蓋璞 (GPS) 2024 Q1 法說會逐字稿

Good afternoon, ladies and gentlemen. I would like to welcome everyone to the Gap Inc. first quarter 2024 earnings conference call. (Operator Instructions)

女士們、先生們，午安。歡迎大家參加 Gap Inc. 2024 年第一季財報電話會議。 （操作員說明）

I would now like to introduce your host, Emily Gacka, Director of Investor Relations.

現在我想介紹一下主持人，投資者關係總監 Emily Gacka。

Good afternoon, everyone. Welcome to Gap Inc.'s First Quarter Fiscal 2024 Earnings Conference Call. Before we begin, I'd like to remind you that information made available on this conference call contains forward-looking statements that are subject to risks that could cause our actual results to be materially different.

大家下午好。歡迎參加 Gap Inc. 2024 財年第一季財報電話會議。在開始之前，我想提醒您，本次電話會議中提供的資訊包含前瞻性陳述，這些陳述存在可能導致我們的實際結果出現重大差異的風險。

For information on factors that could cause our actual results to differ materially from any forward-looking statements, please refer to the cautionary statements contained in our latest earnings press release. The risk factors described in the company's annual report on Form 10-K filed with the Securities and Exchange Commission on March 19, 2024, and any subsequent filings with the Securities and Exchange Commission. All of which are available on gapinc.com.

有關可能導致我們的實際結果與任何前瞻性陳述存在重大差異的因素的信息，請參閱我們最新收益新聞稿中包含的警示性聲明。該公司於 2024 年 3 月 19 日向美國證券交易委員會提交的 10-K 表格年度報告以及隨後向美國證券交易委員會提交的任何文件中描述的風險因素。所有這些都可以在gapinc.com 上找到。

These forward-looking statements are based on information as of today, May 30, 2024, and we assume no obligation to publicly update or revise our forward-looking statements. Our latest earnings release and the accompanying materials available on gapinc.com also include descriptions and reconciliations of any financial measures not consistent with generally accepted accounting principles.

這些前瞻性陳述是基於截至今天（2024 年 5 月 30 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。我們最新的收益發布以及gapinc.com上提供的隨附材料還包括對任何不符合公認會計原則的財務措施的描述和調節。

Joining me on the call today are Chief Executive Officer, Richard Dickson; and Chief Financial Officer, Katrina O'Connell.

今天與我一起參加電話會議的是執行長理查德·迪克森 (Richard Dickson)；和財務長卡特里娜·奧康奈爾。

With that, I'll turn the call over to Richard.

這樣，我就把電話轉給理查。

Good afternoon, and thank you for joining us. During today's call, I'll provide an update on our first quarter performance and progress in the context of our strategic priorities. Then Katrina will walk you through our detailed financial results and share our outlook before we open up the call for questions.

下午好，感謝您加入我們。在今天的電話會議中，我將根據我們的策略重點介紹第一季業績和進展的最新情況。然後，卡崔娜颶風將向您介紹我們詳細的財務業績，並在我們開始提問之前分享我們的前景。

Gap Inc. delivered a strong quarter that exceeded expectations across key metrics. Importantly, we gained market share for the fifth consecutive quarter with share gains and positive comparable sales at all brands, demonstrating improved relevance with our customers as we execute against our brand reinvigoration playbook. We are on a journey to become a high-performing house of iconic American brands that shape culture but this will take time, perseverance and rigor. That said, I am encouraged by the momentum and results.

Gap Inc. 的季度表現強勁，各項關鍵指標均超出預期。重要的是，我們連續第五個季度獲得了市場份額，所有品牌的份額增長和可比較銷售額均呈正值，這表明我們在執行品牌復興策略時與客戶的相關性有所提高。我們正在努力成為塑造文化的高性能標誌性美國品牌之家，但這需要時間、毅力和嚴謹。儘管如此，我對這種勢頭和結果感到鼓舞。

We remain focused on our 4 strategic priorities, which are: first, maintaining and delivering financial and operational rigor; second, the reinvigoration of our brands; third, strengthening our platform; and fourth, energizing our culture.

我們仍然專注於我們的 4 個策略重點，它們是：第一，保持和實現財務和營運的嚴謹性；第二，品牌的復興；第三，加強我們的平台；第四，為我們的文化注入活力。

Let's start with financial and operational rigor. The improvement in our first quarter performance reflects our continued focus on this important priority. Comp sales for the company were up 3% with positive comps for all brands. Old Navy posted comps up 3%, the highest quarterly comp in 3 years with continued strength in the women's business. Gaps comps were also up 3%, gaining share in men's, women's and kids and baby with women's performing well again driven in part by success in our Linen Moves campaign. Banana Republic comps were up 1% as the brand continues to focus on strengthening fundamentals. And Athleta's comps were up 5% in the quarter, reflecting better execution against the brand strategy, and encouraging signs of customer response to new product innovation.

讓我們從財務和營運的嚴格性開始。我們第一季業績的改善反映了我們對這一重要優先事項的持續關注。該公司的同類產品銷售額成長了 3%，所有品牌的同類產品銷售量均呈正值。 Old Navy 的業績成長了 3%，是 3 年來最高的季度業績，女裝業務持續強勁。 Gaps 的銷售額也成長了 3%，在男裝、女裝、童裝和嬰兒裝中的份額不斷增加，其中女裝的表現再次出色，部分原因是我們的 Linen Moves 活動取得了成功。 Banana Republic 的股價上漲了 1%，因為該品牌繼續致力於加強基本面。 Athleta 的比較在本季成長了 5%，反映出品牌策略執行得更好，且客戶對新產品創新的反應令人鼓舞。

We expanded gross margin in the quarter and remained focused on managing expenses resulting in significant operating margin expansion. We also maintained rigorous inventory discipline with first quarter levels down 15% year-over-year. We ended the quarter with $1.7 billion of cash, cash equivalents and short-term investments on the balance sheet. Our financial footing remains strong and positions our company well for the future.

我們在本季擴大了毛利率，並繼續專注於管理費用，從而實現了營業利潤率的大幅成長。我們也保持嚴格的庫存紀律，第一季庫存水準年減 15%。本季結束時，我們的資產負債表上有 17 億美元的現金、現金等價物和短期投資。我們的財務基礎依然強勁，為我們公司的未來奠定了良好的基礎。

Operational and financial rigor is becoming the fabric of how we work, which we will continue to reinforce through better processes and cultural accountability. And expense efficiencies will continue to be an area of focus.

營運和財務嚴謹性正在成為我們工作方式的基礎，我們將透過更好的流程和文化問責制繼續加強這一點。費用效率將繼續成為關注的焦點。

Turning to our next strategic priority. We're focused on driving relevance and revenue by executing on our brand reinvigoration playbook. Each brand is at a different point in the process, but I'm encouraged by the improvements we're driving across the portfolio. We are building stronger brand identities and purpose recently highlighted by Gap Brand championing originality with our Linen Moves campaign.

轉向我們的下一個策略重點。我們專注於透過執行我們的品牌復興手冊來提高相關性和收入。每個品牌都處於這個過程中的不同階段，但我們在整個產品組合中推動的改進讓我感到鼓舞。我們正在建立更強大的品牌形象和宗旨，Gap Brand 最近透過我們的 Linen Moves 活動倡導原創性來強調這一點。

In terms of trend-right products, Old Navy is seeing product improvement across the board. Gap Brand is seeing success in standing behind big ideas, Banana Republic is making headway with its classic line and Athleta product innovation is gaining traction. Our products are being amplified through more compelling storytelling across each brand, cutting through with clarity and better differentiation.

在潮流產品方面，Old Navy 的產品正在全面改進。 Gap Brand 在支持偉大創意方面取得了成功，Banana Republic 憑藉其經典系列取得了進展，Athleta 產品創新也日益受到關注。我們的產品透過每個品牌更引人注目的故事敘述而放大，以清晰和更好的差異化方式貫穿始終。

Cultural relevance and marketing are starting to show up in metrics that matter like buzz, consideration and brand relevance. We are working to provide our customers with a more engaging omnichannel experience with improved digital execution, new layout and visual merchandising tests in our stores and a clearer and compelling pricing strategy. And we aim to execute with excellence in-store and online across these pillars. Each of these are early proof points of the playbook in action. Over time, we expect to see this unfold more consistently and more holistically.

文化相關性和行銷開始體現在熱門指標、關注度和品牌相關性等重要指標。我們致力於透過改進的數位執行、新的佈局和商店視覺行銷測試以及更清晰和引人注目的定價策略，為客戶提供更具吸引力的全通路體驗。我們的目標是在店內和網路上在這些支柱上實現卓越的執行。這些都是劇本實際應用的早期證據。隨著時間的推移，我們期望看到這種情況更加一致、更加全面地展開。

Now I'd like to update you on the progress of each of our brands. At Old Navy, we are reasserting the brand and being more deliberate and consistent about how we express the brand, clearly communicating fashion and value for the family.

現在我想向您介紹我們每個品牌的最新進展。在 Old Navy，我們正在重申品牌，並更加謹慎和一致地表達品牌，清晰地傳達時尚和家庭價值。

Old Navy's brand acceptance scores for quality, impression and reputation are strong, giving us confidence that Old Navy is reasserting its position as the style authority in the value space. In the first quarter, we continued to focus on driving strength in the Old Navy women's business, while also highlighting looks for the family through campaigns featuring spring colors and fabrications like linen.

Old Navy 在品質、印象和聲譽方面的品牌接受度得分很高，這讓我們相信 Old Navy 正在重新確立其在價值領域的時尚權威地位。在第一季度，我們繼續專注於推動 Old Navy 女裝業務的發展，同時也透過以春季色彩和亞麻等面料為特色的宣傳活動來強調家庭裝扮。

A key category for the brand is Active, where Old Navy is the fifth largest brand in the space. We are driving outperformance with intent in this category with share gains for the third consecutive quarter. We have also made a concerted effort to build greater trust with our consumers through precision and clarity around the combination of storytelling and pricing with WOW prices in-store and online.

該品牌的一個關鍵類別是 Active，其中 Old Navy 是該領域第五大品牌。我們正在努力推動這一類別的卓越表現，並連續第三個季度實現份額成長。我們也齊心協力，透過精確、清晰的故事敘述和定價以及店內和網路上的令人驚嘆的價格，與消費者建立更大的信任。

We continue to test opportunities to enhance customer experience in the store through physical layout and new merchandising strategies. These actions are driving better consistency and experience and the consumer is noticing, enabling us to win market share in key categories like Active and Dresses in the quarter.

我們繼續嘗試透過實體佈局和新的行銷策略來增強店內客戶體驗。這些行動正在推動更好的一致性和體驗，消費者也注意到了這一點，使我們能夠在本季度贏得運動和連身裙等關鍵類別的市場份額。

At Gap, we are reigniting the brand. working to deliver confident trend-right products, price right and expressed through big ideas and culturally relevant messaging. Linen Moves is a great example of taking trend-right product and amplifying it, turning it into a big idea expressed through compelling in-store merchandising and strong digital execution.

在 Gap，我們正在重新點燃這個品牌的光芒。致力於提供充滿信心的順應潮流、價格合理的產品，並透過偉大的創意和文化相關的訊息來表達。 Linen Moves 是一個很好的例子，它採用了順應潮流的產品並將其放大，將其變成透過引人注目的店內銷售和強大的數位執行來表達的大創意。

During the quarter, we saw outsized results within this category with Gap linen sales up double digits versus last year. Building on this success and the continuation of the campaign new deliveries will include new colors and new styles as we aim to secure a leadership position in this important seasonal fabrication. While this campaign itself is encouraging, our focus going forward is on relentless repetition of these type of creative expressions.

在本季度，我們看到了該類別的巨大業績，Gap 亞麻製品的銷售額比去年增長了兩位數。在此成功和活動的持續基礎上，新交付的產品將包括新顏色和新款式，因為我們的目標是確保在這一重要季節性製造領域的領導地位。雖然這項活動本身令人鼓舞，但我們未來的重點是不斷重複這些類型的創意表達。

Collaborations also remain an important part of our brand strategy. The recent launch of our limited edition 51 piece collection with California clothing label DÔEN is generating buzz, driving both relevance and revenue for the brand. These examples demonstrate the progress unfolding through better storytelling, improved assortments and our stronger brand identity. Our stores are presenting a clearer brand narrative, and we're showing up for the customer with healthier in-stock levels. These actions are building a stronger foundation that we believe will drive more consistent performance over time.

合作仍然是我們品牌策略的重要組成部分。最近，我們與加州服裝品牌 DäEN 合作推出了 51 件限量版系列，引起了轟動，推動了品牌的相關性和收入。這些例子展示了我們透過更好的故事講述、改進的品種和更強的品牌形象所取得的進展。我們的商店正在呈現更清晰的品牌敘述，並且我們以更健康的庫存水平向顧客展示。這些行動正在建立一個更強大的基礎，我們相信隨著時間的推移，這將推動更一致的績效。

Turning to Banana Republic. We are focusing on reestablishing this brand to thrive in the premium lifestyle space. The work to fix the fundamentals is underway, and we are starting to see green shoots in the first quarter with positive comp growth, a notable improvement versus the fourth quarter.

轉向香蕉共和國。我們致力於重建這個品牌，以便在高端生活方式領域蓬勃發展。修復基本面的工作正在進行中，我們開始看到第一季的萌芽，公司業績正成長，與第四季相比有了顯著改善。

Banana Republic classics and finest fabrics performed well, benefiting from foundational improvements, including increased product depth in stores, elevated marketing and better site execution. With the close of the first quarter, we decided to commence a leadership transition at the brand. We see a significant opportunity for Banana Republic and are working to set the stage for improved future performance under new leadership.

香蕉共和國的經典款和優質面料表現良好，這得益於基礎性的改進，包括增加商店的產品深度、提升行銷水平和更好的網站執行。第一季結束後，我們決定開始品牌的領導過渡。我們看到了香蕉共和國的重大機遇，並正在努力為在新領導層的領導下改善未來業績奠定基礎。

We are resetting Athleta a brand with significant growth potential and a clear and distinct brand positioning rooted in the Power of She. Core bottoms performed well in the quarter, giving us confidence as we accelerate this loyalty gateway category. Brand heat and excitement were evident in the response to our limited edition drops.

我們正在將 Athleta 重新打造為一個具有巨大成長潛力和植根於「她的力量」的清晰獨特品牌定位的品牌。核心底層在本季表現良好，這給了我們信心，因為我們加速了這個忠誠度門戶類別的發展。人們對我們限量版產品的反應顯而易見，品牌熱度和興奮感顯而易見。

Our innovative fabric PowerMove successfully launched with train and run products contributing to the significant improvement in results in the first quarter. This year has been a major step forward for women's sports as female athletes globally are beginning to get the attention and credit they've long deserved. It's an important cultural moment and one that we're proud to authentically participate in as the largest athletic brand, singularly focused on empowering women and girls.

我們的創新布料 PowerMove 成功推出了訓練和運行產品，為第一季業績的顯著改善做出了貢獻。今年是女子運動向前邁出的重要一步，全球女運動員開始獲得她們長期以來應得的關注和讚譽。這是一個重要的文化時刻，我們很自豪能作為最大的運動品牌真正參與其中，特別專注於賦予婦女和女孩權力。

Athleta has developed the power of she collected comprised of legendary athletes including Simone Biles and Katie Ledecky serving as game-changing brand ambassadors united in their mission to empower women and girls. The positive signs we're seeing at Athleta are encouraging, and we believe the team is on the right track.

Athleta 發展了由西蒙·拜爾斯(Simone Biles) 和凱蒂·萊德基(Katie Ledecky) 等傳奇運動員組成的團隊的力量，他們擔任改變遊戲規則的品牌大使，團結一致，肩負著賦予婦女和女孩權力的使命。我們在 Athleta 看到的積極跡象令人鼓舞，我們相信球隊正走在正確的道路上。

Moving to the third strategic priority, strengthening our operating platform, I talked to you last quarter about opportunities to drive scale and efficiency across our organization and to better support our brands through our platform functions like supply chain, technology and media.

轉向第三個策略重點，即加強我們的營運平台，我在上個季度與大家討論了推動整個組織規模和效率的機會，以及透過我們的供應鏈、技術和媒體等平台功能更好地支持我們的品牌。

After conducting an internal assessment that I mentioned last quarter, we identified an opportunity to implement a new operating model for media activation that will enable us to up-level our marketing capabilities and offer our brand teams better leverage. As part of this effort, during the first quarter, we selected a new premier media agency partner who will help us to leverage our media dollars to be more effective in creating demand and building brand equity.

在進行了我上季度提到的內部評估後，我們發現了實施新的媒體啟動營運模式的機會，這將使我們能夠提高行銷能力並為我們的品牌團隊提供更好的影響力。作為這項努力的一部分，我們在第一季選擇了新的頂級媒體代理商合作夥伴，他將幫助我們利用我們的媒體資金更有效地創造需求和建立品牌資產。

This new model and approach will centralize and optimize our media mix across the marketing funnel and align measurement and metrics across brands. It will also elevate our ability to use content as a strategic differentiator for cultural amplification, supporting a key element of our brand reinvigoration playbook. This is a great example of strengthening our platform and leveraging the scale of Gap Inc. to bring greater value and capabilities to our individual brands. We look forward to sharing more as we initiate this important partnership.

這種新的模型和方法將集中和優化我們整個行銷管道的媒體組合，並調整跨品牌的衡量和指標。它也將提高我們利用內容作為文化放大的策略差異化因素的能力，支持我們品牌復興策略的關鍵要素。這是加強我們的平台並利用 Gap Inc. 的規模為我們的各個品牌帶來更大價值和能力的一個很好的例子。我們期待在啟動這一重要合作夥伴關係時分享更多資訊。

And the fourth strategic priority is culture. Over the last 9 months, I have hosted numerous town halls where thousands of employees from around the world tune in, both in person and virtually. The excitement is building across our organization. We are seeing more collaboration between our teams, and accountability is becoming the cultural norm. Chief People Officer, Amy Thompson, has been working alongside our teams to put our company values into action, evolving us into a more customer-centric organization, that approaches business through a lens of curiosity and collaboration and focused on achieving excellence.

第四個策略重點是文化。在過去的 9 個月裡，我主持了許多市政廳活動，來自世界各地的數千名員工親自或透過虛擬方式參加了會議。我們整個組織都很興奮。我們看到團隊之間的協作越來越多，問責制正在成為文化規範。人力長 Amy Thompson 一直與我們的團隊合作，將公司價值觀付諸行動，將我們發展成為一個更以客戶為中心的組織，透過好奇心和協作的視角來處理業務，並專注於實現卓越。

2024 is off to a good start. As we continue to execute our 4 strategic priorities, we are dialing up the exciting and thoughtful work to reinvigorate our brands against a backdrop of macroeconomic and geopolitical uncertainty, we performed well and delivering encouraging results in the first quarter, giving us the confidence to raise our guidance for the year.

2024 年是一個好的開始。隨著我們繼續執行我們的4 項戰略重點，我們正在進行令人興奮和深思熟慮的工作，以在宏觀經濟和地緣政治不確定性的背景下重振我們的品牌，我們在第一季度表現良好並取得了令人鼓舞的業績，這讓我們有信心提高我們今年的指導。

Before Katrina walks you through the detailed results, I'd like to take a moment to thank our global team across our stores, distribution centers and headquarters and all of our partners for their hard work and dedication as we continue to execute and unlock the power of Gap Inc. We know we have a lot of work to do, and we are excited about the opportunities ahead.

在卡特里娜向您介紹詳細的結果之前，我想花一點時間感謝我們遍布商店、配送中心和總部的全球團隊以及我們所有的合作夥伴，感謝他們在我們繼續執行和釋放力量的過程中所做的辛勤工作和奉獻我們知道我們還有很多工作要做，我們對未來的機會感到興奮。

And now I'll turn the call to Katrina for a closer look at our financials.

現在我將打電話給卡崔娜颶風，以便更仔細地了解我們的財務狀況。

Thank you, Richard, and thanks, everyone, for joining us this afternoon. We're pleased to report first quarter results ahead of our expectations with all brands in our portfolio, driving positive comparable sales and market share gains. In addition, we remained focused on the discipline we've created around margin expansion, expense and inventory management and maintaining a strong balance sheet, which resulted in notably improved operating profit and cash flow versus the prior year.

謝謝理查德，也謝謝大家今天下午加入我們。我們很高興地報告我們投資組合中所有品牌的第一季業績，超出了我們的預期，推動了可比銷售額和市場份額的積極成長。此外，我們仍然專注於圍繞利潤擴張、費用和庫存管理以及保持強勁的資產負債表制定的紀律，這導致營業利潤和現金流與前一年相比顯著改善。

The rigor we've developed is becoming core to how we operate, as Richard noted, and it is enabling us to focus on what matters, driving relevance in revenue as we aspire to become a high-performing house of iconic American brands.

正如理查德所指出的那樣，我們所建立的嚴謹性正在成為我們營運方式的核心，它使我們能夠專注於重要的事情，推動收入的相關性，因為我們渴望成為一家高性能的標誌性美國品牌公司。

Some key highlights from the first quarter include the following: Net sales and comparable sales were both up 3% ahead of our expectations, with all 4 brands delivering positive comparable sales in the quarter. We delivered approximately 400 basis points of gross margin expansion and managed SG&A dollars in line with our expectations, delivering approximately 140 basis points of leverage. This resulted in operating margin of 6.1% for Q1, a 560 basis point improvement versus last year's adjusted operating margin. And we ended the quarter with $1.7 billion of cash, cash equivalents and short-term investments on the balance sheet.

第一季的一些主要亮點包括： 淨銷售額和可比銷售額均成長 3%，超出我們的預期，所有 4 個品牌在本季度均實現了正可比銷售額。我們實現了約 400 個基點的毛利率擴張，並按照我們的預期管理了 SG&A 美元，實現了約 140 個基點的槓桿率。這使得第一季的營業利潤率為 6.1%，比去年調整後的營業利潤率提高了 560 個基點。截至本季末，我們的資產負債表上有 17 億美元的現金、現金等價物和短期投資。

With the outperformance in the first quarter, we are raising our full year 2024 outlook for both revenue and operating income, demonstrating confidence that the progress on our 4 strategic priorities is driving near-term results, as well as building a strong foundation to deliver long-term shareholder value.

鑑於第一季的出色表現，我們上調了 2024 年全年收入和營業收入的預期，表明我們有信心我們的 4 項戰略重點的進展正在推動近期業績，並為實現長期業績奠定了堅實的基礎。 - 長期股東價值。

Now turning to the detailed results for the quarter. Net sales of $3.4 billion increased 3% versus last year, with comparable sales up 3% as well. Due to the 53rd week in fiscal 2023, in order to maintain consistency Comparable sales for the first quarter of fiscal 2024 are compared to the 13 weeks ended May 6, 2023.

現在轉向本季的詳細業績。淨銷售額為 34 億美元，比去年成長 3%，可比銷售額也成長 3%。由於是 2023 財年的第 53 週，為了保持一致性，2024 財年第一季的可比銷售額與截至 2023 年 5 月 6 日的 13 週進行了比較。

By brand, starting with Old Navy, net sales were $1.9 billion, up 5% versus last year, with comparable sales up 3%. This represented the third consecutive quarter of positive comps at the brand as continued focus on operational rigor and brand reinvigoration has started to build improved consistency and performance.

按品牌劃分，從 Old Navy 開始，淨銷售額為 19 億美元，比去年增長 5%，可比銷售額增長 3%。這代表著該品牌連續第三個季度取得積極業績，因為持續關注營運嚴謹性和品牌復興已開始提高一致性和績效。

Turning to Gap brand. Net sales of $689 million were flat to last year, and comparable sales were up 3%. We are proud of the hard work the teams have done over the last few years to close unprofitable stores and partner several of our international markets. These strategic changes have begun to create a healthier core. While there's work to do, the recent brand reinvigoration efforts at GAP have resulted in positive comp sales during the last 2 quarters, driven by strong marketing and product execution.

轉向Gap品牌。淨銷售額為 6.89 億美元，與去年持平，可比銷售額成長 3%。我們為過去幾年團隊為關閉不盈利的商店和與我們的幾個國際市場合作所做的辛勤工作感到自豪。這些策略變化已經開始創造一個更健康的核心。雖然還有很多工作要做，但在強勁的營銷和產品執行的推動下，GAP 最近的品牌復興工作在過去兩個季度實現了積極的銷售業績。

Banana Republic net sales of $440 million improved 2% year-over-year with comparable sales up 1%. As Richard mentioned, we are working to reestablish Banana Republic and improve the fundamentals of the brand. While it's still early in the journey, we are pleased to see the focus on execution of Banana Republic show up in better first quarter results.

Banana Republic 淨銷售額為 4.4 億美元，較去年同期成長 2%，可比銷售額成長 1%。正如理查德所提到的，我們正在努力重建香蕉共和國並改善品牌的基礎。雖然現在還處於早期階段，但我們很高興看到香蕉共和國對執行的關注在第一季取得了更好的業績。

Athleta net sales of $329 million increased 2% versus last year. Comparable sales were up 5% year-over-year, a significant improvement versus negative 10% in the fourth quarter as consumers responded positively to the new product, brand expression and activations. We're encouraged by the outperformance of Athleta in the quarter and remain confident in the long-term potential of this incredible brand. In the second quarter, the brand will lap the last of the prior year's heavy discounting. And as a result, we are planning second quarter net sales for Athleta to be down mid-single digits versus last year, as we navigate this unique period.

Athleta 淨銷售額為 3.29 億美元，比去年成長 2%。由於消費者對新產品、品牌表達和活動反應積極，可比銷售額年增 5%，較第四季的負 10% 有了顯著改善。我們對 Athleta 本季的出色表現感到鼓舞，並對這個令人難以置信的品牌的長期潛力充滿信心。第二季度，該品牌將結束去年的大幅折扣。因此，隨著我們度過這個獨特的時期，我們計劃第二季度 Athleta 的淨銷售額比去年下降中個位數。

Now turning to gross margin for the quarter. Gross margin of 41.2% expanded 410 basis points versus last year's reported gross margin. Compared to last year's adjusted rate, gross margin expanded approximately 400 basis points. Merchandise margin expanded 330 basis points, with the remaining 70 basis points from ROD leverage. The merchandise margin expansion was driven by an estimated 200 basis points of lower commodity costs with better inventory management contributing to the remaining improvement.

現在轉向本季的毛利率。毛利率為 41.2%，比去年公佈的毛利率增加了 410 個基點。與去年調整後的毛利率相比，毛利率擴大了約400個基點。商品利潤率擴大了 330 個基點，其餘 70 個基點來自 ROD 槓桿。商品利潤率的成長是由於商品成本降低約 200 個基點以及更好的庫存管理推動了剩餘的改善。

Now let me turn to SG&A. SG&A was $1.2 billion in the quarter, in line with our prior outlook. SG&A of 35.2% leveraged 220 basis points versus last year's reported rate and 140 basis points versus last year's adjusted rate.

現在讓我來談談SG&A。本季的 SG&A 為 12 億美元，與我們先前的預期一致。 SG&A 為 35.2%，槓桿率比去年報告的利率高出 220 個基點，比去年調整後的利率高出 140 個基點。

First quarter operating margin of 6.1% improved 640 basis points compared to last year's reported operating margin and 560 basis points versus last year's adjusted operating margin, driven by gross margin expansion and SG&A leverage.

在毛利率擴張和 SG&A 槓桿的推動下，第一季營業利潤率為 6.1%，比去年報告的營業利潤率提高了 640 個基點，比去年調整後的營業利潤率提高了 560 個基點。

Earnings per share in the quarter were $0.41 and versus last year's reported loss per share of $0.05 and $0.01 of adjusted earnings per share.

本季每股收益為 0.41 美元，而去年公佈的每股虧損為 0.05 美元，調整後每股收益為 0.01 美元。

Now turning to the balance sheet and cash flow. We maintained disciplined inventory management, ending Q1 down 15% year-over-year. Over the last year, we have meaningfully rationalized overall inventory levels, returning to our goal of managing a healthy stock-to-sales ratio. Where inventory growth lagged sales growth. With that principle in mind, second quarter inventory is planned to be down in the low single-digit range versus last year.

現在轉向資產負債表和現金流量。我們保持嚴格的庫存管理，第一季末比去年同期下降 15%。去年，我們對整體庫存水準進行了有意義的合理化，回歸到管理健康的庫存與銷售比率的目標。庫存成長落後於銷售成長。考慮到這項原則，第二季庫存計畫比去年下降到個位數的低水準。

As I mentioned earlier, we ended the quarter with cash, cash equivalents and short-term investments of $1.7 billion, an increase of 48% from last year. Net cash from operating activities was $30 million in the first quarter, driven by higher operating profit. We remain committed to delivering an attractive quarterly dividend as a core component of total shareholder returns.

正如我之前提到的，本季末我們的現金、現金等價物和短期投資為 17 億美元，比去年增長 48%。由於營業利潤增加，第一季營業活動產生的淨現金為 3 千萬美元。我們仍然致力於提供有吸引力的季度股息，作為股東總回報的核心組成部分。

During the quarter, we paid a dividend of $0.15 per share. On May 7, our Board approved maintaining that $0.15 dividend for the second quarter of fiscal 2024. As I reflect on our first quarter results, I'm encouraged by the improved financial performance, enabled by continued focus, discipline and rigor, driving revenue growth across our portfolio of brands.

本季度，我們支付了每股 0.15 美元的股息。 5 月7 日，我們的董事會批准維持2024 財年第二季0.15 美元的股利。嚴謹，推動了營收成長我們的品牌組合。

Now let me provide some details on our updated outlook. Starting with full year 2024. As a result of our strong first quarter results, we are increasing our outlook for fiscal 2024. Reflecting higher sales and meaningfully higher operating income growth compared to our prior expectations. We now expect fiscal year 2024 net sales to be up slightly year-over-year, excluding the 53rd week compared to our prior outlook for net sales to be roughly flat.

現在讓我提供有關我們最新展望的一些詳細資訊。從 2024 年全年開始。我們現在預計 2024 財年淨銷售額將年比小幅成長（不包括第 53 週），而我們先前對淨銷售額的預期大致持平。

Our first quarter performance is encouraging and gives us confidence in our revised outlook as we balance the stronger trends with other unique factors. First, as a reminder, 2024 is a 52-week year, but will be compared in total to a 53-week year in 2023. To reiterate, the loss of the 53rd week results in a detrimental impact of approximately $160 million to fiscal 2024 net sales. And I would like to provide more detail on the impact of the quarterly cadence of sales in the year.

我們第一季的業績令人鼓舞，讓我們對修訂後的前景充滿信心，因為我們平衡了強勁的趨勢與其他獨特因素。首先，提醒一下，2024 年是一個為期 52 週的年份，但與 2023 年的 53 週年份相比。銷售額。我想提供有關今年季度銷售節奏影響的更多詳細資訊。

The first quarter 2024 net sales benefited by approximately 2 percentage points from the timing shift as we lost a low volume week in February and added a modestly larger volume week in May. We expect second and third quarter to also benefit by approximately 1 percentage point each due to weekly shifts. The fourth quarter is more dramatically impacted as it loses November week 1, which is a high-volume week. The impact in the fourth quarter is expected to be a negative impact to sales of approximately 7 percentage points. This sales loss will also impact gross margin due to ROD deleverage on the lower sales volume.

2024 年第一季的淨銷售額因時間轉變而受益約 2 個百分點，因為我們失去了 2 月份成交量較低的一周，並在 5 月份增加了成交量適度較大的一周。我們預計第二季和第三季由於每週輪班，也將分別受益約 1 個百分點。第四季受到的影響更為顯著，因為它失去了 11 月的第一周，這是成交量較高的一周。預計第四季的影響將對銷售額產生約7個百分點的負面影響。由於 ROD 去槓桿化導致銷售量下降，銷售損失也將影響毛利率。

Second, similar to last quarter, global economic conditions remain uncertain and are top of mind. Our outlook assumes modest impacts in the first half related to the trade situation in the Red Sea which to date have largely been in line with our expectations.

其次，與上季類似，全球經濟狀況仍不確定，是人們最關心的問題。我們的前景假設上半年紅海貿易局勢的影響不大，到目前為止，這基本上符合我們的預期。

Third, while recent commentary has been mixed, we are not anticipating major changes to consumer or macroeconomic dynamics in 2024.

第三，雖然最近的評論褒貶不一，但我們預計 2024 年消費者或宏觀經濟動態不會發生重大變化。

And fourth, we are maintaining our view on the potential CFPB ruling on late fees for credit card holders. Our outlook continues to assume a midyear implementation of the ruling which we expect to be largely offset in 2024 by other levers within our credit card program.

第四，我們維持對 CFPB 對信用卡持有者滯納金的潛在裁決的看法。我們的前景繼續假設該裁決將在年中實施，我們預計該裁決將在 2024 年被我們信用卡計劃中的其他槓桿很大程度上抵消。

Moving to gross margin. We anticipate gross margin expansion of approximately 150 basis points for the full year compared to fiscal 2023's gross margin of 38.8% as a result of better-than-expected first quarter results.

轉向毛利率。由於第一季業績優於預期，我們預計全年毛利率將比 2023 財年 38.8% 的毛利率成長約 150 個基點。

Our gross margin outlook contemplates the following factors: We expect commodity cost tailwinds in the first half of the year, which we anticipate will become largely neutral in the second half of the year, resulting in approximately 100 basis points of gross margin leverage for the full year, we continue to take a measured view of the consumer environment in fiscal 2024 and are planning a slight benefit to gross margin from more disciplined inventory management. And we expect ROD as a percentage of sales to be relatively neutral on a year-over-year basis.

我們的毛利率展望考慮了以下因素： 我們預計上半年大宗商品成本將呈中性，下半年將基本呈中性，導致全年毛利率槓桿約為 100 個基點今年，我們將繼續審慎地審視2024財年的消費者環境，並計劃透過更嚴格的庫存管理來略微提高毛利率。我們預期 ROD 佔銷售額的百分比與去年同期相比相對中性。

Regarding SG&A, we continue to expect full year SG&A of approximately $5.1 billion. In the second quarter, we expect SG&A dollars to increase roughly 5% versus last year's adjusted SG&A due to timing shifts in incentive accruals and advertising spend. Overall, we are actively working to identify and drive cost efficiencies across multiple areas of the business. We will keep you updated on progress as we move through the year.

關於 SG&A，我們繼續預計全年 SG&A 約為 51 億美元。由於激勵應計費用和廣告支出的時間變化，我們預計第二季的 SG&A 美元將比去年調整後的 SG&A 成長約 5%。總體而言，我們正在積極努力確定並提高多個業務領域的成本效率。我們將隨時向您通報這一年的最新進展。

When considering our first quarter results, we are meaningfully revising our full year 2024 operating income growth to be in the mid-40% range compared to our prior outlook of low to mid-teen growth. We are pleased with trends quarter-to-date and are planning for net sales in Q2 to be up low single digits versus last year.

在考慮第一季業績時，我們有意義地將 2024 年全年營業收入成長率修正為 40% 左右，而先前的預期為 10% 左右的低至中位數成長。我們對本季迄今的趨勢感到滿意，並計劃第二季的淨銷售額較去年實現低個位數成長。

As it relates to second quarter gross margin, we expect approximately 300 basis points of improvement versus last year's gross margin of 37.6% with commodity benefits similar to the first quarter and modest improvements related to improved inventories and ROD leverage.

由於與第二季的毛利率相關，我們預計與去年 37.6% 的毛利率相比將提高約 300 個基點，商品效益與第一季類似，並且與庫存和 ROD 槓桿率改善相關的適度改善。

In closing, we were pleased to deliver strong financial results during the first quarter, demonstrated through better sales trends, gross margin expansion, expense discipline, lean inventory and a strong balance sheet. The financial and operational rigor that we have worked to develop and will continue to pursue is enabling us to focus on reinvigorating our brands with the goal of generating sustainable profitable growth and delivering value for our shareholders over the long term.

最後，我們很高興在第一季取得了強勁的財務業績，這透過更好的銷售趨勢、毛利率擴張、費用紀律、精益庫存和強勁的資產負債表得到了證明。我們一直致力於發展並將繼續追求的財務和營運嚴謹性使我們能夠專注於重振我們的品牌，以實現可持續的獲利成長並長期為股東創造價值。

With that, we'll open up the line for questions. Operator?

這樣，我們將開放提問熱線。操作員？

(Operator Instructions)

（操作員說明）

Matthew Boss, JPMorgan.

馬修‧博斯，摩根大通。

Congrats on the nice quarter. So Richard, as we look across the portfolio, maybe it would help, what inning do you see each brand today in their respective reinvigoration timeline? Just help us to think about runway remaining to drive further same-store sales growth relative to the first quarter's 3% comp.

恭喜這個美好的季度。因此，理查德，當我們審視整個產品組合時，也許這會有所幫助，您認為每個品牌今天在各自的重振時間表中處於第幾局？請幫助我們思考相對於第一季 3% 的同店銷售進一步成長的剩餘跑道。

And then Katrina, just -- if you could help walk through the drivers of gross margin expansion in the second quarter? And then help us to think about the cadence in the back half of the year?

然後卡崔娜颶風，您能否幫助我們了解第二季毛利率擴張的驅動因素？然後幫助我們思考下半年的節奏？

Thanks, Matt. Look, I'd like to differentiate between our thoughts about growth in the near term and the midterm, and of course, long term and beyond. But in the near term, we've outlined our 4 strategic priorities. And we are diligently focused on executing with excellence around them.

謝謝，馬特。聽著，我想區分我們對近期和中期成長的看法，當然還有長期和更長遠的成長。但在短期內，我們概述了 4 個策略重點。我們努力專注於以卓越的方式執行這些任務。

We've seen good progress. It's giving us the confidence to raise our full year guidance, which includes operating income growth in the mid-40% range versus last year. We're going to continue to make progress. We will revisit our mid- and long-term views on the path to unlock the value of this extraordinary portfolio. And ultimately continue to execute with excellence on the day-to-day.

我們已經看到了良好的進展。這讓我們有信心提高全年指導，其中包括營業收入較去年增長 40% 左右。我們將繼續取得進步。我們將重新審視我們對釋放這一非凡投資組合價值之路的中長期看法。最終在日常工作中繼續卓越執行。

We've got 4 brands with meaningful volume and great heritage. We've got a leveraged operating platform that provides scale and efficiency. We're executing against our priorities, and we will continue to keep everybody updated as to where we're headed on that front.

我們有 4 個具有重要銷售和悠久傳統的品牌。我們擁有一個可提供規模和效率的槓桿營運平台。我們正在按照我們的優先事項執行，我們將繼續向每個人通報我們在這方面的進展。

And then, Matt, as it relates to gross margin, I hope you're seeing that the rigor we've developed is really becoming core to how we operate, as Richard said. It's showing up in the stronger financial foundation. It's showing up in the recapture of commodity costs, the better assortments and the tighter inventories, all of which are showing up in overall better gross margins.

然後，馬特，因為它與毛利率有關，我希望您看到我們所製定的嚴格性確實成為我們運作方式的核心，正如理查德所說。它體現在更強大的財務基礎上。它體現在商品成本的回收、更好的品種和更緊張的庫存中，所有這些都體現在整體更好的毛利率上。

I think you heard we gave guidance today that we now expect overall margin for the year to be up at least -- excuse me, 150 basis points for the full year. And this is about 100 basis points of commodity recapture and some modest improvements related to better inventory management.

我想你聽說我們今天給了指導，我們現在預計今年的整體利潤率至少會上漲——對不起，全年上漲 150 個基點。這大約是商品回收的 100 個基點，以及與更好的庫存管理相關的一些適度改進。

As we think about Q2 guidance in particular, we provided guidance that margins in Q2 would be up about 300 basis points. That's roughly the 200 basis points of commodities with the balance coming from better inventory management and ROD.

當我們特別考慮第二季指引時，我們提供了第二季利潤率將上漲約 300 個基點的指引。這大約是商品的 200 個基點，平衡來自更好的庫存管理和 ROD。

The only other thing I'd tell you to make sure you pay attention to is the impact in the fourth quarter to the loss of the sales. That does result in deleverage of ROD, which will impact overall fourth quarter margins.

我要告訴您的唯一要確保您注意的另一件事是第四季度對銷售損失的影響。這確實會導致 ROD 去槓桿化，從而影響第四季的整體利潤率。

Best of luck.

祝你好運。

Thank you.

謝謝。

Thanks, Matt.

謝謝，馬特。

Robert Drbul, Guggenheim.

羅伯特‧德布爾，古根漢。

Just got a couple of questions for you. I think on the first one, are there opportunities for the brands within your portfolio to share information around how products you're selling? So like a company could blow it out to all divisions like you did with linen?

剛剛有幾個問題想問你。我認為第一個問題是，您的產品組合中的品牌是否有機會分享有關您銷售產品的資訊？那麼一家公司可以像你對亞麻布一樣推廣到所有部門嗎？

And then the second question I have is, on the recent Gap shirt dress, I think Zac Posen launched a shirt in Gap, but he's a creative director at Old Navy. Can you just help us understand how he's working within the various brands within the company? Thanks.

然後我的第二個問題是，關於最近的Gap襯衫連身裙，我認為Zac Posen在Gap推出了一件襯衫，但他是Old Navy的創意總監。您能否幫助我們了解他如何在公司內的各個品牌中工作？謝謝。

Yes, Robert, thanks for the question. Yes, I think this really -- are both examples of our brand reinvigoration playbook. As you've seen us evolve, I mean, we're sort of executing against our brands with renewed strength around their identities and purpose. We've been developing more trend-right product assortments these product assortments have a clear point of view and ultimately, through reduced inventory, you could really start to see the merchandising stories in our stores and online.

是的，羅伯特，謝謝你的提問。是的，我認為這確實是我們品牌復興策略的兩個例子。正如您所看到的我們的發展，我的意思是，我們正在以圍繞品牌的身份和目的的新力量來執行我們的品牌。我們一直在開發更多順應潮流的產品組合，這些產品組合具有清晰的觀點，最終，透過減少庫存，您可以真正開始在我們的商店和網路上看到銷售故事。

We are creating better, more engaging omnichannel experiences with clear and compelling pricing strategies. The example of the Linen campaign ultimately is one that I think is a really good example of the brand reinvigoration playbook coming to life. And ultimately, executing with excellence at every touch point.

我們正在透過清晰且引人注目的定價策略創造更好、更具吸引力的全通路體驗。我認為 Linen 活動的例子最終是品牌重振劇本的一個很好的例子。最終，在每個接觸點上都表現出色。

And so the drive from an idea through the various different means of consumer communication is showing up in the metrics that ultimately matter and we're really feeling very encouraged with the progress that we've been making.

因此，透過各種不同的消費者溝通方式所產生的想法的驅動力體現在最終重要的指標中，我們對我們所取得的進展感到非常鼓舞。

As it relates to Zac, we've certainly seen Zac's influence start to show up. He's doing great. He's focused on influencing many creative aspects within our company, obviously, most particularly in design and merchandising, but his role is part of our broader strategy to cultivate a culture of creativity and frankly, that's been missing for some time here at Gap Inc.

就札克而言，我們當然已經看到札克的影響力開始顯現出來。他做得很好。顯然，他專注於影響我們公司內的許多創意方面，尤其是在設計和行銷方面，但他的角色是我們培養創意文化的更廣泛策略的一部分，坦白說，Gap Inc. 已經有一段時間缺少這一點了。

His work is being publicly recognized, of course, the Gap Met Gala dress that we were so excited to see get such attention. You mentioned the recent and Hathaway shirtdress, which is really important work showing how we brought that from a relevant perspective right to revenue as we offered our customers online, the ability to go and purchase an inspired dress like that.

當然，他的作品正在受到公眾認可，我們很高興看到 Gap Met Gala 禮服受到如此關注。您提到了最近與Hathaway 合作的襯衫裙，這是一項非常重要的工作，展示了我們如何從相關角度將其轉化為收入，因為我們為客戶提供了在線購買這樣一件充滿靈感的連衣裙的能力。

Zac's team produced the Old Navy submarine campaign on Old Navy, which is now getting fantastic response. And even as recently as yesterday, Zac was intimately involved in the launch of our new Banana Republic flagship in SoHo, which by the way, is an amazing portrayal of our brand's future direction.

札克的團隊在老海軍上製作了老海軍潛艇戰役，現在得到了熱烈的迴響。就在昨天，Zac 也密切參與了我們在 SoHo 的新 Banana Republic 旗艦店的推出，順便說一句，這是我們品牌未來方向的驚人寫照。

So all in all, we're continuing to gain momentum unlocking the creative opportunities that we see across the board and exciting ways that we'll continue to unlock these brands and the value that we believe we can give shareholders.

總而言之，我們將繼續獲得動力，釋放我們全面看到的創意機會，並以令人興奮的方式繼續釋放這些品牌以及我們相信可以為股東帶來的價值。

Thank you.

謝謝。

Paul Lejuez, Citigroup.

保羅‧勒胡埃斯，花旗集團。

You saw a really strong growth margin improvement. I'm wondering if you could talk about in which brand you saw the biggest improvement from a better inventory management. Also, if there's anything that you can share by channel, how stores perform versus e-com on the path of that merch-margin improvement. And anything that you can share in terms of how we should be thinking about inventory management in the back half of the year?

您看到了非常強勁的成長率改善。我想知道您是否可以談談哪個品牌因更好的庫存管理而獲得了最大的改進。另外，如果您可以透過管道分享任何內容，請說明商店與電子商務在商品利潤改善方面的表現如何。關於下半年我們應該如何考慮庫存管理，您有什麼可以分享的嗎？

Yes. I think, Paul, as you said, we saw really good merchandise margin expansion in the quarter. And our rigor, as we just discussed, is showing up in the outlook we just provided. We don't provide the margins by brand, but I think it's fair to say that we will continue to use the rigor within all of our brands to make sure that we are delivering against an overall margin expansion goal that we articulated today.

是的。保羅，我認為，正如您所說，我們在本季度看到了非常好的商品利潤率擴張。正如我們剛才所討論的，我們的嚴謹性體現在我們剛剛提供的前景中。我們不按品牌提供利潤率，但我認為可以公平地說，我們將繼續在所有品牌中保持嚴格的要求，以確保我們實現今天闡明的整體利潤率擴張目標。

When I think about inventory, as we talked about in the prepared remarks, we've sort of moved beyond the big inventory cleanup that we saw. And now we're back to really having just the rigor in the business to ensure that we have stock-to-sales ratios that ensure that our inventory levels continue to be below sales, which gives us the opportunity to continue to chase trends and allow ourselves to be more responsive to our consumer. And so that principle will remain.

當我想到庫存時，正如我們在準備好的評論中談到的那樣，我們已經超越了我們所看到的大規模庫存清理。現在我們又回到了真正嚴格的業務，以確保我們的庫存與銷售比率，確保我們的庫存水平繼續低於銷售額，這使我們有機會繼續追逐趨勢並允許我們自己對消費者更加敏感。因此，這項原則將繼續存在。

Got it. You gave some color on Athleta in the second quarter. How are you thinking about that business as you move past the second quarter? And then also curious why the negative spread in the Athleta business in the first quarter?

知道了。你在第二節給了 Athleta 一些色彩。第二季度過去後，您如何看待該業務？然後也好奇為什麼第一季Athleta業務出現負價差？

Yes. Well, Paul, thanks for asking about Athleta. It's clearly an important brand in our portfolio. We believe it's got significant long-term potential, and we were really proud to deliver a strong quarter. Comps up 5% compared to down 10% in Q4 of '23 is a significant change in direction.

是的。好吧，保羅，謝謝你詢問有關 Athleta 的問題。它顯然是我們產品組合中的重要品牌。我們相信它具有巨大的長期潛力，我們非常自豪能夠實現強勁的季度業績。與 23 年第四季下降 10% 相比，比較增加了 5%，這是方向的重大變化。

During the quarter, we also saw positive signs of Athleta's progress in the strategic initiatives that the team has been driving so diligently. In particular, core bottoms, which is a key loyalty building category for us, performed particularly well in the quarter.

在本季度，我們也看到了 Athleta 在團隊一直努力推動的策略性舉措方面取得進展的積極跡象。特別是核心下裝，這是我們建立忠誠度的關鍵類別，在本季表現尤其出色。

We also saw brand heat coming from our limited edition drops, which we've started to gain more and more traction with. We had great innovation Fabric PowerMove, successfully launching new products in train and run. And we do expect the promotional volume comparisons to improve by the second half of '24. We've shared that before. But Q2 has the toughest comparisons for the brand. We are focused diligently executing against our brand reinvigoration playbook and ultimately really starting to see green shoots unfold.

我們也看到了限量版產品帶來的品牌熱度，我們已經開始獲得越來越多的關注。我們有偉大的創新Fabric PowerMove，成功地推出了新產品並投入運作。我們確實預計到 24 年下半年促銷量比較將會有所改善。我們之前已經分享過。但第二季對該品牌來說是最艱難的比較。我們專注於努力執行我們的品牌復興策略，並最終真正開始看到復甦的萌芽。

And then the negative spread, Paul, that was really just some unique timing related to online sales. So just nothing major, just unique timing.

然後是負價差，保羅，這實際上只是與線上銷售相關的一些獨特時機。所以沒什麼大不了的，只是獨特的時機。

Online sales are included in the comp there, right?

線上銷售包含在其中，對嗎？

Correct. It's really -- it's the return piece.

正確的。這真的是——這是回歸作品。

Okay. Thanks a lot.

好的。多謝。

Thank you.

謝謝。

Alex Straton, Morgan Stanley.

亞歷克斯‧斯特拉頓，摩根士丹利。

Perfect. I've got one for Katrina and one for Richard. So Katrina, you're keeping the audit guidance the same. Maybe -- how do you think about the opportunity to trim or reduce that line item, both maybe this year and then into the future?

完美的。我有一份給卡崔娜颶風，一份給理查。所以卡特里娜，你保持審計指南不變。也許—您如何看待今年和未來削減或減少該訂單項目的機會？

And then, Richard, you've got another 3 months under your belt. Maybe talk to us about what your focus areas are in 2Q versus the rest of the year. And maybe to help us put some metrics around it if you have any KPIs that you're most focused on, that would be helpful to know.

然後，理查德，你還有另外 3 個月的時間。也許可以和我們談談您在第二季與今年剩餘時間的重點領域是什麼。如果您有最關注的 KPI，那麼了解這些可能會幫助我們制定一些指標。

Yes. I'll start, Alex. So I know that you know over the last 18 months, we've really worked hard to increase the financial rigor within the organization. And we've actioned roughly $550 million of cost reductions from our high. And so with that, we're pleased with the progress. But we do realize that SG&A is still high. I do believe we can make our cost structure more efficient and drive more operating margin expansion, but we have work to do.

是的。我要開始了，亞歷克斯。所以我知道你們知道，在過去 18 個月裡，我們確實非常努力地提升組織內部的財務嚴謹性。我們已經從最高點開始削減了大約 5.5 億美元的成本。因此，我們對進展感到滿意。但我們確實意識到 SG&A 仍然很高。我確實相信我們可以提高成本結構的效率並推動營業利潤率的擴大，但我們還有很多工作要做。

So the outlook we provided today shows that point of view, but we're going to continue to assess the efficiency of our investments and look for opportunities for reduction of redeployment where it makes sense. So more to come as we move through the year, but we do understand that the $5.1 billion, we have work to do.

因此，我們今天提供的前景表明了這一觀點，但我們將繼續評估我們的投資效率，並尋找在有意義的情況下減少重新部署的機會。隨著這一年的到來，我們將有更多的事情要做，但我們確實知道，對於 51 億美元，我們還有很多工作要做。

Now -- and Alex, my priorities continue to be very consistently portrayed both in and outside the company. We've laid out our 4 strategic imperatives: operating and financial rigor, reinvigoration of our brands, evolution of our operating platform and reviving our culture. My goals, metrics and measures are all linked to these particular priorities.

現在，亞歷克斯，我的優先事項在公司內外都得到了非常一致的描述。我們制定了 4 項策略要務：嚴格營運和財務、重振我們的品牌、改善我們的營運平台以及復興我們的文化。我的目標、指標和措施都與這些特定的優先事項有關。

And in the context of the measurement of those success or lack thereof, I think the quarter reflects a really strong start to the measures and metrics that matter most. Clearly, having all 4 of our brands, comp for the first time in what we can't necessarily find in our history is a great indication that our reinvigoration playbook and priorities are really taking shape. And I think as we move forward, the fact that we've raised guidance and outlook for the year in the metrics that matter, both top and bottom are a reflection, if you will, of the success of the execution of our priorities.

在衡量這些成功或失敗的背景下，我認為本季反映出最重要的措施和指標的一個非常強勁的開端。顯然，我們的四個品牌首次在我們的歷史上不一定能找到，這很好地表明我們的重振策略和優先事項正在真正形成。我認為，隨著我們前進，我們在重要指標（頂部和底部）中提出了今年的指導和展望，如果您願意的話，這反映了我們優先事項執行的成功。

So with that said, again, we will keep you updated along the way here, focused and framework around our priorities, but ultimately feeling very confident in where we are both from a metric perspective as well as a cultural one.

因此，話雖如此，我們將再次向您通報最新情況，圍繞我們的優先事項進行重點關注和框架，但最終從指標角度和文化角度對我們所處的位置感到非常有信心。

Great. Good luck, guys.

偉大的。祝大家好運。

Thank you.

謝謝。

Michael Binetti, Evercore.

邁克爾·比內蒂，Evercore。

Congrats on a great quarter. I guess, jump ball here, but I mean we love earnings as much as anyone, but you raised sales, you raised gross margins, you raised EBIT dollars a lot. It sounds like you're getting more comfortable with the investments you're making are headed in the right direction. Any reason not to take up the SG&A a little bit with the better operations here to invest against the wins?

恭喜您度過了一個出色的季度。我想，在這裡跳球，但我的意思是我們和任何人一樣熱愛盈利，但你提高了銷售額，你提高了毛利率，你提高了很多息稅前利潤。聽起來您對自己所做的投資朝著正確的方向前進感到更加放心。有什麼理由不考慮一下SG&A，這裡有更好的營運來投資勝利呢？

And then I guess, similarly, if I think about it a little bit differently, you raised the year on sales by a small amount, but EBIT by a lot if the results do come in better than the guidance rest of the year, and we see similar strength? Do we see a similar flow-through on upside to the top line guidance for the rest of the year? Or are there other puts and takes we should consider from here?

然後我想，類似地，如果我的想法有點不同，你會小幅提高今年的銷售額，但如果結果確實比今年剩餘時間的指導要好，那麼息稅前利潤會提高很多，而且我們看到類似的強度嗎？今年剩餘時間裡，我們是否會看到類似的營收指引上升趨勢？或者我們還應該考慮其他的看跌期權和看跌期權嗎？

I think, Michael, on the first question, I don't think we see any reason not to invest against wins. I think what you're seeing is the discipline to be looking for both effectiveness and efficiency within SG&A. And so we're doing as much work to optimize what's not working and invest in what is working. And so all of that is showing up in holding the number, but we are certainly looking at opportunities under the cover. And if sales outperform, certainly, we'll look at that as well.

我認為，邁克爾，關於第一個問題，我認為我們沒有任何理由不針對勝利進行投資。我認為您所看到的是在 SG&A 中尋求有效性和效率的紀律。因此，我們正在做盡可能多的工作來優化不起作用的部分，並投資於起作用的部分。因此，所有這些都體現在持有數字上，但我們當然正在尋找隱藏的機會。當然，如果銷售表現出色，我們也會考慮這一點。

What I would say as far as the guide, we're very pleased to have had a very good start to the year. And that did result, as you said, in taking up both revenue and more meaningfully the operating margin.

就指南而言，我想說的是，我們很高興今年有一個好的開始。正如您所說，這確實導致了收入和更有意義的營業利潤率的增加。

What I would say is while we aspire to outperform even further, our outlook right now does reflect the fact that each of our brands is in a very different point in brand reinvigoration. And so while the first quarter was encouraging, we remain mindful that it's still really early in our work and building consistency takes time.

我想說的是，雖然我們渴望進一步超越，但我們目前的前景確實反映了這樣一個事實：我們的每個品牌在品牌復興方面都處於一個非常不同的階段。因此，雖然第一季令人鼓舞，但我們仍然要注意，我們的工作還處於早期階段，建立一致性需要時間。

We're also watching consumer and macro trends. But we're confident in our ability to deliver against these commitments, and we'll always look for potential to do more.

我們也正在關註消費者和宏觀趨勢。但我們對兌現這些承諾的能力充滿信心，我們將始終尋找做得更多的潛力。

Okay. Congrats again, really, really nice to see the progress in the quarter.

好的。再次祝賀，真的非常高興看到本季的進展。

Thank you.

謝謝。

Lorraine Hutchinson, Bank of America.

洛琳‧哈欽森，美國銀行。

Thank you. Good afternoon. I wanted to follow up on the gross margin point. It sounds like there's still a good second quarter gross margin opportunity from both commodity costs and as you lap some heavy multiyear clearance. How are you thinking about merchandise margin drivers in the back half and beyond?

謝謝。午安.我想跟進毛利率點數。聽起來，由於大宗商品成本和多年清倉的影響，第二季的毛利率仍然存在良好的機會。您如何看待下半年及以後的商品利潤驅動因素？

Well, what I would say, Lorraine, is we just don't want to get too far ahead of ourselves. Right now, if you do the math on the merchandise margin that we just gave for the year, you'll see that we're expecting for overall margins related to sort of inventory management to be up slightly. And we're going to really take it one quarter at a time. Certainly, if we can outperform we will.

洛林，我想說的是，我們只是不想走太遠。現在，如果你計算我們剛剛給出的今年的商品利潤率，你會發現我們預計與庫存管理相關的整體利潤率會略有上升。我們真的會一次一個季度地進行。當然，如果我們能夠超越，我們就會的。

Thank you.

謝謝。

Ike Boruchow, Wells Fargo.

艾克·博魯喬（Ike Boruchow），富國銀行。

Let me add my congrats. One for you, Richard, one for you, Katrina. Just -- maybe, Richard, as you've been there in the seat longer, are there any other bigger picture initiatives that you have your eyes on that maybe you haven't really addressed yet. And I'm thinking mostly around the store base or maybe around the additions around the cost structure, but really something about the channel mix of the business?

讓我補充一下我的祝賀。理查德，一份給你，卡特里娜，一份給你。只是 - 理查德，也許你在這個座位上的時間更長了，是否有任何其他你關注的更大的計劃，也許你還沒有真正解決。我主要考慮的是商店基礎，或者可能是成本結構的增加，但真的是關於業務的管道組合嗎？

And then Katrina, curious -- I'm not looking for guidance or anything as we flow into next year. I know this is only the first quarter, but can you just give us a high-level point of view on deflation. I mean the -- there's been some chatter about a lot of capacity that's opened up overseas for manufacturing that just -- that kind of lend for the idea that there could be ongoing cost benefits into next year. I'm just kind of curious if you have any initial thoughts on that?

然後是卡特里娜颶風，我很好奇——在我們進入明年的時候，我並不是在尋求指導或任何東西。我知道這只是第一季度，但您能否給我們提供有關通貨緊縮的高層觀點。我的意思是，有一些關於海外製造業開放大量產能的討論，這為明年可能持續帶來成本效益的想法提供了依據。我只是有點好奇你對此有什麼初步想法嗎？

Yes. Thanks, Ike, for the question. Look, I probably sound relentlessly repetitive, but we continue to just operate and execute against our core priorities. Within that, in the context of our performance and arguably bigger initiatives that I am focusing on clearly, we're not losing focus on any of the mentioned 4 priorities. But one that I would probably mention in the context of the answer is the strengthening our platform. That particular one, I believe, has enormous opportunities for us to gain more efficiency and effectiveness.

是的。謝謝艾克的提問。聽著，我可能聽起來無情地重複，但我們繼續根據我們的核心優先事項進行運作和執行。在此範圍內，在我們的業績和我明確關注的可以說是更大的舉措的背景下，我們不會失去對上述四個優先事項中任何一個的關注。但我可能在答案中提到的是加強我們的平台。我相信，這個特殊的機會為我們提供了提高效率和效力的巨大機會。

In some cases, I believe we're in good shape, but ultimately, we have more work to do. Our supply chain, for instance, is a really terrific scale benefit for us that gives us unique cost leverage, but we need to accelerate innovation. And in that respect, I just recently spent almost a week with our Gap Inc. Supplier Summit, an event that we haven't had in many years, met with our top 100 vendors from around the world, had the opportunity to see Gap Inc's platform scale really start to show up in the day-to-day and the powerful partnerships that we have around the world in action, the design teams, the merchandising teams, the marketing teams working alongside best-in-class partners, vendors, mills, logistics literally helping us create and produce more than 800 million units a year, but with a renewed cultural connection on innovation, and creativity was really an exciting place to spend some time and recognize the unlocked value.

在某些情況下，我相信我們的狀態良好，但最終我們還有更多的工作要做。例如，我們的供應鏈對我們來說確實具有巨大的規模效益，為我們提供了獨特的成本槓桿，但我們需要加速創新。在這方面，我最近剛在我們的Gap Inc. 供應商高峰會上度過了近一周的時間，這是我們很多年沒有舉辦過的活動，會見了來自世界各地的100 強供應商，有機會看到了Gap Inc. 的供應商高峰會。工作，物流確實幫助我們每年創造和生產超過 8 億件產品，但隨著創新文化的重新連接，創造力確實是一個令人興奮的地方，值得花一些時間並認識到解鎖的價值。

The other one I'd probably mention is media and marketing. I did mention in my opening remarks, that we recently announced a new partner that we're engaged with to help up-level our capabilities and drive leverage. We're going to see a lot more interesting innovative marketing materials as well as creative in addition to recognizing behind the scenes that we've got a lot of leverage from a media scale perspective to get more efficient.

我可能會提到的另一個是媒體和行銷。我在開場白中確實提到，我們最近宣布了一個新的合作夥伴，我們正在與該合作夥伴合作，以幫助提升我們的能力並提高影響力。除了在幕後認識到我們從媒體規模的角度擁有許多槓桿來提高效率之外，我們還將看到更多有趣的創新行銷材料和創意。

The last one I would talk about in relation to the question is technology. This is an incredible area of opportunity. I certainly have my eyes wide open in the space. We're living in a daily digital dialogue with consumers today. So it's clearly vital that we move quickly to a way of thinking and acting that really uses technology to drive value, solve problems and ultimately achieve business goals.

我要談論的最後一個與這個問題相關的問題是技術。這是一個令人難以置信的機會領域。我當然睜大了眼睛。今天，我們每天都與消費者進行數位對話。因此，我們必須迅速轉變為真正利用技術來驅動價值、解決問題並最終實現業務目標的思維和行動方式，這一點顯然至關重要。

So we are evaluating and assessing our infrastructure, talent, capabilities and our ways of working to advance -- to become a high-performing apparel company, probably more than you bargained for in terms of an answer, but in the context of your question of what bigger initiatives do I have my eye on. I'd say the platform right now is an interesting place to mention.

因此，我們正在評估和評估我們的基礎設施、人才、能力和我們的工作方式，以期成為高性能服裝公司，這可能超出您對答案的預期，但就您的問題而言我正在關注哪些更大的舉措？我想說，現在這個平台是一個值得提及的有趣地方。

And Ike, it's really, honestly, too soon to preview anything around commodity costs for next year. But certainly, if it is deflationary, we'll leverage our scale to get the best cost we can. I would say we remain mindful of the wage inflation impacts that are also out there. So we'll balance those and come up with a view to share when we have it.

艾克，老實說，現在就預測明年大宗商品成本的任何情況還為時過早。但當然，如果是通貨緊縮，我們將利用我們的規模來獲得盡可能最好的成本。我想說的是，我們仍然關注薪資通膨的影響。因此，我們將平衡這些，並在有想法時提出分享的觀點。

Thanks, guys.

多謝你們。

Thanks, Ike.

謝謝，艾克。

Brooke Roach, Goldman Sachs.

布魯克·羅奇，高盛。

Good afternoon and thank you for taking our question. Richard, can you provide some additional context on the marketing and product initiatives that you have planned within the brand reinvigoration playbook for the Old Navy brand this year? That give you confidence in continued comp growth even as you come up against some of the tougher comparisons in the back half?

下午好，感謝您提出我們的問題。理查德，您能否提供一些有關您今年在老海軍品牌復興手冊中計劃的營銷和產品計劃的更多背景信息？即使您在後半段遇到一些更艱難的比較，這也會讓您對持續的薪資成長充滿信心？

Brooke, thanks for the question. When we say marketing today, it's a much more complex function than it was in the past. And our brands need to show up where our consumers are. And we need to do so in relevant ways, which is one of our motivations as we've selected a new agency partner.

布魯克，謝謝你的提問。當我們今天說行銷時，它的功能比過去複雜得多。我們的品牌需要出現在我們的消費者所在的地方。我們需要以相關的方式做到這一點，這是我們選擇新的代理商合作夥伴的動機之一。

As I did mention, this partnership is in part another ingredient that is going into our reinvigoration playbook, which is helping our brands communicate a much more relevant, innovative and modern narrative using a very different media mix than we have in the past and creating really compelling storytelling. It's not about spending more. It's really about spending more efficiently. There's a lot of examples within the brands today that are showing up proof points around marketing and the reinvigoration playbook. Gap, of course, we've mentioned is furthest along, I'd say, with an example on the Linen campaign.

正如我所提到的，這種合作關係在某種程度上是我們重振劇本的另一個要素，它幫助我們的品牌使用與過去截然不同的媒體組合來傳達更相關、創新和現代的敘事，並真正創造引人入勝的故事講述。這不是花更多錢的問題。這實際上是為了更有效地支出。如今，品牌中有許多例子可以證明行銷和重振策略的要點。當然，我們提到的 Gap 走得最遠，我想說的是，以 Linen 活動為例。

But as you talk about Old Navy. Old Navy in particular, has been delivering consistently. We've had -- obviously, we're coming off of a very strong quarter. Sales up 5%, comps up 3%. But in the marketing narrative, they've become much more effective storytellers. I'd say one of the great examples right now is our current campaign. Featuring Tracee Ellis Ross, Yara Shahidi, it's a fantastic storytelling, fun, if you will, on brand execution. That is an example of how we're marketing and storytelling our brand differently, but yet feels very connected to the essence and the roots of Old Navy.

但當你談論老海軍時。尤其是老海軍，一直持續交付。顯然，我們剛剛經歷了一個非常強勁的季度。銷售額成長 5%，比較成長 3%。但在行銷敘事中，他們已經成為更有效的故事講述者。我想說，現在最好的例子之一就是我們目前的競選活動。由特雷西·埃利斯·羅斯 (Tracee Ellis Ross) 和亞拉·沙希迪 (Yara Shahidi) 主演，這是一個精彩的故事講述，如果你願意的話，關於品牌執行也很有趣。這是我們如何以不同的方式行銷和講述我們的品牌故事的一個例子，但又感覺與 Old Navy 的本質和根源密切相關。

The team is focused on executing with excellence, and you're going to see a lot more interesting, innovative and surprising initiatives as we roll into the back half, I'm very confident and excited about our work and the work that's coming.

團隊專注於卓越執行，當我們進入後半段時，你會看到更多有趣、創新和令人驚訝的舉措，我對我們的工作和即將到來的工作非常有信心和興奮。

Great. And then as a follow-up, the Old Navy brand has rolled out a few different pricing initiatives to simplify the value that you offer to customers such as WOW pricing. Can you talk to any early learnings from these tests and how you're thinking about pricing and promo for the rest of the year? At both Old Navy brand and then across the portfolio?

偉大的。作為後續行動，Old Navy 品牌推出了一些不同的定價舉措，以簡化您為客戶提供的價值，例如 WOW 定價。您能否談談從這些測試中獲得的任何早期經驗以及您如何考慮今年剩餘時間的定價和促銷活動？在 Old Navy 品牌以及整個產品組合中？

Yes. Thank you. Another good question. And what I would say is it's not so much about a pricing strategy. It's about pricing communication. We know that compelling pricing and great value are a really important part of the equation at Old Navy and in all of our brands really. And we love being a highly exciting brand with great value, but we need a balanced promotional strategy.

是的。謝謝。另一個好問題。我想說的是，這與定價策略無關。這是關於定價溝通的。我們知道，令人信服的定價和巨大的價值是 Old Navy 和我們所有品牌中非常重要的一部分。我們喜歡成為一個非常令人興奮、具有巨大價值的品牌，但我們需要一個平衡的促銷策略。

We've been reinforcing value by communicating to customers with much more clarity on price and quality. We've been doing that in stores and online. As you have seen, our brands communication strategy evolved most evidently online and in stores, our signing package are various different ways that we promote what we call WOW prices versus percentages off have been much more strategically well thought through with a much more precise communication strategy.

我們一直透過與客戶更清晰地溝通價格和品質來增強價值。我們一直在商店和網上這樣做。正如您所看到的，我們的品牌傳播策略在網上和商店中的發展最為明顯，我們的簽約套餐採用各種不同的方式來宣傳所謂的“哇價”，而不是折扣，通過更精確的傳播策略，我們在戰略上經過了更周密的考慮。

And I would encourage you, by the way, to go to our stores, go online, you're going to see a really direct narrative around pricing. You'll see more WOW prices, both through clear out-the-door price messaging and with marketing centered on product.

順便說一句，我鼓勵您去我們的商店，上網，您會看到有關定價的非常直接的敘述。透過清晰的戶外價格資訊和以產品為中心的行銷，您將看到更多令人驚嘆的價格。

We have a lot more work to do in the context of this strength as a narrative, but I'm really encouraged with the progress that we're seeing. And clearly, the results that we're experiencing on Old Navy, both in sales and brand qualitative metrics are showing up, and we're very encouraged with the progress.

在這種敘事優勢的背景下，我們還有很多工作要做，但我對我們所看到的進展感到非常鼓舞。顯然，我們在 Old Navy 上體驗到的結果，無論是銷售還是品牌品質指標都已顯現出來，我們對所取得的進展感到非常鼓舞。

Great. Thanks so much. I'll pass it on.

偉大的。非常感謝。我會把它傳遞下去。

Thank you.

謝謝。

Adrienne Yih, Barclays.

艾德麗安‧易 (Adrienne Yih)，巴克萊銀行。

Let me add my congratulations. Richard, so when we spoke or when we met sort of in December, you talked about sort of item #1 was to have visibility on making and delivering plan. It's really early on in the year, and you've tripled your OI growth. That's really high conviction. But we've heard about the step that you're doing company-specific. I'd like to hear about how you are convicted in the demand side of it, which is customer feedback and engagement, particularly at Old Navy and Gap?

讓我補充一下我的祝賀。理查德，所以當我們交談或我們在 12 月見面時，您談到第一項是在製定和交付計劃時具有可見性。現在確實是今年年初，您的 OI 成長了兩倍。這確實是很高的信念。但我們聽說您正在執行特定於公司的步驟。我想聽聽您在需求方面的看法，即客戶回饋和參與度，特別是在 Old Navy 和 Gap？

Adrienne, thanks for the question. And also recognizing the progress that we have made, while we can take a very, very -- and I've shared that with my team, very quick victory lap. It is a marathon, not a sprint.

艾德麗安娜，謝謝你的提問。同時也意識到我們所取得的進步，同時我們可以取得非常非常快的勝利，我已經與我的團隊分享了這一點。這是一場馬拉松，而不是短跑。

And in the context of our priorities and the brand reinvigoration playbook, a really big part of that playbook is around insights. And recognizing that at the center of what we do, it's all about the customer. And so driving a customer-centric led organization insights, trends, research, hands-on experience. I've also said this is not a business where you could lead behind a desk. In stores and online, we're sort of pulling our team out of, if you will, the norm and into where the consumers are, studying the consumer and also then reacting with nimble and agility aspects as we drive our business to meet their needs.

在我們的優先事項和品牌重振手冊的背景下，手冊的很大一部分是圍繞著洞察力的。並認識到我們所做的一切都是以客戶為中心。因此，推動以客戶為中心的領導組織的洞察力、趨勢、研究和實踐經驗。我還說過，這不是一個你可以在辦公桌後面領導的業務。在商店和網路上，如果你願意的話，我們正在讓我們的團隊脫離常態，進入消費者所在的地方，研究消費者，然後在推動我們的業務滿足他們的需求時以靈活和敏捷的方式做出反應。

I do think this is an area that we will continue to improve on. There's a lot of work across the business to ensure that we react and respond and meet the consumer where the consumer is and ensure that we excite and delight. I do think as you sort of look at our results, that we are on the winning side of that narrative, in an industry right now where the market did decline as an industry, Gap Inc. delivered market share growth.

我確實認為這是我們將繼續改進的一個領域。整個企業需要做大量的工作來確保我們能夠在消費者所在的地方做出反應和回應並滿足消費者，並確保我們感到興奮和高興。我確實認為，當你看到我們的結果時，我們處於這種敘述的勝利方，在目前市場確實下滑的行業中，Gap Inc. 實現了市場份額的增長。

So we have begun to see across all of our brands, the consumer connect to our brand reinvigoration playbook and the efforts that we've made around operating and financial discipline, enable more encouragement to invest and continue that process. So lots more to share, lots more to do, but certainly a good milestone moment to note the progress that we've made.

因此，我們已經開始在我們所有的品牌中看到，消費者與我們的品牌重振手冊以及我們圍繞營運和財務紀律所做的努力建立了聯繫，從而更加鼓勵投資並繼續這一過程。還有很多事情要分享，還有很多事情要做，但這無疑是一個很好的里程碑時刻，可以記錄我們所取得的進展。

And then a follow-up quickly for Katrina. I know you don't give operating margin performance of these brands, but what might be helpful is, we're clearly seeing the most promotional rigor at Old Navy, right? So I was wondering, can you for each of the brands or maybe just for Old Navy and Gap, give us a relative sense of where merchandise margins are relative to historical average? Below or at or above? Thank you.

然後是卡崔娜颶風的快速後續行動。我知道您沒有提供這些品牌的營業利潤率表現，但可能有用的是，我們清楚地看到老海軍最嚴格的促銷，對嗎？所以我想知道，您能否為每個品牌或僅針對 Old Navy 和 Gap，讓我們了解商品利潤率相對於歷史平均水平的相對情況？低於或等於或高於？謝謝。

Yes, Adrienne, we don't actually disclose margins by brand. So what I would say is, if you do the math around the full year outlook on gross margin that we just gave, you'll see that it implies a return to really a historical high gross margin for the company. If you go back many, many years. The implied margin really is historically high. Again, that's because of the rigor we're applying across all of our brands related to inventory related to ensuring that we're being prudent around recapturing commodities.

是的，艾德麗安，我們實際上並沒有按品牌揭露利潤率。所以我想說的是，如果你對我們剛剛給出的全年毛利率前景進行數學計算，你會發現這意味著公司毛利率將回到真正的歷史高點。如果你回到很多很多年前。隱含利潤確實處於歷史高點。同樣，這是因為我們在所有品牌中都嚴格執行與庫存相關的規定，以確保我們在回收商品方面保持謹慎。

And really, as Richard said, thinking about the health of our brands through the customers' eyes, and ensuring that we have the right brand reinvigoration to ensure that we can sell product at higher AURs. Our AURs overall for the company are actually higher than pre-pandemic levels. And so all of that is contributing to overall gross margins that are historically high.

事實上，正如理查德所說，從客戶的角度思考我們品牌的健康狀況，並確保我們有正確的品牌復興，以確保我們能夠以更高的 AUR 銷售產品。我們公司的整體 AUR 實際上高於大流行前的水平。因此，所有這些都導致​​整體毛利率處於歷史高點。

Fantastic. Thank you. Best of luck.

極好的。謝謝。祝你好運。

Thanks, Adrian.

謝謝，阿德里安。

Jungwon Kim, TD Cowen.

金正元，TD 考恩。

Thank you for taking my question. Just curious, as you have new collaborations and more culture resonance with consumer, are you seeing higher customer acquisition at Gap? And what is your strategy to retain this customer?

感謝您回答我的問題。只是好奇，隨著您與消費者進行新的合作並產生更多的文化共鳴，您是否看到 Gap 的客戶獲取量增加？您留住該客戶的策略是什麼？

And another question is, any change in the strategy at the outlets as you continue to look at all brands? That would be helpful.

另一個問題是，當您繼續關注所有品牌時，奧特萊斯的策略是否會改變？那會有幫助的。

Thanks. Joanna, I think what I could share with you, in particular, Gap -- I've talked about Gap as a pop culture brand, and we've been showing up in the cultural conversation. Our Met Gala dress effectively worn by Da'Vine got incredible attention as did our shirtdress by Anne Hathaway. We've had a history of collaborations, most recently with DÔEN that has driven both relevance and revenue. It is a part of our playbook. It is a part and a methodology around unlocking the value of our brands through relevance and ultimately driving revenue.

謝謝。喬安娜，我想我可以與你分享，特別是 Gap——我已經談到 Gap 作為一個流行文化品牌，我們一直在文化對話中出現。 Da'Vine 所穿的 Met Gala 連身裙和 Anne Hathaway 的襯衫式連身裙都受到了極大的關注。我們有著合作的歷史，最近一次是與 DäEN 的合作，這不僅提高了相關性，也提高了收入。這是我們劇本的一部分。它是透過相關性釋放我們品牌價值並最終推動收入的一部分和方法。

And so successful brand reinvigoration is when you have both. In some cases, if you just have relevance without revenue, it's not really a successful reinvigoration. And I think what you're seeing unfold is ultimately the combination of the two, most displayed at this juncture with our Gap brand.

因此，只有兩者兼而有之，品牌才能獲得成功。在某些情況下，如果你只是有相關性而沒有收入，那並不是真正成功的復興。我認為你所看到的最終是兩者的結合，在這個時刻與我們的 Gap 品牌一起展示得最多。

But you can take a look at Athleta as well. Athleta had an incredibly strong performance. And while we're really encouraged with the progress that we're making, we do have work to do, Athleta is also becoming part of the cultural conversation. This year, we've seen a major step-up for women's sports, female athletes. They globally -- are really starting to get recognized with the attention and the credit that they've long deserved. And Athleta has developed the Power of She collected which is comprised of legendary athletes. We've got Simone Biles. We've got Katie Ledecky. They're serving as game-changing brand ambassadors who are ultimately united in our mission to empower women and girls. These are great examples of our brand playbook. These are great examples being part of the cultural conversation and ultimately what we believe will drive relevance and revenue.

但你也可以看看 Athleta。 Athleta 的表現非常出色。雖然我們對所取得的進步感到非常鼓舞，但我們確實還有工作要做，Athleta 也正在成為文化對話的一部分。今年，我們看到了女子運動、女運動員的重大進步。他們在全球範圍內真正開始得到認可，並獲得了他們長期以來應得的關注和讚譽。 Athleta 開發了由傳奇運動員組成的「她的力量」系列。我們有西蒙·拜爾斯。我們有凱蒂·萊德基。她們是改變遊戲規則的品牌大使，最終團結在我們賦予婦女和女孩權力的使命上。這些都是我們品牌策略的很好例子。這些都是文化對話的一部分的很好的例子，我們相信最終將推動相關性和收入。

In relation to the second part of your question, there are no change in strategy narratives at this time around our outlet or omnichannel businesses. What we're very focused on is our prioritization map that we've shared and ultimately executing that with excellence.

關於您問題的第二部分，目前我們的直銷店或全通路業務的策略敘述沒有改變。我們非常關注的是我們共享的優先地圖，並最終以卓越的方式執行它。

Operator?

操作員？

Thank you. We've reached the end of the question-and-answer session. That does conclude our conference call. You may now disconnect.

謝謝。我們的問答環節已經結束了。我們的電話會議到此結束。您現在可以斷開連線。