Crown Crafts Inc (CRWS) 2027 Q1 法說會逐字稿

Good afternoon, everyone, and welcome to the Crown Crafts fiscal year 2027 first quarter conference call. During today's call, the company may make certain forward-looking statements, and actual results may differ materially from those expressed or implied. These statements are subject to risks and uncertainties that may be beyond Crown Crafts control, and the company is under no obligation to update these statements.

各位下午好，歡迎參加 Crown Crafts 2027 會計年度第一季財報電話會議。在今天的電話會議中，公司可能會發表若干前瞻性陳述，而實際結果可能與所表達或暗示者有重大差異。這些陳述受制於風險與不確定性，可能超出 Crown Crafts 的控制範圍，且公司無義務更新這些陳述。

For more information about the company's risk factors and other uncertainties, please refer to the company's filings with the Securities and Exchange Commission, including its annual report on Form 10-K. With that, I would now like to turn the call over to President and Chief Executive Officer, Olivia Elliott. Please go ahead.

如需了解公司風險因素及其他不確定性的更多資訊，請參閱公司向美國證券交易委員會提交的文件，包括其 Form 10-K 年度報告。接下來，我想把電話交給總裁兼執行長 Olivia Elliott。請開始。

Thank you, operator, and thank you, everyone, for joining this afternoon's call. Today, after the close, Crown Crafts reported very solid quarterly results given the still soft demand environment. We accomplished this by focusing on what we can control, and our team did a terrific job executing on our strategy. We were able to grow our net sales 8% despite the uncertainty that consumers continue to feel around high interest rates, inflation and global geopolitical events. Improved inventory levels account for most of the growth as we were able to better meet demand than during last year's tariff instability.

謝謝接線員，也謝謝各位在今天下午加入電話會議。今天收盤後，Crown Crafts 在需求環境仍偏疲弱的情況下，公布了非常穩健的季度業績。我們透過專注於可控事項來達成這一點，我們的團隊在執行策略方面表現出色。儘管消費者仍對高利率、通膨以及全球地緣政治事件感到不確定，我們仍成功將淨銷售額成長 8%。庫存水位改善是成長的主要原因，因為相較於去年關稅不穩定期間，我們更能滿足需求。

Just as important, we were able to drive a higher gross margin, both on a GAAP basis and also when adjusting for tariff refunds, as Claire will walk us through in a moment. On an adjusted basis, our gross margin for the quarter climbed nearly three full percentage points year-over-year to 25.6%. As a result, we were able to produce positive net income versus the loss reported in the prior year period. And we once again generated positive operating cash flow of nearly $5 million, similar to the March quarter.

同樣重要的是，我們也推動了更高的毛利率，無論以 GAAP 基礎計算，或在調整關稅退稅後皆然，Claire 稍後會為大家說明。以調整後口徑計算，本季毛利率年增近 3 個百分點至 25.6%。因此，我們得以實現正的淨利，扭轉去年同期的虧損。此外，我們再次產生接近 500 萬美元的正營運現金流，與 3 月季度相近。

Combined with the significant reduction in our debt balance during the quarter, our balance sheet is significantly strengthened. As we mentioned on our last call, during the June quarter, we relaunched Manhattan Toy brand's Groovy Girls. I'm pleased to say that so far, sales of this iconic line of fashion dolls has exceeded our expectations, largely driven by the Canadian market. And we believe this bodes well for continued success of this retro-inspired beloved brand.

再加上本季大幅降低債務餘額，我們的資產負債表顯著強化。如同我們在上次電話會議提到的，在 6 月季度，我們重新推出 Manhattan Toy 品牌的 Groovy Girls。我很高興地表示，截至目前，這條經典時尚娃娃產品線的銷售超出我們預期，主要由加拿大市場帶動。我們相信，這對這個復古靈感、深受喜愛的品牌持續成功是個好兆頭。

Next, I'll provide an update on our strategic initiatives to grow both our top and bottom line. A top priority is our ongoing innovative internal product development to expand our product offerings. Another initiative is to build on our recent margin expansion to further drive profitability. From moving towards a favorable mix of higher-margin products and, of course, our relentless spending discipline. We're also striving to consolidate certain internal operations for greater efficiency, reduce our debt levels.

接下來，我將更新我們推動營收與獲利同步成長的策略性計畫。我們的首要重點之一，是持續進行創新性的內部產品開發，以擴大產品供給。另一項計畫是延續近期的毛利率擴張，進一步提升獲利能力，包括朝向更有利的高毛利產品組合，以及當然，我們一貫嚴格的費用紀律。我們也致力於整併部分內部營運以提升效率，並降低債務水位。

And over the next two years, we'll be working on warehouse consolidation to further enhance our operating structure. These initiatives to create long-term value can often require upfront investment. And to that end, our Board has elected to rightsize our quarterly dividend, which will provide us strategic access to a greater portion of our cash flow that will also allow us to pay down debt and build the balance sheet strength that will support Crown Crafts growth well into the future.

此外，在未來兩年，我們將推動倉儲整併，以進一步優化營運架構。這些創造長期價值的計畫往往需要前期投資。基於此，我們董事會決定調整（縮減）季度股利規模，讓我們在策略上能取得更大比例的現金流，亦可用於償還債務並強化資產負債表，從而支持 Crown Crafts 在未來持續成長。

In essence, our new quarterly dividend allows for a well-balanced capital allocation approach that includes investing in growth initiatives and maintaining a solid balance sheet while still rewarding our valued shareholders with what is now approximately a 4% attractive dividend yield.

本質上，我們新的季度股利安排，使資本配置更為均衡：在投資成長計畫、維持穩健資產負債表的同時，仍以目前約 4% 的具吸引力股息殖利率回饋我們珍視的股東。

In closing, we had a solid quarter as we continue to execute on our business plan. While leveraging our inherent strengths, including our brands, our licenses and our valued retail and licensing partners, our multipronged strategy that covers internal development of new products, reinvigorated marketing efforts, tight cost controls and the strategic allocation of capital positions us well for the creation of long-term shareholder value.

總結而言，在持續執行我們的營運計畫下，本季表現穩健。憑藉我們的內在優勢，包括品牌、授權，以及我們珍貴的零售與授權合作夥伴，我們多管齊下的策略——涵蓋新產品的內部開發、重新強化的行銷投入、嚴格的成本控管與策略性的資本配置——使我們在創造長期股東價值方面具備良好定位。

And now I'll turn it over to Claire to provide additional details around our quarterly results before we take your questions.

接下來我把時間交給 Claire，在我們進入問答之前，請她提供更多關於本季業績的細節。

Thank you, Olivia, and welcome, everyone, once again to the call. Our first quarter net sales of $16.8 million were up 8% over the prior year quarter as improved inventory levels helped us capitalize on still soft consumer spending. As Olivia mentioned, we had strong gross margin performance. During the quarter, tariff refunds reduced our cost of products sold by $3.7 million. Even adjusting for this benefit, our gross profit of $4.3 million was above the prior year's $3.5 million and equates to a gross profit margin of 25.6%, which was up 290 basis points year-over-year.

謝謝你，Olivia，也再次歡迎各位參加本次電話會議。我們第一季淨銷售額為 1,680 萬美元，較去年同期成長 8%，主要因庫存水位改善，使我們得以在消費支出仍偏疲弱的情況下把握機會。如 Olivia 所提，我們的毛利率表現強勁。本季關稅退稅使產品銷售成本減少 370 萬美元。即使排除這項利益，我們的毛利仍達 430 萬美元，高於去年同期的 350 萬美元，對應毛利率為 25.6%，年增 290 個基點。

This expansion of our adjusted gross margin reflects both our strategic pricing initiatives and an increasingly favorable mix of higher-margin products. We recorded marketing and administrative expense of $5.2 million for the first quarter as compared to $4.7 million a year earlier, although this quarter's figure includes just over $0.5 million of accrued incentive compensation associated with tariff refunds. On a normalized basis, we reduced marketing and administrative expense as a percent of net sales to 28% versus 30.5% in the first quarter of fiscal 2026, which speaks to our sharp focus on cost efficiencies, as Olivia mentioned.

調整後毛利率的擴張，反映了我們的策略性定價措施，以及高毛利產品占比日益提升的有利產品組合。第一季行銷與管理費用為 520 萬美元，較去年同期的 470 萬美元增加；不過，本季數字包含與關稅退稅相關、超過 50 萬美元的應計獎勵薪酬。以常態化口徑計算，我們將行銷與管理費用占淨銷售額比重降至 28%，相較 2026 會計年度第一季的 30.5%，這也呼應 Olivia 所提我們對成本效率的高度聚焦。

Moving down the income statement. We also successfully reduced net interest expense to only $190,000, well below the year-ago $283,000 as a result of our efforts to reduce debt over the past year. From a GAAP perspective, we reported net income of $2.1 million or $0.19 per share, well above the prior year loss of $1.1 million or $0.10 per share. While first quarter net income benefited from the tariff-related adjustments described, I'll again note that on an adjusted basis, we still generated the first quarter profit versus the prior year quarter's net loss.

再往下看損益表。我們也成功將淨利息費用降至僅 19 萬美元，明顯低於去年同期的 28.3 萬美元，主要得益於過去一年我們降低債務的努力。以 GAAP 口徑，我們淨利為 210 萬美元，或每股 0.19 美元，顯著優於去年同期淨損 110 萬美元、每股虧損 0.10 美元。雖然第一季淨利受惠於前述與關稅相關的調整，但我再次強調，即使以調整後口徑，我們第一季仍實現獲利，相較去年同期為淨損。

Turning to our balance sheet. As of June 28, we had total liquidity of $12.1 million, including cash and equivalents and availability on our revolving line of credit. During the first quarter, we significantly reduced our debt from more than $14 million at the start of the fiscal year to just $9.6 million at the end of the quarter. Not only did we reduce outstanding debt, but our net cash from operating activities of $5.5 million served to further support our balance sheet strength, putting us in a strong position to capitalize on future growth opportunities in a disciplined manner.

接著看資產負債表。截至 6 月 28 日，我們的總流動性為 1,210 萬美元，包括現金及約當現金，以及循環信用額度的可用額度。第一季期間，我們將債務自會計年度初超過 1,400 萬美元，大幅降至季末的 960 萬美元。我們不僅降低了未償債務，營運活動產生的淨現金 550 萬美元也進一步支撐了資產負債表的強度，使我們能在紀律性的前提下，把握未來成長機會。

In summary, this was another quarter of strong execution in which we focused on what we can control while economic conditions remain soft. Even adjusted for tariff refunds, we grew revenues, expanded our gross margin and generated stronger earnings per share than in the year ago quarter. We also further strengthened our balance sheet and are well positioned to make progress against our strategic initiatives as we move through the new fiscal year.

總結來說，這又是一個執行力強勁的季度；在經濟環境仍偏疲弱之際，我們專注於可控事項。即使調整關稅退稅影響，我們仍實現營收成長、毛利率擴張，且每股盈餘較去年同期更強。我們也進一步強化資產負債表，並已具備良好條件在新會計年度推進各項策略性計畫。

And now operator, if you could please open the line, Olivia and I will be happy to take questions.

接下來，接線員，麻煩請開放電話線路，Olivia 和我很樂意回答各位的問題。

(Operator Instructions)

（接線員指示）

Doug Ruth, Lenox Financial Services.

Doug Ruth，Lenox Financial Services。

Olivia and Claire, congratulations, fabulous report. I have several questions. So if you feel like I'm asking too many I mind getting back in the queue. Could you give us offer some commentary of what you think is happening with Groovy Girls?

Olivia 和 Claire，恭喜，報告非常出色。我有幾個問題。如果你們覺得我問得太多，我不介意再回到提問隊列後面。你們能否就你們認為 Groovy Girls 目前的情況提供一些評論？

So Groovy Girls has done phenomenally well in Canada. And as we look back on history, even when -- before we acquired Manhattan Toy, the first time they launched Groovy Girls, it appears that it took off in Canada first then as well. So we have actually sold so much in Canada at this point in time that we're having to divert inventory that should be coming to the US to go to Canada. So we're really excited about the opportunity there. And then we'll be launching Groovy Girls at K&J in Germany for the European market in September.

所以 Groovy Girls 在加拿大的表現非常出色。回顧歷史，即使在我們收購 Manhattan Toy 之前，他們第一次推出 Groovy Girls 時，似乎也是先在加拿大走紅，之後才擴展到其他地方。因此，截至目前我們在加拿大的銷量其實非常大，以至於我們不得不把原本應該運往美國的庫存調撥到加拿大。我們對那裡的機會感到非常興奮。接著，我們將於 9 月在德國的 K&J 推出 Groovy Girls，面向歐洲市場。

Okay. Is there a theory of why the Canadians like Groovy Girls so much?

好的。對於為什麼加拿大人這麼喜歡 Groovy Girls，有沒有什麼理論？

We don't know. I can tell you that so our distributor, they are partnered with Indigo bookstores, who really put some marketing efforts behind it, and they hosted an event. So that probably helps with it to have such a large partner to launch with.

我們也不清楚。我可以告訴你的是，我們的經銷商與 Indigo 書店合作，對此投入了不少行銷資源，並且舉辦了一場活動。所以，能有這麼大的合作夥伴一起推出，可能確實有幫助。

Okay. What about you had previously mentioned that ultimately, the Groovy Girls will be on Amazon. Is there like a date that, that might happen?

好的。你先前提到 Groovy Girls 最終會上架 Amazon。那大概會在什麼時候發生？有沒有一個日期？

We are still hoping to launch early fall. The inventory having it take off faster than we expected that it may not be the full line, but we're still targeting October sometime with at least part of the line.

我們仍希望在初秋推出。由於庫存的熱銷速度比我們預期更快，可能無法一次上齊全系列，但我們仍以 10 月左右為目標，至少先上架部分產品線。

Okay. Very good. And then could you explain to us what the status is of the tariff money? I think you had told us there was maybe around $5 million, maybe $5.5 million. Are you expecting more money? Or do you think that's it or --

好的。非常好。接著，你能否向我們說明關稅退款的狀況？我記得你之前告訴我們大概是 500 萬美元、可能 550 萬美元左右。你們預期還會收到更多款項嗎？還是你覺得就到此為止，或是——

We're hoping to get more money. So we had requested reimbursement for $5.6 million to $5.7 million in tariffs. And so far, we've received about $4.7 million, and that is the portion that we booked. Most of that was received in July. A very, very small portion had been received in the first quarter. There's about $900,000 that we still haven't received and we have not booked.

我們希望能收到更多。所以我們申請了約 560 萬到 570 萬美元的關稅補償。截至目前，我們已收到約 470 萬美元，這部分也已入帳。大部分是在 7 月收到的；第一季只收到非常、非常小的一部分。還有大約 90 萬美元我們尚未收到，也尚未入帳。

Okay. And then how has the balance sheet changed -- or are you able to tell us anything about where the balance sheet is now versus where it was based on maybe tariff money?

好的。那資產負債表有什麼變化——或者你能否告訴我們一些目前資產負債表的狀況，相較於先前（可能受關稅退款影響）時的狀況？

You mean as of today versus the quarter end?

你的意思是截至今天相較於季末嗎？

Yes.

是的。

It certainly improved by getting $4 million-plus in cash in, in the month of July, but that's about all we can really tell you.

7 月份收到 400 萬美元以上的現金流入，確實讓狀況有所改善，但我們大概也只能告訴你這些。

Okay. I didn't realize the $4 million came in July.

好的。我之前不知道那 400 萬美元是在 7 月進來的。

So it was booked as other current assets as opposed to a trade receivable at quarter end.

所以在季末時，它是以「其他流動資產」入帳，而不是以「應收帳款」入帳。

I see. So that's the other current asset that's on the balance sheet.

我明白了。所以資產負債表上的那個「其他流動資產」就是這個。

Yes. And I think there's more information Claire just pointed out in footnote four.

是的。而且我想 Claire 剛剛指出，在附註四裡有更多資訊。

Footnote four. Okay. Good. Okay. And then what can you tell us about the warehouse?

附註四。好的。很好。好的。那你能跟我們說說倉庫的情況嗎？

We'll be starting that project sometime in late fall, early winter. It's about an 18-month process, and the plan is to get consolidate sometime in May of 2028. So that process is not quite started yet.

我們會在深秋到初冬的某個時間啟動那個專案。整個流程大約需要 18 個月，計畫是在 2028 年 5 月左右完成整併。所以這個流程目前還沒有真正開始。

And can you provide any additional details about capital expenditures and what you're thinking and how much you might be spending?

你能否提供更多關於資本支出（capex）的細節？你們的想法是什麼，以及可能會花多少？

As of right now, our capital expenditure should just be the normal capital expenditures, which is mainly IT. So it would be any ERP upgrades that we're going through right now, molds for plastic toys. Anything for the warehouse is unlikely to be spent in this fiscal year. It will probably start sometime in the next fiscal year.

就目前而言，我們的資本支出應該就是正常的資本支出，主要是 IT。也就是我們目前正在進行的任何 ERP 升級、塑膠玩具的模具等。今年度在倉庫方面不太可能有支出，可能會在下一個會計年度的某個時間才開始。

Okay. All right. And then how about the international sales are doing so well. Can you share anything that's happening and why they're doing so well or what you're doing and the kind of stuff?

好的。好。那國際銷售表現這麼好。你能分享一下發生了什麼、為什麼表現這麼好，或你們做了什麼、類似的事情嗎？

Well, a lot of that's Groovy Girls in Canada, but it's more than that in Canada as well. We had two different distributors in Canada previously and starting in this calendar year, maybe a little bit in December of '25, we got a new distributor that is handling both the Manhattan Toy and Sassy product lines and taking that to all channels.

嗯，其中很大一部分是加拿大的 Groovy Girls，但在加拿大不只如此。我們之前在加拿大有兩家不同的經銷商；從今年這個曆年開始——可能在 25 年 12 月就有一點——我們換了一家新的經銷商，負責 Manhattan Toy 與 Sassy 兩條產品線，並把產品推向所有通路。

So we've seen a pretty good improvement there across the board. Groovy Girls certainly added to it. And then we did starting -- when we went to K&J last fall, we did pick up some new distributors that started buying product maybe later in the fall, early winter. So a little bit in Europe, a little improvement as well.

所以我們在各方面都看到相當不錯的改善。Groovy Girls 當然也帶來了增量。然後我們在去年秋天去 K&J 時，確實也新增了一些經銷商，他們可能在秋末、初冬開始進貨。因此歐洲方面也有一些、也有些改善。

Okay. And then what can you tell us about LEGOLAND? And we know we got that big new facility or I guess it's a year old now in Shanghai. What's happening with LEGOLAND?

好的。那你能跟我們說說 LEGOLAND 嗎？我們知道在上海有個很大的新設施，或我想現在大概也有一年了。LEGOLAND 那邊發生了什麼？

I don't think there's been any changes with LEGOLAND. That was the last new park of any size. And a lot of the parks for LEGOLAND actually start winding down and closing for the winter. So there are some that are open. I know like Florida and California stay open year-round, but a lot of them closed maybe sometime in October. So those are more seasonal sales than year-round.

我認為 LEGOLAND 那邊沒有任何變化。那是最後一座具規模的新園區。而且 LEGOLAND 的許多園區其實在冬季會開始逐步縮減營運並關閉。所以有些園區仍然開放；我知道像佛羅里達和加州是全年開放，但很多園區可能在 10 月左右就關閉。因此那邊的銷售更偏向季節性，而不是全年性。

Okay. And then how about the Manhattan Toy office in Minnesota? Is there any thoughts or update on that at all?

好的。那明尼蘇達州的 Manhattan Toy 辦公室呢？對那邊有沒有任何想法或更新？

That lease expires at the end of March next year. So we will obviously not renew that lease. We're still kind of thinking about what we need, if anything at all, in Minneapolis. If we do get a lease, I mean, there's two trains of thought there. We can either let it's a very small staff so they can either work from home full time or we may need some small lease that can just hold a few people and some like a photography studio, but we will not be renewing the very expensive lease that we're in right now.

那份租約會在明年 3 月底到期，所以我們顯然不會續租。我們仍在思考在明尼阿波利斯是否需要任何空間、如果需要的話需要多少。如果我們要租，我是說，有兩種思路：因為人員非常少，他們可以選擇全職在家工作；或者我們可能需要一個很小的租賃空間，能容納幾個人以及像攝影棚之類的用途，但我們不會續租目前這個非常昂貴的租約。

Okay. And my last question, is there any new thoughts or ideas on diaper bags and how the company might proceed with that business?

好的。我最後一個問題：關於尿布包（diaper bags），公司在這項業務上有沒有新的想法或方向？

We're still working on that product line. I mean we did just start selling the new Motherhood Diaper Bags, very slow start at this point in time, it's only on Amazon, but we're working on that. And then we have a couple of NoJo bags, NoJo branded, one of which is in Walmart, but that's really it right now. But we haven't given up on diaper bags. We're just still working on it.

我們仍在推進那條產品線。我們確實才剛開始銷售新的 Motherhood 尿布包，目前起步非常慢，現在只在 Amazon 上販售，但我們正在努力推進。另外我們也有幾款 NoJo 包、NoJo 品牌的，其中一款在 Walmart 上架，但目前大概就這些。不過我們沒有放棄尿布包；只是仍在持續耕耘。

Okay. You just did a fabulous job, and thank you for what you did on behalf of the shareholders.

好的。你做得非常出色，謝謝你代表股東所做的一切。

And this now concludes our question-and-answer session. I would like to turn the floor back over to Olivia Elliott for closing comments.

接下來我們的問答環節到此結束。我想把時間交還給 Olivia Elliott，請她做結語。

Thank you, operator. And again, we appreciate everyone being on the call. We look forward to building on the early success of Groovy Girls and our other innovative products on the way. We appreciate your continued interest in Crown Crafts, and we'll keep you posted on our progress as we move through the new fiscal year. Please feel free to reach out with any additional questions, and thanks again for being with us.

謝謝，接線員。再次感謝各位參與本次電話會議。我們期待在 Groovy Girls 的早期成功基礎上，持續推進我們其他即將推出的創新產品。感謝各位持續關注 Crown Crafts；在我們邁入新的會計年度之際，我們也會隨時向各位更新進展。如有任何其他問題，歡迎隨時與我們聯繫，再次感謝各位的參與。

Ladies and gentlemen, thank you for your participation. This does conclude today's teleconference. You may disconnect your lines, and have a wonderful day.

各位女士、先生，感謝您的參與。本次電話會議到此結束。您現在可以掛線，祝您有美好的一天。