孩之寶 (HAS) 2024 Q1 法說會逐字稿

Good morning, and welcome to the Hasbro First Quarter 2024 Earnings Conference Call. (Operator Instructions) Today's conference is being recorded. (Operator Instructions) At this time, I'd like to turn the call over to Kern Kapoor, Senior Vice President of Investor Relations. Please go ahead.

早安，歡迎參加孩之寶 2024 年第一季財報電話會議。 （操作員指示）今天的會議正在錄音。 （操作員指示）此時，我想將電話轉給投資人關係資深副總裁 Kern Kapoor。請繼續。

Thank you, and good morning, everyone. Joining me today are Chris Cocks, Hasbro's Chief Executive Officer; and Gina Goetter, Hasbro's Chief Financial Officer. Today, we will begin with Chris and Gina providing commentary on the company's performance. Then we will take your questions. Our earnings release and presentation slides for today's call are posted on our investor website. The press release and presentation include information regarding non-GAAP adjustments and non-GAAP financial measures.

謝謝大家，大家早安。今天加入我的是孩之寶執行長 Chris Cocks；以及孩之寶財務長 Gina Goetter。今天，我們將首先由克里斯和吉娜對公司的業績進行評論。然後我們將回答您的問題。我們今天電話會議的收益發布和簡報投影片已發佈在我們的投資者網站上。新聞稿和簡報包括有關非公認會計原則調整和非公認會計原則財務措施的資訊。

Our call today will discuss certain adjusted measures, which exclude these non-GAAP adjustments. A reconciliation of GAAP to non-GAAP measures is included in the press release and presentation. Please note that whenever we discuss earnings per share or EPS, we are referring to earnings per diluted share. Before we begin, I would like to remind you that during this call and the question-and-answer session that follows, members of Hasbro management may make forward-looking statements concerning management's expectations, goals, objectives and similar matters.

我們今天的電話會議將討論某些調整後的措施，其中不包括這些非公認會計準則調整。新聞稿和簡報中包含了 GAAP 與非 GAAP 指標的調整表。請注意，每當我們討論每股盈餘或每股盈餘時，我們指的是稀釋後每股盈餘。在我們開始之前，我想提醒您，在本次電話會議和隨後的問答環節中，孩之寶管理層成員可能會就管理層的期望、目的、目標和類似事項做出前瞻性陳述。

There are many factors that could cause actual results or events to differ materially from the anticipated results or other expectations expressed in these forward-looking statements. These factors include those set forth in our annual report on Form 10-K, our most recent 10-Q, in today's press release and in our other public disclosures.

有許多因素可能導致實際結果或事件與這些前瞻性陳述中表達的預期結果或其他期望有重大差異。這些因素包括我們的 10-K 表格年度報告、最新的 10-Q 表格、今天的新聞稿以及我們其他公開揭露的內容。

We undertake no obligation to update any forward-looking statements made today to reflect events or circumstances occurring after date of this call. I would now like to introduce Chris Cocks. Chris?

我們沒有義務更新今天所做的任何前瞻性陳述以反映本次電話會議之後發生的事件或情況。現在我想介紹克里斯·考克斯。克里斯？

Thanks Kern and good morning. For the past several quarters, you've heard us reaffirm Hasbro's strategy to refocus on play with our fewer, bigger, better principles. In our Q1 results, we're seeing Hasbro's strategy come to life. We are applying a franchise-first mindset. We're realizing our brands' potential through licensing with success across digital and consumer products. And we're continuing to invest in innovation across toys and games, appealing to consumers of all ages across play patterns. We began 2024 with a healthier balance sheet, a leaner cost structure and an improved inventory position.

謝謝克恩，早安。在過去的幾個季度中，您已經聽到我們重申了孩之寶的策略，即按照我們更少、更大、更好的原則重新專注於遊戲。在我們第一季的業績中，我們看到孩之寶的策略得以實現。我們正在採用特許經營第一的心態。我們正在透過在數位和消費產品領域取得成功的授權來實現我們品牌的潛力。我們將繼續投資玩具和遊戲的創新，以吸引不同遊戲模式的各個年齡層的消費者。 2024 年開始，我們的資產負債表更加健康，成本結構更加精簡，庫存狀況也有所改善。

In Q1, we saw tangible progress on our turnaround. Our revenue landed as expected, and our margins outperformed. While most of the year remains ahead of us, I'm glad to see the business is on a solid track. It gives me confidence Hasbro's pointed towards sustainable, long-term growth backed by industry-leading innovation across games, toys and partner-led entertainment. Digging into the quarter, there were several highlights. Let's start with licensing.

在第一季度，我們看到扭虧為盈取得了實際進展。我們的營收達到預期，利潤率也超乎預期。儘管今年的大部分時間都在等待著我們，但我很高興看到業務走在堅實的軌道上。這讓我對孩之寶在遊戲、玩具和合作夥伴主導的娛樂領域的行業領先創新的支持下實現可持續、長期增長充滿信心。深入研究本季度，有幾個亮點。讓我們從許可開始。

MONOPOLY GO! from our partners at Scopely has crossed over $2 billion in lifetime revenue and 150 million downloads, breaking records as the fastest-growing mobile game ever. Baldur's Gate 3 from our partners at Larian Studios, continued its momentum from last year with even more recognition. It's now the only game to ever win all 5 prestigious Game of the Year awards. While the success of Baldur's Gate 3 is in a league of its own, we see a long-term opportunity to leverage the richness of D&D across more games.

壟斷吧！來自 Scopely 合作夥伴的《遊戲終身收入》突破 20 億美元，下載量超過 1.5 億次，打破了有史以來成長最快的手機遊戲的記錄。我們的合作夥伴 Larian Studios 推出的《博德之門 3》延續了去年的勢頭，獲得了更多認可。它是目前唯一一款贏得全部 5 項著名的年度遊戲獎項的遊戲。雖然《博德之門 3》取得了無與倫比的成功，但我們看到了在更多遊戲中利用 D&D 豐富性的長期機會。

In Q1, we signed new licensing agreements with resolution games best known for the VR game Demeo as well as Gameloft, makers of Disney Dreamlight Valley, both to build within the D&D universe. And to celebrate D&D's 50th anniversary, we executed new partnerships with LEGO, Converse and BlackMilk Apparel. Dungeons & Dragons Red Dragon's Tail is a 3,700 piece fan favorite that combines the building fun of LEGO and the Rich World building of D&D. I can't wait to build my own. Our success in licensing extends to our toy brands. We saw positive early results in Q1 from LITTLEST PET SHOP, now manufactured and distributed by Basic Fun. And just this week, we announced a strategic relationship with Playmates to produce and distribute Power Rangers toys starting in 2025.

在第一季度，我們與以 VR 遊戲 Demeo 聞名的分辨率遊戲以及 Disney Dreamlight Valley 的製造商 Gameloft 簽署了新的許可協議，兩者都將在 D&D 宇宙中構建。為了慶祝 D&D 成立 50 週年，我們與 LEGO、Converse 和 BlackMilk Apparel 建立了新的合作夥伴關係。 《龍與地下城》紅龍尾巴是粉絲最愛的 3,700 塊積木，它結合了樂高的拼搭樂趣和 D&D 的豐富世界建築。我迫不及待地想建立自己的。我們在授權方面的成功延伸到了我們的玩具品牌。我們在第一季度看到 LITTLEST PET SHOP 取得了積極的早期成果，該店現在由 Basic Fun 製造和分銷。就在本週，我們宣布與 Playmates 建立策略合作關係，從 2025 年開始生產和分銷《恐龍戰隊》玩具。

These are high-profit partnerships that leverage great partners with iconic brands from our extensive IP vault. Our new asset-light entertainment model is already paying dividends. We look forward to bringing the Star setted animated zone TRANSFORMERS 1 to theaters this September with our partners at Paramount. In Q1, we announced deals with Lionsgate and Margot Robbie's production company, LuckyChap, to produce a live-action MONOPOLY movie as well as with the CW to create game shows around Trivial Pursuits and Scrabble. And of course, I can't wait to see what Sony has in store for us, with the just announced film and TV projects for CLUE. The movie was a favorite of mine in the 1980s.

這些都是高利潤的合作夥伴關係，利用我們廣泛的智慧財產權庫中的標誌性品牌的優秀合作夥伴。我們新的輕資產娛樂模式已經開始帶來紅利。我們期待與派拉蒙的合作夥伴於今年 9 月將明星動畫園區《變形金剛 1》搬上戲院。第一季度，我們宣布與獅門影業和瑪格羅比的製作公司 LuckyChap 合作製作一部真人大富翁電影，並與 CW 合作製作圍繞 Trivial Pursuits 和 Scrabble 的遊戲節目。當然，我迫不及待地想看看索尼為我們準備了什麼，以及剛剛宣布的《線索》電影和電視項目。這部電影是 20 世紀 80 年代我最喜歡的電影。

And our success in asset-light partner-based entertainment extends well beyond the screen. We now 115 Hasbro branded partner-led properties, bringing in over 55 million visitors last year alone. We see those figures increasing significantly over the next couple of years as our partners bring our brands to life through thrilling experiences and attractions and billions of dollars of third-party capital investments. With quality executions like Hasbro city in Mexico, which we've just awarded the best family entertainment center in the world by the International Association of Amusement Parks and Attractions.

我們在基於合作夥伴的輕資產娛樂領域的成功遠遠超出了螢幕範圍。我們現在擁有 115 個孩之寶品牌合作夥伴主導的飯店，光是去年就吸引了超過 5500 萬遊客。我們預計，隨著我們的合作夥伴透過令人興奮的體驗和景點以及數十億美元的第三方資本投資將我們的品牌帶入生活，這些數字在未來幾年將顯著增加。憑藉像墨西哥孩之寶城這樣的優質執行，我們剛剛被國際遊樂園和景點協會授予世界上最好的家庭娛樂中心。

Reinvigorating our innovation and driving operational rigor underpins our turnaround. In games, we continue to make changes within our board games portfolio, opening the door for share gains in growth categories like party, strategy and card games. In Q1, we launched Life in Reterra, a tile laying strategy game from acclaimed designer, Eric Lang; and Fork Milk Kidnap, a fun new adult party game. We also are doubling down in where we are the clear leader. In February, we launched the second edition of Monopoly Prizm: NBA board game at the NBA All-Star weekend, and it helped make Monopoly the #2 growth property in the games category in the U.S. for the quarter. We expect to see more crossover opportunities for the brand and sports in the future.

重振我們的創新並推動嚴格的營運是我們扭虧為盈的基礎。在遊戲方面，我們繼續對棋盤遊戲產品組合進行變革，為派對、策略和紙牌遊戲等成長類別的份額增長打開大門。第一季度，我們推出了 Life in Reterra，這是一款由著名設計師 Eric Lang 設計的瓷磚鋪設策略遊戲；以及 Fork Milk Kidnap，一款有趣的新型成人派對遊戲。我們還在我們明顯領先的領域加倍努力。 2 月份，我們在 NBA 全明星週末推出了第二版《大富翁 Prizm：NBA 棋盤遊戲》，這使得《大富翁》成為本季度美國遊戲類別中第二大增長型遊戲。我們期待未來看到更多品牌與運動的跨界機會。

MAGIC: THE GATHERING saw a healthy growth in Q1, driven by timing of sales for our latest release Outlaws of Thunder Junction and strong demand for Fallout Commander. Q2 is an important quarter for MAGIC, with the releases of both Outlaws and Modern Horizons 3, what we expect to be our biggest set of the year. While we expect MAGIC to be down for the year after a record 2023, we maintain our long-term bullishness on the brand based on the continued robust fan engagement and a killer lineup of new universes beyond collaborations, including upcoming sets in 2025 for Final Fantasy and Marvel. And stay tuned for more exciting innovation from our D&D team as we continue to scale D&D Beyond and expand the richness of table top gameplay to digital. We expect to connect to an even wider audience while delighting our existing fans as D&D celebrates its 50th anniversary.

在我們最新版本《Outlaws of Thunder Junction》的銷售時機以及對《Fallout Commander》的強勁需求的推動下，《萬智牌》在第一季實現了健康成長。第二季度對 MAGIC 來說是一個重要的季度，《亡命之徒》和《摩登新篇 3》都已發布，我們預計這將是我們今年最大的系列。雖然我們預計MAGIC 在創紀錄的2023 年之後今年會出現下滑，但基於持續強勁的粉絲參與度以及合作之外的一系列殺手級新宇宙，包括2025 年即將推出的《最終幻想》系列，我們仍對該品牌保持長期看好和漫威。隨著我們繼續擴展 D&D Beyond 並將桌上遊戲的豐富性擴展到數位化，請繼續關注我們的 D&D 團隊更多令人興奮的創新。在《龍與地下城》慶祝成立 50 週年之際，我們希望能夠與更廣泛的受眾建立聯繫，同時讓我們現有的粉絲感到高興。

Finally, let's turn to toys, where our turnaround efforts are well underway. We began Q1 with inventories at multiyear lows, down over 50% from the prior year. As a result of our cleanup efforts, we saw a significant reduction in closeout volume in Q1. Thanks to our operational discipline and careful SKU management. We're in a good position with our large retail partners as we work towards new product innovation, including Beyblade, Nerf and refresh lineup for BABY ALIVE. We also are seeing solid progress in revamping our approach to marketing, significantly shifting our mix to digital, driving stronger-than-ever partnerships with our e-commerce and multichannel partners like our just completed Birthday Shop execution with Walmart, and are seeing improved return on advertising spend as a result.

最後，讓我們轉向玩具，我們的扭虧為盈工作正在順利進行中。第一季開始，我們的庫存處於多年低點，比前一年下降了 50% 以上。由於我們的清理工作，我們發現第一季的清倉量大幅減少。得益於我們的營運紀律和精心的 SKU 管理。當我們致力於新產品創新時，我們與大型零售合作夥伴處於有利的地位，包括 Beyblade、Nerf 和 BABY ALIVE 的更新系列。我們也看到在改進我們的行銷方法方面取得了堅實的進展，顯著地將我們的組合轉向數位化，推動與我們的電子商務和多通路合作夥伴比以往任何時候都更牢固的合作夥伴關係，例如我們剛剛與沃爾瑪完成的生日商店執行，並且看到了回報的提高廣告支出的結果。

We continue to see momentum with FURBY, one of last year's top new toys, including our latest best seller, Furblets. According to [Serkan], these fuzzy Lil Friends were the top-selling item in the special feature plush category in the U.S. And earlier this week, we announced glow in the dark Furby Galaxy coming this summer. We've also seen encouraging POS trends from Transformers as we celebrate the brand's 40th anniversary. While we're lapping last year's successful film Transformers: Rise of the Beasts in Q2, we look forward to sales rebounding in the back half as we gear up for Transformers 1.

我們繼續看到 FURBY 的發展勢頭，它是去年最熱門的新玩具之一，其中包括我們最新的暢銷產品 Furblets。據 [Serkan] 稱，這些毛茸茸的 Lil Friends 是美國特色毛絨玩具類別中最暢銷的商品。在慶祝變形金剛品牌成立 40 週年之際，我們也看到了令人鼓舞的 POS 趨勢。雖然我們在第二季度大獲成功，去年的電影《變形金剛：野獸崛起》也取得了巨大成功，但隨著我們為《變形金剛 1》做好準備，我們預計下半年銷量會反彈。

Last but not least, our retail and licensing partnerships are among our most important. Last month in New York City, Hasbro and Amazon collaborated with The Walt Disney Company to create a Star Wars experience at their first ever March to May 4 event. Through an immersive retail experience in the main floor of the Empire State Building, fans were able to take photos with costume characters, including Darth Vader and checkout Hasbro's latest Black Series helmets and Kyber Core lightsabers collectibles.

最後但並非最不重要的一點是，我們的零售和授權合作夥伴關係是我們最重要的。上個月在紐約市，孩之寶和亞馬遜與華特迪士尼公司合作，在 3 月至 5 月 4 日舉行的首次活動中打造了星際大戰體驗。透過帝國大廈主層的沉浸式零售體驗，粉絲們可以與達斯維德等服裝人物合影，並查看孩之寶最新的黑色系列頭盔和 Kyber Core 光劍收藏品。

Before I wrap up, I want to highlight the recent changes to our Board of Directors, bringing in new members with extensive games and retail operations experience. I'd like to welcome Darin, Frank and Owen to the board. I also want to thank Tracy, Linda and Michael, who will be retiring from the Board following our shareholder meeting next month. I'm grateful for their support and guidance over the past few years. And lastly, I want to honor Alan Hassenfeld, who will be stepping away from his role as Emeritus Chairman. Alan has been and always will be a prominent architect of Hasbro's legacy, and he will continue to be engaged with Hasbro in guiding the company's philanthropic efforts providing development and relief for children around the world.

在結束之前，我想強調我們董事會最近的變化，引入了具有豐富遊戲和零售營運經驗的新成員。我歡迎達林、法蘭克和歐文加入董事會。我還要感謝特雷西、琳達和邁克爾，他們將於下個月的股東大會結束後從董事會退休。我感謝他們過去幾年的支持與指導。最後，我要向即將辭去名譽主席職務的艾倫·哈森菲爾德表示敬意。艾倫一直並將永遠是孩之寶遺產的傑出締造者，他將繼續與孩之寶合作，指導公司的慈善事業，為世界各地的兒童提供發展和救濟。

To recap, it was a good quarter. We landed revenue where we expected with wins across digital licensing, board games and continued momentum for FURBY. We continue to sharpen our execution, staying within our guardrails and inventory and delivering meaningful cost productivity across the P&L. While it's still early, our turnaround efforts in consumer products are going well, and we look forward to monitoring our progress over the next couple of quarters. I'd now like to turn over the call to Gina to share more about our detailed results and guidance for the year. Gina?

回顧一下，這是一個不錯的季度。我們的收入達到了預期，在數位授權、棋盤遊戲方面取得了勝利，並且《FURBY》的勢頭持續強勁。我們繼續提高執行力，保持在我們的護欄和庫存範圍內，並在整個損益表中提供有意義的成本生產率。雖然現在還為時過早，但我們在消費品領域的扭虧為盈工作進展順利，我們期待在接下來的幾個季度監控我們的進展。我現在想將電話轉給吉娜，分享更多有關我們今年的詳細結果和指導的資訊。吉娜？

Thanks, Chris, and good morning, everyone. In February, I outlined our strategy to build on the foundation we put in place last year after resetting the business and the necessary steps we're taking to reinvigorate innovation across the portfolio while continuing to drive operational rigor. I am pleased with how we executed in the first quarter with our strength in digital licensing and MAGIC contributing to a more profitable business mix while our turnaround efforts in toys started to take shape. We continue to deliver supply chain productivity ahead of inflation, and we made meaningful progress on reducing operating expense.

謝謝克里斯，大家早安。今年二月，我概述了我們的策略，即在去年業務重組後所建立的基礎上繼續發展的策略，以及我們為重振整個產品組合的創新而採取的必要步驟，同時繼續推動營運的嚴謹性。我對我們在第一季的表現感到滿意，我們在數位授權和 MAGIC 方面的實力為利潤更高的業務組合做出了貢獻，同時我們在玩具領域的扭虧為盈的努力也開始成形。我們繼續在通貨膨脹之前提供供應鏈生產力，並且在降低營運費用方面取得了有意義的進展。

We see more room to drive our cost footprint lower as we further refine our supply chain and optimize product design across each brand. We have already identified significant savings through this design-to-value strategy with our teams leveraging customer insights and competitive analysis to inform our actions. Looking at our toy turnaround in more detail. While Q1 represents the smallest contributor to full year sales, we maintained our controlled stance on inventories after the cleanup efforts last year. We ended Q1 with inventories at healthy levels, down over 50% from a year ago and roughly flat to where we ended in 2023. Our number of days in inventory were at multiyear lows for Q1 and at around 66 days.

隨著我們進一步完善供應鏈並優化每個品牌的產品設計，我們看到了降低成本足跡的更大空間。我們已經發現，透過這種價值設計策略，我們的團隊可以利用客戶洞察和競爭分析來指導我們的行動，從而節省大量成本。更詳細地了解我們的玩具週轉情況。雖然第一季對全年銷售的貢獻最小，但在去年的清理工作之後，我們仍保持對庫存的控制立場。第一季結束時，我們的庫存處於健康水平，比一年前下降了50% 以上，與2023 年結束時的庫存水平大致持平。為66 天。

And while we expect to see our inventory days increase over the next couple of quarters in line with normal business seasonality, we are still planning for total owned inventory levels to finish the year relatively flat versus 2023. Our much improved inventory position led to over 50% reduction in closeout sales in the quarter. And although this negatively impacted our Consumer Products segment revenue growth, we did realize a margin benefit from the improved sales rate, and we expect this trend to continue as we move through Q2.

雖然我們預計未來幾季的庫存天數將根據正常的業務季節性有所增加，但我們仍計劃今年結束時的總庫存水準與2023 年相比相對持平。超過50本季清倉銷售減少百分比。儘管這對我們的消費品部門收入成長產生了負面影響，但我們確實從銷售率的提高中實現了利潤率效益，並且我們預計這種趨勢將在第二季度繼續下去。

While improving the profitability of toys and delivering our cost savings target are 2 of the company's top priorities, I want to emphasize that we are concurrently staying vigilant around what investment opportunities require incremental spend to drive the most profitable revenue across the portfolio. Through greater analytics, we are already seeing an improvement in our marketing efficacy, and this is an area we will lean into as we ramp our innovation across toys and games and prepare for a stronger holiday season. Moving now to our Q1 financial results.

雖然提高玩具的獲利能力和實現成本節約目標是公司的兩個首要任務，但我想強調的是，我們同時對哪些投資機會需要增量支出保持警惕，以推動整個投資組合中最有利可圖的收入。透過更深入的分析，我們已經看到行銷效率有所提高，這是我們在玩具和遊戲方面加強創新並為更強勁的假期季節做好準備時將重點關注的一個領域。現在來看看我們第一季的財務表現。

Total Hasbro revenue was $757 million, down 24% versus Q1 of last year. If you exclude the impact of the eOne divestiture, total revenue was down 9% versus a year ago. Growth of 7% in our Wizards of the Coast segment, led by MAGIC and licensed digital games and 65% growth in entertainment, driven by a renewal deal for Peppa Pig, was more than offset by the 21% decline in consumer products, driven primarily by category declines and reduced volume moving through closeout. Q1 adjusted operating profit was $149 million, with an operating margin of 19.6%, up about 15.0 points year-over-year. This improvement was largely driven by a reduction in costs stemming from our operational excellence program as well as supply chain productivity gains and favorable business mix including the eOne divestiture. In aggregate, we were able to deliver significant margin improvement despite ongoing volume deleverage across our toys business.

孩之寶總收入為 7.57 億美元，比去年第一季下降 24%。如果排除 eOne 剝離的影響，總收入比一年前下降了 9%。在《MAGIC》和授權數位遊戲的帶動下，我們的《海岸奇才》細分市場成長了7%，而在《小豬佩奇》續約協議的推動下，娛樂領域成長了65%，但消費產品領域的21% 下降（主要推動因素）抵消了這一增長。第一季調整後營業利潤為 1.49 億美元，營業利益率為 19.6%，較去年同期成長約 15.0 個百分點。這項改善主要是由於我們卓越營運計畫帶來的成本降低、供應鏈生產力的提高以及包括 eOne 剝離在內的有利業務組合。總的來說，儘管我們的玩具業務持續進行銷售去槓桿化，但我們仍能夠實現利潤率的顯著提高。

Total Hasbro Q1 adjusted net earnings were $85 million, with diluted earnings per share of $0.61, driven by the improvement in operating profit as well as favorability from a stock compensation adjustment and net interest expense reduction. Operating cash flow was $178 million, an $89 million improvement over the same period last year, driven by the increase in net earnings as well as reduced production expense in connection with our sale of eOne. We gave back $97 million to shareholders through the dividend and ended the period with $570 million of cash in our balance sheet. Now let's look at our 2 major segments in more detail.

孩之寶第一季調整後淨利潤總額為 8,500 萬美元，攤薄後每股收益為 0.61 美元，這主要得益於營業利潤的改善以及股票薪酬調整和淨利息費用減少帶來的優惠。營運現金流為 1.78 億美元，比去年同期增加 8,900 萬美元，主要得益於淨利潤的成長以及與 eOne 銷售相關的生產費用的減少。我們透過股息向股東返還 9,700 萬美元，並在本期結束時資產負債表上有 5.7 億美元的現金。現在讓我們更詳細地看看我們的兩個主要部分。

Starting with Wizards of the Coast in digital gaming, revenue grew 7% behind ongoing digital licensing contributions from Baldur's Gate 3 and MONOPOLY GO!, which as a reminder, neither recorded revenue in Q1 of last year. We also saw growth in Magic tabletop revenue, benefiting from shipments for our latest set release Outlaws of Thunder Junction, which arrived in stores last week as well as a strong reception to our Fallout Commander set. Operating margin for the segment finished at 38.8%, up 13 points year-on-year, driven by supply chain productivity, cost savings and improved business mix, given the growth in digital licensing. Turning to Consumer Products.

從數位遊戲領域的《海岸奇才》開始，營收成長了7%，落後《博德之門3》和《MONOPOLY GO!》持續的數位授權貢獻，這兩款遊戲去年第一季都沒有錄得收入。我們也看到了萬智牌桌面版收入的成長，這得益於我們最新套裝《Outlaws of Thunder Junction》的出貨量（該套裝上週已到達商店）以及《輻射指揮官》套裝的強烈反響。鑑於數位授權的成長，在供應鏈生產力、成本節約和業務組合改善的推動下，該部門的營業利潤率為 38.8%，年增 13 個百分點。轉向消費品。

The total revenue decline of 21% was mostly driven by broader market softness across our key brands exacerbated by a reduction in closeout volume following our inventory cleanup efforts in Q4. We also saw some modest impact from our exited brands as well as a timing-related headwinds within our direct-to-consumer platform, Pulse, which is lapping a strong product offering in Q1 of last year. The volume decline was in line with our expectations and resulted in an improvement in our gross to net sales rate, reflecting a more disciplined stance around discounting, which we expect will continue to benefit the CP segment profitability as volumes recover.

總收入下降 21%，主要是由於我們主要品牌的更廣泛的市場疲軟，而第四季度我們清理庫存後清倉量的減少加劇了這種疲軟。我們也看到我們退出的品牌產生了一些適度的影響，以及我們的直接面向消費者的平台 Pulse 中與時間相關的阻力，該平台在去年第一季度提供了強大的產品。銷量下降符合我們的預期，並導致我們的毛淨銷售額有所改善，反映出在折扣方面更加嚴格的立場，我們預計隨著銷量的恢復，這將繼續有利於消費品部門的盈利能力。

As Chris mentioned, we saw some bright spots with the recent launch of Furblets as well as with PLAY-DOH and Hasbro Gaming. And conversely, we had continued softness in the blaster category, which negatively impacted NERF as well as action figures due to the light entertainment slates and lapping last year's successful launch of Transformers: Rise of the Beasts. Operating margin for Consumer Products came in at negative 9.2%, which is down roughly 2 margin points compared to last year. As expected, we saw a material impact from deleverage associated with the volume decline which was partially offset with supply chain productivity gains, managed expense savings and improved gross to net selling rate due to lower closeout volume. It's important to note that the CP gross margins grew by over 5 margin points demonstrating the improvement in the underlying profitability of the business despite the negative impact from deleverage. Turning to guidance for 2024.

正如 Chris 所提到的，我們在最近推出的 Furblets 以及 PLAY-DOH 和 Hasbro Gaming 中看到了一些亮點。相反，我們在爆能槍類別中持續疲軟，這對 NERF 以及可動人偶產生了負面影響，因為娛樂內容較少，並且去年成功推出了《變形金剛：野獸崛起》。消費品業務的營業利潤率為負 9.2%，比去年下降了約 2 個百分點。正如預期的那樣，我們看到了與銷售下降相關的去槓桿化帶來的重大影響，但由於清倉量下降，供應鏈生產率的提高、管理費用的節省以及毛淨銷售率的提高部分抵消了這一影響。值得注意的是，CP毛利率成長超過5個百分點，顯示儘管去槓桿帶來了負面影響，但該業務的基礎獲利能力有所改善。轉向 2024 年指導。

While we are pleased with our Q1 progress, we recognize that the quarter represents a small portion of our full year sell-through for toys, and we want to monitor throughout Q2, our progress in wizards, particularly in digital licensing and Magic before potentially revising our outlook for the full year. So at this time, we are reaffirming our initial guidance and as a reminder, this calls for total Wizards revenue to be down 3% to 5%. The decline is primarily a result of the strong growth delivered in 2023. Within Wizards, we continue to plan for licensed digital games to be relatively flat versus last year, with contributions from Baldur's Gate 3 tapering down as we move through the year. For MONOPOLY GO!, we are still planning to record the contract minimum guarantee through the first half of the year, and we'll continue to watch the data closely as we move through the second quarter.

雖然我們對第一季的進展感到滿意，但我們認識到該季度只占我們全年玩具銷售的一小部分，我們希望在整個第二季度監控我們在巫師方面的進展，特別是在可能修改之前在數位許可和萬智牌方面的進展我們對全年的展望。因此，此時，我們重申我們的初步指導，並提醒大家，這要求威世智總收入下降 3% 至 5%。這一下降主要是由於 2023 年實現了強勁增長。對於《MONOPOLY GO!》，我們仍計劃在上半年記錄合約最低保證，並且在第二季度我們將繼續密切關注數據。

If the current trends continue, there could be the ability to book above the minimum guarantees sooner than the second half, but at this time, we are holding our initial guidance. Wizards operating margin will be between 38% and 40%, up 2 points from last year, driven by the favorable mix shift within digital, lower royalty rates across Magic and strong cost management, both in supply chain as well as within operating expenses. For Consumer Products, revenue will be down at 7% to 12%, and operating profit margin will be between 4% and 6%. As a reminder, about half of the revenue decline is due to actions we've taken to improve profitability, and the other half is due to prevailing category turns. We continue to expect a similar revenue decline in Q2 as we saw in Q1 with the pace of decline moderating in Q3 and flipping to growth in Q4 behind sharper innovation and marketing effectiveness as well as healthy retail inventory levels heading into the holidays. However, we expect to see profitability improving as we move through the year as we build volume ahead of the holidays, and we realize more of our net cost savings.

如果目前的趨勢持續下去，下半年之前的預訂量可能會高於最低保證，但目前我們仍維持初步指引。威世智的營運利潤率將在38% 至40% 之間，比去年上升2 個百分點，這得益於數位領域有利的組合轉變、萬智牌較低的特許權使用費以及供應鏈和營運費用方面強而有力的成本管理。消費品方面，收入將下降7%至12%，營業利益率將介於4%至6%之間。提醒一下，大約一半的收入下降是由於我們為提高獲利能力而採取的行動，另一半是由於普遍的品類轉變。我們繼續預期第二季的營收將出現與第一季類似的下降，第三季下降速度將放緩，第四季將轉為成長，這得益於更強勁的創新和行銷效率以及假期前健康的零售庫存水準。然而，隨著我們在假期前增加銷量，我們預計今年的獲利能力將會改善，並且我們將實現更多的淨成本節省。

For entertainment, adjusting for the impact of the eOne divestiture revenue will be down approximately $15 million versus last year, and operating margin will be roughly 60%, up significantly driven by operating expense reductions as well as lapping the impact of the D&D movie impairment in 2023. We remain firmly on track towards our target of $750 million of gross cost savings by 2025. And given the results in Q1, we are on pace to deliver $200 million to $250 million of net cost savings in 2024. We continue to expect total Hasbro EBITDA in the range of $925 million to $1 billion, driven by our cost savings and the lap of nonrecurring inventory cleanup charges taken last year which will more than offset the revenue decline and cost inflation. Lending cash will be slightly down versus 2023, driven by relatively flat owned inventory levels, increased capital project spending and additional costs associated with the restructuring actions announced in December. And from a capital allocation standpoint, our priorities remain to first invest behind the core business. Second is to return cash to shareholders via the dividend, and third, to continue progressing towards our long-term leverage targets and pay down debt.

對於娛樂業，根據eOne 剝離的影響進行調整，收入將比去年減少約1500 萬美元，營業利潤率將約為60%，這主要是由於營業費用減少以及考慮D&D 電影減值的影響而顯著提高。總計孩之寶 EBITDA 在 9.25 億美元至 10 億美元之間，這得益於我們的成本節約和去年採取的非經常性庫存清理費用，這將足以抵消收入下降和成本通膨。由於自有庫存水準相對平穩、資本項目支出增加以及與 12 月宣布的重組行動相關的額外成本，貸款現金將較 2023 年略有下降。從資本配置的角度來看，我們的首要任務仍然是先投資核心業務。第二是透過股息向股東返還現金，第三是繼續朝著我們的長期槓桿目標前進並償還債務。

And with that, I'll turn it back to Chris to wrap up.

說到這裡，我將把它轉回給克里斯來總結。

Thanks, Gina. We're pleased with our first quarter performance. We're doing what we said we would do, driving a shift in games and licensing, fixing our toy business and lowering our costs. It's still early, and we have lots of 2024 to go, but I think it's fair to say this was a good start to the year. We'll now pause to take your questions.

謝謝，吉娜。我們對第一季的業績感到滿意。我們正在按照我們所說的去做，推動遊戲和授權的轉變，修復我們的玩具業務並降低我們的成本。現在還為時過早，2024 年還有很長的路要走，但我認為可以公平地說，這是今年的良好開端。我們現在暫停一下，回答大家的問題。

(Operator Instructions) Our first question comes from the line of Eric Handler with ROTH MKM.

（操作員說明）我們的第一個問題來自 Eric Handler 和 ROTH MKM 的線路。

First, Gina, I wonder if you could maybe help refine the guidance a little bit in providing what the numbers you provided equates to on an EPS basis. And then given the sizable beat you had relative to consensus expectations, while maintaining guidance, where do you think Street expectations are maybe overestimating in their model in future quarters.

首先，吉娜，我想知道您是否可以幫助完善指導，以提供您提供的數字相當於每股收益的基礎。然後，考慮到您相對於共識預期的大幅領先，同時維持指引，您認為未來幾季華爾街的預期在其模型中可能被高估了。

So we are not -- we don't give EPS guidance specifically. We've been through the models. I would say analysts are coming up pretty close to kind of our internal math. I think the one thing to keep in mind for the quarter that just finished here is that we had about $0.10 of favorability from a stock adjustment -- stock compensation adjustment that will carry forward through into the year -- into your model. But we're not getting specific EPS guidance at this point.

所以我們不會——我們不會具體給出 EPS 指導。我們已經了解了這些模型。我想說，分析師的預測非常接近我們的內部數學。我認為對於剛結束的季度要記住的一件事是，我們從股票調整（將延續到今年的股票薪酬調整）中獲得了大約 0.10 美元的優惠，進入您的模型。但目前我們還沒有得到具體的每股盈餘指引。

Okay. And certainly for Chris, it's been a while since you guys have talked about MAGIC Arena. Wonder if you could give us a little bit of an update there? It seems to be sort of lagging the tabletop segment. Just what are you doing to sort of maybe broaden the appeal of Arena?

好的。當然對 Chris 來說，你們已經有一段時間沒有談論 MAGIC Arena 了。不知道您能否提供我們一些最新情況？它似乎有點落後於桌面領域。你們正在做什麼來擴大競技場的吸引力？

Eric, thanks for the question. Yes. So Arena was down a bit in Q1. Mostly that was due to not lapping a remastered set that we did last year for Shadows Over Innistrad. Barring that, it would have been roughly in line with the overall property, which was up about 4% on tabletop. So we continue to invest in Arena. We continue to mimic all the card sets that are inside of it. And we're also investing over the long term to refresh the platform. So you'll be hearing more about that over the coming couple of years because it's going to be a long-term digital project. But when you look at MAGIC and where our growth has been, a lot of that growth has been in social-based play like Commander and in collectibility. So certainly, we'll be investing in those areas on the digital platform over the long term.

艾瑞克，謝謝你的提問。是的。所以競技場在第一季略有下降。這主要是因為我們去年為《依尼翠之影》所做的重製集沒有被收錄。除此之外，它與整體房產大致一致，整體房產在桌面上上漲了約 4%。所以我們繼續投資Arena。我們繼續模仿其中的所有牌組。我們也進行長期投資來更新平台。因此，在接下來的幾年裡，您將聽到更多有關此內容的信息，因為這將是一個長期的數位項目。但當你看看《MAGIC》以及我們的成長情況時，你會發現其中很大一部分增長來自於《Commander》等基於社交的遊戲以及收藏性方面。因此，從長遠來看，我們肯定會在數位平台的這些領域進行投資。

Our next question comes from the line of Megan Alexander with Morgan Stanley.

我們的下一個問題來自梅根·亞歷山大 (Megan Alexander) 與摩根士丹利 (Morgan Stanley) 的對話。

One is -- kind of a 2-part question. You just did almost a 20% operating margin in what's typically your smallest quarter of the year from a sales perspective. In the slides, you did reiterate that 20% full year target by 2027. So I guess first question, why wouldn't you be able to get to that 20% number this year, if not higher than that? And maybe second part, was there something in that 1Q operating profit performance that won't repeat. The corporate segment, in particular, did stand out to us. Maybe you can just clarify what's in there and how we should kind of think about the run rate of that segment going forward?

第一個是──一個由兩個部分組成的問題。從銷售角度來看，這通常是一年中最低的季度，您的營業利潤率幾乎達到了 20%。在幻燈片中，您確實重申了到 2027 年實現 20% 的全年目標。 所以我想第一個問題是，如果不是更高的話，為什麼今年不能達到 20% 的數字？也許第二部分是，第一季的營業利潤表現是否有一些不會重複的事情。企業部門對我們來說尤其突出。也許您可以澄清其中的內容以及我們應該如何考慮該細分市場未來的運作率？

Sure. Megan, good question. So as we -- let's start with the corporate segment. So there was $45 million of profit that we posted in there. About half of that is that non-stock comp adjustment that we made. And so that is roughly half of that $45 million, and it will not repeat. So when you think about our margin profile in the quarter, about 2.5 points of kind of our margin performance came from that adjustment, that's not going to carry forward as we go. As we think about the balance of the year, there's going to be puts and takes within the margin. So in Q2, we're going to still have that deleverage happening with toy in Q3, though, remember, there's the impact last year that we had in all of the digital with Baldur's Gate, Lord of the Rings, there was a lot of favorability coming into Q3 last year that we begin the comp.

當然。梅根，好問題。讓我們從企業部門開始。我們在那裡公佈了 4500 萬美元的利潤。其中大約一半是我們所做的非股票補償調整。因此，這大約是 4500 萬美元的一半，並且不會重複。因此，當你考慮我們本季的利潤率狀況時，我們的利潤率表現大約有 2.5 個百分點來自於這次調整，這不會隨著我們的進展而繼續下去。當我們考慮今年的餘額時，將會在保證金範圍內進行看跌期權和賣出期權。因此，在第二季度，我們在第三季度的玩具領域仍將出現去槓桿化，但請記住，去年我們對《博德之門》、《魔戒》的所有數位領域都產生了影響，有很多去年第三季度，我們開始進行比較。

But there's no doubt that our margin performance at the start of the year is really healthy. I mean our supply chain performance, I mean, we are killing it within supply chain. I think our team is really out to make our supply chain the most cost competitive best-in-class supply chain. And we've seen an acceleration in the benefits within that area that if that keeps continuing, yes, there's some good momentum that could carry us forward to the end of the year and get us closer to that 20% sooner rather than later. But there's a lot of things that need to play out as we go through the year before we commit to that.

但毫無疑問，我們年初的利潤率表現確實非常健康。我的意思是我們的供應鏈績效，我的意思是，我們正在供應鏈內扼殺牠。我認為我們的團隊確實致力於使我們的供應鏈成為最具成本競爭力的一流供應鏈。我們已經看到該領域的效益正在加速成長，如果這種情況持續下去，是的，會有一些好的勢頭可以推動我們到今年年底，讓我們早日接近 20%。但在我們做出承諾之前的這一年裡，還有很多事情需要解決。

Understood. That's super helpful. And then maybe just on the Consumer Products top line. I think you said POS for the industry was down. I was wondering if you could talk about Hasbro POS. And then I think you also said related to that 2Q decline similar to 1Q. I think the closeouts are typically more of a 1Q phenomenon than 2Q. So maybe can you just unpack in terms of the dynamics between the closeouts and POS, how we should think about that 2Q being down 20% again?

明白了。這非常有幫助。然後也許只是在消費品領域。我想您說過該行業的 POS 正在下降。我想知道您能否談談 Hasbro POS。然後我想你也說過與第二季的下降有關，類似第一季。我認為清倉通常更多是第一季的現象，而不是第二季的現象。那麼，也許您可以從清倉和 POS 之間的動態角度來分析一下，我們應該如何看待第二季再次下降 20%？

Well, I think when you look at Q1, January and February and our results were pretty heavily impacted based on 2 factors: one, the reduction in closeouts; and two, not lapping a couple releases that we had with Pulse in the prior year. We had some fairly large ones. That -- those 2 factors kind of contributed to that underperformance in February and January. Starting in March, though, we saw very healthy trends on our point of sale and our Easter trends normalizing for the dates were also quite healthy. And so far into April, we're seeing those positive point-of-sale trends continue.

嗯，我認為，當你看看第一季、一月和二月時，我們的業績受到兩個因素的嚴重影響：一是清倉減少；二是庫存減少。第二，沒有重複我們去年在 Pulse 上發布的幾個版本。我們有一些相當大的。這兩個因素導致了二月和一月的表現不佳。不過，從三月開始，我們在銷售點看到了非常健康的趨勢，復活節日期的正常化趨勢也非常健康。進入四月以來，我們看到這些積極的銷售點趨勢仍在繼續。

Now I think the thing that gives us a little bit of pause that we're monitoring in Q2, is just a relatively light slate of entertainment. Last year, we had the D&D movie and Transformers: Rise of the Beasts, which both were pretty positive contributors to the quarter. Also, our partners at Disney had just an amazing slate of content both in streaming and in theaters. That's not going to be lapped as completely. So we're taking a little bit of a cautious tone and wanting to monitor our performance. I think the thing that helps to negate may be the impact of the entertainment-related headwinds is our marketing effectiveness. We're seeing a significant improvement in our overall return on advertising spend. We've retooled our marketing team. And so that tailwind we have to look at and monitor. And we'll get back to you guys at the end of Q2, on a potential revision to guidance if we continue to see positive trends play out.

現在我認為我們在第二季度監測的讓我們稍微停頓的事情只是相對較輕的娛樂活動。去年，我們推出了《龍與地下城》電影和《變形金剛：野獸崛起》，這兩部影片都為本季做出了相當正面的貢獻。此外，我們在迪士尼的合作夥伴在串流媒體和影院中都提供了大量令人驚嘆的內容。這不會被完全研磨。因此，我們採取謹慎的態度，並希望監控我們的表現。我認為，有助於消除娛樂相關逆風影響的因素是我們的行銷效率。我們看到廣告支出的整體報酬率顯著提高。我們重組了行銷團隊。因此，我們必須關注並監控這一順勢。如果我們繼續看到正面的趨勢，我們將在第二季末回覆你們，告知可能對指導的修訂。

And then the only other added, I mean, on your closeout comment. So, you're right, it's typically heavy in Q1. But given what we were going through last year and trying to clear out all of the inventory, it was a factor in all 4 of our quarters. And so that is -- that will be the huge reduction that we took in inventory last year, the fact that we don't have that overhang that will be a positive contributor every quarter that we go. We'll continue to see that close up volume being down. So I should say a positive contributor on the margin side and negative contributor on the revenue side in every quarter.

然後唯一的其他人添加了，我的意思是，在你的結束評論中。所以，你是對的，第一季通常很重。但考慮到我們去年所經歷的情況並試圖清理所有庫存，這是我們所有四個季度的一個因素。因此，這將是我們去年庫存的大幅減少，事實上我們沒有多餘的庫存，而這將在我們每季做出積極的貢獻。我們將繼續看到近場交易量下降。因此，我應該說每個季度的利潤方面都有正面貢獻，而收入方面則有負面貢獻。

Our next question comes from the line of Drew Crum with Stifel.

我們的下一個問題來自 Drew Crum 和 Stifel 的對話。

So Gina, just going back to Consumer Products, you discussed improved underlying performance and benefits from operational excellence, but you still saw adjusted OI down and some margin compression. If the volume decline headwind is moderating as you progress through the year, when should we start to see positive bottom line comps for that business?

吉娜，回到消費品，您討論了基礎性能的提高和卓越運營帶來的好處，但您仍然看到調整後的 OI 下降和一些利潤壓縮。如果隨著今年的進展，銷量下降的逆風正在減弱，那麼我們什麼時候應該開始看到該業務的積極底線比較？

Yes. Drew, good question. If you think about our -- how we've kind of talked about our top line flow for CP, so we'll be down similarly in Q2. And we start to rebound in Q3 and we're back to growth in Q4. So I would expect our margin to follow suit. So I think we're still going to see that same kind of material [delev] headwind in Q2. It starts to stabilize in Q3 and then our margins. I mean, our margins are growing absent even the huge comp that we have on inventory, but then that kind of onetime margin pickup that we have will further expand our margins in Q4. So it's going to kind of follow with the top line.

是的。德魯，好問題。如果你想想我們如何談論 CP 的營收流量，那麼我們在第二季也會出現類似的下滑。我們在第三季開始反彈，並在第四季恢復成長。因此，我預計我們的利潤率也會跟著做。因此，我認為我們在第二季度仍然會看到相同的材料[delev]逆風。第三季開始穩定，然後我們的利潤率開始穩定。我的意思是，我們的利潤率正在成長，即使我們的庫存量很大，但我們的一次性利潤率回升將在第四季度進一步擴大我們的利潤率。所以它會遵循頂線。

Got it. Okay. And then Chris, you had some comments on the Universe Beyond sets. Can you address the performance of Fallout Commander? I know it's still early, but has that changed your view on Magic revenue for the year? Does it have any impact on segment margin? And then just wanted to get a sense as to how you're sizing up or thinking about Final Fantasy and Marvel sets next year, how those compare to Lord of the Rings.

知道了。好的。然後克里斯，你對《超越宇宙》系列有一些評論。能談談《輻射指揮官》的性能嗎？我知道現在還為時過早，但這是否改變了您對今年萬智牌收入的看法？它對分部利潤率有影響嗎？然後只是想了解您如何評估或思考明年的《最終幻想》和漫威系列，以及它們與《魔戒》的比較。

Yes. So I would say Fallout has been a great set. I'm a little bit of a fan boy, so I'll try not to playing it a little bit too much. I've been playing it since the '90s. But it's probably our best-performing commander set ever, whether it's a Universes Beyond set or not. However, commander sets tend to be quite a bit smaller than our overall premier sets. So you have to wait that accordingly. I would say our view on MAGIC is pretty healthy. Engagement is -- has reached pre-pandemic levels. Our stores are all healthy. Fallout doing well. Outlaws of Thunder Junction, which is our first major release of Q2, it's early, but it's off to a promising start.

是的。所以我想說《異塵餘生》是一套很棒的作品。我是一個有點狂熱的粉絲，所以我會盡量不要玩得太多。我從 90 年代就開始玩這個遊戲了。但這可能是我們有史以來表現最好的指揮官系列，無論它是否是超越宇宙系列。然而，指揮官套裝往往比我們的整體首要套裝小很多。所以你必須相應地等待。我想說我們對 MAGIC 的看法是相當健康的。參與度已達到疫情前的水準。我們的商店都很健康。輻射表現不錯。 《Outlaws of Thunder Junction》是我們第二季的第一個主要版本，雖然還為時過早，但已經有了一個好的開始。

So I think our caution and MAGIC is just Q2 is a big quarter. We've got Modern Horizons at the end of the quarter, and we want to monitor how those do. But I think signs are pointing in the right direction for us. In terms of the long-term view on Universes Beyond, man, I think Final Fantasy and Marvel are going to be pretty significant sets I would put them in the same league at least as what we saw with Lord of the Rings. Marvel is just a huge IP. We're going to be doing multiple sets with The Walt Disney Company on that, which we're pretty excited. And then Final Fantasy, it's huge inside of North America and Europe. But our sales in Japan will probably to work what we did with Lord of the Rings because of the resonance that it has in that market, which you should remember is the #2 market for Magic and the #2 market overall for trading card games.

所以我認為我們的謹慎和 MAGIC 只是第二季是一個重要的季度。我們將在本季末推出《摩登新篇》，我們希望監測它們的表現。但我認為跡象為我們指明了正確的方向。就《超越宇宙》的長期觀點而言，我認為《最終幻想》和《漫威》將是非常重要的系列，我會把它們放在同一個級別，至少與我們在《魔戒》中看到的一樣。漫威只是一個巨大的IP。我們將與華特迪士尼公司就此進行多組拍攝，我們對此感到非常興奮。然後是《最終幻想》，它在北美和歐洲非常受歡迎。但我們在日本的銷售可能會像我們在《魔戒》中所做的那樣，因為它在該市場引起了共鳴，你應該記住，日本是萬智牌的第二大市場，也是集換式卡牌遊戲的第二大市場。

Our next question comes from the line of Arpine Kocharyan with UBS.

我們的下一個問題來自瑞銀集團的 Arpine Kocharyan。

Just to clarify on POS, you mentioned down for the quarter. Have your expectations changed at all regarding full year industry retail trends? And then I have a quick follow-up.

只是為了澄清 POS，您提到了本季的下降。您對全年行業零售趨勢的預期是否發生了變化？然後我會進行快速跟進。

Yes. I mean, Q1 for the industry is usually around 14% to 15%. So it's still in terms of the total volume that Q1 represents. So I think it was a positive quarter. Certainly, we saw momentum exiting the quarter that's been continuing into Q2. But it's just super early. And the toy industry has been a difficult one to predict for the last 18 months or so. So we're going to continue to monitor it this quarter, particularly in light of the relative pause in entertainment that helps to drive toy sales. And that said, I think it was a good start to the year for us and for the industry as a whole. And my hope is it continues.

是的。我的意思是，該行業第一季的成長率通常約為 14% 至 15%。所以它仍然是以第一季所代表的總量計算的。所以我認為這是一個積極的季度。當然，我們看到本季的勢頭一直持續到第二季​​。但現在還太早。在過去 18 個月左右的時間裡，玩具業一直是一個難以預測的行業。因此，我們將在本季繼續監控，特別是考慮到有助於推動玩具銷售的娛樂產業相對暫停。儘管如此，我認為這對我們和整個行業來說都是今年的良好開端。我希望它能繼續下去。

And then margin is clearly the highlight for your results today, and I think it's going to be the same for the year as well. Could you maybe talk about cadence for margins for the rest of the year. I mean Q2, we'll obviously have strong Wizard, I think, so that helps flow through and you have closeout sales sort of easing or the impact of that easing. What are other big inputs you would highlight for Q2 and as we think about the back half as far as margins go?

利潤率顯然是你們今天業績的亮點，我認為今年也將如此。您能否談談今年剩餘時間的利潤節奏。我的意思是第二季度，我認為我們顯然會有強大的嚮導，這有助於流通，並且您會得到清倉銷售的寬鬆或這種寬鬆的影響。當我們考慮下半年的利潤率時，您會強調第二季的其他重要投入是什麼？

Yes, I'll start, and then I'll turn it over to Gina. So I'll maybe do a little bit of thematics and then turn it over to Gina to go into the details of your question, our P&A. I think what you're seeing in Q1 is kind of our overall strategic thesis playing out, which I think will play out knock on wood through the rest of the year and for the foreseeable future. And I think that is that Hasbro is the games, IP and toy company effectively in that order. And I think our margins will start to shape around those style of industries, style of TAMs and growth opportunities. And so what you're seeing in Q1 is, wow, when you have a healthy games business, when some have some -- when you have great IP like we have and great partners that you can leverage it through and you start to get your act together on your cost structure and your operational efficiency in your underlying toy business and start to address kind of some of the marketing deficiencies you have, good things happen.

是的，我會開始，然後我會把它交給吉娜。因此，我可能會做一些主題討論，然後將其交給吉娜，以詳細介紹您的問題以及我們的 P&A。我認為你在第一季看到的是我們的整體戰略論點的展開，我認為這將在今年剩餘時間和可預見的未來發揮作用。我認為孩之寶實際上是遊戲、IP 和玩具公司。我認為我們的利潤將開始圍繞著這些行業風格、TAM 風格和成長機會形成。所以你在第一季看到的是，哇，當你擁有一個健康的遊戲業務時，當一些人擁有一些時- 當你擁有像我們這樣的偉大知識產權和偉大的合作夥伴時，你可以利用它，你開始獲得你的共同調整基礎玩具業務的成本結構和營運效率，並開始解決一些行銷缺陷，好事就會發生。

And when you kind of [lateral] that up with how it will play out by quarter. So if you kind of look at the pieces in Q1, that mix and that as we continue to shift into gaming and into digital is going to continue to be a tailwind for us as we move through the balance of the year. The fact that supply chain productivity is going to more than offset inflation. That trend is going to continue as we move throughout the year. And then operating expenses and all of the work that we're doing on purchase cost reduction, people cost reduction that, that benefit will continue to impact us as we move throughout the year. So the one quarter that we'll just have to watch is Q3 because of how strong it was in Q3 of '23. So it's still going to be a very healthy margin, but there was just so much positivity last year at that time that there could be a slight dip year-over-year, but all of the underpinnings of the cost structure that is going to hold and carry with us for the year.

當你[橫向]了解它按季度的表現。因此，如果你看看第一季的情況，你會發現，隨著我們繼續轉向遊戲和數位領域，這種組合將繼續成為我們度過今年餘下時間的順風。事實上，供應鏈生產力將足以抵消通膨。隨著我們全年的發展，這種趨勢將持續下去。然後，營運費用以及我們在降低採購成本、降低人員成本方面所做的所有工作，隨著我們全年的發展，這種效益將繼續影響我們。因此，我們只需要關注第三季度，因為它在 23 年第三季的表現非常強勁。因此，它仍將是一個非常健康的利潤率，但去年當時的積極情緒非常高，可能會同比略有下降，但成本結構的所有基礎都將保持不變並隨身攜帶全年。

Q3 is going to be have the big Baldur's Gate 3 launch time.

第三季將是《博德之門 3》的大型發佈時間。

Correct. And the MONOPOLY GO! started to hit -- the minimum guarantee started to hit for MONOPOLY GO!.

正確的。還有《大富翁》吧！開始達到－《MONOPOLY GO!》的最低保證開始達到。

Right. And that's a great segue to my for the last question. Sorry, for 3 questions. You just talked about digital coming in flat. And I think that's unchanged versus what you said last time. Everything we've been able to track on this shows that there could be upside to that given how strong MONOPOLY GO! has been, why not raise that guidance today? And could you talk about sort of your visibility on that because it's clearly -- at least seasonally, it's not a toy business, right? It's sort of digital games where you probably have a little bit more to say in terms of visibility.

正確的。這是我最後一個問題的一個很好的延續。抱歉，請教 3 個問題。您剛才談到了數位化的到來。我認為這與你上次所說的沒有變化。我們能夠追蹤到的一切都表明，鑑於《MONOPOLY GO》的強大程度，這可能還有好處！一直以來，為什麼今天不提出這項指導呢？您能否談談您對此的看法，因為它顯然 - 至少從季節性角度來看，它不是玩具業務，對嗎？這是一種數字遊戲，在可見性方面您可能有更多話要說。

Yes. I mean the short answer is it's just really too early in the year to call it out. But to your point, the trends are favorable if they continue to play out in the way that everyone is watching and some of the other variables that are out of our control kind of break our way and become positive contributors. We absolutely did see that there could be upside. We just want to watch and play out here as we move through Q2 before we officially take guidance up for it.

是的。我的意思是，簡短的回答是，現在就宣布這一點還為時過早。但就你而言，如果趨勢繼續以每個人都在關注的方式發展，並且我們無法控制的其他一些變數打破我們的方式並成為積極的貢獻者，那麼趨勢是有利的。我們確實看到了可能有的好處。在我們正式接受指導之前，我們只想在第二季度進行觀看和比賽。

The challenge within our P&A is it's really a comp one. And so we just need more time.

我們的 P&A 面臨的挑戰是它實際上是一種補償。所以我們只需要更多時間。

Our next question comes from the line of Christopher Horvers with JPMorgan.

我們的下一個問題來自摩根大通的 Christopher Horvers。

So I just want to follow-up on the corporate line item. It was $45 million. You said roughly half of it was stock comp and that benefit does not sustain. What's the other half of that? And does that piece of it continue. Yes.

所以我只想跟進公司訂單項目。價值 4500 萬美元。你說大約一半是股票補償，這種好處不會持續。那另一半是什麼？那部分內容還會繼續嗎？是的。

Yes. It's a material amount of money. Yes, the other half is all due to the operational excellence program. And I would think of it as a timing element of where it sits. So it's real money. It's purchase cost savings, it's people cost savings. And sometimes within the quarters in the year, it just settles out in corporate. As we move through the balance of the year, that's going to be allocated back. That favorability will be allocated back to the 2 segments of CP and Wizard. So that will kind of flush its way through. It's just a timing element of where it sat at the end of Q1. Last year, in the corporate P&L, I believe it was roughly $20 million annually of operating profit. I would expect maybe a little bit more just given that stock comp adjustment, but that's how you should think about Q1. Half of it was the stock comp, half of it was just some timing stuff that will get flushed back through the segments.

是的。這是一筆物質上的錢。是的，另一半全部歸功於卓越營運計劃。我認為它是它所處位置的時間元素。所以這是真錢。這是採購成本的節省，是人員成本的節省。有時在一年中的幾個季度內，它就會在公司中解決。當我們度過今年剩餘時間時，這筆錢將被分配回來。該好感度將重新分配給 CP 和 Wizard 兩個部分。所以這會沖刷它的方式。這只是第一季末的一個時間因素。去年，在公司損益表中，我認為每年的營業利潤約為 2,000 萬美元。考慮到股票補償調整，我預計可能會多一點，但這就是你應該如何看待第一季。其中一半是股票補償，一半只是一些計時的東西，這些東西將透過細分市場衝回。

And did you say that the nonrepeating portion was $0.10? Or is that half because if you do have, it's a bigger number than $0.10.

您是否說過非重複部分是 0.10 美元？或者是一半，因為如果你有的話，這個數字比 0.10 美元還要大。

No, it's about $0.10 of earnings per share. Yes, it was right about that.

不，每股收益約為 0.10 美元。是的，這是正確的。

About half 45%, which translates to around $0.10 a share.

大約一半 45%，相當於每股 0.10 美元左右。

Okay. Okay. I got it. And I guess to try to build on that last question. I guess if you -- like if MONOPOLY GO! does continue at the current pacing, correct me if I'm wrong, but I think you're looking at like maybe $50 million to $70 million in the back half from MONOPOLY GO!, sort of any comments on what it could be if what you see today continues? Could it be 2x that?

好的。好的。我得到了它。我想嘗試以最後一個問題為基礎。我想如果你──就像大富翁一樣！確實會按照目前的節奏繼續下去，如果我錯了請糾正我，但我想你正在看《MONOPOLY GO!》的後半部分可能有 5000 萬到 7000 萬美元的資金！ ？可以是 2 倍嗎？

I don't think we're prepared to give you a sizing on it. As Gina said, if current revenue trends and the current advertising spend to revenue continues it will be quite favorable for us. And we'd likely exceed the minimum guarantee within Q2.

我不認為我們準備好給你一個尺寸。正如吉娜所說，如果當前的收入趨勢和當前的廣告支出佔收入的比例持續下去，這對我們來說將是相當有利的。我們可能會在第二季超出最低保證。

Our next question comes from the line of Stephen Laszczyk with Goldman Sachs.

我們的下一個問題來自高盛的史蒂芬‧拉斯奇克 (Stephen Laszczyk)。

Maybe just a follow-up on the marketing strategy, Chris, you talked about some success that you're seeing in the first quarter. Perhaps you can talk a little bit more about what you're doing differently? And then if that success does continue, how should we thinking about the upside drivers throughout the year? Do you think it's more of a top line growth driver or perhaps something on the cost side?

也許只是行銷策略的後續行動，克里斯，您談到了您在第一季看到的一些成功。也許你可以多談談你正在做的不同的事情？如果這種成功確實持續下去，我們該如何考慮全年的上行驅動因素？您認為這更多的是收入成長驅動力還是成本方面的原因？

Well, I think it's a pretty simple rubric that we're using, which is spend where we can measure, which is primarily digital. We have traditionally been a little traditional in our media planning. It's worked, but we haven't been able to really refine it down to the SKU level and down to the partner level. So we're spending a lot more in digital. We're spending a lot more with our retail partners near the point of sale or near the point of decision. And we're seeing a significant multiple effect in terms of the effectiveness of the spend. Still early in the year, and we still have to scale it, but certainly positive for us. I would say the majority of that will go to top line inside of CP if it continues to work like what we're hoping. And I think that's part of the thesis that we have for our Q3 and Q4 projections. And then that top line, particularly given the cost structure efficiencies we're driving and supply chain efficiencies we're driving, that will have a nice flow through to bottom line results, which again, I think kind of goes to the margin comment that Gina made earlier.

嗯，我認為這是我們正在使用的一個非常簡單的標準，即在我們可以衡量的地方進行支出，這主要是數位化的。傳統上，我們的媒體策劃有些傳統。它確實有效，但我們還無法真正將其細化到 SKU 層級和合作夥伴層級。因此，我們在數位化方面投入了更多資金。我們在銷售點或決策點附近與零售合作夥伴一起花了更多的錢。我們看到支出的有效性產生了顯著的多重效應。現在還處於今年年初，我們仍然需要擴大規模，但這對我們來說肯定是正面的。我想說，如果 CP 繼續像我們希望的那樣運作，其中大部分將進入 CP 內部的頂線。我認為這是我們第三季和第四季預測論文的一部分。然後，頂線，特別是考慮到我們正在推動的成本結構效率和我們正在推動的供應鏈效率，這將有一個很好的流程達到底線結果，我認為這又類似於利潤率評論：吉娜早些時候做的。

Got it. And then maybe one more, just on freight. Gina. Can you update us on what you're seeing in the freight market at the moment, just given the disruptions in the Middle East? And perhaps how we should monitor that from our side as you think about any margin pressure that could come in 2024, 2025.

知道了。然後也許還有一份，只是運費。吉娜.鑑於中東地區的混亂情況，您能否向我們介紹目前貨運市場的最新情況？當你考慮 2024 年、2025 年可能出現的任何利潤壓力時，也許我們應該如何從我們這邊監控這一點。

Yes. Good question. For us, every kind of the whole the Red Sea, all of that is really been immaterial on our business. I think in the P&L in Q1, it was less than a couple of hundred thousand dollars of impact and even since then, our team has been doing a good job of navigating around and finding productivity to offset. So it is not a factor that I would call out as impacting our business right now. Overall, what we're seeing across freight is some moderation capacity is opening up. We're seeing rates come down. So that is absolutely benefiting the P&L part of our guidance. We said that there was going to be 2 points of inflation in the year. So it's playing within that but the environment is much more rational for us this year. And our team has done a really nice job renegotiating rates, renegotiating our contracts and then getting after our network in a way that benefits the P&L.

是的。好問題。對我們來說，整個紅海的每一種情況，所有這些對我們的業務來說都是無關緊要的。我認為在第一季的損益表中，影響不到幾十萬美元，即使從那時起，我們的團隊在導航和尋找生產力來抵消方面一直做得很好。因此，我現在認為這不是影響我們業務的因素。總體而言，我們在貨運方面看到的是一些節制能力正在開放。我們看到利率下降。因此，這絕對有利於我們指引中的損益部分。我們說今年會有2個點的通貨膨脹。所以它正在發揮作用，但今年的環境對我們來說更加理性。我們的團隊在重新談判費率、重新談判合約以及以有利於損益的方式控制我們的網路方面做得非常出色。

Yes. And I think an important thing to keep in mind about us, when you think about things like the Red Sea and exposure, maybe toy dominant companies would have is most of our profit pools are nearshore. Magic Board Games, PLAY-DOH almost all of our licensing business has very little sea freight dependencies associated with it. because they're either made in market or they're made in markets that really aren't affected by kind of like a traditional Southeast Asian or Chinese freight lanes. So I think that's a competitive advantage of us -- for us in a world that has a little bit of tumult on the freight lanes.

是的。我認為關於我們要記住的一件重要的事情是，當你考慮紅海和風險敞口等問題時，也許玩具主導公司會擁有的是我們的大部分利潤池都在近岸。 Magic Board Games、PLAY-DOH 幾乎我們所有的授權業務都很少依賴海運。因為它們要么是在市場上製造的，要么是在真正不受傳統東南亞或中國貨運通道影響的市場中製造的。所以我認為這是我們的競爭優勢——對我們來說，在一個貨運通道有點混亂的世界。

Our next question comes from the line of Alex Perry with Bank of America.

我們的下一個問題來自美國銀行的 Alex Perry。

You gave really good color on sort of the 2Q expectations for the CP segment and op margin. But could we get sort of how you're thinking about Wizards in 2Q from a revenue and op margin perspective?

您對 CP 細分市場和營運利潤率的第二季預期給出了非常好的描述。但我們能否從營收和營運利潤率的角度了解您對第二季威世智的看法？

For Wizards in Q2 is going to be probably pretty favorable from a top line standpoint and a bottom line, so it's going to look pretty consistent, just given the release schedule that we have on the top line. So we expect there to be another kind of growing quarter. And then on the bottom line, again, just given the mix that we're seeing within the business and the shift towards digital, we'll see consistent trends there. I would say, for both businesses, for both CP and WotC, we've got the benefit from operating expenses that will continue to flow in as well throughout the quarter.

對於巫師來說，從收入和利潤的角度來看，第二季度可能會非常有利，所以只要考慮到我們在頂線上的發佈時間表，它看起來就會非常一致。因此，我們預計還會出現另一種成長季度。然後，再次從底線來看，考慮到我們在業務中看到的混合情況以及向數位化的轉變，我們將看到一致的趨勢。我想說，對於這兩家公司、CP 和 WotC 來說，我們都從營運費用中獲益，這些費用也將在整個季度繼續流入。

And then there should be a nice royalty benefit in Q2 as well for MAGIC, Modern Horizons 3 is not royalty bearing. Lord of the Rings did fantastically, but there was a royalty associated with it.

然後，MAGIC 在第二季度應該也會有不錯的版稅優惠，摩登新篇 3 不收取版稅。 《魔戒》的表現非常出色，但也有皇室成員與之相關。

Perfect. And then just my follow-up is on MAGIC, actually. So can you talk about any timing shifts that may have supported the quarter and how we should think about sort of phasing of growth there as we move through the year?

完美的。實際上，我的後續行動是關於 MAGIC 的。那麼，您能否談談可能支持本季的任何時間變化，以及我們應該如何考慮全年的成長階段？

I think in Q1, you saw a bit of Outlaws of Thunder Junction, which is the colorful name for our first major Q2 release, a bit of that shift in Q1, and I think that helped. For the balance of the year, I don't think there are any huge quarter-over-quarter shifts. You'll probably see a bit lighter release schedule in Q4 which I think might affect that quarter as you think about things. But Q2 should be reasonable for MAGIC, Q3 should also be reasonable and then Q4 will probably be the light one.

我認為在第一季度，您看到了一些《雷霆交界處的亡命徒》，這是我們第二季度第一個主要版本的豐富多彩的名稱，第一季度的一些轉變，我認為這有所幫助。對於今年餘下的時間，我認為不會出現任何巨大的季度變化。您可能會在第四季度看到更寬鬆的發布計劃，我認為這可能會影響該季度的情況。但 Q2 對 MAGIC 來說應該是合理的，Q3 也應該是合理的，然後 Q4 可能會是輕量級的。

Our next question comes from the line of James Hardiman with Citi.

我們的下一個問題來自花旗銀行的詹姆斯哈迪曼 (James Hardiman)。

First, I just want to close the loop on this corporate and other last question, I promised Gina. So $45 million in the first quarter, what should that number be for the year? It sounds like you're saying less -- it's actually going to be less than $45 million. So that -- we should expect that to go negative for the balance of the year? Or maybe just give us a sort of North Star, how to think about that full year number.

首先，我只想結束這個公司和其他最後一個問題的循環，我向吉娜保證。那麼第一季的營收為 4500 萬美元，那麼今年的數字應該是多少呢？聽起來你說得少了——實際上不到 4500 萬美元。那麼，我們應該預期今年剩餘時間會出現負數嗎？或者也許只是給我們一個北極星，如何思考全年的數字。

Yes. Good question. I know it's confusing to just given some of the timing components. Last year in '23, it was roughly $20 million. When all kind of get settled out, it was roughly $20 million. I would say we'll probably be around that plus or minus a bit just given that we have this stock comp adjustment sitting in there. It's really held as a lot of our corporate costs sit within there. It's trying to represent kind of that corporate overhead structure, but then much of it gets allocated back as we go throughout the year. And all of that just given all of the work that we're doing in that area is a little bit as you can imagine, it's moving. It's agile this year as we make all those changes. So I would say, call it, $20 million, $30 million by the end of the year [in terms] of profit.

是的。好問題。我知道僅僅給出一些計時組件會讓人感到困惑。去年 23 年，這一數字約為 2,000 萬美元。當一切都解決之後，大約是 2000 萬美元。我想說，考慮到我們有股票補償調整，我們可能會在這個上下左右增加或減少一點。它確實被保留了，因為我們的許多公司成本都在那裡。它試圖代表一種公司管理費用結構，但隨著我們全年的發展，其中大部分都會被分配回來。考慮到我們在該領域所做的所有工作都如你所想的那樣，它正在改變。今年我們做出了所有這些改變，一切都很敏捷。所以我想說，就利潤而言，到年底，利潤將達到 2,000 萬美元、3,000 萬美元。

And just to clarify, and then I have a follow-up. But any way to think about that from quarter-to-quarter, because that could be a pretty big swing factor as we think about potentially some negative numbers, does that start right away? Or is that more back half weighted?

只是為了澄清一下，然後我有一個後續行動。但以任何方式從季度到季度考慮這一點，因為當我們考慮潛在的一些負數時，這可能是一個相當大的波動因素，這會立即開始嗎？還是更多的後半配重？

I would say in Q2 and -- Q2 to Q3, you're not going to have that $20 million adjustment for the stock comp in there. And so then you're looking kind of plus or minus a few million dollars moving in and out. So it really becomes an immaterial impact as we move through the next few quarters.

我想說，在第二季和第二季到第三季度，你不會對其中的股票補償進行 2,000 萬美元的調整。這樣一來，您的進出金額就會增加或減少幾百萬美元。因此，隨著我們在接下來的幾個季度中前進，它確實會成為一種無形的影響。

Got it. Okay. And then consumer products margin, obviously pretty negative for the first quarter. But if anything, it sounds like you feel pretty positive about the trajectory of that margin. How should we think about -- I don't know if there's a way to think about an exit rate for this year. It seems like it would be meaningfully better than that 4% to 6% range given the starting point. What I'm really trying to get at is what -- how do you feel about where that's headed, particularly for 2025 and even beyond.

知道了。好的。然後是消費品利潤率，第一季顯然相當負。但如果有的話，聽起來你對這利潤率的軌跡感到相當樂觀。我們該如何考慮——我不知道是否有辦法考慮今年的退出率。考慮到起點，它似乎比 4% 到 6% 的範圍要好得多。我真正想了解的是——您對未來的發展有何看法，特別是 2025 年甚至更遠的未來。

Got it. Yes. I think we feel based on what we delivered in Q1, really good about our ability to deliver that 4% to 6% guidance range. And to your point, a big drag that we saw in Q1 was the [eOne] And as we kind of push past that and move into growth in Q4. You're going to see some nice underlying profitability within the business. As we move then into 2025, we've publicly said that. Our goal is to get this as close to double digits as we can through 2025. And it's going to be some of the same levers that you're hearing us talk about, continued focus on cost structure, continuing to refine our supply chain, getting really smart with our product mix and how we're pricing in markets.

知道了。是的。我認為，根據第一季的交付情況，我們對實現 4% 至 6% 指導範圍的能力感到非常滿意。就你的觀點而言，我們在第一季看到的一個重大拖累是 [eOne]，而我們在第四季度克服了這一點並進入了成長。你會看到企業內部有一些不錯的潛在獲利能力。當我們進入 2025 年時，我們已經公開說過這一點。我們的目標是到 2025 年盡可能接近兩位數。 。

And then last thing that the last lever we haven't brought up yet on this call is the whole design to value and all of the work that we're doing within our product design. So far, that hasn't had a material positive benefit on the P&L. We see that picking up as we move into Q4 and really into 2025. So I think we feel good about where Q1 landed. It tells us we're on the right path to get us within that range of 4% to 6%, and we're continuing to march into 2025, thinking that we're going to push that double-digit margin.

最後一件事，我們在這次電話會議中尚未提出的最後一個槓桿是整個設計的價值以及我們在產品設計中所做的所有工作。到目前為止，這還沒有對損益表產生實質的正面效益。隨著進入第四季度乃至 2025 年，我們看到這種情況有所好轉。它告訴我們，我們正走在正確的道路上，將利潤率控制在 4% 到 6% 的範圍內，我們將繼續邁向 2025 年，認為我們將推動兩位數的利潤率。

Is it crazy to say that we're going to be pretty close to that double-digit rate sort of implied in second half or fourth quarter?

說我們將非常接近下半年或第四季暗示的兩位數成長率，這是否瘋狂？

No, It's not create the same rate in fourth quarter. Particularly, you got to keep in mind we had that big inventory adjustment last year that becomes a huge benefit for us in the fourth quarter.

不，第四季的成長率並不相同。特別是，你必須記住，我們去年進行了大規模的庫存調整，這在第四季度為我們帶來了巨大的好處。

Our next question comes from the line of Fred Wightman with Wolfe Research.

我們的下一個問題來自沃爾夫研究中心的弗雷德懷特曼 (Fred Wightman)。

I just wanted to come back to margins. In the slides, you guys are calling out cost saves net of 2 points of inflation. And we've seen some other toy companies talk about actual benefits from deflation. So can you talk about where you're seeing that cost inflation specifically and how to think about that as we move throughout the balance of the year.

我只是想回到邊緣。在幻燈片中，你們聲稱扣除 2 個百分點的通貨膨脹可以節省成本。我們也看到其他一些玩具公司談論通貨緊縮的實際好處。那麼，您能否具體談談您在哪些方面看到了成本通膨，以及在今年餘下的時間裡如何考慮這一點。

Good question. Yes, we wouldn't call it deflation per se. So we are seeing a couple of points of inflation. The 3 areas I'd call it, one is labor. That's our biggest cost in the P&L. We're continuing to see that inflate a few points. The second, then when you think about our largest kind of ingredient that we're purchasing in Horizon, that also is inflationary in the year. But those are kind of the big 2, I would say. I mean, our logistics cost there's pluses and minuses. Overall, we're managing logistics pretty well. For the year, in the quarter, we saw about 2 points of inflation. That's what we think that is going to play through the rest of the year, about 2 points of inflation.

好問題。是的，我們本身不會稱之為通貨緊縮。因此，我們看到了幾個通膨點。我稱之為三個領域，其中之一是勞動力。這是我們損益表中最大的成本。我們繼續看到這會誇大一些點。第二，當你想到我們在地平線上購買的最大種類的原料時，這也是今年通貨膨脹的原因。但我想說，這些都是大的 2 點。我的意思是，我們的物流成本有優點也有缺點。總的來說，我們的物流管理得很好。今年本季度，我們看到通貨膨脹率約為 2 個百分點。我們認為這將在今年剩餘時間內發揮作用，通貨膨脹率約為 2 個百分點。

Yes. Just on an apples-to-apples, I'm not sure how other companies are talking deflation. When we talk about it, we talk about it as productivity based on our teams working with our vendors. And so our productivity is significantly scaling past underlying inflation in the supply chain to a pretty healthy manner, which is driving our gross margin productivity.

是的。就同​​一類而言，我不確定其他公司如何談論通貨緊縮。當我們談論它時，我們將其稱為基於我們的團隊與供應商合作的生產力。因此，我們的生產力正在以相當健康的方式大幅超越供應鏈中的潛在通膨，這正在推動我們的毛利率生產力。

Yes, that makes sense. And maybe another one for you, Chris. You talked about the traction from the LITTLEST PET SHOP license. You also talked about the deal for Power Rangers. Does the early success that you're seeing with some of these licensing decisions change how you're thinking about the need to own versus license some of these CP brands going forward?

是的，這是有道理的。也許還有一份適合你，克里斯。您談到了 LITTLEST PET SHOP 許可證的吸引力。您還談到了《電力別動隊》的交易。您在其中一些授權決策中看到的早期成功是否會改變您對未來是否需要擁有或授權其中一些 CP 品牌的看法？

No. I mean I think it's validating that we made the right choice. Two years ago, we outlined what our selection criteria would be basically can we generate $50 million in revenue at a 10% OP. And can we grow to $100 million or more revenue at a 15% OP on a line. And so basically, we've chosen the lines to outsource that we don't think meet those thresholds. But another company with maybe a different cost structure or a different set of expertise could still make a really nice business with even if it was sub-$50 million. So I think we're basically done without licensing. We certainly will be driving cross-licensing and leveraging our brands for category expansion and new product opportunities. like we're doing with LEGO, like we're doing with Mattel, like we're doing with location-based entertainment. But I think Power Rangers is probably a -- it's probably the last brand that we will outsource.

不，我的意思是我認為這證明我們做了正確的選擇。兩年前，我們概述了我們的選擇標準，基本上是我們能否以 10% 的 OP 產生 5000 萬美元的收入。我們能否以 15% 的營運成本將營收成長到 1 億美元或更多？基本上，我們選擇了我們認為不符合這些閾值的業務進行外包。但另一家可能具有不同成本結構或不同專業知識的公司仍然可以創造出非常好的業務，即使它的價格低於 5000 萬美元。所以我認為我們基本上在沒有許可的情況下完成了。我們當然將推動交叉授權並利用我們的品牌來擴展品類並創造新產品機會。就像我們對樂高所做的那樣，就像我們對美泰所做的那樣，就像我們對基於位置的娛樂所做的那樣。但我認為《恐龍戰隊》可能是我們最後一個外包的品牌。

Our final question comes from the line of Kylie Cohu with Jefferies.

我們的最後一個問題來自凱莉·科胡 (Kylie Cohu) 和傑弗里斯 (Jefferies) 的對話。

Just kind of wanted to double click a little bit on the timing aspect. Anything that you can quantify from Easter? How has that affected the quarter? And how are you kind of thinking about how that would affect Q2 as well would be helpful.

只是想在時間方面雙擊一下。復活節有什麼可以量化的嗎？這對本季有何影響？您如何看待這將如何影響第二季度也會有所幫助。

Yes. Easter gave a modest lift in the quarter, maybe, call it, 1 or 2 points based on it being earlier. Finally, though we're seeing April kind of continue to positive trends even barring kind of like what's going on with Easter. I think we were up in the last week our total global POS in the last week of April that we measured, we were up 7% without our divested brands included and up about 4% when you even include those divested brands. So while we think Easter would help in Q1, it wasn't really a decisive help.

是的。復活節在本季度帶來了適度的提升，也許可以稱之為 1 或 2 個百分點，因為它是較早的。最後，儘管我們看到四月繼續保持積極的趨勢，甚至除了復活節發生的情況之外。我認為，根據我們測量的 4 月最後一周，我們的全球 POS 總額增長了，不包括我們剝離的品牌，我們增長了 7%，甚至包括那些剝離的品牌，我們增長了約 4%。因此，雖然我們認為復活節會對第一季有所幫助，但這並不是真正的決定性幫助。

Got it. Great. That color is super helpful. And then I know you mentioned earlier about how most of your major profitability drivers are kind of being near sourced. But can you just remind us what your exposure kind of is to China at this point in time? I know we've been getting a lot of inbounds on that.

知道了。偉大的。這個顏色超級有用。然後我知道你之前提到過你的大部分主要獲利驅動因素都是近源的。但您能否提醒我們您目前對中國的接觸程度如何？我知道我們在這方面受到了很多幹擾。

Yes, about 50% or so of our...

是的，我們大約 50% 左右...

40% -- when you add in Wizards, we're about 40%.

40%－如果加上威世智，我們大約是 40%。

About 40% of our total volume is built in China today. But only 5% or 10% of our total profit is sourced out of China.

如今，我們總產量的約 40% 是在中國建造的。但我們總利潤只有 5% 或 10% 來自中國。

Thank you. Ladies and gentlemen, this concludes our Q&A session. And this concludes our call today. We thank you for your interest and participation. You may now disconnect your lines.

謝謝。女士們先生們，我們的問答環節到此結束。我們今天的電話會議到此結束。我們感謝您的興趣和參與。現在您可以斷開線路。