Build-A-Bear Workshop Inc (BBW) 2024 Q3 法說會逐字稿

Greetings and welcome to Build-A-Bear Workshop third-quarter 2024 earnings conference call.

您好，歡迎參加 Build-A-Bear Workshop 2024 年第三季財報電話會議。

(Operator Instructions)

（操作員說明）

As a reminder, this conference is being recorded.

提醒一下，本次會議正在錄製中。

It is now my pleasure to introduce your host, Gary Schnierow, Build-A-Bear Investor Relations. Thank you. You may begin.

現在我很高興向您介紹主持人，Build-A-Bear 投資者關係部門的 Gary Schnierow。謝謝。你可以開始了。

Thank you. Good morning, everyone and welcome to Build-A-Bear's third-quarter 2024 earnings conference call.

謝謝。大家早安，歡迎參加 Build-A-Bear 2024 年第三季財報電話會議。

With us today are Build-A-Bear's CEO, Sharon Price John; and CFO, Vain Todorovic.

今天與我們在一起的有 Build-A-Bear 的執行長 Sharon Price John；和財務長 Vain Todorovic。

During this call, we'll refer to forward-looking statements that are subject to risks and uncertainties. Actual results could differ materially. Please refer to our Forms 10-K and 10-Q including the Risk Factor section. We undertake no obligation to update any forward-looking statements. During this call, we will present both GAAP and non-GAAP financial measures and a reconciliation of non-GAAP to GAAP measures is included in today's earnings press release which is distributed and available to the public on our Investor Relations website.

在本次電話會議中，我們將提及受風險和不確定性影響的前瞻性陳述。實際結果可能存在重大差異。請參閱我們的表格 10-K 和 10-Q，包括風險因素部分。我們不承擔更新任何前瞻性陳述的義務。在本次電話會議中，我們將介紹GAAP 和非GAAP 財務指標，並且非GAAP 與GAAP 指標的調節將包含在今天的收益新聞稿中，該新聞稿將在我們的投資者關係網站上向公眾發布和發布。

And now I'll turn the call over to Sharon.

現在我將把電話轉給莎倫。

Thank you, Gary.

謝謝你，加里。

Good morning and thanks for joining us for Build-A-Bear's third-quarter fiscal 2024 earnings call.

早安，感謝您參加 Build-A-Bear 2024 財年第三季財報電話會議。

We are pleased to report strong results this quarter as we continue to execute on our strategic initiatives to evolve and diversify the company's business model to drive profitable growth and to leverage the power and affinity of the Build-A-Bear brand. These results represent the best ever third quarter in Build-A-Bear's history although the web continued to perform below expectations.

我們很高興在本季度報告強勁的業績，因為我們繼續執行我們的策略舉措，以發展和多元化公司的業務模式，以推動盈利增長並利用 Build-A-Bear 品牌的力量和親和力。儘管網路表現仍然低於預期，但這些結果代表了 Build-A-Bear 歷史上最好的第三季。

Some highlights for the period include revenue growth of 11% to over $119 million, pre-tax income growth of 26% to $13 million and as we continue repurchasing shares, an EPS increase of almost 38%. Adding the quarterly dividend to the stock buyback, we returned $7.5 million of capital to shareholders in the quarter. Even with our strong third quarter total results given that the web has continued to perform below our expectations, we are narrowing our revenue guidance and updating our pre-tax income outlook for the year.

這段時期的一些亮點包括營收成長 11% 至超過 1.19 億美元，稅前收入成長 26% 至 1,300 萬美元，隨著我們持續回購股票，每股盈餘成長近 38%。將季度股利加上股票回購，我們本季向股東返還了 750 萬美元的資本。儘管我們第三季的整體業績表現強勁，但考慮到網路表現繼續低於我們的預期，我們仍在縮小收入指導範圍並更新今年的稅前收入前景。

Of note, we remain positioned for fiscal 2024 to deliver our fourth consecutive year of record revenue and Vain will provide additional details in his comments. Over the past few years, within an environment of a variety of economic headwinds, we believe our ability to consistently generate profitable results is largely driven by the focus on our three key strategic initiatives to drive long term profitability and growth. The evolution and expansion of our experience location footprint is our first initiative.

值得注意的是，我們仍有望在 2024 財年實現連續第四年創紀錄的收入，Vain 將在他的評論中提供更多詳細資訊。過去幾年，在各種經濟逆風的環境下，我們相信，我們持續產生獲利結果的能力在很大程度上取決於我們對三項關鍵策略措施的關注，以推動長期獲利和成長。體驗店足跡的演變和擴展是我們的首要舉措。

The second is the acceleration of our comprehensive digital transformation and third, the continued investment to support our initiatives to both expand and leverage the power of the Build-A-Bear brand all while returning capital to shareholders.

第二是加速我們全面的數位轉型，第三是持續投資以支持我們擴大和利用 Build-A-Bear 品牌力量的舉措，同時向股東返還資本。

Said another way we have been investing to increase repeat purchase while expanding our addressable market to new people in new places and with new products, the first strategic initiative that expanding our experience locations represent. Well, when we opened our next 17 new units in the third quarter, we restarted store growth in 2022 after successfully expanding store contribution margins and improving store return on investment.

換句話說，我們一直在投資增加重複購買，同時透過新產品將我們的目標市場擴展到新地方的新人群，這是擴大我們的體驗地點所代表的第一個策略性舉措。好吧，當我們在第三季開設接下來的 17 家新店時，在成功擴大商店貢獻率並提高商店投資回報率後，我們在 2022 年重新啟動了商店成長。

We also diversified the risk often associated with new locations with more store types opening in a variety of shopping environments and entering more geographies as well as through our three retail location, business models of corporately operated partner operated and franchise as a reminder, our revenue per store varies widely given the business model and the unit format.

我們還分散了通常與新地點相關的風險，在各種購物環境中開設更多商店類型並進入更多地區，並透過我們的三個零售地點、公司運營的合作夥伴運營和特許經營的業務模式提醒我們，我們的每項收入鑑於商業模式和單位格式的不同，商店差異很大。

By the end of fiscal 2024 we expect to have opened more than 110 net new locations over the past three years, bringing our total to almost 600 locations worldwide.

到 2024 財年末，我們預計在過去三年內淨開設 110 多個新門市，使全球門市總數達到近 600 家。

Currently, most of our unit growth is with our partner operated model which requires little to no bill to bear capital investment.

目前，我們的大部分單位成長都是透過我們的合作夥伴營運模式實現的，這種模式幾乎不需要任何費用來承擔資本投資。

Specifically through the first nine months of the fiscal year, 31 of 40 net new locations are partner operated since we opened our first domestic partner operated store. Some years ago, we have seen solid success and expansion most recently with Great Wolf Lodge opening two units and the new partner Bell Resorts opening one unit in the quarter. After COVID delay, we are proud to have opened our first international partner operated location in September of 2023.

具體而言，自我們開設第一家國內合作夥伴經營商店以來，在本財年的前 9 個月，40 家淨新門市中有 31 家是合作夥伴經營的。幾年前，我們看到了堅實的成功和擴張，最近 Great Wolf Lodge 開設了兩個單位，新合作夥伴 Bell Resorts 在本季度開設了一個單位。受新冠肺炎疫情影響，我們很自豪於 2023 年 9 月開設了第一家國際合作夥伴營運的門市。

As of the third quarter ends there were 10 build a bear experience locations in Italy alone with expectations for continued expansion. Additionally, during the third quarter, our existing Colombian partner opened their 2nd and 3rd locations and we welcomed new partners in Denmark, Norway, Sweden, Lithuania, Latvia and Mexico.

截至第三季末，光是義大利就有 10 家熊體驗店，預計將繼續擴張。此外，在第三季度，我們現有的哥倫比亞合作夥伴開設了第二和第三家辦事處，並且我們在丹麥、挪威、瑞典、立陶宛、拉脫維亞和墨西哥迎來了新合作夥伴。

When you include our international franchise workshops in Australia, New Zealand, Chile, Kuwait Qatar, the United Arab Emirates, South Africa and China Bilde Bear is now in more than 20 countries separately. As a part of our continued domestic expansion, we are also growing our corporately operated footprint opening four new locations in the quarter representing a mix of traditional and concourse stores while closing three in total.

如果算上我們在澳洲、紐西蘭、智利、科威特、卡達、阿拉伯聯合大公國、南非和中國的國際特許經營工作室，Bilde Bear 現已遍佈 20 多個國家。作為我們持續國內擴張的一部分，我們還擴大了公司經營的足跡，在本季度開設了四家新店，代表傳統商店和廣場商店的組合，同時總共關閉了三家商店。

Since February, we have added 40 experience locations across all three retail business models. Again, corporately operated partner operated and franchise and we have increased our guidance to open at least 65 net new experience locations during fiscal 2024.

自 2 月以來，我們在所有三種零售業務模式中新增了 40 家體驗店。同樣，公司營運、合作夥伴營運和特許經營，我們增加了指導，在 2024 財年開設至少 65 個淨新體驗地點。

Our second initiative is the acceleration of our multiyear comprehensive digital transformation across the entire company including omni channel capabilities. While we have implemented much of the technology to enhance our opportunity to drive both online and in store sales, as we have discussed for the past few quarters, we believe we are still in the early stages of optimizing these omni channel tools including A I.

我們的第二項舉措是加速整個公司的多年全面數位轉型，包括全通路能力。正如我們在過去幾季所討論的那樣，雖然我們已經實施了許多技術來增強推動線上和實體店銷售的機會，但我們相信我們仍處於優化包括人工智慧在內的全通路工具的早期階段。

Again, many of the steps we are making are based on the creation and execution of a robust omni channel model which when fully embraced has been proven to help brands and retail companies unleash the combined power of in store e-commerce, email, social media, loyalty and traditional communications tactics through a more personalized unified vision with the power of the Build A Bear brand and up to $50 million annual build a Bear workshop visits plus an estimated $50 million annual website visits combined with an 85% data capture rate in stores and over $20 million first party data records. You can understand why we believe this is such an important part of our strategic effort.

同樣，我們正在採取的許多步驟都是基於強大的全通路模型的創建和執行，事實證明，如果完全採用該模型，可以幫助品牌和零售公司釋放店內電子商務、電子郵件、社交媒體的綜合力量忠誠度和傳統溝通策略，透過更個人化的統一願景，借助Build A Bear 品牌的力量，每年高達5,000 萬美元的「build a Bear」研討會訪問量，加上估計每年5,000 萬美元的網站訪問量，加上商店中85% 的數據捕獲率以及價值超過 2000 萬美元的第一方數據記錄。您可以理解為什麼我們認為這是我們策略工作的重要組成部分。

The third initiative is the investment to leverage the awareness, affinity and power of the build a bear brand to both diversify and drive profitable growth while continuing to return value to our shareholders.

第三項措施是投資，利用建立小熊品牌的知名度、親和力和力量，實現多元化並推動獲利成長，同時繼續為股東回報價值。

In fact, we have returned over $31 million through dividends and soft repurchases to shareholders this year and more than $120 million in 2021. While simultaneously evolving the company by investing in product, partner relationships, content, infrastructure and talent, regarding product, we are expanding our audience with new offerings as we continue to broaden, build a Bear's consumer base by taking advantage of our growing multi generational appeal through collectibles, trends, licensing and gifting, as well as new plush segments.

事實上，今年我們已透過股利和軟回購向股東返還了超過 3,100 萬美元，並在 2021 年返還了超過 1.2 億美元。在透過投資於產品、合作夥伴關係、內容、基礎設施和人才來發展公司的同時，在產品方面，我們正在透過新產品來擴大我們的受眾，同時我們不斷擴大，利用我們不斷增長的多代吸引力建立小熊的消費者基礎透過收藏品、流行趨勢、授權和禮品以及新的毛絨細分市場。

Trend products include vault offerings such as our fan favorite pumpkin kitty and viral items such as our Mothman plush or our new holiday Cookie Cape Bea, which has already generated over $20 million online views.

流行產品包括金庫產品，例如我們的粉絲最喜歡的南瓜貓，以及病毒產品，例如我們的 Mothman 毛絨玩具或我們的新節日 Cookie Cape Bea，這些產品已經產生了超過 2000 萬美元的線上瀏覽量。

New concepts include expanding beyond our make your own products into differentiated plus segments such as the New build a bear mini beans collection, which is sold in stores online and to our partner stores through our wholesale channel introduced in just February build. Many bas are priced under $10 and released in collectible waves with many styles based on popular full size plush offerings.

新概念包括將我們自己的產品擴展到差異化的細分市場，例如新建的小熊迷你豆系列，該系列在網上商店銷售，並透過我們在二月推出的批發管道向我們的合作夥伴商店銷售。許多 bas 的價格低於 10 美元，並以流行的全尺寸毛絨產品為基礎，推出了多種款式的收藏品。

We're pleased to share that in its launch year. Many bes is well on its way to exceeding $1 million in unit sales.

我們很高興在其推出之年分享這一點。Many bes 的單位銷售額預計將突破 100 萬美元。

A recent example of partner relationships is our long and successful license collaboration with one of our best selling lines. The F Rio. Hello Kitty collection. This includes a first of its kind, build a bear and Hello Kitty and Friends Workshop, located in the premier west century century city westfield century city shopping center in Los Angeles.

最近合作夥伴關係的一個例子是我們與我們最暢銷的產品線之一的長期且成功的授權合作。F裡約。凱蒂貓系列。其中包括在洛杉磯首屈一指的西世紀城 Westfield 世紀城購物中心建造一個熊和 Hello Kitty 和朋友們工作室，這是首創。

The store opened to great fanfare on November 15th. Surpassing our sales expectations and driving over $640 million media impressions. Now regarding our investment in talent in the past few months, we've made two strategic additions to the leadership team.

該店於11月15日盛大開幕。超出了我們的銷售預期並帶來了超過 6.4 億美元的媒體印象。關於過去幾個月我們對人才的投資，我們對領導團隊進行了兩次策略性補充。

The first is Dave Henderson who joined the company in the newly created position of Chief Revenue Officer and will report directly to me.

第一個是戴夫·亨德森 (Dave Henderson)，他加入公司，擔任新設立的首席營收官職位，將直接向我報告。

His focus is on driving growth across our primary revenue streams of corporately operated experience locations and build a bear dotcom plus driving expansion opportunity beyond these traditional channels, Dave brings over two decades of toy consumer products, operational and retail experience including most recently serving as a Chief Commercial Officer at Melissa and Doug following some time at Newell brands and a lengthy and successful career at Hasbro.

他的重點是推動我們公司經營的體驗店的主要收入流的成長，並建立一個熊市網路公司，並推動這些傳統管道之外的擴張機會，戴夫帶來了二十多年的玩具消費產品、營運和零售經驗，包括最近擔任此前曾在 Newell 品牌工作過一段時間，並在孩之寶 (Hasbro) 度過了漫長而成功的職業生涯，之後擔任 Melissa 和 Doug 的首席商務官。

Secondly, I would like to welcome Kim BTLA who has joined us in the newly created position of senior Vice President and Chief Brand Officer. Kim will lead the continued evolution of the build a Bear brand and communications strategy reporting directly to Chris hurt our longstanding Chief Operations Officer who also now oversees product development, marketing, public relations and licensing while continuing to drive our international expansion.

其次，我要歡迎 Kim BTLA 加入我們，擔任新設立的資深副總裁兼首席品牌長職位。Kim 將領導 Bear 品牌建立和傳播策略的持續發展，直接向我們長期擔任的營運長 Chris Damage 匯報，他現在也負責監督產品開發、行銷、公共關係和許可，同時繼續推動我們的國際擴張。

Tim brings over 20 years of experience in senior leadership roles at Coca Cola company largely focused on strategic partnerships.

Tim 擁有 20 多年在可口可樂公司擔任高階領導職務的經驗，主要專注於策略夥伴關係。

We are delighted to have both Kim and Dave on the Bill Bear team as we look to the final quarter of the year. Why did we have continued to work while we have continued work to do on the web.

我們很高興 Kim 和 Dave 加入 Bill Bear 團隊，展望今年最後一季。為什麼當我們繼續在網路上做工作時，我們還要繼續工作。

We are encouraged by our quarter to date store results highlighted by our overall holiday selection including our multiyear centerpiece Merry mission, which is inspired by last year's launch of the animated feature film. Listen in the merry mission as envisioned, we continue leveraging the movie and the storyline in our marketing and we expect our magical sparkly snow deer. Listen to be one of our best selling items for the fourth quarter again this year.

我們對本季迄今為止的商店業績感到鼓舞，這得益於我們的整體假期選擇，包括我們的多年核心 Merry 使命，該使命的靈感來自於去年推出的動畫電影。聆聽設想中的快樂使命，我們繼續在行銷中利用電影和故事情節，我們期待我們神奇的閃閃發光的雪鹿。Listen 再次成為我們今年第四季最暢銷的產品之一。

In summary, we are pleased with our third quarter's 11% revenue growth and 38% EPS increase plus the net new unit growth of 17 locations and our launch into six new countries as we look forward to the holiday season and beyond, we believe we have the plans in place to deliver record revenue for fiscal 2024 in the longer term, our focus remains on the top priorities of evolving our experience location, footprint, accelerating our digital transformation and while returning cash to shareholders, continuing investment in our strategic growth initiatives that leverage the power of the brand as we report today from the New York Stock Exchange where we will participate in the annual tree lighting ceremony this evening.

總而言之，我們對第三季11% 的營收成長和38% 的每股盈餘成長以及17 個地點的新單位淨成長以及我們在6 個新國家的推出感到滿意，因為我們期待假期季節及以後，我們相信我們已經從長遠來看，我們計劃在2024 財年實現創紀錄的收入，但我們的重點仍然是發展我們的體驗地點、足跡、加速我們的數位轉型以及向股東返還現金的同時，繼續投資於我們的策略性成長計劃，正如我們今天從紐約證券交易所報道的那樣，利用品牌的力量，我們將參加今晚的年度聖誕樹點亮儀式。

I can't help but think about our journey and be incredibly proud of and grateful for this remarkable organization. My thanks extend to our amazing guests and partners around the globe who are also an important part of our corporate mission to add a little more heart to life.

我情不自禁地回想起我們的旅程，並對這個卓越的組織感到無比自豪和感激。我要感謝我們全球各地出色的客人和合作夥伴，他們也是我們為生活增添更多活力的企業使命的重要組成部分。

I would now like to turn the call over to Vojin.

我現在想把電話轉給沃金。

Thank you, Sharon and good morning everyone. It's good to speak with you again today to share our third quarter, 2024 results before I touch on the financials from the past quarter and provide an update on our 2024 guidance. I want to recap a few highlights.

謝謝莎倫，大家早安。很高興今天再次與您交談，分享我們 2024 年第三季的業績，然後再介紹上一季的財務數據並提供 2024 年指導的最新資訊。我想回顧一下一些亮點。

This was our best Halloween season and the best third quarter in the company's history. As we recognize the growing popularity of Halloween, both in general and in our stores.

這是我們最好的萬聖節季節，也是公司歷史上最好的第三季。我們認識到萬聖節在整個商店和我們的商店中越來越受歡迎。

We strategically broaden our seasonal consumer offerings increased. Our Halloween inventory launched the seasonal marketing campaign earlier in the quarter and brought back key successful world items to drive record sales also as a result of consistent performance and strong cash flow generation. We continue to return capital to shareholders.

我們策略性地擴大了季節性消費產品的增加。我們的萬聖節庫存在本季度早些時候推出了季節性行銷活動，並帶回了關鍵的成功世界商品，從而推動創紀錄的銷售，這也是由於穩定的業績和強勁的現金流產生。我們繼續向股東返還資本。

We paid our third quarterly dividend and during the quarter spent nearly $5 million to repurchase shares on a year-to-date basis. We have repurchased over 5% of our outstanding share count.

我們支付了第三季股息，並在本季花費了近 500 萬美元回購股票。我們已經回購了超過 5% 的流通股。

Now moving to third quarter results for the quarter total revenues, total revenues were $119.4 million. Up 11% year over year net retail sales increased 9.1% to $109.5 million. Our 9.1% sales growth was driven primarily by existing stores in both the US and the UK. Our store traffic again outpaced national traffic increasing by 3%.

現在來看第三季的總營收結果，總營收為 1.194 億美元。淨零售額年增 11%，成長 9.1%，達到 1.095 億美元。我們 9.1% 的銷售額成長主要是由美國和英國的現有商店推動的。我們的商店客流量再次超過全國客流量，成長了 3%。

Most likely benefiting from our Halloween efforts in the earlier investments in our brand campaign, the stuff you love while national traffic decreased by 3%.

最有可能受益於我們在品牌活動早期投資中所做的萬聖節努力，在全國流量下降 3% 的情況下，您喜歡的東西。

In fact, our stores saw increases across all four sales lovers traffic conversion, average unit retail and units per transaction, web demand rebounded from the second quarter's decline to increase by 1.3% for the quarter. We mentioned on our previous call that third quarter, e-commerce demand begun with a double digit percentage increase. However, our performance softened for the remainder of the quarter and into the fourth quarter. Today.

事實上，我們的商店看到所有四個銷售愛好者的流量轉換、平均零售單位和每筆交易單位都有所增加，網路需求從第二季度的下降中反彈，本季度增長了 1.3%。我們在先前的電話會議中提到，第三季電子商務需求開始出現兩位數百分比成長。然而，我們的業績在本季剩餘時間和第四季有所疲軟。今天。

Looking ahead, we expect web domain to remain down for the fourth quarter impacted by a combination of challenging traffic performance in November and more difficult product launch comparison.

展望未來，我們預計，受 11 月份流量表現挑戰和產品發布比較困難的影響，第四季度 Web 域名將繼續下滑。

Commercial revenue which primarily represents wholesale sales to partner operators and international franchise revenue was up a combined 38.8% versus the prior year. We continue to expect solid growth for the commercial segment on a full year basis on a sequential basis.

商業收入（主要代表向合作夥伴運營商的批發銷售和國際特許經營收入）比上一年增長了 38.8%。我們繼續預計商業領域全年環比將穩健成長。

We currently expect fourth quarter commercial revenue to be below the third quarter. We call that the commercial segment's quarterly revenue can fluctuate due to the timing of shipments for new and existing stores. Gross margin was 54.1% an increase of 140 basis points compared to last year from both a retail gross margin. Expansion driven mainly by growth in merchandise margin and commercial margin expansion.

我們目前預計第四季商業收入將低於第三季。我們認為，商業部門的季度收入可能會因新店和現有商店的出貨時間而波動。零售毛利率為 54.1%，比去年增加了 140 個基點。擴張主要由商品利潤成長和商業利潤擴張所推動。

G A expenses were $51.6 million or 43.2% of total revenues. A 10 basis point improvement year over year for the full year, largely as the result of increases in medical insurance costs and continued minimum wage escalation. We now expect SG and A as a percent of total revenue to be slightly above 20 23rd level.

一般行政費用為 5,160 萬美元，佔總收入的 43.2%。全年較去年同期提高10個基點，主要是因為醫療保險費用增加和最低工資持續調漲。我們現在預計 SG 和 A 佔總收入的百分比將略高於 20-23 的水平。

Pretax income grew 26.4% to $13.1 million. A third quarter record loaded earnings per share was $0.73. An increase of 37.7%.

稅前收入成長 26.4% 至 1,310 萬美元。第三季每股收益創歷史新高，為 0.73 美元。增長37.7%。

This reflects our growth in pretax income. A lower tax rate and a reduction in share count compared to the prior year with respect to the balance sheet. At third quarter's end, our cash balance was $29 million representing a $4.2 million increase year over year.

這反映了我們稅前收入的成長。與前一年相比，資產負債表中的稅率較低，股票數量減少。截至第三季末，我們的現金餘額為 2,900 萬美元，年增 420 萬美元。

This was after returning $37 million to shareholders over the past year inventory at the quarter end was $70.8 million, an increase of $6.4 million compared to the same period. Last year, we accelerated the flow of our 2025 core product. In anticipation of the uncertainty in cost due to potential tariffs. We continue to manage our inventory flow and continue to diversify our supply chain geographically.

這是在去年向股東返還 3,700 萬美元之後，季末庫存為 7,080 萬美元，比去年同期增加了 640 萬美元。去年，我們加快了2025核心產品的流動。預計潛在關稅導致成本不確定。我們繼續管理庫存流，並持續實現供應鏈的地域多元化。

Turning to the output given our solid year-to-date results particularly for our stores and commercial revenue offset by lower than expected web demand we are updating our annual guidance. Well, the 2024 GAAP and nongaap guidance details are included in the press release given 2023 is additional week for modeling purposes. I would like to highlight some metrics on a comparable 52 week basis for the year. We expect total revenues of $489 million to $495 million representing low single digit growth at mid point compared to last year on a non-GAAP 52 week basis, pre tax income of $65 million to $67 million representing low single digit growth at the midpoint again compared to last year on a non-GAAP 52 week basis.

談到產出，鑑於我們今年迄今為止的穩健業績，特別是我們的商店和商業收入被低於預期的網絡需求所抵消，我們正在更新我們的年度指導。考慮到 2023 年是建模目的的額外一周，2024 年 GAAP 和 NonGAAP 指導細節已包含在新聞稿中。我想強調一下今年 52 週可比較的一些指標。我們預計，以非GAAP 52 週計算，總收入將達到4.89 億美元至4.95 億美元，與去年相比，中點成長率較低，稅前收入為6,500 萬美元至6,700 萬美元，與去年同期相比，中點成長率較低。

As noted, the outlook anticipates continued lower than expected web demand plus ongoing wage and inflation rate pressures including higher medical insurance costs, as well as increased appreciation and trade expenses. I would also add that increasing our store guidance to at least 65 locations implies 25 new stores for the quarter. The majority of these are expected to be partner operated stores with many of those being significantly smaller.

如前所述，前景預計網路需求將繼續低於預期，加上持續的工資和通膨壓力，包括更高的醫療保險成本以及升值和貿易費用的增加。我還想補充一點，將我們的商店指導增加到至少 65 個地點意味著本季將開設 25 家新商店。其中大部分預計將是合作夥伴經營的商店，其中許多規模要小得多。

In addition, after a decade here, I believe the Build a Bear brand is as strong as ever with untapped potential across a number of. And I'm particularly excited about our successful global retail expansion this year into many new countries. Separately. I would like to welcome the new members of our leadership team who will be an important part of the execution of our strategy to evolve the company by leveraging the power of the build a bear in closing. I would like to thank all of our store and warehouse associates as well as our corporate team members and partners and wish everybody a happy holiday season.

此外，在這裡工作十年後，我相信「Build a Bear」品牌一如既往地強大，在許多方面都有尚未開發的潛力。我對今年我們在許多新國家成功的全球零售擴張感到特別興奮。分別地。我謹歡迎我們領導團隊的新成員，他們將成為執行我們策略的重要組成部分，透過利用建立熊市的力量來發展公司。我要感謝我們所有的商店和倉庫同事以及我們的公司團隊成員和合作夥伴，並祝大家節日快樂。

This concludes our prepared remarks and we will now turn the call back over to the operator for questions. Operator?

我們準備好的演講到此結束，現在我們將把電話轉回給接線員詢問問題。操作員？

(Operator Instructions) Eric Beder, Small Cap Consumer Research.

（操作員指令）Eric Beder，小型盤股消費者研究部。

Could you help us a little a few things here? Could you help us with the inventory number if we take out the impact from the tariffs? And I fully understand why you did this makes a lot of sense. What would have been the inventory increase or decrease and you know, going forward? How, how much is China in terms of your value add here and how much is the ability to shift that.

您能幫我們做些事嗎？如果我們排除關稅的影響，您能幫我們計算一下庫存數量嗎？我完全理解你為什麼這樣做很有意義。未來庫存會增加或減少多少？就你們在這裡的附加價值而言，中國有多少，以及改變這種附加價值的能力有多大。

So great question, Eric.

這是一個很好的問題，艾瑞克。

One of the things as we think about the supply chain and the sourcing organization where our business is unique in a way that we have a lot of product that we are selling throughout the whole year. So that gives us flexibility, especially from our core perspective to bring in product earlier. And so because it's the same product that we are going to be selling. Throughout next year, we have done a lot of this in anticipation of the potential changes with tariffs. And so we are just pulling out so vast majority of this increase that we are seeing is related to stuff that's in transit. So our inventory levels will continue to change versus what we have seen in the past. As you know, it's two fold, we continue to grow our commercial segment and you know, so the flow of inventory receipts is going to be a little bit different up and down based on the seasonality of opening stores and the replenishment for our partners. In addition to that, we are going to have probably more elevated inventory levels for the end of the year as we have tried to pull as much inventory forward to avoid at least the initial impact.

當我們考慮供應鏈和採購組織時，其中一件事是我們的業務是獨一無二的，我們全年銷售大量產品。因此，這給了我們靈活性，特別是從我們的核心角度來看，可以更早引入產品。因為我們要銷售的是同一種產品。明年全年，我們做了很多這樣的事情，以應對關稅的潛在變化。因此，我們只是撤回了我們所看到的大部分增長與運輸途中的物品有關。因此，與過去相比，我們的庫存水準將繼續發生變化。如您所知，這是兩倍，我們繼續發展我們的商業部門，因此，根據開店的季節性和合作夥伴的補貨情況，庫存收貨流程將略有不同。除此之外，今年年底我們的庫存水準可能會更高，因為我們試圖提前拉動盡可能多的庫存以避免至少最初的影響。

Yeah, I would add to that, Eric, this is not new for us.

是的，我想補充一點，艾瑞克，這對我們來說並不新鮮。

We have strategically been diversifying geo geographically for a number of years. We have also utilized this flexibility because of our cash position usually is usually very positive to shift inventory flow and purchasing with our factories. We did that as you might recall when the freight costs were escalating significantly. That when we predict things like that, we take advantage of our cash situation and the fact that our inventory is often evergreen like a standard bear a lot of the outfits or you know, some of our, some of these core products were referred to. Because taking receipt of those, it has very little downside for us.

多年來，我們一直在策略上實現地域多元化。我們也利用了這種靈活性，因為我們的現金狀況通常非常有利於改變我們工廠的庫存流動和採購。您可能還記得，當貨運成本大幅上漲時，我們就這樣做了。當我們預測類似的事情時，我們會利用我們的現金狀況，以及我們的庫存通常像標準一樣常青的事實，其中包含很多服裝，或者你知道，我們的一些核心產品被提及。因為收到這些，對我們來說幾乎沒有什麼壞處。

We'll unpack a little bit on the online deepness. I know that you have historically, excuse me, I know that the shift has been to move more. We've seen this kind of less of a lag between online exclusives to the stores. And part of that I think is because the stores, I think a great job of showing the whole product line. Is that part of this here when you look at this weakness, especially given how strong everything else appears to be, what, where, where should we be thinking about this? I'll leave it at that.

我們將稍微介紹一下線上深度。我知道從歷史上看，對不起，我知道這種轉變是要移動更多。我們已經看到線上獨家商品與商店之間的這種滯後性較小。我認為部分原因是商店在展示整個產品線方面做得很好。當你看到這個弱點時，這就是其中的一部分嗎，特別是考慮到其他一切看起來有多強大，我們應該在哪裡、在哪裡、在哪裡考慮這個問題？我就這樣吧。

I'll start with that and and I'm sure Wayne will add some more color. Yeah.

我將從這個開始，並且我相信韋恩會添加更多的色彩。是的。

Well, as I mentioned in the remarks, Eric, this is a multi year process. You can kind of look at what happens out out in the world with a lot of other omni channel retailers. We're in a little bit of a different situation and that most of the omni channel retailers, the consumer that they're servicing in their stores and the consumer that they're servicing online are often the exact same consumer. If you think about it on a Venn diagram basis, you're going to have a really big overlap.

嗯，正如我在評論中提到的，艾瑞克，這是一個多年的過程。您可以看看世界上許多其他全通路零售商發生了什麼。我們的情況有點不同，大多數全通路零售商、他們在商店中服務的消費者和他們在網路上服務的消費者通常是完全相同的消費者。如果您在維恩圖的基礎上考慮它，您會發現有很大的重疊。

We service a little bit of a different consumer in both of these channels. One is the traditional family kid end user is the larger proportion of our sales in our stores. And it is an adult, often, sometimes a team online buying a collectible, a trend product and often gifting. So there is going to be some bifurcation of the types of products that we offer.

我們在這兩個管道中為不同的消費者提供服務。一是傳統的家庭兒童終端使用者在我們門市的銷售額中所佔的比例較大。這是一個成年人，通常，有時是一個團隊在網路上購買收藏品、潮流產品，通常是送禮。因此，我們提供的產品類型將會出現一些分歧。

But it is also important that we are using that website because the other reason people come to that when we talked about the 50 million people coming to our website, they're often checking to see what store is near them, planning a party. So there's still this fundamental integration between the consumers, our stores, the products and now that we have buy online ship from store, we're these are all very strategic steps to become a much more integrated organization where we can have a golden record of the consumers, send out personalized email, send you know, meaningful discounts that are, that are exclusive and specific to the shopping patterns of that individual.

但我們使用該網站也很重要，因為當我們談到 5000 萬人訪問我們的網站時，人們訪問該網站的另一個原因是，他們經常檢查附近有什麼商店，計劃舉辦聚會。因此，消費者、我們的商店、產品之間仍然存在這種基本的整合，現在我們已經從商店在線購買發貨，我們這些都是非常戰略性的步驟，以成為一個更加整合的組織，我們可以在其中擁有黃金記錄向消費者發送個人化電子郵件，向您發送有意義的折扣，這些折扣是針對該個人的購物模式的專有且特定的折扣。

Well, it's a hallmark of best in class in this area and that takes a lot of steps to do that as well as highly skilled individuals and the integration of all of these systems that we've been putting in. That's a long answer, but that's not half as long as it takes to make this.

嗯，這是該領域一流的標誌，需要採取很多步驟才能做到這一點，也需要高技能的個人以及我們已經投入的所有這些系統的整合。這是一個很長的答案，但這還不到完成這個任務所需時間的一半。

But you're right, we are truncating some of those those launches which is only marginally associated with this situation. That's really listening to our, some of these exclusives that we were offering online for our collectors. There was a push and a request from them that they wanted to make these in store. We're also often shipping them the store because that's an efficient way for us to then service online again, it's a very integrated process. And we've not mastered it yet, but we're getting closer every day.

但你是對的，我們正在縮短其中一些與這種情況無關的發布。這確實是在聆聽我們為收藏家在線提供的一些獨家產品。他們強烈要求並希望在商店裡製作這些產品。我們也經常將它們運送到商店，因為這是我們再次在線上提供服務的有效方式，這是一個非常整合的過程。我們還沒有掌握它，但我們每天都在接近它。

And I hope, I think that answer really well, but like one additional piece just to add to that, as we think about our business and, we are an omni channel business. It is for us to grow. The goal is always to grow the overall total revenue. And we are agnostic where people are shopping websites or stores. And we are very pleased with the overall growth in total revenue. It's resonating with our gift.

我希望，我認為這個答案非常好，但就像一個額外的補充，當我們考慮我們的業務時，我們是一家全通路業務。是為了讓我們成長。目標始終是增加總體總收入。我們不知道人們在哪裡購物網站或商店。我們對總收入的整體成長感到非常滿意。它與我們的禮物產生共鳴。

It's as Sharon pointed out, there is a little bit of a different guest profile who's shopping online in an adult versus who's in our stores. But at the end of the day, the products working, we are very pleased like how stuff is working and performing in those in our store locations.

正如莎倫指出的那樣，在網上購物的成年人與在我們商店購物的顧客資料略有不同。但歸根結底，產品工作正常，我們對商店中的產品工作和表現感到非常滿意。

And the website as Sharon shared in her prepared remarks, drives significant amount of traffic and also that traffic funnels to our store. So it is big piece of our ecosystem and you know, we are consumers that will choose to transact is less important to us, less important to us. But again, we are trying to drive total revenue for the company and I think we have been doing that consistently over the last week.

正如莎倫在她準備好的演講中所分享的那樣，該網站帶來了大量的流量，這些流量也流入了我們的商店。所以它是我們生態系統的重要組成部分，你知道，我們是消費者，會選擇進行對我們不太重要的交易。但同樣，我們正在努力提高公司的總收入，我認為我們在上週一直在這樣做。

Let me like that like one quick one. So the San Rio collaboration, it was impressive. How should we be thinking about that from a strategic sense? Is that something that makes sense to do on a more permanent basis or in certain locations? Are there other collections like, I don't know, Pokemon? That would make sense for that. How should we be thinking about that? And the store was really impressive. Thank you and good luck for the holiday.

讓我喜歡這樣一個快速的。所以聖裡約熱內盧的合作令人印象深刻。我們該如何從戰略角度思考這個問題？在更永久的基礎上或在某些地點這樣做是否有意義？還有其他合集嗎，我不知道，寶可夢？這是有道理的。我們該如何思考這個問題？這家商店確實令人印象深刻。謝謝你，假期愉快。

Thank you. Thank you for mentioning that. Now that that's been an incredible experience for us. Look, we've been in business with San Rio for a long, long time. And they're great partners and hello, Kitty and Friends is very, very popular and the mash up of the brands for both of our fan base is clearly resonates. So this was a, a, a re incredibly opportunistic moment for both brands particularly to go into Westfield in L A.

謝謝。謝謝你提到這一點。現在這對我們來說是一次令人難以置信的經歷。聽著，我們與 San Rio 的業務已經有很長很長的時間了。他們是很棒的合作夥伴，你好，Kitty and Friends 非常非常受歡迎，這些品牌的混搭顯然引起了我們兩個粉絲群的共鳴。因此，對於這兩個品牌來說，這是一個難以置信的機會主義時刻，特別是進入洛杉磯的韋斯特菲爾德。

And as we noted in the remarks, it, it's been very successful, yes, by putting a successful stake in the ground like that. Certainly, it opens up conversations and opportunities. None of these decisions are unilateral, they're partnership based and that's how we build great relationships.

正如我們在評論中指出的，是的，透過像這樣成功地紮根，這是非常成功的。當然，它開啟了對話和機會。這些決定都不是單方面的，它們是基於夥伴關係的，這就是我們建立良好關係的方式。

So we will be working with Rio to determine if that does make sense to open another location and, and that also bodes well for potential other discussions. Which of course, we wouldn't be able to share, but but that it does open your mind to different types of possible.

因此，我們將與力拓合作，以確定開設另一個地點是否有意義，這也預示著潛在的其他討論的好兆頭。當然，我們無法分享，但它確實讓你對不同類型的可能性敞開心扉。

Greg Gibas, Northland Securities.

吉巴斯 (Greg Gibas)，北國證券。

Sharon, Vojin, congrats on the results. I guess I was going to ask about kind of the web challenges, but I think you provided color there. If we could dive a little bit deeper on those trends, you're seeing with those four key metrics, I think traffic conversion, units for transaction and size, you know, wanted to get a little bit more color on the trends with those, you said all positive, but anything that kind of stood out more in terms of performance or were roughly you know, where they all pretty roughly equal drivers of the strength.

Sharon、Vojin，祝賀結果。我想我會問一些網路挑戰，但我認為你在那裡提供了顏色。如果我們可以更深入地研究這些趨勢，你會看到這四個關鍵指標，我認為流量轉換、交易單位和規模，你知道，希望透過這些指標對趨勢有更多的了解，你說的都是積極的，但任何在性能方面更突出的東西，或者你大致知道的，它們都大致相同的力量驅動因素。

As I mentioned, yes, all of our four levers have been up. We did call out that in total, we were up like 9.1%. We share the traffic was up 3% against the national traffic. That was down 3%. The other three metric, we saw increases across all of them. So, again, healthy growth in all these aspects. So, and this is great, when we are seeing, higher average unit retail, when we are seeing higher conversion in our stores and also when the guests come into our stores, they are buying more units per transaction, which talks about overall marketing that we are doing in our stores and the customer engagement.

正如我所提到的，是的，我們所有的四個槓桿都已拉起。我們確實指出，我們總共上漲了 9.1%。我們共享的流量比全國流量增加了 3%。下降了 3%。其他三個指標我們都看到了成長。因此，所有這些方面都健康成長。因此，這很棒，當我們看到更高的平均單位零售量時，當我們看到商店的轉換率更高時，當客人進入我們的商店時，他們每次交易都會購買更多的單位，這談到了整體行銷我們正在我們的商店和客戶參與中所做的事情。

That's that's happening. Our customers are resonating with that really well and we are pleased how our Halloween collection really helped drive some of these numbers in a quarter as again, as I mentioned last year, you know what we have done, we ran out of product basically before the end of the holiday season. So we made some strategic investments from the Halloween inventory buys and that's really helped fuel the growth in Q3 this year.

事情就是這樣發生的。我們的客戶對此產生了很好的共鳴，我們很高興我們的萬聖節系列確實在一個季度內再次推動了其中一些數字，正如我去年提到的，你知道我們做了什麼，我們基本上在萬聖節之前就用完了產品。因此，我們從萬聖節庫存購買中進行了一些策略性投資，這確實有助於推動今年第三季的成長。

And I wanted to get just a little bit more color on, the increased expectations for store store count growth, you talk about net new store crown, 65 versus the 50 plus before. And just wanted to get a sense of, what's driving that maybe where is that upside relative to your previous expectations or plans coming from? Is it, is it simply, you're finding more attractive locations? Is it a function of kind of accelerating the time line or you know, any color you can provide there? And just, I guess regarding that mix, how much is domestic versus international, roughly.

我想要多一點色彩，對商店數量增長的預期增加，你談論淨新商店皇冠，65 家與之前的 50 家以上。只是想了解一下，是什麼推動了相對於您之前的期望或計劃的上升空間？是不是，很簡單，您正在尋找更有吸引力的地點？它是一種加速時間軸的功能，還是你知道，你可以在那裡提供任何顏色？只是，我想關於這種組合，國內和國際的粗略比例是多少。

I'll just give you a little bit of color in the start of that. Is that we talk about those, the three different models of corporately operated partner operated and franchise. And interestingly as we highlighted in my comments, as we started to open the international partner operated locations, in many cases like in Italy where we noted, they've been very successful and so our partner in Italy and it's more of, it's a combination, but it's largely up to them on how fast they want to accelerate. And open stores or open shopping shops often, they sometimes they're stand alone, sometimes they're inside other locations.

我只是在開始時給你一點顏色。就是我們談論的那些，公司經營、合作夥伴經營和特許經營的三種不同模式。有趣的是，正如我們在評論中所強調的那樣，當我們開始開設國際合作夥伴運營的地點時，在許多情況下，例如在意大利，我們注意到，他們非常成功，所以我們在意大利的合作夥伴，更多的是，這是一個組合，但這很大程度上取決於他們想要加速的速度。經常開商店或開購物店，有時它們是獨立的，有時它們在其他地方。

Then they've been incredibly bullish on build a bear. So they're opening at a faster rate. And we're also, now I noted a number of countries where we're have created partners, new partnerships so that the a lot of those are international and a lot of those are partner operated driven by the partner themselves.

然後他們非常看好建立熊市。所以他們的開業速度更快。我還指出，我們在許多國家/地區建立了合作夥伴、新的合作夥伴關係，其中許多是國際性的，而且許多是由合作夥伴自己驅動的合作夥伴所經營的。

Yeah, it and just to add a little bit more color because as we think about all these locations, they are not all the same, we do have a wide spectrum of the revenue projections for these locations. Some of them are larger in size, more like a traditional stores, some of them are going to be shopping shops. So clearly, there are different economics for those.

是的，這只是為了增加一點色彩，因為當我們考慮所有這些地點時，它們並不完全相同，我們確實對這些地點有廣泛的收入預測。其中一些規模較大，更像是傳統商店，其中一些將成為購物商店。很明顯，這些有不同的經濟學。

For example, we have some of the girl scouts locations that are generally like smallest footprint that we have. So as you had a lot of those stores, you know, we drive a lot of volume and I know it is at times a little bit challenging to to model. But again, our goal is really to be more locations. We still believe there is a lot more runway for us, especially as Sharon talked about a lot of different countries that we are in. And again 20 we are in over 20 countries now.

例如，我們有一些女童子軍地點，通常佔地面積最小。因此，由於您擁有許多這樣的商店，您知道，我們的銷量很大，我知道有時建模有點困難。但同樣，我們的目標實際上是建立更多地點。我們仍然相信我們還有更多的跑道，特別是當莎倫談到我們所在的許多不同國家時。再說一次 20，我們現在遍佈 20 多個國家。

But there is plenty more of opportunities around the globe. And this is one of those things that we are excited that our brands resonating across the world in these locations and that our partners are very excited about the results and performance that they are seeing and you know that they are continuing on this journey with us.

但全球還有很多機會。這是我們感到興奮的事情之一，我們的品牌在這些地點在世界各地引起共鳴，我們的合作夥伴對他們所看到的結果和表現感到非常興奮，你知道他們將與我們一起繼續這一旅程。

I guess lastly, just a quick clarification, clarification question. Boy, I think you were speaking to some type of guidance on G&A in terms of a percentage of sales in relation to 2023. I wonder if you could just maybe repeat or clarify that. I think I missed a portion of it.

我想最後，只是一個快速澄清，澄清問題。天哪，我認為您所說的是關於 2023 年銷售額百分比的某種 G&A 指南。我想知道你是否可以重複或澄清這一點。我想我錯過了其中的一部分。

Yeah. So what we what we have said that our total on a full year base basis, our SG&A as a percent of total revenue will be slightly up versus last year what we shared previously, we expect it to be flat to slightly down. So just as we have seen some additional cost increases, especially from the medical insurance perspective and we continue to see continued m minimum wage pressures and compressor challenges as you know, like the w continue to creep up.

是的。因此，我們所說的是，我們的全年總收入、SG&A 佔總收入的百分比將比去年我們之前分享的略有上升，我們預計它將持平或略有下降。因此，正如我們看到一些額外的成本增加，特別是從醫療保險的角度來看，我們繼續看到持續的最低工資壓力和壓縮機挑戰，如你所知，就像 w 繼續攀升一樣。

Keegan Cox, DA Davidson.

基根·考克斯，DA 戴維森。

So I was just wondering, you guys be pretty nice this quarter and then the guidance is a little narrow versus what we kind of expected. Is there anything you can give us more detail on like holiday trends, Black Friday and what you're seeing from the consumer right now in the fourth quarter.

所以我只是想知道，你們這個季度表現得很好，但指導意見與我們的預期相比有點狹窄。您是否可以向我們提供更多有關假日趨勢、黑色星期五以及您在第四季度從消費者那裡看到的情況等更多詳細資訊。

Sure. Yeah, we, Black Friday is an important part for us. It's not actually as important as it is for a lot of retailers because we're not a big discount destination. But given we have a significant portion of our, of our stores still in malls which by the way, the traffic reports were pretty positive this year and, and positive for us as well. You know, we do participate in it. It's important for us but not as a, as big a predictor of our future as it is, for the quarter or the holiday season as it is for a lot of companies, we tend to see a much steeper, a pretty steep curve, particularly in a year like this.

當然。是的，黑色星期五對我們來說是重要的一部分。對於許多零售商來說，這實際上並不那麼重要，因為我們不是一個大折扣目的地。但考慮到我們的商店很大一部分仍然位於購物中心，順便說一句，今年的客流量報告非常積極，對我們來說也是積極的。你知道，我們確實參與其中。這對我們來說很重要，但不像對許多公司那樣，作為我們未來的重要預測因素，對於季度或假期季節來說，我們往往會看到一條更陡峭的曲線，特別是在這樣的一年裡。

And what I mean by that is a year when Thanksgiving falls almost as late, if not as late as it possibly can. So that first week of December, which is usually the last week of November, falls in the previous quarter. And we're so it's a harder more contracted time period for us to make predictions. So just a little color on that net net, we were, we were pleased with it. And we offered a number of online and in store specials and we felt like it was good for us. I can't say it was Gangbusters. But it was, it was strong.

我的意思是，感恩節幾乎是最晚到來的一年，如果不是盡可能晚的話。因此，12 月的第一周（通常是 11 月的最後一周）屬於上一季。因此，對我們來說，現在是一個更難做出預測的更短的時間段。因此，只要在網路上添加一點顏色，我們就對此感到滿意。我們提供了許多線上和店內特價商品，我們覺得這對我們有好處。我不能說這是《Gangbusters》。但它確實如此，它很強大。

Yes. And to the side back to the guidance, definitely Q3, was very strong, we said on as we guided previously, we expect the back half of the year to be very strong. We started Q3 really with double digit growth both in the stores and online and, and that trend continued in stores with a strong Halloween performance, things have softened on our web and some of that stuff has continued. So as we think even about Q4, we are still seeing solid results.

是的。回到指導方面，第三季肯定非常強勁，我們之前說過，我們預計今年下半年會非常強勁。我們從第三季開始，商店和線上商店都實現了兩位數的成長，而且這種趨勢在商店中繼續存在，萬聖節表現強勁，但我們的網路上的情況已經疲軟，其中一些東西仍在繼續。因此，即使我們考慮第四季度，我們仍然看到了堅實的結果。

Again, we saw a little bit more of a lift in Q3 because of the Halloween things and some of the things that I just talked about comparison versus last year and we feel pretty good about where our stores. But, as you think about some of the shipping times and like when the customers can order and get things, some of these weeks in November and first week in December is where you have like big portion of your web business completed for a quarter. So as we were, below our expectation that that draw some of that for tweaking of the guidance.

同樣，由於萬聖節的原因以及我剛剛談到的與去年相比的一些事情，我們在第三季度看到了更多的提升，我們對商店的位置感覺非常好。但是，當您考慮一些運輸時間以及客戶何時可以訂購和獲取商品時，11 月的某些周和 12 月的第一周是您四分之一的網絡業務完成的大部分時間。因此，低於我們的預期，這需要調整指導方針。

I guess that net net on that. But you know, a good store continued good store performance softness in the web. Again, leading us to that guidance. A little bit of a guidance narrowing on the revenue, but still beating prior to you.

我猜那網就在那網上。但你知道，好的商店會在網路上持續表現良好的商店表現。再次引導我們找到這項指導。收入指引略有縮小，但仍領先您。

And then just a follow up on the wholesale timing shift, you mentioned that it's going to be down sequentially in the, I think in the commercial business, right? And so I was just wondering if this was more of a pull forward into the third quarter or is the delay out into the first quarter of next year?

然後，只是批發時間轉變的後續行動，您提到它會在商業業務中依次下降，對吧？所以我只是想知道這是否更多地是推遲到第三季度，還是推遲到明年第一季？

Well, when you think about, a lot of these, we recognize our revenue at the time of shipments to our partners. So depending on the timing of openings of these locations and and when they are replenishing for the holiday season, just with the calendar, some of those times may fluctuate a little bit, especially now that we have some more international business.

好吧，當你想到其中很多時，我們在向合作夥伴發貨時確認了我們的收入。因此，根據這些地點的開業時間以及它們在假期期間補貨的時間，僅根據日曆，其中一些時間可能會略有波動，特別是現在我們有更多的國際業務。

So we still feel good about that business, about the growth, about the excitement in that. But there's going to be a little bit of choppiness as we start anniversarying some of those initial shipments and timing of replenishment orders.

因此，我們仍然對這項業務、成長以及其中的興奮感感到滿意。但當我們開始紀念其中一些初始發貨和補貨訂單的時間時，將會出現一些波動。

(Operator Instructions) Steve Silver, Argus Research.

（操作員說明）Steve Silver，Argus Research。

Congratulations on the strong quarter.

恭喜季度表現強勁。

My question first is around the continued strength in traffic. I think it's very impressive how Bilder bear continues to outpace the national retail traffic trends out there. And I think on past calls, you've mentioned the leverage that the company could have when it comes time for lease renegotiations. Given that strength. I'm curious as to whether over the next couple of years, whether there's a certain number of stores that might become eligible for lease renewals and if this continued outperformance, does provide the company any leverage in those regards.

我的第一個問題是關於交通的持續強勁。我認為 Bilder bear 繼續超越全國零售流量趨勢的方式令人印象深刻。我認為在過去的電話中，您提到了公司在重新談判租賃時可以擁有的影響力。鑑於有這樣的實力。我很好奇，在接下來的幾年裡，是否有一定數量的商店可能有資格續租，以及這種持續出色的表現是否會給公司在這些方面提供任何槓桿作用。

Yeah, that's a great question and I appreciate the comment and I might go as far as compliment on traffic. You know, we think that one, build a bear is an experience. So, and that's been a very strong point of difference for us through some of the shifting consumer buying and shopping habits, we do see we believe a return to wanting to have moments and memories together and that usually is a very positive thing for us during the holidays.

是的，這是一個很好的問題，我很欣賞你的評論，我可能會對流量表示稱讚。你知道，我們認為建造一隻熊是一種體驗。因此，透過一些消費者購買和購物習慣的轉變，這對我們來說是一個非常重要的差異點，我們確實看到我們相信，人們會回歸想要一起度過的時刻和回憶，這通常對我們來說是一件非常正面的事情。

And we use that as a strong marketing tool for us, but yes, we did see plus three on our traffic where the national retail tracker reported was at a negative three. So that's a, that's a strong delta and indeed, when we're negotiating with our landlords, and our retail partners, we do note that we're often, driving our own traffic if we're outpacing the mall traffic, that's we're not only driving traffic and bringing families and highly desired consumers to the mall.

我們使用它作為我們強大的行銷工具，但是，是的，我們確實看到我們的流量為正三，而國家零售追蹤報告的流量為負三。所以，這是一個強大的三角洲，事實上，當我們與房東和零售合作夥伴談判時，我們確實注意到，如果我們超過了商場的流量，我們經常會推動自己的流量，這就是我們的」不僅能增加客流量，也能吸引家庭和高需求的消費者來到購物中心。

To us, we're bringing them to the mall and you know, that often it relates and, and, and to other spending that they would do while they're there having a family experience and our partners tend to recognize and acknowledge that. We have been very careful over the past few years as I think we've noted with many of you on these calls on certain shorter term leases as the market has been volatile. So yes, we have different lease optionality and natural lease breaks coming up and we have constant communication or in constant communication, constant updates on those.

對我們來說，我們把他們帶到購物中心，你知道，這通常與他們在那裡享受家庭經歷時會進行的其他支出有關，我們的合作夥伴往往會認識到並承認這一點。過去幾年我們一直非常謹慎，我想我們已經注意到你們中的許多人對某些短期租賃的呼籲，因為市場一直不穩定。所以，是的，我們有不同的租賃選擇權和自然租賃中斷，我們會不斷溝通或不斷溝通，並不斷更新這些內容。

But I will note as we also do well, that pressure on bill be because they know that we're doing well. So it's a, it is a back and forth just because we are a strong brand and a noted brand and that we're driving our own traffic, that's not a car launch by any means. It's still, these are still tough negotiations and we always try to land in the right place with our partners and have enough lease latitude and negotiation latitude.

但我要指出的是，我們也做得很好，帳單上的壓力是因為他們知道我們做得很好。所以這是一個來回，只是因為我們是一個強大的品牌和一個著名的品牌，而且我們正在推動自己的流量，這無論如何都不是汽車發布。儘管如此，這些仍然是艱難的談判，我們總是試圖與我們的合作夥伴降落在正確的地方，並有足夠的租賃自由和談判自由。

I'm really proud of the team on what we've been able to do over the years, particularly in the post COVID environment where we renegotiated practically every single lease. And and I, and I think that utilizing the power of the brand as leverage and, and I believe we've done a very good job at that. And when you look at our, our metrics, it would, it would support that position.

我為我們團隊多年來所做的事情感到非常自豪，特別是在新冠疫情之後的環境下，我們幾乎重新談判了每一份租約。我，我認為利用品牌的力量作為槓桿，我相信我們在這方面做得非常好。當你查看我們的指標時，它會支持這個立場。

Just to add like we are in the upper and the malls that we are where we are operating in us. But also Steve, as you think about our business model, we have been able to operate in a variety of different formats. So we have format that we can operate from 200 square feet to 10,000 square foot locations profitably.

只是補充一下，就像我們在上層和購物中心一樣，我們在我們經營的地方。還有史蒂夫，當你思考我們的商業模式時，我們已經能夠以各種不同的形式運作。因此，我們的經營模式可以讓 200 平方英尺到 10,000 平方英尺的場地都能獲利。

And so that gives us also significant amount of leverage because we are not forced to be in specific locations and and pay the premium rent. So that's what our teams are working on. We are always looking at these opportunities.

因此，這也為我們提供了大量的槓桿作用，因為我們不必被迫位於特定地點並支付溢價租金。這就是我們團隊正在努力的方向。我們一直在尋找這些機會。

But as Sharon mentioned, it continues to be more than more challenging is our company, it's performing at these levels. And in some cases, some of these rent deals, what we like is our percentage of revenue deals. And you know, those type of deals is what we really like because it also helps landlord as we do. Well, they do better but also at a time, like if things slow down, we do have some natural leverage and hedging it there.

但正如莎倫所提到的，我們公司面臨的挑戰不僅僅是更具挑戰性，它的表現也達到了這些水準。在某些情況下，其中一些租賃交易，我們喜歡的是我們的收入交易百分比。你知道，這類交易是我們真正喜歡的，因為它也像我們一樣幫助房東。好吧，他們做得更好，但有時，如果事情放緩，我們確實有一些自然的槓桿作用並在那裡對沖。

And one last one if I may on the international expansion, It's very impressive as well with the increasing the expected store count for the year. Now, in 20 markets, I'm curious as to whether there's whether your partners have communicated their intentions as to whether the international landscape will eventually be in a lot of markets and operating more like flagship locations or around tourist locations. Basically just trying to balance more markets entered versus saturating those markets.

最後一點是關於國際擴張，隨著今年預期商店數量的增加，這也非常令人印象深刻。現在，在 20 個市場中，我很好奇你們的合作夥伴是否已傳達了他們的意圖，即國際格局最終是否會在許多市場中進行，並更像是旗艦店或旅遊勝地周圍的運營。基本上只是試圖平衡進入更多市場與飽和這些市場。

So I'll stop, but we are definitely pleased with the markets, that we are opening and some of the successes that we are initially seeing as you think about this process, it does take a long time to really go through the contract negotiation, find the right locations, find the right partners. We are protective of our brand and really, in a lot of different markets, our partners, may be managing multiple businesses tied back to toys or similar categories.

所以我會停下來，但我們絕對對市場感到滿意，我們正在開放，當你考慮這個過程時，我們最初看到的一些成功，確實需要很長時間才能真正完成合約談判，找到合適的地點，找到合適的合作夥伴。我們保護我們的品牌，實際上，在許多不同的市場中，我們的合作夥伴可能管理著與玩具或類似類別相關的多項業務。

And so we believe finding the right partners in these countries, it will create a lot more opportunities and absolutely over time, some of those things and some of these key markets you want to be in the best real estate, our some of our early stores in Milan Italy where with families and you know, in some of the best small. So we are seeing some good results and that's kind of like part of that strategy to grow and be a lot of best places in those respective markets.

因此，我們相信在這些國家找到合適的合作夥伴，這將創造更多的機會，絕對隨著時間的推移，其中一些東西和一些關鍵市場是您希望進入最好的房地產的，我們的一些早期商店在義大利米蘭，那裡有家人，你知道，在一些最好的小地方。因此，我們看到了一些很好的結果，這有點像發展策略的一部分，並在各自的市場中成為許多最好的地方。

But again, this is the other side of the equation being part of operated, they are making those choices. They are negotiating these leases with respective counterparts in those countries. So it does take, it's more give and take on those. And, we have a little bit less control where they can be open in locations. And.

但同樣，這是等式的另一邊，也是操作的一部分，他們正在做出這些選擇。他們正在與這些國家的相應同行就這些租賃進行談判。所以它確實需要，更多的是給予和接受。而且，我們對它們可以在哪些地點開放的控制有點少。和。

I would note we quite far from saturating any European market or global market. And so when I noted, 10 stores in Italy, they're not all in one city, they're scattered across the country from Rome to Milan. So, you know, the 1,010 stores is nowhere near a saturation, particularly when they're as going noted, they're different sizes. Some of them are shopping shops inside of A o some of them are stand alone. It depends on the market and then you also asked about tourist locations. And yes, in fact, they are cognizant of our over index of, of the sales and tourist locations and these locations in Rome and Milan and some of these other art they do base them on tourism.

我要指出的是，我們遠遠達不到歐洲市場或全球市場飽和的程度。因此，當我注意到義大利有 10 家商店時，它們並不都在一個城市，而是分散在從羅馬到米蘭的全國各地。所以，您知道，1,010 家商店遠遠沒有達到飽和狀態，尤其是如前所述，它們的規模各不相同。其中一些是 A 內的購物商店，其他則是獨立的。這取決於市場，然後你也問了旅遊地點。是的，事實上，他們意識到我們的銷售和旅遊地點以及羅馬和米蘭的這些地點以及他們基於旅遊業的其他一些藝術的過度指數。

So just as we do on our own, some of the standalone stores that we open. So they are, well not, they're very knowledgeable of the metrics that drive the sales and we share that information with them because it benefits both parties.

就像我們自己做的一樣，我們開了一些獨立商店。所以他們是，不是，他們非常了解推動銷售的指標，我們與他們分享這些訊息，因為這對雙方都有好處。

Congratulations again and best of luck through the rest of the holiday season.

再次恭喜你，祝你在假期剩下的時間裡一切順利。

At this time, I would like to turn the floor back over to Ms. John for closing comments.

現在，我想把發言權交還給約翰女士，以便結束發言。

So thank you so much and we appreciate everybody joining us today to hear the results of our record breaking third quarter. We also look forward to sharing our fourth quarter results with you. And in closing, we would like to wish you and your families a very happy holiday.

非常感謝你們，我們感謝今天加入我們的每個人，聆聽我們破紀錄的第三季的結果。我們也期待與您分享我們第四季的業績。最後，我們祝福您和您的家人有個愉快的假期。

Ladies and gentlemen, thank you for your participation. This concludes today's event. You may disconnect your lines or log off the webcast at this time and enjoy the rest of your day.

女士們、先生們，感謝您的參與。今天的活動到此結束。此時，您可以斷開線路或登出網路廣播，享受剩下的一天。