Weatherford International PLC (WFRD) 2024 Q4 法說會逐字稿

Good morning and welcome to the Weatherford International fourth-quarter 2024 and full-year 2024 earnings call.

早安，歡迎參加 Weatherford International 2024 年第四季和 2024 年全年財報電話會議。

(Operator Instructions) Please note, this event is being recorded.

（操作員指示）請注意，此事件正在記錄中。

I would now like to turn the conference over to Luke Lemoine, SVP of Corporate Development. Please go ahead.

現在，我想將會議交給企業發展部資深副總裁 Luke Lemoine。請繼續。

Welcome, everyone, to the Weatherford International fourth-quarter 2024 and full-year 2024 earnings conference call.

歡迎大家參加 Weatherford International 2024 年第四季和 2024 年全年財報電話會議。

I'm joined today by Girish Saligram, President & CEO and Arun Mitra, Executive Vice President and CFO. We will start today with our prepared remarks and then open up for questions. You may download a copy of the presentation slides corresponding to today's call from our website's Investor Relations section.

今天與我一起參加會議的還有總裁兼執行長 Girish Saligram 和執行副總裁兼財務長 Arun Mitra。今天我們將開始發表準備好的發言，然後接受提問。您可以從我們網站的投資者關係部分下載與今天的電話會議相對應的簡報投影片的副本。

I want to remind everyone that some of today's comments include forward-looking statements. These statements are subject to many risks and uncertainties that could cause our actual results to differ materially from any expectation expressed herein.

我想提醒大家，今天的一些評論包括前瞻性的陳述。這些聲明受許多風險和不確定性的影響，可能導致我們的實際結果與本文表達的任何預期有重大差異。

Please refer to our latest Securities and Exchange commission filings for risk factors and cautions regarding forward-looking statements. Our comments today also include non-GAAP financial measures. The underlying details and a reconciliation of GAAP to non-GAAP financial measures are included in our earnings press release which can be found on our website.

有關前瞻性陳述的風險因素和警告，請參閱我們最新的證券交易委員會文件。我們今天的評論還包括非公認會計準則財務指標。我們的收益新聞稿中包含了基本詳細資訊以及 GAAP 與非 GAAP 財務指標的對帳表，您可以在我們的網站上找到。

As a reminder, today's call is being webcast and a recorded version will be available on our Investor Relations website section following the conclusion of this call.

提醒一下，今天的電話會議將進行網路直播，電話會議結束後，我們將在投資者關係網站部分提供錄音版本。

With that, I'd like to turn the call over to Girish.

說完這些，我想把電話轉給 Girish。

Thanks, Luke, and thank you, all, for joining our call.

謝謝盧克，也謝謝大家參加我們的電話會議。

I will start with an overview of our performance and key highlights and we'll then share our outlook on the market. Arun will then cover specifics on financial performance, balance sheet, and detailed guidance and I will wrap up with some thoughts on our strategic direction and 2025 focus areas before opening for Q&A.

我將首先概述我們的業績和主要亮點，然後分享我們對市場的展望。然後，阿倫將介紹財務表現、資產負債表和詳細指導的具體內容，然後我將總結我們策略方向和 2025 年重點領域的一些想法，然後再開始問答。

As illustrated on slide 3, it's clear that the fourth quarter did not go as anticipated. We had a significant reduction in activity in Latin America, driven by cost containment program in Mexico. The activity reduction was further amplified by scheduled shifts in the North Sea and a few other pockets. The delta versus our guidance on revenue was a direct consequence of these changes.

如投影片 3 所示，很明顯第四季的表現不如預期。由於墨西哥的成本控制計劃，我們在拉丁美洲的活動大幅減少。北海和其他一些地區的定期輪班進一步減少了活動量。與我們的收入預期相比的差異是這些變化的直接結果。

Nonetheless, I am very pleased with and proud of the Weatherford team's tenacity and efforts to achieve our objective of delivering adjusted EBITDA margins exceeding 25% for the full year. Additionally, we demonstrated strong cash generation in the fourth quarter allowing us to generate $524 million adjusted free cash flow for the year.

儘管如此，我仍然對韋德福德團隊的堅持和努力感到非常高興和自豪，他們努力實現全年調整後 EBITDA 利潤率超過 25% 的目標。此外，我們在第四季度表現出強勁的現金創造能力，使我們全年產生了 5.24 億美元的調整後自由現金流。

From a regional standpoint in Q4, North America revenue was down 2% sequentially, primarily due to a continued reduction in US land activity which was partially offset by improved performance in our North America offshore business. Our international business was down 6% sequentially and down 3% year over year, driven primarily by Latin America and particularly Mexico.

從第四季度的區域角度來看，北美收入環比下降 2％，主要原因是美國陸地活動持續減少，但北美海上業務業績改善部分抵消了這一影響。我們的國際業務季減 6%，年減 3%，主要受到拉丁美洲（尤其是墨西哥）的影響。

Importantly though, our international business generated growth of 10% on a full-year basis, spearheaded by the Middle East, North Africa, and Asia region which clocked in at 17% year-on-year top line growth. Adjusted EBITDA margins for Q4 came in at 24.3%, driven by the impact of lower revenues. We have always maintained that we can improve margins even in a flat environment. But as the fourth quarter demonstrated, unfortunately, we cannot fight math when revenues decline.

但重要的是，我們的國際業務全年成長了 10%，其中中東、北非和亞洲地區的營收年增了 17%。受營收下降的影響，第四季調整後 EBITDA 利潤率為 24.3%。我們始終堅信，即使在平穩的環境下，我們也能提高利潤率。但不幸的是，正如第四季度所顯示的那樣，當收入下降時，我們無法對抗數學。

Despite the shortfall, we delivered full-year adjusted EBITDA margins in line with our prior guidance at 25.1%, marking the highest full-year margin over 15 years. Throughout the year, we experienced several notable growth success stories. The Kingdom of Saudi Arabia grew 15% for the full year while we also achieved high growth rates in the UAE, Kuwait, Oman, Qatar, Thailand, Malaysia, Indonesia, the UK, and Argentina. While North America remains challenged and was down 2%, I am pleased that the team has once again done an outstanding job of improving year-on-year margins.

儘管存在差距，但我們全年調整後的 EBITDA 利潤率仍符合我們先前的預期，為 25.1%，創下 15 年來的最高全年利潤率。這一年，我們經歷了幾個顯著的成長成功案例。沙烏地阿拉伯王國全年成長了15％，同時我們在阿聯酋、科威特、阿曼、卡達、泰國、馬來西亞、印尼、英國和阿根廷也實現了較高的成長率。儘管北美市場依然面臨挑戰並下降了 2%，但我很高興看到團隊再次出色地提高了利潤率。

As shown on slide 6, we have now paid two quarterly dividends of $0.25 per share and repurchased approximately $99 million of shares during the second half of 2024. While this amount may vary each quarter due to market conditions, we believe the stock at these levels is undervalued and represents a compelling investment opportunity.

如投影片 6 所示，我們目前已支付兩次每股 0.25 美元的季度股息，並在 2024 年下半年回購了約 9,900 萬美元的股票。雖然由於市場狀況，該金額每季可能會有所不同，但我們認為，這些水準的股票被低估了，代表著一個引人注目的投資機會。

Now, turning to our segment overview on slides 9 through 11. The operational and technical highlights showcase advancements in new market penetration, technology adoption, and continued innovation of our product and services portfolio.

現在，我們來看看第 9 至 11 頁投影片上的部分概述。營運和技術亮點展示了我們在新市場滲透、技術採用和產品和服務組合持續創新方面的進步。

We achieved significant growth in a number of our product lines in 2024. Within DRE, all our major product lines exhibited significant growth. In WCC, Completions remains our largest product line and grew in the mid-double digits in 2024 following a year of mid-20% growth in 2023.

2024年，我們的許多產品線都實現了顯著成長。在 DRE 內部，我們所有主要產品線都表現出顯著的成長。在 WCC，Completions 仍然是我們最大的產品線，繼 2023 年實現 20% 左右的成長率之後，2024 年又實現了兩位數左右的成長率。

I also remain very excited about our Well Services product line. This is our customer OpEx focused rigless intervention business that enables production enhancement through innovative well rejuvenation solutions, and we have dedicated significant organic attention to it over the past couple of years. In three years, this business has grown over 50% and this represents a significant growth vector. Moreover, it is low-capital intensity and growth is generated by creating a quick payback business case for customers versus relying on intrinsic activity uptick.

我對我們的油井服務產品線也感到非常興奮。這是我們以客戶營運支出 (OpEx) 為中心的無鑽機幹預業務，可透過創新的井復原解決方案來提高產量，過去幾年來我們對此投入了大量的有機關注。三年來，該業務成長了50%以上，這是一個顯著的成長方向。此外，它的資本密集度較低，透過為客戶創建快速回報的業務案例來實現成長，而不是依賴內在活動的上升。

As mentioned in our earnings release and specified on the segment pages in the presentation, we continue to secure a number of significant contract awards. Notable highlights include Kuwait Oil Company awarding Weatherford an MPD services contract to improve operational efficiency and reduce costs by deploying the Victus Intelligent MPD System.

正如我們在收益報告中提到的並在簡報的分部頁面上指定的一樣，我們繼續獲得許多重要的合約獎勵。值得注意的亮點包括科威特石油公司授予 Weatherford 一份 MPD 服務合同，透過部署 Victus 智慧 MPD 系統來提高營運效率並降低成本。

Additionally, ADNOC awarded Weatherford a three-year contract for rigless services as part of the reactivation of its onshore strings. The latter exemplifies the growth potential we can create through well services offerings. We continue to focus on technology adoption and penetration and we remain confident that we can achieve growth above market levels by showcasing the value proposition of the technology innovations within our portfolio with major customers.

此外，阿布達比國家石油公司還授予韋瑟福德一份為期三年的無鑽機服務合同，作為重新啟動其陸上作業的一部分。後者體現了我們透過油井服務所能創造的成長潛力。我們將繼續專注於技術的採用和滲透，並堅信透過向主要客戶展示我們產品組合中的技術創新的價值主張，我們能夠實現高於市場水平的成長。

Now turning to our view on the market. There is a fair degree of uncertainty that will clarify as the year evolves. However, at present, the outlook has a more negative bias in the immediate term. The biggest headwind we face is in Mexico where activity levels are anticipated to drop significantly compared to the first half of 2024.

現在來談談我們對市場的看法。存在相當程度的不確定性，但隨著時間的推移將會逐漸明朗。然而，目前來看，短期前景更偏向負面。我們面臨的最大阻力是在墨西哥，預計那裡的活動水準將與 2024 年上半年相比大幅下降。

While there is a possibility of a rebound in the second half of this year, we are adopting a cautious and prudent approach regarding our capacity. While we benefited from extraordinarily strong growth in Mexico in the past few years and continue to believe in its long-term potential, for the short term, our focus will be on margins and minimizing cash exposure and risk. Coupled with Russia, this will create a drag on 2025 revenues and drive enterprise revenue lower than 2024. However, I am encouraged by the outlook in the rest of the world as countries like Canada, Brazil, Kuwait, Saudi Arabia, Thailand, and Norway will help partially offset the decline.

雖然今年下半年有可能出現反彈，但我們對產能採取謹慎、審慎的態度。雖然我們受益於過去幾年墨西哥異常強勁的成長，並繼續相信其長期潛力，但短期內，我們的重點將放在利潤率和盡量減少現金敞口和風險上。再加上俄羅斯，這將對2025年的收入造成拖累，並導致企業收入低於2024年。然而，我對世界其他地區的前景感到鼓舞，因為加拿大、巴西、科威特、沙烏地阿拉伯、泰國和挪威等國家將有助於部分抵消這一下滑。

For 2025, total international revenues will likely be down mid-single digits which is predominantly a function of Mexico and Russia, excluding these two countries, international revenues would likely be up low-single digits in 2025, and we see a continued outlook for stability there for the coming years. North America revenues are expected to continue the same trend as the past couple of years and be down low- to mid-single digits this year, primarily due to US land that's partially offset by Canada.

到 2025 年，國際總收入可能會下降中等個位數，這主要是由於墨西哥和俄羅斯的影響。除這兩個國家外，2025 年的國際收入可能會成長低個位數，而且我們預計未來幾年這些國家將繼續保持穩定。今年北美的收入預計將繼續延續過去幾年的趨勢，下降低至個位數，主要原因是美國土地的損失被加拿大部分抵消。

From a segment standpoint on an enterprise basis that translates to DRE down high-single digits and WCC and PRI down low-single digits. However, there may be some mix changes throughout the year based on customer plans and schedules. For Q1, the revenue decline is most pronounced in Latin America due to Mexico and closely followed by Europe, Sub-Saharan Africa, and Russia due to Russia along with contract timing. Considering these markets and FX challenges, overall international revenues are expected to decline quarter on quarter by mid double-digits with North America revenue down low-single digits.

從企業細分市場的角度來看，這意味著 DRE 下降高個位數，而 WCC 和 PRI 下降低個位數。然而，根據客戶的計劃和安排，全年可能會有一些組合變化。就第一季而言，營收下降最為明顯的是拉丁美洲，原因是墨西哥，其次是歐洲、撒哈拉以南非洲和俄羅斯，原因是俄羅斯以及合約時間的原因。考慮到這些市場和外匯挑戰，預計整體國際收入將環比下降中兩位數，其中北美收入將下降低個位數。

We have a good line of sight to a material increase in second quarter revenues. We have sized Mexico appropriately, and while the total year revenue decline is projected to be in the order of magnitude of 30% to 50%, the run rate is really manifested in Q1 and limited sequential changes going forward. MENA growth is driven by contract starts, integrated contracts ramp up, and new contracts commence in Europe. Additionally, this should be followed by another rise in revenues from first half to second half levels, once again, driven by contract starts that we have good line of sight to.

我們預計第二季營收將大幅成長。我們對墨西哥的規模進行了適當的評估，雖然預計全年收入下降幅度將在 30% 到 50% 之間，但運行率確實在第一季度得到了體現，並且未來的連續變化有限。中東和北非地區的成長主要得益於合約開工、綜合合約增加以及歐洲新合約開始生效。此外，收入應該會從上半年再次上升到下半年的水平，這再次受到我們預期的合約開始生效的推動。

As we began to see revenue softness in the fourth quarter, we launched plans to control and reduce costs across several aspects of the company while preserving our focus on longer-term investments and innovation. These actions will ensure that we are keeping decrementals in check and ensuring healthy margins at the intersection of each product line and country. Margins are expected to improve substantially in the second half as our cost and productivity programs take full effect.

當我們開始看到第四季度營收疲軟時，我們啟動了控制和降低公司多個方面成本的計劃，同時繼續專注於長期投資和創新。這些措施將確保我們控制遞減量並確保每條產品線和國家交叉點的健康利潤率。隨著我們的成本和生產力計劃全面生效，預計下半年利潤率將大幅提高。

With that, I'd like to turn the call over to Arun.

說到這裡，我想把電話轉給阿倫。

Thank you, Girish. Good morning and thank you, everyone, for joining us on the call.

謝謝你，吉里什。早安，感謝大家參加我們的電話會議。

Girish has already shared an overview of our fourth-quarter performance and an update on our capital return program. For a more detailed breakdown of the fourth-quarter results, please refer to our press release and accompanying slide deck presentation. My comments today will center around cash flow, working capital, balance sheet, liquidity, and guidance.

Girish 已經分享了我們第四季度業績概況和資本回報計劃的最新進展。有關第四季度業績的更詳細分類，請參閱我們的新聞稿和隨附的幻燈片簡報。我今天的評論將圍繞著現金流、營運資金、資產負債表、流動性和指導。

Turning to slide 23 for cash flows and liquidity. For the full year 2024, we generated $524 million of adjusted free cash flow or a 37.9% free cash flow conversion rate and we remain committed to driving this rate towards 50% in the long-term.

翻到第 23 張投影片了解現金流和流動性。2024 年全年，我們產生了 5.24 億美元的調整後自由現金流，即 37.9% 的自由現金流轉換率，我們仍致力於長期推動這一比率達到 50%。

For the full year, our net working capital showed significant efficiencies with net working capital as a percentage of revenues improving to 24.5% from 25.8% the previous year. This also represents a 610-basis-points improvement in our efficiency compared to the 30.6% we achieved in 2021, reflecting our commitment to sustainable longer-term improvements in company performance.

全年來看，我們的淨營運資本效率顯著提升，淨營運資本佔收入的比例從上年的25.8%提高到24.5%。與 2021 年實現的 30.6% 相比，這也意味著我們的效率提高了 610 個基點，反映了我們對公司業績可持續的長期改善的承諾。

As we have mentioned before, regardless of the stage of the cycle, our goal is to maintain net working capital as a percentage of revenue at 25% or better, sustainably. In the fourth quarter, we generated a significant improvement to our inventory levels as we experienced a decline in revenues, allowing us to adjust our plans to avoid incurring stranded costs.

正如我們之前提到的，無論處於週期的哪個階段，我們的目標是將淨營運資本佔收入的百分比持續維持在 25% 或更高。第四季度，由於收入下降，我們的庫存水準得到了顯著改善，這使我們能夠調整計劃，以避免產生擱淺成本。

As Girish mentioned, we have initiated a series of cost actions to drive cost reductions across the company. In this context, we took a restructuring and severance charge of $32 million in Q4. Several actions have already been completed and we anticipate finishing the remaining steps in the first half of the year.

正如 Girish 所提到的，我們已經採取了一系列成本行動來推動整個公司的成本削減。在此背景下，我們在第四季度承擔了 3,200 萬美元的重組和遣散費用。一些行動已經完成，我們預計將在今年上半年完成剩餘的步驟。

For 2024, CapEx was $299 million or 5.4% of revenues. CapEx came in a bit higher in Q4 as we took advantage of opportunistic investments that are strategically important and represent good economics. On our 18-month rolling basis, CapEx remains within the 5% of revenue range we've outlined.

2024 年的資本支出為 2.99 億美元，佔營收的 5.4%。由於我們抓住了具有戰略重要性且經濟效益好的機會性投資，第四季度的資本支出略有增加。在我們 18 個月的滾動基礎上，資本支出仍在我們所概述的收入範圍內的 5% 之內。

In the fourth quarter, we repurchased approximately $49 million worth of shares and paid a $0.25 per share quarterly dividend. Our liquidity is approximately $1.3 billion and we feel confident in our ability to manage the company through this transitional period. We believe we have opportunities to drive multiple elements of our capital allocation framework and create value for our shareholders.

第四季度，我們回購了價值約 4,900 萬美元的股票，並支付了每股 0.25 美元的季度股息。我們的流動資金約為 13 億美元，我們對自己管理公司度過這段過渡期的能力充滿信心。我們相信我們有機會推動資本配置框架的多個要素並為股東創造價值。

Now turning to guidance, let me start with Q1. We are expecting $1.17 billion to $1.21 billion in revenues with adjusted EBITDA of $245 million to $265 million. The sequential decline is a function of normal seasonality, significant Mexico activity reduction, FX and Russia decline. Free cash flow will be more second half weighted as is typical with first quarter free cash flow near breakeven. For 2025, we expect revenues of $5.10 billion to $5.35 billion. Adjusted EBITDA of $1.20 billion to $1.35 billion, and the free cash flow conversion to increase 100 to 200 basis points year on year.

現在轉向指導，讓我從 Q1 開始。我們預計營收為 11.7 億美元至 12.1 億美元，調整後 EBITDA 為 2.45 億美元至 2.65 億美元。連續下降是由於正常季節性、墨西哥活動大幅減少、外匯和俄羅斯下降造成的。自由現金流將更集中在下半年，因為第一季的自由現金流通常接近損益兩平。到 2025 年，我們預計營收將達到 51 億美元至 53.5 億美元。調整後EBITDA為12億美元至13.5億美元，自由現金流轉換率較去年同期成長100至200個基點。

I'd like to point out that the Q1 operating income will be favorably impacted by a $25-million quarter-on-quarter decline in depreciation and amortization. For the full year, we expect depreciation and amortization to decline approximately $100 million.

我想指出的是，折舊和攤提費用較上季下降 2,500 萬美元將對第一季的營業收入產生正面影響。我們預計全年折舊和攤提將減少約 1 億美元。

Our effective tax rate can vary quarter to quarter depending on the geographic mix and we anticipate this will be similar to 2024 in the mid-20% range for 2025 with Q1 towards the high-30% range. CapEx will remain at 5% of revenues for the year as we finish deployment of the subsea intervention projects in Brazil as announced at the end of 2023 and will be a bit higher as a result in the first half of the year.

我們的有效稅率可能因地理分佈的不同而每季有所不同，我們預計 2025 年的有效稅率將與 2024 年類似，在 20% 的中間範圍內，而 2025 年第一季的有效稅率將接近 30% 的高點範圍。隨著我們完成 2023 年底宣布的巴西海底幹預計畫的部署，資本支出將維持在當年收入的 5%，因此今年上半年的資本支出將略高。

Thank you for your time today. I will now pass the call back to Girish for his closing comments.

感謝您今天抽出時間。我現在將電話轉回給 Girish，請他作最後發言。

Thanks, Arun.

謝謝，阿倫。

While the overall market is evolving and the cycle is maturing, we remain constructive on the activity profile over the next several years. There will be pockets of turbulence like we are encountering in 2025 with Mexico but the overall demand profile for hydrocarbons, reservoir decline rates, share gain opportunities, and pricing resilience give us confidence in our mid- to long-term positive perspective.

雖然整體市場正在演變且週期正在成熟，但我們對未來幾年的活動狀況仍持建設性態度。我們將會出現一些動盪，就像我們在 2025 年墨西哥遇到的那樣，但碳氫化合物的總體需求狀況、油藏遞減率、份額增長機會和定價彈性使我們對中長期積極前景充滿信心。

In that context, we continue to believe we have the opportunity to deliver adjusted EBITDA margins in the high-20s in the next three years in a flat to modestly up operating environment. However, as I said earlier, when revenues decline, it's hard to fight math in the immediate term. What we can control are our actions and focus. We have outlined our five strategic priorities and organizational vitality, creating the future, customer experience, lean operations, and financial performance. And for 2025, these converge around three specific focus areas.

在此背景下，我們仍然相信，在未來三年平穩至略有上升的營運環境下，我們有機會實現調整後 EBITDA 利潤率達到 20% 左右。然而，正如我之前所說，當收入下降時，短期內很難對抗數學。我們能夠控制的是我們的行動和焦點。我們概述了我們的五大策略重點和組織活力：創造未來、客戶體驗、精實營運和財務績效。而到2025年，這些將集中在三個特定的重點領域。

The first area of focus is structural cost. We initiated a significant cost optimization program in the fourth quarter which goes beyond merely adjusting for volume. Our emphasis is on achieving sustainable productivity gains through technology and lean processes. While this program is set to run for several years and aims for long-term efficiency, improvements from systems enhancements, we expect to see very tangible short-term impacts in the first half of the year. We will provide more details during our first quarter call.

第一個關注領域是結構成本。我們在第四季度啟動了一項重大的成本優化計劃，這項計劃不僅僅是針對數量​​的調整。我們的重點是透過技術和精益流程實現可持續的生產力成長。雖然該計劃將運行數年，旨在實現長期效率和系統增強的改進，但我們預計在今年上半年就會看到非常明顯的短期影響。我們將在第一季電話會議上提供更多詳細資訊。

Second is net working capital efficiency. Invoicing, collections, inventory paradigms, supplier terms, and manufacturing and repair cycle times are all improving and expected to deliver a greater impact this year. The enhancements will contribute to our goal of achieving free cash flow conversion of around 50% over the next few years.

第二是淨營運資本效率。發票、收款、庫存範例、供應商條款以及製造和維修週期時間都在改善，預計今年將產生更大的影響。這些改進將有助於我們實現未來幾年約 50% 的自由現金流轉換目標。

Finally, in a softer market, we will need to create growth and we have identified specific growth vectors that are getting a significant amount of attention. These are highly focused initiatives and include specific products like Modus in MPD that I've talked about in the past and our wealth services business that I described earlier, our digital offerings, et cetera. All of which have a strong track record, compelling value proposition, and significant opportunities for growth.

最後，在疲軟的市場中，我們需要創造成長，並且我們已經確定了受到大量關注的具體成長方向。這些都是高度集中的舉措，包括特定產品，例如我過去談到的 MPD 中的 Modus、我之前描述過的財富服務業務、我們的數位產品等等。所有這些公司都擁有良好的業績記錄、引人注目的價值主張和巨大的成長機會。

I am deeply cognizant of the concern around Weatherford's performance in a softer market and I'm keenly aware of the decline in stock price, both in absolute terms and relative to the rest of the sector. While our guidance for the year is for reduced revenue and slightly lower margins, it is important to note that it is primarily a function of two countries. The rest of the world, especially international, is exhibiting a solid outlook and we are well positioned there.

我深深意識到人們對韋瑟福德在疲軟市場中的表現的擔憂，並且我敏銳地意識到股價的下跌，無論是絕對值還是相對於該行業的其他股票而言。雖然我們對今年的預期是收入減少且利潤率略有下降，但必須注意的是，這主要受到兩個國家的影響。世界其他地區，特別是國際社會，正展現出穩健的前景，我們在那裡佔據了有利地位。

Despite the profitability levels in Mexico and Russia and the significant declines, our enterprise adjusted EBITDA margins will only decline by 70 bps at the midpoint of our guidance, and we will generate cash in the same order of magnitude as 2024. To put that in context, that is still north of 24% adjusted EBITDA margins and 130 bps above where we ended 2023, and we believe our anticipated performance still reflects top-tier results within the industry.

儘管墨西哥和俄羅斯的獲利水準和大幅下滑，但我們企業調整後的 EBITDA 利潤率在我們預期的中點僅會下降 70 個基點，並且我們將產生與 2024 年相同數量級的現金。具體來說，調整後的 EBITDA 利潤率仍高於 24%，比 2023 年底的水平高出 130 個基點，而且我們相信，我們預期的業績仍然反映了行業內的頂級業績。

I've always asked for us to be judged by our numbers, not our words and we will hopefully demonstrate that we can perform equally well in this stage of the cycle as we did in the prior one. We expect to generate roughly the same amount of cash in 2025 and reduced revenues, and this gives us ample opportunity to make strategic investments including buying back stock for the mid to long term.

我一直要求以數字而不是言語來評判我們，我們希望證明，我們在這一階段的周期中能夠表現得和上一階段一樣好。我們預計 2025 年的現金量大致相同，但收入會減少，這為我們提供了充足的機會進行策略性投資，包括中長期回購股票。

And now operator, please open the call for questions.

現在請接線生打開問答環節。

(Operator Instructions)

（操作員指令）

Saurabh Pant, Bank of America.

美國銀行的 Saurabh Pant。

Girish, I want to make sure I heard you correct in your prepared remarks. I think when you were stepping through all the countries, I think you said you expect the Saudi to be up and offset the declines in Mexico and Russia. Maybe -- can you confirm that for me? And then maybe can you describe what's going on in Saudi for you? And how is Weatherford likely able to grow in Saudi when some of your bigger peers, I think early on in the earning season, were talking about decline for them on a year-over-year basis?

吉里什，我想確保我聽清楚了你準備好的發言。我想，當您回顧所有國家時，您說過，您預計沙烏地阿拉伯的石油產量將會上漲，從而抵消墨西哥和俄羅斯石油產量的下降。也許——你能幫我確認一下嗎？那你能描述一下沙烏地阿拉伯發生的事情嗎？我認為，在獲利季節的早期，你們的一些較大的同行都在談論他們的業績同比下滑，那麼威德福如何在沙特實現增長呢？

Yeah. Sure.

是的。當然。

So Saurabh, you did hear correctly in terms of Saudi will be up. Unfortunately, it's not going to fully offset the declines in Mexico and Russia, but it will certainly aid the rest of the world growing. So look, I've always maintained that we have been under penetrated in Saudi in several areas in gas, in offshore, and unconventionals. But we have made very significant improvements in our business in Saudi. We have driven a lot of technology introduction. We have significantly improved our operational execution.

因此，Saurabh，你確實聽到了沙烏地阿拉伯將會上漲的說法。不幸的是，它不能完全抵消墨西哥和俄羅斯的下滑，但肯定會幫助世界其他地區成長。所以，我一直認為，我們在沙烏地阿拉伯的天然氣、海上以及非常規油氣等多個領域的滲透還不夠。但我們在沙烏地阿拉伯的業務取得了非常顯著的進步。我們推動了很多技術的引進。我們的營運執行力得到了顯著提高。

Aramco is a terrific customer. We've been working very closely. So, look, we are by no stretch of the imagination immune to the decline in activity and the decline in rigs. But given our under penetration, we've got a little bit more, I'll call it insulation and an opportunity to grow. So we are actually very confident that we have a growth opportunity in Saudi this year despite the overall market decline.

沙特阿美公司是一位出色的客戶。我們一直密切合作。所以，無論如何，我們都無法免受活動減少和鑽井數量下降的影響。但考慮到我們的滲透率較低，我們還有更多空間，我稱之為隔離和成長機會。因此，儘管整體市場下滑，但我們實際上非常有信心，今年我們在沙烏地阿拉伯仍擁有成長機會。

And look to your point on why it's different, I think it's very similar to the Mexico story. It's actually just the opposite, right? It's the law of numbers. We are much smaller in Saudi. And so we've got an opportunity to grow even though the market declines. Our relative proportion in Mexico is much higher even though the order of magnitude of numbers is the same, so a decline in Mexico tends to just look bigger for us even though the dollar decline is about the same.

至於您指出的為何不同，我認為它與墨西哥的故事非常相似。事實上恰恰相反，對嗎？這是數字定律。我們在沙烏地阿拉伯的規模要小得多。因此，即使市場衰退，我們仍然有機會實現成長。儘管數字的數量級相同，但墨西哥的相對比例要高得多，因此，儘管美元的跌幅大致相同，但墨西哥的跌幅對我們來說似乎更大。

If I may add, in Saudi, we are predominantly a product business and we will penetrate service further going forward.

如果我可以補充的話，在沙特，我們主要從事產品業務，未來我們將進一步滲透服務。

Okay, perfect. No, I got it. And I think you said you got good line of sight with contracts, right? So this is more really what you know and have a lot of it under control, right, versus just hope so that's good color.

好的，完美。不，我明白了。而且我認為您說過您對合約的了解很深入，對嗎？因此，這實際上更多的是您所了解的內容並對其進行控制，而不是僅僅希望獲得好的顏色。

And then, Girish, maybe if we zoom out a little bit, you stepped through a lot of markets. I know you said excluding Mexico and Russia, International should be growing low-single digits, I think you said. Maybe step us through some of these markets that are growing some of the key ones if you want to just quickly touch on that and then maybe spend a minute, Girish, if you don't mind on Russia, what exactly are we expecting in Russia for '25?

然後，吉里什，如果我們把視野稍微放遠一點，你會發現你已經走過了很多市場。我知道您說過，除了墨西哥和俄羅斯外，國際市場的成長速度應該會維持在個位數以下。如果您想快速介紹這些正在成長的一些關鍵市場，也許可以向我們介紹一下這些市場，然後也許花一點時間，Girish，如果您不介意的話，談談俄羅斯，我們對 25 年俄羅斯的具體期望是什麼？

Sure. So look, I'll start with Russia. Look like I pointed out in my comments, we are expecting a significant decline. So our total guidance is based on both significant declines in Mexico and in Russia, I gave a range in Mexico and the totality is down mid-single digits for the year on the international side. But again, those are very isolated, very specific situations.

當然。那麼，我就從俄羅斯開始吧。正如我在評論中指出的那樣，我們預計會大幅下降。因此，我們的整體預期是基於墨西哥和俄羅斯的大幅下滑，我給出了墨西哥的一個範圍，而今年國際市場的整體下滑幅度為個位數的中等水平。但同樣，這些都是非常孤立、非常特殊的情況。

I'm very excited about Brazil. We've had some tremendous opportunities there. We've won some significant contracts. So Brazil is positive, I think Argentina is on a very positive trajectory as well. Places like Norway, Azerbaijan, in Europe pockets, in Sub-Saharan Africa are very positive. Asia is very strong. It's had a very strong year for us in 2024 and we will continue that with Thailand, Malaysia, et cetera so multiple places.

我對巴西感到非常興奮。我們在那裡獲得了一些絕佳的機會。我們贏得了一些重要的合約。因此巴西的情況是正面的，我認為阿根廷的情況也同樣正面。挪威、亞塞拜然、歐洲部分地區以及撒哈拉以南非洲地區的情況都非常正面。亞洲非常強大。2024 年對我們來說是非常強勁的一年，我們將繼續在泰國、馬來西亞等多個地方開展業務。

And then look in the Middle East specifically, we've got a lot of optimism around our Middle East business. I touched upon Saudi earlier but beyond Saudi, right, places like Kuwait, Oman, Qatar, these have been the bedrock of our growth over the last few years and we see a lot of stability there. We see continued opportunities to grow.

然後具體看看中東，我們對中東業務充滿樂觀。我之前提到過沙特，但除了沙特之外，像科威特、阿曼、卡達這樣的地方，這些地方是我們過去幾年成長的基石，我們看到那裡非常穩定。我們看到了持續成長的機會。

Last year, we also talked about a little bit of modulation on our integrated service contracts. The good news is customers activity is now caught up to us, and so we will be able to ramp that back up again and we should see an uptick there again, helping partially offset some of the issues in other places.

去年，我們也談到了對綜合服務合約進行一些調整。好消息是，客戶的活動現在已經趕上我們了，因此我們將能夠再次加快速度，並且我們應該再次看到上升趨勢，從而有助於部分抵消其他地方的一些問題。

Kurt Hallead, Benchmark.

庫爾特·哈萊德 (Kurt Hallead)，基準。

So, Girish, again Mexico has been a big drag for sure. Everybody in the sector here is feeling the pain, obviously maybe to different degrees. So again, a reference in the question before about good line of sight on opportunities at Saudi, despite the soft market, contract starts, et cetera. So I just wondering if like your dynamic in Mexico was more of a instinctual hope for a second half recovery. So I just wonder if you could give us a little bit more insights as to how you're thinking about it, how your team is thinking about it, and what kind of vibe are you picking up from those within PEMEX?

所以，吉里什，墨西哥再次成為一個很大的拖累因素。這個行業的每個人都感受到了痛苦，顯然程度可能不同。因此，先前的問題中再次提到，儘管市場疲軟、合約開始生效等等，但沙烏地阿拉伯仍有良好的發展機會。所以我只是想知道，您在墨西哥的動態是否更多地是對下半年復甦的本能希望。所以我想知道您是否可以向我們提供更多見解，例如您是如何看待這個問題的，您的團隊是如何看待這個問題的，以及您從 PEMEX 內部感受到了什麼樣的氛圍？

Yes. So look, Kurt, it's a really important point. The way we have constructed our guidance, the way we have thought through the business as I put in my prepared remarks is we have actually taken what we believe is a very prudent approach and it is a conservative approach to Mexico. So we are citing the business a little bit further down than maybe other people. I talked about a decline in activity of 30% to 50% that is very, very significant.

是的。所以，庫爾特，你看，這是一個很重要的觀點。正如我在準備好的發言中提到的，我們制定指導方針的方式、我們對業務的思考方式是，我們實際上採取了我們認為非常審慎的方法，而且這是對墨西哥的保守方法。因此，我們對該業務的引用可能比其他人稍微低一些。我談到了活動量下降 30% 到 50%，這是非常非常顯著的。

And so we are not assuming a dramatic ramp-up in the second half from Mexico. If we actually see that, that will be positive for us, that will be upside. But that is not what we have built in. We have very strong line of sight, especially, look, there are two ramps right? There's a ramp from Q1 to Q2 and there's a ramp then from Q2 or the first half going into the second half.

因此我們並不認為墨西哥下半年會大幅成長。如果我們確實看到了這一點，對我們來說將是積極的，將是一種好處。但這並不是我們所建構的。我們的視線非常好，特別是，看，有兩個坡道，對吧？從 Q1 到 Q2 有一個坡道，然後從 Q2 或上半場到下半場也有一個坡道。

We've got very solid line of sight to contract starts to activity increases, a lot of different product deliveries, et cetera that give us confidence in that, and hopefully what we have demonstrated over the past 18 quarters is look, we tend not to get in way over -- forward on our Qs on guidance and we try to make sure we've got a reasonable line of sight of things we give it to. But on Mexico, we have taken what we believe is a conservative and prudent approach.

我們對合約開始增加、大量不同產品的交付等有著非常堅實的視線，這些讓我們對此充滿信心，希望我們在過去 18 個季度中所展示的是，我們傾向於不要過度關注我們的指導問題，我們會嘗試確保我們對所給予的事情有一個合理的視線。但在墨西哥問題上，我們採取了自認為保守和審慎的態度。

Okay. All right. Appreciate that.

好的。好的。非常感謝。

Now, you also specify on Russia if I'm not mistaken, I think it's, I don't know, something less than 5% of your overall revenue base but I guess given such a small percentage of your business, I was just curious as to what drove you to maybe flag it and then it also begs the question, there was a step-up in sanctions pressure on Russia so was that part of the reason you flagged it?

現在，如果我沒有記錯的話，您還特別提到了俄羅斯，我認為，我不知道，這佔您整體收入的 5% 以下，但我想考慮到您的業務所佔的比例這麼小，我只是好奇是什麼促使您標記它，然後它也引出了一個問題，對俄羅斯的製裁壓力加大了，這是您好奇標記它的部分原因嗎？

Yeah. So look, Kurt, we have always maintained on Russia that we will continue operating as long as three key principles of that. The first is ensuring the safety of our operations and people. The second is, it still makes economic sense. And the third and most significant is that we have a very high degree of confidence that we are in full compliance with all international sanctions against Russia as well as all local laws within Russia, both need to be satisfied. Those principles have not changed for us. And we still believe that we are fully within those.

是的。所以，庫爾特，你看，我們一直堅持在俄羅斯的立場，只要堅持三個關鍵原則，我們就會繼續採取行動。首先是確保我們的營運和人員的安全。第二，它仍然具有經濟意義。第三，也是最重要的一點，我們高度相信，我們完全遵守了對俄羅斯的所有國際制裁以及俄羅斯境內的所有當地法律，這兩者都需要滿足。對我們來說這些原則並沒有改變。我們依然相信，我們完全能夠實現這些目標。

Having said that, with each round of sanctions, we have talked about this in the past, it does get more complicated, it does get more challenging. We have not shipped anything into Russia since February of 2022. There's been no new technology introduction. And so the complexity of the business means that it will further decline.

話雖如此，隨著每一輪制裁，我們過去都討論過這個問題，情況確實變得更加複雜，也更具挑戰性。自 2022 年 2 月以來，我們沒有向俄羅斯運送任何物品。沒有引進新技術。因此，業務的複雜性意味著它將進一步衰退。

The business has gone down as a percentage of the total company about 200 bps in two years. So from 7.4% to about 5.4%. It is a significant reduction and we expect that reduction to continue. When you couple on top of that, you add FX and the volatility around FX, we saw a dramatic decline in December on the ruble-dollar exchange rate that puts a lot more pressure. So it will be a very negative headwind. And again, that's part of Mexico and Russia contribute to that down mid-single digit on the international side.

兩年內，該業務占公司總收入的比例下降了約 200 個基點。因此從 7.4% 降至約 5.4%。這是一個顯著的減少，我們預計這種減少將持續下去。如果再加上外匯以及外匯周圍的波動，我們看到 12 月盧布兌美元匯率大幅下跌，這帶來了更大的壓力。所以這將會是一個非常負面的逆風。再一次，這是墨西哥和俄羅斯對國際方面個位數下降的貢獻。

James Rollyson, Raymond James.

詹姆斯·羅利森，雷蒙德·詹姆斯。

Girish, maybe circling back around to Mexico, the opposite question. Obviously, you guys have had a big presence there and in the moment that's not working out as well as you'd like. But it seems to me if you look at the math on activity in for PEMEX relative to their production. At some point, this massive activity is going to come home to roost on the production side, which would assume at some point means they're going to have to reverse course.

吉里什，也許回到墨西哥，這是相反的問題。顯然，你們在那裡有著很大的影響力，但目前情況卻不如你們所願。但在我看來，如果你看一下 PEMEX 相對於其產量的活動數學計算結果。某種程度上，這種大規模活動將為生產方面帶來後果，這意味著他們必須改變方向。

But I'm curious when we get to the other side of this valley of activity reductions and they look to maybe ramp back up assuming they do. Curious how you think about that. Like, what's your opportunity set? How willing are you to get back up to the level of leverage you have to them, et cetera? Like just maybe thinking about how this works on the flip side when we get to it whether that's '25, '26 or, whenever.

但我很好奇，當我們到達活動減少的低谷的另一邊時，它們看起來可能會重新增加（假設它們確實這樣做了）。好奇您是如何看待這個問題的。例如，你的機會是什麼？您有多願意重新獲得對他們的影響力，等等？就像我們可能只是在思考，當我們到達那裡時，它的另一方面會如何運作，無論是 25 年、26 年還是任何時候。

Yeah, Jim look, right now, we're very focused, as I said, on margins and ensuring that we get cash. Look our operational performance has been really strong. They're a very important customer for us and we believe in the long-term potential there. So I think we will be well positioned to take advantage and we are just going to make sure that we are covering our bases when it comes to cash and not taking undue risk.

是的，吉姆，現在，正如我所說，我們非常關注利潤率並確保我們獲得現金。看起來我們的營運表現非常強勁。他們是我們非常重要的客戶，我們相信他們的長期潛力。因此我認為我們將處於有利位置來利用這一優勢，我們只是要確保在現金方面我們能覆蓋基礎並且不會承擔不當風險。

As you know that, we've talked about in the past, there have been different payment mechanisms. We have been one of the only companies that has been very limited on CDS activity. We have not taken that risk and any significant form on our balance sheet, et cetera. So we will continue that very prudent approach. But I don't see any reason why if there is a positive environment, we won't be able to take advantage of it.

如你所知，我們過去曾討論過，有不同的支付機制。我們是唯一在 CDS 活動方面非常有限的公司之一。我們沒有承擔這種風險，也沒有在我們的資產負債表上留下任何重大痕跡，等等。因此我們將繼續採取這種非常謹慎的做法。但如果存在積極的環境，我認為我們沒有理由不去利用它。

I want to stress again though Jim. Look, I think the dollar order of magnitude is going to be roughly equivalent for everyone operating in the sector. It is just a function now of just proportionality. So we did have higher exposure, so that hits us more from a percentage standpoint. But again, look the rest of the world, we think we will have a similar but opposite dynamic.

我想再次強調吉姆。看起來，我認為美元的數量級對於該行業的所有人來說大致相當。現在它只是一個比例函數。因此，我們的曝光率確實更高，從百分比的角度來看，這對我們的影響更大。但是，再看看世界其他地區，我們認為我們將面臨類似但相反的動態。

Understood.

明白了。

And as a follow up, maybe, Arun, if you look, last year was the first year, you guys rolled out the capital return program. So you only had a half a year of doing that. We're looking at free cash flow that's going to be in a similar vein $0.5 billion type of number. Just maybe curious as you guys think about your CapEx opportunities and that return of 50%-plus. How are you thinking about that? Are you just looking to meet the minimum or given where your share price is or might you actually step up on the share repurchase side? Just your big picture thoughts there.

作為後續問題，阿倫，如果你看一下，去年是你們推出資本回報計畫的第一年。所以你只有半年的時間來做這件事。我們正在關注的自由現金流將類似 5 億美元。只是可能感到好奇，你們考慮過自己的資本支出機會以及 50% 以上的回報。您覺得這個怎麼樣？您只是想滿足最低要求，還是考慮到您的股價，或者您是否可能實際上加大股票回購力度？這只是您對宏觀的看法。

Yeah, Kurt, as you correctly pointed out, we are six months into this. And if you look at the run rate, we are doing almost $50 million a quarter, which is more than what the run rate is. If you extrapolate 12 quarters and $500 million. So we have been doing more than what we committed to over a three-year period just based on the six months activity and given where the share prices are, we will continue to do that.

是的，庫爾特，正如你正確指出的那樣，我們已經進行了六個月了。如果你看一下運行率，我們每季的營業額接近 5,000 萬美元，這比運行率還要高。如果你推斷 12 個季度和 5 億美元。因此，僅從六個月的活動來看，我們在三年內所做的工作就已經超出了我們承諾的範圍，考慮到股價的現狀，我們將繼續這樣做。

But there are other capital allocation priorities as well, which we are also paying attention to, continued pay down of debt, investing in opportunistic M&A. So it is really a holistic approach rather than just being focused on share buybacks. But again, we are well ahead of our commitments associated with shareholder returns, both in terms of dividend and what we've done thus far and continue to do on the share buyback.

但我們也會關注其他資本配置優先事項，如繼續償還債務、投資機會性併購等。因此，這實際上是一種整體方法，而不僅僅是專注於股票回購。但是，我們再次遠遠超出了與股東回報相關的承諾，無論是在股利方面，還是在迄今為止所做的以及繼續進行的股票回購方面。

Josh Jayne, Daniel Energy Partners.

喬許·傑恩（Josh Jayne），丹尼爾能源合作夥伴。

First one, when we just look across the number of awards that you announced over the course of the quarter, one of the themes seems to be the number of MPD awards announced. Could you speak to the success there? Today's market for MPD and also how you see it evolving over the next couple of years.

首先，當我們回顧本季宣布的獎項數量時，其中一個主題似乎是宣布的 MPD 獎項數量。您能談談那裡的成功嗎？當今的 MPD 市場以及您認為未來幾年它將會如何發展。

Sure. Josh, look, this is a product line that we continue to be very excited about. We think it is really a better way of operators managing their business and we think adoption continues to improve. The good news is it's still at a low enough level that there's plenty of opportunity there. We've introduced Modus. I've talked about last year was really about us -- getting field trials done and getting the packages built. We now have them deployed in multiple regions. And this year, we will see a significant uptick from contribution from Modus.

當然。喬希，你看，這是一條讓我們一直非常興奮的產品線。我們認為這確實是營運商管理業務的更好方式，我們認為採用率會持續提高。好消息是，它仍然處於足夠低的水平，因此存在大量機會。我們引入了 Modus。我去年談到的實際上是關於我們的事情——完成現場試驗並建造包裹。現在我們已將它們部署到多個地區。今年，我們將看到 Modus 的貢獻顯著上升。

In addition to just core MPD services and we're seeing a lot of demand from customers for additional packages as they really realize the efficacy of the offering. We're also seeing this concept of managed pressure well. So taking the MPD technology, taking the capability that we have developed into other product lines into other services, and that's another platform of growth for us for the future. So there's multiple different elements -- my bullishness on MPD has been there since day one has only grown.

除了核心的 MPD 服務之外，我們還看到許多客戶對附加方案的需求，因為他們真正意識到了服務的功效。我們也很好地理解了「管理壓力」這個概念。因此，採用 MPD 技術，將我們開發到其他產品線的功能應用到其他服務中，這就是我們未來的另一個成長平台。所以有多個不同的因素——我對 MPD 的看漲態度從第一天起就一直存在，而且只增不減。

Great, thanks. And then as my follow-up.

太好了，謝謝。然後作為我的後續行動。

Your walk around the world internationally was very helpful but could you speak generally to the sense of urgency today in the offshore market on the part of customers. What are you seeing and hearing with respect to when activity could potentially pick up over the course of this year after what seems like a lull in the first half of '25 and what regions may be stronger in the back half of the year than they are today.

您在國際上造訪世界各地的經驗非常有幫助，但您能否概括地談談當今客戶在離岸市場上的緊迫感？在經歷了 25 年上半年的低迷之後，您看到和聽到什麼，哪些地區的經濟活動在今年下半年可能會比現在更強勁？

And then I'll turn it back. Thank you.

然後我會把它轉回去。謝謝。

Sure. Look, I think it's a bit of a mixed story, different regions have very different dynamics. Broadly speaking, we still think this offshore cycle still has plenty of legs. And despite some choppiness, as you pointed out in the early part of the year in the first half, specifically, we think, the longer-term story is very good. And that's, really exemplified and demonstrated by some of the long-term Subsea orders, et cetera that other people who operate in that space have.

當然。看，我認為這有點複雜，不同地區有非常不同的動態。整體而言，我們仍然認為這個離岸週期仍有充足的支撐。正如您在今年年初指出的那樣，儘管上半年出現了一些波動，但具體來說，我們認為長期前景非常好。這確實在其他在該領域運營的人士所簽訂的一些長期海底訂單等中得到了體現和證明。

For us, we've got very good line of sight. We work very closely with our partners and with operators. We've got good line of sight to movement of rigs and when we will have mobilization and demobilization happen. So we feel very good about a bit of a pickup and that's part of our ramp, but it's not tied to speculation. It's really tied to fairly firm schedules and contracts.

對我們來說，我們擁有非常好的視線。我們與合作夥伴和營運商密切合作。我們可以清楚地看到鑽孔機的移動情況以及何時進行動員和遣散。因此，我們對這種回升感到非常高興，這是我們成長的一部分，但這與猜測無關。它確實與相當嚴格的時間表和合約息息相關。

Around the world. Look, I mentioned Brazil, we think that's a big positive. Azerbaijan, the Caspian is a really big positive. The North Sea is a really interesting situation. The Norwegian side of it, we think will be positive. But look, the UK side is challenging. It's well known what is happening in the UK market right now. And we have seen more and more operators signal that they are going to significantly reduce their activity.

遍布世界各地。你看，我提到了巴西，我們認為這是一個很大的正面因素。阿塞拜疆，里海確實是一個很大的正面因素。北海的情況確實很有趣。我們認為挪威方面將會持正面態度。但你看，英國方面正在發起挑戰。眾所周知目前英國市場的情況。我們看到越來越多的業者表示他們將大幅減少活動。

Again, we have factored all of that into our view. We think the UK market is still positive for us longer term from a P&A standpoint. But it is concerning to see the reduction in activity because there needs to be that oxygen to make sure that the P&A can get funded from a cash basis standpoint. And then look, places like Asia and Thailand and offshore Southeast Asia, et cetera and even Australia, those are all positives and we continue to see resilience there and we think it will improve.

再次強調，我們已將所有這些都考慮在內了。我們認為，從P&A的角度來看，英國市場對我們來說長期而言仍然是有利的。但活動的減少令人擔憂，因為需要有足夠的資金來確保 P&A 能夠從現金基礎的角度獲得資金。然後看看，像是亞洲、泰國、東南亞近海等地，甚至澳大利亞，都是正面的，我們繼續看到那裡的復原力，我們認為它會改善。

Douglas Becker, Capital One.

道格拉斯·貝克爾，Capital One。

Girish, I appreciate the near-term uncertainty but wanted to get an update on the three-year targets. In the past, the talk has been for EBITDA margins to improve into the high-20s, free cash flow conversion to increase to say 50% from what looks around 40% this year. So just what's the updated intermediate-term outlook for margins, free cash flow conversion in the current environment?

吉里什，我理解近期的不確定性，但我想了解三年目標的最新情況。過去，人們一直在談論 EBITDA 利潤率將提高到 20% 以上，自由現金流轉換率將從今年的 40% 左右增加到 50%。那麼，在當前環境下，利潤率、自由現金流轉換的中期前景更新到底如何？

Yeah, Doug, as we pointed out in our comments, but I'll be a little bit more explicit about it, the immediate term, it's tough to fight math. So we will see that margin decline and you see that in our guidance, especially in the first quarter.

是的，道格，正如我們在評論中指出的那樣，但我會更明確地說明一下，從短期來看，與數學作鬥爭是很困難的。因此，我們將看到利潤率下降，您也可以在我們的預期中看到這一點，尤其是在第一季。

Right now we are going to suffer from a little bit of that fall through effect and the decrementals will be dilutive. But look, we've got a very solid line of sight on our cost programs and then with the ramp, that should again help. So we will see margins pick up very significantly as we go in as the second quarter and then through the rest of the year. And look, if we continue to execute the way we have over the past four years and I don't see any reason why that should fundamentally change, we should actually exit this year at margins levels very similar to 2024 or actually even better than that, right?

現在，我們將遭受一點這種下降效應的影響，而減幅將被沖淡。但你看，我們對成本計劃有非常清晰的認識，然後隨著成本的增加，這應該會再次有所幫助。因此，我們將看到利潤率在第二季以及今年剩餘時間內大幅上升。而且，如果我們繼續按照過去四年的方式執行，我看不出有任何理由從根本上改變，那麼我們今年的利潤率實際上應該與 2024 年非常相似，甚至更好，對吧？

And so for me, when you put all of that together, what that means is we re-baseline the company. And so that notion of high-20s margin has not really changed, it might get booked out six to nine months, but it's still very much intact and that is our goal and we believe we've got good line of sight to achieve that over the next three years.

所以對我來說，當你把所有這些放在一起時，這意味著我們要重新調整公司的基準。因此，20% 高利潤率的概念實際上並沒有改變，它可能會佔用六到九個月的時間，但它仍然完好無損，這是我們的目標，我們相信我們有很好的前景在未來三年內實現這一目標。

Free cash flow conversion. Again, we've talked about that. We're making significant improvements. We're not declaring victory on the 25% goal yet even though we were below that because look, our whole thing is we want to make sure it's sustainable and really get the total conversion to the 50%. So we feel really good about the actions that we have got and our whole focus now is on execution around that.

自由現金流轉換。我們已經討論過這個問題了。我們正在進行重大改進。儘管我們低於這個目標，但我們還沒有宣布已經實現 25% 的目標，因為我們的目標是確保它是可持續的，並真正將總轉換率達到 50%。因此，我們對已經採取的行動感到非常滿意，目前我們的全部重點是圍繞這些行動的執行。

Certainly sounds promising.

聽起來確實很有希望。

Also wanted to follow up on the well services business. You mentioned it's grown over 50% over the last three years. Could you expand on specifically what products and services are driving that and the growth prospects for that business going forward.

也想跟進油井服務業務。您提到它在過去三年中增長了 50% 以上。您能否具體說明哪些產品和服務推動了這一成長，以及該業務未來的成長前景。

Yeah. So look, this is an exciting business where it actually shows up in our financials from a segment standpoint is in well construction predominantly. So that's really where we see it. But look what we've been able to do is take a few different elements.

是的。所以看起來，這是一項令人興奮的業務，從細分市場的角度來看，它實際上體現在我們的財務狀況中，主要體現在油井建設方面。這確實是我們見到的情況。但看看我們所能做的，就是採取一些不同的元素。

So first is our capability around engineering. Ultimately what we call IES, so our ability to have reservoir engineering, to really work with customers, to interpret their data, to have really an understanding of what is their issue, what are their challenges, and how to address that. We have coupled that with a lot of digital capability including fiber optics. So how do we get surveillance that is on a more real-time basis versus you've got to bring in a wireline truck, et cetera.

首先是我們的工程能力。最終，我們所說的 IES 是指我們擁有油藏工程的能力，能夠真正與客戶合作，解釋他們的數據，真正了解他們的問題是什麼、他們面臨的挑戰是什麼以及如何解決這些問題。我們將其與包括光纖在內的多種數位功能結合在一起。那麼我們如何實現更即時的監控，而不是必須使用有線監控車等等呢？

And then ultimately, what is really the core of the service? It's through-tubing rigless intervention. So and what this does is completely removes the need for a customer to schedule a rig, manage that cost aspect of it. So it becomes a lighter and much more efficient way for them to get production enhancement.

那麼最終，服務的核心到底是什麼？這是無需鑽孔機的直通油管幹預措施。因此，這樣做就完全消除了客戶安排鑽機和管理鑽機成本的需求。因此，對他們來說，這成為一種更輕鬆、更有效的提高生產力的方法。

And ultimately, look, as I pointed out earlier, what is nice about it is this becomes a business case for them from an OPEX spend to say, okay, I'm going to get a return on it versus saying, hey, I'm going to launch a big CapEx campaign over several years. So we've seen some very positive successes from this. This has become a really important platform and I'm excited about the growth that we'll get in the future from this.

最終，正如我之前指出的那樣，它的好處在於，這成為他們的一個商業案例，從 OPEX 支出來看，他們可以說，好吧，我將獲得回報，而不是說，嘿，我將在幾年內發起一場大規模的資本支出活動。我們已經看到了一些非常積極的成功。這已經成為一個非常重要的平台，我對我們未來從中獲得的成長感到非常興奮。

(Operator Instructions)

（操作員指令）

Derek Podhaizer, Piper Sandler.

德里克·波德海澤，派珀·桑德勒。

Wanted to talk about North America. You mentioned that North America margins were up this year despite the declining environment. Maybe could you, expand on this and how you're able to improve these margins despite the flat-to-down market and how we should think about your margins in North America going forward.

想談談北美。您提到，儘管經濟環境不景氣，但今年北美的利潤率仍然上升。也許您能否就此進行詳細說明，以及您如何在市場平穩下滑的情況下提高利潤率，以及我們應該如何看待您未來在北美的利潤率。

Yeah. Derek, great question.

是的。德瑞克，這個問題問得好。

So it's really down to three things that we are very focused on. The first one is addressing our cost base. We have historically had a North America business that has had a lot more cost and has had margins that are dilutive to the company. And I am just really pleased with what the team has done so far and we're not done yet.

因此，我們實際上非常關註三件事。第一個是解決我們的成本基礎。我們歷史上一直致力於北美業務，該業務的成本要高得多，而且利潤率會稀釋公司的利潤。我對團隊目前所取得的成績感到非常滿意，但我們還沒有完成。

So we've been attacking the cost base. It's not just about taking out headcount and stuff, it's about facility consolidation. It's about changing from third-party services to internal, it's about reducing procurement spend, getting more efficiencies, looking at how we utilize our personnel across the board. So that's one key element.

因此我們一直在努力降低成本基礎。這不僅涉及裁減員工和其他事務，也涉及設施整合。這是關於從第三方服務轉向內部服務，這是為了減少採購支出，提高效率，研究如何全面利用我們的人員。這是一個關鍵因素。

The second aspect of it has been pricing and it sounds a bit incongruous given North America and some of the dynamism and the decline in the market. But we've been very focused and the team has done an outstanding job of driving price and then holding on to price despite some very tough scenarios. And look to do that, you've got to back it up with technology differentiation and you've got to back it up with service quality and execution, which we think we've been very successful at. And that's allowed us to get that value gap, to get the cost decreased, to get a bit of a price increase has a significant impact on margins.

第二個方面是定價，考慮到北美市場的一些活力和衰退，這聽起來有點不協調。但我們一直非常專注，儘管面臨一些非常艱難的情況，團隊在推動價格並保持價格方面做得非常出色。為了做到這一點，你必須以技術差異化為後盾，必須以服務品質和執行為後盾，我們認為我們在這方面非常成功。這使我們能夠獲得價值差距，降低成本，並且稍微提高價格對利潤率產生重大影響。

The third is we've been very focused on growing into places where we didn't have penetration, right? Whether it is basins or customers, but specific products, specific services that we were not in but we've had advantage -- technical advantage that commercialization of technology that drives market share increase has been a big focus for us. We've got several notable examples of this, but that's really what has driven it, which is why in totality, the North America business has actually done better than the market but more importantly, the margins have gone up.

第三，我們一直非常專注於在我們尚未滲透的領域發展，對嗎？無論是盆地或客戶，而是特定的產品、特定的服務，這些我們都未曾涉足，但我們具有優勢——技術優勢，推動市場份額增加的技術商業化一直是我們關注的重點。我們有幾個顯著的例子，但這才是真正的推動因素，這就是為什麼總體而言，北美業務實際上表現得比市場更好，但更重要的是，利潤率上升了。

No, that's very helpful.

不，這非常有幫助。

And then maybe moving back to international, specifically the Europe, Sub-Saharan Africa, Russia segment of yours. Obviously, you spent a lot of time on the Russia side. But how should we think about the shape of recovery for Europe and Sub-Saharan Africa and how that will impact that overall segment internationally I think about 2Q going forward?

然後也許回到國際，特別是歐洲、撒哈拉以南非洲、俄羅斯部分。顯然你在俄羅斯方面花了很多時間。但是，我們應該如何看待歐洲和撒哈拉以南非洲地區的復甦情勢，以及我認為這將如何影響未來第二季的國際整體市場？

Yes. So look, I think we will see a nice ramp on there actually starting in the second quarter. And again, a lot of this is stuff that we've got line of sight to. There's two effects. One is we will have a little bit of a seasonal uptick that will actually come in Q2 from Russia so for a lot of transparency there, but it's going to be very small relatively speaking.

是的。所以，我認為從第二季開始我們就會見到一個好的成長勢頭。再說一遍，很多東西都是我們已經看過的東西。有兩個效果。一是我們將在第二季度看到一些來自俄羅斯的季節性上漲，因此那裡的透明度會很高，但相對而言，這種上漲幅度會非常小。

The bigger part of it is contract starts that we have won that are committed. We are getting mobilization plans ready in both Q2 and Q3. And so what will likely happen is we will see a nice uptick going into from Q1 into Q2, a smaller uptick going into Q3, and then leveling off for the rest of the year. So it is not a progressive ramp. It is really a Q1 to Q2 ramp that we are very confident about.

其中更大一部分是我們已經贏得並承諾的合約。我們正在準備第二季和第三季的動員計劃。因此，可能會發生的是，我們將看到從第一季到第二季出現一個良好的上漲趨勢，到第三季出現一個較小的上漲趨勢，然後在今年剩餘時間內保持穩定。因此，這不是一個漸進的過程。我們對於第一季到第二季的成長非常有信心。

There are no more questions in the queue. This concludes our question-and-answer session. I would like to turn the conference back over to Girish Saligram for any closing remarks.

隊列中沒有其他問題。我們的問答環節到此結束。我想將會議交還給 Girish Saligram，請他作最後發言。

Hey, thank you, all, for joining the call and we look forward to updating you in April on our Q1 results.

嘿，感謝大家參加電話會議，我們期待在四月向您通報我們的第一季業績。

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

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。