Steven Hedlund: Sure, Nate, Happy to do that. I think the important thing to note is we’re not trying to change who we are or what we do, but really just to get better at the how we do it. So if you think about the opportunity for us to simplify, standardize and automate some of our core business processes to enable us to service customers much more effectively to relieve some of the administrative burden of managing those processes on our employees so they can focus on higher value-added activities. We just think there’s an opportunity to help continue to accelerate our growth above market and our margin expansion by just getting better at what we do. And that’s — it may sound fairly boring to investors and shareholders. We’re pretty excited about it internally because we see the opportunities in front of us just in these core business processes, the forecast to ship, the ship took a lack the buy to pay.
It’s the nuts and bolts of the business where we just see opportunities to get better and to leverage new technologies and new capabilities to become much more effective and efficient.
Nathan Jones: Okay. I don’t think making more money is ever boring for investors. I did want to just ask about the EV charging business. Any update on the progress you’re making there in terms of testing the equipment, building the commercial organization. Just an update on the progress of how that’s going?
Steven Hedlund: Yes, Nate, we’re confident in the plan. We continue to work the plan working through the testing and validation and customer acceptance. And I think as we mentioned on the last call, we’ll provide a more full update for you after the second quarter. We’re getting prepared right now for — we’re going to host the CharIn Testival that we did last year, again in June. That’s a great event for us to showcase our capabilities and technologies to all the key decision makers in the industry. So we’re just continuing to work the plan and we’ll have more updates for you in the future.
Operator: Your next question comes from the line of Mig Dobre with Baird.
Mig Dobre: I guess the thing that stood out to me in the quarter was the volume decline in Americas and International. And I’m sort of curious how that matched relative to the expectations that you had coming into the quarter? And somebody already sort of asked the question as to what gives you the confidence that you’re going to see a ramp here, but essentially, what’s kind of baked into your guidance is a pretty significant ramp in the back half of the year. So is that entirely predicated on automation? Or are there some other assumptions that you’re making that investors and us need to sort of be aware of?
Gabriel Bruno: So just first address the first part of your question, Mig, about what was softer than we anticipated. I’d point to Europe in Europe, a very choppy first quarter and we saw an acceleration of softness inherently. The comparables on Asia also contributed to a little bit of the mix impact on volumes in the international markets. We expected what you saw at Harris. On the Americas side, I know we had tough comps going into the quarter. But I would say a little bit on the consumables side, we saw some accelerated softness, particularly on the heavy industries. When you look to the OEM production schedules, we saw that, we had some pressure on that as we progress throughout the first quarter. So those are some of the drivers.
And then when we talk about not changing our full year assumptions, on both the sales — organic sales assumption, as well as margins, our margins are stronger than we expected. But on the organic side, we continue to have very strong orders, backlog and automation, and that’s what we pointed to into the second quarter and the back half. And so we’re maintaining — we haven’t changed our assumptions, but we’ll continue to monitor, as you’ve seen in the short-cycle activity of our business. We are optimistic. When you look at key macro measures like the PMI in the U.S., although conversely, you see that same pressure on the contraction side on industrial and PMIs in Europe, but that’s what’s driving the conversation.
Mig Dobre: Just a follow-up on this, if I may. The part that I struggle with is we just heard from the likes of Caterpillar. We’re going to hear from the ag OEMs. It certainly seems like machinery production is going to be pressured. So this is not just a Q1 event. And in your slides here, you’re even talking about construction and infrastructure being down mid-single digit, which I found that to be a little bit surprising personally. So again, as you’re looking at your end markets, and I recognize the comment on automation, and I’m comfortable with that. But as you’re looking at your core business, whether it’s equipment or consumables, where do you see those signs of incremental stabilization, which verticals?
Gabriel Bruno: Well, I would just emphasize, again, capital investment is strong. And there’s — we always have the challenging comps between the timing of projects quarter-to-quarter. I think the key driver in the short term is navigating production schedules with key OEMs, and the like that you mentioned already. And that’s a function of potentially some destocking in the markets. And so that drives the level of consumable activity. So still strong in terms of long-term investment in areas of productivity and the equipment automation side, but navigating production schedules are pretty important from an OEM standpoint, short term.