ACCO Brands Corp (ACCO) 2022 Q4 法說會逐字稿

Hello, and welcome to the ACCO Brands 4Q 2022 Earnings Conference Call. My name is Emily, and I'll be coordinating today's call. (Operator Instructions)

您好，歡迎來到 ACCO Brands 2022 年第四季度收益電話會議。我叫艾米麗，我將負責協調今天的電話會議。 （操作員說明）

I would now turn the call over to ACCO Brands' Senior Director of Investor Relations, Chris McGinnis. Please go ahead, Chris.

我現在將電話轉給 ACCO Brands 的投資者關係高級總監 Chris McGinnis。請繼續，克里斯。

Good morning, and welcome to ACCO Brands Fourth Quarter 2022 Conference Call. This is Chris McGinnis, Senior Director of Investor Relations. Speaking on the call today are Boris Elisman, Chairman and Chief Executive Officer at ACCO Brands Corporation; Tom Tedford, President and Chief Operating Officer; and Deb O'Connor, Executive Vice President and Chief Financial Officer.

早上好，歡迎來到 ACCO Brands 2022 年第四季度電話會議。我是投資者關係高級總監 Chris McGinnis。今天在電話會議上發言的有 ACCO Brands Corporation 董事長兼首席執行官 Boris Elisman； Tom Tedford，總裁兼首席運營官；執行副總裁兼首席財務官 Deb O'Connor。

Slides that accompany this call have been posted to the Investor Relations section of accobrands.com. When speaking about our results, we may refer to adjusted results. Adjusted results exclude transaction, integration, amortization, and restructuring costs, a noncash goodwill impairment charge and the change in fair value of the contingent consideration related to the PowerA earnout and other nonrecurring items and reflect an adjusted tax rate. Schedules of adjusted results and other non-GAAP financial measures and a reconciliation of these measures to the most directly comparable GAAP measures are in the earnings release and the slides that accompany this call. Due to the inherent difficulty in forecasting and quantifying certain amounts, we do not reconcile our forward-looking non-GAAP measures.

本次電話會議的幻燈片已發佈到 accobrands.com 的投資者關係部分。在談到我們的結果時，我們可能會提到調整後的結果。調整後的結果不包括交易、整合、攤銷和重組成本、非現金商譽減值費用以及與 PowerA 收益和其他非經常性項目相關的或有對價的公允價值變化，並反映調整後的稅率。調整後的結果和其他非 GAAP 財務措施的時間表以及這些措施與最直接可比的 GAAP 措施的調節在收益發布和本次電話會議的幻燈片中。由於預測和量化某些金額的固有困難，我們不協調我們的前瞻性非 GAAP 措施。

Forward-looking statements made during the call are based on the beliefs and assumptions of management based on information available to us at the time the statements are made. Our forward-looking statements are subject to risks and uncertainties, and our actual results could differ materially. Please refer to our earnings release and SEC filings for an explanation of certain of these risk factors and assumptions. Our forward-looking statements are made as of today, and we assume no obligation to update them going forward. Following our prepared remarks, we will hold a Q&A session

電話會議期間做出的前瞻性陳述是基於管理層的信念和假設，這些信念和假設是基於我們在做出陳述時可獲得的信息。我們的前瞻性陳述受風險和不確定性的影響，我們的實際結果可能存在重大差異。請參閱我們的收益發布和美國證券交易委員會備案文件，了解對其中某些風險因素和假設的解釋。我們的前瞻性陳述是在今天作出的，我們沒有義務在未來更新它們。在我們準備好的發言之後，我們將舉行問答環節

Now I'll turn the call over to Boris Elisman.

現在我將把電話轉給 Boris Elisman。

Thank you, Chris, and good morning, everyone. Thank you for joining us. Before I talk about our 2022 performance and priorities for 2023, I want to say that the solid fundamentals of our business are intact, and we believe we have the right strategy and team to weather the current economic slowdown and continue to deliver sustained organic revenue growth as the economy improves. The transformative actions we have taken over the past few years to be more consumer-centric and geographically diverse helped us achieve record comparable sales and maintain or grow market share in many of our key brands in 2022.

謝謝克里斯，大家早上好。感謝您加入我們。在我談論我們 2022 年的業績和 2023 年的優先事項之前，我想說我們業務的堅實基礎完好無損，我們相信我們有正確的戰略和團隊來度過當前的經濟放緩並繼續實現持續的有機收入增長隨著經濟的好轉。我們在過去幾年採取的更加以消費者為中心和地域多元化的轉型行動幫助我們實現了創紀錄的可比銷售額，並在 2022 年保持或增加了我們許多主要品牌的市場份額。

2022 was a tale of 2 halves. We began the year strong as customers turn to us for surety of product for the important back-to-school season, and as office occupancy rates rebounded in North America. In our EMEA segment, we had strong volume growth for computer and business products with sales tracking above pre-pandemic levels through the first half of the year. The trend in EMEA began to change in the summer of '22 as high levels of inflation, the war in Ukraine, and the energy crisis dampened consumer and business demand.

2022 年是一個分為兩半的故事。隨著重要的返校季客戶向我們尋求產品保證，以及北美辦公室入住率回升，我們開始了強勁的一年。在我們的歐洲、中東和非洲地區，我們的計算機和商業產品銷量增長強勁，今年上半年的銷售額高於大流行前的水平。 EMEA 的趨勢在 22 世紀夏天開始發生變化，因為高通脹、烏克蘭戰爭和能源危機抑制了消費者和企業的需求。

In North America, retailers became concerned about an impending economic slowdown. And they began to take an aggressive stance on reducing inventory levels in the third quarter that continued throughout the fourth quarter, leading to lower overall demand in our North America segment. These actions were on top of the impacts from pulling orders forward into the first half of the year. All of these factors reduced our sales volume in the back half of 2022.

在北美，零售商開始擔心即將到來的經濟放緩。他們在第三季度開始採取積極的態度降低庫存水平，並持續整個第四季度，導致我們北美地區的整體需求下降。這些行動是在將訂單提前到今年上半年的影響之上的。所有這些因素都減少了我們 2022 年下半年的銷量。

Profit in 2022 followed a similar trend as the rate of inflation continued to increase throughout 2022, for raw materials, finished goods and transportation, and outpaced our aggressive pricing actions, which included numerous price increases throughout the year. We have been active on the cost front, limited discretionary spending, implementing office hiring freezes, flexing direct labor headcount with volume and closely managing our SG&A cost structure throughout the year.

2022 年的利潤遵循類似的趨勢，因為整個 2022 年原材料、製成品和運輸的通貨膨脹率持續上升，並且超過了我們積極的定價行動，其中包括全年的多次價格上漲。我們在成本方面一直很積極，限制可自由支配的支出，實施辦公室招聘凍結，根據數量調整直接勞動力人數，並全年密切管理我們的 SG&A 成本結構。

In Q4, we actioned additional cost savings and restructuring activities in North America and EMEA, intended to expand margin through initiatives focused on improving operating efficiency and reducing costs. Importantly, we're seeing deflation in ocean freight rates and moderating rates of inflation in other product costs. We believe that the lessening rate of inflation, combined with our pricing and cost actions, including our January 1st price increase, better position us to expand margins in 2023. While 1 month does not make a quarter or a year, we are encouraged by the gross margin improvements we saw in January.

在第四季度，我們在北美和 EMEA 採取了額外的成本節約和重組活動，旨在通過專注於提高運營效率和降低成本的舉措來擴大利潤率。重要的是，我們看到海運費率出現通貨緊縮，而其他產品成本的通貨膨脹率正在放緩。我們認為，通貨膨脹率的下降，加上我們的定價和成本行動，包括我們 1 月 1 日的價格上漲，使我們能夠更好地在 2023 年擴大利潤率。雖然 1 個月不等於一個季度或一年，但我們感到鼓舞的是我們在 1 月份看到的毛利率有所改善。

As largely reflected by the rest of the industry, our sales of gaming accessories were down 26% for the year. In 2022, the gaming market faced a number of challenges and a difficult comparison to 2020 and 2021, when consumers spend more on in-home entertainment activities due to pandemic. As demand for the category softened with the reopening of experiential activities, many retailers engage in aggressive inventory destocking. The gaming market also experienced semiconductor shortages throughout 2022, which limited both video gaming consoles and gaming accessories production.

正如其他行業所反映的那樣，我們的遊戲配件銷售額全年下降了 26%。 2022 年，遊戲市場面臨著許多挑戰，與 2020 年和 2021 年相比也很困難，當時由於大流行，消費者在家庭娛樂活動上花費更多。隨著體驗活動的重新開放，對該品類的需求減弱，許多零售商進行了積極的庫存去化。整個 2022 年，遊戲市場也經歷了半導體短缺，這限制了視頻遊戲機和遊戲配件的生產。

While we continue to hold the leading market share position for third-party gaming accessories, we temporarily lost some market share in the fourth quarter due to lack of product availability and a very competitive and promotional holiday season. Despite these challenges, we continue to believe in the long-term growth opportunity for gaming accessories and are executing our plans to expand our product assortment and accelerate growth in our EMEA and International segments.

雖然我們繼續保持第三方遊戲配件的領先市場份額，但由於缺乏產品可用性以及競爭激烈和促銷的假期，我們在第四季度暫時失去了一些市場份額。儘管面臨這些挑戰，我們仍然相信游戲配件的長期增長機會，並正在執行我們的計劃以擴大我們的產品種類並加速我們在 EMEA 和國際市場的增長。

In 2023, we expect the industry backdrop to stabilize and improve as the year progresses and our semiconductor chip supply and new console production improves. In addition, there are several new game titles coming to market in 2023, which historically has spurred greater gamer engagement and the sales of associated gaming accessories.

到 2023 年，我們預計隨著時間的推移以及我們的半導體芯片供應和新遊戲機產量的提高，行業背景將趨於穩定和改善。此外，2023 年將有幾款新遊戲上市，這在歷史上刺激了更多的遊戲玩家參與度和相關遊戲配件的銷售。

Now let me share with you some highlights from 2022. Outside of gaming accessories, comparable product sales increased 5%, fueled by the strength of our brands. Kensington, our computer accessories brand grew 10% in North America during the fourth quarter and was up over 13% globally for the full year, as we continue to bring new products to market and expand our enterprise sales. This is our fifth straight year of growth for the Kensington business. We have continued to enhance the offering, introducing a host of new products, largely related to connectivity and security.

現在讓我與您分享 2022 年的一些亮點。在我們品牌實力的推動下，在遊戲配件之外，可比產品銷售額增長了 5%。隨著我們繼續將新產品推向市場並擴大我們的企業銷售，我們的計算機配件品牌 Kensington 第四季度在北美增長了 10%，並且在全球範圍內全年增長了 13% 以上。這是我們 Kensington 業務連續第五年增長。我們繼續增強產品，推出了一系列主要與連接性和安全性相關的新產品。

During the 2022 back-to-school season, our Five Star brand gained 2 points of share and grew 10% for the year. It was the second largest back-to-school brand in the U.S. during the season. We demonstrated the strength of our supply chain capabilities to support customers with on-time deliveries during highly seasonal and high-volume engagement.

在 2022 年開學季，我們的五星級品牌獲得了 2 個百分點的份額，全年增長了 10%。它是本季美國第二大返校品牌。我們展示了我們的供應鏈能力的實力，可以在高度季節性和大批量參與期間為客戶提供準時交貨支持。

Our International segment had an exceptional year, posting 19% comparable sales growth for the full year and delivered over 40% improvement in adjusted operating profit. This growth was fueled by our market-leading Tilibra and Foroni brands in Brazil as in-personal education continues its recovery in Latin America. These successes and strong brand performances from GBC, Quartet, Noble and Barrilito, among others, give us confidence that our commitment to bring in innovative, value-added new products to market; and investing behind our brands, operations, and customer service is transforming our company towards faster organic sales growth.

我們的國際部門在這一年表現出色，全年可比銷售額增長 19%，調整後的營業利潤增長超過 40%。隨著個人教育在拉丁美洲繼續復甦，我們在巴西市場領先的 Tilibra 和 Foroni 品牌推動了這一增長。 GBC、Quartet、Noble 和 Barrilito 等公司的這些成功和強大的品牌表現讓我們相信，我們致力於將創新、增值的新產品推向市場；投資於我們的品牌、運營和客戶服務正在使我們的公司朝著更快的有機銷售增長方向轉變。

As we look to 2023, we are focused on 4 key priorities. First, we are laser-focused on restoring our gross margin. As I mentioned earlier, we have implemented multiple rounds of price increases, including our most recent round on January 1 of this year. And we have the ability to continue to raise prices to offset inflation, if warranted. Our ongoing productivity program delivered $20 million in mostly COGS savings in 2022. This included actions to improve our supply chain processes and consolidate our manufacturing and distribution footprints in North America.

展望 2023 年，我們專注於 4 個關鍵優先事項。首先，我們專注於恢復毛利率。正如我之前提到的，我們已經實施了多輪提價，包括今年 1 月 1 日的最近一輪提價。如果有必要，我們有能力繼續提高價格以抵消通貨膨脹。我們正在進行的生產力計劃在 2022 年實現了 2000 萬美元的節省，其中大部分是銷貨成本。這包括改進我們的供應鏈流程和鞏固我們在北美的製造和分銷足蹟的行動。

We also plan to reduce the number of SKUs we offer globally to simplify the manufacturing and distribution processes, improve our sourcing capabilities and reengineer current product specs for lower cost. These actions will meaningfully mitigate the inflationary pressures we have experienced over the last 18 months and improve our gross margin. We will continue to evaluate additional cost reduction measures, including facilities consolidations in response to current macroeconomic environment and secular trends.

我們還計劃減少我們在全球範圍內提供的 SKU 數量，以簡化製造和分銷流程、提高我們的採購能力並重新設計當前產品規格以降低成本。這些行動將有效減輕我們在過去 18 個月中經歷的通脹壓力，並提高我們的毛利率。我們將繼續評估額外的成本削減措施，包括設施整合以應對當前的宏觀經濟環境和長期趨勢。

Our second priority is to profitably manage the top line and what is expected to be a slow economic environment, especially in the first half. We have a complementary assortment of products and brands that occupy value to premium price points and met with profitable position for various customer segments, including the value segment. Historically, we have been able to do that with Five Star and Mead brands, Five Star and Hilroy, and Lights and Esselte brands, as examples. We need to ensure that we are disciplined in offering the right assortment for the price point and not discounting our premium feature reach brands.

我們的第二個優先事項是盈利管理頂線和預期的緩慢經濟環境，尤其是在上半年。我們擁有一系列互補的產品和品牌，這些產品和品牌佔據了高價位的價值，並為包括價值細分在內的各種客戶群帶來了盈利。從歷史上看，我們已經能夠做到這一點，例如 Five Star 和 Mead 品牌、Five Star 和 Hilroy 以及 Lights 和 Esselte 品牌。我們需要確保我們有紀律地提供價格點的正確分類，而不是打折我們的優質功能覆蓋品牌。

Third, we will continue to invest in the product innovation, key brands and growth initiatives. Innovation and new product development have been a key factor behind successes of our brands and their ability to grow or maintain our leading market share positions. We have a host of new product introductions that will continue to drive our growth in 2023.

第三，我們將繼續投資於產品創新、關鍵品牌和增長計劃。創新和新產品開發一直是我們品牌成功及其增長或保持領先市場份額能力的關鍵因素。我們推出了許多新產品，這些產品將繼續推動我們在 2023 年的增長。

Fourth, we will continue to manage our SG&A spend to improve management of headcounts and discretionary expenses. Offsetting these actions in '23 will be the restoration of the annual incentive plans. While ACCO Brands is not immune to current changes in economic conditions, we have the right strategy and an experienced management team to navigate the current operating environment.

第四，我們將繼續管理我們的 SG&A 支出，以改善員工人數和可自由支配費用的管理。抵消 23 年的這些行動將恢復年度激勵計劃。雖然 ACCO Brands 不能免受當前經濟狀況變化的影響，但我們擁有正確的戰略和經驗豐富的管理團隊來駕馭當前的運營環境。

We remain confident in our transformation to drive long-term sustainable organic revenue growth and are well capitalized with no debt maturities until 2026 and low fixed interest rates for over half of our outstanding debt. We continue to generate consistent strong cash flow and we'll prioritize dividend payments and debt reductions in 2023.

我們仍然對我們的轉型充滿信心，以推動長期可持續的有機收入增長，並且資本充足，2026 年之前沒有債務到期，我們一半以上的未償還債務的固定利率較低。我們將繼續產生持續強勁的現金流，我們將在 2023 年優先支付股息和減少債務。

As I mentioned earlier, the margin expansion is a top priority for the company. Our management of price and costs will determine how successful it will be in achieving margin expansion goals. Pricing will be largely established in the marketplace, but our value-added cost is something we can control and manage.

正如我之前提到的，擴大利潤率是公司的首要任務。我們對價格和成本的管理將決定它在實現利潤擴張目標方面的成功程度。定價將主要在市場上確定，但我們的增值成本是我們可以控制和管理的。

I've asked Tom Tedford, ACCO Brands President and Chief Operating Officer, to lead a multiyear effort to improve the efficiency of our physical assets in capital investments. Tom has been with ACCO Brands for 13 years and in his current role for the last 18 months. I will now turn the call over to Tom to share with you the details of this initiative.

我已請 ACCO Brands 總裁兼首席運營官 Tom Tedford 領導一項多年努力，以提高我們有形資產在資本投資中的效率。 Tom 在 ACCO Brands 工作了 13 年，在過去的 18 個月裡一直擔任目前的職位。我現在將電話轉給湯姆，與您分享該計劃的細節。

Thank you, Boris, and good morning, everyone. During the fourth quarter of 2022, we initiated restructuring plans for both our North America and EMEA segments. The actions are intended to expand 2023 margins through initiatives focused on improving operating efficiency, and reducing costs while continuing to support key seasonal product sets, for our retail partners and category-leading service levels for all of our customers.

謝謝鮑里斯，大家早上好。 2022 年第四季度，我們啟動了北美和 EMEA 部門的重組計劃。這些行動旨在通過專注於提高運營效率和降低成本的舉措來擴大 2023 年的利潤率，同時繼續為我們的零售合作夥伴提供關鍵的季節性產品組合，並為我們所有的客戶提供類別領先的服務水平。

In North America, our actions are focused on streamlining and simplifying the organization through consolidation of supply chain operations, SKU reduction and automating our sales support process. In EMEA, we are focused on reducing redundancy and enhancing productivity with SKU reduction and other sourcing initiatives.

在北美，我們的行動重點是通過整合供應鏈運營、減少 SKU 和自動化我們的銷售支持流程來精簡和簡化組織。在歐洲、中東和非洲，我們專注於通過減少 SKU 和其他採購計劃來減少冗餘和提高生產力。

We expect to realize $13 million in annual cost savings from these actions, the vast majority of which will come in 2023. We are in the middle of a multiyear journey to rationalize our facilities footprint. Last year, we closed 1 distribution center in California, and rebalanced our manufacturing and distribution capabilities in the U.S. These actions will save us $2.5 million per year. We are looking at additional opportunities to leverage our existing footprint in the U.S. and shift more outsourced distribution into our facilities.

我們預計通過這些行動每年可節省 1300 萬美元的成本，其中絕大部分將在 2023 年實現。我們正處於合理化設施足蹟的多年旅程中。去年，我們關閉了加利福尼亞州的 1 個配送中心，並重新平衡了我們在美國的製造和配送能力。這些行動每年將為我們節省 250 萬美元。我們正在尋找更多機會來利用我們在美國的現有足跡，並將更多外包分銷轉移到我們的設施中。

In EMEA, we recently completed the move from a third-party distribution facility in the U.K. and consolidated shipments to our U.K. warehouse. Earlier this month, we approved a manufacturing facility closure in Continental Europe. And will consolidate its production into another ACCO Brands factory in Europe. This project will be executed this year with the P&L savings to come in 2024.

在歐洲、中東和非洲，我們最近完成了從英國第三方配送設施的轉移，並將貨物整合到我們的英國倉庫。本月早些時候，我們批准了歐洲大陸的一家製造工廠關閉。並將其生產整合到歐洲的另一家 ACCO Brands 工廠。該項目將於今年執行，2024 年將實現損益節省。

We are in the process of analyzing other global manufacturing and distribution consolidation opportunities. And we'll announce those as decisions get made after appropriate consultations with (inaudible) works council and other relevant entities.

我們正在分析其他全球製造和分銷整合機會。我們將在與（聽不清）工作委員會和其他相關實體進行適當協商後做出決定後宣布這些決定。

Finally, we are looking at opportunities to reduce our office space upon every commercial lease expiration. Hybrid work arrangements are here to stay, and we believe we can save millions by reducing our office square footage while maintaining or improving the productivity of our workforce. We have recently reduced our office space in California, and have approved a move to a smaller office in the U.K. with more to come. Ultimately, we expect these initiatives will create operating efficiencies, improve profitability, enhance productivity, as well as fund future growth initiatives.

最後，我們正在尋找機會在每次商業租約到期時減少我們的辦公空間。混合工作安排將繼續存在，我們相信我們可以通過減少辦公室面積來節省數百萬美元，同時保持或提高我們員工的生產力。我們最近減少了我們在加利福尼亞的辦公空間，並已批准搬到英國的一個更小的辦公室，未來還會有更多的辦公室。最終，我們預計這些舉措將提高運營效率、提高盈利能力、提高生產力，並為未來的增長舉措提供資金。

I will now hand it over to Deb and will come back to answer your questions. Deb?

我現在將其交給 Deb，然後回來回答您的問題。德布？

Thank you, Tom, and good morning, everyone. When we last spoke to you in November, I highlighted significant inventory destocking by retailers with their cautious approach to replenishment. This activity continued in the fourth quarter and actually accelerated throughout the quarter, especially in North America.

謝謝你，湯姆，大家早上好。當我們上次在 11 月與您交談時，我強調了零售商以謹慎的補貨方式進行的大量庫存去化。這一活動在第四季度繼續進行，並且實際上在整個季度都在加速，尤其是在北美。

We have also seen a continued decline in the macroeconomic environment and slowing demand. We reported sales at the low end of our outlook due to these challenges. This lower sales volume, coupled with some one-off expenses and higher non-operating expense caused EPS to be $0.01 below our guidance range.

我們還看到宏觀經濟環境持續下滑，需求放緩。由於這些挑戰，我們報告的銷售額處於我們預期的低端。較低的銷量，加上一些一次性費用和較高的非運營費用，導致每股收益比我們的指導範圍低 0.01 美元。

In the fourth quarter of 2022, reported sales decreased 12% as foreign currency was a 5% headwind. Comparable sales were down almost 8%. The decline was due to lower volumes in our North America and EMEA segments, offsetting solid growth in our International segment. As Boris mentioned, we had stronger first half sales due to the pull forward by retailers, as well as softer demand trends that began in the third quarter. With this stronger first half, our full year comparable sales were up 1%.

在 2022 年第四季度，報告的銷售額下降了 12%，因為外匯是 5% 的逆風。可比銷售額下降了近 8%。下降是由於我們的北美和 EMEA 部門銷量下降，抵消了我們國際部門的穩健增長。正如鮑里斯所提到的，由於零售商的推動以及第三季度開始的疲軟需求趨勢，我們上半年的銷售額更為強勁。由於上半年表現強勁，我們全年的可比銷售額增長了 1%。

In the fourth quarter, adjusted operating income was $52 million compared with $79 million last year. Adjusted EPS was $0.32 versus $0.54 in 2021. For the full year, adjusted operating income was $176 million versus the $228 million a year earlier and full year adjusted EPS was $1.04 versus $1.41 in 2021. In the fourth quarter, our adjusted operating income decline was greater than the reduction in our sales volume as the lagging effect of significant inflation contained.

第四季度，調整後營業收入為 5200 萬美元，而去年同期為 7900 萬美元。調整後每股收益為 0.32 美元，而 2021 年為 0.54 美元。全年調整後營業收入為 1.76 億美元，上年同期為 2.28 億美元，全年調整後每股收益為 1.04 美元，而 2021 年為 1.41 美元。第四季度，我們調整後的營業收入下降幅度為由於顯著通脹的滯後效應得到遏制，我們的銷量下降幅度更大。

While inflationary costs are beginning to come down, their lagging effect on our P&L will continue to impact our gross profit in the first quarter of 2023, but we expect it will improve as we progress through the year. Given the lower sales overall, we have also experienced fixed cost deleveraging in some of our facilities.

雖然通貨膨脹成本開始下降，但它們對我們損益表的滯後效應將繼續影響我們 2023 年第一季度的毛利潤，但我們預計隨著今年的進展，它會有所改善。鑑於整體銷售額較低，我們的一些設施也經歷了固定成本去槓桿化。

In the quarter, there were some unfavorable one-off items, a Canadian operating tax catch-up, excessive fines related to demurrage, and the comparative impact of a favorable inventory reserve release last year. The total amount of these one-off items accounted for 150 basis point decline in our consolidated operating margin for the fourth quarter.

本季度有一些不利的一次性項目、加拿大營業稅補繳、與滯期費相關的超額罰款，以及去年有利的庫存儲備釋放的比較影響。這些一次性項目的總額導致我們第四季度的綜合營業利潤率下降了 150 個基點。

In response to the change in the macroeconomic environment, we initiated a number of cost reduction and restructuring actions in the fourth quarter as Boris and Tom both mentioned earlier. For the quarter, we booked restructuring charges of approximately $7 million for our North America and EMEA operating segments. We expect annual cost savings from these actions to yield approximately $13 million, which will largely be recognized in 2023.

為應對宏觀經濟環境的變化，我們在第四季度啟動了一系列成本削減和重組行動，正如鮑里斯和湯姆之前提到的那樣。本季度，我們為北美和 EMEA 運營部門預訂了大約 700 萬美元的重組費用。我們預計這些行動每年可節省約 1300 萬美元的成本，大部分將在 2023 年得到確認。

Our ongoing productivity initiatives are expected to yield another $15 million of incremental savings in 2023. The collective sum of these savings will help mitigate the reestablishment of incentive compensation and merit increases in 2023. We are also committed to continue to spend on our go-to-market initiatives, particularly in sales and marketing and invest in product development.

我們正在進行的生產力計劃預計將在 2023 年再產生 1500 萬美元的增量節省。這些節省的總和將有助於減輕 2023 年激勵薪酬和績效增長的重建。我們還承諾繼續在我們的 go-to 上支出- 市場舉措，特別是在銷售和營銷方面，並投資於產品開發。

Fourth quarter adjusted SG&A expenses were $93 million compared with $99 million in 2021, primarily as a result of lower incentive compensation, cost savings initiatives and the positive benefit of FX, partially offset by continued investment in our go-to-market programs, and increased bad debt expense. Full year SG&A expenses were 19.3% of sales, consistent with the prior year.

第四季度調整後的 SG&A 費用為 9300 萬美元，而 2021 年為 9900 萬美元，這主要是由於較低的激勵薪酬、成本節約計劃和外彙的積極收益，部分被我們對上市計劃的持續投資所抵消，並增加壞賬費用。全年 SG&A 費用佔銷售額的 19.3%，與上一年持平。

Now let's turn to our segment results. Fourth quarter comparable net sales in North America decreased 16% to $227 million. The decrease was due to volume declines for gaming accessories, lower inventory replenishment by retailers, and a slowing demand environment. In the third quarter, we discussed with you that retailers began to reduce their inventory levels for our products. These actions increased in the fourth quarter, creating even more of a headwind in the period.

現在讓我們來看看我們的細分結果。北美第四季度可比淨銷售額下降 16% 至 2.27 億美元。下降的原因是遊戲配件銷量下降、零售商庫存補充減少以及需求環境放緩。在第三季度，我們與您討論過零售商開始降低我們產品的庫存水平。這些行動在第四季度有所增加，在此期間造成了更大的阻力。

For the full year, comparable net sales were down 4%, which includes the stronger first half of the year. Growth in many of our brands and categories was offset by the decline in gaming accessories.

全年可比淨銷售額下降 4%，其中包括上半年的強勁表現。我們許多品牌和品類的增長被遊戲配件的下滑所抵消。

North America adjusted operating income margin in the fourth quarter decreased due to negative fixed cost leverage from the volume declines, higher cost of finished goods and specific commodity materials, and higher inbound freight and outbound transportation costs that were not offset by price increases.

北美第四季度調整後的營業利潤率下降，原因是銷量下降導致固定成本負槓桿作用、成品和特定商品材料的成本增加，以及進港運費和出港運輸成本增加，這些成本沒有被價格上漲所抵消。

Adjusted operating income was also negatively impacted by the previously mentioned one-off items, which contributed the equivalent of 340 basis points to margin rate decline in the fourth quarter. For the full year, adjusted operating income was down 21%.

調整後的營業收入也受到前面提到的一次性項目的負面影響，這些項目對第四季度的利潤率下降貢獻了相當於 340 個基點。全年，調整後的營業收入下降了 21%。

Now let's turn to EMEA. Net sales for the quarter were down 17% to $156 million, 12% of that decline was due to FX. Comparable sales were down 5% to $178 million, mainly due to volume declines offsetting our price increases.

現在讓我們轉向 EMEA。本季度的淨銷售額下降 17% 至 1.56 億美元，其中 12% 的下降是由於外匯。可比銷售額下降 5% 至 1.78 億美元，這主要是由於銷量下降抵消了我們的價格上漲。

In Europe, the current energy crisis and significant inflation continue to create a challenging demand environment. While inflation has shown early signs of moderating in the region, consumer sentiment remains low. For the full year, comparable net sales were down only 1%, including the impact of the stoppage of sales to Russia.

在歐洲，當前的能源危機和嚴重的通貨膨脹繼續造成充滿挑戰的需求環境。儘管該地區的通脹已顯示出緩和的早期跡象，但消費者信心依然低迷。全年可比淨銷售額僅下降 1%，其中包括停止向俄羅斯銷售的影響。

In the fourth quarter, EMEA posted lower adjusted operating income and a margin rate that was 150 basis points behind the prior year. Sequentially, margin rate improved from the third quarter due to our pricing increases and moderating inflation. We expect our January price increase to further mitigate the overall impact of these inflationary cost increases going forward.

第四季度，歐洲、中東和非洲公佈了較低的調整後營業收入和利潤率，比去年同期低 150 個基點。由於我們的價格上漲和通脹放緩，保證金率從第三季度開始有所改善。我們預計我們 1 月份的價格上漲將進一步減輕這些通貨膨脹成本上漲的總體影響。

Adjusted operating income was challenged by inflation and lower sales volumes, which led to deleveraging of fixed costs. For the full year, adjusted operating income was $37 million, a decline of 52%.

調整後的營業收入受到通貨膨脹和銷量下降的挑戰，這導致固定成本去槓桿化。全年，調整後營業收入為 3700 萬美元，下降 52%。

Full year margin rate was down 520 basis points compared to the 150 basis point decline in the fourth quarter, supporting the fact that pricing actions are taking hold.

與第四季度下降 150 個基點相比，全年利潤率下降了 520 個基點，這支持了定價行動正在發生的事實。

Moving to the International segment. Net sales in the fourth quarter increased 6% and comparable sales rose 8%. This segment has been strong throughout the year with 19% capital net sales growth in 2022. Growth was driven by both price increases and volume growth. Growth in Brazil was very strong as schools and businesses returned to in-person education and work.

轉到國際部分。第四季度淨銷售額增長 6%，可比銷售額增長 8%。這一細分市場全年表現強勁，2022 年資本淨銷售額增長 19%。增長是由價格上漲和銷量增長推動的。隨著學校和企業恢復面對面的教育和工作，巴西的增長非常強勁。

The International segment posted higher adjusted operating income in the fourth quarter as a result of the higher sales. Full year operating income grew over 40% with margin rate improving 310 basis points.

由於銷售額增加，國際部門在第四季度公佈了更高的調整後營業收入。全年營業收入增長超過 40%，利潤率提高 310 個基點。

Switching to cash flow and balance sheet items. For the full year, we generated $78 million in adjusted free cash flow, below our outlook of $90 million to $100 million, with the shortfall due to lower EBITDA and a greater proportion of paid inventory given the timing of our inventory receipts. As this timing normalizes, it should provide a tailwind in 2023.

切換到現金流量和資產負債表項目。全年，我們產生了 7800 萬美元的調整後自由現金流，低於我們 9000 萬至 1 億美元的預期，不足之處是由於 EBITDA 較低以及考慮到我們的存貨收貨時間，已付存貨的比例較高。隨著這個時間的正常化，它應該會在 2023 年提供順風。

For the full year, inventory was down $33 million or 8% despite the higher inflation. This puts us in a good position for a normal working capital cycle in 2023. We are proactively managing our inventory levels given the uncertainty in the environment and demand trends.

儘管通貨膨脹率較高，但全年庫存下降了 3300 萬美元或 8%。這使我們在 2023 年的正常營運資金周期中處於有利位置。鑑於環境和需求趨勢的不確定性，我們正在積極管理我們的庫存水平。

We ended the year with a consolidated leverage ratio of 4.2x. This was higher than we expected due to lower EBITDA and free cash flow. Longer term, we are still targeting the 2 to 2.5x. We utilized our free cash flow to fund dividends of $29 million, paid a contingent earn-out of $27 million and repurchased $19 million of shares.

年底，我們的綜合槓桿率為 4.2 倍。由於較低的 EBITDA 和自由現金流，這高於我們的預期。從長遠來看，我們的目標仍然是 2 到 2.5 倍。我們利用自由現金流支付了 2900 萬美元的股息，支付了 2700 萬美元的或有收益，並回購了 1900 萬美元的股票。

At year-end, we had $518 million of remaining availability on our $600 million revolving credit facility. As shown in our earnings slides, more than half of our debt is fixed and not impacted by interest rate increases. We have no maturities until 2026.

到年底，我們 6 億美元的循環信貸額度還有 5.18 億美元的剩餘可用資金。正如我們的收益幻燈片所示，我們一半以上的債務是固定的，不受利率上升的影響。我們在 2026 年之前沒有到期。

Turning to our outlook. We are providing both first quarter and full year guidance for 2023. Our 2023 quarterly sales teams will trend differently than in 2022. We had strong first quarter and first half sales growth in 2022 with early back-to-school shipments in North America and good demand. These trends reversed in the second half of the year as a worsening global economy and a higher rate of inflation created demand pressures.

轉向我們的前景。我們將提供 2023 年第一季度和全年的指導。我們 2023 年季度銷售團隊的趨勢將與 2022 年不同。我們在 2022 年第一季度和上半年的銷售增長強勁，北美提前返校出貨量和良好的要求。隨著全球經濟惡化和通貨膨脹率上升造成需求壓力，這些趨勢在下半年出現逆轉。

In particular, we saw retailers proactively reduce their inventory beginning in the third quarter of 2022, which continued through year-end. Therefore, we are projecting our sales to be down year-over-year in the first quarter and the first half of 2023. In the second half of 2023, sales growth should mitigate the first half decline as we expect improved economic conditions and inventory replenishment.

特別是，我們看到零售商從 2022 年第三季度開始主動減少庫存，並一直持續到年底。因此，我們預計我們的銷售額在 2023 年第一季度和上半年將同比下降。在 2023 年下半年，由於我們預計經濟狀況改善和庫存補充，銷售額增長應該會緩解上半年的下降.

Our outlook for sales growth in 2023 is for comparable net sales to be down 3% to flat compared to 2022. We expect volume to be down for the year with improved pricing partially or fully offsetting the decline. Foreign exchange at current rates is expected to be neutral.

我們對 2023 年銷售額增長的展望是，與 2022 年相比，可比淨銷售額下降 3% 至持平。我們預計全年銷量將下降，定價的改善部分或完全抵消了下降幅度。按當前匯率計算的外匯預計將保持中性。

For the first quarter of 2023, we expect comparable sales to decline 7% to 10%, primarily due to the later shipments for North America back-to-school and due to demand related to the economic environment. At the higher end of our first quarter outlook, comparable sales would be up 3% on a 2-year basis.

對於 2023 年第一季度，我們預計可比銷售額將下降 7% 至 10%，這主要是由於北美返校時間的延遲以及與經濟環境相關的需求。在我們第一季度展望的較高端，可比銷售額將在 2 年的基礎上增長 3%。

First quarter adjusted EPS is expected to be $0.05 to $0.07 with lower operating income, reflecting fixed cost deleveraging along with higher interest and noncash non-operating pension expenses. Full year adjusted EPS is projected to increase 4% to 8% to $1.08 to $1.12, approaching low double-digit growth in adjusted operating income, partially offset by higher interest costs of $6 million and higher noncash non-operating pension expenses of $5 million.

第一季度調整後每股收益預計為 0.05 美元至 0.07 美元，營業收入較低，反映出固定成本去槓桿化以及較高的利息和非現金非經營性養老金支出。全年調整後每股收益預計將增長 4% 至 8%，達到 1.08 美元至 1.12 美元，調整後營業收入接近兩位數的低增長，部分被 600 萬美元的利息成本增加和 500 萬美元的非現金非經營養老金支出增加所抵消。

For the full year, we expect our gross margins to increase and be similar to our 2021 margin rate, and we continue to target a long-term range within 32% to 33%. While we have reduced our overall cost structure from our fourth quarter restructuring actions, the restoration of our annual incentive compensation expense, as well as increases in merit and go-to-marketing spending will lead to higher SG&A levels in 2023. In total, we expect improvement in our adjusted operating income margin rate to approach 100 basis points.

對於全年，我們預計我們的毛利率將增加並與 2021 年的毛利率相似，我們繼續將長期目標定在 32% 至 33% 之間。雖然我們從第四季度的重組行動中降低了整體成本結構，但我們年度激勵補償費用的恢復以及業績和營銷支出的增加將導致 2023 年的 SG&A 水平更高。總的來說，我們預計我們調整後的營業收入利潤率將提高到接近 100 個基點。

The adjusted tax rate is expected to be approximately 29%. Intangible amortization for the full year is estimated to be $43 million, which equates to approximately $0.32 of adjusted EPS. We expect our adjusted free cash flow to be at least $100 million after CapEx of $20 million. Looking at cash uses in 2023, we expect to continue to prioritize dividends and debt reduction.

調整後的稅率預計約為29%。全年的無形攤銷估計為 4300 萬美元，相當於約 0.32 美元的調整後每股收益。我們預計在資本支出為 2000 萬美元後，我們調整後的自由現金流至少為 1 億美元。從 2023 年的現金使用情況來看，我們預計將繼續優先考慮派息和減少債務。

Now let's move on to questions, where Boris, Tom and I will be happy to take them. Operator?

現在讓我們繼續提問，鮑里斯、湯姆和我很樂意回答這些問題。操作員？

(Operator Instructions) Our first question today comes from Greg Burns with Sidoti & Company.

（操作員說明）我們今天的第一個問題來自 Sidoti & Company 的 Greg Burns。

Just in regards to the inventory destocking issues. What are the level of channel inventories right now? And historically, in other cyclical downturns, have you seen similar patterns? And how do they -- how does this play out over the next couple of quarters? Because I'm assuming they can only take inventory down to -- they can only take it down so low. So how should we -- how are you thinking about this issue playing out over the next couple of quarters?

就庫存去庫存問題而言。目前渠道庫存水平如何？從歷史上看，在其他週期性衰退中，您是否看到過類似的模式？他們如何 - 這在接下來的幾個季度中如何發揮作用？因為我假設他們只能將庫存降低到 - 他們只能將其降低到如此低的水平。那麼我們應該如何 - 你如何看待這個問題在接下來的幾個季度中發揮作用？

Yes. Thanks for the question, Greg. The levels of channel inventory are pretty low right now. Historically, at pretty low levels. We see increased levels out of stocks for our products on shelf. We saw an improvement. We saw less destocking over the last few weeks compared to what we saw in Q4. But right now, what we expect is retailers will just buy to just replenish to POS. We don't think they're going to bringing in additional inventory until they see macroeconomic improvements.

是的。謝謝你的問題，格雷格。目前渠道庫存水平很低。從歷史上看，處於相當低的水平。我們發現貨架上的產品缺貨情況有所增加。我們看到了進步。與第四季度相比，我們在過去幾週看到的去庫存情況有所減少。但現在，我們預計零售商只會購買以補充到 POS。我們認為，在看到宏觀經濟改善之前，他們不會增加庫存。

Obviously, that excludes back-to-school because they will have to bring product for back-to-school in the second part of Q2. But if you look at Q1, it'll probably likely be just POS replenishment and not stocking up on more inventory.

顯然，這不包括返校，因為他們必須在第二季度的第二部分為返校帶來產品。但如果你看一下第一季度，它很可能只是 POS 補貨，而不是囤積更多庫存。

And then the growth in the international segment was a little lower than we were looking for. And I guess, what the growth rate was for the first 3 quarters of the year. So was there any change in any of the markets there in particular that maybe led to a little bit slower growth?

然後國際部分的增長略低於我們的預期。我猜，今年前三個季度的增長率是多少。那麼，那裡的任何市場是否有任何變化，特別是可能導致增長放緩？

Yes, the growth was around 7%. And for the year, they were 19% and then we just some compare issues. Specifically, Brazil continues to perform well, but we had slower growth outside of Brazil. Some of that is due to just macro issues in Australia and Asia specifically. And in Mexico, we actually didn't have enough product to shift. So that was more of an inventory issue, and we expect to make that up in the first quarter of '23.

是的，增長率約為 7%。今年，他們是 19%，然後我們只是比較一些問題。具體來說，巴西繼續表現良好，但我們在巴西以外的地區增長放緩。其中一些是由於澳大利亞和亞洲的宏觀問題。在墨西哥，我們實際上沒有足夠的產品來轉移。所以這更像是一個庫存問題，我們預計會在 23 年第一季度解決這個問題。

And then the $13 million in cost savings, how should we think about that in terms of the timing of the realization of that? Is it back half loaded, ratable throughout the year? What's the timing?

然後節省 1300 萬美元的成本，我們應該如何考慮實現它的時間？它是半載的，全年都可以評級嗎？時間是什麼時候？

Yes. It's pretty ratable. I'd say there's a little bit of it back-end loaded as we've instituted some of the actions later in the year, but it goes pretty much throughout the year, I would say, Greg.

是的。這是相當可評價的。我想說有一點後端加載，因為我們在今年晚些時候制定了一些行動，但它幾乎全年都在進行，我想說，格雷格。

Your next question comes from Joe Gomes with NOBLE Capital.

您的下一個問題來自 NOBLE Capital 的 Joe Gomes。

You mentioned in the release, part of what impacted the sales in the quarter were weaker gaming sales, lower inventory replenishment, some reduced volume. Can you kind of size that up as to what each one of the impact was from each one of those for the quarter?

您在新聞稿中提到，影響本季度銷售額的部分原因是博彩銷售疲軟、庫存補充減少以及銷量下降。關於本季度每個影響的每個影響，您能否確定其規模？

Will you have that one?

你要那個嗎？

Well, I think for the quarter, if you look, a lot of a big proportion would be the inventory destocking that was pretty pervasive as you looked across North America, by many of our customers. And then I would say gaming is a smaller piece of the total, but it declined 26% for the year, so when you take that into account, it had a pretty significant impact in the quarter.

好吧，我認為對於這個季度，如果你看的話，很大一部分是庫存去庫存，當你在整個北美看到我們的許多客戶時，庫存去庫存非常普遍。然後我會說遊戲佔總數的一小部分，但全年下降了 26%，所以當你考慮到這一點時，它在本季度產生了相當大的影響。

Yes, I would agree with that. Because gaming is the biggest quarter of the year, Joe, so --

是的，我同意這一點。因為遊戲是一年中最大的季度，喬，所以——

That's right. And expectations were higher for it.

這是正確的。並且對它的期望更高。

Yes. In Q4, those 2 draw a predominant decrease in sales, inventory destocking and gaming.

是的。在第 4 季度，這 2 個在銷售、庫存去庫存和博彩方面出現了顯著下降。

Yes, because I think in the previous quarter, you were looking for the gaming to be down about 15% for the year. So that's a pretty significant decline in the quarter. And so --

是的，因為我認為在上一季度，您希望遊戲全年下降約 15%。所以這是一個相當顯著的季度下降。所以 -

Can I?

我可以嗎？

You're looking at PowerA -- I'm sorry?

你在看 PowerA——對不起？

No, go ahead. I was just going to say for strategy. It's a big season for gaming that fourth quarter.

沒有，繼續。我只想說戰略。第四季度是遊戲的重要季節。

Right. So I mean I think you touched a little bit on it, but Boris, you're still looking on a longer-term basis for that PowerA to show some double-digit long-term growth. And I know you've mentioned moving into EMEA are expanding into EMEA more. Kind of what -- maybe you could give us a little more color on what are your expectations for PowerA in '23?

正確的。所以我的意思是，我認為你略微提到了一點，但是鮑里斯，你仍在尋找 PowerA 的長期基礎，以顯示兩位數的長期增長。我知道你提到過進入 EMEA 正在更多地擴展到 EMEA。什麼樣的——也許你可以給我們更多關於你對 23 年 PowerA 的期望的顏色？

Well, we certainly expect growth in PowerA in '23, and we expect the industry to rebound. It will be back half loaded just from a compare standpoint because Q1 of last year was still pretty good. Overall, plenty of supply and demand was pretty good. So the comps will still be difficult in the first quarter, but starting with the second quarter and going forward, they get better, and we expect growth overall for the year. It will be led by our EMEA and International segments.

好吧，我們當然預計 23 年 PowerA 會增長，我們預計該行業會反彈。僅從比較的角度來看，它會恢復一半，因為去年第一季度仍然相當不錯。總體來說，供需充裕還是不錯的。因此，第一季度的業績仍然很困難，但從第二季度開始，情況會好轉，我們預計今年的整體增長。它將由我們的 EMEA 和國際部門領導。

Overall, even in '22, despite PowerA being down 26% overall, we saw growth outside of North America. So that will just continue and accelerate. We are hiring people, both in EMEA and international segment to take PowerA direct to our customers in most places. And that, along with a broader product assortment and streamline distribution that Tom referred to should enable continued PowerA growth in EMEA and international. In fact, we expect some acceleration in those 2 segments.

總體而言，即使在 22 年，儘管 PowerA 整體下降了 26%，但我們看到了北美以外的增長。所以這只會繼續並加速。我們正在 EMEA 和國際部門招聘人員，以便在大多數地方將 PowerA 直接帶給我們的客戶。而且，連同 Tom 提到的更廣泛的產品種類和簡化的分銷，應該能夠使 PowerA 在 EMEA 和國際上持續增長。事實上，我們預計這兩個領域會有所加速。

In North America, we just expect a rebound from what has been a very difficult year in '22. And you saw reporting from other companies in North America, other public companies, including from Nvidia yesterday, which indicates just how difficult gaming has been in 2022. So while we are disappointed by our performance, we're not unique in what we saw with gaming institute.

在北美，我們只是期待從 22 年非常艱難的一年中反彈。你昨天看到了來自北美其他公司和其他上市公司的報告，包括來自 Nvidia 的報告，這表明遊戲在 2022 年有多麼困難。因此，雖然我們對我們的表現感到失望，但我們並不是獨一無二的遊戲學院。

And last one for me. I mean you've given a lot of great detail for '23. What could possibly, in your mind, drive results above expectations? What would be the most likely things that could happen that would help potentially drive results above expectations?

最後一個給我。我的意思是你已經為 23 年提供了很多非常詳細的信息。在您看來，什麼可能會使結果超出預期？最有可能發生的有助於推動結果超出預期的事情是什麼？

Well, probably a couple of things, Joe. One is if back-to-school is really good. That should definitely be good for us. I mean if you look at what's happening in '23, the retailers are being conservative with upfront load-ins and then we're going to chase inventory during the season. And if we have a good season, that should benefit us because we have domestic manufacturing, unlike most of our competitors. So they need more product than they plan on, and we should be able to fulfill it when others cannot. So a good back-to-school season will serve us well.

嗯，可能有幾件事，喬。一是返校是否真的很好。那絕對對我們有好處。我的意思是，如果你看看 23 年發生的事情，零售商對前期裝貨持保守態度，然後我們將在這個季節追逐庫存。如果我們有一個好季節，那應該對我們有利，因為我們有國內製造，這與我們的大多數競爭對手不同。所以他們需要的產品比他們計劃的要多，而我們應該能夠在其他人不能的時候實現它。因此，一個良好的開學季對我們很有幫助。

And then just a strong economic recovery in the second half of the year. Everybody is expecting a slowdown in the first half and that's what's in our guidance. We expect some recovery in the second half. We wanted to keep it strong and that should benefit our global sales and profit overall.

然後是下半年強勁的經濟復甦。每個人都預計上半年會放緩，這就是我們的指導方針。我們預計下半年會出現一些復甦。我們希望保持強勁，這應該有利於我們的全球銷售和整體利潤。

Our next question comes from Kevin Steinke with Barrington Research.

我們的下一個問題來自 Barrington Research 的 Kevin Steinke。

In terms of the flat to 3% decline in sales you're expecting in 2023. Could you maybe just walk through expectations for your 3 segments? If you'd be willing to share any detail on that?

就您對 2023 年銷售額持平至 3% 的預期下降而言。您能否簡單介紹一下對您的 3 個細分市場的預期？如果你願意分享任何細節？

Yes. I think we're thinking about EMEA and North America down slightly, with international trending kind of in that mid-single digits like the fourth quarter.

是的。我認為我們正在考慮 EMEA 和北美略有下降，國際趨勢有點像第四季度那樣的中個位數。

Growth.

生長。

Growth, growth. International growth.

成長，成長。國際增長。

And North America and EMEA down slightly.

北美和 EMEA 略有下降。

So I guess you had the January 1st price increase. Do you think that price increase covers all -- at least the known inflationary headwinds that you're currently seeing? Or are there plans for additional price increases as we move throughout the year?

所以我猜你在 1 月 1 日漲價了。你認為價格上漲是否涵蓋了所有 - 至少是你目前看到的已知通脹逆風？或者隨著我們全年的搬遷，是否有額外提價的計劃？

We believe the price increase mostly covers all of the no inflation that we're seeing. The only exception that would be some of our smaller foreign countries where they may have to do more just due to exchange rate changes. But as far as North America and EMEA, that increase should cover known inflation.

我們認為價格上漲主要涵蓋了我們所看到的所有無通脹。唯一的例外是我們的一些較小的國家，它們可能僅僅由於匯率變化而不得不做更多的事情。但就北美和歐洲、中東和非洲而言，這一增長應該涵蓋已知的通貨膨脹。

And I think we've mentioned before, we've been covering the dollar throughout the year, but we've really taken a bite out of the margin, and that's what we need to get back.

而且我想我們之前已經提到過，我們全年都在覆蓋美元，但我們確實從利潤中咬了一口，這就是我們需要收回的。

Can you just talk a little bit about the plan to eliminate SKUs? And I assume you've identified some less relevant or underperforming SKUs that maybe aren't necessarily need to be part of the portfolio, and just kind of how you arrived at those conclusions or went through that process?

能否簡單介紹一下SKU淘汰計劃？我假設您已經確定了一些不太相關或表現不佳的 SKU，這些 SKU 可能不一定需要成為產品組合的一部分，以及您是如何得出這些結論或完成該過程的？

Yes, Kevin, this is Tom Tedford. I'll take that question. Yes, we go through a fairly robust SKU analysis annually. And we look at the profitability, the demand of those SKUs, the complexity of managing those SKUs. And each one of the segments has accelerated that analysis. So they should result -- that analysis should result in a number of pretty aggressive SKU reduction actions.

是的，凱文，這是湯姆泰德福。我會回答這個問題。是的，我們每年都會進行相當穩健的 SKU 分析。我們會查看盈利能力、這些 SKU 的需求以及管理這些 SKU 的複雜性。每個細分市場都加速了該分析。所以他們應該得出——分析應該導致一些相當積極的 SKU 減少行動。

In addition to what we typically do, we have looked at what we make in our factories and really done an analysis on future demand on those products. And if it doesn't meet a minimum criteria, we're going to aggressively retire those as well. But this is a part of an ongoing rationalization approach that we take very seriously as we look at inventory turns improvement and profit management. And I think our teams have a strong track record of doing this. We're just putting a little more pressure to accelerate the work in 2023.

除了我們通常做的事情之外，我們還研究了我們工廠生產的產品，並對這些產品的未來需求進行了真正的分析。如果它不符合最低標準，我們也將積極淘汰這些標準。但這是我們在審視庫存周轉改善和利潤管理時非常重視的持續合理化方法的一部分。我認為我們的團隊在這方面有著良好的記錄。我們只是施加了更多壓力來加快 2023 年的工作。

Lastly, I just wanted to, again, circle back to PowerA. You mentioned improving ship supply as one of the factors behind your expectations for some improvement in PowerA sales in 2023. So are you seeing kind of a meaningful improvement in ship availability for the -- going into gaming consoles and therefore, console availability improving as well?

最後，我只想再次回到 PowerA。您提到改善船舶供應是您對 2023 年 PowerA 銷售有所改善的預期背後的因素之一。因此，您是否看到船舶可用性有某種有意義的改善 - 進入遊戲機，因此，控制台可用性也會提高？

We are. We're seeing improvement already on the gaming consoles, and we see better availability of the chips that we need for our accessories. It's just there's a little bit of a delay due to the supply chain because these are manufactured in Asia. And have to be manufactured and shipped to our countries of sale, and that process takes a couple of months. So we expect, really, at the end of Q1, early Q2, a significant improvement in availability of our products due to the better ship availability.

我們是。我們已經看到遊戲機的改進，我們看到配件所需芯片的可用性更高。只是由於供應鏈的原因會有一點延遲，因為這些都是在亞洲製造的。並且必須製造並運送到我們的銷售國家，這個過程需要幾個月的時間。因此，我們預計，實際上，在第一季度末、第二季度初，由於更好的船舶可用性，我們的產品可用性將顯著提高。

The next question comes from William Reuter with Bank of America.

下一個問題來自美國銀行的 William Reuter。

My first question is on the gaming weakness for the year. You mentioned both the industry was down. You also mentioned that you had supply chain issues, and then you also mentioned that you lost a little bit of share. I guess, firstly, on the share losses, was it that you had less availability of product than others or what contributed to that? And then if you could try and break down the difference between how much was the industry and how much was specific to you guys?

我的第一個問題是關於今年的遊戲弱點。你提到兩個行業都在下滑。您還提到您有供應鏈問題，然後您還提到您失去了一點份額。我想，首先，關於份額損失，是您的產品可用性低於其他人還是造成這種情況的原因？然後，如果你能嘗試打破這個行業有多少和你們具體有多少之間的差異？

Yes. On the share loss, it was largely because we didn't have the product. It was wireless accessories for one of the consoles. We had very large market share in that particular category. And because we weren't able to supply the demand overall, the share shifted to other products where we have a smaller share. So that's really what drove majority of the share loss.

是的。在份額損失方面，主要是因為我們沒有產品。這是其中一個控制台的無線配件。我們在該特定類別中擁有非常大的市場份額。而且由於我們無法滿足整體需求，因此份額轉移到我們份額較小的其他產品。所以這真的是導致大部分股票損失的原因。

And then if I look at the reasons for the decline, 95% are industry-related issues and about 5% are kind of our things, such as what I just talked about in terms of lack of chips for our particular wireless accessories.

然後如果我看一下下降的原因，95% 是行業相關的問題，大約 5% 是我們的事情，比如我剛才談到的我們特定無線配件缺乏芯片。

Yes. PowerA (inaudible) destocking with the retailers as well.

是的。 PowerA（聽不清）也與零售商一起去庫存。

(inaudible) to the industry.

（聽不清）行業。

Exactly. I fully agree.

確切地。我完全同意。

Yes. That kind of moves to my second question. It's, I think, an earlier question talks about retailer destocking. In the gaming accessories, do you believe that, that destocking effort is done at this point?

是的。那種移動到我的第二個問題。我認為，這是一個關於零售商去庫存的較早問題。在遊戲配件方面，您認為此時去庫存的努力已經完成了嗎？

Yes. Again, just like for our school and business products, we see the stock of gaming accessories being fairly low. I mean it is typically lower at this time of the year. It's a slow season, but it is very low there as well. And we just like for other products, we have higher levels, a lot of stock for gaming accessories as well. So it's the same situation as other products.

是的。同樣，就像我們的學校和商業產品一樣，我們看到遊戲配件的庫存相當低。我的意思是它通常在每年的這個時候較低。這是一個淡季，但那裡也很低。我們就像其他產品一樣，我們有更高的水平，也有大量的遊戲配件庫存。所以和其他產品一樣的情況。

And then just lastly for me on capital allocation. You mentioned you're committed to the dividend. You also talked about debt reduction. Will you consider share repurchases this year? Or given the challenging macro backdrop, should we assume that those are off the table until leverage moves closer to our targets?

最後對我來說是關於資本配置的。你提到你致力於分紅。你還談到了減債。今年會考慮股票回購嗎？或者考慮到充滿挑戰的宏觀背景，我們是否應該假設在槓桿率接近我們的目標之前這些都不在考慮範圍之內？

Yes. I would say we're really focused on the debt paydown. Never say never to anything, but I guess we need to get that leverage ratio down, and that's what we're going to be focused on.

是的。我會說我們真的專注於償還債務。永遠不要對任何事情說永不，但我想我們需要降低杠桿率，這就是我們要關注的重點。

The next question comes from Hale Holden with Barclays.

下一個問題來自巴克萊銀行的 Hale Holden。

Boris, you made a comment around and not overly discounting your better brands or best brands like Five Star. So I was wondering how you think about that versus the weaker consumer and room for private label below you. And how you might fill that lower tier gap?

鮑里斯，你發表了評論，並沒有過度打折你更好的品牌或最好的品牌，如五星級。所以我想知道你如何看待這一點與你下面的較弱的消費者和自有品牌的空間。您如何填補較低層級的空白？

Yes. That's the benefit of having multiple brands, Hale. So historically, we've been able to position things both for premium price points, better price points, as well as good price points or value price points. And historically, for example, in our school products, Mead played that role of addressing, already mentioned, price point successfully. Mead's been a good brand. We saw strong demand in 2022 for that brand. So that should continue as we position things across the spectrum, depending on what the consumer segment we're targeting.

是的。這就是擁有多個品牌的好處，Hale。因此，從歷史上看，我們已經能夠為優質價格點、更好的價格點以及良好的價格點或價值點定位東西。例如，從歷史上看，在我們的學校產品中，米德成功地扮演了解決價格問題的角色。米德一直是個好品牌。我們看到 2022 年對該品牌的強勁需求。因此，當我們根據我們所針對的消費者細分市場定位時，這應該會繼續下去。

The same thing applies in EMEA. We have Lights, which is more of our premium brand and Esselte, which is more of a mainstream brand. We actually saw growth in '22 with Esselte, as consumers are kind of more attractive to those more value price points. So pretty much in every region, we have this multiple tier approach with our brands. And historically, we've been successful. And I also believe we can be successful in 2023 as we go through this economic slowdown.

同樣的事情也適用於 EMEA。我們有 Lights，它更像是我們的高端品牌，而 Esselte 更像是主流品牌。我們實際上看到了 Esselte 在 22 年的增長，因為消費者對那些更有價值的價格點更具吸引力。所以幾乎在每個地區，我們對我們的品牌都有這種多層次的方法。從歷史上看，我們一直很成功。而且我也相信，隨著我們經歷這次經濟放緩，我們可以在 2023 年取得成功。

And I was wondering what was embedded for back-to-school in the full year revenue guidance, if you were sort of thinking flat to slight volume declines on weaker consumer or if there was something else that might happen?

我想知道全年收入指導中返校的內容是什麼，如果你認為消費者疲軟導致銷量持平或略有下降，或者是否還有其他可能發生的事情？

Right now, we are assuming a flattish back-to-school, and this is really driven by NPD forecast for back-to-school. And that flattish assumption includes lower load-ins, people being less aggressive in bringing inventory upfront and then chasing it as they see the demand being fulfilled.

現在，我們假設返校時間持平，這實際上是由返校的 NPD 預測驅動的。這種持平的假設包括較低的裝載量，人們不太積極地提前存貨，然後在他們看到需求得到滿足時追逐它。

So, we really won't know until 3Q, how that turns out.

所以，我們真的要到第三季度才能知道結果如何。

That is correct. Yes.

那是對的。是的。

That's right.

這是正確的。

We will be asking you to bear with us, bear with us.

我們會要求你忍受我們，忍受我們。

I had one other question on debt repayment, which was as you're thinking about debt repayment, obviously, you have choice, right? You can take the loan, which is floating rate or you could potentially try to purchase the bond at a discount and accelerate the notional amount. And I was wondering how you were thinking about that trade-off or balance?

我還有一個關於償還債務的問題，當你考慮償還債務時，顯然你有選擇，對吧？您可以採用浮動利率貸款，或者您可以嘗試以折扣價購買債券並加速名義金額。我想知道你是如何考慮這種權衡或平衡的？

Yes. So we think about it. And I would tell you with the rates that those bonds carry right now, they're nice to have and to keep in the portfolio. So we will consistently look at it, but it keeps us with a good fixed rate.

是的。所以我們考慮一下。而且我會告訴你這些債券現在的利率，它們很高興擁有並保留在投資組合中。所以我們會一直關注它，但它讓我們保持良好的固定利率。

Our final question comes from Hamed Khorsand with BWS Financial.

我們的最後一個問題來自 BWS Financial 的 Hamed Khorsand。

Could you just talk a little bit more about this back-to-school, the delay in ordering. I thought your mass merchant retailers usually give you pretty good insights to what their ordering habits are. So are they just holding off and giving you any clarity? Or are they just holding so much inventory from last year that they just are still nervous about giving you any kind of order clarity?

你能不能多談談這次返校，訂購延遲。我認為您的大型零售商通常會讓您很好地了解他們的訂購習慣。那麼，他們只是在推遲並讓您清楚嗎？或者他們只是持有去年的大量庫存，以至於他們仍然對向您提供任何形式的訂單清晰度感到緊張？

No, no. They're pretty clear, and they don't have much inventory. They just deciding to bring in less this year as they are concerned about the macro environment. So they're loading in less than last year. And obviously, last year, they're loaded in more than typical because they were concerned about supply chain issues. So on a comparable basis, it's substantial. That's why our Q1 guidance is so much lower.

不，不。他們很清楚，而且他們沒有太多庫存。由於擔心宏觀環境，他們只是決定今年減少進口。所以他們加載的時間少於去年。很明顯，去年，他們的裝載量超過了往常，因為他們擔心供應鏈問題。因此，在可比的基礎上，它是可觀的。這就是為什麼我們的第一季度指導要低得多。

Revenue guidance is so much lower than last year because there's a lot of pull forwards last year that were happening that we will not see. So the timing of their orders is very similar to what we see historically. But the amount that they'll be bringing in will be a lot less than last year, due to things I just mentioned.

收入指引比去年低得多，因為去年發生了很多我們看不到的事情。所以他們的訂單時間與我們歷史上看到的非常相似。但由於我剛才提到的事情，他們帶來的數量將比去年少很多。

And my other question was just on your SKU strategy and just product strategy in general. How are you incorporating more of a hybrid work environment? Does that mean the changes you made last year for people going back to the office, you're reverting back to more of being consumer oriented?

我的另一個問題只是關於您的 SKU 策略和一般產品策略。您如何融入更多的混合工作環境？這是否意味著你去年為人們回到辦公室所做的改變，你正在回歸到更多以消費者為導向？

Yes, Hamad, this is Tom Tedford. And our teams have responded already to that change in work behavior very successfully. Our team in Europe, in particular, during the pandemic, we saw sales growth as they shifted more of their product solutions to a hybrid or fully work-from-home remote environment. Our Kensington business has responded quite well with that. So really across the majority of our brands that are focused on work solutions. We've already implemented a nice balance between remote work, hybrid work, and office solutions for our consumers.

是的，哈馬德，這是湯姆泰德福德。我們的團隊已經非常成功地應對了工作行為的這種變化。我們在歐洲的團隊，尤其是在大流行期間，隨著他們將更多產品解決方案轉移到混合或完全在家工作的遠程環境，我們看到了銷售增長。我們的 Kensington 業務對此反應良好。所以我們大多數專注於工作解決方案的品牌都是如此。我們已經為我們的消費者實現了遠程工作、混合工作和辦公室解決方案之間的良好平衡。

I guess what I'm trying to ask is the office solutions you used to have were high price tag and pretty recurring as far as your expectations over several years. What are your expectations on the new work-from-home kind of supplies that you're producing?

我想我想問的是，您過去使用的辦公解決方案價格高昂，而且在幾年內重複出現的頻率與您的預期相差無幾。您對您正在生產的新型在家工作用品有何期望？

Yes. I think Boris alluded to it earlier with the portfolio approach that we have and the multiple brands that we have supporting each category, we are able to meet the consumer where they are. And if they're able to purchase a premium product, we have solutions for them. If they choose to have a more value solution, we also have brands and solutions that meet the consumer at that price point.

是的。我認為鮑里斯早些時候提到過我們擁有的投資組合方法以及我們支持每個類別的多個品牌，我們能夠滿足消費者的需求。如果他們能夠購買優質產品，我們會為他們提供解決方案。如果他們選擇更有價值的解決方案，我們也有在該價位上滿足消費者需求的品牌和解決方案。

So I think over time, we'll continue to see a good mix of our business, but it will continue to shift modestly towards more consumer solutions. But that profit profile really isn't all that significantly different. We just have to sell more units to offset the ASP declines.

所以我認為隨著時間的推移，我們將繼續看到我們業務的良好組合，但它將繼續適度轉向更多的消費者解決方案。但這種利潤狀況確實並沒有那麼大的不同。我們只需要出售更多的單位來抵消平均售價的下降。

Let me add a little bit more color here just on the environment. So we believe that the hybrid workplace is here to stay. We see actually a quite stable environment with most companies working hybrid or in the office, and very few still are fully remote. We are seeing a positive trickle back to the office. So it started a year ago, and it continues and its slow, but it's continuing as more companies demand more presence in the office. So the product portfolio that we have is able to meet all of those 3 environments. We did a lot of work back in 2020 and 2021 to kind of restructure our portfolio so that we can supply both in the office and hybrid workers, and that will continue.

讓我在這里為環境添加更多顏色。因此，我們相信混合工作場所將繼續存在。我們實際上看到了一個相當穩定的環境，大多數公司都在混合辦公或在辦公室工作，很少有人仍然完全遠程辦公。我們看到積極的涓涓細流回到辦公室。所以它是一年前開始的，它一直在繼續，而且速度很慢，但隨著越來越多的公司要求更多人出現在辦公室，它還在繼續。因此，我們擁有的產品組合能夠滿足所有這 3 種環境。我們在 2020 年和 2021 年做了很多工作來重組我們的產品組合，以便我們可以同時提供辦公室和混合型員工，而且這種情況將繼續下去。

And then just my other comment on the environment, the inventory reductions that we referred to throughout our discussion today, are more significant in retail than it is in the business-to-business side, as we're seeing our business-to-business focused channel partners continue to support this return to office, a trickle that we talked about. So the sales there are doing better. And certainly, the inventory situation there is better than it is on the purely retail consumer side.

然後是我對環境的其他評論，我們今天討論中提到的庫存減少在零售業比在企業對企業方面更重要，因為我們看到我們的企業對企業專注的渠道合作夥伴繼續支持我們重返辦公室，這是我們談到的涓涓細流。所以那裡的銷售做得更好。當然，那裡的庫存情況比純零售消費者方面要好。

We have no further questions. So I'll turn the call back to the management team for any concluding remarks.

我們沒有其他問題了。因此，我會將電話轉回給管理團隊，以徵求任何總結意見。

Thanks, Emily, and thank you, everybody, for your interest in ACCO Brands. Previously, we have managed well in difficult environments and are confident in our ability to navigate current economic challenges. We're also confident that we have the right strategy and believe we're well positioned to continue to deliver organic sales growth, compelling market performance, and improved financial results as global economies recover.

謝謝 Emily，也謝謝大家對 ACCO Brands 的關注。以前，我們在困難的環境中管理得很好，並且對我們應對當前經濟挑戰的能力充滿信心。我們也相信我們擁有正確的戰略，並相信我們有能力繼續實現有機銷售增長、引人注目的市場表現以及隨著全球經濟復甦而改善的財務業績。

We look forward to talking with you in a couple of months to report on our first quarter results. Thank you.

我們期待在幾個月後與您交談，報告我們第一季度的業績。謝謝。

Thank you, everyone, for joining us today. This concludes our call, and you may now disconnect your lines.

謝謝大家今天加入我們。我們的通話到此結束，您現在可以斷開您的線路。