BWEN - Earnings call transcript Q3 2018

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Operator

Good morning, and welcome to the Broadwind Energy Q3 2018 Earnings Conference Call. [Operator Instructions]. Please note this event is being recorded. I would now like to turn the conference over to Joni Konstantelos, Director of Investor Relations. Please go ahead.

Joni Konstantelos

Brandon. you, Thank welcome Conference and Energy's Quarter Third Good to Earnings Call. XXXX morning, Broadwind today and Towers, With Broadwind Broadwind CFO, are me President Officer Broadwind President President Jason and Bonfigt. Chief CEO, and of Blashford; Broadwind Eric Vice and Operating Kushner; Stephanie news morning's bwen.com. earnings our at is release This on available website

assume non-GAAP the some results our obligation forward-looking any would and or our disclosed Form uncertainties release regarding over plans differ market to outlook Before there, information. I and the statements caution these Please that statements like that, we forward-looking begin I Kushner. Stephanie Having in Actual this call Form SEC refer We attached the news forward-looking you XX-Q will financial reference materially from SEC incorporated will to no some also to risks may filings X-K today, to call measures. the will include turn statements. filed update consider including and and with and said our morning. this our

Stephanie Kushner

and with Thanks, QX, and Fabrications Gearing Heavy We last strong booked in morning. XX% orders orders year. up total good from Joni,

content. to rest industry, our to other higher are we present cost for to Outside mid-quarter as This the prices, of with of September, on Steel customer with in adjusting year. usual closer towers operating million business Our finished high-steel the of something planned. because to in positive the decision production are challenges revenue meet reflects steel was tariffs and our next scheduled our preannouncement for We, are with EBITDA. causing production of the Towers, continuing a and and expect down remain the We operated the line as we other tower $XX.X escalation and made slightly mix. our early quarter and businesses diversification track. efforts in obtaining slow to businesses delay

supply margins EBITDA has with core strengthened chain performed production. quarter, stabilized as and delivered and has We've with a rate. our healthy Our current heavy the profitable Gearing better management And run good much business improved - the team consistent at processes. demand

into revenue positive In are booked XX, year, Towers book above million quarterly XXXX, generation. back the for schedule EBITDA Through we the production in million we $XX consistent quarterly million range, with orders, September Fabrications, booked a up Heavy Broadwind's last versus look we more quarter. of $X.X averaging and As $XX and are year. order consistent and the and gap firming closing

tower finalizing steel. delivered in We XX strong. customers over orders months, the and be our Outside spike demand the remained through Heavy slow towers, has of in Fabrications next domestic because $XX customers orders from have backlog of we to work million of the but nearly new implications tower been

than the is products, these For so less significant, wind steel but towers. for content

to for weak For overall nearly Process increased have for industrial principal orders Gearing, to have XX% million near up third last which $XX.X builds, Aftermarket months, down totaled strong, last from million resulting slightly customer. support turbine to offset, for other XXXX orders turbines been for lower in components and gas gas one. book-to-bill an new sales quarter our orders X.X. the of systems due months, were year, are orders from about a orders book-to-bill and with the $X nine year about for nine XX% year-to-date

the about of next months. X.X X and million backlog September million at quarters shown to $XX including delivered the which segment, million will for represents for X $XX scale, about of the towers right-hand totaled process As production million gears, $XXX XX, on be $X our systems, for heavy which in

Next slide, please.

to the customer gas had in progress report as initial order their customer first a third some consistent has that base, diverse some well $XX second than expanding million I'm and quarter Wolf more as industries. from progress from including made an we've important OEM diversification left, customer customers the other turbine target. in during of pleased orders wins the booked on shown Red against customers As our nine We months. made adding

sales were modest the dollars building broader time. are over will which we a we base, the While during quarter, expand customer

basis the On trailing dipped $XX for the on run the right-hand slightly side million. orders chart, outside a of rate wind industry about XX-month to

in the oil our basin. purchases for quarter in slowdown gas in of Some of third reduced customers fracking Gearing the the because and Permian

drilling purchases have other strengthened, expanded industrial orders mining and pump customer offtake been upstream However, have has steady.

important fundamentals this of said strong, of so to We on third wind diversification the and the stable remained process, the to XX is of will in excess which for report company. new the health market pipeline wind U.S. development monitor long-term is in the Having installation continue and the quarter that, gigawatts. remains

XXXX production right, is tax phase-out XXXX XX for As in in growing X%. and in dip scheduled between The to gigawatts capacity X to market at compound annual more a installations lower from manufactured has The this and rate to XXXX. and shown new economics on gearing the XXXX U.S. is be demand wind of the in the completely growth overall credit, rise continued strong than which to to the now year, expectation with XX reflects for XXXX. gigawatts gigawatts exceed

XX% raise oil into been and XXXX. for We markets up field XXXX. in and expect digits year to double The nearly continue equipment, fastest-growing again projected have this that strength gas gearing to

industry. this and produce our from now benefited customer linked we the significantly for as XX base recovery, has more have and demand customers and expanded gearboxes than core gears oil growth gas Our to

rest priorities unchanged Our year. the for of are the

$XX build with have in or targeting we To new from customers million customer continuing of than orders more diverse date, XXXX. book are for XX the and diversification year. to momentum more added are We customers to

million way Texas. an progress of plant debt the closed During $X.X We exit plant sale ideal of removed in credit the third cleared the we tax Abilene, loan, which on the our new gearing footprint and good expensive manufacturing made on quarter, an and reduction. extinguished market to

to use our focus systems continue processes. elements all of of on business improve our to expanding We

improve and significantly volatile had manage certain serial the heavy efficiency of continuous cost wins and simplicity During continue of through scalability the our for that raise This efforts also Heavy coating quarter, tracking the new to scheduling productivity. system of will which our the continue big tracking a labor our quarter, the product with improvement complicated and manufacturing and production pricing environment. raw accuracy this us to some of and our gears payroll Also, improve fabrication, we the line. material orders. improve labor Fabrications we launching new help and we We implemented our reducing system will are will

over putting specifically us Eric should about tower tower some in approaches, procurement We I'll place in steel, in new XXXX. accelerating businesses are our which more talk turn it an for for to detail. also to market help

Eric Blashford

Thank you, Stephanie. Hello, everyone.

the million, on fabrications order Moving XXXX. more unusually and than were growing comes for product and improvement The $X.X line. to Orders double low mainly our segments. quarter Heavy heavy Fabrication Towers QX our from

in Our and this leveraged product business. mining, Heavy markets increasing many towers served, construction other is process of which meet line, capabilities skill flexible in and line expanding resources Requirements seeing markets, industrial demand to and used averaged our this our manufacturing demand. in - as operates Fabrications those we're sets the in all

to support within are sections up the sold and sold tower during inventories. XXX investments continue year our we further tower customer nearly XX% from largest continues the diversification. prior growth reduce in XXXX, markets XXX X% tower served versus sections opportunities to and the quarter, expand, the quarter. are Our sold We to Year-to-date, sections considering as strategic down

given Our our efforts turbine OEMs to and practical add confident efforts new experience footprint tower fruit, multi-plant our market. and these that in U.S. towers in nearly producing bear customers continue, especially the for we're will all

heavy in XXXX, versus were overhead and a QX better reduced EBITDA with efforts, As operating utilization, $XX the effectiveness versus reflects lower fabrications product combined of loss operational line, our 'XX. and million progress a which The result, $XXX,XXX have was positive QX million growing expenses. our QX in improvement yielded plant improvement in sales $XX.X $XXX,XXX the

with call. XXXX priorities consistent Our remain previous the

as additional orders customer as to with them, tower production to We continuing are our schedule planned to diversify tower working base. and primary with well customer secure our work

resulting and As steel PTC the pressure pricing we've PPAs upward pressure and continues. from pricing components on the new other discussed, runoff,

able been our of customers. most cost these on pass to increases have to We

We continue process this on a through building QX, in QX. improvements, progress have nice made offsetting pressure resources on to have and focused our strong teams

However, the XXXX. tower availability early orders plate of reduced steel delayed until has some

improved XXXX over Looking scheduling means capabilities. forward when to growing give capacity a our project operation's the from enthusiastic to Broadwind's driving profitable we - and A fabrication QX, equipment machining growth We our combined tower of projects to and and and purchased center, on implemented, fully focused are planning large researched now excellent in plants. accommodate plan a our We tooling. which, our is the line its are with online and organization terms by demand. shop visibility evaluating fully multiple running XXXX, still in customers, project remain horizontal increased system, discussions all plant improving scheduling and utilization. will increase tower stronger through processes management went capacity We support which throughput much our software booked about group product restructured coating indicate activity,

port high its fourth this on-site quarter, high-capacity, the million, revenues last to Manitowoc, EBITDA crane access we of led As high-hook of the makes $XX uniquely of in the million I is lower $X Wisconsin, million. the to mentioned quarter, with region, loss kind which in expect largest combination production deepwater reflecting the machine, by attractive. In in tower with an Broadwind be $X.X system

our QX a yielding notable diversify order are our results by please, wind 'XX XXXX on in and basis. Oil year-to-date segment while and orders remain the up exceeded business markets to QX a segment are with strong, X%, gas slide, Gearing. industrial Next customers. positive our and including aftermarket mining efforts XX%

the of serial segment on our the early refine improvement that and highlights production As by at $X increase graph see production remains this efforts. to the you quarterly in leverage million gas and sustaining us The affords oil first saw can continuous QX process in revenue market, nature greater the pace, XXXX. we revenue opportunity

mining results mentioned are financial and improved indicative earlier. focused We as increases QX on industrial in these further other diversification actively of other and impacts. remain into with markets, notable Our expansion

CI the EBITDA two oil frac on able as compared QX million streams, remains to which through hit operations executed more and to modification hours we order also our machine as to quick the gas demand and important existing prior on costs improvement earned machining actions as and are is production tight to book revenue. lead teams reduced were floor machining operational seeing Our times, workforce and $XX.X QX, revenue and us up market quarter, by segments In gearing, well. productivity. dependence improved and during reduce Brad constraining improving Foote customer of layout, focusing of efforts This reduce value Further expected drilling of XX% work million continue of significant gearbox assembly reduce in improve year events, in These gear market. is our CI tooling. we completed QX our outsourced centers. was $X skilled serial leverage labor and in the highly robust as for the we we for and are on programming very

responsibilities XXXX. The custom mentioned last our and will customers we product high-quality, division these in utilization, has needs. during productivity. machine resources Foote directly made for strong we of gearbox gearbox Brad improved formed The Based order, to optimize and on earnings align our we which and manufacturability. business our more quarter with call, and division structure a changes producing clearly to multiunit works I reputation large be improvements organization progress a As QX custom gearbox throughput made number in QX design through with won

or We the range. remain $XX XX% at range, QX million revenues with in to expect the EBITDA in above

Next Process nearly were the Systems. $X.X Orders million, slide, the quarter XX% prior for quarter. sequentially from up please,

turbines Although, have to gas-driven weak, returned demand remains improved for new orders gas levels. parts and XXXX for natural aftermarket

selecting of our remote continue. remain nearly to competencies operations. growing supply of left our kitting, diversify graph to quickly, to to core our in key are that XX% QX, and finalizing fabrication the have gathered and breakeven on success, this over especially it end, is his million target Using slide. detailed and a assembly go-to-market the orders those strategic Year-to-date, orders expect identified is with will range we expanding quarter. turn in EBITDA. I'll we our completed of we to in focused Jason bookings, that by with project, have which grown to diverse a this in analyzed markets, chain for key expect target and we effort planning in this are to the Our strategy, $X the accounts We value field To customers In launch now with proposition management, QX, unique business that it marketing which the campaign later aligned total lower the trend beginning initiative our comments. which capabilities. data be reflected

Jason Bonfigt

Eric. Consolidated within X% our and improvement. the quarter, were range million you, a during Thank year-over-year sales $XX.X guidance

tower and mentioned, leveraging revenue capitalizing gearing encouraged As million market Eric run and production. mining, Gearing strength now oil business segment, fabrication Gearing a and backlog we rate. end notably our is welding at diversified. the and are and competencies of our is in in annualized on healthy our our progress, operating gas by $XX outside We're

line. strategic dollar, low recent product made have this capital investments in We but

to book sections only but $X.X in the availability up delayed to spread steel tower production million million This XXXX. production into year-over-year quarter. a result, order by The our $XX $X approaching million run during annual six QX. second was a lowered approximately $X drove impacts QX rate, As revenues half million $XX to the is million us from of higher,

In on been productivity, have increased performance. our million result able each management gross key in we uptime, year-over-year After generated year-over-year X.X%. that and has one in allowed Encouragingly, our gearing programs, salaries overall We seen one-time a million primarily expenses leveraging our scrap production to result benefits, was better commission $XXX,XXX corporate XXXX Wolf operating variances, increased $X.X gearing in control, out of of $X.X escalation. of steel competencies $X.XX year us the adjust ongoing but us us reduction office, Year-over-year partially guidance the offset improved manufacturing of lower EBITDA, X%. a for from continuous our liability. we year-over-year after X.X% during not of line material core to gain Despite our the cost healthier of a in towers impacting extinguishment our volatile by after year, improvement also the it to retain material This during retain focused of pricing $X.X of greater Red workforce year, improvement gearing improved with by support adjacent current driven a of operational markets. preparation quarter. impact leverage and tower had to producing to from associated levels. expenses with positively tax a margin business, ability the price rework market This gross We pass-through improvement However, the $XXX,XXX margins workforce not of is tariffs periods sales. helps change earlier one-time new have lower margins the only tower with higher and excluding - been quarter during and material offset however, general, and our a our resources manufacturing items. production, one-time of the prior result loss $X.XX other recording Broadwind's introduction million associated in margin a nature businesses, the of across in between Operating squeezed. pressure earn reduced were the and benefit expenses year the down flex release out, fabrications. allows machine This is a were credit to

Next slide, please.

timing by delayed XX a deposits. cycle in the receipt near offset sales Our This QX, due end cash by as increased few the conversion quarter increase and outstanding was days day mainly of of to in decreased continued be in to production payments including driven items, the to tower partially turns future however, in of X.X to our impacted Inventory negatively. quarter. and increases deferral steel business turns the turns during strong, into of our corresponding gearing receipt Inventory balances. early QX payable our production for customers

Following that for portion earlier tower retail the in balance expiring was domestic prices received we follow escalated. to announcements at in this Under design produced QX. tariff the this A prices have of steel purchased in steel with QX, steel be the future. steel an plate late agreement, will year,

schedules with by working our continuing work using steel. $X.X customers increased and quarter. are the timing to for Operating million We capital the during production and

per to compared Our quarter, of is increased dollar this operating $X.XX $X.XX an improvement to working capital at year-end. during sales however, cents the

received expect We support dollar further are will production. to multimillion QX deposits that improve as XXXX

due We on custom are emphasis cycles. are to and/or orders. production other gearbox more These placing an collecting capital deposits design advanced intense and for working fabrication products often longer

long capital the our in cycle working other on businesses focused programs, our initiatives including we're conversion will more continuous that each run. over management cash Additionally, in of improvements drive improvement

sheet. Moving balance to our

balance key debt credit the tax of at due us of transaction. this annual higher a was million the total to - was it for cost. the $XX.X up saving allows offsetting capital. exit forgiveness milestone debt This this of QX an X/XX, extinguishment the corresponding as Partially of is new year, facility over working and Our as to us market modestly million operating $XXX,XXX end maturity of underutilized $X.X

quarter, we $XXX,XXX plant, manufacturing eliminate the operating expenses. ideal our During annual approximately which gearing also will of sold

of we a reduction a in our result which total XX% of ago footprint, exiting our operating As footprint, of XXX,XXX undertook will rightsize met initiative reduction is two our operating cumulative an goal to of of these space. several have we facilities, years square of feet

capital. million our Our line X/XX, of the in working credit of We CIBC. up at an with $X had balance $XX from by $XX.X million million rose X/XX, availability under build to driven primarily additional $XX.X line credit million at operating

would this utilize in XXXX. have growth of $XX And instruments requirements assessing to are which capacity. borrowing to continue we our working capital revenue well associated debt collateral collateral in with in our efficiently million support We excess QX, more other

the flexible after minimal make covenant. several have upgraded. effectively a were years of to in EBITDA investments quarter our XX-month capital our the balance expect purchases XXXX XXXX, covenants processes Additionally, we was of We significant million CapEx capital XXXX. in gearing expect we in $X more while core renegotiated being bank investments Year-to-date, be and to higher of single, planned lower CapEx for our business not trailing in rebuilding QX. financed and We XXX% I'd to do investment, moving the during business any do have of

is in a with This being sales. expand we large investments should past made plan product offerings. plants have and a X% the run, short CapEx to the normalized year, organically we We are of support lines developing that grow remain to center. to product fabrication XXXX adding machining line between in notably With X% in range our a in said, to future

we conference filed ATM As our call, on $XX we July. million discussed last a in

we've with program. of extent the proceeds given We XX% a to mechanics of only less understand to discount our currently the As at our trading book is do greater stock or XX,XXX sold not value. plans shares that more $XX,XXX, to the have today, utilize a to ATM of tangible

Next Thank interest slide, you Broadwind. please. for in your

third of consistent as towers, The our deliveries. to guidance. slowed we schedule in weakness with our the offset gap reduced in production unplanned an was steel down progress gears quarter Our much in in response

and will by $X with impacted loss of revenue $XX Our $XX to million $X declining to quarter to same an million. million be million fourth factor, EBITDA the

our quarterly much approaching sequentially, this over thereafter, QX down in million stronger consistent is easy QX orders this significant delivery $XX tower schedule. comp. and support a a be revenues with XXXX relatively will Although, year, with improvement XXXX rising

expect quarterly to $XX positive consistent deliver EBITDA. average to to be revenues million and quarterly and able We more

when remarks. Thank prepared is when more XXXX at this will is firm. delivery our And guidance and more year-end provide budget our you. We finalized schedule our concludes

Operator

[Operator Instructions].

Partners. question first Justin comes with Clare from Capital Our Roth

Philip Shen

customer, there? on could And activity last How the more a about issue is what to us a quarter? is orders. Phil on you is for to just worse? the primary XXXX. add of factor this for your orders? Justin. Is is you coating what I potential or another number you better issue? wanted if there then from relative to additional us think, secure view the I I customer incrementally increased, primary steel was For have example, feel and secure you to gating to touch the get know I new for to your do more And think talked This incrementally visibility discussions Or wondering quarter about? give

Eric Blashford

are that this But take XXXX. Eric. Phil, I'll going of confident is into question. we first all,

once We other finalizing that XXXX. another today. have backlog that locked about it about is some top should have and of we announceable project And worth We million in. yield with customers confident heavy $XX that customer be scheduled order that. both feel us wins is of activity, that to coating in $XX million going that do We're on with would be

we coating So with with are customer in more our - the customers, we other have primary right what about discussions what with with feel that and backlog, we now - in capacity much XXXX. in confident discussions with know heavy

Philip Shen

last relates quarter this that it's the it Eric, and relative you quarter, as visible so And say customers with well? better more as would incrementally new you activity to, to - could especially

Eric Blashford

Okay.

our knowledge it's greater last we saying, in yes, quarter. that's visibility positive now versus this than last more We're knew and and encouraging. more getting So quarter, you're quarter right

Philip Shen

steel the they Or going that now? prices where there is is with driving just just - to or what kind variables maybe lock and to being they in things just any hovering this the OEMs face realized is are, changed? that are of reality besides time? Did they it besides have the orders other And factor the

Eric Blashford

of their increases that But the project do have pass on impact, market on that well, they with an cost understand those steel to steel course, customers. does OEMs we're Well, have and the working valuation. to dynamics

with are and project to and secure the developers projects working Once begin are has to OEMs So secure projects. the a with projects announced when orders, let their have when with able by the when regards lot the timing turbine to they of it on do they a the us are supply.

Joni Konstantelos

usual. it's business Phil, as that made feeling that my opening more comment I add remarks will just was, to I And like in

people almost I to the waiting quarter going just to maybe and happen. that quarter a was see what probably before think were ago,

Philip Shen

of that's And to Shifting Good. kind that's back bit. am steel hear. to a at good trying I to what get so for

prepared remarks, for one? then procurement XXXX? You be two, I ensure And do you number the might you approaches, doing to you're kind new talked of in about you new, how know can supply number what share your what it service the outlook? all there along, pass but risk supply would kind to - be year XXXX to you that much of able supply can able how or XXXX is not steel that all your to need steel you're that

Stephanie Kushner

and then probably Eric start I'll will add.

of terms U.S. steel in that expanding deal of number So within suppliers both outside. the changes, we are we with, and the

actually some have organization made We our well. changes in as

the I has to certainty are deal happening once deliveries think this the deal, still of have lead with been respect and those longer agreed to the times made, getting struck lengthened, has times. been lead the purchase but

XXXX think things it's don't disruption. during It's get caused we purchased. risk as will that all of I the changing a So some were it's whether agreed steel and just once been

Eric Blashford

that able capacity needed we to we project domestic have didn't immediately, in which for increased, other companies from the steel was industries prices dynamic allowed QX the U.S. as of unusual and customers prices steel and QX an tariffs from being the did we And industries were their not, that lock in if And steel were taking significantly. and our to other those take mills. customers available other that which orders. were other capacity increase advantage purchase increased, to to

Philip Shen

usual market dynamics, U.S. at actually that feeling are but I - that in Or relates orders wonder that's access that would like in you what entrants? new, coming weren't it's competitive players competitive not to or the abroad market the me forces? As perhaps any suggest in, not more seeing maybe new to business are Are the dynamics here competitive those the as mentioned seeing how now, it you able Asia Stephanie, are all? you they getting earlier, winning are from that but they past? to to degree

Stephanie Kushner

again, I'll start. Well,

because ago between were and steel I they a more competitive into that, a pressure, pressure. domestic just definitely think than that seeing depending the pricing geography. imports year And more gap of the result price. U.S. a Again, further the are on we're more the of as Asian certainly,

new as data from seeing somewhat more coming of now, terms that is entrants But reported In we're with Asia. - look, lag. towers of right we seeing we're a

certain So - we're much increasing of much how we be more how kind that's speak. as might not that

Eric Blashford

but addition were a to you you tower we're question, foothold starting but So and announcements, that OEMs that like public referring entrants referring answered they Phil, the Vestas. seeing to announcements not Senvion gain are were GE, if to new producers, United and into Stephanie companies turbine if big Siemens are some from to States, The Nordex really in three, Gamesa,

Philip Shen

as Eric, more referring to the helpful towers. I was But that's well.

assuming regions land follow-up steel have may guys there? where XXXX place you an remain in no in be by when that So versus about served pricing towers, as to or coastal a your that, more much you - you imports, demand think a tariffs be for can quantify how of advantage advantage could might it

Stephanie Kushner

know know know is. I that don't didn't number. we if we how I the if distribution know

in the Gulf north, coast We seeing projects activity but significant moving down area. still more there's are up

Eric Blashford

plant to covered, just belt don't But so stiffer. Just for but this competition have Texas, going Wisconsin Phil. know it the plant at and necessarily we are we as the the wind in time where won a the are imports in reminder, have a to transportation less is projects as the and be costs a coast, gets we closer obviously

Philip Shen

Okay.

is orders, that you know tower necessarily where your So tower in when you don't going. lock

or it's West if Coast around? know don't You the somewhere

Stephanie Kushner

Yes.

a know. have to Sorry, We are in orders that a tend the - was yes, there visibility now than definitely coming project tower but There by time did. was once sorry. project, we when we know, didn't we better

Philip Shen

the the wind those final that year, coast few belt as the look have of on majority winning share is you for your then and at when orders that would you fair the question within you well? backlog Assuming very especially say then are the are there count you the next business of or also along coast

Eric Blashford

are you coast, is, we referring consider what within belt, should you that the So the explain to U.S. Central to I Southern Texas, when wind refer

Philip Shen

yes, more referring the sorry. West I'm to Coast,

Eric Blashford

to ship the West tower is unlikely expensive Coast, we it's to that If a project the a you're referring across from Mountain. very Rockies very across because win Rocky the plants it would our

Operator

Instructions]. [Operator

Our Hailey from Macquarie. comes with next question Xu

Hailey Xu

could is in and if color liquidity you're Angie. Hi, this line. $X of filling more for credit wondering the with on looks cash $XX provide situation. Because the Xu, tied you liquidity We're million your just with left getting it million Hailey

it that, So if more could you would great? about talk be

Jason Bonfigt

Sure. I'll take that.

what's come be We are to supply to expecting XXXX of are driven is that for requirements the Really in QX. by in that's capital number tower QX production. our under down going expected we agreement our main working receive deposits to

this prepared comes should probably that with instruments be of we're move balance So going into balances XXXX, that kind looking expect higher working help reviewing line and into tower in that We're looking $XX.X we're with the remarks kind QX us also mentioned debt through kind being of a in production requirements early next levels. at next of to year other we the capital in at improve additional us year. that we're to as of here we higher credit that and for at, looking I of point the million year

line we of this a our for feel is balances. point high So credit

Hailey Xu

That's very helpful.

we all see maybe the tower updated wondering that you are question, or able question and plans tower 'XX I going your what you be so the reduce orders? the you XXXX much given just with repeat in staffing levels hoping wind to at tower will to in Abilene? Another that growth manufacturers for don't competitive get pressure to manufacturing you competition, tower will Are manufacturers, just but capacity are foreign from are want foreign on

Eric Blashford

Well, levels we production We low feel do like workforce we now levels. production at point. our balance with a the do our have are

And QX. so been to core production able we some have that our part the QX move of plan out was to workforce of retain into

yes, of XXXX, demand. come those and to both that that read we So our workforce competencies plants, able we're do retaining recover feel more core to we that will early business will in and, be

already than further will no, expect reducing So, I have. don't we production our be capabilities we

Operator

turn conference remarks. to to the back like our Stephanie concludes for over This session. Kushner question-and-answer any I'd closing

Stephanie Kushner

to for call, very we speaking our forward in months. three Thanks, about thanks And again, to look Bye-bye. you much. attending

Operator

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

now may You disconnect.

Broadwind (BWEN) 30 Oct 182018 Q3 Earnings call transcript