康寶萊 (HLF) 2024 Q4 法說會逐字稿

Good afternoon and thank you for joining the fourth-quarter and full-year 2024 earnings conference call for Herbalife Limited. (Operator Instructions) As a reminder, today's conference call is being recorded.

下午好，感謝您參加康寶萊有限公司 2024 年第四季和全年財報電話會議。（操作員指示）提醒一下，今天的電話會議正在錄音。

I would now like to turn the call over to Erin Banyas, Vice President and Head of Investor Relations, to begin today's call.

現在，我想將電話轉給副​​總裁兼投資者關係主管艾琳·巴尼亞斯（Erin Banyas），開始今天的電話會議。

Thank you, and good afternoon, good evening, everyone. Joining us today are Michael Johnson, our Chairman and Chief Executive Officer; Stephan Gratziani, our President; and John DeSimone, our Chief Financial Officer.

謝謝大家，下午好，晚上好。今天與我們一起參加的是我們的董事長兼執行長 Michael Johnson；我們的總裁 Stephan Gratziani；以及我們的財務長 John DeSimone。

Before we begin today's call, I would like to direct you to the cautionary statement regarding forward-looking statements on page 2 of our presentation and in our earnings release issued earlier today, which are both available under the Investor Relations section of our website. The presentation and earnings release include a discussion of some of the more important factors that could cause results to differ from those expressed in any forward-looking statement within the meaning of the Private Securities Litigation Reform Act of 1995. As is customary, the content of today's call and presentation will be governed by this language.

在我們開始今天的電話會議之前，我想先請您參閱我們簡報第 2 頁和今天早些時候發布的收益報告中有關前瞻性陳述的警告聲明，這些聲明均可在我們網站的「投資者關係」部分下找到。本報告和收益報告討論了可能導致結果與 1995 年私人證券訴訟改革法案所定義的前瞻性聲明中表達的結果不同的一些更重要的因素。按照慣例，今天的電話會議和演講的內容將遵循這一語言。

In addition, during today's call, we will be discussing certain non-GAAP financial measures. These non GAAP financial measures exclude certain unusual or non-recurring items that management believes impact the comparability of the periods referenced. Please refer to our earnings release and presentation materials for additional information regarding these non-GAAP financial measures and the reconciliations to the most directly comparable GAAP measure.

此外，在今天的電話會議中，我們將討論某些非公認會計準則財務指標。這些非公認會計準則財務指標不包括管理階層認為會影響參考期間可比較性的某些不尋常或非經常性項目。有關這些非 GAAP 財務指標以及與最直接可比較的 GAAP 指標的調節的更多信息，請參閱我們的收益報告和演示材料。

And with that, I will now turn the call over to Chairman and CEO, Michael Johnson.

現在，我將電話轉給董事長兼執行長邁克爾·約翰遜。

Thanks, Erin, and good afternoon, everyone, and thank you for joining us today. Today I have three pieces of good news to share with you. First, something I'm very excited about. The appointment of Stephan Gratziani, as the CEO of Herbalife effective May 1. Next, I'm equally excited to announce that Rob Levy will be stepping in the role of President of Worldwide Markets. And our third piece of good news is, our positive financial results and improving distributor trends.

謝謝，艾琳，大家下午好，謝謝您今天加入我們。今天我有三個好消息要跟大家分享。首先，有一件事讓我非常興奮。Stephan Gratziani 被任命為康寶萊首席執行官，該任命將於 5 月 1 日起生效。接下來，我同樣高興地宣布羅布·利維 (Rob Levy) 將擔任全球市場總裁。我們的第三個好消息是，我們的財務表現良好，經銷商趨勢不斷改善。

Let's start with the Q4 results, which were excellent. We delivered net sales growth on a constant currency basis for both the fourth quarter and the full year. On a reported basis, net sales for the fourth quarter were $1.2 billion, slightly below the fourth quarter of 2023. FX moved a lot during the fourth quarter, had FX rates in November and December remain consistent with the FX rates inherent in our fourth quarter guidance, net sales for the fourth quarter would have been up 1% year over year, and at the end of a very high end of guidance.

讓我們從第四季的業績開始吧，業績非常出色。以固定匯率計算，我們第四季和全年的淨銷售額均實現成長。據報道，第四季淨銷售額為 12 億美元，略低於 2023 年第四季。第四季度，外匯波動很大，如果 11 月和 12 月的外匯匯率與我們第四季度指引中的外匯匯率保持一致，第四季度的淨銷售額將同比增長 1%，並達到指引的高位。

In addition to our good sales results in the fourth quarter, we also delivered strong adjusted EBITDA results, which significantly exceeded guidance and prior year. During 2024, we also paid down $250 million in debt and reduced our total leverage ratio to 3.2 times from 3.9 times at the end of last year. John will go into more detail about the results and 2025 guidance later on the call.

除了第四季度良好的銷售業績外，我們還實現了強勁的調整後 EBITDA 業績，大大超過了預期和去年同期。2024年，我們也償還了2.5億美元的債務，並將總槓桿率從去年底的3.9倍降至3.2倍。約翰稍後將在電話會議上更詳細地介紹結果和 2025 年指導。

When I returned to Herbalife in October of 2022 for the third time as CEO, I promised the Board and myself to focus deeply and thoroughly on how we best go about succession and appoint the next CEO of this great company. Herbalife operates in over 90 markets as a public company in the multilevel direct selling business. We offer science-backed high-quality nutrition and skin care products and a business opportunity through Herbalife independent distributors that generated $5 billion in revenue and $635 million in adjusted EBITDA in 2024.

2022 年 10 月，當我第三次以執行長的身份重返康寶萊時，我向董事會和我自己承諾，將深入徹底地關注如何最好地進行繼任，並任命這家偉大公司的下一任執行長。康寶萊作為一家上市公司，在超過 90 個市場開展多層次直銷業務。我們透過康寶萊獨立經銷商提供科學支援的高品質營養和護膚產品以及商業機會，在 2024 年創造了 50 億美元的收入和 6.35 億美元的調整後 EBITDA。

We are the second-largest direct selling company in the world. The nature of our global business and distribution method creates enormous opportunities and unique challenges.

我們是全球第二大直銷公司。我們的全球業務和分銷方式的性質創造了巨大的機會和獨特的挑戰。

When I joined Herbalife in 2003 from Disney, I had zero experience in direct selling. My skill set was in retail, marketing, branding, and global business management. My learning curve here was steep. The early days as a private equity company afforded me the opportunity to adapt my skills to Herbalife's business.

2003 年，當我從迪士尼加入康寶萊時，我完全沒有直銷經驗。我的技能包括零售、行銷、品牌和全球業務管理。我的學習曲線在這裡非常陡峭。作為私募股權公司的早期經驗為我提供了將自己的技能運用到康寶萊業務的機會。

I made my share of mistakes, but I also set a vision for the brand, product, and distribution that saw us grow in sales and open new markets. The best distribution ideas came from those closest to the markets, our Herbalife independent distributors. Today's market has changed from where I started 22 years ago next month. Distributors then and now are key to our growth and success. Knowing what makes our distributors tick and setting in motion a vision and strategy to offer distributors and customers of Herbalife a health and wellness community and a platform to operate from is our next frontier.

我犯過一些錯誤，但我也為品牌、產品和分銷設定了願景，這使我們的銷售額成長並開拓了新市場。最好的分銷理念來自於最接近市場的公司，也就是我們的康寶萊獨立經銷商。今天的市場與我 22 年前下個月開始的市場相比已經發生了變化。無論是過去還是現在，經銷商都是我們成長和成功的關鍵。我們的下一個重點是了解我們的經銷商的動機，並製定願景和策略，為康寶萊的經銷商和客戶提供一個健康和保健社區以及一個營運平台。

Years ago, I entertained the idea of bringing the distributor into the executive team of Herbalife. Mark Hughes was the first Herbalife distributor and the first CEO of Herbalife. Mark's understanding of our distributors and business got Herbalife off the ground and running in 1980.

幾年前，我曾想過將經銷商納入康寶萊的管理團隊。馬克·休斯是康寶萊第一位經銷商，也是康寶萊第一任執行長。馬克對我們的經銷商和業務的了解使得康寶萊於 1980 年起步並開始營運。

Today, we are moving forward with our second distributor, should I say former distributor, as our new CEO, Stephan Gratziani. Stephan, as I said earlier, will formally begin his tenure as CEO on May 1. This journey to CEO began 33.5 years ago when Stephan started his Herbalife distributorship in France. His technical skills, his grit, his gut, in combination with his fraternal sensibilities saw him climb and create one of the largest Herbalife worldwide distributorships.

今天，我們迎來了第二位分銷商，我該說他是前分銷商，擔任我們的新任首席執行官，Stephan Gratziani。正如我之前所說，史蒂芬將於 5 月 1 日正式開始擔任執行長。33.5 年前，史蒂芬 (Stephan) 在法國創辦了康寶萊經銷店，從那時開始，他便開始了自己的執行長生涯。他的技術技能、他的勇氣、他的膽識以及他的兄弟情誼使他成功創建了康寶萊全球最大的經銷商之一。

After my unsuccessful attempt in 2011, we succeeded in bringing Stephan aboard as Chief Strategy Officer in 2023. The impact was immediate. Through his and his colleagues implementation, we reversed the post-COVID year's recruiting decline, reduced the decline in our top line, and alongside the work of John DeSimone and our finance team, greatly improved our income and solidified our balance sheet. As Stephan rose to president last year and worked with John and the team to define and soon implement a robust transformative digital strategy, the rise to CEO was a matter of time.

在我 2011 年的嘗試失敗之後，我們成功於 2023 年聘請 Stephan 擔任首席策略長。其影響是立竿見影的。透過他和他的同事的實施，我們扭轉了新冠疫情后招募人數的下滑趨勢，減少了營收的下滑，並與 John DeSimone 和我們財務團隊的工作一起，大大提高了我們的收入並鞏固了我們的資產負債表。去年，史蒂芬升任總裁，並與約翰及團隊共同製定並實施了強有力的變革性數位策略，升任執行長只是時間問題。

The Board and I carefully thought through this decision. Distributors and employees worldwide were important factors in our thinking. We know that we have the right CEO at the right time to build on our vision of being the world's premier health and wellness company, community, and platform. I'm super honored to welcome Stephan as Herbalife's next CEO.

董事會和我仔細考慮了這個決定。全球各地的經銷商和員工是我們考慮的重要因素。我們知道，我們在正確的時間找到了正確的首席執行官，以實現我們成為世界一流的健康和保健公司、社區和平台的願景。我非常榮幸地歡迎史蒂芬擔任康寶萊的下一任執行長。

I'm also honored to announce Rob Levy has accepted the new role of President of Worldwide Markets. Rob, a good friend, has been with Herbalife for 30 years and is at one time or another run every one of our regions. He's played a key role in opening more than 35 markets around the world. He's been responsible for numerous corporate functions, including our distributor facing businesses, sales and marketing, and distributor operation. Rob is respected in the industry and is committed to the success of our distributors and our employees.

我還很榮幸地宣布羅布·利維 (Rob Levy) 已接受全球市場總裁的新職位。我的好朋友羅布 (Rob) 已在康寶萊工作了 30 年，並曾負責管理我們所有的地區。他在開拓全球 35 多個市場的過程中發揮了關鍵作用。他負責多項公司職能，包括以經銷商為導向的業務、銷售和行銷以及經銷商營運。Rob 在業界備受尊敬，並致力於我們的經銷商和員工的成功。

He's been an integral part of our leadership team and a trusted advisor to Stephan and to me. He's known and respected by distributors around the world. And just like Stephan, he's the right person at the right time, and there's no one better prepared and more capable of working alongside Stephan to lead Herbalife into the future. I’m personally excited to continue my involvement with Herbalife and looking forward to transitioning the role as Executive Chairman and continue my role on the Board of Directors where I will lead the Board to support our executive team and focus on shareholder value.

他是我們領導團隊不可或缺的一部分，也是史蒂芬和我值得信賴的顧問。他為世界各地的經銷商所熟知和尊敬。正如史蒂芬一樣，他是在正確的時間出現的正確的人選，沒有人比他更有準備、更有能力與史蒂芬一起帶領康寶萊走向未來。我個人很高興能夠繼續參與康寶萊的工作，並期待轉換執行主席的職務並繼續擔任董事會成員，我將帶領董事會支持我們的執行團隊並專注於股東價值。

As I mentioned earlier, our company founder, Mark Hughes, was a distributor who had a vision to improve lives of people around the world. This month marks our 45th anniversary, and it's only fitting we're announcing the appointment of a former distributor as our new CEO and a President who worked directly with Mark. Our company is in much better position than it's been in a long time, and under Stephan, Rob, and our team's leadership, we have an incredibly bright future.

正如我之前提到的，我們公司的創辦人馬克休斯是一位經銷商，他的願景是改善世界各地人們的生活。本月是我們成立 45 週年，我們宣布任命一位前經銷商為我們的新任執行長和一位與馬克直接共事的總裁，這是再合適不過了。我們的公司現在的狀況比很長一段時間以來都要好得多，在 Stephan、Rob 和我們團隊的領導下，我們的未來無比光明。

So now, let me turn it over to our incoming CEO. Stephan, take it away.

現在，讓我把權力交給我們新任執行長。史蒂芬，把它拿走。

Thank you, Michael. It's a privilege and an honor to be stepping into the role of CEO, and I'm excited to continue our partnership as you transition into the role of Executive Chairman. Working alongside you, Rob, and our incredible team of executives, our distributor leaders, and employees has reinforced what I already knew as a distributor. The passion, dedication, and strength of our Herbalife company and community is unmatched.

謝謝你，麥可。能夠擔任執行長一職是我的榮幸，我很高興在您擔任執行主席期間繼續與您合作。羅布，與您以及我們出色的高階主管團隊、經銷商領導和員工一起工作強化了我作為經銷商所掌握的知識。我們康寶萊公司和社區的熱情、奉獻精神和實力是無與倫比的。

As the world's largest publicly traded direct sales nutrition company, the impact we have made in the world over the last 45 years is truly incredible. Our scale and reach globally puts us at a unique position for the future, and that future is to become one of the world's most important health and wellness platforms.

作為世界上最大的上市直銷營養品公司，我們在過去 45 年對世界產生的影響確實令人難以置信。我們的全球規模和影響力使我們在未來佔據獨特的地位，而這個未來將成為世界上最重要的健康和保健平台之一。

But before we talk more about that, let's take a look at the fourth-quarter and full-year distributor trends. The initiatives we launched in 2024 to rebuild our distributor base and activity levels are showing positive results.

但在我們進一步討論這個問題之前，讓我們先來看看第四季和全年經銷商的趨勢。我們在 2024 年推出的重建經銷商基礎和活動水準的措施正在取得積極成果。

As we look at slide 6, our positive trajectory continued with the key takeaways being a continuation of those I highlighted last quarter. With the exception of China, new distributor growth continued across all markets. Starting with the chart on the left, you can see new distributor growth was up 22% year over year in Q4, our third consecutive quarter of growth and up 11% for the full year compared to 2023.

當我們看幻燈片 6 時，我們的積極軌跡仍在繼續，關鍵要點是我上個季度強調的要點的延續。除中國外，所有市場的新經銷商均持續成長。從左邊的圖表開始，您可以看到第四季度新經銷商數量同比增長 22%，這是我們連續第三個季度實現增長，與 2023 年相比，全年增長 11%。

Moving to the chart on the top right, you can see that all levels of our distributor leadership are active in bringing in new distributors, especially at the President team level as well as the Mill team and GET team levels. These individuals typically have the longest tenure, have built the largest organizations and know-how best to support new distributors. Again, we are very encouraged by the level of engagement at all levels in the marketing plan.

移至右上角的圖表，您可以看到我們各級經銷商領導層都在積極引進新經銷商，尤其是總裁團隊層級以及 Mill 團隊和 GET 團隊層級。這些人通常任職時間最長，建立了最大的組織，並且最了解如何支援新的經銷商。再次，我們對行銷計劃各個層面的參與程度感到非常鼓舞。

Moving to the chart at the bottom of the slide, you see the year-over-year quarterly change in the total number of active non-sales leaders, which also includes members and markets without separate distributor and preferred customer programs. This summary is based on the regional supplemental metrics posted under the investor relations section of our website.

移至幻燈片底部的圖表，您會看到活躍非銷售領導者總數的同比季度變化，其中還包括沒有單獨分銷商和優先客戶計劃的成員和市場。本摘要基於我們網站投資者關係部分下發布的區域補充指標。

As you can see, Q4 marked our third consecutive quarter of year-over-year growth in our worldwide total active non-sales leaders, up double-digits following three years of quarterly declines. I want to reiterate what we have said in the past, that growth in active non-sales leaders is the foundation that leads to new sales leader growth, then ultimately sales volume growth.

如您所見，第四季度是我們全球活躍非銷售領導者總數連續第三個季度實現同比增長，在連續三年季度下滑之後，實現了兩位數的增長。我想重申我們過去說過的話，活躍的非銷售領導者的成長是新銷售領導者成長的基礎，最終實現銷售量成長。

And in the fourth quarter, we achieved the next milestone with year-over-year growth in the number of worldwide average active sales leaders following 10 quarters of year-over-year declines. In addition, in both the fourth quarter and full year, we achieved net sales growth on a constant currency basis. And as you've seen in the guidance we provided today, we are projecting net sales growth on a constant currency basis in 2025.

在經歷了 10 個季度的同比下滑之後，第四季度我們實現了下一個里程碑，全球平均活躍銷售領導者數量同比增長。此外，無論在第四季或全年，以固定匯率計算，我們都實現了淨銷售額成長。正如您在我們今天提供的指引中所看到的，我們預計 2025 年的淨銷售額將以固定匯率成長。

Things are happening according to plan. Our business is geographically diverse, each region with its own unique opportunities and challenges, which we are addressing with market optimization strategies, like we did in Latin America. Some regions are further ahead in the plan, while others are in the beginning phases.

事情正按照計劃進行。我們的業務在地理上是多樣化的，每個地區都有自己獨特的機會和挑戰，我們正在透過市場優化策略來應對這些挑戰，就像我們在拉丁美洲所做的那樣。一些地區已經率先實施了該計劃，而其他地區則還處於起步階段。

Quarter by quarter, we are making steady progress as we said we would. These positive trends are primarily driven by the multiple initiatives we've put into place since the beginning of 2024, including expanding and elevating our distributor training support and motivation through programs like the Herbalife Premier League, Diamond Development Mastermind, DMO Masterclasses, and leadership training sessions with Eric Worre. We believe these initiatives have not only contributed to increased recruiting, but also supported an increase in sales leader retention which grew from 68.3% last year to 70.3% this year.

正如我們所說的那樣，每個季度我們都在穩步取得進展。這些積極趨勢主要得益於我們自 2024 年初以來實施的多項舉措，包括透過康寶萊超級聯賽、鑽石發展策劃者、DMO 大師班和與 Eric Worre 合作的領導力培訓課程等計劃擴大和提升我們的分銷商培訓支援和積極性。我們相信這些措施不僅有助於增加招聘，而且還支持提高銷售領導者的保留率，從去年的 68.3% 增長到今年的 70.3%。

As you can see, we're making progress in delivering on what we said we would do. These initiatives are yielding positive results, but we're not stopping here. We understand there's a broader question about the relevance of our business model and its future in the rapidly changing world we live in.

正如您所看到的，我們在履行承諾方面正在取得進展。這些舉措正在取得正面成果，但我們不會止步於此。我們明白，在我們所處的這個快速變化的世界中，我們的商業模式及其未來的相關性有一個更廣泛的問題。

As a distributor who built and grew an international business for 32 years, I had to personally navigate and lead my organization through changes in technology, business models, changing consumer trends, and industry competition. Since joining the company as an executive in August of 2023, we've never been more focused on how to leverage industry disruptors from how and where consumers want to purchase products in today's world to an ever-evolving digital and gig economy, to emerging health and wellness products, trends and services, including GLP-1s. And what I know is that in addition to all of the initiatives we've rolled out, there's a lot happening behind the scenes to ensure we leverage and build upon these disruptors.

作為一個建立和發展國際業務 32 年的經銷商，我必須親自引導和領導我的組織應對技術、商業模式、不斷變化的消費趨勢和行業競爭的變化。自 2023 年 8 月加入公司擔任高階主管以來，我們從未像現在這樣專注於如何利用產業顛覆者，從當今世界消費者想要如何和在哪裡購買產品，到不斷發展的數位和零工經濟，再到新興的健康和保健產品、趨勢和服務，包括 GLP-1。我知道，除了我們已經推出的所有舉措之外，幕後還開展了許多工作，以確保我們能夠利用並鞏固這些顛覆性因素。

At the beginning of my remarks, I said Herbalife is destined to become one of the world's most important health and wellness platforms. As we align the entire company and our distributors around this vision, you will start to see this expressed more and more through our digital tech stack, our products, and our services.

我在演講一開始就說過，康寶萊注定成為全球最重要的健康與保健平台之一。當我們讓整個公司和分銷商圍繞這一願景進行協調時，您將開始看到這一願景越來越多地透過我們的數位技術堆疊、我們的產品和服務得到體現。

There are many things that differentiate Herbalife from other companies in the direct selling industry. It's not only our size and reach or that we have approximately 65,000 physical locations around the world. The big differentiator is the fact that we have millions of distributors whose passion is to make an impact on the health and well-being of their families, customers, and communities.

康寶萊與直銷業的其他公司有很多不同之處。我們的規模和影響力不僅在於此，還在於我們在全球擁有約 65,000 個實體店。最大的區別在於，我們擁有數百萬分銷商，他們熱衷於為家人、客戶和社區的健康和福祉做出貢獻。

Our executive team's mission is to make sure we build the platform that enables them to make that impact, so they can do it at a scale that is unprecedented. Not only in the direct selling industry, but in the health and wellness industry overall.

我們執行團隊的使命是確保我們所建造的平台使他們能夠產生這種影響，以便他們能夠以前所未有的規模做到這一點。這不僅在直銷業如此，而且在整個健康和保健行業也是如此。

I want to close by saying my years as a distributor were nothing short of life changing. It was Herbalife that gave me an entrepreneurial opportunity to build a life I never imagine was possible. It's one of the reasons I do what I do every day, to make sure others have the same opportunity to find Herbalife, improve their health and wellness, have a thriving, successful business, and live their best lives.

最後我想說，身為經銷商的這些年確實改變了我的生活。康寶萊給了我創業的機會，讓我可以創造一種我從未想過的生活。這也是我每天做這些事情的原因之一，確保其他人也有同樣的機會發現康寶萊，改善他們的健康和保健，擁有蓬勃發展的成功事業，過上最好的生活。

As CEO, I'll continue to focus our efforts on realizing our vision of becoming the world's premier health and wellness company, community, and platform. Our belief in our business model and the value, service, and opportunity it provides has never been stronger.

作為首席執行官，我將繼續專注於實現我們的願景，即成為世界一流的健康和保健公司、社區和平台。我們對我們的商業模式以及它所提供的價值、服務和機會的信念從未如此堅定。

I'll turn it over to John DeSimone, who will now cover our financial results.

我將把時間交給 John DeSimone，他現在將負責我們的財務表現。

Thank you, Stephan. I'll begin with our Q4 financial highlights on slide 8. Please refer to our presentation appendix for our full year financial highlights. We are very pleased with our Q4 2024 results. Both net sales and adjusted EBITDA were strong and would have been even stronger if not for the movement in currencies over the last few months.

謝謝你，史蒂芬。我將從第 8 頁的幻燈片開始介紹我們的第四季財務亮點。請參閱我們的介紹附錄，以了解我們的全年財務亮點。我們對 2024 年第四季的業績非常滿意。淨銷售額和調整後的 EBITDA 都很強勁，如果不是過去幾個月的貨幣變動，它們的業績會更加強勁。

Net sales were $1.2 billion, down 0.6% versus Q4 of last year. However, on a constant currency basis, net sales were up 2.7% versus Q4 of 2023 and further demonstrating the strength of our fourth-quarter results. When we provided our guidance at the end of October, our FX assumptions were based on the average daily exchange rates for the first two weeks of October 2024. Had FX rates in November and December remain consistent with the rates inherit in our Q4 guidance, net sales for the fourth quarter would have been approximately $1.23 billion or a 1% increase over Q4 of 2023, which would have been at the very high end of our guidance range of down 3% to up 1% year over year.

淨銷售額為 12 億美元，較去年第四季下降 0.6%。然而，以固定匯率計算，淨銷售額較 2023 年第四季成長 2.7%，進一步證明了我們第四季業績的強勁。當我們在 10 月底提供指引時，我們的外匯假設是基於 2024 年 10 月前兩週的平均每日匯率。如果 11 月和 12 月的外匯匯率與我們第四季度指引中的匯率保持一致，則第四季度的淨銷售額將約為 12.3 億美元，比 2023 年第四季度增長 1%，這將處於我們指引範圍的最高端，即同比下降 3% 至增長 1%。

Currency movements, especially the movement over the past few months is a theme that carries into our 2025 outlook, which I'll talk more about a little later. Full-year 2024 net sales were $5 billion, down 1.4% year over year on a reported basis. On a constant currency basis, net sales were up 1.2% for the year.

貨幣走勢，尤其是過去幾個月的走勢，是我們 2025 年展望的一個主題，稍後我將詳細討論。2024 年全年淨銷售額為 50 億美元，較去年同期下降 1.4%。以固定匯率計算，全年淨銷售額成長了 1.2%。

Our net sales are relatively stable, and we've had growth in both the fourth quarter and full year on a constant currency basis, and we remain focused on driving sustainable net sales growth.

我們的淨銷售額相對穩定，以固定匯率計算，第四季度和全年均實現成長，並且我們仍專注於推動可持續的淨銷售額成長。

Moving to adjusted EBITDA. Our fourth-quarter adjusted EBITDA was $150 million and above our guidance range of $105 million to $135 million. Adjusted EBITDA margin was 12.4%, up 340 basis points versus Q4 of 2023, primarily driven by our restructuring and other cost savings initiatives implemented in 2024.

轉向調整後的 EBITDA。我們第四季的調整後 EBITDA 為 1.5 億美元，高於我們的預期範圍 1.05 億至 1.35 億美元。調整後的 EBITDA 利潤率為 12.4%，較 2023 年第四季上升 340 個基點，主要得益於我們 2024 年實施的重組和其他成本節約措施。

Full-year adjusted EBITDA was $635 million and significantly exceeded last year's adjusted EBITDA of $571 million. Additionally, our adjusted EBITDA margin of 12.7% was up 140 basis points versus 2023. CapEx for the fourth quarter was $26 million at the low end of our guidance range of $25 million to $45 million, and capitalized SaaS implementation costs were approximately $3 million in the quarter.

全年調整後 EBITDA 為 6.35 億美元，大幅超過去年調整後 EBITDA 5.71 億美元。此外，我們的調整後 EBITDA 利潤率為 12.7%，較 2023 年上升了 140 個基點。第四季的資本支出為 2,600 萬美元，處於我們 2,500 萬美元至 4,500 萬美元指引範圍的低端，本季資本化的 SaaS 實施成本約為 300 萬美元。

Q4 gross profit margin improved to 77.8%, up 150 basis points compared to the fourth quarter of last year. The increase in gross profit margin was primarily due to price actions we took throughout the year, which drove approximately 80 basis points of benefit along with approximately 30 basis points of favorability from reduced input costs, mainly related to manufacturing efficiencies and an additional 30 basis points from the benefit of lower inventory write downs.

第四季毛利率提升至77.8%，較去年第四季上升150個基點。毛利率的增加主要歸因於我們全年採取的價格行動，這帶來了約 80 個基點的收益以及約 30 個基點的投入成本降低帶來的有利影響，這主要與製造效率提高有關，另外還有 30 個基點來自庫存減記減少帶來的好處。

Fourth-quarter net income of $178 million includes $147 million of noncash net deferred income tax benefits related to changes we made to our corporate entity structure during the fourth quarter, which also included intra entity transfers of intellectual property to one of our European subsidiaries. These changes were made as part of our ongoing business transformation initiatives and to facilitate efficient internal cash movement. These noncash net deferred income tax benefits are excluded from our adjusted results. And going forward in future periods, the net non-cash deferred tax effects related to this benefit will also be excluded from the adjusted results.

第四季淨收入 1.78 億美元，其中包括 1.47 億美元的非現金淨遞延所得稅收益，該收益與我們在第四季度對公司實體結構所做的變更有關，其中還包括向我們的一家歐洲子公司進行實體內部智慧財產權轉讓。這些變化是我們正在進行的業務轉型計劃的一部分，旨在促進高效的內部現金流動。這些非現金淨遞延所得稅收益不包括在我們的調整後結果中。並且在未來期間，與該福利相關的淨非現金遞延所得稅影響也將從調整後的結果中排除。

Q4 diluted EPS of $1.74 includes $1.44 favorable impact related to the noncash net deferred income tax benefit recognized in the quarter. Adjusted diluted EPS of $0.36 includes a $0.07 FX headwind versus Q4 of 2023.

第四季度稀釋每股收益為 1.74 美元，其中包括與本季確認的非現金淨遞延所得稅收益相關的 1.44 美元的有利影響。調整後稀釋每股收益為 0.36 美元，與 2023 年第四季相比，包括 0.07 美元的外匯不利因素。

Operating cash flows for the quarter were $70 million, down approximately $27 million from the fourth quarter of 2023, reflecting elevated interest payments in 2024, primarily driven by the first semiannual interest payment on the 2029 12.25% note in October.

本季經營現金流為 7,000 萬美元，較 2023 年第四季減少約 2,700 萬美元，反映出 2024 年利息支付增加，主要由於 10 月份 2029 年 12.25% 票據的第一次半年利息支付。

In addition, last year's fourth-quarter operating cash flow included a $30 million refund received in connection with the Korean custom duty settlement. We ended the year with our revolving credit facility fully undrawn.

此外，去年第四季的營運現金流量還包括與韓國關稅結算相關的3,000萬美元退款。截至年底，我們的循環信貸額度尚未全部使用。

Credit agreement EBITDA for the fourth quarter was $164 million, and we further reduced our total leverage ratio to 3.2 times as of December 31 from 3.9 times at the end of December 2023. For additional details regarding the adjustments between adjusted EBITDA and credit agreement EBITDA as well as the calculation of our total leverage ratio, please refer to our presentation appendix in the earnings press release.

第四季的信貸協議 EBITDA 為 1.64 億美元，我們進一步將總槓桿率從 2023 年 12 月底的 3.9 倍降低至截至 12 月 31 日的 3.2 倍。有關調整後 EBITDA 與信貸協議 EBITDA 之間的調整以及我們的總槓桿率計算的更多詳細信息，請參閱收益新聞稿中的介紹附錄。

Turning to slide 9. We see the drivers of our fourth quarter net sales performance year-over-year. On a reported basis, fourth quarter net sales were down 0.6% year over year while up 2.7% on a constant currency basis. Overall volumes were down 0.7% year over year, which was more than offset by approximately $44 million of pricing benefits. FX was an approximately $40 million headwind year-over-year or 330 basis points. And as I highlighted earlier, the surge in the US dollar in November and December drove an approximately 160-basis-point FX headwind between our reported net sales and our expectations communicated in October for the quarter.

翻到第 9 張投影片。我們看到了第四季淨銷售額年增的驅動因素。據報道，第四季淨銷售額年減 0.6%，以固定匯率計算則成長 2.7%。整體銷量年減 0.7%，但約 4,400 萬美元的定價收益抵消了下降幅度。與去年同期相比，外匯損失約 4,000 萬美元，或 330 個基點。正如我之前強調的那樣，11 月和 12 月美元飆升，導致我們報告的淨銷售額與 10 月公佈的本季度預期之間出現了約 160 個基點的外匯阻力。

Turning to slide 10. We have the regional net sales results for the fourth quarter. Latin America, EMEA, and Asia Pacific all reported net sales growth in the quarter on both a reported and local currency basis.

翻到第 10 張投影片。我們有第四季度的區域淨銷售額結果。拉丁美洲、歐洲、中東和非洲地區以及亞太地區本季均報告淨銷售額實現成長，無論是按報告貨幣計算還是按當地貨幣計算。

In Latin America, net sales were up 2% on a reported basis and up 15% on a local currency basis. Favorable year-over-year net pricing and increased volumes were partially offset by unfavorable FX headwinds, primarily due to the Mexican peso and the continued devaluation of the Argentine peso.

在拉丁美洲，淨銷售額按報告基礎計算增長了 2%，以當地貨幣計算增長了 15%。有利的同比淨定價和增長的交易量被不利的外匯逆風部分抵消，這主要是由於墨西哥比索和阿根廷比索的持續貶值。

Mexico's net sales were up 2% year over year on a reported basis and up 16% on a local currency basis, driven by higher volumes in 2024 and a 5.25% price increase in March of 2024. The improvement in volumes is partially due to a softer comp vs 2023 as a result of the importation delays we experienced in Mexico in the second half of last year due to the government delaying timely approval of importation permits. We believe this drove approximately $11 million of lower net sales in Q4 of 2023.

按報告計算，墨西哥的淨銷售額年增 2%，以當地貨幣計算增長 16%，這得益於 2024 年銷量增加以及 2024 年 3 月價格上漲 5.25%。銷售改善的部分原因是，由於去年下半年墨西哥政府推遲及時批准進口許可證，導致進口延遲，從而導致 2023 年的同比銷售下降。我們認為這導致 2023 年第四季淨銷售額下降約 1,100 萬美元。

EMEA net sales were up 3% year over year on a reported basis and local currency net sales up 6%. Favorable year-over-year pricing and sales mix were partially offset by volume declines and unfavorable FX headwinds. Year-over-year results were generally mixed across the many markets in the region.

以報告基礎計算，EMEA 地區的淨銷售額年增 3%，以當地貨幣計算的淨銷售額成長 6%。有利的同比定價和銷售組合被銷售下降和不利的外匯逆風部分抵消。該地區多個市場的年比業績普遍好壞參半。

In Asia Pacific, net sales were up 1% on a reported basis and up 3% on a local currency basis. Favorable year-over-year pricing was partially offset by volume and unfavorable FX. In India, net sales were up 3% on a reported basis and up 4% on a local currency basis primarily due to favorable pricing on nearly flat volumes year over year. In November 2024, the market implemented a 3% price increase. In North America, while net sales were down 3% year over year, this is the third consecutive quarter we have seen an improvement in the quarterly year-over-year trends.

在亞太地區，淨銷售額按報告基礎計算增長了 1%，以當地貨幣計算增長了 3%。有利的同比定價被銷售和不利的外匯因素部分抵消。在印度，淨銷售額按報告基礎計算增長 3%，以當地貨幣計算增長 4%，這主要得益於與去年同期相比銷量幾乎持平且定價優惠。2024年11月，市場實施3%的漲價。在北美，雖然淨銷售額年減 3%，但這是我們連續第三個季度看到季度年比趨勢有所改善。

For the fourth quarter, favorable year-over-year pricing in the region was more than offset by lower volumes. Volume points were down 4% year over year or down 6% excluding the 10% volume point adjustment we implemented in mid-December 2024, on most products in the US and Puerto Rico for strategic reasons. Because of the recent changes in volume points in some of our markets and the possibility for additional changes in other markets, volume point metric isn't as useful as it once was.

就第四季而言，該地區較去年同期優惠的定價被銷售下降所抵銷。由於戰略原因，美國和波多黎各的大多數產品的銷售點同比下降了 4%，若不包括我們在 2024 年 12 月中旬實施的 10% 銷售點調整，則下降了 6%。由於我們某些市場中的交易量點最近發生了變化，並且其他市場也有可能出現其他變化，因此交易量點指標不再像以前那麼有用。

In future periods, it is likely we will stop reporting volume points and focus primarily on net sales. However, we will continue to provide the impact that volume changes have on our year-over-year net sales comparisons. China net sales decreased 20% year over year on both the reported and local currency basis driven by volume declines.

在未來的時期，我們可能會停止報告銷售點並主要關注淨銷售額。不過，我們將持續提供銷售變動對我們年比淨銷售額比較的影響。由於銷量下降，中國淨銷售額按報告貨幣和當地貨幣計算同比下降 20%。

Moving to slide 11. We see the drivers of the $41 million or 38% year-over-year increase in fourth-quarter adjusted EBITDA. Q4 adjusted EBITDA was strong at $150 million with a margin at 12.4%, up 340 basis points year over year. Looking at the bridge, the majority of the margin improvement can be seen in the benefit from price increases, manufacturing efficiencies, and a number of other cost savings initiatives implemented during 2024. This is partially offset by lower volumes, unfavorable sales mix, and year-over-year FX movements which drove an approximately $12 million reduction in adjusted EBITDA year over year.

移至第 11 張投影片。我們看到了第四季度調整後 EBITDA 年成長 4,100 萬美元或 38% 的驅動因素。第四季調整後的 EBITDA 強勁達到 1.5 億美元，利潤率為 12.4%，較去年同期成長 340 個基點。從長遠來看，利潤率的提高主要得益於價格上漲、製造效率提高以及 2024 年實施的一系列其他成本節約措施。但銷量下降、銷售組合不利以及同比外匯變動部分抵消了這一影響，導致調整後 EBITDA 年比減少約 1,200 萬美元。

Moving to slide 12. I'll provide an update on our capital structure. During 2024, we reduced our debt by nearly $250 million. As of December 31, our revolving credit facility remained fully undrawn. As I stated earlier, we further reduced our total leverage ratio to 3.2 times as of December 31, down from 3.9 times as of December 31, 2023, and we believe we are on track to reduce our total leverage ratio to 3 times by the end of 2025.

移至投影片 12。我將提供有關我們的資本結構的最新資訊。2024年，我們減少了近2.5億美元的債務。截至 12 月 31 日，我們的循環信用額度仍未全部提領。正如我之前所說，我們進一步將總槓桿率從 2023 年 12 月 31 日的 3.9 倍降低至 12 月 31 日的 3.2 倍，並且我們相信我們預計在 2025 年底前將總槓桿率降低至 3 倍。

As we communicated on our Q2 earnings call of last year, it is our intent to pay down $1 billion of debt by the end of 2028. At that time, the time I made that comment, our principal amount of debt outstanding was $2.4 billion. Therefore, we have a target to reduce our debt to $1.4 billion by the end of 2028. We made steady progress on that objective in 2024, and we further reduced our debt since year end.

正如我們在去年第二季財報電話會議上所說的那樣，我們計劃在 2028 年底前償還 10 億美元的債務。當時，也就是我發表上述評論的時候，我們的未償還債務本金為 24 億美元。因此，我們的目標是到 2028 年底將債務減少到 14 億美元。我們在 2024 年朝著這一目標取得了穩步進展，並且自年底以來我們進一步減少了債務。

As we indicated as part of our plan on our third-quarter earnings call, last week, we redeemed $65 million of the 2025 notes for an aggregate purchase price of approximately $67 million, which included $2 million of accrued and unpaid interest, leaving a balance of $197 million outstanding on the 2025 notes which we plan to repay at or prior to the September 2025 maturity.

正如我們在第三季收益電話會議上作為計劃的一部分所指出的那樣，上週，我們贖回了 6500 萬美元的 2025 年票據，總購買價約為 6700 萬美元，其中包括 200 萬美元的應計未付利息，2025 年票據的未償還餘額為 1.97 月到期時在 1.97 月到期時償還 2025 月。

Moving to slide 13. We will review our outlook for the first-quarter and full-year 2025. Given where FX rates are trending today, we expect FX to be a significant headwind for us in 2025, a much greater headwind than it would have been even a quarter ago. Therefore, in addition to our usual net sales and adjusted EBITDA guidance, which uses the average exchange rates for the first three weeks of January 2025, we are also providing net sales and adjusted EBITDA guidance at constant currency for the respective periods.

移至幻燈片 13。我們將回顧 2025 年第一季和全年的展望。考慮到目前外匯匯率的趨勢，我們預期外匯將成為我們在 2025 年面臨的重大阻力，而阻力會比一個季度前更大。因此，除了我們通常的淨銷售額和調整後的 EBITDA 指引（使用 2025 年 1 月前三週的平均匯率）之外，我們還提供相應期間按固定匯率計算的淨銷售額和調整後的 EBITDA 指引。

For the first quarter, we expect net sales to be in a range of down 1.5% to down 5.5% year over year, which includes an approximate 550-basis-point headwind from currency. On a constant currency basis, we expect net sales to be flat to up 4% year over year in Q1.

我們預計第一季淨銷售額將年減 1.5% 至 5.5%，其中包括約 550 個基點的貨幣逆風。以固定匯率計算，我們預計第一季淨銷售額將與去年同期持平或成長 4%。

We expect adjusted EBITDA to be in the range of $140 million to $150 million while in the range of $158 million to $168 million on a constant currency basis. Our planned capital expenditures for the first quarter are in the range of $30 million to $40 million. And while we do not provide cash flow guidance, keep in mind the first quarter tends to be the lowest cash flow quarter of the year since it is when we pay the Mark Hughes annual distributor bonuses as well as employee bonuses.

我們預計調整後的 EBITDA 在 1.4 億至 1.5 億美元之間，以固定匯率計算則在 1.58 億至 1.68 億美元之間。我們第一季的計畫資本支出在 3,000 萬美元至 4,000 萬美元之間。雖然我們不提供現金流指導，但請記住，第一季往往是一年中現金流最低的季度，因為這是我們向馬克休斯支付年度經銷商獎金以及員工獎金的時候。

Moving to our full-year guidance. Currency has an approximately $200 million negative impact to our 2025 net sales and approximately $70 million negative impact to our 2025 adjusted EBITDA. We expect full-year net sales to be in the range of down 3% to up 3% year over year, whereas on a constant currency basis, we expect net sales to be up 1% to up 7% year over year.

轉向我們的全年指導。貨幣對我們 2025 年的淨銷售額產生約 2 億美元的負面影響，對我們 2025 年的調整後 EBITDA 產生約 7000 萬美元的負面影響。我們預計全年淨銷售額將年減 3% 至成長 3% 之間，而以固定匯率計算，我們預計淨銷售額將年增 1% 至 7%。

We expect adjusted EBITDA to be in the range of $600 million to $640 million while in the range of $670 million to $710 million on a constant currency basis. Capital expenditures for the year are expected to be in the range of $100 million to $130 million. We expect full-year capitalized SaaS implementation costs to be in the range of $25 million to $30 million, which is incremental to our planned CapEx.

我們預計調整後的 EBITDA 在 6 億至 6.4 億美元之間，以固定匯率計算則在 6.7 億至 7.1 億美元之間。預計全年資本支出在1億至1.3億美元之間。我們預計全年資本化 SaaS 實施成本將在 2,500 萬美元至 3,000 萬美元之間，這將增加我們的計畫資本支出。

D&A, including amortization of SaaS implementation costs, is expected to be in the range of $140 million to $150 million. For the full-year 2025, we expect our adjusted effective tax rate to be approximately 30%.

D&A（包括 SaaS 實施成本的攤銷）預計在 1.4 億美元至 1.5 億美元之間。就 2025 年全年而言，我們預計調整後的有效稅率約為 30%。

Over the past several weeks and months, there's been a lot of discussion and headlines related to China, Canada, and Mexico tariffs. With respect to these three markets, our potential exposure is not material with the exception of potential retaliatory tariffs from Mexico and if the tariffs would be applicable to our products. With approximately six months of inventory already within the borders of Mexico, any meaningful potential exposure, if any, would be in the later part of the year. For that reason and the lack of clarity on what if any retaliatory tariffs might be implemented, we have excluded any potential impact from guidance.

在過去幾週和幾個月裡，有很多關於中國、加拿大和墨西哥關稅的討論和頭條新聞。就這三個市場而言，除了墨西哥可能採取的報復性關稅以及該關稅是否適用於我們的產品外，我們的潛在風險並不重大。由於墨西哥境內已有大約六個月的庫存，因此任何有意義的潛在暴露（如果有的話）都將在今年下半年發生。由於這個原因，以及對於是否會實施報復性關稅缺乏明確性，我們已經將任何潛在影響排除在指導範圍之外。

Before we move to Q&A, I want to close my opening remarks with the following point. Our results are very strong and got increasingly stronger during 2024. Since Q1, our distributor metrics have been improving consistently and in a logical manner.

在我們進入問答環節之前，我想用以下觀點來結束我的開場白。我們的業績非常強勁，並且在 2024 年變得越來越強勁。自第一季以來，我們的經銷商指標一直持續、合理地改善。

First, from growth in new distributors to then growth in active non-sales leaders to now growth in sales leaders. Our sales leader retention rate grew from 68.3% last year to 70.3% this year and these metrics have begun to rebuild our foundation and are expected to drive meaningful constant currency net sales growth in 2025 as we have been indicating it would during our previous earnings calls.

首先，從新經銷商的成長，到活躍非銷售領導者的成長，再到現在的銷售領導者的成長。我們的銷售主管保留率從去年的 68.3% 增長到今年的 70.3%，這些指標已經開始重建我們的基礎，預計將在 2025 年推動有意義的恆定貨幣淨銷售額增長，正如我們在之前的財報電話會議上所表明的那樣。

Our adjusted EBITDA performance significantly improved in 2024 from approximately $570 million in 2023 to $635 million. Our adjusted EBITDA margin also significantly improved from 11.3% in 2023 to 12.7% in 2024 despite a currency headwind. And that strong performance continues into 2025.

我們的調整後 EBITDA 業績在 2024 年顯著改善，從 2023 年的約 5.7 億美元增至 6.35 億美元。儘管面臨貨幣逆風，我們的調整後 EBITDA 利潤率也從 2023 年的 11.3% 顯著提高至 2024 年的 12.7%。這種強勁的表現將持續到 2025 年。

On a constant currency basis, adjusted EBITDA margin would exceed 13% in our guidance. Even with a significant currency headwind in 2025, our expected adjusted EBITDA margins are forecasted to be in the mid-12% range. Our cash flow generation has been strong. We started 2024 with a total leverage ratio of 3.9 times and have reduced it to 3.2 times and reduced total debt by $250 million in 2024.

以固定匯率計算，調整後的 EBITDA 利潤率將超過我們預期的 13%。即使 2025 年面臨巨大的貨幣逆風，我們預計調整後的 EBITDA 利潤率仍將達到 12% 左右。我們的現金流產生強勁。2024 年初，我們的總槓桿率為 3.9 倍，到 2024 年，我們已將其降至 3.2 倍，並將總債務減少了 2.5 億美元。

With all that we accomplished in 2024, from net sales performance trending in the right direction and positive on a constant currency basis, to meaningful EBITDA improvements, significant debt reduction, and strong and improving distributor metrics, these accomplishments are not yet reflected in our valuation.

儘管我們在 2024 年取得了所有成就，從淨銷售業績朝著正確的方向發展且按固定匯率計算呈正增長，到 EBITDA 的有意義的改善、債務的大幅減少以及強勁且不斷改善的分銷商指標，但這些成就尚未反映在我們的估值中。

We have an incredibly resilient business. Our distributor's culture is to adapt to an ever-changing global environment unlike most other direct selling companies and maybe unlike any other direct selling company. We've proven that multiple times over our history and are proving it again now.

我們的業務具有極強的韌性。我們的經銷商文化是為了適應不斷變化的全球環境，這與大多數其他直銷公司不同，甚至與任何其他直銷公司不同。我們在歷史上已多次證明過這一點，現在再次證明這一點。

The number of new distributors are growing, unlike most other direct sellers. Our constant currency net sales are growing, unlike most other direct sellers. Our distributors operate approximately 65,000 fixed locations globally, unlike any other direct seller. Our President and future CEO was an incredibly successful distributor for 32 years, a powerful competitive advantage compared to most other direct sellers.

與大多數其他直銷商不同，新經銷商的數量正在增長。與大多數其他直銷商不同，我們的固定匯率淨銷售額正在成長。與其他直銷商不同，我們的經銷商在全球擁有約 65,000 個固定地點。我們的總裁兼未來的執行長是一位擁有 32 年豐富經驗的極其成功的經銷商，與大多數其他直銷商相比，具有強大的競爭優勢。

The landscape has changed a lot over the past few years, and we are now set up for the future to continue building on the positive trends experienced in 2024 and expected to continue throughout 2025 and beyond. This year, we will be committed to helping investors understand and appreciate the power of our business and how it is different than it is perceived and how it is different than it is being valued.

過去幾年，情況發生了很大變化，我們現在為未來做好了準備，將繼續鞏固 2024 年經歷的積極趨勢，並預計這種趨勢將持續到 2025 年及以後。今年，我們將致力於幫助投資者理解和欣賞我們業務的力量，以及它與人們的認知和估值有何不同。

This concludes our opening remarks. Operator, please open the call for questions.

我們的開場白到此結束。接線員，請打開電話詢問問題。

(Operator Instructions) William Router, Bank of America.

（操作員指示）美國銀行的 William Router。

Hi, guys. Good evening. Thank you for taking our question. This is Rob Rigby on for Bill. So I guess the first one from us would be what you think needs to happen to turn around North American volume trends and how long do you expect this to take?

嗨，大家好。晚安.感謝您回答我們的問題。我是 Rob Rigby，代替 Bill 發言。所以我想我們第一個要問的是，您認為需要做些什麼才能扭轉北美的銷售趨勢，以及您預計這需要多長時間？

Hey, Rob. Thanks for the question. We've been talking for the last couple of quarters about the fact that we need to rebuild the distributor base and the supervisor base. And so after 14 quarters of decline quarter -- year over year -- quarters year over year, we finally saw last quarter the active supervisor base rebuild. And that came after three quarters of new distributor growth.

嘿，羅布。謝謝你的提問。過去幾季我們一直在談論重建經銷商基礎和主管基礎的必要性。因此，在經歷了 14 個季度的同比下滑之後，我們終於在上個季度看到活躍監管人員基礎的重建。這是在新分銷商成長三個季度之後實現的。

Again, it's a question of rebuilding. We've been saying it kind of time and time again, it's a quarter by quarter, but we're very positive about what's happening. And it's just this question of time. You've got certain markets that have come quicker than others and the US is on track to have its moment.

再一次，這是一個重建的問題。我們一次又一次地說過，這是一個季度一個季度地變化，但我們對正在發生的事情非常樂觀。這只是時間問題。某些市場比其他市場發展得更快，而美國也即將迎來自己的發展機會。

Yeah. If I can jump in. So, look, obviously all regions performed really well and had constant currency net sales growth with the exception of North America and China. But North America, all of our relevant distributor metrics improved, their trends improved. And it's improved multiple quarters in a row.

是的。如果我能跳進去。因此，顯然所有地區都表現得非常好，除了北美和中國外，均實現固定貨幣淨銷售額成長。但在北美，我們所有相關的經銷商指標都有改善，其趨勢也有所改善。並且已經連續多個季度有所改善。

Our net sales went from down 10% to 11%-ish in Q1 to down 7% in Q2 to down 6% in Q3 to down 3% in Q4. So it's still down, but it's down mid to low single digits now trending in the right direction with the foundation of distributors metrics building. So I think we're on the right track. It is a matter of time, but it's not far away.

我們的淨銷售額在第一季下降了 10% 到 11% 左右，在第二季下降了 7%，在第三季下降了 6%，在第四季度下降了 3%。因此它仍然處於下降趨勢，但隨著分銷商指標建設的基礎，它已經下降到中低個位數，並且正朝著正確的方向發展。所以我認為我們走在正確的道路上。這是時間問題，但距離並不遙遠。

Great. No, that's super helpful color. And then in terms of debt repayment, looking at your 2025 maturity, is that -- is the plan just to repay that once it comes due in September. And then I guess in terms of debt repayment over the rest of the year, based on your total leverage guidance for 2025, it seems like that may be the only debt repayment that you're targeting in 2025, I guess. Is that correct? And if you have --

偉大的。不，那是非常有用的顏色。然後就債務償還而言，考慮到 2025 年的到期日，計劃是在 9 月到期時償還。然後我想，就今年剩餘時間的債務償還而言，根據您對 2025 年的總槓桿指導，這似乎可能是您在 2025 年唯一的債務償還目標。那正確嗎？如果你有--

It's mostly -- yeah, it's mostly correct. So we have the 2025 just under $200 million due in September. We're going to pay that down. Our revolver is currently undrawn. We'll draw it a little bit to help pay down the debt, the 2025. And we said that since a year ago when we said that we could pay the 2025 with cash flow from the business, at that point in time, our revolver was drawing at $170 million.

基本上——是的，基本上是正確的。因此，我們將在 9 月支付 2025 年將近 2 億美元的款項。我們將償還這筆錢。我們的左輪手槍目前尚未拔出。我們會提取一點來幫助償還債務，到2025年。我們說過，自從一年前我們說我們可以用業務現金流支付2025年的債務以來，當時我們的循環信貸額度已經達到1.7億美元。

So we anticipated that we would have some revolver drawn in September when we paid on the 2025. That gives us an opportunity to pay down the revolver post paying down the 2025, if that makes sense. So there is some opportunity beyond the 2025 to continue to pay down debt.

因此，我們預計，當我們支付 2025 年的款項時，9 月將會提取一些循環貸款。如果有意義的話，這將使我們有機會在 2025 年償還循環信貸後償還債務。因此，2025 年以後仍有機會繼續償還債務。

Understood. Thank you very much. I'll pass it on.

明白了。非常感謝。我會傳達的。

Linda Bolton-Weiser, D.A. Davidson.

琳達·博爾頓-韋瑟，地方檢察官戴維森。

Hello. Congratulations on the progress being made and congratulations, Stephan, on your CEO ship. So, I was wondering about the constant currency sales guidance range for 2025 up 1% to 7%. It's pretty wide. Can you talk about like what would dictate or what would have to happen for you to get to the high end? And then what would have to go wrong or something for you to kind of end up at only 1% or 2% growth for the year? Thanks.

你好。恭喜您的進步，也恭喜斯蒂芬 (Stephan) 擔任執行長。所以，我想知道 2025 年的固定匯率銷售指引範圍是否會上漲 1% 至 7%。它很寬。您能否談談什麼決定了您或您必須做什麼才能達到高端？那麼，什麼情況會出錯或導致您今年的成長率僅為 1% 或 2%？謝謝。

So a couple things. So first, I don't think 600 basis points is that wide in this environment and not inconsistent with things we've done in the past, so let's start there. Second is on the high end, there's opportunities in China and the US to do beyond what we expected. We don't guide by region, but in those regions, there's more upside, I think, than there is downside risk and that could get us to the high end. And on the downside, it's probably the kind of the same kind of markets, markets that aren't quite performing as well in 2024 as we hoped.

有幾件事。首先，我認為 600 個基點在當前環境中並不算太寬，而且與我們過去所做的事情並不矛盾，所以讓我們從這裡開始。第二，在高端方面，中國和美國都有機會超越我們的期望。我們不會按地區進行指導，但我認為，在那些地區，上行空間大於下行風險，這可能會讓我們達到高端。而不利的一面是，它可能屬於同一類型的市場，即 2024 年的市場表現不如我們所希望的那麼好。

Okay. Also --

好的。也--

By the way, I mean, they're positive numbers, right. I mean, that's important, right. I want to put this in perspective, right. Because I don't want to leave with we could be on the low end of guidance. From where this company has been for multiple years now, we are projecting constant currency net sales growth in 2025. It's just a matter of how much. And either even at 1% below in the guidance, that's still a positive result that will give us a lot of opportunity and 7% will dramatically give us more opportunity, but it's still positive either way.

順便說一句，我的意思是，它們是正數，對吧。我的意思是，這很重要，對吧。我想從正確的角度來看這個問題。因為我不想讓我們處於指導的低端。根據該公司多年的發展情況，我們預計 2025 年的固定匯率淨銷售額將實現成長。這只是多少的問題。即使低於預期 1%，這仍然是一個積極的結果，將為我們提供很多機會，而 7% 將極大地為我們帶來更多的機會，但無論如何仍然是積極的。

Yeah, of course. And then I guess, am I reading this right that with the currency impact, your EBITDA margin in 2025 is not projected to really increase? It looks flattered down, right, including the FX impact?

是的，當然。然後我想，我是否讀得正確？看起來很受鼓舞，對吧，包括 FX 的影響？

Yeah. We have about a $70 million headwind on EBITDA, right. So, our EBITDA was $635 million in 2024, our guidance is $600 million to $640 million. So the guidance has us slightly below, slightly ahead of where we performed in 2024. And so margins won't change that much. Having said that, if not for currency, they would have changed substantially. There is an 80 basis points impact to our 2025 EBITDA margins from currency headwinds over 2024 average currency rates. So there's a meaningful headwind. If not for the headwind, we would be meaningfully higher in EBITDA margins.

是的。我們的 EBITDA 面臨約 7,000 萬美元的阻力，對吧。因此，我們的 2024 年 EBITDA 為 6.35 億美元，我們的預期是 6 億至 6.4 億美元。因此，我們的預期略低於或略高於 2024 年的水準。因此利潤率不會發生太大變化。話雖如此，如果不是因為貨幣，它們可能會發生很大變化。與 2024 年平均匯率相比，貨幣逆風將對我們的 2025 年 EBITDA 利潤率產生 80 個基點的影響。因此，這是一個顯著的逆風。如果沒有逆風，我們的 EBITDA 利潤率將會顯著提高。

Yeah, okay. And then I guess, China, not only was it down, but it was a little bit weaker than we had projected in constant currency terms. The revenue decline was a little worse. So, maybe you could just kind of remind us what's going on there? And how much of it is macro and how much are you controlling at this point? And just kind of give us a reminder about that market.

嗯，好的。然後我想，中國不僅經濟下滑，而且以固定匯率計算，經濟成長甚至比我們預測的還要低。收入下滑的情況更嚴重一些。那麼，也許您可以提醒我們那裡發生了什麼事？其中有多少是宏觀的？只是提醒我們一下有關那個市場的情況。

Sure, Linda. I'll take this one. Thank you. So China, as we mentioned, we made a major strategical shift in the way our business is actually focused. It was really to turn to a customer focused. And for the first time ever, we launched in June of last year, a customer loyalty program, which, by the way, yielded the kind of results that we wanted. We have a much stronger customer base and growing customer base.

當然，琳達。我要這個。謝謝。正如我們所提到的那樣，我們對中國業務的重點進行了重大的戰略轉變。這確實是為了以客戶為中心。去年 6 月，我們首次推出了客戶忠誠度計劃，順便說一句，該計劃取得了我們想要的結果。我們擁有更強大的客戶基礎和不斷成長的客戶群。

And so there was a shift in focus and we also shifted the focus for the Herbalife Premier League to be focused on customers instead of new sales reps, something we adjusted towards the end of the year and so it was weaker than we had thought. It's the -- the transition is a big transition. It's the first time we've ever done something like this in the market. And so, yes, we were a little bit surprised, just a little bit weaker, but at the same time, a lot of what we were trying to do has started and we're seeing the results there, but we're not satisfied.

因此，我們的重點發生了轉變，我們也將康寶萊超級聯賽的重點從關注客戶轉移到關注新銷售代表，這是我們在年底調整的，因此它比我們想像的要弱。這是一個巨大的轉變。這是我們第一次在市場上做這樣的事情。所以，是的，我們確實有點驚訝，感覺有點虛弱，但同時，我們嘗試做的很多事情已經開始，也看到了成果，但我們並不滿意。

We know that market has potential and we've got an event that's going to be taking place at their extravaganza, we're launching the Diamond Development Mastermind there with the top leaders to really have them focus in and be able to put into place the initiatives into their business and their markets to be able to get the kind of growth that we want to get out of China.

我們知道這個市場有潛力，而且我們將在他們的盛大慶典上舉辦一場活動，與高層領導一起在那裡啟動鑽石發展策劃，讓他們真正集中精力，並能夠將這些舉措落實到他們的業務和市場中，從而能夠獲得我們想要從中國獲得的那種增長。

John Baumgartner, Mizuho Securities.

瑞穗證券的約翰‧鮑姆加特納 (John Baumgartner)。

Good afternoon. Thanks for the question. Maybe first off, Stephan, I wanted to come back to North America acknowledging the return to growth in non-sales leaders and distributors, which -- it's a nice inflection, but looking specifically at preferred customers, those were down 10% in Q4. And I know it's not among your main KPIs, but I am curious how you think about the continued declines there? Is there a read across from that in terms of the pulse of the business, your turnaround efforts thus far? And what it might tell you about any additional refinements necessary for the model or the Herbalife brand?

午安.謝謝你的提問。也許首先，史蒂芬，我想回到北美，承認非銷售領導者和分銷商恢復成長，這是一個很好的轉折點，但具體來看優先客戶，這些客戶在第四季度下降了 10％。我知道這不是您的主要 KPI，但我很好奇您如何看待持續下滑的情況？從業務脈搏和您迄今為止的扭虧為盈努力方面，您能從中得到什麼啟示？它還能告訴您有關該模型或康寶萊品牌所需的任何額外改進嗎？

Yeah. Thank you, John for the questions. We've spoken in the past about the fact that over a number of years the business really shifted. It went to more of a food service transactional business, which has been fantastic. I mean, we talked last year about these 4.4 million customers that had come in, I think in 2023. And it's a very strong business, it's a great foundation.

是的。謝謝約翰提出的問題。我們過去曾經談到過這樣一個事實：多年來，業務確實發生了轉變。它更多地轉向食品服務交易業務，這非常棒。我的意思是，我們去年談到了到 2023 年將會有 440 萬客戶。這是一項非常強大的業務，有良好的基礎。

But the transition of those food service customers to using the products from a product result standpoint has been an area of weakness for us. And so a lot of the work has been focused on working with the clubs and the club leaders to have them build into their models, this incredible model of serving customers on a day-to-day basis, offering a value in terms of product results. And so our business in the US is a good percentage nutrition clubs. We have obviously different demographics, different areas, people that focus on different things.

但從產品效果的角度來看，這些食品服務客戶轉向使用產品的轉變一直是我們的弱點。因此，許多工作都集中在與俱樂部和俱樂部領導的合作上，讓他們將這種令人難以置信的日常客戶服務模式融入他們的模式中，並在產品結果方面提供價值。因此，我們在美國的業務中很大一部分是營養俱樂部。顯然，我們有不同的人口統計、不同的地區，人們關注的重點也不同。

But I would say the big transformation for us and the focus is to really balance out the transactional with the transformational. And so I think this is where we kind of see that we've got just kind of a mixed group of people in different places in their models of really having the balance that they would want to have and we want them to have. So we're just fully supporting that.

但我想說，我們面臨的重大轉變和重點是真正平衡交易與轉型。所以我認為這就是我們所看到的，我們在不同的模型中擁有一群混合的人，他們真正擁有的是他們想要的東西和我們希望他們擁有的平衡。所以我們全力支持這一點。

One of the things that really has started to happen, we mentioned it as well last year, was starting to have trainings instead of very basic vanilla, here's how the marketing plan works, here's information about the products is moving to more DMO centric trainings and that's been something that's we've had a great success with here and there's more demand for it. So that's very positive, the response has been positive and there's just a lag in terms of distributors putting everything that needs to be put into their models to get the results that we want.

我們去年也提到過，真正開始發生的事情之一是開始進行培訓，而不是非常基礎的培訓，這是營銷計劃的運作方式，這是關於產品的信息，正在轉向更多以 DMO 為中心的培訓，這是我們在這裡取得巨大成功的事情，而且對它的需求也越來越大。這是非常積極的，反應也是積極的，只是在分銷商將所有需要的東西放入他們的模型以獲得我們想要的結果方面存在滯後。

So then is it fair to think that what you're attempting to affect in the business? Is it fair to look at those preferred customers as sort of a barometer or a proxy for the progress you're making in terms of moving from transactional to transformational?

那麼，您是否可以公平地認為，您試圖對業務產生影響？將這些優先客戶視為衡量您在從交易轉型過程中所取得進展的晴雨表或代表物是否公平？

It is, but it's also about what value they're being offered. So some -- I'll just -- we talked about this in the past, but some clubs, the transition from a customer who buys a shake at the bar to a preferred customer, it's 1% or 2%. So you've got 100 individuals walking into a club, only one or two are becoming preferred customers. So depending on the model that they have, the actual conversion of customers to preferred customers is low.

是的，但這也與他們所提供的價值有關。所以有些 — — 我只是 — — 我們過去談論過這個問題，但有些俱樂部，從在酒吧買奶昔的顧客轉變為優先顧客，這個比例是 1% 或 2%。因此，當有 100 個人走進俱樂部時，只有一兩個人會成為優先顧客。因此，根據他們所採用的模型，客戶轉化為優先客戶的實際比例較低。

Our job is to have everybody raise, those numbers. We believe that there's value in not just walking in and having a convenient, healthy shake or tea, there is value in getting on the Herbalife products and getting a product result that is visible, that feels and that's a fundamental part of our business.

我們的工作是讓每個人都提高這些數字。我們相信，價值不僅在於走進來喝一杯方便、健康的奶昔或茶，還在於使用康寶萊產品並獲得看得見、摸得著的產品效果，這是我們業務的一個基本組成部分。

So it is a little bit of an indicating leader, an indicating number. But we have work to do because in general, overall, the model hasn't really adopted the aspects they need to adopt to make that happen and change those numbers, but we're working on it.

因此，它有點像是指示領導者、一個指示數字。但我們還有很多工作要做，因為總的來說，該模型還沒有真正採用他們需要採用的方面來實現這一目標並改變這些數字，但我們正在努力。

Okay. And then, John, coming back to FX, it's a big drag on EBITDA this year per the guidance. And I'm curious, the business has some, I guess, good sized exposure to regions where you can argue currency depreciation is sort of a structural factor. And I mean translation impact is one thing, but how do you think about the underlying economic? I mean, at what point does it maybe make sense to rethink the supply chain where you shift more to local production and match with local consumption? Given that we could be in, maybe a four-year period of on-and-off tariffs and disruption, who knows what happens after that?

好的。然後，約翰，回到外匯問題，根據指導，這對今年的 EBITDA 造成了很大的拖累。我很好奇，我想，該業務在某些地區有相當大的曝險，你可以說貨幣貶值是一種結構性因素。我的意思是翻譯的影響是一回事，但您如何看待其潛在的經濟影響？我的意思是，什麼時候才需要重新考慮供應鏈，更多地轉向本地生產並與本地消費相匹配？考慮到我們可能陷入為期四年的關稅起伏和混亂時期，誰知道之後會發生什麼事？

Yeah. That's a great question and we do constantly look at those things and have relooked at it in the light of some of the tariff discussions that have been published. First, let's take it into pieces. Most of the impact of currency is translation, okay. It's -- maybe $10 million to $15 million of the $70 million is transaction. So a lot of it is translation. So that limits a little bit of the opportunity. The biggest currency that's impacting us is the Mexican peso, the second biggest is the euro.

是的。這是一個很好的問題，我們確實一直在關注這些事情，並根據已經發布的一些關稅討論重新審視這些問題。首先，我們將其分解開來。貨幣的大部分影響是翻譯，好的。這可能是 7,000 萬美元中的 1,000 萬到 1,500 萬美元是交易費。因此很多都是翻譯。所以這在某種程度上限制了機會。對我們影響最大的貨幣是墨西哥比索，第二大貨幣是歐元。

Most of our product in Europe is already denominated in euro and made in Europe. Mexico, we don't have the opportunity to produce locally for a number of reasons. We -- if there's a tariff imposed, we could make the product somewhere other than the US potentially, but we're not going to make it locally. So there is not a lot of ability to create the natural hedges for manufacturing. We have done it in a handful of countries, but even in those countries, it has somewhat limited impact because a lot of the ingredients are priced in dollars, even at local conversion costs are priced in local currency.

我們在歐洲的大多數產品已經以歐元計價並在歐洲生產。墨西哥，由於多種原因，我們沒有機會在當地生產。如果徵收關稅，我們可能會在美國以外的其他地方生產產品，但我們不會在當地生產。因此，為製造業創造自然對沖的能力並不強。我們已經在少數幾個國家這樣做了，但即使在這些國家，它的影響也相當有限，因為許多原料都是以美元計價的，即使以當地的兌換成本也是以當地貨幣計價的。

And we see that in Brazil where we make a number of products in Brazil, but the ingredients are priced in dollars. So it's just not a huge opportunity. The bigger opportunity is on the price side as the currency movements kind of work their way down into the local inflationary changes. And then we can take price increases as its seen in the local inflationary conditions in the marketplace.

我們發現，在巴西，我們生產許多產品，但原料價格是以美元計價的。所以這並不是一個巨大的機會。更大的機會在於價格方面，因為貨幣變動會逐漸影響當地的通膨變化。然後，我們可以根據市場上的當地通膨狀況來衡量價格上漲。

Okay, thank you.

好的，謝謝。

Hale Holden, Barclays.

巴克萊銀行的黑爾霍爾頓。

Thanks. And congrats, fellas, on the new roles. John, I had two quick ones for you. The first one is on the leverage target, it would seem like maybe you could do better than three times this year. I just wanted to make sure I wasn't missing anything in your free cash flow bridge just because --

謝謝。各位，恭喜你們獲得新的職位。約翰，我有兩件小事要告訴你。第一個是關於槓桿目標，看起來今年你可以做得比三倍更好。我只是想確保我沒有錯過你的自由現金流橋中的任何內容，因為--

Our stated goal is to be at or below three times and that hasn't changed. It doesn't mean if we do better, we do better, that would be below. But we have not changed that target.

我們既定的目標是達到或低於三倍，這一點沒有改變。這並不意味著如果我們做得更好，我們就會做得更好，那將會低於。但我們沒有改變這個目標。

Right. And the second question I had was maybe I need a tax book for dummies, but could you just tell us which IP you moved to Europe and then maybe walk through very simplistically why it's not changing the 30% tax rate that you guys pay?

正確的。我的第二個問題是，也許我需要一本適合初學者的稅務書，但您能否告訴我們您將哪些 IP 轉移到了歐洲，然後非常簡單地說明為什麼它沒有改變您們支付的 30% 的稅率？

Well, okay, so actually it is more complicated maybe than you might think and that's why you're asking the question. So we transferred some IP, doesn't matter what IP, right, but it's intellectual property that we moved. What the purpose of the move really is twofold.

好吧，實際上它可能比你想像的要複雜得多，這就是你問這個問題的原因。所以我們轉移了一些 IP，不管是什麼 IP，但我們轉移的是智慧財產權。此舉的目的其實有雙重。

One is to facilitate better economic transfer of cash in the future, which we need as we look to pay down debt that wasn't contemplated when the original structure was put in place. But this structure also gives us greater flexibility to move other things around like if we did want to move manufacturing around or we did want to consolidate facilities, this structure gives us a better opportunity to do that.

一是促進未來更好的經濟現金轉移，這是我們所需要的，因為我們希望償還在建立原始結構時未考慮到的債務。但是這種結構也為我們提供了更大的靈活性來移動其他事物，例如，如果我們確實想移動製造業務，或者我們確實想合併設施，這種結構為我們提供了更好的機會來實現這一點。

Now, this -- now that's question A, that's why we did it. The impact on the future cash rate -- I mean, future tax rate is excluded from guidance. This was a noncash benefit this year. Going forward, there will be somewhere around 500 basis point of noncash detriment that offsets this over a long period of time. We'll just keep carving it out.

現在，這是問題 A，這就是我們這樣做的原因。對未來現金利率的影響－我的意思是，未來稅率不包括在指導範圍內。這是今年的非現金福利。展望未來，將會有大約 500 個基點的非現金損失在很長一段時間內抵消這一影響。我們只會繼續雕刻它。

We carved out this and we'll carve out the offsetting non cash debit that you'll see in the P&L. So it doesn't change our cash tax at all. It was non cash benefit this year. It'll be a non-cash detriment in future years, but we've excluded it for guidance, which I think is important given its non-cash, given that we're looking -- the major purpose of this reorg was to generate more cash to pay down debt. We're going to -- like I said, we carved out the benefit, we're going to carve out the detriment.

我們將其剔除，並且我們還將剔除您在損益表中看到的抵銷非現金扣款。所以它根本不會改變我們的現金稅。今年是非現金福利。這將是未來幾年的非現金損失，但我們已將其排除在指導之外，我認為這很重要，因為它是非現金，因為我們正在尋找 - 重組的主要目的是產生更多現金來償還債務。我們會 — — 就像我說的，我們會剔除好處，也會剔除壞處。

Great. I follow that. Thank you very much.

偉大的。我明白。非常感謝。

Karru Martinson, Jefferies.

卡魯·馬丁森（Karru Martinson），傑富瑞（Jefferies）。

Good afternoon. Just regarding the different demographics of your distributor base here in the United States. We've gotten the question a couple times now, is there an impact from the immigration policies of the new administration?

午安.僅涉及您在美國經銷商群體的不同人口統計資料。我們已經被問過幾次了，新政府的移民政策會產生影響嗎？

Hey, Karru. Thank you for the question. Look, I think everybody sees the headlines and it's hard to know the reality on the ground. For us, it's just too early to tell if there's going to be any impact whatsoever. But again, it's -- headlines are headlines, how real it is and to what extent it's impacting, we just don't have enough to know right now.

嘿，卡魯。感謝您的提問。看，我想每個人都看到了頭條新聞，但很難了解實際情況。對我們來說，現在判斷是否會產生任何影響還為時過早。但同樣，頭條新聞就是頭條新聞，它有多真實、影響有多大，我們現在還了解得不夠多。

Okay. And then when we look at the Latin American distributor growth, very strong numbers, how much do you feel that has been driven by the changes that you've done in the market, and is that something that you would think of replicating in other markets?

好的。然後，當我們觀察拉丁美洲經銷商的成長情況時，發現其數字非常強勁，您認為這在多大程度上是由您在市場上所做的改變所推動的？

Yeah. I think it has a lot to do with what we've changed. I mean, John, can talk about kind of the optimization that we've done there, but there's been a lot of support for distributors in terms of just making sure the opportunity that they have financially speaking is really designed for their markets. And so, John, maybe you can talk a little bit more about that.

是的。我認為這和我們所做的改變有很大關係。我的意思是，約翰，可以談談我們在那裡所做的優化，但我們為分銷商提供了大量支持，以確保他們在財務上擁有的機會確實是為他們的市場而設計的。所以，約翰，也許你可以再多談一點這個事情。

Yeah. Look, I think the one size fits all, which is kind of the foundation of our marketing plan. We call it marketing plan, it's our distributed compensation plan. The incentive program was pretty similar across the globe. And one of the big movements we have along with distributor leaderships is to find the optimal incentive program for various countries based on what's going on in those countries.

是的。看，我認為一刀切的政策是萬能的，這是我們行銷計畫的基礎。我們稱之為行銷計劃，這是我們的分散式補償計劃。全球各地的激勵計劃非常相似。我們與經銷商領導階層共同採取的一項重大措施是根據各國的具體情況，找到適合各國的最佳激勵計畫。

And our Latin American tax, it's not in all Latin American markets, but it's in most, has been very successful and we do think that opens the door to additional possibilities. So, it's all about creating the optimal incentive program for each market. And it's one of the reasons why volume points aren't as a valuable metric as it used to be because now we're changing volume points.

我們的拉丁美洲稅收雖然並未涵蓋所有拉丁美洲市場，但在大多數市場都非常成功，我們確實認為這為更多的可能性打開了大門。因此，關鍵在於為每個市場創建最佳的激勵計劃。這就是為什麼成交量點不再像以前那樣有價值的原因之一，因為現在我們正在改變成交量點。

So, when you look at the year-over-year comparison, it doesn't tell you much. So what we're going to do is not use that metric anymore publicly and just deal with net sales still providing investors with visibility into the change in net sales that came from volume, but we don't use volume points anymore.

因此，當你查看同比變化時，它並不能告訴你太多。因此，我們要做的是不再公開使用該指標，而只處理淨銷售額，仍然讓投資者了解由銷量引起的淨銷售額變化，但我們不再使用銷售點。

Thank you very much. I appreciate it.

非常感謝。我很感激。

Doug Lane, Water Tower Research.

道格·萊恩（Doug Lane），水塔研究公司。

Yes, hi. Good evening, everybody. Congrats, Stephan. And Rob is in the room, congrats as well. Stephan, the number that really stuck out to me was that new distributor number. The 22% is an acceleration, but it's a pretty sharp acceleration from 14% last quarter and 12% the quarter before after several years of negative. So I really want to drill down on what is going on? What are you doing to drive that acceleration of new distributors and now as we see non sales leader members and how are we going to see that manifest ultimately in sales leaders?

是的，你好。大家晚上好。恭喜，史蒂芬。羅布也在房間裡，也祝賀你。史蒂芬，真正讓我印象深刻的數字是那個新經銷商的號碼。22% 是一個加速成長，但與上一季的 14% 和前一季的 12% 相比，這是一個相當急劇的成長，此前幾年一直處於負成長狀態。所以我真的想深入了解到底發生了什麼事？您正在採取什麼措施來推動新經銷商的加速成長？

Hey, Doug. Thank you for the question. Look, we've been saying the same thing for the last few quarters, right. We needed to -- need to rebuild our distributor base. And so since the beginning of last year, all of the initiatives that were put into place, whether it was to actually come up with the program, the Herbalife Premier League which for the first time in, I don't know how long as a distributor, I don't remember there ever being a time like this where there was an actual program that focused on distributors going out and having a target of the amount of new distributors they were going to bring into the business. And along with that target would be also a focus on activating them.

嘿，道格。感謝您的提問。你看，過去幾季我們一直在說同樣的話，對吧。我們需要重建我們的經銷商基礎。因此，自去年年初以來，我們實施了各種舉措，無論是實際推出的康寶萊超級聯賽，還是我第一次作為經銷商推出這樣的計劃，我不記得曾經有過這樣的實際計劃，專注於經銷商的走出去，並設定他們將為公司帶來多少新經銷商的目標。而除了這個目標之外，我們還會專注在如何啟動它們。

And along with that target, a focus on getting 20% of those distributors to convert and qualify supervisor and become sales leaders. And so, number one, having a program that never existed before has made a difference. It's been one initiative. That program actually really went far beyond our expectations. If we would have had the same program in 2023, there would have been seven times less people qualifying for it. So we have a situation where we've got a focus now as a company. We've brought in new training and given support to leaders that we've never done before in the past.

除了這個目標之外，我們還將致力於讓 20% 的經銷商轉型並成為合格的主管和銷售領導者。因此，首先，擁有一個以前不存在的項目已經產生了影響。這是一項舉措。該計劃實際上確實遠遠超出了我們的預期。如果我們在 2023 年實施相同的計劃，那麼符合資格的人數將會減少七倍。因此，我們目前的處境是，作為一家公司，我們要集中精力。我們引入了新的培訓並向領導者提供以前從未做過的支援。

We've upped the type of training that people are getting in terms of having that than things don't happen. And I think that's where you see this acceleration and the momentum and rebuild. And so our job is to support them in that process with the programs, the initiatives, the tools and the technology to go out and build and scale their businesses. And so we are just very steady. We are on this focus.

我們已經提升了人們所接受的培訓類型，以避免發生這種事情。我認為這就是你看到這種加速、動力和重建的地方。因此，我們的工作是透過計劃、舉措、工具和技術為他們提供支持，幫助他們走出去，建立和擴大他們的業務。因此我們非常穩定。我們正關注這一點。

We will continue to deliver more service and value to the distributors and tools and allow them to go out and do what they do best, which is build businesses.

我們將繼續向經銷商和工具提供更多的服務和價值，讓他們能夠做他們最擅長的事情，那就是建立業務。

Well, certainly, the numbers bear that out. And looking at the average sales leader number, it stabilized in the quarter for the first time also in many years. And so I would read through that this new distributor growth is starting to manifest itself in sales leaders. So I guess, the question is the timing and the magnitude of where we ultimately end up since my models are based driven by the sales leader number?

嗯，當然，數字證實了這一點。從平均銷售領先者數字來看，這也是本季本季首次穩定。因此，我讀到，這種新經銷商的成長開始在銷售領導者身上反映出來。所以我想，問題在於我們最終會走向何方以及走向何方，因為我的模型是基於銷售領先者的數字驅動的？

Yeah. I mean, again, we've been saying quarter by quarter. We have different regions at different places in terms of where they are in implementing and how many quarters of growth they have of new distributors coming in and how high that growth is. And so it's really going to be the consistency of the rebuild over time. I wish I could pick out a quarter.

是的。我的意思是，我們一直是按季度進行討論。我們在不同地方有不同的區域，具體實施情況、新經銷商的成長季度數和成長率各不相同。因此這實際上將是隨著時間的推移而進行的重建的一致性。我希望能選四分之一。

I think we're confident that moving into the second half of this next year of this year, we are going to hit our stride. Again quarter by quarter, we'll be back next quarter and sharing more. But we all love to have that looking glass into the future and, yeah, we just -- quarter by quarter for us.

我想我們有信心，進入今年下半年，我們將會大步前進。再次按季度進行，我們將在下個季度回來分享更多。但我們都喜歡透過鏡子看向未來，是的，我們只是—逐季觀察未來。

Got it. Fair enough. Thanks.

知道了。很公平。謝謝。

Thank you.

謝謝。

Thank you. I'm showing no further questions in the queue at this time. I would now like to turn the call over to Mr. Michael Johnson for any closing remarks.

謝謝。目前隊列中沒有其他問題。現在，我想請麥可·約翰遜先生作結束語。

Well, I've got a few. This is my swan song. I'm a little emotional about it, I have to be honest. But before we end the call, I just want to acknowledge the events in Los Angeles over the last month, the recent wildfires, they've impacted so many people, distributors, employees, our communities. And a helpful hand from so many employees and we appreciate all those who've stepped up to offer support, especially the first responders that are out there.

嗯，我有幾個。這是我的絕唱。說實話，我對此有點情緒化。但在結束通話之前，我只想承認上個月在洛杉磯發生的事件，最近的山火，已經影響很多人，包括分銷商、員工和我們的社區。許多員工向我們伸出了援手，我們感謝所有挺身而出提供支持的人，特別是在現場的急救人員。

In our true fashion, we've had employees and distributors come together to provide nutrition, financial assistance through our family foundation and then personally a lot of people were picking up clothes and delivering them goodwill, and Red Cross donations were made, and personal donations were made. It just shows the strength of our community and how well we respond to things like this.

按照我們一貫的做法，我們讓員工和經銷商聯合起來，透過我們的家庭基金會提供營養和經濟援助，然後很多人親自領取衣服，給他們送去善意，還有紅十字會捐款和個人捐款。這顯示了我們社區的力量以及我們對此類事情的良好反應。

For those of you who are not in LA, it's devastating. This is our home. This is where the company was founded by Mark Hughes. And Mark had a dream in 1980. And when I walked in the door here in 2003, I'm not sure I fully grasped it or understood it. I thought I was walking from my entertainment background with a content and distribution company. I didn't realize the blood, sweat, and tears that went into the individual efforts that make this company so interesting and so great.

對於那些不在洛杉磯的人來說，這無疑是毀滅性的。這是我們的家。馬克·休斯就在這裡創立了這家公司。1980年，馬克做了一個夢想。當我 2003 年走進這裡的門時，我並不確定我是否完全掌握或理解了它。我以為我已經從娛樂業退休，現在經營一家內容和發行公司。我沒有意識到，正是個人的努力付出了多少心血和汗水，才讓這家公司如此有趣、如此偉大。

We've been portrayed and mis-portrayed over time. We fought some battles. We dealt with some incredible instances. Mark did it in the '80s and '90s. I had to do it in the '10s, the '20s, and [15s], and deal with lies and misinformation and images that got smacked for our company that just weren't true.

隨著時間的推移，我們一直被描繪和誤解。我們進行了一些戰鬥。我們處理過一些令人難以置信的例子。馬克在 80 年代和 90 年代就做到了這一點。我在 20 世紀 10 年代、20 世紀 20 年代和 15 年代都曾這樣做過，處理過謊言、錯誤訊息和對我們公司不利的、根本不是事實的圖片。

I wish I could drag each of you through our supply chain to see the quality and the science and the products that we put out in the marketplace, the exceptional attention to detail that's out there. Because we know we put a product in people's bodies every day.

我希望能夠讓你們每個人都了解我們的供應鏈，看看我們在市場上推出的產品的品質、科學性以及對細節的特別關注。因為我們知道我們每天都會將產品放入人們的身體中。

I wish I could take you to nutrition clubs and alongside distributors who've changed their lives dramatically by offering an economic opportunity to raise their station in life, to build something incredibly special for their families, for themselves, to do something that may not have an educational pedigree that so many executives and so many companies have. But to have a pedigree of hard work, gut grit, resilience, people with the fraternal skills, to build communities, this is what Herbalife is all about. This is why I'm so confident about the future of this company.

我希望可以帶你去營養俱樂部，和那些透過提供經濟機會提高他們的生活地位而徹底改變生活的經銷商們在一起，為他們的家庭、為他們自己創造一些非常特別的東西，去做一些許多高管和許多公司可能沒有的教育背景的事情。但是，擁有勤奮、堅韌、有韌性的人才，擁有兄弟般的技能，能夠建立社區，這就是康寶萊的全部意義所在。這就是我對這家公司的未來如此有信心的原因。

I've known Stephan for 22 years. Our first meetings with each other were not always easy by any means. He was strong and bold and had ideas about where the company should go and how it should go there alongside other distributors who've always had the best ideas about distribution inside this company. All of our great ideas have come from the field and the opportunities to build better distribution.

我認識史蒂芬已經22年了。無論如何，我們第一次見面並不總是那麼輕鬆。他堅強而大膽，對公司的發展方向和發展方式有著自己的想法，而公司內部其他經銷商也一直對分銷有著自己最好的想法。我們所有的偉大想法都來自於現場和建立更好分銷的機會。

Our content side has been a dual purpose, but it's come from inside and outside. It's come from the marketplace and the change in nutritional habits of the world that are taking place. But what this company really encompasses is the personal experience people have, the success, the change, the transition they get in their lives, the transformation of weight loss, the transformation of a healthy active lifestyle, of building something incredibly wonderful in their lives.

我們的內容方面有雙重目的，但它來自內部和外部。它源自於市場和世界正在發生的營養習慣的改變。但這家公司真正涵蓋的是人們的個人經歷、他們在生活中獲得的成功、變化和轉變、減肥的轉變、健康積極的生活方式的轉變，以及在他們的生活中創造一些非常美好的事物。

We're always going to need money. This is the way the world operates and Herbalife offers a great business opportunity. You're always going to need good nutrition for longevity, for opportunity to grow, for opportunity to experience your grandchildren like I am now, to have a wonderful partner in my life, to go do wonderful things with out in the marketplace.

我們總是需要錢的。這就是世界運轉的方式，而康寶萊提供了絕佳的商業機會。你總是需要良好的營養來延年益壽，來有機會成長，來有機會像我現在一樣擁有孫輩，來在生活中擁有一個美好的伴侶，來在市場上做出美好的事情。

But I'm going to continue to stay engaged and involved with Herbalife emotionally, physically. I'm going to do everything I can to work with the Board that we supply the resources this company needs, and Stephan and John and Troy and Henry and all of the different members of the team and Rob, our new President, all the things they need alongside our distributors and all the resources they need to continue to make Herbalife strong.

但我將在情感和身體上繼續與康寶萊保持聯繫。我將竭盡全力與董事會合作，提供公司所需的資源，並為史蒂芬、約翰、特洛伊、亨利和團隊的所有成員以及我們的新總裁羅布提供他們與我們的經銷商以及他們繼續讓康寶萊強大所需的所有資源。

My final word is pretty simple. It's net sales up, gross profit, EBITDA, debt, all of those important factors in this business are on improving trends. We've got something special here. We've got a company poised for the future with a vision through Stephan and the team here that's going to be unleashed on our distributors over the next year that's going to create a new Herbalife and a new opportunity.

我最後要說的是很簡單。它的淨銷售額、毛利、EBITDA、債務都在上升，所有這些業務中的重要因素都呈現改善趨勢。我們這裡有一些特別的東西。透過史蒂芬和團隊的共同努力，我們已經為公司的未來做好了準備，並將在明年向我們的經銷商推出這個願景，創造一個新的康寶萊和新的機會。

So, thank you all for 22 years of experiencing me and I first walked in the doors here a month now in March of 2003 to today. I've grown, I understand this business, I understand our company and I'm just super proud of the way we're leaving it in the great hands of Stephan, Rob, and the team here. So thanks you, guys. You won't see me next quarter, but you will hear from the management team. And let's go Herbalife. Thank you.

所以，感謝大家 22 年來的陪伴，從 2003 年 3 月我第一次走進這裡的大門到今天，已經過了一個月。我已經成長，我了解這個行業，我了解我們的公司，我為我們把它交給史蒂芬、羅布和這裡的團隊感到非常自豪。所以謝謝你們，夥計們。下個季度您不會見到我，但您會聽到管理團隊的消息。我們去康寶萊吧。謝謝。

This concludes today's program. Thank you all for participating. You may now disconnect.

今天的節目到此結束。感謝大家的參與。您現在可以斷開連線。