Funko Inc (FNKO) 2023 Q4 法說會逐字稿

Good afternoon, and welcome to Funko's 2023 fourth quarter and full year financial results conference call.

下午好，歡迎參加 Funko 2023 年第四季和全年財務業績電話會議。

(Operator Instructions) Please be advised that reproduction of this call in whole or in part is not permitted without written authorization from the company.

（操作說明）請注意，未經本公司書面授權，不得全部或部分複製此通話。

As a reminder, this call is being recorded.

提醒一下，此通話正在錄音。

I'll now turn the call over to Funko's Director of Investor Relations, Rob Jeffrey.

我現在會把電話轉給 Funko 的投資人關係總監 Rob Jeffrey。

Please proceed.

請繼續。

Hello, everyone, and thank you for joining us today to discuss Funko's 2023 fourth quarter financial results.

大家好，感謝您今天加入我們討論 Funko 2023 年第四季財務表現。

On the call today are Mike Lunsford, our Interim Chief Executive Officer; Steve Nave, the company's Chief Financial Officer and Chief Operating Officer; and Yves LePendeven, our Deputy CFO.

今天參加電話會議的是我們的臨時執行長 Mike Lunsford； Steve Nave，公司財務長兼營運長；以及我們的副財務長 Yves LePendeven。

This call is being broadcast live at investor.funko.com. A playback will be available for at least one year on the company's website.

本次電話會議正在 Investor.funko.com 上進行現場直播。該公司網站上的播放時間至少為一年。

I want to remind everyone that during the course of this call, management's discussion will include forward-looking information.

我想提醒大家，在這次電話會議期間，管理階層的討論將包括前瞻性資訊。

These statements represent our best judgment as of today about the company's future results and performance.

這些陳述代表了我們迄今為止對公司未來業績和業績的最佳判斷。

Our actual results are subject to many risks and uncertainties that may differ materially from those stated or implied including those discussed in our earnings release.

我們的實際結果受到許多風險和不確定性的影響，這些風險和不確定性可能與我們的收益發布中討論的那些明示或暗示的結果有重大差異。

Additional information concerning factors that could cause actual results to differ materially is contained in our most recent SEC reports.

有關可能導致實際結果出現重大差異的因素的更多資​​訊包含在我們最新的 SEC 報告中。

In addition, during this call, we refer to non-GAAP financial measures that are not prepared in accordance with U.S. generally accepted accounting principles and may be different from non-GAAP financial measures used by other companies.

此外，在本次電話會議中，我們提到的非 GAAP 財務指標並非依照美國公認會計準則編制，可能與其他公司所使用的非 GAAP 財務指標有所不同。

Investors are encouraged to review Funko's press release announcing its 2023 fourth quarter and full year financial results for the company's reasons for presenting non-GAAP financial measures.

我們鼓勵投資者查看 Funko 宣布 2023 年第四季和全年財務業績的新聞稿，以了解該公司提出非 GAAP 財務指標的原因。

A reconciliation of the non-GAAP financial measures to the most directly comparable GAAP financial measures is also attached to the earnings press release issued earlier today.

今天稍早發布的收益新聞稿中還附有非公認會計準則財務指標與最直接可比較的公認會計準則財務指標的調節表。

We have also posted supplemental financial information on the Investor Relations section of company's website.

我們也在公司網站的投資者關係部分發布了補充財務資訊。

I will now turn the call over to Mike Lunsford.

我現在將把電話轉給麥克·倫斯福德。

Mike?

麥克風？

Thanks, Rob, and good afternoon, everyone.

謝謝羅布，大家下午好。

I'll begin with a few overarching comments on the past year.

首先我將對過去的一年進行一些總體評論。

My first comment is on the general business front. 2023 was transformative for Funko.

我的第一條評論是關於一般業務方面的。 2023 年對 Funko 來說是變革性的一年。

We addressed significant existing operational issues and executed a comprehensive cost reduction plan.

我們解決了現有的重大營運問題並執行了全面的成本削減計劃。

The plan included eliminating unprofitable product lines and SKUs, two rounds of workforce reductions, and aggressive reductions in our inventory levels, which I'll return to in a moment.

該計劃包括消除無利可圖的產品線和 SKU、兩輪裁員以及大幅降低庫存水準（我稍後會再談）。

The major element of this transformation are now complete.

這一轉變的主要部分現已完成。

My second comment is on the strategy front.

我的第二條評論是關於策略方面的。

Over the course of 2023, we grew our D2C business, which in turn helped us achieve consecutive quarterly increases in our gross margin.

2023年，我們的D2C業務不斷成長，這反過來又幫助我們實現了毛利率的連續季度成長。

Growing our D2C business remains a key goal for us.

發展 D2C 業務仍然是我們的關鍵目標。

We have more control over our D2C business and believe we can grow it profitably.

我們對 D2C 業務擁有更多控制權，並相信我們能夠實現獲利成長。

So we were pleased to see D2C sales in Q4 comprise 26% of our mix and increased nearly 30% over the same quarter last year.

因此，我們很高興看到第四季的 D2C 銷售額占我們產品組合的 26%，比去年同期成長了近 30%。

My third comment is on the product front.

我的第三條評論是關於產品方面的。

We expanded our offering with two important product launches.

我們推出了兩項重要產品，擴大了我們的產品範圍。

In early 2023, we entered the miniature collectibles market with the introduction of Bitty Pop!.

2023 年初，我們推出了 Bitty Pop!，進入微型收藏品市場。

And around the middle of year, we launched Pop!

年中左右，我們推出了 Pop!

Yourself online.

自己上網。

Both products have been very well received by customers and were key contributors to our business in 2023.

這兩款產品均深受客戶好評，是我們 2023 年業務的關鍵貢獻者。

My fourth comment is on the operational front.

我的第四條評論是關於營運方面的。

We achieved another important goal lowering the company's owned inventory levels.

我們實現了另一個重要目標，即降低公司自有庫存水準。

At year-end, inventory was $119 million, which was down more than 50% from $246 million at the end of 2022.

截至年底，庫存為 1.19 億美元，比 2022 年底的 2.46 億美元下降了 50% 以上。

And for our larger retail partners who provide us with POS data, inventory in the channel at the end of 2023 was 32% lower than at the end of 2022 and at healthy levels relative to POS sales.

對於向我們提供 POS 數據的大型零售合作夥伴來說，2023 年底通路庫存比 2022 年底低 32%，相對於 POS 銷售額處於健康水準。

Our growth in sales, improved gross margin and the rightsizing of our cost structure culminated in a successful Q4.

我們銷售額的成長、毛利率的提高以及成本結構的調整最終使第四季度取得了成功。

Specifically, Q4 net sales were $291 million, gross margin was 38%, and adjusted EBITDA was $23 million, all of which were at the upper end of our guidance range.

具體來說，第四季度淨銷售額為 2.91 億美元，毛利率為 38%，調整後 EBITDA 為 2,300 萬美元，所有這些都處於我們指導範圍的上限。

Turning now to 2024.

現在轉向 2024 年。

We expect 2024 full year net sales to be comparable to down slightly from 2023.

我們預計 2024 年全年淨銷售額將比 2023 年略有下降。

Regarding phasing of the quarters, we expect to achieve positive comps later in the year, but Q1 net sales to be lower than net sales in Q1 of last year.

關於季度的分階段，我們預計今年稍後將實現正收益，但第一季的淨銷售額將低於去年第一季的淨銷售額。

Our expectation is in part based on the following: first, we took deliberate action to manage down our inventory levels, and we eliminated a significant number of unprofitable product lines and SKUs; second, we are experiencing a softer content schedule, primarily due to the recent Hollywood strikes; and third, we face uncertainty around shipping costs, primarily due to current hostilities in the Red Sea.

我們的預期部分基於以下幾點：首先，我們採取了刻意的行動來管理庫存水平，並淘汰了大量不盈利的產品線和SKU；其次，我們的內容安排變得更加疲軟，這主要是由於最近好萊塢的罷工；第三，我們面臨運輸成本的不確定性，這主要是由於紅海目前的敵對行動。

Importantly, we expect 2024 full year adjusted EBITDA to be considerably higher than our 2023 full year adjusted EBITDA.

重要的是，我們預計 2024 年全年調整後 EBITDA 將大大高於 2023 年全年調整後 EBITDA。

The higher profitability we expect in 2024 compared with 2023 is based on the actions we are taking to, among other things, further expand our D2C business and increase sales of Pop!

與 2023 年相比，我們預計 2024 年的盈利能力會更高，這是基於我們正在採取的行動，其中包括進一步擴大我們的 D2C 業務並增加 Pop！

Yourself and limited-edition products, areas of our business where we have more control and that we believe we can grow profitably.

您自己和限量版產品是我們擁有更多控制權的業務領域，我們相信我們可以實現獲利成長。

We believe that by focusing on these areas, we will gain operating leverage and a greater percentage of our sales will flow to the bottom line.

我們相信，透過專注於這些領域，我們將獲得營運槓桿，並且更大比例的銷售額將流向利潤。

In 2024 and beyond, our plan is to achieve long-term profitable growth.

2024年及以後，我們的計劃是實現長期獲利成長。

We will pursue our previously communicated plan, which centers around focusing on our fans and unmatched brand, running the business with financial discipline and focusing on fewer products done extremely well, investing in areas we can control, measure and grow profitably and keeping the flywheel turning where each action we take builds on the previous one, propelling positive momentum.

我們將繼續執行先前傳達的計劃，該計劃的核心是關注我們的粉絲和無與倫比的品牌，按照財務紀律經營業務，專注於少數做得非常好的產品，投資於我們可以控制、衡量和增長的盈利領域，並保持飛輪轉動我們採取的每一項行動都建立在前一項行動的基礎上，推動積極的勢頭。

We believe this strategy is paying dividends.

我們相信這項策略正在帶來紅利。

One recent example is the substantial reduction we made in both inventory and product SKUs, which shows how we are removing complexity from our business by focusing on fewer products.

最近的一個例子是我們大幅減少了庫存和產品 SKU，這表明我們如何透過專注於更少的產品來消除業務的複雜性。

And another example is last month's sales event for our Jason Kelce Pop figure.

另一個例子是上個月 Jason Kelce Pop 玩偶的銷售活動。

After a recent NFL playoff game, Jason Kelce's shortlist celebration in the stands went viral.

最近一場 NFL 季後賽結束後，傑森凱爾斯在看台上慶祝入圍名單的舉動引起了廣泛關注。

We saw this as just the kind of event we could memorialize for our fans.

我們認為這正是我們可以為粉絲紀念的活動。

Multiple internal teams collaborated to launch a Jason Kelce Pop figure, demonstrating how we are focused on our fans as well as our nimbleness and quickness to market.

多個內部團隊合作推出了 Jason Kelce Pop 玩偶，展示了我們如何專注於我們的粉絲以及我們對市場的靈活和快速。

The limited-edition product went from moment to market in 11 days, and our fans responded by making Jason Kelce one of our top-selling funko.com items of all time.

這款限量版產品從上市到上市僅用了 11 天，我們的粉絲做出了回應，讓 Jason Kelce 成為我們 funko.com 有史以來最暢銷的產品之一。

Finally, a comment on our leadership team and search for a new CEO.

最後，對我們的領導團隊進行評論並尋找新的執行長。

Earlier today, we announced that Steve Nave, Funko's CFO and COO, will resign effective March 15, 2024.

今天早些時候，我們宣布 Funko 財務長兼營運長 Steve Nave 將於 2024 年 3 月 15 日辭職。

Steve joined us a year ago to help with our cost reduction and operational improvement plan.

史蒂夫一年前加入我們，幫助我們制定成本削減和營運改善計畫。

He led our efforts to address our excess inventory and improve our Buckeye distribution center, negotiate lower shipping costs, rightsize our cost structure and manage our liquidity and improve our free cash flow.

他帶領我們努力解決庫存過剩問題，改善我們的七葉樹配送中心，協商降低運輸成本，調整我們的成本結構，管理我們的流動性並改善我們的自由現金流。

On behalf of the company, I want to extend our best wishes to Steve and thank him for his contributions.

我謹代表公司向史蒂夫致以最美好的祝愿，並感謝他所做的貢獻。

Yves LePendeven, our Deputy CFO and senior finance executive at Funko for the last four years will serve as acting CFO beginning March 15.

過去四年擔任 Funko 副財務長兼高級財務主管 Yves LePendeven 將於 3 月 15 日起擔任代理財務長。

I have worked with Yves for several years now as both a Board member and as the interim CEO.

我與 Yves 共事多年，既擔任董事會成員，也擔任臨時執行長。

I have complete faith in Yves to lead our finance and accounting functions and to be our primary face to you, our analysts and investors.

我完全相信伊夫能夠領導我們的財務和會計職能，並成為我們面向你們、我們的分析師和投資者的主要代言人。

I believe you will find him to be diligent and extremely knowledgeable, not just about our financials, but also our business.

我相信您會發現他非常勤奮且知識淵博，不僅了解我們的財務，還了解我們的業務。

Turning to the CEO search.

轉向執行長搜尋。

As many of you know, I took the role of interim CEO last summer with a mandate from the Board to set Funko on a solid foundation.

正如你們許多人所知，去年夏天，我在董事會的授權下擔任臨時首席執行官，為 Funko 奠定了堅實的基礎。

So that a new CEO will be able to focus on growing the company.

這樣新任執行長就能夠專注於公司的發展。

We believe we now have in place a strong, lean, aligned, senior leadership team to support the arrival of a new CEO and growth of Funko.

我們相信，我們現在擁有一支強大、精幹、團結的高階領導團隊，可以支持新執行長的上任和 Funko 的發展。

We expect to announce our permanent CEO in Q2 of this year.

我們預計將在今年第二季宣布我們的永久執行長。

I will now turn it over to Yves take you through the financials.

現在我將把它交給伊夫，帶你了解財務狀況。

Yves?

伊夫？

Thanks, Mike.

謝謝，麥克。

Hey, everyone.

嘿大家。

Thanks for joining us today.

感謝您今天加入我們。

For the fourth quarter, total net sales were $291.2 million, which included wholesale channel sales of $216.7 million and direct-to-consumer sales of $74.5 million.

第四季淨銷售額總額為 2.912 億美元，其中批發通路銷售額為 2.167 億美元，直接面向消費者的銷售額為 7,450 萬美元。

Direct-to-consumer sales in Q4 represented 26% of net sales, up from 17% in last year's Q4.

第四季直接面向消費者的銷售額佔淨銷售額的 26%，高於去年第四季的 17%。

Sales of Pop!

流行音樂的銷售！

Yourself were a key contributor to our Q4 direct-to-consumer results.

您自己是我們第四季直接面向消費者績效的關鍵貢獻者。

Gross profit was $109.4 million and gross margin was 37.6%, which was well above our Q3 gross margin gross margin of 33.2%.

毛利為 1.094 億美元，毛利率為 37.6%，遠高於第三季毛利率 33.2%。

The increase in gross margin was driven in part by growth in our higher-margin direct-to-consumer sales and lower freight costs.

毛利率的成長部分是由於我們利潤率較高的直接面向消費者的銷售的成長和較低的貨運成本所推動的。

SG&A expenses of $97.4 million included nonrecurring charges of $8 million, primarily related to fair market value adjustments for assets held for sale.

SG&A 費用為 9,740 萬美元，其中非經常性費用為 800 萬美元，主要與持有待售資產的公平市場價值調整相關。

As a percentage of net sales, SG&A expenses were significantly lower in the second half of 2023 compared with the first half due to cost reductions we implemented during the year.

由於我們在這一年實施了成本削減，2023 年下半年的 SG&A 費用佔淨銷售額的百分比明顯低於上半年。

SG&A expenses in the second half of 2023 declined to 32% of net sales from 38% in the first half.

2023 年下半年的 SG&A 費用佔淨銷售額的比例從上半年的 38% 下降至 32%。

Adjusted net income was $0.5 million or $0.01 per diluted share, which was within our guidance range for the quarter.

調整後淨利潤為 50 萬美元，即稀釋後每股收益 0.01 美元，在我們本季的指導範圍內。

And finally, adjusted EBITDA was $23.5 million, which was at the upper end of our guidance range.

最後，調整後的 EBITDA 為 2350 萬美元，處於我們指導範圍的上限。

Turning to our balance sheet.

轉向我們的資產負債表。

At December 31, we had cash and cash equivalents of $36.5 million, which is after we paid down $26.2 million of debt in the fourth quarter.

截至 12 月 31 日，我們的現金和現金等價物為 3,650 萬美元，這是在我們第四季度償還了 2,620 萬美元的債務之後。

Our total debt was approximately $273.6 million, which includes the amount outstanding under the company's term loan facility, net of unamortized discounts the balance on our revolving line credit and our equipment finance loan.

我們的總債務約為 2.736 億美元，其中包括公司定期貸款便利下的未償還金額，扣除循環信貸和設備融資貸款餘額的未攤銷折扣。

In the first quarter of this year, we also announced a transaction related to our games business from which we used the proceeds to further reduce our debt.

今年第一季度，我們也宣布了一項與遊戲業務相關的交易，我們利用所得款項進一步減少了債務。

And inventory was $119.5 million, which is less than half of the inventory we had at the end of last year and more than $40 million lower than our balance at the end of Q3.

庫存為 1.195 億美元，不到去年年底庫存的一半，比第三季末的餘額減少了 4,000 萬美元以上。

Turning now to our outlook.

現在轉向我們的展望。

For the 2024 full year, we expect net sales of between $1.047 billion and $1.103 billion.

我們預計 2024 年全年淨銷售額將在 10.47 億美元至 11.03 億美元之間。

As Mike mentioned, while we expect net sales in Q1 of 2024 to be lower than net sales in Q1 of last year, we expect to achieve positive comps later in the year.

正如麥克所提到的，雖然我們預計 2024 年第一季的淨銷售額將低於去年第一季的淨銷售額，但我們預計將在今年稍後實現正收益。

Adjusted EBITDA of between $65 million and $85 million.

調整後 EBITDA 在 6,500 萬至 8,500 萬美元之間。

The increase over last year's adjusted EBITDA is expected to be driven by growth in our higher-margin product lines and our direct-to-consumer business as well as the annualization of cost reduction measures implemented last year.

預計比去年調整後 EBITDA 的成長將受到我們利潤率較高的產品線和直接面向消費者業務的成長以及去年實施的成本削減措施的年化推動。

For the 2024 first quarter, our guidance is as follows: Net sales of between $214 million and $227 million, gross margin down slightly from Q4, primarily due to higher freight costs.

對於 2024 年第一季度，我們的指引如下：淨銷售額在 2.14 億美元至 2.27 億美元之間，毛利率較第四季略有下降，主要是由於貨運成本上升。

SG&A expense in dollars decreasing from Q4, adjusted net loss between $17 million or $0.32 per share and $13 million or $0.24 per share.

SG&A 費用（以美元計算）較第四季下降，調整後淨虧損在 1,700 萬美元或每股 0.32 美元至 1,300 萬美元或每股 0.24 美元之間。

And finally, we expect adjusted EBITDA of between $0 and $5 million.

最後，我們預計調整後 EBITDA 為 000 至 500 萬美元。

We expect our financial results to improve in the second half of 2024 due to the natural seasonality of our business as well as an expected easing of the impact of the Hollywood strikes and the recent shipping disruptions in the Red Sea and the actions we are taking to grow our direct-to-consumer channel top yourself and other areas of our business.

由於我們業務的自然季節性，以及好萊塢罷工和最近紅海航運中斷的影響預計會有所緩解，以及我們正在採取的行動，我們預計 2024 年下半年的財務業績將有所改善。消費者的管道，超越您自己和我們業務的其他領域。

Mike, that's it for our financial results.

麥克，我們的財務表現就這樣了。

Back over to you.

回到你身邊。

Thanks, Yves.

謝謝，伊夫。

In summary, we reported a solid overall financial performance in Q4.

總而言之，我們報告了第四季度整體財務表現穩健。

We significantly reduced our inventory levels and used a portion of our cash to pay down debt.

我們大幅降低了庫存水平，並使用部分現金來償還債務。

We have completed the major elements of our 2023 cost reduction and operational improvement plan, and our outlook for 2024 reflects a renewed focus on our core business especially those areas where we have greater control and believe we can grow profitably.

我們已經完成了 2023 年成本削減和營運改善計畫的主要內容，我們對 2024 年的展望反映了我們對核心業務的重新關注，特別是我們擁有更大控制力並相信我們可以實現盈利增長的領域。

Before we open up the call for questions, Steve has a couple of comments he'd like to share about his resignation.

在我們開始提問之前，史蒂夫想分享一些關於他辭職的評論。

Steve?

史蒂夫？

Thanks, Mike.

謝謝，麥克。

Hey, everyone.

嘿大家。

I'll cut to the chase.

我就切入正題吧。

My decision to resign was influenced by a few factors: First, we largely completed and accomplished the job I was brought in for, which included fixing operational issues, improving our financial profile, rightsizing inventory, managing liquidity and improving our free cash flow.

我辭職的決定受到以下幾個因素的影響：首先，我們基本上完成並完成了我被任命的工作，其中包括解決營運問題、改善我們的財務狀況、調整庫存、管理流動性和改善我們的自由現金流。

Second, I believe Yves is a strong financial executive and is highly qualified to take over the CFO role.

其次，我相信伊夫是一位實力雄厚的財務主管，非常有資格擔任財務長一職。

As a matter of fact, when we began succession planning last fall, we promoted Yves to Deputy CFO, as you know.

事實上，正如您所知，當我們去年秋天開始繼任計劃時，我們將伊夫提升為副財務長。

With the operational improvement plan now complete, my role would focus more on the CFO side, a role that I believe Yves is imminently qualified to assume.

隨著營運改進計劃現已完成，我的角色將更多地集中在財務長方面，我相信伊夫即將有資格擔任這一角色。

And third, as some of you know, I live in Minnesota, and the weekly commute to the Seattle area has really begun to wear on me, my family and the company.

第三，正如你們中的一些人所知，我住在明尼蘇達州，每週通勤到西雅圖地區確實開始對我、我的家人和公司產生影響。

Taken together, this is a good time for me to exit, and I take great comfort in knowing that the company is in significantly better financial shape today than this time last year.

總而言之，現在對我來說是退出的好時機，而且當我知道公司今天的財務狀況比去年同期要好得多時，我感到非常欣慰。

Yves was the primary architect of our 2024 plan, so I'm confident the baton being passed to him will be seamless to you.

Yves 是我們 2024 年計畫的主要設計師，因此我相信接力棒將順利地交給他。

Look, I've thoroughly enjoyed my time at Funko, especially the people I've met and worked with.

聽著，我非常享受在 Funko 的時光，尤其是我遇到和共事過的人。

They are very talented and dedicated bunch of capable people doing amazing things.

他們是一群非常有才華和敬業的有能力的人，做著令人驚奇的事。

I've enjoyed interacting with many of you in the investment community and keeping you apprised of our progress.

我很高興與投資界的許多人互動，並隨時向您通報我們的進展。

It's been an interesting and fun ride.

這是一趟有趣又有趣的旅程。

I'm proud of what we've accomplished this past year, and I look forward to watching Funko's continued success.

我為我們過去一年所取得的成就感到自豪，並期待看到 Funko 繼續取得成功。

I will continue to bleed Funko blue until the day I die, I'll leave it there for now.

我會繼續讓Funko流藍色的血，直到我死的那一天，我暫時把它留在那裡。

With that, I'll turn the call back over to the operator so we can take your questions.

這樣，我會將電話轉回給接線員，以便我們回答您的問題。

Operator?

操作員？

(Operator Instructions) Stephen Laszczyk, Goldman Sachs.

（操作員指示）Stephen Laszczyk，高盛。

Maybe Michael first, on the '24 guide.

也許首先是邁克爾，在 '24 指南上。

Could you perhaps expand a little bit on some of the assumptions that are underlying guidance?

您能否稍微擴展一下作為基本指導的一些假設？

I think you called out some specific factors like the deliberate actions you've taken on the inventory side, the Hollywood strikes easing, some shipping issues abating.

我認為您提到了一些具體因素，例如您在庫存方面採取的刻意行動、好萊塢罷工的緩和以及一些運輸問題的緩解。

Could you just dive in a little bit deeper on each of those and perhaps how that reconciles with your outlook for the broader industry in '24 and just how you arrived at the '24 guidance.

您能否更深入地了解其中每一個，也許這與您對 24 年更廣泛行業的展望以及您如何得出 24 年指導意見相一致。

And I have a follow-up.

我有一個後續行動。

Sure.

當然。

So let me start with sort of separating Q1 from the rest of the year.

因此，讓我先將第一季與今年剩餘時間分開。

Q1, when I came in last July, we put a plan together for a turnaround, and that plan extended all the way through the end of Q1.

第一季度，當我去年 7 月進來時，我們制定了一個扭虧為盈的計劃，該計劃一直延續到第一季末。

We knew we would be making choices then with things that were already being post shipping from factory, et cetera, that we were going to limit some of our financial upside all the way through the end of Q1, just to get everything cleared out as it were.

我們知道我們會做出選擇，對那些已經從工廠發貨的東西等等，我們將在第一季末一直限制我們的一些財務上行空間，只是為了讓一切都清理乾淨。

So we will see that impact in Q1.

因此，我們將在第一季看到這種影響。

That's one of the comments that I made.

這是我發表的評論之一。

The other comments are more general for the rest of the year.

其他評論對於今年剩餘時間來說更為籠統。

I think it is a light content year from Hollywood, so we're fighting a declining trend there with growth in a lot of other areas, particularly Pop!

我認為今年是好萊塢內容較少的一年，因此我們正在與好萊塢的下滑趨勢作鬥爭，同時在許多其他領域，尤其是流行音樂領域有所增長！

Yourself, the new limited edition drops that we're doing, growth in our D2C channel, a new evergreen strategy that's going to be a large percentage of our sales going forward, et cetera.

您自己，我們正在做的新限量版下降，我們的 D2C 管道的成長，新的常青策略將占我們未來銷售額的很大一部分，等等。

So that will -- we'll see some single-digit percentage growth in the last three quarters of the year, first part of the year, will be down versus last year.

因此，我們將看到今年最後三個季度（今年上半年）的個位數百分比成長將低於去年。

Got it.

知道了。

Thanks for that.

感謝那。

And maybe just a follow-up on D2C growth.

也許只是 D2C 成長的後續行動。

You called out, I think, D2C sales increasing by nearly 30%.

我想，你說 D2C 銷售額成長了近 30%。

It sounds like you expect that to continue to some degree into '24.

聽起來你預計這種情況會在某種程度上持續到 24 年。

Could you maybe just talk a little bit more about the drivers of that growth and the level of momentum you expect to continue into this calendar year?

您能否多談談這種成長的驅動因素以及您預計今年將持續的勢頭水平？

Absolutely.

絕對地。

So Pop!

所以流行！

Yourself is the biggest one.

你自己才是最大的。

That is through our direct-to-consumer channels, both in the stores and online.

這是透過我們的直接面向消費者的管道，包括商店和網路。

We'll continue to see good growth there.

我們將繼續看到那裡的良好成長。

That is a big part of our strategy.

這是我們策略的重要組成部分。

In addition, today, as a matter of fact, we started -- we -- project Fred launched, you'll see a limited addition drop that we did today.

此外，事實上，今天我們開始了 Fred 項目，你會看到我們今天所做的有限的增加。

You're going to see a number of those over the course of the year.

在這一年你會看到很多這樣的事。

The Jason Kelce pop was another one.

Jason Kelce 的流行音樂是另一首。

We've added some other elements in like that, that will be actually very high revenue drops because they're just -- they're a much higher price point than you're used to seeing from us.

我們添加了一些其他元素，這實際上會帶來非常高的收入下降，因為它們的價格點比你習慣從我們這裡看到的要高得多。

As a matter of fact, the one today, which is a Bob's Big Boy drop is a $295 price point.

事實上，今天這款 Bob's Big Boy 的售價為 295 美元。

So you'll see a lot of that from us this year, and that will drive the D2C revenue on top of what we normally would be doing which includes expansion to other territories and other things in that part of our business.

因此，今年您會從我們身上看到很多這樣的內容，這將在我們通常所做的事情之上推動 D2C 收入，其中包括擴展到其他地區以及我們業務中該部分的其他事情。

Got it.

知道了。

Thanks for that.

感謝那。

Linda Bolton-Weiser, D.A. Davidson.

琳達·博爾頓·韋瑟，D.A.戴維森。

Yes.

是的。

So I don't mean to sound sort of ticky when I'm asking this, but like who is running the business or who will be once Steve leaves in about a week on a day-to-day basis because Andrew Perlmutter has left the company and your new CEO is still not quite on board.

因此，當我問這個問題時，我並不是想顯得有點挑剔，而是想知道誰在經營這家公司，或者史蒂夫在一周後離開後，日常工作將由誰來管理，因為安德魯·珀爾穆特(Andrew Perlmutter) 已經離開了公司。

So how should we gain comfort that the wheels aren't going to fall off and who is the operating head sort of until the new CEO comes.

那麼，在新任執行長到來之前，我們應該如何確保輪子不會掉落，以及誰是營運負責人。

Linda, this is Steve.

琳達，這是史蒂夫。

I'll share some thoughts, and then I'm sure Mike wants to -- will probably want to add something.

我會分享一些想法，然後我確信麥克想要——可能會想要添加一些東西。

It's a fair question, except what I would point to is when Brian was here, I was much more active in kind of the way you say it, the running of the company.

這是一個公平的問題，但我要指出的是，當布萊恩在這裡時，我在公司的營運方面更加積極，正如你所說的那樣。

Mike came in, in August, end of July, and has been very, very active running the company doing all the things that you would expect the CEO to be doing.

麥克在八月、七月底上任，一直非常非常積極地管理公司，做著你期望執行長所做的所有事情。

Linda, you know Yves, and I think most of the investment community knows Yves, there's not a ball here to be dropped on the finance side.

琳達，你認識伊夫，我想大多數投資界都認識伊夫，在財務方面沒有什麼可以放棄的。

Yves is incredibly capable, and I'm sure over time, he'll prove to you that he's a better CFO than I could ever be.

伊夫的能力令人難以置信，我相信隨著時間的推移，他會向你證明他是一位比我更好的財務長。

On the operations side, I brought in a very senior executive that I -- earlier in '23 that I've worked with in the past.

在營運方面，我在 23 年初引進了一位非常高階的管理人員，我過去曾與他共事過。

He is obviously incredibly capable.

顯然他能力非凡。

I think these results speak for themselves.

我認為這些結果不言而喻。

I don't see there really being much of a void, if at all, with my departure.

我不認為我的離開會帶來太多的空白（如果有的話）。

So the company is going to continue to be run by Mike.

因此，該公司將繼續由麥克經營。

Yves is going to be slide right into the CFO role, and let's be honest.

老實說，伊夫將直接擔任財務長。

He's done most of all the heavy lifting for me anyway.

無論如何，他已經為我完成了大部分繁重的工作。

Operations is going to be in good shape.

營運狀況將良好。

So I really don't think it's -- I understand your question.

所以我真的不認為這是——我理解你的問題。

I don't think it's something to be concerned about.

我不認為這是值得擔心的事。

But Mike, I don't know -- if you want to...

但是麥克，我不知道——如果你想的話…

Linda and anyone else, I guess, time is not a proxy for attention, but I come up to Everrett every Sunday night at 08:00 and I leave Everett Friday night at 05:00 or 06:00.

我想琳達和其他人，時間並不能代表注意力，但我每週日晚上 08:00 到埃弗雷特，週五晚上 05:00 或 06:00 離開埃弗雷特。

And I'm here 24 hours a day in between, and I'm in the office, except for when I'm sleeping and getting a little bit of time in, in the gym.

在此期間，我每天 24 小時都待在辦公室，除了睡覺和在健身房裡抽出一點時間的時候。

I pay an enormous amount of attention to every detail in this company.

我非常關注這家公司的每一個細節。

I can even tell you where people park in the parking garage.

我甚至可以告訴你人們把車停在​​停車場的哪裡。

I understand your question.

我明白你的問題。

I don't think it's a cheeky one.

我不認為這是一個厚臉皮的人。

I hope my response isn't geeky, but I am paying attention to the details.

我希望我的回答不是很怪異，但我很注意細節。

Okay.

好的。

That sounds good.

聽起來很好。

And on the CEO, naming your new CEO front, it sounds like you're getting close.

在首席執行官方面，任命你的新首席執行官，聽起來你已經很接近了。

Would it be fair to say it would be the earlier part of second quarter and not the later part of second quarter?

公平地說，這將是第二季初期而不是第二季後期嗎？

My hope would be that on the next earnings call, you will hear our new CEO's voice.

我希望在下一次財報電話會議上，您會聽到我們新任執行長的聲音。

Okay.

好的。

Sounds good.

聽起來不錯。

And then just turning to performance in the channel.

然後轉向通路中的表現。

I mean I know you may not have specific POS numbers to share.

我的意思是我知道您可能沒有特定的 POS 號碼可以分享。

But I guess I'm assuming it's POS is kind of down trending down year-over-year.

但我想我假設 POS 的銷量呈現逐年下降的趨勢。

Why would that be when demand on your own D2C website is so strong?

當您自己的 D2C 網站需求如此強勁時，為什麼會發生這種情況？

Where -- why would there be a difference in demand trends in store versus on your D2C website?

為什麼商店中的需求趨勢與 D2C 網站上的需求趨勢會有所不同？

Linda, Yves here, and I'll kind of begin the answer to this question.

琳達、伊夫在這裡，我將開始回答這個問題。

I think what you're seeing is, yes, POS sales are still down, I would say, high single-digit percentage.

我想你看到的是，是的，POS 銷售額仍然下降，我想說，百分比很高。

The trend did improve throughout the year last year.

去年這股趨勢確實有所改善。

But really, what you're seeing is the mix shift into our own direct-to-consumer channel.

但實際上，您所看到的是向我們自己的直接面向消費者管道的混合轉變。

So we've shared that over the past few years, a lot of our top line growth was driven with some of our retail partners.

因此，我們分享了過去幾年中，我們的大部分收入成長都是由我們的一些零售合作夥伴推動的。

And obviously, we are now favoring the higher-margin direct-to-consumer channel and direct connection with our fans.

顯然，我們現在更青睞利潤率更高的直接面向消費者的管道以及與粉絲的直接聯繫。

So I wouldn't read too much into the POS trend itself.

所以我不會過度解讀 POS 趨勢本身。

Yes, it's down.

是的，它下降了。

I think it is -- it's resulting in a healthier mix of business for us.

我認為它為我們帶來了更健康的業務組合。

And the last thing I'll point to, and Mike commented in the call, is that we've really seen tremendous progress in inventory in the channel.

我要指出的最後一件事，麥克在電話中評論說，我們確實看到了渠道庫存的巨大進步。

So both our owned inventory has come down 50%, and we kind of quoted inventory in the channel for those customers that report that information to us was down 30% throughout the year.

因此，我們擁有的庫存都下降了 50%，而且我們在通路中為那些向我們報告資訊的客戶提供的庫存報價全年下降了 30%。

So relative to sales, we look at weeks of supply, and we're right in that kind of sweet spot in the range that we like to see it.

因此，相對於銷售量，我們著眼於幾週的供應量，我們正處於我們希望看到的範圍內的最佳位置。

So I think that's a good indicator of a healthy business out there.

所以我認為這是一個健康業務的良好指標。

The only thing I would add is we have not calling out names, but we do have one particular wholesaler who's significantly down year-over-year.

我唯一要補充的是，我們沒有點名，但我們確實有一個特定的批發商，其銷售額比去年同期大幅下降。

And if you take those numbers out, our wholesale channel is not significantly off of where it would have been at this point.

如果你把這些數字去掉，我們的批發管道與目前的情況並沒有太大差距。

Okay.

好的。

That's good to know.

很高興知道這一點。

And then on the cost side or on the margin side, I mean, congratulations, Steve and everybody, but gross margin improvement is really impressive.

然後在成本方面或利潤方面，我的意思是，恭喜史蒂夫和大家，但毛利率的改善確實令人印象深刻。

And you're back to normal historical levels, I would say even maybe higher, I'd have to look at it.

你回到了正常的歷史水平，我想說甚至可能更高，我必須看看它。

But -- so the gross margin is great.

但是——所以毛利率很高。

But going forward, how do we continue to improve EBITDA margin.

但展望未來，我們如何持續提高 EBITDA 利潤率。

And remind us when you anniversary the headcount reductions because that will happen, the anniversary, I think, will be in the second half of the year, so that SG&A ratio, how is it going to improve because that has to be the driver, I guess, of more EBITDA margin expansion.

並提醒我們，當你們週年紀念日時，裁員，因為這將會發生，週年紀念日，我認為，將在今年下半年，因此SG&A比率，它將如何改善，因為這必須是驅動因素，我猜測，更多的EBITDA 利潤率會擴大。

So maybe you could comment on that.

也許你可以對此發表評論。

Let me start with an overall comment and then these guys can give you more detail.

讓我從總體評論開始，然後這些人可以為您提供更多細節。

But you've hit the nail on the head, Linda, on something that I'd like everyone to be looking more closely at, which is the EBITDA margin versus gross margin.

但 Linda，你說的一針見血，我希望每個人都更仔細地關註一下 EBITDA 利潤率與毛利率的關係。

As we shift from wholesale to D2C and specifically inside of D2C on Pop Yourself, the line items that make up our cost shift dramatically from the gross margin side of the business to the SG&A side.

隨著我們從批發轉向 D2C，特別是 Pop Yourself 的 D2C 內部，構成我們成本的行項目從業務的毛利率方面急劇轉移到 SG&A 方面。

So we've actually made a ton more progress than you can even see at the summary level on gross margin because we're selling more things that require more hands to touch them.

因此，我們實際上取得了比您在毛利率匯總水平上看到的更多的進步，因為我們正在銷售更多需要更多人來觸摸的東西。

So over time, you're going to see our gross margin probably get capped to some extent, but the net margin is going to get a lot higher.

因此，隨著時間的推移，你會看到我們的毛利率可能會受到一定程度的限制，但淨利潤將會變得更高。

With that, I'll turn it over to them.

這樣，我就把事情交給他們了。

Yes, I would just add to that, that how I would think about the guidance.

是的，我只想補充一點，我將如何看待該指導。

You could look at our Q4 results and see that that's a good indicator that we're already kind of performing where we expect to see our financials throughout 2024.

您可以查看我們第四季度的業績，發現這是一個很好的指標，表明我們的表現已經達到了我們預期 2024 年財務狀況的水平。

So like you said, we achieved the gross margin, and we're in the back in the high 30s.

正如您所說，我們實現了毛利率，並且處於 30 多歲的高位。

We think we can sustain that margin throughout 2024.

我們認為我們可以在 2024 年維持這一利潤率。

A lot of that improvement was driven by the price increases that we put through about a year ago, and then the mix shift towards D2C.

這種改善很大程度上是由我們大約一年前進行的價格上漲推動的，然後轉向了 D2C。

And then obviously, freight continues to be a nice tailwind for us.

顯然，貨運對我們來說仍然是一個很好的推動力。

But now with the continued kind of higher mix of direct-to-consumer that we have planned for 2024, we'll kind of maintain that margin in the high 30s.

但現在，隨著我們計劃在 2024 年繼續提高直接面向消費者的組合，我們將把這一利潤率維持在 30 左右。

And as Mike said, we're annualizing a lot of cost savings from the risk that we did in -- earlier in Q1 of 2023 and then in July of 2023.

正如麥克所說，我們將在 2023 年第一季早些時候和 2023 年 7 月的風險中節省大量成本。

But there are some offsets to that.

但也有一些抵消因素。

Part of growing that direct-to-consumer channel requires us to spend more marketing dollars to attract the fans to our site.

發展直接面向消費者的管道需要我們花費更多的行銷資金來吸引粉絲造訪我們的網站。

So that's what you see going on in SG&A.

這就是您在 SG&A 中看到的情況。

But overall, when you look at the bottom-line margin, it is improving.

但總體而言，當你觀察利潤率時，你會發現它正在改善。

And I think that as we kind of round the corner past Q1, we start comping up later in the year, and then we're not providing guidance just yet for the years to come.

我認為，當我們即將度過第一季時，我們將在今年晚些時候開始進行比較，然後我們還不會為未來幾年提供指導。

But I think as we are able to grow that top line, again, you'll see really good flow-through to the bottom line.

但我認為，當我們能夠再次增加營收時，你會看到真正良好的利潤流向。

Okay.

好的。

And then just on the comment you made about the last three quarters of the year being up, what did you say, low single digit, I think.

然後就你對今年最後三個季度的成長發表的評論，你說了什麼，我認為是低個位數。

Can you just clarify, do you mean cumulative the last three quarters all together, up low single digit or it starts being up low single digit in the second quarter.

您能否澄清一下，您的意思是過去三個季度的累積值是低個位數成長還是第二季開始低個位數成長。

Let me answer that.

讓我來回答一下。

I think we said specifically, we expect to comp up later in the year.

我想我們具體說過，我們預計在今年稍後進行補償。

We are hopeful that we can comp up in each of those three quarters.

我們希望我們能夠在這三個季度中的每一個季度取得進步。

Right now, though, we're watching that Red Sea situation very closely because it is impacting our transit times and some of the -- our ability to kind of recognize revenue in each quarter.

不過，現在我們正在非常密切地關注紅海局勢，因為它正在影響我們的運輸時間以及我們在每個季度確認收入的能力。

So I didn't specifically say we comp up in every quarter, but we do think that throughout the year, we will be able to have easier comps compared to last year.

因此，我並沒有具體說我們每個季度都會進行補償，但我們確實認為全年相比，我們將能夠比去年更輕鬆地進行補償。

And part two, just remember, Q1 of this year is comping against a pretty effective Q1 of last year, but not really, right?

第二部分，請記住，今年的第一季與去年相當有效的第一季進行了比較，但事實並非如此，對吧？

Because that Q1 had some leftover sales from Q4 that came through because inventory was delayed.

因為第一季有一些第四季的剩餘銷售，因為庫存延遲。

And then that led to the inventory overstocking for the rest of the year.

然後這導致了今年剩餘時間的庫存過剩。

So it's just -- Q1 is just a tough comp.

所以這只是——第一季是一場艱難的比賽。

Okay.

好的。

Thanks.

謝謝。

And just to follow-on your comment about the Red Sea.

只是為了跟進您對紅海的評論。

So I assume that's only affecting sales or shipments from Asia to Europe which really is not a huge part of your sales.

因此，我認為這只會影響從亞洲到歐洲的銷售或發貨，這實際上並不是您銷售額的很大一部分。

So I guess I'm curious why that is such a major effect impact.

所以我想我很好奇為什麼這會產生如此重大的影響。

And also, it seems like there would just be a delay, not that you're not getting the product from Asia to Europe.

而且，似乎只是有延遲，而不是說你沒有將產品從亞洲運送到歐洲。

So can you give a little bit more color on that?

那麼你能對此提供更多的顏色嗎？

I think that's exactly right, Linda.

我認為這是完全正確的，琳達。

We're saying that the Red Sea has more of an impact on Q1 specifically.

我們說紅海對第一季的影響更大。

We don't think it's going to be disruptive to our full year sales projection.

我們認為這不會影響我們的全年銷售預測。

So just based on those longer transit times, a little bit higher costs that we've seen come through and there -- it is -- you're right, primarily an EMEA impact, but there could be knock-on effects to the rest of the world.

因此，僅基於更長的運輸時間，我們所看到的成本稍高一些 - 是的 - 你是對的，主要是歐洲、中東和非洲地區的影響，但可能會對其他地區產生連鎖反應世界的。

So again, we're just watching it very closely.

再說一次，我們只是非常密切地關注它。

What we know today is reflected in our guidance right now.

我們今天所知道的已經反映在我們現在的指導中。

Okay.

好的。

And sorry to keep going on.

很抱歉繼續下去。

But I just -- I missed what you said about how much actual debt reduction was there in the first quarter related to that transaction?

但我只是——我錯過了你所說的第一季與該交易相關的實際債務減少了多少？

So we haven't commented on the actual number.

所以我們沒有對實際數字發表評論。

You'll see it in our Q1 results, but we paid down $26 million of debt in Q4, and we are continuing to pay down debt in Q1.

您將在我們第一季的業績中看到這一點，但我們在第四季度償還了 2,600 萬美元的債務，我們將繼續在第一季償還債務。

Okay.

好的。

Thank you.

謝謝。

I'll leave it there.

我會把它留在那裡。

Thanks a lot.

多謝。

This concludes our Q&A.

我們的問答到此結束。

I will now hand back to the management team for final remarks.

我現在將交回管理團隊進行最後發言。

Thank you, everyone, for joining us on the call today.

謝謝大家今天加入我們的電話會議。

As always, thanks to our fans, employees and partners for their support, and thank you to our investors and analysts for joining the call and listening in.

一如既往，感謝我們的粉絲、員工和合作夥伴的支持，並感謝我們的投資者和分析師加入電話會議並傾聽。

We look forward to sharing our progress on our next call in nine weeks.

我們期待在九週後的下一次電話會議上分享我們的進展。

Goodbye, everyone.

再見了，大家。

Ladies and gentlemen, today's call has now concluded.

女士們、先生們，今天的電話會議到此結束。

We'd like to thank you for your participation.

我們衷心感謝您的參與。

You may now disconnect your lines.

現在您可以斷開線路。