Hibbett Inc (HIBB) 2024 Q2 法說會逐字稿

Greetings, and welcome to Hibbett's Second Quarter Fiscal 2024 Earnings Conference Call. (Operator Instructions) As a reminder, this conference is being recorded. I would now like to turn the conference over to your host, Gavin Bell, Vice President, Investor Relations. Thank you. You may begin.

您好，歡迎參加 Hibbett 2024 財年第二季度收益電話會議。 （操作員指示）謹此提醒，本次會議正在錄製中。現在我想將會議交給東道主投資者關係副總裁加文·貝爾 (Gavin Bell)。謝謝。你可以開始了。

Good morning. Please note that we have prepared a slide deck that we will refer to during our prepared remarks. The slide deck is available on hibbett.com via the Investor Relations link found at the bottom of the home page or investors.hibbett.com and under the News and Events section. These materials may help you follow along with our discussion this morning.

早上好。請注意，我們準備了幻燈片，我們將在準備好的發言中參考。該幻燈片可通過 hibbett.com 主頁底部或 Investors.hibbett.com 新聞和活動部分下的投資者關係鏈接獲取。這些材料可以幫助您理解我們今天早上的討論。

Before I begin, I'd like to remind everyone that some of management's comments during this conference call are forward-looking statements. These statements, which reflect the company's current views with respect to future events and financial performance, are made in reliance on the safe harbor provisions of the Private Securities Litigation Reform Act of 1995 and are subject to uncertainties and risks.

在開始之前，我想提醒大家，管理層在本次電話會議上的一些評論屬於前瞻性陳述。這些陳述反映了公司當前對未來事件和財務業績的看法，是根據 1995 年《私人證券訴訟改革法案》的安全港條款制定的，存在不確定性和風險。

It should be noted that the company's future results may differ materially from those anticipated and discussed in the forward-looking statements. Some of the factors that could cause or contribute to such differences have been described in the news release issued this morning, and are noted on Slide 2 of the earnings presentation and the company's annual report on Form 10-K and in other filings with the Securities and Exchange Commission. We refer you to those sources for more information. Also to the extent non-GAAP financial measures are discussed on this call, you may find a reconciliation to the most directly comparable GAAP measures on our website.

應該指出的是，該公司的未來業績可能與前瞻性陳述中預期和討論的結果存在重大差異。今天上午發布的新聞稿中描述了可能導致或促成此類差異的一些因素，並在收益演示文稿的幻燈片 2 和公司 10-K 表格年度報告以及向證券公司提交的其他文件中進行了說明和交易委員會。我們建議您參考這些來源以獲取更多信息。此外，就本次電話會議討論的非 GAAP 財務指標而言，您可能會在我們的網站上找到與最直接可比的 GAAP 指標的對賬。

Lastly, I'd like to point out that management's remarks during this conference call are based on information and understandings believed accurate as of today's date, August 25, 2023. Because of the time-sensitive nature of this information, it's the policy of Hibbett to limit the archived replay of this conference call webcast to a period of 30 days.

最後，我想指出，管理層在本次電話會議上的言論基於截至今天（2023 年 8 月 25 日）準確的信息和理解。由於該信息的時間敏感性，這是 Hibbett 的政策將本次電話會議網絡廣播的存檔重播期限限制為30 天。

The participants on this call are Mike Longo, President and Chief Executive Officer; Jared Briskin, Executive Vice President, Merchandising; Bob Volke, Senior Vice President and Chief Financial Officer; Bill Quinn, Senior Vice President of Marketing and Digital; and Ben Knighten, Senior Vice President of Operations.

此次電話會議的參與者包括總裁兼首席執行官 Mike Longo； Jared Briskin，營銷執行副總裁；鮑勃·沃爾克，高級副總裁兼首席財務官； Bill Quinn，營銷和數字高級副總裁；以及運營高級副總裁 Ben Knighten。

I'll now turn the call over to Mike Longo.

我現在將把電話轉給邁克·隆戈。

Good morning, and welcome to the Hibbett, Inc. Q2 earnings call. For those of you following along on the slides, on the Slide 3, entitled Overview. And we're pleased to report a solid performance for the second quarter. While the current environment remains challenging, we're proud of our ability to execute our strategy and reiterate our guidance for the year. Our consumers are still dealing with higher costs for essential items like food, utilities and gas and thus, have reduced some of their discretionary spending. While our sales have been affected by this, we've continued to focus on the aspects of our business that we can control.

早上好，歡迎參加 Hibbett, Inc. 第二季度財報電話會議。對於那些正在觀看幻燈片的人，請參閱幻燈片 3，標題為“概述”。我們很高興地報告第二季度的穩健業績。儘管當前的環境仍然充滿挑戰，但我們對執行戰略並重申今年的指導的能力感到自豪。我們的消費者仍在應對食品、公用事業和天然氣等必需品的更高成本，因此減少了一些可自由支配的支出。雖然我們的銷售受到了影響，但我們繼續專注於我們可以控制的業務方面。

While we have a proven business model that has served us well through all economic cycles, and we remain focused on our competitive advantages, which I'll remind you, are a compelling product mix, a superior level of customer service, a best-in-class omnichannel shopping experience and our strategic positioning in underserved markets.

雖然我們擁有經過驗證的商業模式，在所有經濟周期中都為我們提供了良好的服務，但我們仍然專注於我們的競爭優勢，我要提醒您的是，引人注目的產品組合、卓越水平的客戶服務、最佳的一流的全渠道購物體驗以及我們在服務不足的市場中的戰略定位。

Our footwear business remained consistent in this environment, and we're encouraged by our customers' response to our product line. Coupled with our kickoff to the back-to-school season in Q2, we landed sales in the range of our guidance for the quarter. With the support of our major brand partners, we remain focused on providing a compelling quality product assortment that appeals to our customers and meets current more selective demand trends.

在這種環境下，我們的鞋類業務保持穩定，客戶對我們產品線的反應令我們深受鼓舞。加上第二季度返校季的開始，我們的銷售額達到了本季度的指導範圍。在我們主要品牌合作夥伴的支持下，我們仍然專注於提供令人信服的優質產品系列，以吸引我們的客戶並滿足當前更具選擇性的需求趨勢。

We believe in this environment is more important than ever to continue to invest in our business model and those investments mostly focus on the consumer experience to retail and online and the supporting infrastructure that helps deliver a consistent high level of customer service.

我們相信，在這種環境下，繼續投資我們的業務模式比以往任何時候都更加重要，這些投資主要集中在零售和在線消費者體驗以及有助於提供一致的高水平客戶服務的支持基礎設施上。

Of course, one of the more important business model investments we make is in our store footprint. We committed to our previously stated goal to add 40 to 50 net new stores in fiscal '24. Above all, we will continue to build upon the strength of the Hibbett and the City Gear brands and further enhance our strong competitive position in our current and future markets. In short, we're investing in our business model for the long term and believe that we will continue to take market share.

當然，我們所做的更重要的商業模式投資之一是我們的商店足跡。我們致力於實現之前提出的目標，即在 2024 財年淨增 40 至 50 家新店。最重要的是，我們將繼續鞏固 Hibbett 和 City Gear 品牌的實力，並進一步增強我們在當前和未來市場中的強大競爭地位。簡而言之，我們正在對我們的商業模式進行長期投資，並相信我們將繼續佔據市場份額。

Before turning the call over to Jared, I'd like to thank our 11,000 team members across the organization for their hard work and support to our customers, whether working in 1 of our more than 1,100 stores in 36 states, our omnichannel platform or the logistics facilities or our store support center, they are the face of Hibbett and provide consistent superior service that is synonymous with our brand. And as I've said to the team yesterday, this is my favorite team [support], and I wouldn't trade this team with anyone else's.

在將電話轉給Jared 之前，我要感謝整個組織的11,000 名團隊成員的辛勤工作和對客戶的支持，無論是在我們遍布36 個州的1,100 多家商店中的一家、我們的全渠道平台還是在物流設施或我們的商店支持中心，它們是 Hibbett 的形象，並提供始終如一的優質服務，這是我們品牌的代名詞。正如我昨天對球隊所說的那樣，這是我最喜歡的球隊[支持]，我不會用這支球隊與其他任何人進行交易。

Thank you. I'll turn the call over to Jared.

謝謝。我會把電話轉給賈里德。

Thank you, Mike. Good morning. Please turn to Slide 4, entitled Merchandising. The second quarter concluded with a strong start to the back-to-school season. Footwear remained our strongest category during the quarter but did decline low single digits versus the prior year. Results in footwear were challenged early in the quarter due to performance of secondary brands and franchises as well as an unfavorable launch calendar.

謝謝你，邁克。早上好。請翻到幻燈片 4，標題為“推銷”。第二季度以返校季的強勁開局結束。鞋類仍然是我們本季度表現最強勁的類別，但與上一年相比確實出現了低個位數的下降。由於二級品牌和特許經營權的表現以及不利的發布日曆，鞋類業績在本季度初受到挑戰。

Results in the latter part of the quarter were much improved due to an improved launch cadence and the start of back-to-school. Footwear results continue to be driven by product launches as well as the basketball, lifestyle and casual categories. In addition, we continue to see an improving trend in our running business. Apparel and team sports were both negative for the quarter with apparel down in the high teens. Apparel continues to be affected by promotional activity due to elevated inventory levels in the market.

由於發布節奏的改善和返校的開始，本季度後半段的業績有了很大改善。鞋類業績繼續受到產品發布以及籃球、生活方式和休閒類別的推動。此外，我們的跑步業務繼續呈現改善趨勢。本季度服裝和團隊運動均表現不佳，其中服裝銷量下降了十多歲。由於市場庫存水平升高，服裝繼續受到促銷活動的影響。

While apparel was a challenge overall, early results of seasonal product as well as back-to-school accessories such as socks and backpacks were encouraging. Specific to footwear and apparel, the men's and kids business was down, while women's was positive. The challenges in the launch calendar and secondary franchises had a broader effect on the men's and kids businesses. Men's and kids were both down high single digits. Women's was up mid single digits, driven by strong footwear results.

雖然服裝總體上是一個挑戰，但季節性產品以及襪子和背包等返校配飾的早期結果令人鼓舞。具體到鞋類和服裝，男裝和童裝業務下降，而女裝業務則增長。上市日程和二級特許經營方面的挑戰對男裝和童裝業務產生了更廣泛的影響。男子和兒童均出現高個位數下降。受強勁鞋類業績的推動，女裝銷量上漲了中個位數。

Inventory levels declined slightly in the second quarter versus the first quarter as we made some progress. Although we do expect the continued promotional environment and a much more selective consumer at least through the third quarter as we work to reduce our inventory. These promotional efforts as well as support from our key brand partners will help us to achieve our goals for inventory reduction.

由於我們取得了一些進展，第二季度的庫存水平較第一季度略有下降。儘管我們確實預計至少在第三季度會出現持續的促銷環境和更加挑剔的消費者，因為我們正在努力減少庫存。這些促銷工作以及我們主要品牌合作夥伴的支持將幫助我們實現減少庫存的目標。

While year-over-year inventory compares will continue to be volatile due to the challenges that affected the supply chain during fiscal 2023, our expectations remain the same for our inventory levels as we expect year-over-year declines in the second half of the year.

儘管由於 2023 財年影響供應鏈的挑戰，同比庫存比較將繼續波動，但我們對庫存水平的預期保持不變，因為我們預計下半年庫存將同比下降年。

I'll now hand it over to Bob to cover our financial results.

現在我將把它交給鮑勃來報導我們的財務業績。

Thanks, Jared, and good morning. We are now moving on to Slide 5. As a reminder, all financial results are reported on a consolidated basis that includes both the Hibbett and City Gear brands. Total net sales for the second quarter of fiscal 2024 decreased 4.6% to $374.9 million from $392.8 million in the second quarter of fiscal '23.

謝謝，賈里德，早上好。我們現在轉向幻燈片 5。提醒一下，所有財務業績均以合併的形式報告，其中包括 Hibbett 和 City Gear 品牌。 2024 財年第二季度的淨銷售額總額從 2023 財年第二季度的 3.928 億美元下降 4.6% 至 3.749 億美元。

Overall comp sales decreased 7.3% versus the prior year second quarter. Brick-and-mortar comp sales declined 7.7% compared to the prior year second quarter, while e-commerce sales decreased 5.2% compared to the same period of the prior year. E-commerce sales accounted for 15.1% of net sales during the current quarter compared to 15.2% in the second quarter of fiscal '23.

第二季度整體銷售額比去年同期下降 7.3%。第二季度實體店銷售額同比下降 7.7%，電子商務銷售額同比下降 5.2%。電子商務銷售額佔本季度淨銷售額的 15.1%，而 2023 財年第二季度的這一比例為 15.2%。

Gross margin was 32.8% of net sales for the second quarter of fiscal '24, compared with 34.4% in the second quarter of last year. This approximate 160 basis point decline was driven primarily by lower average product margin, which is approximately 215 basis points below the same period last year. This unfavorable product margin performance is attributed to higher promotional activity across both footwear and apparel categories.

2024財年第二季度毛利率占淨銷售額的32.8%，而去年第二季度為34.4%。下降約 160 個基點的主要原因是平均產品利潤率下降，比去年同期低約 215 個基點。這種不利的產品利潤率表現歸因於鞋類和服裝類別的促銷活動增多。

Higher store occupancy costs mainly due to deleverage from the lower sales volume accounted for approximately 100 basis points of decline in gross margin versus the prior year period. Partially offsetting the unfavorable product margin and occupancy impacts was an improvement in freight, shipping and logistics costs as a percent of sales.

門店入住成本上升主要是由於銷量下降導致的去槓桿化，導致毛利率較上年同期下降約 100 個基點。貨運、運輸和物流成本佔銷售額百分比的改善部分抵消了不利的產品利潤和入住率影響。

SG&A expenses were 25.3% of net sales for the second quarter of fiscal '24, compared with 23.3% of net sales for the second quarter of last year. This approximate 200 basis point increase is primarily the result of deleverage from the year-over-year sales decline. We continue to experience headwinds related to wage inflation and have also incurred higher costs of percent of sales and incentive compensation, medical expenses and data processing versus the prior year second quarter.

SG&A 費用佔 24 財年第二季度淨銷售額的 25.3%，而去年第二季度則為 23.3%。這一大約 200 個基點的增長主要是由於銷售額同比下降而去槓桿化的結果。我們繼續面臨與工資通脹相關的不利因素，並且與去年第二季度相比，銷售百分比和激勵薪酬、醫療費用和數據處理成本也更高。

Depreciation and amortization in the second quarter of fiscal '24 increased approximately $1.1 million in comparison to the same period last year, reflecting increased capital investments on store development technology initiatives and various infrastructure projects over the last couple of years. We generated $16 million of operating income or 4.3% of net sales in the second quarter this year compared to $32.8 million or 8.4% of net sales in the prior year second quarter.

24財年第二季度的折舊和攤銷與去年同期相比增加了約110萬美元，反映出過去幾年對商店開發技術計劃和各種基礎設施項目的資本投資增加。今年第二季度，我們實現了 1600 萬美元的營業收入，占淨銷售額的 4.3%，而去年第二季度的營業收入為 3280 萬美元，占淨銷售額的 8.4%。

Diluted earnings per share were $0.85 for this year's second quarter, compared to $1.86 per share in the second quarter of fiscal '23. We ended the second quarter of fiscal '24, with $33.1 million available cash and cash equivalents on our unaudited condensed consolidated balance sheet and $106.9 million of debt outstanding on our $160 million unsecured line of credit.

今年第二季度的稀釋每股收益為 0.85 美元，而 2023 財年第二季度的每股攤薄收益為 1.86 美元。截至 24 財年第二季度，未經審計的簡明合併資產負債表上有 3310 萬美元的可用現金和現金等價物，1.6 億美元的無擔保信貸額度上有 1.069 億美元的未償債務。

Net inventory at the end of the second quarter was $430.8 million, a 17.6% increase from the prior year second quarter and up 2.4% from the beginning of the fiscal year. Please note that most of the increase in inventory versus a year ago is due to product cost inflation and mix as footwear inventory, which carries a higher average unit cost is a bigger component of the overall inventory balance than it was in the comparable period.

第二季度末的淨庫存為4.308億美元，比去年第二季度增長17.6%，比財年年初增長2.4%。請注意，與一年前相比，庫存增加的大部分原因是產品成本通脹和鞋類庫存混合，其平均單位成本較高，在總體庫存餘額中所佔的比例比可比期間更大。

Capital expenditures during the second quarter were $11.4 million, with approximately 60% attributed to store development projects, including new stores, remodels, relocations and new signage. We opened 5 net new stores in the quarter, bringing the store base to 1,148 in 36 states.

第二季度的資本支出為 1140 萬美元，其中約 60% 用於商店開發項目，包括新店、改造、搬遷和新標識。本季度我們淨新開設 5 家門店，使遍布 36 個州的門店數量達到 1,148 家。

We repurchased nearly 300,000 shares under our share repurchase plan in the second quarter at a total cost of approximately $11 million. We also paid a recurring quarterly dividend in the first quarter -- in the second quarter, excuse me, in the amount of $0.25 per eligible common share for a total outflow of approximately $3.2 million.

我們在第二季度根據股票回購計劃回購了近30萬股股票，總成本約為1100萬美元。我們還在第一季度支付了經常性季度股息，對不起，在第二季度，每股合格普通股支付了 0.25 美元，總流出量約為 320 萬美元。

Now moving to Slide 6, year-to-date results. Total net sales for the first 6 months of fiscal 2024 increased 1.7% to $830.4 million, while year-to-date comparable sales have decreased 1.4% versus the same period last year. Brick-and-mortar comp sales declined 1.2% and e-commerce comp sales declined 2.2%.

現在轉到幻燈片 6，今年迄今為止的結果。 2024 財年前 6 個月的淨銷售額總額增長 1.7%，達到 8.304 億美元，而年初至今的可比銷售額與去年同期相比下降了 1.4%。實體店銷售額下降 1.2%，電子商務銷售額下降 2.2%。

Gross margin was 33.3% of net sales on a year-to-date basis versus 35.7% of net sales last year. This approximately 240 basis point decline was due to lower average product margin of approximately 300 basis points and higher store occupancy costs of approximately 45 basis points. This was partially offset by a year-over-year improvement in freight, shipping and logistics costs as a percent of sales.

年初至今，毛利率占淨銷售額的 33.3%，而去年為淨銷售額的 35.7%。下降約 240 個基點是由於平均產品利潤率下降約 300 個基點以及商店佔用成本上升約 45 個基點。這部分被貨運、運輸和物流成本佔銷售額百分比的同比改善所抵消。

SG&A expenses were 23% of net sales for the first 6 months compared to 22.9% in the same period last year. The approximate increase of 10 basis points is primarily the result of higher medical expenses and an increase in data processing costs, partially offset by lower advertising and professional fees.

前 6 個月的銷售、管理及行政費用占淨銷售額的 23%，而去年同期為 22.9%。大約 10 個基點的增長主要是由於醫療費用增加和數據處理成本增加，部分被廣告和專業費用減少所抵消。

We have generated $61.9 million of operating income or 7.5% of net sales through the second quarter of fiscal '24, compared to $83.5 million or 10.2% of net sales in the prior year's first 6 months.

截至 2024 財年第二季度，我們實現了 6190 萬美元的營業收入，占淨銷售額的 7.5%，而去年前 6 個月的營業收入為 8350 萬美元，占淨銷售額的 10.2%。

Net income for the first 6 months of this year was $46.8 million or $3.61 per diluted share, compared with $64.1 million or $4.77 per diluted share in the prior year comparable period. Capital expenditures for the first 6 months of the fiscal year were $25.7 million, predominantly related to store initiatives, including new store openings, relocations, expansions, remodels and technology upgrades.

今年前 6 個月的淨利潤為 4680 萬美元，即稀釋後每股收益 3.61 美元，而去年同期淨利潤為 6410 萬美元，即稀釋後每股收益 4.77 美元。本財年前 6 個月的資本支出為 2570 萬美元，主要與商店計劃相關，包括新店開業、搬遷、擴建、改造和技術升級。

I'll now turn the call over to Bill to discuss consumer insights.

我現在將把電話轉給比爾，討論消費者洞察。

Thank you, Bob. Our consumer research and analysis of loyalty data gives us insight into the mindset and changing shopping patterns of our customers. To start, most customers still have elevated concerns of the general impacts of inflation. Concerns of our gas, grocery and utility costs remain high. There is also an added concern around resuming student loan payments later this year.

謝謝你，鮑勃。我們對忠誠度數據的消費者研究和分析使我們能夠深入了解客戶的心態和不斷變化的購物模式。首先，大多數客戶仍然高度擔心通貨膨脹的總體影響。我們對天然氣、雜貨和公用事業成本的擔憂仍然很高。今年晚些時候恢復學生貸款支付也引發了更多擔憂。

Looking at our loyalty purchase data, we saw a sales difference between new members and existing members. Sales from new members were down, driving the sales comp decline in Q2. Our concerns around new customer sales were mitigated in the latter part of the quarter where our new customer sales grew significantly due to energy from back-to-school and launch.

查看我們的忠誠度購買數據，我們發現新會員和現有會員之間的銷售差異。新會員銷售額下降，導致第二季度銷售額下降。我們對新客戶銷售的擔憂在本季度後半段有所緩解，由於返校和發布的能量，我們的新客戶銷售顯著增長。

For the entire quarter, our existing customers, which are the vast majority of our program, continue to spend more than prior year. This was consistent with what we experienced in Q1. Strength in existing customer sales is a validation of our focus on a compelling product mix, superior customer service, a best-in-class omnichannel shopping experience and our strategic positioning in underserved markets.

在整個季度中，我們的現有客戶（我們計劃的絕大多數）的支出繼續高於去年。這與我們在第一季度的經歷一致。現有客戶銷售的實力證明了我們專注於引人注目的產品組合、卓越的客戶服務、一流的全渠道購物體驗以及我們在服務不足的市場中的戰略定位。

Turning to our e-commerce business. In Q2, e-commerce sales were down 5.2% year-over-year. The primary headwinds included customer economic concerns, a highly promotional environment and an unfavorable launch calendar. These factors led to a decrease in traffic and conversion, which were partially offset by a higher average purchase. Digital sales in the latter part of the quarter were much improved due to a favorable launch cadence, a strong start to back-to-school.

轉向我們的電子商務業務。第二季度，電商銷售額同比下降5.2%。主要阻力包括客戶經濟擔憂、高度促銷的環境和不利的發布日曆。這些因素導致流量和轉化率下降，但平均購買量的增加部分抵消了這一影響。由於良好的發布節奏以及返校季的強勁開局，本季度後半段的數字銷售大幅改善。

As always, we remain focused on the long term in providing the best possible customer experience for online and omnichannel shopping. To that end, we have many planned initiatives for the remainder of this year to drive acquisition, engage customers and further provide a world-class retail experience.

一如既往，我們仍然著眼於長期為在線和全渠道購物提供最佳的客戶體驗。為此，我們在今年剩餘時間內計劃了許多舉措，以推動收購、吸引客戶並進一步提供世界一流的零售體驗。

Now I'll turn the call back to Bob to discuss our guidance.

現在我將把電話轉回給鮑勃，討論我們的指導。

The business outlook for the remainder of fiscal 2024 remains challenging and difficult to predict. Inflation has continued to have a broad impact not only on consumer sentiment and spending patterns, but has also contributed to increases in our operating costs in the form of higher wages and prices we pay for various goods and services.

2024 財年剩餘時間的業務前景仍然充滿挑戰且難以預測。通貨膨脹不僅繼續對消費者情緒和支出模式產生廣泛影響，而且還導致我們的運營成本增加，表現為工資以及我們為各種商品和服務支付的價格上漲。

Our interest rates have driven up the cost of borrowing for us and may also be affecting discretionary purchase decisions to those consumers with variable rate loans or credit card debt. We also expect a heavier promotional environment to continue for the near term.

我們的利率推高了我們的借貸成本，也可能影響那些擁有浮動利率貸款或信用卡債務的消費者的酌情購買決定。我們還預計短期內將繼續出現更激烈的促銷環境。

In summary, economic uncertainty, coupled with a more cautious and selective consumer has resulted in this uncertain retail environment. As you will remember, these factors resulted in us lowering our fiscal 2024 outlook at the end of the first quarter. As we move beyond the second quarter, embarked on the third quarter, we feel our projected fiscal 2024 financial performance continues to be aligned with the expectations we set in May. Therefore, we are reiterating our overall guidance for fiscal 2024.

總而言之，經濟的不確定性，加上消費者更加謹慎和挑剔，導致了這種不確定的零售環境。如您所知，這些因素導致我們在第一季度末下調了 2024 財年展望。隨著第二季度的結束，進入第三季度，我們認為我們預計的 2024 財年財務業績繼續與我們 5 月份設定的預期保持一致。因此，我們重申 2024 財年的總體指導。

Slide 8 summarizes our updated fiscal 2024 guidance. In summary, net sales for the full year, including the impact of the 53rd week are anticipated to be flat to up approximately 2%, compared to our fiscal 2023 results. The 53rd week is expected to be approximately 1% of full year sales. Approximately 52% of our total sales will be recognized in the second half of the fiscal year. Comparable sales are expected to decline in the low single-digit range for the full year.

幻燈片 8 總結了我們更新的 2024 財年指導。總之，與我們 2023 財年的業績相比，全年淨銷售額（包括第 53 週的影響）預計將持平，增長約 2%。第53週預計約為全年銷售額的1%。我們總銷售額的大約 52% 將在本財年下半年得到確認。預計全年可比銷售額將出現低個位數下降。

Full year brick-and-mortar comparable sales and full year e-commerce revenue are also anticipated to be in the negative low single-digit range. The net new store growth expectation is to open between 40 and 50 units. We anticipate the aggressive promotional environment to continue in the near term, projected full year gross margin range is approximately 33.9% to 34.0% of net sales. SG&A as a percent of net sales is expected to be in the range of approximately 23.3% to 23.5% of net sales.

全年實體可比銷售額和全年電子商務收入預計也將處於負低個位數範圍內。新店淨增長預計為 40 至 50 家。我們預計短期內積極的促銷環境將持續，預計全年毛利率範圍約為淨銷售額的 33.9% 至 34.0%。 SG&A 占淨銷售額的百分比預計約為淨銷售額的 23.3% 至 23.5%。

Operating margin for the year is expected to be in the range of 7.4% to 7.8% of net sales. Operating profit as a percent of net sales in the fourth quarter benefits from higher sales volume, although the 53rd week is considered near breakeven due to the low sales volume in that extra week. We still expect to carry debt throughout the year. We project borrowings to moderate in the second half of the year as inventory levels declined after the back-to-school season.

今年的營業利潤率預計為淨銷售額的 7.4% 至 7.8%。第四季度營業利潤占淨銷售額的百分比得益於較高的銷量，儘管由於該額外一周的銷量較低，第 53 週被認為接近盈虧平衡。我們仍然預計全年都會背負債務。我們預計，由於返校季後庫存水平下降，下半年借款將放緩。

Diluted earnings per share are anticipated to be in the range of $7 to $7.75 and using an estimated full year tax rate of approximately 23.5% to 23.7% and an estimated year-end weighted average diluted share count of approximately 12.8 million. We project capital expenditures in the range of $60 million to $70 million, with the largest allocation focused on new store growth, remodels, relocations, new store signage and improving the consumer experience.

稀釋每股收益預計在 7 美元至 7.75 美元之間，預計全年稅率約為 23.5% 至 23.7%，年末加權平均稀釋股份數約為 1280 萬股。我們預計資本支出在 6000 萬至 7000 萬美元之間，其中最大的分配重點用於新店增長、改造、搬遷、新店標牌和改善消費者體驗。

Our capital allocation strategy continues to include share repurchases and recurring quarterly dividend in addition to the capital expenditures noted above.

除了上述資本支出外，我們的資本配置策略繼續包括股票回購和經常性季度股息。

That concludes our prepared remarks. Rob, please open the line for questions.

我們準備好的發言到此結束。羅布，請打開提問線路。

(Operator Instructions) Our first question comes from Mitch Kummetz with Seaport Research.

（操作員說明）我們的第一個問題來自 Seaport Research 的 Mitch Kummetz。

I guess I've got a few. Maybe to start, can you address the impact that Yeezy had on the quarter? And can you say how much longer you're going to have Yeezy products going forward?

我想我已經有幾個了首先，您能談談 Yeezy 對本季度的影響嗎？您能透露一下您還將繼續使用 Yeezy 產品多久嗎？

Mitch, it's Jared. Yeezy products actually launched during the third quarter. So there was no impact during the second quarter. And further past the third quarter, we don't have any additional visibility on at this point.

米奇，我是賈里德。 Yeezy 產品實際上是在第三季度推出的。所以第二季度沒有受到影響。第三季度過去了，我們目前還沒有任何額外的可見性。

Okay. And then, Jared, on the running business, you talked about improvement there. Is that a change in trend? Or is that more a reflection of some change in your assortment that you kind of cycled through maybe what was bad in that segment now you've got better product there. Can you just maybe elaborate on that?

好的。然後，賈里德，關於跑步業務，你談到了那裡的改進。這是趨勢的變化嗎？或者這更多地反映了您的產品分類中的一些變化，您可能循環瀏覽了該細分市場中的糟糕產品，現在您在那裡有了更好的產品。您能詳細說明一下嗎？

Yes, it's twofold. I think certainly some changes in the assortment, some new iterations of product that delivered in preparation for back-to-school performed well. We certainly have enhanced our focus on the performance running category and then have evolved our lifestyle running category into some new iterations. So we feel good about the running business. As you said, historically, it's a smaller portion of our overall business, but the business is trending and performing well.

是的，它是雙重的。我認為，為返校做準備而交付的產品系列的一些變化和一些新產品的表現肯定表現良好。我們當然加強了對性能跑步類別的關注，然後將我們的生活方式跑步類別發展為一些新的迭代。所以我們對正在運營的業務感覺良好。正如您所說，從歷史上看，它只占我們整體業務的一小部分，但該業務趨勢良好且表現良好。

Okay. And then maybe one last one. Just on the product margin, so 2Q was not down as much as 1Q. It sounds like you expect promotions to continue at least through the third quarter. Can you just kind of walk us through how you think about product margin over the next couple of quarters?

好的。然後也許是最後一件事。僅就產品利潤而言，第二季度的下降幅度沒有第一季度那麼大。聽起來您預計促銷活動至少會持續到第三季度。您能否向我們介紹一下您對未來幾個季度產品利潤率的看法？

Yes. So we still expect some pressure from a promotional environment, obviously. Stephani and the team are doing a lot of work on right-sizing the [inventory position] and ensuring that the quality of our inventory gets to an exceptional level, those are our expectations.

是的。因此，顯然，我們仍然預計促銷環境會帶來一些壓力。 Stephani 和團隊正在做大量工作來調整[庫存位置]規模並確保我們的庫存質量達到卓越的水平，這些是我們的期望。

So we still think there will be some pressure some of the early reads on product from our fall assortment as part of back-to-school give us some confidence. But we still have some secondary brand pressure. We still have secondary franchise pressure. And we know there's still some pressure from a consumer standpoint, but we like where we're headed with our plans and our guidance for the back half.

因此，我們仍然認為，作為返校的一部分，我們秋季系列產品的一些早期閱讀會給我們帶來一些信心。但我們仍然面臨一些次要品牌壓力。我們仍然面臨二級特許經營壓力。我們知道從消費者的角度來看仍然存在一些壓力，但我們喜歡我們的計劃和下半年的指導。

Our next question is from Justin Kleber with Baird.

我們的下一個問題來自 Justin Kleber 和 Baird。

First, just a follow-up there on Mitch's question on product margins. How much of the pressure -- and Bob, you cited about 300 basis points lower over the first half. How much of that do you think is somewhat temporal just given the excess inventory across the sector and the promotional activity associated with that?

首先，對米奇關於產品利潤的問題進行跟進。壓力有多大——鮑勃，你提到上半年下降了約 300 個基點。考慮到整個行業的庫存過剩以及與之相關的促銷活動，您認為其中有多少是暫時的？

Yes. I think it's a great question, Justin. I think there's a lot of factors at play here. I mean, you have certainly -- we're working to reduce our inventory overall. We're working to enhance the quality of our inventory overall. There's a lot of product in the marketplace, in particular downstream that we believe will still have significant promotional activity plus we have some of the concerns for the consumer that Bill mentioned.

是的。我認為這是一個很好的問題，賈斯汀。我認為這裡有很多因素在起作用。我的意思是，我們正在努力減少總體庫存。我們正在努力提高庫存的整體質量。市場上有很多產品，特別是下游產品，我們相信仍然會有大量的促銷活動，而且我們對比爾提到的消費者也有一些擔憂。

So putting all those things together from an outlook perspective, tend to be a little bit difficult. As far as what we have in the pipeline, we're very, very confident. The questions remain just how fast we get to an optimal level in quality of inventory.

因此，從前景的角度將所有這些事情放在一起往往有點困難。就我們正在開發的產品而言，我們非常非常有信心。問題仍然是我們能以多快的速度達到庫存質量的最佳水平。

Got it. Okay. That makes sense, Jared. Bob, a question for you on the freight, shipping and logistics cost favorability. How much of that is just the external environment versus maybe some internal initiatives or actions on your guys' part?

知道了。好的。這是有道理的，賈里德。鮑勃，請教您一個關於運費、運輸和物流成本優惠的問題。其中有多少只是外部環境，而不是你們的一些內部舉措或行動？

I think it's probably a combination of both, obviously. We obviously cycled through some higher freight costs in previous periods and some of the comparable periods, and we've obviously flowed some of that through the P&L over previous quarters. We continue to always look at ways to make the process more efficient, getting closer to the consumer in terms of delivery cost, obviously, running things through our distribution center more quickly and more efficiently.

顯然，我認為這可能是兩者的結合。顯然，我們在之前的時期和一些可比時期循環了一些較高的貨運成本，並且我們顯然已經將其中的一些成本計入了前幾個季度的損益表中。我們一直在尋找提高流程效率的方法，在交付成本方面更接近消費者，顯然，更快速、更高效地通過我們的配送中心運行貨物。

So I'd say it's probably a little bit kind of mix of both about 50-50, if I had to guess. And I think we're continuing to look at how receipt flow impacts that number through the back half of the year, and we again, think that we're moving in the right direction in terms of overall freight, shipping and logistics costs.

所以我想說，如果我必須猜測的話，這可能是 50-50 左右的混合。我認為我們將繼續研究今年下半年收貨流如何影響這一數字，我們再次認為，就整體貨運、運輸和物流成本而言，我們正朝著正確的方向前進。

Okay. Good to hear. And last one for me guys, just on I guess the cadence of comps throughout the quarter, clearly, July, it sounds like it was the strongest month given back-to-school. Any comment on if the back-to-school strength late in the quarter has kind of carried over here into the first part of 3Q?

好的。很高興聽到。最後一個對我來說，我猜整個季度的比賽節奏，顯然，七月，聽起來這是返校後最強勁的一個月。對於本季度末的返校勢頭是否延續到第三季度第一部分有什麼評論嗎？

Yes, Justin, it's Jared. Obviously, as we said, we were pleased to the start of back-to-school with what occurred in the second quarter. Happy with a lot of the product that we deliver, certainly, as we mentioned, seasonal aspect of apparel gave us some confidence, some of the back-to-school categories performed very well. At this point, it's really still early to comment on back-to-school in its totality. I think we feel pretty comfortable that we've captured our forecast for back-to-school within our guidance.

是的，賈斯汀，我是賈里德。顯然，正如我們所說，我們對第二季度發生的返校開始感到高興。對我們提供的很多產品感到滿意，當然，正如我們提到的，服裝的季節性方面給了我們一些信心，一些返校類別表現非常好。目前，對返校的整體評論還為時過早。我認為我們感到非常放心，我們已經在我們的指導範圍內實現了對返校的預測。

Our next question is from Sam Poser with Williams Trading.

我們的下一個問題來自 Williams Trading 的 Sam Poser。

Can you tell -- just to make this simple, could you tell us what the comps were by month?

你能告訴我們——為了簡單起見，你能告訴我們每月的比較是什麼嗎？

Sam, Mike. Good to hear from you. It's our custom not to comment on intra-quarter trends. And so as a result...

薩姆、邁克。很高興聽到你的消息。我們的習慣是不對季度內的趨勢發表評論。結果...

We are looking backwards.

我們正在向後看。

Yes, I got it. But we -- I think we followed the most of the trends of the industry. We had a good July, I think, would be the best way to say it.

是的，我知道了。但我認為我們遵循了該行業的大部分趨勢。我想，我們度過了一個愉快的七月，這是最好的說法。

Were you positive in July? How about that question?

7月份你的檢測呈陽性嗎？這個問題怎麼說呢？

Yes, we were.

是的我們曾經是。

And then, Jared, you talked about the consumer being more particular and how well you did with some of the big launch products. So my question is, as you look ahead, is there going to be enough product that -- to put for those particular customers? And will those particular customers -- those customers, let's say, bought the launch product, was there any demographic similarity between them? Or if the product was right, did they just show up? And then you had other products that they just didn't like as much and they didn't?

然後，賈里德，您談到了消費者更加挑剔，以及您在一些大型發布產品上的表現如何。所以我的問題是，展望未來，是否會有足夠的產品來滿足這些特定客戶的需求？那些特定的客戶——比方說，那些購買了發布產品的客戶，他們之間是否存在人口統計相似性？或者如果產品是正確的，他們就會出現嗎？然後你還有其他產品，他們只是不太喜歡，但他們並不喜歡？

Yes. I think, Sam, I mean, if the product is right and the consumer foresees value in the product, that value creation could come from launch and scarcity, could come from materials, could come from the story, could come from franchise management. A lot of things can drive that value and that demand. And again, as we -- as I've said, we're pretty confident in the pipeline of product as far as what's coming in from a new perspective, I think Stephani and team continue to refine our assortments and make them as dynamic as we can for our consumer.

是的。我認為，薩姆，我的意思是，如果產品是正確的，並且消費者預見到產品的價值，那麼價值創造可能來自發布和稀缺性，可能來自材料，可能來自故事，可能來自特許經營管理。很多事情都可以推動這種價值和需求。再說一遍，正如我所說，我們對新視角下的產品管道非常有信心，我認為斯蒂芬尼和團隊將繼續完善我們的產品組合，使它們充滿活力。我們可以為我們的消費者。

At the same time, there's challenges with the consumer. We want to balance our inventory correctly. So there are some other offsets as well. But we feel good about the pipeline. Our partnerships with our brands remain fantastic. We have lots of focus on our business. we're focused on because of the underserved markets that we cater to and largely were complementary and incremental to the market. So it's creating a lot of opportunity and focus with our brand partners.

與此同時，消費者也面臨著挑戰。我們希望正確平衡我們的庫存。所以還有一些其他的抵消。但我們對管道感覺良好。我們與我們品牌的合作關係仍然非常出色。我們非常關注我們的業務。我們之所以專注於服務不足的市場，是因為我們所服務的市場在很大程度上是對市場的補充和增量。因此，它為我們的品牌合作夥伴創造了很多機會和焦點。

I mean, just a quick follow-up on that. when the supply chain issues were going on some time ago, you made some decisions to bring in some apparel and other things to -- my impression was sort of to fill up the stores. So looking back on what happened then and for the sake of argument, 70% of the product is compelling stuff that's going to attract a particular customer. Do you -- are you just not going to buy the other 30 even if -- and sort of make the stores look full with the good stuff instead of trying to fill...

我的意思是，只是對此進行快速跟進。前段時間出現供應鏈問題時，你們做出了一些決定，引進一些服裝和其他東西——我的印像是填滿商店。因此，回顧當時發生的事情，為了便於討論，70% 的產品都是引人注目的東西，能夠吸引特定的客戶。你是否——你只是不打算購買另外 30 件，即使——讓商店看起來充滿了好東西，而不是試圖填滿......

I would say we never just try to buy bad stuff. Obviously, we always try to buy just the good stuff. But I think as the consumer now has become a little bit more careful around some of their choices. We have to continue to refine that in what we do. We're following what we see from a pattern standpoint to consumers and we believe we have access to the things that they're interested in. And those are things we're making investments in, and we're pulling back in places that we don't believe are either on trend or the consumer doesn't have interest in.

我想說的是，我們從來不只是想買不好的東西。顯然，我們總是試圖只買好東西。但我認為消費者現在在一些選擇上變得更加謹慎了。我們必須在我們的工作中繼續完善這一點。我們從模式的角度關註消費者，我們相信我們能夠獲得他們感興趣的東西。這些是我們正在投資的東西，而我們正在撤回我們所投資的地方不相信要么是流行趨勢，要么是消費者不感興趣。

But we never try to just buy things that we don't think are going to resonate with our consumer. But that funnel was a lot wider when there was a lot of cash in the market. And today, the funnel is much more narrow and we're narrowing down our focus around what we put in the assortments.

但我們從不嘗試只購買我們認為不會引起消費者共鳴的東西。但當市場上有大量現金時，這個漏斗就會變得更寬。如今，漏斗變得更加狹窄，我們正在縮小我們對產品類別的關注範圍。

Sorry, one last thing. Does that narrow funnel? I mean is the consumer more cautious or more particular? And that narrow funnel, that's a word what somebody else I know uses, is a situation where when you have exactly what that consumer wants, they buy it and when they -- and if somebody else is exactly what they want or another category or entertainment or something they'll buy it from them. Is that a side of a weak consumer or just a much more particular consumer?

抱歉，最後一件事。那個漏斗很窄嗎？我的意思是消費者更加謹慎還是更加挑剔？狹窄的漏斗，這是我認識的其他人使用的一個詞，是一種情況，當你擁有消費者想要的東西時，他們就會購買它，並且當他們- 如果其他人正是他們想要的東西或其他類別或娛樂或者他們會從他們那裡購買的東西。這是弱消費者的一面還是只是更特殊的消費者的一面？

I think it's some of both, to be frank. I think Bill has got some information on this that he can talk to.

坦率地說，我認為兩者都有。我認為比爾已經掌握了一些可以與之交談的信息。

Yes, Sam Jim, it's Bill. So we're looking at 2 different lenses. First of all, the existing customers we have, which is the bulk of our customers are doing well. So we actually saw them have a positive comp here in Q2, but it's really the new customers that we're seeing that impact. And it's just less of them coming in. But when they come in, they're buying the same amount actually a little bit more.

是的，山姆·吉姆，我是比爾。所以我們正在研究兩種不同的鏡頭。首先，我們現有的客戶，也就是我們的大部分客戶，都做得很好。所以我們實際上看到他們在第二季度有一個積極的競爭，但我們真正看到的是新客戶的影響。只是進來的人少了。但是當他們進來時，他們購買的數量實際上多了一點。

Some of that is economic, where in the good time you saw a lot of new customers. And obviously, we're seeing the reverse of that. And some of that is timing where we saw new customers. We saw a nice increase in July and the start of back-to-school with those customers because of back-to-school as well as launch.

其中一些是經濟上的，在好的時候你會看到很多新客戶。顯然，我們看到的是相反的情況。其中一些是我們看到新客戶的時機。由於返校和發布，我們在 7 月份看到了良好的增長，並且這些客戶開始返校。

Continue to success.

繼續走向成功。

Our next question is from Cristina Fernandez with Telsey Advisory Group.

我們的下一個問題來自特爾西諮詢小組的克里斯蒂娜·費爾南德斯。

I wanted to see if you can comment more about the composition of the inventory, particularly interested in, I guess, how much age or clearance inventory is still left versus the end of the first quarter. And the excess inventory where it's more concentrated? Is it still primarily apparel or it's footwear as well? Any color there would be helpful.

我想看看您是否可以對庫存的構成進行更多評論，我想特別感興趣的是，與第一季度末相比，還剩下多少年齡或清倉庫存。而過剩的庫存更集中在哪裡？仍然主要是服裝還是鞋類？任何顏色都會有幫助。

Yes. Cristina, it's Jared. Yes. I think we continue to strive to get to not just an optimal level of inventory but optimal health of inventory. The team has been working incredibly hard at this initially some of the challenges were centered around apparel and that was a significant focus of ours to get that business cleaner and healthier. And we're largely at that point now.

是的。克里斯蒂娜，我是賈里德。是的。我認為我們不僅要繼續努力達到最佳庫存水平，還要努力實現庫存的最佳健康狀況。該團隊一直在努力工作，最初的一些挑戰集中在服裝方面，這是我們的一個重點，讓業務變得更清潔、更健康。現在我們基本上已經到了這個階段。

We still have some challenges around secondary brands and franchises. Within the footwear business, that will continue to take a little bit of time to work through. Again, as we said, we feel like we can work those things down during the back half of the year and really get to an optimal level continue to get great support from our vendor partners to help balance that inventory.

我們在二級品牌和特許經營方面仍然面臨一些挑戰。在鞋類行業中，這將繼續需要一些時間來解決。同樣，正如我們所說，我們覺得我們可以在今年下半年解決這些問題，並真正達到最佳水平，繼續獲得供應商合作夥伴的大力支持，以幫助平衡庫存。

We obviously have been more promotional to try and drive through some of that aged inventory. But taking a little bit longer than we'd like, but we are making strides and feel very confident in what we can achieve in the back half based on what the team is getting accomplished.

顯然，我們進行了更多的促銷活動，嘗試清理一些陳舊的庫存。雖然花費的時間比我們想要的要長一些，但我們正在取得進步，並且根據球隊所取得的成就，我們對後半場能夠取得的成就非常有信心。

And then my second question is on the outlook for the third versus -- for the fourth quarter, your sales outlook implies the fourth quarter being a lot better based on my math comped down low single digits versus down mid to high in the past 2 quarters. So what gives you confidence that the fourth quarter will be better? Is it just the comparisons? Or are you seeing a better product launch calendar?

然後我的第二個問題是關於第三季度與第四季度的前景，根據我的數學計算，您的銷售前景意味著第四季度要好得多，與過去兩個季度的中高水平相比，第四季度下降了低個位數。那麼是什麼讓您相信第四季度會更好呢？難道只是比較嗎？或者您是否看到了更好的產品發布日曆？

As we said, we're pretty confident in our assortments as a whole and certainly in the calendar as a whole. I think our expectations are that as we get to a cleaner position on inventory and a more healthy level of inventory, we'll have more of that excites consumers to further begin into the back half of the year.

正如我們所說，我們對我們的整體產品種類非常有信心，當然對整個日曆也非常有信心。我認為我們的期望是，隨著我們的庫存狀況更加清潔，庫存水平更加健康，我們將有更多的庫存刺激消費者進一步開始進入今年下半年。

And just one last clarification. I wanted to understand the outperformance in women's relative to men and kids. Is it because the launch calendar was better for women or it's just less dependent on the newer launches?

最後還有一點澄清。我想了解女性相對於男性和兒童的表現。是因為發布日曆更適合女性，還是因為它不太依賴新發布的產品？

The women's business is a little less dependent on the launch calendar. So there was an outsized impact to the men's and kids business negatively as a result of the launch calendar. But as a reminder, we've had a heavy, heavy focus on the women's business for a number of years now including the reorganization of our merchant teams to get more focused around the women's business and the kids business. So we're pretty proud of what's been accomplished in women's and feel like we have a nice opportunity ahead.

女性業務對上市日程的依賴程度要低一些。因此，發布日曆對男裝和童裝業務產生了巨大的負面影響。但提醒一下，多年來我們一直非常重視女性業務，包括重組我們的商人團隊，以更加專注於女性業務和兒童業務。因此，我們對女子足球領域取得的成就感到非常自豪，並認為我們前面有一個很好的機會。

Our next question is from John Lawrence with Benchmark Company.

我們的下一個問題來自 Benchmark Company 的約翰·勞倫斯 (John Lawrence)。

First of all, could you talk a little bit about new stores, Mike, the ones you've opened in the last couple of years, how are they coming out of the ground and recent openings in this environment? How do they get your (inaudible)?

首先，邁克，您能談談您在過去幾年中開設的新店嗎？它們是如何起步的以及最近在這種環境下開設的新店？他們如何得到你的（聽不清）？

We've been very pleased with our new store performance. As we've repeated a couple of times, we've got a goal that we've talked about 40 to 50 net new stores a year. That includes a handful of closures every year because every retailer does that. The -- I think we disclosed last year that Las Vegas was our new market and by Las Vegas.

我們對新店的表現非常滿意。正如我們多次重複的那樣，我們的目標是每年淨增 40 至 50 家新店。這包括每年都會有幾次關閉，因為每個零售商都會這樣做。我想我們去年就透露，拉斯維加斯是我們的新市場，而且是由拉斯維加斯開發的。

We do not mean on the strip where the tourists go, we mean where the people live and those stores are doing really, really well. Very pleased with that. And of course, we're positioning them for the big event of the Super Bowl in February.

我們指的不是遊客去的地帶，而是人們居住的地方以及那些商店生意非常非常好的地方。對此非常滿意。當然，我們正在為二月份的超級碗盛事安排他們。

Our newest market, the news is broken on is Milwaukee. We like Milwaukee. We've been in past -- retailers been in Milwaukee quite a bit. It's a great market for us, and we'll be breaking that market relatively soon

我們最新的市場是密爾沃基。我們喜歡密爾沃基。我們過去曾經去過密爾沃基很多次零售商。這對我們來說是一個巨大的市場，我們很快就會打破這個市場

And then most importantly, so those are new markets. Most importantly, we've got (inaudible) markets, which are always more profitable because you've built brand equity in those markets, say, Southeastern Georgia or the Panhandle, Florida, or Arizona or parts of California. When we go fill those markets in between 2 stores, we can further our culture -- our operational culture where we can bring in seasoned veteran players to run the stores.

最重要的是，這些都是新市場。最重要的是，我們有（聽不清）市場，這些市場總是更有利可圖，因為你已經在這些市場建立了品牌資產，比如喬治亞州東南部、佛羅里達州狹長地帶、亞利桑那州或加利福尼亞州部分地區。當我們填補兩家商店之間的市場時，我們可以進一步發展我們的文化——我們的運營文化，我們可以引進經驗豐富的資深玩家來經營商店。

You can take an assistant store manager from one store and make them the store manager of the new store and they bring select members of the crew. So that always works better operationally. And then the logistics of the hub-and-spoke network that we run, we can leverage that as well. And so all those obvious operational efficiencies are important, but the most important part is the consumer knows us, they trust us. And we hire from the neighborhoods that we're in. We run that neighborhood store, and we get rewarded for that in those new stores.

你可以從一家商店挑選一名助理商店經理，讓他們成為新商店的商店經理，他們會帶來精選的工作人員。因此，這在操作上總是效果更好。然後，我們也可以利用我們運營的軸輻式網絡的物流。因此，所有這些明顯的運營效率都很重要，但最重要的部分是消費者了解我們，他們信任我們。我們從我們所在的社區招聘員工。我們經營那家社區商店，並在這些新商店中獲得獎勵。

Great. And follow-up Bob, what kind of level some of the costs we saw, the medical cost, et cetera, what do you need to see to start leveraging some of that or being able to kind of comp increase, would it take to stop some of that deleverage on the cost line?

偉大的。後續鮑勃，我們看到的一些成本、醫療成本等處於什麼水平，你需要看到什麼才能開始利用其中的一些費用或能夠增加補償，是否需要停止在成本線上進行一些去槓桿化？

Yes. I don't know if it's so much like a specific spend category. One of the things we continue to do is invest in not only the consumer experience and the physical and omnichannel store revenue streams is also kind of putting some more infrastructure within the back office. So as you know, we've done a lot of upgrades as we've mentioned over the last couple of years on providing more tools within, say, the store support center and the distribution facility become more efficient.

是的。我不知道它是否與特定的支出類別非常相似。我們繼續做的一件事是，不僅投資於消費者體驗，還投資於實體和全渠道商店收入流，也在後台建立更多基礎設施。如您所知，正如我們在過去幾年中提到的那樣，我們已經進行了大量升級，在商店支持中心和分銷設施內提供更多工具，從而變得更加高效。

So we don't really get into trying to manage to a specific comp number. It's more about trying to run the business as efficiently and effectively as possible. And again, I think we've made some structural changes in our organization over the last 12 to 18 months. We continue to find ways to leverage these investments that we've made in the back office operations to become more efficient.

因此，我們並沒有真正嘗試管理特定的薪酬數字。更重要的是嘗試盡可能高效地運營業務。再說一遍，我認為在過去 12 到 18 個月裡我們對我們的組織進行了一些結構性變革。我們繼續尋找方法來利用我們在後台運營中所做的投資來提高效率。

And I think what's going to happen is you'll see that, again, we'll continue to try to strive to keep that SG&A level at a similar levels or declining, obviously, in the future, but not really necessarily tied to a specific comp sales. It's more about just going after more efficiency and effectiveness.

我認為將會發生的事情是，您會再次看到，我們將繼續努力將 SG&A 水平保持在相似的水平或顯然在未來會下降，但不一定與特定的特定水平相關。比較銷售。更多的是追求更高的效率和效果。

Our next question comes from Anna Glaessgen with B. Riley.

我們的下一個問題來自 Anna Glaessgen 和 B. Riley。

I'd like to turn back to guidance. In the prepared remarks, you mentioned that you expect the promotional environment to continue at least through the third quarter. Should we be expecting some improvement in the fourth quarter? Any context around that and what's in the guidance would be great.

我想回到指導。在準備好的發言中，您提到您預計促銷環境至少會持續到第三季度。我們是否應該期待第四季度有所改善？任何有關此內容的背景以及指南中的內容都會很棒。

Yes. I think the comment, certainly, we expect an environment to be commercial in the back half of the year. I think we feel more confidence in have position in the fourth quarter and with some of the conversations in terms specifically into the third quarter, but we feel like we'll be largely past the big challenges with regard to some of our composition of our inventory issues by the time we get into the fourth quarter.

是的。我認為，當然，我們預計環境將在今年下半年實現商業化。我認為我們對第四季度的地位以及第三季度的一些對話更有信心，但我們認為我們將在很大程度上克服庫存構成方面的巨大挑戰當我們進入第四季度時就會出現問題。

Got it. And we've heard other retailers talk about shrink a lot. Is that something you're seeing as well?

知道了。我們經常聽到其他零售商談論縮水。這也是你所看到的嗎？

We are. This is Mike. Thanks for the question. So while we experience a minimal amount of shrink in our omnichannel experience, it's mostly situated in the brick-and-mortar. And so I'll let Ben take that question.

我們是。這是邁克。謝謝你的提問。因此，雖然我們的全渠道體驗經歷了最小程度的縮減，但它主要集中在實體店。所以我會讓本回答這個問題。

Yes, I appreciate the question. Similar to most retailers, we've seen some elevated shrink levels really over the last couple of years. Organized crime, it is real, and it does impact us. That said, kind of comparing to last year, shrink really hasn't had a material impact to our gross margin percentage. I'll also point out that's included in our guidance for the back half of the year. We really focus on customer service and know that that's really our biggest deterrent from a shrink perspective and do that each and every day.

是的，我很欣賞這個問題。與大多數零售商類似，過去幾年我們確實看到了一些較高的損耗水平。有組織犯罪是真實存在的，它確實影響著我們。也就是說，與去年相比，收縮確實沒有對我們的毛利率產生重大影響。我還將指出，這已包含在我們今年下半年的指導中。我們非常注重客戶服務，並且知道從收縮的角度來看，這確實是我們最大的威懾因素，並且我們每天都這樣做。

Yes. And let me follow up on a couple of points. Certainly, topical, it's an issue that's come up a considerable amount this week in particular. And just to remind everybody, the biggest component of shrink is theft. And not to bury the lead. It's clear and obvious that it's theft. It's a cost to our companies and it's a tax on the consumer. It's something like every cost, whether it's a tax levy by the government or it's a problem with operations, all those get passed onto the consumer.

是的。讓我跟進幾點。當然，就話題而言，這個問題在本週出現的次數尤其多。只是提醒大家，收縮的最大組成部分是盜竊。並且不要埋藏鉛。很明顯這是盜竊行為。這是我們公司的成本，也是消費者的稅。就像每一項成本，無論是政府徵稅還是運營問題，所有這些都會轉嫁到消費者身上。

I thought Walmart did a very good job this week in their conference call, CFO said, shrink has increased a bit this year and increased last year, it was uneven across the country. That [rhymes] very well with what we're seeing. And as well, the CEO, Doug McMillon said, and "there needs to be action taken to help protect people from crime, including theft." I felt that was on the money and appreciated them saying it.

我認為沃爾瑪在本週的電話會議上做得非常好，CFO說，今年收縮有所增加，去年有所增加，全國范圍內不平衡。這與我們所看到的非常吻合。此外，首席執行官道格·麥克米倫 (Doug McMillon) 表示，“需要採取行動幫助保護人們免受犯罪，包括盜竊的侵害。”我覺得這很划算，很感激他們這麼說。

And then I'd further add that the CEO of the National Retail Federation, Matt Shay, did a very nice job on CNBC Wednesday morning on Squawk Box and he discussed the issues to include the resale market and marketplaces as being a particular problem and I thought that resonated with us. So if you have a chance to rewatch that, I would encourage it.

然後我想進一步補充一點，全國零售聯合會首席執行官馬特·謝伊(Matt Shay) 週三早上在CNBC 的Squawk Box 節目中做了非常出色的工作，他討論了這些問題，將轉售市場和市場視為一個特殊問題，我這個想法引起了我們的共鳴。因此，如果您有機會重新觀看，我會鼓勵您。

And just one clarification on the accounting around shrink. Some other retailers have mentioned that they do on annual physical account. Can you remind us your policies around that?

只是對收縮會計的一項澄清。其他一些零售商提到他們是按年度實物賬戶進行的。您能提醒我們您的相關政策嗎？

So we take 2 physical counts currently in all of our stores. We also use RFID technology to take basically weekly snapshots of some percentage of our inventory. We don't have 100% of our product tag with RFID. But we are keeping pretty close to shrink levels pretty much on a weekly basis with that RFID and again, kind of locking everything in twice a year with most of our stores, also do cycle counting and some physical accounting within our distribution centers. So we feel our shrink accounting is pretty current and on point at this point.

因此，我們目前在所有商店進行 2 次實物清點。我們還使用 RFID 技術基本上每週對一定比例的庫存進行快照。我們的產品標籤並非 100% 帶有 RFID。但我們每週都使用 RFID 來保持非常接近的收縮水平，並且我們的大多數商店每年將所有物品鎖定兩次，還在我們的配送中心進行週期盤點和一些實物會計。因此，我們認為我們的收縮會計在這一點上是非常當前和正確的。

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

我們的下一個問題來自美國銀行的 Alex Perry。

Just first, Jared, maybe could you help us, it seems like the launch calendar was a key driver in the quarter. Can you just talk about how the launch calendar looks for the balance of the year and in 3Q, does it sort of look similar to how it did in July in the back half of the quarter, which really drove a nice acceleration for you guys?

首先，賈里德，也許你可以幫助我們，看起來發布日曆是本季度的關鍵驅動因素。您能否談談今年剩餘時間和第三季度的發布日曆，是否與本季度後半段 7 月份的情況類似，這確實為你們帶來了良好的加速？

And then maybe just remind us the quantity of the launch product that you're getting sort of year-over-year, is that better given sort of the downsizing we've seen from other retailers in the network?

然後也許只是提醒我們您每年獲得的推出產品的數量，考慮到我們從網絡中的其他零售商那裡看到的規模縮小，這是否更好？

Alex, it's Jared. I would say it this way. Obviously, the launch calendar always has been somewhat volatile. It will remain volatile. It's been volatile. I'll reiterate what I said earlier, I think we're very confident in what we have in the pipeline, both from a launch perspective and from a non-launch perspective.

亞歷克斯，這是賈里德。我會這樣說。顯然，發布日曆總是有些不穩定。它將保持波動。它一直不穩定。我會重申我之前所說的，我認為無論是從啟動的角度還是從非啟動的角度來看，我們對我們正在開發的產品都非常有信心。

So I think that there could be movement in the calendar that historically always has been. So we'll see what occurs. But our confidence level is high with regard to the assortment. Our partnerships with the brands continue to be excellent. We continue to get more and more focus because of the incremental nature of our business. So again, we feel pretty good about where we stand with regard to the quality of our order book.

所以我認為日曆中可能會出現歷史上一直存在的變化。所以我們會看看會發生什麼。但我們對產品種類充滿信心。我們與這些品牌的合作關係仍然非常出色。由於我們業務的增量性質，我們繼續獲得越來越多的關注。再說一遍，我們對訂單質量的現狀感到非常滿意。

Perfect. And then I just wanted to ask, in terms of the lapping of some of the delayed apparel receipts from last year, how are you guys sort of thinking about that and just the composition of the inventory versus sort of what you saw last year? And just remind us how much that affected the business last year? And how -- when you really started to promote that product?

完美的。然後我只是想問，就去年一些延遲的服裝收據的處理而言，你們是如何看待這個問題的，以及庫存的構成與你們去年看到的情況相比？請提醒我們去年這對業務有多大影響？當你真正開始推廣該產品時，你是如何做到的？

Yes. So the big challenge last year really was from last year and the prior year, it was just product delivering in the incorrect season, right? So you had spring product delivery in the fall, fall product delivery in the spring, as examples. And those challenges are somewhat difficult to overcome because apparel was very seasonal in nature.

是的。所以去年最大的挑戰確實來自去年和前一年，只是在錯誤的季節交付了產品，對嗎？例如，您在秋季交付了春季產品，在春季交付了秋季產品。這些挑戰有些難以克服，因為服裝具有很強的季節性。

That, obviously, now that the supply chain has improved significantly, we're in a better -- more consistent with what we've seen historically with regard to spring and summer liquidations, what we have from a timing perspective coming in around fall and seasonal. We're getting back to some more historical norms around delivery cadence and seeing some success from it. So we're a little bit more confident that we won't have some of those seasonal challenges that really affected the promotions.

顯然，現在供應鏈已經有了顯著改善，我們處於一個更好的狀態——與我們歷史上所看到的春季和夏季清算情況更加一致，從時間角度來看，我們在秋季和夏季左右所看到的情況更加一致。季節性的。我們正在回歸一些有關交付節奏的歷史規範，並從中看到了一些成功。因此，我們更有信心，我們不會遇到一些真正影響促銷活動的季節性挑戰。

Great. And then just 2 quick ones. I guess, one, just can you give us a little more color on how you're thinking about your exposure, the student loan repayments coming back on. I think you layered in commentary about that being an additional headwind. Do you think you have an outsized impact there? Or how are you sort of thinking about that?

偉大的。然後只有 2 個快速的。我想，第一，你能否給我們更多的信息，說明你如何看待自己的風險敞口、學生貸款償還的情況。我認為你對這是一個額外的阻力進行了分層評論。你認為你在那裡有很大的影響力嗎？或者你對此有何看法？

Bill, do you want to take that one?

比爾，你想拿那個嗎？

Yes. Alex. So we do a quarterly survey with our customers, and that was one of the questions this quarter that we asked. Definitely a concern overall. We dug further into it, a small portion of customers are highly concerned. So that's something that we need to watch. There's definitely headlines out there. There could be some mitigation of what's going to happen in October. But that's definitely something that we're going to continue to monitor and get more information from in terms of our customers.

是的。亞歷克斯.因此，我們對客戶進行了季度調查，這是我們本季度提出的問題之一。總體而言絕對是一個令人擔憂的問題。我們深入挖掘，有一小部分客戶高度關注。所以這是我們需要關注的。那里肯定有頭條新聞。十月份發生的情況可能會有所緩解。但這絕對是我們將繼續監控並從客戶那裡獲取更多信息的事情。

Perfect. And then just my last one, maybe Bob, on the margins, any help on sort of 3Q versus 4Q gross margin cadence? Is it fair? I think you had inventory getting better by 4Q. So is it fair to say 3Q gross margins down year-over-year and then some improvement on a Y-over-Y basis, in 4Q? Or how should we be thinking about that?

完美的。然後是我的最後一個，也許鮑勃，在邊緣，對第三季度與第四季度毛利率節奏有什麼幫助嗎？公平嗎？我認為到第四季度你們的庫存有所好轉。那麼，可以公平地說，第三季度毛利率同比下降，然後第四季度同比有所改善嗎？或者說我們應該如何思考這個問題？

Again, I think we're not going to get into specific Q3, Q4 relationships. Obviously, Q4 is a higher volume sales quarter. So you get a little additional leverage on things like your store occupancy. Again, like Jared said earlier, launch calendars can kind of move a little bit between quarters, between periods.

再說一次，我認為我們不會進入特定的第三季度、第四季度關係。顯然，第四季度是銷量較高的季度。因此，您可以在商店佔用率等方面獲得一些額外的影響力。同樣，就像賈里德之前所說的那樣，發布日曆可能會在季度之間、時期之間發生一些變化。

At this point in time, again, I think we're obviously going to hopefully move through some of that older inventory more efficiently as we get through Q3, maybe a little bit less of that in Q4. I'll let you kind of predict how that puts out in your own model. But again, I think we see that we'll see a little bit more better back half in terms of comparison than we saw in the first half of the year.

在這個時候，我再次認為，當我們度過第三季度時，我們顯然希望更有效地處理一些舊庫存，也許第四季度會少一點。我會讓你預測一下它在你自己的模型中的表現。但我認為，與上半年相比，我們會看到後半段的表現會更好一些。

Perfect. Best of luck going forward.

完美的。祝你好運。

Our final question is from Sam Poser with Williams Trading.

我們的最後一個問題來自 Williams Trading 的 Sam Poser。

Just 2 quick ones. The -- in the new market like Las Vegas, what kind of -- are you seeing a subsequent e-commerce lift with that? And can you give us some idea of what you're seeing how that all works, what the relationship is as you go into new markets?

就2個快的。在像拉斯維加斯這樣的新市場，您是否看到了隨後的電子商務的提升？您能否告訴我們您所看到的一切是如何運作的，以及當您進入新市場時它們之間的關係是什麼？

Yes. This is Mike. So in layman's terms, we see e-commerce sales go up as we increase the store count in the community. It's also though a component of why we open a store in a particular geography because we examined the direct-to-consumer sales in those ZIP codes, and we make it part of our algorithm and part of the proof of should we open a store. And so then when we actually open the store, we get an outsized portion of the sales in that ZIP code. And that allows us to continue to go down the path of being incremental and complementary to our major brand partners.

是的。這是邁克。因此，通俗地說，隨著我們增加社區中的商店數量，我們看到電子商務銷售額會上升。這也是我們在特定地理位置開設商店的一個組成部分，因為我們檢查了這些郵政編碼中的直接面向消費者的銷售情況，並且我們將其作為我們算法的一部分以及我們是否應該開設商店的證明的一部分。因此，當我們實際開設商店時，我們會在該郵政編碼中獲得很大一部分銷售額。這使我們能夠繼續走與我們的主要品牌合作夥伴漸進和互補的道路。

And then, Jared, to follow up on one of the other questions just directly. With the launch product, are your allocations up year over year?

然後，賈里德，直接跟進其他問題之一。隨著產品的推出，您的分配是否逐年增加？

Even he chuckled.

就連他也笑了。

He did chuckle. I'll answer it the same way I've answered, Sam. We're very confident in our order book and very confident in the support that we're getting from all of our key brands.

他確實笑了。我會像我回答過的那樣回答這個問題，薩姆。我們對我們的訂單非常有信心，對我們從所有主要品牌獲得的支持也非常有信心。

Right. I understand that. Are they up year-over-year?

正確的。我明白那個。它們同比增長嗎？

We'll let you infer that based on our commentary.

我們會讓您根據我們的評論來推斷。

So if we wrote, yes, your inventories up, your allocations are up year-over-year, that would be correct based on your commentary?

因此，如果我們寫道，是的，您的庫存增加了，您的分配同比增加了，根據您的評論，這是正確的嗎？

We're getting much more focus from our brand partners, yes.

是的，我們的品牌合作夥伴越來越關注我們。

Okay. Well, that was easy. You could just have that to begin with. Continued success.

好的。嗯，這很容易。你可以從這個開始。持續成功。

Our next question is from John Lawrence with Benchmark Company.

我們的下一個問題來自 Benchmark Company 的約翰·勞倫斯 (John Lawrence)。

Yes. Mike, when you look at in the history of Hibbett, college football has been important. How -- as we start that, especially on the SEC, a lot of teams are expected to do very well. How important is that season for the company at this point?

是的。邁克，當你回顧希貝特的歷史時，大學橄欖球一直很重要。如何——當我們開始時，尤其是在 SEC，很多球隊都有望表現出色。目前這個季節對公司來說有多重要？

It's -- all sports are important to us. It's part of the DNA of the company. It's part of the culture of sport -- that is part of our major brand partners, Ethos as well as ours. I'm surprised you didn't leave with Army, but we'll go with the SEC for just a moment. And yes, it's important in all the other conferences as well.

所有運動對我們都很重要。這是公司 DNA 的一部分。這是體育文化的一部分，也是我們主要品牌合作夥伴 Ethos 以及我們自己的一部分。我很驚訝你沒有隨陸軍離開，但我們暫時只隨美國證券交易委員會走。是的，這在所有其他會議中也很重要。

So college football, it's interesting because it's more of an event. It's less about the game, and it's more about a gathering of people celebrating the things that they have in common, whether it's a team or it's a sport or it's their family or it's just an opportunity to get together. Every time people gather they think about their personal appearance and they think about how they want to occur to their peers, their families and to each other and the self-pride that goes with it.

所以大學橄欖球很有趣，因為它更像是一項賽事。這與比賽無關，更多的是人們聚集在一起慶祝他們的共同點，無論是團隊、運動、家庭，還是只是一個聚在一起的機會。每次人們聚集在一起時，他們都會考慮自己的個人外表，考慮自己希望在同齡人、家人和彼此眼中是什麼樣子，以及隨之而來的自尊心。

And that's one of the things that's just a really interesting business model because it really is an expression of your lifestyle and what you wear, and it starts with the toe and it works upwards. And that's why we say toe-to-head so often. So football and any other thing that causes people to gather drive sales.

這是一個非常有趣的商業模式，因為它確實是你的生活方式和穿著的表達，它從腳趾開始，向上延伸。這就是為什麼我們經常說“針鋒相對”。因此，足球和任何其他引起人們聚集的事物都會推動銷售。

We have reached the end of the question-and-answer session. I would now like to turn the call back over to Mike Longo for closing comments.

我們的問答環節已經結束。我現在想將電話轉回邁克·朗戈以徵求結束意見。

Thank you so much. We appreciate everyone coming on today and taking your time to -- and spending it with us. We look forward to reporting Q3. Thanks.

太感謝了。我們感謝今天來到這裡並抽出時間與我們一起度過的每一個人。我們期待報告第三季度。謝謝。

This concludes today's conference. You may disconnect your lines at this time, and we thank you for your participation.

今天的會議到此結束。此時您可以斷開線路，我們感謝您的參與。