領先汽車配件 (AAP) 2021 Q4 法說會逐字稿

Welcome to the Advance Auto Parts Fourth Quarter and Full Year 2021 Conference Call.

歡迎參加 Advance Auto Parts 第四季度和 2021 年全年電話會議。

Before we begin, Elisabeth Eisleben, Senior Vice President, Communications and Investor Relations, will make a brief statement concerning forward-looking statements that will be discussed on this call.

在我們開始之前，通信和投資者關係高級副總裁 Elisabeth Eisleben 將就本次電話會議中討論的前瞻性陳述發表簡短聲明。

Good morning, and thank you for joining us to discuss our Q4 and full year 2021 results as well as our 2022 outlook that we highlighted in our earnings release yesterday.

早上好，感謝您加入我們討論我們的第四季度和 2021 年全年業績以及我們在昨天的收益發布中強調的 2022 年展望。

I'm joined by Tom Greco, our President and Chief Executive Officer; and Jeff Shepherd, our Executive Vice President and Chief Financial Officer. Following their prepared remarks, we will turn our attention to answering your questions.

我們的總裁兼首席執行官 Tom Greco 也加入了我的行列；和我們的執行副總裁兼首席財務官 Jeff Shepherd。在他們準備好的評論之後，我們將把注意力轉向回答您的問題。

Before we begin, please be advised that our remarks today may contain forward-looking statements. All statements other than statements of historical fact are forward-looking statements, including, but not limited to, statements regarding our initiatives, plans, projections and future performance. Actual results could differ materially from those projected or implied by the forward-looking statements. Additional information about factors that could cause actual results to differ can be found under the captions, Forward-looking Statements and Risk Factors in our most recent annual report on Form 10-K and subsequent filings made with the commission.

在我們開始之前，請注意，我們今天的言論可能包含前瞻性陳述。除歷史事實陳述外，所有陳述均為前瞻性陳述，包括但不限於關於我們的舉措、計劃、預測和未來業績的陳述。實際結果可能與前瞻性陳述所預測或暗示的結果存在重大差異。有關可能導致實際結果不同的因素的更多信息，請參閱我們最近的 10-K 表格年度報告和隨後向委員會提交的文件中的標題、前瞻性陳述和風險因素。

Now let me turn the call over to Tom Greco.

現在讓我把電話轉給 Tom Greco。

Thanks, Elisabeth, and good morning.

謝謝，伊麗莎白，早上好。

We delivered a strong fourth and final quarter in what resulted in a record-breaking 2021 for Advance Auto Parts. We closed the year with record top line sales, Advance's highest annual adjusted operating income margin expansion since our first year as a public company in 2002 and record adjusted diluted earnings per share. In addition, we returned over $1 billion in cash to our shareholders through a combination of share repurchases and our quarterly cash dividend, which is also a record.

我們在第四季度和最後一個季度實現了強勁的業績，導致 Advance Auto Parts 在 2021 年創紀錄。我們以創紀錄的頂線銷售額結束了這一年，自 2002 年作為上市公司的第一年以來，Advance 的年度調整後營業收入利潤率增長最高，調整後的每股攤薄收益創紀錄。此外，我們通過股票回購和季度現金股息向股東返還了超過 10 億美元的現金，這也是創紀錄的。

Last April, we provided a strategic update focused on our long-term plans to deliver top quartile total shareholder return, or TSR, and we've delivered on this objective in 2021. In discussing our Q4 and full year performance as well as our outlook for 2022, Jeff and I will reference the same 4 drivers of this TSR performance we outlined in that meeting: first, build an ownership culture; second, grow faster than the market; third, capitalize on our unique margin expansion opportunity; and fourth, return a substantial amount of cash to shareholders. I'd like to begin by thanking the entire Advance team and Carquest Independents for helping us build an ownership culture and delivering the strong results we are about to review.

去年 4 月，我們提供了一份戰略更新，重點關注我們實現最高四分之一股東總回報 (TSR) 的長期計劃，我們已經在 2021 年實現了這一目標。在討論我們的第四季度和全年業績以及我們的前景時對於 2022 年，Jeff 和我將參考我們在那次會議中概述的 TSR 績效的 4 個驅動因素：首先，建立所有權文化；二是增長快於市場；第三，利用我們獨特的利潤率擴張機會；四是向股東返還大量現金。首先，我要感謝整個 Advance 團隊和 Carquest Independents 幫助我們建立所有權文化並提供我們即將審查的強大結果。

As we look back on the past 2 years of managing through a global pandemic, nothing has been more important to us than the health, safety and well-being of our team members and customers. The investments we've made enable us to keep infection rates at AAP below the national averages. In addition, we believe the consistency of our words and actions managing through COVID-19 enable us to build trust during a defining moment for companies. Improving organizational health has never been more important amidst a labor market where people have more choices than ever in terms of where, when and how they work.

當我們回顧過去兩年在全球大流行中的管理時，對我們來說，沒有什麼比我們團隊成員和客戶的健康、安全和福祉更重要的了。我們所做的投資使我們能夠將感染率保持在低於全國平均水平的 AAP。此外，我們相信我們通過 COVID-19 管理的言行一致，使我們能夠在公司的決定性時刻建立信任。在勞動力市場中，改善組織健康從未如此重要，人們在工作地點、時間和方式方面擁有比以往更多的選擇。

We fundamentally believe that when we take care of our team members, they, in turn, will take care of our customers, resulting in strong shareholder returns. Our team members are critical to our customer value proposition. They build enduring relationships with customers. They work together as a team across markets to serve customers. And throughout the pandemic, they fulfilled surging demand for customers. They also navigated this challenging environment to welcome new customers, grow our business with existing customers and train new AAP team members.

我們從根本上相信，當我們照顧好我們的團隊成員時，他們反過來也會照顧我們的客戶，從而為股東帶來豐厚的回報。我們的團隊成員對我們的客戶價值主張至關重要。他們與客戶建立持久的關係。他們作為一個跨市場的團隊一起工作，為客戶服務。在整個大流行期間，他們滿足了客戶激增的需求。他們還在這個充滿挑戰的環境中駕馭新客戶，與現有客戶一起發展我們的業務，並培訓新的 AAP 團隊成員。

Meanwhile, because our team members are so vitally important to our long-term sustainable growth at Advance, we continue to invest in them and in our business despite the pandemic. This includes investments in our differentiated Fuel the Frontline stock ownership program, IT infrastructure, supply chain, stores, independent partners and in leading digital capabilities to help our team better serve customers in the future.

同時，由於我們的團隊成員對我們在 Advance 的長期可持續增長至關重要，因此儘管發生了大流行，我們仍繼續對他們和我們的業務進行投資。這包括對我們差異化的 Fuel the Frontline 股票所有權計劃、IT 基礎設施、供應鏈、商店、獨立合作夥伴以及領先的數字能力的投資，以幫助我們的團隊在未來更好地為客戶服務。

In summary, we're incredibly proud and thankful for the progress our team members and the independent partners made throughout the past 2 years to strengthen and build an ownership culture here at Advance.

總而言之，我們非常自豪和感謝我們的團隊成員和獨立合作夥伴在過去 2 年中為在 Advance 加強和建立所有權文化所取得的進步。

Shifting to our Q4 results, and as a reminder, we were lapping a 53rd week in the previous year. In our press release, you'll find detailed summaries of our 2021 results compared with 2020 on a like-for-like 12- and 52-week basis. In our remarks today, we'll be measuring our performance apples-to-apples. In other words, Q4 2021 will be compared to the relevant 12 weeks in 2020, and the 52 weeks of 2021 will be compared with the relevant 52 weeks in 2020.

轉向我們的第四季度業績，提醒一下，我們在前一年已經是第 53 週了。在我們的新聞稿中，您將找到我們 2021 年與 2020 年相比的 12 周和 52 週結果的詳細摘要。在我們今天的講話中，我們將逐一衡量我們的表現。換言之，2021 年第 4 季度將與 2020 年的相關 12 週進行比較，而 2021 年的 52 週將與 2020 年的相關 52 週進行比較。

In Q4, we were able to once again comp the comp, delivering comparable store sales growth of 8.2%, or 12.9% on a 2-year stack. Our adjusted operating margin rate expanded 96 basis points in the quarter, and adjusted earnings per share grew by 35.4% to $2.07.

在第四季度，我們再次實現了比較，實現了 8.2% 的可比商店銷售額增長，或 12.9% 的 2 年堆棧。我們調整後的營業利潤率在本季度擴大了 96 個基點，調整後的每股收益增長了 35.4% 至 2.07 美元。

For the full year, we delivered double-digit comp sales growth of 10.7%, and 13.1% on a 2-year stack. Adjusted operating income margin rate of 9.6% was up 159 basis points, resulting in adjusted EPS of $12.02 which increased nearly 48%.

全年，我們實現了兩位數的複合銷售額增長 10.7%，兩年累計增長 13.1%。調整後的營業收入利潤率為 9.6%，上升了 159 個基點，調整後的每股收益為 12.02 美元，增長了近 48%。

Shifting to the second TSR driver we outlined last April, grow faster than the market. We said many times that the key to this business is to ensure we have the right part in the right place at the right time to deliver on the benefits of availability, care and speed. To build competitive advantage, we ask ourselves, how do we leverage our diversified asset base? And what can Advance offer that sets us apart?

轉向我們去年 4 月概述的第二個 TSR 驅動因素，增長速度快於市場。我們多次說過，這項業務的關鍵是確保我們在正確的時間將正確的零件放在正確的位置，以實現可用性、護理和速度的好處。為了建立競爭優勢，我們問自己，我們如何利用我們多元化的資產基礎？ Advance 能提供什麼讓我們與眾不同？

In terms of availability, it's about leveraging our industry-leading assortment of national and OE brands, while building powerful, trusted owned brands like DieHard and Carquest. When we talk about care, it's about how we provide a superior and more personalized online, in-store and in-garage experience for customers. In terms of speed, it's about integrating digital and physical assets to serve our customers quickly through our Advance Same Day suite of services. Delivering speed now includes opening new stores on the strength of an improved customer value proposition.

在可用性方面，它是關於利用我們行業領先的國家和 OE 品牌品種，同時建立強大的、值得信賴的自有品牌，如 DieHard 和 Carquest。當我們談論關懷時，它是關於我們如何為客戶提供卓越和更加個性化的在線、店內和車庫體驗。在速度方面，它是關於整合數字資產和實物資產，通過我們的 Advance Same Day 服務套件快速為我們的客戶提供服務。交付速度現在包括利用改進的客戶價值主張開設新店。

We made progress in each of these areas in Q4, and our category sales growth was led by brakes, motor oil and filters. Regionally, our performance was once again led by the Southwest and West regions, which led our growth most of the year. In terms of channels, professional led the way once again in Q4 with double-digit comp sales growth, with DIY omnichannel delivering mid-single-digit comp growth.

我們在第四季度在這些領域都取得了進展，我們的類別銷售增長由制動器、機油和濾清器引領。從區域來看，我們的業績再次由西南和西部地區領跑，這在一年的大部分時間裡引領了我們的增長。在渠道方面，專業人士在第四季度再次領跑，實現了兩位數的銷售額增長，DIY 全渠道實現了中個位數的銷售額增長。

Throughout 2021, our professional customers continue to navigate significant COVID-19 labor and global supply chain challenges. As a result, our team stepped up to help them in a time of great need. This includes providing world-class training from our Carquest Technical Training Institute by delivering virtual courses in 2021 in an innovative format that provides technicians a live interactive learning experience.

整個 2021 年，我們的專業客戶繼續應對 COVID-19 勞動力和全球供應鏈的重大挑戰。因此，我們的團隊在他們急需幫助的時候挺身而出。這包括通過我們的 Carquest 技術培訓學院提供世界一流的培訓，在 2021 年以創新的形式提供虛擬課程，為技術人員提供實時互動學習體驗。

In terms of sales growth, our strategic accounts led the way in Q4. In addition, we crossed 14,000 TechNet to close the year, and improvements made in our MyAdvance digital platform led to the highest online B2B penetration rate ever.

在銷售增長方面，我們的戰略客戶在第四季度處於領先地位。此外，我們在今年結束時突破了 14,000 個 TechNet，我們的 MyAdvance 數字平台的改進導致了有史以來最高的在線 B2B 滲透率。

We expanded owned brands with great customer acceptance, including a significant increase in distribution of DieHard batteries in pro garages throughout North America.

我們擴大了自有品牌，客戶接受度很高，包括在整個北美的專業車庫中顯著增加了 DieHard 電池的分銷。

Our Carquest Independents also had a very strong year. In 2021, we welcomed a record 75 new independent locations and remain excited about the continued growth of this business. Our track record of growing sales and profitability for independents continues to attract new partners to the Carquest program.

我們的 Carquest Independents 也度過了非常強勁的一年。 2021 年，我們迎來了創紀錄的 75 個新的獨立地點，並對這項業務的持續增長感到興奮。我們不斷增長的獨立銷售和盈利能力的記錄繼續吸引新的合作夥伴加入 Carquest 計劃。

Turning to DIY omnichannel. Our success was led by the strength of DieHard. Following the launch of DieHard in mid-2020, DieHard crossed $1 billion in annual sales in 2021. Through effective marketing and PR, we ensured that consumers knew that DieHard was back. Not only did they know DieHard was back, consumers recently rated DieHard as America's most trusted battery brand. Behind the success of DieHard, we've demonstrated our ability to build brands. By strengthening the DieHard, Advance and Carquest brands, we not only build customer loyalty, but we also build pricing power.

轉向 DIY 全渠道。我們的成功是由 DieHard 的力量引領的。繼 2020 年中推出《DieHard》後，《DieHard》在 2021 年的年銷售額突破了 10 億美元。通過有效的營銷和公關，我們確保消費者知道《DieHard》又回來了。他們不僅知道 DieHard 回來了，消費者最近還將 DieHard 評為美國最值得信賴的電池品牌。 DieHard 成功的背後，展示了我們打造品牌的能力。通過加強 DieHard、Advance 和 Carquest 品牌，我們不僅建立了客戶忠誠度，還建立了定價能力。

In addition, we're beginning to increase DieHard product offerings with DieHard power tools launched in Q4 and DieHard hand tools in the font half of 2022. We're also focused on leading in product innovation. As an example, we were first to market with an enhanced flooded battery in 2021, which carries an attractive 4-year warranty. And yesterday, we announced the exciting news that DieHard has received formal certification from UL as the first automotive battery to achieve one of their distinguished validations. UL is a globally recognized nonprofit organization dedicated to the advancement of a safer and environmentally sustainable future. DieHard AGM batteries are now the first and only global automotive battery to receive UL validation within the circularity or closed-loop or closed-cycle space. This notable validation is a result of years of work between Advance and our strategic manufacturing partner, Clarios.

此外，我們開始增加 DieHard 產品供應，在 Q4 推出 DieHard 電動工具，在 2022 年下半年推出 DieHard 手動工具。我們還專注於產品創新的領先地位。例如，我們在 2021 年率先推出了增強型富液電池，該電池具有有吸引力的 4 年保修期。昨天，我們宣布了令人振奮的消息，即 DieHard 已獲得 UL 的正式認證，成為首個通過其傑出驗證的汽車電池。 UL 是全球公認的非營利組織，致力於推動更安全和環境可持續發展的未來。 DieHard AGM 電池現在是第一個也是唯一一個在循環性或閉環或閉環空間內獲得 UL 驗證的全球汽車電池。這一顯著的驗證是 Advance 與我們的戰略製造合作夥伴 Clarios 多年合作的結果。

Our disciplined execution of battery core returns along with the proprietary manufacturing process allows for continual reuse of environmentally sensitive raw materials. Simply put, this means that new DieHard batteries come from recycling old DieHard batteries, which contributes to a circular economy and environmental sustainability. DieHard is America's most trusted auto battery. And not only is it reliable, durable and powerful, but it also stands for innovation. While we're pleased with our early success behind DieHard, we're just getting started on building and strengthening this powerful brand.

我們嚴格執行電池芯退貨以及專有的製造工藝，可以持續重複使用對環境敏感的原材料。簡單地說，這意味著新的 DieHard 電池來自回收舊的 DieHard 電池，這有助於循環經濟和環境可持續性。 DieHard 是美國最值得信賴的汽車電池。它不僅可靠、耐用且功能強大，而且還代表著創新。雖然我們對 DieHard 背後的早期成功感到高興，但我們才剛剛開始建立和加強這個強大的品牌。

We also made progress driving DIY loyalty through Speed Perks. We added new Speed Perks members throughout the year, finishing at 12.6 million while increasing loyalty and share of wallet with existing customers. To further strengthen loyalty, we recently announced a new benefit for Speed Perks members, Gas Rewards. Fuel savings has been a request of Speed Perks customers, and we're delivering, partnering with Shell to help customers save at the pump while driving further brand loyalty and share of wallet.

我們還通過 Speed Perks 在提高 DIY 忠誠度方面取得了進展。我們全年增加了新的 Speed Perks 會員，最終達到 1260 萬，同時提高了現有客戶的忠誠度和錢包份額。為了進一步加強忠誠度，我們最近宣布了一項針對 Speed Perks 會員的新福利，即 Gas Rewards。節省燃油一直是 Speed Perks 客戶的要求，我們正在與殼牌合作，幫助客戶節省燃油，同時提高品牌忠誠度和錢包份額。

Finally, our execution in stores continues to improve, and we remain focused on strengthening the customer experience and increasing Net Promoter Score. Behind the strengthened customer value proposition, we opened 31 stores and 8 Worldpac branches in 2021 as we began to ramp market expansion. This includes our first 7 stores converted in California and after some disappointing delays due to COVID-19. As you saw in our release yesterday, we expect to open an additional 125 to 150 new stores and branches in 2022.

最後，我們在門店的執行力不斷提高，我們仍然專注於加強客戶體驗和提高淨推薦值。在強化客戶價值主張的背後，隨著我們開始加速市場擴張，我們在 2021 年開設了 31 家門店和 8 家 Worldpac 分店。這包括我們在加利福尼亞州改建的前 7 家商店，以及由於 COVID-19 造成的一些令人失望的延誤。正如您在昨天的新聞稿中看到的那樣，我們預計 2022 年將再開設 125 至 150 家新店和分店。

In terms of our third TSR driver, we believe our opportunity to further expand margins is unique within our space. Our Q4 operating income margin expansion was led by gross margin improvement, driven by category management. This incorporates strategic pricing, owned brand expansion and strategic sourcing, culminating in a disciplined execution plan.

就我們的第三個股東總回報驅動因素而言，我們相信我們進一步擴大利潤率的機會在我們的領域內是獨一無二的。在品類管理的推動下，我們的第四季度營業收入利潤率增長是由毛利率改善帶動的。這包括戰略定價、自有品牌擴張和戰略採購，最終形成一個有紀律的執行計劃。

Our strategic pricing capabilities have improved considerably following the implementation of a new technology platform in 2020. Our new tools enable us to eliminate unproductive discounts and react quickly to cost increases related to inflation. We incorporated advanced analytics, competitive intelligence, price elasticity and customer segmentation into our category plans. Increased owned brand penetration also played a meaningful role in the quarter, driving margin expansion. We transitioned tens of thousands of SKUs within undercar and engine management with our in-stocks improving throughout the quarter.

隨著 2020 年新技術平台的實施，我們的戰略定價能力得到了顯著提高。我們的新工具使我們能夠消除非生產性折扣，並對與通貨膨脹相關的成本增加做出快速反應。我們將高級分析、競爭情報、價格彈性和客戶細分納入我們的品類計劃。自有品牌滲透率的提高在本季度也發揮了重要作用，推動了利潤率的擴大。我們在車底和發動機管理中轉換了數以萬計的 SKU，我們的庫存在整個季度都有所改善。

Separately, we continue to transform our enterprise-wide supply chain infrastructure. First, we made further progress on integrating the assortment, supply chain and technology platforms within Worldpac and Autopart International during Q4. By year-end, we've consolidated 55% of AI locations onto the Worldpac tech stack. Getting to a single supply chain and tech stack for our pure-play professional business improves customer service, drives incremental sales and increases margins. We expect this transition to be completed by midyear.

另外，我們繼續改造我們的企業範圍的供應鏈基礎設施。首先，我們在第四季度在 Worldpac 和 Autopart International 內整合分類、供應鍊和技術平台方面取得了進一步進展。到年底，我們已將 55% 的 AI 位置整合到 Worldpac 技術堆棧中。為我們的純專業業務建立單一的供應鍊和技術堆棧可改善客戶服務，推動增量銷售並增加利潤。我們預計這一過渡將在年中完成。

In terms of the integration of our Advance and Carquest supply chains, we completed the rollout of cross-banner replenishment. Our entire Advance and Carquest network of stores are now serviced by a freight logical distribution center, which reduced our annual miles driven from DC to store by approximately 14% in 2021.

在Advance和Carquest供應鏈的整合方面，我們完成了跨旗補貨的上線。我們的整個 Advance 和 Carquest 商店網絡現在由一個貨運邏輯配送中心提供服務，這使我們從 DC 到商店的年度里程在 2021 年減少了約 14%。

Our next big step is to get to a single warehouse management system or WMS. As of December '21, we've transitioned 44% of our distribution center network as measured by unit volume to the new WMS. As we complete WMS in DC, we followed up with the implementation of our labor management system, which drives further savings through enhanced performance pay. The full run rate benefits of WMS and LMS remain on track to be realized by the end of 2023.

我們的下一個重要步驟是使用單一的倉庫管理系統或 WMS。截至 21 年 12 月，我們已將 44% 的配送中心網絡（按單位體積衡量）轉換為新的 WMS。隨著我們在 DC 完成 WMS，我們跟進實施了我們的勞動力管理系統，該系統通過提高績效工資來進一步節省成本。 WMS 和 LMS 的全部運行率優勢仍有望在 2023 年底實現。

Finally, we continue to look for ways within our supply chain to optimize and modernize our network. We're excited about the transition to our new San Bernardino and Toronto DCs that we announced last quarter. Once fully operational, San Bernardino will be the central location for supplier shipments and help facilitate rapid store and e-commerce delivery in the Western United States. As we ramp the opening of this new DC, we recently announced to our team members that we'll be consolidating our operations from our much older Riverside DC to this new facility. Similarly, our Toronto DC enables the consolidation of 2 distribution centers, 1 Carquest and 1 Worldpac, to a single and much larger facility. This will significantly improve our availability in the very large Ontario market.

最後，我們繼續在我們的供應鏈中尋找方法來優化和現代化我們的網絡。我們對上個季度宣布的向新的聖貝納迪諾和多倫多特區的過渡感到興奮。一旦全面投入運營，聖貝納迪諾將成為供應商發貨的中心地點，並有助於促進美國西部的快速商店和電子商務交付。隨著我們加快這個新 DC 的開放，我們最近向我們的團隊成員宣布，我們將把我們的業務從更老的 Riverside DC 整合到這個新設施。同樣，我們的多倫多配送中心可以將 2 個配送中心、1 個 Carquest 和 1 個 Worldpac 整合到一個更大的設施中。這將顯著提高我們在安大略省非常大的市場中的可用性。

Shifting to SG&A. We're pleased to report that we exceeded our previously stated goal of $1.8 million in sales per store in 2021. As we move into 2022, we plan to build on this achievement behind continued improvement in sales per store, along with the disciplined execution of profit per store productivity initiatives. This includes automating tasks in stores to enable more customer-facing time and leveraging technology that integrates internal driver availability with the gig economy.

轉向SG&A。我們很高興地報告，我們在 2021 年超過了之前設定的每家商店銷售額 180 萬美元的目標。隨著我們進入 2022 年，我們計劃在這一成就的基礎上繼續提高每家商店的銷售額，同時嚴格執行每個商店生產力計劃的利潤。這包括將商店中的任務自動化，以增加面向客戶的時間，並利用將內部驅動程序可用性與零工經濟相結合的技術。

In addition to improving sales and profit per store, we completed our finance ERP integration. The health of our balance sheet has improved, and we expect to realize the full run rate of savings in 2022. We'll continue to build on this integrated platform to deliver further improvements in the customer experience and reduce cost.

除了提高每家商店的銷售額和利潤外，我們還完成了財務 ERP 集成。我們的資產負債表的健康狀況有所改善，我們預計將在 2022 年實現全面的節約運行率。我們將繼續在這個集成平台的基礎上進一步改善客戶體驗並降低成本。

Finally, we're building an enviable track record on team member safety. For the full year 2021, we saw a 10% reduction in our total recordable injury rate versus 2020, and our lost time injury rate reduced by 20%. Our frequency rate on both metrics is now close to 1/2 of what it was 5 years ago.

最後，我們正在建立令人羨慕的團隊成員安全記錄。與 2020 年相比，2021 年全年，我們的總可記錄工傷率下降了 10%，誤工工傷率下降了 20%。我們在這兩個指標上的頻率現在接近 5 年前的 1/2。

In summary, Advance is a very different company than we were several years ago. We've strengthened our core customer value proposition, integrated many parts of the company, enhanced our diversified asset base and significantly improved execution. During 2021, we also conducted our first materiality assessment to sharpen our focus and prioritize our ESG agenda. We'll share additional information about the results of this assessment in our upcoming corporate sustainability report.

總之，Advance 是一家與幾年前截然不同的公司。我們加強了我們的核心客戶價值主張，整合了公司的許多部門，增強了我們多元化的資產基礎，並顯著提高了執行力。 2021 年，我們還進行了首次重要性評估，以突出我們的重點並優先考慮我們的 ESG 議程。我們將在即將發布的企業可持續發展報告中分享有關此評估結果的更多信息。

While we're proud of our 2021 performance, we see plenty of runway in 2022 to further drive total shareholder return. As you saw in our press release yesterday, we introduced our 2022 guidance. This contemplates the continuation of our top line growth and margin expansion initiatives as well as the following external tailwinds: an aging vehicle population with several million vehicles entering the sweet spot as availability of new cars continues to lag historical trends; an ongoing and gradual recovery in miles driven, which has still not reached 2019 levels; and the outperformance of our professional business compared to DIY for reasons we've discussed in the past.

雖然我們為 2021 年的表現感到自豪，但我們看到 2022 年有很多跑道可以進一步推動股東總回報。正如您在昨天的新聞稿中看到的那樣，我們介紹了 2022 年指南。這考慮了我們繼續保持收入增長和利潤率擴張計劃以及以下外部順風：隨著新車的供應繼續落後於歷史趨勢，汽車數量老齡化，數百萬輛汽車進入最佳狀態；行駛里程持續逐步恢復，但仍未達到 2019 年的水平；由於我們過去討論過的原因，我們的專業業務與 DIY 相比表現出色。

Our guide also takes into consideration certain factors that have changed since we initially shared our 3-year strategic plan. This includes the acceleration of broad-based inflation across the economy and the lapping of significant stimulus dollars, both of which could negatively impact our core customer; within our industry, inflationary pressures across commodities, wages and transportation.

我們的指南還考慮了自我們最初分享我們的 3 年戰略計劃以來已經發生變化的某些因素。這包括整個經濟體廣泛通脹的加速以及大量刺激資金的出台，這兩者都可能對我們的核心客戶產生負面影響；在我們的行業內，商品、工資和運輸方面的通脹壓力。

Overall, we're very encouraged by the resiliency of our industry in 2021 and the momentum we're building behind the disciplined execution of our strategic plan.

總體而言，我們對 2021 年行業的彈性以及我們在嚴格執行戰略計劃背後所建立的勢頭感到非常鼓舞。

Jeff will now go deeper on our financials, provide an update on our fourth TSR driver, a substantial return of cash to shareholders, and discuss our 2022 guidance. Jeff?

傑夫現在將更深入地了解我們的財務狀況，提供有關我們第四個股東總回報驅動因素的最新信息，向股東返還大量現金，並討論我們的 2022 年指導方針。傑夫?

Thanks, Tom, and good morning. I'd also like to thank our team members for their dedication this past year to care for our customers and each other and deliver record results.

謝謝，湯姆，早上好。我還要感謝我們的團隊成員在過去一年中的奉獻精神，他們關心我們的客戶和彼此，並取得了創紀錄的成果。

Before I review our financial results, I also wanted to remind you, 2020 included an additional week. To provide a better year-over-year comparison, the impact of this additional week has been excluded from our discussion of previous year. Please refer to our earnings release for the full impact of the additional week in 2020.

在我查看我們的財務業績之前，我還想提醒您，2020 年包括額外的一周。為了提供更好的同比比較，我們對上一年的討論已經排除了這一額外一周的影響。請參閱我們的收益發布，了解 2020 年額外一周的全部影響。

In Q4, our net sales of $2.4 billion increased 8.6% compared with Q4 of 2020. Adjusted gross profit margin expanded 145 basis points to 46.8%, driven primarily by improvements in category management, led by strategic pricing, inventory related and owned brand expansion. This was partially offset by ongoing inflationary costs, lapping shrink benefits from Q4 2020 and unfavorable channel mix.

第四季度，我們的淨銷售額為 24 億美元，與 2020 年第四季度相比增長 8.6%。調整後的毛利率增長 145 個基點至 46.8%，主要受戰略定價、庫存相關和自有品牌擴張帶動的品類管理改善的推動。這部分被持續的通脹成本、2020 年第四季度的縮減收益和不利的渠道組合所抵消。

Same-SKU inflation in Q4 2021 increased 5%. Additionally, despite today's inflationary environment and global supply chain pressures, we're pleased that we delivered slight supply chain leverage in Q4 and for the full year.

2021 年第四季度的相同 SKU 通脹增加了 5%。此外，儘管目前存在通脹環境和全球供應鏈壓力，但我們很高興我們在第四季度和全年實現了輕微的供應鏈槓桿。

Our Q4 adjusted SG&A was $946 million or 39.5% of net sales. This compares to 39% of net sales in Q4 of 2020. Like Q3, this was primarily driven by inflationary headwinds within labor as well as increased incentive compensation behind the record-setting results our team delivered.

我們第四季度調整後的 SG&A 為 9.46 億美元，占淨銷售額的 39.5%。相比之下，2020 年第四季度淨銷售額的 39%。與第三季度一樣，這主要是由勞動力內部的通脹逆風以及我們團隊創造的創紀錄業績背後增加的激勵薪酬推動的。

As expected, incremental costs associated with the opening of our California stores ahead of planned revenue continued to be a headwind to SG&A in the quarter. These headwinds were partially offset by a year-over-year decrease in COVID-19-related expenses.

正如預期的那樣，與我們在計劃收入之前開設加州商店相關的增量成本在本季度繼續成為 SG&A 的逆風。這些不利因素被 COVID-19 相關費用的同比下降部分抵消。

Our Q4 adjusted operating income was $177 million, an increase of 24.8% compared with Q4 2020. Our Q4 adjusted OI margin improved 96 basis points to 7.4%. Our adjusted diluted earnings per share of $2.07 increased 35.4% compared with Q4 2020.

我們第四季度調整後的營業收入為 1.77 億美元，與 2020 年第四季度相比增長 24.8%。我們第四季度調整後的 OI 利潤率提高了 96 個基點至 7.4%。與 2020 年第四季度相比，我們調整後的攤薄後每股收益為 2.07 美元，增長了 35.4%。

For the full year, our net sales were a record $11 billion and increased 10.6% compared with 2020. Our adjusted gross profit increased 14.9%, and adjusted gross profit margin expanded 175 basis points. Adjusted SG&A expenses for the full year 2021 increased 11% compared to 2020. On a rate basis, adjusted SG&A deleveraged 16 basis points to 36.4% of net sales. While we reduced our COVID-19-related expenses by $28 million in 2021, we continue to prioritize the health and safety of our team members and customers.

全年，我們的淨銷售額達到創紀錄的 110 億美元，與 2020 年相比增長 10.6%。調整後的毛利潤增長了 14.9%，調整後的毛利率擴大了 175 個基點。與 2020 年相比，2021 年全年調整後的 SG&A 費用增加了 11%。按比率計算，調整後的 SG&A 去槓桿化 16 個基點，達到淨銷售額的 36.4%。雖然我們在 2021 年將與 COVID-19 相關的費用減少了 2800 萬美元，但我們仍將繼續優先考慮團隊成員和客戶的健康和安全。

Our full year 2021 adjusted operating income increased 32.5% to $1.1 billion. On a rate basis, our adjusted OI margin expanded 159 basis points to 9.6%. In addition, we delivered record adjusted diluted earnings per share of $12.02.

我們 2021 年全年調整後的營業收入增長 32.5% 至 11 億美元。在利率基礎上，我們調整後的 OI 利潤率擴大 159 個基點至 9.6%。此外，我們實現了創紀錄的調整後每股攤薄收益 12.02 美元。

Our 2021 capital expenditures were $290 million. Our free cash flow for the year increased $121 million or 17.2% year-over-year to $823 million driven by improved operating performance.

我們 2021 年的資本支出為 2.9 億美元。由於經營業績的改善，我們今年的自由現金流同比增加了 1.21 億美元或 17.2% 至 8.23 億美元。

As Tom mentioned, we completed our finance ERP implementation in 2021. We began to see some benefits in 2021, which partially contributed to the approximately 400 basis point improvement in our AP ratio year-over-year. We expect to begin seeing the full run rate of savings this year.

正如湯姆所說，我們在 2021 年完成了財務 ERP 的實施。我們在 2021 年開始看到一些好處，這在一定程度上促成了我們的 AP 比率同比提高了約 400 個基點。我們預計今年將開始看到全面的節省率。

To close out our discussion on our TSR drivers, we returned a record $1 billion in 2021 to our shareholders through a combination of share repurchases and our quarterly cash dividend. In line with our capital allocation priorities and confidence in the continued robust cash generation of our business, our Board recently approved a 50% increase to our quarterly cash dividend to $1.50 per share. This supports our stated objective of a 35% to 45% dividend payout ratio. In addition, our Board also approved an additional $1 billion authorization to our existing share repurchase program, which at the end of 2021 was $545 million. We're confident in our ability to generate meaningful cash flow and committed to a balanced return of excess cash to shareholders.

為了結束我們對 TSR 驅動因素的討論，我們在 2021 年通過股票回購和季度現金股息向股東返還了創紀錄的 10 億美元。根據我們的資本配置優先事項和對我們業務持續強勁的現金產生的信心，我們的董事會最近批准將我們的季度現金股息增加 50% 至每股 1.50 美元。這支持了我們既定的 35% 至 45% 的股息支付率目標。此外，我們的董事會還批准了對我們現有股票回購計劃的額外 10 億美元授權，截至 2021 年底為 5.45 億美元。我們對我們產生有意義的現金流的能力充滿信心，並致力於將超額現金平衡地回報給股東。

In consideration of the factors Tom discussed surrounding our 2022 outlook, our guidance includes: net sales of $11.2 billion to $11.5 billion; comparable store sales of 1% to 3%; adjusted operating income margin of 10% to 10.2%; an income tax rate of 24% to 26%; adjusted diluted earnings per share of $13.20 to $13.75 based on our outstanding share count as of yesterday; capital expenditures of $300 million to $350 million; a minimum of $775 million of free cash flow; share repurchases of $500 million to $700 million; and 125 to 150 new store and branch openings. We're encouraged that through the first 4 weeks of 2022, our comp sales are running above the top end of our full year guidance.

考慮到湯姆圍繞我們的 2022 年展望討論的因素，我們的指導包括：淨銷售額 112 億美元至 115 億美元；可比商店銷售額為 1% 至 3%；調整後的營業利潤率為 10% 至 10.2%；所得稅稅率為 24% 至 26%；根據我們截至昨天的流通股數，調整後的每股攤薄收益為 13.20 美元至 13.75 美元； 3億至3.5億美元的資本支出；至少7.75億美元的自由現金流； 5億至7億美元的股票回購；以及 125 至 150 家新店和分店開業。我們感到鼓舞的是，到 2022 年的前 4 週，我們的複合銷售額高於全年指導的上限。

Finally, our guidance for new store openings include the California stores that were delayed last year primarily due to permitting challenges resulting from the pandemic. This guidance includes new locations across all banners in both the U.S. and Canada that exclude independent locations. Once again, I'd like to thank our team members for their continued dedication as we build on the momentum of our 2021 results.

最後，我們對新店開業的指導包括去年因大流行帶來的許可挑戰而推遲的加州商店。本指南包括美國和加拿大所有橫幅的新位置，不包括獨立位置。我要再次感謝我們的團隊成員在我們建立 2021 年業績勢頭時的持續奉獻。

With that, let's open the phone lines to questions. Operator?

有了這個，讓我們打開電話線來提問。操作員？

(Operator Instructions) Your first question comes from the line of Chris Horvers from JPMorgan.

（操作員說明）您的第一個問題來自摩根大通的 Chris Horvers。

Talking about your guidance, the 1% to 3% comp that's bracketing the low end of your 2% to 4% multiyear algo, and you're flowing through 50 basis points. At the low end of that, too, I felt it would have been like more like closer to 100 basis points. So is there something that's changing in the environment to your competitors' pricing commentary? Is it conservatism? Is it changing in terms of your ability to pass through inflation? So I want to get your thoughts on that.

談到你的指導，1% 到 3% 的補償將你的 2% 到 4% 多年算法的低端括起來，你正在流經 50 個基點。在低端，我也覺得它更像是接近 100 個基點。那麼，您的競爭對手的定價評論是否在環境中發生了變化？是保守主義嗎？就你通過通貨膨脹的能力而言，它是否會發生變化？所以我想听聽你對此的看法。

Well, Chris, first of all, I'll give you some color on the sales side, and then Jeff can chime in a little bit on the margin piece.

好吧，克里斯，首先，我會在銷售方面給你一些顏色，然後傑夫可以在邊緣部分插話。

First of all, we're continuing to target growth above the market in '22. Our sales guide for the year reflects an estimate of lower industry growth. Certainly, versus 2021, we're going to see less growth than we saw last year. As we said in our prepared remarks, on the one hand, we see tailwinds for the industry. You've got an aging vehicle population with several million vehicles that's in sweet spot. The new cars are very difficult to get. The availability lags historical trends. And we do expect a gradual recovery in miles driven, which still have not reached 2019 levels.

首先，我們將繼續以 22 年市場以上的增長為目標。我們今年的銷售指南反映了對行業增長放緩的估計。當然，與 2021 年相比，我們的增長速度將低於去年。正如我們在準備好的評論中所說，一方面，我們看到了該行業的順風。你有一個老齡化的汽車人口，有幾百萬輛汽車處於最佳狀態。新車很難買到。可用性滯後於歷史趨勢。我們確實預計行駛里程會逐漸恢復，但仍未達到 2019 年的水平。

At the same time, we're cognizant of potential headwinds for the industry. Following last year, which was record-breaking across the board, it's difficult to predict what the '22 growth rate is going to be this early in the year. As you know, we've seen an acceleration of broad-based inflation across the economy, which recently reached the 40-year high last week basically. So we're also going to have less stimulus dollars in '22 versus '21.

同時，我們意識到該行業的潛在不利因素。繼去年全面破紀錄之後，很難預測今年年初 22 年的增長率會是多少。如您所知，我們已經看到整個經濟體的廣泛通脹加速，最近上週基本達到了 40 年高點。因此，與 21 年相比，我們在 22 年的刺激資金也會減少。

So I'll flip it over to Jeff to talk a little bit about how that translates through to margin. Jeff?

因此，我將把它交給傑夫來談談這如何轉化為保證金。傑夫?

Yes. So just taking that top line sales guide. In terms of our margin expansion, Chris, first of all, our margin expansion initiatives remain on track. But as we talked about in our prepared remarks, the inflation that we're seeing right now is substantially higher than when we develop that strategic plan. So in this early stage of the year, we're mindful of the impact that this will have, not only on the industry demand, as Tom said, but also our cost base, so the cost within the P&L and the impact that inflation could have on all of those various line items in 2022.

是的。因此，只需採用頂級銷售指南即可。就我們的利潤率擴張而言，克里斯，首先，我們的利潤率擴張計劃仍在進行中。但正如我們在準備好的評論中談到的那樣，我們現在看到的通貨膨脹比我們制定戰略計劃時要高得多。因此，在今年年初，我們注意到這不僅會影響行業需求，正如湯姆所說，還會影響我們的成本基礎，因此損益表中的成本以及通貨膨脹可能帶來的影響在 2022 年擁有所有這些不同的項目。

So right now, our plan is to execute our margin expansion initiatives in a disciplined manner. And then as we get further into the year, we'll have a better handle on the impact of the inflation on both industry, industry demand, our consumers as well as our cost base.

所以現在，我們的計劃是以有紀律的方式執行我們的利潤擴張計劃。然後隨著我們進入這一年，我們將更好地處理通貨膨脹對行業、行業需求、我們的消費者以及我們的成本基礎的影響。

So then as a follow-up, as you think about that 10.5% to 12.5% operating margin in 2023, is your commentary on inflation more saying, hey, guys, more likely to be at the low end of that range? Or is your commentary more like, it's just too early in the year, let's not get ahead of ourselves given the uncertainty that lies ahead?

那麼作為後續行動，當您考慮到 2023 年 10.5% 到 12.5% 的營業利潤率時，您對通貨膨脹的評論是否更能說明問題，嘿，伙計們，更有可能處於該範圍的低端？還是您的評論更像是，今年還為時過早，鑑於未來的不確定性，讓我們不要超越自己？

Yes, it's really the latter. We remain confident in delivering long-term targets we provided last April. We talked about what the '22 guide background was. Long term, industry fundamentals are attractive. We're innovating and positioning AAP for long-term success, and we still have a significant TSR opportunity for us. So it's really the latter.

是的，確實是後者。我們仍然有信心實現去年 4 月提出的長期目標。我們討論了 '22 指南背景是什麼。長期來看，行業基本面具有吸引力。我們正在創新和定位 AAP 以獲得長期成功，而且我們仍然擁有重要的 TSR 機會。所以真的是後者。

Your next question comes from the line of Michael Lasser from UBS.

您的下一個問題來自瑞銀的 Michael Lasser。

With 2 of your large competitors making price investment to gain market share in the commercial sector and your comps trailing behind this peer set, how much do you need to invest in price above and beyond what you originally expected in order to sustain your market share?

由於您的 2 個大型競爭對手進行價格投資以獲得商業領域的市場份額，而您的競爭對手落後於該同行，您需要在超出您最初預期的價格上投資多少才能維持您的市場份額？

Well, we've been talking about our category management initiatives for a couple of years now. And strategic pricing, along with increasing owned brand penetration and strategic sourcing are key elements of this plan.

好吧，幾年來我們一直在談論我們的品類管理計劃。戰略定價以及不斷提高的自有品牌滲透率和戰略採購是該計劃的關鍵要素。

So let me provide some color on how we're thinking about our pricing strategy in the professional channel. Three things. First of all, we've been conducting a survey amongst our professional customers for many years. And just to give you a data point from last year's survey, the top 3 variables were availability, ease of doing business and speed of delivery. They were all ranked ahead of price. At the same time, we know competitive pricing is important, and our strategy is rooted in how the pro customer makes decisions. We incorporate an extensive assessment of competitive pricing for each of the pro channels we compete in by category. And the reason we expanded our lower price point, higher-margin, owned brand portfolio was to provide more value price options for our customers.

因此，讓我提供一些關於我們如何考慮我們在專業渠道中的定價策略的顏色。三件事。首先，我們多年來一直在對我們的專業客戶進行調查。為了給您提供去年調查的數據點，排名前 3 位的變量是可用性、開展業務的便利性和交付速度。它們都排在價格之前。同時，我們知道有競爭力的定價很重要，我們的戰略植根於專業客戶的決策方式。我們對按類別競爭的每個專業渠道的競爭定價進行了廣泛的評估。我們擴大較低價格點、較高利潤的自有品牌組合的原因是為我們的客戶提供更多物超所值的價格選擇。

Secondly, during our Investor Day, we highlighted our approach to meeting the unique needs of different pro customers by leveraging our diversified go-to-market asset base. This includes Advance stores, Carquest Independents and Worldpac, which, as you know, is an entirely professional or a pure-play WD. It's important to note that Worldpac has competed with WDs for many years and already has very competitive pricing, which informs our enterprise pro pricing strategy. Worldpac has a different pro model than conventional retail parts stores, and we're keenly aware of the competitive landscape within pro, which is usually very different by category and in some cases, even by part type.

其次，在我們的投資者日期間，我們強調了我們通過利用我們多元化的上市資產基礎來滿足不同專業客戶的獨特需求的方法。這包括 Advance 商店、Carquest Independents 和 Worldpac，如您所知，它們是完全專業或純粹的 WD。值得注意的是，Worldpac 已經與 WDs 競爭多年，並且已經擁有極具競爭力的定價，這為我們的企業專業定價策略提供了依據。 Worldpac 的 pro 模式與傳統的零售零件店不同，我們敏銳地意識到 pro 內部的競爭格局，這通常在類別和某些情況下，甚至在零件類型方面都存在很大差異。

Finally, we've been investing in improving the customer experience through a single parts lookup, technical training and digital assets to improve speed and visibility of delivery. We also provide customized service models, where relevant.

最後，我們一直在投資通過單一零件查找、技術培訓和數字資產來改善客戶體驗，以提高交付速度和可見性。我們還提供相關的定制服務模式。

So in summary, Michael, our comprehensive approach is tailored to the unique needs of what's most important to each customer, and our strategy is working. We grew double digits within pro last year, and we continue to believe our differentiated strategy will deliver profitable growth and margin expansion.

總而言之，邁克爾，我們的綜合方法是針對每個客戶最重要的獨特需求量身定制的，我們的戰略正在奏效。去年我們在專業領域實現了兩位數的增長，我們仍然相信我們的差異化戰略將帶來盈利增長和利潤率擴張。

Okay. My follow-up question is on the inflation discussion. Jeff mentioned that part of the reason why you guided like you did for this year was because of cost inflation. Your SG&A dollars grew 9% in 2021. The Advance has already been experiencing significant operating expense inflation, and now you're suggesting you're mindful of that continuing into 2022. Shouldn't this be more than covered by price increases as the industry historically has typically priced to a full margin? So why would you not be able to recover the cost increases now, whereas the industry has been able to do that in the past?

好的。我的後續問題是關於通貨膨脹的討論。 Jeff 提到，您今年進行指導的部分原因是成本膨脹。您的 SG&A 美元在 2021 年增長了 9%。Advance 已經經歷了顯著的運營費用膨脹，現在您建議您注意這種情況會持續到 2022 年。隨著行業的價格上漲，這不應該超過價格上漲的範圍嗎歷史上通常定價為全額？那麼，為什麼您現在無法收回成本增加，而該行業過去能夠做到這一點？

Yes. Sure. Well, I think, Michael, you're right. The industry has been incredibly rational over periods of inflation. And we have been able to cover cost inflation as it relates to maintaining gross margin rate. As we've talked about in our prepared remarks, as I mentioned earlier, we're seeing record inflation across the P&L. So it's not just product costs inflation. It's not just commodities.

是的。當然。好吧，我認為，邁克爾，你是對的。在通貨膨脹時期，該行業一直非常理性。我們已經能夠彌補與維持毛利率有關的成本通脹。正如我們在準備好的評論中所談到的，正如我之前提到的，我們看到整個損益表出現創紀錄的通脹。因此，不僅僅是產品成本膨脹。這不僅僅是商品。

Just to give you a couple of data points, our 2 largest items on our cost base are product costs and wage inflation. And as we sit here and look at that today, we're expecting those to both be in that mid-single-digit range for 2022 on top of what we've already seen in '21. Product costs is on the same-SKU basis, as you know, but that's fairly significant. So right now, we don't have a model that says our pricing will cover inflation -- will cover the entire P&L. We're confident that pricing, along with our other category management initiatives, will more than offset a gross margin, and then our SG&A initiatives will offset that inflation down in SG&A.

只是給你幾個數據點，我們成本基礎上的兩個最大項目是產品成本和工資通脹。當我們今天坐在這裡看這個時，我們預計這些都將在 2022 年的中個位數範圍內，超過我們在 21 年已經看到的範圍。如您所知，產品成本基於相同的 SKU，但這相當重要。所以現在，我們沒有一個模型說我們的定價將涵蓋通貨膨脹——將涵蓋整個損益。我們相信，定價以及我們的其他類別管理計劃將抵消毛利率，然後我們的 SG&A 計劃將抵消 SG&A 的通脹下降。

Jeff, just to clarify, what does your model suggest that Advance will be a contribution from same-SKU inflation in 2022?

Jeff，澄清一下，您的模型表明 Advance 將是 2022 年相同 SKU 通脹的貢獻是什麼？

Mid-single digits.

中個位數。

Your next question comes from the line of Liz Suzuki from Bank of America.

您的下一個問題來自美國銀行的 Liz Suzuki。

Great. Just a question on the DieHard brand. You're expanding into new categories. And what do you think is the ultimate total addressable market for DieHard? How many categories can you expand into? And what percentage of your sales do you think that could represent?

偉大的。只是關於 DieHard 品牌的問題。您正在擴展到新的類別。你認為 DieHard 最終的潛在市場是什麼？您可以擴展到多少個類別？您認為這可以代表您的銷售額的多少百分比？

Well, first of all, we're thrilled we crossed the $1 billion. I mean, it's not every day that you build a $1 billion brand in a single year. I mean, the brand had really languished, Liz, as you probably know. And we're getting new customers. We're engaging younger consumers. We're seeing really improved awareness amongst all demographics with DieHard, and we've been gaining share within batteries in a terrific 2 years, and we've got a lot of runway yet.

嗯，首先，我們很高興我們超過了 10 億美元。我的意思是，在一年內建立一個價值 10 億美元的品牌並非每天都如此。我的意思是，你可能知道，這個品牌真的很衰弱，Liz。我們正在獲得新客戶。我們正在吸引年輕消費者。我們看到所有人口統計數據對 DieHard 的認識都得到了真正的提高，而且我們在過去的 2 年裡一直在獲得電池市場的份額，而且我們還有很多跑道。

So how we look at DieHard is we -- obviously, the core equity, the bull's eye, if you will, is an automotive battery. But as you extend out into the concentric circles around it, there are ancillary categories where we can extend the brand. And we talked about power tools and hand tools, more to come there. But we believe the DieHard brand is one that we can build out and be a very strong differentiator for us. Our pro customers love the stocking program that we put in place for DieHard batteries. We're continuing to build that out. So lots of room to run with DieHard and more to come on where else we can extend.

所以我們如何看待 DieHard 是我們 - 顯然，核心資產，靶心，如果你願意的話，是汽車電池。但是當你延伸到它周圍的同心圓時，我們可以在輔助類別中擴展品牌。我們談到了電動工具和手動工具，還有更多。但我們相信 DieHard 品牌是我們可以建立並成為我們非常強大的差異化因素的品牌。我們的專業客戶喜歡我們為 DieHard 電池實施的庫存計劃。我們正在繼續構建它。如此多的空間可以與 DieHard 一起運行，還有更多我們可以擴展的地方。

Great. And just one quick follow-up on -- what percentage of your sales do you estimate are for brake fix or general maintenance purposes versus more discretionary categories? And the reason I ask is, as you look at 2020 and 2021 and just the strength in DIY, a lot of which was people spending more time at home, people having stimulus dollars, but how much do you think that DIY strength was bolstered by discretionary categories like accessories?

偉大的。只需快速跟進 - 您估計您的銷售額中有多少百分比用於製動修復或一般維護目的而不是更多可自由支配的類別？我問的原因是，當你看到 2020 年和 2021 年以及 DIY 的實力時，其中很多是人們在家里花更多的時間，人們擁有刺激資金，但你認為 DIY 實力在多大程度上得到了支持配飾等非必需品類？

Well, first of all, there's no question when people have time on their hands, they were doing more with their cars than when they're at home, they basically couldn't sit at home and watch their computer screen and Netflix all day. So we did see a surge there, but I can tell you, the resiliency of what we saw at the height of the pandemic within DIY right up until the fourth quarter has been very encouraging for us. And we're continuing to be pleased with our DIY omnichannel business, and we're going to continue to drive and grow that business. Obviously, to your earlier question, DieHard plays a key role there. If we can draw people into our stores with the differentiated brands such as DieHard, we can grow the DIY business.

嗯，首先，毫無疑問，當人們有時間時，他們用汽車做的事情比在家時更多，他們基本上不能整天坐在家裡看電腦屏幕和 Netflix。所以我們確實看到了那裡的激增，但我可以告訴你，直到第四季度，我們在 DIY 大流行最嚴重的時候看到的彈性對我們來說非常鼓舞人心。我們繼續對我們的 DIY 全渠道業務感到滿意，我們將繼續推動和發展該業務。顯然，對於您之前的問題，DieHard 在那裡起著關鍵作用。如果我們可以通過 DieHard 等差異化品牌吸引人們進入我們的商店，我們可以發展 DIY 業務。

So for the first part of your question, we look at the customer journey as it pertains to DIY, and they really do vary. I mean, my car won't start is the journey for batteries. My brakes are squeaking is the journey for brakes. All of them have various degrees of urgency. So we're very focused on the specific drivers of choice within each one of those journeys, and that's how we feel about our business.

因此，對於您問題的第一部分，我們著眼於與 DIY 相關的客戶旅程，它們確實各不相同。我的意思是，我的車不會啟動是電池的旅程。我的剎車吱吱作響是剎車的旅程。它們都有不同程度的緊迫性。因此，我們非常關注每一次旅程中選擇的特定驅動因素，這就是我們對業務的看法。

Your next question comes from the line of Seth Basham from Wedbush.

您的下一個問題來自 Wedbush 的 Seth Basham。

My question is also on inflation environment and the impact on potential demand destruction. Are you seeing any of that occur now? And what have you built into your plan for 2022?

我的問題也是關於通脹環境和對潛在需求破壞的影響。你現在看到這些發生了嗎？您在 2022 年的計劃中加入了什麼？

Well, in terms of demand specifically, Seth?

那麼，就需求而言，賽斯？

Yes, exactly.

對，就是這樣。

Yes. We haven't seen it yet. And to be clear, I mean, we are not seeing trade down. We're not seeing deferred maintenance. It's just a question of we've got 10.5 months of the year left, and the inflation is pretty significant across all categories, fuel prices, et cetera. That's what we're mindful of. And as the year unfolds, we'll be in a better position to see the full impact of it. But it's really a case of making sure that we're looking at all potential outcomes for the industry for the year.

是的。我們還沒有看到它。需要明確的是，我的意思是，我們沒有看到貿易下降。我們沒有看到延期維護。這只是一個問題，我們一年中還剩下 10.5 個月，而且所有類別、燃料價格等的通貨膨脹都相當顯著。這就是我們要注意的。隨著這一年的展開，我們將能夠更好地看到它的全部影響。但這確實是一個確保我們正在研究該行業今年所有潛在結果的案例。

Understood. And what have you built into your comp sales plan for 2022 from that effect?

明白了。你在 2022 年的銷售計劃中加入了什麼？

Well, our guide is 2 at the midpoint.

好吧，我們的指南在中點是 2。

Understood. But does that include some demand destruction assumptions for the balance of the year?

明白了。但這是否包括對今年剩餘時間的一些需求破壞假設？

I'm sorry, can you repeat that?

對不起，你能再說一遍嗎？

Does that include some pressure from demand destruction associated with the inflation that the core customer is experiencing for the balance of the year?

這是否包括與核心客戶在今年餘下時間經歷的通貨膨脹相關的需求破壞壓力？

Yes. Yes, it does. I mean, we're assuming coming off a year when the ACA would say the industry grew high single digits in 2021, right? I mean, that's the latest information we have from Auto Care Association. We're assuming low single, even 1 to 2 for the industry overall. Now given all the tailwinds, that could be a very low estimate. We acknowledge that. But it's just -- it's an unusual time. We've got an unprecedented level of inflation. We've got 10.5 months to go, so that's really the thinking.

是的。是的，它確實。我的意思是，我們假設 ACA 會說該行業在 2021 年實現高個位數增長的一年，對吧？我的意思是，這是我們從汽車保養協會獲得的最新信息。我們假設整個行業的單價較低，甚至為 1 比 2。現在考慮到所有的順風，這可能是一個非常低的估計。我們承認這一點。但這只是 - 這是一個不尋常的時期。我們的通貨膨脹率達到了前所未有的水平。我們還有 10.5 個月的時間，所以這就是我們的想法。

Your next question comes from the line of Greg Melich from Evercore ISI.

您的下一個問題來自 Evercore ISI 的 Greg Melich。

I just want to make sure I got the guidance right. The mid-single-digit inflation implies that basically units would be down this year? And did you expect the pro and DIY split to be similar to last year or to narrow or widen?

我只是想確保我得到了正確的指導。中個位數的通脹意味著今年基本上單位會下降？您是否預計專業和 DIY 的劃分會與去年相似，或者縮小或擴大？

Yes. Good question, Greg. So obviously, given the guide, we are assuming DIY transactions which is well over half of our transactions. Obviously, the dollars per transaction is lower on DIY. We expect DIY transactions to be down. That is embedded in our guide. We do expect growth in pro transactions. So overall, positive growth on transactions and average ticket in pro transactions, down in DIY. We're assuming some level of growth in DIY, however, and pro outpacing DIY for the year really has been the case for the last couple of quarters.

是的。好問題，格雷格。很明顯，根據指南，我們假設 DIY 交易遠遠超過我們交易的一半。顯然，每筆交易的美元在 DIY 上較低。我們預計 DIY 交易將會下降。這嵌入在我們的指南中。我們確實預計專業交易的增長。因此，總體而言，專業交易中的交易量和平均票數正增長，而 DIY 則下降。然而，我們假設 DIY 會出現一定程度的增長，並且過去幾個季度的情況確實如此。

Great. And then secondly, could you update us on where you are in the owned brand strategy? You gave $1 billion for DieHard. When you add in Advance and Carquest, are we 40%, 50% of the mix now?

偉大的。其次，您能否向我們介紹一下您在自有品牌戰略中的位置？你為 DieHard 捐了 10 億美元。當您添加 Advance 和 Carquest 時，我們現在是 40%、50% 的組合嗎？

Yes. What we've said in the past, Greg, is we started out this journey in the high 30s in terms of our percentage of owned brand penetration. And we've moved that up nicely. We're well into the 40s now into the -- in the most recent quarter into the higher 40s, and we still believe we have room to grow there. So we're very pleased with the strength of our own brand. As we've said many times, it carries in general a lower price per unit certainly in the hard parts segment than the national-branded competitors, but the quality is very good. Our return rates are much lower than they've been in the past, and our in-stocks improved on all of the categories in the fourth quarter. So pleased with the owned brand penetration, and relative to others, we still got opportunities there.

是的。格雷格，我們過去所說的是，就我們擁有品牌滲透率的百分比而言，我們在 30 年代就開始了這一旅程。我們已經很好地提升了它。我們現在已經進入了 40 年代——最近一個季度進入了 40 年代，我們仍然相信我們有增長的空間。因此，我們對自己品牌的實力感到非常滿意。正如我們多次說過的，它在硬件領域的單價通常低於國產品牌的競爭對手，但質量非常好。我們的退貨率比過去低得多，第四季度我們所有類別的庫存都有所改善。對自有品牌的滲透率非常滿意，相對於其他品牌，我們仍然有機會。

And then last, if we look at the guidance for the adjusted margin expansion to just over 10%, is that -- should that be equally between gross margin and SG&A leverage? Or how should we think about that margin expansion?

最後，如果我們看一下調整後利潤率擴張至略高於 10% 的指導，那是否應該在毛利率和 SG&A 槓桿之間相等？或者我們應該如何看待利潤率擴張？

Yes. We think we're going to grow our margins in '22 coming both from gross margin improvement as well as SG&A improvement. The gross margin improvement is going to benefit from the things we've been talking about, our category management as well as our supply chain initiatives. And SG&A is going to benefit from the strategic initiatives we outlined last April, which is to reduce SG&A costs and improve our sales and profit per store.

是的。我們認為我們將在 22 年增加我們的利潤率，這既來自毛利率的改善，也來自 SG&A 的改善。毛利率的提高將受益於我們一直在談論的事情、我們的品類管理以及我們的供應鏈計劃。 SG&A 將受益於我們去年 4 月概述的戰略舉措，即降低 SG&A 成本並提高我們每家商店的銷售額和利潤。

Your next question comes from the line of Scot Ciccarelli from Truist.

您的下一個問題來自 Truist 的 Scot Ciccarelli。

Scot Ciccarelli. So given the lower price points on your owned brands, can you guys quantify for us the impact of the headwind to both comp and gross profit dollars from that mix shift?

斯科特·西卡雷利。因此，鑑於您自有品牌的價格較低，你們能否為我們量化逆風對組合轉變和毛利潤的影響？

Yes. We don't break that out, Scot, but I mean, it obviously varies by product and category. I mean, absolutely, it has a lower price point. It is a comp sales headwind if you sell an equivalent amount of units. Obviously, our goal is to accelerate the units because as we said, we're providing a more value-priced option for our customers, and that gives us a lower absolute price point for our professional customers. And as we ramp it up, the unit growth should offset that. But I can also tell you, in many cases, the gross profit dollars are higher. So we're very pleased with the owned brand performance. It was a significant driver of our margin expansion in 2021, and it will be for the next couple of years.

是的。蘇格蘭人，我們沒有打破這一點，但我的意思是，它顯然因產品和類別而異。我的意思是，絕對地，它的價格更低。如果您銷售等量的單位，這是一個比較銷售逆風。顯然，我們的目標是加速這些單位，因為正如我們所說，我們正在為我們的客戶提供更具價值的選擇，這為我們的專業客戶提供了更低的絕對價格點。隨著我們的增加，單位增長應該會抵消這一點。但我也可以告訴你，在很多情況下，毛利潤更高。因此，我們對自有品牌的表現非常滿意。這是我們在 2021 年利潤率擴張的重要推動力，未來幾年也將如此。

Just a reminder, so the rate is significantly better. The margin rate is significantly better on those categories.

只是提醒一下，所以匯率要好得多。這些類別的保證金率要好得多。

Yes. I guess I've been under the impression that the branded products still typically generate more gross profit dollars, which is -- hence the question.

是的。我想我一直認為品牌產品通常仍然會產生更多的毛利潤，這就是問題所在。

Yes, not necessarily.

是的，不一定。

Got it. Okay. And then so switching gears for a second, the last time you guys enhanced your Speed Perks benefits, we had some pretty notable gross margin headwinds. With the new Gas Rewards, like is there anything we should be wary of as people start to utilize that in what appears to be a very high gas price environment?

知道了。好的。然後換檔一秒鐘，你們上一次提高速度津貼的好處時，我們遇到了一些非常顯著的毛利率逆風。有了新的 Gas Rewards，當人們開始在看似非常高的 gas 價格環境中使用它時，有什麼我們應該警惕的嗎？

Yes. We're going to get back on our front foot on Speed Perks, Scot. I mean we did -- through the pandemic, just the level of demand that was coming into our stores was substantial, and we wanted to make sure we took care of the customers. And obviously, having conversations with our customers about a loyalty program takes time, and we subjugated that.

是的。我們將在 Speed Perks 上重新站穩腳跟，Scot。我的意思是我們做到了——通過大流行，進入我們商店的需求量很大，我們想確保我們照顧到顧客。顯然，與我們的客戶就忠誠度計劃進行對話需要時間，而我們克服了這一點。

There's no financial consequences at all for Gas Rewards. We've engineered it in such a way that it will be a real positive candidly for us. We think it drives share of wallet in a time of rising gas prices. I was just out in California, it's almost $6 a gallon. You've got a situation where consumers are going to be really mindful of what they're paying at the pump. And we're enthusiastic about how our team is engaged with this Gas Rewards program. We're going to be working it really hard in the stores, signing up new members and graduating members. So this will be a nice little boost for us on DIY in 2022.

Gas Rewards 沒有任何財務後果。我們以這樣的方式設計它，它對我們來說將是一個真正積極的坦率。我們認為它在汽油價格上漲的時候推動了錢包的份額。我剛在加利福尼亞，每加侖差不多 6 美元。您會遇到這樣一種情況，即消費者將真正注意他們在加油站支付的費用。我們對我們的團隊如何參與這個 Gas Rewards 計劃充滿熱情。我們將在商店裡非常努力地工作，註冊新會員和即將畢業的會員。所以這對我們 2022 年的 DIY 來說將是一個不錯的小推動。

Your next question comes from the line of Simeon Gutman from Morgan Stanley.

您的下一個問題來自摩根士丹利的 Simeon Gutman。

You mentioned that you achieved supply chain leverage this quarter. Can you talk about the puts and the takes? I think I'm sure some of your initiatives are helping it versus labor and transport, which would have been a headwind. So can you maybe tell us, I guess, what the headwind was so we can quantify how good you're doing underlying with?

您提到您在本季度實現了供應鏈槓桿。你能談談看跌期權嗎？我想我敢肯定，你的一些舉措正在幫助它對抗勞動力和運輸，這本來是一個逆風。所以你能告訴我們，我猜，逆風是什麼，這樣我們就可以量化你在底層的表現有多好？

Yes. If we were just to strip out the inflation, we'd be talking about the supply chain tailwind being a much more meaningful number.

是的。如果我們只是去除通貨膨脹，我們會談論供應鏈順風是一個更有意義的數字。

Said another way, Simeon, our initiatives in supply chain are on track. I think we talked about this in the third quarter, but we completed the cross-banner replenishment. We're on track with our WMS and LMS to be done by 2023. And those are providing the benefits we had anticipated. It's just once you factor in the inflation, although we did leverage, it was just small because of the inflation. And the labor inflation has been acute. Specifically in that supply chain kind of warehouse employee, the battle for that talent is just intense. And then you also see it in the areas that you pointed out, transportation, fuel, what have you. Those are all built in there as well.

換句話說，Simeon，我們在供應鏈方面的舉措正在走上正軌。我想我們在第三季度就談到了這個，但是我們完成了跨旗補貨。我們的 WMS 和 LMS 有望在 2023 年完成。這些都提供了我們預期的好處。這只是將通貨膨脹因素考慮在內，儘管我們確實使用了槓桿，但由於通貨膨脹，它只是很小。勞動力通脹非常嚴重。特別是在那種供應鏈類型的倉庫員工中，對人才的爭奪非常激烈。然後你也會在你指出的領域看到它，交通，燃料，你有什麼。這些也都建在那裡。

And then, Tom, you clarified the industry is expected to grow this year. Do you have a range or a sense that you can tell us? And then I expect -- do you expect to take market share this year?

然後，湯姆，你澄清了該行業今年有望增長。你有範圍或感覺可以告訴我們嗎？然後我預計 - 你預計今年會佔據市場份額嗎？

Absolutely. We do expect to take market share. We have modeled a low number, Simeon, as we explained earlier, for overall industry growth to make sure we're expansive, and we don't get surprised by something as the year unfolds given the unprecedented levels of inflation. But what we showed back in April was -- as an estimate for '22, '23, it was 2% to 4%, if you recall. And we believe it's going to be at the lower end of that for all the reasons we explained. If that is somewhat -- if it ends up being something different and the industry appears to be as resilient as it's been in the past, 2009, 2011, most notably where it was performing extremely well in a recessionary time, that will be good news.

絕對地。我們確實希望佔據市場份額。正如我們之前解釋的那樣，我們為整個行業的增長建立了一個低數字 Simeon 模型，以確保我們的擴張，並且鑑於前所未有的通貨膨脹水平，隨著今年的展開，我們不會對某些事情感到驚訝。但我們在 4 月份展示的是——如果你還記得的話，作為對 22 和 23 年的估計，它是 2% 到 4%。由於我們解釋的所有原因，我們相信它會處於低端。如果這有點——如果它最終變得不同，並且該行業似乎像過去、2009 年、2011 年一樣具有彈性，尤其是在經濟衰退時期表現非常出色的情況下，那將是個好消息.

Your next question comes from the line of Michael Baker from D.A. Davidson.

您的下一個問題來自 D.A. 的 Michael Baker。戴維森。

A couple of follow-ups. One -- well, first of all, let me ask about the hiring and the labor situation. Is that as bad as it was? Is it getting worse? Is it getting any better now that some employment benefits have rolled off? Any sort of end in sight in terms of that pressure point?

幾個後續。一——嗯，首先，讓我問一下招聘和勞工情況。有那麼糟糕嗎？是不是越來越差了？現在一些就業福利已經取消，情況會好轉嗎？就那個壓力點而言，有什麼結局嗎？

Yes. Good question, Michael. I mean, we are really happy that we're starting to go the other way. In both the distribution centers and the stores, we measure turnover very, very closely. The stores did not jump up as much. I mean our unique stock ownership program, where we've invested over $60 million in our frontline team members over the past couple of years has helped us there. We've been able to retain our general managers, our commercial parts pros, et cetera.

是的。好問題，邁克爾。我的意思是，我們真的很高興我們開始走另一條路。在配送中心和商店，我們都非常非常密切地衡量營業額。商店沒有跳得那麼多。我的意思是我們獨特的股權計劃，在過去幾年中，我們在一線團隊成員中投資了超過 6000 萬美元，這對我們有幫助。我們已經能夠留住我們的總經理、我們的商業零件專家等等。

And then in the supply chain, in the DC, it peaked really around the third quarter of last year in the summer and started to come back down. It's still not back to where it was pre-pandemic, I can tell you that, in the DCs. But we are coming back down. And as you said, the applicant pool is starting to open up. People have fewer options, and we're -- we've obviously had to invest in compensation in our supply chain, but that's -- much of that is behind us at this stage. And we've got plans this year to see that turnover continue to come down in both the stores and in the DCs.

然後在供應鏈中，在華盛頓特區，它在去年夏天的第三季度左右真正達到頂峰，然後開始回落。它仍然沒有回到大流行前的狀態，我可以告訴你，在 DC。但我們要回來了。正如你所說，申請人池開始開放。人們的選擇更少，我們 - 我們顯然不得不在我們的供應鏈中投資補償，但這 - 在這個階段，大部分已經落後於我們。我們今年計劃看到商店和配送中心的營業額繼續下降。

Okay. That's good news. Also, I want to follow up on the pricing question and really to Mike Lasser's question earlier. The way I interpret your comments is, some of your competitors, including O'Reilly last week, had a pretty -- I thought a pretty interesting announcement. You're saying no change in your strategy. You're happy with where your pricing is because you compete with the private label, that sort of is your answer to them, and AutoZone reducing prices. Is that the right way to think about it?

好的。那是好消息。另外，我想跟進定價問題，以及之前 Mike Lasser 的問題。我解釋您的評論的方式是，您的一些競爭對手，包括上週的 O'Reilly，發布了一個非常有趣的公告。你說你的策略沒有改變。您對自己的定價感到滿意，因為您與自有品牌競爭，這就是您對它們的回答，而 AutoZone 降低了價格。這是正確的思考方式嗎？

Absolutely. We're incredibly focused on the pro customer and the competitive environment within the pro customer. We look at it every week. We look at our price comparison across the market. I'm sure our peers do the very same thing. So we're very familiar with the broader competitive landscape. I mean, the wholesale distributors, the specialty players, the -- and they're a big factor in large urban markets. Worldpac has competed with them for 20 years plus. So we know that there are pure plays out there that have lower prices on very specific products. And we organize our enterprise pricing strategy around that. So no change in our pricing strategy going forward.

絕對地。我們非常關注專業客戶和專業客戶內部的競爭環境。我們每週都會查看它。我們看一下整個市場的價格比較。我相信我們的同齡人也會做同樣的事情。因此，我們非常熟悉更廣泛的競爭格局。我的意思是，批發分銷商、專業參與者，他們是大型城市市場的重要因素。 Worldpac 與他們競爭了 20 多年。所以我們知道，有一些純粹的遊戲在非常特定的產品上價格較低。我們圍繞這一點組織我們的企業定價策略。因此，我們未來的定價策略沒有變化。

One more quick one, if I could, sorry, is -- can you talk about the private label penetration within the pro business versus the DIY business? I know in the past, maybe pros didn't like private label as much, but it sounds like DieHard is being well accepted by the pro customer. Can you sort of flesh that out a little bit?

抱歉，如果可以的話，還有一個更快的方法是-您能談談專業業務與 DIY 業務之間的自有品牌滲透率嗎？我知道在過去，也許專業人士不太喜歡自有品牌，但聽起來 DieHard 正在被專業客戶很好地接受。你能把它肉化一點嗎？

Sure. I mean, well, DieHard and Carquest. I mean, Carquest is a powerful brand in the professional sales channel. Carquest Brakes is a leader in the professional channel. They're high quality. Our customers request them. And as we extend, Michael, into engine management, undercar, some of these other categories, Carquest is being very well received. So in part, because it doesn't have a brand name on the front door of a retail store, so that's part of the reason why. But it's equally powerful there. If you've got a high-quality owned brand product that carries -- that's good value for our customer and you can get it to them quickly, they're going to be very supportive. But just to reinforce, national brands play a key role in our portfolio also, and we're partnering very closely with our national brand suppliers to make sure that we're lifting up their brands at the same time.

當然。我的意思是，DieHard 和 Carquest。我的意思是，Carquest 是專業銷售渠道中的一個強大品牌。 Carquest Brakes 是專業渠道的領導者。它們質量很高。我們的客戶要求他們。隨著我們擴展，邁克爾，進入引擎管理，車底，以及其他一些類別，Carquest 非常受歡迎。所以部分原因是因為它在零售店的前門上沒有品牌名稱，所以這就是原因的一部分。但它在那裡同樣強大。如果你有一個高質量的自有品牌產品——這對我們的客戶來說很有價值，而且你可以很快地把它交給他們，他們會非常支持。但為了加強，民族品牌在我們的產品組合中也發揮著關鍵作用，我們正在與我們的民族品牌供應商密切合作，以確保我們同時提升他們的品牌。

Your next question comes from the line of Kathleen Brenneck from Goldman Sachs.

您的下一個問題來自高盛的 Kathleen Brenneck。

It's actually Kate McShane from Goldman Sachs. I just wondered if we could just go back to your comment on the quarter-to-date running above the 3% or the high end of your full year guidance. Can you talk a little bit about what's the primary driver of your outperformance? And what kind of comp we're facing quarter-to-date versus last year?

實際上是高盛的凱特麥克肖恩。我只是想知道我們是否可以回到您對本季度迄今超過 3% 或全年指導的高端的評論。你能談談你表現出色的主要驅動力是什麼嗎？與去年相比，我們本季度面臨什麼樣的競爭？

Sure, Kate. Well, first of all, it's always interesting the way the big seasons kind of straddle quarters, right? The spring selling season straddles Q1 and Q2. The middle of the winter straddles Q4 and Q1. We have a very large presence in the Northeast. I think, obviously, you know that. It was a pretty mild December in the Northeast. It got cold in the first period of the year. So that swings business out of the fourth quarter and into the first quarter for us. The West was really cold in December. We had very strong growth in the West and the Southwest in December, not so much in the Northeast.

當然，凱特。嗯，首先，大賽季跨季的方式總是很有趣，對吧？春季銷售旺季跨越第一季度和第二季度。冬季中期橫跨 Q4 和 Q1。我們在東北有很大的影響力。我想，很明顯，你知道這一點。這是東北的一個非常溫和的十二月。年初一開始很冷。這樣一來，我們的業務就從第四季度跳到了第一季度。西方在十二月真的很冷。 12 月，我們在西部和西南部實現了非常強勁的增長，而在東北部則沒有那麼多。

So I mean, what we've seen so far, we're very pleased. We like the fact that we've had a pretty harsh winter so far across the country. That should be good for us. In the second quarter also, we've had a lot of snow. We love those big, heavy machines, tearing up the roads up in New York and Detroit, and up in those markets where we're in. So hopefully, that creates a strong tailwind for us in the second quarter.

所以我的意思是，我們到目前為止所看到的，我們非常高興。我們喜歡這樣一個事實，即到目前為止，我們在全國各地都經歷了一個非常嚴酷的冬天。這應該對我們有好處。在第二季度，我們也下了很多雪。我們喜歡那些又大又重的機器，它們在紐約和底特律以及我們所在的那些市場上開闢道路。希望這在第二季度為我們創造了強大的順風。

So it really is -- there's been favorable weather in the first quarter. And as you talk about the compares, we're starting to look at 3-year stack, obviously. I mean, the 2-year stack will become officially irrelevant by the second quarter, right? So we'll start to look at 3-year stack, and the 3-year stack looks good on a year-to-date basis.

確實如此 - 第一季度的天氣很好。當你談到比較時，我們顯然開始關注 3 年的籌碼量。我的意思是，2 年的堆棧將在第二季度正式變得無關緊要，對吧？因此，我們將開始查看 3 年堆棧，並且 3 年堆棧在年初至今的基礎上看起來不錯。

Your next question comes from the line of Zach Fadem from Wells Fargo.

您的下一個問題來自富國銀行的 Zach Fadem。

Tom, do you think elasticity in the industry has changed at all for the do-it-for-me customer? And given the importance of service and availability, why do you think peers are having -- or seeing success lowering price? And to what extent do you even view pricing a needle mover when you go head-to-head with peers and WDs?

湯姆，你認為這個行業的彈性對於“為我做”的客戶來說是否發生了變化？鑑於服務和可用性的重要性，您認為同行為什麼會擁有或看到成功降低價格？當您與同行和 WD 正面交鋒時，您甚至在多大程度上認為定價是一個推動者？

Well, I mean, as we said earlier, Zach, there are other variables that are more important to our pro customers. And I speak to them all the time, whether that's the CEOs of the company or in the garages themselves. And when you have the part and you're able to get it to the customer quickly, that's by far the most important variable.

好吧，我的意思是，正如我們之前所說，扎克，還有其他變量對我們的專業客戶更重要。我一直在和他們說話，無論是公司的首席執行官還是在車庫裡。當您擁有零件並且能夠快速將其交付給客戶時，這是迄今為止最重要的變量。

Now there are certain categories where the time to repair is longer. There are pure-play operators in markets who specialize in something like AC as an example or radiators. When you have those types of jobs, price becomes more of a factor. And we're very aware of that. Those are not new dynamics. Those dynamics have existed for a long time, and we obviously compete in that environment. So it's really a question of, in our case, we're focused on what's important to the customer and improving our fundamental value proposition. And we're going to drive top line growth, but it's also vitally important for us to ensure that, that growth is profitable and that results in big earnings growth. And we put up 48% earnings per share growth last year. We want that to translate into cash generation that we can return that money back to our shareholders.

現在有些類別的修復時間更長。市場上有專門從事交流電或散熱器等產品的純運營商。當您擁有這些類型的工作時，價格就變得更加重要。我們非常清楚這一點。這些都不是新動態。這些動態已經存在了很長時間，我們顯然在那個環境中競爭。因此，在我們的案例中，這確實是一個問題，我們專注於對客戶重要的事情並改善我們的基本價值主張。我們將推動收入增長，但對我們來說，確保這一增長是有利可圖的並帶來巨大的收益增長也至關重要。去年我們的每股收益增長了 48%。我們希望將其轉化為現金產生，我們可以將這筆錢返還給我們的股東。

So our focus is to make sure that we are driving profitable growth, and that's what you're going to see us do. The competitive environment is clearly something we pay attention to, but we're very thoughtful about how we approach it.

因此，我們的重點是確保我們正在推動盈利增長，這就是您將看到我們做的事情。競爭環境顯然是我們關注的事情，但我們對如何處理它非常深思熟慮。

Got it. And for Jeff, what are you assuming for LIFO this year? And as we bridge the gap your big-picture 2022 outlook to your 2023 margin guide of 10.5% to 12.5%, do you still expect equal parts expansion in both '22 and '23 in each year? Or should we contemplate a step-up in '23 as we move past some of the '22 headwinds like inflation?

知道了。對於傑夫，你對今年的 LIFO 有什麼假設？當我們彌合您對 2022 年總體前景與 2023 年利潤率指南 10.5% 至 12.5% 之間的差距時，您是否仍預計 22 年和 23 年每年都會有相同的部分擴張？還是我們應該考慮在 23 年邁出一步，因為我們克服了像通貨膨脹這樣的 22 年逆風？

Yes. So starting with the LIFO question, we certainly think it's going to be a sizable this year. Early estimates to be -- I think we finished this year at $122 million. We're estimating -- '20 -- I'm sorry, last year, $122 million; this year, as much as $100 million. What's important to know on that is the LIFO cost that we experienced last year are beginning to manifest themselves in the P&L this year. So we're starting to see that, and that's already built into our model for '22.

是的。因此，從 LIFO 問題開始，我們當然認為今年它會是一個相當大的問題。早期的估計是——我認為我們今年的收入為 1.22 億美元。我們估計 -- '20 -- 對不起，去年是 1.22 億美元；今年，高達1億美元。重要的是要知道我們去年經歷的後進先出成本開始在今年的損益表中體現出來。所以我們開始看到這一點，這已經內置到我們的 22 年模型中。

As we move into '23, we know some of that will move into that year. But having said that, we're very confident in our margin expansion initiatives. And we think we can continue to grow both in gross margin and in SG&A in '23 as we get into that 10.5% to 12.5%.

隨著我們進入'23，我們知道其中一些將進入那一年。但話雖如此，我們對我們的利潤率擴張計劃非常有信心。我們認為，隨著我們達到 10.5% 到 12.5% 的水平，我們可以在 23 年的毛利率和 SG&A 方面繼續增長。

Your next question comes from the line of Daniel Imbro from Stephens.

您的下一個問題來自 Stephens 的 Daniel Imbro。

I wanted to follow up on private label fill rates. Tom, I think you mentioned in your prepared remarks that the undercar categories improved through the quarter, but where are those fill rates maybe relative to your desired levels? And if there are any, where are the bottlenecks today in the supply chain as you move more of those categories kind of in-house and away from other brands?

我想跟進自有品牌的填充率。湯姆，我想你在準備好的評論中提到，車底類別在本季度有所改善，但這些填充率可能與你期望的水平相比在哪裡？如果有的話，當您將更多這些類別轉移到內部並遠離其他品牌時，供應鏈中的瓶頸在哪裡？

Sure. Well, first of all, our fill rate, overall, I mean, we still have pockets of difficulty there, Daniel, full disclosure, whether that's a result of a supplier's inability to get people in to work, whether that's related to the global supply chain, which is still not back to where it once was.

當然。嗯，首先，我們的填充率，總的來說，我的意思是，我們仍然有一些困難，丹尼爾，全面披露，這是否是供應商無法讓人們工作的結果，是否與全球供應有關鏈，它仍然沒有回到原來的位置。

In terms of the transition to owned brands, it's improved materially from where it was last summer. We're still, I would say, a couple of hundred basis points off where we want to be, but we're much better off than we were last summer. And that -- it was almost 40,000 SKUs. It was a huge undertaking, but we're thrilled that we've got the changeover of those SKUs largely behind us, and we see lots of upside going forward as a result of it.

在向自有品牌的過渡方面，與去年夏天相比有了實質性的改善。我想說，我們仍然離我們想要達到的目標還有幾百個基點，但我們比去年夏天要好得多。那——幾乎是 40,000 個 SKU。這是一項艱鉅的任務，但我們很高興我們已經在很大程度上落後於這些 SKU 的轉換，並且我們看到它有很多前進的空間。

Got it. That's helpful. And then I want to follow up on Zach's questions just on LIFO benefits, so we can be clear, Jeff. If you saw $122 million of benefit in '21, I think you said you're guiding to $100 million of LIFO benefit in '22. If prices plateau into '23, does that create a gross margin headwind? And it seems like just numbers-wise, that would be sizable. So can you maybe walk through the puts and takes? Or are you guys thinking pricing doesn't plateau? Just trying to understand how, if we have that big of a cumulative LIFO benefit, how or when that unwind through the P&L and away from gross margins.

知道了。這很有幫助。然後我想跟進扎克關於 LIFO 好處的問題，所以我們可以清楚，傑夫。如果您在 21 年看到 1.22 億美元的收益，我想您說您將在 22 年引導到 1 億美元的 LIFO 收益。如果價格在 23 年停滯不前，這是否會造成毛利率逆風？從數字上看，這似乎是相當大的。那麼你能不能走過看跌期權？還是你們認為定價不會停滯不前？只是想了解，如果我們有這麼大的累積 LIFO 收益，如何或何時通過損益表和毛利率擺脫。

Yes. So first of all, it's unwinding now. We're already starting to see it, and we're going to see it throughout '22. And that's embedded in the model or the guidance that we're providing yesterday. So we turn about 1.35x a year. That translates into about 10 months, rough math tells you that's when it starts to come back to you on the P&L. So again, we plan that for '22. We're going to be planning that as we move into '23. If everything else were to remain completely static, you're right, in absolute terms, it would be a headwind, and that's something we're contemplating. And that's why we're really excited. We have the margin expansion initiatives that we have because we're confident we can overcome that.

是的。所以首先，它現在正在放鬆。我們已經開始看到它，我們將在整個 22 年看到它。這嵌入在我們昨天提供的模型或指導中。所以我們每年大約翻 1.35 倍。這相當於大約 10 個月，粗略的數學告訴你，當它開始在損益表上回到你身邊時。因此，我們再次計劃 22 年。我們將在進入 23 年時進行計劃。如果其他一切都保持完全靜止，那麼您是對的，絕對而言，這將是逆風，這是我們正在考慮的事情。這就是為什麼我們真的很興奮。我們有我們所擁有的利潤率擴張計劃，因為我們相信我們可以克服這一點。

Yes. And Daniel, I just want to clarify one thing. On undercar, we're pretty close to our in-stock goal. On engine management, that's the one that I was referencing, and I think you asked undercar, so just to clarify. We're pretty much where we want to be on undercar.

是的。丹尼爾，我只想澄清一件事。在車底，我們非常接近我們的庫存目標。關於引擎管理，那是我提到的，我想你問過車底，所以只是為了澄清。我們幾乎是我們想在車底的地方。

And your final question comes from the line of Brian Nagel from Oppenheimer.

最後一個問題來自奧本海默的 Brian Nagel。

So I know there's already been a couple of questions, a few questions maybe on the whole pricing dynamics, so I apologize. But the question I want to ask is, Tom, from your vantage point, recognizing you're very close to your commercial customers and you're watching your competition, are you seeing some of the lesser known competitors maybe in the WD space actually move price at this point? Or maybe not take price amid broader-based inflation? Is there some change in dynamic there within that cohort?

所以我知道已經有幾個問題，一些問題可能是關於整個定價動態的，所以我道歉。但我想問的問題是，湯姆，從你的角度來看，你認識到你與你的商業客戶非常接近並且你正在觀察你的競爭對手，你是否看到一些鮮為人知的競爭對手可能在 WD 領域實際移動這個時候的價格？或者在更廣泛的通貨膨脹中可能不採取價格？該隊列中的動態是否有一些變化？

You know what? We really haven't. And I think that from our vantage point, they operate very rationally, right? I mean, these are, in many cases, private companies. They don't have retail stores. They're in a warehouse that doesn't pay the same rent. They don't have some of the cost base within SG&A that you have with a traditional retail parts store. I mean, it's just that simple. So their prices tend to be lower. Their gross margins tend to be lower, and their SG&A tends to be lower. So they operate in a very rational basis. They priced typically below what the retail parts companies do, and that's why Worldpac and our diversified asset base helps on because we already have that arrow in our quiver.

你知道嗎？我們真的沒有。而且我認為從我們的角度來看，它們的運作非常理性，對吧？我的意思是，在很多情況下，這些都是私營公司。他們沒有零售店。他們在一個不支付相同租金的倉庫裡。他們在 SG&A 中沒有傳統零售零件商店的一些成本基礎。我的意思是，就是這麼簡單。所以他們的價格往往更低。他們的毛利率往往較低，SG&A 也往往較低。所以他們在非常理性的基礎上運作。他們的定價通常低於零售零件公司的價格，這就是 Worldpac 和我們多元化的資產基礎提供幫助的原因，因為我們的箭袋中已經有了那個箭頭。

And Worldpac has expanded parts significantly over the past several years, and we are very thoughtful about how we price in accordance with that. We're growing the Worldpac business substantially. It's integrating with Autopart International, and we're growing margins at Worldpac. So it's a very good story for us in that regard, and we obviously want to maintain our competitiveness, but we've got some things in our tool bag that helps us there.

Worldpac 在過去幾年中顯著擴展了零件，我們非常考慮如何根據這一點定價。我們正在大幅發展 Worldpac 業務。它正在與 Autopart International 整合，我們在 Worldpac 的利潤率也在不斷提高。所以在這方面，這對我們來說是一個非常好的故事，我們顯然希望保持我們的競爭力，但我們的工具包裡有一些東西可以幫助我們。

Got it. That's very helpful. And then my follow-up question, just with respect to demand, clearly, you ended the year very strong, and given your commentary, it seems like the strength persisted here into the new year. As the economy potentially once again begins to pull away from the COVID crisis, are you seeing greater variability market-to-market depending on where each market is relative to the pandemic?

知道了。這很有幫助。然後我的後續問題，就需求而言，很明顯，你在這一年結束時非常強勁，鑑於你的評論，似乎這種力量一直持續到新的一年。隨著經濟可能再次開始擺脫 COVID 危機，您是否看到市場之間的差異更大，具體取決於每個市場相對於大流行的位置？

Well, that's a good question. I mean, we're definitely -- I'll use miles driven, okay, as the proxy here. And we just need everybody to do what Microsoft did in the last 24 hours as everybody go back to their offices. I'm joking, obviously. But the reality is the number of people going back to offices in particular in large urban markets is still below where the line. And if you look at the miles driven, it has recovered in parts of the country, almost to 2019 levels. If you look at the Southwest or the Southeast, you've seen that miles driven recover. The Northeast is still almost 10% below where it was 2 years ago if you look through the tail end of last year on the miles driven. Now it's coming up, but it's still below. So I think you will continue to see that miles driven improve. The information we have says it's down still versus '19. We expect that to continue to improve.

嗯，這是個好問題。我的意思是，我們絕對 - 我會使用里程數，好吧，作為這裡的代理。我們只需要每個人都做微軟在過去 24 小時內所做的事情，因為每個人都回到自己的辦公室。我在開玩笑，很明顯。但現實情況是，返回辦公室的人數，特別是在大型城市市場，仍然低於界限。如果您查看行駛里程，該國部分地區已經恢復，幾乎達到 2019 年的水平。如果您看看西南或東南部，您就會看到行駛里程數正在恢復。如果從去年年底的行駛里程來看，東北地區仍比 2 年前低了近 10%。現在它正在上升，但它仍在下方。因此，我認為您將繼續看到行駛里程的改善。我們掌握的信息表明，與 19 年相比，它仍然下降。我們預計這種情況會繼續改善。

There are no further questions at this time. Mr. Tom Greco, I turn the call back over to you for some closing remarks.

目前沒有其他問題。湯姆·格雷科先生，我把電話轉給你做一些結束語。

Well, thanks for joining us this morning. And as you've heard throughout the call, we remain confident in the strategic plan we're executing and in our ability to deliver top quartile total shareholder return through the 4 TSR drivers we discussed today. We plan to build on our 2021 results and leverage strong industry fundamentals and continue to strengthen our customer value proposition, deliver against our margin expansion initiatives and return substantial cash back to our shareholders. We remain committed to the execution of our strategic initiatives while driving innovation to position Advance for long-term profitable growth. And we look forward to sharing more of our progress throughout the year.

好吧，感謝您今天早上加入我們。正如您在整個電話會議中聽到的那樣，我們對我們正在執行的戰略計劃以及通過我們今天討論的 4 個 TSR 驅動因素實現最高四分之一股東總回報的能力充滿信心。我們計劃在 2021 年業績的基礎上，利用強勁的行業基本面，繼續加強我們的客戶價值主張，兌現我們的利潤率擴張計劃，並向股東返還大量現金。我們將繼續致力於執行我們的戰略計劃，同時推動創新，為 Advance 實現長期盈利增長。我們期待在全年分享更多我們的進展。

This concludes today's conference call. Thank you for your participation. You may now disconnect.

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。