The following is excerpted from the question-and-answer section of the transcript.
(Questions from industry analysts are provided in full, but answers are omitted - download the transcript to see the full question-and-answer session)
Question: Nathan Hardie Jones - Stifel, Nicolaus & Company, Incorporated, Research Division - Analyst
: Going back to the Industrial business. I think you just said that the revenue growth in Europe through 3 quarters is about 10% to 12%, which is --
it's going to be -- that's probably going to be about double what the overall Industrial segment has grown through the first 3 quarters. So can you
talk about the areas around the world that are perhaps not doing as well as Europe? And what your assumption is for Europe moving forward just
given all the macro headwinds that, that area is facing?
Question: Nathan Hardie Jones - Stifel, Nicolaus & Company, Incorporated, Research Division - Analyst
: Maybe you can talk about the outlook for that downstream business. I know it's always pretty lumpy. Are you expecting to see improvement in
orders? Or is there -- I mean, downstream business in general is doing pretty well for people.
Question: Nathan Hardie Jones - Stifel, Nicolaus & Company, Incorporated, Research Division - Analyst
: Okay. If I could just switch over to margins in Industrial. You got a slide there that had, I think, 330 basis points of price in it. The loss-making Pipeline
Engineering business has been taken out. You got some organic growth and margins are up a little bit, but not really that much. Can you talk about
what the headwind does to that margin profile? CIRCOR was talking about getting back to low to mid-teens Industrial margins probably 12 months
ago as we came out into the recovery. So just talk about the things that need to be done to kind of hit that target, how much help you need for
volume? Are there restructuring actions you can take? Any color you can give us on the outlook for margins there?
Question: Nathan Hardie Jones - Stifel, Nicolaus & Company, Incorporated, Research Division - Analyst
: Just to clarify, you're not talking about low teens in 3Q '22? You're talking about that over a longer period of time.
Question: Nathan Hardie Jones - Stifel, Nicolaus & Company, Incorporated, Research Division - Analyst
: Okay. Thank you for clarification. I'll pass it on.
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