America's CAR-MART Inc (CRMT) 2022 Q2 法說會逐字稿

Good morning, everyone.

大家，早安。

Thank you for holding, and welcome to America's Car-Mart's Second Quarter Fiscal 2022 Conference Call.

感謝您的召開，歡迎參加美國 Car-Mart 2022 財年第二季度電話會議。

The topic of this call will be earnings and operating results for the company's second quarter fiscal year 2022.

本次電話會議的主題將是公司 2022 財年第二季度的收益和經營業績。

Before we begin, I would like to remind everyone that this call is being recorded and will be available for replay for the next 30 days.

在我們開始之前，我想提醒大家，這個通話正在被錄音，並且可以在接下來的 30 天內重播。

The dial-in number and access information are included in last night's press release, which can be found on America's Car-Mart's website at www.car-mart.com.

撥入號碼和訪問信息包含在昨晚的新聞稿中，該新聞稿可在美國 Car-Mart 的網站 www.car-mart.com 上找到。

As you all know, some of management's comments today may include forward-looking statements, which inherently involve risks and uncertainties that could cause actual results to differ materially from management's present view.

眾所周知，管理層今天的一些評論可能包括前瞻性陳述，這些陳述本質上涉及風險和不確定性，可能導致實際結果與管理層目前的觀點存在重大差異。

These statements are made pursuant to the safe harbor provisions of Private Securities Litigation Reform Act of 1995.

這些聲明是根據 1995 年私人證券訴訟改革法案的安全港條款作出的。

The company cannot guarantee the accuracy of any forecast or estimate, nor does it undertake any obligation to update such forward-looking statements.

公司不能保證任何預測或估計的準確性，也不承擔更新此類前瞻性陳述的任何義務。

For more information regarding forward-looking information, please see Part 1 of the company's annual report on Form 10-K for the fiscal year ended April 30, 2021, and its current and quarterly reports furnished to or filed with the Securities Exchange Commission on Forms 8-K and 10-Q.

有關前瞻性信息的更多信息，請參閱公司截至 2021 年 4 月 30 日的財政年度的 10-K 表格年度報告的第 1 部分，以及提交給或提交給證券交易委員會的當前和季度報告的表格8-K 和 10-Q。

Participating on the call this morning are Jeff Williams, the company's President and Chief Executive Officer; and Vickie Judy, Chief Financial Officer.

今天上午參加電話會議的是公司總裁兼首席執行官 Jeff Williams；和首席財務官 Vickie Judy。

And now, I would like to turn the call over to the company's Chief Executive Officer, Jeff Williams.

現在，我想把電話轉給公司的首席執行官傑夫威廉姆斯。

Okay.

好的。

Well, thank you for joining us this morning, and thank you for your interest in America's Car-Mart.

嗯，感謝您今天早上加入我們，感謝您對美國 Car-Mart 的興趣。

For the quarter, total revenue was up 29% to over $288 million.

本季度，總收入增長 29%，超過 2.88 億美元。

Unit sales volume per dealership, what we refer to as productivity, increased to 32.7 retail units sold per dealership per month or close to 6%, this in a period with supply shortages at all-time highs.

每個經銷商的單位銷量，我們所說的生產力，增加到每個經銷商每月售出的 32.7 個零售單位或接近 6%，這是在供應短缺處於歷史最高水平的時期。

We believe that productivity would have been better had the supply of used vehicles being at more normal levels.

我們認為，如果二手車供應處於更正常的水平，生產力會更好。

As a reminder, we are a fully integrated auto sales and finance company.

提醒一下，我們是一家完全整合的汽車銷售和金融公司。

We're both a retailer of used cars, and we finance almost 100% of our sales.

我們都是二手車零售商，我們幾乎 100% 為我們的銷售額提供資金。

It's a powerful captive lender relationship.

這是一個強大的專屬貸方關係。

We buy the cars, arrange for transport and repair, merchandise the car, sell the cars, we provide financing to the consumer, and we service the retail installment sales contracts, which include servicing our add-on products.

我們購買汽車，安排運輸和維修，銷售汽車，銷售汽車，我們為消費者提供融資，我們為零售分期付款銷售合同提供服務，其中包括為我們的附加產品提供服務。

As we look at the key variables in our industry, specific to our unique place in the market, we look at the price and availability of vehicles, the resulting retail price to the consumer, and the gross margin dollars generated.

當我們查看行業中的關鍵變量時，特定於我們在市場上的獨特地位，我們會查看車輛的價格和可用性、由此產生的對消費者的零售價格以及產生的毛利率。

The term length, which will result in an affordable payment for our consumer and give our customers true equity in the transaction.

期限長度，這將為我們的消費者帶來負擔得起的付款，並為我們的客戶在交易中提供真正的公平。

We look at productivity levels supporting a larger number of customers, allowing us to leverage our cost structure, and we look at overall unit loss rates, which is the ultimate customer success factor, driven by our strong consumer advocacy.

我們著眼於支持更多客戶的生產力水平，使我們能夠利用我們的成本結構，我們著眼於整體單位損失率，這是最終客戶成功的因素，由我們強烈的消費者倡導推動。

All of our ongoing initiatives, which are in process to address these key industry variables, are allowing us to improve and scale our model without losing the benefits of the decentralized, character-lending nature of our business.

我們所有正在進行的舉措，正在處理這些關鍵的行業變量，使我們能夠改進和擴展我們的模型，而不會失去我們業務的去中心化、角色借貸性質的好處。

The overriding theme and direction of all of our initiatives and investments is to improve operational efficiencies in the field by reducing the amount of noncore work at various friction points, allowing our talented field associates at the direction of our general managers to focus on improving the business and serving more customers at a higher level.

我們所有舉措和投資的首要主題和方向是通過減少各個摩擦點的非核心工作量來提高該領域的運營效率，讓我們有才華的現場員工在總經理的指導下專注於改善業務並以更高的水平服務更多的客戶。

We have an obligation to serve more customers as customers lives and our communities are better with Car-Mart.

我們有義務為更多的客戶服務，因為 Car-Mart 讓客戶的生活和我們的社區變得更好。

And once again, our key initiatives and investments are focused on enhancing the customer experience and are in the areas of purchasing, procurement and inventory management, continuing to centralize certain functions to get scale benefit without losing local sourcing opportunities and to use data to a larger extent, with inventory management and inventory planning.

再一次，我們的主要舉措和投資都集中在提升客戶體驗上，並在採購、採購和庫存管理領域，繼續集中某些職能，以在不失去本地採購機會的情況下獲得規模效益，並將數據用於更大範圍內程度，與庫存管理和庫存計劃。

Our new service contracts and our debt cancellation products are fantastic add-on products for our consumers, and are designed to keep customers on the road with utilizing nationwide service providers and also moving the administrative functions related to these products more to the corporate level.

我們的新服務合同和債務取消產品是我們消費者的絕佳附加產品，旨在讓客戶繼續使用全國性的服務提供商，並將與這些產品相關的管理職能更多地轉移到公司層面。

Our technology investments are designed to attract more sales opportunities, our website and loan origination systems, increasing the funnel will result in more unit sales, which will, in turn, lead to more repeat business over time.

我們的技術投資旨在吸引更多的銷售機會，我們的網站和貸款發起系統，增加渠道將導致更多的單位銷售，這反過來又會隨著時間的推移帶來更多的重複業務。

Currently, about 50% of our sales are to repeat customers.

目前，我們約 50% 的銷售額來自回頭客。

We'll use data more in our technology investments as we mine for customers and equity positions, and use marketing to a larger extent for our existing customer base.

我們將在我們的技術投資中更多地使用數據來挖掘客戶和股權頭寸，並在更大程度上為我們現有的客戶群使用營銷。

We will centralize certain aspects of our collections efforts, remote collection specialists for phone, web chats and texting to supplement the great work that our field associates do in the collections efforts.

我們將集中我們收集工作的某些方面，電話、網絡聊天和短信的遠程收集專家，以補充我們的現場同事在收集工作中所做的偉大工作。

Recruiting, training and retention of quality associates, our field associates with their face-to-face interactions with our customers are critical to our success as we run the play and block and tackle out in the field.

招募、培訓和留住優質員工、我們的現場員工以及他們與客戶的面對面互動對於我們在現場進行比賽、攔截和鏟球時的成功至關重要。

Our branding, advertising and marketing, as a collections company, we didn't have to advertise much, but more of a sales company, good at collections, we realize that the value of solid branding and marketing efforts is real, and we need to keep that message fresh in the minds of our consumers.

我們的品牌、廣告和營銷，作為一家收藏公司，我們不需要做太多的廣告，但更多的是一家銷售公司，擅長收藏，我們意識到紮實的品牌和營銷努力的價值是真實的，我們需要讓我們的消費者牢記這一信息。

I will now turn it over to Vickie to go over some numbers.

我現在將把它交給 Vickie 來複習一些數字。

Vickie?

維姬？

Good morning, everyone.

大家，早安。

As Jeff said, total revenue increased 29.1%, up to $288 million.

正如傑夫所說，總收入增長了 29.1%，達到 2.88 億美元。

This resulted from a 5.7% increase in retail units sold, a 21.1% increase in the average retail sales price, and interest income increased by 38.8% by $10 million.

這是由於零售單位銷售額增長 5.7%，平均零售價格增長 21.1%，利息收入增長 38.8%，增加了 1,000 萬美元。

Our same-store revenues were up 28.2%.

我們的同店收入增長了 28.2%。

Revenues and productivity were up across all age categories of dealerships, and productivity overall improved to an average of 32.7 units sold per store per month compared to 31.2 over the prior year quarter.

所有年齡段的經銷商的收入和生產力都有所提高，總體生產力提高到平均每家商店每月售出 32.7 輛，而去年同期為 31.2。

At quarter end, 17 or 11% of our dealerships were from 0 to 5 years old, 35 or 25% were from 5 to 10 years old, and the remaining 100 were 10 years old or older.

在季度末，我們 17% 或 11% 的經銷商從 0 歲到 5 歲，35% 或 25% 的經銷商從 5 歲到 10 歲，剩下的 100 家是 10 歲或以上。

The 10-year-plus lots produced 33.8 units sold per month for the quarter per lot.

超過 10 年的地塊每季度每月售出 33.8 件。

Lots in the 5 to 10-year category produced 30.9, and the lots less than 5 years of age had productivity of 29.9.

5 到 10 年類別的批次產量為 30.9，小於 5 年的批次的生產率為 29.9。

The vintage of dealership and related productivity is often higher at our older dealerships due to the experience level of the manager, as well as an established customer base and thus, a higher percentage of repeat customers.

由於經理的經驗水平以及已建立的客戶群以及更高比例的回頭客，我們較老的經銷商的經銷年限和相關生產力通常更高。

Total collections of principal interest and late fees increased by $21 million or 19% over the prior year quarter, and improved 6.8% per average customer.

本金和滯納金的總收款比去年同期增加了 2100 萬美元或 19%，平均每位客戶增加了 6.8%。

Principal collections, as a percentage of average finance receivables, were at 10.5% compared to 12.9% for the prior year quarter.

本金收款占平均應收融資款的百分比為 10.5%，而去年同期為 12.9%。

Principal collections remained strong, with the reduction in the amount of principal collected, in line with the expected change due to the average term increases.

本金回收保持強勁，本金回收量減少，與平均期限增加導致的預期變化一致。

The average originating contract term was 39.7 months compared to 33.8 months for the prior year quarter, and up from 38.8 months sequentially.

平均原始合同期限為 39.7 個月，而去年同期為 33.8 個月，高於上一季度的 38.8 個月。

The average selling price, again, was up 21.1% or $2,814 with a 5.9 month increase in the term, compared to the prior year second quarter.

與去年第二季度相比，平均售價再次上漲 21.1% 或 2,814 美元，增長 5.9 個月。

However, average wholesale prices in the market were up over 30% year-over-year.

然而，市場的平均批發價格同比上漲超過 30%。

So our team has done a good job of working hard to fund the best quality vehicles at an affordable price for our customers.

因此，我們的團隊在努力以可承受的價格為客戶提供最優質的車輛方面做得很好。

Our average term length is still well below most competitors in our industry, and we will continue to review term lengths for the right customer and the right vehicles, as we seek to gain market share.

我們的平均期限仍然遠低於我們行業中的大多數競爭對手，我們將繼續審查合適的客戶和合適的車輛的期限，因為我們尋求獲得市場份額。

Our weighted average contract term for the entire portfolio, including modifications, was 40 months, compared to 34.7 months for the prior year quarter.

我們整個投資組合（包括修改）的加權平均合同期限為 40 個月，而去年同期為 34.7 個月。

The weighted average age of the portfolio decreased slightly from approximately 8.8 months to 8.4 months.

投資組合的加權平均年齡從約 8.8 個月略微下降至 8.4 個月。

Total gross profit per retail unit sold increased by $644 to $6,349, that's up 11.3% compared to the prior year second quarter.

每個零售單位的總毛利潤增加了 644 美元，達到 6,349 美元，與去年第二季度相比增長了 11.3%。

The gross profit percentage was 37.5%, down from the sequential quarter at 38.1%.

毛利率為 37.5%，低於上一季度的 38.1%。

This reduction in gross profit percentage resulted from the lower margin percentage on higher retail sales prices according to our pricing guidelines.

根據我們的定價指南，毛利率下降是由於較高的零售價格導致利潤率下降。

The gross profit dollars continue to improve, and we are doing a nice job of controlling other cost of sales expenses and an increasing cost in inflationary environment as we gain market share.

毛利潤繼續提高，我們在控制其他銷售費用成本和通脹環境下隨著我們獲得市場份額而增加的成本方面做得很好。

SG&A for the quarter was up $4.6 million compared to the prior year quarter, and down $1.6 million sequentially.

本季度的 SG&A 與去年同期相比增加了 460 萬美元，環比減少了 160 萬美元。

We continue to leverage the investments we're making with SG&A at 14.8% as a percentage of sales, compared to 16.5% for the prior year quarter, and from 15.7% sequentially.

我們繼續利用我們對 SG&A 的投資佔銷售額的 14.8%，而去年同期為 16.5%，上一季度為 15.7%。

We are now serving over 93,000 customers, an increase of more than 5,100 in the last 6 months with over 2,000 total associates.

我們現在為超過 93,000 名客戶提供服務，在過去 6 個月中增加了 5,100 多名，員工總數超過 2,000 名。

Jeff mentioned each of our initiatives with the focus being to provide excellent service to a larger number of customers, and we're focused on doing this in an efficient manner.

Jeff 提到了我們的每一項舉措，重點是為更多客戶提供優質服務，我們專注於以有效的方式做到這一點。

For the current quarter, net charge-offs as a percentage of average finance receivables was 4.8%, relatively flat from 4.7% in the prior year second quarter.

本季度，淨核銷占平均應收融資款的百分比為 4.8%，與去年第二季度的 4.7% 相比持平。

And it's important to note that charge-offs were 6.1% for the quarter ended 10/31/19 pre-pandemic.

值得注意的是，截至 2019 年 10 月 31 日的季度，大流行前的沖銷率為 6.1%。

While we did see a slight uptick in our frequency of losses just above the unusually low prior year period levels, our severity of losses on a relative basis were still improved compared to the prior year quarter.

雖然我們確實看到我們的損失頻率略有上升，略高於去年同期異常低的水平，但與去年同期相比，我們的損失嚴重程度仍然有所改善。

Recovery rights of repossessed units also contributed to the decrease in net charge-offs.

收回單位的收回權也有助於減少淨沖銷。

Recovery rates for the quarter were approximately 28% compared to 26.7% in the prior year quarter.

本季度的回收率約為 28%，而去年同期為 26.7%。

Our accounts, 30-plus past due were at 4% compared to 2.5% in the prior year second quarter and 3.5% at 10/31/19 pre-pandemic.

我們的逾期 30 多筆賬戶為 4%，而去年第二季度為 2.5%，大流行前 2019 年 10 月 31 日為 3.5%。

The 30-plus delinquencies were up partially due to the Sunday month end close date, as Sundays are generally the highest.

30 多起拖欠率上升的部分原因是周日月末截止日期，因為周日通常是最高的。

As with everyone in the market, we do expect credit losses to normalize somewhat over time, but there's no historical reference for what that looks like in these times.

與市場上的每個人一樣，我們確實預計信用損失會隨著時間的推移而有所恢復，但對於這些時期的情況沒有歷史參考。

But as Jeff mentioned, our initiatives are aimed at creating a better customer experience and improving customer success rates compared to historical norms.

但正如 Jeff 所提到的，我們的舉措旨在創造更好的客戶體驗並提高客戶成功率（與歷史標準相比）。

The effective income tax rate was 22.4% for the second quarter of fiscal '22 compared to 23.6% for the prior year quarter.

22財年第二季度的有效所得稅率為22.4%，而去年同期為23.6%。

Income tax expense included an income tax benefit of $265,000 and $240,000 related to share-based compensation for the current quarter and the prior year quarter, respectively.

所得稅費用包括分別與本季度和上一季度的股票薪酬相關的 265,000 美元和 240,000 美元的所得稅收益。

We expect our base effective tax rate to be approximately 24% going forward prior to any excess tax benefits from option exercises.

我們預計，在期權行使帶來的任何超額稅收優惠之前，我們的基本有效稅率將約為 24%。

At quarter end, our total debt was approximately $324 million.

在季度末，我們的總債務約為 3.24 億美元。

We had $2.1 million in cash, and approximately $107 million in additional availability under our revolving credit facility.

我們有 210 萬美元的現金，在我們的循環信貸額度下還有大約 1.07 億美元的額外可用性。

Our current debt net to cash -- net of cash to finance receivables ratio is 33.3%.

我們目前的債務淨額與現金——扣除現金與應收賬款的融資比率為 33.3%。

During the first 6 months of fiscal '22, we have added $157 million in receivables, increased inventory by $27 million, and we've repurchased $20 million of our common stock, while funding $7 million in capital expenditures.

在 22 財年的前 6 個月，我們增加了 1.57 億美元的應收賬款，增加了 2700 萬美元的庫存，我們回購了 2000 萬美元的普通股，同時為 700 萬美元的資本支出提供了資金。

We did increase our credit facility during the second quarter and added 2 new lenders.

我們確實在第二季度增加了信貸額度，並增加了 2 家新貸方。

We're very excited by the participation and the commitment of our lending group.

我們對貸款小組的參與和承諾感到非常興奮。

The increase is fundamental in our strategy to transition from a collections company to more of a sales company, very good at collections.

這種增長是我們從收藏公司轉變為銷售公司、非常擅長收藏的戰略的基礎。

The increased facility will allow us to continue to grow our customer base for a period and to continue making key investments to better serve our customers, both digitally and in-person.

增加的設施將使我們能夠在一段時間內繼續擴大我們的客戶群，並繼續進行關鍵投資，以更好地為我們的客戶提供數字服務和麵對面服務。

As Jeff mentioned in the press release, we believe our conservative balance sheet will allow us to increase our available financing for future growth by accessing the securitization market as well at some point.

正如傑夫在新聞稿中提到的那樣，我們相信我們保守的資產負債表將使我們能夠在某個時候通過進入證券化市場來增加未來增長的可用融資。

Now I'll turn it back to Jeff.

現在我將把它轉回給傑夫。

Okay.

好的。

Well, thank you, Vickie.

好吧，謝謝你，維姬。

Once again, we're pleased with our progress and believe we're in the early innings with our key initiatives.

再一次，我們對我們的進步感到滿意，並相信我們的關鍵舉措處於早期階段。

We're now serving over 93,000 customers.

我們現在為超過 93,000 名客戶提供服務。

That's up about 11%.

上漲了約 11%。

In the last 12 months, and we believe that most of our existing dealerships could be serving over 1,000 active customers, and we're currently at 613.

在過去的 12 個月中，我們相信我們現有的大多數經銷商可以為超過 1,000 名活躍客戶提供服務，而我們目前的數量為 613 家。

Earning repeat business and increasing the funnel of potential new customers, is very exciting to us, and we're optimistic about our unique offering to the market and our place in the world as we move forward.

贏得回頭客和增加潛在新客戶的渠道對我們來說非常令人興奮，我們對我們向市場提供的獨特產品以及我們在前進的過程中在世界上的地位持樂觀態度。

As Vickie mentioned, our sales price is up 21%, but wholesale prices in the market are up over 30%, as we work hard to maintain affordability for our customers, as we're in the boat with them to help them succeed on their underlying contracts.

正如 Vickie 所說，我們的銷售價格上漲了 21%，但市場上的批發價格上漲了 30% 以上，因為我們努力保持客戶的負擔能力，因為我們與他們同舟共濟，幫助他們取得成功基礎合約。

We are seeing market share gains and productivity improvements as we attract more customers to the family so that we can keep those customers in the Car-Mart family through repeat business.

隨著我們吸引更多客戶加入該家族，我們看到市場份額增加和生產力提高，這樣我們就可以通過重複業務將這些客戶留在 Car-Mart 家族中。

As we said in our press release, we believe our highest and best use of capital is to grow market share from our existing dealership base.

正如我們在新聞稿中所說，我們相信我們對資本的最高和最佳利用是從我們現有的經銷商基礎上增加市場份額。

We will continue to open new dealerships as we move forward.

隨著我們的前進，我們將繼續開設新的經銷商。

We're very excited to be opening our Norman, Oklahoma dealership, in addition to El Reno this last quarter as we expand our reach in the Oklahoma market.

隨著我們擴大在俄克拉荷馬市場的影響力，我們很高興在上個季度開設我們在俄克拉荷馬州諾曼的經銷商，以及 El Reno。

We will also continue to look for acquisition opportunities and believe there are several excellent operators who would like to join our Car-Mart family.

我們還將繼續尋找收購機會，相信有幾家優秀的運營商願意加入我們的Car-Mart大家庭。

The cost of operating in our industry continues to increase at a very high rate, and we provide an owner with an attractive exit strategy.

我們行業的運營成本繼續以非常高的速度增長，我們為所有者提供有吸引力的退出策略。

The debt markets are very supportive of our -- of solid auto finance companies.

債務市場非常支持我們——堅實的汽車金融公司。

And with our focus on cash flows and cash-on-cash returns, we believe solidly that we can continue to grow and pick up market share at the right pace.

由於我們專注於現金流和現金回報，我們堅信我們可以繼續增長並以正確的速度提升市場份額。

Last but certainly not least, we would like to recognize and thank our outstanding and dedicated and committed associates to carry out our mission, vision and value every day in very difficult operating environments.

最後但同樣重要的是，我們要表彰並感謝我們傑出、敬業和忠誠的員工，他們每天在非常困難的運營環境中履行我們的使命、願景和價值。

It takes a great team to excel in this high-touch consumer business, and we're very proud of our associates and their work.

在這個高度接觸的消費者業務中脫穎而出需要一支優秀的團隊，我們為我們的員工和他們的工作感到非常自豪。

We'll now open it up for questions.

我們現在打開它來提問。

Operator?

操作員？

(Operator Instructions) Your first question comes from Kyle Joseph with Jefferies.

（操作員說明）您的第一個問題來自 Kyle Joseph 和 Jefferies。

I wanted to start on credit.

我想從信用開始。

I think you guys talked about losses normalizing.

我認為你們談到了損失正常化。

Obviously, I think your business is a little insulated given the auto exposure in used car prices.

顯然，鑑於二手車價格中的汽車敞口，我認為您的業務有點絕緣。

But is the outlook for kind of frequency to continue to normalize?

但這種頻率的前景是否會繼續正常化？

But in terms of severity, it should be kind of below historical averages until used car prices eventually kind of get some relief.

但就嚴重程度而言，在二手車價格最終有所緩解之前，它應該會低於歷史平均水平。

But at that point, you'd have some offset in the gross profit margin.

但到那時，您的毛利率會有所抵消。

Am I thinking about that correctly?

我是否正確地考慮了這一點？

Well, there will continue to be some pressure on the severity as well, if you think about the larger dollars amount financed.

好吧，如果您考慮到更大的融資金額，那麼嚴重程度也會繼續存在一些壓力。

So when you take one of those vehicles back, your severity will be higher.

因此，當您將其中一輛車取回時，您的嚴重程度會更高。

Our challenge there is -- and what we're trying to do is keep our customers in the cars longer, get them closer to an equity position to keep that severity down.

我們面臨的挑戰是——我們正在努力做的是讓我們的客戶更長時間地呆在汽車上，讓他們更接近股權位置，以降低這種嚴重性。

Yes.

是的。

And we're just -- we're doing so many things to improve the customer experience and keep customers on the road longer.

我們只是 - 我們正在做很多事情來改善客戶體驗並讓客戶在路上停留更長時間。

But you can't be in this environment and not expect some kind of normalization over time.

但是你不能在這種環境中不期望隨著時間的推移會出現某種正常化。

We're just -- it's a little unsure at this point, but we believe that we can manage credit, manage credit well, and we do expect good credit results as we look forward.

我們只是 - 在這一點上有點不確定，但我們相信我們可以管理信用，很好地管理信用，並且我們確實期待良好的信用結果。

But I think consensus in the industry is there will be some normalization over time, but we don't know what that looks like yet.

但我認為業界的共識是隨著時間的推移會有一些正常化，但我們還不知道那會是什麼樣子。

But all of these investments we're making, all the efforts that we're putting in place to improve that customer experience and take some noncore work out of the field, all those directives and initiatives are meant to improve customer success rates over time.

但是我們正在進行的所有這些投資，我們為改善客戶體驗和將一些非核心工作帶出現場所做的所有努力，所有這些指令和舉措都旨在隨著時間的推移提高客戶成功率。

Got it.

知道了。

And then one follow-up for me, kind of a 2-part question.

然後對我來說是一個後續問題，一個兩部分的問題。

If you can just talk about competition, both in terms of the supply of credit available to the auto market as well as some of the other mom-and-pops you compete against on the dealership front?

如果您只能談論競爭，無論是在汽車市場的信貸供應方面，還是在您在經銷商方面與之競爭的其他一些媽媽和流行音樂方面？

And then talk about opportunities for expansion, whether it be de novo or M&A, please?

然後談談擴張的機會，無論是從頭還是併購，好嗎？

Sure.

當然。

Well, on the competitive side, we do believe and are seeing that some smaller dealers are having some trouble with the increases in the car cost and the increases in cost to operate the businesses.

好吧，在競爭方面，我們確實相信並看到一些較小的經銷商在汽車成本的增加和經營業務的成本增加方面遇到了一些麻煩。

So there are market opportunities for us in picking up market share from smaller operators who might not be able to thrive and survive in this type of environment.

因此，我們有機會從可能無法在這種環境中茁壯成長和生存的小型運營商那裡獲得市場份額。

So that's a positive on our side.

所以這對我們來說是積極的。

And we are seeing some early benefits from that.

我們看到了一些早期的好處。

On the credit side, there is -- as always, there's plenty of credit out there from bigger players, but the credit that is out there is rational and something that we can match up with very well against in terms of our pricing and our credit.

在信用方面，與往常一樣，更大的參與者有很多信用，但那裡的信用是合理的，我們可以在定價和信用方面很好地與之匹配.

So we feel good about the credit side.

所以我們對信貸方面感覺良好。

On the competitive side, we are picking up market share from smaller competitors.

在競爭方面，我們正在從較小的競爭對手那裡獲得市場份額。

And on the expansion side, we do continue to believe we're going to open up some -- a few dealerships each year.

在擴張方面，我們仍然相信我們會每年開設一些經銷商。

And then the acquisition side, believe there's some very good smaller players out there that would love to be part of the Car-Mart family as we look to expand our footprint.

然後是收購方面，相信有一些非常優秀的小型企業願意成為 Car-Mart 大家庭的一員，因為我們希望擴大我們的足跡。

So we've got several channels of expansion.

所以我們有幾個擴張渠道。

The primary focus, of course, is increasing customer count from the dealerships we already have.

當然，主要關注點是增加我們已經擁有的經銷商的客戶數量。

We believe there's a large amount of market share to pick up from getting better and more productive, supporting more customers, selling more cars from the network we already have.

我們相信，通過變得更好、更高效、支持更多客戶、通過我們已有的網絡銷售更多汽車，可以獲取大量市場份額。

And then when you put new dealership openings in that mix and then some acquisition opportunities, we believe that we have a long road for expansion with our base business here.

然後，當您在該組合中加入新的經銷店空缺和一些收購機會時，我們相信我們在這裡的基礎業務還有很長的擴張之路。

Your next question comes from Vincent Caintic with Stephens.

您的下一個問題來自 Vincent Caintic 和 Stephens。

I wanted to talk about the add-on products that you've been rolling out.

我想談談你們推出的附加產品。

And so, I guess the service contracts and additional things.

所以，我猜是服務合同和其他東西。

It seems like you've been having success there.

看起來你在那裡取得了成功。

If I calculate the non-vehicles kind of revenues you're generating, it seems to be about $11 million this quarter.

如果我計算您產生的非車輛類收入，本季度似乎約為 1100 萬美元。

So if you could maybe talk about the uptake you're getting on add-on products, maybe the -- how much of your customers are taking add-ons and maybe what's the potential penetration rate once we -- maybe once you were able to expand that product?

因此，如果您可以談論您對附加產品的接受程度，也許是 - 您的客戶有多少在使用附加產品，也許一旦我們 - 也許一旦您能夠擴展那個產品？

And anything else that you're planning to do with add-ons?

還有其他你打算用附加組件做的事情嗎？

Yes.

是的。

Our penetration rate for our add-on products is high.

我們對附加產品的滲透率很高。

Our customers see real value in these products, and they're priced at a value for them to increase success rates, like we've talked about.

我們的客戶在這些產品中看到了真正的價值，並且它們的定價對他們來說是一個價值，以提高成功率，就像我們已經談到的那樣。

The new service contracts with the longer terms and the way we have to defer and recognize revenue on those, we'll continue to add to our revenue stream as we go forward, and we bake in the full 2- and 3-year higher-priced contracts.

新的服務合同具有更長的條款，以及我們必須推遲和確認收入的方式，隨著我們的前進，我們將繼續增加我們的收入流，我們將在 2 年和 3 年的整個更高時間裡烘焙——定價合同。

Okay.

好的。

Great.

偉大的。

And then when you think about kind of going back to your discussion on gross profit margins, so your gross profit dollars continues to grow, and it's been nice to see that you're able to get some incremental value even with higher used car prices.

然後當你考慮回到你關於毛利率的討論時，你的毛利潤美元繼續增長，很高興看到即使二手車價格更高，你也能獲得一些增量價值。

I'm just -- as you're thinking about that going forward, are there additional levers you can pull or sources of vehicles that you've had?

我只是——當你在考慮這個問題時，你是否有其他可以拉動的槓桿或你擁有的車輛來源？

I know in the past, you talked about off rental vehicles.

我知道過去，您談到過出租車輛。

But when you think about gross profit going forward, just kind of wanted to get your perspective on that.

但是，當您考慮未來的毛利潤時，只是想了解一下您對此的看法。

Yes.

是的。

I think when the add-on products get fully baked in, that should be a benefit.

我認為當附加產品完全融入時，這應該是一個好處。

We anticipate that being a benefit to the gross margin dollars and percentages as those products get fully rolled out.

我們預計，隨著這些產品的全面推出，這對毛利率和百分比有利。

So -- and then other areas -- in this business, consumers aren't that focused on the sales price.

所以——然後是其他領域——在這個行業中，消費者並不那麼關註銷售價格。

It's up to us to put customers in our market in situations where they can succeed and earn equity throughout the contract term.

我們有責任讓客戶進入我們的市場，讓他們在整個合同期內都能取得成功並獲得股權。

So we always have the ability to go in and tweak prices.

所以我們總是有能力介入並調整價格。

But with the significant increase in costs out in the market, we've certainly seen an uptick in market share as consumers are looking at retail prices and looking at our prices in the market.

但隨著市場成本的顯著增加，我們當然看到市場份額有所上升，因為消費者正在關注零售價格並關注我們在市場上的價格。

So we've benefited from having some very attractive retail prices out there that consumers are looking at because of the price increases in the market.

因此，由於市場價格上漲，我們受益於一些非常有吸引力的零售價格，消費者正在關注這些價格。

And as a result, those percentages have come down a little bit.

結果，這些百分比有所下降。

But as we go forward and get more clarity on where the market is going, then we do have the ability to tweak our retail pricing.

但隨著我們繼續前進並更加清楚市場的走向，我們確實有能力調整我們的零售定價。

But we always have to keep in mind that customer success rate, customer equity, and we are truly in the boat with our customers over that contract term, and we're working with them to complete those contracts and get title to the car.

但我們始終必須牢記客戶成功率、客戶資產，在合同期限內，我們確實與客戶同在，我們正在與他們合作完成這些合同並獲得汽車的所有權。

And so we've got to look at all aspects of price increases and do what's right for our consumers.

因此，我們必須關注價格上漲的各個方面，並為我們的消費者做正確的事情。

It's fantastic to see these quarter-over-quarter increases in the gross profit dollars that we're making, and we focus much more heavily on the gross profit dollars.

看到我們所賺取的毛利美元的這些季度環比增長真是太棒了，我們更加關注毛利美元。

And we think that's the best focus to have here.

我們認為這是這裡最好的焦點。

And it's been a very strong.

這是一個非常強大的。

We're going to continue to look at pricing and dollars and make sure we're putting our customers in situations that they can succeed with.

我們將繼續關注定價和美元，並確保我們將客戶置於他們可以成功的境地。

Kyle (sic) [Vincent], I think everyone knows this, but the parts, labor for mechanics, all of that stuff is increasing.

凱爾（原文如此）[文森特]，我想每個人都知道這一點，但是零件，機械師的勞動力，所有這些都在增加。

Those costs are increasing.

這些成本正在增加。

And I kind of mentioned that, we've done a really good job of controlling that part of our cost of goods sales when you look at repairs and recon to the vehicles that we're having to do.

而且我有點提到，當您查看維修和偵察我們必須做的車輛時，我們在控制這部分商品銷售成本方面做得非常好。

So we're trying to minimize all of that in this inflationary environment.

因此，我們正試圖在這種通貨膨脹的環境中盡量減少所有這些。

Your next question comes from John Murphy with Bank of America.

您的下一個問題來自美國銀行的 John Murphy。

This is Aileen Smith on for John.

這是約翰的艾琳史密斯。

The first question I have for you, I think you alluded to it in your prepared remarks, but I believe we've got one child tax credit payment left this year, which is pretty important for your customer base.

我問你的第一個問題，我想你在準備好的發言中提到了它，但我相信今年我們還剩下一個兒童稅收抵免，這對你的客戶群來說非常重要。

How do you think about the phasing out of that program or just the end of that program impacting customer demand in the next couple of quarters?

您如何看待該計劃的逐步取消或該計劃的結束會在未來幾個季度影響客戶需求？

And could that result in some transitory pressure on your business?

這會對您的業務造成一些暫時的壓力嗎？

Well, there's certainly a percentage of our customers that do benefit from that credit.

嗯，我們的客戶中肯定有一定比例的客戶確實從這種信用中受益。

And that would certainly be a cash flow event for a percentage of our customers, but tax time is just around the corner, and all of our customers do benefit from tax time.

對於我們的一部分客戶來說，這肯定會成為現金流量事件，但納稅時間指日可待，我們所有的客戶都從納稅時間中受益。

And again, we're trying to put customers in an affordable payment with an affordable down payment outside of tax credits or other events that happen throughout the year.

再一次，我們正試圖讓客戶在稅收抵免或全年發生的其他事件之外以負擔得起的首付支付可負擔的付款。

This is -- again, we're in the boat with these customers, and we're not depending on a child care tax credit amount for them to be successful on our contracts.

這是 - 再次，我們與這些客戶在船上，我們不依賴兒童保育稅收抵免金額來讓他們在我們的合同上取得成功。

But we are aware of that.

但我們意識到這一點。

We're looking at that and monitoring that.

我們正在研究並監控它。

But at the end of the day, it's not going to change the way we approach our customers and their success.

但歸根結底，這不會改變我們接觸客戶及其成功的方式。

And tax time refunds are just around the corner.

退稅時間指日可待。

And we expect our consumer base to perform well with or without these additional child credits, so.

我們希望我們的消費者群在有或沒有這些額外的兒童信用的情況下表現良好，所以。

Okay.

好的。

Got it.

知道了。

And then as we think about the variety of credit metrics in your business, whether it's consumer credit metrics like down payments and days outstanding, or it's the financing metrics that you guys are reporting.

然後，當我們考慮您業務中的各種信用指標時，無論是消費者信用指標，如首付和未償還天數，還是你們報告的融資指標。

Obviously, you're working off of some very abnormal levels from last year and earlier this year.

顯然，你正在擺脫去年和今年早些時候的一些非常不正常的水平。

How do you think about normalization to pre-COVID levels?

您如何看待正常化到 COVID 之前的水平？

And then specifically time line?

然後具體時間線？

And then are there any initiatives in your business where you think you can operate at more optimal levels in the future than perhaps you have in the past?

然後，在您的業務中是否有任何舉措，您認為您可以在未來以比過去更優化的水平運營？

Well, to start with just the normalization of used car prices and that's a little hard to pinpoint.

好吧，從二手車價格的正常化開始，這有點難以確定。

I think consensus might say that we're going to be in a period of car shortages and higher prices through the end of 2022.

我認為共識可能會說，到 2022 年底，我們將處於汽車短缺和價格上漲的時期。

And at that point, we don't really see prices dropping off a cliff or decreasing.

到那時，我們並沒有真正看到價格跌落懸崖或下降。

Maybe they level off some.

也許他們平息了一些。

So this -- we've seen in the last 12 months a significant increase in cost, obviously.

所以這 - 我們在過去 12 個月中看到成本顯著增加。

And we do expect within a year or so for the prices to level back off and hopefully, be more in line with general inflation as we go forward.

我們確實預計價格會在一年左右的時間內回落，並希望在我們前進的過程中更符合總體通脹。

This has been a very unusual period, as you say, and it's hard to know what normal looks like, but consumers do need cars, they need our service.

正如你所說，這是一個非常不尋常的時期，很難知道正常情況如何，但消費者確實需要汽車，他們需要我們的服務。

And what we do is very unique.

我們所做的非常獨特。

And how we do is very unique.

我們的做法非常獨特。

And we're putting customers in transactions that make a lot of sense for them and for us.

我們讓客戶參與對他們和我們都有意義的交易。

And as long as wages are going up and continue to go up to offset inflationary pressures, which we're seeing, we're seeing tremendous wage gains in the markets we serve, then we believe we're going to be able to put an affordable product out there for our customer, and that customer is going to be able to succeed on those contracts.

只要工資上漲並繼續上漲以抵消通脹壓力，我們正在看到，我們看到我們服務的市場的工資增長巨大，那麼我們相信我們將能夠為我們的客戶提供負擔得起的產品，並且該客戶將能夠在這些合同上取得成功。

And again, we expect continuing price pressure and increases for at least another 9 months, maybe another year.

同樣，我們預計價格壓力和上漲至少會再持續 9 個月，甚至可能再持續一年。

And then we would love to see prices level off and be more in line with general inflation, but that's the question everybody is trying to ask us, what does that normal look like?

然後我們希望看到價格趨於平穩並更符合總體通脹，但這是每個人都想問我們的問題，正常情況是什麼樣的？

When does -- when do things return back to a more normal level?

什麼時候——事情什麼時候恢復到更正常的水平？

And -- but we'll adjust and be nimble and always focus on putting a customer in a good, solid transaction, mechanically sound car with a payment amount that's affordable and then back up that sale with fantastic service after the sale.

而且 - 但我們會調整併保持靈活，始終專注於讓客戶獲得良好、可靠的交易、機械性能良好的汽車，支付金額可承受，然後在售後以出色的服務支持銷售。

We have a number of touch points after the sale to keep customers on the road and give them peace of mind in dealing with America's Car-Mart, and we're getting better every day.

我們在售後有許多接觸點，以使客戶保持在路上，讓他們在與美國的 Car-Mart 打交道時安心，而且我們每天都在變得更好。

And our customer support, with some of these investments we're making to keep, our customers on the road, if credit normalizes or if the business changes, we believe we're going to be in a great spot to help our customers succeed.

我們的客戶支持，以及我們正在進行的一些投資，我們的客戶在路上，如果信貸正常化或業務發生變化，我們相信我們將處於幫助客戶成功的好地方。

Okay.

好的。

And one more for me, if I may.

如果可以的話，再給我一個。

Apologies if I missed this in the prepared remarks, but what is your current level of days' supply that you're sitting with at your dealerships?

如果我在準備好的評論中錯過了這一點，我深表歉意，但是您目前在經銷商處的供應天數是多少？

And how does that compare to pre-COVID levels?

這與 COVID 之前的水平相比如何？

Yes.

是的。

We're a little over 60, right -- at 60 days' supply, and that's up about 25% from pre-COVID levels.

我們已經 60 多歲了，對 - 60 天的供應量，這比 COVID 之前的水平高出約 25%。

And we've been conservative in this market.

我們在這個市場上一直很保守。

We are carrying more inventory, and the cost of that inventory is higher.

我們攜帶更多庫存，庫存成本更高。

But if you see our dealerships, they're really all -- they are full of good, solid cars, a good mix of product.

但是，如果您看到我們的經銷商，他們真的是全部——他們充滿了優質、堅固的汽車，以及良好的產品組合。

And we've been conservative in carrying more inventory just based on the shortage of product and how long it takes to get product to the locations, repaired, part shortages, labor issues.

而且我們一直保守地僅根據產品短缺以及將產品運送到地點所需的時間、維修、零件短缺、勞動力問題來持有更多庫存。

So we're carrying a little more inventory on purpose right now than we would in a more normal period, a more normal flow of product.

因此，與更正常的時期、更正常的產品流相比，我們現在故意攜帶更多的庫存。

And we think that's the best way for us to be looking at this short term, especially with tax time just around the corner.

我們認為這是我們看待這個短期的最佳方式，尤其是在稅收時間即將到來的情況下。

(Operator Instructions) Your next question comes from John Rowan with Janney.

（操作員說明）您的下一個問題來自 John Rowan 和 Janney。

So if we continue to see price increases for -- and you alluded to up to a year in the used car market.

因此，如果我們繼續看到價格上漲 - 你提到二手車市場最多一年。

Do we -- should we continue to expect gross profit margin to continue to come down a little bit?

我們是否應該繼續預期毛利率會繼續下降一點？

And then subsequent to that, when car prices do level off, is there still some potential weakness in the gross profit and margin as you work through the inventory that you acquired as prices were accelerating?

然後在此之後，當汽車價格趨於平穩時，當您處理價格上漲時獲得的庫存時，毛利潤和利潤率是否仍然存在一些潛在的弱點？

Well, again, if we're talking about gross profit dollars, we're...

好吧，再一次，如果我們談論的是毛利潤，我們...

Percentages.

百分比。

Percentages, okay.

百分比，好吧。

We're going to continue -- that's a constant analysis on our part, and we'll continue to look at that, the service contracts and the other add-on products as they roll in are expected to help us on the percentages, certainly the dollars also.

我們將繼續 - 這是我們的持續分析，我們將繼續關注這一點，服務合同和其他附加產品預計將幫助我們提高百分比，當然美元也。

But that's a constant analysis on our part to make sure that retail pricing and our profit percentages are appropriate to support our customer base, also looking at what's going on in the market.

但這是我們不斷進行的分析，以確保零售定價和我們的利潤百分比適合支持我們的客戶群，同時還要關注市場上正在發生的事情。

As we grow, we've got to look at other retail prices in the market, make sure we're in the neighborhood on that standpoint.

隨著我們的成長，我們必須看看市場上的其他零售價格，確保我們在這個角度上就在附近。

So a lot of this is a little outside of our control as we try to gain market share.

因此，當我們試圖獲得市場份額時，其中很多都超出了我們的控制範圍。

But there is a point that we need to and should and deserve.

但有一點是我們需要、應該和應得的。

And with all the work we do and investments we make, there is a level of gross profit dollars and percentages that would represent levels that we need to stay at.

通過我們所做的所有工作和我們所做的投資，有一個水平的毛利潤美元和百分比將代表我們需要保持的水平。

So we're very focused on making sure that our pricing is where it needs to be, giving that consumer value, and when prices level off, then we'll make adjustments accordingly there, too.

因此，我們非常專注於確保我們的定價在需要的地方，賦予消費者價值，當價格趨於平穩時，我們也會在那裡進行相應的調整。

But we're always looking at gross profit dollars, percentages, pricing in the market, attracting new customers and customer success.

但我們一直在關注毛利潤、百分比、市場定價、吸引新客戶和客戶成功。

So it's not one-dimensional decision.

所以這不是一維的決定。

It affects all of our -- the entirety of our business.

它影響到我們所有人——我們的整個業務。

But we are looking at where we can tweak, what we can do to offset some inflationary pressures, and keep our margins where they need to be.

但我們正在研究可以調整的地方，我們可以做些什麼來抵消一些通脹壓力，並將我們的利潤率保持在需要的水平。

(Operator Instructions) All right.

（操作員說明）好的。

There are no further questions on queue.

隊列中沒有其他問題。

I'll turn the call back to Jeff Williams.

我會把電話轉回傑夫威廉姆斯。

Okay.

好的。

Well, once again, thank you for listening to our call this morning.

好吧，再次感謝您今天早上收聽我們的電話。

We've got a great company here at America's Car-Mart.

我們在美國的 Car-Mart 有一家很棒的公司。

We keep our customers on the road.

我們讓我們的客戶一直在路上。

We give them peace of mind in a very stressful area of life and that's car ownership.

我們讓他們在生活壓力非常大的領域中高枕無憂，那就是擁有汽車。

The investments we're making, the initiatives we have in place are all directed at supporting our customers at even a higher level, keeping them in the family for life.

我們正在進行的投資，我們採取的舉措都旨在為我們的客戶提供更高水平的支持，讓他們終生留在家中。

Communities are better, customers' lives are better, when they're part of the Car-Mart family.

當他們成為 Car-Mart 大家庭的一員時，社區會更好，客戶的生活也會更美好。

We've got an extremely dedicated team, and we're all fired up about our place in the world, our purpose and our [why].

我們有一個非常敬業的團隊，我們都對我們在世界上的位置、我們的目標和我們的 [為什麼] 感到興奮。

And we've got a fantastic outlook for our future.

我們對未來有著美好的展望。

We're going to keep growing and getting better.

我們將繼續成長並變得更好。

And we appreciate your time this morning, and thanks again to all of our associates that do such great work in the field and at corporate each and every day.

我們感謝您今天早上的時間，並再次感謝我們所有每天在該領域和公司中做出如此出色工作的員工。

So have a great day.

所以祝你有美好的一天。

Thank you.

謝謝你。

And that concludes today's conference.

今天的會議到此結束。

Thank you for your participation, and have a wonderful day.

感謝您的參與，祝您有美好的一天。

You may all disconnect.

你們都可以斷開連接。