Earnings call transcript Q1 2024

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Operator

Greetings, and welcome to RBC Bearings’ Fiscal 2024 First Quarter Earnings Call. At this time, all participants are in a listen-only mode. Question and answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

I would now like to turn the conference over to your Josh Carroll with Investor Relations. ahead. go Please

Josh Carroll

President, thank and fiscal and me joining for Chief and Hartnett, us the Bergeron, Officer. Officer; Good Vice Financial Sullivan, Director, first you Vice quarter Bearings President Chairman, Michael Dr. XXXX today Operating With Chief earnings RBC Executive call Daniel Officer; morning Chief are for and Robert conference on and call. President

are will differ made Actual that, today’s the some remind of of be call, forward-looking implied made statements results those factors. beginning Litigation and Before Securities variety or you today under XXXX. Private to Reform materially let the of a due projected me Act from may

risks results described in filings These the Bearings’ release We refer also a RBC and factors you the the are in detail SEC with and to website. company’s future could on financial that company’s impact of condition. operating more press the recent the greater for detailed discussion

In the information addition, website. reconciliation between as the and available release part company’s financial on included is is GAAP and non-GAAP of

that, the to Hartnett. call will turn With Dr. over now I

Michael Hartnett

and Josh, the and welcome you, conference call. Thank morning to RBC good all, to

represents from of to While the increase quarter net million. that XXXX last X.X% an This were sales report first of year. $XXX for our I’m pleased

For of industrial of our quarter products the XX% XX%. first of products net aerospace represented XXXX sales at sales with

XX-years, at XX.X%. has RBC growth been past the revenue of over compounded at the rate As footnote, made

margin from for Clearly, compares a same quarter are year, is last XXX.X period for the or improvement XX.X% the pleased of with we basis sales. Gross million the point year. XXX gross tremendously to margin expansion. XX.X% net million or XXX.X This last

plans, clear the our aerospace is coupled acquisition. of Achievement Dodge components from result in many volumes of increased a Synergy of with that the impact Overall product

can low we plan now trajectory, we mid-XX% report margins the range. to finish in the with year that gross this to Given

both you and make in for is is RBC for industrial offices, the products and the your RBC the to It title top moment preference as and branded and I thank strong in the create Dodge to plants and well customer execution, intention aircraft a detail, the excellence markets. want and to for their the as difference satisfaction. the and teams here a take received grades

So you a all done. for thank well job

income operating XX% of million Adjusted year compared net XX.X last respectively, strong the million. period million a a XX.X% and for Free was improvement. or XX.X to XX% flow of was $XX cash sales

us by November EBITDA XX-months since X.XX $XXX achieved to has Dodge a have This fiscal XXXX. debt in net now of XXXX. over debt We from from reduce X.XX over million allowed acquisition to down trailing of the of ratio

over So, has compounded RBC last EBITDA XX-years. per XX.X% the a rate of grown at year

XX% a Adjusted for was period the Adjusted million, to EPS was million increase. $X.XX and year. XXX.X last net XX% and compared same EBITDA a of XX.X% XXX.X sales from a improvement share of net sales XX%

and teamwork billion developed in we cultural and more about by has first Overall forward importantly, acquisition, since XX-months RBC Dodge between that to has exists camaraderie created. and now future at encouraged that coupling year the fit of We the environment over are finishing this revenue. the the that the $X.X look the and the

late was supply and QX, chain On the improved X.X% the a allowed creating QX to the sector comps bolt, year, performance sales behind is now. that Last period, industrial orders last industrial business, growth XXXX of some during year. customers against us strong shipments

combined expansion Dodge distribution on revenue with sector OEM a a a X.X% leader industrial in was and sales. the

oil products. of and period. several our beverage, expanded at the sectors target include forest food and and rate a Importantly, market digit over double gas, These

for world events. by We driven year, the expect of this continue balance to the

distribution commercial Aftermarket commercial helicopters, mainly with saw the defense Jets, jets. defense and drivers. XX.X% we was Marine XX%. up down and fighter X.X%. XX.X%. up an aero missiles, Defense expansion rate XX.X% aerospace of was OEM X.X% were On was and overall, OEM up up

We of the drivers large of explained now and builders. have as demand pandemic here builders support finally XXX, shaken plane of Airbus chain major off problems calls continuing and their endemic dreams in past The planes. of and the in supply are AXXX bad the the Boeing and production the XXX

per builders building who subcontractors the also Currently, XXX And rate are materials of and many new the aircraft inbound at of XX. orders at we to a industry. XX private course month, support and a rate of

building our the current seven month. now numbers XXX, On rate per build are month, and we per three are

order It that is past expect little a probably soon. rate We due. very

generates of typical source sole this source positions. As from sales XX% these single RBC its products of today, or

highlight QX to reel. $X.X period, net summary, full-year for mid of the expected XXX.X adjusted up were X.XX go forties. in low up over of EBITDA be up the XX%, revenues income billion, margins X.X% sales In let’s gross the guidance XX.X%,

trailing in number market is to business source X.XX debt sole either for source EBITDA from normally our in Debt are under today XXXX, one November revenues million, our products since XX% fiscal supplier $XXX is products. product. of And our of replaced net X.XX XX% pay are we down or of the share consumed we primary XXXX, use. And

Probably on shipped backlog is from revenues a received where our The backlog. done are to our screen pass received. They a, numbers. point as our of are orders not never relevant. Another XX% mention through computer business aircraft is particularly and

the a shipments received. that small orders if And are Dodge of when most subject made very order. normally any receipt within they part, to it day backlog, a is for have the two and And is working or

of quarter range. second million our somewhere $XXX regarding and be million XXXX, between to $XXX sales expecting we are So

Rob now detail I for financial more the turn performance. the on over And will call to

Robert Sullivan

the million for same XX.X% XX.X the SG&A percentage Mike. of year for XX.X% sales of you, last Thank as same year. last the quarter SG&A the period period for for compared of was net first XX.X XXXX quarter first million XXXX fiscal compared to was fiscal a to

million the the for XX.X million totaled last Other same fiscal first to year. compared expenses period for operating quarter XX.X XXXX of

For costs million California restructuring associated X.X the fiscal of included of of and our other operating X.X of first expenses intangible amortization items. million XX.X with XXXX, of other quarter million assets, operations

quarter other associated XX.X For the X.X income. of of of the costs by million assets, fiscal primarily million amortization of of XXXX, consisted acquisition, and partially of other operating Dodge intangible with million first expenses X.X offset

was XX same income of Operating XXXX to quarter fiscal the million for income the of last million for XX.X year. first operating period compared

X.X restructuring income costs, approximately Excluding first of acquisition or of million million of approximately of sales quarter operating was XX.X excluding XX% adjusted fiscal million costs. XXXX for X.X

XX.X for the first quarter of of sales. the expense the for million income XXXX period million fiscal operating Interest XX.X% Adjusted XX.X first of or was last to XX.X quarter for XXXX same year. million was fiscal compared

the income for of fiscal million to the quarter fiscal was last company of XX.X reported million net quarter million an compared of For period adjusted income year. for XX.X compared the million basis, On XX same year. the first the last net for same XXXX, XXXX, period XX.X first to

to to fiscal On stockholders income for million income the of for million XXXX quarter million attributable the quarter common year. of for XXXX compared basis, attributable year. to first adjusted period for stock the last compared net last to XX.X XX.X same same holders an common Net XX.X fiscal the million first period was XX.X website

the $X.XX Diluted share an to to per for XXXX compared attributable $X.XX quarter period of compared per stockholders fiscal a for share first the the earnings XXXX first of per last stockholders share per year. diluted quarter to basis, $X.XX per was same attributable to period year. was EPS common adjusted for share the same $X.XX common On last fiscal share for

period Company flow. X.X to million million expenditures operating XXXX fiscal same for fiscal million to of in generated cash year. last XX.X the the first the last year. period million cash from quarter the XX first were activities expenditures capital X.X compared in to Turning of XXXX, in of Capital compared quarter for same

the paid XX.X during XXXX the XX loan hand million billion million. was X.XX on period, leaving We of cash debt July Xst, as total on down of and term

X.XX EBITDA X.XX end at XXXX. XX-months to the XXXX debt fiscal the the end net fiscal of and Our to trailing X.XX for at of adjusted is compared

I would call the turn question-and-answer session. back for the now to the like to operator

Operator

Instructions] with [Operator Liwag questions. Thank come Our the Kristine your Please Stanley. of questions you. line Morgan first with proceed from

Kristine Liwag

guys. morning, Good

that margin just I I I’m the guys printed but a mean, is sorry, just is you monster this it On mean, quarter, margin.

So my at can, surprised margins, one, being generate within able period this in two years like, got you to you first hindsight, gross almost you surprised. question time? you Dodge. were short of like expansion in much where really of XX.X% In margin that about is, hindsight, ownership Like margin were

of pretty like could number that you then have And can where of is a becoming such meaningful a in time larger color that shortage mean, for in some potentially in this profitability terms give surprise come a company change from? I two, yours? is

Michael Hartnett

put been able it way. this XXXX. have let’s pleased that to the combination a with Kristine, are plan? Dodge RBC little we we And achieve the ahead Well of since expansion November are our of we that Sure. margin

There whole I of one any we is did that there never to things performance of, there sort how has that thing series one achieve in are. that thing of I of really a kind terms do. of would be say mean, the is we up tune Is business. you that a performance? ever to done can to

And do than it. your important price do understand, to margin about trying have XX/XX to if that out have large certainly really what is that base. of And should looking acceptable, first, a at cost revenue it the smaller the a right has items producer or of to is you thing

the And how ideas so of things a in lot to people correct you have a good that. like system have that lot smart of on

offered for some pretty have from discuss product you many lots you charges they terms material costs line be experienced that not over passed for And that or of steep the with per along. performance, whether marketplace, and product what on product offer weren’t people by as along line is be to can something because years have operational should issues And you to particular passed sale. the even so meetings should in such sale suppliers what done of

they products some should die. when mean, linger I

entire And revisited discounts And certain they discounts coloring I there is, associated mix. that all with various product. in And the has other how the been it the effect imbalance decade. think haven’t a base customer the and is is those look often a so buy thing at you improves

revisitation of of And the part those the is another discounts process. so important

plants sort of And is XXXX helpful. going through finally been volumes have since standby extraordinarily our having additional aircraft on that

is on there very that we us And components a for are are working positive. So good several are very together that right path. now

Kristine Liwag

with portfolio. And the backlog great now, that then for especially read the aspect business book you the of ship a isn’t through mentioned to

planning your had you do to have has then forecast demand differently, in accurate get any, factory? been to if what And able your how methodology demand first, your your be in So to second, hindsight? to and signals

Michael Hartnett

there Well, build it I to for you of what is that upon Airbuss kind the and immediate easy to have two business mean Cessna’s is contracts or pretty or for aircraft, answers understand that. available your based be of and should delivery building our Boeing is bulk rate.

to you stay so And close the build rate. pretty

the understand understand is at of we what it is be what a And that have your that way to your of your obligated plants revisit particular year that statement product’s you load you bill And Boeing so and materials process. available and against when you the airframe monthly inbound got you the that our available. make sure that if of that You supplier and for that really you have is that is to of needs terms that work. materials right in

great Dodge demand in forecasting When their different. you at upon a job is being dependent very look is to little able market the sectors. a do Dodge Dodge,

independently for And rates the to to they the of to items are down sector, developed years able given so market of then economics which sold that a process being that over sector. translates have forecast a build

base of available way can when they the customer really that is job that methods, and customer with time. was making I skeptical done it be their the their amazing that to it was but right product And an satisfying do introduced the about be and I first to at sure done way, kind right could right

shipment a minimal how plant a think I how inventory. It when offering every day really you an of for you sort that. one to experience customer see And of items, a of XX,XXX item in do to plants available with line tour our every an backup is with line makes will they show

Kristine Liwag

So end can trends see in full-year you the provide seeing and and terms opportunities you markets, that of your outlook? where are regarding different your risks you

Michael Hartnett

three? are defense we or or are, I we all talking mean, aircraft Yes. Well, industrial

Kristine Liwag

the of please. all above, All,

Michael Hartnett

of are All and hard and above. of And the what at is and rate plant something keep in way know are plant staffing. we is year, be program the and to dialed that pretty Well materials going aircraft different happens, We loading that we unless end up. on looks. is, this to the the running much

to But our of we is it will be plants. keep demanding for going in up, several but us

that aircraft story. So is the

On are defense busy in business Marine a defense submarine is category. the Navy. of is that building the are of our components to the side, in the we sort big supplier submarines build and leaders big, is defense to the number one one and we priority program And that service

way And like place. are supply So, dollars, starting our are multi-million things the is just we And through the contracts they and are multi-year, see. move in to working multi-products, to our effectively. chain plant

to assemblies, continue volume shipping more we increase start So and will I assemblies. building, more think as that

to the rest forward sector the we good in So growth year. for expect going of see that

on important to markets growth the that then a there been we know is because for really there service material many to markets potential. us And doing understand, so study the us are industrial markets are have that substantial that and business. are we is of industrial markets side you And the have on which a this the which industrial several lot in

growth markets upon, gas, of is demonstrated double-digit, growth and something we or down that Bill see And substantial based and and in a encourage products, material demonstrated that markets is beverage, oil our are potentials like double-digit they materials, forest potential feel have products, And aggregate. food mining and pike for those the there potential. we Infrastructure have coming going to consumption the that us either

So those are markets. the

Operator

come with line Skibitski from questions Please the Peter with Global. next Alembic of your proceed Our questions.

Peter Skibitski

Nice Good guys. morning quarter.

follow-up of margin. a like big It performance there. part on Just great gross sounds result is the one

to about because much pricing Mike, how helpful a basis, talked result? to a being pricing was margin know you for power other I of due relative curious, inflation. Just relative kind you to have tailwind On gross the factors,

Michael Hartnett

increases. know Pete, to pricing that we ability substantial And a do And from chain supply that, it of neutralize marketplace, through the to our our very lot for we materials. I was material never know we it I put for to broke dependent. it of saw I price best at the least supply was particularly the Dodge, what out. increases our chain saw businesses,

all I to So, that. I say mean that on is have

Peter Skibitski

is kind are quarter you R&D SG&A, guys are And kind something like the give you of running XX.X is then year seems know just and SG&A, on midterm? you flipped here into the bump XX-ish of kind or color in just first expected XXs if percentage is on I it could that the continue there don’t shifting but through if an some what going us here It last on to been of something, to are sales at SG&A second. and of the guiding and in you in

Michael Hartnett

Yes.

growth the see of down what enter look seeing is the if the some at half year. versus of you XX We second points that SG&A adjusted centers. on some QX, into But of again, falls EBITDA you operating are quarter-over-quarter organic different are EBITDA we should increase. investment income in basis seeing what as even terms cost to in the throughout just we So, leverage through line,

SG&A, down. in it up caught getting all not is it So is flowing

Peter Skibitski

don’t decide there. one as give for guidance? your of at way full-year guess expecting, the And growth Is netting the did but just I know, kind you I thinking? still first think at of I for and or kind to I reason, me, industrial. we I’m mid-single-digits I assume, the Just you that so are revenue guess to last why I are know thinking guys A&D time out curious double-digit

Michael Hartnett

days, where Yes, that holidays, vacations, number thinking. for we quarter of the and on so we of of are the week second we situation and is our are get third so of year our the just number Every us way quarter and because have the into this number forth. typically quarters

up [indiscernible]. And so everybody ad we explaining end to that

relax, better just look looks it hey, so healthy. thought at be say, to that And we would full-year

We quarter very weak have powerful numbers. that we expecting to that, typically kinds know we and bringing of fourth are quarters a got us to and are two those have

just a out. wanted how laid we year’s the of offensive more position sort to So, explaining, take on

Operator

Our question next comes the of Barger from Steve Capital line with Markets. KeyBanc

Steve Barger

a XX includes said have incredible gross a because quarter. XX% would too. to the to win XX.X I huge margin for is obviously Mike, this question mid-XX% range, be or you that which year, that relative low

low the mid-XX%? about can upper is say limit to when what talk So you you

Michael Hartnett

on that, I’m going he because let do pulling Rob to collar. always is my

Robert Sullivan

I spot even significant the where versus gross we of step where QX we will have you this comfortable look seeing can. why at playbook, and Obviously point. for are low margin. up are a some where QX, is mean, we are into We mid I of we is you continue were Steve, that if we But end now push XX kind Look the us at in limits to at mean, saying and feel seen this our point. to we

Steve Barger

of know I queue, but come exceptional. have margins the XX% which this been with was quarter, operating Can in us you Well, or a segments incremental segment tell real margin the must outlier? one both the

Michael Hartnett

XX% plans you to of bring start going those benefit will see even this haven’t what even quarter, push higher. the Yes, industrial to so table to is about margins aerospace gross the were seen full we as

mobility. where that have upward we is some So

Steve Barger

underlying portfolio? on year? seeing positive remain took from expect it you customers the the the a industrial industrial this you any similar each think quarter growth And Are though Dodge positive. will standpoint down destocking do bearing this stay that highway will off And is guidance demand segment across distribution is it are saying and company industrial side, week they another even issues

Michael Hartnett

How going did you that question. to I know ask were

So, ourselves haven’t the one two if least because normally I or very after issue bearing that I occurring. the that, the I I investigate through reading calls internally, would other it. at thought heard phone about get should transcripts companies, And of panic destocking would we hear, much were

So we that see don’t occurring.

happened We their about were they was to the do still getting people see product the chain fragile last worried what run needed was plants. that year supply and is

a lot there panic was buying. So of

So of many tens backlog shipped. that of of a dollars we had millions were

it we as late. took was soon As the order,

they minute the through passed was it take the order. So

the order could have didn’t we anytime. had and wasn’t that we this ship So, because we product yet available it produced

the So of because buying. panic

think the confidence the performance this year, So of panic buying, I more have people supply in their chain.

we that see to That panic really buying normal. We what at So all. of things level is suspect don’t definitely are on. that is going and back

Steve Barger

are so to own And demand inventory industrial? with what for you see happy aerospace relative your both you and position across

Michael Hartnett

down. Yes, came bit it And and where they too, in. problem too to we are caught are sources problems bleed their to several sent we go we I to, a have Actually little much and all much are. chain got too to and in had in supply we the that because up inventory think we then we solved going trying material

and So materials out just of just be industrial the the the we part, more normal year, it XX-weeks. business time is is particularly opposite, lead will maybe times what is much maybe from even bleeding lead are aircraft of inventory The in for now material XX XX-week down and to, for to most the businesses.

more make to taking stock position that sort a disappoint are our in aggressive sure materials don’t bring of we customers. we key to So, of safety

Operator

with Our questions. from proceed the your with Michael come Please of next Ciarmoli questions line Truist.

Michael Ciarmoli

results. guys. morning, Nice Good

think, I margins. gross nice,

gross and more. margin dig Before a I the into little try bit

What have distribution year-over-year Just and OEM have was guys I rate the if missed you it. industrial growth may that? for

Michael Hartnett

was distribution XX.X%. OEM down industrial year-over-year, and actually was up So X.X% industrial

Michael Ciarmoli

Perfect. it. Got

the it and another pricing pretty, the you Did try calling I maybe was kind or anything gross have margin it to through aero weaker know, product this just you back talked the quarter, to some taking really portfolio lines, but just surprising big way, but and improvements out of you And revenues. changed So know I Did contracts seems lot down. and to guess to I aerospace about on made think volumes, XX% sequentially, Mike, you some quarter-to-quarter? leverage you a too. of down you sales get this on talked or flow XX.X% margins, about attack seems sequentially mentioned so pretty

out maybe here? jump kind So of anything recently

Michael Hartnett

list to Well, in aircraft the volumes of I about and go help and year. the is obvious. talked think just we going Certainly, businesses to of more through that the more us my more this

that processes were several before curve processes. learning in on pandemic. we the have and we for working the were those early we And right on Secondly, XXXX

few have happened very and it to XXXX volume. now had And margin from the required get processes were we were in targeting. And forma where gross curve to those XXXX, disproportionate to is so achieve designs to we plants and and a that the a pro mature that introduce learning complex

were was that so helpful very it processes. And the the off, where where three-years, demands or two volume maturing those to

ship When immature and the busy customer, product to processes, don’t volume what who you you mature producing. a are the incorporate you product trying to because them, to resources have needs that is and he have demands to are on

very that period, the timeframe the also, we have of just So in-sourced helpful. the that I over benefit to components margin. think accrued And was

Michael Ciarmoli

kind you XXX you actually are of in to that The there? at talked in to I wanted starting ask are sounds status one of sourcing that. of the point like inning some benefit? so about I I you savings, what of think million Okay. it on know, see

Michael Hartnett

but we spokes it, of road, wheel we one didn’t that are is working though. Yes. That say XXX long a and the is not, in we the are

is XXX. synergies Our XX to

Michael Ciarmoli

it what no, $XXX point. one was XXX million of door synergy product million thought had side source thought I got you that potentially would, start I dodge but it, you the thought that that of internally. No, could sourcing I at I there is flagged

Michael Hartnett

some of from. not Well, fits, there choose all to plus but a pool XXX is And does.

Michael Ciarmoli

X.X of last or industrial one growth still still billion. Are correct? Last directionally the on aerospace were part year, for that quarter revenue you calling as and those double-digit high-single I think

Michael Hartnett

That math works.

is has of maybe two is times think GDP, always kind fits. been goal that industrial I that think and, where our I

Operator

Joe Goldman Sachs. from next Our of with questions come line the Ritchie

Vivek Srivastava

on Srivastava mid-single-digit This to just in the part. decline, sales the Vivek on industrial. Looks RBC wanted RBC side industrial particularly in classic industrial and is on sort zoom the of for classic Maybe Joe. like

growth Just the forward look any the that the business what does classic color going in quarters? in on drove coming decline? How

Daniel Bergeron

I would say on cots on by RBC live It the industrial truck. And the the on classic driven wind mainly Semicon tool and cyber heavy was site. warehousing. machine holders I OEM

we had some them I those year, and coming and them a So second think year. think - just of of really back in hard comp I should markets the to some these improve we are see last of half the

Vivek Srivastava

of And quarter’s the the looking guidance industrial from here. probably the just sales at end just then decelerates next low suggest would maybe

So especially underpins top-line industrial on just assumption, low-end, to side. guide the want understand what the

Michael Hartnett

look I quarter think how there amount production on is of production days. many when on the the less days we first range, the are compared to quarter,

industrial the side side the aerospace of the business. both defense and of kind hits and it So

like projects are be that And marine, big the then and F-XX all And it depends to on the they on projects shipping quarter. like the aerospace, we quarter what could lumpy on that. side, defense

So, forecast that wide of that. range pretty some to is

QX days. seven we of have same the QX impact have production the because five of extra And season. to holiday kind we in in And an

five extra an your seven are So, businesses. for you shipping days product of to

we when kind growth things don’t it. when of a, period, is effect normalize are it a steep it in u-shaped that see is you So year-over-year, always

Dodge is a for the year. integrated now But

normal to driven kind production have days. routine go we by of mainly our that back with Now we seasonality,

Vivek Srivastava

squeeze term And I last maybe industrial question one one, if just a on business. longer more can the

Maybe like growth You environment green quarters? of to business across shoots shoots right smaller upcoming this industrial are the some the like your that the two, always businesses. and Thanks. highlight three for have in GDP green talked about trying some two of helping and times the attack now current

Robert Sullivan

are I aggregates. quarter very forest in and strong think of where talked quarter food mining markets and gas, and was for growth that some we all products, we saw our and markets Those about oil to us. beverage

we field are And part, to that. is our And to is tweaking with we that sure so growth. selling be make so done resources achieve what aligned, to aligned that in resources in organizational benefit properly have markets their and that some this probably has are are those do can

and oil right out oil the on are much gas and On market capacity, to manufacturing that capacity we side, pretty gas capped service now.

to capacity a add machinery which and that are has we so industry to in that while the our be little it takes because working And is machinery built.

And so expect to late that would business capacity by we additional for online quarter. see fourth

So one it capacity is, sector material some extent, terms in is has to sector that of that us for constraints. scale is some that a

Michael Hartnett

will it. I to add one more

Just to green is give One some the on. that you an idea work shoots we of of industry. the space

we year $X XXXX, shipped we of Last million. product So year, shipped this in space. million, the in million into shipped around we four XX and just first of quarter

one facilities participating kind on working of such many, over these different volume. in So that is shoots as are RBC of market, that green about that guys XX driving

Operator

next come from America. Bank of line the of [indiscernible] questions Our with

Unidentified Analyst

question. had just quick a I So

OEM give guys or value aerospace ship the able to increased be are step With any guys details set would you content the up production coming you more expecting? on for rates,

Michael Hartnett

share but side our ship different picking We set don’t both on publish content, and up the we side. platforms on are commercial the market defense

like Our Virginia have Electric on content XXXX, XXX, we Columbia, the our Boat. programs bigger marine News a Newport for ships of would significant F-XX for and the us the the be and and subs XXX, the course, the under

Operator

Kristine line your proceed Stanley. Morgan Liwag next of with Please come the Our questions. from with questions

Kristine Liwag

for Thanks the letting me into guys. back queue. Hey,

pipeline? What to So and like? historically, industrials. is integrated. pipeline levels almost Dodge two and be what have maybe wanted is few manageable defense, appetite your What And now that have does appetite few and XX% - had to you we of restart is years the look that, you your Dodge the leverage aerospace a M&A guys already today, XX% guys is have quarters had a approaching

Michael Hartnett

Well, that an acquisition to this is appetite the obviously to aerospace through year, with in those ratios improving defense of they continue good. balance will our extent and improve

and look to so are trying And is the we what the we to right, is quote. to partner need what looking where right evaluate

over that so process again is And now. whole starting

Operator

are any there no remarks. to this Hartnett further I questions for time. gentlemen closing to the like and Ladies turn Dr. call at back now over would

Michael Hartnett

Okay. Well, we the thank and bit future the in what business chance we looks And RBC. little Good you. better And, got like. appreciate explain a I hope on day. a again discussion November. will all I our to speak today

Operator

does We appreciate you. teleconference. participation. Thank That today’s your conclude

your Enjoy day. You at your time. this of may rest lines disconnect the

RBC Bearings (RBC) 4 Aug 232024 Q1 Earnings call transcript