Encore Wire Corp (WIRE) 2023 Q4 法說會逐字稿

Ladies and gentlemen, thank you for standing by. I would like to welcome everyone to the fourth quarter and full-year 2023 earnings conference call. (Operator Instructions)

女士們、先生們，感謝你們的支持。歡迎大家參加 2023 年第四季和全年財報電話會議。（操作員指令）

Thank you. I'll now hand the call over to Mr. Bret Eckert, Executive Vice President and Chief Financial Officer. You may begin your conference.

謝謝。現在我將電話交給執行副總裁兼財務長 Bret Eckert 先生。您可以開始您的會議了。

Thanks, Bhavesh. Good morning and welcome to the Encore Wire Corporation quarterly conference call. I'm Bret Eckert, Executive Vice President and Chief Financial Officer of Encore Wire. With me this morning is Daniel Jones, President, CEO, and Chairman of the Board.

謝謝，Bhavesh。早安，歡迎參加 Encore Wire Corporation 季度電話會議。我是 Bret Eckert，Encore Wire 的執行副總裁兼財務長。今天早上與我一起的是總裁、執行長兼董事會主席丹尼爾瓊斯 (Daniel Jones)。

Before we begin our comments, we'd like to remind everyone that today's earnings release and certain of our comments on the call include forward-looking statements, and actual results may differ materially from such forward-looking statements. I'd like to refer everyone to the cautionary language included in our earnings release and to the risk factors described in our SEC filings.

在我們開始評論之前，我們想提醒大家，今天的收益報告和我們在電話會議上的某些評論包括前瞻性陳述，實際結果可能與此類前瞻性陳述有重大差異。我想請大家參閱我們收益報告中包含的警告語言以及我們向美國證券交易委員會提交的文件中所述的風險因素。

I'll now turn the call over to Daniel for some opening remarks. Daniel?

現在我將電話轉給丹尼爾，請他致一些開場白。丹尼爾？

Thank you, Bret. Thank you, Bhavesh. Good morning, everyone. Thank you for joining us on the call and for your interest in Encore Wire. We appreciate your continued investment, confidence, and support.

謝謝你，布雷特。謝謝你，Bhavesh。大家早安。感謝您參加我們的電話會議並關注 Encore Wire。我們感謝您持續的投資、信任與支持。

Over the past several years, we have invested and continued to invest in improving our service model and efficiency levels to reduce costs, increase capacity, and deepen our vertical integration. We believe these investments have strengthened our ability to compete today and should contribute to higher gross margin levels when compared to pre-COVID baselines.

過去幾年來，我們不斷投資改善我們的服務模式和效率水平，以降低成本、提高產能並深化垂直整合。我們相信，這些投資增強了我們今天的競爭力，與疫情之前的基準相比，應該有助於提高毛利率水準。

We experienced increased copper wire and cable demand for mid-2023, which continued through the fourth quarter. This resulted in us shipping a record number of copper pounds in the fourth quarter, representing the strongest volume quarter over the course of the full year. Specifically, copper pounds shipped in the fourth quarter grew by 5.9% over the third quarter of 2023 and grew by 18.8% over the fourth quarter of 2022. These results represent a positive shift in volume shipped when compared to a pre-COVID baseline.

2023 年中期，我們對銅線和電纜的需求將增加，這種趨勢將持續到第四季。這使得我們在第四季的銅出貨量創下了歷史新高，成為全年出貨量最強勁的一個季度。具體而言，第四季出貨的銅磅數比2023年第三季成長5.9%，比2022年第四季成長18.8%。與新冠疫情之前的基線相比，這些結果表明運輸量出現了積極變化。

Copper and aluminum pounds shipped in 2023 increased by 21% and 74%, respectively, when compared to 2019 levels. We captured this demand by leveraging our single site, vertically integrated campus, deep supplier rate relationships, and motivated workforce to quickly manufacture and ship finished goods to our customers despite the macro challenges facing the sector. The strong performance is also a reflection of our steadfast commitment to outstanding customer service and our constant focus on quickly shipping complete orders, combined with our expanded reinvestment initiatives, such as the XLPE compounding facility that was substantially completed at the end of the third quarter of this year.

與 2019 年的水準相比，2023 年銅和鋁的出貨量分別增加了 21% 和 74%。儘管該行業面臨宏觀挑戰，但我們仍利用單一站點、垂直整合園區、深厚的供應商價格關係和積極進取的員工隊伍來滿足這一需求，以便快速生產並將成品運送給客戶。強勁的業績也反映了我們對卓越客戶服務的堅定承諾和對快速運送完整訂單的持續關注，以及我們擴大的再投資計劃，例如今年第三季末基本完工的 XLPE 複合設施。

Since our inception, we have grown organically under the same value proposition that we were founded on, manufacturing innovative products while providing exceptional customer service centered on quickly shipping complete orders coast to coast. We believe our focus on fill rates continues to provide a competitive advantage in the marketplace. We also believe that our one location business model affords us a higher level of agility in adapting to changing market conditions, structuring our operations to quickly service areas of new and growing demand such as data centers and renewable energy, while servicing our core market segments.

自成立以來，我們一直在秉承當初的價值主張下有機發展，生產創新產品，同時提供卓越的客戶服務，以快速將完整的訂單從東海岸運送到西海岸為中心。我們相信，我們對填充率的關注將繼續為我們帶來市場競爭優勢。我們也相信，我們的單一地點業務模式使我們能夠更高程度地靈活地適應不斷變化的市場條件，建立我們的營運結構以快速服務於資料中心和再生能源等新興和不斷增長的需求領域，同時服務於我們的核心細分市場。

As noted above, demand for our copper wire and cable products remained strong in 2023, and our build-to-ship model, combined with the throughput of our modern service center, positions us well to compete for future demand. We believe that we have made and will continue to make appropriate, sustainable investments to meet future demand and facilitate the broad electrification of our economy.

如上所述，2023 年對我們的銅線和電纜產品的需求仍然強勁，我們的按裝生產模式，加上我們現代化服務中心的吞吐量，使我們能夠很好地競爭未來的需求。我們相信，我們已經並將繼續進行適當的、可持續的投資，以滿足未來的需求並促進我們經濟的廣泛電氣化。

Additionally, we believe that the current federal legislation providing funds for the infrastructure needed for broad electrification should bolster demand for our products. We firmly believe that our historical, recent, and future success is a direct reflection of our unique culture and the strength of our experienced team. We also believe at our one campus location, deep vertical integration, strong supplier and customer relationships, and our ability to quickly shift complete orders will remain critical differentiators in our future success.

此外，我們相信，目前聯邦立法為廣泛電氣化所需的基礎設施提供資金，這應該會增強我們產品的需求。我們堅信，我們過去、現在和未來的成功直接反映了我們獨特的文化和經驗豐富的團隊的實力。我們也相信，在我們的一個園區內，深度垂直整合、強大的供應商和客戶關係以及快速轉移完成訂單的能力仍將是我們未來成功的關鍵因素。

With that, I'll now turn the call over to Bret to cover our financial performance in the fourth quarter. Bret?

說完這些，我現在將電話轉給布雷特，讓他介紹我們第四季的財務表現。布雷特？

Thank you, Daniel. Fourth quarter and full-year 2023 highlights include fourth-quarter earnings per diluted share of $4.10, full-year 2023 earnings per diluted share of $21.62, fourth-quarter net income of $66.1 million, full-year 2023 net income of $372.4 million, fourth-quarter gross profit of 21.5%, and full-year 2023 gross profit of 25.5%.

謝謝你，丹尼爾。2023 年第四季及全年亮點包括第四季每股攤薄收益 4.10 美元，2023 年全年每股攤薄收益 21.62 美元，第四季淨收入 6,610 萬美元，2023 年全年淨收入 3.724 億美元，第四季毛利 21.5%，2023 年全年淨利潤。

Fourth quarter copper unit volumes were up 5.9% over the third quarter of 2023. Fourth quarter copper unit volumes were up 18.8% over the fourth quarter of 2022, and on a full-year basis, it was up 6.7%. We had $560.6 of cash on hand at the end of December 2023 compared to $730.6 million as of the end of December 2022. Capital expenditures of $164.5 million in 2023. We repurchased 476,300 shares in the fourth quarter of 2023, repurchased 2,661,792 for the full-year 2023.

第四季的銅單位數量比 2023 年第三季增加了 5.9%。第四季銅單位交易量較 2022 年第四季成長 18.8%，全年成長 6.7%。截至 2023 年 12 月底，我們的現金餘額為 5.606 億美元，而截至 2022 年 12 月底，我們的現金餘額為 7.306 億美元。2023 年資本支出為 1.645 億美元。我們在 2023 年第四季回購了 476,300 股，2023 年全年回購了 2,661,792 股。

Total cash outlay for share repurchases of $85.1 million in the fourth quarter of 2023, and $460.2 million in the full year of 2023. There is a share repurchase reauthorization that was approved by our Board for the repurchase of up to 2 million shares of the company's common stock through March 31, 2025.

2023 年第四季股票回購總現金支出為 8,510 萬美元，2023 年全年股票回購總現金支出為 4.602 億美元。董事會已批准一項股票回購授權，授權在 2025 年 3 月 31 日之前回購最多 200 萬股公司普通股。

As Daniel mentioned, we experienced increased copper wire and cable demand for mid-2023, which continued through the fourth quarter. This resulted in us shipping a record number of copper pounds in the fourth quarter, representing the strongest volume quarter over the course of the full year. In addition, for the first time in at our least recent history, every quarter of 2023 showed copper volume growth over the sequential quarter in the current year.

正如丹尼爾所提到的，2023 年中期我們的銅線和電纜需求將會增加，而這種趨勢將持續到第四季。這使得我們在第四季的銅出貨量創下了歷史新高，成為全年出貨量最強勁的一個季度。此外，在我們最近的歷史上首次出現 2023 年每季的銅產量均比當年上一季成長的情況。

The decrease in net sales dollars in both the fourth quarter and year ended 2023 was driven by an anticipated decrease in the average selling prices and the current-year period compared to the prior-year period, which is consistent with the gradual margin abatement we have been discussing since mid-2021, that was offset by increased copper volumes shipped in the current year that were just highlighted above.

第四季和 2023 年全年淨銷售額的下降是由於預計平均銷售價格和當年同期與去年同期相比將下降，這與我們自 2021 年中期以來一直在討論的利潤率逐步下降相一致，但這被上文剛剛強調的當年銅出貨量的增加所抵消。

Gross profit percentage for the fourth quarter of 2023 was 21.5%, compared to 23.3% in the third quarter of 2023. The average selling price of wire per copper pound sold decreased 3.2% in the fourth quarter of 2023 versus the third quarter of 2023, while the average cost of copper per pound purchased decreased 1.2%. This resulted in the continued gradual, albeit slowing and abatement of copper spreads during the quarter, primarily driven by the decrease in average selling prices noted above, partially offset by a decrease in the average cost per copper pound purchase, which resulted in the decreased gross profit margin in the fourth quarter of 2023 compared to the third quarter of 2023.

2023 年第四季的毛利率為 21.5%，而 2023 年第三季為 23.3%。2023 年第四季每磅銅線的平均售價與 2023 年第三季相比下降了 3.2%，而每磅銅的平均購買成本下降了 1.2%。這導致本季銅價差持續緩慢但持續放緩和縮小，主要原因是上述平均銷售價格下降，但每磅銅購買平均成本下降部分抵銷了這一下降，導致 2023 年第四季的毛利率與 2023 年第三季相比有所下降。

Aluminum wire represented 9.9% of net sales in the fourth quarter of 2023 and 12.9% of sales on a full-year basis. Aluminum volumes in the current quarter were effectively flat compared to the prior-year quarter and down slightly on a full-year basis in 2023 compared to 2022.

鋁線佔 2023 年第四季淨銷售額的 9.9%，佔全年銷售額的 12.9%。本季的鋁產量與去年同期相比基本持平，2023 年全年產量與 2022 年相比略有下降。

We believe the earnings in the fourth quarter and for the full year ended 2023 were strong and remained significantly above historical levels. This is a testament to our organic growth strategy, one location business model, historic and recent reinvestment in the business, and our hardworking employees, all driven by a culture of constant attention to detail and continuous improvement.

我們相信，第四季和 2023 年全年的收益強勁，且仍遠高於歷史水準。這證明了我們的有機成長策略、單一地點業務模式、歷史和近期的業務再投資以及我們勤奮的員工，所有這些都受到不斷關注細節和持續改進的文化的驅動。

At a macro level, persistent tightness in the availability of certain raw material, ongoing global uncertainties, and the continued suppressed availability of skilled labor kept overall margins elevated in the fourth quarter of 2023.

從宏觀層面來看，某些原材​​供應持續緊張、全球不確定性持續存在以及熟練勞動力供應持續受壓，導致 2023 年第四季整體利潤率保持在較高水準。

Our balance sheet and cash flow generation remained strong. During the quarter, we repurchased 476,300 shares of our common stock for a total cash outlay of $85.1 million. Since the first quarter of 2020, we have repurchased 5,634,069 shares of our common stock and have returned almost $785 million of capital to shareholders through share repurchases and dividends.

我們的資產負債表和現金流產生依然強勁。本季度，我們回購了 476,300 股普通股，總現金支出為 8,510 萬美元。自 2020 年第一季以來，我們已回購了 5,634,069 股普通股，並透過股票回購和股息向股東返還了近 7.85 億美元的資本。

Incremental investments to deepen vertical integration in our manufacturing processes, as well as other projects focused on driving efficiency and increasing capacities, should continue to improve our service model. These types of organic investments have fueled our growth since inception and position us favorably to continue to compete in the future.

透過不斷增加投資來深化製造流程的垂直整合，以及其他專注於提高效率和增加產能的項目，應該會繼續改善我們的服務模式。這些類型的有機投資自成立以來一直推動著我們的成長，並使我們在未來繼續競爭中佔據有利地位。

In 2022, we began construction on a cross-link polyethylene, XLPE, compounding facility to deepen vertical integration related to wire and cable insulation. XLPE insulation is used in many applications, including data centers, oil and gas, transit, wastewater treatment facilities, utilities and wind and solar applications. As Daniel mentioned, the new facility was substantially completed in the third quarter of 2023.

2022 年，我們開始建造交聯聚乙烯 (XLPE) 複合設施，以深化與電線電纜絕緣相關的垂直整合。XLPE 絕緣材料用於許多應用，包括資料中心、石油和天然氣、運輸、廢水處理設施、公用事業以及風能和太陽能應用。正如丹尼爾所說，新設施將於 2023 年第三季基本完工。

Capital spending in 2024 through 2026 will further expand vertical integration in our manufacturing processes to reduce costs as well as modernize select wire manufacturing facilities to increase capacity and efficiency and improve our position as a sustainable and environmentally responsible company. Total capital expenditures were $164.5 million in 2023. We expect total capital expenditures to range from $130 million to $150 million in 2024, $130 million to $150 million in 2025, and $100 million to $120 million in 2026. We expect to continue to fund these investments with existing cash reserves and operating cash flows.

2024 年至 2026 年的資本支出將進一步擴大我們製造流程的垂直整合，以降低成本，並對精選電線製造設施進行現代化改造，以提高產能和效率，並提高我們作為可持續和對環境負責的公司的地位。2023 年總資本支出為 1.645 億美元。我們預計 2024 年總資本支出將在 1.3 億至 1.5 億美元之間，2025 年將在 1.3 億至 1.5 億美元之間，2026 年將在 1 億至 1.2 億美元之間。我們預計將繼續利用現有現金儲備和經營現金流為這些投資提供資金。

I will now turn the floor over to Daniel for a few final remarks.

現在我將請丹尼爾做最後的幾點發言。

Thank you, Bret. Our ability to capture the demand we experienced in 2023 and deliver unmatched speed and agility in servicing our customers is a testament to our single-site, build-to-ship model, an important competitive advantage. It also positions us well for the future.

謝謝你，布雷特。我們能夠滿足 2023 年的需求，並以無與倫比的速度和靈活性為客戶提供服務，證明了我們的單一站點、即建即運模式是一項重要的競爭優勢。這也為我們的未來做好了準備。

The opening of the new service center in May of 2021, the opening of plant seven in third quarter of 2022, the new XLPE facility that opened in the third quarter of 2023, and the other capital projects under construction or planned should provide us the capacity and efficiency to remain competitive in the future.

2021 年 5 月新服務中心的開業、20​​22 年第三季第七工廠的開業、20​​23 年第三季開業的新 XLPE 工廠以及其他在建或計劃中的資本項目應能為我們提供保持未來競爭力的能力和效率。

Our unique business model continues to serve us well in current market conditions and remains a competitive advantage, giving us unmatched operational agility and speed to market in serving our customers' evolving needs.

我們獨特的商業模式在當前的市場條件下繼續發揮良好作用，並保持了競爭優勢，為我們提供了無與倫比的營運靈活性和上市速度，能夠滿足客戶不斷變化的需求。

Despite persistent tightness in the availability of certain raw materials, our supplier partners continue to uphold their commitments to Encore. We wouldn't have this level of success without the consistent exceptional performance of our suppliers.

儘管某些原料的供應持續緊張，我們的供應商合作夥伴仍繼續履行對 Encore 的承諾。如果沒有我們的供應商持續的出色表現，我們不可能取得如此大的成功。

Looking ahead, we remain focused on executing upon the core values of our company, unbeatable customer service, nimble operations, and quick deliveries coast to coast. I remain confident in the strength of the Encore team in place as we stand ready to navigate any challenges that line our path.

展望未來，我們將繼續致力於貫徹公司的核心價值、無與倫比的客戶服務、靈活的營運以及快速的全國交付。我對 Encore 團隊的實力充滿信心，我們已準備好應對前進道路上的任何挑戰。

I want to close by thanking our employees for their hard work and commitment to safety, quality, and excellence. Our continued success would not have happened without their outstanding contributions. Our strong financial results have allowed us the opportunity to incrementally invest in our team as we position Encore as an employer of choice in this sector.

最後，我要感謝我們的員工的辛勤工作以及對安全、品質和卓越的承諾。如果沒有他們的傑出貢獻，我們的持續成功就不可能實現。強勁的財務表現使我們有機會逐步投資於我們的團隊，因為我們將 Encore 定位為該領域的首選雇主。

I also want to thank our dedicated independent reps and our valued distribution partners for their continued support. Lastly, thank you to our shareholders for their confidence and investment. We'll now take questions from our listeners, Bhavesh.

我還要感謝我們敬業的獨立代表和我們尊貴的分銷合作夥伴的持續支持。最後，感謝我們股東的信任與投資。我們現在來回答聽眾朋友的問題，Bhavesh。

(Operator Instructions) Julio Romero, Sidoti & Company LLC.

（操作員指示）Julio Romero，Sidoti & Company LLC。

Good morning, Julio.

早上好，胡里奧。

Thanks, and good morning, Daniel. Good morning, Bret. How are you guys?

謝謝，早安，丹尼爾。早安，布雷特。你們好嗎？

Great.

偉大的。

Excellent. So I guess I'll stick to the operator instructions. Just I guess the one question I'll toss here is just on volumes. Really impressive volume output here in the fourth quarter. Can you maybe speak to what product lines drove the increased volumes, where you are with regards to capacity utilization?

出色的。所以我想我會遵守操作員的指示。我想我在這裡要提出的一個問題只是關於數量。第四季的產量確實令人印象深刻。您能否談談哪些產品線推動了產量的成長，以及您的產能利用率如何？

Yeah, the commercial market was pretty strong. We saw some healthy increases in individual jobs like hotels, government office buildings, data centers. That particular product category is somewhat broad. It also, comparatively speaking, to residential and industrial is our biggest piece. Pretty strong overall geographically with that product category as well. We are expecting and seeing or saw some positive signs on the residential side. And then the industrial piece also was doing very well for us.

是的，商業市場非常強勁。我們看到飯店、政府辦公大樓、資料中心等個別工作出現了健康的成長。此特定產品類別相當廣泛。相對而言，住宅和工業是我們最大的一塊業務。從地理分佈上看，該產品類別的整體實力也相當強大。我們期待並看到或親眼看到住宅方面的一些積極跡象。我們的工業業務也表現十分出色。

Yeah, Julio. The only thing I'd jump on that is I think a lot of the strength you saw on the volume does align well with our service model. We really got back to our swagger early in 2023, quick order to ship, very high, high, high order fill rates. And that service level is allowing us to continue to be competitive with those orders, but also to get some incremental demand during the year.

是的，胡里奧。我唯一要說的是，我認為你在數量上看到的許多優勢確實與我們的服務模式非常吻合。我們確實在 2023 年初恢復了活力，快速的訂單發貨，非常高的訂單完成率。這種服務水準使我們不僅能繼續在訂單方面保持競爭力，而且還能在年內獲得一些增量需求。

Okay. Excellent. I'll hop back in queue. Thanks very much.

好的。出色的。我會重新回到隊列。非常感謝。

Chris Moore, CJS Securities.

克里斯·摩爾（Chris Moore），CJS 證券。

Hey, good morning, guys. Great quarter. If my math is right, I think the SARs impact was probably in the $0.20 range, so it would have been even better. But maybe just a little bit on market share. So obviously, you guys picked up share over the last few years, your lead times are shorter and manage the supply chains better. The less -- not the supply chain issue going away, but let's talk about there.

嘿，大家早安。非常棒的一個季度。如果我的計算正確的話，我認為 SAR 的影響可能在 0.20 美元的範圍內，所以情況會更好。但也許市佔率只上升了一點點。顯然，你們在過去幾年中增加了市場份額，交貨時間更短，供應鏈管理也更好了。供應鏈問題並沒有消失，但我們還是來談談這個話題。

So it still looks like you're picking up share because of the quick turn model. Competitors -- big competitors are private, so don't see their numbers. But given your volumes were up 19% year over year in Q4, fair to assume that industry volumes were not up that level in Q4?

因此看起來你仍在透過快速週轉模式來獲取市場份額。競爭對手－大型競爭對手是私人的，因此看不到他們的數據。但考慮到你們第四季的銷量年增了 19%，那麼可以合理地假設第四季的產業銷量沒有達到這個水平嗎？

It's a great question, Chris. You alluded to it the right way. I mean, everyone's private but us, right? So it's really all anecdotal. I do think, as I mentioned to Julio's question, our service level today has never been better, and we're able to turn these orders very, very, very quickly. Given the continued shortages of skilled labor, it's a very disruptive at the job site if you have to get your load in four or five or six different deliveries. The last delivery may be the one real you need to start the process. And so being able to ship these orders complete very quickly is a differentiator.

這是一個很好的問題，克里斯。您以正確的方式暗示了這一點。我的意思是，除了我們之外，每個人都是私人的，對吧？所以這確實全都是軼事。我確實認為，正如我在回答 Julio 的問題時提到的那樣，我們今天的服務水平從未如此好，而且我們能夠非常非常快速地處理這些訂單。鑑於熟練勞動力的持續短缺，如果必須透過四、五或六次不同的運輸方式運送貨物，對工作現場來說會造成很大的干擾。最後一次交付可能是您真正需要開始流程的交付。因此，能夠非常快速地完成這些訂單是一個差異化因素。

I think it's a good assumption on your part. I think there's clearly some growth, I think, in this sector. And I think there's some piece of that, that likely is taking share because of our service level. But keep in mind, it's always one order at a time, continues to be a very price sensitive. Service is making a difference from our side of the fence, and that's really what allowed us to take on orders.

我認為你的假設是正確的。我認為該領域顯然有一些增長。我認為其中的一部分可能會因為我們的服務水準而佔據一定份額。但請記住，每次只能處理訂單，並且對價格非常敏感。從我們的角度來看，服務很重要，這也是我們能夠接受訂單的真正原因。

From a capacity standpoint, we definitely have the capacity to continue to serve orders at these levels. And from that standpoint, '23 was a fantastic year consistent from a volume perspective.

從產能角度來看，我們絕對有能力繼續滿足這些水準的訂單。從這個角度來看，從銷售角度來看，23 年是極為出色的一年。

Got it. Maybe I'll just try to sneak one more in here. Obviously, the big question or one of the big question continues to be where gross margin will normalize. I guess the question is what are the puts and takes that you could reach a bottom in gross margins in '24?

知道了。也許我會試著在這裡再偷偷地再來一次。顯然，最大的問題或最大的問題之一仍然是毛利率將如何正常化。我想問題在於，在 24 年，你需要付出哪些努力才能讓毛利率觸底？

That's a tough one. You tell me the price of copper, and I can tell you how much we're going to make, Chris, right? And that really is why we don't give guidance. I think as Daniel stated, we've seen slowing abatement. I mean, if you just look at the fact that we talked about from the third -- the fourth quarter, the third quarter, a 3.2% decrease in the average sales price and a 1.2% decrease in the cost of copper pound purchase, if you look at the third quarter compared to the second quarter, ASP was down 4.3% and the cost was down 2%. So you can see that gap is kind of close.

這是一個難題。你告訴我銅的價格，我就能告訴你我們能賺多少錢，克里斯，對吧？這就是我們不提供指導的真正原因。我認為正如丹尼爾所說，我們已經看到了減緩的趨勢。我的意思是，如果你只看我們談論的第三季和第四季的事實，第三季的平均銷售價格下降了 3.2%，銅磅購買成本下降了 1.2%，如果你將第三季與第二季進行比較，平均銷售價格下降了 4.3%，成本下降了 2%。所以你可以看到差距還是比較小的。

The abatement still is on the ASP. level, right? Copper plays a big piece of it, right? We had a pretty supportive environment of copper in the fourth quarter, right? We had a low, I think for the year, at about 354, 355 early in October. And it steadily rose as you kind of went through the quarter, and it peaked at 394, I think, on December 28. And so we had a building environment of copper, which is always an environment that we like. And so that plays a role in it.

減幅仍在於 ASP。水平吧？銅在其中起著很大的作用，對嗎？第四季度，銅的價格環境相當有利，對嗎？我認為，今年的最低溫度是 10 月初的 354 到 355 度左右。隨著整個季度的進行，這一數字穩步上升，並在 12 月 28 日達到高峰 394。因此，我們擁有一個由銅製成的建築環境，這一直是我們喜歡的環境。所以這在其中發揮了作用。

We've made a lot of investments over the last several years, right? And those investments, I do think, are paying dividends. And obviously, that impacts margin. Some of the other material costs that were up in the pandemic navigated down somewhat as you went throughout the year. And so that has a benefit to it.

我們在過去幾年做了很多投資，對嗎？我確實認為這些投資正在帶來回報。顯然，這會影響利潤。疫情期間上漲的一些其他材料成本，隨著全年的推移，有所下降。所以這對它有好處。

So there's so many things that go into it. Everyone's looking for where the bottom is. We're trying to -- we're competing one order at a time. And if we do a great job all day, put five of those together, we've got a good week, and four of those make a good month. And that's really what this business is. It's still going to be very competitive, one order at a time. And it's going to be a pennies business as far as making sure you run your operations as tight as you can.

這裡面牽涉很多因素。每個人都在尋找底部在哪裡。我們正在嘗試——我們一次只完成一個訂單。如果我們一整天都表現出色，那麼將其中五天的工作加在一起，我們就能度過一個美好的一周，將其中四天的工作加在一起，我們就能度過一個美好的月份。這確實就是這項業務的本質。競爭仍然會非常激烈，每次只處理一筆訂單。只要確保你的營運盡可能精簡，這將是一項省錢的生意。

All right. I appreciate it. I'll leave it there. Thanks, guys.

好的。我很感激。我就把它留在那裡。謝謝大家。

Thanks, Chris.

謝謝，克里斯。

Thank you, Chris.

謝謝你，克里斯。

Brent Thielman, D.A. Davidson.

布倫特·蒂爾曼（Brent Thielman），地區檢察官戴維森。

Hey, thanks. Yeah, obviously, outstanding volume this quarter. You've had a lot of initiatives the last few years that enhanced the capacity. I guess, Daniel, is there a way for us to think about capacity utilization as the fourth quarter ago? Is that as good as it can get from a volume perspective or there's still a lot of excess capacity in place right now? You could deliver over and above if the conditions were obviously there.

嘿，謝謝。是的，顯然本季的銷量非常出色。過去幾年來，你們採取了許多措施來提升能力。丹尼爾，我想，我們有沒有辦法將產能利用率視為第四季之前的情況？從產量角度來看，這是否已經達到了最佳水平，還是目前仍有大量過剩產能？如果條件顯然具備，你就可以超額完成任務。

Yeah. The team has done a fantastic -- appreciate the question too, Brent, in the call. The team has done a fantastic job of evaluating bottlenecks as the market demand kind of ebbs and flows a little bit from one product category to the other. But also, without getting too deep, within those product categories, there's also ups and downs on the demand side.

是的。球隊表現出色——布倫特，我也非常感謝你在電話中提出的問題。隨著市場需求從一個產品類別逐漸轉移到另一個產品類別，團隊在評估瓶頸方面做得非常出色。但無需深究，在這些產品類別中，需求方面也存在起伏。

Some of the customization at these data center jobs with the additional AI demand tacked on quite a bit of an increase in the volume piece at those specific job sites. The team sorted those things out. We built in flexibility. And that's a long answer to your question of we have quite a bit of space left.

這些資料中心工作中的一些客製化以及額外的人工智慧需求，大大增加了這些特定工作場所的工作量。團隊已經解決了這些問題。我們內建了靈活性。這是對你的問題的一個長答案，我們還剩下很多空間。

We are using quite a bit of the equipment super efficiently. We designed it to stop and start and to react and kind of have a build-to-ship model, because again, a lot of this demand is one-off, custom type specific products, with the core being aluminum and copper bolts, more copper than aluminum. And as Bret mentioned, it moves constantly. But we built this place on speed and agility over the years and grown with it.

我們正在極其高效地使用相當多的設備。我們將其設計為可以停止、啟動和做出反應，並且具有一種按裝運建造的模型，因為許多這種需求都是一次性的、定制類型的特定產品，其核心是鋁和銅螺栓，銅比鋁多。正如布雷特所提到的，它不斷移動。但多年來，我們憑藉著速度和敏捷性建立了這個地方，並隨之成長。

I'm never comfortable taking in order that we can't ship. But that's a comment; not a period. Why can't we ship it? So we're constantly addressing the capacity question. I'd rather have the equipment come in and sit and use it when we need it rather than coming up short and missing that service mark. As you know, you heard the story enough, but we've got plenty of space on the capacity side to continue to grow in those categories that we mentioned earlier in the prepared remarks.

我從來不願意接受我們無法發貨的訂單。但這只是一則評論；不是句號。為什麼我們不能出貨？因此我們一直在解決容量問題。我寧願讓設備在我們需要的時候送到我們這裡並派上用場，而不是在設備短缺和達不到服務標準時就將其取下來。如你所知，你已經聽夠了這個故事，但是在容量方面，我們還有足夠的空間繼續在我們之前準備好的發言中提到的那些類別中增長。

Okay. If I could just sneak one more in. Sorry that -- Daniel, how would you evaluate sort of spreads and pricing through the course of the quarter just from the standpoint that -- you did ultimately see some volatility in copper prices through the quarter. Maybe even qualitative comments you can offer in terms of how yourselves and the industry have reacted to that?

好的。如果我能再偷偷溜進去一個就好了。抱歉——丹尼爾，您如何評價整個季度的價差和定價——您最終看到整個季度銅價出現了一些波動。您能否就您本人和業界對此的反應提供一些定性評論？

Yeah, very fortunate in the quarter for the most part. The low for copper in the quarter on Comex was pretty early on in October, around 350-something, 354-ish I think it was. And then it grew in November, and it increased a little bit more in December, which is a good rhythm to have going into the end of the year.

是的，本季大部分時間都非常幸運。Comex 本季銅價的最低點出現在 10 月初，約 350 多美元，我認為是 354 左右。然後它在 11 月開始成長，12 月又增加了一點，這對於年底來說是一個很好的節奏。

There was about a $0.40 per pound increase from the low in the quarter to the high. With that type of volatility, which is significant, I'm glad you brought it up, as long as the timing reach the end of the month and the start of the next month and it flows from low to high through the quarter, we're able to have success with price increases in the market.

從本季的低點到高點，每磅價格上漲了約 0.40 美元。對於這種顯著的波動，我很高興你提出這個問題，只要時間到達月底和下個月初，並且在整個季度從低點流向高點，我們就能夠成功提高市場價格。

And again, the timing of being able to turn the inventory every month, if you will, maybe every 3.5 weeks today, allows us that flexibility. And then when we have the agility to take in those ebbs and flows and the ups and downs in the special orders that come in and still be able to ship the way that we ship through the quarter, we're able to sustain, if you will, that spread rather than reacting to maybe a competitor's idea of attracting attention by cutting the price. I know I'm not supposed to go too deep into price. And I can see on the list on the screen, we've got most of our competitors on here. So I'll probably just leave it at that.

再次，如果你願意的話，每個月都可以周轉庫存，例如今天每 3.5 週一次，這為我們提供了靈活性。然後，當我們能夠靈活地應對特殊訂單的起伏和變化，並且仍然能夠按照整個季度的發貨方式進行發貨時，我們就能夠維持這種價差，而不是對競爭對手通過降價來吸引註意力的想法做出反應。我知道我不應該太深入地了解價格。我可以在螢幕上的清單中看到，我們的大多數競爭對手都在這裡。所以我可能就此打住。

Fair enough. Thank you, guys. I'll get back in queue.

很公平。謝謝你們。我會重新排隊。

Thanks, Brent.

謝謝，布倫特。

Thank you, Brent. Appreciate the help.

謝謝你，布倫特。感謝您的協助。

Alfred Funai, Barga, LLC.

Alfred Funai，Barga，LLC。

Good morning, gentlemen, and thank you for this call this morning. You noted that the cross-link polyethylene compounding facility was substantially completed in Q3, and then now it's moved into a startup and optimization phase. Can you share your expectations for 2024 in terms of potential cost savings or other benefits that will be coming from this new facility?

先生們，早安，感謝您今天早上的來電。您注意到交聯聚乙烯複合設施已於第三季基本完工，目前已進入啟動和優化階段。您能否分享一下對 2024 年新工廠可能帶來的成本節約或其他好處的期望？

Yeah, Alfred. That's smart. I appreciate the question. This is Bret. We completed the facility at the end of the third quarter. You then move right into, like you said, kind of commissioning and startup. And that's a process, right? It's a process.

是的，阿爾弗雷德。這很聰明。我很感謝你提出這個問題。這是布雷特。我們在第三季末完成了該設施的建設。然後你就直接進入如你所說的調試和啟動階段。這是一個過程，對吧？這是一個過程。

And as you're still utilizing some of your purchase across the polymer, as you get the facility up and running, and then once you get it fully up and running, the optimization phase comes in. And I've talked a little bit about that, right? Not -- right now, it's a one size fits all, but not every one of our XLPE insulated products are going to require like a fire retardant, for instance. And so as you start to optimize, you can create different grades of XLPE to make sure you're not putting in something within that that's not necessary or called for, and that's not inexpensive. That's the optimization piece.

當您仍在利用所購買的部分聚合物時，當您的設施啟動並運行後，一旦設施完全啟動並運行，優化階段就開始了。我已談過一點這個話題了，對吧？不是——目前，它是一刀切的，但並非我們的每一個 XLPE 絕緣產品都需要像阻燃劑這樣的材料。因此，當您開始最佳化時，您可以建立不同等級的 XLPE，以確保您沒有放入不必要或不需要的東西，而且這些東西並不便宜。這就是優化部分。

As I said before, I think it's a 9 to 12-month startup and optimization. I think so as you get into the third quarter of 2024, we'll be going through that process. And then at that point, you're going to start to see those benefits trickling in. So it's not going to be like flipping a switch, right? You're going to be gaining a little bit as you go through, but it's going to be in the second half of '24, I think, before you start to see the full benefit of that investment.

正如我之前所說，我認為這是一個9到12個月的啟動和優化過程。我認為，當進入 2024 年第三季時，我們將經歷這個過程。然後在那個時候，你會開始看到這些好處逐漸顯現。所以這不會像扳動開關那麼簡單，對吧？在這個過程中，你會獲得一點收益，但我認為，要到2024年下半年，你才能開始看到這項投資的全部收益。

Okay. Thank you.

好的。謝謝。

Thank you, Alfred.

謝謝你，阿爾弗雷德。

Julio Romero, Sidoti & Company LLC.

胡里奧·羅梅羅，Sidoti & Company LLC。

Hey, guys. Thanks for taking the follow up. As we look to '24, how do we see the cadence of volumes trending? I know you saw this kind of sequential quarter-over-quarter ramp in '23. Does '24 follow the same path, or do you expect a more traditional seasonality of construction kind of cadence?

嘿，大家好。感謝您的跟進。展望24年，我們如何看待交易量的變化趨勢？我知道您在23年看到了這種逐季連續成長的趨勢。'24 是否會遵循相同的路徑，還是您預計建築業將呈現更傳統的季節性節奏？

You know I can't touch that, Julio. I mean, it's an interesting. You can see that trend in '23, we've never had that trend before. I think if you unpack '23 a little bit, you went into the year with a lot of pontificators and a lot of doom and gloom, right? And so as people entered in, we did see, and we've talked about this in our first quarter earnings call, a destocking at the distributor level in March and it trickled into April, right? And we talked about in the call that at the end of the day, we're glad we got that piece behind us.

你知道我不能碰那個，胡里歐。我的意思是，這很有趣。您可以在 23 年看到這種趨勢，我們以前從未有過這種趨勢。我想，如果你稍微分析一下 23 年，你會發現這一年伴隨著很多高談闊論和很多悲觀情緒，對嗎？因此，隨著人們的進入，我們確實看到了，並且我們在第一季度的收益電話會議上也談到了這一點，三月份分銷商層面的去庫存現像已經延續到了四月份，對嗎？我們在電話中談到，最終我們很高興解決了這個問題。

And then once you do that, a distributor really has to align with a supplier that they can count on. And that plays right into our service model. When you typically see the distributors build back up their inventories or build up inventories into the summer months, second and third quarter, they then have to go through a level of destocking, and they'll take those down by the end of the year. And that has some effect on the ebb and flow between the quarters that you typically see.

一旦你這樣做了，分銷商就必須與他們可以信賴的供應商保持一致。這正好符合我們的服務模式。通常情況下，當你看到分銷商在夏季、第二季度和第三季度重新增加庫存或累積庫存時，他們必須經歷一定程度的去庫存，並在年底前將這些庫存減少。這對通常看到的季度間漲落有一定影響。

Because they took them down and never really build them back up significantly, we weren't as impacted by that drawdown of those inventories in the fourth quarter. I think our service model is still a differentiator, right? We had a somewhat supporting copper price in the fourth quarter. As Daniel talked about, a $0.40 move within the quarter is significant. And that helps a ton with regard to our ability to service the market very quickly.

因為他們將庫存減少了，而且從未真正大幅增加，所以我們並沒有受到第四季度庫存減少的影響。我認為我們的服務模式仍然是一個差異化因素，對嗎？第四季銅價獲得了一定支撐。正如丹尼爾所說，本季 0.40 美元的變動意義重大。這對我們快速服務市場的能力有很大幫助。

So I think if -- everything you talked about, what you can look to for '24, that's very difficult to see. You've got an election this year. You had inflation data that came out a little hot in December, and everyone's trying to digest the rate cuts. Again, tell me what copper is going to do and I give you a better sense, but it's hard to take one from the other. I think you just looked at the trend and what was accomplished in '23, and we'll see where it takes us as we get into '24.

因此我認為，如果您談論的一切以及您對 24 年的展望，都是很難預見的。今年你們要參加選舉。12 月公佈的通膨數據有些過高，大家都在努力消化降息的影響。再說一遍，告訴我銅會做什麼，我會給你更好的理解，但很難將兩者區分開來。我想你剛才看了趨勢和23年的成就，我們將看到進入24年它將把我們帶到哪裡。

Fair enough there. And then, Daniel, you talked about the success the team has had in terms of evaluating bottlenecks and alleviating those bottlenecks. And you also mentioned you've got plenty of machine capacity, I guess, if you will. I guess what would be the biggest bottleneck left on the table? Would it be labor, or would there be another kind of factor there?

相當公平。然後，丹尼爾，您談到了團隊在評估瓶頸和緩解瓶頸方面的成功。而且你也提到過，如果你願意的話，你有足夠的機器容量。我猜目前面臨的最大瓶頸是什麼？是勞動力嗎，還是有其他因素？

Yes, good question. The labor piece is still a challenge. It will certainly, significantly better in '23 toward the back end versus the way we started the year. When we look at the numbers, specifically related to '23 and the hiring and the onboarding piece and the expense that goes into all the pre-employment testing and what have you in training versus '22, huge improvement. The quality of the candidates' significantly better outcome. We've had 30-some-odd years of hiring folks with never having a layoff.

是的，好問題。勞動力問題仍然是一個挑戰。與我們年初的情況相比，23年後期的情況肯定會好得多。當我們查看數字時，特別是與'23年相關的數字，以及招聘和入職部分以及所有就業前測試的費用以及與'22年相比的培訓費用，都有了巨大的進步。考生成績品質明顯提升。我們已經有 30 多年的聘僱歷史，從來沒有裁員過。

In that process, as long as we're doing the things that we think we learned coming through COVID, they seem to be working in our favor at this point. The labor piece is manageable. It's not as severe and as bad as it was. It's certainly a lot better. Freight came in quite a bit better. A lot of the bottlenecks that we were maybe wanting a little bit about had kind of cleared up.

在這個過程中，只要我們採取我們認為在新冠肺炎疫情中學到的措施，目前看來，這些措施似乎對我們有利。勞動力部分是可以管理的。情況沒有以前那麼嚴重和糟糕了。這確實好多了。貨運狀況好轉不少。我們可能想要解決的許多瓶頸問題已經解決。

On the construction process itself, great team members, Hill & Wilkinson, Potter Concrete, Humphreys Electric, Hindon plumbing, Cold Services, Anchor, Sterling, those guys really did a fantastic job for us on getting these buildings up and ready to run from a quality perspective. And it's the A team, which we'd like to wait on and require in our projects. But couldn't be happy with all of that -- don't really know of a significant bottleneck that's in front of us right now other than all the hype and the talk that goes into the political atmosphere, we have no control over whatsoever.

就施工過程本身而言，優秀的團隊成員，Hill & Wilkinson、Potter Concrete、Humphreys Electric、Hindon plumbing、Cold Services、Anchor、Sterling，這些人確實為我們做了出色的工作，從品質角度來看，這些建築得以建成並準備投入運作。而且他們是 A 團隊，我們願意等待他們並需要他們參與我們的專案。但我們對這一切並不滿意——除了所有的炒作和關於政治氛圍的言論之外，我們真的不知道現在我們面臨的重大瓶頸是什麼，我們對任何事情都無法控制。

The things that we have a say in, right now, Julio, I think we've got a pretty good handle on. We've got the right guy or the right girl with backups in each spot. And on the momentum that you were talking about in '23, for us, anyway, certainly has not been a let up starting off this year. We're just saying just to see where this copper thing ends up super tight, you know, around three days’ supply above ground in the world.

胡里歐，我認為，對於我們現在有發言權的事情，我們已經掌握得相當清楚了。我們在每個位置上都有合適的人選和替補。至於您在 23 年談到的勢頭，對我們來說，從今年開始肯定沒有減弱的跡象。我們只是想看看銅礦最終會在何處變得非常緊張，你知道，全球地面上的銅礦供應量大約是三天。

It's an incredibly tight situation. It's fine. It's a robust market. We're having a lot of success with our partners. And we've got a great team around us in all aspects, and we'll see where this takes us.

形勢非常緊張。沒關係。這是一個強勁的市場。我們與合作夥伴共同取得了許多成功。我們在各方面都擁有一支優秀的團隊，我們將拭​​目以待這將為我們帶來什麼。

Understood. Appreciate you guys taking the follow-up questions and best of luck in the first quarter.

明白了。感謝你們回答後續問題，並祝第一季好運。

Thanks, Julio.

謝謝，胡里奧。

Brent Thielman, D.A. Davidson.

布倫特·蒂爾曼（Brent Thielman），地區檢察官戴維森。

Hey, thanks for taking the follow-up. Daniel, I mean, tough results for aluminum. I guess anything to point to from that product line that may suggest we're seeing some stabilization?

嘿，感謝您的跟進。丹尼爾，我的意思是，鋁的結果很嚴峻。我猜想從該產品線中可以得出任何跡象表明我們看到了某種穩定？

Yeah. Aluminum as -- it's an odd product, comparatively speaking, to copper. Copper is mined, and aluminum is manufactured. And there's no secret. We've always focused on copper. We do a very good job in aluminum. It's a tight market, no question.

是的。鋁－與銅相比，它是一種奇怪的產品。開採銅並製造鋁。沒有什麼秘密。我們一直專注於銅。我們在鋁方面做得很好。毫無疑問，這是一個緊張的市場。

There's a big influence from a pricing perspective, not to the positive. When the importers have inventory, I don't think it's any secret that they lead with price. We pick and choose our spots. We've got fantastic partners in the market that we do great with on aluminum, but we're not going to chase our tail on some of those projects, that fringe projects, a lot of times that end up going to the discounters.

從定價角度來看，這有很大的影響，而且不是正面的影響。當進口商有庫存時，我認為他們以價格為主導並不是什麼秘密。我們挑選我們的地點。我們在市場上擁有出色的合作夥伴，我們在鋁方面做得很好，但我們不會追逐那些邊緣項目，很多時候這些項目最終都會流向折扣店。

And not my style to cut price. Our model is about service. It comes and goes ebbs and flows, but it's a product that we do very well in. We have to have it.

降價不是我的風格。我們的模式是關於服務的。它來來去去，有起有落，但這是我們做得非常好的產品。我們必須擁有它。

It's still very profitable for us. And it's just a little bit more volatile than it has been in the past, and the government's looking into things as they have in the past. And it's just a constant fist fight on that product category. But the XLPE plant, the addition of that will give us a little bit more strength, a little bit more control over where we go with that product and direct that market a little bit better.

對我們來說這還是非常有利可圖的。與過去相比，目前的情況更加不穩定，政府正在像過去一樣對局勢進行調查。在這個產品類別上，雙方的爭鬥一直持續著。但是，XLPE工廠的加入會讓我們更強大，可以更好地控制產品的走向，並更好地引導市場。

Okay. And just on the CapEx, maybe, Bret. You just differentiate the sort maintenance sustaining CapEx versus growth CapEx in that outlook for year for '24.

好的。或許只是關於資本支出，布雷特。您只需在 24 年展望中區分維護維持資本支出與成長資本支出。

Yeah. And I appreciate that. I appreciate the angle you're taking with that. And it's one that, again, you got to give me your definition of maintenance CapEx, right? Because we spend $40 million to $60 million in any given year, that I would call maintenance CapEx. But I'm going to tell you that's vastly new machinery and equipment, right? We don't like to retire equipment. We like to find a spot on the floor and bolt another line next to it as you go through it.

是的。我對此表示感謝。我很欣賞你對此採取的角度。而且，你必須再次給我維護資本支出的定義，對嗎？因為我們每年要花費 4,000 萬到 6,000 萬美元，我稱之為維護資本支出。但我要告訴你，那是全新的機械和設備，對嗎？我們不喜歡淘汰設備。我們喜歡在地板上找到一個點，然後在它旁邊用螺栓固定另一條線。

So you're always evaluating your current machinery and equipment through working closely with our maintenance times to manage any sort of downtime. You're looking at line speeds in the new equipment versus the old equipment. You're looking at how much energy it draws and can something be more efficient on a go-forward basis or safer.

因此，您始終透過密切配合我們的維護時間來評估您目前的機械和設備，以管理任何類型的停機時間。您正在查看新設備與舊設備的生產線速度。您正在觀察它消耗了多少能量，以及某種東西在未來是否可以變得更有效率或更安全。

And those are decisions we look at as we look for repair or replace. That's what I include in that $40 million to $60 million, I think some folks would say just pure maintenance CapEx. It's much lower than that. But we consistently -- if you look back in our capital, it would be anywhere from that $40 million, $50 million, $60 million, and its consistently new machinery and equipment over the years.

這些都是我們在尋求修復或更換時所考慮的決定。這就是我所說的 4,000 萬到 6,000 萬美元中的部分，我想有些人會說這只是純粹的維護資本支出。它比那低得多。但是，如果回顧一下我們的資本，你會發現，這些年來，我們的資本一直在 4,000 萬美元、5,000 萬美元、6,000 萬美元之間，而且一直在不斷新增機器和設備。

Okay. Very good. Thanks, guys.

好的。非常好。謝謝大家。

Thanks, Brent.

謝謝，布倫特。

Thanks, Brent.

謝謝，布倫特。

(Operator Instructions) Matt Jackson, Scopia Capital.

（操作員指示）Scopia Capital 的 Matt Jackson。

Hey, guys. How's it going? I was just hoping you could give the LIFO impact in the quarter. Was that a negative or a positive? Thank you.

嘿，大家好。怎麼樣了？我只是希望您能給出本季的後進先出法的影響。這是積極的還是消極的？謝謝。

Well, yeah, in the quarter and keep in mind, you had an environment where capital is rising throughout the quarter. And so in the fourth quarter, it was a pickup of about just under $2 million. It was pretty significant.

嗯，是的，在本季度，請記住，你的環境是整個季度資本都在上漲。因此在第四季度，銷售額成長了約近 200 萬美元。這非常重要。

If you compare to the third quarter, it was a pickup of about $5 million. It's not just a product. It really is more of a balance sheet effect, because you're costing orders at your beginning-of-month price. And so, depending on what copper does up or down, you're just adjusting to match your revenue with your expenses within that month.

如果與第三季相比，成長了約 500 萬美元。它不僅僅是一個產品。這其實更像是一種資產負債表效應，因為你是按照月初的價格來計算訂單成本的。因此，根據銅價的漲跌，您只需進行調整，以使您的收入與當月的支出相符。

And so it was a small pickup. But again, it's -- because we turn our finished goods inventory over 12 times, it's the perfect hedge out there. By the material change, the shape and ship it in the same month, you cannot beat that business model.

所以它是一輛小型皮卡。但同樣，因為我們的成品庫存週轉率超過 12 次，所以它是完美的對沖。透過在同一個月改變材料、形狀並發貨，你無法打敗這種商業模式。

Thank you.

謝謝。

Thank you. There appeared to be no further questions at this time. Mr. Bret Eckert, I turn the call back over to you.

謝謝。目前似乎沒有其他問題了。布雷特·埃克特先生，我把電話轉回給您。

Bhavesh, thank you so much. I appreciate everyone’s participation today. Thank you for your investment and your interest in Encore Wire. Enjoy your day.

Bhavesh，非常感謝你。我感謝大家今天的參與。感謝您對 Encore Wire 的投資與關注。祝你過得愉快。

Happy Valentine's Day.

情人節快樂。

Thank you very much. This concludes today's conference call. We thank you for participating, and you may now disconnect.

非常感謝。今天的電話會議到此結束。感謝您的參與，您現在可以斷開連接了。