蓋璞 (GPS) 2014 Q1 法說會逐字稿

Good day, ladies and gentlemen.

女士們，先生們，美好的一天。

My name is Stephanie, and I will be your conference operator today.

我的名字是斯蒂芬妮，今天我將成為您的會議接線員。

At this time, I would like to welcome everyone to the Gap Inc., first quarter 2014 conference call.

在這個時候，我想歡迎大家參加 Gap Inc. 2014 年第一季度電話會議。

(Operator Instructions)

（操作員說明）

I would now like to introduce your host, Katrina O'Connell, Vice President of Investor Relations.

我現在想介紹一下您的主持人，投資者關係副總裁卡特里娜·奧康奈爾（Katrina O'Connell）。

Good afternoon, everyone.

大家下午好。

Welcome to Gap Inc.'s first quarter 2014 earnings conference call.

歡迎參加 Gap Inc. 2014 年第一季度財報電話會議。

I'd like to remind you that the information made available on this webcast and conference call contains forward-looking statements.

我想提醒您，本次網絡廣播和電話會議上提供的信息包含前瞻性陳述。

For information on factors that could cause our actual results to differ materially from the forward-looking statements, as well as reconciliations or descriptions of measures we're required to reconcile to GAAP financial measures, please refer to today's press release, as well as our most recent annual report on Form 10-K, and our subsequent filings with the SEC, all of which are available on GapInc.com.

有關可能導致我們的實際結果與前瞻性陳述產生重大差異的因素的信息，以及我們需要與 GAAP 財務措施相協調的措施的對賬或描述，請參閱今天的新聞稿以及我們的表格 10-K 的最新年度報告，以及我們隨後向 SEC 提交的文件，所有這些都可以在 GapInc.com 上找到。

These forward-looking statements are based on information as of May 22, 2014, and we assume no obligation to publicly update or revise our forward-looking statements.

這些前瞻性陳述基於截至 2014 年 5 月 22 日的信息，我們不承擔公開更新或修改我們的前瞻性陳述的義務。

Before we begin, I also want to mention that Sabrina will be using slides to supplement her remarks, which you can view by going to the Investor Relations section at GapInc.com.

在我們開始之前，我還想提一下，Sabrina 將使用幻燈片來補充她的評論，您可以前往 GapInc.com 的投資者關係部分查看。

Joining us on the call today are Chairman and CEO, Glenn Murphy, and Executive Vice President and CFO, Sabrina Simmons.

今天加入我們電話會議的還有董事長兼首席執行官 Glenn Murphy 和執行副總裁兼首席財務官 Sabrina Simmons。

Now I'd like to turn the call over to Glenn.

現在我想把電話轉給格倫。

Thank you, Katrina, and good afternoon, everybody.

謝謝卡特里娜颶風，大家下午好。

Before I hand the call over to Sabrina, who will take you through Gap Inc.'s first-quarter financial performance, I thought I'd give you my thoughts on Q1 and also remind everybody on the call of Gap Inc.'s four global priorities.

在我將電話交給 Sabrina 之前，他將帶你了解 Gap Inc. 的第一季度財務業績，我想我會告訴你我對 Q1 的看法，並在 Gap Inc. 的四個電話上提醒大家。全球優先事項。

Everybody here was actually pretty disappointed in our earnings results for the quarter.

實際上，這裡的每個人都對我們本季度的收益結果感到非常失望。

We were below last year, and that hasn't happened to us since the first quarter of 2011, and that was driven by the cotton crisis.

我們低於去年，自 2011 年第一季度以來，我們從未發生過這種情況，這是由棉花危機推動的。

In spite of the fact that the operating conditions were challenging, especially in the first half of the quarter, I expected that we would do better.

儘管經營狀況充滿挑戰，尤其是在本季度的上半年，但我預計我們會做得更好。

Now, upon reflection we've been doing this now for the last number of weeks, looking at the business, because our business is all about continuous improvement, and what are we going to do to move our business in the right direction.

現在，經過反思，過去幾週我們一直在這樣做，著眼於業務，因為我們的業務都是關於持續改進，以及我們將做些什麼來使我們的業務朝著正確的方向發展。

The product was a little too spring forward, and that's something that's in our control.

該產品有點過於前衛，這是我們可以控制的。

I think our customer communications could have been better, and that's also something in our control.

我認為我們的客戶溝通本來可以更好，這也是我們可以控制的。

Our margin management, I really thought the team could have done a better job working through the inventory we had, especially as it got backed up after the month of February.

我們的利潤管理，我真的認為團隊可以在處理我們擁有的庫存方面做得更好，特別是在 2 月份之後得到備份的情況下。

I think we could've done a better job managing our margins in the quarter as well.

我認為我們也可以在本季度更好地管理我們的利潤率。

All three of those points are completely in our control, and areas that the business has embraced, and are making the necessary changes as we come into Q2.

所有這三點完全在我們的控制範圍內，以及業務已經接受的領域，並且在我們進入第二季度時正在做出必要的改變。

Now with that said, I think we have pretty good plans across the business in the second quarter.

話雖如此，我認為我們在第二季度的整個業務中都有很好的計劃。

We're in the business to gain share.

我們的業務是獲得份額。

Our goal is gaining share in the second quarter, third quarter, and fourth quarter to finish the year strongly.

我們的目標是在第二季度、第三季度和第四季度獲得份額，以強勁地完成這一年。

When I look at the business, Old Navy is the one brand that's furthest along.

當我審視這項業務時，Old Navy 是走得最遠的一個品牌。

I think that they've made some really good decisions, and that's evidenced by their performance in April, which was a plus 18% comp, and that's pretty strong.

我認為他們已經做出了一些非常好的決定，他們在 4 月份的表現證明了這一點，增加了 18%，這非常強。

They've made some really good decisions on their assortment that's rooted in fashion essentials, and I like what I'm seeing as they evolve and improve their assortment between now and the end of the year.

他們在產品系列上做出了一些非常好的決定，這些決定植根於時尚必需品，我喜歡我所看到的，因為他們從現在到年底不斷發展和改進他們的產品系列。

When I think of their marketing going forward, I like what the team's done.

當我想到他們的營銷前進時，我喜歡團隊所做的事情。

They've got a really good creative platform right now at Old Navy, and I think it's going to become even more compelling as we move through the year, and more aggressive.

他們現在在 Old Navy 有一個非常好的創意平台，我認為隨著我們這一年的發展，它會變得更加引人注目，並且更具侵略性。

The Old Navy team is revamping their whole online site, which you'll see next month, so I think their digital presence will be even stronger going forward.

Old Navy 團隊正在改造他們的整個在線網站，你將在下個月看到，所以我認為他們的數字化存在會更加強大。

Now Banana Republic, the good news in that business is that women's has turned the corner.

現在香蕉共和國，該行業的好消息是女裝已經轉危為安。

It seems like that's been a long journey, but we have it going in the right direction, and customers will truly notice the difference in our August delivery.

這似乎是一個漫長的旅程，但我們的方向是正確的，客戶會真正注意到我們 8 月交付的不同之處。

Everybody on that team and myself are pretty excited about that.

那支球隊的每個人和我自己都對此感到非常興奮。

Marissa Webb joined Banana Republic starting at the first of May.

Marissa Webb 從 5 月 1 日開始加入 Banana Republic。

Marissa's impact on product is not going to be felt immediately, but seeing as how she's our creative director, her impact on our messaging, and a voice to the customer, whether it's on social, or in other tools, will be felt around the same time as you see this lift and this improvement in our women's product in August.

瑪麗莎對產品的影響不會立即顯現出來，但作為我們的創意總監，她對我們的信息傳遞的影響，以及對客戶的聲音，無論是在社交還是在其他工具中，都會感受到大致相同八月份，您看到了我們女性產品的這種提升和這種改進。

Gap is definitely headed in the right direction, but still has work to do.

Gap 肯定朝著正確的方向前進，但仍有工作要做。

Steve and the team know that.

史蒂夫和他的團隊知道這一點。

What I'm looking forward to with them is they're moving to a full global assortment in August of this year.

我對他們的期待是他們將在今年 8 月轉向全面的全球分類。

That's across the business.

這是整個業務。

It's a complete change from how we assort today and how we do that globally, and I think that's going to really help their business go out and differentiate themselves and gain share.

這與我們今天的分類方式以及我們在全球範圍內的分類方式完全不同，我認為這將真正幫助他們的業務走出去，讓自己脫穎而出並獲得份額。

Coincidently with that will be the first campaign we're going to have globally from our new ad agency, Wieden & Kennedy, for Gap.

巧合的是，我們將在全球範圍內從我們的新廣告公司 Wieden & Kennedy 為 Gap 開展第一個活動。

Now as I promised at the beginning of the call, I want to give you an update on Gap Inc.'s global priorities.

現在，正如我在電話會議開始時所承諾的那樣，我想向您介紹 Gap Inc. 的全球優先事項的最新情況。

They are global growth, omni-channel, responsive supply chain, and seamless inventory.

它們是全球增長、全渠道、響應式供應鍊和無縫庫存。

I spent quite a bit of time at the recent analyst meeting explaining to everybody why we chose these initiatives and the value we're going to create for Gap Inc.

在最近的分析師會議上，我花了很多時間向大家解釋我們為什麼選擇這些舉措以及我們將為 Gap Inc. 創造的價值。

shareholders going forward as each one of these become part of how we operate every single day.

股東們繼續前進，因為每一個都成為我們每天運作的一部分。

I feel good about the value creation, and as you look at each one of them -- the global growth initiative, 250 new stores this year.

我對價值創造感覺很好，當你看到它們中的每一個 - 全球增長計劃，今年有 250 家新店。

That's a combination of corporate and franchise.

這是公司和特許經營的結合。

That's a high water mark for us.

這對我們來說是一個高水位標記。

So far so good in China, still good performance, comp performance, and new stores going into that marketplace, 20 new cities in 2014.

到目前為止，在中國還不錯，表現仍然不錯，比較表現，以及新店進入該市場，2014 年新增了 20 個城市。

Old Navy performance so far in the franchise market in Philippines has been very good.

迄今為止，Old Navy 在菲律賓特許經營市場的表現非常出色。

We're excited about what we're seeing in Shanghai with the first Old Navy store opening.

我們對在上海看到的第一家 Old Navy 商店開業感到興奮。

Early news is that in the last 30 days, we've added five new Athleta stores to our planned list in our guidance.

早期消息是，在過去 30 天裡，我們在指南中的計劃清單中增加了五家新的 Athleta 商店。

Now we're going to open 35 Athleta stores in 2014, which will allow us to end the year with 100 Athleta stores.

現在我們將在 2014 年開設 35 家 Athleta 商店，這將使我們能夠在年底擁有 100 家 Athleta 商店。

On the omni-channel front, Reserve in Store has been rolled out to 500 Gap stores.

在全渠道方面，Reserve in Store 已推廣到 500 家 Gap 商店。

That just started a few weeks ago, so now on top of those 500 Gap stores, we're in 400 Banana Republic stores.

那是幾週前才開始的，所以現在除了這 500 家 Gap 商店之外，我們還有 400 家 Banana Republic 商店。

The marketing just started behind that to start telling customers, because anybody who tries it, loves it.

營銷剛剛開始在這之後開始告訴客戶，因為任何嘗試過的人都喜歡它。

Our goal is to get awareness and trial behind it.

我們的目標是在它背後獲得意識和試驗。

We will be piloting next month Order in Store.

我們將在下個月試用“在商店訂購”。

If you look at the apparel business, there's a conversion number, and then there's customers who come in and don't convert.

如果您查看服裝業務，則有一個轉化次數，然後是進來但沒有轉化的客戶。

A portion of the customers who don't convert, it's because they couldn't find their size, couldn't find their color, couldn't find exactly what they were looking for.

一部分沒有轉換的客戶，是因為他們找不到自己的尺碼、找不到顏色、找不到他們想要的東西。

This pilot is digital.

這個飛行員是數字的。

It's quick, and our employees are able to carry that with them on the floor to close the sale.

它很快，我們的員工可以隨身攜帶它來完成銷售。

Lastly on the responsive supply chain, we've had meetings, Sabrina and myself, the last 30 days to get updates with each one of the brands.

最後，在響應式供應鏈上，我們在過去 30 天內舉行了會議，Sabrina 和我自己，以獲取每個品牌的最新信息。

Really good momentum.

氣勢真好。

There will be some benefit to our operating margin in 2014 in the back half and will really benefit 2015.

2014年下半年我們的營業利潤率會有一些好處，2015年將真正受益。

The momentum is moving in the right direction.

勢頭正朝著正確的方向發展。

I want to close by telling everybody we're still very confident here.

最後，我想告訴大家我們在這裡仍然非常有信心。

We mentioned that last month that we're confident in our full-year guidance.

我們上個月提到，我們對全年指導充滿信心。

We're committed to our full-year guidance.

我們致力於我們的全年指導。

If you allow me just a little history lesson, in 2008 and 2009 during the depths of the recession, we did better than pretty much any other retailer by managing our P&L, managing our cost during difficult consumer times.

如果你允許我上一點歷史課，在 2008 年和 2009 年經濟衰退最嚴重的時期，我們在管理損益表、在困難的消費者時期管理成本方面做得比任何其他零售商都要好。

In 2010, when conditions got a little better, we had a very strong top line, and we hit a record operating margin in 2010.

2010 年，當情況有所好轉時，我們的收入非常強勁，我們在 2010 年達到了創紀錄的營業利潤率。

2011 when the cotton crisis hit, that was not our best year, but we bounced right back in 2012 and 2013.

2011 年棉花危機爆發，那不是我們最好的一年，但我們在 2012 年和 2013 年迅速反彈。

There were some operating condition challenges in the first quarter of 2014, so given the character of the Company and how committed we are to delivering on our promises to one another and to shareholders, I have all the confidence we're going to bounce back in Q2 and beyond and deliver on the guidance we put forward for 2014.

2014 年第一季度存在一些經營狀況挑戰，因此鑑於公司的特點以及我們對兌現對彼此和對股東的承諾的承諾，我完全有信心我們會反彈第二季度及以後，實現我們為 2014 年提出的指導。

With that said, let me hand it over to Sabrina.

話雖如此，讓我把它交給薩布麗娜。

Thank you, Glenn.

謝謝你，格倫。

Good afternoon, everyone.

大家下午好。

Despite a challenging start to the quarter, we continue to focus on levers that drive long-term value.

儘管本季度開局頗具挑戰性，但我們繼續專注於推動長期價值的槓桿。

We made progress on our strategic initiatives, including launching Old Navy in China, Gap in Taiwan, and opening additional Athleta stores.

我們在戰略舉措上取得了進展，包括在中國推出 Old Navy、在台灣推出 Gap 以及開設更多 Athleta 門店。

And we did this while maintaining our operating expense discipline.

我們在保持運營費用紀律的同時做到了這一點。

Regarding earnings for the quarter, in the first quarter operating income was $443 million versus $530 million last year.

關於本季度的收益，第一季度的營業收入為 4.43 億美元，而去年為 5.3 億美元。

Net earnings were $260 million, and earnings per share were $0.58 versus $0.71 last year.

淨收益為 2.6 億美元，每股收益為 0.58 美元，而去年為 0.71 美元。

As a reminder, we were lapping $0.04 of benefit to last year from the favorable resolution of tax issues.

提醒一下，我們從稅收問題的有利解決方案中獲得了 0.04 美元的收益。

Additionally, we estimate that the impact from foreign currencies reduced our reported EPS growth rate in Q1 by about 5 percentage points.

此外，我們估計外幣的影響使我們報告的第一季度每股收益增長率降低了約 5 個百分點。

Sales for the first quarter were $3.8 billion, up 1%.

第一季度銷售額為 38 億美元，增長 1%。

Comp sales were down 1% for the quarter.

本季度可比銷售額下降了 1%。

The translation of foreign revenues into dollars negatively impacted our reported net sales by about $20 million in the first quarter.

將外國收入轉換為美元對我們報告的第一季度淨銷售額產生了約 2000 萬美元的負面影響。

On a constant currency basis, net sales were up 2%.

按固定匯率計算，淨銷售額增長 2%。

Total sales and comps by division are listed in our press release.

我們的新聞稿中列出了按部門劃分的總銷售額和收入。

Moving to gross margin, first quarter gross margin was down 260 basis points to 38.8%.

轉向毛利率，第一季度毛利率下降 260 個基點至 38.8%。

Merchandise margins were down 230 basis points for the quarter, driven by a challenging February and March, which put pressure on our ability to move as many units early in the quarter.

由於 2 月和 3 月充滿挑戰，本季度商品利潤率下降了 230 個基點，這對我們在本季度初移動盡可能多的單位的能力造成了壓力。

Importantly, we did end the quarter with inventory in line with our guidance.

重要的是，我們確實在本季度末的庫存符合我們的指導。

Rent and occupancy deleveraged 30 basis points.

租金和入住率降低了 30 個基點。

As a reminder, we need positive comps to leverage rent and occupancy, and the threshold for ROD leverage is higher this year, likely a low single-digit comp, given our mix shift toward international markets like China that have higher ROD costs.

提醒一下，我們需要積極的補償來利用租金和入住率，而今年 ROD 槓桿的門檻更高，可能是個位數的低補償，因為我們的組合轉向中國等具有更高 ROD 成本的國際市場。

Regarding SG&A, first quarter total operating expenses were $1 billion, up $9 million from the prior-year.

關於 SG&A，第一季度總運營費用為 10 億美元，比去年同期增加 900 萬美元。

Marketing expenses were flat to last year at $143 million.

營銷費用與去年持平，為 1.43 億美元。

As a percent of sales, total operating expenses leveraged 10 basis points versus last year to 27.1%.

作為銷售額的百分比，總運營費用比去年增加了 10 個基點，達到 27.1%。

Regarding the balance sheet and cash flow, inventory dollars per store were up 7% at the end of the first quarter, in line with our beginning of the quarter guidance.

關於資產負債表和現金流，第一季度末每家商店的庫存美元增長了 7%，與我們季度初的指導一致。

For the quarter, free cash flow was an inflow of $351 million, and we distributed $328 million.

本季度，自由現金流流入 3.51 億美元，我們分配了 3.28 億美元。

As part of that distribution, we used $219 million to repurchase 5.6 million shares, resulting in quarter-end share count of 443 million.

作為該分配的一部分，我們使用 2.19 億美元回購了 560 萬股，導致季度末的股票數量為 4.43 億股。

Regarding capital expenditures and store count, first quarter capital expenditures were $162 million.

關於資本支出和店鋪數量，第一季度資本支出為 1.62 億美元。

We opened 15 Company operated stores on a net basis and ended the quarter with 3,179 stores.

我們在淨基礎上開設了 15 家公司經營的門店，並在本季度末擁有 3,179 家門店。

Square footage was up 0.5% compared with Q1 2013.

與 2013 年第一季度相比，建築面積增加了 0.5%。

Store count and square footage are listed in our press release.

我們的新聞稿中列出了商店數量和麵積。

Now I'd like to share our outlook for the rest of the year.

現在我想分享我們對今年剩餘時間的展望。

Our objective overall continues to be delivering modest positive comps on a full-year basis.

我們的總體目標仍然是全年提供適度的正收益。

In addition to our comp base, we plan to drive increased revenue through our multiple channels, newer brands, and geographies.

除了我們的薪酬基礎之外，我們還計劃通過我們的多個渠道、新品牌和地區來增加收入。

Given our remarks just a few weeks ago, I'm sure it comes as no surprise that we are once again reaffirming our full-year guidance of $2.90 to $2.95.

鑑於我們幾週前的言論，我相信我們再次重申我們 2.90 美元至 2.95 美元的全年指導就不足為奇了。

At its midpoint this equates to 7% full-year EPS growth on a reported basis.

在中點，這相當於報告的全年每股收益增長 7%。

On a constant currency basis, the growth rate is estimated to be 5 percentage points higher or a solid double-digit growth rate.

按固定匯率計算，預計增長率將高出 5 個百分點或穩定的兩位數增長率。

Underlying this guidance is the following -- first, the expectation that we make progress against our goal of tightening our inventory levels with each quarter.

該指導的基礎如下 - 首先，我們期望我們在每個季度收緊庫存水平的目標方面取得進展。

At the end of Q2, we expect year-over-year inventory dollars per store to improve by a few points versus the year-over-year increase in Q1.

在第二季度末，我們預計與第一季度的同比增長相比，每家商店的同比庫存美元將提高幾個百分點。

Second, the expectation that our supply chain initiatives will begin to deliver benefits in the second half of the year, especially at Old Navy.

其次，預計我們的供應鏈計劃將在今年下半年開始產生效益，尤其是在 Old Navy。

Finally, we remain committed to managing SG&A in a disciplined manner.

最後，我們仍然致力於以有紀律的方式管理 SG&A。

However, recall that leverage is likely to be very modest this year, as we moved a portion of our credit card income out of SG&A and into gross margin.

然而，請回想一下，今年的槓桿率可能非常低，因為我們將部分信用卡收入從 SG&A 轉移到毛利率中。

For the full year, the following guidance metrics remain substantially unchanged.

全年，以下指導指標基本保持不變。

We expect operating margins to remain flattish on a reported basis, as foreign exchange is negatively impacting our margins.

我們預計營業利潤率在報告的基礎上將保持平穩，因為外匯對我們的利潤率產生了負面影響。

As a reminder, foreign exchange impacts our earnings in two ways.

提醒一下，外匯以兩種方式影響我們的收入。

The first is translation, and the second is the impact to our merchandise margins.

第一個是翻譯，第二個是對我們商品利潤率的影響。

Our largest foreign subsidiaries are in Canada and Japan, and depreciation of those currencies negatively impacts our cost of goods and therefore our reported results.

我們最大的外國子公司位於加拿大和日本，這些貨幣的貶值會對我們的商品成本產生負面影響，從而影響我們的報告結果。

We continue to expect square footage to be up about 2.5%.

我們繼續預計建築面積將增長約 2.5%。

We still plan to open about 185 Company-operated stores and close about 70, net of repositions.

扣除重新定位後，我們仍計劃開設約 185 家公司自營商店並關閉約 70 家。

Store closures are weighted toward Gap North America, and store openings are weighted toward China, Old Navy in Japan, Athleta, and global outlets.

關店的重點是 Gap 北美，而開店的重點是中國、日本的 Old Navy、Athleta 和全球奧特萊斯。

We expect capital expenditures to be about $750 million and depreciation and amortization to be about $520 million.

我們預計資本支出約為 7.5 億美元，折舊和攤銷約為 5.2 億美元。

We expect our full-year effective tax rate to be about 38.5%.

我們預計全年有效稅率約為 38.5%。

In closing, as we enter the second quarter, we will continue to focus on levers that we can control, like expenses and inventory, while we work to deliver compelling assortments.

最後，隨著我們進入第二季度，我們將繼續專注於我們可以控制的槓桿，例如費用和庫存，同時我們努力提供引人注目的產品組合。

And we're encouraged by the recent turn in momentum at our largest brand, Old Navy.

我們最大的品牌 Old Navy 最近的發展勢頭讓我們感到鼓舞。

Thank you, and now I'll turn it back over to Katrina.

謝謝，現在我會把它交給卡特里娜颶風。

That concludes our prepared remarks.

我們準備好的發言到此結束。

We'll now open up the call to questions, and we'd appreciate limiting your questions to one per person.

我們現在將開放提問電話，我們希望將您的問題限制為每人一個。

Adrienne Tennant, Janney Capital Markets.

Adrienne Tennant，珍妮資本市場。

Hello, can you hear me?

你好，你能聽到我說話嗎？

Yes.

是的。

Congratulations on the great start to the year in a very difficult environment.

祝賀今年在非常困難的環境中取得了良好的開端。

My question is on the inventory change as we go into the back half of the year.

我的問題是我們進入下半年的庫存變化。

Obviously, it's pretty improved heading into the third quarter.

顯然，進入第三季度，情況有了很大改善。

I was wondering, are you making any concessions for what we're now hearing about the West Coast port issues?

我想知道，您是否對我們現在聽到的有關西海岸港口問題的任何讓步？

Secondarily, Glenn, can you talk about the global Gap merchandise changes, and what gives you the confidence?

其次，Glenn，您能不能談談 Gap 全球商品的變化，是什麼讓您有信心？

Obviously, probably May is improving, but some of the changes there -- what gives you the confidence that everything is encapsulated in Q1?

顯然，五月可能正在改善，但其中的一些變化——是什麼讓你有信心將所有內容都封裝在第一季度？

Thank you.

謝謝你。

I'll start with that inventory piece, Adrienne.

我將從那個庫存部分開始，Adrienne。

We're very much on track to meet our goal of improving our inventory position as each quarter goes by.

隨著每個季度的流逝，我們正朝著改善庫存狀況的目標邁進。

In a tough quarter, we're pleased that we met our beginning of the quarter guidance for end-of-quarter inventory, and we've just guided that it's going to improve by a few points at the end of Q2.

在一個艱難的季度，我們很高興我們達到了季度末庫存的季度開始指導，我們剛剛指導它在第二季度末將提高幾個點。

We'll guide later to Q3 and Q4, but we intend to stay on the path of continuing to tighten as the year goes on, so committed to that.

我們稍後將指導第三季度和第四季度，但我們打算隨著時間的推移繼續緊縮，因此致力於此。

That's inventory.

那是庫存。

Regarding the port situation, of course our logistics team is monitoring that situation very closely.

關於港口情況，當然我們的物流團隊正在密切關注這一情況。

We hope, of course, that it's resolved, but in the meantime we're very much working through contingency plans.

當然，我們希望它得到解決，但與此同時，我們正在通過應急計劃進行大量工作。

As you know following the industry for a long time, it's not a situation we haven't faced before.

如您所知，長期關注該行業，這不是我們以前沒有遇到過的情況。

We know how to work our plans and how to kick into contingency, but we're hoping for a good resolution to that in June.

我們知道如何實施我們的計劃以及如何應對突發事件，但我們希望在 6 月份能夠很好地解決這個問題。

Hi, Adrienne.

嗨，阿德里安。

Thanks for the congratulations.

感謝您的祝賀。

I'm not sure it's really deserved, but I appreciate it.

我不確定它是否真的值得，但我很感激。

Okay.

好的。

I'll say at Old Navy.

我會在老海軍說。

All right.

好的。

I'll take Old Navy in the month of April.

我將在四月份參加 Old Navy。

In terms of Gap global, we were talking -- and I'm not sure we've talked about this with our investors, but I know amongst ourselves, when we went through our new global model and made the changes that we did, the one quarter we did circle with ourselves was Q1 2014 for Gap brand, just because there were so many changes that were taking place and so many moving parts that were going on just 12 months ago.

在 Gap global 方面，我們正在討論——我不確定我們是否已經與我們的投資者討論過這個問題，但我自己知道，當我們通過新的全球模式並做出我們所做的改變時，我們與自己圈子的四分之一是 Gap 品牌的 2014 年第一季度，僅僅因為 12 個月前發生瞭如此多的變化和如此多的活動部件。

I've got a lot of faith.

我有很大的信心。

I've got a lot of belief in Rebekka Bay.

我對麗貝卡灣很有信心。

Rebekka, in the first quarter, because some of those transitions were going on -- but we executed the best we could -- but in fairness to her, she wasn't facing off with a senior merchant.

Rebekka，在第一季度，因為其中一些過渡正在進行中——但我們盡了最大努力——但公平地說，她並沒有與高級商人對峙。

She was facing off on more junior people at the time and transitioning.

她當時正面臨著更多的初級人員並正在過渡。

She didn't have a head of women's.

她沒有女裝的頭。

I think the first quarter, with a lot of moving parts, and the fact Rebekka was not surrounded by the kind of supporting cast that I think every great creative director needs, we didn't have our best first quarter.

我認為第一季度有很多活動的部分，而且 Rebekka 並沒有被我認為每個偉大的創意總監都需要的那種配角所包圍，我們沒有最好的第一季度。

I think things got a little bit better.

我認為事情變得更好了一些。

I think the product in the store right now is slightly better than what you saw in the first quarter.

我認為現在商店裡的產品比你在第一季度看到的要好一些。

I think June gets better, and especially, as I said in my opening remarks, August, as we move to a full global assortment strategy that Stephen Sunnucks and Michelle DeMartini, who is now the senior partner to Rebekka on the merchandising side -- Michelle's got 20 years of experience in our business.

我認為六月會變得更好，尤其是，正如我在八月的開場白中所說，當我們轉向全面的全球分類戰略時，斯蒂芬·桑努克斯和米歇爾·德馬蒂尼現在是 Rebekka 在商品銷售方面的高級合夥人——Michelle's在我們的業務中擁有 20 年的經驗。

I'm not saying to wait until August.

我不是說要等到八月。

I'd say in August there's a moment where we go to three key assortments around the world.

我想說的是，在 8 月，我們會去世界各地的三個主要品種。

Completely simplifies our business as very clear how we have our good, better, best strategy across those three assortments.

完全簡化了我們的業務，因為我們非常清楚我們如何在這三個分類中擁有良好、更好、最佳的戰略。

I've got a lot of faith in what Rebekka -- and now her full team, and she has everybody she needs -- are going to get done.

我對 Rebekka ——現在她的整個團隊，以及她需要的每個人——將要完成的工作充滿信心。

They know they didn't have the best first quarter, and they're accountable for it.

他們知道他們沒有最好的第一季度，他們對此負責。

But I think that we get better from a pure product to the consumer as we move into the later part of summer and certainly into fall.

但我認為，隨著我們進入夏季後期，當然還有秋季，我們從純粹的產品到消費者會變得更好。

That coupled with the marketing I talked about in the opening comments, I'm counting on Steve that that combination will be the magic to get that business back on track.

再加上我在開場評論中談到的營銷，我指望史蒂夫，這種組合將是讓該業務重回正軌的魔力。

Great.

偉大的。

Thank you very much.

非常感謝。

Best of luck.

祝你好運。

Lorraine Hutchinson, Bank of America Merrill Lynch.

Lorraine Hutchinson，美國銀行美林證券。

Thank you.

謝謝你。

Good afternoon.

下午好。

Your consumer has a lot of loyalty to your fit around the world, and I was just curious to hear about the extent of your testing before rolling out a global fit to some of your brands?

您的消費者在全球範圍內對您的合身度非常忠誠，我只是想知道在為您的某些品牌推出全球合身度之前您的測試範圍？

It's actually more intense and extensive than I would like it.

它實際上比我想要的更強烈和廣泛。

It's probably the nature of our culture.

這可能是我們文化的本質。

But when it came to -- we had some experience, Lorraine -- when I started, we had a European fit, a Japanese fit, and an American fit.

但是當談到 - 我們有一些經驗，洛林 - 當我開始時，我們有歐洲適合，日本適合和美國適合。

As we started making decisions collectively as a team to move to a global structure, we first dealt with the European fit.

當我們開始作為一個團隊集體做出決定以轉向全球結構時，我們首先處理了歐洲的適合性問題。

There's a little bit of gross margin wrapped into that in order to liquidate the product properly through Europe and have introduced the American fit, let's call it, which is now the global fit.

為了通過歐洲適當地清算產品並引入美國適合，我們稱之為，現在是全球適合，其中包含一點毛利率。

Then Japan, we took a little more time; and what we're finding out very clearly is we've had to make some very minor tweaks to what is now the global fit as we brought Japan in.

然後是日本，我們花了一點時間；我們非常清楚地發現，當我們引入日本時，我們不得不對現在的全球適應性進行一些非常小的調整。

But all the testing we did with current customers, lapsed customers, new customers, on the two fits -- the new global fit and the old Japanese fit, which we did over a year ago -- overwhelmingly people went for the global fit, and the difference for us now is managing the size curve.

但是，我們對現有客戶、老客戶、新客戶進行的所有測試，針對兩種合體——新的全球合體和舊的日本合體，我們一年多前進行的——絕大多數人選擇了全球合體，並且我們現在的不同之處在於管理尺寸曲線。

A funny story: we just had Board meetings this week, and I was telling some members of the Board, when I was in Southern China, and then went to Japan right afterwards, I found an extra, extra, extra small.

一個有趣的故事：我們這周剛開了董事會，我告訴董事會的一些成員，當時我在華南，然後馬上去日本，我發現了一個額外的，額外的，額外的小。

I made a phone call to find out that wasn't a manufacturing production issue, but no, that's the size curve at work.

我打了一個電話，發現這不是製造生產問題，但不，那是尺寸曲線在起作用。

In certain markets that size is prevalent, so in Southern China and parts of Japan, we don't even have extra larges.

在某些市場，這種尺寸很普遍，所以在中國南部和日本部分地區，我們甚至沒有特大號。

The highest size we go to is large.

我們去的最大尺寸是大的。

So the size curve really gets managed beautifully from the global team, the team we have in New York.

因此，規模曲線確實得到了全球團隊的完美管理，我們在紐約的團隊。

I think that so far, so good.

我認為到目前為止，非常好。

Not heard anything.

什麼都沒聽到。

And then we've still got to make sure certain styles that are very Japanese styles -- like men's crops, which we don't sell anywhere else, but we sell that in Japan -- that's still part of the global assortment.

然後我們仍然必須確保某些非常日本風格的款式——比如男士莊稼，我們不在其他任何地方銷售，但我們在日本銷售——這仍然是全球分類的一部分。

I think that we want to make sure we preserve products that resonated in local markets, but got to a global fit.

我認為我們希望確保我們保留在當地市場引起共鳴的產品，但要適應全球。

You know the reason behind it.

你知道它背後的原因。

Besides the simplification to our business, it's the only way to get the seamless inventory.

除了簡化我們的業務之外，這是獲得無縫庫存的唯一途徑。

Great.

偉大的。

Thank you.

謝謝你。

Paul Lejuez, Wells Fargo Securities.

Paul Lejuez，富國銀行證券。

Thanks.

謝謝。

Thinking about fabric platforming in the second half.

下半年考慮面料平台化。

I think it has several benefits.

我認為它有幾個好處。

I'm wondering if you could just talk about the benefit on the AUC side of the equation, and when that starts to kick in?

我想知道你是否可以只談談等式的 AUC 方面的好處，以及什麼時候開始起作用？

Then just second, within Athleta, just wondering which categories in that business are performing best?

其次，在 Athleta 中，想知道該業務中哪些類別的表現最好？

Which are lagging?

哪些落後？

I will start with the fabric platforming, Paul.

我將從織物平台開始，保羅。

Certainly we're making traction on that, so we have goaled ourselves internally, since we're taking very seriously.

當然，我們正在推動這一點，所以我們在內部設定了自己的目標，因為我們非常認真地對待。

We're marching to the goal we set ourselves internally with regard to how much fabric is getting platformed for 2014.

我們正在朝著我們內部設定的目標前進，即 2014 年將有多少面料平台化。

With that certainly should come some average unit costing benefit, and that starts in the second half indeed.

隨之而來的是一些平均單位成本效益，而且確實從下半年開始。

What I would say, though, is we've called out that for all of 2014, AUC isn't a big headline either in terms of headwind because of labor, or tailwind because of our tools.

不過，我想說的是，我們已經指出，在 2014 年全年，AUC 並不是一個大標題，無論是因為勞動力的逆風，還是因為我們的工具的順風。

I would say we're managing and we're using the fabric platforming as a critical tool to manage other issues like labor pressures, et cetera.

我想說我們正在管理，我們正在使用結構平台作為關鍵工具來管理其他問題，如勞動力壓力等。

Really, the AUC is going to come down to a matter of how our merchant teams and our designers choose to mix the assortment.

真的，AUC 將歸結為我們的商家團隊和我們的設計師如何選擇混合分類的問題。

But we feel, again, like everyone's being quite responsible, and that average unit costing overall therefore doesn't become a headline.

但我們再次感到，每個人都非常負責任，因此總體平均單位成本不會成為頭條新聞。

Just to add to that, we started about a year ago with fabric consolidation.

除此之外，我們大約一年前開始進行織物整合。

I think I may have said it on one of the calls, when we started doing some comparisons between ourselves and our creative global competitors about how many fabrics we actually use in a given year, it was, to say the least, embarrassing.

我想我可能在一次電話會議上說過，當我們開始在我們自己和我們的創意全球競爭對手之間進行一些比較時，我們在某一年實際使用了多少面料，至少可以說，這是令人尷尬的。

We knew that our creative directors and our designers will still have all the flexibility they want in the world, because as we dealt directly with mills, which was the second change we made, their ability to treat the same base cloth in so many different ways was moving at a very fast pace, and to be quite frank, above what we thought was actually doable, for some of the leading mills in China especially.

我們知道我們的創意總監和設計師仍將擁有他們想要的所有靈活性，因為當我們直接與工廠打交道時，這是我們所做的第二次改變，他們能夠以多種不同的方式處理相同的底布發展速度非常快，坦率地說，超過了我們認為實際可行的水平，尤其是對於中國的一些領先工廠而言。

Consolidation then went to fewer mills doing the work as we built these mill relationships, and then got to what Sabrina was talking about in terms of platforming, which has an AUR and an AUC benefit over time.

然後，隨著我們建立這些工廠關係，整合到了更少的工廠做這項工作，然後談到了 Sabrina 所說的平台化，隨著時間的推移，它具有 AUR 和 AUC 優勢。

Onto Athleta, it depends on the time we're talking about.

對於運動員來說，這取決於我們談論的時間。

In Q1, which they had a good performance in Q1, the best performing business in terms of pure comp -- not in terms of its contribution to the overall business, but just comp -- was what the trend in soft pants has been out there for about six months that our other brands are capitalizing on a little later than Athleta, and that's just the new definition of sweat pants, street wear, soft dressing.

在 Q1 中，他們在 Q1 中表現良好，就純收入而言，表現最好的業務——不是就其對整體業務的貢獻而言，而僅僅是收入——是軟褲的趨勢。大約六個月，我們的其他品牌比 Athleta 晚了一點，這只是運動褲、街頭服飾、柔軟著裝的新定義。

I think Nancy and the team just did an excellent job jumping on that.

我認為南希和團隊在這方面做得非常出色。

It's so perfect for Athleta as a complement to, it could be either during or as you're performing an activity, or could be, as they say in this business, the to the activity or from the activity.

它非常適合作為 Athleta 的補充，它可以是在您進行活動期間或進行活動時，也可能是，正如他們在這項業務中所說的那樣，對活動或從活動開始。

That business provided an incredible level of growth for Athleta.

該業務為 Athleta 提供了令人難以置信的增長水平。

All that really matters to me when it's all said and done, there's these periphery categories.

說到底，對我來說真正重要的是這些外圍類別。

That's not one of them.

那不是其中之一。

That could actually turn out to be a permanent category for Athleta, as it should be a very strong trend going forward for Old Navy and for Gap.

這實際上可能會成為 Athleta 的一個永久類別，因為這對於 Old Navy 和 Gap 來說應該是一個非常強勁的趨勢。

What matters to me is the performance business, when it's all said and done.

對我來說重要的是表演業務，當這一切都說了又做了。

We have a nice swim business.

我們的游泳生意不錯。

We have these other complementary business, but what matters to me is performance, performance, performance with a fashion twist.

我們還有這些其他互補的業務，但對我來說重要的是性能、性能、帶有時尚轉折的性能。

That business was also ahead of its all-store comp.

該業務也領先於其全店組合。

The performance category still did better than the all-store comp.

性能類別的表現仍然優於全店組合。

I'd say the category we want delivered the growth we needed.

我想說我們想要的類別提供了我們需要的增長。

And this new, which, again, could end up being two years', three years' worth of growth coming from the new street wear trend for Athleta and its type of customer -- I think that could be very, very good for that brand.

而這個新的，同樣，最終可能是兩年，三年的增長，來自於 Athleta 及其客戶類型的新街頭服裝趨勢 - 我認為這對那個品牌來說可能非常非常好.

Thank you, guys.

感謝你們。

Good luck.

祝你好運。

Kimberly Greenberger, Morgan Stanley.

金佰利格林伯格，摩根士丹利。

Great.

偉大的。

Thank you.

謝謝你。

Glenn, you talked about your speed pipeline a little bit at your Analyst Day, and I know you were hoping to see some impact from that pipeline in the first half.

格倫，你在分析師日談到了你的速度管道，我知道你希望在上半年看到這條管道的一些影響。

That looks like it'll come in the second half.

看起來它會在下半場出現。

Can you just help us understand the percentage of your inventory flows in the second half that will come through that speed pipeline?

您能否幫助我們了解下半年將通過該速度管道的庫存流量百分比？

Then if you could look out over the next two to three years, ultimately when it's up and running and fully adopted throughout the organization, what percentage of your inventory do you think you could actually flow through that pipeline?

然後，如果您可以在接下來的兩到三年內觀察，最終當它啟動並運行並在整個組織中完全採用時，您認為您的庫存中有多少百分比實際上可以流經該管道？

Thanks.

謝謝。

There's what I think and what I believe, and then I'll probably just answer to you what I believe is actually going to happen.

有我的想法和我的信仰，然後我可能會回答你我相信實際會發生的事情。

I'm such a believer long-term in all of the responsive supply chains initiatives we're doing.

長期以來，我一直堅信我們正在開展的所有響應式供應鏈計劃。

I know the brand presidents are as well, and their teams.

我知道品牌總裁和他們的團隊也是如此。

Speed is something at the recent investor meeting we didn't spend a lot of time talking about, to be quite honest.

老實說，在最近的投資者會議上，速度是我們沒有花很多時間談論的話題。

It's being used by our two outlet teams very well, because they're simple, they're quick, they're nimble teams, and speed has been very important to them.

我們的兩個出口團隊都很好地使用了它，因為它們簡單、快速、靈活，而且速度對他們來說非常重要。

My view of it is that now that we have fabric platforming pretty far down the line, and we've got test and respond in -- a little bit in the back half, but very, very strong in the first half of 2015, then the next priority is to have rapid response, which as you know is a longer living style, call it 24 or 26 weeks, where after the first 10 or 12 weeks, as we have a read, the second or third flow get adjusted based on real selling patterns as opposed to decisions made by the merchant and inventory management team.

我的看法是，現在我們的結構平台已經很遠了，我們已經進行了測試和響應——在後半部分有一點點，但在 2015 年上半年非常非常強大，然後下一個優先事項是快速響應，如您所知，這是一種較長的生活方式，稱之為 24 或 26 週，在前 10 或 12 週之後，正如我們所讀的那樣，第二或第三個流程會根據真實的銷售模式，而不是商家和庫存管理團隊做出的決定。

So you get -- the first flow is put out.

所以你得到 - 第一個流程被撲滅。

You get a read, and then you adjust the second and third flow.

你得到一個閱讀，然後你調整第二個和第三個流程。

Speed pipeline -- the world class number out there, let's call it, less than 12 weeks, is somewhere between 40% and 50%, and we are in the low- to mid-single digits.

速度管道——我們稱之為世界級的數字，不到 12 週，在 40% 到 50% 之間，我們處於低到中個位數。

In my world, Kimberly, I don't see why, with everything I know about our business, and the direction it's moving, and our aspiration to get to a much higher operating profit going forward -- while the other three components of responsive supply chain will certainly contribute to that -- I think speed is going to have to get somewhere between 15% and 20% of our business to really aggregate value.

在我的世界裡，金佰利，我不明白為什麼，我對我們的業務、它的發展方向以及我們對未來獲得更高營業利潤的渴望——而響應式供應的其他三個組成部分鏈肯定會為此做出貢獻——我認為速度必須在我們業務的 15% 到 20% 之間才能真正聚合價值。

I think we talked a little bit in the investor meeting about culture.

我想我們在投資者會議上談了一點文化。

I think the culture understands it, is behind it, knows it's right.

我認為文化理解它，支持它，知道它是正確的。

They're just going to sequence it likely as the fourth priority under responsive supply chain initiatives.

他們只是將其排序為響應式供應鏈計劃下的第四個優先事項。

Probably get a little bit of benefit next year, mostly, if I was to characterize it for you, I think in the second half of 2015.

明年可能會得到一點好處，主要是，如果我要為你描述它，我認為是在 2015 年下半年。

As an initiative under responsive supply chain, I can see where speed becomes a bigger part of our business.

作為響應式供應鏈下的一項舉措，我可以看到速度在哪裡成為我們業務的重要組成部分。

Great.

偉大的。

Very helpful.

非常有幫助。

Thanks.

謝謝。

Janet Kloppenburg, JJK Research.

珍妮特·克洛彭堡，JJK 研究。

Hi, everybody.

大家好你們好。

I had a question on your marketing/advertising spend.

我對您的營銷/廣告支出有疑問。

Several of the companies that I'm following, as they transition to the digital platform and yield more sales from that channel, are gaining some efficiencies in marketing, because it's less costly in that channel in some of the social media venues.

我關注的幾家公司在過渡到數字平台並從該渠道產生更多銷售額時，正在提高營銷效率，因為在某些社交媒體場所，該渠道的成本更低。

I'm wondering if that's an opportunity -- that marketing can actually increase, but cost savings may be inherent because of -- the channel mix is changing, especially because of the great growth in your omni-channel investment?

我想知道這是否是一個機會——營銷實際上可以增加，但成本節約可能是固有的，因為——渠道組合正在發生變化，特別是因為你的全渠道投資的巨大增長？

Thank you.

謝謝你。

Yes, Janet, we're starting to make those very transitions, and each brand is at a different stage.

是的，珍妮特，我們正開始進行這些轉變，每個品牌都處於不同的階段。

I would say Gap has taken a big lead in moving to digital.

我想說的是，Gap 在向數字化轉型方面取得了很大的領先。

We haven't done TV in a little bit of time there.

我們在那裡有一段時間沒有做電視了。

Old Navy actually, surprisingly, which has for years done the lion's share of our TV marketing and traditional circular marketing as well -- we started talking about in the back half of last year how they started to actually bring television down.

實際上，令人驚訝的是，Old Navy 多年來一直在我們的電視營銷和傳統循環營銷中佔據最大份額——我們在去年下半年開始談論他們是如何開始真正降低電視市場的。

Speaking of that, in the second quarter coming up here, we'll have two weeks less of television because we are reinvesting that money in other vehicles, including not only digital, but also our in-store and our windows, et cetera.

說到這一點，在即將到來的第二季度，我們將少看兩週的電視，因為我們正在將這些錢再投資於其他車輛，不僅包括數字，還包括我們的店內和櫥窗等。

We're starting to make that shift.

我們開始做出這種轉變。

I continue to encourage the teams to look holistically at the spend, because I think we're getting with the same spend -- so we just finished a quarter where marketing spend was equal to last year; I would say for the same spend, we're getting, to your point, a lot of good exposure in marketing, both all through our digital platforms as well as our traditional platforms.

我繼續鼓勵團隊從整體上看待支出，因為我認為我們的支出相同——所以我們剛剛完成了一個季度，營銷支出與去年持平；我想說，就你的觀點而言，對於同樣的支出，我們在營銷方面的曝光率很高，無論是通過我們的數字平台還是我們的傳統平台。

I think we can actually drive efficiency, to your point, over time, and spend less as we shift to some of these other mediums.

我認為隨著時間的推移，我們實際上可以提高效率，並且隨著我們轉向其他一些媒介，我們可以減少花費。

I think that is a discussion that is being hotly debated every single quarter as we move forward here, and the teams are definitely looking at all of that.

我認為這是一個在每個季度都在進行激烈辯論的討論，因為我們在這裡前進，團隊肯定會關注所有這些。

Okay.

好的。

I don't know if you revealed this or not, but for the August campaign for Gap, would that be a TV campaign or some combination of TV and other venues, as well?

我不知道你是否透露了這一點，但對於 Gap 的 8 月競選活動，那是電視活動還是電視和其他場所的某種組合？

For this coming August, more to come on that.

對於即將到來的八月，還有更多的事情要做。

As you know, we're in transition with a new agency, so that is still in development.

如您所知，我們正在與一個新機構進行過渡，因此仍在開發中。

But we're definitely going to have a lot of digital material that can be used for our websites, for a lot of different mediums.

但是我們肯定會有很多數字材料可以用於我們的網站，用於很多不同的媒體。

So in progress and more to come.

所以正在進行中，還有更多即將到來。

Great.

偉大的。

I look forward to it.

我很期待。

Thank you.

謝謝你。

(Operator Instructions)

（操作員說明）

Oliver Chen, Citigroup.

花旗集團的奧利弗·陳。

Hi, Glenn, regarding your early comments on opportunities, you spoke about customer communication.

嗨，格倫，關於您對機會的早期評論，您談到了客戶溝通。

I was just curious if you could elaborate there, where you see opportunity, and what levers it would drive in terms of the business?

我只是想知道您是否可以詳細說明，您在哪裡看到機會，以及它將在業務方面推動哪些槓桿？

Thank you.

謝謝你。

My take, Oliver, was that given the operating conditions that we dealt with in the first half of the quarter, that we took a step back in our customer communication.

奧利弗，我的看法是，考慮到我們在本季度上半年處理的運營條件，我們在客戶溝通方面後退了一步。

That's less to do with Janet's questions on mediums and content, and how to actually get that out from social tools or other tools; I just found that we became reactive, a little defensive, and used traditional means to communicate value and to drive traffic, which is percentage offs way too frequently.

這與珍妮特關於媒體和內容的問題，以及如何從社交工具或其他工具中真正獲得這些問題的關係不大；我只是發現我們變得被動，有點防禦性，並使用傳統的手段來傳達價值和推動流量，這太頻繁了。

We're too good a Company for that.

我們是一家太優秀的公司了。

We have very strong brands.

我們有非常強大的品牌。

You know, certain brands out there that we either compete against or are near us, but we don't have a direct competitive opportunity with.

您知道，某些品牌要么與我們競爭，要么就在我們附近，但我們沒有直接的競爭機會。

I get that.

我明白了。

If you're not the strong brand, then you have to make up for it with more traditional ways of driving customer attention and driving traffic and conversion.

如果您不是強大的品牌，那麼您必須用更傳統的方式來吸引客戶注意力並推動流量和轉化。

But when in your portfolio, you have Gap, Banana Republic, and Old Navy, I just have higher expectations, I said in the opening.

但是當你的投資組合中有 Gap、Banana Republic 和 Old Navy 時，我只是有更高的期望，我在開場時說過。

If you look at the businesses that did do that, that found the right balance between our enlightened and provocative customer communications, because the customer's looking for that these days; found the right medium; and struck the right balance between that and a value proposition that wasn't a predictable, we had a very good business.

如果你看看那些這樣做的企業，就會發現我們在開明和挑釁的客戶溝通之間找到了適當的平衡，因為這些天客戶正在尋找它；找到合適的媒介；並在這與不可預測的價值主張之間取得了適當的平衡，我們的業務非常好。

Case in point, I mentioned Athleta -- we don't give out their comp, but they had a very good Q1 -- and Old Navy.

舉個例子，我提到了 Athleta——我們沒有給出他們的陣容，但他們的 Q1 非常好——還有 Old Navy。

Old Navy hit it out of the park in April, because they struck the absolute great balance between provocative customer communication and a unique way of presenting value.

Old Navy 在 4 月一舉脫穎而出，因為他們在挑釁性的客戶溝通和獨特的價值展示方式之間取得了絕對的平衡。

The other brands know that, and they're going to do that going forward.

其他品牌知道這一點，他們將繼續這樣做。

This is what we expect of a portfolio where we have six brands and three iconic ones, not to be treated like just any brand.

這就是我們對擁有六個品牌和三個標誌性品牌的產品組合的期望，而不是像任何品牌一樣對待。

So higher expectations going forward.

因此，對未來的期望更高。

I think the teams know that, and when they do do it, it takes a little bit more work.

我認為團隊知道這一點，當他們這樣做時，需要更多的工作。

It involves more creativity and innovation and thought.

它涉及更多的創造力、創新和思想。

When they do do it, our business and our customers respond.

當他們這樣做時，我們的業務和客戶都會做出回應。

I'll be watching very closely and making sure that they get back on track that we expect in the next three quarters.

我將密切關注並確保他們在接下來的三個季度中回到我們預期的軌道上。

Thank you.

謝謝你。

Best regards.

此致。

Jennifer Davis, Buckingham Research Group.

詹妮弗戴維斯，白金漢研究小組。

Good afternoon.

下午好。

I was wondering if you could talk a little bit about China.

我想知道你能不能談談中國。

I know you have invested in it, and I think the largest part of your investments are over.

我知道你已經投資了，我認為你的大部分投資已經結束。

But I was wondering if as a region it's profitable, or if there's a certain number of stores that you need to get to to get to that level?

但我想知道作為一個地區它是否有利可圖，或者是否需要一定數量的商店才能達到這個水平？

If you could just talk a little bit about that?

如果你能談談這個？

Thanks.

謝謝。

We have said for the last three years that it would obviously be a drain on our earnings as we made investments in people -- we have an office now of 175 people in Shanghai -- made significant investments in marketing, because as I was mentioning to Oliver's question earlier about brand building, that's especially important.

在過去的三年裡，我們一直在說，這顯然會消耗我們的收入，因為我們在人員方面進行了投資——我們現在在上海有一個 175 人的辦公室——在營銷方面進行了大量投資，因為正如我提到的那樣奧利弗早些時候關於品牌建設的問題，這一點尤為重要。

You can get lost in a sea of commodities in apparel in China if you're not careful.

如果您不小心，您可能會迷失在中國服裝商品的海洋中。

I think that the business is really strong.

我認為這個業務真的很強大。

We feel really good about the comp performance of our existing stores.

我們對現有商店的業績感到非常滿意。

That's soon to be a pool of 82 stores sometime in 2014.

這很快就會在 2014 年的某個時候成為 82 家商店的集合。

We've got 30 more stores going in this year.

今年我們還有 30 家商店進駐。

We'll have five to six Old Navys by the end of the year.

到今年年底，我們將擁有五到六個老海軍。

All of them of online capabilities.

所有這些都具有在線功能。

We went into Taiwan.

我們去了台灣。

By the amount of capital we're spending there, the amount of energy you're getting at the most senior level of the Company -- China reports directly to me -- I think it's a real strong indicator to our shareholders and the analysts that we believe we've got a tiger by the tail, and we think where that's going to be by far our second biggest market sooner rather than later.

根據我們在那里花費的資金量，你在公司最高級別獲得的能量——中國直接向我報告——我認為這對我們的股東和分析師來說是一個真正強有力的指標我們相信我們已經抓住了一隻老虎的尾巴，我們認為它遲早會成為我們的第二大市場。

I feel good about the performance all around.

我對周圍的表現感覺很好。

Profitability is going to be there, because we think that the economic model -- as we project forward and look at the productivity in each one of our stores, we look at the gross margin rate we think we can achieve, based on three years of operating; how the SG&A is going to flow; what the ROD is going to look like.

盈利能力將在那裡，因為我們認為經濟模型——當我們向前預測並查看我們每家商店的生產力時，我們會查看我們認為可以實現的毛利率，基於三年操作; SG&A 將如何進行； ROD 會是什麼樣子。

We believe the economic model for China is going to be very attractive to the business.

我們相信中國的經濟模式將對企業極具吸引力。

But we're not going to sacrifice -- which we may have made that mistake going into new countries in the past, especially with our franchise markets -- we're not going to sacrifice the near to midterm investments for a real great long-term business.

但我們不會犧牲——我們過去在進入新國家時可能犯過這個錯誤，尤其是在我們的特許經營市場上——我們不會為了真正偉大的長期投資而犧牲近期到中期的投資——長期業務。

But we feel very good about it.

但我們對此感覺很好。

We've got a great team there running it.

我們有一個很棒的團隊在那裡運行它。

We're going to continue to make investments, but when it turns to profitability, I'm not here to declare a date, but when it does that, it's going to move very quickly into a contributing, profitable country as opposed to what it is today.

我們將繼續進行投資，但當它轉向盈利時，我不是在這裡宣布一個日期，但當它這樣做時，它將很快進入一個有貢獻的、盈利的國家，而不是它是今天。

Just a dynamic to keep in mind: Gap is improving in its profile every year, and so it's not very dilutive if you just look at Gap brand.

只是需要牢記的一個動態：Gap 的形象每年都在改善，所以如果你只看 Gap 品牌，它並不是很稀釋。

But of course, we just launched Old Navy.

當然，我們剛剛推出了 Old Navy。

You have to consider the fact that each brand launch also consumes, to Glenn's point, a meaningful amount of investment to establish the brand in the right locations with the right marketing.

你必須考慮這樣一個事實，在格倫看來，每次推出品牌都會消耗大量投資，以在正確的地點以正確的營銷方式建立品牌。

But if you think of Gap brand alone, it's definitely making progress towards its path to profitability.

但如果你只考慮 Gap 品牌，它肯定會朝著盈利之路邁進。

Okay.

好的。

Great.

偉大的。

Should we think of that as eventually similar operating margins, or potentially higher operating margins than North America?

我們應該將其視為最終相似的營業利潤率，還是可能比北美更高的營業利潤率？

It's a little soon to tell.

說起來有點快。

I guess our thesis coming in was that it's going to be a strong, very strong online market.

我想我們的論點是，這將是一個強大的、非常強大的在線市場。

That's proving out.

這證明了。

As you know, that's a -- an operating margin in that channel is over and above our bricks and mortar business.

如您所知，該渠道的營業利潤率超出了我們的實體業務。

That one I'm pretty confident.

那個我很自信。

Disproportionately, it's got a very strong online business.

不成比例地，它擁有非常強大的在線業務。

The outlet channel, I still believe long term that it's going to have multitudes, hopefully more than 100, very good outlet centers.

奧特萊斯渠道，我仍然相信從長遠來看，它將擁有眾多，希望超過 100 個，非常好的奧特萊斯中心。

That also is an operating margin over and above our bricks and mortar business.

這也是我們實體業務之外的營業利潤。

That one, we'll see how that one plays out.

那一個，我們將看到那個結果如何。

It's not heading the same trajectory I might have assumed two years ago.

它與我兩年前可能假設的軌跡不同。

It's good, and we're going to open 8 or 10 a year for the foreseeable future, but I'm hoping that'll pick up as more developers from outside of China, including Chinese developers, build these amazing outlet centers.

這很好，在可預見的未來我們將每年開設 8 或 10 家，但我希望隨著更多來自中國以外的開發商，包括中國開發商，建立這些令人驚嘆的奧特萊斯中心，這將有所增加。

The 10 or 12 we're in right now are fantastic.

我們現在所在的 10 或 12 非常棒。

We just think they have right mix of tenants.

我們只是認為他們有合適的租戶組合。

We'll see how that plays out.

我們將看看結果如何。

For us, if the productivity per foot is better than average, then most cases you can assume we can get a better operating margin for total country than we have in North America.

對我們來說，如果每英尺的生產力好於平均水平，那麼大多數情況下，您可以假設我們可以在整個國家/地區獲得比北美更好的營業利潤率。

Let's hope that the sales per foot in China continue at the rate they're at right now.

讓我們希望中國的每英尺銷售額能繼續保持目前的水平。

All right.

好的。

Great.

偉大的。

Thanks, and best of luck.

感謝和好運。

Matt McClintock, Barclays.

馬特麥克林托克，巴克萊。

Hi.

你好。

Good afternoon, everyone.

大家下午好。

Glenn, I was wondering if you could talk about -- I know it's a little early, but if you could just talk about -- you have a lot of initiatives going on, whether that be the global Gap assortment, Reserve in Store, Order in Store, et cetera.

格倫，我想知道你是否可以談談——我知道現在有點早，但如果你可以談談——你有很多計劃正在進行中，無論是全球 Gap 分類、商店中的儲備、訂單在商店等。

How do you think about the holiday season, or this holiday season, how you plan to address that, given that you have so many different initiatives going on, so many stories to tell, and so many different ways to tell those stories?

你如何看待這個假期，或者這個假期，你打算如何解決這個問題，因為你有這麼多不同的計劃，這麼多的故事要講，還有這麼多不同的方式來講述這些故事？

Thank you.

謝謝你。

That's actually a good question.

這實際上是一個好問題。

What I can tell you -- we may have said on the February call that we really probably could have done better in holiday 2013.

我可以告訴你的——我們可能在 2 月的電話會議上說過，我們真的很可能在 2013 年假期做得更好。

A little bit to an earlier question, I'll use the same word, but I think we were a little too predictable in our holiday assortment, our holiday messaging.

對於前面的問題，我會使用同一個詞，但我認為我們在假期分類和假期信息方面有點過於可預測了。

This is a good customer, relatively speaking, but they need a different kind of communication than the customer of 2007.

相對而言，這是一個很好的客戶，但他們需要的溝通方式與 2007 年的客戶不同。

You've got to reach out in a much more different way.

你必須以一種更加不同的方式進行接觸。

They need to really be inspired and engaged in order to participate in your brand.

他們需要真正受到啟發和參與才能參與您的品牌。

We came back in January, and the teams right away got in while it was fresh on their minds into holiday 2014 planning.

我們在 1 月份回來了，當他們對 2014 年假期計劃的計劃還很新鮮時，團隊就立即加入了進來。

What I can tell you is that I think that we're making the necessary adjustments.

我可以告訴你的是，我認為我們正在做出必要的調整。

We're not quite blowing it up, but we are severely changing how we're going to deal with holiday 2014, starting with product.

我們並沒有把它搞砸，但我們正在徹底改變我們將如何處理 2014 年假期，從產品開始。

We're definitely going to change the cadence in which we speak to customers, and you're basically looking at a November 1 through December 24 time line.

我們肯定會改變我們與客戶交談的節奏，您基本上是在查看 11 月 1 日到 12 月 24 日的時間線。

We know it's a global business, so it's not like the opportunity for us is only in North America.

我們知道這是一項全球業務，所以對我們來說，機會不僅僅在北美。

It's a global opportunity to do the right thing on a holiday season.

這是一個在假期做正確事情的全球機會。

Marketing, mix of channels, delivery schedules for online, I think we've torn the whole thing upside down the month of January, and we're really working hard.

營銷、渠道組合、在線交付時間表，我認為我們在 1 月份把整個事情搞砸了，我們真的很努力。

It's a very important quarter for us that we want to make sure we end strong, because ending strong in a lot of cases means you can start strong.

對我們來說，這是一個非常重要的季度，我們希望確保我們以強勢結束，因為在很多情況下強勢結束意味著你可以開始強勢。

A lot of great work has gone on to get ready for Q4, and I'm happy maybe in the call in August to fill you in more.

為為第四季度做準備，已經進行了很多出色的工作，我很高興在 8 月份的電話會議中為您提供更多信息。

Thank you very much.

非常感謝。

Great.

偉大的。

I'd like to thank everyone for joining us for the call today.

我要感謝大家今天加入我們的電話會議。

As a reminder, our earnings press release, which is available on GapInc.com, contains a full recap of our first quarter results as well as the forward-looking guidance included in our prepared remarks.

提醒一下，我們在 GapInc.com 上發布的收益新聞稿包含對我們第一季度業績的完整回顧以及我們準備好的評論中包含的前瞻性指導。

And as always, the Investor Relations team is available after the call for questions.

與往常一樣，投資者關係團隊在電話提問後隨時待命。

Thank you.

謝謝你。

Thank you.

謝謝你。

That concludes our conference.

我們的會議到此結束。

You may now disconnect.

您現在可以斷開連接。