elf Beauty Inc (ELF) 2024 Q3 法說會逐字稿

Thank you for joining us today to discuss e.l.f. Beauty's Third Quarter Fiscal '24 Results. I'm KC Katten, Vice President of Corporate Development and Investor Relations. With me today are Tarang Amin, Chairman and Chief Executive Officer; and Mandy Fields, Senior Vice President and Chief Financial Officer. We encourage you to tune into our webcast presentation for the best viewing experience, which you can access on our website at investor.elfbeauty.com.

感謝您今天加入我們討論 e.l.f. Beauty'24 第三季財報結果。我是 KC Katten，企業發展與投資者關係副總裁。今天與我在一起的有董事長兼執行長 Tarang Amin；以及資深副總裁兼財務長 Mandy Fields。我們鼓勵您收聽我們的網路廣播演示，以獲得最佳觀看體驗，您可以在我們的網站 Investor.elfbeauty.com 上訪問該演示。

Since many of our remarks today contain forward-looking statements, please refer to our earnings release and reports filed with the SEC, where you'll find factors that could cause actual results to differ materially from these forward-looking statements. In addition, the company's presentation today includes information presented on a non-GAAP basis. Our earnings release contains reconciliations of the differences between the non-GAAP presentation and the most directly comparable GAAP measure.

由於我們今天的許多言論都包含前瞻性陳述，請參閱我們向美國證券交易委員會提交的收益報告和報告，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。此外，該公司今天的簡報還包括基於非公認會計原則（Non-GAAP）的資訊。我們的收益報告包含非公認會計原則表述與最直接可比較的公認會計原則衡量指標之間差異的調節。

With that, let me turn the webcast over to Tarang.

接下來，讓我將網路廣播轉交給塔朗。

Thank you, KC, and good afternoon, everyone. Today, we will discuss the drivers of our Q3 results and our raised outlook for fiscal '24. I want to start by recognizing the e.l.f. Beauty team for delivering another phenomenal quarter. In Q3, we grew net sales by 85%, increased gross margin by nearly 350 basis points and delivered $59 million in adjusted EBITDA, up 61% versus prior year. Our vision is to create a different kind of beauty company by building brands that disrupt norms, shape culture and connect communities through positivity, inclusivity and accessibility.

謝謝你，KC，大家下午好。今天，我們將討論第三季業績的驅動因素以及我們上調的 24 財年前景。我想從認識 e.l.f 開始。美容團隊再次創造了非凡的季度表現。第三季度，我們的淨銷售額成長了 85%，毛利率提高了近 350 個基點，調整後 EBITDA 達到 5,900 萬美元，比上年增長 61%。我們的願景是透過打造顛覆規範、塑造文化並透過積極性、包容性和可及性連結社群的品牌來創造一家不同類型的美容公司。

We have executed against this vision and delivered exceptional consistent category-leading growth. Q3 marked our 20th consecutive quarter of net sales growth, putting e.l.f. Beauty in a rarefied group of consistent, high-growth consumer companies. We're 1 of only 5 public consumer companies out of 274 that has grown for 20 straight quarters and averaged at least 20% sales growth per quarter.

我們已經執行了這個願景，並實現了持續領先的成長。第三季標誌著我們連續 20 個季度實現淨銷售額成長，使 e.l.f.美妝產業由一群穩定、高成長的消費公司組成。在 274 家上市消費公司中，我們是僅有的 5 家連續 20 個季度實現成長且平均每季銷售額增長至少 20% 的公司之一。

Across our business, we've continued to prioritize 3 areas with significant runway for growth: color cosmetics, skin care and international. Let me update you on our progress in Q3. In Color Cosmetics, we continue to significantly outperform the category. In Q3, e.l.f. Cosmetics grew 46% in tracked channels, 23x category growth of 2%. We increased our share by 305 basis points. Out of nearly 800 cosmetics brands tracked by Nielsen, e.l.f. is the only brand to gain share for 20 consecutive quarters. We have more than doubled our market share from about 4.5% in 2019 to 10% in 2023, placing us as a #3 brand nationally.

在我們的業務中，我們繼續優先考慮三個具有重要成長空間的領域：彩妝、護膚和國際。讓我向您介紹第三季的最新進展。在彩妝領域，我們的表現持續顯著優於該類別。在第三季度，e.l.f.化妝品在追蹤管道中成長了 46%，是品類成長 2% 的 23 倍。我們的份額增加了 305 個基點。在尼爾森追蹤的近 800 個化妝品品牌中，e.l.f.是唯一一個連續20個季度份額成長的品牌。我們的市佔率從 2019 年的約 4.5% 增加到 2023 年的 10%，增加了一倍多，成為全國第三大品牌。

Given our momentum, we see an opportunity to double our share again over the next few years. In Target, our longest-standing national retail customer, we're the #1 brand with about a 19% share, nearly double the share we had in Target just a few years ago. We're focused on replicating our success at Target across other key retailers and are making great progress towards that ambition.

鑑於我們的勢頭，我們看到了未來幾年將我們的份額再次翻倍的機會。在我們歷史最悠久的全國零售客戶塔吉特(Target) 中，我們是排名第一的品牌，擁有約19% 的份額，幾乎是幾年前我們在塔吉特(Target) 所佔份額的兩倍。我們致力於在其他主要零售商中複製塔吉特的成功，並在實現這一目標方面取得了巨大進展。

In skin care, we also continued to outperform the category. In Q3, e.l.f. SKIN grew 89% in tracked channels, 10x category growth of 9%. We grew our share by 60 basis points and gained 6 ranked positions, increasing our rank to the #14 brand as compared to the #20 brand a year ago. e.l.f. SKIN today holds a 1.4% share and a significant runway with the #1 brand holding 14% share. We are also making progress with Naturium, the clinically effective biocompatible skin care brand we acquired in October. Naturium has doubled our skin care penetration to 18% of retail sales and gives us a fast-growing complementary brand to further aspirations in the category. Naturium has seen exceptional growth with net sales growing at an 80% CAGR over the last 2 years. We're pleased by the strong growth that Natrium continued to deliver in Q3.

在保養品方面，我們的表現也持續優於同類產品。在第三季度，e.l.f. SKIN 在追蹤管道中成長了 89%，是品類成長 9% 的 10 倍。我們的份額增長了 60 個基點，排名上升了 6 位，與一年前的第 20 名品牌相比，我們的排名升至第 14 名。 e.l.f. SKIN 目前佔有 1.4% 的份額，並且與排名第一的品牌佔有 14% 的份額。我們在 10 月收購的臨床有效的生物相容性護膚品牌 Naturium 方面也取得了進展。 Naturium 使我們的護膚品滲透率翻了一番，達到零售額的 18%，並為我們提供了一個快速增長的補充品牌，以進一步推動該類別的發展。 Naturium 取得了驚人的成長，過去 2 年淨銷售額複合年增長率為 80%。我們對 Natrium 在第三季繼續實現的強勁成長感到高興。

Turning to International. Our net sales grew 119% in Q3 and drove approximately 15% of our business as compared to 13% a year ago. We saw terrific growth in the U.K. and Canada, our largest global markets, and we're enjoying success in our expansion to other countries as well. As compared to our #3 position in the U.S., e.l.f. is the #4 cosmetics brand in Canada and the #6 brand in the U.K. In Italy, where we just launched this fall, e.l.f. is already the #1 brand in Douglas across both mass and prestige. We see significant runway to expand our brands globally.

轉向國際。第三季我們的淨銷售額成長了 119%，帶動了我們業務的約 15%，而去年同期為 13%。我們在英國和加拿大這兩個最大的全球市場看到了驚人的成長，我們在向其他國家的擴張中也取得了成功。與我們在美國排名第三的位置相比，e.l.f. e.l.f. 是加拿大排名第四的化妝品品牌，也是英國排名第六的化妝品品牌。今年秋天我們剛在義大利推出了 e.l.f.無論是在品質上還是在聲望上，它都已經是道格拉斯的第一品牌。我們看到了在全球擴展我們品牌的重要途徑。

Across categories and geographies, the 3 fundamental drivers of our business remain the same: our value proposition, powerhouse innovation and disruptive marketing engine. Let me walk you through how each underpinned our strength in Q3 and how they collectively fuel our vision to be a different kind of company. First, we're known for our value proposition. Our mission is to make the best of beauty accessible to every eye, lip, face and skin concern. We have a unique ability to deliver high-quality holy grails at an extraordinary value created with inspiration from our community, the best products in prestige and our distinctive e.l.f. Twist. The average price point for e.l.f. is a little over $6 today as compared to over $9 for the legacy mass cosmetics brands and over $20 for prestige brands. We believe our core value proposition expands the category, allowing more consumers to access the best of beauty.

在各個類別和地區，我們業務的三個基本驅動力保持不變：我們的價值主張、強大的創新和顛覆性的行銷引擎。讓我向您介紹每個因素如何支撐我們在第三季的實力，以及它們如何共同推動我們成為不同類型公司的願景。首先，我們以價值主張而聞名。我們的使命是讓每個眼睛、嘴唇、臉部和皮膚問題都能享受到最好的美容效果。我們擁有獨特的能力，能夠以非凡的價值提供高品質的聖杯，其靈感源自我們的社區、享有盛譽的最佳產品和我們獨特的 e.l.f.捻。 e.l.f. 的平均價格點今天的價格略高於 6 美元，而傳統大眾化妝品品牌的價格超過 9 美元，知名品牌的價格超過 20 美元。我們相信我們的核心價值主張擴大了品類，讓更多消費者獲得最好的美。

The second driver of our performance is our powerhouse innovation. Our innovation engine has built category leadership over time. e.l.f. has the #1 or #2 position across 16 segments of the Color Cosmetics category, which collectively make up over 75% of e.l.f. Cosmetics sales. We continue to deliver strong sales growth and share gains in each.

我們業績的第二個驅動力是我們強大的創新。隨著時間的推移，我們的創新引擎已經建立了類別領導地位。 e.l.f.在彩妝類別的 16 個細分市場中排名第一或第二，這些細分市場合計佔 e.l.f. 的 75% 以上。化妝品銷售。我們繼續實現強勁的銷售成長並分享各自的收益。

We have a track record of building growing product franchises in both cosmetics and skin care that endure instead of typical one-and-done launches. Our 5 largest franchises, Halo Glow, Camo, Power Grip, Holy Hydration and Putty have grown year after year as we launch new innovation within each, the entire franchise grows. In Q3, we extended our Camel franchise into the blush category for the first time with the launch of our Camel liquid blush, priced at an incredible value of $7 compared to a prestige item at $23.

我們在化妝品和護膚品領域建立了不斷增長的產品特許經營權，這些產品經久不衰，而不是典型的一勞永逸的產品發布。我們最大的 5 個系列：Halo Glow、Camo、Power Grip、Holy Hydration 和 Putty 隨著我們在每個系列中推出新的創新，整個系列也在不斷發展。在第三季度，我們首次將 Camel 特許經營權擴展到腮紅類別，推出了 Camel 液體腮紅，與 23 美元的高端產品相比，價格為 7 美元，令人難以置信。

We're also innovating in the industry's top segments where we under-index on share, like Lip and Mascara. In Q3, we launched our Glow Reviver lip oil, one of the most requested products from our community, priced at an incredible value of $8 compared to a prestige item at $40.

我們也在該行業的頂級細分市場進行創新，在這些細分市場中，我們的份額指數較低，例如唇彩和睫毛膏。在第三季度，我們推出了 Glow Reviver 唇油，這是我們社區最受歡迎的產品之一，與 40 美元的高檔產品相比，其售價為 8 美元，令人難以置信。

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We also launched our last extender Mascara, our fourth Mascara launch in the last 4 years and our first ever Mascara with lengthening tubing technology. With our focused innovation in these areas, we've nearly doubled our lip and Mascara share over the last 3 years, and are still significantly underpenetrated today. For context, as compared to the 10% share we have across the cosmetics category. We have a 3% share in lip, a $1.2 billion category and a 2% share in Mascara, a nearly $1 billion category. We have significant white space in these large segments of beauty and the innovation engine to conquest them.

我們也推出了最後一款延長睫毛膏，這是我們在過去 4 年內推出的第四款睫毛膏，也是我們首款採用加長管技術的睫毛膏。憑藉我們在這些領域的專注創新，過去 3 年我們的唇部和睫毛膏市場價值幾乎翻了一番，但今天的滲透率仍然嚴重不足。就背景而言，與我們在化妝品類別中所佔的 10% 份額相比。我們在唇膏（價值 12 億美元）類別中佔有 3% 的份額，在睫毛膏（價值近 10 億美元）類別中佔有 2% 的份額。我們在這些美麗的大領域中擁有巨大的空白，並且擁有征服它們的創新引擎。

The third driver of our performance is our disruptive marketing engine. We have a track record of attracting and engaging existing and new audiences with buzzworthy activations, unexpected creativity and coveted collaborations. Our advantage lies in our ability to deliver real-time entertainment with emotionally resonant and culturally relevant content. Our unique content is customized with precision and delivered with impact across a wide range of platforms.

我們績效的第三個驅動力是我們的顛覆性行銷引擎。我們擁有透過值得關注的活動、意想不到的創造力和令人垂涎的合作來吸引和吸引現有和新受眾的記錄。我們的優勢在於我們能夠提供具有情感共鳴和文化相關內容的即時娛樂。我們獨特的內容經過精確定制，並在廣泛的平台上產生影響力。

Building upon our learnings and success with our @elfyeah channel on TikTok and our elfyou channel on Twitch, we widened the aperture in Q3 with the launch of e.l.f. UP!, our first-ever experience on Roblox, one of the world's most popular virtual playgrounds and immersive platforms. True to our purpose, e.l.f. UP! isn't just another game. It empowers entrepreneurs and cultural change makers to bring passion projects to life. The experience focuses on social impact and skill building for e.l.f. community and provides a digital sandbox for fostering creativity and entrepreneurship.

基於我們在 TikTok 上的 @elfyeah 頻道和 Twitch 上的 elfyou 頻道的經驗和成功，我們在第三季度推出了 e.l.f，擴大了業務範圍。 UP!，我們在 Roblox 上的首次體驗，Roblox 是世界上最受歡迎的虛擬遊樂場和沈浸式平台之一。忠於我們的目的，e.l.f.向上！不僅僅是另一個遊戲。它使企業家和文化變革者能夠將充滿熱情的專案變為現實。此次體驗的重點是 e.l.f. 的社會影響和技能培養。社區並提供一個數位沙箱來培養創造力和創業精神。

Launched less than 3 months ago, e.l.f. UP! is already the #1 rated brand experience on the Roblox platform, receiving a 96% rating and amassing over 4 million plays.

e.l.f. 推出不到 3 個月。向上！已經是 Roblox 平台上排名第一的品牌體驗，獲得了 96% 的評分，並累積了超過 400 萬次播放。

Looking at new cohorts, the Latinx community represents some of the most passionate makeup consumers with 77% higher average spend in the category. e.l.f. lover index is among Latinx community and has a significant opportunity to build upon this affinity. In Q3, we teamed up with rising Latin music sensation, Manuel Turizo, to launch a new original Spanish language song, titled "ojos. labios. cara.", which translates in English to "eyes. lips. face.". This Anthem is written to empower the Latin community, celebrating their beauty and pride in their Latin roots.

從新人群來看，拉丁裔社區代表了一些最熱情的化妝品消費者，他們在該類別的平均支出高出 77%。 e.l.f.情人指數屬於拉丁裔社區，並且有很大的機會建立這種親和力。在第三季度，我們與冉冉升起的拉丁樂壇新星Manuel Turizo 合作，推出了一首新的原創西班牙語歌曲，名為“ojos. labios. cara.”，英文翻譯為“eyes.lips.face. 」。這首國歌旨在增強拉丁社區的力量，歌頌他們的美麗和對拉丁根源的自豪。

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"ojos. labios. cara." achieved over 2 billion media impressions, garnered over 304 million cross-platform views in place and reached the #1 spot on Spotify in 3 categories. On the big screen, we released Cosmetic Criminals, a true crime parity documentary capturing the widespread phenomena of household intergenerational cosmetic crime. Stemming from reports about widespread e.l.f. pinching when family and friends borrow e.l.f. holy grails with no intention of returning them, the main character represents their universal truth.

“奧霍斯。拉比奧斯。卡拉。”實現了超過 20 億次媒體展示，獲得了超過 3.04 億次跨平台觀看次數，並在 Spotify 上的 3 個類別中排名第一。在大銀幕上，我們發布了《化妝品罪犯》，這是一部真實的犯罪平價紀錄片，捕捉了家庭代際化妝品犯罪的普遍現象。源自於有關普遍存在的 e.l.f. 的報導。當家人和朋友借 e.l.f. 時，會捏捏。聖杯無意歸還，主角代表了他們的普遍真理。

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The spot debuted on YouTube, Amazon Freevee and ahead of the new "Mean Girls" movie that select AMC theaters nationwide. Our 15-minute film was the longest branded content spot to ever run on the big screen. Since its launch on January 9, Cosmetic Criminals garnered over 7 billion media impressions amassed over 2 million views on YouTube alone and garnered a 4.5 star rating on Amazon.

該廣告在 YouTube、Amazon Freevee 上首次亮相，並先於新電影《賤女孩》在全國 AMC 影院上映。我們的 15 分鐘影片是大銀幕上播放時間最長的品牌內容短片。自 1 月 9 日推出以來，《化妝品罪犯》獲得了超過 70 億次媒體曝光，僅在 YouTube 上的瀏覽量就超過 200 萬次，並在亞馬遜上獲得了 4.5 星的評分。

Speaking of big audiences, e.l.f. returns to the big game on February 11, with our first-ever national TV spot. Last year's spot featuring Jennifer Coolidge and Power Grip Primer affirmed our hypothesis that women were underserved despite being nearly 50% of big game viewers. The overwhelming success of the campaign by every metric fueled a return with a national presence this year versus the regional spot the year prior.

說到大觀眾，e.l.f. 2 月 11 日，我們將帶著我們的首個全國電視廣告回歸這場盛大的比賽。去年由 Jennifer Coolidge 和 Power Grip Primer 主演的廣告證實了我們的假設：儘管女性佔大型比賽觀眾的近 50%，但她們卻得不到充分的服務。從各個指標來看，該活動都取得了壓倒性的成功，推動了今年全國範圍內的回歸，而不是前一年的地區範圍。

Securing a national spot increases our household impressions by a factor of 3x. We believe this reach provides the best opportunity to springboard viral moment across a wide spectrum of platforms and increases our ability to boost brand impact. The entertaining spot features our Halo Glow liquid filter, the star of our best-selling franchise in 2023.

獲得全國一席之地可以將我們的家庭印象提高三倍。我們相信，這項影響力為在廣泛的平台上引發病毒式傳播提供了最佳機會，並增強了我們提升品牌影響力的能力。娛樂場以我們的 Halo Glow 液體過濾器為特色，它是我們 2023 年最暢銷系列的明星產品。

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Over the past 4 years, we've increased our marketing investment from 7% of net sales to 22%. Our marketing investment is working, driving ROI multiples above industry benchmarks and helping us reach new audiences. Since 2020, our unaided awareness in the U.S. has doubled from 13% to 26%. That 26% unaided awareness today compares to a leading U.S. mass cosmetics brand at 52%, illustrating significant runway for growth. Our results continue to fuel progress with national retailers. e.l.f. is the most productive cosmetics brand at our top 3 customers in the U.S., Target, Walmart and Ulta Beauty.

在過去 4 年裡，我們將行銷投資從佔淨銷售額的 7% 增加到 22%。我們的行銷投資正在發揮作用，將投資回報率提高到高於行業基準的倍數，並幫助我們吸引新的受眾。自 2020 年以來，美國的獨立意識翻了一番，從 13% 增加到 26%。如今，該品牌的獨立認知度為 26%，而美國領先的大眾化妝品品牌的認知度為 52%，這表明該品牌還有巨大的成長空間。我們的成果持續推動全國零售商的進步。 e.l.f.是美國三大客戶 Target、Walmart 和 Ulta Beauty 中生產力最高的化妝品品牌。

We're also the most productive brand at our top 2 customers in the U.K., Superdrug and Boots, giving us conviction that we can replicate our productivity model as we expand internationally. We continue to increase productivity even as we expand space. We're pleased to announce that we'll be expanding space for e.l.f. in spring 2024 with CVS and in summer 2024 with Walmart. In addition to the space gains, we previously announced with Shoppers Drug Mart in Canada and Boots in the U.K. We're also pleased to announce that we'll be expanding space for Naturium in spring 2024 with Shoppers Drug Mart, marking the brand's entry into Canada. In summary, as we enter our 20th year as a company, we continue to deliver exceptional results. What gives me confidence for the future is a significant white space we see in color cosmetics, skin care and international. We continue to believe we are still in the early innings of unlocking the full potential for our brands.

我們也是英國兩大客戶 Superdrug 和 Boots 中生產力最高的品牌，這讓我們堅信，在國際​​擴張過程中我們可以複製我們的生產力模式。即使我們擴大空間，我們也會繼續提高生產力。我們很高興地宣布，我們將擴大 e.l.f. 的空間。 2024 年春季與 CVS 合作，2024 年夏季與沃爾瑪合作。除了空間增加之外，我們之前還宣布與加拿大的 Shoppers Drug Mart 和英國的 Boots 合作。我們也很高興地宣布，我們將於 2024 年春季與 Shoppers Drug Mart 擴大 Naturium 的空間，標誌著該品牌進入加拿大。總而言之，隨著我們公司進入第 20 個年頭，我們將繼續取得卓越的業績。讓我對未來充滿信心的是，我們在彩妝、護膚品和國際市場上看到了巨大的空白。我們仍然相信，我們仍處於釋放品牌全部潛力的早期階段。

I'll now turn the call over to Mandy.

我現在將電話轉給曼迪。

Thank you, Tarang. I'm pleased to share the highlights of our third quarter results as well as our raised outlook for fiscal '24. Our third quarter results were outstanding. Q3 net sales grew 85% year-over-year, driven by broad-based strength across national and international retailers as well as digital commerce. Our net sales growth was led by higher unit volume, which contributed approximately 56 percentage points to growth with mix adding approximately 29 percentage points.

謝謝你，塔朗。我很高興與大家分享我們第三季業績的亮點以及我們上調的 24 財年展望。我們第三季的業績非常出色。在國內和國際零售商以及數位商務的廣泛實力推動下，第三季淨銷售額年增 85%。我們的淨銷售額成長是由單位銷售增加帶動的，單位銷售量為成長貢獻了約 56 個百分點，混合貢獻了約 29 個百分點。

Q3 digital consumption trends were up over 100% year-over-year. Digital channels drove 24% of our total consumption in Q3 as compared to 18% a year ago. The momentum we're seeing is supported by enhancements across our Loyalty Program and our App as well as digital and social platforms. Our Beauty Squad Loyalty Program now has over 4.5 million members with enrollment growing 30% year-over-year. Our Loyalty Members continue to be a key part of our digital ecosystem, driving almost 80% of our sales on elfcosmetics.com. We're seeing terrific engagement on our e.l.f. mobile app, which now boasts a 4.8-star rating and over 1.8 million downloads since launch. We're also enjoying strength across third-party digital and social platforms. We were amongst the fastest-growing beauty brands on Amazon in Q3 and we're the first major beauty brand that launched on TikTok shop.

第三季數位消費趨勢年增超過 100%。第三季度，數位通路占我們總消費量的 24%，去年同期為 18%。我們所看到的勢頭得到了我們的忠誠度計劃和應用程式以及數位和社交平台的增強的支持。我們的 Beauty Squad 忠誠度計劃目前擁有超過 450 萬名會員，註冊人數較去年同期成長 30%。我們的忠誠會員仍然是我們數位生態系統的關鍵組成部分，推動了 elfcosmetics.com 上近 80% 的銷售額。我們看到 e.l.f. 的參與度非常高。行動應用程序，自推出以來現已獲得 4.8 星評級，下載量超過 180 萬次。我們也享受第三方數位和社交平台的優勢。第三季度，我們是亞馬遜上成長最快的美容品牌之一，也是第一個在 TikTok 商店上推出的主要美容品牌。

Q3 gross margin of 71% was up approximately 350 basis points compared to prior year. We continue to see gross margin benefits from favorable FX rates, improved transportation costs, margin accretive mix and cost savings. On an adjusted basis, SG&A as a percentage of sales was 54% in Q3 compared to 47% last year. The increase was primarily due to higher marketing and digital spend. Marketing and digital investment for the quarter was 26% of net sales, up from 17% in Q3 last year. We continue to expect marketing and digital investment in the 22% to 24% range for full year fiscal '24.

第三季毛利率為 71%，比去年同期成長約 350 個基點。我們繼續看到毛利率受益於有利的匯率、運輸成本的改善、利潤增值組合和成本節約。調整後，第三季銷售、管理及行政費用佔銷售額的百分比為 54%，去年為 47%。這一增長主要是由於行銷和數位支出增加。本季的行銷和數位投資佔淨銷售額的 26%，高於去年第三季的 17%。我們繼續預計 24 財年全年行銷和數位投資將在 22% 至 24% 範圍內。

Q3 adjusted EBITDA was $59 million, up 61% versus last year. And adjusted EBITDA margin was approximately 22% of net sales. Adjusted net income was $43 million or $0.74 per diluted share compared to $27 million or $0.48 per diluted share a year ago.

第三季調整後 EBITDA 為 5,900 萬美元，比去年成長 61%。調整後的 EBITDA 利潤率約為淨銷售額的 22%。調整後淨利潤為 4,300 萬美元，即稀釋後每股收益 0.74 美元，而一年前為 2,700 萬美元，即稀釋後每股收益 0.48 美元。

Moving to the balance sheet and cash flow. Our balance sheet remains strong, and we believe positions us well to execute our long-term growth plans. We ended the quarter with approximately $72 million in cash on hand compared to a cash balance of $87 million a year ago. Our ending inventory balance was $205 million, in line with our expectations and up from $81 million a year ago. The difference is primarily a combination of 3 things. First, as we said last quarter, we continue to build back our inventory levels through fiscal '24 to support strong consumer demand. Second, approximately $28 million of the increase is the result of taking ownership of inventory from China when it ships versus when it enters our distribution center here in the U.S.

轉向資產負債表和現金流量。我們的資產負債表依然強勁，我們相信我們能夠很好地執行長期成長計劃。本季結束時，我們手頭現金約為 7,200 萬美元，而一年前的現金餘額為 8,700 萬美元。我們的期末庫存餘額為 2.05 億美元，符合我們的預期，高於一年前的 8,100 萬美元。差異主要是三件事的組合。首先，正如我們上季度所說，我們將在 24 財年繼續恢復庫存水平，以支持強勁的消費者需求。其次，大約 2800 萬美元的增長是由於在發貨時與進入我們在美國的配送中心時從中國取得庫存所有權的結果。

Lastly, our consolidated results include Naturium for the first time, which added approximately $25 million of inventory. We believe we have the appropriate levels of inventory across the business to service our customers and support the demand we're seeing. In early October, we closed the Naturium acquisition. It was funded largely using cash on hand and access to our existing credit facility, as well as approximately 600,000 shares of e.l.f. Beauty stock issued directly to founders and key management. Our liquidity position remains strong with relatively low leverage post the transaction. We ended the quarter with less than 1x leverage in terms of net debt to adjusted EBITDA.

最後，我們的綜合業績首次包括 Naturium，它增加了約 2500 萬美元的庫存。我們相信，我們整個企業擁有適當的庫存水準來服務我們的客戶並支持我們所看到的需求。十月初，我們完成了對 Naturium 的收購。它的資金主要來自手頭現金和我們現有的信貸額度，以及大約 600,000 股 e.l.f. 股票。美容股票直接發行給創辦人和主要管理層。我們的流動性狀況依然強勁，交易後槓桿率相對較低。本季末，我們的淨負債與調整後 EBITDA 的槓桿率低於 1 倍。

We expect our cash priorities for the year to remain on investing behind our growth initiatives and supporting strategic extensions. The initiatives we're focused on this year include continuing to invest in our people and infrastructure, our ERP transition to SAP as well as increased working capital and distribution capacity to support strong consumer demand.

我們預計今年的現金重點仍然是投資於我們的成長計劃和支援策略擴展。我們今年重點關注的舉措包括繼續投資於我們的人員和基礎設施、我們的 ERP 向 SAP 的過渡以及增加營運資金和分銷能力以支持強勁的消費者需求。

Now let's turn to our updated outlook for fiscal '24. For the full year, we expect net sales growth of approximately 69% to 71%, up from 55% to 57% previously. Adjusted EBITDA between $218 million to $220 million, up from $197 million to $200 million previously. Adjusted net income between $164 million to $166 million, up from $144 million to $146 million previously. And adjusted EPS of $2.84 to $2.87 per diluted share, up from $2.47 to $2.50 previously. We expect our fiscal '24 adjusted tax rate to be approximately 14% as compared to 17% to 18% previously. Lastly, we continue to expect a fully diluted average share count of approximately 58 million shares.

現在讓我們來看看我們對 24 財年的最新展望。我們預計全年淨銷售額將成長約 69% 至 71%，高於先前的 55% 至 57%。調整後的 EBITDA 在 2.18 億美元至 2.2 億美元之間，高於先前的 1.97 億美元至 2 億美元。調整後淨利潤在 1.64 億美元至 1.66 億美元之間，高於先前的 1.44 億美元至 1.46 億美元。調整後每股攤薄每股收益為 2.84 美元至 2.87 美元，高於先前的 2.47 美元至 2.50 美元。我們預計 24 財年調整後的稅率約為 14%，而之前為 17% 至 18%。最後，我們繼續預期完全稀釋後的平均股數約為 5,800 萬股。

Let me provide you with additional color on our planning assumptions as we close out fiscal '24. Starting with the top line. We believe we are well positioned to deliver another industry-leading year. Our raised outlook reflects the outperformance in Q3 we saw relative to our expectations as well as an improved outlook for the balance of the year. Our guidance implies approximately 48% to 53% net sales growth in Q4.

當我們結束 24 財年時，讓我為您提供有關我們計劃假設的更多資訊。從頂線開始。我們相信，我們有能力再創產業領先的一年。我們上調的前景反映了我們看到的第三季度的表現相對於我們的預期以及今年剩餘時間的前景有所改善。我們的指導意味著第四季度淨銷售額增長約 48% 至 53%。

Turning to gross margin. In fiscal '24, we expect our gross margin to be up approximately 280 basis points year-over-year, as compared to our expectation for up 225 basis points previously. The improved outlook is largely a result of our outperformance in Q3. In terms of the key puts and takes for the year, we continue to expect gross margin to benefit from lower transportation costs, favorable FX rates, margin accretive mix and cost savings, which are expected to more than offset costs related to retailer activity and space expansion.

轉向毛利率。在 24 財年，我們預計毛利率將年增約 280 個基點，而先前的預期為成長 225 個基點。前景的改善很大程度上歸功於我們第三季的出色表現。就今年的關鍵看跌期權和看跌期權而言，我們繼續預計毛利率將受益於較低的運輸成本、有利的匯率、利潤增值組合和成本節約，預計這將遠遠抵消與零售商活動和空間相關的成本擴張。

Turning to adjusted EBITDA. Our outlook implies adjusted EBITDA growth of approximately 87% to 88% versus prior year, up from 69% to 71% previously. We expect adjusted EBITDA margin leverage of approximately 200 basis points year-over-year, up from 190 basis points previously, supported by the combination of our strong net sales growth, gross margin expansion and leverage in our non-marketing SG&A expenses.

轉向調整後的 EBITDA。我們的展望意味著調整後 EBITDA 較上年增長約 87% 至 88%，高於先前的 69% 至 71%。我們預計調整後的 EBITDA 利潤率將年比將達到約 200 個基點，高於先前的 190 個基點，這得益於我們強勁的淨銷售成長、毛利率擴張以及非行銷 SG&A 費用槓桿的綜合作用。

Our flywheel approach of investing in marketing to drive top line while expanding adjusted EBITDA margins gives me confidence in our ability to continue to drive profitable growth.

我們透過投資行銷來推動營收，同時擴大調整後的 EBITDA 利潤率的飛輪方法讓我對我們繼續推動獲利成長的能力充滿信心。

In summary, our third quarter results underscore our ability to drive exceptional, consistent category-leading growth. We have a significant white space opportunity in front of us as we continue our vision of creating a different kind of beauty company, one that is purpose-led and results driven.

總之，我們第三季的業績強調了我們推動卓越、持續領先的成長的能力。隨著我們繼續實現創建不同類型的美容公司的願景，一家以目標為導向、以結果為導向的公司，我們面臨著巨大的空白機會。

With that, operator, you may open the call to questions.

這樣，接線員，您就可以開始提問。

(Operator Instructions) Our first question comes from Andrea Teixeira with JPMorgan.

（操作員說明）我們的第一個問題來自摩根大通的 Andrea Teixeira。

Obviously, congrats on these numbers again. I just wanted to kind of parse out like your base guidance between Naturium and the base business. Obviously, looking at your comparison, you gets tougher by around 300 basis points in the fourth quarter of last year. So I understand, even with the raise you decelerate a bit in the fourth quarter. So I just wanted to figure how much would be your expectation for organic and your expectation for Naturium?

顯然，再次祝賀這些數字。我只是想像您一樣解析 Naturium 和基本業務之間的基本指導。顯然，從你的比較來看，你在去年第四季變得更強硬了大約 300 個基點。所以我理解，即使加薪，你在第四季的速度也會有所放緩。所以我只是想知道您對有機食品和天然食品的期望是多少？

And then part of that as well, you did an amazing job separating and breaking down unit growth to mix. I wonder if you still have a lot of mix effects that you're planning given your skin care, given the innovation that is value accretive into the numbers. So how that factor going forward -- should we see some deceleration? Or do you see some accretion on that?

還有一部分，你在分離和分解單位增長以進行混合方面做得非常出色。我想知道您是否仍然計劃在皮膚護理方面考慮多種混合效果，考慮到數位增值的創新。那麼這個因素未來會如何發展——我們是否應該看到一些減速？或者你看到了一些增長嗎？

Andrea, good to hear from you. So I'll start with your first question. If we look at our raised guidance, we have not changed any of our outlook on Naturium. So we previously talked about Naturium contributing about $48 million for the year, and we expect that to be consistent. So our raised guidance really is reflective of the momentum that we continue to see behind e.l.f. Beauty overall. So really pleased with our ability to not only raise for Q3, pass through the Q3 beat, but also raise for Q4.

安德里亞，很高興收到你的來信。我將從你的第一個問題開始。如果我們看看我們提出的指引，我們並沒有改變對 Naturium 的任何看法。因此，我們之前談到 Naturium 今年貢獻了約 4800 萬美元，我們預計這一數字將保持一致。因此，我們提出的指導確實反映了我們繼續看到 e.l.f. 背後的勢頭。整體美觀。我們對我們不僅能夠為第三季籌集資金、透過第三季的節拍，而且還為第四季度籌集資金的能力感到非常高興。

Your question then is on mix impacts as we go forward. So yes, very pleased with how Q3 came together and very consistent really with what we've seen all year with volume being the main driver of our growth. But on the mix side, because we have not had any pricing this year that's impacting that. So it's purely mix, introducing innovation at higher price points has had a benefit to this year. And as we look forward and think about our future innovation, we could see some impact from that as well, especially as we think about gross margins, innovation mix has been one of the key drivers to that over time.

那麼你的問題就是我們前進時的混合影響。所以，是的，我們對第三季的表現非常滿意，並且與我們全年所看到的情況非常一致，銷售量是我們成長的主要驅動力。但在混合方面，因為我們今年沒有任何影響這一點的定價。因此，這純粹是混合，以更高的價格引入創新對今年有好處。當我們展望和思考未來的創新時，我們也可以看到一些影響，特別是當我們考慮毛利率時，隨著時間的推移，創新組合一直是關鍵驅動因素之一。

And if I can squeeze in terms of like how you're getting new shelf space, but it will be mostly into fiscal '25. So how can we look at that component within your guide? And how Nielsen, you gave us in the past some guide post within Nielsen as we look at compounded. How we should be thinking from now you exceeded that margin. How we should be thinking of track channels as we go forward?

如果我可以在如何獲得新的貨架空間方面進行壓縮，但這主要是在 25 財年。那麼我們如何看待您指南中的該元件呢？尼爾森，您過去為我們提供了尼爾森內部的一些指南，讓我們了解複合情況。從現在起我們應該如何思考你超出了這個限度。在我們前進的過程中，我們該如何思考軌道渠道？

So why don't I start with the Nielsen question. So last quarter we had talked about seeing track channels range from 20% growth up to 50% growth. And we said for Q3, it was going to be closer to that higher end of the range, which is what we saw as we exited Q3, closer to that 50% range. As we get into Q4, we do expect that we'll be closer towards the lower part of that range, closer to the 20% out of track channel, but I will remind you that track channel only represents about half of our business, that we are continuing to see great momentum in other parts of our business, and I'll just point you back to our guidance for Q4 -- really points to over 50% growth from a net sales standpoint. So we're feeling great about how the business is coming together, we believe, for the quarter.

那我為什麼不從尼爾森的問題開始呢？因此，上個季度我們曾討論過軌道通路的成長範圍從 20% 到 50%。我們說過，對於第三季度，它將更接近該範圍的高端，這就是我們退出第三季度時所看到的，更接近 50% 的範圍。當我們進入第四季度時，我們確實預計我們將更接近該範圍的下半部分，更接近 20% 的脫軌通道，但我會提醒您，軌道通道僅代表我們業務的大約一半，即我們繼續觀看到我們業務其他部分的強勁勢頭，我只想向您指出我們對第四季度的指導——從淨銷售額的角度來看，確實表明增長超過50%。因此，我們相信，我們對本季業務的整合情況感到非常滿意。

In terms of shelf space, we did talk about picking up space in Walmart that will impact fiscal '25, that's going to be summer of '25. The other gains that we spoke about in Shoppers and Boots and CVS, that's going to be part of fiscal '24. And yes, you'll see the larger benefit in fiscal '25 as you move forward, but we will have some pipeline, things like that here in the quarter.

就貨架空間而言，我們確實討論了在沃爾瑪購買空間的問題，這將影響 25 財年，即 25 年夏季。我們在 Shoppers、Boots 和 CVS 中談到的其他收益將成為 24 財年的一部分。是的，隨著您的前進，您將在 25 財年看到更大的收益，但我們將有一些管道，就像本季的那樣。

The next question comes from Ashley Helgans with Jefferies.

下一個問題來自 Jefferies 的 Ashley Helgans。

I just wanted to ask if you could just give us a little bit more color on the store penetration and average [credit score] you have at both CVS and Walmart after this next round of expansion. And then also if we could just -- one other question about tariffs. We're starting to get a lot of questions on tariffs as Trump were elected again. Can you just remind us of some of the mitigation efforts you have in place?

我只是想問一下，在下一輪擴張之後，您是否可以給我們更多有關 CVS 和沃爾瑪的商店滲透率和平均[信用評分]的信息。然後，如果我們可以的話，還有一個關於關稅的問題。隨著川普再次當選，我們開始收到許多有關關稅的問題。您能否提醒我們您採取的一些緩解措施？

So Ashley, in terms of our penetration, we're really pleased with the space we're going to pick up at Walmart. It's one of our single biggest opportunities from a space standpoint. The average shelf set at Walmart right now is about 8 feet, that compares to about 13 feet at Target, 12 feet at Ulta Beauty. And Walmart really has bigger sets than both those customers. So we don't disclose a specific amount of space other than they are leaning in on e.l.f. I think we're the only brand they're making a pretty major move on space with, and we're looking forward to that in the summer. As Mandy said, [sales] really impact us in fiscal '25.

因此，阿什利，就我們的滲透率而言，我們對將在沃爾瑪獲得的空間感到非常滿意。從空間角度來看，這是我們最大的機會之一。目前沃爾瑪的平均貨架長度約為 8 英尺，而 Target 約為 13 英尺，Ulta Beauty 為 12 英尺。沃爾瑪確實擁有比這兩位顧客更大的商品。因此，除了他們傾向於 e.l.f 之外，我們不會透露具體的空間量。我認為我們是他們在太空領域做出重大舉措的唯一品牌，我們期待著夏天的到來。正如 Mandy 所說，[銷售] 確實對我們 25 財年產生了影響。

The other thing I would say is we had a pretty consistent track record of picking up space year after year, but the biggest driver of our business is our productivity, our ability to grow dollars per linear foot of space year after year regardless of whether we've picked up space or not. So we're pretty confident in terms of how that profile continues to shape up with space being kind of the cherry on top, but really pleased not only with Walmart, but CVS continue to make major moves in terms of space, a continuation of what they started over a year ago. And so, and we definitely, in Drug have a lot more room to grow our space. So we feel really good about that in addition to the Shoppers and Boots.

我要說的另一件事是，我們在年復一年地擴大空間方面有著相當一致的記錄，但我們業務的最大驅動力是我們的生產力，我們有能力年復一年地增加每線性英尺空間的美元，無論我們是否是否佔據了空間。因此，我們對這種形像如何繼續發展充滿信心，空間是最重要的，但不僅對沃爾瑪感到滿意，而且 CVS 繼續在空間方面採取重大舉措，這是他們一年多前就開始了。因此，我們在毒品方面肯定有更多的空間來發展我們的空間。因此，除了購物鞋和靴子之外，我們對此也感覺非常好。

And then your question on tariffs, Ashley, since 2019, we've been dealing with tariffs that was put on our products, majority of our products at the 25% level. And so if we were to think of additional tariffs being layered on, we have reserved pricing for macro issues such as tariffs. We did again in 2022 in response to the inflationary environment. So we know that that's a lever that we could pull if we were subject to additional tariffs, but something that we're keeping an eye on and certainly something that we're very mindful of, especially pulling that pricing lever just given the cost consciousness of the consumer right now.

然後是關於關稅的問題，Ashley，自 2019 年以來，我們一直在處理對我們的產品徵收的關稅，我們的大多數產品都處於 25% 的水平。因此，如果我們考慮徵收額外關稅，我們將為關稅等宏觀問題保留定價。為了應對通膨環境，我們在 2022 年再次這樣做了。因此，我們知道，如果我們受到額外關稅，我們可以拉動這一槓桿，但我們正在密切關注，當然我們也非常注意這一點，特別是考慮到成本意識，就拉動定價槓桿現在的消費者。

And we do have pricing power. I think one of the things many of our competitors took pricing over the last few months, we chose not to take pricing to that point of keeping a superior value equation and also keeping in our back pocket if we won't needed to take pricing for any external factors. So we feel good in terms of how we're situated and our ability to continue to navigate a dynamic environment.

我們確實有定價權。我認為我們的許多競爭對手在過去幾個月中進行定價的一件事是，我們選擇不進行定價，以保持卓越的價值方程式，並且如果我們不需要為某些產品定價，也可以保留在我們的後袋中。任何外部因素。因此，我們對自己所處的位置以及繼續駕馭動態環境的能力感覺良好。

The only other thing I would add is we have a pretty big initiative on supplier diversification. So while most of our footprint today is in China, we have started up additional operations in Thailand and Western Europe, and we'll continue on that journey. For the foreseeable [future], a lot will come out of China, but also with the addition of Naturium, which is 100% manufactured in the U.S., we feel good about how our supply chain is evolving in the future and being more diversified.

我唯一要補充的是，我們在供應商多元化方面有一個相當大的舉措。因此，雖然我們今天的大部分足跡都在中國，但我們已經在泰國和西歐啟動了更多業務，我們將繼續這趟旅程。在可預見的[未來]，許多產品將來自中國，隨著 100% 在美國製造的 Naturium 的加入，我們對我們的供應鏈未來如何發展並更加多元化感到滿意。

The next question comes from Olivia Tong with Raymond James.

下一個問題來自 Olivia Tong 和 Raymond James。

Wanted to ask you about the new shop space, CVS, Walmart. Can you talk about what the assortment looks like? Is it more (inaudible) hero products? Or are you getting traction in some of the new areas like lip, eyes and skin?

想向您詢問有關新店面、CVS、沃爾瑪的資訊。可以談談這個品種是什麼樣的嗎？是更多（聽不清楚）的英雄產品嗎？或者您在嘴唇、眼睛和皮膚等一些新領域受到關注？

Sure. So for context, Olivia, historically at CVS, we were in a 3-foot (inaudible) NCAP. It allowed for very little amounts of assortment in those sets. CVS is moving to 6 and 10-foot sets in line as they expand space. So it gives us a lot more room to get more of our assortment. And certainly, all of our Holy Grails, many of our new items, each of our core items. Similarly, Walmart, while they're at 8 feet, they have significantly more capacity to take more of our innovation, more skin care in many of our other items. So we feel really good about what that's going to enable similar to what we saw with both Target and Ulta as the expanded assortment. Those are probably pretty good guides in terms of the space and we were able to pick up.

當然。因此，就背景而言，Olivia，歷史上在 CVS，我們處於 3 英尺（聽不清楚）NCAP 中。它允許這些集合中的分類數量非常少。隨著空間的擴大，CVS 正在轉向 6 英尺和 10 英尺的隊列。因此，它為我們提供了更多的空間來獲得更多的品種。當然，還有我們所有的聖杯，我們的許多新項目，我們的每一個核心項目。同樣，沃爾瑪雖然只有 8 英尺，但他們有更多的能力來吸收我們的更多創新，在我們的許多其他產品中提供更多的皮膚護理。因此，我們對這將帶來的效果感到非常滿意，就像我們在 Target 和 Ulta 中看到的擴展品種一樣。就空間而言，這些可能是非常好的指南，我們能夠接受。

Got it. And then how should we be thinking about volume versus price mix in the next 12 months? Obviously, you've seen very strong benefit from volume and price mix, but more from volume and that obviously now creates tougher comps. The price mix is starting to, or the mix is picking up with Naturium sort of super driving that. So just kind of curious how you think about the contribution from those 2 pieces. And then just if I could sneak one other one in, just around advertising, spending from here now that you're at 24% of sales. Thanks for confirming that you're planning a Super Bowl ad again this year. As you think about sort of getting the best ROI as you continue to increase your spend, we also saw that [next 2] planning is to roll out as well. So competition is clearly trying to kind of catch up to you and run your playbook as well. So can you talk about some of the actions you're taking to just continue to stay ahead of your peers and keep that ROI as high as you have?

知道了。那我們該如何考慮未來 12 個月的銷售與價格組合呢？顯然，您已經從數量和價格組合中看到了非常大的好處，但更多的是來自數量，這顯然現在創造了更艱難的競爭。價格組合開始變化，或者說價格組合正在回升，其中天然元素起到了超級推動作用。所以只是有點好奇你如何看待這兩件作品的貢獻。然後，如果我能偷偷地加入另一項，就在廣告周圍，從這裡開始支出，因為現在你佔銷售額的 24%。感謝您確認今年再次計劃製作超級盃廣告。當您考慮在繼續增加支出的同時獲得最佳投資回報率時，我們也看到 [下 2] 計劃也即將推出。因此，競爭顯然是在試圖追上你並運行你的劇本。那麼您能否談談您正在採取的一些行動，以繼續保持領先於同行並保持較高的投資回報率？

Olivia, I'll take the question on volume versus price mix. Again we're very pleased that the majority of our growth has been driven by volume. I think that speaks to the health of the brand. I think that speaks to the engagement that we have with our community and something that we certainly expect to see on the road ahead. To what level price mix plays into it? We'll have to see as we go through. But we feel pretty confident that volume will continue to lead our growth as we go forward.

奧利維亞，我將回答有關數量與價格組合的問題。我們再次感到非常高興的是，我們的大部分成長都是由銷量推動的。我認為這說明了該品牌的健康狀況。我認為這說明了我們與社區的互動以及我們當然希望在未來的道路上看到的東西。價格組合在多大程度上發揮作用？我們必須邊走邊看。但我們非常有信心，隨著我們的前進，銷售量將繼續引領我們的成長。

And then on your question on advertising, we feel great about the 24% that we're guiding this year. And that's really based on the tremendous ROIs we're seeing on our marketing investment in terms of gross sales per dollar invested. I've been in the consumer space for over 30 years. It's the first brand I am seeing where you take up your marketing levels and actually get better ROIs. So we feel really good about what we continue to see from a marketing ROI standpoint, even as we take our levels up.

關於你關於廣告的問題，我們對今年指導的 24% 感到滿意。這實際上是基於我們在行銷投資中看到的巨大投資回報率（以每美元投資的總銷售額計算）。我在消費領域已經工作了 30 多年。這是我看到的第一個提高行銷水平並真正獲得更好投資回報率的品牌。因此，即使我們提高了水平，從行銷投資回報率的角度來看，我們仍然對繼續看到的結果感到非常滿意。

And then in terms of competition and competition catching up, I think what you'll see is us continue to innovate, continue to be leaders and trailblazers on different platforms. We talked this time in terms of taking the strength we have in Gen Z, we have been picking up by opening up that aperture more millennials, more Gen X. You heard about our efforts this last quarter with the Latinx community where we already are overdeveloped with the partnership we did with Manuel Turizo in terms of the engagement that created.

然後就競爭和追趕而言，我認為你會看到我們不斷創新，並繼續成為不同平台上的領導者和開拓者。這次我們談到了利用我們在Z 世代中所擁有的力量，我們一直在通過向更多千禧一代、更多X 一代開放這個光圈來拾取。你聽說過我們上個季度與拉丁裔社區所所做的努力，我們已經過度發展了我們與曼努埃爾·圖里佐 (Manuel Turizo) 建立的合作關係體現了我們所創造的參與。

Even with GenAlpha, you see us our branded experience on Roblox was the #1 branded experience on Roblox, 96% rating, I think, over 5 million plays so far. So I think competition can try to catch up, but we feel really great about our unique ability to entertain and engage our community and you're going to continue to see that. Including staying tuned for February 11, and what we have in store on the Super Bowl this year, where we're actually doing the national buy versus the regional buy we had last year, triples our reach. And I think just in even the teasers we've done starting last week, we were already up to, I think, 11 billion impressions on those teasers and we haven't even started the activation yet.

即使有了 GenAlpha，我們在 Roblox 上的品牌體驗也是 Roblox 上排名第一的品牌體驗，我認為評級為 96%，到目前為止播放次數已超過 500 萬次。所以我認為競爭可以試圖迎頭趕上，但我們對我們娛樂和參與社區的獨特能力感到非常高興，你將繼續看到這一點。包括敬請期待 2 月 11 日，以及我們今年超級盃的計劃，我們實際上進行的是全國性購買，與去年的地區性購買相比，我們的覆蓋範圍擴大了三倍。我認為即使是我們從上週開始製作的預告片中，我認為這些預告片的展示次數也已經達到了 110 億次，而且我們甚至還沒有開始啟動。

The next question comes from Linda Bolton-Weiser with D.A. Davidson.

下一個問題來自 Linda Bolton-Weiser 和 D.A.戴維森。

Yes. I was just curious with your expansion activities in Europe. Are you shipping from Asia to Europe to fulfill those orders? And if so, are you experiencing any issues with shipping through the Suez Canal area? Are you seeing any spikes in freight rates that are affecting your costs?

是的。我只是對你們在歐洲的擴張活動感到好奇。您是否從亞洲運送到歐洲來履行這些訂單？如果是這樣，您在通過蘇伊士運河地區運輸時是否遇到任何問題？您是否發現運費飆升影響您的成本？

Linda. So we do ship from China to Europe for our European business. We use a combination of both shipping as well as rail over Asia, and we found the rail to be a good solution for us. The shipping situation, we're keeping our eyes on it has minimal impact in this fiscal year. We're keeping an eye for the future, as we've seen some rates temporarily go up. We think that it's a temporary thing, but we'll keep our eye on it. And right now, not much of an impact.

琳達。因此，我們確實從中國向歐洲運送我們的歐洲業務。我們在亞洲結合使用航運和鐵路，我們發現鐵路對我們來說是一個很好的解決方案。我們正在密切關注運輸情況，它對本財年的影響微乎其微。我們正在密切關注未來，因為我們已經看到一些利率暫時上漲。我們認為這是暫時的，但我們會密切關注。而目前來看，影響並不大。

And can I just ask also -- just for Naturium, it was interesting what you said about expanding that brand already into another retailer. I thought my understanding was that you were going to take some time to kind of strategize and figure out how to go about it. Or have you changed with regard to your plan for the pace of expansion of that brand as you've gotten to know it better?

我還可以問一下嗎——就 Naturium 而言，您所說的關於將該品牌擴展到另一家零售商的說法很有趣。我以為我的理解是你需要花一些時間來製定策略並弄清楚如何做。或者，隨著您對該品牌的了解更加深入，您是否改變了對該品牌的擴張步伐的計劃？

I would say our plans are relatively consistent. So Naturium was already in discussions with Shopper Drug Mart. We knew about that when we made the acquisition. We're actually quite excited about that, the first entry into Canada for that brand. When we bought the brand, we thought there were 3 areas where we could really give help to Naturium. It's a team that's doing extremely well. That entire team came on board. They've been on as part of the e.l.f. umbrella now for 3 months. They continue to run the business extremely well. The 3 areas where we could add value is, number one, to the team to help enhance and expand the team for the types of things they need, whether it be regulatory, quality, manufacturing, there's a lot of capabilities we have in a number of these different areas.

我想說我們的計劃是相對一致的。因此，Naturium 已經與 Shopper Drug Mart 進行了討論。我們在進行收購時就知道了這一點。事實上，我們對此感到非常興奮，這是該品牌首次進入加拿大。當我們購買該品牌時，我們認為我們可以在 3 個領域中真正為 Naturium 提供幫助。這是一支表現非常出色的團隊。整個團隊都加入了。他們一直是 e.l.f. 的一部分。現在傘已經用了3個月了。他們繼續將業務經營得非常好。我們可以增加價值的三個領域是，第一，對團隊來說，幫助增強和擴展團隊，滿足他們所需的類型，無論是監管、品質、製造，我們在許多方面都擁有很多能力。這些不同的領域。

The second is to continue to enhance their marketing model. They have an incredibly effective engagement model with consumers, our ability to bring even more to that. And the third, in distribution. The distribution ability really came to play with Shoppers Drug Mart. We already have a very good business there. So our ability to help them navigate through Shoppers to make sure that we're getting both the best terms as well as the best levels of support. So I'd say it's more consistent than not. We're extremely pleased with our first few months of Naturium, continues to be a very strong growing brand with a great deal of potential.

二是繼續提升行銷模式。他們與消費者建立了非常有效的互動模式，而我們有能力為此帶來更多。第三，在分銷方面。 Shoppers Drug Mart 的分銷能力確實發揮了作用。我們在那裡已經有了很好的生意。因此，我們有能力幫助他們瀏覽購物者，以確保我們獲得最好的條款和最好的支援水平。所以我想說它比不一致更一致。我們對 Naturium 的前幾個月感到非常滿意，它仍然是一個非常強大的成長品牌，具有巨大的潛力。

Next question comes from Bill Chappell with Truist Securities.

下一個問題來自 Truist Securities 的 Bill Chappell。

Maybe just help us understand the outperformance in the quarter. And I understand you have a solid track record of conservative expectations or forecasts. But I mean, this seems to be outstanding in terms of the beat and all across the board. So what drove, or was there any, a couple of factors that drove the upside? Especially as I think we were all looking at kind of tougher comps as we entered December, but you seem to kind of surpass that and keep on moving even as we see this candidature today. So what -- has anything changed? Anything stepped up? Was there something different? Or were you just really conservative on your guidance?

也許只是幫助我們了解本季的優異表現。據我所知，您在保守預期或預測方面有著良好的記錄。但我的意思是，這似乎在節拍和全面方面都很出色。那麼是什麼推動了上漲，或者是否有任何因素推動了上漲？特別是當我們進入 12 月時，我認為我們都在考慮更艱難的競爭，但你似乎超越了這一點，並繼續前進，即使我們今天看到這個候選人。那又怎樣──有什麼改變嗎？有什麼加強的嗎？有什麼不同嗎？或者你只是對你的指導非常保守？

Well, I would say, Bill, when we talk about exceptional consistent category-leading growth, that's exactly what we've seen for us for 20 quarters in a row. We cite the stat if we're 1 of only 5 public consumer companies that are 274 that have grown 20 consecutive quarters at over 20%. So I think it's more consistent than not.

好吧，我想說，比爾，當我們談論持續領先的行業成長時，這正是我們連續 20 個季度所看到的。如果我們是 274 家連續 20 個季度成長率超過 20% 的 5 家上市消費公司之一，那麼我們就是其中之一。所以我認為它比不一致更一致。

In terms of the quarter, the quarter did come in better than we were expecting, and it really is all 3 of our key drivers concept. If I look at our value equation, our powerhouse innovation and our marketing engine, we continue to see great strength and great fundamentals in each of them. During the period -- also during the holiday period, we had a number of our latest Holy Grail launches do exceptionally well. We talked about our lip oils that we launched. This was an idea that really came from our community. They saw a prestige item that they really liked at $40. And it's basically like e.l.f. we love that, but we can't afford $40. So we developed ours with our own e.l.f. Twist, our lip oils, hydrate better, have a better (inaudible) in terms of applications. Formulations are incredible. And right when we launched them, we saw them take off fire right away with consumers making the direct comparison of it's actually better than the prestige product.

就本季而言，本季的表現確實比我們預期的要好，這確實是我們的所有 3 個關鍵驅動因素概念。如果我審視我們的價值方程式、強大的創新和行銷引擎，我們會繼續看到它們各自的強大實力和基礎。在此期間，也是在假期期間，我們推出的一些最新的 Holy Grail 表現異常出色。我們談論了我們推出的唇油。這是一個真正來自我們社區的想法。他們看到了一件他們非常喜歡的高檔商品，價格為 40 美元。它基本上就像 e.l.f.我們喜歡這個，但我們買不起 40 美元。所以我們用我們自己的 e.l.f 開發了我們的。 Twist，我們的唇油，保濕效果更好，在應用方面有更好的（聽不清楚）。配方令人難以置信。當我們推出它們時，我們看到它們立即受到消費者的歡迎，直接比較它實際上比高端產品更好。

We've seen similar results as we think about our Camo Liquid Blush at $7 versus a prestige item at $23. So we continue to build upon these growing franchises, that along with our increased marketing levels and what we're able to do from a value creation standpoint, I think, is continuing to propel our business.

當我們考慮 7 美元的迷彩液體腮紅和 23 美元的高級產品時，我們看到了類似的結果。因此，我們繼續以這些不斷增長的特許經營權為基礎，隨著我們行銷水平的提高以及我們從價值創造的角度能夠做的事情，我認為，將繼續推動我們的業務。

But as Mandy said, we do expect Nielsen to be in that lower range, but we still feel really good, even with Nielsen comping very strong numbers. For example, this time last year, I think our target business was up over 100%. And we still continue to see really strong numbers on top of those strong numbers. We feel really good about the 53% growth that's implied in Q4, even though we're comping a quarter that's closer to 80%.

但正如曼迪所說，我們確實預計尼爾森會處於較低的範圍內，但我們仍然感覺很好，即使尼爾森的數據非常強勁。例如，去年的這個時候，我認為我們的目標業務成長了100%以上。我們仍然繼續看到在這些強勁數字之上的真正強勁數字。我們對第四季度隱含的 53% 的成長感到非常滿意，儘管我們比較的季度接近 80%。

That's fantastic. And then just sneaking one in e.l.f. Skincare. I mean I know we're talking about Naturium doing well, but I think you had planned on bringing some of cross-pollinating Natrium and e.l.f. Skincare in terms of their skill-specific abilities? And any update there and just kind of how e.l.f. Skincare is doing?

這太妙了。然後就偷偷地在 e.l.f. 裡偷了一個。皮膚護理。我的意思是，我知道我們正在談論 Naturium 表現良好，但我認為您已計劃將一些異花授粉的 Natrium 和 e.l.f. 帶來。保養品的具體技能？以及那裡的任何更新以及 e.l.f. 的方式。保養品是做什麼的？

Yes. So e.l.f. Skin is doing exceptionally well. We talked during the call in tracked channels, e.l.f. Skincare was up 89% versus a category that was up 9%. So we continue to see great momentum on e.l.f. Skin. Recall, it was a couple of years ago that we really dedicated that as its own brand with its own level of focus. And we're seeing great things both from an innovation pipeline as well as kind of our awareness build. So you feel really good. I mean, I think just in the last year, we increased 6 ranked positions in skincare from #20 to #14, and we have aspirations over time to be a top 10 brand in skincare, and I feel really good about both the momentum and the plans we have against it.

是的。所以 e.l.f.皮膚狀況非常好。我們在通話期間透過追蹤頻道 e.l.f. 進行了交談。保養品類成長了 89%，而其他類別則成長了 9%。因此，我們繼續看到 e.l.f 的強勁勢頭。皮膚。回想一下，幾年前我們才真正將其作為自己的品牌，並具有自己的關注水平。我們從創新管道以及我們的意識建設中看到了偉大的事情。所以你感覺真的很好。我的意思是，我認為就在去年，我們在護膚品領域的排名從第20 名上升了6 位至第14 名，隨著時間的推移，我們希望成為護膚品領域的前10 名品牌，我對這種勢頭和發展勢頭感到非常滿意。我們反對它的計劃。

Next question comes from Dara Mohsenian with Morgan Stanley.

下一個問題來自摩根士丹利的 Dara Mohsenian。

So obviously, incredibly strong growth in the quarter again. Tarang, maybe can you just give us a brief review on, as you think about the long-term market share opportunity. Where do you see the opportunity dimensionalizing it out 3 to 5 years? How does the recent growth and market share expansion you've seen maybe change that view? And just how would you think about it conceptually as we think through where the business could be longer term?

顯然，本季再次出現令人難以置信的強勁成長。 Tarang，當您考慮長期市場份額機會時，也許您可以為我們做一個簡短的回顧。您認為 3 到 5 年後的機會在哪裡？您所看到的最近的成長和市場佔有率的擴張可能會如何改變這種觀點？當我們思考業務的長期發展方向時，您會如何從概念上思考它？

Thanks, Dara. I feel incredibly well about our ability to continue to gain market share. I feel great about the 305 basis points of market share we grew in this past quarter. And really, if I think about the longer-term view, it was just a few years ago that we're a 4.5% share in color cosmetics. We're now a 10% share nationally. We've often cited target as kind of the beacon. We're #1 at target. We've doubled our market share there over just the last few years, and we're almost a 19% share. So our sites are set on clear market leadership over time as I look at the longer track record within color cosmetics. And I feel we're making great progress there.

謝謝，達拉。我對我們繼續獲得市場份額的能力感到非常滿意。我對上個季度我們的市佔率成長了 305 個基點感到非常高興。事實上，如果我從長遠來看，就在幾年前，我們在彩妝領域的份額還只有 4.5%。我們現在在全國的份額是10%。我們經常將目標視為燈塔。我們的目標是第一。僅僅在過去的幾年裡，我們在那裡的市佔率就翻了一番，接近 19%。因此，隨著時間的推移，當我觀察彩妝產業的長期記錄時，我們的網站已經確立了明確的市場領導地位。我覺得我們正在那裡取得巨大進展。

You can see in our current share momentum but particularly as you get more space at Walmart in Drug as we continue to expand, we feel there's a tremendous opportunity to do what we've done in Target. And I think we're making great progress there.

你可以看到我們目前的份額勢頭，但特別是隨著我們繼續擴張，你在沃爾瑪藥品領域獲得了更多空間，我們覺得有巨大的機會去做我們在塔吉特所做的事情。我認為我們正在這方面取得巨大進展。

Skincare perhaps is even a bigger opportunity. If I take a look at all the growth we had in Skincare, the 89% I just talked about in terms of tracked channels e.l.f. SKIN growing, we're still only a 1.4% share in Skincare on e.l.f. SKIN compared to a market leader that's 14 shares. So even more head space on Skincare. And now we've got 2 incredible assets to be able to drive that aspiration with both e.l.f. SKIN and Naturium. So feel really good there.

護膚或許是一個更大的機會。如果我看一下我們在護膚品領域的所有成長，我剛才談到的追蹤管道 e.l.f. 成長了 89%。 SKIN 不斷成長，我們在 e.l.f 上的護膚品市佔率仍只有 1.4%。 SKIN 與市場領導者相比為 14 股。因此，在護膚品上有更多的空間。現在，我們擁有兩個令人難以置信的資產，能夠透過 e.l.f. 來推動這一願望。皮膚和鈉。所以在那裡感覺真的很好。

And then the last area, upside to kind of market share. We often cite as the U.S. Nielsen market share. We are also making great progress in the international markets we're in. If I look at our rank improvement in Canada and the U.K. just in the last couple of years, it's pretty phenomenal. And with increased space at both Shoppers -- I mean Super Drug and Boots, Super Drug in this past year and Boots coming up, I feel even more confident with what we're doing there with our international team in the U.K. and a stat we cited in our call was we just entered Douglas Italy about a quarter ago. And we're already the #1 brand, not only on the mass side, but also across prestige #1 overall. So it really tells me that this model can replicate not only in the U.S. but the amount of growth we have international.

最後一個領域是市場佔有率的上升。我們經常引用美國尼爾森市場份額。我們在國際市場上也取得了巨大進步。如果我看看過去幾年我們在加拿大和英國的排名提升，那是相當驚人的。隨著Shoppers 的空間增加——我指的是Super Drug 和Boots，去年的Super Drug 和Boots 即將推出，我對我們在英國的國際團隊所做的事情以及我們的統計數據更加充滿信心。我們的電話中提到，我們大約在四分之一前剛進入道格拉斯義大利。我們已經是第一品牌，不僅在大眾方面，而且在整體聲譽方面也是第一。所以它確實告訴我，這種模式不僅可以在美國複製，而且可以在國際上複製。

The next question comes from Peter Grom with UBS.

下一個問題來自瑞銀集團的彼得‧葛羅姆。

So I wanted to ask a couple of questions on margins. Maybe first, just on the fourth quarter, I apologize if I missed this, but the implied EBITDA margin of 4Q and kind of earnings as well, does embed a bit of a step down. Can you maybe just outline the drivers of that? The year-to-date performance and gross margin and marketing guidance would suggest it's not really either of those buckets. So just maybe help us understand the puts and takes from a margin and earnings perspective, specifically for the fourth quarter? And then just bigger picture, the gross margin performance has been impressive. The guidance implies north of 70% this year. Can you maybe just help us frame the opportunity from here? Is there room for further expansion? Is more of the EBITDA level is really going to come from OpEx?

所以我想問幾個關於利潤的問題。也許首先，就在第四季度，如果我錯過了這一點，我深表歉意，但第四季度隱含的 EBITDA 利潤率和某種收益確實嵌入了一點下降。能否概述一下其驅動因素？今年迄今為止的業績、毛利率和行銷指導表明，它實際上並不是這兩個類別中的任何一個。那麼也許可以幫助我們從利潤和收益的角度理解看跌期權和賣出期權，特別是第四季度的看跌期權和賣出期權？從更大的角度來看，毛利率表現令人印象深刻。該指導意味著今年將超過 70%。您能否幫助我們從這裡建立機會？還有進一步拓展的空間嗎？更多的 EBITDA 水準真的會來自營運支出嗎？

Peter. So yes, overall, I'm very pleased with the margin progression that we've made over this year. Our outlook implies a 200 basis points expansion in EBITDA margin for this year. Our gross margins have also been very strong for this year. Our outlook is implying over 200 basis point -- 280 basis points is what's implied from a guidance standpoint on the gross margin line. So the quarters can ebb and flow.

彼得.所以，是的，總的來說，我對今年我們取得的利潤率進展感到非常滿意。我們的預期意味著今年 EBITDA 利潤率將擴大 200 個基點。今年我們的毛利率也非常強勁。我們的前景暗示超過 200 個基點——280 個基點是從毛利率指導的角度來看。因此，季度可能會潮起潮落。

In terms of the spin that you'll see in each quarter, we are stepping up our marketing spend in Q4. So, we are targeting that higher end of the range of 24% for the year. In the first half of the year, we were closer to an 18% level. And so you'll see marketing ramped up even from the 26% that we delivered in Q3. You'll see that step up even higher into Q4. So that will have an impact overall on our spend, and we continue to invest in our people and infrastructure. You'll see that in our non-marketing SG&A as well. But in terms of the split on the quarters, nothing really to call out other than we are going to be stepping up our marketing for Q4.

就每個季度您將看到的旋轉而言，我們將在第四季度加大行銷支出。因此，我們今年的目標是 24% 的上限。今年上半年，我們接近18%的水準。因此，您會看到行銷活動甚至比我們第三季交付的 26% 有所成長。進入第四季度，您會看到這一數字甚至更高。因此，這將對我們的支出產生整體影響，我們將繼續投資於我們的人員和基礎設施。您也會在我們的非行銷 SG&A 中看到這一點。但就季度劃分而言，除了我們將加強第四季度的營銷之外，沒有什麼真正值得指出的。

The next question comes from Susan Anderson with Canaccord Genuity.

下一個問題來自 Canaccord Genuity 的 Susan Anderson。

Nice job on the quarter. I guess just really quick to follow up on that margin question. So I guess on the gross margin front for the fourth quarter, it looks like the full year guide, maybe it just implies slightly up for the fourth quarter, so a little bit below what you guys did in the first 3 quarters. So just curious the driver of that lower gross margin there. And then also on Naturium, it sounds like it's performing well and in line with your expectations. I'm curious if there's been, I know it's early, but any learnings so far that you've taken from the brand that you think is applicable to e.l.f. SKIN?

本季工作做得很好。我想很快就會跟進這個保證金問題。因此，我想在第四季度的毛利率方面，它看起來像全年指南，也許它只是意味著第四季度略有上升，所以略低於你們前三個季度的表現。所以只是好奇毛利率較低的驅動因素。然後在 Naturium 上，聽起來它表現良好並且符合您的期望。我很好奇是否有過，我知道現在還為時過早，但是到目前為止，您從該品牌中獲得的任何您認為適用於 e.l.f. 的經驗教訓。皮膚？

So to unpack margin a little bit for Q3 and Q4. So Q3, we had the benefits we called out foreign exchange, transportation, cost savings mix, all of those continue on into Q4. The main difference is, though, in Q4, Q4 last year, we started to see the transportation savings impact that. So if I look at Q3 last year, we were about a 67% margin, Q4 last year we were 69%. So it's already a 200 basis point step-up into Q4. Also, I would say on Q4 historically, again, last year was an outlier, but historically we do see a step down seasonally in our gross margins for Q4 as we're exiting certain products off the shelf, getting our new product on to shelf. So that also is impacting. But I feel great about the gross margin that we're outlooking that's implied in our outlook for Q4, roughly around 69%, which is really strong and again, looking at ending the year with 280 basis points of margin expansion.

因此，為第三季和第四季釋放一點利潤。因此，第三季度，我們獲得了外匯、運輸、成本節約組合帶來的好處，所有這些都將持續到第四季度。不過，主要的差異是，在去年第四季度，我們開始看到交通節省的影響。因此，如果我看看去年第三季度，我們的利潤率約為 67%，去年第四季我們的利潤率為 69%。因此，進入第四季已經上漲了 200 個基點。另外，我想說，從歷史上看，去年是一個異常值，但從歷史上看，我們確實看到第四季度的毛利率季節性下降，因為我們正在退出某些產品的貨架，讓我們的新產品上架。所以這也有影響。但我對第四季展望中隱含的毛利率感到滿意，大約為 69% 左右，這確實很強勁，預計年底利潤率將擴大 280 個基點。

And then in terms of learnings from Naturium, I'd say there's probably 2 main ones. One is reinforcement of just how great a team came along with Naturium and how well they fit the e.l.f. culture and integrate in so far that integration has gone extremely well in terms of being able to help them realize the growth potential behind Naturium and also bring learnings into the company.

然後就從 Naturium 學到的東西而言，我想說可能有兩個主要的。一是強化了 Naturium 團隊的出色表現以及他們與 e.l.f. 的契合程度。到目前為止，整合進展非常順利，能夠幫助他們實現 Naturium 背後的成長潛力，並將學習成果帶入公司。

I think the second thing is we picked up over 35 people on Naturium, including Co-Founder, Susan Yara. And so I think the learning for us on e.l.f. SKIN is we started this journey a couple of years ago. How do we get even more dedicated resource and e.l.f. SKIN to fully realize the potential there. That fits within our existing people plan in terms of what we hire every year, additional people. And so I think that's probably the biggest learning back on the e.l.f. SKIN side is getting that level of dedication and expertise on e.l.f. SKIN.

我認為第二件事是我們在 Naturium 上招募了超過 35 名人員，其中包括聯合創始人 Susan Yara。所以我認為我們在 e.l.f. 上的學習皮膚是我們幾年前開始的這段旅程。我們如何獲得更多專用資源和 e.l.f. SKIN充分發揮那裡的潛力。就我們每年僱用的額外人員而言，這符合我們現有的人員計畫。所以我認為這可能是 e.l.f. 最大的收穫。 SKIN 方面在 e.l.f. 方面投入瞭如此多的奉獻精神和專業知識。皮膚。

The next question comes from Anna Lizzul with Bank of America.

下一個問題來自美國銀行的 Anna Lizzul。

I wanted to ask bigger picture on e.l.f. SKIN and Naturium. How are you thinking about the longer-term potential for these 2 brands, given their different price points? And ultimately, where do you see these brands fitting in with certain retailers and different customer demographics. And then for e.l.f. SKIN specifically, are you beginning to see customers come in through skincare? Or are sales still primarily from customers who are already users of e.l.f. cosmetics migrating to e.l.f. SKIN?

我想詢問有關 e.l.f. 的更大的情況。皮膚和鈉。考慮到這兩個品牌的不同價位，您如何看待它們的長期潛力？最終，您認為這些品牌在哪裡適合某些零售商和不同的客戶群。然後是 e.l.f.特別是皮膚，您是否開始看到顧客透過護膚品進入？或者，銷售仍然主要來自已經是 e.l.f. 用戶的客戶嗎？化妝品遷移到 e.l.f.皮膚？

So the bigger picture, Anna, for both these brands is we see tremendous growth in both of them. e.l.f. SKIN as the average unit retail is around $9 primary audience, female. Gen Z has a ton of potential, particularly as more Gen Z and the younger cohorts really migrate to skincare. We see it continue to expand both its presence in retail in terms of its innovation pipeline and we see a great potential there.

因此，安娜，對於這兩個品牌來說，更大的前景是我們看到它們都取得了巨大的成長。 e.l.f. SKIN 的平均單位零售價約為 9 美元，主要受眾為女性。 Z 世代擁有巨大的潛力，尤其是隨著越來越多的 Z 世代和年輕群體真正轉向護膚品。我們看到它在創新管道方面繼續擴大其在零售業的影響力，並且我們看到了那裡的巨大潛力。

Naturium, one of the reasons we really like the brand is just how well it complements e.l.f. SKIN at an $18 average retail higher price point, that masstige point, it also attracts a different audience, including over 1/3 of its user base, almost 40% of its user base being men and with the body categories in particular. So we like the fact that they're very distinct and complementary yet both have tremendous growth potential.

Naturium，我們真正喜歡這個品牌的原因之一是它與 e.l.f. 的完美互補。 SKIN 的平均零售價為 18 美元，即大眾化水平，它也吸引了不同的受眾，包括超過 1/3 的用戶群，近 40% 的用戶群是男性，尤其是身體類別的用戶。因此，我們喜歡這樣一個事實：它們非常獨特且互補，但都具有巨大的成長潛力。

In terms of where we could continue to see both brands, we think there's expansion potential for both brands. Naturium probably opens itself up to other more premium retail locations over time, but we feel really, really great about the business we have to target: Amazon, naturium.com, very excited about Shoppers Drug Mart. So you'll see some overlap in terms of distribution with some differences that we haven't disclosed yet.

就我們可以繼續看到這兩個品牌的領域而言，我們認為這兩個品牌都有擴張潛力。隨著時間的推移，Naturium 可能會向其他更優質的零售地點開放，但我們對我們的目標業務感到非常非常好：亞馬遜、naturium.com，對 Shoppers Drug Mart 感到非常興奮。因此，您會看到分佈方面存在一些重疊，但也存在一些我們尚未揭露的差異。

And then from a demographic standpoint on e.l.f. SKIN, the last part of your question, we are seeing us pick up more consumers directly from skincare. I see in the early days of e.l.f. SKIN, the e.l.f. SKIN buyer was primarily an e.l.f. cosmetic buyer. It would [house] right next to e.l.f. cosmetics, you definitely got people building their baskets on e.l.f. cosmetics, particularly with some of the latest innovations. If I take a look at our Suntouchables Line, our SPF line, both well grow. Suntouchables invisible or spray. We're picking up people directly from Prestige Skin in that business. And so I feel really good about the strategy, particularly on an innovation standpoint, where we'll continue to get help consumers, but we're increasingly picking up more directly from skincare.

然後從人口統計的角度來看 e.l.f.皮膚，你問題的最後一部分，我們看到我們直接從護膚品中吸引了更多的消費者。我看到 e.l.f. 早期的時候。 SKIN，精靈SKIN 買家主要是 e.l.f.化妝品買家。它將[房子]緊鄰 e.l.f.化妝品，你肯定讓人們在 e.l.f 上建造他們的籃子。化妝品，尤其是一些最新的創新產品。如果我看一下我們的 Suntouchables 系列和 SPF 系列，它們都長得很好。 Suntouchables 隱形或噴霧。我們直接從 Prestige Skin 挑選從事該業務的人員。因此，我對策略感到非常滿意，特別是從創新的角度來看，我們將繼續為消費者提供幫助，但我們越來越多地直接從護膚品中獲取幫助。

Next question comes from Korinne Wolfmeyer with Piper Sandler.

下一個問題來自 Korinne Wolfmeyer 和 Piper Sandler。

Congrats on a good quarter. First, I'd like to just clarify what percent of the supply chain is currently outside of China, inclusive of Naturium? And then could you just touch on in terms of your marketing spend, how much are you allocating toward international versus domestic? And looking forward over the next couple of years, will that mix shift more towards international? Or how are you thinking about that going forward?

恭喜季度表現良好。首先，我想澄清一下，目前供應鏈的百分之多少位於中國境外，包括天然元素？然後您能否談談您的行銷支出，您為國際市場和國內市場分配了多少資金？展望未來幾年，這種組合會更轉向國際化嗎？或者您對未來有何看法？

Yes. So the supply chain is still primarily in China, Korinne. I'd say over 80% is still in China even with the inclusion of Naturium. That's one of the things I think over time you'll see a shift given our diversification plans. And part of that diversification plans is also relying on some of our main suppliers in China to also look at other geographies. So we are able to leverage the tremendous -- both relationship expertise they have, our ability to work with them as well as bring on new suppliers. So I feel really good about the progress that's been made under that.

是的。所以供應鏈還是主要在中國，Korinne。我想說，即使包含了鈉，80% 以上仍然在中國。這是我認為隨著時間的推移，考慮到我們的多元化計劃，你會看到變化的事情之一。多元化計劃的一部分也依賴我們在中國的一些主要供應商也著眼於其他地區。因此，我們能夠利用他們擁有的巨大關係專業知識、我們與他們合作以及引入新供應商的能力。因此，我對在此方面取得的進展感到非常滿意。

In terms of marketing spend, Korinne, our approach is very consistent with looking at marketing spend as a percentage of net sales. And so that's how we have approached how we allocate our spend across the different businesses. Would we lean in a little bit more to international or skincare, some of the other growth vectors? Perhaps. But we also want to make sure that we stay balanced in our approach and make sure that we're putting a lot of the fuel behind e.l.f. cosmetics.

在行銷支出方面，Korinne，我們的方法與將行銷支出佔淨銷售額的百分比視為非常一致。這就是我們在不同業務之間分配支出的方式。我們是否會更專注於國際或護膚品以及其他一些成長載體？也許。但我們也希望確保我們的方法保持平衡，並確保我們為 e.l.f. 投入了大量的精力。化妝品。

The next question comes from Mark Astrachan with Stifel.

下一個問題來自 Stifel 的 Mark Astrachan。

I guess as the business continues to grow, I'm really thinking more on the non-skin side. How much of the growth is sort of existing users? Can you touch a little bit on the loyalty program? How much is new users? And I guess as you increase marketing spend, how does that dynamic play out, meaning are existing users increasing basket or are you attracting new users? And maybe to sort of trying to get at just how somebody enters into the e.l.f. family? How the life cycle plays out? They buy more products over time. I presume that means that the beauty cabinet bag, makeup kits, so to speak, is increasing in terms of what e.l.f. products are in there versus other categories. I presume some of those share gains are coming from [mass], some are coming from Prestige. But maybe just sort of holistically kind of think about the life cycle here and who you're going after and how they stay in the ecosystem?

我想隨著業務的不斷增長，我真的會更多地考慮非皮膚方面。現有用戶的成長有多少？能談談忠誠度計劃嗎？新用戶有多少？我想當你增加行銷支出時，這種動態如何發揮作用，這意味著現有用戶是否正在增加購物籃，或者你正在吸引新用戶？也許是想嘗試了解某人是如何進入精靈的。家庭？生命週期如何進行？隨著時間的推移，他們購買更多的產品。我認為這意味著美容櫃包、化妝包，可以說，在 e.l.f. 方面正在增加。與其他類別的產品相比。我認為其中一些份額收益來自[大眾]，一些來自聲望。但也許只是從整體上思考這裡的生命週期以及你要追捕的人以及他們如何留在生態系統中？

Yes, Mark. So I'll talk about the evolution. I'd say in the early days, we really relied a lot on existing users to build their basket, not particularly as we expand into additional product categories, expanded into skin. I think that was the early strategy. Really in the last few years, particularly as we've been able to take up our marketing levels and hit additional targets, we're seeing many more new users. And the great profile that we're getting on the new users, we can measure this (inaudible) Squad Loyalty Program is they're demonstrating much of the same behavior [right to the same] users. Once they get into the franchise, they start buying more and continue to build the overall basket and overall lifetime value on both the existing as well as new users. So we feel really good about that profile, particularly being able to bring in both new users as we go through.

是的，馬克。那我就講一下演變過程吧。我想說的是，在早期，我們確實非常依賴現有用戶來建立他們的購物籃，尤其是當我們擴展到其他產品類別、擴展到皮膚時。我認為這是早期的策略。實際上，在過去幾年中，特別是當我們能夠提高行銷水平並實現更多目標時，我們看到了更多的新用戶。我們在新用戶身上獲得的良好形象，我們可以衡量這個（聽不清楚）小隊忠誠度計劃，因為他們[對相同的]用戶表現出許多相同的行為。一旦他們進入特許經營權，他們就會開始購買更多產品，並繼續為現有用戶和新用戶建立整體購物籃和整體終身價值。所以我們對這個設定檔感覺非常好，特別是能夠在我們經歷過程中引入新用戶。

The other big characteristics, I would say, is the market share we report is really based on Nielsen. So that's just on the mass side in terms of like who we're taking share from and how we continue to build. But one of the great characteristics of the business over the last few years is, particularly as we've doubled down on our Holy Grail innovation, the big innovation franchises that grow year after year is we're starting to source a lot more also not only from Prestige but give access to consumers who previously didn't have access to these categories before. We've used the example on our Putty Primer, there was an inspiration from a Prestige item. We continue to track that prestige item. It's grown double digits, but we sell 9x the number of units on our Putty Primer.

我想說的另一個重要特徵是我們報告的市場份額實際上是基於尼爾森。因此，這只是大眾方面的問題，例如我們從誰那裡獲得份額以及我們如何繼續建造。但過去幾年這項業務的一大特點是，特別是當我們加倍致力於聖杯創新時，年復一年增長的大型創新特許經營權是我們開始採購更多的產品僅來自Prestige，但為之前無法存取這些類別的消費者提供了存取權限。我們在 Putty Primer 上使用了這個範例，其靈感來自 Prestige 商品。我們將繼續追蹤該聲望物品。它增長了兩位數，但我們的 Putty Primer 銷量卻增加了 9 倍。

So we basically brought in millions of consumers who couldn't afford a $56 Putty Primer, but certainly can afford our $10 one. And so I'd say that's the other big dynamic. We're going to continue to pick up share just given the momentum we have, the way our strategy is working. But perhaps even the bigger long-term opportunity is giving consumers access to categories that didn't previously have access to.

因此，我們基本上吸引了數百萬買不起 56 美元 Putty Primer 的消費者，但肯定買得起我們 10 美元的 Putty Primer。所以我想說這是另一個大動態。考慮到我們的勢頭和我們的策略的運作方式，我們將繼續提高市場份額。但也許更大的長期機會是讓消費者接觸到以前無法接觸到的類別。

This concludes our question-and-answer session. I would like to turn the conference back over to Tarang Amin for any closing remarks.

我們的問答環節到此結束。我想將會議轉回塔朗·阿明發表閉幕詞。

Well, thank you for joining us today, everyone. I'm so proud of our incredible team at e.l.f. Beauty for delivering another phenomenal quarter. Thank you every e.l.f. and e.l.f. partner for your passion and dedication or a vision of creating a different kind of beauty company. We look forward to seeing some of you at CAGNY in a few weeks where we'll be presenting for the first time and speaking to you in May, when we'll discuss our fourth quarter results and FY '25 outlook. Thank you, and be well.

好的，謝謝大家今天加入我們。我為 e.l.f. 令人難以置信的團隊感到自豪。美麗又帶來了一個非凡的季度。謝謝每一個 e.l.f.和 e.l.f.是您的熱情和奉獻精神或創建不同類型美容公司願景的合作夥伴。我們期待幾週後在 CAGNY 見到你們，我們將在 5 月首次演講並與你們交談，屆時我們將討論我們的第四季度業績和 25 財年展望。謝謝你，祝你一切順利。

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

會議現已結束。感謝您參加今天的演講。您現在可以斷開連線。