雅詩蘭黛 (EL) 2021 Q3 法說會逐字稿

Good day, everyone, and welcome to the Estée Lauder Company's Fiscal 2021 Third Quarter Conference Call. Today's call is being recorded and webcast. For opening remarks and introductions, I would like to turn the call over to Senior Vice President of Investor Relations, Ms. Rainey Mancini. Please go ahead.

大家好，歡迎參加雅詩蘭黛公司 2021 財年第三季度電話會議。今天的通話正在錄音和網絡直播中。關於開場白和介紹，我想把電話轉給投資者關係高級副總裁 Rainey Mancini 女士。請繼續。

Hello. On today's call are Fabrizio Freda, President and Chief Executive Officer; and Tracey Travis, Executive Vice President and Chief Financial Officer.

你好。出席今天電話會議的有總裁兼首席執行官 Fabrizio Freda；執行副總裁兼首席財務官 Tracey Travis。

Since many of our remarks today contain forward-looking statements, let me refer you to our press release and our reports filed on 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評論都包含前瞻性陳述，請允許我向您推薦我們的新聞稿和我們提交給美國證券交易委員會的報告，您會在其中找到可能導致實際結果與這些前瞻性陳述存在重大差異的因素。

To facilitate the discussion of our underlying business, the commentary on our financial results and expectations is before restructuring and other charges and adjustments disclosed in our press release. Unless otherwise stated, all net sales growth numbers are in constant currency and all organic results exclude the impact of acquisitions. You can find reconciliations between GAAP and non-GAAP measures in our press release and on the Investors section of our website.

為了便於討論我們的基礎業務，對我們財務業績和預期的評論是在我們的新聞稿中披露的重組和其他費用和調整之前。除非另有說明，否則所有淨銷售額增長數字均以固定匯率計算，所有有機結果均不包括收購的影響。您可以在我們的新聞稿和我們網站的投資者部分找到 GAAP 和非 GAAP 措施之間的調節。

As a reminder, references to online sales include sales we make directly to our consumers through our brand.com sites and through third-party platforms. It also includes estimated sales of our products through our retailers' websites.

提醒一下，提及的在線銷售包括我們通過我們的 brand.com 網站和第三方平台直接向消費者進行的銷售。它還包括我們的產品通過我們零售商網站的預估銷售額。

(Operator Instructions) And now I'll turn the call over to Fabrizio.

（操作員說明）現在我將把電話轉給 Fabrizio。

Thank you, Rainey, and hello, everyone. It's a pleasure to speak with you today, and I hope that you and your families are in good health. Our hearts are with those impacted by COVID-19, particularly in places like India and Brazil that are experiencing severe resurgences. We remain committed to doing what we can to support our employees and these communities.

謝謝你，Rainey，大家好。今天很高興與您交談，希望您和您的家人身體健康。我們的心與受 COVID-19 影響的人們同在，尤其是在印度和巴西等正在經歷嚴重複甦的地方。我們仍然致力於盡我們所能來支持我們的員工和這些社區。

Our third quarter of the fiscal year 2021 marks the continuation of strong sequential sales growth improvements, despite the ongoing challenges from the pandemic. We exceeded our sales and earnings growth expectation even as several markets experienced increasing COVID-19 pressure throughout the quarter. Our multiple engines of growth strategy drove our success, empowered by the exceptional creativity and passion of our employees.

我們在 2021 財年的第三季度標誌著強勁的環比銷售增長繼續改善，儘管大流行帶來的挑戰仍在繼續。即使整個季度多個市場經歷了越來越大的 COVID-19 壓力，我們也超出了我們的銷售和盈利增長預期。我們的多個增長戰略引擎推動了我們的成功，這得益於我們員工非凡的創造力和熱情。

We achieved these outstanding results while acting on our values. First and foremost, we continue to invest in employees and consumer safety and well-being during the health crisis. We expanded our work for the environment, from setting innovative new sustainability goals in travel retail, to seeing a wide farm -- wind farm in Oklahoma become fully operational, which is our largest renewable energy contract to date, and a project we were proud to support. We made progress on our racial equity commitments and also outlined a new set of commitments for women advance and gender equality, inclusive of achieving gender pay equity and globally increased representation of women from underrepresented groups.

我們在踐行我們的價值觀的同時取得了這些傑出的成果。首先，我們在健康危機期間繼續投資於員工和消費者的安全與福祉。我們擴大了我們在環境方面的工作，從在旅遊零售業設定創新的新可持續發展目標，到看到一個廣闊的農場——俄克拉荷馬州的風力發電場全面投入運營，這是我們迄今為止最大的可再生能源合同，也是一個我們引以為豪的項目支持。我們在種族平等承諾方面取得了進展，還概述了一系列新的婦女進步和性別平等承諾，包括實現性別薪酬平等和在全球範圍內增加來自代表性不足群體的婦女代表。

In March, we launched our new equity and engagement center of excellence to drive greater equity representation within our business and across the value chain. We also launched a partnership with Howard University to support the success of its alumni through our experiential learning, career coaching, professional training and mentorship opportunities.

3 月，我們啟動了新的股權和參與卓越中心，以在我們的業務和整個價值鏈中推動更大的股權代表性。我們還與霍華德大學建立了合作夥伴關係，通過我們的體驗式學習、職業指導、專業培訓和指導機會支持其校友取得成功。

While there was joy in this progress, there was also sorrow. We stood with our employees, consumers and partners in denouncing the rise in act of violence, hate and discrimination against the Asia and Pacific Islander community, and committed to donate to organization that support justice and equal treatment from Asian community in the United States. We keep our employees and communities top of mind through these challenging times.

在這一進步中有喜悅，也有悲傷。我們與我們的員工、消費者和合作夥伴一起譴責針對亞洲和太平洋島民社區的暴力、仇恨和歧視行為的增加，並承諾向支持美國亞裔社區正義和平等待遇的組織捐款。在這些充滿挑戰的時期，我們將員工和社區放在首位。

With that as our guiding principle, let me turn back to financial results. Constant currency sales rose 13%, representing a sequential acceleration of organic sales growth improvement. We delivered a strong performance despite increased COVID-19 hardship in Western Europe, Latin America and parts of North America during the quarter. Estée Lauder, La Mer, Jo Malone London, Clinique and Tom Ford Beauty led the impressive performance of many brands.

以此為指導原則，讓我回到財務結果。不變貨幣銷售額增長 13%，表明有機銷售額增長改善連續加速。儘管本季度西歐、拉丁美洲和北美部分地區的 COVID-19 困難增加，但我們仍取得了強勁的業績。雅詩蘭黛、海藍之謎、Jo Malone London、倩碧和Tom Ford Beauty領銜眾多品牌的亮眼表現。

Skin care and fragrance once again delivered superior sales growth, although they had the toughest comparison to the year-ago period. In fact, our skin care category was nearly 30% larger on a reported basis this quarter than it was 2 years ago, owing to innovation in our powerful hero franchises, strength across multiple subcategories and the addition of Dr. Jart+, but before the future inclusion of DECIEM.

護膚品和香水再次實現了出色的銷售增長，儘管它們與去年同期相比表現最差。事實上，由於我們強大的英雄特許經營權的創新、多個子類別的實力以及 Dr. Jart+ 的加入，本季度我們的護膚類別比 2 年前大了近 30%，但在未來之前包含 DECIEM。

And our fragrance category was 16% bigger than it was in fiscal year 2019 on a reported basis, driven by our strategic focus on the luxury and artisanal segments. Both of these categories now have even greater scale to capture prestige beauty share as the recovery unfolds.

在報告的基礎上，我們的香水類別比 2019 財年增長了 16%，這得益於我們對奢侈品和手工細分市場的戰略重點。隨著經濟復甦的展開，這兩個類別現在都有更大的規模來捕捉聲望較高的美容市場份額。

In the third quarter of fiscal year 2021, we focused our investment decisions on engines of growth and employed cost discipline in other areas, resulting in a near doubling of adjusted diluted earnings per share versus the prior year period. While the complexities of the pandemic are ever present, adjusted operating margin nonetheless exceeded that of the third quarter of fiscal year '19, and adjusted diluted earnings per share was 5% higher.

在 2021 財年第三季度，我們將投資決策重點放在其他領域的增長引擎和僱用成本紀律上，導致調整後的攤薄每股收益比上年同期翻了近一倍。儘管大流行的複雜性一直存在，但調整後的營業利潤率仍然超過了 19 財年第三季度的營業利潤率，調整後的攤薄每股收益也高出 5%。

Throughout the pandemic, we have been steadfast in our commitment to the long term as we successfully navigate the short term. We continue to strategically invest to drive sustainable growth, including building an end-to-end innovation center in Shanghai and state-of-art manufacturing facility near Tokyo. These are expected to open in calendar year 2022.

在整個大流行期間，我們在成功駕馭短期的同時，也一直堅定地致力於長期發展。我們繼續進行戰略投資以推動可持續增長，包括在上海建立端到端創新中心和在東京附近建立最先進的製造工廠。這些預計將於 2022 年開放。

More recently, several of our brands decided to participate in the new partnership of Sephora with Kohl's and Ulta Beauty with Target beginning in the second half of this calendar year. This new consumer coverage represents the promising evolution of the retail landscape, both in-store and online in the United States, for prestige beauty.

最近，我們的幾個品牌決定從本日曆年下半年開始參與 Sephora 與 Kohl's 以及 Ulta Beauty 與 Target 的新合作夥伴關係。這種新的消費者覆蓋率代表了零售業在美國實體店和在線零售領域的有希望的演變，以提供聲望美容。

We also agreed to increase our ownership in DECIEM, becoming majority investors with a path to full ownership in 3 years. DECIEM, with its fast-growing brand, The Ordinary, and new brand incubation capability aligns well with our multiple engines of growth strategy. The Ordinary further diversifies our skin care growth engine by consumer segment, price point and geography with a superior online business. The brand has redefined entry prestige with an increased ingredient-focused regimen-based product portfolio that drives basket size. The Ordinary has quickly established itself as a top 5 skin care brands in the U.S. prestige beauty, having improved its rank significantly over the last year.

我們還同意增加我們在 DECIEM 的所有權，成為大股東，並有可能在 3 年內獲得完全所有權。 DECIEM 憑藉其快速增長的品牌 The Ordinary 和新品牌孵化能力，與我們的多引擎增長戰略保持一致。 The Ordinary 通過卓越的在線業務，通過消費者細分、價格點和地域進一步豐富了我們的護膚增長引擎。該品牌通過增加以成分為中心的基於養生法的產品組合來增加購物籃尺寸，從而重新定義了入門級聲望。 The Ordinary 迅速躋身美國高端美容護膚品牌前 5 名，其排名較去年大幅提升。

Sustainability is integral to DECIEM equity, products and retail practices, which will enhance our sustainability brand portfolio and fuel the achievement of our ESG strategy and goals. We look forward to continue the exciting journey with Nicola Kilner and her incredibly talented team to realize DECIEM global opportunity.

可持續性是 DECIEM 股權、產品和零售實踐不可或缺的一部分，這將增強我們的可持續性品牌組合，並推動我們實現 ESG 戰略和目標。我們期待與 Nicola Kilner 及其才華橫溢的團隊繼續激動人心的旅程，以實現 DECIEM 的全球機遇。

In the third quarter the Estée Lauder brand delivered stellar results, led by strong double-digit growth in skin care, sequentially improving trends in makeup, and the return to growth in fragrance. The brand is driving a renewal in the skin-ification on makeup trend, with a significant growth of its future-rich franchise, and its new Beautiful Magnolia fragrance is off to a very promising start. The Estée Lauder skin care franchises performed exceptionally well, led by Advanced Night Repair and its recently reformulated namesake, Serum. Revitalizing Supreme also was a standout as the launch of Supreme+ Bright proved highly sold. Supreme+ Bright is an amazing story of east to west success, with a product born in the brightening trend in Asia and realizing global appeals for its uneven skin tone benefits. Re-Nutriv, new eyes serum, surged and created a halo effect for the franchise space in eye creams.

雅詩蘭黛品牌在第三季度取得了出色的業績，其中護膚品以兩位數的強勁增長、彩妝的持續改善趨勢以及香水恢復增長為首。該品牌正在推動化妝品皮膚化趨勢的更新，其未來豐富的特許經營權顯著增長，其新的 Beautiful Magnolia 香水有了一個非常有希望的開端。 Estée Lauder 的護膚系列產品表現異常出色，其中以 Advanced Night Repair 及其最近重新配製的同名產品 Serum 為首。 Revitalizing Supreme 也很出色，因為 Supreme+ Bright 的推出銷售情況非常好。 Supreme+ Bright 是一個東西方成功的驚人故事，該產品誕生於亞洲的提亮趨勢，並因其不均勻的膚色優勢而受到全球青睞。新眼霜 Re-Nutriv 風靡一時，為眼霜的特許經營空間創造了光環效應。

La Mer performance was once again outstanding. The brand's worldwide success is multi-facetted from both loyal and new consumers and with increasing demand from men, who now represent more than 15% of sales in Mainland China. La Mer's iconic product, rich storytelling and ideal merchandising align to deliver the successful journey to renewal campaign for Chinese New Year.

海藍之謎的表現再次出色。該品牌在全球範圍內的成功來自於忠誠和新消費者的多方面，以及來自男性的需求不斷增長，男性現在佔中國大陸銷售額的 15% 以上。 La Mer 的標誌性產品、豐富的故事情節和理想的商品陳列相結合，為農曆新年帶來成功的煥新之旅。

As well, the brand executed a superb global campaign focused on moisturizers. The new Genaissance de La Mer The Concentrated Night Balm continue to spark consumer desires, elevating the brand Ulta luxury franchise.

此外，該品牌還開展了一場專注於保濕霜的出色全球營銷活動。全新的 Genaissance de La Mer 濃縮晚霜繼續激發消費者的慾望，提升了品牌 Ulta 奢侈品牌的特許經營權。

Clinique sales growth accelerated sequentially and rose in every region, driven by its skin care portfolio from consumers' excellent response to the new Moisture Surge 100 Hour in the United States, to Even Better Clinical Interrupter hewing substantial growth in Mainland China, 2 in-demand hero franchises like Dramatically Different Moisturizing, Clinique prospered.

倩碧的銷售額環比加速增長，並在每個地區都有所增長，這得益於其護膚產品組合，從消費者對美國新的 Moisture Surge 100 Hour 的出色反應，到 Even Better Clinical Interrupter 在中國大陸的大幅增長，2 的需求像 Dramatically Different Moisturizing 和 Clinique 這樣的英雄系列產品大獲成功。

Our luxury and artisanal fragrances realized significant growth in the Americas and Asia Pacific. Like skin care, fragrance offer a means to express self-care, and that's shown through the emotional comfort of scent. We are seeing strong repeat from the emerging category in Asia Pacific while we continue to welcome new consumers in the region.

我們的奢華和手工香水在美洲和亞太地區實現了顯著增長。與皮膚護理一樣，香水提供了一種表達自我關懷的方式，而這通過香味帶來的情感舒適感得以體現。在我們繼續歡迎該地區的新消費者的同時，我們看到亞太地區新興類別的強勁重複。

These trends in fragrances, driven by our strategic shift to the higher end, is favorable to margin enhancement in the category. Jo Malone London, Tom Ford Beauty, KILIAN PARIS, Le Labo and Frédéric Malle each grew double digits. Innovation and hero products worked in harmony to fulfill consumer desires, with newness from Jo Malone London and Tom Ford Beauty incredibly well received. KILIAN PARIS' virtual selling, which engaged founder Kilian Hennessy, influencers and education ambassadors through live chat and shoppable live streams contributed to superb online growth.

在我們向高端戰略轉變的推動下，香水的這些趨勢有利於提高該類別的利潤率。 Jo Malone London、Tom Ford Beauty、KILIAN PARIS、Le Labo 和 Frédéric Malle 均實現了兩位數的增長。創新和英雄產品和諧地滿足消費者的需求，來自 Jo Malone London 和 Tom Ford Beauty 的新穎產品令人難以置信地受到歡迎。 KILIAN PARIS 的虛擬銷售讓創始人 Kilian Hennessy、有影響力的人和教育大使通過實時聊天和可購物的直播流參與進來，促成了卓越的在線增長。

Each region grew this quarter led by Asia Pacific, which saw sales rise in every category, and many countries contribute. Mainland China was exceptional, delivering sequentially accelerating double-digit sales growth, with skin care and fragrance performing ahead of the previous quarter and makeup returning to growth, up double digits. Both brick and mortar and online thrived driven by the strong equity of our brands, desirable innovation, high-quality product leading to repeat purchase, competitive investment in advertising and investment in local talent and capabilities.

每個地區本季度均實現增長，其中亞太地區的銷售額增長最快，其中各個類別的銷售額均有所增長，許多國家/地區都做出了貢獻。中國大陸表現出色，實現了連續加速的兩位數銷售額增長，其中護膚品和香水的表現優於上一季度，化妝品恢復增長，達到兩位數。在我們強大的品牌價值、理想的創新、導致重複購買的高質量產品、有競爭力的廣告投資以及對本地人才和能力的投資的推動下，實體店和在線店都蓬勃發展。

For the Chinese New Year, we met the consumer where she or he chose to shop, serving the local consumer as well, the traveling consumer in Hainan, both in-store and retail to tremendous success.

在農曆新年期間，我們會見了她或他選擇購物的消費者，同時也為當地消費者、海南的旅遊消費者提供服務，無論是在店內還是在零售方面都取得了巨大的成功。

Online continued to be a powerful growth engine as global sales increased strong double digits in every region. Sales of brand.com, third-party platforms and retail.com rose strong double digits, while sales of pure-play grew triple-digit as we are building our consumer coverage with select pure-play retailers. Our online channel is now nearly double the size it was 2 years ago. Importantly, the media value of brand.com continued to rise as live chat, virtual try on and live streaming led to increased traffic and time spent on our sites.

在線繼續成為強大的增長引擎，因為全球銷售額在每個地區都以兩位數的速度強勁增長。 brand.com、第三方平台和 retail.com 的銷售額強勁增長兩位數，而純業務的銷售額增長了三位數，因為我們正在與精選的純業務零售商建立消費者覆蓋範圍。我們的在線渠道現在的規模幾乎是 2 年前的兩倍。重要的是，brand.com 的媒體價值持續上升，因為實時聊天、虛擬試穿和直播導致我們網站的流量和時間增加。

EMEA online sales increased near triple digits, while Latin America's growth was also very high. We adaptively met consumer demand in these regions, which were more pressured than others from temporary brick-and-mortar closures. In Asia Pacific and North America, where in-store traffic is gradually improving and comparisons to the [previous] year are increasingly more difficult, online sales still grew double digits.

EMEA 在線銷售額增長接近三位數，而拉丁美洲的增長也非常高。我們適應性地滿足了這些地區的消費者需求，這些地區比其他地區因臨時關閉實體店而面臨更大的壓力。在亞太和北美，店內客流量逐漸改善，與[上]年相比越來越困難，在線銷售額仍保持兩位數增長。

We are innovating in the high-touch online consumer experience and harnessing our data to increase engagement and drive sales. Let me share 2 examples from EMEA. In the United Kingdom, Clinique launched an integrated platform to deliver seamless end-to-end high-touch virtual experiences with a personalized data-led version of its Skin School on demand. Clinique is providing consultants with data to unlock more sophisticated recommendation with a multitude of tools to ensure the consumer experience is customized based on preferences. Consultants can now enable co-browsing and the adding of friends to services. This new platform, while still in its early days, is delivering above-average conversion rates.

我們正在創新高接觸在線消費者體驗，並利用我們的數據來提高參與度和推動銷售。讓我分享 EMEA 的 2 個例子。在英國，倩碧推出了一個集成平台，通過個性化數據主導的皮膚學校按需版本提供無縫的端到端高觸感虛擬體驗。倩碧正在為顧問提供數據，以使用多種工具解鎖更複雜的推薦，以確保根據喜好定制消費者體驗。顧問現在可以啟用共同瀏覽和將朋友添加到服務中。這個新平台雖然仍處於早期階段，但提供了高於平均水平的轉化率。

La Mer enhanced its virtual experiences with more expert classes and 1:1 consultations tailored to local consumers. The brand expanded live chat to every market in the region with standard hours and additional days, leading to incredible growth in conversion. All told, La Mer saw its regional online mix of business surge.

La Mer 海藍之謎通過更多專家課程和為當地消費者量身定制的 1:1 諮詢增強了其虛擬體驗。該品牌通過標準時間和額外的工作日將實時聊天擴展到該地區的每個市場，從而帶來了令人難以置信的轉化率增長。總而言之，La Mer 的區域在線業務組合激增。

Our brands are investing for growth with social media platform. Too Faced introduced a new virtual try-on lens on Snapchat to add to its growing portfolio of virtual try-on experiences. On TikTok, it launched a mini-movie showcasing the transformative experience of Better Than Sex Mascara via its first world premiere on the platform. Dr. Jart+ Cicapair's color correcting treatment started strong online sales in the United States for the brand, amplified by social selling, TikTok and influencer support.

我們的品牌正在投資社交媒體平台以實現增長。 Too Faced 在 Snapchat 上推出了一種新的虛擬試戴鏡頭，以增加其不斷增長的虛擬試戴體驗產品組合。在 TikTok 上，它推出了一部迷你電影，展示了 Better Than Sex Mascara 在該平台上的首次全球首映式帶來的變革體驗。 Dr. Jart+ Cicapair 的色彩校正治療在美國開始為該品牌帶來強勁的在線銷售，並通過社交銷售、TikTok 和有影響力的支持得到放大。

Looking ahead, we are preparing a renaissance in makeup, and we anticipate the momentum we gradually build around the world driven by local reopening and social and professional occasions. Our data and insights are driving new creativity to inspire consumer as they increase their occasion-based makeup. We are strategically well positioned to grow our sales and capture prestige beauty share makeup recovery with our hero products, robust innovation pipeline, analytics engine driving aspirational intelligence, and enticing in-store and online activation centered on the omnichannel consumer.

展望未來，我們正在準備一場彩妝復興，我們預計在當地重新開放以及社交和專業場合的推動下，我們將在全球範圍內逐漸建立勢頭。我們的數據和見解正在推動新的創造力，以激發消費者增加基於場合的妝容。我們在戰略上處於有利地位，可以通過我們的英雄產品、強大的創新管道、驅動理想智能的分析引擎以及以全渠道消費者為中心的誘人店內和在線激活來增加我們的銷售額並獲得聲望美容分享化妝恢復。

Already in the third quarter, newness from Clinique Even Better franchise in foundation and concealer was highly sold as we saw consumer restocking their core makeup products. Too Faced new lip plumper was a major hit. Hero products like Tom Ford Beauty eyeshadows and mascara from Too Faced, the Bobbi Brown also performed very well. Mac is launching a new mascara, and there is exciting innovation from many brands to come.

早在第三季度，Clinique Even Better 特許經營的粉底和遮瑕膏的新品就大賣，因為我們看到消費者正在補貨他們的核心彩妝產品。 Too Faced 新款豐唇膏大受歡迎。 Too Faced 的 Tom Ford Beauty 眼影和睫毛膏等主打產品，Bobbi Brown 也表現出色。 Mac 推出了一款新睫毛膏，許多品牌即將推出令人興奮的創新產品。

In closing, we delivered outstanding performance despite the surging impact of the pandemic in many countries. We led with our values as we continued to prioritize the safety and well-being of our employees and consumers. We made progress on our environmental goals, enacted on our social commitments. We invested in accelerating drivers for sustainable growth, including innovation in China, manufacturing in Asia Pacific, global online and consumer analytics. For the long term, we are confident that our multiple engines of growth strategy will continue to create value for our stockholders.

最後，儘管許多國家受到大流行的影響，我們仍取得了出色的表現。我們以我們的價值觀為先導，繼續將員工和消費者的安全與福祉放在首位。我們在環境目標方面取得了進展，履行了我們的社會承諾。我們投資於加速可持續增長的驅動因素，包括中國的創新、亞太地區的製造、全球在線和消費者分析。從長遠來看，我們相信我們的多引擎增長戰略將繼續為我們的股東創造價值。

I want to say thank you to our employees, who are integral to our success and are making us a better company through this difficult moment. We are beautifully positioned in prestige beauty to continue driving recovery with a house of the most dedicated and talented employees.

我想對我們的員工表示感謝，他們是我們成功不可或缺的一部分，並在這個困難時刻使我們成為一家更好的公司。我們在聲望美容方面處於有利地位，可以通過一群最敬業和最有才華的員工繼續推動復甦。

I will now turn the call over to Tracey.

我現在將把電話轉給 Tracey。

Thank you, Fabrizio. I certainly echo that statement and look forward to the continued progression of our recovery.

謝謝你，法布里齊奧。我當然贊同這一說法，並期待我們的複蘇繼續取得進展。

For our fiscal third quarter, net sales rose 13% as we lapped the onset of the COVID pandemic and delivered exceptional growth in the Asia Pacific region and in the skin care and fragrance categories. While our brick-and-mortar distribution continued to experience soft foot traffic, our online channel delivered strong growth across all formats and all regions. Conversely, the environments in Western Europe, Latin America and parts of North America were challenged throughout the quarter.

對於我們的第三財季，淨銷售額增長了 13%，因為我們應對了 COVID 大流行的爆發，並在亞太地區以及護膚和香水類別中實現了非凡的增長。雖然我們的實體分銷繼續經歷疲軟的客流量，但我們的在線渠道在所有格式和所有地區實現了強勁增長。相反，西歐、拉丁美洲和北美部分地區的環境在整個季度都受到挑戰。

Our gross margin increased 90 basis points compared to the prior year quarter. Favorability in category and channel mix driven by skin care and online growth as well as lower tester costs, were partially offset by obsolescence, negative currency and COVID-related under-recovery of fixed costs, primarily in our facilities that manufacture makeup products.

與去年同期相比，我們的毛利率增加了 90 個基點。由皮膚護理和在線增長以及較低的測試人員成本推動的類別和渠道組合的有利因素被過時、負貨幣和與 COVID 相關的固定成本回收不足部分抵消，主要是在我們製造化妝品的設施中。

Operating expenses improved by 530 basis points compared to the prior year quarter, largely reflecting the improved sales leverage this year. You will recall that when the pandemic struck in the prior year quarter, the sudden and dramatic drop in sales created expense deleverage that was difficult to fully offset despite the cost actions we took at that time.

與去年同期相比，運營支出減少了 530 個基點，這在很大程度上反映了今年銷售槓桿的改善。您會記得，當上一季度大流行病襲來時，銷售額的突然急劇下降造成了費用去槓桿化，儘管我們當時採取了成本措施，但仍難以完全抵消。

This quarter, we benefited from both temporary and longer-term cost savings, which is reflected in the substantially lower selling and store operating costs as a percent of sales, continued to shift from brick-and-mortar to online as sales continued to shift from brick-and-mortar to online. This was due in part to temporary store closures in response to a resurgence of the virus in certain EMEA and Latin American markets.

本季度，我們受益於暫時和長期的成本節約，這反映在銷售和商店運營成本佔銷售額的百分比大幅降低，隨著銷售繼續從實體轉向在線，從實體到在線。這在一定程度上是由於某些 EMEA 和拉丁美洲市場的病毒捲土重來而臨時關閉了商店。

We realized some subsidies and the extension of furlough benefits in some of the affected markets. We've also prudently managed staffing levels in our stores and new hires on our management teams until we see the recovery gaining more consistent momentum.

我們在一些受影響的市場實現了一些補貼和休假福利的延長。我們還審慎地管理我們商店的人員配置水平和我們管理團隊的新員工，直到我們看到復蘇獲得更穩定的勢頭。

Advertising spending grew double digits and was predominantly focused on digital spending. We invested to support our online acceleration as well as our new product launches, a strong recovery in certain markets and key shopping moments such as Lunar New Year, Women's Day and Valentine's Day.

廣告支出增長了兩位數，並且主要集中在數字支出上。我們投資支持我們的在線加速以及新產品發布、某些市場的強勁復甦以及農曆新年、婦女節和情人節等關鍵購物時刻。

As a result, our operating margin rose 620 basis points to 20.5%, which was 40 basis points above fiscal '19 levels.

因此，我們的營業利潤率上升了 620 個基點，達到 20.5%，比 19 財年的水平高出 40 個基點。

Our effective tax rate for the quarter came in at 20.7%. The lower tax rate for the quarter was primarily due to a lower rate on the company's foreign operations.

我們本季度的有效稅率為 20.7%。本季度較低的稅率主要是由於公司海外業務的稅率較低。

Diluted EPS of $1.62 increased 92% compared to the prior year. EPS exceeded our expectations, primarily due to the higher sales, continued cost management and a lower effective tax rate.

稀釋後每股收益為 1.62 美元，較上年增長 92%。每股收益超出了我們的預期，這主要是由於更高的銷售額、持續的成本管理和更低的有效稅率。

Our plans under the post COVID business acceleration program are progressing. Year-to-date, we have taken actions in 3 main areas: to adjust our distribution footprint in Latin America and EMEA, including travel retail; to exit global distribution of BECCA products; and to realign resources and capabilities, including employee-related costs, between our brick-and-mortar and online channels. We are already beginning to realize some modest benefits from these actions. As the program continues, we expect to further rationalize our brick-and-mortar retail footprint, primarily in western markets.

我們在 COVID 後業務加速計劃下的計劃正在取得進展。年初至今，我們在 3 個主要領域採取了行動：調整我們在拉丁美洲和 EMEA 的分銷足跡，包括旅遊零售；退出 BECCA 產品的全球分銷；在我們的實體渠道和在線渠道之間重新調整資源和能力，包括與員工相關的成本。我們已經開始從這些行動中意識到一些微不足道的好處。隨著該計劃的繼續，我們希望進一步合理化我們的實體零售足跡，主要是在西方市場。

For the 9 months, we generated $2.78 billion in net cash flows from operating activities, which was substantially above the prior year, primarily due to higher net earnings as well as working capital improvements. We invested $386 million in capital expenditures to support key investment areas like production and distribution capacity and technology, including our online business. Conversely, we spent far less on counters and stores.

前 9 個月，我們從經營活動中產生了 27.8 億美元的淨現金流量，大大高於上年同期水平，這主要是由於更高的淨收益以及營運資本的改善。我們投資了 3.86 億美元的資本支出，以支持生產和分銷能力以及技術等關鍵投資領域，包括我們的在線業務。相反，我們在櫃檯和商店的花費要少得多。

We ended the period with approximately $6.4 billion in cash and cash equivalents, including cash from $600 million in senior notes issued in March, to support the increased equity investment in DECIEM once the deal is finalized.

我們以大約 64 億美元的現金和現金等價物結束了這一時期，包括 3 月份發行的 6 億美元優先票據中的現金，以支持在交易完成後增加對 DECIEM 的股權投資。

We also reinstated our share buyback program in March and utilized $316 million of cash to repurchase our stock. And we paid $561 million in dividends. After the end of the quarter, we used $450 million in cash to pay down debt maturing in the fourth quarter. Given our strong cash generation this year, we still remain in a very strong position to pursue further growth opportunities after these actions.

我們還在 3 月份恢復了我們的股票回購計劃，並動用了 3.16 億美元的現金來回購我們的股票。我們支付了 5.61 億美元的股息。本季度結束後，我們使用了 4.5 億美元的現金來償還第四季度到期的債務。鑑於我們今年產生的現金強勁，我們在採取這些行動後仍然處於非常有利的地位，可以尋求進一步的增長機會。

So now let's turn to our outlook. We continue to be encouraged by the sequential improvement we have seen in our business throughout the fiscal year. And we are optimistic that restrictions and hesitancy on travel and social activities will begin to ease in certain markets as vaccine coverage steadily increases.

現在讓我們談談我們的展望。在整個財政年度，我們在業務中看到的連續改善繼續令我們感到鼓舞。我們樂觀地認為，隨著疫苗覆蓋率穩步提高，某些市場對旅行和社交活動的限制和猶豫將開始放鬆。

In China, Australia and Israel, which are at the leading edge of recovery, we are seeing higher makeup sales with usage occasions increasing as social and professional engagement gradually normalize. For example, sales in our freestanding stores in Israel have returned to pre-pandemic levels, and even lipstick sales are almost back to normal.

在處於復蘇前沿的中國、澳大利亞和以色列，隨著社交和職業參與逐漸正常化，我們看到化妝品銷量增加，使用場合增加。例如，我們在以色列的獨立商店的銷售已恢復到大流行前的水平，甚至口紅銷售也幾乎恢復正常。

The upcoming addition of the DECIEM brands to our portfolio and the expansion of our business with Sephora and Ulta Beauty in the U.S. represent additional growth drivers for us as we progress in recovery from the pandemic shock, giving us further cause for optimism. We have led with our strengths, our values and our amazing team and have proactively addressed areas where -- which we could control, while at the same time ensuring we are protecting our strategic growth areas.

DECIEM 品牌即將加入我們的產品組合，以及我們在美國與 Sephora 和 Ulta Beauty 的業務擴張，這些都為我們帶來了額外的增長動力，因為我們正在從大流行的衝擊中逐步恢復，這讓我們有更多的理由感到樂觀。我們以我們的優勢、我們的價值觀和我們出色的團隊為先導，並積極解決我們可以控制的領域，同時確保我們保護我們的戰略增長領域。

As a result, in the context of a very challenging environment in fiscal 2021, we expect to end the year with sales growth of between 9% and 10% in constant currency. Currency translation is expected to add approximately 2 percentage points to reported growth, reflecting rates of $1.18 for the euro, $1.33 for the pound and KRW 6.64 for the won.

因此，在 2021 財年充滿挑戰的環境下，我們預計年底銷售額按固定匯率計算將增長 9% 至 10%。貨幣換算預計將使報告的增長率增加約 2 個百分點，歐元匯率為 1.18 美元，英鎊匯率為 1.33 美元，韓元匯率為 6.64 韓元。

6 months of incremental sales from the December 2019 acquisition of Dr. Jart+ and approximately 1 month expected from DECIEM are contributing approximately 2 percentage points to our expectations of growth, for the year.

2019 年 12 月收購 Dr. Jart+ 後 6 個月的增量銷售額和 DECIEM 預計約 1 個月的增量銷售額為我們今年的增長預期貢獻了約 2 個百分點。

Mindful of the more gradual resumption of traffic to our brick-and-mortar distribution, we kept tight control over costs this year to protect investments needed for long-term growth. Some of the costs we cut temporarily will gradually return as more doors open. Subsidies will correspondingly diminish, and we plan to meaningfully ramp up advertising spending in our fourth quarter as consumers return to social and professional engagements. That said, we expect to end this fiscal year with an operating margin of approximately 18.5%, an improvement of roughly 100 basis points above fiscal 2019.

考慮到我們的實體分銷業務逐漸恢復，我們今年嚴格控製成本，以保護長期增長所需的投資。我們暫時削減的一些成本將隨著更多的門打開而逐漸恢復。補貼將相應減少，隨著消費者回歸社交和專業活動，我們計劃在第四季度大幅增加廣告支出。也就是說，我們預計本財年末的營業利潤率約為 18.5%，比 2019 財年提高約 100 個基點。

Full year EPS is expected to be between $6.05 and $6.15 before restructuring and other charges. This reflects approximately $0.10 accretion from currency translation and $0.04 dilution from acquisitions.

扣除重組和其他費用之前，全年每股收益預計在 6.05 美元至 6.15 美元之間。這反映了大約 0.10 美元的貨幣換算增加和 0.04 美元的收購稀釋。

Our fourth quarter sales are expected to rise between 44% and 50% in constant currency. This reflects both the recovery in many parts of the world as well as an easier comparison against the prior year period most impacted by the pandemic. Currency is expected to be accretive by approximately 4 percentage points. And the addition of approximately 1 month of sales from DECIEM would contribute less than 2 percentage points to sales growth.

按固定匯率計算，我們第四季度的銷售額預計將增長 44% 至 50%。這既反映了世界許多地區的複蘇，也反映了與受大流行影響最嚴重的前一年的比較。貨幣預計將增加約 4 個百分點。 DECIEM 增加約 1 個月的銷售額對銷售額增長的貢獻不到 2 個百分點。

Fourth quarter EPS is expected to be between $0.38 and $0.48, reflecting the sales outlook and increased investments to support the ramp-up of our innovation and manufacturing capabilities in Asia, continued investment to drive our online business, and the advertising and promotion to support recovery, with the resulting operating margin more typical of our pre-pandemic levels of mid- to high single-digit in the quarter. Currency is expected to add $0.02 to EPS. And the addition of DECIEM is immaterial for the quarter given the short time frame and purchase accounting.

第四季度每股收益預計在 0.38 美元至 0.48 美元之間，反映了銷售前景和增加投資以支持我們在亞洲創新和製造能力的提升，繼續投資以推動我們的在線業務，以及廣告和促銷以支持復甦，由此產生的營業利潤率更符合我們本季度大流行前的中高個位數水平。貨幣預計將使 EPS 增加 0.02 美元。考慮到較短的時間框架和採購會計，增加 DECIEM 對本季度來說並不重要。

In closing, we are pleased with our performance in the third quarter in the context of a challenging macro backdrop. Our skin care and fragrance brands have proven to be resilient during this time as consumers shifted online. And we enhanced the digital experience with increased services on our sites. As we navigate through the final months of our fiscal year, we are investing in both the near-term recovery and the drivers of long-term sustainable growth that create value for our multiple stakeholders. While it is difficult to predict the growth of global prestige beauty in the near term, we are confident, as we have demonstrated, that we can nimbly allocate resources to continue to operate with agility and gain share as the recovery gives way to the new normal.

最後，在充滿挑戰的宏觀背景下，我們對第三季度的表現感到滿意。事實證明，隨著消費者轉向線上，我們的護膚和香水品牌在這段時間內保持了彈性。我們通過增加網站上的服務來增強數字體驗。在我們度過財政年度的最後幾個月時，我們正在投資於近期復蘇和長期可持續增長的驅動因素，為我們的多個利益相關者創造價值。雖然很難預測短期內全球高端美容的增長，但我們有信心，正如我們所證明的那樣，我們可以靈活地分配資源以繼續敏捷運營並在復蘇讓位給新常態時獲得份額.

That concludes our prepared remarks, and we'll be happy to take your questions at this time.

我們準備好的發言到此結束，此時我們很樂意回答您的問題。

(Operator Instructions) Our first question comes from the line of Laura (sic) [Lauren] Lieberman with Barclays.

（操作員說明）我們的第一個問題來自 Laura (sic) [Lauren] Lieberman with Barclays。

I was hoping you could talk a little bit about Asia Pacific. Because as strong as trends are, on a 2-year basis, things were a little bit slower this quarter. And I know the fiscal second quarter, you have 11.11. That's probably a much bigger shopping holiday than Chinese New Year. But from the aggregate level that we see in Asia, things were probably a little bit slower than people expected.

我希望你能談談亞太地區。因為儘管趨勢強勁，但在 2 年的基礎上，本季度的情況有所放緩。我知道第二財季，你有 11.11。這可能是一個比中國新年更大的購物假期。但從我們在亞洲看到的總體水平來看，事情可能比人們預期的要慢一點。

So could you just give us a little bit more color there describing maybe trends in China -- Mainland China, I should say, versus whether it was Hong Kong, Japan, other areas where things might have slowed down? And also, any other thoughts on Hainan and the degree to which shopping there may be overlapping with things that -- purchases that used to happen in other Asian markets, as Chinese were traveling more overseas that are now maybe repatriating those purchases to Hainan?

那麼，您能否給我們更多的顏色來描述中國的趨勢——中國大陸，我應該說，與香港、日本和其他可能放緩的地區相比？此外，關於海南的任何其他想法以及在那裡購物的程度可能與過去發生在其他亞洲市場的購買行為重疊，因為中國人更多地出國旅行，現在可能會將這些購買行為轉移回海南？

Yes. No, sure. Let me start, and then Tracey will add her perspective.

是的。不確定。讓我開始，然後 Tracey 將添加她的觀點。

The -- first of all, no, we believe China is super strong. I mean we have accelerated the size -- our reported number is 63% growth, which is almost double last quarter. So China Mainland is very, very strong. Now this number includes Dr. Jart+ which is also a strong growing brand in Asia, and now it's part of our portfolio. So all good.

- 首先，不，我們相信中國非常強大。我的意思是我們已經加快了規模——我們報告的數字是 63% 的增長，幾乎是上個季度的兩倍。所以中國大陸非常非常強大。現在這個數字包括 Dr. Jart+，它在亞洲也是一個增長強勁的品牌，現在它是我們產品組合的一部分。所以一切都很好。

Now your question on Hainan, Hainan was also strong and continues to grow. And as we said, we really look and manage the Chinese consumer. So we sell to the Chinese consumers where they are. When they travel to Hainan, we sell to them in their travel. And when they are in their cities, we sell to them in the cities.

現在你關於海南的問題，海南也很強大並且還在繼續發展。正如我們所說，我們真正關注和管理中國消費者。所以我們在中國消費者所在的地方銷售。當他們去海南旅行時，我們在他們的旅行中賣給他們。當他們在他們的城市時，我們在城市裡賣給他們。

The opportunity of continued serving the growing middle class and the multiple smaller cities, which are becoming very important for consumption, from which the demand is growing, continues. And we are serving this multiple growth, mainly also the smaller cities, the Tier 3, Tier 4 and the different consumer groups. We are serving this, both in Mainland and Hainan, when they travel in a very positive way. So China is very strong and, in our opinion, will continue a very strong trend.

繼續為不斷增長的中產階級和多個小城市提供服務的機會繼續存在，這些城市對消費變得非常重要，需求也在不斷增長。我們正在為這種多重增長服務，主要是較小的城市、三線、四線和不同的消費群體。當他們以非常積極的方式旅行時，我們正在為大陸和海南提供服務。所以中國非常強大，在我們看來，中國將繼續保持非常強勁的趨勢。

The other thing that we've seen, which is important to us in China, is the recovery of makeup. Because China is ahead of other regions in the control of COVID and so in people going back with more confidence to shopping also in brick and mortar. And we see the positive impact on that on makeup, which, as said in my prepared remarks, grew double digit. And this obviously is encouraging for what the recovery will represent also in the west as the brick-and-mortar sales go back into the new normal.

我們看到的另一件事，對我們在中國很重要，是彩妝的恢復。因為中國在 COVID 的控制方面領先於其他地區，所以人們更有信心回到實體店購物。我們看到了這對化妝的積極影響，正如我在準備好的發言中所說，它增長了兩位數。隨著實體店銷售恢復到新常態，這對於西方的複蘇也將代表什麼顯然是令人鼓舞的。

The other part of your question was about Asia in total. And yes, Hong Kong is obviously smaller than what used to be and the recovery is slower. And so Hong Kong is getting better, but it has been resized, at least for the time being, to what used to be, so still is a drag versus the historical levels.

你問題的另一部分是關於整個亞洲的。是的，香港明顯比以前小了，復甦也慢了。因此，香港正在變得更好，但它的規模已經調整到過去的水平，至少暫時如此，因此與歷史水平相比仍然是一個拖累。

And Japan was definitely hit by a new wave. And there was new closures and a lot of government activity to limit shopping, in brick and mortar anyway, to limit the social life activity, which means, again, very big impact on makeup.

日本肯定受到了新浪潮的衝擊。並且有新的關閉和許多政府活動來限制購物，無論如何在實體店，以限制社交生活活動，這再次意味著對化妝的非常大的影響。

So the -- Korea on the contrary started recovery, had a better quarter. And Australia had definitely a better quarter. By the way, Australia is another place where it's visible, the recovery of makeup because of the reopening of the brick and mortar and more social life.

所以 - 韓國相反開始復蘇，有一個更好的季度。澳大利亞肯定有更好的季度。順便說一句，澳大利亞是另一個可見的地方，由於實體店和更多社交生活的重新開放，化妝的恢復。

So Asia was a very mixed pack. In summary, very strong China; very strong Hainan; better Korea; a better Australia, New Zealand; and still very hard hit some of the emerging markets, Japan and Hong Kong.

所以亞洲是一個非常複雜的群體。總之，非常強大的中國；非常強大的海南；更好的韓國；更好的澳大利亞、新西蘭；並且仍然嚴重打擊了一些新興市場，日本和香港。

And you covered that, Fabrizio.

Fabrizio，你涵蓋了這一點。

Okay.

好的。

Your next question is from Erinn Murphy with Piper Sandler.

你的下一個問題來自 Erinn Murphy 和 Piper Sandler。

Fabrizio, I was hoping you could share a little bit more about the renaissance of makeup you spoke to in China in particular. How is the consumer interacting with the category there? Are there new trends that they're starting to embrace? And then are they sticking with virtual try-on and some of the new ways of shopping, like social selling or live streaming? Or do you anticipate testers or samples coming back? Just curious on some of the behavior behind that category there.

Fabrizio，我希望你能分享更多關於你採訪過的化妝品復興的情況，尤其是在中國。消費者如何與那裡的類別互動？是否有他們開始接受的新趨勢？然後他們是否堅持虛擬試穿和一些新的購物方式，如社交銷售或直播？或者您預計測試人員或樣品會回來嗎？只是對那裡該類別背後的一些行為感到好奇。

And so the -- first of all, what we see is that the recovery of makeup is particularly -- benefits particularly of the recovery of brick and mortar and omnichannel shopping. Because people does like to interact with the products and like the experience of shopping together. And so this is really one driver.

因此——首先，我們看到的是，化妝品的複蘇特別有利於實體店和全渠道購物的複蘇。因為人們確實喜歡與產品互動，喜歡一起購物的體驗。所以這真的是一個驅動因素。

And so in China, we see this getting stronger and -- as the recovery unleash. What we see in terms of product that people -- and again, I speak about China where this is active, those -- Australia, and Israel is another place where we see signs of what happens during the recovery. And the signs are consistent, by the way.

因此在中國，我們看到這種情況越來越強烈——隨著復甦的釋放。我們在產品方面看到的是人們 - 我再次談到中國，那裡很活躍，那些 - 澳大利亞和以色列是我們看到復蘇期間發生的事情跡象的另一個地方。順便說一句，跡像是一致的。

And first of all, people go back to their core makeup. Also because they have not used it for some time, it may not be fresh anymore, in some cases. So there is a lot of back to foundation, to lipstick, to mascaras that needs to be purchased back. And depending which region of the world, there are different proportion of these subcategories, as you know. But this is back to core.

首先，人們回到他們的核心構成。也因為他們已經有一段時間沒有使用它了，在某些情況下它可能不再新鮮了。所以有很多需要重新購買的粉底、口紅和睫毛膏。如您所知，根據世界哪個地區，這些子類別的比例不同。但這又回到了核心。

But there is also a huge interest in newness. It's obviously that from an emotional standpoint, people don't want to go back to the past. They want a new normal. They want to forget, actually, this very difficult year when they are in a recovery mood and go back to a new future.

但也有對新事物的巨大興趣。很明顯，從情感的角度來看，人們不想回到過去。他們想要一個新常態。實際上，當他們處於恢復狀態並回到新的未來時，他們想忘記這非常困難的一年。

So they look for newness, for novelty. And that's why in our renaissance plan, we are both planning in every region of the world with where, when this recovery will happen. We are ready to bring back our core and allow the consumer to reload what is their core habits, the core products, and at the same time, an outstanding mix of new product, innovation, breakthrough idea, fresh way to use makeup, new looks; and most importantly, looks, which are consistent with the renaissance of the usage occasions.

所以他們尋找新奇，尋找新奇。這就是為什麼在我們的複興計劃中，我們都在世界每個地區規劃復甦將在何處、何時發生。我們準備好帶回我們的核心，讓消費者重新加載他們的核心習慣、核心產品，同時，新產品、創新、突破性理念、新的化妝方式、新的外觀的出色組合;最重要的是，外觀符合使用場合的複興。

Because to be -- [look here], makeup is not only about shopping, emotional shopping. It's about having the occasions in your social life, your professional life to use makeup. And so we are studying how those occasions come back and which kind of makeup core and newness is of interest for each occasions. And the occasion are different by region.

因為要——[看這裡]，化妝不僅僅是關於購物，情感購物。這是關於在社交生活和職業生活中使用化妝品的場合。因此，我們正在研究這些場合是如何回歸的，以及每種場合對哪種化妝核心和新鮮感感興趣。而且場合因地區而異。

And so with this level of analytics, we are preparing what we call the renaissance, which is a comeback but is very specific. And our ability today to manage this with precisions and avoid excessive push or avoiding wrong subcategories focus, in other words, ensuring a good return of our investments during the recovery. Our ability to do that has dramatically increased, thanks to analytics which are not only giving us more data to understand what's happening, but it's giving us more data to anticipate what is going to happen, and that's what we are working on.

因此，通過這種水平的分析，我們正在準備我們所謂的複興，這是一種捲土重來但非常具體。我們今天有能力精確地管理這一點，避免過度推動或避免錯誤的子類別重點，換句話說，確保我們的投資在復蘇期間獲得良好回報。我們這樣做的能力已經大大提高，這要歸功於分析，它不僅為我們提供了更多數據來了解正在發生的事情，而且還為我們提供了更多數據來預測將要發生的事情，而這正是我們正在努力的方向。

Your next question is from Nik Modi with RBC Capital Markets.

你的下一個問題來自 RBC Capital Markets 的 Nik Modi。

I wanted to ask about the recent new hire for the online president that you brought in from the outside. I mean obviously, the online business for you has done incredibly well over the last 10-plus years. And so I just wanted to get your thoughts on kind of what the priorities will be for new leadership, especially given that they do have outside perspective of both CPG and retail.

我想問一下您最近從外部聘請的在線總裁的新員工。我的意思是，很明顯，在過去 10 多年裡，您的在線業務做得非常好。因此，我只想了解您對新領導層的優先事項的看法，特別是考慮到他們確實對 CPG 和零售業都有外部視角。

Yes, sure. First of all, Gibu is now in -- seen some months and is an exceptional new lead -- new hire and a leader well integrated by now in our organization. He will bring our online business to next level. As you said, we have done well for many years, but he's here to bring it to a completely new level. And so the priority is, first of all, to continue our growth and leverage this huge acceleration in every single channel in brand.com, in third parties, in pure plays, in retail.com, and in making sure that we have the circulation of the best practices around the world, that we learn from what's happening in every angle of the world, both in our business and in what competition or retailers are doing, third-party are doing.

是的，當然。首先，Gibu 現在 - 見了幾個月並且是一位出色的新領導 - 新員工和領導者現在已經很好地融入了我們的組織。他將使我們的在線業務更上一層樓。正如你所說，我們多年來做得很好，但他來這裡是為了將它提升到一個全新的水平。因此，首要任務是，首先要繼續我們的增長，並在 brand.com、第三方、純遊戲、retail.com 的每個渠道中利用這種巨大的加速，並確保我們有流通世界各地的最佳實踐，我們從世界各個角度正在發生的事情中學習，無論是在我們的業務中，還是在競爭或零售商正在做的事情，第三方正在做的事情上。

But I would say the center of all this is to add more technology in order to make the consumer experience in each one of these touch points really, really high quality, even more competitive. So the focus is on taking the consumer experience to the next level. You heard me speaking in the past about chats, virtual try-on, live streaming, and many other experiences that are possible but need to become better and better over time and surprise the consumer for positive.

但我要說的是，所有這一切的核心是增加更多的技術，以便讓消費者在這些接觸點中的每一個體驗都非常非常高質量，甚至更具競爭力。因此，重點是將消費者體驗提升到一個新的水平。你在過去聽過我談到聊天、虛擬試穿、直播和許多其他可能的體驗，但需要隨著時間的推移變得越來越好，並讓消費者感到驚喜。

And if we do that correctly, we will continue to drive traffic to our online. Because we'll attract traffic not only because of our great brands, of our great innovation, but also because of our outstanding services online and because of the experience online that will be frictionless. And also, we will need to make sure that this happens in a very efficient way and in a way which is driven by technology and become consistent across the world so that we can scale it very fast every single time this is going to be needed.

如果我們正確地做到這一點，我們將繼續為我們的在線帶來流量。因為我們吸引流量不僅是因為我們偉大的品牌、偉大的創新，還因為我們出色的在線服務以及無摩擦的在線體驗。而且，我們將需要確保這一切以一種非常有效的方式發生，並且以一種由技術驅動並在全球範圍內保持一致的方式發生，這樣我們就可以在每次需要時都非常快速地擴展它。

And finally, we -- also one of the priorities is to make digital advertising, and particularly all the advertiser linked to e-commerce more efficient and more effective, and with this to continue to push conversion. That will be one of the key challenges and the key opportunities of the next years in the world of online.

最後，我們的首要任務之一是使數字廣告，尤其是所有與電子商務相關的廣告商更加高效和有效，並以此繼續推動轉化。這將是未來幾年在線世界的主要挑戰和主要機遇之一。

Your next question is from Dara Mohsenian with Morgan Stanley.

你的下一個問題來自摩根士丹利的 Dara Mohsenian。

Just given the unique nature of the COVID crisis, can you just give us a bit of an update on your expectations for the travel retail category going forward? How quickly do you think demand comes back? How do you manage the business for the pace of recovery, but also potential volatility? I'd just love a bit of an update there.

鑑於 COVID 危機的獨特性，您能否向我們介紹一下您對未來旅遊零售類別的預期？您認為需求恢復的速度有多快？您如何管理業務以應對複甦的步伐以及潛在的波動？我只是喜歡那裡的一些更新。

Yes. Again, Tracey, I'll let you add any thoughts. But anyway, travel retail business is up. And so is, I would say, that the recovery will be a net extra versus what is already growth. So what's happened in this period, as you all know, is that the domestic travel in general, and particularly within China, has been more than offsetting the lack of international travel all over the world and particularly in the west.

是的。再一次，特蕾西，我會讓你補充任何想法。但無論如何，旅遊零售業務正在上升。因此，我想說的是，相對於已經存在的增長，復甦將是淨額外的。所以，正如你們所知，這段時期發生的事情是，總體而言，國內旅行，尤其是中國境內的旅行，已經遠遠抵消了世界各地，尤其是西方國家國際旅行的不足。

And so in this moment, we expect the strengths that today are in travel retail, in domestic travel in China with Hainan and with new centers like Shenzhen, the Greater Bay and other opportunities, which are emerging over time, we expect this to continue and to remain very, very solid.

因此，在這一刻，我們預計今天的優勢在於旅遊零售、中國國內旅遊與海南以及深圳、大灣區等新中心以及隨著時間的推移不斷湧現的其他機遇，我們預計這種情況將繼續下去，保持非常非常穩固。

But then at a certain moment when international travel will be restated, then we expect international travel to bring net extra opportunities, particularly in the west where there will be, obviously, many more populations going back to travel. And when this will happen, we envision travel retail to be even stronger than what used to be historically and definitely stronger than today, which is mainly driven by only the domestic travel part.

但隨後在國際旅行將被重申的某個時刻，我們預計國際旅行將帶來額外的淨機會，特別是在西方，顯然會有更多的人返回旅行。當這種情況發生時，我們預計旅遊零售業將比過去更強大，而且肯定比今天更強大，而今天主要由國內旅遊部分驅動。

So strong reality today, a strong future for travel retail. Now travel retail is about traffic, which is what I was commenting on now, speaking about the future recovery in international travel. But it's also drove by conversion, which is the percentage of travelers that buy something. So we have seen recently the conversion going up driven by pre-tail, so the ability to buy online when you travel.

今天如此強大的現實，旅遊零售的強大未來。現在旅遊零售是關於流量的，這就是我現在評論的，談到未來國際旅遊的複蘇。但它也受到轉化率的推動，轉化率是購買商品的旅行者的百分比。因此，我們最近看到轉化率在 pre-tail 的推動下上升，因此您可以在旅行時在線購買。

Now pre-tail is accelerating in Asia. It's a very -- it's already about 1/3 of the business in many parts of Asia and is not yet very present or very significant in the west. So we see, in the future, pre-tail to continue to grow and to be a significant part on travel retail. And with the growth of pre-tail, we see the opportunity of increased growth or conversion. And in that sense, the traffic coming back plus conversion of travelers into buyers continue to progress. Those 2 KPIs will represent a very solid future for travel retail.

現在pre-tail在亞洲加速發展。這是一個非常 - 它已經佔亞洲許多地區業務的 1/3 左右，而且在西方還不是非常存在或非常重要。所以我們看到，在未來，pre-tail 將繼續增長並成為旅遊零售的重要組成部分。隨著前尾的增長，我們看到了增加增長或轉化的機會。從這個意義上說，回頭客流量以及旅行者向買家的轉化仍在繼續。這 2 個 KPI 將代表旅遊零售業非常穩固的未來。

And the only thing I would add, Dara, to what Fabrizio said, we are obviously watching traffic patterns and travel patterns pretty closely, our travel retail team is. So international travel is really projected, at this point in time, not to recover until perhaps even the second half of fiscal -- our fiscal '22. So again, we're watching it closely obviously. If it recovers sooner, the travel retail business, internationally in terms of consumption, would pick up correspondingly.

對於 Fabrizio 所說的，Dara，我唯一要補充的是，我們的旅遊零售團隊顯然正在密切關注交通模式和旅行模式。因此，在這個時間點，國際旅行確實預計要到財政的下半年——我們的 22 財年才會恢復。所以，我們顯然正在密切關注它。如果恢復得更快，旅遊零售業務在國際消費方面也會相應回暖。

But in the meantime, the travel retail team has done a fantastic job of making sure that we are managing the western travel retail markets prudently in terms of investments until we see the recovery of traffic and consumption in the western markets.

但與此同時，旅遊零售團隊在確保我們在投資方面謹慎管理西部旅遊零售市場方面做得非常出色，直到我們看到西部市場的交通和消費復甦。

And the only thing -- the other thing I would say is that travel retail and online combined now are a little more than half of our total business. And so when you think about our growth momentum going forward and the recovery, the strength that we see in online and the recovery of travel retail, it bodes very well for our future growth.

唯一一件事——我要說的另一件事是，旅遊零售和在線業務現在合計占我們總業務的一半多一點。因此，當您考慮我們未來的增長勢頭和復蘇，我們在在線和旅遊零售業的複蘇中看到的力量時，這預示著我們未來的增長。

Your next question is from Jason English with Goldman Sachs.

你的下一個問題來自高盛的 Jason English。

I want to come back to, I guess, the first question where growth was a bit slower than many has expected. And one thing that surprised me was just the sequential drop. I know that 2Q is always bigger than 3Q, but the drop down from 2Q to 3Q in terms of revenue was larger than is typical, pretty much across every region but especially Asia Pacific.

我想我想回到第一個問題，即增長比許多人預期的要慢一些。讓我感到驚訝的一件事就是連續下降。我知道 2Q 總是大於 3Q，但從 2Q 到 3Q 的收入下降幅度大於通常情況，幾乎遍及每個地區，尤其是亞太地區。

It begs 1 or 2 questions. One, was last quarter may be a bit inflated, with some retailers once again kind of stepping into the market reloading inventory? Or are we seeing more of a setback? I mean I know you talked about some markets tightening down. But generally, from where we sit and look globally, it looks like the world is slowly reopening, obviously not all consistently. So help me contextualize or wrap my head around why would see the sequential dip.

它提出了 1 或 2 個問題。第一，上個季度是否可能有點膨脹，一些零售商再次進入市場重新加載庫存？還是我們看到了更多的挫折？我的意思是我知道你談到了一些市場收緊。但總的來說，從我們所處的位置和全球視野來看，世界似乎正在慢慢重新開放，但顯然並非一貫如此。因此，請幫助我了解或了解為什麼會看到連續下降的原因。

Yes, I mean I'll start, Jason. I think that what we're seeing more and more in the business, particularly in Asia Pacific, is more seasonality of the business. So Q2, as you indicate, has become a very large quarter for us. It always was a large quarter with holiday. But with the addition of 11.11 and the tremendous growth of that holiday year-over-year, we're seeing a very large sales number in our second quarter.

是的，我是說我要開始了，傑森。我認為我們在業務中看到的越來越多，尤其是在亞太地區，是業務的季節性。因此，正如您所說，第二季度對我們來說已經成為一個非常大的季度。它總是一個很大的假期。但是隨著 11.11 的加入以及該假期同比的大幅增長，我們在第二季度看到了非常大的銷售數字。

In the third quarter, as Fabrizio mentioned, China had a very strong third quarter. We did have some large markets in Asia that were a bit softer, Japan. And I think through this pandemic, we're going to see ups and downs until things really more sustainably get back to normal when vaccine rates obviously accelerate a bit. So I would not read anything long term into it other than this is still part of the pandemic in terms of seeing up and down performance in various markets.

在第三季度，正如 Fabrizio 所說，中國的第三季度表現非常強勁。我們在亞洲確實有一些大市場，比如日本。我認為，在這場大流行中，我們將經歷起起落落，直到疫苗接種率明顯加快一點，事情才能真正以更可持續的方式恢復正常。因此，除了從各個市場的表現起伏來看，這仍然是大流行病的一部分之外，我不會對它進行任何長期的解讀。

Similarly in terms of EMEA as well, obviously, outside of travel retail, but the western markets in EMEA were also quite challenged in the quarter as well. So that we expect to see until, again, we see more stabilization and normalization from the pandemic.

同樣，就 EMEA 而言，顯然，在旅遊零售之外，但 EMEA 的西方市場在本季度也面臨著相當大的挑戰。因此，我們希望看到，直到我們再次看到大流行帶來的更多穩定和正常化。

Yes. And so frankly, I just want to underline what Tracey said. I would read in this more of a strong quarter 2, particularly driven by an extraordinary 11.11 where some of our brands were top in the 11.11 project. And by the fact that holidays were a moment, also in the West, they were pretty positive. People, where possible and where allowed went back to shopping. Some brick and mortar were open. And then maybe because these holidays, in some places, were opened too early. Then there was a lot of closures immediately after that. So Japan, U.K., Italy, part of North America, Canada, so we got an enormous amount of closures in the January-March period and in the west particularly, in Japan obviously.

是的。坦率地說，我只想強調 Tracey 所說的話。我會更多地讀到第二季度的強勁表現，尤其是在非同尋常的 11.11 的推動下，我們的一些品牌在 11.11 項目中名列前茅。事實上，假期是一個時刻，在西方也是如此，他們非常積極。人們在可能和允許的情況下重新購物。一些實體店是開放的。然後可能是因為這些假期在某些地方開得太早了。之後立即關閉了很多。所以日本、英國、意大利、北美的一部分、加拿大，所以我們在 1 月至 3 月期間，特別是在西方，特別是在日本，有大量的關閉。

And so that's the combination. The combination is the pandemic impact on brick and mortar. Now keep in mind that, as you have seen in the results, we have an extraordinary skin care and fragrance, and also our data brand is doing really strong. The question is the makeup recovery. And the makeup is very linked to the comeback of the brick-and-mortar experience. So all the closures that happen actually after the holidays in many western markets and in Japan did have an impact on makeup, and we have seen that.

這就是組合。這種結合是大流行對實體的影響。現在請記住，正如您在結果中看到的那樣，我們擁有非凡的護膚品和香水，而且我們的數據品牌也非常強大。問題是化妝恢復。妝容與實體店體驗的回歸密切相關。因此，在許多西方市場和日本，假期過後實際發生的所有停業確實對化妝品產生了影響，我們已經看到了這一點。

So I will not say there is any long-term sign in this quarter 3. Actually, it's an extraordinarily strong quarter 3. By the way, was ahead of our guidance. Because we have seen that in our guidance. We have seen these kind of things that would have happened because of the closures.

所以我不會說第 3 季度有任何長期跡象。實際上，這是一個非常強勁的第 3 季度。順便說一句，領先於我們的指導。因為我們已經在我們的指南中看到了這一點。我們已經看到了由於關閉而發生的這些事情。

And so it was a very strong quarter. And quarter 2 was just an extraordinary quarter. But as Tracey said, quarter 2 will be pretty strong because in the future, there will be always a combination of holidays and strong peak of commercial activities like 11.11 and more that will create a high in terms of absolute level of sales.

所以這是一個非常強勁的季度。第二季度只是一個非凡的季度。但正如 Tracey 所說，第 2 季度將非常強勁，因為在未來，假期和商業活動的強勁高峰（如 11.11 等）將始終結合在一起，這將創造一個高絕對銷售水平。

Your next question is from Rupesh Parikh with Oppenheimer.

你的下一個問題來自 Rupesh Parikh 和 Oppenheimer。

So Fabrizio, I guess getting -- going back to your comments. So skin care and fragrance have now exceeded FY '19 levels. So I was curious, as you look at makeup going forward, do you see any structural impediments in your business to get back to where makeup was pre-pandemic from a sales perspective?

所以 Fabrizio，我想——回到你的評論。所以護膚和香水現在已經超過了 19 財年的水平。所以我很好奇，當你展望未來的化妝品時，你是否看到你的業務中有任何結構性障礙從銷售的角度回到大流行前化妝品的狀態？

No, no, definitely not. We are counting on it, again, as COVID abates and the opening. As I said before, I want to repeat that makeup is about usage occasions. So -- and the usage occasion on makeup are exactly the social and professional occasions that when there are closures, when the pandemic is very active, are not there. And so consumption goes down. So we are really -- we don't see any reason why we will not go back to, first, stabilization and then growth in makeup when these social occasions come back and these professional occasions come back.

不，不，絕對不是。隨著 COVID 減弱和開放，我們再次指望它。正如我之前所說，我想重複一遍，化妝是關於使用場合的。所以——化妝的使用場合正是社交和專業場合，當關閉時，當大流行非常活躍時，就不存在了。所以消費下降了。所以我們真的 - 我們看不出有任何理由在這些社交場合和專業場合回來時，我們不會首先回到穩定，然後是化妝的增長。

I just want to take the opportunity to make the pictures. So today, we have our current drivers, which are the Chinese consumer, the global online and the skin care category and now the high end fragrance category that will continue to drive. There is no discussion. These areas have been accelerated by COVID. But in reality, their trends were strong already before. So COVID has accelerated, and we are very ready. And as you see, we are having great success on these drivers even in the middle of COVID.

我只是想藉此機會拍照片。所以今天，我們有我們當前的驅動力，即中國消費者、全球在線和護膚品類，現在高端香水類將繼續推動。沒有討論。 COVID 加速了這些領域。但實際上，他們的趨勢之前就已經很強勁了。所以 COVID 已經加速，我們已經做好了準備。正如您所看到的，即使在 COVID 期間，我們在這些驅動程序方面也取得了巨大成功。

Now there are new drivers that should be added to these drivers as COVID will abate. Makeup usage, as I said, brick-and-mortar productivity in most markets, certain markets and consumer groups like U.S., U.K., Japan, Continental Europe, emerging markets that today are unfortunately really badly hit by COVID will come back and will gradually come back as the COVID improve. Younger consumer consumption, which is especially linked to makeup, will come back. And the tier outside of Hainan as we said before, and the pre-tail acceleration will come back. So there are all these new drivers that we need to accelerate in the next 18 months, assuming that would be the pace of return from COVID gradually.

隨著 COVID 的消退，現在應該將新的驅動程序添加到這些驅動程序中。化妝品的使用，正如我所說，大多數市場的實體生產力，某些市場和消費群體，如美國、英國、日本、歐洲大陸，不幸的是，今天受到 COVID 嚴重打擊的新興市場將會恢復，並將逐漸恢復隨著 COVID 的改善。尤其與彩妝相關的年輕化消費將會捲土重來。而我們之前說的海南以外的層級，前尾加速會回來的。因此，我們需要在接下來的 18 個月內加快所有這些新的驅動因素，假設這將是逐漸從 COVID 中恢復的步伐。

Then there are new strengths that we have built during COVID, and we have invested there. There is better innovation in Asia with the center in Shanghai and the quality of our innovation. That is creating higher repeat purchase rate. There is more skin care, a more makeup skin-ification and we have more production capacity, of high-quality production capacity in our upcoming factory in Tokyo; better consumer understanding; and better ability to anticipate trends, driven by our investment in analytics; more resources for advertising, especially to digital advertising, which is increasing; better high-touch services online, as I explained before when there was the question on online; a brand portfolio, which is becoming stronger and stronger with the acquisition of DECIEM and Dr. Jart+; a huge investment and acceleration in every ESG activity during COVID. And all of this combined is what I call the new strengths that we are bringing to the party.

然後是我們在 COVID 期間建立的新優勢，我們在那裡進行了投資。以上海為中心的亞洲有更好的創新和我們創新的質量。那就是創造更高的重複購買率。有更多的護膚品，更多的彩妝皮膚化，我們有更多的生產能力，我們即將在東京的工廠擁有高質量的生產能力；更好地了解消費者；在我們對分析的投資的推動下，更好地預測趨勢；更多的廣告資源，尤其是數字廣告，這種情況正在增加；更好的在線高接觸服務，正如我之前在網上遇到問題時所解釋的那樣；品牌組合，隨著對 DECIEM 和 Dr. Jart+ 的收購而變得越來越強大； COVID 期間對每項 ESG 活動的巨大投資和加速。所有這些結合在一起就是我所說的我們為黨帶來的新力量。

So the way we see it is that the current drivers will drive. The new drivers, including makeup, will come back. And the new strengths that we've built in Estée Lauder Companies during this year will hit. And that's why we really believe that this quarter is just the confirmation that we are creating a very solid, long-term sustainable growth factor for the company.

所以我們的看法是，現在的司機會開車。包括化妝在內的新司機都會回來。今年我們在雅詩蘭黛公司建立的新優勢將會發揮作用。這就是為什麼我們真的相信本季度只是確認我們正在為公司創造一個非常穩固、長期可持續的增長因素。

And the only thing I would add to that is just to underscore some of the investment in technology we've made for virtual try-on. So when you think about those social and professional occasions coming back, whether someone wants to come in the store and try makeup or if they want to try it online, the engagement that we see online from some of the capabilities and features that we've added to online certainly bodes very well for when those occasions come back and the makeup category acceleration.

我唯一要補充的就是強調我們為虛擬試穿所做的一些技術投資。因此，當你想到那些回歸的社交和專業場合時，無論有人想來店裡試妝還是想在線試妝，我們從我們擁有的一些功能和特性中看到的在線參與度添加到網上肯定預示著那些場合回來和彩妝品類加速的好兆頭。

We have time for one more question. Your final question will come from Chris Carey with Wells Fargo.

我們還有時間再問一個問題。您的最後一個問題將來自富國銀行的 Chris Carey。

So I wonder if you can just provide some comments on how you're thinking about that operating margin for fiscal '21, which I think you said was 18.4%, but correct me if I got that wrong. I mean you noted this quarter that they are temporary, but also longer-term cost savings is substantially lower, operating costs in-store with the shift online, there's some subsidies in play. But you're also reallocating costs for the longer term from brick-and-mortar to online. Channel mix is obviously going to be a dynamic going forward.

所以我想知道你是否可以就你如何看待 21 財年的營業利潤率發表一些評論，我認為你說的是 18.4%，但如果我說錯了請糾正我。我的意思是你在本季度注意到它們是暫時的，但長期成本節約也大大降低，店內運營成本隨著在線轉移，有一些補貼在發揮作用。但您也在重新分配長期成本，從實體店轉移到在線店。渠道組合顯然將是動態的。

And I guess underlying the question is that margins continue to come through at a much higher level, channel mix is clearly an element. But there are some costs that have come out permanently, but also costs that are going to be coming back into the base.

我想問題的根本在於利潤率繼續以更高的水平出現，渠道組合顯然是一個因素。但是有些成本是永久性的，但也有一些成本會重新回到基地。

And so I guess getting back to it, I wonder how you view this fiscal '21 target. Do you think that you can move up from there with all the initiatives that you have noted? Or would you expect some sort of a step back as you weather some of these costs coming back in the base and channel mix evolving over the next year?

所以我想回到它，我想知道你如何看待這個 21 財年目標。你認為你可以通過你注意到的所有舉措從那裡提升嗎？或者，當您在明年的基礎和渠道組合中抵禦這些成本中的一些成本時，您會期望某種退步嗎？

Yes. So Chris, as you know, we typically give forward guidance for the upcoming fiscal year in August, which we will certainly do. I mean this has been an unusual year because of all of the things that you've mentioned. We had part of the year where we had temporary salary reductions. We've had furloughs. And we've also done a fantastic job, our teams have, in terms of managing costs.

是的。因此，克里斯，如你所知，我們通常會在 8 月份為即將到來的財政年度提供前瞻性指導，我們一定會這樣做。我的意思是，由於您提到的所有事情，今年是不尋常的一年。我們在一年中有一部分時間臨時減薪。我們有休假。在管理成本方面，我們的團隊也做得非常出色。

Some of those costs will come back next year, and some of them won't. Some of the door closures that we've permanently done, those costs and the remaining fleet of doors should be more productive as traffic continues to accelerate to brick and mortar, which is where we see bulk of the recovery.

其中一些成本會在明年恢復，有些則不會。我們已經永久關閉的一些門，這些成本和剩餘的門車隊應該更有效率，因為交通繼續加速到實體店，這是我們看到大部分複甦的地方。

So given the cost actions that we've taken, given where we expect growth to come from next year disproportionately, we would expect continued margin progression, but we'll be able to say more specifically what that will be in the August time frame. But as we've said for many years, our growth areas are all margin accretive when you think about travel retail, when you think about online, when you think about the strength that we've had over multiple years in terms of skin care. And as Fabrizio said, we expect skin care and fragrance to continue to grow and makeup will also grow more strongly, certainly next year as those occasions come back.

因此，考慮到我們採取的成本行動，考慮到我們預計明年的增長將不成比例地增長，我們預計利潤率將繼續增長，但我們將能夠更具體地說出 8 月份的時間框架。但正如我們多年來所說的那樣，當你想到旅遊零售，當你想到在線，當你想到我們多年來在皮膚護理方面的優勢時，我們的增長領域都會增加利潤。正如 Fabrizio 所說，我們預計護膚品和香水將繼續增長，彩妝也將增長得更強勁，當然明年這些場合會回來。

So we've got multiple engines, multiple ways to progress margin even as investments do come back for brick-and-mortar and in other areas. We will, in the fourth quarter, as you indicate and I said in my prepared remarks, so strongly invest as we normally do for a start of a strong fiscal year. And we will invest more in advertising to support what we believe will be an acceleration selectively in the markets that we think that it will happen in.

所以我們有多個引擎，多種方式來提高利潤率，即使投資確實回歸實體店和其他領域。我們將在第四季度，正如你所指出的，我在準備好的發言中也說過，我們將像往常一樣大力投資，以開啟一個強勁的財政年度。我們將更多地投資於廣告，以支持我們認為會在我們認為會發生的市場中選擇性地加速。

That concludes today's question-and-answer session. I would like to turn it back over to management for closing remarks.

今天的問答環節到此結束。我想把它轉回給管理層作結束語。

No, just thank you, everybody, for obviously their interest in the company. And again, I think we want to thank all of our teams for the fantastic performance navigating through what has been a difficult year. But we are incredibly proud, as I mentioned and Fabrizio mentioned, of our results. And certainly look forward to closing the year strong with the guidance that we provided. So thank you, everyone.

不，只是謝謝大家，顯然他們對公司感興趣。再一次，我想我們要感謝我們所有的團隊在艱難的一年中取得的出色表現。但正如我和 Fabrizio 提到的那樣，我們對我們的結果感到無比自豪。並且當然期待在我們提供的指導下以強勁的勢頭結束這一年。所以謝謝大家。

Thank you. If you were unable to join the entire call, a playback will be available at 1:00 p.m. Eastern Time today through May 17. To hear a recording of this call, please dial 1 (855) 859-2056, pass code #5569398.

謝謝你。如果您無法加入整個通話，將在下午 1:00 提供回放。東部時間今天至 5 月 17 日。要收聽此通話的錄音，請撥打 1 (855) 859-2056，密碼為 #5569398。

That concludes today's Estée Lauder conference call. I would like to thank you all for your participation, and wish you a good day.

今天的雅詩蘭黛電話會議到此結束。我要感謝大家的參與，祝你們有美好的一天。