雅詩蘭黛 (EL) 2014 Q2 法說會逐字稿

Good day, everyone, and welcome to The Estee Lauder Companies fiscal 2014 second-quarter conference call.

大家好，歡迎參加雅詩蘭黛公司 2014 財年第二季電話會議。

Today's call is being recorded and webcast.

今天的通話正在錄音並進行網路直播。

For opening remarks and introductions, I would like to turn the call over to the Vice President of Investor Relations, Mr. Dennis D'Andrea.

對於開場白和介紹，我想將電話轉給投資者關係副總裁 Dennis D'Andrea 先生。

Please go ahead, sir.

請繼續，先生。

Good morning, everyone.

大家，早安。

On today's call are Fabrizio Freda, President and Chief Executive Officer; Tracey Travis, Executive Vice President and Chief Financial Officer; and Thia Breen, Group President of North America for The Estee Lauder Companies.

出席今天電話會議的有總裁兼執行長 Fabrizio Freda；崔西‧崔維斯（Tracey Travis），執行副總裁兼財務長；以及雅詩蘭黛公司北美集團總裁 Thia Breen。

Thia is going to give us a strategic overview of the region and a review of the holiday results.

蒂亞將為我們提供該地區的戰略概覽以及假期結果的回顧。

Since many of our remarks today contain forward-looking statements, let me refer you to our press release and our reports filed with the SEC, where you will find factors that could cause actual results to differ materially from these forward-looking statements.

由於我們今天的許多言論都包含前瞻性陳述，因此請您參閱我們的新聞稿和向美國證券交易委員會提交的報告，您會發現可能導致實際結果與這些前瞻性陳述有重大差異的因素。

Our discussion of our financial results and our expectations are before restructuring and other charges.

我們對財務表現和預期的討論是在重組和其他費用之前進行的。

In addition, we will discuss results before the impact of accelerated retail orders that took place in the prior-year quarter due to the implementation of our Strategic Modernization Initiative.

此外，我們將討論由於實施策略現代化計劃而導致上年同期零售訂單加速成長的影響之前的結果。

You can find a reconciliation between GAAP and non-GAAP figures in our press release and in the investor relations section of our website.

您可以在我們的新聞稿和我們網站的投資者關係部分找到 GAAP 和非 GAAP 數據之間的調整表。

And I will turn the call over to Fabrizio now.

我現在將把電話轉給法布里齊奧。

Thank you, Dennis and good morning to everyone.

謝謝丹尼斯，祝大家早安。

I am pleased to say that by executing our strategy successfully, we delivered strong sales growth in the fiscal 2014 second quarter in line with our expectation and, at the same time, advanced our business in many important ways.

我很高興地說，透過成功執行我們的策略，我們在 2014 財年第二季度實現了強勁的銷售成長，符合我們的預期，同時在許多重要方面推動了我們的業務。

Our strong performance came despite a mixed holiday season and several soft retail markets across the globe.

儘管假期季節好壞參半，全球多個零售市場疲軟，但我們仍取得了強勁的業績。

Our balanced portfolio enabled us to capitalize on our winning brands, geographies and channels, culminating in strong sales growth.

我們平衡的產品組合使我們能夠利用我們的成功品牌、地區和通路，最終實現強勁的銷售成長。

We introduced exciting innovations; gained shares in pivotal markets, including China and the UK; and increased our brand's penetration around the world.

我們推出了令人興奮的創新；在包括中國和英國在內的關鍵市場中獲得份額；並提高了我們品牌在全球的滲透率。

Our sales performance continues an unbroken record of growth over the last 4.5 years.

我們的銷售業績在過去 4.5 年裡繼續保持著不間斷的成長記錄。

Since our current strategy began, our business has grown every single quarter, which underscores the strength of our long-term plan.

自從我們目前的策略開始以來，我們的業務每季都在成長，這凸顯了我們長期計劃的實力。

In the most recent period, sales rose 4% in local currency.

最近一段時間，以當地貨幣計算的銷售額成長了 4%。

However, reflecting our true underlying business, sales grew more than 7% after adjusting for the $94 million of accelerated retailer orders recorded in the second quarter last year, prior to our Strategic Modernization rollout.

然而，在我們推出策略現代化之前，去年第二季記錄的 9,400 萬美元的加速零售商訂單經過調整後，銷售額成長了 7% 以上，這反映了我們真正的基礎業務。

To put that performance in perspective, our 7% sales increase is about double our estimate of annual prestige beauty growth worldwide.

從這個角度來看，我們 7% 的銷售額成長大約是我們對全球名牌美容年度成長預測的兩倍。

Our results were especially noteworthy given the headwinds we faced, including heavy promotional activity in our largest markets.

考慮到我們面臨的阻力，包括我們最大市場的大量促銷活動，我們的業績尤其值得注意。

Diluted earnings per share came in at $1.09, which was better than we had forecast.

稀釋後每股收益為 1.09 美元，優於我們的預期。

We overachieved our estimate by leveraging our strong results in several markets in high-profit channels and driving down costs.

透過利用我們在多個市場的高利潤管道的強勁業績並降低成本，我們超出了我們的預期。

The beauty of having a diverse portfolio of 30 prestige brands is the balance and sustainability it provides.

擁有 30 個知名品牌的多元化產品組合的美妙之處在於它提供的平衡和永續性。

If some brands experience a period of softer growth, it has been our experience that they are more than offset by others which are flourishing.

如果某些品牌經歷了一段成長疲軟的時期，根據我們的經驗，它們會被其他蓬勃發展的品牌所抵消。

Similarly, if mature channels or countries grow slowly, that's usually been more than counterbalanced by faster-growing channels and emerging markets.

同樣，如果成熟的通路或國家成長緩慢，通常會被成長較快的通路和新興市場所抵銷。

One of our strongest areas in the recent quarter was our makeup category, which remains critical to our growth, so we were pleased the sales rose sharply.

最近一個季度我們最強勁的領域之一是我們的化妝品類別，這對我們的成長仍然至關重要，因此我們很高興銷售額大幅成長。

MAC's ability to tap into consumer desire with the constant stream of new collections led to strong demand for its holiday sets and its Rihanna products.

MAC 透過源源不絕的新系列滿足消費者需求的能力導致了對其假日套裝和 Rihanna 產品的強勁需求。

MAC continued to build distribution by opening freestanding-store and department-store doors, primarily in international markets.

MAC 透過開設獨立商店和百貨公司繼續擴大分銷，主要是在國際市場。

At Smashbox, the brand concentrated on foreign expansion in the UK and Germany and entered Russia and the Netherlands for the first time.

在Smashbox，品牌專注於英國和德國的海外擴張，並首次進入俄羅斯和荷蘭。

Smashbox also saw its good momentum continue at home in its core North America market.

Smashbox 在其核心北美市場也延續了良好的勢頭。

And at Bobbi Brown, retail sales rose double digits in North America and the United Kingdom.

Bobbi Brown 在北美和英國的零售額成長了兩位數。

Our three makeup brands each gained share in prestige beauty in the United States, accordingly to NPD.

據 NPD 稱，我們的三個化妝品品牌在美國的高端美容市場中各自獲得了份額。

Strong product launches from brands such as Estee Lauder and Clinique, most notably in foundations and eye products, also contributed to makeup sales gains.

雅詩蘭黛和倩碧等品牌推出的強勁產品，尤其是粉底和眼部產品，也促進了化妝品銷售的成長。

Adjusting for SMI shift, our skin care sales grew solidly, however, the category has been extremely competitive.

調整 SMI 轉變後，我們的保養品銷售額穩定成長，但該類別的競爭非常激烈。

Skin care remains our key priority, and we are focused on continuing to profitably grow the category.

皮膚護理仍然是我們的首要任務，我們致力於繼續盈利地增長該類別。

Our recent skin care innovations helped drive the category growth this quarter, as some of those gains were offset by declines in some existing products.

我們最近的護膚創新幫助推動了本季度的類別成長，因為其中一些成長被一些現有產品的下降所抵消。

This year's biggest launches, Clinique's Dramatically Different Moisturizing Lotion Plus and Estee Lauder new Advanced Night Repair serum, were well received.

今年最重要的產品是倩碧戲劇性的不同保濕乳液和雅詩蘭黛全新高級夜間修護精華液，均廣受好評。

Our luxury skincare brand, La Mer, enjoyed strong retail trends globally, especially in North America and travel retail, despite being up against its Soft Cream launch in the previous year, which was its most successful launch ever.

我們的奢華護膚品牌海藍之謎 (La Mer) 在全球享有強勁的零售趨勢，尤其是在北美和旅遊零售領域，儘管去年推出了有史以來最成功的軟霜產品。

Much of our global innovation will continue to be centered on skin care, and we committed to remaining a leader in developing the most advanced skin care technology for a host of skin care concerns for consumers in every region.

我們的全球大部分創新將繼續以皮膚護理為中心，我們致力於在開發最先進的皮膚護理技術方面保持領先地位，以解決每個地區消費者的一系列皮膚護理問題。

In fragrance, our business as a whole did well, but with the category, we had mixed results.

在香水方面，我們的整體業務表現良好，但在該類別中，我們的業績好壞參半。

Our high-end offerings continued to excel globally.

我們的高端產品繼續在全球表現出色。

In the holiday seasons, Jo Malone retail sales in our heritage markets of the US and UK each soared at least 20%.

在節日期間，Jo Malone 在美國和英國傳統市場的零售額分別飆升了至少 20%。

Tom Ford's fragrances were popular worldwide, and the brand launched a men's grooming collection which helped lift sales.

湯姆福特 (Tom Ford) 的香水風靡全球，該品牌也推出了男士美容系列，幫助提升了銷量。

The men's collection is also displayed in a secondary location in stores, creating greater visibility.

男裝系列還在商店的次要位置展示，提高了知名度。

Tom Ford's high-end distribution expansion continued, particularly in the European region.

湯姆福特的高端分銷擴張仍在繼續，特別是在歐洲地區。

We also saw terrific response to several new fragrance launches.

我們也看到了幾款新香水的推出引起了熱烈的迴響。

Tory Burch was the best-selling fragrance at Bloomingdale's, where it was sold exclusively during the quarter.

Tory Burch 是 Bloomingdale's 最暢銷的香水，該香水僅在本季獨家銷售。

Michael Kors' new fragrance collection did very well everywhere it launched in the US and Europe.

Michael Kors 的新香水系列在美國和歐洲推出後，無論在哪裡都表現出色。

And Estee Lauder Modern Muse fragrance got off to a very good start, performing as we expected.

雅詩蘭黛摩登繆斯香水取得了良好的開端，表現符合我們的預期。

Others scents from our beauty brands also were popular holiday gifts.

我們美容品牌的其他香味也是受歡迎的節日禮物。

However, some of our designer fragrances and Clinique fragrances didn't offer major new products, and they came up short of our expectations.

然而，我們的一些設計師香水和倩碧香水並沒有提供主要的新產品，而且它們沒有達到我們的期望。

Nonetheless, we gained share in fragrance in US prestige stores during the important second quarter.

儘管如此，在重要的第二季度，我們在美國知名商店的香水市場佔有率有所增加。

Aveda led our improvement in the hair care category with additions to its best-selling product lines.

Aveda 引領了我們在護髮品類領域的改進，增加了其最暢銷的產品線。

In the US, growth came from salons and online.

在美國，成長來自沙龍和線上。

Its UK sales were particularly good, spurred by TV advertising and three new retail stores.

在電視廣告和三家新零售店的推動下，其在英國的銷售尤其出色。

In addition, we doubled Aveda business in travel retail.

此外，我們將 Aveda 的旅遊零售業務增加了一倍。

Now, looking at our business based on where our brands are sold, some of our best-performing global channels were online, travel retail, and freestanding stores.

現在，根據我們的品牌銷售地點來審視我們的業務，我們表現最好的一些全球管道是在線上、旅遊零售和獨立商店。

Our e-commerce sales rose significantly.

我們的電子商務銷售額大幅成長。

We had strong growth across our brands' sites, as well as authorized retailer sites worldwide.

我們的品牌網站以及全球授權零售商網站都實現了強勁成長。

Our sharp sales increase anchored our position as one of the largest online prestige beauty retailers.

我們銷售額的大幅成長鞏固了我們作為最大的線上知名美容零售商之一的地位。

The channel has been so successful and grown so fast that our e-commerce business has doubled in the last three years.

該通路非常成功且成長如此之快，以至於我們的電子商務業務在過去三年中翻了一番。

We expect our online business to remain a major growth engine for the Company over the next few years.

我們預計我們的線上業務在未來幾年仍將是該公司的主要成長引擎。

With higher traffic and increased conversion driving our momentum, we continue to look for opportunities to expand our presence in these high-margin channels.

隨著流量的增加和轉換率的提高推動了我們的發展勢頭，我們將繼續尋找機會擴大我們在這些高利潤管道的業務。

And as an example, MAC launched e-commerce in Brazil and Israel in January.

例如，MAC 一月在巴西和以色列推出了電子商務。

In travel retail, our net sales grew sharply, helped by retailers ordering for about 50 new points of sales and also in advance of an earlier Chinese New Year.

在旅遊零售方面，我們的淨銷售額大幅成長，這得益於零售商在春節前夕訂購了約 50 個新銷售點。

Travel retail's growth was by far the stronger in Asia-Pacific, led by business at Japanese airports, which are more attractive to local and foreign shoppers because of the weak yen.

亞太地區的旅遊零售成長最為強勁，其中以日本機場的業務為主導，由於日圓疲軟，日本機場對本地和外國購物者更具吸引力。

Our retail sales exceeded passenger traffic growth, and we expect that trend to continue for the rest of the fiscal year.

我們的零售額超過了客運量的成長，我們預計這一趨勢將在本財年剩餘時間內持續下去。

For perspective, travel retail has also been a strong performer over the last three years as our net sales have climbed more than 70% and we gained more than 200 basis points of market share there.

從長遠來看，旅遊零售在過去三年中也表現強勁，我們的淨銷售額增長了 70% 以上，並且我們在那裡獲得了超過 200 個基點的市場份額。

One of our strategic initiatives is to align our distribution to evolving consumer preferences and growth opportunities in emerging markets.

我們的策略性舉措之一是使我們的分銷適應新興市場不斷變化的消費者偏好和成長機會。

As part of that effort, we increased our network of freestanding stores, opening 57 this quarter, mostly for MAC.

作為這項努力的一部分，我們擴大了獨立商店網絡，本季開設了 57 家，主要面向 MAC。

Our global sales in the channel grew double digits.

我們在該通路的全球銷售額成長了兩位數。

We also continued our growth in specialty multi-retailers in North America.

我們也繼續在北美的專業多元化零售商中發展。

We had good momentum in this channel, and we are working to make some of our products available where appropriate in multi-brand stores in other countries, as well.

我們在這個管道中取得了良好的勢頭，並且我們正在努力讓我們的一些產品在適當的情況下在其他國家的多品牌商店中銷售。

Turning to our geographies, our sales in heritage markets performed well, despite heavy promotional activity by brand and retailers as consumers sought value.

就我們的地理位置而言，儘管品牌和零售商因消費者尋求價值而開展了大量促銷活動，但我們在傳統市場的銷售表現良好。

The number of holiday promotions our brands offered was consistent with past years, but they started earlier since there were six fewer shopping days between Thanksgiving and Christmas.

我們的品牌提供的節日促銷數量與往年一致，但由於感恩節和聖誕節之間的購物日減少了六個，因此促銷開始得更早。

In the US and Canada, our retail sales climbed solidly on the strength of online, specialty multi, and prestige department stores.

在美國和加拿大，我們的零售額憑藉著線上、專業綜合店和知名百貨公司的實力穩步攀升。

Our strong sales growth in the UK was exceeded by even stronger retail sales, and many brands and channels contributed.

我們在英國的強勁銷售成長被更強勁的零售銷售所超越，許多品牌和通路都做出了貢獻。

New doors and freestanding stores, compelling products and service, robust e-commerce, and effective advertise made for a very positive holiday season.

新的門和獨立商店、引人注目的產品和服務、強大的電子商務以及有效的廣告，為一個非常積極的假期季節創造了條件。

Japan economic expansion continued, which was reflected in our business.

日本經濟持續擴張，也反映在我們的業務上。

Our sales advanced in local currency, further strengthening this important market.

我們的銷售額以當地貨幣計算有所增長，進一步鞏固了這個重要市場。

We feel positive about the remainder of the year and have plans to advertise major launches in Japan with television and enhance our High-Touch services.

我們對今年剩餘時間感到樂觀，並計劃透過電視在日本宣傳重大產品，並增強我們的高接觸服務。

Our underlying business in emerging markets continued growing double digits.

我們在新興市場的基礎業務繼續以兩位數成長。

To give you some examples, sales in Brazil were vibrant, driven by MAC, Clinique, and e-commerce, contributing to strong Latin America results.

舉幾個例子，在 MAC、倩碧和電子商務的推動下，巴西的銷售充滿活力，為拉丁美洲的強勁業績做出了貢獻。

Russia posted growth this quarter, reflecting solid retail demand and new doors opening, and sales in Turkey and the Philippines rose significantly.

俄羅斯本季實現成長，反映出零售需求強勁和新店開業，土耳其和菲律賓的銷售額大幅成長。

While China is clearly our largest emerging market, all the others taken together represent another major opportunity for growth.

雖然中國顯然是我們最大的新興市場，但所有其他市場加起來代表著另一個重要的成長機會。

Our combined sales in these emerging countries are actually greater than our China business, and our sales in this group grew double digits in local currency this quarter.

我們在這些新興國家的總銷售額實際上比我們在中國的業務還要大，而且本季我們在該集團的銷售額以當地貨幣計算增長了兩位數。

Like the Chinese, more consumers in these markets are traveling more and also buying our products in travel retail locations and along travel corridors.

與中國人一樣，這些市場的消費者越來越多地旅行，並在旅遊零售店和旅遊走廊沿線購買我們的產品。

In China, prestige beauty growth remains solid, even though it has slowed.

在中國，高端美容的成長儘管有所放緩，但依然強勁。

The slowdown has been concentrated in Tier 1 cities, while the smaller cities are generating good growth.

經濟放緩主要集中在一線城市，而較小的城市則出現了良好的成長。

We have aligned our strategy to this reality and opened in six new Tier 3 cities during the quarter.

我們根據這一現實制定了策略，並在本季度在六個新的三線城市開設了新店。

Our 14 brands sold in China maintained a leading position among prestige cosmetic groups in our distribution.

我們在中國銷售的14個品牌在我們經銷的知名化妝品集團中保持領先地位。

Additionally, when looking at the Chinese market, there are other factors to keep in mind, namely that although disposable income among Chinese middle-class consumer is rising, they are buying more outside the country when traveling.

此外，在審視中國市場時，還有其他因素需要考慮，即儘管中國中產階級消費者的可支配收入在增加，但他們在旅行時在國外購買的商品更多。

While these issues have led to lower department-store traffic, our sales in China, adjusted for SMI shift, remained solid.

雖然這些問題導致百貨公司客流量下降，但我們在中國的銷售額（根據 SMI 轉變進行調整）仍然保持穩健。

Our retail sales grew mid-single digit and we continue to gain share.

我們的零售額成長了中個位數，我們的份額繼續增加。

Our robust sales growth online and in freestanding stores contributed to our improvement, and although these channels are a small part of the total Chinese sales, we expect them to represent a greater portion in the coming years.

我們在線上和獨立商店的強勁銷售成長促進了我們的進步，儘管這些管道只佔中國總銷售額的一小部分，但我們預計它們在未來幾年將佔更大的比例。

Some countries remained challenging, including Korea, where the pace of recovery in prestige beauty remains low.

一些國家仍然面臨挑戰，包括韓國，其名牌美容的復甦步伐仍然緩慢。

However, several of our brands there are showing improvements and gained share, including Aveda and Darphin and our travel retail sales in Korea grew, thanks to more Chinese travelers with greater purchasing power.

然而，我們的幾個品牌在韓國表現出了進步並獲得了份額，包括 Aveda 和 Darphin，而且我們在韓國的旅遊零售額也有所增長，這要歸功於更多購買力更強的中國遊客。

Some large countries in continental Europe were soft, particularly Germany, which was weaker than we expected, Italy, and Switzerland.

歐洲大陸一些大國表現疲軟，尤其是德國，表現比我們預期的弱，還有義大利和瑞士。

Additionally, the macroeconomic environment in Venezuela continued to be volatile.

此外，委內瑞拉宏觀經濟環境持續動盪。

The country's persistent high inflation poses a risk of potential currency devaluation, which could have a negative impact on our financial results.

該國持續的高通膨帶來了潛在的貨幣貶值風險，這可能對我們的財務業績產生負面影響。

So, we are closely monitoring the situation.

因此，我們正在密切關注事態發展。

Our main focus for the rest of the fiscal year will be on our two biggest product categories, skin care and makeup, and we will launch major innovations in both areas throughout the second half.

我們本財年剩餘時間的主要重點將放在我們最大的兩個產品類別：護膚和彩妝上，我們將在下半年在這兩個領域推出重大創新。

Makeup products that should create excitement include MAC Viva Glam Rihanna lip products, which we expect to generate a high level of media attention.

令人興奮的彩妝產品包括 MAC Viva Glam Rihanna 唇部產品，我們預計產品將引起媒體的高度關注。

Additionally, the Estee Lauder brand is launching the Pure Color Envy lipstick collection, with features a new formula and luxe packaging at a higher price point.

此外，雅詩蘭黛品牌還推出了 Pure Color Envy 唇膏系列，採用新配方和奢華包裝，價格更高。

The new line is part of the brand's ongoing effort to be more modern and aspirational.

新系列是品牌不斷努力變得更加現代和令人嚮往的努力的一部分。

In skin care, we are demonstrating our commitment to the category through continued strong innovation, supported by solid marketing activities.

在皮膚護理領域，我們在紮實的營銷活動的支持下，透過持續強勁的創新來展示我們對該類別的承諾。

For instance, Estee Lauder and Clinique are rolling out major innovation in Asia this quarter in one of the region's biggest categories, watery lotions.

例如，雅詩蘭黛和倩碧本季將在亞洲推出重大創新產品，即該地區最大的產品類別之一—水乳液。

Estee Lauder Micro Essence Skin Activating Treatment Lotion is a first-of-its-kind "essence-in lotion" that helps strengthen skin's foundation and make it more resistant to signs of aging.

雅詩蘭黛微精華活膚乳液是一款首創的“精華乳液”，有助於強化肌膚基礎，使其更能抵抗衰老跡象。

Clinique's Even Better Essence Lotion, which is launching in Japan now, helps hydration with the newly developed complex.

倩碧 (Clinique) 的 Even Better Essence Lotion（現已在日本上市）利用新開發的複合物幫助補水。

Tapping into a universal skin care concern, next month Clinique will introduce an acne product that delivers results as effective as a leading topical prescription drug.

針對普遍的皮膚護理問題，倩碧下個月將推出一款痤瘡產品，其效果與領先的局部處方藥一樣有效。

The product, Acne Solutions Clinical Clearing Gel, rolls out first in the US and Europe and then in Asia.

該產品 Acne Solutions Clinical Clearing Gel 首先在美國和歐洲推出，然後在亞洲推出。

To support these innovations, we plan to invest more in advertising in our fiscal third quarter, which we believe will build momentum also into the final months of our fiscal year.

為了支持這些創新，我們計劃在第三財季加大廣告投資，我們相信這也將為我們財年的最後幾個月帶來動力。

We are proud of the progress we have made so far this year and we believe fiscal-year 2014 will be another winning chapter in our Company long-term profitable growth story.

我們對今年迄今所取得的進展感到自豪，並相信 2014 財年將成為我們公司長期盈利成長故事的又一勝利篇章。

We expect global prestige beauty to rise 3% to 4% in fiscal 2014, and our forecast is to grow about twice as fast, which will continue to improve our competitive position.

我們預計 2014 財年全球名牌美容將成長 3% 至 4%，我們的預測是成長速度約為兩倍，這將繼續提高我們的競爭地位。

We recognize there are risks and some markets are softening, but we have proven our ability to anticipate challenges, be flexible, and react to market changes in order to manage our business accordingly.

我們認識到存在風險，並且一些市場正在疲軟，但我們已經證明了我們有能力預測挑戰、靈活應對市場變化，從而相應地管理我們的業務。

We stay focused on making our financial goals and have demonstrated our ability to succeed in both strong markets and soft ones, and also because whether you look at our business by brand, by channel, or by country, about one-third of our sales are increasing by double digits, while the rest is keeping abreast of the industry.

我們始終專注於實現我們的財務目標，並展示了我們在強勁市場和疲軟市場中取得成功的能力，而且因為無論您按品牌、渠道還是國家/地區查看我們的業務，我們約三分之一的銷售額來自成長兩位數，其餘則與產業保持同步。

Before closing, I want to thank all of our Company employees for their continued creativity and dedication; their exceptional work is what keeps our strategic journey moving forward to continue to create profitable growth.

在結束之前，我要感謝公司所有員工持續的創造力和奉獻精神；他們的出色工作使我們的策略之旅不斷前進，繼續創造獲利成長。

Now, I will hand over to Thia, who will discuss our North America business and strategy.

現在，我將交給 Thia，他將討論我們的北美業務和策略。

Thank you, Fabrizio, and good morning, everyone.

謝謝你，法布里奇奧，大家早安。

Before I begin, let me give you a little background about myself.

在開始之前，讓我先向您介紹一下我自己的背景。

I am Group President of North America and have led our teams in the US and Canada for the past 4.5 years.

我是北美集團總裁，在過去 4.5 年裡一直領導我們在美國和加拿大的團隊。

I've been with Estee Lauder Companies for more than 35 years in several brands in varied positions, starting as an account executive for Clinique in 1977.

我在雅詩蘭黛公司工作了超過 35 年，在多個品牌擔任過不同職位，從 1977 年開始擔任倩碧的客戶經理。

When I was appointed to lead North America in July 2009, we renewed our focus on the US, our largest and home market, to reinvigorate our department-store growth, working to enhance their competitiveness with mass, as well as fuel sales in other high-growth channels.

當我於2009 年7 月被任命領導北美業務時，我們重新將重點放在美國這個我們最大的本土市場上，以重振我們的百貨商店增長，努力增強其在大眾市場以及其他高消費市場的燃料銷售的競爭力。- 成長通路。

We developed a winning strategy and enhanced market-specific capabilities.

我們制定了致勝策略並增強了針對特定市場的能力。

This enabled us to continue to leverage the Company's strengths and best practices in a more efficient and effective manner across brands and with retailers with one strong voice.

這使我們能夠繼續以更有效率、更有效的方式利用公司的優勢和最佳實踐，跨品牌並與擁有強大聲音的零售商合作。

For us, North America also includes Canada, which is one of the top 10 markets for prestige beauty globally, with many opportunities for growth.

對我們來說，北美還包括加拿大，它是全球十大頂級美容市場之一，擁有許多成長機會。

To capitalize on these opportunities, we established Canada as an affiliate in 2012 and have seen increased sales results.

為了利用這些機會，我們於 2012 年在加拿大成立了附屬公司，並取得了銷售業績的成長。

With this distinct focus on the US and Canada, we have been able to successfully recruit consumers from mass by creating more innovative products, offering customized high-touch services and experiences, and tailoring marketing programs for specific consumers.

憑藉對美國和加拿大的獨特關注，我們能夠透過創造更多創新產品、提供客製化的高接觸服務和體驗以及為特定消費者量身定制行銷計劃，成功地從大眾中吸引消費者。

This strategic focus has led to strong results for North America.

這一戰略重點為北美帶來了強勁的業績。

Over the past four years, we have grown retail sales by approximately $1 billion and continue to be the leader in prestige beauty in both markets.

在過去四年中，我們的零售額成長了約 10 億美元，並繼續成為這兩個市場的高端美容領域的領導者。

Now I will focus specifically on the US, first talking about holiday and the quarter, followed by what we see as the longer-term trends.

現在我將特別關注美國，首先談論假期和季度，然後是我們所看到的長期趨勢。

Our US holiday business was solid, driven by outstanding programs across all categories, appealing gift offerings, and strong online sales.

在所有類別的出色計劃、有吸引力的禮品和強勁的在線銷售的推動下，我們的美國假期業務表現穩健。

This year, the holiday environment was more promotional.

今年的節慶環境更加促銷。

We started planning for this well in advance, understanding December would have six fewer selling days and that our growth in November would need to outpace December.

我們提前開始為此做好計劃，了解 12 月的銷售天數將減少 6 天，我們 11 月的成長需要超過 12 月。

Our November results were strong with double-digit sales increases, driven by robust performances across our portfolio of brands, channels, and categories.

在我們的品牌、通路和品類組合的強勁表現的推動下，我們 11 月份的業績強勁，銷售額實現兩位數增長。

We gained share in the fragrance category, led by new scents like Estee Lauder's Modern Muse, Tory Burch, and the Michael Kors collection.

我們在香水類別中獲得了份額，其中以雅詩蘭黛的 Modern Muse、Tory Burch 和 Michael Kors 系列等新香水為主導。

We experienced record online sales for the quarter, over 25% versus last year, and Cyber Monday marked our Company's biggest US e-commerce sales date in history, a reflection of our online leadership and commitment to building winning platforms.

本季我們的線上銷售額創歷史新高，與去年相比成長了25% 以上，「網路星期一」標誌著我們公司歷史上最大的美國電子商務銷售日，這反映了我們的線上領導力和對建構制勝平台的承諾。

Guided by our winning strategy, the US continues to be an engine of profitable growth for the Company.

在我們的致勝策略的指導下，美國繼續成為公司獲利成長的引擎。

We have demonstrated our ability to win against mass, drive growth in department stores, and succeed in high-growth channels, particularly evident by our outstanding online results and double-digit increases in specialty multi.

我們已經證明了我們有能力贏得大眾，推動百貨公司的成長，並在高成長通路中取得成功，特別是我們出色的線上業績和專業複合產品的兩位數成長。

We are also now gaining share in our fragrance category.

我們現在也在香水類別中獲得份額。

In the quarter, we continued to grow our luxury fragrances, Aerin, Tom Ford, and Jo Malone, along with our new fragrances in department stores.

本季度，我們繼續增加奢華香水 Aerin、Tom Ford 和 Jo Malone 的銷量，以及百貨公司的新香水。

Our brands also continued to drive success in the makeup category.

我們的品牌也持續推動化妝品類別的成功。

MAC, Bobbi Brown, and Smashbox had very strong growth across all channels in the second quarter.

MAC、Bobbi Brown 和 Smashbox 第二季度在所有管道上都有非常強勁的成長。

In addition, we have seen positive results with new offerings like Tom Ford Beauty.

此外，我們還看到了 Tom Ford Beauty 等新產品的積極成果。

We expect these sales trends to continue with a robust launch calendar of new products, such as Estee Lauder's Pure Color Envy Sculpting Lipstick and Nail Lacquers coming in March and Clinique's Lash Power Feathering Mascara launching in April.

我們預計，隨著新產品的強勁推出，這些銷售趨勢將持續下去，例如雅詩蘭黛的 Pure Color Envy Sculpting 唇膏和指甲油將於 3 月推出，以及倩碧的 Lash Power Feathering Mascara 於 4 月推出。

In hair care, Aveda has continued solid performance and gained share in salons, driven by the success of Invati.

在護髮領域，在 Invati 的成功推動下，Aveda 繼續保持穩健的業績，並在沙龍中獲得了份額。

Although we did have growth in skin care last quarter in North America, these gains did not meet our expectations.

儘管上個季度我們在北美的護膚品業務確實有所成長，但這些成長並未達到我們的預期。

As Fabrizio mentioned, we saw softening with some existing products.

正如 Fabrizio 所提到的，我們看到一些現有產品的軟化。

For the remainder of the fiscal year, we are focusing on strengthening our position in skin care with the introductions of new innovations in key subcategories, like moisturizers, anti-aging, and acne.

在本財年剩下的時間裡，我們將重點加強我們在皮膚護理領域的地位，在保濕、抗衰老和痤瘡等關鍵子類別中引入新的創新產品。

We will continue to leverage our ability to execute with excellence to reignite stronger growth in this priority category.

我們將繼續利用我們的卓越執行能力，重新激發此優先類別的強勁成長。

We are a strong leader in prestige beauty in North America and believe we will continue to win by identifying new ways to strengthen our position.

我們是北美高端美容領域的強大領導者，相信我們將透過尋找新的方法來鞏固我們的地位，從而繼續獲勝。

North America on a granular level is full of new consumers, diverse in terms of ethnicity, culture, age, location, shopping preferences, and so much more.

從細粒度上看，北美充滿了新的消費者，他們在種族、文化、年齡、地點、購物偏好等方面各不相同。

We're evaluating the market to identify and prioritize the area with the highest-growth potential, and see opportunities here similar to those in a fast-growing emerging market.

我們正在評估市場，以確定並優先考慮具有最高成長潛力的領域，並在這裡看到與快速成長的新興市場類似的機會。

Driven by our creativity and innovation, we are developing strategies across regions, consumer segments, key account doors, and channels to tap into these opportunities and drive growth.

在創造力和創新的推動下，我們正在製定跨地區、消費者細分、大客戶門和管道的策略，以抓住這些機會並推動成長。

The composition of our consumers continues to evolve in the US, culturally and generationally, and we are focusing on key consumer segments to drive growth, specifically multicultural and consumers over 55.

我們的消費者組成在美國不斷演變，無論是文化還是世代，我們都專注於推動成長的關鍵消費者群體，特別是多元文化和 55 歲以上的消費者。

The Latina consumer is the fastest-growing group.

拉丁裔消費者是成長最快的族群。

Among our many early initiatives to serve the multiethnic consumer and meet her product needs, several of our brands have added multilingual service elements, tailored product assortments, and multiethnic models in advertising.

在我們為服務多民族消費者並滿足其產品需求而採取的許多早期舉措中，我們的幾個品牌添加了多語言服務元素、客製化產品分類和廣告中的多民族模式。

Over the next five years, the population of women in the US 55 and older will increase by 5 million.

未來五年，美國55歲以上女性人口將增加500萬人。

We refer to this key segment as the "Ageless" consumer.

我們將這個關鍵群體稱為「不老」消費者。

These consumers shop primarily in department stores for prestige beauty and have 2.5 times more household income than younger households.

這些消費者主要在百貨公司購買名牌美容產品，其家庭收入是年輕家庭的 2.5 倍。

Many of our brands resonate extremely well among "Ageless" consumers, as we offer innovative anti-aging technologies, along with high touch service.

我們的許多品牌在「Ageless」消費者中引起了極大的共鳴，因為我們提供創新的抗衰老技術以及高品質的服務。

We also see opportunities on a door-by-door basis, with key consumer segments driving category and subcategory growth.

我們也挨家挨戶看到機會，關鍵消費者群體推動品類和子品類的成長。

For instance, if you take a closer look at our biggest retailer in the US, Macy's, and three of its doors within a 12-mile radius of New York City, you see significant differences.

例如，如果您仔細觀察美國最大的零售商梅西百貨 (Macy's) 及其位於紐約市 12 英里半徑範圍內的三個門市，您會發現顯著差異。

In Queens, Rego Park, the Latina consumer drives a majority of beauty sales, while African-American consumers over index in Brooklyn, and fragrance accounts for about half of our beauty sales in both locations.

在皇后區和雷戈公園，拉丁裔消費者推動了大部分美容產品銷售，而布魯克林的非裔美國消費者則超過了這一指數，而香水則約佔這兩個地區美容產品銷售的一半。

In contrast, just a few miles away at Macy's in Flushing, nearly two-thirds of the business is in skin care as consumer demographics shift heavily to eastern Asian.

相較之下，在幾英里外的法拉盛梅西百貨，由於消費者人口結構大量轉向東亞，近三分之二的業務是護膚品。

In each location, we have tailored our brand's presence, service model, product lines, shapes, and merchandising to better serve each consumer segment.

在每個地點，我們都客製化了我們的品牌形象、服務模式、產品線、形狀和推銷，以更好地服務每個消費者群體。

Retail today is omni-channel, which presents another significant opportunity.

當今的零售業是全通路的，這提供了另一個重大機會。

Consumers expect a consistent and customized experience at every touch point, whether they are shopping on their mobile phone, laptop, tablet, in store, or in travel retail.

消費者希望在每個接觸點都能獲得一致的客製化體驗，無論是在手機、筆記型電腦、平板電腦上、在商店或在旅遊零售店購物。

We plan to leverage our strong online business and network of freestanding stores to ensure a seamless prestige experience, no matter where she shops.

我們計劃利用我們強大的線上業務和獨立商店網絡，確保無論她在哪裡購物，都能獲得無縫的尊貴體驗。

We are confident North America will continue to grow, given our focus on identifying emerging opportunities across "regions," consumer segments, key account doors, and channels.

鑑於我們專注於發現跨「地區」、消費者群體、大客戶門和通路的新興機會，我們相信北美將繼續成長。

Led by my dedicated team, we expect this granular approach to generate profitable, sustainable growth, maximizing the infrastructure, capabilities, and resources we have as an established market.

在我的專業團隊的領導下，我們期望這種精細的方法能夠產生盈利、可持續的成長，最大限度地利用我們作為成熟市場所擁有的基礎設施、能力和資源。

We are excited about the Company's future in North America, as we look forward to leveraging our portfolio and strengthening our leadership position.

我們對公司在北美的未來感到興奮，因為我們期待利用我們的產品組合併加強我們的領導地位。

Now I will turn the call over to Tracey.

現在我將把電話轉給特蕾西。

Thank you, Thia, and good morning, everyone.

謝謝你，蒂亞，大家早安。

I will first review our second-quarter financial performance and then share with you our outlook for the remainder of fiscal 2014.

我將首先回顧我們第二季度的財務業績，然後與您分享我們對 2014 財年剩餘時間的展望。

As a reminder, my commentary excludes the year-over-year impact of restructuring and other charges.

提醒一下，我的評論不包括重組和其他費用的同比影響。

And as the quarter and year-to-date comparisons are impacted by the Company's Strategic Modernization Initiative, or SMI, activity in the prior-year period, I will highlight for you both the reported and adjusted comparable growth rates, which I would encourage you to reference as well in this morning's press release.

由於季度和年初至今的比較受到公司去年同期戰略現代化計劃（SMI）活動的影響，我將向您重點介紹報告和調整後的可比增長率，我會鼓勵您這樣做也可參考今天上午的新聞稿。

Net sales for the second quarter rose 3% to $3.02 billion, in line with our expectations.

第二季淨銷售額成長 3%，達到 30.2 億美元，符合我們的預期。

Excluding the impact of currency translation, sales grew 4%.

排除貨幣換算的影響，銷售額成長了 4%。

Net earnings and earnings per share each decreased 6% to $430.2 million and $1.09, respectively.

淨利潤和每股收益分別下降 6% 至 4.302 億美元和 1.09 美元。

EPS was above the top end of our expectations, reflecting strong growth in our makeup artist and luxury brands and high-profit channels and more disciplined cost management, in response to some softening market trends.

每股盈餘超出了我們的預期上限，反映出我們的化妝師和奢侈品牌以及高利潤通路的強勁成長以及更嚴格的成本管理，以應對一些疲軟的市場趨勢。

As we have previously discussed, in the prior year some retailers accelerated their orders into our second quarter that otherwise would have occurred in our third quarter, in advance of the January 2013 rollout of SMI.

正如我們之前所討論的，去年一些零售商在 2013 年 1 月推出 SMI 之前將訂單加速到了我們的第二季度，否則這些訂單本來會發生在我們的第三季度。

The impact of that shift was an additional $94 million in sales and $78 million in operating income, equal to approximately $0.13 per share.

這一轉變的影響是銷售額增加了 9,400 萬美元，營業收入增加了 7,800 萬美元，相當於每股約 0.13 美元。

Excluding the impact of the SMI-related order shift and the restructuring activities from last year, local currency sales would have grown 7% for the quarter and EPS would have grown 6%.

排除與 SMI 相關的訂單轉移和去年重組活動的影響，本季銷售額將成長 7%，每股盈餘將成長 6%。

Looking at our sales growth by region, net sales in our Americas region increased 6% in local currency, with 4% growth in North America and double-digit growth in Latin America.

從各地區的銷售成長來看，美洲地區的淨銷售額以當地貨幣計算成長了 6%，其中北美成長了 4%，拉丁美洲成長了兩位數。

The strongest performance in North America at retail came from double-digit sales growth, both in online, as well as in specialty multi-brand stores, as Thia indicated, and high single-digit growth at our freestanding stores and at prestige department stores.

正如 Thia 所指出的，北美零售業最強勁的表現來自線上和多品牌專賣店的兩位數銷售成長，以及我們的獨立商店和知名百貨公司的高個位數成長。

Latin American growth reflected increases in Brazil, Venezuela, and Chile.

拉丁美洲的成長反映了巴西、委內瑞拉和智利的成長。

In the Europe, Middle East, and Africa region, sales also increased 6% in local currency.

在歐洲、中東和非洲地區，以當地貨幣計算的銷售額也成長了 6%。

We achieved double-digit growth in emerging markets such as Russia, South Africa, and Turkey.

我們在俄羅斯、南非、土耳其等新興市場實現了兩位數成長。

The UK delivered a strong 9% increase in sales, driven by strong performances in MAC, Jo Malone, Bobbi Brown, and Aveda.

在 MAC、Jo Malone、Bobbi Brown 和 Aveda 強勁表現的推動下，英國銷售額強勁成長 9%。

Among the more established markets in Western Europe, France rose mid-single digits, after adjusting for the SMI shift in the prior year, and we were encouraged that Iberia appears to have stabilized, after declining for the past two years.

在西歐較成熟的市場中，法國在對上一年的SMI 變化進行調整後，實現了中個位數的增長，令我們感到鼓舞的是，伊比利亞航空在經歷了過去兩年的下滑後，似乎已趨於穩定。

Sales in Switzerland, Italy, and Germany were lower.

瑞士、義大利和德國的銷售額較低。

And in travel retail, we achieved double-digit net sales gains, driven by the continued benefits of high single-digit international passenger traffic, combined with new distribution and an earlier Chinese New Year, all of which more than offset the impact of a change in Chinese tour regulations.

在旅遊零售方面，受高個位數國際客運量持續帶來的好處的推動，加上新的分銷和中國農曆新年提前，我們實現了兩位數的淨銷售增長，所有這些都抵消了變化的影響在中國旅遊規定。

Our sales in the Asia-Pacific region declined 3% in local currency, reflecting the significant impact of the SMI-related sales shift in China last year.

我們在亞太地區的銷售額以當地貨幣計算下降了 3%，反映出去年中國 SMI 相關銷售變化的重大影響。

Excluding the shift, local currency net sales in the region increased 5% and China rose double digits, reflecting more moderate retail sales growth and the addition of nearly 20 new doors and six new cities during the quarter.

排除這一變化，該地區的本幣淨銷售額增長了 5%，中國增長了兩位數，反映出零售額增長更為溫和以及本季度新增近 20 個門市和 6 個新城市。

Australia, the Philippines, and Singapore saw strong growth and Japan continued its low single-digit growth.

澳洲、菲律賓和新加坡成長強勁，日本則持續維持較低的個位數成長。

We believe Korea is beginning to stabilize, with sales declines moderating to 3% this quarter.

我們認為韓國正開始穩定，本季銷售額下降幅度將放緩至 3%。

Sales in Thailand fell approximately 5%, as political and social unrest affected consumer shopping.

由於政治和社會動盪影響了消費者購物，泰國的銷售額下降了約 5%。

In my discussion of margins and operating expenses, I will refer to the SMI adjusted shift comparison, which provide additional insight into our underlying performance for the quarter.

在討論利潤率和營運費用時，我將參考 SMI 調整班次比較，這為我們本季的基本業績提供了更多見解。

As I mentioned before, a reconciliation table to our reported results is included in our press release.

正如我之前提到的，我們的新聞稿中包含了我們報告的結果的調節表。

Our gross margin improved 10 basis points to 80.7%, which largely reflected the net impact of pricing.

我們的毛利率提高了 10 個基點，達到 80.7%，這在很大程度上反映了定價的淨影響。

Operating expenses -- expense dollars increased 5%, and as a percent of the SMI adjusted sales, which grew 7%, operating expense margin declined 70 basis points to 59.1%.

營運費用－費用美元增加了 5%，佔 SMI 調整後銷售額的百分比增加了 7%，營運費用利潤率下降了 70 個基點，至 59.1%。

The major factors driving the decrease in margin were lower marketing and selling costs of approximately 60 basis points each, partially offset by a prior-year adjustment of accounts payable of approximately 50 basis points.

導致利潤率下降的主要因素是行銷和銷售成本各降低約 60 個基點，部分被去年應付帳款調整約 50 個基點所抵銷。

Operating income rose 11% to $652.8 million and operating margin increased 80 basis points to 21.6%.

營業收入成長 11%，達到 6.528 億美元，營業利益率成長 80 個基點，達到 21.6%。

Net interest expense declined 7% to $12.4 million, primarily due to higher interest income, and our effective tax rate was 32.4%.

淨利息支出下降 7% 至 1,240 萬美元，主要是由於利息收入增加，而我們的有效稅率為 32.4%。

As a reminder, in the prior year we recognized $21.3 million in other income related to the 2007 sale of the Rodan & Fields brand, which added approximately $0.04 to our EPS last year.

提醒一下，去年我們確認了 2,130 萬美元與 2007 年出售 Rodan & Fields 品牌相關的其他收入，這為我們去年的每股收益增加了約 0.04 美元。

For the six months, cash flow from operating activities rose 19%, or $127 million, primarily reflecting improved receivables and payables performance.

過去六個月，經營活動產生的現金流量增加了 19%，即 1.27 億美元，主要反映了應收帳款和應付帳款績效的改善。

Inventory days to sell rose to 186, compared with 163 days last year.

待售庫存天數上升至 186 天，而去年為 163 天。

Higher inventory was mainly due to anticipated sales growth and increased safety stock to maintain appropriate service levels.

庫存增加主要是由於預期的銷售成長和增加安全庫存以維持適當的服務水準。

We invested $217 million in capital projects to support new counters, technology, and retail stores.

我們在資本項目上投資了 2.17 億美元，以支援新櫃檯、技術和零售店。

We repurchased approximately 2.9 million shares of our stock for $205 million and paid $148 million in dividends to stockholders.

我們以 2.05 億美元的價格回購了約 290 萬股股票，並向股東支付了 1.48 億美元的股息。

With the first half behind us, let's now turn to our outlook for the third quarter and the full fiscal year.

上半年已經過去，現在讓我們展望第三季和整個財年。

Starting with the full year, due to slower trends in greater China and Asia, travel retail, and continued softness in parts of Europe, we are narrowing our expectations for fiscal 2014 sales growth to between 6% and 7% in constant currency, in line with the SMI adjusted growth we experienced in the first half of this fiscal year.

從全年開始，由於大中華區和亞洲、旅遊零售業的趨勢放緩，以及歐洲部分地區的持續疲軟，我們將2014 財年銷售成長預期（按固定匯率計算）縮小至6% 至7% 之間。隨著 SMI 調整後的成長，我們在本財年上半年經歷了成長。

Currency translation is expected to negatively impact our full-year sales growth by approximately 1% to 2%.

貨幣換算預計將對我們的全年銷售成長產生約 1% 至 2% 的負面影響。

Our estimate assumes weighted average exchange rates for the full year of 1.33 for the euro, 1.59 for the pound, and 103 for the yen.

我們的估計假設全年加權平均匯率為歐元 1.33、英鎊 1.59 和日圓 103。

The combined benefits of gross margin expansion and operating leverage are expected to drive operating margin expansion by 50 to 60 basis points for the full year.

毛利率擴張和營業槓桿的綜合效益預計將推動全年營業利潤率擴張 50 至 60 個基點。

As previously discussed, we continue to derive cost savings from our initiative programs, while simultaneously strengthening our capabilities in many areas, such as innovation, retail stores, e-commerce, and information systems, that support our Company's future growth objectives.

如前所述，我們繼續從我們的計劃中節省成本，同時加強我們在創新、零售店、電子商務和資訊系統等許多領域的能力，以支持我們公司未來的成長目標。

Advertising, merchandising, and promotions are expected to remain fairly consistent as a percent of sales for the full year.

預計廣告、推銷和促銷佔全年銷售額的百分比將保持相當穩定。

As you are aware, Venezuela is a highly inflationary economy, and there are a number of uncertainties that could affect our business.

如您所知，委內瑞拉是一個高度通貨膨脹的經濟體，存在許多可能影響我們業務的不確定因素。

While the country currently represents approximately 1% of our sales and 2% of our operating income, a hypothetical 45% devaluation of the Venezuelan bolivar could result in a remeasurement loss of approximately $20 million to $27 million, after tax, depending on both the timing and level of the devaluation.

雖然該國目前約占我們銷售額的1% 和營業收入的2%，但假設委內瑞拉玻利瓦爾貶值45%，可能會導致稅後約2,000 萬至2,700 萬美元的重新計量損失，具體取決於時間安排以及貶值的程度。

Additionally, Venezuela recently imposed a law limiting the permissible profit margin to 30%.

此外，委內瑞拉最近頒布了一項法律，將允許的利潤率限制在 30%。

For your clarity, our guidance does include our assessment of the potential impact of the margin cap, but does not at this time take in account an assumption for the devaluation loss.

為了讓您清楚起見，我們的指導確實包括我們對保證金上限的潛在影響的評估，但目前並未考慮貶值損失的假設。

Our fiscal 2014 tax rate is planned at 30% to 32%.

我們2014財年的稅率計劃為30%至32%。

At this time, we are comfortable reaffirming our forecast for full-year EPS in the range of $2.80 to $2.87.

目前，我們重申全年每股收益 2.80 美元至 2.87 美元的預測。

Depending on the magnitude of exchange-rate movement, the approximately 1% to 2% negative currency impact on our net sales equates to about $0.05 of EPS.

根據匯率變動的幅度，貨幣對我們淨銷售額約 1% 至 2% 的負面影響相當於每股收益約 0.05 美元。

As a reminder, the next wave of our SMI rollout is scheduled for July 2014 and will include our North America order to cash, travel retail division, Japan, and the Middle East.

提醒一下，我們的下一波 SMI 部署計劃於 2014 年 7 月推出，其中包括我們的北美訂單兌現、旅遊零售部門、日本和中東。

As has been the case in previous rollouts, we expect retailers will increase their orders in advance of the go-live to mitigate any potential disruptions from the transition.

與先前推出的情況一樣，我們預計零售商將在上線之前增加訂單，以減輕過渡帶來的任何潛在幹擾。

The impact of this potential shift in orders will be to increase sales into our fiscal 2014 fourth quarter and full year from our fiscal 2015 first quarter.

訂單這一潛在轉變的影響將是我們 2014 財年第四季和全年的銷售額將比 2015 財年第一季增加。

We plan to provide an estimate of the shift on our third-quarter call in May, when we expect to have a better indication of the needs of our retailers.

我們計劃在 5 月的第三季電話會議上提供對這一轉變的估計，屆時我們預計能更了解零售商的需求。

The guidance we are giving today does not include this shift in sales and profits.

我們今天給出的指導不包括銷售額和利潤的變化。

For the third quarter, our sales are expected to grow 10% to 11% in local currency.

第三季度，以當地貨幣計算，我們的銷售額預計將成長 10% 至 11%。

Translation could contract growth by approximately 1 to 2 percentage points.

翻譯可能會使增長收縮約 1 到 2 個百分點。

We expect EPS will come in between $0.52 and $0.55.

我們預計每股收益將在 0.52 美元至 0.55 美元之間。

Remember that the prior-year SMI shift in sales of $94 million, or $78 million in operating income and $0.13 of EPS, will have a favorable impact on comparisons in our third quarter.

請記住，SMI 上一年的銷售額變化為 9,400 萬美元，即營業收入 7,800 萬美元，每股收益 0.13 美元，這將對我們第三季的比較產生有利影響。

Adjusting for the shift, our sales growth is expected to be between 6% and 7% in local currency.

根據這一轉變進行調整，以當地貨幣計算，我們的銷售額成長預計在 6% 至 7% 之間。

Additionally, our tax rate is expected to be consistent with our full-year guidance in the third quarter, compared to the lower rate in the prior-year quarter.

此外，與去年同期較低的稅率相比，我們第三季的稅率預計將與我們的全年指引保持一致。

That concludes our prepared remarks and we will be happy to take your questions now.

我們準備好的演講到此結束，我們現在很樂意回答您的問題。

(Operator Instructions).

（操作員說明）。

Nik Modi, RBC Capital Markets.

尼克莫迪，加拿大皇家銀行資本市場。

Just a quick question on some of the competitive activity you were talking about.

只是簡單問一下您所談論的一些競爭活動。

If you could just provide a little bit of clarity on exactly where it's coming from, is it focused in a particular region or category, just to give us a little bit of color around that would be really helpful.

如果你能稍微澄清一下它的確切來源，它是否集中在特定的地區或類別，只是為了給我們一點顏色周圍的信息，那將非常有幫助。

And then, just a quick follow-up to that, unrelated, is how did e-commerce impact margins this quarter?

然後，快速跟進一下，與此無關的是，電子商務如何影響本季的利潤率？

I am just curious on what the mix shift impact was on profitability.

我只是好奇混合轉變對獲利能力有何影響。

Thanks.

謝謝。

So on the last one, how e-commerce impact margin, the more we grow e-commerce or online as a mix in our business, the better the margin goes, because it is a high-margin channel for us.

因此，在最後一個問題上，電子商務如何影響利潤率，我們在業務中發展電子商務或線上業務越多，利潤率就越高，因為這對我們來說是一個高利潤率的管道。

I don't think we can share specific indication and numbers, but basically, you need to associate the growth of online above average of the growth of the Company to margin increase in general.

我認為我們無法分享具體的指標和數字，但基本上，您需要將高於公司平均成長率的線上成長與整體利潤率成長聯繫起來。

In term of competitive activities, we see many.

在競技活動方面，我們看到很多。

Here in North America, the biggest competitive activity, and Thia can expand on it later, has been the promotionality of the holidays in general, and a lot of launches in the fragrance categories, and important activity in skin care, particularly in the cleansing and device areas.

在北美，最大的競爭活動（Thia 可以在稍後擴展）是整個假期的促銷活動，以及香水類別的大量發布，以及皮膚護理方面的重要活動，特別是在清潔和護理方面。設備區域。

In Asia, we see strong performance from us and some other international brands, but also we see strong performance from Korean brands that are growing market share in the region.

在亞洲，我們看到我們和其他一些國際品牌的強勁表現，我們也看到韓國品牌的強勁表現，這些品牌在該地區的市場份額不斷增長。

And in term of Europe, I think it's the traditional competition.

就歐洲而言，我認為這是傳統的競爭。

It's just that because of the recessionary environment has been in general more promotional.

只是由於經濟衰退的環境，促銷活動普遍較多。

Dara Mohsenian, Morgan Stanley.

達拉莫森尼安，摩根士丹利。

Tracey, can you discuss your regional profit results a bit more in the quarter?

特蕾西，您能多討論一下本季的地區利潤結果嗎？

I was surprised Americas was up so much and then Asia looked weak, so I just wanted to get some detail on the drivers behind that.

我很驚訝美洲的漲幅如此之大，而亞洲卻顯得疲軟，所以我只是想了解其背後驅動因素的一些細節。

And also, ad spend you had slated to be up substantially year over year in Q2.

此外，第二季的廣告支出預計將比去年同期大幅成長。

I am wondering did you spend in line with that, given SG&A came in better than we expected, or is some of that shifting into Q3?

我想知道您的支出是否與此一致，因為 SG&A 的情況比我們預期的要好，或者其中一部分會轉移到第三季？

Sure, so regarding our regional performance, as Thia indicated, we had a good holiday season in North America and certainly in the US.

當然，就我們的區域表現而言，正如蒂亞所指出的那樣，我們在北美尤其是美國度過了一個愉快的假期。

So our growth was quite strong, given some of the holiday programs that we had.

因此，考慮到我們的一些假期計劃，我們的成長相當強勁。

In Latin America, as I mentioned, it was up double digits, so overall from an Americas standpoint, we certainly had strong growth, as I spoke in the call and as we reflected in the press release.

正如我所提到的，在拉丁美洲，增長了兩位數，因此總體而言，從美洲的角度來看，我們確實實現了強勁的增長，正如我在電話中所說以及我們在新聞稿中所反映的那樣。

Asia had a number of issues, and even adjusting from an SMI standpoint, we continue to see, although we mentioned it was stabilizing, softer growth in Korea.

亞洲存在許多問題，甚至從 SMI 的角度進行調整，我們仍然看到，儘管我們提到韓國的成長正在穩定，但成長更加疲軟。

We had low single-digit growth in Japan, and then China was softer this quarter, for the reasons that we mentioned.

由於我們提到的原因，我們在日本的成長率較低，個位數，然後中國本季的成長更為疲軟。

So the Asia region was a bit softer than we have experienced in prior quarters, and part of the reason that we looked to bring down our guidance for the full year was because of some continued softness, although picking up in the second half of the year relative to what we have seen, certainly in the fourth quarter.

因此，亞洲地區的情況比我們前幾季經歷的情況要軟一些，我們希望降低全年指導的部分原因是由於一些持續的疲軟，儘管下半年有所回升相對於我們所看到的，當然是第四季的情況。

But we do expect some muted performance out of that region for the balance of the year.

但我們確實預計該地區在今年餘下的時間裡表現會比較平淡。

In terms of expenses and your question on advertising, yes, we did.

就費用和你對廣告的問題而言，是的，我們做到了。

As we looked at some trends in the quarter, it did reduce some of our advertising spend and certainly some of our G&A spend.

當我們觀察本季的一些趨勢時，它確實減少了我們的一些廣告支出，當然還有一些一般管理支出。

Wendy Nicholson, Citi.

溫迪·尼科爾森，花旗銀行。

I have a question going back to some of the weakness in the skin care category, and maybe, Thia, this is for you.

我有一個關於皮膚護理類別中的一些弱點的問題，也許，Thia，這是給你的。

But is the weakness that you have seen in some of your existing products related at all to pricing that you might have taken?

但是，您在某些現有產品中看到的弱點是否與您可能採取的定價有關？

I know pricing is a new idea for the Company, and I'm wondering if you have taken some pricing and maybe pushed it too hard.

我知道定價對公司來說是一個新想法，我想知道你們是否採取了一些定價，並且可能把它推得太高了。

And do you have a sense -- it sounds like the new DDML+ is doing okay, but maybe not as well as you had expected.

您是否有一種感覺——聽起來新的 DDML+ 做得不錯，但可能沒有您預期的那麼好。

Again, do you think the $1 price increase had any impact on that?

再說一次，你認為 1 美元的漲價對此有什麼影響嗎？

And then, just a quick question, Tracey, is there a specific timeframe for when we might start to see improvements in the inventory levels?

然後，我想問一個簡單的問題，特雷西，我們何時開始看到庫存水準有所改善，是否有一個具體的時間範圍？

Thanks.

謝謝。

So Wendy, it is Thia.

溫迪，是蒂亞。

The pricing really had nothing to do with the performance of -- whether it's Advanced Night Repair or DDML+, as evidenced in our tremendous growth that we've had in some of our high-end skin care, such as La Mer.

定價實際上與產品的性能無關——無論是高級夜間修護產品還是DDML+，我們在一些高端護膚品（例如La Mer）中取得的巨大增長就證明了這一點。

So, it would not be a pricing issue, and we did very well with the new introductions.

所以，這不會是一個定價問題，而且我們在新推出的產品上做得很好。

But as Fabrizio and I indicated, there was just more cannibalization in some of our existing products, a bit more than we had planned for.

但正如法布里齊奧和我指出的那樣，我們現有的一些產品中存在更多的蠶食，比我們計劃的要多一些。

Certainly as we move forward into the second quarter, we have looked at this, examined it, and we've focused our promotion -- our activity in terms of innovation to see a turnaround in skin care in the second half.

當然，當我們進入第二季度時，我們已經研究了這一點，進行了檢查，並且我們集中了我們的促銷活動 - 我們在創新方面的活動，以期在下半年看到皮膚護理的好轉。

And Wendy, regarding inventory, we are taking some very specific actions towards the end of the year to reduce our current level of inventory.

溫迪，關於庫存，我們將在年底採取一些非常具體的行動，以降低目前的庫存水準。

We do, however, have another rollout of SMI, and so even though that's not in our financial results right now, that will result in a build of a residual build of inventory, in addition to additional shipments towards the end of the year.

然而，我們確實再次推出了 SMI，因此，儘管這不在我們目前的財務業績中，但這將導致剩餘庫存的增加，以及年底前的額外發貨。

So in fairness, I would say that our inventory levels will start to sustainably improve after this last wave of SMI, when we can start to manage them down far more aggressively than we have been over the last couple of years with the SMI rollout.

因此，公平地說，我想說，在最後一波 SMI 之後，我們的庫存水準將開始持續改善，屆時我們可以開始比過去幾年 SMI 推出時更積極地管理庫存。

Alice Longley, Buckingham Research.

艾麗絲朗利，白金漢研究中心。

I have a couple of follow-up questions.

我有幾個後續問題。

Why do you expect your results in Asia, in China, in particular, to pick up especially in the fourth quarter?

為什麼您預期亞洲（特別是中國）的業績會在第四季有所回升？

And similarly, what are you doing to make skin care pick up again, it sounds like, by the fourth quarter?

同樣，您正在採取哪些措施來使皮膚護理（聽起來像是在第四季度之前）再次回升？

And the final part of that is, could you list which categories grow fastest in fiscal 2014, adjusted for currency?

最後一部分是，您能否列出 2014 財年哪些類別成長最快（根據貨幣調整）？

I think in the past it was skin, followed by color, followed by fragrance.

我覺得以前是皮，其次是顏色，然後是香味。

Could you give us an update on that for global results and also for the US?

您能為我們介紹一下全球和美國的最新情況嗎？

Thank you.

謝謝。

Okay, well, we will look at the ranking of categories.

好吧，我們來看看類別的排名。

Let's talk about Asia.

我們來談談亞洲。

First of all, what's happening in Asia is a combination of factors, as we explained.

首先，正如我們所解釋的，亞洲正在發生的事情是多種因素綜合作用的結果。

First of all, in this moment you have China with a slowdown.

首先，目前中國經濟正在放緩。

Let's talk first about that.

我們先來說說這一點。

The China slowdown is characterized by a stronger slowdown in Tier 1 cities and in the luxury interest in general of Tier 1 cities' population.

中國經濟放緩的特徵是一線城市和第一線城市人口普遍對奢侈品的興趣放緩幅度更大。

But in Tier 2, 3, 4 cities, meaning the new population of China now, the growing middle class now are approaching more prestige product, actually the growth continue very solidly.

但在二、三、四線城市，也就是中國現在的新人口、不斷成長的中產階級正在接近更高端的產品，實際上成長持續非常穩健。

So we're adjusting our strategy to this new reality, meaning we are building distribution and penetration in Tier 2, 3, 4 cities, and aggressively building our online penetration in China.

因此，我們正在根據這個新現實調整我們的策略，這意味著我們正在二、三、四線城市建立分銷和滲透率，並積極建立我們在中國的線上滲透率。

For example, the Clinique T-Mall site has been extremely successful and we are clearly ahead of goals.

例如，倩碧天貓商城網站非常成功，我們明顯領先目標。

Because of this, we believe that we are fitting and adjusting our strategy to the new profile of growth for China, and in this sense, we should get better results even in a slowing down environment in the future months.

正因為如此，我們相信我們正在適應和調整我們的策略以適應中國成長的新格局，從這個意義上說，即使在未來幾個月放緩的環境下，我們也應該取得更好的業績。

By the way, we saw already a pickup in the month of January previous to the Chinese New Year.

順便說一句，我們在農曆新年前的一月就已經看到了回升。

The second situation in Asia is temporary.

亞洲的第二種情況是暫時的。

Thailand is a big business for us, and Thailand, as we said, was minus 5% because of the political unrest.

泰國對我們來說是一個大生意，正如我們所說，泰國因為政治動盪而下降了-5%。

This was not expected, and we hope that as soon as Thailand will go to normalized political environment, we'll continue to see the trend, growing trends, that, by the way, was double digit before the political unrest.

這是出乎意料的，我們希望一旦泰國進入正常化的政治環境，我們將繼續看到這種趨勢，不斷增長的趨勢，順便說一句，在政治動盪之前，這一數字是兩位數。

So we were growing double digit to minus 5%.

因此，我們的成長率達到了兩位數，達到負 5%。

That's temporary.

那是暫時的。

That, obviously for us, was a surprise.

這顯然對我們來說是一個驚喜。

Then you have Korea that is stabilizing, although it's still declining.

然後韓國正在穩定，儘管它仍在下降。

So we believe that in the next month, we will reach real stabilization and possibly we will start growing again in this very important market for us.

因此，我們相信，在下個月，我們將達到真正的穩定，並且可能我們將在這個對我們來說非常重要的市場上再次開始成長。

And then, there are some good news that we have shared -- Japan picking up, Australia doing better, and the other markets, like Singapore, Philippines, really performing.

然後，我們分享了一些好消息——日本正在復蘇，澳洲表現更好，而其他市場，如新加坡、菲律賓，也確實表現出色。

So we believe this will pick up.

所以我們相信這種情況將會好轉。

Now in term of skin care, in skin care we are going back to do some innovation, which we believe being very strong in our key brands, which are in what we define white spaces.

現在在皮膚護理方面，在皮膚護理方面，我們將重新進行一些創新，我們相信這些創新在我們的關鍵品牌中非常強大，這些品牌位於我們定義的空白區域。

I mentioned in my prepared remarks that Lauder and Clinique are entering the watery lotion category in Asia.

我在準備好的演講中提到，蘭黛和倩碧正在進入亞洲的水乳液類別。

To be very clear, this is a white space, so it is supposed to cannibalize much less because it is a space in which we are not and our competition is.

需要非常明確的是，這是一個空白空間，因此它的蠶食應該要少得多，因為我們不在這個空間，而我們的競爭對手卻在這個空間。

And our products are superior, very strong, very liked by the consumers, so this will be net extra.

而且我們的產品非常優質，非常強大，深受消費者的喜愛，所以這將是淨額外的。

Our skin care strategy in the future will be more focused on this net extra space.

我們未來的護膚策略將更加關注這個淨額外空間。

There are others, which I cannot mention for competitive reasons, that will happen in the last quarter, and then, the example of Clinique Acne also is much more a white space for us with net extra additional space that our brands will build in skin care, by the way, in very profitable segments, and that is why we believe we will pick up again the trend of skin care.

還有其他一些，出於競爭原因我不能提及，這將在上個季度發生，然後，倩碧痤瘡的例子對我們來說也更像是一個空白空間，我們的品牌將在護膚領域建立額外的淨額外空間順便說一句，在非常有利可圖的領域，這就是為什麼我們相信我們將再次拾起皮膚護理的趨勢。

And I wanted to close saying although in skin care we have grown less than what we wanted in the quarter, we have still been growing and growing very well.

最後我想說的是，儘管在皮膚護理領域我們本季的成長低於我們的預期，但我們仍然在成長，而且成長得非常好。

And regarding your question on full-year category growth, so makeup, as we have called out, has been a strong performer year to date, and we expect that it will continue to be a strong performer balance of year.

關於您關於全年品類成長的問題，正如我們所指出的那樣，化妝品今年迄今為止一直表現強勁，我們預計它將繼續成為今年表現強勁的產品。

We are seeing tremendous, tremendous growth in our MAC brand and Tom Ford and others.

我們看到我們的 MAC 品牌和 Tom Ford 等品牌取得了巨大的成長。

So, that will be our fastest-growing category.

因此，這將是我們成長最快的類別。

Second would be hair care, with the success of the Aveda brand and some of the expanded rollouts there.

其次是護髮，隨著 Aveda 品牌的成功以及一些擴大的推廣。

Third would be skin care, and as Fabrizio mentioned, we do have plans in the second half, in addition to picking up in Asia, that will impact the skin care growth to be faster in the second half than it was in the first half.

第三是護膚品，正如Fabrizio所提到的，我們下半年確實有計劃，除了亞洲的成長之外，這將影響下半年護膚品的成長比上半年更快。

So that's the ranking.

所以這就是排名。

And then, fragrance would be last.

然後，香水將是最後的。

Olivia Tong, Bank of America.

奧利維亞唐，美國銀行。

Are we to assume that skin care margins will be down for fiscal 2014?

我們是否可以假設 2014 財年保養品利潤率將會下降？

And then, on the US, what have you expected US category -- the US category to grow at and where do you see category growth now?

然後，關於美國，您對美國品類的成長有何預期？您認為美國品類的成長速度如何？

And can you give a little bit more color on sales growth for the bigger brands versus the smaller ones, since it looks like the bigger ones were perhaps a bit more sluggish than you thought, but the smaller brands were clearly more than offset?

您能否對大品牌與小品牌的銷售成長提供更多的信息，因為看起來大品牌可能比您想像的要遲緩一些，但小品牌顯然抵消了這一影響？

So is that growth disparity between those two ends of the portfolio widening, and what implications does that have on spending needs and ability to leverage fixed costs by brands?

那麼，投資組合兩端之間的成長差距是否正在擴大？這對品牌的支出需求和利用固定成本的能力有何影響？

Thank you.

謝謝。

Okay, I will take this last one while Thia and Tracey will prepare to answer the first two questions.

好的，我會回答最後一個問題，而 Thia 和 Tracey 將準備回答前兩個問題。

Actually, you are correct.

事實上，你是對的。

Our midsize brands are today growing in our portfolio faster than our biggest brands, with the exception of MAC, which is one of our fastest-growing brands.

如今，我們的中型品牌在我們的產品組合中的成長速度快於我們最大的品牌，但 MAC 除外，它是我們成長最快的品牌之一。

And this is having a very healthy impact on our business because it is making our portfolio broader, meaning the amount of brands that, if growing, have a significant impact on our growth is increasing.

這對我們的業務產生了非常健康的影響，因為它使我們的產品組合更加廣泛，這意味著如果品牌數量不斷增長，將對我們的成長產生重大影響的品牌數量也在增加。

And the fact that the midsize more brands today are becoming bigger and are growing faster is another balancing factor to our portfolio to actually reduce our risk of being exposed to one brand or another being soft for a short period of time or being exposed to one competitor [act] or another.

事實上，當今的中型品牌規模越來越大，成長速度越來越快，這是我們投資組合的另一個平衡因素，它實際上降低了我們暴露於一個或另一個品牌短期內表現疲軟或暴露於一個競爭對手的風險[行動]或其他。

So we are broadening our portfolio geographically.

因此，我們正在擴大我們的投資組合的地理範圍。

We are broadening our portfolio in term of channel, a growing channel like the expansion in e-commerce, as an example, and we are broadening our strengths by brand portfolio.

我們正在擴大我們在通路方面的投資組合，例如電子商務擴張等不斷增長的管道，我們正在透過品牌組合擴大我們的優勢。

Both these is a very positive trend.

這都是一個非常正面的趨勢。

Now, Thia.

現在，蒂亞。

In terms of the market and growth, we are thrilled because we are part of a dynamic market in terms of prestige beauty growth.

就市場和成長而言，我們感到很興奮，因為就聲望美容成長而言，我們是充滿活力的市場的一部分。

If we take a look at the categories, department stores are certainly a major portion of our business today, and we have really figured out a way of attracting that mass consumer and recruiting for mass in our department-store channel.

如果我們看一下類別，百貨公司無疑是我們今天業務的主要部分，我們確實找到了一種吸引大眾消費者並在百貨公司通路中招募大眾的方法。

We also have, in terms of high-growth channels, a tremendous growth in terms of online, also in terms of freestanding stores and specialty multi.

在高成長通路方面，我們在網路上、獨立商店和專賣店方面也取得了巨大的成長。

So we -- and you have seen the numbers, and certainly makeup has been a key driver and it's a significant portion of our North American portfolio.

所以我們——你也看到了這些數字，當然化妝品是一個關鍵驅動因素，也是我們北美產品組合的重要組成部分。

We see the turnaround in terms of skin care, and Fabrizio had mentioned the white space in terms of acne, and we have a new product in Estee Lauder as well that attacks that.

我們看到了皮膚護理方面的轉變，法布里奇奧提到了痤瘡方面的空白，我們雅詩蘭黛也有一個新產品可以解決這個問題。

And certainly as we look at it, because of this growing marketplace, we are going to be a major player and expand our leadership position.

當然，正如我們所看到的，由於這個不斷成長的市場，我們將成為主要參與者並擴大我們的領導地位。

And lastly, regarding skin care margins, we do not expect them to be down for the full year.

最後，關於護膚品利潤率，我們預計全年不會下降。

Obviously, skin care will grow at less than makeup, so from a mix standpoint, it will represent less of a margin-mix upside for us, but the margin should be up year over year in the category.

顯然，護膚品的成長速度將低於化妝品，因此從混合的角度來看，它對我們來說代表的利潤混合上升空間較小，但該類別的利潤率應該會逐年上升。

Jason English, Goldman Sachs.

賈森·英格利希，高盛。

I wanted to come back to China because I guess I'm still confused here.

我想回到中國，因為我想我在這裡仍然很困惑。

You gave us a lot of color on it, but I have heard some conflicting numbers.

你給了我們很多色彩，但我聽到了一些相互矛盾的數字。

So first, can you just tell us what your growth in the market was, excluding the shift in retail ordering, on both an all-in and same-store sales basis, as well as your view of the current category growth?

首先，您能否告訴我們您在市場上的成長情況（不包括零售訂單的變化），在整體銷售和同店銷售的基礎上，以及您對當前品類成長的看法？

And I guess a little more color on your deceleration.

我想你的減速應該會有更多的色彩。

I suspect the same-store sales number is going to be behind where the category was growing.

我懷疑同店銷售額將落後於該類別的成長。

If so, what is driving the market-share weakness?

如果是這樣，是什麼導致了市場份額的疲軟？

So, what was the --

那麼，那是什麼——

So for the quarter, our comp growth, adjusted for SMI, was 10% in the quarter.

因此，就本季而言，經 SMI 調整後，我們的綜合成長率為 10%。

And then in terms of the year-to-date number, so the six-month number, the comp growth, adjusted, Jason, was 16%.

然後就年初至今的數字而言，傑森，六個月的數字，即調整後的複合增長率為 16%。

Okay, and in term of our -- we are growing market share, because we're growing in these market above the market trend, and so we continue to build market share.

好的，就我們而言，我們的市場份額正在成長，因為我們在這些市場上的成長高於市場趨勢，所以我們繼續擴大市場份額。

And the strategy is to expand our penetration into Tier 2, Tier 3, Tier 4 cities and online, which are within China the fastest-growing segments of the market.

我們的策略是擴大對二線、三線、四線城市和網路的滲透，這些是中國成長最快的市場領域。

So the strategy is pretty simple.

所以策略非常簡單。

We are exposing our brands to the fastest-growing segments of the market, and thanks to that, we are able to continue growing above the market.

我們正在將我們的品牌暴露在成長最快的市場領域，因此，我們能夠繼續領先市場。

But however, the market is lowering and has lowered in the last quarter, and so those are the facts.

但是，市場正在下跌，並且在上個季度已經下跌，所以這些都是事實。

Now, the other important thing to understand about the China investment, taking a bit longer-term view, is that the Chinese consumer continues to -- the middle class continues to grow and the Chinese consumer continue to spend, but they are, some of them, are traveling more, they are spending more when they travel in travel retail or in the countries they visit, and in a way, this is part of the reason why there is some slowdown internally, in our opinion.

現在，從更長遠的角度來看，了解中國投資的另一件重要事情是，中國消費者繼續——中產階級繼續增長，中國消費者繼續消費，但他們中的一些人他們旅行的次數越來越多，他們在旅遊零售或訪問的國家旅行時花費更多，在某種程度上，我們認為這是內部經濟放緩的部分原因。

And so, the combination of our sales with the Chinese consumer is still very, very strong, even if there is this slowdown trend internally.

因此，即使內部存在這種放緩趨勢，我們與中國消費者的銷售組合仍然非常非常強勁。

And that is the way we look at it for the long term.

這就是我們長期看待它的方式。

Caroline Levy, CLSA.

卡洛琳·利維，里昂證券。

Just wondering, for both Thia and for Fabrizio, have you given up on the idea or are you sticking with the idea that you don't want to be in the device business, just given how successful L'Oreal has been there?

只是想知道，對於 Thia 和 Fabrizio 來說，考慮到歐萊雅在設備行業的成功，您是否已經放棄了這個想法，還是堅持不想涉足設備業務？

It seems to be both a big and a growing opportunity, and I know up until now you've said that's nothing that you want to do.

這似乎是一個巨大且不斷增長的機會，我知道到目前為止你都說過這不是你想做的事。

Are you still of that view?

你現在還持這樣的觀點嗎？

And just similarly with acquisitions, you spent a while getting Smashbox to perform as you hoped, I guess, and does that mean you are maybe more willing to step up to the plate now?

與收購類似，我猜你花了一段時間讓 Smashbox 發揮你所希望的表現，這是否意味著你現在可能更願意採取行動？

And then, just finally, the big investment in fragrance feels awfully disappointing, looking at the results.

最後，從結果來看，對香水的巨額投資讓人感到非常失望。

And I'm just wondering if we can expect a big pullback in spending next -- as you move out, because you're not getting the return on investment that you would liked to have seen?

我只是想知道，當您搬出去時，我們是否可以預期接下來的支出會大幅縮減，因為您沒有獲得您希望看到的投資回報？

Okay, let me start on this last one is that we -- as you have seen, we are managing our business very flexibly, and focused on our financial results and on maximizing return of our investments.

好的，讓我從最後一個開始，正如您所看到的，我們正在非常靈活地管理我們的業務，並專注於我們的財務表現和最大化投資回報。

So we learn and we have learned this year that certain investment, we mentioned before some cannibalization of some skin care launches.

所以我們了解到，今年我們已經了解到某些投資，我們之前提到一些護膚品發布的一些蠶食。

We mentioned some countries.

我們提到了一些國家。

Now you mentioned fragrances where we had lower return, in some cases, than what we expected and, frankly, higher returns in other cases.

現在你提到了香水，在某些情況下，我們的回報率低於我們的預期，坦白說，在其他情況下，回報率較高。

Within fragrances, I mentioned some great success stories in our launches in my prepared remarks, and I also revealed there were some areas where we did less than expected.

在香水方面，我在準備好的發言中提到了我們發布產品時的一些巨大成功故事，我還透露了我們在某些​​領域做得比預期要少。

So yes, you can expect us to adjust to this new reality and to learn from what we are doing and to refocus and rebalance our investments in the future, based on the successful stories, and minimize or avoid to invest in areas with a wrong rate of return.

所以，是的，您可以期望我們適應這一新現實，從我們正在做的事情中學習，並根據成功的故事重新調整和重新平衡我們未來的投資，並儘量減少或避免投資於利率錯誤的領域的回報。

So there was the -- what was the other point?

所以還有──另一點是什麼？

Oh, yes, the question on devices.

哦，是的，關於設備的問題。

Again, we watch the market, watch the consumers, and we learn.

再次，我們觀察市場，觀察消費者，並學習。

So I don't think we said never do anything about it, but we said that we were not going to launch devices at the point in time.

所以我不認為我們說過永遠不會對此採取任何行動，但我們說過我們不會在當時推出設備。

Our strategy here is to try to create sustainable propositions to address the consumer benefit in that area, and we are working on it.

我們的策略是嘗試創造可持續的主張來解決該領域的消費者利益，我們正在努力實現這一目標。

So if we call it devices or different thing or different kind of innovation, this is something I cannot discuss, but definitely the benefit area of cleansing is a very important benefit area for the Company, and we are going to address it in the future and I believe very competitively.

因此，如果我們稱之為設備或不同的事物或不同類型的創新，這是我無法討論的問題，但清潔的效益領域絕對是公司非常重要的效益領域，我們將在未來解決這個問題，我相信很有競爭力。

There was a third question.

還有第三個問題。

M&A.

嘛。

Acquisition.

獲得。

Acquisition, sorry.

收購，抱歉。

There were many questions.

有很多問題。

The acquisition, well, we continuously look at the market.

這次收購，嗯，我們不斷關注市場。

We are very interested in growing by acquisition.

我們對透過收購實現成長非常感興趣。

As you know, in our goals we have the intent to build 1 point of growth out of acquisitions, so we are continually monitoring the market and we are ready to do the right steps when opportunity arises.

如您所知，在我們的目標中，我們打算透過收購建立 1 個成長點，因此我們不斷監控市場，並準備在機會出現時採取正確的步驟。

Smashbox is a happy story so far, and we are definitely ready to consider opportunities if they arise.

到目前為止，Smashbox 是一個愉快的故事，如果出現機會，我們絕對準備好考慮。

Javier Escalante, Consumer Research.

哈維爾·埃斯卡蘭特，消費者研究。

My question has to do with your margin goal.

我的問題與您的利潤目標有關。

Early back in August, I understood that you said that the expansion in margins depended upon making marketing and promotional spending more efficient, and it seems like you are now being compelled to increase both because of competitors' activity and the recessionary environment.

早在八月初，我就了解到您說利潤率的擴大取決於提高行銷和促銷支出的效率，而且由於競爭對手的活動和經濟衰退的環境，您現在似乎被迫增加利潤。

And the other point that is also pressing margins, in my view, has to do with China.

在我看來，另一個同樣影響利潤率的因素與中國有關。

I don't fully understand that characterization that you are changing the strategy there.

我不完全理解你正在改變那裡的策略的特徵。

We have been hearing about this expansion in Tier 2 to 3 or 4 cities since 2012, and what's the point of making this spending in brick and mortar if incremental sales are going into travel retail and e-commerce?

自 2012 年以來，我們一直聽說二線城市向三、四線城市擴張，如果增量銷售進入旅遊零售和電子商務，那麼在實體店進行這種支出有何意義？

So if you can explain us where the impact of these two in your margin goals?

那麼您能否向我們解釋一下這兩項對您的利潤目標的影響？

Thank you.

謝謝。

On the [input on] margin goals, to be clear, we have a strategy where all our high-growth areas are margin accretive.

關於利潤率目標，需要明確的是，我們有一個策略，即我們所有的高成長領域都是以利潤增值的。

That is intentional.

那是故意的。

So travel retail; online; emerging markets; China; the new segments; skin care category; within skin care category, certain areas of benefit are all margin accretive.

所以旅遊零售；在線的;新興市場;中國;新的細分市場；保養品類；在皮膚護理類別中，某些益處領域都會增加利潤。

So our business is actually designed on purpose to grow faster in areas with higher marginality.

因此，我們的業務實際上是為了在邊際性較高的領域中實現更快成長而設計的。

And this is working so far.

到目前為止，這是有效的。

It's working very, very well.

它運作得非常非常好。

Now if you add cost-saving activity to this mix asset, then you get the clear idea of what we are driving in term of margin progress and the way we are driving margin progress in the long term.

現在，如果您將成本節約活動添加到此混合資產中，那麼您就會清楚地了解我們在利潤率進步方面所推動的內容以及我們在長期內推動利潤率進步的方式。

If you add to this the third element, which is leveraging growth with productivity gains, then you get the full picture.

如果你再加上第三個要素，就是利用生產力提高來促進成長，那麼你就會得到全面的了解。

So I don't believe there is any risk in the strategy to decrease margin.

因此，我認為降低利潤率的策略不存在任何風險。

Actually, I believe we will continue to build margin gradually, and we will relook at our goals as opportunity arise and as our cost SMI saving programs become clearer.

事實上，我相信我們將繼續逐步提高利潤率，並且隨著機會的出現以及我們的 SMI 成本節省計劃變得更加清晰，我們將重新審視我們的目標。

In term of the China strategy, I am not sure -- I am not very clear what you don't understand of the strategy, because basically the Tier 2, 3 cities, the awareness of the brands today is low.

就中國戰略而言，我不確定──我不太清楚你對這個策略有什麼不了解的地方，因為基本上在二、三線城市，今天的品牌認知度很低。

Building brick and mortar there makes -- by the way, very efficient brick-and-mortars, because few doors, which sell a lot of products.

順便說一句，那裡的磚和灰漿建築非常高效，因為門很少，但可以銷售很多產品。

And as you know, in our business the profit is dependent from sales per door, so those few doors are very effective, very efficient.

如您所知，在我們的業務中，利潤取決於每扇門的銷售額，因此這幾扇門非常有效、非常有效率。

On top of this, they create awareness in this area, so these people that live in the city, when they travel and when they go online, buy our brands in travel retail, online, or in Paris, and if we were not in the city to create awareness, first of all, we will have less productive doors, and, second, we will not have the awareness for these people buying and preferring our brand in those channels.

最重要的是，他們在這個領域建立了意識，所以這些生活在城市的人，當他們旅行和上網時，會在旅遊零售、在線或巴黎購買我們的品牌，如果我們不在巴黎城市要建立意識，首先，我們的生產力會降低，其次，我們不會讓這些人在這些管道中購買並喜歡我們的品牌。

In that way, this strategy is definitely accretive to margin.

這樣一來，這個策略肯定會增加利潤。

And the only thing that I would add with respect to your commentary on advertising, marketing, and promotion, we have spent against everything that we have planned to spend on at the beginning of the year.

關於您對廣告、行銷和促銷的評論，我唯一要補充的是，我們的支出與年初計劃的支出相抵。

And Fabrizio mentioned that we are flexible.

Fabrizio 提到我們很有彈性。

As we have seen results, we have recalibrated some of the levels of spending behind some programs, but by and large, we have spent against everything that we had planned to spend on as we structured the year.

正如我們所看到的結果，我們重新調整了一些項目背後的一些支出水平，但總的來說，我們的支出與我們今年的計劃支出相抵觸。

We have time for one more question.

我們還有時間再問一個問題。

Bill Schmitz, Deutsche Bank.

比爾‧施密茨，德意志銀行。

A few things.

一些東西。

As I look at the cash flow statement, obviously cash flow from operations are up 19% for the year, but the share repurchase is down 37%.

當我查看現金流量表時，很明顯，今年營運現金流量增加了 19%，但股票回購下降了 37%。

You obviously have this big, growing cash hoard, and the multiple is coming down.

顯然你擁有如此龐大且不斷增長的現金儲備，而且倍數正在下降。

So I couldn't think of a better opportunity to get more aggressive in the share repurchase.

所以我想不出更好的機會來更積極地進行股票回購。

And I always thought the strategy was we don't want to add any more leverage, but we are perfectly content sweeping the cash that we generate from this point forward.

我一直認為我們的策略是我們不想增加任何更多的槓桿，但我們非常滿足於從現在開始清理我們產生的現金。

So just any clarity on that.

所以請澄清這一點。

And then maybe I missed it, but can you just give us the actual travel retail sell-in and sellthrough percentages?

也許我錯過了，但你能給我們實際的旅遊零售銷售和售出百分比嗎？

And then, the real question, sorry for being so long winded, but it seems like Clinique is having a real tough go of it right now, especially in the US.

然後，真正的問題，很抱歉說了這麼長的話，但看起來倩碧現在確實遇到了困難，尤其是在美國。

So I wonder if there is a triage plan there, and I know there is some tough comparisons, obviously.

所以我想知道那裡是否有一個分類計劃，而且我知道顯然存在一些艱難的比較。

And then, if Jane being appointed as President of the business, if there is anything incremental that is going to happen with the brand?

然後，如果簡被任命為業務總裁，該品牌是否會發生任何增量變化？

Thanks very much.

非常感謝。

Okay, that was a lot.

好吧，就這麼多了。

In terms of share repurchase, we see the opportunity that you see, and, yes, we're still very committed to our share repurchase program.

在股票回購方面，我們看到了你們看到的機會，而且，是的，我們仍然非常致力於我們的股票回購計畫。

In terms of travel retail, I assume you were asking about the second quarter, and the net sales in the second quarter, as we mentioned, were up double digit.

就旅遊零售而言，我假設您問的是第二季度，正如我們所提到的，第二季度的淨銷售額成長了兩位數。

And the sellthrough was high single digit for the quarter.

該季度的銷售量達到高個位數。

Yes, and then on -- the other question was Lauder at Clinique?

是的，然後 - 另一個問題是倩碧的蘭黛？

Was Clinique.

是倩碧。

Yes, is -- yes, I think -- by the way, as you said, we have a very strong program in the future on Clinique, so we are very comfortable for the plan to restart more aggressive growth on the brand in North America.

是的，是的，我認為，順便說一句，正如您所說，我們未來對倩碧有一個非常強大的計劃，因此我們對在北美重新啟動該品牌更積極增長的計劃感到非常滿意。

I would like maybe Thia to say a few words.

我希望蒂亞說幾句話。

Bill, one of the things that we have heard since the appointment of Jane Lauder in this role, I worked with Jane when she was in a marketing role, actually, many, many years ago at Clinique.

比爾，自從任命簡·蘭黛擔任這個職位以來我們聽到的事情之一是，當簡·蘭黛擔任營銷職務時，我與她一起工作，實際上，很多很多年前在倩碧。

And the retail partners, retail community, and internally, everyone is just thrilled with the fact that we have a family member now heading up this brand.

零售合作夥伴、零售社群以及內部的每個人都對我們有一位家庭成員來領導這個品牌這一事實感到興奮。

So, everybody has great expectation and Jane has all of our support in what will be a tremendous role for her with the Clinique brand.

因此，每個人都抱持著很大的期望，簡也得到了我們所有人的支持，她將在倩碧品牌中發揮巨大作用。

That concludes today's question-and-answer session.

今天的問答環節到此結束。

If you were unable to join for the entire call, the playback will be available at 1 PM Eastern time today through February 19.

如果您無法參加整通通話，則可在東部時間今天下午 1 點至 2 月 19 日期間進行回放。

To hear a recording of the call, please dial 855-859-2056 and enter passcode 31881764.

若要收聽通話錄音，請撥打 855-859-2056 並輸入密碼 31881764。

Again, please dial 855-859-2056 and enter passcode 31881764.

請再次撥打 855-859-2056 並輸入密碼 31881764。

That concludes today's Estee Lauder conference call.

今天的雅詩蘭黛電話會議到此結束。

I would like to thank you all for your participation and wish you all a good day.

我要感謝大家的參與，並祝福大家有美好的一天。