。這是 1.5 億美元的增量，還有其他變動因素。但這有效地解釋了整體的減少——全年數字從 1.5 億美元減少到中點的 0 左右。肯定存在機會，因為這與優化我們的庫存水準有關。我們非常有信心透過 SIOP 流程抓住這項機會。我非常樂觀地認為，我們應該減少庫存——真正減少庫存，或者從DIO 的角度來看，肯定會在2023 年減少庫存。因此，我們在內部將其稱為股息，它不僅應該創造一個非常好的一次性股息到 2023 年，我們將受益於這一減少，但當我們審視我們的情況時，肯定會持續受益（聽不清楚）。

And our next question comes from Scott Davis of Melius Research.

我們的下一個問題來自 Melius Research 的 Scott Davis。

I wanted to talk a little bit about the Monterrey facility, if you will, because this is a new thing perhaps. But is the Monterrey facility replacing some higher-cost capacity in addition to creating new capacity? And can you just give us a little bit of color on why it's needed?

如果你願意的話，我想談談蒙特雷的設施，因為這也許是一個新事物。但蒙特雷工廠除了創造新產能之外，是否還會取代一些成本較高的產能？您能為我們解釋為什麼需要它嗎？

Yes. Scott, sure. We've seen a large uptick in our thermal business, especially with some of the innovative solutions that we've delivered. So it's really complementing. We're not shutting down any other capacity. It's really additional capacity for the additional volume that we're seeing. So we're -- this is something we've been planning for a while, and we think Monterrey is a great place to be from a cost perspective. But it is really to help the ramp and the demand that we see and the backlog that we have in our thermal business.

是的。斯科特，當然。我們看到我們的熱門業務大幅成長，特別是我們提供的一些創新解決方案。所以這確實是互補的。我們不會關閉任何其他產能。這確實是我們所看到的額外容量的額外容量。所以我們——這是我們已經計劃了一段時間的事情，我們認為從成本角度來看蒙特雷是一個很好的地方。但這確實是為了幫助我們看到熱力業務的成長和需求以及積壓的訂單。

Okay. Just to back up a little bit. There was -- the Vertiv story was always pitched as holding fixed cost steady, which is the Dave Cote playbook. You wrote a book on it. And now I think we've had multiple quarters in a row of not holding fixed costs. So are we going to be back on that in 2023? I mean, where do you guys stand?

好的。只是為了備份一點。維諦技術 (Vertiv) 的故事總是被宣傳為保持固定成本穩定，這就是戴夫·科特 (Dave Cote) 的劇本。你寫了一本書。現在我認為我們已經連續多個季度沒有持有固定成本。那麼我們會在 2023 年回到這一點嗎？我的意思是，你們站在哪裡？

Yes. Thanks, Scott. Oh, no. It's a great question. No. And Scott, I can assure you that's not the first time that, that question was asked. It's certainly been a focus here internally. We are still absolutely committed to holding fixed cost constant on a year-over-year basis going forward. The added fixed cost that we're seeing here in 2022, we -- that is more from a timing perspective. These are fixed costs that we had anticipated adding in the first half of 2023.

是的。謝謝，斯科特。不好了。這是一個很好的問題。不。斯科特，我可以向你保證，這不是第一次有人問這個問題。這無疑是內部的一個焦點。我們仍然絕對致力於未來保持固定成本不變。我們在 2022 年看到的固定成本增加，更多是從時間角度來看。這些是我們預計在 2023 年上半年增加的固定成本。

Just to put these fixed costs in perspective and the need for the timing, our second quarter sales at an annual run rate were about $5.6 billion. That's ramping up to $6.8 billion in the fourth quarter. And so we continue to focus on fixed costs. I think we have seen increases over the last couple of years, but most of those increases are pursuant to operations and higher capacity and also ER&D.

僅考慮到這些固定成本和時間安排的需要，我們第二季的銷售額以年率計算約為 56 億美元。第四季這一數字將增至 68 億美元。因此，我們繼續關注固定成本。我認為過去幾年我們已經看到了成長，但其中大部分成長是由於營運和更高的產能以及ER&D。

I can tell you, our administrative functions are absolutely constant from a fixed cost basis in 2023 versus -- or in 2022 versus 2021 and will continue to be. But we are selective with fixed costs. And to the extent that it creates a future return, including R&D and from an operational perspective, we'll choose from a timing perspective to sometimes accelerate those.

我可以告訴你，在固定成本基礎上，我們的行政職能在 2023 年與 2022 年與 2021 年相比絕對保持不變，並且將繼續如此。但我們對固定成本是有選擇性的。在它創造未來回報的程度上，包括研發和營運角度，我們會從時機角度選擇有時加速這些回報。

And our next question comes from Jeff Sprague of Vertical Research.

我們的下一個問題來自垂直研究公司的傑夫·斯普拉格。

I also wanted to touch on Monterrey -- just wondering on Monterrey, how critical this capacity is to meeting the top line forecast here for the year. Is it -- and is the plant actually up and running and delivering commercial product yet? So kind of a second part to the first question is, are we on a ramp where we've got visibility of getting the revenues we need out of that plant in the back half?

我還想談談蒙特雷——只是想知道蒙特雷的這種能力對於實現今年的收入預測有多重要。是嗎？工廠實際上已經建成並運作並交付商業產品了嗎？第一個問題的第二部分是，我們是否能夠在後半段從該工廠獲得所需的收入？

Yes. Jeff, this is Rob. Yes, Monterrey, first of all, is up and operating. It delivered even in Q2 some products to our customers. So we are shipping, and we are in the middle of a ramp with that going into Q3 and then a steeper ramp going into Q4. As long as we get the supply, we feel confident with the way that plant is operating. And it is needed to provide the necessary volume increase more so in Q4 for us. But we feel confident with the team. They've spent a lot of time down there. And so far so good with the product coming out of the plant right now.

是的。傑夫，這是羅布。是的，首先，蒙特雷已經啟動並投入營運。它甚至在第二季就向我們的客戶交付了一些產品。因此，我們正在發貨，我們正處於進入第三季度的斜坡中間，然後進入第四季度的陡峭斜坡。只要我們獲得供應，我們就對工廠的運作方式充滿信心。我們需要在第四季提供更多必要的銷售成長。但我們對球隊充滿信心。他們在那裡度過了很多時間。到目前為止，產品已經從工廠生產出來，一切順利。

Great. And also just on the cost side, what exactly is this customer support cost that you're talking about? Is this expedited freight? Is it allowances? What actually is going on there? And what's the visibility of that moderating?

偉大的。而且就成本而言，您所說的客戶支援成本到底是多少？這是加急貨運嗎？是津貼嗎？那裡究竟發生了什麼事？此調節的可見性如何？

Yes. Jeff, this is David. So it's a combination of things. And one example, we had to rent a crane to facilitate the installation of product into a customer site. So we continue to focus on our customers, and in some cases, we'll actually foot the bill as it relates to hitting timing. Some of those customers' store costs are also pursuant to late deliveries. And in some cases, our contracts include penalties if we don't deliver product in the agreed amount of time.

是的。傑夫，這是大衛。所以這是多種因素的結合。舉個例子，我們必須租用一台起重機才能將產品安裝到客戶現場。因此，我們繼續關注我們的客戶，在某些情況下，我們實際上會支付與擊球時間相關的費用。其中一些客戶的商店成本也是由於延遲交貨而產生的。在某些情況下，如果我們未在約定的時間內交付產品，我們的合約中會包含處罰。

So a lot of these things are certainly tied into the supply chain. We're still kind of day to day as it relates to supply, which creates a lot of uncertainty with delivery. And some points, we just have to catch up and spend some of our own money to hit some promised customer delivery dates. So the reason this is tied into the new supply is a lot of those pressures should go away as we continue to qualify new investors. And when you can spread that risk over 3 or 4 vendors as opposed to 1 or 2, it really helps planning out a plant and a delivery schedule, and we think a significant amount of these costs should go away.

因此，其中許多東西肯定與供應鏈有關。我們仍然與供應相關，這給交付帶來了很多不確定性。在某些方面，我們只需要趕上並花一些自己的錢來達到一些承諾的客戶交貨日期。因此，這與新供應掛鉤的原因是，隨著我們繼續篩選新投資者，這些壓力應該會消失。當您可以將風險分散到 3 或 4 個供應商而不是 1 或 2 個供應商時，這確實有助於規劃工廠和交付時間表，而且我們認為這些成本中的很大一部分應該消失。

And sort of on that front, one last one for me and I'll pass it, just also kind of the internal operations of the company as it relates to systems and ERP. You mentioned still working on that. Maybe just an update on what needs to be accomplished and to what degree, if any. Is it still somewhat of a restraint on orders, delivery, operations, what have you?

在這方面，最後一個是我的，我會通過它，也是公司的內部運營，因為它與系統和 ERP 相關。你提到仍在努力中。也許只是更新需要完成什麼以及達到什麼程度（如果有的話）。是不是對訂單、交貨、營運還有什麼限制？

Yes. I would say we are over the significant launch hurdle that you get with a lot of ERPs. That certainly created noise in the fourth quarter, early first quarter. We have a fully functioning system. It's not perfect, not many ERPs are a year after launch. But in conjunction with some of the issues that we have identified in the Americas over the first 6 months, and we're still identifying, we've actually have seen the system as a very useful tool versus the system we previously had to actually address those issues. And we continue to identify ways the system can help. And I would say we have a fully functioning system, but we'll continue to invest in that system to optimize the usage and to address issues as they come forward.

是的。我想說，我們已經克服了許多 ERP 所面臨的重大啟動障礙。這無疑在第四季、第一季初引起了噪音。我們有一個功能齊全的系統。它並不完美，推出一年後還沒有太多 ERP。但結合我們在前 6 個月在美洲發現的一些問題（而且我們仍在發現），我們實際上已經將該系統視為一個非常有用的工具，而不是我們之前必須實際解決的系統那些問題。我們將繼續尋找該系統可以提供幫助的方式。我想說，我們擁有一個功能齊全的系統，但我們將繼續投資該系統，以優化使用並解決出現的問題。

And our next question comes from Andy Kaplowitz of Citigroup.

我們的下一個問題來自花旗集團的安迪·卡普洛維茨。

Could you talk about the progress you've made in getting the company more focused on pricing and why pricing hasn't gone up at least a little with volume and inflation with the understanding that a lot of pricing was locked into backlog at the beginning of the year? You obviously are seeing significantly more volume than you previously expected. You did raise your inflation forecast a little bit. So why can't you get a little bit more price as revenue and inflation goes up?

您能否談談您在讓公司更加關注定價方面取得的進展，以及為什麼定價沒有隨著銷售和通貨膨脹而至少上漲一點，因為您知道很多定價在年初就被鎖定在積壓中。那一年？顯然，您看到的交易量比您之前預期的要多得多。您確實稍微提高了通膨預測。那麼，為什麼隨著收入和通貨膨脹的上升，你不能獲得更高一點的價格呢？

Yes. Andy, I'll address the first part, just on our pricing. We feel -- from where we've been in the past, as you know, we feel really good about the 360 we've talked about this year. That being said, pricing is now built into our DNA, how we go get it, our process on a global basis, the approvals when we raise price, and we continue to look at that. Pricing was not just a one-and-done for us. We'll continue to evaluate. We have innovative solutions, making sure that we're getting the appropriate price we have for the market.

是的。安迪，我將討論第一部分，即我們的定價。如你所知，從我們過去的經驗來看，我們對今年討論的 360 感覺非常好。話雖這麼說，定價現在已融入我們的 DNA、我們如何獲得定價、我們在全球範圍內的流程、我們提價時的批准，我們將繼續關注這一點。定價對我們來說不僅僅是一勞永逸的事情。我們將繼續評估。我們擁有創新的解決方案，確保我們獲得適合市場的價格。

So as we go through this year into next year, we don't expect this to be something we responded to an inflationary thing and we're done. We'll continue to refine the way we go about driving price. So I would expect as we -- part of our thesis has been create great products that solve real customer problems that are innovative and get paid for that. So we'll continue to work that as we go through it.

因此，當我們從今年到明年時，我們預計這不會是我們對通膨事件的反應，但我們已經完成了。我們將繼續完善推動價格的方式。因此，我希望我們的論文的一部分是創造出色的產品，解決真正的客戶問題，這些產品是創新的，並因此獲得報酬。因此，我們將在整個過程中繼續努力。

David can speak a little bit to why some of the inflationary stuff as the price as we drive it. We are getting to right now, as we talked about in the Q4, a lot of that old backlog falling away and a new price we'll begin to see in that and give us a nice uplift in Q4. But David?

大衛可以稍微解釋為什麼一些通貨膨脹的東西會成為我們推動價格的因素。正如我們在第四季度談到的那樣，我們現在正面臨著許多舊的積壓訂單消失的情況，我們將開始看到新的價格，這將給我們在第四季度帶來很大的提升。但大衛？

Yes. Thanks, Rob. And Andy, we were fully anticipating that question from someone. So you're absolutely right. As volume assumptions go up, so should the pricing. We've made the decision -- because a lot of that additional volume is into Q4, we made a decision just to keep the pricing target at 360, maybe -- so as to not overcomplicate things. But it's absolutely fair to look at this as an opportunity for additional pricing based on that volume over and above the 360.

是的。謝謝，羅布。安迪，我們完全預料到有人會提出這個問題。所以你是完全正確的。隨著銷售假設的上升，定價也應該上升。我們已經做出了決定——因為大部分額外銷售都進入了第四季度，我們決定將定價目標保持在 360，也許——以免事情變得過於複雜。但將其視為基於 360 之上的銷售進行額外定價的機會是絕對公平的。

But we also have not added into this external model potential additional inflation that would also be associated with that higher volume. So on a net-net basis, it's probably an opportunity, but there would be an offset with additional pricing and additional inflation just mathematically from that higher volume. But when we looked at it, we felt like we just wanted to kind of keep the messaging simple quarter-to-quarter. And we've included that as a net opportunity in our bucket of net risks and opportunities that we see for the second half of the year.

但我們也沒有在這個外部模型中加入也可能與較高交易量相關的潛在額外通膨。因此，在淨額基礎上，這可能是一個機會，但從數學上講，額外的定價和額外的通貨膨脹會抵消更高的交易量。但當我們看到它時，我們覺得我們只是想讓每個季度的消息傳遞簡單一些。我們已將其作為淨機會納入我們預計的下半年淨風險和機會中。

Sure. That's helpful. And then maybe if I could take that conversation into 2023, you obviously stated that you expect a 50% improvement in adjusted operating profit. Could you talk about, as we sit here today or maybe forecast forward, how much backlog coverage you have on that improvement? I think you said you expect supply chain and/or electronic component headwinds to last well into '23. So what kind of price versus cost or supply chain assumptions are you baking into in that initial '23 expectation?

當然。這很有幫助。如果我可以將這次對話延續到 2023 年，您顯然表示預計調整後營業利潤將提高 50%。當我們今天坐在這裡或展望未來時，您能談談您對這項改進的積壓覆蓋率有多少嗎？我想您說過您預計供應鏈和/或電子元件的逆風將持續到 23 年。那麼，在最初的 23 年預期中，您會考慮什麼樣的價格與成本或供應鏈假設呢？

Yes. I can address that, Andy. So -- and I'll probably answer (inaudible). So we're not really prepared to provide a whole lot of color at this point. It's still very early. As Rob mentioned on the call, we still have to deliver on Q3, Q4. But I certainly would include on the list of potential opportunity for next year pricing. And you can look at that just from the increased sequential pricing that we're seeing here in -- on a quarterly basis in 2022. There's going to be probably $150 million to $200 million carryover pricing benefit just by doing the calculus, right?

是的。我可以解決這個問題，安迪。所以——我可能會回答（聽不清楚）。所以我們現在還沒有準備好提供大量的顏色。現在還很早。正如 Rob 在電話中提到的，我們仍然必須在第三季、第四季交付。但我當然會將其列入明年定價的潛在機會清單中。您可以從我們所看到的 2022 年按季度增加的連續定價中看出這一點。僅通過計算，就可能會帶來 1.5 億至 2 億美元的結轉定價收益，對吧？

So as it relates to some of the other elements, notably backlog coverage, we certainly have a robust backlog today. To a certain extent, we're filling backlog for the second half of next year with some of our products. So we're feeling really good from a demand perspective. But there's certainly -- we would place more uncertainty as it relates to inflation and the supply chain as we have seen -- those are somewhat material as it relates to month-to-month, quarter-to-quarter. But we believe we're doing everything we can within our power and being proactive to address it. But it's hard at this point to give any type of quantitative detail on what we expect for next year.

因此，由於它與其他一些因素有關，特別是積壓的覆蓋範圍，所以我們今天肯定有大量的積壓。在某種程度上，我們正​​在用我們的一些產品填補明年下半年的積壓訂單。因此，從需求角度來看，我們感覺非常好。但確實存在——正如我們所看到的，我們會考慮更多的不確定性，因為它與通膨和供應鏈有關——這些不確定性在某種程度上是重要的，因為它與月度、季度度相關。但我們相信，我們正在盡我們所能並積極主動地解決這個問題。但目前很難就我們明年的預期給出任何類型的定量細節。

And our next question comes from Mark Delaney of Goldman Sachs.

我們的下一個問題來自高盛的馬克·德萊尼。

First question is on the implied 4Q outlook. Maybe you can better contextualize how much turns or book-and-ship business you're anticipating in that guide and how that compares to typical fourth quarters.

第一個問題是關於隱含的第四季前景。也許您可以更好地了解您在該指南中預期的周轉量或預訂和發貨業務量，以及與典型的第四季度相比如何。

Yes. I would say we have really good visibility certainly into Q3. And if you look at the backlog versus book-and-ship for Q4, it's likely higher than what we would see in other quarters, so -- and including for a fourth quarter. So a fairly significant ramp in Q4, at least from prior guide, was not related to filling out a backlog. It was very directly related to have the capacity and the supply of components to ship that backlog.

是的。我想說，我們對第三季的了解確實非常好。如果你看看第四季度的積壓訂單與預訂和發貨情況，你會發現它可能高於我們在其他季度看到的情況，所以 - 包括第四季度。因此，至少從先前的指南來看，第四季相當顯著的成長與填寫積壓訂單無關。這與運送積壓訂單的組件產能和供應有非常直接的關係。

So every quarter, and even in every month, there's a certain amount of book-and-ship business. But I would say we have really good confidence in fourth quarter as it relates to the backlog coverage. And for us and as Rob mentioned, a bigger risk would be the execution of the ramp of the Monterrey facility and also the additional sand supply. So we don't think demand will be an issue, certainly for Q3 or Q4.

所以每個季度，甚至每個月，都有一定量的訂船業務。但我想說，我們對第四季非常有信心，因為這與積壓情況有關。對我們來說，正如羅布所提到的，更大的風險是蒙特雷設施坡道的執行力以及額外的沙子供應。因此，我們認為需求不會成為問題，尤其是第三季或第四季。

That's helpful. And my second question was on pricing, in particular, pricing for 2023. Maybe you can remind us how much of your negotiations are done toward the end of the calendar year (inaudible) up for the following year. And kind of related to that, to the extent input costs stay kind of where they are, do you think you'll be able to hold on to all the pricing you've been able to achieve as you do go into 2023? Or are some of the customers are going to say, "Oh, we'll input cost of stock going up. So I'm looking for a reduction next year."

這很有幫助。我的第二個問題是關於定價，特別是 2023 年的定價。也許您可以提醒我們，在日曆年年底（聽不清楚）的情況下，您為下一年完成了多少談判。與此相關的是，在投入成本保持不變的情況下，您認為進入 2023 年時您能夠保持已實現的所有定價嗎？或者一些客戶會說，“哦，我們將增加庫存成本。所以我希望明年能減少庫存。”

Mark, this is Rob. Yes, the pricing actions have been done and have been implemented for what we need to do. But as I mentioned earlier, we continue to look at additional opportunities for price where we have innovative products and solutions. So I feel confident that we've executed on those. Those have been put in place a while ago from that perspective.

馬克，這是羅布。是的，定價行動已經完成，並且已經按照我們需要做的事情實施了。但正如我之前提到的，我們將繼續尋找擁有創新產品和解決方案的其他價格機會。所以我相信我們已經執行了這些。從這個角度來看，這些措施不久前就已經到位。

As it relates to customers asking or looking to take the price down, it's kind of a similar phenomenon. We didn't get a lot of pricing on the backlog that we had. That was part of our problem. We had to burn through that. So expecting kind of the same thing to happen, that the hard purchase orders that we have today that people want or the price that we set forth in those as we go forward. So I don't expect that to deteriorate either as we go into 2023 if inflationary conditions go. We've bought inventory at higher prices. They understand that. So it's something that wouldn't keep me up at night that we're going to see that activity.

由於它與客戶要求或希望降低價格有關，因此這是類似的現象。我們沒有對積壓的訂單進行太多定價。這是我們問題的一部分。我們必須克服這一點。因此，預計會發生同樣的事情，即我們今天收到的人們想要的硬採購訂單，或我們在前進過程中提出的價格。因此，如果通膨狀況持續下去，我預計進入 2023 年情況也不會惡化。我們以更高的價格購買了庫存。他們明白這一點。因此，我們將看到這項活動，這不會讓我徹夜難眠。

But we will continue. Even in a deflation, inflation goes away environment, as I mentioned earlier, we'll continue with this pricing muscle that we have now to get price where it makes sense and we're providing more value to the market. And that was a valuable lesson learned from us as we went through this whole activity is that people do value the services and the products that Vertiv made.

但我們會繼續。正如我之前提到的，即使在通貨緊縮、通貨膨脹消失的環境下，我們也將繼續利用我們現在擁有的定價能力來獲得合理的價格，並為市場提供更多價值。這是我們在整個活動中學到的寶貴教訓，那就是人們確實重視 Vertiv 提供的服務和產品。

And our next question comes from Lance Vitanza of Cowen.

我們的下一個問題來自 Cowen 的 Lance Vitanza。

Congratulations on the strong quarter. I wanted to ask you about E&I. It looked a little bit weaker than expected and the guidance as well. You mentioned during the prepared remarks some timing-related issues. And I think you said that the asset continues to improve, but maybe you could clarify if I'm getting that right. And in any case, if you could elaborate a bit on exactly what the issues are there at E&I.

恭喜季度表現強勁。我想問你關於 E&I 的事。它看起來比預期和指導要弱一些。您在準備好的發言中提到了一些與時間相關的問題。我想你說過資產在持續改善，但也許你可以澄清我的說法是否正確。無論如何，您能否詳細說明 E&I 到底存在哪些問題。

Yes. Sure. Lance, thanks for the question. Appreciate the comments as well. With E&I, what we've seen -- what I think David kind of talked about when he was speaking is we're seeing some of their stuff push out of this year, push into next year with some of the projects that they have. E&I have an experienced kind of a little bit later than Vertiv did the inflationary impacts and then lack of supply on breakers and then were not, just like us, slower to get price. We feel that's corrected. We really are excited.

是的。當然。蘭斯，謝謝你的提問。也感謝評論。對於 E&I，我們所看到的——我認為 David 在演講時談到的是，我們看到他們的一些產品今年推出，並透過他們擁有的一些項目推入明年。 E&I 的經驗比 Vertiv 晚一點，才經歷了通膨影響，然後斷路器供應不足，然後像我們一樣，獲得價格的速度並不慢。我們認為這一點已經得到糾正。我們真的很興奮。

David mentioned the backlog for E&I is up over 60%, I believe, since we bought them. So the activity is good. We've got the price now being built in the backlog and in the orders that are coming forward. So I'm really still very excited, probably more excited, about the asset now than when I was when we acquired it. Yes, we had a dip. And unfortunately, we'll go through this year with that. But we see E&I pulling out of this next year with the additional pricing. We have seen some projects shift, which happens in their business because they're heavily on the construction side of it. We have seen some of that shift, and some of that will shift into next year. I don't know, Gary, any other thoughts?

David 提到，自從我們購買以來，E&I 的積壓訂單增加了 60% 以上。所以說活動還是不錯的。我們現在已經在積壓訂單和即將到來的訂單中製定了價格。因此，我現在對這項資產仍然非常興奮，可能比我們收購它時更興奮。是的，我們有過一次浸泡。不幸的是，今年我們將經歷這樣的情況。但我們預計 E&I 明年會因額外定價而退出這一市場。我們看到一些項目發生了變化，這種情況發生在他們的業務中，因為他們主要從事建築方面的工作。我們已經看到了其中一些轉變，其中一些將轉變到明年。我不知道，加里，還有其他想法嗎？

Yes. I think that's exactly right, Rob. I mean, yes, Lance, we're -- the amount of quote activity pipeline, the joint development between the Vertiv sellers, the E&I sellers, the embracement that the customer base has had has been phenomenal. And the only thing, to Rob's point, is really some of that switchgears, some of the modular skidded power units that they sell shifted out to the right, some of it because of supply, some of it because of customer set readiness. But overall, it's actually coming up on point just like we had planned earlier in the year.

是的。我認為這是完全正確的，羅布。我的意思是，是的，Lance，我們 - 報價活動管道的數量、Vertiv 賣家、E&I 賣家之間的共同開發以及客戶群的接受度都是驚人的。在羅布看來，唯一的問題是，他們銷售的一些開關設備、一些模組化滑移動力裝置移到了右側，其中一些是因為供應，一些是因為客戶設定準備就緒。但總體而言，正如我們今年早些時候計劃的那樣，它實際上正在實現。

So you're not seeing -- just to be clear, you're not seeing any issues with how the integration has gone? Or anything that would make you feel less excited about what you acquired?

所以你沒有看到——只是澄清一下，你沒有看到整合的進展有任何問題嗎？或者有什麼事情會讓你對你所獲得​​的東西感到不那麼興奮嗎？

No. Absolutely the opposite. I think integration has gone really well. They had -- a couple of stumbles that they had was really pricing and getting components, and they were kind of later on both of those. A lot of people are talking about breaker availability. Breakers drive a lot of the content in our products, and we still see that as something that's not readily available. We have looked at additional breaker sources and have been qualifying them.

不，完全相反。我認為整合進展非常順利。他們在定價和獲取組件方面遇到了一些失誤，而且他們在這兩方面都做得比較晚。很多人都在談論斷路器的可用性。破壞者驅動了我們產品中的許多內容，但我們仍然認為這是不容易獲得的東西。我們已經研究了其他斷路器來源並對其進行了鑑定。

But overall, integration has gone well. And what I could tell you is, Gary mentioned on the back on the actual funnel the activity and the synergy with Vertiv as we thought it would be is really there. So we never baked in any kind of sales synergy upside to our model. But just what we thought would happen as our sellers would pick this up, we would take it out to a wider audience to the enterprise and to a broader base of customers that we reach and touch.

但整體而言，整合進展順利。我可以告訴您的是，Gary 在實際漏斗的背面提到了我們認為的活動以及與 Vertiv 的協同作用確實存在。因此，我們從未在我們的模式中加入任何形式的銷售綜效。但正如我們所想像的那樣，當我們的賣家發現這一點時，我們會將其推廣給更廣泛的企業受眾以及我們接觸到的更廣泛的客戶群。

So happy with the -- very happy with the asset, happy with the management team there and what they've done. And I think this is going to smooth as it possibly could, except for the getting prices quicker than we did and getting supply turned around. But overall, this fits in our portfolio very well.

對資產非常滿意，對那裡的管理團隊以及他們所做的事情感到滿意。我認為這將盡可能順利，除了價格比我們更快並且供應得到扭轉之外。但總的來說，這非常適合我們的產品組合。

Our next question comes from Steve Tusa of JPMorgan.

我們的下一個問題來自摩根大通的史蒂夫·圖薩。

So just on the backlog, I guess trying to read the tea leaves a little bit here with the big revenue ramp in the fourth quarter. Do you expect book-to-bill in the second half to be above 1 in total? Obviously, it will kind of modulate because of the big fourth quarter. But in total, do you think book-to-bill can be above 1?

因此，就積壓而言，我想嘗試稍微了解一下第四季營收大幅成長的情況。您預計下半年的訂單出貨率總計會在 1 以上嗎？顯然，由於第四季度的表現，它會有所調整。但總的來說，您認為訂單出貨比可以高於 1 嗎？

Yes. We're still putting together our projections for orders for the fourth quarter. You can look at the second half sales number. I would say we would expect continued orders growth in Q3. Q4 poses a pretty good year-over-year tailwind. But I would say it would be plus or minus close to that one-time book-to-bill.

是的。我們仍在匯總第四季度的訂單預測。你可以看看下半年的銷售數字。我想說，我們預計第三季的訂單將持續成長。第四季年比帶來了相當好的推動力。但我想說，它的正負值接近一次性訂單到帳單的水平。

Okay. And then just more philosophically, maybe a question for Dave. But how are we defining success at this stage? Is it kind of a hard line on this fourth quarter and the 50% increase for 2023? Or is it if we continue to have these costs that pop up, like they have in the third quarter where the guidance is below, kind of things keep getting pushed forward. If you come to the fourth quarter and things "slip" into '23, is that an acceptable outcome for you at this stage? Or is there more of kind of like a hard line here now given what we've seen the last few quarters, acknowledging the sequential improvement is steady?

好的。然後從更哲學的角度來說，這可能是戴夫的一個問題。但現階段我們要如何定義成功呢？對第四季和 2023 年成長 50% 的要求是否有點強硬？或者，如果我們繼續出現這些成本，就像第三季的指導值低於預期一樣，那麼事情就會不斷向前推進。如果你到了第四季度，事情「滑」到了23年，那麼現階段這對你來說是可以接受的結果嗎？或者考慮到我們過去幾季所看到的情況，現在是否有更多的強硬路線，承認連續改善是穩定的？

Steve, I assume that...

史蒂夫，我想…

That's a question for Dave Cote. Yes, Dave Cote. Yes, that's right.

這是戴夫·科特的問題。是的，戴夫·科特。恩，那就對了。

Yes. Yes, I would say it's not so much the number itself for the fourth quarter as it is the lead into 2023. As you know, this whole year has been one of having to transition through a backlog, be a hell of a lot more aggressive on price than we were and be a lot more aggressive on (inaudible). So this was a transition year for us. So the whole point was to get price, to get Americas fixed enough so that it was in a position where it could perform and to lead us into what I think is going to be a very good 2023. And that's going to be -- that's the game that we're playing here is to work our way into a position where for '23 onward, we're in the kind of position to perform that we thought we were before. This has been a tactical year that we've had to run into.

是的。是的，我想說，與其說是第四季度的數字本身，不如說是 2023 年的領先。如您所知，這一整年都是必須透過積壓進行過渡的一年，要更加積極進取在價格上比我們更加激進（聽不清楚）。所以這對我們來說是一個過渡的一年。因此，關鍵是要獲得價格，讓美洲市場足夠穩定，使其處於可以發揮作用的位置，並引導我們進入我認為將是非常好的 2023 年。我們在這裡玩的遊戲是努力進入一個位置，從23年開始，我們處於我們之前認為的那種位置。今年是我們不得不經歷的戰術年。

The strategy of the company is still right, still good. It's a great position in a good industry. Technology is good. We're still doing all the new product intros, still increasing R&D spending. The trick here has been to get Americas fixed and to get price running ahead of total inflation, not just inflation for '22. And that's the way it looks like it's coming together at this point. As I said, I feel good about the profile and feeling good about '23, but that's the game for us.

公司的策略仍然是正確的，仍然是好的。這是一個很好的行業中的一個很好的位置。技術很好。我們仍在推出所有新產品，仍在增加研發支出。這裡的訣竅是讓美洲地區穩定下來，並讓價格領先於總通膨，而不僅僅是 22 年的通膨。這就是目前看起來的情況。正如我所說，我對這個形象和 23 感覺很好，但這就是我們的遊戲。

And anything lumpy seasonally about '23? Like if you do push out of 4Q into 1Q, I would assume that price cost, that kind of stuff, shouldn't be that lumpy so that you should start 2023 on a pretty strong footing? If that's the case, it would kind of reinforce what you see for '23? Or is '23 more back-end -- just as back-end loaded because of seasonality?

23 年有什麼季節性的變化嗎？就像如果你確實從第四季度進入第一季一樣，我會認為價格成本之類的東西不應該那麼不穩定，這樣你就應該在 2023 年開始時擁有一個相當強勁的基礎？如果是這樣的話，這會強化你對 23 年的看法？或者是'23更多的後端——就像後端因季節性而加載一樣？

No. With the kind of lead in that we should get from 4Q, we would expect 1Q to be markedly different from what it was this year. Dave, I assume you agree with that.

不會。考慮到我們應該從第四季度獲得的領先優勢，我們預計第一季將與今年明顯不同。戴夫，我想你也同意這一點。

I totally agree. And yes, the key there is the additional fan supply we're getting in the fourth quarter will certainly lead into Q1, Q2. So there's always seasonality, but probably a little bit less pronounced next year.

我完全同意。是的，關鍵是我們在第四季度獲得的額外風扇供應肯定會進入第一季和第二季。所以季節性總是存在的，但明年可能會不那麼明顯。

Our next question comes from Andrew Obin of Bank of America.

我們的下一個問題來自美國銀行的安德魯·奧賓。

This is David Ridley-Lane on for Andrew. Hyperscale and colocation CapEx, maybe more cyclical -- sorry, more secular than cyclical. But historically, enterprise and SMB CapEx has been tied to the broader economy. Wondering what you're hearing from the field from sales about enterprise pipeline. Have you heard anything about 2023 CapEx plans?

我是安德魯的大衛雷德利-萊恩。超大規模和託管資本支出，也許更具週期性——抱歉，更長期而不是週期性。但從歷史上看，企業和中小企業的資本支出一直與更廣泛的經濟連結在一起。想知道您從現場銷售中聽到的有關企業管道的資訊。您聽過 2023 年資本支出計畫的消息嗎？

David, this is Rob. I'll try with that. And Gary, you can kind of chime in there. What I'd say is the activity in enterprise has been kind of cycled by the COVID and people still not fully going back to the office. So what we are seeing is a phenomenon as people go back to the office, it refreshed their edge, their closets, that type of thing. So that activity has been fairly strong. The projects in that space are fairly strong from what we're seeing from the field on the enterprise side of things.

大衛，這是羅布。我會嘗試一下。加里，你可以插話一下。我想說的是，企業的活動已經受到新冠疫情的影響而循環，人們仍然沒有完全回到辦公室。所以我們看到的是一種現象，當人們回到辦公室時，它刷新了他們的邊緣，他們的衣櫃，諸如此類的東西。所以這個活動相當強勁。從我們在企業方面看到的情況來看，該領域的專案相當強大。

Some of our larger enterprise data center customers continue to build and continue to have demand on us. So we -- I'm pretty bullish on what we're seeing just what's necessary to update the enterprises and then expand the enterprises. As we mentioned, data is not slowing down by any stretch, and people are using data to drive more efficiency in there. And in order to do that, they're going to have to have the compute and/or the infrastructure to make that happen. I don't know, Gary, you were going to say something?

我們的一些大型企業資料中心客戶繼續建造並對我們持續有需求。因此，我非常看好我們所看到的更新企業和擴展企業所必需的東西。正如我們所提到的，數據的速度並沒有絲毫減慢，人們正在利用數據來提高效率。為了做到這一點，他們必須擁有計算和/或基礎設施來實現這一目標。我不知道，加里，你要說什麼嗎？

I think that's exactly right, Rob. So David, you're right, the cloud and colo, that CapEx, it's always hard to peg in any given quarter. So we look at more of the trajectory and the run rate of that. That all looks very healthy. In the enterprise, there would not be a light CapEx number that gets published anywhere, so we do. We take a lot of that from voice to customer and from our pipeline and what we're hearing directly from the individuals.

我認為這是完全正確的，羅布。所以大衛，你是對的，雲端和託管，資本支出，總是很難在任何給定的季度掛鉤。因此，我們更關注其軌跡和運行率。這一切看起來都很健康。在企業中，不會有任何地方公佈少量的資本支出數字，所以我們就這麼做了。我們從客戶的聲音、我們的管道以及我們直接從個人那裡聽到的資訊中獲取了很多資訊。

And to Rob's point, we have not heard any conversations pick up anywhere around, hey, we're going to slow down, hey, we're doing this, hey, we're planning for this in 2023, that looks any different than what we thought over the last couple of quarters. So we still think enterprise, edge, IT channel, all that market is pretty healthy. The only one exception was China had a little bit of a setback in enterprise just because of the COVID lockdown that occurred in late Q1 and Q2, but they're coming out of that now. So we're seeing that pipeline start to ramp up in enterprise. So everything we see in that area in channel, edge, enterprise or lump it all together, still looks pretty good and robust to us.

就 Rob 而言，我們沒有聽到任何地方有任何對話，嘿，我們要放慢速度，嘿，我們正在這樣做，嘿，我們計劃在 2023 年這樣做，這看起來與我們過去幾個季度的想法。因此，我們仍然認為企業、邊緣、IT 通路等所有市場都相當健康。唯一的例外是，由於第一季末和第二季發生的新冠疫情封鎖，中國的企業遭遇了一些挫折，但他們現在正在擺脫困境。因此，我們看到企業中的通路開始增加。因此，我們在該領域看到的管道、邊緣、企業或將所有這些結合在一起的一切對我們來說仍然看起來相當不錯且穩健。

Got it. That's helpful. And then in the Americas region, that's really the key for you to have a meaningful margin recovery. Can you just give a little bit more color on the internal initiatives that you have beyond sort of the Monterrey facility that would drive margin expansion going forward?

知道了。這很有幫助。然後在美洲地區，這確實是實現有意義的利潤恢復的關鍵。您能否對除了蒙特雷工廠以外的將推動利潤率擴張的內部舉措進行更多介紹？

Yes. David, this is David. So certainly, if you look at the second quarter and some of the headwinds versus last year, so to kind of compare it prior to this higher inflation supply chain-challenged environment, price/cost certainly played a role. The Americas was actually still negative price/cost in Q2. I think it was about $10 million. We certainly feel like we'll address that with the additional pricing we expect to get in the second half of the year.

是的。大衛，這是大衛。因此，當然，如果你看看第二季度和去年相比的一些不利因素，那麼為了在通膨上升、供應鏈面臨挑戰的環境之前進行比較，價格/成本肯定發揮了作用。實際上，美洲第二季的價格/成本仍然為負。我想大約是1000萬美元。我們當然認為我們將透過預計在今年下半年獲得的額外定價來解決這個問題。

But pricing will continue to be a lever. And we've never been super aggressive with pricing. And what we've realized is that we've left a lot of money on the table. We could have been pricing much more aggressively for a long while here. And based on the strength of our products (inaudible) products, we'll continue to be aggressive with pricing. So that will continue to be a lever next year even beyond offsetting inflation, whether from a dollar perspective or a percentage perspective.

但定價仍將是一個槓桿。我們在定價方面從來沒有過於激進。我們意識到，我們還剩下很多錢。很長一段時間以來，我們本來可以更積極地定價。基於我們產品的實力（聽不清楚），我們將繼續積極定價。因此，無論從美元角度還是從百分比角度來看，明年這將繼續成為一個槓桿，甚至超出抵消通膨的範圍。

But a lot of the other things, I don't want to discount them by calling them blocking and tackling. But there are a lot of elements of operations that we have identified over the last 6 months or so that can be significantly improved. We talked a lot about the SIOP process. That's not only going to improve our ability to manage inventory, it will improve our ability to drive margin. Capacity planning is another, the organizational structure, continuing to get benefits from ERP and driving process and putting additional tools in place.

但還有很多其他的事情，我不想透過稱它們為阻擋和鏟球來貶低它們。但我們在過去 6 個月左右的時間裡發現了許多可以顯著改進的營運要素。我們就 SIOP 流程討論了很多。這不僅將提高我們管理庫存的能力，還將提高我們提高利潤的能力。容量規劃是另一個方面，即組織結構，繼續從 ERP 和驅動流程中獲益，並部署其他工具。

So going back to maybe in the very beginning, this Americas region was built through a series of acquisitions that never were really integrated. We've done some of that over the last 4 or 5 years. And there's still a ton of benefit out there just by putting in place some improved processes. And I think we're already starting to see that benefit. And we would expect an acceleration of those things in 2023 and beyond.

因此，也許在一開始，這個美洲地區是透過一系列從未真正整合的收購而建立的。在過去的四、五年裡，我們已經做了一些這樣的事。只要實施一些改進的流程，仍然有很多好處。我認為我們已經開始看到這種好處。我們預計這些事情將在 2023 年及以後加速發展。

There are no further questions at this time. This concludes our question-and-answer session. I would like to turn the conference back over to Rob Johnson for any closing remarks.

目前沒有其他問題。我們的問答環節到此結束。我想將會議轉回給羅布·約翰遜（Rob Johnson）發表閉幕詞。

Okay. Thank you, and thank you to everybody for participating today and for your support. Our second quarter is another step forward in delivering on our plan that we detailed out last February. It continues to be a dynamic time in a macro environment, but we remain firmly focused on executing a strong second half, which will provide a strong setup for 2023.

好的。謝謝大家，也謝謝大家今天的參與與支持。我們的第二季度是我們在實現去年二月詳細制定的計劃方面又向前邁出了一步。宏觀環境仍然充滿活力，但我們仍然堅定地致力於實現強勁的下半年，這將為 2023 年奠定堅實的基礎。

Again, appreciate everyone's support, and I'd like to thank everyone for joining the call today.

再次感謝大家的支持，我要感謝大家今天加入電話會議。

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

謝謝。會議現已結束。感謝您參加今天的演講。現在您可以斷開線路。