卡洛馳 (CROX) 2024 Q3 法說會逐字稿

Good day and welcome to the Crocs third quarter, 2024 earnings conference call. (Operator Instructions) Please note this event is being recorded.

美好的一天，歡迎參加 Crocs 2024 年第三季財報電話會議。 （操作員說明）請注意此事件正在被記錄。

I would now like to turn the conference over to Erinn Murphy, senior Vice President of Investor Relations and corporate strategy. Please go ahead.

現在我想將會議交給投資者關係和企業策略高級副總裁艾琳墨菲 (Erinn Murphy)。請繼續。

Good morning and thank you for joining us to discuss Crocs Inc third quarter results with me today are Andrew Rees, Chief Executive Officer and Susan Healy, Chief Financial Officer. Following their prepared remarks. We will open the call for your questions which we ask that you limit to one per caller.

早安，感謝您今天與我們一起討論 Crocs Inc 第三季度業績，首席執行官安德魯·里斯 (Andrew Rees) 和首席財務官蘇珊·希利 (Susan Healy)。以下是他們準備好的發言。我們將打開電話詢問您的問題，我們要求您限制每個呼叫者只能提出一個問題。

Before I begin, I would like to remind you that some of the information provided on this call is forward-looking and accordingly is subject to the safe harbor provisions of the federal securities laws.

在開始之前，我想提醒您，本次電話會議中提供的一些資訊是前瞻性的，因此受到聯邦證券法安全港條款的約束。

These statements include but are not limited to statements regarding our strategy plans, objectives, expectations and intentions including our financial outlook. These statements involve known and unknown risks, uncertainties and other factors which may cause our actual results, performance or achievements to differ. Materially, please refer to our quarterly report on form 10-Q and other reports filed with the SEC for more information on these risks and uncertainties.

這些聲明包括但不限於有關我們的策略計劃、目標、期望和意圖（包括我們的財務前景）的聲明。這些陳述涉及已知和未知的風險、不確定性和其他因素，可能導致我們的實際結果、績效或成就有所不同。具體而言，請參閱我們的 10-Q 表格季度報告以及向 SEC 提交的其他報告，以了解有關這些風險和不確定性的更多資訊。

Certain financial metrics that we refer to as adjusted or nongaap are nongaap measures. A reconciliation of these amounts to their GAAP counterparts is contained in the press release. We issued earlier this morning. All revenue growth rates will be cited on a constant currency basis unless otherwise stated. At this time, I'll turn the call over to Andrew Rees Cross Inc Chief Executive Officer.

我們稱為調整後或非公認會計原則的某些財務指標是非公認會計原則衡量標準。新聞稿中包含了這些金額與公認會計準則對應金額的調節表。我們今天早上早些時候發布了。除非另有說明，否則所有收入成長率均以固定匯率計算。此時，我會將電話轉給 Andrew Rees Cross Inc 執行長。

Thank you Erin and good morning everyone. Thank you for joining us today. We reported third quarter results that exceeded our guidance in terms of sales and profitability on an enterprise basis.

謝謝艾琳，大家早安。感謝您今天加入我們。我們報告的第三季業績在企業銷售額和獲利能力方面超出了我們的指導。

Consolidated enterprise revenues of $1.1 billion grew 2% to prior year, led by 5% growth in DTC by brand Crocs brand grew 8% with international up 17% and North America up 2% payd revenues contracted 17% slightly below our expectations adjusted diluted eps of $3.60. A share increased 11%.

綜合企業營收為11 億美元，較上年成長2%，其中品牌DTC 成長5%，Crocs 品牌成長8%，其中國際成長17%，北美成長2% 付費營收收縮17%，略低於我們的預期調整後稀釋每股收益3.60 美元。 A股上漲11%。

Today, I will be covering the following topics. I will first share deeper insights into our third quarter results along with what we're seeing from a broader consumer perspective, I will then elaborate on Hau's strategic priorities and what gives me confidence around the brand's longer term growth prospects. Touching on some of the early wins we're seeing in the business today.

今天，我將討論以下主題。我將首先分享對我們第三季業績的更深入見解，以及我們從更廣泛的消費者角度看到的情況，然後我將詳細闡述Hau 的戰略重點以及是什麼讓我對該品牌的長期增長前景充滿信心。談談我們今天在行業中看到的一些早期勝利。

Finally, Susan will review our financial performance, our updated 2024 outlook and our preliminary thoughts on 2025.

最後，Susan 將回顧我們的財務表現、更新的 2024 年展望以及我們對 2025 年的初步想法。

Now, turning to third quarter insights, starting with the cross brand, the investments we are making in product and marketing enable us to win with consumers around the world.

現在，轉向第三季的見解，從跨品牌開始，我們在產品和行銷方面的投資使我們能夠贏得世界各地的消費者。

All three of our product pillars, clogs, sandals and personalization grew during the third quarter led by our icon, the classic plug in August footwear news named our classic clog. One of the greatest shoes of all time embracing the personalization platform that our club provides. We launched our live life fully loaded campaign during the back to school season.

我們的三大產品支柱——木鞋、涼鞋和個性化——在我們的標誌性產品——八月鞋類新聞中被命名為我們的經典木鞋的經典插頭的引領下，在第三季度實現了成長。有史以來最偉大的鞋子之一，採用了我們俱樂部提供的個人化平台。我們在返校季期間推出了充滿活力的生活活動。

This campaign created high consumer engagement in our stores and online both for our classic clog as well as our Jibbitz business as consumers were able to fuel their love for self expression.

這項活動在我們的商店和網路上為我們的經典木鞋和 Jibbitz 業務創造了很高的消費者參與度，因為消費者能夠激發他們對自我表達的熱愛。

We're continuing to iterate on our cplug by introducing new silhouettes and building durable franchises.

我們將繼續迭代我們的 cplug，引入新的輪廓並建立持久的特許經營權。

The eco franchise which has developed a breadth of products across clogs, sandals, boots and sneakers continues to bring in new largely male explorer consumer to our brand.

生態特許經營開發了木底鞋、涼鞋、靴子和運動鞋等多種產品，繼續為我們的品牌帶來新的主要是男性探險家消費者。

As we look into the spring, we're excited to bring the Echo Wave a molded mule and the Echo search market. Both new innovations are priced under $100.

當我們展望春天時，我們很高興為 Echo Wave 帶來模製騾子和 Echo 搜索市場。這兩項創新產品的價格均低於 100 美元。

Another example of how we have iterated on the clock is our in motion franchise. We have seen successful results in our tests of this franchise on our DTC channels ahead of a scaled rollout in 2025.

我們如何迭代的另一個例子是我們的動態特許經營權。在 2025 年大規模推出之前，我們在 DTC 頻道上對該特許經營權的測試取得了成功。

This new innovation features our proprietary light right foam footbed along with our free field technology by applying the learnings from a quick to market DTC Cozy slipper launch. Last year, we're able to scale the offering this fall across expanded Colorways and with our wholesale partners at an incredible value of 4,999 sell out has been strong out of the gate and we're chasing replenishment.

這項新的創新採用了我們專有的輕質泡沫鞋床以及我們的自由場技術，透過應用從快速上市的 DTC Cosy 拖鞋中獲得的經驗教訓。去年，我們能夠在今年秋季擴大產品範圍，擴大配色範圍，並與我們的批發合作夥伴一起以令人難以置信的 4,999 件價格出售，一開始就賣光了，我們正在尋求補貨。

In addition to our mainline product, we bought many exciting partnerships to life during the quarter. These included a bath and body works collection featuring a classic clog and a cozy sandal prebid with four mystery scent Gibbets charms.

除了我們的主線產品之外，我們在本季度還購買了許多令人興奮的合作關係。其中包括沐浴和身體護理系列，其中包括經典木底鞋和舒適涼鞋，配有四個神秘香味 Gibbets 吊飾。

We also introduced batman and squish mellow and of course a Croc Times mcdonald's Happy Meal as a natural extension of our first collaboration with mcdonald's. We designed and introduced a mcdonald's Times Crocs Happy Meal with a curated assortment of 17 limited edition Classic Clark Keith James and a sticker pack for personalization.

我們還推出了蝙蝠俠和squish mellow，當然還有Croc Times 麥當勞開心樂園餐，作為我們與麥當勞首次合作的自然延伸。我們設計並推出了麥當勞 Times Crocs 開心樂園餐，其中包含 17 份精選的限量版經典 Clark Keith James 和個人化貼紙包。

We launched a Happy Meal first in China and saw fantastic results within the 1st 48 hours. Over 400,000 Crocs Happy Meals were sold, generating over 10 billion brand impressions.

我們首先在中國推出了開心樂園餐，並在第一個 48 小時內取得了驚人的效果。 Crocs 開心樂園餐銷量超過 40 萬份，產生了超過 100 億的品牌印象。

Since then, we have launched a Happy Meal in over 40 countries driving significant brand momentum and heat.

此後，我們在 40 多個國家推出了開心樂園餐，大大推動了品牌動能與熱度。

Last week. We celebrated the seventh annual Crop Day on October 23rd. Our very own fan inspired holiday within the month of October with a much awaited debut. We celebrated the release of pet Crocs available alongside matching classic lion logs, allowing dogs and dog parents to coordinate their looks in luck.

上個星期。 10 月 23 日，我們慶祝了第七屆一年一度的作物日。我們在 10 月的專屬粉絲假期中迎來了期待已久的首次亮相。我們慶祝寵物卡駱馳 (Crocs) 與經典獅子原木相配，讓狗和狗父母能夠協調他們的外觀，帶來好運。

Our pet crops designed in partnership with Bach were available globally in our own dotcom and in select retail stores, the release was a huge success.

我們與巴赫合作設計的寵物作物在全球範圍內透過我們自己的網路公司和精選零售店銷售，此次發布取得了巨大成功。

B inspired festivities did not stop there. This year we released a Crocs costume which is in the form of a lifesize iconic classic clog, fully loaded with Gibbet's charms and just like your favorite pair of cros clogs. This costume is available in both left and right versions making a perfect pairing opportunity with friends in September. We achieved another step forward towards our circularity goals with the launch of a limited edition Keep it going Classic Club.

B 啟發的慶祝活動並沒有就此結束。今年，我們推出了一款 Crocs 服裝，採用真人大小的標誌性經典木底鞋形式，充滿了 Gibbet 的魅力，就像您最喜歡的一雙 cros 木底鞋一樣。這款服裝有左右兩個版本，是九月與朋友完美搭配的機會。透過推出限量版 Keep it go Classic Club，我們又向循環目標邁出了一步。

The new clogs feature 25% post consumer recycled content from the shoes collected through our all crops, new live consumer takeback program with the remaining construction of the shoe containing up to 25% bio based crosslay material.

新款木鞋採用了 25% 的消費後回收材料，這些材料來自我們透過所有作物收集的鞋子，新的現場消費者回收計劃，鞋子的剩餘結構含有高達 25% 的生物基交錯材料。

Now for a review of the Cross brown business by geography, the North American market performed well with revenue growth of 2% versus prior year led by DTC in North America. The consumer has reverted to prepandemic shopping patterns, shopping closer to need and concentrating spend around key shopping events and holidays, we saw a solid back to school season. But since Labor Day, we have seen the consumer pull back.

現在按地域回顧 Cross Brown 業務，北美市場表現良好，收入較上年增長 2%，其中北美 DTC 為首。消費者已恢復到疫情前的購物模式，在更接近需求的地方購物，並將支出集中在關鍵購物活動和假期期間，我們看到了開學季的強勁回歸。但自勞動節以來，我們看到消費者有所回落。

We anticipate the consumer environment being relatively muted in the US. Until Black Friday Cyber Monday holiday period, our overall international revenues grew 17% versus per year, supported by notable growth in Australia. China, France and Germany.

我們預期美國的消費環境相對溫和。在黑色星期五網路星期一假期之前，我們的整體國際收入年增 17%，這得益於澳洲的顯著成長。中國、法國和德國。

Our China business grew over 20% on top of more than 90% growth last year in the third quarter.

我們的中國業務在去年第三季超過 90% 的成長基礎上成長了 20% 以上。

With approximately two thirds of the growth driven by Monobrand partner stores.

大約三分之二的成長是由 Monobrand 合作夥伴商店推動的。

As we shared during our second quarter call, the industry was more promotional during the midseason festival.

正如我們在第二季電話會議中分享的那樣，該行業在季中節期間的促銷能力更大。

It is clear that the chinese consumer is being far more conservative in their purchase behavior and we have seen an even more pronounced pullback within key tier one cities like Shanghai and Beijing.

很明顯，中國消費者的購買行為更加保守，我們在上海和北京等主要一線城市看到了更明顯的回落。

In light of the broader macro environment in China, we're taking a more cautious view for the rest of the year.

鑑於中國更廣泛的宏觀環境，我們對今年剩餘時間持更加謹慎的看法。

Despite this backdrop, our brand continues to gain share in China which we believe is a direct result of our accessible authentic and personalizable brand positioning serving as a meaningful competitive advantage.

儘管存在這種背景，我們的品牌在中國的份額仍在不斷增加，我們相信這是我們平易近人、真實且個性化的品牌定位作為有意義的競爭優勢的直接結果。

Turn to hey do our third quarter results came in slightly below our guidance with revenues declining 17%.

轉向嘿，我們第三季的業績略低於我們的指導，收入下降了 17%。

Before I provide further detail on the quarter, I want to start by sharing the progress we've made towards building. Hey dude into a consistent and profitable growth brand in September of last year, we made a pivot to prioritize brand, health clean up channel inventory while right sizing our account base and began building a fleet of premium outlet stores to showcase the best expression of our brand.

在提供有關本季度的更多詳細資訊之前，我想先分享我們在建設方面取得的進展。嘿夥計，去年九月，我們成為了一個持續盈利的成長品牌，我們把重點放在優先考慮品牌、健康清理渠道庫存，同時調整我們的客戶群規模，並開始建立一系列優質直銷店，以展示我們品牌的最佳表達。

Since then, we've elevated ASP S shaded. More than 50% of our accounts improved in returns to four times a year and opened 29 premium outlet stores.

從那時起，我們提高了 ASP S 陰影。我們超過 50% 的客戶的回報率提高到每年四倍，並開設了 29 家優質直銷店。

In addition, we invested in talent across the brand while accelerating our market investment as we work towards driving higher awareness and relevance to generate brand heat.

此外，我們也對整個品牌的人才進行了投資，同時加快了市場投資，努力提高知名度和相關性，以產生品牌熱度。

We strongly believe these are the right decisions to build a solid foundation for profitable growth at Hay.

我們堅信這些是為 Hay 的獲利成長奠定堅實基礎的正確決定。

While we recognize Hau's performance this year has not yet reflected these investments and actions. Let me share a little bit more about what has given me confidence as we spoke about last quarter, we sharpen our strategy to focus on three strategic imperatives driving youth female culture and creating a hey dude, brand community filled in the core are Wally and Wendy and Addie Moore then stabilize and accelerate North America against these imperatives. We're seeing the following green shoots first. We believe the female youth culture is a key driver of influence, brand connectivity and a catalyst to build community in August. We were thrilled to announce Sydney Sweeney as our global brand ambassador and our director of dudes.

雖然我們認識到Hau今年的業績尚未反映這些投資和行動。讓我更多地分享上季度我們談到的給我信心的因素，我們強化了我們的戰略，專注於推動年輕女性文化並創建一個以 Wally 和 Wendy 為核心的品牌社區的三個戰略要務然後，艾迪·摩爾（Addie Moore）穩定並加速了北美地區的發展，以應對這些迫切需要。我們首先看到以下的萌芽。我們相信，女性青年文化是影響力、品牌連結性的關鍵驅動力，也是八月建立社群的催化劑。我們很高興宣布 Sydney Sweeney 擔任我們的全球品牌大使和男士總監。

This partnership has generated the best performing content ha has seen to date and we have plans to ignite further content with Sydney Sweeney.

這次合作產生了迄今為止最有效的內容，我們計劃與 Sydney Sweeney 合作推出更多內容。

During the quarter, we launched tiktok Shop and we've seen an excellent response, bringing a new younger consumer.

本季，我們推出了抖音商城，取得了良好的迴響，帶來了新的年輕消費者。

In fact, on select launch days, a brand emerged as the number one global key account on tiktok shop.

事實上，在特定的發布日，一個品牌成為抖音商店全球第一大客戶。

A number of tiktok followers surpassed Instagram in the quarter. Further underscoring our opportunity to reach a younger audience.

本季度，TikTok 粉絲數量超過了 Instagram。進一步強調了我們接觸年輕受眾的機會。

We were also named the official Comfort Shoe of Barstool Sports in time for our refreshed Collegiate collection.

我們也及時被命名為 Barstool Sports 的官方舒適鞋，以更新我們的 Collegiate 系列。

Second, we are focused on our icons to Wendy and Wally.

其次，我們專注於溫蒂和沃利的偶像。

Our three core offerings include stretch socks, stretch canvas, funk mama.

我們的三大核心產品包括彈性襪、彈性帆布、Funk Mama。

During the quarter, we iterated on these core offerings through our collaboration engine successfully introducing beetlejuice and spongebob to name a few in October. We announced a long term partnership with country music singer Jelly Roll.

在本季度，我們透過協作引擎迭代了這些核心產品，並在 10 月成功推出了 beetlejuice 和海綿寶寶等。我們宣布與鄉村音樂歌手 Jelly Roll 建立長期合作關係。

Our initial collab with this famed artists featured our Wally Select. We've sold out in minutes since the launch. We've seen the product show up on the secondary platforms for up to $6000.

我們與這位著名藝術家的最初合作以我們的 Wally Select 為特色。自推出以來，我們在幾分鐘內就售空了。我們已經看到該產品在二級平台上的售價高達 6000 美元。

As we discussed on our Q2 call. The Comfort is a new product innovation that is an extension of our Wendy and DNA with added cushioning and height.

正如我們在第二季電話會議中所討論的那樣。 Comfort 是一項新產品創新，是我們 Wendy 和 DNA 的延伸，增加了緩衝性和高度。

In the third quarter, we began scaling this across select global accounts as we look beyond our core, we're seeing very healthy demand signs in a women's Austin lift on a men's pool silhouette with plans to scale them in 2025 third, we're hyper focused on stabilizing the North America market to drive a sustainable foundation from which to grow.

在第三季度，我們開始在選定的全球客戶中擴大這一規模，因為我們的目光超越了我們的核心，我們看到女子奧斯汀舉重隊對男子泳池輪廓的需求非常健康，併計劃在2025 年第三季擴大規模，我們正在hyper 專注於穩定北美市場，以推動永續成長的基礎。

We streamlined our account base and are focused on building relationships across our strategic retailers similar to that of Crocs, we have worked to improve our inventory position and channel and improve ASPs across digital.

我們精簡了我們的客戶群，並專注於在我們的策略零售商之間建立類似於 Crocs 的關係，我們努力改善我們的庫存狀況和管道，並提高數位領域的平均售價。

In the third quarter, our digital ASPs were up 10% of last year and we saw improving weeks of supply across our key strategic accounts.

第三季度，我們的數位平均售價比去年成長了 10%，我們的關鍵策略客戶的供應週數有所改善。

Our premium outlet stores are performing in line with our expectations while we're encouraged by these early positive indicators. Hey, dude's recent performance and the current operating environment are signaling. It will take longer than we initially planned for the business to turn the corner.

我們的優質直銷店的表現符合我們的預期，同時我們對這些早期的正面指標感到鼓舞。嘿，老兄最近的表現和當前的經營環境正在發出信號。這項業務需要比我們最初計劃的時間更長的時間才能扭轉局面。

We continue to have confidence about the long term potential of the brand and the green shoots we are seeing give us positive reinforcement around our opportunity.

我們仍然對該品牌的長期潛力充滿信心，我們看到的萌芽為我們帶來了積極的機會。

I'm incredibly proud of the team and the urgency with which they've executed against our sharpened strategy.

我為這個團隊以及他們執行我們強化策略的緊迫感感到無比自豪。

I will now turn the call over to Susan to walk through our financials for the quarter.

我現在會把電話轉給蘇珊，讓她了解我們本季的財務狀況。

Thank you, Andrew and good morning everyone. Our third quarter results exceeded the high end of our enterprise guidance on the top and bottom line supported by a combination of better underlying operating performance. A lower than expected tax rate and lower share count for the cross brand revenues were $858 million growing 8% prior year. And channel growth was balanced with DTC and wholesale each growing 8%.

謝謝你，安德魯，大家早安。在更好的基本營運績效的支持下，我們第三季的業績超出了我們在營收和利潤方面的企業指導的上限。低於預期的稅率和較少的跨品牌收入份額數為 8.58 億美元，比上年增長 8%。通路成長與 DTC 和批發各成長 8% 保持平衡。

The growth was volume driven with units increasing 11% versus last year to a total of 32.1 million pairs of shoes sold while brand ASPs decreased 3% to $26.48.

成長是由銷量推動的，鞋履銷量比去年增加了 11%，達到 3,210 萬雙，而品牌平均售價下降了 3%，達到 26.48 美元。

ASSP. S were below last year. Tied largely to product mix and slight price erosion.

ASSP。 S 低於去年。主要與產品組合和輕微的價格侵蝕有關。

North America revenues grew 2% versus the prior year to $491 million. Growth was led by DTC which was up 4% while wholesale was down 2% underlying North American brick and mortar growth was of mid single digits.

北美地區營收較上年成長 2%，達到 4.91 億美元。成長由 DTC 帶動，成長了 4%，而批發則下降了 2%，導致北美磚瓦和砂漿成長處於中等個位數。

International revenues of $367 million grew 17% versus prior year led by DTC growth of 18% and wholesale growth of 15% in China. We saw growth in excess of 20% on top of last year's 90% plus growth rate. While our direct European markets continue to show healthy growth in the quarter led by Germany and France.

國際營收為 3.67 億美元，較上年成長 17%，其中 DTC 成長 18%，中國批發成長 15%。與去年 90% 以上的成長率相比，我們的成長率超過了 20%。而我們的直接歐洲市場在本季持續呈現健康成長，以德國和法國為首。

Turning to, hey dude revenues were $204 million down 17% from last year. Wholesale revenues were down 23% and DTC revenues were down 9%.

說到《嘿哥們》，收入為 2.04 億美元，比去年下降 17%。批發收入下降 23%，DTC 收入下降 9%。

While we did plan for wholesale declines in the third quarter, our guidance anticipated stabilization of DTC to support the strategies Andrew outlined earlier, we changed our investment strategy around performance marketing, shifting investments towards brand marketing which impacted our digital performance negatively.

雖然我們確實計劃在第三季度減少批發量，但我們的指導預計DTC 會穩定，以支持安德魯之前概述的策略，但我們改變了圍繞績效營銷的投資策略，將投資轉向品牌營銷，這對我們的數位業績產生了負面影響。

We believe we are making the right decisions for the long term health of the brand highlighted by the continued strengthening of our ASPs of 4% to $30.94 in the quarter. Concurrently, volumes were lower with 7 million pairs of shoes sold 21% below last year.

我們相信，我們正在為品牌的長期健康做出正確的決定，本季我們的平均售價持續增強，達到 4% 至 30.94 美元。同時，鞋履銷量也有所下降，共售出 700 萬雙鞋，比去年下降 21%。

Consolidated adjusted gross margin for the third quarter was 59.6%. Up 220 basis points from last year, Crocs brand adjusted gross margin was 62.5% or 40 basis points higher than prior year.

第三季綜合調整後毛利率為59.6%。 Crocs品牌調整後毛利率較去年上升220個基點，為62.5%，較去年高出40個基點。

The primary drivers of margin expansion were favorable product costs and select international price increases offset in part by channel mix.

利潤率擴張的主要驅動力是有利的產品成本和部分國際價格上漲，但通路組合在一定程度上抵消了這種影響。

Payd brand adjusted gross margin was 47.9% or 510 basis points higher than prior year driven primarily by freight, favorable channel mix and pricing overall adjusted gross margin was below expectations as the channel mix benefit was not as favorable as expected, given softer than anticipated digital trends in the quarter.

Payd 品牌調整後的毛利率為47.9%，比前一年高出510 個基點，主要是因為運費、有利的通路組合和定價，整體調整後的毛利率低於預期，因為通路組合效益不如預期，因為數位經濟疲軟本季的趨勢。

Our third quarter adjusted SG and A dollars increased 19% to prior year.

我們第三季調整後的新加坡元和澳元比去年同期成長了 19%。

Our adjusted SG and A rate was 34.2% of 510 basis points compared to prior year driven by continued investment in talent marketing, digital and retail to support long term market share gains.

與前一年相比，我們調整後的 SG 和 A 率為 34.2%，達 510 個基點，這得益於對人才行銷、數位和零售的持續投資，以支持長期市場份額的成長。

Our third quarter adjusted operating margin was 25.4% down 290 basis points from 28.3% in the prior year driven by planned investments in SGN a third quarter, adjusted diluted earnings per share increased 11% to $3.60.

受第三季計畫投資 SGN 的推動，我們第三季調整後營業利潤率為 25.4%，較上年同期的 28.3% 下降 290 個基點，調整後攤薄每股收益成長 11% 至 3.60 美元。

Our nongaap effective tax rate was 12.6%.

我們的非公認會計原則有效稅率為 12.6%。

Our lower than expected tax rate was largely tied to cash tax savings from the refinancing of our intercompany debt that occurred in the quarter.

我們低於預期的稅率很大程度與本季度公司間債務再融資所節省的現金稅有關。

Our inventory balance as of June 30th was $367 million a decline of 6% versus this time last year, both of our brands achieved inventory turns above our goal of four times on an annualized basis.

截至 6 月 30 日，我們的庫存餘額為 3.67 億美元，比去年同期下降了 6%，我們兩個品牌的庫存週轉率均高於我們的年化目標四倍。

Our liquidity position remains strong comprised of $186 million of cash and cash equivalents and $559 million of borrowing capacity on our revolver.

我們的流動性狀況依然強勁，包括 1.86 億美元的現金和現金等價物以及 5.59 億美元的左輪融資能力。

During the quarter, we repaid approximately $110 million of debt reducing borrowings to approximately $1.4 billion year-to-date. We have repaid $248 million of debt and we ended the quarter at the lower end of our long term net leverage target range of 1 to 1.5 times enabled by our best in class free cash flow generation. We also completed $151 million of share buybacks during the quarter, repurchasing 1.1 million shares at an average price of approximately $135 per share.

本季度，我們償還了約 1.1 億美元的債務，將年初至今的借款減少至約 14 億美元。我們已經償還了 2.48 億美元的債務，本季結束時，我們的長期淨槓桿目標範圍處於 1 至 1.5 倍的下限，這得益於我們一流的自由現金流產生能力。我們也在本季完成了 1.51 億美元的股票回購，以每股約 135 美元的平均價格回購了 110 萬股股票。

Year-to-date. We have completed $326 million of share buybacks, repurchasing 2.3 million shares. We currently have $549 million remaining on our share repurchase authorization.

今年迄今為止。我們已經完成了 3.26 億美元的股票回購，回購了 230 萬股股票。目前我們的股票回購授權還剩 5.49 億美元。

Now turning to 2024 guidance based on our third quarter results and the visibility we have heading into the fourth quarter. We are adjusting our full year outlook.

現在轉向基於我們第三季度業績和我們進入第四季度的可見性的 2024 年指導。我們正在調整全年展望。

Our full year enterprise revenue growth is now approximately 3% versus 3% to 5% prior assuming currency rates. As of September 30th for the Crocs brand, we are narrowing our revenue range from 7% to 9% growth to approximately 8% for. Hey dude, we are lowering our revenue range from down 8 to 10% to down approximately 14.5% based on lower than previously assumed sellouts in both wholesale and digital.

我們的全年企業收入成長現在約為 3%，而假設匯率之前為 3% 至 5%。截至 9 月 30 日，Crocs 品牌的營收成長範圍從 7% 至 9% 縮小至約 8%。嘿，夥計，我們將收入範圍從下降 8% 到 10% 降低到約 14.5%，因為批發和數字銷售量均低於先前假設的水平。

We are maintaining our guidance for consolidated adjusted operating margins of more than 25% for the year powered by our strong adjusted gross margins which we continue to plan up to prior year across the enterprise resulting in part from our lower than expected annual tax rate and incremental share repurchase in the quarter. We are raising our 2024 adjusted diluted earnings per share from $12.45 to $12.90 to the high end of our prior range at $12.82 to $12.90.

我們維持今年綜合調整後營業利潤率超過25% 的指導，這得益於我們強勁的調整後毛利率，我們繼續在整個企業範圍內計劃到上一年，部分原因是我們低於預期的年稅率和增量本季回購股份。我們將 2024 年調整後稀釋每股收益從 12.45 美元上調至 12.90 美元，上調至之前區間的上限 12.82 美元至 12.90 美元。

Consistent with our previous guidance policy. This range reflects future debt repayment but does not assume any impact from future share repurchases.

與我們先前的指導政策一致。該範圍反映了未來的債務償還，但並未假設未來股票回購的任何影響。

We are now expecting an underlying nongaap effective tax rate which approximates cash taxes paid to be approximately 16% and the GAAP effective tax rate to be approximately 21%.

我們現在預計基本非公認會計原則有效稅率約為 16%，與所支付的現金稅相近，而公認會計原則有效稅率約為 21%。

We are lowering our annual capital expenditures guidance from 100 to $110 million to 90 to $100 million tied to the cash timing of select operational projects.

我們將與選定營運項目的現金時間相關的年度資本支出指引從 1 億至 1.1 億美元降低至 90 至 1 億美元。

Turning to our guidance for Q4, we expect consolidated revenues to be in the range of flat to up slightly at currency rates. As of September 30th, we expect the Crocs brand to grow approximately 2% led by double digit international growth. Our fourth quarter international growth rate is below our year-to-date growth rate based on one a more cautious consumer in China and two ongoing regulatory pressure in India which is impacting our ability to meet demand.

談到我們對第四季的指導，我們預計合併收入將按匯率計算將在持平到小幅成長的範圍內。截至 9 月 30 日，我們預計 Crocs 品牌將在兩位數的國際成長帶動下成長約 2%。我們第四季的國際成長率低於年初至今的成長率，因為中國消費者更加謹慎，以及印度持續存在的兩個監管壓力影響了我們滿足需求的能力。

Turning to North America, we expect a slightly negative fourth quarter which includes our expectations of a more choiceful consumer as well as the timing of wholesale shipments between quarters for the second half. North America is expected to be flat to prior year. In line with our previous expectations. We expect Q4 DTC to remain positive for hay. Dude, we expect revenue to be down between four and 6% in the quarter below the former implied range of up low to mid 10s the largest driver of our lower revenue outlook is tied to lower than expected sellouts on both digital and wholesale.

談到北美，我們預計第四季度將略有下滑，這包括我們對消費者更加挑剔的預期以及下半年各季度之間批發發貨的時間表。北美地區預計與去年持平。符合我們之前的預期。我們預計第四季度乾草 DTC 仍將保持樂觀。夥計，我們預計本季收入將下降 4% 至 6%，低於先前暗示的 10 % 左右的範圍，我們收入前景較低的最大驅動因素與數位和批發銷售低於預期有關。

Our assumptions around our non comp drivers including our retail stores and our international distributor sell ins are in line with our former forecast.

我們對非競爭驅動因素（包括零售店和國際經銷商銷售）的假設與我們先前的預測一致。

Adjusted gross margins are expected to be up for the enterprise with Crocs brand up slightly and hay to slightly down versus prior year.

預計該企業調整後的毛利率將有所上升，其中 Crocs 品牌與前一年相比略有上升，而乾草品牌則略有下降。

We expect adjusted SG and A spend to be in the high teen range in Q4 and adjusted operating margin to be approximately 19.5% adjusted diluted earnings per share is expected to be between $2.20 to $2.28.

我們預計第四季度調整後的 SG 和 A 支出將在高青少年範圍內，調整後的營業利潤率約為 19.5%，調整後的攤薄每股收益預計將在 2.20 美元至 2.28 美元之間。

Well, we are not guiding to 2025 yet. I want to provide some preliminary shaping for your models based on the visibility we have thus far for Crocs. We expect revenue growth in 2025 to be led by international. As a reminder, we will be negatively impacted by the timing of Easter moving back into Q2. This will have an outsized impact to our North America region in the first quarter. In addition to laughing leap year for, hey dude, next year is about brand stabilization. As Andrew shared, we are seeing green shoots around the brand receptivity from a broadening group of consumers. But note that financial results will lag the marketing momentum we are currently seeing with the visibility we have into 2025 we expect the first quarter to be sequentially down from the fourth quarter tied to wholesale in 2025. We plan to continue to invest behind talent marketing, digital and retail in order to create sustainable long term growth which will put incremental pressure on our ebit margin rate versus 2024.

嗯，我們還沒有製定 2025 年的指導方針。我想根據迄今為止 Crocs 的知名度為您的模型提供一些初步的塑造。我們預計 2025 年的營收成長將由國際市場主導。提醒一下，我們將因復活節回到第二季的時間而受到負面影響。這將對我們第一季的北美地區產生巨大影響。除了歡笑閏年之外，嘿夥計，明年也是品牌穩定的一年。正如安德魯所分享的，我們看到越來越多的消費者群體對品牌的接受度出現了萌芽。但請注意，財務表現將落後於我們目前看到的行銷勢頭，從我們對2025 年的可見度來看，我們預計2025 年第一季將比第四季連續下降，與批發相關。於人才行銷，數位化和零售業的發展，以創造可持續的長期成長，這將給我們的息稅前利潤率（與 2024 年相比）帶來更大的壓力。

In closing, we are making near term decisions that we believe are in the best long term interests of the company and our shareholders and we will continue to focus on what our company does best, delivering growth with industry leading margins that generate significant free cash flow.

最後，我們正在做出短期決策，我們認為這些決策符合公司和股東的最佳長期利益，我們將繼續專注於我們公司最擅長的領域，以行業領先的利潤率實現成長，從而產生大量的自由現金流。

I will now turn the call back over to Andrew for his final thoughts.

我現在將把電話轉回給安德魯，詢問他的最後想法。

Thank you, Susan. Our company's initiatives remain consistent and we'll focus on three primary levers to fuel durable long term growth.

謝謝你，蘇珊。我們公司的舉措保持一致，我們將重點放在三個主要槓桿來推動持久的長期成長。

One ignite our icons across both brands to drive awareness and global relevance for new and existing consumers. Two drive market share gains across our tier one markets through strategic investment behind talent, marketing, digital and retail. And three attract new consumers to our brands through methodically diversifying our product range and usage occasions.

其中一個點燃了我們兩個品牌的標誌，以提高新舊消費者的認知度和全球相關性。其中兩個透過人才、行銷、數位和零售方面的策略投資推動了我們一級市場的市場份額成長。第三是透過有條不紊地多樣化我們的產品範圍和使用場合，吸引新消費者加入我們的品牌。

At this time, we'll open the call for questions.

此時，我們將開放提問。

(Operator Instructions) Jonathan Komp with baird.

（操作員指示）Jonathan Komp 和 baird。

Yeah, hi, good morning. Thank you. I'll I'll stick with one topic here. I I want to ask about Crocs, North America. Could you just give a little more detail? Susan, I know you mentioned a shift in Q4 on wholesale but expectations for D to C to remain positive. Could you just remind us of some of the moving parts for D to C and, and, and what, what's driving the forecast and then maybe a bigger picture question as we look forward into 2025. What, what role will North America play in the total Crocs that look for 2025? And what are some of the, the drivers that you see, Andrew?

是的，嗨，早安。謝謝。我會在這裡堅持一個主題。我想問一下北美的 Crocs 的情況。能提供更多細節嗎？蘇珊，我知道您提到了第四季度批發業的轉變，但對 D 到 C 的預期仍保持樂觀。您能否提醒我們 D 到 C 的一些變化因素以及什麼因素推動了預測，然後可能是我們展望 2025 年時更大的問題。安德魯，你看到的司機有哪些？

Right? So let's do it in that order, Jonathan Susan will kind of give you the mechanics around the remainder of this year and I'll touch on the bigger picture.

正確的？因此，讓我們按照這個順序進行，喬納森·蘇珊（Jonathan Susan）將向您介紹今年剩餘時間的機制，我將談論更大的前景。

Great, thanks John. When we think about North America, we are unchanged in our expectation that North America will be flat for the second half and we were really pleased with the underlying performance in the third quarter of the Crocs brand in North America.

太好了，謝謝約翰。當我們考慮北美時，我們對北美下半年將持平的預期沒有改變，我們對 Crocs 品牌在北美第三季的基本表現感到非常滿意。

But for the full back half, our expectations are unchanged. So by channel fourth quarter, DC is expected to be positive offset by wholesale, which is planned down as retailers took product earlier in Q3 than we planned. And overall, we're mindful of current consumer shopping patterns as well as macro headwinds in the fourth quarter and we're taking a prudent approach.

但對於後衛，我們的期望並沒有改變。因此，到第四季度管道，DC 預計將被批發所抵消，由於零售商在第三季度比我們計劃更早購買產品，批發計劃被減少。總的來說，我們注意到當前的消費者購物模式以及第四季的宏觀阻力，我們正在採取謹慎的態度。

Yeah. So if we step back to the big picture, so North America this year, based on all the guidance we provided for the fourth quarter will grow about 2.5% for the year. And so what role does this play within our overall business? So the North American business as we look at it is a well manned stable business, it's highly profitable, it's cash generative and it really is obviously a large business, you know, the absolute size of it. So it generates the income, the cash flow that we can use to fund. One is the international growth for crops, but also some of the investments we're making in ha dude, it's balanced across channels. So we have a wholesale business, we have a retail business, we have a digital business. We've made some strategic shifts over the past year within digital, going more to three P. On our Amazon platform, we think that's been highly productive and we think that will be attractive in the future. So, and we kind of think about the business as really being very well positioned to continue the role that it's playing today. We're confident that over the short to the longer term, we'll be able to grow the business modestly. And and it plays a very important role in our overall portfolio.

是的。因此，如果我們回到大局，那麼根據我們為第四季度提供的所有指導，今年北美地區全年將成長約 2.5%。那麼這在我們的整體業務中扮演什麼角色呢？因此，我們所看到的北美業務是一個管理良好、穩定的業務，利潤很高，能夠產生現金，而且它確實是一個很大的業務，你知道，它的絕對規模。因此它會產生收入，也就是我們可以用來資助的現金流。一是農作物的國際成長，還有我們在哈哥德進行的一些投資，它是跨渠道平衡的。所以我們有批發業務，我們有零售業務，我們有數位業務。在過去的一年裡，我們在數位領域做出了一些策略轉變，更多地轉向了 3P。因此，我們認為該業務確實處於非常有利的位置，可以繼續發揮其今天所扮演的角色。我們相信，從短期到長期來看，我們將能夠適度發展業務。它在我們的整體投資組合中發揮著非常重要的作用。

Great, that's helpful. Thank you.

太好了，很有幫助。謝謝。

Jim Duffy, Stifel.

吉姆·達菲，斯蒂菲爾。

Thank you. Good morning multipart question on, hey, dude, first, you mentioned streamlining the account base for, hey, can you elaborate on those distribution actions? And then I'm hoping you can speak to ha brand operating profitability and your willingness to continue to invest against profitability to strive for brand inflection?

謝謝。早安，關於多個部分的問題，嘿，夥計，首先，您提到簡化帳戶基礎，嘿，您能詳細說明一下這些分發操作嗎？然後我希望您能談談哈品牌的營運獲利能力以及您是否願意繼續針對獲利能力進行投資以爭取品牌轉折點？

Okay, great. So, so from an account based perspective, we really talked about this almost a year ago now where we cut off some of the smaller customers to really focus back on the large National Strategic Accounts or alliance partners as we call them, where we want to make sure that we have adequate segmentation and differentiation and we can grow with a broad base of accounts.

好的，太好了。因此，從基於客戶的角度來看，我們幾乎一年前就真正討論過這個問題，我們切斷了一些較小的客戶，真正專注於大型國家戰略客戶或我們所說的聯盟合作夥伴，我們希望確保我們有足夠的細分和差異化，並且我們可以透過廣泛的客戶基礎來成長。

We do, we do keep a lot of what we call kind of smaller, more strategic well positioned or regional customers, we think are important in terms of reaching select consumers and also giving a broader consumer base, some some attractive points of distribution. So that that has happened probably almost a year ago at this point.

我們確實保留了許多我們所說的規模較小、更具策略性、定位良好或區域性的客戶，我們認為這對於接觸特定消費者並提供更廣泛的消費者基礎和一些有吸引力的分銷點而言很重要。所以這可能已經發生在大約一年前的這個時候了。

So we feel really good with where we are from an account based perspective in terms of profitability. There's a couple of key drivers there as we think about the future one is gross margin. You've seen us start to elevate gross margins from a low in 23 to, you know, some substantial improvements in 24. You know, based on some of the infrastructure investments we've made, based on some pricing decisions we've made that have impacted gross margin in the past. We think long term gross margin is around.

因此，從基於客戶的角度來看，我們對獲利能力的現狀感到非常滿意。當我們考慮未來時，有幾個關鍵驅動因素，其中一個是毛利率。你已經看到我們開始將毛利率從 23 年的低點提高到 24 年的一些實質性改善。了毛利率。我們認為長期毛利率就在附近。

We're not going to get there in the next couple of quarters, but that's in the midterm. We think that's a very strong place for a brand to be. And then, you know, obviously we're investing substantially in SG and A. So we're investing at an elevated rate in terms of marketing. You saw a lot of the activities, we talked about them on our prepared remarks.

我們不會在接下來的幾個季度內實現這一目標，但那是在中期。我們認為這對一個品牌來說是一個非常強大的地方。然後，你知道，顯然我們在 SG 和 A 方面進行了大量投資。你們看到了很多活動，我們在準備好的發言中討論了它們。

I think you've seen them in the on social media and in the press, especially in this quarter, we're investing in marketing to engage a younger consumer to pivot to a more female oriented consumer and also to create broad awareness for the brand. We're also making SG and a investments to fuel growth both in our outlet stores that we've opened this year in North America and also preparing for our international growth.

我想你已經在社群媒體和媒體上看到了它們，特別是在本季度，我們正在投資行銷以吸引年輕消費者轉向更以女性為導向的消費者，並為品牌創造廣泛的知名度。我們還進行了SG和投資，以推動我們今年在北美開設的直銷店的成長，並為我們的國際成長做準備。

So, you know, I think what this tells you is that, you know, we're supremely confident in the long term growth potential of, hey dude, we're prepared to make these investments, we're confident they will pay off and frankly, you know, the broader financial profile of the Crocs Inc business allows us to do this and we think they are prudent investments that will pay off for shareholders in the medium to long term.

所以，你知道，我認為這告訴你的是，你知道，我們對長期增長潛力非常有信心，嘿夥計，我們準備進行這些投資，我們相信它們會得到回報坦率地說，你知道，Crocs Inc 業務更廣泛的財務狀況使我們能夠做到這一點，我們認為這是謹慎的投資，將在中長期為股東帶來回報。

Okay. Just to follow up on that Andrew in the context of valuing croc sync, many people are looking at the contribution of the Crocs brand profitability and trying to isolate that for valuation purposes. And so additional perspective on the ha brand profitability would, you know, I think help people get to that assessment of the size of the different profit pools.

好的。為了在評估 croc 同步的背景下跟進安德魯，許多人都在關注 Crocs 品牌盈利能力的貢獻，並試圖將其隔離以用於估值目的。因此，我認為對 ha 品牌獲利能力的額外視角將有助於人們評估不同利潤池的規模。

Yeah, I mean, I guess I would encourage our investors to look at the totality, right? So a total company is highly profitable, highly cash generative. And you know, as you kind of think about investing in the company, I would encourage people to, to look at the totality and look at the you know, future potential of those cash flow streams and the optionality that provides us to continue to deleverage and reduce risk within the company, but also return cash to shareholders in a sustainable basis. I think that's a pretty good investment profile.

是的，我的意思是，我想我會鼓勵我們的投資者關注整體，對吧？因此，一家完整的公司是高利潤、高現金產出的。你知道，當你考慮投資公司時，我會鼓勵人們審視整體，審視這些現金流的未來潛力，以及為我們提供繼續去槓桿化的選擇性。現金。我認為這是一個相當不錯的投資概況。

And then with the outlook for ha have you at all tempered the SG and a investment plans.

然後，根據哈的前景，您是否已經調整了SG和投資計劃。

I would say no, we haven't. We we, I go back to what I said sort of in my first answer, we're extremely confident around the mid to long term potential of the brand. And as we analyze each of the investments we're making, we feel that they will provide a very strong return.

我會說不，我們沒有。我們，我回到我在第一個答案中所說的，我們對該品牌的中長期潛力非常有信心。當我們分析我們正在進行的每項投資時，我們認為它們將提供非常豐厚的回報。

Adrienne Yih, Barclays.

艾德麗安‧易 (Adrienne Yih)，巴克萊銀行。

Yes, great. Thank you very much, Andrew. You talked about sort of the back to school season being kind of back to, you know, the highs are high and the lows are kind of, I guess a choppy background. I'm wondering if you can sort of talk about how you operate in that environment, how you think the retail channel partners are kind of managing through that. And if you think that we're pulling up some sales for holiday and then my last question is how long does it take for the cell, the cell through to work through itself? Do you think that you're having? Oh, well, you have the spring water book some futures. Can you give us some color on that? Thank you very much.

是的，太好了。非常感謝你，安德魯。你談到了重返校園的季節，你知道，高潮是高點，低潮是某種，我想是個波濤洶湧的背景。我想知道您是否可以談談您在這種環境下的運作方式，以及您認為零售通路合作夥伴如何進行管理。如果你認為我們會在假期期間提高一些銷售額，那麼我的最後一個問題是，細胞需要多長時間才能恢復正常？你認為你有嗎？哦，好吧，你有泉水預定一些期貨。你能為我們提供一些資訊嗎？非常感謝。

Yes.

是的。

Yeah, I suspect, you know, you've heard others talk about this and you'll probably as our retail partners report in a week or so a month or so, you'll hear a lot more about this. But look, I do think the consumers return to a more traditional shopping pattern. You know, we kind of say it's kind of prepandemic. They're, they're going to shop when they need it, they're going to shop at key events, whether they be holidays or promotional and in some cases, they need a little extra incentive to, to transact. So I think that's what we were familiar with before we got into the sort of lack of supply, oversupply components of the pandemic. I think they're back there. They've been getting back there over the last kind of year or so. We're anticipating that into the fourth quarter and I think, you know, our retail partners, certainly in this country are pretty adept. I mean, they're highly sophisticated. They, they're seeing this happen, they have probably more data than we do to really understand this. So I think they're pretty adept and they're, and they're transitioning pretty quickly and I think they'll do a good job.

是的，我懷疑，你知道，你已經聽過其他人談論過這個問題，並且你可能會在我們的零售合作夥伴報告的一周左右或一個月左右的時間內聽到更多有關此問題的信息。但看，我確實認為消費者回歸了更傳統的購物模式。你知道，我們可以說這是大流行前的情況。他們會在需要時購物，他們會在重要活動時購物，無論是假期還是促銷，在某些情況下，他們需要一點額外的激勵來進行交易。所以我認為，這就是我們在陷入大流行的供應短缺、供應過剩之前所熟悉的情況。我想他們又回到那裡了。他們在過去一年左右的時間裡又回到了那裡。我們預計第四季會出現這種情況，我認為，我們在這個國家的零售合作夥伴肯定非常擅長。我的意思是，它們非常複雜。他們，他們看到了這種情況的發生，他們可能擁有比我們更多的數據來真正理解這一點。所以我認為他們非常熟練，而且他們轉型得很快，我認為他們會做得很好。

And in terms of order books, you know, we're pretty prudent. We try and make sure our order books are very much lined up with expected sell out. We think the timing of that sell out is a little bit shifted, but we try to calculate the aggregate sell out. We don't want excess inventories in the market.

在訂單方面，我們非常謹慎。我們努力確保我們的訂單與預期的銷售情況非常一致。我們認為售空的時間有點改變，但我們嘗試計算總售空量。我們不希望市場上出現過多的庫存。

And I think we're on top of that for Crocs as we've talked about from a ha perspective, we have had access inventories in the market and we've been aggressively trying to work those down this year and we've made, you know, good progress, but frankly, not quite all the progress we want to make.

我認為我們對 Crocs 來說是最重要的，因為我們從哈哈的角度討論過，我們已經獲得了市場上的庫存，我們今年一直在積極努力減少這些庫存，我們已經做到了，你知道，進展不錯，但坦白說，這還不是我們想要取得的全部進展。

Great. Thank you very much and best of luck.

偉大的。非常感謝您，祝您好運。

Chris Nardone with Bank of America.

美國銀行的克里斯‧納爾多內 (Chris Nardone)。

Thank you guys. Good morning. Can you just elaborate a little bit more on your confidence in growing your Crocs North America direct to consumer business in the fourth quarter, maybe based on what you're seeing quarter to date, then switching your Amazon business to a three P model. I think you fully lap that. Now, can you just elaborate on the rationale, rationale around doing that and just how you view your Amazon business relative to like your Crocs dotcom business? Thank you.

謝謝你們。早安.您能否再詳細說明您對在第四季度發展 Crocs North America 直接面向消費者業務的信心，也許是基於您迄今為止所看到的情況，然後將您的亞馬遜業務轉變為 3P 模式。我想你完全同意這一點。現在，您能否詳細說明這樣做的理由、這樣做的理由以及您如何看待您的亞馬遜業務相對於您的 Crocs 網路業務？謝謝。

Yeah, I would say that's a hard question to answer Chris. So I look, I think all the plans that we put in place for our crocs, North America DTC business, we feel great about it, right? We feel great about the product line that we feel great about our holiday planning. We feel great about our back end logistics, et cetera. But, you know, you know, growing that business and comp is based on all those things going well. And so, you know, our product lineup and marketing, so we feel we feel really good about it. I would say that's a combination of obviously our, our stores which are, you know, predominantly premium outlet stores. It's a combination of our dotcom business and also a marketplace business.

是的，我想說這是一個很難回答的問題，克里斯。所以我看，我認為我們為 crocs、北美 DTC 業務制定的所有計劃，我們都感覺很棒，對吧？我們對產品線感覺很棒，我們對我們的假期計劃也感覺很棒。我們對後端物流等感覺很好。但是，你知道，你知道，業務和薪酬的成長是基於所有這些事情的順利進行。所以，你知道，我們的產品陣容和行銷，所以我們感覺非常好。我想說，這顯然是我們的商店的組合，你知道，這些商店主要是優質直銷店。它是我們的網路業務和市場業務的結合。

And so, you know, we feel really good about it and, you know, fingers crossed, everything will play out how we think it's going to play out but, you know, but there obviously is some uncertainty there and I would also say we kind of try to plan it prudently as well. We've got backup plans for. If things don't go 100% to our expectations. Big picture on Amazon, I would say, look, Amazon's a, you know, a super important customer. We're a broad democratic brand. We want to reach our consumers where they are. They're clearly on Amazon, they start a lot of their shopping on Amazon. Their initial search is on Amazon when they're looking for, you know, a pair of crocs, but also many other things. And from a, from a participating on that very important marketplace, both here in North America and other parts around the world, you know, we think this is an opportunity for us to have, you know, more emphasis in our brand, a little bit better control of the products that we bring to market, et cetera. And so we're like in the transition, we think is productive and, and I think the consumer is enjoying it too.

所以，你知道，我們對此感覺非常好，並且，你知道，一切都會按照我們的想法進行，但是，你知道，但顯然存在一些不確定性，我也想說我們也嘗試謹慎地計劃。我們有備用計劃。如果事情沒有 100% 達到我們的期望。亞馬遜的大局，我想說，看，亞馬遜是一個，你知道的，一個超級重要的客戶。我們是一個廣泛的民主品牌。我們希望接觸到消費者所在的地方。他們顯然在亞馬遜上，他們開始在亞馬遜上購物。他們最初的搜尋是在亞馬遜上尋找，你知道，一雙鱷魚皮鞋，但也有很多其他東西。從參與北美和世界其他地區這個非常重要的市場來看，我們認為這是一個機會，讓我們更加重視我們的品牌，一點點更好地控制我們推向市場的產品等等。所以我們就像在轉型中一樣，我們認為這是富有成效的，而且我認為消費者也很享受它。

Thanks Andrew and just one quick follow up on the operating margin outlook. I think you mentioned it should be a little bit lower next year. I just wanted to hear your rationale about balancing investment spend to grow both of these brands for the long term, but also trying to maintain an operating margin, you know, around the mid 20% range and close to your longer term, 26% plus target.

感謝安德魯，以及對營業利潤率前景的快速跟進。我想你提到明年應該會低一點。我只是想聽聽您關於平衡投資支出以長期發展這兩個品牌的理由，但同時也試圖保持營業利潤率，您知道，大約在 20% 左右，接近您的長期目標，即 26% 以上目標。

Yeah, so I can take that one.

是的，所以我可以接受那個。

You know, this is we're really planning on continuing to invest. We see revenue generating opportunities for both brands. And we look as Andrew said, we are very disciplined about what we see the return on investment. And when we see these opportunities, we're investing 2024 has been an investment year. We're very early in the planning process for next year, but we're going to continue to invest behind talent, marketing, digital, and retail. And as we said, that's going to put incremental pressure on our ebit margin rate versus 2024. And we'll give you more guidance about 2025 on our fourth quarter call.

你知道，這是我們真正計劃繼續投資的。我們看到這兩個品牌都有創收機會。正如安德魯所說，我們對投資回報非常嚴格。當我們看到這些機會時，我們就會進行投資，2024 年是一個投資年。我們很早就開始了明年的規劃，但我們將繼續在人才、行銷、數位和零售方面進行投資。正如我們所說，與 2024 年相比，這將為我們的息稅前利潤率帶來增量壓力。

Yeah, and I would say, you know, big picture Chris, you know, look, I would say, you know, mid 20s, I think we will be above 25% according to our guidance for this year. We've been significantly above that in recent years. These are extraordinary levels of profitability. If you look at our competitive base, there are very few players that come close, nobody is above. So, you know, we've got to balance maintaining high levels of profitability and cash flow generation which obviously underpin our, you know, overall, you know, valuation with actually investing in, you know, attractive mid to long term growth opportunities and you know, we'll toggle backwards and forwards between us.

是的，我會說，你知道，大局克里斯，你知道，看，我會說，你知道，20 多歲，我認為根據今年的指導，我們將超過 25%。近年來我們的表現已經明顯高於這個水準。這些都是非凡的獲利水準。如果你看看我們的競爭基礎，你會發現很少球員能夠接近，沒有人能夠超越。所以，你知道，我們必須平衡維持高水平的盈利能力和現金流生成，這顯然支撐著我們的整體估值，與實際投資有吸引力的中長期增長機會和你知道，我們會在我們之間來回切換。

Thank you. Good luck.

謝謝。祝你好運。

Bob Drbul, Guggenheim Securities.

鮑勃‧德布爾，古根漢證券公司。

Hi, good morning. Two questions. Actually, the first one is, can you talk about the change in the investment marketing strategy for? Hey, dude in the quarter and what Kpis you are seeing? And the second question is, can you just clarify for crocs for North America, do you expect growth in North America market for 2025?

嗨，早安。兩個問題。其實第一個是，您能談談投資行銷策略的改變嗎？嘿，這個季度的伙計，你看到了什麼 Kpi？第二個問題是，您能否澄清一下 crocs 在北美的情況，您預期 2025 年北美市場會成長嗎？

Okay. Two different questions. So the first one actually is a super important question, Bob Glad you asked it. So, one of the key decisions that we made in the third quarter is we pulled back on performance marketing for the Hay brand. As we've looked at the, the, the sort of multiyear trajectory level of performance marketing had been creeping up. I would say the marginal roiss were still positive but they were not where we wanted them to be and we wanted to push more of a marketing investment into the brand and into the long term future of the brand. And so we made a pretty distinct pullback in performance marketing. So that's a dollars Google search or all of those kind of things that you can, you can spend money on, on a short term basis, you can measure the returns.

好的。兩個不同的問題。所以第一個問題其實是一個非常重要的問題，鮑伯很高興你問了它。因此，我們在第三季做出的關鍵決定之一是取消 Hay 品牌的效果行銷。正如我們所看到的，績效行銷的多年軌跡水準一直在攀升。我想說，邊際收益仍然是正面的，但它們沒有達到我們想要的水平，我們希望將更多的行銷投資推向品牌和品牌的長期未來。因此，我們在效果行銷方面做出了相當明顯的縮減。所以這是一美元的谷歌搜尋或所有你可以花錢的東西，你可以在短期內花錢，你可以衡量回報。

But if your marginal return dips to a level that you don't really feel comfortable with, so we pull back on that and then we use that money to fund Sydney Sweeney Jellyroll Barstool Sports, some of the tiktok activations that we've been doing starting at the tiktok shop. And we think that will be much more attractive from a brand return and investment perspective over the long term that has had a short term impact is probably the biggest explanation for our miss in Q3 from a hay revenue perspective. And also the biggest explanation for the reduction in the Q4 guide for ha, that's the biggest dollar change. And we think it's the right thing to do in the long term.

但如果你的邊際回報下降到你不太舒服的水平，那麼我們就會收回這一點，然後用這筆錢資助 Sydney Sweeney Jellyroll Barstool Sports，這是我們一直在做的一些抖音活動從抖音商店開始。我們認為，從品牌回報和長期投資的角度來看，這將更具吸引力，這會產生短期影響，這可能是從乾草收入角度來看我們第三季業績不佳的最大解釋。這也是對哈第四季指南減少的最大解釋，這是最大的美元變化。我們認為從長遠來看這是正確的做法。

And then your question on Crocs, I think there was a clarification on North American. Yeah, we think we will grow, you know, modestly slightly for North America Crocs in 2025. That is our current plan, but I would say the real value creator and the value driver for Crocs is that international growth you've seen that come through for the last, you know, two years and we can and we are very confident that we will continue into 2025.

然後你關於 Crocs 的問題，我認為北美方面已經做出了澄清。是的，我們認為到 2025 年，北美 Crocs 的業務將會略有增長。在的兩年裡，我們可以做到，我們非常有信心我們將繼續到2025 年。

Thank you.

謝謝。

Rick Patel, Raymond James.

瑞克·帕特爾，雷蒙德·詹姆斯。

Hi. Sorry about that. Thank you. Good morning. I was hoping you can expand upon what you just ended with in terms of Crocs International growth potential in 2025. So given the slowdown that you're seeing in China that you expect to continue. How should we think about the building blocks of growth next year, in which market you have the most confidence in to do the heavy lifting?

你好。對此感到抱歉。謝謝。早安.我希望您能進一步闡述 Crocs International 在 2025 年的成長潛力。我們該如何思考明年成長的基石，您最有信心在哪個市場承擔重任？

Yeah. So thank you, Rick. So what I would say is we've definitely seen a slow down in China, but I would point out we are still growing in China and we still intend to grow in China next year, right? So if not the 80 90% growth that we saw in 23 we grew 20 plus percent growth in Q2, sorry Q3 that we just reported. But we do intend to continue to grow in China, really underpinned by a lot of the mono brand store openings that we've done in China. So we've grown our digital business successfully. We've opened some select retail stores, we operate ourselves and we also work with a range of brand partners who open monobrand stores. I think we've opened by the end of the year, we'll have close to 400 mono brand stores and we've opened in excess of 150 stores year-to-date obviously, as those have grown open through the year that will provide growth for next year. As well as we think our positioning in the marketplace, our accessible price points, personalization comfort etc is going to be a competitive positioning. So we will grow in China. In addition to China, I think we're confident around India, we have, I think a very attractive business model in India that has been impeded recently. With the Bis, if everybody knows what that is, that's the Indian government imposing some restrictions associated with, you need to make your products. In India, we will have production up and running for both Crocs and Hayden in India next year, it started this year, but it will reach its reach enough supply to fund the market next year. So we're confident about India. We've talked quite a bit about how our key direct markets in Western Europe continue to be successful. Germany and France, we anticipate that continuing.

是的。所以謝謝你，瑞克。所以我想說的是，我們肯定看到了中國的成長放緩，但我要指出的是，我們仍在中國成長，我們仍然打算明年在中國成長，對嗎？因此，如果不是我們在 23 年看到的 80% 90% 的成長，我們在第二季的成長將達到 20% 以上，對不起，我們剛剛報告的第三季。但我們確實打算繼續在中國發展，這確實得益於我們在中國開設的許多單一品牌商店。因此，我們成功地發展了我們的數位業務。我們開設了一些精選零售店，我們自己經營，我們也與一系列開設單一品牌商店的品牌合作夥伴合作。我想我們到今年年底就已經開業了，我們將擁有近 400 家單一品牌商店，而且今年迄今為止我們已經開設了超過 150 家商店，因為這些商店在這一年裡不斷增加，為明年提供增長。我們認為我們在市場中的定位、我們的平易近人的價格點、個人化舒適度等都將成為具有競爭力的定位。所以我們會在中國成長。除了中國之外，我認為我們對印度充滿信心，我認為印度有一個非常有吸引力的商業模式，但最近受到了阻礙。對於 Bis，如果每個人都知道那是什麼，那就是印度政府施加了一些相關限制，你需要生產你的產品。在印度，我們將於明年開始生產 Crocs 和 Hayden 的產品並投入運營，但明年將達到足夠的供應量來為市場提供資金。所以我們對印度充滿信心。我們已經多次討論了我們在西歐的主要直接市場如何繼續取得成功。德國和法國，我們預計這種情況會持續下去。

So those are some of the key drivers. We've had great success in Australia for the last couple of years. We see that as probably a little bit more stable for the next couple of years, but that's obviously attractive business as is South Korea, I would say to be Frank Japan remains a work in progress. We're focused on kind of resetting the business and focusing on the classic clog and personalization in that market with evidence that is starting to get traction, but that obviously is a very big market with big long term potential. So I think there are plenty of growth, growth engines to support our international aspirations from a product perspective.

這些是一些關鍵驅動因素。過去幾年我們在澳洲取得了巨大的成功。我們認為未來幾年可能會更加穩定，但這顯然是有吸引力的業務，就像韓國一樣，我想說弗蘭克日本仍然是一項正在進行的工作。我們專注於重新調整業務，並專注於該市場中的經典木鞋和個性化，有證據表明，這已開始受到關注，但這顯然是一個非常大的市場，具有巨大的長期潛力。因此，我認為從產品的角度來看，有許多成長、成長引擎可以支持我們的國際化願望。

Thank you very much.

非常感謝。

Thank you.

謝謝。

The next question comes from SAM Poser with Williams trading. Please go ahead.

下一個問題來自 SAM Poser 和 Williams 交易。請繼續。

Good morning. Thank you for taking my questions. So let's can we talk about Hey, dude. And I mean, I Andrew you, you, you, you reiterate your confidence in it, I guess my question is what, what, how, how did this all evolve or, and what, what, what, what happened different than what you thought was going to happen that was under your control, that you have to fix and how long and what are, what specifically other than switching marketing and cleaning up are you doing to, to sort of start driving sales again? It looks to me like you have some good stuff going on as far as partners and so on, but the consumer is not responding and that's not, you know, let's take macro out of the picture, let's say what's under your control.

早安.感謝您回答我的問題。那我們可以談談嘿，夥計。我的意思是，我安德魯你，你，你，你重申你對此的信心，我想我的問題是什麼，什麼，如何，這一切是如何演變的，或者，以及什麼，什麼，什麼，發生什麼與你不同的事情想法將要發生，這是在你的控制之下，你必須解決，需要多長時間，什麼是，除了改變營銷和清理之外，你具體做了什麼，以再次開始推動銷售？在我看來，就合作夥伴等而言，你正在做一些好事，但消費者沒有做出回應，這不是，你知道，讓我們把宏觀因素排除在外，讓我們說一下你可以控制什麼。

Okay.

好的。

So, so let me start with the last part of your question, then we can go back to the first part and you can kind of just clarify it.

那麼，讓我從你問題的最後一部分開始，然後我們可以回到第一部分，你可以澄清一下。

So the last part I think is you're, you're kind of getting at what are we doing? Why do we, why do we think that will, you know, help the situation if you like? So so the things that we're doing are multipronged, right? So one is marketing which you highlighted. So I think, you know, a pretty significant pivot in the marketing agenda to engage a broader set of consumers. Drive brand awareness, drive brand relevance, pivot towards a younger female female consumer which drives culture in this country certainly. And we culture in this country drives culture and resonance in other countries around the world. That's very, very important. And I think you talked about that or you mentioned that second is I would say wholesale management. So that is reducing in market inventories working proactively with all of our alliance partners to make sure they have the right product at the right time, they have adequate differentiation. And I think we're making some good strides there but there is still work to be done.

所以我認為最後一部分是你，你有點了解我們在做什麼？如果你願意的話，為什麼我們，為什麼我們認為這會幫助解決這個問題？所以我們正在做的事情是多管齊下的，對嗎？您強調的其中之一就是行銷。所以我認為，你知道，行銷議程中一個非常重要的重點是吸引更廣泛的消費者。提高品牌知名度，提高品牌相關性，轉向年輕的女性消費者，這無疑會推動這個國家的文化。我們這個國家的文化帶動了世界其他國家的文化和共鳴。這非常非常重要。我想你談到了這一點，或者你提到了第二點，我會說批發管理。因此，這就是減少市場庫存，並積極與我們所有的聯盟夥伴合作，確保他們在正確的時間擁有正確的產品，並具有足夠的差異化。我認為我們正在這方面取得一些良好的進展，但仍有工作要做。

So I think there is there is more work to be done, but we're doing the right things and they will they will pay off in the longer term. Number three is building, I would say complementary channels of distribution, premium outlet stores. We've opened a chain of premium art stores. I think about 29 year-to-date through the end of September, we will open another 11 in the fourth quarter. There are performing well. That is a very attractive investment from our perspective and it allows the consumers that are in those centers to see the breadth of the brand. We see a much better balance in those environments between Wally and Wendy, between male and female. We also have a kids business in those environments. So we think that's a very valuable consumer exposure mechanism.

所以我認為還有更多的工作要做，但我們正在做正確的事情，從長遠來看，他們會得到回報。第三是建立互補的通路，即優質直銷店。我們開設了一系列高級藝術品連鎖店。我認為截至 9 月底，今年迄今約有 29 家，我們將在第四季再開設 11 家。有表現好的。從我們的角度來看，這是一項非常有吸引力的投資，它讓這些中心的消費者能夠看到品牌的廣度。我們發現沃利和溫蒂之間、男性和女性之間的環境有了更好的平衡。我們也在這些環境中開展兒童業務。所以我們認為這是一個非常有價值的消費者曝光機制。

Third thing is laying the groundwork for international growth. We opened up 34 direct markets, two in the quarter. So as you might remember, we're now present in the UK in Germany, India and Australia as direct markets. They are all small.

第三件事是為國際成長奠定基礎。我們開放了 34 個直接市場，其中本季開放了兩個。您可能還記得，我們​​現在在英國、德國、印度和澳洲作為直接市場開展業務。它們都很小。

And when I say present in direct market, that means we have wholesale distribution. We have a digital presence. We don't have any retail presence in those markets just too small at this stage.

當我說存在於直接市場時，這意味著我們有批發分銷。我們擁有數位化存在。我們在這些市場上沒有任何零售業務，只是現階段規模太小。

And, but I would say what we're seeing while the numbers are small and we expected them to be small is a relatively positive reception from those consumers. And that's a pretty diverse set of consumers from the UK to Germany to India, to Australia. In addition, the international business in Spain and Italy continues to perform well through a distributor. And we have a range of incremental distributors that we will ship in Q4 and Q1. Essentially, they're opening orders so they'll be starting up the business. So I would say it's the marketing, but it's building all the platforms that will enable future growth in the future growth in the future. All right, and then let's come back to what we're getting at at the beginning of your question.

而且，但我想說的是，儘管數字很小並且我們預計它們會很小，但我們所看到的是這些消費者的相對積極的接受。這是一個相當多元化的消費者群體，從英國到德國到印度，再到澳洲。此外，西班牙和義大利的國際業務透過經銷商繼續表現良好。我們有一系列增量分銷商，我們將在第四季度和第一季發貨。本質上，他們正在開訂單，這樣他們就可以開展業務。所以我想說這是行銷，但它正在建立所有平台，以實現未來的成長。好吧，然後讓我們回到問題開始時要討論的內容。

Well, I mean, and I wrote about this a long time ago at the end of fiscal '20 end of calendar 22 and the beginning of 23 shift a ton of product into the marketplace. So I guess the question is, is how overstated were the sales last year and what's the right starting point to think about and how much of just, you know, filling shelf space doing the things you did back then, sort of caused what happened now. And may, and, and should you have taken sort of a more measured growth approach? And maybe you would be ahead of where you are today and, and, and what, what decisions were made that, that you, what decisions were made that caused this and, and then, you know, you know, I know you're confident but, you know, we just lowered numbers and, you know, I don't know what next, you know, we'll see what happens next year, but I just want to get a little more meat on the bone as to, you know, what happened that was in your control versus.

嗯，我的意思是，我很久以前就在 20 財年末、日曆 22 年底和 23 年初寫過這一點，將大量產品轉移到市場上。所以我想問題是，去年的銷售額被誇大了多少，思考的正確起點是什麼，以及，你知道，填補貨架空間做你當時做的事情，在某種程度上導致了現在發生的事情。您可能、並且、應該採取某種更謹慎的成長方法嗎？也許你會領先於今天的位置，並且，以及，做出了什麼決定，你，做出了什麼決定導致了這一切，然後，你知道，你知道，我知道你是有信心，但是，你知道，我們只是降低了數字，你知道，我不知道接下來會發生什麼，你知道，我們會看看明年會發生什麼，但我只是想得到更多關於，你知道，發生的事情是在你的控制範圍之內的。

Yeah. So I think, yeah, I think so. I think you kind of said some of it. We definitely grew too fast, right. So out of the gate when we bought the brand, nobody knew how high was up. We didn't know how high was up and our customers didn't either. Right. So they were constantly out of stock and they wanted more product. We shipped more product. And I think if you think about the sort of 22 into 23 time frame, in retrospect, we absolutely shipped too much product. So if you're kind of asking what decisions were made, that were wrong, that was wrong, that was wrong, right? And then the other thing I think that we did not do well is the initial marketing activities were in effect, we spent money but they were ineffective. They were not sufficiently effective. They weren't focused on the right consumer and they weren't creating the kind of resonance and impact that we wanted. I think the third thing is the the process of integrating the brand and putting in place all of the infrastructure, whether that be D CS, whether that be systems and capabilities because it came with very little of that. We knew that, but that took us time, but it took us a little bit longer than we'd hoped. And that delayed some of the, I would say offensive investments that we're now making around stores and international.

是的。所以我想，是的，我是這樣認為的。我想你已經說了一些。我們確實成長得太快了，對吧。因此，當我們購買該品牌時，沒有人知道它的價格有多高。我們不知道有多高，我們的客戶也不知道。正確的。所以他們常常缺貨，他們想要更多的產品。我們運送了更多產品。我認為，如果你考慮一下 22 到 23 的時間範圍，回想起來，我們絕對運送了太多的產品。所以如果你想問做了什麼決定，那是錯的，那是錯的，那是錯的，對嗎？然後我認為我們做得不好的另一件事是，最初的行銷活動是有效的，我們花了錢，但沒有效果。他們的效率不夠高。他們沒有關注正確的消費者，也沒有產生我們想要的共鳴和影響。我認為第三件事是整合品牌和落實所有基礎設施的過程，無論是 DCS，無論是系統和功能，因為它幾乎沒有配備這些基礎設施。我們知道這一點，但這花了我們時間，但比我們希望的要長一些。這推遲了我們現在圍繞商店和國際市場的一些進攻性投資。

So that's taken longer than we thought.

所以這花費的時間比我們想像的還要長。

Now, that being said, you know, we bought a business that was approximately $600 million in revenue and it is now high 800 almost $900 million sorry, $800 million in revenue.

話雖這麼說，你知道，我們買了一家收入約 6 億美元的企業，現在它的收入高達 800 近 9 億美元，抱歉，收入為 8 億美元。

So it's substantially bigger. It is less profitable on an ebit percentage perspective because we've invested for what we think is the longer term growth potential, but it has been profitable all along. It's been accretive all along and has generated cash and we paid down the debt associated with the investment or paid down a lot of the debt associated with the investment. So it has not gone if that's what you're kind of trying to get at as we would have hoped and expected.

所以它要大得多。從息稅前利潤率的角度來看，它的利潤較低，因為我們投資的是我們認為的長期成長潛力，但它一直是有利可圖的。它一直在增值並產生了現金，我們償還了與投資相關的債務或償還了與投資相關的大量債務。因此，如果這就是您想要達到的目標，正如我們所希望和期望的那樣，那麼它還沒有消失。

But that doesn't change our confidence around the future, the team that we have in place, the strategies and activities that we have deployed, you know, and our willingness to support those, that team, those strategies and activities. So, you know, I just want to make sure we're super clear about that. That is what we're going to do and we're very confident that will be a positive outcome for investors.

但這並沒有改變我們對未來、我們現有的團隊、我們已經部署的策略和活動的信心，以及我們支持這些、那個團隊、那些策略和活動的意願。所以，你知道，我只是想確保我們對此非常清楚。這就是我們要做的事情，我們非常有信心這將為投資者帶來正面的結果。

The next question comes from Jay Sole with UBS. Please go ahead.

下一個問題來自瑞銀集團 (UBS) 的傑伊·索爾 (Jay Sole)。請繼續。

Great. Thank you so much, Andrew. If we could just talk about the Crocs brand, sort of big picture, obviously talking about, you know, a little bit of growth in North America next year. But beyond that, you know, what, what's the plan to drive growth? I mean, do you see an opportunity to raise brand awareness? Are there new wholesale doors you can get into? I mean, can you open it more maybe of your own storage in your direct consumer channel, new categories you can get into or market share gains in existing categories. Just just tell us how growth should trend big picture and why, you know, maybe we'll see growth accelerate beyond sort of, you know, in North America, beyond whatever rate you expect to get in 2025.

偉大的。非常感謝你，安德魯。如果我們能談談 Crocs 品牌，從整體來看，顯然是在談論明年在北美的一點成長。但除此之外，你知道，推動成長的計畫是什麼？我的意思是，您認為有機會提高品牌知名度嗎？有新的批發門可以進入嗎？我的意思是，您能否在直接消費者管道中更多地開放您自己的儲存空間、您可以進入的新類別或現有類別的市場份額收益。只要告訴我們成長應該如何發展，以及為什麼，你知道，也許我們會看到北美的成長加速，超出你預期的 2025 年的速度。

Yeah, that's a great question, Jay, I would say look in the very short term sort of the 1 to 2 year time frame. The primary growth driver for crocs will be the international business, right? I just want to make sure I reiterate that and that's a big and attractive business, right? So, you know, and that the underlying strategic issue there is that our penetration in those large international markets is a fraction of what it is here in the US. But that's not your question. Your question is what drives growth in North America? I don't think there is a huge amount of distribution growth. I think we are the places we want to be. There are other places we could go there are, you know, mass retailers that we're not represented in. I just don't think that's the right place for our brand is we want to continue to maintain, you know, a democratic but elevated positioning for a brand. So I don't think we're going to go there. We do think there is continued digital growth and development as the consumer goes more and more digital. We do think there is growth in personalization. We think there's growth in sandals. We had a nice sandal growth here in North America in 24. We think that continues into 25 and has long range potential. And we do think there's an opportunity for us to play in a broader set of, I would say silhouettes or wearing occasions. You have seen us experiment there, we will continue to experiment there. But I wouldn't say we today have a slam dunk winner in that arena. But we think we can get there over time. So for the sort of 12 to 24 month time frame, we're really thinking about North America, is that cash cow funding that international growth, while we can continue to experiment and engage our consumers in incremental growth opportunities from a silhouette and product perspective.

是的，這是一個很好的問題，傑伊，我想說的是，著眼於非常短期的情況，即 1 到 2 年的時間範圍。 crocs 的主要成長動力將是國際業務，對嗎？我只是想確保我重申這一點，這是一項大而有吸引力的業務，對吧？所以，你知道，根本的策略問題是我們在這些大型國際市場的滲透率只是美國的一小部分。但這不是你的問題。您的問題是推動北美成長的因素是什麼？我認為發行量不會有大幅成長。我認為我們就是我們想去的地方。我們還可以去其他地方，那裡有，你知道，我們沒有代表的大型零售商。所以我認為我們不會去那裡。我們確實認為，隨著消費者越來越數位化，數位化將會持續成長和發展。我們確實認為個人化有所成長。我們認為涼鞋的銷量有所成長。 24 年，我們在北美的涼鞋成長良好。我們確實認為我們有機會在更廣泛的領域發揮作用，我想說的是輪廓或穿著場合。您已經看到我們在那裡進行實驗，我們將繼續在那裡進行實驗。但我不會說我們今天在那個競技場上有一個灌籃冠軍。但我們認為隨著時間的推移我們可以實現這一目標。因此，在12 到24 個月的時間範圍內，我們真正考慮的是北美，這是為國際成長提供資金的搖錢樹，同時我們可以繼續試驗，從輪廓和產品的角度吸引我們的消費者參與增量成長機會。

That's very helpful, Andrew. Thank you.

這非常有幫助，安德魯。謝謝。

Anna Andreeva, Piper Sandler.

安娜·安德烈娃，派珀·桑德勒。

Great. Thanks so much and good morning, we wanted to follow up just on the overall profitability of the business given investments at. Hey, dude, can you guys talk about what guardrails you have in place at the consolidated level to some of these investments? Andrew? I think you mentioned 25% is the right level for the business. Are there additional opportunities at the Crocs side of things either with pricing or maybe OpEx management as we think about next year? Thanks so much.

偉大的。非常感謝，早安，我們只想跟進該公司投資的整體獲利能力。嘿，夥計，你們能談談你們在綜合層面上對其中一些投資採取了哪些防護措施嗎？安德魯？我認為您提到 25% 對於企業來說是合適的水平。正如我們明年所考慮的那樣，Crocs 方面是否還有定價或營運支出管理的其他機會？非常感謝。

Thanks for the question, Anna. This is Susan. You know, one thing I think it's really important to emphasize here is how disciplined we are about our investments. I mean, we've mentioned increasing our SG&A which we continue to plan to do into next year. But there's a lot you mentioned guardrails and KP a lot of scrutiny around making sure we're making the right investments. And as Andrew indicated in talking about, hey, dude, when we find that we need to pivot, we do that pretty readily and pretty nimbly as we did with the marketing investment on Ha Dude pivoting from performance to brand when we saw a better opportunity there. So we're super disciplined about it. But when we had, when we said we're in 2024 is an investment year and 2025 will continue to be an investment year that will be create incremental ebit margin pressure. So the 25% guidance that Andrew reiterated was for this year and next year we would expect to be below that.

謝謝你的提問，安娜。這是蘇珊。你知道，我認為這裡需要強調的一件事非常重要，那就是我們對投資的嚴格要求。我的意思是，我們已經提到增加我們的銷售及管理費用（SG&A），我們計劃明年繼續這樣做。但您提到了許多護欄和 KP 的大量審查，以確保我們做出正確的投資。正如安德魯在談論時所指出的那樣，嘿，夥計，當我們發現我們需要轉型時，我們會非常輕鬆且靈活地做到這一點，就像我們在看到更好的機會時對Ha Dude 的營銷投資從業績轉向品牌一樣那裡。所以我們對此非常自律。但當我們說 2024 年是投資年，2025 年將繼續是投資年，這將帶來增量的息稅前利潤壓力。因此，安德魯重申的 25% 指導是針對今年和明年的，我們預計會低於該水平。

Okay, I appreciate it.

好的，我很感激。

Best of luck.

祝你好運。

This concludes our question and answer session. I would like to turn the conference back over to Andrew Rees, Chief Executive Officer for any closing remarks.

我們的問答環節到此結束。我想將會議轉回執行長安德魯·里斯 (Andrew Rees) 發表閉幕詞。

I just want to conclude by thanking everybody for their continued interest in our company. We appreciate spending time with us today.

最後，我想感謝大家對我們公司的持續關注。我們很高興今天與我們共度時光。

Thank you.

謝謝。

The conference is now concluded. Thank you for attending today's presentation. You may now disconnect.

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。