Cimpress PLC (CMPR) 2023 Q3 法說會逐字稿

Good day, ladies and gentlemen. Welcome to the Cimpress Third Quarter Fiscal Year 2023 Earnings Call. I will introduce Meredith Burns, Vice President of Investor Relations and Sustainability.

美好的一天，女士們先生們。歡迎參加 Cimpress 2023 財年第三季度收益電話會議。我將介紹投資者關係和可持續發展副總裁 Meredith Burns。

Thank you, Howard. And thank you everyone for joining us. With us today are Robert Keane, Founder, Chairman and Chief Executive Officer; and Sean Quinn, EVP and Chief Financial Officer.

謝謝你，霍華德。感謝大家加入我們。今天與我們在一起的有創始人、董事長兼首席執行官羅伯特·基恩 (Robert Keane)；執行副總裁兼首席財務官 Sean Quinn。

I hope you've all had a chance to read our earnings document. We appreciate the time that you've dedicated to understanding our results, our commentary and our outlook. This live Q&A session will last 45 minutes to an hour, and will answer both pre-submitted and live questions. You can submit questions via the question-and-answer box at the bottom left of your screen.

我希望你們都有機會閱讀我們的收益文件。我們感謝您花時間了解我們的結果、我們的評論和我們的前景。該現場問答環節將持續 45 分鐘到一個小時，並將回答預先提交的問題和現場問題。您可以通過屏幕左下角的問答框提交問題。

Before we start, I'll note that in this session, we will make statements about the future. Our actual results may differ materially from these statements due to risk factors that are outlined in detail in our SEC filings and the documents that we published yesterday on our website. We have also published non GAAP reconciliations for our financial results and our outlook on our IR website. We invite you to read them.

在我們開始之前，我要指出的是，在本次會議上，我們將就未來發表聲明。由於我們向 SEC 提交的文件以及我們昨天在網站上發布的文件中詳細概述的風險因素，我們的實際結果可能與這些聲明存在重大差異。我們還在 IR 網站上發布了我們的財務業績和展望的非 GAAP 調節表。我們邀請您閱讀它們。

And now I will turn things over to Sean for some brief remarks before we take question.

現在，在我們提問之前，我將把事情交給肖恩，讓他做一些簡短的評論。

Thanks a lot, Meredith. And thanks everyone who's joined us today and who's listening later on the recording. Before we get into the questions, I'll highlight just a few key points from the financial results and outlook that we published yesterday.

非常感謝，梅雷迪思。感謝今天加入我們以及稍後收聽錄音的所有人。在討論問題之前，我將重點介紹我們昨天發布的財務業績和展望中的幾個要點。

As we outlined in our September Investor Day, this fiscal year's results were going to be characterized by margin compression in the first half of the year, as we lap the impact of cost inflation and a higher OpEx space, and then expansion in the second half of the year.

正如我們在 9 月份的投資者日中概述的那樣，本財年的業績將以上半年的利潤率壓縮為特徵，因為我們受到成本通脹和更高的運營支出空間的影響，然後在下半年進行擴張今年的。

Before factoring in the material benefits from the cost reduction outlines that we outlined for you in our March 24 investor update we saw significant year-over-year expansion of adjusted EBITDA in the March quarter, from a combination of accelerated revenue growth, gross margin stabilization and leverage in advertising spend and operating expenses.

在考慮我們在 3 月 24 日投資者更新中為您概述的成本削減大綱帶來的實質性好處之前，我們看到，由於收入加速增長、毛利率穩定，三月份季度調整後 EBITDA 同比大幅增長以及廣告支出和運營支出的槓桿作用。

From a revenue perspective, we were at the high end of our guidance range, which -- with 16% consolidated organic constant currency revenue growth, in part from year-over-year pricing improvements, but also comping a weaker period in January and February last year.

從收入角度來看，我們處於指導範圍的高端，固定貨幣收入綜合有機增長為 16%，部分原因是同比定價改善，但也與 1 月和 2 月的疲軟時期相比去年。

We continue to see strong performance in our Upload and Print businesses and in Vista constant currency revenue growth accelerated to 16% as well.

我們繼續看到我們的上傳和打印業務表現強勁，並且 Vista 中的固定貨幣收入增長也加速至 16%。

Vista's performance was driven by growth across small business product categories with promotional products once again in the lead. But we also had double digit revenue growth for business cards from marketing materials, for signage and for packaging.

Vista 的業績受到小型企業產品類別增長的推動，其中促銷產品再次處於領先地位。但我們的營銷材料名片、標牌和包裝的收入也實現了兩位數的增長。

New customer count and new customer bookings and Vista both grew nicely. That was the second quarter in a row that both of those metrics grew. Helped by the mid and upper funnel advertising testing that we did in the first half of the year.

新客戶數量、新客戶預訂和 Vista 都增長良好。這是這兩項指標連續第二個季度增長。得益於我們在今年上半年進行的中上部漏斗廣告測試。

We did also passed the anniversary of the migration of our U.S. site onto the new technology platform, which was in February of last year. But growth was equally strong in North America and Europe.

去年 2 月，我們還度過了美國網站遷移到新技術平台的周年紀念日。但北美和歐洲的增長同樣強勁。

Gross margins were stable year-over-year on a consolidated basis, but that also included in Vista and so our consolidated revenue growth that I just went through translated the strong growth in gross profit as well.

綜合毛利率同比穩定，但這也包括在 Vista 中，因此我剛剛經歷的綜合收入增長也轉化為毛利潤的強勁增長。

As we said during the investor call on March 24, we're seeing input cost stabilized with opportunities for a reduction as we look to the coming fiscal year.

正如我們在 3 月 24 日的投資者電話會議上所說，展望下一財年，我們看到投入成本趨於穩定，並有降低的機會。

From a profitability perspective, Q3 adjusted EBITDA more than doubled year-over-year and finished above the guidance range that we provided in March. That's translated to strong cash flow performance as well.

從盈利能力的角度來看，第三季度調整後的 EBITDA 同比增長了一倍多，並高於我們 3 月份提供的指導範圍。這也轉化為強勁的現金流表現。

As expected we saw working capital favorability relative to typical seasonal patterns in Q3, offsetting the unfavorability we saw in the first half of the year between taking on extra safety stock as insurance against possible supply chain challenges, as well as some differences in spend levels during the last quarters holiday peak. That all combined to drive a much lower outflow for adjusted free cash flow compared to recent years in Q3.

正如預期的那樣，我們在第三季度看到了相對於典型季節性模式的營運資本有利性，抵消了我們在上半年看到的不利因素，即採取額外的安全庫存作為應對可能的供應鏈挑戰的保險，以及期間支出水平的一些差異。最後一個季度假期高峰。與近年來相比，第三季度調整後自由現金流的流出量大大降低。

We ended the quarter with cash and marketable securities of about $190 million, which was well ahead of the guidance that we provided as a result of both strong operating finish to the quarter, but also more favorable working capital.

本季度結束時，我們擁有約 1.9 億美元的現金和有價證券，這遠遠超出了我們提供的指導，因為本季度運營業績強勁，而且營運資金也更加有利。

Net leverage was 4.83x on trailing 12 month EBITDA, that's as defined by our credit facility. And that was lower sequentially due to improved profitability, and also the pro forma of benefit of a portion of our cost reduction action.

根據我們的信貸安排，過去 12 個月 EBITDA 的淨槓桿率為 4.83 倍。由於盈利能力提高，以及我們部分成本削減行動的預計效益，這一數字比上一季度有所下降。

Moving to our outlook, as an update to the guidance that we provided in our March investor update. On the back of the strong Q3 performance, we're raising our Q4 adjusted EBITDA guidance to $90 million to $94 million. We expect that to come with seasonally strong free cash flow conversion as well.

轉向我們的展望，作為我們在三月份投資者更新中提供的指導的更新。在第三季度強勁表現的支持下，我們將第四季度調整後 EBITDA 指導值提高至 9000 萬美元至 9400 萬美元。我們預計這也將帶來季節性強勁的自由現金流轉換。

Inclusive of this guidance, and also the higher reported Q3 results, our expectation for fiscal 2023 adjusted EBITDA is now $316 million to $320 million.

考慮到這一指引以及更高的第三季度業績報告，我們對 2023 財年調整後 EBITDA 的預期目前為 3.16 億至 3.2 億美元。

We remain on track to reduce that leverage to below 4.5x trailing 12 month EBITDA as defined by our credit facility by the end of next year fiscal year 2024 -- sorry, by the end of this fiscal year, so next quarter -- June quarter.

我們仍有望在明年 2024 財年年底前將槓桿率降低至我們的信貸安排所定義的過去 12 個月 EBITDA 的 4.5 倍以下——抱歉，到本財年年底，所以下個季度——6 月季度。

Moving to our thoughts on fiscal '24. We remain confident in our ability to achieve at least $400 million in adjusted EBITDA in fiscal '24. Our Q3 results and the raised Q4 guidance further support them.

接下來談談我們對 24 財年的看法。我們仍然有信心能夠在 24 財年實現至少 4 億美元的調整後 EBITDA。我們的第三季度業績和上調的第四季度指導進一步支持了它們。

The cost reduction actions that we've taken will yield about $100 million in annualized savings as we outlined in detail last month. We expect to see about $15 million to $17 million of year-over-year savings in Q4, and then the remainder of that will take place in fiscal '24.

正如我們上個月詳細概述的那樣，我們採取的成本削減措施每年將節省約 1 億美元。我們預計第四季度將同比節省約 1500 萬至 1700 萬美元，其餘部分將在 24 財年實現。

Importantly, we continue to expect that fiscal 2024 adjusted EBITDA of at least $400 million next year will be coupled with strong conversion to adjusted free cash flow of approximately 40% bringing net leverage to be below 3.5x by the end of next fiscal year.

重要的是，我們仍然預計明年 2024 財年調整後 EBITDA 至少為 4 億美元，同時強勁轉換為約 40% 的調整後自由現金流，到下一財年末淨槓桿率將低於 3.5 倍。

As discussed on our March 24 call, given the extent of cost reductions we've put in place, achieving at least $400 million in adjusted EBITDA requires relatively modest revenue growth next year and the associated contribution flow through.

正如我們在 3 月 24 日的電話會議上所討論的，考慮到我們已經實施的成本削減程度，要實現至少 4 億美元的調整後 EBITDA，需要明年相對適度的收入增長和相關的貢獻流量。

We have not provided revenue guidance for FY '24 yet. As a reminder, by the time we enter next year, we will have passed the anniversary of both the technology migration and Vista in all of our large markets, as well as most of our pricing increases that we've done over the last year.

我們尚未提供 24 財年的收入指引。提醒一下，當我們進入明年時，我們將度過所有大型市場的技術遷移和 Vista 週年紀念日，以及我們去年所做的大部分定價上漲的周年紀念日。

We provided this detailed guidance in our March call and continuing here because we are in a moment in time where we expect our profitability and our cash flow to be meaningfully higher in the quarters ahead. And that's starting to happen as a result of the progress that we've made across our businesses, including from recent investments, but also from our continued growth and the material cost reductions that we've recently implemented.

我們在三月份的電話會議中提供了這一詳細的指導，並在此繼續，因為我們正處於我們預計未來幾個季度我們的盈利能力和現金流將顯著提高的時刻。這是我們在各業務領域取得的進步的結果，包括最近的投資，也來自我們的持續增長和我們最近實施的材料成本削減。

We don't expect to provide this level of detailed guidance on a quarterly basis in the future. But we'll continue to outline our expectations for the coming year, at the start of each year. And when warranted, with any changing circumstances we'll of course, update that.

我們預計未來不會按季度提供這種級別的詳細指導。但我們將繼續在每年年初概述對來年的期望。如果有必要，隨著情況發生任何變化，我們當然會更新它。

Meredith, why don't we turn it over to Q&A?

梅雷迪思，我們為什麼不把它交給問答環節呢？

Thanks Sean. (Operator Instructions) So the first question, I'm going to do a pre-submitted question and we got this a couple of times from different folks, which is, basically what changed from the March investor update, where Q3 EBITDA came in much better than the guidance of $60 million to $62 million. Sean, why don't you take that one?

謝謝肖恩。 （操作員說明）所以第一個問題，我要做一個預先提交的問題，我們從不同的人那裡得到了幾次這個問題，這基本上是自 3 月份投資者更新以來發生的變化，其中第三季度 EBITDA 出現了很大變化好於 6000 萬至 6200 萬美元的指導。肖恩，你為什麼不拿走那個呢？

Yes, sure. There's really 2 main things. One, that quarter finished strong, so that was the main driver. Also, we had about $1.7 million of savings from the March cost actions that we took, which was a little bit higher than what's factored into the guidance just based on how those actions and when those actions were finalized.

是的，當然。確實有兩件事。第一，該季度表現強勁，因此這是主要驅動力。此外，我們從 3 月份採取的成本行動中節省了約 170 萬美元，這比僅根據這些行動的方式和最終完成時間而納入指導的內容略高一些。

I mean, in general, we have very good visibility to the top half of our P&L on a daily, on a weekly basis. The full EBITDA picture sometimes takes until the end of the month to get fully rolled up. And of course, we do have quite a few businesses across the group.

我的意思是，總的來說，我們每天、每週的損益表的上半部分都有很好的可見性。完整的 EBITDA 數據有時需要到月底才能完全匯總。當然，我們集團內確實有不少業務。

But our guidance for Q3 on March 24 was based on 2 months of actuals, 1 month of forecast. We ended up better than that forecast. And that stronger performance against forecast in March and as we closed out the quarter was one of the drivers to us increasing the range of adjusted EBITDA guidance for Q4, as you saw in the release last night.

但我們 3 月 24 日對第三季度的指導是基於 2 個月的實際情況和 1 個月的預測。我們的結果比預測的要好。正如您在昨晚的發布中所看到的，3 月份以及我們結束本季度時，與預測相比的強勁表現是我們增加第四季度調整後 EBITDA 指導範圍的驅動因素之一。

Great, thanks. So we're going to stick on that same topic and flip it to cash flow. Can you please provide a little more color on why cash and cash equivalents were so much higher than the $135 million to $145 million guidance given at Investor Day towards the end of the quarter? Was there any kind of working capital pull forward from Q4 of FY '23?

十分感謝。因此，我們將繼續討論同一主題並將其轉向現金流。您能否提供更多信息來說明為什麼現金和現金等價物遠遠高於本季度末投資者日給出的 1.35 億至 1.45 億美元指導值？ 23 財年第四季度是否有任何營運資金？

And a related question, working capital was a positive instead of less of an outflow, what happened there? It's a good thing, but just curious about timing issues.

還有一個相關的問題，營運資金不是流出而是增加，而是增加了，那裡發生了什麼？這是一件好事，但只是對時間問題感到好奇。

Yes. We finished the quarter very strong from a cash flow perspective, which was great to see. Of course, we had the upside of the EBITDA flowing through. So that was a positive. We did have some timing benefits relative to our forecast for working capital as well. That gets tricky within a given week in terms of precision. And because of that, frankly, we had to take a little bit more of a conservative stance in that guidance. And that's not guidance we would typically give. There was a lot of focus on that, and we wanted to be clear about at least where we expect it to land. And we, of course, came in well ahead of that, which is good news.

是的。從現金流的角度來看，我們在本季度的表現非常強勁，這真是太好了。當然，我們也看到了 EBITDA 的好處。所以這是積極的。相對於我們對營運資金的預測，我們確實也有一些時機優勢。就精確度而言，在一周內這會變得很棘手。坦率地說，正因為如此，我們必須在該指導意見中採取更加保守的立場。這不是我們通常會提供的指導。人們對此有很多關注，我們希望至少清楚我們期望它落地的地方。當然，我們遠遠領先於這一點，這是個好消息。

From a timing perspective, in terms of what impacted that, things like when we pay or receive indirect taxes, all kind of normal stuff is what drives that. Nothing out of the ordinary there to call out. In terms of the kind of pull-forward question, for Q4, we do expect to see seasonal strength in terms of the conversion of our EBITDA to cash flow. We'll have the cash restructuring charges that we've previously outlined. Most of that gets paid out in Q4.

從時間的角度來看，就影響因素而言，比如我們何時支付或收取間接稅，所有正常的事情都是推動這一因素的因素。沒有什麼異常之處。就拉前問題而言，我們確實預計第四季度 EBITDA 向現金流的轉換將出現季節性強勁。我們將承擔之前概述的現金重組費用。其中大部分將在第四季度支付。

But I'd say that the Q3 working capital being stronger than expected was more of an offset to some of the unfavorable trends we saw in the first half of the year, including from inventory than it was a pull forward of what we'd expect to see in Q4. And that's all built into the commentary that we provided in terms of strong cash flow conversion in Q4. And that strong cash flow conversion is inclusive of any of the restructuring costs that we need to pay next quarter.

但我想說，第三季度的營運資本強於預期，更多地抵消了我們在今年上半年看到的一些不利趨勢，包括庫存，而不是我們預期的提前在第四季度看到。這一切都包含在我們就第四季度強勁現金流轉換提供的評論中。強勁的現金流轉換包括我們下季度需要支付的任何重組成本。

Great. Thank you, Sean. I'm going to hand the next couple of questions over to Robert.

偉大的。謝謝你，肖恩。我將把接下來的幾個問題交給羅伯特。

Robert, first, BuildASign growth has recently moderated. What is driving that moderation?

羅伯特，首先，BuildASign 的增長最近有所放緩。是什麼推動了這種節制？

Before answering the specifics of the question, step back and provide a summary perspective. I don't have the exact numbers on hand. But broadly speaking, if you look at the revenues of BuildASign today relative to their revenues prior to the pandemic, this business has grown roughly in line with what you've seen Cimpress do over that multiyear period. But BuildASign has taken a different path.

在回答問題的具體細節之前，先退一步並提供一個總結性的觀點。我手頭沒有確切的數字。但從廣義上講，如果你看看 BuildASign 今天的收入與大流行之前的收入相比，你會發現這項業務的增長與 Cimpress 在過去多年裡的表現大致一致。但 BuildASign 卻走了一條不同的道路。

And to get into that type of that path, specifically, you'll recall that during the pandemic, we performed very well at BuildASign. A lot of that was driven by home decor, and much of that was, we believe, a pull forward of demand and that segment has cooled off. It's still a strong segment. We still see it growing over time, but we accelerated some of that revenue.

具體來說，為了進入這種類型的道路，您會記得在大流行期間，我們在 BuildASign 表現得非常好。其中很大一部分是由家居裝飾推動的，我們認為，其中很大一部分是需求的拉動，而該細分市場已經降溫。它仍然是一個強大的細分市場。我們仍然看到它隨著時間的推移而增長，但我們加速了其中一些收入。

On the other hand, signage and enterprise accounts have generally performed well after the pandemic. So we see some impact from other things like all of our businesses in cost inflation or labor costs or some shifts in marketing approach. But generally, the home decor products that spiked during the pandemic have normalized to lower levels, and that's pushing down our growth rate of BuildASign signage products and enterprise accounts are growing strongly.

另一方面，標牌和企業賬戶在疫情后普遍表現良好。因此，我們看到了其他因素的一些影響，例如我們所有業務的成本通脹或勞動力成本或營銷方法的一些轉變。但總體而言，疫情期間飆升的家居裝飾產品已正常化至較低水平，這壓低了我們的 BuildASign 標牌產品和企業帳戶的強勁增長速度。

And so it's been a little noisy in the last several quarters and years, but BuildASign remains a great business with a really strong leadership team, and we're very confident in their ability to grow both revenues and profits into the future.

因此，在過去的幾個季度和幾年裡，它有點吵鬧，但 BuildASign 仍然是一家偉大的企業，擁有真正強大的領導團隊，我們對他們未來增加收入和利潤的能力非常有信心。

Thank you, Robert. And a question on Vista for you.

謝謝你，羅伯特。還有一個關於 Vista 的問題要問你。

In the midyear update, Florian mentioned that there would be a refocusing of Vista's attention on vistaprint.com. What does this mean for the Vista portfolio, Vistaprint, VistaCreate, 99designs and also the concept of print versus digital?

在年中更新中，Florian 提到 Vista 的注意力將重新集中在 vistaprint.com 上。這對於 Vista 產品組合、Vistaprint、VistaCreate、99designs 以及印刷與數字的概念意味著什麼？

Maybe I'll step back again and say, we retained Vista's strategic North Star to become the expert design and marketing partner to small business. And that certainly needs to include starting with the last portion of your question, digital, websites for small businesses, social media postings. It needs to include great design. And we will move towards that long-term vision as we've talked about already in the past.

也許我會再次退後一步說，我們保留了 Vista 的戰略北極星，以成為小型企業的專家設計和營銷合作夥伴。這當然需要包括從問題的最後一部分開始，數字、小型企業網站、社交媒體帖子。它需要包括出色的設計。我們將朝著我們過去討論過的長期願景邁進。

The difference that Florian was alluding to is a decision to progressively integrate the VistaCreate experience and the 99designs experience and other future additional experiences directly into the Vistaprint user experience. In other words, on the Vistaprint site itself as opposed to -- on adjacent site. And that will bring these expanded design capabilities or digital [capabilities and customers.]

Florian 提到的差異是決定逐步將 VistaCreate 體驗和 99designs 體驗以及其他未來的附加體驗直接集成到 Vistaprint 用戶體驗中。換句話說，是在 Vistaprint 網站本身，而不是在相鄰網站上。這將帶來這些擴展的設計能力或數字[能力和客戶]。

And the stand-alone experiences of VistaCreate and 99designs will continue to exist as a separate URLs. We're not taking those down. But the development is really being focused to bring the integration into Vista, which has always been a long-term objective.

VistaCreate 和 99designs 的獨立體驗將繼續作為單獨的 URL 存在。我們不會把它們拿下來。但開發的真正重點是集成到 Vista 中，這一直是一個長期目標。

We, over time, believe the broadening of Vistaprint user experience towards these areas of design and digital will help fulfill that North Star, where we speak of that North Star as Vista being that broader value proposition. So it's really a change in path of how to get there to leverage these large number of customers we already have, but it's not a change in the destination.

隨著時間的推移，我們相信 Vistaprint 用戶體驗向這些設計和數字領域的擴展將有助於實現北極星，我們將北極星稱為 Vista 是更廣泛的價值主張。因此，這實際上是如何利用我們已有的大量客戶來實現這一目標的路徑的改變，但這並不是目的地的改變。

Thanks Robert. Sean, I think I'll hand this one over to you. This one is on margins at Vista. Is the margin recovery at Vista tracking in line, ahead or behind your expectations, please elaborate.

謝謝羅伯特。肖恩，我想我會把這個交給你。這一款在 Vista 上處於邊緣狀態。 Vista 的利潤率恢復符合、高於還是低於您的預期，請詳細說明。

It really depends on when that expectation was set. If you go back to what we expected at the beginning of the year, I'd say broadly on track, maybe slightly ahead. And we talked a little bit about that at Investor Day in September about the shape of margins throughout the year that we were still going to be lapping some of these things in the first half of the year that was going to put pressure on margins and then we would start to see expansion in the second half of the year.

這實際上取決於這個期望是什麼時候設定的。如果你回到我們年初的預期，我會說大體步入正軌，甚至可能稍微領先。我們在 9 月份的投資者日上討論了全年利潤率的情況，我們仍將在上半年進行一些工作，這將對利潤率造成壓力，然後我們將在下半年開始看到擴張。

But it's accelerating now beyond our expectations in large part because of the cost reductions that we've taken action on. But I think relative to the recent most -- our most recent plans over the recent months, we're definitely on track and maybe a little bit ahead.

但現在它的加速速度超出了我們的預期，這在很大程度上是因為我們採取了降低成本的行動。但我認為，相對於我們最近幾個月的最新計劃，我們絕對走在正軌上，也許還領先一點。

If you just step through the main sections of the P&L, gross margins in Q3 were flat year-over-year in Vista. And that becomes a really, really important piece of the margin picture that wasn't in place in the first half of the year or in the second half of last year. So gross margins being flat year-over-year in Q3, that acceleration in growth starts to set up for the ability to really pretty strongly expand margins.

如果你只看一下損益表的主要部分，就會發現 Vista 第三季度的毛利率與去年同期持平。這成為利潤率圖中非常非常重要的一部分，而在今年上半年或去年下半年還沒有到位。因此，第三季度的毛利率同比持平，增長的加速開始為真正強勁地擴大利潤率奠定了基礎。

And then over the last year, we also have a bit more intensity in advertising, and it wasn't expected that we'd maintain that same intensity as a percentage of revenue. We're starting to see margin leverage there as well. That was pretty sizable in Q3. That will be particularly evident again in Q4 as well.

去年，我們在廣告方面也加大了力度，但我們預計我們不會在收入中保持同樣的強度。我們也開始看到那裡的保證金槓桿。第三季度的規模相當大。這在第四季度也將尤為明顯。

And then from an OpEx perspective, we expect it to kind of flatten out, but now we're starting to bring that down given the cost reductions that we've put in place as well.

然後從運營支出的角度來看，我們預計它會趨於平穩，但現在考慮到我們已經實施的成本削減措施，我們開始降低運營支出。

Maybe just the last thing to say is, I think from a -- Meredith, you have another question -- do you want to ask the next question and then I'll continue.

也許最後要說的是，我認為——梅雷迪思，你還有另一個問題——你想問下一個問題嗎，然後我會繼續。

Yes, I was just going to pop a live question in here for you. So new customer count and bookings in Vista have now grown for 2 consecutive quarters. Can you speak to what's driving this? And how sustainable do you think this trend is?

是的，我只是想在這裡向您提出一個實時問題。因此，Vista 的新客戶數量和預訂量現已連續兩個季度增長。您能談談是什麼推動了這一趨勢嗎？您認為這種趨勢的可持續性如何？

Yes. Yes, I was going to start to touch on that. Yes, this has been very positive to see as well. There's a lot of our efforts in terms of where we've been investing over recent years, be it in design, but also even a lot of the testing that we've done from an advertising perspective, which is geared towards reenergizing new customer acquisition and finding economic ways to do that and do that at scale. So I think this is very positive to see over the last 2 quarters.

是的。是的，我正要開始談到這一點。是的，這也是非常積極的。近年來，我們在設計方面進行了很多投資，甚至從廣告角度進行了很多測試，旨在重新激發新客戶的獲取並尋找經濟的方法來做到這一點並大規模地做到這一點。所以我認為過去兩個季度的情況非常積極。

And we had been seeing that new customer bookings were growing nicely in quarters before that, but now to have new customer count and bookings both growing strongly is very positive. I think that, that is -- in terms of what's driving that, like I said, it's been the focus of part of our investment over the last few years.

在此之前的幾個季度，我們一直看到新客戶預訂量增長良好，但現在新客戶數量和預訂量均強勁增長，這是非常積極的。我認為，就驅動因素而言，正如我所說，這是我們過去幾年部分投資的重點。

And we've been very focused also on protecting the key parts of investment there even as we've gone through these cost reduction actions. And then the advertising, including changing mix of our advertising and doing more and more experimentation there with positive results.

即使我們採取了這些降低成本的行動，我們也一直非常注重保護那裡投資的關鍵部分。然後是廣告，包括改變我們的廣告組合，並在那裡進行越來越多的實驗，並取得了積極的成果。

I do think that, that trend is sustainable. We have some benefit in Q3 of some of the softer comp, but I do think that trend is sustainable and it's a clear focus of ours as we go into next fiscal year.

我確實認為這種趨勢是可持續的。我們在第三季度從一些較軟的公司中獲得了一些好處，但我確實認為這種趨勢是可持續的，並且在我們進入下一個財年時，這是我們的一個明確的重點。

Thanks Sean. We're going to stick with Visa marketing for a moment and go into guidance territory here. We've got several questions from folks asking us about the level of marketing spend as a percentage of revenue in Q3, 14.5% of revenue, whether that's a new run rate. What this is going to look like going forward? Could it decrease further? Is it going to increase again? Lots of questions on this topic, as you can imagine.

謝謝肖恩。我們將暫時堅持 Visa 營銷，並在此進入指導領域。人們向我們提出了幾個問題，詢問我們第三季度營銷支出佔收入的百分比（佔收入的 14.5%），這是否是新的運行率。未來會是什麼樣子？還能進一步減少嗎？還會再增加嗎？正如您可以想像的那樣，關於這個主題的問題很多。

Yes. We made a few comments on this in the release. For Vista, ad spend as a percentage of revenue should not be expected to be a constant every quarter. There will be fluctuations, those fluctuations will be driven by the intensity of mid and upper funnel campaigns, especially as we continue to experiment with mix.

是的。我們在新聞稿中對此發表了一些評論。對於 Vista，廣告支出佔收入的百分比不應期望每個季度都保持不變。會有波動，這些波動將由漏斗中上層活動的強度驅動，特別是當我們繼續嘗試混合時。

The question asked if we could decrease further from where we're at in Q3. In Q3, we're actually down from recent levels. And we could, of course, decrease further, but we don't think that will be the right decision based on the returns on the spend that we have in the portfolio today.

問題是我們是否可以在第三季度的基礎上進一步減少。在第三季度，我們實際上低於最近的水平。當然，我們可以進一步減少，但根據我們今天在投資組合中的支出回報，我們認為這不是正確的決定。

I think on an annual basis, we'll actually have advertising spend as a percentage of revenue. That's likely to be slightly higher than the 14.5% that we had in Q3. But we'll still have leverage there. I mentioned this in the question of margin expansion. We'll still have leverage there relative to the last year or so. And like I said, you'll see that in Q4 as well.

我認為每年我們的廣告支出實際上會佔收入的百分比。這可能略高於第三季度的 14.5%。但我們仍然有影響力。我在利潤擴張的問題中提到過這一點。相對於去年左右，我們仍然具有槓桿作用。正如我所說，您也會在第四季度看到這一點。

In Q4 last year, we were starting to do more experimentation from a mid and upper funnel spend perspective. We were spending against some of the new properties that we had acquired. And so like I said, we'll see some pretty sizable leverage there in Q4.

去年第四季度，我們開始從中上渠道支出的角度進行更多實驗。我們正在花一些錢購買一些新的房產。正如我所說，我們將在第四季度看到一些相當大的槓桿。

I think the commentary that we had provided back in our September Investor Day was that we'd likely be at approximately 17% of revenue on an annual basis with some fluctuations on a quarterly basis over the next few years. And that's significantly lower than we've been in some of our past history in fiscal '18 and before that, we were roughly 22% higher.

我認為我們在 9 月份投資者日提供的評論是，我們的年度收入可能約為 17%，並且在未來幾年中按季度會出現一些波動。這明顯低於 18 財年我們過去的一些歷史記錄，而在此之前，我們大約高出了 22%。

I think we're actually now -- we'll track below that 17% on an annual basis, especially after some of the cost reduction actions that we've taken, which deprioritize spend in some areas from an advertising perspective. So somewhere in that 15% to 17% range most likely.

我認為我們現在實際上 - 我們每年都會跟踪低於 17％ 的水平，特別是在我們採取了一些成本削減措施之後，從廣告的角度來看，這些措施降低了某些領域的支出優先級。所以最有可能在 15% 到 17% 的範圍內。

There's been a lot of good work in this area recently. And so there's still a lot of opportunity to continue to experiment with mix and continue to push efficiency even in Q3, we saw some great wins there, and we'll continue to be focused there as we get into next fiscal year as well.

最近在這個領域有很多好的工作。因此，即使在第三季度，仍然有很多機會繼續嘗試混合併繼續提高效率，我們在那裡看到了一些偉大的勝利，並且在進入下一個財年時我們也將繼續關注這一點。

Thanks Sean. Quick question. Where is Printi on its profitability journey.

謝謝肖恩。快問。 Printi 的盈利之路在哪裡？

Well, I'll take this one. Getting close from a profitability perspective. Growth has been strong there. And I think even more importantly than that, the gross margins there have improved quite meaningfully over the last 2 years to now where the P&L structure supports that path to profitability and with growth and profitability beyond that as that business scales.

好吧，我就拿這個吧。從盈利角度來看，已經很接近了。那裡的增長一直很強勁。我認為更重要的是，從過去兩年到現在，毛利率已經有了相當大的改善，損益結構支持盈利之路，並且隨著業務規模的擴大，增長和盈利能力將超越這一水平。

Brazil is a huge market. Printi is the clear leader in that market. And we're basically -- we're taking what's winning elsewhere around Cimpress and understanding the relevance of that to the Brazilian market and then helping the team to roll those things out. We've made great progress here in the last few years and the pace of expanding product selection is increasing. So there's good momentum in that business.

巴西是一個巨大的市場。 Printi 是該市場明顯的領導者。基本上，我們正​​在利用 Cimpress 周圍其他地方的成功經驗，了解其與巴西市場的相關性，然後幫助團隊推出這些產品。過去幾年我們在這方面取得了巨大進步，擴大產品選擇的步伐也在加快。因此該業務勢頭良好。

Thanks. All right. I'm going to go to a topic area where we've had pre-submitted questions, but also a couple of live questions as well.

謝謝。好的。我將進入一個主題區域，我們已經預先提交了問題，但也有一些實時問題。

Really looking to understand the growth rate this quarter and what's coming from price, what's coming from volume, what's coming from the weaker comp. Several questions in that area.

真正希望了解本季度的增長率以及來自價格的增長，來自數量的增長，來自較弱競爭的增長。該領域的幾個問題。

Yes. I'll do my best to give an overview here, recognizing that we do have a portfolio of businesses, each of them experiencing some different things, product categories experiencing different things and also the timing of when we've done price increases has been different by kind of business-by-business.

是的。我會盡力在這裡進行概述，認識到我們確實擁有一系列業務，每個業務都經歷了一些不同的事情，產品類別經歷了不同的事情，而且我們提價的時間也不同按業務類型。

So I won't go through the exact breakdown, but just to paint the picture. And just for this quarter of the 16% growth, roughly about 1/3 of that is price and about 2/3 of that is the combination of both volume and product mix shift in promotional products, for example, AOVs there are higher than our average. And so with the growth there, that helps also.

因此，我不會詳細介紹具體情況，而只是簡單地描繪一下情況。就本季度 16% 的增長而言，大約 1/3 是價格，大約 2/3 是促銷產品的數量和產品組合變化的組合，例如，AOV 高於我們的平均的。隨著那裡的增長，這也有所幫助。

I would say -- and part of that -- from a volume perspective, we're helped a little bit in Q3 in Vista just as we lap the U.S. site launch last year and also some of the pandemic-related impacts.

我想說——部分原因是——從數量的角度來看，我們在 Vista 的第三季度得到了一些幫助，就像我們去年推出美國網站以及一些與流行病相關的影響一樣。

In Upload and Print, again, different by business, different by category, but it's ranged roughly about half of the growth from price, about half from volume. And that amount from price will come down in the next couple of quarters as we lap the pricing changes that we put in place over the last year.

在上傳和打印方面，同樣，業務不同，類別不同，但其增長大約一半來自價格，大約一半來自數量。隨著我們完成去年實施的定價變化，價格金額將在接下來的幾個季度內下降。

I think one of the other important things, and I think I mentioned this briefly earlier, new customer activity has been strong in Vista, we just talked about that, but also in our Upload and Print businesses in Q3 but also in the quarters prior to that. And so as those cohorts build, I think that also supports future growth as well. So that's been another important element to how growth has been driven over the recent quarters, including in Q3.

我認為另一件重要的事情之一，我想我之前簡要提到過，Vista 中的新客戶活動非常強勁，我們剛剛談到了這一點，而且在第三季度的上傳和打印業務中，而且在之前的幾個季度中也是如此那。因此，隨著這些群體的建立，我認為這也支持了未來的增長。因此，這是最近幾個季度（包括第三季度）推動增長的另一個重要因素。

Great. All right. I'm going to throw this next question to Robert.

偉大的。好的。我要把下一個問題拋給羅伯特。

Robert, have the layoffs been finalized? Or are they still ongoing? And what are we doing to keep team morale high?

羅伯特，裁員已經敲定了嗎？或者它們仍在進行中？我們正在做什麼來保持團隊士氣高昂？

To your first question, the layoffs have been finalized. We completed them in March and April. And -- they are fully complete other than some processes, which are required by employment law in certain countries, but substantially complete.

關於你的第一個問題，裁員已經確定。我們在三月和四月完成了它們。而且——除了某些國家就業法所要求的某些流程之外，它們是完全完整的，但基本上是完整的。

On your question (technical difficulty) communication at all levels of the organization, but being sure to combine 2 very important messages and 2 very important sets of facts. First, we are treating departing employees with respect, with financial fairness and with heartfelt appreciation for the contributions they've provided to the business in the past. And reiterating these changes are not a reflection on their talent. And that's a very important human message, which I think has gone over well.

關於你的問題（技術難度），在組織的各個層面進行溝通，但一定要結合 2 個非常重要的信息和 2 個非常重要的事實。首先，我們尊重離職員工，提供財務公平，並對他們過去為企業做出的貢獻表示衷心感謝。而重申這些變化並不是對他們才華的體現。這是一個非常重要的人類信息，我認為它得到了很好的反響。

Secondly, we've stressed how these changes will make us a better company. Of course, financially stronger. But in addition to that, we've positioned ourselves to improve our velocity in terms of improving customer value and that we've done that by reducing management layers, by clarifying areas of accountability, by narrowing and improving our focus, by empowering our product development teams and by combining teams that were working on similar activities.

其次，我們強調了這些變化將如何使我們成為一家更好的公司。當然，經濟實力更強。但除此之外，我們還致力於提高提高客戶價值的速度，並通過減少管理層、明確責任範圍、縮小和改進我們的重點、增強我們的產品能力來實現這一目標。開發團隊並合併從事類似活動的團隊。

So it's a combination of that human-to-human respect and fairness combined with the business logic of this, I think, has helped a lot. And no restructuring is easy. But given that the team morale is relatively good. And I think we've certainly come through the most difficult part of that, because those 2 messages have landed quite well.

因此，我認為，人與人之間的尊重和公平與商業邏輯的結合起了很大的作用。重組絕非易事。但鑑於球隊士氣比較好。我認為我們肯定已經度過了其中最困難的部分，因為這兩條消息已經很好地傳達了。

Thank you, Robert. All right. I'm going to go to a quick housekeeping issue from a balance sheet perspective on question. Is the increase in accrued expenses mostly tied to restructuring expenses that were incurred but have yet to be paid out. If so, are we correct that those will likely reverse in the next 3-ish months as indicated in the midyear update. Sean, do you want to answer that one?

謝謝你，羅伯特。好的。我將從資產負債表的角度快速討論一下內務管理問題。應計費用的增加是否主要與已發生但尚未支付的重組費用有關？如果是這樣，我們是否正確地認為，正如年中更新中所示，這些情況可能會在未來 3 個月左右發生逆轉。肖恩，你想回答這個問題嗎？

Yes. There's a footnote in the Q every quarter that breaks us down, so that might be helpful. We'll follow that later today. But there's 2 main drivers: restructuring expense is the largest, and that was roughly $17 million that remained accrued at the end of the quarter. That will mostly be paid out in Q4.

是的。每個季度的 Q 中都有一個腳註讓我們崩潰，所以這可能會有所幫助。我們將在今天晚些時候跟進。但有兩個主要驅動因素：重組費用是最大的，到本季度末仍應計的費用約為 1,700 萬美元。這大部分將在第四季度支付。

And then the other driver is in terms of the increases, just accrued interest, which was about $10.5 million of increase because we pay the interest on our high-yield notes semiannually, that next payment will happen in June.

另一個驅動因素是增加，即應計利息，增加了約 1050 萬美元，因為我們每半年支付一次高收益票據的利息，下一次付款將在 6 月進行。

Let's shift gears and go into a bunch of questions on our outlook. All right. So first one, gross profit margin declined, although the rate declined significantly, is inflation more or less topped out at this point? Do you see a need for further price increases in the future to offset inflationary pressures?

讓我們換個話題，就我們的前景提出一系列問題。好的。那麼第一個問題，毛利率下降了，雖然下降幅度很大，但現在通脹是不是已經見頂了？您認為未來是否需要進一步提價以抵消通脹壓力？

Yes. On a consolidated basis, gross margins were -- they're basically flat year-over-year, they're down 30 basis points. It's always -- we can never definitively say that inflation is topped out, but things have certainly stabilized and in some areas, costs are coming down. We've seen improvements in things like inbound freight and energy, some of the underlying costs for materials like plastics, aluminum, inputs like paper started to improve as well. So that's all headed in the right [direction] based on everything that we see. It's a big area of focus for us to make sure that our costs are coming down as underlying commodities are coming down hoping to be a big area of focus.

是的。綜合來看，毛利率同比基本持平，下降了 30 個基點。我們永遠不能明確地說通貨膨脹已經達到頂峰，但情況肯定已經穩定下來，並且在某些領域，成本正在下降。我們看到入境貨運和能源等方面有所改善，塑料、鋁等材料、紙張等投入品的一些基本成本也開始改善。因此，根據我們所看到的一切，一切都在朝著正確的方向發展。這是我們關注的一個重要領域，以確保我們的成本隨著基礎商品的下降而下降，希望成為一個重要的關注領域。

In terms of when that will impact the P&L, there's a little bit of a lag there just because that's caught up in our inventory. It will take a couple of months for that to come through. But as we get into FY '24, we'll see more material impact, we outlined in some of that in our March 24 call which was a range of $18 million to $19 million of cost reductions. That included some compensation savings, but most of that being from these reductions in input costs based on what we knew at that time based on the discussions or actual contracts with suppliers.

就何時影響損益而言，存在一點滯後，只是因為它陷入了我們的庫存中。這需要幾個月的時間才能實現。但隨著進入 24 財年，我們將看到更多實質性影響，我們在 3 月 24 日的電話會議中概述了其中的一些影響，其中包括 1800 萬至 1900 萬美元的成本削減。其中包括一些補償節省，但其中大部分來自投入成本的降低，這是基於我們當時根據與供應商的討論或實際合同所了解的情況。

In terms of price changes, we'll be anniversarying most of those by the end of this year. In Vista that extends a little bit into next year as well in the first quarter based on the timing of those. And then from here, I think we expect all of our businesses to continue to test price elasticity and do that on an ongoing basis and make optimizations up or down based on impact to customer behavior. So we'll -- I think subject to any large shift in inflation that's unforeseen right now, we would be kind of back into a normal operating mode as we get into FY '24.

就價格變化而言，我們將在今年年底前慶祝其中大部分價格變化。在 Vista 中，根據時間安排，這一情況也會稍微延長到明年以及第一季度。然後從這裡開始，我認為我們希望我們所有的業務都能繼續測試價格彈性，並持續進行，並根據對客戶行為的影響向上或向下進行優化。因此，我認為，如果目前無法預見的通脹發生重大變化，我們將在進入 24 財年時恢復正常運營模式。

Thanks. So we had a live question come in around how April is looking, Sean, how are constant currency sales looking this month?

謝謝。因此，我們有一個關於四月份情況的實時問題，肖恩，本月固定貨幣銷售情況如何？

Yes, we're not going to give specific numbers for April, trying to get out of that pattern. But we increased our Q4 guidance, our EBITDA guidance from what was previously about $86 million to $90 million to $94 million. And so hopefully, that says something about what we're seeing in April, but also the strong finish to March, which is indicative in the fact that we beat our Q3 guidance as well, having given that guidance pretty late into the quarter. So trends remain strong.

是的，我們不會給出四月份的具體數字，試圖擺脫這種模式。但我們提高了第四季度的指導，即 EBITDA 指導，從之前的 8600 萬美元左右提高到 9000 萬美元，再提高到 9400 萬美元。因此，希望這能說明我們在 4 月份看到的情況，也說明了 3 月份的強勁表現，這表明我們也超出了第三季度的指導，因為我們在本季度末就給出了該指導。因此趨勢依然強勁。

So the next question that we're going to take is, could you please tell us your expectation for Q4 FY '23 free cash flow and/or expected gross cash position at the end of the year?

因此，我們要解決的下一個問題是，您能否告訴我們您對 23 財年第四季度自由現金流和/或年底預期總現金頭寸的預期？

Yes. On this one, we're not going to give specific guidance for free cash flow in Q4 or in any cash position. What we said in the release is that we do expect the higher year-over-year adjusted EBITDA in Q4 to have seasonally strong conversion to adjusted free cash flow.

是的。在這一點上，我們不會對第四季度的自由現金流或任何現金狀況提供具體指導。我們在新聞稿中表示，我們確實預計第四季度調整後的 EBITDA 同比較高，將季節性強勁地轉換為調整後的自由現金流。

And that's even with our cash restructuring charges that will be paid out. If you look back at the last 2 or 3 years, for example, and just look at the patterns in Q4, working capital in Q4 has been a material inflow. And so we, again, expect to see strong cash flow conversion on EBITDA in Q4, but we're not giving specific guidance on that nor our ending cash position.

這甚至包括我們將要支付的現金重組費用。例如，如果你回顧過去的兩三年，只看第四季度的模式，第四季度的營運資金一直是物質流入。因此，我們再次預計第四季度 EBITDA 的現金流量轉換將強勁，但我們沒有對此給出具體指導，也沒有給出我們的期末現金頭寸。

Thank you. So shifting to FY '24 from a free cash flow perspective. So this one is going to take a little bit of a math. You guided for $195 million in operating income for FY '24. This quarter depreciation was $14 million higher than CapEx. Is it reasonable to assume that there will be no major change in depreciation and CapEx trajectory. And therefore, for FY '24, assuming 20% tax rate, free cash flow to shareholders will be $195 million times 1 minus 20% plus $56 million, minus $128 million of interest expense equals about $92 million. Not looking for specifics, but I want to confirm if this is generally correct.

謝謝。因此，從自由現金流的角度來看，我們轉向 24 財年。所以這個需要一點數學知識。您預計 24 財年營業收入為 1.95 億美元。本季度折舊比資本支出高出 1400 萬美元。假設折舊和資本支出軌跡不會發生重大變化是否合理？因此，對於 24 財年，假設稅率為 20%，股東的自由現金流將為 1.95 億美元乘以 1 減去 20%，加上 5600 萬美元，減去 1.28 億美元的利息費用，大約等於 9200 萬美元。不是在尋找細節，但我想確認這是否普遍正確。

That's some math to process real time there. I think there's a few -- I think one is not correct. There's a few things that, that misses -- I'll just highlight those conceptually, try and capture all of them and then just tell you what the guidance was. So you need to add back share-based compensation. You need to include gains from currency hedging that are below operating income, you need to factor in working capital.

這是一些需要實時處理的數學問題。我認為有一些——我認為其中一個是不正確的。有一些事情被遺漏了——我只是從概念上強調這些，嘗試捕捉所有這些，然後告訴你指導是什麼。因此，您需要重新添加基於股份的薪酬。您需要包括低於營業收入的貨幣對沖收益，您需要考慮營運資本。

And then that cash tax shorthand would put you on the kind of high side of what we expect for Q4. So going back to what we guided to, we said in FY '24 at least $400 million of adjusted EBITDA and that would convert at approximately 40% to adjusted free cash flow. So $400 million and 40% is approximately $160 million. And so that's the number that you should be thinking about.

然後，現金稅速記將使您處於我們對第四季度預期的偏高水平。因此，回到我們的指導，我們在 24 財年表示，調整後的 EBITDA 至少為 4 億美元，這將大約 40% 轉換為調整後的自由現金流。所以 4 億美元加 40% 大約等於 1.6 億美元。這就是您應該考慮的數字。

Maybe just to also kind of be helpful in that bridge. Our cash taxes have been in the range of -- they've been in the low $30 million, to be maybe slightly higher than that this year, so $30 million to $35 million. So that's a better proxy to use than the tax rate in the math in the question.

也許只是為了在這座橋樑上有所幫助。我們的現金稅一直在 3000 萬美元左右，可能比今年略高，即 3000 萬至 3500 萬美元。因此，這是比問題中數學中的稅率更好的替代指標。

From a CapEx perspective, we've been tracking a little bit below 2% of revenue year-to-date also last year. And so we should expect similar next year as well. And then from a capitalized software perspective, that should be a little lower than the current run rate as well, and then there's working capital, which should be more normalized in FY '24. And so we expect that to be a cash inflow.

從資本支出的角度來看，去年年初至今我們的收入一直略低於 2%。因此，我們預計明年也會出現類似情況。然後從資本化軟件的角度來看，這也應該比當前的運行率略低，然後是營運資本，這應該在 24 財年更加正常化。因此我們預計這將是現金流入。

All right. Sean, I have a question for you. Is it reasonable to expect long-term adjusted EBITDA to revert back to historical levels of mid- to high teens as a percent of revenue?

好的。肖恩，我有個問題要問你。預期長期調整後的 EBITDA 恢復到佔收入百分比的中高位歷史水平是否合理？

Yes. We haven't given specific guidance on that. But I think certainly, mid-teens from a long-term perspective is absolutely in the cards. So I think reasonable to expect, yes, we're not going to give specific guidance on long-term EBITDA margins.

是的。我們還沒有對此給出具體指導。但我認為，從長遠來看，十幾歲左右絕對是有可能的。因此，我認為可以合理地預期，是的，我們不會就長期 EBITDA 利潤率提供具體指導。

Thanks. Here's the [third] one on inventory. So pre-pandemic, we operated with 17 to 20 days of inventory on hand. We understand and appreciate the reasons that we increased it to 30-plus days earlier this fiscal year, but is the goal to eventually return to the high teens? Or has our philosophy regarding how many days we should have changed permanently?

謝謝。這是庫存中的[第三個]。因此，在大流行之前，我們手頭有 17 到 20 天的庫存。我們理解並理解我們在本財年提前將其增加到 30 多天的原因，但最終的目標是回到十幾天嗎？或者我們關於應該多少天的理念已經永久改變了？

That's a good question. We're certainly heading back in that direction. I do expect we'll end up a little bit higher than those pre-pandemic levels in terms of days of inventory. There's a few places that we've made some different decisions in terms of just specific areas on inventory levels that will hold. And then the other thing is that just given the growth that we're seeing in promotional products in Vista and related product expansion that requires additional (technical difficulty) on a go-forward basis.

這是個好問題。我們肯定會回到那個方向。我確實預計我們的庫存天數最終會比大流行前的水平略高一些。我們在一些地方就維持庫存水平的特定領域做出了一些不同的決定。另一件事是，考慮到我們在 Vista 中看到的促銷產品和相關產品擴展的增長，需要在未來的基礎上增加額外的（技術難度）。

Great. Another live question is the current run rate of stock-based compensation of about $40 million per year, a fair baseline assumption for SBC run rate in the future.

偉大的。另一個緊迫的問題是，當前股票薪酬的運行率約為每年 4000 萬美元，這是 SBC 未來運行率的合理基准假設。

It is. That's what we've -- that's provided in the bridge from operating income to adjusted EBITDA for FY '24. So yes.

這是。這就是我們在 24 財年從營業收入到調整後 EBITDA 的橋樑中提供的。所以是的。

So you've stated on recent earnings releases and in recent earnings calls that Cimpress is coming to the end of a multiyear period of heavy investment to support the business's digital transformation and growth initiatives. As growth investing slows, do you expect adjusted EBITDA and steady-state free cash flow to begin to converge? That is, should we expect to be in a steady-state environment sometime soon?

因此，您在最近的財報發布和最近的財報電話會議中表示，Cimpress 為支持企業數字化轉型和增長計劃而進行的多年巨額投資即將結束。隨著成長型投資放緩，您預計調整後的 EBITDA 和穩態自由現金流會開始趨同嗎？也就是說，我們是否應該期望很快就會進入穩態環境？

Meredith, I'll start here. But Robert, please jump in with any additional thoughts. I think given where we are in terms of market size in terms of shifts from -- in the market from traditional offline suppliers to online and a bunch of other reasons, we don't expect to be in a steady-state environment soon.

梅雷迪思，我從這裡開始。但是羅伯特，如果您有任何其他想法，請加入進來。我認為，考慮到我們的市場規模、從傳統線下供應商向線上供應商的轉變以及一系列其他原因，我們預計不會很快進入穩態環境。

Now I say that as defined by us and Robert's annual letters, which is to say, bringing our cost structure down to a level that supports only generating free cash flow that overcomes the rate of U.S. inflation. So if that's what you mean, I'd say, no, we don't expect to be there soon.

現在我說的是我們和羅伯特年度信中所定義的，也就是說，將我們的成本結構降低到僅支持產生剋服美國通貨膨脹率的自由現金流的水平。所以如果這就是你的意思，我會說，不，我們預計不會很快到達那裡。

Even with the significant cost reductions we outlined last month, which is approximately $100 million, we're still investing in things that don't pay back in year. And so by definition, we won't be operating in a steady state, again, as we've defined it.

儘管我們上個月概述了大約 1 億美元的大幅成本削減，但我們仍在對那些無法在一年內收回成本的項目進行投資。因此，根據定義，我們不會再像我們所定義的那樣在穩定狀態下運行。

That said, I do think that we'll see more convergence between our actual unlevered free cash flow and our estimates of steady-state free cash flow. And if you think about like just some of the things that have changed over recent years and now going back maybe over the last 5 or so years, we used to have material growth investments in emerging markets like China and Japan and India and Brazil.

也就是說，我確實認為我們會看到實際的無槓桿自由現金流與我們對穩態自由現金流的估計之間更加趨同。如果你想想近年來發生的一些變化，現在回溯到過去五年左右，我們曾經在中國、日本、印度和巴西等新興市場進行了實質性的增長投資。

We've exited our businesses in China and Japan. In India and Brazil, we're nearing EBITDA breakeven. And so that's one good example of a bridge between our actual unlevered free cash flow and our steady-state free cash flow going forward, that didn't exist before. There was a lot of growth investment there.

我們已經退出了在中國和日本的業務。在印度和巴西，我們已接近 EBITDA 盈虧平衡。因此，這是我們實際的無槓桿自由現金流和未來穩態自由現金流之間橋樑的一個很好的例子，而這種橋樑以前並不存在。那裡有大量的增長投資。

In our businesses outside of Vista, we're still investing, but the levels of investment there, they're relatively modest and those businesses are still growing nicely. In Vista through the cost reductions that we just outlined in March, there's been a rationalization and also a prioritization of investments there. And also in our mass customization platform there, too, we've done a lot of work in terms of prioritization of where we're investing.

在 Vista 以外的業務中，我們仍在投資，但那裡的投資水平相對溫和，而且這些業務仍然增長良好。在 Vista 中，通過我們剛剛在 3 月份概述的成本削減，實現了投資的合理化和優先化。在我們的大規模定制平台中，我們在投資的優先順序方面也做了很多工作。

And so I think all of that leads to the start of more convergence through the growth in our businesses, especially in our Upload and Print businesses recently and also the part of our recent cost reductions that will lower our maintenance costs, those will also benefit our steady-state free cash flow as well. So I think at the start of convergence, yes, but we won't be fully operating in a steady-state environment.

因此，我認為所有這些都會通過我們業務的增長開始更加融合，特別是最近我們的上傳和打印業務，以及我們最近的成本削減的一部分，這將降低我們的維護成本，這些也將有利於我們穩態自由現金流也是如此。所以我認為在融合開始時，是的，但我們不會在穩態環境中完全運行。

Sean, I fully agree with you. I really don't have anything to add.

肖恩，我完全同意你的觀點。我真的沒有什麼可補充的。

Great. Thanks Robert.

偉大的。謝謝羅伯特。

Thank you. All right, couple of live questions in here that give us an opportunity. Maybe to clarify a couple of things. So first question, can you again speak about restructuring cash costs falling in Q4 FY '23?

謝謝。好吧，這裡有幾個實時問題給我們提供了機會。也許是為了澄清一些事情。那麼第一個問題，您能否再次談談 23 財年第四季度重組現金成本下降的情況？

Yes. So I have to go back to the specific amount that we outlined this specifically in our March call. It's roughly $17 million. I think that falls in Q4. I'll confirm that here while we're on the call. And that is just to reiterate, that was assumed as part of the free cash flow commentary that we gave, which was that the EBITDA in Q4 would convert to free cash flow in a kind of seasonally strong way.

是的。因此，我必須回到我們在三月份的電話會議中具體概述的具體金額。大約是1700萬美元。我認為這是第四季度的情況。我會在通話期間在這裡確認這一點。這只是重申一下，這被假設為我們給出的自由現金流評論的一部分，即第四季度的 EBITDA 將以一種季節性強勁的方式轉換為自由現金流。

I think I misinterpreted the use of the word falling, because the cash costs are definitely not going to go down from where they were they were only $5 million in Q3, but I think it's just where are they going to shake out was maybe what was implied there.

我想我誤解了“下降”這個詞的使用，因為現金成本絕對不會從第三季度的水平下降，他們只有 500 萬美元，但我認為這只是他們將要擺脫的地方可能是暗示在那裡。

Yes. And we did give -- we did outline that specifically in March. And so there's no change in those ranges in Q4.

是的。我們確實在三月份特別概述了這一點。因此，第四季度這些範圍沒有變化。

Great. Okay. So this next one also involves a little bit of math that we need to do real time here. The crux of the question is that I think they're looking at what we did in Q3 relative to where analyst consensus was for EBITDA. And then they're asking why FY '23 guidance shouldn't have been increased by $45 million from the midyear update guidance. What are we missing given that we beat that update but for Q4, we only added another $4 million to the range from the midyear update.

偉大的。好的。因此，下一個還涉及一些我們需要在這裡實時進行的數學運算。問題的關鍵在於，我認為他們正在考慮我們在第三季度所做的事情，以及分析師對 EBITDA 的共識。然後他們問為什麼 23 財年的指導不應該比年中更新指導增加 4500 萬美元。鑑於我們擊敗了該更新，我們錯過了什麼，但在第四季度，我們僅在年中更新的範圍內添加了 400 萬美元。

Yes. I'm not sure I completely follow the question. But just to walk through the full year FY '23 guidance. You now have 3 quarters of actuals and we've added to that the range of $90 million to $94 million for Q4. And so -- so that is the math.

是的。我不確定我是否完全理解了這個問題。但僅介紹一下 23 財年全年指導。您現在有 3 個季度的實際值，我們在第四季度添加了 9,000 萬至 9,400 萬美元的範圍。所以——這就是數學。

Yes. I think where the issue is here, so we gave guidance for Q3 in March that EBITDA should come in between $60 million and $62 million, and we came in at $69 million. And then we raised in Q4 from the implied, I think, $85 million to $89 million to $90 million to $94 million. That is the math that goes into raising the range from where we were for the year, which was, if I recall correctly, $303 million to $309 million for FY '23 to the $316 million to $320 million that we have today.

是的。我認為問題出在這裡，所以我們在 3 月份給出了第三季度的指導，即 EBITDA 應該在 6000 萬美元到 6200 萬美元之間，我們的結果是 6900 萬美元。然後我們在第四季度籌集了隱含的資金，我認為是 8500 萬美元到 8900 萬美元到 9000 萬美元到 9400 萬美元。這就是將我們今年的範圍從 23 財年的 3.03 億至 3.09 億美元提高到今天的 3.16 億至 3.2 億美元的數學。

I think if you're looking at a "beat" relative to where there may have been expectations set from models externally. And you're looking to add that, that's maybe not a fair thing to look at because it's possible that those were not updated after the guidance that we gave after the midyear update. So from our perspective, we raised the guidance by the amount we beat our own guidance in Q3 and the raise in Q4.

我認為，如果你正在尋找相對於外部模型設定的期望的“節拍”。您想補充一點，這可能不是一件公平的事情，因為在我們在年中更新後提供的指導之後，這些內容可能沒有更新。因此，從我們的角度來看，我們在第三季度和第四季度提高了指導值，超出了我們自己的指導值。

Yes, exactly.

對，就是這樣。

All right. I'm going to shift gears to a fun tax question. So when can you begin using your deferred tax assets? And what is your best estimate for the tax rate at a group level?

好的。我要轉向一個有趣的稅務問題。那麼您什麼時候可以開始使用您的遞延稅資產呢？您對集團層面稅率的最佳估計是多少？

Yes. So we don't give guidance on our tax rate at a quarter level. Frankly, from a P&L perspective, there's a lot of volatility quarter-to-quarter in our effective tax rate. And I recognize that makes it hard for all of you from a P&L perspective to forecast.

是的。因此，我們不會就四分之一水平的稅率提供指導。坦率地說，從損益表的角度來看，我們的有效稅率每個季度都有很大的波動。我認識到，從損益的角度來看，這讓你們所有人都很難進行預測。

But from a cash tax perspective (technical difficulty) in the last 2 years, we've had cash taxes of about $30 million. I think 2 years ago, we were a little bit below that. Last year, we were a little bit above that. And we expect to be a little bit above that $30 million this year. I think I would encourage you to model it on a cash tax basis, you'll find that that's easier.

但從現金稅的角度（技術難度）來看，過去兩年我們的現金稅約為3000萬美元。我認為兩年前，我們的水平略低於這個水平。去年，我們的表現略高於這個水平。我們預計今年的收入將略高於 3000 萬美元。我想我會鼓勵您以現金稅為基礎進行建模，您會發現這更容易。

In terms of our deferred tax assets on the balance sheet, we have about, I think, it's a little over $10 million of deferred net deferred tax assets and that can be consumed over the coming years. We do have other tax attributes that aren't on the balance sheet because they have a full valuation allowance for various reasons.

就我們資產負債表上的遞延稅資產而言，我認為我們的遞延淨遞延稅資產略高於 1000 萬美元，可以在未來幾年消耗。我們確實有其他稅收屬性沒有出現在資產負債表上，因為它們由於各種原因有完整的估價津貼。

And even last quarter, we put up a valuation allowance for certain GAAP accounting reasons for some significant NOLs in Switzerland. And those tax attributes, including those NOLs that we put a valuation allowance up against last quarter are still available for use in future years.

即使在上個季度，我們也出於某些 GAAP 會計原因對瑞士一些重要的 NOL 進行了估值準備。這些稅收屬性，包括我們在上季度進行估值準備的那些 NOL，仍然可以在未來幾年使用。

And primarily, those are to offset future profitability in the Vista business. And given some of the recent changes we made, but also the expectation even before that of higher profitability in Vista future years, as that comes to fruition, based on our expectations, those tax attributes will economically still be able to be used and will provide great benefit.

主要是為了抵消 Vista 業務的未來盈利能力。考慮到我們最近做出的一些改變，以及甚至在 Vista 未來幾年更高的盈利能力之前的預期，當這一目標實現時，根據我們的預期，這些稅收屬性在經濟上仍然能夠使用，並將提供很大的好處。

Thank you. All right. We've had multiple, multiple questions about capital allocation choices. So we're going to shift into that now. So this question will be for Robert.

謝謝。好的。我們對資本配置選擇有很多很多的問題。所以我們現在要轉向這個。所以這個問題將由羅伯特提出。

Your $400 million EBITDA guidance for FY '24 will bring your leverage ratio to levels where you will have a lot more flexibility in terms of capital allocation, do you generally have any preference on how you would like to allocate cash in terms of stock buyback bonds, term loans or building that cash on the balance sheet. In the big picture, how do you think about these alternatives?

您對 24 財年 4 億美元 EBITDA 的指導將使您的槓桿率達到您在資本配置方面擁有更大靈活性的水平，您通常對如何在股票回購債券方面分配現金有任何偏好嗎、定期貸款或在資產負債表上建立現金。從大局來看，您如何看待這些替代方案？

All right. I will speak to the big picture, but we really need to think of that in different time zones, so time frames. So we've been prioritizing liquidity and reducing our net leverage. As liquidity builds, and we go through this delevering path, which is very clear based on what we've outlined for next year. our opportunity set does broaden. But we've been very clear, and I want to be very clear again that for FY '24, delevering remains critical. It is our financial priority. So after we do that, 15 months from now, we can talk about other options, but we can't be clear than we have been, that's our priority.

好的。我會談論大局，但我們確實需要在不同的時區和時間範圍內考慮這一點。因此，我們一直優先考慮流動性並降低淨槓桿率。隨著流動性的增加，我們將經歷去槓桿化的道路，根據我們明年的概述，這一道路非常明確。我們的機會確實擴大了。但我們已經非常明確，而且我想再次明確指出，對於 24 財年來說，去槓桿化仍然至關重要。這是我們的財務優先事項。因此，在我們這樣做之後，15 個月後，我們可以討論其他選擇，但我們不能比以前更明確，這是我們的首要任務。

Over the long term, there's no change to our capital allocation philosophy. We outlined that every year in our annual letters. I'd encourage you to read them. That has not changed, but clearly, deleveraging is the focus for the next 15 months.

從長期來看，我們的資本配置理念沒有改變。我們每年都會在年度信函中概述這一點。我鼓勵你閱讀它們。這一點沒有改變，但很明顯，去槓桿化是未來 15 個月的重點。

Thanks Robert. So we'll talk about delevering. Can you provide more clarity on the strategy around leverage, is 3.5x for FY '24 a level that you think is a goal to maintain going forward? So Sean, I'm going to throw that one over to you.

謝謝羅伯特。那麼我們就來談談去槓桿化。您能否更清楚地說明有關槓桿率的策略，您認為 24 財年的 3.5 倍槓桿率是您認為未來要維持的目標嗎？所以肖恩，我要把那個交給你。

Yes. we haven't framed it as a goal going forward. I think -- so it's not a specific target. We said we'll be below 3.5x by the end of FY '24. Hopefully, that's clear based on all the information we've provided in terms of how we get there. I think after that, we certainly, I think, have a desire to live at lower levels of leverage, whether that's 3x or some other number, we'll find out over time and it will also be based on capital allocation opportunities and capital structure as it had been in the past.

是的。我們還沒有將其作為未來的目標。我認為——所以這不是一個具體目標。我們說過到 24 財年末我們的增長率將低於 3.5 倍。希望根據我們提供的有關如何實現這一目標的所有信息，這一點是清楚的。我認為在那之後，我們當然希望生活在較低的槓桿水平，無論是 3 倍還是其他數字，隨著時間的推移我們會發現，這也將基於資本配置機會和資本結構就像過去一樣。

In terms of capital allocation then in between now and then, as Robert just alluded to, delevering is a clear priority. And I think there's tremendous value to that delevering path because it opens up the opportunity set from a capital allocation perspective, from a capital structure perspective. And so that is why it remains the clear priority. And then we'll go back to being able to assess all capital allocation opportunities in ways that we have in the past, consistent with all the commentary that we've provided.

就從現在到那時的資本配置而言，正如羅伯特剛才提到的，去槓桿化是一個明顯的優先事項。我認為這種去槓桿化路徑具有巨大的價值，因為它從資本配置的角度和資本結構的角度打開了機會集。這就是為什麼它仍然是明確的優先事項。然後我們將重新以過去的方式評估所有資本配置機會，與我們提供的所有評論一致。

Sean, I will add one thing to what you said. I agree with what you said in terms of the near focus and reiterating what I just said. We do not want to say what we're going to do 24 or 36 months from now.

肖恩，我要在你所說的基礎上補充一件事。我同意你所說的近焦，並重申我剛才所說的。我們不想透露 24 或 36 個月後我們要做什麼。

That being said, if we had not had to reposition Vista, if we had not gone through a pandemic, and if we had not -- after that, pandemic decided to invest heavily in the future, speaking personally, as a long-term shareholder, I would never have imagined us getting into the 5s in leverage. We never did in the past. We don't think that's really a healthy place for us to be as a public company. And so that's not saying it never could happen again, but it's certainly not what we've done for whatever 20 years since we've been public or 18 years since we've been public.

話雖這麼說，如果我們沒有重新定位 Vista，如果我們沒有經歷過大流行，如果我們沒有——在那之後，大流行決定對未來進行大量投資，就我個人而言，作為長期股東，我從來沒有想像過我們的槓桿率會達到 5 倍。我們過去從來沒有這樣做過。我們認為這對我們作為一家上市公司來說並不是一個真正健康的地方。因此，這並不是說這種情況永遠不會再發生，但這肯定不是我們上市 20 年來或上市 18 年來所做的事情。

And so I think you'll see us, broadly speaking, over the long term, going back towards like a capital structure more similar to what you've seen well before that period of turbulence that we've been in the last 3 or 4 years.

因此，我認為，從長遠來看，從廣義上講，您會看到我們的資本結構會回到與您在過去 3 或 4 年經歷的動盪時期之前所看到的更相似的資本結構年。

Thank you, Robert. Okay. So just asking for some more detail on the capital allocation front. A couple of questions in here. Just the better-than-expected performance in Q3, your outlook for Q4 and confidence in FY '24 increase your comfort to buy back bonds at a substantial discount to par sooner?

謝謝你，羅伯特。好的。因此，只需詢問有關資本配置方面的更多細節。這裡有幾個問題。僅第三季度好於預期的表現、您對第四季度的展望以及對 24 財年的信心，是否會讓您更放心地以較面值大幅折扣的價格回購債券？

Nothing has changed here. We've gotten this question in the last few quarters, and I'll give you the same answer, which is something that we look at on a regular basis. Yields are attractive, but we've also -- we've prioritized building liquidity. And as liquidity builds, the opportunity set for that starts to open up.

這裡什麼都沒有改變。我們在過去幾個季度收到了這個問題，我會給你同樣的答案，這是我們定期關注的問題。收益率很有吸引力，但我們也優先考慮建立流動性。隨著流動性的增加，為此設置的機會開始出現。

We obviously, we had a strong Q3. We expect a strong Q4. We still have the restructuring payments and the like to pay out in Q4. But nothing's changed in the thought process here. We'll continue to look in.

顯然，我們的第三季度表現強勁。我們預計第四季度將表現強勁。我們仍有重組付款等需要在第四季度支付。但這裡的思維過程沒有任何改變。我們將繼續關注。

Thanks Sean. All right. That is going to do it for our list of questions. I want to thank everybody for submitting them both live and pre-submitted.

謝謝肖恩。好的。這將完成我們的問題清單。我要感謝大家實時提交和預先提交的內容。

Before we sign off. Robert, is there anything that you would like to share?

在我們簽字之前。羅伯特，你有什麼想分享的嗎？

Thanks, Meredith. So in closing, let me speak to both the near-term performance and long-term performance. First of all, we do think that the plans we've laid out for you for FY '24 align very well with what should drive near-term value for both debt investors and equity investors. And they should, as we've spoken about today, expand our options for capital structure and capital allocation over the longer term.

謝謝，梅雷迪思。最後，讓我談談近期表現和長期表現。首先，我們確實認為我們為您制定的 24 財年計劃與為債務投資者和股權投資者推動近期價值的計劃非常吻合。正如我們今天談到的，他們應該擴大我們在長期資本結構和資本配置方面的選擇。

Likewise, in terms of driving something that's so important to us, our per share intrinsic value over the long-term, the recent performance we've had and the plans we've communicated to you support our belief in Cimpress' strong underlying steady-state free cash flow, and we do believe we are positioned to grow that over the coming years.

同樣，就推動對我們如此重要的事情而言，我們的長期每股內在價值、我們最近的業績以及我們向您傳達的計劃都支持我們對 Cimpress 強大的潛在穩定的信念。國家自由現金流，我們確實相信我們有能力在未來幾年內實現自由現金流的增長。

We remain the clear market leader. And after multiple years of repositioning and turbulence, which I just spoke to, we are excited to enter a period of focused execution with clear customer value improvements coming out on a regular basis and clear improvements to our financial results. So thank you for joining the call.

我們仍然是明顯的市場領導者。經過我剛才談到的多年的重新定位和動蕩之後，我們很高興進入一個專注執行的時期，客戶價值定期得到明顯改善，我們的財務業績也有明顯改善。感謝您加入此次通話。

Thanks, everyone.

感謝大家。

Ladies and gentlemen, thank you for participating in today's conference. This concludes the program. You may now disconnect. Everyone, have a wonderful day.

女士們、先生們，感謝你們參加今天的會議。程序到此結束。您現在可以斷開連接。祝大家度過美好的一天。