elf Beauty Inc (ELF) 2021 Q1 法說會逐字稿

Good day and welcome to the e.l.f. Beauty First Quarter Fiscal 2021 Earnings Conference Call. (Operator Instructions) Please note that this event is being recorded. I would now like to turn the conference over to Melinda Fried. Please go ahead.

美好的一天，歡迎來到 e.l.f.美妝 2021 財年第一季度收益電話會議。（操作員說明）請注意，該事件正在被記錄。我現在想把會議交給梅琳達·弗里德。請繼續。

Thank you for joining us today to discuss e.l.f. Beauty's first quarter fiscal 2021 results. I'm Melinda Fried, Head of Corporate Communications for e.l.f. Beauty.

感謝您今天加入我們討論 e.l.f.Beauty 2021 財年第一季度業績。我是 Melinda Fried，e.l.f. 企業傳播主管。美麗。

As a reminder, this call contains forward-looking statements that are based on management's expectations, including those related to the category trends and longer term outlook and are subject to known and unknown risks and uncertainties. And therefore, actual results may differ materially. Important factors that may cause actual results to differ are detailed in today's press release and the company's SEC filings.

提醒一下，本次電話會議包含基於管理層預期的前瞻性陳述，包括與類別趨勢和長期前景相關的陳述，並受到已知和未知風險和不確定性的影響。因此，實際結果可能存在重大差異。今天的新聞稿和公司向 SEC 提交的文件中詳細介紹了可能導致實際結果不同的重要因素。

In addition, the company's presentation today includes information presented on a non-GAAP basis. We refer you to today's press release for a reconciliation of the differences between the non-GAAP presentation and the most directly comparable GAAP measures.

此外，該公司今天的演示文稿還包括基於非公認會計原則（Non-GAAP）的信息。我們建議您參閱今天的新聞稿，以了解非公認會計原則表述與最直接可比的公認會計原則衡量指標之間的差異。

Please note, after the presentation, there is a separate dial-in for the Q&A session, also noted in the press release.

請注意，演示結束後，有一個單獨的撥入問答環節，新聞稿中也提到了這一點。

With me from management today are Tarang Amin, Chairman and Chief Executive Officer; and Mandy Fields, Senior Vice President and Chief Financial Officer.

今天與我同在的還有管理層的董事長兼首席執行官塔朗·阿明 (Tarang Amin)；以及高級副總裁兼首席財務官 Mandy Fields。

Let me turn the webcast over to Tarang.

讓我把網絡廣播轉給塔朗。

Thank you, Melinda, and good afternoon, everyone. I hope that you're staying safe and well.

謝謝梅琳達，大家下午好。我希望您一切安好。

Today, we will talk about our first quarter fiscal 2021 results, the creation of a new beauty lifestyle brand with Alicia Keys and the overall strategic framework for the company. I am so proud of the e.l.f. team for delivering strong results in navigating major category headwinds during the COVID-19 pandemic. This is our sixth consecutive quarter of net sales growth with Q1 net sales of $65 million, up 8% versus a year ago. We also expanded gross margin to 67%, up nearly 500 basis points versus last year and delivered adjusted EBITDA of $16 million, up 7% versus a year ago. Of the top 5 color cosmetics brands in the U.S., we were the only 1 to grow share in the quarter with 5.5% of the market, up 100 basis points. We achieved all of this in a volatile category that was down double digits.

今天，我們將討論 2021 財年第一季度業績、與 Alicia Keys 一起創建新的美容生活方式品牌以及公司的整體戰略框架。我為 e.l.f 感到驕傲。團隊在應對 COVID-19 大流行期間的主要品類逆風方面取得了強勁成果。這是我們連續第六個季度實現淨銷售額增長，第一季度淨銷售額為 6500 萬美元，比去年同期增長 8%。我們還將毛利率擴大到 67%，比去年增長近 500 個基點，調整後 EBITDA 達到 1,600 萬美元，比去年增長 7%。在美國排名前 5 的彩妝品牌中，我們是唯一一個本季度份額增長的品牌，市場份額為 5.5%，增長了 100 個基點。我們在下跌兩位數的波動性類別中實現了所有這些。

We continue to excel on our multiple areas of competitive advantage by investing in our brand recharge and executing our 5 strategic imperatives. Our mission to make the best of beauty accessible to every eye, lip and face is more important than ever. We believe that our fundamental value equation and digital engagement, as well as our world-class team's ability to move at e.l.f. speed, positions us well to continue to gain market share. Today, we are thrilled to announce our partnering with Alicia Keys to create a beauty lifestyle brand, code named Project Superwoman. I'll describe shortly why we believe this brand will be so special and will enhance the overall strategic framework for our company.

通過投資品牌重塑和執行 5 項戰略要務，我們繼續在多個領域的競爭優勢中脫穎而出。我們的使命是讓每個眼睛、嘴唇和臉部都能享受到最好的美麗，這一使命比以往任何時候都更加重要。我們相信，我們的基本價值方程式和數字化參與，以及我們世界一流團隊的快速行動能力。速度使我們能夠繼續獲得市場份額。今天，我們很高興地宣布與 Alicia Keys 合作創建一個美容生活方式品牌，代號為 Project Superwoman。我將簡短地描述為什麼我們相信這個品牌會如此特別，並將增強我們公司的整體戰略框架。

But first, let me provide a few highlights on the quarter. Our first strategic imperative is to drive brand demand. We have a number of initiatives that are driving greater brand relevance. We unleashed a bold campaign last year to bring e.l.f.'s superpowers to the forefront of the beauty conversation. The original superpowers that our consumers can't get enough of our 100% vegan and cruelty-free and first-to-mass Holy Grail products that deliver premium quality at unbelievable prices with universal appeal.

但首先，讓我提供本季度的一些亮點。我們的首要戰略任務是推動品牌需求。我們採取了許多舉措來提高品牌相關性。去年，我們發起了一項大膽的活動，將 e.l.f. 的超能力帶到了美容對話的最前沿。我們的消費者對我們的 100% 純素、無殘忍、首次批量生產的聖杯產品的原始超能力無法滿足，這些產品以令人難以置信的價格提供優質的品質，具有普遍的吸引力。

During these uncertain economic times, we've seen our value messaging has even greater consumer relevance. Our sales growth accelerated once government stimulus checks and supplemental unemployment benefits hit consumers' wallets with new and existing consumers alike voting for e.l.f.'s exceptional value proposition. Search demand for e.l.f. outpaced the category for the quarter with Google searches rising 1.5% compared to a decline of 9.5% for the category and double-digit losses for key competitors.

在這些不確定的經濟時期，我們發現我們的價值信息與消費者俱有更大的相關性。一旦政府刺激計劃和補充失業救濟金擊中消費者的錢包，新老消費者都投票支持 e.l.f. 的卓越價值主張，我們的銷售增長就會加速。e.l.f. 的搜索需求本季度，Google 搜索量增長了 1.5%，而該類別的搜索量下降了 9.5%，主要競爭對手的搜索量出現了兩位數的損失，超過了該類別的搜索量。

E.l.f.'s press impressions soared 333% for the quarter versus prior year, and we surpassed 5.5 million Instagram followers, emphasizing our growing audience. We recently conducted a Nielsen marketing mix analysis and saw strong ROI results in the absolute and relative to key benchmarks, giving us further confidence that our marketing and digital initiatives are driving profitable sales.

本季度 E.l.f. 的媒體曝光量比去年同期猛增 333%，Instagram 粉絲數量超過 550 萬，這凸顯了我們不斷增長的受眾群體。我們最近進行了尼爾森營銷組合分析，發現絕對和相對於關鍵基準的強勁投資回報率結果，讓我們進一步相信我們的營銷和數字計劃正在推動盈利銷售。

Our record-breaking eyelipsface TikTok hashtag challenge, the most viral campaign in TikTok U.S. history, continues to rise, reaching over 6 billion views and over 4.5 million user-generated videos to date. This is an increase of over 1.5 billion views and 1.3 million videos in the past quarter, highlighting the strength of our audience engagement on the platform. While continuing to leverage TikTok, we remain focused on our entire digital ecosystem. We're expanding our existing footprint with deeper engagement on key platforms like YouTube, Snapchat and Pinterest while seeking and testing new frontiers.

我們破紀錄的“眼唇臉”TikTok 主題標籤挑戰賽是TikTok 美國歷史上最具病毒性的活動，其規模持續上升，迄今為止已達到超過60 億次觀看次數和超過450 萬個用戶生成的視頻。上一季度的觀看次數和視頻數量增加了超過 15 億次，視頻數量增加了 130 萬個，凸顯了我們平台上觀眾參與度的優勢。在繼續利用 TikTok 的同時，我們仍然專注於整個數字生態系統。我們正在通過在 YouTube、Snapchat 和 Pinterest 等關鍵平台上進行更深入的參與來擴大我們現有的業務範圍，同時尋求和測試新領域。

An amazing example of new frontiers is our unique brand collaboration with Chipotle, another brand favored by Gen Z. We worked together on a virtual prom collection that married their beloved food menu with our best-selling products. This limited addition, burrito-inspired makeup collection sold out within 4 minutes on elfcosmetics.com with 100% of these orders made by new consumers. The campaign had high engagement across all social channels with over 3 million TikTok views and over 350 million impressions across beauty, lifestyle, entertainment and business press.

新領域的一個令人驚嘆的例子是我們與Chipotle 的獨特品牌合作，Chipotle 是Z 世代青睞的另一個品牌。我們共同打造了一個虛擬舞會系列，將他們喜愛的食物菜單與我們最暢銷的產品結合起來。這個以墨西哥捲餅為靈感的限量版彩妝系列在 elfcosmetics.com 上 4 分鐘內就售空，其中 100% 是新消費者下的訂單。該活動在所有社交渠道上都有很高的參與度，TikTok 瀏覽量超過 300 萬次，美容、生活方式、娛樂和商業媒體的展示次數超過 3.5 億次。

The strength of our value equation and brand-building activities is attracting new consumers to the brand. During the quarter, over 50% of our retail purchases were from new consumers. This was even higher on elfcosmetics.com with over 65% of those purchasing being new consumers. Furthermore, we're seeing that e.l.f.'s consumers are highly engaged with beauty and spending nearly 1.5x more than non-e.l.f. purchasers.

我們的價值方程式和品牌建設活動的優勢正在吸引新消費者加入該品牌。本季度，我們超過 50% 的零售採購來自新消費者。elfcosmetics.com 上的比例甚至更高，超過 65% 的購買者是新消費者。此外，我們發現 e.l.f. 的消費者對美容高度關注，其支出比非 e.l.f. 的消費者高出近 1.5 倍。購買者。

Our second strategic imperative is a major step-up in digital. True to our digitally native roots, we continue to lead with a digital-first strategy that is benefiting both elfcosmetics.com as well as our retailer.coms. During the quarter, we saw a major shift online with our digital channels expanding to 17% of our total business, up from 11% in FY '20. Q1 digital consumption grew triple digits versus a year ago. Elfcosmetics.com, the #1 mass cosmetics e-commerce site, powers our digital ecosystem. New consumers acquired in the quarter were up over 100% year-over-year. We also experienced strong gains in traffic, orders, conversion and AOV.

我們的第二個戰略要務是數字化方面的重大進步。忠於我們的數字原生根源，我們繼續引領數字優先戰略，這使 elfcosmetics.com 和我們的retailer.com 都受益。在本季度，我們看到了線上的重大轉變，我們的數字渠道占我們總業務的比例從 20 財年的 11% 擴大到了 17%。第一季度數字消費與一年前相比增長了三位數。Elfcosmetics.com 是排名第一的大眾化妝品電子商務網站，為我們的數字生態系統提供動力。本季度新增消費者同比增長超過 100%。我們在流量、訂單、轉化率和 AOV 方面也取得了強勁增長。

A particular bright spot is our skincare business, which accounted for nearly 25% of our sales on elfcosmetics.com in Q1 versus 18% last year. Importantly, the AOV with skincare consumers is approximately $10 higher than our cosmetics-only consumers. Our Beauty Squad Loyalty Program grew to 2 million members, up over 150% year-over-year, and we believe it has even greater potential as a driver of our overall business going forward. App downloads reached over 130,000 with augmented reality continuing to drive conversion. We also launched the e.l.f. app in the U.K.

一個特別的亮點是我們的護膚業務，該業務占我們第一季度 elfcosmetics.com 銷售額的近 25%，而去年為 18%。重要的是，護膚品消費者的 AOV 比只購買化妝品的消費者高出約 10 美元。我們的 Beauty Squad 忠誠度計劃會員數量已增至 200 萬，同比增長超過 150%，我們相信它作為我們整體業務發展的推動力具有更大的潛力。應用下載量超過 130,000 次，增強現實繼續推動轉化。我們還推出了 e.l.f.英國的應用程序

We continue to expand our digital footprint globally. Last month, we launched elfcosmetics.com/eu with a localized experience in Germany and the ability to ship to 10 other EU countries. We are pleased with the acceleration in our overall digital commerce and the growth we're seeing on all retailer.coms, especially Amazon.

我們繼續在全球範圍內擴大我們的數字足跡。上個月，我們推出了 elfcosmetics.com/eu，在德國擁有本地化經驗，並且能夠向其他 10 個歐盟國家發貨。我們對整體數字商務的加速以及所有零售商網站（尤其是亞馬遜）的增長感到高興。

Our third imperative of providing first-to-mass prestige quality products also delivered strong results. We continued our pace of product launches during COVID-19 and found that consumers embraced our innovation. Our biggest strategic focus is skincare, where we continue to see strong results behind our new Cannabis Sativa and Full Spectrum CBD collections. These collections support our consumers' desire for wellness and self-care at an incredible value.

我們的第三個當務之急是提供一流的優質產品，也取得了強勁的成果。在新冠肺炎 (COVID-19) 疫情期間，我們繼續加快產品發布步伐，發現消費者接受了我們的創新。我們最大的戰略重點是護膚品，我們繼續看到新的 Cannabis Sativa 和 Full Spectrum CBD 系列背後的強勁成果。這些系列以令人難以置信的價值滿足了消費者對健康和自我護理的渴望。

Our Supers collection, powered by the trending super ingredient, niacinamide, also has seen a surge in demand. E.l.f. skincare consumption for the quarter was up 19% in tracked channels versus a category that was down 7%. More recently, tracked channel consumption was up over 30%, and our elfcosmetics.com consumption was up over 100%. We have additional launches slated for the balance of the fiscal year expected to help propel our skincare momentum.

我們的 Supers 系列以流行的超級成分煙酰胺為動力，需求也激增。E.l.f.在跟踪渠道中，本季度的護膚品消費量增長了 19%，而其他類別則下降了 7%。最近，跟踪的渠道消費量增長了 30% 以上，而我們的 elfcosmetics.com 消費量增長了 100% 以上。我們計劃在本財年剩餘時間推出更多產品，預計將有助於推動我們的護膚勢頭。

We reinforced our strength in primers, brushes and brow pencils, maintaining our #1 position in all 3 segments. We also continue to drive share gains in our market-leading Poreless Putty Primer and Camo Concealer franchises with segment share increases of 15 points and 13 points, respectively. The extension of our Poreless Putty franchise has been particularly successful with all 3 primers now ranking in the top 10 mass primers.

我們加強了底漆、刷子和眉筆的實力，在所有 3 個領域保持第一的位置。我們還繼續推動市場領先的 Poreless Putty Primer 和 Camo Concealer 特許經營權的份額增長，細分市場份額分別增長 15 個百分點和 13 個百分點。我們的無孔膩子系列產品的擴展特別成功，所有 3 款底漆現已躋身大眾底漆前 10 名。

We're also pleased with the results of our purpose-driven product collaborations and limited time collections. We partnered with Jkissa for the second year in a row, this time featuring a 100% vegan, highly pigmented 18-piece eye shadow palette. Jkissa reinforces our shared values of cruelty-free and how e.l.f. stands with every eye, lip, face and paw. The eyeshadow pallet and brush set sold out on our website in less than 5 days.

我們也對我們以目的為導向的產品合作和限時收藏的結果感到滿意。我們連續第二年與 Jkissa 合作，這次推出了 100% 純素、高顯色度的 18 件眼影盤。Jkissa 強化了我們共同的零殘忍價值觀以及 e.l.f.每隻眼睛、嘴唇、臉和爪子都站著。眼影盤和刷子套裝在我們的網站上不到 5 天就被搶購一空。

We also introduced our retro paradise collection, a tropical inspired line of products that was created after last year's Beautyscape, an event that gives rising beauty enthusiasts an opportunity to collaborate with e.l.f. and create products. The winning team, the Glam Gals, and e.l.f. have been on an amazing journey together from the birth of the concept in the Bahamas to shelves at Target. This collection is proving right now more than ever, we all need a passport to paradise.

我們還推出了復古天堂系列，這是繼去年 Beautyscape 之後創建的熱帶風格產品系列，該活動為新興美容愛好者提供了與 e.l.f. 合作的機會。並創造產品。獲勝隊伍為 Glam Gals 和 e.l.f.從這個概念在巴哈馬誕生到在塔吉特上架，我們一起經歷了一段奇妙的旅程。這個系列現在比以往任何時候都更證明，我們都需要一張通往天堂的護照。

Our fourth strategic imperative is driving national retailer productivity in centers around Project Unicorn, our initiative to improve assortment, presentation and navigation at shelf. We successfully executed Phase 3 of Project Unicorn this past spring, with better visual merchandising, particularly for our market-leading primers and Camo Concealers. We shipped to Target new Unicorn displays and flex towers for retro paradise. We continue to see the blurring of the physical and digital realms as excited consumers share their in-store experience through TikTok video creations, including this one, which quickly garnered 130,000 views.

我們的第四個戰略要務是圍繞獨角獸計劃提高全國零售商的生產力，這是我們改善貨架分類、展示和導航的舉措。去年春天，我們成功執行了獨角獸計劃的第三階段，並進行了更好的視覺營銷，特別是我們市場領先的底漆和迷彩遮瑕膏。我們向塔吉特運送了新的獨角獸顯示器和柔性塔，打造復古天堂。我們繼續看到物理和數字領域的模糊，因為興奮的消費者通過 TikTok 視頻創作分享他們的店內體驗，包括這個很快就獲得了 130,000 次觀看的視頻。

(presentation)

（推介會）

As pleased as we are with Unicorn execution, we continue to face category headwinds due to COVID-19. Ulta Beauty and our main international retailers, brick-and-mortar stores were closed most of the quarter. Even at Target and Walmart, our top 2 customers who remained open, we continue to see volatility and a definite slowdown with the recent surge in COVID-19. We're also lapping the benefits of the price increase we took last July in response to the 25% tariffs. While we expect the category and our business to be challenged by the pandemic, we remain focused on our relative performance to key competition.

儘管我們對獨角獸的執行情況感到滿意，但由於 COVID-19，我們繼續面臨品類逆風。Ulta Beauty 和我們的主要國際零售商、實體店本季度大部分時間都關閉。即使在我們仍然營業的兩大客戶塔吉特和沃爾瑪，我們仍然看到波動性和隨著最近 COVID-19 激增而明顯放緩。我們還享受去年 7 月為應對 25% 關稅而提價的好處。雖然我們預計該類別和我們的業務將受到大流行的挑戰，但我們仍然關注我們與主要競爭對手的相對錶現。

We mentioned last quarter that given the strength of our productivity, innovation and consumer engagement, Walmart and Ulta Beauty plan to expand e.l.f. space this fall in a subset of their doors. This expansion will allow us to increase our skincare assortment at both customers. For a perspective, skincare was 6% of our tracked channel consumption in FY '20. In Q1, it grew to 9%. Skincare comprises a much higher percentage of our elfcosmetics.com business at nearly 25%. We believe as our retail footprint in skincare expands with more space, we have the opportunity to further drive our skincare business.

我們上季度提到，鑑於我們的生產力、創新和消費者參與度的優勢，沃爾瑪和 Ulta Beauty 計劃擴大 e.l.f.今年秋天，他們的門的一部分裡有空間。此次擴張將使我們能夠增加我們為這兩個客戶提供的護膚品種類。從一個角度來看，護膚品占我們 20 財年跟踪渠道消費的 6%。第一季度增長至 9%。護膚品在 elfcosmetics.com 業務中所佔的比例要高得多，接近 25%。我們相信，隨著我們在護膚品領域的零售足跡不斷擴大，我們有機會進一步推動我們的護膚品業務。

Our fifth imperative is delivering cost savings to help fuel brand investments. I'm proud of our operations team. We were one of the first beauty companies to come out of COVID-19 restrictions in China fully operational. All of our suppliers are back in business in the first week, and we are running at full capacity after 5 weeks. Not only did our team maintain supply continuity, they continue to generate cost savings via lean manufacturing techniques that have contributed to our strong gross margin rates. We've also identified significant COGS savings on key W3LL People products, which gives us the ability to invest in recharging the brand and sharpen retail pricing. Our new liquid fill manufacturing plant has continued to be delayed by COVID-19 as local restrictions have prevented us from doing engineering and installation work.

我們的第五個當務之急是節省成本，以幫助推動品牌投資。我為我們的運營團隊感到自豪。我們是中國最早擺脫新冠肺炎 (COVID-19) 限制並全面運營的美容公司之一。我們所有的供應商在第一周就恢復營業，五週後我們就滿負荷運轉。我們的團隊不僅保持了供應連續性，還通過精益製造技術繼續節省成本，這為我們強勁的毛利率做出了貢獻。我們還發現 W3LL People 關鍵產品的銷貨成本大幅節省，這使我們能夠投資為品牌充電並提高零售價格。由於當地限制，我們無法進行工程和安裝工作，我們的新液體灌裝製造廠因 COVID-19 而繼續推遲。

The progress on our 5 strategic imperatives has been terrific, and we believe we have further opportunity with each. We're equally excited by our progress on strategic extensions. We strongly believe there's an opportunity for significant value creation, leveraging the investments we've made in our team and infrastructure for other brands, both acquisitions and brands that we create.

我們的 5 項戰略要務取得了巨大進展，我們相信每一項戰略都還有進一步的機會。我們對戰略擴展方面的進展同樣感到興奮。我們堅信，利用我們對團隊和其他品牌（包括收購和我們創建的品牌）的基礎設施的投資，有機會創造重大價值。

Our first strategic extension is a pioneering clean beauty brand, W3LL People. This acquisition is strategically important as consumers are becoming increasingly conscious of the ingredients in their products. Our thesis is that we can benefit from the 12-year history W3LL People has as a pioneer in clean beauty with 40 EWG VERIFIED products and in turn, leverage the investments we've made in our team and infrastructure to scale the brand.

我們的第一個戰略延伸是開創性的清潔美容品牌 W3LL People。隨著消費者對其產品成分的關注度越來越高，此次收購具有重要的戰略意義。我們的論點是，我們可以從W3LL People 作為清潔美容領域先驅的12 年曆史中受益，擁有40 種經過EWG 驗證的產品，反過來，我們可以利用我們在團隊和基礎設施方面的投資來擴大品牌規模。

Last earnings call, we had already fully integrated this acquisition onto the e.l.f. platform. And now we're starting to realize synergies and make progress on brand growth initiatives. The most significant activity this quarter was conducting the strategic work for our W3LL People brand recharge, similar to the work we did on e.l.f. last year. At the core of this recharge is our brand vision because all people can be W3LL People as we strive to make clean beauty accessible. We look forward to bringing this brand recharge to market over the coming months. Here's an early peak.

上次財報電話會議上，我們已經將此次收購完全整合到 e.l.f. 中。平台。現在我們開始實現協同效應並在品牌增長計劃上取得進展。本季度最重要的活動是為我們的 W3LL People 品牌充電進行戰略工作，類似於我們在 e.l.f. 上所做的工作。去年。這次充電的核心是我們的品牌願景，因為所有人都可以成為 W3LL 人，因為我們努力讓清潔美麗變得觸手可及。我們期待在未來幾個月內將該品牌充電推向市場。這是一個早期的高峰。

(presentation)

（推介會）

Our team has also been working on the creation of a groundbreaking new brand that I'm thrilled to announce.

我們的團隊還一直致力於創建一個突破性的新品牌，我很高興地宣布這一消息。

(presentation)

（推介會）

Anticipated to launch in calendar 2021, Project Superwoman is a new beauty and lifestyle brand created with Alicia Keys, 15-time Grammy award-winning artist, producer, actress and New York Time's best-selling author. Born of Alicia's personal skincare journey and her passion for bringing light and positivity in the world, the brand vision is more than skin deep. With an inclusive point of view, an authentic voice and a line of skin-loving dermatologists-developed cruelty-free products, Project Superwoman aims to bring new meaning to beauty by helping people honor ritual in their daily life and practice intention in every action.

Project Superwoman 預計於2021 年推出，是一個新的美容和生活方式品牌，由15 次格萊美獎獲獎藝術家、製片人、演員和《紐約時報》暢銷書作家艾麗西亞·凱斯(Alicia Keys ) 創建。品牌願景源於艾麗西亞的個人護膚之旅以及她為世界帶來光明和積極的熱情，品牌願景不僅僅是表面的。憑藉包容的觀點、真實的聲音以及一系列由熱愛皮膚的皮膚科醫生開發的零殘忍產品，“超級女人計劃”旨在通過幫助人們在日常生活中尊重儀式並在每一個行動中踐行意圖，為美麗帶來新的意義。

Make no mistake, this is not another celebrity beauty line because Alicia is more than an icon, she's an inspiration. In her song lyrics, numerous interviews and editorials and in her candid New York Times' best-selling new book, More Myself: A Journey, she has openly and honestly shared her skin struggles, her frustration with society's unrealistic beauty ideals and her own journey to finding clarity strength and a deeper knowledge of her real self. Now through this endeavor, she aims to help others find that same place of peace and power within themselves.

毫無疑問，這不是另一個名人美容系列，因為艾麗西亞不僅僅是一個偶像，她還是一個靈感。在她的歌詞、大量的採訪和社論中，以及在她坦誠的《紐約時報》暢銷新書《更多我自己：一段旅程》中，她公開、誠實地分享了她的皮膚鬥爭、她對社會不切實際的美麗理想的沮喪以及她自己的旅程找到清晰的力量和對真實自我的更深入的了解。現在，通過這一努力，她的目標是幫助其他人在自己內心找到同樣的平靜和力量。

(presentation)

（推介會）

Our innovation team has already developed a robust multi-year, multi-category product pipeline with Alicia Keys and Dr. Renee Snyder, Co-Founder of W3LL PEOPLE and board-certified dermatologist. We expect Project Superwoman to be available online and in retail outlets in calendar year 2021. We look forward to unveiling more in advance of our Q2 earnings call in November. We believe strategic extensions are key to our long-term growth as we evolve from a single-brand to multi-brand beauty company.

我們的創新團隊已經與 Alicia Keys 和 W3LL PEOPLE 聯合創始人兼董事會認證皮膚科醫生 Renee Snyder 博士一起開發了強大的多年、多類別產品管道。我們預計《女超人計劃》將於 2021 年在網上和零售店發售。我們期待在 11 月份的第二季度財報電話會議之前公佈更多信息。我們相信，隨著我們從單一品牌美容公司發展為多品牌美容公司，戰略擴展是我們長期增長的關鍵。

Before I turn the call over to Mandy, let me provide a bit more perspective on the overall strategic framework of the company and our brands. E.l.f. Beauty is the parent company, the bold disruptor with a kind heart. E.l.f. Beauty stands with every eye, lip, face and paw. This deep commitment to inclusive, accessible cruelty-free beauty has fueled the success of our namesake, e.l.f. Cosmetics brand since 2004. We continue to expand our portfolio with strategic extensions that support our purpose and values. E.l.f. Cosmetics makes the best of beauty accessible to every eye, lip and face. We make high-quality prestige-inspired cosmetics and skincare products at an extraordinary value and are proud to be a 100% vegan and cruelty-free.

在將電話轉給 Mandy 之前，讓我對公司和我們品牌的整體戰略框架提供更多看法。E.l.f.美是母公司，是勇敢的顛覆者，也是一顆善良的心。E.l.f.美麗存在於每一個眼睛、嘴唇、臉和爪子上。這種對包容性、可及性、零殘忍美麗的堅定承諾推動了我們同名的 e.l.f. 的成功。自2004年起的化妝品品牌。我們繼續通過支持我們的宗旨和價值觀的戰略擴展來擴展我們的產品組合。E.l.f.化妝品讓每個眼睛、嘴唇和臉部都能享受到最好的美麗。我們以非凡的價值生產高品質、享有盛譽的化妝品和護膚品，並以 100% 純素食和零殘忍而自豪。

W3LL People is a clean beauty pioneer, raising the standard for high-performance, plant-powered cruelty-free cosmetics since 2008. Founded on the principles of purity, artistry and responsibility, we are committed to creating clean products that help people be well, look well and do well. Project Superwoman is a beauty lifestyle brand carefully crafted with Alicia Keys. With an inclusive point of view, an authentic voice and a line of skin-loving, dermatologist-developed, cruelty-free products, Project Superwoman will aim to bring new meaning to beauty by helping people to find peace and power within themselves.

W3LL People 是清潔美容先鋒，自 2008 年以來不斷提高高性能植物性零殘忍化妝品的標準。我們以純粹、藝術和責任的原則為基礎，致力於創造清潔產品，幫助人們保持健康、外觀良好、生活良好。Project Superwoman 是與 Alicia Keys 精心打造的美容生活方式品牌。憑藉包容性的觀點、真實的聲音和一系列由皮膚科醫生開發、無殘忍的親膚產品，Project Superwoman 將致力於幫助人們找到內心的平靜和力量，為美麗帶來新的意義。

From a price tier standpoint, e.l.f. Cosmetics has extraordinary value in the mass segment, W3LL People is plant-powered beauty in the masstige segment and Project Superwoman is lifestyle beauty in entry-level prestige. All 3 brands are accessible relative to their competitive set. Supporting all of these brands is our high-performance team and company values to delight our consumers, do the right thing, work together to win and execute with speed and quality.

從價格等級的角度來看，e.l.f.化妝品在大眾市場中具有非凡的價值，W3LL People 是大眾市場中的植物美容產品，Project Superwoman 是入門級聲望的生活方式美容產品。相對於其競爭對手，這三個品牌都易於使用。支持所有這些品牌的是我們的高績效團隊和公司價值觀，即取悅我們的消費者、做正確的事、共同努力贏得勝利並以速度和質量執行。

In other matters, we're pleased to have reached agreement with Marathon Partners in early July that allows us to remain focused on executing our strategic imperatives. We're also happy to welcome Lori Keith as another strong independent Board member. Lori brings to our Board the perspective in an experienced portfolio manager and expertise in ESG. We would also like to thank TPG for their 6.5-year investment in the company and help building e.l.f. Beauty from a $100 million revenue private company to a nearly $300 million public company. Consistent with its practice to responsibly return money to its investors, TPG has now completely exited its position in e.l.f. Beauty. TPG's investment in e.l.f. was made from a growth fund raised in 2011 for which e.l.f. delivered strong returns.

在其他方面，我們很高興在 7 月初與 Marathon Partners 達成協議，這使我們能夠繼續專注於執行我們的戰略任務。我們也很高興歡迎 Lori Keith 成為另一位強大的獨立董事會成員。Lori 為我們的董事會帶來了經驗豐富的投資組合經理的觀點和 ESG 方面的專業知識。我們還要感謝TPG對公司6.5年的投資，幫助打造e.l.f.Beauty 從一家營收 1 億美元的私營公司發展成為一家營收近 3 億美元的上市公司。按照其負責任地向投資者返還資金的做法，TPG 現已完全退出 e.l.f. 的地位。美麗。TPG 對 e.l.f. 的投資由 2011 年籌集的增長基金組成，該基金由 e.l.f.帶來了豐厚的回報。

In summary, we're moving at e.l.f. speed to grow share and position ourselves for an even brighter future. I believe that our digital strength and core value proposition will enable us to outpace the category in this uncertain economy.

總而言之，我們正在 e.l.f. 前進。快速增長份額並為更加光明的未來做好準備。我相信，我們的數字實力和核心價值主張將使我們能夠在這個不確定的經濟中超越同類產品。

I'll now turn the call over to Mandy to discuss the financials.

我現在將電話轉給曼迪討論財務問題。

Thank you, Tarang, and thank you all for joining us this afternoon.

謝謝你，塔朗，也謝謝大家今天下午加入我們。

Today, I'll cover our Q1 financial results, provide perspective on what we're seeing in the current operating environment and discuss how our strategic extensions connect to our long-term economic model. We are quite pleased with our Q1 results. We delivered net sales of $65 million, up 8% from a year ago. This growth was mainly driven by e-commerce performance and tracked channel customers, partially offset by Ulta and international store closures that persisted most of the quarter. Our growth was further accelerated once we started to see stimulus impact consumers' wallets.

今天，我將介紹我們第一季度的財務業績，提供我們對當前運營環境的看法，並討論我們的戰略擴展如何與我們的長期經濟模式聯繫起來。我們對第一季度的結果非常滿意。我們實現淨銷售額 6500 萬美元，比去年同期增長 8%。這一增長主要是由電子商務業績和跟踪渠道客戶推動的，但部分被本季度大部分時間持續關閉的 Ulta 和國際商店所抵消。一旦我們開始看到刺激措施影響消費者的錢包，我們的增長就進一步加速。

Our performance in the last 12 weeks ending 06/13, outpaced the large legacy brands in our space, and our outperformance versus the category accelerated with market share up 100 basis points. Gross margin of 67% was up nearly 500 basis points compared to prior year. Elfcosmetics.com was the primary driver behind our expanded gross margin. With the consumer shifting online, our site represented more of our sales mix versus a year ago, and total company gross margin benefited from that mix shift.

截至 2013 年 6 月的過去 12 週，我們的表現超過了我們領域內的大型傳統品牌，並且我們相對於該類別的表現加速，市場份額上升了 100 個基點。毛利率為 67%，較上年增長近 500 個基點。Elfcosmetics.com 是我們毛利率擴大的主要推動力。隨著消費者轉向線上，與一年前相比，我們的網站代表了更多的銷售組合，公司總毛利率也受益於這種組合轉變。

Given the acceleration in sales momentum we saw in elfcosmetics.com, we were also able to be less promotional and drive stronger gross margin overall on our site. The benefit of e-commerce, margin accretive mix, FX and price increases lifted overall gross margin for the quarter. To the extent consumers shift back into pre-COVID-19 shopping behavior and away from e-commerce, we expect the benefit we are seeing in gross margin will roll back by approximately 200 basis points.

鑑於我們在 elfcosmetics.com 上看到的銷售勢頭加速，我們還能夠減少促銷並提高網站的整體毛利率。電子商務、利潤增值組合、外彙和價格上漲的好處提升了本季度的整體毛利率。如果消費者重新回到 COVID-19 之前的購物行為並遠離電子商務，我們預計毛利率的收益將回落約 200 個基點。

On an adjusted basis, SG&A as a percentage of sales was 51% compared to 47% last year, primarily driven by annualizing headcount related to building out our marketing, digital and innovation capabilities, increased operational costs related to higher e-commerce volume in the quarter and increased investment behind marketing and digital on a dollar basis.

調整後的銷售、管理及行政費用佔銷售額的百分比為51%，而去年為47%，這主要是由於與建立我們的營銷、數字和創新能力相關的年化員工人數、與電子商務量增加相關的運營成本增加所致。季度並增加了營銷和數字化方面的投資（按美元計算）。

Marketing and digital investment as a percentage of net sales was 11%. Given the strong sales performance in the back half of the quarter, we ended up below our 12% to 14% target. We expect higher levels of marketing spend as a percentage of sales over the balance of the fiscal year as we target to stay within the 12% to 14% range on a full year basis.

營銷和數字投資占淨銷售額的百分比為 11%。鑑於本季度後半段的強勁銷售業績，我們最終低於 12% 至 14% 的目標。我們預計本財年剩餘時間的營銷支出佔銷售額的比例將會更高，因為我們的目標是全年保持在 12% 至 14% 的範圍內。

Q1 adjusted EBITDA of $16 million was up 7% versus prior year with margin at 24% of net sales. Adjusted net income was $9 million or $0.17 per diluted share compared to $7 million or $0.14 per diluted share a year ago.

第一季度調整後 EBITDA 為 1600 萬美元，比去年同期增長 7%，利潤率為淨銷售額的 24%。調整後淨利潤為 900 萬美元，即稀釋後每股收益 0.17 美元，而一年前為 700 萬美元，即稀釋後每股收益 0.14 美元。

For the 3 months ended June 30, we generated $12 million in cash flow from operations. We also reduced capital expenditures by $2 million versus prior year and repaid the $20 million we had outstanding on our revolving credit facility this quarter. We ended Q1 with $54 million in cash on hand compared to a cash balance of $61 million a year ago. Liquidity remained strong with the combination of our cash balance and access to our revolving credit facility sitting at over $100 million. We expect our cash priorities to remain on fortifying the balance sheet during the COVID-19 pandemic, investing behind our 5 strategic imperatives, and supporting strategic extensions to fuel long-term growth.

截至 6 月 30 日的 3 個月，我們的運營現金流為 1,200 萬美元。我們還比去年減少了 200 萬美元的資本支出，並償還了本季度循環信貸額度中未償還的 2000 萬美元。截至第一季度末，我們手頭現金為 5,400 萬美元，而一年前的現金餘額為 6,100 萬美元。我們的現金餘額和循環信貸額度超過 1 億美元，流動性依然強勁。我們預計我們的現金優先事項仍將是在 COVID-19 大流行期間強化資產負債表、投資支持我們的 5 項戰略要務以及支持戰略擴展以推動長期增長。

From an outlook standpoint, our full year fiscal '21 guidance remains suspended. The performance we delivered in Q1 was strong, but we are cautious not to anchor near term expectations on a quarter with multiple external variables in play. We expect the overall economic environment to remain quite volatile. We also expect consumer behavior to remain impacted by COVID-19 at least through the end of the calendar year, if not our full fiscal year.

從展望的角度來看，我們的 21 財年全年指引仍暫停。我們在第一季度的表現強勁，但我們謹慎行事，不要將近期預期錨定在多個外部變量發揮作用的季度上。我們預計整體經濟環境仍將相當不穩定。我們還預計，即使不是整個財年，消費者行為至少在日曆年末仍將受到 COVID-19 的影響。

While we experienced double-digit growth in tracked channel data in the back half of the quarter, we expect to see a leveling off as the first round of stimulus dollars dries up and as we cycle the price increase we implemented last summer. Additionally, we are seeing a great deal of volatility in our recent sales data, especially as COVID-19 cases surge across the U.S. We expect this also to impact tracked channel results in the near term.

雖然我們在本季度後半段的跟踪渠道數據中經歷了兩位數的增長，但隨著第一輪刺激資金的枯竭以及我們去年夏天實施的價格上漲的循環，我們預計會趨於平穩。此外，我們發現最近的銷售數據存在很大波動，特別是隨著美國各地 COVID-19 病例激增，我們預計這也會在短期內影響跟踪的渠道結果。

On the expense front, we continue to take steps to reduce where we can while still investing in our long-term growth. As stated last quarter, we did not expect savings in Q1 but expected some progress in Q2. Given the improvement in sales since the start of Q1, increased operational costs associated with the sales shift toward elfcosmetics.com and our current plan to keep marketing and digital in the 12% to 14% range for the year, we do not expect to see material cost savings on a year-over-year basis. We expect to have stronger gross margin if the shift in e-commerce remains with net margins partially offset within SG&A.

在費用方面，我們繼續採取措施盡可能減少費用，同時仍然投資於我們的長期增長。正如上季度所述，我們預計第一季度不會出現節省，但預計第二季度會取得一些進展。鑑於自第一季度開始以來銷售的改善、銷售轉向 elfcosmetics.com 相關的運營成本增加以及我們當前計劃將今年的營銷和數字化比例保持在 12% 至 14% 的範圍內，我們預計不會出現材料成本同比節省。如果電子商務的轉變仍然存在，並且淨利潤在銷售、一般管理費用（SG&A）中被部分抵消，我們預計毛利率將會更高。

We will also have certain costs related to our strategic extensions that we expect to treat as adjustments to SG&A for the balance of the year. Examples include integration cost on W3LL People and development costs on Project Superwoman. We expect $5 million to $7 million of working capital and CapEx investment across these brands in fiscal 2021 as we prepare for retailer distribution. This aligns with our cash priorities, leveraging our existing cash to invest in long-term growth.

我們還將產生與戰略擴展相關的某些成本，我們預計將其視為對今年剩餘時間的銷售、管理和行政費用（SG&A）的調整。示例包括 W3LL People 的集成成本和 Project Superwoman 的開發成本。當我們為零售商分銷做準備時，我們預計 2021 財年這些品牌的營運資金和資本支出投資將達到 500 萬至 700 萬美元。這與我們的現金優先事項相一致，利用我們現有的現金投資於長期增長。

Lastly, I cannot express how excited I am about Project Superwoman. Adding this brand plus W3LL People to our portfolio reflects our deep commitment to inclusive, accessible and cruelty-free beauty. From a financial standpoint, our interests are aligned with Alicia's with a royalty and milestone-based fee structure that leverages both cash and e.l.f. Beauty equity. We believe this brand is both distinctive and complementary to our portfolio and allows us to leverage the cost structure we have in place as we scale it up.

最後，我無法表達我對《女超人計劃》的興奮之情。將這個品牌和 W3LL People 添加到我們的產品組合中體現了我們對包容、平易近人且無殘忍的美麗的堅定承諾。從財務角度來看，我們的利益與艾麗西亞的利益一致，採用基於特許權使用費和基於里程碑的費用結構，利用現金和 e.l.f.美麗股權。我們相信這個品牌既獨特又與我們的產品組合相輔相成，使我們能夠在擴大規模時利用現有的成本結構。

While we expect the short term to be quite volatile and uncertain, we continue to believe in our long-term economic model once the retail environment returns to normalcy. We believe that our digital strength and core value proposition will enable us to continue to outpace the category and position the e.l.f. brand for growth. And with the addition of W3LL People and Project Superwoman, we believe that the higher end of our long-term economic model can be achieved.

雖然我們預計短期內將相當不穩定和不確定，但一旦零售環境恢復正常，我們仍然相信我們的長期經濟模型。我們相信，我們的數字實力和核心價值主張將使我們能夠繼續超越同類產品，並定位 e.l.f.品牌成長。隨著 W3LL People 和 Project Superwoman 的加入，我們相信我們可以實現長期經濟模型的更高端。

With that, I'll turn the presentation back to Tarang.

接下來，我將把演示轉回塔朗。

Thanks, Mandy.

謝謝，曼迪。

This is indeed an exciting time for e.l.f. Beauty. We are taking market share and believe we're well positioned to ride out the current storm. We continue to fuel our momentum on e.l.f. Cosmetics as well as develop additional growth vectors behind W3LL People and Project Superwoman. What gives me great confidence in our long-term potential in white space is a set of competitive advantages that we possess. We have the right team with an employee base at 73% female, 60% millennial and 46% diverse, representing the consumers that we serve. We're 1 of only 9 public companies with a Board of Directors composed of 67% women. We know our consumers and how to engage them with our #1 mass e-commerce site and reach on key digital platforms. We know how to make products people want with a unique ability to launch Holy Grail first-to-mass products.

對於 e.l.f 來說，這確實是一個激動人心的時刻。美麗。我們正在佔領市場份額，並相信我們有能力渡過當前的風暴。我們繼續在 e.l.f. 上推動我們的勢頭。化妝品以及開發 W3LL People 和 Project Superwoman 背後的額外增長載體。我們擁有的一系列競爭優勢讓我對我們在空白領域的長期潛力充滿信心。我們擁有合適的團隊，員工群體中 73% 為女性，60% 為千禧一代，46% 為多元化員工，代表了我們所服務的消費者。我們是僅有的 9 家董事會由 67% 女性組成的上市公司之一。我們了解我們的消費者，也了解如何讓他們與我們排名第一的大眾電子商務網站互動並覆蓋主要數字平台。我們知道如何生產人們想要的產品，並具有推出聖杯首批批量產品的獨特能力。

We move at e.l.f. speed with the ability to bring new products to market in as few as 13 weeks. We have world-class operations providing us the best combination of cost, quality and speed. We know how go to market and grow through our strong relationships with our national retail partners. We have significant opportunities in both additional space and geographies. We know how to build brands as we move from a single-brand company to a multi-brand house.

我們搬到 e.l.f.能夠在短短 13 週內將新產品推向市場。我們擁有世界一流的運營能力，為我們提供了成本、質量和速度的最佳組合。我們知道如何通過與全國零售合作夥伴的牢固關係進入市場並實現增長。我們在額外的空間和地理位置上都擁有重要的機會。當我們從單一品牌公司轉變為多品牌公司時，我們知道如何打造品牌。

While these remain difficult times, we are optimistic in the long-term potential of this company.

儘管目前仍然是困難時期，但我們對該公司的長期潛力感到樂觀。

With that, operator, you may open the call to questions. For those who'd like to ask a question, please do so through a separate dial-in line noted on the screen. Those not asking questions can hear the question-and-answer session through the webcast. We'll pause a few minutes for those seeking to ask questions to queue up on the dial-in line.

這樣，接線員，您就可以開始提問。對於那些想提問的人，請通過屏幕上註明的單獨撥入線路進行提問。那些沒有提問的人可以通過網絡廣播聽到問答環節。我們將暫停幾分鐘，讓那些想要提問的人在撥入線路上排隊。

(Operator Instructions) And our first question will come from Erinn Murphy with Piper Sandler.

（操作員說明）我們的第一個問題將來自 Erinn Murphy 和 Piper Sandler。

Great. Congrats on a strong first quarter. My question -- my first question is really around the progression of trends that you guys saw in the quarter. Maybe if you could speak to what you thought mass from a replenishment perspective. And then at Ulta specifically, since that was closed for part of the quarter, what did you start to see as that channel or that retailer opened up mid quarter?

偉大的。祝賀第一季度表現強勁。我的問題——我的第一個問題實際上是關於你們在本季度看到的趨勢的進展。也許你可以從補充的角度談談你認為的質量。然後，特別是在 Ulta，由於該渠道在本季度的部分時間關閉，當該渠道或零售商在季度中期開放時，您開始看到什麼？

Yes. So in terms of what we saw within the quarter, it was quite a volatile quarter. So if you recall, when we were in April, our trends were down about 30% in tracked channels. And then towards the back half of the quarter, we really saw an acceleration and we believe that was primarily driven by stimulus and the extra unemployment benefit that our consumers were receiving. I would say that from an Ulta standpoint, we saw strong growth in e-commerce with Ulta. But to your point, their stores were closed most of the quarter so that we did not have any sales growth there for Q1.

是的。因此，就我們在本季度看到的情況而言，這是一個相當不穩定的季度。因此，如果您還記得，當我們 4 月份時，我們跟踪渠道的趨勢下降了約 30%。然後到本季度後半段，我們確實看到了加速增長，我們認為這主要是由刺激措施和消費者獲得的額外失業救濟推動的。我想說，從 Ulta 的角度來看，我們看到了 Ulta 電子商務的強勁增長。但就您而言，他們的商店本季度大部分時間都關閉，因此我們第一季度的銷售額沒有任何增長。

Okay. And then I guess my second question is really around Project Superwoman. Given the pricing of this brand, I think, Tarang, you talked about entry-level prestige. How are you thinking about the channel opportunity there? Will you be working with new retailers? And then you've referenced it as kind of a lifestyle brand, I'm curious if you're thinking about more wellness in addition to skin and cosmetics and some of the anchors that you do so well.

好的。然後我想我的第二個問題實際上是關於女超人計劃的。考慮到這個品牌的定價，我認為，塔朗，你談到了入門級的聲望。您如何看待那裡的渠道機會？您會與新零售商合作嗎？然後你將其稱為一種生活方式品牌，我很好奇，除了皮膚和化妝品以及你做得很好的一些主打產品之外，你是否還在考慮更多的健康。

Erinn, we're thrilled about working with Alicia Keys on a new lifestyle beauty brand. What we mean by lifestyle beauty brand is this brand is much more than just product alone. Alicia is someone of real substance who has meaningful things to say on beauty, wellness, inclusivity, many of the core values that we stand for. So in terms of your question on channel mix, as a digitally native brand ourselves, our first focus will be online. There's a tremendous amount of content and advice that we can share that we will want to do through digital engagement first. We'll be revealing more on the brand, including the brand name, lineup and retail partnerships probably by the time of our November call.

艾琳（Erinn），我們很高興能與艾麗西亞·凱斯（Alicia Keys）合作打造一個新的生活方式美容品牌。我們所說的生活方式美容品牌是指這個品牌不僅僅是產品。艾麗西亞（Alicia）是一個真正有內涵的人，她對美麗、健康、包容性以及我們所代表的許多核心價值觀有著有意義的看法。因此，就您關於渠道組合的問題而言，作為一個數字原生品牌，我們的首要關注點將是在線。我們可以分享大量的內容和建議，我們希望首先通過數字參與來實現這些內容和建議。我們可能會在 11 月份的電話會議上透露有關該品牌的更多信息，包括品牌名稱、產品陣容和零售合作夥伴關係。

Our next question will come from Andrea Teixeira with JPMorgan.

我們的下一個問題將來自摩根大通的 Andrea Teixeira。

And first of all, congratulations on the partnership with Alicia. You cannot find, I would say, a more inspiration ambassador and also on your first quarter results, very impressive. So I wanted to just understand and perhaps make sure that we understand correctly from Mandy's comment around the margin. Obviously, the puts and takes of the gross margin will be less impact -- less positively impacted this quarter than before. But I was just thinking of your elevated -- you anniversarying -- first of all, on the gross margin, understanding you're anniversarying the price increase. So I was curious to see how much that impacted the last year's quarter so that we can take that off and also how we should be thinking on the elevated SG&A. I think when I saw the numbers from my math, I think you kind of like increased and you're anniversarying those investments now. So I was curious to see like are you implying margins are going to be flattish? Or you're still going to see an improvement in margins on an EBIT level, but that being said, less improvement than we saw in the prior quarter?

首先，祝賀與艾麗西亞的合作。我想說，你找不到比這更鼓舞人心的大使了，而且你的第一季度業績也非常令人印象深刻。所以我只是想理解並也許確保我們正確理解曼迪在邊緣的評論。顯然，看跌期權和看跌期權對毛利率的影響將較小——本季度受到的積極影響比以前要小。但我只是在考慮你的提升——你的周年慶——首先是毛利率，了解你正在慶祝價格上漲。因此，我很好奇這對去年季度的影響有多大，以便我們能夠擺脫這一影響，以及我們應該如何考慮提高的銷售管理費用。我想當我看到數學中的數字時，我想你有點喜歡增加，你現在正在慶祝這些投資。所以我很好奇你是否暗示利潤率將持平？或者您仍然會看到息稅前利潤水平有所改善，但話雖這麼說，但改善程度比我們在上一季度看到的要少？

Yes. Okay. Andrea, I will start with the top. So your question on gross margin. So our gross margin was -- we picked up a benefit this quarter because of the shift in e-commerce. And so that benefit was probably about 200 basis points that we saw there in the quarter. Now to the extent that consumers shift back to normal in store shopping patterns, that gross margin benefit will roll away on a sequential basis.

是的。好的。安德里亞，我將從頂部開始。所以你的問題是關於毛利率的。因此，我們的毛利率是——由於電子商務的轉變，我們在本季度獲得了收益。因此，我們在本季度看到的收益可能約為 200 個基點。現在，只要消費者恢復正常的商店購物模式，毛利率收益就會依次消失。

In terms of pricing, Q2 is when we implemented the pricing last year. So that's when we'll start to cycle that impact. And pricing overall was somewhere in the range of 200 to 300 basis points of benefit for gross margin standpoint.

在定價方面，第二季度是我們去年實施定價的時候。所以那時我們將開始循環這種影響。從毛利率的角度來看，總體定價在 200 至 300 個基點的收益範圍內。

And then on SG&A, we are anniversarying some of the investments that we made in our infrastructure behind our marketing and innovation and digital capabilities. So that is one of the drivers of why you see SG&A higher on the quarter as well as on a dollar basis, incremental costs, incremental investment in marketing and digital. And then also, as I talked about, the e-commerce shift, we got the benefit in gross margin, but there's also incremental costs that come into the SG&A line, so those you picked up in SG&A in this quarter.

然後，在 SG&A 方面，我們正在慶祝我們在營銷、創新和數字能力背後的基礎設施方面進行的一些投資。因此，這就是為什麼您會看到本季度以及按美元計算的 SG&A 較高的驅動因素之一、增量成本、營銷和數字方面的增量投資。然後，正如我談到的，電子商務的轉變，我們獲得了毛利率的好處，但也有增量成本進入 SG&A 線，所以你在本季度的 SG&A 中看到了這些成本。

And in terms of adjusted EBITDA and margins on the outlook, I mean we have suspended guidance. So I can't really give you a ton of direction on that in terms of expectations. But I can say that as we think about marketing investment, we only had 11% this quarter, that certainly we want to get up into that 12% to 14% range for the balance of the year.

就調整後的 EBITDA 和前景利潤率而言，我的意思是我們已經暫停了指導。因此，就期望而言，我無法給您太多指導。但我可以說，當我們考慮營銷投資時，本季度我們只有 11%，當然我們希望在今年剩餘時間里達到 12% 到 14% 的範圍。

Our next question will come from Steph Wissink with Jefferies.

我們的下一個問題將由杰弗里斯的斯蒂芬·維辛克提出。

Also congratulations from us on a strong quarter. Tarang, I want to start with you, just a question on your comments on space gains. You assigned those gains to skincare. So I'm curious if you can talk a little bit about your agenda on skin, specifically at Walmart and also with those space gains. And I think you've also referenced the partnership with Alicia will include some skincare. So maybe just talk broadly about your agenda with skincare over the course of the next 6 and 12 months.

我們也對強勁的季度表示祝賀。Tarang，我想先問你一個關於你對太空收益的評論的問題。您將這些收益分配給了護膚品。所以我很好奇你是否能談談你在皮膚方面的議程，特別是在沃爾瑪，以及那些空間收益。我想你也提到了與艾麗西亞的合作將包括一些護膚品。因此，也許只是廣泛地討論您未來 6 個月和 12 個月的護膚議程。

Sure, Steph. What I'd tell you is skincare has been a strategic importance to us for the last couple of years, and we continue to pour more into skincare, both from an innovation standpoint as well as what we've seen in our momentum and growth trends. So I talked in our prepared remarks, skincare as a total percentage of our business is 9%, but represents 25% of our elfcosmetics.com business. So we see quite a bit of room to grow in skincare, particularly as we get larger retail footprints on skincare.

當然，斯蒂芬。我要告訴你的是，在過去的幾年裡，護膚品對我們來說一直具有戰略重要性，無論是從創新的角度還是從我們的勢頭和增長趨勢來看，我們都將繼續在護膚品領域投入更多資金。 。所以我在我們準備好的發言中談到，護膚品占我們業務總量的比例是 9%，但占我們 elfcosmetics.com 業務的 25%。因此，我們看到護膚品領域有相當大的增長空間，特別是當我們在護膚品領域獲得更大的零售足跡時。

The most developed customer we have right now on skincare is Target where we do have more space. So as we pick up more space in other retailers, including Ulta Beauty and Walmart this fall, it gives us the opportunity to get more of our skincare items in. So we continue to see greater strength in skincare as we're able to get a bigger footprint there. And our innovation on skincare is definitely resonating. The Cannabis Sativa lines, our recent CBD, Full Spectrum CBD line as well as our Supers line, all delivered important results to the quarter, and we have a great pipeline for the future.

目前我們在護膚品方面最發達的客戶是 Target，我們確實有更多的空間。因此，隨著今年秋天我們在 Ulta Beauty 和沃爾瑪等其他零售商那裡獲得更多空間，我們就有機會購買更多護膚品。因此，隨著我們能夠在護膚品領域取得更大的影響力，我們將繼續看到更大的實力。我們在護膚品方面的創新肯定會引起共鳴。Cannabis Sativa 系列、我們最近的 CBD、Full Spectrum CBD 系列以及我們的 Supers 系列都在本季度取得了重要成果，並且我們為未來擁有良好的產品線。

And then in terms of our new lifestyle beauty brand with Alicia Keys, a lot of that was born really through Alicia's personal journey and struggles in skincare and what she has to say on overall beauty. And so that line is much more than just product, but certainly will have a focus initially on skincare where we've also developed a multi-category, multi-year pipeline on that business.

然後，就我們與 Alicia Keys 合作的新生活方式美容品牌而言，其中很多內容實際上是通過 Alicia 的個人旅程、在護膚方面的掙扎以及她對整體美容的看法而誕生的。因此，該系列不僅僅是產品，但肯定會首先關注護膚品，我們還在該業務上開發了多類別、多年的產品線。

And the last thing I'll tell you on skincare is we continue to increase our capabilities in this area. Dr. Renee Snyder, who's one of the co-founders of W3LL PEOPLE and a board-certified dermatologist, has actually aided our innovation team in the development of some of the products for Alicia Keys' line as well as what we're doing on W3LL PEOPLE.

關於護膚品，我要告訴您的最後一件事是我們將繼續增強我們在這一領域的能力。Renee Snyder 博士是 W3LL PEOPLE 的聯合創始人之一，也是一名經過委員會認證的皮膚科醫生，她實際上幫助我們的創新團隊開發了 Alicia Keys 系列的一些產品以及我們正在做的事情W3LL 人。

Tarang, could I do one follow-up, just on your new to customer file? I think you mentioned 50% of your purchases were from new customers and 65% on elf.com. Any unique cohort insights on those new customers that you're finding new to file?

Tarang，我可以對您的新客戶檔案進行一次跟進嗎？我想您提到過 50% 的購買來自新客戶，65% 是在 elf.com 上購買的。您對新發現的新客戶有什麼獨特的群組見解嗎？

Yes. We're really pleased to see the level of new consumers coming to our brand. We -- the initial view that we have is a combination of consumers coming to us from legacy brands on the mass side as well as trade down from prestige. So the specific stats are about 56% of consumers in retail came to us are new consumers, and over 65% on elfcosmetics.com. We'll get better profiles of that over time. That's just 1 quarter's worth of data. So a lot of that will depend how many of them are we able to retain, but we're really pleased by how many new consumers are coming into the franchise.

是的。我們非常高興看到新消費者選擇我們的品牌。我們最初的觀點是，來自大眾傳統品牌的消費者和來自聲望的消費者的結合。所以具體的統計數據是，來到我們這裡的零售消費者中大約有56%是新消費者，而在elfcosmetics.com上這一比例超過65%。隨著時間的推移，我們將獲得更好的資料。這只是 1 個季度的數據。因此，這在很大程度上取決於我們能夠留住多少消費者，但我們對有多少新消費者加入該系列感到非常高興。

Our next question will come from Linda Weiser with D.A. Davidson.

我們的下一個問題將由 Linda Weiser 和 D.A. 提出。戴維森。

I'm wondering if you could update us on your international business, specifically what retailers you have distribution in in Europe and the U.K. And just talk about some of your aspirations there. And also, is there any long-term plans for penetrating the Chinese beauty market?

我想知道您是否可以向我們介紹一下您的國際業務的最新情況，特別是您在歐洲和英國有哪些分銷商，並談談您在那裡的一些願望。另外，有沒有進軍中國美容市場的長期計劃？

Linda, so let me take that question. On the international business, I would say for the quarter, international, a similar story to what we saw here in the U.S. So our international online business was very strong with the international retailers, if you think about our presence in the U.K. at Boots and Superdrug were closed. Those stores were closed most of the quarter as well. So we saw growth overall in international, but it was driven by e-commerce. And so I would say, international is definitely still an important piece of our business and tremendous white space remains in that market.

琳達，讓我回答這個問題。關於國際業務，我想說的是，本季度的國際業務與我們在美國看到的情況類似。因此，如果您考慮一下我們在英國的 Boots 和超級藥物被關閉。這些商店在本季度的大部分時間裡也都關門了。因此，我們看到國際市場整體增長，但這是由電子商務推動的。所以我想說，國際市場絕對仍然是我們業務的重要組成部分，並且該市場仍然存在巨大的空白。

And then in terms of China, I'm going to pass it to Tarang to speak more about that.

然後就中國而言，我將把它交給塔朗來更多地談論這一點。

Sure. We have high hopes for our business in China as well. Our business in China right now is 100% online, really through some of the key marketplaces like TMall and JD. What we find in China e-commerce is really important as a brand value standpoint for us is having been manufactured in-country. Our ability to go through a different regulatory scheme where we are guaranteed our cruelty-free status. And so that's for at least the foreseeable future until regulations change, the only aspirations we'll have will be on e-commerce, but it happens to be the largest e-commerce market in the world. And I'd say we're still very much in the early days in terms of our penetration there, but it's a key area of focus.

當然。我們對中國的業務也寄予厚望。目前我們在中國的業務 100% 在線，實際上是通過天貓和京東等一些主要市場進行的。我們在中國電子商務中發現的東西非常重要，因為對我們來說，品牌價值的立足點是在國內製造。我們有能力通過不同的監管計劃，保證我們的無殘忍狀態。因此，至少在可預見的未來，在法規發生變化之前，我們唯一的願望將是電子商務，但它恰好是世界上最大的電子商務市場。我想說，就滲透率而言，我們仍處於早期階段，但這是一個重點關注領域。

Our next question will come from Oliver Chen with Cowen.

我們的下一個問題將由奧利弗·陳和考恩提出。

Congrats on the new brand. Regarding Project Superwoman and Alicia Keys, what are your thoughts on the long-term opportunity of this brand relative to e.l.f.? And how you're thinking about the AUR as well as points of distribution more broadly relative to your presence at e.l.f.? And would also -- thanks for the details on skincare as well. As we model that going forward, are there implications for AUR and/or margin as that looks like a nice opportunity to continue to grow that mix? And where might that mix go over time?

恭喜新品牌。關於 Project Superwoman 和 Alicia Keys，您對該品牌相對於 e.l.f. 的長期機會有何看法？您如何看待 AUR 以及與您在 e.l.f. 相關的更廣泛的分銷點？並且還要感謝您提供有關護膚的詳細信息。當我們對此進行建模時，AUR 和/或利潤率是否會受到影響，因為這看起來是繼續擴大這一組合的好機會？隨著時間的推移，這種混合會走向何方？

Sure. Oliver, so we are thrilled to work with Alicia Keys. And one of the things that attracted us to Alicia was not only her long-standing vision and mission as she thinks of beauty much broader and greater depth than many others, but the fact that she's not just a celebrity, she's much more. She's a person of real substance, not only the 15-time Grammy Award winner, artist, producer, now even the best -- New York Times' best-selling author with her memoir, More Myself. She has real substance. And so a big part of this work with her is really developing a long-term vision for the brand. So as I mentioned earlier, we've already mapped out a multi-year product pipeline as well as other things that we can do. And so we're really excited.

當然。奧利弗，所以我們很高興與艾麗西亞·凱斯合作。艾麗西亞吸引我們的原因之一不僅是她長期以來的願景和使命，因為她對美的看法比其他許多人更廣泛和更深層次，而且事實上她不僅僅是名人，她還有更多的意義。她是一個真正有內涵的人，不僅是 15 次格萊美獎得主、藝術家、製作人，現在甚至是最好的——《紐約時報》暢銷書作家，她的回憶錄《更多我自己》。她有真材實料。因此，與她合作的很大一部分實際上是為品牌制定長期願景。正如我之前提到的，我們已經制定了多年產品管道以及我們可以做的其他事情。所以我們真的很興奮。

And then in terms of how that relates to e.l.f., I would say one of the really exciting things about the company right now is we continue to see a great deal of white space on e.l.f. whether it be on space, bringing new consumers to our brand, our level of innovation, overall value equation, you add to that W3LL PEOPLE, a clear pioneer in clean beauty as well as this lifestyle beauty brand with Alicia Keys, we think creates a much stronger portfolio for us as a company such that we have greater confidence once things return to normalcy of hitting the higher end of that long-term economic model that Mandy previously shared.

然後就這與 e.l.f. 的關係而言，我想說，該公司目前真正令人興奮的事情之一是我們繼續在 e.l.f. 上看到大量的空白。無論是在空間上、為我們的品牌帶來新消費者、我們的創新水平、整體價值等式，還是清潔美容領域的先驅者W3LL PEOPLE 以及艾麗西亞·凱斯(Alicia Keys) 打造的生活方式美容品牌，我們認為它創造了一個作為一家公司，我們的投資組合更加強大，一旦一切恢復正常，達到曼迪之前分享的長期經濟模型的高端，我們就有更大的信心。

And then in terms of mix, you've definitely heard right that consumers who buy skincare on elfcosmetics.com have a $10 higher average order value than consumers who only buy cosmetics. Skincare, while still an extraordinary value from an e.l.f. standpoint does have a higher mix from a price standpoint. So as that happens over time, we would expect the AURs of the company to increase as the skincare proportion of the overall business increases.

然後就組合而言，您肯定聽說過，在 elfcosmetics.com 上購買護膚品的消費者的平均訂單價值比只購買化妝品的消費者高出 10 美元。護膚品，同時仍然具有來自 e.l.f. 的非凡價值。從價格的角度來看，確實有更高的組合。因此，隨著時間的推移，我們預計公司的 AUR 會隨著護膚品在整體業務中所佔比例的增加而增加。

Okay. Lastly, on innovation and ahead. Regarding ingredients and your thinking about R&D specific to ingredients and proprietary technology you can develop internally, what's on your mind or road map in terms of differentiating yourself from an ingredient innovation perspective?

好的。最後，關於創新和前進。關於成分以及您對特定於成分的研發和可以在內部開發的專有技術的想法，您對從成分創新角度實現差異化有何想法或路線圖？

Well, we've long been focused on ingredients from a standpoint of consumers are increasingly conscious of the ingredients that are in their products. So a while ago, we formulated away from parabens, phthalates, other ingredients consumers did not want to see in their products. What you heard from this last quarter is a real focus on ingredients and wellness, particularly in our skincare products. Our Cannabis Sativa, Full Spectrum CBD lines, even our Supers collection that has niacinamide in it, definitely have a very strong ingredient focus.

嗯，我們長期以來一直關注成分，因為消費者越來越意識到其產品中的成分。因此，不久前，我們在配方中不含對羥基苯甲酸酯、鄰苯二甲酸鹽以及消費者不希望在產品中看到的其他成分。您從上個季度聽到的是對成分和健康的真正關注，特別是在我們的護膚產品中。我們的 Cannabis Sativa、全譜 CBD 系列，甚至我們含有煙酰胺的 Supers 系列，絕對有非常強烈的成分關注。

I think bringing W3LL PEOPLE into the company gives us even stronger capability in this area, plant-powered, clean beauty brand that has not only one of the highest standards in clean beauty labels, but our ability to really take lessons from that, apply it to not only e.l.f., but also what we do on the new lifestyle beauty brand we create with Alicia Keys really you see greater focus on the ingredients that are in our products, and I feel great about our capabilities in that regard.

我認為將 W3LL PEOPLE 引入公司可以讓我們在這個領域擁有更強大的能力，這個以植物為動力的清潔美容品牌不僅擁有清潔美容標籤的最高標準之一，而且我們有能力真正從中吸取教訓並應用它不僅是e.l.f.，還有我們與Alicia Keys 共同創建的新生活方式美容品牌，您會發現我們更加註重我們產品中的成分，我對我們在這方面的能力感到非常滿意。

Our next question will come from Dara Mohsenian with Morgan Stanley.

我們的下一個問題將由摩根士丹利的 Dara Mohsenian 提出。

Can you discuss the opportunity for shelf space gains at brick-and-mortar in the fall? And as we look out to calendar 2021 in color, building on the earlier question on skincare, your share gains were obviously very strong this quarter and a lot of your larger share competitors saw some pretty substantial declines. So I'm just wondering if the recent performance drives more of a step change in shelf space opportunity going forward in color over the next year or so?

您能否討論一下秋季實體店貨架空間增加的機會？當我們展望 2021 年彩色日曆時，基於之前有關護膚品的問題，本季度你們的份額增長顯然非常強勁，而許多份額較大的競爭對手則出現了相當大的下降。因此，我只是想知道最近的表現是否會在未來一年左右推動色彩的貨架空間機會發生更多的階躍變化？

And then secondly, also on the same subject, were there shelf space changes from this spring that were delayed as a result of COVID? Is it realistic to expect changes this fall? Or are retailers still pretty apprehensive about making changes to their shelves in this COVID environment?

其次，同樣是在同一主題上，今年春季以來是否有貨架空間變化因新冠疫情而被推遲？預計今年秋天發生變化是否現實？或者零售商是否仍然對在新冠疫情環境下改變貨架感到非常擔心？

So Dara, I'd say we have great potential when it comes to shelf space gains in color. And in fact, the gains that we're going to pick up at Walmart and Ulta include both color as well as skincare. So let me -- our preferred sets are expanding the space we already have on e.l.f. and housing skincare within our e.l.f. set. That's the approach that we've taken at Target and has done very, really well with -- for us. Walmart will follow a similar approach as they expand shelf space in a subset of their doors.

所以，達拉，我想說，在增加貨架空間顏色方面，我們有很大的潛力。事實上，我們將在沃爾瑪和 Ulta 獲得的收益包括色彩和護膚品。所以讓我——我們的首選系列正在擴展我們在 e.l.f. 上已有的空間。並將護膚品存放在我們的 e.l.f. 中放。這就是我們在塔吉特採取的方法，並且對我們來說做得非常非常好。沃爾瑪在擴大部分門內的貨架空間時也將採取類似的方法。

Ulta Beauty has decided to put skincare in their skincare sets, and the additional space will pick up there in the fall, will be in their skincare set. So we'll see a combination in both places, both picking up more space on e.l.f. in our color cosmetic sets where we can put more skincare items in as well as secondary location in the skincare aisles. And we feel good about that.

Ulta Beauty 決定將護膚品放入他們的護膚套裝中，額外的空間將在秋季增加，將放在他們的護膚套裝中。所以我們會在這兩個地方看到一個組合，兩者都在 e.l.f. 上佔據了更多的空間。在我們的彩妝套裝中，我們可以放置更多的護膚品以及護膚品通道的次要位置。我們對此感覺良好。

In terms of our current plans, we're still on track for the gains that we had -- all of our spring resets -- actually, I should back up, all of our spring resets were executed Phase 3 of Project Unicorn, which had much greater focus on visual merchandising, particularly on our key hero items like Poreless Putty Primer and Camo Concealers. Those were executed well and we're definitely seeing the benefits of that Phase 3 Unicorn execution. We are on track for our space gains this fall at both Walmart and Ulta Beauty, and are also hopeful for our future space gains although we do not have confirmation of any of those yet. Those usually come a bit later. And we'll have to see how in this environment where retailers go, but we certainly have much more room when it comes to space gains.

就我們目前的計劃而言，我們仍在取得所取得的成果——我們所有的春季重置——實際上，我應該支持，我們所有的春季重置都是在獨角獸計劃的第三階段執行的，該階段更加註重視覺營銷，特別是我們的主要英雄產品，如無孔膩子底漆和迷彩遮瑕膏。這些都執行得很好，我們肯定看到了第三階段獨角獸執行的好處。今年秋天，我們有望在沃爾瑪和 Ulta Beauty 獲得空間增長，並且對未來的空間增長也充滿希望，儘管我們還沒有得到任何確認。這些通常會晚一些。我們必須看看零售商在這種環境下如何發展，但在空間收益方面，我們當然有更多的空間。

Okay. And has the performance the last few months just to push a bit more there, has that sort of changed the conversations with retailers? Do you think that's given you more incremental opportunity than you would have expected 6 months ago pre-COVID? And then just a different question. In terms of the new customers you picked up, can you talk about how you are trying to hold onto that customer going forward? And maybe repeat rates you've seen early on from some of those new customers? That would also be helpful.

好的。過去幾個月的表現是否只是為了進一步推動這一點，這是否改變了與零售商的對話？您認為這給您帶來的增量機會是否比您 6 個月前新冠疫情爆發前預期的要多？然後是一個不同的問題。就您吸引的新客戶而言，您能談談您今後將如何努力留住該客戶嗎？也許您很早就從其中一些新客戶那裡看到了重複率？這也會有幫助。

Yes. Well, I would say on the space opportunity, I don't believe it's changed the conversation as well as much as continue to strengthen our case. This is the sixth consecutive quarter where we've had net sales growth. Our productivity continues to increase at the key retailers we're at. Our innovation pipeline is bigger and better than most competitors that they see and our consumer profile. All of those really argue for more space. And so I think that conversation is well established. It really comes to the retailer's own strategies and when are they able to make changes to their shelf sets. But the overall case for space, I think, has been well made and is well received by almost all of our retail customers.

是的。好吧，我想說的是，關於太空機會，我不認為它改變了談話，也沒有繼續加強我們的觀點。這是我們連續第六個季度實現淨銷售額增長。我們所在的主要零售商的生產力持續提高。我們的創新渠道比他們看到的大多數競爭對手以及我們的消費者概況更大、更好。所有這些都確實需要更多的空間。所以我認為這種對話已經很確定了。這實際上涉及零售商自己的策略以及他們何時能夠更改其貨架設置。但我認為，空間的總體情況已經做得很好，並且受到幾乎所有零售客戶的好評。

And then in terms of new customers that we've been picking up, I'd say our primary focus there, particularly online, is through our Beauty Squad Loyalty Program. As I mentioned that loyalty program is now up to 2 million members, it's up over 150% versus last year, and will be an increased area of focus for us as we continue to convert those new customers to loyal e.l.f. consumers. And initiatives that we've previously talked about, such as our app and our ability to integrate in receipt scanning where someone can get e.l.f. loyalty points regardless of where they buy their e.l.f. products will help aid in that journey. So our focus is converting more of those new consumers over to our loyalty program and really retaining them over time.

然後就我們已經吸引的新客戶而言，我想說我們的主要重點，特別是在線客戶，是通過我們的 Beauty Squad 忠誠度計劃。正如我提到的，忠誠度計劃現在擁有 200 萬會員，比去年增加了 150% 以上，隨著我們繼續將這些新客戶轉化為忠誠的 e.l.f.，這將成為我們更加關注的領域。消費者。以及我們之前討論過的舉措，例如我們的應用程序以及我們集成收據掃描的能力，人們可以在其中獲取 e.l.f.忠誠度積分，無論他們在哪裡購買 e.l.f.產品將有助於這一旅程。因此，我們的重點是將更多的新消費者轉變為我們的忠誠度計劃，並隨著時間的推移真正留住他們。

Our next question will come from Bill Chappell with Truist Securities.

我們的下一個問題將來自 Truist Securities 的 Bill Chappell。

Tarang, going back to the Project Superwoman, I mean, you know as well as anybody the pros and cons of kind of a celebrity endorsement and kind of a celebrity brand. And just trying to understand the thought process because it's obviously different marketing, advertising, everything that comes with that type of brand versus where e.l.f. has been. But also maybe financially, does it mean that you're going to have to take up marketing and advertising beyond the 12% to 14% to really launch a brand new brand and make a big splash? Or do you look to it being like e.l.f. was, kind of slowly but surely building out a presence over a number of years?

塔朗，回到女超人計劃，我的意思是，你和任何人一樣知道名人代言和名人品牌的利弊。只是試圖理解思維過程，因為這顯然是不同的營銷、廣告以及該類型品牌所帶來的一切。一直是。但也許從財務角度來看，這是否意味著你必須投入超過 12% 到 14% 的營銷和廣告才能真正推出一個全新品牌並引起轟動？或者你認為它像 e.l.f.是，多年來緩慢但堅定地建立了存在？

Yes. So first of all, Bill, I think one of the things that really attracted us to Alicia Keys is she's more than a celebrity. She has real substance and someone we can see building a brand with long term for many years. And our approach is more consistent with e.l.f. than maybe some of the other models that you're familiar with of those who do celebrity brands. This is really a lifestyle beauty brand for the long term. And so the approach that we take, which is digital first, very much remains intact. Our approach, as we're able to then announce, which retailers will be entering at a later date, I think you'll see a great deal of interest in doing things the e.l.f. way and building this brand for the long term.

是的。首先，比爾，我認為艾麗西亞·凱斯真正吸引我們的原因之一是她不僅僅是一個名人。她有真正的實力，我們可以看到她多年來一直在建立一個長期的品牌。而且我們的方法更符合 e.l.f.也許比你熟悉的做名人品牌的其他一些模特還要多。這確實是一個長期的生活方式美容品牌。因此，我們採取的數字化優先的方法在很大程度上保持不變。我們的方法，正如我們隨後能夠宣布的那樣，哪些零售商將在晚些時候加入，我認為您會看到人們對做 e.l.f. 的事情非常感興趣。的方式並長期打造這個品牌。

In terms of the specific levels of marketing support, we haven't talked about that yet relative to -- we haven't given the overall size of the new lifestyle brand and our approach there. What I would tell you is it is not necessarily the big-bang approach once where we're trying to get as much sales and then you move on to the next thing. This is something we definitely want to build and nurture for the long term.

就營銷支持的具體水平而言，我們還沒有討論過 - 我們還沒有給出新生活方式品牌的總體規模以及我們的方法。我要告訴你的是，一旦我們試圖獲得盡可能多的銷售額，然後你就可以繼續進行下一步，那麼這不一定是大爆炸式的方法。這是我們絕對想要長期建立和培育的東西。

And so I think I've talked previously about this is not one where we're just planning to spend tens of millions of dollars and then forget about the brand. This is something we definitely want to build and the launch plans very much reflect that in terms of leading with content, nurturing online and then taking selective retailer relationships to help further amplify and magnify the brand, all with and hand-in-hand with Alicia Keys, who has an incredible and loyal following.

因此，我想我之前已經談到過，我們不只是計劃花費數千萬美元，然後就忘記這個品牌。這是我們絕對想要建立的東西，發布計劃很大程度上反映了在以內容為主導、在線培育、然後與選擇性零售商關係方面幫助進一步擴大和擴大品牌方面，所有這些都與艾麗西亞攜手並進。凱斯擁有令人難以置信的忠實追隨者。

Got it. And then just in terms of follow-up on cadence, I mean, is this a typical you need to have the brand, the placement, all that done by calendar year-end, so you're ready for shelf planogram resets in the spring? Or will it drag out, well, not drag out? Will it phase out a little bit longer than that?

知道了。然後就節奏的跟進而言，我的意思是，這是典型的嗎？您需要在日曆年末之前完成品牌、佈局等所有工作，以便您準備好在春季重置貨架圖？或者它會拖延，好吧，不拖延？它的淘汰時間會比這更長一點嗎？

We haven't given the specific timing, but what I would say is we'll lead online, and then you'll see retail penetration a bit later. We will probably be in a better position to talk some of those specific plans on our next call.

我們還沒有給出具體的時間安排，但我想說的是，我們將在網上領先，然後你稍後就會看到零售滲透率。我們可能會在下次電話會議上更好地討論其中一些具體計劃。

Got it. And then just one last one there. Do you see having more brands? You said now a multi-brand and with W3LL PEOPLE, e.l.f. and this, is that enough? Or do you see -- are there other areas you could go down the road?

知道了。然後只有最後一張。您認為有更多品牌嗎？你說現在是一個多品牌，並且有 W3LL PEOPLE、e.l.f.還有這個，夠了嗎？或者你是否看到——未來還有其他可以發展的領域嗎？

We definitely see other places we can go. The overall strategy or the strategic framework is taking the capabilities we have in team and our infrastructure and applying them to other fast-growing emerging brands. I would say we have our hands full for the time being, particularly with the tremendous white space we have on e.l.f., our plans for W3LL PEOPLE, including the sneak peek we gave on the brand recharge and what we can do on that brand. And then obviously, our excitement on the lifestyle beauty brand with Alicia Keys. But we are open to other tuck-in acquisitions as well as brands we create. We don't have any immediate plans for that given our focus on these 3 brands, but it is something that you could see in the future as part of our overall strategic framework and leveraging the team and capabilities that we've built.

我們肯定會看到其他我們可以去的地方。總體戰略或戰略框架是將我們在團隊和基礎設施方面的能力應用於其他快速增長的新興品牌。我想說，我們暫時忙得不可開交，特別是我們在 e.l.f. 上有巨大的空白，我們對 W3LL PEOPLE 的計劃，包括我們對品牌充電的先睹為快以及我們可以在該品牌上做些什麼。顯然，我們對艾麗西亞·凱斯 (Alicia Keys) 的生活方式美容品牌感到興奮。但我們對其他收購以及我們創建的品牌持開放態度。鑑於我們對這三個品牌的關注，我們沒有任何立即的計劃，但你可以在未來看到它作為我們整體戰略框架的一部分，並利用我們已經建立的團隊和能力。

Our next question will come from Jon Andersen with William Blair.

我們的下一個問題將由喬恩·安德森和威廉·布萊爾提出。

Just 2 quick ones from me. Tarang, you mentioned that Phase 3 of Project Unicorn was largely, I think, complete this spring. Can you talk about -- are there additional efforts wrapped in Unicorn that we should expect to see during coming quarters? Or do you kind of view it now as mission accomplished with respect to that effort and refocus on other areas going forward?

我只有 2 個快速的。Tarang，你提到獨角獸計劃的第三階段在今年春天已基本完成。您能否談談——我們應該在未來幾個季度看到 Unicorn 中是否有其他的努力？或者您現在是否認為這項工作的使命已經完成，並重新關注未來的其他領域？

Jon, I don't think you're ever going to hear me stop talking about Project Unicorn as it has multiple phases. And if you really look at the objectives of Project Unicorn, they really were to elevate our presentation at shelf in retail settings and increase our productivity. And I don't think that will ever be done. We do like what we're seeing in each successive phase of Unicorn. So the next couple of phases of Unicorn will continue the journey that we had this spring of continuing to be able to elevate our presentation and bring greater visual merchandising to our retailer shelf sets.

喬恩，我認為你永遠不會再聽到我停止談論獨角獸計劃，因為它有多個階段。如果您真正了解獨角獸計劃的目標，您會發現它們確實是為了提升我們在零售環境中的貨架展示並提高我們的生產力。我認為這永遠不會實現。我們確實喜歡在獨角獸的每個連續階段中看到的情況。因此，獨角獸的接下來的幾個階段將繼續我們今年春天的旅程，繼續提升我們的展示水平，並為我們的零售商貨架帶來更好的視覺營銷。

The first Phase 3, as I just mentioned, really focused on some of our core hero items such as Poreless Putty Primer and Camo Concealers, which if you looked at them this year versus last year, it's so much easier to navigate on the shelves and find the areas that we have real strength. We see additional opportunities to continue to elevate that visual merchandising. So in the additional space that we'll pick up this fall at both Walmart and Ulta Beauty, you'll continue to see the evolution of Unicorn there.

正如我剛才提到的，第一個階段3 真正關注的是我們的一些核心英雄產品，例如無孔膩子底漆和迷彩遮瑕膏，如果你今年與去年相比，你會發現在貨架上導航要容易得多，而且找到我們真正有實力的領域。我們看到了繼續提升視覺營銷的更多機會。因此，在今年秋天我們將在沃爾瑪和 Ulta Beauty 提供的額外空間中，您將繼續在那裡看到 Unicorn 的演變。

And we're hoping in future years, particularly next year, as I look at calendar year 2021, the next version of the step change in terms of what e.l.f. looks like on shelf. I mean, I think if you -- at some point, maybe in one of these webcasts, we'll show pictures of what we look like through the successive phases of Unicorn. And it's quite clear in terms of the elevation of the brand and how much easier it is for consumers to navigate, which in turn, has led to much greater productivity, and we still see further room to grow.

我們希望在未來幾年，特別是明年，當我展望 2021 年時，下一個版本的步驟會在 e.l.f. 方面發生變化。看起來像在架子上。我的意思是，我認為如果你——在某個時候，也許在其中一個網絡廣播中，我們將展示我們在獨角獸的連續階段中的樣子的照片。就品牌的提升以及消費者的導航變得更加容易而言，這是非常明顯的，這反過來又帶來了更高的生產力，而且我們仍然看到了進一步的增長空間。

Excellent. You mentioned briefly in your prepared comments that the new liquid fill facility had been delayed due to COVID. Do you have an update on when you think that facility will be production-ready? And are there any capacity constraints that you need to deal with in the near term, given the delays there?

出色的。您在準備好的評論中簡要提到，由於新冠疫情，新的液體灌裝設施已被推遲。您認為該設施何時可以投入生產，您有最新消息嗎？考慮到那裡的延誤，您在短期內是否需要處理任何容量限制？

Yes. So our liquid fill facility in Southern California, unfortunately, has been a victim of the shutdowns related to COVID-19. So we've not been able to do the engineering and installation work necessary. We're still under a lockdown for that particular facility. So I do not have an update on the timing of that facility. I would say it would be later this year, hopefully. And I think we're all hoping for resolution to COVID-19 and returning to normalcy. But I think that will be subject somewhat to our path on when are we back to normal from that standpoint.

是的。不幸的是，我們位於南加州的液體灌裝工廠成為了因新冠肺炎 (COVID-19) 而關閉的受害者。因此我們無法進行必要的工程和安裝工作。我們對該特定設施仍處於封鎖狀態。所以我沒有關於該設施的時間安排的最新消息。我想說，希望是在今年晚些時候。我認為我們都希望 COVID-19 能夠得到解決並恢復正常。但我認為，從這個角度來看，這將在一定程度上取決於我們何時恢復正常的道路。

In terms of capacity, I'd say -- actually, one other thing on the liquid fill facility, the objectives of that facility are still very much intact, which is gives us further supply diversification and also significantly reduces lead times, which we're interested in, particularly as we think of the robustness of our innovation program. So when we are able to open it up, I think we'll have -- we have high hopes on being able to achieve those objectives.

就產能而言，我想說的是，實際上，液體灌裝設施的另一件事是，該設施的目標仍然非常完整，這使我們進一步實現供應多元化，並顯著縮短了交貨時間，我們'我們對此很感興趣，特別是當我們考慮到我們創新計劃的穩健性時。因此，當我們能夠開放它時，我認為我們會對實現這些目標抱有很高的希望。

Meanwhile, I am so proud of our team, our operations team, particularly our team in China. We were one of the first beauty companies to be fully operational after COVID restrictions were lifted. I think we were at full capacity within 5 weeks. We've not seen any meaningful supply disruptions during this volatile time. And our team continues to deliver lean manufacturing savings and ideas for the future. And then from a capacity standpoint, we have plenty of capacity to meet our needs. And a lot of that will be and really incumbent on our planning as we continue to see a lot of volatility in the business, but we feel great about our overall, the strength of our supply chain in that combination of cost, quality and speed we're able to deliver and I think really being put to the test during the COVID-19 pandemic and really coming through that so far with flying colors.

同時，我為我們的團隊、我們的運營團隊，特別是我們在中國的團隊感到非常自豪。我們是新冠疫情限制解除後首批全面運營的美容公司之一。我認為我們在 5 週內就達到了滿負荷生產。在這個動蕩的時期，我們沒有看到任何有意義的供應中斷。我們的團隊將繼續為未來提供精益製造節約和創意。然後從容量的角度來看，我們有足夠的容量來滿足我們的需求。隨著我們繼續看到業務的巨大波動，其中很多將是我們的規劃中真正有責任的，但我們對整體而言，我們的供應鏈在成本、質量和速度方面的實力感到非常滿意。我認為我們能夠在COVID-19 大流行期間真正經受住考驗，並且迄今為止確實取得了出色的成績。

Great. I actually -- if I could squeeze one more in. So you've gone pretty quickly from 1 brand, e.l.f. a prestige-like line at value price points to now having W3LL PEOPLE, clean beauty brand, EWG-verified, real rich credentials there to now adding a lifetime -- lifestyle beauty brand. So going from I guess 1 to kind of 3 brands increases some of the complexity of managing the business, how you allocate resources to innovation, marketing and then more operational aspects like production planning, inventory management. Are there changes that you have need -- you have made or need to make internally from an organizational standpoint, a people standpoint in order to effectively steward these 3 brands as opposed to the single-brand focus you've had in the past?

偉大的。事實上，如果我能再擠進去一點就好了。所以你很快就離開了 1 個品牌，e.l.f.一個具有威望的超值系列，現在擁有 W3LL PEOPLE、清潔美容品牌、EWG 驗證、真正豐富的憑證，現在增加了一個終生的生活方式美容品牌。因此，我認為從 1 個品牌到 3 個品牌會增加管理業務的複雜性、如何將資源分配給創新、營銷以及生產計劃、庫存管理等更多運營方面。您是否需要做出一些改變——從組織的角度、人員的角度來看，您已經或需要在內部做出改變，以便有效地管理這三個品牌，而不是過去關注的單一品牌？

Sure, Jon. I'll tell you 2 things there. First and foremost, we've -- out of our 250 employees, I think we've hand selected almost 240 of them now. And so we tend to pick from blue-chip, CB, consumer and beauty environments. So much of the team comes with multi-brand experience. Everyone on the executive team has managed multiple brands at the same time often in categories that involve many more brands. So I think the capabilities we have are really good from an ability to manage a portfolio of brands.

當然，喬恩。我會在那裡告訴你兩件事。首先也是最重要的，我認為我們現在已經從 250 名員工中手工挑選了近 240 名員工。因此，我們傾向於從藍籌股、CB、消費者和美容環境中進行選擇。團隊中的很多人都擁有多品牌經驗。執行團隊中的每個人都同時管理多個品牌，通常是在涉及更多品牌的類別中。因此，我認為我們擁有管理品牌組合的能力，這非常出色。

And then the second thing is you heard Mandy talk about our SG&A levels. And some of that SG&A really went into a vision of building this multi-brand house. So we have added resources in marketing, digital innovation, other areas of the company that give us greater confidence to be able to manage a portfolio of brands with some mix of people who can manage multiple brands, if I think of a lot of the back-office functions that it doesn't matter whether we have 1 brand or 3 brands that you can spread against as well as dedicated resource by these -- each of these brands as well. And so I feel good having lived for almost 30 years with a multi-brand environment, our ability to do that. But certainly, that's also one of the reasons why we really want to make sure we execute these 3 with excellence before moving on to additional brands.

第二件事是您聽到 Mandy 談論我們的 SG&A 水平。其中一些 SG&A 確實涉及到建立這個多品牌公司的願景。因此，我們在營銷、數字創新和公司其他領域增加了資源，這讓我們更有信心能夠與能夠管理多個品牌的人員一起管理品牌組合，如果我想到很多後面的話-辦公室功能，無論我們是否擁有1 個品牌或3 個品牌，您都可以針對這些品牌進行傳播，以及這些品牌的專用資源- 以及每個品牌。因此，我在多品牌環境中生活了近 30 年，我們有能力做到這一點，對此我感到很高興。但當然，這也是我們真正希望確保在轉向其他品牌之前卓越地執行這三個品牌的原因之一。

Congratulations on a strong quarter.

祝賀季度表現強勁。

Thank you.

謝謝。

Our next question will come from Rupesh Parikh with Oppenheimer.

我們的下一個問題將由魯佩什·帕里克和奧本海默提出。

So just going back to the commentary, just about some of the volatility around the spikes and infections that you've seen more recently. Any more color you can provide in terms of the impact, whether you see it across all channels, categories, more retail, more e-commerce? Just some thoughts there.

回到評論，關於您最近看到的峰值和感染的一些波動。就影響力而言，您還能提供更多的色彩嗎？無論您是否在所有渠道、類別、更多零售、更多電子商務中看到它？只是一些想法。

Yes. Rupesh, so I would say that with the surge in COVID cases and the uncertainty around another phase of stimulus, we have started to see softening in the track channel. I would say, in the data that was released just on Tuesday, we were in the 3% range on a -- like a weekly basis. So I think there's still a lot of volatility to be seen out there until there's more of a normal environment. We still have COVID and then we still have uncertainty in the broader economy. And so I think we're going to have to just take it week-by-week here as we look forward.

是的。Rupesh，所以我想說，隨著新冠病例的激增以及另一階段刺激措施的不確定性，我們已經開始看到軌道通道的軟化。我想說的是，在周二發布的數據中，我們每週都在 3% 的範圍內。因此，我認為在環境更加正常之前，仍然存在很大的波動性。我們仍然面臨新冠疫情，而且更廣泛的經濟仍然存在不確定性。因此，我認為我們必須每週都在展望未來。

Great. And then I'll sneak in one more question. So I guess, just on the promotional environment. I'm curious what you're seeing right now. And then if you look at some of your retail customers, do you see the need maybe to support them more later in the year just given the difficult make of backdrop?

偉大的。然後我再偷偷問一個問題。所以我想，只是在促銷環境上。我很好奇你現在看到了什麼。然後，如果您觀察一些零售客戶，考慮到困難的背景，您是否認為有必要在今年晚些時候為他們提供更多支持？

So I'll start first with our e-commerce. I mentioned on the call that we were actually able to be less promotional on our e-commerce, which gave us an even more of a gross margin benefit because of all of the natural traffic that we were seeing into the channel. So that was a benefit to us. I would say, from a retailer standpoint, we're not promotional. So we don't really play that game. And so we -- no, we don't feel any pressure to be any more promotional in that channel.

所以我首先從我們的電子商務開始。我在電話中提到，我們實際上可以減少電子商務上的促銷活動，這給我們帶來了更多的毛利率收益，因為我們看到了進入該渠道的所有自然流量。所以這對我們來說是一個好處。我想說，從零售商的角度來看，我們不是促銷。所以我們並沒有真正玩那個遊戲。所以我們——不，我們沒有感受到任何在該渠道進行更多促銷的壓力。

And a lot of that goes through our business model, yes, which is extraordinary value every day and that's served us well. And that's really our mission is continue to provide prestige-quality extraordinary values and not be a high role player or promotionally driven player.

是的，其中很多都通過我們的商業模式實現，這每天都具有非凡的價值，這對我們很有幫助。我們的使命實際上是繼續提供聲望品質的非凡價值，而不是成為高級角色玩家或促銷驅動的玩家。

Yes.

是的。

Our next question will come from Mark Astrachan with Stifel.

我們的下一個問題將來自 Stifel 的 Mark Astrachan。

I wanted to ask about some of the shelf-based gains that you've lined up for Ulta and Walmart for the fall and maybe just directional kind of size of incrementality there. And related to that, what is general receptivity from retail regarding shelf space gains beyond those 2 retailers, given that e.l.f. has sustained share gains now for quite some time and, obviously, underperformance for most of the larger brands where a lot of them just seemed to not to be able to get out of their own ways. So does that create more opportunity for you in time? And any sort of broader strokes about how to think about that I think would be helpful.

我想問一下你們為 Ulta 和沃爾瑪在秋季準備的一些基於貨架的收益，也許只是定向增量的規模。與此相關的是，考慮到 e.l.f.，零售業對這兩家零售商之外的貨架空間增益的普遍接受度如何？在相當長的一段時間裡，它的市場份額一直在持續增長，顯然，大多數大品牌的表現都不佳，其中很多品牌似乎無法擺脫自己的困境。那麼這是否會及時為您創造更多機會？我認為任何關於如何思考這個問題的更廣泛的思路都會有所幫助。

So Mark, both Walmart and Ulta Beauty do not want us to give specifics on our space gains. So you'll have to wait till those get set in the fall to get a better sense of those. And hopefully, we could talk in November, what we've already said. It's a subset of both retailers' store counts and picking up space, and you'll be able to see that soon enough. I would say on the receptivity of greater space, shelf space gains beyond those customers, we're having conversations with almost all of our retail customers on increasing space on e.l.f. I think our most established customer Target has an average footprint that's at least twice as big as any other customers. There's plenty of room for people to increase space on e.l.f., particularly given our trends and what we have from an innovation standpoint. Again, I don't have visibility on what 2021 looks like yet in that regard, and we'll probably not be able to provide that until a little bit later in the year once we have some confirmations.

因此，馬克，沃爾瑪和 Ulta Beauty 都不希望我們提供有關空間收益的具體信息。因此，您必須等到秋季這些設置完成才能更好地了解它們。希望我們可以在 11 月討論我們已經說過的內容。這是兩家零售商商店數量和空間的一部分，您很快就能看到這一點。我想說的是，關於更大空間的接​​受度，貨架空間的增益超出了這些客戶的範圍，我們正在與幾乎所有零售客戶就增加 e.l.f. 的空間進行對話。我認為我們最成熟的客戶 Target 的平均足跡至少是其他客戶的兩倍。人們有足夠的空間來增加 e.l.f. 的空間，特別是考慮到我們的趨勢以及從創新的角度來看我們所擁有的東西。再說一次，我還不清楚 2021 年在這方面會是什麼樣子，而且我們可能要等到今年晚些時候得到一些確認後才能提供這一信息。

Okay. That's helpful. Maybe sort of a related question that starts less related or will come back related. So just thoughts in general on makeup category performance remaining weak, obviously, you had touched a bit on some of the uncertainty. But maybe talk about how and under what circumstances that potentially begins to improve. Or is it simple as COVID has to go away before beauty, in particular, to improve? Skincare obviously is performing better. And then back to the previous question on shelf space then. Is that generally how retailers are kind of thinking about allocations that would be incremental going forward? Or are they still opportunistic on a brand level basis where applicable?

好的。這很有幫助。也許是一個相關的問題，開始時不太相關，或者會回來相關。因此，對於化妝品類別表現仍然疲弱的總體看法，顯然，您已經觸及了一些不確定性。但也許可以談談如何以及在什麼情況下可能會開始改善。還是因為新冠病毒必須消失才能讓美麗（尤其是美麗）得到改善？護膚品顯然表現更好。然後回到之前關於貨架空間的問題。零售商通常是如何考慮未來增量分配的？或者在適用的情況下，他們是否仍然在品牌層面上投機取巧？

Sure. So I'd say the factors on the makeup category, I think, first and foremost, as you outlined, is a return to normalcy post COVID-19, I think that's going to be one of the biggest drivers. We've seen the behavior -- even in the volatility we've seen in our own data, which is in April, our track channel business was way down, given the restrictions that were in place and the fears on COVID-19 and going to retail settings. So I do think some resumption of normalcy will be one of the key catalysts of seeing better trends in makeup. I think the other thing is I'm really hopeful that some of the larger legacy players as they are able to return to launching more products, being able to do more within the category can be good for the category overall. So I've long believed that having some of the larger players also do better from an innovation and consumer engagement standpoint is good for the overall category. We're confident of our ability to continue to gain share no matter what the environment is, whether the category is declining or increasing. And so I would say that would be the second main piece.

當然。因此，我想說，正如您所概述的，我認為化妝品類別的因素首先是在 COVID-19 後恢復正常，我認為這將是最大的驅動因素之一。我們已經看到了這種行為——即使是我們在 4 月份的數據中看到的波動，考慮到現有的限制以及對 COVID-19 和未來的擔憂，我們的軌道頻道業務也大幅下降。零售設置。因此，我確實認為，恢復正常狀態將是看到化妝趨勢更好的關鍵催化劑之一。我認為另一件事是，我真的希望一些較大的傳統參與者能夠回歸推出更多產品，能夠在該類別中做更多事情，這對整個類別有利。因此，我長期以來一直相信，從創新和消費者參與的角度來看，一些較大的參與者也做得更好，這對整個類別都有好處。我們有信心，無論環境如何，無論該類別是下降還是增長，我們都有能力繼續獲得份額。所以我想說這將是第二個主要部分。

And then the third, which relates to both of those, is I do -- if I look at longer term trends, this is a core category for consumers. And so what you'll see is a shift within the category on those segments that are speaking most to consumers. So whether it'd be the blurring of the lines between skincare and makeup, we've seen really good results on the wellness products, whether it be Cannabis Sativa, CBD collections, Supers and number of those or our core makeup line. One of the reasons why I believe we're gaining share is our focus on complexion. Poreless Putty Primer is the only product you need to have whether you were wearing makeup or not to look great and feel great. Our concealers have a similar outlook as well as many of our other core products. So I think you will see continuously regardless of where the overall market is some shifts within the category as well in terms of those categories or subcategories that are speaking more to consumers.

第三個，與這兩者相關，是我所做的——如果我看看長期趨勢，這是消費者的核心類別。因此，您將看到的是與消費者對話最多的細分市場類別內的轉變。因此，無論是護膚和化妝品之間的界限變得模糊，我們都在健康產品上看到了非常好的效果，無論是 Cannabis Sativa、CBD 系列、Supers 以及這些產品的數量還是我們的核心化妝品系列。我相信我們獲得份額的原因之一是我們對膚色的關注。無論您是否化妝，無孔膩子底漆都是您唯一需要擁有的產品，讓您看起來很棒，感覺很棒。我們的遮瑕膏以及我們的許多其他核心產品具有相似的外觀。因此，我認為，無論整個市場在哪裡，您都會不斷看到該類別內以及那些與消費者對話更多的類別或子類別方面的一些變化。

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

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。請繼續。

Well, thank you, everyone, for joining us today. I'm so grateful to my talented teammates for meeting the challenges of this pandemic and building market share. I'm energized by the potential we have with W3LL PEOPLE, and I look forward to sharing more about our new lifestyle beauty brand with Alicia Keys. I fundamentally believe our future is bright. Of course, we'll continue to be challenged by the environment around us and comping some big months ahead, but I have confidence in our strategy and our team. We look forward to speaking with many of you again at our Annual Stockholders Meeting on August 27. Thank you, and be well.

好的，謝謝大家今天加入我們。我非常感謝我的才華橫溢的隊友應對這一流行病的挑戰並建立市場份額。我對 W3LL PEOPLE 的潛力感到充滿活力，我期待著與 Alicia Keys 分享更多關於我們新生活方式美容品牌的信息。我從根本上相信我們的未來是光明的。當然，我們將繼續受到周圍環境的挑戰，並在未來的幾個月中取得重要進展，但我對我們的戰略和團隊充滿信心。我們期待在 8 月 27 日舉行的年度股東大會上再次與大家交談。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。您現在可以斷開連接。